S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
     S. 2008                                                  A. 3008
 
                       S E N A T E - A S S E M B L Y
 
                             January 23, 2017
                                ___________
 
 IN  SENATE -- A BUDGET BILL, submitted by the Governor pursuant to arti-
   cle seven of the Constitution -- read twice and ordered  printed,  and
   when printed to be committed to the Committee on Finance
 
 IN  ASSEMBLY  --  A  BUDGET  BILL, submitted by the Governor pursuant to
   article seven of the Constitution -- read once  and  referred  to  the
   Committee on Ways and Means

 AN  ACT to amend chapter 62 of the laws of 2003 amending the vehicle and
   traffic law and other laws relating to increasing certain motor  vehi-
   cle transaction fees, in relation to the disposition of revenues (Part
   A);  to  amend  the  vehicle and traffic law, in relation to divisible
   load permits (Part B); to amend the state finance law and  the  trans-
   portation  law,  in  relation to enhancing the ability of the state to
   enforce state and federal law concerning the safety of  public  trans-
   portation  systems  under  the  oversight of the public transportation
   safety board (Part C);  to  amend  the  vehicle  and  traffic  law  in
   relation  to compliance with new federal regulations and strengthening
   requirements for motor carriers (Part D); to amend the penal  law,  in
   relation to including the use of any highway, parkway, road, bridge or
   tunnel  without  payment  of  the  lawful toll or charge as a theft of
   services; and to amend the vehicle and traffic  law,  in  relation  to
   liability  of  vehicle  owners  for toll collection violations and the
   penalty imposed upon the operator of a  vehicle  with  an  altered  or
   obscured license plate while on a toll highway, bridge or tunnel (Part
   E); to amend the vehicle and traffic law and the state finance law, in
   relation  to  allocation  of three million dollars of assessments from
   the city of New York to the general fund (Part F); to amend the  vehi-
   cle  and  traffic  law,  the insurance law, the executive law, the tax
   law, and the state finance law,  in  relation  to  the  regulation  of
   transportation  network  company  services;  to establish the New York
   State TNC Accessibility Task Force; to  establish  the  transportation
   network  company  driver's  injury compensation fund; and to establish
   the local transit assistance fund (Part G); to amend the  vehicle  and
   traffic  law,  in  relation to the waiver of non-driver identification
   card fees for crime victims (Part H); to amend the vehicle and traffic
   law, in relation to the reinstatement fee for non-residents (Part  I);
   to  amend  the vehicle and traffic law, in relation to increasing fees
 
              

  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD12573-02-7

 S. 2008                             2                            A. 3008
 
   for original and duplicate certificates of title (Part  J);  to  amend
   the  vehicle  and  traffic  law,  in  relation  to additional fees for
   certain identification cards (Part K); to amend the vehicle and  traf-
   fic  law,  in  relation  to the definition of "drug", the scope of the
   written test, the suspension of a license for driving  while  impaired
   by  drugs,  the license sanctions for refusing to submit to a chemical
   test and prohibiting the use of mobile telephones and  portable  elec-
   tronic devices when a vehicle is not in motion and by persons under 18
   (Part  L);  to  amend the New York state urban development corporation
   act, in relation to  extending  certain  provisions  relating  to  the
   empire  state economic development fund (Part M); to amend chapter 393
   of the laws of 1994, amending the New  York  state  urban  development
   corporation  act,  relating  to the powers of the New York state urban
   development corporation to make loans, in relation to  the  effective-
   ness  thereof  (Part  N);  to  amend  chapter 261 of the laws of 1988,
   amending the state finance law and other laws relating to the New York
   state infrastructure trust fund,  in  relation  to  the  minority  and
   women-owned business enterprise program (Part O); to amend the infras-
   tructure  investment  act, in relation to the definition of an author-
   ized entity that may utilize design-build contracts, and  in  relation
   to the effectiveness thereof (Part P); to amend chapter 21 of the laws
   of  2003, amending the executive law relating to permitting the secre-
   tary of state to provide special handling for all documents  filed  or
   issued by the division of corporations and to permit additional levels
   of  such  expedited  service,  in relation to extending the expiration
   date thereof (Part Q); to amend  the  business  corporation  law,  the
   cooperative  corporations  law, the executive law, the general associ-
   ations law, the general business law, the  limited  liability  company
   law,  the  not-for-profit  corporation  law,  the partnership law, the
   private housing finance law, the arts and cultural  affairs  law,  the
   real  property  law  and  the tax law, in relation to streamlining the
   process by which service of process is served against a  corporate  or
   other  entity  with  the  secretary  of  state;  and to repeal certain
   provisions of the real property law  relating  thereto  (Part  R);  to
   amend the real property law, in relation to streamlining the licensing
   process  for real estate professionals (Part S); to amend the environ-
   mental conservation law and the executive law, in  relation  to  local
   waterfront  revitalization  (Part  T);  to amend the executive law, in
   relation to the chairperson of the state athletic commission (Part U);
   authorizing utility and cable television assessments to provide  funds
   to  the department of health from cable television assessment revenues
   and to the  departments  of  agriculture  and  markets,  environmental
   conservation,  office  of parks, recreation and historic preservation,
   and state from utility assessment revenues (Part V); to amend  chapter
   58 of the laws of 2012 amending the public authorities law relating to
   authorizing  the  dormitory authority to enter into certain design and
   construction management agreements, in relation  to  making  permanent
   certain  authority of the dormitory authority of the state of New York
   (Part W); to amend the insurance law, in  relation  to  administrative
   supervision (Part X); to amend the banking law, the insurance law, and
   the financial services law in relation to the enforcement of the bank-
   ing, insurance, and financial services laws against unlicensed partic-
   ipants  (Part Y); to amend the banking law, in relation to the licens-
   ing and regulation of student loan servicers (Part Z);  to  amend  the
   banking  law,  in relation to protecting vulnerable adults from finan-
   cial exploitation (Part AA); to amend the financial services  law,  in

 S. 2008                             3                            A. 3008
 
   relation  to the disqualification of bad actors from continued partic-
   ipation in the banking and insurance industries (Part  BB);  to  amend
   the  banking  law,  in relation to the regulation and authorization of
   certain  lending circle programs (Part CC); to amend the state finance
   law, in relation to creating a paid family leave risk adjustment  fund
   (Part  DD);  to amend the banking law, in relation to licensed lenders
   (Part EE); to amend the real property action and proceedings  law  and
   civil  practice  law and rules, in relation to reverse mortgages (Part
   FF); to amend the financial services law, in relation  to  assessments
   to  defray  operating expenses of the department (Subpart A); to amend
   the insurance law, in relation to the distribution of assets  (Subpart
   B);  and to amend the insurance law, in relation to insurers deemed to
   be in a hazardous financial condition (Subpart C)(Part GG);  to  amend
   the  navigation law, in relation to establishing the New York environ-
   mental protection and spill remediation account (Part  HH);  to  amend
   the  environmental conservation law, the state finance law, the public
   authorities law, and the soil and water conservation districts law, in
   relation to the implementation of the "clean water infrastructure  act
   of  2017";  and  to  repeal  certain  provisions  of the environmental
   conservation law and the state finance law relating thereto (Part II);
   to amend the state finance law and the environmental conservation law,
   in relation to environmental protection fund  deposits  and  transfers
   (Part JJ); to amend the environmental conservation law, in relation to
   the donation of excess food and recycling of food scraps (Part KK); to
   amend  the  public  authorities  law  and  the public officers law, in
   relation to the sharing of employees, services and  resources  by  the
   power  authority  of  the  state  of  New  York, canal corporation and
   department of transportation (Part LL); and to  authorize  the  energy
   research  and  development  authority  to  finance  a  portion  of its
   research, development and demonstration, policy and planning, and Fuel
   NY programs, as well as the department of environmental conservation's
   climate change program and the department of agriculture and  markets'
   Fuel  NY  program, from an assessment on gas and electric corporations
   (Part MM)
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  This  act enacts into law major components of legislation
 which are necessary to implement the state fiscal plan for the 2017-2018
 state fiscal year. Each component is  wholly  contained  within  a  Part
 identified as Parts A through MM. The effective date for each particular
 provision contained within such Part is set forth in the last section of
 such Part. Any provision in any section contained within a Part, includ-
 ing the effective date of the Part, which makes a reference to a section
 "of  this  act", when used in connection with that particular component,
 shall be deemed to mean and refer to the corresponding  section  of  the
 Part  in  which  it  is  found. Section three of this act sets forth the
 general effective date of this act.
 
                                  PART A
 
   Section 1. Section 13 of part U1 of chapter 62 of  the  laws  of  2003
 amending the vehicle and traffic law and other laws relating to increas-

 S. 2008                             4                            A. 3008
 
 ing  certain  motor vehicle transaction fees, as amended by section 1 of
 part A of chapter 58 of the laws of 2015, is amended to read as follows:
   §  13.  This  act shall take effect immediately; provided however that
 sections one through seven of this act, the amendments to subdivision  2
 of  section  205  of  the tax law made by section eight of this act, and
 section nine of this act shall expire and be deemed repealed on April 1,
 2020; [provided further, however, that the amendments to  subdivision  3
 of  section  205  of the tax law made by section eight of this act shall
 expire and be deemed repealed on  March  31,  2018;]  provided  further,
 however,  that  the  provisions of section eleven of this act shall take
 effect April 1, 2004 and shall expire and be deemed repealed on April 1,
 2020.
   § 2. This act shall take effect immediately and  shall  be  deemed  to
 have been in full force and effect on and after April 1, 2017.
 
                                  PART B
 
   Section 1. Paragraph (f) of subdivision 15 of section 385 of the vehi-
 cle  and traffic law, as amended by section 4 of part C of chapter 59 of
 the laws of 2004, the third undesignated paragraph as amended by chapter
 277 of the laws of 2014, is amended to read as follows:
   (f) 1. The department of transportation, or other  issuing  authority,
 may  issue  an  annual  permit for a vehicle designed and constructed to
 carry loads that are not of one piece or item, which  is  registered  in
 this  state. Motor carriers having apportioned vehicles registered under
 the international registration plan must either have a  currently  valid
 permit at the time this provision becomes effective or shall have desig-
 nated New York as its base state or one of the eligible jurisdictions of
 operation  under  the  international  registration  plan  in order to be
 eligible to receive a permit issued pursuant  to  [subparagraph]  CLAUSE
 (i),  (ii)  or (ii-a) OF SUBPARAGRAPH EIGHT of this paragraph. No permit
 issued pursuant to this paragraph shall be valid for  the  operation  or
 movement  of  vehicles on any state or other highway within any city not
 wholly included within one county unless such permit was issued  by  the
 city department of transportation of such city.
   2.  Effective January first, two thousand five, no vehicle or combina-
 tion of vehicles issued a permit pursuant to this paragraph shall  cross
 a  bridge designated as an R-posted bridge by the commissioner of trans-
 portation or any other permit issuing authority absent  a  determination
 by  such commissioner or permit issuing authority that the permit appli-
 cant has demonstrated special circumstances warranting the  crossing  of
 such  bridge  or  bridges  and  a  determination by such commissioner or
 permit issuing authority that such bridge  or  bridges  may  be  crossed
 safely,  provided, however, that in no event shall a vehicle or combina-
 tion of vehicles issued a permit under this paragraph  be  permitted  to
 cross  a  bridge  designated  as  an  R-posted bridge if such vehicle or
 combination of vehicles has a maximum gross weight exceeding one hundred
 two  thousand  pounds,  and  provided  further,  however,  that  nothing
 contained herein shall be deemed to authorize any vehicle or combination
 of vehicles to cross any such bridge within any city not wholly included
 within  one  county  unless  such vehicle or combination of vehicles has
 been issued a valid permit by the city department of  transportation  of
 such city pursuant to this subdivision.
   3.  No  vehicle having a model year of two thousand six or newer shall
 be issued a permit pursuant to this paragraph unless each axle  of  such
 vehicle  or  combination  of vehicles, other than steerable or trackable

 S. 2008                             5                            A. 3008
 
 axles, is equipped with two tires on each side  of  the  axle,  any  air
 pressure  controls  for  lift  axles  are located outside the cab of the
 vehicle and are beyond the reach of occupants of the cab while the vehi-
 cle  is  in  motion,  the weight on any grouping of two or more axles is
 distributed such that no axle in the grouping carries less  than  eighty
 percent  of  any  other  axle  in  the grouping and any liftable axle is
 steerable or trackable; and, further provided,  after  December  thirty-
 first, two thousand nineteen, no permit shall be issued pursuant to this
 paragraph to a vehicle of any model year that does not meet the require-
 ments of this provision, except that such permits may be issued prior to
 January  first,  two thousand twenty to a vehicle that does not meet the
 requirement concerning axle grouping weight distribution, but meets  all
 other requirements of this section.
   4.  A  divisible  load permit may only be transferred to a replacement
 vehicle by the same registrant or transferred with the permitted vehicle
 as part of the sale or transfer of the permit holder's business; or,  if
 the  divisible  load  permit is issued pursuant to [subparagraph] CLAUSE
 (iv), (v) or (vi) OF SUBPARAGRAPH EIGHT of this paragraph for use within
 the counties of Westchester, Rockland, Nassau, Suffolk,  Putnam,  Orange
 and  Dutchess  and  has  been  effective  for the five years preceding a
 transfer of such permit, the permit may be transferred with the  permit-
 ted  vehicle  in  the  sale  of the permitted vehicle to the holder of a
 permit issued pursuant to [subparagraph] CLAUSE (iv),  (v)  or  (vi)  OF
 SUBPARAGRAPH  EIGHT  of  this  paragraph  for use within the counties of
 Westchester, Rockland, Nassau, Suffolk, Putnam, Orange and Dutchess.
   5. If a permit holder operates a vehicle or combination of vehicles in
 violation of any posted weight restriction, THE COMMISSIONER  OF  TRANS-
 PORTATION  MAY IMPOSE A CIVIL PENALTY AS PROVIDED BY SECTION ONE HUNDRED
 FORTY-FIVE OF THE TRANSPORTATION LAW AND/OR CANCEL,  SUSPEND  OR  REVOKE
 the  permit  issued  to such vehicle or combination of vehicles AND SUCH
 PERMIT shall be deemed void as of the next day and shall not be reissued
 for a period of UP TO twelve calendar months.
   6. Until June thirtieth, nineteen hundred ninety-four,  no  more  than
 sixteen  thousand  power  units  shall  be  issued annual permits by the
 department for any twelve-month period in  accordance  with  this  para-
 graph.  After June thirtieth, nineteen hundred ninety-four, no more than
 sixteen thousand five hundred power units shall be issued annual permits
 by the department for any twelve-month period.  After  December  thirty-
 first,  nineteen  hundred  ninety-five,  no more than seventeen thousand
 power units shall be issued annual permits by  the  department  for  any
 twelve-month period. After December thirty-first, two thousand three, no
 more than twenty-one thousand power units shall be issued annual permits
 by  the  department  for any twelve-month period. After December thirty-
 first, two thousand five, no more than twenty-two thousand  power  units
 shall  be  issued  annual permits by the department for any twelve-month
 period. After December thirty-first, two  thousand  six,  no  more  than
 twenty-three  thousand power units shall be issued annual permits by the
 department for any twelve-month period. After December thirty-first, two
 thousand seven, no more than twenty-four thousand power units  shall  be
 issued  annual  permits  by  the department for any twelve-month period.
 After December thirty-first, two thousand eight, no  more  than  twenty-
 five  thousand power units shall be issued annual permits by the depart-
 ment for any twelve-month period. AFTER DECEMBER THIRTY-FIRST, TWO THOU-
 SAND SIXTEEN, NO MORE THAN TWENTY-SEVEN THOUSAND POWER  UNITS  SHALL  BE
 ISSUED  ANNUAL  PERMITS  BY  THE DEPARTMENT FOR ANY TWELVE-MONTH PERIOD.
 AFTER DECEMBER THIRTY-FIRST, TWO THOUSAND EIGHTEEN, NO MORE  THAN  TWEN-

 S. 2008                             6                            A. 3008
 
 TY-NINE  THOUSAND  POWER  UNITS  SHALL  BE  ISSUED ANNUAL PERMITS BY THE
 DEPARTMENT FOR ANY TWELVE-MONTH PERIOD. AFTER DECEMBER THIRTY-FIRST, TWO
 THOUSAND TWENTY, NO MORE THAN  THIRTY  THOUSAND  POWER  UNITS  SHALL  BE
 ISSUED  ANNUAL  PERMITS  BY  THE DEPARTMENT FOR ANY TWELVE-MONTH PERIOD.
 AFTER DECEMBER THIRTY-FIRST, TWO THOUSAND TWENTY-TWO, NO MORE THAN THIR-
 TY-ONE THOUSAND POWER UNITS  SHALL  BE  ISSUED  ANNUAL  PERMITS  BY  THE
 DEPARTMENT FOR ANY TWELVE-MONTH PERIOD. AFTER DECEMBER THIRTY-FIRST, TWO
 THOUSAND  TWENTY-THREE,  NO  MORE  THAN  THIRTY-TWO THOUSAND POWER UNITS
 SHALL BE ISSUED ANNUAL PERMITS BY THE DEPARTMENT  FOR  ANY  TWELVE-MONTH
 PERIOD.  AFTER  DECEMBER THIRTY-FIRST, TWO THOUSAND TWENTY-FOUR, NO MORE
 THAN THIRTY-THREE THOUSAND POWER UNITS SHALL BE ISSUED ANNUAL PERMITS BY
 THE DEPARTMENT FOR ANY TWELVE-MONTH  PERIOD.    AFTER  DECEMBER  THIRTY-
 FIRST, TWO THOUSAND TWENTY-FIVE, NO MORE THAN THIRTY-FIVE THOUSAND POWER
 UNITS  SHALL  BE ISSUED ANNUAL PERMITS BY THE DEPARTMENT FOR ANY TWELVE-
 MONTH PERIOD.
   Whenever permit application requests exceed permit  availability,  the
 department  shall  renew  annual permits that have been expired for less
 than four years which meet program requirements, and  then  shall  issue
 permit  applicants  having  less  than three divisible load permits such
 additional permits as the applicant  may  request,  providing  that  the
 total  of  existing  and  new  permits  does not exceed three. Remaining
 permits shall be allocated by  lottery  IN  ACCORDANCE  WITH  PROCEDURES
 ESTABLISHED BY THE COMMISSIONER IN RULES AND REGULATIONS. AFTER DECEMBER
 THIRTY-FIRST,  TWO  THOUSAND  SIXTEEN,  THE  DEPARTMENT  MAY PERMANENTLY
 INCREASE THE MAXIMUM NUMBER OF POWER UNITS ISSUED AN ANNUAL PERMIT BY NO
 MORE THAN TWO THOUSAND ADDITIONAL  PERMITS  ABOVE  THE  PREVIOUS  YEAR'S
 TOTAL  in  accordance with procedures established by the commissioner in
 rules and regulations.
   7. The department of transportation may issue a seasonal  agricultural
 permit in accordance with [subparagraphs] CLAUSES (i), (ii) and (iii) OF
 SUBPARAGRAPH EIGHT of this paragraph that will be valid for four consec-
 utive  months with a fee equal to one-half the annual permit fees estab-
 lished under this subdivision.
   8. For a vehicle issued a permit in  accordance  with  [subparagraphs]
 CLAUSES (iii), (iv), (v) and (vi) of this [paragraph] SUBPARAGRAPH, such
 a  vehicle  must  have  been  registered  in this state prior to January
 first, nineteen hundred eighty-six or be a  vehicle  or  combination  of
 vehicles which replace such type of vehicle which was registered in this
 state  prior  to  such date provided that the manufacturer's recommended
 maximum gross weight of the replacement vehicle or combination of  vehi-
 cles does not exceed the weight for which a permit may be issued and the
 maximum  load to be carried on the replacement vehicle or combination of
 vehicles does not exceed the maximum load which could have been  carried
 on  the vehicle being replaced or the registered weight of such vehicle,
 whichever is lower, in accordance  with  the  following  [subparagraphs]
 CLAUSES:
   (i)  A  permit may be issued for a vehicle having at least three axles
 and a wheelbase not less than sixteen feet and  for  a  vehicle  with  a
 trailer not exceeding forty-eight feet. The maximum gross weight of such
 a  vehicle  shall not exceed forty-two thousand five hundred pounds plus
 one thousand two hundred fifty pounds for each foot and  major  fraction
 of  a  foot  of the distance from the center of the foremost axle to the
 center of the rearmost axle, or one hundred two thousand pounds,  which-
 ever  is  more  restrictive  provided, however, that any four axle group
 weight shall not exceed sixty-two thousand pounds, any tridem axle group
 weight shall not exceed fifty-seven thousand  pounds,  any  tandem  axle

 S. 2008                             7                            A. 3008
 
 weight  does  not exceed forty-seven thousand pounds and any single axle
 weight shall not exceed twenty-five thousand pounds.
   Any  additional  special authorizations contained in a currently valid
 annual permit shall cease upon the expiration  of  such  current  annual
 permit.
   (ii) A permit may be issued subject to bridge restrictions for a vehi-
 cle  or  a combination of vehicles having at least six axles and a wheel
 base of at least thirty-six and one-half feet. The maximum gross  weight
 of  such vehicle or combination of vehicles shall not exceed one hundred
 seven thousand pounds and any tridem axle group weight shall not  exceed
 fifty-eight  thousand  pounds and any tandem axle group weight shall not
 exceed forty-eight thousand pounds.
   (ii-a) A permit may be issued subject to  bridge  restrictions  for  a
 combination  of  vehicles having at least seven axles and a wheelbase of
 at least forty-three feet. The maximum gross weight of such  combination
 of  vehicles shall not exceed one hundred seventeen thousand pounds, any
 four axle group weight shall not exceed sixty-three thousand pounds, any
 tridem axle group weight shall not exceed fifty-eight  thousand  pounds,
 any  tandem  axle  group  weight  shall  not exceed forty-eight thousand
 pounds, and any single axle weight shall not exceed twenty-five thousand
 pounds.
   Each axle of such combination of vehicles,  other  than  steerable  or
 trackable  axles,  shall  be equipped with two tires on each side of the
 axle, any air pressure controls for lift axles shall be located  outside
 the  cab of the combination of vehicles and shall be beyond the reach of
 occupants of the cab while the combination of vehicles is in motion, the
 weight on any grouping of two or more axles shall  be  distributed  such
 that  no  axle  in  the grouping carries less than eighty percent of any
 other axle in the grouping, and any liftable axle of such combination of
 vehicles shall be steerable or trackable.
   (iii) A permit may be issued for a vehicle  having  two  axles  and  a
 wheelbase  not  less than ten feet, with the maximum gross weight not in
 excess of one hundred twenty-five percent of the total weight limitation
 as set forth in subdivision ten  of  this  section.  Furthermore,  until
 December  thirty-first,  nineteen  hundred  ninety-four, any single rear
 axle weight shall not exceed twenty-eight thousand pounds. After  Decem-
 ber  thirty-first,  nineteen  hundred ninety-four, any axle weight shall
 not exceed twenty-seven thousand pounds.
   (iv) Within a city not wholly included within one county and the coun-
 ties of Westchester,  Rockland,  Nassau,  Suffolk,  Putnam,  Orange  and
 Dutchess,  a  permit  may  be issued for a vehicle having at least three
 axles and a wheelbase not exceeding forty-four feet nor less than seven-
 teen feet or for a vehicle with a trailer not exceeding forty feet.
   Until December thirty-first, nineteen hundred  ninety-four,  a  permit
 may  only be issued for such a vehicle having a maximum gross weight not
 exceeding eighty-two thousand pounds and any tandem  axle  group  weight
 shall not exceed sixty-two thousand pounds.
   After  January  first,  nineteen hundred ninety-five, the operation of
 such a vehicle shall be further limited and a permit may only be  issued
 for  such a vehicle having a maximum gross weight not exceeding seventy-
 nine thousand pounds and any tandem axle group weight shall  not  exceed
 fifty-nine  thousand  pounds, and any tridem shall not exceed sixty-four
 thousand pounds.
   A permit may be issued  only  until  December  thirty-first,  nineteen
 hundred  ninety-four  for  a  vehicle  having at least three axles and a
 wheelbase between fifteen and seventeen feet. The maximum  gross  weight

 S. 2008                             8                            A. 3008
 
 of  such  a  vehicle shall not exceed seventy-three thousand two hundred
 eighty pounds and any tandem axle group weight shall not  exceed  fifty-
 four thousand pounds.
   No  vehicle  having a model year of two thousand six or newer shall be
 issued a permit pursuant to this subparagraph for use within  the  coun-
 ties  of  Westchester,  Rockland,  Nassau,  Suffolk,  Putnam, Orange and
 Dutchess unless it is equipped with at least  four  axles,  and  further
 provided,  after December thirty-first, two thousand fourteen, no permit
 shall be issued pursuant to this [subparagraph] CLAUSE  for  use  within
 the  counties  of Westchester, Rockland, Nassau, Suffolk, Putnam, Orange
 and Dutchess to a vehicle of  any  model  year  unless  the  vehicle  is
 equipped with at least four axles.
   (v)  Within a city not wholly included within one county and the coun-
 ties of Westchester, Rockland, Nassau, Suffolk, Putnam, Orange or Dutch-
 ess, a permit may be issued only until December  thirty-first,  nineteen
 hundred  ninety-nine  for  a vehicle or combination of vehicles that has
 been permitted within the past four years having five axles and a wheel-
 base of at least thirty-six and one-half feet. The maximum gross  weight
 of  such  a  vehicle  or  combination  of  vehicles shall not exceed one
 hundred five thousand pounds and any tandem axle group weight shall  not
 exceed fifty-one thousand pounds.
   Within  a  city not wholly included within one county and the counties
 of Westchester, Rockland, Nassau, Suffolk, Putnam, Orange and  Dutchess,
 a  permit  may be issued for a vehicle or combination of vehicles having
 at least five axles and a wheelbase of at least thirty feet. The maximum
 gross weight of such vehicle or combination of vehicles shall not exceed
 ninety-three thousand pounds and any tridem axle group weight shall  not
 exceed  fifty-seven  thousand  pounds  and  any tandem axle group weight
 shall not exceed forty-five thousand pounds.
   (vi) Within a city not wholly included within one county and the coun-
 ties of Westchester,  Rockland,  Nassau,  Suffolk,  Putnam,  Orange  and
 Dutchess,  a  permit may be issued for a vehicle or combination of vehi-
 cles having at least five axles or more and  a  wheelbase  of  at  least
 thirty-six  and  one-half  feet,  provided  such permit contains routing
 restrictions.
   Until December thirty-first, nineteen hundred ninety-four, the maximum
 gross weight of a vehicle or combination  of  vehicles  permitted  under
 this  [subparagraph] CLAUSE shall not exceed one hundred twenty thousand
 pounds and any tandem or tridem  axle  group  weight  shall  not  exceed
 sixty-nine  thousand  pounds,  provided,  however,  that any replacement
 vehicle or combination of vehicles permitted after the effective date of
 this [subparagraph] CLAUSE shall have at least  six  axles,  any  tandem
 axle  group  shall  not exceed fifty thousand pounds and any tridem axle
 group shall not exceed sixty-nine thousand pounds.
   After December thirty-first, nineteen hundred ninety-four, the  tridem
 axle  group  weight  of  any vehicle or combination of vehicles issued a
 permit under this [subparagraph] CLAUSE  shall  not  exceed  sixty-seven
 thousand  pounds,  any  tandem  axle group weight shall not exceed fifty
 thousand pounds and any single axle weight shall not exceed  twenty-five
 thousand seven hundred fifty pounds.
   After  December  thirty-first, nineteen hundred ninety-nine, all vehi-
 cles issued a permit under this [subparagraph] CLAUSE must have at least
 six axles.
   After December thirty-first, two thousand fourteen,  all  combinations
 of  vehicles  issued  a  permit under this [subparagraph] CLAUSE for use
 within the counties of Westchester, Rockland, Nassau,  Suffolk,  Putnam,

 S. 2008                             9                            A. 3008
 
 Orange and Dutchess must have at least seven axles and a wheelbase of at
 least forty-three feet.
   After  December  thirty-first,  two  thousand six, no permits shall be
 issued under this [subparagraph] CLAUSE for use within the  counties  of
 Westchester,  Rockland, Nassau, Suffolk, Putnam, Orange and Dutchess for
 a vehicle or combination of vehicles having less  than  seven  axles  or
 having  a  wheelbase  of  less than forty-three feet, provided, however,
 that permits may be issued for use within the counties  of  Westchester,
 Rockland,  Nassau,  Suffolk, Putnam, Orange and Dutchess for vehicles or
 combinations of vehicles where the permit  applicant  demonstrates  that
 the  applicant  acquired the vehicle or combination of vehicles prior to
 December thirty-first, two thousand six, and  that  if  the  vehicle  or
 combination  of  vehicles was acquired by the applicant after the effec-
 tive date of this provision, such vehicle or combination of vehicles  is
 less than fifteen years old. In instances where the application is for a
 combination  of vehicles, the applicant shall demonstrate that the power
 unit of such combination satisfies the conditions of this [subparagraph]
 CLAUSE.  In no event shall a permit be issued under this  [subparagraph]
 CLAUSE  for  use  within  the counties of Westchester, Rockland, Nassau,
 Suffolk, Putnam, Orange and Dutchess for a  vehicle  or  combination  of
 vehicles having less than seven axles or having a wheelbase of less than
 forty-three feet after December thirty-first, two thousand fourteen.
   Except  as  otherwise  provided  by  this  subparagraph for the period
 ending December thirty-first,  two  thousand  fourteen,  after  December
 thirty-first,  two  thousand three, any combination of vehicles issued a
 permit under this [subparagraph] CLAUSE for use within the  counties  of
 Westchester,  Rockland,  Nassau,  Suffolk,  Putnam,  Orange and Dutchess
 shall not exceed one hundred twenty thousand pounds, shall have at least
 seven axles, shall have a wheelbase of at least  forty-three  feet,  and
 single  axle  weight shall not exceed twenty-five thousand seven hundred
 fifty pounds, any tandem axle group weight shall not exceed  forty-eight
 thousand  pounds,  any  tridem axle group weight shall not exceed sixty-
 three thousand pounds and any four axle group shall  not  exceed  sixty-
 five thousand pounds.
   From  the  date  of  enactment  of this paragraph, permit applications
 under [subparagraphs] CLAUSES (i), (ii), (ii-a), (iii),  (iv),  (v)  and
 (vi)  of  this  [paragraph] SUBPARAGRAPH for vehicles registered in this
 state may be honored by the  commissioner  of  transportation  or  other
 appropriate  authority.  The  commissioner  of  transportation and other
 appropriate authorities may confer and develop a  system  through  rules
 and regulations to assure compliance herewith.
   § 2. This act shall take effect immediately.
 
                                  PART C
 
   Section 1. Paragraph (b) of subdivision 5 of section 88-a of the state
 finance  law, as added by chapter 481 of the laws of 1981, is amended to
 read as follows:
   (b) Moneys in the public transportation systems  operating  assistance
 account  shall  be  paid  on  a quarterly basis beginning October first,
 nineteen hundred eighty-one. However, if there is  a  demonstrated  cash
 shortfall  in any eligible system, payments to such system may be accel-
 erated. Such payments shall be made in accordance  with  a  schedule  as
 specified  by appropriation for the payment of operating costs of public
 mass transportation systems outside the metropolitan commuter  transpor-
 tation  district  as  defined by section twelve hundred sixty-two of the

 S. 2008                            10                            A. 3008
 
 public authorities law, eligible to receive operating assistance  pursu-
 ant  to section eighteen-b of the transportation law.  PROVIDED, HOWEVER
 THAT NO PAYMENT SHALL BE MADE TO ANY PUBLIC TRANSPORTATION  SYSTEM  THAT
 IS OPERATING IN VIOLATION OF AN ORDER BY THE PUBLIC TRANSPORTATION SAFE-
 TY  BOARD  PURSUANT TO SUBDIVISION NINE OF SECTION TWO HUNDRED SEVENTEEN
 OF THE TRANSPORTATION LAW UNTIL SUCH TIME THAT SAID  PUBLIC  TRANSPORTA-
 TION  SYSTEM  HAS  FULLY COMPLIED WITH SAID ORDER OR UNLESS THE ORDER IS
 OTHERWISE LIFTED.
   § 2. Paragraph (b) of subdivision 7  of  section  88-a  of  the  state
 finance law, as amended by chapter 56 of the laws of 1993, is amended to
 read as follows:
   (b)  Moneys  in the metropolitan mass transportation operating assist-
 ance account shall be paid on a quarterly basis beginning October first,
 nineteen hundred [eight-one] EIGHTY-ONE.  However, if there is a  demon-
 strated  cash  shortfall in any eligible system, payments to such system
 may be accelerated. Such moneys shall be paid in accordance with  sched-
 ules  as  specified  by appropriations for payment of operating costs of
 public transportation systems in the metropolitan transportation  commu-
 ter  district  in  order to meet the operating expenses of such systems,
 provided, however,  with  respect  to  the  metropolitan  transportation
 authority,  its  affiliates  and  subsidiaries,  and notwithstanding any
 general or special law to the contrary, other  than  such  a  law  which
 makes  specific reference to this section, and subject to the provisions
 of section twelve hundred seventy-c of the public  authorities  law,  so
 long  as  the  metropolitan  transportation authority dedicated tax fund
 established by section twelve hundred seventy-c of the  public  authori-
 ties  law shall exist, any such appropriation to the metropolitan trans-
 portation authority, its affiliates or its subsidiaries shall be  deemed
 to  be an appropriation to the metropolitan transportation authority and
 the total amount paid pursuant to such appropriation  or  appropriations
 shall  be  deposited to such metropolitan transportation authority dedi-
 cated tax fund and distributed in  accordance  with  the  provisions  of
 section  twelve hundred seventy-c of the public authorities law. Nothing
 contained in this subdivision shall be deemed to restrict the  right  of
 the  state to amend, repeal, modify or otherwise alter statutes imposing
 or relating to the taxes producing revenues for deposit in the metropol-
 itan mass transportation operating assistance account or  the  appropri-
 ations relating thereto. The metropolitan transportation authority shall
 not include within any resolution, contract or agreement with holders of
 the bonds or notes issued under section twelve hundred sixty-nine of the
 public  authorities  law  any  provision  which  provides that a default
 occurs as a result of the state exercising its right to  amend,  repeal,
 modify  or  otherwise  alter  such  taxes or appropriations.   PROVIDED,
 HOWEVER THAT NO PAYMENT SHALL  BE  MADE  TO  ANY  PUBLIC  TRANSPORTATION
 SYSTEM  THAT  IS OPERATING IN VIOLATION OF AN ORDER BY THE PUBLIC TRANS-
 PORTATION SAFETY BOARD PURSUANT  TO  SUBDIVISION  NINE  OF  SECTION  TWO
 HUNDRED  SEVENTEEN  OF  THE TRANSPORTATION LAW UNTIL SUCH TIME THAT SAID
 PUBLIC TRANSPORTATION SYSTEM HAS  FULLY  COMPLIED  WITH  SAID  ORDER  OR
 UNLESS THE ORDER IS OTHERWISE LIFTED.
   §  3.  The  opening  paragraph of subdivision 4 of section 88-b of the
 state finance law, as added by chapter  13  of  the  laws  of  1987,  is
 amended to read as follows:
   Moneys  of  the  fund shall be made available for financing any of the
 following types of capital projects within the counties  comprising  the
 metropolitan  commuter  transportation  district,  except those counties
 comprising the city of New York,  but  only  to  the  extent  that  such

 S. 2008                            11                            A. 3008
 
 projects  are on an adopted transportation plan and approved by a desig-
 nated transportation coordinating committee, if one exists,  or  by  the
 metropolitan  planning  organization  as  created  pursuant  to  section
 fifteen-a  of  the  transportation  law  if no designated transportation
 coordinating committee exists: capacity and infrastructure  improvements
 to  state,  county,  town,  city,  village roads, highways, parkways and
 bridges; or state, county, town, city  or  village  mass  transportation
 projects;  provided,  however,  that in Nassau and Suffolk counties such
 moneys shall be available only for capacity improvements to state roads,
 highways, parkways and bridges. The amount of state  funds  historically
 appropriated  statewide, other than bond funds, for transportation capi-
 tal purposes from other sources shall not  be  reduced  because  of  the
 availability of such moneys made available pursuant to this chapter, nor
 shall  such moneys be used to match federal aid. Prior to the allocation
 of state advance funds appropriated pursuant to this section, the  muni-
 cipality  responsible  for the project shall certify to the commissioner
 of transportation that the amount of funds appropriated for  transporta-
 tion  capital purposes by that municipality shall not be reduced because
 of the availability of such state advance funds, and  that  such  moneys
 shall  not  be  used  to  match federal aid.   PROVIDED, HOWEVER THAT NO
 PAYMENT SHALL BE MADE TO ANY PUBLIC TRANSPORTATION SYSTEM THAT IS  OPER-
 ATING IN VIOLATION OF AN ORDER BY THE PUBLIC TRANSPORTATION SAFETY BOARD
 PURSUANT  TO  SUBDIVISION  NINE  OF SECTION TWO HUNDRED SEVENTEEN OF THE
 TRANSPORTATION LAW UNTIL  SUCH  TIME  THAT  SAID  PUBLIC  TRANSPORTATION
 SYSTEM  HAS FULLY COMPLIED WITH SAID ORDER OR UNLESS THE ORDER IS OTHER-
 WISE LIFTED.
   § 4. Paragraph a of subdivision 2 of section 18-b of  the  transporta-
 tion law, as added by chapter 56 of the laws of 1975, is amended to read
 as follows:
   a.  The  commissioner  shall  pay to each public transportation system
 that makes an application therefor, in quarterly  installments,  a  mass
 transportation operating assistance service payment. For the purposes of
 this  section,  the  quarters  shall be April through June, July through
 September,  October  through  December  and   January   through   March.
 PROVIDED,  HOWEVER THAT NO PAYMENT SHALL BE MADE TO ANY PUBLIC TRANSPOR-
 TATION SYSTEM THAT IS OPERATING IN VIOLATION OF AN ORDER BY  THE  PUBLIC
 TRANSPORTATION  SAFETY BOARD PURSUANT TO SUBDIVISION NINE OF SECTION TWO
 HUNDRED SEVENTEEN OF THIS CHAPTER  UNTIL  SUCH  TIME  THAT  SAID  PUBLIC
 TRANSPORTATION  SYSTEM  HAS FULLY COMPLIED WITH SAID ORDER OR UNLESS THE
 ORDER IS OTHERWISE LIFTED.
   § 5. Section 217 of the transportation law is amended by adding  seven
 new subdivisions 9, 10, 11, 12, 13, 14 and 15 to read as follows:
   9.  TO COMPLY WITH THE REQUIREMENTS OF THE NATIONAL PUBLIC TRANSPORTA-
 TION SAFETY PLAN, AS PROVIDED BY SECTION 5329 OF TITLE 49 OF THE  UNITED
 STATES  CODE  AND TO PROVIDE THE STATE SAFETY OVERSIGHT PROGRAM REQUIRED
 THEREBY.
   10. TO REVIEW, APPROVE, OVERSEE AND ENFORCE THE IMPLEMENTATION BY  THE
 RAIL FIXED GUIDEWAY PUBLIC TRANSPORTATION AGENCY OF THE PUBLIC TRANSPOR-
 TATION AGENCY SAFETY PLAN THAT IS APPROVED BY THE BOARD.
   11.  TO  INVESTIGATE  AND  ENFORCE  THE  SAFETY OF RAIL FIXED GUIDEWAY
 PUBLIC TRANSPORTATION SYSTEMS  WITH  THE  PUBLIC  TRANSPORTATION  AGENCY
 SAFETY PLAN APPROVED BY THE BOARD.
   12.  TO  PERFORM AUDITS, AT LEAST ONCE TRIENNIALLY, FOR THE COMPLIANCE
 OF THE RAIL FIXED GUIDEWAY PUBLIC TRANSPORTATION SYSTEMS WITH THE FEDER-
 AL TRANSIT ADMINISTRATION.

 S. 2008                            12                            A. 3008
 
   13. TO PROVIDE, AT LEAST ONCE ANNUALLY, A STATUS REPORT ON THE  SAFETY
 OF  RAIL  FIXED  GUIDEWAY  PUBLIC  TRANSPORTATION SYSTEMS THAT THE BOARD
 OVERSEES.
   14.  TO  REVIEW,  APPROVE,  OVERSEE  AND ENFORCE THE IMPLEMENTATION OF
 PUBLIC TRANSPORTATION SYSTEM SAFETY PLANS.
   15. TO ISSUE SUCH ADVISORIES, DIRECTIVES OR ORDERS THAT MAY BE  DEEMED
 NECESSARY  TO  ASSURE  SAFETY  IN THE OPERATION OF PUBLIC TRANSPORTATION
 SYSTEMS.
   § 6. This act shall take effect immediately.
 
                                  PART D

   Section 1. Paragraph (g) of subdivision 3 of section 385 of the  vehi-
 cle  and  traffic  law,  as added by chapter 303 of the laws of 2014, is
 amended to read as follows:
   (g) The length of a tow truck or car carrier, inclusive  of  load  and
 bumpers,  shall  be  not more than forty feet, except that a car carrier
 may have an overhang that extends beyond the rear  bumper  of  such  car
 carrier  by  not more than [three] FOUR feet and except, further, that a
 wheel lift that is less  than  fifteen  feet  in  length  shall  not  be
 included  as  part of the length of a tow truck or car carrier when such
 wheel lift is in use by such tow truck or car  carrier  to  tow  another
 motor vehicle.
   §  2.  Subparagraphs  5  and  6  of  paragraph (b) of subdivision 4 of
 section 385 of the vehicle and traffic law, subparagraph 5 as amended by
 chapter 669 of the laws of 2005, and subparagraph 6 as amended by  chap-
 ter  26  of  the  laws  of 2002, are amended and a new subparagraph 7 is
 added to read as follows:
   5. A vehicle or combination of vehicles which is disabled  and  unable
 to  proceed under its own power and is being towed for a distance not in
 excess of ten miles for the purpose of repairs or removal from the high-
 way, except that the distance to the nearest exit of a controlled-access
 highway shall not be considered in determining such ten  mile  distance;
 [and]
   6.  Stinger-steered  automobile  transporters  or stinger-steered boat
 transporters, while operating on qualifying and  access  highways.  Such
 vehicles shall not, however, exceed [seventy-five] EIGHTY feet exclusive
 of  an  overhang  of  not  more  than [three] FOUR feet on the front and
 [four] SIX feet on the rear of the vehicle[.]; AND
   7. A COMBINATION OF VEHICLES OPERATING ON  ANY  QUALIFYING  OR  ACCESS
 HIGHWAYS  CONSISTING  OF  A  POWER UNIT AND TWO TRAILERS OR SEMITRAILERS
 WITH A TOTAL WEIGHT THAT SHALL NOT  EXCEED  TWENTY-SIX  THOUSAND  POUNDS
 WHEN  THE  OVERALL  LENGTH IS GREATER THAN SIXTY-FIVE FEET BUT SHALL NOT
 EXCEED EIGHTY-TWO FEET; AND IN WHICH THE TRAILERS OR SEMITRAILERS  CARRY
 NO  PROPERTY  AND  CONSTITUTE  INVENTORY  PROPERTY  OF  A  MANUFACTURER,
 DISTRIBUTOR, OR DEALER OF SUCH TRAILERS OR SEMITRAILERS.
   § 3. Paragraph (c) of subdivision 4 of section 385 of the vehicle  and
 traffic law, as amended by chapter 26 of the laws of 2002, is amended to
 read as follows:
   (c)  Notwithstanding  the provisions of paragraph (a) of this subdivi-
 sion, an overhang of not more than three feet on the front and four feet
 on the rear of an automobile transporter or AN OVERHANG OF NOT MORE THAN
 FOUR FEET ON THE FRONT AND SIX FEET ON THE  REAR  OF  A  stinger-steered
 automobile  transporter  or  a  boat transporter or stinger-steered boat
 transporter shall be permitted.

 S. 2008                            13                            A. 3008
 
   § 4. Subdivision 10 of section 385 of the vehicle and traffic law,  as
 amended  by  chapter  1008  of  the  laws of 1983, is amended to read as
 follows:
   10.  A  single vehicle or a combination of vehicles having three axles
 or more and equipped with pneumatic tires, when loaded, may have a total
 weight on all axles not to exceed thirty-four thousand pounds, plus  one
 thousand  pounds  for  each  foot  and  major  fraction of a foot of the
 distance from the center of the foremost axle to the center of the rear-
 most axle. Axles to be counted as provided in subdivision five  of  this
 section. In no case, however, shall the total weight exceed eighty thou-
 sand  pounds EXCEPT FOR A VEHICLE IF OPERATED BY AN ENGINE FUELED PRIMA-
 RILY BY NATURAL GAS WHICH MAY HAVE A MAXIMUM GROSS WEIGHT OF  EIGHTY-TWO
 THOUSAND  POUNDS.  For  any  vehicle or combination of vehicles having a
 total gross weight less than seventy-one thousand pounds, the higher  of
 the following shall apply:
   (a)  the  total weight on all axles shall not exceed thirty-four thou-
 sand pounds plus one thousand pounds for each foot and major fraction of
 a foot of the distance from the center  of  the  foremost  axle  to  the
 center of the rearmost axle, or
   (b)  the  overall  gross  weight on a group of two or more consecutive
 axles shall not exceed the weight produced by application of the follow-
 ing formula:
                      W = 500 ((LxN)/(N-1) + (12xN)+36)
 where W equals overall gross weight on any group of two or more  consec-
 utive  axles  to  the  nearest five hundred pounds, L equals distance in
 feet from the center of the foremost axle to the center of the  rearmost
 axle  of any group of two or more consecutive axles, and N equals number
 of axles in group under consideration, except that two consecutive  sets
 of  tandem  axles  may carry a gross load of thirty-four thousand pounds
 each providing the overall distance between the first and last axles  of
 such consecutive sets of tandem axles is thirty-six feet or more.
   For any vehicle or combination of vehicles having a total gross weight
 of  seventy-one thousand pounds or greater, paragraph (b) shall apply to
 determine maximum gross weight which is permitted hereunder.
   § 5. Section 385 of the vehicle and traffic law is amended by adding a
 new subdivision 24 to read as follows:
   24. THE PROVISIONS OF SUBDIVISIONS SIX, SEVEN, EIGHT, NINE, TEN, ELEV-
 EN AND TWELVE OF THIS SECTION SHALL NOT APPLY TO ANY TOW TRUCK  THAT  IS
 TRANSPORTING  A DISABLED VEHICLE FROM THE PLACE WHERE THE VEHICLE BECAME
 DISABLED TO THE NEAREST APPROPRIATE REPAIR  FACILITY  AND  HAS  A  GROSS
 VEHICLE  WEIGHT  THAT IS EQUAL TO OR EXCEEDS THE GROSS VEHICLE WEIGHT OF
 THE DISABLED VEHICLE BEING TRANSPORTED.
   § 6. Subparagraph (iii) of paragraph (b) of subdivision 2  of  section
 510  of  the  vehicle  and traffic law, as amended by chapter 349 of the
 laws of 1993, is amended to read as follows:
   (iii) such registrations shall be suspended when necessary  to  comply
 with  subdivision  nine of section one hundred forty or subdivision four
 of section one hundred forty-five of the transportation law OR WHEN  THE
 MOTOR  CARRIER  HAS  BEEN  ISSUED  AN OUT OF SERVICE ORDER BY THE UNITED
 STATES DEPARTMENT OF TRANSPORTATION. The  commissioner  shall  have  the
 authority  to  deny  a  registration or renewal application to any other
 person for the same vehicle and  may  deny  a  registration  or  renewal
 application  for  any  other motor vehicle registered in the name of the
 applicant where it has been determined that such registrant's intent has
 been to evade the purposes of this subdivision and where the commission-
 er has reasonable grounds to believe that such registration  or  renewal

 S. 2008                            14                            A. 3008
 
 will  have the effect of defeating the purposes of this subdivision. ANY
 SUSPENSION ISSUED PURSUANT TO THIS SUBPARAGRAPH SHALL REMAIN  IN  EFFECT
 UNTIL  SUCH  TIME  AS  THE COMMISSIONER IS NOTIFIED BY THE UNITED STATES
 DEPARTMENT  OF TRANSPORTATION OR THE NEW YORK STATE DEPARTMENT OF TRANS-
 PORTATION THAT THE OUT OF SERVICE ORDER RESULTING IN THE  SUSPENSION  IS
 NO LONGER IN EFFECT.
   § 7. This act shall take effect immediately.
 
