Sec. 42-25. Limitation or alteration of Authority's rights.

   Under Chapter 601 of the 1992 Laws of Maryland, the County may not limit any powers, authority, rights, or obligations of the Authority if the limitation would violate the pledge of the State under Section 42-25 of Article 16 of the Code of Public Local Laws of Maryland, as that Section existed on May 26, 1992. (1992 L.M.C., ch. 35, § 2.)

Sec. 42-26. Tax exemption; assessments.

   (a)   Under Chapter 601 of the 1992 Laws of Maryland, the establishment of a project under this Chapter is in all respects for the benefit of the inhabitants of Montgomery County and is a public purpose. The County, the State and the Authority are performing an essential governmental function in exercising the powers conferred by this Chapter. The Authority must not be required to pay any tax or assessment on:

      (1)   any facility on or any part of a facility;

      (2)   activities of the Authority in the operation and maintenance of any facility;

      (3)   any revenues from the operations or maintenance of any facility or project; or

      (4)   the bonds of the Authority or the interest on them.

   (b)   (1)   Under Chapter 601 of the 1992 Laws of Maryland, the projects and the bonds of the Authority, the interest on the bonds, and any gain realized from the sale or exchange are exempt from all State, County, municipal and local taxation of any kind or nature, unless the bonds are expressly declared by the Authority to be taxable.

      (2)   Under Chapter 601 of the 1992 Laws of Maryland, the Authority may declare any project and the bonds issued for the project, interest on the bonds, or any gain realized from the sale or exchange of the bonds to be taxable in any respect, subject to conditions contained in the declaration by the Authority.

   (c)   The Authority and the State, County, and other incorporated cities or towns in the County may enter into an agreement, for such duration as they may determine, for the payment of a stated sum in lieu of taxes by the Authority to the State or a political subdivision.

   (d)   The Authority is subject to any applicable benefits assessment, including any road, street, sewer, and water charge that may be levied by operation of law. (1992 L.M.C., ch. 35, § 2.)

Sec. 42-27. Investment in and deposit of Authority's bonds.

   Under Chapter 601 of the 1992 Laws of Maryland:

   (a)   Revenue bonds issued under this Chapter are securities in which all public officers and public agencies of the State and its political subdivisions, and all banks, trust companies, savings and loan associations, investment companies and others carrying on a banking business, all insurance companies, and insurance associations and others carrying on an insurance business, all administrators, executors, guardians, trustees, and other fiduciaries, and all other persons may legally and properly invest funds, including capital, in their control or belonging to them.

   (b)   Revenue bonds issued under this Chapter are securities which may properly and legally be deposited with and received by any State or municipal officer or any agency or political subdivision of the State for any purpose for which the deposit of bonds or other obligations of the State is authorized by law. (1992 L.M.C., ch. 35, § 2.)