{"data":{"id":"us-md/md.-code-local-government-19-904","jurisdiction":"us-md","citation":"Md. Code, Local Government § 19–904","heading":"","body":"(a) A county or municipality that is authorized under law to borrow money\nand issue bonds may issue pension liability funding bonds to fund any unfunded\npresent or contingent liability of any kind under a pension or retirement plan or\nsystem.\n(b) Pension liability funding bonds may be issued for the public purposes of:\n(1) realizing savings with respect to the aggregate cost of the pension\nor retirement plan or system being funded, on either a direct comparison or present\nvalue basis; or\n(2) structuring or restructuring pension or retirement plan or system\ncosts in a manner that:\n(i) in the aggregate effects a reduction in the total cost of the\npension or retirement plan or system as provided in item (1) of this subsection; or\n(ii) is determined by the county or municipality:\n1. to be in the best interests of the county or\nmunicipality;\n2. to be consistent with the county’s or municipality’s\nlong–term financial plan; and\n3. to realize a financial objective of the county or\nmunicipality, including:\nA. improving the relationship of pension or retirement\nplan or system costs to a source of payment such as taxes, assessments, or other\ncharges; or\nB. improving the benefits payable under the pension or\nretirement plan or system.\n(c) The authority to issue pension liability funding bonds under this subtitle\nis supplemental to any authority to borrow money or issue bonds granted to a county\nor municipality under any other law.\n(d) Except as otherwise provided in this subtitle, pension liability funding\nbonds are subject to any requirement that applies to the issuance of the county’s or\nmunicipality’s bonds that have the same source of payment as the pension liability\nfunding bonds regarding:\n(1) the terms, conditions, and covenants of the bonds;\n(2) the taxes or other sources of money for payment of the bonds; and\n(3) the procedures for issuance of the bonds.","path":["Article - Local Government"],"source_url":"https://mgaleg.maryland.gov/mgawebsite/Laws/StatuteText?article=glg\u0026section=19-904","current_through":"2026-01-01","vintage":"","retrieved_at":"2026-09-14T19:59:58Z","sha256":"f2feda961c0afa984355d9e556b32e2f66eb5472af4c8c1c54f43d6f2e80e5e1","source_id":"us-md","stale":false,"prev":"us-md/md.-code-local-government-19-903","next":"us-md/md.-code-local-government-19-905"},"notice":"GroundRules: Original legal text. Not legal advice."}