...Standard & Poor's Ratings Services assigned its '###' long-term rating and stable outlook to Watertown, Mass.' series 2016 general obligation (GO) municipal purpose loan. At the same time, Standard & Poor's affirmed its '###' rating on the town's GO debt outstanding. The outlook is stable. In addition, Standard & Poor's assigned its 'SP-1+' short-term rating to the town's 2016 GO bond anticipation notes (BANs). The short-term rating reflects our view that Watertown maintains a very strong ability to pay principal and interest when the notes come due. In our opinion, Watertown sustains a low market risk profile as it maintains strong legal authority to issue long-term debt to take out the BANs; in addition, the town is a frequent issuer that regularly provides ongoing disclosure to market participants. The town's full-faith-and-credit pledge, subject to the limitations of Proposition 2+, secures the bonds. Despite limitations imposed by the commonwealth levy limit law, we did not make a...
