Senate Bill 2692 authorizes the state of Tennessee to issue and sell general obligation bonds and bond anticipation notes totaling up to $438 million. The funds raised will be allocated for various purposes, including the acquisition of equipment and sites, construction and improvement of buildings, highway construction, and bridge repair. Specifically, $311 million is designated for the Department of Finance and Administration, while $127 million is allocated to the Department of Transportation. The bill also allows for the issuance of additional bonds to cover costs associated with discounts and issuance.

The bill stipulates that the bonds will be exempt from state and local taxes, except for inheritance, transfer, and estate taxes. It requires that no bonds be issued until the General Assembly has appropriated sufficient funds for the first year's principal and interest obligations. Additionally, the bonds may be designated as "college savings bonds" under existing legislation. The act emphasizes compliance with civil rights laws and includes a severability clause to ensure that if any provision is found invalid, the remaining provisions will still be enforceable.