1146

LAWS OF MARYLAND

Ch. 395

later than May 1 of each year, for all projects to be
financed in the fiscal year starting the following July 1.

3.  Except as provided below, a State grant offer
shall be made only for a project or part of a project on
which a Federal grant offer is made, and the State grant
offer shall be in an amount up to one-half of the eligible
cost remaining after the maximum Federal grant has been
applied. WHEN THE FEDERAL GRANT IS UP TO 85 75 PERCENT OF
THE TOTAL PROJECT COST. WHEN THE MAXIMUM FEDERAL GRANT
OFFER COVERS 85 PERCENT OR MORE MORE THAN 75 PERCENT OF THE
TOTAL PROJECT COST FOR AN INNOVATIVE OR ALTERNATIVE PROJECT
AS DEFINED BY THE FEDERAL ENVIRONMENTAL PROTECTION AGENCY,
THE STATE GRANT OFFER SHALL BE THREE-FOURTHS OF THE
REMAINING AMOUNT OR 12 1/2 PERCENT, WHICHEVER IS LEAST. In
the case of a project to be operated by a State owned
institution or facility, the State grant offer may equal the
total cost of the project.

4.  The Board of Public Works is authorized, in
its discretion and upon recommendation of the Department of
Health and Mental Hygiene, to approve a State grant not to
exceed 87-1/2 percent of the eligible cost of a project or
part of a project, if the Board finds (a) that the immediate
initiation or continuation of such project is critical to the
public health or water quality standards of the State, and
(b) that a timely and sufficient Federal grant is not
available for such project.

SECTION 3. AND BE IT FURTHER ENACTED, That section(s) 5
of Chapter 651 of the Acts of 1965, as amended by Chapter
286 of the Acts of 1974, and Chapter 262 of the Acts of
1975, be repealed, amended or enacted to read as follows:

Chapter 651 of the Acts of 1965

5.

That the actual cash proceeds from the sale of
Certificates of Indebtedness to be issued under this Act
shall be paid to the Treasurer of the State upon the warrant
of the Comptroller, and such proceeds shall be used
exclusively for the following purposes, to wit:

(a)  The Comptroller, immediately upon the sale of an
payment for said Certificates, first, shall return to and
credit the Treasury for a sum equivalent to the amount
expended under Section 4 of this Act.

(b)  The remainder of the proceeds of said loan shall
be credited on the books of the State Treasury Department to
be expended as needed by the State, upon approval by the
Board of Public Works, to be used exclusively to provide
State grants to assist in the construction of necessary
sewage treatment plants and related facilities; and any
county, municipality, or any agency which is entitled to
receive a State grant pursuant to the provisions of Section