Washington debates new tobacco ABS

Democratic legislators in Washington state are pushing to issue up to $300 million of municipal tobacco bonds, according to ASR sister publication The Bond Buyer. Proceeds from the transaction would go to reduce the state's $2.2 billion budget deficit. Washington receives roughly $300 million to $310 million every two years, according to The Bond Buyer, totaling $4.5 billion over the next 25 years. Governor Christine Gregoire, a Democrat, reportedly opposes the transaction.