Bi-State Development Agency of the Missouri-Illinois Metropolitan District Surveillance Report

Rating Summary

The rating continues to reflect the strong coverage of maximum annual debt service (MADS) on Combined Lien Mass Transit Sales Tax Appropriation Bonds (the Bonds) from a gross pledge of all transit sales taxes (TST) appropriated to the Bi-State Development Agency (Bi-State or the Agency) by the County of St. Louis (the County) and the City of St. Louis (the City); the large and diverse tax base from which the TST is collected; the historically stable performance of TST receipts; and the absence of additional new money debt. In KBRA’s view, the risk of non-appropriation is extremely limited, mitigated by restrictions on TST receipt usage imposed by Missouri’s Transit Sales Tax Act, as amended (the Act). Pursuant to the Act, TST receipts are available only for the payment of debt service on the Bonds and for non-highway transit operations.

The Bonds are payable solely from Agency Revenues and are secured by a transfer, pledge and assignment of and a grant of a security…