1488                           LAWS OF MARYLAND                     [CH. 653

5.

Construction grants

(b) Of the actual cash proceeds from the sale of Certificates of
Indebtedness to be issued under this Act, the sum of One Hundred
Million Dollars ($100,000,000), less a proportionate share of the
costs specified in Section 4 of this Act, shall be used exclusively to
provide State grants and prepay Federal grant offers to assist in the
construction of sewage treatment plants and related facilities eligible
for grants under the Federal Water Pollution Control Act. Any
county, municipality, or any agency of the State or any of its sub-
divisions which is entitled to receive a State Grant pursuant to the
provisions of Section 387(A) 2 of Article 43 of the Annotated Code
of Maryland, as amended from time to time, that has received an
order from the State Board of Health and Mental Hygiene pursuant
to Section 392 of Article 43 to construct or improve sewerage facilities
may petition the State for a grant equal to 25 percent of the
eligible cost of the project as determined by the State and for an
additional sum equal to 50 percent of the eligible cost in advance
of a grant offer from the Federal Water Pollution Control Agency pro-
vided that the petitioner files an application for a Federal grant and
meets all other conditions and requirements to be eligible for a
Federal grant and further provided that the petitioner shall contract
to repay to the State for deposit to the Water Quality Loan Account
all subsequent Federal funds which the petitioner may receive as a
result of the grant application to the Federal Water Pollution Control
Administration, or has received a grant offer for a project in accord-
ance with the provisions of the Federal Water Pollution Control Act
or has been notified that the project is eligible for a Federal grant
offer in a specified amount, but insufficient Federal Funds are avail-
able to make an offer in the amount for which the project has been
found eligible, may petition the State Department of Health for a
grant, or, recognizing that pursuant to statutory authority and
through agreements with the District of Columbia and the Federal
Government the Washington Suburban Sanitary District's sanitary
sewerage systems include allocated capacities or reserved portions of
the sanitary sewerage facilities and systems operated by the District
of Columbia, any improvement to or enlargement of those facilities
for the Maryland district's sewerage is for the use and benefit of the
residents of the Washington Suburban Sanitary District and of the
State and advances the broad goals and purposes of this Act, and on
such basis the Washington Suburban Sanitary Commission's portion
of the capital costs for the improvements to or enlargement of those
facilities to be made hereafter is equivalent to construction by the
Washington Suburban Sanitary Commission of a project within the
purview of this Section, and that portion shall be treated as con-
struction by the Com