Ch. 307                                        2004 LAWS OF MARYLAND

SUBTITLE 6. AUTHORIZATION TO ISSUE BONDS TO FUND PUBLIC SCHOOL

CONSTRUCTION.

5-601.

EXCEPT AS PROVIDED IN § 5-603(B) AND (C) OF THIS SUBTITLE, THE PROVISIONS
OF THIS SUBTITLE DO NOT APPLY TO A COUNTY OTHERWISE AUTHORIZED TO ISSUE
BONDS TO FUND PUBLIC SCHOOL CONSTRUCTION UNDER OTHER PROVISIONS OF
THE CODE.

5-602.

(A)      IN THIS SUBTITLE, "CONSTRUCTION OR IMPROVEMENT" MEANS THE
PLANNING,         DESIGN,         ENGINEERING,         ALTERATION,         CONSTRUCTION,
RECONSTRUCTION, ENLARGEMENT, EXPANSION, EXTENSION, IMPROVEMENT,
REPLACEMENT, REHABILITATION, RENOVATION, UPGRADING, REPAIR, OR CAPITAL
EQUIPPING.

(B)      A COUNTY MAY ISSUE BONDS TO FINANCE ANY OR ALL OF THE COSTS OF
CONSTRUCTION OR IMPROVEMENT OF PUBLIC SCHOOLS IN THE COUNTY PROVIDED
THAT THE CONSTRUCTION AND IMPROVEMENT CONTRACTS AND SUBCONTRACTS
COMPLY WITH THE REQUIREMENTS OF TITLE 17, SUBTITLE 2 AND TITLE 14 OF THE
STATE FINANCE AND PROCUREMENT ARTICLE IF THE REQUIREMENTS WOULD
OTHERWISE BE APPLICABLE.

(C)      (1) BONDS SHALL BE AUTHORIZED BY A RESOLUTION OF THE
GOVERNING BODY OF THE COUNTY.

(2) THE RESOLUTION SHALL:

(I)       GENERALLY DESCRIBE THE PUBLIC SCHOOL CONSTRUCTION
OR IMPROVEMENTS TO BE FINANCED THROUGH THE SALE OF THE BONDS;

(II)     STATE THE MAXIMUM PRINCIPAL AMOUNT OF THE BONDS;

(III)    DESCRIBE THE SOURCES OF REPAYMENT OF THE BONDS;

(IV)    STATE THE MAXIMUM TERM OF THE BONDS, WHICH MAY NOT
EXCEED 30 YEARS; AND

(V)      DESCRIBE ANY TERMS OR CONDITIONS UNDER WHICH THE
BONDS MAY BE REDEEMED BEFORE MATURITY.

(D)     THE BONDS SHALL:

(1)      BE DATED AND BEAR INTEREST AT A RATE SPECIFIED IN THE
RESOLUTION;

(2)      MATURE WITHIN 30 YEARS OF THE DATE OF ISSUANCE OF THE
BONDS;

(3)      BE ISSUED AT, ABOVE, OR BELOW PAR VALUE, FOR CASH OR OTHER
CONSIDERATION;

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