MARVIN MANDEL, Governor                                 2203

hereby authorized and directed to promulgate rules and
regulations to carry out the intent of this Act and these
rules and regulations shall provide for certified annual
financial statements from each facility, and other
reports as required. This information shall be required
annually for at least the term of the Certificates of
Indebtedness authorized under this Act.

(d) Any public or nonprofit agency sponsoring the
construction of an eligible facility or the expansion of
an existing eligible facility in this State may apply to
the State Department of Health and Mental Hygiene for a
State grant toward the cost of that project. The
allocation and use of State funds under this Act shall be
governed by and subject to the following stipulations and
limitations;

(1)    State funds may be used only for the
construction and equipping of public and other nonprofit
facilities and for the purpose of reports, plans, and
specifications in connection therewith, and for the
purpose of site improvements, surveys, and programs in
connection therewith.

(2)    If, at the time of application for State funds
under this Act, federal funds are also available for this
purpose, these federal funds shall be applied first to
the project, in accordance with applicable federal
regulations, and the State grant used to supplement the
federal funds to the maximum extent that the total
combined federal funds and State grant do not exceed 67%
of the total eligible construction and equipment costs of
the project. In any event, the State grant may not
exceed 50% of the total eligible construction and
equipment costs of the project.

(3)    The amount of the State grant to be made for
any facility shall be determined after due consideration
of all pending eligible applicants, the total of
unallocated State funds available at the time the
application is received, and such priorities of area need
as may have been established by the State Department of
Health and Mental Hygiene.

(4) If, at any time within fifteen (15) years
after completion of construction, a facility with respect
to which funds have been paid under the provisions of
this Act

(i) is sold or transferred to any person, agency,
or organization which would not itself qualify as an
applicant under the terms of this Act, or which is not
approved as a transferee by the Secretary of Health and
Mental Hygiene, or