New York Power Authority, NY – General Bond Resolution Surveillance Report

Rating Summary

The rating reflects New York Power Authority (“NYPA”) management’s effective oversight of extensive enterprise level risks in a highly capital-intensive operating environment. Maintenance of solid financial performance characterized by ample liquidity, strong debt service coverage, and manageable leverage metrics, as well as the structural cost advantages and limited operating risk of NYPA’s largely renewable generation assets further inform the rating.

NYPA’s assumption of various corporate finance responsibilities for the benefit of its customers and the State - with minimal impact, to-date, on its own balance sheet - also factors into the rating. The Authority – the largest state electric utility in the U.S.- plays an essential and multi-faceted role in the State’s energy transition process, including creating energy cost savings for its power supply customers, and spearheading energy related capital investment.

Counterbalancing the aforementioned strengths are a…