Summary: Metropolitan District Hartford County, Connecticut; General Obligation

S&P Global Ratings lowered its long-term rating on Metropolitan District Hartford County (MDC), Conn.'s general obligation (GO) bonds, to 'AA' from 'AA+'. The outlook is negative. The downgrade reflects the MDC's exposure to the City of Hartford's financial distress. The city's financial imbalance, combined with MDC's elevated debt and persistent challenges in the area economy, no longer supports the 'AA+' rating, in our view. The negative outlook reflects the ongoing uncertainty of Hartford's financial condition and the risks it could present to MDC operations. The city represents 26% of MDC's tax base, and remits 15.7% of total general fund revenue (or 6.8% of total general and proprietary fund revenue). S&P Global Ratings also assigned its 'AA' rating and negative outlook

...S&P Global Ratings lowered its long-term rating on Metropolitan District Hartford County (MDC), Conn.'s general obligation (GO) bonds, to '##' from '##+'. The outlook is negative. The downgrade reflects the MDC's exposure to the City of Hartford's financial distress. The city's financial imbalance, combined with MDC's elevated debt and persistent challenges in the area economy, no longer supports the '##+' rating, in our view. The negative outlook reflects the ongoing uncertainty of Hartford's financial condition and the risks it could present to MDC operations. The city represents 26% of MDC's tax base, and remits 15.7% of total general fund revenue (or 6.8% of total general and proprietary fund revenue). S&P Global Ratings also assigned its '##' rating and negative outlook to Hartford MDC's series 2016C GO bonds. The district's full faith and credit pledge secures the GO bonds. We understand bond proceeds will be used for various sewer, water, and public improvement projects. The '##'...

Summary