Main Street Needs Access to Fed’s Municipal Liquidity Facility
ASA calls for program’s extension into 2021 to ensure hospitals, schools, and essential workers have access to capital and jobs.
WASHINGTON – The American Securities Association (ASA) once again called for the extension of the Federal Reserve’s Municipal Liquidity Facility (MLF) into 2021 to provide confidence to Main Street municipalities and ensure essential services remain in place while the country recovers from the COVID-19 pandemic.
“The MLF is an important tool for cities and towns across America to ensure hospitals, schools, and essential workers have emergency access to capital and preserve jobs during this critical time in our country’s fight against the COVID-19 pandemic,” said ASA CEO Chris Iacovella. “This program should be available to help municipalities, if necessary, into next year.”
In October, ASA sent a letter to Treasury Secretary Mnuchin and Federal Reserve Chairman Powell calling for the extension of the MLF into next year, with some conditions, including expanding the eligibility for issuers and allowing for lower rates and longer repayment terms.
ASA’s regional financial services companies work in communities across the country to create jobs, grow the economy, and increase prosperity for all Americans. The ASA exclusively represents the capital market and private client interests of its members and seeks to promote free market principles making it easier to access financial advice and capital. ASA members help Americans save for retirement, provide Main Street businesses with capital to grow, and advise hardworking Americans how to create and preserve wealth. For the latest updates follow @AmerSecurities and learn more at http://americansecurities.org/.