...S&P Global Ratings assigned its 'A+' rating to Oak Grove, Mo.'s series 2018A general obligation (GO) refunding bonds and affirmed its 'A+' rating on the city's existing GO debt. S&P Global Ratings also affirmed its 'A' rating on the city's series 2017 certificates of participation (COPs). The outlook is stable. An unlimited ad valorem property tax pledge secures the bonds. The rating on the COPs is one notch below the GO debt rating, reflecting annual appropriation risk. The COPs are secured by lease-rental payments made by the city, as lessee, to the lessor. We rate the COPs one notch lower than the city's general creditworthiness as reflected by the GO bond rating to account for the risk of annual term renewal associated with the lease payments. The city has pledged to include the rental payments in its operating budgets, and has considered the affordability of the lease payment in its long-term plans. We considered the affordability and likelihood of the lease payment, which is reflected...
