1、CRS INSIGHT Prepared for Members and Committees of Congress INSIGHTINSIGHTi i Advance Refunding Bonds and P.L. 115-97 Grant A. Driessen Analyst in Public Finance Updated January 31, 2020 On January 29, 2020, the chairs of the House Transportation and Infrastructure, Energy and Commerce, and Ways and
2、 Means Committees released the Moving Forward Framework, which would invest roughly $760 billion in infrastructure projects over a five-year period. Among other things, the draft would reinstate the ability to issue federally tax-exempt advance refunding bonds, whose issuance authority was repealed
3、by the 2017 tax revision (P.L. 115-97; sometimes referred to as the Tax Cuts and Jobs Act, or TCJA). This Insight briefly describes advance refunding bonds, summarizes recently enacted changes, and discusses policy arguments and new proposals to modify advance refunding capabilities. What Are Advanc
4、e Refunding Bonds? Refunding bonds are bonds that are issued to replace existing (outstanding) bonds previously issued for a given purpose. Refunding bonds are used by the issuer (borrower) to take advantage of borrowing terms that are more favorable than those present at the time the existing bonds
