The ratings agency S&P Global Ratings has raised the bond rating of Newark Public Schools from BBB+ to A-, an indication of the school district’s fiscal responsibility and stable financial outlook, according to a news release issued by New Jersey’s largest school district.
In its report of the upgrade, S&P Global Ratings noted that it comes amid significant economic challenges in the Newark community and factors beyond the control of the school district or its board of education. “Despite these challenges,” the report said, “the district’s finances have improved over the past few years, and it maintains robust budget monitoring procedures that have supported operational balance.”
“This is a huge shot in the arm for our district,” said Superintendent Roger León. “The rating increase will let us get the best possible terms of funding for any major capital projects approved by our citizens. That will benefit our taxpayers, our community, and ultimately our students and their families.” He credited the Office of the School Business Administrator and its team for its ongoing work to monitor spending and improve the district’s fiscal practices. The district has received the Meritorious Budget Award from the Association of School Business Officials International for the past two years.
Board President Hasani K. Council said, “This A- rating is a testament to the steadfast commitment of our district’s leadership and fiscal responsibility. The Newark Board of Education is proud of the hard work that has resulted in this recognition, particularly School Business Administrator Valerie Wilson and all of the district staff members dedicated to ensuring the district’s financial health.”
Newark Public Schools dates back to 1676 and enrolls over 39,000 students in 63 schools. After more than two decades of state operation and upon return to local control in 2018, the district has opened 10 new schools.
