Bill Text: NY A03692 | 2017-2018 | General Assembly | Introduced

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Bill Title: Relates to restricting the use of economic development funds to business entities where the CEO of such business entity earns a salary which is 25 times greater than that of the lowest paid employee.

Spectrum: Partisan Bill (Democrat 2-0)

Status: (Introduced - Dead) 2018-01-03 - referred to economic development [A03692 Detail]

Download: New_York-2017-A03692-Introduced.html

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                STATE OF NEW YORK
        ________________________________________________________________________
                                          3692
                               2017-2018 Regular Sessions
                   IN ASSEMBLY
                                    January 30, 2017
                                       ___________
        Introduced by M. of A. GLICK, GOTTFRIED -- read once and referred to the
          Committee on Economic Development
        AN  ACT  to  amend  the  economic development law and the New York state
          urban development corporation act, in relation to limiting the use  of
          economic development funds to certain corporations
          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:
     1    Section 1. The economic development law is amended  by  adding  a  new
     2  section 107 to read as follows:
     3    §  107. Restrictions on economic development funding to certain corpo-
     4  rations. No economic development loans, grants or  other  funds  may  be
     5  provided under the provisions of this chapter to any person, firm, part-
     6  nership  or  corporation where the chief executive officer of such busi-
     7  ness entity receives a  salary,  including  all  remuneration,  bonuses,
     8  stock  and  benefits, which is more than twenty-five times the amount of
     9  the salary of the lowest paid employee  of  such  business  entity.  The
    10  salary  of  any  part  time  employee  shall be determined on a prorated
    11  basis, and calculated as if such employee was employed  full  time.  The
    12  commissioner shall request and examine the payroll records and any other
    13  records  of  any business entity which receives or applies for any loan,
    14  grant or economic development  funding  under  this  chapter  which  are
    15  necessary to determine the salary amounts pursuant to this section.
    16    §  2.  Section  1 of chapter 174 of the laws of 1968, constituting the
    17  New York state urban development corporation act, is amended by adding a
    18  new section 5-a to read as follows:
    19    § 5-a. Restrictions on economic development funding to certain  corpo-
    20  rations.  No  economic  development  loans, grants or other funds may be
    21  provided under the provisions of this act to any person, firm,  partner-
    22  ship  or  corporation where the chief executive officer of such business
    23  entity receives a salary, including all remuneration, bonuses, stock and
    24  benefits, which is more than twenty-five times the amount of the  salary
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD03088-01-7
        A. 3692                             2
     1  of  the  lowest paid employee of such business entity. The salary of any
     2  part time employee shall be determined on a prorated basis,  and  calcu-
     3  lated as if such employee was employed full time. The board of directors
     4  of the corporation shall request and examine the payroll records and any
     5  other  records  of any business entity which receives or applies for any
     6  loan, grant or economic development funding under  this  act  which  are
     7  necessary to determine the salary amounts pursuant to this section.
     8    §  3. This act shall take effect on the first of January next succeed-
     9  ing the date on which it shall have become a law.