Standard&Poor's Ratings Services assigned its 'SP-1+' short-term rating to the District of Columbia's series 2010 general obligation (GO) tax and revenue anticipation notes (TRANs). The rating reflects the District of Columbia's: Underlying long-term general creditworthiness ('A+' GO debt rating); Good financial operations despite recent fund balance reductions; and Strong debt service coverage at note maturity, provided by the general fund cash balance and other borrowable money. The notes are a GO of the district and are secured by the district's full faith and credit pledge for the payment of principal and interest on the notes when due on Sept. 30, 2010. The district is issuing $500 million, or 20% more than last year, to account for reduced reserves.
