WASHINGTON — The District of Columbia could garner its lowest new-money, fixed interest rates ever when it couples income tax-secured revenue bonds with its first taxable Build America Bonds in an expected $661 million negotiated deal scheduled for early December.

Treasurer Lasana Mack told members of the District Council last week that interest rates could be between 3.5% and 3.75% with the BABs’ 35% federal subsidy added to the taxable interest rate. Mack said he is hopeful that the district will be able to issue the full amount as BABs.

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