Summary: Napa County Board of Education, California; Appropriations

S&P Global Ratings assigned its 'AA-' long-term rating to the Napa County Office of Education (COE), Calif.'s 2019 certificates of participation (COPs). The outlook is stable. The rating reflects our view of the office's covenant to budget and appropriate lease payments as well as the office's general creditworthiness. The series 2019 COPs represent an interest in lease rental payments made by the Napa County Office of Education, as lessee, to the Public Property Financing Corp. of California, as lessor, for use of the Camille Creek Community School. Payments are subject to abatement if the leased assets are damaged or destroyed, but the COE has covenanted to maintain rental interruption insurance of at least two years, and the properties meet our

...S&P Global Ratings assigned its '##-' long-term rating to the Napa County Office of Education (COE), Calif.'s 2019 certificates of participation (COPs). The outlook is stable. The rating reflects our view of the office's covenant to budget and appropriate lease payments as well as the office's general creditworthiness. The series 2019 COPs represent an interest in lease rental payments made by the Napa County Office of Education, as lessee, to the Public Property Financing Corp. of California, as lessor, for use of the Camille Creek Community School. Payments are subject to abatement if the leased assets are damaged or destroyed, but the COE has covenanted to maintain rental interruption insurance of at least two years, and the properties meet our criteria for seismic risk during the life of the obligations. The COE will not have a debt service reserve fund, but the lease payments will occur 90 days after the start of the fiscal year, which we believe mitigates budget adoption risk. We...

Summary