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Treasurer Fiona Ma announces sale of $843 million in taxable general obligation bonds to fund certain voter-approved projects

California State Treasurer Fiona Ma announced the results of the competitively bid sale of approximately $843 million of State of California Federally Taxable Various Purpose General Obligation (GO) Bonds.

“Today’s bonds will provide funding for sixteen different bond acts approved from 2002-2018,” said State Treasurer Fiona Ma. “As State Treasurer, I am responsible under state law for the sale of bonds in accordance with bond acts approved by the voters of the State of California.”

(See chart below for the financed bond acts and amounts funded).

The sale was highly popular with 10 broker-dealers that submitted bids for two separate bid groups: Bid Group A for $420.79 million of bonds maturing in 2022 and 2029; and Bid Group B for $422 million of bonds maturing in 2024 and 2026. Wells Fargo Bank submitted the winning bid for Bid Group A and Jefferies, LLC submitted the winning bid for Bid Group B.
The bond acts that received the largest amount of bond proceeds include:

1. Safe, Reliable High-Speed Passenger Train Bond Act for the 21st Century of 2008 – $600 million

2. California Stem Cell Research and Cures Bond Act of 2004 – $156.1 million

3. Housing and Emergency Shelter Trust Fund Act of 2006 – $21 million

4. Veterans Housing and Homeless Prevention Bond Act of 2014 – $18.7 million

5. Water Quality, Supply, and Infrastructure Improvement Act of 2014 – $17.1 million

GO Bonds of the State of California are supported by the full faith and credit of the State of California. Holders of the State’s GO bonds do not assume any specific project risk related to any of the projects financed or refinanced.

Bond Acts from the Sale

(Amounts are Preliminary)

California Clean Water, Clean Air, Safe Neighborhood Parks, and Coastal Protection Act of 2002
$735,000

California Drought, Water, Parks, Climate, Coastal Protection, and Outdoor Access For All Act of 2018
260,000

California Stem Cell Research and Cures Bond Act of 2004
156,105,000

Disaster Preparedness and Flood Prevention Bond Act of 2006
12,670,000

Housing and Emergency Shelter Trust Fund Act of 2002
2,745,000

Housing and Emergency Shelter Trust Fund Act of 2006
21,025,000

Kindergarten Through Community College Public Education Facilities Bond Act of 2016
6,595,000

Kindergarten-University Public Education Facilities Bond Act of 2002
1,700,000

Kindergarten-University Public Education Facilities Bond Act of 2004
3,695,000

Kindergarten-University Public Education Facilities Bond Act of 2006
330,000

Safe Drinking Water, Water Quality and Supply, Flood Control, River and Coastal Protection Bond Act of 2006
25,000

Safe Neighborhood Parks, Clean Water, Clean Air, and Coastal Protection Bond Act of 2000 (the Villaraigosa-Keeley Act)
1,000,000

Safe, Reliable High-Speed Passenger Train Bond Act for the 21st Century
600,000,000

Veterans Housing and Homeless Prevention Bond Act of 2014
18,675,000

Water Quality, Supply, and Infrastructure Improvement Act of 2014
17,105,000

Water Security, Clean Drinking Water, Coastal and Beach Protection Act of 2002
125,000

This article was released by the California State Treasurer’s Office.