Standard & Poor's Ratings Services has raised its underlying rating to AA-minus from A-plus rating on Mercer County Public Library District, Ky.'s series 2009 general obligation public project bonds.
"We based the upgrade on the library district's maintenance of very strong reserves after completion of the library's expansion project," said Standard & Poor's credit analyst Errol Arne. "The stable outlook reflects our expectation that the district will continue to maintain at least strong financial reserves," said Arne.
The rating reflects Standard & Poor's assessment of the library district's: access to the Lexington and Frankfort economic bases; very strong financial position, using a cash basis of accounting; and low overall debt burden.
The district's unlimited-tax GO pledge secures the bonds.
Mercer County, located in the central portion of Kentucky, is about 30 miles southwest of Lexington and 30 miles south of Frankfort. The county has an estimated population of 22,077.
Standard & Poor's does not expect to revise the rating during the two-year outlook period. The county's access to the broader Lexington and Frankfort economic bases provides additional rating stability, according to Standard & Poor's.