The Town of Smithtown has once again secured a AAA bond rating for its 2026 Public Improvement Serial Bonds — the highest rating that can be achieved. Moody’s reaffirmed Smithtown’s AAA bond rating, citing stable financial operations, a strong local economy, and responsible management of long-term liabilities
“These are not abstract metrics… this is what responsible governance looks like in action,” said Town Supervisor Ed Wehrheim. “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.”
According to Moody’s, Smithtown’s financial operations continue to trend positively, with a projected $2.6 million operating surplus in fiscal year 2025 and a conservative, balanced approach to the 2026 budget.
The agency also highlighted the town’s manageable debt profile, stable reserves, and strong economic base, noting that local income levels and property values remain consistent with top-rated municipalities nationwide. Most importantly, Moody’s recognized the town’s ongoing infrastructure initiatives, particularly sewer investments in key downtown corridors as catalysts for measured, sustainable growth over the next five years.
“Earning and maintaining Moody’s highest rating speaks volumes about our commitment to fiscal integrity, smart planning, and delivering real value to taxpayers,” Wehrheim said. “We are investing where it matters: strengthening our downtowns, and positioning Smithtown for long-term success without compromising financial stability.”
Last year’s Moody’s report credited Smithtown for identifying and executing critical capital improvements designed to strengthen the local economy and deliver a meaningful return on investment for taxpayers. This year’s reaffirmed AAA bond rating further validates the administration’s approach, citing a strong economic base, sound fiscal policies, and a manageable long-term liability profile, according to the town.
While Smithtown has been approximately 94.5% developed since the turn of the millennium, the town is well-positioned for sustained prosperity, with targeted downtown revitalization efforts underway in Kings Park, Smithtown, and St. James — initiatives that continue to promote economic stability and community investment. Moody’s analysts also point to the transition from outdated septic systems to modern sewer infrastructure in these business districts as a key driver in strengthening the local economy, attracting private investment, and supporting resilient property values over the past five years.
This distinction allows Smithtown to continue securing the most favorable financing for capital projects, ensuring that critical improvements can move forward without placing unnecessary strain on taxpayers. From parks and open space preservation to roadway enhancements, stormwater infrastructure, and downtown revitalization, each investment is guided by a clear objective: to deliver lasting value to residents while safeguarding the town’s financial position.
Over the past year, the town has continued to prioritize capital improvements that support economic growth, enhance property values, and improve quality of life across all hamlets. The town has made ongoing upgrades to the park system, including enhancements at key recreational facilities and community spaces, while also supporting surrounding small businesses.
Environmental stewardship remains a central focus, with continued investments in drainage infrastructure, resiliency planning, and the protection of sensitive natural resources. These efforts not only mitigate future risks but also preserve the character and ecological health of the community for generations to come.
Downtown revitalization initiatives in Kings Park, Smithtown, and St. James continue to gain momentum, driven by infrastructure improvements, streetscape enhancements, and the expansion of modern sewer systems. These projects are unlocking new opportunities for private investment, supporting local businesses, and reinforcing a vibrant, sustainable economic base.
“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,” Wehrheim said.