644

LAWS OF MARYLAND

Ch. 22

(a) The board of Morgan State University, as an agency
of the State, may provide, by resolution, for the issuance,
in series, of its negotiable bonds, certificates or other
evidence of indebtedness for the purpose of paying all or
any part of the cost of any housing units. The principal
and interest on bonds, certificates or other evidence of
indebtedness is payable solely from the funds provided for
payment.

(b) The board: (1) shall determine the date, interest
rate, and maturity of the bonds of each issue. Bonds may
not mature in more than 40 years. (2) May redeem the bonds
of each issue before maturity at the price and terms fixed
prior to issuance. (3) Shall determine the form of the
bonds, including any interest coupons to be attached, the
denomination or denominations of the bonds and the place of
payment of principal and interest at any bank or trust
company within or without the State.

(c)  The bonds shall bear the manual or facsimile
signature of the chairman or one of the other members of the
board and the official seal of the board or a facsimile
attested by the manual or facsimile signature of the
secretary or an assistant secretary of the board. One of
the signatures on each bond shall be a manual signature, and
any coupon attached shall bear the facsimile signature of
the chairman of the board. In case any officer whose
signature or facsimile appears on any bonds or coupons
ceases to be an officer before the delivery of the bonds,
the signature or facsimile is valid and sufficient for all
purposes as if he had remained in office until delivery.

(d)   All bonds issued under the provisions of this
subtitle shall have the qualities and incidents of
negotiable instruments under the laws of the State relating
to negotiable instruments. The bonds may be issued in
coupon or registered form. Provision may be made for the
registration of any coupon bonds as to principal alone and
as to principal and interest, and for the reconversion into
coupon bonds of any bonds registered as to principal and
interest. The board may sell bonds at public or private
sale for any price.

(e)  The proceeds of the bonds of each issue shall be
used: (1) for the payment of the cost of the housing unit or
housing units for which the bonds are issued and disbursed
as the board provides in the resolution authorizing the
issuance of the bonds or in a trust agreement securing them;
or (2) to reimburse the board for any obligation or expense
incurred for preparation of plans, specifications, and other
engineering services in connection with the construction of
any project. If the proceeds of the bonds of any issue are
less than their cost, additional bonds without limitation as
to the aggregate principal amount may be issued to provide
the amount of the deficit- Unless otherwise provided in the
resolution authorizing the issuance of the bonds or in the
trust agreement securing them, the additional bonds shall be
of the same issue and entitled to payment from the same