Duluth Public Schools maintains its Moody’s Ratings

Moody's Investors Service has maintained Duluth Public Schools’ Issuer Rating of A3.

"We are thrilled to keep our Moody’s rating. It’s great news to end the 2025 year,” Superintendent John Magas said. “Keeping this Moody's rating only happens through hard work and thoughtful financial management over time and shows that we, as a district, are being fiscally responsible in our financial management." 

Moody’s Investors Service said in a statement: 

“The A3 issuer rating reflects the district's solid economic base with resident income and full value per capita that are in line with peers and modestly growing enrollment. The district's financial position will likely stabilize in fiscal 2025 (year-end June 30) following several expenditure reductions to address an initial budget shortfall. The district has implemented additional budgetary cuts in fiscal 2026 that will keep the available fund balance ratio at around 10%.”

This keeps the district in a Prime-1 rating for short-term debt obligations – the district has a superior ability to repay short-term debt obligations – and into an A rating for long-term debt obligations – the district is subject to low credit risk. 

 Full Moody's Press Release