Kansas Department of Transportation?s 2017A Highway Revenue Bonds Assigned 'AAA' Rating; Other Ratings Affirmed

DALLAS (S&P Global Ratings) Sept. 8, 2017--S&P Global Ratings assigned its 'AAA' long-term rating to the Kansas Department of Transportation's (KDOT) highway revenue bonds series 2017A with a par of $200 million. In addition, we affirmed our 'AAA' rating and underlying rating (SPUR) on KDOT's $1.88 billion of parity highway revenue bonds outstanding. The outlook is stable. "The 'AAA' ratings reflect our view of a statewide economic base generating pledged highway user tax revenues and very strong 6.4x coverage of maximum annual debt service (MADS) by fiscal 2016 pledged revenues in the state highway fund, and 4.8x coverage by less volatile state-derived taxes and fees only," said S&P Global Ratings credit analyst Oladunni Ososami, "along with a diverse set of

...DALLAS (S&P Global Ratings) Sept. 8, 2017--S&P Global Ratings assigned its '###' long-term rating to the Kansas Department of Transportation's (KDOT) highway revenue bonds series 2017A with a par of $200 million. In addition, we affirmed our '###' rating and underlying rating (SPUR) on KDOT's $1.88 billion of parity highway revenue bonds outstanding. The outlook is stable. "The '###' ratings reflect our view of a statewide economic base generating pledged highway user tax revenues and very strong 6.4x coverage of maximum annual debt service (MADS) by fiscal 2016 pledged revenues in the state highway fund, and 4.8x coverage by less volatile state-derived taxes and fees only," said S&P Global Ratings credit analyst Oladunni Ososami, "along with a diverse set of transportation-related revenues in the pledged revenue stream, composed of motor fuel taxes, registration and license fees, certain state sales taxes, and federal reimbursements." Other factors include: + A covenant not to change the...

Ratings Action