3814

LAWS OF MARYLAND

Ch. 734

(2) IN PROVIDING FINANCIAL ASSISTANCE, THE
AUTHORITY SHALL RECOGNIZE THE NEED TO SERVE APPLICANTS FROM
ALL POLITICAL SUBDIVISIONS OF THE STATE.

13-228.

(a)  The Authority may UTILIZE THE GENERAL FUND TO
guarantee a loan made to an applicant only if:

(1)  The applicant meets the qualifications
required by this subtitle;

(2)  The loan is to be used to perform a contract
for a project that a federal, State, or local government
finances;

(3.) The part of the loan to be guaranteed does
not exceed $150,000; and

(4) The loan to be guaranteed is to be used
primarily for working capital.

(b)  A guaranty that the Authority makes shall be
limited to not more than the term of the government
contract, unless the Authority finds that a longer term
better carries out the purposes of this subtitle.

13-229.

(a)  The Authority may UTILIZE THE GENERAL FUND TO
guarantee a person's proposed equity investment in the
applicant only if:

(1)  The applicant meets the requirements of this
subtitle;

(2)  The amount of the equity investment to be
guaranteed does not exceed the lesser of:

(i) 10 percent of the person's equity
investment in the applicant; or

(ii) $150,000; and

(3)  The equity investment to be guaranteed is to
be used primarily for working capital TO PERFORM A CONTRACT
FOR A PROJECT THAT A FEDERAL, STATE, OR LOCAL GOVERNMENT
FINANCES.

(b)  The Authority may not guarantee the equity
investment of a person who:

(1) Previously held an equity investment in the
applicant;