This article may be referred to as the "Montgomery County Revenue Bond Act."

The following definitions apply to this article: (1) Construction means acquisition, installation, reconstruction, or construction, or any combination of them. (2) Costs of the project means: a. The funding of one (1) or more reserve funds that is necessary or desirable in connection with the financing of a project; b. The cost of all land, property, rights, easements, and franchises that are necessary for the construction or improvement of any project; c. The cost of all: (i) Labor; (ii) Materials; (iii) Machinery; (iv) Equipment; (v) Furnishings; (vi) Installing any equipment and furnishings; (vii) Financing charges; and (viii) Interest charged before and during construction, and for one (1) year after completion of construction; d. The costs of: (i) Engineering; (ii) Architectural services; (iii) Legal services; (iv) Plans; (v) Specifications; (vi) Surveys; (vii) Estimates of costs and of revenues; (viii) Determining the feasibility or practicability of construction; (ix) Administrative expenses; and (x) Any other services that may be necessary or incident to the financing, construction, or improvement of a project, and of placing a project in operation. (3) Equipment and furnishings mean any: a. Instrument; b. Apparatus; c. Accouterment or appointment; and d. Installation. (4) Improvement means extension, enlargement or betterment, or any combination of them. (5) Project means: a. Any system, structure, facility, or undertaking, all or a part of which is financed from the proceeds of revenue bonds; and b. Any real or personal property or any interest in the real or personal property, or any combination of them. (6) Revenue bonds means bonds or other obligations issued by the county under section 5(P)(2) and (3) of article 25A of the Annotated Code of Maryland and this article.

(a) The county may issue revenue bonds payable as to principal, interest, and premium, if any, only from the funds or revenues received from or in connection with any project, all or part of which is financed from the proceeds of revenue bonds. (b) The authority to issue revenue bonds must be exercised in the manner established in this article.

(a) The county council must adopt a resolution to authorize the issuance of revenue bonds. (b) The resolution must specify: (1) The project to be financed in whole or in part by the revenue bonds; and (2) The maximum principal amount of revenue bonds that may be issued for the project.

(a) The county executive must specify, prescribe, determine, provide for, or approve all matters, forms, documents, or procedures that the county executive deems appropriate to effect the authorization, sale, security, issuance, delivery, and payment of or for revenue bonds, subject to the limitations under this article and the resolution providing for the issuance of the revenue bonds. (b) The county executive may: (1) Provide for the maturity of revenue bonds on a date or dates that is no later than fifty (50) years from the date of the issuance of the revenue bonds; (2) Fix the rate or rates of interest payable on revenue bonds, or the method of determining the rate or rates; (3) Fix the denomination or denominations of revenue bonds and the place or places of payment of the principal, interest, and premium, if any; the place of payment may be at any bank or trust company within or without the state; (4) Determine the form of revenue bonds and the manner of executing them and affixing the county seal to them, which may be in accordance with the Uniform Facsimile Signature of Public Officials Act; however, if any officer whose signature or a facsimile of whose signature appears on any revenue bonds ceases to be the officer before delivery of the revenue bonds, the signature or facsimile is valid and sufficient for all purposes the same as if the officer had remained in office until delivery; (5) Provide for the manner in which revenue bonds may be sold, at either public or private (negotiated) sale, at a price that may be either at, above, or below par; (6) Enter into agreements with agents, banks, fiduciaries, insurers, or others for the purpose of: a. Pledging or otherwise assigning funds or revenues received from or in connection with any project; b. Enhancing the marketability of any security for revenue bonds; and c. Securing any tender option that may be granted to holders of revenue bonds; and (7) Provide for: a. The preparation of temporary bonds, to be exchanged for definitive revenue bonds when the latter are available for delivery; and b. For the replacement of any revenue bonds that are mutilated, destroyed, or lost. (c) The authority of the county executive under this article is not subject to the provision of chapter 11B of the Code.

The proceeds from the sale of any revenue bonds must be applied only to: (1) Pay the costs of the project for which the revenue bonds are authorized; or (2) Any fund created for the payment of the revenue bonds.

Unless a holder of revenue bonds is restricted by an agreement with the county, any holder of revenue bonds and any fiduciary in connection with them may: (1) Protect and enforce any and all rights granted: a. Under the laws of the state; or b. In a resolution authorizing revenue bonds; or c. In any agreement by the county relating to revenue bonds; and (2) Compel the performance of all duties required by: a. This article; or b. A resolution authorizing revenue bonds; or c. Any agreement by the county relating to revenue bonds, in accordance with law.

(a) Revenue bonds are not indebtedness of the county within the meaning of the Charter and do not constitute a pledge of the full faith and credit of the county. (b) All revenue bonds must contain a statement on their face to the effect that the full faith and credit of the county is not pledged to pay their principal, interest, or premium, if any.