(a) This section applies only to bonds approved in an election held before May 31, 1991.
(b) Except as provided by Subsection (c) and notwithstanding any legal defect in the incurrence, issuance, or assumption of the obligation or indebtedness, the board may issue and sell bonds in the name and on the faith and credit of the district to refund or fund and retire any outstanding obligation or other indebtedness the district has incurred, issued, or assumed.
(c) The board may not use the power granted by this section to convert Farmers Home Administration bonds to tax bonds.