Michigan § 259.125a - Interest rate exchange or agreement.
Full text of Michigan Michigan Compiled Laws § 259.125a — Interest rate exchange or agreement., with citation guidance and answers to common questions.
§ 259.125a. Interest rate exchange or agreement.
For the purpose of more effectively managing its debt service, an authority may enter into an interest rate exchange or swap, hedge, or similar agreement or agreements in connection with the issuance or proposed issuance of obligations or other evidences of indebtedness or in connection with its then outstanding obligations or other evidences of indebtedness.
In connection with entering into an interest rate exchange or swap, hedge, or similar agreement, the authority may create a reserve fund for the payment thereof.
An agreement entered into pursuant to this section shall comply with all of the following:
The agreement is not a debt of the authority entering into the agreement for any statutory or charter debt limitation purpose.
The agreement is payable from general funds of the authority or, subject to any existing contracts, from any available money or revenue sources, including revenues that shall be specified by the agreement, securing the obligation or evidence of indebtedness in connection with the agreement.
Source: official Michigan text · Last verified 2026-08-27
Frequently Asked Questions About Michigan § 259.125a
What does Michigan Compiled Laws § 259.125a cover?
Section 259.125a ("Interest rate exchange or agreement.") is part of the Michigan Compiled Laws, the codified statutory law of Michigan. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.
How do I cite Michigan § 259.125a?
A common citation format is "Michigan Compiled Laws § 259.125a" (Michigan). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.
Is this the official text of Michigan law?
No. This page is for research and education and may not include the most recent amendments. For official current law, check the Michigan official source linked on this page or consult a licensed Michigan attorney.
How does Michigan § 259.125a apply to my situation?
Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Michigan can advise on how this section applies to you. Contact your state or local bar association for a referral.
Sources & Verification
Not legal advice. Verify against the official source and consult a licensed attorney in Michigan.