The bill grants the town of South Kingstown the authority to issue bonds up to $125 million for the purpose of constructing and renovating school facilities, including a new high school. The bonds may be serial or term bonds, with principal payments starting within five years and ending within thirty years from the date of issuance. The bill clarifies that the appreciation of principal is considered interest, which impacts the calculation of debt limits. It also allows for the town to receive state financial assistance for school housing, with the authorized borrowing amount being reduced by any grants received. The town council has the power to set the terms of the bonds or notes, and proceeds are to be used for school-related projects, with the town council and school building committee overseeing the execution.

The bill outlines the procedures for issuing bonds and temporary notes, including refunding conditions and limitations on outstanding amounts. Temporary notes may be refunded, but cannot exceed 200% of the bond amount. The town director of finance can use town funds for project costs, to be repaid from bond proceeds or other funds. Obligations are exempt from certain debt limits, and the town must annually appropriate funds for debt service, with all taxable property subject to taxation for these payments. The bill also allows the town to apply for federal or state assistance, with federal laws taking precedence over state laws in case of conflict. The validity of the bonds and notes is independent of the projects they finance. The authority to issue bonds and notes will expire after seven years if not utilized, and the act requires approval by the town's electorate. The bill also stipulates that the borrowing amount will be adjusted based on actual state grants received, and sections 14 and 15 of the act are effective immediately upon passage, while the rest is contingent on voter approval.