WILLIAM DONALD SCHAEFER, Governor                   Ch. 649

CHAPTER 649

(Senate Bill 992)

AN ACT concerning

Pension Liability Funding Bonds

FOR the purpose of making certain findings and determinations
concerning the issuance of pension liability funding bonds;
defining a certain term; providing for the issuance and sale
by certain counties and municipal corporations in the State
of general obligation or revenue bonds or other evidences of
obligation in order to fund any unfunded pension plan
liability of the issuer; establishing terms, conditions and
procedures for the issuance of pension liability funding
bonds; providing for the creation of a trust fund in
connection with any pension liability funding and the
application of the proceeds thereof; providing that certain
findings by the legislative or other governing body of the
public body issuing pension liability funding bonds shall be
conclusive; providing for the exemption from State and local
taxes within the State of Maryland of the bonds and the
income therefrom; providing that provisions of this Act are
severable; and generally finding, determining and providing
for various matters in connection with the issuance and sale
of pension liability funding bonds.

BY adding to

Article 31 - Debt - Public

Section 31 and the new subtitle "Pension Liability Funding

Bonds"
Annotated Code of Maryland
(1986 Replacement Volume)

SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF
MARYLAND, That the Laws of Maryland read as follows:

Article 31 - Debt - Public

PENSION LIABILITY FUNDING BONDS

31.

(A) THE GENERAL ASSEMBLY FINDS AND DETERMINES THAT IT IS IN
THE BEST INTERESTS OF THE CITIZENS OF THE STATE AND OF THE
VARIOUS MUNICIPAL CORPORATIONS SUBJECT TO THE PROVISIONS OF
ARTICLE 23A AND COUNTIES SUBJECT TO THE PROVISIONS OF ARTICLE 25A
OR ARTICLE 25B TO PERMIT EACH PUBLIC BODY, AT THE TIMES IT SHALL
DETERMINE TO BE APPROPRIATE, TO ISSUE GENERAL OBLIGATION BONDS,
REVENUE BONDS, OR OTHER EVIDENCES OF OBLIGATION IN ORDER TO FUND

- 3045 -