November 21, 2013 - Sandy Recovery - Leading Bond Rating Service Says Christie Administration’s Sandy Recovery Efforts Help Enable Local Governments to Maintain Credit Rating
Leading Bond Rating Service Says Christie Administration’s Sandy Recovery Efforts Help Enable Local Governments to Maintain Credit Rating
Credits State with Playing Crucial Oversight Role and Actively Helping Recovery Efforts
Trenton, NJ –A leading bond rating agency has determined that Sandy-impacted municipal governments in New Jersey are maintaining their bond ratings and access to bond markets due, in part, to the state’s role in providing them with assistance.
An analysis by Moody’s Credit Outlook released November 4 titled, “New Jersey Municipalities Benefit from Post-Sandy State and Federal Aid,” said the rating service expects “the credit quality of the state’s affected local governments to remain intact.” The bond rating agency also reported the state is playing a crucial oversight role and expects the New Jersey Department of Community Affairs’ Division of Local Government Services to “remain active in helping recovery efforts and advising issuers on how to apply for federal loans and aid.”
“Government aid is flowing,” said the analysis. “Both federal and state money continue to alleviate liquidity constraints and capital needs that the storm created.” The analysis said most local governments in the state have low debt burdens and access to bond markets.
“The Moody’s analysis demonstrates the tremendous work our Division of Local Government Services has been doing since Sandy hit our state,” said New Jersey Department of Community Affairs (DCA) Commissioner Richard E. Constable, III, whose Department is administering many of the state’s Sandy Recovery programs. “The Division has been instrumental in helping Sandy-impacted local governments apply for FEMA assistance programs. It has also created Essential Services Grants, a critical recovery program that has helped hard-hit municipalities continue providing basic services to its residents until they can return to full strength.”
A copy of the Moody’s analysis is attached, along with its disclaimer. The analysis can also be accessed at www.moodys.com,
For more information on Essential Services Grants, log on to http://www.nj.gov/dca/divisions/dlgs/lfns/13/2013-15.pdf.