A broker-dealer underwriting a GO issue on a best-efforts basis is required to:

In a best-efforts underwriting, the broker-dealer does not guarantee that the entire issue will be sold, unlike a firm commitment underwriting where the underwriter buys the entire issue and assumes the risk of selling it. Instead, in a best-efforts arrangement, the broker-dealer commits to sell as much of the issue as possible, but it does not take on the obligation to buy any unsold shares. This means that the broker-dealer will actively market the bonds and attempt to find buyers, but if they are unable to sell the full issue, they are not required to take any unsold securities onto their books. This approach minimizes risk for the underwriter and aligns with situations where the issuer may have uncertain demand for their bonds. Therefore, the requirement for a broker-dealer in this type of underwriting is to sell as much of the issue as possible, making that the correct understanding of the nature of a best-efforts underwriting.