2918                                               LAWS OF MARYLAND                        [Ch. 872

(B)    THE STATE LOTTERY COMMISSION SHALL IMPLEMENT
THE PROVISIONS OF THIS SECTION BY THE ADOPTION OF RULES
IN ACCORDANCE WITH THE ADMINISTRATIVE PROCEDURE ACT
GOVERNING THE ISSUANCE AND USE OF BONDS AND THE AWARD OF
INTEREST THEREON, SUBJECT TO THE REQUIREMENTS OF THIS
SECTION.

(C)    THE BONDS SHALL BE ISSUED IN THE SUM OF TEN
DOLLARS ($10.00) EACH, OR MULTIPLES THEREOF AND BE
PAYABLE SOLELY FROM THE PROCEEDS OF THE SALE OF THE BONDS
AND INTEREST EARNED THEREON UPON DEMAND AT FACE VALUE,
WITHOUT INTEREST, TO THE HOLDER AT ANY TIME AFTER
PURCHASE. IN NO EVENT ARE ANY SUCH BONDS TO BE PAID TO
THE HOLDER THEREOF FROM ANY FUNDS EXCEPT AS HEREIN
PROVIDED IN THIS SUBSECTION (C).

(D)    INTEREST EARNED FROM THE PROCEEDS OF SALE OF
BONDS SHALL BE AWARDED BY RANDOM SELECTION TO THOSE
PERSONS WHO HAVE HELD BONDS FOR AT LEAST A PERIOD OF
THREE MONTHS, IN AMOUNT IN ANY ONE YEAR NOT LESS THAN THE
SUM TWO PERCENT (2%) OF THE TOTAL VALUE OF ALL BONDS
OUTSTANDING. THESE INTEREST AWARDS SHALL BE MADE ON A
PERIODIC BASIS AS DETERMINED BY THE RULES ADOPTED BY THE
COMMISSION. THE NUMBER AND VALUE OF INTEREST AWARDS PAID
AND THE MANNER OF AWARDING PAYMENT OF PRICES SHALL BE AS
DETERMINED BY THE RULES ADOPTED BY THE COMMISSION.

(E)    THE PROCEEDS FROM THE SALE OF BONDS ISSUED
UNDER THIS SECTION SHALL BE DEPOSITED IN A SPECIAL
ACCOUNT AND INVESTED BY THE TREASURER AS PERMITTED BY
LAW. ANY MONEYS EARNED FROM INVESTMENT OF THESE FUNDS
SHALL BE CREDITED, AFTER MAKING THE INTEREST AWARDS AS
PROVIDED IN (D) ABOVE, TO THE SPECIAL ACCOUNT. THE
ACCOUNT SHALL BE USED FOR THE REDEMPTION OF AND PAYMENT
OF INTEREST ON THE PUBLIC DEBT OF THE STATE. TWENTY-FIVE
PERCENT (25%) OF THE AMOUNT OF THE PREMIUM SAVINGS BONDS
SOLD SHALL BE ALLOCATED TO THE DEPARTMENT OF ECONOMIC AND
COMMUNITY DEVELOPMENT TO BE USED AS FOLLOWS: FIFTEEN
PERCENT (15%) SHALL BE USED FOR LOW-COST HOUSING LOANS AT
AN ANNUAL INTEREST RATE OF FOUR PERCENT (4%), AND TEN
PERCENT (10%) SHALL BE USED FOR LOW-COST INDUSTRIAL
DEVELOPMENT LOANS AT AN ANNUAL INTEREST RATE OF FOUR
PERCENT (4%) . PAYMENT OF INTEREST AND PAYMENTS ON THE
PRINCIPAL ON LOANS MADE BY THE DEPARTMENT OF ECONOMIC AND
COMMUNITY DEVELOPMENT AS PROVIDED IN THIS SUBSECTION
SHALL BE DEPOSITED IN THE SPECIAL ACCOUNT CREATED HEREIN.
EACH YEAR THE SECRETARY OF ECONOMIC AND COMMUNITY
DEVELOPMENT SHALL NOTIFY THE GENERAL ASSEMBLY OF THE
AMOUNTS PAID FROM THE ACCOUNT FOR THIS PURPOSE.

(F)    NOTWITHSTANDING THE PROVISIONS ABOVE, A
RESERVE OF NOT LESS THAN FORTY PERCENT (40%) OF ALL BONDS
OUTSTANDING SHALL ALWAYS BE MAINTAINED FOR THE REDEMPTION
OF BONDS.