EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
[Brackets] indicate matter deleted from existing law.
*sb1007*
SENATE BILL 1007
B5, F2 2lr0163
By: Chair, Budget and Taxation Committee (By Request – Departmental –
University System of Maryland)
Introduced and read first time: February 25, 2022
Assigned to: Rules
A BILL ENTITLED
AN ACT concerning 1
University System of Maryland – Academic Facilities Bonding Authority 2
FOR the purpose of increasing the bonding authority for the University System of 3
Maryland; approving certain projects for the acquisition, development, and 4
improvement of certain academic facilities for the University System of Maryland; 5
authorizing the issuance of bonds by the University System of Maryland in a certain 6
total principal amount for financing the projects; providing that the bonds are not a 7
debt or an obligation of the State or any of its subdivisions; and generally relating to 8
academic facilities bonding authority of the University System of Maryland and 9
certain projects. 10
BY repealing and reenacting, with amendments, 11
Article – Education 12
Section 19–102(c)(1) and (d)(4) 13
Annotated Code of Maryland 14
(2018 Replacement Volume and 2021 Supplement) 15
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 16
That the Laws of Maryland read as follows: 17
Article – Education 18
19–102. 19
(c) (1) The aggregate principal amount of bonds outstanding and the present 20
value of capital lease payments, less the amount of any reserve fund or sinking fund 21
requirement established for the bonds or capital leases, may not exceed, as of the date of 22
issue of the bonds, the following: 23
2 SENATE BILL 1007
(i) [$1,400,000,000] $1,700,000,000 for the University System of 1
Maryland; 2
(ii) $88,000,000 for the Morgan State University; 3
(iii) $60,000,000 for St. Mary’s College of Maryland; and 4
(iv) $65,000,000 for Baltimore City Community College. 5
(d) (4) (i) Any bonds issued under the requirements of this subsection shall 6
mature at such times not exceeding the useful life of the project for which the bonds are 7
issued, but not later than [21] 33 years after their respective dates of issue, as may be 8
determined by a system. 9
(ii) Any bonds issued in accordance with paragraph (3) of this 10
subsection shall mature at such times as may be determined by a system, but not later than 11
[21] 33 years after the date of issue of the bonds that were originally issued for the 12
academic facility or facilities authorized under the requirements of this subsection. 13
SECTION 2. AND BE IT FURTHER ENACTED, That : 14
(a) In accordance with § 19–102(d) of the Education Article, each of the following 15
projects is approved as a project for an academic facility, and the University System of 16
Maryland may issue, sell, and deliver bonds in the total principal amount of $4,692,000 for 17
the purposes of financing and refinancing the costs of the following projects: 18
University of Maryland, College Park (Prince George’s County): 19
Campuswide Building Systems and Infrastructure Improvements 20
University of Maryland, Eastern Shore (Somerset County): 21
Flood Mitigation Project 22
(b) In accordance with § 19–102(d) of the Education Article, those systemwide 23
capital facilities renewal projects for existing academic facilities of the constituent 24
institutions and centers of the University System of Maryland as are authorized by the 25
Board of Regents are hereby approved as facility renewal projects for academic facilities, 26
and the University System of Maryland may issue, sell, and deliver bonds in the total 27
principal amount of $25,308,000 for the purposes of financing and refinancing the costs of 28
those academic facilities renewal projects. 29
(c) The bonds issued under the authority of this Act do not create or constitute 30
any indebtedness or obligation of the State or of any political subdivision thereof except for 31
the University System of Maryland, and the bonds shall so state on their face. The bonds 32
do not constitute a debt or obligation contracted by the General Assembly of Maryland or 33
pledge the faith and credit of the State within the meaning of Article III, § 34 of the 34
Maryland Constitution. 35
SENATE BILL 1007 3
SECTION 3. AND BE IT FURTHER ENACTED, That this Act shall take effect June 1
1, 2022. 2