H.B. 740 Summary

• Establishes an Economic Development Bond Bank allowing the Ohio Treasurer of State to issue revenue obligations to purchase revenue bonds from port authorities, designated community improvement corporations, and community development corporations.

• Creates four special funds within the bond bank trust fund: improvements account (to fund loans through bond purchases), reserve account (to ensure bond service payments), bond service account (pledged to bond payment), and other accounts as needed.

• Authorizes the Treasurer to issue revenue obligations with principal maturity not exceeding 45 years, payable solely from pledged revenues with no state tax support required.

• Allows the Treasurer to prioritize purchasing revenue bonds from authorities and corporations that would otherwise have difficulty accessing capital markets.

• Permits bond anticipation notes and refunding obligations, establishes investment restrictions for special funds, and applies existing state finance laws regarding interest rate hedges to all issued obligations.