Ch. 454

LAWS OF MARYLAND

resolution, the excess funds shall be applied to the payment of
the next principal maturity of the bonds or to the redemption of
any part of the bonds which have been made redeemable or to the
purchase and cancellation of bonds unless the County adopts a
resolution allocating the excess funds to the construction,
improvement or development of other public facilities.

SECTION 5. AND BE IT FURTHER ENACTED, That the bonds hereby
authorized shall constitute, and they shall so recite, an
irrevocable pledge of the full faith and credit and unlimited
taxing power of the County to the payment of the maturing
principal of and interest on the bonds as and when they become
payable. In each and every fiscal year that any of the bonds are
outstanding, the County shall levy or cause to be levied ad
valorem taxes upon all the assessable property within the
corporate limits of the County in rate and amount sufficient to
provide for or assume the payment, when due, of the principal of
and interest on all the bonds maturing in each such fiscal year
and, if the proceeds from the taxes so levied in any fiscal year
prove inadequate for such payment, additional taxes shall be
levied in the succeeding fiscal year to make up any deficiency.
The County may apply to the payment of the principal of and
interest on any bonds issued hereunder any funds received by it
from the State of Maryland, the United States of America, any
agency or instrumentality of either, or from any other source.
If such funds are granted for the purpose of assisting the County
in financing the planning and construction of the public
facilities defined in this Act and, to the extent of any such
funds received or receivable in any fiscal year, taxes that might
otherwise be required to be levied under this Act may be reduced
or need not be levied.

SECTION 6. AND BE IT FURTHER ENACTED, That the County is
hereby further authorized and empowered, at any time and from
time to time, to issue its bonds in the manner hereinabove
described for the purpose of refunding, upon purchase or
redemption, any bonds issued under this Act. The validity of any
refunding bonds shall in no way be dependent upon or related to
the validity or invalidity of the obligations being refunded.
The powers herein granted with respect to the issuance of bonds
shall be applicable to the issuance of refunding bonds. Such
refunding bonds may be issued by the County for the purpose of
providing it with funds to purchase in the open market any of its
outstanding bonds issued under this Act, prior to their maturity,
or for the purpose of providing it with funds for the redemption
prior to maturity of any outstanding bonds which are, by their
terms, redeemable. The proceeds of the sale of any refunding
bonds shall be segregated and set apart by the County as a
separate trust fund to be used solely for the purpose of paying
the purchase or redemption prices of the bonds to be refunded.

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