Bill > HB1214

This bill establishes a Credit Enhancement Program to improve the creditworthiness of Mississippi school districts when they issue bonds, aiming to lower borrowing costs for taxpayers. The program essentially provides a state guarantee, meaning the state pledges its full faith, credit, and taxing power to ensure timely payment of principal and interest on voter-approved general obligation bonds issued by school districts after January 1, 2027. A general obligation bond is a debt obligation of a district that counts towards its debt limits. If a school district fails to make a payment, the State Treasurer will step in to make the payment, and the district will then be obligated to reimburse the state, potentially with interest and penalties, and the state can take legal action to recover the funds. The State Bond Commission is authorized to create rules for the program's implementation, and funds will be appropriated to support it. The bill also brings forward and reenacts existing sections of Mississippi Code related to school district borrowing for repairs, construction, equipment, and land purchases, outlining procedures for resolutions, public notice, and elections, as well as tax levies and debt limitations.

Education

https://billstatus.ls.state.ms.us/2026/pdf/history/HB/HB1214.xml