CHAPTER 4. State General Obligation Bonds

Chapter 4 added by Stats. 1953, Ch. 1698.

§§ 16720–16787 · 51 sections

1. ARTICLE 1. General §§ 16720–16727 · 12 sections

   • § 16720 This chapter shall be known and may be cited as the State General Obligation Bond Law.
   • § 16721 The purpose of this chapter is to provide a procedure which may be adopted by other acts for use with whatever modifications are necessary in authorizing the…
   • § 16722 As used in this chapter, the following terms shall have the following meaning unless the context otherwise requires: (a) “Board” means the state board,…
   • § 16723 Any bond act may adopt the provisions of this chapter by reference to its short title, and such reference shall serve to incorporate the provisions of this…
   • § 16724 The bond act shall contain all of the following provisions: (a) A statement of the total amount of bonds authorized to be issued and the purpose for which the…
   • § 16724.4 Any state bond measure approved by the voters on or after January 1, 2004, shall be subject to an annual reporting process, as follows: (a) The head of the…
   • § 16724.5 (a) For purposes of this section, “revolving fund” means the General Obligation Bond Expense Revolving Fund created pursuant to this section. (b) There is in…
   • § 16724.6 There is hereby transferred from any bond fund created for the proceeds of sales of state general obligation bonds, the amounts necessary to reimburse the…
   • § 16724.7 Costs incurred by the state in connection with state general obligation bonds bearing variable interest rates that are different from costs determined by the…
   • § 16725 The Controller, the State Treasurer and the committee shall keep full and particular account and record of all their proceedings under the bond act and this…
   • § 16726 Upon request of the board stating that the purposes for which the bonds were issued and sold has been effected, the committee shall certify this fact to the…
   • § 16727 Proceeds from the sale of any bonds issued pursuant to this chapter shall be used only for the following purposes: (a) The costs of construction or acquisition…
2. ARTICLE 2. Issuance of Bonds §§ 16730–16737 · 9 sections

   • § 16730 Upon request of the board, supported as required in the bond act, the committee shall determine the necessity or desirability of obtaining interim financing…
   • § 16731 Whenever the committee determines that the sale of all or any part of the bonds authorized to be issued is necessary or desirable, it shall adopt a resolution…
   • § 16731.5 (a) Notwithstanding any other provision of this chapter, the committee may provide for the issuance of all or part of the bonds authorized to be issued as zero…
   • § 16731.6 (a) Notwithstanding any other provision of this chapter, and as an alternative to the procedures set forth in Section 16731, the committee may provide for the…
   • § 16732 In determining the dates of maturity of the bonds, and the amount thereof to mature at each date of maturity, the committee shall be guided, so far as it may…
   • § 16733 The rate of interest to be borne by the bonds need not be uniform for all bonds of the same issue, and shall be the rate or rates specified in the bid or…
   • § 16734 Both principal of and interest on the bonds shall be payable in lawful money of the United States, at the Office of the State Treasurer, or at the office of…
   • § 16735 Each bond shall contain a reference to the bond act, and if subject to call, tender, or redemption prior to maturity, a recital to that effect.
   • § 16737 (a) When the committee deems it in the best interests of the state, it may authorize the Treasurer, upon those terms and conditions that may be fixed by the…
3. ARTICLE 3. Preparation and Execution of Bonds §§ 16740–16743 · 4 sections

   • § 16740 After the adoption by the committee of any resolution in conformity with Section 16731, 16731.5, or 16731.6, the Treasurer shall arrange for the preparation of…
   • § 16741 All bonds shall bear the facsimile signature of the Governor, the facsimile signature of the Controller, and the facsimile signature of the Treasurer, and each…
   • § 16742 Whenever the committee may determine by resolution that for any reason any bonds which have been prepared and executed under the foregoing provisions should…
   • § 16743 If the right to do so has been reserved in the resolution adopted in conformity with Section 16731, 16731.5, or 16731.6, temporary or interim bonds, notes,…
4. ARTICLE 4. Sale of Bonds §§ 16752–16760 · 12 sections

