senate Bill S1868

2011-2012 Legislative Session

Relates to the small business regional revolving loan program

download bill text pdf

Sponsored By

Archive: Last Bill Status - In Committee


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

do you support this bill?

Actions

view actions (2)
Assembly Actions - Lowercase
Senate Actions - UPPERCASE
Jan 04, 2012 referred to corporations, authorities and commissions
Jan 13, 2011 referred to corporations, authorities and commissions

Co-Sponsors

S1868 - Bill Details

Current Committee:
Senate Corporations, Authorities And Commissions
Law Section:
New York State Urban Development Corporation Act
Laws Affected:
Amd ยงยง16-a, 16-c, 16-e & 16-l, UDC Act
Versions Introduced in 2009-2010 Legislative Session:
A10473, A3384A

S1868 - Bill Texts

view summary

Relates to the small business regional revolving loan program.

view sponsor memo
BILL NUMBER:S1868

TITLE OF BILL:
An act
to amend the New York state urban development corporation act, in
relation to the small business
regional revolving loan trust fund and the small
business regional revolving loan program

PURPOSE OR GENERAL IDEA OF BILL:
The purpose of this bill is to
improve small business job opportunities with in the state.

SUMMARY OF SPECIFIC PROVISIONS:
Section One provides statement for
legislative intent and renames the Regional Revolving Loan program to
the "Small Business Regional Revolving Loan Program."

Provides process for audit and proposal requests.

Repeals and re-letters sections of the UDC.

Amends subsection (12) of 516-a of the UDC.

Provides purposes for refinancing existing loans of debts.

Provides terms and conditions for usage of funds.

Provides effective date.

JUSTIFICATION:
Small businesses are the economic backbone of the,
state and a significant source of jobs. However, they often have
difficulty obtaining small amounts of capital from traditional
banking organizations. These funds are often critical to start-up,
improve, or expand operations.

However, State assistance in the form of loans address these capital
needs would enable the formation and expansion of small businesses
across the State. The result would be a reinvigorated small business
climate able to sustain both ways and job growth.

Renaming the Regional Revolving Loan program to the Small Business
Regional Revolving Loan Program will reinforce the intent of the
program to as a catalyst for growing small business. This legislation
would ensure a more efficient and effective system for providing such
loans, by utilizing regional not-for-profit corporations that ate
knowledgeable about local businesses and economic conditions.

PRIOR LEGISLATIVE HISTORY:
A.9129 of 2007-2008 - Passed Assembly &
Referred to Corporations, Authorities & Commissions in the Senate

FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS:
Undetermined.


EFFECTIVE DATE:
Immediately.

view full text
download pdf
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  1868

                       2011-2012 Regular Sessions

                            I N  S E N A T E

                            January 13, 2011
                               ___________

Introduced by Sen. ESPAILLAT -- read twice and ordered printed, and when
  printed  to be committed to the Committee on Corporations, Authorities
  and Commissions

AN ACT to amend the New York state urban development corporation act, in
  relation to the small business regional revolving loan trust fund  and
  the small business regional revolving loan program

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

  Section 1. Statement of legislative  intent.  The  legislature  hereby
finds  and  declares  that small businesses are the economic backbone of
the state and the source of a majority  of  new  jobs.  The  legislature
further finds that such businesses often have difficulty obtaining small
amounts of capital from traditional banking organizations that is neces-
sary to start-up, improve, or expand operations. State assistance in the
form  of  loans to meet such capital gaps would enable the formation and
expansion of small businesses across the state and,  thus,  provide  job
opportunities  to  the  state's  citizens. The legislature further finds
that the existing regional revolving loan program  of  the  state  urban
development  corporation  demonstrated  that  it  is  more efficient and
effective to provide such loans through regional  not-for-profit  corpo-
rations  that  are  knowledgeable  about  local  businesses and economic
conditions. Therefore, it is the intent of the  legislature  to  improve
job  opportunities  in  the  state by revitalizing the urban development
corporation's regional revolving loan program and re-naming it the small
business regional revolving loan program.
  S 2. The New York state urban development corporation created by chap-
ter 174 of the laws of 1968 is hereby directed  to  audit,  pursuant  to
subdivision  19  of  section  16-a of section 1 of the urban development
corporation act, each  existing  regional  corporation  administering  a
small business regional revolving loan fund and to either recertify such
regional corporation or decertify such regional corporation and competi-
tively  select  a successor corporation to administer the small business
regional revolving loan fund.  In the case of regions that do not have a
regional corporation administering a small business  regional  revolving

