The City of Hoboken has received an excellent credit score.  Mayor Ravi Bhalla says that S&P Global Ratings reaffirmed the City’s excellent AA+ credit rating, the second highest possible rating for a municipality.  S&P has also given the City a short-term credit rating of ‘SP-1+’, the highest short-term rating that the prominent credit rating agency awards.                                                                                                                                            The report cited three reasons for Hoboken’s success:  First, a “very strong economy;” second, a “strong budgetary performance;” and third, a “strong institutional framework.” 
Mayor Bhalla, in a statement, said, “I am incredibly proud of our successful efforts in strengthening the City’s short-term and long-term fiscal health, all while continuing with major infrastructure upgrades to improve the quality of life for residents.  The recognition from S&P is further proof that my administration, in collaboration with the City Council, have gone above and beyond to protect the taxpayers over the past several years, as we continue to produce responsible budgets that maintain the well-being of our community.” 

In its credit report, S&P cited Hoboken’s “strong budgetary flexibility,” “very strong liquidity,” and “very weak debt and long-term liabilities” as additional factors in scoring. 

The ‘SP-1+’ short-term rating reflects S&P Global Ratings’ confidence in Hoboken’s “very strong capacity to meet principal-and-interest payments” when the 2024 Bond Anticipation Notes come due.  

Other factors taken into consideration by S&P Global Ratings included, Hoboken’s high credit rating to the strength of its residential tax base, cautious budgeting process,  commitment to fund balance growth, restoration following the COVID-19 pandemic, the City’s community reinvestments, investments to mitigate flooding, and water infrastructure improvements.