Ch. 306                                    2004 LAWS OF MARYLAND

(C) (1) A PRIVATE ENTITY MAY HOLD TITLE TO PROPERTY USED FOR A
PARTICULAR PUBLIC SCHOOL OR LOCAL SCHOOL SYSTEM IF THE PRIVATE ENTITY IS
CONTRACTUALLY OBLIGATED TO TRANSFER TITLE TO THE APPROPRIATE COUNTY
BOARD ON A SPECIFIED DATE.

(2)      THE CONVEYANCE OF TITLE OF SCHOOL PROPERTY TO A PRIVATE
ENTITY FOR A SPECIFIED TERM UNDER THIS SUBSECTION MAY NOT BE CONSTRUED
TO PROHIBIT THE ALLOCATION OF CONSTRUCTION FUNDS TO AN APPROVED
SCHOOL CONSTRUCTION PROJECT UNDER THE PUBLIC SCHOOL CONSTRUCTION
PROGRAM.

(3)     A COUNTY OR COUNTY BOARD MAY CONVEY OR DISPOSE OF
SURPLUS LAND UNDER THE JURISDICTION OF THE COUNTY OR COUNTY BOARD IN
EXCHANGE FOR PUBLIC SCHOOL CONSTRUCTION OR DEVELOPMENT SERVICES.

4-126.

(A) IN THIS SECTION, "ALTERNATIVE FINANCING METHODS" INCLUDES:

(1)      SALE-LEASEBACK ARRANGEMENTS, IN WHICH A COUNTY BOARD
AGREES TO TRANSFER TITLE TO A PROPERTY, INCLUDING IMPROVEMENTS, TO A
PRIVATE ENTITY THAT SIMULTANEOUSLY AGREES TO LEASE THE PROPERTY BACK
TO THE COUNTY BOARD AND, ON A SPECIFIED DATE, TRANSFER TITLE BACK TO THE
COUNTY BOARD;

(2)      LEASE-LEASEBACK ARRANGEMENTS, IN WHICH A COUNTY BOARD
LEASES A PROPERTY TO A PRIVATE ENTITY THAT IMPROVES THE PROPERTY AND
LEASES THE PROPERTY, WITH THE IMPROVEMENTS, BACK TO THE COUNTY BOARD;

(3)      PUBLIC-PRIVATE PARTNERSHIP AGREEMENTS, IN WHICH A COUNTY
BOARD CONTRACTS WITH A PRIVATE ENTITY FOR THE ACQUISITION, DESIGN,
CONSTRUCTION, IMPROVEMENT, RENOVATION, EXPANSION, EQUIPPING, OR
FINANCING OF A PUBLIC SCHOOL, AND MAY INCLUDE PROVISIONS FOR
COOPERATIVE USE OF THE SCHOOL OR AN ADJACENT PROPERTY AND GENERATION
OF REVENUE TO OFFSET THE COST OF CONSTRUCTION OR USE OF THE SCHOOL; AN©

(4)      PERFORMANCE-BASED CONTRACTING, IN WHICH A COUNTY BOARD
ENTERS INTO AN ENERGY PERFORMANCE CONTRACT TO OBTAIN FUNDING FOR A
PROJECT WITH GUARANTEED ENERGY SAVINGS OVER A SPECIFIED TIME PERIOD;
AND

(5) DESIGN-BUILD ARRANGEMENTS, THAT PERMIT A COUNTY BOARD TO
CONTRACT WITH A DESIGN-BUILD BUSINESS ENTITY FOR THE COMBINED DESIGN
AND CONSTRUCTION OF QUALIFIED EDUCATION FACILITIES, INCLUDING
FINANCING MECHANISMS WHERE THE BUSINESS ENTITY ASSISTS THE LOCAL
GOVERNING BODY IN OBTAINING PROJECT FINANCING.

(B) EXCEPT WHEN PROHIBITED BY LOCAL LAW, IN ORDER TO FINANCE OR TO
SPEED DELIVERY OF, TRANSFER RISKS OF, OR OTHERWISE ENHANCE THE DELIVERY
OF PUBLIC SCHOOL CONSTRUCTION, A COUNTY MAY:

(1) USE ALTERNATIVE FINANCING METHODS;

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