Summary: Connecticut Health&Educational Facilities Authority Connecticut; General Obligation; General Obligation Equivalent Security

S&P Global Ratings assigned its 'AA-' rating, and stable outlook, to Connecticut Health&Educational Facilities Authority's revenue bonds (Connecticut State University System issue), revenue bonds series P-1, and revenue refunding bonds series P-2, issued for the State of Connecticut. At the same time, S&P Global Ratings affirmed its 'AA-' rating, and stable outlook, on the authority's parity debt outstanding. We base the rating on the security provided by the special capital reserve fund (SCRF). The reserve fund is the ultimate layer of security and will only be accessed if the system's pledge of university, parking, and housing fees is insufficient to meet debt service requirements. This reserve fund, which is required to equal maximum annual debt service (MADS), is

...S&P Global Ratings assigned its '##-' rating, and stable outlook, to Connecticut Health & Educational Facilities Authority's revenue bonds (Connecticut State University System issue), revenue bonds series P-1, and revenue refunding bonds series P-2, issued for the State of Connecticut. At the same time, S&P Global Ratings affirmed its '##-' rating, and stable outlook, on the authority's parity debt outstanding. We base the rating on the security provided by the special capital reserve fund (SCRF). The reserve fund is the ultimate layer of security and will only be accessed if the system's pledge of university, parking, and housing fees is insufficient to meet debt service requirements. This reserve fund, which is required to equal maximum annual debt service (MADS), is funded from bond proceeds. According to the terms of the indenture, the reserve fund is held by the trustee. If the reserve fund is depleted to pay debt service, funding from the state is "deemed to be appropriated" to restore...

Summary