Lindbergh keeps highest bond rating from Moody’s

Moody’s Investors Service recently affirmed Lindbergh Schools’ Aa1 bond rating on all general obligation debt.

Moody’s is a national credit rating agency that provides an independent opinion regarding the district’s financial stability.

Lindbergh’s Board of Education has fiscally responsible financial practices, healthy reserves and limited plans for future borrowing, according to the independent auditor’s report. These factors, in addition to a strong Lindbergh community, contributed to the district’s Aa1 rating, which is the highest a school district can achieve, according to a news release.

The report also stated, “Despite recent budgeted declines in reserves, the district’s financial operations will likely remain sound due to the presence of healthy Operating Fund balances and a history of prudent fiscal management.”

Board President Vic Lenz said confirmation from an independent auditor is reassuring.

“Over the past two years, we have made difficult financial decisions, including almost $7 million in reductions, to protect Lindbergh for years to come,” Lenz stated in the release. “Making responsible decisions is especially difficult during tough times, so an independent verification of our choices lets us know we’re on the right track.”

As is true with all lease financing, Lindbergh’s certificates of participation automatically received a one-notch downgrade to Aa2 rating. The $2.3 million in certificates were used to purchase Dressel School in July, in response to enrollment increases districtwide.

“Think about today’s economy,” Chief Financial Officer Pat Lanane stated in the release. “When our U.S. government’s rating moves down and ours stays the same, it’s actually like we’re moving up. This is a very positive affirmation of the district’s bond rating. Retaining the highest rating possible for a school district is a strong testament to our Board of Education’s ongoing stability and sound financial judgment.”