Fitch U.S. Muni Surveillance: Fort Bragg Unified School District (California) GOs Affirmed at 'A+'.NEW YORK New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of -- In the course of routine surveillance, Fitch Ratings Fitch Ratings An international rating agency for financial institutions, insurance companies, and corporate, sovereign, and municipal debt. Fitch Ratings has headquarters in New York and London and is wholly owned by FIMALAC of Paris. has affirmed the 'A+' rating on Fort Bragg Fort Bragg, U.S. army base, 11,136 acres (4,507 hectares), E N.C., N of Fayetteville; est. 1918. Originally an artillery post, it is now the principal U.S. army airborne-training center and the site of the Special Warfare School. Unified School District's (the district) approximately $6 million in outstanding general obligation (GO) bonds, series 2003. The Rating Outlook is Stable. The 'A+' rating reflects the district's good financial operations evidenced by sound reserves, moderate debt levels with manageable capital needs and stable assessed valuation growth. Credit concerns include continual enrollment declines and the district's limited local economy due to its distance from a major urban center. While the economy has continued to diversify away from its traditional timber-related and commercial fishing industries, the area has wealth levels below state and national averages. Enrollment declines averaged 1.5% annually between fall 2002 and fall 2006 attributable to the impact of declining national birth rates, the community's strong retirement base and the loss of one of the district's major employers several years ago. However, as a result of strong marketing initiatives, the district has seen an increase in attendance in recent years. The district projects enrollment to decline albeit at a less rapid rate. Importantly, Fitch notes that the district has been able to manage expenditures and maintain sound general fund reserve levels despite declining enrollment. Fiscal 2007 audited results indicated an unreserved general fund balance of $1.5 million or 8.5% of total spending. Furthermore, to address possible reductions in state aid, the district may be forced to lay-off and furlough fur·lough n. 1. a. A leave of absence or vacation, especially one granted to a member of the armed forces. b. A usually temporary layoff from work. c. staff as well as reduce program expenditures as necessary. The Stable Outlook reflects Fitch's expectation that the district's conservative financial planning Financial planning Evaluating the investing and financing options available to a firm. Planning includes attempting to make optimal decisions, projecting the consequences of these decisions for the firm in the form of a financial plan, and then comparing future performance against , including a willingness and ability to make expense reductions when needed, will help it successfully weather projected enrollment declines expected over the next several years. 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 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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