The 'A' rating on Alameda-Contra Costa Transit District, Calif.'s certificates of participation (COPs) reflects: The strength and diversity of the available revenue stream; Good essentiality of the leased asset, an office building; and The Alameda-Contra Costa Transit Authority's participation in the San Francisco Bay Area's employment base. These strengths are offset by an estimated operating deficit in 2001. However, this deficit is short term as the district anticipates additional funding in 2002. The rating also reflects abatement risk; however, the district maintains rental interruption insurance that provides for the maximum annual lease payments for two fiscal years. Lease payments from the district act as security for the COPs. The district may use any source of legally available funds, including sales
