Subject to the conditions and limitations contained in this subchapter, any school district may borrow and the State Board of Education may lend moneys in the Revolving Loan Fund for any of the following purposes:
(1) The funding of its legally issued and outstanding postdated warrants;
(2) The purchase of new or used school buses or the refurbishing of school buses;
(3) The payment of premiums on insurance policies covering its school buildings, facilities, and equipment in instances in which the insurance coverage extends three (3) years or longer;
(4) The replacement of or payment of the school district's pro rata part of the expense of employing professional appraisers as authorized by § 26-26-601 et seq. [repealed] or other laws providing for the appraisal or reappraisal and assessment of property for ad valorem tax purposes;
(5) The making of major repairs and the construction of additions to existing school buildings and facilities;
(6) The purchase of surplus buildings and equipment;
(7) The purchase of sites for and the cost of construction thereon of school buildings and facilities and the purchase of equipment for the buildings;
(8) The purchase of its legally issued and outstanding commercial bonds at a discount provided that a substantial savings in gross interest charges can be thus effected;
(9) The refunding of all or any part of its legally issued and outstanding debt, both funded and unfunded;
(10) The purchase of equipment;
(11) The payment on loans secured for settlement resulting from litigation against a school district;
(12) The purchase of energy conservation measures as defined in § 6-20-401;
(13) The maintenance and operation of the school district in an amount equal to delinquent property taxes resulting from bankruptcies or receiverships of taxpayers; and
(14)
(A) Loans to school districts in an amount equal to insured facility loss or damage when the insurance claim is being litigated or arbitrated.
(B) For purposes of this subdivision (14), the loans become payable and due when the final settlement is made, and the loan limits prescribed by § 6-20-803 shall not apply.
Structure Arkansas Code
Subtitle 2 - Elementary and Secondary Education Generally
Subchapter 8 - Revolving Loan Program — General Provisions
§ 6-20-801. Continuance of Revolving Loan Fund
§ 6-20-803. Loans to local school districts
§ 6-20-804. Application for loan
§ 6-20-805. Approval, partial approval, or disapproval of loans
§ 6-20-806. Revolving loan bonds and certificates of indebtedness
§ 6-20-807. Pledge to secure payment of obligation
§ 6-20-808. Pledge of ad valorem tax levy — Duty of county officers
§ 6-20-809. Loans secured by district sources other than ad valorem tax levy
§ 6-20-810. Certificate of approval — Instrument negotiable
§ 6-20-811. Delivery of obligations — Drawing and receipt of warrant — Use of funds
§ 6-20-812. Interest and payments of principal deposited into State Treasury
§ 6-20-813. Principal and interest charge against revenues of school district
§ 6-20-814. Default or threatened default
§ 6-20-815. Refunding obligations