620.644. Development of Missouri seed capital and commercialization strategy, required contents--no tax credits issued until board approves strategy tax credit maximum--board to approve managers of qu
Development of Missouri seed capital and commercialization strategy,required contents--no tax credits issued until board approvesstrategy tax credit maximum--board to approve managers ofqualified funds--rulemaking authority, procedure--reportingrequirements of board--qualified fund to provide annual auditedfinancial statements.
620.644. 1. The Missouri seed capital and commercialization strategyshall be jointly developed and approved by the boards of directors of allof the qualified economic development organizations and submitted as oneplan to the board for its approval. The board shall not approve anyqualified fund, exclusive of the fund approved by the corporation, unlesssuch fund is described in the Missouri seed capital and commercializationstrategy. The strategy shall include a proposal for the establishment andoperation of between one and four qualified funds in Missouri, includingthe fund approved by the corporation pursuant to the provisions of section620.653. The initial strategy shall be submitted to the board no laterthan July 1, 2000, and shall be approved or rejected by the board withinthree months of receipt. No tax credits authorized pursuant to theprovisions of sections 620.635 to 620.653 shall be awarded until suchstrategy has been approved by the board, other than tax credits authorizedfor qualified contributions to the fund approved by the corporation.
2. The department shall authorize the use of up to twenty milliondollars in tax credits by the approved qualified funds, in aggregatepursuant to the provisions of section 620.650, with not more than fivemillion dollars of tax credits being issued in any one year.
3. The board or corporation shall approve the professional managersemployed by the qualified funds according to criteria similar to that usedby the U.S. Small Business Administration's Small Business InvestmentCorporation Program.
4. The department may promulgate any rules and regulations necessaryto administer the provisions of sections 620.635 to 620.653. No rule orregulation or portion of a rule or regulation promulgated pursuant to theauthority of this section shall become effective unless it has beenpromulgated pursuant to the provisions of chapter 536, RSMo.
5. The Missouri seed capital investment board shall report thefollowing to the department:
(1) As soon as practicable after the receipt of a qualifiedcontribution the name of each person from which the qualified contributionwas received, the amount of each contributor's qualified contribution andthe tax credits computed pursuant to this section;
(2) On a quarterly basis, the amount of qualified investments made toany qualified business;
(3) On a quarterly basis, verification that the investment of seedcapital, start-up capital, or follow-up capital in a qualified businessdoes not direct more than ten percent of all the qualified contributions toa qualified fund to be invested in a single qualifying business.
6. Each qualified fund shall provide annual audited financialstatements, including the opinion of an independent certified publicaccountant, to the department within ninety days of the close of the statefiscal year. The audit shall address the methods of operation and conductof the business of the qualified economic development organization todetermine compliance with the statutes and program and program rules andthat the qualified contributions received by the qualified fund have beeninvested as required by this section.
(L. 1999 S.B. 518 § 4)Effective 7-8-99