Administration February 11, 2005

30-Year Treasury Bond is Back

November 2, 2005 (PLANSPONSOR.com)—The US Treasury will raise an estimated $171 billion during the first quarter of 2006 by introducing the new 30-year bond on February 9, the government announced today.
Reported by

The government will announce the total amount of bonds to be sold on February 1, 2006. Auctions will be held twice a year, in February and August, and officials plan to raise between $20 billion and $30 billion each year.

The administration had announced the return of the 30-year bond in August; the bond was sold previously from 1977 until 2001.

In August, House Committee on Education & the Workforce Chairman John Boehner (R-Ohio) said that “The return of the 30-year Treasury bond underscores the need to complete action on pension reform this year and to establish a permanent interest rate so employers can more accurately measure and fund their pension obligations.  Without action on comprehensive reform this year, the interest rate will revert back to the 30-year Treasury rate, and there’s no indication of whether this rate would be an accurate measure of pension liabilities.”

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