...S&P Global Ratings assigned its 'A+' rating to the city of Wharton, Texas' series 2019 general obligation (GO) refunding bonds and series 2019 certificates of obligation. At the same time, S&P Global Ratings affirmed its 'A+' rating on the city's existing GO debt. The outlook is stable. The rating reflects the city's relatively weak and limited economy, with some concentration in manufacturing, and its top 10 taxpayers. In addition, the city has maintained stable financial performance, though we note the presence of recurring reporting of receivables to the general fund from the water and sewer fund in the most recent three audits. While we understand the receivable has declined significantly in fiscal 2018, and management has taken steps to increase rates to address the payments to the general fund, we will continue to monitor this issue to ensure it does not create financial pressure for general fund operations. The bonds and certificates are payable from the city's ad valorem taxes,...
