Fitch Ratings has affirmed Suffolk County Water Authority’s water system revenue bonds and BANs at their current AAA rating, noting that the utility’s "operations are well-managed" and that the region has "an abundant source of high quality water that requires minimal treatment and cost to produce."
The agency affirmed AAA ratings on $580 million of (senior lien) revenue bonds; $72 million of (subordinate lien) revenue bonds; and $100 million of BANs, 2013A and 2013B (subordinate lien.) Fitch also declared SCWA’s rating outlook to be stable.
"It’s extremely gratifying for the Suffolk County Water Authority to again be recognized for its strong fiscal management," said SCWA Chairman James F. Gaughran. "Our excellent bond ratings keep our rates low and save our customers money."
In a press release, Fitch cited SCWA's "consistently solid all-in debt service coverage (DSC) levels and robust liquidity." The agency also noted SCWA's strong credit quality, good financial margins, low rates and robust cash balances.
The Suffolk County Water Authority is an independent public-benefit corporation operating under the authority of the Public Authorities Law of the State of New York. Serving approximately 1.2 million Suffolk County residents, the Authority operates without taxing power on a not-for-profit basis.