CA AB794

Authorizes school districts and community college districts to issue bond anticipation notes maturing within 5 years in advance of authorized bond sales.

Allows interest on anticipation notes to be paid from bond sale proceeds (including premiums), proceeds from renewal notes, or other lawfully available district funds.

Permits interest on notes to be paid from a property tax levied for that purpose if authorized by board resolution and the principal amount does not exceed remaining authorized but unissued bonds.

Requires that the tax rate levied to pay interest on notes cannot cause the district to exceed limitations set forth in existing law regarding property tax rates.

Permits bond anticipation notes to be issued in the form of commercial paper notes, with each commercial paper issuance to repay outstanding notes deemed a renewal subject to the same requirements.