Press Release|Public Finance

KBRA Affirms AA+ Rating for Pflugerville Independent School District Unlimited Tax Bonds

17 Jan 2024   |   New York


KBRA affirms the long-term rating of AA+ with a Stable Outlook for the Pflugerville Independent School District's Unlimited Tax Bonds (Non-PSF).

Key Credit Considerations

The rating was affirmed because of the following key credit considerations:

Credit Positives

  • Strong financial performance, supporting a healthy reserve and liquidity position.
  • Sizable and diverse property taxable base that has grown at an impressive CAGR of 14.85% (FY 2015 through FY 2023) despite the affects of the COVID-19 pandemic.
  • Manageable long-term retirement liabilities (pension and OPEB), and moderate overall fixed cost burden.

Credit Challenges

  • Continued expansion of charter schools within PfISD’s service area, somewhat tempering enrollment growth.
  • Property tax levy limitations could adversely impact expenditure flexibility.
  • Slightly elevated overall net debt burden when incorporating obligations issued by overlapping governmental entities.

Rating Sensitivities

For Upgrade

  • Continued favorable financial operating performance further bolstering unassigned reserve levels and available liquidity (cash & current investments).
  • The continued realization of robust tax base and associated ad valorem revenue growth.
  • A tempering of debt metrics, either by principal amortization or continued tax base appreciation.

For Downgrade

  • While not expected, a declining trend in the taxable base.
  • An erosion in reserves or unrestricted liquidity to levels no longer commensurate with the rating level.
  • A material spike in borrowing and corresponding overall net debt metrics.

To access rating and relevant documents, click here.



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

About KBRA

Kroll Bond Rating Agency, LLC (KBRA) is a full-service credit rating agency 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 by the Ontario Securities Commission for issuers of asset-backed securities to file a short form prospectus or shelf prospectus. KBRA is also recognized by the National Association of Insurance Commissioners as a Credit Rating Provider.

Doc ID: 1003017

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