...S&P Global Ratings has lowered its rating on New Mexico Finance Authority's senior-lien transportation revenue bonds, issued for the New Mexico State Transportation Commission, to '##+' from '###'. The outlook is stable. The downgrade follows the application of our Priority-Lien Tax Revenue Debt criteria published Oct. 22, 2018, which factors in both the strength and stability of the pledged revenues, as well as the general credit quality of New Mexico as issuing obligor. The priority-lien rating on the senior-lien bonds is limited by our view of the state's creditworthiness (general obligation [GO] rating ##/Stable) and is constrained from being raised higher unless we raise our GO rating on the state, despite very strong revenue coverage of debt service. In our view, the transportation revenue bonds do not benefit from limited scope of operations or extraordinary expenditure flexibility of the obligated entity, while we believe pledged revenues have exposure to operating risk of the state....
