WILLIAM DONALD SCHAEFER, Governor Ch. 416

(3) the Economic Development Opportunities Program Fund; AND

(4) THE CATASTROPHIC EVENT FUND.

7-317.

(A) IN THIS SECTION, "FUND" MEANS THE "CATASTROPHIC EVENT
FUND".

(B) SUBJECT TO THE PROVISIONS OF THIS SECTION, THE FUND IS
ESTABLISHED TO ENABLE THE STATE TO RESPOND WITHOUT UNDUE
DELAY TO A NATURAL DISASTER OR OTHER CATASTROPHIC SITUATION
THAT CANNOT BE TAKEN CARE OF WITHIN THE RESOURCES OF
EXISTING APPROPRIATIONS.

(C) THE GOVERNOR MAY PROVIDE AN APPROPRIATION IN THE
BUDGET BILL TO THE FUND.

(D) AFTER NOTICE TO AND APPROVAL BY THE LEGISLATIVE
POLICY COMMITTEE, THE GOVERNOR MAY TRANSFER FUNDS BY
BUDGET AMENDMENT FROM THE FUND TO THE EXPENDITURE
ACCOUNTS OF THE APPROPRIATE UNIT OF STATE GOVERNMENT.

(E) FUNDS APPROPRIATED TO THE CATASTROPHIC EVENT FUND:

(1) MAY NOT BE USED TO OFFSET OPERATING DEFICIENCIES
IN REGULAR PROGRAMS OF STATE GOVERNMENT; BUT

(2) MAY BE EXPENDED TO ASSIST A UNIT OF STATE
GOVERNMENT IN FUNDING COSTS IN CONNECTION WITH A NATURAL
DISASTER OR CATASTROPHIC SITUATION.

(F) (1) THE FUND IS A CONTINUING, NONLAPSING FUND WHICH IS
NOT SUBJECT TO SECTION 7-302 OF THIS SUBTITLE.

(2) THE TREASURER SHALL SEPARATELY HOLD, AND THE
COMPTROLLER SHALL ACCOUNT FOR, THE FUND.

(3) THE FUND SHALL BE INVESTED AND REINVESTED IN THE
SAME MANNER AS OTHER STATE FUNDS.

(4) ANY INVESTMENT EARNING SHALL BE SUBJECT TO
SECTION 7-311(D) OF THIS SUBTITLE.

(G) MONEYS APPROPRIATED TO THE FUND DO NOT REVERT TO
THE REVENUE STABILIZATION ACCOUNT.

(H) BEFORE JANUARY 1 OF EACH YEAR, THE DEPARTMENT OF
BUDGET AND FISCAL PLANNING SHALL REPORT TO THE GOVERNOR
AND TO THE PRESIDENT OF THE SENATE, THE SPEAKER OF THE HOUSE
OF DELEGATES, THE CHAIRMEN OF THE BUDGET COMMITTEES, AND
THE DEPARTMENT OF FISCAL SERVICES THE FINANCIAL STATUS OF THE

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