{"data":{"id":"us-md/md.-code-local-government-19-205","jurisdiction":"us-md","citation":"Md. Code, Local Government § 19–205","heading":"","body":"(a) (1) Except as provided in paragraph (2) of this subsection, this\nsection applies only to the following governmental entities:\n(i) a county;\n(ii) a public corporation or other political subdivision of the\nState; or\n(iii) an instrumentality or agency of a county, public\ncorporation, or other political subdivision of the State.\n(2) This section does not apply to the following governmental entities:\n(i) Baltimore City;\n(ii) a municipality; or\n(iii) a housing authority under Division II of the Housing and\nCommunity Development Article.\n(b) (1) This section does not apply if the total principal amount of the\nauthorized issue is $25,000 or less.\n(2) This section does not apply to a bond that:\n(i) matures within 1 year after the date of issue and is issued:\n1. in anticipation of taxes;\n2. to meet current expenses; or\n3. to meet an emergency;\n(ii) is sold to the United States or a unit or instrumentality of\nthe United States;\n(iii) is issued under a plan of composition approved in a\nproceeding under Chapter IX of the United States Bankruptcy Act; or\n(iv) is issued under any other plan to refund or refinance in\nexchange, bond for bond, for an outstanding maturing debt, other than:\n1. a current or floating debt; or\n2. a bond under item (i) of this paragraph.\n(3) This section does not apply if:\n(i) the proceeds of the sale of bonds are to be used with a grant\nfrom the United States or a unit or instrumentality of the United States to finance\npublic works; and\n(ii) in the opinion of the Attorney General, the agreement or\nother writing referring to the grant conditions the grant on the prior execution, by\nthe governmental entity and a prospective buyer, of a contract for the sale of the\nbonds when issued.\n(4) This section does not apply to bond or grant anticipation notes\nissued under Part III of this subtitle.\n(5) This section does not apply to a bond issued under an enabling\nact that:\n(i) states that this section does not apply; or\n(ii) provides a different method for the sale of the bonds.\n(c) A governmental entity shall offer bonds at a public sale.\n(d) (1) A governmental entity shall give notice of a public sale of bonds\nat least twice in at least one newspaper of general circulation in the area in which\nthe governmental entity is located.\n(2) The first publication shall appear at least 10 days before the date\nof the sale.\n(3) The notice shall:\n(i) be in the form required in the ordinance or resolution that\nauthorizes the issuance of the bonds;\n(ii) state the date, time, and place of the public sale;\n(iii) reference the enabling act that authorized the bonds;\n(iv) state the date of issue;\n(v) state the total principal amount;\n(vi) state the schedule of maturities;\n(vii) state the interest payable or the manner of determining the\ninterest;\n(viii) state the purpose for which the proceeds will be used;\n(ix) describe the general form of the bonds, including whether\nthe bonds will be:\n1. in coupon or registered form; and\n2. registrable as to principal or interest or both;\n(x) state that each bid must be made in writing by sealed\nproposal; and\n(xi) state the amount of the good faith deposit that the\ngovernmental entity has determined must accompany the bid.\n(4) The notice may reserve to the governmental entity the right to\nreject any or all bids.\n(e) Except as provided in subsection (f) of this section, the governmental\nentity shall sell the bonds to the highest bidder or bidders at the public sale.\n(f) (1) If the governmental entity has reserved the right to reject bids\nand does reject all bids, the governmental entity, within 30 days after rejecting all\nthe bids, may sell the bonds at a private sale for not less than the highest amount bid\nby an acceptable bidder at the public sale.\n(2) If the governmental entity fails to sell the bonds at a private sale\nwithin the 30–day period under paragraph (1) of this subsection, the governmental\nentity may sell the bonds only at another public sale after notice as required in\nsubsection (d) of this section.","path":["Article - Local Government"],"source_url":"https://mgaleg.maryland.gov/mgawebsite/Laws/StatuteText?article=glg\u0026section=19-205","current_through":"2026-01-01","vintage":"","retrieved_at":"2026-09-14T19:59:58Z","sha256":"15d02668ac9f3591e1018eb130811fe4b8eeba71c13e63e1cdca5adf87e6912a","source_id":"us-md","stale":false,"prev":"us-md/md.-code-local-government-19-204","next":"us-md/md.-code-local-government-19-206"},"notice":"GroundRules: Original legal text. Not legal advice."}