DALLAS - Moody's Investors Service yesterday cut the longstanding Aaa ratings for Dallas and the Dallas Independent School District, citing continued weakness in the tax base triggered by the mid-1980s oil and real estate busts.

In separate one-page statements, the rating agency said it downgraded the city to Aa1 because of a soft economy and weakened tax base. Analysts cited identical reasons in dropping the school district two notches to Aa, but also blamed the state's new school funding law for prompting the decline.

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