reglab/statecodes huggingface dataset:
2023 Maryland Statutes › Economic Development › Division I - Secretary of Commerce and Department of Commerce › Title 5 - Economic Development and Financial Assistance Programs › Subtitle 4 - Maryland Industrial Development Financing Authority › Part IV - Financial Assistance › Section 5-437 - Authorized Purpose Obligation Not Exceeding $250,000

(a)    The Authority may authorize the Executive Director of the Authority to approve, on behalf of the Authority, financial assistance under § 5–431 of this subtitle not exceeding the aggregate amount of $250,000 for a single transaction.
(b)    An approval by the Executive Director under this section:
(1)    is subject to concurrence of the Secretary, the Secretary’s designee, or the chair of the Authority;
(2)    shall comply with the requirements of this subtitle; and
(3)    is binding on the Authority.
2023 Maryland Statutes › Economic Development › Division I - Secretary of Commerce and Department of Commerce › Title 5 - Economic Development and Financial Assistance Programs › Subtitle 4 - Maryland Industrial Development Financing Authority › Part IV - Financial Assistance › Section 5-438 - Equity Interest

In conjunction with financial assistance under this subtitle, the Authority may:
(1)    accept an option to acquire an equity interest in a business enterprise; and
(2)    exercise, in its sole discretion, the option using money from the Fund.
2023 Maryland Statutes › Economic Development › Division I - Secretary of Commerce and Department of Commerce › Title 5 - Economic Development and Financial Assistance Programs › Subtitle 4 - Maryland Industrial Development Financing Authority › Part IV - Financial Assistance › Section 5-439 - Premiums and Fees

(a)    The Authority may set premiums and fees for financial assistance under this subtitle in its sole discretion.
(b)    The premiums and fees shall be payable in the amounts, at the time, and in the manner that the Authority requires in its sole discretion.
(c)    The premiums and fees may vary in amount among approvals for financial assistance under this subtitle and at different stages of the financial assistance.
2023 Maryland Statutes › Economic Development › Division I - Secretary of Commerce and Department of Commerce › Title 5 - Economic Development and Financial Assistance Programs › Subtitle 4 - Maryland Industrial Development Financing Authority › Part IV - Financial Assistance › Section 5-440 - Waiver of Insurance Premiums

(a)    The Authority may not charge a premium for insurance if the Authority determines that, at the time the insurance is approved, the facility or business for which the Authority provides insurance is located in a Tier I county.
(b)    A determination by the Authority under subsection (a) of this section for a facility or business is effective for as long as the financial assistance is in effect.
2023 Maryland Statutes › Economic Development › Division I - Secretary of Commerce and Department of Commerce › Title 5 - Economic Development and Financial Assistance Programs › Subtitle 4 - Maryland Industrial Development Financing Authority › Part IV - Financial Assistance › Section 5-441 - Continuity of Existing Authorized Purpose Obligations

(a)    Insurance on bonds or authorized purpose obligations provided before July 1, 2000, shall continue as obligations of the Authority and are authorized under this subtitle.
(b)    Financial assistance that the Authority approves, but that is not closed before July 1, 2000, is authorized under this subtitle.
(c)    Bonds issued by the Maryland Energy Financing Administration shall continue after December 31, 2001, as obligations of the Authority and are authorized under this subtitle.
(d)    Loan guarantees that the Department provided from the former Day Care Loan Guarantee Fund shall continue as obligations of the Authority and are authorized under this subtitle.
(e)    Deposit agreements between the Department and a lender under the former Maryland Enterprise Incentive Deposit Fund Program shall continue as obligations of the Authority and are authorized under this subtitle.
2023 Maryland Statutes › Economic Development › Division I - Secretary of Commerce and Department of Commerce › Title 5 - Economic Development and Financial Assistance Programs › Subtitle 4 - Maryland Industrial Development Financing Authority › Part V - Projects › Section 5-444 - Status of Authority

(a)    (1)    The Authority shall participate in financial assistance programs for energy projects provided by the federal Energy Security Act, P.L. 96-294.
(2)    For purposes of that Act, the Authority is a “person” as defined in:
(i)    42 U.S.C. § 8802, concerning the financing of biomass energy, municipal solid waste, and alcohol fuels projects; and
(ii)    30 U.S.C. § 1511, concerning the financing of geothermal energy projects.
(b)    For purposes of the federal Public Utility Regulatory Policies Act of 1978, the Authority is a “nonprofit organization” as defined in 16 U.S.C. § 2708 and used in 16 U.S.C. §§ 2702 and 2703, concerning small-scale hydropower projects.
2023 Maryland Statutes › Economic Development › Division I - Secretary of Commerce and Department of Commerce › Title 5 - Economic Development and Financial Assistance Programs › Subtitle 4 - Maryland Industrial Development Financing Authority › Part V - Projects › Section 5-446 - Energy Project -- Considerations; Promotion

