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*Editor’s note—2010 L.M.C., ch. 37, §3, states: Timetable. The first resolution adopted under Section 30B-2 [now Section 15A-2], inserted by Section 1 of this Act, must take effect on October 1, 2010. Any corporation that seeks to be designated as the County’s Business Development Corporation must submit proposed articles of incorporation and by laws to the County Executive and County Council by September 1, 2010.
Article I. Economic Development Corporation.
§ 15A-1. Policy objectives.
§ 15A-2. Designation.
§ 15A-3. Board of Directors.
§ 15A-4. Status; incorporation; bylaws.
§ 15A-4A. Economic Development Strategic Plan.
§ 15A-5. Economic development program.
§ 15A-6. Staff; support from County Government.
§ 15A-7. Report.
Article II. Workforce Development.
§ 15A-8. Policy objectives.
§ 15A-9. Designation.
§ 15A-10.
Board of Directors or Board of Trustees.
§ 15A-11. Status; incorporation; bylaws.
§ 15A-12. Workforce development program.
§ 15A-13. Staff; support from County Government.
§ 15A-14. Report.
(a) The future success of Montgomery County related to education, infrastructure, public safety, public welfare, and quality of life is:
(1) built on a vibrant and growing economy;
(2) successful businesses creating this economy; and
(3) government fostering a legislative and regulatory environment which encourages business success.
(b) To achieve these goals, the County Government may designate a nonprofit corporation as the Montgomery County Economic Development Corporation (Corporation) to implement the County’s economic development programs and activities. (2010 L.M.C., ch. 37, § 1; 2015 L.M.C., ch. 36, § 1; 2018 L.M.C., ch. 14, §1.)
(a) The County Council must designate, by resolution approved by the County Executive, a single nonprofit corporation which complies with all requirements and criteria of this Article as the Montgomery County Economic Development Corporation. If the Executive disapproves the resolution within 10 days after receiving it, the Council may readopt the resolution with at least 6 affirmative votes.
(b) To continue to qualify as the County’s Economic Development Corporation, the Corporation’s articles of incorporation and bylaws must comply with all requirements of this Article.
(c) Any designation under this Section expires at the end of the fifth full fiscal year after the resolution is adopted unless the Council extends the designation by adopting another resolution under this Section.
(d) The Council at any time may suspend or revoke the designation of a corporation as the County’s Economic Development Corporation by resolution, adopted after at least 15 days public notice that is approved by the Executive, or, if the Executive disapproves the resolution within 10 days after receiving it, is readopted by a vote of at least 6 Councilmembers. (2010 L.M.C., ch. 37, § 1; 2015 L.M.C., ch. 36, § 1; 2015 L.M.C., ch. 48, § 1; 2018 L.M.C., ch. 14, § 1.)
Editor’s note—2015 L.M.C., ch. 36, § 5, states: This Act revokes the designation of the Montgomery Business Development Corporation as the County’s business development corporation.
2015 L.M.C., ch. 36, § 8, also states, in part: Section 5 of this act takes effect when the Montgomery County Economic Development Corporation is designated under Section 30B-2 [now Section 15A-2].
2010 L.M.C., ch. 37, §3, states: Timetable. The first resolution adopted under Section 30B-2 [now Section 15A-2], inserted by Section 1 of this Act, must take effect on October 1, 2010. Any corporation that seeks to be designated as the County’s Business Development Corporation must submit proposed articles of incorporation and by laws to the County Executive and County Council by September 1, 2010.
(a) To qualify as the Montgomery County Economic Development Corporation, the Corporation’s Board of Directors must have 13 voting members appointed by the County Executive and confirmed by the County Council. The immediate past chair of the Corporation’s Board of Directors and the chief executive officer of the County’s Workforce Development Organization must be ex-officio, non-voting members of the Corporation’s Board of Directors. The Corporation’s Board of Directors must include one non-voting member appointed by the County Executive; and one non-voting member appointed by the County Council; and should have one non-voting member appointed by the Maryland Secretary of Commerce.
