NY-COM Economic Development Law NY

Short title. This chapter shall be known as the "economic

development law".

Definitions. Whenever used in this chapter:

1. "Department" shall mean the state department of economic

development.

2. "Commissioner" shall mean the commissioner of economic development.

3. The term "atomic energy" means all forms of energy released in the

course of nuclear fission or nuclear fusion or other nuclear

transformation.

4. The term "science oriented industry and applied research" means

industrial or commercial activities and applied research in the fields

of atomic energy, space development, marine sciences, ocean engineering

and other science oriented or advanced technology industry.

5. "Telecommuting" shall mean the conservation of energy through the

reduction of travel by employees of the department to and from their

designated workplace through the use of telecommunication and computer

technology in tasks including, but not limited to, information transfer

and processing.

6. "Animal fiber" means natural fibers that have formed the covering,

or fleece, of sheep or other hairy animals such as goats or alpacas,

shorn for the purpose of creating textile products.

7. "Plant fiber" means natural fibers that are obtained from plants

and used to create textile products including, but not limited to, hemp.

Department of economic development; commissioner. There shall be

in the state government a department of economic development. The head

of the department shall be the commissioner of economic development who

shall be appointed by the governor, by and with the advice and consent

of the senate, and hold office until the end of the term of the governor

by whom he was appointed and until his successor is appointed and has

qualified. The principal office of the department shall be in the city

of Albany. Regional offices may be established and maintained by the

department in such places as the commissioner may determine and for

which appropriations are made by the legislature. The commissioner may,

with the commissioners of general services, transportation and labor,

develop and institute a procedure for the uniform collection of

employment and economic data within the state for use in connection with

the scheduling of public works projects.

Investing in care. 1. The commissioner shall study, develop, and

propose how to implement a long-term strategy to support the growth of

the caregiving industry in New York state. Such strategy shall be

developed in consultation with the department of health, the department

of labor, the office of children and family services and any other state

agencies or other such organizations or persons as the commissioner

shall deem appropriate. Such strategy shall be based on an analysis of

financial support needed for:

(a) growth of caregiving industry businesses and non-profits;

(b) workforce development, recruitment, and retention needs in the

caregiving industry; and

(c) innovation and new modes of caregiving delivery in the caregiving

industry.

2. Within one year of the effective date of this section, the

commissioner shall submit a report of his or her findings,

recommendations, and plan for implementation of such long-term strategy,

to the governor, the temporary president of the senate and the speaker

of the assembly.

3. For the purposes of this section, "caregiving industry" shall

include, but not be limited to: direct care, home care, child care,

adult care, private and non-profit nursing homes and residential

facilities, and other entities that support formal and informal

caregiving, as the commissioner shall deem necessary and appropriate.

Technical assistance to municipalities related to college and

university closures. The department shall provide to any municipality,

upon request, technical assistance in the event of a college or

university closing in such municipality, on topics including but not

limited to:

1. workforce transition and development;

2. attracting new employers and economic opportunities;

3. developing plans for the land and buildings formerly occupied by

such college or university; and

4. recommendations and planning assistance for dealing with creditors

and other entities having a financial interest in such college or

university's assets located in such municipality, provided, however,

that the state shall not become a party to any legal proceedings

pursuant to this section.

Organization of department; officers and employees. The existing

divisions and bureaus of the department are continued; provided,

however, that the commissioner, with the approval of the governor, may

establish additional divisions and bureaus, change the names of existing

divisions or bureaus, or may consolidate divisions and bureaus as he may

deem necessary or appropriate to carry out the functions of the

department. The commissioner may appoint deputy commissioners and

assistant deputy commissioners to serve during his pleasure and assign

to each the work which shall be under his supervision. Each deputy

commissioner and assistant deputy commissioner shall be a person

qualified by training and experience for the performance of the duties

assigned to him. Deputy commissioners and assistant deputy commissioners

shall be deemed to occupy confidential positions to the commissioner,

and may be appointed without competitive examination. Subject to the

provisions of the civil service law and rules, the commissioner may

appoint such other officers, employees, agents and consultants as may be

necessary, prescribe their duties, fix their compensation and provide

for payment of their reasonable expenses, all within amounts available

therefor by appropriation. The commissioner may transfer officers or

employees from their positions to other positions in the department, or

abolish or consolidate such positions.

General powers of department. The commissioner acting by and

through the department of economic development shall have power and it

shall be his duty:

1. to investigate, study and undertake ways and means of promoting and

encouraging the prosperous development and protection of the legitimate

interest and welfare of New York business, industry and commerce, within

and outside the state;

2. to serve as a clearing house for industrial problems of the state;

3. to promote and encourage the expansion and development of markets

for New York products;

4. to promote and encourage the location and development of new

business in the state as well as the maintenance and expansion of

existing business and for that purpose to cooperate with state and local

agencies and individuals both within and outside the state;

5. to investigate and study conditions affecting New York business,

industry and commerce, and to collect and disseminate information, and

engage in technical studies, scientific investigations and statistical

research and educational activities necessary or useful for the proper

execution of the powers and duties of the department in promoting and

developing New York business, industry and commerce both within and

outside the state;

6. to plan and develop an effective business information service both

for the direct assistance of industry of the state and for the

encouragement of industries outside the state to use business facilities

within the state;

7. to compile, collect and develop periodically, or otherwise make

available, scientific indices and other information relating to current

business conditions;

8. to encourage and develop commerce with other states and foreign

countries, and to devise ways and means of removing trade barriers

hampering the free flow of commerce between this state and other states,

including such barriers as preferences and similar price distorting

mechanisms and other forms of discrimination used in the procurement of

goods and services by the public sector or influenced by the public

sector;

9. to cooperate with interstate commissions engaged in formulating and

promoting the adoption of interstate compacts and agreements helpful to

business, industry and commerce;

10. to conduct or encourage research designed to further new and more

extensive uses of the natural and other resources of the state, and

designed to develop new products and industrial processes;

11. to study trends and developments in the industries of the state

and to analyze the reasons underlying such trends; to study costs and

other factors affecting successful operation of businesses within the

state; and to make recommendations regarding circumstances promoting or

hampering industrial development;

12. to compile periodically a census of business and industry in the

state with the cooperation of other agencies; and to analyze and publish

this information in such form as to be most valuable to the business and

industry of the state;

13. to make to the governor and to the legislature, from time to time,

recommendations for the study or improvement of any conditions, and for

the elimination of any restrictions and burdens imposed by law, or

otherwise existing, which adversely affect or retard the legitimate

development and expansion of business, industry or commerce;

14. to publicize the material and economic advantages of the state

which render it a desirable place for business and residence;

15. (a) to collect, compile and distribute information and literature

as to the facilities, advantages and attractions of the state, the

historical and scenic points and places of interest within the state and

the transportation and highway facilities of the state;

(b) in the discharge of this power, the commissioner may enter into a

contract for publication of a state travel guide to promote tourism.

Such contract may provide for the sale of advertising by the contractor.

A contract for publication of a state travel guide shall be awarded

following consideration of factors which shall include, but not be

limited to, the most favorable financial advantage for the state, the

best representation of the state of New York and its services, and the

greatest utility to the traveller. The commissioner shall promulgate

regulations by the first day of November next succeeding the effective

date of this paragraph to guide the preparation of bids and the

deadlines for selection of a competent contractor and publication of the

state travel guide. The regulations shall, at a minimum, limit

advertising content to no more than thirty percent of the space

available and establish responsibility for preparation and placement of

appropriate editorial content and an equitable listing without charge or

other consideration of attractions and activities available to the

tourist in New York state. Such regulations shall provide for approval

of the commissioner at critical stages of state travel guide development

and advertising standards and rates. Furthermore, such regulations shall

provide minimum financial terms and responsibilities of the state and

the contractor, the allocation of any revenues derived from the

production of the travel guide and securities which shall be required of

the contractor.

16. to plan and conduct a program of information and publicity

designed to attract tourists, visitors and other interested persons from

outside the state to this state and also to encourage and coordinate the

efforts of other public and private organizations or groups of citizens

to publicize the facilities and attractions of the state for the same

purposes;

16-a. to promote the growth of fruit growing, fruit processing, and

winery businesses in cooperation with the commissioner of agriculture

and markets and the urban development corporation. The commissioner in

promoting such businesses may also help to promote tourist programs

specified in subdivision sixteen of this section and encourage the

retention of agricultural lands and preservation of open spaces.

16-b. to promote the expansion of animal and plant fiber production,

fiber processing, and textile manufacturing from animal or plant fiber

grown or produced predominantly in New York state in cooperation with

the commissioner of agriculture and markets and the urban development

corporation. The commissioner in promoting such businesses may also help

to promote tourist programs specified in subdivision sixteen of this

section and encourage the retention of agricultural lands and

preservation of open spaces.

16-c. to promote local small businesses listed on the registry of

historic businesses maintained pursuant to section 14.11 of the parks,

recreation and historic preservation law.

18. to encourage and cooperate with other public and private

organizations or groups in publicizing the attractions and industrial

advantages of the state;

18-a. (a) to establish, in cooperation with the commissioner of

agriculture and markets and the state liquor authority, procedures for

proposing to the governor nominations for annual awards to be known as

"New York state wine retailers awards". These non-monetary awards shall

be given in recognition of unusual efforts made by restaurants, and/or

retailers licensed to sell alcoholic beverages for off-premises

consumption, to inform consumers as to the availability, diversity and

excellence of wines made in the state from grapes grown in the state,

and to feature these wines. The governor shall, at their discretion,

issue up to three awards annually.

(b) to establish, in cooperation with the commissioner of agriculture

and markets and the state liquor authority, procedures for proposing to

the governor nominations for annual awards to be known as "New York

state liquor retailers awards", "New York state beer retailers awards",

"New York state cider retailer awards", and "New York state mead

retailers awards". These non-monetary awards shall be given in

recognition of unusual efforts made by restaurants, and/or retailers

licensed to sell alcoholic beverages for off-premises consumption, to

inform consumers as to the availability, diversity and excellence of

liquors, beers, cider, and mead made in the state from products grown in

the state, and to feature these products. The governor shall, at their

discretion, issue up to three awards in each category annually.

18-b. (a) to promote, in cooperation with the New York wine and grape

foundation, state policies that will encourage the production and sale

of New York labelled wines.

(b) to promote, in cooperation with the department of agriculture and

markets and the state liquor authority, state policies that will

encourage the production and sale of New York labelled beers, ciders,

liquors, and mead.

18-c. to establish, in cooperation with the commissioner of

agriculture and markets, procedures for proposing nominations, including

procedures to coordinate with such commissioner to determine which

department shall make nominations for awards in categories that may be

similar to those listed in subdivision nine of section three hundred

nine of the agriculture and markets law to the governor for four annual,

non-monetary awards to be known as: (a) New York State Direct Farm

Marketing Award; (b) New York State Agri-Tourism Award; (c) New York

State Specialty Food Product Award; and (d) New York Animal or Plant

Fiber and Textile Award. These awards shall be given in recognition of

unusual efforts by farmers, food processors, food retailers, fiber

processors, and textile manufacturers and retailers for the marketing of

New York state grown agricultural commodities, foods processed from or

primarily containing New York state agricultural commodities, or

textiles manufactured in New York state from animal or plant fiber grown

or produced predominantly in New York state and for promoting New York

state farms that are also tourist destinations.

18-d. To establish, in consultation with the New York state tourism

advisory council, a New York hall of fame passport permitting admission

to recognized halls of fame situated within the state.

18-e. to establish, in cooperation with the urban development

corporation and the commissioner of agriculture and markets and other

economic development agencies a program to promote the agriculture

industry and other related industries in the state in a manner

consistent with the provisions of article five-D of this chapter.

18-f. to establish procedures, guidelines or regulations related to

implementation of the "NY-USA Proud" employer of distinction award.

These non-monetary awards shall be given in recognition of companies

that show exceptional support for military personnel including military

reservists and national guard members. To promote and market such award,

the commissioner may design an appropriate symbol that may be registered

as a trademark in the office of the secretary of state. Any such

trademark shall be registered by the secretary of state without the

exaction of any fee therefor. The commissioner may in his or her

discretion register any such mark with the United States government and

any other state or foreign country.

18-g. to establish procedures, guidelines or regulations related to

implementation of the "Patriot Support and Discount Program". This

voluntary program shall recognize those merchants, businesses or

companies that provide exceptional support to their employees who serve

in the military, including military reservists and national guard

members, or agree to provide reduced price discounts for merchandise and

services for military personnel including military reservists and

national guard members. At the discretion of the commissioner,

participating merchants, businesses or companies may become eligible for

inclusion in the "NY-USA Proud" program.

18-h. to include in the "NY-USA Proud" program those companies who

provide accident prevention courses approved by the commissioner of

motor vehicles at a reduced rate to the servicemen and women who have

returned from a combat theater or combat zone of operations.

18-i. To aid the department of agriculture and markets and office of

general services in providing a training program once per year, in each

economic development region, established in article eleven of this

chapter, to encourage and increase participation in the procurement

process, pursuant to article eleven of the state finance law, by small

businesses, as defined in section one hundred thirty-one of this

chapter, including farms, selling food or food products grown, produced,

harvested, or processed in New York state, or selling animal or plant

fiber products grown, harvested and processed in New York state and

textile products manufactured in New York state from animal or plant

fiber grown or produced predominantly in New York state, and assist such

businesses in identifying such food, food products, or animal or plant

fiber products and textile products which may help to meet state

agencies' needs.

18-j. to assist the urban development corporation to establish a

searchable database pursuant to section fifty-eight of section one of

chapter one hundred seventy-four of the laws of nineteen hundred

sixty-eight, constituting the New York state urban development

corporation act.

18-k. to promote, in cooperation with associations representing New

York growers, fiber processors, and textile manufacturers, state

policies that will encourage the production and sale of textile products

manufactured in New York state from animal or plant fiber grown or

produced predominantly in New York state.

19. (a) to study changes in and to suggest policies for the economic

development and conservation of the resources of the state and to

develop an annual statewide economic development strategic plan. Such

strategic plan, shall include but shall not be limited to, a statewide

inventory of all industry associations and clusters; a list of

industries that have a competitive advantage; and a list of industries

that demonstrate the potential for growth. The department shall work in

cooperation with the New York State Foundation for Science, Technology

and Innovation in creating the strategic plan. The annual statewide

economic development strategic plan shall be submitted to the temporary

president of the senate and the speaker of the assembly on January

first, two thousand eight and every year thereafter.

(b) to cause to be prepared program plans for the economic development

financial assistance programs of the state, in cooperation with the

agency or public benefit corporation or public authority, consistent

with the legislative intent and statutory authorization for such

programs. Program plans shall be derived from and shall be consistent

with the annual economic development strategic plan and, accordingly,

may be updated as necessary. Such plans shall be transmitted to the

agency or public authority or public benefit corporation responsible for

administering the program and to the speaker of the assembly and the

temporary president of the senate within ninety days of the effective

date of any statute authorizing such program. With respect to existing

economic development financial assistance programs, the commissioner

shall transmit program plans on or before July first, nineteen hundred

eighty-eight.

Program plans shall describe the goals, objectives and priorities of

each financial assistance program, shall guide the development of

operating procedures and rules and regulations governing each financial

assistance program, shall set forth the manner in which the financial

assistance program shall be coordinated with other economic development

programs and shall set forth a description of the operating

relationships with relevant agencies and regional and local public and

private organizations;

20. to cooperate with and assist other state departments, boards,

commissions, agencies, public benefit corporations and public

authorities in the preparation of policies for the economic development

of the state and to assist in such entities' development of rules and

regulations governing economic development financial assistance

programs, and policies for the use and conservation of its resources;

21. to inquire into and report to the governor when requested by the

governor, with respect to any program of public state improvements and

the financing thereof; and to request and obtain information from the

state department of transportation and other state departments or

agencies such information and data as may be needed properly to report

thereon;

22. to advise and cooperate with municipal, county, regional and other

local agencies within the state for the purpose of promoting

coordination between the state and the localities as to economic

development;

23. to confer and cooperate with the authorities of the United States

and neighboring states and of the counties and municipalities of such

neighboring states, for the purpose of bringing about a coordination

between the economic development of such neighboring states, counties

and municipalities and the economic development of the state of New

York;

24. to adopt such measures as may best be calculated to promote public

interest in and understanding of the problems of economic development,

and to that end may publish and distribute copies of any plan or any

report and may employ such other means of publicity and education as

shall give full effect to the provisions of this chapter;

25. To act as the agent of the state and its political subdivisions

for the purpose of approving applicants for financial assistance from

any federal agency for industrial development or redevelopment purposes,

whenever the terms of any act of congress heretofore or hereafter

enacted for such purposes require the state or any political subdivision

thereof to approve applicants for such assistance, and to take any

further action which may be required under the terms of such act.

26. To provide all necessary staff services, accounting, clerical and

secretarial assistance, and office space and equipment requested by the

New York job development authority.

27. To act as the agent of the state to administer, carry out and

coordinate any federal law now or hereafter enacted by the congress to

promote economic growth by supporting state and regional centers to

place the findings of science usefully in the hands of American

enterprise and, for such purposes, to receive federal funds for

technical services programs and enter into any necessary contracts or

compacts in connection therewith, to take any further action which may

be required under the terms of any such federal act, including but not

limited to the establishment and operation of state or regional

technical information centers.

28. To provide all necessary staff services, accounting, clerical and

secretarial assistance and office space and equipment requested by the

New York state job incentive board.

29. to advise the governor, the legislature and other state agencies

with regard to research and development and the establishment of state

policies relating thereto, in connection with science oriented industry

and applied research.

29-a. to advise the governor, the legislature and other state agencies

with regard to research and development and the establishment of state

policies relating thereto, in connection with the animal and plant fiber

and fiber textile manufacturing industries and applied research.

30. to cooperate with all private persons and governmental entities

concerned with science oriented industry and applied research.

30-a. to cooperate with all private persons and governmental entities

concerned with the animal and plant fiber and fiber textile

manufacturing industries and applied research.

31. to sponsor, foster and support research and to sponsor or conduct

studies relating to science oriented industry and applied research.

31-a. to sponsor, foster and support research and to sponsor or

conduct studies relating to the animal and plant fiber and fiber textile

manufacturing industries and applied research.

32. to review and evaluate the status and to encourage and promote the

development of science oriented industry and applied research designed

to further new and more extensive use of the resources and manpower of

the state.

32-a. to review and evaluate the status and to encourage and promote

the development of the animal and plant fiber and fiber textile

manufacturing industries and applied research designed to further new

and more extensive use of the resources and manpower of the state.

33. the department shall adopt, amend or rescind, in accordance with

the state administrative procedure act, such rules, regulations and

orders as may be necessary or convenient to the performance of its

functions, powers and duties under this chapter. Such rules and

regulations shall be consistent with any program plans required by

subdivision nineteen of section one hundred of this chapter.

34. the department may enter into contracts with any person, firm,

corporation or governmental agency, and do all things necessary or

convenient to carry out the functions, powers and duties expressly set

forth in this article.

35. to promote, publish, and disseminate the rules and regulations

promulgated by the industrial commissioner pursuant to article

twenty-six of the labor law.

36. (a) The commissioner shall solicit research firms to evaluate the

promotional effectiveness and economic impact of the department's

tourism advertising campaigns. The commissioner shall cause said

research firms to submit to the department and the legislative fiscal

committees, at least six weeks prior to the conducting of their

research, a research design indicating the techniques planned to measure

such promotional effectiveness and economic impact; provided, however,

that no firm selected shall do both the promotional effectiveness and

economic impact studies nor shall have participated in the development

of marketing the tourism campaign.

(b) The commissioner shall submit all preliminary reports of such

firms to the legislative fiscal committees within two weeks of receipt

of such reports; the final reports shall be submitted by the

commissioner to the legislative fiscal committees and the tourism

advisory council no later than December first of each year.

37. to review and evaluate the economic impact of the downhill ski

industry on the state's economy and to advise the governor, legislature,

and other state agencies of the results of such review and evaluation.

37-a. The commissioner shall make an annual report to the governor and

legislature on or before the fifteenth day of May for the preceding

calendar year. It shall include a summary of all contacts received from

business entities by the department, including the department's district

offices. The report shall set forth the types of contacts, the purposes

of such contacts and include a summary of the results of all such

contacts by business entities. The report shall also indicate which

contacts were made by small business concerns as defined by section one

hundred thirty-five-a of the state finance law. No provision of this

subdivision shall be deemed to require or authorize the disclosure of

confidential information or trade secrets.

37-b. The requirements to report contained in the following provisions

of this chapter shall be satisfied, notwithstanding any inconsistent

provision appearing therein, by the commissioner who shall consolidate

into one combined annual report all of the information required to be

submitted in separate reports by the following provisions of this

chapter. This consolidated annual report of the commissioner shall be

submitted to the governor and the legislature on or before October first

of each year and shall replace the requirements for separate reports

contained in the following provisions of this chapter. In order to

fulfill his or her responsibility under this subdivision, the

commissioner may require the submission to him or her a sufficient

period of time in advance of October first of each year by any advisory

committee or other body required to submit a report pursuant to the

following provisions of this chapter of all information which would

otherwise be required to be included in the report of such advisory

committee or other body. The following provisions of this chapter

containing requirements to submit recurring reports shall be subject to

the requirements of this subdivision:

(a) Section one hundred ninety-five, on the operation and

accomplishments of the industrial effectiveness program.

(b) Paragraph (a) of subdivision seven of section two hundred two,

regarding the current status of the skills development assistance

program.

(c) Subdivision two of section two hundred twelve of this chapter,

submitting the results of the annual evaluation of the entrepreneurial

assistance programs established under article nine of this chapter.

(d) Subdivision two of section two hundred twenty-three, reporting the

results of the annual evaluation of the effectiveness of the export

trade development projects and other technical assistance programs

authorized under article ten.

(e) Paragraph (a) of subdivision three of section two hundred

forty-one, submitting the annual findings and recommendations of the

advisory council on economic information and research.

(f) Subdivision eight of section two hundred fifty, regarding the

current status of the industrial infrastructure development program.

38. to contract for and to accept any gifts or grants or loans of

funds or property of financial or other aid in any form from the federal

government or any agency or instrumentality thereof, or from the state

or any agency or instrumentality thereof, or from any other source, for

any or all of the purposes specified in this chapter, with the terms and

conditions thereof; and

39. (a) To assist the superintendent of financial services to solicit,

evaluate, develop and provide information to banking corporations,

principally engaged in doing business within the state, about various

methods used by banking corporations to provide financing for businesses

engaged in the export of products and services to foreign countries.

(b) The commissioner shall evaluate such information as may be

available to the department and help identify local regional banking

corporations currently serving the state exporters and shall assist the

superintendent of financial services in determining the status of local

and regional banking corporations in export financing so that in

cooperation with the department of financial services, a program shall

be developed by which new banking corporations may be brought into the

export financing sector and potential and current state exporters may be

given a wider choice of available financing sources for medium and small

export transactions.

(c) The commissioner shall further inform the superintendent of

financial services of any changes which the department projects may

occur in the international business community about which the

commissioner may become aware so that the superintendent of financial

services may provide the most timely and accurate information to the

state banking community.

(d) The commissioner shall promote, publish and disseminate

information concerning the current export trade engaged in by

corporations doing business in the state, in particularly identifying

those areas, fields of endeavor and under-utilized industrial resources

which could be exported in greater volume creating an increased need for

financing by local and regional banks.

40. to assist the secretary of state to promote and make information

available regarding technical and financial assistance for waterfront

revitalization programs for economically distressed and severely

economically distressed municipalities on inland waterways, as provided

by section nine hundred fifteen-a of the executive law.

40-a. to develop a plan to maximize the use of telecommuting to

conserve energy otherwise used by the personnel of the department in

commuting to their assigned workplace. Within one year of the effective

date of this subdivision, the department shall submit a report to the

governor and the legislature on the impact of such plan to include, but

not be limited to, energy conservation, air quality, workforce

acceptance, office costs and potential cost savings.

* 41. To investigate innovative approaches to private sector work and

employee compensation arrangements, such as flexible hours and job

sharing, flexible compensation and benefit plans including employee

assistance programs, employer-supported dependent care and family leave,

which will benefit both employers and employees by improving

productivity and morale, lowering rates of absenteeism, tardiness and

turnover, and enhancing a company's image.

* NB There are 2 sb 41's

* 41. to administer and operate a linked deposit program pursuant to

article fifteen of the state finance law.

* NB There are 2 sb 41's

42. To promote the advantages of such flexible work arrangements and

benefit plans to business organizations and associations and to

individual firms and to assist such groups or firms with instituting

such arrangements and benefit plans.

43. To work with the New York job development authority, the New York

state urban development corporation and other economic development

agencies in promoting the inclusion of dependent care facilities as part

of business expansion, industrial park, multi-tenant building or other

projects assisted by the authority, the corporation or other agencies.

44. to foster and promote, and to enlist the New York job development

authority, the New York urban development corporation and other public

authorities, public benefit corporations and state agencies to foster

and promote, the re-use and rehabilitation of existing buildings or

sites, or both, as part of business expansion, industrial park,

multi-tenant building or other projects assisted by a public authority,

a public benefit corporation and/or a state agency.

45. to license, maintain and lease where appropriate an official

brand, "I Love NY". Such brand shall be maintained, leased and applied

pursuant to section one hundred fifty-two of this chapter.

46. to prepare an annual summary for the small business community of

the key legislative, budgetary and regulatory changes impacting small

businesses. Agencies shall cooperate with the department in developing

the annual summary. The annual summary shall be written in plain

language and shall provide specific contact information within the

appropriate agency for inquiries regarding implementation and

compliance. The annual summary shall be posted on the department website

on or before September first of each year.

47. to, with funds appropriated for this purpose, post on the

department's website information related to New York state programs

providing assistance to small businesses or minority and women-owned

business enterprises. The commissioner shall determine which programs to

feature on the department's website, in consultation with the urban

development corporation, which may include, but not be limited to,

programs offered by state and federal agencies or other entities, to

provide financial and technical assistance to minority and women-owned

business enterprises and small businesses, provided that the website

shall provide information on any department or urban development

corporation programs relating to obtaining bonding or bridge loans.

Posted information may include, but not necessarily be limited to, a

program description, the type of assistance offered, application

information, and contact information or website address for the entity

offering such assistance. The department shall post the information

described herein so as to allow individuals to: (a) search for featured

minority and women-owned business enterprises and small businesses

assistance programs pursuant to article nine of this chapter; (b)

complete applications for assistance in obtaining bonding, as well as

applications to any other programs providing financial assistance that

the department deems feasible; and (c) obtain access to census data from

the most recent United States census.

48. to cooperate with and provide assistance to the commissioners of

environmental conservation and transportation to implement the

provisions of title five of article forty-nine of the environmental

conservation law.

49. to exercise all other powers and functions necessary or

appropriate to carry out the duties and purposes set forth in this

chapter.

Comprehensive economic development reporting. The department

shall prepare an annual comprehensive economic development report, no

later than December thirty-first of each year, listing economic

development assistance provided by the New York state urban development

corporation and the department, including but not limited to tax

expenditures, marketing and advertising, grants, awards and loans. Such

comprehensive report shall include aggregate totals for each economic

development program administered by the New York state urban development

corporation and the department, including but not limited to program

progress, program participation rates, economic impact, regional

distribution, industry trends, and any other information deemed

necessary by the commissioner. The department shall prominently post the

comprehensive economic development report on its website no later than

January first of each year.

Assistance of other departments, agencies and political

subdivisions. The commissioner may request from any department,

division, office, commission or other agency of the state or any

political subdivision thereof, and the same are authorized to provide,

such assistance, services and data as may be required by the department

in carrying out the purposes of this article, and such funding,

including but not limited to charge backs for allocated costs, as the

director of the budget may approve.

Atomic energy council. 1. There shall be within the department,

the atomic energy council (hereinafter sometimes referred to as the

"council"), which shall consist of the commissioner and such other

representatives of state departments, agencies and instrumentalities

importantly concerned with atomic energy and such other persons as the

governor may from time to time designate who shall serve at the pleasure

of the governor.

2. Each member of the council may, by official order filed with the

council, designate a deputy, who, in the case of a member who is an

official of the state, any instrumentality, agency or subdivision

thereof, shall be an officer of his department, commission or public

benefit corporation, to perform his duties under this article. The

designation of such deputy shall be deemed temporary only and shall not

affect the civil service or retirement rights of any person so

designated.

3. The members of the council and their respective deputies, if any,

shall serve without compensation, but each of them shall be entitled to

reimbursement for his actual and necessary expenses incurred in the

performance of his official duties.

4. The commissioner shall serve as chairman of the council and may

appoint such subordinates and employees as may be necessary to carry out

the duties imposed upon the council by law. At any meeting or proceeding

not attended by the chairman, the council shall elect an acting

chairman. Legal, technical, scientific, engineering and other services

for the council, other than those performed by employees of the council,

shall be performed by personnel of the department, the state departments

of health and labor, or other departments or agencies of the state.

Assistance of other departments, agencies and political

subdivisions; review of regulations. 1. All agencies and

instrumentalities of the state, all political subdivisions thereof and

all agencies of such subdivisions shall keep the council fully and

currently informed as to their activities relating to atomic energy or

ionizing radiation.

2. The council may request from any such agency, instrumentality or

any such political subdivision or any agency of such subdivision, and

the same are authorized to provide, such assistance, services and data

as may be required by the council in carrying out its functions, powers

and duties.

3. No rule, regulation or ordinance or amendment thereto or repeal

thereof, primarily and directly relating to atomic energy or the use of

atomic energy, which any agency, instrumentality of the state, any

political subdivision thereof or agency of such subdivision may propose

to issue or promulgate, shall become effective until ninety days after

it has been submitted to the council, unless either the governor by

order or the council by resolution waives such waiting period.

Radioactive byproducts special fund. 1. There is hereby

continued in the custody of the state comptroller a special fund, known

as the "radioactive byproducts special fund."

2. All moneys received by the council from making charges or

administering, controlling, or disposing of radioactive byproducts or

from otherwise operating, developing and managing facilities after

assumption of jurisdiction thereof by the council pursuant to

subdivision six of section one hundred four of this article, and all

moneys received by the council in connection with such assumption of

jurisdiction, shall be deposited directly in the radioactive byproducts

special fund.

3. The moneys of the radioactive byproducts special fund, subject to

segregation by the director of the budget, shall be available for

payment of any and all costs and expenditures, including those incurred

pursuant to contracts and arrangements entered into, in carrying out the

purposes of subdivision six of section one hundred four of this article,

and costs and expenditures incidental and appurtenant thereto. All

payments from such fund shall be made on the audit and warrant of the

state comptroller on vouchers approved by the executive director or any

other person designated by the council.

4. In the event that the council shall determine by resolution that

the purposes for which the radioactive byproducts special fund is

established have ceased to exist, or that such fund contains money in

excess of the amount of money required to accomplish such purposes, it

shall deliver a copy of such resolution to the state comptroller, who

thereupon shall pay forthwith all moneys in the radioactive byproducts

special fund or such excess, as the case may be, into the state treasury

to the credit of the general fund.

5. Subject to the provisions of subdivision four of this section, the

state comptroller shall invest and keep invested the moneys of the

radioactive byproducts special fund.

No disqualification. No member of the council, no deputy of

such member, and no member of any advisory committee serving without

compensation other than reimbursement of expenses incurred, shall be

disqualified from holding any other public office or employment, nor

shall he forfeit any such office or employment by reason of his

appointment hereunder, notwithstanding the provisions of any general,

special or local law, ordinance or city charter.

Office of minority and women's business development; transfer.

All the functions and powers possessed by and all the obligations and

duties of the governor's office of minority and women's business

development office, created and established in the executive law

pursuant to and by chapter two hundred sixty-one of the laws of nineteen

hundred eighty-eight, are hereby transferred and assigned to, assumed by

and devolved upon the department of economic development.

Division of minority and women's business development. There is

hereby created within the department of economic development a division

of minority and women-owned business development. The director of such

division shall be appointed by the governor, shall report directly to

the commissioner on the activities of the division, and shall hold

office at the pleasure of the commissioner. The commissioner may appoint

such officers, employees, agents, consultants and special committees as

he or she may deem necessary to carry out the provisions of this article

and prescribe their duties.

Power and duties. In addition to the power and duties conferred

by section one hundred sixteen of this article, the division shall have

the additional power and duty to:

1. Coordinate with all state agencies performing functions affecting

the operations of minority business enterprises, and women-owned

business enterprises, as such terms are defined in section two hundred

ten of this chapter;

2. Receive complaints and inquiries of operators of minority and

women-owned business enterprises and refer them to the appropriate

federal, state or local agency for appropriate action on such

complaints;

3. Solicit recommendations from the operators of minority and

women-owned business enterprises for improving existing state programs

and refer such recommendations to the governor, the legislature and

appropriate state agencies or authorities;

4. Advise and make recommendations to the commissioner and the

legislature on matters affecting the minority and women-owned business

enterprises of the state and promote and encourage the protection of the

legitimate interests of minority and women-owned business enterprises

within the state;

5. Conduct investigations, research, studies and analyses of matters

affecting the interests of minority and women-owned business

enterprises;

6. Study the implementation of the laws affecting minority and

women-owned business enterprises and recommend to the commissioner new

laws and amendments of laws for the benefit of minority and women-owned

business enterprises; and review pending legislation affecting minority

and women-owned business enterprises and report its findings to the

commissioner;

7. Provide technical assistance and information to minority and

women-owned business enterprises in the state on economic development

programs administered by the department, including, but not limited to:

(a) the empire zones program, established pursuant to article eighteen-B

of the general municipal law, (b) the industrial effectiveness program,

established pursuant to article seven of this chapter, (c) the economic

development skills training program, established pursuant to article

eight of this chapter, and (d) the entrepreneurial assistance program,

established pursuant to article nine of this chapter;

8. Provide technical assistance and information to minority and

women-owned business enterprises in the state on economic development

programs administered by agencies other than the department, including,

but not limited to programs administered by the urban development

corporation, the job development authority and the science and

technology foundation;

9. Be responsible for conducting minority and women-owned business

enterprise assistance programs and for coordinating the activities of

all other state agencies acting within the scope of this section; and

10. Carry out the activities to implement the minority and women-owned

business enterprise assistance programs, to the extent practicable,

within amounts appropriated therefor by;

(a) collecting and maintaining information identifying certified

minority and women-owned business enterprises within New York state;

(b) collecting, maintaining, and providing information to potential

users identifying existing contracting and procurement opportunities

within and outside New York state;

(c) maintaining, providing and marketing a compilation of existing

programs providing assistance for minority and women-owned business

enterprises;

(d) identifying special needs and problems facing minority and

women-owned business enterprises within New York state;

(e) contacting institutions, organizations and commercial enterprises

that are potential consumers of minority and women-owned business

products and services; urging their expanded consumption of such goods

and services;

(f) facilitating the establishment of minority and women-owned

business enterprises; and

(g) providing information concerning local and regional opportunities

for minority and women-owned business enterprises.

Assistance of other agencies. To effectuate the purposes of

this article, the commissioner may request from any department,

division, board, bureau, commission or other agency of the state or from

any public corporation or district, and the same are authorized to

provide, such assistance, services and data as will enable the office to

properly carry out its functions, powers and duties hereunder.

Advisory board; creation. 1. There is hereby created in the

division of minority and women's business development a minority and

women-owned business enterprise advisory board. The board shall consist

of twelve members to be appointed by the governor. The governor shall

designate a chairperson from the members of the advisory board, to serve

as such at the pleasure of the governor. In appointing the members of

the advisory board the governor shall ensure that six of the members are

individuals who are currently involved in the ownership and/or operation

of a minority or women-owned business enterprise or who have extensive

experience in minority and women-owned business enterprise ownership

and/or operation, and that at least two of the members are individuals

representing banking, community development financial, insurance or

surety bonding institutions.

2. All members of the advisory board shall serve for terms of three

years, such terms to commence on April first, and expire on March

thirty-first; provided, however, that of the six members first appointed

two shall be appointed for one-year terms expiring on March

thirty-first, nineteen hundred ninety-three, two shall be appointed for

two-year terms expiring on March thirty-first, nineteen hundred

ninety-four, and two shall be appointed for three year terms expiring on

March thirty-first, nineteen hundred ninety-five; and that four

additional members, one on the recommendation of the temporary president

of the senate, one on the recommendation of the minority leader of the

senate, one on the recommendation of the speaker of the assembly and one

on the recommendation of the minority leader of the assembly shall be

appointed for three year terms expiring on March thirty-first, nineteen

hundred ninety-five and every three years thereafter.

3. The advisory board shall meet regularly at least one time in each

year. Special meetings may be called by its chairperson and shall be

called by the chairperson at the request of the director of the division

of minority and women's business development.

4. No member of the advisory board shall be disqualified from holding

any other public office or employment, nor forfeit any such office or

employment by reason of appointment hereunder, notwithstanding the

provisions of any general, special or local law, ordinance or city

charter.

5. The members of the advisory board shall receive no compensation for

their services but shall be allowed their actual and necessary expenses

incurred in the performance of their duties hereunder.

6. The board shall have the power and duty to:

(a) advise the commissioner in carrying out the functions, powers and

duties of the division, as set forth in this article;

(b) advise the commissioner, the governor, and the legislature

concerning recommended legislation necessary to foster and promote the

prosperity, expansion and development of minority and women-owned

business enterprises within the state;

(c) advise the commissioner, the governor, and the legislature

concerning existing laws, rules, regulations and practices of state

agencies which are counter-productive or inimical to the prosperity,

expansion and development of minority and women-owned business

enterprises within the state;

(d) advise the commissioner, the governor, and the legislature

concerning the development of inter-governmental cooperation among

agencies of the federal, state and local governments and cooperation

between private industry and government so as to assure the optimum

development of minority and women-owned business enterprises; and

(e) serve as a catalyst for creating and maintaining a minority and

women-owned business enterprise consciousness in New York state.

(f) establish procedures for making annual awards to be known as "New

York State Minority and Women-Owned Business Excelsior Awards". These

non-monetary awards shall be given in recognition of unusual performance

by persons, firms and organizations which are engaged in the operation

of a New York state minority and women-owned business enterprise or

which are engaged in activities to assist minority and women-owned

business enterprises in the state. The board may nominate up to five

award winners annually and forward such names to the governor for

consideration. The governor may designate award winners from these

nominees. Current members of the advisory board are not eligible as

nominees.

