The Local Government Public Obligations Act of 1986 (codified in T.C.A. Title 9, Chapter 21) provides a "uniform and comprehensive statutory framework authorizing any local government to issue general obligation bonds and revenue bonds for public works projects, general obligation bonds for certain unfunded pension obligations, general obligation refunding bonds, revenue refunding bonds, bond anticipation notes, capital outlay notes, grant anticipation notes, tax anticipation notes, and health care revenue anticipation notes, and to authorize the destruction of bonds, notes, and coupons". T.C.A. § 9-21-102. A subsequent statute repealed most of the old authorizations for local government debt scattered throughout the code (Acts of 1988, Chapter 750).

PLEASE NOTE: The Tax Cuts and Jobs Act of 2017 repealed the provision allowing advance refunding of municipal bonds. Current refundings are still allowed.