Methodist Hosp. of Sacramento v. Saylor

Opinion

MOSK, J.

This proceeding for writ of mandate is brought to test the constitutionality of the 1969 Health Facility Construction Loan Insurance Law. (Health & Saf. Code, ch. 4, pt. 1, div. 1.) As will appear, we conclude the law is constitutional and therefore the writ should issue.

Since 1879, article XVI, section 1, of the California Constitution has prohibited the Legislature from creating any “debt” or “liability” of the state in excess of $300,000 except by means of a bond law specifying the use of the funds passed by two-thirds of each house and approved by a majority of the voters.

At…