Underperforming since the calendar turned, "munis have continued to cheapen over the past three weeks as Treasury returns are about flat for the year while munis are down 0.31%," said Jason Wong, vice president of municipals at AmeriVet Securities.
The tax exemption appears to be in realistic danger as House Republicans seek to offset the cost of extending the Trump tax cuts.
The House document outlining potential policy changes focuses heavily on the healthcare sector to generate savings.
"Stan, as a former CFO and controller within the school system, has considerable insight into the needs of our education clients, and can leverage the full breadth of Stephens' resources to help them realize their goals," Stephens' Leigh Ann Biernat said in a statement.
Public school districts sought bond authorizations in January totaling $469 million, which topped an available state cap of $293.4 million.
While Texas is forecasting a big budget balance, fiscal boom times are ebbing for it and other Southwest states amid tax cuts and depleted federal funding.