Arkansas Code § 6-81-119 - Refunding Obligations

(a) Obligations may be issued for refunding, either at maturity or in advance of maturity, any obligations issued under this subchapter.

(b) (1) The refunding obligations may be sold or delivered in exchange for the obligations being refunded.

(2) If sold, the proceeds may be applied to the payment of the obligations being refunded or deposited into trust and there be maintained in cash or investments for the retirement of the obligations being refunded, as specified by the Arkansas Student Loan Authority and the authorizing resolution or trust indenture securing the refunding obligations.

(3) The authorizing resolution or trust indenture securing the refunding obligations may provide that the refunding obligations shall have the same security for payment as provided for the obligations being refunded.

(c) Refunding obligations shall be sold and secured in the manner as provided for the sale and security of the obligations under this subchapter.

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Last modified: November 15, 2016