(logo)OPPENHEIMERFUNDS
Denis Mouller OppenheimerFund, Inc.
Vice President and Two World Trade Center, 34th Floor
Associate Counsel New York, New York 10048-0203
212 323-2000 Fax 212 323-0558
October 18, 1996
Securities and Exchange Commission
OFICS File Support
Mail Stop O-7, SEC Operations Center
6432 Alexandria, VA 22312
Re: Oppenheimer Municipal Fund
Reg. No. 33-08054 File No. 811-4803
To the Securities and Exchange Commission:
An electronic ("Edgar") filing is hereby made under Rule 497(e) of the
Securities Act of 1933 on behalf of Oppenheimer Municipal Fund and its two
series (the "Funds"): Oppenheimer Intermediate Municipal Fund and Oppenheimer
Insured Municipal Fund. The filing includes a supplement dated October 18, 1996
to each Fund's Prospectus dated February 1, 1996.
Very truly yours,
/s/ Denis Molleur
------------------
Denis Molleur
Vice President &
Associate Counsel
(212) 323-0560
DM
cc: Allan Adams, Esq.
Deloitte & Touche LLP
Gloria LaFond
<PAGE>
OPPENHEIMER INTERMEDIATE MUNICIPAL FUND
(formerly Oppenheimer Intermediate Tax-Exempt Fund)
Supplement dated October 18, 1996
to the Prospectus dated February 1, 1996
The second paragraph in the section captioned "Class A Contingent
Deferred Sales Charge" on page 27 is revised by replacing the second and third
sentences with the following sentences:
The Distributor pays dealers of record commissions on those
non- retirement plan purchases in an amount equal to 1.0%. That
commission will be paid only on the amount of those purchases that were
not previously subject to a front-end sales charge and dealer
commission.
October 18, 1996 PS0860.002
<PAGE>
OPPENHEIMER INSURED MUNICIPAL FUND
(formerly Oppenheimer Insured Tax-Exempt Fund)
Supplement dated October 18, 1996
to the Prospectus dated February 1, 1996
The second paragraph in the section captioned "Class A Contingent
Deferred Sales Charge" on page 28 is revised by replacing the second and third
sentences with the following sentences:
The Distributor pays dealers of record commissions on those
non-retirement plan purchases in an amount equal to 1.0%. That
commission will be paid only on the amount of those purchases that were
not previously subject to a front-end sales charge and dealer
commission.
October 18, 1996 PS0865.002
