PARRIS N. GLENDENING, Governor

Ch. 118

CHAPTER 118
(Senate Bill 743)

AN ACT concerning

Maryland Seafood and Aquaculture Loan Fund

FOR the purpose of providing that loans from the Maryland Seafood and Aquaculture
Loan Fund may be used to start a seafood processing or aquaculture operation;
altering the limit on the amount of a loan made from the Fund; altering the
minimum amount of the investment a loan applicant is required to make; and
generally relating to loans from the Maryland Seafood and Aquaculture Loan Fund.

BY repealing and reenacting, with amendments,
Article - Financial Institutions
Section 13-126(c)(3) and 13-128.1(g)
Annotated Code of Maryland
(1992 Replacement Volume and 1994 Supplement)

SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF
MARYLAND, That the Laws of Maryland read as follows:

Article - Financial Institutions

13-126.

(c) Loans made under this part shall be subject to the following requirements;

(3) The loan shall be used TO START A SEAFOOD PROCESSING OR
AQUACULTURE OPERATION OR to improve the quality, efficiency, and competitiveness
of the applicant's EXISTING seafood processing or aquaculture operations;

13-128.1.

(g) (1) A loan may not exceed the smaller of $250,000 or [50] 80 percent of the
total amount of investment for renovations, construction, or purchase of real property,
fixtures, or equipment that are related to the applicant's facility and are required to
expand or develop the applicant's facility, but not for financing or refinancing of working
capital, accounts, supplies or inventory or for refinancing existing loans.

(2) The applicant's investment may not be less than [50] 20 percent of the
total amount of investment needed to expand or develop the applicant's facility.

SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect
October 1, 1995.

Approved May 9, 1995.

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