PARRIS N. GLENDENING, Governor

Ch. 737

(II) (1) THE CORPORATION MAY PROVIDE FOR THE ISSUANCE OF ITS
BONDS FOR THE PURPOSE OF REFUNDING ANY OF ITS BONDS THEN OUTSTANDING,
INCLUDING THE PAYMENT OF ANY REDEMPTION PREMIUM THEREON AND ANY
INTEREST ACCRUED OR TO ACCRUE TO THE EARLIEST OR ANY SUBSEQUENT DATE
OF REDEMPTION, PURCHASE, OR MATURITY OF ITS BONDS, AND, If DEEMED
ADVISABLE BY THE CORPORATION, FOR THE ADDITIONAL PURPOSE OF PAYING ALL
OR ANY PART OF THE COST OF A PROJECT. REFUNDING BONDS MAY BE ISSUED BY
THE CORPORATION FOR ANY CORPORATE PURPOSE, INCLUDING THE PUBLIC
PURPOSES OF REALIZING SAVINGS IN THE EFFECTIVE COSTS OF DEBT SERVICE,
DIRECTLY OR THROUGH A DEBT RESTRUCTURING, OR ALLEVIATING AN
IMPENDING OR ACTUAL DEFAULT OR RELIEVING THE CORPORATION OF
CONTRACTUAL AGREEMENTS WHICH, IN THE OPINION OF THE CORPORATION,
HAVE BECOME UNREASONABLY ONEROUS OR IMPRACTICABLE OR IMPOSSIBLE TO
PERFORM. REFUNDING BONDS IN ONE OR MORE SERIES MAY BE ISSUED IN AN
AMOUNT IN EXCESS OF THAT OF THE BONDS TO BE REFUNDED. WITHOUT LIMITING
THE EXTENT OR NATURE OF ANY SOURCES OF PAYMENT PROVIDED BY THE
CORPORATION, REFUNDING BONDS MAY BE MADE PAYABLE FROM ESCROWED
BOND PROCEEDS AND FROM INTEREST, INCOME, AND PROFITS, IF ANY, ON
INVESTMENTS, SUCH SOURCES MAY BE SO APPLIED IN ADDITION TO OTHER
LAWFUL USES AND SHALL CONSTITUTE REVENUES OF A PROJECT UNDER THIS
SUBTITLE.

(2) THE PROCEEDS OF BONDS ISSUED FOR THE PURPOSE OF
REFUNDING OUTSTANDING BONDS MAY, IN THE DISCRETION OF THE
CORPORATION, BE APPLIED TO THE PURCHASE OR RETIREMENT AT MATURITY OR
REDEMPTION OF SUCH OUTSTANDING BONDS EITHER ON THEIR EARLIEST OR ANY
SUBSEQUENT REDEMPTION DATE, AND MAY, PENDING SUCH APPLICATION, BE
PLACED IN ESCROW TO BE APPLIED TO SUCH PURCHASE OR RETIREMENT AT
MATURITY OR REDEMPTION ON SUCH DATE AS MAY BE DETERMINED BY THE
CORPORATION.

(3) ANY ESCROWED BOND PROCEEDS, PENDING SUCH USE, MAY BE
INVESTED AND REINVESTED IN OBLIGATIONS OF OR GUARANTEED BY THE UNITED
STATES OF AMERICA, OR IN CERTIFICATES OF DEPOSIT OR TIME DEPOSITS SECURED
BY OBLIGATIONS OF OR GUARANTEED BY THE UNITED STATES OF AMERICA,
MATURING AT SUCH TIME OR TIMES AS SHALL BE APPROPRIATE TO ASSURE THE
PROMPT PAYMENT, AS TO PRINCIPAL, INTEREST, AND REDEMPTION PREMIUM, IF
ANY, OF THE OUTSTANDING BONDS TO BE SO REFUNDED. THE INTEREST, INCOME,
AND PROFITS, IF ANY, EARNED OR REALIZED ON ANY SUCH INVESTMENT MAY ALSO
BE APPLIED TO THE PAYMENT OF THE OUTSTANDING BONDS TO BE SO REFUNDED.
AFTER THE TERMS OF THE ESCROW HAVE BEEN FULLY SATISFIED AND CARRIED
OUT, ANY BALANCE OF SUCH PROCEEDS AND INTEREST, INCOME, AND PROFITS, IF
ANY, EARNED OR REALIZED ON THE INVESTMENTS THEREOF MAY BE RETURNED
TO THE CORPORATION FOR USE BY IT IN ANY LAWFUL MANNER.

(4) THE PORTION OF THE PROCEEDS OF ANY OF ITS BONDS ISSUED FOR
THE ADDITIONAL PURPOSE OF PAYING ALL OR ANY PART OF THE COST OF A
PROJECT MAY BE INVESTED AND REINVESTED IN OBLIGATIONS OF OR
GUARANTEED BY THE UNITED STATES OF AMERICA, OR IN CERTIFICATES OF

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