...S&P Global Ratings assigned its '##' program rating and 'A' underlying rating for credit program and stable outlook to Anchor Bay School District, Mich.'s series 2019-II unlimited-tax general obligation (GO) bonds and affirmed its 'A' underlying rating, with a stable outlook, on the district's existing GO debt. The '##' program rating reflects our view of the district's participation in the Michigan State School Bond Loan Fund program. Section 16 of Article 9 of Michigan's 1963 Constitution created the program to provide districts access to funds to avoid a default on qualified debt. Under the program, if a school district fails to meet its debt-service obligation for qualified debt, the state treasurer pays the required debt service and payment to bondholders is uninterrupted. If the balance in the state's loan fund is insufficient to cover obligations, the state is required to make loans from the general fund or issue state GO debt. We rate bonds in this program on par with the state...
