Ch. 211                                           LAWS OF MARYLAND

to the Department for a State grant to be applied toward the cost
of that project. The application shall be directed to the
Secretary of Health and Mental Hygiene. On approval of a project
and the project plans by the Department, the Secretary shall
promptly report the application to the Board of Public Works,
together with the Secretary's recommendation that the Board make
funds available as provided in this Act.

(6)  Before the Department approves any project, the
Secretary of Health and Mental Hygiene shall have adopted
regulations to carry out this Act or this Act and and previous or
subsequent Acts for the same purposes.

(7)  The allocation and use of State funds under this Act
are subject to the following terms and conditions:

(a)  State funds may be used to acquire an existing
building or part of a building for use as an Adult Day Care
Center, or to plan, design, and construct an Adult Day Care
Center, only if the local government and the Department of Health
and Mental Hygiene certify to the Board of Public Works that no
surplus school building or other public building appropriate for
use as an Adult Day Care Center exists in the area where it is
desired to locate a center.

(b)  Any federal or other grant that is received for
an eligible project shall be applied first to the cost of the
project.

(c) Except as provided in subsection (7)(d) and (e)
below, a State grant may not exceed $400,000 or 50 percent of the
cost of eligible work remaining unpaid after federal and other
grants have been applied, whichever is less.

(c) (d) At the discretion of the Board of Public
Works, a State grant may exceed 50 percent of the cost of
eligible work remaining unpaid after all federal and other grants
have been applied up to $400,000, if:

(i) The project involves the conversion of a
public building or part of a building to an Adult Day Care
Center, the renovation of an Adult Day Care Center, or the
planning, design, and construction of an Adult Day Care Center;

(ii) The value of real property and
improvements made available by the local government, or the value
of the center to be renovated, equals or exceeds the amount of
the State grant;

(iii) No State funds have been used for the
acquisition, construction, or maintenance of any real property
and improvements made available by the local government or any
building to be converted or renovated; and

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