Municipal bond sales in the U.S. are set to decrease in the next month while the amount of redemptions and maturing debt falls.

States and localities plan to issue $9.5 billion of bonds over the next 30 days, according to data compiled by Bloomberg. A week ago, the calendar showed $10.7 billion planned for the coming month. Supply figures exclude derivatives and variable- rate debt. Some municipalities set their deals less than a month before borrowing.

North Texas Tollway Authority plans to sell $871 million of bonds, New York State Dormitory Authority has scheduled $690 million, Tennessee State School Bond Authority will offer $459 million and Florida State Department of Transportation will bring $300 million to market.

Municipalities have announced $10.4 billion of redemptions and an additional $8.6 billion of debt matures in the next 30 days, compared with the $22.6 billion total that was scheduled a week ago.

Issuers from California have the most debt coming due with $1.51 billion, followed by Michigan at $1.17 billion and New York with $990 million. Wisconsin has the biggest amount of securities maturing, with $632 million.

Market Shrinks

The $3.6 trillion municipal market shrank by 4 percent in 2014. This year, maturities are poised to drop 38 percent to $176 billion from the 2014 levels.

Investors added $727 million to mutual funds that target municipal securities in the week ended March 25, compared with $194 million in the previous period, according to Investment Company Institute data compiled by Bloomberg.

Exchange-traded funds that buy municipal debt increased by $69 million last week, boosting the value of the ETFs 0.4 percent to $16.6 billion.

State and local debt maturing in 10 years now yields 103.4 percent of Treasuries, compared with 106.3 percent in the previous session and the 200-day moving average of 96 percent, Bloomberg data show.

Bonds of New York and Michigan had the best performance over the past year compared with the average yield of AAA rated 10-year securities, the data shows. Yields on New York’s securities narrowed 9 basis points to 2.00 percent while Michigan’s declined 5 basis points to 2.27 percent.

Puerto Rico and New Jersey handed investors the worst results. The yield gap on Puerto Rico bonds widened 94 basis points to 9.94 percent and New Jersey’s rose 20 basis points to 2.67 percent.