Public Finance

State and local governments across the United States are faced with the need to replace existing infrastructure or construct new or expanded infrastructure for a wide range of public projects and facilities while, at the same time, encountering increased competition for limited funds. In order to provide and efficiently allocate funding for public infrastructure projects, governments must develop creative and strategic short and long-term solutions that do not deplete their limited budgets and resources. Nonprofit organizations and corporate entities are facing similar financing challenges that require similarly innovative solutions.

Counsel for Any Bond-Related Matter by State, County and Local Bond Issuers

Whether you are a governmental entity, nonprofit organization or corporate entity seeking tax-exempt financing or related hedge agreements, you need informed advice from a dedicated, seasoned legal team. The Public Finance Team at Holland & Knight includes a diverse group of experienced practitioners who can adeptly manage:

• all aspects of project finance matters, including taxation, BMA rates, securities law and financial structuring
• the structuring, negotiating and documenting of derivative products

Holland & Knight attorneys have decades of experience participating in all aspects of public finance issues. Members of our Public Finance Team have served as bond counsel, underwriter's counsel, disclosure counsel, issuer's counsel, derivatives counsel and in other/multiple roles as counsel. This experience enables us to provide comprehensive representation in public finance law and municipal finance transactions.

Our team includes more than 20 Holland & Knight attorneys across the United States who devote all or a substantial portion of their practice to bond-related matters. We have participated in the financing of more than $19.7 billion in principal amount of debt during the past five years in connection with virtually every type of governmental issue, including:

• capital improvements for governmental infrastructure, including gas, water, sewer, electric, roads, schools, public buildings and parking, airport and port projects and jails
• development/redevelopment projects, including TIF financings for cities, counties and community development districts
• gas tax, excise tax and sales tax financings
• general obligation
• healthcare facilities, including hospitals and medical centers
• higher education financings
• housing
• industrial development, pollution control, solid waste and special taxing district financings
• lease revenue (both bonds and certificates of participation)
• other post-employment benefits (OPEB)/pension obligations
• special assessment
• sports stadiums
• tax and revenue anticipation

Our attorneys have participated in municipal finance transactions in Alabama, California, the District of Columbia, Florida, Georgia, Illinois, Massachusetts, Mississippi, New York, Ohio, Pennsylvania, Rhode Island, Texas and other jurisdictions.

Recognized Leaders in the Industry

Holland & Knight is a nationally recognized bond firm and has been listed in The Bond Buyer’s Municipal Marketplace (the "Red Book") since 1975.

Holland & Knight is consistently ranked among the top bond counsel and underwriter's counsel firms in the United States according to statistics compiled by Thomson Financial. The firm has ranked among the Top 100 Bond Counsel (Long-Term Issues) based on bond dollar amount issued during four of the past five years, including 2005, 2006, 2007 and 2008. In addition, the firm has ranked among the Top 100 Underwriter's Counsel (Long-Term Issues) based on bond dollar amount issued during three of the past five years, including 2005, 2007 and 2008.

Broad Capability Related to Derivative Products

Governmental issuers and conduit borrowers, as well as corporate clients involved in structuring, negotiating and documenting a wide range of derivative products, rely on Holland & Knight to proactively represent their interests. With a comprehensive understanding of the various forms of the International Swaps and Derivatives Association (ISDA) master agreement, schedules, related credit support documents and ISDA’s ever-expanding sets of definitions, our attorneys are particularly skilled at advising counterparties to derivative products on risk factors and potentially unexpected consequences they may face.

Our Public Finance Team works closely with members of the firm’s Financial Services Group, which has extensive experience with a variety of financial products that have derivative-like attributes “embedded” within customized documentation, including forward-supply agreements, forward-delivery agreements, guaranteed investment contracts, debt-service reserve agreements and repurchase agreements. Our attorneys regularly negotiate complex ISDA documents to minimize our client’s risk.

We regularly negotiate with derivatives dealers and credit enhancers on behalf of our clients and are skilled at identifying and providing insights into the potential benefits and risks associated with derivatives and derivatives-related transactions. Moreover, we have extensive experience addressing the unique issues that derivatives raise concerning municipal law (e.g., authority and capacity), commodities law and securities law. We are also skilled at drafting and negotiating bond document provisions that allow parity status for swap payments and the use of a synthetic swap rate for purposes of rate covenant and parity tests.

Reflecting the needs of our clients, Holland & Knight lawyers:

• work with derivative products in other public finance scenarios, including the use of derivatives as interest rate hedges, credit enhancement or liquidity facility alternatives
• represent government affiliated utilities with respect to commodity swaps, options and traditional or prepaid forward agreements to manage the price risk of coal, natural gas and other inputs or outputs

Holland & Knight attorneys have participated in more than 80 swaps/derivatives transactions for a notional amount (excluding commodity derivatives) of more than $11.9 billion during the past five years.

Tax Lawyers Who Efficiently Protect Your Interests

Our integrated Public Finance Team is dedicated to providing you with innovative techniques and structures to achieve desired results while meeting tax law requirements relating to tax-exempt financings. Our team includes attorneys from the firm’s Tax Group who participate in the tax structuring of bond issues on a daily basis.

With a concentration of our public finance tax lawyers located in Washington, D.C., our Public Finance Team has the geographic platform and capability to provide you with efficient and effective representation.

Direct Industry Experience Informs Our Counsel

Before entering private practice, several members of our Public Finance Team held significant positions at the Internal Revenue Service and were instrumental in many important rulings related to tax-exempt and public finance. Team members served in the Office of Chief Counsel, as Branch Chief in the IRS Office of the Assistant Commissioner (Technical), as Assistant Branch Chief, and in the Financial Institutions and Products Division of the IRS’ Office of Chief Counsel.

Strong Litigation Team

Our Public Finance Team strives to structure, negotiate and document every transaction in clear and concise terms that protect our clients’ interests and achieve their desired objectives. If a dispute arises, we attempt to resolve it with the least contention possible. However, if litigation becomes necessary, we are skilled at all types of finance litigation.