§ 54034 Bond Premiums And Interest

• •Money from selling bonds and the interest earned goes to the General Fund to pay for bond interest.
• •Some of the extra money from selling bonds can be used to cover the costs of issuing the bonds before it goes to the General Fund.

Imagine the state sells bonds to raise money for building schools.

The money from selling those bonds and the interest earned will go into the state's main bank account to pay for the interest on those bonds. But if they got extra money from selling the bonds, they can use some of that to pay for the costs of selling the bonds first.