The bill amends the Economic Development Corporations Act of 1974, specifically section 23, to clarify and expand the provisions regarding the issuance of revenue bonds and notes by corporations established under this act. Key changes include the ability for corporations to issue refunding bonds regardless of the maturity status of the original bonds, and the specification that these refunding bonds can be issued for purposes beyond just refunding existing bonds. Additionally, the bill emphasizes that the bonds and notes are exempt from state taxation, with the interest being exempt from state taxes even if subject to federal income tax.

Further amendments include clarifying the liability of municipalities concerning the bonds and notes issued by the corporations, stating that municipalities are not liable for these debts. The bill also mandates that corporations report their activities and financial status to the governing body of the municipality and the Bureau of Fair Competition and Free Enterprise annually. It ensures that financial records are public and accessible, and requires the corporation to publish a statement of revenues and expenditures in a local newspaper within 120 days after the end of its operating year. The enactment of this bill is contingent upon the passage of Senate Bill No. 631.

Statutes affected:
Senate Introduced Bill: 125.1623