Ch. 564 1997 LAWS OF MARYLAND

BORROWER shall give to the Secretary at least 30 days advance notice and obtain his
written approval of any sale or lease. The loan agreement may contain regulatory and
security provisions.

(e) (1) The loan agreement shall be recorded among the land records of the
political subdivision in which the project is located and shall constitute a lien on the land
and the improvements.

(2) Paragraph (1) of this subsection does not apply if a federally funded
contract, grant, loan, project, or reimbursement prohibits the placement of a lien on the
land or. improvements that a [political subdivision] BORROWER includes in a loan
agreement made under this section.

5-707.

(a) (1) In this section, the following words have the meanings indicated.

(2) "Incubator" means any building of flexible design, owned or controlled
by a [political subdivision] BORROWER, for eventual lease to multiple new businesses
which share support services and facilities.

(3) "New businesses" are businesses which have been in existence for no
longer than 3 years.

(4) "Project costs" may include planning and engineering studies, design
and engineering services, and building acquisition and building rehabilitation.

(5) "State-financed research" means research financed in part with the
assistance of the State.

(b) Any [political subdivision] BORROWER may apply to the Secretary for a loan
to finance project costs of rehabilitation of existing buildings for incubators.

(c) The application shall describe the project in such manner and detail as the
Secretary may, by regulation, determine and shall include the information set forth in §
5-704(a) of this subtitle as it relates to the incubator project, and a complete breakdown
of the anticipated costs of the project.
(d) In determining whether or not to approve a loan and the amount of the loan,

the Secretary shall consider those factors set forth in § 5-704(b) of this subtitle as they
relate to the incubator project.

(e) After the investigation the Secretary considers necessary, the Secretary may
approve a loan of all or any part of the project costs, not to exceed $1,500,000 for any 1
incubator, except that in the case of an incubator for which the [political subdivision]
BORROWER has an executed lease agreement acceptable to the Secretary with at least 1
new business which will be conducting State-financed research as a tenant of the
incubator, the loan amount under this subsection shall not exceed $2,500,000.

(f) On approval of the loan, the Secretary shall enter into a loan agreement with
the [borrowing political subdivision] BORROWER providing for:

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