(a)
(1) The public school districts of this state are authorized to accept interest-free loans from agencies of the United States government if incurring the indebtedness is approved by the State Board of Education.
(2) The state board shall not grant its approval unless it is satisfied that the projected revenues and expenses of the school district during the duration of the loan indicate that the school district will be able to retire the debt.
(b) Furthermore, all such loans accepted by public school districts before June 12, 1987, are ratified and declared valid.
Structure Arkansas Code
Subtitle 2 - Elementary and Secondary Education Generally
Subchapter 4 - District Finances
§ 6-20-403. Authority to draw warrants — Countersignature
§ 6-20-404. Issuance of warrants to pay school bonds — Description of indebtedness
§ 6-20-405. Energy savings contract — Definitions
§ 6-20-410. School fiscal year
§ 6-20-411. Interest-free loans from federal agencies
§ 6-20-412. Nonrecurring salary payments
§ 6-20-414. Public-public partnerships — Definition