(a) Any bonds issued under this subchapter and the interest paid on the bonds shall be exempt from all state, county, and municipal taxes, and the exemption shall include income, inheritance, and property taxes.
(b)
(1) Any municipality, board, commission, or other authority established by ordinance of any municipality or the boards of trustees, respectively, of the firemen's relief and pension fund and the policemen's pension and relief fund of any municipality or the board of trustees of any retirement system created by the General Assembly, in its discretion, may invest any of its funds not immediately needed for its purposes in bonds issued under this subchapter.
(2) Bonds issued under this subchapter shall be eligible to secure the deposit of public funds.