May 27 2021
Middletown Township is pleased to share it has again earned a "triple-A" (Aaa) credit rating from Moody's, the highest possible credit rating offered by the agency. Middletown earned its first triple-A rating from Moody's in November 2019. A credit rating is issued before a government agency borrows money. Despite nationwide economic challenges and many credit downgrades issued to other municipalities, Middletown is proud to maintain its credit rating. Key factors to Moody's rating include strong financial reserves, sound management, and a persistent local economy.
Middletown Township issued the Series of 2021 General Obligation Bond in May 2021 to refinance the 2016 General Obligation Bond. Interest rates are near record lows, meaning agencies may borrow funds and pay less in interest while the debt is repaid. With Middletown's best-possible credit rating and strong financial reputation, the Township's bonds were highly desirable to lenders. The Township is borrowing at an interest rate at less than 0.5%. Refinancing the Township's 2016 bonds, coupled with a very low interest rate, resulted in nearly $300,000 in savings. The Township did not borrow any additional funds.