The Federal Reserve Board on Wednesday..........>

FED: The Federal Reserve Board on Wednesday announced an expansion in the number

and type of entities eligible to directly use its Municipal Liquidity Facility

(MLF). Under the new terms, all U.S. states will be able to have at least two

cities or counties eligible to directly issue notes to the MLF regardless of

population. Governors of each state will also be able to designate two issuers

in their jurisdictions whose revenues are generally derived from operating

government activities (such as public transit, airports, toll facilities, and

utilities) to be eligible to directly use the facility. In addition to the

expanded terms outlined above, the MLF continues to be directly open to U.S.

states, the District of Columbia, U.S. cities with a population of at least

250,000 residents, U.S. counties with a population of at least 500,000

residents, and certain multistate entities. The MLF was established under

Section 13(3) of the Federal Reserve Act, with approval of the Treasury

Secretary. It will offer up to $500 billion in lending to states and

municipalities to help manage cash flow stresses caused by the coronavirus

pandemic.