Bill Targets Loophole Allowing Taxpayer Bonds for Abortion Clinics

A Republican congressman is trying to close a loophole that allows tax-free municipal bonds to fund abortion clinics, The Washington Times reported. 

Rep. Robert Pittenger of North Carolina, a strong pro-life legislator, plans to introduce a bill to stop cities and counties from using the taxpayer-funded loans to get around a federal ban on paying for abortions with public funds.

Pittenger said taxpayers want to put a stop to what he called "abortion bonds."

"We're utilizing the federal government to facilitate the development of these abortion clinics through the involvement of the American taxpayer, and they don't want that," he told the Times.

Planned Parenthood has used municipal bonds to build abortion clinics in Florida, Illinois, Massachusetts and parts of the upper Midwest, according to congressional investigators and pro-life groups.

Pittenger said the intent of the bill he will introduce is to stop abortion clinics from using municipal bonds, which attract investors, interest payments are tax exempt and the bonds are considered secure because they are backed by state or local governments.

The congressman noted that the use of municipal bonds is a loophole to avoid federal limits on taxpayer bonds imposed in 1976 under a measure sponsored by Rep. Henry Hyde, a Chicago Republican.

"This is a good small step here," Jennifer Popik of National Right to Life told the Times. "This isn't defunding Planned Parenthood, this isn't defunding large abortion providers, but this is one thing we can show we're moving in a positive direction."

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