Ch. 330 LAWS OF MARYLAND

RATES CONSISTENT WITH ITS PROVIDING DECENT, SAFE, AND SANITARY
DWELLING ACCOMMODATIONS AND MEETING THE FINANCIAL NEEDS
DESCRIBED IN SUBSECTION (B) OF THIS SECTION, AND THAT NO
AUTHORITY SHALL OPERATE FOR PROFIT, OR AS A SOURCE OF
REVENUE TO THE LOCAL JURISDICTION.

(B) AN AUTHORITY SHALL FIX THE RENTS FOR DWELLINGS IN ITS
HOUSING PROJECTS AT NO HIGHER RATES THAN IT SHALL FIND TO BE
NECESSARY IN ORDER TO PRODUCE REVENUES WHICH TOGETHER WITH
ALL OTHER AVAILABLE MONEYS, REVENUES, INCOME, AND RECEIPTS
OF THE AUTHORITY FROM WHATEVER SOURCES DERIVED WILL BE
SUFFICIENT TO DO THE FOLLOWING:

(1) TO PAY, AS THE SAME BECOME DUE, THE PRINCIPAL AND
INTEREST ON THE BONDS AND OTHER OBLIGATIONS OF THE
AUTHORITY;

(2) TO MEET THE COST OF, AND TO PROVIDE FOR,
MAINTAINING AND OPERATING THE HOUSING PROJECTS (INCLUDING
THE COST OF ANY INSURANCE) AND THE ADMINISTRATIVE EXPENSES
OF THE AUTHORITY;

(3) TO . CREATE (DURING NOT LESS THAN THE 6 YEARS
IMMEDIATELY SUCCEEDING ITS ISSUANCE OF ANY BONDS) A RESERVE
SUFFICIENT TO MEET THE LARGEST PRINCIPAL AND INTEREST
PAYMENTS WHICH WILL BE DUE ON SUCH BONDS IN ANY 1 YEAR
THEREAFTER AND TO MAINTAIN SUCH RESERVE;

(4) TO CREATE RESERVES FOR OPERATIONS, EMERGENCIES,
RENOVATIONS, REPLACEMENTS, OR THE REPAYMENT OF
INDEBTEDNESS; AND

(5) TO OTHERWISE CREATE FUNDS NECESSARY OR
DESIRABLE FOR SUBSIDIZING RENTS, DEVELOPING OR OPERATING
HOUSING PROJECTS, OR OPERATING OR PROVIDING SERVICES LOCATED
IN OR WHICH BENEFIT THE RESIDENTS OF HOUSING PROJECTS.

1-402.

(A) IN THE OPERATION OR MANAGEMENT OF HOUSING PROJECTS
AN AUTHORITY SHALL AT ALL TIMES OBSERVE THE FOLLOWING
REQUIREMENTS WITH RESPECT TO RENTALS AND TENANT SELECTION:

(1) AN AUTHORITY MAY RENT THE DWELLING
ACCOMMODATIONS IN A HOUSING PROJECT ONLY TO PERSONS OF
ELIGIBLE INCOME, EXCEPT FOR A REASONABLE NUMBER OF UNITS
WHICH MAY BE OCCUPIED BY MANAGEMENT AND SECURITY
PERSONNEL;

(2) DWELLING ACCOMMODATIONS MAY BE RENTED ONLY AT

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