Standard&Poor's Ratings Services assigned its 'A-' rating, and stable outlook, to DeKalb-Jackson Water Supply District Inc., Ala.'s series 2009A utility revenue bonds. Standard&Poor's applied its strong-link analysis approach to the district's rating based on the unlimited step-up provisions found in the district's funding agreements with North Jackson County Water Authority and Sand Mountain Water Authority. We believe North Jackson County Water Authority is the stronger of the district's two member participants and guarantors. In our view, the rating reflects North Jackson County Water Authority's: Recent willingness to adjust rates to provide good total debt service coverage (DSC), as well as strong coverage of its maximum expected funding agreement payment; Good liquidity position as a percent of