7. The commissioner shall provide the board with such staff assistance

and support services as necessary for the board to perform the functions

required of it under this section.

Legislative findings and objectives. The legislature hereby

finds and declares that:

1. small-business has been a major positive factor in the political,

economic and social development of the state;

2. the future welfare of the state depends on the continued

development of small-business;

3. the state has a responsibility to assist in small-business

development in furtherance of the general welfare.

Division for small-business; commissioner; employees. There is

hereby created within the department of economic development a division

for small-business. The head of such office shall be a deputy

commissioner, who shall be appointed by the commissioner, and shall hold

office during the pleasure of the commissioner. The commissioner may

appoint such officers, employees, agents, consultants and special

committees as he may deem necessary to carry out the provisions of this

article and prescribe their duties.

Small-business advisory board; creation. 1. There is hereby

created in the division for small business a small business advisory

board. The board shall consist of seventeen members to be appointed by

the governor, with the advice and consent of the senate. The governor

shall designate a chairman from the members of the advisory board, to

serve as such at the pleasure of the governor. In appointing the members

of the advisory board the governor shall ensure that at least nine of

the members are individuals who are currently involved in the ownership

and/or operation of a small business or who have extensive experience in

small business ownership and/or operation, and that at least two of the

members are individuals representing banking, community development

financial, insurance or surety bonding institutions.

2. All members of the advisory board shall serve for terms of three

years, such terms to commence on April first, and expire on March

thirty-first; provided, however, that of the nine members first

appointed three shall be appointed for one-year terms expiring on March

thirty-first, nineteen hundred seventy-eight, three shall be appointed

for two-year terms expiring on March thirty-first, nineteen hundred

seventy-nine, and three shall be appointed for three year terms expiring

on March thirty-first, nineteen hundred eighty; and that six additional

members, two on the recommendation of the temporary president of the

senate, one on the recommendation of the minority leader of the senate,

two on the recommendation of the speaker of the assembly and one on the

recommendation of the minority leader of the assembly shall be appointed

for three year terms expiring on March thirty-first, nineteen hundred

eighty-four and every three years thereafter.

3. The advisory board shall meet regularly at least four times in each

year. Special meetings may be called by its chairman and shall be called

by him at the request of the deputy commissioner of the division for

small-business.

4. No member of the advisory board shall be disqualified from holding

any other public office or employment, nor shall he forfeit any such

office or employment by reason of his appointment hereunder,

notwithstanding the provisions of any general, special or local law,

ordinance or city charter.

5. The members of the advisory board shall receive no compensation for

their services but shall be allowed their actual and necessary expenses

incurred in the performance of their duties hereunder.

6. The board shall have the power and duty to:

(a) advise the commissioner in carrying out the functions, powers and

duties of the division, as set forth in this article;

(b) advise the commissioner, the governor, and the legislature

concerning recommended legislation necessary to foster and promote the

prosperity, expansion and development of small business concerns within

the state;

(c) advise the commissioner, the governor, and the legislature

concerning existing laws, rules, regulations and practices of state

agencies which are counter-productive or inimical to the prosperity,

expansion and development of small business concerns within the state;

(d) advise the commissioner, the governor, and the legislature

concerning the development of inter-governmental cooperation among

agencies of the federal, state and local governments and cooperation

between private industry and government so as to assure the optimum

development of small business concerns;

(e) issue an annual report to the commissioner, the governor and the

legislature recommending cost-effective ways to simplify access to state

government for small businesses;

(f) serve as a catalyst for creating and maintaining a small business

consciousness in New York state;

(g) establish procedures for making annual awards to be known as "New

York State Small Business Awards". These non-monetary awards shall be

given in recognition of unusual performance by persons, firms and

organizations which are engaged in the operation of New York state small

businesses or which are engaged in activities to assist small businesses

in the state. The board may nominate up to five award winners annually

and forward such names to the governor for his consideration. The

governor may designate award winners from these nominees at his

discretion. Current members of the advisory board are not eligible as

nominees;

(h) advise the commissioner on recommendations for the selection of a

minority and women-owned business enterprise statewide advocate as set

forth by section three hundred eleven-a of the executive law; and

(i) report to the commissioner, the governor and the legislature on

agency use of streamlined optional adjudicatory proceedings for small

businesses.

7. The commissioner shall provide the board with such staff assistance

and support services as necessary for the board to perform the functions

required of it under this section.

Powers and duties of the division for small-business. The

division shall have the power and duty to:

1. coordinate the activities of all state agencies performing

functions affecting the operation of small-businesses in the state;

2. receive complaints of operators of small-businesses and refer them

to the appropriate federal, state or local agency authorized by law for

appropriate action on such complaints;

3. advise and make recommendations to the commissioner on matters

affecting the small-businesses of the state and promote and encourage

the protection of the legitimate interests of small-businesses within

the state;

4. conduct investigations, research, studies and analyses of matters

affecting the interests of small-businesses;

5. represent the interests of small-businesses in the state before

federal, state and local administrative and regulatory agencies;

6. study the operation of the laws affecting small-businesses and

recommend to the commissioner new laws and amendments of laws for the

benefit of small-businesses;

7. review pending legislation affecting small-businesses and report

its findings to the commissioner; and

8. initiate and encourage small-business education programs in general

and to coordinate with the functions of the office of general services

an information and outreach program directed toward informing

small-businesses in the state of procedures necessary for competing for

state purchases and to coordinate with the functions of every state

agency, department or authority described in section one hundred

thirty-nine-g of the state finance law, pursuant to subdivision (b) of

section one hundred thirty-nine-g of the state finance law, an

information and outreach program directed toward informing

small-businesses in the state of procedures necessary for competing for

state contracts, including without limitation educating small

contractors about surety bonding requirements on state contracts, and

identifying resources available to such contractors in obtaining their

first bond and in increasing their bonding capacity, including but not

limited to the federal small business administration bond guarantee

program.

9. the commissioner and the commissioners of agriculture and markets

and the office of general services shall initiate and encourage

small-business education programs and coordinate with the functions of

the office of general services, pursuant to subdivision (b) of section

one hundred sixty-one-b of the state finance law, an information and

outreach program directed toward informing eligible businesses in the

state of procedures necessary for competing for purchases of food

products pursuant to section one hundred seventy-four-a of the state

finance law and subdivision eight-a of section one hundred three of the

general municipal law, and to coordinate with the functions of every

state agency or department described in subdivision (b) of section one

hundred thirty-nine-g of the state finance law, an information and

outreach program directed toward informing eligible businesses in the

state of procedures necessary for competing for contracts for the

purchase of food products pursuant to section one hundred seventy-four-a

of the state finance law and subdivision eight-a of section one hundred

three of the general municipal law.

10. conduct a survey of all business incubators in the state and

assess the need for additional incubator facilities to nurture the

growth and development of small businesses.

11. provide assistance to small business in the state, and facilitate

access to programs serving small business, to ensure that such

businesses benefit, as needed, from technical, managerial, financial,

and general business assistance; training; marketing; organization and

personnel skill development; project management assistance; technology

assistance; bond and insurance education assistance; online marketplace

lending awareness and assistance; and other business development

assistance. In addition, either independently or in conjunction with

other state agencies:

(a) develop a clearinghouse of information on programs and services

provided by entities that may assist such businesses;

(b) seek to maximize utilization by small businesses of available

federal resources including but not limited to federal grants, loans,

loan guarantees, surety bonding guarantees, technical assistance, and

programs and services of the federal small business administration; and

(c) develop and implement, in conjunction with the department of

financial services, a small business online marketplace lending

education and outreach campaign to educate businesses in plain-language

as to the true costs associated with obtaining loans from online

marketplace lenders including true and up-front transparent pricing and

terms, the disclosure of annualized percentage rates, interest rates,

fees and charges; disclosure of terms for repayment, early repayment,

and refinancing of a loan and any penalties that may be applied; and any

other information that is deemed necessary by the department of economic

development. The department of economic development shall develop and

implement a plan to distribute such information to small business

owners, including but not limited to, printed material, publication on

the internet and through coordination with other state entities that

routinely interact with small businesses in this state. The department

of economic development shall make translations of all educational

materials available in languages other than English, including the six

most common non-English languages spoken by individuals in this state.

12. compile an annual report on the state of small businesses,

particularly those with twenty-five employees or less which shall be

known as micro-businesses under this subdivision. The commissioner

shall, on or before June first, two thousand fourteen and annually

thereafter, submit to the governor, the temporary president of the

senate and the speaker of the assembly a report that shall include, but

not be limited to, the following information for each calendar year:

(a) the growth and economic trends of small businesses which may be

categorized by various small business sizes and/or sectors;

(b) an analysis of relevant and available employment, statistical and

economic data of the various small business sectors throughout New York

state, which may be categorized by various small business sizes;

(c) suggestions to improve the efficiency of existing loan programs;

(d) suggestions to improve small business growth;

(e) statistical and economic analysis of the state of small businesses

by various small business sizes and/or sectors; and

(f) identification and review of the local and state regulations,

fines and penalties particular to small businesses which may be

categorized by various small business sizes and/or sectors.

The division shall collaborate with other state and local agencies to

develop the annual report. The office shall maintain and publish such

information on the small business directory webpage in a manner that

allows individuals to search the report by name, date, or type of

statistics. The format of the annual report shall be developed in

consultation with various small business owners to ensure the

information collected, analyzed, and published for the purposes of this

subdivision is representative of all small businesses in the state.

Assistance of other agencies. 1. To effectuate the purposes of

this article, the commissioner may request from any department,

division, board, bureau, commission or other agency of the state or from

any public corporation or district, and the same are authorized to

provide, such assistance, services and data as will enable the office

properly to carry out its functions, powers and duties hereunder.

2. On or before July first, two thousand twenty-one, and on or before

such date annually thereafter, every state agency and public authority

shall provide to the department of economic development a list of

programs, including a description of each of such programs, offered by

such state agency or public authority to assist small businesses doing

business within this state and the contact information for such

programs. Such program information provided to the department shall

include employment level requirements or business industry or ownership

requirements of the business and will be categorized as such by the

department of economic development.

Rules and regulations. The commissioner shall adopt rules and

regulations to effectuate the purposes of this article. The division of

small-business advisory board shall recommend to him criteria for

inclusion therein.

Small business stationary source ombudsman program. 1. There

is hereby established within the division for small businesses a small

business stationary source ombudsman program. The primary purpose of the

small business stationary source ombudsman program is to represent small

business stationary sources on issues relating to compliance with the

federal Clean Air Act, 42 U.S.C. Section 7401 et seq. as amended by

Public Law 101-549, November fifteenth, nineteen hundred ninety,

hereinafter referred to as the "Act", and to refer small business

stationary sources to appropriate entities for assistance in compliance

with article nineteen of the environmental conservation law and the Act.

For purposes of this section a small business stationary source shall

have the same meaning as in section 19-0313 of the environmental

conservation law.

2. The department shall, through the small business stationary source

ombudsman program, perform all functions necessary to implement the

requirements of section 7661f of the Act including:

a. soliciting input from small business stationary sources regarding

compliance with the Act and article nineteen of the environmental

conservation law, including interacting with organizations representing

small businesses such as trade associations or other entities;

b. participating in, and facilitating and promoting the participation

of small business stationary sources in the development and

implementation of rules and regulations adopted pursuant to article

nineteen of the environmental conservation law;

c. participating in, and sponsoring meetings with the department of

environmental conservation, local air pollution control agencies,

industry groups and small business representatives;

d. providing guidance and recommendations to the department of

environmental conservation on the development, content and operation of

the small business stationary source technical and environmental

compliance assistance program as created by section 19-0313 of the

environmental conservation law;

e. distributing to small business stationary sources information and

materials on the requirements of the Act and article nineteen of the

environmental conservation law;

f. reporting to the small business stationary source compliance

advisory panel as established pursuant to section 19-0315 of the

environmental conservation law on any problems or difficulties

experienced by small business stationary sources in complying with

article nineteen of the environmental conservation law and the Act,

including the degree and severity of enforcement;

g. aiding in the investigation and resolution of complaints and

disputes from small business stationary sources against the department

of environmental conservation and local air pollution control

authorities;

h. conducting periodic evaluations of all aspects of the small

business stationary source technical and environmental compliance

assistance program as identified under section 19-0313 of the

environmental conservation law including reviewing the work and services

of the program with trade associations and representatives of small

business;

i. reviewing and providing comments and recommendations to the United

States environmental protection agency and the department of

environmental conservation regarding the development and implementation

of regulations that impact small business stationary sources;

j. arranging for and assisting in the preparation of guidance

documents by the small business stationary source technical and

environmental compliance assistance program as required pursuant to

section 19-0313 of the environmental conservation law to ensure that the

language is readily understandable by the lay person;

k. referring small business stationary sources to specialists for

information and assistance on affordable alternative technologies,

process changes, products and operational methods to help reduce air

pollution;

l. providing information to small business stationary sources on

state-sponsored programs offering financial and technical assistance,

and in locating sources of funding for compliance with the requirements

of article nineteen of the environmental conservation law and the Act;

and

m. establishing procedures for assuring the confidentiality of

information received from small business stationary sources.

3. The provisions of article six of the public officers law shall not

apply to records containing information supplied by small business

stationary sources pursuant to the provisions of this section.

Small business pollution prevention and environmental

compliance ombudsman program. 1. There is hereby established within the

division for small businesses a small business pollution prevention and

environmental compliance ombudsman program. The primary purpose of such

program is to represent small businesses on issues relating to pollution

prevention and compliance with the environmental conservation law.

2. The department shall, through the small business pollution

prevention and environmental compliance ombudsman program, provide the

following services:

a. soliciting input from small businesses regarding pollution

prevention and compliance with the environmental conservation law,

including interacting with organizations representing small businesses

such as trade associations or other entities;

b. participating in, facilitating and promoting the participation of

small businesses in the development and implementation of rules and

regulations adopted pursuant to the environmental conservation law;

c. participating in and sponsoring meetings with the department of

environmental conservation, local environmental agencies, industry

groups and small business representatives;

d. providing guidance and recommendations to the department of

environmental conservation on the development, content and operation of

the small business pollution prevention and environmental compliance

assistance program as created by section 28-0109 of the environmental

conservation law;

e. distributing to small businesses information and materials on

pollution prevention and the requirements of the environmental

conservation law;

f. reporting to the pollution prevention and environmental compliance

coordinating council as established pursuant to section 28-0111 of the

environmental conservation law on any problems or difficulties

experienced by small businesses in complying with the environmental

conservation law, including the degree and severity of enforcement;

g. aiding in the investigation and resolution of complaints and

disputes from small businesses against the department of environmental

conservation and local environmental authorities;

h. conducting periodic evaluations of all aspects of the small

business pollution prevention and environmental compliance assistance

program created pursuant to section 28-0109 of the environmental

conservation law including reviewing the work and services of the

program with trade associations and representatives of small business;

i. reviewing and providing comments and recommendations to the United

States environmental protection agency and the department of

environmental conservation regarding the development and implementation

of regulations that impact small businesses;

j. arranging for and assisting in the preparation of guidance

documents by the small business pollution prevention and environmental

compliance assistance program as required pursuant to section 28-0109 of

the environmental conservation law to ensure that the language is

readily understandable by the layperson;

k. referring small businesses to specialists for information and

assistance on affordable alternative technologies, process changes,

products and operational methods to help achieve pollution prevention;

l. providing information to small businesses on state-sponsored

programs offering financial and technical assistance, and in locating

sources of funding for pollution prevention and compliance with the

requirements of the environmental conservation law; and

m. establishing procedures for assuring the confidentiality of

information received from small businesses.

3. The small business pollution prevention and environmental

compliance ombudsman program shall coordinate its services with the

office of waste prevention services established pursuant to article

fourteen of this chapter.

* § 139. Advisory panel on employee-owned enterprises. 1. Definition.

As used in this section, the term "employee-owned enterprise" shall mean

a business in which the employees control the majority of the voting

stock, or if the business is held in a trust which controls the majority

of the voting stock, the trustees are elected by the employees. The term

"employee-owned enterprise" shall also refer to a worker cooperative as

defined in section eighty-one of the cooperative corporations law.

2. Establishment of advisory panel. An advisory panel is hereby

created within the department for the purpose of reviewing state laws

and programs in order to report and make recommendations on how best to

support existing employee-owned enterprises, promoting the formation of

new employee-owned enterprises, and promoting the continued growth of

such businesses in the state.

3. Composition of advisory panel. (a) The advisory panel shall consist

of thirteen members, including:

(i) the commissioner, or his or her designee, who shall be designated

as chair of the advisory panel;

(ii) the commissioner of labor, or his or her designee;

(iii) the commissioner of tax and finance, or his or her designee; and

(iv) ten members to be appointed as follows: four shall be appointed

by the governor, two shall be appointed by the speaker of the assembly,

two shall be appointed by the temporary president of the senate, one

shall be appointed by the minority leader of the assembly, and one shall

be appointed by the minority leader of the senate. Such appointed

members shall represent entities and organizations with expertise

related to employee-owned enterprises or business development,

particularly those with an emphasis on small businesses, minority and

women-owned businesses, and veteran-owned businesses, including, but not

limited to:

(1) employee-owned enterprises;

(2) employee-owned enterprise advocacy, service, support, or

development organizations;

(3) business development organizations;

(4) New York state college and university programs with expertise in

business development;

(5) commercial lending organizations focusing on access to capital and

community development; and

(6) labor organizations.

(b) Each member of the panel shall serve at the pleasure of the

appointing authority, and any vacancy on the panel shall be filled in

the same manner as the original appointment. Such panel members shall

serve without compensation except that such members shall be entitled to

reimbursement for actual and necessary expenses incurred in such

service.

4. Powers and duties of the advisory panel. The advisory panel shall:

(a) identify and recommend strategies to promote the creation and

development of new employee-owned enterprises in order to create new

jobs and retain existing jobs within the state;

(b) identify and recommend strategies to facilitate the creation of

employee-owned enterprises that promote the continuation of existing

businesses either as part of a pre-existing business succession of

ownership plan or as an alternative option if a business is being

offered for sale or transfer by the current owner or the heirs or estate

of a deceased owner;

(c) evaluate the effectiveness of current state and local training and

assistance programs designed to provide support to employee-owned

enterprises, and make recommendations as to how to more effectively

utilize these programs and resources to support such enterprises;

(d) examine and identify state and local laws and regulations relating

to the governance and administration of employee-owned enterprises and

their effect on the creation, retention, and growth of such enterprises;

(e) examine and identify other successful federal, state and local

programs designed to provide support to employee-owned enterprises,

including any programs currently underutilized by individuals seeking to

establish an employee-owned enterprise in the state;

(f) evaluate the ability of new and existing employee-owned

enterprises to acquire the capital necessary to form, expand, and

develop their operations;

(g) evaluate the role of immigrants and new Americans, minorities,

women, and veterans in the formation of employee-owned enterprises;

(h) evaluate the potential for employee-owned enterprises to assist in

the revitalization and redevelopment of economically disadvantaged

communities; and

(i) recommend a set of best practices and policies as a guide for

individuals to use when forming an employee-owned enterprise, and make

such guide publicly available on the department's website.

5. Reporting. The advisory panel shall issue a report no later than

June thirtieth, two thousand twenty-seven outlining the findings and

recommendations of the panel. The report shall be delivered to the

governor, the speaker of the assembly, the temporary president of the

senate, the minority leader of the assembly, the minority leader of the

senate, the chair of the assembly committee on ways and means, the chair

of the senate committee on finance, the chair of the assembly committee

on economic development, the chair of the assembly committee on small

business, the chair of the senate committee on commerce, economic

development, and small business, the chair of the assembly committee on

labor, and the chair of the senate committee on labor.

* NB Repealed October 1, 2027

Legislative findings and declaration. The legislature hereby

finds and declares that it is the policy of the state to conserve and

protect state revenues through the efficient and prudent use of state

funds in state procurement contracts. It further finds that the

operation of an efficient procurement information system is an effective

tool in the economic development of the state. To promote this policy,

it is in the best interest of the state to create a central information

source that will alert businesses to new opportunities to participate in

state procurement activities. To accomplish these public purposes,

public notice of state procurement contracts shall be given by regular

publication of a compilation of the state's needs for goods and

services.

Definitions. For the purposes of this article, the following

terms shall have the following meanings as indicated:

1. "Agency" shall mean any agency, department, board, bureau,

commission a majority of whose members are appointed by the governor,

division, office, council, committee, or officer of the state, or the

state university of New York or the city university of New York, or any

public benefit corporation or public authority, a majority of whose

members are appointed by the governor. Such term shall not include the

legislature.

2. "Foreign business enterprise" shall mean a business enterprise,

including a sole proprietorship, partnership or corporation, which had

offered for sale, lease or other form of exchange, goods sought by the

agency and substantially produced outside of New York state, or services

sought by the agency and substantially performed outside New York state.

3. "Procurement contract" shall mean any written agreement entered

into by an agency for the acquisition of goods, services, or

construction of any kind in the actual or estimated amount of one

hundred fifty thousand dollars or more. The term does not include an

agreement for employment in the civil service.

Procurement opportunities newsletter. 1. The commissioner shall

publish on a daily basis a procurement opportunities newsletter, which

shall contain notices of procurement contract opportunities and any

other information the commissioner deems necessary to effectuate the

purposes of this article. Notices of procurement contract opportunities

shall be available on the internet for at least fifteen days.

2. Notices of procurement contract opportunities shall mean:

(a) for procurement contracts to be awarded by the office of general

services, (i) a description of the centralized commodity contracting

program of such office and an explanation of how to apply for placement

on any prequalified bidders list established as part of such program;

(ii) a description of the centralized construction contracting program

of such office and an explanation of how to subscribe to any bid notice

publication established as part of such program; and (iii) for all other

procurement contracts awarded by the office, the provisions of paragraph

(c) of this subdivision shall apply.

(b) for procurement contracts in excess of ten thousand dollars and

less than fifty thousand dollars to be awarded by the state university

of New York or the city university of New York, (i) a quarterly listing

of projected procurement purchases by commodity for each institution of

the state university of New York or the city university of New York;

(ii) an explanation of how to apply for placement on any bidder lists

maintained by the state university of New York or the city university of

New York; and (iii) a description of procedures for providing advance

notification by mail to individuals or business entities on such bidder

lists of any request for proposals, in accordance with rules and

regulations promulgated by the state university or the city university;

and

(c) for all other procurement contracts issued by agencies (i) the

name of the contracting agency; (ii) the contract identification number;

(iii) a brief description of the goods or services sought, the location

where goods are to be delivered or services provided and the contract

term; (iv) the address where bids or proposals are to be submitted; (v)

the date when bids or proposals are due; (vi) a description of any

eligibility or qualification requirement or preference; (vii) a

statement as to whether the contract requirements may be fulfilled by a

subcontracting, joint venture, or co-production arrangement; (viii) any

other information deemed useful to potential contractors; (ix) the name,

address, and telephone number of the person to be contacted for

additional information; (x) a statement as to whether the goods or

services sought had in the immediately preceding three year period been

supplied by a foreign business enterprise; and (xi) the name of any

individual or business enterprise that has been awarded an identical or

substantially similar procurement contract as determined by the

contracting agency, within the past five years; provided, however, that

in the case of multiple award contracts only, the contracting agency may

provide a link to a publicly accessible website listing the information

required pursuant to this subparagraph. Such link shall be exclusive to

each multiple award contract.

3. The commissioner shall provide for electronic publication, updated

daily, accessible at no charge to the general public and may set

subscription rates for enhanced access services, including, but not

limited to, automated notification of bid opportunities based upon the

amounts estimated to be necessary to defray the expenses of preparing,

publishing, marketing and distributing the procurement opportunities

newsletter. In addition, the commissioner shall immediately make

available, upon request, a printed copy of all notices from the date of

such request and the fifteen days preceding, and if requested, make

available on a weekly basis, the procurement opportunities newsletter,

at a subscription rate determined by the commissioner based upon an

estimated expense of producing and distributing such printed copy.

4. The commissioner may publish in the procurement opportunities

newsletter (a) notices of procurement opportunities originating from

political subdivisions of the state or business enterprises, and (b)

notices from government or potential government contractors seeking

subcontractors and suppliers, in such form and manner as the

commissioner shall determine. The commissioner may charge a fee for the

publication of such notices of procurement opportunities based upon the

amounts estimated to be necessary to defray the expenses of preparing,

publishing, marketing and distributing such additional notices of

procurement opportunities.

5. In addition to any other notice of procurement contract

opportunities required in this section, for procurement contracts in the

amount of two hundred thousand dollars or more to be awarded by all

state agencies, each agency shall prepare for inclusion in the

procurement opportunities newsletter (a) a semi-annual listing of

projected procurement purchases by category; (b) an explanation of how

to apply for placement on any bidder list maintained by the agency; and

(c) a description of procedures for providing advance notification by

mail to individuals or business entities on such bidder lists of any

request for proposals, in accordance with rules and regulations

promulgated by the agency. The commissioner, in consultation with each

agency, shall arrange a schedule for each agency's semi-annual listing.

6. The commissioner shall include in the procurement opportunities

newsletter the procurement contract award information submitted by

agencies pursuant to subdivision three of section one hundred

forty-three of this article.

7. Upon receipt of an announcement that an agency has entered into a

contract, as provided in subdivision five of section one hundred

forty-three of this article, the commissioner shall publish such

announcement in the procurement opportunities newsletter. The

announcement shall identify the contract, specify the date of the award

of the contract and provide the name and contact information for each

recipient of the contract.

Responsibilities of other agencies. 1. Prior to awarding any

procurement contract, each agency shall submit to the commissioner

information sufficient to enable publication of the notices of

procurement contract opportunities described in subdivision two of

section one hundred forty-two of this article. Such information shall be

submitted to the commissioner in sufficient time to allow a minimum of

fifteen business days between publication of such notice and the date on

which a bid or proposal is due, except where a shorter period is

specifically authorized by law.

2. No agency shall award a procurement contract unless a notice of a

procurement contract opportunity as described in subdivision two of

section one hundred forty-two of this article has been published in the

procurement opportunities newsletter or unless such procurement contract

is exempt from the requirements of this article in accordance with

section one hundred forty-four of this article.

3. At the time the agency determination of intent to award a

procurement contract is made, each agency shall submit to the

commissioner for inclusion in the procurement opportunities newsletter,

(a) for procurement contracts let by the invitation for bid process, the

result of the bid opening including the names of bidding firms and the

amounts bid by each; (b) for procurement contracts let by the request

for proposal process, the names of firms submitting proposals and the

proposal selected as the best value offer; and (c) for all other

procurement contracts, the name of the proposed awardee.

4. At the time an agency enters into a contract with a single or sole

source provider pursuant to section one hundred sixty-three of the state

finance law, for an amount in excess of fifty thousand dollars, such

agency shall submit an announcement of the intended contract for

inclusion in the procurement opportunities newsletter, and shall specify

the recipient of the contract.

5. At the time an agency enters into a contract, such agency shall

submit an announcement of the intended contract for inclusion in the

procurement opportunities newsletter. Such announcement shall identify

the contract, specify the date of the award of the contract and provide

the name of and contact information for each recipient of the contract.

Exemptions. 1. The provisions of this article shall not apply

to:

(a) Procurement contracts, which the comptroller exempts pursuant to

the procedures contained in subdivision two of this section, awarded on

an emergency or critical basis, or on the basis that publication is not

feasible, provided, however, that no exemption shall be granted for any

contracts, except for contracts awarded on an emergency or critical

basis, for which competitive bidding is required by law;

(b) Procurement contracts being re-bid or re-solicited for

substantially the same goods or services, within forty-five business

days after the date bids or proposals were originally due;

(c) Procurement contracts awarded pursuant to section one hundred

seventy-five, one hundred seventy-five-a, one hundred seventy-five-b or

one hundred seventy-five-c of the state finance law;

(d) Procurement contracts in an amount less than ten thousand dollars

awarded by the state university of New York or the city university of

New York; and

(e) Procurement contracts awarded to not-for-profit providers of human

services pursuant to a non-competitive selection process.

2. Any exemption requested for a procurement contract described in

paragraph (a) of subdivision one of this section may be granted in

accordance with the following procedure:

(a) Any agency, which shall not include those public benefit

corporations or public authorities whose contracts and payments are not

approved and pre-audited by the comptroller, may request an exemption

from the comptroller. The request shall, unless an emergency exists, be

in writing and state the nature of the contract and reasons for the

exemption. The comptroller may accept an oral request for an exemption

in an emergency, provided the agency agrees to submit to the comptroller

a written request immediately thereafter.

(b) The comptroller shall, as soon as practicable, determine whether

an agency's request for an exemption is granted or denied. The

comptroller may inform an agency of the decision orally and shall

provide an agency with a written determination granting or denying the

request for an exemption.

(c) The comptroller shall be responsible for granting or denying an

exemption for each individual procurement contract unless the

comptroller determines, by regulation, that a specific class of

procurement contracts should be exempt.

(d) The comptroller shall, after consultation with the commissioner,

promulgate regulations or guidelines to implement the provisions of this

subdivision.

(e) Notwithstanding the foregoing, any agency receiving an exemption

for a procurement contract in accordance with this subdivision must

nevertheless publish notice of either the letting or award of the

contract, and the reasons for any such exemption, in the procurement

opportunities newsletter as soon as practicable, unless the comptroller

determines that publication would affect the ability of (i) law

enforcement agencies to carry out investigations, or (ii) agencies to

protect security operations, in which case notice of such contract shall

not be published. In the case of non-competitive awards, such notice

shall also state the recipient of the contract, a brief description of

the purpose of the contract, the contract term, and the estimated value.

Study and report. The state procurement council established

pursuant to section one hundred sixty-one of the state finance law, in

consultation with the council on contracting agencies established

pursuant to executive order 4.125 dated May twenty-second, nineteen

hundred eighty-nine, shall study and report by September first, two

thousand nine to the governor, the legislature and the director of the

budget with recommendations on implementation of a statewide electronic

procurement opportunity notification system, including, but not limited

to:

1. plans and a timetable for further integration of existing agency

systems of bidder registration and procurement opportunity notification

with the procurement opportunities newsletter established pursuant to

this article;

2. electronic submission of bids and proposals; auctions and reverse

auctions; electronic availability of plans and specifications;

3. feasibility of using open standards software applications for a

statewide electronic procurement opportunity notification system;

4. costs and funding models for a statewide electronic procurement

opportunity notification system;

5. additional information to be included to increase the transparency

and utility of the system, including without limitation, notices by the

comptroller of progress payments made to prime contractors, and minority

and women-owned business enterprises utilization plans and waivers

granted pursuant to article fifteen-A of the executive law.

Approval of comptroller. The comptroller shall not approve or

file any procurement contract for the acquisition of goods or services

in the amount of one hundred fifty thousand dollars or more unless

notice as provided in section one hundred forty-two of this article

shall first have been published in the procurement opportunities

newsletter at least fifteen business days prior to the date on which a

bid or proposal was due. Provided, however, such requirement of

publication of advance notice shall not apply to contracts exempt from

such requirement under section one hundred forty-four of this article;

provided further, that the comptroller shall not be required to

disapprove a contract if such comptroller determines that there has been

substantial compliance with the requirements of section one hundred

forty-two and section one hundred forty-three of this article. The

foregoing provisions of this section shall not be construed to limit, in

any manner, the right of the comptroller to demand evidence of adequate

competition or such other proofs as such comptroller may require in the

discharge of such comptroller's responsibilities pursuant to section one

hundred twelve of the state finance law or any other provision of law.

Short title. This article shall be known and may be cited as

the "New York state marketing act".

Statewide master plan for marketing. 1. The department shall

formulate and annually re-evaluate a comprehensive five-year master plan

for the balanced development and coordination of adequate marketing

programs and facilities necessary to meet the promotional objectives

enumerated in section one hundred of this chapter. The plan shall be

based upon elements including, but not limited to: the identification

and evaluation of the tourism needs for each region of the state and the

relation of these findings to the state as a whole; the identification

and evaluation of the existing tourism infrastructure of the state

including projection of future needs related thereto; and the

identification and evaluation of existing tourism promotion activities

including projection of future needs relating thereto. The plan shall be

developed in consultation with the tourism advisory council and the

inter-agency tourism task force.

2. Following the initial enactment of this article, the plan shall

include a survey and analysis of all marketing efforts, consistent with

the promotional objectives enumerated in section one hundred of this

chapter, conducted by any agency, subsidiary or department of the state.

The initial five-year plan must include procedures to consolidate all

such marketing efforts into the marketing program operated by the

department and to expand and apply the "I Love NY" brand in accordance

with this article.

3. The department shall submit such plan to the governor, temporary

president of the senate, speaker of the assembly and appropriate

committees in the legislature. Each such entity shall have the

opportunity to review the plan and subsequent re-evaluations in a timely

manner as prescribed by the department and send reports with

recommendations back to the department for final revisions. The

department shall consider such recommendations and integrate them into

the final plan and subsequent re-evaluations wherever feasible.

4. The department shall, on January first next succeeding the

effective date of this article, submit a new five-year plan in

accordance with subdivision three of this section.

"I Love NY" brand. 1. The department shall enact guidelines for

the use of the brand, which shall include measures to allow for the

expansion of the brand to fit niche and thematic marketing efforts. When

appropriate, the brand shall be applied to targeted promotional

initiatives, and shall be leased at no cost to any public benefit

corporation or not-for-profit, New York heritage trail tourism promotion

agency, convention and visitors bureau or local government.

2. The department shall annually cause to be conducted an analysis of

the effectiveness of the "I Love NY" brand on an ongoing basis as

determined to be necessary by the department, but no less than once

every five years.

3. Nothing in this article shall prohibit the department from

licensing and leasing the brand to any commercial entity, provided that

the appropriate market value for such lease is obtained.

4. Nothing in this article shall prohibit the department from revising

the "I Love NY" brand or establishing any number of new and appropriate

brands, provided that such changes are supported by at least one

independently conducted brand analysis survey.

5. Reporting requirements. The department shall annually, on or before

February first, submit to the governor, the temporary president of the

senate and the speaker of the assembly, the tourism advisory council and

the chairs of the senate and assembly standing committees concerned with

tourism a report on the department's activities related to the "I Love

NY" brand, including but not limited to the following: (a) marketing

plan including the annual and long term goals, specific plans, target

regions and performance measures for marketing campaigns using the "I

Love NY" brand; (b) licensing activity including a list of all entities

that licensed the "I Love NY" brand and the total amount received from

all licensing activities; (c) contractual services including a list of

each entity providing services related to the "I Love NY" brand, the

amount charged, the nature of the services and the relationship of these

services to the department's marketing plan; (d) sponsorship activities

utilizing the brand; (e) an analysis of the effectiveness of the "I Love

NY" brand based promotions in stimulating tourism and recommendations

for improved utilization of the brand; and (f) an analysis of the

effectiveness of the department's effort to support historic small

businesses through "I Love NY" brand based promotions and a list of the

historic small businesses highlighted in the brand based promotions.

Explore New York state grant program. 1. The department shall

create a new grant program designed to encourage an integrated thematic

approach to tourism promotion. The program shall provide state matching

funds to eligible entities not to exceed fifty thousand dollars

annually. Eligible entities shall include two or more counties, or a

series or collection of thematically related entities, choosing to

market multiple, thematically related assets or activities in a single

marketing campaign. The commissioner is directed to establish guidelines

and an application process.

2. The New York state tourism advisory council shall review requests

for proposals and will recommend project applications deemed to meet the

intent of the program to the department.

3. Grantees will report semiannually to the department on activities

and progress of the grant. The department shall report annually pursuant

to subdivision three of section one hundred fifty-one of this article.

Nothing in this article shall prohibit any county, or any entities

within the counties of the state from receiving multiple grants under

the program in a single year provided that they are for separate and

distinct marketing campaigns.

State marketing internet website. 1. The department shall

maintain an internet website designed to facilitate the marketing

purposes in this article.

2. The internet website shall contain a design that facilitates the

promotional objectives required by article five-a of this chapter and

this article.

3. The internet website shall also contain an area accessible, free of

charge, to tourism promotion agencies, conventions and business bureaus,

local governments, and any private, not-for-profit or commercial

business domiciled in New York state, which contains directly, or

maintains active links to, the data, including but not limited to:

(a) labor statistics maintained by the New York state department of

labor;

(b) tax receipt data maintained by the New York state department of

taxation and finance;

(c) a monthly summary of tourism industry statistics maintained by a

national tourism association known as the Tourism Industry Association,

Inc.;

(d) all reports and data required to be produced and maintained by

this section; and

(e) any other data deemed appropriate.

4. The department shall cause to be produced annually an independent

study analyzing the effectiveness of the internet website. The

department shall submit the study in accordance with the provisions of

subdivision three of section one hundred fifty-one of this article.

Legislative findings and objectives. The legislature hereby

finds and declares that the promotion, attraction, stimulation,

development and expansion of tourist travel, resort, vacation, culture

and convention activities are vital and necessary concerns of the people

of this state, since such activities form an important part of its

economy. Therefore, it is hereby determined that a program authorizing

matching funds and assistance to tourist promotion agencies for the

planning and promotion of programs designed to stimulate and increase

the volume of such tourist travel, resort, vacation, culture and

convention activities within our state will strengthen its economy,

increase employment of our citizens and promote the general welfare of

the people.

Administration. In futherance of these purposes, the department

of economic development is hereby authorized and directed to:

(a) Encourage, facilitate and coordinate the planning and

implementation of programs to advertise, stimulate, promote and increase

tourist travel, resort, vacation, culture and convention activities

within the state and its regions with such flexibility as to bring about

as effective and economical a tourist promotion plan as possible. The

department shall give a preference to any tourist promotion agency that

is promoting the sport of cricket or the sport of stickball;

(b) Establish and publish on an annual basis guidelines relative to

the use of funds to be granted hereunder. Such guidelines shall

authorize the use of funds for the promotion of year round tourist

travel, resort, vacation, culture and convention activities;

(c) Accept or reject applications for matching funds for recognized

advertising programs by tourist promotion agencies on the basis of

annually published guidelines;

(d) Authorize the payment of funds in accordance with this act and the

rules and regulations of the comptroller out of the appropriation made

pursuant hereto; and

(e) Do all things necessary, desirable and convenient to carry out its

powers, functions and duties hereunder.

