At McNees, we understand that our clients are facing unprecedented challenges as a result of the spread of the coronavirus, COVID-19. In light of these challenges, the McNees Public Finance Group is closely monitoring any legal developments that may impact the municipal market, as well as the continuing disclosure obligations of our issuer clients and other obligated persons.
Earlier this year, the U.S. Securities and Exchange Commission (the “SEC”) Chairman Jay Clayton released a general statement deeming COVID-19 as an “uncertain issue where actual effects will depend on many factors beyond the control and knowledge of issuers.” Consequently, the SEC, as well as the Municipal Securities Rulemaking Board (the “MSRB”), have been closely monitoring the impact of COVID-19. Although neither the MSRB nor the SEC’s Office of Municipal Securities have issued any public statements directed at municipal issuers, the MSRB has issued a reminder to regulated entities regarding the supervision of municipal securities and municipal advisory activities and that of their associated persons.
Until further notice or guidance has been issued, issuers and other obligated persons still must comply with their SEC Rule 15c2-12 continuing disclosure obligations.
We will continue to monitor developments related to COVID-19. If you are unable to comply with your continuing disclosure obligations as a result of a shutdown or shelter in place order, or just have questions or concerns about COVID-19, please contact a member of the McNees Public Finance Group for assistance.