BLAIR LEE III, Acting Governor                          683

MARYLAND, That section(s) of the Annotated Code of Maryland
be repealed, amended, or enacted to read as follows:

Article 31 - Debt - Public

CAPITAL DEBT MANAGEMENT PROGRAM

25.   FINDINGS AND PURPOSE.

(A)    THE GENERAL ASSEMBLY FINDS AND DECLARES THAT:

(1)    THE STATE HAS FOR MANY YEARS ENJOYED THE
HIGHEST CREDIT RATING ON ITS GENERAL OBLIGATION DEBT,
THEREBY ENABLING IT TO HAVE A READY MARKET FOR THE SALE OF
ITS BONDS AT FAVORABLE RATES OF INTEREST;

(2)    RETENTION OF THAT CREDIT RATING IS
NECESSARY IN ORDER THAT    THE STATE MAY CONTINUE TO FINANCE
ESSENTIAL CAPITAL PROJECTS    FOR THE BENEFIT OF ITS CITIZENS;
AND

(3)    IN ORDER TO RETAIN THAT CREDIT RATING, IT
IS NECESSARY THAT THE AUTHORIZATION OF NEW GENERAL
OBLIGATION DEBT BE BASED UPON THE STATE'S ABILITY TO MANAGE
ITS TOTAL DEBT SERVICE REQUIREMENTS IN RELATION TO THE OTHER
CALLS UPON ITS FISCAL RESOURCES.

(B)    THE PURPOSE OF THIS SUBTITLE IS TO PROVIDE FOR A
DEBT MANAGEMENT PROGRAM THROUGH WHICH AN ANNUAL
AFFORDABILITY ANALYSIS CAN BE MADE, AND PROPOSED CAPITAL
PROJECTS INVOLVING THE CREATION OF NEW GENERAL OBLIGATION
DEBT CAN BE EVALUATED IN THE CONTEXT OF THAT ANALYSIS. THIS
WILL GUIDE THE GENERAL ASSEMBLY IN SETTING THE PROPER
PRIORITIES AMONG CAPITAL PROJECTS AND APPROPRIATIONS.
HOWEVER, THE PROVISIONS OF THIS SUBTITLE ARE NOT INTENDED TO
INTERFERE IN ANY MANNER WITH THE INDEPENDENT ANALYSIS OF

DEBT AFFORDABILITY WHICH THE GENERAL ASSEMBLY WILL CONTINUE

TO MAKE.

26.   CAPITAL DEBT AFFORDABILITY COMMITTEE.

(A)    THE CAPITAL DEBT AFFORDABILITY COMMITTEE IS
CREATED AS A UNIT IN THE EXECUTIVE DEPARTMENT. IT CONSISTS
OF THE COMPTROLLER, THE TREASURER, THE SECRETARY OF BUDGET
AND FISCAL PLANNING, THE SECRETARY OF STATE PLANNING, AND
ONE PERSON APPOINTED BY THE GOVERNOR. THE DIRECTOR OF THE
DEPARTMENT OF FISCAL SERVICES SHALL BE INVITED TO ATTEND THE
MEETINGS OF THE CAPITAL DEBT AFFORDABILITY COMMITTEE. THE
TREASURER IS THE CHAIRMAN OF THE COMMITTEE, AND SHALL CALL

SUCH__MEETINGS OF THE COMMITTEE AS ARE NECESSARY AND PROPER

TO PERFORM ITS DUTIES AND FUNCTIONS.

(B)    THE COMMITTEE SHALL REVIEW THE SIZE AND CONDITION
OF THE STATE DEBT ON A CONTINUING BASIS. ON OR BEFORE
AUGUST 1 OF EACH YEAR IT SHALL PREPARE AND SUBMIT TO THE
GOVERNOR AND THE GENERAL ASSEMBLY ITS ESTIMATE OF THE
MAXIMUM AMOUNT OF NEW GENERAL OBLIGATION DEBT THAT PRUDENTLY
MAY BE AUTHORIZED FOR THE NEXT ENSUING FISCAL YEAR. IN