962                             LAWS OF MARYLAND                      [CH. 542

amount allocable to each of the counties and to the City of Baltimore,
as more specifically provided in the last preceding sentence of this
sub-paragraph.

(3)  The amount of total State debt allocable to each of the counties
and to the City of Baltimore, as provided in the last preceding
sentence of this sub-paragraph, shall be the limit of participation for
each of the counties applying for financial assistance under the terms
of this Act and for the City of Baltimore if said city applies for
financial assistance under the terms of this Act.

(4)  The calculations more particularly outlined in this sub-
paragraph shall be made as of the date when the application for
financial assistance made by any of the counties or made by the City
of Baltimore has been received by the State Board of Education.

(d)   Each of the counties and the City of Baltimore whose request
for financial assistance has been allowed, as provided in sub-
paragraph (b) of this sub-section (but as limited by sub-paragraph
(c) of this sub-section), shall execute and acknowledge in a manner
according to law an agreement which shall specify that: (1) the
amount of financial assistance allowed, as provided herein, together
with interest and carrying charges shall be deducted by the comp-
troller of the treasury from funds due said counties and city under
applicable provisions of state law relating to the income tax, the
tax on racing, the recordation tax, the tax on amusements, the
license tax and the incentive fund for school buildings and shall
be so deducted within fourteen (14) years from the date of the
issuance of the certificates; and (2) such other terms and conditions
as may be required by regulation of the State Board of Education,
and approved by the Board of Public Works.

(e)  The agreement described in sub-paragraph (d) of this sub-
section shall be signed on behalf of the State of Maryland by the
State Board of Education, and shall be approved by the Board of
Public Works.

(f)  The governing body of each of the counties in this State and
the Mayor and City Council of Baltimore are hereby authorized and
empowered to enter into any and all contracts or agreements re-
quired under the terms of this Act, or which may be required by
regulations duly promulgated by the State Department of Education
or the Board of Public Works pursuant to the provisions of this
Act, any other provisions of public general law or of public local
law to the contrary notwithstanding.

Sec. 6. And be it further enacted, That all proceeds received
from the counties of this State which have been granted financial
assistance under the provisions of this Act and from the City of
Baltimore if said city has been granted financial assistance under
this Act, under agreements signed with the aforesaid counties or
the aforesaid city, all as more particularly provided in Section 5
of this Act, shall be deposited in a reserve fund by the State
Comptroller; such reserve fund to be used only for the payment of
the principal and interest on any and all certificates issued by the
State of Maryland pursuant to the terms of this Act.

Sec. 7. And be it further enacted, That until all of the interest
on and principal of any certificates issued under this Act have been