PRIOR PRINTER'S NO. 2111 PRINTER'S NO. 2135
No. 1432 Session of 1984
INTRODUCED BY JUBELIRER, ZEMPRELLI, MOORE, SCANLON, HOPPER,
HOWARD, KRATZER, LINCOLN, LLOYD, LOEPER, LYNCH, MELLOW,
MUSTO, O'CONNELL, O'PAKE, ANDREZESKI, BODACK, CORMAN, FISHER,
HANKINS, HELFRICK, HESS, REIBMAN, RHOADES, ROCKS, ROMANELLI,
ROSS, SHAFFER, SHUMAKER, SINGEL, STAPLETON, STOUT, STREET,
WILLIAMS, WILT AND HAGER, JUNE 15, 1984
AS AMENDED ON SECOND CONSIDERATION, JUNE 19, 1984
AN ACT
1 Implementing the provisions of the referendum, approved by the
2 electors, for the incurrence of indebtedness of $190,000,000
3 for the economic redevelopment of the Commonwealth through
4 grants and loans, LOANS, LOAN GUARANTEES AND INVESTMENTS for <--
5 industrial and business development, including small business
6 and minority business development, training and retraining <--
7 programs including the acquisition of computer equipment for
8 local school districts and teacher training in the use of
9 such equipment, economic development in distressed areas and
10 job creation programs.; ACQUISITION OF EQUIPMENT FOR <--
11 VOCATIONAL PROGRAMS IN SECONDARY SCHOOLS, COMMUNITY COLLEGES
12 AND ENGINEERING DEGREE-GRANTING SCHOOLS; AGRICULTURAL
13 DEVELOPMENT; AND THE ACQUISITION, REHABILITATION OR
14 DEVELOPMENT OF FACILITIES FOR COMMUNITY SERVICES AND PUBLIC
15 RECREATION.
16 TABLE OF CONTENTS
17 Section 1. Short title.
18 Section 2. Legislative findings and declaration of purpose.
19 Section 3. Pennsylvania Economic Revitalization Fund.
20 Section 4. Borrowing authorized.
21 Section 5. Sale of bonds.
22 Section 6. Temporary financing authorization.
1 Section 7. Debt retirement.
2 Section 8. Disposition and use of proceeds.
3 Section 9. Repeals.
4 Section 10. Effective date.
5 The General Assembly of the Commonwealth of Pennsylvania
6 hereby enacts as follows:
7 Section 1. Short title.
8 This act shall be known and may be cited as the Pennsylvania
9 Economic Revitalization Act.
10 Section 2. Legislative findings and declaration of purpose.
11 (a) Industrial and business development.--The General
12 Assembly finds that pursuant to the provisions of section
13 7(a)(3) of Article VIII of the Constitution of Pennsylvania, the
14 voters of the Commonwealth approved by referendum of April 10,
15 1984, the incurring of indebtedness of $190,000,000 to promote
16 economic redevelopment throughout Pennsylvania through job
17 producing programs; grants and loans for industrial and small
18 business development; acquisition of equipment for vocational
19 programs in secondary schools, community colleges and
20 engineering degree-granting schools; agricultural development;
21 and the acquisition, rehabilitation or development of facilities
22 for community services and public recreation purposes, by
23 providing for grants and loans, LOANS, LOAN GUARANTEES AND <--
24 INVESTMENTS to promote the economic redevelopment of the
25 Commonwealth and to implement the approved referendum.
26 (b) Purpose of act.--It is the purpose of this act to
27 implement section 5 of the act of February 24, 1984 (P.L.99,
28 No.19), entitled "An act authorizing the indebtedness, with the
29 approval of the electors, of $190,000,000 to promote economic
30 redevelopment throughout Pennsylvania through job producing
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1 programs; grants and loans for industrial and small business
2 development; acquisition of equipment for vocational programs in
3 secondary schools, community colleges and engineering degree-
4 granting schools; agricultural development; and the acquisition,
5 rehabilitation or development of facilities for community
6 services and public recreation purposes," by providing for
7 grants and loans, LOANS, LOAN GUARANTEES AND INVESTMENTS to <--
8 promote the economic redevelopment of the Commonwealth and to
9 implement the approved referendum.
