Coincides with BDA Lobbying Efforts to Expand MLF
Yesterday, a bipartisan group of House legislators wrote the Fed asking to further lower the population thresholds for issuer participation in the Municipal Liquidity Facility (MLF). This follows the BDA’s April 15th letter in which the BDA urged the Fed to expand the scope of the MLF, stating that the current thresholds were too high and needed to be expanded to include a broader group of localities.
The Congressional letter argues that while prior expansions of the program have been beneficial, “Public service providers of all sizes across the country are currently facing significant fiscal challenges while continuing to provide clean safe drinking water, medical services and affordable housing, to name a few.”
The letter can be viewed here.
**BDA Advocacy on all stimulus related legislation and programs can be viewed here
The letter follows the recent news that the MLF again expanded the scope of cities that will be able to borrow directly from the Facility after pressure from Capitol Hill concerning the ability for smaller and rural localities to access the program.
The BDA will continue to provide updates as they become available.