(a)    In awarding financial assistance under this subtitle for an energy project, the Authority shall consider whether the energy project would:
(1)    reduce the consumption of petroleum and other energy sources;
(2)    increase the energy supply available in the State;
(3)    increase employment and economic activity in the State;
(4)    use sound technology and be economically feasible;
(5)    minimize harm to the environment; and
(6)    make the most use of federal financial assistance programs for energy projects.
(b)    The Authority shall:
(1)    promote programs of financial assistance for energy projects established under this subtitle;
(2)    inform consumers, the private sector, and financial institutions about these programs and actively seek their participation;
(3)    develop and disseminate descriptions of its programs of financial assistance for energy projects; and
(4)    serve as a clearinghouse for information on federal and State programs of financial assistance for energy projects.
2023 Maryland Statutes › Economic Development › Division I - Secretary of Commerce and Department of Commerce › Title 5 - Economic Development and Financial Assistance Programs › Subtitle 4 - Maryland Industrial Development Financing Authority › Part V - Projects › Section 5-447 - Energy Conservation Project

A project involving a commercial building, an industrial building, or an industrial process qualifies as an energy conservation project if it consists of:
(1)    the purchase, installation, or modification of an installation that is designed primarily to reduce the consumption of energy, including:
(i)    caulking or weather stripping;
(ii)    insulating the building structure or a system in the building;
(iii)    a storm window or door, a multiglazed window or door, a heat-absorbing or heat-reflecting window or door system, glazing, a reduction in glass area, or another window or door system modification;
(iv)    an automatic energy control system;
(v)    equipment that is associated with an automatic energy control system and that is required to operate a variable steam, hydraulic, or ventilation system;
(vi)    the replacement or modification of a lighting system to increase energy efficiency;
(vii)    an energy recovery system;
(viii)    a cogeneration system;
(ix)    a system for processing or converting the waste products of the industrial process to steam, electricity, heat, or other useful form of energy;
(x)    an improvement to the industrial process that reduces the energy requirements for each unit of output;
(xi)    a modification of a furnace or utility plant and distribution system including:
1.    a replacement burner, furnace, or boiler or any combination of them that increases the energy efficiency of the heating system;
2.    a device for modifying a flue opening that increases the energy efficiency of the heating system; and
3.    an electrical or mechanical furnace ignition system that replaces a standing gas pilot light; or
(xii)    any other energy conservation improvement that the Authority determines by regulation to be appropriate and consistent with this subtitle; or
(2)    a planning or technical service or an energy audit, if the service or audit is related to or undertaken with the installation, or the modification of an installation of an item specified in item (1) of this section.
2023 Maryland Statutes › Economic Development › Division I - Secretary of Commerce and Department of Commerce › Title 5 - Economic Development and Financial Assistance Programs › Subtitle 4 - Maryland Industrial Development Financing Authority › Part V - Projects › Section 5-448 - Solar Energy Project

(a)    A project qualifies as a solar energy project if it:
(1)    is an addition, alteration, or improvement to a commercial building or industrial building; and
(2)    is designed to reduce the energy requirements of the building by using:
(i)    wind energy;
(ii)    energy from a wood-burning appliance; or
(iii)    solar energy of:
1.    the active type based on mechanically forced energy transfer;
2.    the passive type based on convective, conductive, or radiant energy transfer; or
3.    a combination of these types.
(b)    A solar energy project may include:
(1)    a solar process heat device;
(2)    a solar electric device; and
(3)    an earth-sheltered building in which the sheltering substantially reduces the consumption of energy by the building.
2023 Maryland Statutes › Economic Development › Division I - Secretary of Commerce and Department of Commerce › Title 5 - Economic Development and Financial Assistance Programs › Subtitle 4 - Maryland Industrial Development Financing Authority › Part VI - Linked Deposit Program › Section 5-451 - Definitions

(a)    In this part the following words have the meanings indicated.
(b)    “Applicant” means the eligible business applying for fixed asset financing assisted by a linked deposit.
(c)    “Eligible business” means a for–profit business that:
(1)    is located in a qualified distressed county;
(2)    is in good standing with each State regulatory authority with jurisdiction over the business of the applicant, including the State Workers’ Compensation Commission, the Department of Assessments and Taxation, and the Maryland Department of Labor; and
(3)    employs 500 or fewer employees.
(d)    (1)    “Fixed asset financing” means a commercial loan to finance:
(i)    the acquisition or improvement of all or part of a building;
(ii)    the acquisition or improvement of the land for the building if not already owned by the applicant; or
(iii)    the acquisition or improvement of equipment.
(2)    “Fixed asset financing” does not include refinancing an existing debt.
(e)    “Lender” means a financial institution that:
(1)    is eligible to make commercial loans;
(2)    is a public depository of State funds;
(3)    agrees to receive linked deposits under this part; and
(4)    is insured by the Federal Deposit Insurance Corporation.
(f)    “Linked deposit” means a deposit that the Authority places with a lender that earns interest below the prevailing market rate for equivalent deposits made with the lender at the time of the deposit.
(g)    “Program” means the Linked Deposit Program established under § 5–452 of this subtitle.
2023 Maryland Statutes › Economic Development › Division I - Secretary of Commerce and Department of Commerce › Title 5 - Economic Development and Financial Assistance Programs › Subtitle 4 - Maryland Industrial Development Financing Authority › Part VI - Linked Deposit Program › Section 5-453 - Purpose

