§ 26281 Bond Refunding Authority

Public Utilities Code·California

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Key Takeaways

•The board can decide to pay back old debt early if most of them agree it’s a good idea.
•They can pay back all or just part of the debt.
•If they decide to do this, they can issue new bonds to cover the old debt.

Example

Imagine your school has a big loan for a new playground. The school board votes and decides it’s cheaper to pay it back early and take out a new loan with better terms.

The board can do this if at least two-thirds of them agree. They can pay back the whole loan or just part of it, and then get a new loan to cover what’s left.

AI-generated — May contain errors. Not legal advice. Always verify source.

Official Source

View on CA.gov

§ 26281 Bond Refunding Authority

Whenever the board by resolution passed by a vote of two-thirds of all its members determines that the refunding of the whole or any portion of the bonded indebtedness will be of advantage to the district the board may refund the bonded indebtedness or any portion thereof and issue refunding bonds of the district therefor. (Added by Stats. 1955, Ch. 1036.)

Last verified: January 23, 2026

Key Terms

bonded indebtedness refunding bonds two-thirds vote

References

Official text at leginfo.legislature.ca.gov
California Legislature. Public Utilities Code. Section 26281.

Key Takeaways

Example

Key Terms

Related Statutes

References

Key Takeaways

Example

Key Terms

Related Statutes

References