The revision of the Rating Outlook to Stable from Negative reflects Fitch’s belief that the city may be required by the EPA to move to secondary treatment at its two largest treatment plants at some time in the future. However, the timing and costs associated with this upgrade could be long term, near or beyond the final year of the current large capital plan (2019). Furthermore, negotiations and the final agreement regarding the timing of such regulatory upgrades may not occur quickly. The Stable Rating Outlook reflects Fitch’s expectation that the third rate package will be adopted and become effective in fiscal 2012 as anticipated and that a change in political administrations or New Issues Wastewater System Revenue Bonds (First Bond Resolution), Senior Series 2009A, 2009B, and 2009C Wastewater System Revenue Bonds (Second Bond Resolution), Junior Series 2009A