S&P Global Ratings assigned its 'AAA' long-term rating to Charlotte, N.C.'s series 2022A and taxable 2022B water and sewer system revenue bonds. We affirmed our 'AAA' rating on the city's previously issued water and sewer system revenue bonds. The outlook is stable. A net pledge of the water and sewer system secures the bonds. Officials intend to use series 2022 bond proceeds to fund approximately $120 million in projects, refund the city's series 2011 bonds, take out the bond anticipation notes (BANs), refund the series 2006B bonds and terminate the related SWAP (depending on market conditions), and pay the associated issuance costs. We view bond provisions as credit neutral. The rate covenant permits the use of surplus revenue when meeting
