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Infrastructure

Retiring AASHTO Leader Pushes Tax-Credit Bonds

JAN 17, 2013 1:26pm ET

The executive director of a transportation group is going out with a bang, spending the final weeks before his planned retirement pushing Congress to make authorize $50 billion of tax-credit bonds and to change fuel tax policy.

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A recent phenomenon is the emergence of bonds with shorter call protection as funding alternatives for municipalities. However, the shorter call protection also dampens the potential upside for investors, which in turn reduces the price they are willing to pay.

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