The Commonwealth collected 213.4 mlln Sales and Use Taxes in July 2017 versus 209.5 mlln in July 2016. The Sales and Use Taxes support Cofina debt service. In May, the Commonwealth petitioned for Title III restructuring suggesting that they would use the Sales and Use Tax collections to pay General Fund expenses. In normal times, the SUT collections are first used to pay the Cofina debt service reserve funds. These reserve funds are usually funded after 6 months of collections. The Commonwealth is on a July - June fiscal year so by January the Cofina reserves are met. Since the Commonwealth petitioned in May, after Cofina collected their annual debt service, we have not seen how the Commonwealth would handle the new collections that would normally flow to Cofina debt service funds. Obviously, the markets feared that the Commonwealth would redirect the 2017-2018 collections away from the Cofina debt service funds to the General Fund. The July collections show this NOT TO BE TRUE and the Cofina debt service funds collected 122.1 mlln dollars in July....this is the BIG news.