senate Bill S1530

Requires state economic development agencies to provide preferences to small businesses and entrepreneurs in the programs that they administer

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Bill Status


  • Introduced
  • In Committee
  • On Floor Calendar
    • Passed Senate
    • Passed Assembly
  • Delivered to Governor
  • Signed/Vetoed by Governor
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actions

  • 09 / Jan / 2013
    • REFERRED TO COMMERCE, ECONOMIC DEVELOPMENT AND SMALL BUSINESS
  • 07 / May / 2013
    • 1ST REPORT CAL.581
  • 08 / May / 2013
    • 2ND REPORT CAL.
  • 20 / May / 2013
    • ADVANCED TO THIRD READING
  • 21 / Jun / 2013
    • COMMITTED TO RULES
  • 08 / Jan / 2014
    • REFERRED TO COMMERCE, ECONOMIC DEVELOPMENT AND SMALL BUSINESS
  • 29 / Apr / 2014
    • 1ST REPORT CAL.400
  • 30 / Apr / 2014
    • 2ND REPORT CAL.
  • 05 / May / 2014
    • ADVANCED TO THIRD READING
  • 07 / May / 2014
    • PASSED SENATE
  • 07 / May / 2014
    • DELIVERED TO ASSEMBLY
  • 07 / May / 2014
    • REFERRED TO WAYS AND MEANS

Summary

Requires the department of economic development, job development authority, and urban development corporation to provide preferences to small businesses and entrepreneurs in the administration of their economic development assistance programs; requires annual reports thereon.

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Bill Details

See Assembly Version of this Bill:
A4738
Versions:
S1530
Legislative Cycle:
2013-2014
Current Committee:
Law Section:
Economic Development Law
Laws Affected:
Add §101-a, Ec Dev L; amd §1823, Pub Auth L; add §4-a, UDC Act
Versions Introduced in Previous Legislative Cycles:
2011-2012: S4410, S4410
2009-2010: S3802, S3802

Sponsor Memo

BILL NUMBER:S1530

TITLE OF BILL:
An act
to amend the economic development law, the public
authorities law and the
New York state urban development corporation act, in relation to
providing a preference to small businesses and entrepreneurs in the
award of state economic development assistance

PURPOSE OR GENERAL IDEA OF BILL:
To require that State economic development agencies give preference to
the small businesses and entrepreneurs in the award of State economic
development assistance.

SUMMARY OF SPECIFIC PROVISIONS:
This bill would direct the Department of Economic Development, the Job
Development Authority, the New York State Office of Science,
Technology and Academic Research and the Urban Development
Corporation to give preference to small businesses and entrepreneurs
seeking State economic development funds.

This bill would require that within each statutory economic
development program, the State agency or authority actively market
the program to
small businesses and entrepreneurs, assist small businesses and
entrepreneurs in accessing the program, and in the review of
applications for program funds, give priority to those applications
from small businesses and entrepreneurs. The bill would also require
each State economic development agency to report annually on
activities undertaken to provide small businesses and entrepreneurs
with a preference in the award of funds, and to list those businesses
and entrepreneurs.

This bill would amend the economic development law, the public
authorities law with respect to the Job Development Authority and the
New York State Office of Science, Technology and Academic Research
and the Urban Development Corporation Act.

JUSTIFICATION:
Small businesses and entrepreneurs create eight out of every ten new
jobs in New York State. Although many State economic development
Programs have been created specifically to assist small businesses
and entrepreneurs in creating or retaining jobs, in reality larger
businesses often have a competitive advantage in accessing State
assistance,
with greater levels of resources and in-house expertise. Often times
state economic development agencies also display a clear preference
for larger, higher-profile capital projects at the expense of small
business formation and growth.

This bill would vest each State economic development agency and each
State economic development program with the mission of ensuring that
small businesses and entrepreneurs are provided with the information
and assistance they require accessing every state economic
development program. The bill would also direct each state economic


development agency to evaluate applications for financial assistance
with the goal
of ensuring that small businesses and entrepreneurs receive priority
consideration in the award of limited state funds.

