2013 Maryland Code
ECONOMIC DEVELOPMENT
§ 5-603 - Administration of grants

§5-603.

(a) The Department may require that all or part of a grant be repaid, with interest at a rate the Department sets, when conditions specified by the Department occur.

(b) (1) Whenever the Department is authorized by law to make a grant, including a grant from the Economic Development Opportunities Program Account authorized under § 7-314 of the State Finance and Procurement Article, the Department may use money appropriated for the grant to make an equity investment in a business enterprise.

(2) In making an equity investment under this subtitle, the Department may not acquire an ownership interest in an enterprise that exceeds 25%.

(3) Within 15 years after making an equity investment under this subtitle, the Department shall divest itself of that investment.

(4) The liability of the State and the Department in making an equity investment under this subtitle is limited to the amount of that investment.

(5) The Department shall adopt regulations governing equity investments under this subsection that specify:

(i) the types of business enterprises in which an investment may be made;

(ii) the basic standards an enterprise shall meet to qualify for an investment;

(iii) the amount of money available for investment; and

(iv) the criteria that the Department uses to make investment decisions.