PHOENIX - Standard & Poor's revised its outlook on King County, Wash. to negative from stable.
The rating agency assigned a AAA rating to the county's 2016 limited tax general obligation bonds, and affirmed its AA-plus rating on the county's appropriation bonds.
It also affirmed the King County Housing Authority's debt at AAA.
The county is Washington's most populous with more than 2 million residents; its seat is Seattle.
"The negative outlook reflects our view of the county's continued projected drawdown of available funds to a level we only consider strong instead of very strong," said Standard & Poor's credit analyst Kate Burroughs. "The rating is further depressed by our view of the county's weak budgetary performance despite robust economic conditions," Burroughs added.
The county sold $279.08 million of Series 2016A sewer refunding revenue bonds earlier this month. The county's financial disclosures for the 2014 fiscal year showed a general fund balance decline of 10.9%, despite a positive overall financial position.