10 Section 3. Pennsylvania Economic Revitalization Fund.
11 (a) Creation.--There is hereby created a special fund in the
12 State Treasury to be known as the Pennsylvania Economic
13 Revitalization Fund dedicated to the purposes specified in the
14 act of February 24, 1984 (P.L.99, No.19), entitled "An act
15 authorizing the indebtedness, with the approval of the electors,
16 of $190,000,000 to promote economic redevelopment throughout
17 Pennsylvania through job producing programs; grants and loans
18 for industrial and small business development; acquisition of
19 equipment for vocational programs in secondary schools,
20 community colleges and engineering degree-granting schools;
21 agricultural development; and the acquisition, rehabilitation or
22 development of facilities for community services and public
23 recreation purposes," and as the General Assembly shall, by law,
24 provide.
25 (b) Operation of fund.--The Pennsylvania Economic
26 Revitalization Fund shall be the fund from which all moneys are
27 appropriated to carry out the purposes specified in AUTHORIZED <--
28 IN THE REFERENDUM PURSUANT TO the act of February 24, 1984
29 (P.L.99, No.19), and such other purposes as the General Assembly <--
30 shall, by law, provide. Any moneys repaid to the Commonwealth
19840S1432B2135 - 3 -
1 from programs funded through the Pennsylvania Economic
2 Revitalization Fund shall be deposited in a restricted receipt
3 account and shall remain in such account until the General
4 Assembly, by law, provides for their utilization and
5 expenditure. All funds FUNDS required after enactment of this <--
6 act to retire bonds issued as the result of the act of February <--
7 24, 1984 (P.L.99, No.19), PURSUANT TO THIS ACT shall be <--
8 appropriated from the General Fund.
9 Section 4. Borrowing authorized.
10 (a) Authority to borrow.--Pursuant to the provisions of
11 section 7(a)(3) of Article VIII of the Constitution of
12 Pennsylvania and the referendum approved by the electorate, the
13 issuing officials are authorized and directed to borrow, on the
14 credit of the Commonwealth, money not exceeding in the aggregate
15 the sum of $190,000,000 not including money borrowed to refund
16 outstanding bonds, notes or replacement notes, as may be found
17 necessary to carry out the purposes of this act.
18 (b) Issuance of general obligation bonds.--As evidence of
19 the indebtedness authorized in this act, general obligation
20 bonds of the Commonwealth shall be issued, from time to time, to
21 provide moneys necessary to carry out the purposes of this act
22 for such total amounts, in such form, in such denominations and
23 subject to such terms and conditions of issue, redemption and
24 maturity, rate of interest and time of payment of interest as
25 the issuing officials direct, except that the latest stated
26 maturity date shall not exceed 30 years from the date of the
27 first obligation issued to evidence the debt.
28 (c) Execution of bonds.--All bonds and notes issued under
29 the authority of this act shall bear facsimile signatures of the
30 issuing officials and a facsimile of the Great Seal of the
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1 Commonwealth and shall be countersigned by a duly authorized
2 officer of a duly authorized loan and transfer agent of the
3 Commonwealth.
4 (d) Direct obligation of Commonwealth.--All bonds and notes
5 issued in accordance with the provisions of this section shall
6 be direct obligations of the Commonwealth and the full faith and
7 credit of the Commonwealth are hereby pledged for the payment of
8 the interest thereon, as it becomes due, and the payment of the
9 principal at maturity. The principal of and interest on the
10 bonds and notes shall be payable in lawful money of the United
11 States.
12 (e) Exemption from taxation.--All bonds and notes issued
13 under the provisions of this section shall be exempt from
14 taxation for State and local purposes except as may be provided
15 under Article XVI of the act of March 4, 1971 (P.L.6, No.2),
16 known as the Tax Reform Code of 1971.
17 (f) Form of bonds.--The bonds may be issued as coupon bonds
18 or registered as to both principal and interest as the issuing
19 officials may determine. If interest coupons are attached, they
20 shall contain the facsimile signature of the State Treasurer.
21 (g) Bond amortization.--The issuing officials shall provide
22 for the amortization of the bonds in substantial and regular
23 amounts over the term of the debt. The fist SO THAT THE BONDS OF <--
24 EACH ISSUE ALLOCATED TO THE PROGRAMS TO BE FUNDED FROM THE BOND
25 ISSUE SHALL MATURE WITHIN A PERIOD NOT TO EXCEED THE APPROPRIATE
26 AMORTIZATION PERIOD FOR EACH PROGRAM AS SPECIFIED BY THE ISSUING
27 OFFICIALS BUT IN NO CASE IN EXCESS OF 20 YEARS. THE FIRST
28 retirement of principal shall be stated to mature prior to the
29 expiration of a period of time equal to one-tenth of the time
30 from the date of the first obligation issued to evidence the
19840S1432B2135 - 5 -
1 debt to the date of the expiration of the term of the debt.
