Ch. 680                                    1997 LAWS OF MARYLAND

C. THE INTEREST RATE OF THE INSTRUMENT VARIES
DIRECTLY, AND NOT INVERSELY, WITH THE INDEX ON WHICH IT IS BASED AND IS
NOT RESET AS A MULTIPLE OF THE CHANGE IN THE RELATED INDEX;

(XVII)  INVESTMENTS IN FIXED ASSETS AS DEFINED IN THE CODE OF
MARYLAND REGULATIONS (COMAR) 09.03.01.18; AND

(XVIII) DEPOSITS IN A CREDIT UNION SHARE AND DEPOSIT INSURER
REPRESENTING AN INSURED CREDIT UNION'S CAPITALIZATION ACCOUNT BALANCE
OF 1 PERCENT OF INSURED SHARES. IN THIS SECTION, "RISK ASSETS" MEANS A
CREDIT UNION'S TOTAL LOANS OUTSTANDING TO ITS MEMBERS.

6-604.

(A) (1) A credit union may borrow money for not longer than 1 year from any
source, including another credit union, as long as the total borrowing does not exceed 50
percent of the paid in and unimpaired capital and surplus of the borrowing credit union.

(2) The 1 year period may be extended for an additional year with the
approval of the Commissioner.

(B) NOTWITHSTANDING SUBSECTION (A) OF TIBS SECTION, A CREDIT UNION
MAY BORROW MONEY FOR LONGER THAN 1 YEAR.

(1) TO PURCHASE FIXED ASSETS, WITH THE APPROVAL OF THE
COMMISSIONER; OR

(2) IF THE LOAN IS OBTAINED FROM A FEDERAL HOME LOAN BANK.

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

Approved May 22, 1997.

CHAPTER 680
(House Bill 588)

AN ACT concerning

State Procurement Law - Intergovernmental Cooperative Purchasing Agreements

FOR the purpose of authorizing a primary procurement unit to sponsor or participate in
an intergovernmental cooperative purchasing agreement under specified
circumstances; specifying that an intergovernmental cooperative purchasing
agreement sponsored by a primary procurement unit be awarded in accordance with
the procurement law and that specified procedures apply; providing that when a
primary procurement unit participates in an intergovernmental cooperative
purchasing agreement, any protest or contract claim shall be handled in accordance
with the terms of the agreement; authorizing a political subdivision of the State to
participate in an intergovernmental cooperative purchasing agreement sponsored by

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