By establishing a clear preference in the award of State economic
development funds to small businesses and entrepreneurs, the state
may more
effectively target its limited economic development resources to those
businesses in greatest need of assistance and with greatest job
creation potential.

PRIOR LEGISLATIVE HISTORY:
2004: Senate Commerce Cmte./Passed Assembly
2005-06: Senate Commerce Cmte./Passed Assembly
2007-08: Passed Senate/Passed Assembly
2009-10: S.3802 Commerce, Economic Development & Small Business Cmte.
2011-12: S.4410 Passed Senate 2011; Committed to Rules in 2012 /
Assembly Ways and Means

FISCAL IMPLICATIONS:
No fiscal implications have been identified.

EFFECTIVE DATE: Immediately

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

                                  1530

                       2013-2014 Regular Sessions

                            I N  S E N A T E

                               (PREFILED)

                             January 9, 2013
                               ___________

Introduced by Sens. FLANAGAN, DeFRANCISCO, LARKIN, MARTINS -- read twice
  and ordered printed, and when printed to be committed to the Committee
  on Commerce, Economic Development and Small Business

AN ACT to amend the economic development law, the public authorities law
  and  the New York state urban development corporation act, in relation
  to providing a preference to small businesses and entrepreneurs in the
  award of state economic development assistance

  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
section 101-a to read as follows:
  S 101-A. PREFERENCES TO SMALL BUSINESSES AND  ENTREPRENEURS.  IN  EACH
PROGRAM  ADMINISTERED  BY  OR ON BEHALF OF THE DEPARTMENT PURSUANT TO AN
APPROPRIATION OF FUNDS, AND CONSISTENT WITH ANY STATUTE  GOVERNING  SUCH
PROGRAM,  PREFERENCE  SHALL BE GIVEN TO THE AWARD OF SUCH FUNDS TO SMALL
BUSINESSES AND ENTREPRENEURS. SUCH PREFERENCE SHALL INCLUDE, BUT NOT  BE
LIMITED  TO, ACTIVE MARKETING OF THE PROGRAM SPECIFICALLY TO SMALL BUSI-
NESSES AND ENTREPRENEURS, PROVIDING ASSISTANCE TO INDIVIDUAL SMALL BUSI-
NESSES AND ENTREPRENEURS IN ACCESSING AVAILABLE FUNDS UNDER THE PROGRAM,
AND ESTABLISHING AND WORKING TO MEET THE GOAL OF AWARDING TWENTY PERCENT
OF AVAILABLE FUNDS UNDER THE PROGRAM TO SMALL BUSINESSES  AND  ENTREPRE-
NEURS.  FOR PURPOSES OF THIS SECTION, THE TERM "ENTREPRENEUR" SHALL MEAN
A PERSON WHO ORGANIZES, OPERATES, AND ASSUMES THE  RISK  OF  A  START-UP
BUSINESS  VENTURE.  THE  DEPARTMENT  SHALL  INCLUDE IN THE ANNUAL REPORT
REQUIRED PURSUANT TO SUBDIVISION THIRTY-SEVEN-A OF SECTION  ONE  HUNDRED
OF  THIS  ARTICLE  A  DESCRIPTION  OF ACTIVITIES, A LISTING OF PROPOSALS
RECEIVING FINANCIAL ASSISTANCE PURSUANT TO  THIS  SECTION  AND  IDENTIFY
WHETHER THE TWENTY PERCENT GOAL WAS MET FOR EACH PROGRAM.
  S 2. Section 1823 of the public authorities law is amended by adding a
new subdivision 8 to read as follows:

