Municipal Markets

Los Angeles Faces $15 Billion Bill as Pipes Spring Leaks

August 20, 2014

Los Angeles is showing its age, and city officials don’t have plans for financing the facelift. From buckling sidewalks to potholed thoroughfares to storm drains that can’t handle a little rain, the infrastructure that holds the second-largest U.S. city together is suffering from years of deferred maintenance. Bringing pipes that deliver water to 3.9 million people

Detroit Creditor Syncora Says Biased Mediators Brokered Art Deal

August 13, 2014

An $800 million settlement underpinning Detroit’s plan to exit from bankruptcy was brokered by biased mediators and should be thrown out, bond insurer Syncora Guarantee Inc. told a federal judge. Syncora, which may be forced to make up bondholder losses should the plan be approved, filed its objection to the proposal yesterday, as Judge Steven Rhodes

Brown Proposes $6 Billion Water Bond for California Amid Drought

August 6, 2014

California Governor Jerry Brown called on lawmakers to put a $6 billion “no-frills’’ bond measure on the November ballot, about half the size of a pending proposal, to secure the water supply amid a record drought. Brown’s plan would take the place of an $11.1 billion bond offering, scheduled for a vote in November, approved

Joe Mysak Commentary – Defending Tax-Exemption.

August 4, 2014

This article was originally published in Bloomberg Brief Municipal Market 7/22. The tax-exempt market “raises equity questions,’’ Senator Ron Wyden, D-Oregon and chairman of the Senate Finance Committee, told reporter Brian Chappatta last week during a Q&A session at Bloomberg headquarters. He expanded, “I have accountants come and tell me ‘here’s all the people that we do

Municipal Market First Half 2014 Stat Book

August 1, 2014

Municipal bonds rallied, defying analyst expectations as supply fell more than 20 percent while mutual fund inflows and principal and interest payments boosted demand. With issuance in the first half of 2014 at its lowest since 2011 and a top tax bracket at its highest since 2000, munis posted their best second quarter returns

East Bay MUD Prices Richer Than Benchmark AAA Munis Inside 10 Years

July 30, 2014

California’s East Bay Municipal Utility East Bay MUD Pricing District issued $82.4 million of revenue bonds Tuesday with lower yields on the front end of the curve than when the issuer sold debt in May. Two-year debt sold with yields at 0.25 percent, versus 0.29 percent in May, and was richer than Bloomberg’s AAA muni benchmark scale. Debt

Expert Sees Weaknesses in Detroit Government

July 23, 2014

The bankruptcy court’s chosen expert on the feasibility of Detroit’s debt-adjustment plan spotted several weaknesses in city government that she said need to be improved to ensure there’s no second default. Martha Kopacz, a senior managing partner at Phoenix Management Services LLC, filed a report with the court on July 18 concluding that Detroit “will

Brownback Tax Cuts That Ravaged Surplus Hinder Re-Election Bid

July 16, 2014

Republican Governor Sam Brownback got the personal and corporate income-tax cuts he demanded to stimulate the Kansas economy. Now he and his state have to live with them. A policy that he promised would create an economic juggernaut produced a sinkhole.A projected $27 million surplus in fiscal 2015 is all that remains of $700

California Warns Against Water Cuts Threatening Power Supply

July 2, 2014

California needs to ensure that power plants are getting enough water amid the worst drought in a century to avoid grid failures. The California Energy Commission, the state Public Utilities Commission and grid operator California Independent System Operator Corp. said in a joint letter that water curtailments that cut the

Shootings and Health Spending

June 11, 2014

June 11 (Bloomberg) — Taylor Riggs from Bloomberg Brief discusses today’s Bloomberg BRIEF on the municipal market. Click here to listen. You can read Taylor’s analysis and other news, market data and expert commentary from the world’s most trusted economists and analysts in the Bloomberg BRIEF digital newsletters. Subscribe or