Bangkok--24 Nov--Standard & Poor's
Standard & Poor's Ratings Services assigned its 'A' rating to Ceres Financing Authority, Calif.'s water revenue bonds, series 2009A, and wastewater revenue bonds, series 2009A, issued for the City of Ceres. We understand that both series of bonds are expected to be designated as Build America Bonds (BABs). The outlook is stable.
"The rating reflects our view of the water and sewer systems' good debt service coverage and liquidity position," said Standard & Poor's credit analyst Bea Chiem.
We understand that approximately $4.63 million of water revenue bond proceeds will be used for purchasing water meters, a new well, and for a well building. We understand that about $7.955 million of sewer revenue bond proceeds will be used for sewer system improvements.
With approximately 43,000 residents, the City of Ceres is located in Stanislaus County in the formerly very agricultural San Joaquin Valley. Ceres has a total of 31 wells, 14 of which are currently active. These 14 operating wells have pumping capacity of 13,796 gallons per minute and two at-grade tanks with 3.8 million gallons of capacity. The sewer treatment plant has a current maximum wastewater treatment capacity of 4.2 million gallons per day.
RELATED RESEARCH
USPF Criteria: "Key Water And Sewer Utility Credit Ratio Ranges," Sept.15, 2008
USPF Criteria: "Standard & Poor's Revises Criteria For Rating Water, Sewer, And Drainage Utility Revenue Bonds," Sept. 15, 2008
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Media Contact:
Ana Sandoval, New York (1) 212-438-5095,
[email protected]
Analyst Contacts:
Bea Chiem, San Francisco (1) 415-371-5070
Matthew Reining, San Francisco (1) 415-371-5044