S T A T E O F N E W Y O R K
________________________________________________________________________
8327
2011-2012 Regular Sessions
I N A S S E M B L Y
June 13, 2011
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Introduced by M. of A. LENTOL -- read once and referred to the Committee
on Economic Development
AN ACT to amend the urban development corporation act, in relation to
creating a north Brooklyn creative economic zone; and to amend the tax
law, in relation to establishing tax credits for the north Brooklyn
creative economic zone
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Section 1 of chapter 174 of the laws of 1968, constituting
the New York state urban development corporation act is amended by
adding a new section 16-u to read as follows:
S 16-U. NORTH BROOKLYN CREATIVE ECONOMIC ZONE. 1. DEFINITIONS. FOR
PURPOSES OF THIS SECTION:
(A) "CREATIVE BUSINESS" SHALL MEAN ANY CURRENT OR NEW BUSINESS THAT
DEVELOPS PLANS TO ADD JOBS TO THE LOCAL ECONOMY WHILE CREATING NEW TECH-
NOLOGY OR NEW PRODUCT DESIGN AND WHICH HAS SUCCESSFULLY APPLIED FOR
PATENTS IN THE TECHNOLOGY OR DESIGN THAT IT IS DEVELOPING OR HAS DEVEL-
OPED.
(B) "MIXED-USE BUILDING" SHALL MEAN ANY SINGLE BUILDING THAT HOUSES
RESIDENTIAL AND BUSINESS SPACE SHARED BY FOUR OR MORE BUSINESSES OR A
NEW OR REDESIGNED BUILDING DESIGNED TO HOUSE SUCH USES.
2. THE EMPIRE STATE DEVELOPMENT CORPORATION SHALL ESTABLISH A NORTH
BROOKLYN CREATIVE ECONOMIC ZONE IN THE FOLLOWING GEOGRAPHICAL AREA:
ALL OF THAT LAND WEST OF NEWTOWN CREEK AND, BEGINNING IN A SOUTHERLY
DIRECTION ON FLUSHING AVENUE TO BUSHWICK AVENUE AND THEN CONTINUING IN A
SOUTHEASTERLY DIRECTION TO ARION PLACE AND THEN CONTINUING IN A SOUTH-
WESTERLY DIRECTION TO BROADWAY AND THEN CONTINUING IN A SOUTHEASTERLY
DIRECTION TO GATES AVENUE AND THEN CONTINUING IN A WESTERLY DIRECTION TO
FULTON AVENUE AND THEN CONTINUING IN A NORTHWESTERLY DIRECTION TO FLAT-
BUSH AVENUE AND THEN CONTINUING IN A NORTHWESTERLY DIRECTION TO THE EAST
RIVER.
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD13050-01-1
A. 8327 2
3. THE CORPORATION SHALL CREATE FOUR BUSINESS INCUBATORS WITHIN THE
ZONE CREATED IN SUBDIVISION TWO OF THIS SECTION, SPECIFIC TO DESIGN AND
TECHNOLOGY, TO FOSTER AND GROW BUSINESSES THAT SEEK SHARED SPACE AND
RESOURCES.
4. THE CORPORATION SHALL PROMOTE THE ESTABLISHMENT OF CREATIVE BUSI-
NESSES. OWNERS OF SUCH BUSINESS SHALL BE ELIGIBLE FOR TAX CREDITS UNDER
SECTION 36 OF THE TAX LAW.
5. THE CORPORATION SHALL CREATE A MENTORING PROGRAM WHEREIN ESTAB-
LISHED BUSINESSES LEND TIME AND/OR EXPERTISE TO NEW BUSINESSES WITH THIS
ZONE. BUSINESSES THAT PARTICIPATE AS MENTORS IN SUCH MENTORING PROGRAM
SHALL BE ELIGIBLE FOR TAX CREDITS UNDER SECTION 36 OF THE TAX LAW.
S 2. The tax law is amended by adding a new section 36 to read as
follows:
S 36. NORTH BROOKLYN CREATIVE ECONOMIC ZONE CREDIT. (A) ALLOWANCE OF
CREDIT. A TAXPAYER WHICH IS QUALIFIED CREATIVE BUSINESS, AS THAT TERM IS
DEFINED IN SECTION SIXTEEN-U OF THE NEW YORK STATE URBAN DEVELOPMENT
CORPORATION ACT, OR WHICH IS A QUALIFIED MENTOR PURSUANT TO SUCH
SECTION, AND WHICH IS SUBJECT TO TAX UNDER ARTICLE NINE, NINE-A, TWEN-
TY-TWO OR THIRTY-TWO OF THIS CHAPTER, SHALL BE ALLOWED A CREDIT AGAINST
SUCH TAX, AS PROVIDED HEREIN:
(1) FOR A QUALIFIED CREATIVE BUSINESS THE CREDIT SHALL EQUAL EIGHT
THOUSAND DOLLARS.
(2) FOR A QUALIFIED MENTOR THE CREDIT SHALL EQUAL TWELVE THOUSAND FIVE
HUNDRED DOLLARS, PROVIDED THAT SUCH TAXPAYER PROVIDES DOCUMENTATION FROM
THE EMPIRE STATE DEVELOPMENT CORPORATION THAT SUCH TAXPAYER HAS BEEN A
MENTOR FOR A YEAR OR MORE AND THAT THE CREDIT IS SOUGHT SOLELY FOR THE
TAXABLE YEAR IN WHICH IT IS A MENTOR.
(B) CARRYOVER. IF THE AMOUNT OF THE CREDIT, AND CARRYOVERS OF SUCH
CREDIT, ALLOWABLE UNDER THIS SUBDIVISION FOR ANY TAXABLE YEAR SHALL
EXCEED THE TAXPAYER'S TAX FOR SUCH YEAR, SUCH EXCESS AMOUNT MAY BE
CARRIED OVER TO THE FIVE TAXABLE YEARS NEXT FOLLOWING THE TAXABLE YEAR
WITH RESPECT TO WHICH THE CREDIT IS ALLOWED AND MAY BE DEDUCTED FROM THE
TAXPAYER'S TAX FOR SUCH YEAR OR YEARS.
(C) LIMITATIONS. THIS CREDIT MAY ONLY BE CLAIMED FOR THE TAXABLE YEAR
IN WHICH THE GIFT WAS DELIVERED PURSUANT TO THE DELIVERY REQUIREMENTS OF
THIS SECTION AND ONLY BY THE DONOR OF SUCH ANATOMICAL GIFT. THIS CREDIT
MAY ONLY BE CLAIMED ONCE.
S 3. This act shall take effect immediately.