If the State of Nevada must purchase or otherwise acquire property, or compensate for damage to property, for use in the transmission and distribution of water or electrical power, the faith and credit of the State of Nevada hereby is irrevocably pledged for the performance and observance of all covenants, conditions, limitations, promises and undertakings made or specified to be kept, observed or fulfilled on the part of the State, in any contract entered into before, on or after July 1, 1981, pursuant to NRS 538.161 and 538.186.