Ch. 365

LAWS OF MARYLAND

(4) The allocation and use of State funds under this Act
are subject to the condition that a State grant may not exceed 60
percent of the eligible cost of a systemic renovation project.

(4) (5) An annual State tax is imposed 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. The principal shall be discharged within 15 years
after the date of issue of the bonds.

SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall
take effect June 1, 1987.

Approved May 14, 1987.

CHAPTER 365

(Senate Bill 549)

AN ACT concerning

Creation of a State Debt - Beach Erosion Control Loan of 1987

FOR the purpose of authorizing the creation of a State Debt in
the amount of $5,000,000, the proceeds to be used by the
Department of Natural Resources in accordance with certain;
law to provide State funds for the construction of a beach
replenishment project for the Town of Ocean City;
restricting the use of certain funds; requiring a certain

report; expressing legislative intent concerning the

purchasing of certain easements; 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:

(1)  The Board of Public Works may borrow money and incur
indebtedness on behalf of the State of Maryland through a State
loan to be known as the Beach Erosion Control Loan of 1987 in the
total principal amount of $5,000,000. This loan shall be
evidenced by the issuance, sale, and delivery of State general
obligation bonds authorized by a resolution of the Board of
Public Works and issued, sold, and delivered in accordance with
§§ 8-117 through 8-124 of the State Finance and Procurement
Article and Article 31, § 22 of the Code.

(2)  The bonds to evidence this loan or installments of this
loan may be sold as a single issue, or may be consolidated and

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