S T A T E   O F   N E W   Y O R K
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                                  1874

                       2009-2010 Regular Sessions

                          I N  A S S E M B L Y

                            January 12, 2009
                               ___________

Introduced  by M. of A. BRODSKY -- read once and referred to the Commit-
  tee on Corporations, Authorities and Commissions

AN ACT to amend the public authorities law,  the  not-for-profit  corpo-
  ration  law and the general municipal law, in relation to borrowing by
  public authorities, not-for-profit corporations, and industrial devel-
  opment agencies

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

  Section  1.  The  public  authorities  law  is amended by adding a new
section 2960-a to read as follows:
  S 2960-A. LIMITATIONS ON BORROWING. NO  PUBLIC  AUTHORITY  OR  OFFICER
THEREOF  MAY  TAKE ANY ACTION TO AUTHORIZE, APPROVE, ISSUE, OR OTHERWISE
FACILITATE THE ISSUANCE, MARKETING, SALE, OR APPROVAL  OF  ANY  BOND  OR
BORROWING WHOSE AGGREGATE AMOUNT EXCEEDS FIFTY MILLION DOLLARS UNLESS 1.
THE  PROJECTS  PROJECTED  JOB CREATION AND/OR INVESTMENT IN THE PROPOSED
LOCATION OR LOCATIONS VERSUS THE TOTAL AMOUNT OF BENEFITS  THE  BUSINESS
ENTERPRISE  WILL  POTENTIALLY RECEIVE SHALL BE A RATIO OF AT LEAST 20:1,
THE NUMERATOR OF WHICH IS THE SUM OF (A)  THE  ESTIMATED  VALUE  OF  ALL
WAGES  AND  BENEFITS PAID TO ALL EXISTING AND PROJECTED EMPLOYEES OF THE
BUSINESS ENTERPRISE AT THE LOCATION OR LOCATIONS AND (B)  THE  ESTIMATED
VALUE  OF  CAPITAL  INVESTMENTS  FOR  THE LOCATION OR LOCATIONS, AND THE
DENOMINATOR OF WHICH IS THE ESTIMATED AMOUNT OF TOTAL BENEFITS THAT  MAY
BE  USED  BY  THE  BUSINESS  ENTERPRISE;  AND 2. THE COST OF CREATION OF
PERMANENT NEW JOBS IS LESS THAN FIFTY THOUSAND DOLLARS.
  S 2. Section 506 of the not-for-profit corporation law is  amended  by
adding a new paragraph (e) to read as follows:
  (E) LIMITATIONS ON BORROWING. NO NOT-FOR-PROFIT CORPORATION OR OFFICER
THEREOF  MAY  TAKE ANY ACTION TO AUTHORIZE, APPROVE, ISSUE, OR OTHERWISE
FACILITATE THE ISSUANCE, MARKETING, SALE, OR APPROVAL  OF  ANY  BOND  OR
BORROWING  WHOSE  AGGREGATE  AMOUNT EXCEEDS FIFTY MILLION DOLLARS UNLESS
(1) THE  PROJECTS  PROJECTED  JOB  CREATION  AND/OR  INVESTMENT  IN  THE

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD05695-01-9
              

A. 1874                             2

PROPOSED  LOCATION  OR LOCATIONS VERSUS THE TOTAL AMOUNT OF BENEFITS THE
BUSINESS ENTERPRISE WILL POTENTIALLY RECEIVE SHALL  BE  A  RATIO  OF  AT
LEAST 20:1, THE NUMERATOR OF WHICH IS THE SUM OF (I) THE ESTIMATED VALUE
OF  ALL  WAGES AND BENEFITS PAID TO ALL EXISTING AND PROJECTED EMPLOYEES
OF THE BUSINESS ENTERPRISE AT THE LOCATION OR  LOCATIONS  AND  (II)  THE
ESTIMATED  VALUE  OF  CAPITAL INVESTMENTS FOR THE LOCATION OR LOCATIONS,
AND THE DENOMINATOR OF WHICH IS THE ESTIMATED AMOUNT OF  TOTAL  BENEFITS
THAT  MAY  BE  USED  BY  THE  BUSINESS  ENTERPRISE;  AND (2) THE COST OF
CREATION OF PERMANENT NEW JOBS IS LESS THAN FIFTY THOUSAND DOLLARS.
  S 3. The general municipal law is amended  by  adding  a  new  section
858-c to read as follows:
  S 858-C. LIMITATIONS ON BORROWING. NO INDUSTRIAL DEVELOPMENT AGENCY OR
OFFICER  THEREOF  MAY  TAKE  ANY ACTION TO AUTHORIZE, APPROVE, ISSUE, OR
OTHERWISE FACILITATE THE ISSUANCE, MARKETING, SALE, OR APPROVAL  OF  ANY
BOND  OR  BORROWING WHOSE AGGREGATE AMOUNT EXCEEDS FIFTY MILLION DOLLARS
UNLESS (1) THE PROJECTS PROJECTED JOB CREATION AND/OR INVESTMENT IN  THE
PROPOSED  LOCATION  OR LOCATIONS VERSUS THE TOTAL AMOUNT OF BENEFITS THE
BUSINESS ENTERPRISE WILL POTENTIALLY RECEIVE SHALL  BE  A  RATIO  OF  AT
LEAST 20:1, THE NUMERATOR OF WHICH IS THE SUM OF (I) THE ESTIMATED VALUE
OF  ALL  WAGES AND BENEFITS PAID TO ALL EXISTING AND PROJECTED EMPLOYEES
OF THE BUSINESS ENTERPRISE AT THE LOCATION OR  LOCATIONS  AND  (II)  THE
ESTIMATED  VALUE  OF  CAPITAL INVESTMENTS FOR THE LOCATION OR LOCATIONS,
AND THE DENOMINATOR OF WHICH IS THE ESTIMATED AMOUNT OF  TOTAL  BENEFITS
THAT  MAY  BE  USED  BY  THE  BUSINESS  ENTERPRISE;  AND (2) THE COST OF
CREATION OF PERMANENT NEW JOBS IS LESS THAN FIFTY THOUSAND DOLLARS.
  S 4. This act shall take effect immediately.