MS HB595

Increases the maximum amount of state general obligation bonds that may be issued for the Local Governments and Rural Water Systems Improvements Revolving Loan Fund from $26,143,000 to $28,843,000.

Bond proceeds of $28,843,000 shall be deposited in the revolving fund and $5,000,000 in the emergency fund for water system construction and repair projects.

Bonds may mature up to 25 years from issuance, bear interest rates not to exceed limits in Section 75-17-101, and be sold by public bid or negotiated sale.

Bonds are general obligations of Mississippi backed by the full faith and credit of the state, with principal and interest payable from appropriated funds or other state treasury funds if necessary.

Bonds and their income are exempt from Mississippi state taxation and may be used as legal investments for trustees, fiduciaries, banks, and insurance companies.