dcsimg Public Finance

Public Finance

Since the inception of the practice at the firm more than 35 years ago, our lawyers have continually employed innovative financing techniques to achieve our clients’ objectives. We not only pioneered the use of public-private partnerships, special revenue, tax and assessment pledges, lease financings, tax and revenue anticipation vehicles, real estate secured loans, and moral obligation pledges and other subject-to-appropriation financings, we established the validity of these financing options through legislation, judicial validations and administrative interpretations.

More recently, we served as bond counsel on the first publicly offered Build America Bond (BAB) issuance on behalf of one of our university clients. We have developed unique leveraged pool bond structures to maximize borrowing capacity.

Our exposure to virtually every federal tax and securities law issue, coupled the breadth of our state law experience allows us to help our clients navigate virtually every type of municipal financing regardless of location, type of security, method of issuance or repayment mechanism.

With almost any development or crisis in the municipal finance arena, whether it was the rise of variable rate demand tender bonds, the ebb and flow of guaranteed investment contracts and repurchase agreements, the use of swaps and other derivative products, the collapse of the auction rate securities market or the evisceration of municipal bond insurance – and most recently, municipal defaults, the resurrection of the direct placement and twinning of multiple subsidies with tax-exempt debt, our lawyers have been at the forefront on developing strategies to address our clients’ needs. The volume of our work in both governmental and private activity bonds earns us consistent ranking among other top firms for public finance. The Bond Buyer, the daily newspaper of municipal finance, reported in its Southeast Annual Mid-Year Review issue that McGuireWoods was the No. 1 bond counsel firm by number of deals in the Southeast for the first half of 2012. The firm was ranked third in the Southeast for 2011. Notwithstanding our overwhelming presence in the Southeast and Mid-Atlantic, our lawyers have assisted clients on successful transactions from Alaska to Florida and nearly every state in between.

Municipal Finance

Our lawyers assist states, counties, cities, towns, economic development and pollution control authorities, housing authorities, community development authorities, service and utility authorities, sanitary districts, special taxing districts, joint powers authorities, public power agencies and other issuing entities in connection with the issuance of all types of obligations.

We have served as lessor’s counsel to national and regional lenders, including preeminent national bank leasing companies, on hundreds of transactions involving almost all equipment classes and real property in almost every state. Our experience ranges from common subject-to-appropriation lease structures to abatement leases to more complex and innovative lease structures. In Virginia, we pioneered a financing structure for real property using the same techniques that had previously been used to finance equipment. In Maryland, we served as lessor’s counsel in connection with the first lease-leaseback financings for real property improvements for school districts authorized by recent legislation. We also successfully developed a project financing lease structure to enable Maryland community colleges, entities without the authority to incur debt, to finance capital expenditures through related non-profit foundations. Most recently, we have used tax exempt lease structures to finance acquisition by state and local governments and 501(c)(3) hospitals and universities of energy savings equipment.

Our experience spans the universe of municipal capital projects and working capital financings for nearly every conceivable governmental and private activity project, including new money and refinancings of water and sewer systems, airport facilities, convention centers, docks, ports and wharves, secondary school and charter school facilities, private and public college and university facilities, vehicle fleets, non-profit 501(c)(3) entities, including educational, charitable and arts and cultural organizations, and the full range of renewable energy electricity producing and energy efficiency projects. Significantly, we devised structures to optimize the use of tax credits and direct pay subsidies, and the investment of the proceeds thereof, with qualified zone academy bonds, qualified school construction bonds, clean renewable energy bonds, qualified energy conservation bonds, recovery zone economic development bonds and BABs.

Tax Experience

The services of McGuireWoods as bond counsel are backed by a strong commitment to excellence in the field of tax-related public finance matters. We have acted as lead counsel in almost every type of transaction, including construction and equipment financings, advanced and current refunding, gross refundings, cross-over refundings, tax-exempt entity leasing, escrow transactions (including restructuring), cash flow financings, working capital financings, variable rate and put bonds, capital appreciation bonds, conduit and other pass through transactions, industrial development and private activity bonds, interest rate swaps, commercial paper programs, tax increment bonds, revenue anticipation financings, tax-increment programs and various pool financings.