                                  PART E

   Section 1. Subdivision 3 of section 165.15 of the penal law is amended
 to read as follows:
   3. With intent to obtain railroad, subway, bus, air, taxi or any other
 public  transportation  service  OR  TO  USE ANY HIGHWAY, PARKWAY, ROAD,
 BRIDGE OR TUNNEL without payment of the lawful charge OR TOLL  therefor,
 or to avoid payment of the lawful charge OR TOLL for such transportation
 service  which  has been rendered to him OR FOR SUCH USE OF ANY HIGHWAY,
 PARKWAY, ROAD, BRIDGE OR TUNNEL, he obtains or attempts to  obtain  such
 service OR USE or avoids or attempts to avoid payment therefor by force,
 intimidation, stealth, deception or mechanical tampering, or by unjusti-
 fiable failure or refusal to pay; or
   §  2.  The  vehicle and traffic law is amended by adding a new section
 518 to read as follows:
   § 518. RECIPROCAL AGREEMENTS CONCERNING SUSPENSION  OR  REVOCATION  OF
 REGISTRATION  OF A MOTOR VEHICLE FOR VIOLATIONS OF TOLL COLLECTION REGU-
 LATIONS. A. THE COMMISSIONER MAY EXECUTE A RECIPROCAL COMPACT OR  AGREE-
 MENT  REGARDING TOLL COLLECTION VIOLATIONS WITH THE MOTOR VEHICLE ADMIN-
 ISTRATOR OR OTHER AUTHORIZED OFFICIAL OF ANOTHER STATE NOT  INCONSISTENT
 WITH  THE  PROVISIONS  OF  THIS CHAPTER. SUCH COMPACT OR AGREEMENT SHALL
 PROVIDE THAT IF A REGISTRATION OF A MOTOR VEHICLE WOULD BE SUSPENDED  OR
 REVOKED  PURSUANT  TO  PARAGRAPH  D OF SUBDIVISION THREE OF SECTION FIVE
 HUNDRED TEN OF THIS CHAPTER, OR PURSUANT TO A COMPARABLE  LAW  OR  REGU-
 LATION  OF  ANOTHER STATE, BECAUSE AN OWNER OF A MOTOR VEHICLE FAILED TO
 PAY TOLLS AND VIOLATION FEES, OR HAVE  THEM  DISMISSED  OR  TRANSFERRED,
 THEN THE STATE ISSUING THE REGISTRATION SHALL LIKEWISE SUSPEND OR REVOKE
 THE  REGISTRATION OR BAR RENEWAL OF SUCH REGISTRATION, UNTIL SUCH REGIS-
 TRANT OR APPLICANT HAS PAID SUCH TOLLS AND FEES  OR  COMPLIED  WITH  THE
 RULES AND REGULATIONS.
   B.  SUCH COMPACT OR AGREEMENT SHALL ALSO PROVIDE SUCH TERMS AND PROCE-
 DURES AS ARE NECESSARY AND PROPER TO FACILITATE ITS ADMINISTRATION.  ANY
 SUCH  COMPACT  OR  AGREEMENT SHALL SPECIFY THE VIOLATIONS SUBJECT TO THE
 COMPACT OR AGREEMENT, AND SHALL INCLUDE A  DETERMINATION  OF  COMPARABLE
 VIOLATIONS  IN  EACH STATE IF ANY SUCH VIOLATIONS ARE OF A SUBSTANTIALLY
 SIMILAR NATURE BUT ARE NOT DENOMINATED OR  DESCRIBED  IN  PRECISELY  THE
 SAME WORDS IN EACH PARTY STATE.
   C.  THE  WORD  "STATE" WHEN USED IN THIS SECTION SHALL MEAN ANY STATE,
 TERRITORY, A POSSESSION OF THE UNITED STATES, THE DISTRICT  OF  COLUMBIA
 OR ANY PROVINCE OF CANADA.
   §  3.  Subdivision  1 of section 402 of the vehicle and traffic law is
 amended by adding a new paragraph (c) to read as follows:
   (C) IT SHALL BE UNLAWFUL FOR ANY PERSON TO OPERATE, DRIVE  OR  PARK  A
 MOTOR  VEHICLE  ON  A TOLL HIGHWAY, BRIDGE AND/OR TUNNEL FACILITY, UNDER
 THE JURISDICTION OF THE TOLLING AUTHORITY, IF SUCH NUMBER PLATE  IS  NOT
 EASILY  READABLE,  NOR SHALL ANY NUMBER PLATE BE COVERED BY GLASS OR ANY
 PLASTIC MATERIAL, AND SHALL NOT BE KNOWINGLY COVERED OR COATED WITH  ANY
 ARTIFICIAL  OR SYNTHETIC MATERIAL OR SUBSTANCE THAT CONCEALS OR OBSCURES

 S. 2008                            15                            A. 3008
 
 SUCH NUMBER PLATES OR THAT DISTORTS A RECORDED OR PHOTOGRAPHIC IMAGE  OF
 SUCH  NUMBER  PLATES,  AND  THE  VIEW OF SUCH NUMBER PLATES SHALL NOT BE
 OBSTRUCTED BY ANY PART OF THE VEHICLE OR BY  ANYTHING  CARRIED  THEREON,
 EXCEPT  FOR  A  RECEIVER-TRANSMITTER  ISSUED BY A PUBLICLY OWNED TOLLING
 FACILITY IN CONNECTION WITH ELECTRONIC TOLL COLLECTION WHEN SUCH RECEIV-
 ER-TRANSMITTER IS AFFIXED TO THE EXTERIOR OF  A  VEHICLE  IN  ACCORDANCE
 WITH  MOUNTING  INSTRUCTIONS  PROVIDED  BY  THE  TOLLING  FACILITY.  FOR
 PURPOSES OF THIS PARAGRAPH, "TOLLING AUTHORITY" SHALL MEAN EVERY  PUBLIC
 AUTHORITY  WHICH  OPERATES A TOLL HIGHWAY, BRIDGE AND/OR TUNNEL FACILITY
 AS WELL AS THE PORT AUTHORITY OF NEW YORK AND  NEW  JERSEY,  A  BI-STATE
 AGENCY CREATED BY COMPACT SET FORTH IN CHAPTER ONE HUNDRED FIFTY-FOUR OF
 THE LAWS OF NINETEEN HUNDRED TWENTY-ONE, AS AMENDED.
   §  4.  Subdivision 8 of section 402 of the vehicle and traffic law, as
 amended by chapter 61 of the laws of 1989 and renumbered by chapter  648
 of the laws of 2006, is amended to read as follows:
   8.  The violation of this section shall be punishable by a fine of not
 less than twenty-five nor more  than  two  hundred  dollars  EXCEPT  FOR
 VIOLATIONS  OF  PARAGRAPH  (C) OF SUBDIVISION ONE OF THIS SECTION, WHICH
 SHALL BE PUNISHABLE BY A FINE OF NOT LESS THAN ONE HUNDRED NOR MORE THAN
 FIVE HUNDRED DOLLARS.
   § 5. This act shall take effect immediately.
 
                                  PART F
 
   Section 1. Subdivision 5 of section 227 of  the  vehicle  and  traffic
 law,  as  amended  by  section 3 of part CC of chapter 58 of the laws of
 2015, is amended to read as follows:
   5. All penalties and forfeited  security  collected  pursuant  to  the
 provisions  of this article shall be paid to the department of audit and
 control to the credit of the justice court fund and shall be subject  to
 the  applicable  provisions  of  section  eighteen hundred three of this
 chapter. After such audit as shall reasonably be required by  the  comp-
 troller,  such  penalties and forfeited security shall be paid quarterly
 or, in the discretion of the comptroller, monthly,  to  the  appropriate
 jurisdiction  in  which  the  violation  occurred in accordance with the
 provisions of section ninety-nine-a of the  state  finance  law,  except
 that the sum of four dollars for each violation occurring in such juris-
 diction  for  which  a  complaint has been filed with the administrative
 tribunal established pursuant to this article shall be retained  by  the
 state.  NOTWITHSTANDING ANY LAW TO THE CONTRARY AN ADDITIONAL ANNUAL SUM
 OF  THREE  MILLION DOLLARS COLLECTED FROM FINES AND ASSESSED TO THE CITY
 OF NEW YORK, SHALL BE DEPOSITED INTO THE GENERAL FUND IN ACCORDANCE WITH
 THE PROVISIONS OF SECTION NINETY-NINE-A OF THE STATE  FINANCE  LAW.  The
 amount  distributed  during  the  first  three  quarters  to the city of
 Rochester in any given fiscal year shall not exceed seventy  percent  of
 the  amount which will be otherwise payable.  Provided, however, that if
 the full costs of administering this article shall  exceed  the  amounts
 received  and  retained  by  the  state  for any period specified by the
 commissioner, then such additional sums as shall be required  to  offset
 such  costs  shall  be  retained  by  the state out of the penalties and
 forfeited security collected pursuant to this article.
   § 2. Paragraph c of subdivision 1 of section 1803 of the  vehicle  and
 traffic  law,  as amended by chapter 385 of the laws of 1999, is amended
 to read as follows:
   c. for compliance  with  or  violations  of  subdivision  nineteen  of
 section  three  hundred eighty-five of this chapter, notwithstanding any

 S. 2008                            16                            A. 3008
 
 inconsistent provision of law, except as provided in section  ninety  of
 the  state finance law, the fees and fines collected by the state pursu-
 ant to sections two hundred twenty-seven, three hundred eighty-five  and
 eighteen  hundred three of this chapter and section ninety-nine-a of the
 state finance law, shall be made available to the state comptroller  for
 deposit  in  the  general fund except that fines collected within a city
 not wholly included within one county shall be  paid  to  such  city  in
 accordance  with the procedures set forth in subdivision four of section
 two hundred twenty-seven of this chapter for deposit  into  the  general
 fund  of  such  city,  AND EXCEPT THAT AN ANNUAL AMOUNT OF THREE MILLION
 DOLLARS OF FINES COLLECTED WITHIN THE CITY OF NEW YORK PURSUANT TO ARTI-
 CLE TWO-A OF THIS CHAPTER BE DEPOSITED BY THE COMPTROLLER TO THE GENERAL
 FUND.
   § 3. Subdivision 3 of section  99-a  of  the  state  finance  law,  as
 amended  by  section 10 of part CC of chapter 58 of the laws of 2015, is
 amended to read as follows:
   3. The comptroller  is  hereby  authorized  to  implement  alternative
 procedures,  including  guidelines in conjunction therewith, relating to
 the remittance of fines, penalties, forfeitures and other moneys by town
 and village justice courts, and by the Nassau and Suffolk counties traf-
 fic and parking violations agencies, and by the city of Buffalo  traffic
 violations agency, AND BY THE CITY OF NEW YORK PURSUANT TO ARTICLE TWO-A
 OF  THE  VEHICLE  AND TRAFFIC LAW, to the justice court fund and for the
 distribution of such moneys by the justice court  fund.  Notwithstanding
 any  law  to  the  contrary,  the  alternative  procedures  utilized may
 include:
   a. electronic funds transfer;
   b. remittance of funds by the justice court to the chief fiscal office
 of the town or village, or, in the case of the Nassau and Suffolk  coun-
 ties  traffic  and parking violations agencies, to the county treasurer,
 or, in the case of the Buffalo traffic violations agency, to the city of
 Buffalo comptroller, for distribution in accordance with instructions by
 the comptroller OR, IN THE CASE OF THE CITY OF  NEW  YORK,  PURSUANT  TO
 ARTICLE  TWO-A  OF  THE VEHICLE AND TRAFFIC LAW TO THE CITY COMPTROLLER;
 and/or
   c. monthly, rather than quarterly, distribution of funds.
   The comptroller may require such reporting and record keeping as he or
 she deems necessary to ensure  the  proper  distribution  of  moneys  in
 accordance  with  applicable  laws.  A  justice  court or the Nassau and
 Suffolk counties traffic and parking violations agencies or the city  of
 Buffalo  traffic  violations  agency OR THE CITY OF NEW YORK PURSUANT TO
 ARTICLE TWO-A OF THE VEHICLE AND TRAFFIC LAW may  utilize  these  proce-
 dures  only when permitted by the comptroller, and such permission, once
 given, may subsequently be withdrawn by the comptroller on due notice.
   § 4. This act shall take effect immediately.
 
                                  PART G
 
   Section 1. Legislative intent. The purpose of this act  is  to  expand
 access  to  important  and enhanced transportation options for residents
 and visitors throughout the State, while ensuring the safety,  reliabil-
 ity,  and  cost-effectiveness  of those services within the State of New
 York.
   § 2. The vehicle and traffic law is amended by adding  a  new  article
 44-B to read as follows:

 S. 2008                            17                            A. 3008
 
                                ARTICLE 44-B
                  TRANSPORTATION NETWORK COMPANY SERVICES
 SECTION 1691. DEFINITIONS.
         1692. GENERAL PROVISIONS.
         1693. FINANCIAL  RESPONSIBILITY OF TRANSPORTATION NETWORK COMPA-
                 NIES.
         1694. DISCLOSURES.
         1695. INSURANCE PROVISIONS.
         1696. DRIVER AND VEHICLE REQUIREMENTS.
         1697. MAINTENANCE OF RECORDS.
         1698. AUDIT PROCEDURES; CONFIDENTIALITY OF RECORDS.
         1699. CRIMINAL  HISTORY  BACKGROUND  CHECK   OF   TRANSPORTATION
                 NETWORK COMPANY DRIVERS.
         1700. CONTROLLING AUTHORITY.
   §  1691.  DEFINITIONS.  AS  USED  IN  THIS ARTICLE: 1. "TRANSPORTATION
 NETWORK COMPANY VEHICLE" OR "TNC VEHICLE" MEANS A VEHICLE THAT IS:
   (A) USED BY A TRANSPORTATION NETWORK COMPANY DRIVER TO PROVIDE  A  TNC
 PREARRANGED TRIP ORIGINATING IN THE STATE OF NEW YORK;
   (B)  OWNED,  LEASED OR OTHERWISE AUTHORIZED FOR USE BY THE TRANSPORTA-
 TION NETWORK COMPANY DRIVER AND SHALL NOT INCLUDE:
   (I) A TAXICAB, AS DEFINED IN SECTION ONE HUNDRED FORTY-EIGHT-A OF THIS
 CHAPTER AND SECTION 19-502 OF THE ADMINISTRATIVE CODE OF THE CITY OF NEW
 YORK, OR AS OTHERWISE DEFINED IN LOCAL LAW;
   (II) A LIVERY VEHICLE, AS DEFINED IN SECTION ONE HUNDRED  TWENTY-ONE-E
 OF THIS CHAPTER, OR AS OTHERWISE DEFINED IN LOCAL LAW;
   (III)  A  BLACK  CAR,  LIMOUSINE,  OR  LUXURY LIMOUSINE, AS DEFINED IN
 SECTION 19-502 OF THE ADMINISTRATIVE CODE OF THE CITY OF NEW YORK, OR AS
 OTHERWISE DEFINED IN LOCAL LAW;
   (IV) A FOR-HIRE VEHICLE, AS DEFINED IN SECTION 19-502 OF THE  ADMINIS-
 TRATIVE  CODE  OF THE CITY OF NEW YORK, OR AS OTHERWISE DEFINED IN LOCAL
 LAW;
   (V) A BUS, AS DEFINED IN SECTION ONE HUNDRED FOUR OF THIS CHAPTER;
   (VI) ANY MOTOR VEHICLE WEIGHING MORE THAN SIX  THOUSAND  FIVE  HUNDRED
 POUNDS UNLOADED;
   (VII)  ANY  MOTOR VEHICLE HAVING A SEATING CAPACITY OF MORE THAN SEVEN
 PASSENGERS; AND
   (VIII) ANY MOTOR VEHICLE SUBJECT TO SECTION THREE HUNDRED  SEVENTY  OF
 THIS CHAPTER.
   2.  "DIGITAL  NETWORK" MEANS ANY SYSTEM OR SERVICE OFFERED OR UTILIZED
 BY A TRANSPORTATION NETWORK COMPANY THAT ENABLES TNC  PREARRANGED  TRIPS
 WITH TRANSPORTATION NETWORK COMPANY DRIVERS.
   3.  "TRANSPORTATION  NETWORK  COMPANY" OR "TNC" MEANS A PERSON, CORPO-
 RATION, PARTNERSHIP,  SOLE  PROPRIETORSHIP,  OR  OTHER  ENTITY  THAT  IS
 LICENSED  PURSUANT  TO  THIS  ARTICLE AND IS OPERATING IN NEW YORK STATE
 EXCLUSIVELY USING A DIGITAL NETWORK TO  CONNECT  TRANSPORTATION  NETWORK
 COMPANY PASSENGERS TO TRANSPORTATION NETWORK COMPANY DRIVERS WHO PROVIDE
 TNC PREARRANGED TRIPS.
   4.  "TRANSPORTATION  NETWORK  COMPANY DRIVER" OR "TNC DRIVER" MEANS AN
 INDIVIDUAL WHO:
   (A) RECEIVES CONNECTIONS TO POTENTIAL PASSENGERS AND RELATED  SERVICES
 FROM  A  TRANSPORTATION NETWORK COMPANY IN EXCHANGE FOR PAYMENT OF A FEE
 TO THE TRANSPORTATION NETWORK COMPANY; AND
   (B) USES A TNC VEHICLE TO OFFER OR PROVIDE A TNC PREARRANGED  TRIP  TO
 TRANSPORTATION  NETWORK  COMPANY  PASSENGERS  UPON  CONNECTION THROUGH A
 DIGITAL NETWORK  CONTROLLED  BY  A  TRANSPORTATION  NETWORK  COMPANY  IN
 EXCHANGE FOR COMPENSATION OR PAYMENT OF A FEE.

 S. 2008                            18                            A. 3008
 
   5.  "TRANSPORTATION  NETWORK COMPANY PASSENGER" OR "PASSENGER" MEANS A
 PERSON OR PERSONS WHO USE A  TRANSPORTATION  NETWORK  COMPANY'S  DIGITAL
 NETWORK  TO  CONNECT  WITH  A  TRANSPORTATION NETWORK COMPANY DRIVER WHO
 PROVIDES TNC PREARRANGED TRIPS TO  THE  PASSENGER  IN  THE  TNC  VEHICLE
 BETWEEN POINTS CHOSEN BY THE PASSENGER.
   6.  "TNC  PREARRANGED TRIP" MEANS THE PROVISION OF TRANSPORTATION BY A
 TRANSPORTATION NETWORK COMPANY DRIVER TO A  PASSENGER  PROVIDED  THROUGH
 THE USE OF A TNC'S DIGITAL NETWORK:
   (A)  BEGINNING  WHEN A TRANSPORTATION NETWORK COMPANY DRIVER ACCEPTS A
 PASSENGER'S REQUEST FOR A TRIP THROUGH A DIGITAL NETWORK CONTROLLED BY A
 TRANSPORTATION NETWORK COMPANY;
   (B) CONTINUING WHILE THE TRANSPORTATION NETWORK COMPANY DRIVER  TRANS-
 PORTS THE REQUESTING PASSENGER IN A TNC VEHICLE; AND
   (C)  ENDING  WHEN  THE  LAST REQUESTING PASSENGER DEPARTS FROM THE TNC
 VEHICLE.
   (D) THE TERM "TNC PREARRANGED TRIP" DOES  NOT  INCLUDE  TRANSPORTATION
 PROVIDED THROUGH ANY OF THE FOLLOWING:
   (I) SHARED EXPENSE CARPOOL OR VANPOOL ARRANGEMENTS, INCLUDING THOSE AS
 DEFINED  IN SECTION ONE HUNDRED FIFTY-EIGHT-B OF THE VEHICLE AND TRAFFIC
 LAW;
   (II) USE OF A TAXICAB, LIVERY, LUXURY  LIMOUSINE,  OR  OTHER  FOR-HIRE
 VEHICLE,  AS  DEFINED  IN THE VEHICLE AND TRAFFIC LAW, SECTION 19-502 OF
 THE NEW YORK CITY ADMINISTRATIVE CODE, OR AS OTHERWISE DEFINED IN  LOCAL
 LAW; AND
   (III) A REGIONAL TRANSPORTATION PROVIDER.
   7. "GROUP POLICY" MEANS AN INSURANCE POLICY ISSUED PURSUANT TO SECTION
 THREE THOUSAND FOUR HUNDRED FIFTY-FIVE OF THE INSURANCE LAW.
   §  1692. GENERAL PROVISIONS.  1. A TNC OR A TNC DRIVER IS NOT A COMMON
 CARRIER, AS DEFINED IN SUBDIVISION SIX OF SECTION TWO OF THE TRANSPORTA-
 TION LAW; A CONTRACT CARRIER OF PASSENGERS BY MOTOR VEHICLE, AS  DEFINED
 IN SUBDIVISION NINE OF SECTION TWO OF THE TRANSPORTATION LAW; OR A MOTOR
 CARRIER,  AS  DEFINED  IN  SUBDIVISION  SEVENTEEN  OF SECTION TWO OF THE
 TRANSPORTATION LAW; NOR DO THEY  PROVIDE  TAXICAB  OR  FOR-HIRE  VEHICLE
 SERVICE.  MOREOVER,  A  TNC DRIVER SHALL NOT BE REQUIRED TO REGISTER THE
 TNC VEHICLE SUCH TNC DRIVER USES FOR TNC PREARRANGED TRIPS AS A  COMMER-
 CIAL OR FOR-HIRE VEHICLE, AS SET FORTH IN ARTICLE FOURTEEN OF THIS CHAP-
 TER.
   2. A TNC MAY NOT OPERATE IN THE STATE OF NEW YORK WITHOUT FIRST HAVING
 OBTAINED  A  LICENSE  ISSUED  BY THE DEPARTMENT IN A FORM AND MANNER AND
 WITH APPLICABLE FEES AS PROVIDED FOR BY REGULATIONS PROMULGATED  BY  THE
 COMMISSIONER.    AS  A  CONDITION OF OBTAINING A LICENSE, A TNC SHALL BE
 REQUIRED TO SUBMIT TO THE DEPARTMENT PROOF  OF  A  GROUP  POLICY  ISSUED
 PURSUANT TO SECTION THREE THOUSAND FOUR HUNDRED FIFTY-FIVE OF THE INSUR-
 ANCE LAW.  FAILURE OF A TNC TO OBTAIN A LICENSE BEFORE OPERATION, PURSU-
 ANT  TO  THIS  SUBDIVISION  SHALL CONSTITUTE A MISDEMEANOR.   NO LICENSE
 SHALL BE SUSPENDED OR REVOKED EXCEPT UPON NOTICE TO THE TNC AND AFTER AN
 OPPORTUNITY TO BE HEARD.
   3. A TNC MUST MAINTAIN AN AGENT FOR SERVICE OF PROCESS IN THE STATE OF
 NEW YORK.
   4. ON BEHALF OF A TNC DRIVER, A TNC MAY CHARGE A FARE FOR THE SERVICES
 PROVIDED TO PASSENGERS; PROVIDED THAT, IF A FARE  IS  COLLECTED  FROM  A
 PASSENGER,  THE  TNC  SHALL  DISCLOSE TO THE PASSENGERS THE FARE OR FARE
 CALCULATION METHOD ON ITS WEBSITE OR WITHIN THE APPLICATION SERVICE. THE
 TNC SHALL ALSO PROVIDE THE PASSENGERS WITH THE  APPLICABLE  RATES  BEING
 CHARGED  AND AN ESTIMATED FARE BEFORE THE PASSENGER ENTERS THE TNC VEHI-
 CLE.

 S. 2008                            19                            A. 3008
 
   5. A TNC'S DIGITAL NETWORK SHALL DISPLAY A PICTURE OF THE TNC  DRIVER,
 AND  THE  MAKE, MODEL, COLOR AND LICENSE PLATE NUMBER OF THE TNC VEHICLE
 UTILIZED FOR PROVIDING THE TNC PREARRANGED  TRIP  BEFORE  THE  PASSENGER
 ENTERS THE TNC VEHICLE.
   6.  WITHIN  A  REASONABLE PERIOD OF TIME FOLLOWING THE COMPLETION OF A
 TRIP, A TNC SHALL TRANSMIT AN ELECTRONIC RECEIPT  TO  THE  PASSENGER  ON
 BEHALF OF THE TNC DRIVER THAT LISTS:
   (A) THE ORIGIN AND DESTINATION OF THE TRIP;
   (B) THE TOTAL TIME AND DISTANCE OF THE TRIP; AND
   (C) AN ITEMIZATION OF THE TOTAL FARE PAID, IF ANY.
   7. A TNC DRIVER SHALL NOT SOLICIT OR ACCEPT STREET HAILS.
   8.  A  TNC SHALL ADOPT A POLICY PROHIBITING SOLICITATION OR ACCEPTANCE
 OF CASH PAYMENTS FOR THE FARES CHARGED TO PASSENGERS FOR TNC PREARRANGED
 TRIPS AND NOTIFY TNC DRIVERS OF SUCH POLICY.    TNC  DRIVERS  SHALL  NOT
 SOLICIT OR ACCEPT CASH PAYMENTS FROM PASSENGERS.
   9.  NOTHING IN THIS ARTICLE SHALL APPLY TO CITIES WITH A POPULATION OF
 ONE MILLION OR MORE.
   § 1693.  FINANCIAL RESPONSIBILITY OF TRANSPORTATION NETWORK COMPANIES.
 1. A TNC DRIVER, OR TNC ON THE TNC DRIVER'S BEHALF THROUGH A GROUP POLI-
 CY, SHALL MAINTAIN INSURANCE THAT RECOGNIZES THAT THE DRIVER  IS  A  TNC
 DRIVER AND PROVIDES FINANCIAL RESPONSIBILITY COVERAGE:
   (A) WHILE THE TNC DRIVER IS LOGGED ONTO THE TNC'S DIGITAL NETWORK; AND
   (B) WHILE THE TNC DRIVER IS ENGAGED IN A TNC PREARRANGED TRIP.
   2.  (A)  THE  FOLLOWING  AUTOMOBILE FINANCIAL RESPONSIBILITY INSURANCE
 REQUIREMENTS SHALL APPLY WHILE A TNC DRIVER IS  LOGGED  ONTO  THE  TNC'S
 DIGITAL  NETWORK AND IS AVAILABLE TO RECEIVE TRANSPORTATION REQUESTS BUT
 IS NOT ENGAGED IN A TNC PREARRANGED TRIP: INSURANCE  AGAINST  LOSS  FROM
 THE LIABILITY IMPOSED BY LAW FOR DAMAGES, INCLUDING DAMAGES FOR CARE AND
 LOSS  OF  SERVICES,  BECAUSE OF BODILY INJURY TO OR DEATH OF ANY PERSON,
 AND INJURY TO OR DESTRUCTION OF PROPERTY ARISING OUT OF  THE  OWNERSHIP,
 MAINTENANCE,  USE  OR OPERATION OF A PERSONAL VEHICLE OR VEHICLES WITHIN
 THIS STATE, EXCLUSIVE OF INTEREST AND COSTS, WITH RESPECT TO  EACH  SUCH
 OCCURRENCE,  OF AT LEAST FIFTY THOUSAND DOLLARS BECAUSE OF BODILY INJURY
 TO OR DEATH OF ONE PERSON IN ANY ONE ACCIDENT AND, SUBJECT TO SAID LIMIT
 FOR ONE PERSON, TO A LIMIT OF AT  LEAST  ONE  HUNDRED  THOUSAND  DOLLARS
 BECAUSE  OF  BODILY INJURY TO OR DEATH OF TWO OR MORE PERSONS IN ANY ONE
 ACCIDENT, AND TO A  LIMIT  OF  AT  LEAST  TWENTY-FIVE  THOUSAND  DOLLARS
 BECAUSE  OF  INJURY  TO  OR DESTRUCTION OF PROPERTY OF OTHERS IN ANY ONE
 ACCIDENT PROVIDED, HOWEVER, THAT SUCH POLICY NEED NOT BE  FOR  A  PERIOD
 COTERMINOUS  WITH  THE  REGISTRATION  PERIOD  OF  THE  PERSONAL  VEHICLE
 INSURED, AND COVERAGE IN SATISFACTION OF  THE  FINANCIAL  RESPONSIBILITY
 REQUIREMENTS  SET FORTH IN SECTION THREE THOUSAND FOUR HUNDRED TWENTY OF
 THE INSURANCE LAW, ARTICLE FIFTY-ONE OF  THE  INSURANCE  LAW,  AND  SUCH
 OTHER  REQUIREMENTS  OR  REGULATIONS  THAT MAY APPLY FOR THE PURPOSES OF
 SATISFYING THE FINANCIAL RESPONSIBILITY REQUIREMENTS WITH RESPECT TO THE
 USE OR OPERATION OF A MOTOR VEHICLE.
   (B) THE COVERAGE REQUIREMENTS OF PARAGRAPH (A) OF THIS SUBDIVISION MAY
 BE SATISFIED BY ANY OF THE FOLLOWING:
   (I) INSURANCE MAINTAINED BY THE TNC DRIVER; OR
   (II) INSURANCE PROVIDED THROUGH A GROUP POLICY MAINTAINED BY THE  TNC;
 OR
   (III) A COMBINATION OF SUBPARAGRAPHS (I) AND (II) OF THIS PARAGRAPH.
   3.  (A)  THE  FOLLOWING  AUTOMOBILE FINANCIAL RESPONSIBILITY INSURANCE
 REQUIREMENTS SHALL APPLY WHILE A TNC DRIVER IS ENGAGED IN A  TNC  PREAR-
 RANGED  TRIP:  INSURANCE  AGAINST LOSS FROM THE LIABILITY IMPOSED BY LAW
 FOR DAMAGES, INCLUDING DAMAGES FOR CARE AND LOSS OF SERVICES, BECAUSE OF

 S. 2008                            20                            A. 3008

 BODILY INJURY TO OR DEATH OF ANY PERSON, AND INJURY TO OR DESTRUCTION OF
 PROPERTY ARISING OUT OF THE OWNERSHIP, MAINTENANCE, USE, OR OPERATION OF
 A PERSONAL VEHICLE OR VEHICLES WITHIN THIS STATE, SUBJECT  TO  A  LIMIT,
 EXCLUSIVE  OF  INTEREST AND COSTS, WITH RESPECT TO EACH SUCH OCCURRENCE,
 OF AT LEAST ONE MILLION DOLLARS BECAUSE OF BODILY  INJURIES,  DEATH  AND
 PROPERTY  DAMAGE,  PROVIDED, HOWEVER, THAT SUCH POLICY NEED NOT BE FOR A
 PERIOD COTERMINOUS WITH THE REGISTRATION PERIOD OF THE PERSONAL  VEHICLE
 INSURED,  AND  COVERAGE  IN SATISFACTION OF THE FINANCIAL RESPONSIBILITY
 REQUIREMENTS SET FORTH IN SECTION THREE THOUSAND FOUR HUNDRED TWENTY  OF
 THE  INSURANCE  LAW,  ARTICLE  FIFTY-ONE  OF THE INSURANCE LAW, AND SUCH
 OTHER REQUIREMENTS OR REGULATIONS THAT MAY APPLY  FOR  THE  PURPOSES  OF
 SATISFYING THE FINANCIAL RESPONSIBILITY REQUIREMENTS WITH RESPECT TO THE
 USE OR OPERATION OF A MOTOR VEHICLE.
   (B) THE COVERAGE REQUIREMENTS OF PARAGRAPH (A) OF THIS SUBDIVISION MAY
 BE SATISFIED BY ANY OF THE FOLLOWING:
   (I) INSURANCE MAINTAINED BY THE TNC DRIVER; OR
   (II)  INSURANCE PROVIDED THROUGH A GROUP POLICY MAINTAINED BY THE TNC;
 OR
   (III) A COMBINATION OF SUBPARAGRAPHS (I) AND (II) OF THIS PARAGRAPH.
   4. A TNC SHALL, UPON ENTERING INTO A CONTRACTUAL AGREEMENT WITH A  TNC
 DRIVER,  PROVIDE  NOTICE TO THE TNC DRIVER THAT HE OR SHE MAY NEED ADDI-
 TIONAL INSURANCE COVERAGE INCLUDING MOTOR VEHICLE PHYSICAL DAMAGE COVER-
 AGE AS DESCRIBED IN PARAGRAPH NINETEEN OF SUBSECTION (A) OF SECTION  ONE
 THOUSAND  ONE  HUNDRED  THIRTEEN OF THE INSURANCE LAW IF THE TNC VEHICLE
 BEING USED BY THE TNC DRIVER IS SUBJECT TO A LEASE OR LOAN. A TNC  SHALL
 ALSO POST THIS NOTICE ON ITS WEBSITE.
   5.  IF  INSURANCE  MAINTAINED BY A TNC DRIVER PURSUANT TO SUBDIVISIONS
 TWO AND THREE OF THIS  SECTION  HAS  LAPSED  OR  DOES  NOT  PROVIDE  THE
 REQUIRED  COVERAGE,  THEN  THE  GROUP  POLICY  MAINTAINED BY A TNC SHALL
 PROVIDE THE COVERAGE REQUIRED BY THIS SECTION BEGINNING WITH  THE  FIRST
 DOLLAR OF A CLAIM AND HAVE THE DUTY TO DEFEND SUCH CLAIM.
   6.  COVERAGE  UNDER  A GROUP POLICY MAINTAINED BY THE TNC SHALL NOT BE
 DEPENDENT ON THE DENIAL OF A CLAIM BY THE INSURER THAT ISSUED THE INSUR-
 ANCE POLICY USED TO REGISTER THE TNC VEHICLE, NOR SHALL THAT INSURER  BE
 REQUIRED TO FIRST DENY A CLAIM.
   7.  (A) EXCEPT AS PROVIDED IN SUBDIVISION TWO OF THIS SECTION, A GROUP
 POLICY MAINTAINED BY A TNC PURSUANT TO SUBPARAGRAPH  (II)  OF  PARAGRAPH
 (B) OF SUBDIVISIONS TWO OR THREE OF THIS SECTION SHALL BE PLACED WITH AN
 INSURER AUTHORIZED TO WRITE INSURANCE IN THIS STATE.
   (B) IF A TNC IS UNABLE TO PURCHASE A GROUP POLICY PURSUANT TO SUBPARA-
 GRAPH (II) OF PARAGRAPH (B) OF SUBDIVISIONS TWO OR THREE OF THIS SECTION
 BECAUSE  SUCH  INSURANCE IS UNAVAILABLE FROM AUTHORIZED INSURERS THE TNC
 MAY ACQUIRE SUCH GROUP INSURANCE WITH AN EXCESS LINE BROKER PURSUANT  TO
 SECTION TWO THOUSAND ONE HUNDRED EIGHTEEN OF THE INSURANCE LAW.
   (C) THE OBLIGATION TO DETERMINE WHETHER THE INSURANCE REQUIRED BY THIS
 SECTION  IS  UNAVAILABLE  FROM INSURERS AUTHORIZED TO WRITE INSURANCE IN
 THIS STATE SHALL BE MADE PRIOR TO THE INITIAL PLACEMENT AND EACH RENEWAL
 OF A POLICY.
   8.  INSURANCE SATISFYING THE REQUIREMENTS OF THIS SECTION MAY BE USED,
 WHEN THE TNC VEHICLE IS BEING USED OR OPERATED DURING THE PERIOD  SPECI-
 FIED  IN  SUBDIVISION  ONE  OF  THIS  SECTION,  TO SATISFY THE FINANCIAL
 RESPONSIBILITY REQUIREMENTS SET FORTH IN  SUBDIVISION  FOUR  OF  SECTION
 THREE  HUNDRED  ELEVEN  OF  THIS  CHAPTER, AND ANY OTHER REQUIREMENTS OR
 REGULATIONS THAT MAY APPLY FOR THE PURPOSES OF SATISFYING THE  FINANCIAL
 RESPONSIBILITY  REQUIREMENTS  WITH  RESPECT TO THE USE OR OPERATION OF A
 MOTOR VEHICLE.

 S. 2008                            21                            A. 3008
 
   9. A TNC DRIVER SHALL CARRY PROOF OF COVERAGE SATISFYING  SUBDIVISIONS
 TWO AND THREE OF THIS SECTION WITH HIM OR HER AT ALL TIMES DURING HIS OR
 HER USE OR OPERATION OF A TNC VEHICLE IN CONNECTION WITH A TNC'S DIGITAL
 NETWORK. SUCH PROOF OF COVERAGE SHALL BE IN SUCH FORM AS THE COMMISSION-
 ER SHALL PRESCRIBE, WHICH MAY BE IN THE FORM OF AN INSURANCE IDENTIFICA-
 TION  CARD  AS  DEFINED IN SECTION THREE HUNDRED ELEVEN OF THIS CHAPTER.
 ANY INSURANCE IDENTIFICATION CARD ISSUED PURSUANT TO THE  PROVISIONS  OF
 THIS  ARTICLE  SHALL BE IN ADDITION TO THE INSURANCE IDENTIFICATION CARD
 REQUIRED PURSUANT TO ARTICLE SIX OF THIS CHAPTER, AND NOTHING  CONTAINED
 IN  THIS  ARTICLE  SHALL BE DEEMED TO SUPERSEDE THE REQUIREMENTS OF SUCH
 ARTICLE SIX. WHENEVER THE PRODUCTION OF AN INSURANCE IDENTIFICATION CARD
 IS REQUIRED BY LAW, A TNC DRIVER SHALL (A) PRODUCE THE  INSURANCE  IDEN-
 TIFICATION  CARD ISSUED PURSUANT TO ARTICLE SIX OF THIS CHAPTER AND, (B)
 IF SUCH DRIVER EITHER (I) WAS LOGGED ONTO THE TNC'S DIGITAL  NETWORK  OR
 (II)  WAS  ENGAGED IN A TNC PREARRANGED TRIP AND THE ACTIVITY UNDER THIS
 SUBDIVISION IS BEING COVERED PRIMARILY BY INSURANCE PURCHASED BY  A  TNC
 SUCH  DRIVER  SHALL  ALSO  PRODUCE  THE  INSURANCE  IDENTIFICATION  CARD
 REQUIRED PURSUANT TO THIS ARTICLE.
   10. THE SUPERINTENDENT OF FINANCIAL SERVICES IS  AUTHORIZED  TO  ISSUE
 SUCH RULES AND REGULATIONS NECESSARY TO IMPLEMENT THIS SECTION.
   11.  NOTHING  IN  THIS  SECTION  SHALL IMPOSE FINANCIAL RESPONSIBILITY
 REQUIREMENTS UPON ANY ENTITIES OPERATING AS VEHICLES FOR HIRE IN A  CITY
 WITH A POPULATION OF ONE MILLION OR MORE.
   12.    A  GROUP POLICY PLACED BY AN EXCESS LINE BROKER UNDER PARAGRAPH
 (B) OF SUBDIVISION SEVEN OF THIS SECTION SHALL NOT INCLUDE  A  MANDATORY
 ARBITRATION  CLAUSE IN A POLICY ISSUED PURSUANT TO THIS SECTION. NOTHING
 IN  THIS  SECTION  SUPERCEDES  THE  MANDATORY  ARBITRATION  REQUIREMENTS
 CONTAINED  IN  SECTION  FIVE  THOUSAND ONE HUNDRED FIVE OF THE INSURANCE
 LAW.
   § 1694. DISCLOSURES. A TNC SHALL DISCLOSE IN WRITING  TO  TNC  DRIVERS
 THE  FOLLOWING  BEFORE  THEY  ARE  ALLOWED TO ACCEPT A REQUEST FOR A TNC
 PREARRANGED TRIP ON THE TNC'S DIGITAL NETWORK:
   1. THE INSURANCE COVERAGE, INCLUDING THE TYPES  OF  COVERAGE  AND  THE
 LIMITS  FOR  EACH  COVERAGE,  THAT THE TNC PROVIDES WHILE THE TNC DRIVER
 USES A TNC VEHICLE IN CONNECTION WITH A TNC'S DIGITAL NETWORK;
   2. THAT THE TNC DRIVER'S OWN AUTOMOBILE  INSURANCE  POLICY  MIGHT  NOT
 PROVIDE  ANY  COVERAGE  WHILE  THE  TNC DRIVER IS LOGGED ON TO THE TNC'S
 DIGITAL NETWORK AND IS AVAILABLE TO RECEIVE TRANSPORTATION  REQUESTS  OR
 IS ENGAGED IN A TNC PREARRANGED TRIP, DEPENDING ON ITS TERMS; AND
   3.  THAT,  IF  A TNC VEHICLE HAS A LIEN AGAINST IT, THEN THE CONTINUED
 USE OF SUCH TNC VEHICLE BY ITS TNC DRIVER WITHOUT PHYSICAL DAMAGE COVER-
 AGE MAY VIOLATE THE TERMS OF THE CONTRACT WITH THE LIENHOLDER.
   § 1695. INSURANCE PROVISIONS. 1.   INSURERS THAT WRITE  MOTOR  VEHICLE
 INSURANCE  IN  THIS  STATE MAY, IN THE INSURANCE POLICY, EXCLUDE ANY AND
 ALL COVERAGE AFFORDED UNDER THE POLICY ISSUED TO AN OWNER OR OPERATOR OF
 A TNC VEHICLE FOR ANY LOSS OR INJURY THAT OCCURS WHILE A TNC  DRIVER  IS
 LOGGED ON TO A TNC'S DIGITAL NETWORK OR WHILE A DRIVER PROVIDES A PREAR-
 RANGED TRIP, INCLUDING:
   (A) LIABILITY COVERAGE FOR BODILY INJURY AND PROPERTY DAMAGE;
   (B)  COVERAGE  PROVIDED PURSUANT TO ARTICLE FIFTY-ONE OF THE INSURANCE
 LAW;
   (C) UNINSURED AND UNDERINSURED MOTORIST COVERAGE; AND
   (D) MOTOR VEHICLE PHYSICAL DAMAGE COVERAGE AS DESCRIBED  IN  PARAGRAPH
 NINETEEN  OF SUBSECTION (A) OF SECTION ONE THOUSAND ONE HUNDRED THIRTEEN
 OF THE INSURANCE LAW.

 S. 2008                            22                            A. 3008
 
   2. SUCH EXCLUSIONS SHALL APPLY NOTWITHSTANDING ANY  REQUIREMENT  UNDER
 THE  LAW  TO THE CONTRARY.   NOTHING IN THIS SECTION IMPLIES OR REQUIRES
 THAT AN OWNER'S POLICY OF LIABILITY INSURANCE  OR  OTHER  MOTOR  VEHICLE
 INSURANCE  POLICY  PROVIDE COVERAGE WHILE THE TNC DRIVER IS LOGGED ON TO
 THE  TNC'S  DIGITAL  NETWORK,  WHILE  THE TNC DRIVER IS ENGAGED IN A TNC
 PREARRANGED TRIP OR WHILE THE TNC DRIVER OTHERWISE USES  OR  OPERATES  A
 TNC VEHICLE TO TRANSPORT PASSENGERS FOR COMPENSATION.
   3.  NOTHING  SHALL  BE  DEEMED  TO  PRECLUDE AN INSURER FROM PROVIDING
 PRIMARY, EXCESS, OR UMBRELLA COVERAGE FOR THE TNC DRIVER'S TNC  VEHICLE,
 IF IT CHOSE TO DO SO BY CONTRACT OR ENDORSEMENT.
   4.  MOTOR VEHICLE INSURERS THAT EXCLUDE THE COVERAGE DESCRIBED IN THIS
 ARTICLE SHALL HAVE NO DUTY TO DEFEND OR INDEMNIFY  ANY  CLAIM  EXPRESSLY
 EXCLUDED THEREUNDER.  NOTHING IN THIS ARTICLE SHALL BE DEEMED TO INVALI-
 DATE OR LIMIT AN EXCLUSION CONTAINED IN A POLICY INCLUDING ANY POLICY IN
 USE  OR  APPROVED  FOR  USE IN THIS STATE PRIOR TO THE EFFECTIVE DATE OF
 THIS SECTION.
   5. A MOTOR VEHICLE INSURER THAT DEFENDS OR INDEMNIFIES A CLAIM AGAINST
 A TNC DRIVER THAT IS EXCLUDED UNDER THE TERMS OF ITS POLICY SHALL HAVE A
 RIGHT OF CONTRIBUTION AGAINST OTHER INSURERS THAT PROVIDE MOTOR  VEHICLE
 INSURANCE  TO  THE  SAME DRIVER IN SATISFACTION OF THE COVERAGE REQUIRE-
 MENTS OF THE PROVISIONS OF THE CHAPTER  OF  THE  LAWS  OF  TWO  THOUSAND
 SEVENTEEN WHICH ADDED THIS ARTICLE AT THE TIME OF LOSS.
   6.  IN  A  CLAIMS COVERAGE INVESTIGATION, A TNC AND ANY INSURER POTEN-
 TIALLY PROVIDING COVERAGE UNDER THIS ARTICLE SHALL, WITHIN FIFTEEN  DAYS
 AFTER A CLAIM HAS BEEN FILED, FACILITATE THE EXCHANGE OF RELEVANT INFOR-
 MATION  WITH DIRECTLY INVOLVED PARTIES AND ANY INSURER OF THE TNC DRIVER
 IF APPLICABLE, INCLUDING THE PRECISE TIMES THAT A TNC DRIVER  LOGGED  ON
 AND  OFF  OF  THE  TNC'S DIGITAL NETWORK IN THE TWELVE HOUR PERIOD IMME-
 DIATELY PRECEDING AND IN THE TWELVE HOUR  PERIOD  IMMEDIATELY  FOLLOWING
 THE  ACCIDENT  AND  DISCLOSE  TO  ONE ANOTHER A CLEAR DESCRIPTION OF THE
 COVERAGE, EXCLUSIONS AND LIMITS PROVIDED UNDER ANY MOTOR VEHICLE  INSUR-
 ANCE MAINTAINED UNDER THIS ARTICLE.
   7. (A) THE COMMISSIONER SHALL PROMULGATE REGULATIONS FOR THE PROVISION
 OF  RELEVANT  INSURANCE COVERAGE INFORMATION REQUIRED BY THIS ARTICLE TO
 THE FOLLOWING PERSONS UPON REQUEST:
   (I) A PERSON TO WHOM AN ACCIDENT REPORT PERTAINS OR WHO  IS  NAMED  IN
 SUCH REPORT, OR HIS OR HER AUTHORIZED REPRESENTATIVE; AND
   (II)  ANY OTHER PERSON OR HIS OR HER AUTHORIZED REPRESENTATIVE WHO HAS
 DEMONSTRATED TO THE SATISFACTION OF THE COMMISSIONER THAT SUCH PERSON IS
 OR MAY BE A PARTY TO A CIVIL ACTION ARISING OUT OF THE CONDUCT DESCRIBED
 IN SUCH ACCIDENT REPORT.
   (B) EXCEPT AS PROVIDED UNDER PARAGRAPH (A) OF  THIS  SUBDIVISION,  THE
 NAME  OF  A  TNC  DRIVER  ASSOCIATED  WITH SUCH INSURANCE INFORMATION IS
 DESIGNATED CONFIDENTIAL WHETHER OR NOT SO  MARKED,  IS  NOT  SUBJECT  TO
 DISCLOSURE BY A THIRD PARTY BY THE  DEPARTMENT OF MOTOR VEHICLES WITHOUT
 PRIOR  CONSENT  OF  THE  TNC,  AND IS EXEMPT FROM DISCLOSURE PURSUANT TO
 ARTICLE SIX OF THE PUBLIC OFFICERS LAW. NOTHING IN THIS SECTION SHALL BE
 CONSIDERED AS LIMITING THE APPLICABILITY OF ANY OTHER  EXEMPTIONS  UNDER
 ARTICLE SIX OF THE PUBLIC OFFICERS LAW.
   § 1696. DRIVER AND VEHICLE REQUIREMENTS. 1. (A) AT ALL TIMES, AN INDI-
 VIDUAL ACTING AS A TNC DRIVER SHALL BE PERMITTED BY THE TNC AS FOLLOWS:
   (I) THE INDIVIDUAL SHALL SUBMIT AN APPLICATION TO THE TNC, WHICH SHALL
 INCLUDE INFORMATION REGARDING HIS OR HER ADDRESS, AGE, DRIVER'S LICENSE,
 MOTOR  VEHICLE  REGISTRATION,  AUTOMOBILE LIABILITY INSURANCE, AND OTHER
 INFORMATION REQUIRED BY THE TNC;

 S. 2008                            23                            A. 3008
 
   (II) THE TNC SHALL CONDUCT OR HAVE A THIRD PARTY CONDUCT, A LOCAL  AND
 NATIONAL,  CRIMINAL  BACKGROUND  CHECK  FOR EACH APPLICANT IN ACCORDANCE
 WITH SECTION SIXTEEN HUNDRED NINETY-NINE OF THIS ARTICLE AND THAT  SHALL
 REVIEW:
   (A) WHETHER THE APPLICANT IS LISTED ON THE PUBLICLY AVAILABLE NEW YORK
 STATE   SEX   OFFENDER   REGISTRY   PURSUANT   TO  SECTION  ONE  HUNDRED
 SIXTY-EIGHT-Q OF THE CORRECTION LAW; AND
   (B) THE UNITED STATES DEPARTMENT  OF  JUSTICE  NATIONAL  SEX  OFFENDER
 PUBLIC WEBSITE;
   (III)  THE  TNC  SHALL OBTAIN AND REVIEW, OR HAVE A THIRD PARTY OBTAIN
 AND REVIEW, A DRIVING HISTORY RESEARCH REPORT FOR SUCH INDIVIDUAL.
   (B) THE TNC SHALL NOT PERMIT AN APPLICANT WHERE SUCH APPLICANT:
   (I) FAILS TO MEET  ALL  QUALIFICATIONS  PURSUANT  TO  SECTION  SIXTEEN
 HUNDRED NINETY-NINE OF THIS ARTICLE;
   (II)  IS  A  MATCH IN THE UNITED STATES DEPARTMENT OF JUSTICE NATIONAL
 SEX OFFENDER PUBLIC WEBSITE;
   (III) DOES NOT POSSESS A VALID NEW YORK DRIVER'S LICENSE, UNLESS  SUCH
 APPLICANT  DOES  POSSESS A VALID OUT OF STATE DRIVER'S LICENSE AND PROOF
 THAT SUCH APPLICANT IS AN ACTIVE DUTY MEMBER OF THE  ARMED  SERVICES  OF
 THE  UNITED  STATES  STATIONED IN THIS STATE OR IS A FAMILY OR HOUSEHOLD
 MEMBER OF SUCH AN ACTIVE DUTY MEMBER;
   (IV) DOES NOT POSSESS PROOF OF REGISTRATION FOR THE  MOTOR  VEHICLE(S)
 USED TO PROVIDE TNC PREARRANGED TRIPS;
   (V)  DOES  NOT POSSESS PROOF OF AUTOMOBILE LIABILITY INSURANCE FOR THE
 MOTOR VEHICLE(S) USED TO PROVIDE TNC PREARRANGED TRIPS AS A TNC VEHICLE;
 OR
   (VI) IS NOT AT LEAST NINETEEN YEARS OF AGE.
   (C) UPON REVIEW OF ALL INFORMATION RECEIVED AND RETAINED  BY  THE  TNC
 AND  UPON  VERIFYING THAT THE INDIVIDUAL IS NOT DISQUALIFIED PURSUANT TO
 THIS SECTION FROM RECEIVING A TNC DRIVER PERMIT, A TNC MAY ISSUE  A  TNC
 DRIVER  PERMIT  TO  THE  APPLICANT. THE TNC SHALL REVIEW ALL INFORMATION
 RECEIVED RELATING TO SUCH APPLICANT AND HOLD SUCH  INFORMATION  FOR  SIX
 YEARS  ALONG  WITH  A  CERTIFICATION  THAT  SUCH  APPLICANT QUALIFIES TO
 RECEIVE A TNC DRIVER PERMIT.
   (D) A TNC THAT ISSUES A TNC DRIVER'S PERMIT PURSUANT TO  THIS  SECTION
 SHALL  PARTICIPATE  IN  THE  NEW YORK LICENSE EVENT NOTIFICATION SERVICE
 (LENS) ESTABLISHED BY THE DEPARTMENT TO OBTAIN TIMELY NOTICE WHEN ANY OF
 THE FOLLOWING VIOLATIONS ARE ADDED TO A TNC DRIVER'S DRIVING RECORD:
   (I) UNLAWFULLY  FLEEING  A  POLICE  OFFICER  IN  A  MOTOR  VEHICLE  IN
 VIOLATION OF SECTIONS 270.25, 270.30 OR 270.35 OF THE PENAL LAW;
   (II) RECKLESS DRIVING IN VIOLATION OF SECTION ONE THOUSAND TWO HUNDRED
 TWELVE OF THIS CHAPTER;
   (III)  OPERATING WHILE LICENSE OR PRIVILEGE IS SUSPENDED OR REVOKED IN
 VIOLATION OF SECTION FIVE HUNDRED  ELEVEN  OF  THIS  CHAPTER,  EXCLUDING
 SUBDIVISION SEVEN OF SUCH SECTION;
   (IV) OPERATING A MOTOR VEHICLE UNDER THE INFLUENCE OF ALCOHOL OR DRUGS
 IN  VIOLATION  OF  SECTION  ONE  THOUSAND ONE HUNDRED NINETY-TWO OF THIS
 CHAPTER; AND
   (V) LEAVING THE SCENE OF AN INCIDENT WITHOUT REPORTING IN VIOLATION OF
 SUBDIVISION TWO OF SECTION SIX HUNDRED OF THIS CHAPTER.
   (E) THE NAME OF A TNC DRIVER ASSOCIATED WITH ENROLLMENT IN THE DEPART-
 MENT'S LENS REPORTING SYSTEM IS DESIGNATED CONFIDENTIAL WHETHER  OR  NOT
 SO  MARKED, IS NOT SUBJECT TO DISCLOSURE TO A THIRD PARTY BY THE DEPART-
 MENT WITHOUT PRIOR CONSENT OF THE TNC, AND  IS  EXEMPT  FROM  DISCLOSURE
 PURSUANT  TO  ARTICLE  SIX  OF  THE PUBLIC OFFICERS LAW. NOTHING IN THIS

