Bond Issues - As introduced, authorizes the state, acting by resolution of its funding board, to issue and sell its bonds and bond anticipation notes for certain purposes. -

HB 1403 authorizes Tennessee to issue up to $30 million in state bonds for specific capital projects. It allows the state funding board to sell bonds to fund equipment, building construction (including existing structures), highway projects, bridge repairs, and grants to local governments or industrial development corporations. Proceeds must be allocated to Tennessee's higher education institutions for capital improvements, with up to 2.5% of the total for bond issuance costs. The bonds are direct state obligations backed by the state's taxing power, and funds can only be spent on projects explicitly authorized by the bill.