Paul Burton

Gov. Deval Patrick proposed raising income taxes in Massachusetts, while lowering the sales tax and dedicating sales tax proceeds to a lockbox public works fund.

Officials from Highmark and West Penn Allegheny Health System announced an agreement with West Penn bondholders to accept a haircut on their holdings, avoiding a potential bankruptcy and allowing an affiliation agreement to proceed.

Pennsylvania Democrats promised to fight Gov. Tom Corbett's deal with a British firm to privatize the state lottery through the courts, if necessary.

Pennsylvania chose Camelot Global Services of Britain to run its lottery system, though critics say Gov. Tom Corbett is moving too quickly on the privatization.

The capital markets reacted favorably when the U.S. Justice Department let two Rhode Island communities use Google settlement money to replenish pension funds.

A private-sector financial consultant wants Scranton, Pa., officials to clarify a bond-document statement that he said contradicts property tax increase plans.

Rhode Island Gov. Lincoln Chafee announced a transparency and accountability initiative, the goal of which, he said in an executive order, is to make more information about government operations and management available to the public.

Harrisburg, Pa., Controller and mayoral candidate Dan Miller said he would appeal a judge’s decision that would force him to sign an agreement that allows the distressed city’s sale of Wild West artifact collections to proceed, the Patriot-News reported.

Massachusetts officials introduced legislation to overhaul OPEB benefits in what Treasurer Steven Grossman called "a game-changer" for Bay State finances.

Pennsylvania lawmakers will debate legislation to forbid governments from interest-rate swap transactions. Supporters say unsophisticated governments can lose too much money from the complex deals.

New York's Metropolitan Transportation Authority plans a $500 million sale of Series 2013A transportation bonds for Wednesday, after a one-day retail period.

West Penn Allegheny Health System, bondholders and Highmark are continuing talks about a $475 million affiliation agreement, with West Penn possibly avoiding bankruptcy.

Allentown, Pa.'s City Council nixed a May referendum that could have complicated plans to lease out the city water and sewer systems, which Mayor Ed Pawlowski says would defray pension costs.

Gov. Dannel Malloy touched briefly on Connecticut's finances against the hovering backdrop of the Newtown school shootings in his state of the state address.

The impact of Hurricane Sandy on the New York City public hospital system will exceed $800 million, according to Health and Hospitals President Alan Aviles.

New York's Metropolitan Transportation Authority will price $805 million of Triborough Bridge and Tunnel Authority refunding bonds, starting with Wednesday's retail period.

Local Massachusetts governments still face significant fiscal strain, but most have managed their challenges well, Moody's said in a special report.

New York City has totaled $154.1 million in overtime costs related to Hurricane Sandy from Oct. 29 to Dec. 24, the Independent Budget Office reported.

Congress added a provision into fiscal-cliff legislation that extends the issuance of tax-exempt New York liberty bonds, authorized after the Sept. 11 attacks.

Master trustee UMB Bank told West Penn Allegheny Health System to file an audited financial statement within 30 days to avoid violation of a bond covenant.