Parsippany Maintains Bond Rating During Pandemic

PARSIPPANY, NJ - The Township of Parsippany-Troy Hills has maintained its Aa2 Bond rating from Moody’s Investors Service, even despite the ongoing COVID-19 pandemic, and budgetary challenges affecting municipalities across the country.

Maintaining the Township’s “High grade” bond rating allows Parsippany to finance key projects, with positive impacts for taxpayers, officials said.

A bond rating is a letter-based credit scoring system used to judge the quality and creditworthiness of a bond. A rating agency assigns a municipal bond a credit rating to make it faster for market participants to evaluate risk. Similar to how banks and lenders assess an individual’s credit score and lending risk, the bond rating makes investment decisions easier for investors.

“Parsippany’s financial outlook is finally on an upward trajectory,” said Mayor Michael Soriano. “The Township’s stability through 2020 demonstrates that Parsippany’s finances are finally being adequately managed. Due to the hard work and long-term decision-making of our finance team, administration, and bipartisan Council, Parsippany is weathering the storm effectively now, and building towards a stable, sustainable future.”

Moody’s assigned Parsippany’s Aa2 rating to the Series 2020 General Obligation Bonds, maintaining its Aa2 rating on the Township’s outstanding General Obligation debt. The COVID-19 pandemic has caused devastation throughout the economy in every community, and government finances have not been spared, however investors believe that Parsippany’s bonds are a safe and secure investment going forward.

For more information on Moody’s and their ratings methodology, visit the website.

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