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5.4. ERMUSR 03-20-2007
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5.4. ERMUSR 03-20-2007
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City Government
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3/20/2007
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www.APPAnet.org <br />$15 million private use limitation that applies only to publicly-owned electric and gas <br />utilities. <br />1 Congress should reject proposals to eliminate the ability to advance refund (refinance at a <br />lower interest rate) bonds because they would simply result in increasing the cost of <br />electricity. Congress should instead support the ability of issuers to have an additional <br />opportunity to advance refund outstanding bonds in order to lower electricity <br />infrastructure costs and ultimately the rates to customers. <br />1 Because electricity markets are continuing to experience significant problems in market <br />design and function, as well as extreme price volatility, Congress should allow public power <br />utilities to be able to increase self-reliance through the development of new infrastructure <br />financed with tax-exempt bonds. <br />1 Finally, Congress should not ~~ew the ttse of tax-credit bonds as an alternative to tax-exempt <br />bonds for financing state and local government acti~dties, but should instead view tax-credit <br />bonds as a targeted way to achieve specific public policy goals -like increasing renewable <br />energy production that will result from the use of tax-credit bonds in the Clean Renewable <br />Energy Bond (CREB) program. f <br />^~ <br />!~ <br />M <br />
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