S T A T E O F N E W Y O R K
________________________________________________________________________
4434--A
2013-2014 Regular Sessions
I N S E N A T E
April 1, 2013
___________
Introduced by Sens. MAZIARZ, ADDABBO, AVELLA, HOYLMAN, LARKIN -- read
twice and ordered printed, and when printed to be committed to the
Committee on Investigations and Government Operations -- committee
discharged, bill amended, ordered reprinted as amended and recommitted
to said committee
AN ACT to amend the tax law, in relation to creating a telecommunication
industry jobs tax credit; to amend the labor law, in relation to the
New York call center jobs act; and to amend the public service law, in
relation to utility service call centers
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. The tax law is amended by adding a new section 39 to read
as follows:
S 39. TELECOMMUNICATION INDUSTRY JOBS TAX CREDIT. (A) ALLOWANCE OF
CREDIT. AN ELIGIBLE TAXPAYER SHALL BE ALLOWED A CREDIT, OF TWENTY
PERCENT OF THE QUALIFIED WAGES. THE TAXPAYER MAY CLAIM THIS CREDIT FOR
EACH NEW EMPLOYEE FOR A PERIOD OF THREE CONSECUTIVE YEARS OF EMPLOYMENT.
(B) DEFINITIONS. (1) "ELIGIBLE TAXPAYER" MEANS EVERY TELECOMMUNICATION
AND CABLE CORPORATION, THEIR SUBSIDIARIES OR THEIR INDEPENDENT CONTRAC-
TORS WHICH FURNISH TRADITIONAL LANDLINE TELEPHONE SERVICE, FIBER OPTIC
SERVICE, VOICE OVER INTERNET PROTOCOL (VOIP), CABLE OR INTERNET
SERVICES, THAT IS AN "EMPLOYER" AS DEFINED IN PARAGRAPH (A) OF SUBDIVI-
SION TWO OF SECTION SEVEN HUNDRED SEVENTY OF THE LABOR LAW.
(2) "CALL CENTER" SHALL MEAN A FACILITY OR OTHER OPERATION WHEREBY
EMPLOYEES RECEIVE TELEPHONE CALLS OR OTHER ELECTRONIC COMMUNICATION FOR
THE PURPOSE OF PROVIDING CUSTOMER ASSISTANCE OR OTHER SERVICES DESIG-
NATED IN PARAGRAPH THREE OF THIS SUBDIVISION.
(3) "CALL CENTER JOB" SHALL MEAN THE CREATION OF OR RELOCATION OF A
NEW CALL CENTER SERVICE ASSISTANCE JOB IN THIS STATE INCLUDING, BUT NOT
LIMITED TO OPERATOR SERVICES, REPAIR SERVICES, DIRECTORY ASSISTANCE
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD09123-06-3
S. 4434--A 2
BUREAUS, RESIDENTIAL AND BUSINESS CUSTOMER ASSISTANCE, AND CALL
COMPLETION SERVICES FOR THE FOLLOWING TASKS:
(A) EXPLAINING COMPANY RATES, REGULATIONS, POLICIES, PROCEDURES,
EQUIPMENT, CUSTOMER SERVICE OPTIONS AND COMMON PRACTICES;
(B) DETERMINING CUSTOMER FINANCIAL RESPONSIBILITY, REQUIRED DEPOSITS,
BILLING RATES, OR HANDLING PAYMENT AND OTHER CREDIT ARRANGEMENTS SUCH AS
OBTAINING DEPOSITS, FINANCIAL STATEMENTS AND PAYMENT PLANS;
(C) TAKING REQUESTS FOR NEW OR ADDITIONAL SERVICES, INCLUDING, BUT NOT
LIMITED TO, EMERGENCY SERVICE, COMPLETING ASSISTANCE WITH DIALING, USING
CALLING CARDS, CONNECTING COLLECT CALLS, BUSY LINE VERIFICATION OR RELAY
CENTERS FOR THE HEARING IMPAIRED, PROVIDING REQUESTED LOCAL AND NATIONAL
TELEPHONE NUMBERS, REVERSE NUMBER SEARCHES AND TAKING REQUESTS FOR AND
COMPLETING THE PUBLISHING AND NON-PUBLISHING OF A TELEPHONE NUMBER, AND
PROVIDING ASSISTANCE TO PAYPHONE CUSTOMERS; AND
(D) PREPARING INSTALLATION AND REPAIR SERVICE ORDERS AND OBTAINING
ACCESS TO SUBSCRIBER'S PREMISES.
