OBM's Debt Management Function
Section 126.11 of the Ohio Revised Code sets forth OBM's role and responsibilities with respect to managing existing state debt and proposed issuances of new state debt. For proposed sales of new state debt, OBM must review and approve each sale including the amount, security, source of payment, structure and maturity schedule. OBM is also charged with reviewing and commenting on the resolution or order authorizing the sale and the preliminary and final official statements. Following each sale, issuers are to provide OBM with a final transcript of documents relating to the sale including the final debt service schedules, prices and yields.
OBM is also charged with developing and distributing a coordinated bond sale schedule for certain state bond issuing authorities. The coordinated bond sale calendar is published monthly and includes projected sales over the next six months for the following issuers: i) Ohio Public Facilities Commission; ii) Treasurer of State; iii) Ohio Housing Finance Agency; iv) Ohio Water Development Authority; v) Ohio Turnpike Authority, and vi) Petroleum Underground Storage Tanks Release Compensation Board.
OBM also serves as the provider of official disclosure information relating to state debt, state budgeting and finances, certain economic and demographic information, and other information required under federal continuing disclosure regulations. This is accomplished through submission of an annual information report (including accompanying annual financial reports) and the submission of timely reports of the occurrence of any specified material events. Copies of the state's annual disclosures and material event notices are available through the Electronic Municipal Market Access (EMMA) system. EMMA has been designated as the official source of municipal disclosure by the Municipal Securities Rulemaking Board (MSRB). In addition, OBM has engaged Digital Assurance Certification, LLC (DAC) to serve as the state's primary Disclosure Dissemination Agent. The DAC Web site www.dacbond.com also gives investors access to the state's official statements and state disclosure.
With respect to the state's biennial operating budget, OBM establishes and monitors debt service appropriation line items within various agency budgets to ensure that all necessary debt service payment authorizations and associated administrative expenses are included in each budget bill. OBM also models and projects the affordable size of future capital bills within the constraint of the Constitutional 5% limitation on debt service and reviews and approves release of funds requests from state capital appropriations.