1. A. Eligibility Criteria. TEDCO may make an award to an applicant, if TEDCO determines the applicant meets all of the following criteria:

   1. (1) Over half of the applicant’s workforce works at and from a physical location in the State;
   2. (2) The applicant’s principal business operations are conducted from a physical location in the State;
   3. (3) The applicant agrees to execute a securities repurchase agreement or an equivalent commitment, in the form determined and approved by the Office of the Attorney General, requiring the applicant to return to the Fund any money from an award including accrued interest and fees, if the applicant does not remain a qualified business for at least 2 years after receiving the award;
   4. (4) The applicant agrees to return the award if the applicant fails to fulfill the eligibility and maintenance requirements of the Program as set forth in the Act and §A of this regulation;

   5. (5) The applicant agrees to use the award primarily to:

      1. (a) Support business operations in the State; or
      2. (b) In the case of a start-up business, establish and support business operations in the State;
   6. (6) The applicant employs not more than 250 employees;
   7. (7) The applicant is not primarily engaged in retail sales, real estate development, insurance, banking, or lending;
   8. (8) The applicant is not primarily engaged in the provision of professional services by accountants, attorneys, or physicians;
   9. (9) The applicant has received a Phase I or Phase II SBIR award or STTR award during the 6 months immediately preceding the submission of the applicant’s application under the Program;
   10. (10) The applicant has received no prior award under the Program in the current fiscal year; and
   11. (11) The applicant has received less than three awards under the Program.

2. B. Eligibility Information. In order to be considered for an award by TEDCO, an applicant shall submit to TEDCO a written application in accordance with Regulation .04 of this chapter with sufficient information for TEDCO to establish eligibility under §A of this regulation, including:

   1. (1) The total number of the applicant’s founders and employees and the number of the applicant’s founders and employees working in the State;
   2. (2) The address of the applicant’s principal business operations in the State and a copy of the lease, license agreement, deed, or other document that evidences the applicant’s right to occupy the physical location of the principal business operations;
   3. (3) Addresses of all the physical locations of the applicant;
   4. (4) A copy of the applicant’s proposal submitted to a federal agency for a SBIR award or a STTR award;
   5. (5) A copy of the applicant’s SBIR award or STTR award notification; and
   6. (6) Any other information required by TEDCO as necessary to establish that the applicant is eligible for an award under the Program.
3. C. Verification of Information Submitted to TEDCO. An applicant shall verify, in a form approved by the Office of the Attorney General, the information the applicant submits to TEDCO in an application for an award.

Authority: Economic Development Article, §10-462, Annotated Code of Maryland

Effective date:

Regulations .01 — .07 adopted effective March 17, 2025 (52:5 Md. R. 238)