2 Retirements of principal shall be regular and substantial if
3 made in annual or semiannual amounts whether by stated serial
4 maturities or by mandatory sinking fund retirements.
5 (h) Refunding bonds.--The issuing officials are authorized
6 to provide, by resolution, for the issuance of refunding bonds
7 for the purpose of refunding any debt issued under the
8 provisions of this act and then outstanding, either by voluntary
9 exchange with the holders of the outstanding debt or to provide
10 funds to redeem and retire the outstanding debt with accrued
11 interest, and ANY premium payable thereon and the costs of <--
12 issuance and retirement of the debt, at maturity or at any call
13 date. The issuance of the refunding bonds, the maturities and
14 other details thereof, the rights of the holders thereof and the
15 duties of the issuing officials in respect to the same shall be
16 governed by the provisions of this section, insofar as they may
17 be applicable. Refunding bonds, which are not subject to the
18 aggregate limitation of $190,000,000 of debt to be issued
19 pursuant to this act, may be issued by the issuing officials to
20 refund debt originally issued or to refund bonds previously
21 issued for refunding purposes.
22 (i) Quorum.--Whenever any action is to be taken or decision
23 made by the Governor, the Auditor General and the State
24 Treasurer acting as issuing officials and the three officers are
25 not able unanimously to agree, the action or decision of the
26 Governor and either the Auditor General or the State Treasurer
27 shall be binding and final.
28 (J) ISSUING OFFICIALS.--ISSUING OFFICIALS SHALL MEAN THE <--
29 GOVERNOR, THE AUDITOR GENERAL AND THE STATE TREASURER.
30 Section 5. Sale of bonds.
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1 (a) Public sale.--Whenever bonds are issued, they shall be
2 offered for sale at not less than 98% of the principal amount
3 and accrued interest and shall be sold by the issuing officials
4 to the highest and best bidder or bidders after due public
5 advertisement on the terms and conditions and upon the SUCH open <--
6 competitive bidding as the issuing officials shall direct. The
7 manner and character of the advertisement and the time of
8 advertising shall be prescribed by the issuing officials. No
9 commission shall be allowed or paid for the sale of any bonds
10 issued under the authority of this act.
11 (b) Private sale.--Any portion of any bond issue so offered
12 and not sold or subscribed for at public sale may be disposed of
13 by private sale by the issuing officials in such manner and at
14 such prices, not less than 98% of the principal amount and
15 accrued interest, as the Governor shall direct. No commission
16 shall be allowed or paid for the sale of any bonds issued under
17 the authority of this act.
18 (c) Bond series.--When bonds are issued from time to time,
19 the bonds of each issue shall constitute a separate series to be
20 designated by the issuing officials or may be combined for sale
21 as one series with other general obligation bonds of the
22 Commonwealth.
23 (d) Temporary bonds.--Until permanent bonds can be prepared,
24 the issuing officials may in their discretion issue, in lieu of
25 permanent bonds, temporary bonds in such form and with such
26 privileges as to registration and exchange for permanent bonds
27 as may be determined by the issuing officials.
28 (e) Investment of funds.--Pending their application to the
29 purposes authorized, moneys held or deposited by the State
30 Treasurer may be invested or reinvested as are other funds in
19840S1432B2135 - 7 -
1 the custody of the State Treasurer in the manner provided by
2 law. All earnings received from the investment or deposit of
3 such funds shall be paid into the State Treasury to the credit
4 of the Pennsylvania Economic Revitalization SINKING Fund. Such <--
5 earnings in excess of bond discounts allowed and expenses paid
6 for the issuance of bonds and notes shall be transferred
7 annually to the Pennsylvania Economic Revitalization Sinking
8 Fund.
9 (f) Registration of bonds.--The Auditor General shall
10 prepare the necessary registry book to be kept in the office of
11 the duly authorized loan and transfer agent of the Commonwealth
12 for the registration of any bonds, at the request of owners
13 thereof, according to the terms and conditions of issue directed
14 by the issuing officials.
