Financing of construction and renovation

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  1. (a)

    1. (1) To finance the construction of the laboratory and renovation of the building, the State Board of Health may enter into a loan from the Arkansas Development Finance Authority in the principal amount of not more than twenty-six million dollars ($26,000,000) under the Arkansas Development Finance Authority Act, § 15-5-101 et seq., § 15-5-201 et seq., and § 15-5-301 et seq.

    2. (2) The amount and purpose of the loan shall be approved by the board in an authorizing resolution, copies of which shall be maintained in the records of the board and of the authority.

  2. (b) The loan shall bear interest at a rate determined by the rate of interest on funds borrowed by the authority to fund the loan but not to exceed the lesser of ten percent (10%) per annum or the maximum rate of interest permitted by the Arkansas Constitution.

  3. (c) The loan shall mature over a period of not more than thirty (30) years.

  4. (d) The board and the Secretary of the Department of Health may execute and deliver agreements, instruments, and other undertakings and writings and take such action as may be appropriate to evidence the loan and the security for the loan and to carry out this subchapter.


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