(a)    The purpose of the Program is to stimulate economic and employment growth in rural areas of the State with high unemployment.
(b)    (1)    The Program shall assist eligible businesses to obtain a loan at below market rates.
(2)    An eligible business may use a Program loan to acquire land, buildings, and equipment.
(3)    An acquisition made by an eligible business with a Program loan shall be used to create or retain employment opportunities in a rural area.
2023 Maryland Statutes › Economic Development › Division I - Secretary of Commerce and Department of Commerce › Title 5 - Economic Development and Financial Assistance Programs › Subtitle 4 - Maryland Industrial Development Financing Authority › Part VI - Linked Deposit Program › Section 5-455 - Application

(a)    To obtain fixed asset financing under this part, an eligible business shall apply to a lender for fixed asset financing.
(b)    Fixed asset financing under this part may not exceed $500,000 for an eligible business.
(c)    In addition to the information that the lender requires in its standard loan application, the applicant shall provide to the lender, in a form that the Authority prescribes:
(1)    a certification, with supporting documentation, that the applicant is an eligible business; and
(2)    a description of the number and kinds of jobs to be created or retained as a result of providing the linked deposit.
2023 Maryland Statutes › Economic Development › Division I - Secretary of Commerce and Department of Commerce › Title 5 - Economic Development and Financial Assistance Programs › Subtitle 4 - Maryland Industrial Development Financing Authority › Part VI - Linked Deposit Program › Section 5-456 - Conditional Approval

(a)    On conditional approval of a fixed asset financing loan application under this part, the lender shall forward the loan package to the Authority.
(b)    In addition to any other information the Authority reasonably requires to carry out the purposes of this part, the linked deposit loan package shall include the information required of the applicant under § 5-455(c) of this subtitle.
(c)    By forwarding the loan package to the Authority, the lender is not representing to the Authority that information in the loan package that relates to the applicant is accurate or valid.
2023 Maryland Statutes › Economic Development › Division I - Secretary of Commerce and Department of Commerce › Title 5 - Economic Development and Financial Assistance Programs › Subtitle 4 - Maryland Industrial Development Financing Authority › Part VI - Linked Deposit Program › Section 5-457 - Review

In determining whether to accept a linked deposit loan package, the Authority shall confirm the eligibility of the applicant and consider:
(1)    the number and kinds of jobs to be created or retained as a result of providing the linked deposit;
(2)    the amount of the loan;
(3)    the amount of money in the Fund and the amount committed to linked deposits;
(4)    whether the availability of linked deposit financing is essential for the economic feasibility of the acquisition;
(5)    the economic needs of the area in which the eligible business is located;
(6)    the financial feasibility of the loan; and
(7)    other factors that the Authority considers relevant.
2023 Maryland Statutes › Economic Development › Division I - Secretary of Commerce and Department of Commerce › Title 5 - Economic Development and Financial Assistance Programs › Subtitle 4 - Maryland Industrial Development Financing Authority › Part VI - Linked Deposit Program › Section 5-458 - Payment Schedule

If the Authority accepts a linked deposit loan package forwarded from a lender, the Authority and the lender shall make an agreement that sets the amount of, the term of, and the schedule for payment of the principal of and interest on the linked deposit.
2023 Maryland Statutes › Economic Development › Division I - Secretary of Commerce and Department of Commerce › Title 5 - Economic Development and Financial Assistance Programs › Subtitle 4 - Maryland Industrial Development Financing Authority › Part VI - Linked Deposit Program › Section 5-459 - Loan Commitment

On receiving linked deposit approval from the Authority, the lender shall issue a loan commitment to the applicant that provides that the interest rate on the financing will be below the prevailing market rate to the same extent and for as long as interest earned on the linked deposit is below interest earned on other equivalent deposits with the lender at the time of the deposit.
2023 Maryland Statutes › Economic Development › Division I - Secretary of Commerce and Department of Commerce › Title 5 - Economic Development and Financial Assistance Programs › Subtitle 4 - Maryland Industrial Development Financing Authority › Part VI - Linked Deposit Program › Section 5-460 - State Not Liable

(a)    A fixed asset financing loan assisted by a linked deposit is not a debt of the State or a pledge of the credit of the State.
(b)    The Authority and, in accordance with § 5-521 of the Courts Article, the Department and the State are not liable to a lender for payment of the principal or interest on a fixed asset financing loan assisted by a linked deposit under this part.
2023 Maryland Statutes › Economic Development › Division I - Secretary of Commerce and Department of Commerce › Title 5 - Economic Development and Financial Assistance Programs › Subtitle 4 - Maryland Industrial Development Financing Authority › Part VII - Prohibited Acts; Penalties › Section 5-463 - False Statement or Report

