S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  3136

                       2011-2012 Regular Sessions

                          I N  A S S E M B L Y

                            January 24, 2011
                               ___________

Introduced  by  M.  of  A. SCHIMMINGER, MARKEY, DESTITO, RAMOS -- Multi-
  Sponsored by -- M. of A.  COOK, GALEF, HOYT, KOLB, MAGEE,  MAGNARELLI,
  McENENY, SWEENEY -- read once and referred to the Committee on Econom-
  ic Development

AN  ACT  to amend the economic development law, in relation to providing
  matching funds for eligible applicants in regional marketing programs

  THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section  1.  The  economic  development law is amended by adding a new
article 12-A to read as follows:
                               ARTICLE 12-A
                       REGIONAL MARKETING PROGRAMS
SECTION 245. DEFINITIONS.
        246. MATCHING FUNDS FOR ELIGIBLE APPLICANTS.
        247. APPLICATION PROCESS.
        248. PAYMENTS OF FUNDS TO ELIGIBLE APPLICANTS.
        249. REPORTING REQUIREMENTS.
  S 245. DEFINITIONS. AS USED IN THIS ARTICLE, UNLESS A DIFFERENT  MEAN-
ING  APPEARS  FROM THE CONTEXT, THE FOLLOWING WORDS AND TERMS SHALL HAVE
THE FOLLOWING MEANINGS:
  1. "ELIGIBLE APPLICANT" MEANS ANY NOT-FOR-PROFIT CORPORATION OR  OTHER
NONPROFIT  ORGANIZATION,  ASSOCIATION,  OR  AGENCY THAT IS DESIGNATED BY
RESOLUTION OF THE SEVERAL COUNTY LEGISLATURES OR OTHER GOVERNING  BODIES
OF  COUNTIES  WITHIN  AN ECONOMIC DEVELOPMENT REGION OF THE STATE ESTAB-
LISHED PURSUANT TO SECTION TWO HUNDRED THIRTY OF THIS CHAPTER,  OR  UPON
THE DESIGNATION OF THE CITY COUNCIL OF THE CITY OF NEW YORK, AS AN AGEN-
CY  AUTHORIZED  TO  MAKE  APPLICATION  FOR  AND  RECEIVE  GRANTS FOR THE
PURPOSES SPECIFIED IN THIS ARTICLE.
  2. "RECOGNIZED ADVERTISING" MEANS MEDIA  ADVERTISING  AND  PROMOTIONAL
MATERIALS  TO  BE  BROADCAST,  DISSEMINATED, OR OTHERWISE DISTRIBUTED IN
ACCORDANCE WITH A PLAN APPROVED BY THE COMMISSIONER.
  3. "REGION" MEANS AN ECONOMIC DEVELOPMENT REGION OF THE  STATE  ESTAB-
LISHED PURSUANT TO SECTION TWO HUNDRED THIRTY OF THIS CHAPTER, AN INTER-
NATIONAL REGION, OR A MULTI-STATE REGION.

              

