An Act To Enhance the Small Enterprise Growth Fund ( ~
Maine Legislature, Session 124, LD 1659
Committee: Business, Research and Economic Development
Sponsors: RECTOR, SMITH, COURTNEY, MILLS, NASS, PRESCOTT
Amends: 10 MRSA §382

L(!gislative Document 
No. 1659 
S.P.624 
In Senate, December 21, 2009 
An Act To Enhance the Small Enterprise Growth Fund 
( ~ 
Reference to the Committee on Business, Research and Economic Development suggested 
\J 
and' ordered printed. 
Presented by Senator RECTOR of Knox. 
Cosponsored by Representative SMITH of Monmouth and 
9rf)(J~ 
'JOY J. O'BRIEN 
Secretary ,of the Senate 
Senators: COURTNEY of York, GOODALL ofSagadahoc, MILLS of Somerset, NASS of 
York, Representatives: PRESCOTT of Topsham~ RICHARDSON of Warren. 
Printed on recycled paper. 
Be it enacted by the People of the State of Maine as follows: 
Sec. 1. 10 MRSA §382, sub-§3, as enacted by PL 1995, c. 699, §3; is amended to 
read: 
3. 
Program. 
"Program" means the Small Enterprise Growth Program, which 
encomRasses the Small Enterprise Growth Fund and any side fund created by the board. 
, 6 
Sec. 2. 10 MRS A §382, sub-§3-Ais enacted to read: 
3-A. Program funds. "Program funds" means the Small Enterprise Growth Fund 
and any side funds created by the board. 
Sec. 3. 10 MRS A §382, sub-§5 is enacted to read: 
5. Side fund. "Side fund" means a fund other than the Small Enterprise Growth 
Fund administered by the board that is invested as determined by the board. 
Sec. 4. 10 MRS A §383, as ei acted by PL 19'95, c. 699, §3, is amended to read: 
§383. Program funds established 
1. Creation of fund. There is established the Small Enterprise Growth Fund, which 
is a revolving fund used to provide funding for disbursements to qualifying small 
businesses in the State seeking to pursue an eligible project. The fund must be deposited 
with and maintained and administered by the Finance Authority of Maine and consists of 
appropriations provided for that purpose, interest accrued on the fund balance, funds 
received by the board to be applied to the fund, all fl,mds remaining in the Pine Tree 
Partnership Fund and any funds received from repayment, interest, royalties, equities or 
other interests in business enterprises, products or services. The fund is a nonlapsing 
fund. 
I-A. Creation of side funds. The board may create one or more side funds for 
placement of certain funds received by the board. A side fund may be structured as a 
revolving fund in addition to the Small Enterprise Growth Fund or as a fund in which the 
investor will have funds drawn and returned over an agreed time period. 
2. Administrative expenses. Costs a~d expenses of maintaining and servicing tHe 
fHf:td program funds and administering the Small Enterprise Growth Program established 
by this chapter may be paid out of amounts in the fHf:td program funds. 
3. Management fees. 
The board may charge and accept management fees for 
management of money placed in program funds other than money placed directly by the 
,State. 
4. Agreements. The board may enter into an agreement or contract with a 3rd party 
for investment in a side fund. The board may allocate ownership in a side fund through 
the agreement. The board may also repay money received and return profits according to 
terms in the agreement. The board may create a formula or terms for the sharing of 
profits on a side fund in the agreemerit. 
~age 1 - 124LR2479(Ol)-1 
, '\ 
} 
.-' 
) 
) 
5. Profits. The profits on a side fund retained by the board must be contributed to 
the fund. ' 
. 
SUMMARY 
This bill allows the Small Enterprise Growth Board to establish and manage separate 
investment funds raised from entities other than the State. 
-
(~