(VI) MAY NOT BE USED TO REFINANCE EXISTING DEBT.
(2) LOANS FROM THE FUND MAY NOT BE FOR A TERM EXCEEDING:

(I) FOR WORKING CAPITAL - 3 YEARS;

(II) FOR FINANCING MACHINERY, EQUIPMENT, FURNISHINGS, OR
FIXTURES - 10 YEARS; AND

(III) FOR FINANCING THE CONSTRUCTION OR ACQUISITION OF
BUILDINGS AND REAL ESTATE - 25 YEARS.

(D) TO BE ELIGIBLE FOR A LOAN FROM THE FUND, AN APPLICANT MUST BE:

(1) AN INDIVIDUAL OR A PRIVATE BUSINESS ENTITY WHO:

(I) IS PRIMARILY ENGAGED IN A BUSINESS IN AN ELIGIBLE
INDUSTRY SECTOR LOCATED IN A PRIORITY FUNDING AREA;

(II) IS NOT PRIMARILY ENGAGED IN RETAIL OR ENTERTAINMENT

ACTIVITIES;

(III) (II) INTENDS TO USE THE REQUESTED LOAN FOR A PROJECT
THAT HAS A STRONG POTENTIAL FOR EXPANDING OR RETAINING EMPLOYMENT
OPPORTUNITIES IN THE STATE; AND

(IV) (III) SUBMITS TO THE DEPARTMENT AN APPLICATION
CONTAINING ANY INFORMATION THE DEPARTMENT OR THE AUTHORITY DEEMS
NECESSARY IN EVALUATING THE LOAN REQUEST; OR

(2) THE MARYLAND ECONOMIC DEVELOPMENT CORPORATION,
PROVIDED THAT THE REQUIREMENTS SPECIFIED IN ITEM (1) OF THIS SUBSECTION
ARE MET.

(E) SUBJECT TO THE RESTRICTIONS OF THIS SUBTITLE, THE DEPARTMENT
AND THE AUTHORITY SHALL IMPOSE SUCH TERMS AND CONDITIONS ON THE LOANS
PROVIDED FROM THE FUND AS THEY DEEM APPROPRIATE.

(F) THE DEPARTMENT SHALL REPORT TO THE GOVERNOR AND, SUBJECT TO §
2-1246 OF THE STATE GOVERNMENT ARTICLE, TO THE GENERAL ASSEMBLY BEFORE
JANUARY 1 OF EACH YEAR ON THE NUMBER, AMOUNT, USE, AND ECONOMIC
BENEFITS OF LOANS AWARDED UNDER THIS SUBTITLE.

5-1306.

(A) ANNUALLY, AFTER CONSIDERING THE RECOMMENDATION OF THE
MARYLAND ECONOMIC DEVELOPMENT COMMISSION, THE AUTHORITY SHALL
ESTABLISH A LIST OF INDUSTRY SECTORS THAT WILL BE ELIGIBLE FOR LOANS FROM
THE FUND.

(B) BEFORE MAKING ITS RECOMMENDATION TO THE AUTHORITY, THE
MARYLAND ECONOMIC DEVELOPMENT COMMISSION SHALL: