Anytime bonds are issued and backed primarily by the full faith and credit of the State of Minnesota and its taxing powers the Treasury Division keeps track of it.

Each month the Treasury Division creates a payment for the amount of principal and interest for the bonds that is due. The State's paying agent, then makes payments to the State's bondholders. The State of Minnesota currently uses Bank of New York Mellon as its paying agent bank. 

State of Minnesota bonds are callable after 10 years. This means that the State may wish to call for redemption all or a portion of the State's bonds which were issued at least 10 years ago. On the callable date the Treasury Division pays principal amounts to the bondholders, and interest ceases to accrue after the call date. The purpose is to pay off high interest bonds and reissue new bonds at lower interest rates, thereby saving the citizens of Minnesota considerable amounts of money in interest payments.

The State Legislature authorizes the issuance of all bond sales and the Commissioner of Minnesota Management & Budget by law is given the responsibility of issuing state bonds. Bonds can be purchased from banks and brokerage/investment firms. You should contact your bank or your broker.

All questions relating to bond sales and bond ratings should be directed to:

Minnesota Management & Budget
4th Floor Centennial Building
658 Cedar Street
St. Paul, MN 55155
651-201-8030