Reno & Cavanaugh counsels a number of for-profit and not-for-profit entities and their affiliates in corporate matters, including a captive insurance company and its seven affiliates and a national non-profit with a development subsidiary.  We advise these clients on board structure to prevent abuse or misuse of assets, proper use of any federal funding sources, establishing and maintaining arm’s-length relationships with affiliates, corporate and affiliate best practices, and procurement requirements.

 

For public housing authorities, the use of affiliates is currently a topic of HUD concern and scrutiny; firm attorneys are speaking nationally on the topic and working with HUD staff to develop clear and useful guidance.  In addition, Reno & Cavanaugh counsels a number of public agencies working with affiliates formed to assist in public and affordable housing development, land acquisition, and other activities, including on complex issues of conflict of interest, procurement, time and expense allocation, and related issues of particular concern to public entities utilizing affiliates. We also counsel public agencies on the advantages and disadvantages of using entities that are technically non-affiliated, but nevertheless exist to serve agency purposes.