Upgraded Bond Rating Will Save $1.5M on Upcoming Project, District Says

Hatboro-Horsham School District’s general obligation bond rating has been upgraded from Aa2 to Aa1 by Moody’s Investors Service, officials announced Monday. General obligation bonds are issued by school districts to fund large-scale projects.

According to the District, the upgrade will positively impact the bond borrowing rates for the construction of Hallowell Elementary School, result in a net overall interest cost savings of approximately $1.5 million.

According to he district, Director of Business Affairs Robert Reichert spearheaded the effort to advance the rating. In an onsite meeting at the district administrative offices, Moody’s evaluation team reviewed documentation that underscored Hatboro-Horsham’s strong financial position.

The team awarded the bond rating upgrade on September 18.

“According to Reichert, this rating upgrade would not have occurred without the School Board’s commitment to conservative budgeting practices, long-term financial planning, innovative cost reduction and revenue generating strategies, and a value oriented approach to decision making; and without the commitment of district staff who have continued to produce high quality results with a limit supply of resources,” the district said in a statement posted to Patch’s Bulletin Board.