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD06305-01-1

S. 1868                             2

loan  fund  or  that  have a decertified regional corporation, the urban
development corporation shall issue a request for proposals, pursuant to
the provisions of section 16-a of section 1  of  the  urban  development
corporation  act,  to  administer small business regional revolving loan
funds. The corporation shall select from the proposals received the most
qualified applicant in each region pursuant to subdivisions 4, 5, and  6
of such section 16-a. If there is no applicant or no qualified applicant
in a region of the state, that region shall not participate in the small
business  regional  revolving  loan  fund program. The corporation, from
money available for this purpose, shall allocate funds to each  regional
corporation pursuant to subdivision 1 of such section 16-a.
  S  3.    Section 16-a of section 1 of chapter 174 of the laws of 1968,
constituting the New York state urban development  corporation  act,  as
amended  by  chapter  477 of the laws of 2002, subdivisions 20 and 21 as
amended by chapter 524 of the laws  of  2005,  is  amended  to  read  as
follows:
  S 16-a. [Regional] SMALL BUSINESS REGIONAL revolving loan program. (1)
The  corporation  shall establish a fund to be known as the "SMALL BUSI-
NESS regional revolving loan trust fund" and shall pay  into  such  fund
any  monies  made  available  to  the corporation for such fund from any
source. The monies held in or credited to the  fund  shall  be  expended
solely for the purposes set forth in this section. The corporation shall
not  commingle  the  monies  of  such  fund with any other monies of the
corporation or any monies held in trust by the corporation.
  (2) The corporation shall allocate any monies made available for  such
fund  for  the  purpose  of  making grants to regional corporations. The
grants shall be allocated as follows:
  (a) fifty percent divided equally among the regions;
  (b) fifty percent according to a formula weighted in  favor  of  those
regions  with  the greatest levels of economic distress as determined by
poverty rates, number of persons receiving public assistance,  unemploy-
ment  rates,  rate  of  employment  decline and such other indicators of
economic distress as the corporation deems appropriate; and
  (c) in the event a regional corporation advises the  corporation  that
it  does  not  require  all  or a portion of the funds to be distributed
pursuant to this subdivision, such funds shall be re-distributed by  the
corporation equally among the other regional corporations.
  (3)  In  accordance with the rules and regulations of the corporation,
each regional corporation  shall  establish  two  special  accounts  for
monies  received  by the regional corporation pursuant to the provisions
of this section. The grant monies received from the  corporation,  earn-
ings  on such monies, and any principal repayments shall be deposited in
a loan fund account; any interest earned by the regional corporation  on
loans  will  be  deposited  in  a separate interest repayment account. A
regional corporation shall be authorized to provide financing assistance
to eligible projects. Any interest earned from its loans may be used  by
a  regional  corporation  for  the  cost  of  administering the programs
authorized by this section.
  (4) Regional corporations shall be selected by  the  corporation  from
among  eligible  applicants  to  administer  a  SMALL  BUSINESS regional
revolving loan program. An eligible applicant shall:
  (a) represent at least two entire contiguous counties;
  (b) have available to it staff with sufficient  expertise  to  analyze
applications  for  financial  assistance, to regularly monitor financial
assistance to clients, and have made arrangements to provide  management
or technical assistance to clients;

