(a)      (1)      The local governing body of a county and the Secretary may enter into an agreement for the Department to act as and take over all or some of the functions of a local police force for the county or a municipal corporation in the county.

            (2)      The local governing body of a county may enter into an agreement with a municipal corporation in the county for the participation of the municipal corporation in an agreement entered into under paragraph (1) of this subsection.

            (3)      In Charles County and St. Mary's County, a municipal corporation also may enter into a separate agreement with the Department.

      (b)      (1)      In accordance with an agreement entered into under subsection (a) of this section, the Department within the county shall:

                  (i)      enforce the public local laws of the county or municipal corporation;

                  (ii)      perform related police services; and

                  (iii)      perform the Department's other and regular duties in the county.

            (2)      For purposes of paragraph (1) of this subsection, the Department shall provide the employees, buildings, and facilities that are required by agreement or, if not so required, that the Department considers reasonable and proper to achieve the objectives of the agreement.

      (c)      Each agreement entered into under subsection (a) of this section shall provide:

            (1)      that the Secretary shall determine the reasonable and proper cost of the Local Division for and within the particular county or municipal corporation;

            (2)      that the county or municipal corporation shall reimburse the Department the entire amount of the cost of the Local Division in the county or municipal corporation; and

            (3)      for the time and manner of reimbursements by the county or municipal corporation to the Department for the cost of the Local Division.

      (d)      (1)      Each agreement entered into under subsection (a) of this section requires the prior approval of the Attorney General as to legal sufficiency.

            (2)      Financial arrangements in each agreement entered into under subsection (a) of this section require the prior approval of the Secretary of Budget and Management.