Senate Bill 1392 authorizes the state of Tennessee to issue and sell up to $30 million in general obligation bonds to fund various infrastructure projects, including the acquisition and construction of buildings, highways, and bridges, as well as grants to local governments and industrial development corporations. The bill allows the funding board to sell bonds in increments not exceeding 2.5% of the total authorized amount to cover costs associated with issuance. The proceeds from these bonds are designated for the Tennessee higher education commission to support capital outlay and maintenance for higher education institutions.

Additionally, the bill includes provisions for the issuance of bond anticipation notes, which can be sold prior to the issuance of the definitive bonds. These notes will also be exempt from state and local taxes, except for inheritance, transfer, and estate taxes. The act ensures that no bonds will be issued until the General Assembly appropriates sufficient funds to cover the first year's principal and interest obligations. The bill emphasizes compliance with civil rights laws and includes a severability clause to maintain the validity of the remaining provisions if any part is found invalid.