MSRB Seeks to Create Nominating Committee with a Majority of Public Members

Date: November 8, 2010

Contact:  Jennifer A. Galloway, Chief Communications Officer
              (703) 797-6600


Alexandria, VA – The Municipal Securities Rulemaking Board (MSRB) today filed a proposal with the Securities and Exchange Commission to create a Nominating Committee of the MSRB Board of Directors that consists of a majority of public members.

The MSRB recently seated its first majority-public Board of Directors to comply with provisions of the Dodd-Frank Wall Street Reform and Consumer Protection Act. Consistent with this Board structure effective October 1, 2010, the MSRB’s proposal requires the MSRB’s Nominating Committee, which nominates new Board members, to be composed of a majority of public members with fair representation of industry members that include broker-dealers, bank dealers and municipal advisors.

The MSRB's proposal seeks to establish a Nominating Committee for fiscal year 2011 that includes six public Board members and five industry Board members. The public members will consist of between one and three representatives each of investors, municipal entities and public members who are not investors or municipal entities. The five industry members will consist of one or two representatives each of broker-dealers, bank dealers and non-dealer municipal advisors.

“Establishing a public-majority Nominating Committee ensures that it reflects the new composition of our Board,” said MSRB Executive Director Lynnette Kelly Hotchkiss.

Read MSRB Notice 2010-48 about the filing.

The MSRB protects investors, state and local governments and other municipal entities, and the public interest by promoting a fair and efficient municipal securities market. The MSRB fulfills this mission by regulating the municipal securities firms, banks and municipal advisors that engage in municipal securities and advisory activities. To further protect market participants, the MSRB provides market transparency through its Electronic Municipal Market Access (EMMA®) website, the official repository for information on all municipal bonds. The MSRB also serves as an objective resource on the municipal market, conducts extensive education and outreach to market stakeholders, and provides market leadership on key issues. The MSRB is a self-regulatory organization governed by a 21-member board of directors that has a majority of public members, in addition to representatives of regulated entities. The MSRB is overseen by the Securities and Exchange Commission and Congress.