Relates to the delivery of the good faith deposit following award of the bonds to the successful bidder

Summary

The bill amends the local finance law so that any bidder who wins a municipal, school‑district or district‑corporation bond auction must provide a certified check, cash, wire transfer, eligible surety bond, or eligible letter of credit equal to at least one‑half of one percent of the total bonds bid. The deposit must be made to the official designated by the agency before the bid is considered. This gives the issuing entity a financial safeguard if the bidder fails to follow through.

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