SECTION 7. AND BE IT FURTHER ENACTED, That any current member of
the Board of Trustees may continue to serve the remainder of their term. The initial
Board of Trustees of the College of Southern Maryland shall consist of six members
from Charles County and two members from St. Mary's County. The terms of initial
members of the Board of Trustees of the College of Southern Maryland shall expire as
follows:

(1) Two members in 2002;

(2) Two members in 2003;

(3) Two members in 2004; and

(4) Two members in 2005.

SECTION 8. AND BE IT FURTHER ENACTED, That, at the College of
Southern Maryland:

(1) Direct costs shall be considered the direct charges associated with a
specific campus that are paid from the operating budget of that campus.

(2) Indirect costs (Overhead expenses) shall be considered the costs of
functions of the college that serve all campuses but are borne by the main campus.

(3) Indirect costs (Overhead expenses) include:

(i) Institutional (Administrative) costs; and

(ii) Instructional and Student Services costs.

(4) The Institutional (Administrative) costs of the College of Southern
Maryland include personnel and associated operating costs.

(5) The Instructional and Student Services costs of the College of
Southern Maryland include personnel and associated operating costs.

(6) Until July I, 2004, the Institutional (Administrative) costs of the
College of Southern Maryland shall be shared as follows:

(i) Charles County.................................................................35%;

(ii) St. Mary's County............................................................35%; and

(iii) Calvert County.................................................................30%.

(7) On and after July 1, 2004, the Institutional (Administrative) costs of
the College of Southern Maryland shall be shared equally by the three counties.

(8) The Instructional and Student Services costs of the College of
Southern Maryland shall be shared in proportion to the membership of the Board of
Trustees of the College from each of the three counties, which membership shall be
nine, of which initially five shall be residents of Charles County, two shall be residents
of St. Mary's County, and two shall be residents of Calvert County.