Orrick Partners Discuss Regulatory Priorities for Government Agencies

The Bond Buyer

This article, about issue price regulations included in this year's regulatory priorities for the Treasury Department and the Internal Revenue Service, quotes tax partner Ed Oswald and public finance partner Townsend Hyatt.

Mr. Oswald commented on the TEFRA (Tax Equity and Fiscal Responsibility Act of 1982) rules, stating, "The existing regulations are inflexible. The proposed regulations allow for a public notice on an internet site and also allow in certain cases the ability to do a TEFRA after the bonds are issued in the case where the project has changed."

"The existing regs are so antiquated it leads and to issuer and borrower frustration once they become familiar with rules," he added.

Mr. Hyatt discussed the availability of plenty of TED (Tribal Economic Development) allocation for now and stated that the IRS' guidelines issued over the summer "were a step in the right direction towards making sure TED allocation goes towards viable projects."