Standard&Poor's Ratings Services assigned its 'AA' long-term rating to Puyallup, Wash.'s combined utility revenue and refunding bonds, series 2009A and B. At the same time, Standard&Poor's affirmed its 'AA' underlying rating (SPUR) to Puyallup's outstanding water and sewer revenue bonds. The net revenues of the waterworks utility -- which include the city's water, sewer, storm and surface water, and solid waste services -- secure the bonds. The ratings reflect our view of the combined utility's: Primarily residential economic base located within the Seattle-Tacoma region; Track record of maintaining strong cash reserves, reinforced by a minimum operating reserve policy; Strong historical annual debt service (ADS) coverage, with at least 3.0x ADS coverage projected going forward, based on
