Maryland 2024 Regular Session

Maryland Senate Bill SB765 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1	1
2	2
3	3		EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
4	4		[Brackets] indicate matter deleted from existing law.
5		-	Underlining indicates amendments to bill.
6		-	Strike out indicates matter stricken from the bill by amendment or deleted from the law by
7		-	amendment.
8	5		sb0765
9	6
10	7		SENATE BILL 765
11	8		C8 4lr2896
12		-	~~CF HB 1490~~
	9	+
13	10		By: Senator Hayes
14	11		Introduced and read first time: February 1, 2024
15	12		Assigned to: Finance
16		-	Committee Report: Favorable
17		-	Senate action: Adopted
18		-	Read second time: February 29, 2024
19	13
20		-	~~CHAPTER ______~~
	14	+	A BILL ENTITLED
21	15
22	16		AN ACT concerning 1
23	17
24	18		Economic Development – Business Diversity Incubator Program and Fund – 2
25	19		Established 3
26	20
27	21		FOR the purpose of establishing the Business Diversity Incubator Program and Fund in 4
28	22		the Department of Commerce to provide grants to certain business entities to 5
29	23		establish certain business incubators; and generally relating to the establishment of 6
30	24		the Business Diversity Incubator Program and Fund. 7
31	25
32	26		BY repealing and reenacting, without amendments, 8
33	27		Article – Economic Development 9
34	28		Section 1–101(a) and (c) 10
35	29		Annotated Code of Maryland 11
36	30		(2018 Replacement Volume and 2023 Supplement) 12
37	31
38	32		BY adding to 13
39	33		Article – Economic Development 14
40	34		Section 5–2501 through 5–2506 to be under the new subtitle “Subtitle 25. Business 15
41	35		Diversity Incubator Program” 16
42	36		Annotated Code of Maryland 17
43	37		(2018 Replacement Volume and 2023 Supplement) 18
44	38
45	39		SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 19
46	40		That the Laws of Maryland read as follows: 20
47	41
48		-	Article – Economic Development 21 2 SENATE BILL 765
	42	+	Article – Economic Development 21
	43	+
	44	+	1–101. 22
	45	+
	46	+	(a) In this division the following words have the meanings indicated. 23
	47	+
	48	+	(c) “Department” means the Department of Commerce. 24 2 SENATE BILL 765
49	49
50	50
51	51
52		-	~~1–101~~. 1
	52	+	SUBTITLE 25. BUSINESS DIVERSITY INCUBATOR PROGRAM. 1
53	53
54		-	~~(a) In this division the following words have the meanings indicated~~. 2
	54	+	5–2501. 2
55	55
56		-	(c) “Department” means the Department of Commerce. 3
	56	+	(A) IN THIS SUBTITLE THE FOLLOWING WORDS HAVE THE MEANINGS 3
	57	+	INDICATED. 4
57	58
58		-	~~SUBTITLE 25.~~ BUSINESS DIVERSITY INCUBATOR ~~PROGRAM~~. 4
