reglab/statecodes huggingface dataset:
2023 Maryland Statutes › State Finance and Procurement › Division I - State Finance › Title 8 - Debt › Subtitle 1 - General Obligation Debt › Part III - Authorization and Implementation › Section 8-120 - Resolution of Board -- Specific Provisions

By resolution, the Board may provide that the State bonds authorized by an enabling act:
(1)    be in 1 or more series;
(2)    bear a certain date of issue;
(3)    be executed in a certain manner;
(4)    be sold in a certain manner at public or private, negotiated sale;
(5)    be in certain denominations, not necessarily in equal paramounts;
(6)    mature in certain amounts at certain times, not necessarily in consecutive annual installments, but not later than 15 years after their respective dates of issue;
(7)    bear interest at certain rates or at rates to be determined in the manner stated in the resolution; and
(8)    be paid, as to principal and interest, at certain places.
2023 Maryland Statutes › State Finance and Procurement › Division I - State Finance › Title 8 - Debt › Subtitle 1 - General Obligation Debt › Part III - Authorization and Implementation › Section 8-121 - Resolution of Board -- Form of State Bonds

(a)    By resolution, the Board may specify the form in which State bonds are to be issued, including:
(1)    a coupon form;
(2)    a capital appreciation form;
(3)    a variable interest rate form;
(4)    a form that qualifies for tax credits, interest subsidies, or other federal tax benefits;
(5)    a form that qualifies as a registered form under §§ 54A, 103, and 149 of the Internal Revenue Code or a regulation proposed or adopted under those sections; and
(6)    any other registered form.
(b)    (1)    Whenever the Board provides for the sale of State bonds in registered form, the Board may establish procedures for the registration and transfer of the State bonds.
(2)    The Board may exercise any other power that relates to issuance of State bonds in registered form and that is not conferred on the Treasurer.
(c)    Whenever the Board provides for the sale of State bonds in registered form, the Treasurer may:
(1)    appoint any agent, including an authenticating trustee, corporate trustee, paying agent, registrar, or transfer agent, or use the agent appointed under § 8-135 of this subtitle;
(2)    specify the rights, duties, and compensation of the agent; and
(3)    in connection with the establishment and maintenance of a central depository system for the transfer or pledge of the State bonds, make agreements with:
(i)    custodian banks and their nominees; or
(ii)    financial intermediaries and their nominees.
(d)    Whenever the Board provides for the sale of State bonds in variable interest rate form, the Treasurer may:
(1)    appoint any agent or other contracting party, including an underwriter, remarketing agent, dealer, tender agent, insurer, liquidity provider, or similar entity; and
(2)    specify the rights, duties, and compensation of and make agreements with the agent or other contracting party.
2023 Maryland Statutes › State Finance and Procurement › Division I - State Finance › Title 8 - Debt › Subtitle 1 - General Obligation Debt › Part III - Authorization and Implementation › Section 8-122 - Resolution of Board -- Consolidated State and Local Facilities Loans

(a)    By resolution, the Board may provide for all or part of the State bonds authorized by 2 or more enabling acts to be consolidated and sold as a single issue. However, the Board may not include in a consolidated issue any State bonds authorized by an enabling act that specifically exempts the State bonds from this section.
(b)    A consolidated issue under this section shall be known as the “State and local facilities loan” of the series and year in which the Board authorizes the sale of the issue.
(c)    Notwithstanding any provision of an enabling act, each State bond that is sold as part of a consolidated issue under this section shall be identified by the series and year in which the Board authorizes the sale of the issue.
2023 Maryland Statutes › State Finance and Procurement › Division I - State Finance › Title 8 - Debt › Subtitle 1 - General Obligation Debt › Part III - Authorization and Implementation › Section 8-122.1 - Use of Funds on Sale of Bonds

(a)    Upon sale of State bonds authorized by an enabling act, the principal amount of the loan authorized by that enabling act shall be reduced by:
(1)    the stated principal amount of the State bonds sold, if the bonds are sold at 95% or more of par; or
(2)    the cash proceeds, excluding any accrued interest, received for the State bonds, if the bonds are sold at less than 95% of par.
(b)    Whenever State bonds are sold as a consolidated issue at less than 95% of par, the Board, by resolution, shall determine the manner in which the cash proceeds received for the bonds, excluding accrued interest, shall be allocated among the loans included in that issue.
2023 Maryland Statutes › State Finance and Procurement › Division I - State Finance › Title 8 - Debt › Subtitle 1 - General Obligation Debt › Part III - Authorization and Implementation › Section 8-123 - Public Sale of State Bonds

(a)    Except as otherwise provided in this subtitle, the Board shall offer State bonds at a public sale.
(b)    (1)    At least 10 days before the date of a public sale, the Board shall give public notice of the sale.
(2)    The notice shall state the date, time, and place of the public sale.
(c)    (1)    Except as provided in paragraph (2) of this subsection, at a public sale, the Board shall sell State bonds for cash to the responsible bidder who:
(i)    offers the lowest net interest cost to the State; or
(ii)    meets other terms or conditions of sale or issuance that the Board has set.
(2)    Whenever the Board determines that no bid is satisfactory and that it is in the best interests of the State to reject all bids, the Board may reject the bids.
(d)    (1)    By resolution, the Board may postpone the time for receipt of proposals for the bonds without republishing the form of advertisement for the bonds.
(2)    (i)    The Treasurer shall provide notice of the new date and time of sale not less than 24 hours prior to the time proposals are to be submitted, which date may not be more than 30 days after the originally scheduled date of sale.
(ii)    The notice may be given by Munifacts News Service or a similar service or such other method as the Treasurer deems appropriate.
2023 Maryland Statutes › State Finance and Procurement › Division I - State Finance › Title 8 - Debt › Subtitle 1 - General Obligation Debt › Part III - Authorization and Implementation › Section 8-123.1 - Sale of Capital Appreciation Bonds