Definitions. As used in this act, unless the context requires

otherwise:

(a) "tourist promotion agency" means any not-for-profit corporation,

or other nonprofit organization, association or agency which shall be

designated by resolution of the county legislature or other governing

body of any county, or upon designation of the mayor of the city of New

York, as the agency authorized to make application for and receive

grants for the purposes specified in this act; and

(b) "recognized advertising" means media advertising and promotional

materials to be distributed in accordance with a plan approved by the

commissioner.

(c) "Regional advertising program" means the use of media advertising

and promotion materials for purposes of promoting tourism to be

distributed in accordance with a plan approved by the commissioner and

developed by either:

(1) more than one county within a single department tourism region; or

(2) one or more counties and their contiguous states and/or Canadian

provinces, provided that such county or counties must also participate,

to the extent required by guidelines established pursuant to subdivision

(e) of section one hundred sixty-four of this article, in an approved

program under paragraph one or three of this subdivision; or

(3) one or more counties in each of at least two department tourism

regions for the purposes of promoting interregional tourism stemming

from specific themes or characteristics shared by the department tourism

regions.

Recognition of tourist promotion agencies. The commissioner,

upon investigation and receipt of certified copies of such resolutions

as may be necessary to satisfy him that a tourist promotion agency has

been duly designated to represent a particular county or counties or the

city of New York, as set forth in section one hundred sixty-four of this

article, shall recognize such tourist promotion agency as the sole such

agency within such county or counties or the city of New York. Any two

or more counties may, by the procedures herein provided, designate a

single tourist promotion agency to represent them for the promotion of

tourism in their region and for the purposes of this act.

Applications for and approval of matching funds to tourist

promotion agencies. (a) The commissioner is hereby authorized to match

funds expended by recognized tourist promotion agencies and to set

reasonable deadlines for the submission of applications for each fiscal

year covered by appropriations in order to assist such agencies in the

financing of their recognized advertising programs. Before any such

funds may be expended, the tourist promotion agency shall have made

application to the department for such funds, and shall have therein set

forth the schedule, budget, scope, and theme of the proposed advertising

program to be undertaken for the purpose of encouraging and stimulating

tourist travel, resort, vacation, culture and convention activities in

the county or counties within its area. Said application shall further

state, under oath or affirmation, with evidence thereof satisfactory to

the department, the amount of funds held by, or committed or subscribed

to, the tourist promotion agency for the purposes herein described and

the amount of matching funds for which application is made, and provided

that all advertising purchased with funds appropriated under this act

shall follow central conceptual themes used by the department in its

advertising for state tourism promotion including using any logotype or

similar advertising construct in use by the department.

(b) In reviewing such applications, the commissioner may select from

among competing or overlapping applications the application or

applications that the commissioner considers to be of greater benefit to

a given area and the welfare of the people of the state. Further, the

commissioner shall select from among filed applications those

applications which the commissioner considers to be most in accord with

the guidelines established for the fiscal year in which the funds are to

be expended. If the commissioner determines that an application does not

meet the guidelines, the tourist promotion agency submitting such shall

be notified of its rejection and the reasons therefor by certified mail.

A tourist promotion agency whose application has been rejected may

resubmit the application to meet the guidelines determined by the

commissioner. The resubmitted application shall be postmarked within two

weeks of the date of receipt of notice of failure of its initial

application. After review of a submitted or resubmitted application, if

satisfied that the program of the tourist promotion agency appears to be

in accord with the purposes of this act, the commissioner shall

authorize in writing the payment of matching funds appropriated pursuant

to this act to such tourist promotion agency equal to funds allocated by

such agency to the program described in its application, provided,

however, that such matching grant shall not exceed an amount equal to

five per centum of the matching grant appropriation for each county

represented by such agency for the purposes set forth in this act.

Provided that sufficient funds are appropriated, no such grant shall be

less than either twenty thousand dollars per county represented by such

tourist promotion agency or the amount of funds held by, or committed or

subscribed to such tourist promotion agency for the purposes described

in its application, whichever sum is less. No such minimum grant shall

allow the awarding of matching funds for applications other than those

meeting the guidelines established by the department.

(c) No application submitted by a tourist promotion agency shall be

approved unless the funds of such agency allocated to the program

described in its application are both:

(1) equal to or greater than eight thousand dollars for each county

represented by such agency, and

(2) equal to or less than five per centum of the total matching funds

appropriation for each county represented by such tourist promotion

agency.

(d) No state funds granted to a tourist promotion agency pursuant to

this act may be used for travel, food, lodging, entertainment,

transportation or expenses unrelated to the approved advertising

program. A regional advertising program as described in paragraph one of

subdivision (c) of section one hundred sixty-two of this article may

include those personal service administrative expenses actually

attributable to such program, provided, however, that such expenses

shall not exceed twenty percent of the total budget of such regional

advertising program and provided further that such expenses shall be

approved by no less than one-half of the counties within such region.

(e) Applications required by this section shall be submitted only upon

forms provided by the department. Such forms shall contain a statement

of the guidelines which the commissioner shall use to establish

priorities among applications. Such guidelines shall be established by

the commissioner on an annual basis and, once established, shall not be

changed until the following year.

(f) The department shall set aside no more than thirty percent of the

total local assistance appropriation for tourism matching funds to

create regional advertising program bonuses payable to tourist promotion

agencies. Such bonus shall be based on a formula to be developed by the

department, which shall take into account the number of counties

participating in a regional advertising program with respect to the

number of counties within the department tourism region in which that

tourist promotion agency is located and the percentage of which qualify

for a match pursuant to this section to be expended by the tourist

promotion agency for the purposes of the regional advertising program.

Bonuses paid for regional advertising shall be subject to the same

restrictions described in this article for matching funds, and shall

further be dedicated to the sole purposes of the regional advertising

program. The bonus paid to each tourist promotion agency shall not

exceed twenty percent of the amount budgeted by such agency for each

regional advertising program. Nothing in this article shall prohibit a

tourist promotion agency from receiving regional bonus funding for

participation in regional advertising programs as described in paragraph

two of subdivision (c) of section one hundred sixty-two of this article

in addition to funding for participation in a regional advertising

program as described in paragraph one of subdivision (c) of section one

hundred sixty-two of this article.

(g) If the matching funds requested in the applications exceed the

appropriation, the commissioner shall allocate available funds on a

prorated basis. Such proration shall apply to originally approved as

well as resubmitted and subsequently approved applications.

Payment of funds to tourist promotion agencies. (a) Upon

submission and approval of each application and the authorization of

funds by the commissioner in accordance therewith, the commissioner

shall give notice to the particular tourist promotion agency of such

approval and authorization, and shall direct such agency to proceed with

its proposed advertising program as described in its application. Upon

the furnishing of satisfactory evidence to the department that the

particular tourist promotion agency has encumbered funds in the amount

committed and approved by the commissioner, the state matching funds

allocated to such agency shall be paid from the funds appropriated for

such purpose pursuant to this act. Any state funds so paid may be

expended only on a matching basis and only within twelve months of such

payment unless an extension of time has been applied for and, upon

showing of good cause, granted by the commissioner.

(b) No advertising or promotion funded for the purposes of this act

shall contain reference to or the name of any public official of the

state of New York, or its political subdivisions. Reference shall

include but not be limited to photographs, drawings, caricatures,

quotations, invitations, signatures, endorsements or sound recordings.

(c) Any logotype, special printing characters, slogan or like device

developed by any advertising agency hired by the department and used in

advertising and promotion with funds appropriated for the purposes of

this act shall become the property of the state of New York and shall be

provided without fee to any tourist promotion agency for use in

advertising purchased with funds appropriated for the purposes of this

act. This section shall not be construed as license for tourist

promotion agencies to use in toto advertising developed by the agency or

agencies under contract to the department. It shall be the

responsibility of the commissioner to determine those constructs which

must be present to maintain necessary continuity in central conceptual

themes in advertising purchased with funds provided for the purposes of

this act.

Reporting requirements. (a) In accordance with generally

accepted accounting principles each tourism promotion agency shall

furnish an annual financial statement to the commissioner. Such reports

shall be submitted on or before January first of each year.

(b) The department shall annually, on or before March first, submit to

the governor, the temporary president of the senate and the speaker of

the assembly, a report on the activities of the matching funds program.

Such report shall include a statement of the guidelines promulgated by

the department pursuant to section one hundred sixty-one of this

article, a summary of the financial statements received by the

department from tourist promotion agencies, a summary of activities

conducted by the tourist promotion agencies and analyses of the

effectiveness of the matching funds program in stimulating tourist

promotion and recommendations concerning the future organization,

implementation and improvement of the matching funds program.

Inter-agency tourism task force. (a) There is hereby

established an inter-agency tourism task force consisting of the

following members:

(1) the commissioner or his or her designated representative from the

department and the departments of transportation, parks, recreation and

historic preservation, environmental conservation, agriculture and

markets, and health;

(2) the chairman or his or her designated representative of the New

York state thruway authority, the New York power authority, and the

tourism advisory council, the New York state council on the arts, the

canal corporation, the canal recreationway commission, the Olympic

regional development authority, and the Hudson River park trust;

(3) the chairpersons or their designated representatives of the senate

standing committee on tourism, recreation and sports development, and

the assembly standing committee on tourism, arts and sports development,

who shall serve as ex-officio, non-voting members; and

(4) upon designation by the governor, the chief executive officer or

his or her designated representative of any department, board, bureau,

commission, office, agency, or other instrumentality of the state

providing services or programs for travelers, travel-related businesses

or other public bodies which operate a travel-related program.

(b) The chairman of the task force shall be the commissioner. The

members of the task force may elect such other officers as they may deem

necessary.

(c) The task force shall meet at least four times each year at the

call of the chairman.

(d) Members of the task force shall receive no compensation for their

services as members, but shall be compensated for their actual and

necessary expenses by warrant of the comptroller and voucher of their

department, agency, authority or council.

(e) The task force shall:

(1) receive the report of each member on programs and services

provided to the traveling public, travel-related businesses and other

public bodies providing services or programs for travelers, and evaluate

such reports to determine opportunities for coordination of efforts,

prevention of duplication of services, and sharing of resources;

(2) evaluate and recommend to the governor and the legislature

initiatives to enhance or facilitate the effectiveness of current or

planned state traveler services or tourism marketing programs;

(3) evaluate and make recommendations to prevent overlapping of

promotion efforts and programs;

(4) submit not more than two weeks after each meeting copies of the

meeting minutes to each member of the inter-agency tourism task force

including ex-officio, non-voting members; and

(5) report on or before January first of each year to the governor,

the temporary president of the senate, the speaker of the assembly, and

the chairman of the appropriate legislative committees on the activities

of the task force with respect to its functions, powers and duties.

New York state tourism advisory council established. 1. There

is hereby established in the department the New York state tourism

advisory council which shall comprise eighteen members appointed by the

governor, three on the recommendation of the temporary president of the

senate; one on the recommendation of the minority leader of the senate;

three on the recommendation of the speaker of the assembly; and one on

the recommendation of the minority leader of the assembly. The members

of the council shall serve for terms of two years, provided, however,

that of the members first appointed, nine shall serve for terms of two

years and nine shall serve for terms of three years. The governor shall

designate the chairman from among the members of the council. The vice

chairman shall be elected from among the members of the council by the

members of such council, and shall represent the council in the absence

of the chairman at all official council functions. The chair of the

senate committee on tourism, recreation and sports development and the

chair of the assembly committee on tourism, arts and sports development

or their designated representatives, shall be non-voting, ex-officio

members of the council and shall receive no additional compensation for

their services on the advisory council.

2. In appointing the members of the council, the governor shall ensure

that such members include representatives of organizations of

tourism-related industries in the state including, but not limited to,

travel and vacation businesses, convention bureaus, cultural

institutions, theme parks and attractions, hotels and motels,

restaurants, water-based recreation businesses, campgrounds, ski

facilities, wineries, halls of fame, travel agents and transportation

companies.

3. The members of the council shall receive no compensation for their

services but shall be allowed their actual and necessary expenses

incurred in the performance of their duties as council members.

4. The council shall meet at least five times a year including no less

than three times between January first and May thirty-first, at the call

of the commissioner or the chairman of the council.

5. Unless a member has been excused from attendance at such meetings

by the chairman or vice-chairman upon good cause being shown, any member

who fails to attend three consecutive meetings shall be deemed to have

resigned. Any vacancy on the council shall be filled for the remaining

term of the individual replaced. The appointment to fill such vacancy

shall be made in the same manner as the original appointment was made.

6. The department shall provide necessary technical and staff

assistance to the council. Any department, division, board, bureau,

commission, authority or agency of the state, as such shall determine

appropriate, is authorized to provide such information, cooperation, or

assistance as may be requested by the council to carry out the purposes

of this article.

Purpose of the council. The purposes of the council shall be to

advise the commissioner concerning tourism and to serve as liaison

between the state's tourism-related industries and the commissioner with

respect to the design and implementation of the state's tourism policies

and programs.

Powers of the council. The council shall have the following

powers:

1. To identify and review tourism-related issues and current state

policies and programs which directly or indirectly affect tourism and

travel in the state and, as appropriate, recommend the adoption of new,

or the modification of existing, policies and programs;

2. To advise the department in its promotion and development of

tourism and travel facilities and services in the state;

3. To advise the department in the development and implementation of

the state's tourism marketing and business development program,

including long-range strategies for attracting tourists to the state;

4. To advise the department, the governor and the legislature

concerning recommended legislation necessary to foster and promote the

prosperity, expansion and development of tourism and travel concerns

within the state;

5. To advise the department, the governor and the legislature

concerning existing laws, rules, regulations and practices of state

agencies which are counter-productive or inimical to the prosperity,

expansion and development of tourism and travel concerns within the

state;

6. To advise the department, the governor and the legislature

concerning the development of inter-governmental cooperation among

agencies of the federal, state and local governments and cooperation

between private industry and government so as to assure the optimum

development of tourism and travel concerns;

7. To assist the department in obtaining information necessary for the

development and improvement of state policies and programs affecting

tourism and travel industries in the state; and

8. To recommend ways of ensuring consumer protection for visitors to

the state.

Legislative findings and objectives. The legislature hereby

finds and declares that the promotion, stimulation, development and

expansion of tourism and tourism-related recreational and cultural

activities involving the Erie/Barge canal are important to the economic

revitalization and development of counties and communities adjacent to

the canal. The legislature further finds that a greater public awareness

of the canal would encourage its increased use for multiple purposes

thereby maximizing the state's investment in the canal and its operation

and maintenance. The legislature therefore determines that a program of

state assistance to municipalities for the planning, implementation and

promotion of canal-related tourism activities will benefit local

economies by increasing employment and tax revenues and thereby enhance

the well-being of counties and communities adjacent to the canal and of

the people of the state.

Definitions. As used in this article, unless the context

otherwise requires: 1. "Erie/Barge canal" means the system of canals

comprised of the Erie canal, the Champlain canal, the Oswego canal and

the Cayuga-Seneca canal as defined in section two of the canal law.

2. "Canal-related tourism activities" means any activity, program or

project that is primarily designed and intended to further, encourage or

promote tourism or tourism-related recreational or cultural activities

which feature the Erie/Barge canal. Such activities may include, but not

be limited to, marketing of the canal for tourism purposes;

beautification and physical improvement projects to accommodate or

attract tourists; tourism-related programs and events such as canal

festivals, regattas, boat shows, fishing derbies, and planning for

tourism development of the canal; and business development and

infrastructure projects which have direct impact on tourism potential of

the Erie/Barge canal.

3. "Municipality" means any village, town or city that is adjacent to

the Erie/Barge canal.

4. "Department" means the New York state department of economic

development.

5. "Commissioner" means the commissioner of the New York state

department of economic development.

6. "Board" means the Barge canal planning and development board as

established in article thirteen-A of the canal law.

General functions, powers and duties of the commissioner. The

commissioner is hereby directed: 1. To establish and administer an

Erie/Barge canal challenge grant program in coordination with the

department of transportation, pursuant to section one hundred

seventy-six of this article, within amounts appropriated therefor;

2. To assist municipalities, in coordination with the board, on the

Erie/Barge canal plan canal-related activities for tourism development

purposes;

3. To collect, coordinate, and disseminate information, in

coordination with the board, on canal-related activities along the

entire canal that promote and encourage tourism development; and

4. To do all things necessary, desirable and convenient to carry out

its powers, functions and duties.

Erie/Barge canal challenge grant program. 1. There is hereby

established within the department an Erie/Barge canal challenge grant

program to be administered in coordination with the department of

transportation for the purpose of providing municipalities adjacent to

the Erie/Barge canal with matching funds to plan and carry out

canal-related tourism activities; provided, however, that:

(a) no grant to any municipality shall exceed the sum of twenty

thousand dollars or forty percent of the total project cost, whichever

is less;

(b) each applicant, whether a single municipality or two or more

municipalities acting jointly, shall be eligible to receive only one

such grant in any twelve-month period;

(c) no part of any such grant shall be used for salaries or for

services regularly provided by the municipality or for administrative

costs in connection with this grant;

(d) the municipality or a designated nonprofit entity has committed

sufficient funds to fulfill the local match requirements of this

program;

(e) in-kind services shall not be considered part of the local match

requirement; and

(f) no grant shall be used for the direct benefit of a for-profit

business unless (i) the funded activity shall further a public purpose

and have a clear, long-term benefit to the applicant and (ii) such

funded activity is not available to the business from other public or

private sources.

2. Applicants for grants may be a municipality or two or more

municipalities acting jointly. A municipality, or two or more

municipalities acting jointly, may designate by resolution a county or a

nonprofit entity to act on its behalf.

3. The commissioner shall establish and publish, on an annual basis,

guidelines and a standard application form relative to the use of funds

to be granted hereunder. In addition to such other information as shall

be requested by the commissioner, applicants shall provide a description

of:

(a) the activity or project for which a grant is requested and how it

relates to the canal;

(b) how the proposed activity or project will contribute to or enhance

tourism development along the canal;

(c) project impact including, where appropriate, an estimate of the

number of people to be served by the project, the length of time

visitors may be expected to spend in the area, the ratio between local

residents and visitors to be served by the project, the duration of the

project; and

(d) whether it is part of an overall tourism marketing or development

plan.

4. In reviewing and selecting applicants to receive grants under this

program, the commissioner shall consider, in coordination with the

department of transportation, the following:

(a) the nature and extent of economic distress within the applicant

community and the need for assistance. Preference will be given to

municipalities which meet the criteria for economic distress as

established by the department;

(b) the potential of the proposed canal-related activity to make a

significant and permanent contribution to tourism development within the

applicant municipality and along the canal as a whole;

(c) the existence of a local tourism marketing or development plan to

enhance tourism activity, and the extent to which the proposed activity

is consistent with the plan;

(d) the nature and extent of local support for the proposed

canal-related activity including the commitment of additional financial

resources;

(e) the degree of support within the municipality for tourism

development, in general, and the nature and extent of other canal

related activities, in particular, engaged in by the municipality or its

designated nonprofit entity, business community and community

organizations;

(f) preference shall be given to those applications submitted by two

or more municipalities; and

(g) preference shall be given to applications creating new tourism

activities.

5. Grants shall be awarded by September fifteenth of each year.

Reporting requirements. 1. On or before October first of each

year, grant recipients shall report to the department on the use of

grant funds. The report shall include, where appropriate, total project

or activity cost, or description of the activity or project, the number

of persons served, an outline of plans to continue the activity or

project, whether such grants shall be required in future years, and any

other information that the commissioner may deem necessary.

2. On or before November first of each year, the department shall

report to the governor and the temporary president of the senate and the

minority leader of the senate and the speaker of the assembly and the

minority leader of the assembly of its findings, conclusions and

recommendations on the implementation of the provisions of this article.

Legislative findings and intent. The legislature finds and

determines:

1. that the state's vast agricultural resources and significant

agricultural products industries play a key role in the continuing

economic growth and vitality of all regions of the state;

2. that significant untapped agricultural resources present economic

development opportunities that could promote growth thereby enhancing

the well being of employers and employees in food processing, animal and

plant fiber processing and other related agricultural businesses, as

well as promoting the economic well being of farm families throughout

the state through job creation and job retention; and

3. that the state's agricultural interests will be enhanced in the

event opportunities to expand the market for agricultural crops and

processed foods, and animal and plant fiber textile products can be

developed in the state, nation and internationally.

Definitions. For the purposes of this article:

1. "Program" shall mean the agricultural economic development program

established pursuant to this article.

2. "Agricultural resources industry" shall mean those businesses

involved in the harvesting, marketing, research, processing, storage

and/or manufacturing of agricultural products or provide essential

inputs for or services to such businesses and shall include job training

and public information programs associated with such products.

General functions. There is hereby created an agricultural

economic development program, the purpose of which shall be to target

and promote:

1. agricultural resources industry development in ways which are

economically sustainable and environmentally sound;

2. public awareness and understanding of the economic, cultural and

environmental importance of New York agriculture;

3. the development, retention, diversification and expansion of the

agricultural resources industry in ways that will enhance related

efforts of federal, state and local agencies, commissions, committees,

associations, trade groups and manufacturers;

4. electronic and other information shared related to the agriculture

resources industry;

5. the development of financing mechanisms for the establishment,

retention, diversification and expansion of new and existing value added

agricultural products for sale in local, national and international

markets;

6. demonstration projects which would improve business profitability

in the marketing, processing, storage or manufacture of agricultural

products;

7. the review of any regulatory barriers which may impede the

development, retention, diversification or expansion of the agricultural

resources industry;

8. geographically balanced public input and advice from individuals

and agencies directly involved with the production, processing,

manufacturing and storage of agricultural products; and such other

individuals and agencies as may be engaged in state and local activities

in support of economic development in the agriculture resource industry;

9. the establishment and purposes of the New York state council on

food policy established pursuant to subdivision six-a of section sixteen

of the agriculture and markets law; and

10. all things necessary or convenient to carry out the functions,

powers and duties expressly set forth in this article.

Reports. The commissioner shall make an annual report on or

before March thirty-first of each year to the governor and the

legislature setting forth the activities undertaken by the program.

Assistance of other state agencies. To effectuate the

purposes of this article, the commissioner may request and shall be

entitled to receive from any state agency, and the same are authorized

to provide such assistance, service, facilities and data as will enable

the program to carry out the functions, powers and duties provided by

this article and such temporary or permanently assigned personnel as the

director of the budget may approve.

Functions, powers and duties of other departments and state

agencies. Nothing contained in this article shall be deemed to detract

in any way from the functions, powers or duties prescribed by law of any

department of the state or to interrupt or preclude the direct

relationship of any such department or agency with other agencies,

individuals or corporations for the carrying out of its functions,

powers and duties.

* § 181-c. Legislative intent. The legislature recognizes the

importance of the sport of golf as an economic engine in New York. As

the sport of golf continues to become more popular, golf vacation

experiences will grow commensurately as tourist destinations. A recent

study by the National Golf Foundation found that in neighboring

Pennsylvania, the golf industry generates 1.1 billion dollars in direct

economic benefit and 2.3 billion dollars in direct and indirect

benefits, making it one of the largest industries in Pennsylvania. Golf

enthusiasts typically enjoy flexible incomes and spend at above average

levels on golf vacations. New York state must act to capitalize on this

visitor spending. As home to many premiere golf courses, as well as

affordable courses, New York is in an excellent position to attract

travelers seeking a unique golf experience. The state must take on the

responsibility of making New York an attractive and user-friendly

destination for all travelers seeking a golf experience.

* NB There are 2 § 181-c's

* § 181-d. Definitions. As used in this article the following

definitions shall apply:

1. "golf trail" shall mean a series of golf courses identified by the

commissioner, which may be linked by geography, quality, price range,

design and/or professional rating.

2. "golf passport" shall mean a booklet or other publication, which is

specific to the golf courses or surrounding attractions on a golf trail,

and may include discounts and other incentives related to visiting the

golf courses and attractions on the golf trail.

* NB There are 2 § 181-d's

* § 181-e. General functions, powers and duties of the commissioner.

1. The commissioner shall develop and implement an "I love NY golf"

promotion program. The commissioner, in conjunction with the

commissioner of parks, recreation and historic preservation and any

local government official or entity, shall identify a series of golf

courses to be part of a golf trail. No fewer than two golf trails should

be identified for the purposes of the program, and the commissioner

shall work to ensure an adequate representation of golf courses

throughout New York state. In identifying specific courses to be

included on a golf trail, special consideration shall be given to those

trails, which can be thematically linked by surrounding arts, cultural,

historical, entertainment or other tourism destinations or exhibits of

interest to travelers.

2. The commissioner shall cause to be developed golf vacation

itineraries based on specific golf trails, which shall identify for

visitors surrounding attractions, restaurants, golf supply shops,

lodging and other exhibits or places of entertainment as may be a part

of the theme linking the golf courses on the golf trail.

3. The commissioner shall work to develop discount packages for such

golf trails, which may include the development of a golf passport.

4. Nothing shall preclude the commissioner from contracting with an

independent vacation or travel package company to help develop golf

vacation packages along a golf trail.

* NB There are 2 § 181-e's

Definitions. For the purposes of this article the following

terms shall have the following meanings:

1. "Senior" shall mean persons of at least sixty years or older;

2. "Senior tourism attraction" shall mean a tourism attraction as

identified by a participatory organization that specifies opportunities

for seniors.

Senior tourism attractions program. 1. The commissioner, in

conjunction with all relevant departments and agencies, tourism

promotion agencies, and the director of the office for the aging and in

consultation with applicable local government officials, shall develop

and implement a senior tourism attractions program. Such program shall

include the opportunity to incorporate information for visitors and

senior attractions in each of the state's vacation regions. In

identifying specific attractions to be included in the program,

consideration shall be given to attractions that can be linked to

surrounding artistic, cultural, historical, and entertainment

attractions or other tourism attractions.

2. The senior tourism attractions program shall identify for visitors

of senior friendly attractions the surrounding attractions, restaurants,

lodging and other exhibits or places of entertainment.

3. Information about the senior tourism attractions shall be publicly

available and posted on the websites of the department, the office of

parks, recreation and historic preservation, and the office for the

aging.

The New York state economic development power allocation board.

There is hereby created a New York state economic development power

allocation board, which shall possess the powers and duties herein

specified and all the powers necessary or proper to carry out the

purposes of this article. The board shall consist of four members, two

of whom shall be appointed by the governor and one of whom shall be

appointed by the speaker of the assembly and one of whom shall be

appointed by the president pro tempore of the senate. Each member shall

be appointed for terms of three years or until a successor shall have

been named and qualified. The chairman shall be designated by the

governor from amongst the members. Three members shall constitute a

quorum for the purposes of organizing the board and conducting the

business thereof; and no actions of the board may be taken except upon

the affirmative vote of at least three members. Videoconferencing may be

used for attendance and participation by members of the board. If

videoconferencing is used the board shall provide an opportunity for the

public to attend, listen and observe at any site at which a member

participates. The public notice for the meeting shall inform the public

that vidioconferencing will be used, identify the locations for the

meeting, and state that the public has the right to attend the meeting

at any of the locations. Members of the board, except those who are

employees or officers of the state, its authorities or agencies shall

not receive a salary or other compensation, but shall be allowed the

necessary and actual expenses incurred in the performance of duties

under this article.

General powers and duties of the board. In furtherance of the

purposes set forth in this article, the board shall have the following

powers:

(a) To adopt, within one hundred twenty days after appointment,

eligibility criteria and rules and regulations relating to the

activities of the board.

(b) To evaluate applications for allocations of economic development

power and to make recommendations with respect to such proposed

allocations.

(c) To evaluate economic development plans for the use of industrial

incentive awards submitted by the power authority of the state of New

York pursuant to this article.

(d) To provide advice and assistance when appropriate to applicants on

state economic development programs and services in addition to the

economic development power and industrial incentive awards specifically

provided for in this section.

The department, the power authority of the state of New York, the

urban development corporation, and all other state officers,

departments, boards, divisions and commissions shall render such

services to the board within their respective functions as may be

requested by the board.

The board shall solicit applications for economic development power by

public notice. Such notice shall be in the form of newspaper

advertisements, press releases, and by such other means as the board

finds appropriate.

Criteria for eligibility for economic development power. Each

application for an allocation of economic development power shall be

evaluated under criteria adopted by the board. Such criteria shall

address, but need not be limited to:

(a) the number of new jobs created as a result of an economic

development power allocation;

(b) the applicant's long-term commitment to New York state, as

evidenced by the applicant's current and/or planned capital investment

in business facilities in New York state;

(c) the ratio of the number of jobs to be created to the amount of

economic development power requested by the applicant;

(d) the types of jobs created, as measured by wage and benefit levels,

security and stability of employment;

(e) the type and cost of buildings, equipment and facilities to be

constructed, enlarged or installed;

(f) the extent to which economic development power will affect the

overall productivity or competitiveness of the applicant's business and

its existing employment within the state;

(g) the extent to which an allocation of economic development power

may result in a competitive disadvantage for other businesses in the

state;

(h) the general economic conditions and economic distress in the area

in which the applicant's business facility would be located and the

extent to which economic development power could contribute to the

alleviation of such distress;

(i) the growth potential of the business facility and the contribution

of economic strength to the area in which the business facility is or

would be located;

(j) the extent of the applicant's willingness to make jobs available

to persons defined as eligible for services under the federal job

training partnership act of nineteen hundred eighty-two and the extent

of the applicant's willingness to satisfy affirmative action goals;

(k) the extent to which an allocation of economic development power is

consistent with state, regional and local economic development

strategies and priorities and supported by local units of government in

the area in which the business is located; and

(l) the impact of the allocation on the operation of any other

facilities of the applicant, on other businesses within the state, and

upon other electric ratepayers.

Revitalization programs. In addition to the criteria described

in section one hundred eighty-four of this article and such other

criteria as the board may by rule or regulation define, an economic

development power allocation may be made to a business in serious,

long-term distress that is not primarily caused by normal, short-term

changes in the business cycle, when the applicant demonstrates to the

satisfaction of the board:

(a) that the applicant has formulated and will implement a

comprehensive business revitalization plan which is described in its

application, and which:

(1) contains a detailed strategy for actions to be taken by the

applicant to continue as a successful business, including, but not

limited to, productivity and efficiency improvements, changes in

operations, financing or management, measures to enhance labor and

management cooperation and to improve the skills and performance of the

work force at all levels, capital investment in new equipment and plant

modernization, development of new markets and products, and such other

actions as will enable the business to stabilize and sustain its

operations;

(2) has been endorsed by the board of directors; and

(3) establishes a verifiable schedule for completion of proposed

actions;

(b) that an allocation of economic development power will

significantly contribute to the revitalization plan;

(c) that the business is likely to close, partially close or relocate

out of state resulting in the loss of substantial numbers of jobs;

(d) that the business is an important employer in the community and

efforts to revitalize the business are in the long-term interests of

both employees and the community;

(e) that a reasonable prospect exists that the proposed revitalization

plan will enable the business to remain competitive and become

profitable and preserve jobs for a substantial period of time;

(f) that the applicant demonstrates cooperation with the local

electricity distributor and other available sources of assistance to

reduce energy costs to the maximum extent practicable, through

conservation and load management; and

(g) that the allocation will not unduly affect the cost of electric

service to customers of the local electricity distributor.

Transfers of economic development power. The transfer of an

economic development power allocation between facilities of a recipient

shall be prohibited unless specifically approved by the board as

consistent with the criteria and requirements in sections one hundred

eighty-four, one hundred eighty-five and subdivision (g) of section one

hundred eighty-seven of this article as may be applicable. Any transfer

which occurs without the board's approval shall be invalid and such

transfer may subject the recipient to revocation of its allocation and

modification or revocation of its contract.

Economic development power allocations. (a) Any municipality or

municipal agency may, alone or jointly with others, file with the board

an application for an economic development power allocation on behalf of

a business. Such applications shall be in such form and contain such

information, exhibits and supporting data as the board may prescribe.

The board shall issue a determination as to the sufficiency of an

application or reapplication within twenty days of the receipt thereof.

The applicant shall be entitled to timely review and action on the

application by the board.

(b) Any applicant authorized to file with the board an application for

economic development power may also apply for, purchase and receive a

bulk allocation of economic development power for the purpose of

entering into contracts with eligible businesses. In making such an

application, the applicant shall indicate the estimated number of jobs

created or retained as a result of the allocation of economic

development power. The board, in acting upon such an application, shall

consider, and apply, as appropriate, the criteria and requirements

provided for in sections one hundred eighty-four and one hundred

eighty-five of this article. All such applications for economic

development power shall include a specified period of time to be

approved by the board in which the applicant shall execute contracts

with businesses for the use of the power from its bulk allocation of

economic development power. If the applicant fails to contract for the

full amount of the bulk allocation within that specified period of time,

the uncontracted for portion of the bulk allocation shall be withdrawn.

(c) The board shall review the applications received and shall

determine the applications which best meet the criteria and it shall

recommend such applications to the power authority of the state of New

York with such terms and conditions as it deems appropriate. Except for

allocations subject to subdivision (g) of this section and section one

hundred eighty-five of this article, each allocation recommended by the

board shall be to serve new electrical demand at facilities at which new

jobs are created. Such terms and conditions shall include reasonable

provisions providing for the partial or complete withdrawal of the

economic development power in the event the recipient fails to maintain

mutually agreed levels of employment and power utilization.

(d) Allocations shall be recommended only to or for the use of

businesses which normally utilize a minimum peak electric demand of four

hundred kilowatts. At least one half of all allocations shall be

recommended for applicants within the geographic areas served by Long

Island Lighting Company, Consolidated Edison Company of New York, Orange

and Rockland Utilities, Incorporated, Central Hudson Gas and Electric

Corporation and that part of Westchester, Putnam and Dutchess counties

served by New York State Electric and Gas Corporation. No more than

fifty percent of the available economic development power shall be

recommended for allocation to applicants located within a single

municipality except upon the unanimous recommendation of the board.

(e) Recommendation for an allocation of economic development power

shall qualify an applicant to enter into a contract for purchase of such

power from the power authority of the state of New York pursuant to the

terms and conditions of the recommendation. Contracts between an

applicant and a business receiving an allocation of economic development

power shall be subject to the approval of the power authority of the

state of New York. Such contracts and allocations shall provide that the

local distributor of electric service will provide customer and billing

services upon mutually agreed terms and conditions.

(f) Upon approval or denial of any application for economic

development power, the board shall issue in writing a statement of its

findings and conclusions with respect to such application and the

reasons for its approval or denial.

(g) Within cities of a population of one million or more and the

counties of Dutchess, Nassau, Orange, Putnam, Rockland, Suffolk and

Westchester, an economic development power allocation may be recommended

for the purpose of job retention by unanimous approval of the board

applying the criteria developed pursuant to section one hundred

eighty-four of this article and when an applicant on behalf of a

business within such city or county demonstrates to the board (a) the

business' plans to relocate out of state resulting in the loss of a

substantial number of jobs and its commitment to new investments in real

property of at least twelve and one-half percent of the effective market

value or to relocate within such city or county to comparable

facilities, upon receiving an economic development allocation, and (b)

that the applicant or the business first has made the greatest

practicable use of all other potential assistance and means, including

but not limited to other low cost power and/or energy, tax and energy

cost abatement measures and administrative steps to make possible the

business' new investment or relocation. For the purposes of this

subdivision, effective market value for special assessing units, as

defined in article eighteen of the real property tax law, shall be

determined by dividing the assessed value of the property on the latest

completed assessment roll by the latest class ratio applicable to the

class in which the property is classified, and for all other assessing

units, effective market value shall be determined by dividing the

assessed value of the property on the latest completed assessment roll

by the final state equalization rate or special equalization rate as

promulgated by the commissioner of taxation and finance pursuant to

article twelve of the real property tax law.

Industrial incentive awards. The power authority of the state

of New York shall submit to the board its economic development plan for

the use of industrial incentive awards for economic development

purposes. The board shall review the proposed plan and shall approve

such plan, in whole or in part, upon its determination that such plan

and its implementation is consistent with the criteria and requirements

provided for in sections one hundred eighty-four and one hundred

eighty-five of this article and such other criteria as the board may, by

rule and regulation, provide with respect to the plan and industrial

incentive awards.

Recharge New York power program. (a) Definitions. For the

purposes of this section, the following terms shall have the following

meanings:

(1) "Applicable criteria" shall mean the criteria specified in

subdivision (c) of this section.

(2) "Authority" shall mean the power authority of the state of New

York.

(3) "Recharge New York power allocation" or "allocation" shall mean an

allocation of recharge New York power by the power authority of the

state of New York pursuant to section one thousand five of the public

authorities law to an eligible applicant recommended by the New York

state economic development power allocation board in accordance with

this section.

(4) "Eligible applicant" shall mean an eligible business, eligible

small business, or eligible not-for-profit corporation as defined in

this section, provided however, that an eligible applicant shall not

include retail businesses as defined by the board, including, without

limitation, sports venues, gaming or entertainment-related

establishments or places of overnight accommodation.

(5) "Eligible business" shall mean a business other than a

not-for-profit corporation which normally utilizes a minimum peak

electric demand in excess of four hundred kilowatts.

(6) "Eligible not-for-profit corporation" shall mean a corporation

defined in subdivision five of paragraph (a) of section one hundred two

of the not-for-profit corporation law.

(7) "Eligible small business" shall mean a business other than a

not-for-profit corporation which normally utilizes a minimum peak

electric demand equal to or less than four hundred kilowatts.

(8) "Recharge New York power" shall mean and consist of equal amounts

of (i) four hundred fifty-five megawatts of firm hydroelectric power

from the Niagara and Saint Lawrence hydroelectric projects to be

withdrawn from utility corporations that, prior to the effective date of

this section, purchased such power for the benefit of their domestic and

rural consumers ("recharge New York hydropower"), and (ii) power

procured by the authority through a competitive procurement process,

authority sources (other than the Niagara and Saint Lawrence projects)

or through an alternate method ("recharge New York market power");

provided, however, that if such recharge New York market power comes

from authority sources, the use of that power shall not reduce the

availability of, or cause an increase in the price of, power provided by

the authority for any other program authorized in this article or

pursuant to any other statute.

