...S&P Global Ratings has assigned its '##' long-term rating to the City of Cedar Hill, Texas' series 2018 general obligation (GO) bonds and combination tax and revenue certificates of obligation. At the same time, S&P Global Ratings affirmed its '##' long-term rating and underlying rating on the city's GO debt outstanding. The outlook is stable. Both the bonds and certificates are payable from the levy and collection of a direct and continuing ad valorem tax levied, within the limits prescribed by law, on all taxable property within the city. In addition, a surplus net revenue pledge of the city's waterworks and sewer system secure the series 2018 and previously issued certificates. Despite the additional revenue pledge, we rate the debt based on the city's GO pledge, which we view as the stronger pledge. Texas state law limits cities to a total property tax rate of $2.50 per $100 of assessed value (AV)--$1.50 of which can be allocated for debt service. Cedar Hill's levy is well below the...
