Austin ISD selling $75.8M bonds, rated AA+
The Austin Independent School District is expected to negotiate pricing this month for $78.5 million worth in bonds rated AA+, Fitch Ratings released Tuesday.
The unlimited tax refunding bonds will be rolled out in two series of $17.4 million and $58.4 million. The school district maintains about $749 million in outstanding bonds with the same rating. The district's rating outlook is stable, according to the press release. The bonds are secured by an unlimited ad valorem tax pledge.
The agency attributed the positive rating to leaders making $13.1 million in budget cuts that successfully balanced its budget. The district is expected to experience a drop in taxable values next fiscal year, but those will be balanced by previous rates of rapid expansion.
The city's generally positive economic indicators also added to the rating as well as strong voter approval for school capital needs and modest draws on reserves.
AISD serves about 85,000 students across 100 campuses.