 S. 2008                            24                            A. 3008
 
 SECTION SHALL BE CONSTRUED AS LIMITING THE APPLICABILITY  OF  ANY  OTHER
 EXEMPTIONS UNDER ARTICLE SIX OF THE PUBLIC OFFICERS LAW.
   (F)  NO  PERSON SHALL OPERATE A TNC VEHICLE OR OPERATE AS A TNC DRIVER
 UNLESS SUCH PERSON HOLDS A VALID TNC DRIVER PERMIT  ISSUED  PURSUANT  TO
 THIS  SECTION.  A VIOLATION OF THIS PARAGRAPH SHALL BE A TRAFFIC INFRAC-
 TION PUNISHABLE BY A FINE OF NOT LESS THAN SEVENTY-FIVE  NOR  MORE  THAN
 THREE  HUNDRED  DOLLARS,  OR  BY  IMPRISONMENT FOR NOT MORE THAN FIFTEEN
 DAYS, OR BY BOTH SUCH FINE AND IMPRISONMENT.
   2. A TNC SHALL IMPLEMENT A ZERO-TOLERANCE POLICY REGARDING A TNC DRIV-
 ER'S ACTIVITIES WHILE ACCESSING THE TNC'S DIGITAL NETWORK.  SUCH  POLICY
 SHALL  ADDRESS  THE  ISSUE OF OPERATING A VEHICLE UNDER THE INFLUENCE OF
 ALCOHOL OR DRUGS WHILE A TNC DRIVER IS PROVIDING TNC  PREARRANGED  TRIPS
 OR  IS  LOGGED  ONTO  THE TNC'S DIGITAL NETWORK BUT IS NOT PROVIDING TNC
 PREARRANGED TRIPS, AND THE TNC SHALL PROVIDE NOTICE OF  THIS  POLICY  ON
 ITS DIGITAL NETWORK, AS WELL AS PROCEDURES TO REPORT A COMPLAINT ABOUT A
 TNC  DRIVER  WITH WHOM A TNC PREARRANGED TRIP WAS COMMENCED AND WHOM THE
 PASSENGER REASONABLY SUSPECTS WAS OPERATING A VEHICLE UNDER  THE  INFLU-
 ENCE OF ALCOHOL OR DRUGS DURING THE COURSE OF THE TNC PREARRANGED TRIP.
   3.  (A)  A TNC SHALL ADOPT A POLICY OF NON-DISCRIMINATION ON THE BASIS
 OF DESTINATION, RACE, COLOR, NATIONAL ORIGIN, RELIGIOUS BELIEF, PRACTICE
 OR AFFILIATION, SEX, DISABILITY, AGE, SEXUAL ORIENTATION, GENDER IDENTI-
 TY, OR GENETIC PREDISPOSITION WITH RESPECT TO PASSENGERS  AND  POTENTIAL
 PASSENGERS AND NOTIFY TNC DRIVERS OF SUCH POLICY.
   (B)  TNC  DRIVERS SHALL COMPLY WITH ALL APPLICABLE LAWS REGARDING NON-
 DISCRIMINATION AGAINST PASSENGERS OR POTENTIAL PASSENGERS ON  THE  BASIS
 OF DESTINATION, RACE, COLOR, NATIONAL ORIGIN, RELIGIOUS BELIEF, PRACTICE
 OR AFFILIATION, SEX, DISABILITY, AGE, SEXUAL ORIENTATION, GENDER IDENTI-
 TY, OR GENETIC PREDISPOSITION.
   (C)  TNC  DRIVERS  SHALL  COMPLY  WITH ALL APPLICABLE LAWS RELATING TO
 ACCOMMODATION OF SERVICE ANIMALS.
   (D) A TNC SHALL IMPLEMENT AND MAINTAIN A POLICY OF PROVIDING  ACCESSI-
 BILITY  TO  PASSENGERS  OR  POTENTIAL  PASSENGERS  WITH A DISABILITY AND
 ACCOMMODATION OF SERVICE ANIMALS AS SUCH TERM IS DEFINED IN SECTION  ONE
 HUNDRED  TWENTY-THREE-B  OF THE AGRICULTURE AND MARKETS LAW AND SHALL TO
 THE EXTENT PRACTICABLE ADOPT FINDINGS ESTABLISHED BY THE NEW YORK  STATE
 TNC ACCESSIBILITY TASK FORCE ADOPTED PURSUANT TO SECTION EIGHTEEN OF THE
 CHAPTER  OF  THE LAWS OF TWO THOUSAND SEVENTEEN THAT ADDED THIS SECTION.
 A TNC SHALL NOT IMPOSE ADDITIONAL  CHARGES  FOR  PROVIDING  SERVICES  TO
 PERSONS WITH PHYSICAL DISABILITIES BECAUSE OF THOSE DISABILITIES.
   4.  A  TNC  SHALL  REQUIRE THAT ANY MOTOR VEHICLE(S) THAT A TNC DRIVER
 WILL USE AS A TNC VEHICLE TO PROVIDE TNC PREARRANGED TRIPS MEETS  APPLI-
 CABLE  NEW  YORK STATE VEHICLE SAFETY AND EMISSIONS REQUIREMENTS, AS SET
 FORTH IN SECTION THREE HUNDRED ONE OF THIS CHAPTER, OR THE VEHICLE SAFE-
 TY AND EMISSIONS REQUIREMENTS OF THE  STATE  IN  WHICH  THE  VEHICLE  IS
 REGISTERED.
   5. A TNC DRIVER SHALL DISPLAY A CONSISTENT AND DISTINCTIVE TRADE DRESS
 CONSISTING  OF  A  REMOVABLE  LOGO, INSIGNIA, OR EMBLEM AT ALL TIMES THE
 DRIVER IS PROVIDING TNC SERVICES. THE TRADE DRESS SHALL BE:
   (A) SUFFICIENTLY LARGE AND COLOR  CONTRASTED  SO  AS  TO  BE  READABLE
 DURING DAYLIGHT HOURS AT A DISTANCE OF FIFTY FEET; AND
   (B)  REFLECTIVE,  ILLUMINATED,  OR  OTHERWISE  PATENTLY VISIBLE IN THE
 DARKNESS.
   § 1697. MAINTENANCE OF RECORDS. A TNC  SHALL  MAINTAIN  THE  FOLLOWING
 RECORDS:
   1.  INDIVIDUAL  TRIP RECORDS FOR AT LEAST SIX YEARS FROM THE DATE EACH
 TRIP WAS PROVIDED; AND

 S. 2008                            25                            A. 3008

   2. INDIVIDUAL RECORDS OF TNC DRIVERS AT LEAST UNTIL THE SIX YEAR ANNI-
 VERSARY OF THE DATE ON WHICH A TNC DRIVER'S RELATIONSHIP  WITH  THE  TNC
 HAS ENDED.
   §  1698. AUDIT PROCEDURES; CONFIDENTIALITY OF RECORDS. 1. FOR THE SOLE
 PURPOSE OF VERIFYING THAT A TNC IS IN COMPLIANCE WITH  THE  REQUIREMENTS
 OF  THIS  ARTICLE  AND  NO  MORE  THAN  BIANNUALLY, THE DEPARTMENT SHALL
 RESERVE THE RIGHT TO VISUALLY INSPECT A SAMPLE OF RECORDS THAT  THE  TNC
 IS  REQUIRED  TO  MAINTAIN, UPON REQUEST BY THE DEPARTMENT THAT SHALL BE
 FULFILLED IN NO LESS THAN THIRTY BUSINESS DAYS BY THE  TNC.  THE  SAMPLE
 SHALL BE CHOSEN RANDOMLY BY THE DEPARTMENT IN A MANNER AGREEABLE TO BOTH
 PARTIES. THE AUDIT SHALL TAKE PLACE AT A MUTUALLY AGREED LOCATION IN NEW
 YORK.  ANY  RECORD  FURNISHED  TO THE DEPARTMENT MAY EXCLUDE INFORMATION
 THAT WOULD TEND TO IDENTIFY SPECIFIC DRIVERS OR PASSENGERS.
   2. (A) THE TNC SHALL  ESTABLISH  A  COMPLAINT  PROCEDURE  THAT  ALLOWS
 PASSENGERS  TO  FILE  COMPLAINTS WITH THE TNC THROUGH THE TNC'S WEBSITE,
 MOBILE APPLICATION, EMAIL ADDRESS, OR PHONE NUMBER.
   (B) THE TNC'S WEBSITE SHALL ALSO PROVIDE A PASSENGER  COMPLAINT  TELE-
 PHONE NUMBER AND/OR WEBSITE ADDRESS FOR THE DEPARTMENT, IF APPLICABLE.
   (C) IN RESPONSE TO A SPECIFIC COMPLAINT AGAINST ANY TNC DRIVER OR TNC,
 THE DEPARTMENT IS AUTHORIZED TO INSPECT RECORDS HELD BY THE TNC THAT ARE
 NECESSARY  TO  INVESTIGATE  AND RESOLVE THE COMPLAINT.   THE TNC AND THE
 DEPARTMENT SHALL ENDEAVOR TO HAVE THE INSPECTION TAKE PLACE AT A MUTUAL-
 LY AGREED LOCATION IN NEW YORK. ANY RECORD FURNISHED TO  THE  DEPARTMENT
 MAY  EXCLUDE INFORMATION THAT WOULD TEND TO IDENTIFY SPECIFIC DRIVERS OR
 PASSENGERS, UNLESS THE IDENTITY OF A DRIVER OR PASSENGER IS RELEVANT  TO
 THE COMPLAINT.
   (D)  ANY  RECORDS  INSPECTED  BY THE DEPARTMENT UNDER THIS SECTION ARE
 DESIGNATED CONFIDENTIAL, ARE NOT SUBJECT TO DISCLOSURE TO A THIRD  PARTY
 BY  THE DEPARTMENT WITHOUT PRIOR CONSENT OF THE TNC, AND ARE EXEMPT FROM
 DISCLOSURE UNDER ARTICLE SIX OF THE PUBLIC OFFICERS LAW. NOTHING IN THIS
 SECTION SHALL BE CONSTRUED AS LIMITING THE APPLICABILITY  OF  ANY  OTHER
 EXEMPTION UNDER ARTICLE SIX OF THE PUBLIC OFFICERS LAW.
   3.  THE  DEPARTMENT  SHALL  PROMULGATE  REGULATIONS  FOR THE FILING OF
 COMPLAINTS PURSUANT TO THIS SECTION.
   § 1699. CRIMINAL HISTORY BACKGROUND CHECK  OF  TRANSPORTATION  NETWORK
 COMPANY  DRIVERS.  1.  A TNC SHALL CONDUCT A CRIMINAL HISTORY BACKGROUND
 CHECK USING A LAWFUL METHOD APPROVED BY THE DEPARTMENT PURSUANT TO PARA-
 GRAPH (A) OF SUBDIVISION TWO OF THIS SECTION  FOR  PERSONS  APPLYING  TO
 DRIVE FOR SUCH COMPANY.
   2.  (A) THE METHOD USED TO CONDUCT A CRIMINAL HISTORY BACKGROUND CHECK
 PURSUANT TO SUBDIVISION ONE OF THIS  SECTION  SHALL  BE  ESTABLISHED  IN
 REGULATIONS  ADOPTED  BY THE DEPARTMENT WITHIN THIRTY DAYS OF THE EFFEC-
 TIVE DATE OF THIS SUBDIVISION.  SUCH  REGULATIONS  SHALL  ESTABLISH  THE
 METHOD  USED  TO  CONDUCT  SUCH  BACKGROUND CHECKS AND ANY PROCESSES AND
 OPERATIONS NECESSARY TO COMPLETE SUCH CHECKS.  THE  REVIEW  OF  CRIMINAL
 HISTORY INFORMATION AND DETERMINATIONS ABOUT WHETHER OR NOT AN APPLICANT
 IS ISSUED A TNC DRIVER PERMIT SHALL BE CONTROLLED BY PARAGRAPHS (B), (C)
 AND (D) OF THIS SUBDIVISION.
   (B)  AN APPLICANT SHALL BE DISQUALIFIED TO RECEIVE A TNC DRIVER PERMIT
 WHERE HE OR SHE:
   (I) STANDS CONVICTED IN THE LAST THREE YEARS OF:  UNLAWFUL  FLEEING  A
 POLICE  OFFICER  IN  A  MOTOR  VEHICLE  IN VIOLATION OF SECTIONS 270.35,
 270.30 OR 270.25 OF THE PENAL LAW,  RECKLESS  DRIVING  IN  VIOLATION  OF
 SECTION  TWELVE  HUNDRED TWELVE OF THIS CHAPTER, OPERATING WHILE LICENSE
 OR PRIVILEGE IS SUSPENDED  OR  REVOKED  IN  VIOLATION  OF  SECTION  FIVE
 HUNDRED  ELEVEN  OF  THIS  CHAPTER,  EXCLUDING SUBDIVISION SEVEN OF SUCH

 S. 2008                            26                            A. 3008
 
 SECTION, A MISDEMEANOR OFFENSE OF OPERATING A MOTOR VEHICLE WHILE  UNDER
 THE  INFLUENCE  OF ALCOHOL OR DRUGS IN VIOLATION OF SECTION ONE THOUSAND
 ONE HUNDRED NINETY-TWO OF THIS CHAPTER, OR LEAVING THE SCENE OF AN ACCI-
 DENT  IN  VIOLATION  OF  SUBDIVISION  TWO OF SECTION SIX HUNDRED OF THIS
 CHAPTER. IN CALCULATING THE THREE YEAR PERIOD UNDER  THIS  SUBPARAGRAPH,
 ANY  PERIOD  OF  TIME DURING WHICH THE PERSON WAS INCARCERATED AFTER THE
 COMMISSION OF SUCH OFFENSE SHALL BE EXCLUDED AND SUCH THREE YEAR  PERIOD
 SHALL  BE EXTENDED BY A PERIOD OR PERIODS EQUAL TO THE TIME SPENT INCAR-
 CERATED AND SHALL BE DETERMINED IN A MANNER CONSISTENT WITH  REGULATIONS
 ESTABLISHED BY THE DEPARTMENT; OR
   (II)  STANDS  CONVICTED  IN  THE  LAST  SEVEN  YEARS OF: A SEX OFFENSE
 DEFINED IN SUBDIVISION TWO OF SECTION ONE HUNDRED SIXTY-EIGHT-A  OF  THE
 CORRECTION  LAW, A FELONY OFFENSE DEFINED IN ARTICLE ONE HUNDRED TWENTY-
 FIVE OF THE PENAL LAW, A VIOLENT FELONY OFFENSE DEFINED IN SECTION 70.02
 OF THE PENAL LAW, A CLASS A FELONY OFFENSE DEFINED  IN  THE  PENAL  LAW,
 VEHICULAR  ASSAULT  AS  DEFINED IN SECTION 120.03, 120.04 OR 120.04-A OF
 THE PENAL LAW, A FELONY OFFENSE DEFINED IN SECTION ELEVEN HUNDRED  NINE-
 TY-TWO  OF  THIS  CHAPTER,  AN  OFFENSE  FOR WHICH REGISTRATION AS A SEX
 OFFENDER IS REQUIRED PURSUANT TO ARTICLE SIX-C OF THE CORRECTION LAW, OR
 ANY CONVICTION OF AN OFFENSE IN ANY OTHER JURISDICTION THAT HAS ALL  THE
 ESSENTIAL  ELEMENTS OF AN OFFENSE LISTED IN THIS SUBPARAGRAPH. IN CALCU-
 LATING THE SEVEN YEAR PERIOD UNDER THIS SUBPARAGRAPH, ANY PERIOD OF TIME
 DURING WHICH THE PERSON WAS INCARCERATED AFTER THE  COMMISSION  OF  SUCH
 OFFENSE  SHALL  BE EXCLUDED AND SUCH SEVEN YEAR PERIOD SHALL BE EXTENDED
 BY A PERIOD OR PERIODS EQUAL TO THE TIME SPENT INCARCERATED AND SHALL BE
 DETERMINED IN A MANNER CONSISTENT WITH REGULATIONS  ESTABLISHED  BY  THE
 DEPARTMENT.
   (C) A CRIMINAL HISTORY RECORD THAT CONTAINS CRIMINAL CONVICTION INFOR-
 MATION  THAT  DOES NOT DISQUALIFY AN APPLICANT PURSUANT TO SUBPARAGRAPHS
 (I) OR (II) OF PARAGRAPH (B) OF THIS SUBDIVISION, SHALL BE REVIEWED  AND
 CONSIDERED  ACCORDING TO THE PROVISIONS OF ARTICLE TWENTY-THREE-A OF THE
 CORRECTION LAW AND SUBDIVISIONS  FIFTEEN  AND  SIXTEEN  OF  SECTION  TWO
 HUNDRED  NINETY-SIX  OF  THE EXECUTIVE LAW IN DETERMINING WHETHER OR NOT
 THE APPLICANT SHOULD BE ISSUED A TNC DRIVER'S PERMIT.
   (D) UPON RECEIPT OF CRIMINAL CONVICTION INFORMATION PURSUANT  TO  THIS
 SECTION  FOR  ANY  APPLICANT,  SUCH APPLICANT SHALL PROMPTLY BE PROVIDED
 WITH A COPY OF SUCH INFORMATION AS WELL AS A  COPY  OF  ARTICLE  TWENTY-
 THREE-A  OF THE CORRECTION LAW. SUCH APPLICANT SHALL ALSO BE INFORMED OF
 HIS OR HER  RIGHT  TO  SEEK  CORRECTION  OF  ANY  INCORRECT  INFORMATION
 CONTAINED  IN  SUCH  CRIMINAL  HISTORY INFORMATION PURSUANT TO THE REGU-
 LATIONS AND PROCEDURES ESTABLISHED BY THE DIVISION OF  CRIMINAL  JUSTICE
 SERVICES.
   (E)  THE  DEPARTMENT  SHALL PROMULGATE REGULATIONS CONSISTENT WITH THE
 PROVISIONS OF THIS SUBDIVISION.
   3. A TNC SHALL UPDATE THE CRIMINAL  HISTORY  BACKGROUND  CHECK  YEARLY
 DURING  THE  PERIOD  IN  WHICH THE PERSON IS AUTHORIZED TO DRIVE FOR THE
 COMPANY, HOWEVER, THE COMMISSIONER MAY REQUIRE, PURSUANT TO  REGULATION,
 MORE FREQUENT CRIMINAL HISTORY BACKGROUND CHECKS.
   4.  A TNC SHALL BE RESPONSIBLE FOR ALL FEES ASSOCIATED WITH THE CRIMI-
 NAL HISTORY CHECK PURSUANT TO SUBDIVISION ONE OF THIS SECTION.
   5. ANY TNC FOUND TO HAVE  NEGLIGENTLY,  RECKLESSLY,  OR  INTENTIONALLY
 VIOLATED ANY REQUIREMENTS ESTABLISHED PURSUANT TO THIS SECTION, SHALL ON
 THE  FIRST  INSTANCE, BE SUBJECT TO A CIVIL PENALTY OF NOT MORE THAN TEN
 THOUSAND DOLLARS. FOR ANY SUBSEQUENT INSTANCE WITHIN THE PERIOD  OF  TWO
 YEARS  FROM  ANY INITIAL VIOLATION, SUCH TNC SHALL BE SUBJECT TO A CIVIL

 S. 2008                            27                            A. 3008
 
 PENALTY OF NOT MORE THAN FIFTY THOUSAND DOLLARS, OR  THE  SUSPENSION  OR
 REVOCATION OF ITS TNC LICENSE OR BOTH.
   §  1700. CONTROLLING AUTHORITY. 1. NOTWITHSTANDING ANY OTHER PROVISION
 OF LAW, THE REGULATION OF TNCS AND TNC DRIVERS IS  GOVERNED  EXCLUSIVELY
 BY  THE  PROVISIONS OF THE CHAPTER OF THE LAWS OF TWO THOUSAND SEVENTEEN
 WHICH ADDED THIS SECTION AND ANY RULES PROMULGATED BY THE STATE  THROUGH
 ITS  AGENCIES  CONSISTENT  WITH  SUCH  CHAPTER. NO COUNTY, TOWN, CITY OR
 VILLAGE MAY ENACT A TAX OR ANY FEE OR OTHER SURCHARGE ON A  TNC,  A  TNC
 DRIVER,  OR  A  TNC  VEHICLE  USED BY A TNC DRIVER OR REQUIRE A LICENSE,
 PERMIT, OR ADDITIONAL INSURANCE COVERAGE OR  ANY  OTHER  LIMITATIONS  OR
 RESTRICTIONS,  WHERE  SUCH  FEE,  SURCHARGE,  UNAUTHORIZED TAX, LICENSE,
 PERMIT, INSURANCE COVERAGE, LIMITATION OR RESTRICTION, RELATES TO FACIL-
 ITATING OR PROVIDING TNC PREARRANGED TRIPS, OR SUBJECTS  A  TNC,  A  TNC
 DRIVER,  OR  A TNC VEHICLE USED BY A TNC DRIVER TO OPERATIONAL, OR OTHER
 REQUIREMENTS.
   2. NOTHING IN THIS ARTICLE SHALL AUTHORIZE ANY TNC DRIVER TO PICK-UP A
 PASSENGER FOR PURPOSES OF A TNC PREARRANGED TRIP IN A CITY WITH A  POPU-
 LATION OF ONE MILLION OR MORE.
   3.  NOTHING  IN THIS ARTICLE SHALL: (A) LIMIT THE ABILITY OF A COUNTY,
 TOWN, CITY OR VILLAGE TO ADOPT OR AMEND GENERALLY APPLICABLE LIMITATIONS
 OR RESTRICTIONS RELATING TO LOCAL TRAFFIC OR PARKING CONTROL AS  AUTHOR-
 IZED BY STATE LAW; OR (B) TO PREEMPT ANY RECIPROCITY AGREEMENTS, INCLUD-
 ING  AGREEMENTS  ENTERED  INTO  PURSUANT TO SECTION FOUR HUNDRED NINETY-
 EIGHT OF THIS CHAPTER, BETWEEN A COUNTY,  TOWN,  CITY  OR  VILLAGE  THAT
 RELATES  TO  SERVICES REGULATED BY SECTION ONE HUNDRED EIGHTY-ONE OF THE
 GENERAL MUNICIPAL LAW.
   § 3. Section 370 of the vehicle and traffic law is amended by adding a
 new subdivision 8 to read as follows:
   8. NOTWITHSTANDING ANY OTHER PROVISION OF THIS ARTICLE, AN  INDIVIDUAL
 SHALL  NOT BE DEEMED TO BE ENGAGED IN THE BUSINESS OF CARRYING OR TRANS-
 PORTING PASSENGERS FOR HIRE IF THE INDIVIDUAL DOES SO SOLELY AS A TRANS-
 PORTATION NETWORK COMPANY DRIVER IN ACCORDANCE WITH ARTICLE FORTY-FOUR-B
 OF THIS CHAPTER.
   § 4. Subdivision 1 of section 312-a of the vehicle and traffic law, as
 amended by chapter 781 of the laws  of  1983,  is  amended  to  read  as
 follows:
   1.  Upon issuance of an owner's policy of liability insurance or other
 financial security required by this chapter OR THE ARTICLE  FORTY-FOUR-B
 OF THIS CHAPTER, an insurer shall issue proof of insurance in accordance
 with  the  regulations promulgated by the commissioner pursuant to para-
 graph (b) of subdivision two of section three hundred thirteen  of  this
 article.
   § 5. Section 600 of the vehicle and traffic law, as amended by chapter
 49 of the laws of 2005, is amended to read as follows:
   § 600. Leaving  scene  of  an  incident without reporting. 1. Property
 damage. a. Any person operating a motor vehicle who, knowing  or  having
 cause to know that damage has been caused to the real property or to the
 personal property, not including animals, of another, due to an incident
 involving  the motor vehicle operated by such person shall, before leav-
 ing the place where the  damage  occurred,  stop,  exhibit  his  or  her
 license  and  insurance  identification card for such vehicle, when such
 card is required pursuant to articles six and eight of this chapter, and
 give his or her name, residence, including street and number,  insurance
 carrier  and  insurance  identification  information  including  but not
 limited to the number and effective dates of said individual's insurance
 policy, and license number to the party sustaining  the  damage,  or  in

 S. 2008                            28                            A. 3008
 
 case  the person sustaining the damage is not present at the place where
 the damage occurred then he or she shall report  the  same  as  soon  as
 physically  able to the nearest police station, or judicial officer.  IN
 ADDITION  TO  THE FOREGOING, ANY SUCH PERSON SHALL ALSO: (I) PRODUCE THE
 PROOF OF INSURANCE COVERAGE REQUIRED PURSUANT TO ARTICLE FORTY-FOUR-B OF
 THIS CHAPTER IF SUCH PERSON IS A TNC  DRIVER  OPERATING  A  TNC  VEHICLE
 WHILE  THE  INCIDENT  OCCURRED WHO WAS EITHER (A) LOGGED ON TO THE TNC'S
 DIGITAL NETWORK AND AVAILABLE TO RECEIVE TRANSPORTATION REQUESTS BUT NOT
 ENGAGED IN A TNC PREARRANGED TRIP OR (B) WAS  LOGGED  ON  TO  THE  TNC'S
 DIGITAL  NETWORK  AND  WAS  ENGAGED  IN A TNC PREARRANGED TRIP; AND (II)
 DISCLOSE WHETHER HE OR SHE, AT THE  TIME  SUCH  INCIDENT  OCCURRED,  WAS
 EITHER  (A)  LOGGED  ON  TO  THE  TNC'S DIGITAL NETWORK AND AVAILABLE TO
 RECEIVE TRANSPORTATION REQUESTS BUT NOT ENGAGED  IN  A  TNC  PREARRANGED
 TRIP  OR  (B) WAS LOGGED ON TO THE TNC'S DIGITAL NETWORK AND WAS ENGAGED
 IN A TNC PREARRANGED TRIP.
   b. It shall be the duty of any member of a law enforcement agency  who
 is  at  the scene of the accident to request the said operator or opera-
 tors of the motor vehicles, when physically  capable  of  doing  so,  to
 exchange  the  information required hereinabove and such member of a law
 enforcement agency shall assist such operator  or  operators  in  making
 such exchange of information in a reasonable and harmonious manner.
   A violation of the provisions of paragraph a of this subdivision shall
 constitute  a  traffic  infraction  punishable  by  a  fine of up to two
 hundred fifty dollars or a sentence of imprisonment for  up  to  fifteen
 days or both such fine and imprisonment.
   2.  Personal  injury.    a.  Any person operating a motor vehicle who,
 knowing or having cause to know that personal injury has been caused  to
 another  person, due to an incident involving the motor vehicle operated
 by such person shall, before leaving the place where the  said  personal
 injury  occurred,  stop,  exhibit his or her license and insurance iden-
 tification card for such vehicle, when such card is required pursuant to
 articles six and eight of this chapter, and give his or her name,  resi-
 dence,  including street and street number, insurance carrier and insur-
 ance identification information including but not limited to the  number
 and  effective  dates  of said individual's insurance policy and license
 number, to the injured party, if practical, and also to a  police  offi-
 cer,  or  in  the event that no police officer is in the vicinity of the
 place of said injury, then, he or she shall report said incident as soon
 as physically able to the nearest police station  or  judicial  officer.
 IN  ADDITION  TO  THE FOREGOING, ANY SUCH PERSON SHALL ALSO: (I) PRODUCE
 THE  PROOF  OF  INSURANCE  COVERAGE   REQUIRED   PURSUANT   TO   ARTICLE
 FORTY-FOUR-B  OF THIS CHAPTER IF SUCH PERSON IS A TNC DRIVER OPERATING A
 TNC VEHICLE AT THE TIME OF THE INCIDENT WHO WAS EITHER (A) LOGGED ON  TO
 THE  TNC'S  DIGITAL  NETWORK  AND  AVAILABLE  TO  RECEIVE TRANSPORTATION
 REQUESTS BUT NOT ENGAGED IN A TNC PREARRANGED TRIP OR (B) WAS LOGGED  ON
 TO  THE TNC'S DIGITAL NETWORK AND WAS ENGAGED IN A TNC PREARRANGED TRIP;
 AND (II) DISCLOSE WHETHER HE OR SHE, AT THE TIME SUCH INCIDENT OCCURRED,
 WAS EITHER (A) LOGGED ON TO THE TNC'S DIGITAL NETWORK AND  AVAILABLE  TO
 RECEIVE  TRANSPORTATION  REQUESTS  BUT  NOT ENGAGED IN A TNC PREARRANGED
 TRIP OR (B) WAS LOGGED ON TO THE TNC'S DIGITAL NETWORK AND  WAS  ENGAGED
 IN A TNC PREARRANGED TRIP.
   b.  It shall be the duty of any member of a law enforcement agency who
 is at the scene of the accident to request the said operator  or  opera-
 tors  of  the  motor  vehicles,  when physically capable of doing so, to
 exchange the information required hereinabove and such member of  a  law

 S. 2008                            29                            A. 3008
 
 enforcement  agency  shall  assist  such operator or operators in making
 such exchange of information in a reasonable and harmonious manner.
   c.  A  violation  of the provisions of paragraph a of this subdivision
 resulting solely from the failure of an operator to exhibit his  or  her
 license  and  insurance  identification card for the vehicle or exchange
 the information required in such paragraph shall constitute  a  class  B
 misdemeanor  punishable by a fine of not less than two hundred fifty nor
 more than five hundred  dollars  in  addition  to  any  other  penalties
 provided  by law. Any subsequent such violation shall constitute a class
 A misdemeanor punishable by a fine of not less  than  five  hundred  nor
 more  than  one  thousand  dollars  in  addition  to any other penalties
 provided by law. Any violation of the provisions of paragraph a of  this
 subdivision,  other  than for the mere failure of an operator to exhibit
 his or her license and insurance identification card for such vehicle or
 exchange the information required in such paragraph, shall constitute  a
 class  A misdemeanor, punishable by a fine of not less than five hundred
 dollars nor more than one thousand dollars  in  addition  to  any  other
 penalties  provided  by  law.  Any  such violation committed by a person
 after such person has previously been  convicted  of  such  a  violation
 shall constitute a class E felony, punishable by a fine of not less than
 one thousand nor more than two thousand five hundred dollars in addition
 to  any other penalties provided by law. Any violation of the provisions
 of paragraph a of this subdivision, other than for the mere  failure  of
 an  operator  to exhibit his or her license and insurance identification
 card for such vehicle or exchange the information required in such para-
 graph, where the personal injury involved (i) results in  serious  phys-
 ical injury, as defined in section 10.00 of the penal law, shall consti-
 tute  a  class  E  felony,  punishable  by  a  fine of not less than one
 thousand nor more than five thousand dollars in addition  to  any  other
 penalties  provided  by law, or (ii) results in death shall constitute a
 class D felony punishable by a fine of not less than  two  thousand  nor
 more  than  five  thousand  dollars  in  addition to any other penalties
 provided by law.
   3. FOR THE PURPOSES OF THIS ARTICLE, THE TERMS  "TNC",  "TNC  DRIVER",
 "TNC  VEHICLE",  "TNC PREARRANGED TRIP" AND "DIGITAL NETWORK" SHALL HAVE
 THE SAME MEANINGS AS SUCH TERMS ARE DEFINED IN ARTICLE  FORTY-FOUR-B  OF
 THIS CHAPTER.
   § 5-a. Section 601 of the vehicle and traffic law, as amended by chap-
 ter 672 of the laws of 2004, is amended to read as follows:
   §  601.  Leaving scene of injury to certain animals without reporting.
 Any person operating a motor vehicle which shall strike and  injure  any
 horse,  dog,  cat or animal classified as cattle shall stop and endeavor
 to locate the owner or custodian of such animal or a  police,  peace  or
 judicial  officer  of  the  vicinity,  and take any other reasonable and
 appropriate action so that the animal may have necessary attention,  and
 shall  also promptly report the matter to such owner, custodian or offi-
 cer (or if no one of such has been located, then to a police officer  of
 some  other  nearby community), exhibiting his or her license and insur-
 ance identification card for such vehicle, when such  card  is  required
 pursuant  to  articles  six and eight of this chapter, giving his or her
 name and residence, including street and street number, insurance carri-
 er and insurance identification information and license number. IN ADDI-
 TION TO THE FOREGOING, ANY SUCH PERSON SHALL ALSO: (I) PRODUCE THE PROOF
 OF INSURANCE COVERAGE REQUIRED PURSUANT TO ARTICLE FORTY-FOUR-B OF  THIS
 CHAPTER  IS  SUCH  PERSON IS A TNC DRIVER OPERATING A TNC VEHICLE AT THE
 TIME OF THE INCIDENT WHO WAS EITHER (A) LOGGED ON TO THE  TNC'S  DIGITAL

 S. 2008                            30                            A. 3008
 
 NETWORK AND AVAILABLE TO RECEIVE TRANSPORTATION REQUESTS BUT NOT ENGAGED
 IN  A  TNC  PREARRANGED  TRIP  OR (B) WAS LOGGED ON TO THE TNC'S DIGITAL
 NETWORK AND WAS ENGAGED IN A TNC  PREARRANGED  TRIP  AND  (II)  DISCLOSE
 WHETHER  HE  OR  SHE, AT THE TIME SUCH INCIDENT OCCURRED, WAS EITHER (A)
 LOGGED ON TO THE TNC'S DIGITAL NETWORK AND AVAILABLE TO  RECEIVE  TRANS-
 PORTATION  REQUESTS BUT NOT ENGAGED IN A TNC PREARRANGED TRIP OR (B) WAS
 LOGGED ON TO THE TNC'S DIGITAL NETWORK AND WAS ENGAGED IN A  TNC  PREAR-
 RANGED  TRIP. Violation of this section shall be punishable by a fine of
 not more than one hundred dollars for a first offense and by a  fine  of
 not less than fifty nor more than one hundred fifty dollars for a second
 offense  and each subsequent offense; provided, however where the animal
 that has been struck and injured is a guide dog, hearing dog or  service
 dog,  as  such  terms  are defined in section forty-seven-b of the civil
 rights law which is actually engaged in aiding or guiding a person  with
 a disability, a violation of this section shall be [publishable] PUNISH-
 ABLE  by  a  fine of not less than fifty nor more than one hundred fifty
 dollars for a first offense and by a fine of not less than  one  hundred
 fifty  dollars  nor more than three hundred dollars for a second offense
 and each subsequent offense.
   § 6. The insurance law is amended by adding a new section 3455 to read
 as follows:
   § 3455. TRANSPORTATION NETWORK COMPANY GROUP INSURANCE POLICIES.   (A)
 FOR PURPOSES OF THIS SECTION, THE FOLLOWING DEFINITIONS SHALL APPLY:
   (1)  "TRANSPORTATION  NETWORK  COMPANY" SHALL HAVE THE SAME MEANING AS
 SET FORTH IN ARTICLE FORTY-FOUR-B OF THE VEHICLE AND TRAFFIC LAW.
   (2) "CERTIFICATE" OR "CERTIFICATE  OF  INSURANCE"  MEANS  ANY  POLICY,
 CONTRACT  OR OTHER EVIDENCE OF INSURANCE, OR ENDORSEMENT THERETO, ISSUED
 TO A GROUP MEMBER UNDER A TRANSPORTATION NETWORK COMPANY GROUP POLICY.
   (3) "TRANSPORTATION NETWORK COMPANY GROUP POLICY"  OR  "GROUP  POLICY"
 MEANS  A  GROUP  POLICY,  INCLUDING  CERTIFICATES  ISSUED  TO  THE GROUP
 MEMBERS, WHERE THE GROUP POLICYHOLDER IS A TRANSPORTATION NETWORK COMPA-
 NY AND THE POLICY  PROVIDES  INSURANCE  TO  THE  TRANSPORTATION  NETWORK
 COMPANY AND TO GROUP MEMBERS:
   (A) IN ACCORDANCE WITH THE REQUIREMENTS OF ARTICLE FORTY-FOUR-B OF THE
 VEHICLE AND TRAFFIC LAW;
   (B) OF THE TYPE DESCRIBED IN PARAGRAPH THIRTEEN, FOURTEEN, OR NINETEEN
 OF  SUBSECTION  (A) OF SECTION ONE THOUSAND ONE HUNDRED THIRTEEN OF THIS
 CHAPTER; AND
   (C) IN SATISFACTION OF THE FINANCIAL RESPONSIBILITY  REQUIREMENTS  SET
 FORTH  IN  SECTION  THREE  THOUSAND FOUR HUNDRED TWENTY OF THIS ARTICLE,
 SUBDIVISION FOUR OF SECTION THREE HUNDRED  ELEVEN  OF  THE  VEHICLE  AND
 TRAFFIC  LAW, ARTICLE FIFTY-ONE OF THIS CHAPTER, AND SUCH OTHER REQUIRE-
 MENTS OR REGULATIONS THAT MAY APPLY FOR THE PURPOSES OF  SATISFYING  THE
 FINANCIAL  RESPONSIBILITY REQUIREMENTS WITH RESPECT TO THE USE OR OPERA-
 TION OF A MOTOR VEHICLE.
   (4) "GROUP MEMBER" MEANS A TRANSPORTATION NETWORK  COMPANY  DRIVER  AS
 DEFINED IN ARTICLE FORTY-FOUR-B OF THE VEHICLE AND TRAFFIC LAW.
   (5) "GROUP POLICYHOLDER" MEANS A TRANSPORTATION NETWORK COMPANY.
   (6)  "TNC  VEHICLE" SHALL HAVE THE MEANING SET FORTH IN ARTICLE FORTY-
 FOUR-B OF THE VEHICLE AND TRAFFIC LAW.
   (B) AN INSURER MAY ISSUE OR ISSUE FOR DELIVERY IN THIS STATE A  TRANS-
 PORTATION  NETWORK  COMPANY  GROUP  POLICY  TO  A TRANSPORTATION NETWORK
 COMPANY AS A GROUP POLICYHOLDER ONLY IN ACCORDANCE WITH  THE  PROVISIONS
 OF THIS SECTION.

 S. 2008                            31                            A. 3008
 
   (C)(1)  A  TRANSPORTATION  NETWORK  COMPANY GROUP POLICY SHALL PROVIDE
 COVERAGE FOR A TNC VEHICLE IN ACCORDANCE WITH THE REQUIREMENTS OF  ARTI-
 CLE FORTY-FOUR-B OF THE VEHICLE AND TRAFFIC LAW.
   (2) A TRANSPORTATION NETWORK COMPANY GROUP POLICY MAY PROVIDE:
   (A) COVERAGE FOR LIMITS HIGHER THAN THE MINIMUM LIMITS REQUIRED PURSU-
 ANT TO ARTICLE FORTY-FOUR-B OF THE VEHICLE AND TRAFFIC LAW.
   (B) SUPPLEMENTARY UNINSURED/UNDERINSURED MOTORISTS INSURANCE FOR BODI-
 LY  INJURY  PURSUANT TO PARAGRAPH TWO OF SUBSECTION (F) OF SECTION THREE
 THOUSAND FOUR HUNDRED TWENTY OF THIS ARTICLE;
   (C) SUPPLEMENTAL SPOUSAL LIABILITY INSURANCE  PURSUANT  TO  SUBSECTION
 (G) OF SECTION THREE THOUSAND FOUR HUNDRED TWENTY OF THIS CHAPTER; AND
   (D)  MOTOR  VEHICLE PHYSICAL DAMAGE COVERAGE AS DESCRIBED IN PARAGRAPH
 NINETEEN OF SUBSECTION (A) OF SECTION ONE THOUSAND ONE HUNDRED  THIRTEEN
 OF THIS CHAPTER.
   (3)  THE  COVERAGE  DESCRIBED  IN  PARAGRAPHS  ONE  AND  TWO  OF  THIS
 SUBSECTION MAY BE PROVIDED IN ONE GROUP  POLICY  OR  IN  SEPARATE  GROUP
 POLICIES.
   (4)  A  TRANSPORTATION NETWORK COMPANY GROUP POLICY, INCLUDING CERTIF-
 ICATES, SHALL BE ISSUED BY  AUTHORIZED  INSURERS  OR  FROM  EXCESS  LINE
 BROKERS  PURSUANT TO SECTION SIXTEEN HUNDRED NINETY-THREE OF THE VEHICLE
 AND TRAFFIC LAW.
   (5) A POLICYHOLDER ALSO MAY BE AN INSURED UNDER A GROUP POLICY.
   (D) THE PREMIUM FOR THE TRANSPORTATION NETWORK COMPANY  GROUP  POLICY,
 INCLUDING  CERTIFICATES  MAY  BE PAID BY THE GROUP POLICYHOLDER FROM THE
 FUNDS CONTRIBUTED:
   (1) WHOLLY BY THE GROUP POLICYHOLDER;
   (2) WHOLLY BY THE GROUP MEMBERS; OR
   (3) JOINTLY BY THE GROUP POLICYHOLDER AND THE GROUP MEMBERS.
   (E) (1) ANY POLICY DIVIDEND, RETROSPECTIVE PREMIUM CREDIT,  OR  RETRO-
 SPECTIVE PREMIUM REFUND IN RESPECT OF PREMIUMS PAID BY THE GROUP POLICY-
 HOLDER MAY:
   (A) BE APPLIED TO REDUCE THE PREMIUM CONTRIBUTION OF THE GROUP POLICY-
 HOLDER, BUT NOT IN EXCESS OF THE PROPORTION TO ITS CONTRIBUTION; OR
   (B) BE RETAINED BY THE GROUP POLICYHOLDER.
   (2)  ANY  POLICY DIVIDEND, RETROSPECTIVE PREMIUM CREDIT, OR RETROSPEC-
 TIVE  PREMIUM  REFUND  NOT  DISTRIBUTED  UNDER  PARAGRAPH  ONE  OF  THIS
 SUBSECTION SHALL BE:
   (A)  APPLIED  TO  REDUCE  FUTURE  PREMIUMS  AND,  ACCORDINGLY,  FUTURE
 CONTRIBUTIONS, OF EXISTING OR FUTURE GROUP MEMBERS, OR BOTH; OR
   (B) PAID OR REFUNDED TO THOSE GROUP MEMBERS INSURED ON  THE  DATE  THE
 PAYMENT  OR  REFUND IS MADE TO THE GROUP POLICYHOLDER, IF DISTRIBUTED BY
 THE GROUP POLICYHOLDER, OR  ON  THE  DATE  OF  MAILING,  IF  DISTRIBUTED
 DIRECTLY BY THE INSURER, SUBJECT TO THE FOLLOWING REQUIREMENTS:
   (I) THE INSURER SHALL BE RESPONSIBLE FOR DETERMINING THE ALLOCATION OF
 THE PAYMENT OF REFUND TO THE GROUP MEMBERS;
   (II)  IF THE GROUP POLICYHOLDER DISTRIBUTES THE PAYMENT OR REFUND, THE
 INSURER SHALL BE RESPONSIBLE FOR AUDIT TO ASCERTAIN THAT THE PAYMENT  OR
 REFUND IS ACTUALLY MADE IN ACCORDANCE WITH THE ALLOCATION PROCEDURE; AND
   (III)  IF  THE GROUP POLICYHOLDER FAILS TO MAKE THE PAYMENT OR REFUND,
 THE INSURER SHALL MAKE THE PAYMENT OR REFUND DIRECTLY OR USE THE  METHOD
 PROVIDED IN SUBPARAGRAPH (A) OF THIS PARAGRAPH.
   (3)  NOTWITHSTANDING  PARAGRAPHS  ONE AND TWO OF THIS SUBSECTION, IF A
 DIVIDEND ACCRUES UPON TERMINATION OF  COVERAGE  UNDER  A  TRANSPORTATION
 NETWORK  COMPANY  GROUP  POLICY,  THE  PREMIUM FOR WHICH WAS PAID OUT OF
 FUNDS CONTRIBUTED BY GROUP MEMBERS SPECIFICALLY FOR  THE  COVERAGE,  THE
 DIVIDEND  SHALL  BE  PAID  OR  REFUNDED BY THE GROUP POLICYHOLDER TO THE

 S. 2008                            32                            A. 3008
 
 GROUP MEMBERS INSURED ON THE DATE THE PAYMENT OR REFUND IS MADE  TO  THE
 GROUP  POLICYHOLDER,  NET  OF  REASONABLE EXPENSES INCURRED BY THE GROUP
 POLICYHOLDER IN PAYING OR REFUNDING THE DIVIDEND TO SUCH GROUP MEMBERS.
   (4)  FOR THE PURPOSES OF THIS SUBSECTION, "DIVIDEND" MEANS A RETURN BY
 THE INSURER OF A TRANSPORTATION NETWORK COMPANY GROUP POLICY  OF  EXCESS
 PREMIUMS  TO  THE  GROUP POLICYHOLDER IN LIGHT OF FAVORABLE LOSS EXPERI-
 ENCE, INCLUDING RETROSPECTIVE PREMIUM CREDITS OR  RETROSPECTIVE  PREMIUM
 REFUNDS.  THE  TERM  "DIVIDEND"  DOES NOT INCLUDE REIMBURSEMENTS OR FEES
 RECEIVED BY A GROUP POLICYHOLDER IN CONNECTION  WITH  THE  OPERATION  OR
 ADMINISTRATION OF A TRANSPORTATION NETWORK COMPANY GROUP POLICY, INCLUD-
 ING  ADMINISTRATIVE  REIMBURSEMENTS,  FEES  FOR SERVICES PROVIDED BY THE
 GROUP POLICYHOLDER, OR TRANSACTIONAL SERVICE FEES.
   (F) THE INSURER SHALL TREAT IN LIKE MANNER ALL ELIGIBLE GROUP  MEMBERS
 OF THE SAME CLASS AND STATUS.
   (G)  EACH  POLICY  WRITTEN  PURSUANT TO THIS SECTION SHALL PROVIDE PER
 OCCURRENCE LIMITS OF COVERAGE FOR EACH GROUP MEMBER  IN  AN  AMOUNT  NOT
 LESS  THAN  THAT  REQUIRED BY THIS ARTICLE, AND MAY PROVIDE COVERAGE FOR
 LIMITS HIGHER THAN THE MINIMUM LIMITS REQUIRED UNDER THE LAW.
   (H) (1) THE INSURER SHALL BE RESPONSIBLE FOR MAILING OR DELIVERY OF  A
 CERTIFICATE  OF  INSURANCE TO EACH GROUP MEMBER INSURED UNDER THE TRANS-
 PORTATION NETWORK COMPANY GROUP  POLICY,  PROVIDED,  HOWEVER,  THAT  THE
 INSURER  MAY  DELEGATE  THE  MAILING  OR  DELIVERY TO THE TRANSPORTATION
 NETWORK COMPANY. THE INSURER SHALL ALSO BE RESPONSIBLE FOR  THE  MAILING
 OR  DELIVERY TO EACH GROUP MEMBER OF AN AMENDED CERTIFICATE OF INSURANCE
 OR ENDORSEMENT TO THE CERTIFICATE, WHENEVER THERE IS A CHANGE IN LIMITS;
 CHANGE IN TYPE OF  COVERAGE;  ADDITION,  REDUCTION,  OR  ELIMINATION  OF
 COVERAGE;  OR  ADDITION  OF  EXCLUSION, UNDER THE TRANSPORTATION NETWORK
 COMPANY GROUP POLICY OR CERTIFICATE IF SUCH  CHANGE  MATERIALLY  AFFECTS
 THE COVERAGE AVAILABLE TO SUCH GROUP MEMBER.
   (2)  THE CERTIFICATE SHALL CONTAIN IN SUBSTANCE ALL MATERIAL TERMS AND
 CONDITIONS OF COVERAGE AFFORDED TO GROUP MEMBERS, UNLESS THE TRANSPORTA-
 TION NETWORK COMPANY GROUP POLICY IS INCORPORATED  BY  REFERENCE  AND  A
 COPY OF THE GROUP POLICY ACCOMPANIES THE CERTIFICATE.
   (3) IF ANY COVERAGE AFFORDED TO THE GROUP MEMBER IS EXCESS OF APPLICA-
 BLE  INSURANCE COVERAGE, THE CERTIFICATE SHALL CONTAIN A NOTICE ADVISING
 THE GROUP MEMBERS THAT, IF THE  MEMBER  HAS  OTHER  INSURANCE  COVERAGE,
 SPECIFIED COVERAGES UNDER THE TRANSPORTATION NETWORK COMPANY GROUP POLI-
 CY WILL BE EXCESS OVER THE OTHER INSURANCE.
   (I)  A  GROUP POLICYHOLDER SHALL COMPLY WITH THE PROVISIONS OF SECTION
 TWO THOUSAND ONE HUNDRED TWENTY-TWO OF THIS CHAPTER, IN THE SAME  MANNER
 AS  AN  AGENT OR BROKER, IN ANY ADVERTISEMENT, SIGN, PAMPHLET, CIRCULAR,
 CARD, OR OTHER PUBLIC ANNOUNCEMENT REFERRING TO COVERAGE UNDER A  TRANS-
 PORTATION NETWORK COMPANY GROUP POLICY OR CERTIFICATE.
   (J) A TRANSPORTATION NETWORK COMPANY GROUP POLICY SHALL NOT BE SUBJECT
 TO  SECTION  THREE  THOUSAND  FOUR  HUNDRED TWENTY-FIVE OR SECTION THREE
 THOUSAND FOUR HUNDRED TWENTY-SIX OF  THIS  ARTICLE;  PROVIDED  THAT  THE
 FOLLOWING  REQUIREMENTS SHALL APPLY WITH REGARD TO TERMINATION OF COVER-
 AGE:
   (1)(A) AN INSURER MAY TERMINATE A GROUP POLICY OR CERTIFICATE ONLY  IF
 CANCELLATION IS BASED ON ONE OR MORE OF THE REASONS SET FORTH IN SUBPAR-
 AGRAPH (A) THROUGH (D) OR (F) THROUGH (H) OF PARAGRAPH ONE OF SUBSECTION
 (C)  OF  SECTION THREE THOUSAND FOUR HUNDRED TWENTY-SIX OF THIS ARTICLE;
 PROVIDED, HOWEVER, THAT AN ACT OR OMISSION BY A GROUP MEMBER THAT  WOULD
 CONSTITUTE THE BASIS FOR CANCELLATION OF AN INDIVIDUAL CERTIFICATE SHALL
 NOT CONSTITUTE THE BASIS FOR CANCELLATION OF THE GROUP POLICY.