(b) Applications for recharge New York power allocations. (1) The

board may solicit applications for recharge New York power allocations

under the program created by this section by public notice beginning no

later than February first, two thousand twelve. Such notice may include

newspaper advertisements, press releases, website postings, paper or

electronic mailing, and/or such other form of notice as the board finds

appropriate in consultation with the authority.

(2) Applications for recharge New York power allocations shall be in

the form and contain such information, exhibits and supporting data as

the board prescribes in consultation with the authority. A copy of each

application received shall be made available for review by each board

member, and a copy shall be provided to the authority.

(3) An applicant who is a recipient of a hydroelectric power

allocation or benefits supported by the sale of hydroelectric power

under another program administered in whole or part by the authority

shall be eligible to apply for an allocation under the recharge New York

power program only if it is in substantial compliance with its

contractual commitments made in connection with such other program,

provided however that an applicant shall not receive a recharge New York

power allocation and any other authority power program benefits with

respect to the same quantity of electricity consumed at a facility.

(4) Subject to confidentiality requirements, upon receipt of each

application from the board, the authority shall promptly notify by

electronic means, including website postings and such other methods the

board deems appropriate in consultation with the authority, the

governor, the speaker of the assembly, the minority leader of the

assembly, the temporary president of the senate, the minority leader of

the senate, and each member of the state legislature in whose district

any portion of the facility for which an allocation is requested is

located. Such notice shall provide the name and a description of the

applicant, and the address of the facility for which the allocation is

requested. The authority shall also develop a listing which contains the

name and a description of each applicant, the recharge New York power

program allocation sought by each applicant, and the address of the

facility for which the applicant requests the allocation, and shall make

the listing available for public review on the authority's website.

(c) Review applicable criteria and recommendations. (1) The board

shall review applications submitted under the recharge New York power

program. The board shall make an initial determination of whether the

applicant is an eligible applicant. In the case of an eligible

applicant, the board may recommend to the authority that an allocation

of recharge New York power be awarded to an applicant for a facility

located in the state of New York based on consideration of the following

criteria which shall be considered in the aggregate and no one of which

shall be presumptively determinative:

(i) the significance of the cost of electricity to the applicant's

overall cost of doing business, and the impact that a recharge New York

power allocation will have on the applicant's operating costs;

(ii) the extent to which a recharge New York power allocation will

result in new capital investment in the state by the applicant;

(iii) the extent to which a recharge New York power allocation is

consistent with any regional economic development council strategies and

priorities;

(iv) the type and cost of buildings, equipment and facilities to be

constructed, enlarged or installed if the applicant were to receive an

allocation;

(v) the applicant's payroll, salaries, benefits and number of jobs at

the facility for which a recharge New York power allocation is

requested;

(vi) the number of jobs that will be created or retained within the

state in relation to the requested recharge New York power allocation,

and the extent to which the applicant will agree to commit to creating

or retaining such jobs as a condition to receiving a recharge New York

power allocation;

(vii) whether the applicant, due to the cost of electricity, is at

risk of closing or curtailing facilities or operations in the state,

relocating facilities or operations out of the state, or losing a

significant number of jobs in the state, in the absence of a recharge

New York power allocation;

(viii) the significance of the applicant's facility that would receive

the recharge New York power allocation to the economy of the area in

which such facility is located;

(ix) the extent to which the applicant has invested in energy

efficiency measures, will agree to participate in or perform energy

audits of its facilities, will agree to participate in energy efficiency

programs of the authority, or will commit to implement or otherwise make

tangible investments in energy efficiency measures as a condition to

receiving a recharge New York power allocation;

(x) whether the applicant receives a hydroelectric power allocation or

benefits supported by the sale of hydroelectric power under another

program administered in whole or in part by the authority;

(xi) the extent to which a recharge New York power allocation will

result in an advantage for an applicant in relation to the applicant's

competitors within the state; and

(xii) in addition to the foregoing criteria, in the case of a

not-for-profit corporation, whether the applicant provides critical

services or substantial benefits to the local community in which the

facility for which the allocation is requested is located.

(2) A recommendation by the board that the authority provide a

recharge New York power allocation to an eligible applicant shall

include, but need not be limited to:

(i) the amount of the recharge New York power allocation the board has

determined should be awarded to such eligible applicant, provided

however, that the board may recommend a recharge New York power

allocation in an amount that is less than the amount requested by such

applicant;

(ii) an effective initial term of the allocation and contract between

the eligible applicant and the authority which shall not exceed seven

years, provided however that the term of any such allocation and

contract shall not become effective before July first, two thousand

twelve;

(iii) provisions for effective periodic audits of the recipient of an

allocation for the purpose of determining contract and program

compliance, and for the partial or complete withdrawal of an allocation

if the recipient fails to maintain mutually agreed upon commitments,

relating to, among other things, employment levels, power utilization,

capital investments, and/or energy efficiency measures;

(iv) a requirement for an agreement by the recipient of an allocation

to (A) undertake at its own expense an energy audit of its facilities at

which the allocation is consumed at least once during the term of the

allocation but in any event not less than once every five years,

provided, however, that such requirement may be waived or modified by

the authority on a showing of good cause by the recipient, and (B)

provide the authority with a copy of any such audit or, at the

authority's option, a report describing the results of such audit, and

provide documentation requested by the authority relating to the

implementation of any efficiency measures at the facilities; and

(v) a requirement for an agreement by the recipient of an allocation

to (A) make its facilities available at reasonable times and intervals

for energy audits and related assessments that the authority desires to

perform, if any, at the authority's own expense, and (B) provide

information requested by the authority or its designee in surveys,

questionnaires and other information requests relating to energy

efficiency and energy-related projects, programs and services.

(3) The board's recommendation shall require that if the actual

metered load at the facility where the allocation is utilized is less

than the allocation, such allocation will be reduced accordingly,

provided that, under its contract with the authority, the recipient

shall be afforded a reasonable period within which to fully utilize the

allocation, taking into account construction schedules and economic

conditions. The authority shall reallocate any withdrawn or relinquished

power for the recharge New York power program consistent with paragraph

four of this subdivision.

(4) The board may base its recommendation on which eligible applicants

it determines best meet the applicable criteria; provided, however, that

the board shall dedicate recharge New York power as follows: (i) at

least three hundred fifty megawatts for use at facilities located within

the service territories of the utility corporations that, prior to the

effective date of this section, purchased Niagara and Saint Lawrence

hydroelectric power for the benefit of their domestic and rural

consumers; (ii) at least two hundred megawatts for the purposes of

attracting new business to the state, creating new business within the

state, or encouraging the expansion of existing businesses within the

state, that create new jobs or leverage new capital investment; and

(iii) an amount not to exceed one hundred fifty megawatts for eligible

small businesses and eligible not-for-profit corporations.

(5) The board shall issue a written statement of its findings and

conclusions with respect to every application and the reasons for its

recommendation to the authority.

(6) A recommendation for a recharge New York power allocation shall

qualify an applicant to enter into a contract with the authority

pursuant to the terms and conditions of the recommendation by the board

and on such other terms as the authority determines to be appropriate.

(7) The board shall not recommend a total of recharge New York power

allocations in excess of nine hundred ten megawatts.

(d) The authority shall work cooperatively with the department of

public service to recommend to the public service commission reduced

rates or an equivalent mechanism for the delivery by utility

corporations of recharge New York power program allocations. Any such

recommendation for reduced delivery rates shall be at such level as to

allow the utility to (i) recover the incremental cost of providing

delivery service to such customers, and (ii) contribute to the common

delivery and related costs which otherwise would be borne by other

customers.

(e) The authority shall, at a minimum, report quarterly to the board

on the availability of recharge New York power for the subsequent

twelve-month period, the amount of such power allocated and other

relevant information.

(f) After an award of a recharge New York power allocation, the board

shall accept requests from recipients who at the time of such request

are eligible applicants who are in substantial compliance with

contractual commitments made in connection with the recharge New York

power program for an extension of an existing allocation (i) during the

twenty-four month period immediately preceding the expiration of the

term of the allocation, or (ii) at such earlier time with the consent of

the authority in writing. Requests for extensions shall be reviewed

using the criteria set forth in paragraph one of subdivision (c) of this

section.

(g) Transfers of recharge New York power. Notwithstanding any other

approval required by statute, regulation or contract, the transfer of a

recharge New York power allocation to a different recipient, to a

different owner or operator of a facility, or to a different facility is

prohibited unless specifically approved by the board as consistent with

the criteria and requirements of this section. Any transfer that occurs

without the board's approval shall be invalid and such transfer may

subject the transferor to revocation or modification of its allocation

and contract.

(h) (1) The board, in consultation with the authority, shall submit to

the governor, temporary president of the senate, speaker of the

assembly, minority leader of the senate and minority leader of the

assembly an evaluation of the effectiveness of the recharge New York

power program. Such evaluation shall focus on how the program has aided

recipients of power allocations, and may include recommendations for how

the program can be made more effective, and shall be based, in part, on

the relative costs of power for recipients in comparison to the cost of

power for non-recipients. Such evaluation shall be submitted by December

thirty-first, two thousand fifteen and by December thirty-first every

five years thereafter.

(2) The board, with assistance from the authority, shall maintain the

necessary records and data required to perform such evaluation and

respond to requests for information pursuant to article six of the

public officers law.

Definitions. For the purposes of this article, the following

terms shall have the following meanings:

1. "Authority" is the power authority of the state of New York.

2. "Board" is the western New York power proceeds allocation board

created by this article.

3. "Benefits" or "fund benefits" are payments to eligible applicants

selected by the authority for the purpose of funding eligible projects

with monies derived from net earnings that have been deposited into the

western New York economic development fund.

4. "Eligible applicant" means a private business, including a

not-for-profit corporation.

5. "Eligible projects" are economic development projects by eligible

applicants that are physically located within the state of New York

within a thirty mile radius of the Niagara power project located in

Lewiston, New York that will support the growth of business in the state

and thereby lead to the creation or maintenance of jobs and tax revenues

for the state and local governments. Eligible projects may include

capital investments in buildings, equipment, and associated

infrastructure (collectively, "infrastructure") owned by an eligible

applicant for fund benefits; transportation projects under state or

federally approved plans; the acquisition of land needed for

infrastructure; research and development where the results of such

research and development will directly benefit New York state; support

for tourism and marketing and advertising efforts for western New York

state tourism and business; and energy-related projects. Eligible

projects do not include, and fund benefits may not be used for, public

interest advertising or advocacy; lobbying; the support or opposition of

any candidate for public office; the support or opposition to any public

issue; legal fees related to litigation of any kind; expenses related to

administrative proceedings before state or local agencies; or retail

businesses as defined by the board, including without limitation, sports

venues, gaming and gambling or entertainment-related establishments,

residential properties, or places of overnight accommodation.

6. "Energy-related projects, programs and services" shall have the

same meaning as such term is defined in subparagraph two of paragraph

(b) of subdivision seventeen of section one thousand five of the public

authorities law.

7. "Expansion power" is the two hundred fifty megawatts of firm

Niagara project hydroelectric power and "replacement power" is the four

hundred forty-five megawatts of firm Niagara project hydroelectric power

as such terms are defined in subdivision thirteen of section one

thousand five of the public authorities law. For purposes of this

article, "expansion and replacement power" means the energy associated

with such power. Notwithstanding any law, rule, regulation, or policy

to the contrary, as of the first day of July, two thousand twelve, the

term replacement power as used in this article includes a certain

seventy megawatts of power that is referred to in subdivision thirteen

of section one thousand five of the public authorities law.

8. "Net earnings" is the aggregate excess of revenues received by the

power authority of the state of New York from the sale of expansion and

replacement power and energy produced at the Niagara project that was

sold in the wholesale energy market over what revenues would have been

received had such energy been sold on a firm basis to an eligible

expansion or replacement power customer under the applicable tariff or

contract.

9. "Western New York economic development fund" or "fund" is a fund of

the authority into which all net earnings are deposited by the authority

in accordance with subdivision twenty of section one thousand five of

the public authorities law and from which allocations of fund benefits

to eligible projects may be made.

The western New York power proceeds allocation board. 1.

There is hereby created the western New York power proceeds allocation

board, which shall possess the powers and duties herein specified. The

board shall consist of five members who shall be appointed by the

governor as follows: one of whom shall be appointed upon the

recommendation of the temporary president of the senate and shall reside

within the thirty mile radius of the Niagara power project, one of whom

shall be appointed upon the recommendation of the speaker of the

assembly and shall reside within the thirty mile radius of the Niagara

power project, and at least one additional member who shall also reside

within the thirty mile radius of the Niagara power project. The governor

shall designate a chair from amongst the board's members.

2. Each member shall serve a term of five years or until a successor

shall have been named and qualified. Members may be reappointed to

successive terms.

3. Notwithstanding any other provision of law to the contrary, three

members shall constitute a quorum for the purposes of organizing the

board and conducting the business thereof. No action of the board may be

taken except upon an affirmative vote of at least three-fifths of the

full board membership at any meeting at which at least three members are

present or participating by videoconferencing. Videoconferencing may be

used for attendance and participation by members of the board. If

videoconferencing is used, the board shall provide an opportunity for

the public to attend, listen and observe at any site at which a member

participates. The public notice for the meeting shall identify, if

practicable, all locations where a member will participate in the

meeting by videoconference and shall state that the public has the right

to attend the meeting at any such location.

4. Members of the board, except those that are employees or officers

of the state, its authorities or agencies, shall not receive a salary or

other compensation, but shall be allowed the necessary and actual

expenses incurred in the performance of duties under this article.

General powers and duties of the board. 1. The board shall

establish procedures and guidelines relating to the activities of the

board.

2. The board shall establish procedures through written policies or

standards for reviewing applications for an allocation of fund benefits

that shall include a review of applications no less frequently than

twice each year. The board, or a member designated by the board, shall

receive all applications from, or on behalf of, eligible applicants for

fund benefits. Applications shall be in a form and contain such

information, data and exhibits as the board, in consultation with the

authority, may prescribe.

3. The board may request from the authority an analysis of any

application along with any recommendations. In addition, the authority

shall supply any such additional information as is reasonably necessary

for the board to perform its duties.

4. In reviewing applications for fund benefits, the board shall use

the criteria for eligibility for expansion, replacement and preservation

power and for revitalization of industry as provided in section one

thousand five of the public authorities law. In addition, the board

shall consider the extent to which an award of fund benefits is

consistent with any regional economic development council strategies and

priorities having responsibility for the region in which the eligible

project is located. The board shall issue a written statement of its

findings and recommendations for each application reviewed.

5. The board shall recommend to the authority the allocation of fund

benefits to eligible projects that the board finds are consistent with

the applicable criteria in subdivision four of this section. The board

may include within its recommendations such recommended terms and

conditions as it deems appropriate, including, but not limited to,

reasonable provision for the allocation of fund benefits over time as

the eligible applicant achieves milestones towards project completion,

the partial or complete withdrawal or return of fund benefits where the

recipient has failed to achieve or maintain mutually agreed upon

commitments, or such other terms and conditions as the board deems

advisable. The board shall not recommend an allocation of fund benefits

prior to establishing procedures for reviewing applications pursuant to

subdivision two of this section.

6. A recommendation by the board that an eligible applicant receive an

allocation of fund benefits shall be a prerequisite to an award of fund

benefits by the authority. The authority shall award fund benefits to an

applicant upon a recommendation of the board; provided, however, that

upon a showing of good cause, the authority shall have discretion as to

whether to adopt the board's recommendation, or to award benefits in a

different amount or on different terms and conditions than those

contained in the recommendation of the board. Allocations of fund

benefits shall only be made on the basis of net earnings that have been

deposited in the western New York economic development fund. No award of

fund benefits shall encumber future net earnings or net earnings that

have been received but not deposited in the western New York economic

development fund.

7. Upon making an allocation of fund benefits, the authority shall

include within the agreement providing for the terms and conditions

applicable to such allocation all terms and conditions the authority

deems appropriate, taking into account the recommendations made by the

board.

Rules and regulations. The authority is hereby authorized to

promulgate such rules and regulations as it deems necessary to fulfill

the purposes of this article.

Definitions. As used in this article, unless a different

meaning appears from the context, the following words and terms shall

have the following meanings:

1. "Feasibility study" shall mean an investigation and evaluation of

the viability of an industrial firm or group of industrial firms,

including those for which local buyout assistance has been requested. A

feasibility study shall include, but not be limited to, an assessment of

the potential profitability and prospects for job preservation and

future job growth; the condition, stability and growth potential of the

industry in domestic and international markets; the financial condition;

essential changes and productivity improvements needed to remain viable;

the quality of management and its ability to innovate and change; labor

and management relations; workforce skills and training needs; whether

adequate time exists to effectuate a local buyout or revitalize a firm;

relations with suppliers and customers; and cooperation of the sellers.

2. "Industrial firm" shall mean a manufacturing firm involved with

extracting, smelting, recovering, developing, preparing, compounding,

converting, assembling or producing in any manner, minerals, raw

materials, products or substances of any kind or nature, and shall

include facilities related thereto for storage, warehousing or

distribution, for research and development or for the discovery of new,

and the refinement of known, substances, processes, and products.

3. "Local buyout" shall mean the transfer of the ownership and control

of a viable industrial firm to its employees, or managers, or to other

investors resident in New York state, where such transfer will create or

retain substantial numbers of private sector jobs by preventing the

closing, partial closing, or the relocation out-of-state of an

industrial firm.

4. "Medium-sized industrial firm" shall mean an industrial firm that

employs less than five hundred persons within the state on a full-time

basis.

5. "Productivity assessment" shall mean an evaluation of the existing

and potential productivity and profitability of an industrial firm or

group of industrial firms and recommendations for productivity

improvements, including, but not limited to, analysis of products,

market position, financial condition, ownership structure, production

processes, labor/management relations, worker skills and training needs,

plant and equipment, and business strategy.

6. "Small-sized industrial firm" shall mean an industrial firm that

employs one hundred or less persons within the state on a full-time

basis.

Establishment and purposes. 1. The commissioner is hereby

authorized and directed to establish an industrial effectiveness program

within the department for the purposes specified in this section. The

commissioner shall appoint such employees as are necessary to carry out

the provisions of this article, including professional staff with

demonstrated expertise in private industrial management and operations.

2. The purposes of the industrial effectiveness program shall be:

(a) to assist industrial firms with the introduction of improved

management and labor practices and production processes in order to

enhance their productivity and competitiveness;

(b) to aid in the development of new markets and ownership structures

in order to improve the long-term viability of industrial firms;

(c) to identify and assist industrial firms that are, or are likely to

be, in severe financial difficulty;

(d) to develop strategies for mobilizing state and community resources

to respond to the needs of distressed industrial firms and to

manufacturing plant closings and partial closings; and

(e) to assist industrial firms in obtaining financing from publicly

sponsored financing assistance programs and from private lending

institutions.

Administration. The department, in furtherance of the

objectives of the industrial effectiveness program, is hereby authorized

and directed to:

1. provide productivity assessments and feasibility studies to

industrial firms that have requested such assistance directly or upon

referral by the department's regional offices, the New York state

science and technology foundation, the New York state urban development

corporation, or by other state agencies, authorities, offices or

commissions. Such productivity assessments and feasibility studies may

be provided directly by the department or by experts retained or

supervised by the department. Any expenditures for such assistance other

than for preliminary productivity assessments or feasibility studies

shall be based on a plan reviewed and approved by the commissioner. The

following factors shall be considered in determining whether to provide

a productivity assessment or feasibility study to an industrial firm:

(a) the potential viability of the company; (b) the commitment of

management and labor to jointly participate in a

productivity-improvement program; and (c) whether interests of the

employees of the firm would be served by such assistance. Industrial

firms and potential purchasers of existing industrial firms shall share

the cost of a productivity assessment or feasibility study provided by

experts retained or supervised by the department. The level of

contribution by a firm or by potential purchasers toward the cost of

such an assessment or feasibility study shall not be less than fifty

percent of the total cost;

2. identify public and private sources of expertise available to

assess productivity problems of industrial firms and to work under

contract or in cooperation with the department in assisting such firms

to undertake productivity-improvement activities;

3. identify individuals and firms with a distinctive competence in at

least one area related to industrial productivity, such as industrial

management, operations, production technology, marketing or labor

relations and training, and a demonstrated ability to serve small and

medium-sized industrial firms, for the purposes of referring small and

medium-sized industrial firms with identified needs to consultants with

relevant expertise;

4. design and conduct seminars and workshops to inform industrial

managers, union leaders, trade associations, and other appropriate

individuals and organizations, of industrial productivity-improvement

methods and approaches and to demonstrate their successful adoption in

similar firms;

5. publish a periodic newsletter to report on productivity research

projects and case studies, market the program's services and provide

such other information as the commissioner deems appropriate;

6. conduct educational programs to inform industrial firms, labor

organizations, banking organizations and other financial institutions,

and industrial or local development agencies of the benefits and risks

associated with, and methods for effectuating, the transfer of ownership

of industrial firms to employees, managers or other local investors;

7. promote the services and assistance available under this article

for industrial firms, to such firms and to municipal officials and

agencies, regional and local economic development entities, technology

development organizations, trade associations, business and labor

organizations and other appropriate entities;

8. provide short-term management consulting services to industrial

firms, directly or through contracts, in order to assist such firms with

assessing management, operations, market or financial problems;

9. provide information on state-sponsored programs offering financial

or technical assistance to industrial firms and aid such firms in

applying for assistance;

10. identify industrial firms in danger of closing or substantially

reducing operations.

Rules and regulations. The commissioner shall promulgate rules

and regulations for the operation of the industrial effectiveness

program, which shall include:

1. the criteria to be used in determining industrial firms eligible

for assistance and the nature and extent of commitments required of

owners or managers of assisted firms;

2. the procedures and criteria to be used in selecting and retaining

experts to be used in diagnosing problems of specific industrial firms

and in undertaking productivity assessments and feasibility studies; and

3. the fees to be charged for assistance provided to groups of

industrial firms or individual firms.

Exemption from disclosure requirements. To the fullest extent

permitted under subdivision two of section eighty-seven of the public

officers law, all information regarding the financial condition,

marketing plans, manufacturing processes, production costs, productivity

rates, customer lists, or other trade secrets and proprietary

information of a person or entity requesting assistance from the

department, which is submitted by such person or entity to the

department in connection with an application for assistance or with a

productivity assessment or feasibility study, shall be confidential and

exempt from public disclosure.

Reporting. The commissioner shall, on or before October first,

nineteen hundred eighty-eight and on or before each October first

thereafter, submit a report to the governor and the legislature on the

operation and accomplishments of the industrial effectiveness program.

Evaluation. 1. The commissioner shall submit to the director of

the budget, the chairperson of the senate finance committee and the

chairperson of the assembly ways and means committee an evaluation of

the success of the industrial effectiveness program prepared by an

entity independent of the department. Such evaluation shall determine

whether the services provided have helped client firms to succeed, based

on a comparison of the performance of client firms to the norms of their

specific industry, and shall assess the effect, if any, of the program

on the continued location and growth of industrial firms within the

state. Such an evaluation shall be submitted by September first, two

thousand five and by September first every four years thereafter.

2. Between evaluation due dates, the commissioner shall maintain the

necessary records and data required to satisfy such evaluation

requirements and to satisfy information requests received from the

director of the budget, the chairperson of the senate finance committee

and the chairperson of the assembly ways and means committee between

such evaluation due dates.

Definitions. For the purposes of this article, the following

terms shall have the following meanings:

1. "Authority" is the power authority of the state of New York.

2. "Authority-TMED contract" refers to a certain contract between the

authority and the town of Massena electric department, entitled

"Agreement Governing the Sale of St. Lawrence-FDR Project Power and

Energy to the Town of Massena Electric Department for Economic

Development Purposes," executed and dated by the authority on October

eighteenth, two thousand twelve, and the associated authority service

tariff issued and effective August twenty-first, two thousand twelve.

3. "Board" is the northern New York power proceeds allocation board

created by this article.

4. "Benefits" or "fund benefits" are payments to eligible applicants

selected by the authority for the purpose of funding eligible projects

with monies derived from net earnings that have been deposited into the

northern New York economic development fund by the authority in

accordance with subdivision twenty-four of section one thousand five of

the public authorities law.

5. "Eligible applicant" means a private business, including a

not-for-profit corporation.

6. "Eligible projects" are economic development projects that are or

would be physically located within the state of New York in St. Lawrence

county that will support the growth of business in St. Lawrence county

and thereby lead to the creation or maintenance of jobs and tax revenues

for the state and local governments. Eligible projects may include

capital investments in buildings, equipment, and associated

infrastructure (collectively, "infrastructure") owned by an eligible

applicant for fund benefits; transportation projects under state or

federally approved plans; the acquisition of land needed for

infrastructure; research and development where the results of such

research and development will directly benefit New York state; support

for tourism and marketing and advertising efforts for St. Lawrence

county tourism and business; and energy-related projects. Eligible

projects do not include, and fund benefits may not be used for, public

interest advertising or advocacy; lobbying; the support or opposition of

any candidate for public office; the support or opposition to any public

issue; legal fees related to litigation of any kind; expenses related to

administrative proceedings before state or local agencies; or retail

businesses as defined by the board, including without limitation, sports

venues, gaming and gambling or entertainment-related establishments,

residential properties, or places of overnight accommodation.

7. "Energy-related projects, programs and services" shall have the

same meaning as such term is defined in subparagraph two of paragraph

(b) of subdivision seventeen of section one thousand five of the public

authorities law.

8. "Net earnings" is the aggregate excess of revenues received by the

authority from the sale of energy associated with St. Lawrence county

economic development power sold by the authority in the wholesale energy

market over what revenues would have been received had such energy been

sold on a firm basis under the terms of the authority-TMED contract.

9. "Northern New York economic development fund" or "fund" is a fund

of the authority into which net earnings are deposited by the authority

in accordance with subdivision twenty-four of section one thousand five

of the public authorities law and from which allocations of fund

benefits to eligible projects may be made by the authority.

10. "St. Lawrence county economic development power" means firm

hydroelectric energy produced by the authority's St. Lawrence power

project that the authority has made available for allocation and sale to

the town of Massena electric department for resale and sub-allocation to

qualified end users pursuant to the authority-TMED contract.

The northern New York power proceeds allocation board. 1.

There is hereby created the northern New York power proceeds allocation

board, which shall possess the powers and duties herein specified. The

board shall consist of five members who shall be appointed by the

governor as follows: one of whom shall be appointed upon the

recommendation of the temporary president of the senate and reside

within St. Lawrence county, one of whom shall be appointed upon the

recommendation of the speaker of the assembly and reside within St.

Lawrence county, and at least one additional member who shall reside

within St. Lawrence county. The governor shall designate a chair from

amongst the board's members.

2. Each member shall serve a term of five years or until a successor

shall have been named and qualified. Members may be reappointed to

successive terms.

3. Notwithstanding any other provision of law to the contrary, three

members shall constitute a quorum for the purposes of organizing the

board and conducting the business thereof. No action of the board may be

taken except upon an affirmative vote of at least three-fifths of the

full board membership at any meeting at which at least three members are

present or participating by videoconferencing. Videoconferencing may be

used for attendance and participation by members of the board. If

videoconferencing is used, the board shall provide an opportunity for

the public to attend, listen and observe at any site at which a member

participates. The public notice for the meeting shall identify, if

practicable, all locations where a member will participate in the

meeting by videoconference and shall state that the public has the right

to attend the meeting at any such location.

4. Members of the board, except those that are employees or officers

of the state, its authorities, or agencies, shall not receive a salary

or other compensation, but shall be allowed the necessary and actual

expenses incurred in the performance of duties under this article.

General powers and duties of the board. 1. The board shall

establish written procedures relating to the activities of the board.

The board shall also establish procedures through written policies or

standards for reviewing applications for fund benefits and which shall

provide for a review of applications for fund benefits no less

frequently than twice each year. The board shall not make any

recommendations for an allocation of fund benefits prior to establishing

the procedures provided for in this subdivision.

2. The board, or a member designated by the board, shall receive all

applications from, or on behalf of, eligible applicants for fund

benefits. Applications shall be in a form and contain such information,

data and exhibits as the board may prescribe and to which the authority

has consented.

3. The board may request from the authority an analysis of any

application for fund benefits along with any recommendations, and any

such additional information and assistance as is reasonably necessary

for the board to perform its duties.

4. The board shall review applications submitted for fund benefits.

The board shall make an initial determination of whether the application

is made by an eligible applicant and proposes an eligible project. In

the case of an application by an eligible applicant that proposes an

eligible project, the board shall review the application using the

following criteria:

(i) whether the eligible project would occur in the absence of an

award of fund benefits;

(ii) the extent to which an award of fund benefits will result in new

capital investment in the state by the eligible applicant and the extent

of such investment;

(iii) other assistance the eligible applicant may receive to support

the eligible project;

(iv) the type and cost of buildings, equipment and facilities to be

constructed, enlarged or installed if the eligible applicant were to

receive an award of fund benefits;

(v) the eligible applicant's payroll, salaries, benefits and number of

jobs at the eligible project for which an award of fund benefits is

requested;

(vi) the number of jobs that will be created or retained within St.

Lawrence county and any other parts of the state in relation to the

requested award of fund benefits, and the extent to which the eligible

applicant will agree to commit to creating or retaining such jobs as a

condition to receiving an award of fund benefits;

(vii) whether the eligible applicant is at risk of closing or

curtailing facilities or operations in St. Lawrence county and other

parts of the state, relocating facilities or operations out of St.

Lawrence county and other parts of the state, or losing a significant

number of jobs in St. Lawrence county and other parts of the state, in

the absence of an award of fund benefits;

(viii) the significance of the eligible project that would receive an

award of fund benefits to the economy of the area in which such eligible

project is located; and

(ix) for new, expanded and/or rehabilitated facilities, the extent to

which the eligible applicant will commit to implement or otherwise make

tangible investments in energy efficiency measures as a condition to

receiving an award of fund benefits.

In addition, the board shall consider the extent to which an award of

fund benefits would be consistent with the strategies and priorities of

any regional economic development council having responsibility for the

region in which the eligible project would be located. The board is also

authorized to solicit the views of organizations that have an interest

in economic development in St. Lawrence county regarding such matters as

proposed funding strategies and priorities, and applications for fund

benefits.

5. The board shall issue a written statement of its findings and

recommendations for each application reviewed.

6. The board may recommend to the authority the allocation of fund

benefits to eligible applicants for eligible projects which the board

finds are consistent with the applicable criteria in subdivision four of

this section. The board may include within its recommendations

recommended terms and conditions, including, but not limited to,

reasonable provision for the allocation of fund benefits over time as

the eligible applicant achieves milestones towards project completion,

the partial or complete withdrawal or return of fund benefits where the

recipient has failed to achieve or maintain mutually agreed upon

commitments, or such other terms and conditions as the board deems

advisable.

7. A recommendation by the board that an eligible applicant receive an

award of fund benefits shall be a prerequisite to an award of fund

benefits by the authority. The authority shall award fund benefits to an

applicant upon a recommendation of the board; provided, however, that

upon a showing of good cause, the authority shall have discretion as to

whether to adopt the board's recommendation, or to award benefits in a

different amount than recommended by the board. In addition, the

authority shall be authorized to establish the terms and conditions that

will apply to any award of fund benefits.

8. Allocations of fund benefits shall only be made on the basis of net

earnings that have been deposited in the northern New York economic

development fund. No award of fund benefits shall encumber future net

earnings or net earnings that have been received but not deposited in

the northern New York economic development fund.

9. Upon making an allocation of fund benefits, the authority shall be

authorized to enter into an agreement with the eligible applicant which

provides the terms and conditions that the authority determines will be

applicable to the award of fund benefits taking into account the

recommendations made by the board.

Definitions. For the purposes of this article, the following

terms shall have the following meanings:

1. "Dislocated worker" shall mean an individual who:

(a) has been terminated or laid-off or who has received a notice of

termination or lay-off from employment, and is eligible for, currently

receiving, or has exhausted any entitlement to unemployment

compensation, and who is unlikely to return to a previous industry or

occupation;

(b) has been terminated or who has received a notice of termination of

employment, as a result of any permanent closure of a plant or facility;

(c) is long-term unemployed and has limited opportunities for

employment or reemployment in the same or a similar occupation in the

area in which such individual resides, including any older individual

who has substantial barriers to employment by reason of age; or

(d) was self-employed (including a farmer) and is unemployed as a

result of general economic conditions in the community in which the

individual resides or because of natural disasters as defined by the

United States secretary of labor.

2. "Economically disadvantaged" shall mean an individual who receives,

or is a member of a family who receives, cash public assistance

payments, or is a member of a family which has a total family income for

the six-month period prior to enrollment in programs funded pursuant to

the provisions of this article, which, in relation to family size, was

not in excess of the higher of the poverty level or seventy percent of

the lower living standard income level, or is receiving food stamps.

3. "Educational agency" shall mean a school district, board of

cooperative educational services, community college, agricultural and

technical college, or degree-granting institution of higher education,

or an independent not-for-profit organization which meets the standards

of instructional quality established in regulation by the commissioner

of education. These standards shall include, but not be limited to,

qualifications of administrative and instructional personnel, quality of

established curricula, facilities and equipment, recordkeeping,

admission, grading, attendance, and record of placement of completers

which meets standards of acceptability as established by the

commissioner of education.

4. "Equipment" shall mean tangible personal property which will

further the objectives of the supported program and for which a definite

value and evidence in support thereof have been provided.

5. "Financial support" shall mean anything of value contributed by an

applicant which is reasonably calculated to support directly the

development and expansion of a particular program as defined in this

article and which represents an addition to any financial support

previously or customarily provided to such education agencies by the

donor, including, but not limited to, funds, equipment as defined in

subdivision four of this section, facilities, faculty and scholarships

for matriculating students and trainees.

6. "Interagency review committee" shall mean a committee chaired by

the commissioner and consisting of representatives from the state

education department, the department of labor, the department of social

services, the state university, the city university and the state job

training partnership council. Such other state agencies, authorities,

boards or commissions shall be consulted as the commissioner shall deem

appropriate.

7. "Targeted individuals" shall mean residents of the state who are

defined as dislocated workers pursuant to subdivision one of this

section, as economically disadvantaged pursuant to subdivision two of

this section or as displaced homemakers.

8. "Technical assistance" shall mean professional and any other

assistance provided by an applicant which is reasonably calculated to

support directly the development and expansion of a particular program

as defined in this article and which represents an addition to any

technical assistance previously or customarily provided.

Administration. 1. There is hereby established within the

department an economic development skills training program to provide

and leverage skills development training for economic development

purposes. The department shall provide assistance to applicants for the

purpose of assisting individual businesses and industries in providing

skills training services.

2. The department shall:

(a) coordinate with the department of education, the department of

labor, the state university of New York, the city university and service

delivery areas as established pursuant to the federal job training

partnership act (P.L. 97-300) in order to carry out the purposes of this

article and to complement and leverage related training resources

consistent with the purposes described herein;

(b) upon the recommendation of the interagency review committee,

execute and monitor grants and contracts to carry out the purposes of

this article or authorize grants and contracts to be executed and

monitored by the department of labor for projects which provide

on-the-job training reimbursements to businesses as described in this

article and for such labor exchange and other related services as are

agreed upon by the agencies, by the state education department for

projects which provide classroom based training which will be delivered

by school districts, boards of cooperative educational services and

private degree-granting institutions of higher education and by the

state university or the city university for projects which provide

classroom based training which will be delivered by community colleges,

agricultural and technical colleges, and public degree-granting

institutions of higher education or authorize such other arrangements

as, upon the recommendation of the interagency review committee, the

commissioner determines will advance the purposes of this program;

(c) promote awareness of the economic development skills training

program among businesses, business organizations, and regional and local

economic development agencies with the assistance of the appropriate

state agencies;

(d) notify the appropriate private industry council established

pursuant to the federal job training partnership act (P.L. 97-300) of

any assistance provided pursuant to this article;

(e) ensure that at least fifty percent of the moneys available for the

purposes of this program shall be used to assist businesses employing

two hundred or fewer workers; and

(f) ensure that at least fifty percent of the moneys made available

shall be expended for the purpose of assisting targeted individuals as

defined in section two hundred of this article or to provide skills

upgrading for currently employed individuals which results in new jobs

created which are filled with targeted individuals.

3. The interagency review committee shall meet regularly to review

program progress and recommend measures to improve program coordination

of training policy and program delivery, to increase the potential for

leveraging of funds, to develop an evaluation program to be conducted on

a periodic basis and, within thirty days from receipt of a proposal,

make recommendations to the commissioner on all such projects which

exceed twenty-five thousand dollars in funds provided pursuant to this

article. Any project not acted upon by the committee within such time

period may be acted upon by the commissioner.

Skills development assistance. 1. The department shall provide

assistance to approved applicants for the purpose of offering skills

training services that will foster economic development by creating or

preserving jobs. For the purposes of this section, "applicant" shall

mean an educational agency, business, or industry group or association,

an employee union or organizations, a community based organization,

grant recipient or administrative entity of the service delivery area

and private industry council as defined by the federal job training

partnership act (P.L. 97-300), provided that such groups have

demonstrated effectiveness in the delivery of training services. Any

assistance provided shall be matched at least equally by financing or

contribution from other sources. Such skills training services shall

include:

(a) training for entry-level employment and worker skills upgrading;

or

(b) payment of on-the-job training costs for a period not to exceed

twelve weeks or classroom instruction, or a combination thereof.

2. In approving requests for assistance, the commissioner shall

consider, among other criteria, the following:

(a) the demonstrated need for state assistance;

(b) the number and types of employees to be affected, including the

potential for increased productivity and wages;

(c) the employer's contribution to the actual cost of the training;

(d) the potential for entry-level opportunities resulting from

promotions created by skills upgrading;

(e) the willingness of assisted businesses to fill such positions with

job-ready clients referred from programs conducted under the job

training partnership act or the state job service;

(f) whether the assisted business is located in a distressed area; and

(g) the degree to which assistance requested is matched by financing

or contributions from other sources.

