S&P Global Ratings has affirmed its 'AA' rating on the City of Tacoma, Wash's electric system revenue bonds. The outlook is stable. The rating reflects what we view as the utility Tacoma Power's: Favorable power supply position with surplus capacity in nearly all months, even under low stream flow conditions and below-average power supply costs; Solid coverage of fixed costs and strong liquidity at the current rating level, which we project will continue over the next five years; and Manageable debt levels, although capital needs are expected to add moderate leverage. Credit concerns include the following: Although Tacoma Power has a favorable competitive position at present, with rates that are 7% below the state average, we anticipate that
