1200                                       LAWS OF MARYLAND                            [Ch. 4

FUND" IS CREATED AND CONTINUED. THE DEPARTMENT SHALL
ADMINISTER THE FUND SOLELY TO PROVIDE INTEREST-FREE
LOANS TO PERSONS, MUNICIPALITIES, OR COUNTIES FOR
CONSTRUCTION OF SHORE EROSION STRUCTURES. THE FUND
SHALL BE MAINTAINED BY:

(1)   REPAYMENTS OF PRINCIPAL ON LOANS MADE
FROM THE FUND, WITH THE REPAYMENTS MADE THROUGH A
SPECIAL REAL ESTATE TAX THE STATE LEVIES ON PRIVATELY
OWNED PROPERTY BENEFITED BY SHORE EROSION CONTROL
PROJECTS. THE TAX SHALL COMPENSATE THE STATE FOR NET
PROJECT CONSTRUCTION COST. THE TAX MAY BE LEVIED AT A
UNIFORM RATE OVER A PERIOD NOT EXCEEDING 25 YEARS, AS
THE STATE AND THE PROPERTY OWNER AGREE; AND

(2)   ANNUAL APPROPRIATION OF GENERAL FUNDS
TO RESTORE THE FUND TO A LEVEL SUFFICIENT TO CARRY OUT
AN EFFECTIVE SHORE EROSION CONTROL CONSTRUCTION LOAN
PROGRAM DURING THE SUCCEEDING YEAR.

A PROPERTY OWNER WHOSE PROJECT IS APPROVED IS
ELIGIBLE TO RECEIVE AN INTEREST-FREE LOAN COVERING 100
PERCENT OF THE FIRST $20,000 OF PROJECT CONSTRUCTION
COST, 50 PERCENT OF THE NEXT $10,000 OF PROJECT
CONSTRUCTION COST, 25 PERCENT OF THE NEXT $10,000 OF
PROJECT CONSTRUCTION COST, AND TEN PERCENT OF THE PART
OF CONSTRUCTION COST EXCEEDING $40,000. HOWEVER,
WHERE TWO OR MORE PROPERTY OWNERS ARE INCLUDED WITHIN
A SHORE EROSION CONTROL PROJECT, AND PROJECT
CONSTRUCTION COSTS EXCEED $40,000, THE LAND OF EACH
PROPERTY OWNER IS CONSIDERED A SEPARATE SHORE EROSION
PROJECT FOR THE PURPOSE OF COMPUTING NET PROJECT
CONSTRUCTION COST UNDER THIS FORMULA.

REVISOR'S NOTE: This subsection presently appears
as Article 66C, section 758A (a) of the
Code. The second sentence is proposed
for deletion because it is obsolete. The
only other changes made are in style.

(B) DURING THE FIRST MONTH OF EACH FISCAL YEAR,
THE DEPARTMENT SHALL SUBMIT TO THE DEPARTMENT OF
BUDGET AND FISCAL PLANNING AN ESTIMATE OF THE AMOUNT
OF REVENUES THE FUND EXPECTS TO RECEIVE FROM REPAYMENT
OF OUTSTANDING LOANS, AND THE AMOUNT OF GENERAL FUNDS
REQUIRED TO REESTABLISH AN ADEQUATE BALANCE IN THE
FUND TO MAKE LOANS DURING THE NEXT FISCAL YEAR.

REVISOR'S NOTE: This subsection presently appears
as Article 66C, section 758A (b) of the
Code. The only changes made are in style.