Conference Agenda
Track Sessions
Monday, September 14, 2009
Tuesday, September 15, 2009
Monday, September 14, 2009
CDIAC Pre-Conference Workshop Agenda
Will the American Recovery and Reinvestment Act Plan Resuscitate the Economy?
At the start of 2009, California's economy continued to slow and its municipal finance market functioned poorly. Nor was California alone among the states facing these problems.In response to federal concerns about the recession and municipal finance market, Congress and the Obama Administration approved a financial package with ambitious goals for spurring economic recovery. The package, entitled the American Recovery and Reinvestment Act (ARRA), created new municipal bond instruments and made temporary changes to tax credit programs.
Congress directed much of the stimulus package to state and local governments, and insisted that they be subject to an unprecedented level of evaluation and assessment for the economic gains associated with the incentives. To what extent are California's governments using these new tools? Are the new tools making an impact on the state's economy? What will be the long-term effect?
8:00 AM - 9:00 AM
Conference Registration
9:00 AM
Welcome and Introduction
Mike Stanton
Publisher
The Bond Buyer
John Decker
Executive Director
California Debt and Investment Advisory Commission
9:40 AM - 10:00 AM
ARRA and the California State Treasurer's Office
The stimulus bill came together in short order, and was signed into law within the first 30 days of the new administration, and provided an array of new debt options for state and local government. The State of California was one of the first states to issue Build America Bonds. Since then, many California entities have considered, and even issued, debt under ARRA provisions. Given the wide range of options, what has been California's experience with ARRA?
Blake Fowler
Director, Public Finance Division
California State Treasurer's Office
10:00 AM - 10:15 AM
Break
10:15 AM - 11:30 AM
Panel 1: Assessing the Underlying Health of the Economy and the California Public Finance Market
In late June, California's unemployment rate was 2 percentage points higher than the national average, an unusual experience for California. How long and how deep will the recession be for California? When recovery comes, what will be the first signs of economic expansion?
The state's short-term loans came to a screeching halt in December 2008 because the state's access to credit was limited by the global liquidity constriction and conditions in the credit-rating market. Lately, however, there are some encouraging signs that the credit markets are unfreezing. Under what circumstances will California's governments have improved access to short term credit?
The state's budget problems continue to percolate. How is the 2009-10 budget holding up? What's in store for 2010-11?
Carol Lew
Partner
Stradling Yocca Carlson & Rauth
Emily Raimes
Vice President/Senior Analyst
Moody's Investors Service
Mac Taylor
Legislative Analyst
Legislative Analyst's Office
11:30 AM - 12:30 PM
Lunch
12:30 PM - 2:00 PM
Panel 2: Is ARRA Having a Measurable Effect on the Municipal Market?
ARRA was intended to provide a wide range of investment and financing opportunities. State and local governments are expected to account for the stimulative effects of the ARRA-authorized instruments. In less than eight months after its enactment, how should ARRA's success in resuscitating and expanding the economy be assessed?
- Is there a component of the legislation that is key to economic recovery in California?
- Are California governments implementing ARRA as was intended by Congress?
- To what extent are new investors attracted to the municipal market by ARRA-authorized debt instruments?
- Is there any evidence that the municipal finance market is recovering? To what extent would it have recovered without the adoption of ARRA?
- Are the BABs different in kind or effect from traditional tax-exempt debt? Do they attract different investors? Has the state's BAB had a stimulative effect on the economy?
Eileen Gallagher
Managing Director, Public Finance
Stone & Youngberg
Russell Goings
Managing Director
Cabrera Capital Markets LLC
Cadmus Hicks
Managing Director
Nuveen Investments
Nathaniel Singer
Managing Director
Swap Financial Group
2:00 PM - 2:15 PM
Break
2:15 PM - 3:00 PM
The Last Word: What Are the Prospects for a Return to "Normalcy" in the Municipal Credit Markets?
The need for municipal credit persists. The markets will recover. When the markets recover will we recognize the protocols and the instruments?
