Treasury to Resume Sales of State and Local Government Series Securities
FOR IMMEDIATE RELEASE
February 9, 2018
WASHINGTON -- -- The U.S. Department of the Treasury is resuming the sale of State and Local Government Series (SLGS) nonmarketable Treasury securities, effective February 12, 2018 at 12:00 noon ET. The Treasury Department suspended the sales of SLGS on December 8, 2017. The suspension was necessary to assist Treasury's management of the debt subject to limit. On February 9, 2018, President Trump signed H.R. 1892 (Bipartisan Budget Act of 2018), which suspends the debt limit through March 1, 2019, allowing the Bureau of the Fiscal Service to begin accepting subscriptions for new issues of SLGS securities. The SLGS program began in 1972 to assist state and local government entities in complying with IRS arbitrage regulations. The securities are not available to the general public.
The TreasuryDirect.gov website has more information about the effect of the debt ceiling on SLGS, including how it impacts holders of outstanding demand deposit securities, available at http://www.treasurydirect.gov/help-center/slgs-faqs/.