Muni Think

Recently, the SEC has focused its attention on disclosures related to artificial intelligence, including the use of machine-learning, generative models or algorithms, blockchain, and other similar emerging automated technologies, warning market participants of the risks associated with "AI-washing."

To meet the ambitious goals of the Environmental Protection Agency's Greenhouse Gas Reduction Fund, innovative financing models can be adapted from established municipal finance systems.

As the public finance landscape evolves with increased philanthropic interest and a focus on climate resilience and community health, it's time for traditional market participants to align their investments with impactful outcomes to drive systemic change and foster equitable growth.

Issuance has increased, but financial performance and ratings are likely to stay volatile.

Direct pay is a solution to the never-ending problem for local government budget directors of finding the resources for upfront capital investments that yield long-term savings.

The Hall of Fame initiative celebrates individuals whose careers have left an indelible mark, while the Rising Stars program recognizes the muni finance leaders of tomorrow. Nominations for the 2024 classes will be accepted until Friday, May 31. This will be the final deadline.

Major headwinds for the muni market include climate change, growing federal debt, shrinkage of the workforce, the impact of remote work, cybersecurity attacks, and political polarization. And they are poised to be costly for states and municipalities.

While the SEC's cybersecurity rule does not apply to municipal issuers, there are a few points discussed in the Adopting Release that may be useful for municipal market participants. 

The MSRB remains fully committed to its strategic goal of upholding public trust and looks forward to engaging with its stakeholders in the coming weeks.

With economic uncertainty ahead and the Federal Reserve potentially shifting to interest-rate cuts, analysts should take a closer look at individual issuers' financial disclosures.