   • § 16752 The Treasurer may from time to time, by electronic means or by public announcement at the place and at or before the time fixed for a competitive sale of…
   • § 16752.1 The Treasurer may cancel or postpone a competitive sale of bonds to an indefinite date by public announcement, including by electronic means, made prior to or…
   • § 16753 (a) Each bid at a competitive sale shall be submitted to the Treasurer in the form and by the means specified by the Treasurer by public announcement. (b) Each…
   • § 16754 (a) The bonds specified in the resolution shall be sold by the Treasurer, at the time fixed by the Treasurer, and upon the notice that the Treasurer may deem…
   • § 16754.3 (a) The bonds specified in the resolution shall be sold by the Treasurer, at the time fixed by the Treasurer, and upon the notice that the Treasurer may deem…
   • § 16754.5 Notwithstanding any provision in this article to the contrary, bonds to provide farm and home aid for veterans in accordance with the Veterans’ Farm and Home…
   • § 16755 (a) The deposit of each unsuccessful bidder shall be returned to the bidder promptly upon the rejection of the bidder’s bid or the acceptance of another bid.…
   • § 16756 Upon payment in full, the bonds shall be delivered to the purchaser in definitive form, unless the right to deliver temporary securities has been reserved or…
   • § 16757 (a) The proceeds of each sale of bonds, and the amount that may have been paid as accrued interest on the bonds, shall be forthwith paid over by the Treasurer…
   • § 16758 All actual and necessary expenses of the committee and of the members thereof incurred in the performance of their duties shall be paid out of the fund. Such…
   • § 16759 The Treasurer shall submit to the Chairperson of the Joint Legislative Budget Committee, after each sale of bonds authorized to be sold under this chapter, an…
   • § 16760 Whenever the committee deems that it will increase the salability or the price of the bonds to obtain, prior to or after sale, a legal opinion, other than that…
5. ARTICLE 5. Payment, Cancellation, and Redemption of Bonds §§ 16770–16774 · 5 sections

   • § 16770 The State Treasurer, directly or through state fiscal agents, or other duly authorized agents, shall, on the respective dates of maturity of all bonds, or on…
   • § 16771 Upon the payment of any such bond or coupon, the State Treasurer, or the state fiscal agent, or other duly authorized agent, shall cancel the same in a manner…
   • § 16772 The State Treasurer, or state fiscal agents, or other duly authorized agents, may destroy or cremate any or all bonds and any or all coupons pertaining thereto…
   • § 16773 (a) Whenever any payment of principal of any bonds shall become due, either upon the maturity of any of the bonds or upon the redemption thereof prior to…
   • § 16774 (a) If the committee determines that any bonds then outstanding, including bonds that by their terms are subject to redemption prior to maturity, should be…
6. ARTICLE 6. Refunding Bonds §§ 16780–16787 · 9 sections

   • § 16780 (a) The committee may provide for the issuance and sale or exchange of refunding bonds for the purpose of redeeming, retiring, or purchasing for retirement,…
   • § 16781 (a) Except as otherwise provided in this article or in subdivision (b), all of the provisions of this chapter are applicable to the issuance and sale of…
   • § 16781.5 Notwithstanding any other provision of this article, the renewal and reissuance from time to time of commercial paper notes within the amount and time of a…
   • § 16782 (a) Refunding bonds may be issued in a principal amount sufficient to provide funds, either directly or by the purchase of nonredeemable securities, the…
   • § 16783 Refunding bonds may be issued before the first date upon which the bonds being refunded are subject to call or redemption. The final maturity date of any…
   • § 16784 The Refunding Escrow Fund is hereby created as a special fund in the State Treasury and is continuously appropriated for the purposes of this section. The…
   • § 16785 Refunding bonds shall be valid and binding obligations of the State of California, and the full faith and credit of the State of California shall be pledged…
   • § 16786 This article applies only to the refunding of bonds authorized at a statewide election held after the effective date of this article pursuant to a bond act…
   • § 16787 In any report of outstanding general obligation bonds or bonded debt of the state, the Controller shall include both refunding bonds and bonds which have been…