Credit rating agencies are keeping a close watch on the debate in the Kansas Legislature over funding for K-12 schools as it drags deep into this year’s session.
Some school districts, such as Gardner-Edgerton, either have had their credit rating lowered or are in danger of that happening because they are spending down their reserves to offset cuts in aid by the state.
Sarah Smaardyk, an analyst for Standard & Poors in Dallas, said the amount of money districts have in their reserve funds is a major consideration for her company when it assigns credit ratings.
(Read more at Kansas City Star: Front Page http://www.kansascity.com/2012/05/06/3598047/credit-rating-agencies-keep-watch.html)