...S&P Global Ratings has affirmed its '##' rating on the State of New Mexico's outstanding general obligation (GO) bonds, and changed its rating outlook to negative from stable. We have also revised our outlook on New Mexico State Transportation Commission's senior lien transportation revenue bonds to negative from stable, based on our '##+' rating and the application of our priority lien criteria, which limits the highway revenue bonds to no more than one notch above the state's GO rating. The outlook change does not affect the lower-rated subordinate-lien highway revenue bonds (##/Stable). The state's full faith and credit pledge, including an unlimited ad valorem tax on taxable property, secures the GO bonds. New Mexico annually levies property taxes in amounts sufficient to provide a reasonable cash surplus in excess of the next year's debt service payments on its GO debt, in order to provide protection against delinquent tax payments. The senior-lien transportation revenue bonds are...
