1062

LAWS OF MARYLAND

Ch. 258

(F) (1) BONDS ISSUED PURSUANT TO THIS SECTION SHALL BE
NEGOTIABLE AND MAY BE IN COUPON FORM OR REGISTRABLE AS TO
PRINCIPAL ALONE OR AS TO BOTH PRINCIPAL AND INTEREST.

(2)  THE BONDS SHALL BE SIGNED BY THE PRESIDENT
OF THE BOARD OF COUNTY COMMISSIONERS, AND THE SEAL OF THE
COUNTY SHALL BE AFFIXED AND ATTESTED TO BY THE CLERK OR THE
OFFICER EXERCISING THE FUNCTIONS OF A CLERK. IF ANY OFFICER
WHOSE SIGNATURE OR COUNTERSIGNATURE APPEARS ON THE BONDS OR
COUPONS CEASES TO BE THE OFFICER BEFORE DELIVERY OF THE
BONDS. HIS SIGNATURE OR COUNTERSIGNATURE SHALL NEVERTHELESS
BE VALID AND SUFFICIENT FOR ALL PURPOSES THE SAME AS IF HE
HAD REMAINED IN OFFICE UNTIL DELIVERY.

(3)  THE BONDS SHALL BE SOLD IN A MANNER, EITHER
AT PUBLIC OR PRIVATE SALE, AND UPON THE TERMS AS THE COUNTY
DEEMS BEST BONDS ISSUED UNDER THIS SECTION ARE NOT SUBJECT
TO THE PROVISIONS Of §§ 9. 10, AND 11 OF ARTICLE 31 OF THE
CODE.

(4)  THE BONDS AND THE INTEREST ON THEM SHALL BE
LIMITED OBLIGATIONS OF THE COUNTY THE PRINCIPAL AND
INTEREST SHALL BE PAYABLE SOLELY FROM THE REVENUE DERIVED
FROM INTEREST, MORTGAGE INSURANCE, CASUALTY OR SPECIAL
HAZARD INSURANCE OR OTHER INSURANCE PROCEEDS, CONDEMNATION
PROCEEDS, OR OTHER REVENUES DERIVED FROM THE MORTGAGE LOANS,
PROPERTY SECURING THE LOANS, OR OTHER PAYMENTS OR REVENUES
DERIVED FROM OR RELATING TO THE MAKING OF THE LOANS.
NEITHER THE BONDS NOR INTEREST COUPONS ISSUED UNDER THIS
SECTION SHALL EVER CONSTITUTE AN INDEBTEDNESS OR A CHARGE
AGAINST THE GENERAL CREDIT OR TAXING POWERS OF THE COUNTY
WITHIN THE MEANING OF ANY CONSTITUTION, COUNTY CODE
PROVISION, OR STATUTORY LIMITATION, AND NEITHER SHALL EVER
CONSTITUTE OR GIVE RISE TO ANY PECUNIARY LIABILITY OF THE
COUNTY. ON THE ADVICE OF COUNSEL, IT MAY BE PLAINLY STATED
ON THE FACE OF EACH BOND THAT IT HAS BEEN ISSUED UNDER THE
PROVISIONS OF THIS SECTION AND THAT IT DOES NOT CONSTITUTE
AN INDEBTEDNESS TO WHICH THE FAITH AND CREDIT OF THE COUNTY
IS PLEDGED.

(5)  ALL MONEYS RECEIVED FROM THE BONDS SHALL BE
APPLIED SOLELY FOR MAKING FUNDS AVAILABLE EITHER DIRECTLY OR
THROUGH MORTGAGE LENDING INSTITUTIONS, FOR RESIDENTIAL
MORTGAGE LOANS TO PERSONS AND FAMILIES, ESTABLISHING RESERVE
FUNDS, PAYING THE NECESSARY EXPENSES OF THE FINANCING, OR TO
ADVANCE THE PAYMENT OF INTEREST ON THE BONDS DURING THE
FIRST 3 YEARS FOLLOWING THE DATE OF THE BONDS.

(G)  THE COUNTY MAY ISSUE NEW BONDS TO PROVIDE FUNDS
FOR THE PAYMENT OF ANY OUTSTANDING BONDS, IN ACCORDANCE WITH
THE PROCEDURE PRESCRIBED BY THIS SECTION AND THE PROVISIONS
OF SECTION 24 OF ARTICLE 31 OF THE ANNOTATED CODE THE NEW
BONDS SHALL BE SECURED TO THE SAME EXTENT AND SHALL HAVE THE
SAME SOURCE OF PAYMENT AS THE BONDS REFUNDED.

(H) ANY PROGRAM EFFECTING THE FINANCING UNDER THIS
SECTION MAY PROVIDE FOR LOAN AGREEMENTS, SECURITY