Ark. Code Ann. § 20-48-508: Issuance of refunding bonds

(a) Bonds may be issued pursuant to this subchapter for the purpose of refunding any issue of bonds theretofore issued under the provisions of this subchapter.

(b) When refunding bonds are issued, the refunding bonds may either be sold or delivered in exchange for the bonds being refunded. If sold, the proceeds may be either applied to the payment of the bonds being refunded or deposited in escrow for the retirement thereof.

(c) All refunding bonds issued under this section shall in all respects be authorized, issued, and secured in the manner provided for other bonds issued under this subchapter and shall have all the attributes of such bonds.

(d) The resolution under which the refunding bonds are issued may provide that any of the refunding bonds shall have the same priority of lien on the charges pledged for their payment as was enjoyed by the bonds refunded thereby.