Ch. 194                                    1994 LAWS OF MARYLAND

Approved May 2, 1994.

CHAPTER 194
(Senate Bill 644)

AN ACT concerning

Creation of a State Debt - Upper Chesapeake Health Systems, Inc.

FOR the purpose of authorizing the creation of a State Debt not to exceed $595,000, the
proceeds to be used as a grant to the Board of Directors of the Upper Chesapeake
Health Systems, Inc. for the planning, design, repair, and renovation of, and for the
provision of capital equipment for, a locked psychiatric and day treatment unit in a
portion of Harford Memorial Hospital, Inc., located at 501 South Union Avenue in
Havre de Grace, subject to the requirement that the Board of Directors of the
Upper Chesapeake Health Systems, Inc. provide and expend a matching fund and
present by a certain date evidence that a matching fund will be provided; and
providing generally for the issuance and sale of bonds evidencing the loan.

SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF
MARYLAND, That:

(1)     The Board of Public Works may borrow money and incur indebtedness on
behalf of the State of Maryland through a State loan to be known as the Upper
Chesapeake Health Systems, Inc. Loan of 1994 in a total principal amount equal to the
lesser of (i) $595,000 or (ii) the amount of the matching fund provided in accordance with
Section 1(5) below. This loan shall be evidenced by the issuance, sale, and delivery of
State general obligation bonds authorized by a resolution of the Board of Public Works
and issued, sold, and delivered in accordance with §§ 8-117 through 8-124 of the State
Finance and Procurement Article and Article 31, § 22 of the Code.

(2)     The bonds to evidence this loan or installments of this loan may be sold as a
single issue or may be consolidated and sold as part of a single issue of bonds under §
8-122 of the State Finance and Procurement Article.

(3)     The cash proceeds of the sale of the bonds shall be paid to the Treasurer and
first shall be applied to the payment of the expenses of issuing, selling, and delivering the
bonds, unless funds for this purpose are otherwise provided, and then shall be credited on
the books of the Comptroller and expended, on approval by the Board of Public Works,
for the following public purposes, including any applicable architects' and engineers' fees:
as a grant to the Board of Directors of the Upper Chesapeake Health Systems, Inc. for
the planning, design, repair, and renovation of, and for the provision of capital equipment
for, a locked psychiatric and day treatment unit in a portion of Harford Memorial
Hospital, Inc., located at 501 South Union Avenue in Havre de Grace.

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