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

                                  2526

                       2009-2010 Regular Sessions

                            I N  S E N A T E

                            February 23, 2009
                               ___________

Introduced  by  Sens. LAVALLE, LARKIN, PADAVAN -- read twice and ordered
  printed, and when printed to be committed to the  Committee  on  Local
  Government

AN  ACT  to amend the general municipal law, the environmental conserva-
  tion law, the public authorities law, the agriculture and markets law,
  the real property tax law, the state finance  law  and  the  executive
  law, in relation to enacting the Smart Growth for the New Century Act

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

  Section 1.   Legislative findings and  declarations.  The  legislature
hereby finds and declares that:
  New  York  state  has  a  history of leading the way in protecting the
environment, encouraging economic activity, and pursuing equity for  all
of  its  citizens. However, planning and zoning actions of local govern-
ments and  state  infrastructure  funding  decisions  have  supported  a
pattern  of  settlement  and  land  use which necessitates expansive and
expensive infrastructure resulting  in  new  roadways,  water  supplies,
sewer  treatment  facilities,  utilities  and other public facilities at
great cost to the taxpayer and ratepayer. With this pattern of dispersed
development, public investment in  existing  infrastructure  located  in
traditional  main  streets,  downtown  areas and established suburbs has
been underutilized and those areas have suffered economically.
  Local governments need to focus on soundly planned growth,  so  called
smart  growth,  through a collaborative community based effort to arrive
at a workable plan generated by the community,  which  responds  to  the
economic,  social  and  environmental  needs of the municipality and the
region. Local governments should encourage and  support  development  in
target  areas that have previously been developed or in designated areas
that make economic, social and environmental sense as target  areas  for
new development.

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD02969-01-9

              

S. 2526                             2

  Intelligent  land  use  planning requires coordination and consistency
among all levels of government. In order to promote regional  goals,  it
is  time for the state and local governments to work together to achieve
efficient and effective infrastructure investment, consistency and fair-
ness in land use decisions and the protection of New York's long history
of home rule.
  The Smart Growth for the New Century Act sets out a process to achieve
an  improved  economy, a healthier environment and equity for the people
of New York.
  S 2.  Short title. This act shall be known and may  be  cited  as  the
"Smart Growth for the New Century Act".
  S  3.  Article  20 and sections 1000 and 1001 of the general municipal
law, as renumbered by chapter 84 of the laws  of  1981,  are  renumbered
article  21  and sections 1100 and 1101 and a new article 20 is added to
read as follows:
                               ARTICLE 20
                  SMART GROWTH FOR THE NEW CENTURY ACT
SECTION 1000. SHORT TITLE.
        1001. DEFINITIONS.
        1002. SMART GROWTH PRINCIPLES.
        1003. SMART GROWTH PLAN.
        1004. SMART GROWTH COMPACT.
        1005. SMART GROWTH REVIEW BOARD.
        1006. POWERS AND DUTIES.
        1007. CERTIFICATION PROCEDURE.
        1008. STATE CONSISTENCY AND INCENTIVES.
        1009. MUNICIPAL AUTHORIZATION INCENTIVES.
  S 1000. SHORT TITLE.  THIS ARTICLE SHALL BE KNOWN AND MAY BE CITED  AS
THE "SMART GROWTH FOR THE NEW CENTURY ACT".
  S  1001.  DEFINITIONS.    AS USED IN THIS ARTICLE, THE FOLLOWING TERMS
SHALL MEAN:
  1. "SMART GROWTH PLAN" OR "PLAN" SHALL MEAN THE DOCUMENT  MEETING  THE
REQUIREMENTS  OF SECTION ONE THOUSAND THREE OF THIS ARTICLE, INCLUDING A
PLAN PREPARED THROUGH THE COMPACT PROCESS PURSUANT TO SECTION ONE  THOU-
SAND  FOUR  OF THIS ARTICLE, AND SUBMITTED FOR CERTIFICATION PURSUANT TO
SECTION ONE THOUSAND SEVEN OF THIS ARTICLE.
  2. "LAND USE REGULATION" SHALL MEAN AN ORDINANCE OR LOCAL LAW  ENACTED
BY  A  LOCAL GOVERNMENT FOR THE REGULATION OF ANY ASPECT OF LAND USE AND
COMMUNITY RESOURCE PROTECTION  AND  INCLUDES  ANY  ZONING,  SUBDIVISION,
SPECIAL USE PERMIT OR SITE PLAN REGULATION OR ANY OTHER REGULATION WHICH
PRESCRIBES  THE  APPROPRIATE  USE OF PROPERTY OR THE SCALE, LOCATION AND
INTENSITY OF DEVELOPMENT.
  3. "GROWTH" SHALL MEAN COMMERCIAL, RESIDENTIAL, OR INDUSTRIAL DEVELOP-
MENT IN A PREVIOUSLY UNDEVELOPED AREA OR AREA WITH LIMITED DEVELOPMENT.
  4. "REDEVELOPMENT" SHALL MEAN COMMERCIAL, RESIDENTIAL,  OR  INDUSTRIAL
DEVELOPMENT IN A PREVIOUSLY DEVELOPED AREA.
  5.  "PRESERVATION"  SHALL  MEAN MAINTAINING LANDS IN EXISTING USES, OR
USES THAT ARE COMPATIBLE WITH EXISTING USES AND WHICH  DO  NOT  INCREASE
THE  OVERALL DENSITY OF DEVELOPMENT IN AN AREA AND MAINTAIN SCENIC, OPEN
SPACE, WATER QUALITY, WETLANDS, AGRICULTURAL LANDS AND  WILDLIFE  CONDI-
TIONS IN AN AREA, OR RESTORING LANDS TO AN OPEN CONDITION.
  6. "PUBLIC OPEN SPACE" MEANS PRESERVATION AREAS THAT ARE ACCESSIBLE TO
THE GENERAL PUBLIC FOR RECREATIONAL OR SCENIC USE, OR WHICH ARE RESERVED
FOR WILDLIFE.
  7. "BOARD" SHALL MEAN THE SMART GROWTH REVIEW BOARD.

S. 2526                             3

  8.  "SMART  GROWTH  COMPACT  COUNCIL",  "COMPACT COUNCIL" OR "COUNCIL"
SHALL MEAN A COUNCIL ESTABLISHED PURSUANT TO SECTION ONE  THOUSAND  FOUR
OF THIS ARTICLE.
  9.  "SMART GROWTH COMPACT AREA", "COMPACT AREA" OR "AREA" SHALL MEAN A
REGION DESIGNATED PURSUANT TO SECTION ONE THOUSAND FOUR OF THIS ARTICLE.
  10. "PARTICIPATING COMMUNITY" SHALL  MEAN  A  COUNTY,  CITY,  TOWN  OR
VILLAGE  IN  A DESIGNATED AREA WITH A CERTIFIED COMPACT PLAN AND, IN THE
CASE OF A CITY, TOWN OR VILLAGE, APPROVED IMPLEMENTING  LAND  USE  REGU-
LATIONS.
  S  1002.  SMART GROWTH PRINCIPLES.   THE SMART GROWTH PRINCIPLES SHALL
BE:
  1. PUBLIC INVESTMENT. TO PLAN SO AS TO ACCOUNT FOR  AND  MINIMIZE  THE
TRUE  SOCIAL,  ECONOMIC  AND  ENVIRONMENTAL  COSTS  OF  NEW DEVELOPMENT,
INCLUDING INFRASTRUCTURE COSTS SUCH AS TRANSPORTATION, SEWERS AND WASTE-
WATER TREATMENT, WATER, SCHOOLS, RECREATION, AND OPEN SPACE;
  2. ECONOMIC DEVELOPMENT. TO ENCOURAGE ECONOMIC  DEVELOPMENT  IN  AREAS
WHERE  TRANSPORTATION, WATER AND SEWER INFRASTRUCTURE ARE READILY AVAIL-
ABLE OR ECONOMICALLY PRACTICAL;
  3.  CONSERVATION.  TO  PROTECT,  PRESERVE,  AND  ENHANCE  THE  STATE'S
RESOURCES,  INCLUDING  AGRICULTURAL  LAND,  FORESTS,  SURFACE  WATER AND
GROUNDWATER, RECREATION AND OPEN SPACE, SCENIC  AREAS,  AND  SIGNIFICANT
HISTORIC AND ARCHAEOLOGICAL SITES;
  4. COORDINATION. TO PROMOTE COORDINATION OF STATE AND LOCAL GOVERNMENT
DECISIONS  AND  COOPERATION  AMONG  COMMUNITIES TO WORK TOWARDS THE MOST
EFFICIENT, PLANNED, AND COST-EFFECTIVE DELIVERY OF  GOVERNMENT  SERVICES
BY,  AMONG  OTHER MEANS, FACILITATING COOPERATIVE AGREEMENTS AMONG ADJA-
CENT COMMUNITIES AND TO COORDINATE PLANNING TO ENSURE  COMPATIBILITY  OF
ONE COMMUNITY'S DEVELOPMENT WITH DEVELOPMENT OF NEIGHBORING COMMUNITIES;
  5. COMMUNITY DESIGN. TO STRENGTHEN COMMUNITIES BY ADOPTING DEVELOPMENT
AND  REDEVELOPMENT  STRATEGIES,  INCLUDING INTEGRATION OF ALL INCOME AND
AGE GROUPS, MIXED LAND USES AND COMPACT DEVELOPMENT, DOWNTOWN  REVITALI-
ZATION,  BROWNFIELD REDEVELOPMENT, ENHANCED BEAUTY IN PUBLIC SPACES, AND
DIVERSE AND AFFORDABLE HOUSING IN PROXIMITY  TO  PLACES  OF  EMPLOYMENT,
RECREATION AND COMMERCIAL DEVELOPMENT;
  6.   TRANSPORTATION.  TO  PROVIDE  TRANSPORTATION  CHOICES,  INCLUDING
INCREASING PUBLIC TRANSIT, IN ORDER  TO  REDUCE  AUTOMOBILE  DEPENDENCY,
TRAFFIC CONGESTION AND AUTOMOBILE POLLUTION; AND
  7.  CONSISTENCY.  TO  ENSURE  PREDICTABILITY  IN BUILDING AND LAND USE
CODES.
  S 1003. SMART GROWTH PLAN.   1. ANY VILLAGE,  TOWN,  CITY,  COUNTY  OR
SMART  GROWTH  COMPACT  COUNCIL  EXCEPT  CITIES WITH A POPULATION OF ONE
MILLION OR MORE, MAY SUBMIT A SMART GROWTH PLAN TO  THE  BOARD.  SUCH  A
PLAN SHALL:
  A.  IMPLEMENT  THE  SMART  GROWTH  PRINCIPLES SET FORTH IN SECTION ONE
THOUSAND TWO OF THIS ARTICLE;
  B. PRESENT A LONG-RANGE PLAN OF NO LESS THAN TWENTY YEARS WHICH  SHALL
DETAIL GROWTH AND CONSERVATION GOALS, AS WELL AS INFRASTRUCTURE, CAPITAL
AND SERVICE REQUIREMENTS NEEDED TO MEET SUCH GOALS;
  C.  INCLUDE A MAP OR MAPS DELINEATING ALL AREAS DESIGNATED IN THE PLAN
FOR GROWTH, REDEVELOPMENT, PRESERVATION, PUBLIC  OPEN  SPACE,  OR  OTHER
DESIGNATIONS CONTAINED IN THE LONG-RANGE PLAN;
  D.  DEMONSTRATE THE MANNER IN WHICH EXISTING OR PLANNED LAND USE REGU-
LATIONS WILL ENSURE COMPLIANCE WITH THE PLAN; AND
  E. DEMONSTRATE THE EXTENT OF PUBLIC PARTICIPATION IN THE  CREATION  OF
THE  PLAN, AND THE MANNER IN WHICH PUBLIC PARTICIPATION WILL BE INCLUDED
IN THE IMPLEMENTATION OF THE PLAN.

