ROBERT L. EHRLICH, JR., Governor

Ch. 37

SECTION 8. AND BE IT FURTHER ENACTED, That any and all obligations
issued pursuant to the authority of this Act, their transfer, the interest payable
thereon, and any income derived therefrom in the hands of the holders thereof from
time to time (including any profit made in the sale thereof) shall be and are hereby
declared to be at all times exempt from State, county, municipal, or other taxation of
every kind and nature whatsoever within the State of Maryland.

Nothing in this Act shall prevent the County from authorizing the issuance and
sale of bonds the interest on which is not excludable from gross income for federal
income tax purposes.

SECTION 9. AND BE IT FURTHER ENACTED, That the authority to borrow
money and issue bonds conferred on the County by this Act shall be deemed to provide
additional, alternative, and supplemental authority for borrowing money and shall be
regarded as supplemental and additional to powers conferred upon the County by
other laws and shall not be regarded as in derogation of any power now existing; and
all Acts of the General Assembly of Maryland heretofore passed authorizing the
County to borrow money are hereby continued to the extent that the powers contained
in such Acts have not been exercised, and nothing contained in this Act may be
construed to impair, in any way, the validity of any bonds that may have been issued
by the County under the authority of any said Acts, and the validity of the bonds is
hereby ratified, confirmed, and approved. This Act, being necessary for the welfare of
the inhabitants of Frederick County, shall be liberally construed to effect the purposes
hereof. All Acts and parts of Acts inconsistent with the provisions of this Act are
hereby repealed to the extent of such inconsistency.

SECTION 10. AND BE IT FURTHER ENACTED, That the borrowing
authorized by this Act may also be undertaken by the County in the form of
installment purchase obligations executed and delivered by the County for the
purpose of acquiring easements or similar or related rights in land that restrict the
use of agricultural land or woodland to maintain the character of the land as
agricultural land or woodland. The form of installment purchase obligations, the
manner of accomplishing the acquisition of easements, which may be by the direct
exchange of installment purchase obligations for easement, and all matters incident
to the execution and delivery of the installment purchase obligations and acquisition
of the easements by the County shall be determined in the resolution. Except where
the provisions of this Act would be inapplicable to installment purchase obligations,
the term "bonds" used in this Act shall include installment purchase obligations and
matters pertaining to the bonds under this Act, such as the security for the payment
of the bonds, the exemption of the bonds from State, county, municipal, or other
taxation, and authorization to issue refunding bonds and the limitation on the
aggregate principal amount of bonds authorized for issuance, shall be applicable to
installment purchase obligations.

SECTION 11. AND BE IT FURTHER ENACTED, That this Act shall take
effect June 1, 2003.

Approved April 8, 2003.

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