S. 1868                             3

  (c)  have an effective plan to market its services to small businesses
through such entities as chambers of commerce,  industry  trade  associ-
ations, banks, local development corporations, community based organiza-
tions and industrial development agencies; and
  (d) have established a loan committee composed of five or more persons
experienced  in  commercial  lending or in the operation of a for-profit
business and a staff person of the regional office of the department  of
economic development. Such loan committee shall review every application
to  the  regional  corporation for financial assistance pursuant to this
section, shall determine the feasibility of the transaction proposed  in
the  application  and shall recommend to the board of directors or other
governing body of the regional corporation such action as the  committee
deems appropriate.
  (5)  Applications  to  the  corporation for certification or recertif-
ication as a regional corporation shall:
  (a) describe the applicant corporation,  including  its  organization,
membership, loan committee, staff, and sources of other funds, if any;
  (b) identify the geographic region to be served;
  (c)  explain  the methods and criteria to be used in determining firms
eligible for financial  assistance  from  the  SMALL  BUSINESS  regional
revolving loan program;
  (d) describe the means for coordinating financial assistance available
from  the  SMALL BUSINESS regional revolving loan program with financial
assistance available from other public funding sources within the region
and how such program will be used  to  leverage  private  financing  for
projects;
  [(e)  at any time, the corporation may consider proposals to reconfig-
ure geographic areas served by regional corporations;] and
  [(f)] (E) contain such other  information  as  the  corporation  deems
appropriate.
  (6)  The  corporation  shall  select,  from among eligible applicants,
regional corporations to administer  revolving  loan  programs,  on  the
basis of:
  (a)  the  ability of the regional corporation to administer the finan-
cial assistance programs authorized under this section;
  (b) the extent of coordination with other publicly supported financial
assistance programs available  within  the  region  represented  by  the
regional corporation;
  (c) the degree of public and private support within the region for the
applicant regional corporation; and
  (d)  the  ability of the regional corporation to provide financial and
other assistance to businesses located in distressed  areas  within  the
region.
  (6-a)  The  corporation  shall,  every five years, recertify that each
regional corporation has complied with the terms and conditions of  this
section.  In the event a regional corporation is not recertified, or its
certification is withdrawn pursuant  to  subdivision  nineteen  of  this
section, then the corporation shall give written notice to such regional
corporation  which shall thereafter neither make new loans nor undertake
new obligations except upon written approval  of  the  corporation.  The
corporation  may  thereafter certify another regional corporation in the
manner provided in this section for the  selection  of  regional  corpo-
rations. Upon the certification of a successor regional corporation, all
remaining  loan  funds, records and accounts of the regional corporation
not recertified shall be transferred to the corporation and the regional
corporation not recertified shall cease to  function  pursuant  to  this

S. 1868                             4

section.  The  corporation  shall transfer returned funds to a successor
regional corporation, or in the event no successor regional  corporation
is formed, equally to other existing regional corporations.
  (7)  A regional corporation certified by the corporation shall use the
funds received from the corporation, subject to  the  terms,  conditions
and restrictions set forth in this section, to provide financial assist-
ance  to  eligible  businesses  as  defined  in subdivision seventeen of
section three of this act, for projects that demonstrate  a  substantial
likelihood of providing increases in net new permanent jobs or retaining
jobs in businesses that need such financial assistance to remain viable.
THE REGIONAL CORPORATION CERTIFIED BY THE CORPORATION SHALL ALSO USE THE
FUNDS  RECEIVED  FROM THE CORPORATION, SUBJECT TO THE TERMS, CONDITIONS,
AND RESTRICTIONS SET FORTH IN THIS SECTION, TO PROVIDE FINANCIAL ASSIST-
ANCE TO MICRO-ENTERPRISES, DEFINED AS ANY COMMERCIAL BUSINESS WITH  FIVE
OR FEWER EMPLOYEES, ONE OR MORE OF WHOM IS THE OWNER.
  (8)  The  decision  to  approve or reject an application for financial
assistance pursuant to the provisions of this section shall be made by a
majority of the directors of the regional corporation, and such decision
shall be final. No member of the board or  other  governing  body  of  a
regional corporation shall participate in a decision on a project appli-
cation  when  such  member  is a party to or has a financial interest in
such project. Any member who cannot  participate  in  a  decision  on  a
project  application for such reason shall not be counted as a member of
the board or other governing body for purposes of determining the number
of members required for a majority vote on such application.
  (9) No employee or officer of any  regional  corporation  shall  be  a
party  to  or  have  any financial interest in any project that receives
financial assistance pursuant to this section.
  (10) A regional corporation, in approving applications  for  financial
assistance, shall give priority to projects:
  (a) that will provide increases in net new permanent jobs;
  (b)  located in economically distressed areas as defined by the corpo-
ration or employing persons who live in such areas;
  (c) of minority or women-owned enterprises  or  enterprises  owned  by
dislocated  workers, such workers as defined in the Workforce Investment
Act (P.L. 105-220); and
  (d) of businesses in the early stages of development  that  have  been
denied access to credit.
  (11) The funds allocated to each regional corporation pursuant to this
section may be used to guarantee the repayment of a working capital loan
provided  by  a  banking  organization  to  finance an eligible project.
Guarantees may be provided for up to  ninety  percent  of  the  required
total project financing, provided that no more than one hundred thousand
dollars  may  be  guaranteed for any project. Guarantees may be made for
the following types of financing: short and medium term loans for  work-
ing  capital,  revolving  lines  of  credit,  and seasonal inventory and
accounts receivable loans. Guarantees may  be  made  for  up  to  ninety
percent  of  the required total financing up to a maximum of one hundred
fifty thousand dollars for interim financing  where  another  lender  or
guarantor  will  provide  permanent  financing within one hundred eighty
days. In no event may a loan guarantee be for a term  longer  than  five
years. Any loan made by a banking organization that is guaranteed pursu-
ant  to this subdivision shall be secured by a security agreement, chat-
tel paper, loan agreement, or such other instruments or documents deemed
necessary or convenient by the regional corporation to secure the  loan.
Any  guarantee  made  pursuant  to this subdivision shall be backed by a

