1488                             Laws of Maryland                        [Ch. 827

banking institution of this State having trust powers and may make
in such indenture of trust such covenants and commitments as may
be required by any purchaser for the adequate security of said bonds.

(1) Bonds issued under this section shall not constitute an indebted-
ness within the meaning of any constitutional or statutory debt
limitation or restriction, shall not be subject to the provisions of any
other law or charter relating to the authorization, issuance or sale
of bonds, and are hereby specifically exempted from the restrictions
contained in Sections 9, 10 and 11 of Article 31 of the Annotated
Code of Maryland, 1957 Edition, as amended. Bonds issued under
the provisions of this Article are declared to be issued for an
essential public and governmental purpose and, together with interest
thereon and income therefrom, shall be exempted from all taxes.

(2)  Bonds issued under this section shall be authorized by resolu-
tion or ordinance of the legislative body of the municipality and may
be issued in one or more series and shall bear such date or dates,
shall mature at such time or times, bear interest at such rate or
rates, not exceeding six per centum per annum, be in such denomina-
tion or denominations, be in such form either with or without coupon
or registered, carry such conversion or registration privileges, have
such rank or priority, be executed in such manner, be payable in such
medium or payment, at such place or places, and be subject to such
terms of redemption (with or without premium), be secured in such
manner, and have such other characteristics, as may be provided by
such resolution or trust indenture or mortgage issued pursuant
thereto.

(3) Such bonds may be sold at not less than par at public sales held
after notice published prior to such sale in a newspaper having a
general circulation in the area in which the municipality is located
and in such other medium of publication as the municipality may de-
termine or may be exchanged for other bonds on the basis of par:
provided, that such bonds may be sold to the Federal Government at
private sale at not less than par, and, in the event less than all of
the authorized principal amount of such bonds is sold to the Federal
Government, the balance may be sold at private sale at not less than
par at an interest cost to the municipality of not to exceed the interest
cost to the municipality of the portion of the bonds sold to the Federal
Government.

(4) In case any of the public officials of the municipality whose
signatures appear on any bonds or coupons issued under this Article
shall cease to be such officials before the delivery of such bond or,
in the event any such officials shall have become such after the date
of issue thereof, said bonds shall nevertheless be valid and binding
obligations of said municipality in accordance with their terms.
Any provision of any law to the contrary notwithstanding, any bonds
issued pursuant to this Article shall be fully negotiable.

(5) In any suit, action or proceeding involving the validity or en-
forceability of any bond issued under this Article or the security
therefor, any such bond reciting in substance that it has been issued
by the municipality in connection with an urban renewal project,
as herein defined, shall be conclusively deemed to have been issued for
such purpose and such project shall be conclusively deemed to have
been planned, located and carried out in accordance with the pro-
visions of this Article.