S. 2526                             4

  2. A SMART GROWTH PLAN MAY CONSIST OF  A  COMPREHENSIVE  PLAN  OR  ANY
OTHER  DOCUMENT  THAT  SATISFIES  THE  ELEMENTS  OF THIS SECTION AND THE
REQUIREMENTS OF THE BOARD.
  3.  IN  ORDER  TO  ADOPT A SMART GROWTH PLAN OR AMENDMENT THERETO, THE
LOCAL LEGISLATIVE BODY OR BODIES SHALL:
  A. CONVENE A  SERIES  OF  CONSENSUS-BUILDING  MEETINGS  AND  TECHNICAL
SESSIONS  THAT MAY BE IN COORDINATION WITH FEDERAL, STATE, COUNTY, OTHER
LOCAL GOVERNMENTS,  REGIONAL  AND  LOCAL  PUBLIC  CORPORATIONS,  SPECIAL
DISTRICTS  AND  PRIVATE ORGANIZATIONS TO DISCUSS LOCAL IMPLEMENTATION OF
SMART GROWTH PRINCIPLES;
  B. PREPARE OR CAUSE TO BE PREPARED A DRAFT PLAN OR AMENDMENT;
  C. HOLD ONE OR MORE PUBLIC HEARINGS AND  SUCH  OTHER  MEETINGS  AS  IT
DEEMS  NECESSARY TO ASSURE FULL OPPORTUNITY FOR CITIZEN PARTICIPATION IN
THE REVIEW OF SUCH DRAFT PLAN OR AMENDMENT. THE HEARING RECORD  FOR  ANY
SUCH HEARING SHALL REMAIN OPEN FOR AT LEAST NINETY DAYS;
  D. PROVIDE NOTICE OF ANY PUBLIC HEARING PURSUANT TO THIS SECTION WHICH
SHALL  BE PUBLISHED IN A NEWSPAPER OF GENERAL CIRCULATION IN THE MUNICI-
PALITY OR MUNICIPALITIES AT LEAST TEN CALENDAR DAYS  BUT  NO  MORE  THAN
TWENTY DAYS IN ADVANCE OF THE HEARING;
  E. MAKE AVAILABLE FOR PUBLIC REVIEW ANY PLAN OR AMENDMENT SUBJECT TO A
PUBLIC HEARING PURSUANT TO THIS SECTION AT A MUNICIPAL OFFICE AND AT ANY
OTHER  APPROPRIATE  PUBLIC  PLACE,  INCLUDING A PUBLIC LIBRARY, FROM THE
DATE OF NOTICE TO THE CLOSE OF THE PUBLIC HEARING RECORD;
  F. HOLD ONE OR MORE PUBLIC HEARINGS PRIOR TO  ADOPTION  OF  THE  FINAL
PLAN.    THE  HEARING  RECORD FOR ANY SUCH HEARING SHALL REMAIN OPEN FOR
THIRTY DAYS;
  G. ADOPT SUCH PLAN OR AMENDMENT THERETO BY LOCAL LAW OR ORDINANCE;
  H. SUBMIT THE FINAL ADOPTED PLAN OR AMENDMENT THERETO  WITH  COMPLETED
APPLICATION FORM TO THE BOARD FOR CERTIFICATION; AND
  I.  REVIEW  THE  SMART GROWTH PLAN NOT LESS THAN EVERY TEN YEARS AFTER
THE PLAN HAS RECEIVED FINAL CERTIFICATION AND, IF NECESSARY, MAKE AMEND-
MENTS PURSUANT TO THIS SECTION; IN NO EVENT SHALL A  PLAN  BE  IN  PLACE
WITH A REMAINING DURATION OF FEWER THAN EIGHT YEARS.
  4. A SMART GROWTH PLAN SHALL BE ACCOMPANIED BY A GENERIC ENVIRONMENTAL
IMPACT  STATEMENT PURSUANT TO ARTICLE EIGHT OF THE ENVIRONMENTAL CONSER-
VATION LAW AND SUCH REGULATIONS. UPON FINAL CERTIFICATION  AND  ADOPTION
OF  THE  GENERIC  ENVIRONMENTAL  IMPACT STATEMENT, NO FURTHER COMPLIANCE
WITH THE STATE ENVIRONMENTAL QUALITY REVIEW ACT SHALL  BE  REQUIRED  FOR
SUBSEQUENT SITE SPECIFIC ACTIONS IN AREAS DESIGNATED FOR GROWTH OR REDE-
VELOPMENT  THAT  ARE  IN  CONFORMANCE WITH THE CONDITIONS AND THRESHOLDS
ESTABLISHED FOR SUCH ACTIONS IN THE GENERIC ENVIRONMENTAL IMPACT  STATE-
MENT AND ITS FINDINGS.
  5. A SMART GROWTH PLAN AND ANY AMENDMENTS THERETO, FOR A LOCAL GOVERN-
MENT CONTAINING ALL OR PART OF AN AGRICULTURAL DISTRICT OR LANDS RECEIV-
ING  AGRICULTURAL ASSESSMENTS WITHIN ITS JURISDICTION, SHALL CONTINUE TO
BE SUBJECT TO THE PROVISIONS OF ARTICLE TWENTY-FIVE-AA OF  THE  AGRICUL-
TURE  AND  MARKETS  LAW  RELATING TO THE ENACTMENT AND ADMINISTRATION OF
LOCAL LAWS, ORDINANCES, RULES OR REGULATIONS. A  SMART  GROWTH  PLAN  OR
AMENDMENT  THERETO,  SHALL TAKE INTO CONSIDERATION APPLICABLE COUNTY AND
FARMLAND PROTECTION PLANS AS CREATED UNDER  ARTICLE  TWENTY-FIVE-AAA  OF
THE AGRICULTURE AND MARKETS LAW.
  S  1004. SMART GROWTH COMPACT.  1. SMART GROWTH COMPACT AREAS SHALL BE
ADJOINING GEOGRAPHIC REGIONS OR AREAS BASED ON  ENVIRONMENTAL,  ECONOMIC
AND  SOCIAL  FACTORS AGREED UPON PURSUANT TO AN ARTICLE FIVE-G AGREEMENT
AUTHORIZED BY THIS CHAPTER SIGNED BY THE CHIEF EXECUTIVE OFFICERS OF TWO

S. 2526                             5

OR MORE MUNICIPALITIES. A COMPACT AREA MUST INCLUDE AT LEAST TWO MUNICI-
PALITIES.
  2.  FOR  EACH  SMART  GROWTH  COMPACT AREA, A COMPACT COUNCIL SHALL BE
ESTABLISHED TO CONSIST OF THE FOLLOWING  VOTING  MEMBERS:    THE  MAYOR,
SUPERVISOR,  COUNTY EXECUTIVE OR OTHER CHIEF EXECUTIVE OFFICER FROM EACH
COUNTY, CITY, TOWN AND VILLAGE LOCATED IN WHOLE OR IN  PART  WITHIN  THE
BOUNDARY  OF  THE  COMPACT  AREA.   EACH EX-OFFICIO MEMBER MAY APPOINT A
DESIGNATED REPRESENTATIVE, BY OFFICIAL AUTHORITY FILED WITH THE COUNCIL,
TO EXERCISE HIS OR HER POWERS AND PERFORM HIS OR HER  DUTIES,  INCLUDING
THE  RIGHT  TO  VOTE, ON THE COUNCIL. THE COUNCIL SHALL ELECT ONE OF ITS
MEMBERS AS CHAIRPERSON. A MAJORITY SHALL CONSTITUTE  A  QUORUM  FOR  THE
TRANSACTION  OF ANY BUSINESS OR THE EXERCISE OF ANY POWER OR FUNCTION OF
THE COUNCIL. AN AFFIRMATIVE VOTE OF A MAJORITY SHALL BE REQUIRED TO PASS
A RESOLUTION OR OTHERWISE EXERCISE ANY FUNCTIONS OR POWERS OF THE  COUN-
CIL, EXCEPT THE ADOPTION OF THE SMART GROWTH COMPACT PLAN WHICH REQUIRES
A  UNANIMOUS  VOTE  OF  THE  COUNCIL. THE COUNCIL SHALL HOLD ITS INITIAL
MEETING WITHIN THIRTY DAYS OF THE EXECUTION OF THE AGREEMENT DESIGNATING
THE COMPACT AREA FOR WHICH THE COUNCIL WAS ESTABLISHED.
  3. EVERY STATE, REGIONAL  AND  LOCAL  AGENCY  AND  PUBLIC  CORPORATION
HAVING  JURISDICTION  OF  LAND  OR WATER, HOUSING, ECONOMIC DEVELOPMENT,
TRANSPORTATION, PARKS OR OTHER PUBLIC FACILITIES OR INFRASTRUCTURE WITH-
IN THE COMPACT AREA OR OF PROGRAMS, PROJECTS AND/OR  PLANS  RELATING  TO
THE  PURPOSES  AND  GOALS  OF  THIS ARTICLE SHALL, TO THE FULLEST EXTENT
PRACTICABLE, OFFER FULL COOPERATION AND ASSISTANCE  TO  THE  COUNCIL  IN
CARRYING OUT THE PROVISIONS OF THIS ARTICLE.
  4. EACH COUNCIL SHALL HAVE THE POWER:
  A.  TO  PREPARE, ADOPT, ENFORCE AND ENSURE IMPLEMENTATION OF THE SMART
GROWTH PLAN, AFTER CONVENING A SERIES OF CONSENSUS-BUILDING MEETINGS AND
TECHNICAL SESSIONS AS PROVIDED IN PARAGRAPH A OF  SUBDIVISION  THREE  OF
SECTION ONE THOUSAND THREE OF THIS ARTICLE;
  B. TO SUE AND BE SUED;
  C.  TO  MAKE AND EXECUTE CONTRACTS AND ALL OTHER INSTRUMENTS NECESSARY
OR CONVENIENT FOR THE EXERCISE OF ITS POWERS AND  FUNCTIONS  UNDER  THIS
ARTICLE;
  D.  TO  ESTABLISH AND MAINTAIN SUCH FACILITIES AS MAY BE NECESSARY FOR
THE TRANSACTING OF ITS BUSINESS;
  E. TO APPOINT AN EXECUTIVE OFFICER, OFFICERS, AGENTS,  EMPLOYEES,  AND
PRESCRIBE THEIR DUTIES AND QUALIFICATIONS AND FIX THEIR COMPENSATION;
  F.  TO  UTILIZE  TO  THE  EXTENT  FEASIBLE THE STAFF AND FACILITIES OF
EXISTING STATE AND COUNTY AGENCIES, PURSUANT TO AN AGREEMENT TO BE  MADE
BY THE STATE OR BY THE APPROPRIATE COUNTY;
  G.  TO  HOLD  HEARINGS  IN  THE  EXERCISE OF ITS POWERS, FUNCTIONS AND
DUTIES PROVIDED FOR BY THIS ARTICLE;
  H. TO CONTRACT FOR PROFESSIONAL AND TECHNICAL ASSISTANCE AND ADVICE;
  I. TO CONTRACT FOR AND TO ACCEPT ANY  ASSISTANCE,  INCLUDING  BUT  NOT
LIMITED  TO  GIFTS,  GRANTS  OR  LOANS  OF FUNDS OR OF PROPERTY FROM THE
FEDERAL GOVERNMENT OR ANY AGENCY OR INSTRUMENTALITY THEREOF, OR FROM ANY
AGENCY OR INSTRUMENTALITY OF THE STATE, OR  FROM  ANY  OTHER  PUBLIC  OR
PRIVATE SOURCE AND TO COMPLY, SUBJECT TO THE PROVISIONS OF THIS ARTICLE,
WITH THE TERMS AND CONDITIONS THEREOF;
  J. TO PROVIDE SCIENTIFIC AND TECHNICAL ASSISTANCE OR TO MAKE GRANTS TO
MUNICIPALITIES  IN THE COMPACT AREA FOR REVISIONS OF LOCAL COMPREHENSIVE
PLANS, OR THE RELEVANT LAND USE REGULATIONS DESIGNED TO BRING SUCH PLANS
AND LAND USE REGULATIONS INTO CONFORMANCE WITH THE COMPACT PLAN PREPARED
AND ADOPTED BY THE COUNCIL. THE COUNCIL MAY MAKE SUCH  GRANTS  FROM  ANY

