(a) Upon determination by the housing opportunities commission of the county to issue bonds under the authority of article 44A, Annotated Code of Maryland and this chapter, the housing opportunities commission shall provide the county executive and the county council simultaneously with information concerning the proposed bonds and the housing projects to be benefited by the funds from the sale of such bonds, including, but not limited to, the following:
(1) Terms and conditions of the bonds;
(2) Estimated bond interest rate, and the basis for the estimate;
(3) Estimated timing and other provisions concerning the advertising and sale of the bonds;
(4) Description of the proposed project with detailed estimates of construction and related costs to bring it to the point of readiness to rent or sell;
(5) Detailed estimates of operating cost and debt service;
(6) Schedules of reserves for depreciation and major maintenance;
(7) Rent schedule showing how, after allowance for vacancies, the revenues are expected to cover operating cost, debt service and capital cost, and reserves for depreciation and major maintenance;
(8) Separate schedule showing the cost, benefit and effect on rent schedules of additional safeguards to assure solvency of the project. These schedules would address such devices as mortgage insurance and debt service reserves, and would reflect the housing opportunities commission’s recommendation of whether or not to use the devices and the reasons therefor;
(9) Description of the terms and conditions for construction of the project, including any safeguards against construction default and the conditions under which construction financing is to be provided by the housing opportunities commission;
(10) Description of the accounting system for recording and controlling expenditures of bond funds, debt service, operating cost, reserves and revenues;
(11) Explanation of the use of any reserves relating to bonds issued for the benefit of the project;
(12) Explanation of the potential obligations of the county arising from a default with respect to any bonds issued for the benefit of the project; and
(13) Any additional information which the county executive or county council may request from the housing opportunities commission within ten (10) days of receipt of all of the foregoing information.
(b) After consultation with the housing opportunities commission, the county executive may defer the requirement for furnishing any of the foregoing information if the county executive determines that such a deferral will avoid delays which would adversely affect the timing of the financing for the proposed project. In any event, all of such information shall be furnished to the county executive and the county council at or prior to the public hearing hereinafter required.
(c) The county executive shall consider and comment on the feasibility of the proposed bond guarantee and each housing project contemplated by the proposed bond guarantee and shall recommend to the county council whether the proposed bond guarantee should be approved, including any terms and conditions which he or she may deem advisable for approval. The county executive’s recommendations shall include a statement that the proposed project is fully self-supporting. The county executive’s recommendations shall be supported by an independent feasibility study or studies furnished by the housing opportunities commission. The furnishing of the independent feasibility study or studies may be waived by the county executive in the case of projects financed, insured, or assisted by the state or federal government. The county executive’s recommendations shall be made not later than the public hearing concerning a proposed bond guarantee. (1978 L.M.C., ch. 36, § 2; 1983 L.M.C., ch. 32, § 1.)