3. Assistance provided under this section shall not be used in any way

that impairs the provisions of any existing collective bargaining

agreement and, where possible, consultation with the appropriate labor

organization or organizations shall be undertaken.

4. Applications for assistance under this section shall provide:

(a) a description of the project including the type of skills training

or education to be provided;

(b) an estimate of the total cost of the program and an itemization of

estimated costs associated with equipment, personnel, facilities and

materials;

(c) a description of the economic development benefits expected to be

achieved by the program;

(d) a description of the employment needs expected to be filled,

including the number and types of jobs to be created;

(e) the technical assistance and financial support to be provided by

the applicant and the business or businesses for which a program is

designed and from other sources;

(f) a demonstration of the extent to which assistance will be used to

complement and leverage services available to businesses under other

state, or local or federally funded training programs; and

(g) such other information as the department may request.

5. For any positions opened as a result of assistance provided under

this section businesses so assisted shall first consider persons

eligible to participate in federal job training partnership act (P.L.

97-300) programs who shall be referred to the business by administrative

entities of service delivery areas created pursuant to such act or by

the job service division of the department of labor.

6. The department shall require the applicant to specify anticipated

outcomes including, as appropriate, job placement rates, number of jobs

opened to targeted populations as a result of skills upgrading

activities, promotions or wage increases for individuals participating

in skills upgrading programs and provide a commitment from individual

businesses to hire individuals who have successfully completed training.

The full amount of assistance shall be paid to the applicant only if

such anticipated outcomes have been achieved.

7. (a) On or before October first, nineteen hundred eighty-eight and

on or before October first of each year thereafter, the department, in

cooperation with other appropriate state departments and agencies, shall

submit to the governor and the legislature a report regarding the

current status of the skills development assistance program.

Such report shall include, but not be limited to:

(i) the number of individuals enrolled in the program by sex, age,

race, income and employment status;

(ii) the number and type of businesses participating in the program;

(iii) the nature of the match required pursuant to this article;

(iv) the number and type of educational agencies participating in the

program;

(v) the number and type of skills training programs supported by the

program; and

(vi) the programs overall job placement rate and the placement rate of

each project.

(b) The department shall submit to the director of the division of the

budget, the chairperson of the senate finance committee and the

chairperson of the assembly ways and means committee an evaluation of

this program prepared by an entity independent of the department. Such

evaluation shall be submitted by September first, two thousand five and

by September first every four years thereafter.

(c) Between evaluation due dates, the commissioner shall maintain the

necessary records and data required to satisfy such evaluation

requirements and to satisfy information requests received from the

director of the budget, the chairperson of the senate finance committee

and the chairperson of the assembly ways and means committee between

such evaluation due dates.

Definitions. As used in this article the following terms,

unless the context indicates otherwise, shall have the following

meanings:

1. "Entrepreneurship assistance centers" shall mean the business

development centers which provide assistance to primarily minority group

members, women, individuals with a disability, dislocated workers and

veterans as established by the department pursuant to section two

hundred eleven of this article.

2. "Disability" shall mean, with respect to an individual:

(a) a physical or mental impairment that substantially limits one or

more of the major life activities of such individual;

(b) a record of such an impairment; or

(c) being regarded as having an impairment.

3. "Minority business enterprise" shall mean any business enterprise

which is at least fifty-one per centum owned by, or in the case of a

publicly owned business at least fifty-one per centum of the stock of

which is owned by, citizens or permanent resident noncitizens who are

Black, Hispanic, Asian or American Indian, Pacific Islander or Alaskan

Native where such ownership interest is real, substantial and continuing

and where such persons have the authority to independently control the

day-to-day business decisions of the entity.

4. "Minority group member" shall mean a United States citizen or

permanent resident noncitizen who is and can demonstrate membership in

one of the following groups:

(a) Black persons having origins in any of the Black African racial

groups not of Hispanic origin;

(b) Hispanic persons of Mexican, Puerto Rican, Dominican, Cuban,

Central or South American descent of either Indian or Hispanic origin,

regardless of race;

(c) Asian and Pacific Islander persons having origins in the Far East,

Southeast Asia, the Indian sub-continent or the Pacific Islands; or

(d) American Indian or Alaskan Native persons having origins in any of

the original peoples of North America.

5. "Women-owned business enterprise" shall mean any business

enterprise which is at least fifty-one per centum owned by, or in the

case of a publicly owned business at least fifty-one per centum of the

stock of which is owned by, citizens or permanent resident noncitizens

who are women where such ownership interest is real, substantial and

continuing and where such persons have the authority to independently

control the day-to-day business decisions of the entity.

6. "Veteran" shall mean a person who served in the United States army,

navy, air force, space force, marines, coast guard, the commissioned

corps of the national oceanic and atmospheric administration, the

commissioned corps of the public health service, and/or reserves

thereof, and/or in the army national guard, air national guard, New York

guard and/or the New York naval militia and who (a) has received an

honorable or general discharge from such service, or (b) has a

qualifying condition, as defined in section one of the veterans'

services law, and has received a discharge other than bad conduct or

dishonorable from such service, or (c) is a discharged LGBT veteran, as

defined in section one of the veterans' services law, and has received a

discharge other than bad conduct or dishonorable from such service.

Entrepreneurship assistance centers. 1. The department shall

establish and support, within available appropriations, entrepreneurship

assistance centers at career education agencies and not-for-profit

corporations including, but not limited to, local development

corporations, chambers of commerce, community-based business outreach

centers and other community-based organizations. The purpose of such

centers shall be to train minority group members, women, individuals

with a disability, dislocated workers and veterans in the principles and

practice of entrepreneurship in order to prepare such persons to pursue

self-employment opportunities and to pursue a minority business

enterprise or a women-owned business enterprise. Such centers shall

provide for training in all aspects of business development and small

business management as defined by the commissioner. For purposes of this

section, "career education agency" shall mean a community college or

board of cooperative educational services operating within the state.

2. The department shall establish criteria for selection and

designation of such centers which shall include, but not be limited to:

(a) require that each support center program provide at least sixty

hours of instruction for each participant and that each program be

supplemented by ongoing technical assistance for business development

for those who have completed the program;

(b) the level of support for the center from local post-secondary

education institutions, businesses, and government;

(c) the level of financial assistance provided at the local and

federal level to support the operations of the center;

(d) the applicant's understanding of program goals and objectives

articulated by the department;

(e) the plans of the center to supplement state and local funding

through fees for services which may be based on a sliding scale based on

ability to pay;

(f) the need for and anticipated impact of the center on the community

in which it will function;

(g) the quality of the proposed work plan and staff of the center; and

(h) the extent of economic distress in the area to be served.

3. Application for grants made pursuant to this section shall be made

in the manner and on forms prescribed by the commissioner. Such

application shall include, but shall not be limited to:

(a) a description of the training programs available within the

geographic area to be served by the center to which eligible clients may

be referred;

(b) designation of a program director;

(c) plans for providing ongoing technical assistance to program

graduates, including linkages with providers of other entrepreneurial

assistance programs and with providers of small business technical

assistance and services;

(d) a program budget, including matching funds, in-kind and otherwise,

to be provided by the applicant;

(e) permit a joint application from a consortium of career education

agencies and not-for-profit corporations, or any combination thereof,

for establishing a cooperative program; and

(f) such other requirements as deemed necessary by the department.

4. Each center shall:

(a) be operated by a board of directors representing community leaders

in business, education, finance and government;

(b) be incorporated as a not-for-profit corporation;

(c) be located in an area accessible to eligible clients;

(d) establish an advisory group of community business experts, at

least one-half of whom shall be representative of the clientele to be

served by the center, which shall constitute a support network to

provide counseling and mentoring services to minority group members,

women, individuals with a disability, dislocated workers and veterans

from the concept stage of development through the first one to two years

of existence on a regular basis and as needed thereafter; and

(e) establish a referral system and linkages to existing area small

business assistance programs and financing sources.

5. Each entrepreneurship assistance center shall provide needed

services to eligible clients, including, but not limited to:

(a) orientation and screening of prospective entrepreneurs;

(b) analysis of business concepts and technical feasibility;

(c) market analysis;

(d) management analysis and counseling;

(e) business planning and financial planning assistance;

(f) referrals to financial resources;

(g) referral to existing educational programs for training in such

areas as marketing, accounting and other such training programs as may

be necessary and available; and

(h) referral to business incubator facilities, where appropriate, for

the purpose of entering into agreements to access shared support

services.

6. Grants made pursuant to this section shall be subject to the

following limitations:

(a) no grant shall be made to any one or any consortium of career

education agencies and not-for-profit corporations in excess of two

hundred fifty thousand dollars; and

(b) each grant shall be disbursed for payment of the cost of services

and expenses of the program director, the instructors of the

participating career education agency or not-for-profit corporation, the

faculty and support personnel thereof and any other person in the

service of providing instruction and counseling in furtherance of the

program.

Reporting. The department shall:

1. Monitor the performance of each entrepreneurial assistance center

and require quarterly and annual reports from each entrepreneurial

assistance center at such time and in such a manner as prescribed by the

commissioner.

2. Evaluate the entrepreneurial assistance centers established under

this article and report annually, on or before January first, two

thousand twenty, and on or before each January first thereafter, and

submit the results of such evaluation to the governor and the

legislature. Such report shall discuss the extent to which the centers

serve minority group members, women, individuals with a disability,

dislocated workers and veterans; the extent to which the training

program is coordinated with other assistance programs targeted to small

and new businesses; the ability of such program to leverage other

sources of funding and support; and the success of the program in aiding

entrepreneurs to start up new businesses, including the number of new

business start-ups resulting from the program. Such report shall

recommend changes and improvements in the training program and in the

quality of supplemental technical assistance offered to graduates of the

training programs. The report shall be made available to the public on

the department's website.

3. Submit to the director of the division of the budget, the

chairperson of the senate finance committee and the chairperson of the

assembly ways and means committee an evaluation of the effectiveness of

the programs established under this article prepared by an entity

independent of the department. Such evaluation shall be submitted by

January first, two thousand twenty-one and by January first every two

years thereafter.

4. Between evaluation due dates, maintain the necessary records and

data required to satisfy such evaluation requirements and to satisfy

information requests received from the director of the budget, the

chairperson of the senate finance committee and the chairperson of the

assembly ways and means committee between such evaluation due dates.

Come home to New York program. 1. There is hereby established

in the department a "come home to New York" program to encourage the

return of native New Yorkers to the state by establishing a local

network of outlets designed to assist native New Yorkers in returning,

relocating or starting a small business in New York state.

2. The department shall:

(a) develop and enter into agreements with not-for-profit

organizations in geographic areas throughout New York state which will

serve as local coordinators for the program;

(b) develop a "come home to New York" website and promotional

materials that can be tailored to particular jurisdictions;

(c) encourage not-for-profit organizations in every part of the state

to participate in the come home to New York network;

(d) create a statewide public awareness campaign for the program;

(e) maintain a data base of investment-opportunities profiles

submitted by relocating entrepreneurs and investment-interest profiles

submitted by investors; and

(f) distribute investor and relocating entrepreneur applications in

paper form and through electronic resources.

3. The department, through its regional offices, shall work with local

coordinators to:

(a) originate a local name for the program and integrate it into the

template website and related promotional materials to highlight regional

quality of life, economic and cultural opportunities and include links

to related websites;

(b) recruit volunteers in various occupational areas to provide the

necessary networking opportunities that returning New Yorkers need, in

fields such as law, finance, microbusiness start-up, high technology,

construction, health care, manufacturing and retail operations;

(c) conduct outreach to local schools, colleges, universities and

other organizations to develop a manner of contacting former residents

who have left the state;

(d) develop a local public awareness campaign for the program;

(e) compile and report program statistics to the coordinator's office;

(f) serve as a screening mechanism through which introductions may be

made between returning or newly established businesses and potential

investors;

(g) aid prospective returning and newly established small businesses

in presenting their ventures to investors; and

(h) encourage the formation of a venture capital funding network at

the local level with the assistance of the department.

* § 220. Powers and duties of the commissioner. The commissioner

acting by and through the department shall have the power and it shall

be his or her duty:

1. To coordinate the international economic activities of the state

including any international economic activities of the department of

agriculture and markets, the department of financial services, the

department of financial services, the education department, the state

university of New York, the city university of New York, the New York

state science and technology foundation, the New York state urban

development corporation, the New York state job development authority,

the port authority of New York and New Jersey, and other New York state

agencies.

2. To advise and make recommendations on matters affecting the exports

of New York products and services and the investment of foreign capital

in New York.

3. To assist New York businesses which may engage or wish to engage in

exporting or entering into agreements with foreign persons or firms that

will result in expansion of business activity in New York.

4. To identify foreign buyers, investors or investor groups which may

be interested in entering into agreements for the purchase of New York

goods or services or in investing in New York business, and to advocate

and promote New York products and services and capital investment

opportunities to buyers and investors in other nations and to those

intermediary parties able to locate and negotiate sales or agreements

with such buyers and investors, that will assist the export sale of New

York products or services or the investment of foreign capital in New

York.

5. To identify business firms which produce a product or provide a

service deemed to be exportable and assist such firms in identifying

foreign markets and buyers in order to effect the sale of such product

or service to foreign buyers.

6. To conduct investigations, research, studies and analyses of

matters affecting New York exporters and potential exporters.

7. To provide services to New York firms in identifying foreign

markets, buyers, distributors, licensees and investors; in identifying

export financing options and mechanisms that may assist such firms in

making sales to foreign buyers; and in preparing documentation and other

paperwork necessary to sell abroad.

8. To provide export trade and foreign investment services,

particularly in regions of the state where such services are not

otherwise available, and to promote the development of a statewide

network of international trade organizations to assist the department in

its efforts to provide export promotion services through its regional

offices.

9. To encourage activities by business or industry associations in the

area of international trade, to seek comments from such associations on

international trade legislation, policy, and negotiations at the

international, federal and state levels and to provide technical and

financial assistance to such associations in the areas of export trade

development and promotion.

10. To perform such other functions as deemed necessary and proper to

increase the amount of exports of New York products and services or to

increase the amount of investment of foreign capital in New York.

* NB Amendments effective insofar as they pertain to the Port

Authority of New York and New Jersey upon passage of same as legislation

by New Jersey

* § 221. Export trade development projects. 1. The commissioner is

hereby authorized to provide assistance to export trade development

projects designed to encourage and assist businesses, industrial firms

or industry groups to engage in export trade and to coordinate other

state economic development programs with such projects.

2. The commissioner shall give preference to export trade development

projects which benefit those businesses which are resident in the state,

independently owned and operated, not dominant in their fields, employ

five hundred employees or less and which are located in a geographic

area demonstrating a need for such services.

3. An export trade committee is hereby established to make

recommendations to the commissioner for his or her approval of proposed

export trade development projects. Members of the committee shall

include, among others, the commissioner, who shall chair the committee,

a representative of the port authority of New York and New Jersey, and

at least two representatives of the private sector experienced in export

trade selected by the commissioner, at least one of whom shall be from a

small business.

4. The department shall actively seek to identify and disseminate

information to entities which may be eligible to receive assistance

pursuant to this section and shall make awards for export trade

development projects on a competitive basis.

(a) Entities eligible to apply for funding for an export trade

development project shall include public benefit corporations,

not-for-profit corporations, local development corporations, industrial

development authorities, trade associations, educational institutions

and other not-for-profit organizations which promote economic

development.

(b) Applicants shall be required to demonstrate their ability to

provide the services proposed; the potential for the initiation or

expansion of export trade from the area to be served; the availability

or non-availability of export credit and export technical assistance

from other sources in the area to be served; the methods to be used to

coordinate the delivery of state and local export promotion resources;

the possibility that the services to be funded would become

self-sustaining; the potential to duplicate the project elsewhere in the

state; the participation of local and regional economic development

organizations; and to provide a program budget, including matching

funds, in-kind and otherwise, to be provided by the applicant.

(c) A project eligible to be an export trade development project may

include, but not be limited to, any project to provide one or more of

the following services: export market analysis; foreign direct

investment leads; export trade promotion; export trade education; export

trade finance technical assistance; or export trade finance.

5. No single grant for export trade development projects providing

technical assistance shall exceed one hundred thousand dollars; no

single grant for export trade development projects providing financial

assistance shall exceed two hundred thousand dollars.

* NB Amendments effective insofar as they pertain to the Port

Authority of New York and New Jersey upon passage of same as legislation

by New Jersey

* § 222. International marketing and trade leads. The department shall

market products and services from New York sources and provide

information as to how foreign importers may obtain such products and

services. Through the program, the department shall seek to develop or

cause to be developed, export trade leads for New York exporters and

potential exporters, and shall offer such leads to New York exporters

and potential exporters. The commissioner shall by regulation establish

a schedule of fees for the provision of such service.

* NB Amendments effective insofar as they pertain to the Port

Authority of New York and New Jersey upon passage of same as legislation

by New Jersey

* § 223. Reporting. The department shall:

1. Monitor the performance of each export trade development project

and require periodic and annual reports from each such project at such

time and in such manner as prescribed by the commissioner;

2. Evaluate the effectiveness of the export trade development projects

and other technical assistance programs authorized under this article

and shall report, on or before October first, nineteen hundred

eighty-eight and on or before October first of each year thereafter, the

results of such evaluation to the governor and the legislature. In the

case of export assistance programs involving the direct delivery of

assistance and services by the department, such report shall detail the

number of business firms served by the department, the number of trade

and investment inquiries referred by the department to business firms

and other interested parties, the approximate dollar amount of export

sales and investment of foreign capital in New York generated by the

activities of the department, and any other information the commissioner

deems pertinent to evaluating the effectiveness of such programs. In the

case of export trade development projects, such report shall include a

description of each project, its potential application to other areas of

the state, the success of each project in meeting its stated goals and

objectives, the economic impact of each project on the area served, the

degree of local and regional participation, financial and otherwise, in

each project, the coordination of each project with state and local

export promotion programs and resources and such other information the

commissioner deems pertinent to evaluating the effectiveness of the

export assistance development project program; and

3. (a) Submit to the director of the division of the budget, the

chairperson of the senate finance committee and the chairperson of the

assembly ways and means committee an evaluation of program effectiveness

prepared by an entity independent of the department. Such an evaluation

shall be submitted on or before September first, two thousand five and

on or before September first every four years thereafter.

(b) Between evaluation due dates, the department shall maintain the

necessary records and data required to satisfy such evaluation

requirements and to satisfy information requests received from the

director of the budget, the chairperson of the senate finance committee

and the chairperson of the assembly ways and means committee between

such evaluation due dates.

* NB Amendments effective insofar as they pertain to the Port

Authority of New York and New Jersey upon passage of same as legislation

by New Jersey

* § 224. Export diagnostic and market development program. 1.

Definitions. As used in this section, the following terms shall have the

following meanings, unless a different meaning appears from the context:

(a) "Eligible applicant" shall mean (i) a small or medium sized

business having no more than five hundred employees, or business or

industry group or association, or (ii) any commercial merchant, dealer,

distributor, broker, grower, producer, processor, handler, packer,

industry group or association or cooperative offering for sale or trade

eligible agricultural products.

(b) "Export diagnostic assessment" shall mean an assessment of the

potential of an eligible applicant to commence or increase exporting. An

export diagnostic assessment may include, but shall not be limited to,

an evaluation of the export potential for an eligible applicant's goods

or services in international markets and an eligible applicant's

management, organization and distribution in relation to its ability to

commence or increase exporting.

(c) "Export market development plan" shall mean an analysis of

specific actions an eligible applicant should undertake to commence or

increase exporting. An export market development plan may include, but

shall not be limited to, recommendations for an eligible applicant: (1)

to adapt its products to international technical specifications and

standards; (2) to pursue exporting in specific regional and/or

industrial markets; or (3) to contract with agents, distributors or

others.

(d) "Eligible agricultural products" shall mean agricultural products

grown, produced, or primarily processed in New York; agricultural

equipment primarily processed in New York; agricultural equipment

primarily produced in New York; or aquatic products cultured, cultivated

or harvested from the waters in and around New York or cultured or

landed in New York, which are likely to be in demand in international

markets.

2. Establishment. The commissioner is hereby authorized to establish

an export diagnostic and market development program within the

department in conjunction with the industrial effectiveness program set

forth in article seven of this chapter, for the purpose specified in

this section.

3. Purpose. The purpose of the export diagnostic and market

development program shall be to improve the competitive position in

international markets of businesses and industries, including

agricultural businesses, whose principal place of business is located in

New York by assisting them to commence or increase exporting.

4. Administration. In furtherance of the purpose of the export

diagnostic and market development program, the department is authorized

to:

(a) identify and retain individuals and firms with special competence

in at least one area related to export development or promotion, and

provide eligible applicants with a list of such individuals and firms.

The department shall promulgate by rules the procedures and criteria to

be used in selecting and retaining such individuals and firms;

(b) provide export diagnostic assessments and export market

development plans to eligible applicants that have requested such

assistance directly or upon referral by the department's regional

offices, the New York state science and technology foundation, the New

York state urban development corporation, the department of agriculture

and markets, the port authority of New York and New Jersey, or federal,

state, regional and local trade and economic development organizations.

Such export diagnostic assessments and export market development plans

may be provided either directly or by experts retained and supervised by

the department. Any expenditure for such assistance shall be based on a

plan approved by the commissioner, and in no case shall the level of

contribution by the eligible applicant be less than fifty percent of the

total cost of such export diagnostic assessment;

(c) provide information on other government-sponsored programs

offering technical and financial assistance to exporters or potential

exporters;

(d) promote awareness of the export diagnostic and market development

program among businesses, business or industry organizations, and

federal, state, regional and local trade and economic development

agencies with the assistance of appropriate state agencies;

(e) identify eligible applicants offering for sale or trade eligible

agricultural products;

(f) undertake activities to assist eligible applicants to commence or

increase exporting eligible agricultural products; and

(g) provide information to eligible applicants on other

government-sponsored programs offering technical and financial

assistance to promote exports of agricultural products, agricultural

equipment or aquatic products.

5. Applications. Eligible applicants shall submit to the department an

application to participate in the export diagnostic and market

development program in such a form and manner as the commissioner shall

deem appropriate.

6. Selection. The department shall select eligible applicants to

participate in the export diagnostic and market development program

based on:

(a) the initial assessment of the department of the degree to which

the applicant would benefit from participation;

(b) evidence of a serious commitment by the applicant to participate

in the program;

(c) the capability of the applicant to carry out recommendations

resulting from participation in the program; and

(d) the likely benefit derived from participation in the program to

the economy of the region in which the applicant is located in relation

to the cost to the state of providing the assistance.

7. Reports by participants. (a) Every eligible applicant participating

in the export diagnostic and market development program shall provide

the department with such reports relating to such participants as the

department shall deem to be necessary.

(b) The information contained in such reports shall be exempt from

disclosure to the fullest extent permitted under subdivision two of

section eighty-seven of the public officers law.

8. Job listings. For any positions opened as a result of assistance

provided under this section businesses so assisted shall first consider

persons eligible to participate in federal job training partnership act

(P.L. 97-300) programs who shall be referred to the business by

administrative entities of service delivery areas created pursuant to

such act or by the job service division of the department of labor.

9. Reporting. On or before October first, nineteen hundred ninety-one

and on or before October first of each year thereafter, the commissioner

shall report to the governor and the legislature on the operation and

accomplishments of the export diagnostic and market development program,

including but not limited to the number of firms assisted, the number of

export diagnostic assessments and export market development plans

completed, the degree to which productivity and export activity of

participants were increased, the total costs per project and the number

of jobs created due to state assistance.

10. Evaluation. The commissioner shall submit to the director of the

division of the budget, the chairman of the senate finance committee and

the chairman of the assembly ways and means committee an evaluation of

the export diagnostic and market development program prepared by an

entity independent of the department. Such an evaluation shall be

submitted on or before September first, nineteen hundred ninety-two and

on or before September first every two years thereafter.

11. Rules and regulations. The commissioner shall promulgate rules and

regulations to accomplish the purpose of this section.

* NB Section effective insofar as it pertains to the Port Authority of

New York and New Jersey upon passage of same as legislation by New

Jersey

* § 225. Export finance service. 1. Definitions. As used in this

section, the following terms shall have the following meanings, unless a

different meaning appears from the context:

(a) "Export finance" shall mean pre-order financing to support market

development activities prior to an export sale, working capital to

support the acquisition of inventory and other expenditures to finance

the production of goods for export, accounts receivable financing to

cover the costs between shipping goods and receiving payment from an

export sale, customer financing to provide medium and long term

financing to foreign buyers, and export insurance to insure sellers and

buyers for risks associated with export transactions.

(b) "Public and private organizations" shall mean commercial banks,

insurance companies, the small business administration, the

export-import bank of the United States, the New York job development

authority, the port authority of New York and New Jersey, the New York

business development corporation, other international, federal, state,

regional and local economic development organizations and other

organizations identified by the commissioner as potential providers of

export finance.

2. Establishment. The commissioner is hereby authorized to establish

an export finance service within the department for the purposes

specified in this section.

3. Purposes. The purposes of the export finance service shall be:

(a) to promote and increase the provision of export finance in New

York by public and private organizations;

(b) to assist New York exporters and potential exporters in obtaining

export finance from public and private organizations;

(c) to develop a directory of export finance programs in the state

available from public and private organizations;

(d) to provide intermediary services to match New York exporters and

potential exporters with export finance available from public and

private organizations;

(e) to encourage public and private organizations to provide export

finance to New York exporters and potential exporters; and

(f) to identify sources of expertise in the public and private sectors

to assist New York exporters or potential exporters in obtaining export

finance, and provide such exporters or potential exporters with a list

of such sources of expertise.

4. Reporting. On or before October first, nineteen hundred ninety-one

and on or before October first of each year thereafter, the commissioner

shall report to the governor and the legislature on the operation and

accomplishments of the export finance service.

5. Evaluation. The commissioner shall submit to the director of the

division of the budget, the chairman of the senate finance committee and

the chairman of the assembly ways and means committee an evaluation of

the export finance service prepared by an entity independent of the

department. Such an evaluation shall be submitted on or before

September first, nineteen hundred ninety-two and on or before September

first every two years thereafter.

6. Rules and regulations. The commissioner shall promulgate rules and

regulations to accomplish the purposes of this section.

* NB Section effective insofar as it pertains to the Port Authority of

New York and New Jersey upon passage of same as legislation by New

Jersey

Economic development regions. 1. The department shall establish

economic development regions of the state and shall establish within

each region at least one regional office.

2. The boundaries of regions shall be based on factors including, but

not limited to: (a) interdependence and commonality of economic and

social interests; (b) previous cooperation in economic development

related matters; (c) intraregional commuting and transportation

patterns; (d) geographic proximity to and dependence on centers of

employment and economic opportunity, population concentration and

markets; (e) unifying topographic characteristics; (f) labor markets;

and (g) geographic size.

Regional offices. 1. The department, through its regional

offices, is authorized: (a) to serve as a center for information

regarding economic development resources available from state, federal

and local agencies; (b) to provide outreach to businesses, with

attention to small and medium-sized businesses, including minority and

women-owned business enterprises, for financial and technical assistance

offered by state economic development agencies, authorities, or other

economic entities; (c) to serve as a regional center to accept

applications for state economic development programs; (d) to coordinate

the economic development programs and activities of state agencies and

authorities within each region including, but not limited to, outreach

to businesses, technical assistance services, skills training

assistance, sharing of information, strategic economic development plans

and programs, to provide or arrange for assistance in compliance with

federal, state, and local rules, regulations, permits, and licenses, and

other measures to enhance regional economic development and eliminate

duplication of services; (e) to provide or arrange for assistance to

persons, firms, agencies, partnerships or corporations, either public or

private, in applying for assistance from state economic development

programs or for necessary licenses and permits or seeking to comply with

federal, state and local rules and regulations; (f) to review and

comment, within their knowledge and expertise, with respect to

applications for state assistance in a timely manner and form prescribed

by the commissioner; (g) to distribute literature and marketing material

describing the facilities, advantages and attractions of the region for

business; (h) to provide economic development information, planning

services and technical assistance to counties and municipalities within

the region; (i) to provide information and assistance in the

certification of minority and women-owned business enterprises; (j) to

provide or arrange for assistance to private sector employers, whether

operating for profit or not for profit, and to organizations and

associations of such employers in developing and implementing innovative

and flexible employee compensation, assistance and benefit programs to

enhance competitiveness and meet emerging demographic and market

conditions; and (k) to provide information and assistance to small

businesses on environmental compliance requirements of federal and state

law and pollution prevention opportunities in furtherance of policies

and programs established in article twenty-eight of the environmental

conservation law and in coordination with the pollution prevention and

environmental compliance coordinating council established in article

twenty-eight of the environmental conservation law, including programs

operated by the department, the department of environmental conservation

or other state or local agencies from which technical assistance, or

loans, grants or other financial assistance for compliance and pollution

prevention may be obtained; and in providing such information and

assistance, to promote pollution prevention approaches.

2. As used in this section, "Pollution prevention" shall mean

pollution prevention as such term is defined by article twenty-eight of

the environmental conservation law.

Assistance of other agencies. To effectuate the purposes of

this article, the commissioner may request from any department,

division, board, bureau, commission or other agency of the state or from

any public benefit corporation or public authority, and the same are

authorized to provide, such assistance, services and data as will enable

the department to properly carry out its functions, powers and duties

hereunder.

Definitions. As used in this article, the following words and

terms shall have the following meanings:

1. "Eligible applicants" include nonprofit organizations, associations

or agencies. Eligible projects must focus on a specific sector or

industry cluster with a high potential for job creation in New York

state. Eligible projects may include, but are not limited to, print,

broadcast or electronic media campaigns, conferences, publications,

documentary productions, instructional materials, and public

exhibitions.

2. "Business marketing program" shall mean a program that promotes the

state's strengths and assets in one or more industry sectors, geographic

regions or academic research institutions collaborating with such

industrial sectors on a state, national and international level.

3. "Eligible projects" include, but are not limited to, participation

at key international and domestic trade shows and industry conferences,

marketing to corporate, site location consultants, and other key

decision makers for targeted technology sectors, and advertising in

influential trade and other publications.

Application. 1. The commissioner shall, within three months of

the effective date of this article, issue a request for proposals for

the business marketing program that shall include, but not be limited

to: the objectives of the program; the scoring that shall be applied for

selection; and the proportion or total amount of funds that may be

dedicated to certain expenditures such as media buys.

2. (a) Applications shall include the schedule, budget, scope, uses of

funds and theme of the proposed marketing program and contractual

service providers. Examples of proposed marketing and thematic

materials, written, print, video or radio, should be provided where

practical.

(b) Marketing plans shall utilize the state's "New York Loves Biz"

logotypes. Licensing of this logotype according to the accepted plan

shall be available to the selected applicants free of charge for the

duration of the marketing program. No advertising or marketing shall

contain references to or the name of any public official of the state of

New York or its political subdivisions.

(c) Applications shall identify the specific targets and audiences for

the marketing programs geographic reach of program and shall identify

appropriate and practical ways to measure the impact of the program on

the targeted audience.

(d) Applicants shall provide evidence that they have secured or have

available matching funds in equal amount to funds requested from the

program.

Matching funds for eligible applicants. 1. No matching funds

shall exceed the sum of two hundred fifty thousand dollars or fifty

percent of the total cost of implementation of the marketing plan,

whichever is less.

2. No more than ten percent of funds awarded shall be used for

administrative purposes, including salaries associated with implementing

a marketing program.

3. No matching funds shall be used for the direct benefit of a

for-profit business.

Payments of funds to eligible applicants. Upon submission and

approval of each application and the authorization of funds by the

commissioner in accordance therewith, the commissioner shall give notice

to the eligible applicant of such approval and authorization, and shall

direct such eligible applicant to proceed with its proposed business

marketing program as described in its application. Funds shall be

awarded on a reimbursement basis.

Reporting requirements. 1. Each funding recipient shall provide

an annual financial statement prepared according to generally accepted

accounting principles to the commissioner, the speaker of the assembly

and the temporary president of the senate.

2. The department shall annually, on or before February first, submit

to the governor, the temporary president of the senate and the speaker

of the assembly, a report on the activities of the business marketing

matching funds program. Such report shall include a summary of the

financial statements received by the department from funded entities, a

summary of activities conducted and analyses of the effectiveness of the

program in stimulating economic growth and job creation.

Powers and duties of the commissioner. The commissioner acting

by and through the department shall have the power and it shall be his

duty:

1. To assure that comprehensive, reliable and timely information and

research is available for effective economic development efforts at the

local and state levels; such information and research on the economic

conditions and trends of the state, its regions and localities should be

adequate to meet the needs of sound policy development, economic

research, economic development and private investment.

2. To investigate issues concerning state economic information and

research including the quality, timeliness and detail of certain

information; the unavailability of information on certain important

topics; the need to update information collection and indices to reflect

structural changes in the state's economy; the need to adapt information

collection and dissemination to meet new and emerging needs of users;

cutbacks in federal economic information systems and in federal support

for state information gathering and dissemination; uncertainty about the

most economic and effective way of supporting the collection and

dissemination of information; the need for standard formats and computer

compatibility among information systems maintained by different levels

of government, and by different state agencies; and the need for a

comprehensive policy or strategy to guide the state's economic

information system and its development.

3. The commissioner shall establish and maintain, within available

appropriations, a statewide economic information system accessible to

state, regional and local government and academic information users and

producers. Such information system shall be maintained by the

department. The commissioner may subcontract for related services to a

college, university or other non-profit institution. After the economic

information system is established, the commissioner shall submit a

report to the director of the budget and the chairmen of the senate

finance and assembly ways and means committees, evaluating the adequacy

of such economic information system and setting forth the reasons for

selecting such system.

Advisory council on economic information and research. 1. The

commissioner is authorized and directed to appoint the advisory council

on economic information and research, to advise and assist him in an

ongoing review of the state's economic information and research needs.

2. The advisory council on economic information and research shall

advise the commissioner and make recommendations concerning information

available on the economy of the state, its regions and localities, and

the information and research needs of state and local government,

business planners, academic researchers, and others concerned with

economic development in the state. Specifically, the council shall

review and submit recommendations on:

(a) currently available data concerning the economy of New York state

and the demand for such data from both public and private users at the

state and local levels with respect to their scope, quality, detail,

timeliness and accessibility;

(b) state policies and procedures concerning the collection,

maintenance and dissemination of economic data and economic development

data and the assignment of responsibility for such tasks;

(c) the cooperation and collaboration among different agencies and

offices of state government in the collection, analysis and

dissemination of economic data and economic information including, but

not limited to, the nature of consultation about the information to be

collected and the extent to which standardized data and compatible

information systems have been and should be introduced;

(d) the relationship between the state's economic information

collection and maintenance and other public and private information

sources within the state, including especially the capacity of the state

to incorporate data and information provided by other systems;

(e) the capabilities of the state's existing economic information

system in light of the objectives of economic development, changing

federal policies and support for economic information, and changes in

the state's economic structure;

(f) the design, location and maintenance of the statewide economic

information system established pursuant to this article, including the

content and organization of the data, the means for incorporating data

from and providing access to academic, municipal and private sector data

producers within the state, and the means for providing access to data

users within the state;

(g) critical areas of unmet economic research needs and how such needs

can be met, including the need for an economic early-warning system and

of timely and accurate forecasts of occupational supply and demand,

analysis of sub-state regional economies, and analysis of important

industrial sectors in the state;

(h) the need for a state clearinghouse for economic research to

maintain and disseminate research on the economy of the state, its

regions and localities and on economic development programs; and

(i) state policy on charges for economic data and information provided

to the public.

3. (a) The advisory council shall submit an annual report on its

findings and recommendations on or before October first, nineteen

hundred eighty-eight and on or before each October first thereafter to

the governor, the president pro tem and minority leader of the senate,

and the speaker and minority leader of the assembly.

(b) (i) The department shall submit to the director of the budget, the

chairperson of the senate finance committee and the chairperson of the

assembly ways and means committee an evaluation of this program prepared

by an entity independent of the department. Such evaluation shall be

submitted on or before September first, two thousand five and on or

before September first every four years thereafter.

(ii) Between evaluation due dates, the department shall maintain the

necessary records and data required to satisfy such evaluation

requirements and to satisfy information requests received from the

director of the budget, the chairperson of the senate finance committee

and the chairperson of the assembly ways and means committee between

such evaluation due dates.

4. The advisory council shall consist of the commissioner, who shall

serve as chair, the commissioner of labor, and the commissioner of

education, or their designees, one representative designated by the

temporary president of the senate and one representative designated by

the speaker of the assembly and eight members appointed by the

commissioner, who shall have an expertise in economic analysis, planning

or data collection, maintenance and distribution, one representing the

state university of New York, one representing the city university of

New York, one representing independent universities, one representing

the state association of regional planning and development

organizations, one representative of local government interests, one

representative of business and industry interests, one representative of

labor interests, and one representative of private economic research and

forecasting entities. The members shall receive no compensation for

their services but shall be allowed actual and necessary expenses

incurred in the performance of their duties.

5. The council shall coordinate its activities with research being

undertaken by the New York state occupational information coordinating

committee and the legislative commission on skills development and

career education.

6. The commissioner and the commissioner of labor may each appoint

professional staff to assist the council with its duties.

7. The commissioner may request and shall receive from any public

authority, public benefit corporation, department, division, board,

bureau, commission or agency of the state or any political subdivision

thereof, such assistance as will enable the council to properly carry

out its duties hereunder.

