3406                                                VETOES

Senate Bill No. 490

AN ACT concerning

Creation of a State Debt - State Public School Construction
and Capital Improvement

FOR the purpose of authorizing the creation of a State Debt
in the amount of $45,000,000, the proceeds to be used
to finance the construction of public school buildings
and public school capital improvements in this State;
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 State Public School
Construction and Capital Improvement Loan of 1981 in the
aggregate principal amount of $45,000,000. 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 1980
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 expended, upon approval by the Board of
Public Works, for the following public purposes, including
any applicable architects' and engineers' fees: for
financing the construction of public school buildings and
public school capital improvements in this State in
accordance with the provisions of § 5-301 through § 5-303 of
the Education Article, Annotated Code of Maryland (1978
Replacement Volume and 1980 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