(b) Each voting member serves a 3-year term. The individual terms of the voting members must be staggered. Of the voting members first appointed, four must be appointed for a 1-year term, four must be appointed for a 2-year term, and three must be appointed for a 3-year term. The Executive may extend the term of a voting member first appointed for an additional 6 months or less to coincide with the end of a fiscal year. A voting member appointed to fill a vacancy serves the rest of the unexpired term. A voting member continues in office until his or her successor is appointed and confirmed.
(c) Each voting member must be either a resident of the County or a senior manager in a for- profit or nonprofit entity that has a significant presence in the County.
(d) A member must not be paid for service on the Board but may be reimbursed for necessary travel expenses.
(e) A member is not subject to Chapter 19A because of serving on the Board. The Corporation’s bylaws must protect against any conflict of interest or similar impropriety by members of the Board of Directors or the Executive Director or any other employees. The bylaws must include:
(1) a prohibition against self-dealing and collusive practices;
(2) a provision for the disclosure of a financial or similar interest of any person in any matter before the corporation that would create a conflict of interest;
(3) a provision establishing conditions under which a person is disqualified from participating in decisions or other actions in which there is a conflict between the person’s official duties and private interests;
(4) appropriate remedies for a violation of the bylaws, including removal or termination; and
(5) a policy to protect whistleblowers.
(f) Notwithstanding any inconsistent provision of County Code Section 19A-21, a member of the Board of Directors or a staff member of the Corporation who engages in legislative, administrative, or executive advocacy as part of that person’s duties is not required to register as a lobbyist under Article V of Chapter 19A because of that advocacy.
(g) The Board must direct the program, management, and finances of the Corporation. (2010 L.M.C., ch. 37, § 1; 2015 L.M.C., ch. 36, § 1; 2016 L.M.C., ch. 41, § 1; 2018 L.M.C., ch. 14, § 1; 2022 L.M.C., ch. 16, §1.)
Editor’s note—2022 L.M.C., ch. 16, § 2, states: Sec. 2. Expedited Effective Date; Transition. The Council declares that this legislation is necessary for the immediate protection of the public interest. This Act takes effect on the date on which it becomes law. The 2 voting members added to the Board of Directors of the Montgomery County Economic Development Corporation under Section 1 of this Act must not be appointed before January 1, 2023.
(a) To qualify as the County’s Economic Development Corporation, the Corporation’s articles of incorporation must provide for the appointment of the members of its board of directors as set forth in this Article. The articles of incorporation must also provide that the Corporation is:
(1) a Maryland nonprofit, non-stock corporation the purposes and activities of which are limited to those that are permitted to be promoted or performed by a corporation that is recognized as exempt from federal income tax under 26 U.S.C. § 501;
(2) not an instrumentality of the County;
(3) incorporated for the purpose of serving as the County’s Economic Development Corporation and implementing the County’s economic development strategic plan, adopted under Section 20-76, and related programs. These programs must include:
(A) attracting and retaining businesses;
(B) facilitating economic, industrial, and commercial development in the County;
(C) encouraging investment in commerce, industries, and businesses in the County;
(D) promoting job growth and talent attraction, in coordination with the Montgomery County Workforce Development Board;
(E) advising and informing County officials on economic development matters;
(F) providing services to resident businesses in the County, including business retention, counseling, business planning, and other services to maintain and grow the existing economic base;
(G) stimulating and nurturing the development of new business;
(H) supporting minority, female, and disabled owned businesses, including assisting minority, female, and disabled owned businesses to gain access to capital; and
(I) promoting the development of a vital and balanced economy.
(4) organized and operated under the laws of the State of Maryland; and
(5) headquartered in the County.
(b) The Corporation’s bylaws may contain any provision necessary to govern and manage the Corporation that does not conflict with this Article. The Corporation may exercise all powers and is subject to all requirements which apply to non-stock corporations under the Corporations and Associations Article of the Maryland Code.
(c) The bylaws must require the Corporation to comply with the Maryland Open Meetings law and the Maryland Public Information Act. (2010 L.M.C., ch. 37, § 1; 2015 L.M.C., ch. 36, § 1; 2015 L.M.C., ch. 48, § 1; 2018 L.M.C., ch. 14, § 1.)
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