Summary: Charleston, South Carolina; Water/Sewer

S&P Global Ratings assigned its 'AAA' rating to Charleston, S.C.'s estimated $119.5 million series 2020A taxable and 2020B tax exempt waterworks and sewer system refunding and capital improvement bonds. At the same time, we affirmed our 'AAA' long-term rating on the water and sewer parity revenue bonds. The outlook is stable. The city's gross revenue pledge of its waterworks and sewer system less operations and maintenance expenditures secures the series 2020A and B bonds which we consider to be equivalent to a net revenue pledge. We understand the 2020A bond proceeds will be used to refund existing debt for savings and the 2020B bond proceeds to make improvements to the Plum Island treatment facility. We view the bond provisions as

...S&P Global Ratings assigned its '###' rating to Charleston, S.C.'s estimated $119.5 million series 2020A taxable and 2020B tax exempt waterworks and sewer system refunding and capital improvement bonds. At the same time, we affirmed our '###' long-term rating on the water and sewer parity revenue bonds. The outlook is stable. The city's gross revenue pledge of its waterworks and sewer system less operations and maintenance expenditures secures the series 2020A and B bonds which we consider to be equivalent to a net revenue pledge. We understand the 2020A bond proceeds will be used to refund existing debt for savings and the 2020B bond proceeds to make improvements to the Plum Island treatment facility. We view the bond provisions as credit neutral. Key bond provisions include a rate covenant set at 1.20x annual debt service. The system may issue additional bonds by meeting an additional bonds test of 1.2x annual debt service....

Summary