The rating on Plano, Texas' bonds reflects: * Solid assessed valuation trends, spurred primarily by strong demand for new homes; * Conservative financial management resulting in healthy general fund reserves; * Economic vibrancy due to the presence of corporate headquarters facilities and the city's proximity to the Dallas metroplex; and * Significantly above-average wealth and income levels. The high debt and considerable capital improvement plan are offsetting factors; however, concerns are mitigated by the rapid principal amortization schedule. In southwest Collin County, Plano is about 20 miles north of Dallas. The estimated population (202,020 in 1998) has grown about 63% in the last 10 years and has resulted in escalating building permits and very healthy residential construction activity. More importantly,