(a)    In accordance with the authority to issue capital appreciation bonds under § 8-121 of this subtitle, the Board, in a resolution setting forth the terms and conditions of any State bond issue, may designate that all or a portion of the State bonds be issued as capital appreciation bonds.
(b)    The Board may sell the capital appreciation bonds at a negotiated sale if the Board determines that a negotiated sale will provide greater access to investors who are residents of the State of Maryland.
2023 Maryland Statutes › State Finance and Procurement › Division I - State Finance › Title 8 - Debt › Subtitle 1 - General Obligation Debt › Part III - Authorization and Implementation › Section 8-123.2 - Sale of Small Denomination Bonds

(a)    In this section, “small denomination bonds” means bonds in denominations of $5,000 or less.
(b)    In accordance with § 8-121 of this subtitle, the Board, in a resolution setting forth the terms and conditions of any State bond issue, may designate that all or a portion of the State bonds be issued as small denomination bonds.
(c)    Small denomination bonds may be issued in any form permitted under § 8-121 of this subtitle.
(d)    The Board may sell small denomination bonds at a negotiated sale if the Board determines that a negotiated sale will:
(1)    result in either a more efficient or economical sale of the bonds; or
(2)    provide greater access to investors who are residents of the State of Maryland.
2023 Maryland Statutes › State Finance and Procurement › Division I - State Finance › Title 8 - Debt › Subtitle 1 - General Obligation Debt › Part III - Authorization and Implementation › Section 8-123.3 - College Savings Bonds

(a)    In considering the structure of a State of Maryland capital appreciation general obligation bond issue, the Board of Public Works shall be sensitive to the need to help Maryland citizens save for the costs of college.
(b)    The Maryland College Savings Bond Advisory Board, created under § 20-101 of the Education Article, shall make recommendations to the Board of Public Works regarding the need for Maryland capital appreciation general obligation bonds for college savings.
2023 Maryland Statutes › State Finance and Procurement › Division I - State Finance › Title 8 - Debt › Subtitle 1 - General Obligation Debt › Part III - Authorization and Implementation › Section 8-123.4 - Variable Interest Rate Bonds

(a)    Except as provided in subsection (c) of this section, in accordance with the authority to issue variable interest rate bonds under § 8-121 of this subtitle, the Board, in a resolution setting forth the terms and conditions of a State bond issue, may designate that all or a portion of the State bonds be issued as variable interest rate bonds.
(b)    The Board may sell variable interest rate bonds at a private, negotiated sale on the terms and conditions that the Board determines to be most advantageous to the State.
(c)    At the time of issuance, the aggregate par value of the State’s general obligation variable interest rate bonds shall comprise no more than 15% of the outstanding general obligation indebtedness of the State.
2023 Maryland Statutes › State Finance and Procurement › Division I - State Finance › Title 8 - Debt › Subtitle 1 - General Obligation Debt › Part III - Authorization and Implementation › Section 8-124 - General Obligation Bonds

(a)    Subject to the provisions of subsection (b) of this section, it is the policy of the State that the preferred method of sale of general obligation bonds of the State by the Board is by public, competitive sale.
(b)    The Board may offer the sale of general obligation bonds of the State at a private, negotiated sale, but only if the Board determines that:
(1)    extraordinary credit market conditions exist that warrant the use of the method authorized by this subsection instead of the method stated in subsection (a) of this section; and
(2)    the terms and conditions for the sale of general obligation bonds of the State, including price, interest rates, and payment dates, achieved through a private, negotiated sale are more advantageous to the State than the terms and conditions for the sale that can be achieved by a public, competitive sale.
(c)    Whenever the Board receives no bids or rejects all bids for the State bonds offered at a public, competitive sale, the Board may sell some or all of the State bonds at a private, negotiated sale, on the terms and conditions, including price, interest rates, and payment dates, that the Board determines to be the most advantageous to the State.
(d)    Any determination or finding made by the Board pursuant to this section shall be conclusive.
2023 Maryland Statutes › State Finance and Procurement › Division I - State Finance › Title 8 - Debt › Subtitle 1 - General Obligation Debt › Part III - Authorization and Implementation › Section 8-125 - State and Local Facilities Loan Fund