	59	+	(B) “FUND” MEANS THE BUSINESS DIVERSITY INCUBATOR FUND. 5
59	60
60		-	~~5–2501~~. 5
	61	+	(C) “PROGRAM” MEANS THE BUSINESS DIVERSITY INCUBATOR PROGRAM. 6
61	62
62		-	(A) IN THIS SUBTITLE THE FOLLOWING WORDS HAVE THE MEANINGS 6
63		-	INDICATED. 7
	63	+	(D) “QUALIFIED INCUBATOR ” MEANS A FOR–PROFIT ORGANIZATION , 7
	64	+	NONPROFIT ORGANIZATI ON, B CORPORATION , PUBLIC–PRIVATE PARTNERSHIP , OR 8
	65	+	SOCIAL ENTERPRISE IN THE STATE THAT: 9
64	66
65		-	(B) “FUND” MEANS THE BUSINESS DIVERSITY INCUBATOR FUND. 8
	67	+	(1) PRIMARILY SERVES OR WILL PRIMARILY SE RVE BUSINESSES IN 10
	68	+	THE STATE; 11
66	69
67		-	(C) “PROGRAM” MEANS THE BUSINESS DIVERSITY INCUBATOR PROGRAM. 9
	70	+	(2) REQUIRES OR WILL REQ UIRE PARTICIPATING B USINESSES TO 12
	71	+	ENGAGE IN A FORMAL I NCUBATOR PROGRAM DES IGNED TO ADVANCE EAR LY–STAGE 13
	72	+	BUSINESSES; 14
68	73
69		-	(D) ~~“QUALIFIED INCUBATOR ” MEANS A FOR–PROFIT ORGANIZATION , 10~~
70		-	~~NONPROFIT ORGANIZATI ON,~~ ~~B CORPORATION , PUBLIC–PRIVATE PARTNERSHIP , OR 11~~
71		-	~~SOCIAL ENTERPRISE IN THE STATE THAT: 12~~
	74	+	(3) IS STAFFED OR WILL B E STAFFED BY AT LEAS T ONE INDIVIDUAL 15
	75	+	DEDICATED TO MENTORIN G BUSINESSES AND GUI DING BUSINESSES THROUGH THE 16
	76	+	PROGRAM; 17
72	77
73		-	(1) PRIMARILY SERVES OR WILL PRIMARILY SERVE BUSINESSES IN 13
74		-	THE STATE; 14
	78	+	(4) IS DIRECTED BY AN IN DIVIDUAL WHO HAS COM PLETED A 18
	79	+	TRAINING PROGRAM FOC USED ON OPERATING A BUSINESS INCUBATOR T ARGETING 19
	80	+	SOCIALLY AND ECONOMI CALLY DISADVANTAGED ENTREPRENEURS , OR HELPING 20
	81	+	SOCIALLY AND ECONOMI CALLY DISADVANTAGED ENTREPRENEURS SECURE 21
	82	+	INVESTMENT, THAT INCLUDED TOPICS SUCH AS: 22
75	83
76		-	(2) REQUIRES OR WI LL REQUIRE PARTICIPA TING BUSINESSES TO 15
77		-	ENGAGE IN A FORMAL I NCUBATOR PROGRAM DES IGNED TO ADVANCE EAR LY–STAGE 16
78		-	BUSINESSES; 17
	84	+	(I) DIVERSITY, EQUITY, AND INCLUSION SOLUTIONS; 23
79	85
80		-	(3) IS STAFFED OR WILL B E STAFFED BY AT LEAS T ONE INDIVIDUAL 18
81		-	DEDICATED TO MENTORI NG BUSINESSES AND GU IDING BUSINESSES THROUGH THE 19
82		-	PROGRAM; 20
	86	+	(II) BUILDING WEALTH IN D IVERSE COMMUNITIES ; 24
83	87
84		-	(4) IS DIRECTED BY AN IN DIVIDUAL WHO HAS COM PLETED A 21
85		-	TRAINING PROGRAM FOC USED ON OPERATING A BUSINESS INCUBATOR T ARGETING 22
86		-	SOCIALLY AND ECONOMI CALLY DISADVANTAGED ENTREPRENEURS , OR HELPING 23
87		-	SOCIALLY AND ECONOMI CALLY DISADVANTAGED ENTREPRENEURS SECURE 24
88		-	INVESTMENT, THAT INCLUDED TOPICS SUCH AS: 25
	88	+	(III) NAVIGATING DIVERSE T ECH ENTREPRENEURSHIP ; 25
89	89
90		-	(I) DIVERSITY, EQUITY, AND INCLUSION SOLUTIONS; 26
