LAS VEGAS (AP) — A credit ratings agency says it's uncertain how the planned breakup of the Clark County School District could affect the credit worthiness of the nation's fifth-largest school district.
Moody's Investors Service did not downgrade the district's A1 investor grade rating but said in a report issued Monday that the uncertainty represents a credit negative.
The ratings agency said the approved bill, AB394, would divide the district into smaller entities by the 2018-19 school year. The measure doesn't specify how payments on the district's $2.5 billion in outstanding debt would be made after the reorganization.
Republican bill sponsor Assemblyman David Gardner disagreed and said the bill wouldn't change current contracts or bonds owed by the district