Bill Text: NY S04205 | 2013-2014 | General Assembly | Introduced
Bill Title: Creates the "service connected disabled veteran owned business enterprise act" to promote such business enterprises.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2014-01-08 - REFERRED TO VETERANS, HOMELAND SECURITY AND MILITARY AFFAIRS [S04205 Detail]
Download: New_York-2013-S04205-Introduced.html
S T A T E O F N E W Y O R K
________________________________________________________________________
4205
2013-2014 Regular Sessions
I N S E N A T E
March 14, 2013
___________
Introduced by Sen. GOLDEN -- read twice and ordered printed, and when
printed to be committed to the Committee on Veterans, Homeland Securi-
ty and Military Affairs
AN ACT to amend the executive law, the state finance law, the arts and
cultural affairs law, the economic development law, the energy law,
the environmental conservation law, the labor law, the public authori-
ties law, the general municipal law, the banking law, the racing,
pari-mutuel wagering and breeding 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 service connected disabled 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 "service connected disabled veteran owned business enterprise act".
3 S 2. Subdivisions 1, 5, 6 and 7 of section 4-a of the executive law,
4 as added by chapter 175 of the laws of 2010, are amended to read as
5 follows:
6 1. Advise and assist the governor in formulating policies relating to
7 workforce diversity and minority, SERVICE CONNECTED DISABLED VETERANS
8 and women's business enterprises;
9 5. Serve as the governor's liaison with organizations representing
10 minority, SERVICE CONNECTED DISABLED VETERANS and women-owned business
11 enterprises and other organizations related to diversity in the state
12 workforce and in state contracting;
13 6. Serve as the governor's liaison to the small business advisory
14 council for issues related to the creation of a diverse workforce and
15 state procurement practices relating to minority, SERVICE CONNECTED
16 DISABLED VETERANS and women-owned business enterprises;
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD04501-01-3
S. 4205 2
1 7. Review and consult with the director of minority and women's busi-
2 ness development regarding policies relating to minority, SERVICE
3 CONNECTED DISABLED VETERANS and women-owned business enterprise contract
4 specialists at state agencies; and
5 S 3. The article heading of article 15-A of the executive law, as
6 added by chapter 261 of the laws of 1988, is amended to read as follows:
7 PARTICIPATION BY MINORITY GROUP MEMBERS, SERVICE CONNECTED DISABLED
8 VETERANS AND WOMEN WITH RESPECT TO STATE CONTRACTS
9 S 4. Subdivisions 1 and 9 of section 310 of the executive law, as
10 added by chapter 261 of the laws of 1988, are amended and a new subdivi-
11 sion 23 is added to read as follows:
12 1. "Certified business" shall mean a business verified as a minority,
13 SERVICE CONNECTED DISABLED VETERAN or women-owned business enterprise
14 pursuant to section three hundred fourteen of this article.
15 9. "Utilization plan" shall mean a plan prepared by a contractor and
16 submitted in connection with a proposed state contract. The utilization
17 plan shall identify certified minority, SERVICE CONNECTED DISABLED
18 VETERAN or women-owned business enterprises, if known, that have commit-
19 ted to perform work in connection with the proposed state contract as
20 well as any such enterprises, if known, which the contractor intends to
21 use in connection with the contractor's performance of the proposed
22 state contract. The plan shall specifically contain a list, including
23 the name, address and telephone number, of each certified enterprise
24 with which the contractor intends to subcontract.
25 23. "SERVICE CONNECTED DISABLED VETERAN OWNED BUSINESS ENTERPRISE"
26 SHALL MEAN A BUSINESS ENTERPRISE, INCLUDING A SOLE PROPRIETORSHIP, PART-
27 NERSHIP OR CORPORATION THAT IS:
28 (A) AT LEAST FIFTY-ONE PERCENT OWNED BY ONE OR MORE UNITED STATES
29 CITIZENS OR PERMANENT RESIDENT ALIENS WHO ARE SERVICE CONNECTED DISABLED
30 VETERANS;
31 (B) AN ENTERPRISE IN WHICH THE OWNERSHIP INTEREST OF SUCH SERVICE
32 CONNECTED DISABLED VETERANS IS REAL, SUBSTANTIAL AND CONTINUING;
33 (C) AN ENTERPRISE IN WHICH SUCH SERVICE CONNECTED DISABLED VETERAN'S
34 OWNERSHIP HAS AND EXERCISES THE AUTHORITY TO CONTROL INDEPENDENTLY THE
35 DAY-TO-DAY BUSINESS DECISIONS OF THE ENTERPRISE;
36 (D) AN ENTERPRISE AUTHORIZED TO DO BUSINESS IN THIS STATE AND INDE-
37 PENDENTLY OWNED AND OPERATED.
38 (E) SERVICE CONNECTED DISABLED VETERAN SHALL MEAN A PERSON (I) WHO
39 SERVED IN THE ACTIVE MILITARY, NAVAL, OR AIR SERVICE DURING A PERIOD OF
40 WAR AS DEFINED IN PARAGRAPH (F) OF THIS SUBDIVISION, OR WHO WAS A RECIP-
41 IENT OF THE ARMED FORCES EXPEDITIONARY MEDAL, NAVY EXPEDITIONARY MEDAL,
42 MARINE CORPS EXPEDITIONARY MEDAL, OR GLOBAL WAR ON TERRORISM EXPEDITION-
43 ARY MEDAL, AND WHO WAS DISCHARGED OR RELEASED THEREFROM UNDER OTHER THAN
44 DISHONORABLE CONDITIONS, (II) HAS BEEN AWARDED A DISABILITY RATING OF
45 FORTY PERCENT OR HIGHER FROM THE FEDERAL VETERAN'S ADMINISTRATION OR
46 FROM THE UNITED STATES DEPARTMENT OF DEFENSE, WHERE THAT DISABILITY WAS
47 INCURRED IN LINE OF DUTY IN THE ACTIVE MILITARY, NAVAL OR AIR SERVICE,
48 AS DOCUMENTED ACCORDING TO RULES AND REGULATIONS OF THE DIVISION OF
49 MILITARY AND NAVAL AFFAIRS.
50 (F) FOR THE PURPOSES OF THIS ARTICLE, SERVICE DURING TIME OF WAR IS
51 DEFINED AS FOLLOWS:
52 (I) THE INDIVIDUAL IN QUESTION WAS A RECIPIENT OF THE ARMED FORCES
53 EXPEDITIONARY MEDAL, THE NAVY EXPEDITIONARY MEDAL OR THE MARINE CORPS
54 EXPEDITIONARY MEDAL FOR PARTICIPATION IN OPERATIONS IN LEBANON FROM JUNE
55 FIRST, NINETEEN HUNDRED EIGHTY-THREE TO DECEMBER FIRST, NINETEEN HUNDRED
56 EIGHTY-SEVEN, IN GRENADA FROM OCTOBER TWENTY-THIRD, NINETEEN HUNDRED
S. 4205 3
1 EIGHTY-THREE TO NOVEMBER TWENTY-FIRST, NINETEEN HUNDRED EIGHTY-THREE, OR
2 IN PANAMA FROM DECEMBER TWENTIETH, NINETEEN HUNDRED EIGHTY-NINE TO JANU-
3 ARY THIRTY-FIRST, NINETEEN HUNDRED NINETY; OR
4 (II) THE INDIVIDUAL SERVED ON ACTIVE DUTY FOR NINETY DAYS OR MORE IN
5 THE ARMED FORCES OF THE UNITED STATES DURING ANY ONE OF THE FOLLOWING
6 WARS OR HOSTILITIES:
7 (1) IN THE SPANISH-AMERICAN WAR FROM THE TWENTY-FIRST DAY OF APRIL,
8 EIGHTEEN HUNDRED NINETY-EIGHT TO THE ELEVENTH DAY OF APRIL, EIGHTEEN
9 HUNDRED NINETY-NINE, INCLUSIVE;
10 (2) IN THE PHILIPPINE INSURRECTION OR THE CHINA RELIEF EXPEDITION FROM
11 THE ELEVENTH DAY OF APRIL, EIGHTEEN HUNDRED NINETY-NINE TO THE FOURTH
12 DAY OF JULY, NINETEEN HUNDRED TWO, INCLUSIVE;
13 (3) IN THE MEXICAN BORDER CAMPAIGN FROM THE NINTH DAY OF MAY, NINETEEN
14 HUNDRED SIXTEEN, TO THE FIFTH DAY OF APRIL, NINETEEN HUNDRED SEVENTEEN,
15 INCLUSIVE;
16 (4) IN WORLD WAR I FROM THE SIXTH DAY OF APRIL, NINETEEN HUNDRED
17 SEVENTEEN TO THE ELEVENTH DAY OF NOVEMBER, NINETEEN HUNDRED EIGHTEEN,
18 INCLUSIVE;
19 (5) IN WORLD WAR II FROM THE SEVENTH DAY OF DECEMBER, NINETEEN HUNDRED
20 FORTY-ONE TO THE THIRTY-FIRST DAY OF DECEMBER, NINETEEN HUNDRED
21 FORTY-SIX, INCLUSIVE;
22 (6) IN THE KOREAN HOSTILITIES FROM THE TWENTY-SEVENTH DAY OF JUNE,
23 NINETEEN HUNDRED FIFTY TO THE THIRTY-FIRST DAY OF JANUARY, NINETEEN
24 HUNDRED FIFTY-FIVE, INCLUSIVE;
25 (7) IN THE VIETNAM CONFLICT FROM THE TWENTY-SECOND DAY OF DECEMBER,
26 NINETEEN HUNDRED SIXTY-ONE TO THE SEVENTH DAY OF MAY, NINETEEN HUNDRED
27 SEVENTY-FIVE, INCLUSIVE; OR
28 (8) IN THE PERSIAN GULF CONFLICT FROM THE SECOND DAY OF AUGUST, NINE-
29 TEEN HUNDRED NINETY TO THE END OF SUCH CONFLICT.
30 S 5. Subdivision 1 and paragraphs (a), (d), (e) and (f) of subdivision
31 3 of section 311 of the executive law, subdivision 1 and paragraphs (d)
32 and (e) of subdivision 3 as amended by chapter 55 of the laws of 1992
33 and paragraphs (a) and (f) of subdivision 3 as added by chapter 261 of
34 the laws of 1988, are amended to read as follows:
35 1. The head of the division of minority and women's business develop-
36 ment shall be the director who shall be appointed by the governor and
37 hold office at the pleasure of the commissioner. It shall be the duty of
38 the director of the division of minority and women's business develop-
39 ment to assist the governor in the formulation and implementation of
40 laws and policies relating to minority, SERVICE CONNECTED DISABLED
41 VETERAN and women-owned business enterprises.
42 (a) to encourage and assist contracting agencies in their efforts to
43 increase participation by minority, SERVICE CONNECTED DISABLED VETERAN
44 and women-owned business enterprises on state contracts and subcontracts
45 so as to facilitate the award of a fair share of such contracts to them;
46 (d) to review periodically the practices and procedures of each
47 contracting agency with respect to compliance with the provisions of
48 this article, and to require them to file periodic reports with the
49 division of minority and women's business development as to the level of
50 minority, SERVICE CONNECTED DISABLED VETERAN and women-owned business
51 enterprises participation in the awarding of agency contracts for goods
52 and services;
53 (e) on January first of each year report to the governor and the
54 chairpersons of the senate finance and assembly ways and means commit-
55 tees on the level of minority, SERVICE CONNECTED DISABLED VETERAN and
56 women-owned business enterprises participating in each agency's
S. 4205 4
1 contracts for goods and services and on activities of the office and
2 effort by each contracting agency to promote employment of minority
3 group members, SERVICE CONNECTED DISABLED VETERANS and women, and to
4 promote and increase participation by certified businesses with respect
5 to state contracts and subcontracts so as to facilitate the award of a
6 fair share of state contracts to such businesses. The comptroller shall
7 assist the division in collecting information on the participation of
8 certified business for each contracting agency. Such report may recom-
9 mend new activities and programs to effectuate the purposes of this
10 article;
11 (f) to prepare and update periodically a directory of certified minor-
12 ity, SERVICE CONNECTED DISABLED VETERAN and women-owned business enter-
13 prises which shall, wherever practicable, be divided into categories of
14 labor, services, supplies, equipment, materials and recognized
15 construction trades and which shall indicate areas or locations of the
16 state where such enterprises are available to perform services;
17 S 6. 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, SERVICE CONNECTED DISABLED VETERAN
20 and women-owned business enterprises. 1. Goals and requirements for
21 agencies and contractors. Each agency shall structure procurement
22 procedures for contracts made directly or indirectly to minority,
23 SERVICE CONNECTED DISABLED VETERAN and women-owned business enterprises,
24 in accordance with the findings of the two thousand ten disparity study,
25 consistent with the purposes of this article, to attempt to achieve the
26 following results 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.
S. 4205 5
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, SERVICE CONNECTED
6 DISABLED VETERAN and women-owned businesses shall be given the opportu-
7 nity 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, SERVICE CONNECTED DISABLED VETERAN and
10 women-owned certified businesses may best bid to actively and affirma-
11 tively promote and assist their participation in the performance of
12 state contracts so as to facilitate the agency's achievement of the
13 maximum feasible portion of the goals for state contracts to such busi-
14 nesses.
