MBFA’s Reaction to Administration Budget Proposal Impact on Municipal Bonds

WASHINGTON – March 4, 2014 – The Municipal Bonds for America Coalition (MBFA) is disappointed in the proposal within the Administration budget that, as in prior budgets, caps tax exempt interest on municipal bonds at 28%.  Steve Benjamin, Mayor of Columbia, South Carolina and Chair of the Coalition’s executive committee, said, “It is disappointing that…
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Municipal Bonds for America Coalition Reaction to Camp Tax Reform Draft Impact on Municipal Bonds

The (MBFA) is disappointed in the proposals within Ways and Means Committee
Chairman Dave Camp’s (ROMI) tax reform draft that apply a new 10% surtax on
municipal bonds and eliminate private activity bonds and advance refundings of

NAHEFFA Non Profits Economic Impacts Study

National Association of Health and Educational Facilities Finance Authorities released a report on non profits economic impacts.

The MBFA Executive Committee writes letter urging U.S. Senators to include federal tax exemption for municipal bonds in approach to tax reform.

MBFA Executive Committee urges U.S. Senators to include federal tax exemption for municipal bonds.

AMWA/NACWA Report on the Cost of Municipal Bond Reforms

This report evaluates the cost implications to public water utilities of several proposals to amend or eliminate the federal tax exemption for municipal bond interest.

138 Members of Congress Send Letter to House Leadership Opposing Limitation on Muni Bonds

MBFA sends letter to House Leadership opposing any limitation of the tax exemption on Municipal Bonds.

Reuters: Limits on U.S. municipal bond exemption would hurt economy -mayors

Reuters news article about the U.S. Conference of Mayors study on limiting municipal bonds.

US Metro Economies: Job Impact of Proposals to Limit the Municipal Bond Market

The National League of Cities and U.S. Conference of Mayors published a report detailing the job impacts that limiting the municipal bond market would bring. To download full report, click here.

NACo Publishes Report on “Municipal Bonds Build America: A County Perspective on Changing the Tax-Exempt Status of Municipal Bond Interest”

For a full summary by the National Association of Counties on this report, please click here. Download full report here.

MBFA Urges Support for Dear Colleague Letter Supporting Tax Exemption for Municipal Bonds

Reps. Ruppersberger and Hultgren have co-authored a letter to Speaker Boehner and Minority Leader Pelosi urging them to reject any proposal that seeks to limit the value of the tax-exemption for municipal bonds.

2013 Report for America’s Infrastructure

The ASCE recently released it’s 2013 Report for America’s Infrastructure. Please click here for more information.

Bond Buyer Commentary: Bonding the Nation Back Together

In the last week, even as the bells began their mournful knell on Patriot’s Day in Boston and just before a scene of absolute devastation ripped apart the community of West, Texas, Rep. Devin Nunes, R-Calif., and Messieurs Erskine Bowles and Alan Simpson separately proposed threats to state and local tax-exempt municipal bonds.

NALHFA Statement to the Tax Reform Working Groups

To view statement, click here.

The Bond Buyer: NAST Tells Congress: Don’t Tax Municipal Bonds

Forty-two state treasurers urged tax writing members of Congress to maintain the tax-exempt status of municipal bonds.

MBFA Submits Statement to the Tax Reform Working Groups

Today the MBFA submitted a statement to the House Ways and Means tax reform working groups on Debt, Equity and Capital (Reps. Marchant (R-TX) and McDermott (D-WA)); Financial Services (Reps. Smith (R-NE) and Larson (D-CT)); and Charitable and Exempt Organizations (Reps. Reichert (R-WA) and Lewis (D-GA)). Click here to view the statement.

The Bond Buyer: Obama’s Budget Again Includes 28% Cap, Buffett Rule

President Obama’s fiscal year 2014 budget again proposed a 28% cap on municipal bond interest and other tax expenditures for the top 2% of families, despite strong efforts by muni market participants to lobby against it.

The Street – Obama’s Muni-market Tinkering Could Ding Everyone

The municipal bond market was dealt a harsh blow. On Wednesday, President Obama released his fiscal 2014 budget proposal. It had about $800 billion in new taxes over the next 10 years, says TheStreet’s Joe Deaux. The plan also includes measures to place a 28% cap on the amount of interest bond investors can deduct from their taxable incomes.

Barron’s: Munis Chafe At Obama Budget’s Taxation, Tobacco Proposals

Parts of the muni market aren’t too happy with parts of President Obama’s budget proposal that call for reducing the tax exemption on muni-bond interest and raising taxes on cigarette sales.

Bond Buyer Commentary: DuPage County, Ill., Shows the Power of Tax-Exemption

DuPage County, Ill., has a rich history of financial stability that has helped us stay afloat during these turbulent economic times. We’ve cut the budget by more than $13 million over the past two years, trimmed costly employee benefits, and reformed several independent taxing bodies in an effort to yield greater savings for our taxpayers.

MBFA’s Reaction to President Obama’s FY 2014 Budget Plan

The MBFA is disappointed with the proposed FY 2014 budget plan that limits the value of interest earned on municipal bonds to 28 percent. Read more here.