...S&P Global Ratings assigned its '##+' rating to Milpitas Municipal Financing Authority, Calif.'s series 2019 wastewater revenue bonds, issued for the city of Milpitas' wastewater system. At the same time, S&P Global Ratings affirmed its '##+' long-term rating and underlying rating (SPUR) on the city's outstanding wastewater revenue refunding bonds. The rating reflects, in our opinion, the combination of extremely strong enterprise risk and financial risk profiles. The outlook is stable. The city operates a wastewater collection system, with wastewater flows treated at the San Jose/Santa Clara Water Pollution Control Plant (WPCP) under a master agreement, which gives the city flow capacity rights to 14.25 million gallons per day (mgd) or approximately 8.6% of the total treatment facility capacity, and in exchange, the city pays a share of the operation and maintenance costs and certain capital and debt service amounts. The upcoming capital needs for the WPCP are sizable, totaling $1.29 billion...
