chicago u.s. house republican tax bill release thursday would put end tax-exempt debt issuance state local governments array health care education economic development finance take municipal market participants surprise propose elimination low-cost fund private activity bond many 3.8 trillion u.s. municipal market expect would raise nearly 39 billion federal government next nine years accord summary legislation come quite shock say barbara thompson executive director national council state house agencies note assurances congress private activity bond issuance would retain thompson say would devastate country production affordable house bill increase borrow cost harm ability state local governments build maintain infrastructure need critical health education port airports low-income house sandy maclennan president national association bond lawyers say statement non-profit hospitals major issuers tax-free bond fund capital project would also hit many communities tax-exempt finance private activity bond key maintain vital hospital service tom nickel executive vice president american hospital association say statement hospital access tax-exempt finance limit eliminate hospitals ability make investments new technologies renovations future challenge also chop block advance refund bond issuers u.s. municipal bond market use take advantage low interest rat outstanding bond call current-law advance refund bond provide state local governments incentives issue two set federally subsidize debt finance activity house bill summary state tax-credit bond never really catch investors would repeal federal tax credit exist bond would remain place bond issue professional sport facilities would subject federal taxation bill alternative minimum tax would end legislation tax apply earn small percentage muni bond sell issuers airports house authorities substantial private-activity components deal proposals sure thing bill long legislative process ahead change expect could vote law bill gale co-director urban-brookings tax policy center say likelihood final bill include elimination private activity bond high hard get support enormous number revenue raisers every one politically go hard gale say republican tax bill seek elimination municipal debt