Standard & Poor's Rating Services assigns 'AA' rating to Auburn
February 28, 2013 · 12:36 PM
The Standard & Poor's Ratings Services (S&P) assigned its "AA" long-term rating to Auburn's series 2013A and 2013B utility system revenue bonds.
At the same time, S&P affirmed its "AA" long-term rating on the City's series 2010A and 2010B utility system revenue bonds. The rating is based on its view of the following:
• Strong debt service coverage in each of the past four years
• Strong combined liquidity position in the water, sewer and stormwater funds
• Participation in the broad and deep Puget Sound regional economy
"The City Council understands that upgrading and improving the City's water, sewer and stormwater systems takes a long-term investment," said Mayor Pete Lewis. "The recent S&P rating is a great reflection on the council's willingness to support recommendations that will ensure the financial health of the City and its utility systems for many years to come."
Auburn's water system services about 13,690 accounts and includes two wholesale customers. The sewer system provides service to a customer base of 14,175. All properties in the city are served by the City's stormwater drainage system.
The series 2013 bonds are being issued to finance about $6.7 million in improvements for the City's water system and $4.8 million for the City's storm drainage system.
The complete rating report is available at www.standardandpoors.com.