Utica Receives Fourth Upgrade, Highest Credit Score in Decades

UTICA—Utica Mayor Robert M. Palmieri announced that the City of Utica received its fourth credit upgrade from Standard & Poor’s since he became mayor in 2012. The A (Stable) rating is the highest credit rating S&P has given the City of Utica since at least 1987.

The report, released on Thursday by S&P, also states that the City of Utica’s market value has grown over 50 percent in the last decade. S&P also cites the growing residential and commercial economy and the City’s nine consecutive budget surpluses as reasons for the upgrade.

Going forward, higher credit ratings will mean lower interest rates on bowering and ultimately lower costs for the taxpayers of the city. Thus far, the City cut taxes in the 2018-2019 budget and hasn’t raised taxes in four of the last five years.

The credit upgrade follows an announcement earlier this week by New York State Comptroller Thomas DiNapoli that Utica achieved a Fiscal Stress Score of 0 for the first time since DiNapoli has released municipal Fiscal Stress Scores. For context, Utica’s score was 73.8 in 2012, indicating significant stress.

In 2012, the City of Utica had a negative $15,000 fund balance, and now its fund balance is over $14 million. Palmieri credits economic growth, growth in sales tax and property values and conservative fiscal policy for the economic turnaround over the last decade.

Utica Mayor Robert M. Palmieri said: “The news that S&P has given us an A rating is exciting to me and is great news for everyone who cares about Utica. Considering where our finances were historically, this is a monumental turnaround.  Fifty percent growth in ten years is unprecedented.  The crucial investments that we’re now able to make could have never happened with our prudent, responsible budgeting.”

NYS Comptroller Tom DiNapoli said: "The move by Standard & Poor's to upgrade Utica's bond rating is a testament to Mayor Palmieri and the city's prudent fiscal policies. The upgrade will save taxpayers money on interest and shows the city is worth investing in. My congratulations go to the city for reaching this milestone."

Utica comptroller William Morehouse said: “The partnership between Mayor Palmieri and myself has been strong and we’ve both focused on getting the City of Utica in a position where we were financial stable. The upgrade by S&P proves that we’re on the right path. Our residents will see the benefit of growth and stability in a more efficient, capable City of Utica.”

Utica Budget Director Heather Mowat said: “This is a big deal. The City is now in a financial position that makes it possible to give our residents the security and the services they deserve. The turnaround over the last decade is the result of discipline, diligence and great partnerships. We’re positioned well for the present, but also better position for the future than at any time in recent memory: