MS SB2206

Increases the maximum amount of state general obligation bonds authorized for the Local Governments and Rural Water Systems Improvements Revolving Loan Fund from $28,843,000 to $32,343,000.

Bonds proceeds are deposited in the revolving fund and a separate $5,000,000 emergency fund for water system construction and repairs.

Authorizes the State Bond Commission to issue, sell, and manage the bonds through public sale or negotiated sale with maturity not exceeding 25 years.

Establishes that bonds are general obligations of the State of Mississippi backed by full faith and credit, with principal and interest paid from state appropriations or state treasury funds if needed.

Bonds and income are exempt from Mississippi state taxation and may be validated in Chancery Court under existing bond validation procedures.