MSRB to issue request on rate card in the coming weeks

The Municipal Securities Rulemaking Board will be issuing a request for information on its rate card fee setting process, one of the many topics that were discussed during the MSRB’s first quarterly board meeting of FY 2025 held Oct. 23-24.

The rate card request for information will be out in the next couple of weeks, the MSRB said, and will address potential modifications to the model. The rate card process has not been as smooth as market participants had hoped, which is what the MSRB hopes to solve with the next iteration.

“The progress the Board made during the first quarterly meeting—not only setting our priorities but also taking several key actions—establishes a robust regulatory agenda for the year ahead,” Warren “Bo” Daniels, MSRB chair said. “MSRB’s highest priority is to fulfill our congressional mandate to protect investors, issuers and the public interest by promoting a fair and efficient municipal market, and I am confident this Board will do just that.”

The meeting marked the first for Daniels as chair, as he assumed the role with the beginning of the MSRB’s fiscal year Oct. 1.

Other rule changes discussed and approved during the meeting include the approval of a forthcoming request for comment on Rule D-15 on the definition of a sophisticated municipal market professional and the approval of an amendment to Rule A-12 on bank dealer registration, intended “to enhance the collection of information related to bank dealer associated persons,” the MSRB said. Those are expected to roll out at the beginning of next year.

The exact definition of an SMMP is important for broker-dealers, as some of the protections afforded to other customers are not extended to SMMPs, which are typically other financial institutions understood to be capable of exercising their own independent judgment of a transaction.

The board also discussed industry feedback received in connection with MSRB G-27 on supervision, specifically remote supervisory obligations.

“The Board continued its on-going discussion of pre-trade municipal market data,” the MSRB said. “The Board discussed feedback received in a series of meetings with market participants following its initial approval of the publication of a concept release in July and agreed to continue an open dialogue with stakeholders as the concept release is finalized.”

The MSRB also had some personnel changes with the promotion of Tangie Davis to the MSRB’s chief of staff. She’ll be reporting to CEO Mark Kim and will begin with a tall order, overseeing the board’s information technology services, finance, human resources and administration functions. She formerly served as deputy chief of products and services, and has been with the MSRB since 2011.

“I am delighted to welcome Tangie to MSRB’s senior leadership team,” Kim said. “Tangie is a trusted partner who brings deep experience and knowledge of MSRB and our technology operations in particular and I look forward to working closely with her in her new role.”

The board also received a live demonstration of a “beta” version of its new EMMA system, which is set to launch at the top of next year. “The modernized EMMA features myriad stakeholder-driven enhancements to the user interface and experience, including a more powerful search engine and the ability to customize user-generated dashboards, among other improvements,” the MSRB said.