HARRY HUGHES, Governor

1279

Approved May 29, 1979.

CHAPTER 443

(Senate Bill 363)

AN ACT concerning

Creation of a State Debt - Housing Fund

FOR the purpose of authorizing the creation of a State Debt
in the amount of $5,000,000, the proceeds to be used as
a reserve for the Maryland Housing Fund; and providing
generally for the issue and sale of bonds evidencing
the loan.

SECTION 1- BE IT ENACTED BY THE GENERAL ASSEMBLY OF
MARYLAND, That:

(1)    The Board of Public Works may borrow money and
incur indebtedness on behalf of the State of Maryland
through a State loan to be known as the Maryland Housing
Fund Loan of 1979 in the aggregate principal amount of
$5,000,000. This loan shall be evidenced by the issuance
and sale of State general obligation bonds authorized by a
resolution of the Board of Public Works and issued, sold and
delivered in accordance with the provisions of §§ 19 to 23
of Article 31 of the Annotated Code of Maryland (1976
Replacement Volume and 1978 Supplement, as amended from time
to time).

(2)    The bonds issued to evidence this loan or
installments thereof may be sold as a single issue, or may
be consolidated and sold as part of a single issue of bonds
under § 2B of Article 31 of the Code.

(3)    The actual cash proceeds of the sale of the bonds
shall be paid to the Treasurer and shall be first applied to
the payment of the expenses of issuing and delivering the
bonds unless funds for this purpose are otherwise provided
and thereafter shall be credited on the books of the State
Comptroller and maintained together with all interest earned
and net gains realized from the investment and reinvestment
thereof, as a reserve for the Maryland Housing Fund
established by § 257K of Article 41 of the Annotated Code of
Maryland (1978 Replacement Volume and 1978 Supplement, as
amended from time to time).

(4)    There is hereby levied and imposed an annual
State tax on all assessable property in the State in rate
and amount sufficient to pay the principal of and interest