The State Building Authority (SBA) was organized under P.A. 183 of 1964, as amended. The purpose of the Authority is to acquire, construct, furnish, equip, renovate, buildings and equipment for the use of the State, including public universities and community colleges. It is governed by a 5-member Board of Trustees appointed by the governor, with advice and consent of the Senate.
The Authority is authorized to issue and sell bonds and notes for acquisition and construction of facilities and State equipment in an aggregate principal amount outstanding not to exceed $2.7 billion. Not included in this limitation are bonds allocated for debt service reserves, bond issue expenses, bond discounts, bond insurance premiums and certain refunding bonds.
All bonds and commercial paper notes are limited obligations of the Authority and are not general obligations of the State or Authority. The debt service on the bonds are payable from lease revenue paid by the State pursuant to the provisions of the leases.