(a)    A person may not knowingly make or cause a false statement or report to be made in an application or document submitted to the Authority.
(b)    A person may not knowingly make or cause a false statement or report to be made to influence an action of the Authority:
(1)    on an application for financial assistance under this subtitle; or
(2)    affecting financial assistance sought or awarded under this subtitle.
(c)    A person who violates this section is guilty of a misdemeanor and on conviction is subject to imprisonment not exceeding 5 years or a fine not exceeding $50,000 or both.
(d)    A person who violates this section is subject to § 5-106(b) of the Courts Article.
2023 Maryland Statutes › Economic Development › Division I - Secretary of Commerce and Department of Commerce › Title 5 - Economic Development and Financial Assistance Programs › Subtitle 5 - Maryland Small Business Development Financing Authority › Part I - General Provisions › Section 5-501 - Definitions

(a)    In this subtitle the following words have the meanings indicated.
(b)    “Authority” means the Maryland Small Business Development Financing Authority.
(c)    “Financial institution” means:
(1)    a financial institution, as defined in § 1-101 of the Financial Institutions Article; and
(2)    any other lender that the Authority approves.
(d)    (1)    “Loan document” means an instrument or agreement that evidences, secures, or guarantees a loan.
(2)    “Loan document” includes a note, financing statement, mortgage, pledge, assignment, loan and security agreement, or guaranty.
(e)    (1)    “Working capital” means money used to meet the cash needs of an operating business entity.
(2)    “Working capital” does not include money used for a capital purchase.
2023 Maryland Statutes › Economic Development › Division I - Secretary of Commerce and Department of Commerce › Title 5 - Economic Development and Financial Assistance Programs › Subtitle 5 - Maryland Small Business Development Financing Authority › Part I - General Provisions › Section 5-502 - Legislative Findings; Purposes

(a)    The General Assembly finds that:
(1)    the inability of socially or economically disadvantaged individuals to obtain working capital is a major limitation on their opportunity to win and perform government and other contracts;
(2)    because socially or economically disadvantaged individuals frequently have been awarded government or other contracts but have lacked the working capital to post a bond, buy supplies needed to begin the work, or pay employees, these individuals have been unable to accept the contracts;
(3)    some individuals are unable to obtain government and other contracts for reasons other than the cost to the owner or the ability to perform the contract work competently;
(4)    socially or economically disadvantaged individuals frequently lack adequate capital to sustain and expand their businesses and to hire and train employees;
(5)    because high risk, problem, or uncollectible loans are not in the interest of financial institutions, financial institutions generally are reluctant to lend money to socially or economically disadvantaged individuals with insufficient records of performance;
(6)    the inability of businesses owned by socially or economically disadvantaged individuals to obtain long-term financing is a major limitation on their opportunity to survive and expand; and
(7)    the public welfare is served by promoting the viability and expansion of businesses owned by economically or socially disadvantaged individuals, retaining or increasing the employment of these individuals, and expanding the taxable base of the economy of the State.
(b)    The purposes of the Authority are:
(1)    to assist socially or economically disadvantaged individuals to obtain adequate working capital to begin, continue, and complete projects, the majority of funding for which is provided by government entities or utilities;
(2)    to encourage socially or economically disadvantaged individuals to seek government and other contracts;
(3)    to encourage financial institutions to make loans to these individuals; and
(4)    to assist small businesses that are unable to obtain adequate business financing on reasonable terms through normal financing channels because the businesses do not meet the established credit criteria of financial institutions.
2023 Maryland Statutes › Economic Development › Division I - Secretary of Commerce and Department of Commerce › Title 5 - Economic Development and Financial Assistance Programs › Subtitle 5 - Maryland Small Business Development Financing Authority › Part II - Maryland Small Business Development Financing Authority › Section 5-506 - Membership

(a)    The Authority consists of the following nine members:
(1)    seven members appointed by the Governor;
(2)    the Secretary or the Secretary’s designee; and
(3)    (i)    the Comptroller or the Treasurer as designated by the Governor; or
(ii)    the designee of the Governor’s designee.
(b)    (1)    The term of an appointed member is 5 years.
(2)    The terms of appointed members are staggered as required for appointments to the Authority on October 1, 2008.
(3)    At the end of a term, an appointed member continues to serve until a successor is appointed and qualifies.
(4)    A member who is appointed after a term has begun serves only for the rest of the term and until a successor is appointed and qualifies.
(c)    The Governor may remove an appointed member for cause.
2023 Maryland Statutes › Economic Development › Division I - Secretary of Commerce and Department of Commerce › Title 5 - Economic Development and Financial Assistance Programs › Subtitle 5 - Maryland Small Business Development Financing Authority › Part II - Maryland Small Business Development Financing Authority › Section 5-507 - Officers

(a)    The Authority shall elect a chair, vice chair, and treasurer from among its members.
(b)    The Authority shall determine the manner of election of officers and their terms.
2023 Maryland Statutes › Economic Development › Division I - Secretary of Commerce and Department of Commerce › Title 5 - Economic Development and Financial Assistance Programs › Subtitle 5 - Maryland Small Business Development Financing Authority › Part II - Maryland Small Business Development Financing Authority › Section 5-508 - Quorum; Meetings; Reimbursement for Expenses; Staff

