Agenda
The cost of victim compensation for past crimes against children resulting from AB 218 is sobering. Estimates of the direct liability of K-14 schools are more than $3 billion. Counties, cities, districts and non-profit service providers are faced with exposure that is expected to exceed the K-14 liability many times over. How will agencies already challenged with structural imbalances pay for the deluge of judgements and settlements? This program will bring into focus the magnitude of the financial storm facing agencies across California, and it will also examine the condition of the insurance safety net that is recognized as the first line of fiscal defense. Lastly, experienced issuers and market professionals will explore the public finance strategies that agencies may use to overcome a fiscal challenge that may appear insurmountable.
This session will discuss the magnitude of claims, those agencies directly impacted, and the limitations on our ability to estimate the full scope of liability. Panelists will frame our understanding of the total liability versus the general fund capacity of local agencies, the potential effects on public services, and the current response strategy of local leadership. The session will also discuss the direct and indirect ratings implications, potential risks of financial contagion, and the impact on the cost of financing.
This session will explain how public agencies have insured against their liability claims through risk-pools – pooling funds and sharing risk across many agencies. California’s risk-pools did not anticipate the costs of retroactive claims associated with the change in the statute of limitations for childhood assaults. This has led to a huge liquidity gap for the onslaught of new claims, among other coverage limitations. Panelists will address the state of the risk-pool landscape, specific limitations of risk pools to settle claims individually and collectively, and their expectations for a massive cost gap that will be absorbed by the general funds of all pool participants.
The difference between the amount of a settlement or judgement and public agency liability coverage most often can’t be drawn from reserves without threatening an agency’s long-term financial sustainability. Developing a payment strategy for filing the gap will be essential. This session will discuss the strengths and weaknesses of different payment strategies for different agencies including receiverships and emergency apportionments, tax increases, and bond issuance. Panelists will address the challenging constitutional, statutory, and procedural hurdles and how they may be overcome to form a viable payment strategy.
Introductory remarks will be provided by the Bond Buyer and conference chairs.
Our public finance experts will sit down for a discussion of the current state of the muni industry, including how key macroeconomic concerns and a volatile political environment are affecting the market amid another record year of issuance and the ever-increasing costs of getting infrastructure built.
From transit to rail to roads, moving people in California continues to be a challenge. Where does the industry see the future of transportation?
An opportunity to come together with your peers and connect over coffee.
What does the shifts in the municipal investor base, from the explosive growth of separately managed accounts and exchange-traded funds to alternative investors coming into the space, mean for the mutual fund complex, the sell-side deal strategy and the municipal market overall?
As the confluence of AI, chip development, and shifting policies in Washington on power sources change, assess how government officials – and the muni market – are prepared to navigate the economic boom and the strain on the electric grid in the coming years.
How much of these cuts will now lead to even more of an increased role of state, local governments and non-profits in providing healthcare related social services and infrastructure. How can Energy as a Service help the sector?
The challenge of building new housing and making it affordable is omnipresent in California. With the new threshold test for bond-financed housing credit properties lowered to 25%, allowing additional buildings financed with tax-exempt bonds to qualify for housing credits, how are issuers preparing for new housing opportunities?
Following the devastating LA wildfires in the beginning of the year, the property insurance crisis grows wider. While challenges are large, and threats of a federal funding pullback hang over, the state is making strides to provide relief. How are the newly enacted laws helping issuers in California?
Amid all the challenges facing various sectors, K-12 is no outlier. What’s at stake as federal policy shifts?
Our experts will delve into recent cyber events and developments, disclosure, insurance accessibility and cost, ratings and credit implications, as well as giving a sense of the preparedness of all market participants for these ever-growing threats.
As the industry grapples with the retirements and retrenchment, how does it entice talented younger individuals to enter the space? Where does the public finance industry fit into the tech evolution? How can public finance stay competitive in the financial services industry at large?
With funding cuts and immigration policy shifts from Washington compounding with enrollment dropping, how is the higher education sector navigating these challenges while remaining competitive globally?
Water challenges abound across the country. From droughts to flooding, to lead pipe removal and quality controls, issuers are finding ways to fund water infrastructure projects, including SRFs and other tools.
