Summary: Hitchcock Independent School District, Texas; School State Program

S&P Global Ratings raised its underlying rating to 'A+' from 'A' on Hitchcock Independent School District (ISD), Texas' general obligation (GO) debt outstanding. At the same time, S&P Global Ratings assigned its 'AAA' long-term rating and 'A+' underlying rating to the district's approximately $43.6 million series 2022 unlimited-tax school building bonds. The outlook is stable. The upgrade reflects the district's recent additions to fund balance, combined with continued economic growth, reflected in higher assessed valuation (AV) and enrollment. Notably, available general fund reserves grew to 30% for fiscal 2020 from 13% in fiscal 2019, while tax base growth has been increasing at an average annual rate of 16% over the past three years. The program rating reflects our view of

...S&P Global Ratings raised its underlying rating to 'A+' from 'A' on Hitchcock Independent School District (ISD), Texas' general obligation (GO) debt outstanding. At the same time, S&P Global Ratings assigned its '###' long-term rating and 'A+' underlying rating to the district's approximately $43.6 million series 2022 unlimited-tax school building bonds. The outlook is stable. The upgrade reflects the district's recent additions to fund balance, combined with continued economic growth, reflected in higher assessed valuation (AV) and enrollment. Notably, available general fund reserves grew to 30% for fiscal 2020 from 13% in fiscal 2019, while tax base growth has been increasing at an average annual rate of 16% over the past three years. The program rating reflects our view of the district's eligibility for, and participation in, the Texas Permanent School Fund bond guarantee program, which provides the security of a permanent fund of assets the district can use to meet debt service on bonds...

Summary