906                                              LAWS OF MARYLAND                                     Ch. 11

However, Ch. 202, Acts of 1914, which first enacted
former Art. 95, § 21(a), required gubernatorial
approval for the collateral of all depositaries and,
thus, effectively made the use of all institutions
subject to review of the Governor.

In practice, depositaries now are chosen in accordance
with Article 21 of the Code and are not approved by
the Governor. The Commission to Revise the Annotated
Code notes, for consideration by the General Assembly,
whether this section should be clarified in light of
the Constitution and the Procurement Law.

As to depositaries for bonds and other obligations
that the State holds, see Title 2, Subtitle 6 of this
article.

Defined term: "Financial institution" § 6-201

6-207. HIGHER EDUCATION LOANS.

BEFORE USING A FINANCIAL INSTITUTION AS A DEPOSITARY, THE
TREASURER SHALL CONSIDER THE EXTENT TO WHICH THE FINANCIAL
INSTITUTION MAKES HIGHER EDUCATION LOANS UNDER TITLE 18, SUBTITLE
10 OF THE EDUCATION ARTICLE.

REVISOR'S NOTE: This section is new language derived
without substantive change from former Art. 95, §
23(c).

The new defined term "financial institution" is
substituted for the former references to a "ban[k]",
                     which seemed to be used, in former Art., 95, § 23(c),

as a generic term. These substitutions are based on
former Art. 95, § 23(a)(1), which read, in part,
"banks (including commercial banks, ... trust
companies, ... and building and loan associations)".

The word "using" is substituted for the former
directive "selecting or continuing", for brevity.

The phrase "makes ... loans" is substituted for the
former reference to "participation in the Maryland
Higher Education Loan Program", for clarity. The
referenced provisions of the Education Article do not
create a program but, rather, the Maryland Higher
Education Loan Corporation, which makes or guarantees
loans.

The former phrase "among other appropriate factors" is
deleted as unnecessary in light of § 6-205 of this
subtitle.

Defined term: "Financial institution" § 6-201