Bond rating and the regional school budget

Warren Township announced on September 1, 2026, that Moody’s Ratings had reaffirmed its Aaa bond rating for a ninth consecutive year. The Township stated that it first reached Aaa in November 2017.

The 2026 User Friendly Budget, prepared before that review, lists gross debt of $26,750,482.02 (OCR). It lists deductions of $10,569,018.25 (OCR) and net debt of $16,181,463.77 (OCR). This net debt is 0.29% of the three-year average valuation of $5,539,442,251.67 (OCR). Per capita net debt is $1,016.23 (OCR).

The current fund surplus was $4,816,285.63 (OCR) on December 31, 2025. This is up from $4,674,865.07 (OCR). The 2026 budget uses $2,600,000 of surplus as revenue. It carries $1,675,017.70 (OCR) for municipal debt service and $347,874.91 (OCR) in the sewer utility.

Watchung Hills Regional High School’s budget for 2026/27 totals $56,126,677 (OCR), including the grants fund. This is up $2,095,686 (OCR), or 3.88%. The general fund is $51,502,743 (OCR). The tax levy is $37,659,870 (OCR), up $1,429,978 (OCR), or 3.95%.

Warren’s share of the regional tax levy is $22,803,572. This is up $833,507, or 3.79%, from $21,970,065. The district rate in Warren falls from $0.3597 to $0.3470 per $100. District taxes on the average home rise $58.22. They go from $3,488.04 to $3,546.27. (WHRHS tax analysis figures OCR.)

The district presented its budget to the Township Committee on April 16, 2026. The Committee took no vote on it. The regional board approved the budget after a public hearing on April 28, 2026.

LocalWhy has not reviewed the Moody’s rating report; the Township’s September 1 press release states the action. The 2026 state budget form lists Aaa from Moody’s with a 2025 rating year and AAA from S&P with a 2024 rating year.