(4) "QUALIFIED WAGES" SHALL MEAN GROSS WAGES PAID TO ANY NEW EMPLOYEE
DURING THE TAXABLE YEAR WHICH MEETS THE DEFINITION OF A CALL CENTER JOB.
(5) "NEW EMPLOYEE" SHALL MEAN ANY FULL TIME EMPLOYEE THAT IS HIRED BY
THE TAXPAYER AFTER JULY FIRST, TWO THOUSAND THIRTEEN THAT CAUSES THE
TOTAL NUMBER OF EMPLOYEES TO INCREASE ABOVE BASE EMPLOYMENT OR CREDIT
EMPLOYMENT, WHICHEVER IS HIGHER, WHO IS DOING THE SAME OR SUBSTANTIALLY
SIMILAR WORK, AND AT THE PAY RATE AND BENEFIT LEVEL OF OTHER CALL CENTER
JOBS IN THE GEOGRAPHIC AREA WITHIN THIS STATE OR WITHIN THE CORPORATION
AND ITS SUBSIDIARIES IN THIS STATE.
(6) "BASE YEAR" SHALL MEAN CALENDAR YEAR TWO THOUSAND TWELVE.
(7) "BASE EMPLOYMENT" SHALL MEAN THE AVERAGE NUMBER OF FULL TIME
EMPLOYEES OR FULL TIME EQUIVALENT EMPLOYEES DURING THE BASE YEAR. FOR A
NEW BUSINESS, BASE EMPLOYMENT SHALL BEGIN AT ZERO.
(8) "CREDIT EMPLOYMENT" SHALL MEAN BASE EMPLOYMENT PLUS THE NUMBER OF
NEW EMPLOYEES FOR WHICH A CREDIT IS EARNED FOR THE PRIOR TAX YEARS.
(C) CROSS-REFERENCES. FOR APPLICATION OF THE CREDIT PROVIDED IN THIS
SECTION, SEE THE FOLLOWING PROVISIONS OF THIS CHAPTER:
(1) ARTICLE 9: SECTION 187-T
(2) ARTICLE 9-A: SECTION 210: SUBDIVISION 47
S 2. Section 210 of the tax law is amended by adding a new subdivision
47 to read as follows:
47. TELECOMMUNICATION INDUSTRY JOBS TAX CREDIT. (A) ALLOWANCE OF CRED-
IT. A TAXPAYER WILL BE ALLOWED A CREDIT, TO BE COMPUTED AS PROVIDED IN
SECTION THIRTY-NINE OF THIS CHAPTER, AGAINST THE TAX IMPOSED BY THIS
ARTICLE.
(B) APPLICATION OF CREDIT. THE CREDIT ALLOWED UNDER THIS SUBDIVISION
FOR ANY TAXABLE YEAR MAY NOT REDUCE THE TAX DUE FOR SUCH YEAR TO LESS
THAN THE HIGHER OF THE AMOUNTS PRESCRIBED IN PARAGRAPHS (C) AND (D) OF
SUBDIVISION ONE OF THIS SECTION. HOWEVER, IF THE AMOUNT OF CREDIT
ALLOWED UNDER THIS SUBDIVISION FOR ANY TAXABLE YEAR REDUCES THE TAX TO
SUCH AMOUNT, ANY EXCESS AMOUNT OF CREDIT THUS NOT DEDUCTIBLE IN SUCH
TAXABLE YEAR MAY BE CARRIED OVER TO THE FOLLOWING YEAR OR YEARS, FOR A
MAXIMUM OF TEN CONSECUTIVE YEARS.
S 3. The tax law is amended by adding a new section 187-t to read as
follows:
S 187-T. TELECOMMUNICATION INDUSTRY JOBS TAX CREDIT. 1. ALLOWANCE OF
CREDIT. A TAXPAYER, SUBJECT TO THE TAX IMPOSED BY THIS ARTICLE, WHICH IS
A TELECOMMUNICATION OR CABLE COMPANY SHALL BE ALLOWED A CREDIT, TO BE
COMPUTED AS PROVIDED IN SECTION THIRTY-NINE OF THIS CHAPTER, AGAINST THE
TAX IMPOSED BY SECTION ONE HUNDRED EIGHTY-SIX-A OF THIS ARTICLE.
