Moody's Investors Service said it has upgraded to Aa3 from A1 the underlying rating on Clear Creek-Amana Community School District, Iowa's general obligation debt, affecting $22.1 million.

Concurrently, Moody's has assigned a Aa3 rating to the district's $7.2 million GO school refunding bonds, Series 2012B. Post-sale, the district will have $23.3 million of GOULT debt outstanding, of which $22.1 million is rated by Moody's.

The bonds are secured by the district's general obligation unlimited tax pledge. Proceeds of the bonds will refund for expected interest savings a portion of the district's Series 2006 GOs.

The Aa3 rating reflects the district's moderately-sized and growing tax base that draws stability from its location within the Iowa City-Cedar Rapids Corridor; strong financial operations supported by the use of available levies; and manageable though elevated debt burden.

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