§ 50743 Bond Sale Interest Limits

Government Code·California

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Key Takeaways

•The board can set rules for selling bonds.
•Bonds can be sold for less than their face value, but not too cheap.
•The sale price can't give the buyer more than 6% interest per year.

Example

If the board sells a bond for $900 that's worth $1000, they have to make sure the buyer doesn't earn more than 6% interest per year.

The board can't sell the bond too cheap if it means the buyer gets more than 6% interest per year.

AI-generated — May contain errors. Not legal advice. Always verify source.

Official Source

View on CA.gov

§ 50743 Bond Sale Interest Limits

The board may fix terms and conditions for the sale or other disposition of any authorized issue of bonds. The board may sell bonds at less than their par or face value but no bond may be sold at a price below the par or face value thereof which would result in a sale price yielding to the purchaser an average of more than six (6) percent per annum, payable semiannually, according to standard tables of bond values. (Added by Stats. 1957, Ch. 2066.)

Last verified: January 22, 2026

Key Terms

the board disposition

References

Official text at leginfo.legislature.ca.gov
California Legislature. Government Code. Section 50743.

Key Takeaways

Example

Key Terms

Related Statutes

References

Key Takeaways

Example

Key Terms

Related Statutes

References