The federal tax law practice of the Public Finance Department arose from and continues to be driven forward by the needs of our clients. As tax-exempt financings have become more sophisticated and tax-oriented, so have we. We have developed the necessary experience to address the increasing number of IRS audits and enforcement actions.

Our practice with the IRS has increased in complexity, reflecting the increased complexity of bond financings. We have extensive experience working with the office of the IRS chief counsel regarding private letter rulings and with the IRS voluntary compliance program for tax-exempt financing. As the IRS has increased its audit and enforcement actions related to higher education and general government financings, we have cutting-edge experience in addressing IRS requests for information, audits and closing agreements.

Additionally, we have considerable experience with arbitrage rebate matters, including making all necessary calculations, preparing IRS ruling requests and providing guidance for the structuring of municipal transactions to comply with IRS regulations. Firm attorneys have prepared numerous rebate calculations, and our lawyers regularly advise issuers on compliance with rebate and arbitrage exceptions.

We have the depth and experience to handle efficiently the most sophisticated as well as the most routine federal tax law issues our clients face.

CONTACTS

Alan C. Cason Partner T: +1 410 659 4433
Results 1-20 of 32
Show All

RESULTS DEPEND ON A VARIETY OF FACTORS UNIQUE TO EACH CASE. PRIOR RESULTS DO NOT GUARANTEE OR PREDICT A SIMILAR OUTCOME.

Representative Matter

Borrower/issuer in an in-depth IRS examination

Represented the borrower/issuer in an in-depth IRS examination of an advance refunding bond issue that included close scrutiny of complex bond yield and escrow yield calculations, as well as other arbitrage matters. Resolved matter with no change to the tax-exempt status of the bonds.
Representative Matter

Patterson Park Public Charter School

Represented the borrower, Patterson Park Public Charter School, in the first charter school tax-exempt bond deal in Maryland. The proceeds were used to fund expansion projects.
Representative Matter

Placement agent on the issuance of revenue bonds

Served as counsel to the placement agent on the issuance of $23.33 million fixed rate, project financed tax-exempt sewage facility revenue bonds for non-governmentally owned and operated wastewater biogas and fuel cell electrical generation facilities at two governmentally owned wastewater facilities in California. The bonds were secured by the ARRA Section 1603 federal grant in lieu of investment tax credits and the State of California’s Self Generation Incentive Program.
Representative Matter

Sole lender on qualified school construction bonds

Served as counsel to the sole lender on the initial purchase of$16.48 million fixed rate qualified school construction bonds (QSCBs) issued on a non-recourse basis for a charter school in New Jersey that financed the expansion of its urban facilities. The expansion was also partially funded by more than $8 million in federal new markets tax credits (NMTCs).
Representative Matter

Renewable energy company

Served as bond counsel and special borrower’s counsel on a $16 million acquisition and variable rate tax-exempt financing of a wood pellet production facility in Virginia. Our representation included forming the project company, negotiating various contracts, securing equity investment in the project company and the credit enhancement for the bonds and preparing and delivering all collateral security documents.
Representative Matter

Leading solid waste collection and disposal company

Serve as bond, special tax and special corporate counsel to a leading solid waste collection and disposal company on its more than $2 billion outstanding fixed and variable rate solid waste tax-exempt debt portfolio. Our work covers facilities in more than 30 states that are supported by letters of credit and corporate guarantees, and includes related federal securities reofferings and remarketings, tax controversy advice, debt restructurings and redemptions, asset divestitures and loan assumptions.
Representative Matter

