MS HB1261

Lowers population requirement for counties to establish a Sixteenth Section Development Authority from 200,000 (based on 1970 census) to 25,000 (based on 2010 census).

Adds biofuel to the definition of "Project" and expands authority to develop bicycle trails and walking paths.

Revises board composition from four appointed members to five, adding appointments from the Mississippi Development Authority, Regional Development Authority, and municipal school board.

Increases the aggregate amount of bonds that may be outstanding from $1,500,000 to $2,000,000.

Establishes specific maturity limits and interest rate caps for bonds based on project type: agricultural (25 years, 2.8%), commercial (20 years, 2.7%), residential (20 years, 2.6%), recreational (20 years, 2.5%), and industrial (20 years, 2.8%).