(c) The fund shall be held and applied by the center, subject to the approval of the board, to make qualified investments, grants, research and other funding and loans designed to advance the following public purposes for the life sciences in the commonwealth:

1. (i) to stimulate increased financing for the expansion of research and development by leveraging private financing for highly productive state-of-the-art research and development facilities, equipment and instrumentation and by providing financing related thereto, including, but not limited to, financing for the construction or expansion of such new facilities;
2. (ii) to make targeted investments, including, but not limited to, research funding, proof of concept funding and funding for the development of devices, drugs or therapeutics and to promote manufacturing activities for new or existing advanced technologies and life sciences research; provided, that funding provided for the purchase of equipment to be owned by, leased to or located within the premises of a private businesses shall be made in support of a partnership with an institution of higher education or nonprofit corporation with a mission of supporting the life sciences in the commonwealth; provided further, that a private university or business entity shall not be eligible for funding unless the center determines that such funding will result in a significant public benefit and any private benefit is incidental to a legitimate public purpose; and provided further, that grants shall be awarded in a manner that promotes geographic, social, racial and economic equity;
3. (iii) to make matching grants to colleges, universities, independent research institutions, nonprofit entities, public instrumentalities, companies and other entities in connection with support from the federal government, industry and other grant-funding sources related to the expansion of research and development and to increase and strengthen economic development, employment opportunities and commercial and industrial sectors in the field of life sciences;
4. (iv) to provide bridge financing to colleges, universities, independent research institutions, nonprofit entities, public instrumentalities, companies and other entities for the receipt of grants as described in clause (iii) awarded or to be awarded by the federal government, industry or other sources;
5. (v) to provide fellowships, co-ops, high school internships, for which additional consideration shall be given to minority students at schools where at least 80 per cent of the student population is eligible for free or reduced lunch, college internships, for which additional consideration shall be given to minority students enrolled full-time or part-time at a community college, loans and grants;
6. (vi) to provide workforce training grants to prepare individuals for life sciences careers;
7. (vii) to provide funding for development, coordination and marketing of higher education programs; and
8. (viii) to make qualified grants to certified life sciences companies for site remediation, preparation and ancillary infrastructure improvement projects.

9. (d) Proceeds of the fund may be used by the center to fund life sciences initiatives, including, but not limited to:

   1. (i) international trade initiatives;
   2. (ii) qualified grants and equity investments to further workforce development and education in the life sciences and to promote a diverse life sciences workforce in the commonwealth;
   3. (iii) activities that facilitate the transfer of technology from the commonwealth's research institutions to the commonwealth's life science industries for productive use by such industries and to make targeted investments in proof of concept funding for emerging technologies;
   4. (iv) a program to promote the research and development of plant-made pharmaceuticals and industrial products through field trials, in collaboration with the department of agricultural resources;
   5. (v) initiatives to promote the research, development, adoption and productive application of artificial intelligence within the commonwealth's life science industries;
   6. (vi) initiatives to promote health equity, including programs that help identify and address preventable disproportion and differences in the burden of disease or opportunities to achieve optimal health, experienced by populations that have been disadvantaged by their social or economic status, geographic location or environment;
   7. (vii) initiatives to promote the efficient collection, storage and sharing of biological samples and health information to assist with research and development of new treatments for disease or otherwise improve patient outcomes;
   8. (viii) initiatives to promote biomanufacturing and supply chain resiliency in the life sciences in the commonwealth;
   9. (ix) initiatives to promote diversity and equity in life sciences entrepreneurship; and

   10. (x) a program to make qualified equity investments in early-stage life sciences companies and enterprises seeking to raise seed capital; provided, however, that qualified equity investments shall not exceed $250,000 in any 1 enterprise; and provided further, that the center shall not make such qualified equity investments unless the investment has been approved by a majority vote of the board, the recipient is a life sciences company certified pursuant to section 5 and the center finds, to the extent possible, that a definite benefit to the commonwealth's economy may reasonably be expected from the qualified investment. In evaluating a request or application for a qualified equity investment, the center shall consider whether:

       1. (A) the proceeds of the equity investment shall only be used to cover the seed capital needs of the enterprise except as hereinafter authorized;
       2. (B) the enterprise has a reasonable chance of success;
       3. (C) the center's participation is necessary to the success of the enterprise because funding for the enterprise is unavailable in the traditional capital markets or contingent upon matching funds or because funding has been offered on terms that would substantially hinder the success of the enterprise;
       4. (D) the enterprise has reasonable potential to create a substantial amount of primary employment in the commonwealth;
       5. (E) the enterprise's principals have made or are prepared to make a substantial financial and time commitment to the enterprise; and
       6. (F) a reasonable effort has been made to find a professional investor to invest in the enterprise and whether such effort was successful.