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD06361-01-1

A. 3136                             2

  4. "REGIONAL MARKETING PROGRAM" MEANS THE USE OF MEDIA ADVERTISING AND
PROMOTIONAL  MATERIALS  FOR  PURPOSES  OF  MARKETING:  (A)  THE  NATURAL
RESOURCES, INFRASTRUCTURE, AND OTHER ATTRACTIONS OF A REGION  WHICH  ARE
NON-PROPRIETARY  IN  NATURE AND WHICH SERVE TO PROMOTE AND ENCOURAGE THE
LOCATION  AND  DEVELOPMENT  OF  NEW  BUSINESSES  WITHIN  THE REGION; (B)
PRODUCTS MANUFACTURED BY STRATEGIC  ALLIANCES  OF  BUSINESSES  WITHIN  A
REGION;  AND (C) OTHER PRODUCTS MANUFACTURED IN ACCORDANCE WITH AN OFFI-
CIAL QUALITY CONTROL PROGRAM, WHICH MAY INCLUDE THE USE OF  A  LOGO-TYPE
OR SIMILAR ADVERTISING CONSTRUCT ESTABLISHED BY THE LEGISLATURE.
  5.  "STRATEGIC  ALLIANCE"  MEANS  AN INFORMAL OR FORMAL ASSOCIATION OF
BUSINESSES IN A MANUFACTURING INDUSTRY ESTABLISHED FOR  THE  PURPOSE  OF
SOLVING  COMMON PROBLEMS AND ENGAGING IN COOPERATIVE ACTIVITIES AND THAT
IS CONSIDERED TO BE CRITICAL TO THE ECONOMY OF A REGION.
  S 246. MATCHING FUNDS FOR ELIGIBLE APPLICANTS. 1. THE COMMISSIONER, IN
FURTHERANCE  OF  THE  OBJECTIVES  OF  THE  REGIONAL  BUSINESS  MARKETING
PROGRAM,  IS  AUTHORIZED  TO MATCH FUNDS EXPENDED BY ELIGIBLE APPLICANTS
FOR THE PURPOSE OF IMPLEMENTATION  OF  REGIONAL  MARKETING  PROGRAMS  AS
DEFINED  IN  SUBDIVISION  FOUR OF SECTION TWO HUNDRED FORTY-FIVE OF THIS
ARTICLE; PROVIDED, HOWEVER, THAT:
  (A) NO SUCH MATCHING FUNDS SHALL EXCEED THE SUM OF FIVE HUNDRED  THOU-
SAND DOLLARS OR FIFTY PERCENT OF THE TOTAL COST OF IMPLEMENTATION OF THE
REGIONAL MARKETING PLAN, WHICHEVER IS LESS;
  (B)  NO  SUCH  MATCHING  FUNDS SHALL BE USED FOR ADMINISTRATIVE COSTS,
INCLUDING SALARIES, ASSOCIATED WITH THE  IMPLEMENTATION  OF  A  REGIONAL
MARKETING PLAN;
  (C)  NO  SUCH MATCHING FUNDS SHALL BE USED FOR THE DIRECT BENEFIT OF A
FOR-PROFIT BUSINESS UNLESS  SUCH  EXPENDITURE  SHALL  FURTHER  A  PUBLIC
PURPOSE AND HAVE A CLEAR, LONG-TERM BENEFIT TO THE REGIONAL ECONOMY.