S. 2526                             6

FUNDS  WHICH  MAY  BE APPROPRIATED OR OTHERWISE MADE AVAILABLE TO IT FOR
SUCH PURPOSE;
  K.  TO ESTABLISH AND MAINTAIN AN EDUCATION AND OUTREACH PROGRAM RELAT-
ING TO THE COUNCIL'S WORK;
  L. TO CONVENE CONFERENCES, SEMINARS, MEETINGS, TECHNICAL  SESSIONS  ON
ITS  OWN OR IN COORDINATION WITH FEDERAL, STATE, COUNTY, TOWN OR PRIVATE
ORGANIZATIONS AS DEEMED NECESSARY RELATIVE TO ITS RESPONSIBILITIES;
  M. TO HAVE AND EXERCISE SUCH OTHER INCIDENTAL AND USUAL POWERS AS  ARE
NECESSARY AND APPROPRIATE TO CARRY OUT ITS DUTIES.
  5. WITHIN FIFTEEN MONTHS OF ITS FIRST MEETING, A COUNCIL SHALL PREPARE
OR  CAUSE  TO  BE  PREPARED A DRAFT SMART GROWTH PLAN FOR ITS DESIGNATED
COMPACT AREA. EACH SMART  GROWTH  PLAN  SHALL  MEET  THE  STANDARDS  AND
REQUIREMENTS  OF  A  SMART  GROWTH  PLAN  PURSUANT  TO THE PROVISIONS OF
SECTION ONE THOUSAND THREE OF THIS ARTICLE.
  6. FOLLOWING THE CONSENSUS-BUILDING MEETINGS AND  WITHIN  THE  FIFTEEN
MONTH  PERIOD  ESTABLISHED THEREFOR, THE COUNCIL SHALL PUBLISH THE DRAFT
SMART GROWTH PLAN AND DRAFT GENERIC IMPACT STATEMENT.  WITHIN SIX MONTHS
OF SUCH PUBLICATION, THE COUNCIL SHALL HOLD PUBLIC  INFORMATIONAL  MEET-
INGS  WITH  AT  LEAST  ONE  PUBLIC  HEARING WITHIN EACH OF THE COUNTIES,
CITIES, TOWNS AND VILLAGES WITHIN THE COMPACT AREA. DURING  THIS  PERIOD
THE  COUNCIL  SHALL  RECEIVE  AND  REVIEW COMMENTS ON THE DRAFT PLAN AND
DRAFT GENERIC  ENVIRONMENTAL  IMPACT  STATEMENT  FROM  STATE  AND  LOCAL
GOVERNMENTS AND THE PUBLIC. WITHIN THREE MONTHS OF THE LAST PUBLIC HEAR-
ING  REQUIRED  BY THIS SECTION, THE COUNCIL SHALL COMPLETE AND RECOMMEND
FOR RATIFICATION A FINAL SMART GROWTH PLAN AND  FINAL  GENERIC  ENVIRON-
MENTAL  IMPACT  STATEMENT  TO THE LOCAL LEGISLATIVE BODY OF EACH COUNTY,
CITY, TOWN AND VILLAGE WITHIN THE COMPACT AREA  FOR  THEIR  RATIFICATION
AND  ADOPTION  OF THE STATEMENT OF FINDINGS PURSUANT TO ARTICLE EIGHT OF
THE ENVIRONMENTAL CONSERVATION LAW. SUCH RATIFICATION AND ADOPTION SHALL
REPRESENT COMMITMENT TO IMPLEMENTATION OF THE PROVISIONS CONTAINED THER-
EIN. UPON RATIFICATION  AND  ADOPTION  BY  ALL  SUCH  LOCAL  LEGISLATIVE
BODIES,  THE  COUNCIL  ITSELF SHALL FORMALLY ADOPT THE SMART GROWTH PLAN
AND GENERIC ENVIRONMENTAL IMPACT STATEMENT, AND SHALL  SUBMIT  THE  PLAN
AND  GENERIC  ENVIRONMENTAL  IMPACT STATEMENT TO THE SMART GROWTH REVIEW
BOARD FOR CERTIFICATION PURSUANT TO THE PROVISIONS OF SECTION ONE  THOU-
SAND SEVEN OF THIS ARTICLE.
  7. WITHIN ONE YEAR AFTER A PLAN HAS BEEN CERTIFIED BY THE SMART GROWTH
REVIEW  BOARD,  EACH CITY LEGISLATIVE BODY, TOWN BOARD AND VILLAGE BOARD
WITH JURISDICTION WITHIN THE APPLICABLE COMPACT  AREA  SHALL  ADOPT  AND
AMEND AS NECESSARY LAND USE REGULATIONS, BY LOCAL LAW OR ORDINANCE, RULE
OR  REGULATION  TO  CONFORM  ITS  LAND USE REGULATIONS TO THE PLAN. SUCH
ACTION SHALL NOT BE SUBJECT TO THE PROVISIONS OF ARTICLE  EIGHT  OF  THE
ENVIRONMENTAL  CONSERVATION  LAW IF IT IS IN CONFORMANCE WITH THE CONDI-
TIONS AND THRESHOLDS OF THE PLAN. AT LEAST SIXTY  DAYS  BEFORE  ADOPTION
THEREOF,  THE  CITY LEGISLATIVE BODY, TOWN OR VILLAGE BOARD SHALL SUBMIT
THE PROPOSED REGULATIONS TO THE  COMPACT  COUNCIL  FOR  ITS  REVIEW  AND
APPROVAL.  WITHIN  TEN DAYS OF RECEIPT OF SUCH PROPOSED REGULATIONS, THE
COUNCIL SHALL REVIEW AND APPROVE SUCH PROPOSED  REGULATIONS,  OR  IF  IT
DOES  NOT  APPROVE  THEM,  RETURN THEM WITH COMMENTS ON WHAT NEEDS TO BE
DONE TO MAKE THEM APPROVABLE.  FOR EACH JURISDICTION, THE PLAN SHALL  BE
DEEMED  TO  BE  IMPLEMENTED  UPON ADOPTION BY THE CITY LEGISLATIVE BODY,
TOWN OR VILLAGE BOARD OF APPROVED LAND USE REGULATIONS.  UPON RECEIPT OF
SUCH APPROVAL, A COUNTY, CITY, TOWN OR VILLAGE SHALL BE DEEMED TO  BE  A
PARTICIPATING  COMMUNITY.    ONLY  A  PARTICIPATING COMMUNITY OR A LOCAL
GOVERNMENT WITH ITS OWN CERTIFIED SMART GROWTH PLAN  SHALL  QUALIFY  FOR
STATE PRIORITY INCENTIVE FUNDING UNDER THIS ARTICLE. AFTER CITY, TOWN OR

