Summary: Newport Municipal Utility District, Texas; General Obligation

S&P Global Ratings assigned its 'A' long-term rating and stable outlook to Newport Municipal Utility District (MUD), Texas' series 2020A unlimited-tax bonds and series 2020B unlimited-tax park bonds, and affirmed its 'A' long-term rating and underlying rating (SPUR), with a stable outlook, on the MUD's general obligation debt outstanding. Revenue from an unlimited ad valorem tax levied on all taxable property within the MUD secures the bonds. Officials intend to use series 2020A and series 2020B bond proceeds to fund various water, wastewater, and sanitary sewer improvement projects. The MUD continues to develop despite its maturity, in our opinion. Hurricane Harvey affected the district's finances during the past two fiscal years, but management expects insurance or the Federal Emergency Management

...S&P Global Ratings assigned its 'A' long-term rating and stable outlook to Newport Municipal Utility District (MUD), Texas' series 2020A unlimited-tax bonds and series 2020B unlimited-tax park bonds, and affirmed its 'A' long-term rating and underlying rating (SPUR), with a stable outlook, on the MUD's general obligation debt outstanding. Revenue from an unlimited ad valorem tax levied on all taxable property within the MUD secures the bonds. Officials intend to use series 2020A and series 2020B bond proceeds to fund various water, wastewater, and sanitary sewer improvement projects. The MUD continues to develop despite its maturity, in our opinion. Hurricane Harvey affected the district's finances during the past two fiscal years, but management expects insurance or the Federal Emergency Management Agency (FEMA) will reimburse the majority of these storm-related costs. Debt metrics could increase modestly during the next two years as the MUD reimburses developers and issues new-money debt...

Summary