A statement from Town Administrator Michael Blanchard on behalf of the Town of Dover:
The Town of Dover was recently notified that Moody’s Ratings has withdrawn its underlying credit rating for the Town as a result of the Town’s FY23 audit not being completed. The Town has been rated Aaa by Moody’s, and a credit rating is required when the Town issues bonds for capital projects.
The Town’s finance offices first became aware in June that Moody’s may take this action, but a lack of internal communication, coupled with difficulties in staffing in the Town’s finance offices and with the Town’s audit firm, delayed the completion of the audit. Town administration was first notified of this issue on the day that Moody’s withdrew its rating.
The withdrawal of a credit rating is not unique to Dover. Moody’s withdrew credit ratings of 61 municipalities it rates, including eight in Massachusetts, for similar issues.
The Town has been in contact with Moody’s and assured them that we will provide the audited financial statements once we receive them from our audit firm.
At the conclusion of their review, we are confident that Moody’s will restore Dover’s excellent credit rating.
Earlier borrowing will be unaffected. The Town’s finances are on a solid footing, which is why the Town has been rated Aaa, the highest possible municipal bond rating, for many years.
We take responsibility for the delays that led to Moody’s action. We are working diligently to address our staffing issues, conducting an administrative review of the situation and getting current on our financial reporting requirements.
Transparency and accountability are vital to our governance, and we understand the importance of maintaining our financial credibility. We promise to make the audit public and will follow any recommendations of our auditors in the interest of restoring the community’s confidence.