Skip to main content
Insights
Inflation Reduction Act
Panel Discussion: SEC, MCDC and You
Bracewell attorneys Barron Wallace, Paul Maco and Jonathan Frels, of our public finance practice group, sit down for a discussion about SEC’s enforcement actions under the Municipalities Continuing Disclosure Cooperation (MCDC) Initiative.
Final Issue Price Regulations Significantly Change Current Rules
Overview On December 9, 2016, the IRS released final Treasury Regulations (the “ Final Regulations ”) relating to the “issue price” of tax-exempt bonds for purposes of arbitrage investment restrictions. Although, on balance, an improvement to the proposed Treasury Regulations...
FINRA Fines Lincoln Financial Sub $650,000 For Cybersecurity Shortcomings
A Lincoln Financial Group subsidiary agreed to pay $650,000 to the Financial Industry Regulatory Authority (FINRA) to resolve allegations that it failed to implement sufficient security policies to protect confidential customer information after its web-based customer account database was hacked...
SEC Announces 71 Issuer MCDC Settlements
On August 24, 2016, the SEC announced that it had entered into settlement orders with 71 municipal issuers and other obligated persons for violations of federal securities laws in municipal bond offerings. 1 The issuers and obligated persons 2 settled...
Management Contracts & Private Business Use–IRS Releases Favorable Guidance
Coming as welcome news to those involved in the municipal bond market, Revenue Procedure 2016-44 (scheduled to be published on September 6, 2016 and available here ) provides helpful guidance for governmental issuers and 501(c)(3) borrowers entering into long-term contracts...
FY 2017 Sequestration Reduction Percentage for Direct Pay Tax Credit Bonds Set at 6.9 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 2017 will be 6.9 percent. This percentage will apply...
Municipal Advisor, School Consultant, and Associated Individuals Enter Settlement Offers with SEC after First-of-Its-Kind Municipal Advisor Antifraud Enforcement Action
On June 13, 2016, the Securities and Exchange Commission (SEC) accepted the settlement offers made by two firms and three executives charged with using deceptive business practices in dealing with five school districts. 1 As part of their settlements, School...
Proposed Regulations Could Have a Substantial Effect on Special District Issuers, Especially Developer Districts
In an important development for special districts, including water districts, road districts, and other utility districts, on February 22, 2016, the Internal Revenue Service (“IRS”) released proposed Treasury Regulations (the “Proposed Regulations”) revising guidelines for what is a “political subdivision”...
IRS Issues Final Regulations Regarding Allocation of Bond Proceeds to Mixed-Use Projects; SLGS Window Reopens
On October 26, 2015, the IRS released final regulations (the “Final Regulations”) regarding allocation and accounting rules for purposes of the private activity bond restrictions applicable to tax-exempt bonds issued by state and local governments and, for certain purposes, other...
FY 2016 Sequestration Reduction Percentage for Direct Pay Tax Credit Bonds Set at 6.8 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 2016 will be 6.8 percent. This percentage will apply...
IRS Releases New Proposed Issue Price Regulations
On June 23, 2015, the IRS released new proposed Treasury Regulations (the “2015 Proposed Regulations”) concerning the definition of “issue price” for purposes of arbitrage investment restrictions on tax-exempt bonds. The 2015 Proposed Regulations withdraw the portion of proposed Treasury...
State/Local Bond Proposals in Administration's 2016 Budget
Several proposals affecting tax-exempt bonds were included in the Obama Administration's Budget for FY 2016. As usual, the overall budget proposal has immediately been declared DOA by political pundits. Nonetheless, taking a look at individual proposals can help one get...