Summary: New York City Municipal Water Finance Authority; Water/Sewer

S&P Global Ratings assigned its 'AA+' rating to the New York City Municipal Water Finance Authority's (NYCMWFA, or New York Water) 2021 series BB-1 and BB-2 water and sewer system second general resolution revenue bonds. We consider the outlook for the rating currently stable, given our belief that NYCMWFA has significant financial capability to weather immediate revenue effects which are currently being exacerbated by the response to COVID-19. The outlook or rating could change prior to that if New York City's significant recession leads to measurable financial variances worse than what we have already incorporated into our rating. About a $700 million revenue effect has been incorporated into NY Water's forecasts for fiscal years 2021-2023. Of note, management has indicated

...S&P Global Ratings assigned its '##+' rating to the New York City Municipal Water Finance Authority's (NYCMWFA, or New York Water) 2021 series ##-1 and ##-2 water and sewer system second general resolution revenue bonds. We consider the outlook for the rating currently stable, given our belief that NYCMWFA has significant financial capability to weather immediate revenue effects which are currently being exacerbated by the response to COVID-19. The outlook or rating could change prior to that if New York City's significant recession leads to measurable financial variances worse than what we have already incorporated into our rating. About a $700 million revenue effect has been incorporated into NY Water's forecasts for fiscal years 2021-2023. Of note, management has indicated that it expects to post a positive variance to the assumed $179 million reduction for 2020. The 2021BB-1 bonds will provide about $300 million in new money for capital projects and the 2021BB-2 bonds will refund existing...

Summary