Fortune 100 financial institution

Serve as lessor’s, purchaser’s and placement agent’s counsel to a Fortune 100 financial institution in connection with renewable energy, energy efficiency and general municipal projects. Our work has covered 25 states and involved combinations of tax-exempt and taxable municipal financings, using federal direct payment subsidies and tax credits from “old” clean renewable energy bonds (CREBs), new clean renewable energy bonds, qualified energy conservation bonds (QECBs), qualified zone academy bonds (QZABs) and qualified school construction bonds (QSCBs).
Representative Matter

Maryland hospital system

Served as bond counsel and special counsel to a Maryland hospital system in the issuance of multiple series of tax-exempt bonds to refund bank qualified bonds issued for the system over multiple years. The transaction was structured to preserve the bank-qualified status of the bonds while allowing the transaction to close on the same date.
Representative Matter

Large continuing care retirement community

Served as bank counsel in the issuance of tax-exempt bonds for a large continuing care retirement community in New Jersey. The Firm represented three separate banks, each purchasing a separate series of bonds secured on parity.
Representative Matter

Private school in Illinois for children with autism

Represented a private school in Illinois for children with autism in a pro bono municipal bond deal.
Representative Matter

Subsidiary of a provider of natural gas for transportation in North America

Served as bond and special borrower’s counsel on the issuance of $40.2 million fixed rate tax-exempt solid waste disposal revenue bonds in Texas for the construction and expansion of an existing landfill gas facility, with such issuance being the first nonrecourse landfill gas project receiving an investment grade rating for its debt without any credit enhancement and the purported first project at an NSPS landfill that validated and verified the receipt of verified emission reduction credits under the Voluntary Carbon Standard.
Representative Matter

University of Virginia

McGuireWoods served as Bond Counsel on two series of taxable Build America Bonds (BABs) issued by the University of Virginia in 2009 and 2010 in an aggregate principal amount of $421 million.
Case Study

Firm represents Virginia Public School Authority in competitive sale of qualified school construction bonds

McGuireWoods represented the Virginia Public School Authority (VPSA) to finance school energy projects in 18 localities through the competitive sale of $73 million qualified school construction bonds. VPSA obtained very favorable pricing, allowing the borrowers to get a zero interest rate financing. We added value by working with VPSA and its financial advisor to simplify and streamline the redemption provisions relating to the bonds to make them less complicated and more attractive to bidders of tax credit bonds.

Case Study

McGuireWoods serves as bond counsel for ARRA school tax credit bonds

McGuireWoods recently served as bond counsel to the Virginia Public School Authority (VPSA) in a $61,120,000 pooled qualified school construction bond issue – a new type of tax credit bond authorized under the American Recovery and Reinvestment Act of 2009 (ARRA).  VPSA's qualified school construction bonds do not pay interest in cash.  In lieu of interest, the bondholders receive annual tax credits against their federal income tax liability.  This is the first issuance of qualified school construction bonds in Virginia.

Case Study

McGuireWoods represents PNC Capital Markets, LLC and PNC Bank in connection with sale of fixed rate bonds for Sibley Memorial Hospital

McGuireWoods represented PNC Capital Markets, LLC as underwriter’s counsel and PNC Bank, N.A. as bank counsel in connection with the sale of $63,000,000 District of Columbia Hospital Revenue Bonds (Sibley Memorial Hospital) Series 2009. Sibley Memorial Hospital will use the proceeds from the sale of the bonds to finance the costs of construction of a new medical building and parking garage on its 21-acre campus in Northwest Washington, D.C. This was the first time in the public market for the hospital, which is rated “A” by S&P and “A2” by Moody’s.

