Disclosures, Pre- + Post-Issue Flashcards
What type of bonds are impacted by State reporting & financial disclosure requirements?
All GOB & revenue bonds that mature 1 year or more.
But not bond anticipation notes.
What LGs are impacted by bond State reporting & financial disclosure requirements?
All.
Who must LG give notice to & for what?
Division of Bond Finance with advance written notice of the impending sale of GOBs + revenues (maturing 1 yr or more)
Besides the Division of Bond Finance, what other types of notice might be indicated?
Sunshine, public meetings notice.
What are the bond info forms?
2003 /2004-A + 2004-B.
03 = gen info, file when you're free 04 = 'f'ees, strictly 120 days [4 mos.]
What is disclosed in 2003?
General info, names & addresses of participants.
What is deadline to file 2003?
POST-ISSUE NOTICE ----------- As soon as possible after bonds issued. ----------- ***don't get confused. material events are asap no later than 10 days***
POST-ISSUE NOTICE ---------- What is disclosed in 2004? ----------- What doc might be included in the filing of 2004?
Fees paid by underwriter and LG, incl attorney + consultant.
———–
Official Statement, if one issued.
What is deadline to file 2004?
POST-ISSUE NOTICE ----------- Within 120 days of issuance. —————-How remember? 4 months = 120 days \+ 20' 04 = 120 days
What types of bonds sale need not be noticed to Div of Bond Finance?
• Bonds that mature less than 1 yr.
• Bond anticipation notes.
What bonds are exempt from 2004?
POST-ISSUE NOTICE ----------- w/o reporting, cd run a CON ----------- Certain conduit financings. (industrial development bonds, health facilities revenue bonds, educational facilities revenue bonds).
If fail to comply with post disclosures, what could result?
Get reported to Legis Audit Comm. Cd withhold State funds.
PRE-ISSUE NOTICE ---------- When is Official Statement made? By who? Stating what?
- Pre-issuance,
- Div of Bond Finance.
- Detail of all bond terms. Rating, Tax exempt, redemption, interest, maturity schedule.
What is a Truth-in-Bonding Statement?
PRE-ISSUE NOTICE ----------- Give 10 days notice of sale. THEN, Issued by Underwriter to LG. Sets forth: • All fees paid (finders fee, management fee). • Source of repayment • Basic terms
How are LG bonds sold?
Competitive bid OR negotiated.