Deal in Focus

DFW Sets Big Refunding With AMT Out of the Picture

With its major tenant, American Airlines, in bankruptcy, Dallas-Fort Worth International Airport is taking advantage of low interest rates and a favorable tax ruling in a $450 million refunding. [FREE]

Jefferson County Misused Sewer Funds, Bank Charges

BRADENTON, Fla. — The Bank of New York Mellon on Friday filed a complaint for declaratory judgment alleging that Jefferson County, Ala., has misused sewer system revenues that otherwise would go to pay debt service.

Brown Signs Bill to Help California Borrow Internally, Ease Cash Flow

SAN FRANCISCO — California Gov. Jerry Brown said Friday he signed a bill into law that will allow the state to shift $865 million around internally to buffer cash-flow needs.

Cleveland Airport to Issue $241M of Refunding Bonds

CHICAGO — Cleveland Hopkins International Airport will enter the market Wednesday with $241 million of airport system refunding bonds.

Oklahoma’s GO Affirmation

Moody’s Investors Service affirmed its Aa2 ratings and stable outlook on Oklahoma’s $222.5 million of general obligation debt.

Capitol-Repair Bonds Urged

Sen. Harry Coates, R-Seminole, said lawmakers need to do their duty and authorize bonds to repair the Oklahoma State Capitol without waiting for a popular vote in November.

E-Filer Refunds Hit Revs

Kansas state revenues were $30.6 million less than expected in January due to more taxpayers filing electronically, which results in quicker refunds.

Beebe Seeks Budget Aid

Arkansas Gov. Mike Beebe wants to use $30.5 million of the state’s $72.1 million surplus to help several agencies make it through fiscal 2012, which ends June 30.

Truckers Eye Tax on Diesel

The Arkansas Trucking Association plans to seek voter approval next year for an increase in the state tax on diesel fuel to finance highway construction projects.

Deal in Focus

Stabilized Pittsburgh Prices Deal

Shortly after two of the top three credit rating agencies improved their outlooks for the city to stable from negative, Pittsburgh sold $114.5 million of general obligation bonds to provide funds for overdue capital improvement projects and save money through a refunding. [FREE]

Fiscal Stress Rises in Florida; Special Districts Hit Hardest

Florida's auditor general found increasing financial stress among cities, counties and special districts after reviewing hundreds of audits and financial statements filed in fiscal 2010.

Florida IDA and Maine University Undergo IRS Audits

WASHINGTON — The Internal Revenue Service is auditing $31.59 million of Series 2004A first mortgage revenue bonds that were issued by the St. Johns County Industrial Development Authority in August 2004 to help Presbyterian Retirement Communities Inc. and its affiliates finance improvements to eight retirement centers in Florida.

Michigan's Raleigh Studios Defaults on Bond Payment

CHICAGO — A Michigan film studio has defaulted on its Feb. 1 payment on $18 million of privately placed tax-exempt bonds, forcing the state pension plans, which back the debt, to make the payment.

Bloomberg Calls Pensions A 'Ticking Time Bomb'

New York City Mayor Michael Bloomberg repeated his cry for pension overhaul while introducing the city's $68.7 billion preliminary budget and four-year financial plan for fiscal 2013.

Detroit Comes to Initial Deal With Some Unions

CHICAGO — Mayor Dave Bing last week said Detroit has reached a tentative agreement with about half of its unions, which could help stave off the appointment of an emergency manager.

New York City's Law Department Seeks Bond and Disclosure Counsel

New York City's law department has issued a request for proposals to provide bond counsel and disclosure counsel services.

Oklahoma Governor Promises Major Income Tax Cut

DALLAS — Oklahoma Gov. Mary Fallin will propose an across-the-board cut in the state personal income tax rate at Friday's opening legislative session.

Exception to the Rule

Unlike many of its Rhode Island neighbors, Jamestown “is in good fiscal shape,” an auditing firm told its Town Council.

Clock Ticks for Providence

Providence Mayor Angel Taveras warned that the Rhode Island capital will run out of money in June without a reduction in pension obligations and larger contributions from tax-exempt institutions such as Brown University.

H-Burg Plan Comes Due

State-appointed receiver David Unkovic’s long-awaited financial plan for the struggling city of Harrisburg, Pa., is due Monday.

