Fitch Rates Nassau County Interim Finance Authority, NY $173MM Sales Tax Bonds 'AA+'.NEW YORK New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of -- Fitch Rates Nassau County Nassau County is the name of two counties in the United States of America:
Fitch Ratings-New York-November 28, 2005: Fitch Ratings Fitch Ratings An international rating agency for financial institutions, insurance companies, and corporate, sovereign, and municipal debt. Fitch Ratings has headquarters in New York and London and is wholly owned by FIMALAC of Paris. assigns an 'AA+' rating to approximately $173.5 million Nassau County Finance Authority (NIFA NIFA Nebraska Investment Finance Authority NIFA National Intercollegiate Flying Association NIFA New International Financial Architecture (political science) NIFA North Idaho Farmers’ Association NIFA National Institute of First Assisting, Inc. ) sales tax secured bonds, series 2005 D. The bonds are scheduled to price Dec. 8 via negotiation with a syndicate lead by Goldman Sachs The Goldman Sachs Group, Inc., or simply Goldman Sachs (NYSE: GS) is one of the world's largest global investment banks. Goldman Sachs was founded in 1869, and is headquartered in the Lower Manhattan area of New York City at 85 Broad Street. & Co. The majority of the proceeds will be used to finance county tax certiorari certiorari In law, a writ issued by a superior court for the reexamination of an action of a lower court. The writ of certiorari was originally a writ from England's Court of Queen's (King's) Bench to the judges of an inferior court; it was later expanded to include writs and legal judgments and a portion will be used to fund county capital projects. At this time, Fitch affirms the 'AA+' rating on approximately $2.1 billion outstanding NIFA bonds. The Rating Outlook is Stable. The 'AA+' rating incorporates elements of both municipal and structured finance credit analysis. NIFA is a bankruptcy-remote issuer, and the bond structure grants a first-perfected security interest in sales tax revenues, which provide strong debt service coverage even under stress tests. Statutory and contractual covenants prohibit certain state or county actions to impair bondholder rights. The primary credit concern is the right of the State of New York and Nassau County to alter the tax structure, but this risk is mitigated by the county's improvement in credit quality over the past several years. The county's general obligation (GO) bonds are rated 'A+' with a Positive Outlook by Fitch. NIFA's bonds are secured by a 4.25% local sales tax less the 0.25% currently required to be paid to towns and cities and the up to 0.083% authorized to be allocated to villages. The county has extended the 1.25% portion of the 4.25% state-authorized rate through November 2007. The state collects sales tax revenues and distributes them to the state comptroller from whom they flow directly to the bond trustee. The county receives residual revenues only after NIFA debt service and operating requirements are met. Growth in sales tax revenues has been strong, averaging 5% annually since 1981 after accounting for changes in the rate levied. In fiscal 2004 receipts increased 6.5% over fiscal 2003 levels and for fiscal 2005 receipts have been coming in 1.5% above fiscal 2004 collections. Stress tests show that the sales tax provides strong coverage. Projected maximum annual debt service (MADS) occurs in fiscal 2012. Coverage of MADS by fiscal 2004 receipts is high at 4.1 times. Although NIFA is authorized to issue debt on behalf of Nassau County through 2007, it is anticipated that the current issuance will substantially complete NIFA's borrowing program. Fitch's rating definitions and the terms of use Terms of Use are rules set up by the owner of an intellectual property or service to govern how they may be legally used. In many cases, terms of service are used as a contractual agreement between a company and users of a service they provide. of such ratings are available on the agency's public site, 'www.fitchratings.com'. Published ratings, criteria and methodologies are available from this site, at all times. Fitch's code of conduct, confidentiality, conflicts of interest, affiliate firewall, compliance and other relevant policies and procedures Policies and Procedures are a set of documents that describe an organization's policies for operation and the procedures necessary to fulfill the policies. They are often initiated because of some external requirement, such as environmental compliance or other governmental are also available from the 'Code of Conduct' section of this site. |
|
||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion