East Hartford, CT—Mayor Mike Walsh announced that Moody’s Investors Service has assigned a Aa3 issuer rating to the Town of East Hartford. Moody’s also confirmed the town’s Aa3 general obligation unlimited tax (GOULT) rating. This action concludes a review that was initiated on November 3, 2022 in conjunction with the release of the US Cities and Counties Methodology.

“We are pleased to know Moody’s has left us at Aa3 and we appreciate their interest in and the recognition of the economic development underway in our town,” said Mayor Mike Walsh. “This rating reflects the Town’s continued economic growth and is a testament to our historically well-maintained financial flexibility.”

This rating reflects the town's financial position, which includes below average, but stable reserves and liquidity. Operating balance will likely continue, given the town's effective management and strong financial practices. This includes conservative budgeting and mandatory application of surpluses to pay down unfunded OPEB liabilities.

“East Hartford’s rating is a testament to the town’s historically strong financial management, well-established practices, and a history of producing positive operating results, which we will continue and strengthen in the years to come,” said Finance Director and Chief Administrative Officer Melissa McCaw.

The town also benefits from the flexibility to raise revenues through taxation, though its use of this lever has been minimal as evidenced by its tax rate, which is among the bottom third of the state. The receipt of one-time federal dollars for education and ARPA have materially and temporarily boosted cash and reserves in fiscal 2022. However, we anticipate that net of these effects, the town will continue to maintain no less than 10% unassigned reserves and balanced operations before transfers for OPEB.