Fitch Ratings Inc. this week reaffirmed Suffolk County Water Authority’s AAA bond rating for 2021. SCWA’s rating remains among the top one percentile of water suppliers in the United States.
The independent rating agency reviewed all aspects of SCWA finances and operations before re-affirming its AAA rating. This designation means SCWA will benefit from the lowest possible interest rates when entering the bond market to fund critical capital projects.
“It’s an affirmation of the great job the Water Authority Board does as fiduciaries,” said SCWA Chairman Patrick Halpin. “It’s great news for us of course, but it’s even better news for our ratepayers. This decision by Fitch makes SCWA very attractive in the bond market, and that will help us keep our water rates low.”
SCWA uses bonds to fund key infrastructure projects such as new pipelines, wells, and critical water treatment technologies that maintain the quality and safety of the county’s water supply.
“Suffolk residents can be assured they are served by a public utility that uses their money responsibly,” added SCWA CFO Elizabeth Vassallo. “We have a long history here of AAA ratings and fiscal responsibility. We’re glad to see the independent professionals at Fitch recognized this in their analysis.”
The Fitch report went on to reference SCWA’s favorable capital planning and strong management history. The COVID-19 pandemic did not result in a significant impairment to SCWA’s revenue or cost profiles, the agency affirmed. To view Fitch's entire rate action commentary, click here.
The Suffolk County Water Authority is an independent public-benefit corporation operating under the authority of the Public Authorities Law of the State of New York. Serving approximately 1.2 million Suffolk County residents, the Authority operates without taxing power on a not-for-profit basis.