(a)    (1)    Four members of the Authority are a quorum.
(2)    The Authority may not act on any matter unless at least four members in attendance concur.
(b)    The Authority shall determine the times and places of its meetings.
(c)    A member of the Authority is entitled to reimbursement for expenses under the Standard State Travel Regulations, as provided in the State budget.
(d)    The Authority may employ a staff in accordance with the State budget.
2023 Maryland Statutes › Economic Development › Division I - Secretary of Commerce and Department of Commerce › Title 5 - Economic Development and Financial Assistance Programs › Subtitle 5 - Maryland Small Business Development Financing Authority › Part II - Maryland Small Business Development Financing Authority › Section 5-509 - Executive Director

(a)    (1)    The Executive Director is the chief administrative officer of the Authority.
(2)    With the approval of the Secretary, the Authority may:
(i)    appoint the Executive Director; or
(ii)    contract with a private entity to perform the duties of the Executive Director.
(b)    The Executive Director serves at the pleasure of the Authority, with the concurrence of the Secretary.
(c)    In addition to any other duties set forth in this subtitle, the Executive Director shall:
(1)    supervise the administrative affairs and technical activities of the Authority in accordance with its regulations and policies;
(2)    attend all meetings of the Authority;
(3)    keep minutes of all proceedings of the Authority;
(4)    approve all accounts for salaries, per diem payments, and allowable expenses of the Authority, its employees, and its consultants;
(5)    approve all expenses incidental to the operation of the Authority; and
(6)    perform any other duty that the Authority or the Secretary requires to carry out this subtitle.
2023 Maryland Statutes › Economic Development › Division I - Secretary of Commerce and Department of Commerce › Title 5 - Economic Development and Financial Assistance Programs › Subtitle 5 - Maryland Small Business Development Financing Authority › Part II - Maryland Small Business Development Financing Authority › Section 5-510 - Conflicts of Interest

A member of the Authority may not participate in any decision related to the approval of financial assistance if the member has any interest in:
(1)    the applicant for the assistance; or
(2)    the financial institution seeking a guaranty or an interest subsidy or both.
2023 Maryland Statutes › Economic Development › Division I - Secretary of Commerce and Department of Commerce › Title 5 - Economic Development and Financial Assistance Programs › Subtitle 5 - Maryland Small Business Development Financing Authority › Part II - Maryland Small Business Development Financing Authority › Section 5-511 - Administration of Programs; Contracts; Private Corporation

(a)    In this section, “Authority staff” means any of the individuals who are employed by the Department to operate the programs of the Authority immediately prior to the execution by the Department of a contract under this section with the private corporation organized by any of those individuals.
(b)    (1)    The Department may contract for and engage the services of some or all of the Authority staff to administer the programs of the Authority, for a period of 3 years, if the Authority staff has organized itself as a private Maryland corporation.
(2)    The Department may:
(i)    extend the termination date of the contract in effect as of September 30, 2008 to June 30, 2012, and modify that extended contract as needed; and
(ii)    renew the extended contract for up to two additional 5-year terms, and modify that renewed and extended contract as needed.
(3)    An extension or renewal contract shall include standards to evaluate the performance of the private contractor in rendering services under the contract.
(c)    In its name the corporation may use “Maryland Small Business Development Financing Agency”, “MSBDFA, Inc.”, or any close approximation of those terms.
2023 Maryland Statutes › Economic Development › Division I - Secretary of Commerce and Department of Commerce › Title 5 - Economic Development and Financial Assistance Programs › Subtitle 5 - Maryland Small Business Development Financing Authority › Part II - Maryland Small Business Development Financing Authority › Section 5-512 - Powers and Duties

(a)    The Authority exercises its powers and performs its duties subject to the authority of the Secretary.
(b)    The Authority may:
(1)    adopt bylaws for the conduct of its business;
(2)    adopt a seal;
(3)    maintain offices in the State;
(4)    sue and be sued in its own name;
(5)    retain consultants;
(6)    use the services of governmental units;
(7)    contract for and accept, to carry out this subtitle, a loan or grant from the federal government, a political subdivision of the State, or any other source;
(8)    purchase, receive, lease as lessee, or otherwise acquire, sell, mortgage, lease as lessor, pledge, administer, dispose of, or otherwise deal with property given as collateral under a loan agreement on the terms and conditions it considers advisable;
(9)    adopt regulations necessary to carry out its powers;
(10)    acquire or take assignments of loan documents; and
(11)    do anything necessary or convenient to carry out its powers.
(c)    The Authority shall:
(1)    in its internal functions, follow the procedures of the State that govern the purchase of office space, supplies, facilities, materials, equipment, and professional services;
(2)    keep proper records of its accounts;
(3)    keep separate records for:
(i)    the Small Business Development Contract Financing Fund under Part III of this subtitle;
(ii)    the Small Business Development Guaranty Fund under Part IV of this subtitle;
(iii)    the Equity Participation Investment Program Fund under Part V of this subtitle; and
(iv)    the Small Business Surety Bond Fund under Part VI of this subtitle; and
(4)    in accordance with § 2.5–109 of this article, submit a report on its condition and operations.
2023 Maryland Statutes › Economic Development › Division I - Secretary of Commerce and Department of Commerce › Title 5 - Economic Development and Financial Assistance Programs › Subtitle 5 - Maryland Small Business Development Financing Authority › Part II - Maryland Small Business Development Financing Authority › Section 5-513 - Service of Process

