The rating on Illinois Development Finance Authority's bonds, issued for Community Rehabilitation Provider Facilities Acquisition Program, reflects the strengths of the pool structure, including: * Overcollateralization through a special reserve fund; * Mortgages on property acquired or refinanced by the bonds and a pledge of each provider's gross revenues and debt service reserve fund; * A state intercept mechanism to support both debt service payments and debt service reserve fund replenishment; * Diversity of pool participants: currently only one provider accounts for more than 10% of the loan amount and the pool is open-ended to allow new participants; and * Strong state oversight of the participants. Offsetting factors include the speculative grade credit characteristics of the majority of pool participants