S. 2526                             7

VILLAGE  LAND  USE  REGULATIONS HAVE BEEN APPROVED AND UPON A FINDING BY
THE COMPACT COUNCIL THAT A CITY, TOWN OR VILLAGE HAS CHANGED SUCH  REGU-
LATIONS  IN  A  MANNER  SUBSTANTIALLY  INCONSISTENT WITH THE PLAN OR HAS
ADMINISTERED ITS APPROVED LAND USE REGULATIONS IN A MANNER SUBSTANTIALLY
INCONSISTENT  WITH THE PLAN, THE COMPACT COUNCIL SHALL WITHDRAW APPROVAL
OF SUCH LAND USE REGULATIONS. SUCH WITHDRAWAL OF APPROVAL SHALL BE  MADE
NOT BEFORE FOURTEEN DAYS AFTER THE COUNCIL HOLDS A PUBLIC HEARING IN THE
AFFECTED  CITY,  TOWN  OR  VILLAGE ON THE PROPOSED WITHDRAWAL. NOTICE OF
SUCH HEARING SHALL BE PUBLISHED IN A  NEWSPAPER  HAVING  GENERAL  CIRCU-
LATION  IN  THE  COMPACT  AREA  AND NOTICE OF SUCH HEARING SHALL ALSO BE
GIVEN BY REGISTERED MAIL TO THE AFFECTED SUPERVISOR OR  MAYOR.  A  CITY,
TOWN  OR VILLAGE THAT HAS HAD SUCH APPROVAL WITHDRAWN SHALL NO LONGER BE
DEEMED TO BE A PARTICIPATING COMMUNITY.
  8. A COUNCIL  SHALL  HAVE  JURISDICTION  TO  REVIEW  AND  APPROVE  ALL
PROPOSED  DEVELOPMENT OUTSIDE OF AREAS DESIGNATED FOR GROWTH OR REDEVEL-
OPMENT AND DEVELOPMENTS OF REGIONAL SIGNIFICANCE AS IDENTIFIED IN A PLAN
AND PROPOSED DEVELOPMENTS FOUND BY  THE  COUNCIL  AFTER  PETITION  BY  A
MEMBER  THEREOF TO HAVE SIGNIFICANT ADVERSE IMPACT ON THE PLAN. ANY SUCH
MEMBER MAY PETITION THE COUNCIL TO ASSERT  REVIEW  JURISDICTION  OVER  A
PROPOSED DEVELOPMENT WHICH HAS A SIGNIFICANT ADVERSE IMPACT ON THE GOALS
OF  THE PLAN. IF THE COUNCIL BY MAJORITY VOTE ASSERTS JURISDICTION, SUCH
PROJECT OR ACTION SHALL BE SUBJECT TO REVIEW BY THE COUNCIL.    FOR  THE
PURPOSES  OF  REVIEW  AND  IDENTIFICATION  OF  PROJECTS COMING UNDER THE
JURISDICTION OF THE COUNCIL, THE COUNCIL SHALL DESIGNATE THE RESPONSIBLE
PLANNING ENTITY OR STAFF FOR THE PURPOSES OF ADVISING THE  COUNCIL  WITH
RESPECT  TO  SUCH APPLICATIONS OR PROJECTS. TO THE FULLEST EXTENT POSSI-
BLE, THE COUNCIL SHALL CONSOLIDATE AND COORDINATE ITS  REVIEW  WITH  THE
APPROPRIATE  LOCAL GOVERNMENT.   AN APPLICANT FOR DEVELOPMENT OUTSIDE AN
AREA DESIGNATED FOR GROWTH OR REDEVELOPMENT OR DEVELOPMENT  OF  REGIONAL
SIGNIFICANCE SHALL APPLY TO THE COUNCIL FOR APPROVAL OF THE DEVELOPMENT.
APPLICATIONS SHALL BE MADE TO THE COUNCIL ON FORMS AND IN SUCH MANNER AS
THE  PLAN  AND  COUNCIL SHALL DESIGNATE.  AFTER HOLDING A PUBLIC HEARING
WITHIN THE CITY, TOWN OR VILLAGE WHERE SUCH DEVELOPMENT IS  PROPOSED  TO
BE  LOCATED,  ALL  COMPLETED  APPLICATIONS SHALL, UNLESS MUTUALLY AGREED
OTHERWISE, BE ACTED UPON WITHIN ONE HUNDRED TWENTY DAYS.
  9. SUBSEQUENT TO THE ADOPTION OF A PLAN, THE PROVISIONS OF  ANY  OTHER
LAW,  ORDINANCE,  RULE OR REGULATION TO THE CONTRARY NOTWITHSTANDING, NO
APPLICATION FOR DEVELOPMENT WITHIN THE COMPACT AREA SUBJECT TO THE  PLAN
SHALL BE APPROVED BY ANY MUNICIPALITY OR COUNTY OR AGENCY THEREOF OR THE
COUNCIL,  AND  NO STATE APPROVAL, CERTIFICATE, LICENSE, CONSENT, PERMIT,
OR FINANCIAL ASSISTANCE FOR THE CONSTRUCTION OF  ANY  STRUCTURE  OR  THE
DISTURBANCE  OF  ANY LAND WITHIN SUCH AREA SHALL BE GRANTED, UNLESS SUCH
APPROVAL OR GRANT CONFORMS TO THE PROVISIONS  OF  SUCH  PLAN;  PROVIDED,
HOWEVER, THAT THE COUNCIL BY MAJORITY VOTE IS HEREBY AUTHORIZED TO WAIVE
STRICT  COMPLIANCE  WITH  SUCH  PLAN  OR  WITH  ANY  ELEMENT OR STANDARD
CONTAINED THEREIN, UPON FINDING THAT SUCH WAIVER IS NECESSARY TO ALLEVI-
ATE EXTRAORDINARY HARDSHIP OR MEET COMPELLING PUBLIC NEED.
  10. NOTWITHSTANDING ANY INCONSISTENT PROVISIONS IN  ARTICLE  EIGHT  OF
THE  ENVIRONMENTAL  CONSERVATION  LAW, WITHIN PARTICIPATING COMMUNITIES,
ACTIONS WHOLLY WITHIN THE AREAS DESIGNATED FOR GROWTH  OR  REDEVELOPMENT
IN  THE  COMPACT AREA IN CONFORMANCE WITH THE PLAN AND THE GENERIC ENVI-
RONMENTAL IMPACT STATEMENT THEREOF, SHALL REQUIRE  NO  FURTHER  ENVIRON-
MENTAL IMPACT STATEMENT WITH RESPECT TO IMPACTS ADDRESSED IN SUCH GENER-
IC  ENVIRONMENTAL  IMPACT STATEMENT. FURTHER PROJECT-SPECIFIC COMPLIANCE
WITH ARTICLE EIGHT OF THE ENVIRONMENTAL CONSERVATION LAW MAY BE REQUIRED
IN THE FORM OF A SUPPLEMENTAL ENVIRONMENTAL IMPACT STATEMENT.

S. 2526                             8

  11. EACH PARTICIPATING COMMUNITY SHALL BE DEEMED TO BE A  MUNICIPALITY
THAT HAS ADOPTED A SMART GROWTH PLAN PURSUANT TO THIS ARTICLE.
  S  1005.  SMART GROWTH REVIEW BOARD.  1. THERE IS HEREBY ESTABLISHED A
SMART GROWTH REVIEW BOARD. SUCH BOARD SHALL BE COMPOSED OF  MEMBERS  WHO
SHALL  INCLUDE THE SECRETARY OF STATE, THE COMMISSIONER OF ENVIRONMENTAL
CONSERVATION, THE COMMISSIONER OF THE DEPARTMENT OF TRANSPORTATION,  THE
SPEAKER OF THE ASSEMBLY, AND THE TEMPORARY PRESIDENT OF THE SENATE.
  2.  A  MEMBER MAY APPOINT A DESIGNATED REPRESENTATIVE, WHO SHALL SERVE
AT THE PLEASURE OF THE APPOINTING MEMBER, TO EXERCISE HER OR HIS  POWERS
AND  PERFORM  HER  OR  HIS  DUTIES,  INCLUDING THE RIGHT TO VOTE, ON THE
BOARD.  THE SECRETARY OF STATE SHALL SERVE AS CHAIRPERSON.   A  MAJORITY
SHALL  CONSTITUTE  A  QUORUM  FOR THE TRANSACTION OF ANY BUSINESS OR THE
EXERCISE OF ANY POWER OR FUNCTION OF THE BOARD, EXCEPT THE CERTIFICATION
OF A SMART GROWTH PLAN WHICH REQUIRES A UNANIMOUS VOTE OF THE BOARD.
  3. IN THE EVENT OF A VACANCY OCCURRING IN THE OFFICE  OF  ANY  MEMBER,
SUCH VACANCY SHALL BE FILLED IN THE SAME MANNER AS THE ORIGINAL APPOINT-
MENT.
  4.  THE  MEMBERS OF THE BOARD SHALL SERVE WITHOUT COMPENSATION, EXCEPT
THAT MEMBERS SHALL  BE  ALLOWED  THEIR  NECESSARY  AND  ACTUAL  EXPENSES
INCURRED IN THE PERFORMANCE OF THEIR DUTIES UNDER THIS ARTICLE.
  5.  THE BOARD SHALL MEET AT THE CALL OF THE CHAIRPERSON AND SHALL MEET
AT LEAST QUARTERLY.
  6. NOTWITHSTANDING ANY INCONSISTENT PROVISION OF ANY GENERAL,  SPECIAL
OR  LOCAL  LAW,  ORDINANCE, RESOLUTION OR CHARTER, NO OFFICER, MEMBER OR
EMPLOYEE OF THE STATE, THE CITY, ANY OTHER MUNICIPALITY, OR  ANY  PUBLIC
BENEFIT  CORPORATION, SHALL BE DEEMED TO HAVE FORFEITED OR SHALL FORFEIT
HIS OR HER OFFICE OR EMPLOYMENT  OR  ANY  BENEFITS  PROVIDED  UNDER  THE
RETIREMENT AND SOCIAL SECURITY LAW BY REASON OF HIS OR HER ACCEPTANCE OF
APPOINTMENT  AS  A  MEMBER, OFFICER, AGENT OR EMPLOYEE OF THE BOARD, NOR
SHALL SERVICE AS SUCH MEMBER,  OFFICER,  AGENT  OR  EMPLOYEE  BE  DEEMED
INCOMPATIBLE OR IN CONFLICT WITH SUCH OFFICE, MEMBERSHIP OR EMPLOYMENT.
  S  1006.  POWERS  AND DUTIES.   1. THE SMART GROWTH REVIEW BOARD SHALL
HAVE THE POWER TO:
  A. REVIEW PLAN APPLICATIONS;
  B. CERTIFY OR WITHDRAW CERTIFICATION OF SMART GROWTH PLANS;
  C. SUE AND BE SUED;
  D. MAKE AND EXECUTE CONTRACTS AND ALL OTHER INSTRUMENTS  NECESSARY  OR
CONVENIENT FOR THE EXERCISE OF ITS POWERS AND FUNCTIONS UNDER THIS ARTI-
CLE;
  E.  ESTABLISH AND MAINTAIN SUCH FACILITIES AS MAY BE NECESSARY FOR THE
TRANSACTING OF ITS BUSINESS;
  F. APPOINT AN EXECUTIVE  OFFICER,  OFFICERS,  AGENTS,  EMPLOYEES,  AND
PRESCRIBE THEIR DUTIES AND QUALIFICATIONS AND FIX THEIR COMPENSATION;
  G. UTILIZE TO THE EXTENT FEASIBLE THE STAFF AND FACILITIES OF EXISTING
STATE  AND  COUNTY  AGENCIES, PURSUANT TO AN AGREEMENT TO BE MADE BY THE
STATE;
  H.  CONTRACT FOR PROFESSIONAL AND TECHNICAL ASSISTANCE AND ADVICE;
  I.  CONTRACT FOR   AND TO ACCEPT ANY  ASSISTANCE,  INCLUDING  BUT  NOT
LIMITED  TO  GIFTS,  GRANTS  OR  LOANS  OF FUNDS OR OF PROPERTY FROM THE
FEDERAL GOVERNMENT OR ANY AGENCY OR INSTRUMENTALITY THEREOF, OR FROM ANY
AGENCY OR INSTRUMENTALITY OF THE STATE, OR  FROM  ANY  OTHER  PUBLIC  OR
PRIVATE SOURCE AND TO COMPLY, SUBJECT TO THE PROVISIONS OF THIS ARTICLE,
WITH THE TERMS AND CONDITIONS THEREOF;
  J.  REPORT  PERIODICALLY TO THE LEGISLATURE AND THE SMART GROWTH LOCAL
ASSISTANCE OFFICE ON THE CONDUCT OF ITS ACTIVITIES NOT LESS THAN ONCE  A
YEAR; AND

