Public finance

Gasoline taxes go up July 1 in six states to fund local highway projects while federal gasoline tax remains at 1993 level.

Muni experts expect outperformance by high credit-quality issues, a decline in refundings, troubled credits to dominate the headlines, and the Fed to raise rates in the second half of the year.

KENTUCKY

ILLINOIS

Puerto Rico Gov. Alejandro García Padilla may have worsened relations with traditional municipal investors when he acknowledged long-standing concerns that the commonwealth cannot pay its $72 billion in municipal bond debts.

States are making plans for another short-term extension or a possible cutoff of federal transportation funding on July 31.

ARKANSAS

CALIFORNIA

Maryland Gov. Larry Hogan gives preliminary approval to progress on halted $2 billion Purple Line P3 light rail project.

Municipal volume is forecast to drop 45% as a holiday shortened week brings the second quarter to a close.

CALIFORNIA

ALASKA

For the eighth week in a row, municipal bond funds reported outflows, bringing to 11 out of 26 weeks this year the funds have seen cash withdrawals.

For the week ended June 25, the weekly average yield to maturity of the Bond Buyer Municipal Bond Index, which is based on 40 long-term bond prices, increased one basis point to 4.46%, from 4.45% the previous week.

Allowing states to levy tolls on interstates would solve the revenue problem hobbling highway P3s, advocates tell Senate Finance Committee.

CALIFORNIA

ARIZONA

The federal government extended All Aboard Florida’s $1.75 billion private activity bond allocation, relieving pressure on the private train owner to issue the bonds as legal challenges proceed.

The Senate Environment and Public Works Committee adopted a six-year highway bill with a 4.6% boost in federal funding.

Modern transportation infrastructure is a critical building block to ensure that the US economy is in a position for long term growth and prosperity.