Competitive Bond Sale Process
/A competitive sale is a method of offering bonds in which underwriters submit bids and the bonds are awarded to the underwriter with the lowest interest rate bid. The general steps for a competitive bond sale include:
- Preliminary official statement and notice of sale are posted for potential underwriters
- Municipal advisor reaches out to potential underwriters to address any questions
- Bids are received from underwriters by specified deadline
- Municipal advisor verifies bids
- Bonds are awarded to the underwriter with the lowest interest rate bid
- Municipal advisor restructures the bonds (if necessary) with the interest rates from the winning underwriter
- District signs a certificate of award