News and Information from Bond Buyer

Significant cost overruns on an earlier light-rail program may affect November vote on Seattle’s $54 billion transit proposal.

Southeast issuers sold $37.63 billion of municipal bonds in the first half of 2016, a decline of 10.9% from the same period last year, even as new money deals increased.

The Treasury Department auctioned $34 billion of five-year notes, with a 1 1/8% coupon, a 1.125% high yield, a price of 100.000000.

Top quality municipal bonds were steady at mid-session, according to traders, as some of the week’s biggest deals sold in the competitive arena on Wednesday.

Illinois’ largest retirement fund will review its assumed investment rate Friday amid a warning from Gov. Bruce Rauner’s administration that lowering it from 7.5% could have a “devastating” impact on funding for social services and education.

The Treasury Department Wednesday auctioned $13 billion of two-year floating rate notes with a high discount margin of 0.165%, at a 0.174% spread, a price of 100.017478.

The Securities and Exchange Commission’s settlements with 71 issuers announced on Wednesday under a voluntary continuing disclosure enforcement initiative showed “a widespread and pervasive problem” with continuing disclosure in the municipal bond market but have led to some improvements, the SEC’s enforcement chief said Wednesday.

Municipal bond traders are set to see some of the week's biggest deals sell in the competitive arena on Wednesday.

Aug. 24, 2016 Midwest: Plain/Insured GO Yield Curve* State Ratings One-Year Five-Year 10-Year 30-Year Illinois Baa2/BBB+/BBB+ 1.18 2.47 3.06 3.81 Indiana Aaa/AAA/AA+ 0.46 0.9 1.52 2.23 Iowa Aaa/AAA/AAA 0.46 0.89 1.52 2.23 Michigan Aa1/AA-/AA 0.5 0.96 1.6 2.33 Minnesota Aa1/AA+/AAA 0.47 0.88 1.45 2.12 Missouri Aaa/AAA/AAA 0.46 0.83 1.41 2.12 Nebraska NR/AAA/NR 0.46 0.92 1.57 2.31 North Dakota Aa1/AA+/NR 0.49 0.96 1.6 2.31 Ohio Aa1/AA+/AA+ 0.48 0.94 1.56 2.27 South Dakota NR/AA+/AAA 0.48 0.92 1.6 2.33 Wisconsin Aa2/AA/AA 0.49 0.94 1.55 2.25

8/23/2016 8/16/2016 State # Iss Amount ($000) # Iss Amount ($000) Chg in Amt ($000s) Illinois 15 $1,568,815 12 $718,845 $849,970 Indiana 8 122,690 6 88,080 34,610 Iowa 7 84,635 5 47,050 37,585 Michigan 7 67,420 3 26,495 40,925 Minnesota 14 83,195 14 148,205 -65,010 Missouri 1 11,970 1 54,660 -42,690 Nebraska 1 21,990 1 21,990 0 North Dakota 0 0 1 2,610 -2,610 Ohio 15 183,810 5 107,880 75,930 South Dakota 0 0 0 0 0 Wisconsin 22 355,625 22 204,360 151,265

Wednesday, August 24 Issuer St Description Amount

Wednesday, August 24 Issuer St Description Amount

Week Of August 22 Issuer St Description Amount

Week Of August 22 Issuer St Description Amount

CALIFORNIA

CALIFORNIA

Government

The California League of Cities announced that executive director Chris McKenzie plans to retire in October.

Wells Fargo Securities and Barclays Capital have agreed to pay the Rhode Island Commerce Corp. $25.6 million in a proposed settlement of a lawsuit involving a loan to former videogame company 38 Studios, the state announced Tuesday.

Top-rated municipal bonds finished unchanged, traders said, as the first of the week’s $8.84 billion of bond supply started to hit the market on Tuesday.