News and Information from Bond Buyer

A group of Illinois House Democrats proposed legislation Thursday to end the state’s practice of subsidizing local districts’ teacher pension contributions — a move that could help Chicago Public Schools.

Prices of top-quality municipal bonds finished weaker on Thursday, traders said, with yields on some maturities strengthening by as much as two basis points. The municipal bond market took on the last of the week’s big new issues, led by the large negotiated deal from Charlotte, N.C., and a sizeable competitive offering from the Florida Board of Education.

The revival in pension obligation bond issuance creates new risks for retirement systems that do not resolve chronic structural problems, rating analysts said.

Securities and Exchange Commission members are calling for the adoption of rules requiring broker-dealers to disclose markups and markdowns on municipal securities, warning that if self-regulators do not act, the SEC will propose the rules itself.

The authors of a California ballot initiative that would restructure public employee pensions said they will commission a legal review of the measure's "title and summary" before gathering signatures.

The $11.6 billion set aside for a new freight-related highway projects is seen as important part of Senate's proposed six-year transportation bill.

Storm resilience could represent an ideal application for social impact bonds, some advocates say.

The Wayne County Commission Thursday approved a consent agreement with Michigan that will mean a partial state takeover for the struggling county.

Puerto Rico faces a $153 million cash deficit by December and a $512 million shortfall by June unless it takes additional financial measures, according to a consultant to the government.

Richmond, Calif., is fighting to avoid being perceived as the next California issuer in distress after Moody’s Investors Service downgraded the city to junk.

The Treasury Department Thursday auctioned $16 billion of 30-year bonds with a 2 7/8% coupon at a 2.880% high yield, a price of 99.899805.

Many underlying causes of MTA subway train delays are controllable, New York State Thomas DiNapoli said while triggering an angry response from the authority.

Moody’s Investors Service has downgraded more than three dozen Michigan school districts this year as falling enrollment continues to strain their finances.

Prices of top-quality municipal bonds were weaker at mid-session, traders said, with yields on some maturities strengthening by as much as one basis point.

The Treasury Department said Thursday it will auction $24 billion 91-day bills and $24 billion 182-day discount bills Monday.

The Treasury Department said it will auction $22 billion year bills on Aug. 18.

The Treasury Department said it will auction $16 billion four-year eight-month inflation-indexed bonds on Thursday, Aug. 20.

Labor market "level of activity improved while momentum declined but remained high" as the Federal Reserve Bank of Kansas City Labor Market Conditions Indicators (LMCI) narrowed to negative 0.22 in July from negative 0.27 in June, according to the Bank.

Pension obligation bonds (POBs) will not correct unsustainable benefit and contribution practices and are not a form of pension reform, Fitch Ratings says.

Indicator Last Report Forecast Actual Import Prices June: unch July: -1.2% July: -0.9% Initial Jobless Claims 8/1: 269,000 8/8: 270,000 8/8: 274,000 Continuing Claims 7/25: 2.258M 8/1: 2.245M 8/1: 2.273M Retail Sales June: unch July: +0.5% July: +0.6% ex-Autos June: +0.4% July: +0.4% July: +0.4% Business Inventories May: +0.3% June: +0.3% June: +0.8%