638

LAWS OF MARYLAND

Ch. 22

the use of the housing unit or housing units constructed
from the proceeds of the bonds issued under the provisions
of §§ 27U-27AD, inclusive, of this subtitle.

27X- Same—Trust agreement securing bonds.

In the discretion of said University any bonds issued
under the provisions of §§ 27U—27AD, inclusive, of this
subtitle, may be secured by a trust agreement by and between
said University 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
the housing unit or housing units (including the related
facilities) in connection with which the bonds secured by
such trust agreement shall be issued, and 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
existing housing unit or housing units (including the
related facilities) as provided in subsection (f) of § 27W
of this subtitle, but shall not convey or mortgage any
housing unit 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 University in relation to
the acquisition of property and the construction,
improvement, maintenance, repair, operation and insurance of
the housing unit or housing units in connection with which
such bonds shall have been authorized, and in relation to
the improvement, maintenance, repair, operation and
insurance of any existing housing unit or housing units, the
income, fees, rents, charges and other revenues to be
received from the use thereof have been pledged or assigned
as authorized by this section, and the custody, safeguarding
and application of all moneys, and the provisions for the
employment of independent consultants in connection with the
construction or operation of such housing unit or housing
units. 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 University. 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 corporations. In addition to the foregoing,
any such trust agreement may contain such other provisions
as said University may deem reasonable and proper for the
security of the bondholders, including covenants to abandon,
restrict or prohibit the construction or operation of
competing facilities. 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
housing unit or housing units.