S. 2526                             9

  K.  HAVE  AND  EXERCISE  SUCH OTHER INCIDENTAL AND USUAL POWERS AS ARE
NECESSARY AND APPROPRIATE TO CARRY OUT ITS DUTIES.
  2. THE BOARD SHALL PREPARE APPLICATION FORMS.
  3.  THE  BOARD  SHALL NOT BE AUTHORIZED TO ISSUE BONDS, NOTES OR OTHER
SIMILAR OBLIGATIONS, WHETHER OR NOT NEGOTIABLE OR  TO  CONTRACT  TO  PAY
DEBT  SERVICE  ON SUCH OBLIGATIONS ISSUED BY ANY OTHER ENTITY. THE BOARD
SHALL NOT HAVE THE POWER OF EMINENT DOMAIN AND SHALL NOT  BE  AUTHORIZED
TO  ACQUIRE  OR HOLD TITLE TO REAL PROPERTY. THE BOARD SHALL NOT PROVIDE
FINANCIAL ASSISTANCE TO ATTRACT, EXPAND OR RETAIN BUSINESS.
  S 1007. CERTIFICATION PROCEDURE.  1. THE BOARD SHALL  REVIEW  APPLICA-
TIONS FOR CERTIFICATION WHICH SHALL INCLUDE A COMPLETED APPLICATION FORM
AND A COPY OF A SMART GROWTH PLAN.
  2.  THE  BOARD  SHALL  HAVE  NINETY DAYS TO ISSUE ITS CERTIFICATION OR
DISAPPROVAL. WHEN DISAPPROVING AN APPLICATION, THE BOARD  SHALL  PROVIDE
AN EXPLANATION IN WRITING.
  3.  WITHIN  ONE YEAR AFTER CERTIFICATION HAS BEEN GRANTED, THE MUNICI-
PALITY SHALL PROVIDE DOCUMENTATION TO THE BOARD MEMBERS  THAT  LAND  USE
REGULATIONS ARE CONSISTENT WITH THE SMART GROWTH PLAN.
  4.  THE BOARD SHALL WITHDRAW CERTIFICATION OF A PLAN IF, ON ITS OWN OR
UPON NOTIFICATION BY A MUNICIPALITY OR OTHER PERSON, IT FINDS  THAT  THE
PLAN  OR    ANY LAND USE REGULATION NO LONGER COMPLIES WITH SMART GROWTH
REQUIREMENTS OR PRINCIPLES OR THAT THERE HAS BEEN A  VIOLATION  OF  SUCH
PLAN OR ANY LAND USE REGULATION.
  S  1008.  STATE  CONSISTENCY  AND INCENTIVES.   1. EVERY STATE AGENCY,
PUBLIC BENEFIT CORPORATION AND AUTHORITY CONDUCTING, FUNDING OR  APPROV-
ING ACTIVITIES AFFECTING LOCAL PLANNING AND/OR INFRASTRUCTURE SHALL:
  A.  CONDUCT  OR  SUPPORT  ITS  ACTIVITIES IN A MANNER WHICH IS, TO THE
MAXIMUM EXTENT PRACTICABLE, CONSISTENT WITH SMART GROWTH  PRINCIPLES  AS
DEFINED  IN THIS ARTICLE AND SHALL CONSULT AND COOPERATE WITH, AND COOR-
DINATE ITS ACTIVITIES WITH THE  SMART  GROWTH  LOCAL  ASSISTANCE  OFFICE
CREATED  PURSUANT  TO SECTION ONE HUNDRED SEVENTY-EIGHT OF THE EXECUTIVE
LAW;
  B. REPORT TO THE SMART GROWTH LOCAL ASSISTANCE OFFICE CREATED PURSUANT
TO SECTION ONE HUNDRED  SEVENTY-EIGHT  OF  THE  EXECUTIVE  LAW  FOR  THE
PURPOSE OF IDENTIFYING ALL STATE CONTROLLED AND ADMINISTERED FUNDS WHICH
MAY  BE  USED  AS  INCENTIVES TO ENCOURAGE PARTICIPATION IN SMART GROWTH
PLANS; AND
  C. GIVE PRIORITY IN FUNDING, TO THE  FULLEST  EXTENT  PRACTICABLE,  TO
MUNICIPALITIES WHICH HAVE SMART GROWTH PLANS CERTIFIED BY THE BOARD.
  2.  SPECIFIC  INCENTIVES AVAILABLE TO LOCAL GOVERNMENTS WITH CERTIFIED
SMART GROWTH PLANS SHALL INCLUDE, BUT NOT BE LIMITED TO:
  A. PRIORITY STATUS FOR OPEN SPACE LAND ACQUISITION  AND  EASEMENTS  BY
THE  DEPARTMENT  OF  ENVIRONMENTAL  CONSERVATION OR THE OFFICE OF PARKS,
RECREATION AND HISTORIC PRESERVATION IN AREAS LOCATED OUTSIDE GROWTH  OR
REDEVELOPMENT AREAS IN CERTIFIED SMART GROWTH PLANS PURSUANT TO SECTIONS
54-0303 AND 56-0307 OF THE ENVIRONMENTAL CONSERVATION LAW;
  B.  RESTRICTION ON INDUSTRIAL DEVELOPMENT AUTHORITY PROJECT FUNDING TO
LOCAL GOVERNMENTS WHICH HAVE CERTIFIED SMART GROWTH PLANS, WHERE A MUNI-
CIPALITY WITHIN AN INDUSTRIAL DEVELOPMENT AUTHORITY'S  JURISDICTION  HAS
APPLIED  FOR  AND  RECEIVED  SMART GROWTH PLAN CERTIFICATION PURSUANT TO
SECTION EIGHT HUNDRED SIXTY-TWO OF THIS CHAPTER;
  C. ENERGY ASSISTANCE PURSUANT TO SECTION ONE THOUSAND FIVE  AND  EIGH-
TEEN HUNDRED FIFTY-FOUR OF THE PUBLIC AUTHORITIES LAW;
  D.  PRIORITY  FUNDING  FOR AGRICULTURAL PROTECTION PURSUANT TO SECTION
THREE HUNDRED TWENTY-FIVE OF THE AGRICULTURE AND MARKETS LAW;

S. 2526                            10

  E. WITHIN THE LIMITS OF ANY APPROPRIATIONS  THEREFOR,  GRANTS  TO  ANY
LOCAL  GOVERNMENT  AGENCY  FOR  DESIGN OR OTHER ACTIVITIES TO FACILITATE
CONSTRUCTION PROJECTS PROVIDED FOR IN A  CERTIFIED  SMART  GROWTH  PLAN,
PROVIDED  THAT  SUCH GRANT SHALL NOT EXCEED TEN PERCENT OF THE ESTIMATED
COST OF SUCH CONSTRUCTION PROJECT;
  F.  WITHIN  THE  LIMITS OF ANY APPROPRIATIONS THEREFOR, GRANTS FOR THE
PURCHASE OF HOMES IN OLDER URBAN NEIGHBORHOODS, HOMES EXISTING AS OF THE
EFFECTIVE DATE OF THIS ARTICLE AND HOMES WITHIN CLOSE PROXIMITY TO PLAC-
ES OF WORK;
  G. THERE MAY BE DEFENSE BY AND SHALL BE INDEMNITY FROM  THE  STATE  IN
THE  EVENT  OF  LEGAL  ACTIONS  OR PROCEEDINGS BROUGHT AGAINST ANY LOCAL
GOVERNMENT, COUNCIL OR ITS AGENTS, SERVANTS, OFFICIALS OR EMPLOYEES THAT
MAY RESULT FROM THE IMPLEMENTATION OF A  CERTIFIED  SMART  GROWTH  PLAN.
INDEMNITY  SHALL  NOT  APPLY  TO  ANY  SUCH CLAIM IN WHICH A FINAL COURT
DETERMINATION RESULTS IN A FINDING OF  INCONSISTENCY  WITH  A  CERTIFIED
SMART  GROWTH PLAN OR INTENTIONAL WRONGDOING, RECKLESSNESS, OR AN UNLAW-
FUL DISCRIMINATORY PRACTICE INCLUDING THE  FINDING  THAT  ANY  LAND  USE
CONTROL  WAS  INTENDED  TO  EXCLUDE A PARTICULAR GROUP OR INDIVIDUAL, OR
GROSS NEGLIGENCE ON THE PART OF SUCH MUNICIPALITY OR ITS  AGENTS,  SERV-
ANTS,  OFFICIALS,  OR  EMPLOYEES.  ACTIONS  OR PROCEEDINGS BROUGHT UNDER
SUBDIVISIONS TWO, TWO-A, THREE-B, FOUR, PARAGRAPHS (A) AND (B) OF SUBDI-
VISION FIVE AND SUBDIVISIONS  SIX,  SEVEN,  FOURTEEN,  AND  EIGHTEEN  OF
SECTION  TWO  HUNDRED  NINETY-SIX  OF  THE  EXECUTIVE  LAW AND 42 U.S.C.
SECTIONS 1981, 1983, AND 1988 SHALL BE INDEMNIFIED BY THE STATE ONLY  SO
FAR AS THE GRIEVANCE ALLEGED IN SUCH ACTION OR PROCEEDING WAS THE RESULT
OF AN ACT CONSISTENT WITH THIS ARTICLE OR THE PLAN. SUCH INDEMNITY SHALL
BE  CONDITIONED UPON (I) THE DELIVERY BY THE GOVERNING BODY OR ITS AGENT
AGAINST WHOM THE LEGAL ACTION OR PROCEEDING WAS COMMENCED TO THE  ATTOR-
NEY GENERAL OR AN ASSISTANT ATTORNEY GENERAL AT AN OFFICE OF THE DEPART-
MENT  OF  LAW  IN  THE  STATE  THE  ORIGINAL  OR  A COPY OF ANY SUMMONS,
COMPLAINT, PROCESS, NOTICE, DEMAND OR PLEADING WITHIN FIFTEEN DAYS AFTER
SUCH DOCUMENT IS SERVED UPON SUCH GOVERNING BODY OR ITS AGENT, AND  (II)
THE  FULL  COOPERATION  OF THE GOVERNING BODY OR ITS AGENTS AGAINST WHOM
THE ACTION OR PROCEEDING WAS COMMENCED IN THE DEFENSE OF SUCH ACTION  OR
PROCEEDING  AND IN DEFENSE OF ANY ACTION OR PROCEEDING AGAINST THE STATE
BASED UPON THE SAME ACT OR OMISSION,  AND  IN  THE  PROSECUTION  OF  ANY
APPEAL. THERE SHALL BE NO INDEMNITY IN THE EVENT OF A SETTLEMENT BETWEEN
OR  AMONG  THE  PARTIES  TO  SUCH  LEGAL  ACTION  OR PROCEEDING IN THOSE
INSTANCES IN WHICH THE ATTORNEY GENERAL IS NOT PROVIDING THE DEFENSE FOR
THE GOVERNING BODY OR ITS AGENTS, UNLESS SUCH SETTLEMENT IS APPROVED  BY
THE ATTORNEY GENERAL.
  3.  NOTHING  IN  THIS ARTICLE SHALL BE DEEMED OR IMPLEMENTED IN SUCH A
WAY AS TO ADVERSELY AFFECT, IMPAIR OR SUPERSEDE THE FUNDING OR ELIGIBIL-
ITY FOR FUNDING OF ANY CITY WITH A POPULATION OF ONE  MILLION  OR  MORE.
FOR  PURPOSES  OF CALCULATING PRIORITY FINANCIAL ASSISTANCE FOR PROPOSED
PROJECTS IN CERTIFIED SMART GROWTH PLANS, CITIES WITH  A  POPULATION  OF
ONE MILLION OR MORE SHALL BE ELIGIBLE FOR AND RECEIVE FUNDING AS IF SUCH
PRIORITIZATION HAD NOT BEEN MADE.
  S  1009.  MUNICIPAL AUTHORIZATION INCENTIVES.  IN ADDITION TO EXISTING
POWERS AND AUTHORITIES TO PLAN OR REGULATE BY ZONING, A LOCAL GOVERNMENT
INCLUDING A PARTICIPATING COMMUNITY WITH A CERTIFIED SMART  GROWTH  PLAN
MAY, AS PART OF A ZONING ORDINANCE OR LOCAL LAW:
  1.  ENACT  REQUIREMENTS  FOR THE ESTABLISHMENT OF MIXED-USE DISTRICTS.
SUCH REQUIREMENTS SHALL BE FOR THE PURPOSES OF PERMITTING FLEXIBILITY IN
THE REGULATION OF LAND DEVELOPMENT SO AS  TO  COMPLY  WITH  A  CERTIFIED
SMART GROWTH PLAN;

