Series 50: Negotiated Sale Authorization

Negotiated Sale Authorization

Revenue bonds generally do not require a public vote of approval, so it is often unnecessary to demonstrate through a competitive bidding process that they are being sold at the lowest possible cost.

The issuer of a revenue bond, therefore, may select an underwriter earlier in the process through a negotiated bid. An issuer will typically select a few underwriters to give pitches. The issuer will choose an underwriter based on the underwriter’s reputation and pitch, which usually reflects its knowledge of the market, financial resources, and experience. An offe