...August 9, 2023 ENGLEWOOD (S&P Global Ratings) Aug. 9, 2023--S&P Global Ratings assigned its '##+' long-term rating to the Arizona Transportation Board's series 2023 senior-lien highway revenue and revenue refunding bonds. At the same time, S&P Global Ratings affirmed its '##+' rating on the board's senior-lien highway revenue bonds outstanding. The outlook on all ratings is stable. "The rating reflects our opinion of the board's pledged revenues, which we expect will remain steady, given the state's growing population," said S&P Global Ratings credit analyst Savannah Gilmore. Pledged revenues were stable in fiscal 2023 (0.8%) after increasing between 9%-10% annually in fiscal years 2022 and 2021. Arizona Department of Transportation estimates that they will rise by 4% in fiscal 2024 and 3% in fiscal 2025. We also view ADOT's additional bonds test provisions as very strong, limiting coverage dilution from future planned debt issuances. The stable outlook incorporates the outlook on the state,...
