596

LAWS OF MARYLAND

Ch. 22

taxation by the State of Maryland and political subdivisions
in such State.

12D. Same—Trust agreement securing bonds.

In the discretion of said board of trustees any bonds
issued under the provisions of §§ 12A-12J, inclusive, of
this subtitle may be secured by a trust agreement by and
between said board of trustees and a corporate trustee,
which may be any trust company or bank having the powers of
a trust company within or without the State. Any such
trust agreement may pledge or assign all or any part of the
income, fees, rents, charges and other revenues to be
received from the use of any auxiliary facility but shall
not convey or mortgage any auxiliary facility or any part
thereof. Any such trust agreement or any resolution
providing for the issuance of such bonds may contain such
provisions for protecting and enforcing the rights and
remedies of the bondholders as may be reasonable and proper
and not in violation of law, including covenants setting
forth the duties of said board of trustees in relation to
the acquisition of property and the construction,
improvement, maintenance, repair, operation and insurance of
any auxiliary facility, and the custody, safeguarding and
application of all moneys, and provisions for the employment
of independent consultants in connection with the
construction or operation of such auxiliary facility. It
shall be lawful for any bank or trust company incorporated
under the laws of the State which may act as depository of
the proceeds of bonds or of revenues to furnish such
indemnifying bonds or to pledge such securities as may be
required by said board of trustees. Any such trust
agreement may set forth the rights and remedies of the
bondholders and of the trustee, and may restrict the
individual right of action by bondholders as is customary in
trust agreements or trust indentures securing bonds and
debentures of corporation. In addition to the foregoing,
any such trust agreement may contain such other provisions
as said board of trustees may deem reasonable and proper for
the security of the bondholders, including (without
limitation) covenants to abandon, restrict or prohibit the
construction or operation of competing facilities and
covenants pertaining to the issuance of additional parity
bonds upon conditions stated therein consistent with the
requirements of §§ 12A—12J, inclusive, of this subtitle.
All expenses incurred in carrying out the provisions of any
such trust agreement may be treated as a part of the cost of
the operation of the auxiliary facility or auxiliary
facilities in connection with which such bonds shall have
been issued.

12E. Same—Fees, rents and charges; sinking fund; covenant
of board of trustees to pay cost.

The board of trustees of the State college is hereby
authorized (a) to fix, revise, charge and collect fees,
rents and other charges from any individual, or group or
association of individuals, authorized to use any auxiliary