S. 2526                            11

  2.  ADOPT,  AMEND  AND  ENFORCE  LOCAL LAWS, RULES AND REGULATIONS NOT
INCONSISTENT WITH THE LAWS OF THIS STATE OR THE UNITED  STATES  OR  WITH
THE  CERTIFIED  SMART  GROWTH  PLAN, WITH RESPECT TO THE RESTRICTION AND
REGULATION OF THE MANNER OF CONSTRUCTION  AND  LOCATION  OF  BATHHOUSES,
MOORINGS AND DOCKS IN ANY WATERS WITHIN OR BOUNDING THE RESPECTIVE MUNI-
CIPALITY  TO  A  DISTANCE  OF  FIFTEEN  HUNDRED FEET FROM THE SHORELINE.
NOTHING IN THIS SUBDIVISION SHALL BE DEEMED TO AFFECT, IMPAIR OR  SUPER-
SEDE  THE  PROVISIONS  OF  ANY  CHARTER,  LOCAL LAW, RULE OR OTHER LOCAL
REQUIREMENTS AND PROCEDURES HERETOFORE  OR  HEREAFTER  ADOPTED  BY  SUCH
LOCAL   LEGISLATIVE  BODY,  INCLUDING  BUT  NOT  LIMITED  TO,  ANY  SUCH
PROVISIONS RELATING TO THE ZONING AND USE OF LAND OR ANY  WATERS  WITHIN
OR BOUNDING SUCH LOCAL LEGISLATIVE BODY TO A DISTANCE OF FIFTEEN HUNDRED
FEET FROM THE SHORELINE; AND
  3.  OFFER  ENHANCED  BUSINESS  INVESTMENT  TAX  EXEMPTIONS PURSUANT TO
SECTION FOUR HUNDRED EIGHTY-FIVE-B OF THE  REAL  PROPERTY  TAX  LAW  FOR
CONSTRUCTION, ALTERATION, INSTALLATION OR IMPROVEMENT IN GROWTH OR REDE-
VELOPMENT  AREAS  FOR  THE PURPOSE OF COMMERCIAL, BUSINESS OR INDUSTRIAL
ACTIVITY.
  S 4. Section 54-0303 of the environmental conservation law is  amended
by adding a new subdivision 8 to read as follows:
  8.  IN  EVALUATING  APPLICATIONS FOR OPEN SPACE CONSERVATION PROJECTS,
THE COMMISSIONER AND THE COMMISSIONER OF THE OFFICE OF PARKS, RECREATION
AND HISTORIC PRESERVATION SHALL GRANT A PREFERENCE TO ANY PROJECT  IDEN-
TIFIED  AS  PART  OF  A PRESERVATION AREA UNDER A CERTIFIED SMART GROWTH
PLAN PURSUANT TO ARTICLE TWENTY OF THE GENERAL MUNICIPAL LAW.
  S 5. Section 56-0307 of the environmental conservation law is  amended
by adding a new subdivision 6 to read as follows:
  6.  IN  EVALUATING  APPLICATIONS FOR OPEN SPACE CONSERVATION PROJECTS,
THE COMMISSIONER AND THE COMMISSIONER OF THE OFFICE OF PARKS, RECREATION
AND HISTORIC PRESERVATION SHALL GRANT A PREFERENCE TO ANY PROJECT  IDEN-
TIFIED  AS  PART  OF  A PRESERVATION AREA UNDER A CERTIFIED SMART GROWTH
PLAN PURSUANT TO ARTICLE TWENTY OF THE GENERAL MUNICIPAL LAW.
  S 6. Section 862 of the general municipal law,  as  added  by  chapter
1030 of the laws of 1969, is amended to read as follows:
  S  862. Restrictions on funds of the agency. 1. No funds of the agency
shall be used in respect of any project if the completion thereof  would
result  in  the  removal  of an industrial or manufacturing plant of the
project occupant from one area of the state to another area of the state
or in the abandonment of one or more plants or facilities of the project
occupant located within  the  state,  provided,  however,  that  neither
restriction  shall  apply  if the agency shall determine on the basis of
the application before it that the project is  reasonably  necessary  to
discourage the project occupant from removing such other plant or facil-
ity  to  a  location  outside  the  state  or is reasonably necessary to
preserve the competitive position of the project occupant in its respec-
tive industry.
  2. IF ANY MUNICIPALITY WITHIN THE GEOGRAPHIC LIMITS OF THE AGENCY  HAS
A  CERTIFIED  SMART GROWTH PLAN PURSUANT TO ARTICLE TWENTY OF THIS CHAP-
TER, NO FINANCIAL ASSISTANCE OF THE AGENCY SHALL BE USED WITH RESPECT TO
ANY PROJECT LOCATED WITHIN ANY MUNICIPALITY WITHOUT  A  CERTIFIED  SMART
GROWTH  PLAN,  AND FINANCIAL ASSISTANCE OF THE AGENCY SHALL BE USED ONLY
WITH RESPECT TO PROJECTS LOCATED WITHIN  AREAS  IDENTIFIED  IN  A  SMART
GROWTH  PLAN  AS GROWTH OR REDEVELOPMENT AREAS WITHIN WHICH PROJECTS ARE
ELIGIBLE FOR ASSISTANCE FROM THE AGENCY.
  S 7. Section 1005 of the public authorities law is amended by adding a
new subdivision 16 to read as follows:

S. 2526                            12

  16. TO PROVIDE FINANCIAL ASSISTANCE FOR  THE  INSTALLATION  OF  ENERGY
EFFICIENCY MEASURES AND/OR INNOVATIVE ENERGY PRODUCTION TECHNOLOGIES FOR
STRUCTURES  AND  PROCESSES LOCATED WITHIN GROWTH AND REDEVELOPMENT AREAS
IDENTIFIED IN AN APPROVED SMART GROWTH PLAN PURSUANT TO  ARTICLE  TWENTY
OF THE GENERAL MUNICIPAL LAW.
  S  8. Paragraph (c) of subdivision 2 of section 325 of the agriculture
and markets law, as added by chapter 413 of the laws of 1996, is amended
to read as follows:
  (c) In evaluating applications for  funding,  the  commissioner  shall
give  priority to projects intended to preserve viable agricultural land
as defined in section three hundred one of this chapter; THAT ARE  IN  A
PRESERVATION  AREA UNDER A CERTIFIED SMART GROWTH PLAN PURSUANT TO ARTI-
CLE TWENTY OF THE GENERAL  MUNICIPAL  LAW;  that  are  in  areas  facing
significant  development  pressure;  and  that  serve  as a buffer for a
significant natural public resource containing  important  ecosystem  or
habitat characteristics.
  S  9.  Paragraph  (a)  of  subdivision 2 and subdivision 12 of section
485-b of the real property tax law, paragraph (a) of  subdivision  2  as
amended  by  chapter 625 of the laws of 1995 and subdivision 12 as added
by chapter 305 of the laws of 1994, are amended to read as follows:
  (a) (i) Such real property THAT IS LOCATED IN A GROWTH  OR  REDEVELOP-
MENT AREA OF A SMART GROWTH PLAN CERTIFIED PURSUANT TO ARTICLE TWENTY OF
THE  GENERAL  MUNICIPAL  LAW shall be exempt for a period of one year to
the extent of  [fifty]  SEVENTY-FIVE  per  centum  of  the  increase  in
assessed  value  thereof  attributable to such construction, alteration,
installation or improvement and for an additional period of  nine  years
provided,  however, that the extent of such exemption shall be decreased
by five per centum AFTER THE SECOND AND NINTH YEARS AND TEN  PER  CENTUM
each  year  during  such  [additional]  period  of  nine  years and such
exemption shall be computed with respect to the "exemption base."    The
exemption  base shall be the increase in assessed value as determined in
the initial year of such ten year period  following  the  filing  of  an
original application, except as provided in subparagraph [(ii)] (III) of
this paragraph.
  (ii)  SUCH  REAL  PROPERTY  LOCATED IN A COUNTY, CITY, TOWN OR VILLAGE
WITH NO SUCH CERTIFIED SMART GROWTH PLAN SHALL BE EXEMPT FOR A PERIOD OF
ONE YEAR TO THE EXTENT OF FIFTY PER CENTUM OF THE INCREASE  IN  ASSESSED
VALUE  THEREOF  ATTRIBUTABLE TO SUCH CONSTRUCTION, ALTERATION, INSTALLA-
TION OR IMPROVEMENT AND FOR AN ADDITIONAL PERIOD OF NINE YEARS PROVIDED,
HOWEVER, THAT THE EXTENT OF SUCH EXEMPTION SHALL BE  DECREASED  BY  FIVE
PER  CENTUM  EACH  YEAR  DURING SUCH ADDITIONAL PERIOD OF NINE YEARS AND
SUCH EXEMPTION SHALL BE COMPUTED WITH RESPECT TO THE  "EXEMPTION  BASE."
THE EXEMPTION BASE SHALL BE THE INCREASE IN ASSESSED VALUE AS DETERMINED
IN  THE  INITIAL YEAR OF SUCH TEN YEAR PERIOD FOLLOWING THE FILING OF AN
ORIGINAL APPLICATION, EXCEPT AS PROVIDED IN SUBPARAGRAPH (III)  OF  THIS
PARAGRAPH.
  (III)  In any year in which a change in level of assessment of fifteen
percent or more is certified for a final assessment roll pursuant to the
rules of the state board, the exemption base shall be  multiplied  by  a
fraction,  the  numerator  of which shall be the total assessed value of
the parcel on such final assessment roll (after accounting for any phys-
ical or quantity changes to the parcel since the  immediately  preceding
assessment  roll),  and  the  denominator  of  which  shall be the total
assessed value of the parcel on the immediately preceding final  assess-
ment  roll.  The  result  shall be the new exemption base. The exemption
shall thereupon be recomputed to take into  account  the  new  exemption

