FRB Expands the Number and Type of Entities Eligible for the MLF

The Federal Reserve Board ("FRB") expanded eligibility for the Municipal Liquidity Facility ("MLF").

Under the expansion, the FRB will allow (i) at least two cities or counties per state, regardless of population, and (ii) two non-governmental issuers per state to issue notes to the MLF. The non-governmental entities must be appointed by a governor and derive their revenue from traditional governmental activities, such as public transportation, utilities, or airports.