§ 16954 Pension Bond Proceeds Deposit

• •Money from selling special bonds goes into a special fund called the Pension Obligation Bond Fund.
• •This fund is only for paying off pension debts, not for anything else.
• •The rule was added in 2004 to make sure the money is used the right way.

Imagine the government sells bonds to get money, like taking a loan.

All the money from selling those bonds must go into a special piggy bank called the Pension Obligation Bond Fund. This piggy bank can only be used to pay for pension debts, like money owed to retired workers.