S T A T E O F N E W Y O R K
________________________________________________________________________
4418
2015-2016 Regular Sessions
I N A S S E M B L Y
January 30, 2015
___________
Introduced by M. of A. KOLB, HAWLEY, GIGLIO, CORWIN, RAIA, TEDISCO,
MALLIOTAKIS, LAVINE, CURRAN, STEC -- Multi-Sponsored by -- M. of A.
McDONOUGH, SALADINO -- read once and referred to the Committee on
Veterans' Affairs
AN ACT to amend the executive law, the state finance law, the arts and
cultural affairs law, the economic development law, the environmental
conservation law, the public authorities law, the general municipal
law, the banking law, the facilities development corporation act, the
New York state medical care facilities finance agency act and the New
York state urban development corporation act, in relation to promoting
veteran owned business enterprises
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
1 Section 1. Short title. This act shall be known and may be cited as
2 the "veteran owned business enterprise act".
3 S 2. The article heading of article 15-A of the executive law, as
4 added by chapter 261 of the laws of 1988, is amended to read as follows:
5 PARTICIPATION BY MINORITY GROUP MEMBERS, VETERANS AND WOMEN WITH
6 RESPECT TO STATE CONTRACTS
7 S 3. Subdivisions 1 and 9 of section 310 of the executive law, as
8 added by chapter 261 of the laws of 1988, are amended and a new subdivi-
9 sion 24 is added to read as follows:
10 1. "Certified business" shall mean a business verified as a minority,
11 HONORABLY DISCHARGED VETERAN or women-owned business enterprise pursuant
12 to section three hundred fourteen of this article. FOR PURPOSES OF THIS
13 SECTION "VETERAN DISCHARGED OR RELEASED UNDER CONDITIONS OTHER THAN
14 DISHONORABLE" SHALL MEAN THOSE CONDITIONS DEFINED BY TITLE 38 CODE OF
15 FEDERAL REGULATIONS SECTION 3.12.
16 9. "Utilization plan" shall mean a plan prepared by a contractor and
17 submitted in connection with a proposed state contract. The utilization
18 plan shall identify certified minority, HONORABLY DISCHARGED VETERAN or
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD02723-01-5
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1 women-owned business enterprises, if known, that have committed to
2 perform work in connection with the proposed state contract as well as
3 any such enterprises, if known, which the contractor intends to use in
4 connection with the contractor's performance of the proposed state
5 contract. The plan shall specifically contain a list, including the
6 name, address and telephone number, of each certified enterprise with
7 which the contractor intends to subcontract.
8 24. "HONORABLY DISCHARGED VETERAN OWNED BUSINESS ENTERPRISE" SHALL
9 MEAN A BUSINESS ENTERPRISE, INCLUDING A SOLE PROPRIETORSHIP, PARTNERSHIP
10 OR CORPORATION THAT IS:
11 (A) AT LEAST FIFTY-ONE PERCENT OWNED BY ONE OR MORE UNITED STATES
12 CITIZENS OR PERMANENT RESIDENT ALIENS WHO ARE HONORABLY DISCHARGED
13 VETERANS;
14 (B) AN ENTERPRISE IN WHICH THE OWNERSHIP INTEREST OF SUCH HONORABLY
15 DISCHARGED VETERANS IS REAL, SUBSTANTIAL AND CONTINUING;
16 (C) AN ENTERPRISE IN WHICH SUCH HONORABLY DISCHARGED VETERAN'S OWNER-
17 SHIP HAS AND EXERCISES THE AUTHORITY TO CONTROL INDEPENDENTLY THE
18 DAY-TO-DAY BUSINESS DECISIONS OF THE ENTERPRISE;
19 (D) AN ENTERPRISE AUTHORIZED TO DO BUSINESS IN THIS STATE AND INDE-
20 PENDENTLY OWNED AND OPERATED.
21 (E) HONORABLY DISCHARGED VETERAN SHALL MEAN A PERSON WHO SERVED IN THE
22 ACTIVE MILITARY, NAVAL, OR AIR SERVICE DURING A PERIOD OF WAR AS DEFINED
23 IN PARAGRAPH (F) OF THIS SUBDIVISION, OR WHO WAS A RECIPIENT OF THE
24 ARMED FORCES EXPEDITIONARY MEDAL, NAVY EXPEDITIONARY MEDAL, MARINE CORPS
25 EXPEDITIONARY MEDAL, OR GLOBAL WAR ON TERRORISM EXPEDITIONARY MEDAL, AND
26 WHO WAS DISCHARGED OR RELEASED THEREFROM UNDER OTHER THAN DISHONORABLE
27 CONDITIONS, AS DOCUMENTED ACCORDING TO RULES AND REGULATIONS OF THE
28 DIVISION OF MILITARY AND NAVAL AFFAIRS.
29 (F) FOR THE PURPOSES OF THIS ARTICLE, SERVICE DURING TIME OF WAR IS
30 DEFINED BY SECTION 3.2 OF TITLE 38 OF THE CODE OF FEDERAL REGULATIONS.
31 S 4. Subdivision 1 and paragraphs (a), (d), (e) and (f) of subdivision
32 3 of section 311 of the executive law, subdivision 1 and paragraphs (d)
33 and (e) of subdivision 3 as amended by chapter 55 of the laws of 1992
34 and paragraphs (a) and (f) of subdivision 3 as added by chapter 261 of
35 the laws of 1988, are amended to read as follows:
36 1. The head of the division of minority and women's business develop-
37 ment shall be the director who shall be appointed by the governor and
38 hold office at the pleasure of the commissioner. It shall be the duty of
39 the director of the division of minority and women's business develop-
40 ment to assist the governor in the formulation and implementation of
41 laws and policies relating to minority, HONORABLY DISCHARGED VETERAN and
42 women-owned business enterprises.
43 (a) to encourage and assist contracting agencies in their efforts to
44 increase participation by minority, HONORABLY DISCHARGED VETERAN and
45 women-owned business enterprises on state contracts and subcontracts so
46 as to facilitate the award of a fair share of such contracts to them;
47 (d) to review periodically the practices and procedures of each
48 contracting agency with respect to compliance with the provisions of
49 this article, and to require them to file periodic reports with the
50 division of minority and women's business development as to the level of
51 minority, HONORABLY DISCHARGED VETERAN and women-owned business enter-
52 prises participation in the awarding of agency contracts for goods and
53 services;
54 (e) on January first of each year report to the governor and the
55 chairpersons of the senate finance and assembly ways and means commit-
56 tees on the level of minority, HONORABLY DISCHARGED VETERAN and women-
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1 owned business enterprises participating in each agency's contracts for
2 goods and services and on activities of the office and effort by each
3 contracting agency to promote employment of minority group members,
4 HONORABLY DISCHARGED VETERANS and women, and to promote and increase
5 participation by certified businesses with respect to state contracts
6 and subcontracts so as to facilitate the award of a fair share of state
7 contracts to such businesses. The comptroller shall assist the division
8 in collecting information on the participation of certified business for
9 each contracting agency. Such report may recommend new activities and
10 programs to effectuate the purposes of this article;
11 (f) to prepare and update periodically a directory of certified minor-
12 ity, HONORABLY DISCHARGED VETERAN and women-owned business enterprises
13 which shall, wherever practicable, be divided into categories of labor,
14 services, supplies, equipment, materials and recognized construction
15 trades and which shall indicate areas or locations of the state where
16 such enterprises are available to perform services;
17 S 5. Section 313 of the executive law, as amended by chapter 175 of
18 the laws of 2010, is amended to read as follows:
19 S 313. Opportunities for minority, HONORABLY DISCHARGED VETERAN and
20 women-owned business enterprises. 1. Goals and requirements for agencies
21 and contractors. Each agency shall structure procurement procedures for
22 contracts made directly or indirectly to minority, HONORABLY DISCHARGED
23 VETERAN and women-owned business enterprises, in accordance with the
24 findings of the two thousand ten disparity study, consistent with the
25 purposes of this article, to attempt to achieve the following results
26 with regard to total annual statewide procurement:
27 (a) construction industry for certified minority-owned business enter-
28 prises: fourteen and thirty-four hundredths percent;
29 (b) construction industry for certified women-owned business enter-
30 prises: eight and forty-one hundredths percent;
31 (c) construction related professional services industry for certified
32 minority-owned business enterprises: thirteen and twenty-one hundredths
33 percent;
34 (d) construction related professional services industry for certified
35 women-owned business enterprises: eleven and thirty-two hundredths
36 percent;
37 (e) non-construction related services industry for certified minori-
38 ty-owned business enterprises: nineteen and sixty hundredths percent;
39 (f) non-construction related services industry for certified women-
40 owned business enterprises: seventeen and forty-four hundredths percent;
41 (g) commodities industry for certified minority-owned business enter-
42 prises: sixteen and eleven hundredths percent;
43 (h) commodities industry for certified women-owned business enter-
44 prises: ten and ninety-three hundredths percent;
45 (i) overall agency total dollar value of procurement for certified
46 minority-owned business enterprises: sixteen and fifty-three hundredths
47 percent;
48 (j) overall agency total dollar value of procurement for certified
49 women-owned business enterprises: twelve and thirty-nine hundredths
50 percent; and
51 (k) overall agency total dollar value of procurement for certified
52 minority, women-owned business enterprises: twenty-eight and ninety-two
53 hundredths percent.
54 1-a. The director shall ensure that each state agency has been
55 provided with a copy of the two thousand ten disparity study.
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1 1-b. Each agency shall develop and adopt agency-specific goals based
2 on the findings of the two thousand ten disparity study.
3 2. The director shall promulgate rules and regulations pursuant to the
4 goals established in subdivision one of this section that provide meas-
5 ures and procedures to ensure that certified minority, HONORABLY
6 DISCHARGED VETERAN and women-owned businesses shall be given the oppor-
7 tunity for maximum feasible participation in the performance of state
8 contracts and to assist in the agency's identification of those state
9 contracts for which minority, HONORABLY DISCHARGED VETERAN and women-
10 owned certified businesses may best bid to actively and affirmatively
11 promote and assist their participation in the performance of state
12 contracts so as to facilitate the agency's achievement of the maximum
13 feasible portion of the goals for state contracts to such businesses.
14 2-a. The director shall promulgate rules and regulations that will
15 accomplish the following:
16 (a) provide for the certification and decertification of minority,
17 HONORABLY DISCHARGED VETERAN and women-owned business enterprises for
18 all agencies through a single process that meets applicable require-
19 ments;
20 (b) require that each contract solicitation document accompanying each
21 solicitation set forth the expected degree of minority, HONORABLY
22 DISCHARGED VETERAN and women-owned business enterprise participation
23 based, in part, on:
24 (i) the potential subcontract opportunities available in the prime
25 procurement contract; and
26 (ii) the availability, as contained within the study, of certified
27 minority, HONORABLY DISCHARGED VETERAN and women-owned business enter-
28 prises to respond competitively to the potential subcontract opportu-
29 nities;
30 (c) require that each agency provide a current list of certified
31 minority business enterprises to each prospective contractor;
32 (d) allow a contractor that is a certified minority-owned, HONORABLY
33 DISCHARGED VETERAN-OWNED or women-owned business enterprise to use the
34 work it performs to meet requirements for use of certified minority-
35 owned, HONORABLY DISCHARGED VETERAN-OWNED or women-owned business enter-
36 prises as subcontractors;
37 (e) provide for joint ventures, which a bidder may count toward meet-
38 ing its minority, HONORABLY DISCHARGED VETERAN and women-owned business
39 enterprise participation;
40 (f) consistent with subdivision six of this section, provide for
41 circumstances under which an agency may waive obligations of the
42 contractor relating to minority, HONORABLY DISCHARGED VETERAN and
43 women-owned business enterprise participation;
44 (g) require that an agency verify that minority, HONORABLY DISCHARGED
45 VETERAN and women-owned business enterprises listed in a successful bid
46 are actually participating to the extent listed in the project for which
47 the bid was submitted;
48 (h) provide for the collection of statistical data by each agency
49 concerning actual minority, HONORABLY DISCHARGED VETERAN and women-owned
50 business enterprise participation; and
51 (i) require each agency to consult the most current disparity study
52 when calculating agency-wide and contract specific participation goals
53 pursuant to this article.
54 3. Solely for the purpose of providing the opportunity for meaningful
55 participation by certified businesses in the performance of state
56 contracts as provided in this section, state contracts shall include
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1 leases of real property by a state agency to a lessee where: the terms
2 of such leases provide for the construction, demolition, replacement,
3 major repair or renovation of real property and improvements thereon by
4 such lessee; and the cost of such construction, demolition, replacement,
5 major repair or renovation of real property and improvements thereon
6 shall exceed the sum of one hundred thousand dollars. Reports to the
7 director pursuant to section three hundred fifteen of this article shall
8 include activities with respect to all such state contracts. Contracting
9 agencies shall include or require to be included with respect to state
10 contracts for the acquisition, construction, demolition, replacement,
11 major repair or renovation of real property and improvements thereon,
12 such provisions as may be necessary to effectuate the provisions of this
13 section in every bid specification and state contract, including, but
14 not limited to: (a) provisions requiring contractors to make a good
15 faith effort to solicit active participation by enterprises identified
16 in the directory of certified businesses provided to the contracting
17 agency by the office; (b) requiring the parties to agree as a condition
18 of entering into such contract, to be bound by the provisions of section
19 three hundred sixteen of this article; and (c) requiring the contractor
20 to include the provisions set forth in paragraphs (a) and (b) of this
21 subdivision in every subcontract in a manner that the provisions will be
22 binding upon each subcontractor as to work in connection with such
23 contract. Provided, however, that no such provisions shall be binding
24 upon contractors or subcontractors in the performance of work or the
25 provision of services that are unrelated, separate or distinct from the
26 state contract as expressed by its terms, and nothing in this section
27 shall authorize the director or any contracting agency to impose any
28 requirement on a contractor or subcontractor except with respect to a
29 state contract.
