District Receives A+ Rating from Standard & Poor's
Standard & Poor's (S&P) Financial Services LLC has confirmed its A+ Stable credit rating for the Hendrick Hudson School District. The rating was issued as part of the financial services company’s regular update on the district’s financial picture.
The report made specific reference to the district’s extensive financial planning and cost-control measures in its assessment, and speaks to the district’s creditworthiness in the face of the impending closure of Indian Point.
The report highlights the fact that the district has “worked with external consultants and the state comptroller's office to identify ways to increase revenue or reduce expenditures to offset the loss of 90% of PILOT revenue…and maintains a formal multiyear financial plan that outlines these efforts.”
Regarding the district’s financial management, the S & P report highlighted the following practices:
- Conservative budgeting and the use of historical trend analysis when making revenue and expenditure assumptions;
- Monthly-to-actual reports to the board of education (available to the public);
- A detailed 12-year financial plan;
- A building conditions survey every five years; and
- Following the state's policy of keeping a maximum of unassigned fund balance at 4% of expenditures.
The report concludes: “The one-year stable outlook reflects our opinion that the financial profile of the district will improve over the next year in anticipation of revenue loss starting in fiscal year 2021. Extensive financial planning and an array of cost-control measures provide additional stability over this one-year horizon.”
Assistant Superintendent for Business Enrique Catalan noted that the district had also received an A+ rating in 2018. “We are pleased with the recent Standard & Poor’s rating, which reflects the district’s ongoing, careful financial management,” he said.
Click here for the report: