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.