Marvin Mandel, Governor                           679

Section 1. Be it enacted by the General Assembly of Maryland,
That:

(a)   The Mayor and City Council of Baltimore be and it is hereby
authorized to create a debt, and to issue and sell its certificates
of indebtedness (hereafter called "bonds") as evidence thereof, to
an amount not exceeding One Million Five Hundred Thousand Dol-
lars ($1,500,000.00), the proceeds derived from the sale thereof to
be used for the purposes hereinafter mentioned, but said debt shall
not be created and said bonds shall not be issued, in whole or in
part, unless an ordinance or ordinances of the Mayor and City
Council of Baltimore providing for the issuance thereof shall be
first submitted to the legal voters of Baltimore City at such time
and place as may be fixed by said ordinance or ordinances and be
approved by a majority of the votes cast at such time and place,
all as required by Section 7 of Article XI of the Constitution of
Maryland; and the Mayor and City Council of Baltimore, in sub-
mitting any ordinance or ordinances for the issuance of said bonds,
or any part thereof, to the legal voters of Baltimore City, may sub-
mit and resubmit the same at any municipal election as well as
at any general election to be held in Baltimore City.

(b)  The Mayor and City Council of Baltimore may submit by
one ordinance, the whole of the debt authorized by this Act to the
legal voters of Baltimore City at one time, or it may, by one or
more separate ordinances, submit a part thereof to the legal voters
of said city at different times; and any ordinance or ordinances sub-
mitting the whole or any part of such debt to the legal voters of
Baltimore City shall provide for the expenditure of the proceeds
thereof in accordance with the provisions of the Charter of the
Mayor and City Council of Baltimore, and by the municipal agency
designated in the annual Ordinances of Estimates of the Mayor and
City Council of Baltimore.

(c)  All of said bonds, or any part thereof, shall be issued in
accordance with a serial maturity plan so worked out as to dis-
charge the entire principal amount represented thereby within not
more than forty (40) years from the date of their issuance; pro-
vided, however, that it shall not be necessary to provide for the
maturity of any part of the principal amount represented by any
of said bonds for the first five (5) years from the date of their
issuance.

(d)  Until all of the interest on and principal of any bonds issued
pursuant to the provisions of this Act have been paid in full, the
Mayor and City Council of Baltimore shall levy and impose an an-
nual tax on each One Hundred Dollars ($100.00) of assessable
property in the City of Baltimore at a rate sufficient to produce
revenue to pay all interest on and principal of all bonds theretofore
issued and outstanding or authorized to be issued and outstanding,
payable in the next succeeding year.

(e)  All premiums resulting from the sale of any of the bonds
issued and sold pursuant to the provisions of this Act shall be ap-
plied first to defray the cost of issuance thereof and the balance,
if any, shall be applied to the payment of interest on any of said
bonds becoming due and payable during the fiscal year in which said
bonds are issued and sold or during the next succeeding fiscal year.