Standard&Poor's Ratings Services affirmed its 'A' underlying rating (SPUR) and stable outlook on Springdale, Ark.'s water and sewer revenue bonds. In our opinion, the 'A' rating reflects: Access to the stable Fayetteville-Springdale-Rogers metropolitan statistical area (MSA), boosting wealth and income levels; The system's rapid roll off of existing debt, combined with a manageable capital plan; and Significant rate flexibility and a demonstrated willingness to adjust rates, as necessary. Offsetting the rating is: An adequate financial position, despite declines in unrestricted cash; and Significant customer base concentration, with the top 10 rate payers accounting for 34.7% of total revenues. A first-lien pledge on net revenues of the waterworks and sanitary sewer system secures the bonds. Springdale, with a population
