HARRY HUGHES, Governor

3081

(L) "INSTITUTION" MEANS ANY PUBLIC OR PRIVATE
NONPROFIT EDUCATIONAL INSTITUTION SITUATED WITHIN THIS STATE
WHICH:

(1)  PROVIDES A PROGRAM OF EDUCATION BEYOND THE
HIGH SCHOOL LEVEL;

(2)  AWARDS A AN ASSOCIATE'S, BACHELOR'S , OR
ADVANCED DEGREE; OR PROVIDES A PROGRAM OF NOT LESS THAN 2
YEARS DURATION WHICH IS ACCEPTED FOR FULL CREDIT TOWARD A

BACHELOR'S DEGREE;

(3)   IS ACCREDITED BY THE COMMISSION ON HIGHER
EDUCATION OF THE MIDDLE STATES ASSOCIATION OF COLLEGES AND
SCHOOLS OR BY A NATIONAL ACCREDITING ASSOCIATION OR GROUP
RECOGNIZED BY THE COUNCIL ON POSTSECONDARY ACCREDITATION;
AND

(4)  MEETS THE CONDITIONS OF § 12-203 OF THE
EDUCATION ARTICLE OF THE MARYLAND CODE.

(M) "LOAN FUNDING DEPOSIT" MEANS MONEYS OR OTHER
PROPERTY DEPOSITED BY AN INSTITUTION WITH THE AUTHORITY OR A
TRUSTEE, IN AMOUNTS THE AUTHORITY DETERMINES NECESSARY AS A
CONDITION FOR AN INSTITUTION'S PARTICIPATION IN THE
AUTHORITY'S PROGRAMS TO:

(1)  PROVIDE SECURITY FOR BONDS;

(2)   FUND A DEFAULT RESERVE FUND;

(3)  ACQUIRE DEFAULT INSURANCE; OR

(4)  DEFRAY COSTS OF THE AUTHORITY.

(N) "PARENT" MEANS ANY PARENT OR GUARDIAN OF A STUDENT
AT AN INSTITUTION OF HIGHER EDUCATION.

18-1303. AUTHORITY CREATED.

(A)  THERE IS A BODY POLITIC AND CORPORATE KNOWN AS THE
"MARYLAND HIGHER EDUCATION SUPPLEMENTAL LOAN AUTHORITY".

(B)  THE AUTHORITY IS CONSTITUTED A PUBLIC
INSTRUMENTALITY AND THE EXERCISE BY THE AUTHORITY OF THE
POWERS CONFERRED BY THIS SUBTITLE IS THE PERFORMANCE OF AN
ESSENTIAL PUBLIC FUNCTION.

18-1304. MEMBERSHIP.

(A)  THE AUTHORITY CONSISTS OF 9 11 MEMBERS, 8 9
OF WHOM ARE APPOINTED BY THE GOVERNOR.

(B)  (1) EACH MEMBER SHALL BE A RESIDENT OF THIS STATE.