S. 4434--A 3
2. APPLICATION OF CREDIT. IF THE AMOUNT OF CREDIT ALLOWED UNDER THIS
SECTION FOR ANY TAXABLE YEAR EXCEEDS THE TAXPAYER'S TAX FOR SUCH YEAR,
ANY AMOUNT OF CREDIT THUS NOT DEDUCTIBLE MAY BE CARRIED FORWARD TO THE
FOLLOWING YEAR OR YEARS, FOR A MAXIMUM OF FIVE CONSECUTIVE YEARS.
S 4. The labor law is amended by adding a new article 21 to read as
follows:
ARTICLE 21
NEW YORK CALL CENTER JOBS ACT
SECTION 770. DEFINITIONS.
771. LIST OF RELOCATED CALL CENTERS.
772. GRANTS, GUARANTEED LOANS AND TAX BENEFITS.
773. PROCUREMENT CONTRACTS.
774. STATE BENEFITS FOR WORKERS.
775. NO PRIVATE RIGHT OF ACTION.
S 770. DEFINITIONS. AS USED IN THIS ARTICLE:
1. THE TERM "CALL CENTER" MEANS A FACILITY OR OTHER OPERATION WHEREBY
EMPLOYEES RECEIVE TELEPHONE CALLS OR OTHER ELECTRONIC COMMUNICATION FOR
THE PURPOSE OF PROVIDING CUSTOMER ASSISTANCE OR OTHER SERVICE DESIGNATED
IN PARAGRAPH THREE OF SUBDIVISION (B) OF SECTION THIRTY-NINE OF THE TAX
LAW.
2. (A) THE TERM "EMPLOYER" MEANS EVERY TELECOMMUNICATIONS AND CABLE
CORPORATION, AND THEIR SUBSIDIARIES OR INDEPENDENT CONTRACTORS, THAT IS
AN ELIGIBLE TAXPAYER, AS DEFINED IN PARAGRAPH ONE OF SUBDIVISION (B) OF
SECTION THIRTY-NINE OF THE TAX LAW, AND THAT EMPLOYS FIFTY OR MORE
EMPLOYEES, EXCLUDING PART-TIME EMPLOYEES; OR FIFTY OR MORE EMPLOYEES
THAT IN THE AGGREGATE WORK AT LEAST FIFTEEN HUNDRED HOURS PER WEEK,
EXCLUDING OVERTIME HOURS, FOR THE PURPOSE OF STAFFING A CALL CENTER.
(B) THE TERM "PART-TIME EMPLOYEE" MEANS AN EMPLOYEE WHO IS EMPLOYED
FOR AN AVERAGE OF FEWER THAN TWENTY HOURS PER WEEK OR WHO HAS BEEN
EMPLOYED FOR FEWER THAN SIX OF THE TWELVE MONTHS PRECEDING THE DATE ON
WHICH NOTICE IS REQUIRED UNDER THIS ARTICLE.
S 771. LIST OF RELOCATED CALL CENTERS. 1. A CALL CENTER EMPLOYER THAT
INTENDS TO RELOCATE A CALL CENTER, OR ONE OR MORE FACILITIES OR OPERAT-
ING UNITS WITHIN A CALL CENTER COMPRISING THIRTY PERCENT OR MORE OF THE
CALL CENTER'S, OR OPERATING UNIT'S, TOTAL VOLUME WHEN MEASURED AGAINST
THE PREVIOUS TWELVE MONTH AVERAGE CALL VOLUME OF OPERATIONS OR SUBSTAN-
TIALLY SIMILAR OPERATIONS, FROM THIS STATE TO A FOREIGN COUNTRY SHALL
NOTIFY THE COMMISSIONER AT LEAST ONE HUNDRED DAYS BEFORE SUCH RELO-
CATION.
2. A CALL CENTER EMPLOYER THAT VIOLATES SUBDIVISION ONE OF THIS
SECTION SHALL BE SUBJECT TO A CIVIL PENALTY NOT TO EXCEED TEN THOUSAND
DOLLARS FOR EACH DAY OF SUCH VIOLATION, EXCEPT THAT THE COMMISSIONER MAY
REDUCE SUCH AMOUNT FOR JUST CAUSE SHOWN.
