§ 344.8. What other provisions apply to subscriptions for Demand Deposit securities?
484 words·~2 min read·
/us/cfr/t31/s§ 344.8·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
(a)When is my subscription due? The subscriber must set the issue date in the subscription. You cannot change the issue date to require issuance earlier or later than the issue date originally specified; provided, however, you may change the issue date up to 7 days after the original issue date if you establish to the satisfaction of Treasury that such change is required as a result of circumstances that were unforeseen at the time of the subscription and are beyond the issuer's control (for example, a natural disaster). The issue date must be a business day. The issue date cannot be more than 60 days after the date we receive the subscription. If the subscription is for \$10 million or less, we must receive the subscription at least 5 days before the issue date. If the subscription is for more than \$10 million, we must receive the subscription at least 7 days before the issue date.
(b)How do I start the subscription process? A subscriber starts the subscription process by entering into SLGSafe the following information:
(1)The issue date;
(2)The total principal amount;
(3)The issuer's name and Taxpayer Identification Number;
(4)A description of the tax-advantaged bond issue; and
(5)The certifications required by § 344.2(e)(1), if the subscription is submitted by an agent of the issuer.
(c)Under what circumstances can I cancel a subscription? You cannot cancel a subscription unless you establish, to the satisfaction of Treasury, that the cancellation is required for reasons unrelated to the use of the SLGS program to create a cost-free option.
(d)How do I change a subscription? You can change a subscription on or before 3 p.m., Eastern time, on the issue date. You may change the aggregate principal amount specified in the subscription by no more than ten percent, above or below the amount originally specified in the subscription.
(e)How do I complete the subscription process? The completed subscription must:
(1)Be dated and submitted electronically by an official authorized to make the purchase;
(2)Describe the bond issue. If the tax-advantaged bond issue referenced in paragraph (b)(4) of this section is, or will be, registered or disclosed in the Municipal Securities Rulemaking Board's
(MSRB)Electronic Municipal Market Access (EMMA®) system, describe the issue exactly as designated in the "issue description" field of EMMA®, or successor system;
(3)Include the issuer's address;
(4)Include the information on the financial institution that will transmit the funds for the purchase of the securities;
(5)Not be more than ten percent above or below the aggregate principal amount originally specified in the subscription;
(6)Include the information required under paragraph
(b)of this section, if not already provided; and
(7)Include the certifications required by § 344.2(e)(1) (agent certification), (e)(2)(i) (yield certification), and (e)(4) (eligibility certification). \[70 FR 37911, June 30, 2005, as amended at 89 FR 15450, Mar. 4, 2024\]