Triple A credit rating for Durham Region good news for taxpayers

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Published May 13, 2024 at 1:02 pm

Durham Region’s strong financial management has been rewarded with another Triple A credit rating with Moody’s Investors Service.

Just eight other municipalities in Canada have achieved the ’triple A’ rating, financial music to the ears of Durham Chair John Henry and to local taxpayers.

“This achievement reaffirms our dedication to sustainable and responsible financial management. It highlights Durham Region’s leadership in fiscal stewardship, instilling confidence in our stakeholders that we manage tax dollars and user revenues thoughtfully while meeting the evolving needs of our community,” Henry said. “This retention of Triple A credit rating by Moody’s reflects Regional Council’s efforts to remain leaders in prudent fiscal management, strong budgetary performance, and a low and manageable debt burden.”

Moody’s noted that Durham Region’s credit rating is supported by low debt levels, a diverse and growing economy, a commitment to long-term planning and a positive operating profile.

Guided by the Region’s Financial Planning Framework and other strategic documents, the Region adheres to financial sustainability and flexibility principles and maintains sufficient reserves for commitments and contingencies while ensuring “manageable” property taxes and user rates, said Durham Region Finance Commissioner Nancy Taylor.

“The Region’s long standing Triple A credit rating benefits all residents and businesses of Durham Region. Our disciplined approach to financial management and long-term financial planning gives us the financial flexibility to respond to program pressures, economic challenges, and uncertainties. Upholding the key rating factors outlined by Moody’s – such as solid fiscal management, strong budgetary performance, and manageable debt – reflects the principles of our long-term financial planning framework.”

The credit rating reduces long-term borrowing costs for Durham’s eight local municipalities – as well as the Region itself – which benefits all property taxpayers and water and sewer user rate customers, especially during periods when more significant municipal infrastructure investment is required.

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