3. THE COMMISSIONER SHALL COMPILE A SEMIANNUAL LIST OF ALL CALL CENTER
EMPLOYERS THAT RELOCATE A CALL CENTER, OR ONE OR MORE FACILITIES OR
OPERATING UNITS WITHIN A CALL CENTER COMPRISING THIRTY PERCENT OR MORE
OF THE CALL CENTER'S TOTAL VOLUME OF OPERATIONS, FROM THIS STATE TO A
FOREIGN COUNTRY.
4. THE COMMISSIONER SHALL DISTRIBUTE THE LIST REQUIRED IN THIS SECTION
TO ALL RELEVANT AGENCIES IN THE STATE THAT MAY NEED SUCH LIST.
S 772. GRANTS, GUARANTEED LOANS AND TAX BENEFITS. 1. EXCEPT AS
PROVIDED IN SUBDIVISION THREE OF THIS SECTION AND NOTWITHSTANDING ANY
OTHER PROVISION OF LAW, A CALL CENTER EMPLOYER THAT APPEARS ON THE LIST
DESCRIBED IN SECTION SEVEN HUNDRED SEVENTY-ONE OF THIS ARTICLE SHALL BE
INELIGIBLE FOR ANY DIRECT OR INDIRECT STATE GRANTS, STATE GUARANTEED
S. 4434--A 4
LOANS, TAX BENEFITS OR OTHER FINANCIAL GOVERNMENTAL SUPPORT FOR A PERIOD
OF FIVE YEARS FROM THE DATE SUCH LIST IS PUBLISHED.
2. EXCEPT AS PROVIDED IN SUBDIVISION THREE OF THIS SECTION AND
NOTWITHSTANDING ANY OTHER PROVISION OF LAW, A CALL CENTER EMPLOYER THAT
APPEARS ON THE LIST DESCRIBED IN SECTION SEVEN HUNDRED SEVENTY-ONE OF
THIS ARTICLE SHALL REMIT THE UNAMORTIZED VALUE OF ANY GRANT OR GUARAN-
TEED LOANS, OR ANY TAX BENEFITS OR OTHER GOVERNMENTAL SUPPORT IT HAS
PREVIOUSLY RECEIVED TO THE COMMISSIONER IN THE PREVIOUS FIVE YEARS. THE
PROVISIONS OF THIS SUBDIVISION SHALL APPLY TO GRANTS, LOANS, TAX BENE-
FITS AND FINANCIAL GOVERNMENTAL ASSISTANCE THAT IS RECEIVED ON OR AFTER
THE EFFECTIVE DATE OF THIS ARTICLE.
3. THE COMMISSIONER, IN CONSULTATION WITH THE APPROPRIATE AGENCY
PROVIDING A LOAN OR GRANT, MAY WAIVE THE REQUIREMENT PROVIDED UNDER
SUBDIVISION TWO OF THIS SECTION IF THE EMPLOYER DEMONSTRATES THAT SUCH
REQUIREMENT WOULD:
(A) THREATEN STATE OR NATIONAL SECURITY;
(B) RESULT IN SUBSTANTIAL JOB LOSS IN THE STATE;
(C) VIOLATE THE CONTRACTUAL OBLIGATIONS OF THE STATE OR OF THE CALL
CENTER EMPLOYER; OR
(D) HARM THE ENVIRONMENT.
S 773. PROCUREMENT CONTRACTS. THE HEAD OF EACH STATE AGENCY SHALL
ENSURE THAT ALL STATE-BUSINESS-RELATED CALL CENTER AND CUSTOMER SERVICE
WORK BE PERFORMED BY STATE CONTRACTORS OR OTHER AGENTS OR SUBCONTRACTORS
ENTIRELY WITHIN THE STATE. STATE CONTRACTORS WHO CURRENTLY PERFORM SUCH
WORK OUTSIDE THE STATE SHALL HAVE TWO YEARS FOLLOWING THE EFFECTIVE DATE
OF THIS ARTICLE TO COMPLY WITH THIS SECTION; PROVIDED, THAT IF ANY SUCH
CONTRACTORS WHICH PERFORM WORK OUTSIDE THIS STATE ADDS CUSTOMER SERVICE
EMPLOYEES WHO WILL PERFORM WORK ON SUCH CONTRACTS, THOSE NEW EMPLOYEES
SHALL IMMEDIATELY BE EMPLOYED WITHIN THE STATE.