15 2-a. The director shall promulgate rules and regulations that will
16 accomplish the following:
17 (a) provide for the certification and decertification of minority,
18 SERVICE CONNECTED DISABLED VETERAN and women-owned business enterprises
19 for all agencies through a single process that meets applicable require-
20 ments;
21 (b) require that each contract solicitation document accompanying each
22 solicitation set forth the expected degree of minority, SERVICE
23 CONNECTED DISABLED VETERAN and women-owned business enterprise partic-
24 ipation based, in part, on:
25 (i) the potential subcontract opportunities available in the prime
26 procurement contract; and
27 (ii) the availability, as contained within the study, of certified
28 minority, SERVICE CONNECTED DISABLED VETERAN and women-owned business
29 enterprises to respond competitively to the potential subcontract oppor-
30 tunities;
31 (c) require that each agency provide a current list of certified
32 minority business enterprises to each prospective contractor;
33 (d) allow a contractor that is a certified minority-owned, SERVICE
34 CONNECTED DISABLED VETERAN-OWNED or women-owned business enterprise to
35 use the work it performs to meet requirements for use of certified
36 minority-owned, SERVICE CONNECTED DISABLED VETERAN-OWNED or women-owned
37 business enterprises as subcontractors;
38 (e) provide for joint ventures, which a bidder may count toward meet-
39 ing its minority, SERVICE CONNECTED DISABLED VETERAN and women-owned
40 business enterprise participation;
41 (f) consistent with subdivision six of this section, provide for
42 circumstances under which an agency may waive obligations of the
43 contractor relating to minority, SERVICE CONNECTED DISABLED VETERAN and
44 women-owned business enterprise participation;
45 (g) require that an agency verify that minority, SERVICE CONNECTED
46 DISABLED VETERAN and women-owned business enterprises listed in a
47 successful bid are actually participating to the extent listed in the
48 project for which the bid was submitted;
49 (h) provide for the collection of statistical data by each agency
50 concerning actual minority, SERVICE CONNECTED DISABLED VETERAN and
51 women-owned business enterprise participation; and
52 (i) require each agency to consult the most current disparity study
53 when calculating agency-wide and contract specific participation goals
54 pursuant to this article.
55 3. Solely for the purpose of providing the opportunity for meaningful
56 participation by certified businesses in the performance of state
S. 4205 6
1 contracts as provided in this section, state contracts shall include
2 leases of real property by a state agency to a lessee where: the terms
3 of such leases provide for the construction, demolition, replacement,
4 major repair or renovation of real property and improvements thereon by
5 such lessee; and the cost of such construction, demolition, replacement,
6 major repair or renovation of real property and improvements thereon
7 shall exceed the sum of one hundred thousand dollars. Reports to the
8 director pursuant to section three hundred fifteen of this article shall
9 include activities with respect to all such state contracts. Contracting
10 agencies shall include or require to be included with respect to state
11 contracts for the acquisition, construction, demolition, replacement,
12 major repair or renovation of real property and improvements thereon,
13 such provisions as may be necessary to effectuate the provisions of this
14 section in every bid specification and state contract, including, but
15 not limited to: (a) provisions requiring contractors to make a good
16 faith effort to solicit active participation by enterprises identified
17 in the directory of certified businesses provided to the contracting
18 agency by the office; (b) requiring the parties to agree as a condition
19 of entering into such contract, to be bound by the provisions of section
20 three hundred sixteen of this article; and (c) requiring the contractor
21 to include the provisions set forth in paragraphs (a) and (b) of this
22 subdivision in every subcontract in a manner that the provisions will be
23 binding upon each subcontractor as to work in connection with such
24 contract. Provided, however, that no such provisions shall be binding
25 upon contractors or subcontractors in the performance of work or the
26 provision of services that are unrelated, separate or distinct from the
27 state contract as expressed by its terms, and nothing in this section
28 shall authorize the director or any contracting agency to impose any
29 requirement on a contractor or subcontractor except with respect to a
30 state contract.
31 4. In the implementation of this section, the contracting agency shall
32 (a) consult the findings contained within the disparity study evidencing
33 relevant industry specific availability of certified businesses;
34 (b) implement a program that will enable the agency to evaluate each
35 contract to determine the appropriateness of the goal pursuant to subdi-
36 vision one of this section;
37 (c) consider where practicable, the severability of construction
38 projects and other bundled contracts; and
39 (d) consider compliance with the requirements of any federal law
40 concerning opportunities for minority, SERVICE CONNECTED DISABLED VETER-
41 AN and women-owned business enterprises which effectuates the purpose of
42 this section. The contracting agency shall determine whether the imposi-
43 tion of the requirements of any such law duplicate or conflict with the
44 provisions hereof and if such duplication or conflict exists, the
45 contracting agency shall waive the applicability of this section to the
46 extent of such duplication or conflict.
47 5. (a) Contracting agencies shall administer the rules and regulations
48 promulgated by the director in a good faith effort to meet the maximum
49 feasible portion of the agency's goals adopted pursuant to this article
50 and the regulations of the director. Such rules and regulations: shall
51 require a contractor to submit a utilization plan after bids are opened,
52 when bids are required, but prior to the award of a state contract;
53 shall require the contracting agency to review the utilization plan
54 submitted by the contractor and to post the utilization plan and any
55 waivers of compliance issued pursuant to subdivision six of this section
56 on the website of the contracting agency within a reasonable period of
S. 4205 7
1 time as established by the director; shall require the contracting agen-
2 cy to notify the contractor in writing within a period of time specified
3 by the director as to any deficiencies contained in the contractor's
4 utilization plan; shall require remedy thereof within a period of time
5 specified by the director; shall require the contractor to submit peri-
6 odic compliance reports relating to the operation and implementation of
7 any utilization plan; shall not allow any automatic waivers but shall
8 allow a contractor to apply for a partial or total waiver of the minori-
9 ty, SERVICE CONNECTED DISABLED VETERAN and women-owned business enter-
10 prise participation requirements pursuant to subdivisions six and seven
11 of this section; shall allow a contractor to file a complaint with the
12 director pursuant to subdivision eight of this section in the event a
13 contracting agency has failed or refused to issue a waiver of the minor-
14 ity, SERVICE CONNECTED DISABLED VETERAN and women-owned business enter-
15 prise participation requirements or has denied such request for a waiv-
16 er; and shall allow a contracting agency to file a complaint with the
17 director pursuant to subdivision nine of this section in the event a
18 contractor is failing or has failed to comply with the minority, SERVICE
19 CONNECTED DISABLED VETERAN and women-owned business enterprise partic-
20 ipation requirements set forth in the state contract where no waiver has
21 been granted.
22 (b) The rules and regulations promulgated pursuant to this subdivision
23 regarding a utilization plan shall provide that where enterprises have
24 been identified within a utilization plan, a contractor shall attempt,
25 in good faith, to utilize such enterprise at least to the extent indi-
26 cated. A contracting agency may require a contractor to indicate, within
27 a utilization plan, what measures and procedures he or she intends to
28 take to comply with the provisions of this article, but may not require,
29 as a condition of award of, or compliance with, a contract that a
30 contractor utilize a particular enterprise in performance of the
31 contract.
32 (c) Without limiting other grounds for the disqualification of bids or
33 proposals on the basis of non-responsibility, a contracting agency may
34 disqualify the bid or proposal of a contractor as being non-responsible
35 for failure to remedy notified deficiencies contained in the contrac-
36 tor's utilization plan within a period of time specified in regulations
37 promulgated by the director after receiving notification of such defi-
38 ciencies from the contracting agency. Where failure to remedy any noti-
39 fied deficiency in the utilization plan is a ground for disqualifica-
40 tion, that issue and all other grounds for disqualification shall be
41 stated in writing by the contracting agency. Where the contracting agen-
42 cy states that a failure to remedy any notified deficiency in the utili-
43 zation plan is a ground for disqualification the contractor shall be
44 entitled to an administrative hearing, on a record, involving all
45 grounds stated by the contracting agency. Such hearing shall be
46 conducted by the appropriate authority of the contracting agency to
47 review the determination of disqualification. A final administrative
48 determination made following such hearing shall be reviewable in a
49 proceeding commenced under article seventy-eight of the civil practice
50 law and rules, provided that such proceeding is commenced within thirty
51 days of the notice given by certified mail return receipt requested
52 rendering such final administrative determination. Such proceeding shall
53 be commenced in the supreme court, appellate division, third department
54 and such proceeding shall be preferred over all other civil causes
55 except election causes, and shall be heard and determined in preference
56 to all other civil business pending therein, except election matters,
S. 4205 8
1 irrespective of position on the calendar. Appeals taken to the court of
2 appeals of the state of New York shall be subject to the same prefer-
3 ence.
4 6. Where it appears that a contractor cannot, after a good faith
5 effort, comply with the minority, SERVICE CONNECTED DISABLED VETERAN and
6 women-owned business enterprise participation requirements set forth in
7 a particular state contract, a contractor may file a written application
8 with the contracting agency requesting a partial or total waiver of such
9 requirements setting forth the reasons for such contractor's inability
10 to meet any or all of the participation requirements together with an
11 explanation of the efforts undertaken by the contractor to obtain the
12 required minority, SERVICE CONNECTED DISABLED VETERAN and women-owned
13 business enterprise participation. In implementing the provisions of
14 this section, the contracting agency shall consider the number and types
15 of minority, SERVICE CONNECTED DISABLED VETERAN and women-owned business
16 enterprises located in the region in which the state contract is to be
17 performed, the total dollar value of the state contract, the scope of
18 work to be performed and the project size and term. If, based on such
19 considerations, the contracting agency determines there is not a reason-
20 able availability of contractors on the list of certified business to
21 furnish services for the project, it shall issue a waiver of compliance
22 to the contractor. In making such determination, the contracting agency
23 shall first consider the availability of other business enterprises
24 located in the region and shall thereafter consider the financial abili-
25 ty of minority, SERVICE CONNECTED DISABLED VETERAN and women-owned busi-
26 nesses located outside the region in which the contract is to be
27 performed to perform the state contract.
28 7. For purposes of determining a contractor's good faith effort to
29 comply with the requirements of this section or to be entitled to a
30 waiver therefrom the contracting agency shall consider:
31 (a) whether the contractor has advertised in general circulation
32 media, trade association publications, and minority-focus, SERVICE
33 CONNECTED DISABLED VETERAN-FOCUS and women-focus media and, in such
34 event, (i) whether or not certified minority, SERVICE CONNECTED DISABLED
35 VETERAN or women-owned businesses which have been solicited by the
36 contractor exhibited interest in submitting proposals for a particular
37 project by attending a pre-bid conference; and
38 (ii) whether certified businesses which have been solicited by the
39 contractor have responded in a timely fashion to the contractor's solic-
40 itations for timely competitive bid quotations prior to the contracting
41 agency's bid date; and
42 (b) whether there has been written notification to appropriate certi-
43 fied businesses that appear in the directory of certified businesses
44 prepared pursuant to paragraph (f) of subdivision three of section three
45 hundred eleven of this article; and
46 (c) whether the contractor can reasonably structure the amount of work
47 to be performed under subcontracts in order to increase the likelihood
48 of participation by certified businesses.
49 8. In the event that a contracting agency fails or refuses to issue a
50 waiver to a contractor as requested within twenty days after having made
51 application therefor pursuant to subdivision six of this section or if
52 the contracting agency denies such application, in whole or in part, the
53 contractor may file a complaint with the director pursuant to section
54 three hundred sixteen of this article setting forth the facts and
55 circumstances giving rise to the contractor's complaint together with a
56 demand for relief. The contractor shall serve a copy of such complaint
S. 4205 9
1 upon the contracting agency by personal service or by certified mail,
2 return receipt requested. The contracting agency shall be afforded an
3 opportunity to respond to such complaint in writing.
4 9. If, after the review of a contractor's minority, SERVICE CONNECTED
5 DISABLED VETERAN and [women owned] WOMEN-OWNED business utilization plan
6 or review of a periodic compliance report and after such contractor has
7 been afforded an opportunity to respond to a notice of deficiency issued
8 by the contracting agency in connection therewith, it appears that a
9 contractor is failing or refusing to comply with the minority, SERVICE
10 CONNECTED DISABLED VETERAN and women-owned business participation
11 requirements as set forth in the state contract and where no waiver from
12 such requirements has been granted, the contracting agency may file a
13 written complaint with the director pursuant to section three hundred
14 sixteen of this article setting forth the facts and circumstances giving
15 rise to the contracting agency's complaint together with a demand for
16 relief. The contracting agency shall serve a copy of such complaint
17 upon the contractor by personal service or by certified mail, return
18 receipt requested. The contractor shall be afforded an opportunity to
19 respond to such complaint in writing.
20 S 7. Section 317 of the executive law, as added by chapter 261 of the
21 laws of 1988, is amended to read as follows:
22 S 317. Superseding effect of article with respect to state law. The
23 provisions of this article shall supersede any other provision of state
24 law, which expressly implements or mandates an equal employment opportu-
25 nity program or a program for securing participation by minority,
26 SERVICE CONNECTED DISABLED VETERAN and women-owned business enterprises,
27 concerning action to be taken by any party to a state contract, to which
28 the provisions of this article apply; provided, however, that the
29 provisions of any state law, not as hereinabove superseded, which
30 expressly implement or mandate such programs shall remain unimpaired by
31 the provisions of this article, except that the provisions of any such
32 law shall be construed as if the provisions of subdivisions five, six,
33 seven and eight of section three hundred thirteen and section three
34 hundred sixteen of this article were fully set forth therein and made
35 applicable only to complaints of violations under such provisions of law
36 occurring on or after September first, nineteen hundred eighty-eight;
37 provided, further, that nothing contained in this article shall be
38 construed to limit, impair, or otherwise restrict any state agency's
39 authority or discretionary power in effect prior to the enactment of
40 this article to establish or continue, by rule, regulation or resol-
41 ution, an equal opportunity program or a program for securing partic-
42 ipation of minority, SERVICE CONNECTED DISABLED VETERAN and women-owned
43 business enterprises with regard to banking relationships, the issuance
44 of insurance policies or contracts for the sale of bonds, notes or other
45 securities; and, provided further, that nothing contained in the imme-
46 diately preceding proviso shall be construed to create, impair, alter,
47 limit, modify, enlarge, abrogate or restrict any agency's authority or
48 discretionary power with respect to an equal opportunity program or a
49 program for securing participation of minority, SERVICE CONNECTED DISA-
50 BLED VETERAN and women-owned enterprises.
51 S 8. Section 136-b of the state finance law, as added by chapter 261
52 of the laws of 1988, is amended to read as follows:
53 S 136-b. Selection of underwriters by state agencies. Whenever a state
54 agency, as defined in article fifteen-A of the executive law, sells its
55 bonds, notes or other securities at a private sale, in selecting one or
56 more underwriters to purchase such securities the state agency shall
S. 4205 10
1 consider, among other things, the participation of firms certified
2 pursuant to such article as minority, SERVICE CONNECTED DISABLED VETERAN
3 or women-owned firms and the ability of other firms under consideration
4 to work with minority, SERVICE CONNECTED DISABLED VETERAN and women-
5 owned business enterprises so as to promote and assist participation by
6 such enterprises.