Tim Schaefer
Principle Owner
Magis Advisors
Main Conference Agenda
The Fiscal Crisis: Moving Forward
1:30 PM - 3:00 PM
Main Conference Registration [continues]
3:15 PM - 3:30 PM
Chairs' Welcome
Mike Stanton
Publisher
The Bond Buyer
Ed Burdett
Managing Director
Bank of America Merrill Lynch
Lewis Feldman
Partner
Goodwin Procter LLP
3:30 PM - 4:00 PM
Keynote Address
Senator Denise Moreno Ducheny
Chair, Budget and Fiscal Review Committee
State of California
4:00 PM - 5:00 PM
Mayors' Panel - Crisis Management on the Front Lines
While lawmakers in Sacramento were in the spotlight during the state's budget crisis, mayors across the state were on the front lines of responding to the wilting economy - witnessing a surge in demand for public services at the same moment that local revenues dwindled and state aid was clouded with uncertainty.
The approaches mayors took were as diverse as their communities. Learn how cities have managed through the crisis so far - protecting essential services while trying to maintain and expand local employment - and what best practices can be more widely adopted.
Moderator:
Russell Goings
Managing Director
Cabrera Capital Markets LLC
Jerry Sanders
Mayor
City of San Diego
Claude Lewis
Mayor
City of Carlsbad
Keith Curry
Mayor Pro Tem
City of Newport Beach
John Muller
Mayor
City of Half Moon Bay
Richard Montgomery
Mayor
City of Manhattan Beach
5:00 PM - 5:45 PM
What Will the New Normal Look Like and When Will It Get Here?
Twelve months after the collapse of Lehman Brothers and more than two years after the first signs of strains in the subprime mortgage markets, the municipal bond market is finally showing signs of health, with barometers like the ratio of tax-exempt to Treasury yields returning to historic levels. But smaller and lower-rated issuers still report difficulty accessing the market, bond insurance is scarce, and analysts are engaged in a fundamental debate about the future of municipal credit quality as long-deferred pension and OPEB benefits begin to come due against the backdrop of sagging revenues.
What can issuers expect to face as they prepare to access the market for their capital needs? What type of buyers will the need to attract, and how? Will insurance be available? How is the legal landscape changing to reflect new demands for transparency?
Moderator:
Keith Curry
Managing Director
PFM
Dominic Frederico
Chief Executive Officer
Assured Guaranty
Kenneth Naehu
Managing Director, Head of Fixed Income
Bel Air Investment Advisors, LLC
Jay Goldstone
Chief Operating Officer
City of San Diego
5:45 PM - 7:15 PM
Opening Night Reception in the Exhibit Hall
Sponsored by:
Tuesday, September 15, 2009
7:00 AM
Registration Opens
7:00 AM - 8:00 AM
Continental Breakfast in the Exhibit Hall
7:15 AM - 8:00 AM
OPTIONAL BREAKFAST BRIEFING SESSION sponsored by The Bank of New York Mellon
STRINGS ATTACHED: ARRA Benefits and Issuer Compliance Responsibilities
The Federal stimulus package has been welcomed by states and local governments across the nation as a source of direct funding for crucial operating costs, as well as affordable financing for capital programs. But in its effort to promote transparency and efficiency, Congress introduced a host of restrictions on the use of the programs... and requirements for monitoring and disclosure. This session will provide an overview of the requirements and tips on how to insure compliance without disrupting ongoing operations.
Moderator:
Frank Sulzberger
Managing Director
The Bank of New York Mellon
Ebony Shelton
Group Finance Director, Finance & General Government Group
San Diego County
Derek Visocky
State and Local Governments Solutions Specialist
Microsoft
8:00 AM - 8:30 AM
Keynote Address
Dale Bonner
Secretary of the Business, Transportation & Housing Agency
State of California
8:30 AM - 10:00 AM
Beyond the Budget Deal: State Finances and the California Economy
California companies have long been recognized as the most innovative - and most successful - in the country. But is that success threatened by the state's stagnant infrastructure, mounting taxes, and underperforming schools? Hear directly from some of the state's leaders about what conditions in the state helped fuel success - what's kept companies in the state for so long & and what could drive the next generation of innovators to locate elsewhere.
Moderator:
Kathleen Brown
Managing Director
Goldman, Sachs & Co.
Emile Haddad
President & CEO
Five Point Communities, a subsidiary of Lennar Corporation
Mike Roos
Former California State Assemblyman
Senior Vice President, Stone & Youngberg LLC
Rocky Delgadillo
Partner
Goodwin Procter, LLP
Ross DeVol
Director of Regional Economics
Milken Institute
Tom Campbell
Former Silicon Valley
U.S. Representative
10:00 AM - 10:45 AM
Is Tax Reform the Answer?
