NAST joined a broad coalition letter from the Public Finance Network (PFN) opposing the addition of proposed language that would limit the Federal Reserve’s abilities to create facilities that are similar to those created this year using funds from section 4029 of the CARES Act, including the Municipal Liquidity Facility (MLF). The language would severely limit the Federal Reserve’s ability to respond in a timely manner to a future market dislocation.
The letter can be read below and is accessible via PDF here.
Government Finance Officers Association
American Planning Association
American Public Gas Association
American Public Power Association
American Society of Civil Engineers
American Water Works Association
Bond Dealers of America
International City/County Management Association
National Association of Bond Lawyers
National Association of Counties
National Association of Health and Educational Facilities Finance Authorities
National Association of Regional Councils
National Association of State Treasurers
National League of Cities
Native American Finance Officers Association
The Council of State Governments
The United States Conference of Mayors
December 18, 2020
The Honorable Mitch McConnell
Majority Leader, U.S. Senate
317 Russell Senate Office Building
Washington, D.C. 20510
The Honorable Charles Schumer
Minority Leader, U.S. Senate
322 Hart Senate Office Building
Washington, D.C. 20510
The Honorable Nancy Pelosi
Speaker, U.S. House of Representatives
235 Cannon House Office Building
Washington, D.C. 20515
The Honorable Kevin McCarthy
Minority Leader, U.S. House of Representatives
326 Cannon House Office Building
Washington, D.C. 20515
Dear Senator McConnell, Speaker Pelosi, Senator Schumer and Congressman McCarthy:
On behalf of the state, local and tribal governments and public entities we collectively represent, we urge you to oppose the inclusion of language in COVID relief legislation that would block the Federal Reserve from creating lending facilities that help small businesses and state and local governments. The financial challenges of this pandemic combined with other expired assistance from our federal partners is further exacerbated by a proposal being considered for inclusion in COVID relief legislation to restrict the Federal Reserve’s emergency lending authority after December 30, 2020. We strongly believe that doing so would hinder our ability to continue our ongoing response to the COVID-19 pandemic and our future recovery.
Stripping the Federal Reserve of its ability to quickly respond to market dislocations or downturns will hamstring our recovery and further impede governmental entities’ ability to carry out their critical roles in responding to this pandemic.
We strongly urge you to oppose including such language in the relief legislation.
Sincerely,
- Government Finance Officers Association, Emily Swenson Brock, 202-393-8467
- American Planning Association, Jason Jordan, 202-349-1005
- American Public Gas Association, Doug MacGillivray, 202-464-2742
- American Public Power Association, John Godfrey, 202-467-2929
- American Society of Civil Engineers, Joe Brady, 202-789-7852
- American Water Works Association, Tommy Holmes, 202-326-6128
- Bond Dealers of America, Brett Bolton, 202-204-7902
- International City/County Management Association, Elizabeth Kellar, 202-962-3611
- National Association of Bond Lawyers, Jessica Giroux, 518-469-1565
- National Assn. of Health and Educational Facilities Finance Authorities, Chuck Samuels, 202-434-7311
- National Association of Counties, Eryn Hurley, 202-661-8805
- National Association of Regional Councils, Leslie Wollack, 202-618-5696
- National Association of State Treasurers, Brian Egan, 202-630-1880
- National League of Cities, Irma Esparza Diggs, 202-626-3023
- Native American Finance Officers Association, Emery Real Bird, 202-945-7750
- The Council of State Governments, Elizabeth Whitehouse, 202-624-5460
- The United States Conference of Mayors, Larry Jones, 202-861-6709
CC:
- Members of the United States House of Representatives
- Members of the United States Senate Members of the Federal Reserve Board of Governors