30 4. In the implementation of this section, the contracting agency shall
31 (a) consult the findings contained within the disparity study evidencing
32 relevant industry specific availability of certified businesses;
33 (b) implement a program that will enable the agency to evaluate each
34 contract to determine the appropriateness of the goal pursuant to subdi-
35 vision one of this section;
36 (c) consider where practicable, the severability of construction
37 projects and other bundled contracts; and
38 (d) consider compliance with the requirements of any federal law
39 concerning opportunities for minority, HONORABLY DISCHARGED VETERAN and
40 women-owned business enterprises which effectuates the purpose of this
41 section. The contracting agency shall determine whether the imposition
42 of the requirements of any such law duplicate or conflict with the
43 provisions hereof and if such duplication or conflict exists, the
44 contracting agency shall waive the applicability of this section to the
45 extent of such duplication or conflict.
46 5. (a) Contracting agencies shall administer the rules and regulations
47 promulgated by the director in a good faith effort to meet the maximum
48 feasible portion of the agency's goals adopted pursuant to this article
49 and the regulations of the director. Such rules and regulations: shall
50 require a contractor to submit a utilization plan after bids are opened,
51 when bids are required, but prior to the award of a state contract;
52 shall require the contracting agency to review the utilization plan
53 submitted by the contractor and to post the utilization plan and any
54 waivers of compliance issued pursuant to subdivision six of this section
55 on the website of the contracting agency within a reasonable period of
56 time as established by the director; shall require the contracting agen-
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1 cy to notify the contractor in writing within a period of time specified
2 by the director as to any deficiencies contained in the contractor's
3 utilization plan; shall require remedy thereof within a period of time
4 specified by the director; shall require the contractor to submit peri-
5 odic compliance reports relating to the operation and implementation of
6 any utilization plan; shall not allow any automatic waivers but shall
7 allow a contractor to apply for a partial or total waiver of the minori-
8 ty, HONORABLY DISCHARGED VETERAN and women-owned business enterprise
9 participation requirements pursuant to subdivisions six and seven of
10 this section; shall allow a contractor to file a complaint with the
11 director pursuant to subdivision eight of this section in the event a
12 contracting agency has failed or refused to issue a waiver of the minor-
13 ity, HONORABLY DISCHARGED VETERAN and women-owned business enterprise
14 participation requirements or has denied such request for a waiver; and
15 shall allow a contracting agency to file a complaint with the director
16 pursuant to subdivision nine of this section in the event a contractor
17 is failing or has failed to comply with the minority, HONORABLY
18 DISCHARGED VETERAN and women-owned business enterprise participation
19 requirements set forth in the state contract where no waiver has been
20 granted.
21 (b) The rules and regulations promulgated pursuant to this subdivision
22 regarding a utilization plan shall provide that where enterprises have
23 been identified within a utilization plan, a contractor shall attempt,
24 in good faith, to utilize such enterprise at least to the extent indi-
25 cated. A contracting agency may require a contractor to indicate, within
26 a utilization plan, what measures and procedures he or she intends to
27 take to comply with the provisions of this article, but may not require,
28 as a condition of award of, or compliance with, a contract that a
29 contractor utilize a particular enterprise in performance of the
30 contract.
31 (c) Without limiting other grounds for the disqualification of bids or
32 proposals on the basis of non-responsibility, a contracting agency may
33 disqualify the bid or proposal of a contractor as being non-responsible
34 for failure to remedy notified deficiencies contained in the contrac-
35 tor's utilization plan within a period of time specified in regulations
36 promulgated by the director after receiving notification of such defi-
37 ciencies from the contracting agency. Where failure to remedy any noti-
38 fied deficiency in the utilization plan is a ground for disqualifica-
39 tion, that issue and all other grounds for disqualification shall be
40 stated in writing by the contracting agency. Where the contracting agen-
41 cy states that a failure to remedy any notified deficiency in the utili-
42 zation plan is a ground for disqualification the contractor shall be
43 entitled to an administrative hearing, on a record, involving all
44 grounds stated by the contracting agency. Such hearing shall be
45 conducted by the appropriate authority of the contracting agency to
46 review the determination of disqualification. A final administrative
47 determination made following such hearing shall be reviewable in a
48 proceeding commenced under article seventy-eight of the civil practice
49 law and rules, provided that such proceeding is commenced within thirty
50 days of the notice given by certified mail return receipt requested
51 rendering such final administrative determination. Such proceeding shall
52 be commenced in the supreme court, appellate division, third department
53 and such proceeding shall be preferred over all other civil causes
54 except election causes, and shall be heard and determined in preference
55 to all other civil business pending therein, except election matters,
56 irrespective of position on the calendar. Appeals taken to the court of
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1 appeals of the state of New York shall be subject to the same prefer-
2 ence.
3 6. Where it appears that a contractor cannot, after a good faith
4 effort, comply with the minority, HONORABLY DISCHARGED VETERAN and
5 women-owned business enterprise participation requirements set forth in
6 a particular state contract, a contractor may file a written application
7 with the contracting agency requesting a partial or total waiver of such
8 requirements setting forth the reasons for such contractor's inability
9 to meet any or all of the participation requirements together with an
10 explanation of the efforts undertaken by the contractor to obtain the
11 required minority, HONORABLY DISCHARGED VETERAN and women-owned business
12 enterprise participation. In implementing the provisions of this
13 section, the contracting agency shall consider the number and types of
14 minority, HONORABLY DISCHARGED VETERAN and women-owned business enter-
15 prises located in the region in which the state contract is to be
16 performed, the total dollar value of the state contract, the scope of
17 work to be performed and the project size and term. If, based on such
18 considerations, the contracting agency determines there is not a reason-
19 able availability of contractors on the list of certified business to
20 furnish services for the project, it shall issue a waiver of compliance
21 to the contractor. In making such determination, the contracting agency
22 shall first consider the availability of other business enterprises
23 located in the region and shall thereafter consider the financial abili-
24 ty of minority, HONORABLY DISCHARGED VETERAN and women-owned businesses
25 located outside the region in which the contract is to be performed to
26 perform the state contract.
27 7. For purposes of determining a contractor's good faith effort to
28 comply with the requirements of this section or to be entitled to a
29 waiver therefrom the contracting agency shall consider:
30 (a) whether the contractor has advertised in general circulation
31 media, trade association publications, and minority-focus, VETERAN-FOCUS
32 and women-focus media and, in such event, (i) whether or not certified
33 minority, HONORABLY DISCHARGED VETERAN or women-owned businesses which
34 have been solicited by the contractor exhibited interest in submitting
35 proposals for a particular project by attending a pre-bid conference;
36 and
37 (ii) whether certified businesses which have been solicited by the
38 contractor have responded in a timely fashion to the contractor's solic-
39 itations for timely competitive bid quotations prior to the contracting
40 agency's bid date; and
41 (b) whether there has been written notification to appropriate certi-
42 fied businesses that appear in the directory of certified businesses
43 prepared pursuant to paragraph (f) of subdivision three of section three
44 hundred eleven of this article; and
45 (c) whether the contractor can reasonably structure the amount of work
46 to be performed under subcontracts in order to increase the likelihood
47 of participation by certified businesses.
48 8. In the event that a contracting agency fails or refuses to issue a
49 waiver to a contractor as requested within twenty days after having made
50 application therefor pursuant to subdivision six of this section or if
51 the contracting agency denies such application, in whole or in part, the
52 contractor may file a complaint with the director pursuant to section
53 three hundred sixteen of this article setting forth the facts and
54 circumstances giving rise to the contractor's complaint together with a
55 demand for relief. The contractor shall serve a copy of such complaint
56 upon the contracting agency by personal service or by certified mail,
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1 return receipt requested. The contracting agency shall be afforded an
2 opportunity to respond to such complaint in writing.
3 9. If, after the review of a contractor's minority, HONORABLY
4 DISCHARGED VETERAN and women owned business utilization plan or review
5 of a periodic compliance report and after such contractor has been
6 afforded an opportunity to respond to a notice of deficiency issued by
7 the contracting agency in connection therewith, it appears that a
8 contractor is failing or refusing to comply with the minority, HONORABLY
9 DISCHARGED VETERAN and women-owned business participation requirements
10 as set forth in the state contract and where no waiver from such
11 requirements has been granted, the contracting agency may file a written
12 complaint with the director pursuant to section three hundred sixteen of
13 this article setting forth the facts and circumstances giving rise to
14 the contracting agency's complaint together with a demand for relief.
15 The contracting agency shall serve a copy of such complaint upon the
16 contractor by personal service or by certified mail, return receipt
17 requested. The contractor shall be afforded an opportunity to respond to
18 such complaint in writing.
19 S 6. Section 317 of the executive law, as added by chapter 261 of the
20 laws of 1988, is amended to read as follows:
21 S 317. Superseding effect of article with respect to state law. The
22 provisions of this article shall supersede any other provision of state
23 law, which expressly implements or mandates an equal employment opportu-
24 nity program or a program for securing participation by minority, HONOR-
25 ABLY DISCHARGED VETERAN and women-owned business enterprises, concerning
26 action to be taken by any party to a state contract, to which the
27 provisions of this article apply; provided, however, that the provisions
28 of any state law, not as hereinabove superseded, which expressly imple-
29 ment or mandate such programs shall remain unimpaired by the provisions
30 of this article, except that the provisions of any such law shall be
31 construed as if the provisions of subdivisions five, six, seven and
32 eight of section three hundred thirteen and section three hundred
33 sixteen of this article were fully set forth therein and made applicable
34 only to complaints of violations under such provisions of law occurring
35 on or after September first, nineteen hundred eighty-eight; provided,
36 further, that nothing contained in this article shall be construed to
37 limit, impair, or otherwise restrict any state agency's authority or
38 discretionary power in effect prior to the enactment of this article to
39 establish or continue, by rule, regulation or resolution, an equal
40 opportunity program or a program for securing participation of minority,
41 HONORABLY DISCHARGED VETERAN and women-owned business enterprises with
42 regard to banking relationships, the issuance of insurance policies or
43 contracts for the sale of bonds, notes or other securities; and,
44 provided further, that nothing contained in the immediately preceding
45 proviso shall be construed to create, impair, alter, limit, modify,
46 enlarge, abrogate or restrict any agency's authority or discretionary
47 power with respect to an equal opportunity program or a program for
48 securing participation of minority, HONORABLY DISCHARGED VETERAN and
49 women-owned enterprises.
50 S 7. Section 136-b of the state finance law, as added by chapter 261
51 of the laws of 1988, is amended to read as follows:
52 S 136-b. Selection of underwriters by state agencies. Whenever a state
53 agency, as defined in article fifteen-A of the executive law, sells its
54 bonds, notes or other securities at a private sale, in selecting one or
55 more underwriters to purchase such securities the state agency shall
56 consider, among other things, the participation of firms certified
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1 pursuant to such article as minority, HONORABLY DISCHARGED VETERAN or
2 women-owned firms and the ability of other firms under consideration to
3 work with minority, HONORABLY DISCHARGED VETERAN and women-owned busi-
4 ness enterprises so as to promote and assist participation by such
5 enterprises.
6 S 8. Paragraphs (b) and (d) of subdivision 2 of section 139-i of the
7 state finance law, as amended by chapter 531 of the laws of 1993, are
8 amended to read as follows:
9 (b) include in all bid documents provided to potential bidders a
10 statement that information concerning the availability of New York state
11 subcontractors and suppliers is available from the New York state
12 department of economic development, which shall include the directory of
13 certified minority and women-owned businesses, and it is the policy of
14 New York state to encourage the use of New York state subcontractors and
15 suppliers, and to promote the participation of minority, HONORABLY
16 DISCHARGED VETERAN and women-owned businesses, where possible, in the
17 procurement of goods and services.
