Standard & Poor's Ratings Services said it has raised its issuer credit rating on Pleasanton Independent School District, Texas' general obligation debt to A-plus from A.
The outlook is stable.
"The upgrade reflects our view of the substantial rise in the district's tax base, as well as its maintenance of very strong finances and low debt," said Standard & Poor's credit analyst Jim Tchou.
The rating reflects the district's: access to the strong San Antonio economy; historical maintenance of very strong reserves; and large economic and tax base growth.
The following factors offset these strengths: declining student enrollment, which has reduced state funding levels; and extended debt amortization schedule, with approximately 32% of principal being retired in the next 10 years.
Pleasanton ISD (population 16,829) encompasses approximately 413 square miles in Atascosa County, about 30 miles south of San Antonio, and includes the City of Pleasanton. ISD facilities consist of one primary school, two elementary schools, and intermediate school, a middle school, a C.A.R.E. academy, and a high school. Student enrollment has declined, to 3,203 students in 2012 from 3,440 in fiscal 2010. However, enrollment figures for 2013 have stabilized and have slightly increased to 3,223 students. Management projects enrollment to continue to increase.
