...S&P Global Ratings lowered its underlying rating (SPUR) to 'A' from 'A+' on the Hamilton Community Authority, Ohio's series 2019 lease revenue bonds issued on behalf of the City of Hamilton. At the same time, S&P Global Ratings assigned its 'A+' long-term rating to the City of Hamilton's series 2020 taxable special obligation nontax revenue bonds (Champion Mill Project). The outlook is stable. The series 2020 nontax bonds are special obligations secured by certain nontax revenue of the city. Nontax revenue includes no ad valorem tax revenue and is only a portion of general fund revenue. However, bond legal documents do not prohibit the city from using other revenue to pay debt service. Because the developer loan payments are not legally pledged, our rating solely reflects the city's pledge of nontax revenue, which it would use to cover any shortfall in developer loan payments. We rate the nontax revenue bonds at the same level as our view of the city's general creditworthiness because of...
