KBRA Affirms AAA Rating and Stable Outlook to TriMet's (OR) Senior Lien Payroll Tax Revenue Bonds
26 Sep 2023 | New York
KBRA affirms the long-term rating of AAA with a Stable Outlook assigned to the Tri-County Metropolitan Transportation District of Oregon's (TriMet) Senior Lien Payroll Tax Revenue Bonds.
A surveillance report will follow.
Key Credit Considerations
The rating was affirmed because of the following key credit considerations:
- Pledged tax revenues provide ample annual DSC and coverage of the MADS requirement.
- Sizeable, diverse metropolitan area that serves as an economic engine for the state.
- Highly resilient pledged revenue base with only three years of modest decline recorded since 1990.
- Potential for significant additional debt issuance that would sharply increase outstanding Senior Lien Payroll Tax Revenue Bonds indebtedness.
- Not applicable.
- Significant economic decline or restructuring within TriMet boundaries that results in sharp reduction in pledged payroll taxes and debt service coverage.
- Adoption of voter initiative that results in a material reduction in employer tax and self-employment tax rates.
To access rating and relevant documents, click here.