Public Finance

Bonded Indebtedness of State

SECTION 35-8-20

§ 35-8-20 Minibonds.

Notwithstanding any provision of general or public law to the contrary, whenever the general treasurer is authorized by any general or public law to issue and sell bonds of the state, he or she may determine, with the approval of the governor, to issue and sell all or a portion of the bonds in denominations of one hundred dollars ($100), five hundred dollars ($500), one thousand dollars ($1,000), or any multiple of one thousand dollars ($1,000). Bonds issued in denominations of one hundred dollars ($100), five hundred dollars ($500), or one thousand dollars ($1,000) are hereinafter called "minibonds". The general treasurer may issue and sell minibonds at public or private sale at par or at a discount, maturing in such amounts and upon such dates, bearing interest at such rate or rates, payable as to both principal and interest at such time or times and in such manner, in bearer or registered form, and upon such other terms and conditions, all as the general treasurer, with the approval of the governor, shall determine to be in the best interest of the state. Each minibond may, at the determination of the general treasurer, also provide that it shall be redeemed by the state at the option of the holder or registered owner upon due presentment on any business day at least one month from its date at such price and on such terms as the general treasurer shall fix, with the approval of the governor, at the time of issue of the minibonds; provided, that if so determined and provided:

(1) Not more than ten percent (10%) of the face amount originally authorized shall be sold by the general treasurer in any one fiscal year;

(2) No minibond shall mature more than five (5) years after its date; and

(3) No one sale to a single purchaser of minibonds shall be in an aggregate face amount greater than five thousand dollars ($5,000).

History of Section.
(P.L. 1979, ch. 281, § 1; P.L. 1987, ch. 177, § 1.)