WASHINGTON -- The cash-strapped District of Columbia is rushing to settle the $200 million of short-term notes it sold yesterday to pay its bills and infuse some cash into its badly underfunded pension program.

The fact that the settlement date is tomorrow, rather than a week later as is typical with such note sales, reflects the district's immediate need for cash, said David Herships, vice president and municipal bond analyst for Kemper Securities Inc. in Chicago.

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