Annual review of small business investment companies; grounds for decertification; registration of investments for which tax credits are awarded; annual report by MDA; report contents.

Miss. Code Ann. § 57-115-9
in effect
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The MDA, or at its discretion the department, shall conduct an annual review of each Mississippi small business investment company to determine if a Mississippi small business investment company is abiding by the requirements of certification and to ensure that no investment has been made in violation this chapter. The cost of the annual review must be paid by each Mississippi small business investment company according to a reasonable fee schedule adopted by the MDA and/or the department. In the event the department conducts the annual review, the department shall provide copies of the review to the MDA. The MDA shall provide copies of each Mississippi small business investment company’s annual review to the Mississippi small business investment company reviewed. Any material violation of this chapter, including any material misrepresentation made to the MDA in connection with the application process, may be grounds for decertification of a Mississippi small business investment company and the disallowance of credits under this chapter, provided that in all instances the MDA shall provide notice to the Mississippi small business investment company of the grounds of the proposed decertification. The Mississippi small business investment company shall have at least one hundred twenty (120) days from receipt of notice from the MDA to remedy any violation before the decertification becomes effective. After a Mississippi small business investment company has invested an amount cumulatively equal to one hundred percent (100%) of its designated capital in qualified investments, provided that the Mississippi small business investment company has met all other requirements under this chapter as of that date, the Mississippi small business investment company shall no longer be subject to regulation by the MDA or the department or the reporting requirements under Section 57-115-7(2). Upon receiving certification by a Mississippi small business investment company that it has invested an amount equal to one hundred percent (100%) of its designated capital, the MDA must notify a Mississippi small business investment company within sixty (60) days that it has or has not met the requirements, with a reason for the determination if it has not met the requirements. The MDA must send written notice of any decertification proceedings to the Department of Revenue, the department, and to the address of each participating investor whose tax credit may be subject to recapture or forfeiture, using the address shown on the last filing submitted to the MDA. All investments by participating investors for which tax credits are awarded under this chapter must be registered or specifically exempt from registration. After January 1, 2015, the MDA must make an annual report to the Governor, the Chairman of the House Ways and Means Committee and Chairman of the Senate Finance Committee. The report must include: The number of Mississippi small business investment companies holding designated capital; The amount of designated capital invested in each Mississippi small business investment company; The cumulative amount that each Mississippi small business investment company has invested as of January 1, 2015, and the cumulative total each year thereafter; The cumulative amount of follow-on capital that the investments of each Mississippi small business investment company have created in terms of capital invested in qualified businesses at the same time or subsequent to investments made by a Mississippi small business investment company in the businesses by sources other than a Mississippi small business investment company; The total amount of investment tax credits applied for and allocated under this chapter for each year; The performance of each Mississippi small business investment company with regard to the requirements for continued certification; The classification of the companies in which each Mississippi small business investment company has invested according to industrial sector and size of company; The gross number of jobs created by investments made by each Mississippi small business investment company and the number of jobs retained; The location of the companies in which each Mississippi small business investment company has invested; Those Mississippi small business investment companies that have been decertified, including the reasons for decertification; and Other related information necessary to evaluate the effect of this chapter on economic development.

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