BLAIR LEE III, Acting Governor                           2629

qualifications:

(i) It is a bona fide religious
organization, no part of the earnings of which inures to the
benefit of any individual or is used for any purpose other
than the maintenance and operation of the facility or the
purchase of equipment to be used in the facility or the
expansion of the facility; or

(ii) It is an organization chartered as a
nonprofit corporation, no part of the earnings of which
inures to the benefit of any individual or is used for any
purpose other than the maintenance and operation of the
facility or the purchase of equipment to be used in the
facility or the expansion of the facility, and is classified
by the Federal Internal Revenue Service as nonprofit.

(b) Prior to the authorization of        any

construction grant under this Act for any facility,   the

applicant shall file with the State Department of Health   and
Mental Hygiene:

(i) A financial statement setting forth
the personnel employed or to be employed, all remuneration
and perquisites for personal services and other expenses
paid or to be paid and the expenses incurred or to be
incurred in carrying out the operation of the facility; and

(ii) The schedule of rates charged or to
be charged for services rendered.

{c) The Secretary of Health and Mental Hygiene
is 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 bonds authorized under this
Act.
id) Any public or private nonprofit entity or
government 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:

(i) State funds may be used only for the
construction, acquisition, renovation, and/or 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.

(ii) Any federal grant which may be
available for this purpose shall be applied first to the
cost of construction, acquisition/or renovation and