Bill > S216

This bill establishes the Massachusetts Municipal Bond Bank, a public entity designed to help local governments finance public improvements and other municipal projects by providing access to capital markets and reducing borrowing costs. The bank will be governed by a board of directors, including the State Treasurer and other appointed members with expertise in finance and municipal management. It will have the power to issue bonds and notes to raise capital, make loans to local governmental units for capital projects, and enter into various financial agreements. The bill also outlines the bank's responsibilities, such as establishing best practices for municipal borrowing, publishing annual reports on its operations and the financial condition of borrowing municipalities, and administering a trust fund to provide grants for loan principal or interest reduction and for training local government officials. The bonds issued by the bank will not be considered a debt of the Commonwealth but will be payable solely from the bank's revenues and assets, and they will be exempt from taxation.