Generally, as bond counsel, is it our responsibility to make certain that the client meets all state and federal law requirements, including but not limited to, the Municipal Finance Act, the statute under which the bonds are being issued, the Internal Revenue Code and the Securities and Exchange Commission’s Rules and Regulations. Our responsibility further includes working with the client to advise on the available financing methods and to assist in the structuring of the client’s bond issues so that financings are done in a way which is most beneficial to the client. Our bond counsel service culminates with the issuance of a legal opinion advising all prospective bondholders of the validity of the bonds and the exemption of the interest on the bonds from federal and state income taxes.
Once the bonds are issued, some municipalities continue to have questions with reference to the proper expenditure of bond proceeds, investment restrictions under the Internal Revenue Code and proper levies of the debt retirement fund. These services are normally provided by our office via telephone without any additional charge.
Below is a description of the services we will provide:
- Meet with client officials to determine infrastructure needs.
- With respect to pension bonds or OPEB, meet with client officials to address current unfunded pension liability and amounts which may be used to retire bonds issued for the purpose.
- Provide legal analysis of state law and federal tax law to determine available means of financing.
- Develop a plan of financing with the client and the client’s financial advisor.
- Provide all required state law and federal tax law analysis.
- Prepare all proceedings authorizing bonds.
- Assure that all necessary State and other approvals for issuance of bonds are secured.
- Prepare or review portions of Official Statement describing bonds, security for bonds, tax exemption and other legal matters
- Prepare and publish Notice of Sale or Request for Proposal for receipt of bids on bonds.
- Submit legal opinion to bond rating agencies and respond to their inquiries for clarification.
- Review and advise on legality of bids for bonds.
- Supervise printing of bonds.
- Together with purchaser and financial advisor, coordinate delivery of bonds and payment to issuer.
- Complete all post delivery publications and filings with State or Federal taxing authorities.