Minnesota Session Laws - 1989, Regular Session

  

                         Laws of Minnesota 1989 

                         CHAPTER 320-H.F.No. 42 
           An act relating to economic development; permitting 
          the department of transportation and metropolitan 
          agencies to grant available money to a working capital 
          fund; proposing coding for new law in Minnesota 
          Statutes, chapters 161 and 473. 
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
    Section 1.  [161.3212] [WORKING CAPITAL FUND.] 
    The commissioner, to the extent allowed by other law or 
contract, may grant available money that has been appropriated 
for socially or economically disadvantaged business programs to 
a guaranty fund administered by a nonprofit organization that 
makes or guarantees working capital loans to businesses owned 
and operated by socially or economically disadvantaged persons 
as defined in Code of Federal Regulations, title 49, section 
23.5.  The purpose of loans made or guaranteed by the 
organization must be to provide short-term working capital to 
enable eligible businesses to be awarded contracts for goods and 
services or for construction related services from government 
agencies. 
     Money contributed from a constitutionally or statutorily 
dedicated fund must be used only for purposes consistent with 
the purposes of the dedicated fund. 
    Sec. 2.  [473.1425] [WORKING CAPITAL FUND.] 
    The metropolitan council or a metropolitan agency defined 
in section 473.121, subdivision 5a, to the extent allowed by 
other law or contract, may grant available money that has been 
appropriated for socially or economically disadvantaged business 
programs to a guaranty fund administered by a nonprofit 
organization that makes or guarantees working capital loans to 
businesses owned and operated by socially or economically 
disadvantaged persons as defined in Code of Federal Regulations, 
title 49, section 23.5.  The purpose of loans made or guaranteed 
by the organization must be to provide short-term working 
capital to enable eligible businesses to be awarded contracts 
for goods and services or for construction related services from 
government agencies. 
    Sec. 3.  [EFFECTIVE DATE.] 
    Sections 1 and 2 are effective the day following final 
enactment. 
    Presented to the governor May 30, 1989 
    Signed by the governor June 1, 1989, 11:45 p.m.