Changes to the operations and accounting of funds under the supervision of the U.S. Department of Treasury that allow the federal government to continue paying bills and most operations after the U.S. has reached or neared its debt limit. Congress defines both the federal debt limit at a given time and the extent of extraordinary measures made available to the Treasury Secretary.
Extraordinary measures frequently, but not always, include the suspension of new sales on State and Local Government Series (SLGS) securities.
Pronounced “slugs,” an acronym for “State and Local Government Series,” which are special United States Treasury securities sold to issuers and conduit borrowers directly by subscription from the Department of the Treasury.
What are the debt ceiling and federal downgrades, and what do they mean for municipal bonds.
Bonds issued by an issuer to finance all or a portion of its own project and that do not satisfy both the Private Business Tests and the Private Loan Financing Test.