18 (d) adopt policies to promote the participation by New York state
19 business enterprises and New York state residents in procurement
20 contracts, with the cooperation of the department of economic develop-
21 ment and the community services division of the department of labor
22 including, but not limited to, providing through cooperative efforts
23 with contractors for the notification of New York state business enter-
24 prises of opportunities to participate as subcontractors and suppliers
25 on procurement contracts in an amount estimated to be equal to or great-
26 er than one million dollars and for the notification of New York state
27 residents of employment opportunities arising in New York state out of
28 procurement contracts in an amount estimated to be equal to or greater
29 than one million dollars; and promulgating procedures which will assure
30 compliance by contractors with such notification. Once awarded the
31 contract, such contractors shall document their efforts to encourage the
32 participation of New York state business enterprises as suppliers and
33 subcontractors on procurement contracts equal to or greater than one
34 million dollars. Documented efforts by a successful contractor shall
35 consist of and be limited to showing that such contractor has [(a)] (I)
36 solicited bids, in a timely and adequate manner, from New York state
37 business enterprises including certified minority, HONORABLY DISCHARGED
38 VETERAN and women-owned business, or [(b)] (II) contacted the New York
39 state department of economic development to obtain listings of New York
40 state business enterprises, or [(c)] (III) placed notices for subcon-
41 tractors and suppliers in newspapers, journals and other trade publica-
42 tions distributed in New York state, or [(d)] (IV) participated in
43 bidder outreach conferences. If the contractor determines that New York
44 state business enterprises are not available to participate on the
45 contract as subcontractors or suppliers, the contractor shall provide a
46 statement indicating the method by which such determination was made. If
47 the contractor does not intend to use subcontractors on the contract,
48 the contractor shall provide a statement verifying such intent. Such
49 contractors shall also provide notification to New York state residents
50 of employment opportunities through listing any such positions with the
51 community services division, or providing for such notification in such
52 manner as is consistent with existing collective bargaining contracts or
53 agreements. On or before the effective date of this section, each state
54 agency or department shall submit such policies to the division of the
55 budget and copies thereof to the department of audit and control, the
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1 department of economic development, the senate finance committee and the
2 assembly ways and means committee.
3 S 9. Subdivision 5, paragraph (e) of subdivision 11, paragraph (e) of
4 subdivision 12 and paragraph (a) of subdivision 16 of section 213 of the
5 state finance law, subdivision 5, paragraph (e) of subdivision 11 and
6 paragraph (e) of subdivision 12 as added by chapter 705 of the laws of
7 1993 and paragraph (a) of subdivision 16 as amended by section 2 of part
8 HH of chapter 59 of the laws of 2013, are amended to read as follows:
9 5. "Certified [minority-] MINORITY, HONORABLY DISCHARGED VETERAN or
10 women-owned business" means any [minority-] MINORITY, HONORABLY
11 DISCHARGED VETERAN or women-owned business enterprise as defined in
12 section three hundred ten of the executive law and certified pursuant to
13 section three hundred fourteen of the executive law.
14 (e) any certified [minority-] MINORITY, HONORABLY DISCHARGED VETERAN
15 or women-owned business seeking financing necessary to carry out a
16 procurement contract with an agency or authority or other entity of the
17 state or federal government; or
18 (e) for certified [minority-] MINORITY, HONORABLY DISCHARGED VETERAN
19 and women-owned businesses, projects to provide financing necessary to
20 carry out a procurement contract with an agency or authority or other
21 entity of the state or federal government.
22 (a) for a linked deposit made in connection with a linked loan to a
23 certified business in an empire zone or to an eligible business located
24 in a highly distressed area or to an eligible business that is defined
25 in paragraph (b-1) of subdivision eleven of this section that is located
26 in a renewal community or defined in paragraph (b-2) of such subdivision
27 that is located in an empowerment zone or defined in paragraph (b-3) of
28 such subdivision that is located in an enterprise community, or a quali-
29 fying technology or innovation business as defined in paragraph (g) of
30 subdivision eleven of this section, respectively for eligible projects
31 defined in paragraph (c) of subdivision twelve of this section or a
32 certified [minority-] MINORITY, HONORABLY DISCHARGED VETERAN or women-
33 owned business enterprise for an eligible project defined in paragraph
34 (e) of subdivision twelve of this section or to a defense industry
35 manufacturer for a project defined in paragraph (d) of subdivision
36 twelve of this section, a fixed rate of interest which is three hundred
37 basis points below the lender's posted four year certificate of deposit
38 rate or, if the lender does not offer a four year certificate of depos-
39 it, is three hundred basis points below the average statewide rate for
40 four year certificates of deposit as determined by the commissioner of
41 economic development;
42 S 10. Subdivision 1 of section 218 of the state finance law, as
43 amended by section 1 of part U of chapter 58 of the laws of 2012, is
44 amended to read as follows:
45 1. Linked loans made to certified businesses in empire zones or to
46 eligible businesses in highly distressed areas or to eligible businesses
47 that are defined in paragraph (b-1) of subdivision eleven of section two
48 hundred thirteen of this article that are located in a renewal community
49 or defined in paragraph (b-2) of such subdivision that are located in an
50 empowerment zone or defined in paragraph (b-3) of such subdivision that
51 are located in an enterprise community, respectively for eligible
52 projects defined in paragraph (c) of subdivision twelve of section two
53 hundred thirteen of this article or to [minority-] MINORITY, HONORABLY
54 DISCHARGED VETERAN or women-owned business enterprises for an eligible
55 project defined in paragraph (e) of subdivision twelve of section two
56 hundred thirteen of this article or to a defense industry manufacturer
A. 4418 11
1 for a project defined in paragraph (d) of subdivision twelve of section
2 two hundred thirteen of this article or to an eligible business pursuant
3 to paragraph (a) of subdivision eleven of section two hundred thirteen
4 of this article that produces products defined in subdivision two of
5 section three hundred one of the agriculture and markets law for an
6 eligible project as defined in paragraph (b) of subdivision twelve of
7 section two hundred thirteen of this article shall bear interest at a
8 fixed rate equal to three percentage points below the fixed interest
9 rate the lender would have charged for the loan in the absence of a
10 linked deposit based on its usual credit considerations. All other
11 linked loans shall bear interest at a fixed rate equal to two percentage
12 points below the fixed interest rate the lender would have charged for
13 the loan in the absence of a linked deposit based on its usual credit
14 considerations. Lenders shall certify to the commissioner of economic
15 development that the rate to be charged on a linked loan is two percent-
16 age points or three percentage points, as the case may be, below the
17 interest rate the lender would have charged for the loan in the absence
18 of a linked deposit.
19 S 11. Paragraph (c) of subdivision 12 of section 3.07 of the arts and
20 cultural affairs law, as amended by chapter 255 of the laws of 1988, is
21 amended to read as follows:
22 (c) (i) In the performance of projects pursuant to this section,
23 minority, HONORABLY DISCHARGED VETERAN and women-owned business enter-
24 prises shall be given the opportunity for meaningful participation. For
25 purposes hereof, minority business enterprise shall mean any business
26 enterprise which is at least fifty-one per centum owned by, or in the
27 case of a publicly owned business, at least fifty-one per centum of the
28 stock or other voting interest is owned by citizens or permanent resi-
29 dent aliens who are Black, Hispanic, Asian, American Indian, Pacific
30 Islander, or Alaskan native, and such ownership interest is real,
31 substantial and continuing and has the authority to independently
32 control the day to day business decisions of the entity for at least one
33 year; HONORABLY DISCHARGED VETERAN OWNED BUSINESS ENTERPRISE SHALL MEAN
34 THE SAME AS PROVIDED IN SUBDIVISION TWENTY-FOUR OF SECTION THREE HUNDRED
35 TEN OF THE EXECUTIVE LAW; and women-owned business enterprise shall mean
36 any business enterprise which is at least fifty-one per centum owned by,
37 or in the case of a publicly owned business, at least fifty-one per
38 centum of the stock to other voting interests of which is owned by citi-
39 zens or permanent resident aliens who are women, and such ownership
40 interest is real, substantial and continuing and has the authority to
41 independently control the day to day business decisions of the entity
42 for at least one year.
43 The provisions of this subdivision shall not be construed to limit the
44 ability of any minority business enterprise to bid on any contract.
45 (ii) In order to implement the requirements and objectives of this
46 section, the council shall request, as appropriate, the assistance of
47 other state agencies to monitor the contractors' compliance with
48 provisions hereof, provide assistance in obtaining competing qualified
49 minority, HONORABLY DISCHARGED VETERAN and women-owned business enter-
50 prises to perform contracts proposed to be awarded, and take other
51 appropriate measures to improve the access of minority, HONORABLY
52 DISCHARGED VETERAN and women-owned business enterprises to these
53 contracts.
54 S 12. Subdivision 2 of section 115 of the economic development law, as
55 added by chapter 55 of the laws of 1992, is amended to read as follows:
A. 4418 12
1 2. "Technical assistance" shall mean assistance and services designed
2 to improve the efficiency, effectiveness and viability of a minority,
3 HONORABLY DISCHARGED VETERAN or women-owned business enterprise, includ-
4 ing, but not limited to, management assistance, problem solving, the
5 development of business and marketing plans, market analysis, financial
6 planning, regulatory compliance, safety and security measures, export
7 assistance, procurement assistance, application assistance, state
8 program assistance, referral to private and public financing sources,
9 contracting assistance, and other forms of assistance which the commis-
10 sioner deems necessary and appropriate.
11 S 13. Section 118 of the economic development law, as added by chapter
12 55 of the laws of 1992 and subdivision 7 as further amended by section
13 15 of part GG of chapter 63 of the laws of 2000, is amended to read as
14 follows:
15 S 118. Power and duties. In addition to the power and duties conferred
16 by section one hundred sixteen of this article, the division shall have
17 the additional power and duty to:
18 1. Coordinate with all state agencies performing functions affecting
19 the operations of minority business enterprises, HONORABLY DISCHARGED
20 VETERAN OWNED BUSINESS ENTERPRISES and women-owned business enterprises,
21 as such terms are defined in section two hundred ten of this chapter;
22 2. Receive complaints and inquiries of operators of minority, HONOR-
23 ABLY DISCHARGED VETERAN and women-owned business enterprises and refer
24 them to the appropriate federal, state or local agency for appropriate
25 action on such complaints;
26 3. Solicit recommendations from the operators of minority, HONORABLY
27 DISCHARGED VETERAN and women-owned business enterprises for improving
28 existing state programs and refer such recommendations to the governor,
29 the legislature and appropriate state agencies or authorities;
30 4. Advise and make recommendations to the commissioner and the legis-
31 lature on matters affecting the minority, HONORABLY DISCHARGED VETERAN
32 and women-owned business enterprises of the state and promote and
33 encourage the protection of the legitimate interests of minority, HONOR-
34 ABLY DISCHARGED VETERAN and women-owned business enterprises within the
35 state;
36 5. Conduct investigations, research, studies and analyses of matters
37 affecting the interests of minority, HONORABLY DISCHARGED VETERAN and
38 women-owned business enterprises;
39 6. Study the implementation of the laws affecting minority, HONORABLY
40 DISCHARGED VETERAN and women-owned business enterprises and recommend to
41 the commissioner new laws and amendments of laws for the benefit of
42 minority, HONORABLY DISCHARGED VETERAN and women-owned business enter-
43 prises; and review pending legislation affecting minority, HONORABLY
44 DISCHARGED VETERAN and women-owned business enterprises and report its
45 findings to the commissioner;
46 7. Provide technical assistance and information to minority, HONORABLY
47 DISCHARGED VETERAN and women-owned business enterprises in the state on
48 economic development programs administered by the department, including,
49 but not limited to: (a) the empire zones program, established pursuant
50 to article eighteen-B of the general municipal law, (b) the industrial
51 effectiveness program, established pursuant to article seven of this
52 chapter, (c) the economic development skills training program, estab-
53 lished pursuant to article eight of this chapter, and (d) the entrepre-
54 neurial assistance program, established pursuant to article nine of this
55 chapter;
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1 8. Provide technical assistance and information to minority, HONORABLY
2 DISCHARGED VETERAN and women-owned business enterprises in the state on
3 economic development programs administered by agencies other than the
4 department, including, but not limited to programs administered by the
5 urban development corporation, the job development authority and the
6 science and technology foundation;
7 9. Be responsible for conducting minority, HONORABLY DISCHARGED VETER-
8 AN and women-owned business enterprise assistance programs and for coor-
9 dinating the activities of all other state agencies acting within the
10 scope of this section; and
11 10. Carry out the activities to implement the minority, HONORABLY
12 DISCHARGED VETERAN and women-owned business enterprise assistance
13 programs, to the extent practicable, within amounts appropriated there-
14 for by[;]:
15 (a) collecting and maintaining information identifying certified
16 minority, HONORABLY DISCHARGED VETERAN and women-owned business enter-
17 prises within New York state;
18 (b) collecting, maintaining, and providing information to potential
19 users identifying existing contracting and procurement opportunities
20 within and outside New York state;
21 (c) maintaining, providing and marketing a compilation of existing
22 programs providing assistance for minority, HONORABLY DISCHARGED VETERAN
23 and women-owned business enterprises;
24 (d) identifying special needs and problems facing minority, HONORABLY
25 DISCHARGED VETERAN and women-owned business enterprises within New York
26 state;
27 (e) contacting institutions, organizations and commercial enterprises
28 that are potential consumers of minority, HONORABLY DISCHARGED VETERAN
29 and women-owned business products and services; urging their expanded
30 consumption of such goods and services;
31 (f) facilitating the establishment of minority, HONORABLY DISCHARGED
32 VETERAN and women-owned business enterprises; and
33 (g) providing information concerning local and regional opportunities
34 for minority, HONORABLY DISCHARGED VETERAN and women-owned business
35 enterprises.
