J. MILLARD TAWES, GOVERNOR                           1535

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 subtitle 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 percentum per annum, be in such denomi-
nation or denominations, be in such form either with or without
coupon or registered, carry such conversion or registration privi-
leges, 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 lo-
cated and in such other medium of publication as the municipality
may determine or may be exchanged for other bonds on the basis
of par: Provided, that such bonds may be sold to the Federal Govern-
ment 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 sub-
title 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 subtitle shall be fully negotiable.

(5)   In any suit, action or proceeding involving the validity or
enforcement of any bond issued under this subtitle 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 subtitle.

(6)   All banks, trust companies, bankers, savings banks and in-
stitutions, building and loan associations, savings and loan associa-
tions, investment companies and other persons carrying on a bank-
ing or investment business; all insurance companies, insurance as-
sociations, and other persons carrying on an insurance business; and