Brewster Locks In AAA Bond Rating For New Long-term Debt

July 23, 2025

by Mackenzie Blue

In November, construction crews were gearing up to get started on the work slated for Millstone Road, including a new sidewalk. Since then, crews have finished a chunk of the work and are forecast to finish paving this fall. FILE PHOTO

BREWSTER – Taxpayers in Brewster received good news last week. Town Manager Peter Lombardi announced a low interest cost on the long-term debt issued to finance $6 million in road maintenance projects.

On July 9, town officials received a final report from bond rating company S&P Global giving the town an AAA bond rating, the highest rating available. This was thanks, in part, to the town’s finance team and their comprehensive budgeting processes.

“S&P has provided Brewster with a stable outlook based on the expectation that the town will continue to maintain steady financial performance supported by prudent management and reliable local source revenues,” the official announcement read. “The AAA rating helps Brewster secure favorable interest rates, leading to long-term savings for our taxpayers.”

Before issuing any new long-term debt, officials must submit a thorough financial packet to the bond rating agencies, provide supplemental information and complete an interview regarding the town’s financial practices.

The rating is a reflection of a town’s economy as well as government finances. In this instance, Brewster’s financial outlook was deemed stable, along with historically positive financial operations, low debt burden, and healthy reserves.

On July 17, the town sought bids for $6.035 million in bonds to cover costs related to the Millstone Road project and the Vesper Pond private road betterment. The bidders take into account the credit rating of the town.

Brownstone Investment Group received the winning bid with the lowest interest rate of 3.332 percent. This means Brewster will pay less in interest over time, resulting in significant long-term savings for residents.

Due to a premium from the winning bid, the town will now only issue $5.7 million in new debt — $5.435 million for the Millstone Road project and $265,000 for the Vesper Pond project.

In 2016, town meeting approved $10 million in road projects.

“I want to acknowledge the awesome work of our finance team,” said Lombardi at the July 14 select board meeting. “Kudos to Mimi (Bernardo, finance director), Donna (Kalinick, assistant town manager), Lisa (Vitale, treasurer/collector) and Jim (Gallagher, deputy assessor) and everybody else for all their great work.”

Select board members met on Monday, July 21 to sign the road bonds and the private road betterment temporary note.

%> "