 S. 2008                            33                            A. 3008
 
   (B)  WHERE THE PREMIUM IS DERIVED WHOLLY FROM FUNDS CONTRIBUTED BY THE
 GROUP POLICYHOLDER, AN INSURER MAY CANCEL AN INDIVIDUAL CERTIFICATE ONLY
 IF CANCELLATION IS BASED ON ONE OR MORE OF  THE  REASONS  SET  FORTH  IN
 SUBPARAGRAPH  (B),  (C)  OR  (H)  OF  PARAGRAPH ONE OF SUBSECTION (C) OF
 SECTION THREE THOUSAND FOUR HUNDRED TWENTY-SIX OF THIS ARTICLE.
   (2)  (A)  AN  INSURER'S  CANCELLATION OF A GROUP POLICY, INCLUDING ALL
 CERTIFICATES, SHALL NOT BECOME EFFECTIVE UNTIL  THIRTY  DAYS  AFTER  THE
 INSURER  MAILS  OR  DELIVERS WRITTEN NOTICE OF CANCELLATION TO THE GROUP
 POLICYHOLDER AT THE MAILING ADDRESS SHOWN IN THE POLICY.
   (I) WHERE ALL OR PART OF THE PREMIUM IS DERIVED FROM FUNDS CONTRIBUTED
 BY THE GROUP MEMBER SPECIFICALLY FOR THE  COVERAGE,  THE  INSURER  SHALL
 ALSO  MAIL OR DELIVER WRITTEN NOTICE OF CANCELLATION OF THE GROUP POLICY
 TO THE GROUP MEMBER AT THE GROUP MEMBER'S MAILING ADDRESS. SUCH  CANCEL-
 LATION  SHALL  NOT  BECOME EFFECTIVE UNTIL THIRTY DAYS AFTER THE INSURER
 MAILS OR DELIVERS THE WRITTEN NOTICE TO THE GROUP MEMBER.
   (II) WHERE NONE OF THE PREMIUM IS DERIVED FROM FUNDS CONTRIBUTED BY  A
 GROUP  MEMBER  SPECIFICALLY  FOR  THE  COVERAGE, THE GROUP POLICY HOLDER
 SHALL MAIL OR DELIVER WRITTEN NOTICE TO THE GROUP  MEMBER  ADVISING  THE
 GROUP  MEMBER  OF THE CANCELLATION OF THE GROUP POLICY AND THE EFFECTIVE
 DATE OF CANCELLATION. THE GROUP POLICY HOLDER SHALL MAIL OR DELIVER  THE
 WRITTEN NOTICE WITHIN NINETY DAYS AFTER RECEIVING NOTICE OF CANCELLATION
 FROM THE INSURER.
   (B)  AN  INSURER'S CANCELLATION OF AN INDIVIDUAL CERTIFICATE SHALL NOT
 BECOME EFFECTIVE UNTIL THIRTY DAYS AFTER THE INSURER MAILS  OR  DELIVERS
 WRITTEN NOTICE OF CANCELLATION TO THE GROUP MEMBER AT THE GROUP MEMBER'S
 MAILING  ADDRESS  AND  TO  THE GROUP POLICYHOLDER AT THE MAILING ADDRESS
 SHOWN IN THE GROUP POLICY.
   (3) (A) A GROUP POLICYHOLDER MAY CANCEL A GROUP POLICY, INCLUDING  ALL
 CERTIFICATES,  OR ANY INDIVIDUAL CERTIFICATE, FOR ANY REASON UPON THIRTY
 DAYS WRITTEN NOTICE TO THE INSURER AND EACH GROUP MEMBER; AND
   (B) THE GROUP POLICYHOLDER SHALL MAIL OR  DELIVER  WRITTEN  NOTICE  TO
 EACH  AFFECTED  GROUP MEMBER OF THE GROUP POLICYHOLDER'S CANCELLATION OF
 THE GROUP POLICY OR CERTIFICATE AND THE EFFECTIVE DATE OF  CANCELLATION.
 THE  GROUP  POLICYHOLDER SHALL MAIL OR DELIVER THE WRITTEN NOTICE TO THE
 GROUP MEMBER'S MAILING ADDRESS AT LEAST THIRTY DAYS PRIOR TO THE  EFFEC-
 TIVE DATE OF CANCELLATION.
   (4) (A) UNLESS A GROUP POLICY PROVIDES FOR A LONGER POLICY PERIOD, THE
 POLICY  AND  ALL  CERTIFICATES SHALL BE ISSUED OR RENEWED FOR A ONE-YEAR
 POLICY PERIOD.
   (B) THE GROUP POLICYHOLDER SHALL BE ENTITLED TO RENEW THE GROUP POLICY
 AND ALL CERTIFICATES UPON TIMELY PAYMENT OF THE PREMIUM  BILLED  TO  THE
 GROUP POLICYHOLDER FOR THE RENEWAL, UNLESS:
   (I)  THE  INSURER  MAILS OR DELIVERS TO THE GROUP POLICYHOLDER AND ALL
 GROUP MEMBERS WRITTEN NOTICE OF NONRENEWAL, OR CONDITIONAL RENEWAL; AND
   (II) THE INSURER MAILS OR DELIVERS THE WRITTEN NOTICE AT LEAST THIRTY,
 BUT NOT MORE THAN ONE HUNDRED TWENTY DAYS PRIOR TO THE  EXPIRATION  DATE
 SPECIFIED  IN  THE POLICY OR, IF NO DATE IS SPECIFIED, THE NEXT ANNIVER-
 SARY DATE OF THE POLICY.
   (5) WHERE THE GROUP POLICYHOLDER NONRENEWS THE GROUP POLICY, THE GROUP
 POLICYHOLDER SHALL MAIL OR DELIVER WRITTEN NOTICE TO EACH  GROUP  MEMBER
 ADVISING  THE  GROUP  MEMBER  OF  NONRENEWAL OF THE GROUP POLICY AND THE
 EFFECTIVE DATE OF NONRENEWAL.  THE  GROUP  POLICYHOLDER  SHALL  MAIL  OR
 DELIVER WRITTEN NOTICE AT LEAST THIRTY DAYS PRIOR TO THE NONRENEWAL.
   (6)  EVERY  NOTICE OF CANCELLATION, NONRENEWAL, OR CONDITIONAL RENEWAL
 SHALL SET FORTH THE SPECIFIC REASON OR REASONS FOR CANCELLATION,  NONRE-
 NEWAL, OR CONDITIONAL RENEWAL.

 S. 2008                            34                            A. 3008

   (7) (A) AN INSURER SHALL NOT BE REQUIRED UNDER THIS SUBSECTION TO GIVE
 NOTICE  TO  A GROUP MEMBER IF THE INSURER HAS BEEN ADVISED BY EITHER THE
 GROUP POLICYHOLDER OR ANOTHER INSURER THAT SUBSTANTIALLY SIMILAR  COVER-
 AGE HAS BEEN OBTAINED FROM THE OTHER INSURER WITHOUT LAPSE OF COVERAGE.
   (B)  A  GROUP POLICYHOLDER SHALL NOT BE REQUIRED UNDER THIS SUBSECTION
 TO GIVE NOTICE TO A GROUP MEMBER IF SUBSTANTIALLY SIMILAR  COVERAGE  HAS
 BEEN OBTAINED FROM ANOTHER INSURER WITHOUT LAPSE OF COVERAGE.
   (8)  (A)  IF, PRIOR TO THE EFFECTIVE DATE OF CANCELLATION, NONRENEWAL,
 OR CONDITIONAL RENEWAL OF THE GROUP POLICY, OR  A  CERTIFICATE,  WHETHER
 INITIATED  BY  THE INSURER, GROUP POLICYHOLDER OR BY THE GROUP MEMBER IN
 REGARD TO THE GROUP MEMBER'S CERTIFICATE, COVERAGE ATTACHES PURSUANT  TO
 THE  TERMS OF A GROUP POLICY, THEN THE COVERAGE SHALL BE EFFECTIVE UNTIL
 EXPIRATION OF THE APPLICABLE PERIOD OF COVERAGE PROVIDED  IN  THE  GROUP
 POLICY  NOTWITHSTANDING  THE  CANCELLATION,  NONRENEWAL  OR  CONDITIONAL
 NONRENEWAL OF THE GROUP POLICY.
   (B) NOTWITHSTANDING SUBPARAGRAPH (A) OF THIS PARAGRAPH, AN INSURER MAY
 TERMINATE COVERAGE UNDER AN INDIVIDUAL CERTIFICATE ON THE EFFECTIVE DATE
 OF CANCELLATION, IF THE CERTIFICATE IS CANCELLED IN ACCORDANCE WITH  THE
 PROVISIONS OF SUBPARAGRAPH (B) OF PARAGRAPH ONE OF THIS SUBSECTION.
   (K)  ANY  MAILING  OR DELIVERY TO A GROUP MEMBER REQUIRED OR PERMITTED
 UNDER THIS SECTION MAY BE MADE BY ELECTRONIC MAIL, OR  OTHER  ELECTRONIC
 MEANS,  IF  CONSENT  TO  SUCH  METHOD  OF  DELIVERY  HAS BEEN PREVIOUSLY
 RECEIVED FROM SUCH GROUP MEMBER.
   (L) AN INSURER MAY ISSUE A TRANSPORTATION NETWORK COMPANY GROUP POLICY
 TO A TRANSPORTATION NETWORK COMPANY, NOTWITHSTANDING THAT IT  MAY  BE  A
 CONDITION OF OPERATING A VEHICLE ON THE TRANSPORTATION NETWORK COMPANY'S
 DIGITAL NETWORK FOR THE TNC DRIVER TO PARTICIPATE IN SUCH GROUP POLICY.
   (M)  AN  INSURER SHALL NOT INCLUDE A MANDATORY ARBITRATION CLAUSE IN A
 POLICY  THAT  PROVIDES  FINANCIAL  RESPONSIBILITY  COVERAGE  UNDER  THIS
 SECTION EXCEPT AS PERMITTED IN SECTION FIVE THOUSAND ONE HUNDRED FIVE OF
 THIS CHAPTER.
   §  6-a. Subsection (g) of section 5102 of the insurance law is amended
 to read as follows:
   (g) "Insurer" means the insurance company or self-insurer, as the case
 may be, which provides the financial security required  by  article  six
 [or], eight, OR FORTY-FOUR-B of the vehicle and traffic law.
   § 7. Subsection (b) of section 5103 of the insurance law is amended by
 adding a new paragraph 4 to read as follows:
   (4)  IS  INJURED  WHILE A MOTOR VEHICLE IS BEING USED OR OPERATED BY A
 TNC DRIVER PURSUANT TO ARTICLE FORTY-FOUR-B OF THE VEHICLE  AND  TRAFFIC
 LAW,  PROVIDED,  HOWEVER, THAT AN INSURER MAY NOT INCLUDE THIS EXCLUSION
 IN A POLICY USED TO SATISFY THE REQUIREMENTS UNDER ARTICLE  FORTY-FOUR-B
 OF THE VEHICLE AND TRAFFIC LAW.
   §  8. Subsection (d) of section 5106 of the insurance law, as added by
 chapter 452 of the laws of 2005, is amended to read as follows:
   (d)  [Where]  (1)  EXCEPT  AS  PROVIDED  IN  PARAGRAPH  TWO  OF   THIS
 SUBSECTION, WHERE there is reasonable belief more than one insurer would
 be  the  source  of  first  party benefits, the insurers may agree among
 themselves, if there is a valid basis therefor, that one  of  them  will
 accept  and pay the claim initially. If there is no such agreement, then
 the first insurer to whom notice of claim is given shall be  responsible
 for  payment.  Any such dispute shall be resolved in accordance with the
 arbitration procedures established pursuant to section five thousand one
 hundred five of this article and [regulation] REGULATIONS as promulgated
 by the superintendent, and any insurer paying first-party benefits shall
 be reimbursed by other insurers for their  proportionate  share  of  the

 S. 2008                            35                            A. 3008
 
 costs  of  the claim and the allocated expenses of processing the claim,
 in accordance with the provisions entitled "other coverage" contained in
 regulation and the provisions entitled  "other  sources  of  first-party
 benefits"  contained  in regulation. If there is no such insurer and the
 motor vehicle accident occurs in this state, then an applicant who is  a
 qualified  person  as defined in article fifty-two of this chapter shall
 institute the claim against THE motor vehicle  accident  indemnification
 corporation.
   (2)  A  GROUP  POLICY  ISSUED  PURSUANT TO SECTION THREE THOUSAND FOUR
 HUNDRED FIFTY-FIVE OF THIS  CHAPTER,  TO  SATISFY  THE  REQUIREMENTS  OF
 SECTION  SIXTEEN  HUNDRED  NINETY-THREE  OF THE VEHICLE AND TRAFFIC LAW,
 SHALL PROVIDE FIRST PARTY BENEFITS WHEN A DISPUTE EXISTS AS TO WHETHER A
 DRIVER WAS USING OR OPERATING A  MOTOR  VEHICLE  IN  CONNECTION  WITH  A
 TRANSPORTATION  NETWORK  COMPANY  WHEN  LOSS,  DAMAGE,  INJURY, OR DEATH
 OCCURS. A TRANSPORTATION NETWORK COMPANY SHALL NOTIFY THE  INSURER  THAT
 ISSUED  THE  OWNER'S POLICY OF LIABILITY INSURANCE OF THE DISPUTE WITHIN
 TEN BUSINESS DAYS OF BECOMING AWARE THAT THE DISPUTE EXISTS. WHEN  THERE
 IS  A  DISPUTE,  THE GROUP INSURER LIABLE FOR THE PAYMENT OF FIRST PARTY
 BENEFITS UNDER A GROUP POLICY, TO SATISFY THE  REQUIREMENTS  OF  SECTION
 SIXTEEN  HUNDRED NINETY-THREE OF THE VEHICLE AND TRAFFIC LAW, SHALL HAVE
 THE RIGHT TO RECOVER THE AMOUNT PAID FROM THE DRIVER'S  INSURER  TO  THE
 EXTENT  THAT  SUCH  INSURER  WOULD HAVE BEEN LIABLE TO PAY DAMAGES IN AN
 ACTION AT LAW.
   § 9. Subsection (b) of section 2305 of the insurance law,  as  amended
 by  chapter  11  of the laws of 2008, paragraph 13 as amended by chapter
 136 of the laws of 2008, is amended to read as follows:
   (b) rate filings for:
   (1) workers' compensation insurance;
   (2) motor vehicle insurance, or  surety  bonds,  required  by  section
 three  hundred  seventy of the vehicle and traffic law OR ARTICLE FORTY-
 FOUR-B OF THE VEHICLE AND TRAFFIC LAW;
   (3) joint underwriting;
   (4) motor vehicle assigned risk insurance;
   (5) insurance issued by the New York Property  Insurance  Underwriting
 Association;
   (6)  risk  sharing  plans  authorized  by  section  two thousand three
 hundred eighteen of this article;
   (7) title insurance;
   (8) medical malpractice liability insurance;
   (9) insurance issued by the Medical Malpractice Insurance Association;
   (10) mortgage guaranty insurance;
   (11) credit property insurance, as defined  in  section  two  thousand
 three hundred forty of this article; [and]
   (12) gap insurance; AND
   (13)  [Private]  PRIVATE  passenger  automobile  insurance,  except as
 provided in section two thousand three hundred fifty of this article[.],
 shall be filed with the superintendent and shall  not  become  effective
 unless  either  the  filing  has been approved or thirty days, which the
 superintendent may with cause extend an additional thirty days and  with
 further  cause  extend  an additional fifteen days, have elapsed and the
 filing has not been disapproved as failing to meet the  requirements  of
 this  article, including the standard that rates be not otherwise unrea-
 sonable. After a rate filing becomes effective, the filing and  support-
 ing  information  shall  be  open  to  public inspection. If a filing is
 disapproved, THEN notice of such disapproval order shall be given, spec-
 ifying in what respects such filing fails to meet  the  requirements  of

 S. 2008                            36                            A. 3008
 
 this  article.  Upon  his  or  her  request, the superintendent shall be
 provided with support and  assistance  from  the  workers'  compensation
 board  and  other state agencies and departments with appropriate juris-
 diction.  The  loss  cost multiplier for each insurer providing coverage
 for workers' compensation, as defined by regulation promulgated  by  the
 superintendent,  shall be promptly displayed on the department's website
 and updated in the event of any change.
   § 10. Paragraph 1 of subsection (a) of section 3425 of  the  insurance
 law,  as  amended by chapter 235 of the laws of 1989, is amended to read
 as follows:
   (1) "Covered policy" means a contract of  insurance,  referred  to  in
 this section as "automobile insurance", issued or issued for delivery in
 this  state,  on  a  risk  located  or  resident in this state, insuring
 against losses or liabilities arising out of the  ownership,  operation,
 or use of a motor vehicle, predominantly used for non-business purposes,
 when  a  natural person is the named insured under the policy of automo-
 bile insurance; PROVIDED, HOWEVER, THAT THE  USE  OR  OPERATION  OF  THE
 MOTOR  VEHICLE  BY  A  TRANSPORTATION NETWORK DRIVER AS A TNC VEHICLE IN
 ACCORDANCE WITH ARTICLE FORTY-FOUR-B OF  THE  VEHICLE  AND  TRAFFIC  LAW
 SHALL  NOT BE INCLUDED IN DETERMINING WHETHER THE MOTOR VEHICLE IS BEING
 USED PREDOMINANTLY FOR NON-BUSINESS PURPOSES.
   § 11. The executive law is amended by adding a new article 6-H to read
 as follows:
                                ARTICLE 6-H
                  TRANSPORTATION NETWORK COMPANY DRIVER'S
                         INJURY COMPENSATION FUND
 SECTION 160-AAAA. DEFINITIONS.
         160-BBBB. TRANSPORTATION NETWORK COMPANY DRIVER'S INJURY COMPEN-
                     SATION FUND, INC.
         160-CCCC. SUPERVISION OF TRANSPORTATION NETWORK COMPANIES.
         160-DDDD. MANAGEMENT OF THE FUND.
         160-EEEE. PLAN OF OPERATION.
         160-FFFF. MEMBERSHIP.
         160-GGGG. SECURING OF COMPENSATION.
         160-HHHH. ASSESSMENT OF FUND MEMBERS.
         160-IIII. CERTIFIED FINANCIAL STATEMENTS.
         160-JJJJ. EXEMPTION FROM TAXES.
         160-KKKK. LIABILITY INSURANCE.
         160-LLLL. REGULATIONS.
         160-MMMM. VIOLATIONS.
   § 160-AAAA. DEFINITIONS. AS USED IN THIS ARTICLE:
   1. "TRANSPORTATION NETWORK COMPANY DRIVER" OR "TNC  DRIVER"  MEANS  AN
 INDIVIDUAL WHO:
   (A)  RECEIVES CONNECTIONS TO POTENTIAL PASSENGERS AND RELATED SERVICES
 FROM A TRANSPORTATION NETWORK COMPANY IN EXCHANGE FOR PAYMENT OF  A  FEE
 TO THE TRANSPORTATION NETWORK COMPANY;
   (B)  USES  A TNC VEHICLE TO OFFER OR PROVIDE A TNC PREARRANGED TRIP TO
 TRANSPORTATION NETWORK COMPANY  PASSENGERS  UPON  CONNECTION  THROUGH  A
 DIGITAL  NETWORK  CONTROLLED  BY  A  TRANSPORTATION  NETWORK  COMPANY IN
 EXCHANGE FOR COMPENSATION OR PAYMENT OF A FEE; AND
   (C) WHOSE INJURY AROSE OUT OF AND IN THE COURSE  OF  PROVIDING  A  TNC
 PREARRANGED  TRIP THROUGH A DIGITAL NETWORK OPERATED BY A TRANSPORTATION
 NETWORK COMPANY THAT IS A REGISTERED MEMBER OF THE NEW YORK  TRANSPORTA-
 TION NETWORK COMPANY DRIVER'S INJURY COMPENSATION FUND, INC.
   2.  "TRANSPORTATION  NETWORK COMPANY PASSENGER" OR "PASSENGER" MEANS A
 PERSON OR PERSONS WHO USE A  TRANSPORTATION  NETWORK  COMPANY'S  DIGITAL

 S. 2008                            37                            A. 3008
 
 NETWORK  TO  CONNECT  WITH  A  TRANSPORTATION NETWORK COMPANY DRIVER WHO
 PROVIDES TNC PREARRANGED TRIPS TO  THE  PASSENGER  IN  THE  TNC  VEHICLE
 BETWEEN POINTS CHOSEN BY THE PASSENGER.
   3. "BOARD" MEANS THE WORKERS' COMPENSATION BOARD.
   4.  "DIGITAL  NETWORK" MEANS ANY SYSTEM OR SERVICE OFFERED OR UTILIZED
 BY A TRANSPORTATION NETWORK COMPANY THAT ENABLES TNC  PREARRANGED  TRIPS
 WITH TRANSPORTATION NETWORK COMPANY DRIVERS.
   5. "TRANSPORTATION NETWORK COMPANY" MEANS A PERSON, CORPORATION, PART-
 NERSHIP,  SOLE PROPRIETORSHIP, OR OTHER ENTITY THAT IS LICENSED PURSUANT
 TO ARTICLE FORTY-FOUR-B OF THE VEHICLE AND TRAFFIC LAW AND IS  OPERATING
 IN  NEW YORK STATE EXCLUSIVELY USING A DIGITAL NETWORK TO CONNECT TRANS-
 PORTATION NETWORK COMPANY PASSENGERS TO TRANSPORTATION  NETWORK  COMPANY
 DRIVERS WHO PROVIDE TNC PREARRANGED TRIPS.
   6.  "TRANSPORTATION  NETWORK COMPANY VEHICLE" OR "TNC VEHICLE" MEANS A
 VEHICLE THAT IS:
   (A) USED BY A TRANSPORTATION NETWORK COMPANY DRIVER TO PROVIDE  A  TNC
 PREARRANGED TRIP ORIGINATING IN THE STATE OF NEW YORK;
   (B)  OWNED,  LEASED OR OTHERWISE AUTHORIZED FOR USE BY THE TRANSPORTA-
 TION NETWORK COMPANY DRIVER AND SHALL NOT INCLUDE:
   (I) A TAXICAB, AS DEFINED IN SECTION ONE HUNDRED FORTY-EIGHT-A OF  THE
 VEHICLE AND TRAFFIC LAW AND SECTION 19-502 OF THE ADMINISTRATIVE CODE OF
 THE CITY OF NEW YORK, OR AS OTHERWISE DEFINED IN LOCAL LAW;
   (II)  A LIVERY VEHICLE, AS DEFINED IN SECTION ONE HUNDRED TWENTY-ONE-E
 OF THE VEHICLE AND TRAFFIC LAW, OR AS OTHERWISE DEFINED IN LOCAL LAW;
   (III) A BLACK CAR, LIMOUSINE,  OR  LUXURY  LIMOUSINE,  AS  DEFINED  IN
 SECTION 19-502 OF THE ADMINISTRATIVE CODE OF THE CITY OF NEW YORK, OR AS
 OTHERWISE DEFINED IN LOCAL LAW;
   (IV)  A FOR-HIRE VEHICLE, AS DEFINED IN SECTION 19-502 OF THE ADMINIS-
 TRATIVE CODE OF THE CITY OF NEW YORK, OR AS OTHERWISE DEFINED  IN  LOCAL
 LAW;
   (V)  A  BUS, AS DEFINED IN SECTION ONE HUNDRED FOUR OF THE VEHICLE AND
 TRAFFIC LAW;
   (VI) ANY MOTOR VEHICLE WEIGHING MORE THAN SIX  THOUSAND  FIVE  HUNDRED
 POUNDS UNLOADED;
   (VII)  ANY  MOTOR VEHICLE HAVING A SEATING CAPACITY OF MORE THAN SEVEN
 PASSENGERS; AND
   (VIII) ANY MOTOR VEHICLE SUBJECT TO SECTION THREE HUNDRED  SEVENTY  OF
 THE VEHICLE AND TRAFFIC LAW.
   7. (A) "TNC PREARRANGED TRIP" MEANS THE PROVISION OF TRANSPORTATION BY
 A  TRANSPORTATION NETWORK COMPANY DRIVER TO A PASSENGER PROVIDED THROUGH
 THE USE OF A TNC'S DIGITAL NETWORK:
   (I) BEGINNING WHEN A TRANSPORTATION NETWORK COMPANY DRIVER  ACCEPTS  A
 PASSENGER'S REQUEST FOR A TRIP THROUGH A DIGITAL NETWORK CONTROLLED BY A
 TRANSPORTATION NETWORK COMPANY;
   (II) CONTINUING WHILE THE TRANSPORTATION NETWORK COMPANY DRIVER TRANS-
 PORTS THE REQUESTING PASSENGER IN A TNC VEHICLE; AND
   (III)  ENDING  WHEN THE LAST REQUESTING PASSENGER DEPARTS FROM THE TNC
 VEHICLE.
   (B) THE TERM "TNC PREARRANGED TRIP" DOES  NOT  INCLUDE  TRANSPORTATION
 PROVIDED THROUGH ANY OF THE FOLLOWING:
   (I) SHARED EXPENSE CARPOOL OR VANPOOL ARRANGEMENTS, INCLUDING THOSE AS
 DEFINED  IN SECTION ONE HUNDRED FIFTY-EIGHT-B OF THE VEHICLE AND TRAFFIC
 LAW;
   (II) USE OF A TAXICAB, LIVERY, LUXURY  LIMOUSINE,  OR  OTHER  FOR-HIRE
 VEHICLE,  AS  DEFINED  IN THE VEHICLE AND TRAFFIC LAW, SECTION 19-502 OF

 S. 2008                            38                            A. 3008
 
 THE ADMINISTRATIVE CODE OF THE CITY OF NEW YORK, OR AS OTHERWISE DEFINED
 IN LOCAL LAW; OR
   (III) A REGIONAL TRANSPORTATION PROVIDER.
   8.  "COVERED  SERVICES"  MEANS,  WITH RESPECT TO TNC PREARRANGED TRIPS
 USING A DIGITAL NETWORK OF A TRANSPORTATION NETWORK COMPANY  LOCATED  IN
 THE  STATE, ALL SUCH TNC PREARRANGED TRIPS REGARDLESS OF WHERE THE PICK-
 UP OR DISCHARGE OCCURS, AND, WITH RESPECT TO TNC PREARRANGED TRIPS USING
 A DIGITAL NETWORK OF A TRANSPORTATION NETWORK  COMPANY  LOCATED  OUTSIDE
 THE  STATE,  ALL  PREARRANGED  TRIPS  INVOLVING  A PICK-UP IN THE STATE,
 REGARDLESS OF WHERE THE DISCHARGE OCCURS.
   9. "DEPARTMENT" MEANS THE DEPARTMENT OF STATE.
   10. "FUND" MEANS THE NEW YORK TRANSPORTATION NETWORK COMPANY  DRIVER'S
 FUND, INC.
   11. "FUND LIABILITY DATE" MEANS THE EARLIER OF:
   (A)  THE DATE AS OF WHICH THE BOARD FIRST APPROVES THE FUND'S APPLICA-
 TION TO SELF-INSURE PURSUANT TO SECTION ONE HUNDRED SIXTY-GGGG  OF  THIS
 ARTICLE; OR
   (B)  THE  DATE ON WHICH COVERAGE COMMENCES UNDER THE INITIAL INSURANCE
 POLICY PURCHASED BY THE FUND PURSUANT TO SECTION ONE HUNDRED  SIXTY-GGGG
 OF THIS ARTICLE.
   12. "SECRETARY" MEANS THE SECRETARY OF STATE.
   §  160-BBBB.  TRANSPORTATION  NETWORK  COMPANY DRIVER'S INJURY COMPEN-
 SATION FUND, INC. THERE IS HEREBY CREATED A  NOT-FOR-PROFIT  CORPORATION
 TO  BE  KNOWN  AS  THE  NEW YORK TRANSPORTATION NETWORK COMPANY DRIVER'S
 INJURY COMPENSATION FUND, INC. TO THE EXTENT THAT THE PROVISIONS OF  THE
 NOT-FOR-PROFIT  CORPORATION  LAW  DO NOT CONFLICT WITH THE PROVISIONS OF
 THIS ARTICLE, OR WITH THE PLAN OF OPERATION ESTABLISHED PURSUANT TO THIS
 ARTICLE, THE NOT-FOR-PROFIT CORPORATION LAW SHALL  APPLY  TO  THE  FUND,
 WHICH SHALL BE A TYPE C CORPORATION PURSUANT TO SUCH LAW. IF AN APPLICA-
 BLE PROVISION OF THIS ARTICLE OR OF THE FUND'S PLAN OF OPERATION RELATES
 TO  A  MATTER  EMBRACED IN A PROVISION OF THE NOT-FOR-PROFIT CORPORATION
 LAW BUT IS NOT IN CONFLICT THEREWITH, BOTH PROVISIONS SHALL  APPLY.  THE
 FUND  SHALL  PERFORM ITS FUNCTIONS IN ACCORDANCE WITH ITS PLAN OF OPERA-
 TION ESTABLISHED AND APPROVED PURSUANT TO SECTION ONE HUNDRED SIXTY-EEEE
 OF THIS ARTICLE AND SHALL EXERCISE ITS POWERS THROUGH A BOARD OF  DIREC-
 TORS ESTABLISHED PURSUANT TO THIS ARTICLE.
   §  160-CCCC. SUPERVISION OF TRANSPORTATION NETWORK COMPANIES. A TRANS-
 PORTATION NETWORK COMPANY SHALL, WITH RESPECT TO THE PROVISIONS OF  THIS
 ARTICLE,  BE  SUBJECT TO THE SUPERVISION AND OVERSIGHT OF THE DEPARTMENT
 AS PROVIDED IN THIS ARTICLE.
   § 160-DDDD. MANAGEMENT OF THE FUND. 1. WITHIN THIRTY (30) DAYS OF  THE
 EFFECTIVE  DATE  OF  THIS  ARTICLE,  THERE SHALL BE APPOINTED A BOARD OF
 DIRECTORS OF THE FUND. THE BOARD OF DIRECTORS OF THE FUND SHALL  CONSIST
 OF NINE DIRECTORS APPOINTED BY THE GOVERNOR, ONE OF WHOM SHALL BE CHOSEN
 BY  THE  GOVERNOR;  ONE  OF  WHOM SHALL BE CHOSEN UPON NOMINATION OF THE
 TEMPORARY PRESIDENT OF THE SENATE; ONE OF  WHOM  SHALL  BE  CHOSEN  UPON
 NOMINATION  OF  THE SPEAKER OF THE ASSEMBLY; ONE OF WHOM SHALL BE CHOSEN
 UPON NOMINATION OF THE AMERICAN FEDERATION OF LABOR-CONGRESS  OF  INDUS-
 TRIAL  ORGANIZATIONS  OF NEW YORK; AND FIVE OF WHOM SHALL BE CHOSEN UPON
 NOMINATION OF TRANSPORTATION NETWORK COMPANY MEMBERS OF THE FUND.
   2. THE DIRECTORS SHALL ELECT ANNUALLY FROM AMONG THEIR NUMBER A CHAIR.
   3. FOR THEIR ATTENDANCE AT MEETINGS, THE DIRECTORS OF THE  FUND  SHALL
 BE  ENTITLED  TO  COMPENSATION,  AS  AUTHORIZED  BY THE DIRECTORS, IN AN
 AMOUNT NOT TO EXCEED FIVE HUNDRED DOLLARS PER MEETING PER  DIRECTOR  AND
 TO REIMBURSEMENT OF THEIR ACTUAL AND NECESSARY EXPENSES.

 S. 2008                            39                            A. 3008
 
   4.  DIRECTORS  OF  THE  FUND, EXCEPT AS OTHERWISE PROVIDED BY LAW, MAY
 ENGAGE IN PRIVATE OR PUBLIC EMPLOYMENT OR IN A PROFESSION OR BUSINESS.
   5. (A) ALL OF THE DIRECTORS SHALL HAVE EQUAL VOTING RIGHTS AND FIVE OR
 MORE  DIRECTORS  SHALL CONSTITUTE A QUORUM. THE AFFIRMATIVE VOTE OF FOUR
 DIRECTORS SHALL BE NECESSARY FOR THE TRANSACTION OF ANY BUSINESS OR  THE
 EXERCISE OF ANY POWER OR FUNCTION OF THE FUND.
   (B)  THE  FUND MAY DELEGATE TO ONE OR MORE OF ITS DIRECTORS, OFFICERS,
 AGENTS, OR EMPLOYEES SUCH POWERS AND DUTIES AS IT MAY DEEM PROPER.
   (C) A VACANCY OCCURRING IN A DIRECTOR POSITION SHALL BE FILLED IN  THE
 SAME MANNER AS THE INITIAL APPOINTMENT TO THAT POSITION, PROVIDED HOWEV-
 ER  THAT NO INDIVIDUAL MAY SERVE AS DIRECTOR FOR MORE THAN THREE SUCCES-
 SIVE TERMS.
   § 160-EEEE. PLAN OF OPERATION. 1.  WITHIN  SEVENTY-FIVE  DAYS  OF  THE
 EFFECTIVE  DATE OF THIS ARTICLE, THE FUND SHALL FILE WITH THE DEPARTMENT
 ITS PLAN OF OPERATION, WHICH SHALL  BE  DESIGNED  TO  ASSURE  THE  FAIR,
 REASONABLE AND EQUITABLE ADMINISTRATION OF THE FUND.  THE PLAN OF OPERA-
 TION  AND  ANY SUBSEQUENT AMENDMENTS THERETO SHALL BECOME EFFECTIVE UPON
 BEING FILED WITH THE DEPARTMENT.
   2. THE PLAN OF OPERATION SHALL CONSTITUTE THE BY-LAWS OF THE FUND  AND
 SHALL,  IN  ADDITION  TO  THE  REQUIREMENTS ENUMERATED ELSEWHERE IN THIS
 ARTICLE:
   (A) ESTABLISH PROCEDURES FOR COLLECTING AND MANAGING THE ASSETS OF THE
 FUND;
   (B) ESTABLISH REGULAR PLACES AND TIMES  FOR  MEETINGS  OF  THE  FUND'S
 BOARD OF DIRECTORS;
   (C)  ESTABLISH THE PROCEDURE BY WHICH THE FUND SHALL DETERMINE WHETHER
 TO PROVIDE THE BENEFITS DUE PURSUANT TO THIS ARTICLE BY SELF-INSURING OR
 BY PURCHASING INSURANCE;
   (D) ESTABLISH ACCOUNTING AND RECORD-KEEPING PROCEDURES FOR ALL  FINAN-
 CIAL TRANSACTIONS OF THE FUND, ITS AGENTS, AND THE BOARD OF DIRECTORS;
   (E) ESTABLISH A PROCEDURE FOR DETERMINING AND COLLECTING THE APPROPRI-
 ATE AMOUNT OF SURCHARGES AND ASSESSMENTS UNDER THIS ARTICLE;
   (F)  SET FORTH THE PROCEDURES BY WHICH THE FUND MAY EXERCISE THE AUDIT
 RIGHTS GRANTED TO IT UNDER THIS ARTICLE;
   (G) ESTABLISH PROCEDURES TO ENSURE PROMPT AND ACCURATE NOTIFICATION TO
 THE FUND BY ITS MEMBERS OF ALL ACCIDENTS AND INJURIES TO  TRANSPORTATION
 NETWORK  COMPANY DRIVERS, AND PROVIDE FOR FULL REIMBURSEMENT OF THE FUND
 BY ANY TRANSPORTATION NETWORK COMPANY  WHOSE  FAILURE  TO  PROVIDE  SUCH
 NOTIFICATION  RESULTS  IN THE IMPOSITION OF A PENALTY ON THE FUND BY THE
 BOARD; AND
   (H) CONTAIN SUCH ADDITIONAL PROVISIONS AS THE BOARD OF  THE  FUND  MAY
 DEEM  NECESSARY  OR PROPER FOR THE EXECUTION OF THE POWERS AND DUTIES OF
 THE FUND.
   § 160-FFFF. MEMBERSHIP.  1.  THE  MEMBERSHIP  OF  THE  FUND  SHALL  BE
 COMPOSED  OF  ALL  TRANSPORTATION NETWORK COMPANIES. EACH TRANSPORTATION
 NETWORK COMPANY SHALL BE REQUIRED, AS  A  CONDITION  OF  DOING  BUSINESS
 WITHIN  THIS  STATE,  TO PAY THE DEPARTMENT A TEN THOUSAND DOLLAR ANNUAL
 FEE FOR THE PURPOSE OF REGISTERING AS A MEMBER OF THE FUND AND RECEIVING
 A CERTIFICATE OF REGISTRATION.  SUCH SUMS SHALL BE USED BY  THE  DEPART-
 MENT  FOR  THE  ADMINISTRATION OF THIS ARTICLE. THE INITIAL REGISTRATION
 FEE SHALL BE DUE NO LATER THAN NINETY DAYS AFTER THE EFFECTIVE  DATE  OF
 THIS  ARTICLE.  THE  DEPARTMENT  SHALL HAVE THE POWER TO ASSESS AN ADDI-
 TIONAL FEE AGAINST EACH REGISTRANT IN THE AMOUNT NECESSARY TO PROVIDE IT
 WITH SUFFICIENT FUNDS TO COVER ITS EXPENSES  IN  PERFORMING  ITS  DUTIES
 PURSUANT  TO THIS ARTICLE. THE DEPARTMENT SHALL PROVIDE THE FUND WITH AN
 UPDATED LIST OF REGISTRANTS ON A MONTHLY BASIS.

 S. 2008                            40                            A. 3008
 
   2. ALL TRANSPORTATION NETWORK COMPANIES SHALL BE REQUIRED, AS A CONDI-
 TION OF OBTAINING OR RETAINING THEIR  LICENSE  FROM  THE  DEPARTMENT  OF
 MOTOR VEHICLES PURSUANT TO ARTICLE FORTY-FOUR-B OF THE VEHICLE AND TRAF-
 FIC LAW, TO:
   (A) BE MEMBERS OF THE FUND;
   (B) BE REGISTERED WITH THE DEPARTMENT AS MEMBERS OF THE FUND; AND
   (C)  SUBMIT  TO THE DEPARTMENT OF MOTOR VEHICLES A COPY OF ITS CERTIF-
 ICATE OF REGISTRATION AS PROOF OF SUCH MEMBERSHIP AND REGISTRATION.
   3. WITHIN SIXTY DAYS OF THE EFFECTIVE DATE OF THIS ARTICLE, THE  BOARD
 OF  THE  FUND  SHALL,  ON THE BASIS OF INFORMATION FROM TRADE PAPERS AND
 OTHER SOURCES, IDENTIFY THE TRANSPORTATION NETWORK COMPANIES SUBJECT  TO
 THIS  ARTICLE AND, ON A REGULAR AND ONGOING BASIS, CONFIRM THAT ALL SUCH
 ENTITIES HAVE REGISTERED IN ACCORDANCE  WITH  SUBDIVISION  ONE  OF  THIS
 SECTION.
   4.  THE  FUND SHALL, WITHIN SEVENTY-FIVE DAYS OF THE EFFECTIVE DATE OF
 THIS ARTICLE, PROVIDE TO ITS MEMBERS A COPY  OF  THE  PROPOSED  PLAN  OF
 OPERATION  FILED  WITH  THE  DEPARTMENT  AND SHALL INFORM ITS MEMBERS OF
 THEIR RIGHTS AND DUTIES PURSUANT TO THIS ARTICLE.
   § 160-GGGG. SECURING OF COMPENSATION. 1. WITHIN TWO HUNDRED  TEN  DAYS
 OF THE EFFECTIVE DATE OF THIS ARTICLE, THE FUND SHALL SECURE THE PAYMENT
 OF WORKERS' COMPENSATION TO ALL:  TRANSPORTATION NETWORK COMPANY DRIVERS
 ENTITLED THERETO PURSUANT TO THIS CHAPTER BY EITHER:
   (A)  SELF-INSURING  IN  ACCORDANCE  WITH  SUBDIVISION THREE OF SECTION
 FIFTY OF THE WORKERS' COMPENSATION LAW AND THE RULES PROMULGATED BY  THE
 BOARD PURSUANT TO SUCH SECTION; OR
   (B)  PURCHASING WORKERS' COMPENSATION INSURANCE COVERING, ON A BLANKET
 BASIS, ALL DRIVERS WHO ARE THE FUND'S EMPLOYEES PURSUANT TO SECTION  TWO
 OF THE WORKERS' COMPENSATION LAW.
   2. IF THE FUND INITIALLY SEEKS TO APPLY TO THE BOARD FOR AUTHORIZATION
 TO  SELF-INSURE  PURSUANT  TO  SUBDIVISION THREE OF SECTION FIFTY OF THE
 WORKERS' COMPENSATION LAW, IT SHALL SUBMIT ITS APPLICATION AND  ACCOMPA-
 NYING  PROOF TO THE BOARD WITHIN ONE HUNDRED FIFTY DAYS OF THE EFFECTIVE
 DATE OF THIS ARTICLE.  THE BOARD SHALL NOTIFY THE FUND AND THE SECRETARY
 IN WRITING OF ANY CHANGE IN THE FUND'S STATUS AS A  SELF-INSURER  OR  OF
 ANY  ADDITIONAL  REQUIREMENTS  THAT  THE  BOARD  MAY  DEEM NECESSARY FOR
 CONTINUATION OF SUCH STATUS.
   3. IF THE FUND CHOOSES TO SECURE THE PAYMENT OF WORKERS'  COMPENSATION
 PURSUANT  TO  THE  WORKERS'  COMPENSATION LAW BY PURCHASING AN INSURANCE
 POLICY FROM THE STATE INSURANCE FUND OR A  LICENSED  INSURER,  IT  SHALL
 FILE  WITH  THE DEPARTMENT NO LATER THAN THIRTY DAYS AFTER THE COMMENCE-
 MENT OF A NEW POLICY YEAR A COPY OF THE POLICY IT HAS PURCHASED. IN SUCH
 CASE, THE DEPARTMENT SHALL BE TREATED BY THE INSURER  AS  A  CERTIFICATE
 HOLDER FOR PURPOSES OF RECEIVING NOTICE OF CANCELLATION OF THE POLICY.
   4.  NO PROVISION OF THIS ARTICLE SHALL BE CONSTRUED TO ALTER OR AFFECT
 THE LIABILITY UNDER THE WORKERS' COMPENSATION LAW OF ANY  TRANSPORTATION
 NETWORK  COMPANY  WITH RESPECT TO TRANSPORTATION NETWORK COMPANY DRIVERS
 PRIOR TO THE FUND LIABILITY DATE.
   § 160-HHHH. ASSESSMENT OF FUND MEMBERS. 1. TO PAY:
   (A) THE COSTS OF THE  INSURANCE  PURCHASED  PURSUANT  TO  SECTION  ONE
 HUNDRED SIXTY-GGGG OF THIS ARTICLE; OR
   (B)  THE BENEFITS DUE UNDER THE WORKERS' COMPENSATION LAW IN THE EVENT
 THE FUND SELF-INSURES PURSUANT TO SECTION ONE HUNDRED SIXTY-GGGG OF THIS
 ARTICLE; AND TO PAY
   (C) ITS EXPENSES IN CARRYING OUT ITS  POWERS  AND  DUTIES  UNDER  THIS
 ARTICLE; AND

 S. 2008                            41                            A. 3008
 
   (D)  ITS  LIABILITIES,  IF  ANY, PURSUANT TO SECTION FOURTEEN-A OF THE
 WORKERS' COMPENSATION LAW; THE FUND SHALL ASCERTAIN BY REASONABLE  ESTI-
 MATE THE TOTAL FUNDING NECESSARY TO CARRY ON ITS OPERATIONS.
   2. BASED UPON ITS ESTIMATION OF OPERATING COSTS, THE FUND SHALL ESTAB-
 LISH A PROPOSED UNIFORM PERCENTAGE SURCHARGE TO BE ADDED TO:
   (A)  THE INVOICES OR BILLINGS FOR COVERED SERVICES SENT TO TRANSPORTA-
 TION NETWORK COMPANY PASSENGERS BY A MEMBER OR ITS AGENT; AND
   (B) THE CREDIT PAYMENTS FOR COVERED SERVICES RECEIVED BY A  MEMBER  OR
 ITS  AGENT.  THE  PROPOSED  SURCHARGE SHALL BECOME EFFECTIVE THIRTY DAYS
 AFTER BEING FILED WITH THE DEPARTMENT.
   NOTWITHSTANDING THE FOREGOING, BEGINNING ON THE FIRST DAY OF THE FIRST
 CALENDAR MONTH THAT SHALL COMMENCE AT LEAST SEVENTY-FIVE DAYS AFTER  THE
 EFFECTIVE DATE OF THIS ARTICLE, AND UNTIL THE FUND SHALL HAVE FILED WITH
 THE  DEPARTMENT  A  DIFFERENT  SURCHARGE AMOUNT, A TWO PERCENT SURCHARGE
 SHALL BE ADDED TO EVERY INVOICE OR BILLING FOR COVERED SERVICES SENT  BY
 A  MEMBER OR ITS AGENT TO, AND EVERY CREDIT PAYMENT FOR COVERED SERVICES
 RECEIVED BY A MEMBER OR ITS AGENT FROM, TRANSPORTATION  NETWORK  COMPANY
 PASSENGERS.  EACH  MEMBER OF THE FUND SHALL BE LIABLE FOR PAYMENT TO THE
 FUND OF AN AMOUNT EQUAL TO THE PRODUCT OF:
   (A) THE PERCENTAGES SURCHARGE DUE PURSUANT TO THIS ARTICLE, DIVIDED BY
 ONE HUNDRED; AND
   (B) ALL PAYMENTS RECEIVED BY THE  MEMBER  OR  ITS  AGENT  FOR  COVERED
 SERVICES  PREARRANGED  THROUGH THE MEMBER'S DIGITAL NETWORK, AS PROVIDED
 IN THIS SUBDIVISION, REGARDLESS OF WHETHER THE SURCHARGE WAS  BILLED  OR
 CHARGED.
   3. THE DEPARTMENT OF MOTOR VEHICLES OR THE DEPARTMENT SHALL NOT ISSUE,
 CONTINUE OR RENEW ANY LICENSE OR REGISTRATION CERTIFICATE FOR THE OPERA-
 TION  OF  ANY  TRANSPORTATION NETWORK COMPANY UNLESS SUCH TRANSPORTATION
 NETWORK COMPANY, AS A CONDITION OF MAINTAINING ITS LICENSE AND/OR REGIS-
 TRATION CERTIFICATE, ADDS THE SURCHARGE  REQUIRED  BY  THIS  SECTION  TO
 EVERY INVOICE AND BILLING FOR COVERED SERVICES SENT TO, AND EVERY CREDIT
 PAYMENT  FOR  COVERED SERVICES RECEIVED FROM, ITS TRANSPORTATION NETWORK
 COMPANY PASSENGERS AND PAYS TO THE FUND NO LATER THAN THE FIFTEENTH  DAY
 OF EACH MONTH THE TOTAL SURCHARGES DUE PURSUANT TO THIS ARTICLE.
   4.  EACH  TRANSPORTATION NETWORK COMPANY SHALL SUBMIT TO THE FUND WITH
 ITS MONTHLY PAYMENT A DETAILED ACCOUNTING OF THE  CHARGE  AND  SURCHARGE
 AMOUNTS  CHARGED  TO  AND  RECEIVED  FROM TRANSPORTATION NETWORK COMPANY
 PASSENGERS FOR COVERED SERVICES DURING THE PREVIOUS MONTH.    THE  FIRST
 SUCH  PAYMENT  AND  ACCOUNTING  SHALL BE DUE ON THE FIFTEENTH DAY OF THE
 MONTH FOLLOWING THE IMPOSITION OF THE SURCHARGE PURSUANT TO  SUBDIVISION
 TWO OF THIS SECTION.
   5. SHOULD THE FUND DETERMINE THAT THE SURCHARGE AMOUNTS THAT HAVE BEEN
 PAID TO IT ARE INADEQUATE TO MEET ITS OBLIGATIONS UNDER THIS ARTICLE, IT
 SHALL DETERMINE THE SURCHARGE RATE REQUIRED TO ELIMINATE SUCH DEFICIENCY
 AND  SHALL  FILE  SUCH  REVISED  SURCHARGE  RATE  WITH THE DEPARTMENT IN
 ACCORDANCE WITH SUBDIVISION TWO OF THIS SECTION.  COMMENCING THIRTY DAYS
 AFTER SUCH FILING, THE MEMBERS OF THE  FUND  SHALL  CHARGE  THE  REVISED
 SURCHARGE  RATE AND SHALL PAY TO THE FUND THE TOTAL AMOUNT OF SURCHARGES
 IN ACCORDANCE WITH THIS ARTICLE.
   6. FOR THE PURPOSES OF CONDUCTING PAYROLL AUDITS, AN INSURER PROVIDING
 COVERAGE TO THE FUND PURSUANT TO THIS ARTICLE MAY TREAT THE  MEMBERS  OF
 THE  FUND  AS POLICYHOLDERS. MEMBERS OF THE FUND SHALL BE REQUIRED TO DO
 ALL THINGS REQUIRED OF EMPLOYERS PURSUANT TO SECTION ONE  HUNDRED  THIR-
 TY-ONE  OF  THE  WORKERS'  COMPENSATION  LAW,  AND  SHALL BE REQUIRED TO
 PROVIDE THE BOARD ACCESS TO ANY  AND  ALL  RECORDS  AND  INFORMATION  AS
 OTHERWISE  REQUIRED BY THE WORKERS' COMPENSATION LAW AND THE REGULATIONS

