The state may contract debts not exceeding five
hundred million dollars for the purpose of providing
moneys for acquisition of rights-of-way and for construction
and reconstruction of highways on the state
highway system and urban extensions thereof. The
principal amount of any part of such debt at any time
contracted shall be paid at such time or times and in
such amounts as shall be fixed by the Commissioners
of the Sinking Fund provided that the entire debt shall
be discharged not later than the year 1989. The bonds
or other obligations evidencing the debt authorized by
this section shall bear interest and shall be sold upon
such terms as may be prescribed by law. Both the
principal of such debt and the interest thereon shall
be exempt from taxation within this state. Moneys
raised under the authority of this section shall be expended
only to provide adequate highways, including
engineering and the acquisition of rights-of-way and
including participation therein with the federal government, municipal corporations, counties and other
legally authorized participants. All construction shall
be done by contract as shall be provided by law. No
part of such proceeds shall be appropriated except to
meet the requirements of programs or schedules or acquisition
of rights-of-way, highway construction and
reconstruction which the governor, or other highway
authority designated by law, with the concurrence of
the governor, shall submit to the General Assembly
before such appropriations are made. Such appropriations
shall be made only for major thoroughfares of
the state highway system and urban extensions thereof.
The debt contracted under the authority of this section
shall be evidenced by bonds or other obligations
issued by the state of Ohio as provided by law. The
faith and credit of the state are hereby pledged for the
payment thereof and the interest thereon. Such bonds
or other obligations shall be paid from moneys derived
from fees, excises, or license taxes, levied by the state
of Ohio, relating to registration, operation, or use of
vehicles on public highways, or to fuels used for propelling
such vehicles, and a sufficient amount thereof,
after provision for the amounts required by Article
VIII, Section 2c of the Constitution of the State of
Ohio for obligations issued pursuant to that section,
is hereby appropriated in each year for the purpose
of paying the interest on the outstanding debt and the
principal of such debt contracted under authority of
this section becoming due in that year, without other
appropriations, but according to regulations to be established
by law. Provision may be made by law for
the transfer and the use of any amount of such moneys
in excess of that required, in any year, for the payment
of interest on and the principal of such debt contracted
under authority of this section and said section 2c.
Structure Ohio constitution