OREANDA-NEWS. S&P Global Ratings raised its long-term rating to 'AA' from 'AA-' on Queen Creek, Ariz.'s excise tax and state-shared revenue bonds outstanding. At the same time, S&P Global Ratings assigned its 'AA' long-term rating to the town's series 2016 excise tax and state-shared revenue refunding obligations. The outlook is stable.

"The raised rating reflects our view of the town's continued pledged revenue growth and what we view as a stronger additional bonds test of 3.00x," said S&P Global Ratings credit analyst Alyssa Farrell. "Should the local economy continue to strengthen, resulting in increased per capita retail sales and debt service coverage to levels commensurate with higher-rated peers, we could raise the rating," Ms. Farrell added.

The series 2016 bond proceeds will be used to refund: The town's series 2007 excise tax and state-shared revenue bonds;The town's series 2004B, 2005B, 2006A, and 2008 Greater Arizona Development Authority (GADA) loans; andA portion of Queen Creek Town Improvement District No. 001's series 2006 improvement bonds. Queen Creek, with a population of about 34,614, is located in Maricopa County, about 38 miles southeast of Phoenix and 14 miles southeast of Chandler.