36 S 14. Section 210 of the economic development law is amended by
37 adding a new subdivision 7 to read as follows:
38 7. "HONORABLY DISCHARGED VETERAN OWNED BUSINESS ENTERPRISE" MEANS THE
39 SAME AS DEFINED IN SUBDIVISION TWENTY-FOUR OF SECTION THREE HUNDRED TEN
40 OF THE EXECUTIVE LAW.
41 S 15. Paragraphs (b) and (i) of subdivision 1 of section 231 of the
42 economic development law, as amended by chapter 352 of the laws of 2009,
43 are amended to read as follows:
44 (b) to provide outreach to businesses, with attention to small and
45 medium-sized businesses, including minority, HONORABLY DISCHARGED VETER-
46 AN and women-owned business enterprises, for financial and technical
47 assistance offered by state economic development agencies, authorities,
48 or other economic entities;
49 (i) to provide information and assistance in the certification of
50 minority, HONORABLY DISCHARGED VETERAN and women-owned business enter-
51 prises;
52 S 16. Section 52-0113 of the environmental conservation law, as added
53 by chapter 512 of the laws of 1986, is amended to read as follows:
54 S 52-0113. Minority, HONORABLY DISCHARGED VETERAN and women-owned busi-
55 ness enterprise program.
A. 4418 14
1 1. a. In the performance of projects pursuant to this article
2 minority, HONORABLY DISCHARGED VETERAN and women-owned business enter-
3 prises shall be given the opportunity for meaningful participation. The
4 department or the office shall establish measures and procedures to
5 secure meaningful participation and identify those contracts and items
6 of work for which minority, HONORABLY DISCHARGED VETERAN and women-owned
7 business enterprises may best bid to actively and affirmatively promote
8 and assist their participation in the projects, so as to facilitate the
9 award of a fair share of contracts to such enterprises; provided, howev-
10 er, that nothing in this article shall be construed to limit the ability
11 of the department or office to assure that qualified minority, HONORABLY
12 DISCHARGED VETERAN and women-owned business enterprises may participate
13 in the program.
14 For purposes [hereof] OF THIS ARTICLE, minority business enterprise
15 shall mean any business enterprise which is at least fifty-one per
16 centum owned by, or in the case of a publicly owned business, at least
17 fifty-one per centum of the stock of which is owned by citizens or
18 permanent resident aliens who are Black, Hispanic, Asian or American
19 Indian, Pacific Islander or Alaskan natives and such ownership interest
20 is real, substantial and continuing and have the authority to independ-
21 ently control the day to day business decisions of the entity for at
22 least one year; HONORABLY DISCHARGED VETERAN OWNED BUSINESS ENTERPRISE
23 SHALL MEAN THE SAME AS DEFINED IN SUBDIVISION TWENTY-FOUR OF SECTION
24 THREE HUNDRED TEN OF THE EXECUTIVE LAW; and women-owned business enter-
25 prise shall mean any business enterprise which is at least fifty-one per
26 centum owned by, or in the case of a publicly owned business, at least
27 fifty-one per centum of the stock of which is owned by citizens or
28 permanent resident aliens who are women, and such ownership interest is
29 real, substantial and continuing and have the authority to independently
30 control the day to day business decisions of the entity for at least one
31 year. The provisions of this paragraph shall not be construed to limit
32 the ability of any minority, HONORABLY DISCHARGED VETERAN or women-owned
33 business enterprise to bid on any contract.
34 b. In the implementation of this section, the department or the office
35 shall consider compliance by any contractor with the requirements of any
36 federal, state, or local law concerning minority, HONORABLY DISCHARGED
37 VETERAN and women-owned business enterprises, which may effectuate the
38 requirements of this section. If the department or the office determines
39 that by virtue of the imposition of the requirements of any such law, in
40 respect to capital project contracts, the provisions thereof duplicate
41 or conflict with such law, the department may waive the applicability of
42 this section to the extent of such duplication or conflict.
43 c. Nothing in this section shall be deemed to require that overall
44 state and federal requirements for participation of minority, HONORABLY
45 DISCHARGED VETERAN and women-owned business enterprises in programs
46 authorized under this article be applied without regard to local circum-
47 stances to all projects or in all communities.
48 2. In order to implement the requirements and objectives of this
49 section, the department and the office shall establish procedures to
50 monitor the contractors' compliance with provisions hereof, provide
51 assistance in obtaining competing qualified minority, HONORABLY
52 DISCHARGED VETERAN and women-owned business enterprises to perform
53 contracts proposed to be awarded, and take other appropriate measures to
54 improve the access of minority, HONORABLY DISCHARGED VETERAN and women-
55 owned business enterprises to these contracts.
A. 4418 15
1 S 17. Subparagraph (i) of paragraph (b), the opening paragraph of
2 paragraph (c), paragraphs (i) and (j) and subparagraphs (ii) and (iii)
3 of paragraph (n) of subdivision 3 of section 2879 of the public authori-
4 ties law, subparagraph (i) of paragraph (b) as amended, paragraphs (i)
5 and (j) as added, and subparagraphs (ii) and (iii) of paragraph (n) as
6 relettered by chapter 174 of the laws of 2010 and paragraph (c) as
7 amended by chapter 564 of the laws of 1988, are amended and a new para-
8 graph (e-1) is added to read as follows:
9 (i) for the selection of such contractors on a competitive basis, and
10 provisions relating to the circumstances under which the board may by
11 resolution waive competition, including, notwithstanding any other
12 provision of law requiring competition, the purchase of goods or
13 services from small business concerns or those certified as minority,
14 HONORABLY DISCHARGED VETERAN or women-owned business enterprises, or
15 goods or technology that are recycled or remanufactured, in an amount
16 not to exceed two hundred thousand dollars without a formal competitive
17 process;
18 An identification of those areas or types of contracts for which
19 minority, HONORABLY DISCHARGED VETERAN or women-owned business enter-
20 prises may best bid so as to promote and assist participation by such
21 enterprises and facilitate a fair share of the awarding of contracts to
22 such enterprises. For the purposes of this section, a minority business
23 enterprise means any business enterprise, including a sole proprietor-
24 ship, partnership or corporation that is:
25 (i) The establishment of appropriate goals for participation by minor-
26 ity, HONORABLY DISCHARGED VETERAN or women-owned business enterprises in
27 procurement contracts awarded by the corporation and for the utilization
28 of minority, HONORABLY DISCHARGED VETERAN and women-owned enterprises as
29 subcontractors and suppliers by entities having procurement contracts
30 with the corporation. Statewide numerical participation target goals
31 shall be established by each authority based on the findings of the two
32 thousand ten disparity study.
33 (j) Requirements to conduct procurements in a manner that will enable
34 the corporation to achieve the maximum feasible portion of the goals
35 established pursuant to paragraph (i) of this subdivision and that elim-
36 inates barriers to participation by minority, HONORABLY DISCHARGED
37 VETERAN and women-owned business enterprises in the corporation's
38 procurements. Such procurement requirements shall include the following:
39 (A) Measures and procedures to ensure that certified businesses shall
40 be given the opportunity for maximum feasible participation in the
41 performance of state contracts and to assist in the corporation's iden-
42 tification of those state contracts for which certified businesses may
43 best bid to actively and affirmatively promote and assist their partic-
44 ipation in the performance of state contracts so as to facilitate the
45 corporation's achievement of the maximum feasible portion of the goals
46 for state contracts to such businesses;
47 (B) Provisions designating the division of minority, HONORABLY
48 DISCHARGED VETERAN and women-owned business development to certify and
49 decertify minority, HONORABLY DISCHARGED VETERAN and women-owned busi-
50 ness enterprises for all corporations through a single process that
51 meets applicable state and federal requirements;
52 (C) A requirement that each contract solicitation document accompany-
53 ing each solicitation set forth the expected degree of minority, HONOR-
54 ABLY DISCHARGED VETERAN and women-owned business enterprise partic-
55 ipation based, in part, on:
A. 4418 16
1 I. the potential subcontract opportunities available in the prime
2 procurement contract; and
3 II. the availability of certified minority, HONORABLY DISCHARGED
4 VETERAN and women-owned business enterprises to respond competitively to
5 the potential subcontract opportunities;
6 (D) A requirement that each corporation provide a current list of
7 certified minority business enterprises to each prospective contractor;
8 (E) Provisions relating to joint ventures, under which a bidder may
9 count toward meeting its minority business enterprise participation
10 goal, the minority, HONORABLY DISCHARGED VETERAN and women-owned busi-
11 ness enterprise portion of the joint venture;
12 (F) Provisions under which the corporation may waive obligations of
13 the contractor relating to minority, HONORABLY DISCHARGED VETERAN and
14 women-owned business enterprise participation after a showing of good
15 faith efforts to comply with the requirements of this act pursuant to
16 the waiver provisions contained in subdivision six of section three
17 hundred thirteen of the executive law;
18 (G) A requirement that the corporation verify that minority, HONORABLY
19 DISCHARGED VETERAN and women-owned business enterprises listed in a
20 successful bid are actually participating to the extent listed in the
21 project for which the bid was submitted;
22 (H) In the implementation of this section, the contracting corporation
23 shall:
24 I. consider, where practicable, the severability of construction
25 projects and other bundled contracts;
26 II. implement a program that will enable the corporation to evaluate
27 each contract to determine the appropriateness of the goal pursuant to
28 paragraph (i) of this subdivision;
29 III. consider compliance with the requirements of any federal law
30 concerning opportunities for minority, HONORABLY DISCHARGED VETERAN and
31 women-owned business enterprises which effectuates the purpose of this
32 section; and
33 IV. consult the most recent disparity study pursuant to article
34 fifteen-A of the executive law.
35 (ii) with the cooperation of the department of economic development
36 and through cooperative efforts with contractors, providing for the
37 notification of New York state business enterprises of opportunities to
38 participate as subcontractors and suppliers on procurement contracts let
39 by the corporation in an amount estimated to be equal to or greater than
40 one million dollars and promulgating procedures which will assure
41 compliance by contractors with such notification. Once awarded the
42 contract such contractors shall document their efforts to encourage the
43 participation of New York state business enterprises as suppliers and
44 subcontractors on procurement contracts equal to or greater than one
45 million dollars. Documented efforts by a successful contractor shall
46 consist of and be limited to showing that such contractor has (a) solic-
47 ited bids, in a timely and adequate manner, from New York state business
48 enterprises including certified minority, HONORABLY DISCHARGED VETERAN
49 and women-owned business, or (b) contacted the New York state department
50 of economic development to obtain listings of New York state business
51 enterprises, or (c) placed notices for subcontractors and suppliers in
52 newspapers, journals and other trade publications distributed in New
53 York state, or (d) participated in bidder outreach conferences. If the
54 contractor determines that New York state business enterprises are not
55 available to participate on the contract as subcontractors or suppliers,
56 the contractor shall provide a statement indicating the method by which
A. 4418 17
1 such determination was made. If the contractor does not intend to use
2 subcontractors on the contract, the contractor shall provide a statement
3 verifying such intent; and
4 (iii) except for procurement contracts for which the corporation would
5 be expending funds received from another state, the corporation shall
6 include in all bid documents provided to potential bidders a statement
7 that information concerning the availability of New York state subcon-
8 tractors and suppliers is available from the New York state department
9 of economic development, which shall include the directory of certified
10 minority, HONORABLY DISCHARGED VETERAN and women-owned businesses, and
11 it is the policy of New York state to encourage the use of New York
12 state subcontractors and suppliers, and to promote the participation of
13 minority, HONORABLY DISCHARGED VETERAN and women-owned businesses where
14 possible, in the procurement of goods and services; and
15 (E-1) FOR PURPOSES OF THIS SECTION, "HONORABLY DISCHARGED VETERAN
16 OWNED BUSINESS ENTERPRISE" MEANS THE SAME AS DEFINED IN SUBDIVISION
17 TWENTY-FOUR OF SECTION THREE HUNDRED TEN OF THE EXECUTIVE LAW.
18 S 18. Section 957 of the general municipal law is amended by adding a
19 new subdivision (u) to read as follows:
20 (U) "HONORABLY DISCHARGED VETERAN OWNED BUSINESS ENTERPRISE" SHALL
21 MEAN THE SAME AS DEFINED IN SUBDIVISION TWENTY-FOUR OF SECTION THREE
22 HUNDRED TEN OF THE EXECUTIVE LAW.
23 S 19. Subdivisions (g) and (t) of section 959 of the general municipal
24 law, as amended by section 3 of part S-1 of chapter 57 of the laws of
25 2009, are amended to read as follows:
26 (g) Coordinate, with the local empire zone administrative board and
27 state agencies and authorities, the provision of business development
28 programs and services for each empire zone in order to stimulate the
29 creation and development of new small businesses, including new small
30 minority-owned, HONORABLY DISCHARGED VETERAN-OWNED and women-owned busi-
31 ness enterprises, and may request and shall receive from any department,
32 division, board, bureau, commission, agency or public authority of the
33 state such assistance as may be necessary;
34 (t) Coordinate with the urban development corporation the creation of
35 a special category of assistance for zones within the regional economic
36 development partnership program, which will make available economic
37 development assistance grants for zone programs and activities, includ-
38 ing, but not limited to, planning, service coordination, and local
39 institutional capacity building for human resource development necessary
40 for economic revitalization; planning and development of small business
41 incubators; job placement and preparedness programs for zones residents;
42 education and training programs for zone businesses; child care programs
43 and projects supportive of business development; technical assistance
44 for minority, HONORABLY DISCHARGED VETERAN and women-owned business
45 development; training for zone officials; business and tourism develop-
46 ment and marketing programs; and other innovative programs and activ-
47 ities in support of economic and community development within the zones;
48 S 20. Paragraph (x) of subdivision (b) of section 961 of the general
49 municipal law, as added by chapter 708 of the laws of 1993, is amended
50 to read as follows:
51 (x) identify financial commitments the applicant will make to the zone
52 for activities, including, but not limited to, marketing of the zone for
53 business development, human resource services for zone residents and
54 businesses, and services for small [and], minority, HONORABLY DISCHARGED
55 VETERAN and women-owned businesses;
A. 4418 18
1 S 21. Subdivision (j) of section 962 of the general municipal law, as
2 amended by chapter 624 of the laws of 1990 and as further amended by
3 section 15 of part GG of chapter 63 of the laws of 2000, is amended to
4 read as follows:
5 (j) a description of activities designed to ensure the meaningful
6 participation of minority-owned, HONORABLY DISCHARGED VETERAN-OWNED and
7 women-owned business enterprises in empire zone development activities;
8 S 22. Paragraphs (iii) and (xii) of subdivision (a) of section 963 of
9 the general municipal law, as amended by chapter 708 of the laws of
10 1993, as further amended by section 15 of part GG of chapter 63 of the
11 laws of 2000 and as relettered by section 7 of part S-1 of chapter 57 of
12 the laws of 2009, are amended to read as follows:
13 (iii) undertake efforts to ensure meaningful participation by minori-
14 ty-owned, HONORABLY DISCHARGED VETERAN-OWNED and women-owned business
15 enterprises in empire zone activities;
16 (xii) provide within the zone, or contract with a new or existing
17 community-based local development corporation or entity to provide,
18 strategic economic development planning for the zone, marketing and
19 promotion of the zone, assistance to companies in applying for available
20 benefits, preparation of applications for financing assistance and other
21 technical assistance services; coordination of the delivery of state and
22 local programs within the zones; and operation of such other economic
23 development assistance programs in furtherance of the empire zone devel-
24 opment plan as may be appropriate. Provided, however, within the amount
25 appropriated therefor and allocated by the director of the budget, the
26 commissioner, through annual administrative contracts, shall, to the
27 maximum extent feasible, make equally available financial support,
28 through contracts or other means, to assist with the administrative
29 expenses of the local zone administrative bodies or community-based
30 development organizations. No funds shall be made available for this
31 purpose unless the amount to be provided has been matched by private or
32 governmental sources, other than state sources, in amounts at least
33 equalling that to be provided by the state. Such matching funds shall be
34 earmarked and used exclusively for the local administration of the zone
35 program or for activities of the zone program. At least fifty percent of
36 such matching funds shall be in cash, provided that the commissioner may
37 waive this requirement for communities with populations of twenty-five
38 thousand or less, and provided, further, that any amounts appropriated
39 for minority, HONORABLY DISCHARGED VETERAN and women-owned business
40 development within the zones shall be distributed by the commissioner
41 pursuant to a competitive proposal solicitation process.
42 S 23. Subdivision (c) of section 964 of the general municipal law, as
43 amended by chapter 708 of the laws of 1993 and as further amended by
44 section 15 of part GG of chapter 63 of the laws of 2000, is amended to
45 read as follows:
46 (c) Each empire zone capital corporation shall, to the maximum extent
47 feasible, undertake measures and procedures to ensure meaningful partic-
48 ipation by minority-owned, HONORABLY DISCHARGED VETERAN-OWNED and
49 women-owned business enterprises in the activities and investments of
50 such corporation. Each such corporation shall additionally, to the maxi-
51 mum extent feasible, undertake measures and procedures to ensure mean-
52 ingful participation by locally owned business enterprises in the activ-
53 ities and investments of such corporation.
54 S 24. Subparagraph 7 of paragraph f of subdivision 3 of section 970-r
55 of the general municipal law, as amended by section 1 of part F of chap-
56 ter 577 of the laws of 2004, is amended to read as follows:
A. 4418 19
1 (7) the financial commitments the applicant will make to the brown-
2 field opportunity area for activities including, but not limited to,
3 marketing of the area for business development, human resource services
4 for residents and businesses in the brownfield opportunity area, and
5 services for small [and], minority, HONORABLY DISCHARGED VETERAN and
6 women-owned businesses.
7 S 25. Subdivision 33 of section 454 of the banking law, as amended by
8 chapter 679 of the laws of 2003, is amended to read as follows:
9 33. Notwithstanding any other provision of this article to the contra-
10 ry, to participate in the [minority -] MINORITY, HONORABLY DISCHARGED
11 VETERAN and women-owned business development and lending program, as
12 established in section 16-c of section 1 of chapter 174 of the laws of
13 1968, constituting the urban development corporation act, to the extent
14 that such program allows participation by credit unions.
15 S 26. Section 9-b of section 1 of chapter 359 of the laws of 1968,
16 constituting the facilities development corporation act, as added by
17 chapter 58 of the laws of 1987, is amended to read as follows:
18 S 9-b. Minority, HONORABLY DISCHARGED VETERAN and women-owned business
19 enterprise program. 1. (a) Minority, HONORABLY DISCHARGED VETERAN and
20 women-owned business enterprises shall be given the opportunity for
21 meaningful participation in all contracts executed by the corporation
22 pursuant to the provisions of this act other than contracts the cost of
23 which is borne solely by a municipality or municipalities. The corpo-
24 ration shall establish measures and procedures to secure meaningful
25 participation and identify those contracts and items of work for which
26 minority, HONORABLY DISCHARGED VETERAN and women-owned business enter-
27 prises may best bid to actively and affirmatively promote and assist
28 their participation in the projects, so as to facilitate the award of a
29 fair share of contracts to such enterprises; provided, however, that
30 nothing in this act shall be construed to limit the ability of the
31 corporation to assure that qualified minority, HONORABLY DISCHARGED
32 VETERAN and women-owned business enterprises may participate in the
33 program. For purposes hereof, minority business enterprise shall mean
34 any business enterprise which is at least fifty-one per centum owned by,
35 or in the case of a publicly owned business, at least fifty-one per
36 centum of the stock of which is owned by citizens or permanent resident
37 aliens who are Black, Hispanic, Asian or American Indian, Pacific Islan-
38 der or Alaskan natives and such ownership interest is real, substantial
39 and continuing and have the authority to independently control the day
40 to day business decisions of the entity for at least one year; HONORABLY
41 DISCHARGED VETERAN BUSINESS ENTERPRISE SHALL MEAN THE SAME AS DEFINED IN
42 SUBDIVISION 24 OF SECTION 310 OF THE EXECUTIVE LAW; and women-owned
43 business enterprise shall mean any business enterprise which is at least
44 fifty-one per centum owned by, or in the case of a publicly owned busi-
45 ness, at least fifty-one per centum of the stock of which is owned by
46 citizens or permanent resident aliens who are women, and such ownership
47 interest is real, substantial and continuing and have the authority to
48 independently control the day to day business decisions of the entity
49 for at least one year.
50 The provisions of this paragraph shall not be construed to limit the
51 ability of any minority, HONORABLY DISCHARGED VETERAN or women-owned
52 business enterprise to bid on any contract.
53 (b) In the implementation of this section, the corporation shall
54 consider compliance by any contractor with the requirements of any
55 federal, state, or local law concerning minority, HONORABLY DISCHARGED
56 VETERAN and women-owned business enterprises, which may effectuate the
A. 4418 20
1 requirements of this section. If the corporation determines that by
2 virtue of the imposition of the requirements of any such law, in respect
3 to contracts, the provisions thereof duplicate or conflict with this
4 section, the corporation may waive the applicability of this section to
5 the extent of such duplication or conflict.
6 (c) Nothing in this section shall be deemed to require that overall
7 state and federal requirements for participation of minority, HONORABLY
8 DISCHARGED VETERAN and women-owned business enterprises in programs
9 authorized under this act be applied without regard to local circum-
10 stances to all projects or in all communities.
11 2. In order to implement the requirements and objectives of this
12 section, the corporation shall establish procedures to monitor the
13 contractors' compliance with provisions hereof, provide assistance in
14 obtaining competing qualified minority, HONORABLY DISCHARGED VETERAN and
15 women-owned business enterprises to perform contracts proposed to be
16 awarded, and take other appropriate measures to improve the access of
17 minority, HONORABLY DISCHARGED VETERAN and women-owned business enter-
18 prises to these contracts.
19 S 27. Section 16-b of section 1 of chapter 392 of the laws of 1973,
20 constituting the New York state medical care facilities finance agency
21 act, as added by chapter 58 of the laws of 1987, is amended to read as
22 follows:
23 S 16-b. Minority, HONORABLY DISCHARGED VETERAN and women-owned busi-
24 ness enterprise program. 1. a. In the performance of projects pursuant
25 to this act minority, HONORABLY DISCHARGED VETERAN and women-owned busi-
26 ness enterprises shall be given the opportunity for meaningful partic-
27 ipation. The agency shall establish measures and procedures to secure
28 meaningful participation and identify those contracts and items of work
29 for which minority, HONORABLY DISCHARGED VETERAN and women-owned busi-
30 ness enterprises may best bid to actively and affirmatively promote and
31 assist their participation in the projects, so as to facilitate the
32 award of a fair share of contracts to such enterprises; provided, howev-
33 er, that nothing in this act shall be construed to limit the ability of
34 the agency to assure that qualified minority, HONORABLY DISCHARGED
35 VETERAN and women-owned business enterprises may participate in the
36 program. For purposes hereof, minority business enterprise shall mean
37 any business enterprise which is at least fifty-one per centum owned by,
38 or in the case of a publicly owned business, at least fifty-one per
39 centum of the stock of which is owned by citizens or permanent resident
40 aliens who are Black, Hispanic, Asian or American Indian, Pacific Islan-
41 der or Alaskan natives and such ownership interest is real, substantial
42 and continuing and have the authority to independently control the day
43 to day business decisions of the entity for at least one year; HONORABLY
44 DISCHARGED VETERAN BUSINESS ENTERPRISE SHALL MEAN THE SAME AS DEFINED IN
45 SUBDIVISION 24 OF SECTION 310 OF THE EXECUTIVE LAW; and women-owned
46 business enterprise shall mean any business enterprise which is at least
47 fifty-one per centum owned by, or in the case of a publicly owned busi-
48 ness, at least fifty-one per centum of the stock of which is owned by
49 citizens or permanent resident aliens who are women, and such ownership
50 interest is real, substantial and continuing and have the authority to
51 independently control the day to day business decisions of the entity
52 for at least one year.
53 The provisions of this paragraph shall not be construed to limit the
54 ability of any minority, HONORABLY DISCHARGED VETERAN or women-owned
55 business enterprise to bid on any contract.
A. 4418 21
1 b. In the implementation of this section, the agency shall consider
2 compliance by any contractor with the requirements of any federal,
3 state, or local law concerning minority, HONORABLY DISCHARGED VETERAN
4 and women-owned business enterprises, which may effectuate the require-
5 ments of this section. If the department or the office determines that
6 by virtue of the imposition of the requirements of any such law, in
7 respect to contracts, the provisions thereof duplicate or conflict with
8 this act, the agency may waive the applicability of this section to the
9 extent of such duplication or conflict.
10 c. Nothing in this section shall be deemed to require that overall
11 state and federal requirements for participation of minority, HONORABLY
12 DISCHARGED VETERAN and women-owned business enterprises in programs
13 authorized under this act be applied without regard to local circum-
14 stances to all projects or in all communities.
15 2. In order to implement the requirements and objectives of this
16 section, the agency shall establish procedures to monitor the contrac-
17 tors' compliance with provisions hereof, provide assistance in obtaining
18 competing qualified minority, HONORABLY DISCHARGED VETERAN and women-
19 owned business enterprises to perform contracts proposed to be awarded,
20 and take other appropriate measures to improve the access of minority,
21 HONORABLY DISCHARGED VETERAN and women-owned business enterprises to
22 these contracts.
23 S 28. Paragraph (c) of subdivision 10 of section 16-a of section 1 of
24 chapter 174 of the laws of 1968, constituting the New York state urban
25 development corporation act, as amended by chapter 477 of the laws of
26 2002, is amended to read as follows:
27 (c) of minority, HONORABLY DISCHARGED VETERAN or women-owned enter-
28 prises or enterprises owned by dislocated workers, such workers as
29 defined in the Workforce Investment Act (P.L. 105-220); and
30 S 29. Section 16-c of section 1 of chapter 174 of the laws of 1968,
31 constituting the New York state urban development corporation act, as
32 added by chapter 169 of the laws of 1994, subdivision 1 as amended by
33 section 1 of part AA of chapter 55 of the laws of 2014, subparagraphs
34 (i) and (ii) of paragraph (a) of subdivision 2 as further amended by
35 section 15 of part GG of chapter 63 of the laws of 2000, is amended to
36 read as follows:
37 S 16-c. [Minority-] MINORITY, HONORABLY DISCHARGED VETERAN and women-
38 owned business development and lending program.