S 774. STATE BENEFITS FOR WORKERS. NO PROVISION OF THIS ARTICLE SHALL
BE CONSTRUED TO PERMIT WITHHOLDING OR DENIAL OF PAYMENTS, COMPENSATION,
OR BENEFITS UNDER ANY OTHER STATE LAW, INCLUDING BUT NOT LIMITED TO
STATE UNEMPLOYMENT COMPENSATION, DISABILITY PAYMENTS OR WORKER RETRAIN-
ING OR READJUSTMENT FUNDS, TO WORKERS EMPLOYED BY EMPLOYERS THAT RELO-
CATE TO A FOREIGN COUNTRY.
S 775. NO PRIVATE RIGHT OF ACTION. NOTHING SET FORTH IN THIS ARTICLE
SHALL BE CONSTRUED AS CREATING, ESTABLISHING, OR AUTHORIZING A PRIVATE
CAUSE OF ACTION BY AN AGGRIEVED PERSON AGAINST AN EMPLOYER WHO HAS
VIOLATED, OR IS ALLEGED TO HAVE VIOLATED, ANY PROVISION OF THIS ARTICLE.
S 5. Section 65 of the public service law is amended by adding a new
subdivision 16 to read as follows:
16. (A) EVERY TELECOMMUNICATION CORPORATION AND THEIR SUBSIDIARIES
FURNISHING TRADITIONAL LANDLINE TELEPHONE SERVICE, FIBER OPTIC SERVICE,
VOICE OVER INTERNET PROTOCOL (VOIP), CABLE OR INTERNET SERVICES SHALL
PROVIDE CALL CENTER SERVICE ASSISTANCE INCLUDING, BUT NOT LIMITED TO
OPERATOR SERVICES, DIRECTORY ASSISTANCE BUREAUS AND CALL COMPLETION
SERVICES FOR THE FOLLOWING:
(1) EXPLAINING COMPANY RATES, REGULATIONS, POLICIES, PROCEDURES,
EQUIPMENT, CUSTOMER SERVICE OPTIONS AND COMMON PRACTICES;
(2) DETERMINING CUSTOMER FINANCIAL RESPONSIBILITY, REQUIRED DEPOSITS,
BILLING RATES, OR HANDLING PAYMENT AND OTHER CREDIT ARRANGEMENTS SUCH AS
OBTAINING DEPOSITS, FINANCIAL STATEMENTS AND PAYMENT PLANS;
(3) TAKING REQUESTS FOR NEW OR ADDITIONAL SERVICES, INCLUDING, BUT NOT
LIMITED TO, EMERGENCY SERVICE, COMPLETING ASSISTANCE WITH DIALING, USING
CALLING CARDS, CONNECTING COLLECT CALLS, BUSY LINE VERIFICATION OR RELAY
CENTERS FOR THE HEARING IMPAIRED, PROVIDING REQUESTED LOCAL AND NATIONAL
S. 4434--A 5
TELEPHONE NUMBERS, REVERSE NUMBER SEARCHES AND TAKING REQUESTS FOR AND
COMPLETING THE PUBLISHING AND NON-PUBLISHING OF A TELEPHONE NUMBER, AND
PROVIDING ASSISTANCE TO PAYPHONE CUSTOMERS; AND
(4) PREPARING INSTALLATION AND REPAIR SERVICE ORDERS AND OBTAINING
ACCESS TO SUBSCRIBER'S PREMISES.
(B) NO TELECOMMUNICATION CORPORATION SHALL CLOSE A CALL CENTER OR
OTHER FACILITY PROVIDING THE CUSTOMER ASSISTANCE SET FORTH IN PARAGRAPH
(A) OF THIS SUBDIVISION OR RELOCATE SUCH CUSTOMER ASSISTANCE TO ANOTHER
AREA OF NEW YORK STATE OR OUTSIDE OF NEW YORK STATE WITHOUT NOTICE AND
HEARING BEFORE THE COMMISSION.
(C) THIS SUBDIVISION SHALL NOT APPLY TO THE COLLECTION OF DEBT WHEREBY
UTILITY COMPANY POLICY SUCH DEBT IS DIRECTED TO A COLLECTION AGENCY OR
SIMILAR SERVICE COMPANIES.
S 6. This act shall take effect immediately, provided that:
(a) sections one, two and three of this act shall apply to taxable
years beginning on and after January 1, 2013; and
(b) sections four and five of this act shall take effect on the one
hundred eightieth day after this act shall have become a law.