7 S 9. Paragraphs (b) and (d) of subdivision 2 of section 139-i of the
8 state finance law, as amended by chapter 531 of the laws of 1993, are
9 amended to read as follows:
10 (b) include in all bid documents provided to potential bidders a
11 statement that information concerning the availability of New York state
12 subcontractors and suppliers is available from the New York state
13 department of economic development, which shall include the directory of
14 certified minority, SERVICE CONNECTED DISABLED VETERAN and women-owned
15 businesses, and it is the policy of New York state to encourage the use
16 of New York state subcontractors and suppliers, and to promote the
17 participation of minority, SERVICE CONNECTED DISABLED VETERAN and
18 women-owned businesses, where possible, in the procurement of goods and
19 services.
20 (d) adopt policies to promote the participation by New York state
21 business enterprises and New York state residents in procurement
22 contracts, with the cooperation of the department of economic develop-
23 ment and the community services division of the department of labor
24 including, but not limited to, providing through cooperative efforts
25 with contractors for the notification of New York state business enter-
26 prises of opportunities to participate as subcontractors and suppliers
27 on procurement contracts in an amount estimated to be equal to or great-
28 er than one million dollars and for the notification of New York state
29 residents of employment opportunities arising in New York state out of
30 procurement contracts in an amount estimated to be equal to or greater
31 than one million dollars; and promulgating procedures which will assure
32 compliance by contractors with such notification. Once awarded the
33 contract, such contractors shall document their efforts to encourage the
34 participation of New York state business enterprises as suppliers and
35 subcontractors on procurement contracts equal to or greater than one
36 million dollars. Documented efforts by a successful contractor shall
37 consist of and be limited to showing that such contractor has [(a)] (I)
38 solicited bids, in a timely and adequate manner, from New York state
39 business enterprises including certified minority, SERVICE CONNECTED
40 DISABLED VETERAN and women-owned business, or [(b)] (II) contacted the
41 New York state department of economic development to obtain listings of
42 New York state business enterprises, or [(c)] (III) placed notices for
43 subcontractors and suppliers in newspapers, journals and other trade
44 publications distributed in New York state, or [(d)] (IV) participated
45 in bidder outreach conferences. If the contractor determines that New
46 York state business enterprises are not available to participate on the
47 contract as subcontractors or suppliers, the contractor shall provide a
48 statement indicating the method by which such determination was made. If
49 the contractor does not intend to use subcontractors on the contract,
50 the contractor shall provide a statement verifying such intent. Such
51 contractors shall also provide notification to New York state residents
52 of employment opportunities through listing any such positions with the
53 community services division, or providing for such notification in such
54 manner as is consistent with existing collective bargaining contracts or
55 agreements. On or before the effective date of this section, each state
56 agency or department shall submit such policies to the division of the
S. 4205 11
1 budget and copies thereof to the department of audit and control, the
2 department of economic development, the senate finance committee and the
3 assembly ways and means committee.
4 S 10. Subdivision 5, paragraph (e) of subdivision 11, paragraph (e) of
5 subdivision 12 and paragraph (a) of subdivision 16 of section 213 of the
6 state finance law, subdivision 5, paragraph (e) of subdivision 11 and
7 paragraph (e) of subdivision 12 as added by chapter 705 of the laws of
8 1993 and paragraph (a) of subdivision 16 as amended by chapter 424 of
9 the laws of 2009, are amended to read as follows:
10 5. "Certified [minority-] MINORITY, SERVICE CONNECTED DISABLED VETERAN
11 or women-owned business" means any [minority-] MINORITY, SERVICE
12 CONNECTED DISABLED VETERAN or women-owned business enterprise as defined
13 in section three hundred ten of the executive law and certified pursuant
14 to section three hundred fourteen of the executive law.
15 (e) any certified [minority-] MINORITY, SERVICE CONNECTED DISABLED
16 VETERAN or women-owned business seeking financing necessary to carry out
17 a procurement contract with an agency or authority or other entity of
18 the state or federal government; or
19 (e) for certified [minority-] MINORITY, SERVICE CONNECTED DISABLED
20 VETERAN and women-owned businesses, projects to provide financing neces-
21 sary to carry out a procurement contract with an agency or authority or
22 other entity of the state or federal government.
23 (a) for a linked deposit made in connection with a linked loan to a
24 certified business in an empire zone or to an eligible business located
25 in a highly distressed area or to an eligible business that is defined
26 in paragraph (b-1) of subdivision eleven of this section that is located
27 in a renewal community or defined in paragraph (b-2) of such subdivision
28 that is located in an empowerment zone or defined in paragraph (b-3) of
29 such subdivision that is located in an enterprise community, respective-
30 ly for eligible projects defined in paragraph (c) of subdivision twelve
31 of this section or a certified [minority-] MINORITY, SERVICE CONNECTED
32 DISABLED VETERAN or women-owned business enterprise for an eligible
33 project defined in paragraph (e) of subdivision twelve of this section
34 or to a defense industry manufacturer for a project defined in paragraph
35 (d) of subdivision twelve of this section, a fixed rate of interest
36 which is three hundred basis points below the lender's posted four year
37 certificate of deposit rate or, if the lender does not offer a four year
38 certificate of deposit, is three hundred basis points below the average
39 statewide rate for four year certificates of deposit as determined by
40 the commissioner of economic development;
41 S 11. Subdivision 1 of section 218 of the state finance law, as
42 amended by section 1 of part U of chapter 58 of the laws of 2012, is
43 amended to read as follows:
44 1. Linked loans made to certified businesses in empire zones or to
45 eligible businesses in highly distressed areas or to eligible businesses
46 that are defined in paragraph (b-1) of subdivision eleven of section two
47 hundred thirteen of this article that are located in a renewal community
48 or defined in paragraph (b-2) of such subdivision that are located in an
49 empowerment zone or defined in paragraph (b-3) of such subdivision that
50 are located in an enterprise community, respectively for eligible
51 projects defined in paragraph (c) of subdivision twelve of section two
52 hundred thirteen of this article or to [minority-] MINORITY, SERVICE
53 CONNECTED DISABLED VETERAN or women-owned business enterprises for an
54 eligible project defined in paragraph (e) of subdivision twelve of
55 section two hundred thirteen of this article or to a defense industry
56 manufacturer for a project defined in paragraph (d) of subdivision
S. 4205 12
1 twelve of section two hundred thirteen of this article or to an eligible
2 business pursuant to paragraph (a) of subdivision eleven of section two
3 hundred thirteen of this article that produces products defined in
4 subdivision two of section three hundred one of the agriculture and
5 markets law for an eligible project as defined in paragraph (b) of
6 subdivision twelve of section two hundred thirteen of this article shall
7 bear interest at a fixed rate equal to three percentage points below the
8 fixed interest rate the lender would have charged for the loan in the
9 absence of a linked deposit based on its usual credit considerations.
10 All other linked loans shall bear interest at a fixed rate equal to two
11 percentage points below the fixed interest rate the lender would have
12 charged for the loan in the absence of a linked deposit based on its
13 usual credit considerations. Lenders shall certify to the commissioner
14 of economic development that the rate to be charged on a linked loan is
15 two percentage points or three percentage points, as the case may be,
16 below the interest rate the lender would have charged for the loan in
17 the absence of a linked deposit.
18 S 12. Paragraph (c) of subdivision 12 of section 3.07 of the arts and
19 cultural affairs law, as amended by chapter 255 of the laws of 1988, is
20 amended to read as follows:
21 (c) (i) In the performance of projects pursuant to this section,
22 minority, SERVICE CONNECTED DISABLED VETERAN and women-owned business
23 enterprises shall be given the opportunity for meaningful participation.
24 For purposes hereof, minority business enterprise shall mean any busi-
25 ness enterprise which is at least fifty-one per centum owned by, or in
26 the case of a publicly owned business, at least fifty-one per centum of
27 the stock or other voting interest is owned by citizens or permanent
28 resident aliens who are Black, Hispanic, Asian, American Indian, Pacific
29 Islander, or Alaskan native, and such ownership interest is real,
30 substantial and continuing and has the authority to independently
31 control the day to day business decisions of the entity for at least one
32 year; SERVICE CONNECTED DISABLED VETERAN OWNED BUSINESS ENTERPRISE SHALL
33 MEAN THE SAME AS PROVIDED IN SUBDIVISION TWENTY-THREE OF SECTION THREE
34 HUNDRED TEN OF THE EXECUTIVE LAW; and women-owned business enterprise
35 shall mean any business enterprise which is at least fifty-one per
36 centum owned by, or in the case of a publicly owned business, at least
37 fifty-one per centum of the stock to other voting interests of which is
38 owned by citizens or permanent resident aliens who are women, and such
39 ownership interest is real, substantial and continuing and has the
40 authority to independently control the day to day business decisions of
41 the entity for at least one year.
42 The provisions of this subdivision shall not be construed to limit the
43 ability of any minority business enterprise to bid on any contract.
44 (ii) In order to implement the requirements and objectives of this
45 section, the council shall request, as appropriate, the assistance of
46 other state agencies to monitor the contractors' compliance with
47 provisions hereof, provide assistance in obtaining competing qualified
48 minority, SERVICE CONNECTED DISABLED VETERAN and women-owned business
49 enterprises to perform contracts proposed to be awarded, and take other
50 appropriate measures to improve the access of minority, SERVICE
51 CONNECTED DISABLED VETERAN and women-owned business enterprises to these
52 contracts.
53 S 13. Subdivision 2 of section 115 of the economic development law, as
54 added by chapter 55 of the laws of 1992, is amended to read as follows:
55 2. "Technical assistance" shall mean assistance and services designed
56 to improve the efficiency, effectiveness and viability of a minority,
S. 4205 13
1 SERVICE CONNECTED DISABLED VETERAN or women-owned business enterprise,
2 including, but not limited to, management assistance, problem solving,
3 the development of business and marketing plans, market analysis, finan-
4 cial planning, regulatory compliance, safety and security measures,
5 export assistance, procurement assistance, application assistance, state
6 program assistance, referral to private and public financing sources,
7 contracting assistance, and other forms of assistance which the commis-
8 sioner deems necessary and appropriate.
9 S 14. Section 118 of the economic development law, as added by chapter
10 55 of the laws of 1992 and subdivision 7 as further amended by section
11 15 of part GG of chapter 63 of the laws of 2000, is amended to read as
12 follows:
13 S 118. Power and duties. In addition to the power and duties conferred
14 by section one hundred sixteen of this article, the division shall have
15 the additional power and duty to:
16 1. Coordinate with all state agencies performing functions affecting
17 the operations of minority business enterprises, SERVICE CONNECTED DISA-
18 BLED VETERAN OWNED BUSINESS ENTERPRISES and women-owned business enter-
19 prises, as such terms are defined in section two hundred ten of this
20 chapter;
21 2. Receive complaints and inquiries of operators of minority, SERVICE
22 CONNECTED DISABLED VETERAN and women-owned business enterprises and
23 refer them to the appropriate federal, state or local agency for appro-
24 priate action on such complaints;
25 3. Solicit recommendations from the operators of minority, SERVICE
26 CONNECTED DISABLED VETERAN and women-owned business enterprises for
27 improving existing state programs and refer such recommendations to the
28 governor, the legislature and appropriate state agencies or authorities;
29 4. Advise and make recommendations to the commissioner and the legis-
30 lature on matters affecting the minority, SERVICE CONNECTED DISABLED
31 VETERAN and women-owned business enterprises of the state and promote
32 and encourage the protection of the legitimate interests of minority,
33 SERVICE CONNECTED DISABLED VETERAN and women-owned business enterprises
34 within the state;
35 5. Conduct investigations, research, studies and analyses of matters
36 affecting the interests of minority, SERVICE CONNECTED DISABLED VETERAN
37 and women-owned business enterprises;
38 6. Study the implementation of the laws affecting minority, SERVICE
39 CONNECTED DISABLED VETERAN and women-owned business enterprises and
40 recommend to the commissioner new laws and amendments of laws for the
41 benefit of minority, SERVICE RELATED DISABLED VETERAN and women-owned
42 business enterprises; and review pending legislation affecting minority,
43 SERVICE CONNECTED DISABLED VETERAN and women-owned business enterprises
44 and report its findings to the commissioner;
45 7. Provide technical assistance and information to minority, SERVICE
46 CONNECTED DISABLED VETERAN and women-owned business enterprises in the
47 state on economic development programs administered by the department,
48 including, but not limited to: (a) the empire zones program, estab-
49 lished pursuant to article eighteen-B of the general municipal law, (b)
50 the industrial effectiveness program, established pursuant to article
51 seven of this chapter, (c) the economic development skills training
52 program, established pursuant to article eight of this chapter, and (d)
53 the entrepreneurial assistance program, established pursuant to article
54 nine of this chapter;
55 8. Provide technical assistance and information to minority, SERVICE
56 CONNECTED DISABLED VETERAN and women-owned business enterprises in the
S. 4205 14
1 state on economic development programs administered by agencies other
2 than the department, including, but not limited to programs administered
3 by the urban development corporation, the job development authority and
4 the science and technology foundation;
5 9. Be responsible for conducting minority, SERVICE CONNECTED DISABLED
6 VETERAN and women-owned business enterprise assistance programs and for
7 coordinating the activities of all other state agencies acting within
8 the scope of this section; and
9 10. Carry out the activities to implement the minority, SERVICE
10 CONNECTED DISABLED VETERAN and women-owned business enterprise assist-
11 ance programs, to the extent practicable, within amounts appropriated
12 therefor by[;]:
13 (a) collecting and maintaining information identifying certified
14 minority, SERVICE CONNECTED DISABLED VETERAN and women-owned business
15 enterprises within New York state;
16 (b) collecting, maintaining, and providing information to potential
17 users identifying existing contracting and procurement opportunities
18 within and outside New York state;
19 (c) maintaining, providing and marketing a compilation of existing
20 programs providing assistance for minority, SERVICE CONNECTED DISABLED
21 VETERAN and women-owned business enterprises;
22 (d) identifying special needs and problems facing minority, SERVICE
23 CONNECTED DISABLED VETERAN and women-owned business enterprises within
24 New York state;
25 (e) contacting institutions, organizations and commercial enterprises
26 that are potential consumers of minority, SERVICE CONNECTED DISABLED
27 VETERAN and women-owned business products and services; urging their
28 expanded consumption of such goods and services;
29 (f) facilitating the establishment of minority, SERVICE CONNECTED
30 DISABLED VETERAN and women-owned business enterprises; and
31 (g) providing information concerning local and regional opportunities
32 for minority, SERVICE CONNECTED DISABLED VETERAN and women-owned busi-
33 ness enterprises.