(a)    In any action, service of process on the Authority shall be made by service on the Executive Director of the Authority.
(b)    Service may be made in person or by leaving a copy of the process at the office of the Executive Director with the individual in charge of the office.
2023 Maryland Statutes › Economic Development › Division I - Secretary of Commerce and Department of Commerce › Title 5 - Economic Development and Financial Assistance Programs › Subtitle 5 - Maryland Small Business Development Financing Authority › Part II - Maryland Small Business Development Financing Authority › Section 5-514 - Certain Receipts Payable

(a)    Notwithstanding § 10–469(e) and (f) of this article or any other law, the following money shall be payable into the funds under this subtitle:
(1)    any recovery of investments made under § 10–469 of this article that were funded by a transfer of money from the funds under this subtitle to the Enterprise Fund, including an investment in MMG Ventures LLP; and
(2)    any repayment of a grant made under § 10–469 of this article that was funded by a transfer of money from the funds under this subtitle to the Enterprise Fund.
(b)    The Authority shall determine the proportion of the recovery or repayment payable under subsection (a) of this section that shall be deposited into each of the funds under this subtitle.
2023 Maryland Statutes › Economic Development › Division I - Secretary of Commerce and Department of Commerce › Title 5 - Economic Development and Financial Assistance Programs › Subtitle 5 - Maryland Small Business Development Financing Authority › Part III - Small Business Development Contract Financing Fund › Section 5-521 - Status; Investment; Payment

(a)    The Fund is a special, nonlapsing fund that is not subject to reversion under § 7-302 of the State Finance and Procurement Article.
(b)    The Treasurer shall:
(1)    invest the money in the Fund in the same manner as other State money may be invested; and
(2)    credit any investment earnings to the Fund.
(c)    If the Authority determines by resolution that any money in the Fund is no longer needed to meet its obligations, the Authority may authorize the Comptroller to first employ that money to pay the principal of and interest on outstanding bonds issued under any Act authorizing the issue of State general obligation bonds issued to implement this subtitle.
2023 Maryland Statutes › Economic Development › Division I - Secretary of Commerce and Department of Commerce › Title 5 - Economic Development and Financial Assistance Programs › Subtitle 5 - Maryland Small Business Development Financing Authority › Part III - Small Business Development Contract Financing Fund › Section 5-522 - Composition

The Fund consists of:
(1)    premiums for guaranteeing loans under § 5-525(a) of this subtitle;
(2)    premiums for guaranteeing equity investments under § 5-525(b) of this subtitle;
(3)    repayments of principal of and interest on direct loans made under § 5-525(c) of this subtitle;
(4)    proceeds from the sale, disposition, lease, or rental of collateral for direct loans or loan guaranties made under § 5-525 of this subtitle; and
(5)    all other receipts of the Authority under this part.
2023 Maryland Statutes › Economic Development › Division I - Secretary of Commerce and Department of Commerce › Title 5 - Economic Development and Financial Assistance Programs › Subtitle 5 - Maryland Small Business Development Financing Authority › Part III - Small Business Development Contract Financing Fund › Section 5-523 - Additional Money

(a)    If the Authority and the Secretary determine that more money is needed to keep the Fund at an adequate level, the Authority shall send a written request for the additional money to the Board of Public Works.
(b)    The Board of Public Works may pay the amount requested from the General Emergency Fund.
2023 Maryland Statutes › Economic Development › Division I - Secretary of Commerce and Department of Commerce › Title 5 - Economic Development and Financial Assistance Programs › Subtitle 5 - Maryland Small Business Development Financing Authority › Part III - Small Business Development Contract Financing Fund › Section 5-524 - Uses

The Authority may use the Fund for:
(1)    loan guaranties made under § 5-525(a) of this subtitle;
(2)    equity investment guaranties made under § 5-525(b) of this subtitle;
(3)    direct loans made under § 5-525(c) of this subtitle; and
(4)    expenses for administrative, legal, actuarial, and other services.
2023 Maryland Statutes › Economic Development › Division I - Secretary of Commerce and Department of Commerce › Title 5 - Economic Development and Financial Assistance Programs › Subtitle 5 - Maryland Small Business Development Financing Authority › Part III - Small Business Development Contract Financing Fund › Section 5-526 - Financial Assistance -- Applicants

