Summary: New York State Dormitory Authority; School State Program

Standard&Poor's Ratings Services affirmed its 'A+' long-term rating and stable outlook on the New York State Dormitory Authority's (DASNY) series 2009B, C, D, and E school district revenue bond financing program revenue bonds. We base the rating on statutory provisions provided by section 99-b of New York State Finance Law. This statute allows for the withholding of state aid due to the school district if the district does not make timely debt service payments. Standard&Poor's has historically treated the statutory provision as a credit enhancement. If a school district has adequate state aid coverage of maximum annual debt service (MADS), we would rate it 'A'. The bonds issued by DASNY on behalf of the districts are

...Standard & Poor's Ratings Services affirmed its 'A+' long-term rating and stable outlook on the New York State Dormitory Authority's (DASNY) series 2009B, C, D, and E school district revenue bond financing program revenue bonds. We base the rating on statutory provisions provided by section 99-b of New York State Finance Law. This statute allows for the withholding of state aid due to the school district if the district does not make timely debt service payments. Standard & Poor's has historically treated the statutory provision as a credit enhancement. If a school district has adequate state aid coverage of maximum annual debt service (MADS), we would rate it 'A'. The bonds issued by DASNY on behalf of the districts are rated one notch higher at 'A+' due to some credit enhancement, including our opinion of:...

Summary