The New York State Environmental Facilities Corporation (NYSEFC) State Clean Water and Drinking Water Revolving Funds' (SRF) (rated Aaa, stable) strong credit profile reflects the strength of the combined Clean Water and Drinking Water loan pool repayment stream, the overall strong balance sheet of NYSEFC, the track record of successful program management and oversight, and the presence of favorable structural features.

A potential credit issue for the program may arise from its high concentration in New York City Municipal Water Finance Authority (NYCMWFA) which accounts for about 64% of the combined loan pool principal. The high concentration exposes the program to potential shifts in the credit quality of NYCMWFA. However, this is mitigated by the high credit quality of NYCMWFA, Second General Resolution Revenue Bonds pledged to the program are rated Aa1 and carry a stable outlook.