 S. 2008                            42                            A. 3008
 
 PROMULGATED THEREUNDER, AND SHALL BE LIABLE AS PROVIDED IN THE  WORKERS'
 COMPENSATION LAW FOR ANY FAILURE SO TO DO.
   § 160-IIII. CERTIFIED FINANCIAL STATEMENTS. NO LATER THAN MAY FIRST OF
 EACH  YEAR, THE FUND SHALL SUBMIT TO THE GOVERNOR AND LEGISLATURE CERTI-
 FIED FINANCIAL STATEMENTS PREPARED IN ACCORDANCE WITH GENERALLY ACCEPTED
 ACCOUNTING PRINCIPLES BY A CERTIFIED PUBLIC ACCOUNTANT. THE  MEMBERS  OF
 THE  FUND  SHALL  BE REQUIRED ON AND AFTER JANUARY FIRST OF EACH YEAR TO
 AFFORD THE CERTIFIED PUBLIC ACCOUNTANT CONVENIENT ACCESS AT ALL  REASON-
 ABLE HOURS TO ALL BOOKS, RECORDS, AND OTHER DOCUMENTS, INCLUDING BUT NOT
 LIMITED TO INVOICES AND VOUCHERS, NECESSARY OR USEFUL IN THE PREPARATION
 OF  SUCH  STATEMENTS  AND  IN THE VERIFICATION OF THE MONTHLY STATEMENTS
 SUBMITTED TO THE FUND.
   § 160-JJJJ. EXEMPTION FROM  TAXES.  THE  FUND  SHALL  BE  EXEMPT  FROM
 PAYMENT  OF ALL FEES AND TAXES LEVIED BY THIS STATE OR ANY OF ITS SUBDI-
 VISIONS, EXCEPT TAXES LEVIED ON REAL PROPERTY.
   § 160-KKKK. LIABILITY INSURANCE. THE FUND SHALL PURCHASE  SUCH  INSUR-
 ANCE  AS  IS  NECESSARY  TO  PROTECT THE FUND AND ANY DIRECTOR, OFFICER,
 AGENT, OR OTHER REPRESENTATIVE FROM LIABILITY FOR  THEIR  ADMINISTRATION
 OF  THE  FUND, AND SHALL, TO THE EXTENT PERMITTED BY LAW, INDEMNIFY SUCH
 DIRECTORS, OFFICERS, AGENTS, OR  OTHER  REPRESENTATIVES  AND  HOLD  THEM
 HARMLESS FROM LIABILITY FOR THEIR ADMINISTRATION OF THE FUND.
   § 160-LLLL. REGULATIONS. THE DEPARTMENT SHALL ADOPT REGULATIONS IMPLE-
 MENTING THE PROVISIONS OF THIS ARTICLE, INCLUDING THE CONDUCT AND NOTICE
 OF  HEARINGS  HELD  PURSUANT  TO  SECTION ONE HUNDRED SIXTY-MMMM OF THIS
 ARTICLE.
   § 160-MMMM. VIOLATIONS. 1. IF THE SECRETARY BELIEVES  A  VIOLATION  OF
 THIS ARTICLE BY A FUND MEMBER MAY HAVE OCCURRED, UPON NOTICE TO THE FUND
 MEMBER,  A  HEARING  SHALL BE HELD BY THE SECRETARY TO DETERMINE WHETHER
 SUCH VIOLATION OCCURRED.
   2. EXCEPT AS OTHERWISE PROVIDED IN THIS SECTION, A FUND MEMBER THAT IS
 FOUND, AFTER A HEARING HELD PURSUANT TO SUBDIVISION ONE OF THIS SECTION,
 TO HAVE VIOLATED A PROVISION OF THIS ARTICLE, OR A RULE  PROMULGATED  BY
 THE  DEPARTMENT  PURSUANT TO THIS ARTICLE, SHALL BE LIABLE FOR A FINE IN
 AN AMOUNT NOT TO EXCEED TEN THOUSAND DOLLARS PER VIOLATION.
   3. WITHIN TWENTY DAYS AFTER ISSUANCE OF A DETERMINATION ADVERSE  TO  A
 TRANSPORTATION  NETWORK  COMPANY  FOLLOWING  A  HEARING HELD PURSUANT TO
 SUBDIVISION ONE OF THIS SECTION, AN APPEAL MAY BE TAKEN THEREFROM TO THE
 APPELLATE DIVISION OF  THE  SUPREME  COURT,  THIRD  DEPARTMENT,  BY  THE
 AGGRIEVED TRANSPORTATION NETWORK COMPANY.
   §  12.    Subdivision 1 of section 171-a of the tax law, as amended by
 chapter 90 of the laws of 2014, is amended to read as follows:
   1. All taxes, interest, penalties and fees collected  or  received  by
 the commissioner or the commissioner's duly authorized agent under arti-
 cles nine (except section one hundred eighty-two-a thereof and except as
 otherwise  provided  in  section  two  hundred  five  thereof),  nine-A,
 twelve-A (except as otherwise provided in section  two  hundred  eighty-
 four-d  thereof),  thirteen, thirteen-A (except as otherwise provided in
 section  three  hundred  twelve  thereof),  eighteen,  nineteen,  twenty
 (except  as otherwise provided in section four hundred eighty-two there-
 of), twenty-B, twenty-one, twenty-two, twenty-six, [twenty-six-B,] twen-
 ty-eight (except as otherwise provided in section eleven hundred two  or
 eleven  hundred three thereof), twenty-eight-A, TWENTY-NINE-B (EXCEPT AS
 OTHERWISE PROVIDED IN  SECTION  TWELVE  HUNDRED  NINETY-EIGHT  THEREOF),
 thirty-one  (except  as  otherwise  provided in section fourteen hundred
 twenty-one thereof), thirty-three and  thirty-three-A  of  this  chapter
 shall  be  deposited  daily  in one account with such responsible banks,

 S. 2008                            43                            A. 3008
 
 banking houses or trust companies as may  be  designated  by  the  comp-
 troller, to the credit of the comptroller. Such an account may be estab-
 lished  in one or more of such depositories. Such deposits shall be kept
 separate  and  apart from all other money in the possession of the comp-
 troller. The comptroller shall require adequate security from  all  such
 depositories.  Of  the  total  revenue  collected or received under such
 articles of this chapter, the comptroller  shall  retain  in  the  comp-
 troller's  hands  such  amount  as  the commissioner may determine to be
 necessary for refunds or reimbursements  under  such  articles  of  this
 chapter  out  of  which  amount the comptroller shall pay any refunds or
 reimbursements to which taxpayers shall be entitled under the provisions
 of such articles of this chapter. The commissioner and  the  comptroller
 shall  maintain  a  system  of  accounts  showing  the amount of revenue
 collected or received from each of the taxes imposed by  such  articles.
 The  comptroller,  after  reserving  the  amount  to pay such refunds or
 reimbursements, shall, on or before the tenth day  of  each  month,  pay
 into  the  state  treasury to the credit of the general fund all revenue
 deposited under this section during the  preceding  calendar  month  and
 remaining  to the comptroller's credit on the last day of such preceding
 month, (i) except that the comptroller shall pay to the state department
 of social services that amount of overpayments of tax imposed by article
 twenty-two of this chapter and the interest  on  such  amount  which  is
 certified  to  the  comptroller  by the commissioner as the amount to be
 credited against past-due support pursuant to subdivision six of section
 one hundred seventy-one-c of this article,  (ii)  and  except  that  the
 comptroller  shall  pay  to the New York state higher education services
 corporation and the state university of New York or the city  university
 of  New  York respectively that amount of overpayments of tax imposed by
 article twenty-two of this chapter and the interest on such amount which
 is certified to the comptroller by the commissioner as the amount to  be
 credited  against  the  amount  of  defaults  in repayment of guaranteed
 student loans and state university loans or city university loans pursu-
 ant to subdivision five of section one hundred seventy-one-d and  subdi-
 vision  six  of section one hundred seventy-one-e of this article, (iii)
 and except further that, notwithstanding any law, the comptroller  shall
 credit   to   the   revenue   arrearage  account,  pursuant  to  section
 ninety-one-a of the state finance law, that amount of overpayment of tax
 imposed by article nine, nine-A, twenty-two, thirty, thirty-A,  thirty-B
 or  thirty-three  of  this  chapter,  and any interest thereon, which is
 certified to the comptroller by the commissioner as  the  amount  to  be
 credited  against  a  past-due  legally enforceable debt owed to a state
 agency pursuant to paragraph (a)  of  subdivision  six  of  section  one
 hundred seventy-one-f of this article, provided, however, he shall cred-
 it  to the special offset fiduciary account, pursuant to section ninety-
 one-c of the state finance law, any such amount creditable as a  liabil-
 ity  as  set  forth  in  paragraph (b) of subdivision six of section one
 hundred seventy-one-f of this article, (iv) and except further that  the
 comptroller shall pay to the city of New York that amount of overpayment
 of  tax  imposed  by article nine, nine-A, twenty-two, thirty, thirty-A,
 thirty-B or thirty-three of this chapter and any interest  thereon  that
 is  certified to the comptroller by the commissioner as the amount to be
 credited against city of New York tax warrant judgment debt pursuant  to
 section  one  hundred  seventy-one-l  of  this  article,  (v) and except
 further that the comptroller shall pay to a  non-obligated  spouse  that
 amount of overpayment of tax imposed by article twenty-two of this chap-
 ter  and the interest on such amount which has been credited pursuant to

 S. 2008                            44                            A. 3008
 
 section  one  hundred  seventy-one-c,  one  hundred  seventy-one-d,  one
 hundred  seventy-one-e,  one hundred seventy-one-f or one hundred seven-
 ty-one-l of this article and which is certified to  the  comptroller  by
 the commissioner as the amount due such non-obligated spouse pursuant to
 paragraph six of subsection (b) of section six hundred fifty-one of this
 chapter;  and  (vi) the comptroller shall deduct a like amount which the
 comptroller shall pay into the treasury to the  credit  of  the  general
 fund  from  amounts  subsequently  payable  to  the department of social
 services, the state university of New York, the city university  of  New
 York,  or  the  higher  education  services  corporation, or the revenue
 arrearage account  or  special  offset  fiduciary  account  pursuant  to
 section  ninety-one-a  or  ninety-one-c of the state finance law, as the
 case may be, whichever had been credited the amount originally  withheld
 from  such  overpayment,  and  (vii)  with respect to amounts originally
 withheld from such overpayment pursuant to section one hundred  seventy-
 one-l  of this article and paid to the city of New York, the comptroller
 shall collect a like amount from the city of New York.
   § 13. Subdivision 1 of section 171-a of the tax  law,  as  amended  by
 section  54  of  part A of chapter 59 of the laws of 2014, is amended to
 read as follows:
   1. All taxes, interest, penalties and fees collected  or  received  by
 the commissioner or the commissioner's duly authorized agent under arti-
 cles nine (except section one hundred eighty-two-a thereof and except as
 otherwise  provided  in  section  two  hundred  five  thereof),  nine-A,
 twelve-A (except as otherwise provided in section  two  hundred  eighty-
 four-d  thereof),  thirteen, thirteen-A (except as otherwise provided in
 section  three  hundred  twelve  thereof),  eighteen,  nineteen,  twenty
 (except  as otherwise provided in section four hundred eighty-two there-
 of), twenty-one, twenty-two,  twenty-six,  [twenty-six-B,]  twenty-eight
 (except  as  otherwise  provided in section eleven hundred two or eleven
 hundred three thereof), twenty-eight-A, TWENTY-NINE-B (EXCEPT AS  OTHER-
 WISE  PROVIDED  IN SECTION TWELVE HUNDRED NINETY-EIGHT THEREOF), thirty-
 one (except as otherwise provided in section fourteen hundred twenty-one
 thereof), thirty-three and  thirty-three-A  of  this  chapter  shall  be
 deposited  daily  in  one  account  with such responsible banks, banking
 houses or trust companies as may be designated by  the  comptroller,  to
 the credit of the comptroller. Such an account may be established in one
 or  more  of such depositories. Such deposits shall be kept separate and
 apart from all other money in the possession  of  the  comptroller.  The
 comptroller  shall require adequate security from all such depositories.
 Of the total revenue collected or received under such articles  of  this
 chapter,  the  comptroller  shall retain in the comptroller's hands such
 amount as the commissioner may determine to be necessary for refunds  or
 reimbursements  under  such articles of this chapter out of which amount
 the comptroller shall pay any refunds or reimbursements to which taxpay-
 ers shall be entitled under the provisions  of  such  articles  of  this
 chapter. The commissioner and the comptroller shall maintain a system of
 accounts  showing  the amount of revenue collected or received from each
 of the taxes imposed by such articles. The comptroller, after  reserving
 the  amount  to  pay such refunds or reimbursements, shall, on or before
 the tenth day of each month, pay into the state treasury to  the  credit
 of  the general fund all revenue deposited under this section during the
 preceding calendar month and remaining to the  comptroller's  credit  on
 the  last  day  of such preceding month, (i) except that the comptroller
 shall pay to the state department of  social  services  that  amount  of
 overpayments  of  tax  imposed by article twenty-two of this chapter and

 S. 2008                            45                            A. 3008
 
 the interest on such amount which is certified to the comptroller by the
 commissioner as the amount  to  be  credited  against  past-due  support
 pursuant to subdivision six of section one hundred seventy-one-c of this
 article,  (ii) and except that the comptroller shall pay to the New York
 state higher education services corporation and the state university  of
 New  York or the city university of New York respectively that amount of
 overpayments of tax imposed by article twenty-two of  this  chapter  and
 the interest on such amount which is certified to the comptroller by the
 commissioner as the amount to be credited against the amount of defaults
 in  repayment  of guaranteed student loans and state university loans or
 city university loans  pursuant  to  subdivision  five  of  section  one
 hundred  seventy-one-d and subdivision six of section one hundred seven-
 ty-one-e of this article, (iii) and except further that, notwithstanding
 any law, the comptroller shall credit to the revenue arrearage  account,
 pursuant  to  section ninety-one-a of the state finance law, that amount
 of overpayment of tax imposed by article nine, nine-A, twenty-two, thir-
 ty, thirty-A, thirty-B or thirty-three of this chapter, and any interest
 thereon, which is certified to the comptroller by  the  commissioner  as
 the  amount  to  be credited against a past-due legally enforceable debt
 owed to a state agency pursuant to paragraph (a) of subdivision  six  of
 section one hundred seventy-one-f of this article, provided, however, he
 shall  credit  to  the  special  offset  fiduciary  account, pursuant to
 section ninety-one-c of the state finance law, any such amount  credita-
 ble  as  a liability as set forth in paragraph (b) of subdivision six of
 section one hundred seventy-one-f  of  this  article,  (iv)  and  except
 further  that  the  comptroller  shall  pay to the city of New York that
 amount of overpayment of tax imposed by article  nine,  nine-A,  twenty-
 two,  thirty, thirty-A, thirty-B or thirty-three of this chapter and any
 interest thereon that is certified to the comptroller by the commission-
 er as the amount to be credited against city of  New  York  tax  warrant
 judgment  debt  pursuant  to  section  one hundred seventy-one-l of this
 article, (v) and except further that the  comptroller  shall  pay  to  a
 non-obligated  spouse that amount of overpayment of tax imposed by arti-
 cle twenty-two of this chapter and the interest on such amount which has
 been credited pursuant to section one hundred seventy-one-c, one hundred
 seventy-one-d, one hundred seventy-one-e, one hundred  seventy-one-f  or
 one  hundred seventy-one-l of this article and which is certified to the
 comptroller by the commissioner as the  amount  due  such  non-obligated
 spouse  pursuant  to  paragraph  six  of  subsection  (b) of section six
 hundred fifty-one of this chapter; and (vi) the comptroller shall deduct
 a like amount which the comptroller shall pay into the treasury  to  the
 credit  of  the  general  fund  from amounts subsequently payable to the
 department of social services, the state university  of  New  York,  the
 city  university  of  New  York, or the higher education services corpo-
 ration, or the revenue arrearage account  or  special  offset  fiduciary
 account  pursuant  to  section ninety-one-a or ninety-one-c of the state
 finance law, as the case may be, whichever had been credited the  amount
 originally  withheld  from  such  overpayment, and (vii) with respect to
 amounts originally withheld from such overpayment  pursuant  to  section
 one  hundred  seventy-one-l  of this article and paid to the city of New
 York, the comptroller shall collect a like amount from the city  of  New
 York.
   §  14. Paragraph 34 of subdivision (b) of section 1101 of the tax law,
 as amended by section 1 of part WW of chapter 57 of the laws of 2010, is
 amended to read as follows:

 S. 2008                            46                            A. 3008

   (34) Transportation service. The service of transporting, carrying  or
 conveying  a  person  or  persons by livery service; whether to a single
 destination or to multiple destinations; and  whether  the  compensation
 paid  by  or  on behalf of the passenger is based on mileage, trip, time
 consumed  or  any  other  basis.  A service that begins and ends in this
 state is deemed intra-state even if it passes outside this state  during
 a  portion of the trip. However, transportation service does not include
 transportation of persons in connection  with  funerals.  Transportation
 service  includes  transporting,  carrying, or conveying property of the
 person being transported, whether owned  by  or  in  the  care  of  such
 person.  NOTWITHSTANDING THE FOREGOING, TRANSPORTATION SERVICE SHALL NOT
 INCLUDE  A  TNC  PREARRANGED  TRIP,  AS  THAT TERM IS DEFINED IN ARTICLE
 FORTY-FOUR-B OF THE VEHICLE AND TRAFFIC LAW,  THAT  IS  SUBJECT  TO  TAX
 UNDER  ARTICLE  TWENTY-NINE-B  OF  THIS  CHAPTER. In addition to what is
 included in the definition of  "receipt"  in  paragraph  three  of  this
 subdivision, receipts from the sale of transportation service subject to
 tax  include  any handling, carrying, baggage, booking service, adminis-
 trative, mark-up, additional, or other charge, of any  nature,  made  in
 conjunction  with  the  transportation  service.  Livery  service  means
 service provided by limousine, black car or other motor vehicle, with  a
 driver, but excluding (i) a taxicab, (ii) a bus, and (iii), in a city of
 one  million  or  more  in this state, an affiliated livery vehicle, and
 excluding any scheduled public service. Limousine means a vehicle with a
 seating capacity of up to fourteen persons, excluding the driver.  Black
 car means a for-hire vehicle dispatched from a central facility. "Affil-
 iated  livery  vehicle"  means  a  for-hire motor vehicle with a seating
 capacity of up to six persons, including the driver, other than a  black
 car or luxury limousine, that is authorized and licensed by the taxi and
 limousine  commission  of a city of one million or more to be dispatched
 by a base station located in such a city and regulated by such taxi  and
 limousine  commission; and the charges for service provided by an affil-
 iated livery vehicle are on the basis of flat rate,  time,  mileage,  or
 zones and not on a garage to garage basis.
   §  15.  The tax law is amended by adding a new article 29-B to read as
 follows:
                               ARTICLE 29-B
          STATE ASSESSMENT FEE ON TRANSPORTATION NETWORK COMPANY
                             PREARRANGED TRIPS
 SECTION 1291. DEFINITIONS.
         1292. IMPOSITION.
         1293. PRESUMPTION.
         1294. RETURNS AND PAYMENT OF STATE ASSESSMENT FEE.
         1295. RECORDS TO BE KEPT.
         1296. SECRECY OF RETURNS AND REPORTS.
         1297. PRACTICE AND PROCEDURE.
         1298. DEPOSIT AND DISPOSITION OF REVENUE.
   § 1291. DEFINITIONS. (A) "PERSON" MEANS  AN  INDIVIDUAL,  PARTNERSHIP,
 LIMITED  LIABILITY  COMPANY,  SOCIETY, ASSOCIATION, JOINT STOCK COMPANY,
 CORPORATION, ESTATE, RECEIVER, TRUSTEE, ASSIGNEE, REFEREE OR  ANY  OTHER
 PERSON  ACTING  IN  A  FIDUCIARY  OR  REPRESENTATIVE  CAPACITY,  WHETHER
 APPOINTED BY A COURT OR OTHERWISE, ANY COMBINATION  OF  INDIVIDUALS  AND
 ANY OTHER FORM OF UNINCORPORATED ENTERPRISE OWNED OR CONDUCTED BY TWO OR
 MORE PERSONS.
   (B)  "CITY" MEANS A CITY OF A MILLION OR MORE LOCATED IN THE METROPOL-
 ITAN COMMUTER TRANSPORTATION  DISTRICT  ESTABLISHED  BY  SECTION  TWELVE
 HUNDRED SIXTY-TWO OF THE PUBLIC AUTHORITIES LAW.

 S. 2008                            47                            A. 3008
 
   (C)  "TRANSPORTATION  NETWORK  COMPANY"  OR  "TNC" SHALL HAVE THE SAME
 MEANING AS THE TERM IS DEFINED IN ARTICLE FORTY-FOUR-B  OF  THE  VEHICLE
 AND TRAFFIC LAW.
   (D)  "TNC PREARRANGED TRIP" SHALL HAVE THE SAME MEANING AS THE TERM IS
 DEFINED IN ARTICLE FORTY-FOUR-B OF THE VEHICLE AND TRAFFIC LAW.
   (E) "TNC DRIVER" SHALL HAVE THE SAME MEANING AS THE TERM IS DEFINED IN
 ARTICLE FORTY-FOUR-B OF THE VEHICLE AND TRAFFIC LAW.
   (F) "TNC VEHICLE" SHALL HAVE THE SAME MEANING AS THE TERM  IS  DEFINED
 IN ARTICLE FORTY-FOUR-B OF THE VEHICLE AND TRAFFIC LAW.
   (G)  "GROSS TRIP FARE" MEANS THE SUM OF THE BASE FARE CHARGE, DISTANCE
 CHARGE AND TIME CHARGE FOR A COMPLETE TNC PREARRANGED TRIP AT  THE  RATE
 PUBLISHED BY THE TNC BY OR THROUGH WHICH SUCH TRIP IS ARRANGED.
   §  1292.  IMPOSITION.  THERE  IS  HEREBY  IMPOSED ON EVERY TNC A STATE
 ASSESSMENT FEE OF 5.5% OF THE GROSS TRIP FARE OF EVERY  TNC  PREARRANGED
 TRIP  PROVIDED BY SUCH TNC THAT ORIGINATES ANYWHERE IN THE STATE OUTSIDE
 THE CITY AND TERMINATES ANYWHERE IN THIS STATE.
   § 1293. PRESUMPTION. FOR THE PURPOSE OF THE PROPER  ADMINISTRATION  OF
 THIS  ARTICLE AND TO PREVENT EVASION OF THE STATE ASSESSMENT FEE IMPOSED
 BY THIS ARTICLE, IT SHALL BE PRESUMED THAT EVERY  TNC  PREARRANGED  TRIP
 THAT ORIGINATES ANYWHERE IN THE STATE OUTSIDE THE CITY IS SUBJECT TO THE
 STATE  ASSESSMENT FEE. THIS PRESUMPTION SHALL PREVAIL UNTIL THE CONTRARY
 IS PROVEN BY THE PERSON LIABLE FOR THE FEE.
   § 1294. RETURNS AND PAYMENT OF STATE ASSESSMENT FEE. (A) EVERY  PERSON
 LIABLE FOR THE STATE ASSESSMENT FEE IMPOSED BY THIS ARTICLE SHALL FILE A
 RETURN  ON A CALENDAR-QUARTERLY BASIS WITH THE COMMISSIONER. EACH RETURN
 SHALL SHOW THE NUMBER OF TNC PREARRANGED TRIPS IN THE QUARTER FOR  WHICH
 THE RETURN IS FILED, TOGETHER WITH SUCH OTHER INFORMATION AS THE COMMIS-
 SIONER MAY REQUIRE.  THE RETURNS REQUIRED BY THIS SECTION SHALL BE FILED
 WITHIN  THIRTY DAYS AFTER THE END OF THE QUARTERLY PERIOD COVERED THERE-
 BY. IF THE COMMISSIONER DEEMS  IT  NECESSARY  IN  ORDER  TO  ENSURE  THE
 PAYMENT OF THE STATE ASSESSMENT FEE IMPOSED BY THIS ARTICLE, THE COMMIS-
 SIONER  MAY  REQUIRE  RETURNS  TO  BE  MADE  FOR  SHORTER  PERIODS  THAN
 PRESCRIBED BY THE FOREGOING PROVISIONS OF THIS SECTION,  AND  UPON  SUCH
 DATES  AS  THE  COMMISSIONER  MAY  SPECIFY. THE FORM OF RETURNS SHALL BE
 PRESCRIBED BY THE COMMISSIONER AND SHALL CONTAIN SUCH INFORMATION AS THE
 COMMISSIONER MAY DEEM NECESSARY FOR THE PROPER  ADMINISTRATION  OF  THIS
 ARTICLE. THE COMMISSIONER MAY REQUIRE AMENDED RETURNS TO BE FILED WITHIN
 THIRTY DAYS AFTER NOTICE AND TO CONTAIN THE INFORMATION SPECIFIED IN THE
 NOTICE. THE COMMISSIONER MAY REQUIRE THAT THE RETURNS BE FILED ELECTRON-
 ICALLY.
   (B)  EVERY  PERSON REQUIRED TO FILE A RETURN UNDER THIS ARTICLE SHALL,
 AT THE TIME OF FILING SUCH RETURN, PAY TO THE COMMISSIONER THE TOTAL  OF
 ALL STATE ASSESSMENT FEES ON THE CORRECT NUMBER OF TRIPS SUBJECT TO SUCH
 FEE  UNDER  THIS  ARTICLE. THE AMOUNT SO PAYABLE TO THE COMMISSIONER FOR
 THE PERIOD FOR WHICH A RETURN IS REQUIRED TO BE FILED SHALL BE  DUE  AND
 PAYABLE  TO THE COMMISSIONER ON THE DATE SPECIFIED FOR THE FILING OF THE
 RETURN FOR SUCH PERIOD, WITHOUT REGARD TO WHETHER A RETURN IS  FILED  OR
 WHETHER  THE  RETURN THAT IS FILED CORRECTLY SHOWS THE CORRECT NUMBER OF
 TRIPS OR THE AMOUNT OF FEES DUE THEREON. THE  COMMISSIONER  MAY  REQUIRE
 THAT THE FEE BE PAID ELECTRONICALLY.
   §  1295. RECORDS TO BE KEPT. EVERY PERSON LIABLE FOR THE STATE ASSESS-
 MENT FEE IMPOSED BY THIS ARTICLE SHALL KEEP:
   (A) RECORDS OF EVERY TNC PREARRANGED TRIP SUBJECT TO THE STATE ASSESS-
 MENT FEE UNDER THIS ARTICLE, AND OF ALL AMOUNTS  PAID,  CHARGED  OR  DUE
 THEREON, IN SUCH FORM AS THE COMMISSIONER MAY REQUIRE;

 S. 2008                            48                            A. 3008
 
   (B)  TRUE  AND COMPLETE COPIES OF ANY RECORDS REQUIRED TO BE KEPT BY A
 STATE AGENCY THAT IS AUTHORIZED TO PERMIT OR REGULATE A TNC; AND
   (C) SUCH OTHER RECORDS AND INFORMATION AS THE COMMISSIONER MAY REQUIRE
 TO PERFORM HIS OR HER DUTIES UNDER THIS ARTICLE.
   §  1296. SECRECY OF RETURNS AND REPORTS. (A) EXCEPT IN ACCORDANCE WITH
 PROPER JUDICIAL ORDER OR AS OTHERWISE  PROVIDED  BY  LAW,  IT  SHALL  BE
 UNLAWFUL  FOR  THE  COMMISSIONER, ANY OFFICER OR EMPLOYEE OF THE DEPART-
 MENT, ANY PERSON ENGAGED OR RETAINED BY THE DEPARTMENT ON AN INDEPENDENT
 CONTRACT BASIS, OR ANY PERSON WHO IN ANY MANNER MAY ACQUIRE KNOWLEDGE OF
 THE CONTENTS OF A RETURN OR REPORT FILED WITH THE COMMISSIONER  PURSUANT
 TO  THIS ARTICLE, TO DIVULGE OR MAKE KNOWN IN ANY MANNER ANY PARTICULARS
 SET FORTH OR DISCLOSED IN ANY SUCH  RETURN  OR  REPORT.    THE  OFFICERS
 CHARGED  WITH  THE  CUSTODY  OF  SUCH  RETURNS  AND REPORTS SHALL NOT BE
 REQUIRED TO PRODUCE ANY OF THEM OR EVIDENCE  OF  ANYTHING  CONTAINED  IN
 THEM  IN  ANY ACTION OR PROCEEDING IN ANY COURT, EXCEPT ON BEHALF OF THE
 COMMISSIONER IN AN ACTION OR PROCEEDING UNDER  THE  PROVISIONS  OF  THIS
 CHAPTER OR IN ANY OTHER ACTION OR PROCEEDING INVOLVING THE COLLECTION OF
 A  STATE ASSESSMENT FEE DUE UNDER THIS ARTICLE TO WHICH THE STATE OR THE
 COMMISSIONER IS A PARTY OR A CLAIMANT, OR ON BEHALF OF ANY PARTY TO  ANY
 ACTION,  PROCEEDING OR HEARING UNDER THE PROVISIONS OF THIS ARTICLE WHEN
 THE RETURNS, REPORTS OR FACTS SHOWN THEREBY  ARE  DIRECTLY  INVOLVED  IN
 SUCH ACTION, PROCEEDING OR HEARING, IN ANY OF WHICH EVENTS THE COURT, OR
 IN  THE  CASE  OF A HEARING, THE DIVISION OF TAX APPEALS MAY REQUIRE THE
 PRODUCTION OF, AND MAY ADMIT INTO EVIDENCE, SO  MUCH  OF  SAID  RETURNS,
 REPORTS  OR  OF THE FACTS SHOWN THEREBY, AS ARE PERTINENT TO THE ACTION,
 PROCEEDING OR HEARING AND NO MORE. THE COMMISSIONER OR THE  DIVISION  OF
 TAX  APPEALS MAY, NEVERTHELESS, PUBLISH A COPY OR A SUMMARY OF ANY DECI-
 SION RENDERED AFTER A HEARING REQUIRED BY THIS ARTICLE.  NOTHING IN THIS
 SECTION SHALL BE CONSTRUED TO PROHIBIT THE DELIVERY TO A PERSON WHO  HAS
 FILED  A  RETURN OR REPORT OR TO SUCH PERSON'S DULY AUTHORIZED REPRESEN-
 TATIVE OF A CERTIFIED COPY OF ANY RETURN OR REPORT FILED  IN  CONNECTION
 WITH  SUCH  PERSON'S  STATE  ASSESSMENT  FEE. NOR SHALL ANYTHING IN THIS
 SECTION BE CONSTRUED TO PROHIBIT THE PUBLICATION OF STATISTICS SO  CLAS-
 SIFIED AS TO PREVENT THE IDENTIFICATION OF PARTICULAR RETURNS OR REPORTS
 AND  THE  ITEMS  THEREOF,  OR  THE INSPECTION BY THE ATTORNEY GENERAL OR
 OTHER LEGAL REPRESENTATIVES OF THE STATE OF THE RETURN OR REPORT OF  ANY
 PERSON  REQUIRED  TO PAY THE STATE ASSESSMENT FEE WHO SHALL BRING ACTION
 TO REVIEW THE STATE ASSESSMENT FEE BASED THEREON,  OR  AGAINST  WHOM  AN
 ACTION  OR  PROCEEDING  UNDER  THIS  CHAPTER HAS BEEN RECOMMENDED BY THE
 COMMISSIONER OR THE ATTORNEY GENERAL OR  HAS  BEEN  INSTITUTED,  OR  THE
 INSPECTION  OF THE RETURNS OR REPORTS REQUIRED UNDER THIS ARTICLE BY THE
 COMPTROLLER OR DULY DESIGNATED OFFICER OR EMPLOYEE OF THE STATE  DEPART-
 MENT  OF AUDIT AND CONTROL, FOR PURPOSES OF THE AUDIT OF A REFUND OF ANY
 STATE ASSESSMENT FEE PAID BY A PERSON REQUIRED TO PAY THE STATE  ASSESS-
 MENT  FEE UNDER THIS ARTICLE. PROVIDED, FURTHER, NOTHING IN THIS SECTION
 SHALL BE CONSTRUED TO PROHIBIT THE DISCLOSURE, IN  SUCH  MANNER  AS  THE
 COMMISSIONER DEEMS APPROPRIATE, OF THE NAMES AND OTHER APPROPRIATE IDEN-
 TIFYING  INFORMATION  OF  THOSE PERSONS REQUIRED TO PAY STATE ASSESSMENT
 FEE UNDER THIS ARTICLE.
   (B) NOTWITHSTANDING THE PROVISIONS OF SUBDIVISION (A) OF THIS SECTION,
 THE COMMISSIONER, IN HIS OR HER DISCRETION, MAY REQUIRE OR PERMIT ANY OR
 ALL PERSONS LIABLE FOR ANY STATE ASSESSMENT FEE IMPOSED BY THIS ARTICLE,
 TO MAKE PAYMENT TO BANKS, BANKING HOUSES OR TRUST  COMPANIES  DESIGNATED
 BY  THE COMMISSIONER AND TO FILE RETURNS WITH SUCH BANKS, BANKING HOUSES
 OR TRUST COMPANIES AS AGENTS OF THE COMMISSIONER, IN LIEU OF PAYING  ANY
 SUCH  STATE  ASSESSMENT  FEE  DIRECTLY TO THE COMMISSIONER. HOWEVER, THE

 S. 2008                            49                            A. 3008
 
 COMMISSIONER SHALL DESIGNATE ONLY SUCH BANKS, BANKING  HOUSES  OR  TRUST
 COMPANIES  AS  ARE ALREADY DESIGNATED BY THE COMPTROLLER AS DEPOSITORIES
 PURSUANT TO SECTION TWELVE HUNDRED EIGHTY-EIGHT OF THIS CHAPTER.
   (C) NOTWITHSTANDING THE PROVISIONS OF SUBDIVISION (A) OF THIS SECTION,
 THE  COMMISSIONER MAY PERMIT THE SECRETARY OF THE TREASURY OF THE UNITED
 STATES OR SUCH SECRETARY'S DELEGATE, OR THE AUTHORIZED REPRESENTATIVE OF
 EITHER SUCH OFFICER, TO INSPECT ANY RETURN FILED UNDER THIS ARTICLE,  OR
 MAY  FURNISH TO SUCH OFFICER OR SUCH OFFICER'S AUTHORIZED REPRESENTATIVE
 AN ABSTRACT OF ANY SUCH RETURN OR SUPPLY SUCH  PERSON  WITH  INFORMATION
 CONCERNING  AN  ITEM  CONTAINED  IN ANY SUCH RETURN, OR DISCLOSED BY ANY
 INVESTIGATION OF LIABILITY UNDER THIS ARTICLE, BUT SUCH PERMISSION SHALL
 BE GRANTED OR SUCH INFORMATION FURNISHED ONLY IF THE LAWS OF THE  UNITED
 STATES  GRANT  SUBSTANTIALLY  SIMILAR  PRIVILEGES TO THE COMMISSIONER OR
 OFFICER OF THIS STATE CHARGED  WITH  THE  ADMINISTRATION  OF  THE  STATE
 ASSESSMENT  FEE IMPOSED BY THIS ARTICLE, AND ONLY IF SUCH INFORMATION IS
 TO BE USED FOR PURPOSES OF TAX ADMINISTRATION ONLY; AND PROVIDED FURTHER
 THE COMMISSIONER MAY FURNISH TO THE COMMISSIONER OF INTERNAL REVENUE  OR
 SUCH  COMMISSIONER'S  AUTHORIZED REPRESENTATIVE SUCH RETURNS FILED UNDER
 THIS ARTICLE AND OTHER TAX INFORMATION, AS SUCH COMMISSIONER MAY CONSID-
 ER PROPER, FOR USE IN COURT ACTIONS OR PROCEEDINGS  UNDER  THE  INTERNAL
 REVENUE  CODE, WHETHER CIVIL OR CRIMINAL, WHERE A WRITTEN REQUEST THERE-
 FOR HAS BEEN MADE TO THE COMMISSIONER BY THE SECRETARY OF  THE  TREASURY
 OF  THE UNITED STATES OR SUCH SECRETARY'S DELEGATE, PROVIDED THE LAWS OF
 THE UNITED STATES GRANT SUBSTANTIALLY SIMILAR POWERS TO THE SECRETARY OF
 THE TREASURY OF THE UNITED STATES OR HIS  OR  HER  DELEGATE.  WHERE  THE
 COMMISSIONER  HAS  SO AUTHORIZED USE OF RETURNS AND OTHER INFORMATION IN
 SUCH ACTIONS OR PROCEEDINGS, OFFICERS AND EMPLOYEES  OF  THE  DEPARTMENT
 MAY TESTIFY IN SUCH ACTIONS OR PROCEEDINGS IN RESPECT TO SUCH RETURNS OR
 OTHER INFORMATION.
   (D)  RETURNS  AND  REPORTS FILED UNDER THIS ARTICLE SHALL BE PRESERVED
 FOR THREE YEARS AND THEREAFTER UNTIL THE COMMISSIONER ORDERS THEM TO  BE
 DESTROYED.
   (E)  (1)  ANY  OFFICER OR EMPLOYEE OF THE STATE WHO WILLFULLY VIOLATES
 THE PROVISIONS OF SUBDIVISION (A) OF THIS  SECTION  SHALL  BE  DISMISSED
 FROM  OFFICE  AND BE INCAPABLE OF HOLDING ANY PUBLIC OFFICE FOR A PERIOD
 OF FIVE YEARS THEREAFTER.
   (2) CROSS-REFERENCE: FOR CRIMINAL PENALTIES, SEE ARTICLE  THIRTY-SEVEN
 OF THIS CHAPTER.
   § 1297. PRACTICE AND PROCEDURE. THE PROVISIONS OF ARTICLE TWENTY-SEVEN
 OF  THIS  CHAPTER  SHALL APPLY WITH RESPECT TO THE ADMINISTRATION OF AND
 PROCEDURE WITH RESPECT TO THE STATE ASSESSMENT FEE IMPOSED BY THIS ARTI-
 CLE IN THE SAME MANNER AND WITH THE SAME FORCE  AND  EFFECT  AS  IF  THE
 LANGUAGE OF SUCH ARTICLE TWENTY-SEVEN HAD BEEN INCORPORATED IN FULL INTO
 THIS  ARTICLE  AND  HAD  EXPRESSLY  REFERRED TO THE STATE ASSESSMENT FEE
 UNDER THIS ARTICLE, EXCEPT TO THE EXTENT  THAT  ANY  SUCH  PROVISION  IS
 EITHER  INCONSISTENT WITH A PROVISION OF THIS ARTICLE OR IS NOT RELEVANT
 TO THIS ARTICLE.
   § 1298.  DEPOSIT AND DISPOSITION OF REVENUE. ALL TAXES, FEES, INTEREST
 AND PENALTIES COLLECTED OR RECEIVED BY THE COMMISSIONER UNDER THIS ARTI-
 CLE SHALL BE DEPOSITED AND DISPOSED OF PURSUANT  TO  THE  PROVISIONS  OF
 SECTION  ONE  HUNDRED  SEVENTY-ONE-A  OF  THIS CHAPTER. FROM SUCH TAXES,
 INTEREST AND PENALTIES COLLECTED OR RECEIVED BY THE  COMMISSIONER  UNDER
 THIS ARTICLE, 27.27% SHALL BE DEPOSITED TO THE CREDIT OF THE LOCAL TRAN-
 SIT  ASSISTANCE  FUND  ESTABLISHED IN SECTION EIGHTY-NINE-I OF THE STATE
 FINANCE LAW FOR THE SUPPORT OF  LOCAL  TRANSIT  SYSTEMS,  OPERATIONS  OR

 S. 2008                            50                            A. 3008
 
 PROJECTS  OTHER  THAN  THE  METROPOLITAN TRANSPORTATION AUTHORITY OR ANY
 SUBSIDIARY OR AFFILIATE OF THE METROPOLITAN TRANSPORTATION AUTHORITY.
   §  16.  The tax law is amended by adding a new section 1822 to read as
 follows:
   § 1822. VIOLATION  OF  THE  STATE  ASSESSMENT  FEE  ON  TRANSPORTATION
 NETWORK  COMPANY  PREARRANGED  TRIPS. ANY WILLFUL ACT OR OMISSION BY ANY
 PERSON THAT CONSTITUTES A VIOLATION OF ANY PROVISION OF ARTICLE  TWENTY-
 NINE-B OF THIS CHAPTER SHALL CONSTITUTE A MISDEMEANOR.
   §  17. Section 1825 of the tax law, as amended by section 89 of part A
 of chapter 59 of the laws of 2014, is amended to read as follows:
   § 1825. Violation of secrecy provisions of the  tax  law.--Any  person
 who  violates  the  provisions of subdivision (b) of section twenty-one,
 subdivision one of section two hundred two, subdivision eight of section
 two hundred eleven, subdivision (a) of section three  hundred  fourteen,
 subdivision  one  or  two  of section four hundred thirty-seven, section
 four hundred eighty-seven,  subdivision  one  or  two  of  section  five
 hundred  fourteen,  subsection  (e) of section six hundred ninety-seven,
 subsection (a) of section nine hundred ninety-four, subdivision  (a)  of
 section  eleven  hundred forty-six, section twelve hundred eighty-seven,
 SECTION TWELVE HUNDRED NINETY-SIX, subdivision (a) of  section  fourteen
 hundred  eighteen,  subdivision (a) of section fifteen hundred eighteen,
 subdivision (a) of section fifteen hundred fifty-five of  this  chapter,
 and subdivision (e) of section 11-1797 of the administrative code of the
 city of New York shall be guilty of a misdemeanor.
   §  18. 1. For purposes of this section, transportation network company
 shall mean a  transportation  network  company  as  defined  by  article
 forty-four-B of the vehicle and traffic law.
   2.  There  is  hereby  established  the  New York State Transportation
 Network Company Accessibility Task Force to analyze and advise on how to
 maximize effective and integrated transportation  services  for  persons
 with  disabilities in the transportation network company market. The New
 York State Transportation Network Company Accessibility Task Force shall
 consist of eleven members. Two members of the New York State Transporta-
 tion Network Company Accessibility Task Force shall be appointed by  the
 speaker  of  the assembly. Two members of the New York State Transporta-
 tion Network Company Accessibility Task Force shall be appointed by  the
 temporary  president  of the senate. Seven members of the New York State
 Transportation  Network  Company  Accessibility  Task  Force  shall   be
 appointed  by the governor and shall include, but not be limited to, two
 representatives of groups who serve persons with  disabilities  and  two
 representatives  from  a  transportation  network  company. The governor
 shall designate two chairpersons to the New  York  State  Transportation
 Network Company Accessibility Task Force.
   3.  The  New  York  State Transportation Network Company Accessibility
 Task Force shall study the demand responsive transportation  marketplace
 and shall, in addition to any responsibilities assigned by the governor:
 (a)  conduct a needs assessment concerning the demand for demand respon-
 sive  accessible  transportation;  (b)  conduct  a  resource  assessment
 concerning  the availability of accessible demand responsive transporta-
 tion services for persons with disabilities; (c) identify  opportunities
 for,  and barriers to, increasing accessible demand responsive transpor-
 tation service for persons with mobility disabilities; (d) propose stra-
 tegies  for  increasing  accessible  demand  responsive   transportation
 service  for  persons with disabilities; and (e) any other issues deter-
 mined important to the  task  force  in  establishing  a  recommendation
 pursuant to subdivision five of this section.

 S. 2008                            51                            A. 3008
 
   4.  The  New  York  State Transportation Network Company Accessibility
 Task Force shall hold public hearings and  provide  an  opportunity  for
 public  comment  on  the activities described in subdivision two of this
 section.
   5.  The  New  York  State Transportation Network Company Accessibility
 Task Force shall complete a report addressing the  activities  described
 in  subdivision two of this section and make a recommendation, supported
 by such activities, recommending the amount of  accessibility  necessary
 for  adequate transportation for disabled passengers in order to utilize
 such services and present such findings at a public  meeting  where  its
 members  shall accept such report, pursuant to majority vote of the task
 force, and present such report to  the  governor,  the  speaker  of  the
 assembly and the temporary president of the senate, and make such report
 publicly available for review.
   6.  Upon  making  the  report  described  in  subdivision five of this
 section, the New York State Transportation Network Company Accessibility
 Task Force shall be deemed dissolved.
   § 19. The state finance law is amended by adding a new section 89-i to
 read as follows:
   § 89-I. LOCAL TRANSIT ASSISTANCE FUND. 1. THERE IS HEREBY  ESTABLISHED
 IN  THE  JOINT  CUSTODY OF THE STATE COMPTROLLER AND THE COMMISSIONER OF
 TAXATION AND FINANCE A FUND TO BE KNOWN AS THE "LOCAL TRANSIT ASSISTANCE
 FUND". MONEYS IN THE LOCAL TRANSIT ASSISTANCE FUND SHALL BE  KEPT  SEPA-
 RATELY  FROM  AND  SHALL  NOT BE COMMINGLED WITH ANY OTHER MONEYS IN THE
 JOINT OR SOLE CUSTODY OF THE STATE COMPTROLLER OR  THE  COMMISSIONER  OF
 TAXATION AND FINANCE.
   2. THE COMPTROLLER SHALL ESTABLISH THE FOLLOWING SEPARATE AND DISTINCT
 ACCOUNT  WITHIN  THE  LOCAL  TRANSIT  ASSISTANCE  FUND:  NON-MTA TRANSIT
 ASSISTANCE ACCOUNT.
   3. THE LOCAL TRANSIT ASSISTANCE  FUND  SHALL  CONSIST  OF  ALL  MONIES
 COLLECTED  THEREFORE  OR  CREDITED OR TRANSFERRED THERETO FROM ANY OTHER
 FUND, ACCOUNT, OR SOURCE, INCLUDING A PORTION OF  THE  REVENUES  DERIVED
 FROM  ARTICLE  TWENTY-NINE-B  OF  THE TAX LAW PURSUANT TO SECTION TWELVE
 HUNDRED NINETY-EIGHT OF THE TAX LAW. ANY INTEREST RECEIVED BY THE  COMP-
 TROLLER  ON MONIES ON DEPOSIT IN THE LOCAL TRANSIT ASSISTANCE FUND SHALL
 BE RETAINED IN AND BECOME A PART OF SUCH FUND.
   4. MONIES IN THE LOCAL TRANSIT ASSISTANCE FUND SHALL, FOLLOWING APPRO-
 PRIATION BY THE LEGISLATURE, BE UTILIZED FOR THE SUPPORT OF LOCAL TRANS-
 IT SYSTEMS, OPERATIONS OR PROJECTS, AND SHALL NOT BE APPROPRIATED TO THE
 METROPOLITAN TRANSPORTATION AUTHORITY, ITS  AFFILIATES  OR  ITS  SUBSID-
 IARIES.  IN  THE FIRST YEAR THAT MONIES ARE APPROPRIATED FROM THIS FUND,
 AND IN ANY SUBSEQUENT YEARS AS MAY BE REQUIRED BY THE  DIRECTOR  OF  THE
 BUDGET,  SUCH  MONIES  SHALL  BE DISBURSED ACCORDING TO A PLAN DEVELOPED
 DURING THE PRIOR FISCAL YEAR BY  THE COMMISSIONER OF TRANSPORTATION  AND
 APPROVED  BY  THE  DIRECTOR  OF THE BUDGET. THE FIRST SUCH PLAN SHALL BE
 SUBMITTED BY THE COMMISSIONER BY MARCH THIRTY-FIRST, TWO THOUSAND  EIGH-
 TEEN.
   5.  ALL PAYMENTS OF MONEY FROM THE LOCAL TRANSIT ASSISTANCE FUND SHALL
 BE MADE ON THE AUDIT AND WARRANT OF THE COMPTROLLER.
   § 20. Severability clause. If any provision of this act or the  appli-
 cation  thereof  is held invalid, such invalidity shall not affect other
 provisions or applications of this act which can be given effect without
 the invalid provision or application, and to this end the provisions  of
 this act are declared to be severable.
   §  21.  Each agency that is designated to perform any function or duty
 pursuant to this act shall be authorized to establish  rules  and  regu-

 S. 2008                            52                            A. 3008
 
 lations  for  the  administration  and  execution of such authority in a
 manner consistent with the provisions of this act and for the protection
 of the public, health, safety and welfare of persons within this state.
   §  22.  This act shall take effect on the ninetieth day after it shall
 have become a law; provided that the  amendments  to  subdivision  1  of
 section  171-a  of  the tax law made by section twelve of this act shall
 not affect the expiration of such subdivision and  shall  expire  there-
 with, when upon such date the provisions of section thirteen of this act
 shall take effect.
 
                                  PART H
 
   Section  1.  Section  491 of the vehicle and traffic law is amended by
 adding a new subdivision 3 to read as follows:
   3. WAIVER OF FEE. THE COMMISSIONER  MAY  WAIVE  THE  PAYMENT  OF  FEES
 REQUIRED BY SUBDIVISION TWO OF THIS SECTION IF THE APPLICANT IS A VICTIM
 OF  A CRIME AND THE IDENTIFICATION CARD APPLIED FOR IS A REPLACEMENT FOR
 ONE THAT WAS LOST OR DESTROYED AS A RESULT OF THE CRIME.
   § 2. This act shall take effect on the one hundred twentieth day after
 it shall have become a law.
 
                                  PART I
 
   Section 1. Paragraph (i) of subdivision 2 of section 503 of the  vehi-
 cle  and  traffic  law, as amended by chapter 55 of the laws of 1992, is
 amended to read as follows:
   (i) A non-resident whose driving privileges have been revoked pursuant
 to sections five hundred ten, eleven  hundred  ninety-three  and  eleven
 hundred  ninety-four  of  this chapter shall, upon application for rein-
 statement of such driving privileges, pay to the commissioner  of  motor
 vehicles  a fee of [twenty-five] ONE HUNDRED dollars. WHEN THE BASIS FOR
 THE REVOCATION IS A FINDING OF DRIVING  AFTER  HAVING  CONSUMED  ALCOHOL
 PURSUANT  TO  THE  PROVISIONS  OF SECTION ELEVEN HUNDRED NINETY-TWO-A OF
 THIS CHAPTER, THE FEE TO BE  PAID  TO  THE  COMMISSIONER  SHALL  BE  ONE
 HUNDRED DOLLARS. Such fee is not refundable and shall not be returned to
 the applicant regardless of the action the commissioner may take on such
 person's application for reinstatement of such driving privileges.
   § 2. This act shall take effect on the one hundred twentieth day after
 it shall have become a law.
 
                                  PART J
 
   Section  1.  Paragraphs  1 and 3 of subdivision (a) of section 2125 of
 the vehicle and traffic law, as amended by section  1-b  of  part  A  of
 chapter 63 of the laws of 2005, are amended to read as follows:
   (1)  for  filing  an  application  for a certificate of title, [fifty]
 SEVENTY-FIVE dollars except where the application relates  to  a  mobile
 home  or  a  manufactured home as defined in section one hundred twenty-
 two-c of this chapter, in which case the fee shall be one hundred  twen-
 ty-five dollars;
   (3) for a duplicate certificate of title, [twenty] FORTY dollars.
   § 2.  Section 2125 of the vehicle and traffic law is amended by adding
 a new subdivision (h) to read as follows:
   (H)  NOTWITHSTANDING ANY OTHER PROVISION OF LAW, THE INCREASE OF TWEN-
 TY-FIVE DOLLARS FOR THE FEE ASSESSED FOR FILING  AN  APPLICATION  FOR  A
 CERTIFICATE  OF  TITLE  AND  THE  INCREASE OF TWENTY DOLLARS FOR THE FEE

 S. 2008                            53                            A. 3008
 
 ASSESSED FOR FILING AN APPLICATION FOR DUPLICATE TITLE, COLLECTED PURSU-
 ANT TO PARAGRAPHS ONE AND THREE OF  SUBDIVISION  (A)  OF  THIS  SECTION,
 SHALL  BE  DEPOSITED  TO  THE CREDIT OF THE DEDICATED HIGHWAY AND BRIDGE
 TRUST  FUND,  ESTABLISHED PURSUANT TO SECTION EIGHTY-NINE-B OF THE STATE
 FINANCE LAW.
   § 3.  This act shall take effect immediately; provided that the amend-
 ments to paragraph 1 of subdivision (a) of section 2125 of  the  vehicle
 and  traffic  law  made  by section one of this act shall not affect the
 expiration and reversion of such paragraph and shall be deemed to expire
 therewith.
 
