Tyngsboro maintains AA+ bond rating

Bycengizadabags

Jun 23, 2022

TYNGSBORO — Standard & Poor’s rating agency has again awarded the town an AA+ bond rating, the second highest rating a municipality can achieve.
Town Administrator Matt Hanson recently announced the rating and said it will “help the town secure favorable interest rates on borrowing.”
The town needs to borrow $82.5 million for the new middle school project. Although the state will provide $28 million in reimbursement and the town another $1 million annually from the operating budget, the full $82.5 million must be bonded.
Other capital projects are under consideration, including a new public safety facility.
In announcing the rating, S&P stated, “Strong management practices continue to support a growing tax base with capital maintenance through Tyngsboro’s commercial corridor.”
The agency also commented that Tyngsboro is part of a “very strong regionally connected economy, with access to a broad and diverse metropolitan statistical area (MSA).” Tyngsboro, like other Middlesex County communities, is part of the Boston-Cambridge-Newton MSA.
S&P commended the town’s strong position regarding management, finances and rapid amortization of liabilities.
The town is, however, facing growing pension and other post-employment benefits. Continued population growth could increase the cost burden of these items.

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