Practice Areas

Tax-Exempt and Taxable Public Finance

The Municipal and Public Finance Group at Mitchell Williams has worked on virtually every type of taxable and tax-exempt finance transaction. Our municipal and public finance attorneys have developed expertise in all areas bond transactions including:

Revenue bonds - bonds payable from the revenues of a public entity that issues the bonds, including but not limited to water and sewer revenue bonds secured by water and sewer revenues of the municipality or public authority.

Sales and use tax bonds - bonds secured by sales or use taxes levied by the taxing authority.

Franchise fee revenue bonds - bonds secured by electric, gas, cable or other franchise taxes charged by the municipality.

As bond issues overlap areas of law, and when advantageous, our team brings in expertise from other Mitchell Williams practice groups, including our tax professionals to ensure a tax-exempt status where possible.  In some instances, a tax-exempt status is not attainable, and our Municipal and Public Finance Group is able to advise the issuer on the structure for a taxable transaction.

Our Little Rock and Rogers-based lawyers have maintained our position as leaders in the area of public finance by keeping abreast of the changes in the public finance area including laws governing tax exemption of debt instruments.

We regularly work with clients offer innovative solutions to structuring transactions. The professionals at Mitchell Williams are able to provide bond counsel services on a wide variety of taxable and tax-exempt public bond issues, including:

  • Drafting of the bond resolution, the bond ordinance or trust indenture

  • Drafting of loan agreement and other bond financing documents required including applicable certificates

  • Review and analysis of applicable law to confirm the issuer’s authority to issue the bonds and its conformity with other legal requirements

  • Affirmation of the issuer’s authorization of the bond offering

  • Evaluation and disclosure of any litigation that may jeopardize the validity of the bond issue

  • Review and interpretation of applicable arbitrage regulations and tax law

  • Determination of the validity and enforceability of the bonds

  • Advice and guidance in structuring bond issues related to tax law, confirming tax-exempt status of transactions and drafting of required tax certificates and filings

Bond counsel should be consulted early to assist in determining whether a project qualifies and in assuring that the applicable legal requirements will be met.