...S&P Global Ratings assigned its '##+' long-term rating to Seattle, Wash.'s approximately $108 million series 2022 water system improvement and refunding revenue bonds. At the same time, S&P Global Ratings affirmed its '##+' rating on the city's existing water system parity debt. The outlook is stable. Proceeds from series 2022 water system improvement and refunding revenue bonds will be used to fund $87.5 million of upcoming water system capital needs and refund all or a portion of the series 2012 bonds for debt service savings. The system presently has $645.4 million of parity water system bonds outstanding as well as $22.7 million of subordinate state loans. The bonds are secured by a pledge of net revenues of the city's water system. A rate covenant requires the system to generate debt service coverage of 1.25x, though withdrawals from a rate stabilization fund can be included in this calculation. Additionally, securing all parity bonds is a reserve, funded at $56.1 million (funded with...
