DALLAS -- Standard & Poor's Nov. 4 raised its long-term rating on South Salt Lake, Utah's series 2010 sales tax refunding bonds by two notches to AA-plus from AA-minus, citing improved debt-service coverage. The outlook is stable.
“The raised rating reflects our opinion of the city's stable pledged revenue and significantly improved debt service coverage, partially due to maturity of all other parity bonds,” said Standard & Poor's analyst Daniel J. Zuccarello.
With a population of 24,000, South Salt Lake lies on the southern border of Salt Lake City. The city is home to a number of retail outlets.
With retirement of previous debt, revenue supporting the 2010 bonds runs more than 30 times higher than debt service, according to S&P. The city does not carry ratings from Moody’s Investors Service or Fitch Ratings.