News & Analysis as of

Municipal Bonds

Sherman & Howard L.L.C.

SEC Settles Proceeding Against Charter School Municipal Advisor for Conflict of Interest & Violation of Fiduciary Duty

The Securities and Exchange Commission (SEC) settled an administrative proceeding against Hamlin Capital Advisors, LLC and its managing director on Oct. 24, 2024, for failing to timely and fully disclose material conflicts of...more

Mintz - ML Strategies

New Legislation Would Expand the Use of Municipal Bonds

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Legislation reintroduced by US Rep. Terri Sewell (D-AL) has the potential to significantly expand the use of tax-exempt municipal bonds while creating a new “direct pay” bond. The Local Infrastructure Financing Tools (LIFT)...more

Marshall Dennehey

FINRA Grants Respondents’ Motions for Sanctions Against Claimant and Broker’s Request for Expungement

Marshall Dennehey on

Marlin Keith Andrews v. William S. Humber and Stifel, Nicolaus & Co., Inc., FINRA Case #22-01176 - The claimant asserted causes of action including failure to supervise, breach of fiduciary duty, respondeat superior,...more

Foley & Lardner LLP

Changes to General Obligation Notes Borrowing in Wisconsin: Benefits to Municipalities

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Municipalities issuing general obligation promissory notes under section 67.12 (12) of the Wisconsin Statutes may now take advantage of a statutory maximum maturity date of 20 years. 2023 Wisconsin Act 128 (the “Act”) took...more

ArentFox Schiff

Mega-Trends Impacting Municipal Market

ArentFox Schiff on

We are at the initial stages of a major paradigm shift that has significant implications for the municipal market over the next five to 10 years. A number of societal mega-trends will present material challenges for the...more

Ballard Spahr LLP

No Prevailing Wage Requirements for Pennsylvania Conduit Issuers

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In an increasingly rare unanimous ruling, the Pennsylvania Supreme Court has affirmed the Pennsylvania Commonwealth Court’s holding that Ursinus College is not subject to prevailing wage requirements for a construction...more

Goodwin

SEC Expands Dealer Definition to Capture Large Traders Regularly Providing Liquidity to the Markets

Goodwin on

High-frequency traders, private funds, decentralized exchange automated market makers, and even state pension plans should consider whether the expanded dealer definition triggers the need to register as a securities dealer...more

Parker Poe Adams & Bernstein LLP

The Increasing Importance of Cybersecurity Readiness in the Municipal Bond Market: How Public Institutions Can Respond

In today's evolving world of security and data privacy, K-12 schools, universities, local governments, and hospitals are increasingly finding themselves on the same list: vulnerable to the threat of a cyberattack....more

Pullman & Comley, LLC

What All Municipal Bond Issuers Should Know About Cybersecurity Risk Disclosure in 2024

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SEC’s View of Disclosure Obligations Over the last fifteen years, the Securities and Exchange Commission (SEC) has increased its focus on inadequate disclosure relating to governmental debt issues. Although municipal bond...more

McNees Wallace & Nurick LLC

Bond Issue Fundamentals: A Guide to the Participants and the Process - Updated

A bond issue (a debt obligation of a local government) is often perceived as a mystery for many Pennsylvania local government officials and solicitors. The securities and tax regulations governing municipal bonds have grown...more

Cadwalader, Wickersham & Taft LLP

Chester, PA Chapter 9 Court Confirms Certain Municipal Financing Techniques, Raises Concerns About Others

On November 3, 2023, the Court in the Chapter 9 bankruptcy case of the City of Chester, Pennsylvania issued its ruling in an adversary proceeding challenging the perfection of the liens securing certain revenue bonds issued...more

Sherman & Howard L.L.C.

SEC Announces Antifraud Settlement Relating to School Board Audit

Sherman & Howard L.L.C. on

The Securities and Exchange Commission (SEC) announced the settlement of its fraud case against a New Orleans-based auditing firm and its principal. The firm and its principal were charged with violating antifraud securities...more

ArentFox Schiff

What Is Going On With the Economy and What Does It Mean for the Municipal Market?

