S&P Global Ratings assigned its 'A' long-term rating to Kerrville Public Utility Board Public Facility Corp. (KPUBPFC), Texas' $76 million series 2025A power supply revenue bonds, issued for the Kerrville Public Utility Board (KPUB). The outlook is stable. Pursuant to the parties' power sales agreement (PSA), KPUB has pledged contract payments from electric system revenue to KPUBPFC that include debt service payments on the series 2025A project debt. KPUB's contract payments will be an operating expense of the system, and are unconditional regardless of project performance. Series 2025A bond proceeds, in combination with series 2025B Texas Energy Fund (TEF) loan proceeds, will be used to finance the Rock Island Generation Project, including six 20.3-megawatt (MW) reciprocating internal combustion engines (RICEs)
