Moody's Investors Service said it has downgraded to A2 from A1 Bingham County School District 55 (Blackfoot), Idaho's general obligation debt (Idaho State Bond Guaranty and Credit Enhancement Programs), affecting $6.1 million in rated debt.
Moody's maintains a Aaa enhanced rating on the district's rated debt outstanding. The district also has $0.78 million in privately placed debt not rated by Moody's.
The downgrade to A2 on the district's underlying rating primarily reflects the district's weakened financial position as a result of poor financial management oversight and failure to make budget corrections during the course of the school year. The rating also incorporates the district's small and rural tax base, below average socio-economic indicators, and declining enrollment trend.
