Nassau County, New York, sold $253.8 million in bonds to finance various capital improvements.
The bonds mature between 2026 and 2054, yielding between 3.13% and 4.43%. They received a rating of Aa2 from Moody’s Investors Service, AA- from S&P Global Ratings, and AA from Fitch Ratings, which updated the county from AA-.
Fitch analysts wrote that their upgrade reflects the county’s “improved financial resilience.”
This is not the first time that Nassau County has issued bonds soon after a rating upgrade—a move that can result in lower costs for the county with investors more confident in its ability to pay back debt. In 2022, the county sold $241 million in bonds just weeks after being upgraded to A2 by Moody’s and AA- by S&P.
The county will use the issuance proceeds to upgrade its infrastructure and make public safety improvements. Over the next three years, the county is planning to resurface 125 lane miles of its roads annually and make major investments in bridges and marsh restoration, according to the official statement accompanying the sale of the bonds.
Nassau County is home to 1.4 million people, making it one of the most populous counties in New York. It is on Long Island, bordering New York City to the west. The bonds are general obligations of the county, backed by its full faith and credit.
J.P. Morgan Securities LLC served as underwriter on the issuance. PFM Financial Advisors LLC acted as municipal advisor.