UTICA — For the fourth time during the Palmieri administration, Utica’s credit rating has been upgraded and is now the highest rating the city has received since 1987.

Standard & Poor, one of the largest credit rating agencies, released a report last Thursday giving the city an “A” rating, showing that the city’s finances are stable. The report also reflected the city’s significant growth in multiple sectors, including market value, residential and commercial economy, as well as the nine consecutive budget surpluses, as justification for the upgrade.

“The news that S&P has given us an ‘A’ rating is exciting to me and is great news for everyone who cares about Utica,” said Utica Mayor Robert Palmieri. “Considering where our finances were historically, this is a monumental turnaround. Fifty percent growth in ten years is unprecedented.”

Higher credit ratings will mean lower interest rates on borrowing and ultimately lower costs for the taxpayers of the city. The city’s fiscal budget, which was passed by the Utica Common Council on March 20, did not include a tax increase for residents, making it the fifth consecutive year that residents did not receive a tax increase.

“The move by Standard & Poor’s to upgrade Utica’s bond rating is a testament to Mayor Palmieri and the city’s prudent fiscal policies. The upgrade will save taxpayers money on interest and shows the city is worth investing in,” state Comptroller Thomas DiNapoli said. During Palmieri’s final State of the City address that took place on April 4, DiNapoli made a virtual appearance to announce that Utica has received a Fiscal Stress Score of 0, a significant achievement over the past 11 years, as Utica’s score was 73.8 in 2012, indicating significant financial stress.

In addition to inheriting the high Fiscal Stress Score upon becoming mayor, Palmieri noted during his address that City Hall had to borrow $8 million just to make payroll, the city’s general fund balance was negative $15,000 and that city taxpayers were facing significant tax increases. During Palmieri’s three terms as mayor, his administration was able to bring the city’s general fund balance to over $14 million and give city taxpayers a tax cut in the 2018-2019 fiscal year.

“The City is now in a financial position that makes it possible to give our residents the security and the services they deserve,” Utica Budget Director Heather Mowat said. “The turnaround over the last decade is the result of discipline, diligence and great partnerships. We’re positioned well for the present, but also better position for the future than at any time in recent memory.”