Standard & Poor’s (S&P) Global Ratings raised its long-term rating to 'AA+' from 'AA' on Surprise, Ariz.'s series 2015 pledged revenue and revenue refunding obligations. The outlook is stable.
The raised rating action reflects the application of S&P’s "Priority-Lien Tax Revenue Debt" criteria, which factors in both the strength and stability of the pledged revenue, as well as the general credit quality of the obligor.
S&P stated the rating reflects the following positive attributes of Surprise:
• City's general creditworthiness reflects its strong overall financial position
• Strong budgetary flexibility and liquidity
• Strong debt and contingent liability position
• Strong financial management, with good financial policies and practices
At fiscal year-end 2019, the city had approximately $25.3 million in series 2015 pledged revenue and revenue refunding obligations outstanding.
View the full S&P report here.