Reports on the digital gaming industries in New York. 1. The

department of economic development shall file a report on a biannual

basis with the director of the division of the budget and the

chairpersons of the assembly ways and means committee and senate finance

committee. The report shall be filed no later than thirty days before

the mid-point and the end of the state fiscal year. The first report

shall cover the calendar half year that begins on January first, two

thousand twenty-four. Each report must contain the following information

for the covered calendar half year:

(a) the total dollar amount of credits allocated pursuant to section

forty-five of the tax law during the half year, broken down by month;

(b) the number of digital gaming projects, which have been allocated

tax credits of less than one million dollars per project, and the total

dollar amount of credits allocated to those projects;

(c) the number of digital gaming projects, which have been allocated

tax credits of more than one million dollars, and the total dollar

amount of credits allocated to those projects;

(d) a list of each eligible digital gaming project and for each of

those projects, (i) the estimated number of employees associated with

the project, (ii) the estimated qualifying costs for the project, (iii)

the estimated total costs of the project, (iv) the credit eligible

employee hours for each project, and (v) total wages for such credit

eligible employee hours for each project; and

(e) (i) the name of each taxpayer allocated a tax credit for each

project and the county of residence or incorporation of such taxpayer

or, if the taxpayer does not reside or is not incorporated in New York,

the state of residence or incorporation; however, if the taxpayer claims

a tax credit because the taxpayer is a member of a limited liability

company, a partner in a partnership or a shareholder in a subchapter S

corporation, the name of each limited liability company, partnership or

subchapter S corporation earning any of those tax credits must be

included in the report instead of information about the taxpayer

claiming the tax credit, (ii) the amount of tax credit allocated to each

taxpayer; provided however, if the taxpayer claims a tax credit because

the taxpayer is a member of a limited liability company, a partner in a

partnership or a shareholder in a subchapter S corporation, the amount

of tax credit earned by each entity must be included in the report

instead of information about the taxpayer claiming the tax credit, and

(iii) information identifying the project associated with each taxpayer

for which a tax credit was claimed under section forty-five of the tax

law.

2. The department of economic development shall file a report on a

triennial basis with the director of the division of the budget and the

chairpersons of the assembly ways and means committee and senate finance

committee. The first report shall be filed no later than March first,

two thousand twenty-five. The report must be prepared by an independent

third party auditor and include: (a) information regarding the empire

state digital gaming production credit program including the efficiency

of operations, reliability of financial reporting, compliance with laws

and regulations and distribution of assets and funds; (b) an economic

impact study prepared by an independent third party of the program; and

(c) any other information or statistical information that the

commissioner of economic development deems to be useful in analyzing the

effects of the programs.

3. In the event that this tax credit program is no longer legally in

effect, the department shall not be required to produce the reports

referenced in subdivisions one and two of this section.

Industrial infrastructure development program. 1. Definitions.

As used in this article, unless a different meaning clearly appears from

the context, the following terms shall have the following meanings:

(a) "Eligible applicant". Eligible applicants may submit proposals to

the appropriate regional office of the department and such applicant

shall be any state agency involved in promoting the economic development

of the state including, but not limited to, the departments of economic

development, agriculture and markets, transportation, the urban

development corporation and the job development authority, or a

municipality, an industrial development agency or local development

corporation.

(b) "Industrial infrastructure development project" shall mean a

project for the design, acquisition of property, construction and/or

reconstruction in connection with storm and sanitary sewers, electric

and gas service distribution lines, water supply systems, drainage

systems and site clearance, preparation, improvements, and demolition.

(c) "Industrial facility" shall mean any type of facility to be used

or occupied by any person in an enterprise deemed to offer a reasonable

likelihood for promoting the creation or retention of job opportunities

in the state and includes, but is not limited to, industrial or

manufacturing plants, facilities for research and development purposes,

facilities for conducting wholesale, receiving and distributing

operations, facilities for conducting office operations, warehousing

operations, agricultural operations, or any other operation dealing in

the exchange of goods, wares, services or other types of property of any

type or description. Facilities supporting primarily retail commercial

operations are not defined as industrial facilities.

(d) "State agency" shall mean an office, department, board,

commission, bureau, division, public corporation, agency or

instrumentality of the state.

2. Project eligibility. Eligible projects shall include industrial

infrastructure projects which are an integral part of an economic

development effort which will retain, attract, expand or revitalize an

industrial facility. Projects on which construction has been initiated

are ineligible for funding under this program.

3. Eligible costs. The following costs are eligible for funding

through this program:

(a) industrial infrastructure development project design costs;

(b) costs for completing and updating plans, specifications and

estimates where preliminary engineering or related planning has already

been undertaken, and where additional engineering work or related

planning is required to permit construction of the industrial

infrastructure development project;

(c) costs associated with standard construction activities which are

reasonable costs of construction work performed under contract; and

(d) acquisition of real property.

4. Ineligible costs. The following costs are not eligible for funding

under this program:

(a) expenses or other engineering costs incurred prior to the

industrial infrastructure development project initiation, related to

administration, planning or estimates;

(b) any expense required to carry out the overall responsibilities of

the eligible applicant, such as administrative costs; and

(c) municipal personal services costs of a regular and recurring

nature.

5. Project costs. For any single industrial infrastructure development

project, costs shall not exceed two hundred fifty thousand dollars of

state funds.

6. Application process. Proposals shall include the following: (a) a

description of the industrial infrastructure development project,

including provisions for public use and maintenance for the useful life

of the facility to be provided by the project, if appropriate; (b) a

description of how the economic development project related to the

industrial infrastructure development project is consistent with the

regional economic development strategy and the state's economic

development goals; (c) an estimation of the number of jobs to be created

or retained by the economic development project; (d) a description of

the financing and implementation schedule for the economic development

project demonstrating the need for state participation in the industrial

infrastructure development project component; (e) an affirmation by the

responsible public or corporate official to the effect that existing

funding programs are not available or appropriate for the industrial

infrastructure development project due to funding availability; and (f)

a description of the method or plans for repayment to the state of at

least fifty percent of the industrial infrastructure development project

costs.

7. Evaluation criteria. Applications shall be evaluated in accordance

with the following criteria:

(a) the total number of jobs created or retained per dollar invested

in the industrial infrastructure development project;

(b) consistency with the appropriate regional development strategy;

(c) the impact on existing and proposed economic development projects

and programs and appropriateness of the proposed project concept;

(d) the impact on existing infrastructure facilities and services, if

any;

(e) the availability of alternate funding sources;

(f) the repayment ability of the party who is designated to make such

repayment; and

(g) demonstration by the industrial facility of its commitment and

ability to carry out the economic development project related to the

industrial infrastructure development project.

8. On or before October first, nineteen hundred eighty-eight and on or

before October first of each year thereafter, the department shall

submit to the governor and the legislature a report regarding the

current status of the industrial infrastructure development program.

Such report shall include, but not be limited to:

(a) the number of applications received;

(b) the number of applications approved;

(c) project descriptions including a description of the related

economic development project, type of business assisted, location,

amounts awarded, amounts expended, repayments to date, and projected

completion date;

(d) jobs created and/or retained per project; and

(e) description of factors which demonstrate each project's

consistency with regional economic development strategies and state

economic development goals.

9. (a) The department shall submit to the director of the division of

the budget, the chairperson of the senate finance committee and the

chairperson of the assembly ways and means committee, an evaluation of

program effectiveness prepared by an entity independent of the

department. Such an evaluation shall be submitted on or before September

first, two thousand five, and on or before September first every four

years thereafter.

(b) Between evaluation due dates, the department shall maintain the

necessary records and data required to satisfy such evaluation

requirements and to satisfy information requests received from the

director of the budget, the chairperson of the senate finance committee

and the chairperson of the assembly ways and means committee between

such evaluation due dates.

Legislative findings and objectives; waste prevention. The

legislature hereby finds and declares that there are ever increasing

opportunities to promote economic development and enhance the

environment through waste prevention. Whether through better

environmental management practices that prevent or reduce the generation

of wastes, the adoption of innovative environmental technologies, the

substitution of less toxic materials or substances, or through recycling

and reuse of secondary materials, waste prevention can often improve

competitiveness and environmental quality.

By partnering with New York companies to promote waste prevention, New

York residents will be investing in a healthy environment and a healthy

economy. Strategic planning and investment in sustainable development

will spark business growth and competitiveness and create jobs, while

protecting and enhancing the quality of the environment.

New York state waste prevention program. 1. As used in this

section, unless a different meaning clearly appears from the context,

the term:

a. "Financing institution" shall mean and include all banks, trust

companies, savings banks, savings and loan associations and credit

unions, whether incorporated, chartered, organized or licensed under the

laws of this state, any other state of the United States or the federal

government. This term may also include public authorities, public

benefit corporations, units of local government, domestic insurance

companies and not-for-profit corporations, which make loans for

improvements for the benefit of eligible applicants.

b. "Eligible applicant" or "applicant" shall mean: a small to medium

size business or nonprofit organization which employs less than five

hundred workers or has gross annual sales of less than ten million

dollars.

c. "Waste" shall have the same meaning as is found in the following

sections of the environmental conservation law: subdivision one of

section 27-0701, subdivision two of section 19-0107 and subdivision five

of section 17-0105 of the environmental conservation law. Such term

shall also include hazardous waste that appears on the list or satisfies

the characteristics of hazardous waste promulgated pursuant to section

27-0903 of the environmental conservation law. Such term shall not

include source, special nuclear or by-product material as defined in the

atomic energy act of 1954, as amended.

d. "Secondary materials" shall mean material recovered from or

otherwise destined for the waste stream, including but not limited to,

post-consumer material, industrial scrap material and overstock or

obsolete inventories from distributors, wholesalers and other companies

as defined in rules and regulations promulgated by the commissioner in

consultation with the commissioner of environmental conservation but

such term does not include those materials and by-products generated

from, and commonly reused within, an original manufacturing process.

e. "Feasibility study" shall mean a technical or economic analysis of

the feasibility of specific applications of waste prevention

technologies or practices or both.

f. "Waste prevention technologies" shall mean any technology employed

to prevent wastes or to process secondary materials for use or reuse but

shall not include technology employed for incineration of waste nor the

processing of waste for use as refuse derived fuel.

g. "Region" shall mean one or more of the economic development regions

created pursuant to section 5-127 of the energy law.

h. "Eligible project" shall mean actions taken by or on behalf of a

New York business involving the acquisition, construction, alteration,

repair or improvement of a building, fixtures, machinery or equipment,

provided that such project results in:

(i) source reduction or material substitution, provided that the

substitution of one hazardous substance, product or nonproduct output

for another does not result in the creation of a new risk,

(ii) in-process recycling,

(iii) recycling or reuse of non-hazardous solid wastes,

(iv) increased energy efficiency,

(v) conservation of the use of water or other natural resources

improvements in process economics,

(vi) elimination of the purchase of materials, the production of which

for the use of said firm would result in more waste or resource

consumption, or

(vii) other practices or technologies that reduce the use of hazardous

materials or otherwise improve air or water quality.

The term "eligible project" shall also include actions taken by or on

behalf of a business to support costs of equipment, and/or the

acquisition and/or rehabilitation of real property or structures located

or to be located in the state related to the collecting, sorting, and

packaging of empty beverage containers as such terms are defined in

title ten of article twenty-seven of the environmental conservation law.

Such actions shall be eligible for state assistance payments under the

beverage container assistance program pursuant to section 27-1018 of the

environmental conservation law.

The term "eligible project" shall not include end of pipe pollution

control technologies or practices where such controls or practices are

designed primarily to achieve compliance with the environmental

conservation law or regulations promulgated pursuant thereto, or energy

recovery or incineration, or out-of-process recycling or reuse of

hazardous waste or hazardous substances.

2. The department shall design and implement a waste prevention

program, which shall promote economic development through environmental

improvement. A high priority for services and assistance provided by or

available to the department shall be to improve the economic and

environmental performance of business through waste prevention.

3. The department shall consult with other agencies as appropriate on

these projects.

4. In carrying out the activities to implement the waste prevention

program, the department shall, to the extent practicable, within amounts

appropriated therefor:

a. collect and maintain information identifying existing manufacturers

within New York state that utilize secondary materials as raw materials

in their manufacturing process;

b. collect, maintain, and provide information to potential users

identifying existing processors of secondary materials within and

outside New York state and items within the waste stream having the

capability for utilization as inputs in processing activities;

c. maintain, provide and market a compilation of existing programs

providing incentives for new or expanded business enterprises which

could be utilized by the secondary materials processing industry;

d. promote the utilization of such incentives for new or expanded

business enterprises which process or utilize secondary materials to

locate in New York state;

e. promote incentives for existing businesses to expand their

utilization of secondary materials and their adoption of waste

prevention technologies and practices;

f. identify special needs and problems facing the secondary materials

processing industry and implementation of waste prevention within New

York state;

g. contact institutions, organizations and commercial enterprises that

are potential consumers of secondary materials and products manufactured

with secondary materials; urging their expanded consumption of secondary

materials and products and establishing markets for such secondary

materials and products through the use of letters of intent and such

other techniques as the commissioner may deem appropriate;

h. conduct market surveys of the potential consumers of secondary

materials and products manufactured with secondary materials;

i. conduct surveys to determine the potential supply of secondary

materials in the state;

j. evaluate the relationship between estimated supply and likely

demand for recovered materials in order to target the department's

efforts to bring about utilization of (i) materials for which supply

exceeds demand to the greatest degree; (ii) materials which would have

the greatest impact on the waste stream if recovered or recycled; and

(iii) materials for which a market can most readily be obtained;

k. develop and facilitate the establishment of markets necessary for

implementation of solid waste management programs;

l. provide information concerning local and regional markets for

secondary materials;

m. assist manufacturers interested in expansion or location of their

facilities or processes within the state with such governmental liaison

matters as siting, zoning, licensing, permitting, funding and other

expansion or location tasks through coordination with the relevant state

and local agencies;

n. identify federal incentives and policies designed to promote such

manufacturing industries;

o. provide other technical assistance to assist businesses in reducing

the amount of waste generated by their processes and productively use or

provide for the productive use of others of wastes which are generated;

p. assist vehicle dismantlers interested in maximizing the utilization

of secondary materials as raw materials in the manufacturing process;

and

q. conduct such other activities as may be appropriate to the intent

and purpose of this section.

5. The department shall fund feasibility studies for testing of waste

prevention technologies or practices or both to reduce the amount of

waste and to promote energy and resource conservation by the adoption of

such technologies or practices by small and medium sized firms in New

York state.

6. Applications. a. The department shall receive applications for

feasibility studies on a competitive basis. Funding shall be provided in

not less than two rounds annually.

b. Applications shall be evaluated based on criteria including but not

limited to the following:

(i) preliminary technical and economic feasibility of the project;

(ii) management ability and commitment to the project;

(iii) financial need;

(iv) the potential for applying the results of the project to other

business enterprises; and

(v) potential cost savings to the business and environmental benefits

to the state.

c. Technical feasibility. The department may consult with other state

agencies, concerning the technical feasibility of the process.

d. Total cost of studies. The state's share of the cost of individual

studies conducted through the program shall not exceed eighty percent of

the total cost or two hundred thousand dollars, whichever is less.

7. Waste prevention financing. The department is hereby authorized to

utilize monies appropriated to the program for the purpose of providing

loans, principal reductions, loan guarantees and interest subsidies for

waste prevention projects for eligible applicants.

8. a. Interest subsidies. The department may enter into cooperative

agreements with one or more cooperating financial institutions within

the state to offer loans for the purposes of this section to eligible

applicants at a rate that is no more than seventy-five percent of the

prime interest rate. Such interest rate shall initially be five percent.

b. Principal reductions and loan guarantees. The department shall be

authorized to utilize monies appropriated to this program for the

purpose of providing principal reductions and loan guarantees for

eligible applicants. Such principal reduction shall be limited to not

more than fifty percent of the amount eligible for a loan through the

program as is provided in subdivision nine of this section.

9. Loan agreements and agreements in connection with loans. Loan

agreements and agreements in connection with loans made pursuant to

subdivision seven of this section shall require that: (a) the maximum

loan per applicant shall be five hundred thousand dollars or no more

than fifty percent of the total project cost, whichever is less; (b)

loans or agreements in connection with loans shall be made only after an

application has been made to the department, the department has approved

the technical merits of the proposed improvement and the department has

notified the cooperating financial institutions of its approval and the

amount of interest or principal reduction or of the approval of a loan

guarantee upon the loan to be funded pursuant to such agreement; and (c)

loan agreements or agreements in connection with loans with program

applicants shall provide for a post installation inspection, as deemed

necessary by the department.

10. Technical feasibility study. The department shall require the

applicant to submit a technical feasibility study which identifies and

analyzes in detail the waste prevention projects which the applicant

wishes to implement. All feasibility studies must include the cost of

implementation, a construction schedule and, a description of how the

project will minimize, reduce or eliminate the generation of wastes, use

or reuse wastes, increase energy efficiency or water conservation,

improve air or water quality and/or improve process economics.

11. Apportionment of monies. The commissioner shall apportion the

monies appropriated for this program for the purpose of providing loans,

interest subsidies, loan guarantees and principal reductions to

applicants within each of the regions of the state identified in

paragraph h of subdivision one of this section.

12. Reapportionment of funds. The department may reapportion the funds

available for loans, interest subsidies, loan guarantees or principal

reductions for applicants within any region for use in one or more of

the other regions upon finding that participation in the program within

the former region would not be adversely affected, and that there exists

in the latter region or regions inadequate funds to satisfy the demand

for program participation. In any fiscal year of the state the amount of

funds available to applicants within any region may be reduced by not

more than twenty-five percent of the total amount apportioned for such

region. A copy of the department's finding shall be given to the

chairman of the senate finance committee and the chairman of the

assembly ways and means committee.

13. Implementation. In implementing this program, the department shall

promulgate rules and regulations. Such rules and regulations may

include, but not be limited to, requirements for applications and

supporting materials and criteria for the selection of cooperating

financial institutions. Such rules and regulations shall also provide in

all agreements for financial assistance for immediate repayment of all

such financial assistance plus interest and penalties if any portion of

a project as defined by paragraph i of subdivision one of this section

is transferred out of New York state.

14. Reports. Beginning on January first, nineteen hundred eighty-nine,

the commissioner shall make an annual report to the governor and the

legislature which shall include, at a minimum, the status of the

activities undertaken pursuant to paragraphs a, c, d, e, f, i, j and k

of subdivision four of this section, the status of any other activities

undertaken pursuant to this article, and recommendations for programs or

policies that will further the objectives of expanding the utilization

of secondary materials recovered for reuse within the state. The

provisions of this subdivision shall not be deemed to require or

authorize the disclosure of confidential information or trade secrets.

This report may be consolidated with the report required by subdivision

four of section two hundred sixty-three of this article.

15. Evaluation. The department shall submit to the director of the

division of the budget, the chairman and ranking minority member of the

senate finance committee and the chairman and ranking minority member of

the assembly ways and means committee an evaluation of this program

prepared by an entity independent of the department. Such evaluation

shall be submitted by September first, nineteen hundred ninety and by

September first, every two years thereafter.

New York state agricultural wastewater energy conservation loan

program. 1. Definitions. As used in this section, unless a different

meaning clearly appears from the context, the term:

a. "Financing institution" shall mean and include all banks, trust

companies, savings banks, savings and loan associations and credit

unions, whether incorporated, chartered, organized or licensed under the

laws of this state, any other state of the United States or the federal

government. This term may also include public authorities, public

benefit corporations, units of local government, domestic insurance

companies and not-for-profit corporations, which make loans for

improvements for the benefit of eligible applicants.

b. "Eligible applicant" or "applicant" shall mean: a business involved

in food processing which employs less than five hundred workers or has

gross annual sales of less than ten million dollars and which owns the

building to be improved with the proceeds of a program loan or which has

a lease or management agreement for the building.

c. "Food processors" shall mean businesses engaged in the processing

of vegetables, fruits, meats, dairy products or other food products.

d. "Loan" or "program loan" shall mean a loan from the department or a

cooperating financing institution pursuant to an agreement with the

department as part of the New York state agricultural wastewater energy

conservation loan program.

e. "Program" shall mean the New York state agricultural wastewater

energy conservation loan program.

f. "Region" shall mean one or more of the economic development regions

created pursuant to section 5-127 of the energy law.

g. "Wastewater treatment project" shall mean the acquisition,

construction, alteration, repair or improvement of a building, fixtures,

machinery or equipment constituting a facility which provides treatment

of wastewater to improve its quality and which reduces energy

consumption provided that: (i) the cost of such improvement will be

returned in savings in energy costs within a period of not less than one

year nor more than ten years as identified in an energy audit; (ii) work

on such improvement commenced after submittal of an application under

the program; and (iii) such construction, alteration, repair or

improvement is permissible under federal requirements and court

decisions applicable to overcharge funds appropriated to this program.

2. Agricultural wastewater treatment energy conservation loans. The

department is hereby authorized to utilize monies appropriated to this

program for the purpose of providing loans, principal reductions, loan

guarantees and interest subsidies for wastewater treatment for

businesses engaged in food processing.

3. a. Interest subsidies. The department may enter into cooperative

agreements with one or more cooperating financial institutions within

the state to offer loans for the purposes of this section by eligible

applicants at a rate that is no more than seventy-five percent of the

prime interest rate. Such interest rate shall initially be five percent.

b. Principal reductions and loan guarantees. The department shall be

authorized to utilize monies appropriated to this program for the

purpose of providing principal reductions and loan guarantees for

eligible applicants, if such uses are permissible under the conditions

applicable to the appropriated overcharge funds. Such principal

reduction shall be limited to not more than fifty percent of the amount

eligible for a loan through the program as is provided in this section.

4. Loan agreements and agreements in connection with loans. Loan

agreements and agreements in connection with loans made pursuant to this

section shall provide that: (a) the maximum loan per applicant shall be

two hundred fifty thousand dollars; (b) loans or agreements in

connection with loans shall be made only after an application has been

made to the department, the department has approved the technical merits

of the proposed improvement and the department has notified the

cooperating financial institutions of its approval and the amount of

interest or principal reduction or of the approval of a loan guarantee

upon the loan to be funded pursuant to such agreement; and (c) loan

agreements with program applicants shall provide for a post installation

inspection, as deemed necessary by the department.

5. Technical feasibility study. The department shall require the

applicant to submit a technical feasibility study. All technical

feasibility studies must include the cost of implementation, a

construction schedule and expected energy savings.

6. Apportionment of monies. The commissioner shall apportion the

monies appropriated for this program for the purpose of providing loans,

interest subsidies, loan guarantees and principal reductions to

applicants within each of the regions of the state identified in

paragraph f of subdivision one of this section.

7. Reapportionment of funds. The department may reapportion the funds

available for loans, interest subsidies, loan guarantees or principal

reductions for applicants within any region for use in one or more of

the other regions upon finding that participation in the program within

the former region would not be adversely affected, and that there exists

in the latter region or regions inadequate funds to satisfy the demand

for program participation. In any fiscal year of the state the amount of

funds available to applicants within any region may be reduced by not

more than twenty-five percent of the total amount apportioned for such

region. A copy of the department's finding shall be given to the

chairman of the senate finance committee and the chairman of the

assembly ways and means committee.

8. Implementation. In implementing the program, the department shall

promulgate rules and regulations formulated after consultation with the

department of environmental conservation, the energy office and the

superintendent of financial services. Such rules and regulations may

include, but not be limited to, requirements for applications and

supporting materials and criteria for the selection of cooperating

financial institutions.

Waste reduction and recycling program. 1. When used in this

section, "solid waste" or "waste" shall have the same meaning as is

found in subdivision one of section 27-0701 of the environmental

conservation law, but shall not include source, special nuclear or

by-product material as defined in the atomic energy act of 1954, as

amended, or hazardous waste which appears on the list or satisfies the

characteristics of hazardous waste promulgated pursuant to section

27-0903 of the environmental conservation law, or low level radioactive

waste as defined in section 29-0101 of the environmental conservation

law.

2. The department shall serve as a clearinghouse for information

pertaining to the reduction and recycling of solid waste generated by

commercial and industrial enterprises, including the potential for such

enterprises to coordinate their activities with existing and potential

local recycling programs, and on methods and strategies which commercial

and industrial enterprises within the state can undertake to reduce

waste generation.

3. The commissioner, in consultation with the commissioner of

environmental conservation, is hereby authorized and directed to confer

and cooperate with authorities of other states and of the United States

with respect to the development of regional markets for secondary

materials and the reduction of waste from residential, commercial and

industrial activities.

4. The department shall provide to the governor, the legislature, and

local governments on or before January first, nineteen hundred ninety

and annually thereafter, a report assessing the status of commercial and

industrial waste reduction and the development of markets for secondary

materials, and all other aspects of solid waste management for which the

department is responsible. Such report shall include evaluations

prepared in consultation with the department of environmental

conservation and the environmental facilities corporation of the

expected levels of waste reduction from present and future utilization

of such practices, the anticipated effectiveness of such practices in

meeting waste reduction goals, and associated savings due to avoided

handling and disposal costs and program implementation costs. This

report may be consolidated with the report required by subdivision

fourteen of section two hundred sixty-one of this article.

Waste prevention assistance. 1. Definitions. As used in this

section, unless a different meaning clearly appears from the context,

the term:

a. "Applicant" shall mean a municipality or two or more municipalities

or a non-profit organization.

b. "Cost" shall mean the capital cost of an eligible project including

engineering and architectural services, surveys, plans and

specifications; transportation facilities at the site or sites of the

project; lands acquired pursuant to conditions set forth in subdivision

six of this section; and other direct capital expenses incident to such

a project, less any federal assistance and other assistance received or

to be received. For purposes of this section, "cost" shall include

directly related costs for technical assistance; "cost" shall exclude

any costs incurred prior to the effective date of this section.

c. "Municipality" shall mean a local public authority or public

benefit corporation, a county, city, town, village, or Indian tribe

residing within New York state, or any combination thereof.

d. "Secondary materials" shall have the definition set forth in

subdivision one of section two hundred sixty-one of this article.

e. "Eligible project" shall mean actions taken by or on behalf of a

New York business involving the acquisition, construction, alteration,

repair or improvement of a building, fixtures, machinery or equipment,

provided that such project results in:

(i) source reduction or material substitution, provided that the

substitution of one hazardous substance, product or nonproduct output

for another does not result in the creation of a new risk,

(ii) in-process recycling,

(iii) recycling or reuse of non-hazardous solid wastes,

(iv) increased energy efficiency,

(v) conservation of the use of water or other natural resources

improvements in process economics,

(vi) elimination of the purchase of materials, the production of which

for the use of said firm would result in more waste or resource

consumption, or

(vii) other practices or technologies that reduce the use of hazardous

materials or otherwise improve air or water quality.

The term "eligible project" shall not include end of pipe pollution

control technologies or practices where such controls or practices are

designed primarily to achieve compliance with the environmental

conservation law or regulations promulgated pursuant thereto, or energy

recovery or incineration, or out-of-process recycling or reuse of

hazardous waste or hazardous substances.

f. "State assistance payment" means the payment of monies by the state

to municipalities, other governmental entities or non-profit

organizations for undertaking, pursuant to contract, projects authorized

by the environmental protection act which added this section to

preserve, enhance, restore and improve the quality of the state's

environment.

g. "Waste" shall have the meaning provided in paragraph c of

subdivision one of section two hundred sixty-one of this article.

2. Purpose. The department is authorized, within amounts appropriated,

to design and implement a waste prevention program which shall promote

economic development and environmental improvement.

3. Designation. The department shall be the agency responsible for

providing assistance to applicants for the waste prevention program.

4. Technical assistance. The department is authorized to undertake the

following activities including:

a. identifying secondary material markets;

b. serving as a clearinghouse of market information, market conditions

and marketing strategies for such materials; and

c. providing assistance to applicants for facilitating secondary

materials market contracting arrangements.

5. Waste prevention state assistance payments.

a. The department is authorized to provide, on a competitive basis,

within amounts appropriated, state assistance payments to assist

applicants in undertaking secondary materials market development or

waste prevention activities.

b. The department shall consider the following criteria in evaluating

project applications:

(i) the ability of the applicant to achieve the goals of the project,

including the ability to minimize, reduce, or eliminate the generation

of wastes, use or reuse waste, increase energy efficiency and/or water

conservation, improve air or water quality and/or improve process

economics;

(ii) the appropriateness of the proposed project in fulfilling

regional economic development and environmental improvement needs;

(iii) (iii) the economic and technical feasibility of the proposed

project;

(iv) the commitment of the applicant to implement the short and long

term goals of the proposed project; and

(v) the extent to which selection of the project would ensure, to the

extent practicable, a regional distribution of projects across the

state.

c. State assistance payments shall not exceed fifty percent of the

project cost; provided, however, that costs funded through other state

waste prevention programs shall not be eligible for funding under this

section.

6. Contracts for state assistance payments. The commissioner, in

consultation with the commissioner of environmental conservation, may

enter into contracts with applicants to provide state assistance

payments toward the cost of secondary materials utilization or waste

prevention projects. Such contracts shall include the following

provisions:

(i) An estimate of the costs of the project as determined by the

commissioner.

(ii) An agreement by the commissioner to make state assistance

payments toward the cost of the project by periodically reimbursing the

applicant during the progress of project development or following

completion of the project as may be agreed upon by the parties.

(iii) An agreement by the applicant:

(1) to proceed expeditiously with and complete the project as approved

by the commissioner;

(2) to continue operation of the project and not to dispose of the

project or any portion thereof or change its use without the approval of

the commissioner; and to not sell, lease or otherwise dispose of or use

lands acquired under this section for any purpose inconsistent with the

project under which such land is acquired;

(3) to operate and maintain the project in accordance with applicable

law, rules and regulations;

(4) to provide for the payment of the applicant's share of the cost of

the project;

(5) to repay, within one year of notification by the commissioner, any

state assistance payment made toward the cost of the project or an

equitable portion of such monies declared appropriate by the

commissioner, if the applicant:

(A) fails to complete the project as approved,

(B) disposes of the project, or any portion thereof, without the prior

written approval of the commissioner, or

(C) changes the use of the project, or any portion thereof, without

the prior written approval of the commissioner.

No repayment, however, shall be required where the commissioner

determines that such failure, disposition or change of use was

immediately necessary to protect public health and safety; and

(6) The department shall monitor the performance of each project and

shall require periodic and annual reports, as applicable, regarding each

secondary material utilization or waste prevention project at such time

and in such manner as prescribed by the commissioner. The commissioner

shall furnish a copy of such reports to the governor, the commissioner

of environmental conservation, the majority leader of the senate and the

speaker of the assembly.

7. Consultation. The commissioner may consult with other state

agencies as appropriate in furthering the purpose of this section.

8. Implementation. In implementing this program, the department shall

promulgate rules and regulations. Such rules and regulations may

include, but not be limited to, requirements for applications and

supporting materials. Such rules and regulations shall also provide in

all agreements for financial assistance for immediate repayment of all

such financial assistance plus interest and penalties if any portion of

a project as defined by paragraph i of subdivision one of section two

hundred sixty-one of this article is transferred out of New York state.

Short title. This article shall be known, and may be cited, as

the "olympic games facilitation act".

Statement of legislative intent. It is the intent of the

legislature to provide the necessary assurances and commitments required

by the United States olympic committee and the international olympic

committee in selecting a host city or municipality for the two thousand

twelve olympic games. The selection of locations in New York state to

host the olympic games will confer significant benefits to the state as

a whole and the host municipality through increased tourism, economic

growth, job creation and capital improvements. In addition, it is

projected that the hosting city and state will receive substantially

increased sales and other tax revenues as a direct consequence of

hosting the games. Such additional revenues are expected to

significantly exceed any potential liability of the municipality and the

state associated with this act. Contracts entered into by the state and

funds appropriated in accordance with this act shall be used for the

sole purpose of fulfilling the joint obligation of the endorsing

municipality and the state required by the United States olympic

committee or the international olympic committee under a games support

contract or any other agreement to indemnify and insure against any net

financial deficit resulting from the conduct of the games. In no event

shall the combined liability of a host municipality and state exceed two

hundred fifty million dollars. It is also the intent of the legislature

to support future summer and winter olympics bids by municipalities and

the state.

Definitions. As used in this article, the following words and

terms shall have the following meanings:

(a) "Comptroller" shall mean the state comptroller.

(b) "Division of budget" shall mean the state of New York division of

budget.

(c) "Endorsing municipality" shall mean a municipality or

municipalities within the state of New York that authorizes a bid by a

local organizing committee for selection of such municipality or

municipalities as the site of an olympic games.

(d) "Games support contract" shall mean a joinder undertaking, a

joinder agreement, and/or a similar contract executed by the state, an

endorsing municipality and a site selection organization in connection

with the selection of a municipality to host the games, and containing

terms authorized or required by this section.

(e) "Guaranty fund" shall mean the olympic games guaranty fund

established in section eighty-four-a of the state finance law.

(f) "Joinder agreement" shall mean an agreement entered into by the

state, an endorsing municipality and a site selection organization

setting out representations and assurances by the state and endorsing

municipality in connection with the selection of a site in the endorsing

municipality for the location of the olympic games.

(g) "Joinder undertaking" shall mean an agreement entered into by the

state, an endorsing municipality and a site selection organization that

the state and endorsing municipality will execute a joinder agreement in

the event that the site selection organization selects a site in the

endorsing municipality for an olympic games.

(h) "Local organizing committee" shall mean a not-for-profit

corporation or its successor in interest that: (1) has been authorized

by an endorsing municipality to pursue an application and bid on the

endorsing municipality's behalf to a site selection organization for

selection as the site of an olympic games; or (2) with the authorization

of an endorsing municipality, has executed an agreement with a site

selection organization regarding a bid to host the olympic games.

(i) "Net financial deficit" shall mean those losses resulting from the

conduct of the games which the endorsing municipality and state are

obligated to indemnify and insure against pursuant to a games support

contract. Expenses or liabilities arising from cancellation of the games

or any part thereof due to any cause beyond the local organizing

committee's reasonable control, including, but not limited to acts of

war, riots and other civil disturbances, acts of God, including, but not

limited to flood, fire, weather, and earthquakes, shall not be included

in calculating the net financial deficit.

(j) "State" shall mean the state of New York.

(k) "Olympic games" shall mean the two thousand twelve olympic games.

(l) "Site selection organization" shall mean the United States olympic

committee or the international olympic committee.

(m) "United States olympic committee" shall mean the official national

olympic committee of the United States of America which has been

authorized by law to govern all matters relating to national

participation in the olympic games.

Use and amount of funds. Any monies deposited, transferred or

otherwise contained in the olympic games guaranty fund established in

section eighty-four-a of the state finance law shall be used for the

sole purpose of obtaining adequate security, acceptable to the United

States olympic committee and the international olympic committee, to

demonstrate the endorsing municipality and state's ability to fulfill

its obligations under a games support contract to indemnify and insure

up to two hundred fifty million dollars of any net financial deficit

resulting from the conduct of the olympic games. Such security may be

provided by funds contained in the guaranty fund as provided in this

act, or by insurance coverage, letters of credit, or other acceptable

secured instruments purchased or secured by such funds, or by any

combination thereof. In no event may the combined liability of the

endorsing municipality and the state under all games support contracts,

or any other agreement related to the conduct of the games, exceed two

hundred fifty million dollars in the aggregate.

Payor of last resort. The state and endorsing municipality

shall be payors of last resort with regard to any net financial deficit

as defined in this act. The security provided pursuant to this act may

not be accessed to cover any net financial deficit indemnified by the

state and endorsing municipality under the games support contract until:

(a) The security provided by the local organizing committee pursuant

to this act is fully expended and exhausted;

(b) Any security provided by any other person or entity is fully

expended and exhausted;

(c) The limits of available insurance policies covering the net

financial deficit or any expense or liability used in determining the

net financial deficit, have been fully expended and exhausted; and

(d) Payment has been sought by the local organizing committee from all

third parties owing monies or otherwise liable to the local organizing

committee.

Execution of contracts. (a) The secretary of state, or his

designee, on behalf of the state, and the endorsing municipality may

execute a games support contract that is required by a site selection

organization in connection with the committee's bid to host an olympic

games.

(b) The local organizing committee shall provide any information

reasonably requested by the state, with copies to the leaders of both

houses of the legislature, and/or the endorsing municipality to assist

in reviewing the games support contract.

(c) The secretary of state, or his designee, on behalf of the state,

and the endorsing municipality, may agree in a games support contract,

that the state and endorsing municipality will fulfill their obligations

under a games support contract to indemnify and insure against any net

financial deficit resulting from the conduct of the games.

(d) With respect to the olympic games, (1) any liability, any

potential liability and financial commitments or liability of the state

and endorsing municipality will not exceed two hundred fifty million

dollars in the aggregate;

(2) any financial commitments of the state will be satisfied

exclusively by recourse of the olympic games guaranty fund in accordance

with section eighty-four-a of the state finance law;

(3) notwithstanding any other provision of this act, no agreement

entered into pursuant to this act may obligate the state to pay any part

of the cost of acquiring any interest in real or personal property, or

the cost of planning, designing, or constructing any improvement to real

or personal property, or otherwise financially obligate the state, other

than the guaranty specifically provided for in this act.

Additional insureds. The local organizing committee shall list

the state and the endorsing municipality as additional insureds on any

policy of insurance purchased by the local organizing committee to be in

effect in connection with the preparation for and conduct of the olympic

games.

Authority of state agencies. All agencies of the state are

authorized, but are not required, to make and enter into agreements with

the local organizing committee to provide the local organizing committee

with:

(a) such public services as are customarily performed or available

from the agency as may be needed by the local organizing committee to

host the games; and

(b) such access to and use of any real and personal property owned or

controlled by the agency as may be needed by the local organizing

committee to host the games.

Local organizing committee; responsibilities. (a) The local

organizing committee may not engage in any conduct that reflects

unfavorably upon this state, the endorsing municipality, or the olympic

games, or that is contrary to law or to the rules and regulations of the

United States olympic committee and the international olympic committee.

(b) By December first, two thousand five the local organizing

committee shall use its reasonable best efforts to provide adequate

security, acceptable to the state to demonstrate the local organizing

committee's ability to indemnify and insure the first twenty-five

million dollars of any net financial deficit resulting from the conduct

of the games for which the endorsing municipality and state would be

liable under a games support contract. Such security may be provided

through the establishment of an internal guaranty fund, insurance

coverage, letters of credit, or other acceptable security instruments,

or by any combination thereof. Any such security shall identify the

endorsing municipality and the state as additional insureds.

Short title. This article shall be known and may be cited as

the "excelsior jobs program act".

Statement of legislative findings and declaration. It is hereby

found and declared that New York state needs, as a matter of public

policy, to create competitive financial incentives for businesses to

create jobs and invest in the new economy. The excelsior jobs program

act is created to support the growth of the state's traditional economic

pillars including the manufacturing and financial industries and to

ensure that New York emerges as the leader in the knowledge, technology

and innovation based economy. The program will encourage the expansion

in and relocation to New York of businesses in growth industries such as

clean-tech, broadband, information systems, renewable energy and

biotechnology.

