LYNN — The city has received an A bond rating by the Standard & Poors Global Rating system, the mayor’s office announced Wednesday.
The rating is up from the A- that it had when Mayor Thomas M. McGee took office in 2018. The city’s reserve accounts have increased from $1 million that year to nearly $28 million in 2021.
The S&P Global Ratings Report noted that the rating upgrade is reflective of the city’s “ongoing positive operating results through the pandemic, supported by continued strengthening in its financial monitoring and budget development tools, leading to a growth in reserves.”
“I am extremely proud of the work we have done over the last three and a half years to get the City of Lynn in a more positive financial position,” McGee said. “It has been a challenge to arrive where we are today; however, I am hopeful that given our current position, we will be able to make some significant investments in capital projects such as building a new Pickering Middle School.”
Lynn has made drastic progress to build back toward a balanced budget since 2018, when it borrowed $14 million from the state to cover operating expenses. Since then, the city has hired a full-time chief financial officer and implemented a collaborative multi-month budget process.
The city’s tax base has also grown in recent years with investments in redevelopment of the downtown and waterfront and the creation of a Capital Investment Plan in 2019.
