There is a non-lapsing Economic Development Incentive Fund.

In general. The purposes of the Fund are to: assist in the retention of existing industry and commerce in the County and in the attraction of new industry and commerce to the County; create new jobs and retain existing jobs for County residents; broaden the local tax base, particularly the commercial tax base; promote economic development and the growth of the Prince George's County economy, with a special strategic focus on the developed tier and gateway communities that have suffered from a lack of investment and economic development and those areas where market dynamics do not create sufficient economic incentives to sustain private sector development; promote local, minority, and small businesses in the County; and encourage: Transit-Oriented Development, which shall be defined under this Division as a development or project located within one-half (1/2) of a mile in distance of a Washington Metropolitan Area Transit Authority (WMATA) transit station or a Maryland Area Regional Commuter (MARC) station, as measured from the main entrance of the building to the nearest entrance of the transit station; a balanced local economy; international resources and trade to promote job growth, business attraction, and retention for County businesses and residents; and assist County residents who own businesses that are located in the County in the creation, sustenance and expansion of such businesses. Financial assistance. The Fund may provide financial assistance in the form of loans, loan loss reserves, guarantees, conditional loans and grants for the benefit of existing and potential industrial and commercial businesses in Prince George's County to finance: land, buildings, machinery and equipment, and other associated costs; and working capital, including operating expenses, training expenses, relocation expenses, and permit fees, if the monies funded are reasonably necessary and used to enhance the overall health and position of the business. The County's financial assistance under this Division may supplement other federal and State financial assistance programs. Leveraging funding. The Fund may be used for equity investments, and to participate with other government agencies or private sector institutions to leverage funding for special projects. Funding priority. In the administration of the Fund, priority shall be given to economic investment and redevelopment in the Developed Tier of the County and to Transit-Oriented Development. Economic strategy. The administration of the Fund shall be consistent with: the County's strategy for economic development, as established by the County Executive: prioritizing Transit-Oriented Development, revitalization of established communities, and major corridors; established policy and goals previously identified through the General Plan approved by the District Council. Financial incentives policy. In the administration of the fund, special priority shall be given to: Projects that maximize Local Minority Business Enterprise ("LMBE") participation; and Projects that expand and significantly strengthen employment opportunities for County residents. Special Assistance for Local Entrepreneurship. A goal of ten (10) percent of the annual appropriation to the Economic Development Incentive Fund is established for financial assistance to expand entrepreneurship opportunities for County residents who own businesses based in the County (herein called "Special Assistance for Local Entrepreneurship"), subject to the availability of funding and applicants, in order to: stimulate small business development and local business ownership by County residents; and provide County residents who own businesses based in the County with access to flexible financing for small business start-up and expansion throughout Prince George's County in a geographically equitable manner. Except for legal residency as prescribed in subparagraph (4), below, criteria for approval of an award for Special Assistance for Local Entrepreneurship are the same as the criteria specified in 10-287(d) of this subtitle. In administering Special Assistance for Local Entrepreneurship, every effort shall be made to maximize the award of Special Assistance for Local Entrepreneurship to local minority business enterprises ("LMBEs") to the extent practicable. Eligibility. To be eligible to apply for and receive an award for Special Assistance for Local Entrepreneurship, an applicant shall demonstrate the following: the applicant is a business whose business domicile and principal place of operation is located in Prince George's County, MD at the time of the Fund award and for the duration of any loan or conditional loan supported or funded (in whole or in part) by the Fund award; ownership of the business is fifty-one percent (51%) or more by one or more County residents, which are individuals domiciled in the County continuously for the most recent full calendar year as verified by a federal or State tax return, for the duration of the award for Special Assistance for Local Entrepreneurship; and the applicant's business does not include one of the following uses: adult entertainment, gun shop, liquor store, laundromat, massage parlor, pawn shop, beauty supply store, nail salon (except as accessory or ancillary to a spa), car wash, dance hall, banquet hall (except as accessory or ancillary to a hotel or convention center), or tattoo parlor.

Sources. The Fund may be financed from: current expense funds; any contributions, donations, or appropriations by the United States, the State of Maryland, any other political jurisdiction, or any private entity; interest income; fees or other charges levied on loan or grant recipients; and any other funds designated and provided by the County. Treatment. Monies provided by the County to the Fund under Subsection (a) of this Section shall be treated as a transfer to the Fund. Repayments. The Director of Finance shall deposit in the Fund the monies collected for principal and interest on the loans and any authorized loan charges and fees on transactions authorized under this Division. Non-lapsing. The Fund shall continue from year to year.

