S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   1975
 
                        2017-2018 Regular Sessions
 
                             I N  S E N A T E
 
                             January 11, 2017
                                ___________
 
 Introduced  by  Sen.  STEWART-COUSINS -- read twice and ordered printed,
   and when printed to be committed to the Committee on Labor
 
 AN ACT to amend the labor law, in relation to creating a subsidized long
   term unemployment work and training program
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  The  labor law is amended by adding a new article 18-A to
 read as follows:
                               ARTICLE 18-A
             LONG TERM UNEMPLOYMENT WORK AND TRAINING PROGRAM
 SECTION 644. DEFINITIONS.
         645. SUBSIDIZED TRAINING AND EMPLOYMENT PROGRAM.
         646. GRANTS.
         647. GRANT APPLICATION.
         648. REPORT.
         649. COMMISSIONER'S DUTIES.
   § 644. DEFINITIONS. 1. "DEPARTMENT" MEANS THE DEPARTMENT OF LABOR;
   2. "ELIGIBLE SMALL BUSINESS" MEANS A BUSINESS THAT:  (A)  EMPLOYS  NOT
 MORE  THAN  ONE HUNDRED FULL-TIME EMPLOYEES ON AT LEAST FIFTY PERCENT OF
 ITS WORKING DAYS DURING THE PRECEDING TWELVE MONTHS; (B) IS INCORPORATED
 IN AND HAS OPERATIONS IN THE STATE OF NEW YORK, NOT WITHIN CITIES WITH A
 POPULATION OF ONE MILLION OR MORE; (C) HAS BEEN  REGISTERED  TO  CONDUCT
 BUSINESS  FOR  NOT  LESS THAN TWELVE MONTHS; AND (D) IS IN GOOD STANDING
 WITH THE PAYMENT OF ALL FEDERAL, STATE AND LOCAL TAXES;
   3. "CONTROL", WITH RESPECT TO A CORPORATION, MEANS OWNERSHIP, DIRECTLY
 OR INDIRECTLY, OF STOCK POSSESSING FIFTY PERCENT OR MORE  OF  THE  TOTAL
 COMBINED  VOTING  POWER  OF ALL CLASSES OF THE STOCK OF SUCH CORPORATION
 ENTITLED TO VOTE. "CONTROL", WITH RESPECT TO A TRUST,  MEANS  OWNERSHIP,
 DIRECTLY  OR  INDIRECTLY,  OF  FIFTY  PERCENT  OR MORE OF THE BENEFICIAL
 INTEREST IN THE PRINCIPAL OR INCOME OF  SUCH  TRUST.  THE  OWNERSHIP  OF
 STOCK  IN  A CORPORATION, OF A CAPITAL OR PROFITS INTEREST IN A PARTNER-
 SHIP, LIMITED LIABILITY COMPANY OR ASSOCIATION OR OF A BENEFICIAL INTER-
 EST IN A TRUST SHALL BE DETERMINED IN  ACCORDANCE  WITH  THE  RULES  FOR
 CONSTRUCTIVE OWNERSHIP OF STOCK PROVIDED IN SECTION 267(C) OF THE INTER-
              

