Lower Merion's bond credit rating stays triple-A
ARDMORE Citing strong financial management, Moody's Investors Service and Standard & Poor's both have renewed Lower Merion Township's triple-A bond credit rating, township officials said Friday.
"With this excellent news, we're confident that once again many financial institutions will respond to our bond sales with very competitive interest rates," said Dean Dortone, Lower Merion's chief financial officer.
The township expects that the rating, which it says only a handful of townships nationwide have from both credit rating agencies, will help on March 12 when it holds a competitive bond sale "to refinance approximately $10 million of its current outstanding bonds at overall lower interest rates," according to a township e-mail announcement.
Higher ratings translate into lower borrowing costs.
Lower Merion wants to hold another bond sale on April 2. Through that, the township is hoping to raise about $10 million in new money to put toward capital improvements.
"To be able to borrow money at the lowest possible interest rates the market will bear is so important to us as we make critical capital improvements," Board of Commissioners President Elizabeth Rogan said.
- Carolyn Davis