34 S 15. Subdivision 5 of section 145 of the economic development law, as
35 added by chapter 137 of the laws of 2008, is amended to read as follows:
36 5. additional information to be included to increase the transparency
37 and utility of the system, including without limitation, notices by the
38 comptroller of progress payments made to prime contractors, and
39 minority, SERVICE CONNECTED DISABLED VETERANS and women-owned business
40 enterprises utilization plans and waivers granted pursuant to article
41 fifteen-A of the executive law.
42 S 16. Section 210 of the economic development law is amended by
43 adding a new subdivision 6 to read as follows:
44 6. "SERVICE CONNECTED DISABLED VETERAN OWNED BUSINESS ENTERPRISE"
45 MEANS THE SAME AS DEFINED IN SUBDIVISION TWENTY-THREE OF SECTION THREE
46 HUNDRED TEN OF THE EXECUTIVE LAW.
47 S 17. Paragraphs (b) and (i) of subdivision 1 of section 231 of the
48 economic development law, as amended by chapter 352 of the laws of 2009,
49 are amended to read as follows:
50 (b) to provide outreach to businesses, with attention to small and
51 medium-sized businesses, including minority, SERVICE CONNECTED DISABLED
52 VETERAN and women-owned business enterprises, for financial and techni-
53 cal assistance offered by state economic development agencies, authori-
54 ties, or other economic entities;
S. 4205 15
1 (i) to provide information and assistance in the certification of
2 minority, SERVICE CONNECTED DISABLED VETERAN and women-owned business
3 enterprises;
4 S 18. Subdivision 6 of section 6-102 of the energy law, as added by
5 chapter 433 of the laws of 2009, is amended to read as follows:
6 6. The board shall require any contractor or subcontractor awarded a
7 contract pursuant to the provisions of this article to comply, and
8 otherwise exercise all of its responsibilities and conduct all of its
9 activities consistent with the provisions of article fifteen-A of the
10 executive law with regards to the utilization and participation of
11 certified minority, SERVICE CONNECTED DISABLED VETERANS and women-owned
12 business enterprises.
13 S 19. Section 52-0113 of the environmental conservation law, as added
14 by chapter 512 of the laws of 1986, is amended to read as follows:
15 S 52-0113. Minority, SERVICE CONNECTED DISABLED VETERAN and women-owned
16 business enterprise program.
17 1. a. In the performance of projects pursuant to this article
18 minority, SERVICE CONNECTED DISABLED VETERAN and women-owned business
19 enterprises shall be given the opportunity for meaningful participation.
20 The department or the office shall establish measures and procedures to
21 secure meaningful participation and identify those contracts and items
22 of work for which minority, SERVICE CONNECTED DISABLED VETERAN and
23 women-owned business enterprises may best bid to actively and affirma-
24 tively promote and assist their participation in the projects, so as to
25 facilitate the award of a fair share of contracts to such enterprises;
26 provided, however, that nothing in this article shall be construed to
27 limit the ability of the department or office to assure that qualified
28 minority, SERVICE CONNECTED DISABLED VETERAN and women-owned business
29 enterprises may participate in the program.
30 For purposes [hereof] OF THIS ARTICLE, minority business enterprise
31 shall mean any business enterprise which is at least fifty-one per
32 centum owned by, or in the case of a publicly owned business, at least
33 fifty-one per centum of the stock of which is owned by citizens or
34 permanent resident aliens who are Black, Hispanic, Asian or American
35 Indian, Pacific Islander or Alaskan natives and such ownership interest
36 is real, substantial and continuing and have the authority to independ-
37 ently control the day to day business decisions of the entity for at
38 least one year; SERVICE CONNECTED DISABLED VETERAN OWNED BUSINESS ENTER-
39 PRISE SHALL MEAN THE SAME AS DEFINED IN SUBDIVISION TWENTY-THREE OF
40 SECTION THREE HUNDRED TEN OF THE EXECUTIVE LAW; and women-owned business
41 enterprise shall mean any business enterprise which is at least fifty-
42 one per centum owned by, or in the case of a publicly owned business, at
43 least fifty-one per centum of the stock of which is owned by citizens or
44 permanent resident aliens who are women, and such ownership interest is
45 real, substantial and continuing and have the authority to independently
46 control the day to day business decisions of the entity for at least one
47 year. The provisions of this paragraph shall not be construed to limit
48 the ability of any minority, SERVICE CONNECTED DISABLED VETERAN or
49 women-owned business enterprise to bid on any contract.
50 b. In the implementation of this section, the department or the office
51 shall consider compliance by any contractor with the requirements of any
52 federal, state, or local law concerning minority, SERVICE CONNECTED
53 DISABLED VETERAN and women-owned business enterprises, which may effec-
54 tuate the requirements of this section. If the department or the office
55 determines that by virtue of the imposition of the requirements of any
56 such law, in respect to capital project contracts, the provisions there-
S. 4205 16
1 of duplicate or conflict with such law, the department may waive the
2 applicability of this section to the extent of such duplication or
3 conflict.
4 c. Nothing in this section shall be deemed to require that overall
5 state and federal requirements for participation of minority, SERVICE
6 CONNECTED DISABLED VETERAN and women-owned business enterprises in
7 programs authorized under this article be applied without regard to
8 local circumstances to all projects or in all communities.
9 2. In order to implement the requirements and objectives of this
10 section, the department and the office shall establish procedures to
11 monitor the contractors' compliance with provisions hereof, provide
12 assistance in obtaining competing qualified minority, SERVICE CONNECTED
13 DISABLED VETERAN and women-owned business enterprises to perform
14 contracts proposed to be awarded, and take other appropriate measures to
15 improve the access of minority, SERVICE CONNECTED DISABLED VETERAN and
16 women-owned business enterprises to these contracts.
17 S 20. Paragraph (e) of subdivision 2 of section 222 of the labor law,
18 as added by section 18 of part MM of chapter 57 of the laws of 2008, is
19 amended to read as follows:
20 (e) Any contract, subcontract, lease, grant, bond, covenant, or other
21 agreement for construction, reconstruction, demolition, excavation,
22 rehabilitation, repair, renovation, alteration, or improvement with
23 respect to each project undertaken pursuant to this section, the entity
24 shall consider the financial and organizational capacity of contractors
25 and subcontractors in relation to the magnitude of work they may
26 perform, the record of performance of contractors and subcontractors on
27 previous work, the record of contractors and subcontractors in complying
28 with existing labor standards and maintaining harmonious labor
29 relations, and the commitment of contractors to work with minority,
30 SERVICE CONNECTED DISABLED VETERANS and women-owned business enterprises
31 pursuant to article fifteen-A of the executive law through joint
32 ventures of subcontractor relationships. With respect to any contract
33 for construction, reconstruction, demolition, excavation, rehabili-
34 tation, repair, renovation, alteration, or improvement in excess of
35 three million dollars in the counties of the Bronx, Kings, New York,
36 Queens, and Richmond; one million five hundred thousand dollars in the
37 counties of Nassau, Suffolk and Westchester; and five hundred thousand
38 dollars in all other counties within the state; the entity shall further
39 require that each contractor and subcontractor shall participate in
40 apprentice training programs in the trades of work it employs that have
41 been approved by the department for not less than three years and shall
42 have graduated at least one apprentice in the last three years and shall
43 have at least one apprentice currently enrolled in such apprenticeship
44 training program. In addition, it must be demonstrated that the program
45 has made significant efforts to attract and retain minority apprentices,
46 as determined by affirmative action goals established for such program
47 by the department.
48 S 21. Paragraph e of subdivision 2 of section 1269-e of the public
49 authorities law, as added by section 13 of part H of chapter 25 of the
50 laws of 2009, is amended to read as follows:
51 e. the extent of participation by minority, SERVICE CONNECTED DISABLED
52 VETERANS and women owned enterprises in authority contracts and services
53 in accordance with article fifteen-A of the executive law; and
54 S 22. Subparagraph (i) of paragraph (b), the opening paragraph of
55 paragraph (c), paragraphs (f), (g), (h), (i) and (j), and subparagraphs
56 (ii) and (iii) of paragraph (n) of subdivision 3 and subdivision 6 of
S. 4205 17
1 section 2879 of the public authorities law, subparagraph (i) of para-
2 graph (b) of subdivision 3 and subdivision 6 as amended, paragraphs (f),
3 (g), (h), (i) and (j) as added and paragraph (n) of subdivision 3 as
4 relettered by chapter 174 of the laws of 2010, the opening paragraph of
5 paragraph (c) of subdivision 3 as amended by chapter 564 of the laws of
6 1988, subparagraphs (ii) and (iii) of paragraph (n) of subdivision 3 as
7 amended by chapter 531 of the laws of 1993, are amended and a new para-
8 graph (e-1) is added to subdivision 3 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 SERVICE CONNECTED DISABLED VETERAN or women-owned business enterprises,
15 or 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, SERVICE CONNECTED DISABLED VETERAN or women-owned business
20 enterprises may best bid so as to promote and assist participation by
21 such enterprises and facilitate a fair share of the awarding of
22 contracts to such enterprises. For the purposes of this section, a
23 minority business enterprise means any business enterprise, including a
24 sole proprietorship, partnership or corporation that is:
25 (E-1) FOR PURPOSES OF THIS SECTION, "SERVICE CONNECTED DISABLED VETER-
26 AN OWNED BUSINESS ENTERPRISE" MEANS THE SAME AS DEFINED IN SUBDIVISION
27 TWENTY-THREE OF SECTION THREE HUNDRED TEN OF THE EXECUTIVE LAW.
28 (f) Requirements for the designation of one or more senior staff of
29 the corporation to oversee the corporation's programs established to
30 promote and assist: (i) participation by certified minority, SERVICE
31 CONNECTED DISABLED VETERAN or women-owned business enterprises in the
32 corporation's procurement opportunities and facilitation of the award of
33 procurement contracts to such enterprises; (ii) the utilization of
34 certified minority, SERVICE CONNECTED DISABLED VETERAN and women-owned
35 business enterprises as subcontractors and suppliers by entities having
36 procurement contracts with the corporation; and (iii) the utilization of
37 partnerships, joint ventures or other similar arrangements between
38 certified minority, SERVICE CONNECTED DISABLED VETERAN and women-owned
39 business enterprises and other entities having procurement contracts
40 with the corporation. Such staff shall be familiar with the procurement
41 of the types of construction, financial, legal or professional services
42 utilized by the corporation, report directly to the corporation's execu-
43 tive director, president or chief executive officer and either directly
44 or through their designees participate in the procurement process.
45 (g) Requirements for providing notice, in addition to any other notice
46 of procurement opportunities required by law, to professional and other
47 organizations that serve minority, SERVICE CONNECTED DISABLED VETERAN
48 and women-owned business enterprises providing the types of services
49 procured by the corporation.
50 (h) Procedures for maintaining lists of qualified certified minority,
51 SERVICE CONNECTED DISABLED VETERAN and women-owned business enterprises,
52 including professional firms that have expressed an interest in doing
53 business with the corporation and ensuring that such lists are updated
54 regularly. The corporation shall also consult the lists of certified
55 minority, SERVICE CONNECTED DISABLED VETERAN and women-owned business
S. 4205 18
1 enterprises maintained by the department of economic development pursu-
2 ant to article fifteen-A of the executive law.
3 (i) The establishment of appropriate goals for participation by minor-
4 ity, SERVICE CONNECTED DISABLED VETERAN or women-owned business enter-
5 prises in procurement contracts awarded by the corporation and for the
6 utilization of minority, SERVICE CONNECTED DISABLED VETERAN and women-
7 owned enterprises as subcontractors and suppliers by entities having
8 procurement contracts with the corporation. Statewide numerical partic-
9 ipation target goals shall be established by each authority based on the
10 findings of the two thousand ten disparity study.
