Standard & Poor's Ratings Services assigned its 'AA' rating and stable outlook to Lafayette, La.'s series ST-2012A and ST-2012B public improvement sales tax refunding bonds and affirmed its 'AA' rating, with a stable outlook, on the city's parity sales tax revenue debt. The rating reflects our opinion of the city's: Role as a regional retail trade and economic center; Deep and diverse sales tax base that has shown relative resilience through a national economic downturn; Pledged revenue, providing more than 2x maximum annual debt service (MADS) coverage; and 1.5x MADS additional bonds test. We believe the city's additional parity-debt-supported capital needs somewhat constrain the rating. A first-lien revenue pledge, generated by a 1% sales-and-use tax, originally authorized in 1961, secures...
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Action: New Rating
Action: Outlook: Stable
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