KINGSTON – Standard and Poor’s has affirmed Kingston’s 2014 long-term bond rating of AA- and that means a significant savings in interest the city has to pay on its latest bond sale.
Mayor Shayne Gallo said on Tuesday that the more than $8.6 million in bonds will have an effective net interest rate of 2.75 percent, some 30 percent lower than the rate on the last bond issue.
“What makes the upgrade so satisfying is that it was achieved in a time where downgrades are still prevalent,” Gallo said. “The rating agency’s opinion is that local governments in the State of New York are operating at a disadvantage based on the increases in pension costs, healthcare and union contracts. As a result, many of our peers are finding it difficult to maintain structural balance in this environment.”
S&P cited “strong management conditions” in its recent report.
“What separates the City of Kingston is our ability to maintain balanced operations while staying well below the two percent tax cap,” the mayor said. “Through prudent fiscal management, we have been able to strike that balance between holding the line on taxes, and providing a high level of service to our residents.”
Motorcycle operator killed in Sullivan County crash
April 22, 2024
