Private activity bonds

The high court reversed a lower-court ruling that yanked federal approval for the Uinta Basin Railway; backers hope to finance it with private activity bonds.

The cut to the American Dream mall's assessed value is a warning sign to bondholders whose debt payments are tied to how much the property is worth.

Congress needs to lift limitations on tax-exempt private activity bonds, say transportation advocates.

"We have got to keep the money coming in to transit," said Sen. Elizabeth Warren D- Mass.

The Montana Facility Finance Authority can directly issue debt for a broader array of organizations following a legislative change.

The Commercial Metals Company and the West Virginia Economic Development Authority took a chance by coming to market with a tax-exempt $150 million junk-rated private activity bond sale financing a scrap metal steel mill during uncertain times for the construction industry.

The downgrade pushes $2.2 billion of private activity bonds issued for the passenger train startup though the Florida Development Finance Corp. to junk.

The ratings agency changed its outlook on its BBB-minus rating to negative from stable Wednesday.

Attracting more private investment to the affordable housing sector is becoming more urgent with the reintroduction of a bill in the Senate that could spur the use of private activity bonds.

Construction problems and cost overruns for a bond-backed project pushed the company into a pre-negotiated Chapter 11 bankruptcy.