WASHINGTON — The top Republican tax-writer in the Senate yesterday warned colleagues that provisions in the House-passed jobs bill that offer high subsidy rates for Build America Bond-type programs would allow Wall Street banks to pocket more in underwriting fees.

“The taxpayers pay for those lucrative fees to Wall Street,” Sen. Charles Grassley, R-Iowa, said in a memo released as the Senate prepares to take up the House bill this week. He called BABs “a spending program disguised as a tax cut.”

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.