At Tuesday night's meeting, the town of Grand Chute was informed the town's rating for credit purposes remained at AA3.
What does this mean?
According to Moody's Bond rating:
"Bonds which are rated Aaa are judged to be of the best quality. They carry the smallest degree of investment risk and are generally referred to as "gilt edged." Interest payments are protected by a large or an exceptionally stable margin and principal is secure. While the various protective elements are likely to change, such changes as can be visualized are most unlikely to impair the fundamentally strong position of such issues. "
This is one of the highest ratings a municipality can achieve. This rating directly affects the bargaining power a town has for its interest rates, both borrowing and the return on the bonded monies we currently have in reserve. This rating is an indication to lending institutions as to how financially secure municipalities are.
There is only one other town in the state of Wisconsin that has as high of rating as Grand Chute.
In the words of Ehlers & Associates, the town is doing very well. Its nice to see that in these financially trying times, our town is remaining financially strong. I am committed to continuing this trend.
If you are interested in seeing the detailed report, it is available for review at the town hall.