LIPA to Face Regular Audits

New York Gov. Andrew Cuomo signed a bill requiring the Long Island Power Authority to undergo periodic audits.

Building Boss Tapped

Massachusetts Treasurer Steven Grossman has named Jack McCarthy the permanent executive director of the Massachusetts School Building Authority.

Lab Bonds Get Green Light

The Connecticut State Bond Commission has approved $291 million of borrowing over 10 years for a proposed research laboratory adjacent to the University of Connecticut Health Center in Farmington.

Syncora Joins Those Aiming to Appeal Jefferson County Bankruptcy Rulings

BRADENTON, Fla. — Syncora Guarantee Inc. on Thursday joined a dozen creditors seeking to appeal various rulings by the federal judge in Alabama overseeing Jefferson County's bankruptcy case.

PACE Program Sees Hope For a New Lease on Life

Recent events have breathed new life into the Property Assessed Clean Energy program, which allows municipalities to float bonds to finance the installation of energy-efficiency projects.

Trend in the Region

California Reins In Borrowing

California, traditionally the largest issuer of municipal bonds in the country, is set to constrain its bond sales for another year, tightening supply to one of the hungriest markets of all time. [FREE]

Alliance Texas Will Lose American Airlines Facility

DALLAS — Alliance Texas, one of the most successful multi-modal inland ports in the nation, will suffer a blow to employment when bankrupt AMR Corp. closes its American Airlines maintenance base in Fort Worth.

Texas Teachers Urge Special Session to Restore School Aid

DALLAS — A Texas teachers group is asking Gov. Rick Perry to call a special legislative session that would restore state aid to school districts by taking $2.5 billion from the state's rainy-day fund.

Grigsby to Fight Illinois Secretary of State's ISAC Allegations

Grigsby & Associates Inc. owner Calvin Grigsby said he will vigorously fight accusations leveled by the Illinois secretary of state that he failed to properly supervise a former banker in the firm's Chicago office who advised the Illinois Student Assistance Commission to invest in a bank that later failed. [FREE]

Nassau County, N.Y., Oversight Board Cuts Requested Bond Plan By a Third

Nassau County, N.Y.'s state-appointed control board cut the county's requested bonding plan by one-third from $90 million, and again chastised officials for failing to provide a plan to save $150 million in labor costs.

Huge Refunding Savings

Washington saved 14% during a $978 million refunding bond sale on Tuesday — the largest refunding in the state’s history. The state treasurer’s office said it achieved more than $154 million in present-value savings from the debt refunding.

Casino Debt a Concern

For the most part, economic indicators show that Nevada, one of the state’s hit hardest by the wave of home foreclosures in recent years, has been pulling itself out of the muck.

STAR Developer Struggles

RED, the developer of the Outlets at Legends in Sparks, Nev., has defaulted on $141 million in private loans used to construct most of the 148-acre retail development, according to published reports.

Rail Project Under Budget

In anticipation of a $5.3 billion rail project coming in under budget, Honolulu transit authority officials are contemplating adding additional features to the system like a fare gate system, according to published reports.

RDA Bill Clears Senate

A bill that would allow municipalities in California to keep affordable housing funds collected by their redevelopment agencies, which were shut down Wednesday, cleared the state Senate.

Moody's Stays Negative on States and Localities in 2012

The outlook for both state and local governments remains negative, Moody's Investors Service said Wednesday.

Illinois Reforms Get Push

Illinois Gov. Pat Quinn called for legislative action this year on pension and Medicaid reforms to stabilize the state's fiscal house but offered few details on how to accomplish that goal in his state of the state address. [FREE]

Trend in the Region

Georgia's New Money Beats Florida

For a second year, Georgia is poised to eclipse Florida in authorizing new-money bonds in their state budgets. [FREE]

Bulked-Up San Antonio Water Plans Refunding

DALLAS — After gulping down the rival Bexar Metropolitan Water District, the San Antonio Water System is ready to take advantage of low interest rates with a $245.6 million refunding.

Dallas' Fiscal 2013 Budget Outlook Still Out of Balance

DALLAS — Dallas is looking at a fiscal 2013 budget gap between anticipated revenues and expected expenses of $49 million at best, but at worst it could grow to $87 million, city manager May Suhm told the City Council Wednesday.

