$11.25 billion municipal bond issuance proposal to be put to vote in U.S. midterm elections

Voters in several U.S. states will decide on $11.25 billion in local bond issuance measures during the November 3 midterm elections, alongside tax-related ballot initiatives in California, Washington, and Florida covering high-income tax rates, personal income taxation, and property tax deductions. Local bonds, issued by state and local governments to fund public projects, generally carry interest exempt from federal income tax per IRS guidance, though exceptions exist by bond type. The outcomes could shape state and local government revenue and borrowing capacity, with implications for municipal bond markets. Watch for how results in California's Proposition 3, a citizen initiative dating to 2012, and similar measures influence future issuance and tax policy.