senate Bill S2593

2013-2014 Legislative Session

Establishes the small business crime prevention services

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Archive: Last Bill Status - In Committee


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

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Assembly Actions - Lowercase
Senate Actions - UPPERCASE
Jan 08, 2014 referred to commerce, economic development and small business
Jan 22, 2013 referred to commerce, economic development and small business

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S2593 - Bill Details

See Assembly Version of this Bill:
A6931
Current Committee:
Law Section:
Economic Development Law
Laws Affected:
Add §139, Ec Dev L; amd §16-m, UDC Act; amd §837, Exec L
Versions Introduced in Previous Legislative Sessions:
2011-2012: S979A
2009-2010: S5041

S2593 - Bill Texts

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Establishes the small business crime prevention services program to provide small businesses with information on strategies, best practices and programs offering training and assistance in prevention of crimes in and around the premises of small businesses or otherwise affecting small businesses, including but not limited to: assault, arson and other violent felony offenses; robbery, burglary, theft, identity theft counterfeiting, check and credit card fraud and other fraud; and vandalism, graffiti and other property damage; further provides that information on eligibility and applications for financial assistance be made available to small businesses; authorizes the New York state urban development corporation to provide loans, loan guarantees, interest subsidies and grants to small businesses, municipalities, not-for-profit corporations or other organizations for the purpose of preventing crimes against small businesses or on the premises or in the vicinity of small businesses; makes related provisions.

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BILL NUMBER:S2593

TITLE OF BILL:
An act
to amend the economic development law, the New York state
urban development corporation act and the executive law, in
relation to small business crime prevention services

PURPOSE OR GENERAL IDEA OF BILL:
This bill would improve New York's business climate by providing for a
program of small business crime prevention services and assistance.

SUMMARY OF SPECIFIC PROVISIONS:

Section 1 adds a new § 139 to the Economic Development Law
establishing a small business crime prevention services program
within the Division for Small Business.

The small business crime prevention services program, directly and in
conjunction with other state, Federal and local agencies, shall
provide small businesses with access to the following services:

(a) information on strategies, best practices and programs offering
training and assistance in prevention of crimes in and around the
premises of small businesses or otherwise affecting small businesses,
including but not limited to: assault, arson and other violent felony
offenses; robbery, burglary, theft, identity theft, counterfeiting,
check and credit card fraud, and other fraud; and vandalism, graffiti
and other property damage;

(b) information on eligibility and applications for financial
assistance for small business crime prevention services provided by
the Urban Development Corporation (see bill § 2 below);

(c) information on eligibility and applications for other programs of
financial assistance for small business crime prevention offered by
state or Federal agencies or local governments;

(d) information on protecting the assets of small businesses from
crime, including risk reduction strategies and insurance
availability; and

(e) information on responses to crime, including reporting of crimes,
submitting insurance claims and crime victim assistance programs.
The small business crime prevention services program would also
identify issues relating to crime affecting small businesses and
assist the Division in making recommendations for legislative,
regulatory and programmatic actions to address such issues.

§ 2. Paragraph (n) to subdivision I of section 16-m of section 1 of
chapter 174 of the laws of 1968 constituting the New York State Urban
Development Corporation Act as amended by chapter 298 of the laws
2012 is amended and a new paragraph is added to read as follows:

Unconsolidated Laws § 6266-m to add a new program under the Empire
State Economic Development Fund (administered by the Urban


Development Corporation). The small business crime prevention
assistance program would provide loans, loan guarantees, interest
subsidies and grants to small businesses, municipalities,
not-for-profit corporations or other organizations for the purpose of
preventing crimes against small businesses or on the premises or in
the vicinity of small businesses. Eligible activities would include
such items as initiating or maintaining business watch programs,
installation of lighting, security equipment and other physical
improvements to prevent or deter criminal activities, and the
development and dissemination of information to owners, operators and
employees of small businesses on effective crime prevention
strategies. preference in awarding assistance is given to projects
that benefit distressed areas or other areas with a demonstrated need
based on crime statistics, provide a local or private-sector match,
or demonstrate a likelihood of positive impact on crime prevention.

§ 3 amends Executive Law § 837 to direct the Division of Criminal
Justice Services to provide advice and assistance in the development
of these programs.

SUMMARY OF AMENDMENTS:
Based on discussions in the Assembly Small business Committee, the
program of advising and assisting small businesses will explicitly
address problems of financial frauds against small businesses,
including "identify theft, counterfeiting, check and credit card
fraud and other fraud."

EFFECTS OF PRESENT LAW WHICH THIS BILL WOULD ALTER:
This bill would establish new measures to assist in small business
crime prevention.

JUSTIFICATION:
It is often said that "an ounce of prevention is worth a pound of
cure"- and that is clearly the case when dealing with criminal
behavior. The costs of crime are substantial, and are not only paid
by the victims. Crimes against small businesses in New York's
communities deprive the State of millions of dollars in sales and
income tax revenues, and can cause small businesses to shut down,
leading to a spiral of neighborhood decay.

