Any bonds issued under the Institution Bond Act, or under any other act permitting payment of state institution bonds from income from the permanent fund and from the income and current fund of a state institution, may be refunded under the terms of resolutions adopted by the governing board of the state institution, subject to any contractual limitations involved with any outstanding bonds, claims or other obligations. The refunding is:
A. to retire and refund all, or any part, of the institution's outstanding bonds, including any interest in arrears or about to become due;
B. to reduce interest costs or effect other economies;
C. to modify or eliminate restrictive contractual limitations relating to issuance of additional bonds or to income from the permanent fund and the income and current fund of the institution; or
D. for any combination of the reasons stated in Subsections A through C of this section.