The State of Minnesota sells General Obligation Tax Exempt and Taxable Bonds, State General Fund Appropriation Bonds and certain Revenue Bonds. The proceeds from the sale of General Obligation bonds are used to pay the cost of building the capital projects that are approved by the Legislature. All Revenue Bond and State Appropriation Bond programs are authorized by the Minnesota Statutes to fund specific programs or purposes. Also, under Federal Law certain local government tax-exempt bonds must receive an allocation from the state prior to the issuance. This process is administered by the MMB-Debt Management Division.