S&P Global Ratings lowered its underlying rating two notches to ?A-? from ?A+? on Hitchcock Independent School District (ISD), Texas' general obligation (GO) debt outstanding. The outlook is negative. The rating action reflects our view of elevated governance risks, including persistent turnover and lack of relevant financial management and accounting skills, including incorrect statements and reconciliations, and the use of pooled cash in cash management. This has contributed to negative financial performance in the general fund and declines in cash and reserve positions, and the use of restricted reserves to support general operations, bringing its reserve position to levels commensurate with lower-rated peers. The negative outlook reflects uncertainty regarding the district?s fiscal 2024 operating results as well as our view