39 (1) [Minority-] MINORITY, HONORABLY DISCHARGED VETERAN and women-owned
40 business development and lending program. (a) There is hereby created a
41 [minority-] MINORITY, HONORABLY DISCHARGED VETERAN and women-owned busi-
42 ness development and lending program for the purpose of providing finan-
43 cial and technical assistance to minority, HONORABLY DISCHARGED VETERAN
44 and women-entrepreneurs.
45 (b) For the purposes of this section the following words or terms
46 shall mean as follows:
47 (i) "minority-owned business enterprise" or "minority-owned business"
48 shall mean the same as "minority business enterprise" as defined in
49 subdivision [three] 3 of section [two hundred ten] 210 of the economic
50 development law.
51 (ii) "women-owned business enterprise" or "women-owned business" shall
52 mean the same as "women-owned business enterprise" as defined in subdi-
53 vision [five] 5 of section [two hundred ten] 210 of the economic devel-
54 opment law.
A. 4418 22
1 (iii) "HONORABLY DISCHARGED VETERAN BUSINESS ENTERPRISE" SHALL MEAN
2 THE SAME AS DEFINED IN SUBDIVISION 24 OF SECTION 310 OF THE EXECUTIVE
3 LAW.
4 (IV) "incubator" shall mean a facility providing low-cost space, tech-
5 nical assistance and support services, including, but not limited to,
6 central services shared by tenants of the facility, to [minority-]
7 MINORITY, HONORABLY DISCHARGED VETERAN and women-owned business enter-
8 prises.
9 (c) Assistance shall not be provided under this section for:
10 (i) the purchase or rehabilitation of real property for speculative
11 purposes;
12 (ii) payment of any tax or employee benefit arrearage;
13 (iii) residential construction, renovation or development
14 construction, except for assistance to minority, HONORABLY DISCHARGED
15 VETERAN and women contractors under subdivision four of this section;
16 (iv) educational institutions and proprietary education firms, except
17 licensed child care facilities;
18 (v) hospitals or residential health care facilities;
19 (vi) overnight lodging facilities;
20 (vii) refinancing of debt or equity invested in an enterprise or
21 project.
22 (d) The corporation is authorized to:
23 (i) establish programs in conjunction with locally, and community
24 based entities to decentralize lending for small loans and loans to
25 start up [minority-] MINORITY, HONORABLY DISCHARGED VETERAN and women-
26 owned businesses;
27 (ii) establish a comprehensive program for minority, HONORABLY
28 DISCHARGED VETERAN and women contractors, which may include assistance
29 through loans, bonding assistance and technical assistance;
30 (iii) establish a program to provide loans to established [minority-]
31 MINORITY, HONORABLY DISCHARGED VETERAN and women-owned businesses and
32 for [minority-] MINORITY, HONORABLY DISCHARGED VETERAN and women-owned
33 businesses, including loans to such businesses seeking to acquire or
34 expand a franchise;
35 (iv) provide loan guarantees to financial institutions and make linked
36 deposits into federally and state chartered credit unions for the
37 purpose of encouraging private financial institutions to make loans to
38 [minority-] MINORITY, HONORABLY DISCHARGED VETERAN and women-owned busi-
39 nesses;
40 (v) establish a program to create incubators to assist small and high
41 risk [minority-] MINORITY, HONORABLY DISCHARGED VETERAN and women-owned
42 businesses to grow and prosper;
43 (vi) promote equity investment in [minority-] MINORITY, HONORABLY
44 DISCHARGED VETERAN and women-owned businesses;
45 (vii) establish a comprehensive technical assistance program in coop-
46 eration with the department of economic development to assist [minori-
47 ty-] MINORITY, HONORABLY DISCHARGED VETERAN and women-owned businesses
48 and potential minority, HONORABLY DISCHARGED VETERAN and women-entre-
49 preneurs; and
50 (viii) notwithstanding any provision of law to the contrary, establish
51 a [minority-] MINORITY, HONORABLY DISCHARGED VETERAN and women-owned
52 business investment fund to provide critical financial support to foster
53 the development of new and emerging ideas and products of
54 [minority-]MINORITY, HONORABLY DISCHARGED VETERAN and women-owned busi-
55 ness enterprises as well as to promote the long-term financial perform-
56 ance and success of early stage enterprises that are [minority-] MINORI-
A. 4418 23
1 TY, HONORABLY DISCHARGED VETERAN and women-owned start-ups. The
2 selection of an eligible applicant and beneficiary companies for the
3 [minority-] MINORITY, HONORABLY DISCHARGED VETERAN and women-owned busi-
4 ness investment fund shall be selected by the process established pursu-
5 ant to subdivisions [two] 2 through [four] 4 of section [sixteen-u] 16-U
6 of this act. [Minority-] MINORITY, HONORABLY DISCHARGED VETERAN or
7 women-owned business enterprises who participate in such [minority-]
8 MINORITY, HONORABLY DISCHARGED VETERAN and women-owned business invest-
9 ment fund under this subdivision shall not be precluded from qualifying
10 for any other assistance, grant or loan made available from the state.
11 (2) Minority, HONORABLY DISCHARGED VETERAN and women revolving loan
12 trust fund. For the purpose of establishing programs in conjunction with
13 locally and community based entities to decentralize lending for small
14 loans and loans to start up [minority-] MINORITY, HONORABLY DISCHARGED
15 VETERAN and women-owned businesses, the corporation shall establish
16 minority, HONORABLY DISCHARGED VETERAN and women revolving loan trust
17 fund accounts and related administrative expenses trust fund accounts.
18 (a) Each minority, HONORABLY DISCHARGED VETERAN and women revolving
19 loan trust fund account shall be administered by one or more of the
20 following types of entities that provide services to community busi-
21 nesses and have as one of their primary purposes the provision of
22 services and assistance to [minority-] MINORITY, HONORABLY DISCHARGED
23 VETERAN and women-owned businesses:
24 (i) empire zone capital corporations established pursuant to section
25 [nine hundred sixty-four] 964 of the general municipal law;
26 (ii) community-based local development corporations or industrial
27 development agencies that serve a municipality in which an empire zone
28 has been established pursuant to article [eighteen-B] 18-B of the gener-
29 al municipal law and have as their primary purpose assistance to [minor-
30 ity-] MINORITY, HONORABLY DISCHARGED VETERAN and women-owned businesses
31 located or to be located in such empire zone; or
32 (iii) local and community development corporations, industrial devel-
33 opment agencies, or other not-for-profit entities, representative of the
34 community.
35 (b) To be eligible to administer a minority, HONORABLY DISCHARGED
36 VETERAN and women revolving loan trust fund account, the entity must
37 also: (i) have staff with sufficient expertise to analyze applications
38 for financial assistance, to regularly monitor financial assistance to
39 clients, and to provide management or technical assistance to clients;
40 and (ii) have established a loan committee composed of six or more
41 persons experienced in business management, commercial lending or in the
42 operation of a for-profit business, at least one-half of whom shall be
43 experienced in commercial lending, at least one-third of whom shall be
44 minority persons and at least one-third of whom shall be women. Such
45 loan committee shall review every application, determine the feasibility
46 of the proposed project and the likelihood of repayment of the requested
47 financing and shall recommend to the governing body of the entity such
48 action on the application as the loan committee deems appropriate. The
49 corporation shall identify entities eligible to administer minority,
50 HONORABLY DISCHARGED VETERAN and women revolving loan trust fund
51 accounts through a competitive statewide request for proposal process.
52 (c) Any entity selected to administer a minority, HONORABLY DISCHARGED
53 VETERAN and women revolving loan trust fund account shall be eligible to
54 draw funds from the account as needed to provide the following types of
55 financial assistance to [minority-] MINORITY, HONORABLY DISCHARGED
56 VETERAN and women-owned businesses upon certification to and acceptance
A. 4418 24
1 by the corporation that such assistance complies with rules and regu-
2 lations promulgated by the corporation: (i) working capital loans,
3 provided that the amount of the loan does not exceed thirty-five thou-
4 sand dollars and the term of the loan does not exceed five years; and
5 (ii) loans for the acquisition and/or improvement of real property and
6 for the acquisition of machinery and equipment provided that the amount
7 of the loan does not exceed fifty thousand dollars and the term of the
8 loan does not exceed the useful life of the equipment or property.
9 (d) (i) Notwithstanding any provision of law to the contrary, the
10 corporation may establish an administrative expenses trust fund account
11 for the benefit of each entity selected to administer a minority, HONOR-
12 ABLY DISCHARGED VETERAN and women revolving loan trust fund account. The
13 initial deposit of funds to an administrative expenses trust fund
14 account shall be an amount determined by the corporation but shall not
15 exceed twenty-five thousand dollars.
16 (ii) An entity selected to administer a minority, HONORABLY DISCHARGED
17 VETERAN and women revolving loan trust fund account may use the funds in
18 the administrative expenses trust fund account for costs incurred by it
19 in the start up and administration of the financial assistance program
20 authorized pursuant to this subdivision.
21 (iii) The corporation shall deposit into each administrative expenses
22 trust fund account:
23 (A) all income earned from the moneys on deposit in the corresponding
24 minority, HONORABLY DISCHARGED VETERAN and women revolving loan trust
25 fund account during the first year of the entity's administration of
26 said account; and
27 (B) beginning with its second year in administering a minority, HONOR-
28 ABLY DISCHARGED VETERAN and women revolving loan trust fund account,
29 said amounts may be used for costs incurred by the entity in administer-
30 ing the minority, HONORABLY DISCHARGED VETERAN and women revolving loan
31 trust fund account; and
32 (C) repayments of interest on loans made from the corresponding minor-
33 ity, HONORABLY DISCHARGED VETERAN and women revolving loan trust fund
34 account.
35 (iv) Funds from the administrative expenses trust fund account may be
36 used for costs incurred at any time by an administering entity in its
37 administration of a minority, HONORABLY DISCHARGED VETERAN and women
38 revolving loan trust fund account pursuant to this section.
39 (v) Funds deposited in an administrative expenses trust fund account
40 shall be disbursed by the corporation to the entity that administers the
41 corresponding minority, HONORABLY DISCHARGED VETERAN and women revolving
42 loan trust fund account on a periodic basis and shall be expended by the
43 entity in accordance with an annual budget and any updates of same,
44 approved by the corporation.
45 (e) Any entity selected to administer a minority, HONORABLY DISCHARGED
46 VETERAN and women revolving loan trust fund account shall pay to the
47 corporation for deposit any repayments received in connection with
48 financial assistance provided from its account. Payments consisting of
49 the repayment of the principal amount of a loan shall be deposited by
50 the corporation into the minority, HONORABLY DISCHARGED VETERAN and
51 women revolving loan trust fund account from which the loan was made.
52 The interest earned by the corporation from the investment of moneys in
53 each minority, HONORABLY DISCHARGED VETERAN and women revolving loan
54 trust fund account during and after the second year of a selected enti-
55 ty's administration of said account shall be deposited by the corpo-
56 ration into the corresponding minority, HONORABLY DISCHARGED VETERAN and
A. 4418 25
1 women revolving loan trust fund account and used to provide the finan-
2 cial assistance to [minority-] MINORITY, HONORABLY DISCHARGED VETERAN
3 and women-owned businesses as authorized pursuant to this section.
4 (f) The provisions of subdivisions eight, nine, and fourteen through
5 nineteen of section sixteen-a of this act pertaining to the regional
6 revolving loan trust fund shall also be applicable to the minority,
7 HONORABLY DISCHARGED VETERAN and women revolving loan trust fund,
8 provided that: where the term "regional corporation" appears therein it
9 shall be interpreted to mean an entity selected to administer a
10 minority, HONORABLY DISCHARGED VETERAN and women revolving loan trust
11 fund account, and "regional revolving [loans] LOAN trust fund" shall
12 mean a minority, HONORABLY DISCHARGED VETERAN and women revolving loan
13 trust fund, and where the term "this section" appears therein it shall
14 mean this section sixteen-c.
15 (g) The corporation may provide funds from an appropriation for the
16 [minority-] MINORITY, HONORABLY DISCHARGED VETERAN and women-owned busi-
17 ness development and lending program to any entity selected to adminis-
18 ter a minority, HONORABLY DISCHARGED VETERAN and women revolving loan
19 trust fund for the purposes of recapitalizing such account and the enti-
20 ty's corresponding administrative expenses trust fund account following
21 an evaluation by the corporation of the entity's administration and use
22 of such accounts.
23 (h) Notwithstanding any provision of law to the contrary, the corpo-
24 ration shall establish a minority, HONORABLY DISCHARGED VETERAN and
25 women revolving loan trust fund to pay into such fund any moneys made
26 available to the corporation for such fund from any source, including
27 moneys appropriated by the state and any income earned by, or increment
28 to, the account due to the investment thereof, or any repayment of
29 moneys advanced from the fund. The corporation shall not commingle the
30 moneys of such fund with any moneys held in trust by the corporation,
31 except for investment purposes.
32 (3) Micro-loan program. (a) For the purposes of this subdivision
33 "micro-loan" shall mean a loan of under seven thousand five hundred
34 dollars.
