Standard & Poor’s raised the rating on San Antonio Water System’s revenue bonds to AA from AA-minus, citing “management’s ability to maintain good coverage levels and strong liquidity, coupled with the development of a long-range capital and financial plan.”
SAWS also won good marks for diversifying its long-term supplies of water and maintaining competitive water and sewer rates. The system provides water and wastewater services to more than 1 million consumers in the San Antonio region.
Chief financial officer Doug Evanson said the higher rating “will result in millions of dollars of savings for SAWS ratepayers because we will be able to borrow money at lower interest rates.”
The city-owned utility’s senior-lien revenue bonds are rated Aa3 by Moody’s Investors Service and AA-minus by Fitch Ratings.
SAWS was last upgraded in November 1999 when Standard & Poor’s raised its rating to AA-minus from A-plus.