 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD02779-01-7

 S. 1975                             2
 
 NAL  REVENUE  CODE  OF  NINETEEN  HUNDRED  EIGHTY-SIX, OR ANY SUBSEQUENT
 CORRESPONDING INTERNAL REVENUE CODE OF THE UNITED STATES, AS  FROM  TIME
 TO TIME AMENDED, OTHER THAN PARAGRAPH (3) OF SAID SECTION 267(C);
   4.  "RELATED PERSON" MEANS (A) A CORPORATION, LIMITED LIABILITY COMPA-
 NY, PARTNERSHIP, ASSOCIATION OR TRUST CONTROLLED BY THE  ELIGIBLE  SMALL
 BUSINESS;  (B)  AN  INDIVIDUAL,  CORPORATION, LIMITED LIABILITY COMPANY,
 PARTNERSHIP, ASSOCIATION OR TRUST THAT IS IN  CONTROL  OF  THE  ELIGIBLE
 SMALL  BUSINESS;  (C) A CORPORATION, LIMITED LIABILITY COMPANY, PARTNER-
 SHIP, ASSOCIATION OR TRUST CONTROLLED  BY  AN  INDIVIDUAL,  CORPORATION,
 LIMITED  LIABILITY COMPANY, PARTNERSHIP, ASSOCIATION OR TRUST THAT IS IN
 CONTROL OF THE ELIGIBLE SMALL BUSINESS; OR (D)  A  MEMBER  OF  THE  SAME
 CONTROLLED GROUP AS THE ELIGIBLE SMALL BUSINESS;
   5.  "ELIGIBLE  SMALL  MANUFACTURER"  MEANS  AN ELIGIBLE SMALL BUSINESS
 DESCRIBED IN SECTORS THIRTY-ONE TO THIRTY-THREE, INCLUSIVE, OF THE NORTH
 AMERICAN INDUSTRY CLASSIFICATION SYSTEM, THAT EMPLOYED NOT MORE THAN ONE
 HUNDRED EMPLOYEES ON AT LEAST FIFTY PERCENT OF ITS WORKING  DAYS  DURING
 THE PRECEDING TWELVE MONTHS;
   6.  "NEW  EMPLOYEE"  MEANS A PERSON WHO: (A) HAS BEEN UNEMPLOYED IMME-
 DIATELY PRIOR TO EMPLOYMENT FOR A PERIOD EXCEEDING  TWENTY-SEVEN  WEEKS,
 REGARDLESS  OF  WHETHER  SUCH PERSON COLLECTED UNEMPLOYMENT COMPENSATION
 BENEFITS AS A RESULT OF SUCH UNEMPLOYMENT; (B) IS A RESIDENT OF A METRO-
 POLITAN STATISTICAL AREA OR MICROPOLITAN STATISTICAL AREA, AS DEFINED BY
 THE FEDERAL OFFICE OF MANAGEMENT AND BUDGET, THAT  HAS  AN  UNEMPLOYMENT
 RATE  THAT  IS  EQUAL  TO OR HIGHER THAN THE STATE UNEMPLOYMENT RATE, AS
 DETERMINED BY THE DEPARTMENT, AS OF SEPTEMBER FIRST, TWO THOUSAND SEVEN-
 TEEN; AND (C) HAS A FAMILY INCOME EQUAL TO  OR  LESS  THAN  TWO  HUNDRED
 FIFTY  PERCENT  OF  THE FEDERAL POVERTY LEVEL, ADJUSTED FOR FAMILY SIZE.
 "NEW EMPLOYEE" DOES NOT INCLUDE A PERSON WHO WAS EMPLOYED IN THIS  STATE
 BY  A  RELATED PERSON WITH RESPECT TO THE ELIGIBLE SMALL BUSINESS DURING
 THE PRIOR TWELVE MONTHS OR A PERSON EMPLOYED ON A TEMPORARY  OR SEASONAL
 BASIS BY A RETAILER.
   § 645. SUBSIDIZED TRAINING AND EMPLOYMENT PROGRAM.  1. THERE IS ESTAB-
 LISHED WITHIN  THE  DEPARTMENT  A  SUBSIDIZED  TRAINING  AND  EMPLOYMENT
 PROGRAM  FOR ELIGIBLE SMALL BUSINESSES AND ELIGIBLE SMALL MANUFACTURERS.
 SUCH PROGRAM SHALL PROVIDE GRANTS TO SUCH BUSINESSES  AND  MANUFACTURERS
 TO SUBSIDIZE, FOR THE FIRST THREE HUNDRED SIXTY-FIVE CALENDAR DAYS AFTER
 A PERSON IS HIRED, A PART OF THE COST OF EMPLOYMENT, INCLUDING ANY COSTS
 RELATED TO TRAINING.
   2.  THE EMPLOYEE HIRED UNDER SUCH GRANT SHALL BE FULL-TIME, AND ELIGI-
 BLE FOR ALL RIGHTS AND PROTECTIONS OF EMPLOYEES UNDER FEDERAL AND  STATE
 LAW.
   3.  NO  SUCH  BUSINESS  OR  MANUFACTURER  RECEIVING A GRANT UNDER THIS
 SECTION WITH RESPECT TO A NEW EMPLOYEE OR NEWLY HIRED PERSON MAY RECEIVE
 A SECOND GRANT UNDER THIS SECTION WITH RESPECT TO THE SAME NEW  EMPLOYEE
 OR NEWLY HIRED PERSON.
   4.  NO  SUCH  GRANT SHALL APPLY TO ANY SUPERVISORY OR MANAGERIAL POSI-
 TION, EITHER BY TITLE OR DESCRIPTION,  OR  ANY  POSITION  IN  WHICH  THE
 EMPLOYEE  HIRED  UNDER SUCH GRANT RECEIVES COMPENSATION, INCLUDING GRANT
 FUNDING, EQUAL TO OR IN EXCESS OF THE COMPENSATION RECEIVED BY  EXISTING
 EMPLOYEES IN SIMILARLY-TITLED POSITIONS.
   5.  NO  EMPLOYEE  WHO  HAS BEEN HIRED UNDER SUCH A GRANT SHALL RECEIVE
 GRANT COMPENSATION FOR MORE THAN THREE HUNDRED SIXTY-FIVE  DAYS  THROUGH
 ONE OR MORE EMPLOYERS.
   § 646. GRANTS. 1. GRANTS TO ELIGIBLE SMALL BUSINESSES UNDER THE SUBSI-
 DIZED TRAINING AND EMPLOYMENT PROGRAM SHALL BE IN THE FOLLOWING AMOUNTS:
 (A)  FOR  THE FIRST NINETY CALENDAR DAYS A NEW EMPLOYEE IS EMPLOYED, ONE

