706

LAWS OF MARYLAND

Ch. 10

2.  Aggregate shareholder's equity in the
amount required under either [item (i) or (ii) of] paragraph [(2)
of this section] (2)(I) OR PARAGRAPH (2)(II) OF THIS SUBSECTION;
or

3.  Aggregate fair market value in the
amount required under [item (i) or (ii) of] paragraph [(2) of
this section] (2)(I) OR PARAGRAPH (2)(II) OF THIS SUBSECTION; and

(ii) Debt instruments of the commercial bank or
corporation may not be considered.

13-221.2.

(a) All of the following receipts of the Authority shall be
placed in the Guaranty Fund:

(3)  Premiums for guaranteeing long-term loans
pursuant to § 13-233.2 of this [section] SUBTITLE;

Part VI. Small Business Surety Bond [Guarantee] GUARANTY

Program

13-234.1.

In addition to any other of its powers, the Authority may:

(4)  Prescribe or approve the form of and terms and
conditions in applications, [guarantee] GUARANTY agreements, or
any other documents entered into by the Authority, principals, or
sureties in connection with the Program;

13-234.2.

(a) There is a Small Business Surety Bond [Guarantee]
GUARANTY Fund.

13-234.3.

(a)  Subject to the restrictions of this Part VI, the
Authority, on application, may guarantee any surety up to 90
percent of any losses incurred as a result of a principal's
breach of a bid bond, a payment bond, or a performance bond on
any government contract of not more than $1,000,000 in face
value.

(b)  The term of a [guarantee] GUARANTY under this Part VI
may not exceed the term of the contract.

(c)  The Authority may vary the terms and conditions of the
[guarantee] GUARANTY from surety to surety, based upon the
Authority's history of experience with that surety and upon any
other factor that the Authority considers relevant.