This chapter describes the policies, procedures, and authorizations for the Secretary of Business and Economic Development to administer the Special Fund for Preservation of Cultural Arts in Maryland. In this chapter, the following terms have the meanings indicated. Terms Defined. “Act” means Economic Development Article, §4-801, Annotated Code of Maryland. “Applicant” means a cultural arts organization applying for a grant from the Fund to strengthen the organizational capacity and financial stability of the cultural arts organization. “Cultural arts organization” means a nonprofit arts organization or arts program whose purpose is producing or presenting the arts through public programs or services. “Department” means the Department of Business and Economic Development. “Fund” means the Special Fund for Preservation of Cultural Arts in Maryland. “Grant” means a grant made by the Secretary under the provisions of the Act and this chapter. “Secretary” means the Secretary of Business and Economic Development. The Fund shall be used to provide supplemental grants to cultural arts organizations in the State that qualify for general operating support from the Maryland State Arts Council, to strengthen the organizational capacity and financial stability of the cultural arts organizations. A grant from the Fund is supplemental to and is not intended to take the place of funding that otherwise would be appropriated for qualifying organizations. An applicant may apply for a grant under the Act as set forth in this regulation. The applicant shall: Have received a general operating support grant from the Maryland State Arts Council in the fiscal year in which they are applying; Be in compliance with applicable reporting requirements of the Maryland State Arts Council; and Have an operating budget of at least $25,000. Grant Application. A grant application shall be made on a standard form prescribed by the Department. Each application shall include: A description of the applicant’s mission statement and goals; Needs assessment; A proposed plan of activities and budget for proposed activities; A detailed explanation of how the cultural arts organization will use a grant to strengthen the organizational capacity and financial stability of the cultural arts organization; Expected outcomes and evaluation methods; and Any other information the Secretary requires related to strengthening organizational capacity and financial stability of the cultural arts organization. Application Review. The Secretary shall review each application to determine whether a cultural arts organization will be awarded a grant from the Fund and the amount of that grant. In making the determination whether to award a grant or the amount of a grant to be awarded, the Secretary may consider any of the following factors: The ability of the applicant to carry out the proposed activities; The cultural arts organization's explanation of how it will use a grant from the Fund to strengthen the organizational capacity and financial stability of the cultural arts organization; and The impact of the proposed activities on strengthening organizational capacity and financial stability of the cultural arts organization. The Department shall prepare and provide the cultural arts organization with a copy of the grant agreement which shall contain the provisions the Department determines are necessary to reflect the terms of the grant. The applicant shall: Comply with the State's policy concerning drug-free and alcohol-free workplaces, as set forth in COMAR 01.01.1989.18; and Make a good-faith effort to eliminate illegal drug use and alcohol and drug abuse from places at which work is performed in accordance with the terms of the Department's financial assistance. The Secretary may waive or vary particular provisions of this chapter to the extent that a waiver is not inconsistent with the Act. Economic Development Article, §§2-108 and 4-801, Annotated Code of Maryland Effective date: November 30, 2009 (36:24 Md. R. 1859) Regulation .02B amended effective April 1, 2013 (40:6 Md. R. 476) Regulation .03 amended effective April 1, 2013 (40:6 Md. R. 476) Regulation .04B amended effective April 1, 2013 (40:6 Md. R. 476) Regulation .05 amended effective April 1, 2013 (40:6 Md. R. 476)