Kutak Rock is pleased to share that Michelle Pernicek, a partner in the firm’s public finance practice, will serve as an instructor at the upcoming National Association of Local Housing Finance Agencies Annual Conference in San Antonio.

Michelle will participate in the pre-conference workshop, “NALHFA University Presents: Understanding Private Activity Bonds, Capital Stacks, Including the New 25% Test Rule,” taking place on May 4. This session will provide attendees with a comprehensive overview of Private Activity Bonds (PABs), including their role as tax-exempt financing tools used by government entities to support projects that serve a public purpose, such as affordable housing.

Alongside fellow instructors Jack Ballou (Caine Mitter) and RJ McGrail (Lincoln Institute of Land Policy), Michelle also will discuss the newly introduced 25% test under the "One Big Beautiful Bill Act" of 2025. The session will explore how this significant legislative change impacts the financing of projects utilizing PABs, particularly in the affordable housing space.

In addition, the workshop will examine the structure of the capital stack, highlighting the various layers of debt and equity in project financing and how the new 25% test affects the placement of PABs within that structure.

For more information about the conference and full schedule, visit the National Association of Local Housing Finance Agencies website.

Michelle practices in public finance and affordable housing financing. She routinely serves as bond counsel and bond purchaser’s counsel in multifamily housing financings across the country. She advises state and local issuers on multifamily transaction structures and compliance with relevant federal, state and local securities, tax and other laws. In addition, she has substantial experience as special counsel to lenders for the acquisition and documentation of interest rate caps in multifamily housing transactions.