AMENDMENT 396 RATIFIED

Payment by State of Expenses Incurred by Alabama Housing Finance Authority.

Any provision of the Constitution of Alabama of 1901 or amendments thereto to the contrary notwithstanding, the legislature may from time to time by law provide for the payment by the state of Alabama of expenses incurred by the Alabama Housing Finance Authority (organized pursuant to the provisions of Act No. 80-585 enacted at the 1980 Regular Session of the legislature) in the exercise of the powers granted to it by law, including, but without limitation, expenses incurred by the Alabama Housing Finance Authority in the issuance of its bonds and the utilization of the proceeds therefrom to make or acquire mortgage loans to private persons, firms or corporations that are secured by mortgages on single or multi-family residential property located in the state. The legislature may appropriate moneys from any available source for the direct payment of such expenses or it may authorize the transfer of moneys to the Alabama Housing Finance Authority to be used for that purpose. Notwithstanding the payment by the state, either directly or indirectly, in any manner authorized herein, of the expenses incurred by the Alabama Housing Finance Authority, no bonds or others evidences of indebtedness issued by the Alabama Housing Finance Authority shall be deemed to constitute an indebtedness of the state within the meaning of any constitutional or statutory provision whatsoever, nor shall any action taken by the Alabama Housing Finance Authority be deemed to constitute a lending of money or credit by the state to any individual, association, or corporation, or a participation by the state in works of internal improvement, within the meaning of Section 93 of the Constitution of Alabama of 1901, as amended.

This amendment shall have no force and effect after December 31, 1983, and shall not constitute a part of the Constitution of Alabama of 1901 after such date, but the expiration thereof on such date shall not be considered by any court as a reason for holding unconstitutional any law which would have been constitutional without the adoption of this amendment.