The City of North Bay has once again maintained its Aa2 credit rating with a stable outlook with Moody’s Investors Service. According to Moody’s latest report, the rating is reflective of “prudent fiscal planning and stable operations” as well as North Bay’s diverse economy, " said Mayor Al McDonald in a news release.
"The report recognizes that the Mayor’s 2016 budget plan “allows the City the opportunity to continue to operate on a consistent basis with reasonable property tax levy increases for the next three years” and noted that Moody’s will continue to monitor the long term planning developments of the City over the next several years for the creation of a long term sustainable plan to address the ongoing pressures facing the municipality. “At the time of introducing the plan, I recognized that it was only a starting point for the City and Council is working on a number of initiatives, including the development of a long term financial plan, to deal with the pressures on a longer term basis” acknowledges McDonald.
A copy of the report was not made available to the public or media to confirm the mayor's conclusions.
That concerns Don Rennick of the Taxpayers Association.
"Council and staff are paid to keep our collective finances in order and doing that is an expectation not an occasion for self promotion.The report from Moody’s’ means one thing and one thing only; if creditors lend the City of North Bay they are 95% sure of getting your money back. This credit report is not an endorsement of the way the City operates nor is it a indicator of what value for money that citizens are receiving.
"Our association is interested in seeing citizens receiving value for money. In addition, this report only examines City finances. Since the City has just voted itself a $25 million windfall from Hydro, it is obvious why their cash flows are in such great shape. But taxpayers are on the hook for the money through their hydro bills.
