BLAIR LEE III, Acting Governor                        2565

Annotated Code of Maryland, the Maryland Small Business
Development Financing Authority Act as amended from
time to time; providing generally for the issue and
sale of bonds evidencing the loan; and making this Act
contingent on the passage of another Act.

SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF
MARYLAND, That:

(1)   The Board of Public Works may borrow money and
incur indebtedness on behalf of the State of Maryland
through a State loan to be known as the Maryland Small
Business Development and Financing Authority Loan of 1978 in
the aggregate principal amount of $5,000,000 $2,000,000.
This loan shall be evidenced by the issuance and sale of
State general obligation bonds authorized by a resolution of
the Board of Public Works and issued, sold and delivered in
accordance with the provisions of §§ 19 to 23 of Article 31
of the Annotated Code of Maryland (1976 Replacement Volume
and 1977 Supplement, as amended from time to time).

(2)    The bonds issued to evidence this loan or
installments thereof may be sold as a single issue, or may
be consolidated and sold as part of a single issue of bonds
under § 2B of Article 31 of the Code.

(3) The actual cash proceeds of the sale of the bonds
shall be paid to the Treasurer and shall be first applied to
the payment of the expenses of issuing and delivering the
bonds unless funds for this purpose are otherwise provided
and thereafter shall be credited on the books of the State
Comptroller and expended, upon approval by the Board of
Public Works, for the following public purposes, including
any applicable architects' and engineers' fees: to create a

fund for the Maryland Small Business Development and

Financing Authority Act for the purpose of making loans to
and guaranteeing loans made to businessmen under the terms
and conditions of that Act be made part of the Small
Business Development Financing Fund of the Maryland Small
Business Development Financing Authority established by
Section 266 HH-8 of article 41 of the Annotated Code of
Maryland, and to be subject to all the terms, conditions,
and purposes set forth in Sections 26 6 HH-1 through 26 6
HH-12, inclusive, of the Annotated Code of Maryland, the
Maryland Small Business Development Financing Authority Act
as amended from time to time.

(4) There is hereby levied and imposed an annual
State tax on all assessable property in the State in rate
and amount sufficient to pay the principal of and interest
on the bonds as and when due and until paid in full, such
principal to be discharged within fifteen years of the date
of issue of the bonds.

SECTION 2. AND BE IT FURTHER ENACTED, That this Act
shall take effect June 1, 1978 , contingent upon the taking
effect of Chapter___of the Acts of 1978 (HB 438), a bill