The Town of Smithtown has secured yet another excellent grade on any municipality’s report card: the retention of the best bond rating achievable.
Moody’s Ratings has designated the best possible credit rating for Smithtown for the eighth year in a row. The AAA bond rating is for its 2026 Public Improvement Serial Bonds, obtainable only by fiscal discipline in budgeting, future-oriented infrastructure and economic development projects, and overall respectable financial stewardship. The rating is also a reflection of a strong local economy.
“These are not abstract metrics; this is what responsible governance looks like in action,” said Supervisor Ed Wehrheim (R-Kings Park) in a statement. “This AAA rating is a significant achievement for our Town and a direct reflection of the thoughtful, responsible decisions we’ve made on behalf of our residents. Earning and maintaining Moody’s highest rating speaks volumes about our commitment to fiscal integrity, smart planning, and delivering real value to taxpayers.”
Wehrheim added that the Town is “investing where it matters, strengthening…downtowns, and positioning Smithtown for long-term success without compromising financial stability.”
Wehrheim expressed his thanks for an indispensable team, including Town Comptroller Paul Rubano and his team’s “unwavering dedication, meticulous financial stewardship, and commitment to keeping Smithtown on a path of strength and stability.”
Smithtown has a projected $2.6 million operating surplus from FY2025 leading into FY2026, as well as stable reserves, a manageable debt profile, and the Town’s position that’s on par with some of the nation’s top-rated municipalities.
A large aspect of Moody’s credit ratings are infrastructure projects and forward-thinking goals that show the Town’s prerogative to treat government like a business rather than bureaucracy, which is then reflected by residents who continue to spend their money in Smithtown.
Moody’s notes that while Smithtown has been approximately “94.5% developed since the turn of the millennium,” the Town is making stable progress with the ongoing downtown revitalization initiatives in Kings Park, Smithtown, and St. James. Moody’s also takes into account Smithtown’s priority of getting residents and businesses alike off antiquated septic systems, which not only drives a varied business portfolio in Town but shows that Town leaders are committed to environmental sustainability.
“The reaffirmation of Smithtown’s AAA rating delivers a clear, independent validation of the Town’s financial management, once again disproving the narrative of mismanagement often echoed by political opposition,” said a Town spokesperson in a statement. “Moody’s doesn’t deal in rhetoric; they deal in facts. And the facts are clear: Smithtown is financially strong, well-managed, and moving in the right direction.”
Capital projects include wastewater and stormwater upgrades in the three downtown business districts, streetscape improvements, enhancing Town facilities and amenities, streamlining operations to cut redundant costs, and the renovation of nearly all the Town’s parks – a personal mission for Supervisor Wehrheim who got his start in the Town Parks Department nearly forty years ago.
The top-notch bond rating will continue to allow the Town to borrow for those projects for pennies on the dollar, without having to charge residents directly or eat through budget surpluses. Keeping a healthy rainy-day fund is also a large aspect of any municipality’s eventual credit rating.
“As Smithtown moves forward into its next chapter of growth and prosperity, we remain steadfast in our mission to uphold the highest standards of financial stewardship, responsible investment, and community-driven progress,” said Wehrheim.
