The Pleasanton Unified School District (PUSD) received an updated credit rating from Standard and Poors, moving from an ‘A+’ to ‘AA-’, with a stable outlook, as it closes out another successful calendar year.
The Standard and Poors rating report reads “... supporting the upgrade is the District’s strong and stable budgetary performance … Our view of the district’s financial management practices and policies have improved.” The upgraded rating follows years of balanced budgets for PUSD built on conservative assumptions and planning for economic uncertainties.
The report continues to note that “based on unaudited fiscal 2019 results, the district anticipates realizing a 1.7% operating surplus. Management notes the surplus was driven by conservative budget assumptions and salary savings.”
At the end of the updated credit rating report, Standard and Poors shares information related to actions needed to further raise PUSD’s credit. The report finishes with “We could also raise the rating if the district is able to obtain more revenue diversity outside of state-aid revenues, such as a parcel tax and foundation or basic aid status, decreasing its exposure to potential state funding volatility.”
The District received an upgraded credit rating from Moody’s, AA with a positive outlook, earlier in the year, as well as a clean annual audit for Measure I1 expenditures.
“We’re proud that the District’s strong fiscal stewardship is translating to credit rating increases which will support our ability to get lower interest rates that represent savings to the Pleasanton taxpayers,” said Superintendent David Haglund. “We continue to appreciate the overwhelming support from our community and will continue to keep their best interests at heart as we serve as fiscal stewards for our students and future generations.”