       7. (e)

          1. (1) The center shall not make a qualified investment pursuant to subsection (c) unless:
       8. (i) the investment has been approved by a majority vote of the board;
       9. (ii) the recipient is a certified life sciences company pursuant to section 5 or a project or initiative listed in subsection (d);
       10. (iii) the securities to be purchased shall be qualified securities;
       11. (iv) there shall be a reasonable possibility that the center shall, at a minimum, recoup its initial investment;
       12. (v) binding commitments have been made to the center by the enterprise for adequate reporting of financial data to the center, including, but not limited to, a requirement for an annual or other periodic audit of the books of the enterprise, and for such control on the part of the center as the board shall consider prudent over the management of the enterprise, to protect the investment of the center, including, but not limited to, the board's right to access financial and other records of the enterprise; and

       13. (vi) the center finds, to the extent possible, that a definite benefit to the commonwealth's economy may reasonably be expected from the qualified investment; provided, that in evaluating a request or application for funding, the center shall consider the following:

           1. (A) the appropriateness of the project;
           2. (B) whether the project has significant potential to expand employment;
           3. (C) the project's potential to enhance technological advancements;
           4. (D) the project's potential to lead to a breakthrough medical treatment for a particular disease or medical condition;
           5. (E) the project's potential for leveraging additional funding or attracting resources to the commonwealth;
           6. (F) the project's potential to promote manufacturing in the commonwealth; and
           7. (G) evidence of potential royalty income and contractual means to recapture such income for the purposes of this chapter, as the center considers appropriate;

       14. (vii) to the extent the investment is a capital investment made pursuant to clause (viii) of subsection (c), the investment has been approved by the secretary of administration and finance upon request of the center; provided, however, that said request shall be submitted to the secretary of administration and finance in writing and shall include, but shall not be limited to:

           1. (A) a description of the project or program to be funded;
           2. (B) the economic benefits to the commonwealth which can reasonably be expected from the project or program;
           3. (C) a copy of the proposed contract or other document executing the transaction between the center and the recipient of the funds;
           4. (D) a description of the contractual or other legal remedies available to the center upon non-performance of the contract or other document executing the transaction by the recipient, including, but not limited to, any provisions for restitution or reimbursement of the funds granted, loaned or otherwise invested in or with the recipient; and
           5. (E) any other information as the secretary of administration and finance may determine; and
       15. (viii) the qualified investment conforms with the rules approved by the board.
       16. (2) Rules approved by the board shall set the terms and conditions for investments that shall constitute qualified investments, including, but not limited to, loans, guarantees, loan insurance or reinsurance, equity investments, grants awarded pursuant to clause (iii) of subsection (c), other financing or credit enhancing devices, as established by the center directly or on its own behalf or in conjunction with other public instrumentalities, or private institutions or the federal government. The rules shall provide that qualified investments made pursuant to clauses (i) and (ii) of said subsection (c) shall involve a transaction with the participation of at least 1 at-risk private party; provided, that the rules approved by the board shall establish the terms, procedures, standards and conditions which the center shall employ to identify qualified applications, process applications, make investment determinations, safeguard the fund, advance the objective of increasing employment opportunities, oversee the progress of qualified investments and secure the participation of other public instrumentalities, private institutions or the federal government in qualified investments; and provided further, that the rules shall provide for negotiated intellectual property agreements between the center and a qualified investment recipient which shall include, but shall not be limited to, the terms and conditions by which the fund's support may be reduced or withdrawn.
       17. (f) The center may solicit investments by private institutions or investors in the activities of the fund and may reach agreements with such private institutions or investors regarding the terms of any such investments, including, but not limited to, the rights of such investors to participate in the income or appropriation of the fund. To further the objective of securing investments by private institutions or investors in the activities of the fund pursuant to the preceding sentence, the center may develop a proposal creating a separate investment entity which shall permit the commingling of the fund's resources with the maximum participation by such private institutions or investors in a manner consistent with the public purpose of the fund and under the terms and conditions established to protect and preserve the assets of the fund.
       18. (g) Copies of the approved rules, and any modifications, shall be submitted to the clerks of the house of representatives and the senate, who shall forward the same to the house and senate committees on ways and means and the joint committee on economic development and emerging technologies.
       19. (h) Qualified investment transactions made by the center pursuant to this section shall not, except as specified in this chapter, be subject to chapter 175, or any successor thereto, and shall be payable solely from the fund and shall not constitute a debt or pledge of the full faith and credit of the commonwealth, the center or any subdivision of the commonwealth.
       20. (i) The center shall not make expenditures from or a commitment of the assets of the fund, including, but not limited to, the making of qualified investments secured by the fund, if following the making of said qualified investment, the amount of the fund shall be less than the minimum requirement established by the board.