HARRY HUGHES, Governor

2001

(D)  IN THE DISCRETION OF THE AUTHORITY, BONDS ISSUED
BY THE AUTHORITY MAY BE SECURED BY A TRUST OR OTHER
AGREEMENT BETWEEN THE AUTHORITY AND A TRUSTEE. A TRUSTEE
MAY BE ANY TRUST COMPANY, OR BANK HAVING TRUST POWERS,
WITHIN OR WITHOUT THE STATE. NO TRUST OR OTHER AGREEMENT
ADOPTED OR ENTERED INTO BY A PUBLIC BODY UNDER THIS SUBTITLE
NEED BE FILED OR RECORDED EXCEPT IN THE RECORDS OF THE
AUTHORITY, REGARDLESS OF ANY CONTRARY PROVISION OF PUBLIC
GENERAL OR PUBLIC LOCAL LAW. ANY TRUST OR OTHER AGREEMENT,
OR ANY DETERMINATION AUTHORIZING THE ISSUANCE OF BONDS MAY
CONTAIN:

(1)  SUBJECT TO THEN EXISTING AGREEMENTS WITH
BONDHOLDERS, PROVISIONS TO SECURE PAYMENT OF BONDS BY
PLEDGING OR ASSIGNING ALL OR ANY PART OF (I) THE REVENUES OF
THE AUTHORITY, (II) LOANS MADE BY THE AUTHORITY OR LOAN
DOCUMENTS THEREFOR, (III) THE PROCEEDS OF ANY BONDS OF THE
AUTHORITY, OR (IV) ANY OTHER ASSETS OF THE AUTHORITY;

(2)  PROVISIONS PROTECTING AND ENFORCING THE
RIGHTS AND REMEDIES OF BONDHOLDERS, INCLUDING RESTRICTIONS
ON THE RIGHTS OF BONDHOLDERS, AND COVENANTS SETTING FORTH
DUTIES OF OR RESTRICTIONS ON THE AUTHORITY;

(3)  PROVISIONS APPOINTING ONE OR MORE TRUST
COMPANIES OR BANKS WITH TRUST POWERS TO ACT AS DEPOSITARIES
OF THE PROCEEDS OF ANY BONDS, OR OF ANY REVENUES OR FUNDS OF
THE AUTHORITY. ANY DEPOSITARY BANK OR TRUST COMPANY
INCORPORATED IN THE STATE MAY FURNISH INDEMNIFYING BONDS OR
PLEDGE SECURITIES, AS REQUIRED BY THE AUTHORITY;

(4)  PROVISIONS AS TO CUSTODY, SAFEGUARDING,
APPLICATION, AND INVESTMENT OF FUNDS OF THE AUTHORITY. THE
MANNER OF AND RESTRICTIONS ON INVESTMENT OF FUNDS SHALL BE
IN THE MANNER PROVIDED BY THE AUTHORITY, NOTWITHSTANDING
ARTICLE 95, §§ 21, 21A, AND 22 OF THE CODE, WHICH DO NOT
APPLY TO BANKS OR TRUST COMPANIES IN THE DISCHARGE OF DUTIES
UNDER THIS SECTION;

(5)  PROVISIONS ESTABLISHING AND CONTROLLING ALL
ASPECTS OF RESERVE FUNDS, INCLUDING DEBT SERVICE RESERVE
FUNDS;

(6)  PROVISIONS FOR FUNDING OR REFUNDING BONDS,
INCLUDING REDEMPTION PREMIUMS AND INTEREST; AND

(7)  ANY OTHER PROVISIONS DEEMED REASONABLE AND
PROPER FOR THE SECURITY OF BONDHOLDERS.

(E)  ANY PLEDGE MADE BY THE AUTHORITY IS VALID AND
BINDING FROM THE TIME THE PLEDGE IS MADE. THE LIEN OF THE
PLEDGE ATTACHES IMMEDIATELY TO REVENUES OR PROPERTY PLEDGED
AND THEREAFTER RECEIVED BY THE AUTHORITY, WITHOUT ANY
PHYSICAL DELIVERY OR FURTHER ACT. THE LIEN OF THE PLEDGE IS
VALID AND BINDING AGAINST ALL PERSONS HAVING CLAIMS OF ANY
KIND AGAINST THE AUTHORITY, WHETHER OR NOT THOSE PERSONS
HAVE NOTICE OF THE PLEDGE, AND WITHOUT RECORDING OR FILING
THE DETERMINATION OR ANY OTHER INSTRUMENT.