Pennsylvania Statutes Title 72 P.S. Taxation and Fiscal Affairs § 3964. Limitation on use of proceeds

The proceeds from the sale of bonds under the provisions of this act shall be used only for the redemption or retirement of bonds of “Series ‘D’ Loan of the Commonwealth of Pennsylvania” called as provided in section one of this act.  1  The refunding bonds so issued shall not continue any debt of the Commonwealth, represented by the called bonds, beyond the maturity date of such called bonds, and shall in no manner increase the debt of the Commonwealth as existing at the time such refunding bonds are sold or exchanged.  The intent of the Legislature in authorizing this issue of refunding bonds is to lessen the interest charges payable by the Commonwealth on such outstanding bonds, and not to increase the debt of the Commonwealth, nor to extend the date for the final redemption of such debt beyond the date specified in the bonds called.