Standard&Poor's Ratings Services affirmed its 'AA-' rating on San Antonio, Texas' water system senior-lien bonds and 'A+' rating on the city's water system junior-lien bonds. The ratings reflect the system's: Broad, diversified, and growing service area; Strong liquidity and adequate coverage of debt service; Positive actions toward developing long-term water availability; and Competitive water and sewer rates, providing flexibility regarding the development of new long-term water resources. Factors that place pressure on the rating include: Potential financial, political, and environmental challenges related to the development of additional water resources to supplement the Edwards Aquifer groundwater supply, specifically the more than $1.0 billion capital improvement plan (CIP) during the next five years; An extended maturity schedule; and The need
