S&P Global Ratings assigned its ?AAA? long-term rating to Orange County Utilities (OCU), Florida?s $232.7 million series 2026 water and wastewater utility revenue bonds. At the same time, we affirmed our ?AAA? rating on the utility?s existing revenue debt. The outlook is stable. The bonds are secured by net revenue of the water and wastewater system. In our opinion, bond provisions are credit neutral. Key provisions include a rate covenant of 1.2x annual debt service and an additional bonds test of 1.2x maximum annual debt service (MADS). At fiscal year-end 2025, the system had $331.1 million of revenue bonds outstanding. The system also possesses unrated state revolving fund loans that are pledged on a subordinate basis, totaling about $68.4 million