                                  PART K
 
   Section 1. Subdivision 2 of section 491 of the vehicle and traffic law
 is amended by adding a new paragraph (f) to read as follows:
   (F) IN ADDITION TO ANY OTHER FEE PRESCRIBED IN THIS SECTION, AN  ADDI-
 TIONAL FEE OF FIVE DOLLARS SHALL BE CHARGED FOR ANY NON-DRIVER IDENTIFI-
 CATION CARD OR RENEWAL OF SUCH CARD THAT IS ISSUED PURSUANT TO AND BEARS
 A MARKING REFLECTING COMPLIANCE WITH THE REAL ID ACT OF 2005, PUBLIC LAW
 109-13,  AND  REGULATIONS PROMULGATED THEREUNDER AT 6 CFR 37 ET SEQ. THE
 FEE COLLECTED PURSUANT TO THIS PARAGRAPH SHALL BE PAID  TO  THE  COMMIS-
 SIONER  AND  SHALL  BE  DEPOSITED  INTO THE DEDICATED HIGHWAY BRIDGE AND
 TRUST FUND PURSUANT TO SECTION EIGHTY-NINE-B OF THE STATE FINANCE LAW.
   § 2. Subdivision 2 of section 503 of the vehicle and  traffic  law  is
 amended by adding a new paragraph (f-2) to read as follows:
   (F-2)  IN  ADDITION  TO  ANY  OTHER FEE PRESCRIBED IN THIS SECTION, AN
 ADDITIONAL FEE OF FIVE DOLLARS SHALL BE CHARGED FOR ANY LICENSE, RENEWAL
 OR AMENDMENT OF SUCH LICENSE THAT IS ISSUED  PURSUANT  TO  AND  BEARS  A
 MARKING  REFLECTING  COMPLIANCE WITH THE REAL ID ACT OF 2005, PUBLIC LAW
 109-13, AND REGULATIONS PROMULGATED THEREUNDER AT 6 CFR 37 ET SEQ.   THE
 FEE  COLLECTED  PURSUANT  TO THIS PARAGRAPH SHALL BE PAID TO THE COMMIS-
 SIONER AND SHALL BE DEPOSITED INTO  THE  DEDICATED  HIGHWAY  BRIDGE  AND
 TRUST FUND PURSUANT TO SECTION EIGHTY-NINE-B OF THE STATE FINANCE LAW.
   § 3. This act shall take effect immediately.
 
                                  PART L
 
   Section  1.  Section 114-a of the vehicle and traffic law, as added by
 chapter 163 of the laws of 1973, is amended to read as follows:
   § 114-a. Drug. The term "drug" when used in this  chapter,  means  and
 includes any substance listed in section thirty-three hundred six of the
 public  health  law  AND ANY SUBSTANCE OR COMBINATION OF SUBSTANCES THAT
 IMPAIR, TO ANY EXTENT, THE PHYSICAL AND MENTAL ABILITIES WHICH A  DRIVER
 IS EXPECTED TO POSSESS IN ORDER TO OPERATE A VEHICLE AS A REASONABLE AND
 PRUDENT DRIVER.
   § 2. Subparagraph (i) of paragraph (a) of subdivision 4 of section 502
 of  the vehicle and traffic law, as amended by chapter 97 of the laws of
 2016, is amended to read as follows:
   (i) Upon submission of an application  for  a  driver's  license,  the
 applicant  shall be required to take and pass a test, or submit evidence
 of passage of a test, with respect to the laws relating to traffic,  the
 laws  relating to driving while ability is impaired and while intoxicat-
 ed, under the overpowering influence of "Road Rage", or "Work Zone Safe-
 ty" awareness as defined by the commissioner, the law relating to  exer-
 cising  due  care  to avoid colliding with a parked, stopped or standing
 authorized emergency vehicle or hazard vehicle pursuant to section elev-

 S. 2008                            54                            A. 3008
 
 en hundred forty-four-a of this chapter, the ability to read and compre-
 hend traffic signs and symbols, BICYCLE AND PEDESTRIAN SAFETY  and  such
 other  matters  as the commissioner may prescribe, and to satisfactorily
 complete  a  course prescribed by the commissioner of not less than four
 hours and not more than  five  hours,  consisting  of  classroom  driver
 training  and highway safety instruction or the equivalent thereof. Such
 test shall include at  least  seven  written  questions  concerning  the
 effects of consumption of alcohol or drugs on the ability of a person to
 operate a motor vehicle and the legal and financial consequences result-
 ing  from  violations of section eleven hundred ninety-two of this chap-
 ter, prohibiting the operation of a motor vehicle while under the influ-
 ence of alcohol or drugs. Such test shall include one  or  more  written
 questions concerning the devastating effects of "Road Rage" on the abil-
 ity  of  a person to operate a motor vehicle and the legal and financial
 consequences resulting from assaulting, threatening or interfering  with
 the  lawful  conduct  of  another person legally using the roadway. Such
 test shall include  one  or  more  questions  concerning  the  potential
 dangers  to persons and equipment resulting from the unsafe operation of
 a motor vehicle in a work zone. Such test may include one or more  ques-
 tions concerning the law for exercising due care to avoid colliding with
 a parked, stopped or standing vehicle pursuant to section eleven hundred
 forty-four-a  of  this  chapter. SUCH TEST MAY INCLUDE ONE OR MORE QUES-
 TIONS CONCERNING BICYCLE AND  PEDESTRIAN  SAFETY.  Such  test  shall  be
 administered  by  the  commissioner.  The  commissioner  shall cause the
 applicant to take a vision test and a test  for  color  blindness.  Upon
 passage  of  the  vision  test,  the application may be accepted and the
 application fee shall be payable.
   § 3. Subparagraph (v) of paragraph (b) of subdivision 2 of section 510
 of the vehicle and traffic law, as amended by chapter 3 of the  laws  of
 1995, is amended to read as follows:
   (v)  For  a  period of six months where the holder is convicted of, or
 receives  a  youthful  offender  or  other  juvenile   adjudication   in
 connection  with,  any  misdemeanor  or  felony  defined  in article two
 hundred twenty or two hundred twenty-one of the penal law, any violation
 of the federal controlled substances act, [any  crime  in  violation  of
 subdivision  four  of section eleven hundred ninety-two of this chapter]
 or any  out-of-state  or  federal  misdemeanor  or  felony  drug-related
 offense;  provided,  however,  that  any time actually served in custody
 pursuant to a sentence or  disposition  imposed  as  a  result  of  such
 conviction  or youthful offender or other juvenile adjudication shall be
 credited against the period of such suspension  and,  provided  further,
 that  the court shall determine that such suspension need not be imposed
 where there are compelling circumstances warranting an exception.
   § 4. Paragraphs i and j of subdivision 6 of section 510 of the vehicle
 and traffic law, as added by chapter  533  of  the  laws  of  1993,  are
 amended to read as follows:
   i. Where suspension of a driver's license is mandatory hereunder based
 upon  a  conviction  of,  or youthful offender or other juvenile adjudi-
 cation in connection with, any misdemeanor or felony as defined in arti-
 cle two hundred twenty or two hundred twenty-one of the penal  law,  any
 violation  of  the  federal  controlled  substances  act,  [any crime in
 violation of subdivision four of section eleven  hundred  ninety-two  of
 this chapter] or any out-of-state or federal misdemeanor or felony drug-
 related  offense,  the  commissioner  may issue a restricted use license
 pursuant to section five hundred thirty of this chapter.

 S. 2008                            55                            A. 3008

   j. Where suspension of a driver's license is mandatory hereunder based
 upon a conviction of, or youthful offender  or  other  juvenile  adjudi-
 cation in connection with, any misdemeanor or felony as defined in arti-
 cle  two  hundred twenty or two hundred twenty-one of the penal law, any
 violation  of  the  federal  controlled  substances  act,  [any crime in
 violation of subdivision four of section eleven  hundred  ninety-two  of
 this chapter] or any out-of-state or federal misdemeanor or felony drug-
 related  offense  and the individual does not have a driver's license or
 the  individual's  driver's  license  was  suspended  at  the  time   of
 conviction  or  youthful  offender  or  other juvenile adjudication, the
 commissioner shall not issue  a  new  license  nor  restore  the  former
 license for a period of six months after such individual would otherwise
 have  become  eligible  to  obtain  a  new license or to have the former
 license restored; provided, however, that during such delay  period  the
 commissioner may issue a restricted use license pursuant to section five
 hundred  thirty  of  this  [chapter]  TITLE to such previously suspended
 licensee.
   § 5. Paragraph (b) of subdivision 2 of section 1193 of the vehicle and
 traffic law is amended by adding  a  new  subparagraph  13  to  read  as
 follows:
   (13)  WHERE  REVOCATION  OF  A DRIVER'S LICENSE IS MANDATORY HEREUNDER
 BASED UPON A CONVICTION OF, OR YOUTHFUL OFFENDER OF OTHER JUVENILE ADJU-
 DICATION IN CONNECTION WITH ANY CRIME IN VIOLATION OF  SUBDIVISION  FOUR
 OF  SECTION ELEVEN HUNDRED NINETY-TWO OF THIS ARTICLE AND THE INDIVIDUAL
 DOES NOT HAVE A DRIVER'S LICENSE OR THE  INDIVIDUAL'S  DRIVER'S  LICENSE
 WAS  SUSPENDED OR REVOKED AT THE TIME OF CONVICTION OR YOUTHFUL OFFENDER
 OR OTHER JUVENILE ADJUDICATION, THE COMMISSIONER SHALL NOT ISSUE  A  NEW
 LICENSE  NOR RESTORE THE FORMER LICENSE FOR A PERIOD OF SIX MONTHS AFTER
 SUCH INDIVIDUAL WOULD OTHERWISE HAVE BECOME ELIGIBLE  TO  OBTAIN  A  NEW
 LICENSE  OR TO HAVE THE FORMER LICENSE RESTORED; PROVIDED, HOWEVER, THAT
 DURING SUCH PERIOD THE COMMISSIONER  MAY  ISSUE  A  CONDITIONAL  LICENSE
 PURSUANT  TO  SECTION  ELEVEN HUNDRED NINETY-SIX OF THIS ARTICLE TO SUCH
 PREVIOUSLY REVOKED LICENSEE.
   § 6. Clauses a and b of subparagraph 1 of paragraph (d) of subdivision
 2 of section 1194 of the vehicle and traffic law, as amended by  chapter
 732 of the laws of 2006, are amended to read as follows:
   a.  Any  license  which  has been revoked pursuant to paragraph (c) of
 this subdivision shall not be restored for at least [one year]  EIGHTEEN
 MONTHS  after  such revocation, nor thereafter, except in the discretion
 of the commissioner. However, no such license shall be restored  for  at
 least [eighteen] TWENTY-FOUR months after such revocation, nor thereaft-
 er  except  in the discretion of the commissioner, in any case where the
 person has had a prior revocation resulting from refusal to submit to  a
 chemical  test,  or has been convicted of or found to be in violation of
 any subdivision of section eleven hundred ninety-two or  section  eleven
 hundred  ninety-two-a  of this article not arising out of the same inci-
 dent, within the five years immediately preceding the date of such revo-
 cation; provided, however, a prior finding that a person under  the  age
 of  twenty-one  has  refused  to  submit  to a chemical test pursuant to
 subdivision three of section eleven hundred ninety-four-a of this  arti-
 cle  shall have the same effect as a prior finding of a refusal pursuant
 to this subdivision solely for the purpose of determining the length  of
 any  license  suspension  or revocation required to be imposed under any
 provision of this article,  provided  that  the  subsequent  offense  or
 refusal  is  committed  or  occurred  prior  to  the  expiration  of the

 S. 2008                            56                            A. 3008

 retention period for such prior refusal as set forth in paragraph (k) of
 subdivision one of section two hundred one of this chapter.
   b.  Any  license  which  has been revoked pursuant to paragraph (c) of
 this subdivision or pursuant to  subdivision  three  of  section  eleven
 hundred  ninety-four-a  of  this article, where the holder was under the
 age of twenty-one years at the  time  of  such  refusal,  shall  not  be
 restored for at least [one year] EIGHTEEN MONTHS, nor thereafter, except
 in  the  discretion of the commissioner. Where such person under the age
 of twenty-one years has a prior finding, conviction or youthful offender
 adjudication resulting from a violation of section eleven hundred  nine-
 ty-two or section eleven hundred ninety-two-a of this article, not aris-
 ing  from  the  same incident, such license shall not be restored for at
 least [one year] TWENTY-FOUR MONTHS or until such person reaches the age
 of twenty-one years, whichever is the greater period of time, nor there-
 after, except in the discretion of the commissioner.
   § 7. Paragraphs (a) and (b) of subdivision 2 of section 1225-c of  the
 vehicle and traffic law, as amended by section 4 of part C of chapter 58
 of the laws of 2013, are amended to read as follows:
   (a)  Except  as  otherwise  provided  in this section, no person shall
 operate a motor vehicle upon a public highway while using a mobile tele-
 phone to engage in a call while such vehicle  is  in  motion;  provided,
 however,  that  no person shall operate a commercial motor vehicle while
 using a mobile telephone to  engage  in  a  call  on  a  public  highway
 [including  while  temporarily  stationary because of traffic, a traffic
 control device, or other momentary delays]. Provided  further,  however,
 that  a  person shall not be deemed to be operating a [commercial] motor
 vehicle while using a mobile telephone to engage in a call on  a  public
 highway  when  such  vehicle is stopped at the side of, or off, a public
 highway in a location where such vehicle  is  not  otherwise  prohibited
 from  stopping by law, rule, regulation or any lawful order or direction
 of a police officer.
   (b) An operator of any motor vehicle UPON A PUBLIC HIGHWAY who holds a
 mobile telephone to, or in the immediate proximity of, his  or  her  ear
 [while  such  vehicle is in motion] is presumed to be engaging in a call
 within the meaning of this section[; provided, however, that an operator
 of a commercial motor vehicle who holds a mobile telephone to, or in the
 immediate proximity of, his or her ear while such vehicle is temporarily
 stationary because of traffic, a traffic control device, or other momen-
 tary delays is also presumed to be engaging in a call within the meaning
 of this section except that a person operating a commercial motor  vehi-
 cle while using a mobile telephone to engage in a call when such vehicle
 is  stopped at the side of, or off, a public highway in a location where
 such vehicle is not otherwise prohibited from  stopping  by  law,  rule,
 regulation  or  any  lawful order or direction of a police officer shall
 not be presumed to be engaging in a call  within  the  meaning  of  this
 section].  The presumption established by this subdivision is rebuttable
 by evidence tending to show that the operator was not engaged in a call.
   § 8. Subdivision 3 of section 1225-c of the vehicle and  traffic  law,
 as  added by chapter 69 of the laws of 2001, is amended and a new subdi-
 vision 2-a is added to read as follows:
   2-A. NO PERSON UNDER EIGHTEEN YEARS OF AGE SHALL OPERATE A MOTOR VEHI-
 CLE UPON A PUBLIC HIGHWAY WHILE ENGAGING IN A CALL WITH A HAND  HELD  OR
 HANDS  FREE  MOBILE  TELEPHONE.  FOR  THE  PURPOSES OF THIS SUBDIVISION,
 ENGAGING IN A CALL SHALL INCLUDE MAKING OR RECEIVING A CALL WITH A  HAND
 HELD OR HANDS FREE MOBILE TELEPHONE.

 S. 2008                            57                            A. 3008

   3.  [Subdivision] SUBDIVISIONS two AND TWO-A of this section shall not
 apply to (a) the use of a mobile  telephone  for  the  sole  purpose  of
 communicating  with  any  of  the following regarding an emergency situ-
 ation: an emergency response operator; a hospital, physician's office or
 health  clinic;  an  ambulance  company  or  corps;  a  fire department,
 district or company; or a police department, (b) any  of  the  following
 persons  while  in  the  performance  of their official duties: a police
 officer or peace officer; a member of a  fire  department,  district  or
 company;  or  the operator of an authorized emergency vehicle as defined
 in section one hundred one of this chapter, or (c) the use of  a  hands-
 free  mobile  telephone  EXCEPT  AS  APPLIED TO PERSONS UNDER THE AGE OF
 EIGHTEEN YEARS.
   § 9. Subdivisions 1 and 4 of section 1225-d of the vehicle and traffic
 law, subdivision 1 as amended by section 6 and subdivision 4 as  amended
 by  section  10 of part C of chapter 58 of the laws of 2013, are amended
 to read as follows:
   1. Except as otherwise provided in this section, no person shall oper-
 ate a motor vehicle while using any portable  electronic  device  [while
 such vehicle is in motion; provided, however, that no person shall oper-
 ate  a  commercial  motor  vehicle  while  using any portable electronic
 device on  a  public  highway  including  while  temporarily  stationary
 because  of  traffic,  a  traffic  control  device,  or  other momentary
 delays]. Provided further, however, that a person shall not be deemed to
 be operating a [commercial] motor vehicle while using a  portable  elec-
 tronic  device  on  a public highway when such vehicle is stopped at the
 side of, or off, a public highway in a location where  such  vehicle  is
 not  otherwise  prohibited from stopping by law, rule, regulation or any
 lawful order or direction of a police officer.
   4. A person who  [holds]  USES  a  portable  electronic  device  in  a
 conspicuous  manner while operating a motor vehicle or while operating a
 [commercial] motor vehicle on a public highway [including  while  tempo-
 rarily stationary because of traffic, a traffic control device, or other
 momentary delays] but not including when such [commercial] motor vehicle
 is  stopped at the side of, or off, a public highway in a location where
 such vehicle is not otherwise prohibited from  stopping  by  law,  rule,
 regulation  or  any  lawful  order  or  direction of a police officer is
 presumed to be using such device[, except  that  a  person  operating  a
 commercial  motor  vehicle while using a portable electronic device when
 such vehicle is stopped at the side of, or off, a public  highway  in  a
 location where such vehicle is not otherwise prohibited from stopping by
 law, rule, regulation or any lawful order or direction of a police offi-
 cer  shall  not  be  presumed  to be using such device]. The presumption
 established by this subdivision is rebuttable  by  evidence  tending  to
 show  that  the  operator was not using the device within the meaning of
 this section.
   § 10. Paragraphs (a) and (b) of subdivision 2 of section 1225-d of the
 vehicle and traffic law, as amended by section 8 of part C of chapter 58
 of the laws of 2013, are amended to read as follows:
   (a) "Portable electronic device" shall mean any hand-held mobile tele-
 phone, as defined by subdivision one of section twelve  hundred  twenty-
 five-c  of  this  article,  personal  digital  assistant (PDA), handheld
 device with  mobile  data  access,  laptop  computer,  pager,  broadband
 personal  communication  device,  two-way  messaging  device, electronic
 game, or portable computing device, or any other  [electronic]  PERSONAL
 WIRELESS COMMUNICATIONS device when used to input, write, send, receive,
 or  read  text  OR  IMAGES for present or future communication INCLUDING

 S. 2008                            58                            A. 3008
 
 DOING SO FOR THE PURPOSE OF SMS TEXTING, EMAILING, INSTANT MESSAGING  OR
 ENGAGING  IN  ANY  OTHER FORM OF ELECTRONIC DATA RETRIEVAL OR ELECTRONIC
 DATA COMMUNICATION.
   (b) "Using" shall mean holding OR MAKING CONTACT WITH a portable elec-
 tronic device [while] FOR THE PURPOSE OF viewing, taking or transmitting
 images, playing games, or, for the purpose of present or future communi-
 cation: performing a command or request to access a world wide web page,
 composing, sending, reading, viewing, accessing, browsing, transmitting,
 saving  or  retrieving e-mail, text messages, instant messages, or other
 electronic data.
   § 11. Subdivision 2 of section 1225-d of the vehicle and traffic  law,
 is amended by adding a new paragraph (e) to read as follows:
   (E) "PERSONAL WIRELESS COMMUNICATIONS DEVICE" SHALL: (I) MEAN A DEVICE
 THROUGH   WHICH  PERSONAL  WIRELESS  SERVICES  (AS  DEFINED  IN  SECTION
 332(C)(7)(C)(I) OF  THE  COMMUNICATIONS  ACT  OF  1934  (47  U.S.C.  332
 (C)(7)(C)(I)), ARE TRANSMITTED; AND
   (II)  DOES  NOT  INCLUDE A GLOBAL NAVIGATION SATELLITE SYSTEM RECEIVER
 USED FOR POSITIONING, EMERGENCY NOTIFICATION, OR NAVIGATION PURPOSES.
   § 12. Subdivision 3 of section 1229-c of the vehicle and traffic  law,
 as  added  by  chapter  365  of  the laws of 1984, is amended to read as
 follows:
   3. No person shall operate a  motor  vehicle  unless  such  person  is
 restrained  by  a  safety  belt  approved by the commissioner. No person
 sixteen years of age or over shall be a passenger in [the front seat of]
 a motor vehicle unless such  person  is  restrained  by  a  safety  belt
 approved by the commissioner.
   § 13. This act shall take effect on the first of October next succeed-
 ing the date on which it shall have become a law.
 
                                  PART M
 
   Section  1.  Subdivision 3 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 section 1 of part F of chapter 58 of the
 laws of 2016, is amended to read as follows:
   3. The provisions of this section shall  expire,  notwithstanding  any
 inconsistent provision of subdivision 4 of section 469 of chapter 309 of
 the laws of 1996 or of any other law, on July 1, [2017] 2018.
   §  2.  This  act  shall take effect immediately and shall be deemed to
 have been in full force and effect on and after July 1, 2017.
 
                                  PART N
 
   Section 1. Section 2 of chapter 393 of the laws of 1994, amending  the
 New York state urban development corporation act, relating to the powers
 of  the  New  York state urban development corporation to make loans, as
 amended by section 1 of part G of chapter 58 of the  laws  of  2016,  is
 amended to read as follows:
   §  2.  This  act shall take effect immediately provided, however, that
 section one of this act shall expire on July 1, [2017]  2018,  at  which
 time the provisions of subdivision 26 of section 5 of the New York state
 urban  development  corporation  act shall be deemed repealed; provided,
 however, that neither the expiration nor the repeal of such  subdivision
 as provided for herein shall be deemed to affect or impair in any manner
 any  loan  made  pursuant  to the authority of such subdivision prior to
 such expiration and repeal.

 S. 2008                            59                            A. 3008
 
   § 2. This act shall take effect immediately and  shall  be  deemed  to
 have been in full force and effect on and after April 1, 2017.
 
                                  PART O
 
   Section  1. The opening paragraph of subdivision (h) of section 121 of
 chapter 261 of the laws of 1988, amending  the  state  finance  law  and
 other  laws relating to the New York state infrastructure trust fund, as
 amended by section 2 of part Q of chapter 58 of the  laws  of  2015,  is
 amended to read as follows:
   The  provisions  of  [section] SECTIONS sixty-two through sixty-six of
 this act shall expire on December thirty-first, two thousand [seventeen]
 EIGHTEEN, except that:
   § 2. This act shall take effect immediately.
 
                                  PART P
 
   Section 1. Subdivision (a) of section 2 of part F of chapter 60 of the
 laws of 2015 constituting the infrastructure investment act, is  amended
 to read as follows:
   (a)  "authorized [state] entity" shall mean the New York state thruway
 authority, [the department  of  transportation,  the  office  of  parks,
 recreation  and  historic  preservation, the department of environmental
 conservation and] the New York state bridge authority, ANY AUTHORITY  AS
 SUCH  TERM  IS DEFINED IN SECTION 2 OF THE PUBLIC AUTHORITIES LAW, EVERY
 STATE AGENCY, AS SUCH TERM IS  DEFINED  IN  SECTION  160  OF  THE  STATE
 FINANCE  LAW AND INCLUDING THE STATE UNIVERSITY OF NEW YORK AND THE CITY
 UNIVERSITY OF NEW YORK, AND ANY AND ALL AFFILIATES  OR  SUBSIDIARIES  OF
 SUCH  ENTITIES, AND COUNTIES AS SUCH TERM IS DEFINED IN SECTION 3 OF THE
 COUNTY LAW, EXCLUDING BRONX, KINGS, NEW YORK, QUEENS, AND RICHMOND COUN-
 TIES.
   § 2. Section 2 of part F of chapter 60 of the laws of 2015  constitut-
 ing the infrastructure investment act, is amended by adding a new subdi-
 vision (b-1) to read as follows:
   (B-1)  "CAPITAL  ASSETS"  SHALL  HAVE THE SAME MEANING AS SUCH TERM IS
 DEFINED BY SUBDIVISION 6-B OF SECTION 2 OF THE STATE FINANCE LAW.
   § 3. Section 3 of part F of chapter 60 of the laws of 2015  constitut-
 ing the infrastructure investment act, is amended to read as follows:
   §  3. Notwithstanding the provisions of section 38 of the highway law,
 section 136-a of the state finance law, [section]  SECTIONS  359,  1678,
 1680,  1680-A  AND  2879-A  of  the  public  authorities  law, [section]
 SECTIONS 407-A, 6281 AND 7210 of the education law, SECTIONS 8 AND 9  OF
 THE PUBLIC BUILDINGS LAW, SECTION 11 OF CHAPTER 795 OF THE LAWS OF 1967,
 SECTIONS  8  AND  9  OF  SECTION 1 OF CHAPTER 359 OF THE LAWS OF 1968 AS
 AMENDED, SECTION 29 OF CHAPTER 337 OF THE LAWS OF 1972,  SECTION  21  OF
 CHAPTER  464  OF  THE LAWS OF 1972, SECTION 103 OF THE GENERAL MUNICIPAL
 LAW, and the provisions of  any  other  law  to  the  contrary,  and  in
 conformity  with  the  requirements  of  this act, an authorized [state]
 entity may utilize  the  alternative  delivery  method  referred  to  as
 design-build contracts, in consultation with relevant local labor organ-
 izations and construction industry, for capital projects related to [the
 state's  physical  infrastructure,  including,  but  not limited to, the
 state's highways, bridges, dams, flood  control  projects,  canals,  and
 parks, including, but not limited to, to repair damage caused by natural
 disaster,  to  correct health and safety defects, to comply with federal
 and state laws, standards, and regulations, to extend the useful life of

 S. 2008                            60                            A. 3008

 or replace the state's highways, bridges, dams, flood control  projects,
 canals, and parks or to improve or add to the state's highways, bridges,
 dams,  flood control projects, canals, and parks] PUBLICLY OWNED CAPITAL
 ASSETS;  provided  that [for the contracts executed by the department of
 transportation, the office of parks, recreation and  historic  preserva-
 tion,  or  the department of environmental conservation,] the total cost
 of each such project shall not be less  than  one  million  two  hundred
 thousand dollars ($1,200,000).
   § 4. Section 4 of part F of chapter 60 of he laws of 2015 constituting
 the infrastructure investment act, is amended to read as follows:
   §  4. An entity selected by an authorized [state] entity to enter into
 a design-build contract shall be selected through a two-step method,  as
 follows:
   (a)  Step one. Generation of a list of entities that have demonstrated
 the general capability to perform the design-build contract.  Such  list
 shall  consist  of  a  specified number of entities, as determined by an
 authorized [state] entity, and shall be generated based upon the author-
 ized [state] entity's review  of  responses  to  a  publicly  advertised
 request  for qualifications. The authorized [state] entity's request for
 qualifications shall include a general description of the  project,  the
 maximum number of entities to be included on the list, and the selection
 criteria  to  be  used  in  generating the list. Such selection criteria
 shall include the  qualifications  and  experience  of  the  design  and
 construction team, organization, demonstrated responsibility, ability of
 the team or of a member or members of the team to comply with applicable
 requirements,  including  the provisions of articles 145, 147 and 148 of
 the education law, past record of compliance with  the  labor  law,  and
 such  other qualifications the authorized [state] entity deems appropri-
 ate which may include but are  not  limited  to  project  understanding,
 financial  capability  and  record  of  past performance. The authorized
 [state] entity shall evaluate and rate all entities  responding  to  the
 request  for  qualifications.    Based upon such ratings, the authorized
 [state] entity shall list the entities that shall receive a request  for
 proposals  in  accordance  with subdivision (b) of this section.  To the
 extent consistent with applicable federal law,  the  authorized  [state]
 entity  shall  consider,  when  awarding  any  contract pursuant to this
 section, the participation of: (i) firms certified pursuant  to  article
 15-A  of the executive law as minority or women-owned businesses and the
 ability of other businesses under consideration to  work  with  minority
 and  women-owned businesses so as to promote and assist participation by
 such businesses; [and] (ii) small business concerns identified  pursuant
 to subdivision (b) of section 139-g of the state finance law.
   (b) Step two. Selection of the proposal which is the best value to the
 [state]  AUTHORIZED ENTITY.  The authorized [state] entity shall issue a
 request for proposals to the entities listed pursuant to subdivision (a)
 of this section.  If such an entity consists of a team of separate enti-
 ties, the entities that comprise such a team must remain unchanged  from
 the  entity as listed pursuant to subdivision (a) of this section unless
 otherwise approved by the authorized [state]  entity.  The  request  for
 proposals  shall  set  forth  the  project's  scope  of  work, and other
 requirements, as determined by  the  authorized  [state]  entity.    The
 request  for proposals shall specify the criteria to be used to evaluate
 the responses and the relative weight  of  each  such  criteria.    Such
 criteria   shall  include  the  proposal's  cost,  the  quality  of  the
 proposal's solution, the qualifications and experience  of  the  design-
 build  entity,  and  other  factors  deemed  pertinent by the authorized

 S. 2008                            61                            A. 3008
 
 [state] entity, which may include, but shall  not  be  limited  to,  the
 proposal's  project  implementation,  ability  to complete the work in a
 timely and satisfactory  manner,  maintenance  costs  of  the  completed
 project,  maintenance  of  traffic  approach,  and community impact. Any
 contract awarded pursuant to this act shall be awarded to  a  responsive
 and  responsible  entity  that submits the proposal, which, in consider-
 ation of these and other specified  criteria  deemed  pertinent  to  the
 project,  offers  the  best  value  to the [state] AUTHORIZED ENTITY, as
 determined by the authorized [state] entity.  Nothing  herein  shall  be
 construed  to  prohibit  the  authorized  entity  from negotiating final
 contract terms and conditions including cost.
   § 5. Section 6 of part F of chapter 60 of the laws of 2015  constitut-
 ing the infrastructure investment act, is amended to read as follows:
   §  6.  Construction for each capital project undertaken by the author-
 ized [state] entity pursuant to this act shall be deemed a "public work"
 to be performed in accordance with the provisions of article  8  of  the
 labor  law,  as well as subject to sections 200, 240, 241 and 242 of the
 labor law and enforcement of prevailing wage  requirements  by  the  New
 York state department of labor.
   §  6. Section 7 of part F of chapter 60 of the laws of 2015 constitut-
 ing the infrastructure investment act, is amended to read as follows:
   § 7. If otherwise  applicable,  capital  projects  undertaken  by  the
 authorized  [state]  entity  pursuant  to  this  act shall be subject to
 section 135 of the state finance law, SECTION 101 OF THE GENERAL MUNICI-
 PAL LAW, and section 222 of the labor law; PROVIDED,  HOWEVER,  THAT  AN
 AUTHORIZED  ENTITY  MAY FULFILL ITS OBLIGATIONS UNDER SECTION 135 OF THE
 STATE FINANCE LAW OR SECTION 101 OF THE GENERAL MUNICIPAL LAW BY REQUIR-
 ING THE CONTRACTOR TO PREPARE SEPARATE SPECIFICATIONS IN ACCORDANCE WITH
 SECTION 135 OF THE STATE FINANCE LAW  OR  SECTION  101  OF  THE  GENERAL
 MUNICIPAL LAW, AS THE CASE MAY BE.
   §  7. Section 8 of part F of chapter 60 of the laws of 2015 constitut-
 ing the infrastructure investment act, is amended to read as follows:
   § 8. Each contract entered  into  by  the  authorized  [state]  entity
 pursuant  to  this section shall comply with the objectives and goals of
 minority and women-owned business enterprises pursuant to  article  15-A
 of  the  executive  law  or,  for  projects receiving federal aid, shall
 comply with applicable federal requirements for  disadvantaged  business
 enterprises.
   §  8. Section 9 of part F of chapter 60 of the laws of 2015 constitut-
 ing the infrastructure investment act, is amended to read as follows:
   § 9. Capital projects undertaken  by  the  authorized  [state]  entity
 pursuant  to  this act shall be subject to the requirements of article 8
 of the  environmental  conservation  law,  and,  where  applicable,  the
 requirements of the national environmental policy act.
   § 9. Section 10 of part F of chapter 60 of the laws of 2015 constitut-
 ing the infrastructure investment act, is amended to read as follows:
   §  10.    If  otherwise applicable, capital projects undertaken by the
 authorized [state] entity pursuant to this  act  shall  be  governed  by
 sections 139-d, 139-j, 139-k, paragraph f of subdivision 1 and paragraph
 g of subdivision 9 of section 163 of the state finance law.
   §  10.  Section 12 of part F of chapter 60 of the laws of 2015 consti-
 tuting the infrastructure investment act, is amended to read as follows:
   § 12. Nothing contained in this act shall limit  the  right  or  obli-
 gation of the authorized [state] entity to comply with the provisions of
 any  existing  contract, including any existing contract with or for the

 S. 2008                            62                            A. 3008
 
 benefit of the holders of the  obligations  of  the  authorized  [state]
 entity, or to award contracts as otherwise provided by law.
   §  11.  Section 13 of part F of chapter 60 of the laws of 2015 consti-
 tuting the infrastructure investment act, is amended to read as follows:
   § 13. Alternative construction awarding processes.  (a)  Notwithstand-
 ing  the  provisions  of  any  other law to the contrary, the authorized
 [state] entity may award a construction contract:
   1. To the contractor offering the best value; or
   2. Utilizing a cost-plus not to exceed guaranteed maximum  price  form
 of  contract in which the authorized [state] entity shall be entitled to
 monitor and audit all project costs. In establishing  the  schedule  and
 process for determining a guaranteed maximum price, the contract between
 the authorized [state] entity and the contractor shall:
   (i)  describe  the  scope  of the work and the cost of performing such
 work;
   (ii) include a detailed line item cost breakdown;
   (iii) include a list of all drawings, specifications and other  infor-
 mation on which the guaranteed maximum price is based;
   (iv)  include  the dates for substantial and final completion on which
 the guaranteed maximum price is based; and
   (v) include a schedule of unit prices; or
   3. Utilizing a lump sum contract in which  the  contractor  agrees  to
 accept  a  set dollar amount for a contract which comprises a single bid
 without providing a cost breakdown for all costs such as for  equipment,
 labor, materials, as well as such contractor's profit for completing all
 items of work comprising the project.
   (b)  Capital  projects  undertaken by an authorized [state] entity may
 include an incentive clause in  the  contract  for  various  performance
 objectives, but the incentive clause shall not include an incentive that
 exceeds  the  quantifiable  value of the benefit received by the [state]
 AUTHORIZED ENTITY. The authorized [state] entity  shall  establish  such
 performance and payment bonds as it deems necessary.
   §  12.  Section 14 of part F of chapter 60 of the laws of 2015 consti-
 tuting the infrastructure investment act, is amended to read as follows:
   §  14.  Prequalified  contractors.  (a)  Notwithstanding   any   other
 provision  of  law, the authorized [state] entity may maintain a list of
 prequalified contractors who are eligible to submit a proposal  pursuant
 to  this  act  and entry into such list shall be continuously available.
 Prospective contractors may be prequalified as  contractors  to  provide
 particular  types  of  construction, in accordance with general criteria
 established by the authorized [state]  entity  which  may  include,  but
 shall  not  be  limited to, the experience, past performance, ability to
 undertake the type and complexity of work, financial capability, respon-
 sibility, compliance with equal employment opportunity requirements  and
 anti-discrimination  laws, and reliability. Such prequalification may be
 by categories designed by size and other factors.
   (b) A contractor who is denied prequalification or whose prequalifica-
 tion is revoked or suspended by the authorized [state] entity may appeal
 such decision to the authorized [state] entity.  If  such  a  suspension
 extends  for  more than three months, it shall be deemed a revocation of
 the prequalification. The authorized [state] entity may proceed with the
 contract award during any appeal.
   § 13. Part F of chapter 60  of  the  laws  of  2015  constituting  the
 infrastructure  investment  act, is amended by adding a new section 15-a
 to read as follows:

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   § 15-A. ANY CONTRACT AWARDED PURSUANT TO THIS ACT SHALL BE  DEEMED  TO
 BE AWARDED PURSUANT TO A COMPETITIVE PROCUREMENT FOR PURPOSES OF SECTION
 2879-A OF THE PUBLIC AUTHORITIES LAW.
   §  14.  Section 17 of part F of chapter 60 of the laws of 2015 consti-
 tuting the infrastructure investment act, is amended to read as follows:
   § 17. This act shall take effect immediately [and shall expire and  be
 deemed  repealed  2  years after such date, provided that, projects with
 requests for qualifications issued prior to such repeal shall be permit-
 ted to continue under this act notwithstanding such repeal].
   § 15. This act shall take effect immediately; provided,  however  that
 the amendments to the infrastructure investment act made by sections one
 through thirteen of this act shall not affect the repeal of such act and
 shall be deemed repealed therewith.
 
                                  PART Q
 
   Section  1.  Section 2 of chapter 21 of the laws of 2003, amending the
 executive law relating to permitting the secretary of state  to  provide
 special  handling  for  all documents filed or issued by the division of
 corporations and to permit additional levels of such expedited  service,
 as  amended by section 1 of part M of chapter 58 of the laws of 2016, is
 amended to read as follows:
   § 2. This act shall take effect immediately,  provided  however,  that
 section  one  of this act shall be deemed to have been in full force and
 effect on and after April 1, 2003 and shall expire  March  31,  [2017]
 2018.
   §  2.  This  act  shall take effect immediately and shall be deemed to
 have been in full force and effect on and after March 31, 2017.
 
                                  PART R
 
   Section 1. Paragraph (d) of section 304 of  the  business  corporation
 law is amended to read as follows:
   (d)  ANY DESIGNATED POST OFFICE ADDRESS MAINTAINED BY THE SECRETARY OF
 STATE AS AGENT OF A DOMESTIC CORPORATION OR FOREIGN CORPORATION FOR  THE
 PURPOSE  OF  MAILING PROCESS SHALL BE THE POST OFFICE ADDRESS, WITHIN OR
 WITHOUT THE STATE, TO WHICH A PERSON SHALL  MAIL  PROCESS  AGAINST  SUCH
 CORPORATION  AS  REQUIRED  BY THIS ARTICLE. Any designated [post-office]
 POST OFFICE address to which the secretary of state OR  A  PERSON  shall
 mail  a  copy of ANY process served upon [him] THE SECRETARY OF STATE as
 agent of a domestic corporation or a foreign corporation, shall continue
 until the filing of a certificate under this chapter directing the mail-
 ing to a different [post-office] POST OFFICE address.
   § 2. Paragraph (a) of section 305 of the business corporation law,  as
 amended  by  chapter  131  of  the  laws  of 1985, is amended to read as
 follows:
   (a) In addition to such designation of the secretary of  state,  every
 domestic  corporation  or authorized foreign corporation may designate a
 registered agent in this state upon whom  process  against  such  corpo-
 ration may be served. The agent shall be a natural person who is a resi-
 dent  of or has a business address in this state [or], a domestic corpo-
 ration  or  foreign  corporation  of  any  type  or  kind  formed[,]  or
 authorized to do business in this state, under this chapter or under any
 other  statute  of  this state, OR DOMESTIC LIMITED LIABILITY COMPANY OR
 FOREIGN LIMITED LIABILITY COMPANY FORMED OR AUTHORIZED TO DO BUSINESS IN
 THIS STATE.

 S. 2008                            64                            A. 3008

   § 3. Subparagraph 1 of paragraph (b) of section 306  of  the  business
 corporation  law,  as  amended  by  chapter  419 of the laws of 1990, is
 amended to read as follows:
   (1)  Service of process on the secretary of state as agent of a domes-
 tic or authorized foreign corporation, OR OTHER BUSINESS ENTITY THAT HAS
 DESIGNATED THE SECRETARY OF STATE AS AGENT FOR SERVICE OF PROCESS PURSU-
 ANT TO ARTICLE NINE OF THIS CHAPTER, shall be made by [personally deliv-
 ering to and leaving with the secretary of state or a  deputy,  or  with
 any person authorized by the secretary of state to receive such service,
 at  the  office of the department of state in the city of Albany, dupli-
 cate copies of such process together with the statutory fee,  which  fee
 shall  be  a  taxable  disbursement]  MAILING  THE PROCESS AND NOTICE OF
 SERVICE THEREOF BY CERTIFIED MAIL, RETURN  RECEIPT  REQUESTED,  TO  SUCH
 CORPORATION OR OTHER BUSINESS ENTITY, AT THE POST OFFICE ADDRESS ON FILE
 IN THE DEPARTMENT OF STATE, SPECIFIED FOR THIS PURPOSE. IF A DOMESTIC OR
 AUTHORIZED  FOREIGN  CORPORATION  HAS  NO  SUCH  ADDRESS  ON FILE IN THE
 DEPARTMENT OF STATE, THE PROCESS AND NOTICE OF SERVICE THEREOF SHALL  BE
 MAILED,  IN  THE CASE OF A DOMESTIC CORPORATION, IN CARE OF ANY DIRECTOR
 NAMED IN ITS CERTIFICATE OF  INCORPORATION  AT  THE  DIRECTOR'S  ADDRESS
 STATED  THEREIN OR, IN THE CASE OF AN AUTHORIZED FOREIGN CORPORATION, TO
 SUCH CORPORATION AT THE ADDRESS OF ITS OFFICE WITHIN THIS STATE ON  FILE
 IN THE DEPARTMENT. ON THE SAME DAY THAT SUCH PROCESS IS MAILED, A DUPLI-
 CATE  COPY OF SUCH PROCESS AND PROOF OF MAILING TOGETHER WITH THE STATU-
 TORY FEE, WHICH FEE SHALL BE A TAXABLE DISBURSEMENT SHALL BE  PERSONALLY
 DELIVERED  TO  AND LEFT WITH THE SECRETARY OF STATE OR A DEPUTY, OR WITH
 ANY PERSON AUTHORIZED BY THE SECRETARY OF STATE TO RECEIVE SUCH SERVICE,
 AT THE OFFICE OF THE DEPARTMENT OF STATE IN THE CITY OF ALBANY. PROOF OF
 MAILING SHALL BE BY AFFIDAVIT OF COMPLIANCE WITH THIS SECTION.   Service
 of  process  on  such  corporation  OR  OTHER  BUSINESS  ENTITY shall be
 complete when the secretary of state is so  served.  [The  secretary  of
 state  shall  promptly send one of such copies by certified mail, return
 receipt requested, to such corporation, at the post office  address,  on
 file  in the department of state, specified for the purpose. If a domes-
 tic or authorized foreign corporation has no such address on file in the
 department of state, the secretary of state shall so mail such copy,  in
 the case of a domestic corporation, in care of any director named in its
 certificate  of  incorporation  at the director's address stated therein
 or, in the case of an authorized foreign  corporation,  to  such  corpo-
 ration  at  the  address  of its office within this state on file in the
 department.]
   § 4. Subparagraphs 2 and 3 of paragraph (a) of section  306-A  of  the
 business  corporation  law, as added by chapter 469 of the laws of 1997,
 are amended to read as follows:
   (2) That the address of the party has been designated  by  the  corpo-
 ration  as  the  post office address to which [the secretary of state] A
 PERSON shall mail a copy of any process served on the secretary of state
 as agent for such corporation, SPECIFYING SUCH ADDRESS,  and  that  such
 party wishes to resign.
   (3) That sixty days prior to the filing of the certificate of resigna-
 tion  OR  RECEIPT  OF PROCESS with the department of state the party has
 sent a copy of the certificate of resignation for receipt of process  by
 registered  or  certified mail to the address of the registered agent of
 the designating corporation, if other than the party filing the  certif-
 icate  of  resignation[,]  for receipt of process, or if the [resigning]
 DESIGNATING corporation has  no  registered  agent,  then  to  the  last
 address  of  the  designating corporation known to the party, specifying

 S. 2008                            65                            A. 3008
 
 the address to which the copy was sent. If there is no registered  agent
 and  no  known  address  of the designating corporation, the party shall
 attach an affidavit to the  certificate  stating  that  a  diligent  but
 unsuccessful  search  was  made  by the party to locate the corporation,
 specifying what efforts were made.
   § 5. Subparagraph 7 of paragraph (a) of section 402  of  the  business
 corporation law is amended to read as follows:
   (7)  A  designation  of  the secretary of state as agent of the corpo-
 ration upon whom process against it may be served and  the  post  office
 address, within or without this state, to which [the secretary of state]
 A  PERSON  shall mail a copy of any process against it served upon [him]
 THE SECRETARY OF STATE.
   § 6. Subparagraph (c) of paragraph 1 of section 408  of  the  business
 corporation  law, as amended by section 3 of part S of chapter 59 of the
 laws of 2015, is amended to read as follows:
   (c) The post office address, within or without this  state,  to  which
 [the  secretary  of  state]  A  PERSON  shall mail a copy of any process
 against it served upon [him or  her]  THE  SECRETARY  OF  STATE.    Such
 address shall supersede any previous address on file with the department
 of state for this purpose.
   §  7.  Subparagraph  4 of paragraph (b) of section 801 of the business
 corporation law is amended to read as follows:
   (4) To specify or change the post office address to which [the  secre-
 tary  of  state]  A  PERSON shall mail a copy of any process against the
 corporation served upon [him] THE SECRETARY OF STATE.
   § 8. Subparagraph 2 of paragraph (b) of section 803  of  the  business
 corporation  law,  as  amended  by  chapter  803 of the laws of 1965, is
 amended to read as follows:
   (2) To specify or change the post office address to which [the  secre-
 tary  of  state]  A  PERSON shall mail a copy of any process against the
 corporation served upon [him] THE SECRETARY OF STATE.
   § 9. Paragraph (b) of section 805-A of the business  corporation  law,
 as  added  by  chapter  725  of  the laws of 1964, is amended to read as
 follows:
   (b) A certificate of change which changes only the post office address
 to which [the secretary of state] A PERSON shall  mail  a  copy  of  any
 process  against  a  corporation  served  upon [him or] THE SECRETARY OF
 STATE AND/OR the address of the registered agent, provided such  address
 being changed is the address of a person, partnership, LIMITED LIABILITY
 COMPANY  or other corporation whose address, as agent, is the address to
 be changed or who has been  designated  as  registered  agent  for  such
 corporation,  may  be signed[, verified] and delivered to the department
 of state by such agent. The certificate of change shall  set  forth  the
 statements  required under subparagraphs [(a)] (1), (2) and (3) OF PARA-
 GRAPH (A) of this section; that a notice  of  the  proposed  change  was
 mailed  to the corporation by the party signing the certificate not less
 than thirty days prior to the date of delivery  to  the  department  and
 that such corporation has not objected thereto; and that the party sign-
 ing  the  certificate  is the agent of such corporation to whose address
 [the secretary of state] A PERSON is required to mail copies of  process
 SERVED ON THE SECRETARY OF STATE or the registered agent, if such be the
 case.  A  certificate  signed[, verified] and delivered under this para-
 graph shall not be deemed to effect a change of location of  the  office
 of the corporation in whose behalf such certificate is filed.

