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Contact: Jennifer A. Galloway, Chief Communications Officer
             (703) 797-6600
              jgalloway@msrb.org

MSRB TO REQUIRE DEALERS TO DISCLOSE MORE INFORMATION REGARDING CONTRIBUTIONS
 TO BOND BALLOT CAMPAIGNS

Alexandria, VA – The Municipal Securities Rulemaking Board (MSRB) received approval from the Securities and Exchange Commission to expand disclosures related to contributions made by municipal securities dealers to bond ballot measure campaigns.

The new requirements seek to provide more transparency to address the perception that dealers’ contributions to bond ballot campaigns, which secure voter approval for taxpayer-funded public projects, could influence the award of municipal securities underwriting business to dealers.

“Even the appearance of pay-to-play in the municipal bond market can undermine public confidence,” said MSRB Executive Director Lynnette Kelly. “Requiring more disclosure about dealers’ bond ballot contributions will shine light on potential connections between dealers’ financial contributions and the awarding of bond business.”

The new disclosure requirements, which include information on the timing of dealer contributions, the identity of the municipal entity issuing the voter-approved bonds and the related underwriting by the dealer, take effect July 1, 2013. The information will be published on the MSRB’s EMMA® website.

 

The Municipal Securities Rulemaking Board (MSRB) protects and strengthens the municipal bond market, enabling access to capital, economic growth, and societal progress in tens of thousands of communities across the country. The MSRB fulfills this mission by creating trust in our market through informed regulation of dealers and municipal advisors that protects investors, issuers and the public interest; building technology systems that power our market and provide transparency for issuers, institutions, and the investing public; and serving as the steward of market data that empowers better decisions and fuels innovation for the future. The MSRB is a self-regulatory organization governed by a board of directors that has a majority of public members, in addition to representatives of regulated entities. The MSRB is overseen by the Securities and Exchange Commission and Congress.

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