(a)    In this section, “Fund” means the State and Local Facilities Loan Fund.
(b)    For bonds issued under § 8-122 of this subtitle, the Comptroller shall establish:
(1)    the State and Local Facilities Loan Fund;
(2)    a premium and expense account in the Fund; and
(3)    for accounting purposes only:
(i)    a capital project account for each enabling act; and
(ii)    separate subaccounts for each project included in enabling acts authorizing multiple projects.
(c)    (1)    The Comptroller shall credit the proceeds of the sale of State bonds to the Fund.
(2)    The Comptroller shall credit to the premium and expenses account:
(i)    any part of the proceeds of a bond sale that is a premium; and
(ii)    any additional part of the proceeds necessary to pay the expenses of that bond sale.
(d)    (1)    On approval by the Board, the Comptroller may expend money from the Fund for any expenditure authorized by an enabling act, regardless of whether bonds have been sold to specifically fund that enabling act.
(2)    To ensure compliance with § 8-127 of this subtitle, the Comptroller shall account for all expenditures from the Fund on a project-specific basis.
(3)    An expenditure made under this subsection may not reduce the amount of bonds authorized under an enabling act for which bonds have not been sold.
(e)    (1)    Unless payment of expenses otherwise has been provided, the expenses of each bond sale shall be paid from the proceeds of that bond sale credited to the premium and expense account.
(2)    After the expenses of each sale of State bonds have been paid, the remaining premium credited to the premium and expense account from that bond sale shall be transferred to the Annuity Bond Fund.
2023 Maryland Statutes › State Finance and Procurement › Division I - State Finance › Title 8 - Debt › Subtitle 1 - General Obligation Debt › Part III - Authorization and Implementation › Section 8-126 - Reduction of Authorization

(a)    Whenever an appropriation from the General Fund is made in the State budget and is spent to finance any part of a project or program for which an enabling act authorizes State debt, the total State debt authorized by the enabling act is reduced by the lesser of:
(1)    the amount of the appropriation; or
(2)    the amount of the State debt for which State bonds have not been issued.
(b)    Whenever any other funds are made available to finance any part of a project or program for which an enabling act authorizes State debt, the Governor, with the approval of the Board, may reduce the total State debt authorized by the enabling act by an amount not exceeding the amount of funds made available.
(c)    The Comptroller shall submit for publication in 2 separate issues of the Maryland Register a notice that:
(1)    describes the project or program for which the debt authorization is to be reduced;
(2)    states the amount of the reduction;
(3)    states the source of the funds on which the reduction is based; and
(4)    states the chapter number and year of enactment of the enabling act and each amendment to the enabling act.
(d)    A reduction under this section may become effective only after the second publication of notice in the Maryland Register.
2023 Maryland Statutes › State Finance and Procurement › Division I - State Finance › Title 8 - Debt › Subtitle 1 - General Obligation Debt › Part III - Authorization and Implementation › Section 8-127 - Restrictions on Use

(a)    Except as provided in § 8-129 of this subtitle, the proceeds of a sale of State bonds may be used only in the manner and for a project or program that is specified in an enabling act authorizing the issuance of State bonds.
(b)    (1)    Except as provided in § 8-129 of this subtitle, the proceeds of a sale of State bonds may be used only for a capital improvement unless:
(i)    the enabling act specifically provides otherwise; or
(ii)    in an emergency, the Board unanimously grants a temporary exception.
(2)    The Board shall determine whether the object of an expenditure is a capital improvement. The standard for this determination is whether the useful life of the object equals or exceeds the life of the State bonds.
(c)    The Board shall enforce the provisions of this section.
2023 Maryland Statutes › State Finance and Procurement › Division I - State Finance › Title 8 - Debt › Subtitle 1 - General Obligation Debt › Part III - Authorization and Implementation › Section 8-128 - Termination of Authorization

(a)    If, within 2 years after the date of an authorization of State debt, evidence that a required matching fund will be provided has not been presented to the Board or no part of the project or program for which the enabling act authorized the State debt is under contract and the Board has not encumbered money for any part of the project or program, the authorization terminates unless:
(1)    the enabling act provides otherwise; or
(2)    in an emergency, the Board unanimously grants a temporary exception for a period of 1 year.
(b)    Unless otherwise provided in an enabling act, an authorization of State debt for a project or program shall terminate no later than 1 year after the abandonment, completion, or acceptance of the project or program, as determined by the Board.
(c)    Except to the extent that money authorized by an enabling act for a State project or program has been encumbered by the Board, an authorization of State debt shall automatically terminate 7 years after the date of the authorization, unless:
(1)    the enabling act provides otherwise; or
(2)    in an emergency, the Board unanimously grants a temporary exception for 1 year.
(d)    If bonds have not been issued, the amount of any unissued bonds from a terminated authorization shall be canceled and be of no further effect.
(e)    If bonds have been issued, the amount of any unspent bond proceeds from a terminated authorization shall be disposed of as provided in § 8-129 of this subtitle.
(f)    (1)    The Board shall enforce the provisions of this section.
(2)    A failure to comply with or give effect to the provisions of this section may not affect the validity or enforceability of State debt.
(g)    The Board shall submit for publication in the Maryland Register a notice of any authorization of State debt that has been terminated or extended under this section; the notice shall include the chapter number and year of enactment of the enabling act and each amendment to the enabling act.
(h)    A termination or extension under this section may become effective only after the publication of notice in the Maryland Register.
(i)    (1)    The Treasurer, in consultation with the Comptroller, shall submit a report on January 1 each year to the Governor and, in accordance with § 2-1257 of the State Government Article, the General Assembly.
(2)    The report shall list all projects or programs for which authorization would be terminated in the upcoming year under the provisions in this section or § 7-305 of this article.
2023 Maryland Statutes › State Finance and Procurement › Division I - State Finance › Title 8 - Debt › Subtitle 1 - General Obligation Debt › Part III - Authorization and Implementation › Section 8-129 - Unspent Proceeds

