Public Finance – Municipal Bonds
Nationally Recognized Bond Lawyers
Arntson Stewart Wegner PC is a nationally recognized bond lawyer firm. Each partner is an experienced public finance attorney having over 30 years’ experience as bond counsel. Our primary practice area is North Dakota and Minnesota. We represent bond issuers, conduit borrowers, banking institutions and other private placement bond purchasers. We help find creative solutions to our clients financing needs.
Issuers: School Districts, Cities, Counties, Parks, State Agencies
We represent a very broad range of bond issuers including: school districts, cities, counties, water districts, North Dakota state agencies, the North Dakota University System, the North Dakota State Water Commission, building authorities and nonprofit corporations. Each client presents unique needs we are equipped to meet. We communicate regularly with our clients to keep them informed of the process and to provide them the information they need to make informed decisions.
501(c)(3) Nonprofit Corporations
A 501(c)(3) corporation may use tax-exempt bonds to finance projects such as multifamily housing, nursing homes, hospitals, offices and other buildings used to meeting the corporation’s charitable or educational purposes. These corporations choose tax-exempt bond financing for the lower interest rate and borrowing cost. We have a broad range of experience working with 501(c)(3) corporations and nonprofit corporations.
Conduit borrowers are nonprofit corporations and private business entities that finance a project through tax-exempt bonds issued by a city or county. The Internal Revenue Code restricts these conduit financings to certain permitted uses, such as multifamily housing, solid waste disposal, manufacturing and 501(c)(3) bonds. We have extensive experience in representing a wide range of conduit borrowers.
Often banking institutions are purchasers of tax-exempt bonds. We work with banks to arrive at bond terms that work for our clients and the banks. Banks also retain us to serve as bond counsel for their customers or to represent the bank’s interest in a bond financing.
Post-Issuance Tax Compliance
To maintain the tax-exempt status of bonds, issuers and conduit borrowers must comply with certain requirements of the Internal Revenue Code so long as the bonds are outstanding. We assist our clients in developing and implementing policies and procedures to meet these requirements. Post-issuance compliance is an area receiving increased attention from the Internal Revenue Service and is, therefore, very important to bond issuers and conduit borrowers.
The Internal Revenue Code regulates the amount of income an issuer can earn from investing bond proceeds (“arbitrage”). We review and opine on arbitrage rebate calculations and advise our clients regarding compliance with the arbitrage regulations.