(a) (1) All bonds issued under this subchapter shall be authorized by resolution of the Arkansas Natural Resources Commission.
(2) Each resolution shall contain terms, covenants, and conditions as deemed desirable, including, without limitation, those pertaining to:
(A) The establishment and maintenance of funds and accounts;
(B) The deposit and investment of revenues and of bond proceeds; and
(C) The rights and obligations of the state, its officers and officials, the commission, and the holders and the registered owners of the bonds.
(3) All bonds issued under this subchapter shall be on a parity as to security.
(4) (A) The resolution of the commission may provide for the execution and delivery by the commission of a trust indenture or trust indentures with a bank or banks located within or without the state, containing any of the terms, covenants, and conditions referred to in subdivision (a)(2) of this section.
(B) The trust indenture or trust indentures shall be binding upon the state and its officers and officials to the extent set forth in this subchapter.
(b) Any resolution or trust indenture adopted or executed under this section shall provide that power is reserved:
(1) To apply to the payment of debt service on the bonds issued or secured thereunder all or any part of the revenues derived from any project financed by such bonds; and
(2) To the extent of the revenues referred to in subdivision (b)(1) of this section, to release from any requirement of the resolution or trust indenture other revenues and resources of the state, including, without limitation, the general revenues for allocation required to be transferred under ยง 15-22-616.
(c) The commission shall endeavor to select projects for financing and development under this subchapter which offer reasonable and realistic prospects of the production of revenues, whether by sales of water to municipalities or other public bodies, sales of water to industry, or otherwise.
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