(a)    With the approval of the Board, the Governor shall dispose of unspent proceeds of an enabling act within 1 year after the termination of the State debt authorization under § 8-128 of this subtitle.
(b)    The Governor shall:
(1)    use the proceeds to reduce State debt authorizations, as provided in § 8-126(b) through (d) of this subtitle;
(2)    allocate the proceeds to the Construction Contingency Fund, as provided in § 3-609 of this article; or
(3)    order the proceeds to be credited to the Annuity Bond Fund, to pay the outstanding bonded indebtedness of the State.
(c)    The Board shall enforce the provisions of this section.
2023 Maryland Statutes › State Finance and Procurement › Division I - State Finance › Title 8 - Debt › Subtitle 1 - General Obligation Debt › Part III - Authorization and Implementation › Section 8-130 - Adoption of Regulations

The Department of Budget and Management, with the approval of the Board, shall adopt regulations in accordance with Title 10, Subtitle 1 of the State Government Article to implement the provisions of §§ 8-128 and 8-129 of this subtitle.
2023 Maryland Statutes › State Finance and Procurement › Division I - State Finance › Title 8 - Debt › Subtitle 1 - General Obligation Debt › Part III - Authorization and Implementation › Section 8-131.2 - Exemption From Taxation

The State bonds, the transfer of State bonds, the interest payable on State bonds, and any income derived from State bonds, including profit realized in the sale or exchange of State bonds, are exempt from State and local taxes.
2023 Maryland Statutes › State Finance and Procurement › Division I - State Finance › Title 8 - Debt › Subtitle 1 - General Obligation Debt › Part IV - Debt Service › Section 8-132 - Annuity Bond Fund

(a)    In this section, “Code” means the Internal Revenue Code of 1986 and includes regulations and rulings issued under that Code.
(b)    There is an Annuity Bond Fund.
(c)    The Comptroller shall:
(1)    credit to the Annuity Bond Fund any money appropriated in the State budget to:
(i)    meet the debt service requirements on State bonds; and
(ii)    pay the costs of fiscal agents and other contracting parties appointed by the State Treasurer under §§ 8–121 and 8–136 of this subtitle; and
(2)    as specified in the appropriation, use the money to meet the debt service on the State bonds and pay fiscal agents and other contracting parties’ costs.
(d)    Any premium from the sale of State bonds transferred to the Annuity Bond Fund under § 8–125 of this subtitle may be used to pay for:
(1)    debt service on State bonds;
(2)    capital projects; or
(3)    if necessary or appropriate from time to time to comply with the requirements of the Code, any other use authorized by the Code.
2023 Maryland Statutes › State Finance and Procurement › Division I - State Finance › Title 8 - Debt › Subtitle 1 - General Obligation Debt › Part IV - Debt Service › Section 8-133 - State and Local Facilities Loan

(a)    The source of payment for the principal of and interest on each State bond that is sold as part of a State and local facilities loan shall be as provided in the enabling act under which the State bond is issued.
(b)    This section does not affect any exemption from taxation provided by law.
2023 Maryland Statutes › State Finance and Procurement › Division I - State Finance › Title 8 - Debt › Subtitle 1 - General Obligation Debt › Part IV - Debt Service › Section 8-134 - State Tax on Property

(a)    (1)    Subject to the provisions of subsection (b) of this section, on or before May 1 of each year, the Board shall certify to the governing body of each county the rates of State tax on assessable property needed to meet the debt service requirements during the next taxable year on all the State bonds that the Board anticipates will be outstanding during that year.
(2)    Each governing body immediately shall collect the tax at the rates the Board certifies under this section.
(b)    If, on or before May 1 of any year, the Comptroller certifies to the Board that the General Assembly has appropriated enough money to meet the debt service requirements during the next taxable year on an issue of State bonds:
(1)    the Board, by resolution, may determine that the tax otherwise required by the enabling act under which those State bonds are issued need not be imposed for that year; and
(2)    the Governor, by proclamation issued under the resolution, shall declare that the taxes otherwise required by the enabling act may not be collected during that year.
2023 Maryland Statutes › State Finance and Procurement › Division I - State Finance › Title 8 - Debt › Subtitle 1 - General Obligation Debt › Part IV - Debt Service › Section 8-135 - Fiscal Agent