Maryland's O'Malley Aims to Raise Gas Tax and Encourage More P3s

WASHINGTON — With most of the state's revenue spoken for and few options left for raising more, Maryland Gov. Martin O'Malley announced Wednesday that he will introduce a proposal to repeal a sales tax exemption on gasoline as part of a larger plan to inject money into transportation infrastructure and create jobs.

Beset Perdue Calls It Quits

North Carolina’s first female governor will not seek a second term.

Lafayette Eyes Toll Lanes

Adding toll lanes to the proposals for upgrading portions of U.S. 90 to Interstate standards in the Lafayette area could provide up to half of the financing, according to a new traffic study.

Bridge Builders Wanted

Kentucky has begun the search for contractors interested in designing and building its portion of the Louisville-Southern Indiana Ohio River Bridges Project.

New City Hall? No Thanks

Voters in the small town of Fort Myers Beach on Florida’s southwest coast overwhelmingly rejected bonds for a new city hall Tuesday, with 87% voting against the sale of $7 million of 30-year general obligation bonds secured by property taxes.

Astros Owner in JeffCo Case

Houston Astros owner James Crane won part of his request for federal bankruptcy Judge Thomas Bennett to limit Jefferson County, Ala.’s access to his lawsuit against JPMorgan.

Despite Dissolution, RDA Bonds Trade Well

California cities and redevelopment agencies have spent the past month lamenting the uncertainty wrought by the dissolution of the state's 400-plus redevelopment agencies, but based on trading, municipal bond investors don't appear to share those concerns.

Providence May Appeal Ruling on Retiree Medicare

Providence may appeal a Rhode Island Superior Court ruling Monday that for now stops it from switching police and fire retirees to Medicare after they turn 65.

Deal in Focus

Nebraska Utility Issuing $234M for Nuclear Plant

The Nebraska Public Power District will price $234 million of new-money and refunding general revenue bonds to capture interest rate savings and finance capital projects at its nuclear plant.

N.J.'s Unfunded Pension Liability Will Only Get Worse, Fitch Warns

New Jersey's unfunded pension liability will probably worsen because the state does not plan to fully fund its actuarial annual required contributions to pensions until fiscal 2018, Fitch Ratings said Tuesday.

Oklahoma Pledge Signers Get Letter From Tax Foes

DALLAS — Conservative leaders of national and state anti-tax groups sent Oklahoma lawmakers a message Monday staking out a strict interpretation of a no-new-tax pledge signed by almost every member of the Legislature.

DART Hits the Spot With Upgrade and Strong Fiscals

DALLAS — Two years after sharply retrenching in a harsh economy, Dallas Area Rapid Transit is enjoying a lift in its credit score from Fitch Ratings along with rising sales tax revenue and lower construction costs.

Group Disputes Savings of Florida Turnpike Agency Plan

BRADENTON, Fla. — A libertarian think tank is disputing the savings that might occur if two high-profile Florida expressway authorities are partially consolidated with the state-run Turnpike Enterprise.

Governor Pushes Tax Cuts

Nebraska Gov. Dave Heineman made a rare appearance before legislators last week, pushing for a $327 million tax-cut plan that would reduce individual and corporate income taxes and eliminate the inheritance tax.

Education Official Is EM Pick

Michigan Gov. Rick Snyder appointed Jack Martin, a former chief financial officer for the U.S. Department of Education, to be emergency manager of the Highland Park School District.

Detroit Faces Tax Cut

Detroit could be required to cut its income tax rate this year under a Michigan law that was part of a deal to guarantee the struggling city a fixed amount of state revenue aid for eight years.

Dubuque Preps GO Deals

Dubuque will issue $4.4 million of general obligation urban-renewal bonds and $7.5 million of GOs as soon as next week.

TIF Changes on the Table

Chicago Mayor Rahm Emanuel this week announced a second series of tax-increment financing reforms aimed at improving the program’s transparency and accountability.

Illinois Faces Meltdown As Bill Backlog Piles Up

A fiscal meltdown awaits Illinois in the coming years as its bill backlog rises from $9.2 billion this year to $34.8 billion in fiscal 2017 unless state lawmakers take action to rein in growing pension and Medicaid costs, a government research organization warned Monday.

