Milpitas, CA Water Revenue Bonds Assigned 'AA+' Rating On Extremely Strong Enterprise Risk Profile

SAN FRANCISCO (S&P Global Ratings) Oct. 16, 2019--S&P Global Ratings assigned an 'AA+' long-term rating to the Milpitas Municipal Financing Authority, Calif.'s series 2019 water revenue bonds, issued on behalf of the city of Milpitas' water system. The outlook is stable. "The rating reflects combination of the city's extremely strong enterprise risk profile and very strong financial risk profile," said S&P Global Ratings credit analyst Chloe Weil. The enterprise risk profile reflects our view of the water system's: Wealthy, built-out service area that participates in the deep and diverse San Jose-Sunnyvale-Santa Clara metropolitan area economy; Very low industry risk as a monopolistic service provider of an essential public utility; Reliance on the San Francisco Public Utilities Commission (SFPUC) and the

...October 16, 2019 SAN FRANCISCO (S&P Global Ratings) Oct. 16, 2019--S&P Global Ratings assigned an '##+' long-term rating to the Milpitas Municipal Financing Authority, Calif.'s series 2019 water revenue bonds, issued on behalf of the city of Milpitas' water system. The outlook is stable. "The rating reflects combination of the city's extremely strong enterprise risk profile and very strong financial risk profile," said S&P Global Ratings credit analyst Chloe Weil. The enterprise risk profile reflects our view of the water system's: - Wealthy, built-out service area that participates in the deep and diverse San Jose-Sunnyvale-Santa Clara metropolitan area economy; - Very low industry risk as a monopolistic service provider of an essential public utility; - Reliance on the San Francisco Public Utilities Commission (SFPUC) and the Santa Clara Valley Water District (SCVWD) for its entire potable water supply, exposing it to increasing wholesale water costs as both wholesalers implement significantly...

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