Administration. The Chief Administrative Officer, or his designee, shall administer the Fund according to accepted principles of sound accounting and fiscal management. Financial Advisory Committee. The Chief Administrative Officer shall constitute and convene a Financial Advisory Committee ("FAC") to aid in the review of and provide credit guidance regarding financial assistance applications. The FAC shall be composed of seven independent financial services professionals who are residents of the County and are experienced and skilled in banking, finance, real estate, commercial development, accounting, or business. The County Council shall provide the names of five nominees to the County Executive, from which the Chief Administrative Officer shall select not less than three members of the FAC. The Chief Administrative Officer shall accept nominations for the remaining membership on the FAC from the business community and the general public. Members of the FAC: If nominated by the Chief Administrative Officer, serve at the pleasure of the Chief Administrative Officer; or If nominated by the County Council, serve at the pleasure of the County Council; serve for a term of five (5) years; shall affirmatively recuse themselves from the review of any project where they or any family member have any financial interest or where any potential conflict of interest may arise; and shall disclose any conflict of interest under Paragraph (C) of this Subsection. Determination of rates and terms. The Chief Administrative Officer, or his designee, shall approve the rates to be charged and the terms for the financial assistance provided under this Division. Determination of accounting methods. The Chief Administrative Officer, or his designee, shall determine the terms of and the method and procedures for accounting for: financial assistance from the Fund; and payments by or charges against the Fund. Collection of accounts and records. The Director of Finance, or his designee, shall: collect repayments on accounts, subject to the terms and conditions contained in the financial assistance documents; and maintain records in accordance with generally accepted accounting principles. The Office of Management and Budget shall regularly review the performance of financial assistance awards from the Fund for compliance with the terms and conditions negotiated by the Chief Administrative Officer. If LMBE goals or requirements are part of an award of financial assistance from the Fund, in collaboration with the Office of Management and Budget, the County's Minority Business Enterprise ("MBE") Compliance Officer may review the performance of financial assistance awards for compliance with those goals or requirements.

Applicants to use form. An applicant for financial assistance shall apply on a form required by the Chief Administrative Officer, or his designee. Form. The financial assistance application form shall require an applicant to supply information necessary to evaluate the requested financial assistance including: need; financial ability of the applicant; sources of repayment; proposed project costs and expenditures for which assistance is sought; fair value of completed projects; normal or useful life of equipment or buildings; security for the transaction; contribution to the economy of the County; legal residency; and any other information that may be appropriate or useful in evaluating the application. Review and approval by the Chief Administrative Officer. The Chief Administrative Officer or his designee: shall review financial assistance applications for need and financial ability of the applicant; shall receive guidance from the FAC in making the determination of whether the application contains sound financial projections, proper collateralization/securitization, and proper protections of the County's financial interests; and may approve a financial assistance application up to the amount requested, if sufficient monies exist in the Fund. Approval criteria. The criteria for approval of financial assistance from the Fund shall include, but not be limited to, the following: the expected benefit to, or impact on, the County's commercial tax base; the estimated number of County residents expected to be hired as a result of the financial assistance from the Fund, and the percentage of the overall hiring consisting of County residents; and the ability of the prospective applicant to leverage financial assistance with other funds. Notice of intent to the Council. The Chief Administrative Officer or his designee shall notify the County Council in writing of the intent to award financial assistance from the Fund by filing the terms of the proposed agreement with the Clerk of the County Council. Except for grants or conditional loans in an amount over $250,000, within seven (7) calendar days of receipt of the agreement by the Clerk of the County Council, the County Council may provide written comments to the Chief Administrative Officer, or his designee. Not less than seven (7) calendar days after submission of the notice of intent under this Subsection, the Chief Administrative Officer, or his designee, may grant the award and shall provide written notice to the Clerk of the County Council of the final terms of the agreement, or of a decision not to proceed with the award. For grants or conditional loans in an amount over $250,000, within seven (7) calendar days of receipt of the agreement by the Clerk of the County Council, the County Council may provide written comments or notice of objection to the award to the Chief Administrative Officer, or his designee. If the Chief Administrative Officer, or his designee, does not receive written notice expressing the County Council's objection to a grant or conditional loan in an amount over $250,000 within seven (7) calendar days after receipt by the Clerk of the County Council of the notice of intent provided under this Subsection, the Chief Administrative Officer, or his designee: may grant the award; and shall provide written notice to the Clerk of the County Council of the final terms of the agreement or of a decision not to proceed with the award. If the Chief Administrative Officer, or his designee receives written notice expressing the County Council's objection to a grant or conditional loan in an amount over $250,000 within seven (7) calendar days after the receipt by the Clerk of the County Council of the notice of intent provided under this Subsection, the provisions of Subparagraph (D) of this Subsection apply. Within seven (7) calendar days of any submission of written notice expressing objection to the Chief Administrative Officer's, or his designee's, intent to award a grant or conditional loan in an amount over $250,000, the County Council in writing shall approve or disapprove of the Chief Administrative Officer's, or his designee's, intent to provide financial assistance from the Fund. If within seven (7) calendar days of any submission of written notice expressing objection to the Chief Administrative officer's, or his designee's, intent to award a grant or conditional loan in an amount over $250,000 the County Council disapproves the award, the Chief Administrative Officer shall not grant the award. If after seven (7) calendar days of any submission of written notice expressing objection to Chief Administrative Officer's, or his designee's, intent to award a grant or conditional loan in an amount over $250,000, the County Council does not approve or disapprove of the award, the Chief Administrative Officer, or his designee: may grant the award; and shall provide written notice to the Clerk of the County Council of the final terms of the agreement or of a decision not to proceed with the award. If the Chief Administrative Officer, or his designee, grants an award of financial assistance from the Fund pursuant to Sections 10-288(a)(6) ("other uses") or 10-288(b)(2) (loans in excess of 10 years) of this Division, the Chief Administrative Officer, or his designee, shall provide written notice to the County Council consistent with the provisions of Paragraph (3) of this Subsection.