S. 2526                            13

base,  notwithstanding  the  fact that the assessor receives the certif-
ication of the change in  level  of  assessment  after  the  completion,
verification  and  filing of the final assessment roll. In the event the
assessor  does  not  have custody of the roll when such certification is
received, the assessor shall certify the  recomputed  exemption  to  the
local  officers  having  custody and control of the roll, and such local
officers are hereby directed and  authorized  to  enter  the  recomputed
exemption certified by the assessor on the roll. The assessor shall give
written  notice  of such recomputed exemption to the property owner, who
may, if he or she believes that the exemption was recomputed  incorrect-
ly,  apply  for  a  correction  in the manner provided by title three of
article five of this chapter for the correction of clerical errors.
  [(iii)] (IV) The following table shall illustrate the  computation  of
the tax exemption:

                       PERCENTAGE OF
                       CERTIFIED SMART
Year of exemption      GROWTH PLAN EXEMPTION   Percentage of exemption
      1                       75                     50
      2                       75                     45
      3                       70                     40
      4                       60                     35
      5                       50                     30
      6                       40                     25
      7                       30                     20
      8                       20                     15
      9                       10                     10
     10                        5                      5

  12.  Notwithstanding  subdivision two of this section, where a county,
city, town, village or  school  district  adopts  restricted  exemptions
pursuant  to  subdivision ten of this section, the law or resolution may
provide that such exemptions shall be computed pursuant to the following
accelerated strategic exemption schedule:

                       PERCENTAGE OF
                       CERTIFIED SMART
Year of exemption      GROWTH PLAN EXEMPTION   Percentage of exemption
      1                       75                     50
      2                       75                     50
      3                       75                     50
      4                       50                     40
      5                       50                     30
      6                       40                     20
      7                       30                     10
      8                       20                     10
      9                       10                     10
     10                        5                      5

  Provided however, that such law or resolution shall:
  (i) contain findings that the adoption of this  accelerated  strategic
exemption  schedule is necessary to encourage targeted economic develop-
ment, create or retain permanent private sector jobs, and that the value
of the exemptions to be provided is justified by  the  need  to  provide
employment opportunities and broaden the tax base; and

S. 2526                            14

  (ii)  limit  the  applicability of such schedule to projects where the
cost of  such  construction,  alteration,  installation  or  improvement
exceeds the sum of fifty thousand dollars; and
  (iii)  provide that such exemptions are restricted by geographic areas
and/or groups and major divisions as is provided by subdivision  ten  of
this section.
  S  10. Subdivision 2 of section 1854 of the public authorities law, as
amended by chapter 558 of the laws  of  1980,  is  amended  to  read  as
follows:
  2.  The  provision  of  services. To provide services required for the
development and use of new energy technologies and  related  methods  by
the industrial, commercial, medical, scientific, public interest, educa-
tional  and  governmental  organizations within the state, including the
power to establish, acquire and develop facilities therefor  not  other-
wise  available within the state, and to operate and manage such facili-
ties.  PROJECTS LOCATED WITHIN GROWTH OR REDEVELOPMENT AREAS  IDENTIFIED
IN  AN  APPROVED  SMART  GROWTH  PLAN  PURSUANT TO ARTICLE TWENTY OF THE
GENERAL MUNICIPAL LAW SHALL HAVE A PREFERENCE IN THE  AUTHORITY'S  IDEN-
TIFICATION OF PROJECTS ELIGIBLE FOR SUCH ASSISTANCE.
  S 11. The state finance law is amended by adding a new section 97-jjjj
to read as follows:
  S  97-JJJJ.  NEW YORK STATE SMART GROWTH REVOLVING LOAN FUND. 1. THERE
IS HEREBY ESTABLISHED IN THE JOINT CUSTODY OF THE STATE COMPTROLLER  AND
THE  SECRETARY  OF  STATE  A NEW FUND TO BE KNOWN AS THE "NEW YORK STATE
SMART GROWTH REVOLVING LOAN FUND".
  2. SUCH FUND SHALL CONSIST OF ALL MONEYS APPROPRIATED FOR ITS PURPOSE,
ALL MONEYS TRANSFERRED TO SUCH FUND PURSUANT  TO  LAW,  AND  ALL  MONEYS
REQUIRED BY THIS SECTION OR ANY OTHER LAW TO BE PAID INTO OR CREDITED TO
THIS  FUND,  INCLUDING ALL MONEYS RECEIVED BY THE FUND OR DONATED TO IT,
PAYMENTS OF PRINCIPAL AND INTEREST ON LOANS MADE FROM THE FUND, AND  ANY
INTEREST  EARNINGS  WHICH MAY ACCRUE FROM THE INVESTMENT OR REINVESTMENT
OF MONEYS FROM THE FUND.
  3. MONEYS OF SUCH FUND, WHEN ALLOCATED,  SHALL  BE  AVAILABLE  TO  THE
SECRETARY OF STATE TO MAKE LOANS AS PROVIDED IN THIS SECTION. UP TO FIVE
PERCENT OF THE MONEYS OF THE FUND OR TWO HUNDRED FIFTY THOUSAND DOLLARS,
WHICHEVER  IS  LESS, MAY BE USED TO PAY THE EXPENSES, INCLUDING PERSONAL
SERVICE AND MAINTENANCE AND OPERATION, IN CONNECTION WITH  THE  ADMINIS-
TRATION OF SUCH LOANS.
  4.  (A)  THE SECRETARY OF STATE, ON RECOMMENDATION OF THE SMART GROWTH
REVIEW BOARD, MAY MAKE, UPON APPLICATION DULY MADE, UP  TO  THE  AMOUNTS
AVAILABLE  BY APPROPRIATION, LOANS TO ANY VILLAGE, TOWN, CITY, COUNTY OR
SMART GROWTH COMPACT COUNCIL WITH  A  CERTIFIED  SMART  GROWTH  PLAN  OR
CERTIFIED  SMART GROWTH COMPACT PLAN FOR THE FOLLOWING TYPES OF PROJECTS
WHEN CONSISTENT WITH THE CERTIFIED SMART GROWTH PLAN OR CERTIFIED  SMART
GROWTH COMPACT PLAN FOR SUCH VILLAGE, TOWN, CITY, COUNTY OR SMART GROWTH
COMPACT COUNCIL:
  (I)  PUBLIC  INVESTMENT.  INFRASTRUCTURE PROJECTS THAT ACCOUNT FOR AND
MINIMIZE THE SOCIAL, ECONOMIC AND ENVIRONMENTAL  COSTS  OF  DEVELOPMENT,
SUCH   AS  TRANSPORTATION,  SEWERS  AND  WASTE-WATER  TREATMENT,  WATER,
SCHOOLS, RECREATION, AND OPEN SPACE;
  (II) ECONOMIC DEVELOPMENT.  ECONOMIC  DEVELOPMENT  PROJECTS  IN  AREAS
WHERE  TRANSPORTATION,  WATER  AND  SEWER  SERVICES  AND OTHER NECESSARY
INFRASTRUCTURE ARE READILY AVAILABLE;
  (III)  CONSERVATION.  PROJECTS  TO  PROTECT,  PRESERVE,  AND   ENHANCE
RESOURCES,  INCLUDING  AGRICULTURAL  LAND,  FORESTS,  SURFACE  WATER AND

S. 2526                            15

GROUNDWATER, RECREATION AND OPEN SPACE, SCENIC  AREAS,  AND  SIGNIFICANT
HISTORIC AND ARCHAEOLOGICAL SITES;
  (IV) COORDINATION. PROJECTS TO PROMOTE COORDINATION OF STATE AND LOCAL
GOVERNMENT  DECISIONS  AND COOPERATION AMONG COMMUNITIES TO WORK TOWARDS
THE MOST EFFICIENT, PLANNED, AND COST-EFFECTIVE DELIVERY  OF  GOVERNMENT
SERVICES  BY,  AMONG  OTHER  MEANS,  FACILITATING COOPERATIVE AGREEMENTS
AMONG ADJACENT COMMUNITIES AND TO COORDINATE PLANNING TO ENSURE  COMPAT-
IBILITY  OF  ONE COMMUNITY'S DEVELOPMENT WITH DEVELOPMENT OF NEIGHBORING
COMMUNITIES;
  (V) COMMUNITY  DESIGN.  PROJECTS  TO  STRENGTHEN  COMMUNITIES  THROUGH
DEVELOPMENT  AND  REDEVELOPMENT  STRATEGIES, THAT INCLUDE INTEGRATION OF
ALL INCOME AND AGE GROUPS, MIXED  LAND  USES  AND  COMPACT  DEVELOPMENT,
TRADITIONAL  NEIGHBORHOOD  DEVELOPMENT,  PLANNED  UNIT DEVELOPMENT, OPEN
SPACE  DISTRICTS,  DOWNTOWN  REVITALIZATION,  BROWNFIELD  REDEVELOPMENT,
ENHANCED  BEAUTY IN PUBLIC SPACES, AND DIVERSE AND AFFORDABLE HOUSING IN
CLOSE PROXIMITY TO  PLACES  OF  EMPLOYMENT,  RECREATION  AND  COMMERCIAL
DEVELOPMENT;
  (VI)  TRANSPORTATION.  PROJECTS  TO  PROVIDE  TRANSPORTATION  CHOICES,
INCLUDING INCREASING PUBLIC  TRANSIT,  IN  ORDER  TO  REDUCE  AUTOMOBILE
DEPENDENCY, TRAFFIC CONGESTION AND AUTOMOBILE POLLUTION; AND
  (VII)  CONSISTENCY.  PROJECTS TO ENSURE PREDICTABILITY IN BUILDING AND
LAND USE CODES.
  (B) NO LOAN AUTHORIZED BY THIS SECTION SHALL  HAVE  AN  INTEREST  RATE
EXCEEDING TWO AND ONE-HALF PERCENT AND NO LOAN TO A SMART GROWTH COMPACT
COUNCIL  OR  ANY  LOCAL  GOVERNMENT  SUBJECT TO A CERTIFIED SMART GROWTH
COMPACT PLAN SHALL HAVE AN INTEREST  RATE  EXCEEDING  ONE  AND  ONE-HALF
PERCENT.  NO  APPLICANT SHALL RECEIVE A LOAN FOR ANY PURPOSE UNDER PARA-
GRAPH (A) OF THIS SUBDIVISION MORE THAN ONCE IN ANY TWO-YEAR PERIOD. THE
MINIMUM AMOUNT OF ANY LOAN SHALL BE FIVE THOUSAND DOLLARS.   THE  PERIOD
OF  ANY  LOAN  SHALL  NOT  EXCEED  THE  PERIOD  OF  PROBABLE USEFULNESS,
PRESCRIBED BY SECTION 11.00 OF THE LOCAL FINANCE LAW, OR, IF  NO  PERIOD
BE  THERE PRESCRIBED, TEN YEARS. THE TOTAL AMOUNT OF ANY INTEREST EARNED
BY THE INVESTMENT OR REINVESTMENT OF ALL OR PART OF THE PRINCIPAL OF ANY
LOAN MADE UNDER THIS SECTION SHALL BE RETURNED TO THE SECRETARY OF STATE
FOR DEPOSIT IN THE FUND AND SHALL NOT BE CREDITED AS PAYMENT OF  PRINCI-
PAL OR INTEREST ON THE LOAN. THE SECRETARY OF STATE MAY REQUIRE SECURITY
FOR  ANY  LOAN AND MAY SPECIFY THE PRIORITY OF LIENS AGAINST ANY PROJECT
WHOLLY OR PARTIALLY FUNDED BY MONEYS  LOANED  UNDER  THIS  SECTION.  THE
SECRETARY  OF  STATE  MAY  MAKE LOANS UNDER THIS SECTION SUBJECT TO SUCH
OTHER TERMS AND CONDITIONS THE SECRETARY DEEMS PROPER.
  (C) WHEN THE SMART GROWTH PLAN OF ANY COUNTY, CITY, TOWN,  VILLAGE  OR
SMART  GROWTH  COMPACT COUNCIL IS DECERTIFIED BY THE SMART GROWTH REVIEW
BOARD, SUCH LOCAL GOVERNMENT OR SMART GROWTH COMPACT COUNCIL SHALL  MAKE
FINAL  PAYMENT  ON  ANY OUTSTANDING PRINCIPAL AND INTEREST DUE ON A LOAN
FROM THE SMART GROWTH REVOLVING LOAN  FUND  WITHIN  TWO  YEARS  OF  SUCH
DECERTIFICATION.
  (D) THE SECRETARY OF STATE SHALL HAVE THE POWER TO MAKE SUCH RULES AND
REGULATIONS AS MAY BE NECESSARY AND PROPER TO EFFECTUATE THE PURPOSES OF
THIS SECTION.
  (E) THE SECRETARY OF STATE SHALL ANNUALLY REPORT BY MARCH FIFTEENTH TO
THE GOVERNOR AND THE LEGISLATURE DESCRIBING THE ACTIVITIES AND OPERATION
OF  THE  LOAN  PROGRAM AUTHORIZED BY THIS SECTION. SUCH REPORT SHALL SET
FORTH THE NUMBER OF LOAN APPLICATIONS RECEIVED AND APPROVED;  THE  NAMES
OF  VILLAGES,  TOWNS,  CITIES, COUNTIES OR SMART GROWTH COMPACT COUNCILS
RECEIVING LOANS TOGETHER WITH THE AMOUNT AND PURPOSE OF  THE  LOAN,  THE
INTEREST  RATE  CHARGED,  AND  THE  OUTSTANDING BALANCE; AND THE BALANCE

