Georgia 2025-2026 Regular Session

Georgia House Bill HB286 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	25 LC 50 1031
2	2	House Bill 286
3	3	By: Representatives Neal of the 79
4	4	th
5	5	, Powell of the 33
6	6	rd
7	7	, Carpenter of the 4
8	8	th
9	9	, Stephens of the
10	10	164
11	11	th
12	12	, Gambill of the 15
13	13	th
14	14	, and others
15	15	A BILL TO BE ENTITLED
16	16	AN ACT
17	17	To amend Chapter 10 of Title 10 of the Official Code of Georgia Annotated, relating to the
18	18	1
19	19	Seed-Capital Fund, so as to create a subfund to provide startup capital to certain small2
20	20	businesses that are majority owned by students or graduates of a small business program of3
21	21	study of TCSG; to provide for terms and conditions; to provide for conforming changes; to4
22	22	provide for definitions; to provide for related matters; to repeal conflicting laws; and for5
23	23	other purposes.6
24	24	BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:7
25	25	SECTION 1.8
26	26	Chapter 10 of Title 10 of the Official Code of Georgia Annotated, relating to the9
27	27	Seed-Capital Fund, is amended by revising subsection (a) of Code Section 10-10-3, relating10
28	28	to administration of fund, equity contributions, and disbursements, as follows:11
29	29	"(a) The fund is created as a separate fund maintained by the board or a body designated12
30	30	by the board and shall be expended only as provided in this article. Pending their use as
31	31	13
32	32	equity contributions or as loans pursuant to this chapter, the moneys in the fund may be14
33	33	invested and reinvested in accordance with the investment policies authorized by the board15
34	34	or its designee. The entire cost of administration of the fund, including expenses of the16
35	35	H. B. 286
36	36	- 1 - 25 LC 50 1031
37	37	center incurred in connection with the creation, operation, management, liquidation, and
38	38	17
39	39	investment of fund moneys in enterprises, directly or through investment entities, may be18
40	40	paid from the assets of the fund. All moneys appropriated to or otherwise paid into the19
41	41	fund shall be presumptively concluded to have been committed to the purpose for which20
42	42	they have been appropriated or paid and shall not lapse."21
43	43	SECTION 2.22
44	44	Said chapter is further amended by adding a new Code section to read as follows:23
45	45	"10-10-8.
46	46	24
47	47	(a) As used in this Code section, the term:25
48	48	(1) 'Program entrepreneur' means any student currently enrolled in or any graduate of a26
49	49	small business program.27
50	50	(2) 'Small business' means any corporation, partnership, sole proprietorship, or other28
51	51	business entity which is organized under the laws of this state and which:29
52	52	(A) Is owned 51 percent or more by one or more program entrepreneurs;30
53	53	(B) Is not dominant in its field;31
54	54	(C) Has been in operation for less than ten total years; and32
55	55	(D) Is engaged in innovative work in the area of technology, manufacturing, or33
56	56	agriculture.34
57	57	(3) 'Small business program' means any program of study established by TSCG or a unit35
58	58	of TCSG to provide education, training, and technical assistance to program36
59	59	entrepreneurs.37
60	60	(4) 'Startup capital' means money provided to a small business pursuant to this Code38
61	61	section to be used exclusively for costs directly incurred in the normal course of starting39
62	62	and operating a business.40
63	63	(5) 'Subfund' means the small business innovation startup capital subfund created in41
64	64	subsection (b) of this Code section.42
65	65	H. B. 286
66	66	- 2 - 25 LC 50 1031
67	67	(6) 'TCSG' means the Technical College System of Georgia.43
68	68	(b) There is created within the fund the small business innovation startup capital subfund.44
69	69	The subfund shall consist of all moneys authorized by law for deposit in the fund,45
70	70	including, but not limited to, gifts, grants, private donations, and funds from government46
71	71	entities. Moneys in the subfund shall be invested in the same manner as moneys in the47
72	72	fund, and any interest earned on the investment of moneys in the subfund shall be credited48
73	73	to the subfund. Moneys appropriated to or otherwise deposited into the subfund shall be49
74	74	used exclusively for the purposes of administering the subfund and providing startup50
75	75	capital to small businesses.51
76	76	(c) The center may, in cooperation with TCSG, disburse money from the subfund to52
77	77	provide startup capital to small businesses, provided that:53
78	78	(1) The small business meets the conditions of this Code section and any requirements54
79	79	established by the center and TCSG pursuant to this Code section;55
80	80	(2) The center and TCSG approve a completed application submitted by the small56
81	81	business that contains:57
82	82	(A) A detailed business plan, including detailed descriptions of the business, its58
83	83	products and services, and its management and operation; market analysis; and59
84	84	financial projections;60
85	85	(B) A statement of the amount, timing, and projected use of the startup capital;61
86	86	(C) A statement demonstrating the potential economic and public impact of the small62
87	87	business;63
88	88	(D) A statement demonstrating how the small business is engaged in innovative work64
89	89	in the area of technology, manufacturing, or agriculture; and65
90	90	(E) Such other information as the center or TCSG shall require; and66
91	91	(3) The center and TCSG find, based upon the application submitted by the small67
92	92	business and such additional investigation as the center and TCSG shall make and68
93	93	incorporate in its records, that:69
94	94	H. B. 286
95	95	- 3 - 25 LC 50 1031
96	96	(A) The startup capital will be used only for costs directly incurred in the normal70
97	97	course of starting and operating a small business;71
98	98	(B) The small business has a reasonable chance of success;72
99	99	(C) The startup capital will be instrumental to the success of the small business and its73
100	100	retention within this state;74
101	101	(D) The program entrepreneur and other founders of the small business have already75
102	102	made or are contractually committed to make a substantial financial or time76
103	103	commitment to the small business; and77
104	104	(E) The state will secure a return on the investment of the startup capital in the form78
105	105	of establishment and growth of an innovative business in this state that will create new,79
106	106	value added products, processes, or services, and encouragement of further growth and80
107	107	diversification of and investment in the economy of this state.81
108	108	(d) The center, in cooperation with TCSG, shall establish guidelines and procedures to82
109	109	administer the provisions of this Code section."83
110	110	SECTION 3.84
111	111	All laws and parts of laws in conflict with this Act are repealed.85
112	112	H. B. 286
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