(a) Subject to Section 20-75, the County may make and equity investment through the Economic Development Fund in a company that is located in the County or that agrees to relocate its business to the County.
(b) The proceeds of an equity investment made under subsection (a) may be used for:
(1) working capital;
(2) salaries;
(3) marketing materials;
(4) acquisition of inventory, equipment, or real property;
(5) construction;
(6) renovation;
(7) leasehold improvements; or
(8) research and development.
(c) The County may not acquire an ownership interest exceeding 25% of any company.
(d) The terms of an equity investment must be set forth in a funding agreement that prohibits the County from:
(1) participating in the selection of the management of the company;
(2) overseeing the operation of the company; and
(3) assuming any present or future liability of the company.
(e) A funding agreement may be:
(1) an investment agreement;
(2) a limited partnership agreement;
(3) a preferred stock purchase agreement; or
(4) other documents that the County may require.
(f) The Director of Finance must:
(1) record the value of the equity investment in the County’s Financial Statements consistent with Generally Accepted Accounting Principles;
(2) manage all equity investments acquired in accordance with the funding agreement and State and County law; and
(3) post notice of each equity investment made under this Section in a readily accessible and clearly identified location on the County website within 5 days after the date on which the County initiates the equity investment transaction.
(g) If an equity investment is liquidated through a sale or other disposition, the proceeds must be deposited in the County’s general fund. (2013 L.M.C., ch. 10, § 1.)