State of Louisiana

The Louisiana Bond Commission approved $600 million of notes to help pay Hurricane Ida damage claims after several insurers went bankrupt and up to $1.1 billion to build a biorefinery.

The GOP-controlled state legislature adjourned without passing a bill barring government contracts with firms, including banks that underwrite municipal bonds, if they “discriminate” against the firearm industry.

The rating agency said the action reflects significant progress the state has made restoring its financial reserves and liquidity in recent years.

The Louisiana House passed a bill to limit firms that "discriminate" against the firearms industry from government business. A similar bill was vetoed last year.

The deal priced into a market that has seen rising rates for municipal bonds along with record high oil and gas prices.

The company's $200 million capital investment is expected to create more than 1,000 jobs in the city.

Moody's affirmed the state's general obligation bonds at Aa3, and credited it with significant long-term progress in restoring financial reserves and liquidity.

The $136 million refunding is also backed by the state's appropriation pledge; a political dispute over how to handle unclaimed property was resolved last year.

Gov. John Bel Edwards wrote to President Joe Biden requesting additional federal funding for communities hard hit by three hurricanes in 2020.

The upgrade precedes the sale of $202 million of taxable refunding bonds next week.

S&P said the upgrade reflected the stability and resiliency of pledge revenues while it also looked closely at environmental, social and governance factors.

The state will use a public-private partnership to replace the 68-year-old Interstate 10 bridge over the Calcasieu River between Westlake and Lake Charles.

The treasurer was released from the hospital Friday after being treated for COVID-19. Louisiana, like most of the country, is seeing a sharp increase in cases.

John Schroder, the Louisiana treasurer who also chairs the state bond commission, has been hospitalized with the coronavirus.

Light primary easily absorbed while secondary trading showed a steadier market as it closes for Veterans Day. Massachusetts announces $1.4 billion of GOs for next week.

Municipal yields rose as much as five basis points on the long end, but the losses were not as pronounced as UST. Light dealer inventories and scarce secondary trading let munis outperform Treasuries.

As the week drew to a close, municipal bond market participants looked ahead to a smaller-than-usual supply slate dominated by revenue bond deals.

The Louisiana State Bond Commission will refinance $424 million of variable-rate bonds; the deal isn't expected to include the termination of underwater swaps.

One muni bond sector that had been a go-to for heavier allocations was utilities, according to Kim Olsan.

The Puerto Rico Housing Finance Authority will be in the market with almost $250 million of public housing project refunding bonds.