	90	+	(IV) RISK, LEGAL ISSUES , AND SECURITIES AND EXCHANGE 26
	91	+	COMMISSION REGULATION S; 27
91	92
92		-	(II) BUILDING WEALTH IN D IVERSE COMMUNITIES ; 27
93		-
94		-	(III) NAVIGATING DIVERSE T ECH ENTREPRENEURSHIP ; 28
95		-	SENATE BILL 765 3
	93	+	(V) THE DUE DILIGENCE PR OCESS FOR EARLY –STAGE 28
	94	+	INVESTMENTS ; 29 SENATE BILL 765 3
96	95
97	96
98		-	(IV) RISK, LEGAL ISSUES , AND SECURITIES AND EXCHANGE 1
99		-	COMMISSION REGULATION S; 2
100	97
101		-	(V) ~~THE DUE DILIGENCE PR OCESS~~ FOR ~~EARLY –STAGE~~ 3
102		-	~~INVESTMENTS~~ ; 4
	98	+	(VI) ACCOUNTING , TAXES, AND EXITS FOR COMPAN IES AND 1
	99	+	FOUNDERS; 2
103	100
104		-	(VI) ~~ACCOUNTING , TAXES,~~ AND ~~EXITS FOR COMPAN IES AND 5~~
105		-	~~FOUNDERS~~; 6
	101	+	(VII) UNDERSTANDING AND MI TIGATING CONSCIOUS A ND 3
	102	+	UNCONSCIOUS BIAS ; AND 4
106	103
107		-	(~~VII~~) ~~UNDERSTANDING AND MI TIGATING CONSCIOUS A ND 7~~
108		-	~~UNCONSCIOUS BIAS~~ ; AND 8
	104	+	(VIII) CORPORATE BOARD GOVE RNANCE, HUMAN RESOURCES , 5
	105	+	PROCUREMENT , PRODUCT DEVELOPMENT , AND CORPORATE INNOVA TION; AND 6
109	106
110		-	(VIII) CORPORATE BOARD GOVE RNANCE, HUMAN RESOURCES , 9
111		-	PROCUREMENT , PRODUCT DEVELOPMENT , AND CORPORATE INNOVA TION; AND 10
	107	+	(5) WAS ESTABLISHED ON O R AFTER JANUARY 1, 2012. 7
112	108
113		-	(5~~) WAS ESTABLISHED ON O R AFTER JANUARY 1, 2012~~. 11
	109	+	5–2502. 8
114	110
115		-	5–2502. 12
	111	+	(A) (1) THERE IS A BUSINESS DIVERSITY INCUBATOR PROGRAM IN THE 9
	112	+	DEPARTMENT . 10
116	113
117		-	(A) (1) THERE IS A BUSINESS DIVERSITY INCUBATOR PROGRAM IN THE 13
118		-	DEPARTMENT . 14
	114	+	(2) THE PURPOSE OF THE PROGRAM IS TO PROVIDE GRANTS TO 11
	115	+	QUALIFIED INCUBATORS TO ESTABLISH DIVERSE AND EFFECTIVE BUSINE SS 12
	116	+	INCUBATORS IN THE STATE. 13
119	117
120		-	(2) THE PURPOSE OF THE PROGRAM IS TO PROVIDE GRANTS TO 15
121		-	QUALIFIED INCUBATORS TO ESTABLISH DIVERSE AND EFFECTIVE BUSINE SS 16
122		-	INCUBATORS IN THE STATE. 17
	118	+	(B) (1) THE DEPARTMENT SHALL ADMINISTER THE PROGRAM. 14
123	119
124		-	(B) (1) THE DEPARTMENT SHALL ADMINISTER THE PROGRAM. 18
	120	+	(2) THE DEPARTMENT SHALL HIRE AT LEAST ONE FULL–TIME 15
	121	+	COORDINATOR TO ADMIN ISTER THE PROGRAM. 16
125	122
126		-	(2) THE DEPARTMENT SHALL HIRE AT LEAST ONE FULL–TIME 19
127		-	COORDINATOR TO ADMIN ISTER THE PROGRAM. 20
	123	+	5–2503. 17
128	124
129		-	5–2503. 21
	125	+	(A) EACH FISCAL YEAR, THE DEPARTMENT SHALL AWARD GRANTS IN 18
	126	+	ACCORDANCE WITH THIS SECTION. 19
130	127
131		-	(A) ~~EACH FISCAL YEAR,~~ THE DEPARTMENT ~~SHALL~~ AWARD ~~GRANTS IN 22~~
