Currently, the first of two proposed rules related to implementation of the Financial Data Transparency Act (FDTA) is open for public comment. The rulemaking stems from the Financial Data Transparency Act that Congress passed and the President signed in 2022. This law mandates that certain data and financial information provided to and developed by many federal agencies must be sent in a ‘structured data’ format after the Rules are finalized (sometime in 2026 or thereafter).
For state and local governments and entities that issue municipal securities, this means that information provided to the Municipal Securities Rulemaking Board’s EMMA system related to bond offering and disclosure documents may have to be sent in a structured data format. Click HERE for the most recent GFOA Member Alert on the proposed regulation.
This first Proposed Rule seeks to establish general guidelines for additional regulations that each of the seven agencies will develop for their sectors. It is important to note, that this Proposed Rule DOES NOT establish or impose any new standards or data submission requirements on reporting entities. Therefore, reporting entities should not take any actions to implement any of the proposals (such as purchasing any technology, licenses or software claiming to be “FDTA compliant"), as this Rule is not final. Any possible new structured data standards for issuer financial information and disclosures submitted to the MSRB’s EMMA system remains at least two years away.
For state and local governments and entities that issue municipal securities, this means that information provided to the Municipal Securities Rulemaking Board’s EMMA system related to bond offering and disclosure documents may have to be sent in a structured data format. Click HERE for the most recent GFOA Member Alert on the proposed regulation.
This first Proposed Rule seeks to establish general guidelines for additional regulations that each of the seven agencies will develop for their sectors. It is important to note, that this Proposed Rule DOES NOT establish or impose any new standards or data submission requirements on reporting entities. Therefore, reporting entities should not take any actions to implement any of the proposals (such as purchasing any technology, licenses or software claiming to be “FDTA compliant"), as this Rule is not final. Any possible new structured data standards for issuer financial information and disclosures submitted to the MSRB’s EMMA system remains at least two years away.
It is vital for GFOA and its members to respond. Members can assist with these efforts by submitting comments using the tool to the right of this message box. The comment deadline is October 21, 2024.