Maryland 2022 Regular Session

Maryland House Bill HB893 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1		-	LAWRENCE J. HOGAN, JR., Governor Ch. 617
2	1
3		-	– 1 –
4		-	Chapter 617
5		-	(House Bill 893)
6	2
7		-	AN ACT concerning
	3	+	EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
	4	+	[Brackets] indicate matter deleted from existing law.
	5	+	Underlining indicates amendments to bill.
	6	+	Strike out indicates matter stricken from the bill by amendment or deleted from the law by
	7	+	amendment.
	8	+	Italics indicate opposite chamber/conference committee amendments.
	9	+	hb0893
8	10
9		-	Calvert County Bond Request – Public Facilities Bonds
	11	+	HOUSE BILL 893
	12	+	B3 (2lr2777)
	13	+	ENROLLED BILL
	14	+	— Appropriations/Budget and Taxation —
	15	+	Introduced by Calvert County Delegation
10	16
11		-	FOR the purpose of authorizing and empowering the County Commissioners of Calvert
12		-	County, from time to time, to borrow not more than $13,183,000 $28,183,000 to
13		-	finance the construction, improvement, or development of certain public buildings,
14		-	roads, and facilities in Calvert County, as herein defined, and to effect such
15		-	borrowing by the issuance and sale at public or private sale of its general obligation
16		-	bonds in like par amount; empowering the County to fix and determine, by
17		-	resolution, the form, tenor, interest rate or rates or method of determining the same,
18		-	terms, conditions, maturities, and all other details incident to the issuance and sale
19		-	of the bonds; empowering the County to issue refunding bonds for the purchase or
20		-	redemption of bonds in advance of maturity; empowering and directing the County
21		-	to levy, impose, and collect, annually, ad valorem taxes in rate and amount sufficient
22		-	to provide funds for the payment of the maturing principal of and interest on the
23		-	bonds; exempting the bonds and refunding bonds and the interest thereon and any
24		-	income derived therefrom from all State, county, municipal, and other taxation in
25		-	the State of Maryland; providing that nothing in this Act shall prevent the County
26		-	from authorizing the issuance and sale of bonds the interest on which is not
27		-	excludable from gross income for federal income tax purposes; and generally relating
28		-	to the issuance and sale of such bonds.
	17	+	Read and Examined by Proofreaders:
29	18
30		-	SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND,
31		-	That, as used herein, the term “County” means the body politic and corporate of the State
32		-	of Maryland known as the County Commissioners of Calvert County, and the term
33		-	“construction, improvement, or development of public facilities” means the acquisition,
34		-	alteration, construction, reconstruction, enlargement, equipping, expansion, extension,
35		-	improvement, rehabilitation, renovation, upgrading, and repair of public buildings, roads,
36		-	and facilities, including but not limited to Calvert Pines Senior Center Renovations, Breezy
37		-	Shoreline Restoration, Lower Marlboro Culvert, existing storm drainage systems around
38		-	the county, and the West Prince Frederick Water Storage Tank, and issuance costs together
39		-	with the costs of acquiring land or interests in land as well as any related architectural,
40		-	financial, legal, planning, or engineering services.
	19	+	_______________________________________________
	20	+	Proofreader.
	21	+	_______________________________________________
	22	+	Proofreader.
41	23
42		-	SECTION 2. AND BE IT FURTHER ENACTED, That the County is hereby
43		-	authorized to finance any part or all of the costs of the public facilities described in Section
44		-	1 of this Act, and to borrow money and incur indebtedness for that purpose, at one time or
45		-	from time to time, in an amount not exceeding, in the aggregate, $13,183,000 $28,183,000
46		-	and to evidence such borrowing by the issuance and sale upon its full faith and credit of
47		-	general obligation bonds in like par amount, which may be issued at one time or from time
48		-	to time, in one or more groups or series, as the County may determine.
