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
       A. 4418                             2
    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-
       A. 4418                             3
    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.
       A. 4418                             4
    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
       A. 4418                             5
    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-
       A. 4418                             6
    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
       A. 4418                             7
    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,
       A. 4418                             8
    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
       A. 4418                             9
    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
       A. 4418                            10
    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;
       A. 4418                            13
    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.