Idaho Code § 33-1121
The board of trustees of any school district may issue negotiable bonds for the purpose of refunding any outstanding bonded indebtedness of the district pursuant to the provisions of chapter 5, title 57 , Idaho Code, subject to the following additional provisions:
(3) In the case of refunding bonds issued in advance of the date of calling and redeeming such outstanding bonds, the net interest cost of the refunding bonds shall not exceed the net interest cost of the bonds to be refunded.
"Net interest cost" of a proposed issue of refunding bonds is defined as the total amount of interest to accrue on said refunding bonds from their date to their respective maturities, plus the total amount of premiums payable to the holders of said outstanding bonds as a condition to their redemption, less the amount of any premium above their par value at which said refunding bonds are being or have been sold. "Net interest cost" of an outstanding issue, or issues, to be refunded is defined as the total amount of interest which would accrue on said outstanding bonds from the date of the proposed refunding bonds to the respective maturity dates of said outstanding bonds to be refunded. In all cases the net interest cost shall be computed without regard to any option of redemption prior to the designated maturities.
[33-1121, added 1965, ch. 224, sec. 1, p. 512; am. 2005, ch. 392, sec. 1, p. 1317; am. 2013, ch. 183, sec. 7, p. 439.]