ND SB2057

Amends North Dakota Century Code section 6-09.4-10 to modify requirements for the Public Finance Authority's reserve fund for bonds.

Allows the Public Finance Authority to reduce or not establish a reserve fund if required funding levels would necessitate investing at a restricted yield that could cause bonds to become taxable under the Internal Revenue Code.

Permits bonds with a maturity of three years or less from issuance to be issued without an associated reserve fund, with those bondholders having no claim on existing or future reserve funds.

Allows the Industrial Commission to determine that reserve fund requirements are inapplicable for bonds issued under section 6-09.4-24 or under the Public Finance Authority's state revolving fund program.

Passed the Senate 46-0 and the House 69-22.