Standard&Poor's Ratings Services assigned its 'AA' rating to San Francisco City&County, Calif.'s series 2014-R1 and 2014-R2 refunding certificates of participation (COPs). The outlook is stable. The COPs represent an interest in base rental payments made by the city, as lessee, to the trustee (U.S. Bank National Association), as lessor, for the use of the city's court house and Youth Guidance Center, a juvenile detention facility. We understand that the city intends to use the COP proceeds to refund its series 2003 and 2004-R1 debt. Under the lease agreement, the city has covenanted to annually budget and appropriate base rental payments. Lease payments are triple net, without right of set-offs, and the city is responsible for the
