and real estate acquisition but not for working
capital The maximum loan term is 20 years The
Fund is administered by the Maryland Industrial
Development Financing Authority

MAKTLAND ENERGY FINANCING
ADMINISTRATION
Luther B Miller, Jr, Director
333-4262

Created in 1981 in response to federal funding
initiatives for energy conservation and alternative
source development, the Maryland Energy Financ-
ing Administration came under the Jurisdiction of
the Maryland Industrial Development Authority in
1988 (Chapter 141, Acts of 1988)
The Administration provides financial assistance
to Maryland businesses for energy conservation or
generation projects by issuing tax exempt or tax-
able-rate revenue bonds or notes which provide
below marker interest rates If necessary, the
Maryland Industrial Development Financing
Authority may insure all or part of such obligations

MARYLAND SMALL BUSINESS
DEVELOPMENT FINANCING AUTHORITY
Lloyd M Arlington, Jr , Chairperson, 1993

Appointed by Governor Chun Yong Chung, 1990,
Jerry Feigen, 1991, Dorothy E Brunson, 1992,
Lillian H Lincoln, 1992, Gerald G Abrams,1994,
Herman Katkow, 1994, two vacancies

Ex officio ] Randall Evans, Secretary of Economic
& Employment Development, Donald Walton,
designee of State Treasurer

Stanley W Tucker, Executive Director

217 E Redwood Sc
Baltimore, MD 21202 333-4270

The Maryland Small Business Development
Financing Authority (MSBDFA) was created in
1978 (Chapter 879, Acts of 1978) To provide
financial assistance to minority businesses, the
Authority administers four programs Govern-
ment Contract Financing, Long-Term Guarantee;
Equity Participation Investment, and Surety Bond
Guaranty Assistance
Government Contract Financing Program For
eligible firms with government contracts, the
Authority may guarantee a loan from a financial
institution or provide a direct loan for worlang
capital and equipment These guarantees or loans
may be provided only as necessary to fulfill con-
tracts on projects financed by federal, State or local
government, or by a utility regulated by the Public
Service Commission
Long-Term Guarantee Program For all eligible
firms, the Authority may guarantee and/or pay an
interest rate subsidy on a long-term loan made by

a financial institution for working capital, acquisi-
tion and related installation of machinery and
equipment, or necessary improvements to real
property owned in fee simple by the applicant
Equity Participation Investment Program For all
eligible firms, the Authority may invest up to 45
percent or $100,000 (whichever is less) as equity
or debt needed to start a franchise operation The
Authority requires the initial investment to be
recovered within five years The Authority also may
invest up to 25 percent or $500,000 (whichever is
less) as equity or debt needed to acquire an existing
profitable business The Authority requires the ini-
tial investment to be recovered within seven years
Surety Bond Guaranty Assistance Program All
small businesses are eligible This program helps
the small contractor secure bonding by guarantee-
ing 90 percent of the losses that a surety company
incurs in the event of a breach of contract
Programs of the Maryland Small Business
Development Financing Authority are unique A
major criterion for approval of Authority guaran-
tees and loans is the economic impact resulting from
the use of available funds This impact is measured
according to the projected number of jobs retained
and created, and the projected amount of tax
revenue generated from the use of these funds
The Authoncy's seven members are appointed to
five-year terms by the Governor The Secretary of
Economic and Employment Development and either
the State Treasurer or Comptroller, as designated by
the Governor, serve ex offiao (Code Hnancial Insnru
oons Article, sees 13-201 through 13-234)

DAY CARE FINANCING PROGRAMS
Joan Case, Director

217 E Redwood St
Baltimore, MD 21202 333-4308

Formed in 1988, Day Care Bnancmg Programs
administers two funds to promote economic develop-
ment, increase employment, and expand quality day
care in Maryland To aid employers and developers in
the day care industry the two financing funds provide
financial assistance for small business owners
The Day Care Facilities Loan Guarantee Fund
was created in 1984 to help small businesses provid
ing day care The Fund finances up to 80 percent of
loans by a lender It is available for day care centers
for infants, toddlers, and preschool age children, as
well as elderly and medically handicapped adults
Loan proceeds can be used for the purchase of land,
equipment, and supplies, renovation, building con-
srrucnon; and working capital (Code 1957, Art
83A, sees 6-201 through 6-213)
The Child Care Facilities Direct Loan Fund was
formed in 1988 (Chapter 248, Acts of 1988) The
Fund can be used for the construction, renovation,