(1) The Authority may secure a bond by a trust agreement between the Authority and a corporate trustee.
(2) A corporate trustee may be any trust company or bank that has the powers of a trust company in or outside the State.
(b) Provisions.- The trust agreement or the resolution that provides for the issuance of a bond may:
(1) provide for the protection and enforcement of rights and remedies of bondholders, including covenants setting forth the duties of the Authority in relation to:
(i) acquisition, improvement, maintenance, operation, and insurance of the development or project; and
(ii) custody, safeguarding, and application of money;
(2) provide for the rights and remedies of bondholders and of the trustee;
(3) restrict the individual right of action by bondholders as is customary in trust agreements securing bonds of corporations;
(4) provide for the deposit of the proceeds of the sale of bonds and the revenue of a development or project with an officer, board, or depositary that the Authority designates as custodian; and
(5) provide for the method of disbursing the proceeds and revenues with safeguards and restrictions that the Authority determines.
(c) Security for bonds.-
(1) Except as provided in paragraph (2) of this subsection and § 10-222 of this subtitle, a trust agreement may pledge or assign revenues to be received from the development or project.
(2) No portion of a development or project may be conveyed or mortgaged without the express consent of the Board of Public Works.
(d) Use of proceeds.- The trust agreement may authorize the use of money realized from the sale or disposition of any of the property of a development or project to pay principal of and interest on the bonds.
(e) Expenses.- Expenses incurred in carrying out a trust agreement may be treated as part of the cost of maintenance, repair, and operation of a development or project.
(f) Authority of bank or trust company.- A bank or trust company incorporated in the State may act as a depositary of the proceeds of the bonds or the revenues and furnish indemnity bonds or pledge securities as required by the Authority.
(1) The Authority may secure a bond by a trust agreement between the Authority and a corporate trustee.
(2) A corporate trustee may be any trust company or bank that has the powers of a trust company in or outside the State.
(b) Provisions.- The trust agreement or the resolution that provides for the issuance of a bond may:
(1) provide for the protection and enforcement of rights and remedies of bondholders, including covenants setting forth the duties of the Authority in relation to:
(i) acquisition, improvement, maintenance, operation, and insurance of the development or project; and
(ii) custody, safeguarding, and application of money;
(2) provide for the rights and remedies of bondholders and of the trustee;
(3) restrict the individual right of action by bondholders as is customary in trust agreements securing bonds of corporations;
(4) provide for the deposit of the proceeds of the sale of bonds and the revenue of a development or project with an officer, board, or depositary that the Authority designates as custodian; and
(5) provide for the method of disbursing the proceeds and revenues with safeguards and restrictions that the Authority determines.
(c) Security for bonds.-
(1) Except as provided in paragraph (2) of this subsection and § 10-222 of this subtitle, a trust agreement may pledge or assign revenues to be received from the development or project.
(2) No portion of a development or project may be conveyed or mortgaged without the express consent of the Board of Public Works.
(d) Use of proceeds.- The trust agreement may authorize the use of money realized from the sale or disposition of any of the property of a development or project to pay principal of and interest on the bonds.
(e) Expenses.- Expenses incurred in carrying out a trust agreement may be treated as part of the cost of maintenance, repair, and operation of a development or project.
(f) Authority of bank or trust company.- A bank or trust company incorporated in the State may act as a depositary of the proceeds of the bonds or the revenues and furnish indemnity bonds or pledge securities as required by the Authority.
(1) The Authority may secure a bond by a trust agreement between the Authority and a corporate trustee.
(2) A corporate trustee may be any trust company or bank that has the powers of a trust company in or outside the State.
(b) Provisions.- The trust agreement or the resolution that provides for the issuance of a bond may:
(1) provide for the protection and enforcement of rights and remedies of bondholders, including covenants setting forth the duties of the Authority in relation to:
(i) acquisition, improvement, maintenance, operation, and insurance of the development or project; and
(ii) custody, safeguarding, and application of money;
(2) provide for the rights and remedies of bondholders and of the trustee;
(3) restrict the individual right of action by bondholders as is customary in trust agreements securing bonds of corporations;
(4) provide for the deposit of the proceeds of the sale of bonds and the revenue of a development or project with an officer, board, or depositary that the Authority designates as custodian; and
(5) provide for the method of disbursing the proceeds and revenues with safeguards and restrictions that the Authority determines.
(c) Security for bonds.-
(1) Except as provided in paragraph (2) of this subsection and § 10-222 of this subtitle, a trust agreement may pledge or assign revenues to be received from the development or project.
(2) No portion of a development or project may be conveyed or mortgaged without the express consent of the Board of Public Works.
(d) Use of proceeds.- The trust agreement may authorize the use of money realized from the sale or disposition of any of the property of a development or project to pay principal of and interest on the bonds.
(e) Expenses.- Expenses incurred in carrying out a trust agreement may be treated as part of the cost of maintenance, repair, and operation of a development or project.
(f) Authority of bank or trust company.- A bank or trust company incorporated in the State may act as a depositary of the proceeds of the bonds or the revenues and furnish indemnity bonds or pledge securities as required by the Authority.
