Refunding bonds

The $139 million refunding saved Alabama’s most populous county $12.35 million in debt-service costs.

Material improvements in spending flexibility led Fitch to give Alabama’s most populous county a two-notch upgrade.

The IRS is focusing on $435.2 million of Series 2014A senior lien revenue refunding bonds and $75.87 million of Series 2014C second lien revenue refunding bonds.

Local, county and state officials said they took initial steps Wednesday in what will become a much larger contingent of elected officials who will jawbone their federal counterparts with testimonials about the cost savings attributable to advance refundings.

Reinstatement of advance refundings could be packaged with infrastructure legislation because many state and local governments have used the savings to finance new infrastructure.

The university plans to price $118 million of new money and refunding bonds this week, and to close the refunding deal in September.

The Volunteer State lowered the savings threshold it requires for a refunding.

Muni issuance will pick up next year, said George Friedlander, managing partner of Court Street Research Group.

Proceeds of Charlotte, N.C.'s deal will refund debt issued in 2008 and prepay a bond-anticipation note.

It's important and constructive to talk about these kinds of alternatives to advance refundings, market participants said.

The new tax law that terminated advance refundings of bonds after Dec. 31, 2017, does not specify that only "tax exempt" refundings are prohibited.

Bond Dealers of America urges the House Ways and Means Committee to take up and pass a bill that would restore advance refunding bonds according to prior law.

The nonprofit hospital chain expects significant savings even though it must issue taxable debt to refund tax-exempt bonds.

Congress' deficit-raising actions have made it more likely that munis would be targeted for cuts to raise revenues in infrastructure or other future bond-related legislation.

Chicago Public Schools officials say the deal won't include any scoop-and-toss restructuring for budget relief.

The Trump plan proposes only a 20% federal share, leaving local governments to come up with 80% of their own money or in partnership with the state and private investors.

Issuers across the Southeast sold $68.5 billion of bonds in 2017, a 5.8% year-over-year decrease.

John Cross, the Treasury Department's associate tax legislative counsel, said the existing tax rules are clear on advance refundings of taxable debt.

Shorter calls and a shift in the use of floating rate paper are part of Wisconsin's toolkit after tax reform.

Treasury Department sales of state and local government series securities are expected to dramatically decline this month now that issuers no longer need them for tax-exempt advance refunding escrows.