The 'A' rating on Orange County, Fla.'s tourist development tax refunding revenue bonds is based on the following: A strong, underlying economic base anchored by the city of Orlando, a major tourist destination; Good debt-service coverage of future maximum annual debt service (MADS); Strong pledged revenue growth; and Adequate legal provisions. Offsetting factors include a vulnerability of tourist development tax (TDT) revenues to downturns in both national and global economic conditions, especially given Orlando's dependence on air travel and events, as evidenced by the current economic slowdown and a 14.6% decline in TDT revenues in fiscal 2002. The bonds are special obligations of the county secured by the TDT levied at a rate of 5% of each dollar charged for
