By Staff
February 16th, 2017
BURLINGTON, ON
Quite why the Regional government would assign one of their communications advisors the task of preparing a media release on their credit rating is WORD
However we can now tell you that Moody’s Investors Service has upheld Halton Region’s Aaa credit rating—the agency’s highest—for the 29th consecutive year.
Profiling Halton’s strong governance and prudent fiscal policies, as well as its forward-looking operating and capital plans, Moody’s credit opinion report demonstrates a high level of confidence in the Region’s continued success.
Regional administration offices are in Oakville.
“Halton’s Aaa rating ranks us at the top end of Canadian municipalities,” said Halton Regional Chair Gary Carr. “The Region is a transparent, accountable and fiscally responsible government that ensures value for taxpayers’ dollars. We are proud to consistently earn this distinction while providing high-quality services and keeping taxes low—our strong financial position helps keep Halton a great place to live.”
Halton Region created, in 1974, is made up of four municipalities and is defined as an upper tier of municipal government.
Maintaining a Aaa credit rating allows Halton and its local municipalities to finance major investments at the lowest possible long-term costs by providing continued access to the best capital financing rates available. It helps the Region maximize investments in Halton’s future while minimizing costs for taxpayers.
All municipal borrowing is done through the Region and on the strength of their credit rating.
What back up a credit rating is what you have to back up the borrowing. In the Region’s case the strength is the revenue stream which is based on the taxes you pay. Thus that credit rating has more to do with the value of your home.
The Region is for the most part a fiscally responsible level of government. As for transparency and accountability – they don’t earn the same triple a.
Moody’s report on Halton’s financial position highlights the following credit strengths:
• strong operating budgetary results, supported by stable revenues and well-managed expenses;
• prudent fiscal management and a commitment to long-term planning, supporting the generation of strong financial outcomes;
• declining debt burden and high levels of liquidity; and
• diversified economy and strong population growth.
The report also praised the Region’s conservative debt and investment policies, as well as its comprehensive, transparent and timely financial reporting. The agency assigned a stable outlook for Halton, with an expectation that the Region’s financial performance will remain strong.
