Fitch Rates King City Union School District, California 2007C GOs 'A+'.SAN FRANCISCO San Francisco (săn frănsĭs`kō), city (1990 pop. 723,959), coextensive with San Francisco co., W Calif., on the tip of a peninsula between the Pacific Ocean and San Francisco Bay, which are connected by the strait known as the Golden -- Fitch assigns a rating of 'A+' to the $3.8 million King City Union School District (Monterey County, California Monterey County is a county located on the Pacific coast of the U.S. state of California, its northwestern section forming the southern half of Monterey Bay. The northern half of the bay is in Santa Cruz County. As of 2000, the population was 401,762. The county seat is Salinas. ) general obligation bonds (election of 1998), series 2007C. In addition, Fitch affirms the rating on the district's $7.4 million in outstanding general obligation bonds at 'A+'. The Rating Outlook is Stable. The bonds are expected to sell via negotiation led by George K. Baum and Company on Mar. 7, 2007. The bonds are secured by the district's full faith and credit unlimited ad valorem tax Ad Valorem Tax A tax based on the assessed value of real estate or personal property. In other words ad valorem taxes can be property tax or even duty on imported items. Property ad valorem taxes are the major source of revenues for state and municipal governments. pledge. The 'A+' rating reflects King City Union School District's (the district) good financial position, healthy assessed valuation (AV) gains, low debt levels, and narrow but stable economy. Credit risks include the district's recent declining school enrollment trend, resulting in static revenues and decreasing reserves, concentrated tax base, and below-average wealth and employment indicators. Expectations of flat near term enrollment appear reasonable based on sizable housing developments under construction which could offset other student losses. Located in the Salinas Valley The Salinas Valley in the Central Coast region of California lies along the Salinas River between the Gabilan Range and the Santa Lucia Range. It encompasses parts of Monterey County. portion of Monterey County, the district is home to an estimated 14,600 residents and encompasses 240 square miles A square mil is a unit of area, equal to the area of a square with sides of length one mil. A mil is one thousandth of an international inch. This unit of area is usually used in specifying the area of the cross section of a wire or cable. . The district comprises all of King City, plus adjacent unincorporated areas of the county. Average daily attendance at the district's three schools is approximately 2,300. Average daily attendance declined by almost 2% between 2002 and 2006, and is projected to decline by a further 3.5% through fiscal 2009, with increases anticipated thereafter due to new housing construction. While King City has below-average wealth levels, it has experienced strong AV gains, resulting in cumulative growth of almost 29% between fiscals 2004 and 2007. Taxpayer concentration is high at 23%, with a preponderance of agricultural and food processing Food processing is the set of methods and techniques used to transform raw ingredients into food for consumption by humans or animals. The food processing industry utilises these processes. companies, reflecting the narrow but stable local economy. Although Monterey County's unemployment rate is consistently higher than in the state and the nation, there has been labor force growth and increasing employment opportunities. The district's total estimated general fund balance for fiscal 2006 is projected to be a healthy 9.5% of spending, the bulk of which is unreserved (8.5%). The district projects that it will maintain this level of total general fund balance in fiscal 2007. This compares favorably with the state requirement of 3%. This issuance is the third and final installment in a $12 million authorization which passed with an affirmative vote of 71% in Nov. 1998. Proceeds from this issuance will be used for modernization projects and the construction of additional classrooms. The district's capital improvement program will address overcrowding overcrowding overcrowding of animal accommodation. Many countries now publish codes of practice which define what the appropriate volumetric allowances should be for each species of animal when they are housed indoors. Breaches of these codes is overcrowding. and will enable the district to eliminate its year-round schedule and reconfigure its schools. Following issuance of these bonds, direct and overall debt levels will remain low at $1,012 per capita [Latin, By the heads or polls.] A term used in the Descent and Distribution of the estate of one who dies without a will. It means to share and share alike according to the number of individuals. (1.2% of AV) and $1,993 per capita (2.4%) respectively. Fitch's rating definitions and the terms of use Terms of Use are rules set up by the owner of an intellectual property or service to govern how they may be legally used. In many cases, terms of service are used as a contractual agreement between a company and users of a service they provide. of such ratings are available on the agency's public web site, www.fitchratings.com. Published ratings, criteria and methodologies are available from this site, at all times. Fitch's code of conduct, confidentiality, conflicts of interest, affiliate firewall, compliance, and other relevant policies and procedures Policies and Procedures are a set of documents that describe an organization's policies for operation and the procedures necessary to fulfill the policies. They are often initiated because of some external requirement, such as environmental compliance or other governmental are also available from the 'Code of Conduct' section of this site. |
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