NEW YORK - Moody's Investors Service said it has upgraded the general obligation unlimited tax rating for Fairview Park City School District, Ohio, to Aa2 from Aa3, affecting $26.6 million of GOULT debt.
Concurrently, Moody's has assigned a Aa2 rating to the district's $8.6 million general obligation (unlimited tax) school improvement refunding bonds, Series 2012.
The bonds are secured by the district's general obligation unlimited tax pledge and were originally authorized by voters on February 8, 2005.
Bond proceeds will be used to advance refund a portion of the 2028 maturity and the 2029 through 2033 maturities of the district's Series 2005 bonds for estimated net present value savings of 8% of refunded par.
The upgrade to the Aa2 rating reflects the district's strong financial management; ample cash reserves despite plans to spend down a portion of reserves for capital projects in the near term; and limited exposure to the property tax levy cycle.
The rating additionally incorporates the district's modestly-sized and mature tax base in the Cleveland (A1/stable outlook) metropolitan area and above average debt burden with modest additional borrowing plans.