The state, and all state institutions,
departments and agencies of the state are prohibited from entering into any contract, except
contracts pertaining to guaranteed revenue debt, with any public agency, public corporation,
authority, or similar entity if such contract is intended to constitute security for bonds or
other obligations issued by any such public agency, public corporation, or authority and, in
the event any contract between the state, or any state institution, department or agency of the
state and any public agency, public corporation, authority or similar entity, or any revenues
from any such contract, is pledged or assigned as security for the repayment of bonds or
other obligations, then and in either such event, the appropriation or expenditure of any funds
of the state for the payment of obligations under any such contract shall likewise be
prohibited.