HARRY HUGHES, Governor                                      2261

accordance with the provisions of §§ 19 to 23 of Article 31 of
the Code.

(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: to be added to the
Small Business Surety Bond Guarantee Fund established by §
13-234.2 of the Financial Institutions Article.

(4)  There is hereby levied and imposed an annual State tax
on all assessable property in the State in rate and amount
sufficient to pay the principal of and interest on the bonds, as
and when due and until paid in full, such principal to be
discharged within 15 years of the date of issue of the bonds.

SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall
take effect June 1, 1985.

Approved May 21, 1985.

CHAPTER 359

(House Bill 803)

AN ACT concerning

Creation of a State Debt - Elderly Rental Housing Program

Loan of 1985

FOR the purpose of authorizing the creation of a State Debt in
the amount of $3,500,000 $2,000,000, the proceeds to be used
by the Community Development Administration to provide
deferred payment loans, subordinate to other financing, to
private or nonprofit sponsors, counties, municipalities, or
local housing agencies under the Elderly Rental Housing
Program; and providing generally for the issuance and sale
of bonds evidencing the loan.

SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF
MARYLAND, That: