For the purpose of paying the cost of the issuance of bonds authorized by this [chapter] and other preliminary expenses, including but not limited to expenses for engineering and surveys, plans and designs, and appraisals and the costs of services of other departments and agencies, the department of land and natural resources may make advances of such sums as may be necessary from, and as are not then otherwise required for use in, the special land and development fund, which fund shall be reimbursed for the advances upon the issuance of the revenue bonds issued to finance the reclamation project in connection with which such costs and expenses are incurred. The state director of finance may also make temporary transfers to the department for such purposes in conformity with the provisions of § 39-72.

The governor may make advances from loan funds, derived from the issuance of general obligation bonds, for public improvements authorized by § 173-1, and the advances shall be repaid from the proceeds of the revenue bonds when issued, before any other advances are reimbursed therefrom. When reimbursed the loan funds shall be available for expenditure for the public improvements the financing of which by the issuance of general obligation bonds theretofore was authorized.