The agency shall not participate in a project unless it determines, in writing, that its participation is necessary because without such participation adequate funding for the project would not be available or would be offered on terms that would preclude the success of the project. The agency shall prioritize participation in projects that enhance the quality of life of a target area as defined in section 2 of chapter 40H or enhance the quality of life and promote employment opportunities for low- and moderate-income residents of the commonwealth. If a certified community development corporation requests that the agency participate in a project, the agency shall make a determination of whether the project is likely to provide employment opportunities to or enhance the quality of life of low- and moderate-income residents of the commonwealth, or whether the project supports the creation or expansion of the business sector in the region served by the CDC.
If the agency desires to sell or otherwise dispose of stock received under a contract under this section, the small business or entity undertaking a project, or the small business or entity's nominee, shall not later than 120 days have the right of first refusal upon the sale and the right to meet a subsequent bona fide offer by a third party. The agency shall not, individually or in combination with a corporation established or invested in by the agency under this section, own more than 49 per cent of the voting stock in a small business. Upon the request of the agency, the commissioner of banks shall examine the books of a corporation established or invested in by the agency under this section, if such examination is a condition of the particular investment, lending, loan guaranty or grant program administered by such corporation.
Mass. Gen. Laws ch. 23G, § 23G:48