Featured Municipal Bond Issue, Week of May 21st, 2018: State of West Virginia Road Bonds (General Obligation) – $800 Million

The State of West Virginia is issuing general obligation road bonds in the amount of $800 billion the week of May 21st, 2018. These West Virginia road bonds are divided into two series:  Series 2018A is a $312 million negotiated series, and Series 2018B is a $488 million competitive series. Both are considered tax exempt for federal income tax purposes, and the date of sale is Wednesday, May 23rd. Security for the bonds is a pledge of the full faith and credit of the State of West Virginia. The bond proceeds will be used on various road transportation projects, and are part of a $1.6 billion State ‘Roads to Prosperity’ program designed to finance infrastructure projects and stimulate the State economy.

Details on the purposes, tax-status, security, as well as other matters pertaining to these West Virginia road bonds can be found in the preliminary official statement, available on MuniOS.

As of March 2018, the State of West Virginia has an unemployment rate of 5.9%, which is 1.8% higher than the U.S. rate in March, and 0.3% higher than the unemployment rate as of March 2017, as can be seen in the chart below.

You can find 10-year employment and labor force trends for all 50 states and each Metropolitan Statistical Area in the U.S. in our Employment Database, and more labor sector growth and compensation data on our Job Market page.

west virginia roads

Provided at left (click to expand) is a quick snapshot of financial characteristics of the State of West Virginia as of 06/30/2017, compared with the 2016-2017 medians for other U.S. States, courtesy of Merritt Research Services, LLC. Merritt has many of the sector medians publicly available and regularly updated on their Benchmark Central page. (Merritt believes the data to be reliable but does not make any representations as to its accuracy or completeness)In addition to the Merritt information related to the featured bond, more information can be found on our municipal bond calendar, city, state, and county pages, and our employment database.

These facts and numbers are for informational purposes, and should not be considered an official disclosure for potential investors. Investors should consult the official statement. None of the information provided should be construed as a recommendation by MuniNet Guide, MuniNet LLC, Merritt Research Services LLC, or any of their employees. Information and analysis is for informational purposes only.

by Jeffrey L Garceau