Senate Bill 1392 authorizes the state of Tennessee to issue and sell up to $30 million in general obligation bonds to fund various projects, including the acquisition of equipment and sites, construction and improvement of buildings, and infrastructure development such as highways and bridges. The bill allows for the issuance of bond anticipation notes to cover costs associated with the bonds, and it stipulates that the proceeds from these bonds will be allocated to the Tennessee higher education commission for capital outlay and maintenance of higher education institutions. The funding board is also empowered to manage the sale and issuance of these bonds, ensuring compliance with existing laws and regulations.

Additionally, the bill includes provisions for the bonds and notes to be exempt from state and local taxation, except for inheritance, transfer, and estate taxes. It mandates that no bonds will be issued until the General Assembly appropriates sufficient funds to cover the first year's principal and interest obligations. The act emphasizes compliance with civil rights laws and includes a severability clause to ensure that if any part of the act is deemed invalid, the remaining provisions will still be enforceable.