1328

LAWS OF MARYLAND

[Ch. 262

quality standards of the State, and (b) that a timely and
sufficient Federal grant is not available for such
project.

SECTION 15. AND BE IT FURTHER ENACTED, That Section
5 of Chapter 651 of the Acts of 1965, as amended by
Chapter 286 of the Acts of 1974, be and it is hereby
repealed and re—enacted, with amendments, to read as
follows:

5.

That the actual cash proceeds from the sale of
Certificates of Indebtedness to be issued under this Act
shall be paid to the Treasurer of the State upon the
warrant of the Comptroller, and such proceeds shall be
used exclusively for the following purposes, to wit:

(a)   The Comptroller, immediately upon the sale
of and payment for said Certificates, first, shall return
to and credit the Treasury for a sum equivalent to the
amount expended under Section 4 of this Act.

(b)   The remainder of the proceeds of said loan
shall be credited on the books of the State Treasury
Department to be expended as needed by the State, upon
approval by the Board of Public Works, to be used
exclusively to provide State grants to assist in the
construction of necessary sewage treatment plants and
related facilities; and any county, municipality, or any
agency which is entitled to receive a State grant
pursuant to the provisions of Section [387(A)2] 387B(A)2
of Article 43 of the Annotated Code of Maryland, as
amended from time to time, may petition the State
Department of Health and Mental Hygiene for a grant,
within the following conditions and limitations:

1.     A State grant offer shall be made
only for the construction of projects that meet the
specifications required by the Federal Water Pollution
Control Act and all applicable State legislation and
regulations, as amended from time to time.

2.     Except as provided in paragraph (3)
below, a State grant offer shall be made only for a
project or part of a project on which a Federal grant
offer is made, and the State grant offer shall BE IN AN
amount UP to one—half of the eligible cost remaining
after the maximum Federal grant has been applied. In the
case of a project to be operated by a State owned
institution or facility, the State grant offer shall
equal the total cost of the project less the amount of
any Federal grant offer made therefor.