Senate Bill 1392 and House Bill 1403 authorize 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. The bill allows for the issuance of bond anticipation notes to cover costs until the bonds are sold, with provisions ensuring that the bonds and notes are exempt from state and local taxation, except for inheritance, transfer, and estate taxes. The funding board is also empowered to allocate proceeds for capital outlay and maintenance for higher education institutions.

The bill includes provisions for the funding board to manage the issuance and sale of the bonds, ensuring that the full faith and credit of the state is pledged for their repayment. It stipulates that no bonds can be issued until the General Assembly appropriates sufficient funds for the first year's principal and interest obligations. Additionally, the act emphasizes compliance with civil rights laws and includes a severability clause to maintain the validity of the remaining provisions if any part of the act is found invalid.