UFI’s Analytics and Compliance Group is a full-service practice committed to managing the comprehensive disclosure and dissemination agent needs of public agencies has over 20 years of experience assisting agencies with their compliance needs. Currently serve over 150 California cities, school districts, successor agencies, joint powers and financing authorities, and enterprise districts with post-issuance compliance services. In-house market sources such as Bloomberg, TM3 (Thompson Reuters) and EMMA result in fast and accurate service delivery for our clients.

Services Provided:
  • Continuing Disclosure Reports
  • Annual Debt Transparency
  • Ratings Monitoring
  • Arbitrage Rebate
  • Five-Year Audits
Staff at work

Divisions Services

Annual Disclosure Reports

The SEC adopted Rule 15c-12(b)(5) in 1989 to improve disclosure practices in the municipal marketplace. Amendments continue to be made to increase the amount of reliable information in the secondary market; now require issuers to provide continuing disclosure throughout the life of bond issues.

UFI offers the following services to help our clients to be fully compliant with their required disclosures:

  • Database of CD Requirements
  • Assembly and Review of Continuing Disclosure Reports
  • Filing Annual Reports
  • Monitoring of SEC Rule 15c-12(b)(5)
  • Notifications of Deadlines and Material Events
  • Ratings Monitoring Services

Annual Debt Transparency Reporting

Pursuant to Senate Bill 1029, state and local issuers are required to submit an Annual Debt Transparency Report (“ADTR”) to the California Debt and Investment Advisory Commission (“CDIAC”) for all bond issues which have submitted a Report of Final Sale on or after January 21, 2017. The purpose of new reporting requirements is to track how bond proceeds are spent after issuance.

UFI trained directly with CDIAC staff during the initial reporting period to gain a comprehensive understanding of the new reporting requirements. UFI will collect the necessary information relating to bond proceeds from agency staff and the trustee to assemble and file ADTRs each year.

Arbitrage Rebate

Due to abuses associated with tax-exempt financings, the Federal Government issued regulations to minimize the benefit of investing bond proceeds. The Internal Revenue Code of 1986 Section 148 created the Yield Restriction Rules and the Rebate Rules, which restrict the investment yield that may be earned on bond proceeds. The Arbitrage Rebate Rules state that certain arbitrage earnings must be paid or “rebated” to the U.S. Treasury.

UFI’s services include the collection of necessary bond documents and trust statements necessary to prepare rebate calculations. UFI will provide a rebate computation report no later than 60 days after the end of every fifth bond year and the final redemption or maturity.