Halton’s strong finances good news for Oakville, Burlington, Milton taxpayers, says regional chair

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Published March 3, 2022 at 5:09 pm

Halton Region has retained its top credit rating with Moody’s Investors Service, which is good news for taxpayers in Milton, Oakville, Burlington and Halton Hills, top regional officials say.

This continues a 34-year streak of Halton having excellent credit and provides the region, as well as the four municipalities that make it up, continued access to the best capital financing rates available.

Moody’s report indicated a stable outlook for the years to come and praised Halton’s ability to achieve positive results despite external pressures, such as the COVID-19 pandemic.

“Our strong financial position is essential to our successful recovery from the economic impacts of COVID-19,” said Halton Regional Chair Gary Carr.

“We are proud to have preserved our top credit rating while continuing to provide essential public health services and keeping property taxes low. This distinction will also support our long-term critical investments in infrastructure and our ongoing plans to maintain a high quality of life for our growing community.”

Halton’s 2022 Budget and Business Plan includes a 10-Year Capital Budget and Forecast of $5.7 billion, which features essential investments in infrastructure for transportation, water and wastewater.

By keeping the lowest possible financing rates, a top credit rating helps public funds go further, minimizes the long-term costs of large-scale construction and allows the Region to deliver maximum value for taxpayers when investing in major public works projects.

Moody’s report highlighted Halton’s following credit strengths as rationale for their decision:

  • exceptional liquidity, which provides strong coverage ratios and debenture security;
  • low levels of debt, given a preference for pay-as-you-go financing for capital instead of issuing external debt;
  • strong governance and management, including forward-looking operating and capital planning;
  • strong capacity for meeting fiscal targets from a robust and growing economy and prudent and forward-looking fiscal planning.

Last June, S&P Global Ratings also upheld its top rating for Halton. Maintaining the excellent credit ratings remains a key objective in the 2019-2022 Strategic Business Plan and 2022 Budget and Business Plan.

To learn more about Halton Region’s financial information visit the region’s website.

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