Case Study

McGuireWoods is first to market on "Build America Bonds" offering: closes first public offering for the University of Virginia

A team of Capital Markets lawyers recently closed the first public offering of Build America Bonds (BABs) for the University of Virginia in Charlottesville, Va. BABs are new bonds authorized under the American Recovery and Reinvestment Act of 2009, and the university was the first issuer in the United States to get to market with a $250 million AAA-rated offering that will fund its new capital expenditures
Case Study

McGuireWoods represents Baltimore City in $25 million bond deal

McGuireWoods recently represented Baltimore City in the issuance of approximately $25 million in tax increment financing (TIF) bonds to finance a portion of a $1.8 billion redevelopment project in East Baltimore. (Baltimore City pledged the tax revenues expected to be derived from increases in the taxable value of the property to pay debt service on the TIF bonds.) McGuireWoods helped develop a complicated yet innovative financing structure that leveraged the bond proceeds to create an additional approximately $3.7 million of New Markets Tax Credit equity for the benefit of East Baltimore Development, Inc., a city-created, nonprofit developer.

Case Study

Bonds issued to save hockey team

McGuireWoods' Pittsburgh and Baltimore offices recently teamed up to serve as counsel to PNC Capital Markets LLC in connection with the issuance of $313,265,000 of tax-exempt and taxable bonds by the Sport & Exhibition Authority of Pittsburgh and Allegheny County. The bonds were issued to finance the development and construction of a new 18,000-seat arena in downtown Pittsburgh for the NHL's Pittsburgh Penguins.
Case Study

McGuireWoods handles $113.5 million revenue bond closing as part of $1.4 billion finance plan

McGuireWoods was recently involved in the closing of $113.5 million Baltimore County, Md., Revenue Bonds (Catholic Health Initiatives) Series 2006A, for which we served as bond counsel. These were fixed-rate bonds and part of an overall finance plan of Catholic Health Initiatives, which also included the concurrent issuance of bonds in Colorado, Ohio, Maryland and Washington, in a total principal amount of approximately $1.4 billion in order to finance and refinance capital expenditures at Catholic Health Initiatives and its affiliates' facilities in Arkansas, Colorado, Iowa, Ohio, Maryland, Missouri, Nebraska and Washington.

Representative Matter

Bond issuer

Representing a bond issuer on the use of NMTCs for a commercial and retail urban core development owned by an affiliate of the issuer, allowing the bond issuer to combine NMTC and tax-exempt bonds to finance the project.
Results 1-20 of 32
Results 1-25 of 33
Show All
Arthur E Anderson II Arthur E. Anderson II
Partner
One James Center
901 East Cary Street
Richmond, VA 23219-4030

T: +1 804 775 4366
F: +1 804 698 2006
vCard
Todd Brewer Todd Brewer
Partner
JPMorgan Chase Tower
600 Travis Street
Suite 7500
Houston, TX 77002-2906

T: +1 832 255 6322
F: +1 832 214 9926
vCard
Thomas William Bruno Thomas William Bruno
Associate
One James Center
901 East Cary Street
Richmond, VA 23219-4030

T: +1 804 775 1853
F: +1 804 440 7731
vCard
Alan C Cason Alan C. Cason
Partner
7 Saint Paul Street
Suite 1000
Baltimore, MD 21202-1671

2001 K Street N.W.
Suite 400
Washington, DC 20006-1040

T: +1 410 659 4433
F: +1 410 659 4481
vCard

T:+1 202 857 2433
F: +1 202 857 1737

Rebecca S Chaffin Rebecca S. Chaffin
Partner
201 North Tryon Street
Suite 3000
Charlotte, NC 28202-2146

T: +1 704 343 2260
F: +1 704 444 8716
vCard
E. Chase Coale E. Chase Coale
Senior Counsel
201 North Tryon Street
Suite 3000
Charlotte, NC 28202-2146

T: +1 704 343 2309
F: +1 704 444 8719
vCard
Darren Collier Darren Collier
Counsel
77 West Wacker Drive
Suite 4100
Chicago, IL 60601-1818

T: +1 312 849 8212
F: +1 312 698 4540
vCard
J. Kevin Dougherty J. Kevin Dougherty
Senior Counsel
1345 Avenue of the Americas
7th Floor
New York, NY 10105-0106

