Article: Bill subsidizing debt to build new schools is sent to Congress.(Clinton Administration submits bill authorizing $5 billion in grants to subsidize tax-exempt school construction bond issues' interest payments)

Legislation that would give state and local governments $5 billion in grants to subsidize up to half of the interest costs on tax exempt school construction bonds was formally sent to Congress by the Clinton administration Friday.

The bill, which could generate $20 billion in additional funds through leveraging, could spur the construction of 500 new schools, said Education Secretary Richard W. Riley.

The measure - sketched out in the budget plan President Clinton sent to Congress five weeks ago - would allow school districts to invest federal grants, which they would receive in one-time allotments, to raise additional money up to an amount equal to ha lf the ...

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