(a)      When no bonds authorized by this subtitle are outstanding with respect to a development district and the governing body of the county or municipality so determines, moneys in the special fund for that development district created pursuant to § 14-206(3)(ii) of this subtitle may be:

            (1)      Used for any of the purposes described in § 14-205 of this subtitle;

            (2)      Accumulated for payment of debt service on bonds subsequently issued under this subtitle;

            (3)      Used to pay or to reimburse the county or municipality for debt service which the county or municipality is obligated to pay or has paid (whether such obligation is general or limited) on bonds issued by the State of Maryland, any agency, department, or political subdivision thereof, or the revenue authority of Prince George's County, the proceeds of which have been used for any of the purposes specified in § 14-205 of this subtitle; or

            (4)      Paid to the county or municipality to provide funds to be used for any legal purpose as may be determined by the county or municipality.

      (b)      When any bonds authorized by this subtitle are outstanding with respect to a development district and the governing body of the county or municipality so determines, moneys in the special fund for that development district created pursuant to § 14-206(3)(ii) of this subtitle may be used as provided in subsection (a) of this section in any fiscal year by the county or municipality, but only to the extent that:

            (1)      The amount in such special fund exceeds the unpaid debt service payable on such bonds in such fiscal year and is not restricted so as to prohibit the use of such moneys; and

            (2)      Such use is not prohibited by the ordinance authorizing the issuance of such bonds.

      (c)      The issuance of general obligation bonds pursuant to this section shall comply with appropriate county or municipal charter requirements.