Hemlock Public School District is delighted to announce its recent accolade: an A1 credit rating from Moody's Investors Service. This prestigious rating reflects the district's solid financial standing, responsible fiscal management, and promising growth prospects.
Board President Matt Wesener shared his thoughts on this remarkable achievement, stating, "We are incredibly proud of the A1 credit rating awarded to Hemlock Public School District by Moody's Investors Service. This recognition underscores our district's unwavering commitment to sound financial stewardship, exceptional educational opportunities, and community growth."
He continued, "Our steady economic growth, responsible fiscal management, and investments in our school facilities are indicative of our dedication to providing the best possible education to our students. This A1 rating is not just a reflection of our past efforts but also a testament to our promising future. We remain committed to fostering an environment of excellence, inclusivity, and innovation."
As the Hemlock Public School District continues to set the standard for educational excellence, it is poised to thrive and bring even greater benefits to its students, families, and the community at large.
Located in Saginaw County, Michigan, Hemlock Public School District operates two elementary schools, one middle school, and one high school. The district's recent achievements in the local economy and financial health are a testament to its unwavering commitment to excellence.
Key highlights that contributed to the A1 rating include:
1. Steady Economic Growth: Hemlock Public School District benefits from a thriving local economy buoyed by diverse sectors such as health services, retail trade, and manufacturing. Hemlock Semiconductor Corporation (HSC), a prominent local employer and taxpayer, is a vital contributor to this economic vitality.
2. Sound Fiscal Management: The district's strong financial management practices have resulted in notable improvements in its fiscal position. Projections indicate an addition of approximately $500,000 to reserves in fiscal year 2024, coupled with an estimated surplus of nearly $450,000 for fiscal 2023.
3. Investment in School Facilities: In 2022, the district secured approval for $42 million in General Obligation Unlimited Tax (GOULT) bonding authority, a clear testament to its dedication to improving its facilities. This substantial investment will drive enhancements across various school buildings, making Hemlock Public School District even more attractive to potential students.
4. Resilient Budget Structure: Hemlock Public School District's budget derives a significant portion of revenue from state aid, supplemented by local property taxes. This balanced approach underpins the district's financial stability.
5. Favorable Demographics: Although the district experiences a modest decline in long-term enrollment trends, positive economic growth and ongoing investments in school facilities are expected to attract new students in the future.
Hemlock Public School District also places great importance on responsible Environmental, Social, and Governance (ESG) practices, which have led to a neutral-to-low ESG Credit Impact Score.
1. Environmental Responsibility: The district demonstrates a neutral-to-low exposure to environmental factors such as climate transition, water management, and natural capital, positively contributing to its E Issuer Profile Score.
2. Social Engagement: With a relatively low exposure to social risks, the district maintains stable enrollment despite a somewhat declining population. Efforts to uphold a strong educational environment underscore its commitment to social responsibility.
3. Strong Governance: The district's solid transparency, disclosure, and budget management practices are reflected in its neutral-to-low G Issuer Profile Score, reinforcing its dedication to governance excellence.
Hemlock Public School District's credit profile is assessed using the US K-12 Public School District methodology, utilizing a comprehensive scorecard that considers various weighted factors. While this scorecard does not determine the final rating, it provides a standardized platform for evaluating and comparing school districts.
For more detailed information on Hemlock Public School District's credit analysis, including ESG scores and methodologies, please visit Moodys.com.
As Hemlock Public School District continues its commitment to excellence in education, fiscal management, and community engagement, it stands poised for sustained growth and success.