132		-	~~ACCORDANCE WITH THIS SECTION. 23~~
	128	+	(B) (1) THE DEPARTMENT MAY AWARD A GRANT UN DER THE PROGRAM 20
	129	+	FOR: 21
133	130
134		-	(B) (1) THE DEPARTMENT MAY AWARD A GRANT UN DER THE PROGRAM 24
135		-	FOR: 25
	131	+	(I) PLANNING THE ESTABLI SHMENT OF A QUALIFIE D 22
	132	+	INCUBATOR OR PLANNIN G FOR A QUALIFIED IN CUBATOR’S LONG–TERM 23
	133	+	SUSTAINABILITY ; 24
136	134
137		-	(I) PLANNING THE ESTABLISHMENT OF A QUALIFIED 26
138		-	INCUBATOR OR PLANNIN G FOR A QUALIFIED IN CUBATOR’S LONG–TERM 27
139		-	SUSTAINABILITY ; 28
	135	+	(II) CAPITAL IMPROVEMENTS , SECURING REAL ESTATE , 25
	136	+	RENOVATIONS , AND THE PURCHASE OF CAPITAL EQUIPMENT TO ESTABLISH OR 26
	137	+	GROW A QUALIFIED INC UBATOR; OR 27
	138	+
	139	+	(III) OPERATING AND PROGRA M EXPENSES ASSOCIATE D WITH 28
	140	+	SUPPORTING PROGRAMS . 29
140	141		4 SENATE BILL 765
141	142
142	143
143		-	(II) ~~CAPITAL IMPROVEMENTS~~ , ~~SECURING REAL ESTATE ,~~ 1
144		-	~~RENOVATIONS , AND~~ THE ~~PURCHASE~~ OF ~~CAPITAL EQUIPMENT TO ESTABLISH OR~~ 2
145		-	~~GROW~~ A QUALIFIED ~~INCUBATOR; OR~~ 3
	144	+	(2) EXCEPT IN THE FIRST Y EAR OF A GRANT , GRANTS AWARDED 1
	145	+	UNDER THE PROGRAM MAY NOT BE US ED TO SUPPORT MORE T HAN 25% OF THE 2
	146	+	OPERATING EXPENSES O F A QUALIFIED INCUBA TOR. 3
146	147
147		-	(III) OPERATING AND PROGRA M EXPENSES ASSOCIATE D WITH 4
148		-	SUPPORTING PROGRAMS . 5
	148	+	(3) (I) SUBJECT TO SUBPARAGRA PH (II) OF THIS PARAGRAPH , 4
	149	+	GRANTS AWARDED UNDER THE PROGRAM SHALL RENEW AND BE AWARDED TO A 5
	150	+	QUALIFIED INCUBATOR EACH FISCAL YEAR OF THE PROGRAM WITHOUT FURTHER 6
	151	+	APPLICATION. 7
149	152
150		-	(2) EXCEPT IN THE FIRST Y EAR OF A GRANT , GRANTS AWARDED 6
151		-	UNDER THE PROGRAM MAY NOT BE US ED TO SUPPORT MORE T HAN 25% OF THE 7
152		-	OPERATING EXPENSES O F A QUALIFIED INCUB ATOR. 8
	153	+	(II) THE RENEWAL OF A GRANT I S SUBJECT TO THE QUA LIFIED 8
	154	+	INCUBATOR’S COMPLIANCE WITH TH E TERMS OF THE GRANT INCLUDING ECONOMIC 9
	155	+	IMPACT METRICS PROPO SED IN THE APPLICATI ON FOR THE GRANT AND ON A 10
	156	+	COMPETITIVE BASIS WI TH OTHER QUALIFIED I NCUBATORS APPL YING FOR 11
	157	+	FUNDING. 12
153	158
154		-	(3) (I) SUBJECT TO SUBPARAGRA PH (II) OF THIS PARAGRAPH , 9
155		-	GRANTS AWARDED UNDER THE PROGRAM SHALL RENEW AND BE AWARDED TO A 10
156		-	QUALIFIED INCUBATOR EACH FISCAL YEAR OF THE PROGRAM WITHOUT FURTHER 11
157		-	APPLICATION. 12
	159	+	(4) FOR ANY FISCAL YEAR , AN ORGANIZATION MAY NOT RECEIVE A 13
	160	+	GRANT UNDER THE PROGRAM THAT IS LESS THAN $100,000 OR EXCEEDS $400,000. 14
158	161
159		-	(II) THE RENEWAL OF A GRANT I S SUBJECT TO THE QUALIFIED 13
