Western PA school districts brought down by pension debt

A frank assessment from Moody’s rating agency this week has given several Pennsylvania school districts sour financial notes, and western PA’s schools top the list.

Schools in Allegheny, Washington, and Fayette County have all been downgraded to junk status, according to the rating service’s latest report, deemed “unlikely to recover” and it seems exploding pension costs may be to blame.

Allegheny County alone has four separate school districts that have been downgraded since March, including McKeesport Area, East Allegheny, West Mifflin Area and Penn Hills school districts. They, along with the other school districts mentioned in Moody’s report, have a particular problem with mounting costs mandated by law.

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