Unlike larger businesses, small businesses often lack the resources to
organize and implement an effective crime prevention strategy on
their own. There are effective measures, including Business Watch and
Fleet Watch programs (usually run jointly by Chambers of Commerce and
police agencies), lighting and other security enhancements, and
training programs that can be effective in reducing crime in New
York's main streets and other small commercial areas. However, often
such initiatives require effective promotion and, in some cases, seed
money. This bill, which is modeled in part on successful similar
programs in Australia, would provide the organizational and financial
resources needed to deliver cost-effective crime prevention programs
to New York's small businesses, to the benefit of the wider community.

PRIOR LEGISLATIVE HISTORY:
2009-10: S.5041/A.350 (Latimer) - Reported and Committed to Finance
2007-08: A.11843 -Referred to Small Business, 2011-12: S979-A
HASSELL-THOMPSON/ A 232-A Latimer (MS)


FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS:
Any additional resources needed for the Division for Small Business
are expected to be offset by the economic benefits of crime
prevention, including the prevention of direct economic losses to the
State through lower sales tax and income tax collections and the
higher costs criminal activities create for law enforcement and
courts. The funding of small business crime prevention assistance
would be through the Empire State economic development fund (EDF), a
multipurpose fund providing grants, loans and other aid to meet
various communities' needs. The funding level provided for EDF
purposes varies from year to year and is determined as part of the
budget process. Local governments would stand to benefit directly, as
recipients of small business crime prevention assistance, as well as
through the increased tax revenues resulting from more effective
crime prevention.

EFFECTIVE DATE:
First day of April after having become a law, with provisions.

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

                                  2593

                       2013-2014 Regular Sessions

                            I N  S E N A T E

                            January 22, 2013
                               ___________

Introduced  by  Sen. LATIMER -- 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 economic development law, the New York state urban
  development corporation act and the  executive  law,  in  relation  to
  small business crime prevention services

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

  Section 1. The economic development law is amended  by  adding  a  new
section 139 to read as follows:
  S  139.  SMALL BUSINESS CRIME PREVENTION SERVICES PROGRAM. 1. THERE IS
HEREBY ESTABLISHED WITHIN THE DIVISION A SMALL BUSINESS CRIME PREVENTION
SERVICES PROGRAM.
  2. THE SMALL BUSINESS CRIME PREVENTION SERVICES PROGRAM, DIRECTLY  AND
IN  CONJUNCTION  WITH  OTHER  DIVISIONS OF THE DEPARTMENT AND WITH OTHER
AGENCIES OF THE STATE, FEDERAL  AGENCIES  OR  LOCAL  GOVERNMENTS,  SHALL
PROVIDE SMALL BUSINESSES WITH ACCESS TO THE FOLLOWING SERVICES:
  (A)  INFORMATION  ON  STRATEGIES, BEST PRACTICES AND PROGRAMS OFFERING
TRAINING AND ASSISTANCE IN PREVENTION OF CRIMES IN AND AROUND THE  PREM-
ISES  OF  SMALL  BUSINESSES  OR  OTHERWISE  AFFECTING  SMALL BUSINESSES,
INCLUDING BUT NOT LIMITED TO:  ASSAULT, ARSON AND OTHER  VIOLENT  FELONY
OFFENSES;  ROBBERY,  BURGLARY,  THEFT,  IDENTITY  THEFT, COUNTERFEITING,
CHECK AND CREDIT CARD FRAUD AND OTHER FRAUD; AND VANDALISM, GRAFFITI AND
OTHER PROPERTY DAMAGE;
  (B) INFORMATION ON ELIGIBILITY AND APPLICATIONS FOR FINANCIAL  ASSIST-
ANCE FOR SMALL BUSINESS CRIME PREVENTION SERVICES UNDER PARAGRAPH (O) OF
SUBDIVISION  ONE  OF  SECTION  SIXTEEN-M  OF  SECTION ONE OF CHAPTER ONE
HUNDRED SEVENTY-FOUR OF THE LAWS OF NINETEEN HUNDRED SIXTY-EIGHT;
  (C) INFORMATION ON ELIGIBILITY AND APPLICATIONS FOR OTHER PROGRAMS  OF
FINANCIAL  ASSISTANCE  FOR SMALL BUSINESS CRIME PREVENTION THAT MAY FROM

