WILLIAM DONALD SCHAEFER, Governor Ch. 512

The authority granted under this Act shall not be exercised,
nor shall any of the proceeds of the sale of bonds be used or
applied, in any manner which would cause any bonds, refunding
bonds, bond anticipation notes or other obligations issued
hereunder or in connection herewith to be deemed "private
activity bonds" within the meaning of Sections 103 and 141
through 150 of the Internal Revenue Code of 1986 or the
regulations prescribed thereunder.

SECTION 5. AND BE IT FURTHER ENACTED, That the bonds hereby
authorized shall constitute, and they shall so recite, an
irrevocable pledge of the full faith and credit and unlimited
taxing power of the County to the payment of the maturing
principal of and interest on the bonds as and when they become
payable. In each and every fiscal year that any of the bonds are
outstanding, the County shall levy or cause to be levied ad
valorem taxes upon all the assessable property within the
corporate limits of the County in rate and amount sufficient 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 shall 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 issued hereunder 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 financing the construction, improvement, expansion,
or development of the public facilities defined in this Act 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 Act may be reduced or need not be levied.

SECTION 6. AND BE IT FURTHER ENACTED, That the County is
hereby further authorized and empowered, at any time and from
time to time, to issue its bonds in the manner hereinabove
described for the purpose of refunding, upon purchase or
redemption, any bonds issued under this Act. The validity of any
refunding bonds shall in no way be dependent upon or related to
the validity or invalidity of the obligations being refunded.
The powers herein granted with respect to the issuance of bonds
shall be applicable to the issuance of refunding bonds. Such
refunding bonds may be issued by the County for the purpose of
providing it with funds to purchase in the open market any of its
outstanding bonds issued under this Act, prior to their maturity,
or for the purpose of providing it with funds for the redemption
prior to maturity of any outstanding bonds which are, by their
terms, redeemable. The proceeds of the sale of any refunding
bonds shall be segregated and set apart by the County as a

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