Moody’s Investment Service has upgraded two ratings for the La Mesa-Spring Valley School District, granting its issuer rating to A1 and its general obligation unlimited tax (GOULT) rating to Aa3, an even higher rating than the A1.

The upgrade comes as the district prepares to issue its second series of bonds under the Measure V program approved by voters in 2020. The Measure V program is being used to fund upgrades and improvements to school facilities across the district, with a multi-year plan that is currently being implemented.

“This is fantastic news for the school district and for the entire La Mesa-Spring Valley community,” said Superintendent David Feliciano. “The credit rating increase is evidence that the district has a sustainable vision for improving our children’s learning spaces and that we are carrying out Measure V improvements in a fiscally responsible way.”

The A1 issuer rating reflects the district’s general credit quality and ability to repay debt and debt-like obligations. The report cites the district’s “strengthening financial profile with healthy reserves” and notes that stable enrollment trends and a material decline in the district’s long-term liabilities ratio as potential factors for the rating upgrade.

The Aa3 rating for the general obligation (GO) bonds, “reflects California school district GO bond security features that include the physical separation through a ‘lockbox’ for pledged property tax collections and a security interest created by statute.”

To access the official Moody’s Investor Service document or learn more about La Mesa Spring Valley’s Measure V program, visit: lmsvschools.org/bond/.