State of Georgia

The decision is expected to be appealed to the Georgia Supreme Court and the ruling could have implications for the muni bond industry.

State income tax collections were off last year and some analysts are watching to see how planned tax cuts will affect the triple-A state's revenues.

North Carolina is the latest state to eye using a P3 to build tolled express lanes amid insufficient state funding.

"When you add everything in this document up, it demonstrates you can make smart investments when you budget wisely, trust the market rather than try to dictate it, and empower your citizens more than you empower the government," said Georgia Gov. Brian Kemp.

Brian Kemp said the budget proposals fund more than $1.8 billion for capital programs "without issuing a single additional dollar in general obligation debt."

The Investment Company Institute reported investors pulled $6.243 billion from muni bond mutual funds in the week ending June 15.

As interest rates rise and muni yields trend higher, the Peach State is set to competitively sell its triple-A rated municipal bonds.

Muni prices were firm Friday after the employment report showed nonfarm payrolls rose 559,000 in May as the jobless rate fell to 5.8%.

The state's general obligation bonds are rated triple-A by Moody's, S&P and Fitch.

The total number of jobs in the state last month rose 21,800 from February.