Article: New Jersey School Districts Score Moody's Upgrade.(Brief Article)(Statistical Data Included)

Moody's Investors Service Tuesday upgraded $4.1 billion of bonds sold by New Jersey school districts to Aa2 from Aa3, citing the strength in the "Chapter 72" fund that secures the debt. The Chapter 72 program, created in 1980, was designed to provide funds for school-related needs as part of the state's Fund for Support of Free Public Schools, said Yaffa Rattner, an analyst at Moody's. Other chapter programs stemming from this larger fund are rated Aa2by Moody's. Revenues to fill the Chapter 72 fund are drawn from the sale and rental of designated land, and from interest the fund generates. "The asset pool is very large and liquid," Rattner said. Standard & Poor's rates ...

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