(a)    In this section, “financial institution” has the meaning stated in § 6-201 of this article.
(b)    The Treasurer may appoint any financial institution as a fiscal agent.
(c)    During its agency, the fiscal agent shall be covered by a surety bond in the form and amount required by law.
(d)    (1)    In accordance with the procedures that the Treasurer sets, a fiscal agent shall pay at the financial institution, from money advanced to the agent, the interest on State debt and, as the principal matures, the principal.
(2)    The fiscal agent shall keep a receipt for each payment.
(e)    Each fiscal agent shall:
(1)    allow the Treasurer to inspect the agent’s accounts at any time; and
(2)    provide copies of the accounts on request of:
(i)    the Senate;
(ii)    the House of Delegates;
(iii)    the Comptroller; or
(iv)    the Treasurer.
(f)    At least once every 6 months, each fiscal agent shall send to the Treasurer:
(1)    an accounting of the State bonds and coupons that the agent has redeemed since the last accounting or transmittal under this subsection;
(2)    (i)    a certificate that states the total number of those State bonds and coupons and that attests to the destruction of all of them by a method satisfactory to the Treasurer; or
(ii)    if the Treasurer requires, the State bonds and coupons that the agent has redeemed since the last accounting or transmittal under this subsection;
(3)    an accounting of the State bonds and coupons that have not been redeemed during any allowed redemption period that expired since the prior accounting provided under this subsection; and
(4)    the total unredeemed principal and interest on any State bonds and coupons for which the redemption period has expired since the prior accounting provided under this subsection.
(g)    (1)    The Treasurer shall examine, count, and record each State bond and coupon that a fiscal agent returns.
(2)    Once every 2 years, after the Legislative Auditor verifies the records of the Treasurer, the Comptroller and the Treasurer or their deputies shall destroy all State bonds and coupons that the fiscal agents returned before the close of the last fiscal year.
(3)    The State bonds and coupons shall be destroyed in the presence of the Legislative Auditor or a designee of the Auditor.
(4)    The Comptroller, Treasurer, and Legislative Auditor shall execute a certificate that states the total number of State bonds and coupons destroyed and that attests to the destruction of all of them.
(h)    The Treasurer shall:
(1)    keep all certificates of destruction; and
(2)    send copies of each certificate to the presiding officers of the General Assembly.
(i)    The Treasurer shall:
(1)    deposit unredeemed principal and interest into an unpresented bond and coupon account; and
(2)    dispose of unredeemed principal and interest as provided in Title 17 of the Commercial Law Article.
2023 Maryland Statutes › State Finance and Procurement › Division I - State Finance › Title 8 - Debt › Subtitle 1 - General Obligation Debt › Part IV - Debt Service › Section 8-136 - Interest Rate Exchange Agreements or Contracts

If the Board has authorized the transaction and approved the form of the agreement, to improve the management of State general obligation debt or to reduce the cost of servicing such debt, and after giving due consideration to the creditworthiness of the counterparties, the Treasurer may:
(1)    enter into interest rate exchange agreements or contracts providing for payments based on levels of or changes in interest rates; and
(2)    appoint any agents necessary to implement and administer such agreements or contracts.
2023 Maryland Statutes › State Finance and Procurement › Division I - State Finance › Title 8 - Debt › Subtitle 1 - General Obligation Debt › Part V - State Revenue Anticipation Notes › Section 8-138 - Authorized

Subject to the limitations in this Part V of this subtitle, and at the direction of the Board, the Treasurer may borrow money, on the credit of the State, in anticipation of:
(1)    tax receipts, as set forth in the revenue estimates that support an enacted State budget; or
(2)    proceeds of a sale of State bonds.
2023 Maryland Statutes › State Finance and Procurement › Division I - State Finance › Title 8 - Debt › Subtitle 1 - General Obligation Debt › Part V - State Revenue Anticipation Notes › Section 8-142 - Time for Repayment

(a)    A loan under this Part V of this subtitle in anticipation of proceeds of a sale of State bonds shall be repaid within 180 days after the date of the loan.
(b)    A loan under this Part V of this subtitle in anticipation of tax receipts shall be repaid within 180 days after the date of the loan but no later than 45 days after the close of the fiscal year.
(c)    The Board may not extend a time limit set in this section.
2023 Maryland Statutes › State Finance and Procurement › Division I - State Finance › Title 8 - Debt › Subtitle 1 - General Obligation Debt › Part VI - Lost State Bonds and Coupons › Section 8-145 - Replacement

(a)    Whenever the owner of a State bond or coupon from a State bond satisfies the Treasurer, by legal and competent evidence, that the State bond or coupon has been lost and gives the Treasurer satisfactory security to indemnify the State against any other claim on the State bond or coupon, the Treasurer may issue a duplicate State bond or duplicate coupon.
(b)    Each duplicate State bond or duplicate coupon shall:
(1)    show on its face that it is a duplicate of a lost State bond or coupon; and
(2)    correspond in amount with the lost State bond or coupon.
2023 Maryland Statutes › State Finance and Procurement › Division I - State Finance › Title 8 - Debt › Subtitle 2 - Debts of State Units › Part I - Definitions; Scope of Subtitle › Section 8-201 - Definitions

(a)    In this subtitle the following words have the meanings indicated, unless the context clearly requires otherwise.
(b)    (1)    “Bond” means an obligation for the payment of money, by whatever name known or source of funds secured, issued by a State unit under general or special statutory authority.
(2)    “Bond” includes:
(i)    a bond;
(ii)    a certificate of indebtedness;
(iii)    an interim certificate; and
(iv)    a note.
(c)    “Enabling act” means a law that authorizes a State unit to create a debt and to sell bonds to evidence that debt.
(d)    “Resolution” means a resolution or other evidence of official action customarily used by a State unit.
(e)    (1)    “State unit” means a unit or instrumentality of the State.
(2)    “State unit” does not include the State.
2023 Maryland Statutes › State Finance and Procurement › Division I - State Finance › Title 8 - Debt › Subtitle 2 - Debts of State Units › Part I - Definitions; Scope of Subtitle › Section 8-202 - Scope of Subtitle

