EMMA – Electronic Municipal Market Access
The Official Source for Municipal Disclosures and Market Data
Advance Refunding
Document Submission
Primary Market Submission
July 2009
emma.msrb.org
PROCEDURE TO SUBMIT ADVANCE
REFUNDING DOCUMENTS
2
Review of the words used to describe
an advance refunding
A new issue is sold to refund an outstanding (old) issue.
The new issue is the “refunding” issue. The
old issue is the “refunded” issue.
An “advance refunding” is a refunding in which the old
issue remains outstanding for more than 90 days after
issuance of the refunding issue.
“Advance refunding document” is a name for an escrow
deposit agreement, refunding agreement, etc.
Preliminaries to ARD submission
Enter data about the new refunding issue through
the new issue submission process.
Check the box, “…if these securities advance
refund all or a portion of another issue.”
Complete the normal submission of the refunding
issue information, typically including the OS.
Within 5 business days of closing of the refunding
issue, start entering the document and its data.
Steps in ARD Submission
Begin by specifying “ARD Submission – Create.”
Upload the ARD document file.
Identify the outstanding refunded issue(s) and the
refunding issue(s).
Specify which maturities in the refunded issue are
described by the ARD.
Enter new CUSIP numbers, if any.
Publish the ARD data.
During submission of the refunding issue,
indicate that it advance refunds another issue
After submitting required information about the refunding issue,
you may continue into ARD submission,
or you may return later and create an ARD submission
Use this
to continue
Use this when
returning
If there is an ARD, it must be submitted into EMMA within 5 days
of closing of the refunding issue.
Upload the ARD document file
If there are multiple advance refunding documents, upload each one.
Identify the refunded and refunding issues
by entering a CUSIP number for each issue
Specify which maturities in the refunded issue
are described by the ARD
The ARD describes outstanding issues
2004-2009
issues:
Matured, not
refunded.
2010 and later
maturities:
Advance
refunded,
described by the
ARD.
Two ARDs: Each one advance refunds different maturities
There may be multiple ARDs. For example, proceeds of the
refunding may be held in two escrow funds, each of which is used
to advance refund different securities. There may be a document
for each escrow fund.
On this screen, specify which maturities in the refunded issue are
associated with which ARD.
Two ARDs have been
uploaded
ARD 1 applies
to this security
ARD 2
applies to this
security
Entering New CUSIPs
The “Refunded Issue” screen has fields for new CUSIPs that may be assigned to
the outstanding issue:
If the original CUSIP numbers of the refunded issue are not being changed,
leave its “New CUSIP” fields blank. (No new CUSIPs are being assigned to the
outstanding securities.)
If new CUSIP numbers are assigned to a security, one CUSIP identifies the
part that’s being advance refunded by the new issue and the other identifies
the balance that is not refunded. Enter the two CUSIPs in the appropriate boxes.
Entering New CUSIPs, If Any
(continued)
Example: Two new CUSIP numbers are assigned to a
partially refunded security.
$1 million of CUSIP 130909YX6 is outstanding.
Of this, $750,000 is advance refunded and $250,000
remains unrefunded.
The refunded part is assigned CUSIP 130909RE6.
The unrefunded part is assigned 130909RH4.
…RE6
…RH4
Entering New CUSIPs, If Any
(continued)
If all of an outstanding maturity is advance refunded, usually its
CUSIP number remains unchanged.
However, it might be assigned a new CUSIP number. (This happens
rarely.)
In this case, enter the new CUSIP number in “New CUSIP
(Refunded Portion).” Leave the other “New CUSIP” field blank.
ARD display with refunded security on public
EMMA Website