Section 55588 Of Article 3. Refunding Bonds From California Water Code >> Division 16. >> Part 4. >> Chapter 2. >> Article 3.

. Refunding bonds may be exchanged at par value for any outstanding bonds to be refunded at their par value or less, upon such terms as may be agreed upon by the board and the holders of such bonds, subject to adjustment of accrued interest to the date of exchange. Any moneys required for the adjustment of interest may be paid from any funds of the district.