This subtitle does not apply to an entity that is governed by Title 19, Subtitles 1, 2, and 9 and Subtitle 6, Part I of the Local Government Article.
2023 Maryland Statutes › State Finance and Procurement › Division I - State Finance › Title 8 - Debt › Subtitle 2 - Debts of State Units › Part II - General Provisions › Section 8-205 - Form of Bonds

(a)    A State unit authorized to issue bonds may issue bonds:
(1)    in coupon form; or
(2)    notwithstanding any other provision of law, in a form that qualifies as a registered form under §§ 103 and 149 of the Internal Revenue Code or a regulation proposed or adopted under those sections.
(b)    Whenever a State unit provides for the sale of bonds in registered form, the State unit may:
(1)    establish procedures for the registration and transfer of the bonds;
(2)    appoint any agent, including an authenticating trustee, corporate trustee, paying agent, registrar, or transfer agent;
(3)    in connection with the establishment and maintenance of a central depository system for the transfer or pledge of the bonds, make agreements with:
(i)    custodian banks and their nominees; or
(ii)    financial intermediaries and their nominees; and
(4)    exercise any other power that relates to issuance of bonds in registered form.
2023 Maryland Statutes › State Finance and Procurement › Division I - State Finance › Title 8 - Debt › Subtitle 2 - Debts of State Units › Part II - General Provisions › Section 8-207 - Simultaneous Issues

(a)    This section does not apply to bonds issued under an enabling act that specifically states that this section does not apply.
(b)    Whenever a State unit simultaneously issues bonds authorized under 2 or more enabling acts, the State unit may allow submission of a bid that:
(1)    is for bonds authorized under 1 enabling act; and
(2)    is conditioned on the acceptance of 1 or more companion bids for bonds authorized under 1 or more of the other enabling acts.
(c)    Whenever, as a whole, a set of bids under subsection (b) of this section yields to the State unit more than individual bids, the State unit shall accept the set even if 1 or more of the bids in the set yields less than the individual bids.
2023 Maryland Statutes › State Finance and Procurement › Division I - State Finance › Title 8 - Debt › Subtitle 2 - Debts of State Units › Part II - General Provisions › Section 8-208 - Maturity

(a)    (1)    This section does not apply to a bond that:
(i)    matures within 1 year after the date of issue and is issued:
1.    in anticipation of tax receipts;
2.    to meet current expenses; or
3.    to meet an emergency;
(ii)    is sold to the United States or a unit or instrumentality of the United States;
(iii)    is issued under a plan of composition approved in a proceeding under Chapter IX of the United States Bankruptcy Act; or
(iv)    is issued under any other plan to refund or refinance in exchange, bond for bond, an outstanding maturing debt, other than:
1.    a current or floating debt; or
2.    a bond under item (i) of this paragraph.
(2)    This section does not apply to bond or grant anticipation notes issued under Part III of this subtitle.
(3)    This section does not apply to bonds issued under an enabling act that specifically states that this section does not apply or that provides a different method for establishing the maturity of the bonds.
(b)    (1)    A State unit shall issue bonds on a serial maturity plan.
(2)    The State unit may:
(i)    vary the amounts of the series; and
(ii)    provide for the maturity of a series in consecutive annual installments or at longer intervals.
(c)    (1)    The maturity date of the final series shall be based on the purpose for which the bonds are issued:
(i)    within the time limit that applies under the schedule in paragraph (2) of this subsection; or
(ii)    if more than 1 time limit applies, within the shortest applicable time limit.
(2)    The schedule of maturity dates is as follows:
Limit on Maturity
Purpose of Issue                                                  of Issue
Paving existing highways or streets …………………            10 years
Airports and buildings constructed or to be
constructed on airports …………………………………           15 years
Highway construction ……………………………………          20 years
Electric light and power systems ………………………          25 years
Gas systems ………………………………………………          25 years
Grade crossing eliminations ……………………………          25 years
Harbor improvements ……………………………………          25 years
School construction ………………………………………          25 years
All unscheduled permanent structures of durable
Materials ……………………………………………………          25 years
Bridges ………………………………………………………          30 years
Land acquired for permanent improvements …………          40 years
Sewerage installation ………………………………………          40 years
Water Systems ………………………………………………          40 years
All other unscheduled proprietary or public purposes          40 years
2023 Maryland Statutes › State Finance and Procurement › Division I - State Finance › Title 8 - Debt › Subtitle 2 - Debts of State Units › Part II - General Provisions › Section 8-210 - Small Denominations

(a)    A State unit authorized to issue bonds:
(1)    subject to the limitations in this section and notwithstanding any other law, if the State unit determines that it is in the public interest, may issue and sell the bonds in denominations of less than $1,000, in any form; and
(2)    subject to any other provision of law, may set the prices for and the interest rates to be paid on the bonds.
(b)    (1)    A State unit may not have bonds outstanding under this section in excess of a total principal amount of $1,000,000.
(2)    The total debts of a State unit, including bonds under this section, may not exceed a limit set by law.
(c)    A State unit may sell bonds issued under this section in any manner that the State unit considers appropriate, notwithstanding §§ 8-206 and 8-208 of this subtitle or any other law that requires the solicitation of competitive bids or the public sale of bonds to the highest bidder or bidders or that regulates the manner in which the sale shall be advertised or the bonds sold.
(d)    (1)    A State unit that issues bonds under this section shall approve a disclosure document that includes:
(i)    a description of the security for the bonds;
(ii)    a statement of the purposes for which the proceeds of the bonds will be used;
(iii)    a description of the financial condition of the State unit;
(iv)    a statement of the prices for and the interest rates to be paid on the bonds; and
(v)    a statement of the times and places of payment of the principal of and interest on the bonds.
(2)    The State unit shall make the disclosure document available to buyers of the bonds.
2023 Maryland Statutes › State Finance and Procurement › Division I - State Finance › Title 8 - Debt › Subtitle 2 - Debts of State Units › Part III - Bond and Grant Anticipation Notes › Section 8-213 - Authority to Issue

