Moody's Investors Service said it upgraded Sunnyvale Elementary School District, Calif.'s general obligation bond rating to Aa1 from Aa2.
It assigned a Aa1 to Sunnyvale's $63.4 million 2015 general obligation refunding bonds.
The stable outlook has been removed.
The upgrade to Aa1 reflects the district's strong financial position that is expected to remain stable, continued movement further into basic aid status, large tax base that is expected to experience moderate growth and strong management.
The Aa1 rating incorporates the district's sizeable tax base, strong wealth levels, healthy financial position, and modest debt burden and pension liabilities.
The rating also notably reflects the strength of the voter-approved, unlimited property tax pledge securing California school district GO bonds and the well-established levy and collection history for the debt service levy. The county rather than the district levies, collects, and disburses the district's property taxes, including the portion constitutionally restricted to debt service on general obligation bonds.
