The state of Alabama is authorized to become indebted for building, construction and improvement purposes at The Alabama Polytechnic Institute at Auburn, and in evidence of the indebtedness so incurred to sell and issue, in addition to all other bonds of the state, interest bearing general obligation bonds of the state not exceeding four million five hundred thousand dollars ($4,500,000) in principal amount. The bonds shall be general obligations of the state of Alabama and the full faith and credit and taxing power of the state are hereby pledged to the prompt and faithful payment of the principal of the bonds and the interest thereon. The proceeds from the sale of any such bonds shall, after payment of the expenses of their issuance, be set apart in a special fund in the state treasury to be designated "The Alabama Polytechnic Institute Building Bond Fund"; and such proceeds shall be used exclusively for the construction, reconstruction, alteration, and improvement of college building facilities, including the acquisition of sites and equipment for such facilities, for use by the School of Agriculture, the Agricultural Experiment Station, and the School of Veterinary Medicine of The Alabama Polytechnic Institute at Auburn; provided, that the plans and specifications for any building constructed with money from said special fund shall be approved by the Alabama building commission or any agency designated by the legislature as its successor.
The board of trustees of The Alabama Polytechnic Institute is hereby vested with full authority, except as limited herein, to provide the terms of the bonds and to provide for the sale and issuance thereof. The bonds may be sold, executed and delivered at any time and from time to time, may be in such forms, denominations, series and numbers, may be of such tenor and maturities, may bear such date or dates, may be in registered or bearer form either as to principal or interest or both with rights of conversion into another form, may be payable in such installments and at such place or places, may bear interest at such rate or rates payable and evidenced in such manner, and may contain provisions for redemption at the option of the state to be exercised by said board at such date or dates prior to their maturity and upon payment of such redemption price or prices, all as shall be provided by the said board in the resolution or resolutions whereunder the bonds are issued. The principal of each series of bonds shall mature in annual installments in such amounts as shall be specified in the resolution or resolutions of the said board under which they are issued, the first of which installments shall mature not later than one year after the date of the bonds of such series and the last of which installments shall mature not later than twenty years after the date of the bonds of the same series. When each series of bonds is issued, the maturities of the bonds of that series shall, to such extent as may be practicable, be so arranged that during each then succeeding fiscal year of the state the aggregate installments of principal and interest that will mature on all bonds that will be outstanding hereunder, immediately following the issuance of the bonds of that series, will be substantially equal; provided, that the determination by the said board that the requirements of this sentence have been complied with shall be conclusive of such compliance and the purchasers of the bonds with respect to which such determination is made and all subsequent holders thereof shall be fully protected by such determination. None of the bonds shall be sold for less than face value plus accrued interest thereon to the date of delivery, and all of the bonds shall be sold only at public sale or sales, either on sealed bids or at public auction, after such advertisement as may be prescribed by the said board, to the bidder whose bid reflects the lowest net interest cost to the state computed to the respective maturities of the bonds sold; provided, that if no bid deemed acceptable by the said board is received all bids may be rejected.
The bonds shall be signed in the name of the state by the governor and countersigned by the president pro tempore of the board of trustees of The Alabama Polytechnic Institute, and the great seal of the state of Alabama or a facsimile thereof shall be impressed, printed or otherwise reproduced thereon and shall be attested by the signature of the secretary of state; provided, that facsimile signatures of any one or any two (but not all) of said officers may be reproduced on any of such bonds in lieu of being manually signed thereon. Coupons attached to the bonds and representing installments of interest thereon shall be signed with the facsimile signature of the state treasurer, which facsimile signature shall constitute due and sufficient authentication of said coupons.
All bonds issued under the provisions of this amendment, together with the interest income thereon, shall forever be exempt from taxation in this state.
The provisions of this amendment shall be self-executing and authorization from or other action of the legislature shall not be a prerequisite to the issuance of bonds hereunder.