Southwest

Pecos City, Texas has discovered federal tax law issues relating to the tax-exempt status of $5.6 million of certificates of participation it issued in 2011 and plans to enter into a voluntary closing agreement with the Internal Revenue Service.

Austin Energy should shed its investment in a bond-financed coal plant jointly owned with the Lower Colorado River Authority and replace it with a natural-gas-fired plant, according to a report on the utility's options.

Arkansas Treasurer Martha Shoffner said she did not know the reasons behind premature bond sales from state's investment portfolio that lost almost $900,000 over the past two years.

The University of Colorado Hospital Authority will issue $290 million of bonds this week to add Memorial Health System of Colorado Springs to its new statewide network in a deal nearly sidelined by a lawsuit over pension programs.

The Texas Education Agency last week notified a record 374 local school districts with high property valuations that they must share tax revenues with poorer districts.

A recent poll of Houston voters found majorities in support of all three major general obligation bond issues on the November ballot.

Texas sales tax collections in August totaled $2.34 billion, an increase of 18.5% from August 2011 revenues, Comptroller Susan Combs said.

Arkansas will pay a true interest cost of 1.62% on $225 million of grant anticipation revenue vehicle bonds priced won by JPMorgan in a competitive sale.

The University of Arkansas will use pledged athletic department revenue, largely from the football program, to support $18 million of bonds for a new academic building.

Oklahoma must reform its corporate tax incentive system before lowering the personal income tax rate, Rep. David Dank said. Failure in 2013 as in 2012 is not an option, he said.