Public finance

Bankrupt Detroit has floated a plan asking holders of $5.2 billion of water and sewer bonds to tender their debt, allowing the city to refinance in an effort to achieve savings.

T. Rowe Price recently launched an Intermediate Tax-Free High-Yield Fund targeting investors who are worried about protecting their principle in the face of potentially higher interest rates yet comfortable with some extra risk.

Transportation Secretary Anthony Foxx is urging voters to press lawmakers for a long-term solution to federal highway funding before the end of 2014, but industry experts don't expect Congress to take action until spring 2015 at the earliest.

ALABAMA

ARKANSAS

The National Association of Water Companies wants the Treasury Department to clarify tax rules so that state and local governments can ensure the tax-exempt bonds they used to finance their water and wastewater facilities will not become taxable if they enter into public-private partnerships.

Rhode Island's Tobacco deal has been put on day to day status by Citigroup following a lawsuit from two Oppenheimer Rochester funds.

CONNECTICUT

ILLINOIS

Shortening duration, buying premium bonds, and minimizing risk are three paths municipal managers are taking as the second half of 2014 gets under way in anticipation of higher interest rates.

Short-term patch of the Highway Trust Fund is credit positive for $12 billion of state highway Garvee bonds, Moody's says. But neither it nor other major rating agencies are planning to change Garvee ratings or outlooks.

A slew of bond-related bills was introduced in the House and Senate in the last few days before members of Congress left town to begin their five-week recess.

A water main break that resulted in the release of an estimated 20 million gallons of water, flooding Westside Los Angeles neighborhoods and the University of California-Los Angeles campus, is reflective of problems cities across the country face as they grapple with aging infrastructures.

NEW JERSEY

ALABAMA

Volume will inch up slightly from last week but remain relatively sparse as an estimated $5.81 billion makes its way to market, led by a $575 million Illinois Finance Authority revenue sale and a Rhode Island Tobacco Settlement Financing Corp. offering.

The Sixth Circuit Court agreed to postpone hearings on a series of appeals on the city's eligibility to enter into Chapter 9 after a group of labor creditors in the Detroit bankruptcy and the city asked for the delay.

Inflows for all municipal bond funds fell off slightly this week from last week, but still remain fairly strong.

The Senate keeps transportation dollars flowing with for at least 10 months with last-minute approval of the House's $11 billion highway fund bailout.

ARKANSAS