Bill on Bankruptcy: Stockton May Win the Battle, Lose the War
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
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
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
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
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
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
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
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
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
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
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
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
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
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
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
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
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
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
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
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
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
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
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
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
Summary - The Securities and Exchange Commission (SEC) recently announced enforcement proceedings against four municipal market underwriters for alleged violations of municipal bond disclosure requirements. Three of the...more