Limits. The Chief Administrative Officer, or his designee, may make an award of financial assistance from the Fund in the form of a loan, guarantee, or grant to businesses for the cost of: the acquisition of land and buildings; the construction, reconstruction, rehabilitation, repair, and improvement of buildings; the cost of acquisition of machinery and equipment; working capital; equity investments; and other uses as determined to be appropriate by the Chief Administrative Officer or his designee. Term - Maximum of 10 years. The term of a loan or guarantee made under this Division may not exceed 10 years. Exception. The 10-year term limitation under Subsection (b) (1) of this Section may be waived and not apply to funding for special projects that are a significant economic opportunity consistent with the Fund's purpose. Security for loans and guarantees. To perfect and protect the County's financial position, the Chief Administrative Officer, or his designee, shall require the recipient of a loan or guarantee under this Division to secure the loan or guarantee by: Appropriate notes; Security agreements; Financing statements; Equity pledges; Mortgages or deeds of trust; or Any other documents or instruments. Compliance with Conditions of Award. If a recipient of financial assistance from the Fund fails to comply with the terms and conditions of an award, any renegotiation of the award or the exercise of any clawback provisions requiring full or partial repayment of the financial assistance that are part of the award are subject to the provisions of Section 10-287(e) of this Division. Annual examination of books. The Chief Administrative Officer, or his designee, may require the recipient of financial assistance under this Division to have an annual audit of its books, accounts, and records by a certified public accountant. The recipient shall deliver copies of the audit to the Chief Administrative Officer, or his designee, and to the County Auditor. If the recipient fails to arrange the audit, the Chief Administrative Officer, or his designee, may examine, at the expense of the recipient, the accounts and books of the recipient, including its receipts, disbursements, contracts, leases, investments, and any other matters relating to its finances, operation, and affairs. Report to Council. The Chief Administrative Officer, or his designee, shall provide each member of the County Council with a quarterly report that outlines the financial assistance that has been provided and the overall performance of the Fund. The report prepared by the Chief Administrative Officer shall include information about the compliance of the award recipient with the terms and conditions of the award and the provisions of this Title, including compliance with the provisions of Sec. 10-284 (Purposes and Priorities of the Fund) of this Title. County Auditor Reviews for Compliance. The County Auditor may regularly review the performance of financial assistance awards from the Fund for compliance with the terms and conditions negotiated by the Chief Administrative Officer.