Fitch Rates Suffolk County IDA, NY Bonds 'A'.Business Editors NEW YORK--(BUSINESS WIRE)--Dec. 2, 2003 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 'A' underlying rating to $48 million Suffolk County Suffolk County may refer to:
sewage system, sewage works facility, installation - a building or place that provides a particular service or is used for a particular industry; "the revenue refunding bonds, series 2003. The bonds will price the week of Dec. 8 via negotiation through a syndicate lead by Morgan Stanley. The bonds are expected to carry municipal bond insurance Municipal bond insurance An insurance policy which guarantees payment on municipal bonds in the event of default . municipal bond insurance A guarantee from a third party that principal and interest will be paid to a bondholder. from a 'AAA' Fitch rated insurer and mature serially Feb. 1, 2004-2009 with semi-annual interest payments on Feb. 1 and Aug. 1, commencing Feb. 1, 2004. Additionally, Fitch assigns an underlying 'A' rating to the Suffolk County Industrial Development Agency's approximately $84.6 million (net of refunding) outstanding Suffolk County southwest sewer system revenue bonds. The Rating Outlook is Stable. The 'A' rating reflects the county's unconditional obligation to make service payments to the agency (general obligation bonds rated 'A+' by Fitch), the agency's assignment of all rights, title and interest in the receipt of revenues and fixed assets to the trustee, stable revenues generated from property tax bills and ample reserve levels bolstered by a dedicated portion of the county's sales and use tax Sales and use tax refers to:
The bonds are special obligations of the agency, payable solely from a service fee paid to the trustee as the assignee assignee (assign) n. a person to whom property is transferred by sale or gift, particularly real property. (See: assign) ASSIGNEE. One to whom an assignment has been made. 2. of the agency, by the county in an amount equal to debt service and operating costs. Under the terms of the service agreement, the county's obligation to remit service fee payments to the agency is an unconditional obligation of the county. The only instance in which the county is not obligated ob·li·gate tr.v. ob·li·gat·ed, ob·li·gat·ing, ob·li·gates 1. To bind, compel, or constrain by a social, legal, or moral tie. See Synonyms at force. 2. To cause to be grateful or indebted; oblige. to pay is during a service failure period, defined as suspended sewer service to over 25% of the district for a period of 90 consecutive days. However, the risk of service suspension is minimal, as under the amended operating agreement, the county remains the sole operator of the district. The district was established in 1970 and is an administrative agency An official governmental body empowered with the authority to direct and supervise the implementation of particular legislative acts. In addition to agency, such governmental bodies may be called commissions, corporations (e.g. of the county accounted for as a special revenue fund. The district provides sewer services to approximately 23% of the county's population, including commercial business along the very active Route 110 corridor. District customers are primarily residential, approximately 64,450 accounts, however does serve 3,471 commercial connections. The system has excess treatment capacity at 30.5 million gallons per day and performs satisfactorily. District revenues include two charges levied on the property tax bill paid by all properties in the district and a user fee collected monthly by the department of public works. Additionally, the county charges outside contractees a connection charge and a 5% annual surcharge on top of all aforementioned charges. Audited 2002 property tax receipts represented 67% of the roughly $60 million in district revenues and user fees comprised 32%. The district fund is currently self-supporting, however, cash is minimal at $233,000 in fiscal 2002. Additional protections exist in the form of the assessment stabilization reserve account, serving as a cushion to all of the county's 20 sewer districts. In fiscal 2002, the unreserved cash balance totaled a high $33 million. The SCIDA SCIDA Severe Combined Immunodeficiency, Athabaskan-Type is a public benefit corporation created in 1975. The county appoints agency members and the agency assigns all of its rights, title and interest in the lease agreement, operating agreement and service agreement to the trustee. Service payments from the county are due to the trustee 15 days prior to debt service payments. |
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