49		-	Ch. 617 2022 LAWS OF MARYLAND
	24	+	Sealed with the Great Seal and presented to the Governor, for his approval this
50	25
51		-	– 2 –
52		-	SECTION 3. AND BE IT FURTHER ENACTED, That the bonds shall be issued in
53		-	accordance with a resolution of the County, which shall describe generally the construction,
54		-	improvement, or development of public facilities for which the proceeds of the bond sale are
55		-	intended and the amount needed for those purposes. The County shall have and is hereby
56		-	granted full and complete authority and discretion in the resolution to fix and determine
57		-	with respect to the bonds of any issue: the designation, date of issue, denomination or
58		-	denominations, form or forms, and tenor of the bonds which, without limitation, may be
59		-	issued in registered form within the meaning of § 19–204 of the Local Government Article
60		-	of the Annotated Code of Maryland, as amended; the rate or rates of interest payable
61		-	thereon, or the method of determining the same, which may include a variable rate; the
62		-	date or dates and amount or amounts of maturity, which need not be in equal par amounts
63		-	or in consecutive annual installments, provided only that no bond of any issue shall mature
64		-	later than 30 years from the date of its issue; the manner of selling the bonds, which may
65		-	be at either public or private sale, for such price or prices as may be determined to be for
66		-	the best interests of Calvert County; the manner of executing and sealing the bonds, which
67		-	may be by facsimile; the terms and conditions, if any, under which bonds may be tendered
68		-	for payment or purchase prior to their stated maturity; the terms or conditions, if any,
69		-	under which bonds may or shall be redeemed prior to their stated maturity; the place or
70		-	places of payment of the principal of and the interest on the bonds, which may be at any
71		-	bank or trust company within or without the State of Maryland; covenants relating to
72		-	compliance with applicable requirements of federal income tax law, including (without
73		-	limitation) covenants regarding the payment of rebate or penalties in lieu of rebate;
74		-	covenants relating to compliance with applicable requirements of federal or state securities
75		-	laws; and generally all matters incident to the terms, conditions, issuance, sale, and
76		-	delivery thereof.
	26	+	_______ day of _______________ at _________________ _______ o’clock, ________M.
77	27
78		-	The bonds may be made redeemable before maturity, at the option of the County, at
79		-	such price or prices and under such terms and conditions as may be fixed by the County
80		-	prior to the issuance of the bonds, either in the resolution or in a bond order pursuant to
81		-	the bond resolution. The bonds may be issued in registered form and provision may be made
82		-	for the registration of the principal only. In case any officer whose signature appears on
83		-	any bond ceases to be such officer before the delivery thereof, such signature shall
84		-	nevertheless be valid and sufficient for all purposes as if he had remained in office until
85		-	such delivery. The bonds and the issuance and sale thereof shall be exempt from the
86		-	provisions of §§ 19–205 and 19–206 of the Local Government Article of the Annotated Code
87		-	of Maryland, as amended.
	28	+	______________________________________________
	29	+	Speaker.
88	30
89		-	The County may enter into agreements with agents, banks, fiduciaries, insurers, or
90		-	others for the purpose of enhancing the marketability of any security for the bonds and for
91		-	the purpose of securing any tender option that may be granted to holders of the bonds, all
92		-	as may be determined and presented in the aforesaid resolution, which may (but need not)
93		-	state as security for the performance by the County of any monetary obligations under such
94		-	agreements the same security given by the County to bondholders for the performance by
95		-	the County of its monetary obligations under the bonds.
96		-	LAWRENCE J. HOGAN, JR., Governor Ch. 617
	31	+	CHAPTER ______
97	32
98		-	– 3 –
99		-	If the County determines in the resolution to offer any of the bonds by solicitation of
100		-	competitive bids at public sale, the resolution shall fix the terms and conditions of the public
101		-	sale and shall adopt a form of notice of sale, which shall outline the terms and conditions,
102		-	and a form of advertisement, which shall be published in one or more daily or weekly
103		-	newspapers having a general circulation in the County and which may also be published in
104		-	one or more journals having a circulation primarily among banks and investment bankers.
105		-	At least one publication of the advertisement shall be made not less than 10 days before
106		-	the sale of the bonds.
	33	+	AN ACT concerning 1
107	34
108		-	Upon delivery of any bonds to the purchaser or purchasers, payment therefor shall
109		-	be made to the Treasurer of Calvert County or such other official of Calvert County as may
110		-	be designated to receive such payment in a resolution passed by the County before such
111		-	delivery.
