HB 2584

Abstract

Amends the Local Government Debt Reform Act. Provides that all bonds, including general obligation bonds and revenue bonds issued under the Act, shall be secured by a statutory lien on all revenues received or entitled to be received. Provides that the statutory lien shall automatically attach from the time the bonds are issued without further action or authorization by the governing authority of the local public entity. Provides that the lien shall be a first priority lien unless the bonds so otherwise provide. Provides that the provisions apply to all bonds issued by a local public entity, including bonds issued by a local public entity with home rule authority, and that the bonds shall have all of the protection afforded to special revenue bonds under the federal Bankruptcy Code. Effective immediately.