J. MILLARD TAWES, GOVERNOR                              679

Section 1. Be it enacted by the General Assembly of Maryland,
That the County Commissioners of Dorchester County be and they
are authorized and empowered to borrow at one time or from time
to time, upon the faith and credit of Dorchester County, and to issue
and sell at one time or from time to time its bonds therefor a sum
or sums of money not to exceed One Million Dollars ($1,000,000.00)
at a net average interest rate not in excess of five per centum (5%)
per annum for the entire issue, for the purpose of erecting new
school buildings, purchasing land for new school buildings, payment
of architect's and other professional fees in connection therewith,
alteration or repair of existing school buildings and equipping of
school buildings in Dorchester County, or for matching Federal
funds for such purposes. Such bonds shall be designated "Dorchester
County School Improvement Bonds of 1961", and shall be of such
denomination or denominations and of such type or form, of such
periods of maturity, not exceeding twenty eight (28) TWENTY-
FIVE (25) years, and their average net interest rate not in excess
of five per centum (5%) per annum for the entire issue, all as the
County Commissioners of Dorchester County may deem advisable,
and the proceeds of such sale or sales shall be spent in accordance
with the provisions hereof.

Sec. 2. And be it further enacted. That the County Commissioners
aforesaid hereby are authorized to borrow, under the provisions of
this Act, AND SUBJECT TO THE PROVISIONS OF ARTICLE 31,
SECTIONS 10 AND 11 OF THE ANNOTATED CODE OF MARY-
LAND (1957 EDITION), from such bank, banker or trust company,
or from any other source, as they shall from time to time select and
execute and deliver negotiable promissory notes or certificates of in-
debtedness of the County Commissioners of Dorchester County, to be
signed by the President of said County Commissioners of Dorchester
County, and the Treasurer of Dorchester County, with the seal of Dor-
chester County affixed thereto, in such denomination or denominations,
payable to such place and at such date or dates as the said County
Commissioners shall by resolution provide and/or to issue and sell
said notes, bonds or certificates of indebtedness, upon the faith and
credit of Dorchester County in such amount or amounts as said
Commissioners shall determine, except that the total amount of
such notes, certificates and bonds issued under this Act, including
all of its provisions, shall not exceed One Million Dollars ($1,000,-
000.00). The said notes, certificates of indebtedness and/or bonds
shall bear interest at an average net rate not in excess of five per
centum (5%) per annum for the entire issue, as shall be provided
by resolution of the County Commissioners of Dorchester County and,
in the event of issuance of bonds, to be evidenced by semi-annual cou-
pons attached to said bonds and bearing the facsimile signature of the
Treasurer of Dorchester County. If bonds are issued, such issue

and sale shall be exempt from the provisions of Section 10 and 11

of Article 31 of the Annotated Code of Maryland (1957 Edition).
THE SAID NOTES, CERTIFICATES OF INDEBTEDNESS
AND/OR BONDS, OR ANY GROUP THEREOF, SHALL BE
ISSUED ACCORDING TO WHAT IS KNOWN AS THE SERIAL
ANNUITY PLAN. The said loan and every part thereof and every
note, certificate of indebtedness, bond, coupon or other evidence
thereof, and the interest payable thereon, shall be and remain ex-
empt from taxation by the State of Maryland and by the counties and
municipalities of said state.