  2. THE COMMISSIONER IS AUTHORIZED TO MATCH FUNDS EXPENDED BY AN ELIGI-
BLE APPLICANT IF THE ELIGIBLE APPLICANT REPRESENTS ONE OR MORE COUNTIES,
BUT  FEWER THAN EACH OF THE SEVERAL COUNTIES, IN A STATE ECONOMIC DEVEL-
OPMENT REGION.
  S 247. APPLICATION PROCESS. 1. THE  COMMISSIONER,  UPON  INVESTIGATION
AND  RECEIPT OF CERTIFIED COPIES OF SUCH RESOLUTIONS AS MAY BE NECESSARY
TO SATISFY HIM OR HER THAT AN ELIGIBLE APPLICANT HAS  BEEN  DULY  DESIG-
NATED  TO  REPRESENT  A PARTICULAR REGION, SHALL RECOGNIZE SUCH ELIGIBLE
APPLICANT AS THE SOLE SUCH APPLICANT WITHIN SUCH REGION.  IN  THE  EVENT
THAT EACH OF THE SEVERAL COUNTIES WITHIN A REGION IS UNABLE OR UNWILLING
TO  DESIGNATE A SINGLE APPLICANT TO REPRESENT A PARTICULAR REGION, OR IS
UNABLE OR UNWILLING TO ENCUMBER FUNDS  PURSUANT TO SECTION  TWO  HUNDRED
FORTY-EIGHT  OF  THIS  ARTICLE, ONE OR MORE COUNTIES WITHIN A REGION MAY
DESIGNATE AN ELIGIBLE APPLICANT TO REPRESENT  A  PARTICULAR  REGION.  IN
REVIEWING  SUCH  APPLICATIONS,  THE  COMMISSIONER  MAY SELECT FROM AMONG
COMPETING OR OVERLAPPING APPLICATIONS THE APPLICATION THAT  THE  COMMIS-
SIONER CONSIDERS TO BE OF GREATER BENEFIT TO A PARTICULAR REGION AND THE
WELFARE OF THE PEOPLE OF THE STATE.
  2.  THE  COMMISSIONER IS AUTHORIZED TO ACCEPT AND SET REASONABLE DEAD-
LINES FOR THE SUBMISSION OF APPLICATIONS FOR EACH FISCAL YEAR COVERED BY
APPROPRIATIONS IN ORDER TO MATCH FUNDS EXPENDED BY  ELIGIBLE  APPLICANTS
FOR THE PURPOSE OF THE IMPLEMENTATION OF REGIONAL MARKETING PROGRAMS. IN
REVIEWING  AND  SELECTING  APPLICATIONS  FROM  ELIGIBLE  APPLICANTS  FOR
ASSISTANCE UNDER THIS PROGRAM, THE COMMISSIONER SHALL ENSURE  THAT  EACH
APPLICATION  FOR  SUCH  FUNDS SHALL HAVE THEREIN SET FORTH THE SCHEDULE,
BUDGET, SCOPE, AND THEME OF THE PROPOSED REGIONAL MARKETING  PROGRAM  TO
BE  UNDERTAKEN  FOR  THE PURPOSE OF ENCOURAGING AND STIMULATING BUSINESS
DEVELOPMENT AND ECONOMIC ACTIVITY WITHIN THE REGION OF THE STATE.