(a)    A State unit authorized to issue bonds may issue and sell bond anticipation notes if, in the resolution that authorizes the notes, the State unit covenants to:
(1)    pay from the proceeds of the bonds in anticipation of the sale of which the notes are issued:
(i)    the principal of the notes; and
(ii)    to the extent that the interest on the notes is not paid from the proceeds of sale of the notes, the interest on the notes; and
(2)    issue the bonds as soon as there is no longer a reason for deferring their issuance.
(b)    A State unit may issue and sell grant anticipation notes in anticipation of the receipt of a grant from the United States, the State, or any of their units if, in the resolution that authorizes the notes, the State unit covenants to pay from the proceeds of the grant in anticipation of the receipt of which the notes are issued:
(1)    the principal of the notes; and
(2)    the interest on the notes.
2023 Maryland Statutes › State Finance and Procurement › Division I - State Finance › Title 8 - Debt › Subtitle 2 - Debts of State Units › Part III - Bond and Grant Anticipation Notes › Section 8-214 - Resolution

(a)    Bond and grant anticipation notes issued under this Part III of this subtitle shall be authorized by resolution of the State unit.
(b)    (1)    The resolution shall state:
(i)    the authority for the notes and, if the notes are bond anticipation notes, the authority for the bonds;
(ii)    the amount of notes authorized; and
(iii)    the terms of the notes.
(2)    The resolution shall specify that the notes:
(i)    be sold in a certain manner, at public sale or, if the State unit considers private negotiation to be in its best interest, at private sale;
(ii)    mature at certain times;
(iii)    bear interest at certain rates or at rates to be determined in the manner stated in the resolution; and
(iv)    be sold for certain prices or for prices to be determined in the manner stated in the resolution, which may be at, above, or below par.
(3)    The resolution may provide that the notes:
(i)    be in 1 or more series, as money is required; and
(ii)    be renewable at maturity with or without resale.
2023 Maryland Statutes › State Finance and Procurement › Division I - State Finance › Title 8 - Debt › Subtitle 2 - Debts of State Units › Part III - Bond and Grant Anticipation Notes › Section 8-215 - Amount of Notes

(a)    A State unit may not issue bond anticipation notes under this Part III of this subtitle in a total principal amount that exceeds the authorized amount of the bonds in anticipation of the sale of which the notes are issued and sold.
(b)    A State unit may not issue grant anticipation notes under this Part III of this subtitle in a total amount, including interest, that exceeds the amount of the grant in anticipation of the receipt of which the notes are issued and sold.
2023 Maryland Statutes › State Finance and Procurement › Division I - State Finance › Title 8 - Debt › Subtitle 2 - Debts of State Units › Part III - Bond and Grant Anticipation Notes › Section 8-217 - Signing of Notes

(a)    A bond anticipation note may not be issued under this Part III of this subtitle unless it is signed, endorsed, or guaranteed in the manner required by law for the bonds in anticipation of which the note is issued.
(b)    A bond or grant anticipation note is valid and binding in accordance with its terms notwithstanding that:
(1)    an official whose signature appears on the note is no longer an official when the note is delivered; or
(2)    an official whose signature appears on the note became an official after the note was issued.
2023 Maryland Statutes › State Finance and Procurement › Division I - State Finance › Title 8 - Debt › Subtitle 2 - Debts of State Units › Part III - Bond and Grant Anticipation Notes › Section 8-218 - Payment of Principal and Interest

(a)    (1)    The principal of and interest on bond anticipation notes under this Part III of this subtitle shall be payable from:
(i)    the 1st proceeds of sale of the bonds; or
(ii)    the tax or other revenue that the State unit has pledged to the payment of the bonds.
(2)    One year’s interest on the notes, or on any renewal of the notes, accounting from the date of the initial issue of the notes, may be paid from the proceeds of sale of the notes.
(b)    (1)    Subject to paragraphs (2) and (3) of this subsection, the principal of and interest on grant anticipation notes under this Part III of this subtitle shall be payable from the proceeds of the grant.
(2)    The State unit may make the grant anticipation notes payable only from the proceeds of the grant and need not pledge the faith and credit or taxing power of the State unit.
(3)    If the State unit does not pledge its faith and credit or taxing power, the grant anticipation notes are not a debt or a charge against the general credit or taxing power of the State unit under any constitutional provision or statutory limitation.
2023 Maryland Statutes › State Finance and Procurement › Division I - State Finance › Title 8 - Debt › Subtitle 2 - Debts of State Units › Part III - Bond and Grant Anticipation Notes › Section 8-219 - Proceeds of Sale of Bond Anticipation Notes

