...S&P Global Ratings assigned its '##+' long-term rating to the California Municipal Finance Authority's series 2022 charter school lease revenue and refunding bonds, issued for Santa Rosa Academy Inc. (SRA or the academy). At the same time, S&P Global Ratings affirmed its '##+' rating on SRA's previously issued series 2012 and 2015 bonds. The outlook is stable. The series 2022 bond proceeds will be used to refund the organization's series 2012 bonds for interest cost savings and to extend the amortization of the obligation by close to 20 years. This results in a meaningful improvement in the organization's debt service carrying charge and coverage ratios, though we believe this is somewhat overstated due to the amortization schedule, which is considerably longer than what we consider typical for the sector. Proceeds will also be used to fund a $1.5 million debt service reserve fund (DSRF) and pay the costs of issuance. Approximately $341,000 will also be deposited into a project fund to...