California RDAs Get Ready For Their Big Vanishing Act

Redevelopment agencies in California will legally vanish Wednesday, with a bill to extend that deadline declared dead by a top lawmaker.

N.Y. Bridge Agency Offering $535 Million Remarketing

The Triborough Bridge and Tunnel Authority will offer a mandatory tender and purchase Tuesday of all three outstanding series of its variable-rate general revenue bonds, Series 2003 and 2005, totaling about $535 million.

Pittsburgh Council to Vote on $125M Of GOs in the City’s Biggest Deal Yet

The Pittsburgh City Council is scheduled to vote Tuesday on a sale of $125 million in general obligation bonds. Officials say it’s the city’s largest bond ever, and the first new debt issued under Mayor Luke Ravenstahl.

Airport Breaks Ground

Houston last week broke ground on a $1 billion bond-financed redevelopment of George Bush Intercontinental Airport.

Director Leaves NTTA

Robert Shepard has resigned as the governor-appointed director of the North Texas Tollway Authority’s board. Shepard’s resignation comes as the board faces a probe into it past business practices by the Federal Bureau of Investigation, but his departure is said not to be related to that inquiry.

Driveway Tax Called Illegal

The effort by the Kansas City suburb of Mission to tax residents for roadwork is illegal and cannot be collected, Attorney General Derek Schmidt said last week in a non-binding opinion.

College Delays Tax Ballot

Trustees of National Park Community College last week postponed an April property tax election until its bond counsel can determine if the revenue can be used for capital improvements.

Road-Fix Levy Awaits Vote

Roads and streets in every city and all 75 counties of Arkansas would be improved and upgraded with revenue from a proposed 0.5% increase in the state sales tax, highway director Scott Bennett told lawmakers last week.

Intel Project Boosts Revs

Chandler, Ariz.’s sales tax revenues recorded a 14.8% increase in the first four months of fiscal 2012, the most it has recorded since the same period of fiscal 2007.

Deal in Focus

Univ. of Texas Regents Back in the Saddle With $435M of Triple-A Debt

DALLAS — After sitting out 2011, the University of Texas System Board of Regents will offer $200 million of top-rated revenue financing system refunding bonds to a receptive market this week, followed shortly by another $235 million deal.

Grigsby Banker Hit With $15K Fine for ISAC Advise

CHICAGO — A former Grigsby & Associates Inc. public finance banker must pay a $15,000 fine for his role in advising the Illinois Student Assistance Commission to invest in a Chicago bank that later failed.

Trend in the Region

Connecticut Downgrade Sparks a Fiscal Health Debate

Anyone who needed a wakeup call got one 10 days ago when Moody's Investors Service threw a high, hard one at Connecticut, lowering the state's general obligation bond rating to Aa3 from Aa2, citing budgetary and pension shortfalls, and depleted reserves. [FREE]

L.A. County’s Metro Will Tap TIFIA for $546M Loan

LOS ANGELES — The Los Angeles County Metropolitan Transportation Authority doesn't plan to issue bonds this year because it is securing a $546 million federal loan to help fund the $1.74 billion Crenshaw Line light-rail project.

State Aids Strapped City

Rhode Island’s cash advance to East Providence is a credit positive for the financially strapped city, according to Moody’s Investors Service.

Lackawanna Loses Rating

Moody’s Investors Service withdrew its rating for Lackawanna County, Pa., affecting $202.7 million of outstanding general obligation debt.

PFM Taps Research Chief

PFM Advisors, a division of PFM Asset Management, has named Biagio Manieri director of research.

H-Burg Player Seeks Office

Another player in the Harrisburg debt crisis intends to seek office.

Feds Eye Incinerator Crisis

Capital city Harrisburg’s incinerator debt crisis is on the radar of federal investigators, the Patriot-News reported.

DASNY Is Ready to Deal

The Dormitory Authority of the State of New York’s board has approved $534 million in financings for higher education and health care institutions.

Water Sale Hits the Spot

The New York City Municipal Water Finance Authority priced $400 million of second-resolution, fixed-rate tax-exempt bonds through negotiated sale Tuesday.

