SEC Amends Continuing Disclosure Requirements for Municipal Securities

On May 26, 2010, the Securities and Exchange Commission (the "SEC") approved amendments to Rule 15c2- 12 that will expand the continuing disclosure obligations of issuers and other obligated persons in municipal finance transactions. Most significantly, the amendments (1) eliminate the materiality determination for certain reportable events; (2) expand the types of events that are required to be reported; (3) implement a mandatory 10-day time period for reporting such events; and (4) remove the exemption from continuing disclosure requirements for variable rate demand obligations. The amendments to Rule 15c2-12 will become effective on December 1, 2010. The amendments are set forth in SEC Release No. 34-62184 and were published in the Federal Register on June 10, 2010.