The budget crisis focused on tax rates, but a growing number of state leaders say the overall structure of California's tax code is the problem itself - emphasizing revenue streams that are too volatile during boom and bust economic cycles, and overtaxing legacy industries like manufacturing while asking for too little from the services industries that dominate the Golden State economy today.
Could a new tax code revitalize economic growth? Could it ever be passed? Hear the economic arguments on both sides ... and get a look at the political reality that will determine whether the best-laid plans will ever get a chance to perform.
Moderator:
Ed De La Rosa
President
De La Rosa & Co.
Mark Baldassare
President and CEO
Public Policy Institute of California
Joel Fox
President
Small Business Action Committee
Jean Ross
Executive Director
California Budget Project
10:45 AM - 11:15 AM
Networking Break in the Exhibit Hall
Sponsored by:
11:15 AM - 12:45 PM
Public-Private Partnerships That Can Get Passed
Public-private partnerships have long been seen as a potential solution to the state's massive infrastructure needs. But objections from unions and concerns about a loss of public control have kept the biggest projects chained to the drawing board. But P3s continue to be the most successful model for redevelopment projects, even in the face of the real-estate recession. Learn how these projects have worked, and whether their success could pave the way for broader adoption.
Moderator:
Steve Zimmermann
Managing Director
Standard & Poor's
Charles R. Jones
President & Chief Executive Officer
Inland Public Properties Development Inc.
Andy Kingman
CFO
Poseidon Resources Corp.
Larry J. Kosmont
President & CEO
Kosmont Companies/Renaissance Community Fund
Kevin O'Brien
Director
Bank of America Merrill Lynch
Dana Sands
Director of Acquisitions & Execution
Alinda Capital Partners LLC
Eric Zampol
Vice President
BMO Capital Markets
12:55 PM - 2:15 PM
Luncheon with Speaker
Sponsored by:
Bill Lockyer
Treasurer
State of California
Special Interest Break-Out Session I
2:25 PM - 3:40 PM
Barometer of the California Economy: Seaports & Airports
Trade and tourism are essential elements of California's economy. The economic performance of California's seaports and airports is a barometer of the State's economy. These gateways for goods and people are also a crucible for economic and operational challenges applicable to many municipal issuers, including infrastructure investment, environmental initiatives, labor, regulation and security. With recent changes in the US and international economy and increased competition, is the barometric pressure in California rising or falling? What reading can the municipal finance community make based on the region's seaports and airports? What impact has the ARRA had on recent seaports and airport transactions and what lessons can be learned from these deals?
Moderator:
Timothy Reimers
Partner
Quateman LLP
Neal Attermann
Director
Citi
Eric Friedland
Managing Director
Fitch Ratings
Ted Galgano
Managing Director
National Public Finance Guarantee Corp.
Karl K.Y. Pan
Chief Financial Officer
Port of Los Angeles
Chloe Weil
Debt Manager
San Francisco International Airport
2:25 PM - 3:40 PM
The Hottest Topics in School Finance
With state funding reduced and assessed values lowered, how are schools coping with their operating and capital needs? The panelists will present their experiences and views on such topics as the impact of property value declines on bonds issued under Prop. 39 and voter-approved capital plans, the role new bond structures such as Build America Bonds and Qualified School Bonds will play in future financings, maximizing the effectiveness of federal stimulus funds and managing labor, pension and health care costs.
Moderator:
Amy Doppelt
Managing Director
Fitch Ratings
Rod Carter
Managing Director
RBC Capital Markets
Timothy Carty
Managing Director
Piper Jaffray & Co.
Lora Duzyk
Assistant Superintendent
San Diego County Office of Education
Sheila Jackson
President, School Board
SDUSD
Special Interest Break-Out Session II
3:45 PM - 5:00 PM
Alternative Capital Strategies: Leasing and Asset Monetization
As tax revenues shrink and market access is restricted to only the strongest credits, funding the immediate and long-term needs of local governments has become more difficult, and issuer officials need to consider all potential capital sources. Stretching tax-exempt lease-purchase financing beyond its traditional focus on equipment and vehicles to cover real property, land and buildings is one solution local agencies are using to leverage time and resources, while others are exploring ways to unlock the value in publicly-owned assets that are not central to their governments' mission. But while both techniques hold promise, they are also exposed to some of the same funding uncertainties that are impacting the traditional tax-exempt bond market. This session will feature a combination of education about the types of transactions that are best suited for these approaches, along with an up-to-the-minute assessment of market conditions and how they are impacting pricing.
