Summary: North Carolina; Appropriations; General Obligation

S&P Global Ratings assigned its 'AAA' long-term rating to North Carolina's series 2018A general obligation (GO) public improvement (Connect NC) bonds. At the same time, we affirmed our 'AAA' rating on the state's existing GO bonds and our 'AA+' rating on its appropriation-backed obligations, including those issued by the North Carolina Turnpike Authority. The outlook on all the ratings is stable. The bonds are the second issuance of its $2 billion voter-approved GO bonds in March 2016, Connect NC, for projects throughout the state. Within the authorization, the primary projects (66.5%) are for the University of North Carolina ($980 million) and community colleges ($350 million). The prior issuance of $200 million occurred in 2016. Future Connect NC bond sales will

...S&P Global Ratings assigned its '###' long-term rating to North Carolina's series 2018A general obligation (GO) public improvement (Connect NC) bonds. At the same time, we affirmed our '###' rating on the state's existing GO bonds and our '##+' rating on its appropriation-backed obligations, including those issued by the North Carolina Turnpike Authority. The outlook on all the ratings is stable. The bonds are the second issuance of its $2 billion voter-approved GO bonds in March 2016, Connect NC, for projects throughout the state. Within the authorization, the primary projects (66.5%) are for the University of North Carolina ($980 million) and community colleges ($350 million). The prior issuance of $200 million occurred in 2016. Future Connect NC bond sales will depend on the project cash flows required. The series 2018A bonds constitute GOs of the state, secured by a pledge of its faith and credit and taxing power. The GO rating reflects our view of the following credit factors, including...

Summary