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD06265-03-3

S. 2593                             2

TIME TO TIME BE AVAILABLE FROM THE DEPARTMENT OR OTHER AGENCIES  OF  THE
STATE, FEDERAL AGENCIES OR LOCAL GOVERNMENTS;
  (D)  INFORMATION  ON  PROTECTING  THE  ASSETS OF SMALL BUSINESSES FROM
CRIME, INCLUDING RISK REDUCTION STRATEGIES AND  INSURANCE  AVAILABILITY;
AND
  (E)  INFORMATION ON RESPONSES TO CRIME, INCLUDING REPORTING OF CRIMES,
SUBMITTING INSURANCE CLAIMS AND CRIME VICTIM ASSISTANCE PROGRAMS.
  3. THE SMALL BUSINESS CRIME PREVENTION SERVICES  PROGRAM  SHALL,  WITH
THE  ASSISTANCE OF THE SMALL BUSINESS ADVISORY BOARD AND OTHER APPROPRI-
ATE STATE AGENCIES, IDENTIFY ISSUES RELATING TO  CRIME  AFFECTING  SMALL
BUSINESSES  AND  ASSIST  THE  ADVISORY  BOARD AND THE DIVISION IN MAKING
RECOMMENDATIONS FOR LEGISLATIVE, REGULATORY AND PROGRAMMATIC ACTIONS  TO
ADDRESS SUCH ISSUES.
  S  2.  Paragraph  (n) of subdivision 1 of section 16-m of section 1 of
chapter 174 of the laws of 1968, constituting the New York  state  urban
development  corporation  act,  as  added  by chapter 298 of the laws of
2012, is amended and a new paragraph (o) is added to read as follows:
  (n) Loans, loan guarantees, interest subsidies  and  grants  to  busi-
nesses,  municipalities,  industrial  development agencies and local and
regional economic development corporations, not-for-profit corporations,
business improvement districts, regional marketing authorities and agri-
cultural cooperatives organized pursuant to the cooperative corporations
law, and other entities for the construction,  reconstruction,  improve-
ment, expansion or rehabilitation of wholesale regional farmers' markets
or  food  hubs  that  facilitate the sale and promotion of farm products
grown or produced in New York state.
  For the purposes of  this  paragraph  a  wholesale  regional  farmers'
market  or  food hub is a market, business or organization that actively
manages the aggregation, distribution and marketing of source-identified
food products primarily from local  or  regional  producers  to  satisfy
wholesale, retail and institutional demand for such products[.]; AND
  (O)  LOANS,  LOAN  GUARANTEES,  INTEREST SUBSIDIES AND GRANTS TO SMALL
BUSINESSES, MUNICIPALITIES, NOT-FOR-PROFIT CORPORATIONS OR OTHER  ORGAN-
IZATIONS  FOR  THE PURPOSE OF PREVENTING CRIMES AGAINST SMALL BUSINESSES
OR ON THE PREMISES OR IN THE VICINITY  OF  SMALL  BUSINESSES,  INCLUDING
SUCH  ACTIVITIES  AS  INITIATING OR MAINTAINING BUSINESS WATCH PROGRAMS,
INSTALLATION OF LIGHTING, SECURITY EQUIPMENT AND OTHER PHYSICAL IMPROVE-
MENTS TO PREVENT OR DETER CRIMINAL ACTIVITIES, AND THE  DEVELOPMENT  AND
DISSEMINATION OF INFORMATION TO OWNERS, OPERATORS AND EMPLOYEES OF SMALL
BUSINESSES  ON  EFFECTIVE  CRIME  PREVENTION  STRATEGIES.  PREFERENCE IN
AWARDING ASSISTANCE  PURSUANT  TO  THIS  PARAGRAPH  SHALL  BE  GIVEN  TO
PROJECTS THAT WILL BENEFIT DISTRESSED AREAS OR OTHER AREAS WITH A DEMON-
STRATED NEED BASED ON CRIME STATISTICS, PROJECTS THAT PROVIDE A LOCAL OR
PRIVATE-SECTOR  MATCH,  AND  PROJECTS  THAT  DEMONSTRATE A LIKELIHOOD OF
POSITIVE IMPACT ON CRIME PREVENTION. THE DIVISION  OF  CRIMINAL  JUSTICE
SERVICES  SHALL  PROVIDE ASSISTANCE IN THE DEVELOPMENT OF THE PROGRAM OF
SMALL BUSINESS CRIME PREVENTION ASSISTANCE.
  S 3. Section 837 of the executive law  is  amended  by  adding  a  new
subdivision 20 to read as follows:
  20.  PROVIDE  ADVICE AND ASSISTANCE TO THE DIVISION FOR SMALL BUSINESS
IN DEVELOPING AND OPERATING A PROGRAM OF SMALL BUSINESS CRIME PREVENTION
SERVICES PURSUANT TO SECTION ONE HUNDRED  THIRTY-NINE  OF  THE  ECONOMIC
DEVELOPMENT LAW, AND PROVIDE ADVICE AND ASSISTANCE TO THE URBAN DEVELOP-
MENT  CORPORATION  IN  THE  DEVELOPMENT OF THE PROGRAM OF SMALL BUSINESS
CRIME PREVENTION ASSISTANCE PURSUANT TO PARAGRAPH (O) OF SUBDIVISION ONE

S. 2593                             3

OF SECTION SIXTEEN-M OF SECTION ONE OF CHAPTER ONE HUNDRED  SEVENTY-FOUR
OF THE LAWS OF NINETEEN HUNDRED SIXTY-EIGHT.
  S  4. This act shall take effect on the first of April next succeeding
the date on which it shall have become a law;  provided,  however,  that
the  department of economic development, the New York state urban devel-
opment corporation and the division of criminal justice  services  shall
be immediately authorized to take any and all actions necessary to fully
implement  the provisions of this act on such date; and further provided
that the amendments to section 16-m of the urban development corporation
act made by section two of this act shall not affect the  expiration  of
such section and shall be deemed to expire therewith.

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