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

                                  5914

                       2009-2010 Regular Sessions

                          I N  A S S E M B L Y

                            February 23, 2009
                               ___________

Introduced  by  M.  of A. TOWNS, GREENE -- read once and referred to the
  Committee on Economic Development, Job Creation, Commerce and Industry

AN ACT to amend the economic development law, in relation to  establish-
  ing the "minimum standards for subsidized jobs act"

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

  Section 1. Short title. This act shall be known and may  be  cited  as
the "minimum standards for subsidized jobs act."
  S  2.  Findings and purpose. The legislature hereby finds and declares
that every year, the state of New York awards increasingly large amounts
of dollars in economic development subsidies to  for-profit  businesses.
When  government  invests  in economic development, it makes no economic
sense to support the creation or promotion of  jobs  that  do  not  give
workers  the  chance to earn a decent living. When state-subsidized jobs
provide low wages and poor benefits, they increase the need for  govern-
ment  services,  including  public  assistance for food, housing, health
care, and childcare.
  The purpose of this act is to improve the  effectiveness  of  economic
development  expenditures,  take  pressure  off  state  social  services
programs, and improve the public health and  welfare  by  ensuring  that
major state subsidies are used to support at least minimum living stand-
ards for working families.
  S  3.  The economic development law is amended by adding a new article
17 to read as follows:
                                ARTICLE 17
                MINIMUM STANDARDS FOR SUBSIDIZED JOBS ACT
SECTION 350. DEFINITIONS.
        351. MINIMUM STANDARDS FOR WAGES AND BENEFITS.
        352. ENFORCEMENT.
  S 350. DEFINITIONS. FOR PURPOSES OF THIS ARTICLE:

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD02366-01-9

              

A. 5914                             2

  1. "ECONOMIC DEVELOPMENT SUBSIDY"  MEANS  ANY  EXPENDITURE  OF  PUBLIC
FUNDS  WITH A VALUE OF AT LEAST $100,000, FOR THE PURPOSE OF STIMULATING
ECONOMIC DEVELOPMENT WITHIN THE STATE,  INCLUDING  BUT  NOT  LIMITED  TO
BONDS,  GRANTS,  LOANS,  LOAN  GUARANTEES, ENTERPRISE ZONES, EMPOWERMENT
ZONES,  TAX  INCREMENT FINANCING, GRANTS, FEE WAIVERS, LAND PRICE SUBSI-
DIES, MATCHING FUNDS, TAX ABATEMENTS, TAX EXEMPTIONS, AND TAX CREDITS.
  2. "COMMISSIONER" MEANS THE COMMISSIONER OF LABOR, OR THE  COMMISSION-
ER'S DESIGNEE OR DESIGNEES.
  S 351. MINIMUM STANDARDS FOR WAGES AND BENEFITS. 1. NO PERSON, ASSOCI-
ATION,  CORPORATION  OR  OTHER  ENTITY  SHALL BE ELIGIBLE TO RECEIVE ANY
ECONOMIC DEVELOPMENT SUBSIDY UNLESS THAT ENTITY:
  (A) PAYS EACH OF ITS EMPLOYEES IN THE STATE A MINIMUM WAGE THAT IS  AT
LEAST ONE DOLLAR PER HOUR HIGHER THAN THE STATE MINIMUM WAGE PROVIDED IN
ARTICLE NINETEEN OF THE LABOR LAW;
  (B)  OFFERS  TO  EACH  OF ITS EMPLOYEES IN THE STATE WHO WORK AT LEAST
THIRTY-FIVE HOURS PER WEEK A HEALTH INSURANCE BENEFITS  PLAN  FOR  WHICH
THE  EMPLOYER  PAYS  AT LEAST EIGHTY PERCENT OF THE MONTHLY PREMIUM, AND
THE COVERAGE PAYS AT LEAST EIGHTY PERCENT  OF  THE  COSTS  OF  PHYSICIAN
OFFICE VISITS, EMERGENCY CARE, SURGERY, AND PRESCRIPTIONS WITH AN ANNUAL
DEDUCTIBLE OF NO MORE THAN ONE THOUSAND DOLLARS; AND
  (C)  OFFERS  TO  AT LEAST TWENTY PERCENT OF ITS WORKERS IN THE STATE A
WORKER TRAINING PROGRAM THAT  MEETS  MINIMUM  STANDARDS  ISSUED  BY  THE
COMMISSIONER.
  2. THIS SECTION DOES NOT APPLY TO:
  (A)  A  NOT-FOR-PROFIT  ENTITY  THAT IS EXEMPT FROM TAXATION UNDER THE
INTERNAL REVENUE CODE; OR
  (B) AN INTERN OR TRAINEE WHO IS UNDER TWENTY-ONE YEARS OF AGE AND  WHO
IS EMPLOYED FOR A PERIOD NOT LONGER THAN THREE MONTHS.
  3.  IF  THE  COMMISSIONER  DETERMINES THAT APPLICATION OF THIS SECTION
WOULD CONFLICT WITH A FEDERAL  PROGRAM  REQUIREMENT,  THE  COMMISSIONER,
AFTER  NOTICE  AND  PUBLIC HEARING, MAY GRANT A WAIVER FROM THE REQUIRE-
MENTS OF THIS SECTION.
  S 352. ENFORCEMENT. 1. THE COMMISSIONER SHALL  PROMULGATE  SUCH  REGU-
LATIONS  AS ARE NECESSARY TO IMPLEMENT AND ADMINISTER COMPLIANCE OF THIS
SECTION.
  2.  NO  PERSON,  ASSOCIATION,  CORPORATION  OR  OTHER   ENTITY   SHALL
DISCHARGE,  DEMOTE, HARASS OR OTHERWISE TAKE ADVERSE ACTIONS AGAINST ANY
INDIVIDUAL  BECAUSE  SUCH  INDIVIDUAL  SEEKS  THE  ENFORCEMENT  OF  THIS
SECTION,  OR  TESTIFIES,  ASSISTS  OR  PARTICIPATES  IN ANY MANNER IN AN
INVESTIGATION, HEARING OR OTHER PROCEEDING TO ENFORCE THE PROVISIONS  OF
THIS SECTION.
  3.  NO ENTITY SHALL PAY AN EMPLOYEE THROUGH A THIRD PARTY, OR TREAT AN
EMPLOYEE AS A SUBCONTRACTOR OR  INDEPENDENT  CONTRACTOR,  TO  AVOID  THE
REQUIREMENTS OF THIS SECTION.
  S  4.  This act shall take effect on the first of July next succeeding
the date on which it shall have become a law  and  shall  apply  to  any
economic  development  subsidy awarded or renewed on or after such date;
provided, however, that effective immediately, the  addition,  amendment
and/or repeal of any rule or regulation necessary for the implementation
of this act on its effective date are authorized and directed to be made
and completed on or before such date.