§ 103505 Bond Sale Procedures

Public Utilities Code·California

AI SummaryVerified

This law says how a board can sell bonds, which are like loans to raise money. They have to try to sell them for at least their full value and must ask for bids first.

Key Takeaways

•Bonds must be sold for at least their full value.
•The board must ask for bids before selling.
•If bids are bad or none come in, the board can try again or sell directly.

Example

A school board wants to build a new school but needs money.

They have to ask for bids from people who want to buy their bonds. If no one bids or the bids are too low, they can try again or sell the bonds directly.

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

Official Source

View on CA.gov

§ 103505 Bond Sale Procedures

The bonds may be sold as the board determines by resolution, but for not less than par. Before selling the bonds, or any part thereof, the board shall give notice inviting sealed bids in such manner as it may prescribe. If satisfactory bids are received, the bonds offered for sale shall be awarded to the highest responsible bidder. If no bids are received, or if the board determines that the bids received are not satisfactory as to price or responsibility of the bidders, the board may reject all bids received, if any, and either readvertise or sell the bonds at private sale. (Added by Stats. 1974, Ch. 502.)

Last verified: January 11, 2026

Key Terms

bonds par sealed bids highest responsible bidder private sale

References

Official text at leginfo.legislature.ca.gov
California Legislature. Public Utilities Code. Section 103505.

Key Takeaways

Example

Key Terms

Related Statutes

References

Key Takeaways

Example

Key Terms

Related Statutes

References