In addition, Fitch assigns a rating of 'F1+' to the town's
The bonds and notes are scheduled to sell competitively on
In addition, Fitch affirms the following ratings:
The Rating Outlook is Stable.
Bonds and BANs are backed by the town's full faith and credit and unlimited taxing power.
KEY RATING DRIVERS
STRONG FINANCIAL MANAGEMENT: The town of
ABOVE-AVERAGE SOCIOECONOMIC INDICATORS: The local economy is diverse and positive economic indicators include very high income levels and low unemployment rates. The town benefits from its proximity to
LOW LONG-TERM LIABILITIES: Overall debt levels are low to moderate with above-average par amortization. The town's debt service, pension payments and other post-employee benefit (OPEB) liabilities consume a relatively low percentage of general government spending.
MARKET ACCESS: The 'F1+' short-term rating reflects the strong credit characteristics of the town and Fitch's expectation for strong market access.
The rating is sensitive to shifts in fundamental credit characteristics of the town. The Stable Outlook reflects Fitch's expectation that such shifts are highly unlikely.
The town is an affluent residential community located on the
ABOVE-AVERAGE SOCIOECONOMIC INDICATORS
Many of the town's residents are professionals or executives who work in
Income and wealth levels are very high with median family income at 171% and 225% of state and national levels, respectively. The poverty rate is a low 3.5%.
STRONG FINANCIAL MANAGEMENT
The bulk of the town's revenues are derived from property taxes (86%) which have increased steadily as a result of tax rate increases. The tax base is very diverse, and tax collection rates are excellent.
Management has historically used conservative budgeting practices and manages its expenditures during the year to offset any unanticipated revenue shortfalls. For fiscal years 2012 and 2013 the town had general fund operating surpluses, after transfers, of
The general fund operating surplus increased the unrestricted fund balance to
For fiscal 2014, management projects an approximate
FISCAL 2015 BUDGET CONTINUES TO GROW RESERVE LEVELS
The town's fiscal 2015 budget includes a 1.96% mill rate increase and a
MANAGEABLE DEBT LEVELS
The town's debt levels remain low to moderate with overall debt-to-market value at 1.4% and debt per capita at
After a period of growth, school enrollment has stabilized and management projects continued stable enrollment through 2016. The town is now planning on moderate expansions to existing buildings so as to reduce portables acquired to accommodate the enrollment growth. The state of
FAVORABLE PENSION AND OPEB POSITION
Pension funded levels are above-average with the town administered police and fire plan and town employee plan funded at 89% and 85%, respectively, as of
The town's unfunded OPEB liabilities were
Total carrying costs, debt service, required pension and OPEB payments represent a moderate 11.8% of fiscal 2013 general government spending relative to other U.S. local governments.
Additional information is available at 'www.fitchratings.com'.
In addition to the sources of information identified in Fitch's Tax-Supported Rating Criteria, this action was additionally informed by information from Creditscope,
--'Tax-Supported Rating Criteria' (
--'U.S. Local Government Tax-Supported Rating Criteria' (
Tax-Supported Rating Criteria
U.S. Local Government Tax-Supported Rating Criteria
Source: Fitch Ratings
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