Senate Bill S7324

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

                                  7324

                            I N  S E N A T E

                               May 2, 2012
                               ___________

Introduced  by Sen. FLANAGAN -- read twice and ordered printed, and when
  printed to be committed to the Committee on Commerce, Economic  Devel-
  opment and Small Business

AN  ACT to amend the state administrative procedure act and the economic
  development law, in relation to streamlined  adjudicatory  proceedings
  for small businesses

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

  Section 1. The state administrative procedure act is amended by adding
a new section 308 to read as follows:
  S 308. STREAMLINED OPTIONAL ADJUDICATORY PROCEEDINGS FOR  SMALL  BUSI-
NESSES.  UNLESS  OTHERWISE  PROHIBITED BY LAW, AN AGENCY MAY ADOPT REGU-
LATIONS PROVIDING FOR USE AT THE OPTION OF A SMALL BUSINESS  OF  STREAM-
LINED  ADJUDICATORY  PROCEEDINGS  CONDUCTED  BY  MAIL,  ELECTRONIC MAIL,
TELEPHONE CONFERENCE OR VIDEOCONFERENCE. IN ADOPTING  SUCH  REGULATIONS,
THE AGENCY SHALL:
  1.  CONSIDER  THE  TYPES OF PROGRAMS AND ISSUES FOR WHICH SUCH STREAM-
LINED PROCEEDINGS MAY REASONABLY BE CONDUCTED, TAKING INTO  ACCOUNT  (A)
THE  COMPLEXITY OF THE MATTERS TO BE RESOLVED IN THE PROCEEDING, (B) THE
SEVERITY OF POTENTIAL SANCTIONS, (C) ANY NECESSITY FOR PERSONAL  APPEAR-
ANCES,  INCLUDING BUT NOT LIMITED TO REQUIREMENTS FOR SWORN TESTIMONY OR
CROSS-EXAMINATION, AND (D) ANY POTENTIAL  REDUCTION  IN  THE  COSTS  AND
BURDENS  OF PARTICIPATING IN THE PROCEEDING FOR THE AGENCY AND FOR OTHER
PARTIES, AND SHALL APPROPRIATELY LIMIT THE AVAILABILITY  OF  STREAMLINED
PROCEEDINGS  TO PROGRAMS AND ISSUES IN WHICH THE PUBLIC INTEREST IN FAIR
OUTCOMES CAN CONTINUE TO BE ASSURED;
  2. ENSURE THAT A STREAMLINED PROCEEDING MAY ONLY BE USED AT THE OPTION
OF THE RESPONDENT SMALL BUSINESS WITH THE CONSENT OF THE AGENCY AND  ANY
OTHER NECESSARY PARTY TO THE PROCEEDING, AND THAT THE RIGHTS OF RESPOND-
ENTS  AND  OTHER PARTIES WILL NOT BE DIMINISHED IN ANY RESPECT BY VIRTUE
OF PARTICIPATION IN A STREAMLINED PROCEEDING;
  3. SPECIFY THE FORMAT OR FORMATS FOR  REMOTE  CONDUCT  OF  STREAMLINED
PROCEEDINGS;

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD14128-01-2
              

S. 7324                             2

  4.   ESTABLISH   PROCEDURES   FOR   REQUESTING   AND  SCHEDULING  SUCH
PROCEEDINGS, FOR THE CONDUCT OF SUCH PROCEEDINGS, AND FOR  THE  DEVELOP-
MENT  OF  A  COMPLETE RECORD AS PROVIDED IN SECTION THREE HUNDRED TWO OF
THIS ARTICLE; AND
  5.  PROVIDE THAT, IN THE EVENT THAT IT BECOMES IMPRACTICAL OR INAPPRO-
PRIATE TO CONTINUE A PROCEEDING COMMENCED PURSUANT TO THIS SECTION AS  A
STREAMLINED PROCEEDING, SUCH PROCEEDING MAY BE RESCHEDULED AS AN ADJUDI-
CATORY  PROCEEDING PURSUANT TO SECTION THREE HUNDRED ONE OF THIS ARTICLE
WITHOUT PREJUDICE TO ANY PARTY.
  S 2. Paragraphs (g) and (h) of subdivision 6 of  section  133  of  the
economic  development law, paragraph (g) as amended and paragraph (h) as
added by section 5 of part BB of chapter 59 of the  laws  of  2006,  are
amended and a new paragraph (i) is added to read as follows:
  (g)  establish procedures for making annual awards to be known as "New
York State Small Business Awards". These non-monetary  awards  shall  be
given in recognition of unusual performance by persons, firms and organ-
izations  which  are  engaged  in  the operation of New York state small
businesses or which are engaged in activities to assist small businesses
in the state. The board may nominate up to five award  winners  annually
and forward such names to the governor for his consideration. The gover-
nor  may  designate award winners from these nominees at his discretion.
Current members of the advisory board  are  not  eligible  as  nominees;
[and]
  (h)  advise the commissioner on recommendations for the selection of a
minority and women-owned business enterprise statewide advocate  as  set
forth by section three hundred eleven-a of the executive law[.]; AND
  (I)  REPORT  TO  THE COMMISSIONER, THE GOVERNOR AND THE LEGISLATURE ON
AGENCY USE OF STREAMLINED OPTIONAL ADJUDICATORY  PROCEEDINGS  FOR  SMALL
BUSINESSES.
  S 3. Within one hundred eighty days of the effective date of this act,
the  departments  of  environmental conservation, health and labor shall
institute pilot projects  to  offer  optional  streamlined  adjudicatory
proceedings  for small businesses for at least one regulatory program of
the agency under which small businesses currently appear as  respondents
in  adjudicatory  proceedings;  provided, however, that the governor may
direct that another agency shall institute a pilot project instead of  a
listed  agency.  Such  pilot projects shall be designed by the agency in
conjunction with the division for small business and in consideration of
input solicited from small businesses and other stakeholders.   Notwith-
standing the provisions of section one of this act, the agency shall not
be  required  to adopt regulations governing such proceedings, but shall
ensure that such proceedings are governed by guidelines consistent  with
the  provisions  of  such  section  one  and voluntarily accepted by all
participants. One year after initiating  a  pilot  project,  the  agency
shall  prepare  a comparative review of the cost, timeliness and outcome
of streamlined proceedings and  ordinary  adjudicatory  proceedings  and
shall  provide  such  review to the small business advisory board, along
with any other information which the board shall request.
  S 4. Nothing in this act shall be  construed  to  limit  any  existing
authority  of  any  agency  to  provide  for the conduct of adjudicatory
proceedings by mail, telephone or electronic means.
  S 5. This act shall take effect immediately.