Which statement about Official Statement delivery for a new municipal issue is true?

• A. It is optional
• B. It must be delivered to all purchasers at settlement, if available
• C. It is delivered only upon request
• D. It is not used in due diligence

Answer: (B)

The key idea is that the Official Statement is a required disclosure document in a new municipal issue, and investors must receive it so they can review the final terms and details before or at the time they settle.

The best answer reflects that the final Official Statement must be delivered to all purchasers in the primary offering, at settlement if the document is available. This ensures every investor has the same, complete information to perform due diligence and make an informed decision. If the Official Statement isn’t available at settlement, the underwriter must provide a notice of availability and deliver the OS as soon as it becomes available. This rules out delivery being optional, and it rules out delivery only upon request or not being used in due diligence.