Moderator:
Arto Becker
Partner
Hawkins Delafield & Wood LLP
Natalie Brill
Chief of Debt Management
City of Los Angeles
Randall Finken
Senior Vice President
First Southwest Company
Bruce Graham
Partner
Goodwin Procter LLP
Thomas E. Lanctot
Principal and Group Head
William Blair & Company
James Redd, Jr.
Managing Director
Gates Group Capital Partners
3:45 PM - 5:00 PM
Government Financing for Private Renewable Energy and Energy Efficiency Improvements
California has set aggressive standards for local governments to reduce greenhouse gas emissions in their local communities. To help local governments meet these standards the California Legislature adopted AB 811 to authorize public financing for private renewable energy and energy efficiency improvements and other similar legislation is pending. Learn about the implementation of the first local government programs and explore the obstacles to take-out financing.
Moderator:
Trisha Ortiz
Associate
Richards, Watson & Gershon
Dennis Coleman
Director of Finance/Treasurer
City of Solana Beach
Jim Ferguson
Councilmember
City of Palm Desert
Kathy Larocque
Deputy County Counsel
City of Sonoma
Dan McAllister
Treasurer
County of San Diego
Mark Northcross
Principal
Northcross, Hill & Ach, Inc.
Anna Van Degna
Vice President
Stone & Youngberg LLC
5:00 PM - 5:30 PM
Networking Break in the Exhibit Hall
5:30 PM - 6:00 PM
Keynote Address
John Chiang
Controller
State of California
6:00 PM - 7:30 PM
Reception
Sponsored by:
7:30 PM
Speakers Dinner (By Invitation Only)
Sponsored by:
Wednesday, September 16, 2009
7:30 AM - 8:30 AM
Continental Breakfast in the Exhibit Hall
Sponsored by:
7:30 AM - 8:30 AM
Asian Americans in Public Finance Breakfast (By Invitation Only)
8:30 AM - 9:15 AM
A New Sheriff? The Future of Securities Regulation
Public demands for accountability in the wake of Wall Street's meltdown are fueling a massive re-evaluation of securities laws and regulations -- and key lawmakers like Rep. Barney Frank say new legislation will be passed by the end of the year. What changes are on the table, and what could they mean for issuers and municipal-market professionals?
Moderator:
Cathy Bando
Partner
Greencoast Capital Partners, LLC
Kevin Civale
Partner
Stradling Yocca Carlson & Rauth
Leslie Norwood
Managing Director and Associate General Counsel, Municipal Securities Division
SIFMA
9:15 AM - 10:15 AM
Financing Under Fire
In the 12 months since the Lehman Brothers bankruptcy, municipal issuers have repeatedly been forced to price or restructure transactions in the face of unprecedentedly challenging market conditions. Learn how issuers managed their debt and derivatives portfolios in the face of the global credit crunch, declining credit-enhancer ratings, and ultimately the state's budget crisis -- and what lessons can be applied to the benefit of future deals, including the securitizations that will be crucial to mitigating some of the pain from the state budget's reductions in aid to local governments.
Moderator:
Chuck Wolf
Partner
Nixon Peabody, LLP
Gary Breaux
Director of Finance
East Bay Municipal Utility District
Michael Chin
Manager
CSCDA
Terry Matsumoto
Chief Financial Services Officer & Treasurer
LAMTA
Brian Mayhew
CFO/Treasurer
Bay Area Transit Authority
Tony Hughes
Managing Director
Barclays Capital
Peter Shapiro
Managing Director
Swap Financial Group
10:15 AM - 11:45 AM
Market Roundtable: Re-Writing All of the Rules
The municipal market has weathered more change in the past 18 months than in the previous 20 years, from the turmoil enveloping bond insurer ratings and the short-term market to the introduction of Build America Bonds and a massive reshaping of the broker-dealer industry.
Moderator:
Harriet Welch
Partner
Squire, Sanders & Dempsey L.L.P.
Mark Adler
Managing Director
Piper Jaffray & Co.
Steve Dworkin
Managing Director
JPMorgan Chase & Co.
Rita Ho
Managing Director and Head of Short Term Desk
Loop Capital Markets, LLC
David L. Johnson
Managing Director and Head of Western Region
Wells Fargo Securities
Neil Flanagan
Managing Director
Jefferies & Co., Inc.
Brad Thiel
California Syndicate Manager
Wedbush Morgan Securities, Inc.
11:45 AM
Conference Adjourns
Grab & Go Lunch Sponsored by:
