HARRY HUGHES, Governor                                     3121

TO PROVIDE FOR OR ASSUME THE PAYMENT, WHEN DUE, OF THE PRINCIPAL
OF AND INTEREST ON ALL THE BONDS MATURING IN EACH SUCH FISCAL
YEAR AND, IF THE PROCEEDS FROM THE TAXES SO LEVIED IN ANY SUCH
FISCAL YEAR PROVE INADEQUATE FOR SUCH PAYMENT, ADDITIONAL TAXES
SHALL BE LEVIED IN THE SUCCEEDING FISCAL YEAR TO MAKE UP ANY SUCH
DEFICIENCY. THE COUNTY MAY APPLY TO THE PAYMENT OF THE PRINCIPAL
OF AND INTEREST ON ANY BONDS ANY FUNDS RECEIVED IN REPAYMENT OF
PRINCIPAL OF OR INTEREST ON A LOAN MADE FROM THE FUND OR ANY
FUNDS RECEIVED BY IT FROM THE STATE OF MARYLAND, THE UNITED
STATES OF AMERICA, ANY AGENCY OR INSTRUMENTALITY OF EITHER, OR
FROM ANY OTHER SOURCE, IF SUCH FUNDS ARE GRANTED FOR THE PURPOSE
OF ASSISTING THE COUNTY IN ACCOMPLISHING THE PURPOSES OF THIS
SECTION, AND, TO THE EXTENT OF ANY SUCH FUNDS RECEIVED OR
RECEIVABLE IN ANY FISCAL YEAR, TAXES THAT MIGHT OTHERWISE BE
REQUIRED TO BE LEVIED UNDER THIS PARAGRAPH MAY BE REDUCED OR NEED
NOT BE LEVIED.

(9) THE BONDS, THEIR TRANSFER, THE INTEREST PAYABLE
THEREON, AND ANY INCOME DERIVED THEREFROM IN THE HANDS OF THE
OWNERS THEREOF FROM TIME TO TIME (INCLUDING ANY PROFIT MADE IN
THE SALE THEREOF), SHALL BE AND ARE HEREBY DECLARED TO BE AT ALL
TIMES EXEMPT FROM STATE, COUNTY, MUNICIPAL OR OTHER TAXATION OF
EVERY KIND AND NATURE WHATSOEVER WITHIN THE STATE OF MARYLAND.

(C) (E) (1) THE PURPOSE OF THE FUND IS TO PROVIDE LOW
INTEREST LOANS TO VOLUNTEER FIRE, AMBULANCE, AND RESCUE COMPANIES
DEPARTMENTS THAT ARE MEMBERS IN GOOD STANDING OF THE ST. MARY'S
COUNTY FIRE BOARD OR THE ST. MARY'S COUNTY AMBULANCE AND RESCUE
ASSOCIATION FOR THE FOLLOWING PURPOSES:

(I)  TO FINANCE THE PURCHASE OF MAJOR FIRE
FIGHTING EQUIPMENT; AND

(II)  TO FINANCE LAND ACQUISITION AND
CONSTRUCTION COSTS.

(D) (F) (1) THE FUND SHALL BE CHARGED WITH ALL EXPENSES OF
ADMINISTERING THE PROVISIONS OF THIS SECTION.

(2) THE FUND MAY NOT BE USED FOR OPERATIONAL EXPENSES
OF THE VOLUNTEER FIRE, AMBULANCE, AND RESCUE COMPANIES
DEPARTMENTS.

(E) (G) (1) A VOLUNTEER FIRE, AMBULANCE, OR RESCUE COMPANY
DEPARTMENT SHALL APPLY FOR LOANS UNDER THIS SECTION ON FORMS AS
PRESCRIBED BY THE COUNTY BUDGET DIRECTOR BOARD OF COUNTY
COMMISSIONERS.

(2) THE APPLICATION SHALL CONTAIN INFORMATION
NECESSARY TO EVALUATE THE REQUESTED LOAN FOR NEED, FINANCIAL
ABILITY OF BORROWER, SOURCES OF REPAYMENT, PROPOSED COSTS AND
EXPENDITURES, FAIR VALUE OF COMPLETE PROJECTS, NORMAL OR USEFUL
LIFE OF EQUIPMENT, SECURITY FOR THE LOAN, AND OTHER INFORMATION
AS MAY BE APPROPRIATE OR USEFUL IN EVALUATING THE LOAN
APPLICATION.