2374                                    MUNICIPAL CHARTERS

Code of Maryland, 1957 Edition as amended, to amend Section 188P "TAX
ANTICIPATION BORROWING" of the Municipal Charter of the Town of Ocean
City, Maryland by eliminating from said section of said charter the matter hereinafter
enclosed in double parentheses, and by adding to said section of said charter new
matter hereinafter underscored as follows:

"188P TAX ANTICIPATION BORROWING: The town shall have the power
to borrow in anticipation of the collection of the property tax levied OR TO BE
LEVIED for [that] A DESIGNATED fiscal year, and to issue tax anticipation
notes or other evidences of indebtedness as evidence of such borrowing. Such tax
anticipation notes or other evidences of indebtedness shall be a first lien upon the
proceeds of such tax and shall mature and be paid not later than six months after
the [beginning] END [of the fiscal year in which they are issued] OF THE
DESIGNATED FISCAL YEAR, BUT IN NO EVENT SHALL THEY BE
PAID LATER THAN EIGHTEEN MONTHS FROM THE DATE OF THEIR
ISSUANCE. No tax anticipation notes or other evidences of indebtedness shall be
issued which will cause the total tax anticipation indebtedness of the town to
exceed fifty per centum (50%) of the property tax levy OR ANTICIPATED
PROPERTY TAX LEVY for the fiscal year [in] FOR which such notes or other
evidences of indebtedness shall be authorized by ordinance before being issued. The
council shall have the power to regulate all matters concerning the issuance and
sale of tax anticipation notes."

The Section 188P so amended shall read as follows:

188P. TAX ANTICIPATION BORROWING: The town shall have the power
to borrow in anticipation of the collection of the property tax, levied or to be
levied, for a designated fiscal year, and to issue tax anticipation notes or other
evidences of indebtedness as evidence of such borrowing. Such tax anticipation
notes or other evidences of indebtedness shall be a first lien upon the proceeds of
such tax and shall mature and be paid not later than six months after the end of
the designated fiscal year, but in no event shall they be paid later than eighteen
months from the date of their issuance. No tax anticipation notes or other
evidences of indebtedness shall be issued which will cause the total tax anticipation
indebtedness of the town to exceed fifty per centum (50%) of the property tax levy
or anticipated property tax levy for the fiscal year for which said notes or other
evidences of indebtedness shall be authorized by ordinance before being issued. The
council shall have the power to regulate all matters concerning the issuance and
sale of tax anticipation notes.

Resolved this 3rd day of April, 1971, upon motion , seconded and carried
unanimously.

Daniel Trimper, IV
Council President

Harry W. Kelly, Mayor                                                             William Purnell, Jr.

Council Secretary

AMENDMENT TO THE CHARTER