 S. 1975                             3
 
 HUNDRED PERCENT OF AN AMOUNT REPRESENTING THE HOURLY WAGE  OF  SUCH  NEW
 EMPLOYEE,  EXCLUSIVE  OF ANY BENEFITS, BUT IN NO EVENT SHALL SUCH AMOUNT
 EXCEED TWENTY DOLLARS PER HOUR; (B) FOR THE NINETY-FIRST TO ONE  HUNDRED
 EIGHTIETH,  INCLUSIVE,  CALENDAR  DAYS,  SEVENTY-FIVE  PERCENT  OF  SUCH
 AMOUNT; (C) FOR THE ONE HUNDRED EIGHTY-FIRST TO TWO HUNDRED  SEVENTIETH,
 INCLUSIVE,  CALENDAR DAYS, FIFTY PERCENT OF SUCH AMOUNT; AND (D) FOR THE
 TWO HUNDRED  SEVENTY-FIRST  TO  THREE  HUNDRED  SIXTY-FIFTH,  INCLUSIVE,
 CALENDAR  DAYS,  TWENTY-FIVE  PERCENT  OF  SUCH  AMOUNT. GRANTS SHALL BE
 CANCELLED AS OF THE DATE THE NEW EMPLOYEE  LEAVES  EMPLOYMENT  WITH  THE
 ELIGIBLE SMALL BUSINESS.
   2.  AN  ELIGIBLE  SMALL MANUFACTURER MAY APPLY TO THE DEPARTMENT FOR A
 GRANT TO BE USED TO TRAIN AND COMPENSATE PERSONS  NEWLY  HIRED  BY  SUCH
 MANUFACTURER.  ANY  TRAINING SHALL BE PROVIDED BY SUCH MANUFACTURER, AND
 TAKE PLACE ON SUCH  MANUFACTURER'S  PREMISES,  BUT  NO  EXISTING  FORMAL
 TRAINING  PROGRAM  SHALL  BE REQUIRED. THE COMMISSIONER, OR SAID COMMIS-
 SIONER'S  DESIGNEE,  SHALL  REVIEW  AND  APPROVE   SUCH   MANUFACTURER'S
 DESCRIPTION  OF THE PROPOSED TRAINING AS PART OF THE APPLICATION. GRANTS
 AWARDED TO AN ELIGIBLE SMALL MANUFACTURER PURSUANT TO  THIS  SUBDIVISION
 SHALL SUBSIDIZE THE COSTS OF TRAINING AND COMPENSATING EACH PERSON NEWLY
 HIRED  BY SUCH MANUFACTURER. IN NO EVENT SHALL A GRANT EXCEED THE SALARY
 OF THE NEWLY HIRED PERSON.  MAXIMUM AMOUNTS OF EACH GRANT ARE:  FOR  THE
 FIRST,  SECOND  AND  THIRD  FULL CALENDAR MONTHS A NEWLY HIRED PERSON IS
 EMPLOYED, UP TO EIGHT THOUSAND FOUR HUNDRED  DOLLARS;  FOR  THE  FOURTH,
 FIFTH  AND  SIXTH FULL CALENDAR MONTHS, UP TO SIX THOUSAND THREE HUNDRED
 DOLLARS; FOR THE SEVENTH, EIGHTH AND NINTH FULL CALENDAR MONTHS,  UP  TO
 FOUR  THOUSAND  TWO HUNDRED DOLLARS; FOR THE TENTH, ELEVENTH AND TWELFTH