11 (j) Requirements to conduct procurements in a manner that will enable
12 the corporation to achieve the maximum feasible portion of the goals
13 established pursuant to paragraph (i) of this subdivision and that elim-
14 inates barriers to participation by minority, SERVICE CONNECTED DISABLED
15 VETERAN and women-owned business enterprises in the corporation's
16 procurements. Such procurement requirements shall include the following:
17 (A) Measures and procedures to ensure that certified businesses shall
18 be given the opportunity for maximum feasible participation in the
19 performance of state contracts and to assist in the corporation's iden-
20 tification of those state contracts for which certified businesses may
21 best bid to actively and affirmatively promote and assist their partic-
22 ipation in the performance of state contracts so as to facilitate the
23 corporation's achievement of the maximum feasible portion of the goals
24 for state contracts to such businesses;
25 (B) Provisions designating the division of minority, SERVICE CONNECTED
26 DISABLED VETERAN and women-owned business development to certify and
27 decertify minority, SERVICE CONNECTED DISABLED VETERAN and women-owned
28 business enterprises for all corporations through a single process that
29 meets applicable state and federal requirements;
30 (C) A requirement that each contract solicitation document accompany-
31 ing each solicitation set forth the expected degree of minority, SERVICE
32 CONNECTED DISABLED VETERAN and women-owned business enterprise partic-
33 ipation based, in part, on:
34 I. the potential subcontract opportunities available in the prime
35 procurement contract; and
36 II. the availability of certified minority, SERVICE CONNECTED DISABLED
37 VETERAN and women-owned business enterprises to respond competitively to
38 the potential subcontract opportunities;
39 (D) A requirement that each corporation provide a current list of
40 certified minority business enterprises to each prospective contractor;
41 (E) Provisions relating to joint ventures, under which a bidder may
42 count toward meeting its minority business enterprise participation
43 goal, the minority, SERVICE CONNECTED DISABLED VETERAN and women-owned
44 business enterprise portion of the joint venture;
45 (F) Provisions under which the corporation may waive obligations of
46 the contractor relating to minority, SERVICE CONNECTED DISABLED VETERAN
47 and women-owned business enterprise participation after a showing of
48 good faith efforts to comply with the requirements of this act pursuant
49 to the waiver provisions contained in subdivision six of section three
50 hundred thirteen of the executive law;
51 (G) A requirement that the corporation verify that minority, SERVICE
52 CONNECTED DISABLED VETERAN and women-owned business enterprises listed
53 in a successful bid are actually participating to the extent listed in
54 the project for which the bid was submitted;
55 (H) In the implementation of this section, the contracting corporation
56 shall:
S. 4205 19
1 I. consider, where practicable, the severability of construction
2 projects and other bundled contracts;
3 II. implement a program that will enable the corporation to evaluate
4 each contract to determine the appropriateness of the goal pursuant to
5 paragraph (i) of this subdivision;
6 III. consider compliance with the requirements of any federal law
7 concerning opportunities for minority, SERVICE CONNECTED DISABLED VETER-
8 AN and women-owned business enterprises which effectuates the purpose of
9 this section; and
10 IV. consult the most recent disparity study pursuant to article
11 fifteen-A of the executive law.
12 (ii) with the cooperation of the department of economic development
13 and through cooperative efforts with contractors, providing for the
14 notification of New York state business enterprises of opportunities to
15 participate as subcontractors and suppliers on procurement contracts let
16 by the corporation in an amount estimated to be equal to or greater than
17 one million dollars and promulgating procedures which will assure
18 compliance by contractors with such notification. Once awarded the
19 contract such contractors shall document their efforts to encourage the
20 participation of New York state business enterprises as suppliers and
21 subcontractors on procurement contracts equal to or greater than one
22 million dollars. Documented efforts by a successful contractor shall
23 consist of and be limited to showing that such contractor has (a) solic-
24 ited bids, in a timely and adequate manner, from New York state business
25 enterprises including certified minority, SERVICE CONNECTED DISABLED
26 VETERAN and women-owned business, or (b) contacted the New York state
27 department of economic development to obtain listings of New York state
28 business enterprises, or (c) placed notices for subcontractors and
29 suppliers in newspapers, journals and other trade publications distrib-
30 uted in New York state, or (d) participated in bidder outreach confer-
31 ences. If the contractor determines that New York state business enter-
32 prises are not available to participate on the contract as
33 subcontractors or suppliers, the contractor shall provide a statement
34 indicating the method by which such determination was made. If the
35 contractor does not intend to use subcontractors on the contract, the
36 contractor shall provide a statement verifying such intent; and
37 (iii) except for procurement contracts for which the corporation would
38 be expending funds received from another state, the corporation shall
39 include in all bid documents provided to potential bidders a statement
40 that information concerning the availability of New York state subcon-
41 tractors and suppliers is available from the New York state department
42 of economic development, which shall include the directory of certified
43 minority, SERVICE CONNECTED DISABLED VETERAN and women-owned businesses,
44 and it is the policy of New York state to encourage the use of New York
45 state subcontractors and suppliers, and to promote the participation of
46 minority, SERVICE CONNECTED DISABLED VETERAN and women-owned businesses
47 where possible, in the procurement of goods and services; and
48 6. Each corporation, as part of the guidelines established pursuant to
49 subdivision three of this section, shall establish policies regarding
50 the preparation of publicly available reports on procurement contracts
51 entered into by such corporation. Such policies shall provide, at the
52 minimum, for the preparation of a report no less frequently than annual-
53 ly, summarizing procurement activity by such corporation for the period
54 of the report, including a listing of all procurement contracts entered
55 into, all contracts entered into with New York state business enter-
56 prises and the subject matter and value thereof, all contracts entered
S. 4205 20
1 into with certified minority, SERVICE CONNECTED DISABLED VETERAN or
2 women-owned business enterprises and the subject matter and value there-
3 of, all referrals made and all penalties imposed pursuant to section
4 three hundred sixteen of the executive law, all contracts entered into
5 with foreign business enterprises, and the subject matter and value
6 thereof, the selection process used to select such contractors, all
7 procurement contracts which were exempt from the publication require-
8 ments of article four-C of the economic development law, the basis for
9 any such exemption and the status of existing procurement contracts.
10 S 23. Section 957 of the general municipal law is amended by adding a
11 new subdivision (u) to read as follows:
12 (U) "SERVICE CONNECTED DISABLED VETERAN OWNED BUSINESS ENTERPRISE"
13 SHALL MEAN THE SAME AS DEFINED IN SUBDIVISION TWENTY-THREE OF SECTION
14 THREE HUNDRED TEN OF THE EXECUTIVE LAW.
15 S 24. Subdivisions (g) and (t) of section 959 of the general municipal
16 law, as amended by section 3 of part S-1 of chapter 57 of the laws of
17 2009, are amended to read as follows:
18 (g) Coordinate, with the local empire zone administrative board and
19 state agencies and authorities, the provision of business development
20 programs and services for each empire zone in order to stimulate the
21 creation and development of new small businesses, including new small
22 minority-owned, SERVICE CONNECTED DISABLED VETERAN-OWNED and women-owned
23 business enterprises, and may request and shall receive from any depart-
24 ment, division, board, bureau, commission, agency or public authority of
25 the state such assistance as may be necessary;
26 (t) Coordinate with the urban development corporation the creation of
27 a special category of assistance for zones within the regional economic
28 development partnership program, which will make available economic
29 development assistance grants for zone programs and activities, includ-
30 ing, but not limited to, planning, service coordination, and local
31 institutional capacity building for human resource development necessary
32 for economic revitalization; planning and development of small business
33 incubators; job placement and preparedness programs for zones residents;
34 education and training programs for zone businesses; child care programs
35 and projects supportive of business development; technical assistance
36 for minority, SERVICE CONNECTED DISABLED VETERAN and women-owned busi-
37 ness development; training for zone officials; business and tourism
38 development and marketing programs; and other innovative programs and
39 activities in support of economic and community development within the
40 zones;
41 S 25. Paragraph (x) of subdivision (b) of section 961 of the general
42 municipal law, as added by chapter 708 of the laws of 1993, is amended
43 to read as follows:
44 (x) identify financial commitments the applicant will make to the zone
45 for activities, including, but not limited to, marketing of the zone for
46 business development, human resource services for zone residents and
47 businesses, and services for small [and], minority, SERVICE CONNECTED
48 DISABLED VETERAN and women-owned businesses;
49 S 26. Subdivision (j) of section 962 of the general municipal law, as
50 amended by chapter 624 of the laws of 1990 and as further amended by
51 section 15 of part GG of chapter 63 of the laws of 2000, is amended to
52 read as follows:
53 (j) a description of activities designed to ensure the meaningful
54 participation of minority-owned, SERVICE CONNECTED DISABLED
55 VETERAN-OWNED and women-owned business enterprises in empire zone devel-
56 opment activities;
S. 4205 21
1 S 27. Paragraphs (iii) and (xii) of subdivision (a) of section 963 of
2 the general municipal law, as amended by chapter 708 of the laws of 1993
3 and as further amended by section 15 of part GG of chapter 63 of the
4 laws of 2000 and such subdivision as relettered by section 7 of part S-1
5 of chapter 57 of the laws of 2009, are amended to read as follows:
6 (iii) undertake efforts to ensure meaningful participation by minori-
7 ty-owned, SERVICE CONNECTED DISABLED VETERAN-OWNED and women-owned busi-
8 ness enterprises in empire zone activities;
9 (xii) provide within the zone, or contract with a new or existing
10 community-based local development corporation or entity to provide,
11 strategic economic development planning for the zone, marketing and
12 promotion of the zone, assistance to companies in applying for available
13 benefits, preparation of applications for financing assistance and other
14 technical assistance services; coordination of the delivery of state and
15 local programs within the zones; and operation of such other economic
16 development assistance programs in furtherance of the empire zone devel-
17 opment plan as may be appropriate. Provided, however, within the amount
18 appropriated therefor and allocated by the director of the budget, the
19 commissioner, through annual administrative contracts, shall, to the
20 maximum extent feasible, make equally available financial support,
21 through contracts or other means, to assist with the administrative
22 expenses of the local zone administrative bodies or community-based
23 development organizations. No funds shall be made available for this
24 purpose unless the amount to be provided has been matched by private or
25 governmental sources, other than state sources, in amounts at least
26 equalling that to be provided by the state. Such matching funds shall be
27 earmarked and used exclusively for the local administration of the zone
28 program or for activities of the zone program. At least fifty percent of
29 such matching funds shall be in cash, provided that the commissioner may
30 waive this requirement for communities with populations of twenty-five
31 thousand or less, and provided, further, that any amounts appropriated
32 for minority, SERVICE CONNECTED DISABLED VETERAN and women-owned busi-
33 ness development within the zones shall be distributed by the commis-
34 sioner pursuant to a competitive proposal solicitation process.
35 S 28. Subdivision (c) of section 964 of the general municipal law, as
36 amended by chapter 708 of the laws of 1993 and as further amended by
37 section 15 of part GG of chapter 63 of the laws of 2000, is amended to
38 read as follows:
39 (c) Each empire zone capital corporation shall, to the maximum extent
40 feasible, undertake measures and procedures to ensure meaningful partic-
41 ipation by minority-owned, SERVICE CONNECTED DISABLED VETERAN-OWNED and
42 women-owned business enterprises in the activities and investments of
43 such corporation. Each such corporation shall additionally, to the maxi-
44 mum extent feasible, undertake measures and procedures to ensure mean-
45 ingful participation by locally owned business enterprises in the activ-
46 ities and investments of such corporation.
47 S 29. Subparagraph 7 of paragraph f of subdivision 3 of section 970-r
48 of the general municipal law, as amended by section 1 of part F of chap-
49 ter 577 of the laws of 2004, is amended to read as follows:
50 (7) the financial commitments the applicant will make to the brown-
51 field opportunity area for activities including, but not limited to,
52 marketing of the area for business development, human resource services
53 for residents and businesses in the brownfield opportunity area, and
54 services for small [and], minority, SERVICE CONNECTED DISABLED VETERAN
55 and women-owned businesses.
S. 4205 22
1 S 30. Subdivision 33 of section 454 of the banking law, as amended by
2 chapter 679 of the laws of 2003, is amended to read as follows:
3 33. Notwithstanding any other provision of this article to the contra-
4 ry, to participate in the [minority -] MINORITY, SERVICE CONNECTED DISA-
5 BLED VETERAN and women-owned business development and lending program,
6 as established in section 16-c of section 1 of chapter 174 of the laws
7 of 1968, constituting the urban development corporation act, to the
8 extent that such program allows participation by credit unions.
9 S 31. Paragraph (e) of subdivision 2 of section 213 of the racing,
10 pari-mutuel wagering and breeding law, as added by chapter 18 of the
11 laws of 2008, is amended to read as follows:
12 (e) Whenever the franchise oversight board enters into a contract,
13 subcontract, lease, grant, bond, covenant or other agreement for
14 construction, reconstruction, demolition, excavation, rehabilitation,
15 repair, renovation, alteration, or improvement with respect to each
16 project undertaken pursuant to this chapter, the franchise oversight
17 board shall consider the financial and organizational capacity of
18 contractors and subcontractors in relation to the magnitude of work they
19 may perform, the record of performance of contractors and subcontractors
20 on previous work, the record of contractors and subcontractors in
21 complying with existing labor standards and maintaining harmonious labor
22 relations, and the commitment of contractors to work with minority,
23 SERVICE CONNECTED DISABLED VETERANS and women owned business enterprises
24 pursuant to article fifteen-A of the executive law through joint
25 ventures or subcontractor relationships.
26 S 32. Section 9-b of section 1 of chapter 359 of the laws of 1968,
27 constituting the facilities development corporation act, as added by
28 chapter 58 of the laws of 1987, is amended to read as follows:
29 S 9-b. Minority, SERVICE CONNECTED DISABLED VETERAN and women-owned
30 business enterprise program. 1. (a) Minority, SERVICE CONNECTED DISABLED
31 VETERAN and women-owned business enterprises shall be given the opportu-
32 nity for meaningful participation in all contracts executed by the
33 corporation pursuant to the provisions of this act other than contracts
34 the cost of which is borne solely by a municipality or municipalities.
35 The corporation shall establish measures and procedures to secure mean-
36 ingful participation and identify those contracts and items of work for
37 which minority, SERVICE CONNECTED DISABLED VETERAN and women-owned busi-
38 ness enterprises may best bid to actively and affirmatively promote and
39 assist their participation in the projects, so as to facilitate the
40 award of a fair share of contracts to such enterprises; provided, howev-
41 er, that nothing in this act shall be construed to limit the ability of
42 the corporation to assure that qualified minority, SERVICE CONNECTED
43 DISABLED VETERAN and women-owned business enterprises may participate in
44 the program. For purposes hereof, minority business enterprise shall
45 mean any business enterprise which is at least fifty-one per centum
46 owned by, or in the case of a publicly owned business, at least fifty-
47 one per centum of the stock of which is owned by citizens or permanent
48 resident aliens who are Black, Hispanic, Asian or American Indian,
49 Pacific Islander or Alaskan natives and such ownership interest is real,
50 substantial and continuing and have the authority to independently
51 control the day to day business decisions of the entity for at least one
52 year; SERVICE CONNECTED DISABLED VETERANS BUSINESS ENTERPRISE SHALL MEAN
53 THE SAME AS DEFINED IN SUBDIVISION 23 OF SECTION 310 OF THE EXECUTIVE
54 LAW; and women-owned business enterprise shall mean any business enter-
55 prise which is at least fifty-one per centum owned by, or in the case of
56 a publicly owned business, at least fifty-one per centum of the stock of
S. 4205 23
1 which is owned by citizens or permanent resident aliens who are women,
2 and such ownership interest is real, substantial and continuing and have
3 the authority to independently control the day to day business decisions
4 of the entity for at least one year.
