For immediate release — Sept. 12, 2008
Newsbrief
(DALLAS) — Three respected financial entities — Fitch Ratings, Moody’s Investors Service and Standard & Poors Ratings Services — have once again assigned “AAA” ratings to the Dallas County Community College District for $220 million in general obligation bonds, series 2008, and affirmed the same “AAA” rating on approximately $30 million in maintenance tax notes and $63 million in outstanding general obligation bonds. The current offering represents the second phase of borrowing for a $450 million bond program authorized by 70 percent of Dallas County voters who participated in the May 2004 bond election.
The prime rating — not often assigned to community colleges — “is based on revenue sources, a substantial population and tax base with steady growth, and a large and consistent enrollment base that is drawn primarily from a limited geographical area,” according to Fitch. “Tuition and property tax rates are low (both of which are among the lowest of community colleges in the state) and provide added financial flexibility, which is important, given the possibility of reduced state appropriations in the next biennium … . The rating outlook is stable.”
DCCCD business officials are excited to receive the same outstanding “AAA” rating that they generated in 2004.
“We are pleased that all three credit rating agencies recognized DCCCD’s strong financial status and flexibility, as well as its sound and conservative fiscal management, by rating our August 2008 issue of bonds as triple A,” said Kim Green, associate vice chancellor for business affairs at DCCCD. “Because this is a natural ‘AAA’ rating and does not require insurance to bring our bonds to that rating level, we expect that our bonds not only will be more attractive in the current market but also will sell at lower interest rates — which will result in savings for the district and Dallas County taxpayers.”
For more information, contact Ann Hatch in the DCCCD office of public and governmental affairs at (214) 860-2478.
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Press contact: Ann Hatch
214-860-2478; ahatch@dcccd.edu