EX-99.77E LEGAL

SUB-ITEM 77E:  LEGAL PROCEEDINGS
Since October 2003, Federated and related entities (collectively,
"Federated"), and various Federated funds ("Funds"), have been named as
defendants in several class action lawsuits now pending in the United States
District Court for the District of Maryland. The lawsuits were purportedly
filed on behalf of people who purchased, owned and/or redeemed shares of
Federated-sponsored mutual funds during specified periods beginning November
1, 1998. The suits are generally similar in alleging that Federated engaged in
illegal and improper trading practices including market timing and late
trading in concert with certain institutional traders, which allegedly caused
financial injury to the mutual fund shareholders. These lawsuits began to be
filed shortly after Federated's first public announcement that it had received
requests for information on shareholder trading activities in the Funds from
the SEC, the Office of the New York State Attorney General ("NYAG"), and other
authorities. In that regard, on November 28, 2005, Federated announced that it
had reached final settlements with the SEC and the NYAG with respect to those
matters. Specifically, the SEC and NYAG settled proceedings against three
Federated subsidiaries involving undisclosed market timing arrangements and
late trading. The SEC made findings: that Federated Investment Management
Company ("FIMC"), an SEC-registered investment adviser to various Funds, and
Federated Securities Corp., an SEC-registered broker-dealer and distributor
for the Funds, violated provisions of the Investment Advisers Act and
Investment Company Act by approving, but not disclosing, three market timing
arrangements, or the associated conflict of interest between FIMC and the
funds involved in the arrangements, either to other fund shareholders or to
the funds' board; and that Federated Shareholder Services Company, formerly an
SEC-registered transfer agent, failed to prevent a customer and a Federated
employee from late trading in violation of provisions of the Investment
Company Act. The NYAG found that such conduct violated provisions of New York
State law. Federated entered into the settlements without admitting or denying
the regulators' findings. As Federated previously reported in 2004, it has
already paid approximately $8.0 million to certain funds as determined by an
independent consultant. As part of these settlements, Federated agreed to pay
disgorgement and a civil money penalty in the aggregate amount of an
additional $72 million and, among other things, agreed that it would not serve
as investment adviser to any registered investment company unless (i) at least
75% of the fund's directors are independent of Federated, (ii) the chairman of
each such fund is independent of Federated, (iii) no action may be taken by
the fund's board or any committee thereof unless approved by a majority of the
independent trustees of the fund or committee, respectively, and (iv) the fund
appoints a "senior officer" who reports to the independent trustees and is
responsible for monitoring compliance by the fund with applicable laws and
fiduciary duties and for managing the process by which management fees
charged to a fund are approved. The settlements are described in Federated's
announcement which, along with previous press releases and related
communications on those matters, is available in the "About Us" section of
Federated's website at FederatedInvestors.com.
Federated and various Funds have also been named as defendants in several
additional lawsuits, the majority of which are now pending in the United
States District Court for the Western District of Pennsylvania, alleging,
among other things, excessive advisory and Rule 12b-1 fees.
The board of the Funds has retained the law firm of Dickstein Shapiro Morin &
Oshinsky LLP to represent the Funds in these lawsuits. Federated and the
Funds, and their respective counsel, are reviewing the allegations and intend
to defend this litigation. Additional lawsuits based upon similar allegations
may be filed in the future. The potential impact of these lawsuits, all of
which seek unquantified damages, attorneys' fees, and expenses, and future
potential similar suits is uncertain. Although we do not believe that these
lawsuits will have a material adverse effect on the Funds, there can be no
assurance that these suits, ongoing adverse publicity and/or other
developments resulting from the regulatory investigations will not result in
increased Fund redemptions, reduced sales of Fund shares, or other adverse
consequences for the Funds.

EX-99.77B ACCT LTTR

Report of Independent Registered Public Accounting Firm

To the Shareholders and Board of Directors of
Federated Municipal Securities Fund, Inc.

In planning and performing our audit of the financial statements of Federated
Municipal Securities Fund, Inc. (the "Fund") as of and for the year ended
March 31, 2006, in accordance with the standards of the Public Company
Accounting Oversight Board (United States), we considered its internal control
over financial reporting, including control activities for safeguarding
securities, as a basis for designing our auditing procedures for the purpose
of expressing our opinion on the financial statements and to comply with the
requirements of Form N-SAR, but not for the purpose of expressing an opinion
on the effectiveness of the Fund's internal control over financial reporting.
Accordingly, we express no such opinion.

The management of the Fund is responsible for establishing and maintaining
effective internal control over financial reporting. In fulfilling this
responsibility, estimates and judgments by management are required to assess
the expected benefits and related costs of controls. A company's internal
control over financial reporting is a process designed to provide reasonable
assurance regarding the reliability of financial reporting and the preparation
of financial statements for external purposes in accordance with generally
accepted accounting principles. Such internal control includes policies and
procedures that provide reasonable assurance regarding prevention or timely
detection of unauthorized acquisition, use or disposition of a company's
assets that could have a material effect on the financial statements.

