SEC Staff Issues Interpretative Letter Authorizing Use of DisclosureUSA

FOR IMMEDIATE RELEASE
2004-125

Washington, D.C., Sept. 7, 2004 — Staff of the Securities and Exchange Commission's Division of Market Regulation today issued an Interpretative Letter accessible at http://www.sec.gov/info/municipal/texasmac090704.pdf authorizing the use of DisclosureUSA by issuers of municipal securities and others who make continuing disclosure filings pursuant to Rule 15c2-12. DisclosureUSA, a web site accessible at www.DisclosureUSA.org, is the product of a cooperative effort of eighteen industry organizations known as the "Muni Council" and the Municipal Advisory Council of Texas (Texas MAC) to address deficiencies in the current filing system.

Martha Mahan Haines, Chief of the Commission's Office of Municipal Securities, who issued the letter, said "I expect DisclosureUSA to dramatically increase the availability of financial and other information from issuers and conduit borrowers of municipal securities to investors. Members of the Muni Council and Texas MAC should be commended for their dedication and commitment to improve secondary market disclosure. I encourage issuers and other filers to make use of this easy, user-friendly filing method."

DisclosureUSA, which is described in detail in a letter from Texas MAC to Ms. Haines requesting staff interpretative guidance, is an Internet based electronic filing system whereby issuers and other filers may upload documents for immediate transmission, together with CUSIP numbers and other indexing information, to each Nationally Recognized Municipal Securities Information Repository (NRMSIR) and any appropriate State Information Depositary (SID). Every NRMSIR and SID has cooperated by establishing an FTP site to receive filings from DisclosureUSA and sending electronic return receipts. Members of the general public will be able to ascertain what filings have been made by issuers and other filers through an index maintained by DisclosureUSA. It will also provide a "tickler system" for use by filers who wish to receive e-mail reminders of future filing deadlines. There is no charge for use of DisclosureUSA.

The following groups are members of the Muni Council: American Bankers Association; American Bar Association — Section of State and Local Government Law; American Institute for Certified Public Accountants; CFA Institute (formerly the Association for Investment Management and Research); Council of Infrastructure Financing Authorities; Government Finance Officers Association; Healthcare Financial Management Association; Investment Counsel Association of America; Investment Company Institute; National Association of Bond Lawyers; National Association of Independent Public Finance Advisors; National Association of State Auditors, Comptrollers and Treasurers; National Association of State Treasurers; National Council of Health Facilities Finance Authorities; National Council of State Housing Agencies; National Federation of Municipal Analysts; Regional Municipal Operations Association; and The Bond Market Association. Representatives from the Securities and Exchange Commission's Office of Municipal Securities participated in Muni Council meetings.

http://www.sec.gov/news/press/2004-125.htm