Standard&Poor's Ratings Services affirmed its 'BBB' rating, and stable outlook, on Durand, Mich.'s sewage disposal system revenue bonds. The rating reflects the system's: Satisfactory debt service coverage (DSC); Very weak liquidity position; and High rates that were recently increased -- the increase, however, should bolster liquidity levels. Expectation of an improving cash position and low debt levels are mitigating strengths. The city's system is small, but stable, and serves 1,500 customers in the 4,300-resident community. The city, which is between Flint, Mich. and Lansing, Mich. on Interstate 69 in Shiawassee County, serves as an affordably priced bedroom community to these employment centers and has, thus, been driving housing growth. Durand has been growing through annexation of both residential
