Albuquerque, N.M.'s bonds are secured by a closed senior lien on state-collected city gross receipts (sales) taxes from a 1% levy. The short-term put option is backed by a standby bond purchase agreement with Canadian Imperial Bank of Commerce and rated on that basis. These bonds are variable-rate bonds, with a maximum interest rate cap of 15%. The long-term rating reflects: A pledge of state-shared gross receipts tax revenues securing the bonds, A broad and resilient sales tax base, Strong legal provisions and extremely strong debt service coverage, An expanding economy, and Sound fiscal management. Albuquerque ('AA' GO rating) is New Mexico's largest city and economic center, with services, trade, and government driving the local economy. The public and health