Because of its inherent limitations, internal control over financial reporting
may not prevent or detect misstatements. Also, projections of any evaluation
of effectiveness to future periods are subject to the risk that controls may
become inadequate because of changes in conditions, or that the degree of
compliance with the policies or procedures may deteriorate.

A control deficiency exists when the design or operation of a control does not
allow management or employees, in the normal course of performing their
assigned functions, to prevent or detect misstatements on a timely basis. A
significant deficiency is a control deficiency, or combination of control
deficiencies, that adversely affects the company's ability to initiate,
authorize, record, process or report financial data reliably in accordance
with generally accepted accounting principles such that there is more than a
remote likelihood that a misstatement of the company's annual or interim
financial statements that is more than inconsequential will not be prevented
or detected. A material weakness is a significant deficiency, or combination
of significant deficiencies, that results in more than a remote likelihood
that a material misstatement of the annual or interim financial statements
will not be prevented or detected.

Our consideration of the Fund's internal control over financial reporting was
for the limited purpose described in the first paragraph and would not
necessarily disclose all deficiencies in internal control that might be
significant deficiencies or material weaknesses under standards established
by the Public Company Accounting Oversight Board (United States). However,
we noted no deficiencies in Fund's internal control over financial reporting
and its operation, including controls for safeguarding securities, that we
consider to be a material weakness as defined above as of March 31, 2006.

This report is intended solely for the information and use of management and
the Board of Directors of Federated Municipal Securities Fund, Inc. and the
Securities and Exchange Commission and is not intended to be and should not be
used by anyone other than these specified parties.


ERNST & YOUNG LLP


Boston, Massachusetts
May 10, 2006

EX-99.77Q1 OTHR EXHB

SUB-ITEM 77 Q1 (A)

AMENDMENT #18
TO THE BY-LAWS
OF
FEDERATED MUNICIPAL SECURITIES FUND, INC.
Effective January 1, 2006
Strike Section 1, GENERAL PROVISIONS, and Section 2, ELECTION, TERM OF OFFICE
AND QUALIFICATIONS from Article IV - OFFICERS, in its entirety and replace
with the following:

	Section 1.  GENERAL PROVISIONS.  The Officers of the Corporation shall be a
President, one or more Executive Vice Presidents, one or more Senior Vice
Presidents, one or more Vice Presidents, a Treasurer, and a Secretary.  The
Board of Directors, in its discretion, may elect or appoint one or more Vice
Chairmen of the Board of Directors, and other Officers or agents, including
one or more Assistant Vice Presidents, one or more Assistant Secretaries, and
one or more Assistant Treasurers.  An Executive Vice President, Senior Vice
President or Vice President, the Secretary or the Treasurer may appoint an
Assistant Vice President, an Assistant Secretary or an Assistant Treasurer,
respectively, to serve until the next election of Officers.  Two or more
offices may be held by a single person except the offices of President,
Executive Vice President, Senior Vice President or Vice President may not be
held by the same person concurrently.  It shall not be necessary for any
Director or any Officer to be a holder of shares in any Series or Class of
the Corporation.  Any Officer, or other such person as the Board may appoint,
may preside at meetings of the Shareholders.

	Section 2.  ELECTION, TERM OF OFFICE AND QUALIFICATIONS.  The Officers shall
be elected annually by the Board of Directors at its Annual Meeting.  Each
Officer shall hold office for one year and until the election and
qualification of his successor, or until earlier resignation or removal.

Strike Section 6, CHAIRMAN OF THE BOARD, Section 7, VICE CHAIRMAN OF THE
BOARD OF DIRECTORS, and Section 8, PRESIDENT, and Section 9, VICE PRESIDENT
from Article IV - OFFICERS, in their entirety and replace with the following:

	Section 6.  CHAIRMAN OF THE BOARD.  The Board may elect from among its
members a Chairman of the Board.  The Chairman shall at all times be a
Director who meets all applicable regulatory and other relevant requirements
for serving in such capacity.  The Chairman shall not be an Officer of the
Corporation, but shall preside over meetings of the Board and shall have such
other responsibilities in furthering the Board functions as may be assigned
from time to time by the Board of Directors or prescribed by these By-Laws.
It shall be understood that the election of any Director as Chairman shall not
impose on that person any duty, obligation, or liability that is greater than
the duties, obligations, and liabilities imposed on that person as a Director
in the absence of such election, and no Director who is so elected shall be
held to a higher standard of care by virtue thereof.  In addition, election as
Chairman shall not affect in any way that Director's rights or entitlement to
indemnification under the By-Laws or otherwise by the Corporation.  The
Chairman shall be elected by the Board annually to hold office until his
successor shall have been duly elected and shall have qualified, or until his
death, or until he shall have resigned, or have been removed, as herein
provided in these By-Laws.  Each Director, including the Chairman, shall have
one vote.

Resignation.  The Chairman may resign at any time by giving written notice of
resignation to the Board.  Any such resignation shall take effect at the time
specified in such notice, or, if the time when it shall become effective shall
not be specified therein, immediately upon its receipt; and, unless otherwise
specified therein, the acceptance of such resignation shall not be necessary
to make it effective.