S. 1868                             5

minimum reserve within the account established by each  regional  corpo-
ration  of at least twenty-five percent of the amount guaranteed that is
outstanding.
  (11-a)  A  regional  corporation,  in  addition  to receiving funds as
provided in this section, may also apply for and accept funds  from  any
other  source  for  the  purpose of furthering its goals and objectives.
Such funds may be used in the same manner as  funds  received  from  the
corporation to carry out the purposes of this section.
  (12)  The  funds of each regional corporation derived pursuant to this
section may be used to provide loans for working  capital  for  eligible
projects;  provided  that  the amount of the loan does not exceed ninety
percent of the total project cost,  or  one  hundred  thousand  dollars,
whichever  is  less.  The interest rate and the terms [on] OF such loans
shall be determined by the regional corporation, but in no  event  shall
the interest rate be less than [five percent] THE FEDERAL DISCOUNT RATE.
The  term  of  any  loan shall not exceed five years. All loans shall be
secured by lien positions on collateral at the highest level of priority
that can accommodate the borrower's ability to raise sufficient debt and
equity capital for the project.
  (13) A regional corporation shall not provide any financial assistance
authorized by this section unless the following conditions are met:
  (a) the applicant has demonstrated that there is  little  prospect  of
obtaining  the  project financing requested from other public sources of
funding within the region, including local  revolving  loan  funds,  and
that  there  is  little prospect of obtaining adequate project financing
from private sources of capital, or in the case  of  a  loan  guarantee,
that there is little prospect of obtaining project financing without the
guarantee; except that in the case of local revolving loan funds, finan-
cial  assistance  from  the  SMALL BUSINESS regional revolving loan fund
account may be provided for a  project  in  conjunction  with  financial
assistance  from  a  local revolving loan fund, provided that assistance
from the SMALL BUSINESS regional revolving loan fund is no greater  than
that provided by the local revolving loan fund, and that a project qual-
ifying  for  financial  assistance available from a local revolving loan
fund is not denied such assistance;
  (b) the applicant has a  minimum  equity  interest  of  at  least  ten
percent in the business or project;
  (c) there is a reasonable prospect of repayment;
  (d)  the  project is located in the region represented by the regional
corporation;
  (e) the project will comply with any applicable environmental rules or
regulations;
  (f) the applicant has certified that it will not discriminate  against
any  employee or any applicant for employment because of race, religion,
color, national origin, sex, or age;
  (g) a staff member or a representative  of  the  regional  corporation
acting  in  an official capacity has personally visited the project site
and/or the applicant's place of business; and
  (h) financial commitments for the  project  have  been  obtained  from
other public and private sources.
  (14) Grants made by the corporation pursuant to this section shall not
be made available for:
  (a) projects that would result in the relocation of any business oper-
ation  from  one  municipality within the state to another, except under
one of the following conditions:   (i) when  a  business  is  relocating
within  a  municipality  with a population of at least one million where

