Tolland Earns Financial Praise From Major Ratings House

TOLLAND, CT — A major municipal financial ratings service has given Tolland's financial matters a high rating in three areas.

The announcement was made Tuesday. Tolland underwent a rigorous review last week.

S&P Global Ratings has assigned an AAA long-term rating to Tolland's approximately $2.64 million series 2022A general obligation bonds, town officials said.

Meanwhile, S&P assigned its ST-1 short-term rating to the town's roughly $9.17 million general obligation bond anticipation notes.

At the same time, S&P Global Ratings affirmed its AAA long-term rating on the town's existing general obligation debt.

The outlook is stable, according to S&P.

“We have worked hard and we have worked strategically through many, many challenges," said Lisa Handcock, Tolland's director of finance and records and treasurer. "Tolland’s GO bonds have been rated above the sovereign because we have better credit characteristics than the nation in a stress scenario. This is an outstanding position in which to be."

The S&P Global Rating Board said Tolland has:

• A Very strong local economy and a primarily residential property tax base with increasing commercial development
• Consistent finances, continuing support of very strong reserves backed by positive financial operations
• Robust, very strong management with strong financial-management policies and practices under their Financial Management Assessment methodology and strong Institutional Framework, which continues to support strong finances
• Moderate debt with limited retirement-plan liability due to a lack of a defined-benefit pension plan

The complete Standard & Poors bond rating report may be viewed at: https://www.tollandct.gov/finance-department/pages/debt-management-bond-issues

"We, as a town, are very proud of this moment and rating. The superior rating is completely a reflection of the incredible work of Ms. Hancock our finance director, as well as the town staff," Tolland Town Manager and CEO Brian Foley said. "Also, the structure and financial policies that are put in place and strictly adhered to by our town council have positioned us to be as strong as our rating indicates. The ratings process that we went through last week encompasses many things including education, public safety, leadership and of course fiscal management. The progressive focus of our town’s planning & zoning and economic development was also key in our evaluation. This is another very proud accomplishment for Tolland."