Removal.  The Chairman may be removed by majority vote of the Board with or
without cause at any time.

Vacancy.  Any vacancy in the office of Chairman, arising from any cause
whatsoever, may be filled for the unexpired portion of the term of the office
which shall be vacant by the vote of the Board.

Absence.  If, for any reason, the Chairman is absent from a meeting of the
board, the Board may select from among its members who are present at such
meeting a Director to preside over such meeting.

	Section 7.  VICE CHAIRMAN OF THE BOARD OF DIRECTORS.  Any Vice Chairman
shall perform such duties as may be assigned to him from time to time by the
Board of Directors of the Corporation.  The Vice Chairman need not be a
Director.

	Section 8.  PRESIDENT.  The President of the Corporation shall be the
principal executive officer of the Corporation.  Unless other provisions are
made therefor by the Board or Executive Committee, the President without
limitation, shall employ and define the duties of all employees of the
Corporation, shall have the power to discharge any such employees, shall
exercise general supervision over the affairs of the Corporation and shall
have the power to sign, in the name of and on behalf of the Corporation,
powers of attorney, proxies, waivers of notice of meeting, consents and other
instruments relating to securities or other property owned by the Corporation,
and may, in the name of and on behalf of the Corporation, take all such action
as the President may deem advisable in entering into agreements to purchase
securities and other property in the ordinary course of business, and to sign
representation letters in the course of buying securities or other property
and shall perform such other duties as may be assigned to him from time to
time by the Board of Directors.
	Section 9.  VICE PRESIDENT.  The Executive Vice President, Senior Vice
President or Vice President, if any, in order of their rank as fixed by the
Board or if not ranked, a Vice President designated by the Board, in the
absence of the President shall perform all duties and may exercise any of the
powers of the President subject to the control of the Board.  Each Executive
Vice President, Senior Vice President and Vice President shall have the power,
without limitation, to sign, in the name of and on behalf of the Corporation,
powers of attorney, proxies, waivers of notice of meeting, consents and other
instruments relating to securities or other property owned by the Corporation,
and may, in the name of and on behalf of the Corporation, take all such action
as the Executive Vice President, Senior Vice President or Vice President may
deem advisable in entering into agreements to purchase securities or other
property in the ordinary course of business, and to sign representation
letters in the course of buying securities or other property and shall perform
such other duties as may be assigned to him from time to time by the Board of
Directors, the Executive Committee, or the President.

EX-99.77Q1 OTHR EXHB

SUB-ITEM 77 Q1 (B)

POWER OF ATTORNEY


	Each person whose signature appears below hereby constitutes and appoints
the Secretary and Assistant Secretaries of FEDERATED MUNICIPAL SECURITIES
FUND, INC. and each of them, their true and lawful attorneys-in-fact and
agents, with full power of substitution and resubstitution for them and in
their names, place and stead, in any and all capacities, to sign any and all
documents to be filed with the Securities and Exchange Commission pursuant to
the Securities Act of 1933, the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, by means of the Securities and Exchange
Commission's electronic disclosure system known as EDGAR; and to file the
same, with all exhibits thereto and other documents in connection therewith,
with the Securities and Exchange Commission, granting unto said
attorneys-in-fact and agents, and each of them, full power and authority to
sign and perform each and every act and thing requisite and necessary to be
done in connection therewith, as fully to all intents and purposes as each of
them might or could do in person, hereby ratifying and confirming all that
said attorneys-in-fact and agents, or any of them, or their or his substitute
or substitutes, may lawfully do or cause to be done by virtue thereof.


SIGNATURES	TITLE	DATE



/S/ Richard A. Novak		Treasurer	01/01/06
Richard A. Novak

EX-99.77Q1 OTHR EXHB

SUB-ITEM 77 Q1 (C)

POWER OF ATTORNEY


	Each person whose signature appears below hereby constitutes and appoints
the Secretary and Assistant Secretaries of FEDERATED MUNICIPAL SECURITIES
FUND, INC. and each of them, their true and lawful attorneys-in-fact and
agents, with full power of substitution and resubstitution for them and in
their names, place and stead, in any and all capacities, to sign any and all
documents to be filed with the Securities and Exchange Commission pursuant to
the Securities Act of 1933, the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, by means of the Securities and Exchange
Commission's electronic disclosure system known as EDGAR; and to file the
same, with all exhibits thereto and other documents in connection therewith,
with the Securities and Exchange Commission, granting unto said
attorneys-in-fact and agents, and each of them, full power and authority to
sign and perform each and every act and thing requisite and necessary to be
done in connection therewith, as fully to all intents and purposes as each of
them might or could do in person, hereby ratifying and confirming all that
said attorneys-in-fact and agents, or any of them, or their or his substitute
or substitutes, may lawfully do or cause to be done by virtue thereof.


SIGNATURES	TITLE	DATE



/S/ James F. Will		Director	April 1, 2006
James F. Will