This legislation creates the excelsior jobs program, which has four

components: the excelsior jobs tax credit, the excelsior investment tax

credit, the excelsior research and development tax credit and the

excelsior real property tax credit. These credits are designed to

promote business expansion in New York state and increase jobs in the

new economy. At the same time, the program protects state taxpayers'

dollars by ensuring that New York provides tax benefits only to

businesses that have created the promised jobs and made the promised

investments.

Definitions. For the purposes of this article:

1. "Agriculture" means both agricultural production (establishments

performing the complete farm or ranch operation, such as farm

owner-operators, tenant farm operators, and sharecroppers) and

agricultural support (establishments that perform one or more activities

associated with farm operation, such as soil preparation, planting,

harvesting, shearing, animal and plant fiber processing, and management,

on a contract or fee basis).

1-a. "Animal and plant fiber textile manufacturing" means the

processes of harvesting, cleaning, spinning, knitting, weaving, dyeing

and finishing textiles containing animal and plant fiber grown or

produced predominantly in New York state.

2. "Back office operations" means a business function that may include

one or more of the following activities: customer service, information

technology and data processing, human resources, accounting and related

administrative functions.

3. "Benefit-cost ratio" means the following calculation: the numerator

is the sum of (i) the value of all remuneration projected to be paid for

all net new jobs during the period of participation in the program, and

(ii) the value of capital investments to be made by the business

enterprise during the period of participation in the program, and the

denominator is the amount of total tax benefits under this article that

will be used and refunded.

3-a. "Green CHIPS benefit-cost ratio" means the following calculation

with respect to Green CHIPS projects: the ratio where the numerator is

the sum of: (a) the value of all remuneration projected to be paid for

all net new jobs during the period of participation in the program; (b)

the value of capital investments to be made by the business enterprise

during the period of participation in the program; and (c) all research

and development expenditures by the participant in New York State during

the period of participation in the program; and the denominator is the

amount of total tax benefits under this article that will be used and

refunded as well as any state grants provided to the participant.

4. "Certificate of eligibility" means the document issued by the

department to an applicant that has completed an application to be

admitted into the excelsior jobs program and has been accepted into the

program by the department. Possession of a certificate of eligibility

does not by itself guarantee the eligibility to claim the tax credit.

5. "Certificate of tax credit" means the document issued to a

participant by the department, after the department has verified that

the participant has met all applicable eligibility criteria in this

article. The certificate shall be issued annually if such criteria are

satisfied and shall specify the exact amount of each of the tax credit

components under this article that a participant may claim, pursuant to

section three hundred fifty-five of this article, and shall specify the

taxable year in which such credit may be claimed.

5-a. "Child care services" means those services undertaken or

sponsored by a participant in this program meeting the requirements of

"child day care" as defined in paragraph (a) of subdivision one of

section three hundred ninety of the social services law or any child

care services in the city of New York whereby a permit to operate such

child care services is required pursuant to the health code of the city

of New York.

6. "Distribution center" means a large scale facility involving

processing, repackaging and/or movement of finished or semi-finished

goods to retail locations across a multi-state area.

7. "Entertainment company" means a corporation, partnership, limited

partnership, or other entity principally engaged in the production or

post production of (i) motion pictures, which shall include

feature-length films and television films, (ii) instructional videos,

(iii) televised commercial advertisements, (iv) animated films or

cartoons, (v) music videos, (vi) television programs, which shall

include, but not be limited to, television series, television pilots,

and single television episodes, or (vii) programs primarily intended for

radio broadcast. "Entertainment company" shall not include an entity (i)

principally engaged in the live performance of events, including, but

not limited to, theatrical productions, concerts, circuses, and sporting

events, (ii) principally engaged in the production of content intended

primarily for industrial, corporate or institutional end-users, (iii)

principally engaged in the production of fundraising films or programs,

or (iv) engaged in the production of content for which records are

required under section 2257 of title 18, United States code, to be

maintained with respect to any performer in such production.

8. "Financial services data centers or financial services customer

back office operations" means operations that manage the data or

accounts of existing customers or provide product or service information

and support to customers of financial services companies, including

banks, other lenders, securities and commodities brokers and dealers,

investment banks, portfolio managers, trust offices, and insurance

companies.

8-a. "Green project" means a project deemed by the commissioner to

make products or develop technologies that are primarily aimed at

reducing greenhouse gas emissions or supporting the use of clean energy

in accordance with goals described in chapter one hundred six of the

laws of two thousand nineteen. "Green project" shall include, but not be

limited to, the manufacture or development of products or technologies

or supply chain components primarily for renewable energy systems as

defined in section sixty-six-p of the public service law, vehicles that

use non-hydrocarbon fuels and produce zero or near zero emissions, heat

pumps, energy efficiency, clean energy storage and other products that

significantly reduce greenhouse gas emissions by minimizing the

utilization of depletable resources or by improving industrial or

agricultural efficiency. "Green project" shall not include a project

primarily composed of (i) necessarily local activities such as retail,

building construction, or the installation, deployment or adoption of a

clean energy product or technology at an end user's site, or (ii) the

production of products or development of technologies that would produce

only marginal and incremental energy savings or environmental benefits

ancillary to the core function of the product or technology.

9. "Investment zone" shall mean an area within the state that had been

designated under paragraph (i) of subdivision (a) and subdivision (d) of

section nine hundred fifty-eight of the general municipal law that was

wholly contained within up to four distinct and separate contiguous

areas as of the date immediately preceding the date the designation of

such area expired pursuant to section nine hundred sixty-nine of the

general municipal law.

10. "Life sciences" means agricultural biotechnology, biogenerics,

bioinformatics, biomedical engineering, biopharmaceuticals, academic

medical centers, biotechnology, chemical synthesis, chemistry

technology, medical diagnostics, genomics, medical image analysis,

marine biology, medical devices, medical nanotechnology, natural product

pharmaceuticals, proteomics, regenerative medicine, RNA interference,

stem cell research, medical and neurological clinical trials, health

robotics and veterinary science.

11. "Life sciences company" means a business entity or an organization

or institution that devotes the majority of its efforts in the various

stages of research, development, technology transfer and

commercialization related to any life sciences field.

12. "Manufacturing" means the process of working raw materials into

products suitable for use or which gives new shapes, new quality or new

combinations to matter which has already gone through some artificial

process by the use of machinery, tools, appliances, or other similar

equipment. "Manufacturing" does not include an operation that involves

only the assembly of components, provided, however, the assembly of

motor vehicles or other high value-added products shall be considered

manufacturing.

13. "Music production" means the process of creating sound recordings

of at least eight minutes, recorded in professional sound studios,

intended for commercial release. "Music production" does not include

recording of live concerts, or recordings that are primarily spoken word

or wildlife or nature sounds, or produced for instructional use or

advertising or promotional purposes.

13-a. "Net new child care services expenditures" means the calculation

of new, annual participant expenditures on child care services whether

internal or provided by a third party (including coverage for full or

partial discount of employee rates), minus any revenues received by the

participant through a third-party operator (i.e. rent paid to the

participant by the child care provider) or employees and may be further

defined by the commissioner in regulations. For the purposes of this

definition, expenditures for child care services that a participant has

incurred prior to admission to this program shall not be eligible for

the credit.

14. "Net new jobs" means:

(a) jobs created in this state that (i) are new to the state,

(ii) have not been transferred from employment with another business

located in this state including from a related person in this state,

(iii) are either full-time wage-paying jobs or equivalent to a

full-time wage-paying job requiring at least thirty-five hours per week,

and

(iv) are filled for more than six months; or

(b) jobs obtained by an entertainment company in this state (i) as a

result of the termination of a licensing agreement with another

entertainment company, (ii) that the commissioner determines to be at

risk of leaving the state as a direct result of the termination, (iii)

that are either full-time wage-paying jobs or equivalent to a full-time

wage-paying job requiring at least thirty-five hours per week, and (iv)

that are filled for more than six months.

15. "Participant" means a business entity that:

(a) has completed an application prescribed by the department to be

admitted into the program;

(b) has been issued a certificate of eligibility by the department;

(c) has demonstrated that it meets the eligibility criteria in section

three hundred fifty-three and subdivision two of section three hundred

fifty-four of this article; and

(d) has been certified as a participant by the commissioner.

16. "Preliminary schedule of benefits" means the maximum aggregate

amount of each component of the tax credit that a participant in the

excelsior jobs program is eligible to receive pursuant to this article.

The schedule shall indicate the annual amount of each component of the

credit a participant may claim in each of its ten years of eligibility.

The preliminary schedule of benefits shall be issued by the department

when the department approves the application for admission into the

program. The commissioner may amend that schedule, provided that the

commissioner complies with the credit caps in section three hundred

fifty-nine of this article as applicable.

17. "Qualified investment" means an investment in tangible property

(including a building or a structural component of a building) owned by

a business enterprise which:

(a) is depreciable pursuant to section one hundred sixty-seven of the

internal revenue code;

(b) has a useful life of four years or more;

(c) is acquired by purchase as defined in section one hundred

seventy-nine (d) of the internal revenue code;

(d) has a situs in this state; and

(e) is placed in service in the state on or after the date the

certificate of eligibility is issued to the business enterprise.

18. "Regionally significant project" means (a) a manufacturer creating

at least ten net new jobs in the state and making significant capital

investment in the state; (b) a business creating at least ten net new

jobs in agriculture in the state and making significant capital

investment in the state, (c) a financial services firm, distribution

center, or back office operation creating at least one hundred net new

jobs in the state and making significant capital investment in the

state, (d) a scientific research and development firm creating at least

ten net new jobs in the state, and making significant capital investment

in the state, (e) a life sciences company creating at least twenty net

new jobs in the state and making significant capital investment in the

state or (f) an entertainment company creating or obtaining at least two

hundred net new jobs in the state and making significant capital

investment in the state. Other businesses creating one hundred fifty or

more net new jobs in the state and making significant capital investment

in the state may be considered eligible as a regionally significant

project by the commissioner as well. The commissioner shall promulgate

regulations pursuant to section three hundred fifty-six of this article

to determine what additional criteria a business must meet to be

eligible as a regionally significant project, including, but not limited

to, whether a business exports a substantial portion of its products or

services outside of the state or outside of a metropolitan statistical

area or county within the state.

19. "Related person" means a "related person" pursuant to subparagraph

(c) of paragraph three of subsection (b) of section four hundred

sixty-five of the internal revenue code.

20. "Remuneration" means wages and benefits paid to an employee by a

participant in the excelsior jobs program.

20-a. "Significant capital investment" means a project which will be

either a newly constructed facility or a newly constructed addition to,

expansion of or improvement of a facility, consisting of tangible

personal property and other tangible property, including buildings and

structural components of buildings, that are depreciable pursuant to

section one hundred sixty-seven of the internal revenue code, have a

useful life of four years or more, are acquired by purchase as defined

in section one hundred seventy-nine (d) of the internal revenue code,

and that is equal to or exceeds (a) one million dollars for a

manufacturer; (b) two hundred fifty thousand dollars for an agriculture

business; (c) three million dollars for a financial services firm or

back office operation; (d) fifteen million dollars for a distribution

center; (e) three million dollars for a scientific research and

development firm; or (f) three million dollars for other businesses.

21. "Research and development expenditures" mean the expenses of the

business enterprise that are qualified research expenses under the

federal research and development credit under section forty-one of the

internal revenue code and are attributable to activities conducted in

the state. If the federal research and development credit has expired,

then the research and development expenditures shall be calculated as if

the federal research and development credit structure and definition in

effect in federal tax year two thousand nine were still in effect.

22. "Scientific research and development" means conducting research

and experimental development in the physical, engineering, and life

sciences, including but not limited to agriculture, animal fiber,

electronics, environmental, biology, botany, biotechnology, computers,

chemistry, food, fisheries, forests, geology, health, mathematics,

medicine, oceanography, pharmacy, physics, plant fiber, veterinary, and

other allied subjects. For the purposes of this article, scientific

research and development does not include medical or veterinary

laboratory testing facilities.

23. "Software development" means the creation of coded computer

instructions or production or post-production of video games, as defined

in subdivision one-a of section six hundred eleven of the general

business law, other than those embedded and used exclusively in

advertising, promotional websites or microsites, and also includes new

media as defined by the commissioner in regulations.

24. "Green CHIPS project" means a project meeting all of the following

criteria: (a) is within the semiconductor manufacturing and related

equipment and material supplier sector; (b) includes sustainability

measures to mitigate the project's greenhouse gas emissions impact over

its lifetime; (c) provides for the payment of not less than federal

prevailing wage rates for its project construction; (d) makes

commitments to worker and community investment, including through

training and education benefits paid by the participant and programs to

expand employment opportunity for economically disadvantaged

individuals; (e) will create at least five hundred net new jobs and make

at least three billion dollars in qualified investment; and (f) the

participant undertaking a Green CHIPS project shall maintain a Green

CHIPS benefit-cost ratio of at least fifteen to one. Such projects are

eligible to enter into a phase one of a Green CHIPS project ten-year

benefit term. Such projects, provided they are in good standing with all

requirements of this chapter, are also eligible to enter into a phase

two of a Green CHIPS project, and therefore to initiate a new and

separate ten-year schedule related to phase two, provided that phase two

will create at least five hundred net new jobs beyond those created in

phase one, and that phase two will make at least three billion dollars

in qualified investment beyond the investment total associated with

phase one. For Green CHIPS projects, phase one and phase two terms may

overlap, depending on the time of initiation for both projects. In no

event shall credits be awarded for a Green CHIPS project beyond two

thousand fifty.

25. "Semiconductor supply chain project" means a project deemed by the

commissioner to make products or develop technologies that are primarily

aimed at supporting the growth of the semiconductor manufacturing and

related equipment and material supplier sector. "Semiconductor supply

chain project" shall include, but need not be limited to, semiconductor

device manufacturing, producers of component parts, direct input

materials and equipment necessary for the manufacture of semiconductor

chips, machinery, equipment, and materials necessary for the operational

efficiency of semiconductor manufacturing facilities, other such inputs

directly supportive of the domestic production of semiconductor chips,

and companies engaged in the assembly, testing, packaging and advanced

packaging semiconductor value chain. "Semiconductor supply chain

project" shall not include a project primarily composed of: (i)

machinery, equipment, or materials that are inputs to manufacturing

generally, but are not direct inputs to semiconductor manufacturing in

specific; (ii) the production of products or development of technologies

that would produce only marginal and incremental benefits to the

semiconductor manufacturing sector; (iii) projects that would otherwise

qualify as a Green CHIPS project as defined in section twenty-four of

this section.

Eligibility criteria. 1. To be a participant in the excelsior

jobs program, a business entity shall operate in New York state

predominantly:

(a) as a financial services data center or a financial services back

office operation;

(b) in manufacturing, including in animal and plant fiber textile

manufacturing;

(c) in software development and new media;

(d) in scientific research and development;

(e) in agriculture;

(f) in the creation or expansion of back office operations in the

state;

(g) in a distribution center;

(h) in an industry with significant potential for private-sector

economic growth and development in this state as established by the

commissioner in regulations promulgated pursuant to this article. In

promulgating such regulations the commissioner shall include job and

investment criteria;

(i) as an entertainment company;

(j) in music production;

(k) as a life sciences company;

(l) as a company operating in one of the industries listed in

paragraphs (b) through (e) of this subdivision and engaging in a green

project as defined in section three hundred fifty-two of this article;

(m) as a participant operating in one of the industries listed in

paragraphs (a) through (k) of this subdivision and operating or

sponsoring child care services to its employees as defined in section

three hundred fifty-two of this article;

(n) as a Green CHIPS project; or

(o) as a company operating in one of the industries listed in

paragraphs (a) through (k) of this subdivision and engaging in a

semiconductor supply chain project as defined in section three hundred

fifty-two of this article.

2. When determining whether an applicant is operating predominately in

one of the industries listed in subdivision one of this section, the

commissioner will examine the nature of the business activity at the

location for the proposed project and will make eligibility

determinations based on such activity.

3. For the purposes of this article, in order to participate in the

excelsior jobs program, a business entity operating predominantly in

manufacturing must create at least five net new jobs; a business entity

operating predominately in agriculture must create at least five net new

jobs; a business entity operating predominantly as a financial service

data center or financial services customer back office operation must

create at least twenty-five net new jobs; a business entity operating

predominantly in scientific research and development must create at

least five net new jobs; a business entity operating predominantly in

software development must create at least five net new jobs; a business

entity creating or expanding back office operations must create at least

twenty-five net new jobs; a business entity operating predominately in

music production must create at least five net new jobs; a business

entity operating predominantly as an entertainment company must create

or obtain at least one hundred net new jobs; or a business entity

operating predominantly as a distribution center in the state must

create at least fifty net new jobs, notwithstanding subdivision five of

this section; or a business entity operating predominately as a life

sciences company must create at least five net new jobs; or a business

entity must be a regionally significant project or Green CHIPS project

as defined in this article; or

4. A business entity operating predominantly in one of the industries

referenced in paragraphs (a) through (h) or in paragraph (k) of

subdivision one of this section but which does not meet the job

requirements of subdivision three of this section must have at least

twenty-five full-time job equivalents unless such business is a business

entity operating predominantly in manufacturing then it must have at

least five full-time job equivalents and must demonstrate that its

benefit-cost ratio is at least ten to one.

5. A not-for-profit business entity, a business entity whose primary

function is the provision of services including personal services,

business services, or the provision of utilities, and a business entity

engaged predominantly in the retail or entertainment industry, other

than a business operating as an entertainment company as defined in this

article and other than a business entity engaged in music production,

and a company engaged in the generation or distribution of electricity,

the distribution of natural gas, or the production of steam associated

with the generation of electricity are not eligible to receive the tax

credit described in this article.

6. A business entity must be in compliance with all worker protection

and environmental laws and regulations. In addition, a business entity

may not owe past due state taxes or local property taxes.

7. Notwithstanding subdivision sixteen of section three hundred

fifty-two of this article, the department is hereby authorized to allow

phase two of a Green CHIPS project to enter into a new and separate

schedule of benefits which may overlap with the phase one of a Green

CHIPS project schedule of benefits, for a new ten-year benefit term.

Notwithstanding paragraph three of subdivision a of section three

hundred fifty-four of this article, such phase two of a Green CHIPS

project shall be admitted into the program. Provided however, for such

phase two of a Green CHIPS project, the new benefit term shall

exclusively be provided for net new investments, new research and

development expenditures, and net new job creation above the commitments

outlined in the schedule of benefits for a business' phase one of a

Green CHIPS project with the department. Assuming the requirements of

this article have been met, both a Green CHIPS project and any phase two

of such project shall be eligible for benefits under section three

hundred fifty-five of this article.

Application and approval process. 1. A business enterprise must

submit a completed application as prescribed by the commissioner. An

application made by an entertainment company must be submitted by June

first, two thousand fifteen, except for an application made by an

entertainment company that is eligible to participate in the excelsior

jobs program based upon creating net new jobs pursuant to paragraph (a)

of subdivision twelve of section three hundred fifty-two of this

article. An application may be recommended by entities, including but

not limited to, those created pursuant to subdivision (e) of section

nine hundred fifty-seven of the general municipal law.

2. As part of such application, each business enterprise must:

(a) Agree to allow the department of taxation and finance to share its

tax information with the department. However, any information shared as

a result of this agreement shall not be available for disclosure or

inspection under the state freedom of information law.

(b) Agree to allow the department of labor to share its tax and

employer information with the department. However, any information

shared as a result of this agreement shall not be available for

disclosure or inspection under the state freedom of information law.

(c) Allow the department and its agents access to any and all books

and records the department may require to monitor compliance.

(d) Agree to be permanently disqualified for empire zone benefits at

any location or locations that qualify for excelsior jobs program

benefits if admitted into the excelsior jobs program.

(e) Provide the following information to the department upon request:

(i) a plan outlining the schedule for meeting the job and investment

requirements as set forth in subdivisions three and four of section

three hundred fifty-three of this article. Such plan must include

details on job titles and expected salaries;

(ii) the prior three years of federal and state income or franchise

tax returns, unemployment insurance quarterly returns, real property tax

bills and audited financial statements;

(iii) the amount and description of projected qualified investments

for which it plans to claim the excelsior investment tax credit;

(iv) an estimate of the portion of any federal research and

development tax credits, attributable to research and development

activities conducted in New York state, that it anticipates claiming for

the years it expects to claim the excelsior research and development

credit; and

(v) the employer identification or social security numbers for all

related persons to the applicant, including those of any members of a

limited liability company or partners in a partnership.

(f) Provide a clear and detailed presentation of all related persons

to the applicant to assure the department that jobs are not being

shifted within the state.

(g) Certify, under penalty of perjury, that it is in substantial

compliance with all environmental, worker protection, and local, state,

and federal tax laws.

3. (a) After reviewing a business enterprise's completed application

and determining that the business enterprise will meet the conditions

set forth in subdivisions three and four of section three hundred

fifty-three of this article, the department may admit the applicant into

the program and provide the applicant with a certificate of eligibility

and a preliminary schedule of benefits by year based on the applicant's

projections as set forth in its application. This preliminary schedule

of benefits delineates the maximum possible benefits an applicant may

receive.

(b) Notwithstanding the requirements of this subdivision, an existing

participant in the excelsior jobs program may be eligible for an

enhanced investment tax credit on projects for child care services and

the excelsior child care services tax credit component, provided:

(i) the participant is in compliance with the requirements of this

article;

(ii) the participant is not, at the time of application to the

department for either the enhanced investment tax credit on projects for

child care services or the excelsior child care tax credit component,

either operating a child care facility or sponsoring child care services

for its employees; and

(iii) the participant is seeking to provide such services on condition

of receipt of additional tax credits attributable to child care

services. Such existing participant may apply to the department for the

benefit as defined in section three hundred fifty-five of this article.

In no circumstances shall the benefit term for child care services

exceed the existing participant's existing benefit term in its

preliminary schedule of benefits.

4. In order to become a participant in the program, an applicant must

submit evidence that it satisfies the eligibility criteria specified in

section three hundred fifty-three of this article and subdivision two of

this section in such form as the commissioner may prescribe. After

reviewing such evidence and finding it sufficient, the department shall

certify the applicant as a participant and issue to that participant a

certificate of tax credit for one taxable year. To receive a certificate

of tax credit for subsequent taxable years, the participant must submit

to the department a performance report demonstrating that the

participant continues to satisfy the eligibility criteria specified in

section three hundred fifty-three of this article and subdivision two of

this section. If such eligibility criteria is met, a participant can

receive tax credits based on interim job, investment or research and

development milestones. A participant's increase in employment,

qualified investment, or federal research and development tax credit

attributable to research and development activities in New York state

above its projections listed in its application shall not result in an

increase in tax benefits under this article. However, if the

participant's expenditures are less than the estimated amounts, the

credit shall be less than the estimate.

5. A participant may claim tax benefits commencing in the first

taxable year that the business enterprise receives a certificate of tax

credit or the first taxable year listed on its preliminary schedule of

benefits, whichever is later. A participant may claim such benefits for

the next nine consecutive taxable years, provided that the participant

demonstrates to the department that it continues to satisfy the

eligibility criteria specified in section three hundred fifty-three of

this article and subdivision two of this section in each of those

taxable years, and provided that no tax credits may be allowed for

taxable years beginning on or after January first, two thousand forty.

If, in any given year, a participant who has satisfied the eligibility

criteria specified in section three hundred fifty-three of this article

realizes job creation less than the estimated amount, the credit shall

be reduced by the proportion of actual job creation to the estimated

amount, provided the proportion is at least seventy-five percent of the

jobs estimated.

Excelsior jobs program credit. 1. Excelsior jobs tax credit

component. A participant in the excelsior jobs program shall be eligible

to claim a credit for each net new job it creates in New York state. In

a project that is not a green project, the amount of such credit per job

shall be equal to the product of the gross wages paid and up to 6.85

percent. In a green project, or a Green CHIPS project, the amount of

such credit per job shall be equal to the product of the gross wages

paid and up to 7.5 percent. Provided, however, given the

transformational nature of Green CHIPS projects, only the first two

hundred thousand dollars of gross wages per job shall be eligible for

this credit. The maximum amount of gross wages per job for a Green CHIPS

project may be adjusted for inflation at an annual amount determined by

the commissioner in a manner substantially similar to the cost of living

adjustments calculated by the United States Social Security

Administration based on changes in consumer price indices or a rate of

four percent per year, whichever is higher. In a semiconductor supply

chain project, the amount of such credit per job shall be equal to the

product of the gross wages paid and up to seven percent.

2. Excelsior investment tax credit component. A participant in the

excelsior jobs program shall be eligible to claim a credit on qualified

investments. In a project that is not a green project, the credit shall

be equal to two percent of the cost or other basis for federal income

tax purposes of the qualified investment. In a green project, the credit

shall be equal to five percent of the cost or other basis for federal

income tax purposes of the qualified investment. In a project for child

care services or a Green CHIPS project, the credit shall be up to five

percent of the cost or other basis for federal income tax purposes of

the qualified investment in child care services or in the Green CHIPS

project as applicable. In a semiconductor supply chain project, the

credit shall be up to three percent of the cost or other basis for

federal income tax purposes of the qualified investment. A participant

may not claim both the excelsior investment tax credit component and the

investment tax credit set forth in subdivision one of section two

hundred ten-B, subsection (a) of section six hundred six, the former

subsection (i) of section fourteen hundred fifty-six, or subdivision (q)

of section fifteen hundred eleven of the tax law for the same property

in any taxable year, except that a participant may claim both the

excelsior investment tax credit component and the investment tax credit

for research and development property. In addition, a taxpayer who or

which is qualified to claim the excelsior investment tax credit

component and is also qualified to claim the brownfield tangible

property credit component under section twenty-one of the tax law may

claim either the excelsior investment tax credit component or such

tangible property credit component, but not both with regard to a

particular piece of property. A credit may not be claimed until a

business enterprise has received a certificate of tax credit, provided

that qualified investments made on or after the issuance of the

certificate of eligibility but before the issuance of the certificate of

tax credit to the business enterprise, may be claimed in the first

taxable year for which the business enterprise is allowed to claim the

credit. Expenses incurred prior to the date the certificate of

eligibility is issued are not eligible to be included in the calculation

of the credit.

2-a. Excelsior child care services tax credit component. A participant

in the excelsior jobs program shall be eligible to claim a credit on its

net new child care services expenditures for its operation, sponsorship

or direct financial support of a child care services program. The credit

shall be up to six percent of the net new child care services

expenditures as defined in this chapter.

3. Excelsior research and development tax credit component. A

participant in the excelsior jobs program shall be eligible to claim a

credit equal to fifty percent of the portion of the participant's

federal research and development tax credit that relates to the

participant's research and development expenditures in New York state

during the taxable year; provided however, if not a green project, the

excelsior research and development tax credit shall not exceed six

percent of the qualified research and development expenditures

attributable to activities conducted in New York state, or, if a green

project or a Green CHIPS project, the excelsior research and development

tax credit shall not exceed eight percent of the research and

development expenditures attributable to activities conducted in New

York state, or if a semiconductor supply chain project, the excelsior

research and development tax credit shall not exceed seven percent of

the qualified research and development expenditures attributable to

activities conducted in New York state. If the federal research and

development credit has expired, then the research and development

expenditures relating to the federal research and development credit

shall be calculated as if the federal research and development credit

structure and definition in effect in two thousand nine were still in

effect. Notwithstanding any other provision of this chapter to the

contrary, research and development expenditures in this state, including

salary or wage expenses for jobs related to research and development

activities in this state, may be used as the basis for the excelsior

research and development tax credit component and the qualified emerging

technology company facilities, operations and training credit under the

tax law.

4. Excelsior real property tax credit component. (a) A participant in

the excelsior jobs program who either qualified as a regionally

significant project or is located in an investment zone shall be

eligible to claim a credit for a period of ten years.

(b) The credit in year one shall be equal to fifty percent of the

eligible real property taxes on the real property comprising the

regionally significant project or located in the investment zone. In the

remaining years the credit shall be computed according to the following

schedule:

Year two: forty-five percent of eligible real property taxes on the

real property comprising the regionally significant project or located

in the investment zone;

Year three: forty percent of eligible real property taxes on the real

property comprising the regionally significant project or located in the

investment zone;

Year four: thirty-five percent of eligible real property taxes on real

property comprising the regionally significant project or located in the

investment zone;

Year five: thirty percent of eligible real property taxes on the real

property comprising the regionally significant project or located in the

investment zone;

Year six: twenty-five percent of eligible real property taxes on the

real property comprising the regionally significant project or located

in the investment zone;

Year seven: twenty percent of eligible real property taxes on the real

property comprising the regionally significant project or located in the

investment zone;

Year eight: fifteen percent of eligible real property taxes on the

real property comprising the regionally significant project or located

in the investment zone;

Year nine: ten percent of eligible real property taxes on the real

property comprising the regionally significant project or located in the

investment zone; and

Year ten: five percent of eligible real property taxes on the real

property comprising the regionally significant project or located in the

investment zone.

(c) For purposes of this credit, the term "eligible real property

taxes" shall have the same meaning as in subdivision (e) of section

fifteen of the tax law, provided that such subdivision (e) shall be read

as if it specifically referenced the excelsior jobs program and

participants in that program.

(d) In calculating the excelsior real property tax credit and

determining the maximum aggregate amount of such credit component in the

preliminary schedule of benefits, the commissioner shall include any

improvements projected to be made by the taxpayer to the property

comprising the regionally significant project or located in the

investment zone as listed in its application for participation in the

excelsior jobs program.

5. Refundability of credits. The tax credit components established in

this section shall be refundable as provided in the tax law. If a

participant fails to satisfy the eligibility criteria in any one year,

it will lose the ability to claim credit for that year. The event of

such failure shall not extend the original ten-year eligibility period.

6. Claim of tax credit. The business enterprise shall be allowed to

claim the credit as prescribed in section thirty-one of the tax law. No

costs used by an entertainment company as the basis for the allowance of

a tax credit described in this section shall be used by such

entertainment company to claim any other credit allowed pursuant to the

tax law. No costs or expenditures for child care services used by a

participant to claim the credit as prescribed in section forty-four of

the tax law shall be used for the allowance of a tax credit described in

this section.

7. For availability of special excelsior jobs program rates governing

the provision of gas or electric service, see subdivision twelve-d of

section sixty-six of the public service law. Such special excelsior jobs

program rates may remain available to participants as defined in this

article for a period of up to ten years commencing in the first taxable

year that the participant receives a certificate of tax credit, or the

first taxable year listed on its preliminary schedule of benefits,

whichever is later. Notwithstanding any other provision of this section,

such special excelsior job program rates shall remain available to a

Green CHIPS project which enters into a phase two of such project for

the entirety of both of its schedules of benefits. Provided however, if

a participant is removed from the excelsior jobs program pursuant to

this article, the excelsior jobs program rates may be denied.

Powers and duties of the commissioner. 1. The commissioner

shall promulgate regulations establishing an application process and

eligibility criteria, that will be applied consistent with the purposes

of this article, so as not to exceed the annual cap on tax credits set

forth in section three hundred fifty-nine of this article which,

notwithstanding any provisions to the contrary in the state

administrative procedure act, may be adopted on an emergency basis.

2. The commissioner shall, in consultation with the department of

taxation and finance, develop a certificate of tax credit that shall be

issued by the commissioner to participants. Participants must include

the certificate of tax credit with their tax return to receive any tax

benefits under this article.

3. The commissioner shall solely determine the eligibility of any

applicant applying for entry into the program and shall remove any

participant from the program for failing to meet any of the requirements

set forth in subdivision two of section three hundred fifty-four of this

article, or for failing to meet the minimum job or investment

requirements set forth in subdivisions three and four of section three

hundred fifty-three of this article.

Maintenance of records. Each participant shall keep all

relevant records for their duration of program participation plus three

years.

Reporting. 1. Each participant must submit a performance report

annually, in such form as the commissioner may require, within thirty

days of the end of their taxable year.

2. The commissioner shall prepare on a quarterly basis a program

report for posting on the department's website. The first report will be

due June thirtieth, two thousand eleven, and every three months

thereafter. Such report shall include, but not be limited to, the

following: number of applicants; number of participants approved; names

of participants; total amount of benefits certified; benefits received

per participant; total number of net new jobs created; number of net new

jobs created per participant; aggregate new investment in the state; new

investment per participant; and such other information as the

commissioner determines.

3. The commissioner shall prepare on a quarterly basis information

related to the utilization of the excelsior child care services tax

credit component for inclusion in the quarterly excelsior jobs program

tax credit reports required pursuant to subdivision two of this section.

Such information shall include, but need not be limited to the

following: number of applicants; number of participants approved; total

net new child care services expenditures certified; total amount of

benefits certified; benefits received per participant. On an annual

basis, businesses participating in the excelsior child care services

credit shall report to the department on the number of employees

participating in child care services supported by the credit.

Cap on tax credit. 1. Except with respect to tax credits issued

to Green CHIPS projects as articulated in subdivision four of this

section, the total amount of tax credits issued by the commissioner for

any taxable year may not exceed the limitations set forth in this

subdivision. Except with respect to tax credits issued to Green CHIPS

projects as articulated in subdivision four of this section, one-half of

any amount of tax credits not awarded for a particular taxable year may

be used by the commissioner to award tax credits in another taxable

year.

Credit components in the aggregate With respect to taxable

shall not exceed: years beginning in:

$ 50 million 2011

$ 100 million 2012

$ 150 million 2013

$ 200 million 2014

$ 250 million 2015

$ 183 million 2016

$ 183 million 2017

$ 183 million 2018

$ 183 million 2019

$ 183 million 2020

$ 183 million 2021

$ 133 million 2022

$ 83 million 2023

$ 36 million 2024

$ 200 million 2025

$ 200 million 2026

$ 200 million 2027

$ 200 million 2028

$ 200 million 2029

$ 200 million 2030

$ 200 million 2031

$ 200 million 2032

$ 200 million 2033

$ 200 million 2034

2. Twenty-five percent of tax credits shall be allocated to businesses

accepted into the program under subdivision four of section three

hundred fifty-three of this article and seventy-five percent of tax

credits shall be allocated to businesses accepted into the program under

subdivision three of section three hundred fifty-three of this article.

3. Provided, however, if by September thirtieth of a calendar year,

the department has not allocated the full amount of credits available in

that year to either: (i) businesses accepted into the program under

subdivision four of section three hundred fifty-three of this article or

(ii) businesses accepted into the program under subdivision three of

section three hundred fifty-three of this article, the commissioner may

allocate any remaining tax credits to businesses referenced in this

paragraph as needed; provided, however, that under no circumstances may

the aggregate statutory cap for all program years be exceeded. One

hundred percent of the unawarded amounts remaining at the end of two

thousand twenty-nine may be allocated in subsequent years,

notwithstanding the fifty percent limitation on any amounts of tax

credits not awarded in taxable years two thousand eleven through two

thousand twenty-nine. Provided, however, no tax credits may be allowed

for taxable years beginning on or after January first, two thousand

fifty.

4. The total amount of tax credits issued by the commissioner for the

taxable years two thousand twenty-two to two thousand forty-one for

Green CHIPS projects shall not exceed five hundred million per year. One

hundred percent of any amount of tax credits not awarded for a

particular taxable year may be used by the commissioner to award tax

credits in another taxable year. Notwithstanding the foregoing, Green

CHIPS projects may be allowed to claim credits for taxable years up to

January first, two thousand fifty.

Short title. This article shall be known and may be cited as

the "semiconductor research and development project act".

Statement of legislative findings and declaration. It is

hereby found and declared that New York state needs, as a matter of

public policy, to create competitive financial incentives to attract

large scale semiconductor research and development projects to New York

state, and to position New York state to be at the center of cutting

edge innovations in the semiconductor industry.

Definitions. For the purposes of this article:

1. "Certificate of eligibility" means the document issued by the

department to an applicant that has completed an application to be

admitted into the semiconductor research and development project program

and has been accepted into the program by the department. Possession of

a certificate of eligibility does not by itself guarantee the

eligibility to claim the tax credit.

2. "Certificate of tax credit" means the document issued to a

participant by the department, after the department has verified that

the participant has met all applicable eligibility criteria in this

article. The certificate shall be issued annually if such criteria are

satisfied and shall specify the exact amount of the tax credit under

this article that a participant may claim and shall specify the taxable

year in which such credit may be claimed.

3. "Participant" means a business entity that:

(a) has completed an application prescribed by the department to be

admitted into the program;

(b) has been issued a certificate of eligibility by the department;

(c) has demonstrated that it meets the eligibility criteria in section

three hundred fifty-nine-d and subdivision two of section three hundred

fifty-nine-e of this article; and

(d) has been certified as a participant by the commissioner.

4. "Preliminary schedule of benefits" means the aggregate amount of

the tax credit that a participant in the semiconductor research and

development project program may be eligible to receive pursuant to this

article. The schedule shall indicate the annual amount of the credit a

participant may claim in each of its ten years of eligibility. The

preliminary schedule of benefits shall be issued by the department when

the department approves the application for admission into the program.

5. "Qualified investment" means an investment in tangible property

(including a building or a structural component of a building) owned by

a business enterprise which:

(a) is depreciable pursuant to section one hundred sixty-seven of the

internal revenue code;

(b) has a useful life of four years or more;

(c) is acquired by purchase as defined in section one hundred

seventy-nine (d) of the internal revenue code;

(d) has a situs in this state; and

(e) is placed in service in the state on or after the date the

certificate of eligibility is issued to the business enterprise.

6. "Semiconductor research and development project" means a project

for a physical research and development facility, deemed by the

commissioner as being primarily aimed at supporting research and

development within the semiconductor manufacturing and related equipment

and material supplier sector. Such project shall incur at least one

hundred million dollars in qualified investment in New York state. Such

project must lead to the establishment and operation of a research and

development facility separate and apart from new or existing

semiconductor or semiconductor supply chain manufacturing facilities.

Eligibility criteria. 1. To be a participant in the

semiconductor research and development project program, a business

entity shall operate in New York state and be undertaking a

semiconductor research and development project as defined in section

three hundred fifty-nine-c of this article.

2. A business entity must be in compliance with all worker protection

and environmental laws and regulations. In addition, a business entity

may not owe past due state taxes or local property taxes unless the

business entity is making payments and complying with an approved

binding payment agreement entered into with the taxing authority.

