GFOA Joins Local Government Amicus Brief in BABs Case

GFOA, along with several local government groups and organizations representing public issuers, filed an amicus brief supporting the certiorari petition in Indiana Municipal Power Agency, et al. v. United States. The case involves six public power agencies who filed suit in 2020 against the United States arguing that the Build America Bonds (BABs) subsidy reductions under sequestration violated the intent of the American Recovery and Reinvestment Act (ARRA) and that the government was breaching its contract with issuers. The local government brief highlights the fiscal challenges created for jurisdictions that issued BABs and how this hampers intergovernmental cooperation now and in the future. GFOA will report any developments as we await the Court’s decision on whether they will hear the case or not. Click here to read the brief.