15 (g) Expenses of preparation for issue and sale of bonds and
16 notes.--There is hereby appropriated to the State Treasurer from
17 the proceeds of the bonds and notes issued as much money as may
18 be necessary for all costs and expenses in connection with the
19 issue of and sale and registration of the bonds and notes in
20 connection with this act.
21 Section 6. Temporary financing authorization.
22 (a) Authority.--Pending the issuance of bonds of the
23 Commonwealth as authorized, the issuing officials are hereby
24 authorized in accordance with the provisions of this act and on
25 the credit of the Commonwealth to make temporary borrowings not
26 to exceed three years in anticipation to the issue of bonds in
27 order to provide funds in such amounts as may from time to time
28 be deemed advisable prior to the issue of bonds. In order to
29 provide for and in connection with such temporary borrowings,
30 the issuing officials are hereby authorized in the name and on
19840S1432B2135 - 8 -
1 behalf of the Commonwealth to enter into any purchase, loan or
2 credit agreement, or agreements, or other agreement or
3 agreements with any banks or trust companies or other lending
4 institutions, investment banking firms or persons in the United
5 States having power to enter into the same, which agreements may
6 contain such provisions, not inconsistent with the provisions of
7 this act as may be authorized by the issuing officials.
8 (b) Evidence of temporary borrowings.--All temporary
9 borrowings made under the authorization of this section shall be
10 evidenced by notes of the Commonwealth, which shall be issued
11 from time to time for such amounts not exceeding in the
12 aggregate the applicable statutory and constitutional debt
13 limitation, in such form and in such denominations, and subject
14 to terms and condition of sale and issue, prepayment or
15 redemption and maturity, rate or rates of interest, and time of
16 payment of interest as the issuing officials shall authorize and
17 direct and in accordance with this act. Such authorization and
18 direction may provide for the subsequent issuance of replacement
19 notes, to refund outstanding notes or replacement notes which
20 replacement notes shall upon issuance thereof, evidence such
21 borrowing, and may specify such other terms and conditions with
22 respect to the notes and replacement notes thereby authorized
23 for issuance as the issuing officials may determine and direct.
24 (c) Other agreements.--When the authorization and direction
25 of the issuing officials provide for the issuance of replacement
26 notes, the issuing officials are hereby authorized in the name
27 and on behalf of the Commonwealth to issue, enter into, or
28 authorize and direct the State Treasurer to enter into
29 agreements with any banks, trust companies, investment banking
30 firms or other institutions or persons in the United States
19840S1432B2135 - 9 -
1 having the power to enter the same:
2 (1) To purchase or underwrite an issue or series of
3 issues of notes.
4 (2) To credit, to enter into any purchase, loan or
5 credit agreements, draw moneys pursuant to any such
6 agreements on the terms and conditions set forth therein, and
7 to issue notes as evidence of borrowings made under any such
8 agreements.
9 (3) To appoint as issuing and paying agent or agents
10 with respect to notes.
11 (4) To do such other acts as may be necessary or
12 appropriate to provide for the payment when due, of the
13 interest on and the principal of such notes.
14 Such agreements may provide for the compensation of any
15 purchasers or underwriters of notes or replacement notes, by
16 discounting the purchase price of the notes or by payment of a
17 fixed fee or commission at the time of issuance thereof, and all
18 other costs and expenses, including fees for agreements related
19 to the notes, issuing and paying agent costs and costs and
20 expenses of issuance may be paid from the proceeds of the notes.
21 (d) Duty of State Treasurer.--When the authorization and
22 direction of the issuing officials provide for the issuance of
23 replacement notes, the State Treasurer shall, at or prior to the
24 time of delivery of these notes or replacement notes, determine
25 the principal amounts, dates of issue, interest rate or rates
26 (or procedures for establishing such rates from time to time),
27 rates of discount, denominations and all other terms and
28 conditions relating to the issuance and shall perform all acts
29 and things necessary to pay or cause to be paid when due, all
30 principal of and interest on the notes being refunded by
19840S1432B2135 - 10 -
1 replacement notes, and to assure that the same may draw upon any
2 moneys available for the THAT purpose pursuant to any purchase, <--
3 loan or credit agreements established with respect thereto, all
4 subject to the authorization and direction of the issuing
5 officials.
6 (e) Funding and retirement.--Outstanding notes evidencing
7 such borrowings may be funded and retired by the issuance and
8 sale of the bonds of the Commonwealth as hereinafter authorized.
