KBRA Assigns AA- Rating with Stable Outlook to Rio Rancho Public School District No. 94, NM General Obligation School Bonds Series 2026
KBRA Assigns AA- Rating with Stable Outlook to Rio Rancho Public School District No. 94, NM General Obligation School Bonds Series 2026
NEW YORK--(BUSINESS WIRE)--KBRA assigns a long-term rating of AA- to the Rio Rancho Public School District No. 94 (the District), NM, General Obligation School Bonds, Series 2026. In addition, KBRA assigns a long-term of AA- rating to outstanding parity debt. The Outlook is Stable.
Key Credit Considerations
The rating was assigned because of the following key credit considerations:
Credit Positives
- A growing tax base and favorable economic profile.
- Strong State oversight in the budgetary process.
- Manageable debt burden, and the Bonds have a short average life and final maturity of 2038.
Credit Challenges
- Declining student enrollment.
- Low level of liquidity, but adequate given robust State oversight.
Rating Sensitivities
For Upgrade
- Significant growth of the tax base, in conjunction with positive operating performance that leads to the maintenance of increased reserves.
For Downgrade
- Sustained decline in enrollment resulting in general fund deficits and further erosion of reserves.
To access ratings and relevant documents, click here.
Methodology
Disclosures
A description of all substantially material sources that were used to prepare the credit rating and information on the methodology(ies) (inclusive of any material models and sensitivity analyses of the relevant key rating assumptions, as applicable) used in determining the credit rating is available in the Information Disclosure Form(s) located here.
Information on the meaning of each rating category can be located here.
Further disclosures relating to this rating action are available in the Information Disclosure Form(s) referenced above. Additional information regarding KBRA policies, methodologies, rating scales and disclosures are available at www.kbra.com.
About KBRA
Kroll Bond Rating Agency, LLC (KBRA), one of the major credit rating agencies (CRA), is a full-service CRA registered with the U.S. Securities and Exchange Commission as an NRSRO. Kroll Bond Rating Agency Europe Limited is registered as a CRA with the European Securities and Markets Authority. Kroll Bond Rating Agency UK Limited is registered as a CRA with the UK Financial Conduct Authority. In addition, KBRA is designated as a Designated Rating Organization (DRO) by the Ontario Securities Commission for issuers of asset-backed securities to file a short form prospectus or shelf prospectus. KBRA is also recognized as a Qualified Rating Agency by Taiwan’s Financial Supervisory Commission and is recognized by the National Association of Insurance Commissioners as a Credit Rating Provider (CRP) in the U.S.
Doc ID: 1016970
Contacts
Analytical Contacts
Joanne Ferrigan, Senior Director (Lead Analyst)
+1 646-731-1455
joanne.ferrigan@kbra.com
Mallory Yu, Associate
+1 646-731-1380
mallory.yu@kbra.com
Douglas Kilcommons, Managing Director (Rating Committee Chair)
+1 646-731-3341
douglas.kilcommons@kbra.com
Business Development Contacts
William Baneky, Managing Director
+1 646-731-2409
william.baneky@kbra.com
James Kissane, Senior Director
+1 646-731-2380
james.kissane@kbra.com