	35	+	Calvert County Bond Request – Public Facilities Bonds 2
112	36
113		-	SECTION 4. AND BE IT FURTHER ENACTED, That the net proceeds of the sale
114		-	of bonds shall be used and applied exclusively and solely for the acquisition, construction,
115		-	improvement, or development of public facilities for which the bonds are sold. If the
116		-	amounts borrowed shall prove inadequate to finance the projects described in the
117		-	resolution, the County may issue additional bonds with the limitations hereof for the
118		-	purpose of evidencing the borrowing of additional funds for such financing, provided the
119		-	resolution authorizing the sale of additional bonds shall so recite, but if the net proceeds of
120		-	the sale of any issue of bonds exceed the amount needed to finance the projects described
121		-	in the resolution, the excess funds so borrowed and not expended shall be applied to the
122		-	payment of the next principal maturity of the bonds or to the redemption of any part of the
123		-	bonds which have been made redeemable or to the purchase and cancellation of bonds,
124		-	unless the County shall adopt a resolution allocating the excess funds to the acquisition,
125		-	construction, improvement, or development of other public facilities, as defined and within
126		-	the limits set forth in this Act.
	37	+	FOR the purpose of authorizing and empowering the County Commissioners of Calvert 3
	38	+	County, from time to time, to borrow not more than $13,183,000 $28,183,000 to 4
	39	+	finance the construction, improvement, or development of certain public buildings, 5
	40	+	roads, and facilities in Calvert County, as herein defined, and to effect such 6
	41	+	borrowing by the issuance and sale at public or private sale of its general obligation 7
	42	+	bonds in like par amount; empowering the County to fix and determine, by 8
	43	+	resolution, the form, tenor, interest rate or rates or method of determining the same, 9
	44	+	terms, conditions, maturities, and all other details incident to the issuance and sale 10
	45	+	of the bonds; empowering the County to issue refunding bonds for the purchase or 11
	46	+	redemption of bonds in advance of maturity; empowering and directing the County 12
	47	+	to levy, impose, and collect, annually, ad valorem taxes in rate and amount sufficient 13
	48	+	to provide funds for the payment of the maturing principal of and interest on the 14
	49	+	bonds; exempting the bonds and refunding bonds and the interest thereon and any 15 2 HOUSE BILL 893
127	50
128		-	SECTION 5. AND BE IT FURTHER ENACTED, That the bonds hereby authorized
129		-	shall constitute, and they shall so recite, an irrevocable pledge of the full faith and credit
130		-	and unlimited taxing power of the County to the payment of the maturing principal of and
131		-	interest on the bonds as and when they become payable. In each and every fiscal year that
132		-	any of the bonds are outstanding, the County shall levy or cause to be levied ad valorem
133		-	taxes upon all the assessable property within the corporate limits of the County in rate and
134		-	amount sufficient to provide for or assure the payment, when due, of the principal of and
135		-	interest on all the bonds maturing in each such fiscal year and, in the event the proceeds
136		-	from the taxes so levied in any such fiscal year shall prove inadequate for such payment,
137		-	additional taxes shall be levied in the succeeding fiscal year to make up any such deficiency.
138		-	The County may apply to the payment of the principal of and interest on any bonds issued
139		-	hereunder any funds received by it from the State of Maryland, the United States of
140		-	America, any agency or instrumentality thereof, or from any other source, if such funds are
141		-	granted for the purpose of assisting the County in financing the acquisition, construction,
142		-	improvement, or development of the public facilities defined in this Act and, to the extent
143		-	of any such funds received or receivable in any fiscal year, the taxes that are required to be
144		-	levied may be reduced accordingly. Ch. 617 2022 LAWS OF MARYLAND
145	51
146		-	– 4 –
	52	+	income derived therefrom from all State, county, municipal, and other taxation in 1
	53	+	the State of Maryland; providing that nothing in this Act shall prevent the County 2
	54	+	from authorizing the issuance and sale of bonds the interest on which is not 3
	55	+	excludable from gross income for federal income tax purposes; and generally relating 4
	56	+	to the issuance and sale of such bonds. 5
147	57
148		-	SECTION 6. AND BE IT FURTHER ENACTED, That the County is further
149		-	authorized and empowered, at any time and from time to time, to issue its bonds in the
150		-	manner hereinabove described for the purpose of refunding, by payment at maturity or
151		-	upon purchase or redemption, any bonds issued hereunder. The validity of any such
152		-	refunding bonds shall in no way be dependent upon or related to the validity or invalidity
153		-	of the obligations so refunded. The powers herein granted with respect to the issuance of
154		-	bonds shall be applicable to the issuance of refunding bonds. Such refunding bonds may be
155		-	issued by the County in such an amount as shall be necessary for the purpose of providing
156		-	it with funds to pay any of its outstanding bonds issued hereunder at maturity, for the
157		-	purpose of providing it with funds to purchase in the open market any of its outstanding
158		-	bonds issued hereunder, prior to the maturity thereof, or for the purpose of providing it
159		-	with funds for the redemption prior to maturity of any outstanding bonds issued hereunder
160		-	which are, by their terms, redeemable, for the purpose of providing it with funds to pay
161		-	interest on any outstanding bonds issued hereunder prior to their payment at maturity of
162		-	purchase or redemption in advance of maturity, or for the purpose of providing it with funds
163		-	to pay any redemption or purchase premium in connection with the refunding of any of its
164		-	outstanding bonds issued hereunder. The proceeds of the sale of any such refunding bonds
165		-	shall be segregated and set apart by the County as a separate trust fund to be used solely
166		-	for the purpose of paying the purchase or redemption prices of the bonds to be refunded.
