Released Regulatory Relief for Issuers of Certain Tax-Exempt Bonds
Treasury and the Internal Revenue Service released welcome temporary guidance addressing two of the many issues provoked by the COVID 19 pandemic.
Rev. Proc. 2020-21 permits issuers of private activity bonds to hold the public hearings required by the TEFRA rules by teleconference, expanding existing guidance requiring such hearings to be conducted in person.
Notice 2020-25 generally allows issuers of governmental bonds to purchase and hold their own tax-exempt qualified tender bonds and commercial paper during calendar year 2020, without causing such obligations to be considered extinguished for federal tax purposes.
It should be noted that the provisions set forth in both these measures apply to events taking place in calendar year 2020.
Bond Counsel in the Nation
Also of Interest
- Erich Schmitz Awarded NABL’s 2020 Carlson Prize
Erich Schmitz has been awarded the Carlson Prize by the National Association of Bond Lawyers (NABL) for his work on the article entitled “Practical Considerations in Electronic Disclosure by State and Municipal Bond Issuers”.
- SEC Exemptive Order re Municipal Advisors
This Hawkins Advisory describes the SEC’s exemptive order of June 16, 2020, which provides a temporary exemption from registration as a broker for registered municipal advisors, subject to satisfaction of certain conditions.
- SEC Statement on Disclosure by Municipal Issuers regarding the Impact of COVID-19
This Advisory provides a summary and analysis of the SEC’s public statement directed to issuers of municipal securities regarding disclosures about the impact of COVID-19 on their financial and operating conditions.
- SEC Staff Guidance Regarding Secondary Market Disclosure
This Advisory provides a summary and analysis of the recent Staff Legal Bulletin from the SEC’s Office of Municipal Securities.