 FULL CALENDAR MONTHS, UP TO TWO THOUSAND ONE HUNDRED DOLLARS.  NO  GRANT
 SHALL  EXCEED  A  TOTAL  AMOUNT OF TWENTY-ONE THOUSAND DOLLARS PER NEWLY
 HIRED PERSON. A GRANT SHALL BE CANCELLED AS  OF  THE  DATE  SUCH  PERSON
 LEAVES EMPLOYMENT WITH THE ELIGIBLE SMALL MANUFACTURER.
   §  647.  GRANT  APPLICATION.  ANY  ELIGIBLE  SMALL  BUSINESS  OR SMALL
 MANUFACTURER MAY MAKE AN APPLICATION FOR A GRANT TO THE DEPARTMENT. SUCH
 APPLICATION SHALL PROVIDE FULL INFORMATION AS TO THE NEED FOR THE GRANT,
 INCLUDING A DESCRIPTION OF THE POSITION FOR WHICH THE GRANT WOULD APPLY,
 INCLUDING TITLE, ANTICIPATED WAGES, THE DUTIES OF THE EMPLOYEE  TO  WHOM
 THE GRANT APPLIES, AND ANTICIPATED WORK PRODUCT.
   §  648.  REPORT. NOT LATER THAN FEBRUARY FIRST, TWO THOUSAND NINETEEN,
 AND ANNUALLY THEREAFTER, THE COMMISSIONER SHALL PROVIDE A REPORT TO  THE
 SENATE  FINANCE  COMMITTEE  AND  ASSEMBLY  WAYS AND MEANS COMMITTEE, THE
 SENATE LABOR COMMITTEE AND THE ASSEMBLY  LABOR  COMMITTEE.  SUCH  REPORT
 SHALL  INCLUDE  AVAILABLE DATA FOR THE TWELVE-MONTH PERIOD ENDING ON THE
 LAST DAY OF THE CALENDAR MONTH PRECEDING SUCH REPORT, ON (A) THE  NUMBER
 OF  SMALL  BUSINESSES  THAT  PARTICIPATED IN THE SUBSIDIZED TRAINING AND
 EMPLOYMENT PROGRAM ESTABLISHED PURSUANT TO SUBDIVISIONS TWO AND THREE OF
 SECTION SIX HUNDRED FORTY-FIVE OF THIS ARTICLE, AND THE GENERAL  CATEGO-
 RIES  OF  SUCH  BUSINESSES;  (B)  THE NUMBER OF SMALL MANUFACTURERS THAT
 PARTICIPATED IN THE SUBSIDIZED TRAINING AND  EMPLOYMENT  PROGRAM  ESTAB-
 LISHED  PURSUANT  TO  SUBDIVISIONS  TWO  AND FIVE OF SECTION SIX HUNDRED
 FORTY-FIVE OF THIS ARTICLE, AND THE GENERAL CATEGORIES OF SUCH  MANUFAC-
 TURERS;  (C) THE NUMBER OF INDIVIDUALS THAT RECEIVED EMPLOYMENT; AND (D)
 THE MOST RECENT ESTIMATE OF THE NUMBER OF JOBS CREATED OR MAINTAINED.
   § 649. COMMISSIONER'S DUTIES. THE COMMISSIONER SHALL DEVELOP AND ADOPT
 REGULATIONS TO CARRY OUT THE PROVISIONS OF THIS ARTICLE.
   § 2. This act shall take effect immediately.