2386                                   LAWS OF MARYLAND                                 Chi 240

(A)  APPROPRIATION OR EXPENDITURE OF REVENUE.

ANY MUNICIPALITY THAT ISSUES BONDS UNDER THIS SUBTITLE
FOR THE DEVELOPMENT OF ANY SEWERAGE FACILITY MAY APPROPRIATE
OR EXPEND THE REVENUE FROM THE SEWERAGE FACILITY FOR:

(1) PAYING, WHEN DUE, ALL BONDS AND THE INTEREST
ON THE BONDS, FOR THE PAYMENT OF WHICH THE REVENUE IS
PLEDGED, CHARGED, OR OTHERWISE ENCUMBERED;

(2) PROVIDING FOR ALL EXPENSES OF OPERATION AND
MAINTENANCE OF THE SEWERAGE FACILITY;

(3) PAYING AND DISCHARGING THE PRINCIPAL AND
INTEREST ON ANY NOTES, BONDS, OR OTHER OBLIGATIONS:

(I) NOT ISSUED UNDER THIS SUBTITLE, BUT
FOR PAYMENT OF WHICH THE REVENUE OF THE SEWERAGE FACILITY IS
PLEDGED, CHARGED, OR ENCUMBERED; OR

(II) ISSUED TO FINANCE THE DEVELOPMENT OF
THE SEWERAGE FACILITY, BUT WHICH DO NOT CONSTITUTE A LIEN,
CHARGE, OR ENCUMBRANCE ON THE REVENUE OF THE SEWERAGE
FACILITY; AND

(4) PROVIDING A RESERVE FOR IMPROVEMENTS TO THE
SEWERAGE FACILITY.

(B)  TRANSFER OF REVENUE.

ANY MUNICIPALITY MAY TRANSFER THE REVENUE OF ANY
SEWERAGE FACILITY TO THE GENERAL FUNDS OF THE MUNICIPALITY
ONLY AFTER THE MUNICIPALITY HAS MADE ADEQUATE PROVISION FOR
THE PURPOSES SET OUT IN SUBSECTION (A) OF THIS SECTION.

REVISOR'S NOTE: This section is new language derived
without substantive change from former Article
43, § 437.

In subsection (a) of this section, the defined
term "development" is substituted for "planning,
acquisition, purchase, construction,
reconstruction, improvement, betterment or
extension", for conciseness.

Also in subsection (a) of this section, the
former term "apply" is deleted as included in
"appropriate" and "expend".

In subsection (a)(4) of this section, the term
"improvements" is substituted for "betterments",
for clarity and simplicity.

9-813. REFUNDING REVENUE BONDS.