PARRIS N. GLENDENING, Governor Ch. 262

other application of this Act which can be given effect without the invalid provision or
application, and for this purpose the provisions of this Act are declared severable.

SECTION 2. 3. AND BE IT FURTHER ENACTED, That this Act shall take effect
October 1, 1997.

Approved April 29, 1997.

CHAPTER 262
(House Bill 847)

AN ACT concerning

Creation of a State Debt - Montgomery County - Byron House

FOR the purpose of authorizing the creation of a State Debt not to exceed $1,125,000
$300,000 $100,000, the proceeds to be used as a grant to the Board of Directors of
Victory Housing, Inc. for certain acquisition, development, or improvement
purposes; providing for disbursement of the loan proceeds, subject to a requirement
that the grantee provide and expend a matching fund; prohibiting the grantee from
using the proceeds of the loan or the matching fund for sectarian religious purposes;
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 Montgomery
County - Byron House Loan of 1997 in a total principal amount equal to the lesser of (i)
$1,125,000 $300,000 $100,000 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 Victory Housing, Inc. (referred to hereafter in this
Act as "the grantee") for the planning, design, and construction of, and for the provision
of capital equipment for, an assisted living facility for frail elderly individuals, to be
named Byron House and to be located in Potomac, in Montgomery County.

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