Chairman Cox To Ask SEC To Expand EMMA

Chairman Cox has spearheaded the SEC's Interactive Data initiative and now it appears he will ask the Commission to expand transparency, timeliness, and standardization of the municipal reporting format. Like the SEC's EDGAR system, EMMA (Electronic Municipal Market Access system) is proposed to be upgraded to new electronic standards, much like the XBRL improvements proposed for corporations. See his entire speech on November 12th here and the specific reference immediately below:

"That's why, repeatedly over the last two years, I've asked Congress to give the SEC the authority to bring municipal finance disclosure at least up to par with corporate disclosure by repealing the Tower Amendment. And it's why, within the next few weeks, I will ask the full Commission to improve the current disclosure of information regarding municipal securities by requiring that secondary market disclosure information be provided, in an electronic format, to a single repository. This will permit the MSRB to expand its Electronic Municipal Market Access system, or EMMA, to accommodate secondary market disclosure information."

Chairman Cox is once again encouraging the SEC to upgrade the financial reporting system for greater transparency and public access. The municipal market is a very large one. It is time to bring municipal official statements, bond issue terms and financial standing up to the same level of reporting as for the SEC-reporting publicly held companies.

For further information, see the Municipal Securities Reulemaking Board's website, http://www,emma.msrb.org/.

I suppose one reason why there has been an appearance of delay regarding the SEC's XBRL Final Rules' being issued could be that the SEC wants to dispose of both the XBRL corporate rules and the EMMA changes in reporting at the same time. Note the Chairman's timetable above: "And it's why, within the next few weeks [my emphasis], I will ask the full Commission to improve the current disclosure of information regarding municipal securities."

The SEC under Chairman Cox's leadership has taken, and is taking, significant steps to promote higher standards of corporate and municipal electronic disclosure.