Moody’s Investors Service assigned an A2 rating to the Trinity Public Utilities District’s upcoming $18 million issue of electric revenue bonds.
The agency said the rating reflects the Northern California district’s sound financial operations, ample supply of inexpensive power and manageable debt.
Moody’s also cited the rural district’s modest number of customers and below-average economy. Trinity County’s June unemployment rate hit 17.7%.
The bonds are expected to sell on Sept. 15, according to Moody’s.
Proceeds from the sale will be used in part to purchase lines from Pacific Gas and Electric to link with the Western Area Power Administration and for general system improvements, Moody’s said.
The direct tie will enable the district to save $1 million annually and will enhance reliability because it will no longer have to rely on PG&E for maintaining the transmission lines in its area, according to analysts.
