§ 5-430. Bond-related insurance

   (a) In general. -- If the requirements of this section are satisfied, and subject to § 5-432 of this subtitle, the Authority may use the Fund to:

   (1) insure the payment of any of the principal of, redemption or prepayment premiums or penalties on, and interest on:

      (i) bonds; and

      (ii) any instrument executed, obtained, or delivered in connection with the issuance and sale of bonds; and

   (2) pay or insure the payment of fees or premiums for insurance, guarantees, or other credit support in connection with financial assistance under this subtitle.

(b) Economic impact. -- Based on factors it considers relevant, the Authority shall determine, in its sole discretion, that the economic impact of the transaction will be substantial.

(c) Removal or abandonment of facilities. -- The Authority shall find:

   (1) that the acquisition or improvement of a facility will not result in:

      (i) the removal from one county to another county of the business operations of the facility user; or

      (ii) the abandonment of a facility in the State; or

   (2) if the acquisition or improvement will result in removal or abandonment, that the acquisition or improvement will:

      (i) discourage the facility user from leaving the State; or

      (ii) preserve the competitive position of the facility user in its industry.

(d) Operation by Authority. -- The Authority shall find that the Authority will not be required, except on default, to operate, service, or maintain the facility.

(e) Security. -- The bonds or instruments shall be secured in a manner that the Authority approves.

(f) Amount of financial assistance. -- Financial assistance from the Fund provided under this section may not exceed an aggregate amount of $ 7,500,000 for a single facility.

HISTORY: An. Code 1957, art. 83A, § 5-916, 5-917(a)-(f); 2008, ch. 306, § 2.