Standard&Poor's Ratings Services assigned its 'AA+' rating, and stable outlook, to Austin, Texas' series 2004 public property finance contractual obligations, series 2004 certificates of obligation, series 2004A taxable public improvement refunding bonds, and series 2004 public improvement and refunding bonds. The rating reflects the city's: Strong and diverse economic base, anchored by state government and higher education; Significant high-tech manufacturing industry and an expanding service sector; Strong financial management and position despite recent budget shortfalls in sales tax revenues; and Moderate and decreasing overall debt levels, coupled with a manageable capital improvement plan and rapid debt amortization. Offsetting credit factors include the city's: Increased general fund reliance on transfers from the electric utility enterprise fund, and Softening in