5 The provisions of this paragraph shall not be construed to limit the
6 ability of any minority, SERVICE CONNECTED DISABLED VETERAN or women-
7 owned business enterprise to bid on any contract.
8 (b) In the implementation of this section, the corporation shall
9 consider compliance by any contractor with the requirements of any
10 federal, state, or local law concerning minority, SERVICE CONNECTED
11 DISABLED VETERAN and women-owned business enterprises, which may effec-
12 tuate the requirements of this section. If the corporation determines
13 that by virtue of the imposition of the requirements of any such law, in
14 respect to contracts, the provisions thereof duplicate or conflict with
15 this section, the corporation may waive the applicability of this
16 section to the extent of such duplication or conflict.
17 (c) Nothing in this section shall be deemed to require that overall
18 state and federal requirements for participation of minority, SERVICE
19 CONNECTED DISABLED VETERAN and women-owned business enterprises in
20 programs authorized under this act be applied without regard to local
21 circumstances to all projects or in all communities.
22 2. In order to implement the requirements and objectives of this
23 section, the corporation shall establish procedures to monitor the
24 contractors' compliance with provisions hereof, provide assistance in
25 obtaining competing qualified minority, SERVICE CONNECTED DISABLED
26 VETERAN and women-owned business enterprises to perform contracts
27 proposed to be awarded, and take other appropriate measures to improve
28 the access of minority, SERVICE CONNECTED DISABLED VETERAN and women-
29 owned business enterprises to these contracts.
30 S 33. Section 16-b of section 1 of chapter 392 of the laws of 1973,
31 constituting the New York state medical care facilities finance agency
32 act, as added by chapter 58 of the laws of 1987, is amended to read as
33 follows:
34 S 16-b. Minority, SERVICE CONNECTED DISABLED VETERAN and women-owned
35 business enterprise program. 1. a. In the performance of projects pursu-
36 ant to this act minority, SERVICE CONNECTED DISABLED VETERAN and women-
37 owned business enterprises shall be given the opportunity for meaningful
38 participation. The agency shall establish measures and procedures to
39 secure meaningful participation and identify those contracts and items
40 of work for which minority, SERVICE CONNECTED DISABLED VETERAN and
41 women-owned business enterprises may best bid to actively and affirma-
42 tively promote and assist their participation in the projects, so as to
43 facilitate the award of a fair share of contracts to such enterprises;
44 provided, however, that nothing in this act shall be construed to limit
45 the ability of the agency to assure that qualified minority, SERVICE
46 CONNECTED DISABLED VETERAN and women-owned business enterprises may
47 participate in the program. For purposes hereof, minority business
48 enterprise shall mean any business enterprise which is at least fifty-
49 one per centum owned by, or in the case of a publicly owned business, at
50 least fifty-one per centum of the stock of which is owned by citizens or
51 permanent resident aliens who are Black, Hispanic, Asian or American
52 Indian, Pacific Islander or Alaskan natives and such ownership interest
53 is real, substantial and continuing and have the authority to independ-
54 ently control the day to day business decisions of the entity for at
55 least one year; SERVICE CONNECTED DISABLED VETERANS BUSINESS ENTERPRISE
56 SHALL MEAN THE SAME AS DEFINED IN SUBDIVISION 23 OF SECTION 310 OF THE
S. 4205 24
1 EXECUTIVE LAW; and women-owned business enterprise shall mean any busi-
2 ness enterprise which is at least fifty-one per centum owned by, or in
3 the case of a publicly owned business, at least fifty-one per centum of
4 the stock of which is owned by citizens or permanent resident aliens who
5 are women, and such ownership interest is real, substantial and continu-
6 ing and have the authority to independently control the day to day busi-
7 ness decisions of the entity for at least one year.
8 The provisions of this paragraph shall not be construed to limit the
9 ability of any minority, SERVICE CONNECTED DISABLED VETERAN or women-
10 owned business enterprise to bid on any contract.
11 b. In the implementation of this section, the agency shall consider
12 compliance by any contractor with the requirements of any federal,
13 state, or local law concerning minority, SERVICE CONNECTED DISABLED
14 VETERAN and women-owned business enterprises, which may effectuate the
15 requirements of this section. If the department or the office determines
16 that by virtue of the imposition of the requirements of any such law, in
17 respect to contracts, the provisions thereof duplicate or conflict with
18 this act, the agency may waive the applicability of this section to the
19 extent of such duplication or conflict.
20 c. Nothing in this section shall be deemed to require that overall
21 state and federal requirements for participation of minority, SERVICE
22 CONNECTED DISABLED VETERAN and women-owned business enterprises in
23 programs authorized under this act be applied without regard to local
24 circumstances to all projects or in all communities.
25 2. In order to implement the requirements and objectives of this
26 section, the agency shall establish procedures to monitor the contrac-
27 tors' compliance with provisions hereof, provide assistance in obtaining
28 competing qualified minority, SERVICE CONNECTED DISABLED VETERAN and
29 women-owned business enterprises to perform contracts proposed to be
30 awarded, and take other appropriate measures to improve the access of
31 minority, SERVICE CONNECTED DISABLED VETERAN and women-owned business
32 enterprises to these contracts.
33 S 34. Paragraph (c) of subdivision 10 of section 16-a of section 1 of
34 chapter 174 of the laws of 1968, constituting the New York state urban
35 development corporation act, as amended by chapter 477 of the laws of
36 2002, is amended to read as follows:
37 (c) of minority, SERVICE CONNECTED DISABLED VETERAN or women-owned
38 enterprises or enterprises owned by dislocated workers, such workers as
39 defined in the Workforce Investment Act (P.L. 105-220); and
40 S 35. Section 16-c of section 1 of chapter 174 of the laws of 1968,
41 constituting the New York state urban development corporation act, as
42 added by chapter 169 of the laws of 1994, subparagraphs (i) and (ii) of
43 paragraph (a) of subdivision 2 as further amended by section 15 of part
44 GG of chapter 63 of the laws of 2000, is amended to read as follows:
45 S 16-c. [Minority-] MINORITY, SERVICE CONNECTED DISABLED VETERAN and
46 women-owned business development and lending program.
47 (1) [Minority-] MINORITY, SERVICE CONNECTED DISABLED VETERAN and
48 women-owned business development and lending program. (a) There is
49 hereby created a [minority-] MINORITY, SERVICE CONNECTED DISABLED VETER-
50 AN and women-owned business development and lending program for the
51 purpose of providing financial and technical assistance to minority,
52 SERVICE CONNECTED DISABLED VETERAN and women-entrepreneurs.
53 (b) For the purposes of this section the following words or terms
54 shall mean as follows:
55 (i) "minority-owned business enterprise" or "minority-owned business"
56 shall mean the same as "minority business enterprise" as defined in
S. 4205 25
1 subdivision [three] 3 of section [two hundred ten] 210 of the economic
2 development law.
3 (ii) "women-owned business enterprise" or "women-owned business" shall
4 mean the same as "women-owned business enterprise" as defined in subdi-
5 vision [five] 5 of section [two hundred ten] 210 of the economic devel-
6 opment law.
7 (iii) "SERVICE CONNECTED DISABLED VETERANS BUSINESS ENTERPRISE" SHALL
8 MEAN THE SAME AS DEFINED IN SUBDIVISION 23 OF SECTION 310 OF THE EXECU-
9 TIVE LAW.
10 (IV) "incubator" shall mean a facility providing low-cost space, tech-
11 nical assistance and support services, including, but not limited to,
12 central services shared by tenants of the facility, to [minority-]
13 MINORITY, SERVICE CONNECTED DISABLED VETERAN and women-owned business
14 enterprises.
15 (c) Assistance shall not be provided under this section for:
16 (i) the purchase or rehabilitation of real property for speculative
17 purposes;
18 (ii) payment of any tax or employee benefit arrearage;
19 (iii) residential construction, renovation or development
20 construction, except for assistance to minority, SERVICE CONNECTED DISA-
21 BLED VETERAN and women contractors under subdivision four of this
22 section;
23 (iv) educational institutions and proprietary education firms, except
24 licensed child care facilities;
25 (v) hospitals or residential health care facilities;
26 (vi) overnight lodging facilities;
27 (vii) refinancing of debt or equity invested in an enterprise or
28 project.
29 (d) The corporation is authorized to:
30 (i) establish programs in conjunction with locally, and community
31 based entities to decentralize lending for small loans and loans to
32 start up [minority-] MINORITY, SERVICE CONNECTED DISABLED VETERAN and
33 women-owned businesses;
34 (ii) establish a comprehensive program for minority, SERVICE CONNECTED
35 DISABLED VETERAN and women contractors, which may include assistance
36 through loans, bonding assistance and technical assistance;
37 (iii) establish a program to provide loans to established [minority-]
38 MINORITY, SERVICE CONNECTED DISABLED VETERAN and women-owned businesses
39 and for [minority-] MINORITY, SERVICE CONNECTED DISABLED VETERAN and
40 women-owned businesses, including loans to such businesses seeking to
41 acquire or expand a franchise;
42 (iv) provide loan guarantees to financial institutions and make linked
43 deposits into federally and state chartered credit unions for the
44 purpose of encouraging private financial institutions to make loans to
45 [minority-] MINORITY, SERVICE CONNECTED DISABLED VETERAN and women-owned
46 businesses;
47 (v) establish a program to create incubators to assist small and high
48 risk [minority-] MINORITY, SERVICE CONNECTED DISABLED VETERAN and
49 women-owned businesses to grow and prosper;
50 (vi) promote equity investment in [minority-] MINORITY, SERVICE
51 CONNECTED DISABLED VETERAN and women-owned businesses; and
52 (vii) establish a comprehensive technical assistance program in coop-
53 eration with the department of economic development to assist [minori-
54 ty-] MINORITY, SERVICE CONNECTED DISABLED VETERAN and women-owned busi-
55 nesses and potential minority, SERVICE CONNECTED DISABLED VETERAN and
56 women-entrepreneurs.
S. 4205 26
1 (2) Minority, SERVICE CONNECTED DISABLED VETERAN and women revolving
2 loan trust fund. For the purpose of establishing programs in conjunction
3 with locally and community based entities to decentralize lending for
4 small loans and loans to start up [minority-] MINORITY, SERVICE
5 CONNECTED DISABLED VETERAN and women-owned businesses, the corporation
6 shall establish minority, SERVICE CONNECTED DISABLED VETERAN and women
7 revolving loan trust fund accounts and related administrative expenses
8 trust fund accounts.
9 (a) Each minority, SERVICE CONNECTED DISABLED VETERAN and women
10 revolving loan trust fund account shall be administered by one or more
11 of the following types of entities that provide services to community
12 businesses and have as one of their primary purposes the provision of
13 services and assistance to [minority-] MINORITY, SERVICE CONNECTED DISA-
14 BLED VETERAN and women-owned businesses:
15 (i) empire zone capital corporations established pursuant to section
16 [nine hundred sixty-four] 964 of the general municipal law;
17 (ii) community-based local development corporations or industrial
18 development agencies that serve a municipality in which an empire zone
19 has been established pursuant to article [eighteen-B] 18-B of the gener-
20 al municipal law and have as their primary purpose assistance to [minor-
21 ity-] MINORITY, SERVICE CONNECTED DISABLED VETERAN and women-owned busi-
22 nesses located or to be located in such empire zone; or
23 (iii) local and community development corporations, industrial devel-
24 opment agencies, or other not-for-profit entities, representative of the
25 community.
26 (b) To be eligible to administer a minority, SERVICE CONNECTED DISA-
27 BLED VETERAN and women revolving loan trust fund account, the entity
28 must also: (i) have staff with sufficient expertise to analyze applica-
29 tions for financial assistance, to regularly monitor financial assist-
30 ance to clients, and to provide management or technical assistance to
31 clients; and (ii) have established a loan committee composed of six or
32 more persons experienced in business management, commercial lending or
33 in the operation of a for-profit business, at least one-half of whom
34 shall be experienced in commercial lending, at least one-third of whom
35 shall be minority persons and at least one-third of whom shall be women.
36 Such loan committee shall review every application, determine the feasi-
37 bility of the proposed project and the likelihood of repayment of the
38 requested financing and shall recommend to the governing body of the
39 entity such action on the application as the loan committee deems appro-
40 priate. The corporation shall identify entities eligible to administer
41 minority, SERVICE CONNECTED DISABLED VETERAN and women revolving loan
42 trust fund accounts through a competitive statewide request for proposal
43 process.
44 (c) Any entity selected to administer a minority, SERVICE CONNECTED
45 DISABLED VETERAN and women revolving loan trust fund account shall be
46 eligible to draw funds from the account as needed to provide the follow-
47 ing types of financial assistance to [minority-] MINORITY, SERVICE
48 CONNECTED DISABLED VETERAN and women-owned businesses upon certification
49 to and acceptance by the corporation that such assistance complies with
50 rules and regulations promulgated by the corporation: (i) working capi-
51 tal loans, provided that the amount of the loan does not exceed thirty-
52 five thousand dollars and the term of the loan does not exceed five
53 years; and (ii) loans for the acquisition and/or improvement of real
54 property and for the acquisition of machinery and equipment provided
55 that the amount of the loan does not exceed fifty thousand dollars and
S. 4205 27
1 the term of the loan does not exceed the useful life of the equipment or
2 property.
3 (d) (i) Notwithstanding any provision of law to the contrary, the
4 corporation may establish an administrative expenses trust fund account
5 for the benefit of each entity selected to administer a minority,
6 SERVICE CONNECTED DISABLED VETERAN and women revolving loan trust fund
7 account. The initial deposit of funds to an administrative expenses
8 trust fund account shall be an amount determined by the corporation but
9 shall not exceed twenty-five thousand dollars.