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Anyone who thinks they understand what is happening in the economy – and what will happen – should think some more. The post-pandemic state of the economy is somewhat of a mystery, but a mystery worth exploring. Unemployment...more

King & Spalding

Kansas Federal Court Allows Developers’ Tort and Contract Claims to Proceed Against Bond Trustee

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On September 13, 2023, the U.S. District Court for the District of Kansas granted in part and denied in part UMB Bank’s motion to dismiss counterclaims for tortious interference, breach of contract, and breach of the duty of...more

Cozen O'Connor

Top (Bottom?) Ten of Tax Headaches (Challenges) for Municipal Bond Issuers

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Sometimes the first step to solving (or mitigating or avoiding) problems is to identify what the problem may be to, among other things, put time on one’s side. For issuers of tax-exempt municipal bonds, there tend to be...more

Foster Garvey PC

Upcoming Changes to EMMA User Accounts

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The Municipal Securities Rulemaking Board (“MSRB”) is implementing changes to login accounts for its Electronic Municipal Market Access System (“EMMA”) that may affect issuers and other obligors making continuing disclosure...more

ArentFox Schiff

Ground Lease Risks in Municipal Bond Projects

ArentFox Schiff on

Ground lease structures have become a common feature of conduit financings in the municipal bond market. They provide tax advantages to projects and can be structured several different ways depending on the tax-exempt status...more

Bowditch & Dewey

[Webinar] Full Disclosure – Tips, Tricks and Traps for the Unwary in Navigating Public Finance Disclosure Obligations: Part I –...

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Given the increasing SEC scrutiny on disclosure practices in municipal finance, governmental issuers and conduit borrowers [e.g., 501(c)(3) corporations] are taking a fresh look at their disclosure policies and procedures,...more

Ballard Spahr LLP

Municipal Securities Regulation and Enforcement: 2022 Year in Review and Look Ahead

Ballard Spahr LLP on

As is widely known, the new issue market slowed down in 2022 due to a variety of factors, including rising interest rates, reduced institutional demand resulting from municipal bond fund outflows, inflation and recession...more

Parker Poe Adams & Bernstein LLP

Amendments to North Carolina Bond Referendum Process: New Statement of Disclosures and Other Requirements

As local governments head into budget preparation and planning season, we want to make sure you are aware of important changes the North Carolina legislature made to the general obligation bond referendum process. On July 8,...more

Mintz

Texas AG Bars Major Bank from Underwriting Municipal Bond Offerings in Texas Due to Alleged Discrimination Against Firearms...

Mintz on

Last week, it was reported that the Texas Attorney General would "not approve any public security" which was purchased or issued by a major bank due to alleged discrimination against the firearms sector. In 2021, Texas had...more

Keating Muething & Klekamp PLL

Recent SEC Enforcement Actions Highlight Continuing Disclosure Obligations of Municipal Bond Underwriters

On September 13, 2022 the Securities and Exchange Commission filed litigation against four separate municipal securities underwriters for failing to comply with municipal bond offering disclosure requirements. The four firms...more

Harris Beach PLLC

What Is an Industrial Development Bond and Why Does It Matter When Interpreting Blue Sky Laws?

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When it comes to the proper application of Blue Sky laws relating to the issuance of municipal securities, interpretations matter. And so does a sense of history, given evolutions in various related state and federal...more

Goodwin

SEC Sanctions Broker for Failure to Register as Municipal Advisor and for Inadequate Procedures to Ensure Registration: A Reminder...

Goodwin on

​​​​​​​On September 14, 2022, the SEC announced a settled administrative order, also dated September 14 (“Order”), imposing penalties, including a $100,000 fine, on a registered broker (the “Broker”) for failing to (1)...more

Goodwin

SEC Sues and Settles Claim Against Investment Adviser Representative For “Cherry-Picking Scheme” After Entry of Cease and Desist...

Goodwin on

​​​​​​​On September 13, 2022, the U.S. Securities and Exchange Commission (“SEC”) announced a settlement with investment advisory firm Buckman Advisory Group LLC (“Buckman Advisory”) and its CEO Harry Buckman Jr. to settle...more

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