 S. 2008                            66                            A. 3008
 
   § 10. Subparagraph 8 of paragraph (a) of section 904-a of the business
 corporation  law,  as  amended  by  chapter  177 of the laws of 2008, is
 amended to read as follows:
   (8)  If  the surviving or resulting entity is a foreign corporation or
 other business entity, a designation of the secretary of  state  as  its
 agent upon whom process against it may be served in the manner set forth
 in  paragraph  (b)  of section three hundred six of this chapter, in any
 action or special proceeding, and a post office address, within or with-
 out this state, to which [the secretary of state] A PERSON shall mail  a
 copy of any process against it served upon [him] THE SECRETARY OF STATE.
 Such post office address shall supersede any prior address designated as
 the address to which process shall be mailed;
   §  11. Clause (G) of subparagraph 2 of paragraph (e) of section 907 of
 the business corporation law, as amended by chapter 494 of the  laws  of
 1997, is amended to read as follows:
   (G)  A  designation  of  the secretary of state as its agent upon whom
 process against it may be served in the manner set  forth  in  paragraph
 (b)  of  section  306  (Service  of  process),  in any action or special
 proceeding, and a post office address, within or without this state,  to
 which [the secretary of state] A PERSON shall mail a copy of any process
 against  it  served  upon [him] THE SECRETARY OF STATE. Such post office
 address shall supersede any prior address designated as the  address  to
 which process shall be mailed.
   §  12. Subparagraph 6 of paragraph (a) of section 1304 of the business
 corporation law, as amended by chapter 684 of the laws of  1963  and  as
 renumbered  by  chapter  590  of the laws of 1982, is amended to read as
 follows:
   (6) A designation of the secretary of state as  its  agent  upon  whom
 process  against it may be served and the post office address, within or
 without this state, to which [the secretary of  state]  A  PERSON  shall
 mail a copy of any process against it served upon [him] THE SECRETARY OF
 STATE.
   §  13. Subparagraph 7 of paragraph (a) of section 1308 of the business
 corporation law, as amended by chapter 725 of the laws of  1964  and  as
 renumbered  by  chapter  186  of the laws of 1983, is amended to read as
 follows:
   (7) To specify or change the post office address to which [the  secre-
 tary  of  state]  A  PERSON  shall mail a copy of any process against it
 served upon [him] THE SECRETARY OF STATE.
   § 14. Subparagraph 2 of paragraph (a) and  paragraph  (c)  of  section
 1309-A  of the business corporation law, subparagraph 2 of paragraph (a)
 as added by chapter 725 of the laws of 1964 and paragraph (c) as amended
 by chapter 172 of the laws of 1999, are amended to read as follows:
   (2) To specify or change the post office address to which [the  secre-
 tary  of  state]  A  PERSON  shall mail a copy of any process against it
 served upon [him] THE SECRETARY OF STATE.
   (c) A certificate of change of application for authority which changes
 only the post office address to which [the secretary of state] A  PERSON
 shall  mail  a  copy of any process against an authorized foreign corpo-
 ration served upon [him or which] THE SECRETARY OF STATE AND/OR  changes
 the  address  of  its  registered  agent,  provided  such address is the
 address of a person, partnership, LIMITED  LIABILITY  COMPANY  or  other
 corporation whose address, as agent, is the address to be changed or who
 has  been  designated  as  registered  agent for such authorized foreign
 corporation, may be signed and delivered to the department of  state  by
 such agent. The certificate of change of application for authority shall

 S. 2008                            67                            A. 3008
 
 set  forth the statements required under subparagraphs (1), (2), (3) and
 (4) of paragraph (b) of this section; that  a  notice  of  the  proposed
 change was mailed by the party signing the certificate to the authorized
 foreign  corporation  not  less  than  thirty  days prior to the date of
 delivery to the department and that such corporation  has  not  objected
 thereto; and that the party signing the certificate is the agent of such
 foreign  corporation  to whose address [the secretary of state] A PERSON
 is required to mail copies of process SERVED ON THE SECRETARY  OF  STATE
 or  the  registered agent, if such be the case. A certificate signed and
 delivered under this paragraph shall not be deemed to effect a change of
 location of the office of the corporation in whose behalf  such  certif-
 icate is filed.
   §  15.  Subparagraphs  1 and 6 of paragraph (a) of section 1310 of the
 business corporation law, subparagraph 1 as amended by  chapter  590  of
 the laws of 1982, are amended to read as follows:
   (1)  The name of the foreign corporation as it appears on the index of
 names of existing domestic and authorized foreign  corporations  of  any
 type  or kind in the department of state, division of corporations [or,]
 AND the fictitious name, IF ANY, the corporation has agreed  to  use  in
 this  state  pursuant to paragraph (d) of section 1301 of this [chapter]
 ARTICLE.
   (6) A post office address, within or without this state, to which [the
 secretary of state] A PERSON shall mail a copy of any process against it
 served upon [him] THE SECRETARY OF STATE.
   § 16. Subparagraph 4 of paragraph (d) of section 1310 of the  business
 corporation law is amended to read as follows:
   (4)  The changed post office address, within or without this state, to
 which [the secretary of state] A PERSON shall mail a copy of any process
 against it served upon [him] THE SECRETARY OF STATE.
   § 17. Section 1311 of the business  corporation  law,  as  amended  by
 chapter 375 of the laws of 1998, is amended to read as follows:
 § 1311. Termination of existence.
   When  an  authorized foreign corporation is dissolved or its authority
 or existence is otherwise terminated or cancelled in the jurisdiction of
 its incorporation or when such foreign corporation  is  merged  into  or
 consolidated  with  another  foreign  corporation,  a certificate of the
 secretary of state, or official performing the equivalent function as to
 corporate records, of the jurisdiction of incorporation of such  foreign
 corporation attesting to the occurrence of any such event or a certified
 copy of an order or decree of a court of such jurisdiction directing the
 dissolution  of  such foreign corporation, the termination of its exist-
 ence or the cancellation of its authority  shall  be  delivered  to  the
 department  of  state.  The  filing  of the certificate, order or decree
 shall have the same effect as the filing of a certificate  of  surrender
 of  authority under section 1310 (Surrender of authority). The secretary
 of state shall continue as agent of the foreign  corporation  upon  whom
 process  against  it  may be served in the manner set forth in paragraph
 (b) of section 306 (Service  of  process),  in  any  action  or  special
 proceeding  based  upon  any  liability  or  obligation  incurred by the
 foreign corporation within this  state  prior  to  the  filing  of  such
 certificate,  order  or  decree and [he] THE PERSON SERVING SUCH PROCESS
 shall [promptly cause a copy of  any  such]  SEND  THE  process  [to  be
 mailed]  by  [registered]  CERTIFIED  mail, return receipt requested, to
 such foreign corporation at the post  office  address  on  file  in  his
 office  specified  for  such  purpose AND SHALL PROVIDE THE SECRETARY OF
 STATE WITH PROOF OF SUCH MAILING IN THE MANNER SET  FORTH  IN  PARAGRAPH

 S. 2008                            68                            A. 3008

 (B) OF SECTION 306 (SERVICE OF PROCESS).  The post office address may be
 changed  by  signing and delivering to the department of state a certif-
 icate of change setting forth  the  statements  required  under  section
 1309-A  (Certificate of change; contents) to effect a change in the post
 office address under  subparagraph  SEVEN  OF  PARAGRAPH  (a)  [(4)]  of
 section 1308 (Amendments or changes).
   §  18. Subparagraph 6 of paragraph (a) of section 1530 of the business
 corporation law, as added by chapter 505 of the laws of 1983, is amended
 to read as follows:
   (6) A designation of the secretary of state as  its  agent  upon  whom
 process  against it may be served and the post office address, within or
 without this state, to which [the secretary of  state]  A  PERSON  shall
 mail a copy of any process against it served upon [him] THE SECRETARY OF
 STATE.
   §  19.  Subdivision  10  of section 11 of the cooperative corporations
 law, as added by chapter 97 of the laws of 1969, is amended to  read  as
 follows:
   10. A  designation  of  the  secretary of state as agent of the corpo-
 ration upon whom process against it may be served and  the  post  office
 address, within or without this state, to which [the secretary of state]
 A  PERSON  shall mail a copy of any process against it served upon [him]
 THE SECRETARY OF STATE.
   § 20. Subdivision 10 of section 96 of the executive law, as amended by
 chapter 39 of the laws of 1987, is amended to read as follows:
   10. For service of process on the secretary of state, acting as  agent
 for  a  third  party  pursuant  to law, except as otherwise specifically
 provided by law, forty dollars. No fee shall be  collected  for  process
 served  on  behalf of [a] ANY STATE OFFICIAL, DEPARTMENT, BOARD, AGENCY,
 AUTHORITY, county, city, town or village or other political  subdivision
 of  the  state.  The fees paid the secretary of state shall be a taxable
 disbursement.
   § 21. The opening paragraph of subdivision  2  and  subdivision  3  of
 section  18 of the general associations law, as amended by chapter 13 of
 the laws of 1938, are amended and two new subdivisions 5 and 6 are added
 to read as follows:
   Every association doing business within this state shall file  in  the
 department  of  state  a  certificate in its associate name, signed [and
 acknowledged] by its president, or a vice-president,  or  secretary,  or
 treasurer,  or  managing director, or trustee, designating the secretary
 of state as an agent upon whom  process  in  any  action  or  proceeding
 against  the  association  may  be served within this state, and setting
 forth an address to which [the secretary of state] A PERSON shall mail a
 copy of any process against the association which  may  be  served  upon
 [him]  THE  SECRETARY  OF STATE pursuant to law.  Annexed to the certif-
 icate of designation shall be a statement, executed in the  same  manner
 as  the certificate is required to be executed under this section, which
 shall set forth:
   3.  Any association, from time to time,  may  change  the  address  to
 which  [the  secretary  of state] A PERSON is directed to mail copies of
 process SERVED ON THE SECRETARY OF STATE, by filing a statement to  that
 effect,  executed[,]  AND  signed [and acknowledged] in like manner as a
 certificate of designation as herein provided.
   5.  ANY DESIGNATED POST OFFICE ADDRESS MAINTAINED BY THE SECRETARY  OF
 STATE  AS  AGENT IN ANY ACTION OR PROCEEDING AGAINST THE ASSOCIATION FOR
 THE PURPOSE OF MAILING PROCESS SHALL BE THE POST OFFICE ADDRESS,  WITHIN
 OR  WITHOUT THE STATE, TO WHICH A PERSON SHALL MAIL PROCESS AGAINST SUCH

 S. 2008                            69                            A. 3008
 
 ASSOCIATION AS REQUIRED BY THIS ARTICLE.  SUCH  ADDRESS  SHALL  CONTINUE
 UNTIL THE FILING OF A CERTIFICATE UNDER THIS CHAPTER DIRECTING THE MAIL-
 ING TO A DIFFERENT POST OFFICE ADDRESS.
   6.  "PROCESS"  MEANS JUDICIAL PROCESS AND ALL ORDERS, DEMANDS, NOTICES
 OR OTHER PAPERS REQUIRED OR PERMITTED BY LAW TO BE PERSONALLY SERVED  ON
 AN  ASSOCIATION, FOR THE PURPOSE OF ACQUIRING JURISDICTION OF SUCH ASSO-
 CIATION IN ANY ACTION OR PROCEEDING, CIVIL OR  CRIMINAL,  WHETHER  JUDI-
 CIAL,  ADMINISTRATIVE, ARBITRATIVE OR OTHERWISE, IN THIS STATE OR IN THE
 FEDERAL COURTS SITTING IN OR FOR THIS STATE.
   § 22. Section 19 of the general associations law, as amended by  chap-
 ter 166 of the laws of 1991, is amended to read as follows:
   §  19.    Service of process. 1. Service of process against an associ-
 ation upon the secretary of state shall be made by MAILING  THE  PROCESS
 AND  NOTICE  OF  SERVICE  THEREOF  BY  CERTIFIED  MAIL,  RETURN  RECEIPT
 REQUESTED, TO SUCH CORPORATION OR OTHER BUSINESS  ENTITY,  AT  THE  POST
 OFFICE  ADDRESS,  ON FILE IN THE DEPARTMENT OF STATE, SPECIFIED FOR THIS
 PURPOSE. ON THE SAME DAY THAT SUCH PROCESS IS MAILED, A  DUPLICATE  COPY
 OF  SUCH  PROCESS  AND PROOF OF MAILING SHALL BE personally [delivering]
 DELIVERED to and [leaving] LEFT with [him] THE SECRETARY OF STATE  or  a
 deputy  [secretary of state or an associate attorney, senior attorney or
 attorney in the corporation division of the  department  of  state],  SO
 DESIGNATED  [duplicate  copies  of  such  process  at  the office of the
 department of state in the city of Albany]. At the time of such  service
 the plaintiff shall pay a fee of forty dollars to the secretary of state
 which  shall  be a taxable disbursement. [If the cost of registered mail
 for transmitting a copy of the process  shall  exceed  two  dollars,  an
 additional  fee  equal  to  such excess shall be paid at the time of the
 service of such process. The secretary of state shall forthwith send  by
 registered  mail  one  of  such copies to the association at the address
 fixed for that purpose, as herein provided.]
   2. PROOF OF MAILING SHALL BE BY  AFFIDAVIT  OF  COMPLIANCE  WITH  THIS
 SECTION.  SERVICE  OF PROCESS ON SUCH ASSOCIATION SHALL BE COMPLETE WHEN
 THE SECRETARY OF STATE IS SO SERVED. If  the  action  or  proceeding  is
 instituted in a court of limited jurisdiction, service of process may be
 made in the manner provided in this section if the cause of action arose
 within  the  territorial jurisdiction of the court and the office of the
 defendant, as set forth in its statement filed pursuant to section eigh-
 teen of this [chapter] ARTICLE, is within such territorial jurisdiction.
   § 23. Subdivision 2 of section 352-b of the general business  law,  as
 amended  by  chapter  252  of  the  laws  of 1983, is amended to read as
 follows:
   2. Service of such process upon the secretary of state shall  be  made
 by  personally  delivering to and leaving with him [or], a deputy secre-
 tary of state, OR WITH A PERSON AUTHORIZED BY THE SECRETARY OF STATE  TO
 RECEIVE  SUCH SERVICE, a copy thereof at the office of the department of
 state in the city of  Albany,  and  such  service  shall  be  sufficient
 service  provided that notice of such service and a copy of such process
 are forthwith sent by the attorney general to such person,  partnership,
 corporation,  company,  trust or association, by registered or certified
 mail with return receipt requested, at his or its office as set forth in
 the "broker-dealer's statement", "salesman's statement"  or  "investment
 advisor's  statement" filed in the department of law pursuant to section
 three hundred fifty-nine-e or section three  hundred  fifty-nine-eee  of
 this article, or in default of the filing of such statement, at the last
 address  known to the attorney general. Service of such process shall be
 complete on receipt by the attorney general of a return receipt purport-

 S. 2008                            70                            A. 3008
 
 ing to be signed by the addressee or a person qualified to  receive  his
 or  its  registered  or certified mail, in accordance with the rules and
 customs of the post office department, or, if acceptance was refused  by
 the  addressee or his or its agent, on return to the attorney general of
 the original envelope bearing a notation by the postal authorities  that
 receipt thereof was refused.
   § 24. Section 686 of the general business law, as added by chapter 730
 of the laws of 1980, is amended to read as follows:
   § 686. Designation of secretary of state as agent for service of proc-
 ess;  service  of  process. Any person who shall offer to sell or sell a
 franchise in this state as  a  franchisor,  subfranchisor  or  franchise
 sales  agent shall be deemed to have irrevocably appointed the secretary
 of state as his or its agent  upon  whom  may  be  served  any  summons,
 complaint,  subpoena, subpoena duces tecum, notice, order or other proc-
 ess directed to such person, or any partner, principal, officer,  sales-
 man or director thereof, or his or its successor, administrator or exec-
 utor,  in  any  action,  investigation, or proceeding which arises under
 this article or a rule hereunder, with the same force and validity as if
 served personally on such person.  Service  of  such  process  upon  the
 secretary of state shall be made by personally delivering to and leaving
 with  [him]  THE SECRETARY OF STATE or a deputy [secretary of state], OR
 WITH ANY PERSON AUTHORIZED BY THE SECRETARY OF  STATE  TO  RECEIVE  SUCH
 SERVICE,  a  copy  thereof at the office of the department of state, and
 such service shall be sufficient provided that notice  of  such  service
 and  a copy of such process are sent forthwith by the department to such
 person, by registered or certified mail with return  receipt  requested,
 at  his  address as set forth in the application for registration of his
 offering prospectus or in  the  registered  offering  prospectus  itself
 filed with the department of law pursuant to this article, or in default
 of  the  filing  of  such application or prospectus, at the last address
 known to the department. Service of such process shall be complete  upon
 receipt by the department of a return receipt purporting to be signed by
 the  addressee or a person qualified to receive his or its registered or
 certified mail, in accordance with the rules and  customs  of  the  post
 office  department,  or,  if  acceptance was refused or unclaimed by the
 addressee or his or its agent, or if the addressee moved without leaving
 a forwarding address, upon return to  the  department  of  the  original
 envelope bearing a notation by the postal authorities that receipt ther-
 eof was refused or that such mail was otherwise undeliverable.
   §  25.  Paragraph  4  of subdivision (e) of section 203 of the limited
 liability company law, as added by chapter 470 of the laws of  1997,  is
 amended to read as follows:
   (4)  a  designation  of the secretary of state as agent of the limited
 liability company upon whom process against it may  be  served  and  the
 post  office address, within or without this state, to which [the secre-
 tary of state] A PERSON shall mail a copy of  any  process  against  the
 limited  liability  company  served  upon  [him or her] THE SECRETARY OF
 STATE;
   § 26. Paragraph 4 of subdivision (a) of section  206  of  the  limited
 liability  company law, as amended by chapter 44 of the laws of 2006, is
 amended to read as follows:
   (4) a statement that the secretary of state  has  been  designated  as
 agent  of the limited liability company upon whom process against it may
 be served and the post office address, within or without this state,  to
 which [the secretary of state] A PERSON shall mail a copy of any process
 against it served upon [him or her] THE SECRETARY OF STATE;

 S. 2008                            71                            A. 3008
 
   §  27.  Paragraph  6  of subdivision (d) of section 211 of the limited
 liability company law is amended to read as follows:
   (6)  a  change  in  the post office address to which [the secretary of
 state] A PERSON shall mail a copy of any  process  against  the  limited
 liability  company  served  upon  [him or her] THE SECRETARY OF STATE if
 such change is made other than pursuant to section three hundred one  of
 this chapter;
   §  28. Section 211-A of the limited liability company law, as added by
 chapter 448 of the laws of 1998, is amended to read as follows:
   § 211-A. Certificate of change. (a) A limited  liability  company  may
 amend  its  articles of organization from time to time to (i) specify or
 change the location of the  limited  liability  company's  office;  (ii)
 specify  or  change  the  post office address to which [the secretary of
 state] A PERSON shall mail a copy of any  process  against  the  limited
 liability  company  served  upon [him] THE SECRETARY OF STATE; and (iii)
 make, revoke or change the designation of a registered agent, or specify
 or change the address of the registered agent.  Any  one  or  more  such
 changes  may  be  accomplished  by  filing a certificate of change which
 shall be entitled "Certificate of  Change  of ....... (name  of  limited
 liability  company) under section 211-A of the Limited Liability Company
 Law" and shall be signed and delivered to the department  of  state.  It
 shall set forth:
   (1)  the  name  of  the  limited liability company, and if it has been
 changed, the name under which it was formed;
   (2) the date the articles of organization were filed by the department
 of state; and
   (3) each change effected thereby.
   (b) A certificate of change which changes only the post office address
 to which [the secretary of state] A PERSON shall  mail  a  copy  of  any
 process  against  a  limited  liability company served upon [him or] THE
 SECRETARY OF STATE AND/OR the address of the registered agent,  provided
 such  address  being  changed  is  the address of a person, partnership,
 LIMITED LIABILITY COMPANY or corporation whose address, as agent, is the
 address to be changed or who has been designated as registered agent for
 such limited liability company  may  be  signed  and  delivered  to  the
 department  of  state by such agent. The certificate of change shall set
 forth the statements required under subdivision  (a)  of  this  section;
 that  a notice of the proposed change was mailed to the domestic limited
 liability company by the party signing the  certificate  not  less  than
 thirty days prior to the date of delivery to the department of state and
 that  such  domestic limited liability company has not objected thereto;
 and that the party signing the certificate is the agent of such  limited
 liability  company to whose address [the secretary of state] A PERSON is
 required to mail copies of process SERVED ON THE SECRETARY OF  STATE  or
 the  registered  agent,  if  such  be the case. A certificate signed and
 delivered under this subdivision shall not be deemed to effect a  change
 of  location  of  the  office  of the limited liability company in whose
 behalf such certificate is filed.
   § 29. Paragraph 2 of subdivision (b) of section  213  of  the  limited
 liability company law is amended to read as follows:
   (2)  to  change  the  post  office  address to which [the secretary of
 state] A PERSON shall mail a copy of any  process  against  the  limited
 liability company served upon [him or her] THE SECRETARY OF STATE; and
   § 30. Subdivisions (c) and (e) of section 301 of the limited liability
 company  law, subdivision (e) as amended by section 5 of part S of chap-
 ter 59 of the laws of 2015, are amended to read as follows:

 S. 2008                            72                            A. 3008

   (c) ANY DESIGNATED POST OFFICE ADDRESS MAINTAINED BY THE SECRETARY  OF
 STATE AS AGENT OF A DOMESTIC LIMITED LIABILITY COMPANY OR FOREIGN LIMIT-
 ED  LIABILITY  COMPANY  FOR  THE PURPOSE OF MAILING PROCESS SHALL BE THE
 POST OFFICE ADDRESS, WITHIN OR WITHOUT THE  STATE,  TO  WHICH  A  PERSON
 SHALL MAIL PROCESS AGAINST SUCH LIMITED LIABILITY COMPANY AS REQUIRED BY
 THIS  ARTICLE. Any designated post office address to which the secretary
 of state OR A PERSON shall mail a copy of process served  upon  [him  or
 her]  THE  SECRETARY  OF  STATE as agent of a domestic limited liability
 company or a foreign limited liability company shall continue until  the
 filing  of  a  certificate under this chapter directing the mailing to a
 different post office address.
   [(e)] (D) (1) Except as otherwise provided in this subdivision,  every
 limited liability company to which this chapter applies, shall biennial-
 ly  in  the  calendar month during which its articles of organization or
 application for authority were filed, or effective date thereof if stat-
 ed, file on forms prescribed by the  secretary  of  state,  a  statement
 setting  forth  the  post office address within or without this state to
 which [the secretary of state] A PERSON shall mail a copy of any process
 accepted against it served upon [him or her]  THE  SECRETARY  OF  STATE.
 Such  address  shall  supersede  any  previous  address on file with the
 department of state for this purpose.
   (2) The commissioner of taxation and  finance  and  the  secretary  of
 state  may  agree  to  allow  limited liability companies to include the
 statement specified in paragraph one of this subdivision on tax  reports
 filed  with  the  department of taxation and finance in lieu of biennial
 statements and in a manner prescribed by the  commissioner  of  taxation
 and  finance.    If  this agreement is made, starting with taxable years
 beginning on or after January first, two thousand sixteen, each  limited
 liability  company required to file the statement specified in paragraph
 one of this subdivision that is subject to the  filing  fee  imposed  by
 paragraph  three of subsection (c) of section six hundred fifty-eight of
 the tax law shall provide such statement  annually  on  its  filing  fee
 payment  form  filed with the department of taxation and finance in lieu
 of filing a statement under this section with the department  of  state.
 However,  each  limited  liability  company required to file a statement
 under this section must continue to file the biennial statement required
 by this section with the department of state until the limited liability
 company in fact has filed a filing fee payment form with the  department
 of  taxation  and  finance that includes all required information. After
 that time, the limited liability company shall continue to provide annu-
 ally the statement specified in paragraph one of this subdivision on its
 filing fee payment form in lieu of the biennial  statement  required  by
 this subdivision.
   (3) If the agreement described in paragraph two of this subdivision is
 made,  the  department  of  taxation  and  finance  shall deliver to the
 department of state the statement specified in  paragraph  one  of  this
 subdivision  contained  on  filing  fee payment forms. The department of
 taxation and finance must, to the  extent  feasible,  also  include  the
 current name of the limited liability company, department of state iden-
 tification  number  for such limited liability company, the name, signa-
 ture and capacity of the  signer  of  the  statement,  name  and  street
 address of the filer of the statement, and the email address, if any, of
 the filer of the statement.
   §  31.  Paragraphs  2  and  3 of subdivision (a), subparagraph (ii) of
 paragraph 2 and subparagraph (ii) of paragraph 3 of subdivision  (e)  of

 S. 2008                            73                            A. 3008
 
 section  301-A of the limited liability company law, as added by chapter
 448 of the laws of 1998, are amended to read as follows:
   (2)  that  the address of the party has been designated by the limited
 liability company as the post office address to which [the secretary  of
 state] A PERSON shall mail a copy of any process served on the secretary
 of  state  as agent for such limited liability company, SUCH ADDRESS and
 that such party wishes to resign.
   (3) that sixty days prior to the filing of the certificate of resigna-
 tion OR RECEIPT OF PROCESS with the department of state  the  party  has
 sent  a copy of the certificate of resignation for receipt of process by
 registered or certified mail to the address of the registered  agent  of
 the designated limited liability company, if other than the party filing
 the  certificate  of  resignation[,]  for  receipt of process, or if the
 [resigning] DESIGNATING limited  liability  company  has  no  registered
 agent,  then  to  the  last  address of the designated limited liability
 company known to the party, specifying the address to which the copy was
 sent. If there is no registered agent and no known address of the desig-
 nating limited liability company, the party shall attach an affidavit to
 the certificate stating that a diligent but unsuccessful search was made
 by the party to locate the limited liability  company,  specifying  what
 efforts were made.
   (ii)  sent  by or on behalf of the plaintiff to such limited LIABILITY
 company by registered or certified mail with return receipt requested to
 the last address of such limited liability company known to  the  plain-
 tiff.
   (ii)  Where  service  of  a copy of process was effected by mailing in
 accordance with this section, proof of service shall be by affidavit  of
 compliance  with  this  section filed, together with the process, within
 thirty days after receipt of the return receipt signed  by  the  limited
 liability company or other official proof of delivery or of the original
 envelope  mailed.  If a copy of the process is mailed in accordance with
 this section, there shall be filed  with  the  affidavit  of  compliance
 either  the  return  receipt signed by such limited LIABILITY company or
 other official proof of delivery, if acceptance was refused by  it,  the
 original envelope with a notation by the postal authorities that accept-
 ance  was  refused.  If  acceptance was refused a copy of the notice and
 process together with notice of the mailing by registered  or  certified
 mail  and  refusal  to  accept  shall  be  promptly sent to such limited
 liability company at the same address by ordinary mail and the affidavit
 of compliance shall so state. Service of process shall be  complete  ten
 days  after  such  papers  are  filed  with  the clerk of the court. The
 refusal to accept delivery of the registered or  certified  mail  or  to
 sign the return receipt shall not affect the validity of the service and
 such  limited  liability  company  refusing to accept such registered or
 certified mail shall be charged with knowledge of the contents thereof.
   § 32. Subdivision (a) of section 303 of the limited liability  company
 law,  as  relettered  by  chapter 341 of the laws of 1999, is amended to
 read as follows:
   (a) Service of process on the secretary of state as agent of a  domes-
 tic limited liability company [or], authorized foreign limited liability
 company,  OR  OTHER BUSINESS ENTITY THAT HAS DESIGNATED THE SECRETARY OF
 STATE AS AGENT FOR SERVICE OF PROCESS PURSUANT TO ARTICLE  TEN  OF  THIS
 CHAPTER,  SHALL  BE  MADE  BY  MAILING THE PROCESS AND NOTICE OF SERVICE
 THEREOF BY CERTIFIED MAIL, RETURN RECEIPT  REQUESTED,  TO  SUCH  LIMITED
 LIABILITY  COMPANY OR OTHER BUSINESS ENTITY, AT THE POST OFFICE ADDRESS,
 ON FILE IN THE DEPARTMENT OF STATE, SPECIFIED FOR THIS PURPOSE.  ON  THE

 S. 2008                            74                            A. 3008
 
 SAME DAY AS SUCH PROCESS IS MAILED, A DUPLICATE COPY OF SUCH PROCESS AND
 PROOF OF MAILING shall be [made by] personally [delivering] DELIVERED to
 and  [leaving] LEFT with the secretary of state or his or her deputy, or
 with  any  person  authorized  by the secretary of state to receive such
 service, at the office of the department of state in the city of Albany,
 [duplicate copies of such process]  together  with  the  statutory  fee,
 which fee shall be a taxable disbursement.  PROOF OF MAILING SHALL BE BY
 AFFIDAVIT  OF  COMPLIANCE  WITH THIS SECTION. Service of process on such
 limited liability company OR OTHER BUSINESS  ENTITY  shall  be  complete
 when  the secretary of state is so served. [The secretary of state shall
 promptly send one of such  copies  by  certified  mail,  return  receipt
 requested,  to such limited liability company at the post office address
 on file in the department of state specified for that purpose.]
   § 33. Section 305 of the limited liability company law is  amended  to
 read as follows:
   §  305.  Records  of  process  served on the secretary of state.   The
 [secretary of state] DEPARTMENT OF STATE shall keep  a  record  of  each
 process served upon the secretary of state under this chapter, including
 the  date of such service [and the action of the secretary of state with
 reference thereto]. IT SHALL, UPON REQUEST MADE WITHIN TEN YEARS OF SUCH
 SERVICE, ISSUE A CERTIFICATE UNDER ITS SEAL CERTIFYING AS TO THE RECEIPT
 OF THE PROCESS BY AN AUTHORIZED PERSON,  THE  DATE  AND  PLACE  OF  SUCH
 SERVICE  AND  THE  RECEIPT OF THE STATUTORY FEE. PROCESS SERVED UPON THE
 SECRETARY OF STATE UNDER THIS CHAPTER SHALL BE DESTROYED BY THE  DEPART-
 MENT OF STATE AFTER A PERIOD OF TEN YEARS FROM SUCH SERVICE.
   §  34.  Paragraph  4  of subdivision (a) of section 802 of the limited
 liability company law, as amended by chapter 470 of the laws of 1997, is
 amended to read as follows:
   (4) a designation of the secretary of state as  its  agent  upon  whom
 process  against it may be served and the post office address, within or
 without this state, to which [the secretary of  state]  A  PERSON  shall
 mail  a  copy  of  any  process  against it served upon [him or her] THE
 SECRETARY OF STATE;
   § 35. Section 804-A of the limited liability company law, as added  by
 chapter 448 of the laws of 1998, is amended to read as follows:
   § 804-A. Certificate of change. (a) A foreign limited liability compa-
 ny  may  amend  its  application  for authority from time to time to (i)
 specify or change  the  location  of  the  limited  liability  company's
 office;  (ii)  specify  or  change the post office address to which [the
 secretary of state] A PERSON shall mail a copy of  any  process  against
 the  limited liability company served upon [him] THE SECRETARY OF STATE;
 and (iii) to make, revoke or change  the  designation  of  a  registered
 agent,  or  to  specify or change the address of a registered agent. Any
 one or more such changes may be accomplished by filing a certificate  of
 change  which shall be entitled "Certificate of Change of ........ (name
 of limited liability company) under section 804-A of the Limited Liabil-
 ity Company Law" and shall be signed and delivered to the department  of
 state. It shall set forth:
   (1) the name of the foreign limited liability company and, if applica-
 ble, the fictitious name the limited liability company has agreed to use
 in this state pursuant to section eight hundred two of this article;
   (2) the date its application for authority was filed by the department
 of state; and
   (3) each change effected thereby[,].
   (b) A certificate of change which changes only the post office address
 to  which  [the  secretary  of  state] A PERSON shall mail a copy of any

 S. 2008                            75                            A. 3008
 
 process against a foreign limited liability company served upon [him or]
 THE SECRETARY OF STATE AND/OR  the  address  of  the  registered  agent,
 provided such address being changed is the address of a person, partner-
 ship [or], corporation OR OTHER LIMITED LIABILITY COMPANY whose address,
 as  agent,  is  the address to be  changed or who has been designated as
 registered agent for such limited liability company may  be  signed  and
 delivered  to  the department of state by such agent. The certificate of
 change shall set forth the statements required under subdivision (a)  of
 this  section;  that  a  notice of the proposed change was mailed to the
 foreign limited liability company by the party signing  the  certificate
 not  less  than thirty days prior to the date of delivery to the depart-
 ment of state and that such foreign limited liability  company  has  not
 objected  thereto;  and  that  the  party signing the certificate is the
 agent of such foreign limited liability company to  whose  address  [the
 secretary  of  state]  A  PERSON  is  required to mail copies of process
 SERVED ON THE SECRETARY OF STATE or the registered agent, if such be the
 case. A certificate signed and delivered under  this  subdivision  shall
 not  be  deemed  to  effect  a  change  of location of the office of the
 foreign limited liability company in whose behalf  such  certificate  is
 filed.
   §  36.  Paragraph  6  of subdivision (b) of section 806 of the limited
 liability company law is amended to read as follows:
   (6) a post office address, within or without this state, to which [the
 secretary of state] A PERSON shall mail a copy of any process against it
 served upon [him or her] THE SECRETARY OF STATE.
   § 37. Paragraph 11 of subdivision (a) of section 1003 of  the  limited
 liability company law, as amended by chapter 374 of the laws of 1998, is
 amended to read as follows:
   (11)  a  designation  of the secretary of state as its agent upon whom
 process against it may be served in the  manner  set  forth  in  article
 three  of  this  chapter in any action or special proceeding, and a post
 office address, within or without this state, to which [the secretary of
 state] A PERSON shall mail a copy of any process  served  upon  [him  or
 her]  THE  SECRETARY  OF STATE. Such post office address shall supersede
 any prior address designated as the address to which  process  shall  be
 mailed;
   §  38.  Clause  (iv) of subparagraph (A) of paragraph 2 of subdivision
 (c) of section 1203 of the limited liability company law, as amended  by
 chapter 44 of the laws of 2006, is amended to read as follows:
   (iv)  a  statement  that the secretary of state has been designated as
 agent of the professional service limited liability  company  upon  whom
 process  against it may be served and the post office address, within or
 without this state, to which [the secretary of  state]  A  PERSON  shall
 mail  a  copy  of  any  process  against it served upon [him or her] THE
 SECRETARY OF STATE;
   § 39. Paragraph 6 of subdivision (a) and subparagraph 5  of  paragraph
 (i)  of subdivision (d) of section 1306 of the limited liability company
 law, subparagraph 5 of paragraph (i) of subdivision (d)  as  amended  by
 chapter 44 of the laws of 2006, are amended to read as follows:
   (6)  a  designation  of  the secretary of state as its agent upon whom
 process against it may be served and the post office address, within  or
 without  this  state,  to  which [the secretary of state] A PERSON shall
 mail a copy of any process against it  served  upon  [him  or  her]  THE
 SECRETARY OF STATE; and
   (5)  a  statement  that  the secretary of state has been designated as
 agent of the foreign professional service limited liability company upon

 S. 2008                            76                            A. 3008
 
 whom process against it may be served and the post office address, with-
 in or without this state, to which [the secretary  of  state]  A  PERSON
 shall mail a copy of any process against it served upon [him or her] THE
 SECRETARY OF STATE;
   §  40.  Paragraph (d) of section 304 of the not-for-profit corporation
 law, as amended by chapter 358 of the laws of 2015, is amended  to  read
 as follows:
   (d)  ANY DESIGNATED POST OFFICE ADDRESS MAINTAINED BY THE SECRETARY OF
 STATE AS AGENT OF A DOMESTIC NOT-FOR-PROFIT CORPORATION OR FOREIGN  NOT-
 FOR-PROFIT  CORPORATION  FOR THE PURPOSE OF MAILING PROCESS SHALL BE THE
 POST OFFICE ADDRESS, WITHIN OR WITHOUT THE  STATE,  TO  WHICH  A  PERSON
 SHALL MAIL PROCESS AGAINST SUCH CORPORATION AS REQUIRED BY THIS ARTICLE.
 Any  designated [post-office] POST OFFICE address to which the secretary
 of state OR A PERSON shall mail a copy of process served  upon  [him  or
 her]  THE  SECRETARY  OF STATE as agent of a domestic corporation formed
 under article four of this chapter or foreign corporation, shall contin-
 ue until the filing of a certificate under this  chapter  directing  the
 mailing to a different [post-office] POST OFFICE address.
   §  41.  Paragraph (a) of section 305 of the not-for-profit corporation
 law, as amended by chapter 549 of the laws of 2013, is amended  to  read
 as follows:
   (a)  Every  domestic corporation or authorized foreign corporation may
 designate a registered agent in this state  upon  whom  process  against
 such  corporation may be served. The agent shall be a natural person who
 is a resident of or has a business address in this state or  a  domestic
 corporation  or  foreign corporation of any kind formed[,] or authorized
 to do business in this state, under this  chapter  or  under  any  other
 statute  of  this  state,  OR  A DOMESTIC LIMITED LIABILITY COMPANY OR A
 FOREIGN LIMITED LIABILITY COMPANY AUTHORIZED  TO  DO  BUSINESS  IN  THIS
 STATE.
   §  42.  Paragraph (b) of section 306 of the not-for-profit corporation
 law, as amended by chapter 23 of the laws of 2014, is amended to read as
 follows:
   (b) Service of process on the secretary of state as agent of a  domes-
 tic  corporation formed under article four of this chapter or an author-
 ized foreign corporation shall be made by MAILING THE PROCESS AND NOTICE
 OF SERVICE THEREOF BY CERTIFIED MAIL, RETURN RECEIPT REQUESTED, TO  SUCH
 CORPORATION  OR  OTHER  BUSINESS  ENTITY, AT THE POST OFFICE ADDRESS, ON
 FILE IN THE DEPARTMENT OF STATE, SPECIFIED FOR THIS PURPOSE. ON THE SAME
 DAY THAT SUCH PROCESS IS MAILED, A DUPLICATE COPY OF  SUCH  PROCESS  AND
 PROOF  OF  MAILING  SHALL  BE  personally  [delivering] DELIVERED to and
 [leaving] LEFT with the secretary of state or his or her deputy, or with
 any person authorized by the secretary of state to receive such service,
 at the office of the department of state in the city of Albany,  [dupli-
 cate  copies of such process] together with the statutory fee, which fee
 shall be a taxable disbursement.  PROOF OF MAILING SHALL BE BY AFFIDAVIT
 OF COMPLIANCE WITH THIS SECTION. Service of process on such  corporation
 OR  OTHER  BUSINESS ENTITY shall be complete when the secretary of state
 is so served.  [The secretary of state shall promptly send one  of  such
 copies by certified mail, return receipt requested, to such corporation,
 at  the  post office address, on file in the department of state, speci-
 fied for the purpose.] If a domestic corporation  formed  under  article
 four  of  this  chapter or an authorized foreign corporation has no such
 address on file in the department of  state,  the  [secretary  of  state
 shall  so  mail  such]  DUPLICATE copy OF THE PROCESS SHALL BE MAILED to

 S. 2008                            77                            A. 3008

 such corporation at the address of its office within this state on  file
 in the department.
   §  43.  Subparagraph 6 of paragraph (a) of section 402 of the not-for-
 profit corporation law, as added by chapter 564 of the laws of 1981  and
 as  renumbered by chapter 132 of the laws of 1985, is amended to read as
 follows:
   (6) A designation of the secretary of state as  agent  of  the  corpo-
 ration  upon  whom  process against it may be served and the post office
 address, within or without this state, to which [the secretary of state]
 A PERSON shall mail a copy of any process against it served  upon  [him]
 THE SECRETARY OF STATE.
   §  44.  Subparagraph 7 of paragraph (b) of section 801 of the not-for-
 profit corporation law, as amended by chapter 438 of the laws  of  1984,
 is amended to read as follows:
   (7)  To specify or change the post office address to which [the secre-
 tary of state] A PERSON shall mail a copy of  any  process  against  the
 corporation served upon [him] THE SECRETARY OF STATE.
   §  45.  Subparagraph 2 of paragraph (c) of section 802 of the not-for-
 profit corporation law, as amended by chapter 186 of the laws  of  1983,
 is amended to read as follows:
   (2)  To specify or change the post office address to which [the secre-
 tary of state] A PERSON shall mail a copy of  any  process  against  the
 corporation served upon [him] THE SECRETARY OF STATE.
   §  46.  Subparagraph 6 of paragraph (a) of section 803 of the not-for-
 profit corporation law, as amended by chapter 23 of the laws of 2014, is
 amended to read as follows:
   (6) A designation of the secretary of state as  agent  of  the  corpo-
 ration  upon  whom  process against it may be served and the post office
 address,   within or without this state,  to  which  [the  secretary  of
 state]  A PERSON shall mail a copy of any process against it served upon
 the secretary OF STATE.
   § 47. Paragraph (b) of section 803-A of the not-for-profit corporation
 law, as amended by chapter 172 of the laws of 1999, is amended  to  read
 as follows:
   (b) A certificate of change which changes only the post office address
 to  which  [the  secretary  of  state] A PERSON shall mail a copy of any
 process against the corporation served upon [him or]  THE  SECRETARY  OF
 STATE  AND/OR the address of the registered agent, provided such address
 being changed is the address of a person, partnership, LIMITED LIABILITY
 COMPANY or other corporation whose address, as agent, is the address  to
 be  changed  or  who  has  been  designated as registered agent for such
 corporation, may be signed and delivered to the department of  state  by
 such  agent.  The  certificate  of change shall set forth the statements
 required under subparagraphs (1), (2) and (3) of paragraph (a)  of  this
 section;  that  a notice of the proposed change was mailed to the corpo-
 ration by the party signing the certificate not less  than  thirty  days
 prior  to  the  date  of delivery to the department and that such corpo-
 ration has not objected thereto; and that the party signing the  certif-
 icate  is  the agent of such corporation to whose address [the secretary
 of state] A PERSON is required to mail copies of any process against the
 corporation served upon [him] THE SECRETARY OF STATE or  the  registered
 agent,  if  such  be  the case. A certificate signed and delivered under
 this paragraph shall not be deemed to effect a change of location of the
 office of the corporation in whose behalf such certificate is filed.

 S. 2008                            78                            A. 3008
 
   § 48. Clause (E) of subparagraph 2 of paragraph (d) of section 906  of
 the  not-for-profit  corporation  law, as amended by chapter 1058 of the
 laws of 1971, is amended to read as follows:
   (E)  A  designation  of  the secretary of state as its agent upon whom
 process against it may be served in the manner set  forth  in  paragraph
 (b)  of  section  306  (Service  of  process),  in any action or special
 proceeding described in [subparagraph] CLAUSE (D) OF  THIS  SUBPARAGRAPH
 and  a  post office address, within or without this state, to which [the
 secretary of state] A PERSON shall mail a copy of the  process  in  such
 action or special proceeding SERVED UPON THE SECRETARY OF STATE.
   §  49. Clause (F) of subparagraph 2 of paragraph (d) of section 908 of
 the not-for-profit corporation law is amended to read as follows:
   (F) A designation of the secretary of state as  his  agent  upon  whom
 process  against  it  may be served in the manner set forth in paragraph
 (b) of section 306 (Service  of  process),  in  any  action  or  special
 proceeding  described  in [subparagraph] CLAUSE (D) OF THIS SUBPARAGRAPH
 and a post office address, within or without the state,  to  which  [the
 secretary  of  state]  A PERSON shall mail a copy of the process in such
 action or special proceeding SERVED UPON BY THE SECRETARY OF STATE.
   § 50. Subparagraph 6 of paragraph (a) of section 1304 of the  not-for-
 profit  corporation  law,  as  renumbered  by chapter 590 of the laws of
 1982, is amended to read as follows:
   (6) A designation of the secretary of state as  its  agent  upon  whom
 process  against it may be served and the post office address, within or
 without this state, to which [the secretary of  state]  A  PERSON  shall
 mail a copy of any process against it served upon [him] THE SECRETARY OF
 STATE.
   §  51. Subparagraph 7 of paragraph (a) of section 1308 of the not-for-
 profit corporation law, as renumbered by chapter  186  of  the  laws  of
 1983, is amended to read as follows:
   (7)  To specify or change the post office address to which [the secre-
 tary of state] A PERSON shall mail a copy  of  any  process  against  it
 served upon [him] THE SECRETARY OF STATE.
   §  52.  Subparagraph  2  of paragraph (a) and paragraph (c) of section
 1310 of the not-for-profit corporation law, paragraph (c) as amended  by
 chapter 172 of the laws of 1999, are amended to read as follows:
   (2)  To specify or change the post office address to which [the secre-
 tary of state] A PERSON shall mail a copy  of  any  process  against  it
 served upon [him] THE SECRETARY OF STATE.
   (c) A certificate of change of application for authority which changes
 only  the post office address to which [the secretary of state] A PERSON
 shall mail a copy of any process against an  authorized  foreign  corpo-
 ration  served upon [him or] THE SECRETARY OF STATE AND/OR which changes
 the address of its  registered  agent,  provided  such  address  is  the
 address  of  a  person,  partnership, LIMITED LIABILITY COMPANY or other
 corporation whose address, as agent, is the address to be changed or who
 has been designated as registered  agent  for  such  authorized  foreign
 corporation,  may  be signed and delivered to the department of state by
 such agent. The certificate of change of application for authority shall
 set forth the statements required under subparagraphs (1), (2), (3)  and
 (4)  of  paragraph  (b)  of  this section; that a notice of the proposed
 change was mailed by the party signing the certificate to the authorized
 foreign corporation not less than thirty  days  prior  to  the  date  of
 delivery  to  the  department and that such corporation has not objected
 thereto; and that the party signing the certificate is the agent of such
 foreign corporation to whose address [the secretary of state]  A  PERSON

 S. 2008                            79                            A. 3008
 
 is  required  to mail copies of process SERVED ON THE SECRETARY OF STATE
 or the registered agent, if such be the case. A certificate  signed  and
 delivered under this paragraph shall not be deemed to effect a change of
 location  of  the office of the corporation in whose behalf such certif-
 icate is filed.
   § 53. Subparagraph 6 of paragraph (a) and subparagraph 4 of  paragraph
 (d) of section 1311 of the not-for-profit corporation law are amended to
 read as follows:
   (6) A post office address, within or without this state, to which [the
 secretary of state] A PERSON shall mail a copy of any process against it
 served upon [him] THE SECRETARY OF STATE.
   (4)  The changed post office address, within or without this state, to
 which [the secretary of state] A PERSON shall mail a copy of any process
 against it served upon [him] THE SECRETARY OF STATE.
   § 54. Section 1312 of the not-for-profit corporation law,  as  amended
 by chapter 375 of the laws of 1998, is amended to read as follows:
 § 1312. Termination of existence.
   When  an  authorized foreign corporation is dissolved or its authority
 or existence is otherwise terminated or cancelled in the jurisdiction of
 its incorporation or when such foreign corporation  is  merged  into  or
 consolidated  with  another  foreign  corporation,  a certificate of the
 secretary of state, or official performing the equivalent function as to
 corporate records, of the jurisdiction of incorporation of such  foreign
 corporation attesting to the occurrence of any such event or a certified
 copy of an order or decree of a court of such jurisdiction directing the
 dissolution  of  such foreign corporation, the termination of its exist-
 ence or the cancellation of its authority  shall  be  delivered  to  the
 department  of  state.    The filing of the certificate, order or decree
 shall have the same effect as the filing of a certificate  of  surrender
 of authority under section 1311 (Surrender of authority).  The secretary
 of  state  shall  continue as agent of the foreign corporation upon whom
 process against it may be served in the manner set  forth  in  paragraph
 (b)  of  section  306  (Service  of  process),  in any action or special
 proceeding based upon  any  liability  or  obligation  incurred  by  the
 foreign  corporation  within  this  state  prior  to  the filing of such
 certificate, order or decree and [he] THE PERSON  SERVING  SUCH  PROCESS
 shall  promptly cause a copy of any such process to be mailed by [regis-
 tered] CERTIFIED mail, return receipt requested, to such foreign  corpo-
 ration  at  the  post office address on file in his office specified for
 such purpose.  The post office address may be  changed  by  signing  and
 delivering  to  the  department of state a certificate of change setting
 forth the statements required under section 1310 (Certificate of change,
 contents) to effect a change in the post office address  under  subpara-
 graph  [(a)  (4)]  (7)  OF  PARAGRAPH (A) of section 1308 (Amendments or
 changes).
   § 55. Subdivision (c) of section 121-104 of the  partnership  law,  as
 added by chapter 950 of the laws of 1990, is amended to read as follows:
   (c)  ANY DESIGNATED POST OFFICE ADDRESS MAINTAINED BY THE SECRETARY OF
 STATE AS AGENT OF A DOMESTIC  LIMITED  PARTNERSHIP  OR  FOREIGN  LIMITED
 PARTNERSHIP  FOR THE PURPOSE OF MAILING PROCESS SHALL BE THE POST OFFICE
 ADDRESS, WITHIN OR WITHOUT THE STATE, TO WHICH A PERSON SHALL MAIL PROC-
 ESS AGAINST SUCH LIMITED PARTNERSHIP AS REQUIRED BY  THIS  ARTICLE.  Any
 designated  post  office  address  to  which the secretary of state OR A
 PERSON shall mail a copy of process served upon [him] THE  SECRETARY  OF
 STATE  as  agent  of  a  domestic limited partnership or foreign limited

 S. 2008                            80                            A. 3008
 
 partnership shall continue until the filing of a certificate under  this
 article directing the mailing to a different post office address.
   § 56. Paragraphs 1, 2 and 3 of subdivision (a) of section 121-104-A of
 the  partnership  law,  as added by chapter 448 of the laws of 1998, are
 amended to read as follows:
   (1) the name of the limited partnership and the date that  its  [arti-
 cles  of organization] CERTIFICATE OF LIMITED PARTNERSHIP or application
 for authority was filed by the department of state.
   (2) that the address of the party has been designated by  the  limited
 partnership as the post office address to which [the secretary of state]
 A  PERSON  shall  mail  a copy of any process served on the secretary of
 state as agent for such limited partnership, and that such party  wishes
 to resign.
   (3) that sixty days prior to the filing of the certificate of resigna-
 tion  FOR  RECEIPT OF PROCESS with the department of state the party has
 sent a copy of the certificate of resignation for receipt of process  by
 registered  or  certified mail to the address of the registered agent of
 the [designated] DESIGNATING limited  partnership,  if  other  than  the
 party  filing  the certificate of resignation[,] for receipt of process,
 or if the [resigning] DESIGNATING limited partnership has no  registered
 agent,  then to the last address of the [designated] DESIGNATING limited
 partnership, known to the party, specifying the  address  to  which  the
 copy  was  sent. If there is no registered agent and no known address of
 the designating limited partnership the party shall attach an  affidavit
 to  the  certificate stating that a diligent but unsuccessful search was
 made by the party to locate the  limited  partnership,  specifying  what
 efforts were made.
   §  57.  Subdivision  (a) of section 121-105 of the partnership law, as
 added by chapter 950 of the laws of 1990, is amended to read as follows:
   (a) In addition to the designation of the  secretary  of  state,  each
 limited partnership or authorized foreign limited partnership may desig-
 nate  a  registered agent upon whom process against the limited partner-
 ship may be served. The agent must be (i) a  natural  person  who  is  a
 resident  of  this  state  or has a business address in this state, [or]
 (ii) a domestic corporation or a foreign corporation  authorized  to  do
 business  in  this  state,  OR A DOMESTIC LIMITED LIABILITY COMPANY OR A
 FOREIGN LIMITED LIABILITY COMPANY AUTHORIZED  TO  DO  BUSINESS  IN  THIS
 STATE.
   §  58.  Subdivisions (a) and (c) of section 121-109 of the partnership
 law, as added by chapter 950 of the laws of 1990 and  as  relettered  by
 chapter 341 of the laws of 1999, are amended to read as follows:
   (a)  Service of process on the secretary of state as agent of a domes-
 tic or authorized foreign limited partnership, OR OTHER BUSINESS  ENTITY
 THAT HAS DESIGNATED THE SECRETARY OF STATE AS AGENT FOR SERVICE OF PROC-
 ESS PURSUANT TO THIS CHAPTER, shall be made [as follows:
   (1) By] BY MAILING THE PROCESS AND NOTICE OF SERVICE OF PROCESS PURSU-
 ANT TO THIS SECTION BY CERTIFIED MAIL, RETURN RECEIPT REQUESTED, TO SUCH
 DOMESTIC  OR  AUTHORIZED  FOREIGN  LIMITED PARTNERSHIP OR OTHER BUSINESS
 ENTITY, AT THE POST OFFICE ADDRESS, ON FILE IN THE DEPARTMENT OF  STATE,
 SPECIFIED  FOR THAT PURPOSE. ON THE SAME DAY AS THE PROCESS IS MAILED, A
 DUPLICATE COPY OF SUCH PROCESS AND PROOF OF MAILING SHALL BE  personally
 [delivering]  DELIVERED  to  and  [leaving]  LEFT  with [him or his] THE
 SECRETARY OF STATE OR A deputy, or with any  person  authorized  by  the
 secretary of state to receive such service, at the office of the depart-
 ment  of state in the city of Albany, [duplicate copies of such process]
 together with the statutory fee, which fee shall be a taxable  disburse-

