MSRB-Proposed Professional Qualification Standards for Municipal Advisors Published (Fed. Reg.)

MSRB-proposed amendments to create baseline standards of professional qualification for municipal advisors were published in the Federal Register.

The proposal would, among other things, add two new registration classifications for municipal advisors under MSRB Rule G-3 ("Professional Qualification Requirements"): (i) municipal advisor representatives who are those individuals who engage in municipal advisory activities; and (ii) municipal advisor principals who are those individuals who engage in the management, direction or supervision of the municipal advisory activities of the municipal advisor and its associated persons.

The proposed amendments also would require each prospective municipal advisor representative to take the municipal advisor representative qualification examination being developed by the MSRB, prior to being qualified as a municipal advisor representative. The MSRB is proposing that prospective municipal advisor representatives have one year from the effective date of the examination to pass it. During this "grace period," according to the MSRB, municipal advisor professionals could continue to engage in municipal advisory activities, however, any person who fails the examination three or more times in succession would be prohibited from taking the examination for six months.

Comments on the proposal must be submitted by December 26, 2014.

See: 79 FR 72225.Related news: MSRB Proposes Professional Qualification Standards for Municipal Advisors (November 19, 2014); MSRB Requests Comment on Extending Gifts Rule to Municipal Advisors (October 23, 2014); MSRB Requests Comments on Extending Pay-to-Play Rule to Municipal Advisors (Notice 2014-15) (August 18, 2014); MSRB Requests Comment on Revisions to Draft Rule on Municipal Advisor Standards of Conduct (Notice 2014-12) (July 23, 2014).