The rating on Vermont Educational and Health Buildings Finance Agency's bonds, issued for St. Johnsbury Academy (SJA), reflects: Limited geographical diversity, A high tuition dependency, and Reliance on residential students to subsidize day students. A lower rating is precluded, however, given: The academy's essential role in providing secondary school education to area students, Stable headcount, and Good operating and debt liquidity. The bonds are secured by the academy's GO pledge. SJA plans to issue $3 million-$4 million of new debt within the next two years, thereby increasing outstanding debt by 56%. This issuance has not been factored into this rating, as details are not yet known. SJA was founded in 1842 to educate the local population. The academy was one