9 The refunding bonds must be issued and sold not later than a
10 date three years after the date of issuance of the first notes
11 evidencing such borrowings to the extent that payment of such
12 notes has not otherwise been made or provided for by sources
13 other than proceeds of replacement notes.
14 (f) Proceeds.--The proceeds of all such temporary borrowing
15 shall be paid to the State Treasurer to be held and disposed of
16 in accordance with the provisions of section 7.
17 Section 7. Debt retirement.
18 (a) Pennsylvania Economic Revitalization Sinking Fund.--All
19 bonds issued under the authority of this act shall be redeemed
20 at maturity and, TOGETHER WITH all interest due, from time to <--
21 time, on the bonds AND THESE PRINCIPAL AND INTEREST PAYMENTS <--
22 shall be paid from the Pennsylvania Economic Revitalization
23 Sinking Fund which is hereby created. For the specific purpose
24 of redeeming the bonds at maturity and paying all interest
25 thereon in accordance with the information received from the
26 Governor, the General Assembly shall appropriate moneys to the
27 Pennsylvania Economic Revitalization Sinking Fund for the
28 payment of interest on the bonds and notes and the principal
29 thereof at maturity. All moneys paid into the Pennsylvania
30 Economic Revitalization Sinking Fund and all of the moneys not
19840S1432B2135 - 11 -
1 necessary to pay accruing interest shall be invested by the
2 State Treasurer in such securities as are provided by law for
3 the investment of the sinking funds of the Commonwealth.
4 (b) Purchase of bonds.--In the event that all or any part of
5 the bonds and notes are purchased, they shall be canceled and
6 returned to the loan and transfer agent as canceled and paid
7 bonds and notes and thereafter all payments of interest thereon
8 shall cease and the canceled bonds, notes and coupons together
9 with any other canceled bonds, notes and coupons shall be
10 destroyed as promptly as possible after cancellation but not
11 later than two years after cancellation. A certificate
12 evidencing the destruction of the canceled bonds, notes and
13 coupons shall be provided by the loan and transfer agent to the
14 issuing officials. All canceled bonds, notes and coupons shall
15 be so marked as to make the canceled bonds, notes and coupons
16 nonnegotiable.
17 (c) Reporting requirements.--The State Treasurer shall
18 determine and report to the Secretary of the Budget by November
19 of each year the amount of money necessary for the payment of
20 interest on outstanding obligations and the principal of the
21 obligations, if any, for the following fiscal year and the times
22 and amounts of the payments. It shall be the duty of the
23 Governor to include in every budget submitted to the General
24 Assembly full information relating to the issuance of bonds and
25 notes under the provisions of this act and the status of the
26 Pennsylvania Economic Revitalization Sinking Fund of the
27 Commonwealth for the payment of interest on the bonds and notes
28 and the principal thereof at maturity.
29 (d) Debt service appropriations.--The General Assembly shall
30 appropriate an amount equal to such sums as may be necessary to
19840S1432B2135 - 12 -
1 meet repayment obligations for principal and interest for
2 deposit into the Pennsylvania Economic Revitalization Sinking
3 Fund.
4 (e) Interest rate on loans.--Except for the Pennsylvania <--
5 Capital Loan Fund, the rate of interest on any loan made
6 pursuant to this act be less than the rate of interest paid by
7 the Commonwealth on the general obligation bonds or notes issued
8 pursuant to this act from which funds were obtained for the loan
9 except when that rate of interest would exceed the maximum
10 permissible rate of interest under the Internal Revenue Code of
11 1954 and the regulations promulgated thereunder so as to cause
12 the general obligation bonds issued pursuant to this act to be
13 deemed arbitrage bonds pursuant to section 103(c) of the
14 Internal Revenue Code of 1954 and the regulation promulgated
15 thereunder. In such case, the rate of interest on a loan shall
16 be equal to the maximum rate of interest calculable under the
17 Internal Revenue Code of 1954 and regulations promulgated
18 thereunder which will not cause the general obligation bonds and
19 notes issued pursuant to this act to be deemed arbitrage bonds
20 under the provisions of section 103(c) of the Internal Revenue
21 Code of 1954 and all regulations promulgated thereunder. In the
22 case of loans initially funded from the proceeds of notes and
23 subsequently funded from renewal bonds and notes, the interest
24 rate to be charged on the loans shall be established in
25 accordance with this subsection upon the sale of bonds or notes,
26 as the case may be, for the loans.
