To The Editor:

Much as a homeowner might refinance her mortgage to take advantage of favorable interest rates, so do local governments with regards to their municipal bonds.  Board of Trustees authorized our Village Treasurer to refinance two outstanding bonds, as reported in a letter to the Gazette by Deputy Mayor Ann Gallelli on February 8th.  I am happy to report that this refinancing will yield hundreds of thousands of dollars in savings for our Village and reaffirmed the strength of our Village’s credit.

This refinacing was rated Aa2 by Moody’s, an independent rating agency.  In it’s analysis of our Village’s credit, Moody’s reported: “The Aa2 issuer rating reflects the village’s moderate and stabilizing tax base favorably located in Westchester County (Aa1 negative) and strong financial position supported by conservative fiscal policies.”

This strong bond rating and favorable market conditions has enable the Village to refinance at rates more favorable than previously anticipated.  Consequently, the Village will realize net savings on debt service in excess of $350,000 over the 10-year life of the new bonds.

I would like to thank the Village Treasurer and Manager who brought this opportunity to our attention and Board of Trustees whose fiscal stewardship and oversight has preserved our robust rating.

There are many competing demands on our Village dollars–for recreation, infrastructure, and public safety. We are always looking for opportunities, such as this, to enhance our ability to meet these demands.

As we approach the upcoming budget process (culminating its adoption on April 15th), I look forward to working with our Village’s professional staff and my colleagues on the Board of Trustees to continue to balance the needs the of the Village and maintain our community’s fiscal health.

Sincerely,

Brian Pugh