28                               LAWS OF MARYLAND                         [CH. 7

CHAPTER 7*
(House Bill 623)

AN ACT to add new Section 22A to Article 89B of the Annotated
Code of Maryland (1964 Replacement Volume), title "State
Roads," subtitle "In General," to follow immediately after Section
21 thereof, authorizing the State Roads Commission to enter into
agreements with the trustees of the three State pension systems
for the acquisition with funds of these systems of real properties
needed for the future improvement of the State roads system;
providing for such purchase prices to be secured by first mortgages
from the State Roads Commission to such retirement systems;
providing for the management of the property and redemption of
such first mortgages from the State Roads Commission; providing
for a limitation of the amounts permitted to be loaned by the
retirement systems, and relating generally to the purchase and
mortgaging of property to the three State retirement systems for
the future use of the State Roads Commission.

Section 1. Be it enacted by the General Assembly of Maryland,
That new Section 22A be and it is hereby added to Article 89B of the
Annotated Code of Maryland (1964 Replacement Volume), title
"State Roads," subtitle "In General," to follow immediately after
Section 21 thereof, and to read as follows:

22A.

(a)    The State Roads Commission, in addition to its other duties
and powers provided by law, and notwithstanding any provisions
to the contrary in Article 73B, 77 and 88B of the Annotated Code of
Maryland or any other statute, is authorized to purchase real prop-
erty that it deems will be necessary for future improvement of the
State Highway System by the following method:

(b)    The Director of Highways, with the approval of the State
Roads Commission, may enter into an agreement or agreements,
singly or jointly, with the Trustees of the Employees' Retirement
System of the State of Maryland, the Teachers' Retirement System
of the State of Maryland or the State Police Retirement System of
the State of Maryland for the acquisition of real property that the
State Roads Commission deems will be necessary for the future
improvement of the State Roads System. Such agreements shall
provide that the title to such property to be so acquired to be taken
in the name of the State Roads Commission of Maryland to the use
of the State of Maryland, and for the simultaneous execution of a
first mortgage by the State Roads Commission, acting for the State
of Maryland, for the full amount of the acquisition price for such
property, to the retirement system lending such acquisition price.
Such agreements may be entered into for the acquisition and financ-
ing as aforesaid of an individual parcel or of any number of parcels
within the limits of a contemplated highway project. Such mort-
gages shall provide for the payment of interest at the rate of five
(5%) A RATE NOT TO EXCEED SIX (6%) per cent per annum,
payable annually to such mortgagees, shall provide also that the
duration of such mortgage shall be for no longer than five (5)
years subject to prepayment at any time prior to the expiration

*This Bill was passed by both Houses of the General Assembly during the
Regular Session of 1967. It was vetoed by the Governor, and the Bill was passed
over the veto at the Special Session of June 22, 1967.