DALLAS -- Texas named a 13-member team to underwrite the state's largest-ever taxable bond sale with a $300 million offering by year-end to fund the new Texas Workers' Compensation insurance pool.
Glen Hartman, executive director of the Texas Public Finance Authority, which will issue the bonds, said the three-member board yesterday named Texas-based Rauscher, Pierce, Refsnes Inc., Estrada Securities of Dallas, and PaineWebber as co-senior managers for the issue.
They head a financing team that includes 10 co-managers: Bear Stearns & Co.; Grigsby Brandford Powell Inc.; Goldman, Sachs & Co.; Lehman Brothers Inc.; Masterson Moreland Sauer Whisman Inc.; J.P. Morgan & Co.; Dean Witter Reynolds Inc.; Walton Johnson & Co.; Smith Barney, Harris Upham & Co.; and Lazard Freres & Co.
The firm of Akin, Gump, Strauss, Hauer & Feld were named bond counsel under an agreement to cap their fee at $35,000.
Mr. Hartman said most -- if not all -- of the issue will have to be taxable because the bond proceeds will be used to capitalize a new insurance pool financed by payments from private companies, primarily insurers.