The Municipal Securities Rulemaking Board held an informal roundtable with market groups late last week and is planning another one in September as well as two teleconferences, leading some to compare the discussions to the former Muni Council.
The roundtables will cover a wide range of issues in the market and not just disclosure, which was the focus of the Muni Council, which consisted of representatives from about 20 municipal market groups.
The council, established in 2001, created the concept of the Central Post Office facility, which operated for about five years before it was essentially replaced in 2009 by the board’s EMMA site.
Given the slew of regulatory issues now in play in the municipal market, particularly the regulation of muni advisers, about a dozen market groups participating in Friday’s roundtable decided it would be helpful to meet more regularly to discuss “any areas of concern” with the MSRB, said one source who asked for anonymity. The board asked participants not to discuss the meeting with the press.
Previously an annual affair, the roundtables have led to constructive dialogue between market groups, according to sources.
At last year’s roundtable, representatives of the Government Finance Officers Association and the National Federation of Municipal Analysts agreed to jointly develop disclosure “templates,” a project that is still in development with other market groups.
Asked about the roundtable, MSRB executive director Lynnette Hotchkiss said in a statement: “The MSRB roundtable brings together key organizations in the municipal market to discuss issues of importance to the market as a whole. There is no particular agenda, just a common desire to share information as broadly as possible. The role of the MSRB is to act as a market resource and facilitate these discussions without endorsing or promoting any particular group perspective.”
Alan Anders, deputy finance director for New York City who was one of the GFOA’s representatives on the Muni Council, said any opportunity for regulators to receive additional input from issuers is “a good thing.”
“Issuers are very concerned about opening communication channels and keeping them open with the Securities and Exchange Commission and other regulators,” said Anders, who did not attend last week’s roundtable.
Separately, the MSRB announced Tuesday that it is beginning the search process for new board members for terms that will start Oct. 1. The board is seeking three representatives of regulated entities and two public officials to replace five existing board members whose terms will end Sept. 30.
They will fill seats that will be vacated by Martin Vogtsberger, managing director and head of institutional brokerage at Fifth Third Securities Inc. in Columbus, Ohio; Stanley Grayson, vice chairman and chief operating officer at MR Beal & Co. in New York; John Young 2d, managing director at Samuel A. Ramirez & Co. in New York; Kathleen McDonough, former senior managing director at Ambac Financial Group in New York; and Frank Thomas Howard, executive director of the office of financial management in the finance and administration cabinet of Kentucky.
Nominations should be e-mailed to
The board also announced last week that it had hired Kathleen Miles, formerly of counsel at Kutak Rock in Washington, as associate general counsel.
Miles has more than 15 years experience serving as bond and underwriter counsel. Before joining Kutak, she was associate general counsel at Fannie Mae, where she specialized in the securitization of multifamily and single-family loans.