A. 3136                             3

  3. FOR THE PURPOSE OF PROMOTING  INTERREGIONAL  ECONOMIC  DEVELOPMENT,
THE  COMMISSIONER MAY APPROVE APPLICATIONS DULY SUBMITTED BY ONE OR MORE
COUNTIES IN EACH OF AT LEAST TWO STATE ECONOMIC DEVELOPMENT REGIONS.  IN
APPROVING  SUCH APPLICATIONS, THE COMMISSIONER SHALL DETERMINE THAT SUCH
APPLICATIONS  ARE  OF GREATER BENEFIT TO ONE OR MORE COUNTIES IN EACH OF
AT LEAST TWO REGIONS OF THE STATE AND TO THE WELFARE OF  THE  PEOPLE  OF
THE  STATE  THAN  APPLICATIONS  SUBMITTED PURSUANT TO SUBDIVISION ONE OF
THIS SECTION.
  4. NOTHING SHALL LIMIT AN ELIGIBLE APPLICANT FROM CREATING A  REGIONAL
MARKETING PROGRAM WITH ANOTHER STATE, TERRITORY, PROTECTORATE, DEPENDEN-
CY, OR COUNTRY.
  S  248.  PAYMENTS  OF FUNDS TO ELIGIBLE APPLICANTS. 1. UPON SUBMISSION
AND APPROVAL OF EACH APPLICATION AND THE AUTHORIZATION OF FUNDS  BY  THE
COMMISSIONER IN ACCORDANCE THEREWITH, THE COMMISSIONER SHALL GIVE NOTICE
TO  THE  ELIGIBLE APPLICANT OF SUCH APPROVAL AND AUTHORIZATION AND SHALL
DIRECT SUCH ELIGIBLE APPLICANT TO PROCEED  WITH  ITS  PROPOSED  BUSINESS
MARKETING  PROGRAM  AS DESCRIBED IN ITS APPLICATION. UPON THE FURNISHING
OF SATISFACTORY EVIDENCE TO  THE  DEPARTMENT  THAT  THE  SEVERAL  COUNTY
LEGISLATURES  OR  OTHER  GOVERNING  BODIES  OF THE COUNTIES, OR THE CITY
COUNCIL OF THE CITY OF NEW YORK,  IDENTIFIED  IN  THE  APPLICATION  HAVE
ENCUMBERED FUNDS IN THE AMOUNT COMMITTED AND APPROVED BY THE COMMISSION-
ER,  THE STATE MATCHING FUNDS ALLOCATED TO SUCH ELIGIBLE APPLICANT SHALL
BE PAID, FROM THE FUNDS APPROPRIATED FOR SUCH PURPOSE, PURSUANT TO  THIS
ARTICLE.    ANY  STATE  FUNDS SO PAID MAY BE EXPENDED ONLY ON A MATCHING
BASIS AND ONLY WITHIN TWELVE MONTHS OF SUCH PAYMENT, UNLESS AN EXTENSION
OF TIME HAS BEEN REQUESTED AND, UPON SHOWING OF GOOD CAUSE,  GRANTED  BY
THE COMMISSIONER.
  2. NO ADVERTISING OR MARKETING FUNDED FOR THE PURPOSES OF THIS ARTICLE
SHALL  CONTAIN  REFERENCE  TO  OR THE NAME OF ANY PUBLIC OFFICIAL OF THE
STATE OF NEW YORK OR ITS POLITICAL  SUBDIVISIONS.  "REFERENCE"  INCLUDES
BUT  IS  NOT  LIMITED TO PHOTOGRAPHS, DRAWINGS, CARICATURES, QUOTATIONS,
INVITATIONS, SIGNATURES, ENDORSEMENTS, OR SOUND OR VIDEO RECORDINGS.
  3. ANY LOGOTYPE, SPECIAL PRINTING CHARACTERS, SLOGAN, OR  LIKE  DEVICE
DEVELOPED  BY THE DEPARTMENT PURSUANT TO AN ADVERTISING CONSTRUCT ESTAB-
LISHED BY THE LEGISLATURE USED  TO  IDENTIFY  PRODUCTS  MANUFACTURED  IN
ACCORDANCE  WITH  AN  OFFICIAL  QUALITY  CONTROL  PROGRAM  AS  PART OF A
REGIONAL BUSINESS MARKETING PROGRAM SHALL BECOME  THE  PROPERTY  OF  THE
STATE  OF  NEW  YORK,  AND ITS USE MAY BE SUBJECT TO ADDITIONAL REQUIRE-
MENTS, AS AND IF DEEMED NECESSARY BY THE LEGISLATURE.
  S 249.   REPORTING  REQUIREMENTS.  1.  IN  ACCORDANCE  WITH  GENERALLY
ACCEPTED ACCOUNTING PRINCIPLES, EACH ELIGIBLE APPLICANT SHALL FURNISH AN
ANNUAL  FINANCIAL  STATEMENT  TO THE COMMISSIONER. SUCH REPORTS SHALL BE
SUBMITTED ON OR BEFORE JANUARY FIRST OF EACH YEAR.
  2. THE DEPARTMENT SHALL ANNUALLY, ON OR BEFORE MARCH FIRST, SUBMIT  TO
THE  GOVERNOR, THE TEMPORARY PRESIDENT OF THE SENATE, AND THE SPEAKER OF
THE ASSEMBLY A REPORT ON THE ACTIVITIES OF THE REGIONAL BUSINESS MARKET-
ING MATCHING FUNDS PROGRAM. SUCH REPORT SHALL INCLUDE A SUMMARY  OF  THE
FINANCIAL  STATEMENTS  RECEIVED  BY  THE DEPARTMENT FROM ELIGIBLE APPLI-
CANTS, A SUMMARY OF ACTIVITIES CONDUCTED  BY  ELIGIBLE  APPLICANTS,  AND
ANALYSES  OF  THE  EFFECTIVENESS  OF THE PROGRAM IN STIMULATING ECONOMIC
GROWTH AND JOB CREATION. AS A PRODUCT OF SUCH ANALYSES,  THE  DEPARTMENT
SHALL  COMPILE  AND  DISSEMINATE  TO  EACH ELIGIBLE APPLICANT A LIST AND
DESCRIPTION OF BEST PRACTICES IN ORDER TO FURTHER PROMOTE AND  ENCOURAGE
THE  LOCATION  AND  DEVELOPMENT  OF  NEW BUSINESSES IN THE STATE AND THE
EXPANSION AND DEVELOPMENT OF NEW MARKETS FOR NEW YORK PRODUCTS.
  S 2. This act shall take effect immediately.