Sec. 223.032.  REFUNDING BONDS.  (a)  An issuer by resolution may authorize the issuance of revenue bonds to refund:
(1)  outstanding bonds or other evidences of indebtedness that have been issued to provide a hospital project;  or
(2)  outstanding obligations, mortgages, or advances issued, made, or given by a nonprofit organization for the cost of a hospital project.
(b)  The amounts refunded may include the principal of and any redemption premium for the bonds or other evidences of indebtedness, and any interest accruing to the date of redemption.
(c)  The bonds or other evidences of indebtedness to be refunded need not have been issued under this chapter and need not have been originally issued by the issuer of the refunding bonds.
(d)  This subchapter governs the issuance of refunding bonds, the maturities and other details of the bonds, the rights of the bondholders, and rights, duties, and obligations of the refunding bond issuer.
(e)  The issuer may issue the refunding bonds in exchange or substitution for outstanding bonds or other evidences of indebtedness or may sell the refunding bonds and use the proceeds for paying or redeeming outstanding bonds or other evidences of indebtedness.
Acts 1989, 71st Leg., ch. 678, Sec. 1, eff. Sept. 1, 1989.