Standard & Poor's Ratings Services said it lowered its underlying rating on West Bloomfield School District, Mich.'s outstanding general obligation bonds to A-minus from A.
The outlook is stable.
"The downgrade reflects recent general fund deficits, which have resulted in thin reserves, and declining enrollment," said Standard & Poor's credit analyst Blake Yocom.
The bonds are secured by the district's full faith and credit and ability to levy unlimited ad valorem taxes.
The A-minus underlying rating reflects the district's: participation in the Detroit metropolitan statistical area (MSA) economy, as well as its location within diverse Oakland County; extremely strong market value per capita and very strong income levels; and moderate debt burden.
