Moody's Affirms Maplewood Twp., NJ's Aa2 GO Rating; Removes Negative Outlook

Moody's Investors Service has affirmed Maplewood Township, NJ's Aa2 rating for its general obligation debt. Moody's has furthermore removed the Township's negative outlook.

The affirmation of the Aa2 reflects the Township's large residential tax base characterized by robust socioeconomic indicators along with stable financial operations. While the debt profile is elevated compared to its peers, amortization is rapid.
The removal of the negative outlook reflects the township's improved financial position which is supported by its willingness to increase primary revenue sources.
Rating Outlook
Due to the removal of the negative outlook, there is no longer an outlook on this credit. Outlooks are not usually assigned to local government credits with this amount of debt outstanding.

Factors that Could Lead to an Upgrade
Consistent growth in reserves and liquidity
Material increase in tax base

Factors that Could Lead to a Downgrade
Reduction in tax base
Deterioration of socioeconomic features
Material decline in reserves and liquidity
Legal Security
Debt service on the GO bonds are secured by the township's general obligation unlimited ad valorem tax pledge.
Use of Proceeds