For Immediate Release Media Contacts: Collin Nash and Sid Nathan
World-Renowned Financial Watchdog Affirms AA Credit Rating for North Hempstead’s Solid Waste Management Authority
September 8, 2011 (516) 869-7794
S & P: Rating Reflects “Town’s Continued Strong Financial Position and Financial Management”
North Hempstead, NY—Supervisor Jon Kaiman and the North Hempstead Town Board announced last week that Standard & Poors has affirmed an AA credit rating for North Hempstead’s Solid Waste Management Authority (SWMA), a designation the world-renowned financial markets agency said reflects the Town’s “strong credit characteristics.”
“Considering the challenging fiscal climate municipalities, including our own, are coping with, we are extremely proud of the fact that the high marks given to SWMA’s credit rating mirrors North Hempstead’s solid financial foundation,” Supervisor Kaiman said.
The AA credit rating is an indication of North Hempstead’s SWMA’s strong capacity to meet its financial commitments, Standard & Poors said in a statement.
“The stable outlook reflects the strength of the service agreement between the Authority and the Town and the expectation that North Hempstead will continue to maintain strong financial operations,” S&P said in a statement. “We do not expect the rating to change within our two-year horizon as we believe the Town will continue to maintain strong reserves.”
Created in 1984, SWMA manages the Town’s solid waste disposal system, including the collection and disposal of North Hempstead’s municipal waste stream. SWMA contracts out the collection and disposal services and generates revenues from the tip fees collected for solid waste brought to its transfer station.
Last year, Moody’s Investors Service granted North Hempstead an Aa1 rating. The designation is the third highest possible rating.
First received by the Town in May 2005, the rating marks the highest in North Hempstead’s history. Not only is it an endorsement of the Town’s solid economic foundation but more importantly it also translates into lower interest rate costs.