Far West

Hercules voters recalled Tuesday the mayor and another council member in response to a political and budget mess.

Moody’s Investors Service has downgraded the San Joaquin Hills Transportation Corridor Agency’s rating to B1 from Ba2 after the agency completed a restructuring of its debt.

California Controller John Chiang has said he will withhold lawmakers’ salaries if they fail to pass a balanced budget by June 15.

Lawmakers in the California Senate have approved a bill that will allow counties to raise and collect vehicle license fees.

WASHINGTON — The Bond Dealers of America unveiled guidelines Wednesday designed to help dealers comply with suitability, disclosure and pricing rules when dealing with retail investors.

WASHINGTON — The Village Center Community Development District in Florida is asking the Internal Revenue Service for legal advice on whether it is a political subdivision — an issue critical to the tax-exempt status of million of bonds it issued.

Bond lawyers are urging the Treasury Department and the Internal Revenue Service to avoid issuing new guidance to address whether Build America Bonds issued by a state or locality would continue to exist, or be considered “extinguished,” if they were purchased by a related entity such as the public pension fund or state lottery.

The National Association of Bond Lawyers is urging the Treasury Department and the Internal Revenue Service to include, as a priority, guidance on whether the benefits provided to bonds issued under the stimulus law would apply to refundings of those bonds.

SAN FRANCISCO — Moody’s Investors Service downgraded the long-term underlying rating on the California Housing Finance Agency’s home mortgage revenue bonds to Baa1 from A3, affecting $5.7 billion of outstanding debt.

When the Build America Bond program ended there were two schools of thought. One argued that BABs would become an orphan class, with prices in the secondary market suffering from illiquidity. Another group thought there would be some scarcity value to the product and they would appreciate in value.