Arbitrage Rebate Compliance Services

2026-11-03

The City of Raleigh ( COR , the City ) is solicitating proposals from one or more firm ( s ) with which to contract for the following services : Arbitrage Rebate Compliance Services . Services include preparing computations to determine the excess earnings ( rebate ) using methodologies described in IRS Treasury Regulations under Section 148 of the Internal Revenue Code and providing a deliverable report that will be divided into sections containing summary and detailed information related to the rebate computation . The selected firm shall provide arbitrage rebate compliance services and shall be responsible for assisting COR in completing tasks which may include , but are not limited to , the following : 1 . Gather and review all necessary documentation . This includes historical arbitrage reports and calculations by the prior arbitrage rebate compliance service provider , relevant bond documents , investment and expenditure records and any other necessary records . 2 . Perform all required calculations including a calculation of arbitrage yield , arbitrage liability and yield restriction requirements not less than annually for each issue of outstanding obligations of the City requiring analysis . Create and maintain records necessary to determine arbitrage liability , if any , on outstanding obligations of the City . a . Identify , and separately account for , all “ gross proceeds ” ( as that term is defined in the IRS Code ) of the bond issues , including those requiring allocation analyses due to “ transferred proceeds ” and “ commingled funds ” circumstances . b . Verify that the gross proceeds of the issue are subject to rebate by determining what general and elective exceptions are available , such as spending exceptions and bona fide debt service fund exceptions . c . Identify any qualified guarantee fees ( such as insurance premiums , Letter of Credit fees , or standby purchase agreement fees ) and / or qualified hedge payments / receipts ( i . e ., interest rate swaps ) that should be considered in the bond yield calculation . d . Calculate the bond yield . e . Calculate the issue ’ s arbitrage rebate and / or yield reduction payment liability , and the investment return on all gross proceeds subject to the rebate requirements . 3 . Review reports of investment and expenditure of bond proceeds , within the meaning of Internal Revenue Code Section 148 , as necessary to ensure compliance with Section 148 . 4 . Prepare annual arbitrage rebate computations to monitor ongoing compliance and avoid penalties . 5 . Assist the City in preparing or causing to be prepared any schedules , reports , or records necessary to perform or support a calculation of arbitrage liability .

North Carolina

2026-05-05