Summary: Kentucky Kentucky Turnpike Authority; Gas Tax; Miscellaneous Tax

S&P Global Ratings has lowered its rating on the Kentucky Turnpike Authority's economic development road revenue bonds three notches to 'A-' from 'AA-', based on application of its new "Issue Credit Ratings Linked to U.S. Public Finance Obligors? Creditworthiness" criteria (published Jan. 22. 2018, on Ratings Direct), and its view of the authority's increasing financial pressures, primarily pension contributions, at the state level. The outlook is stable. In our opinion, the structure of the pledge relative to Kentucky's fiscal profile under our "Issuer Credit Ratings Linked" criteria aligns with that of the state's appropriation rating and other lease appropriation obligations of its road fund which we also rate. The rating on the obligations is one notch off the state's issuer

...S&P Global Ratings has lowered its rating on the Kentucky Turnpike Authority's economic development road revenue bonds three notches to 'A-' from '##-', based on application of its new "Issue Credit Ratings Linked to U.S. Public Finance Obligors' Creditworthiness" criteria (published Jan. 22. 2018, on Ratings Direct), and its view of the authority's increasing financial pressures, primarily pension contributions, at the state level. The outlook is stable. In our opinion, the structure of the pledge relative to Kentucky's fiscal profile under our "Issuer Credit Ratings Linked" criteria aligns with that of the state's appropriation rating and other lease appropriation obligations of its road fund which we also rate. The rating on the obligations is one notch off the state's issuer credit rating (ICR) and will move in tandem with the state's ICR. We view these bonds as having a strong relationship to the obligor since they provide funding for transportation projects that we believe are significantly...

Summary