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD05644-01-3

S. 1530                             2

  8.  IN EACH PROGRAM ADMINISTERED BY OR ON BEHALF OF THE AUTHORITY, AND
CONSISTENT WITH ANY STATUTE GOVERNING SUCH PROGRAM, PREFERENCE SHALL  BE
GIVEN  TO THE AWARD OF SUCH FUNDS TO SMALL BUSINESSES AND ENTREPRENEURS.
SUCH PREFERENCE SHALL INCLUDE, BUT NOT BE LIMITED TO,  ACTIVE  MARKETING
OF  THE  PROGRAM  SPECIFICALLY  TO  SMALL  BUSINESSES AND ENTREPRENEURS,
PROVIDING ASSISTANCE TO INDIVIDUAL SMALL BUSINESSES AND ENTREPRENEURS IN
ACCESSING AVAILABLE FUNDS UNDER THE PROGRAM, AND ESTABLISHING AND  WORK-
ING TO MEET THE GOAL OF AWARDING TWENTY PERCENT OF AVAILABLE FUNDS UNDER
THE PROGRAM TO SMALL BUSINESSES AND ENTREPRENEURS.  FOR PURPOSES OF THIS
SUBDIVISION,  THE  TERM  "SMALL BUSINESS" SHALL HAVE THE SAME MEANING AS
PROVIDED IN SECTION ONE HUNDRED THIRTY-ONE OF THE  ECONOMIC  DEVELOPMENT
LAW  AND  THE  TERM  "ENTREPRENEUR"  SHALL  MEAN A PERSON OR PERSONS WHO
ORGANIZES, OPERATES,  AND  ASSUMES  THE  RISK  OF  A  START-UP  BUSINESS
VENTURE.  THE  AUTHORITY  SHALL  INCLUDE  IN  THE  ANNUAL PROGRAM REPORT
REQUIRED PURSUANT TO SECTION  EIGHTEEN  HUNDRED  TWENTY-NINE-A  OF  THIS
TITLE  A DESCRIPTION OF ACTIVITIES, A LISTING OF PROPOSALS PROVIDED WITH
FINANCIAL ASSISTANCE PURSUANT TO THIS SECTION AND IDENTIFY  WHETHER  THE
TWENTY PERCENT GOAL WAS MET FOR EACH PROGRAM.
  S 3. Section 1 of chapter 174 of the laws of 1968 constituting the New
York  state urban development corporation act is amended by adding a new
section 4-a to read as follows:
  S 4-A.  PREFERENCES TO SMALL BUSINESSES AND ENTREPRENEURS.    IN  EACH
PROGRAM  ADMINISTERED  BY OR ON BEHALF OF THE CORPORATION PURSUANT TO AN
APPROPRIATION OF FUNDS, AND CONSISTENT WITH ANY STATUTE  GOVERNING  SUCH
PROGRAM,  PREFERENCE  SHALL BE GIVEN TO THE AWARD OF SUCH FUNDS TO SMALL
BUSINESSES AND ENTREPRENEURS.  SUCH PREFERENCE SHALL INCLUDE, BUT NOT BE
LIMITED TO, ACTIVE MARKETING OF THE PROGRAM SPECIFICALLY TO SMALL  BUSI-
NESSES AND ENTREPRENEURS, PROVIDING ASSISTANCE TO INDIVIDUAL SMALL BUSI-
NESSES AND ENTREPRENEURS IN ACCESSING AVAILABLE FUNDS UNDER THE PROGRAM,
AND ESTABLISHING AND WORKING TO MEET THE GOAL OF AWARDING TWENTY PERCENT
OF  AVAILABLE  FUNDS UNDER THE PROGRAM TO SMALL BUSINESSES AND ENTREPRE-
NEURS.  FOR PURPOSES OF THIS SECTION, THE TERM  "SMALL  BUSINESS"  SHALL
HAVE  THE SAME MEANING AS PROVIDED IN SECTION 131 OF THE ECONOMIC DEVEL-
OPMENT LAW AND THE TERM "ENTREPRENEUR" SHALL MEAN A  PERSON  OR  PERSONS
WHO  ORGANIZES,  OPERATES,  AND  ASSUMES THE RISK OF A START-UP BUSINESS
VENTURE. THE CORPORATION SHALL INCLUDE  IN  THE  ANNUAL  PROGRAM  REPORT
REQUIRED  PURSUANT TO SECTION THIRTY OF THIS ACT A DESCRIPTION OF ACTIV-
ITIES, A LISTING OF PROPOSALS PROVIDED WITH FINANCIAL ASSISTANCE  PURSU-
ANT TO THIS SECTION AND IDENTIFY WHETHER THE TWENTY PERCENT GOAL WAS MET
FOR EACH PROGRAM.
  S 4. This act shall take effect immediately.

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