10 (ii) An entity selected to administer a minority, SERVICE CONNECTED
11 DISABLED VETERAN and women revolving loan trust fund account may use the
12 funds in the administrative expenses trust fund account for costs
13 incurred by it in the start up and administration of the financial
14 assistance program authorized pursuant to this subdivision.
15 (iii) The corporation shall deposit into each administrative expenses
16 trust fund account:
17 (A) all income earned from the moneys on deposit in the corresponding
18 minority, SERVICE CONNECTED DISABLED VETERAN and women revolving loan
19 trust fund account during the first year of the entity's administration
20 of said account; and
21 (B) beginning with its second year in administering a minority,
22 SERVICE CONNECTED DISABLED VETERAN and women revolving loan trust fund
23 account, said amounts may be used for costs incurred by the entity in
24 administering the minority, SERVICE CONNECTED DISABLED VETERAN and women
25 revolving loan trust fund account; and
26 (C) repayments of interest on loans made from the corresponding minor-
27 ity, SERVICE CONNECTED DISABLED VETERAN and women revolving loan trust
28 fund account.
29 (iv) Funds from the administrative expenses trust fund account may be
30 used for costs incurred at any time by an administering entity in its
31 administration of a minority, SERVICE CONNECTED DISABLED VETERAN and
32 women revolving loan trust fund account pursuant to this section.
33 (v) Funds deposited in an administrative expenses trust fund account
34 shall be disbursed by the corporation to the entity that administers the
35 corresponding minority, SERVICE CONNECTED DISABLED VETERAN and women
36 revolving loan trust fund account on a periodic basis and shall be
37 expended by the entity in accordance with an annual budget and any
38 updates of same, approved by the corporation.
39 (e) Any entity selected to administer a minority, SERVICE CONNECTED
40 DISABLED VETERAN and women revolving loan trust fund account shall pay
41 to the corporation for deposit any repayments received in connection
42 with financial assistance provided from its account. Payments consisting
43 of the repayment of the principal amount of a loan shall be deposited by
44 the corporation into the minority, SERVICE CONNECTED DISABLED VETERAN
45 and women revolving loan trust fund account from which the loan was
46 made. The interest earned by the corporation from the investment of
47 moneys in each minority, SERVICE CONNECTED DISABLED VETERAN and women
48 revolving loan trust fund account during and after the second year of a
49 selected entity's administration of said account shall be deposited by
50 the corporation into the corresponding minority, SERVICE CONNECTED DISA-
51 BLED VETERAN and women revolving loan trust fund account and used to
52 provide the financial assistance to [minority-] MINORITY, SERVICE
53 CONNECTED DISABLED VETERAN and women-owned businesses as authorized
54 pursuant to this section.
55 (f) The provisions of subdivisions eight, nine, and fourteen through
56 nineteen of section sixteen-a of this act pertaining to the regional
S. 4205 28
1 revolving loan trust fund shall also be applicable to the minority,
2 SERVICE CONNECTED DISABLED VETERAN and women revolving loan trust fund,
3 provided that: where the term "regional corporation" appears therein it
4 shall be interpreted to mean an entity selected to administer a
5 minority, SERVICE CONNECTED DISABLED VETERAN and women revolving loan
6 trust fund account, and "regional revolving [loans] LOAN trust fund"
7 shall mean a minority, SERVICE CONNECTED DISABLED VETERAN and women
8 revolving loan trust fund, and where the term "this section" appears
9 therein it shall mean this section sixteen-c.
10 (g) The corporation may provide funds from an appropriation for the
11 [minority-] MINORITY, SERVICE CONNECTED DISABLED VETERAN and women-owned
12 business development and lending program to any entity selected to
13 administer a minority, SERVICE CONNECTED DISABLED VETERAN and women
14 revolving loan trust fund for the purposes of recapitalizing such
15 account and the entity's corresponding administrative expenses trust
16 fund account following an evaluation by the corporation of the entity's
17 administration and use of such accounts.
18 (h) Notwithstanding any provision of law to the contrary, the corpo-
19 ration shall establish a minority, SERVICE CONNECTED DISABLED VETERAN
20 and women revolving loan trust fund to pay into such fund any moneys
21 made available to the corporation for such fund from any source, includ-
22 ing moneys appropriated by the state and any income earned by, or incre-
23 ment to, the account due to the investment thereof, or any repayment of
24 moneys advanced from the fund. The corporation shall not commingle the
25 moneys of such fund with any moneys held in trust by the corporation,
26 except for investment purposes.
27 (3) Micro-loan program. (a) For the purposes of this subdivision
28 "micro-loan" shall mean a loan of under seven thousand five hundred
29 dollars.
30 (b) The corporation shall, pursuant to requests for proposals, enter
31 into agreements for other types of locally, community or regionally
32 administered loan programs than those set forth in subdivision two of
33 this section, including micro-loan programs to be administered by local
34 development corporations, local industrial development organizations,
35 municipalities and not-for-profit organizations, to provide micro-loans
36 to small and high risk [minority-] MINORITY, SERVICE CONNECTED DISABLED
37 VETERAN and women-owned businesses located within their respective
38 service areas, provided that loan review committees are established by
39 such administering entity, including women, SERVICE CONNECTED DISABLED
40 VETERAN and minority persons experienced in business management, busi-
41 ness development, commercial lending, entrepreneurship, or in the opera-
42 tion of a for-profit business.
43 (c) Agreements entered into pursuant to paragraph (b) of this subdivi-
44 sion shall be governed by paragraphs (d) through (h) of subdivision two
45 of this section, and minority, SERVICE CONNECTED DISABLED VETERAN and
46 women revolving loan trust fund accounts and administrative expenses
47 trust fund accounts shall be established in a similar fashion for enti-
48 ties selected to administer micro-loan funds pursuant to this subdivi-
49 sion.
50 (4) Minority, SERVICE CONNECTED DISABLED VETERAN and women contracting
51 program. For the purpose of establishing a comprehensive program to
52 assist minority, SERVICE CONNECTED DISABLED VETERAN and women contrac-
53 tors, the corporation may provide loans, loan guarantees, technical
54 assistance and bonding assistance, the corporation may enter into coop-
55 erative agreements with cities, counties, municipalities, authorities,
56 agencies, federally and state chartered credit unions in New York state
S. 4205 29
1 and federally insured banking organizations and financial institutions
2 for such purposes.
3 (a) To be eligible for a contractor loan, the borrower must have
4 either (i) a construction contract with, or a contract to provide goods
5 or services to, a governmental entity or authority, (ii) a subcontract
6 on a government-sponsored construction contract, (iii) a contract or
7 subcontract on a [government sponsored] GOVERNMENT-SPONSORED residential
8 project, or (iv) a contract or subcontract on a construction project
9 previously approved by the corporation pursuant to section ten of this
10 act.
11 (b) The corporation shall provide technical assistance specifically
12 oriented to minority, SERVICE CONNECTED DISABLED VETERAN and women-owned
13 government contractors as part of its comprehensive technical assistance
14 program.
15 (c) The corporation is authorized to provide assistance through the
16 creation of, or assistance to, a minority, SERVICE CONNECTED DISABLED
17 VETERAN and women bonding guarantee program to enable minority, SERVICE
18 CONNECTED DISABLED VETERAN and women contractors and subcontractors to
19 meet payment or performance bonding requirements.
20 (i) Through such program, assistance in the form of working capital
21 loans and loan guarantees pursuant to subdivision six of this section
22 may also be provided to minority, SERVICE CONNECTED DISABLED VETERAN and
23 women contractors and subcontractors who have secured contracts by
24 participating in the program.
25 (ii) The corporation shall either establish criteria for the bonding
26 guarantee program and for any required escrow funds which shall include
27 detailed provisions for eligibility; or if the corporation is providing
28 assistance to a program other than one established by the corporation,
29 review and approve the criteria established for such other program.
30 (5) Direct financial assistance for [minority-] MINORITY, SERVICE
31 CONNECTED DISABLED VETERAN and women-owned businesses. For the purpose
32 of establishing a program to provide direct financial assistance to
33 [minority-] MINORITY, SERVICE CONNECTED DISABLED VETERAN and women-owned
34 businesses, the corporation is authorized to provide assistance in the
35 form of:
36 (a) Business development loans and loan guarantees pursuant to subdi-
37 vision six of this section to eligible enterprises for the acquisition
38 or improvement of real property, machinery, equipment or working capi-
39 tal, provided that to be eligible for a business development loan, the
40 borrowers must have been in business for at least three years and
41 provided that the loans must be in an amount equal to or in excess of
42 fifty thousand dollars;
43 (b) Franchise loans to eligible enterprises seeking to acquire or
44 expand franchises of nationally recognized corporations, provided that
45 disbursements by the corporation of such loans shall be conditioned on
46 obtaining such franchises;
47 (c) Equity assistance for eligible minority, SERVICE CONNECTED DISA-
48 BLED VETERAN and women-owned enterprises to match equity contributions
49 to such enterprises by financial institutions and community development
50 equity capital funds, provided, however, that such assistance shall be
51 targeted to start-up and early stage enterprises in the manufacturing,
52 retail and service sectors located in economically distressed areas.
53 (6) Deposits and loan guarantees. For the purpose of encouraging
54 private financial institutions to make loans to eligible enterprises
55 pursuant to this section for any of the eligible projects pursuant to
S. 4205 30
1 subdivisions four and five of this section, the corporation is author-
2 ized to:
3 (a) Make linked deposits of funds into federally and state chartered
4 credit unions in New York state, in order to encourage such organiza-
5 tions to make small loans to minority, SERVICE CONNECTED DISABLED VETER-
6 AN and women-owned businesses; and
7 (b) Provide loan guarantees to private financial institutions for
8 loans made to eligible [minority-] MINORITY, SERVICE CONNECTED DISABLED
9 VETERAN and women-owned businesses pursuant to this subdivision for
10 eligible projects, provided that the guarantee shall be at least fifty
11 percent backed by funds of the corporation. Any such loan guaranteed by
12 the corporation shall be made to borrowers that are approved by the
13 corporation and substantially meet the underwriting criteria the credit
14 union or financial institution customarily applies to similar borrowers
15 for similar loans supported by similar guarantees, and no guaranteed
16 loan funds shall be disbursed until the corporation has received,
17 reviewed and concurred, in writing, with the recommendation of the cred-
18 it union or banking or financial institution to make a loan.
19 (7) Minority, SERVICE CONNECTED DISABLED VETERAN and women small busi-
20 ness incubator program.
21 (a) The corporation shall establish a minority, SERVICE CONNECTED
22 DISABLED VETERAN and women small business incubator program for the
23 purpose of providing financial support for the creation of incubators to
24 nurture minority, SERVICE CONNECTED DISABLED VETERAN and women-owned
25 business enterprises with growth potential.
26 (b) Under this subdivision the corporation is authorized to provide
27 low-interest loans and grants for construction financing and permanent
28 financing of up to seventy-five percent of project costs up to a maximum
29 of six hundred fifty thousand dollars per project, provided that the
30 total amount of grant assistance provided pursuant to this paragraph
31 shall not exceed twenty percent of an appropriation provided for the
32 purposes of this section.
33 (c) Incubator projects eligible for such assistance shall involve the
34 renovation or reconstruction of existing facilities or the acquisition
35 of equipment, except that construction shall be allowable in cases in
36 which an applicant can demonstrate to the satisfaction of the corpo-
37 ration that an existing facility is unavailable in the area to be served
38 by the new incubator facility.
39 (d) Incubator projects are not eligible to receive loans for the
40 purpose of covering operating costs or supplying incubator support
41 services, except that incubators in their first eighteen months of oper-
42 ation may receive one-time grants not to exceed forty thousand dollars,
43 which costs may include administrative costs of employing a resident
44 administrator/advisor to the incubator, provided that the corporation
45 shall not expend a sum greater than two hundred fifty thousand dollars
46 in any one state fiscal year, or so much as may be specifically appro-
47 priated for this purpose.
48 (e) Eligible incubator projects shall be required to demonstrate to
49 the corporation's satisfaction:
50 (i) public or private support and involvement sufficient to complete
51 the renovation of existing facilities or the construction of new facili-
52 ties and the acquisition of equipment;
53 (ii) significant community support for the project;
54 (iii) the existence of prospective tenants for such incubator space;
55 (iv) demand for such incubator space, which may include evidence of
56 the unavailability of suitable space for prospective tenants at appro-
S. 4205 31
1 priate rental or lease costs in the community in which such prospective
2 tenants are located; and
3 (v) the inability of the project to occur without financial assistance
4 from the corporation.
5 (f) The corporation shall establish criteria for eligibility for fund-
6 ing for incubator projects, including but not limited to the following:
7 (i) the project must be designed to provide low-cost space and support
8 services to incubator tenants, coordination with other sources of
9 assistance and flexible leasing arrangements for tenants;
10 (ii) the project sponsors must provide a management plan and a busi-
11 ness plan for operating the incubator satisfactory to the corporation;
12 and
13 (iii) the project gives preference for incubator space and assistance
14 to [minority-] MINORITY, SERVICE CONNECTED DISABLED VETERAN and women-
15 owned businesses which currently receive, or have received, assistance
16 from the corporation pursuant to this section and to incubator projects
17 proposed to be located in economically distressed areas.
