WILLIAM DONALD SCHAEFER, Governor                      Ch. 93

(B) Salisbury State University (Wicomico
County):

(I) Demolish Tawes Hall and construct
an academic building to provide
classrooms, laboratories, and
support space for music, art,
communications, computer science,
and military science.................$ 16,055,000

(2)  The University of Maryland System may issue, sell and
deliver bonds in accordance with Title 19 of the Education
Article of the Code, as amended by this Act, in the total
principal amount of $58,667,250 to finance the academic
facilities hereinabove approved.

(3)  $51,015,000 of the The proceeds of the bonds shall be
used for the costs of construction of the facilities hereinabove
approved, including any architects' and engineers' fees, and for
financing charges and interest prior to and during construction
and for 1 year after completion of construction. The remaining
$7,652,250 of the proceeds of the bonds and all interests earnings
on all of the proceeds of the bonds shall be used, for reserves
for the payment of debt service and for administrative expenses,
including the administrative expenses of issuing the bonds, and
for other expenses necessary or allocable to the facilities
hereinabove approved. If the costs of any academic facility

approved under this section are less than the amount specified

for each project in paragraph (1) of this section, the proceeds

of the bonds may be used to pay for the costs of any other
academic facility approved in paragraph (1) of this section or

for any other purpose for which the proceeds of the bonds for

such academic facilities approved by paragraph (1) of this
section may be used.

(4) The total principal amount of the bonds shall be in
addition to and shall not be deemed to be a part of, the debt
ceiling imposed on the University of Maryland System by Section
19-102 of Title 19 of the Education Article of the Code, as
amended by this Act.

(5) (4) The bonds issued under the authority of this Act do
not create or constitute any indebtedness or obligation of the
State or of any political subdivision thereof except the
University of Maryland System, and the bonds shall so state on
their face. The bonds do not constitute a debt or obligation
contracted by the General Assembly or pledge the faith and credit
of the State within the meaning of Article III, § 34 of the
Maryland Constitution.

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