§ 30905 Bond Sale Procedures

Public Utilities Code·California

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Key Takeaways

•The bonds must be sold for at least their face value.
•The board must ask for sealed bids before selling the bonds.
•The bonds go to the highest bidder if the bids are good enough.
•If no good bids come in, the board can try again or sell the bonds privately.

Example

A school board wants to sell bonds to raise money for new school buildings.

The board asks for bids from buyers. If someone offers a good price, they get the bonds. If no one offers a good price, the board can try again or sell the bonds directly to someone they choose.

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

Official Source

View on CA.gov

§ 30905 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. 1964, 1st Ex. Sess., Ch. 62.)

Last verified: January 23, 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 30905.

Key Takeaways

Example

Key Terms

Related Statutes

References

Key Takeaways

Example

Key Terms

Related Statutes

References