COMPTON, CA — Compton Unified School District (CUSD) is thrilled to announce that S&P Global Ratings (S&P) has recently raised the District’s credit rating to an A+. S&P also raised the rating on the District’s general obligation bonds outstanding to an A+ from A. Additionally, the rating on the District’s previously issued certificates of participation was raised to A from A-.

“We are incredibly excited that S&P has elevated our credit rating to an A+,” said CUSD Board of Trustees President Denzell Perry. “This upgrade is a testament to our diligent financial management and strategic fiscal planning. We are grateful to our staff, stakeholders, and the community for their support and trust, as we continue to invest in the excellence of our schools and the success of our students.”

The upgrade in credit rating was largely due to the District’s demonstrated ability to adjust its budget to maintain structurally balanced operations. S&P Global Ratings credit analyst Kyron Smith wrote: “The raised rating reflects our view of the district’s demonstrated ability to adjust its budget to maintain structurally balanced operations despite declining enrollment. It also reflects our view of the district’s … reserve position, which we believe provides enough cushion for it to weather revenue and cost pressures as the state funding environment weakens.”

“This achievement is critical for the future of our Compton schools and scholars,” said CUSD Board of Trustees member Micah Ali. “This not only enhances our borrowing capability, it also ultimately saves our taxpayers money. This is vital as we continue to raise and spend significant amounts of money for critical upgrades of our school facilities, and are nearing completion of the brand-new, state-of-the-art Compton High School, which will be the newest high school built in California when completed in 2025.”

In its published credit opinion, S&P noted that the District’s “willingness to make budget adjustments provide sufficient flexibility to manage the challenging state funding environment for fiscal 2025 and beyond…” Other factors contributing to the rating upgrade were the District’s recent trend of positive financial performance and contributions to an irrevocable trust to manage its Other Post-Employment Benefits (OPEB) liability.

“The recent upgrade by S&P is a clear indication of our dedication to sound financial stewardship,” said CUSD Superintendent Dr. Darin Brawley. “This achievement is pivotal, not just as a measure of our current financial health, but as a critical factor in our ability to secure necessary resources for the future development and enrichment of our educational programs. It underscores our commitment to making strategic decisions that benefit our students, staff, and community.”

Artist rendering of the new Compton High School, set to open in 2025. 

S&P is one of the three leading credit rating agencies in the nation, which rates the District, its general obligation (GO) bonds, and other financings. Rating agencies assign credit ratings based on their independent and in-depth review of the issuer and credit risks of their debt, allowing issuers to efficiently access debt markets and investors to make informed investment decisions. Similar to an individual’s credit scores issued by the top credit bureaus, the primary benefit of a high credit rating is lower interest costs and issuance costs. In the case of the Measure S and Measure AAA GO bonds, lower interest costs directly translate to taxpayer savings.

About Compton Unified School District

Compton Unified School District, whose Superintendent is Dr. Darin Brawley, is located in the south-central region of Los Angeles County. CUSD encompasses the city of Compton and portions of the cities of Carson and Los Angeles. The district currently serves more than 18,000 students at 36 sites. CUSD is a district that is elevating, with a high school graduation rate of 90%, dramatic facilities improvements, increasing college acceptance rates, and a focus on STEAM throughout all schools. The mission of the Compton Unified School District is to empower leaders to lead, teachers to teach, and students to learn by fostering an environment that encourages leaders and teachers to be visionary, innovative, and accountable for the achievement of all students. CUSD schools have received numerous awards, including Golden Bell Awards, National Blue Ribbon School designations, and Top 10 LA Public Schools by Innovate LA. CUSD is also a member of the League of Innovative Schools. The District’s Superintendent, Dr. Darin Brawley, was named 2019 Superintendent of the Year by the Los Angeles County Office of Education. For more information, visit http://www.compton.k12.ca.us.

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