S. 1868                             6

the governing body of such municipality  approves  such  relocation;  or
(ii) the regional corporation notifies each municipality from which such
business  operation  will  be  relocated and each municipality agrees to
such relocation;
  (b)  projects of newspapers, broadcasting or other news media; medical
facilities, libraries, community or civic centers; or public infrastruc-
ture improvements;
  (c) refinancing any portion of the total project cost or other  exist-
ing  loans  or  debts  of an applicant, except for the purpose of trans-
ferring to the employees or to other  local  interests  ownership  of  a
company  that  would  otherwise  depart  from  or cease or substantially
reduce operations in the state  AND  EXCEPT  WHEN  SUCH  REFINANCING  IS
REQUIRED  TO  ENABLE  A  VIABLE BUSINESS TO MAINTAIN OR EXPAND ITS OPER-
ATIONS IN THE STATE;
  (d) providing funds, directly or  indirectly,  for  payment,  distrib-
ution,  or  as a loan, to owners, partners or shareholders of the appli-
cant enterprise, except as ordinary income for services rendered; and
  (e) retail projects, except where the regional corporation finds there
will be an increase in net new permanent jobs.
  (15) A regional corporation may  charge  application,  commitment  and
loan  guarantee  fees  pursuant  to  a  schedule  of fees adopted by the
regional corporation and approved by the corporation.
  (16) The regional corporations shall submit  annual  reports  for  the
previous fiscal year to the corporation describing the financial assist-
ance  provided  pursuant  to  this  section,  including:  the  number of
projects assisted;  the  amount  and  type  of  assistance  provided;  a
description of the projects; the number of jobs created or retained; the
status  of outstanding loans, guarantees, earnings and account balances;
and such other information as the corporation may require.
  (17) The corporation shall, assisted by the commissioner  of  economic
development and in consultation with the department of economic develop-
ment,  promulgate  rules  and  regulations  in accordance with the state
administrative procedure act setting forth procedures to be followed by,
and the responsibilities and obligations of, regional  corporations  and
the corporation. Such rules and regulations shall be consistent with the
program  plan required by subdivision nineteen of section one hundred of
the economic development law.
  (18) For any positions opened as a result of  assistance  provided  in
this  section, businesses so assisted shall first consider unemployed or
low income  individuals  eligible  to  participate  in  programs  funded
through  the  Workforce  Investment  Act  (P.L.  105-220)  who  shall be
referred to the business by local workforce  investment  boards  created
pursuant to such act or by the job service division of the department of
labor.
  (19)  The corporation shall annually conduct an audit of each regional
corporation to ensure conformity of  all  aspects  of  program  adminis-
tration  and  of  financial assistance transactions with the substantive
and procedural provisions of this section. In the event that the  corpo-
ration finds instances of substantive noncompliance by a regional corpo-
ration  with  any  of  the provisions of this section and such instances
were, or should have been, known to be in  noncompliance,  the  regional
corporation  shall return, within thirty days, upon demand by the corpo-
ration, all uncommitted grant funds on hand and provide an accounting of
the loans currently outstanding.
  The corporation may withdraw a regional corporation's certification:

S. 1868                             7

  (a) when a member of a board of directors or other governing body,  an
officer  or  an employee of said regional corporation is party to or has
financial interests in loan projects;
  (b)  when  said regional corporation fails to comply with the require-
ments for project loans pursuant to this section; or
  (c) when a regional corporation makes no  loans  within  the  previous
fiscal  year and there is more than one hundred thousand dollars remain-
ing in its loan fund account.
  The corporation shall  transfer  funds  returned  from  a  decertified
regional  corporation  to a successor regional corporation, or, if there
be none, distribute such funds equally  among  other  existing  regional
corporations.  Outstanding loans and other obligations payable to such a
decertified regional corporation shall  be  assigned  to  its  successor
regional  corporation,  or  to the corporation or an agent designated by
the corporation upon such terms and conditions as the corporation  shall
determine.
  (20)  [Reporting.] The corporation shall, on or before October 1, 1988
and on or before each October first thereafter, submit a report  to  the
governor  and  the  legislature on the operations and accomplishments of
the SMALL BUSINESS regional revolving loan program.  Such  report  shall
include  a summary of the information contained in the reports submitted
pursuant to subdivision sixteen of this section and of  the  results  of
the audits performed by the corporation pursuant to subdivision nineteen
of  this  section,  and shall set forth the status of the SMALL BUSINESS
regional revolving loan program for the previous fiscal year,  including
grants  to  the  regional corporations, earnings and account balances as
reported to the corporation. The report to be submitted  on  October  1,
2005  and  on  or  before each October first thereafter shall be consol-
idated with the annual program report of the corporation required  under
the  provisions  of  subdivision  (b)  of section thirty of this act, as
amended.
  (21) [Evaluation.] (a) The corporation shall submit to the director of
the division of the  budget,  the  chairperson  of  the  senate  finance
committee,  and the chairperson of the assembly ways and means committee
an evaluation of this program prepared by an entity independent  of  the
corporation. Such evaluation shall be submitted by September 1, 2005 and
by September first every four years thereafter.
  (b)  Between  evaluation due dates, the corporation shall maintain the
necessary records and data required to satisfy such evaluation  require-
ments  and to satisfy information requests received from the director of
the budget, the chairperson of the  senate  finance  committee  and  the
chairperson of the assembly ways and means committee between such evalu-
ation due dates.
  (22)  The  corporation  shall recertify existing regional corporations
or, in the event a regional corporation's certification has  been  with-
drawn, seek successor corporations among eligible applicants after April
first, two thousand two.
  S  4.  Paragraph  (f) of subdivision 2 of section 16-c of section 1 of
chapter 174 of the laws of 1968, constituting the New York  state  urban
development  corporation  act,  as  added  by chapter 169 of the laws of
1994, is amended to read as follows:
  (f) The provisions of subdivisions eight, nine, and  fourteen  through
nineteen  of section sixteen-a of this act pertaining to the SMALL BUSI-
NESS regional revolving [loans] LOAN trust fund shall also be applicable
to the minority and women revolving  loan  trust  fund,  provided  that:
where the term "regional corporation" appears therein it shall be inter-

