Bangkok--23 Sep--Standard & Poor's
Standard & Poor's Ratings Services assigned its 'AA' long-term rating to Washington Terrace, Utah's series 2010 water, sewer, refuse collection, and storm drainage revenue refunding bonds. The outlook is stable.
"The rating reflects our view of the city's stable and diverse local economy and its very strong maximum annual debt service coverage," said Standard & Poor's credit analyst Li Yang. "Further supporting the rating is our view of the city's limited capital needs going forward and its history of regularly raising rates to maintain strong coverage levels."
The city's five-year capital plan is approximately $5 million, which mostly includes maintenance of its existing pipelines. We understand the city anticipates using its existing cash reserves as well as impact fee revenues to pay for its capital projects.
The City of Washington Terrace is located in the southern portion of Weber County and provides water, sewer, refuse collection, and storm drainage services to an estimated population of roughly 8,349 residents. The mostly residential city lies roughly 30 miles south of Salt Lake City and participates in the greater Salt Lake City metropolitan region, which we believe contributes to the overall stability and diversity of the local economy.
RELATED CRITERIA AND 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
Complete ratings information is available to RatingsDirect subscribers on the Global Credit Portal at www.globalcreditportal.com and RatingsDirect subscribers at www.ratingsdirect.com. All ratings affected by this rating action can be found on Standard & Poor's public Web site at www.standardandpoors.com. Use the Ratings search box located in the left column.
Media Contact:
Ana Sandoval, New York (1) 212-438-5095,
[email protected]
Analyst Contacts:
Li Yang, San Francisco 1-415-371-5024
Michael P Taylor, New York (1) 212-438-1458