[§304A-2685]  Refunding revenue bonds;
authorization and purpose.  (a)  The board, without further
authorization or approval of the legislature, but with the approval of the
governor, may provide for the issuance of revenue bonds (herein referred to as
refunding bonds) for the purpose of refunding, redeeming, or retiring at or at
any time before maturity or at any time before the first date upon which the
outstanding revenue bonds to be refunded may be called for redemption, any
revenue bonds issued under this subpart, including any revenue bonds that the
holders may consent to be paid or refunded even though the revenue bonds are
not matured or are not callable or redeemable, and for the purpose of funding
indebtedness not evidenced by revenue bonds but that was incurred for purposes
for which revenue bonds may be issued pursuant to this subpart.  The rate of
interest borne by the refunding bonds shall not be affected or limited by the
rate of interest borne by the revenue bonds to be refunded or the indebtedness
to be funded.



All provisions of this subpart applicable to
the issuance of revenue bonds shall be complied with in the issuance of
refunding bonds.  Refunding bonds shall be sold as provided in section
304A-2674, or the board may provide for the exchange of refunding bonds for a
like principal amount of outstanding revenue bonds for the refunding of which
the issuance of the refunding bonds has been authorized, whether or not the
interest rate on the refunding bonds is higher than the interest rate on the
bonds refunded.



(b)  Refunding bonds may be issued in a
principal amount sufficient to provide funds for the payment of all revenue
bonds or indebtedness to be funded or refunded, and for the payment of all
expenses paid or incurred in connection with the calling, redeeming, retiring,
or paying of indebtedness or outstanding revenue bonds, and the issuance of
refunding bonds.  The expenses may include the amount necessary for the payment
of interest upon the indebtedness to be funded or the revenue bonds to be
refunded to the maturity or redemption date thereof, the amount necessary for
the payment of interest upon the refunding bonds from the date of delivery
thereof to the date upon which the principal of the outstanding revenue bonds
to be refunded will be paid whether at maturity or pursuant to a call for
redemption thereof, or pursuant to agreement with the holders thereof, plus in
any case the amount of any premium required to be paid to call or retire the
revenue bonds. [L 2007, c 161, pt of §1]