35 (b) The corporation shall, pursuant to requests for proposals, enter
36 into agreements for other types of locally, community or regionally
37 administered loan programs than those set forth in subdivision two of
38 this section, including micro-loan programs to be administered by local
39 development corporations, local industrial development organizations,
40 municipalities and not-for-profit organizations, to provide micro-loans
41 to small and high risk [minority-] MINORITY, HONORABLY DISCHARGED VETER-
42 AN and women-owned businesses located within their respective service
43 areas, provided that loan review committees are established by such
44 administering entity, including women, HONORABLY DISCHARGED VETERAN and
45 minority persons experienced in business management, business develop-
46 ment, commercial lending, entrepreneurship, or in the operation of a
47 for-profit business.
48 (c) Agreements entered into pursuant to paragraph (b) of this subdivi-
49 sion shall be governed by paragraphs (d) through (h) of subdivision two
50 of this section, and minority, HONORABLY DISCHARGED VETERAN and women
51 revolving loan trust fund accounts and administrative expenses trust
52 fund accounts shall be established in a similar fashion for entities
53 selected to administer micro-loan funds pursuant to this subdivision.
54 (4) Minority, HONORABLY DISCHARGED VETERAN and women contracting
55 program. For the purpose of establishing a comprehensive program to
56 assist minority, HONORABLY DISCHARGED VETERAN and women contractors, the
A. 4418 26
1 corporation may provide loans, loan guarantees, technical assistance and
2 bonding assistance, the corporation may enter into cooperative agree-
3 ments with cities, counties, municipalities, authorities, agencies,
4 federally and state chartered credit unions in New York state and feder-
5 ally insured banking organizations and financial institutions for such
6 purposes.
7 (a) To be eligible for a contractor loan, the borrower must have
8 either (i) a construction contract with, or a contract to provide goods
9 or services to, a governmental entity or authority, (ii) a subcontract
10 on a government-sponsored construction contract, (iii) a contract or
11 subcontract on a [government sponsored] GOVERNMENT-SPONSORED residential
12 project, or (iv) a contract or subcontract on a construction project
13 previously approved by the corporation pursuant to section ten of this
14 act.
15 (b) The corporation shall provide technical assistance specifically
16 oriented to minority, HONORABLY DISCHARGED VETERAN and women-owned
17 government contractors as part of its comprehensive technical assistance
18 program.
19 (c) The corporation is authorized to provide assistance through the
20 creation of, or assistance to, a minority, HONORABLY DISCHARGED VETERAN
21 and women bonding guarantee program to enable minority, HONORABLY
22 DISCHARGED VETERAN and women contractors and subcontractors to meet
23 payment or performance bonding requirements.
24 (i) Through such program, assistance in the form of working capital
25 loans and loan guarantees pursuant to subdivision six of this section
26 may also be provided to minority, HONORABLY DISCHARGED VETERAN and women
27 contractors and subcontractors who have secured contracts by participat-
28 ing in the program.
29 (ii) The corporation shall either establish criteria for the bonding
30 guarantee program and for any required escrow funds which shall include
31 detailed provisions for eligibility; or if the corporation is providing
32 assistance to a program other than one established by the corporation,
33 review and approve the criteria established for such other program.
34 (5) Direct financial assistance for [minority-] MINORITY, HONORABLY
35 DISCHARGED VETERAN and women-owned businesses. For the purpose of estab-
36 lishing a program to provide direct financial assistance to [minority-]
37 MINORITY, HONORABLY DISCHARGED VETERAN and women-owned businesses, the
38 corporation is authorized to provide assistance in the form of:
39 (a) Business development loans and loan guarantees pursuant to subdi-
40 vision six of this section to eligible enterprises for the acquisition
41 or improvement of real property, machinery, equipment or working capi-
42 tal, provided that to be eligible for a business development loan, the
43 borrowers must have been in business for at least three years and
44 provided that the loans must be in an amount equal to or in excess of
45 fifty thousand dollars;
46 (b) Franchise loans to eligible enterprises seeking to acquire or
47 expand franchises of nationally recognized corporations, provided that
48 disbursements by the corporation of such loans shall be conditioned on
49 obtaining such franchises;
50 (c) Equity assistance for eligible minority, HONORABLY DISCHARGED
51 VETERAN and women-owned enterprises to match equity contributions to
52 such enterprises by financial institutions and community development
53 equity capital funds, provided, however, that such assistance shall be
54 targeted to start-up and early stage enterprises in the manufacturing,
55 retail and service sectors located in economically distressed areas.
A. 4418 27
1 (6) Deposits and loan guarantees. For the purpose of encouraging
2 private financial institutions to make loans to eligible enterprises
3 pursuant to this section for any of the eligible projects pursuant to
4 subdivisions four and five of this section, the corporation is author-
5 ized to:
6 (a) Make linked deposits of funds into federally and state chartered
7 credit unions in New York state, in order to encourage such organiza-
8 tions to make small loans to minority, HONORABLY DISCHARGED VETERAN and
9 women-owned businesses; and
10 (b) Provide loan guarantees to private financial institutions for
11 loans made to eligible [minority-] MINORITY, HONORABLY DISCHARGED VETER-
12 AN and women-owned businesses pursuant to this subdivision for eligible
13 projects, provided that the guarantee shall be at least fifty percent
14 backed by funds of the corporation. Any such loan guaranteed by the
15 corporation shall be made to borrowers that are approved by the corpo-
16 ration and substantially meet the underwriting criteria the credit union
17 or financial institution customarily applies to similar borrowers for
18 similar loans supported by similar guarantees, and no guaranteed loan
19 funds shall be disbursed until the corporation has received, reviewed
20 and concurred, in writing, with the recommendation of the credit union
21 or banking or financial institution to make a loan.
22 (7) Minority, HONORABLY DISCHARGED VETERAN and women small business
23 incubator program.
24 (a) The corporation shall establish a minority and women small busi-
25 ness incubator program for the purpose of providing financial support
26 for the creation of incubators to nurture minority, HONORABLY DISCHARGED
27 VETERAN and women-owned business enterprises with growth potential.
28 (b) Under this subdivision the corporation is authorized to provide
29 low-interest loans and grants for construction financing and permanent
30 financing of up to seventy-five percent of project costs up to a maximum
31 of six hundred fifty thousand dollars per project, provided that the
32 total amount of grant assistance provided pursuant to this paragraph
33 shall not exceed twenty percent of an appropriation provided for the
34 purposes of this section.
35 (c) Incubator projects eligible for such assistance shall involve the
36 renovation or reconstruction of existing facilities or the acquisition
37 of equipment, except that construction shall be allowable in cases in
38 which an applicant can demonstrate to the satisfaction of the corpo-
39 ration that an existing facility is unavailable in the area to be served
40 by the new incubator facility.
41 (d) Incubator projects are not eligible to receive loans for the
42 purpose of covering operating costs or supplying incubator support
43 services, except that incubators in their first eighteen months of oper-
44 ation may receive one-time grants not to exceed forty thousand dollars,
45 which costs may include administrative costs of employing a resident
46 administrator/advisor to the incubator, provided that the corporation
47 shall not expend a sum greater than two hundred fifty thousand dollars
48 in any one state fiscal year, or so much as may be specifically appro-
49 priated for this purpose.
50 (e) Eligible incubator projects shall be required to demonstrate to
51 the corporation's satisfaction:
52 (i) public or private support and involvement sufficient to complete
53 the renovation of existing facilities or the construction of new facili-
54 ties and the acquisition of equipment;
55 (ii) significant community support for the project;
56 (iii) the existence of prospective tenants for such incubator space;
A. 4418 28
1 (iv) demand for such incubator space, which may include evidence of
2 the unavailability of suitable space for prospective tenants at appro-
3 priate rental or lease costs in the community in which such prospective
4 tenants are located; and
5 (v) the inability of the project to occur without financial assistance
6 from the corporation.
7 (f) The corporation shall establish criteria for eligibility for fund-
8 ing for incubator projects, including but not limited to the following:
9 (i) the project must be designed to provide low-cost space and support
10 services to incubator tenants, coordination with other sources of
11 assistance and flexible leasing arrangements for tenants;
12 (ii) the project sponsors must provide a management plan and a busi-
13 ness plan for operating the incubator satisfactory to the corporation;
14 and
15 (iii) the project gives preference for incubator space and assistance
16 to [minority-] MINORITY, HONORABLY DISCHARGED VETERAN and women-owned
17 businesses which currently receive, or have received, assistance from
18 the corporation pursuant to this section and to incubator projects
19 proposed to be located in economically distressed areas.
20 (8) [Minority-] MINORITY, HONORABLY DISCHARGED VETERAN and women-owned
21 business technical assistance program. (a) The corporation shall estab-
22 lish a comprehensive technical assistance program within the minority,
23 HONORABLY DISCHARGED VETERAN and women business development office, in
24 cooperation with the department of economic development's division of
25 [minority-] MINORITY, HONORABLY DISCHARGED VETERAN and women-business
26 development established pursuant to article [four-A] 4-A of the economic
27 development law, to provide technical assistance to [minority-] MINORI-
28 TY, HONORABLY DISCHARGED VETERAN and women-owned business enterprises
29 and to prospective [minority-] MINORITY, HONORABLY DISCHARGED VETERAN
30 and women-business entrepreneurs through third party service providers,
31 which assistance shall include, but not be limited to:
32 (i) technical assistance in development and execution of business
33 plans, including the formation of, acquisition of, management of, or
34 diversification of a [minority-] MINORITY, HONORABLY DISCHARGED VETERAN
35 or women-owned business enterprise;
36 (ii) technical assistance with applications for obtaining funds from
37 public and private financing sources;
38 (iii) technical assistance in the development of a working capital
39 budget;
40 (iv) referrals to other providers of technical assistance to [minori-
41 ty-] MINORITY, HONORABLY DISCHARGED VETERAN and women-owned businesses
42 and minority, HONORABLY DISCHARGED VETERAN and women entrepreneurs,
43 where appropriate, including the entrepreneurial assistance program
44 established pursuant to article [nine] 9 of the economic development
45 law; and
46 (v) technical assistance through education programs directed primarily
47 at women, HONORABLY DISCHARGED VETERAN and minority entrepreneurs.
48 (b) Technical assistance may be provided through direct corporate
49 support, through grants to or contracts with service providers or
50 governmental entities, and [minority-] MINORITY, HONORABLY DISCHARGED
51 VETERAN and women-owned business enterprises and individuals.
52 (9) Priorities. The corporation shall give priority to applications
53 for assistance pursuant to this section in which the business seeking
54 such assistance indicates a commitment to first consider persons eligi-
55 ble to participate in federal job training partnership act (P.L. 97-300)
56 programs.
A. 4418 29
1 (10) Non-application of certain provisions. The provisions of section
2 ten and subdivision two of section sixteen of this act shall not apply
3 to assistance or projects authorized pursuant to this section.
4 (11) Rules and regulations. The corporation shall, assisted by the
5 commissioner of economic development and in consultation with the
6 department of economic development, promulgate rules and regulations in
7 accordance with the state administrative procedure act. Such rules and
8 regulations shall be consistent with the program plan required by subdi-
9 vision [nineteen] 19 of section [one hundred] 100 of the economic devel-
10 opment law. No funds shall be disbursed under this program until such
11 rules and regulations have been reviewed and approved by the corpo-
12 ration. All assistance and projects funded under this program shall be
13 funded in accordance with the rules and regulations in effect on the
14 date the completed application for such assistance shall be received by
15 the corporation.
16 (12) Minority, HONORABLY DISCHARGED VETERAN and women business devel-
17 opment and lending account. Notwithstanding any provision of law to the
18 contrary, the corporation shall establish within the treasury of the
19 corporation a minority, HONORABLY DISCHARGED VETERAN and women business
20 development and lending account, and shall pay into such account any
21 moneys which may be made available to the corporation for this purpose
22 from any source including, but not limited to, moneys appropriated by
23 the state and any repayment of principal and interest on loans made by
24 the corporation pursuant to the [minority-] MINORITY, HONORABLY
25 DISCHARGED VETERAN and women-owned business development and lending
26 program. Funds in the minority, HONORABLY DISCHARGED VETERAN and women
27 business development and lending account, including funds from the
28 repayment of principal and interest on loans made by the corporation,
29 may be used for any form of assistance authorized hereunder. The amounts
30 deposited in the minority, HONORABLY DISCHARGED VETERAN and women busi-
31 ness development and lending account may not be interchanged with any
32 other account, but may be commingled with any other account for invest-
33 ment purposes. All loans disbursed by the corporation shall be repaid
34 into the account. The corporation shall enter into a written agreement
35 with the director of the budget for repayment, to the state comptroller
36 to the credit of the capital projects fund, of all moneys in the account
37 after a period of time to be determined by the corporation and the
38 director of the budget. The corporation shall transfer to the minority,
39 HONORABLY DISCHARGED VETERAN and women business development and lending
40 account: all moneys appropriated or reappropriated by New York state for
41 the minority, HONORABLY DISCHARGED VETERAN and women revolving loan
42 trust fund that have not been committed prior to the effective date of
43 the appropriation for the program in the current fiscal year, or become
44 uncommitted subsequent to the effective date of the program's appropri-
45 ation for the current fiscal year; and all repayments of principal and
46 interest on loans made by the corporation which are currently on deposit
47 in, or payable to, the minority, HONORABLY DISCHARGED VETERAN and women
48 business development and lending account.