S. 2526                            16

REMAINING IN THE NEW YORK STATE SMART GROWTH REVOLVING LOAN FUND,  ALONG
WITH  FUND  REVENUES  AND EXPENDITURES FOR THE PREVIOUS FISCAL YEAR, AND
PROJECTED REVENUES AND EXPENDITURES FOR THE CURRENT AND FOLLOWING FISCAL
YEARS.
  5.  (A)  APPLICATION  FOR  LOANS MAY BE MADE BY A VILLAGE, TOWN, CITY,
COUNTY OR SMART GROWTH COMPACT COUNCIL WITH  A  CERTIFIED  SMART  GROWTH
PLAN OR CERTIFIED SMART GROWTH COMPACT PLAN.
  (B)  EVERY  APPLICATION SHALL BE IN A FORM ACCEPTABLE TO THE SECRETARY
OF STATE. EVERY APPLICATION  SHALL  ACCURATELY  REFLECT  THE  CONDITIONS
WHICH  GIVE  RISE TO THE PROPOSED EXPENDITURE AND ACCURATELY REFLECT THE
ABILITY OF THE  APPLICANT  TO  MAKE  SUCH  AN  EXPENDITURE  WITHOUT  THE
PROCEEDS OF A LOAN UNDER THIS SECTION.
  (C) (I) THE SECRETARY OF STATE SHALL GIVE PREFERENCE TO THOSE APPLICA-
TIONS  WHICH  DEMONSTRATE  THE  GREATEST  NEED AND TO THOSE APPLICATIONS
WHICH ARE CONSISTENT WITH A CERTIFIED SMART GROWTH COMPACT PLAN AND  MAY
DISAPPROVE  ANY  APPLICATION WHICH CONTAINS NO ADEQUATE DEMONSTRATION OF
NEED OR WHICH WOULD RESULT IN INEQUITABLE  OR  INEFFICIENT  USE  OF  THE
MONEYS IN THE FUND.
  (II)  IN  MAKING DETERMINATIONS ON LOAN APPLICATIONS, THE SECRETARY OF
STATE SHALL ASSURE THAT LOAN FUND MONEYS ARE EQUITABLY DISTRIBUTED AMONG
ALL LEVELS OF GOVERNMENT AND ALL GEOGRAPHICAL AREAS OF  THE  STATE.  NOT
LESS  THAN  TWENTY-FIVE PERCENT OF THE LOANS ANNUALLY MADE SHALL BE MADE
TO APPLICANTS SUBJECT TO A CERTIFIED SMART GROWTH COMPACT PLAN.
  (D) AN APPLICATION SHALL BE REFERRED BY THE SECRETARY OF STATE TO  THE
SMART GROWTH REVIEW BOARD FOR REVIEW AND RECOMMENDATION.
  (E)  AN  APPLICATION  SHALL  NOT  BE  APPROVED  IF THE APPLICANT IS IN
ARREARS ON ANY PRIOR LOAN UNDER THIS SECTION.
  6. FOR PURPOSES OF THIS SECTION, THE FOLLOWING TERMS  SHALL  HAVE  THE
ACCOMPANYING MEANINGS:
  (A)  "SMART  GROWTH PLAN" SHALL MEAN THE DOCUMENT MEETING THE REQUIRE-
MENTS OF SECTION ONE THOUSAND THREE OF THE  GENERAL  MUNICIPAL  LAW  AND
SUBMITTED  FOR  CERTIFICATION  PURSUANT TO SECTION ONE THOUSAND SEVEN OF
THE GENERAL MUNICIPAL LAW;
  (B) "SMART GROWTH COMPACT COUNCIL" SHALL MEAN  A  COUNCIL  ESTABLISHED
PURSUANT TO SECTION ONE THOUSAND FOUR OF THE GENERAL MUNICIPAL LAW; AND
  (C)  "SMART  GROWTH  REVIEW  BOARD"  SHALL  MEAN THE BOARD ESTABLISHED
PURSUANT TO SECTION ONE THOUSAND FIVE OF THE GENERAL MUNICIPAL LAW.
  S 13. The executive law is amended by adding a new article 7-B to read
as follows:
                               ARTICLE 7-B
                  SMART GROWTH LOCAL ASSISTANCE OFFICE
SECTION 178. SMART GROWTH LOCAL ASSISTANCE OFFICE.
  S 178. SMART GROWTH LOCAL ASSISTANCE OFFICE. 1. THERE IS HEREBY ESTAB-
LISHED A SMART GROWTH LOCAL ASSISTANCE OFFICE WITHIN THE  DEPARTMENT  OF
STATE  WHICH SHALL PROVIDE MUNICIPALITIES WITH TECHNICAL, SCIENTIFIC AND
FINANCIAL ASSISTANCE FOR PROJECTS INCLUDING, BUT NOT LIMITED TO:
  (A) COMMUNITY COLLABORATIVE DEVELOPMENT, PURSUANT TO THE PROVISIONS OF
SECTION ONE THOUSAND THREE OF THE GENERAL MUNICIPAL  LAW,  SMART  GROWTH
PLANS   AND  GENERIC  ENVIRONMENTAL  IMPACT  STATEMENTS,  INCLUDING  THE
REVISION OF EXISTING COMPREHENSIVE PLANS OR OTHER EXISTING PLANS;
  (B) REVISIONS OF LOCAL COMPREHENSIVE PLANS, OTHER PLANS  OR  LAND  USE
REGULATIONS  WHERE  SUCH REVISIONS ARE DESIGNED TO IMPLEMENT A CERTIFIED
PRELIMINARY SMART GROWTH PLAN PURSUANT TO SECTION ONE THOUSAND SEVEN  OF
THE  GENERAL  MUNICIPAL  LAW,  AND  SMART  GROWTH PRINCIPLES PURSUANT TO
SECTION ONE THOUSAND TWO OF THE GENERAL MUNICIPAL LAW;

S. 2526                            17

  (C) EDUCATION FOR LOCAL GOVERNMENTS REGARDING DEVELOPMENT,  REDEVELOP-
MENT  AND  CONSERVATION  STRATEGIES  INCLUDING  TRANSFER  OF DEVELOPMENT
RIGHTS, INCENTIVE ZONING, CLUSTER DEVELOPMENT, REAL PROPERTY TAX  INCEN-
TIVES,  CONSERVATION  EASEMENTS,  PLANNED  UNIT  DEVELOPMENTS, MIXED USE
ZONING, TRADITIONAL NEIGHBORHOOD DEVELOPMENT AND OPEN SPACE DISTRICTS.
  2.  ANY SUCH TECHNICAL, SCIENTIFIC OR FINANCIAL ASSISTANCE PROVIDED BY
THE SMART GROWTH  LOCAL  ASSISTANCE  OFFICE  SHALL  REQUIRE  A  MATCHING
CONTRIBUTION  BY  THE MUNICIPALITY. THE TOTAL AMOUNT OF STATE ASSISTANCE
FOR ANY INDIVIDUAL MUNICIPALITY SHALL NOT EXCEED FIFTY  PERCENT  OF  THE
COST  AND  SHALL  NOT  EXCEED  SEVENTY-FIVE PERCENT FOR MULTIPLE MUNICI-
PALITIES FORMING COMPACTS.  ANY  MUNICIPALITY  WHICH  RECEIVES  A  GRANT
PURSUANT TO THIS SUBDIVISION MAY, AT THE DISCRETION OF THE DEPARTMENT OF
STATE,  CONTRIBUTE  ITS  MATCH  REQUIREMENT IN THE FORM OF AN IN KIND OR
OTHER NON-MONETARY CONTRIBUTION.
  3. THE SMART GROWTH LOCAL ASSISTANCE OFFICE SHALL ADMINISTER  THE  NEW
YORK  STATE SMART GROWTH REVOLVING LOAN FUND CREATED PURSUANT TO SECTION
NINETY-SEVEN-JJJJ OF THE STATE FINANCE LAW.
  S 14. This act shall take effect immediately.