Standard&Poor's Ratings Services affirmed its 'A' rating on the village of Holly, Mich.'s series 2006 water system revenue bonds. The outlook is stable. The rating reflects our view of the water system's: Stable and primarily residential customers, with good incomes; At least good financial performance, when measured with debt service coverage (DSC) and unrestricted liquidity; and Lack of additional debt needs. We believe these credit strengths are somewhat offset by the water system's: Small unrestricted cash balance in nominal terms; and Very high utility rates as compared to the median household effective buying income (EBI), both on a nominal basis ($168.76 per 8,000 gallons including fixed charges) and as a percent of median household EBI (5.2%). The series
