Moody’s Investors Service last week upgraded the Community College District 509 in Elgin to Aaa from Aa1 in conjunction with its upcoming sale this week of $45 million of general obligation bonds that were approved by voters last month. The deal includes taxable Build America Bonds.
The new issue is being done as part of $178 million in borrowing authorized by voters last month to fund various capital improvements throughout the college district.
“The rating upgrade to the highest-quality Aaa reflects the college’s sizable tax base favorably located in the Chicago metropolitan area experiencing solid growth, sound fiscal position reflected by six consecutive operating surpluses, ample operating liquidity, and considerable financial flexibility, and manageable debt portfolio benefiting from aggressive amortization of principal,” Moody’s analysts wrote.
The district saw its enrollment levels fluctuate moderately between 2003 and 2008 with fall 2009 figures reflecting a substantial 19.2% increase in full time enrollment.
Officials believe that trend will moderate somewhat, although expected spring 2010 enrollment data indicates substantial growth may persist.
“According to management, demand for the district’s diverse program offerings remains extremely strong, particularly in the health-related professions, including nursing, physical therapy, and radiology,” analysts wrote.