Summary: Albuquerque, New Mexico; Solid Waste/Resource Recovery

S&P Global Ratings assigned its 'AA' long-term rating to the city of Albuquerque, N.M.'s $44.26 million series 2020 refuse removal and disposal improvement revenue bonds. The outlook is stable. The series 2020 bonds will become the only debt outstanding of the system, although management intends to follow up with a proposed issuance of additional bonds sometime in 2021. Additional debt may be issued so long as maximum annual debt service coverage (DSC) is at least 1.50x. A debt service reserve fund calculated in the amount of the lesser of maximum annual debt service, 125% of average annual debt service, or 10% of par provides additional liquidity; we understand that the city intends to satisfy the reserve fund requirement with a

...S&P Global Ratings assigned its '##' long-term rating to the city of Albuquerque, N.M.'s $44.26 million series 2020 refuse removal and disposal improvement revenue bonds. The outlook is stable. The series 2020 bonds will become the only debt outstanding of the system, although management intends to follow up with a proposed issuance of additional bonds sometime in 2021. Additional debt may be issued so long as maximum annual debt service coverage (DSC) is at least 1.50x. A debt service reserve fund calculated in the amount of the lesser of maximum annual debt service, 125% of average annual debt service, or 10% of par provides additional liquidity; we understand that the city intends to satisfy the reserve fund requirement with a surety policy. The rate covenant is 1.50x annual DSC. The bonds are secured by a first-lien pledge on the net revenues of the city's refuse disposal system. Bond proceeds will be used to make improvements at key system locations such as a maintenance facility and...

Summary