Moody’s says N.J. pension fund shows severity of credit status
DECEMBER 3, 2014, 2:20 PM LAST UPDATED: WEDNESDAY, DECEMBER 3, 2014, 2:20 PM
ASSOCIATED PRESS
TRENTON — A rating agency says New Jersey’s unfunded pension liabilities show the severity of the state’s credit circumstances.
Moody’s finding comes after the state’s recent announcement that public pension liabilities nearly doubled to $83 million, due to new accounting rules.
The agency laid out its concerns in a report released this week. Among the concerns it raises are the possible depletion of public worker and teacher pension funds by 2024 and 2027, respectively.
Despite the concern, Moody’s says the new liability figure is in line with its own calculations.
Moody’s says it has downgraded the state’s credit rating twice, in part due to the pension fund.
