The South Dakota Conservancy District is hereby authorized to issue bonds for pipelines or aqueducts pursuant to § 46A-1-72 in an amount not to exceed five hundred million dollars. However, no single pipeline or aqueduct project may exceed an amount of seventy–five million dollars. The district may enter into a financing agreement to loan the proceeds of the bonds as authorized by law. The financing agreement shall provide for repayment of the loan through payments sufficient to pay the principal of, premium, if any, and interest on the bonds. The loan shall be secured by contracts for the delivery and sale of water and such additional security as is necessary for repayment and to market the bonds. The bonds do not constitute an indebtedness of the state and do not constitute nor give rise to a pecuniary or moral liability of the state or a charge against its general credit or taxing powers. No tax revenues of the state, its people, or any of its political subdivisions may be in any manner obligated to pay for any portion of the construction or financing of the pipeline or aqueduct.

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Source: SL 1981 (2d SS), ch 2, § 3; SDCL Supp, § 46-17A-3.6; SL 2004, ch 274, § 2.