WASHINGTON — Market participants are questioning why Sen. Ron Wyden is drafting legislation that would create a new type of tax-credit bond for transportation projects, warning there is not much of a market for tax-credit bonds.

The Oregon Democrat is expected as early as this week to introduce legislation that would create tax-credit Transportation and Regional Infrastructure Project, or TRIP, bonds. The legislation would allow up to $50 billion of the bonds to be issued through an independent transportation finance corporation over six years. Every state would be entitled to at least 1% of the funds, sources said, speaking anonymously because the legislation is still being drafted. Wyden is still looking for a Republican co-sponsor before the measure is introduced, they said.

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