S. 1868                             8

preted  to  mean  an  entity selected to administer a minority and women
revolving loan trust fund account, and "SMALL BUSINESS regional  revolv-
ing  [loans]  LOAN trust fund" shall mean a minority and women revolving
loan  trust  fund,  and where the term "this section" appears therein it
shall mean this section sixteen-c.
  S 5. Paragraph (h) of subdivision 1 of section 16-e of  section  1  of
chapter  174  of the laws of 1968, constituting the New York state urban
development corporation act, as added by chapter  169  of  the  laws  of
1994, is amended to read as follows:
  (h)  "Revolving loan fund account grants" shall include: (i) grants to
provide the local match for federally funded community-based loan funds;
(ii) grants to  capitalize  and  recapitalize  SMALL  BUSINESS  regional
revolving loan trust fund accounts pursuant to section sixteen-a of this
act;  and (iii) grants to recapitalize minority and women revolving loan
trust fund accounts established pursuant to section  sixteen-c  of  this
act.
  S 6. Subdivision 13 of section 16-e of section 1 of chapter 174 of the
laws  of  1968, constituting the New York state urban development corpo-
ration act, as added by chapter 169 of the laws of 1994, is  amended  to
read as follows:
  (13)  Regional  loan fund account grants. Assistance from this program
may be provided for grants of up to five  hundred  thousand  dollars  to
capitalize,  and  up  to  two  hundred thousand dollars to recapitalize,
SMALL BUSINESS regional revolving loan trust fund  accounts  established
pursuant to section sixteen-a of this act and up to two hundred thousand
dollars  to  recapitalize  minority  and women revolving loan trust fund
accounts established pursuant to section sixteen-c of this act;  and  up
to two hundred thousand dollars to provide the local match for appropri-
ately federally-financed community-based loan funds.
  S  7.  The  opening  paragraph  of paragraph (b-1) of subdivision 6 of
section 16-l of section 1 of chapter 174 of the laws of 1968, constitut-
ing the New York state urban development corporation act,  as  added  by
chapter 603 of the laws of 2003, is amended to read as follows:
  The  corporation is authorized, within available appropriations in the
empire state economic development fund established pursuant  to  section
16-m  of this act, to provide financial assistance in the form of loans,
loan guarantees, working capital loans, and interest subsidy  grants  to
subsidize loans from federally chartered instrumentalities and state and
private  lending institutions, including agricultural cooperative corpo-
rations, provided that such assistance  to  state  lending  institutions
shall  not  exceed  one-third  of the total project cost or four hundred
thousand dollars, whichever is less, to agricultural enterprises seeking
to implement the projects listed in this  paragraph.    Funds  for  such
loans,  grants, subsidies, or any other assistance specified pursuant to
this act may come from funds derived from the financial  assistance  for
small and medium-sized business assistance projects established pursuant
to  section  9-a of this act, the SMALL BUSINESS regional revolving loan
trust fund established  pursuant  to  section  16-a  of  this  act,  the
regional  economic  development partnership program established pursuant
to section 16-e of this act, the empire state economic development  fund
established  pursuant  to  section  16-m  of this act, or from any other
funds, programs, or projects administered by the corporation or by other
state appropriations.
  S 8. This act shall take effect immediately.

Comments

Open Legislation comments facilitate discussion of New York State legislation. All comments are subject to moderation. Comments deemed off-topic, commercial, campaign-related, self-promotional; or that contain profanity or hate speech; or that link to sites outside of the nysenate.gov domain are not permitted, and will not be published. Comment moderation is generally performed Monday through Friday.

By contributing or voting you agree to the Terms of Participation and verify you are over 13.