Rubio Campaign Press Release - Under Christie's Watch, New Jersey Has Suffered 9 Credit Rating Downgrades

Christie's Economic Record

The Facts:

"Credit rating firms have downgraded the state nine times under Mr. Christie's watch."

"Credit rating firms have downgraded the state nine times under Mr. Christie's watch, and New Jersey's job-recovery rate from the recession trails the national average. 'Nine downgrades,' Mr. Trump said. 'It's a disaster.'" (The Wall Street Journal, 12/21/15)

New Jersey's last credit downgrade came from Standard & Poor's in response to the release of Christie's budget.

"Another day, another debt rating downgrade for the state of New Jersey in response to Gov. Chris Christie's budget. Standard & Poor's today became the latest agency to downgrade New Jersey's credit rating, saying that shorting the state's public employee pension obligation, making rosy revenue forecasts that didn't come true and relying on one-shot budget measures have put 'additional pressure on future budgets.'" (The Star-Ledger, 9/10/14)

 "The state's borrowing costs compared with top-rated 10-year municipal bonds swelled as its credit rating fell nine times under Christie."

"The state's borrowing costs compared with top-rated 10-year municipal bonds swelled as its credit rating fell nine times under Christie thanks to the pension costs and revenue shortfalls. Only Illinois pays more, according to data on 20 states tracked by Bloomberg." (Bloomberg, 1/11/16)

In April 2015, Moody's downgraded New Jersey's credit rating due to "the state's weak financial position."

"New Jersey's credit rating has been downgraded again, this time by Moody's Investors Service. … Moody's said it downgraded New Jersey's bond rating because the state's weak financial position isn't improving, though it said the state's budget performance, economy and liquidity have seen some stabilization. It said the state budget's large structural imbalance is primarily related to continued shortfalls in the state's pension contribution." (Asbury Park Press, 4/17/15)

"Each of Wall Street's three major rating agencies have now lowered their assessment of New Jersey's fiscal health three times since Gov. Chris Christie took office, more than any other New Jersey governor." (Asbury Park Press, 4/17/15)

Moody's also warned that it has still maintained its negative outlook on New Jersey's credit, "meaning another downgrade could be on the horizon."

"Moody's also maintained its negative outlook for New Jersey's credit, meaning another downgrade could be on the horizon. 'The negative outlook reflects our expectation that the state's financial and pension position will weaken further before pension reform, if successful, is implemented,' Moody's said in a report issued Thursday night. 'Without meaningful structural changes to the state's budget, such as pension reform that dramatically improves pension affordability, the state's structural imbalance will continue to grow, and the state's rating will continue to fall.'" (Asbury Park Press, 4/17/15)

"Illinois is the only state with a lower credit rating than New Jersey."

"New Jersey's credit rating is still considered investment grade but is at the sixth lowest level for all three agencies, Fitch, Moody's and Standard and Poor's. Illinois is the only state with a lower credit rating than New Jersey." (Asbury Park Press, 4/17/15)

"Downgrading a credit rating makes it more expensive for the state to borrow to fund things like road improvements and school construction, since lenders are likely to impose higher interest rates."(The Star-Ledger, 9/10/14)