160		-	INCUBATOR’S COMPLIANCE WITH TH E TERMS OF THE GRANT INCLUDING ECONOMIC 14
161		-	IMPACT METRICS PROPO SED IN THE APPLICATI ON FOR THE GRANT AND ON A 15
162		-	COMPETITIVE BASIS WI TH OTHER QUALIFIED I NCUBATORS APPLYING F OR 16
163		-	FUNDING. 17
	162	+	(C) (1) THE DEPARTMENT SHALL ESTABLISH A CO MPETITIVE 15
	163	+	APPLICATION PROCESS FOR GRANTS MADE UNDE R THE PROGRAM. 16
164	164
165		-	(4) FOR ANY FISCAL YEAR , AN ORGANIZATION MAY NOT RECEIVE A 18
166		-	GRANT UNDER THE PROGRAM THAT IS LESS THAN $100,000 OR EXCEEDS $400,000. 19
	165	+	(2) THE DEPARTMENT SHALL AWARD AT LEAST HALF OF THE MONEY 17
	166	+	APPROPRIATED TO THE PROGRAM TO ORGANIZATI ONS THAT PARTICIPATE IN § 18
	167	+	14–302 OF THE STATE FINANCE AND PROCUREMENT ARTICLE AND GIVE 19
	168	+	PREFERENCE TO QUALIF IED INCUBATORS THAT : 20
167	169
168		-	(C) ~~(1) THE DEPARTMENT SHALL ESTABLISH~~ A CO ~~MPETITIVE 20~~
169		-	~~APPLICATION PROCESS FOR GRANTS MADE UNDE R THE PROGRAM. 21~~
	170	+	(I) HAVE A P ROGRAM MANAGED BY SO CIALLY OR 21
	171	+	ECONOMICALLY DISADVA NTAGED INDIVIDUALS ; 22
170	172
171		-	(2) THE DEPARTMENT SHALL AWARD AT LEAST HALF OF THE MONEY 22
172		-	APPROPRIATED TO THE PROGRAM TO ORGANIZATI ONS THAT PARTICIPATE IN § 23
173		-	14–302 OF THE STATE FINANCE AND PROCUREMENT ARTICLE AND GIVE 24
174		-	PREFERENCE TO QUALIF IED INCUBATORS THAT : 25
	173	+	(II) ARE LOCATED IN A FED ERALLY RECOGNIZED HU B ZONE, A 23
	174	+	STATE QUALIFIED OPPOR TUNITY ZONE, OR AN UNDERSERVED CO MMUNITY; 24
175	175
176		-	(I) HAVE ~~A PROGRAM MANAG~~ ~~ED BY SOCIALLY OR 26~~
177		-	~~ECONOMICALLY DISADVANTAGED INDIVI DUALS~~; 27
	176	+	(III) HAVE EXPERIENCE SUPP ORTING COMPANIES IN THE 25
	177	+	START–UP STAGE; 26
178	178
179		-	(II) ARE LOCATED IN A FED ERALLY RECOGNIZED HU B ZONE, A 28
180		-	STATE QUALIFIED OPPOR TUNITY ZONE, OR AN UNDERSERVED CO MMUNITY; 29
	179	+	(IV) SERVE COMPANIES LED BY SOCIALLY OR ECONO MICALLY 27
	180	+	DISADVANTAGED INDIVI DUALS AND HAVE AN EC ONOMIC IMPACT ON UND ERSERVED 28
	181	+	COMMUNITIES ; OR 29
181	182
182		-	(III) HAVE EXPERIENCE SUPP ORTING COMPANIES IN THE 30
183		-	START–UP STAGE; 31
	183	+	(V) HAVE ESTABLISHED A P RESENCE IN AN UNDERS ERVED 30
	184	+	COMMUNITY . 31
	185	+
	186	+	5–2504. 32
184	187		SENATE BILL 765 5
185	188
186	189
187		-	(IV) SERVE COMPANIES LED BY SOCIALLY OR ECONOMIC ALLY 1
188		-	DISADVANTAGED INDIVI DUALS AND HAVE AN EC ONOMIC IMPACT ON UND ERSERVED 2
189		-	COMMUNITIES ; OR 3
	190	+	(A) (1) THE DEPARTMENT AND A GRANT RECIPIEN T SHALL EXECUTE A 1
	191	+	PROGRAM AGREEMENT . 2
190	192
191		-	(V) ~~HAVE ESTABLISHED A P RESENCE IN AN UNDERS ERVED 4~~
