APTA and a broad-based coalition, the Public Finance Network (PFN), wrote to leaders of the U.S. Senate and House of Representatives Jan. 13 to stress the importance of protecting and enhancing tax-exempt municipal bonds.
“As a coalition, PFN has continued to collectively stress that infrastructure investments are the result of a combination of funding and financing, with state and local governments shouldering the bulk of the costs,” the letter stated. “As the second session of the 119th Congress begins, and as Congress works to enact infrastructure reauthorization legislation, now is the time to enhance the financing tools available to spur public investment in infrastructure and save taxpayer dollars.
“We appreciate that Congress recognized that elimination, reduction, or capping of the tax exemption would pose immediate increased costs to the critical projects financed by state and local issuers and preserved this critical local financing tool already this Congress. There is broad bipartisan support in Congress to enhance municipal bonds for state and local governments, thereby providing a more powerful, cost-effective way to drive further investment and economic growth.”
APTA and its PFN partners urge members of Congress to join in supporting these bipartisan provisions:
- Restore the Tax-Exemption for Advance Refunding Municipal Bonds
- Support Small Issuers
- Eliminate Sequestration for Existing Direct-Pay Bonds
- Municipal Bonds Issued as Private Activity Bonds (PABs)
American Public Transportation Association
1/14/2026