Maryland Housing Authorities Section 1-212

      (a)      When any authority which is activated after July 1, 1990 becomes authorized to transact business and exercise its powers, the local government shall immediately make an estimate of the amount of money necessary for the administrative expenses and overhead of such authority during the first year thereafter, and shall appropriate such amount to the authority out of any moneys in such local jurisdiction's treasury not appropriated to some other purposes. The moneys so appropriated shall be paid to the authority as a donation.

      (b)      If funding is necessary in order for an authority to comply with any requirement imposed on it by its articles of organization, and if funding adequate for the authority to comply therewith is not available from State, federal, or other sources, the local government shall appropriate to the authority the funding necessary for it to comply, provided that the local government shall have no duty to provide any funding to its authority in order for the authority to satisfy any judgment, liability, debt, or other financial obligation to any third party.

      (c)      Any local jurisdiction located in whole or in part within the area of operation of an authority shall have the power from time to time to lend or donate money to the authority or to agree to take such action. The authority, when it has money available therefor, shall make reimbursements for all such loans made to it.