Current through Register Vol. 49, No. 6, March 15, 2024
PURPOSE: This rule defines the reasonable notice
provision of section 108.170.1., RSMo, applicable to the public sale of bonds
issued by Missouri's political subdivisions and assures that notice of the
public sale of bonds is reasonably calculated to give potential bond purchasers
an opportunity to bid at the public sale(s).
(1) In determining whether or not to register
bonds sold at a public sale pursuant to section 108.170.1., RSMo, compliance
shall be deemed by the state auditor if the sale meets the following
conditions:
(A) Notice of the public sale of
bonds contains the following:
1. The name of
the issuer;
2. The issue date,
maturity date, amount to mature on each maturity date, and interest payment
date;
3. The time, date, and place
where bids will be received;
4. The
name, address, and telephone number of a person from whom additional
information may be obtained; and
5.
Any additional information desired by the issuer;
(B) Notice of the public sale of bonds is
given-
1. By publication in at least one (1)
news paper of general circulation within the boundaries of the issuer of the
bonds or, if no news paper exists, in at least one (1) newspaper of general
circulation within the county where the major portion of the issuer of the bond
lies. The notice of public bond sale shall be published within a reasonable
time prior to the date of public bond sale. Publication of the notice of public
bond sale not more than twenty-five (25) days nor less than ten (10) days prior
to the date of bond sale is prima facie reasonable;
and
2. In addition, notice of
public bond sale shall be given by one (1) of the following methods:
A. By mailing copies of the notice of public
bond sale within a reasonable time prior to the date of bond sale to a
reasonable number of banks, investment banking firms, and other potential bond
purchasers which are engaged in the purchase and sale of bonds issued by
Missouri political subdivisions and to all other persons and firms requesting
copies of the notice of public bond sale. Mailing the notice of the public bond
sale at least ten (10) days prior to the date of bond sale is prima
facie reasonable; or
B. By
publication in at least one (1) newspaper which is frequently subscribed to by
banks, investment banking firms, and other potential bond purchasers which are
engaged in the purchase and sale of bonds issued by Missouri political
subdivisions. The notice shall be published within a reasonable time prior to
the date of bond sale. Publication of the notice of public bond sale not more
than twenty-five (25) days nor less than ten (10) days prior to the date of
bond sale is prima facie reasonable.
(2) A list of banks,
investment banking firms, and other potential bond purchasers which are engaged
in the purchase and sale of bonds issued by Missouri political subdivisions may
be obtained by contacting the Local Government Analyst, Missouri State
Auditor's Office, PO Box 869, Truman State Office Building, 301 West High,
Jefferson City, MO 65102. Telephone (573) 751-4213.
*Original authority: 29.100, RSMo 1945, amended 1993, 1995
and 108.240, RSMo 1939, amended 1977, 1983,
2002.
