There are new concerns about the financial health of the Oakland Unified School District after a Fitch credit rating gave the district a negative outlook for the current fiscal year.
Fitch cited several factors, including ongoing fiscal pressure, the loss of unrestricted reserves and uncertainty over the district’s ability to restore fiscal stability.
The San Francisco Chronicle reported that the latest Fitch rating is one notch below the district’s previous grade. The assessment comes as district leaders have recently said OUSD’s finances have significantly improved, including reaching a balanced budget.
Fitch and the Chronicle are both owned by Hearst.
OUSD did not provide a response.