Inflation Reduction Act
Participation Not Required: SEC Charges Mayor as Control Person in Municipal Bond Offering
In an unprecedented exercise of its authority to charge municipal officials with “control person” liability, the Securities and Exchange Commission (SEC) recently announced fraud charges against the City of Allen Park, Michigan, its former mayor and former city administrator for...
Bracewell & Giuliani and Schwartz Page & Harding Receive Favorable Private Letter Ruling Regarding Tax-Exempt Bonds from Internal Revenue Service
Acting as special tax counsel to a governmental entity that sells raw water at wholesale to governmental and nongovernmental customers (the “Issuer”), Bracewell & Giuliani LLP, together with bond counsel Schwartz, Page & Harding LLP, recently obtained a favorable private...
New Municipal Advisor Supervision Requirements Adopted
Rule G-44, proposed earlier this year by the Municipal Securities Regulation Board (MSRB) and approved by the Securities and Exchange Commission (SEC) this month, requires that municipal advisors develop internal supervisory and compliance systems. The new rule will go into...
IRS Releases Private Business Use Guidelines for ACO Participants
On Friday, October 24, 2014, the Internal Revenue Service (IRS) released Notice 2014-67, providing guidance regarding the circumstances under which participation by a hospital in an Accountable Care Organization (ACO) will not give rise to private business use of the...
FY 2015 Sequestration Reduction Percentage for Direct Pay Tax Credit Bonds Bumps Up to 7.3 Percent
According to an update released by The IRS Office of Tax Exempt Bonds (TEB), the sequester reduction percentage applied to the payments made to issuers of direct pay bonds in FY 2015 will be 7.3 percent. This new percentage will...
SEC Modifies MCDC Terms: Extends Issuer Deadline to 12/01/2014, Lowers Penalty Cap for Small Underwriters; Recognizes Pre-EMMA Limitations
The Securities and Exchange Commission has announced modifications to the terms of its Municipalities Continuing Disclosure Cooperation (MCDC) Initiative (click here for our prior alerts). In a press release issued late in the afternoon July 31, 2014, the SEC modified...
First Issuer MCDC SEC Settlement Announced
On July 8, 2014, the U.S. Securities and Exchange Commission announced that it has entered into a settlement order with Kings Canyon Joint Unified School District (Kings Canyon)—the first settlement with an issuer under the Commission’s Municipalities Continuing Disclosure Cooperation...
SEC Municipalities Continuing Disclosure Cooperation Initiative Targets Issuers and Underwriters with a “Prisoner’s Dilemma”
To listen to the podcast, please click here . On March 10, 2014, the Enforcement Division of the Securities and Exchange Commission (SEC) announced the Municipalities Continuing Disclosure Cooperation Initiative (MCDC) – an offer for municipal issuers and their underwriters...
SEC Fraud Charges Against School District Demonstrate Increased Focus on Disclosure Compliance by Municipal Issuers
On July 29, 2013, the Securities and Exchange Commission announced that it had charged an Indiana school district and its underwriter with securities fraud for falsely stating in a 2007 offering document that the issuer was in compliance with its...