S&P Global Ratings revised the outlook to positive from stable and affirmed its 'BB' underlying rating on DeKalb-Jackson Water Supply District Inc. (DKJWD), Ala.'s utility revenue debt. We note that the bonds outstanding will be refunded on July 1, 2023, by the district's series 2020A and 2020B utility revenue bonds. At the same time, we affirmed our 'B+' underlying rating on DeKalb-Jackson Cooperative District's (DKJCD) revenue debt, which is a subordinate pledge of water revenues. The cooperative district's total debt outstanding is approximately $19 million. The outlook revision was primarily driven by growth in the natural gas system revenues. We maintained a two-notch differential between our ratings on DKJWD's senior-lien debt and DKJCD's debt due to the latter's subordinate pledge