18 (8) [Minority-] MINORITY, SERVICE CONNECTED DISABLED VETERAN and
19 women-owned business technical assistance program. (a) The corporation
20 shall establish a comprehensive technical assistance program within the
21 minority, SERVICE CONNECTED DISABLED VETERAN and women business develop-
22 ment office, in cooperation with the department of economic develop-
23 ment's division of [minority-] MINORITY, SERVICE CONNECTED DISABLED
24 VETERAN and women-business development established pursuant to article
25 [four-A] 4-A of the economic development law, to provide technical
26 assistance to [minority-] MINORITY, SERVICE CONNECTED DISABLED VETERAN
27 and women-owned business enterprises and to prospective [minority-]
28 MINORITY, SERVICE CONNECTED DISABLED VETERAN and women-business entre-
29 preneurs through third party service providers, which assistance shall
30 include, but not be limited to:
31 (i) technical assistance in development and execution of business
32 plans, including the formation of, acquisition of, management of, or
33 diversification of a [minority-] MINORITY, SERVICE CONNECTED DISABLED
34 VETERAN or women-owned business enterprise;
35 (ii) technical assistance with applications for obtaining funds from
36 public and private financing sources;
37 (iii) technical assistance in the development of a working capital
38 budget;
39 (iv) referrals to other providers of technical assistance to [minori-
40 ty-] MINORITY, SERVICE CONNECTED DISABLED VETERAN and women-owned busi-
41 nesses and minority, SERVICE CONNECTED DISABLED VETERAN and women entre-
42 preneurs, where appropriate, including the entrepreneurial assistance
43 program established pursuant to article [nine] 9 of the economic devel-
44 opment law; and
45 (v) technical assistance through education programs directed primarily
46 at women, SERVICE CONNECTED DISABLED VETERAN and minority entrepreneurs.
47 (b) Technical assistance may be provided through direct corporate
48 support, through grants to or contracts with service providers or
49 governmental entities, and [minority-] MINORITY, SERVICE CONNECTED DISA-
50 BLED VETERAN and women-owned business enterprises and individuals.
51 (9) Priorities. The corporation shall give priority to applications
52 for assistance pursuant to this section in which the business seeking
53 such assistance indicates a commitment to first consider persons eligi-
54 ble to participate in federal job training partnership act (P.L. 97-300)
55 programs.
S. 4205 32
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, SERVICE CONNECTED DISABLED VETERAN and women business
17 development and lending account. Notwithstanding any provision of law
18 to the contrary, the corporation shall establish within the treasury of
19 the corporation a minority, SERVICE CONNECTED DISABLED VETERAN and women
20 business development and lending account, and shall pay into such
21 account any moneys which may be made available to the corporation for
22 this purpose from any source including, but not limited to, moneys
23 appropriated by the state and any repayment of principal and interest on
24 loans made by the corporation pursuant to the [minority-] MINORITY,
25 SERVICE CONNECTED DISABLED VETERAN and women-owned business development
26 and lending program. Funds in the minority, SERVICE CONNECTED DISABLED
27 VETERAN and women business development and lending account, including
28 funds from the repayment of principal and interest on loans made by the
29 corporation, may be used for any form of assistance authorized here-
30 under. The amounts deposited in the minority, SERVICE CONNECTED DISABLED
31 VETERAN and women business development and lending account may not be
32 interchanged with any other account, but may be commingled with any
33 other account for investment purposes. All loans disbursed by the corpo-
34 ration shall be repaid into the account. The corporation shall enter
35 into a written agreement with the director of the budget for repayment,
36 to the state comptroller to the credit of the capital projects fund, of
37 all moneys in the account after a period of time to be determined by the
38 corporation and the director of the budget. The corporation shall
39 transfer to the minority, SERVICE CONNECTED DISABLED VETERAN and women
40 business development and lending account: all moneys appropriated or
41 reappropriated by New York state for the minority, SERVICE CONNECTED
42 DISABLED VETERAN and women revolving loan trust fund that have not been
43 committed prior to the effective date of the appropriation for the
44 program in the current fiscal year, or become uncommitted subsequent to
45 the effective date of the program's appropriation for the current fiscal
46 year; and all repayments of principal and interest on loans made by the
47 corporation which are currently on deposit in, or payable to, the minor-
48 ity, SERVICE CONNECTED DISABLED VETERAN and women business development
49 and lending account.
50 (13) Standardization. The corporation shall streamline the review and
51 approval process for projects and wherever possible standardize all
52 relevant attendant documentation and legal documents.
53 (14) Approval cycle. The corporation shall approve eligible loans or
54 grants on at least a four-month cycle and shall give priority consider-
55 ation to the comparative degree of economic distress within the areas in
56 which the project is located. Other factors to be considered by the
S. 4205 33
1 corporation shall include the impact of the project on the employment
2 and economic condition of the community and the financial feasibility of
3 the project.
4 (15) Repayment. Notwithstanding the provisions of section [forty-a]
5 40-A of the state finance law and any other general or special law, no
6 written agreement under this program shall require repayment at any time
7 or on any terms inconsistent with the provisions of this act or the New
8 York state project finance agency act; except, however, that the corpo-
9 ration may make grants to projects using funds appropriated for this
10 purpose and that the repayment provision may not apply to such grants.
11 (16) Reports. The chairman of the corporation shall submit to the
12 director of the budget, the speaker of the assembly and the temporary
13 president of the senate an evaluation of the effectiveness of the
14 program prepared by an entity independent of the corporation. The corpo-
15 ration shall select the program evaluator through a request for proposal
16 process. Such evaluation shall determine whether the assistance provided
17 has enhanced the economic condition of assisted companies or communi-
18 ties, and shall make recommendation for improvements which would make
19 the program more effective. Such evaluation shall be submitted by
20 September first, nineteen hundred ninety-five and September first every
21 two years thereafter.
22 S 36. Subparagraphs (viii) and (x) of paragraph (e) of subdivision 7
23 of section 16-d of section 1 of chapter 174 of the laws of 1968, consti-
24 tuting the New York state urban development corporation act, as added by
25 chapter 169 of the laws of 1994, are amended to read as follows:
26 (viii) export, marketing, procurement and subcontracting assistance to
27 small and medium-sized industrial firms, including [minority-] MINORITY,
28 SERVICE CONNECTED DISABLED VETERAN and women-owned businesses, and to
29 flexible manufacturing networks, and programs to assist regional and
30 multi-county business marketing and procurement programs;
31 (x) business planning, management assistance and counseling, and
32 financial packaging assistance to small and medium-sized industrial
33 firms, including [minority-] MINORITY, SERVICE CONNECTED DISABLED VETER-
34 AN and women-owned businesses, flexible manufacturing networks, and new
35 enterprises and small businesses, including the establishment of neigh-
36 borhood-based business service centers designed to deliver comprehensive
37 technical assistance to new and small businesses in specific communities
38 and neighborhoods;
39 S 37. Clause (B) of subparagraph (i) of paragraph (h) of subdivision 8
40 of section 16-d of section 1 of chapter 174 of the laws of 1968, consti-
41 tuting the New York state urban development corporation act, as added by
42 chapter 169 of the laws of 1994 and as further amended by section 15 of
43 part GG of chapter 63 of the laws of 2000, is amended to read as
44 follows:
45 (B) community based local development corporations, industrial devel-
46 opment agencies, or other not-for-profit entities which serve a munici-
47 pality in which an empire zone has been established and which, as one of
48 their primary purposes, provide services and assistance to business
49 enterprises located or to be located in such empire zone, including
50 [minority-] MINORITY, SERVICE CONNECTED DISABLED VETERAN and women-owned
51 businesses;
52 S 38. Subparagraph (vi) of paragraph (c) of subdivision 10 of section
53 16-e of section 1 of chapter 174 of the laws of 1968, constituting the
54 New York state urban development corporation act, as added by chapter
55 169 of the laws of 1994, is amended to read as follows:
S. 4205 34
1 (vi) management and procurement assistance to small business, includ-
2 ing [minority-] MINORITY, SERVICE CONNECTED DISABLED VETERAN and women-
3 owned businesses;
4 S 39. 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, SERVICE CONNECTED DISA-
9 BLED VETERAN and women-owned businesses;
10 S 40. 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, SERVICE CONNECTED
17 DISABLED VETERAN-OWNED and women-owned business enterprises, certified
18 as a minority-owned, SERVICE CONNECTED DISABLED VETERAN-OWNED or women-
19 owned business enterprise pursuant to article [fifteen-A] 15-A of the
20 executive law, to meet payment and/or performance bonding requirements
21 by providing additional financial backing needed to induce a surety
22 company to issue a bond for construction projects, including but not
23 limited to, government sponsored, transportation related construction
24 projects. For purposes of this section, the term small business shall
25 have the same meaning as defined in section [one hundred thirty-one] 131
26 of the economic development law. Such program shall give preference to
27 minority-owned, SERVICE CONNECTED DISABLED VETERAN-OWNED and women-owned
28 business enterprises and shall:
29 (a) Make available funds to surety companies providing bonds to small
30 businesses [and minority- owned], MINORITY-OWNED, SERVICE CONNECTED
31 DISABLED VETERAN-OWNED or women-owned business enterprises in an amount
32 equal to a percentage not to exceed fifty percent of the face value of
33 bonds issued by the surety.
34 Provide technical assistance in completing bonding applications for
35 small businesses [and], minority-owned, SERVICE CONNECTED DISABLED
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, SERVICE CONNECTED DISABLED
49 VETERAN-OWNED and women-owned small business enterprises.
50 S 41. 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, SERVICE CONNECTED DISABLED VETERAN and women-owned business
S. 4205 35
1 enterprises through flexible financing programs, including, but not
2 limited to, loan loss reserve and revolving loan programs, working capi-
3 tal loans, working capital loan guarantees, or other flexible financing
4 programs that leverage traditional financing;
5 S 42. 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, SERVICE CONNECTED
12 DISABLED VETERAN and women-owned businesses, with appropriate lending
13 objectives identified by the financial institution for such areas and
14 businesses;
15 S 43. Paragraph 1 of subdivision (c) of section 30 of section 1 of
16 chapter 174 of the laws of 1968, constituting the New York state urban
17 development corporation act, as amended by chapter 732 of the laws of
18 1990, is amended to read as follows:
19 (1) In addition to any other requirements imposed by the act or other-
20 wise regarding evaluations of programs administered by the corporation,
21 each evaluation shall include an analysis of the job creation effect of
22 such program, the number of small businesses that received assistance,
23 the number of minority, SERVICE CONNECTED DISABLED VETERAN and women-
24 owned firms that received assistance, the number of projects undertaken
25 in distressed and highly distressed communities, and, if applicable, the
26 repayment experience of borrowers of funds from the corporation.
27 S 44. Paragraph 2 of subdivision (e) of section 30-a of section 1 of
28 chapter 174 of the laws of 1968, constituting the New York state urban
29 development corporation act, as added by section 2 of part M1 of chapter
30 62 of the laws of 2003, is amended to read as follows:
31 (2) require projects to be financed out of the empire state economic
32 development fund be approved generally in amounts which are proportional
33 to amounts appropriated for the urban and community development program,
34 and the minority, SERVICE CONNECTED DISABLED VETERAN and women-owned
35 business development and lending program;
36 S 45. The section heading, the opening paragraph of subdivision 1, the
37 opening paragraph of subdivision 2, paragraph (a) of subdivision 3 and
38 subdivisions 4 and 5 of section 38 of section 1 of chapter 174 of the
39 laws of 1968, constituting the New York state urban development corpo-
40 ration act, as amended by chapter 169 of the laws of 1994, are amended
41 to read as follows:
42 Small business [and], minority-owned, SERVICE CONNECTED DISABLED
43 VETERAN-OWNED and women-owned business enterprises transportation capi-
44 tal assistance and guaranteed loan program.
45 To provide financial assistance to small business [and], minority-
46 owned, SERVICE CONNECTED DISABLED VETERAN-OWNED and women-owned business
47 enterprises engaged in government sponsored, transportation related
48 construction projects, the corporation shall establish a small business
49 [and], minority-owned, SERVICE CONNECTED DISABLED VETERAN-OWNED and
50 women-owned business enterprise transportation capital assistance
51 revolving loan fund which shall provide loans or loan guarantees to
52 small business [and], minority-owned, SERVICE CONNECTED DISABLED VETER-
53 AN-OWNED and women-owned business enterprises. For purposes of this
54 section:
55 Such loans, or loan guarantees for loans made by federally and state
56 chartered credit institutions, financial institutions, and federally
S. 4205 36
1 insured banking organizations to small business [and], minority-owned,
2 SERVICE CONNECTED DISABLED VETERAN-OWNED and women-owned business enter-
3 prises, shall be used to:
4 (a) To be eligible for such loans or loan guarantees (i) a minority-
5 owned, SERVICE CONNECTED DISABLED VETERAN-OWNED or women-owned business
6 enterprise must be certified as a minority-owned, SERVICE CONNECTED
7 DISABLED VETERAN-OWNED or women-owned business enterprise pursuant to
8 article 15-A of the executive law; and (ii) a small business or a minor-
9 ity-owned, SERVICE CONNECTED DISABLED VETERAN-OWNED or women-owned busi-
10 ness enterprise shall have a contract or sub-contract to provide goods
11 or services related to a government sponsored, transportation related
12 construction project.
13 4. The corporation shall give preference to minority-owned, SERVICE
14 CONNECTED DISABLED VETERAN-OWNED and women-owned business enterprises in
15 making such loans and loan guarantees and shall establish such other
16 criteria as it may deem necessary for this program and for any required
17 amount that shall be held in reserve for any guarantees made under this
18 program.
19 5. Notwithstanding any inconsistent provision of law, general, special
20 or local, including pursuant to capital projects budget appropriations
21 or reappropriations, where applicable, the corporation is hereby author-
22 ized to enter into such agreements as may be necessary for the operation
23 and administration of a small business [and], minority-owned, SERVICE
24 CONNECTED DISABLED VETERAN-OWNED and women-owned business enterprises
25 transportation capital assistance and guaranteed loan program.
26 S 46. This act shall take effect immediately; provided, however, that
27 the amendments to article 15-A of the executive law made by sections
28 three, four, five, six and seven of this act shall not affect the expi-
29 ration of such article and shall be deemed to expire therewith; and
30 provided, further that the amendments to section 136-b of the state
31 finance law made by section eight of this act shall not affect the expi-
32 ration of such section and shall be deemed to expire therewith; and
33 provided, further that the amendments to section 16-i of section 1 of
34 chapter 174 of the laws of 1968, constituting the New York state urban
35 development corporation act, made by section forty-one of this act,
36 shall not affect the expiration of such section 16-i and shall expire
37 therewith.