	58	+	SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 6
	59	+	That, as used herein, the term “County” means the body politic and corporate of the State 7
	60	+	of Maryland known as the County Commissioners of Calvert County, and the term 8
	61	+	“construction, improvement, or development of public facilities” means the acquisition, 9
	62	+	alteration, construction, reconstruction, enlargement, equipping, expansion, extension, 10
	63	+	improvement, rehabilitation, renovation, upgrading, and repair of public buildings, roads, 11
	64	+	and facilities, including but not limited to Calvert Pines Senior Center Renovations, Breezy 12
	65	+	Shoreline Restoration, Lower Marlboro Culvert, existing storm drainage systems around 13
	66	+	the county, and the West Prince Frederick Water Storage Tank, and issuance costs together 14
	67	+	with the costs of acquiring land or interests in land as well as any related architectural, 15
	68	+	financial, legal, planning, or engineering services. 16
167	69
168		-	SECTION 7. AND BE IT FURTHER ENACTED, That the County may, prior to the
169		-	preparation of definitive bonds, issue interim certificates or temporary bonds, exchangeable
170		-	for definitive bonds when such bonds have been executed and are available for such
171		-	delivery, provided, however, that any such interim certificates or temporary bonds shall be
172		-	issued in all respects subject to the restrictions and requirements set forth in this Act. The
173		-	County may, by appropriate resolution, provide for the replacement of any bonds issued
174		-	hereunder which shall have become mutilated or lost or destroyed upon such conditions
175		-	and after receiving such indemnity as the County may require.
	70	+	SECTION 2. AND BE IT FURTHER ENACTED, That the County is hereby 17
	71	+	authorized to finance any part or all of the costs of the public facilities described in Section 18
	72	+	1 of this Act, and to borrow money and incur indebtedness for that purpose, at one time or 19
	73	+	from time to time, in an amount not exceeding, in the aggregate, $13,183,000 $28,183,000 20
	74	+	and to evidence such borrowing by the issuance and sale upon its full faith and credit of 21
	75	+	general obligation bonds in like par amount, which may be issued at one time or from time 22
	76	+	to time, in one or more groups or series, as the County may determine. 23
176	77
177		-	SECTION 8. AND BE IT FURTHER ENACT ED, That any and all obligations issued
178		-	pursuant to the authority of this Act, their transfer, the interest payable thereon, and any
179		-	income derived therefrom in the hands of the holders thereof from time to time (including
180		-	any profit made in the sale thereof) shall be and are hereby declared to be at all times
181		-	exempt from State, county, municipal, or other taxation of every kind and nature
182		-	whatsoever within the State of Maryland. Nothing in this Act shall prevent the County
183		-	from authorizing the issuance and sale of bonds the interest on which is not excludable
184		-	from gross income for federal income tax purposes.
