S&P Global Ratings assigned its 'AA' long-term rating to the State of North Carolina 's proposed $433 million series 2025 grant anticipation revenue vehicle (GARVEE) bonds and refunding bonds. At the same time, S&P Global Ratings affirmed its 'AA' long-term rating and underlying rating on the state's GARVEE bonds outstanding. The outlook is stable. Securing the bonds are receipts solely from Title 23 federal aid transportation reimbursements and designated for project-specific debt service under a memorandum of agreement (MOA) with the Federal Highway Administration (FHWA), North Carolina Department of Transportation (NCDOT), and the state treasurer. Bonds are special, limited obligations payable only from the trust estate. North Carolina has a direct GARVEE program whereby the FHWA reimburses the state for
