State Board of Administration of Florida

Bond Finance

What is the purpose of the division?

The mission of the Division of Bond Finance is to provide capital financing for state and selected local government agencies, typically by issuing tax-exempt bonds. The division issues bonds to finance critical infrastructure projects such as school construction, environmental land acquisition, transportation projects, and state facilities.

How does the division operate?

Although administratively housed within the State Board of Administration, the division is chaired by the Governor, with the Attorney General serving as the secretary of the board and the Chief Financial Officer serving as the treasurer of the board. The division administers bonding programs for the departments of Education, Transportation, Environmental Protection, and Management Services, as well as the Florida Turnpike System and the Board of Governors. 

What services does the division provide?

Specific services performed by the Division of Bond Finance include
  • issuing bonds for or on behalf of state agencies and authorities;
  • administering the volume cap allocation for private activity bonds;
  • providing an arbitrage compliance program for state bond issues;
  • providing technical assistance on new financing programs and legislative proposals;
  • maintaining a system for local government bond issuance reporting; and
  • providing coordination for continuing bond disclosure filings.

How are these activities funded?

The Division of Bond Finance does not receive an annual legislative appropriation. Instead, the division receives compensation from fees it charges to each state or local agency requesting services relating to the sale of bond issues.  Fees are charged in accordance with a fee schedule adopted by resolution of the division, as required by ss. 215.65(3) and 215.655(2), Florida Statutes.

The division's Revenue Bond Fee Unit's Fiscal Year 2018-19 operating budget, the most recent available, is shown below.

FTEs 15 
Salaries and Benefits $ 2,452,988.90
Other Personal Services  2,076,813.67
Expenses  354,696.97
Other Capital Outlay  21,000
Total Budget $ 4,905,509.54
Source: State Board of Administration.

The division's Arbitrage Compliance Unit's Fiscal Year 2018-19 operating budget, the most recent available,is shown below.

FTEs 2
Salaries and Benefits $ 375.056.12
Other Personal Services  119,962.50
Expenses  27,560.27
Other Capital Outlay  7,000
Total Budget $ 529,578.89
Source: State Board of Administration.



Debt Report. In December 2019, the Division of Bond Finance issued the 2019 Debt Report, which reviews changes in the State's debt position that occurred over the last year and provides information on other matters important to the State's credit ratings.  The report's major findings include the following.
  • Total state direct debt outstanding as of June 30, 2019, was $20.6 billion, a $400 million decrease from the prior fiscal year. Total debt has decreased by $7.6 billion over the last nine years, continuing the trend that began in 2011.
  • Annual debt service payments decreased by $307 million in Fiscal Year 2019 to $2.0 billion. The decrease reflects a refinement in how long-term Public Private Partnerships obligations are recorded.
  • Approximately $4.0 billion of debt is projected to be issued over the next ten years, primarily for transportation projects.  

COVID-19 and bond obligations. The State of Florida prepared a voluntary disclosure of impacts related to COVID-19 dated April 21, 2020. In this disclosure, the State wrote that although there will undoubtedly be material negative economic and financial consequences from COVID-19, the State believes it will make all deposits required for the full and timely payments on all of its bonds outstanding including general obligation bonds, bonds secured by specified revenue streams, and appropriation-based credits. In addition to the State of Florida voluntary disclosure mentioned above, voluntary disclosures were submitted by several other state entities, including the State University System and various transportation facilities and university housing systems.

Where can I find related OPPAGA reports?

A complete list of related OPPAGA reports is available on our website.

Where can I get more information?

Other Reports

Recent State Financial Developments, Division of Bond Finance, February 2020.

State Rating Presentation, Division of Bond Finance, June 2019. 

Websites of Interest

State of Florida Division of Bond Finance 

Monthly State Revenue Updates

What are the applicable statutes?

Articles VII and XII, Constitution of the State of Florida, and Ch. 75, (Bond Validation Act), and ss. 215.57 through 215.83 (State Bond Act), Florida Statutes.

Whom do I contact for help?

Ben Watkins, Director of Bond Finance, 850-488-4782