DALLAS — Standard & Poor's on Friday raised its rating on general obligation debt for Coffeyville, Kan., one notch to A-plus from A based on revised local GO criteria, the agency said.
S&P also assigned it's A-plus rating and stable outlook to the city's $5.69 million series 2013A GO electric utility system refunding bonds.
The stable outlook reflects Standard & Poor's opinion of Coffeyville's consistent financial performance, supported by very strong liquidity, analysts said.
"We do not expect to change the rating over the outlook's two-year period because we believe Coffeyville's economy will likely remain limited with a concentrated property tax base," said Standard & Poor's credit analyst Jim Tchou. "Although it is unlikely, we, however, could lower the rating if the city were to experience a material deterioration of its overall financial profile."
A pledge of net electric system revenue and, if not paid, an unlimited ad valorem tax levied on all taxable property in the city secure the series 2013A bonds.
Built along the banks of the Verdigris River in southeastern Kansas, Coffeyville is home to 10,295 people, according to the 2010 Census. The town of South Coffeyville, Okla., is about a mile south of its Kansas counterpart.
Founded in 1869 as an Indian trading post, Coffeyville was named after Col. James A. Coffey on the basis of a coin toss.