LOS ANGELES — Moody's Investors Services raised the San Francisco County Transportation Authority's issuer rating to Aa1 from Aa2.

The rating, which came with a stable outlook, represents an implied senior lien sales tax revenue bond rating, if such bonds were issued by the authority in an amount that would maintain coverage at current and projected levels, according to the June 4 report.

The authority has no long-term debt, but does have $135 million commercial paper notes outstanding under a $200 million program, according to Moody's.

"The upgrade of the SFCTA's Issuer Rating to Aa1 from Aa2 reflects the size and diversity of the economic base from which sales tax revenues are generated, strong growth in sales tax revenues since the recession, as well as high current and anticipated coverage levels," according to the report. "The payment of sales taxes directly to the trustee by the state and the absence of operating risk are also credit positives reflected in the rating."

The stable outlook reflects the anticipation of continued strong economic performance and limited borrowing plans, Moody's analysts wrote.

The SFCTA is the sub-regional transportation and planning agency for San Francisco County. It administers the proceeds of the Proposition K transportation sales tax. The Authority is also responsible for congestion management programs funded with federal and state grants and transportation improvement programs funded with vehicle registration fees. SFCTA has minimal operating responsibilities because transit services are operated by the separate San Francisco Municipal Transportation Agency.

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