532                                               LAWS OF MARYLAND                                        Ch. 132

FOR the purpose of defining the public purposes for which an
issuer may issue its refunding bonds to include a savings to
the issuer in the effective cost of debt service through a
reduction, in accordance with a present value calculation,
in the issuer's annual debt service for any period which is
not less than 10 percent of the stated term of the refunding
bonds, and generally relating to the refunding of bonds by a
political subdivision empowered to borrow money.

FOR the purpose of redefining the public purposes for which an
issuer may issue its refunding bonds to allow present value
savings computations and to allow its governing body to
determine that the best interests of the issuer will be
served by a refunding to accomplish a debt restructuring;
and generally relating to the refunding of bonds by a public
body empowered to borrow money.

BY repealing and reenacting, with amendments,

Article 31 - Debt - Public
Section 24(a)

Annotated Code of Maryland
(1983 Replacement Volume)

SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF
MARYLAND, That the Laws of Maryland read as follows:

Article 31 - Debt - Public

24.

(a) A municipal corporation subject to the provisions of
Article 23A, a county, whether subject to the provisions of
Articles 25, 25A, or 25B, Baltimore City, a sanitary commission
or district, whether organized under the provisions of public
general or public local law, but not including the Washington
Suburban Sanitary Commission, and a department, commission,
authority, public corporation or other instrumentality of the
State, a county or municipal corporation, including Baltimore
City, that has power under any public general or public local law
to borrow money and to evidence the borrowing by the issuance of
its general obligation bonds, revenue bonds or other evidences of
obligation by whatever name known or source of funds secured, may
issue bonds for the purpose of refunding any of its bonds then
outstanding, including the payment of any redemption premium and
any interest accrued or to accrue to the date of redemption,
purchase or maturity of the bonds or other obligations. No
refunding bonds shall be issued by any State agency without the
prior approval of the Board of Public Works, nor by any single
county, bicounty or multicounty agency or instrumentality without
the prior approval of the governing body of each county involved.
Refunding bonds issued under the authority of this section may be
issued [only] for the public purpose of [realizing savings to the
issuer in the effective costs of debt service directly or through