192		-	~~COMMUNITY~~ . 5
	193	+	(2) THE GRANT RECIPIENT S HALL COMPLY WITH THE TERMS OF THE 3
	194	+	PROGRAM AGREEMENT . 4
193	195
194		-	5–2504. 6
	196	+	(3) THE DEPARTMENT MAY EXERCISE ANY REM EDY AUTHORIZED BY 5
	197	+	LAW IF THE GRANT REC IPIENT: 6
195	198
196		-	(A) ~~(1)~~ THE ~~DEPARTMENT AND A GRANT RECIPIEN T SHALL EXECUTE A~~ 7
197		-	~~PROGRAM AGREEMENT .~~ 8
	199	+	(I) VIOLATES ANY PROVISI ON OF THE PROGRAM AGREEMENT ; 7
	200	+	OR 8
198	201
199		-	(2) THE GRANT RECIPIENT S HALL COMPLY WITH THE TERMS OF THE 9
200		-	PROGRAM AGREEMENT . 10
	202	+	(II) DOES NOT MEET ANY RE QUIREMENT UNDER THIS SECTION. 9
201	203
202		-	(3) THE DEPARTMENT MAY EXERCISE ANY REM EDY AUTHORIZED BY 11
203		-	LAW IF THE GRANT REC IPIENT: 12
	204	+	(B) (1) ON OR BEFORE SEPTEMBER 1, 2025, AND EACH SEPTEMBER 1 10
	205	+	THEREAFTER, AN ORGANIZATION THAT RECEIVES A GRANT UND ER THE PROGRAM 11
	206	+	SHALL REPORT TO THE DEPARTMENT DOCUMENTING HOW THE ORGANIZATION 12
	207	+	USED THE GRANT MONEY RECEIVED IN THE IMME DIATELY PRECEDING FISCAL YEAR. 13
204	208
205		-	(I) ~~VIOLATES ANY PROVISI ON~~ OF ~~THE PROGRAM AGREEMENT ; 13~~
206		-	~~OR 14~~
	209	+	(2) THE REPORT REQUIRED U NDER PARAGRAPH (1) OF THIS 14
	210	+	SUBSECTION SHALL INC LUDE: 15
207	211
208		-	(II) ~~DOES NOT MEET ANY RE QUIREMENT UNDER THIS SECTION.~~ 15
	212	+	(I) INFORMATION ABOUT THE USE OF THE GRANT ; 16
209	213
210		-	(B) (1) ON OR BEFORE SEPTEMBER 1, 2025, AND EACH SEPTEMBER 1 16
211		-	THEREAFTER , AN ORGANIZATION THAT RECEIVES A GRANT UND ER THE PROGRAM 17
212		-	SHALL REPORT TO THE DEPARTMENT DOCUMENTING HOW THE ORGA NIZATION 18
213		-	USED THE GRANT MONEY RECEIVED IN THE IMME DIATELY PRECEDING FISCAL YEAR. 19
	214	+	(II) THE ECONOMIC IMPACT OF THE GRANT; AND 17
214	215
215		-	(2) THE ~~REPORT REQUIRED U NDER PARAGRAPH (1) OF THIS 20~~
216		-	~~SUBSECTION SHALL INC LUDE:~~ 21
	216	+	(III) ANY OTHER INFORMATIO N THE DEPARTMENT CONSIDERS 18
	217	+	NECESSARY TO DETERMI NE THE EFFECTIVENESS AND IMPACT OF THE PROGRAM. 19
217	218
218		-	(I) INFORMATION ABOUT THE USE OF THE GRANT ; 22
	219	+	(3) ON OR BEFORE DECEMBER 31, 2025, AND EVERY YEAR 20
	220	+	THEREAFTER , THE DEPARTMENT SHALL REPORT TO THE GENERAL ASSEMBLY, IN 21
	221	+	ACCORDANCE WITH § 2–1257 OF THE STATE GOVERNMENT ARTICLE, ON THE 22
	222	+	FOLLOWING INFORMATIO N FOR THE PRECEDING FISCAL YEAR: 23
219	223
220		-	(II) THE ~~ECONOMIC IMPACT~~ OF THE ~~GRANT~~; ~~AND 23~~
	224	+	(I) THE NUMBER OF GRANTS AWARDED UNDER THE PROGRAM; 24
221	225
222		-	(~~III~~) ~~ANY OTHER INFORMATIO N~~ THE ~~DEPARTMENT CONSIDERS 24~~
