S T A T E   O F   N E W   Y O R K
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                                 3205--A

                       2013-2014 Regular Sessions

                            I N  S E N A T E

                            January 31, 2013
                               ___________

Introduced  by  Sen.  PARKER -- read twice and ordered printed, and when
  printed to be committed to the Committee on Commerce, Economic  Devel-
  opment and Small Business -- recommitted to the Committee on Commerce,
  Economic Development and Small Business in accordance with Senate Rule
  6,  sec. 8 -- committee discharged, bill amended, ordered reprinted as
  amended and recommitted to said committee

AN ACT to amend the economic development law, in relation to  establish-
  ing the "minimum standards for subsidized jobs act"

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

  Section 1. Short title. This act shall be known and may  be  cited  as
the "minimum standards for subsidized jobs act".
  S  2.  Findings and purpose. The legislature hereby finds and declares
that every year, the state of New York awards increasingly large amounts
of dollars in economic development subsidies to  for-profit  businesses.
When  government  invests  in economic development, it makes no economic
sense to support the creation or promotion of  jobs  that  do  not  give
workers  the  chance to earn a decent living. When state-subsidized jobs
provide low wages and poor benefits, they increase the need for  govern-
ment  services,  including  public  assistance for food, housing, health
care, and childcare.
  The purpose of this act is to improve the  effectiveness  of  economic
development  expenditures,  take  pressure  off  state  social  services
programs, and improve the public health and  welfare  by  ensuring  that
major state subsidies are used to support at least minimum living stand-
ards for working families.
  S  3.  The economic development law is amended by adding a new article
22 to read as follows:
                                ARTICLE 22
                MINIMUM STANDARDS FOR SUBSIDIZED JOBS ACT
SECTION 450. DEFINITIONS.

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD06818-02-4
              

S. 3205--A                          2

        451. MINIMUM STANDARDS FOR WAGES AND BENEFITS.
        452. ENFORCEMENT.
  S 450. DEFINITIONS. FOR PURPOSES OF THIS ARTICLE:
  1.  "ECONOMIC  DEVELOPMENT  SUBSIDY"  MEANS  ANY EXPENDITURE OF PUBLIC
FUNDS WITH A VALUE OF AT LEAST ONE HUNDRED  THOUSAND  DOLLARS,  FOR  THE
PURPOSE  OF STIMULATING ECONOMIC DEVELOPMENT WITHIN THE STATE, INCLUDING
BUT NOT LIMITED TO BONDS, GRANTS,  LOANS,  LOAN  GUARANTEES,  ENTERPRISE
ZONES,  EMPOWERMENT ZONES, TAX INCREMENT FINANCING, GRANTS, FEE WAIVERS,
LAND PRICE SUBSIDIES, MATCHING FUNDS, TAX  ABATEMENTS,  TAX  EXEMPTIONS,
AND TAX CREDITS.
  2.  "COMMISSIONER" MEANS THE COMMISSIONER OF LABOR, OR THE COMMISSION-
ER'S DESIGNEE OR DESIGNEES.
  S 451. MINIMUM STANDARDS FOR WAGES AND BENEFITS. 1. NO PERSON, ASSOCI-
ATION, CORPORATION OR OTHER ENTITY SHALL  BE  ELIGIBLE  TO  RECEIVE  ANY
ECONOMIC DEVELOPMENT SUBSIDY UNLESS THAT ENTITY:
  (A)  PAYS EACH OF ITS EMPLOYEES IN THE STATE A MINIMUM WAGE THAT IS AT
LEAST ONE DOLLAR PER HOUR HIGHER THAN THE STATE MINIMUM WAGE PROVIDED IN
ARTICLE NINETEEN OF THE LABOR LAW;
  (B) OFFERS TO EACH OF ITS EMPLOYEES IN THE STATE  WHO  WORK  AT  LEAST
THIRTY-FIVE  HOURS  PER  WEEK A HEALTH INSURANCE BENEFITS PLAN FOR WHICH
THE EMPLOYER PAYS AT LEAST EIGHTY PERCENT OF THE  MONTHLY  PREMIUM,  AND
THE  COVERAGE  PAYS  AT  LEAST  EIGHTY PERCENT OF THE COSTS OF PHYSICIAN
OFFICE VISITS, EMERGENCY CARE, SURGERY, AND PRESCRIPTIONS WITH AN ANNUAL
DEDUCTIBLE OF NO MORE THAN ONE THOUSAND DOLLARS; AND
  (C) OFFERS TO AT LEAST TWENTY PERCENT OF ITS WORKERS IN  THE  STATE  A
WORKER  TRAINING  PROGRAM  THAT  MEETS  MINIMUM  STANDARDS ISSUED BY THE
COMMISSIONER.
  2. THIS SECTION DOES NOT APPLY TO:
  (A) A NOT-FOR-PROFIT ENTITY THAT IS EXEMPT  FROM  TAXATION  UNDER  THE
INTERNAL REVENUE CODE; OR
  (B)  AN INTERN OR TRAINEE WHO IS UNDER TWENTY-ONE YEARS OF AGE AND WHO
IS EMPLOYED FOR A PERIOD NOT LONGER THAN THREE MONTHS.
  3. IF THE COMMISSIONER DETERMINES THAT  APPLICATION  OF  THIS  SECTION
WOULD  CONFLICT  WITH  A  FEDERAL PROGRAM REQUIREMENT, THE COMMISSIONER,
AFTER NOTICE AND PUBLIC HEARING, MAY GRANT A WAIVER  FROM  THE  REQUIRE-
MENTS OF THIS SECTION.
  S  452.  ENFORCEMENT.  1. THE COMMISSIONER SHALL PROMULGATE SUCH REGU-
LATIONS AS ARE NECESSARY TO IMPLEMENT AND ADMINISTER COMPLIANCE OF  THIS
SECTION.
  2.   NO   PERSON,  ASSOCIATION,  CORPORATION  OR  OTHER  ENTITY  SHALL
DISCHARGE, DEMOTE, HARASS OR OTHERWISE TAKE ADVERSE ACTIONS AGAINST  ANY
INDIVIDUAL  BECAUSE  SUCH  INDIVIDUAL  SEEKS  THE  ENFORCEMENT  OF  THIS
SECTION, OR TESTIFIES, ASSISTS OR  PARTICIPATES  IN  ANY  MANNER  IN  AN
INVESTIGATION,  HEARING OR OTHER PROCEEDING TO ENFORCE THE PROVISIONS OF
THIS SECTION.
  3. NO ENTITY SHALL PAY AN EMPLOYEE THROUGH A THIRD PARTY, OR TREAT  AN
EMPLOYEE  AS  A  SUBCONTRACTOR  OR  INDEPENDENT CONTRACTOR, TO AVOID THE
REQUIREMENTS OF THIS SECTION.
  S 4. This act shall take effect on the first of July  next  succeeding
the  date  on  which  it  shall have become a law and shall apply to any
economic development subsidy awarded or renewed on or after  such  date;
provided,  however,  that effective immediately, the addition, amendment
and/or repeal of any rule or regulation necessary for the implementation
of this act on its effective date are authorized and directed to be made
and completed on or before such date.