VETOES

LOCAL LAW OR CHARTER TO BORROW MONEY AND TO EVIDENCE THE
BORROWING BY THE ISSUANCE OF ITS GENERAL OBLIGATION BONDS,
REVENUE BONDS OR OTHER EVIDENCES OF OBLIGATION, BY WHATEVER NAME
KNOWN OR SOURCE OF FUNDS SECURED, MAY ISSUE BONDS ("PENSION
LIABILITY FUNDING BONDS") FOR THE PURPOSE OF FUNDING ANY UNFUNDED
PRESENT OR CONTINGENT LIABILITY OF ANY KIND UNDER ANY PENSION
PLAN. FOR PURPOSES OF THIS SECTION, THE TERM "PENSION PLAN"
SHALL MEAN ANY EXISTING PENSION OR RETIREMENT PLAN OR SYSTEM
UNDER WHICH THE PUBLIC BODY IS DIRECTLY OR INDIRECTLY OBLIGATED
TO PAY OR CAUSE TO BE PAID RETIREMENT, DISABILITY, DEATH OR OTHER
BENEFITS AND THAT IS CLOSED TO NEW MEMBERSHIP. PENSION LIABILITY
FUNDING BONDS ISSUED UNDER THE AUTHORITY OF THIS SECTION MAY BE
ISSUED FOR THE PUBLIC PURPOSES OF:

(1)  REALIZING SAVINGS WITH RESPECT TO THE AGGREGATE
COST OF THE PENSION PLAN BEING FUNDED, ON EITHER A DIRECT
COMPARISON OR PRESENT VALUE BASIS; OR

(2)  STRUCTURING OR RESTRUCTURING PENSION PLAN COSTS
IN A MANNER THAT (I) IN THE AGGREGATE EFFECTS A REDUCTION IN THE
TOTAL COST OF THE PENSION PLAN AS PROVIDED IN PARAGRAPH (1) ABOVE
OR (II) IS DETERMINED BY THE ISSUER TO BE IN THE BEST INTERESTS
OF THE ISSUER, TO BE CONSISTENT WITH THE ISSUER'S LONG-TERM
FINANCIAL PLAN, AND TO REALIZE A FINANCIAL OBJECTIVE OF THE
ISSUER, INCLUDING IMPROVING THE RELATIONSHIP OF PENSION PLAN
COSTS TO A SOURCE OF PAYMENT SUCH AS TAXES, ASSESSMENTS, OR OTHER
CHARGES OR IMPROVING THE BENEFITS PAYABLE UNDER THE PENSION PLAN.

THE POWER TO ISSUE PENSION LIABILITY FUNDING BONDS UNDER
THIS SECTION SHALL BE DEEMED ADDITIONAL AND SUPPLEMENTAL TO THE
ISSUER'S EXISTING BORROWING POWER. EXCEPT AS OTHERWISE PROVIDED
IN THIS SECTION, PENSION LIABILITY FUNDING BONDS SHALL CONTAIN
THE TERMS, CONDITIONS AND COVENANTS, BE PAYABLE FROM THE TAXES OR
OTHER SOURCES AND BE ISSUED PURSUANT TO THE PROCEDURES THAT ARE
APPLICABLE OR GENERALLY MADE APPLICABLE TO THE ISSUER'S GENERAL
OBLIGATION BONDS, REVENUE BONDS, OR OTHER EVIDENCES OF
OBLIGATION, AS THE CASE MAY BE, WHICH ARE THE SAME AS REGARDS
SOURCE OF PAYMENT AS THE PENSION LIABILITY FUNDING BONDS TO BE
ISSUED.

(C) NOTWITHSTANDING ANY LIMITATIONS OR OTHER PROVISIONS TO
THE CONTRARY OF ARTICLES 23A, 25A, OR 25B OF THE ANNOTATED CODE
OF MARYLAND, THE CHARTER OR OTHER AUTHORIZING LEGISLATION OF THE
ISSUER, OR ANY OTHER LOCAL OR GENERAL LAWS WITHIN THE STATE, AND
WITHOUT IN ANY WAY LIMITING THE GENERALITY OF THE FOREGOING, AT
THE DISCRETION OF THE LEGISLATIVE OR OTHER GOVERNING BODY OF THE
ISSUER, PENSION LIABILITY FUNDING BONDS (I) MAY BE ISSUED WITHOUT
REGARD TO ANY PROVISIONS OF THE ISSUER'S CHARTER OR ANY OTHER
LAWS REQUIRING PUBLIC REFERENDUM BEFORE THE ISSUANCE OF PUBLIC
DEBT BY THE ISSUER OR REQUIRING THAT DEBT BE ISSUED ONLY FOR THE
PURPOSE OF FINANCING CERTAIN PROJECTS SUCH AS CAPITAL PROJECTS
DEFINED IN ANY CHARTER, OR ANY OTHER PROVISIONS THAT MAY BE
INCONSISTENT WITH THIS SECTION, (II) MAY BE SOLD BY THE ISSUER ON

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