T: +1 212 548 2123
F: +1 212 548 2183
vCard
Michael F Dow Michael F. Dow
Counsel
7 Saint Paul Street
Suite 1000
Baltimore, MD 21202-1671

T: +1 410 659 4428
F: +1 410 659 4485
vCard
James W Dyke Jr. James W. Dyke Jr.
Sr. Advisor, Virginia State Gov. Relations McGuireWoods Consulting LLC
1750 Tysons Boulevard
Suite 1800
Tysons Corner, VA 22102-4215

T: +1 703 712 5449
F: +1 703 712 5050
vCard
Nancy Everett Nancy Godinho Everett
Associate
77 West Wacker Drive
Suite 4100
Chicago, IL 60601-1818

T: +1 312 641 2084
F: +1 312 698 4542
vCard
Bonnie M France Bonnie M. France
Senior Counsel
One James Center
901 East Cary Street
Richmond, VA 23219-4030

T: +1 804 775 4395
F: +1 804 698 2054
vCard
Michael W Graff Jr. Michael W. Graff Jr.
Partner
1750 Tysons Boulevard
Suite 1800
Tysons Corner, VA 22102-4215

T: +1 703 712 5110
F: +1 703 712 5191
vCard
James Gross James E. Gross
Associate
One James Center
901 East Cary Street
Richmond, VA 23219-4030

T: +1 804 775 4701
F: +1 804 698 4672
vCard
Cheryl O'Donnell Guth Cheryl O'Donnell Guth
Counsel
7 Saint Paul Street
Suite 1000
Baltimore, MD 21202-1671

T: +1 410 659 4420
F: +1 410 659 4525
vCard
Robert A Kaplan Robert A. Kaplan
Senior Counsel
2001 K Street N.W.
Suite 400
Washington, DC 20006-1040

T: +1 202 857 1736
F: +1 202 828 3312
vCard
Douglas E Lamb Douglas E. Lamb
Partner
One James Center
901 East Cary Street
Richmond, VA 23219-4030

T: +1 804 775 1107
F: +1 804 698 2272
vCard
Nancy R Little Nancy R. Little
Partner
One James Center
901 East Cary Street
Richmond, VA 23219-4030

T: +1 804 775 1010
F: +1 804 698 2101
vCard
George Keith Martin George Keith Martin
Partner
One James Center
901 East Cary Street
Richmond, VA 23219-4030

T: +1 804 775 1057
F: +1 804 698 2105
vCard
Kay McNab Kay McNab
Partner
77 West Wacker Drive
Suite 4100
Chicago, IL 60601-1818

T: +1 312 849 8273
F: +1 312 698 4573
vCard
Emery B McRill Emery B. McRill
Partner
7 Saint Paul Street
Suite 1000
Baltimore, MD 21202-1671

T: +1 410 659 4422
F: +1 410 659 4520
vCard
Clinton W Randolph Clinton W. Randolph
Associate
7 Saint Paul Street
Suite 1000
Baltimore, MD 21202-1671

T: +1 410 659 4423
F: +1 410 659 4559
vCard
Gary S Regan Gary S. Regan
Partner
EQT Plaza
625 Liberty Avenue
23rd Floor
Pittsburgh, PA 15222-3142

T: +1 412 667 7949
F: +1 412 667 7957
vCard
David L Richardson David L. Richardson
Partner
One James Center
901 East Cary Street
Richmond, VA 23219-4030

T: +1 804 775 1030
F: +1 804 698 2148
vCard
Neil Rust Neil W. Rust
Partner
1800 Century Park East
8th Floor
Los Angeles, CA 90067-1501

T: +1 310 315 8240
F: +1 310 956 3106
vCard
Results 1-20 of 39
Show All
Legal Alert

The President’s FY 2014 Budget Proposal

Positives and Negatives for Public Finance

May 10, 2013
Legal Alert

Municipal Bonds after Recovery Act Expiration

February 10, 2011
Results 1-20 of 39