S&P Global Ratings lowered its long-term rating to 'BB' from 'BB+' on the City of Oroville, Calif.'s series 2019 revenue bonds, issued for Oroville Hospital (Oroville). The outlook is negative. The lower rating reflects Oroville's weaker-than-expected financial profile since the time of our initial rating assignment. Most notably, days' cash on hand is much weaker than management's projections, in large part due to delays in receipt of provider fee payments. While we recognize this is somewhat of a timing matter, we consider the typical level of days' cash that Oroville has held throughout the year more in line with a lower rating. We note that Oroville narrowly surpassed its 45 days' cash on hand covenant at the close of fiscal
