WASHINGTON - President-elect Barack Obama's transition team is working closely with House Financial Services chairman Barney Frank and other lawmakers to make sure that municipal debt is included in the federal government's economic recovery programs.

Frank, a Massachusetts Democrat, introduced legislation on Friday authorizing the second $350 billion portion of the Troubled Assets Relief Program and clarifying that TARP funds may be used to purchase municipal bonds.

Subscribe Now

Independent and authoritative analysis and perspective for the bond buying industry.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.