HARRY HUGHES, Governor

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redeemable or to the purchase and cancellation of bonds, as
the County may determine to be in its best interest.

The authority granted under this Act shall not be
exercised, nor shall any of the proceeds of the sale of
bonds be used or applied, in any manner which would cause
any bonds, refunding bonds or temporary bonds issued
hereunder to be deemed "industrial development bonds" or
"arbitrage bonds" within the meaning of Section 103 of the
Internal Revenue Code of 1954 or the regulations prescribed
thereunder.

SECTION 5. AND BE IT FURTHER ENACTED, That the County
shall enter into an agreement or agreements with Dorchester
General Hospital, Incorporated providing the terms and
conditions under which the Hospital shall provide from its
own sources of revenues for the timely payment of the
maturing principal of and interest on the bonds. However,
the bonds shall constitute, and they shall so recite, and
irrevocable pledge of the full faith and credit and
unlimited taxing power of the County to the payment of the
maturing principal of and interest on the bonds as and when
they become payable. In each and every fiscal year that any
of the bonds are outstanding, the County shall levy or cause
to be levied ad valorem taxes upon all the assessable
property within the corporate limits of the County in rate
and amount sufficient to provide for or assure the payment,
when due, of the principal of and interest on all the bonds
maturing in such fiscal year and, if the Hospital revenues
or the proceeds from the taxes so levied in any such fiscal
year prove inadequate for such payment, additional taxes
shall be levied in the succeeding fiscal year to make up any
such deficiency. The County may apply to the payment of the
principal of and interest on any bonds issued hereunder any
funds received by it from the State of Maryland, the United
States of America, any agency or instrumentality thereof, or
from any other source, if such funds are granted for the
purpose of assisting the County or the Hospital in financing
the hospital improvements and, to the extent of any such
funds received or receivable in any fiscal year, taxes that
might otherwise be required to be levied under this Act may
be reduced or need not be levied.

SECTION 6. AND BE IT FURTHER ENACTED, That the County
is hereby further authorized and empowered, at any time and
from time to time, to issue its bonds in the manner
hereinabove described for the purpose of refunding, upon
purchase or redemption, any bonds issued hereunder. The
validity of any such refunding bonds shall in no way be
dependent upon or related to the validity or invalidity of
the obligations so refunded. The powers herein granted with
respect to the issuance of bonds shall be applicable to the
issuance of refunding bonds. Such refunding bonds may be
issued by the County for the purpose of providing it with
funds to purchase in the open market any of its outstanding