ARTICLE 5

RELATING TO BORROWING IN ANTICIPATION OF RECEIPTS FROM TAXES

     SECTION 1. (a) The State of Rhode Island is hereby authorized to borrow during its fiscal

year ending June 30, 2022, in anticipation of receipts from taxes and other sources of such sum or

sums, at such time or times and upon such terms and conditions not inconsistent with the provisions

and limitations of Section 17 of Article VI of the constitution of Rhode Island, as the general

treasurer, with the advice of the Governor, shall deem for the best interests of the state, provided

that the amounts so borrowed shall not exceed three hundred million dollars ($300,000,000), at any

time outstanding. The state is hereby further authorized to give its promissory note or notes or

other evidences of indebtedness signed by the general treasurer and counter-signed by the secretary

of state for the payment of any sum so borrowed. Any such proceeds shall be invested by the

general treasurer until such time as they are needed. The interest income earned from such

investments shall be used to pay the interest on the promissory note or notes, or other evidences of

indebtedness, and any expense of issuing the promissory note or notes, or other evidences of

indebtedness, with the balance remaining at the end of said fiscal year, if any, shall be used toward

the payment of long-term debt service of the state, unless prohibited by federal law or regulation.

     (b) Notwithstanding any other authority to the contrary, duly authorized borrowing in

anticipation of receipts of taxes and other sources during the fiscal year ending June 30, 2022 may

be issued in the form of notes or other evidences of indebtedness of the state. In connection

therewith, the state, acting through the general treasurer, may enter into agreements with banks,

trust companies or other financial institutions within or outside the state or with the United States

government and agencies of the United States government, whether in the form of letters or lines

of credit, liquidity facilities, insurance or other support arrangements. Any notes or other evidences

of indebtedness shall be issued in such amounts and bear such terms as the general treasurer, with

the advice of the governor, shall determine, which may include provisions for prepayment at any

time with or without premium or other prepayment fee at the option of the state. Such notes may

be sold on a competitive or negotiated basis at a premium or discount, and may bear interest or not

and, if interest bearing, may bear interest at one or more fixed rates or at such rate or rates variable

from time to time as determined by such index, banking loan rate or other method specified in any

agreement relating to the notes or other evidences of indebtedness. Any such agreement may also

include such other covenants and provisions for protecting the rights, security and remedies of the

noteholders or lenders as may, in the discretion of the general treasurer, be reasonable, legal and

proper. The general treasurer may also enter into agreements with firms to facilitate the issuance

of the notes or other evidences of indebtedness, including but not limited to trustees, paying agents,

underwriters, broker-dealers or placement agents for the underwriting, placement, marketing or

remarketing of any such notes or evidences of indebtedness of the state.

     SECTION 2. This article shall take effect upon passage.