223		-	~~NECESSARY TO DETERMI NE THE EFFECTIVENESS~~ AND ~~IMPACT OF THE PROGRAM. 25~~
	226	+	(II) THE AMOUNT OF EACH G RANT AWARDED UNDER T HIS 25
	227	+	SECTION; AND 26
224	228
225		-	(3) ON OR BEFORE DECEMBER 31, 2025, AND EVERY YEAR 26
226		-	THEREAFTER , THE DEPARTMENT SHALL REPO RT TO THE GENERAL ASSEMBLY, IN 27
227		-	ACCORDANCE WITH § 2–1257 OF THE STATE GOVERNMENT ARTICLE, ON THE 28
228		-	FOLLOWING INFORMATIO N FOR THE PRECEDING FISCAL YEAR: 29
	229	+	(III) THE NAME AND LOCATIO N OF EACH ORGANIZATI ON 27
	230	+	AWARDED A GRANT UNDE R THE PROGRAM. 28
229	231
230		-	(I) THE NUMBER OF GRANTS AWARDED UNDER THE PROGRAM; 30 6 SENATE BILL 765
	232	+	5–2505. 29
	233	+	6 SENATE BILL 765
231	234
232	235
	236	+	(A) THERE IS A BUSINESS DIVERSITY INCUBATOR FUND. 1
233	237
234		-	(II) THE ~~AMOUNT~~ OF ~~EACH G RANT~~ AWARDED UNDER ~~THIS 1~~
235		-	SECTION~~; AND 2~~
	238	+	(B) THE PURPOSE OF THE FUND IS TO FUND GRANT S AWARDED UNDER THE 2
	239	+	PROGRAM IN ACCORDANCE WITH THIS SECTION . 3
236	240
237		-	(III) THE NAME AND LOCATIO N OF EACH ORGANIZATI ON 3
238		-	AWARDED A GRANT UNDE R THE PROGRAM. 4
	241	+	(C) THE DEPARTMENT SHALL ADMINISTER THE FUND. 4
239	242
240		-	5–2505. 5
	243	+	(D) THE FUND IS A SPECIAL, NONLAPSING FUND THAT IS NOT SUBJECT TO 5
	244	+	REVERSION UNDER § 7–302 OF THE STATE FINANCE AND PROCUREMENT ARTICLE. 6
241	245
242		-	(A) THERE IS A BUSINESS DIVERSITY INCUBATOR FUND. 6
	246	+	(E) THE STATE TREASURER SHALL HOLD THE FUND SEPARATELY , AND THE 7
	247	+	COMPTROLLER SHALL ACC OUNT FOR THE FUND. 8
243	248
244		-	(B) THE PURPOSE OF THE FUND IS TO FUND GRANT S AWARDED UNDER THE 7
245		-	PROGRAM IN ACCORDANCE WITH THIS SECTION. 8
	249	+	(F) THE FUND CONSISTS OF : 9
246	250
247		-	(C) THE ~~DEPARTMENT SHALL ADMINISTER~~ THE FUND~~. 9~~
	251	+	(1) MONEY APPROPRIATED I N THE STATE BUDGET TO THE FUND; AND 10
248	252
249		-	(D) ~~THE FUND IS A SPECIAL,~~ ~~NONLAPSING FUND THAT IS NOT SUBJECT TO 10~~
250		-	~~REVERSION UNDER § 7–302~~ OF THE ~~STATE FINANCE AND PROCUREMENT ARTICLE~~. 11
	253	+	(2) ANY OTHER MONEY FROM ANY OTHER SOURC E ACCEPTED FOR 11
	254	+	THE BENEFIT OF THE FUND. 12
251	255
252		-	(E) ~~THE STATE TREASURER SHALL HOLD THE FUND SEPARATELY~~, ~~AND THE 12~~
253		-	~~COMPTROLLER SHALL ACC OUNT FOR~~ THE ~~FUND~~. 13
	256	+	(G) (1) EXCEPT AS PROVIDED IN PARAGRAPH (2) OF THIS SUBSECTION , 13
	257	+	THE FUND MAY BE USED ONLY TO PROVIDE GRANTS UN DER THE PROGRAM. 14
254	258
255		-	(F) THE FUND CONSISTS OF : 14
	259	+	(2) UP TO 15% OF THE ANNUAL APPROP RIATION TO THE FUND MAY 15
	260	+	BE USED FOR THE ADMINISTRA TION OF THE FUND AND THE PROGRAM. 16
256	261
