It is enacted by the General Assembly as follows:

SECTION 1. The state of Rhode Island is hereby authorized to borrow in anticipation of receipts from taxes 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 said state, provided that the amounts so borrowed shall not exceed in any fiscal year one hundred fifty million dollars ($150,000,000) and said state is hereby further authorized to give its promissory note or notes signed by the general treasurer and counter-signed by the secretary of state for the payment of any sum so borrowed. These proceeds if any shall be invested by the general treasurer until such time as they are needed. Provided that this is not prohibited by federal loan or regulation, the interest income earned from such investments shall be used to pay the interest on the promissory note or notes, and any expense of issuing the promissory note or notes, with the balance remaining at the end of any fiscal year, if any, to be used toward the payment of long term debt service of the state.

SECTION 2. This act shall take effect July 1, 1995.