The rating on Glendale, Ariz.'s bonds reflects a large and manageable capital improvement plan (CIP) that relies mostly on debt and will have a minimal effect on rates over the next eight years. Other rating factors include: Glendale's ('AA' GO rating) stable service area and strong economic base; Adequate water sources to meet future growth; Competitive rate structure; Good legal bond structure and rapid debt amortization; and Solid financial performance with 4.82 times (x) coverage of annual debt service in fiscal 1999. Offsetting factors include uncertainty surrounding future Central Arizona Project (CAP) water costs; however, the city derives its water from various sources. The city of Glendale provides water and sewer service to a population of 210,000 and is located
