House Bill 556 Summary

• Establishes the "Property Cleanup Revolving Fund" administered by the Mississippi Home Corporation to assist municipalities in cleaning up properties determined to be a public health, safety, or welfare menace under Section 21-19-11 or by court order.

• Creates a grant program (limited to 20% of annual fund balance) and a revolving loan program; grants limited to municipalities with populations under 10,000 and loans to all municipalities with repayment periods up to 20 years at or below market interest rates.

• Authorizes municipalities to pledge sales tax reimbursements, homestead exemption reimbursements, and proceeds from property sales toward loan repayment, with the Department of Revenue collecting monthly or periodic payments.

• Exempts municipalities from standard bond issuance notice requirements and debt limitations when issuing securities to evidence loans under this program.

• Authorizes the State Bond Commission to issue up to $5,000,000 in general obligation bonds by July 1, 2026, with proceeds deposited into the revolving fund; bonds are fully backed by state faith and credit.