	78	+	SECTION 3. AND BE IT FURTHER ENACTED, That the bonds shall be issued in 24
	79	+	accordance with a resolution of the County, which shall describe generally the construction, 25
	80	+	improvement, or development of public facilities for which the proceeds of the bond sale are 26
	81	+	intended and the amount needed for those purposes. The County shall have and is hereby 27
	82	+	granted full and complete authority and discretion in the resolution to fix and determine 28
	83	+	with respect to the bonds of any issue: the designation, date of issue, denomination or 29
	84	+	denominations, form or forms, and tenor of the bonds which, without limitation, may be 30
	85	+	issued in registered form within the meaning of § 19–204 of the Local Government Article 31
	86	+	of the Annotated Code of Maryland, as amended; the rate or rates of interest payable 32
	87	+	thereon, or the method of determining the same, which may include a variable rate; the 33
	88	+	date or dates and amount or amounts of maturity, which need not be in equal par amounts 34
	89	+	or in consecutive annual installments, provided only that no bond of any issue shall mature 35
	90	+	later than 30 years from the date of its issue; the manner of selling the bonds, which may 36
	91	+	be at either public or private sale, for such price or prices as may be determined to be for 37
	92	+	the best interests of Calvert County; the manner of executing and sealing the bonds, which 38
	93	+	may be by facsimile; the terms and conditions, if any, under which bonds may be tendered 39
	94	+	for payment or purchase prior to their stated maturity; the terms or conditions, if any, 40
	95	+	under which bonds may or shall be redeemed prior to their stated maturity; the place or 41
	96	+	places of payment of the principal of and the interest on the bonds, which may be at any 42
	97	+	bank or trust company within or without the State of Maryland; covenants relating to 43
	98	+	compliance with applicable requirements of federal income tax law, including (without 44 HOUSE BILL 893 3
185	99
186		-	SECTION 9. AND BE IT FURTHER ENACTED, That the authority to borrow
187		-	money and issue bonds conferred on the County by this Act shall be deemed to provide an
188		-	additional and alternative authority for borrowing money and shall be regarded as
189		-	supplemental and additional to powers conferred upon the County by other laws and shall
190		-	not be regarded as in derogation of any power now existing; and all Acts of the General
191		-	Assembly of Maryland heretofore passed authorizing the County to borrow money are
192		-	hereby continued to the extent that the powers contained in such Acts have not been LAWRENCE J. HOGAN, JR., Governor Ch. 617
193	100
194		-	– 5 –
195		-	exercised, and nothing contained in this Act may be construed to impair, in any way, the
196		-	validity of any bonds that may have been issued by the County under the authority of any
197		-	said Acts, and the validity of the bonds is hereby ratified, confirmed, and approved. This
198		-	Act, being necessary for the welfare of the inhabitants of Calvert County, shall be liberally
199		-	construed to effect the purposes hereof. All Acts and parts of Acts inconsistent with the
200		-	provisions of this Act are hereby repealed to the extent of such inconsistency.
	101	+	limitation) covenants regarding the payment of rebate or penalties in lieu of rebate; 1
	102	+	covenants relating to compliance with applicable requirements of federal or state securities 2
	103	+	laws; and generally all matters incident to the terms, conditions, issuance, sale, and 3
	104	+	delivery thereof. 4
201	105
202		-	SECTION 10. AND BE IT FURTHER ENACTED, That this Act shall take effect
203		-	June 1, 2022.
	106	+	The bonds may be made redeemable before maturity, at the option of the County, at 5
	107	+	such price or prices and under such terms and conditions as may be fixed by the County 6
	108	+	prior to the issuance of the bonds, either in the resolution or in a bond order pursuant to 7
	109	+	the bond resolution. The bonds may be issued in registered form and provision may be made 8
	110	+	for the registration of the principal only. In case any officer whose signature appears on 9
	111	+	any bond ceases to be such officer before the delivery thereof, such signature shall 10
	112	+	nevertheless be valid and sufficient for all purposes as if he had remained in office until 11
	113	+	such delivery. The bonds and the issuance and sale thereof shall be exempt from the 12
	114	+	provisions of §§ 19–205 and 19–206 of the Local Government Article of the Annotated Code 13
	115	+	of Maryland, as amended. 14
204	116
205		-	Enacted under Article II, § 17(c) of the Maryland Constitution, May 29, 2022.