Soccer Arena Now Taxable

A ruling by a New Jersey tax court that the Red Bull Arena soccer stadium in Harrison is a taxable property is a credit positive for that community, Moody’s Investors Service said.

JPMorgan, Astros Owner Embroiled in JeffCo Case

JPMorgan and Houston Astros owner James Crane are fighting an Alabama bankruptcy judge's order to open Crane's confidential settlement with the bank over $35 million of Jefferson County's defaulted auction-rate sewer warrants.

Trend in the Region

Airports Fight It Out in Los Angeles

The tug of war between Los Angeles World Airports and Ontario city officials over control of LA/Ontario International Airport has picked up steam over the past few weeks, but the issue appears unlikely to be resolved any time soon. [FREE]

Chicago Archdiocese Gets A1 Rating For $151M Privately Placed Notes

Moody's Investors Service assigned an A1 rating to the Catholic Archdiocese of Chicago's possible $151 million private placement of unsecured senior notes to repay loans and fund construction projects.

New York State Plans to Lighten Local Medicaid Burden

New York Gov. Andrew Cuomo is proposing lightening the burden of Medicaid expenses on New York City and the state's counties.

Embattled Gov. Walker Touts Fiscal Gains in Wisconsin

CHICAGO — With the prospect of a recall election ahead of him, Wisconsin Gov. Scott Walker sought to highlight the state's improved fiscal condition after a tumultuous first year in office.

Rhode Island RFP Gets 12 Proposals for Pension Plan

Rhode Island has received 12 proposals from vendors seeking to run the state's new defined-contribution program, which pension overhaul legislation passed last fall created.

Oklahoma Leaders Push Agencies for Upgrades

DALLAS — Oklahoma officials seeking an upgrade in the state's credit touted its strong economy and sound fiscal policies in talks last week with rating agencies.

State Eyes $1B Package

Washington lawmakers are weighing a public works spending plan of more than $1 billion that would be funded by revenue bonds backed by hazardous material taxes.

CHW Now Dignity Health

San Francisco-based Catholic Healthcare West has changed its name to Dignity Health to appeal to a broader patient audience.

L.A. Skimped on ARRA

An audit by Los Angeles Controller Wendy Greuel released Tuesday found that the city failed to pursue all eligible funding opportunities under the American Recovery Reinvestment Act.

Jail-Grant Money Sought

In a cart-before-the-horse move, Los Angeles County Board of Supervisors approved a plan to apply for $100 million in state funding to pay for a jail construction plan that has yet to be approved, according to published reports.

Dems Sue Controller

California legislative leaders are suing the state’s controller over the authority to suspend lawmakers’ pay for late budgets.

Denver Schools Refunding Doubles Targeted Savings

DALLAS — Heading into a market rally that has brought yields to record lows, Denver Public Schools achieved double its targeted savings with $129.9 million of refunding bonds Wednesday.

Lhota: N.Y. MTA May Get State Relief for Pricey Refunding Fees

The Metropolitan Transportation Authority may get needed relief from New York State for high borrowing fees connected with refunding bond sales, its executive director said Wednesday.

Raters Warn of RDA Woes

Rating agencies are warning that uncertainty about the elimination of California's redevelopment agencies could affect debt payments and lead to a rash of downgrades for outstanding RDA bonds. [FREE]

Trend in the Region

Kentucky Plans Bonds for Bridges

Kentucky Gov. Steve Beshear is proposing to fund his state's half of the massive $2.6 billion Ohio River Bridges Project with federal funds and toll revenue bonds over the next six years. [FREE]

New San Diego Firm Targets Dirt Bonds

LOS ANGELES — Veteran public finance banker L. William Huck and real estate lawyer and developer Todd Anson have formed San Diego-based Common Bond Capital Partners to capitalize on an estimated $5 billion in defaults expected in the land-secured municipal bond market.

Washington Readies $1.5B New-Money, Refunding Deal

SAN FRANCISCO — Washington will sell $1.5 billion of bonds starting next week as it aims to borrow new money and refund a big chunk of debt to take advantage of the lowest interest rates in decades.

Ballard Taps Public Finance Attorney for Atlanta Office

BRADENTON, Fla. — Ballard Spahr LLP has added its first public finance attorney to the law firm's Atlanta office.