1980

LAWS OF MARYLAND

Ch. 494

insure the principal obligation of a loan or bonds only
to the extent of $5,000,000 as to any one project, 90
percent of the cost of project as to real property, and
70 percent of the cost of project as to machinery and
equipment; project; providing for the manner MIDFA may
compute the insurance premium paid on a loan or bonds;
providing that under certain circumstances MIDFA shall
waive the insurance premium and that the determination
to waive the premium shall be effective throughout the
term of the loan or bonds; permitting a public body to
acquire, either by buying or constructing, any
industrial project for which a loan or bonds are
approved by MIDFA; providing the terms and conditions
under which these bonds may be secured, issued, sold
and delivered; providing that industrial projects
financed under this subtitle are not subject to the
provisions of § 9-113 of the Real Property Article of
the Code or the requirements of any law requiring
competitive bidding; authorizing MIDFA to establish
rules and regulations; providing that the loans made
and bonds issued under the provisions of this subtitle
shall be free from taxation of every kind by the State

of Maryland, any of its political subdivision;

municipal corporations, or public units of any kind;
the principal amount of loans or bonds, the interest
payable thereon, their transfer, and any income derived
therefrom, including any profit in the sale or transfer
thereof, is exempt from taxation by the State and by
its several counties and municipalities; providing for
the adoption of a an administrative resolution by the
political subdivision when MIDFA issues bonds to
finance the acquisition of an industrial project and
that the resolution is not subject to procedures
required for legislative acts; providing for a limit on
the total loans approved and bonds issued by the
Authority; providing that MIDFA may contract for and
accept loans and grants from the State or any local
government; providing that the net earnings of the
Authority beyond that necessary to retire indebtedness
or implement the purposes of the Authority may not
inure to the benefit of any person other than the
State; providing that where the Authority is the
lender, lender also includes the trustee or other
fiduciary for the bond holders; providing that the
borrower shall be the industrial project applicant if
the option provided for in § 13-151 is exercised or if
the Authority finances the acquisition of an industrial
project; defining and redefining certain terms; making
stylistic changes to certain terms and provisions;
clarifying certain language used in the subtitle;
deleting certain terms and provisions; and generally
relating to the Maryland Industrial Development
Financing Authority.

BY repealing and reenacting, with amendments,

Article - Financial Institutions