Ch. 737

1997 LAWS OF MARYLAND

NOR THE TAXING POWER OF THE STATE OR ANY POLITICAL SUBDIVISION THEREOF
IS PLEDGED TO THE PAYMENT OF THE PRINCIPAL OF OR THE INTEREST ON THE
BONDS.

(3) THE ISSUANCE OF BONDS UNDER THIS SUBTITLE IS NOT DIRECTLY
OR INDIRECTLY OR CONTINGENTLY AN OBLIGATION, MORAL OR OTHER, OF THE
STATE OF MARYLAND OR ANY POLITICAL SUBDIVISION THEREOF TO LEVY OR
PLEDGE ANY FORM OF TAXATION WHATEVER THEREFOR OR TO MAKE ANY
APPROPRIATION FOR THEIR PAYMENT.

(4) NOTHING IN THIS SECTION SHALL PREVENT THE CORPORATION
FROM PLEDGING ITS FULL FAITH AND CREDIT TO THE PAYMENT OF BONDS
AUTHORIZED UNDER THIS SUBTITLE.

(5) HOWEVER, THIS SECTION DOES NOT LIMIT THE ABILITY OF THE
STATE OR A SUBDIVISION TO SET, IMPOSE, OR COLLECT AN ASSESSMENT, RATE, FEE,
OR CHARGE TO PAY TO THE CORPORATION THE COST OF A PROJECT, INCLUDING
THE PRINCIPAL OF AND INTEREST ON A BOND, UNDER AN AGREEMENT BETWEEN
THE CORPORATION AND THE STATE OR POLITICAL SUBDIVISION.

THE CORPORATION SHALL DETERMINE THE FORM OF THE BONDS, THE
MANNER OF EXECUTING THE BONDS, THE DENOMINATION OR DENOMINATIONS OF
THE BONDS, AND THE PLACE OR PLACES OF PAYMENT OF PRINCIPAL AND INTEREST
WHICH MAY BE A BANK OR TRUST COMPANY WITHIN OR OUTSIDE OF THE STATE.

(E) (1) THE BONDS SHALL BE EXECUTED IN THE MANNER DETERMINED BY
THE CORPORATION.

(2) IF ANY OFFICER WHOSE SIGNATURE OR FACSIMILE THEREOF
APPEARS ON ANY BOND CEASES TO BE SUCH OFFICER BEFORE THE DELIVERY OF
THE BONDS, THE SIGNATURE OR FACSIMILE THEREOF SHALL NEVERTHELESS BE
VALID AND SUFFICIENT FOR ALL PURPOSES THE SAME AS IF THE OFFICER HAD
REMAINED IN OFFICE UNTIL THE DELIVERY.

(F) (1) ALL BONDS ISSUED UNDER THE PROVISIONS OF THIS SECTION HAVE
AND ARE HEREBY DECLARED TO HAVE, AS BETWEEN SUCCESSIVE HOLDERS, ALL
THE QUALITIES AND INCIDENTS OF NEGOTIABLE INSTRUMENTS UNDER THE
NEGOTIABLE INSTRUMENTS LAW OF THE UNIFORM COMMERCIAL CODE OF THIS
STATE.

(2) PROVISIONS MAY BE MADE FOR THE REGISTRATION OF BONDS.

(G) (1) THE BONDS SHALL BE SOLD BY THE CORPORATION, AT PUBLIC OR
PRIVATE SALE, IN SUCH MANNER AND FOR SUCH PRICE AS IT MAY DETERMINE TO
BE FOR ITS BEST INTERESTS.

(2) NONE OF THE PROVISIONS OF §§ 8-206 AND 8-208 OF THE STATE
FINANCE AND PROCUREMENT ARTICLE HAVE ANY APPLICATION TO THE BONDS
HEREBY AUTHORIZED AND THE BONDS ARE EXPLICITLY EXEMPTED FROM THOSE
PROVISIONS.

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