DALLAS -- Despite large debt burdens and high tax base concentration levels, Texas school districts have shown financial flexibility, balanced operations and low pension burdens after emerging from recession, according to a report from Moody’s Investors Service Tuesday.

“These positive factors contribute to the credit quality of the districts, which we believe will remain stable or improve going forward,” analysts Kristin Button and Toby Cook wrote. “The median rating for Texas school districts is A1, which is lower than the national average, owing to the high debt burdens and tax base concentration.”

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