49 (13) Standardization. The corporation shall streamline the review and
50 approval process for projects and wherever possible standardize all
51 relevant attendant documentation and legal documents.
52 (14) Approval cycle. The corporation shall approve eligible loans or
53 grants on at least a four-month cycle and shall give priority consider-
54 ation to the comparative degree of economic distress within the areas in
55 which the project is located. Other factors to be considered by the
56 corporation shall include the impact of the project on the employment
A. 4418 30
1 and economic condition of the community and the financial feasibility of
2 the project.
3 (15) Repayment. Notwithstanding the provisions of section [forty-a]
4 40-A of the state finance law and any other general or special law, no
5 written agreement under this program shall require repayment at any time
6 or on any terms inconsistent with the provisions of this act or the New
7 York state project finance agency act; except, however, that the corpo-
8 ration may make grants to projects using funds appropriated for this
9 purpose and that the repayment provision may not apply to such grants.
10 (16) Reports. The chairman of the corporation shall submit to the
11 director of the budget, the speaker of the assembly and the temporary
12 president of the senate an evaluation of the effectiveness of the
13 program prepared by an entity independent of the corporation. The corpo-
14 ration shall select the program evaluator through a request for proposal
15 process. Such evaluation shall determine whether the assistance provided
16 has enhanced the economic condition of assisted companies or communi-
17 ties, and shall make recommendation for improvements which would make
18 the program more effective. Such evaluation shall be submitted by
19 September first, nineteen hundred ninety-five and September first every
20 two years thereafter.
21 S 30. Subparagraphs (viii) and (x) of paragraph (e) of subdivision 7
22 of section 16-d of section 1 of chapter 174 of the laws of 1968, consti-
23 tuting the New York state urban development corporation act, as added by
24 chapter 169 of the laws of 1994, are amended to read as follows:
25 (viii) export, marketing, procurement and subcontracting assistance to
26 small and medium-sized industrial firms, including [minority-] MINORITY,
27 HONORABLY DISCHARGED VETERAN and women-owned businesses, and to flexible
28 manufacturing networks, and programs to assist regional and multi-county
29 business marketing and procurement programs;
30 (x) business planning, management assistance and counseling, and
31 financial packaging assistance to small and medium-sized industrial
32 firms, including [minority-] MINORITY, HONORABLY DISCHARGED VETERAN and
33 women-owned businesses, flexible manufacturing networks, and new enter-
34 prises and small businesses, including the establishment of neighbor-
35 hood-based business service centers designed to deliver comprehensive
36 technical assistance to new and small businesses in specific communities
37 and neighborhoods;
38 S 31. Clause (B) of subparagraph (i) of paragraph (h) of subdivision 8
39 of section 16-d of section 1 of chapter 174 of the laws of 1968, consti-
40 tuting the New York state urban development corporation act, as added by
41 chapter 169 of the laws of 1994 and as further amended by section 15 of
42 part GG of chapter 63 of the laws of 2000, is amended to read as
43 follows:
44 (B) community based local development corporations, industrial devel-
45 opment agencies, or other not-for-profit entities which serve a munici-
46 pality in which an empire zone has been established and which, as one of
47 their primary purposes, provide services and assistance to business
48 enterprises located or to be located in such empire zone, including
49 [minority-] MINORITY, HONORABLY DISCHARGED VETERAN and women-owned busi-
50 nesses;
51 S 32. Subparagraph (vi) of paragraph (c) of subdivision 10 of section
52 16-e of section 1 of chapter 174 of the laws of 1968, constituting the
53 New York state urban development corporation act, as added by chapter
54 169 of the laws of 1994, is amended to read as follows:
A. 4418 31
1 (vi) management and procurement assistance to small business, includ-
2 ing [minority-] MINORITY, HONORABLY DISCHARGED VETERAN and women-owned
3 businesses;
4 S 33. Paragraph (d) of subdivision 18 of section 16-e of section 1 of
5 chapter 174 of the laws of 1968, constituting the New York state urban
6 development corporation act, as added by chapter 169 of the laws of
7 1994, is amended to read as follows:
8 (d) The participation of [minority-] MINORITY, HONORABLY DISCHARGED
9 VETERAN and women-owned businesses;
10 S 34. The opening paragraph, paragraph (a) and the opening paragraph
11 and subparagraph (iv) of paragraph (b) of subdivision 1 of section 16-f
12 of section 1 of chapter 174 of the laws of 1968, constituting the New
13 York state urban development corporation act, as added by chapter 169 of
14 the laws of 1994, are amended to read as follows:
15 There is hereby created a state bonding guarantee assistance program
16 to enable small businesses, [and] minority-owned, HONORABLY DISCHARGED
17 VETERAN-OWNED and women-owned business enterprises, certified as a
18 minority-owned, HONORABLY DISCHARGED VETERAN-OWNED or women-owned busi-
19 ness enterprise pursuant to article [fifteen-A] 15-A of the executive
20 law, to meet payment and/or performance bonding requirements by provid-
21 ing additional financial backing needed to induce a surety company to
22 issue a bond for construction projects, including but not limited to,
23 government sponsored, transportation related construction projects. For
24 purposes of this section, the term small business shall have the same
25 meaning as defined in section [one hundred thirty-one] 131 of the
26 economic development law. Such program shall give preference to minori-
27 ty-owned, HONORABLY DISCHARGED VETERAN-OWNED and women-owned business
28 enterprises and shall:
29 (a) Make available funds to surety companies providing bonds to small
30 businesses [and minority- owned], MINORITY-OWNED, HONORABLY DISCHARGED
31 VETERAN-OWNED or women-owned business enterprises in an amount equal to
32 a percentage not to exceed fifty percent of the face value of bonds
33 issued by the surety.
34 Provide technical assistance in completing bonding applications for
35 small businesses [and], minority-owned, HONORABLY DISCHARGED
36 VETERAN-OWNED or women-owned business enterprises seeking to become
37 eligible for bonding in preparation for bidding on construction
38 projects, including transportation related projects. The corporation
39 shall provide and may refer such businesses to the department of econom-
40 ic development for technical assistance as such businesses may need,
41 including but not limited to:
42 (iv) assistance from the regional offices of the department of econom-
43 ic development, pursuant to article [eleven] 11 of the economic develop-
44 ment law, and the entrepreneurial assistance program, pursuant to arti-
45 cle [nine] 9 of such law, and any other such program receiving state
46 funds from this act or the department of economic development or any
47 other state agency that is intended to provide technical assistance to
48 small businesses [and], minority-owned, HONORABLY DISCHARGED
49 VETERAN-OWNED and women-owned small business enterprises.
50 S 35. Paragraph (g) of subdivision 1 of section 16-i of section 1 of
51 chapter 174 of the laws of 1968, constituting the New York state urban
52 development corporation act, as amended by chapter 471 of the laws of
53 2001, is amended to read as follows:
54 (g) Assistance to local or regional organizations to facilitate
55 financing for small- and medium-sized business, including [minority-]
56 MINORITY, HONORABLY DISCHARGED VETERAN and women-owned business enter-
A. 4418 32
1 prises through flexible financing programs, including, but not limited
2 to, loan loss reserve and revolving loan programs, working capital
3 loans, working capital loan guarantees, or other flexible financing
4 programs that leverage traditional financing;
5 S 36. Subparagraph (i) of paragraph (c) of subdivision 2 of section
6 16-k of section 1 of chapter 174 of the laws of 1968, constituting the
7 New York state urban development corporation act, as amended by chapter
8 103 of the laws of 2011, is amended to read as follows:
9 (i) provide a plan to the corporation or its agent for the marketing
10 of the capital access program to small businesses, including those in
11 highly distressed areas and to [minority-] MINORITY, HONORABLY
12 DISCHARGED VETERAN and women-owned businesses, with appropriate lending
13 objectives identified by the financial institution for such areas and
14 businesses;
15 S 37. Paragraph (g) of subdivision 1 of section 16-m of section 1 of
16 chapter 174 of the laws of 1968, constituting the New York state urban
17 development corporation act, as added by section 1 of part N of chapter
18 84 of the laws of 2002, is amended to read as follows:
19 (g) Assistance to local or regional organizations to facilitate
20 financing for small- and medium-sized business, including [minority-]
21 MINORITY, HONORABLY DISCHARGED VETERAN and women-owned business enter-
22 prises through flexible financing programs, including, but not limited
23 to, loan loss reserve and revolving loan programs, working capital
24 loans, working capital loan guarantees, or other flexible financing
25 programs that leverage traditional financing;
26 S 38. Paragraph 1 of subdivision (c) of section 30 of section 1 of
27 chapter 174 of the laws of 1968, constituting the New York state urban
28 development corporation act, as amended by chapter 732 of the laws of
29 1990, is amended to read as follows:
30 (1) In addition to any other requirements imposed by the act or other-
31 wise regarding evaluations of programs administered by the corporation,
32 each evaluation shall include an analysis of the job creation effect of
33 such program, the number of small businesses that received assistance,
34 the number of minority, HONORABLY DISCHARGED VETERAN and women-owned
35 firms that received assistance, the number of projects undertaken in
36 distressed and highly distressed communities, and, if applicable, the
37 repayment experience of borrowers of funds from the corporation.
38 S 39. Paragraph 2 of subdivision (e) of section 30-a of section 1 of
39 chapter 174 of the laws of 1968, constituting the New York state urban
40 development corporation act, as added by section 2 of part M1 of chapter
41 62 of the laws of 2003, is amended to read as follows:
42 (2) require projects to be financed out of the empire state economic
43 development fund be approved generally in amounts which are proportional
44 to amounts appropriated for the urban and community development program,
45 and the minority, HONORABLY DISCHARGED VETERAN and women-owned business
46 development and lending program;
47 S 40. The section heading, the opening paragraph of subdivision 1, the
48 opening paragraph of subdivision 2, paragraph (a) of subdivision 3 and
49 subdivisions 4 and 5 of section 38 of section 1 of chapter 174 of the
50 laws of 1968, constituting the New York state urban development corpo-
51 ration act, as amended by chapter 169 of the laws of 1994, are amended
52 to read as follows:
53 Small business [and], minority-owned, HONORABLY DISCHARGED
54 VETERAN-OWNED and women-owned business enterprises transportation capi-
55 tal assistance and guaranteed loan program.
A. 4418 33
1 To provide financial assistance to small business [and], minority-
2 owned, HONORABLY DISCHARGED VETERAN-OWNED and women-owned business
3 enterprises engaged in government sponsored, transportation related
4 construction projects, the corporation shall establish a small business
5 [and], minority-owned, HONORABLY DISCHARGED VETERAN-OWNED and women-
6 owned business enterprise transportation capital assistance revolving
7 loan fund which shall provide loans or loan guarantees to small business
8 [and], minority-owned, HONORABLY DISCHARGED VETERAN-OWNED and women-
9 owned business enterprises. For purposes of this section:
10 Such loans, or loan guarantees for loans made by federally and state
11 chartered credit institutions, financial institutions, and federally
12 insured banking organizations to small business [and], minority-owned,
13 HONORABLY DISCHARGED VETERAN-OWNED and women-owned business enterprises,
14 shall be used to:
15 (a) To be eligible for such loans or loan guarantees (i) a minority-
16 owned, HONORABLY DISCHARGED VETERAN-OWNED or women-owned business enter-
17 prise must be certified as a minority-owned, HONORABLY DISCHARGED VETER-
18 AN-OWNED or women-owned business enterprise pursuant to article 15-A of
19 the executive law; and (ii) a small business or a minority-owned, HONOR-
20 ABLY DISCHARGED VETERAN-OWNED or women-owned business enterprise shall
21 have a contract or sub-contract to provide goods or services related to
22 a government sponsored, transportation related construction project.
23 4. The corporation shall give preference to minority-owned, HONORABLY
24 DISCHARGED VETERAN-OWNED and women-owned business enterprises in making
25 such loans and loan guarantees and shall establish such other criteria
26 as it may deem necessary for this program and for any required amount
27 that shall be held in reserve for any guarantees made under this
28 program.
29 5. Notwithstanding any inconsistent provision of law, general, special
30 or local, including pursuant to capital projects budget appropriations
31 or reappropriations, where applicable, the corporation is hereby author-
32 ized to enter into such agreements as may be necessary for the operation
33 and administration of a small business [and], minority-owned, HONORABLY
34 DISCHARGED VETERAN-OWNED and women-owned business enterprises transpor-
35 tation capital assistance and guaranteed loan program.
36 S 41. This act shall take effect immediately; provided, however, that
37 the amendments to article 15-A of the executive law made by sections two
38 through six of this act shall not affect the expiration of such article
39 and shall be deemed to expire therewith; and provided, further that the
40 amendments to section 136-b of the state finance law made by section
41 seven of this act shall not affect the expiration of such section and
42 shall be deemed to expire therewith; and provided further that the
43 amendments to sections 16-i and 16-m of section 1 of chapter 174 of the
44 laws of 1968, constituting the New York state urban development corpo-
45 ration act, made by sections thirty-five and thirty-seven, respectively,
46 of this act shall not affect the expirations of such sections and shall
47 be deemed to expire therewith.