...S&P Global Ratings assigned its '###' rating to the Iowa Finance Authority's (IFA) state revolving fund (SRF) revenue bonds series 2020A, issued as green bonds. We have affirmed our '###' long-term rating on IFA's outstanding revolving fund bonds for both its drinking water and clean water programs. The outlook on all ratings is stable. The rating reflects our view of the authority's: + Extremely strong enterprise risk profile, given that the program has ongoing support from multiple levels of government and a governmental entity manages the program; and + Extremely strong financial risk score, with loss coverage score (LCS), operating performance, and financial policies consistent with this profile, which also includes cross-collateralization between clean water and drinking water portfolios. Because we view securitizations backed by pools of public-sector assets as highly sensitive to country risk, the rating on the securitization is capped at two notches above the sovereign. However,...
