Summary: Trinity River Authority, Texas; Water/Sewer

S&P Global Ratings assigned its 'AA-' rating to Trinity River Authority (TRA), Texas' series 2019 revenue improvement bonds, issued for the Red Oak Creek system, a regional wastewater treatment system. At the same time, S&P Global Ratings affirmed its 'AA-' rating on the authority's Red Oak Creek system's parity debt. The outlook is stable. We base our rating on the member cities' collective general creditworthiness and their contractual commitments to TRA. The cities receive a monthly invoice from the authority, with each billing composed of 8.3% of the budgeted operating costs and a fixed component that supports TRA's debt service on the Red Oak Creek system. The cities with the strongest relative credit quality are, in our view and in

...S&P Global Ratings assigned its '##-' rating to Trinity River Authority (TRA), Texas' series 2019 revenue improvement bonds, issued for the Red Oak Creek system, a regional wastewater treatment system. At the same time, S&P Global Ratings affirmed its '##-' rating on the authority's Red Oak Creek system's parity debt. The outlook is stable. We base our rating on the member cities' collective general creditworthiness and their contractual commitments to TRA. The cities receive a monthly invoice from the authority, with each billing composed of 8.3% of the budgeted operating costs and a fixed component that supports TRA's debt service on the Red Oak Creek system. The cities with the strongest relative credit quality are, in our view and in no particular order, are Cedar Hill, Desoto, and Red Oak, which in total accounted for a little less than 67% of anticipated fiscal 2019 flows, or the physical volumes of wastewater conveyed to the authority. Flows are the major determinant in how TRA allocates...

Summary