...S&P Global Ratings assigned its '##+' long-term rating to Cleveland, Ohio's series 2019A various purpose general obligation (GO) bonds. The outlook is stable. The GO bonds are secured by both revenue from ad valorem property taxes levied within its share of its 10-mill limitation and a first lien on municipal income taxes. In accordance with our criteria "Methodology: Rating Approach To Obligations with Multiple Revenue Streams" (published Nov. 29, 2011, on RatingsDirect), our rating is based on our view of the first-lien pledge of income taxes, which we view as stronger than the city's GO pledge. Property tax revenue is the first intended repayment source, but under Cleveland's general bond ordinance, the city has granted a first lien on its municipal income taxes to the full extent required to meet debt service on the bonds. Pledged are receipts from the entire 2.5% income tax, whereby one-ninth is restricted for capital improvements, debt service for capital improvements, or payment...