	117	+	The County may enter into agreements with agents, banks, fiduciaries, insurers, or 15
	118	+	others for the purpose of enhancing the marketability of any security for the bonds and for 16
	119	+	the purpose of securing any tender option that may be granted to holders of the bonds, all 17
	120	+	as may be determined and presented in the aforesaid resolution, which may (but need not) 18
	121	+	state as security for the performance by the County of any monetary obligations under such 19
	122	+	agreements the same security given by the County to bondholders for the performance by 20
	123	+	the County of its monetary obligations under the bonds. 21
	124	+
	125	+	If the County determines in the resolution to offer any of the bonds by solicitation of 22
	126	+	competitive bids at public sale, the resolution shall fix the terms and conditions of the public 23
	127	+	sale and shall adopt a form of notice of sale, which shall outline the terms and conditions, 24
	128	+	and a form of advertisement, which shall be published in one or more daily or weekly 25
	129	+	newspapers having a general circulation in the County and which may also be published in 26
	130	+	one or more journals having a circulation primarily among banks and investment bankers. 27
	131	+	At least one publication of the advertisement shall be made not less than 10 days before 28
	132	+	the sale of the bonds. 29
	133	+
	134	+	Upon delivery of any bonds to the purchaser or purchasers, payment therefor shall 30
	135	+	be made to the Treasurer of Calvert County or such other official of Calvert County as may 31
	136	+	be designated to receive such payment in a resolution passed by the County before such 32
	137	+	delivery. 33
	138	+
	139	+	SECTION 4. AND BE IT FURTHER ENACTED, That the net proceeds of the sale 34
	140	+	of bonds shall be used and applied exclusively and solely for the acquisition, construction, 35
	141	+	improvement, or development of public facilities for which the bonds are sold. If the 36
	142	+	amounts borrowed shall prove inadequate to finance the projects described in the 37
	143	+	resolution, the County may issue additional bonds with the limitations hereof for the 38
	144	+	purpose of evidencing the borrowing of additional funds for such financing, provided the 39
	145	+	resolution authorizing the sale of additional bonds shall so recite, but if the net proceeds of 40
	146	+	the sale of any issue of bonds exceed the amount needed to finance the projects described 41
	147	+	in the resolution, the excess funds so borrowed and not expended shall be applied to the 42 4 HOUSE BILL 893
	148	+
	149	+
	150	+	payment of the next principal maturity of the bonds or to the redemption of any part of the 1
	151	+	bonds which have been made redeemable or to the purchase and cancellation of bonds, 2
	152	+	unless the County shall adopt a resolution allocating the excess funds to the acquisition, 3
	153	+	construction, improvement, or development of other public facilities, as defined and within 4
	154	+	the limits set forth in this Act. 5
	155	+
	156	+	SECTION 5. AND BE IT FURTHER ENACTED, That the bonds hereby authorized 6
	157	+	shall constitute, and they shall so recite, an irrevocable pledge of the full faith and credit 7
	158	+	and unlimited taxing power of the County to the payment of the maturing principal of and 8
	159	+	interest on the bonds as and when they become payable. In each and every fiscal year that 9
	160	+	any of the bonds are outstanding, the County shall levy or cause to be levied ad valorem 10
	161	+	taxes upon all the assessable property within the corporate limits of the County in rate and 11
	162	+	amount sufficient to provide for or assure the payment, when due, of the principal of and 12
	163	+	interest on all the bonds maturing in each such fiscal year and, in the event the proceeds 13
	164	+	from the taxes so levied in any such fiscal year shall prove inadequate for such payment, 14
	165	+	additional taxes shall be levied in the succeeding fiscal year to make up any such deficiency. 15
	166	+	The County may apply to the payment of the principal of and interest on any bonds issued 16
	167	+	hereunder any funds received by it from the State of Maryland, the United States of 17
	168	+	America, any agency or instrumentality thereof, or from any other source, if such funds are 18
	169	+	granted for the purpose of assisting the County in financing the acquisition, construction, 19
	170	+	improvement, or development of the public facilities defined in this Act and, to the extent 20
	171	+	of any such funds received or receivable in any fiscal year, the taxes that are required to be 21
	172	+	levied may be reduced accordingly. 22
	173	+
	174	+	SECTION 6. AND BE IT FURTHER ENACTED, That the County is further 23
	175	+	authorized and empowered, at any time and from time to time, to issue its bonds in the 24
