Ch. 246                                          LAWS OF MARYLAND

(2) PRIOR TO AND DURING CONSTRUCTION AND FOR 1 YEAR
AFTER COMPLETION OF CONSTRUCTION OF ANY AUXILIARY FACILITIES FOR
WHICH BONDS HAVE BEEN ISSUED, THE INTEREST ON THE BONDS MAY BE
PAID OUT OF THE PROCEEDS OF THE BONDS OR OUT OF OTHER MONEYS
ALLOCATED FOR THAT PURPOSE.

(J) (1) THE SYSTEM MAY PROVIDE, FROM TIME TO TIME,
FOR THE ISSUANCE AND SALE OF ITS BOND ANTICIPATION NOTES IN
ACCORDANCE WITH THE PROCEDURES SET FORTH IN THIS TITLE FOR THE
ISSUANCE OF BONDS. THE PRINCIPAL OF AND PREMIUM, IF ANY, AND
INTEREST ON THE NOTES SHALL BE PAYABLE OUT OF THE FIRST PROCEEDS
OF SALE OF ANY SERIES OF BONDS ISSUED UNDER THE PROVISIONS OF
THIS TITLE OR ANY OTHER SOURCES FROM WHICH BONDS ISSUED HEREUNDER
COULD BE PAID.

(2) BOND ANTICIPATION NOTES MAY BE ISSUED IN SERIES
AS FUNDS ARE REQUIRED AND MAY BE RENEWED OR EXTENDED AT MATURITY
WITH OR WITHOUT RESALE. ALL SUCH NOTES SHALL BE SOLD AND
EXECUTED IN THE SAME MANNER AS PROVIDED FOR BONDS ISSUED PURSUANT
TO THIS TITLE.

(3) EXCEPT WHERE THE PROVISIONS OF THIS TITLE WOULD
BE INAPPLICABLE TO BOND ANTICIPATION NOTES, THE TERM "BONDS" USED
IN THIS TITLE SHALL INCLUDE BOND ANTICIPATION NOTES, INCLUDING
(WITHOUT IN ANY WAY LIMITING THE FOREGOING) THE PROVISIONS
PERTAINING TO THE EXEMPTION FROM TAXATION BY THE STATE AND ITS
POLITICAL SUBDIVISIONS.

19-104.

(A) ANY BONDS ISSUED UNDER THE PROVISIONS OF THIS TITLE MAY
BE SECURED BY A TRUST AGREEMENT BETWEEN A SYSTEM AND A CORPORATE
TRUSTEE, WHICH MAY BE ANY TRUST COMPANY OR BANK HAVING THE POWERS
OF A TRUST COMPANY WITHIN OR WITHOUT THE STATE.

(B) ANY TRUST AGREEMENT MAY PLEDGE OR ASSIGN THE INCOME,
FEES, RENTS, CHARGES, AND OTHER REVENUES TO BE RECEIVED FROM THE
USE OF AUXILIARY FACILITIES.

(C) ANY TRUST AGREEMENT OR ANY RESOLUTION PROVIDING FOR THE
ISSUANCE OF BONDS MAY CONTAIN PROVISIONS FOR PROTECTING AND
ENFORCING THE RIGHTS AND REMEDIES OF THE BONDHOLDERS REASONABLE
AND PROPER AND NOT IN VIOLATION OF LAW, INCLUDING COVENANTS WHICH
SHALL INCLUDE BUT NOT BE LIMITED TO:

(1) THE DUTIES OF THE SYSTEM IN RELATION TO THE
ACQUISITION OF PROPERTY, AND THE CONSTRUCTION, IMPROVEMENT,
MAINTENANCE, REPAIR, OPERATION, USE, AND INSURANCE OF ANY
AUXILIARY FACILITIES;

(2) THE DUTIES OF THE SYSTEM IN RELATION TO AUXILIARY
FACILITIES FEES;

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