Summary: Galveston County Municipal Utility District No. 12, Texas; General Obligation

S&P Global Ratings revised the outlook on its 'A' rating on Galveston County Municipal Utility District (MUD) No. 12, Texas' general obligation (GO) debt to stable from negative. At the same time, S&P Global Ratings assigned its 'A' rating and stable outlook to the MUD's series 2019 unlimited-tax GO bonds and affirmed its 'A' rating on the MUD's existing GO debt. The outlook revision reflects our better understanding of the effect Hurricane Harvey had on the MUD. Although initial reports indicated storm damage could have a material effect on the MUD's property tax base and operations, we understand that there was no interruption of water-and-sewer service and that the system did not sustain any material hurricane damage. Therefore, assessed value

...S&P Global Ratings revised the outlook on its 'A' rating on Galveston County Municipal Utility District (MUD) No. 12, Texas' general obligation (GO) debt to stable from negative. At the same time, S&P Global Ratings assigned its 'A' rating and stable outlook to the MUD's series 2019 unlimited-tax GO bonds and affirmed its 'A' rating on the MUD's existing GO debt. The outlook revision reflects our better understanding of the effect Hurricane Harvey had on the MUD. Although initial reports indicated storm damage could have a material effect on the MUD's property tax base and operations, we understand that there was no interruption of water-and-sewer service and that the system did not sustain any material hurricane damage. Therefore, assessed value (AV) growth has continued. In addition, the MUD has maintained its low tax rate. The rating further reflects our opinion of the MUD's: + Access to Houston's deep and diverse economy, + Moderate overall net debt, and + Significant revenue-raising...

Summary