(a)    If the applicant is an individual, to qualify for financial assistance under this part the applicant shall satisfy the Authority that:
(1)    the applicant is of good moral character;
(2)    the applicant has a reputation for financial responsibility, as determined from creditors, employers, and other individuals who have personal knowledge of the applicant;
(3)    the applicant is a resident of the State or the principal place of business of the applicant is in the State; and
(4)    the applicant is unable to obtain adequate business financing on reasonable terms through normal lending channels because the applicant:
(i)    belongs to a group that historically has been deprived of access to normal economic or financial resources because of race, color, creed, sex, religion, or national origin;
(ii)    has an identifiable physical handicap that severely limits the ability of the applicant to obtain financial assistance, but that does not limit the ability of the applicant to perform the contract or other activity for which the applicant would be receiving financial assistance;
(iii)    has any other social or economic impediment that is beyond the control of the applicant but that does not limit the ability of the applicant to perform the contract or other activity for which the applicant would be receiving financial assistance, including:
1.    the lack of formal education or financial capacity; or
2.    geographical or regional economic distress; or
(iv)    does not meet the established credit criteria of at least one financial institution.
(b)    If the applicant is a business enterprise that is not a sole proprietorship, to qualify for financial assistance under this part at least 70% of the business enterprise shall be owned by individuals who meet the qualifications for an individual applicant under subsection (a) of this section.
(c)    An applicant for a loan guaranty shall have applied for and been denied a loan by a financial institution.
2023 Maryland Statutes › Economic Development › Division I - Secretary of Commerce and Department of Commerce › Title 5 - Economic Development and Financial Assistance Programs › Subtitle 5 - Maryland Small Business Development Financing Authority › Part III - Small Business Development Contract Financing Fund › Section 5-527 - Financial Assistance -- Application Procedures

(a)    To apply for financial assistance from the Fund under § 5-525 of this subtitle, an applicant shall submit to the Authority an application on the form that the Authority provides.
(b)    The application shall:
(1)    describe the project in detail;
(2)    itemize known and estimated costs;
(3)    specify the total amount of investment required to perform the contract;
(4)    specify the amount of funds available to the applicant without financial assistance from the Authority;
(5)    specify the amount of financial assistance requested from the Authority;
(6)    provide information that demonstrates the inability of the applicant to obtain adequate financing on reasonable terms through normal lending channels;
(7)    provide information that demonstrates the financial status of the applicant, including:
(i)    a current balance sheet;
(ii)    a profit and loss statement; and
(iii)    credit references; and
(8)    contain any other relevant information that the Authority requires.
(c)    The Authority may require an applicant to provide an audited balance sheet before the Authority approves or denies the application.
(d)    The Authority may delegate the review and approval of the application information required under subsection (b)(1), (2), and (3) of this section to the Executive Director if an applicant meets all other requirements of this section.
2023 Maryland Statutes › Economic Development › Division I - Secretary of Commerce and Department of Commerce › Title 5 - Economic Development and Financial Assistance Programs › Subtitle 5 - Maryland Small Business Development Financing Authority › Part III - Small Business Development Contract Financing Fund › Section 5-528 - Financial Assistance -- Terms

(a)    The Authority may set the terms and conditions for a loan guaranty made under § 5-525(a) of this subtitle.
(b)    (1)    If the Authority decides to lend money from the Fund to an applicant under § 5-525(c) of this subtitle, the Authority shall prepare loan documents that include:
(i)    the interest rate on the loan that equals the market rate for a conventional loan of comparable risk unless the Authority determines that a lower rate better serves the purposes of this subtitle;
(ii)    a disbursement schedule that provides enough money to the applicant when the applicant needs it to perform the contract;
(iii)    a requirement that the applicant and the Authority co-sign each request for an advance of money before release of the money; and
(iv)    provisions for repayment of the loan.
(2)    The loan documents may include any other provision that the Authority determines is necessary to secure the loan, including an assignment of or a lien on payment under the contract.
2023 Maryland Statutes › Economic Development › Division I - Secretary of Commerce and Department of Commerce › Title 5 - Economic Development and Financial Assistance Programs › Subtitle 5 - Maryland Small Business Development Financing Authority › Part III - Small Business Development Contract Financing Fund › Section 5-529 - Annual Report

The Treasurer shall report each year to the Authority on:
(1)    the status of the money invested under § 5-521 of this subtitle;
(2)    the market value of the assets in the Fund as of the date of the report; and
(3)    the interest received from investments during the period covered by the report.
2023 Maryland Statutes › Economic Development › Division I - Secretary of Commerce and Department of Commerce › Title 5 - Economic Development and Financial Assistance Programs › Subtitle 5 - Maryland Small Business Development Financing Authority › Part III - Small Business Development Contract Financing Fund › Section 5-530 - Prohibited Acts -- Penalty

