Bill No. 6-12
Concerning: Economic Development – Small Business Assistance
Revised: April 11, 2012 Draft No. 6
Introduced: February 7, 2012
Enacted: April 17, 2012
Executive: April 26, 2012
Effective: July 26, 2012
Sunset Date: None
Ch. 6 , Laws of Mont. Co. 2012
For Montgomery County, Maryland
AN ACT to:
(1) establish a program to assist certain small businesses located in the County who are adversely impacted by a County redevelopment project or a redevelopment project located on County property;
(2) provide technical assistance and training to a small business who receives financial assistance from the Economic Development Fund;
(3) authorize financial assistance to certain small businesses from the Economic Development Fund; and
(4) generally amend the economic development laws.
Montgomery County Code
Chapter 20. Finance
Boldface Heading or defined term. Underlining Added to existing law by original bill. [Single boldface
from existing law by original bill. Double
by amendment. [[Double boldface
from existing law or the bill by amendment. *
* * Existing law unaffected by bill.
Boldface Heading or defined term.
Underlining Added to existing law by original bill.
[Single boldface brackets] Deleted from existing law by original bill.
Double underlining Added by amendment.
[[Double boldface brackets]] Deleted from existing law or the bill by amendment.
* * * Existing law unaffected by bill.
Sec. 1. Sections 20-76B is added as follows:
20-76B. Small Business Assistance Program.
(a) Definitions. As used in this Section:
Adverse impact means a loss of revenue resulting from a redevelopment project.
Director means the Director of the Department of Economic Development.
Enterprise zone means an area designated under Maryland Code, Economic Development Article, Section 5-704 or any successor provision.
Fund means the Economic Development Fund established in Section 20-73.
Program means the Small Business Assistance Program.
Redevelopment project means any construction, alteration, or improvement in an urban renewal area or enterprise zone where the existing land use is commercial or industrial and is:
(1) located on property owned by the County; or
(2) financed in whole or part by the County.
Small business means a privately owned business that meets the requirements of Section 11B-65(a).
Technical assistance means training directly related to operating a small business provided by an educational institution or a non-profit organization approved by the Director.
Urban renewal area means an area of the County as defined in Section 56-9(f).
(b) Establishment of Program. Subject to appropriation, the Director must create and administer a Small Business Assistance Program to assist small businesses who are adversely impacted by a redevelopment project.
(c) Eligibility. The Director, based upon information submitted by the applicant for assistance, must find that:
(1) the applicant is the owner of an existing small business located near an ongoing or future redevelopment project that is planned to begin construction in less than [] 12 months after the application;
(2) the applicant’s small business is currently or is likely to be adversely impacted by the redevelopment project; and
(3) the applicant’s small business is financially healthy and likely to continue operating for the foreseeable future.
(d) Conditions. The Director may impose reasonable conditions on a small business, including the successful completion of approved technical assistance training, in order to receive financial assistance from the Fund under the Program.
(e) Financial assistance. The Director may award a grant or loan from the Fund to an eligible small business under the Program. [[A loan or grant to a small business that exceeds $100,000 cumulatively must be approved by the Council.]]
(f) Regulations. The Executive must adopt method 2 regulations to implement this Section. The regulations must:
(1) require the Director to compile and maintain a list of approved technical training courses on the appropriate website;
(2) specify the application procedures and eligibility criteria for a grant or loan to a small business under the Program;
(3) specify conditions that the Director may impose on a small business in order to receive financial assistance from the Fund under the Program;
(4) define what constitutes an adverse impact on a small business;
(5) define what constitutes financial health of a small business; and
(6) identify outreach methods and marketing strategies to inform local small businesses of the program.
(g) Reports. On or before March 31 of each year, the Executive must report to the Council on the activities of the Program. The report must include:
(1) the number of small businesses participating in the Program;
(2) the number and dollar amount of grants and loans made; and
(3) an evaluation of the impact of each grant or loan on the operation of the small business.