This is a great fund.
The reason it is tax free is because it looses value faster than it pays dividends.
It's a write off!

Jan 13.09
Today 12.64
Loss .45
Dividends Paid .38

So much for the USAA claim of being "bond rocket scientists".
It will be interesting to see how these bond funds do when the muni bonds start to default en mass.

What's that you say? No? Never happen?
Google "Alabama Sewer Default"
It's just gettin' started.

Stay away from everything USAA.
Each and every one of their funds underperforms.