(a)    A person may not knowingly make or cause to be made a false statement or report in an application or document submitted to the Authority under this part.
(b)    A person may not knowingly make or cause to be made a false statement or report to influence an action of the Authority under this part:
(1)    on an application for financial assistance; or
(2)    affecting financial assistance whether or not the assistance has already been extended.
(c)    A person who violates this section is guilty of a misdemeanor and on conviction is subject to imprisonment not exceeding 5 years or a fine not exceeding $50,000 or both.
2023 Maryland Statutes › Economic Development › Division I - Secretary of Commerce and Department of Commerce › Title 5 - Economic Development and Financial Assistance Programs › Subtitle 5 - Maryland Small Business Development Financing Authority › Part IV - Small Business Development Guaranty Fund › Section 5-537 - Status; Investment; Payment

(a)    The Fund is a special, nonlapsing fund that is not subject to reversion under § 7-302 of the State Finance and Procurement Article.
(b)    The Treasurer shall:
(1)    invest the money in the Fund in the same manner as other State money may be invested; and
(2)    credit any investment earnings to the Fund.
(c)    If the Authority determines by resolution that any money in the Fund is no longer needed to meet its obligations, the Authority may authorize the Comptroller to first apply that money to pay the principal of and interest on outstanding bonds issued under any Act authorizing the issue of State general obligation bonds issued to implement this subtitle.
2023 Maryland Statutes › Economic Development › Division I - Secretary of Commerce and Department of Commerce › Title 5 - Economic Development and Financial Assistance Programs › Subtitle 5 - Maryland Small Business Development Financing Authority › Part IV - Small Business Development Guaranty Fund › Section 5-538 - Composition

The Fund consists of:
(1)    loans and grants from the federal government or a unit or instrumentality of the federal government;
(2)    grants and contributions of funds from the State, a political subdivision, or any other source;
(3)    premiums for guaranteeing long-term loans under § 5-540 of this subtitle;
(4)    proceeds from the sale, disposition, lease, or rental of collateral by the Authority relating to loans guaranteed under § 5-540 of this subtitle; and
(5)    all other receipts of the Authority under this part.
2023 Maryland Statutes › Economic Development › Division I - Secretary of Commerce and Department of Commerce › Title 5 - Economic Development and Financial Assistance Programs › Subtitle 5 - Maryland Small Business Development Financing Authority › Part IV - Small Business Development Guaranty Fund › Section 5-539 - Uses

The Authority may use the Fund for:
(1)    guaranty payments made under § 5-540(a) of this subtitle;
(2)    interest subsidy payments under § 5-540(b) of this subtitle; and
(3)    expenses for administrative, legal, actuarial, and other services.
2023 Maryland Statutes › Economic Development › Division I - Secretary of Commerce and Department of Commerce › Title 5 - Economic Development and Financial Assistance Programs › Subtitle 5 - Maryland Small Business Development Financing Authority › Part IV - Small Business Development Guaranty Fund › Section 5-540 - Financial Assistance -- Conditions

(a)    (1)    The Authority may use the Fund to guarantee up to 80% of the principal of and interest on a long-term loan made by a financial institution to an applicant only if:
(i)    the applicant meets the requirements under § 5-541 of this subtitle and has not violated § 5-545 of this subtitle;
(ii)    the loan amount is $5,000 or more and the maximum amount payable by the Authority under the guaranty does not exceed $2,000,000;
(iii)    the loan is used for:
1.    working capital;
2.    refinancing the applicant’s existing debt;
3.    acquisition and installation of equipment;
4.    making necessary improvements to real property that the applicant leases or owns in fee simple; or
5.    acquiring real property that the applicant will own in fee simple if the property is to be used in the applicant’s trade or business for which the guaranty is sought and the financial institution or the Authority places a lien on the property;
(iv)    the loan matures within 10 years after the closing date of the loan; and
(v)    the interest rate does not exceed the monthly weighted average of the prime lending rate prevailing in Baltimore City on unsecured commercial loans, plus 2%, as determined by the Authority.
(2)    (i)    The Authority may only approve a guaranty under this section if the Authority determines that the loan to be guaranteed will have a substantial economic impact.
(ii)    To determine the economic impact of a loan, the Authority may consider:
1.    the amount of the guaranty obligation;
2.    the terms of the loan to be guaranteed;
3.    the number of new jobs that the loan will create; and
4.    any other factor that the Authority considers relevant.
(b)    (1)    In addition to a loan guaranty, the Authority may provide an interest subsidy for the benefit of the applicant.
(2)    The subsidy:
(i)    may be for the life of the loan;
(ii)    may not exceed 4%;
(iii)    shall be payable quarterly; and
(iv)    shall be made to the financial institution that makes the loan that the Authority guarantees.
(3)    (i)    The subsidy may not exceed the difference between:
1.    the interest rate on the guaranteed loan; and
2.    the discount interest rate that the Federal Reserve Bank uses.
(ii)    The interest rate may not exceed the monthly weighted average of the prime lending rate that prevails in Baltimore City on unsecured commercial loans, as the Authority determines as of the date of closing, plus 2%.
(4)    The subsidy may not be paid during any period in which the loan is in default.
(c)    In providing financial assistance under this section, the Authority shall recognize the need to serve applicants from all political subdivisions in the State.