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KBRA Assigns AAA Rating to Texas Transportation Commission State of Texas Highway Improvement General Refunding Bonds, Series 2024; Affirms Related State G.O. Ratings

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NEW YORK–(BUSINESS WIRE)–#creditratingagency–KBRA assigns a long-term rating of AAA to the Texas Transportation Commission State of Texas Highway Improvement General Obligation Refunding Bonds, Series 2024 and affirms the AAA rating for parity bonds. KBRA additionally affirms the long-term rating of AAA for State of Texas General Obligation Bonds and Texas Transportation Commission State of Texas General Obligation Mobility Fund Bonds. The Outlook for each obligation is Stable.

Key Credit Considerations

The rating actions reflect the following key credit considerations:

Credit Positives

  • The State’s broad and diverse economy is among the fastest growing in the Nation.
  • Conservative budget procedures and financial management practices support consistently strong reserve levels and operating flexibility.
  • The debt burden is low in terms of direct debt per capita and debt expense as a percentage of expenditures.

Credit Challenges

  • Increasing fiscal pressure to fund the necessary infrastructure to keep up with economic and population growth, specifically in the areas of transportation and education.

Rating Sensitivities

For Upgrade

  • Not applicable at AAA rating level.

For Downgrade

  • Sustained trend of structural imbalance in the State’s general operating funds and significant deterioration in the level of the Economic Stabilization Fund.

To access rating and relevant documents, click here.



A description of all substantially material sources that were used to prepare the credit rating and information on the methodology(ies) (inclusive of any material models and sensitivity analyses of the relevant key rating assumptions, as applicable) used in determining the credit rating is available in the Information Disclosure Form(s) located here.

Information on the meaning of each rating category can be located here.

Only those ratings on securities issued by this Issuer that also are denoted on the Security Ratings tab for this Issuer on as “endorsed” by Kroll Bond Rating Agency Europe Limited into the European Union and/or by Kroll Bond Rating Agency UK Limited into the UK are covered by the disclosures set forth in this press release and the corresponding Information Disclosure Form. No other ratings on issuances by this Issuer have been endorsed into the European Union or the UK, and the disclosures set forth herein and in the corresponding Information Disclosure Form are inapplicable to those ratings and may not be used for regulatory purposes by European Union or UK investors in these securities.

Further disclosures relating to this rating action are available in the Information Disclosure Form(s) referenced above. Additional information regarding KBRA policies, methodologies, rating scales and disclosures are available at

About KBRA

Kroll Bond Rating Agency, LLC (KBRA) is a full-service credit rating agency registered with the U.S. Securities and Exchange Commission as an NRSRO. Kroll Bond Rating Agency Europe Limited is registered as a CRA with the European Securities and Markets Authority. Kroll Bond Rating Agency UK Limited is registered as a CRA with the UK Financial Conduct Authority. In addition, KBRA is designated as a designated rating organization by the Ontario Securities Commission for issuers of asset-backed securities to file a short form prospectus or shelf prospectus. KBRA is also recognized by the National Association of Insurance Commissioners as a Credit Rating Provider.

Doc ID: 1003098


Analytical Contacts

Peter Scherer, Director (Lead Analyst)

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Douglas Kilcommons, Managing Director

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Karen Daly, Senior Managing Director (Rating Committee Chair)

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Business Development Contacts

William Baneky, Managing Director

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James Kissane, Senior Director

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