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Fitch Rates Florida DOT 9B Payment Obligation 'A'.

NEW YORK -- Fitch Ratings assigns an 'A' rating to the payment obligation of the Florida Department of Transportation (FDOT) related to the 9B Design-Build-Finance Project. The payments will support the planned issuance of approximately $59.1 million Infrastructure Improvement Revenue Bonds, Series 2012(9B Design Build Finance Project), by the Florida Municipal Loan Council.

The Rating Outlook is Stable.

Pursuant to section 334.30 of Florida Statutes, FDOT can enter into design-build-finance (DBF) contracts and other public-private partnerships for projects included in FDOT's work program. Payments by FDOT can be made over time, as long as obligations for such payments in total do not exceed 15% of total federal and state funding for the State Transportation Trust Fund (STTF).

Bonds issued pursuant to this authorization are supported by statutorily authorized payments to be made by FDOT, subject to appropriation, and pursuant to a DBF contract. Fitch views the credit quality of the statutorily authorized payments to be made by FDOT pursuant to the DBF contract for the 9B project as 'A'.

The 'A' rating reflects the legislative acknowledgement of the project financing and parameters around future use of the security, the sound operating history of the Florida DOT, a record of solid management of transportation funding and assets, and a history of timely payment on contracts, as well as the state's solid economic fundamentals. Maintenance of the 'A' rating will be based on stability of the statutory framework as well as continued appropriation and inclusion of the project in future FDOT work programs.

For further detail, please see 'Fitch Rates FL Municipal Loan Council Infrastructure Improvement Revenue Bonds 'A", dated Aug. 17, 2012, available at www.fitchratings.com.

Additional information is available at 'www.fitchratings.com'. The ratings above were solicited by, or on behalf of, the issuer, and therefore, Fitch has been compensated for the provision of the ratings.

Applicable Criteria and Related Research:

--'Tax Supported Rating Criteria' (Aug. 14, 2012);

--'US State Government Rating Criteria' (Aug. 14, 2012).

Applicable Criteria and Related Research:

Tax-Supported Rating Criteria

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=686015

U.S. Local Government Tax-Supported Rating Criteria

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=685314

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Comment:Fitch Rates Florida DOT 9B Payment Obligation 'A'.
Publication:Business Wire
Geographic Code:1U2NY
Date:Aug 17, 2012
Words:543
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