S&P Global Ratings assigned its 'AA-' long-term rating to San Francisco Public Utilities Commission (SFPUC), Calif.'s anticipated $495.5 million series 2025ABC water revenue bonds. At the same time, we affirmed our 'AA-' long-term rating and underlying rating (SPUR) on SFPUC's outstanding water revenue bonds. The outlook is stable. Proceeds from the series 2025ABC issuance will be used to current-refund approximately $300 million of outstanding bonds for debt service savings as well as to refund additional series of existing bonds through a tender offer, also for debt service savings. We understand the SFPUC has a 3% to 5% net present value savings threshold for standard refundings but a more varied target for tender offers; even so, the transaction size may be