257		-	(1) MONEY APPROPRIATED I N THE STATE BUDGET TO THE FUND; AND 15
	262	+	(H) FOR EACH OF FISCAL YE ARS 2026 THROUGH 2031, THE GOVERNOR MAY 17
	263	+	INCLUDE IN THE ANNUA L BUDGET BILL AN APP ROPRIATION OF $5,000,000 TO THE 18
	264	+	FUND. 19
258	265
259		-	(2) ~~ANY OTHER~~ MONEY ~~FROM ANY OTHER SOURCE ACC EPTED FOR 16~~
260		-	THE ~~BENEFIT OF THE FUND~~. 17
	266	+	(I) THE STATE TREASURER SHALL INVES T THE MONEY OF THE FUND IN 20
	267	+	THE SAME MANNER AS O THER STATE MONEY MAY BE IN VESTED. 21
261	268
262		-	(G) (1) EXCEPT AS PROVIDED IN PARAGRAP H (2) OF THIS SUBSECTION , 18
263		-	THE FUND MAY BE USED ONLY TO PROVIDE GRANTS UN DER THE PROGRAM. 19
	269	+	5–2506. 22
264	270
265		-	(2) UP TO 15% OF THE ANNUAL APPROP RIATION TO THE FUND MAY 20
266		-	BE USED FOR THE ADMI NISTRATION OF THE FUND AND THE PROGRAM. 21
	271	+	NOTHING IN THIS SUBTITLE MAY BE CONSTRUED TO PROHIBIT AN 23
	272	+	ORGANIZATION FROM RE CEIVING FUNDS FROM A GOVERNMENT SOURCE OT HER 24
	273	+	THAN THE PROGRAM. 25
267	274
268		-	(H) FOR EACH OF FISCAL Y EARS 2026 THROUGH 2031, THE GOVERNOR MAY 22
269		-	INCLUDE IN THE ANNUA L BUDGET BILL AN APP ROPRIATION OF $5,000,000 TO THE 23
270		-	FUND. 24
271		-
272		-	(I) THE STATE TREASURER SHALL INVES T THE MONEY OF THE FUND IN 25
273		-	THE SAME MANNER AS O THER STATE MONEY MAY BE IN VESTED. 26
274		-
275		-	5–2506. 27
276		-	SENATE BILL 765 7
	275	+	SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July 26
	276	+	1, 2024. It shall remain effective for a period of 7 years and, at the end of June 30, 2031, 27
	277	+	this Act, with no further action required by the General Assembly, shall be abrogated and 28
	278	+	of no further force and effect. 29
277	279
278	280
279		-	NOTHING IN THIS SUBTITLE MAY BE CONSTRUED TO PROHIBIT AN 1
280		-	ORGANIZATION FROM RE CEIVING FUNDS FROM A GOVERNMENT SOURCE OT HER 2
281		-	THAN THE PROGRAM. 3
282		-
283		-	SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July 4
284		-	1, 2024. It shall remain effective for a period of 7 years and, at the end of June 30, 2031, 5
285		-	this Act, with no further action required by the General Assembly, shall be abrogated and 6
286		-	of no further force and effect. 7
287		-
288		-
289		-
290		-
291		-	Approved:
292		-	________________________________________________________________________________
293		-	Governor.
294		-	________________________________________________________________________________
295		-	President of the Senate.
296		-	________________________________________________________________________________
297		-	Speaker of the House of Delegates.