200 KAR 21:040.

Selection of national comanaging underwriters.

 

      RELATES TO: KRS

45A.850(4)

      STATUTORY

AUTHORITY: KRS 45A.850(4), 45A.879

      NECESSITY,

FUNCTION, AND CONFORMITY: KRS 45A.850(4) provides that national comanaging

underwriters for bond issues of state bond issuing agencies shall be selected

pursuant to an administrative regulation promulgated by the Office of Financial

Management and Economic Analysis. This administrative regulation establishes

the procedure for selecting national comanaging underwriters for bond issues of

state bond issuing agencies.

 

      Section 1.

Definition. For purposes of this administrative regulation the term

"national comanaging underwriter" shall mean a financial institution

whose headquarters are located outside the Commonwealth of Kentucky, which has

offices in multiple states, and which assists in the structuring, underwriting

and marketing of bonds issued by governmental agencies.

 

      Section 2.

Selection of National Comanaging Underwriters. (1) National comanaging underwriters

for bond issuances of state bond issuing agencies, as defined in KRS

45A.840(3), shall be selected pursuant to the request for proposal process

established by KRS 45A.853 and 45A.857 for the same bond issuing agency or bond

project for which the request for proposals was issued for underwriters.

      (2) After an

underwriter has been selected for a bond issuing agency or bond project, a

national comanaging underwriter may be selected based on the rankings of the

selection committee. The national comanaging underwriter, if any, shall be the

highest ranked firm, other than the underwriter selected, which has a municipal

bonds sales office located in the Commonwealth.

      (3) If the

Executive Director of the Office of Financial Management and Economic Analysis recommends,

pursuant to KRS 45A.850(4), that more than one (1) national comanaging

underwriter should be utilized on a bond issuance, any additional national

comanaging underwriters shall be selected in the order of the ranking as

determined by the selection committee for the respective bond issuing agency or

bond project. (21 Ky.R. 1990; eff. 3-22-95.)