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 Montgomery County
 Code
 Part II. Local Laws, Ordinances, Resolutions, Etc.
 Chapter 14. Development Districts.
 Article IV. Issuing Debt.

§ 14-12. Bonds-Payment, Sinking Funds, Reserve Funds, Pledges and Other Financial Guaranties, Proceeds.  

Latest version.
  • (a) If the resolution adopted under Section 14-13 so provides, the Executive must take all necessary actions to issue bonds under this Chapter, subject to the usual and customary requirements and procedures for issuance of special district bonds.
    (b) Bonds must be payable from the special fund required under Section 14-11 and any other assets or revenues of the district pledged toward their payment.
    (c) If the resolution adopted under Section 14-9(c) provides for the issuance of bonds, the resolution may authorize the Executive to:
    (1) establish sinking funds and debt service reserve funds;
    (2) pledge other assets in and revenues from the district towards the payment of the principal and interest; or
    (3) arrange for insurance or any other financial guaranty of the bonds.
    (d) All proceeds received from any bonds issued must be applied solely towards:
    (1) costs of the infrastructure improvements listed in the resolution adopted under Section 14-9(f)(2);
    (2) costs of issuing bonds; and
    (3) payment of the principal and interest on loans, money advances, or indebtedness incurred by the County for any purpose stated in this Chapter. (1994 L.M.C., ch. 12, § 1; , § 1.)
    Editor’s note—See County Attorney Opinion dated discussing multiple issues deriving from the Clarksburg Master Plan and related issues regarding development districts.
    2008 L.M.C., ch. 34, took effect on January 26, 2009.
    2008 L.M.C., ch. 34, § 3, states: Applicability; interpretation.
    (a) Any amendment to County Code Chapter 14 made in Section 1 of this Act applies to any action taken after this Act take effect.
    (b) Any amendment to County Code Chapter 14 made in Section 1 of this Act does not alter or affect any Council resolution adopted, or other action taken with respect to a development district, before this Act takes effect.
    (c) Any amendment to County Code Chapter 14 made in Section 1 of this Act does not indicate that the previous version of a provision amended by Section 1 of this Act should be interpreted differently from the same provision as amended by Section 1 of this Act.
    (d) Any notice or disclosure requirement in Section 14-17, as amended by Section 1 of this Act, applies to any sale contract signed, and any sales material or advertisement for sale disseminated, after this Act takes effect in any development district created, and in any proposed development district for which the Council adopted a resolution under Section 14-6, after January 1, 2001.