This law explains how bonds issued by a board should be managed. The bonds must start being paid back no later than 10 years after they are issued and must be fully repaid within 50 years. The board can split the bond issue into multiple series, each with its own start and end dates for repayment, as long as each series follows the 10-year and 50-year rules for maturity and final payoff dates.

This section explains that when bonds are issued, the board decides their value (denomination). The bonds will specify the date and location where they need to be paid back, and the interest rate which will be paid every six months.

This section explains that before any bonds are issued and sold, the board can decide to call (or buy back) any or all of those bonds on an interest payment date, before they are due. The buyback price can't be more than the bond's value plus up to 5% of the bond's principal as a premium, and this price has to be clearly stated on the bond itself. A notice about this redemption must be published in a local newspaper for three weeks before the redemption date, starting at least 30 days in advance. Once the bond is redeemed, it stops earning interest.

This law section explains how bonds are to be signed and authorized. The president or another designated officer and the treasurer must sign the bonds, with an additional countersignature from the secretary. Coupons must be signed by the treasurer and can be printed or engraved. Even if an officer who signed the bonds or coupons leaves their position before the bonds are delivered, their signature still counts as valid.