§ 5-332

(a) A local government shall use a grant under this part:

(1) to provide loans or loan guarantees, or to subsidize the interest rate on loans, for financing economic development projects; or

(2) to provide loans to small businesses.

(b) The Department may require that money from a grant under this part be returned to the Department if the local economic development fund is inactive for more than 2 years after the grant is made.