CUSIP 767165EE9

• ISIN: US767165EE96
• Entity Name: City of Rio Rancho
• Sector: Municipal
• Announcement Date: 19-Apr-2018
• Effective Date: *****
• Issue Date: *****
• Maturity Date: 01-Aug-2028
• Country of Issuer: United States
• Region: N.Amer
• Issue Currency: United States of America Dollars
• CA Type: Rating Downgrade
• News: Moody`s Investors Service has downgraded to Aa3 from Aa2 the City of Rio Rancho`s general obligation (GO) debt rating. Concurrently, we have assigned a Aa3 to the city`s $14.1 million General Obligation Bonds, Series 2018. RATINGS RATIONALE The downgrade to Aa3 from Aa2 is based on the city`s elevated pension burden and continued annual underfunding of pension contributions, which are outsized compared to peers. The city participates in Public Employee Retirement Association (PERA), a state-wide, cost-sharing plan. Although the city is making its statutorily-required annual payment (and is legally unable to make larger contributions), this is inadequate to prevent the unfunded liability from increasing. The Aa3 rating also incorporates the city`s large and stable tax base, which benefits from proximity to Albuquerque (GO Aa2 negative); manageable debt burden with rapid principal amortization; and, a management team that is willing to implement additional gross receipt taxes (GRT) to increase operating revenues.
• Description: Municipal Name: City of Rio Rancho CUSIP: 767165EE9 Currency: USD City of Rio Rancho announced today that the Moody`s Investors Service has downgraded the ratings of the Series 2016, General Obligation Improvement And Refunding Bonds from Aa2 to Aa3.
• Bond Document: https://www.bondpdf.com/
• Latest Corporate Actions: https://www.CAalerts.com/credit-corporate-action/ISIN/US767165EE96