SB 705 - This act requires the public sale of refunding general obligation bonds and general obligation bonds by political subdivisions that have a credit rating of "A" or higher. It also requires the bonds be sold for an amount not less than 95 percent of the value of the bonds and at an interest rate not exceeding 14 percent per year. This act prohibits financial advisors involved in such sales from underwriting the issue.
In addition, this act allows the State Treasurer to provide assistance regarding the issuance of bonds, notes, or other indebtedness to political subdivisions. The Treasurer is granted rulemaking authority under this act.
This act is similar to HCS/HB 1769 (2014).