Standard & Poor's Ratings Services affirmed its 'BBB-' long-term rating and underlying rating (SPUR), with a stable outlook, on Cinco Southwest Municipal Utility District (MUD) No. 1, Texas' contract revenue bonds. The rating is based on the unconditional obligations of the participating MUDs to make payments severally to MUD No. 1 from the levy of an unlimited ad valorem property tax. The rating also represents our view of the participating MUDs' characteristics, which collectively demonstrate: A high overall net debt burden, including the direct debt of the individual participants and the overlapping taxing entities, with significant additional capital plans; and A high total tax rate for service area residents. These factors are offset, in part, by our view of the...
Companies mentioned in this report are:
- Cinco Southwest Mun Util Dist #1
Action: Outlook: Stable
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