Bill Text: NJ A3629 | 2010-2011 | Regular Session | Introduced
Bill Title: Creates matching grant program for small businesses engaged in life sciences.
Spectrum: Partisan Bill (Democrat 5-0)
Status: (Introduced - Dead) 2011-01-20 - Reported as an Assembly Committee Substitute and Referred to Assembly Appropriations Committee [A3629 Detail]
Download: New_Jersey-2010-A3629-Introduced.html
Sponsored by:
Assemblywoman PAMELA R. LAMPITT
District 6 (Camden)
Assemblyman UPENDRA J. CHIVUKULA
District 17 (Middlesex and Somerset)
Assemblyman JOSEPH CRYAN
District 20 (Union)
SYNOPSIS
Creates matching grant program for small businesses engaged in life sciences.
CURRENT VERSION OF TEXT
As introduced.
An Act establishing a small business matching grant program for small life sciences businesses, transferring $2,500,000 of certain expended balance for appropriation to support the program, supplementing Title 34 of the Revised Statutes and amending P.L.2010, c.35, the fiscal year 2011 annual appropriations act.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. (New section) a. As used in this act:
"Authority" means the New Jersey Economic Development Authority established by section 4 of P.L.1974, c.80 (C.34:1B-4).
"Eligible small business" means a business entity that: (1) is independently owned and operated, is not dominant in its field of operation, is organized for profit with a place of business located in New Jersey, and operates primarily within New Jersey; and (2) does not exceed the applicable federal size standard for its industry as established under 13 C.F.R. Part 121.
"Life sciences" means the discover, production, or development of medical equipment, ophthalmic goods, medical or dental instruments, diagnostic substances, or biopharmaceutical products, or physical and biological research.
b. The authority shall establish and administer a small business matching grant program for the purpose of awarding grants to eligible small businesses that are engaged in life sciences.
c. Grants may be made on a matching dollar for dollar basis in the amount of federal grants received in accordance with subsection d. of this section to eligible small businesses up to a maximum of $250,000. The funds may be applied to any aspect of the business that supports its life sciences operations as determined by the authority.
d. In order to be eligible for a grant, a business, at the time of application, shall provide proof that it:
(1) is an eligible small business engaged primarily engaged in life sciences as determined by the authority; and
(2) has received a Phase II or post Phase II Small Business Innovation Research grant from a federal agency or a Phase II or post Phase II Small Business Technology Transfer Program grant from a federal agency, or equivalent small business innovation or small business technology transfer grant from a federal agency.
e. No application for a small business matching grant shall be approved if:
(1) the business has raised $10,000,000 or more in total equity financing;
(2) the business is more than 50 percent owned by a parent company that is an operating or holding company and has raised $10,000,000 or more in total equity financing or has received $10,000,000 or more financing from the parent company; or
(3) the business is more than 50 percent owned by a parent that is determined by the authority to be an investment company, investment partnership, or investment fund and has received $10,000,000 or more in financing from the parent company.
f. A business seeking to participate in the small business matching grant program shall submit an application in such form as the authority shall require. Such application shall include such information as the authority shall determine is necessary to administer the grant program.
g. The authority shall review and may approve an application for the grant program. The authority shall issue payment of the grant amount pursuant to a series of scheduled payments as the authority may determine and subject to the submission of proof by an approved applicant of the expenditures contributing to the retail investment. A grantee that fails to comply with a grant agreement that shall be made as a condition of a grant award shall repay any grant amount received and, if so determined by the authority, shall pay a penalty not in excess of 10 percent of the grant amount.
2. (New section) a. The authority shall establish and maintain the program with moneys to be used by the authority for the purposes specified in this act. Moneys to be utilized by the program shall include, but not be limited to:
(1) such moneys from the Securities Enforcement Fund account continued pursuant to section 15 of P.L.1985, c.405 (C.49:3-66.1), transferred to the authority pursuant to section 4 of P.L. , c. (C. ) (pending before the Legislature as this bill), that the authority determines are necessary in response to the demand for the program up to $750,000 per year;
(2) such moneys as may be available to the authority from other business development programs administered by the authority, or other State agencies or authorities which moneys the authority determines to be necessary in light of the volume of applications from qualified businesses for grants under the program as necessary to implement the purposes of this act; and
(3) such other moneys as may be made available.
b. Moneys in the program which are not allocated for current responsibilities of the program may be invested by the authority in any direct obligations as to which principal and interest are guaranteed by the United States of America or any other obligation deemed appropriate by the authority.
3. (New section) The authority may adopt such rules and regulations pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) as may be necessary to effectuate the purposes of this act.
4. The following language provision in section 1 of P.L.2010, c.35, the annual appropriations act for State fiscal year 2011, is amended to read as follows:
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66 DEPARTMENT OF LAW AND PUBLIC SAFETY 80 Special Government Services 82 Protection of Citizens' Rights DIRECT STATE SERVICES |
Notwithstanding the provisions of any other law or regulation to the contrary, receipts in excess of the amount anticipated and the unexpended balances at the end of the preceding fiscal year are appropriated to the Controlled Dangerous Substance Registration program for the purposes of offsetting the costs of the administration and operation of the program, subject to the approval of the Director of the Division of Budget and Accounting; provided however, that of such unexpended balances the sum of $2,500,000 is transferred to the Department of the Treasury and is appropriated to the New Jersey Economic Development Authority for the small business matching grant program established pursuant to P.L. , c. (C. ) (pending before the Legislature as this bill).
(cf: P.L.2010, c.35, s.1)
5. This act shall take effect immediately.
STATEMENT
This bill directs the New Jersey Economic Development Authority to establish and maintain small business matching grant program for the purpose of awarding grants to eligible small businesses engaged in life sciences that receive certain federal grants. The matching grants would be awarded on a dollar for dollar basis. "Eligible small business" is defined to mean a business entity: (1) that is independently owned and operated, is not dominant in its field of operation, is organized for profit with a place of business located in New Jersey, and operates primarily within New Jersey; and (2) that does not exceed the applicable federal size standard for its industry as established under 13 C.F.R. Part 121. "Life sciences" is defined to mean the discovery, production, or development of medical equipment, ophthalmic goods, medical or dental instruments, diagnostic substances, or biopharmaceutical products, or physical and biological research.
Under the program, matching grants of up to $250,000 would be awarded to eligible small businesses that are primarily engaged in life sciences as determined by the authority and have received a federal Phase II or post Phase II Small Business Innovation Research grant from a federal agency or a federal Phase II or post Phase II Small Business Technology Transfer Program grant from a federal agency.
The program will be funded from (1) $2,500,000 transferred from the Securities Enforcement Fund account established pursuant to section 15 of P.L.1985, c.405 (C.49:3-66.1), that the authority determines are necessary in response to the demand for the program up to $750,000 per year; (2) moneys as may be available to the authority from business development programs administered by the authority, other State agencies, or authorities and which the authority determines are necessary in response to the demand for the program; and (3) such other moneys as may be made available.
Moneys in the program which are not allocated for current responsibilities of the program may be invested by the authority in any direct obligations as to which principal and interest are guaranteed by the United States of America or any other obligation deemed appropriate by the authority.
