Title
A RESOLUTION CONCERNING LOANS TO 2U, INC., (“2U”) FROM THE MARYLAND ECONOMIC DEVELOPMENT ASSISTANCE FUND (“MEDAF”) AND PRINCE GEORGE’S COUNTY, MARYLAND (THE “COUNTY”) for the purpose of endorsing a loan not to exceed two million dollars ($2,000,000) to 2U from the Maryland Department of Commerce, formerly the Maryland Department of Business and Economic Development, MEDAF program which, in conjunction with the conditional loan from the County’s Economic Development Incentive Fund (“EDI Fund”) not to exceed one million five hundred thousand dollars ($1,500,000), will be used for eligible project costs associated with a new facility in the County and capital expenditures.
Background
This Resolution will endorse the two million dollar ($2,000,000) loan given by the Maryland Economic Development Assistance Fund (“MEDAF”) to 2U, Inc., for the development project, in conjunction with the conditional County loan for matching funds from the County’s Economic Development Incentive Fund (“EDI Fund”) in the amount of one million five hundred thousand dollars ($1,500,000).
State law requires endorsement of MEDAF funds from the governing body within the jurisdiction benefiting from the Maryland Department of Commerce’s MEDAF program. Prince George’s County Code Sec. 10-287 states that written notification of intent to award financial assistance from the EDI Fund must be provided to Council.
The aforementioned Funds will help with the expansion and retention of the 2U development project in Prince George’s County. The proceeds of the loan will be used to reimburse eligible project costs at the project site, including construction or acquisition, furniture, fixtures and equipment costs.