Rockland County, identified as the most fiscally stressed government in New York in a survey last year by the state comptroller, said Monday's upgrade from Moody's Investors Service may mark a turning point.
"After four years of downgrades and projections of worsening finances, Moody's has taken positive action regarding Rockland County," county executive Ed Day said in a statement after Moody's raised Rockland's general obligation bonds to Baa2 from Baa3. "This improvement reflects the commitment of my administration to rebuild the county's fiscal foundation and streamline operations, including millions in actual payroll savings, since January 1st."
Among other things, Moody's pointed to the county's improved budgeting and management practices, liquidity and strong state oversight. The rating agency changed the outlook on the bonds to positive from stable.
The upgrade "is confirmation that my administration's strategic cost-saving measures and consolidations - including the pending sale of Summit Park Hospital and Nursing Care Center for $36 million and the transfer of mental health inpatient service to Nyack Hospital - are helping to turn the corner toward stabilizing the county's finances," Day said. "We will continue to work diligently to ensure that the county's bond ratings remain strong and stable. We're moving in the right direction!"
The improved bond rating should lead the county to be able to issue debt at lower interest rates, thereby saving money for taxpayers, the county said in a statement.
In September of last year New York Comptroller Thomas DiNapoli named Rockland as the most stressed government on his list of roughly 1,000 New York governments.
