(a) Anything contained in this act to the contrary notwithstanding, the aggregate principal amount of notes and bonds, exclusive of funding bonds and refunding bonds, which may be issued pursuant to the provisions of this act shall not exceed five hundred million dollars ($500,000,000).

(b) All notes and bonds issued in accordance with the provisions of this act shall be direct obligations of the Commonwealth of Pennsylvania, and the faith and credit of the Commonwealth are hereby pledged for the payment of the interest thereon as the same shall become due and the payment of the principal thereof at maturity. All notes and bonds issued under the provisions of this act shall be exempt from taxation for State and local purposes. The principal of and interest on such notes and bonds shall be payable in lawful money of the United States of America.