(a) The authority may borrow money temporarily for current purposes or for capital purposes as described in the following section and may issue and from time to time refund its notes therefor. Notes issued for current purposes may not be refunded beyond one year from the date of their original issue and notes issued for capital purposes may not be refunded beyond five years from the date of their original issue.
(b) Notes may not be issued hereunder for current purposes if the amount of such notes outstanding immediately after such issue would exceed the current expenses of the authority for the then current fiscal year as estimated by the authority. For this purpose, the current expenses of the authority shall be deemed to include debt service on its bonds. In the event the then current fiscal year is less than twelve months by reason of a change of fiscal years, the foregoing limitation may be based upon the current expenses of the following fiscal year as estimated by the authority.
(c) The foregoing limitation shall not apply to the issue of refunding notes. When original notes are issued for current purposes, refunding notes shall be included in the computation of the limitation, but notes which have been refunded shall not be included.
(d) Notes may be issued for capital purposes in anticipation of federal or state aid as estimated by the authority and refunded from time to time as provided in this section without being subject to the limitation set forth in the following section. The issue of other notes for capital purposes shall be subject to the limitation. (P.L. 1969, Ch. 110, § 10.)