(a)
(1) The Arkansas Development Finance Authority may issue bonds for the purpose of refunding bonds previously issued pursuant to this subchapter or the Arkansas College Savings Bond Act of 1989, § 6-62-701 et seq.
(2) To the extent that the refunding bonds are issued to refund State of Arkansas Higher Education General Obligation Bonds issued under this subchapter and the principal amount of the refunding bonds is not in a greater principal amount than the outstanding principal amount of the bonds being refunded, the principal amount of the refunding bonds shall not be subject to the two-hundred-fifty-million-dollar limit in § 6-62-1105.
(b) The refunding bonds shall be general obligations of the State of Arkansas, secured as set forth in this subchapter, and secured and sold in accordance with the provisions of this subchapter.
(c) The proceeds of the refunding bonds may be either applied to the payment of the bonds being refunded or deposited in trust and there maintained in cash or investments for the retirement of the bonds refunded, as shall be specified by the authority and the authorizing resolution or trust indenture. The principal amount of the bonds refunded after payment and defeasance shall not be deemed outstanding for purposes of this subchapter.
(d)
(1) The authorizing resolution or trust indenture securing the refunding bonds may provide, if the bonds being refunded were issued under this subchapter, that the refunding bonds shall have the same security for their payment as provided for the bonds being refunded.
(2) Refunding bonds shall be sold and secured in accordance with the provisions of this subchapter pertaining to the sale and security of the bonds.
(3) Other than approval of the resolution or trust indenture under which refunding bonds are issued by appropriate action of the authority, no additional action or approval for the issuance of refunding bonds shall be required to be taken by the Arkansas Higher Education Coordinating Board or the Chief Fiscal Officer of the State under this subchapter or as otherwise may be provided by other law.