A. Prior to issuing bonds to finance a housing project, a local school board shall furnish to the state board [department] the following information:
(1) a detailed description of the housing project;
(2) an explanation of the necessity for the housing project;
(3) an estimate of the total cost of the housing project;
(4) an estimate of the net income from the housing project and other revenues that will be pledged to pay for the housing project; and
(5) an estimate of the yearly operating cost of the housing project.
B. A local school board shall obtain written approval of the state board [department] before it issues bonds to finance a housing project pursuant to the Teacher Housing Revenue Bond Act.
C. Prior to giving written approval to a housing project, the state board [department] shall determine that the housing project is necessary and that estimated pledgeable revenue pledged to the bonds is sufficient to repay the bonds.