The proceeds of sale of bond anticipation notes shall be spent:
(1)    1st, for payment of the expenses of issuance of the notes; and
(2)    then, subject to § 8-218(a)(2) of this subtitle, only for the public purposes for which the bonds are authorized.
2023 Maryland Statutes › State Finance and Procurement › Division I - State Finance › Title 8 - Debt › Subtitle 2 - Debts of State Units › Part III - Bond and Grant Anticipation Notes › Section 8-220 - Interest Rate Limit on Bonds

(a)    (1)    Except for the provisions of this section, each State unit shall comply with the provisions, requirements, and limitations in the enabling act.
(2)    If a State unit is unable to sell bonds to pay the bond anticipation notes under this Part III of this subtitle when due because of an interest rate limitation in the enabling act, the State unit may:
(i)    issue bonds in a total principal amount sufficient to pay the principal of and not more than 1 year’s interest on the notes; and
(ii)    provide for payment of interest on the bonds at a rate that is higher than the interest rate limitation in the enabling act.
(3)    This section is supplemental authority for a State unit to issue bonds free of an interest rate limitation to pay outstanding bond anticipation notes under this Part III of this subtitle.
(b)    A resolution that authorizes the issuance of bonds under subsection (a)(2) of this section shall refer to:
(1)    the enabling act; and
(2)    this section.
2023 Maryland Statutes › State Finance and Procurement › Division I - State Finance › Title 8 - Debt › Subtitle 2 - Debts of State Units › Part III - Bond and Grant Anticipation Notes › Section 8-221 - Commercial Paper

(a)    A State unit may issue bond or grant anticipation notes under this Part III of this subtitle as notes in the nature of commercial paper.
(b)    A bond or grant anticipation note issued as a note in the nature of commercial paper may be secured by:
(1)    a trust indenture with a trust company, or a bank with powers of a trust company, in or outside the State; and
(2)    a letter of credit, line of credit, or other credit arrangement from or with a lending institution.
(c)    (1)    For bond anticipation notes, the credit arrangement may be made payable out of:
(i)    the 1st proceeds of sale of the bonds; or
(ii)    the tax or other revenue that the State unit has pledged to payment of the principal of and interest on the bonds.
(2)    For grant anticipation notes, the credit arrangement may be made payable out of the proceeds of the grant.
2023 Maryland Statutes › State Finance and Procurement › Division I - State Finance › Title 8 - Debt › Subtitle 2 - Debts of State Units › Part III - Bond and Grant Anticipation Notes › Section 8-222 - Exemption From Taxation

The following obligations are exempt from State and local taxation:
(1)    a bond or grant anticipation note issued under this part;
(2)    a bond issued to pay the notes issued under item (1) of this section; and
(3)    the interest on the obligations.
2023 Maryland Statutes › State Finance and Procurement › Division I - State Finance › Title 8 - Debt › Subtitle 3 - Miscellaneous Provisions › Section 8-301 - Contract to Spend General Obligation Loan Proceeds

(a)    Except as provided in subsection (b) of this section or in other law, a contract to spend the proceeds of a general obligation loan that has been authorized by any act of the General Assembly may not be executed until the Board of Public Works approves the contract.
(b)    (1)    Approval by the Board of Public Works is not required if the act merely authorizes a county or municipal corporation to borrow money and no State funds are involved.
(2)    Approval by the Board of Public Works is not required for a contract or other authorization to spend the proceeds of a general obligation loan for public school construction projects.
2023 Maryland Statutes › State Finance and Procurement › Division I - State Finance › Title 8 - Debt › Subtitle 3 - Miscellaneous Provisions › Section 8-302 - Bonds to Be Considered Investment Securities

(a)    In this section, “bond” means an obligation of the State or of any of its units or instrumentalities.
(b)    If a bond otherwise complies with the requirements of the Commercial Law Article for investment securities, the bond shall be considered to be an investment security notwithstanding that:
(1)    the resolution or other authority under which the bond is issued subjects the bond to an indenture or agreement that is separate from the resolution or authority;
(2)    the resolution or other authority under which the bond is issued limits payment of principal and interest to:
(i)    the proceeds of limited sources of revenue; or
(ii)    a special fund established for that purpose;
(3)    any law limits payment of principal and interest to a certain amount or rate of tax that may be imposed; or
(4)    principal or interest are registrable.
(c)    A bond that is considered to be an investment security under subsection (b) of this section has all the attributes of an investment security that are possessed by a bond that is:
(1)    issued on the full faith and credit of the issuer;
(2)    payable to bearer; and
(3)    secured as to the payment of principal and interest by the unlimited taxing power of the issuer.
2023 Maryland Statutes › State Finance and Procurement › Division I - State Finance › Title 8 - Debt › Subtitle 3 - Miscellaneous Provisions › Section 8-303 - Use of Appropriation for Reimbursement of Grant Recipient on or Before Effective Date of Enabling Act

(a)    In this section, “enabling act” has the meaning stated in § 8–101 of this title.
(b)    (1)    Unless otherwise prohibited by law and subject to paragraph (2) of this subsection, an appropriation authorized by an enabling act may be used to reimburse a grant recipient for an expenditure incurred on or before the effective date of the enabling act.
(2)    An appropriation may not be used to reimburse a grant recipient for an expenditure if the expenditure is not consistent with the public purpose of the appropriation.