ENROLLED
Senate Bill No. 527
(Originating in the Committee on Finance)
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(Passed March 11, 1994; in effect from passage.)
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AN ACT to amend and reenact section seven, article seven, chapter
twelve of the code of West Virginia, one thousand nine
hundred thirty-one, as amended, relating to placing
limitations on investments by the jobs investment trust
board; providing for an additional short-term debt
investment; providing for an extension of the twelve-month
repayment term; specifying criteria for granting an
extension; and requiring the board to report any extension
to the governor and the Legislature.
Be it enacted by the Legislature of West Virginia:
That section seven, article seven, chapter twelve of the
code of West Virginia, one thousand nine hundred thirty-one, as
amended, be amended and reenacted to read as follows:
ARTICLE 7. JOBS INVESTMENT TRUST FUND.
§12-7-7. Limitation on investments.
Subject to the provisions of section nine of this article,
the board may invest in any eligible business:
Provided,
That at
the time of the placement of the investment not more than twenty
percent of the board's total investment portfolio is invested inone eligible business within any two-year period:
Provided,
however,
That the board may invest in an eligible business up to
an additional twenty percent of the board's total investment
portfolio, or up to a total of two million dollars, whichever is
less. The additional investment must be in the form of a short-
term debt investment to be repaid within twelve months of the
investment:
Provided further,
That the board may extend said
twelve-month repayment term until the thirtieth day of September,
one thousand nine hundred ninety-four, and upon terms consistent
with the actions of other investors involved in similar
investments with the eligible business if the eligible business
demonstrates to the board: (i) That said business is progressing
with a plan for capital formation and business development; and
(ii) that said extension of the twelve-month period, and any
other modification thereto, will not substantially prejudice the
position of the board in relation to the other investors in, and
creditors of, the eligible business. The board shall report any
extension of any repayment term made prior to the thirty-first
day of March, one thousand nine hundred ninety-four, and approved
by the board pursuant to the provisions of this section, to the
governor and to the Legislature's joint committee on government
and finance within twenty days of such approval:
And provided
further,
That the board shall report to the governor and the
joint committee on government and finance of its intention to
extend any repayment term at least twenty days prior to the board
approving any extension made on or after the first day of April,
one thousand nine hundred ninety-four.