Ch. 93                                           LAWS OF MARYLAND

19-107.

(a)  The exercise of the powers granted by the provisions of
this title shall be for the benefit of the people of the State,
for the increase of their education and prosperity, and for the
improvement of their health, living conditions, and general
welfare.

(b)  The operation and maintenance of [auxiliary]
EDUCATIONAL AUXILIARY OR ACADEMIC facilities [and accommodations]
by a system constitutes the performance of essential governmental
functions.

(c)   [The System] A SYSTEM may not be required to pay any
taxes or assessments upon any building or buildings or any
property, real, personal, or mixed, acquired or used under the
provisions of this title or upon the income therefrom.

(d)  Bonds issued under the provisions of this title, their
transfer and income, including any profit made on their sale, are
free from taxation by the State or by any of its political
subdivisions, or by any town or incorporated municipality or any
other public agency within the State.

19-108.

(a)  A system may provide by resolution for the issuance of
bonds for the purpose of refunding any bonds or refunding bonds
then outstanding including the payment of any redemption premium
and any interest accrued or to accrue to the date of redemption
of the bonds AND ANY ISSUANCE COSTS OF REFUNDING BONDS.

(b)  The provisions of this title govern:

(1)  The issuance of the refunding bonds;

(2)  Their maturities and other details;

(3)  The rights and remedies of the bondholder;

(4)  The security for the refunding bonds; and

(5)  The rights, duties, and obligations of [the
System] A SYSTEM.

19-109.

(a) Bonds issued under the provisions of this title are

securities in which all of the following may legally and

properly invest funds, including capital in their control or
belonging to them:

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