210                               LAWS OF MARYLAND                        [CH. 102

heading 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 sub-heading shall be fully negoti-
able.

(f)  In any suit, action or proceeding involving the validity or
enforceability of any bond issued under this sub-heading 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
provisions of this sub-heading.

(g)  All banks, trust companies, bankers, savings banks and insti-
tutions, building and loan associations, savings and loan associa-
tions, investment companies and other persons carrying on a banking
or investment business; all insurance companies, insurance associa-
tions, and other persons carrying on an insurance business; and all
executors, administrators, curators, trustees, and other fiduciaries,
may legally invest any sinking funds, monies, or other funds belong-
ing to them or within their control in any bonds or other obligations
issued by the municipality pursuant to this sub-heading, provided
that such bonds and other obligations shall be secured by an agree-
ment between the issuer and the Federal Government in which the
issuer agrees to borrow from the Federal Government and the Fed-
eral Government agrees to lend to the issuer, prior to the maturity
of such bonds or other obligations, monies in an amount which
(together with any other monies irrevocably committed to the pay-
ment of principal and interest on such bonds or other obligations)
will suffice to pay the principal of such bonds or other obligations
with interest to maturity thereon, which monies under the terms of
said agreement are required to be used for the purpose of paying the
principal of and the interest on such bonds or other obligations at
their maturity. Such bonds and other obligations shall be authorized
security for all public deposits. It is the purpose of this section to
authorize any persons, political subdivisions and officers, public or
private, to use any funds owned or controlled by them for the pur-
chase of any such bonds or other obligations. Nothing contained in
this section with regard to legal investments shall be construed as
relieving any person of any duty of exercising reasonable care in
selecting securities.

11. Separability

If any provision of this sub-heading, or the application thereof to
any person or circumstances, is held invalid, the remainder of the sub-
heading and the application of such provision to persons or circum-
stances other than those as to which it is held invalid, shall not be
affected thereby. The powers conferred by this sub-heading shall be
in addition and supplemental to the powers conferred by any other
law.

Sec. 2. And be it further enacted, That this Act shall take effect
June 1, 1963.

Approved March 14, 1963.