27 (E) INTEREST RATE ON LOANS.--EXCEPT AS OTHERWISE PROVIDED BY <--
28 LAW, THE RATE OF INTEREST ON ANY LOAN MADE USING FUNDS
29 APPROPRIATED FROM THE PENNSYLVANIA ECONOMIC REVITALIZATION FUND
30 SHALL NOT BE LESS THAN THE RATE OF INTEREST PAID BY THE
19840S1432B2135 - 13 -
1 COMMONWEALTH ON THE GENERAL OBLIGATION BONDS OR NOTES ISSUED
2 PURSUANT TO THIS ACT THAT, NOTWITHSTANDING THE PROVISIONS OF ANY
3 OTHER LAW TO THE CONTRARY, THE INTEREST RATE CHARGED SHALL NOT
4 BE SET SUCH THAT THE AGGREGATE OF THE INTEREST, PENALTIES AND
5 OTHER PAYMENTS TO THE COMMONWEALTH ON LOANS AND OTHER ASSISTANCE
6 MADE USING FUNDS APPROPRIATED FROM THE PENNSYLVANIA ECONOMIC
7 REVITALIZATION FUND WILL CAUSE THE GENERAL OBLIGATION BONDS
8 ISSUED PURSUANT TO THIS ACT TO BE DEEMED ARBITRAGE BONDS
9 PURSUANT TO SECTION 103(C) OF THE INTERNAL REVENUE CODE OF 1954
10 AND THE REGULATION PROMULGATED THEREUNDER. IN THE CASE OF LOANS
11 INITIALLY FUNDED FROM THE PROCEEDS OF NOTES AND SUBSEQUENTLY
12 FUNDED FROM RENEWAL BONDS AND NOTES, THE INTEREST RATE TO BE
13 CHARGED ON THE LOANS SHALL BE ESTABLISHED IN ACCORDANCE WITH
14 THIS SUBSECTION UPON THE SALE OF BONDS OR NOTES, AS THE CASE MAY
15 BE, FOR THE LOANS. IT IS THE INTENTION OF THE GENERAL ASSEMBLY
16 THAT THE PENALTIES ASSESSED FOR BREACH OF PROGRAM CONDITIONS
17 IMPOSED UPON BORROWERS SHALL NOT BE TREATED AS INTEREST INCOME
18 FOR PURPOSES OF SECTION 103(C) OF THE INTERNAL REVENUE CODE OF
19 1954.
20 Section 8. Disposition and use of proceeds.
21 (a) Deposit of sale proceeds.--The proceeds realized from
22 the sale of bonds and notes, under this act, other than
23 refunding bonds and replacement notes, shall be paid to the
24 State Treasurer and deposited into the Pennsylvania Economic
25 Revitalization Fund and are specifically dedicated to the
26 purposes enumerated in the act of February 24, 1984 (P.L.99,
27 No.19), known as "An act authorizing the indebtedness, with the
28 approval of the electors, of $190,000,000 to promote economic
29 redevelopment throughout Pennsylvania through job producing
30 programs; grants and loans for industrial and small business
19840S1432B2135 - 14 -
1 development; acquisition of equipment for vocational programs in
2 secondary schools, community colleges and engineering degree-
3 granting schools; agricultural development; and the acquisition,
4 rehabilitation or development of facilities for community
5 services and public recreation purposes," and as the General
6 Assembly shall, by law, provide.
7 (b) Other funds.--All non-Federal funds which may become
8 available for the purposes of this act shall be deposited in the
9 Pennsylvania Economic Revitalization Fund. Such funds, together <--
10 with the proceeds realized from the sale of bonds and notes, are
11 hereby appropriated from the Pennsylvania Economic
12 Revitalization Fund and, upon approval by the Governor, shall be
13 allocated for the purposes of this act.
14 (c) Proceeds of refunding or replacement bonds or notes.--
15 The proceeds of the sale of refunding bonds and replacement
16 notes are hereby appropriated to the State Treasurer and shall
17 be applied SOLELY to the payment of principal of, the accrued <--
18 interest and premium, if any, and costs of redemption of the
19 bonds and notes for which such obligations have been issued.
20 Section 9. Repeals.
21 All acts and parts of acts are repealed insofar as they are
22 inconsistent with this act.
23 Section 10. Effective date.
24 This act shall take effect immediately.
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