Moody’s Investor’s Service (“Moody’s”), S&P Global Ratings (“S&P”) and Kroll Bond Rating Agency (“KBRA”) reviewed the business fundamentals and financial condition of the Cobb County School District. In December, 2025, all three of these credit rating agencies affirmed the triple-A (Aaa/AAA) Credit Rating of the Cobb County School District (CCSD). These ratings are the highest rating available to governmental entities.

CCSD has maintained the Aaa credit rating from Moody’s since 2015, the AAA credit rating designation since 2019 from S&P and the AAA credit rating designation from KBRA since 2021. The maintenance of these ratings underscores CCSD’s excellence in financial operations. 

This rating is the highest credit rating available for a government entity and in 2021, the first time CCSD has received the highest rating from three of the major credit rating agencies. The Aaa/AAA credit rating reflects the district’s sizable and diverse tax base, sound reserve position characterized by conservative budgeting and formal financial policies and an above average pension burden, mitigated by the absence of any long-term debt.

Credit ratings represent the credit worthiness of corporations and government entities. In investment, the credit ratings are published by credit rating agencies and used by investment professionals to assess the likelihood a debt can be repaid. Ratings play a critical role in determining how much companies and government entities that issue debt have to pay to access credit markets. Ratings determine borrowing costs and the amount of interest they pay on their issued debt. 

A credit rating is also an indicator of an organization’s skill and experience with regard to financial operations including budgeting & forecasting, cash management, financial reporting, accounting and financial management.

The credit rating industry is highly concentrated with the two largest rating agencies, Moody’s Investors Service and Standard & Poor’s having roughly 80% market share globally.

It is extraordinarily difficult to achieve a Aaa/AAA credit rating. As has been widely reported in the business press, the 2008-2009 crash was so bad that by the end of the economic downturn period, there were only TWO S&P 500 companies left that could boast a Aaa/AAA credit rating. An evaluation of state governments reveals that out of the 50 states in the US, only 14 states currently hold a Aaa/AAA credit rating. 

It is even more difficult for public school districts to achieve a Aaa/AAA credit rating because of limited diversity in General Fund revenue streams and limited flexibility to cut services because students in public schools have to receive an education. By contrast, cities and counties have a wider range of revenue options and have more flexibility in their expenditure budgets. An evaluation of public school districts in the United States reveals that only a few hold a Aaa/AAA credit rating.