MSRB authorizes staff to harmonize gifts rule with FINRA proposal

The Municipal Securities Rulemaking Board on Thursday wrapped up its most recent quarterly meeting, during which the board authorized MSRB staff to harmonize an MSRB rule on gifts and gratuities with proposed amendments to a similar Financial Industry Regulatory Authority rule if those amendments are approved.

The meeting, held Jan. 28 and Jan. 29, marked the board's second quarterly meeting of fiscal year 2026.

"MSRB is committed to ensuring our regulatory framework keeps pace with an evolving market," Natasha A. Holiday, chair of the MSRB's board of directors, said in a press release the MSRB issued Thursday.

In May 2025, FINRA filed a proposed rule change with the Securities and Exchange Commission to amend FINRA Rule 3220, also known as the "Gifts Rule." The proposed rule change, as modified by a subsequent amendment, would, among other things, raise the gift limit to $300 per person per year.

At its meeting, the board authorized MSRB staff "to harmonize Rule G-20 when and if the SEC approves that filing in its current form," an MSRB spokesperson said. MSRB Rule G-20 pertains to gifts and gratuities.

Also during the meeting, the board discussed potential further steps in modernizing MSRB Rule G-27 on dealer supervision, the press release said. The board's discussion of Rule G-27 followed the MSRB's Jan. 14 publication of a request for comment pertaining to the rule.

Also with regard to market regulation, the board discussed steps to ease compliance with Form G-32 submission requirements, the MSRB's release said. Form G-32 falls under MSRB Rule G-32, which relates to disclosures in connection with primary offerings.

In addition, the board received a report on a forthcoming request for comment "to retire the use of the term 'financial advisor' and discussed further steps, including sequencing of regulatory initiatives, in connection with the municipal advisor retrospective rule review," the MSRB's release said.

Also during the meeting, the board received updates on market transparency and public accountability initiatives, the release said. Those updates included a review of the MSRB's 2025 Annual Report, which was recently released, and a demonstration of the modernized data repository that underpins the forthcoming new version of the MSRB's Electronic Municipal Market Access website.

In addition, the board during the meeting also reviewed the MSRB's draft FY 2026-2030 strategic plan "and the feedback provided by stakeholders on MSRB's objectives of regulatory modernization, market transparency and public accountability," according to the release, which said the board expects to adopt the strategic plan this spring.

"We will continue actively engaging market participants as we work to align our rules with current market practices, enhance the quality of our data and modernize our market transparency systems in serving our congressional mandate to protect investors, issuers and the public interest," Holiday said in the release.