	176	+	manner hereinabove described for the purpose of refunding, by payment at maturity or 25
	177	+	upon purchase or redemption, any bonds issued hereunder. The validity of any such 26
	178	+	refunding bonds shall in no way be dependent upon or related to the validity or invalidity 27
	179	+	of the obligations so refunded. The powers herein granted with respect to the issuance of 28
	180	+	bonds shall be applicable to the issuance of refunding bonds. Such refunding bonds may be 29
	181	+	issued by the County in such an amount as shall be necessary for the purpose of providing 30
	182	+	it with funds to pay any of its outstanding bonds issued hereunder at maturity, for the 31
	183	+	purpose of providing it with funds to purchase in the open market any of its outstanding 32
	184	+	bonds issued hereunder, prior to the maturity thereof, or for the purpose of providing it 33
	185	+	with funds for the redemption prior to maturity of any outstanding bonds issued hereunder 34
	186	+	which are, by their terms, redeemable, for the purpose of providing it with funds to pay 35
	187	+	interest on any outstanding bonds issued hereunder prior to their payment at maturity of 36
	188	+	purchase or redemption in advance of maturity, or for the purpose of providing it with funds 37
	189	+	to pay any redemption or purchase premium in connection with the refunding of any of its 38
	190	+	outstanding bonds issued hereunder. The proceeds of the sale of any such refunding bonds 39
	191	+	shall be segregated and set apart by the County as a separate trust fund to be used solely 40
	192	+	for the purpose of paying the purchase or redemption prices of the bonds to be refunded. 41
	193	+
	194	+	SECTION 7. AND BE IT FURTHER ENAC TED, That the County may, prior to the 42
	195	+	preparation of definitive bonds, issue interim certificates or temporary bonds, exchangeable 43
	196	+	for definitive bonds when such bonds have been executed and are available for such 44 HOUSE BILL 893 5
	197	+
	198	+
	199	+	delivery, provided, however, that any such interim certificates or temporary bonds shall be 1
	200	+	issued in all respects subject to the restrictions and requirements set forth in this Act. The 2
	201	+	County may, by appropriate resolution, provide for the replacement of any bonds issued 3
	202	+	hereunder which shall have become mutilated or lost or destroyed upon such conditions 4
	203	+	and after receiving such indemnity as the County may require. 5
	204	+
	205	+	SECTION 8. AND BE IT FURTHER ENACTED, That any and all obligations issued 6
	206	+	pursuant to the authority of this Act, their transfer, the interest payable thereon, and any 7
	207	+	income derived therefrom in the hands of the holders thereof from time to time (including 8
	208	+	any profit made in the sale thereof) shall be and are hereby declared to be at all times 9
	209	+	exempt from State, county, municipal, or other taxation of every kind and nature 10
	210	+	whatsoever within the State of Maryland. Nothing in this Act shall prevent the County 11
	211	+	from authorizing the issuance and sale of bonds the interest on which is not excludable 12
	212	+	from gross income for federal income tax purposes. 13
	213	+
	214	+	SECTION 9. AND BE IT FURTHER ENACTED, That the authority to borrow 14
	215	+	money and issue bonds conferred on the County by this Act shall be deemed to provide an 15
	216	+	additional and alternative authority for borrowing money and shall be regarded as 16
	217	+	supplemental and additional to powers conferred upon the County by other laws and shall 17
	218	+	not be regarded as in derogation of any power now existing; and all Acts of the General 18
	219	+	Assembly of Maryland heretofore passed authorizing the County to borrow money are 19
	220	+	hereby continued to the extent that the powers contained in such Acts have not been 20
	221	+	exercised, and nothing contained in this Act may be construed to impair, in any way, the 21
	222	+	validity of any bonds that may have been issued by the County under the authority of any 22
	223	+	said Acts, and the validity of the bonds is hereby ratified, confirmed, and approved. This 23
	224	+	Act, being necessary for the welfare of the inhabitants of Calvert County, shall be liberally 24
	225	+	construed to effect the purposes hereof. All Acts and parts of Acts inconsistent with the 25
	226	+	provisions of this Act are hereby repealed to the extent of such inconsistency. 26
	227	+
	228	+	SECTION 10. AND BE IT FURTHER ENACTED, That this Act shall take effect 27
	229	+	June 1, 2022. 28
	230	+
	231	+
	232	+
	233	+
	234	+
	235	+
	236	+	Approved:
	237	+	________________________________________________________________________________
	238	+	Governor.
	239	+	________________________________________________________________________________
	240	+	Speaker of the House of Delegates.
	241	+	________________________________________________________________________________
	242	+	President of the Senate.