Application and approval process. 1. A business enterprise

must submit a completed application as prescribed by the commissioner.

2. As part of such application, each business enterprise must:

(a) Agree to allow the department of taxation and finance to share the

business enterprise's tax information with the department. However, any

information shared as a result of this agreement shall not be available

for disclosure or inspection under the state freedom of information law;

(b) Agree to allow the department of labor to share its employer

information with the department. However, any information shared as a

result of this agreement shall not be available for disclosure or

inspection under the state freedom of information law;

(c) Allow the department and its agents access to any and all books

and records the department may require to monitor compliance;

(d) Provide to the department, upon request, a plan outlining the

schedule for meeting the investment requirements as set forth in

subdivision six of section three hundred fifty-nine-c of this article.

Such plan must include the amount and description of projected qualified

investments for which it plans to claim the semiconductor research and

development tax credit;

(e) Agree to allow the department and the department of taxation and

finance to share and exchange information contained in or derived from

the applications for admission into the semiconductor research and

development project program and the credit claim forms submitted to the

department of taxation and finance. However, any information shared as a

result of this agreement shall not be available for disclosure or

inspection under the state freedom of information law.

(f) Certify, under penalty of perjury, that it is in substantial

compliance with all environmental, worker protection, and local, state,

and federal tax laws.

3. After reviewing a business enterprise's completed application and

determining that the business enterprise will meet the condition set

forth in subdivision six of section three hundred fifty-nine-c of this

article, the department may admit the applicant into the program and

provide the applicant with a certificate of eligibility and a

preliminary schedule of benefits by year based on the applicant's

projections as set forth in its application. This preliminary schedule

of benefits delineates the maximum possible benefits an applicant may

receive.

4. In order to become a participant in the program, an applicant must

submit evidence that it satisfies the eligibility criteria specified in

section three hundred fifty-nine-d of this article and subdivision two

of this section in such form as the commissioner may prescribe. After

reviewing such evidence and finding it sufficient, the department shall

certify the applicant as a participant and issue to that participant a

certificate of tax credit for one taxable year. To receive a certificate

of tax credit for subsequent taxable years, the participant must submit

to the department a performance report demonstrating that the

participant continues to satisfy the eligibility criteria specified in

this article.

5. A participant may claim tax benefits commencing in the first

taxable year that the business enterprise receives a certificate of tax

credit. A participant may claim such benefits for the next nine

consecutive taxable years, provided that the participant demonstrates to

the department that it continues to satisfy the eligibility criteria

specified in section three hundred fifty-nine-d of this article and

subdivision two of this section in each of those taxable years.

Powers and duties of the commissioner. 1. The commissioner

may promulgate regulations establishing an application process and

eligibility criteria, that will be applied consistent with the purposes

of this article, so as not to exceed the annual cap on tax credits set

forth in section three hundred fifty-nine-g of this article which,

notwithstanding any provisions to the contrary in the state

administrative procedure act, may be adopted on an emergency basis.

2. The commissioner shall, in consultation with the department of

taxation and finance, develop a certificate of tax credit that shall be

issued by the commissioner to participants. Participants must include

the certificate of tax credit with their tax return to receive any tax

benefits under this article.

3. The commissioner shall solely determine the eligibility of any

applicant applying for entry into the program and shall remove any

participant from the program for failing to meet any of the requirements

set forth in subdivision six of section three hundred fifty-nine-c of

this article and section three hundred fifty-nine-d of this article.

Semiconductor research and development tax credit. 1. A

participant in the semiconductor research and development project

program shall be eligible to claim a credit on qualified investments in

semiconductor research and development projects in New York state. The

amount of such credit shall be equal to fifteen percent of the cost or

other basis for federal income tax purposes of the qualified investment.

2. The total amount of tax credits listed on certificates of tax

credit issued by the commissioner shall be allotted from the funds

available for Green CHIPS tax credits as provided under subdivision four

of section three hundred fifty-nine of this chapter.

Reporting. The corporation, beginning February first, two

thousand twenty-seven, and annually thereafter provided program funds

remain, shall submit a report to the governor, the temporary president

of the senate, and the speaker of the assembly. Such annual report shall

include, but need not be limited to: the number of participants approved

for the program; names of business entities admitted to the program;

regional economic development council region wherein the project

resides; the total amount of benefits approved per business and in total

for the program; total private sector co-investment provided by each

approved business and in total for the program; total jobs created at

the project location for all years in which the recipient is receiving

benefits under the program, including the median wage paid to employees

at the project location and types of jobs created; and such other

information as the commissioner determines is necessary and appropriate.

Additionally, in all years in which the program is fully operational,

such report shall include noteworthy projects which serve to highlight

the developments occurring in New York state as a result of the program.

Such report shall be included on the corporation's website and all

program participants shall also be included in the database of economic

incentives as defined in section fifty-eight of section one of chapter

one hundred seventy-four of the laws of nineteen hundred sixty-eight

constituting the urban development corporation act.

* § 400. Definitions. For the purposes of this article:

1. "Benefit-cost ratio" means the following calculation: the numerator

is the sum of (i) the value of all remuneration projected to be paid for

all net new jobs during the period of participation in the program, and

(ii) the cost of qualified investments to be made by the business entity

during the period of participation in the program, and the denominator

is the amount of total tax benefits under this article that is projected

to be used and refunded.

2. "Certificate of eligibility" means the document issued by the

department to an applicant that demonstrates that the applicant has been

admitted as a participant into the economic transformation and facility

redevelopment program by the department. Possession of a certificate of

eligibility does not by itself guarantee the eligibility of the

participant to claim the tax credits allowed pursuant to section

thirty-five of the tax law.

3. "Net new jobs" means jobs created in the economic transformation

area that:

(a) are new to the area;

(b) have not been transferred from employment in this state with the

participant or with a related person in this state, and are not

replacing jobs with similar titles or job responsibilities;

(c) are either full-time wage-paying jobs or equivalent to a full-time

wage-paying job requiring at least thirty-five hours per week;

(d) are filled for more than six months in a taxable year;

(e) are not general executive officers of the participant; and

(f) may not be filled with individuals having the familial

relationship defined in section 267(c)(4) of the internal revenue code

with any owner of the participant.

4. "Participant" means a business entity that:

(a) is a new business as defined in subdivision nine of this section.

(b) has completed an application prescribed by the department to be

admitted into the program;

(c) has demonstrated how it plans to meet the eligibility criteria in

section four hundred one of this article; and

(d) has been issued a certificate of eligibility by the department.

(e) provided, however that the requirement in paragraph (a) of this

subdivision that the participant be a new business shall not apply to a

closed facility as defined in paragraph (d) of subdivision eleven of

this section.

5. "Preliminary schedule of benefits" means the estimated aggregate

amount of the tax credits that a participant in the economic

transformation and facility redevelopment program is eligible to receive

pursuant to section thirty-five of the tax law. The schedule shall

indicate the annual amount of each credit a participant expects to claim

in each of its five years of eligibility.

6. "Qualified investment" means an investment in tangible property

(including a building or a structural component of a building) owned by

a business entity which:

(a) is depreciable pursuant to section one hundred sixty-seven of the

internal revenue code;

(b) has a useful life of four years or more;

(c) is acquired by purchase as defined in section one hundred

seventy-nine (d) of the internal revenue code;

(d) has a situs in an economic transformation area in this state in

which it is certified; and

(e) is placed in service in an economic transformation area in the

state on or after the date the certificate of eligibility is issued to

the business entity.

7. "Related person" means a "related person" pursuant to subparagraph

(c) of paragraph three of subsection (b) of section four hundred

sixty-five of the internal revenue code.

8. "Remuneration" means wages paid to and benefits received by an

employee by a participant in the economic transformation and facility

redevelopment program.

9. "New business" means a business entity that satisfies all of the

following tests:

(a) the business entity must not be currently operating or located

within the economic transformation area in which it is applying for

certification;

(b) the business entity must not be moving existing jobs into the

economic transformation area in which it is applying for certification

from another area of the state;

(c) the business entity must not be substantially similar in ownership

and operation to another taxpayer taxable or previously taxable under

section one hundred eighty-three or one hundred eighty-four or former

section one hundred eighty-five of article nine, former section one

hundred eighty-six or article nine-A, twenty-two, thirty-two or

thirty-three of the tax law or the income or losses of which is or was

includable under article twenty-two of the tax law;

(d) the business entity must not have caused individuals to transfer

from existing employment with a related person and located in New York

state to similar employment with the business entity;

(e) the business entity must not have acquired, purchased, leased, or

had transferred to it real property located in the economic

transformation area in which it is applying for certification if that

real property was previously owned by an entity with similar ownership,

regardless of form of incorporation or organization; and

(f) the business entity must not be substantially similar in operation

to a business entity from which it has acquired real or tangible

personal property that is located in the economic transformation area in

which it is applying for certification.

10. "Economic transformation area" means:

(a) In the region of the state outside of the metropolitan commuter

transportation district (as defined in section twelve hundred sixty-two

of the public authorities law) and the port authority district (as

defined by article two of chapter one hundred fifty-four of the laws of

nineteen hundred twenty-one), an area within a five mile radius in this

state of a closed facility. If more than sixty persons were employed in

full-time positions at a closed facility on April first, two thousand

eleven, then it is the area within a ten mile radius in this state of

that closed facility. The commissioner may increase the radius of the

area from ten miles to up to fifteen miles in this state based on

factors including but not limited to population density, the poverty

rate, the unemployment rate and the loss of jobs in the region. However,

the increased radius may not extend into the metropolitan commuter

transportation district. The commissioner may also decrease the radius

of the ten mile area but to no less than a five mile radius based on

factors including but not limited to population density, the poverty

rate, the unemployment rate and the loss of jobs in the region. Upon

notification of the commissioner, pursuant to subdivision eleven of this

section, the commissioner shall establish the size of the transformation

area prior to the acceptance of any applications into the program.

(b) In the metropolitan commuter transportation district outside the

port authority district, an area within a one mile radius in this state

of a closed facility. If more than sixty persons were employed in

full-time positions at a closed facility on April first, two thousand

eleven, then it is the area within a five mile radius in this state of

that closed facility, provided that the commissioner may decrease the

radius of the expanded area but to no less than a one mile radius based

on factors including but not limited to population density, the poverty

rate, the unemployment rate, and the loss of jobs in the area and

whether the radius would extend outside of the metropolitan commuter

transportation district. Upon notification of the commissioner pursuant

to subdivision eleven of this section, the commissioner shall establish

the size of the transformation area prior to the acceptance of any

applications into the program.

(c) In the port authority district, an area limited to the site of the

closed facility.

(d) Notwithstanding paragraph (b) of this subdivision, with respect to

a closed facility described in paragraph (d) of subdivision eleven of

this section, the economic transformation area shall consist only of the

acreage of the closed facility.

11. "Closed facility" means:

(a) a correctional facility, as defined in paragraph (a) of

subdivision four of section two of the correction law, that has been

selected by the governor of the state of New York for closure after

April first, two thousand eleven but no later than March thirty-first,

two thousand twenty-six; or

(b) a facility operated by the office of children and family services

under article nineteen-G of the executive law that is closed pursuant to

authority granted to such office in a chapter of the laws of two

thousand eleven; or

(c) which has been closed provided that the commissioner of

correctional services or the commissioner of the office of children and

family services has notified the commissioner of such closure; or

(d) a facility previously owned by the state, and when operated, was

operated as a psychiatric facility pursuant to section 7.17 of the

mental hygiene law, and located within the metropolitan commuter

transportation district but outside New York city.

* NB Repealed December 31, 2026

* § 401. Eligibility criteria. 1. In order to be eligible for benefits

in the economic transformation and facility redevelopment program, a

participant must satisfy the following criteria:

(a) must create and maintain at least five net new jobs in an economic

transformation area, and must demonstrate that its benefit-cost ratio is

at least ten to one; and

(b) must be in compliance with all worker protection and environmental

laws and regulations; and

(c) must not owe past due federal or state taxes or local property

taxes, unless those taxes are being paid pursuant to an executed payment

plan; and

(d) the location of the participant's operations for which it seeks

tax benefits must be wholly located within the economic transformation

area.

2. A business entity that is primarily operated as a retail business

is not eligible to participate in the economic transformation and

facility redevelopment program if their application is for any facility

or business location that will be primarily used in making retail sales

to customers who personally visit such facilities. A business entity

that is engaged in offering professional services licensed by the state

or by the courts of this state is not eligible to participate in the

economic transformation and facility redevelopment program. In addition,

a business entity that is or will be principally operated as a real

estate holding company or landlord for retail businesses or entities

offering professional services licensed by the state or by the courts of

this state shall not be eligible to participate in the economic

transformation and facility redevelopment program. Provided however that

the commissioner may determine that such a business entity described in

the preceding three sentences may be eligible to participate at the site

of a closed facility if it is pursuant to an adaptive reuse plan for a

substantial portion of such facility.

3. Additional eligibility criteria may be developed pursuant to

regulations promulgated by the commissioner. The additional eligibility

criteria may include, but not be limited to, alignment with any adaptive

reuse plan for a closed facility developed by the department.

4. A business entity must continue to satisfy the employment

requirements in subdivision one of this section in each year in which it

claims the economic transformation and facility redevelopment tax

credits. Prior to claiming the economic transformation and facility

redevelopment tax credits in the final year of its five year benefit

period, a business entity must demonstrate to the commissioner that it

has created the jobs and made the qualified investments necessary to

meet a benefit-cost ratio of at least ten to one.

* NB Repealed December 31, 2026

* § 402. Application and approval process. 1. A business entity must

submit a completed application as prescribed by the commissioner by the

later of (a) the date that is three years after the date of the closure

of the closed facility located in the economic transformation area in

which the business entity would operate or (b) January first, two

thousand fifteen. Provided however, in the case of a closed facility

described in paragraph (d) of subdivision eleven of section four hundred

of this article, a business entity must submit a completed application

as prescribed by the commissioner by September first, two thousand

sixteen.

2. As part of such application, each business entity must:

(a) Agree to allow the department of taxation and finance to share its

tax information with the department. However, any information shared as

a result of this agreement shall not be available for disclosure or

inspection under the state freedom of information law.

(b) Agree to allow the department of labor to share its tax and

employer information with the department. However, any information

shared as a result of this agreement shall not be available for

disclosure or inspection under the state freedom of information law.

(c) Agree to not participate in the excelsior jobs program, the New

York state empire zones program, or claim any tax credits under the

brownfield cleanup program if admitted into the economic transformation

and facility redevelopment program with regard to the facility (or

facilities) located in the economic transformation area.

(d) Provide the following information to the department upon request:

(i) a plan outlining the schedule for meeting the job and investment

requirements set forth in section four hundred one of this article,

including details on job titles and expected salaries;

(ii) the prior three years of federal and state income or franchise

tax returns, unemployment insurance quarterly returns, real property tax

bills and audited financial statements;

(iii) the amount and description of projected qualified investments

for which it plans to claim the economic transformation and facility

redevelopment investment tax credit;

(iv) the employer identification numbers or social security numbers

for all related persons to the applicant, including those of any members

of a limited liability company or partners in a partnership.

(e) Provide a clear and detailed presentation of all related persons

to the applicant to assure the department that jobs are not being

shifted within the state.

(f) Certify, under penalty of perjury, that it is in substantial

compliance with all environmental, worker protection, and local, state,

and federal tax laws.

(g) Agree, to the extent practicable, to consider for employment

persons displaced by a facility closure.

3. After reviewing a business entity's completed application and

determining that the business entity satisfies the requirements in

subdivision four of section four hundred of this article and will meet

eligibility requirements set forth in section four hundred one of this

article, the department may, at the discretion of the commissioner,

admit the applicant into the program and provide the applicant with a

certificate of eligibility. If a participant does not start construction

on or acquire a qualified investment or create at least one net new job

within one year of the issuance of its certificate of eligibility, the

participant will not be eligible for any of the economic transformation

and facility redevelopment program tax credits.

4. A participant may claim tax credits pursuant to section thirty-five

of the tax law commencing in the first taxable year in which the

participant creates five net new jobs. A participant may claim such

benefits for the next four consecutive taxable years, provided that the

participant demonstrates to the commissioner of taxation and finance

that it continues to maintain five net new jobs. However, in no event

may that benefit period start later than two years after the certificate

of eligibility is issued. The participant may also be eligible for the

economic transformation and facility redevelopment sales tax refund.

* NB Repealed December 31, 2026

* § 403. Powers and duties of the commissioner. 1. The commissioner

shall promulgate regulations establishing an application process and

eligibility criteria set forth in section four hundred one of this

article which, notwithstanding any provisions to the contrary in the

state administrative procedure act, may be adopted on an emergency

basis.

2. When considering an application, the commissioner shall consider

factors including, but not limited to, the overall cost and

effectiveness of the project, and whether the project is consistent with

the intent of the program.

3. The commissioner shall, in consultation with the department of

taxation and finance, develop a certificate of eligibility that shall be

issued by the commissioner to participants. Participants must include a

copy of the certificate of eligibility with their tax return to receive

any tax benefits under section thirty-five of the tax law. Participants

must also include a copy of the certificate of eligibility with their

application for the real property tax exemption authorized by section

four hundred eighty-five-p of the real property tax law, if such

exemption is available where the property is located.

* NB Repealed December 31, 2026

* § 404. Reporting. The commissioner shall prepare on a quarterly

basis a program report for posting on the department's website. The

first report will be due June thirtieth, two thousand twelve, and every

three months thereafter. Such report shall include, but not be limited

to, the following: number of applicants; number of participants

approved; names of participants; total amount of projected benefits

certified by type of benefit; total number of projected new jobs to be

created; number of projected net new jobs created per participant;

aggregate projected new investment in the state; projected new

investment per participant; and such other information as the

commissioner determines.

* NB Repealed December 31, 2026

Centers of excellence program. The centers of excellence

program is hereby established for the purpose of fostering collaboration

between the academic research community and the business sector to

develop and commercialize new products and technologies, to promote

critical private sector investment in emerging high technology fields in

New York state, and to create and expand technology-related businesses

and employment.

1. Such centers are designated to operate pursuant to section three of

part T of chapter eighty-four of the laws of two thousand two in areas

identified by the department as having significant potential for

economic growth in New York, or in which the application of new

technologies could significantly enhance the productivity and stability

of New York businesses.

2. As a condition of receipt of support authorized pursuant to this

section, each center shall annually submit to the department a plan for

commercializing products or processes based on innovations developed at

center facilities, and specifically such center's strategy for

commercializing such products or processes within New York state.

3. (a) From such funds as may be appropriated for this purpose by the

legislature, the department may provide financial support, through

contracts or other means, in order to enhance and accelerate center

operations in joint university/industry research and development,

product commercialization, and workforce training. Funds received

pursuant to this subdivision may be used for the employment of faculty

and staff, provision of graduate fellowships, or other operating

expenses that are aligned with the center's commercialization strategy

and approved by the department.

(b) Funds shall be matched on a one to one basis by the institution

receiving the funds and collaborative partners in the form of cash or

in-kind personnel, equipment, material donations, and other facility and

operations expenditures.

4. (a) The commissioner shall, on or before February first, two

thousand twelve and every year thereafter, submit to the governor, the

temporary president of the senate and the speaker of the assembly a

report on the operations and accomplishments of the centers of

excellence.

(b) The annual report shall provide, but not be limited to, the

following information for each calendar year:

(i) the purposes for which center facilities, equipment, and personnel

were utilized;

(ii) a detailed operating budget, including the amount of state funds

received, as well as identification of each source of federal, state,

local or private funds, including in-kind contributions;

(iii) an accounting of capital expenditures, identifying the amount of

state funds utilized, as well as each source of federal, state, local,

or private funds, including in-kind contributions;

(iv) a description of the governance structure of the center including

the respective roles of collaborating partners;

(v) the economic impact of the activities undertaken with state funds,

including such factors as jobs created and maintained; the number of

patents awarded to the college or university or any private entity and

associated licensing revenues; and awards, designations and other

tangible evidence of recognition; and the methodology utilized to

determine such impact;

(vi) the actual or anticipated new products and processes with

commercial application of importance to the industries in the state;

(vii) a description of any relationships with secondary schools and

community colleges designed to foster student interest in scientific and

technical careers; and

(viii) a description of each research sponsorship agreement,

intellectual property ownership agreement, intellectual property license

agreement, or any other agreements entered into between the state funded

research institutions and each research partner.

5. The commissioner shall, on or before February first, two thousand

twelve and every year thereafter, submit to the governor, the temporary

president of the senate and the speaker of the assembly an overall

strategic plan for the centers of excellence program.

(a) The plan shall include the broad focus and mission of the center

and the strategies used to determine that focus including but not

limited to collaboration with local and regional economic development

entities to determine current and emerging high-tech industry clusters.

(b) Such plan shall also include the metrics that will be used to

determine whether and to what degree each center is maintaining its

focus and fulfilling its mission.

(c) The plan shall be assessed by the governing board of the center

and revised annually as appropriate. Any revisions shall be submitted to

the department for approval.

Short title. This article shall be known and may be cited as

the "empire state jobs retention program."

Statement of legislative findings and declaration. It is hereby

found and declared that New York state needs, as a matter of public

policy, to create competitive financial incentives to retain businesses,

including small businesses and jobs that are at risk of leaving the

state or closing operations due to the impact on its business operations

of an event leading to an emergency declaration by the governor. The

empire state jobs retention program is created to support the retention

of the state's businesses, including small businesses in the event of an

emergency.

This legislation creates a jobs tax credit for each job of a business,

including a small business directly impacted by an emergency and

protects state taxpayers' dollars by ensuring that New York provides tax

benefits only to businesses that can demonstrate substantial physical

damage and economic harm resulting from an event leading to an emergency

declaration by the governor.

Definitions. For the purposes of this article:

1. "Certificate of eligibility" means the document issued by the

department to an applicant that has completed an application to be

admitted into the empire state jobs retention program and has been

accepted into the program by the department. Possession of a certificate

of eligibility does not by itself guarantee the eligibility to claim the

tax credit.

2. "Certificate of tax credit" means the document issued to a

participant by the department, after the department has verified that

the participant has met all applicable eligibility criteria in this

article. The certificate shall be issued annually if such criteria are

satisfied and shall specify the exact amount of each tax credit under

this article that a participant may claim, pursuant to section four

hundred twenty-five of this article, and shall specify the taxable year

in which such credit may be claimed.

3. "Impacted jobs" means jobs at a business enterprise existing the

day before an event leading to an emergency declaration by the governor

at a location or locations which demonstrate substantial physical damage

and economic harm caused by the event for which the emergency

declaration was made.

4. "Participant" means a business entity that:

(a) has completed an application prescribed by the department to be

admitted into the program;

(b) has been issued a certificate of eligibility by the department;

(c) has demonstrated that it meets the eligibility criteria in section

four hundred twenty-three and subdivision two of section four hundred

twenty-four of this article; and

(d) has been certified as a participant by the commissioner.

5. "Preliminary schedule of benefits" means the maximum aggregate

amount of the tax credit that a participant in the empire state jobs

retention program is eligible to receive pursuant to this article. The

schedule shall indicate the annual amount of the credit a participant

may claim in its six months of eligibility. The preliminary schedule of

benefits shall be issued by the department when the department approves

the application for admission into the program. The commissioner may

amend that schedule, provided that the commissioner complies with the

credit caps in section three hundred fifty-nine of this chapter.

6. "Related person" means a related person pursuant to subparagraph

(c) of paragraph three of subsection (b) of section four hundred

sixty-five of the internal revenue code.

7. "Business entity" means a for profit business duly authorized to do

business in and in good standing in the state of New York.

Eligibility criteria. 1. For the purposes of this article, in

order to participate in the empire state jobs retention program on or

after June first, two thousand twenty-five, a business entity must

demonstrate substantial physical damage and economic harm at a location

or locations within an area for which the governor has issued an

emergency declaration and resulting from the event leading to the

emergency declaration by the governor. At the time of application, a

business entity shall submit to the department a plan to retain, restore

or increase staffing levels within one year from the date of application

to at least the staffing levels that existed at the site the day prior

to the date of the applicable declaration of the state of emergency. Any

recipient that does not adhere to its jobs retention plan, shall have

its program award rescinded unless the recipient can demonstrate

economic hardship to the commissioner, in which case any such program

award may be reduced proportionally by the number of employees not

restored or retained.

2. A business entity must be in compliance with all worker protection

and environmental laws and regulations. In addition, a business entity

may not owe past due state taxes. In addition, a business entity must

not owe local property taxes for any year prior to the year in which it

applies to participate in the empire state jobs retention program.

Application and approval process. 1. A business entity must

submit a completed application as prescribed by the commissioner. Such

completed application must be submitted to the commissioner within one

hundred eighty days of the declaration of an emergency by the governor

in the county in which the business enterprise is located; provided,

however, that the eligibility period for the credit shall begin upon the

date of declaration of an emergency by the governor covering the county

in which the business entity is located.

2. As part of such application, each business entity must:

(a) agree to allow the department of taxation and finance to share its

tax information with the department. However, any information shared as

a result of this agreement shall not be available for disclosure or

inspection under the state freedom of information law.

(b) agree to allow the department of labor to share its tax and

employer information with the department. However, any information

shared as a result of this agreement shall not be available for

disclosure or inspection under the state freedom of information law.

(c) allow the department and its agents access to any and all books

and records the department may require to monitor compliance.

(d) agree to be permanently disqualified for empire zone tax benefits

at any location or locations that qualify for empire state jobs

retention program benefits if admitted into the empire state jobs

retention program.

(e) provide the following information to the department upon request:

(i) a plan outlining the schedule for meeting the jobs retention

requirements as set forth in subdivision one of section four hundred

twenty-three of this article. Such plan must include details on jobs

titles and expected salaries;

(ii) the prior three years of federal and state income or franchise

tax returns, unemployment insurance quarterly returns, real property tax

bills and audited financial statements; and

(iii) the employer identification or social security numbers for all

related persons to the applicant, including those of any members of a

limited liability company or partners in a partnership.

(f) provide a clear and detailed presentation of all related persons

to the applicant to assure the department that jobs are not being

shifted within the state.

(g) certify, under penalty of perjury, that it is in substantial

compliance with all environmental, worker protection, and local, state,

and federal tax laws.

3. After reviewing a business enterprise's completed application and

determining that the business enterprise will meet the conditions set

forth in subdivision one of section four hundred twenty-three of this

article, the department may admit the applicant into the program and

provide the applicant with a certificate of eligibility and a

preliminary schedule of benefits by year based on the applicant's

projections as set forth in its application. This preliminary schedule

of benefits delineates the maximum possible benefits an applicant may

receive.

4. In order to become a participant in the program, an applicant must

submit evidence that it satisfies the eligibility criteria specified in

section four hundred twenty-three of this article and subdivision two of

this section in such form as the commissioner may prescribe. After

reviewing such evidence and finding it sufficient, the department shall

certify the applicant as a participant and issue to that participant a

certificate of tax credit.

5. A participant may claim tax benefits commencing in the first

taxable year that the business enterprise receives a certificate of tax

credit or the first taxable year listed on its preliminary schedule of

benefits, whichever is later.

Empire state jobs retention program credit. 1. A participant in

the empire state jobs retention program shall be eligible to claim a

credit for the impacted jobs. For a business entity that employes three

to forty-nine employees, the amount of such credit shall be equal to the

product of the gross wages paid for the impacted jobs and up to 15

percent. For a business entity that employs fifty to one hundred

employees, the amount of such credit shall be equal to the product of

the gross wages paid for the impacted jobs and up to 7.5 percent. For a

business entity that employs greater than one hundred employees, the

amount of such credit shall be equal to the product of the gross wages

paid for the impacted jobs and up to 3.75 percent. An eligible business

entity may only receive up to $500,000 in tax credits per event

triggering an emergency declaration by the governor.

2. The tax credit established in this section shall be refundable as

provided in the tax law. If a participant fails to satisfy the

eligibility criteria, it will lose the ability to claim credit. The

event of such failure shall not extend the original six-month

eligibility period.

3. The business enterprise shall be allowed to claim the credit as

prescribed in section thirty-six of the tax law.

4. A participant may be eligible for benefits under this article as

well as article seventeen of this chapter, provided the participant can

only receive benefits pursuant to subdivision two of section three

hundred fifty-five of this chapter for costs in excess of costs

recovered by insurance.

Powers and duties of the commissioner. 1. The commissioner

shall promulgate regulations establishing the type of application

process and the eligibility criteria, that will be applied consistent

with the purposes of this article, so as not to exceed thirty million

dollars from the annual cap on tax credits set forth in section three

hundred fifty-nine of this chapter which, notwithstanding any provisions

to the contrary in the state administrative procedure act, may be

adopted on an emergency basis. Such regulations shall include, but not

be limited to, criteria for determining whether a business entity

demonstrates substantial physical damage and economic harm from the

event leading to an emergency declaration by the governor.

2. The commissioner shall, in consultation with the department of

taxation and finance, develop a certificate of tax credit that shall be

issued by the commissioner to participants. Participants may be required

by the commissioner of taxation and finance to include the certificate

of tax credit with their tax return to receive any tax benefits under

this article.

3. The commissioner shall solely determine the eligibility of any

applicant applying for entry into the program and shall remove any

participant from the program for failing to meet any of the requirements

set forth in subdivision two of section four hundred twenty-four of this

article, or for failing to meet the job retention requirements set forth

in section four hundred twenty-three of this article.

Maintenance of records. Each participant shall keep all

relevant records for the duration of its program participation plus

three years.

Reporting. 1. Each participant must submit a performance report

annually, in such form as the commissioner may require, within thirty

days of the end of their taxable year.

2. The commissioner shall prepare on a quarterly basis a program

report for posting on the department's website. The first report will be

due June thirtieth, two thousand thirteen, and every three months

thereafter. Such report shall include, but not be limited to, the

following: number of applicants; number of participants approved; names

of participants; total amount of benefits certified; benefits received

per participant; total number of retained jobs; and such other

information as the commissioner determines.

Cap on tax credit. The total amount of tax credits listed on

certificates of tax credit issued by the commissioner for any taxable

year may not exceed the limitations set forth in section three hundred

fifty-nine of this chapter, and shall be allotted from the funds

available for tax credits under the excelsior jobs program act.

Short title. This article shall be known and may be cited as

the "SUNY Tax-free Areas to Revitalize and Transform UPstate New York

program," or the "START-UP NY program".

Definitions. For purposes of this article:

1. "State university campus" shall mean any of the colleges and

universities described in subdivision three of section three hundred

fifty-two of the education law.

2. "Community college" means a college established and operated

pursuant to the provisions of article one hundred twenty-six of the

education law, and providing two-year or four-year post secondary

programs in general and technical educational subjects and receiving

financial assistance from the state, other than a community college of

the city university of New York.

3. "City university campus" means a campus of the city university of

New York, as defined in subdivision two of section sixty-two hundred two

of the education law.

4. "Private college or university" means a not-for-profit two or four

year university or college given the power to confer associate,

baccalaureate or higher degrees in this state by the legislature or by

the regents under article five of the education law.

5. "Net new job" means a job created in a tax-free NY area that

satisfies all of the following criteria:

(a) is new to the state;

(b) has not been transferred from employment with another business

located in this state, through an acquisition, merger, consolidation or

other reorganization of businesses or the acquisition of assets of

another business, or except as provided in paragraph (d) of subdivision

six of this section has not been transferred from employment with a

related person in this state;

(c) is not filled by an individual employed within the state within

the immediately preceding sixty months by a related person;

(d) is either a full-time wage-paying job or equivalent to a full-time

wage-paying job requiring at least thirty-five hours per week; and

(e) is filled for more than six months.

6. "New business" means a business that satisfies all of the following

tests:

(a) the business must not be operating or located within the state at

the time it submits its application to participate in the START-UP NY

program;

(b) the business must not be moving existing jobs into the tax-free NY

area from another area in the state;

(c) the business is not substantially similar in operation and in

ownership to a business entity (or entities) taxable, or previously

taxable within the last five taxable years, under section one hundred

eighty-three or one hundred eighty-four, former section one hundred

eighty-five or former section one hundred eighty-six of the tax law,

article nine-A, thirty-two or thirty-three of the tax law, article

twenty-three of the tax law or which would have been subject to tax

under such article twenty-three (as such article was in effect on

January first, nineteen hundred eighty), or the income (or losses) of

which is (or was) includable under article twenty-two of the tax law;

and

(d) the business must not have caused individuals to transfer from

existing employment with a related person located in the state to

similar employment with the business, unless such business has received

approval for such transfers from the commissioner after demonstrating

that the related person has not eliminated those existing positions.

7. "Tax-free NY area" means the land or vacant space of a university

or college that meets the eligibility criteria specified in section four

hundred thirty-two of this article and that has been approved as a

tax-free NY area pursuant to the provisions in section four hundred

thirty-five of this article. It also means a strategic state asset that

has been approved by the START-UP NY approval board pursuant to the

provisions of subdivision four of section four hundred thirty-five of

this article.

8. "Related person" means a "related person" pursuant to subparagraph

(c) of paragraph three of subsection (b) of section four hundred

sixty-five of the internal revenue code.

9. "Strategic state asset" means land or a building or group of

buildings owned by the state of New York, that is: (a) closed; (b)

vacant; or (c) for which notice of closure has been given pursuant to

any statutory notice requirement or which is otherwise authorized to be

closed pursuant to any chapter of the laws of New York.

10. "START-UP NY approval board" or "board" means a board consisting

of three members, one each appointed by the governor, the speaker of the

assembly and the temporary president of the senate. Each member of the

START-UP NY approval board must have significant expertise and

experience in academic based economic development and may not have a

personal interest in any project that comes before the board.

11. "Underutilized property" means vacant or abandoned land or space

in an existing industrial park, manufacturing facility, a brownfield

site as defined in article twenty-seven of the environmental

conservation law, or a distressed or abandoned property, which shall be

determined by factors including poverty, identified by the county or the

town, village or city that contains such distressed or abandoned

property, as of the effective date of this article. A college or

university shall work with local municipalities or local economic

development entities to identify underutilized properties.

12. "Eligible land" means land eligible pursuant to section four

hundred thirty-two of this article for approval as a tax-free NY area.

13. "Sponsoring campus, university or college" means a university or

college that has received approval to sponsor a tax-free NY area

pursuant to section four hundred thirty-five of this article.

14. "Correctional facility" means, beginning July twenty-sixth, two

thousand fourteen, land or a building or group of buildings owned by the

state of New York on the premises of (a) Butler Correctional Facility;

(b) Chateaugay Correctional Facility; (c) Monterey Shock Incarceration

Correctional Facility; and (d) Mount McGregor Correctional Facility.

15. "START-UP NY airport facility" means vacant land or space owned by

the state of New York on the premises of Stewart Airport or Republic

Airport.

Eligibility criteria for universities and colleges. 1. State

university campuses, community colleges and city university campuses.

(a) Subject to the limitations in paragraph (c) of this subdivision, the

following will constitute the eligible land of a state university

campus, community college, or city university campus:

(i) any vacant space in any building located on a campus of a state

university campus, community college or city university campus;

(ii) any vacant land on a campus of a state university campus,

community college or city university campus;

(iii) for a state university campus or community college, a total of

two hundred thousand square feet of vacant land or vacant building space

that, except as provided under paragraph (b) of this subdivision, is

located within one mile of a campus of the state university campus or

community college; provided that this subparagraph shall not apply to a

state university campus or community college located in Nassau county,

Suffolk county or Westchester county; and

(iv) a New York state incubator as the term is used in subdivision

four of section four hundred thirty-three of this article with a bona

fide affiliation to the state university campus, community college or

city university campus, with approval of the commissioner. In order for

there to be a bona fide affiliation of a New York state incubator with a

state university campus, community college or city university campus,

the incubator and the state university campus, community college or city

university campus must have a partnership to provide assistance and

physical space to eligible businesses, as the term is used in section

sixteen-v of the urban development corporation act; the incubator and

the state university campus, community college or city university campus

must directly work towards the goals of jointly creating jobs and

incubating new startup businesses; and the mission and activities of the

incubator must align with or further the academic mission of the state

university campus, community college or city university campus.

(b) A state university campus or community college which qualifies

under subparagraph (iii) of paragraph (a) of this subdivision may apply

to the commissioner for a determination that identified vacant land or

identified vacant space in a building that is located more than one mile

from its campus, and is not located in Nassau county, Suffolk county,

Westchester county or New York city, is eligible land for purposes of

this program. The commissioner shall give consideration to factors

including rural, suburban and urban geographic considerations and may

qualify the identified land or space in a building as eligible land if

the commissioner, in consultation with the chancellor or his or her

designee, determines that the state university campus or community

college has shown that the use of the land or space will be consistent

with the requirements of this program and the plan submitted by the

state university campus or community college pursuant to section four

hundred thirty-five of this article. In addition, two hundred thousand

square feet of vacant land or vacant building space affiliated with or

in partnership with Maritime College shall be eligible under this

paragraph. The aggregate amount of qualified land or space under this

paragraph and subparagraph (iii) of paragraph (a) of this subdivision

may not exceed two hundred thousand square feet for a state university

campus or community college.

(c) The provisions of paragraphs (a) and (b) of this subdivision shall

apply only to:

(i) a state university campus other than the following: (A) any empire

state college campus except for the empire state college campus in

Saratoga Springs, (B) any property of downstate medical center located

in Nassau county, Suffolk county, Westchester county or New York city

except for property affiliated with downstate medical center that

constitutes a New York state incubator as the term is used in

subdivision four of section four hundred thirty-three of this article,

and (C) any property of the college of optometry or maritime college

located in Nassau county, Suffolk county, Westchester county or New York

city.

(ii) a community college, except that for a community college whose

main campus is in New York city, paragraphs (a) and (b) of this

subdivision shall not apply to property of such community college in

Nassau county, Suffolk county, Westchester county or New York city.

(iii) a total of five city university campuses, one each in the

boroughs of Manhattan, Brooklyn, Bronx, Queens and Staten Island, which

will be designated by the board of trustees of the city university of

New York. The campus designated in each borough must be located in an

economically distressed community. The commissioner shall establish a

list of economically distressed communities for the purpose of this