 S. 2008                            81                            A. 3008
 
 ment.  PROOF  OF  MAILING  SHALL BE BY AFFIDAVIT OF COMPLIANCE WITH THIS
 SECTION. SERVICE OF PROCESS ON SUCH LIMITED PARTNERSHIP OR  OTHER  BUSI-
 NESS ENTITY SHALL BE COMPLETE WHEN THE SECRETARY OF STATE IS SO SERVED.
   [(2)  The  service  on  the  limited  partnership is complete when the
 secretary of state is so served.
   (3) The secretary of state shall promptly send one of such  copies  by
 certified mail, return receipt requested, addressed to the limited part-
 nership  at the post office address, on file in the department of state,
 specified for that purpose.]
   (c) The [secretary of state] DEPARTMENT OF STATE shall keep  a  record
 of  all process served upon [him] IT under this section and shall record
 therein the date of such service [and his action with  reference  there-
 to]. IT SHALL, UPON REQUEST MADE WITHIN TEN YEARS OF SUCH SERVICE, ISSUE
 A CERTIFICATE UNDER ITS SEAL CERTIFYING AS TO THE RECEIPT OF THE PROCESS
 BY  AN  AUTHORIZED  PERSON,  THE  DATE AND PLACE OF SUCH SERVICE AND THE
 RECEIPT OF THE STATUTORY FEE. PROCESS SERVED UPON THE SECRETARY OF STATE
 UNDER THIS CHAPTER SHALL BE DESTROYED BY HIM AFTER A PERIOD OF TEN YEARS
 FROM SUCH SERVICE.
   § 59. Paragraph 3 of subdivision (a) and subparagraph 4  of  paragraph
 (i)  of subdivision (c) of section 121-201 of the partnership law, para-
 graph 3 of subdivision (a) as amended by chapter  264  of  the  laws  of
 1991,  and subparagraph 4 of paragraph (i) of subdivision (c) as amended
 by chapter 44 of the laws of 2006, are amended to read as follows:
   (3) a designation of the secretary of state as agent  of  the  limited
 partnership  upon  whom  process  against  it may be served and the post
 office address, within or without this state, to which [the secretary of
 state] A PERSON shall mail a copy of any process against it served  upon
 [him] THE SECRETARY OF STATE;
   (4)  a  statement  that  the secretary of state has been designated as
 agent of the limited partnership upon whom process  against  it  may  be
 served  and  the  post  office address, within or without this state, to
 which [the secretary of state] A PERSON shall mail a copy of any process
 against it served upon [him or her] THE SECRETARY OF STATE;
   § 60. Paragraph 4 of subdivision (b) of section 121-202 of  the  part-
 nership  law,  as amended by chapter 576 of the laws of 1994, is amended
 to read as follows:
   (4) a change in the name of the limited partnership, or  a  change  in
 the post office address to which [the secretary of state] A PERSON shall
 mail  a  copy  of  any process against the limited partnership served on
 [him] THE SECRETARY OF STATE, or a change in the name or address of  the
 registered  agent, if such change is made other than pursuant to section
 121-104 or 121-105 of this article.
   § 61. Section 121-202-A of the partnership law, as  added  by  chapter
 448  of  the  laws of 1998, paragraph 2 of subdivision (a) as amended by
 chapter 172 of the laws of 1999, is amended to read as follows:
   § 121-202-A. Certificate of change. (a) A certificate of limited part-
 nership may be changed by filing with the department of state a  certif-
 icate of change entitled "Certificate of Change of ..... (name of limit-
 ed   partnership)   under  Section  121-202-A  of  the  Revised  Limited
 Partnership Act" and shall be signed and delivered to the department  of
 state. A certificate of change may (i) specify or change the location of
 the limited partnership's office; (ii) specify or change the post office
 address  to which [the secretary of state] A PERSON shall mail a copy of
 process against the limited partnership served upon [him] THE  SECRETARY
 OF  STATE;  and (iii) make, revoke or change the designation of a regis-

 S. 2008                            82                            A. 3008
 
 tered agent, or to specify or  change  the  address  of  its  registered
 agent. It shall set forth:
   (1)  the  name of the limited partnership, and if it has been changed,
 the name under which it was formed;
   (2) the date its certificate of limited partnership was filed  by  the
 department of state; and
   (3) each change effected thereby.
   (b) A certificate of change which changes only the post office address
 to  which  [the  secretary  of  state] A PERSON shall mail a copy of any
 process against a limited partnership served upon [him or] THE SECRETARY
 OF STATE AND/OR the address  of  the  registered  agent,  provided  such
 address  being  changed is the address of a person, partnership, LIMITED
 LIABILITY CORPORATION or corporation whose address,  as  agent,  is  the
 address to be changed or who has been designated as registered agent for
 such limited partnership shall be signed and delivered to the department
 of  state  by  such agent. The certificate of change shall set forth the
 statements required under subdivision (a) of this section; that a notice
 of the proposed change was mailed to the domestic limited partnership by
 the party signing the certificate not less than thirty days prior to the
 date of delivery to the department  of  state  and  that  such  domestic
 limited partnership has not objected thereto; and that the party signing
 the  certificate  is  the  agent  of  such  limited partnership to whose
 address [the secretary of state] A PERSON is required to mail copies  of
 process  SERVED  ON  THE  SECRETARY OF STATE or the registered agent, if
 such be the case. A certificate signed and delivered under this subdivi-
 sion shall not be deemed to effect a change of location of the office of
 the limited partnership in whose behalf such certificate is filed.
   § 62. Paragraph 4 of subdivision (a) and subparagraph 5  of  paragraph
 (i)  of subdivision (d) of section 121-902 of the partnership law, para-
 graph 4 of subdivision (a) as amended by chapter 172 of the laws of 1999
 and subparagraph 5 of paragraph (i) of subdivision  (d)  as  amended  by
 chapter 44 of the laws of 2006, are amended to read as follows:
   (4)  a  designation  of  the secretary of state as its agent upon whom
 process against it may be served and the post office address, within  or
 without  this  state,  to  which [the secretary of state] A PERSON shall
 mail a copy of any process against it served upon [him] THE SECRETARY OF
 STATE;
   (5) a statement that the secretary of state has been designated as its
 agent upon whom process against it may be served  and  the  post  office
 address, within or without this state, to which [the secretary of state]
 A PERSON shall mail a copy of any process against it served upon [him or
 her] THE SECRETARY OF STATE;
   §  63.  Section  121-903-A of the partnership law, as added by chapter
 448 of the laws of 1998, is amended to read as follows:
   § 121-903-A. Certificate of change. (a) A foreign limited  partnership
 may  change  its application for authority by filing with the department
 of state  a  certificate  of  change  entitled  "Certificate  of  Change
 of ........ (name of limited partnership) under Section 121-903-A of the
 Revised  Limited  Partnership  Act" and shall be signed and delivered to
 the department of state. A certificate of  change  may  (i)  change  the
 location  of  the  limited  partnership's  office;  (ii) change the post
 office address to which [the secretary of state] A PERSON shall  mail  a
 copy  of  process  against the limited partnership served upon [him] THE
 SECRETARY OF STATE; and (iii) make, revoke or change the designation  of
 a  registered  agent,  or to specify or change the address of its regis-
 tered agent. It shall set forth:

 S. 2008                            83                            A. 3008
 
   (1) the name of the foreign limited partnership  and,  if  applicable,
 the fictitious name the foreign limited partnership has agreed to use in
 this state pursuant to section 121-902 of this article;
   (2) the date its application for authority was filed by the department
 of state; and
   (3) each change effected thereby.
   (b) A certificate of change which changes only the post office address
 to  which  [the  secretary  of  state] A PERSON shall mail a copy of any
 process against a foreign limited partnership served upon [him  or]  THE
 SECRETARY  OF STATE AND/OR the address of the registered agent, provided
 such address being changed is the  address  of  a  person,  partnership,
 LIMITED LIABILITY COMPANY or corporation whose address, as agent, is the
 address to be changed or who has been designated as registered agent for
 such  foreign  limited  partnership shall be signed and delivered to the
 department of state by such agent. The certificate of change  shall  set
 forth  the  statements  required  under subdivision (a) of this section;
 that a notice of the proposed change was mailed to the  foreign  limited
 partnership  by  the  party signing the certificate not less than thirty
 days prior to the date of delivery to the department of state  and  that
 such  foreign limited partnership has not objected thereto; and that the
 party signing the certificate is the agent of such foreign limited part-
 nership to whose address [the secretary of state] A PERSON  is  required
 to mail copies of process SERVED ON THE SECRETARY OF STATE or the regis-
 tered  agent,  if  such  be the case. A certificate signed and delivered
 under this subdivision shall  not  be  deemed  to  effect  a  change  of
 location  of  the office of the limited partnership in whose behalf such
 certificate is filed.
   § 64. Paragraph 6 of subdivision (b) of section 121-905 of  the  part-
 nership  law, as added by chapter 950 of the laws of 1990, is amended to
 read as follows:
   (6) a post office address, within or without this state, to which [the
 secretary of state] A PERSON shall mail a copy of any process against it
 served upon [him] THE SECRETARY OF STATE.
   § 65. Paragraph 7 of subdivision (a) of section 121-1103 of the  part-
 nership  law, as added by chapter 950 of the laws of 1990, is amended to
 read as follows:
   (7) A designation of the secretary of state as  its  agent  upon  whom
 process  against  it  may  be  served in the manner set forth in section
 121-109 of this article in any action or special proceeding, and a  post
 office address, within or without this state, to which [the secretary of
 state]  A  PERSON shall mail a copy of any process served upon [him] THE
 SECRETARY OF STATE.  Such post office address shall supersede any  prior
 address designated as the address to which process shall be mailed.
   §  66. Subparagraphs 2 and 4 of paragraph (I) and clause 4 of subpara-
 graph (A) of paragraph (II) of subdivision (a) of  section  121-1500  of
 the partnership law, subparagraph 2 of paragraph (I) as added by chapter
 576  of  the laws of 1994, subparagraph 4 of paragraph (I) as amended by
 chapter 643 of the laws of 1995 and such paragraph  as  redesignated  by
 chapter  767  of  the  laws  of 2005 and clause 4 of subparagraph (A) of
 paragraph (II) as amended by chapter 44 of the laws of 2006, are amended
 to read as follows:
   (2) the address, WITHIN THIS STATE, of the  principal  office  of  the
 partnership without limited partners;
   (4)  a  designation of the secretary of state as agent of the partner-
 ship without limited partners upon whom process against it may be served
 and the post office address, within or without this state, to which  the

 S. 2008                            84                            A. 3008
 
 [secretary  of  state] A PERSON shall mail a copy of any process against
 it or served [upon it] ON THE SECRETARY OF STATE;
   (4)  a  statement  that  the secretary of state has been designated as
 agent of the registered limited liability partnership upon whom  process
 against  it may be served and the post office address, within or without
 this state, to which [the secretary of state] A PERSON shall mail a copy
 of any process against it served upon [him  or  her]  THE  SECRETARY  OF
 STATE;
   § 67. Paragraphs (ii) and (iii) of subdivision (g) of section 121-1500
 of  the partnership law, as amended by section 8 of part S of chapter 59
 of the laws of 2015, are amended to read as follows:
   (ii) the address, WITHIN THIS STATE, of the principal  office  of  the
 registered limited liability partnership, (iii) the post office address,
 within or without this state, to which [the secretary of state] A PERSON
 shall mail a copy of any process accepted against it served upon [him or
 her]  THE SECRETARY OF STATE, which address shall supersede any previous
 address on file with the department of state for this purpose, and
   § 68. Subdivision (j-1) of section 121-1500 of the partnership law, as
 added by chapter 448 of the laws of 1998, is amended to read as follows:
   (j-1) A certificate of change  which  changes  only  the  post  office
 address  to which [the secretary of state] A PERSON shall mail a copy of
 any process against a registered limited  liability  partnership  served
 upon  [him]  THE SECRETARY OF STATE AND/or the address of the registered
 agent, provided such address being changed is the address of  a  person,
 partnership,  LIMITED LIABILITY COMPANY or corporation whose address, as
 agent, is the address to be changed or who has been designated as regis-
 tered agent for such registered limited liability partnership  shall  be
 signed  and  delivered  to  the  department  of state by such agent. The
 certificate of change shall set forth: (i) the name  of  the  registered
 limited  liability  partnership  and,  if  it has been changed, the name
 under which it was originally filed with the department of  state;  (ii)
 the  date  of  filing  of  its initial registration or notice statement;
 (iii) each change effected thereby; (iv) that a notice of  the  proposed
 change  was  mailed  to  the  limited liability partnership by the party
 signing the certificate not less than thirty days prior to the  date  of
 delivery  to  the  department  of  state and that such limited liability
 partnership has not objected thereto; and (v) that the party signing the
 certificate is the agent of such limited liability partnership to  whose
 address  [the secretary of state] A PERSON is required to mail copies of
 process SERVED ON THE SECRETARY OF STATE or  the  registered  agent,  if
 such be the case. A certificate signed and delivered under this subdivi-
 sion shall not be deemed to effect a change of location of the office of
 the  limited  liability  partnership in whose behalf such certificate is
 filed. The certificate of change shall be accompanied by a fee  of  five
 dollars.
   §  69.  Subdivision (a) of section 121-1502 of the partnership law, as
 amended by chapter 643 of the laws of 1995, paragraph (v) as amended  by
 chapter 470 of the laws of 1997, is amended to read as follows:
   (a)  In  order for a foreign limited liability partnership to carry on
 or conduct or transact business or activities as a New  York  registered
 foreign limited liability partnership in this state, such foreign limit-
 ed  liability  partnership  shall  file  with  the department of state a
 notice which shall set forth: (i)  the  name  under  which  the  foreign
 limited liability partnership intends to carry on or conduct or transact
 business  or  activities  in  this state; (ii) the date on which and the
 jurisdiction in which it registered as a limited liability  partnership;

 S. 2008                            85                            A. 3008
 
 (iii)  the  address,  WITHIN  THIS STATE, of the principal office of the
 foreign  limited  liability  partnership;   (iv)   the   profession   or
 professions  to  be practiced by such foreign limited liability partner-
 ship  and a statement that it is a foreign limited liability partnership
 eligible to file a notice under this chapter; (v) a designation  of  the
 secretary of state as agent of the foreign limited liability partnership
 upon  whom  process against it may be served and the post office address
 within or without this state, to which [the secretary of state] A PERSON
 shall mail a copy of any process against it [or] served  upon  [it]  THE
 SECRETARY OF STATE; (vi) if the foreign limited liability partnership is
 to  have  a  registered  agent, its name and address in this state and a
 statement that the registered agent is to be the agent  of  the  foreign
 limited  liability  partnership  upon  whom  process  against  it may be
 served; (vii) a statement that its registration as a  limited  liability
 partnership is effective in the jurisdiction in which it registered as a
 limited  liability partnership at the time of the filing of such notice;
 (viii) a statement that the foreign  limited  liability  partnership  is
 filing  a  notice  in  order  to  obtain status as a New York registered
 foreign limited liability partnership; (ix) if the registration  of  the
 foreign limited liability partnership is to be effective on a date later
 than  the  time  of  filing, the date, not to exceed sixty days from the
 date of filing, of  such  proposed  effectiveness;  and  (x)  any  other
 matters  the foreign limited liability partnership determines to include
 in the notice. Such notice shall be accompanied by either (1) a copy  of
 the  last  registration  or renewal registration (or similar filing), if
 any, filed by the foreign limited liability partnership with the  juris-
 diction  where it registered as a limited liability partnership or (2) a
 certificate, issued by the jurisdiction where it registered as a limited
 liability partnership, substantially to the  effect  that  such  foreign
 limited  liability  partnership  has  filed  a registration as a limited
 liability partnership which is effective on the date of the  certificate
 (if  such  registration,  renewal  registration  or  certificate is in a
 foreign language, a translation thereof under  oath  of  the  translator
 shall  be  attached thereto). Such notice shall also be accompanied by a
 fee of two hundred fifty dollars.
   § 70. Subparagraphs (ii) and (iii) of paragraph (I) of subdivision (f)
 of section 121-1502 of the partnership law, as amended by section  9  of
 part  S  of  chapter  59  of  the  laws  of 2015, are amended to read as
 follows:
   (ii) the address, WITHIN THIS STATE, of the principal  office  of  the
 New  York  registered  foreign  limited liability partnership, (iii) the
 post office address, within or without this state, to which [the  secre-
 tary  of  state]  A  PERSON  shall  mail  a copy of any process accepted
 against it served upon [him  or  her]  THE  SECRETARY  OF  STATE,  which
 address shall supersede any previous address on file with the department
 of state for this purpose, and
   §  71.  Clause  5 of subparagraph (A) of paragraph (II) of subdivision
 (f) of section 121-1502 of the partnership law, as amended by chapter 44
 of the laws of 2006, is amended to read as follows:
   (5) a statement that the secretary of state  has  been  designated  as
 agent  of  the  foreign  limited liability partnership upon whom process
 against it may be served and the post office address, within or  without
 this state, to which [the secretary of state] A PERSON shall mail a copy
 of  any  process  against  it  served upon [him or her] THE SECRETARY OF
 STATE;

 S. 2008                            86                            A. 3008
 
   § 72. Subdivision (i-1) of section 121-1502 of the partnership law, as
 added by chapter 448 of the laws of 1998, is amended to read as follows:
   (i-1)  A  certificate  of  change  which  changes only the post office
 address to which [the secretary of state] A PERSON shall mail a copy  of
 any  process  against  a  New  York registered foreign limited liability
 partnership served upon [him] THE SECRETARY OF STATE AND/or the  address
 of  the  registered  agent,  provided  such address being changed is the
 address of a person, partnership, LIMITED LIABILITY  COMPANY  or  corpo-
 ration  whose address, as agent, is the address to be changed or who has
 been designated as registered agent of such registered  foreign  limited
 liability partnership shall be signed and delivered to the department of
 state  by such agent. The certificate of change shall set forth: (i) the
 name of the New York registered foreign limited  liability  partnership;
 (ii) the date of filing of its initial registration or notice statement;
 (iii)  each  change effected thereby; (iv) that a notice of the proposed
 change was mailed to the limited  liability  partnership  by  the  party
 signing  the  certificate not less than thirty days prior to the date of
 delivery to the department of state  and  that  such  limited  liability
 partnership has not objected thereto; and (v) that the party signing the
 certificate  is the agent of such limited liability partnership to whose
 address [the secretary of state] A PERSON is required to mail copies  of
 process  SERVED  ON  THE  SECRETARY OF STATE or the registered agent, if
 such be the case. A certificate signed and delivered under this subdivi-
 sion shall not be deemed to effect a change of location of the office of
 the limited liability partnership in whose behalf  such  certificate  is
 filed.  The  certificate of change shall be accompanied by a fee of five
 dollars.
   § 73. Subdivision (a) of section 121-1505 of the partnership  law,  as
 added  by chapter 470 of the laws of 1997, is amended and two new subdi-
 visions (d) and (e) are added to read as follows:
   (a) Service of process on the secretary of state as agent of a  regis-
 tered  limited  liability  partnership  OR  NEW  YORK REGISTERED FOREIGN
 LIMITED LIABILITY PARTNERSHIP under this article shall be made by  MAIL-
 ING  THE PROCESS AND NOTICE OF SERVICE THEREOF BY CERTIFIED MAIL, RETURN
 RECEIPT REQUESTED, TO SUCH REGISTERED LIMITED LIABILITY  PARTNERSHIP  OR
 NEW  YORK  REGISTERED FOREIGN LIMITED LIABILITY PARTNERSHIP, AT THE POST
 OFFICE ADDRESS ON FILE IN THE DEPARTMENT OF  STATE  SPECIFIED  FOR  SUCH
 PURPOSE.  ON THE SAME DATE THAT SUCH PROCESS IS MAILED, A DUPLICATE COPY
 OF SUCH PROCESS AND PROOF OF MAILING TOGETHER WITH  THE  STATUTORY  FEE,
 WHICH  FEE SHALL BE A TAXABLE DISBURSEMENT SHALL BE personally [deliver-
 ing] DELIVERED to and [leaving] LEFT with the secretary of  state  or  a
 deputy,  or  with  any  person  authorized  by the secretary of state to
 receive such service, at the office of the department of  state  in  the
 city  of  Albany,  [duplicate  copies of such process] together with the
 statutory fee, which fee shall be a taxable disbursement. PROOF OF MAIL-
 ING SHALL BE BY AFFIDAVIT OF COMPLIANCE WITH THIS  SECTION.  Service  of
 process  on  such  registered  limited liability partnership OR NEW YORK
 REGISTERED FOREIGN LIMITED LIABILITY PARTNERSHIP shall be complete  when
 the  secretary  of  state  is  so  served. [The secretary of state shall
 promptly send one of such  copies  by  certified  mail,  return  receipt
 requested, to such registered limited liability partnership, at the post
 office  address  on  file  in the department of state specified for such
 purpose.]
   (D) THE DEPARTMENT OF STATE SHALL KEEP A RECORD OF EACH PROCESS SERVED
 UPON THE SECRETARY OF STATE UNDER THIS CHAPTER, INCLUDING  THE  DATE  OF
 SUCH  SERVICE.  IT  SHALL,  UPON  REQUEST  MADE WITHIN TEN YEARS OF SUCH

 S. 2008                            87                            A. 3008
 
 SERVICE, ISSUE A CERTIFICATE UNDER ITS SEAL CERTIFYING AS TO THE RECEIPT
 OF THE PROCESS BY AN AUTHORIZED PERSON,  THE  DATE  AND  PLACE  OF  SUCH
 SERVICE  AND  THE RECEIPT OF THE STATUTORY FEE.  PROCESS SERVED UPON THE
 SECRETARY  OF STATE UNDER THIS CHAPTER SHALL BE DESTROYED BY THE DEPART-
 MENT OF STATE AFTER A PERIOD OF TEN YEARS FROM SUCH SERVICE.
   (E) ANY DESIGNATED POST OFFICE ADDRESS MAINTAINED BY THE SECRETARY  OF
 STATE AS AGENT OF A REGISTERED LIMITED LIABILITY PARTNERSHIP OR NEW YORK
 REGISTERED  FOREIGN  LIMITED  LIABILITY  PARTNERSHIP  FOR THE PURPOSE OF
 MAILING PROCESS SHALL BE THE POST OFFICE ADDRESS, WITHIN OR WITHOUT  THE
 STATE, TO WHICH A PERSON SHALL MAIL PROCESS AGAINST SUCH LIMITED LIABIL-
 ITY  COMPANY  AS  REQUIRED  BY THIS ARTICLE. SUCH ADDRESS SHALL CONTINUE
 UNTIL THE FILING OF A CERTIFICATE UNDER THIS CHAPTER DIRECTING THE MAIL-
 ING TO A DIFFERENT POST OFFICE ADDRESS.
   § 74. Subdivision (b) of section 121-1506 of the partnership  law,  as
 added  by  chapter  448  of  the laws of 1998, paragraph 4 as amended by
 chapter 172 of the laws of 1999, is amended to read as follows:
   (b) The party (or the party's legal representative) whose post  OFFICE
 address  has  been  supplied  by  a limited liability partnership as its
 address for process may resign. A certificate entitled  "Certificate  of
 Resignation  for  Receipt  of  Process  under Section 121-1506(b) of the
 Partnership Law" shall be signed by such  party  and  delivered  to  the
 department of state. It shall set forth:
   (1)  The  name  of the limited liability partnership and the date that
 its certificate of registration was filed by the department of state.
   (2) That the address of the party has been designated by  the  limited
 liability partnership as the post office address to which [the secretary
 of state] A PERSON shall mail a copy of any process served on the secre-
 tary  of  state as agent for such limited liability partnership and that
 such party wishes to resign.
   (3) That sixty days prior to the filing of the certificate of resigna-
 tion with the department of state the party  has  sent  a  copy  of  the
 certificate  of  resignation  for  receipt  of  process by registered or
 certified mail to the address of the registered  agent  of  the  [desig-
 nated]  DESIGNATING  limited  liability  partnership,  if other than the
 party filing the certificate of resignation, for receipt of process,  or
 if  the  [resigning]  DESIGNATING  limited  liability partnership has no
 registered agent, then to the last address of the [designated] DESIGNAT-
 ING limited liability partnership, known to the  party,  specifying  the
 address  to which the copy was sent. If there is no registered agent and
 no known address of the designating limited  liability  partnership  the
 party  shall attach an affidavit to the certificate stating that a dili-
 gent but unsuccessful search was made by the party to locate the limited
 liability partnership, specifying what efforts were made.
   (4) That the [designated] DESIGNATING limited liability partnership is
 required to deliver to the department of state a certificate  of  amend-
 ment  providing for the designation by the limited liability partnership
 of a new address and that upon its failure to file such certificate, its
 authority to do business in this state shall be suspended.
   § 75. Paragraph 16 of subdivision 1 of  section  103  of  the  private
 housing  finance  law,  as  added  by chapter 22 of the laws of 1970, is
 amended to read as follows:
   (16) A designation of the secretary of state as agent  of  the  corpo-
 ration  upon  whom  process against it may be served and the post office
 address, within or without this state, to which [the secretary of state]
 A PERSON shall mail a copy of any process against it served  upon  [him]
 THE SECRETARY OF STATE.

 S. 2008                            88                            A. 3008
 
   §  76.  Subdivision  7  of  section  339-n of the real property law is
 REPEALED and subdivisions 8 and 9 are renumbered subdivisions 7 and 8.
   §  76-a.  Subdivision  15  of  section  20.03 of the arts and cultural
 affairs law, as added by chapter 656 of the laws of 1991, is amended  to
 read as follows:
   15. "Non-institutional  portion"  shall  mean the part or portion of a
 combined-use facility other than the institutional portion. If the  non-
 institutional  portion,  or any part thereof, consists of a condominium,
 the consent of the trust which has developed or approved  the  developer
 of  such  condominium  shall  be  required prior to any amendment of the
 declaration of such condominium pursuant to subdivision [nine] EIGHT  of
 section  three  hundred thirty-nine-n of the real property law and prior
 to any amendment of the by-laws of such condominium  pursuant  to  para-
 graph  (j)  of subdivision one of section three hundred thirty-nine-v of
 the real property law, and whether or not such trust is a unit owner  of
 such  condominium,  it  may exercise the rights of the board of managers
 and an aggrieved unit owner under section three hundred thirty-nine-j of
 the real property law in the case of a failure of any unit owner of such
 condominium to comply with the by-laws of such condominium and with  the
 rules, regulations, and decisions adopted pursuant thereto.
   §  77.  Subdivision  2  of  section 339-s of the real property law, as
 added by chapter 346 of the laws of 1997, is amended to read as follows:
   2. [Each such declaration, and any  amendment  or  amendments  thereof
 shall  be  filed with the department of state] (A) THE BOARD OF MANAGERS
 FOR EACH CONDOMINIUM SUBJECT TO THIS ARTICLE SHALL FILE WITH THE  SECRE-
 TARY  OF STATE A CERTIFICATE, IN WRITING, SIGNED, DESIGNATING THE SECRE-
 TARY OF STATE AS AGENT OF  THE  BOARD  OF  MANAGERS  UPON  WHOM  PROCESS
 AGAINST  IT  MAY BE SERVED AND THE POST OFFICE ADDRESS TO WHICH A PERSON
 SHALL MAIL A COPY OF SUCH PROCESS.  THE CERTIFICATE SHALL BE ACCOMPANIED
 BY A FEE OF SIXTY DOLLARS.
   (B) ANY BOARD OF MANAGERS MAY CHANGE THE ADDRESS  TO  WHICH  A  PERSON
 SHALL  MAIL  A  COPY  OF  PROCESS SERVED UPON THE SECRETARY OF STATE, BY
 FILING A SIGNED CERTIFICATE OF AMENDMENT WITH THE DEPARTMENT  OF  STATE.
 SUCH CERTIFICATE SHALL BE ACCOMPANIED BY A FEE OF SIXTY DOLLARS.
   (C)  SERVICE  OF PROCESS ON THE SECRETARY OF STATE AS AGENT OF A BOARD
 OF MANAGERS SHALL BE MADE BY MAILING THE PROCESS AND NOTICE  OF  SERVICE
 OF  PROCESS  PURSUANT  TO THIS SECTION BY CERTIFIED MAIL, RETURN RECEIPT
 REQUESTED, TO SUCH BOARD OF MANAGERS, AT THE  POST  OFFICE  ADDRESS,  ON
 FILE IN THE DEPARTMENT OF STATE, SPECIFIED FOR THIS PURPOSE. ON THE SAME
 DAY  THAT  SUCH  PROCESS IS MAILED, A DUPLICATE COPY OF SUCH PROCESS AND
 PROOF OF MAILING SHALL BE PERSONALLY DELIVERED  TO  AND  LEFT  WITH  THE
 SECRETARY  OF  STATE  OR  A DEPUTY, OR WITH ANY PERSON AUTHORIZED BY THE
 SECRETARY OF STATE TO RECEIVE SUCH SERVICE, AT THE OFFICE OF THE DEPART-
 MENT OF STATE IN THE CITY OF ALBANY, A DUPLICATE COPY  OF  SUCH  PROCESS
 WITH  PROOF OF MAILING TOGETHER WITH THE STATUTORY FEE, WHICH SHALL BE A
 TAXABLE DISBURSEMENT. PROOF OF MAILING SHALL BE BY AFFIDAVIT OF  COMPLI-
 ANCE  WITH THIS SECTION. SERVICE OF PROCESS ON A BOARD OF MANAGERS SHALL
 BE COMPLETE WHEN THE SECRETARY OF STATE IS SO SERVED.
   (D) AS USED IN THIS ARTICLE, "PROCESS" SHALL MEAN JUDICIAL PROCESS AND
 ALL ORDERS, DEMANDS, NOTICES OR OTHER PAPERS REQUIRED  OR  PERMITTED  BY
 LAW  TO  BE PERSONALLY SERVED ON A BOARD OF MANAGERS, FOR THE PURPOSE OF
 ACQUIRING JURISDICTION OF SUCH  BOARD  OF  MANAGERS  IN  ANY  ACTION  OR
 PROCEEDING,  CIVIL  OR CRIMINAL, WHETHER JUDICIAL, ADMINISTRATIVE, ARBI-
 TRATIVE OR OTHERWISE, IN THIS STATE OR IN THE FEDERAL COURTS SITTING  IN
 OR FOR THIS STATE.

 S. 2008                            89                            A. 3008
 
   (E) NOTHING IN THIS SECTION SHALL AFFECT THE RIGHT TO SERVE PROCESS IN
 ANY OTHER MANNER PERMITTED BY LAW.
   (F) THE DEPARTMENT OF STATE SHALL KEEP A RECORD OF EACH PROCESS SERVED
 UNDER  THIS  SECTION,  INCLUDING  THE  DATE  OF  SERVICE. IT SHALL, UPON
 REQUEST, MADE WITHIN TEN YEARS OF  SUCH  SERVICE,  ISSUE  A  CERTIFICATE
 UNDER  ITS SEAL CERTIFYING AS TO THE RECEIPT OF PROCESS BY AN AUTHORIZED
 PERSON, THE DATE AND PLACE OF SUCH SERVICE AND THE RECEIPT OF THE STATU-
 TORY FEE. PROCESS SERVED ON THE SECRETARY OF STATE  UNDER  THIS  SECTION
 SHALL  BE  DESTROYED  BY  THE  DEPARTMENT OF STATE AFTER A PERIOD OF TEN
 YEARS FROM SUCH SERVICE.
   (G) ANY DESIGNATED POST OFFICE ADDRESS MAINTAINED BY THE SECRETARY  OF
 STATE AS AGENT OF THE BOARD OF MANAGERS FOR THE PURPOSE OF MAILING PROC-
 ESS  SHALL  BE  THE POST OFFICE ADDRESS, WITHIN OR WITHOUT THE STATE, TO
 WHICH A PERSON SHALL MAIL PROCESS AGAINST SUCH BOARD AS REQUIRED BY THIS
 ARTICLE. SUCH ADDRESS SHALL CONTINUE UNTIL THE FILING OF  A  CERTIFICATE
 UNDER  THIS  CHAPTER  DIRECTING  THE  MAILING TO A DIFFERENT POST OFFICE
 ADDRESS.
   § 78. Subdivisions 3 and 4 of section 442-g of the real property  law,
 as  amended  by  chapter 482 of the laws of 1963, are amended to read as
 follows:
   3. Service of such process upon the secretary of state shall  be  made
 by  personally delivering to and leaving with [him or his] THE SECRETARY
 OF STATE OR A deputy, or with any person authorized by the secretary  of
 state  to receive such service, at the office of the department of state
 in the city of Albany, [duplicate copies] A COPY  of  such  process  AND
 PROOF  OF  MAILING  together with a fee of five dollars if the action is
 solely for the recovery of a sum of money not in excess of  two  hundred
 dollars  and the process is so endorsed, and a fee of ten dollars in any
 other action or proceeding, which fee shall be a  taxable  disbursement.
 If  such  process  is  served  upon  behalf  of  a county, city, town or
 village, or other political subdivision of the state, the fee to be paid
 to the secretary of state shall be five  dollars,  irrespective  of  the
 amount  involved  or  the  nature of the action on account of which such
 service of process is made. [If the cost of registered mail  for  trans-
 mitting  a  copy  of the process shall exceed two dollars, an additional
 fee equal to such excess shall be paid at the time  of  the  service  of
 such process.] PROOF OF MAILING SHALL BE BY AFFIDAVIT OF COMPLIANCE WITH
 THIS  SECTION. Proof of service shall be by affidavit of compliance with
 this subdivision filed by or on behalf of the  plaintiff  together  with
 the  process,  within ten days after such service, with the clerk of the
 court in which the action or special proceeding  is  pending.    Service
 made  as  provided in this section shall be complete ten days after such
 papers are filed with the clerk of the court and  shall  have  the  same
 force  and  validity as if served on him personally within the state and
 within the territorial jurisdiction of the court from which the  process
 issues.
   4. The [secretary of state] PERSON SERVING SUCH PROCESS shall [prompt-
 ly]  send [one of] such [copies] PROCESS by [registered] CERTIFIED mail,
 return receipt requested,  to  the  nonresident  broker  or  nonresident
 salesman  at  the post office address of his main office as set forth in
 the last application filed by him.
   § 79. Subdivision 2 of section 203 of the tax law, as amended by chap-
 ter 100 of the laws of 1964, is amended to read as follows:
   2.   Every foreign corporation  (other  than  a  moneyed  corporation)
 subject to the provisions of this article, except a corporation having a
 certificate of authority [under section two hundred twelve of the gener-

 S. 2008                            90                            A. 3008

 al  corporation  law]  or  having  authority to do business by virtue of
 section thirteen hundred five of the  business  corporation  law,  shall
 file  in  the  department  of  state a certificate of designation in its
 corporate  name, signed and acknowledged by its president or a vice-pre-
 sident or its secretary or treasurer, under its corporate  seal,  desig-
 nating  the  secretary  of  state  as its agent upon whom process in any
 action provided for by this article may be served within this state, and
 setting forth an address to which [the  secretary  of  state]  A  PERSON
 shall  mail a copy of any such process against the corporation which may
 be served upon [him] THE SECRETARY OF STATE.   In case any  such  corpo-
 ration  shall  have  failed  to file such certificate of designation, it
 shall be deemed to have designated the secretary of state as  its  agent
 upon whom such process against it may be served; and until a certificate
 of  designation shall have been filed the corporation shall be deemed to
 have directed [the secretary of state] A PERSON SERVING PROCESS to  mail
 copies of process served upon [him] THE SECRETARY OF STATE to the corpo-
 ration  at  its  last  known office address within or without the state.
 When a certificate of designation has been  filed  by  such  corporation
 [the  secretary  of state] A PERSON SERVING PROCESS shall mail copies of
 process thereafter served upon [him]  THE  SECRETARY  OF  STATE  to  the
 address  set forth in such certificate.  Any such corporation, from time
 to time, may change the address to which  [the  secretary  of  state]  A
 PERSON is directed to mail copies of process, by filing a certificate to
 that  effect  executed,  signed  and  acknowledged  in  like manner as a
 certificate of designation as herein provided.  Service of process  upon
 any  such  corporation  or  upon any corporation having a certificate of
 authority [under section two hundred twelve of the  general  corporation
 law]  or  having  authority to do business by virtue of section thirteen
 hundred five of the business corporation law, in any action commenced at
 any time pursuant to the provisions of this  article,  may  be  made  by
 either  (1)  personally  delivering to and leaving with the secretary of
 state, a deputy secretary of state or with any person authorized by  the
 secretary  of  state  to  receive such service [duplicate copies] A COPY
 thereof at the office of the department of state in the city of  Albany,
 in  which  event  [the secretary of state] A PERSON SERVING SUCH PROCESS
 shall forthwith send by  [registered]  CERTIFIED  mail,  return  receipt
 requested,  [one  of such copies] A DUPLICATE COPY to the corporation at
 the address designated by it or at its last known office address  within
 or  without  the state, or (2) personally delivering to and leaving with
 the secretary of state, a deputy secretary of state or with  any  person
 authorized  by  the  secretary  of state to receive such service, a copy
 thereof at the office of the department of state in the city  of  Albany
 and  by  delivering  a  copy thereof to, and leaving such copy with, the
 president, vice-president, secretary,  assistant  secretary,  treasurer,
 assistant  treasurer,  or  cashier  of  such corporation, or the officer
 performing corresponding functions under another name, or a director  or
 managing agent of such corporation, personally without the state.  Proof
 of such personal service without the state shall be filed with the clerk
 of  the  court  in  which the action is pending within thirty days after
 such service, and such service shall be complete ten  days  after  proof
 thereof is filed.
   §  80. Section 216 of the tax law, as added by chapter 415 of the laws
 of 1944, the opening paragraph as amended by chapter 100 of the laws  of
 1964  and redesignated by chapter 613 of the laws of 1976, is amended to
 read as follows:

 S. 2008                            91                            A. 3008
 
   § 216.  Collection of taxes.   Every foreign corporation (other than a
 moneyed corporation) subject to the provisions of this article, except a
 corporation having a certificate of authority [under section two hundred
 twelve of the general corporation law] or having authority to  do  busi-
 ness  by  virtue of section thirteen hundred five of the business corpo-
 ration law, shall file in the  department  of  state  a  certificate  of
 designation in its corporate name, signed and acknowledged by its presi-
 dent or a vice-president or its secretary or treasurer, under its corpo-
 rate  seal,  designating  the  secretary of state as its agent upon whom
 process in any action provided for by this article may be served  within
 this  state,  and  setting  forth  an address to which [the secretary of
 state] A PERSON shall mail a copy of any such process against the corpo-
 ration which may be served upon him.  In case any such corporation shall
 have failed to file such certificate of designation, it shall be  deemed
 to  have  designated  the secretary of state as its agent upon whom such
 process against it may be served; and until a certificate of designation
 shall have been filed the corporation shall be deemed to  have  directed
 [the  secretary  of  state]  A PERSON to mail [copies] A COPY of process
 served upon [him] THE SECRETARY OF STATE to the corporation at its  last
 known office address within or without the state.  When a certificate of
 designation  has been filed by such corporation [the secretary of state]
 A PERSON SERVING SUCH PROCESS shall mail  [copies]  A  COPY  of  process
 thereafter  served  upon  [him]  A  PERSON  SERVING  SUCH PROCESS to the
 address set forth in such certificate.  Any such corporation, from  time
 to  time,  may  change  the  address to which [the secretary of state] A
 PERSON is directed to mail copies of process, by filing a certificate to
 that effect executed, signed  and  acknowledged  in  like  manner  as  a
 certificate  of designation as herein provided.  Service of process upon
 any such corporation or upon any corporation  having  a  certificate  of
 authority  [under  section two hundred twelve of the general corporation
 law] or having authority to do business by virtue  of  section  thirteen
 hundred five of the business corporation law, in any action commenced at
 any  time  pursuant  to  the  provisions of this article, may be made by
 either (1) personally delivering to and leaving with  the  secretary  of
 state,  a deputy secretary of state or with any person authorized by the
 secretary of state to receive such service  [duplicate  copies]  A  COPY
 thereof  at the office of the department of state in the city of Albany,
 in which event [the secretary of state] A PERSON  SERVING  SUCH  PROCESS
 shall  forthwith  send  by  [registered]  CERTIFIED mail, return receipt
 requested, [one of such copies] A DUPLICATE COPY to the  corporation  at
 the  address designated by it or at its last known office address within
 or without the state, or (2) personally delivering to and  leaving  with
 the  secretary  of state, a deputy secretary of state or with any person
 authorized by the secretary of state to receive  such  service,  a  copy
 thereof  at  the office of the department of state in the city of Albany
 and by delivering a copy thereof to, and leaving  such  copy  with,  the
 president,  vice-president,  secretary,  assistant secretary, treasurer,
 assistant treasurer, or cashier of  such  corporation,  or  the  officer
 performing  corresponding functions under another name, or a director or
 managing agent of such corporation, personally without the state.  Proof
 of such personal service without the state shall be filed with the clerk
 of the court in which the action is pending  within  thirty  days  after
 such  service,  and  such service shall be complete ten days after proof
 thereof is filed.
   § 81. Subdivisions (a) and (b) of section 310 of the tax law, as added
 by chapter 400 of the laws of 1983, are amended to read as follows:

 S. 2008                            92                            A. 3008

   (a) Designation for  service  of  process.--Every  petroleum  business
 which  is  a  corporation,  except  such  a  petroleum business having a
 certificate of authority [under section two hundred twelve of the gener-
 al corporation law] or having authority to  do  business  by  virtue  of
 section  thirteen  hundred  five  of the business corporation law, shall
 file in the department of state a  certificate  of  designation  in  its
 corporate  name, signed and acknowledged by its president or vice-presi-
 dent or its secretary or treasurer, under its corporate seal,  designat-
 ing  the secretary of state as its agent upon whom process in any action
 provided for by this article  may  be  served  within  this  state,  and
 setting  forth  an  address  to  which [the secretary of state] A PERSON
 shall mail a copy of any such process against  such  petroleum  business
 which  may be served upon [him] THE SECRETARY OF STATE. In case any such
 petroleum business shall have failed to file such certificate of  desig-
 nation,  it shall be deemed to have designated the secretary of state as
 its agent upon whom such process against it may be served; and  until  a
 certificate  of designation shall have been filed such a petroleum busi-
 ness shall be deemed to have directed [the secretary of state] A  PERSON
 to  mail  copies  of process served upon [him] THE SECRETARY OF STATE to
 such petroleum business at its last known office address within or with-
 out the state. When a certificate of designation has been filed by  such
 a  petroleum  business [the secretary of state] A PERSON SERVING PROCESS
 shall mail copies of process thereafter served upon [him] THE  SECRETARY
 OF STATE to the address set forth in such certificate. Any such petrole-
 um  business,  from  time  to time, may change the address to which [the
 secretary of state] A PERSON is directed to mail copies of  process,  by
 filing a certificate to that effect executed, signed and acknowledged in
 like manner as a certificate of designation as herein provided.
   (b)  Service  of process.--Service of process upon any petroleum busi-
 ness which is a  corporation  (including  any  such  petroleum  business
 having  a  certificate of authority [under section two hundred twelve of
 the general corporation law] or  having  authority  to  do  business  by
 virtue  of  section  thirteen  hundred  five of the business corporation
 law), in any action commenced at any time pursuant to the provisions  of
 this  article,  may  be  made by either (1) personally delivering to and
 leaving with the secretary of state, a deputy secretary of state or with
 any person authorized by the secretary of state to receive such  service
 [duplicate  copies]  A  COPY  thereof at the office of the department of
 state in the city of Albany, in which event [the secretary of  state]  A
 PERSON  SERVING  PROCESS  shall forthwith send by [registered] CERTIFIED
 mail, return receipt requested, [one of such copies] A DUPLICATE COPY to
 such petroleum business at the address designated by it or at  its  last
 known  office  address  within  or  without the state, or (2) personally
 delivering to and leaving with the secretary of state, a  deputy  secre-
 tary of state or with any person authorized by the secretary of state to
 receive  such service, a copy thereof at the office of the department of
 state in the city of Albany and by delivering a  copy  thereof  to,  and
 leaving  such  copy  with,  the  president,  vice-president,  secretary,
 assistant secretary, treasurer, assistant treasurer, or cashier of  such
 petroleum  business,  or  the officer performing corresponding functions
 under another name, or a director or managing agent  of  such  petroleum
 business,  personally  without the state. Proof of such personal service
 without the state shall be filed with the clerk of the  court  in  which
 the  action  is  pending within thirty days after such service, and such
 service shall be complete ten days after proof thereof is filed.

 S. 2008                            93                            A. 3008
 
   § 82. This act shall take effect on  the  one  hundred  twentieth  day
 after it shall have become a law.
 
                                  PART S
 
   Section 1. Subdivision 6 of section 441-a of the real property law, as
 amended  by  chapter  183  of  the  laws  of 2006, is amended to read as
 follows:
   6. Pocket card. The department shall prepare, issue and deliver,  with
 the  assistance  of the department of motor vehicles, [to each licensee]
 UPON PAYMENT OF A FEE OF FIVE DOLLARS BY A LICENSEE, a  pocket  card  in
 such  form and manner as the department shall prescribe, but which shall
 contain the photo, name and business address of the  licensee,  and,  in
 the case of a real estate salesman, the name and business address of the
 broker  with  whom  he  or  she is associated and shall certify that the
 person whose name appears thereon is a licensed real  estate  broker  or
 salesman,  as may be. Such cards must be shown on demand. In the case of
 loss, destruction or damage, the secretary of state may, upon submission
 of satisfactory proof, issue a duplicate pocket card upon payment  of  a
 fee of ten dollars.
   § 2. This act shall take effect immediately.
 
                                  PART T
 
   Section  1.  Subdivision  2  of  section  54-1101 of the environmental
 conservation law, as amended by section 4 of part U of chapter 58 of the
 laws of 2016, is amended to read as follows:
   2. State assistance payments and/or technical assistance,  as  defined
 in section nine hundred seventeen of the executive law, shall not exceed
 [fifty] SEVENTY-FIVE percent of the cost of the program. For the purpose
 of  determining the amount of state assistance payments, costs shall not
 be more than the amount set forth in the application for  state  assist-
 ance  payments  approved by the secretary. The state assistance payments
 shall be paid on audit and warrant of the state comptroller on a certif-
 icate of availability of the director of the budget.
   § 2. The opening paragraph and paragraph a of subdivision 1 of section
 918 of the executive law, as added by chapter 840 of the laws  of  1981,
 are amended to read as follows:
   The  secretary  may  enter  into a contract or contracts for grants OR
 PAYMENTS to be made, within the limits of any  appropriations  therefor,
 for the following:
   a.  To any local governments, or to two or more local governments, for
 projects approved by the secretary which lead to preparation of a water-
 front revitalization program; provided, however,  that  such  grants  OR
 PAYMENTS  shall  not exceed [fifty] SEVENTY-FIVE percent of the approved
 cost of such projects;
   § 3. This act shall take effect immediately.
 
                                  PART U
 
   Section 1. Paragraph (e) of subdivision 1 of section 169 of the execu-
 tive law, as amended by section 9 of part A of chapter 60 of the laws of
 2012, is amended to read as follows:
   (e) [chairman of state athletic commission,] director of the office of
 victim services, chairman of human rights appeal board, chairman of  the
 industrial  board  of  appeals,  chairman  of  the  state  commission of

 S. 2008                            94                            A. 3008
 
 correction, members of the board of parole, member-chairman of unemploy-
 ment insurance appeal board, director of veterans'  affairs,  and  vice-
 chairman of the workers' compensation board;
   § 2. This act shall take effect immediately.
 
                                  PART V
 
   Section  1.  Expenditures  of  moneys appropriated in a chapter of the
 laws of 2017 to the department  of  agriculture  and  markets  from  the
 special  revenue  funds-other/state  operations,  miscellaneous  special
 revenue fund-339,  public  service  account  shall  be  subject  to  the
 provisions  of  this section. Notwithstanding any other provision of law
 to the contrary, direct and indirect expenses relating to the department
 of  agriculture  and  markets'  participation  in   general   ratemaking
 proceedings  pursuant to section 65 of the public service law or certif-
 ication proceedings pursuant to article 7 or 10 of  the  public  service
 law, shall be deemed expenses of the department of public service within
 the  meaning  of  section  18-a of the public service law. No later than
 August 15, 2018, the commissioner of the department of  agriculture  and
 markets  shall submit an accounting of such expenses, including, but not
 limited to, expenses in the 2017 -- 2018 fiscal year  for  personal  and
 non-personal  services  and  fringe benefits, to the chair of the public
 service commission for the chair's review pursuant to the provisions  of
 section 18-a of the public service law.
   §  2.  Expenditures of moneys appropriated in a chapter of the laws of
 2017 to  the  department  of  state  from  the  special  revenue  funds-
 other/state  operations,  miscellaneous special revenue fund-339, public
 service account shall be subject to  the  provisions  of  this  section.
 Notwithstanding  any  other provision of law to the contrary, direct and
 indirect expenses relating to the department of state's participation in
 general ratemaking proceedings pursuant to  section  65  of  the  public
 service  law or certification proceedings pursuant to article 7 or 10 of
 the public service law, shall be deemed expenses of  the  department  of
 public  service within the meaning of section 18-a of the public service
 law.  No later than August 15, 2018, the secretary of state shall submit
 an accounting of such expenses, including, but not limited to,  expenses
 in  the  2017 -- 2018 fiscal year for personal and non-personal services
 and fringe benefits, to the chair of the public service  commission  for
 the  chair's  review  pursuant  to the provisions of section 18-a of the
 public service law.
   § 3. Expenditures of moneys appropriated in a chapter of the  laws  of
 2017  to  the office of parks, recreation and historic preservation from
 the special revenue funds-other/state operations, miscellaneous  special
 revenue  fund-339,  public  service  account  shall  be  subject  to the
 provisions of this section. Notwithstanding any other provision  of  law
 to  the contrary, direct and indirect expenses relating to the office of
 parks, recreation and historic preservation's participation  in  general
 ratemaking  proceedings pursuant to section 65 of the public service law
 or certification proceedings pursuant to article 7 or 10 of  the  public
 service  law,  shall  be  deemed  expenses  of  the department of public
 service within the meaning of section 18-a of the public service law. No
 later than August 15, 2018, the commissioner of  the  office  of  parks,
 recreation  and historic preservation shall submit an accounting of such
 expenses, including, but not limited to, expenses in the  2017  --  2018
 fiscal  year for personal and non-personal services and fringe benefits,

 S. 2008                            95                            A. 3008
 
 to the chair of the public service commission  for  the  chair's  review
 pursuant to the provisions of section 18-a of the public service law.
   §  4.  Expenditures of moneys appropriated in a chapter of the laws of
 2017 to the department of environmental conservation  from  the  special
 revenue funds-other/state operations, environmental conservation special
 revenue  fund-301,  utility  environmental  regulation  account shall be
 subject to the provisions of this  section.  Notwithstanding  any  other
 provision  of law to the contrary, direct and indirect expenses relating
 to the department of environmental conservation's participation in state
 energy policy proceedings,  or  certification  proceedings  pursuant  to
 article  7  or 10 of the public service law, shall be deemed expenses of
 the department of public service within the meaning of section  18-a  of
 the  public service law. No later than August 15, 2018, the commissioner
 of the department of environmental conservation shall submit an account-
 ing of such expenses, including, but not limited  to,  expenses  in  the
 2017  --  2018  fiscal  year  for personal and non-personal services and
 fringe benefits, to the chair of the public service commission  for  the
 chair's  review pursuant to the provisions of section 18-a of the public
 service law.
   § 5. Notwithstanding any other law, rule or regulation to the  contra-
 ry,  expenses  of  the  department  of  health  public service education
 program incurred pursuant to appropriations from  the  cable  television
 account of the state miscellaneous special revenue funds shall be deemed
 expenses  of  the department of public service. No later than August 15,
 2018, the commissioner of the  department  of  health  shall  submit  an
 accounting  of  expenses in the 2017 -- 2018 fiscal year to the chair of
 the public service commission for the chair's  review  pursuant  to  the
 provisions of section 217 of the public service law.
   §  6.  This  act  shall take effect immediately and shall be deemed to
 have been in full force and effect on and after April 1, 2017.
 
                                  PART W
 
   Section 1. Section 2 of part BB of chapter 58 of  the  laws  of  2012,
 amending the public authorities law relating to authorizing the dormito-
 ry  authority  to  enter into certain design and construction management
 agreements, as amended by section 1 of part S of chapter 58 of the  laws
 of 2015, is amended to read as follows:
   §  2.  This act shall take effect immediately [and shall expire and be
 deemed repealed April 1, 2017].
   § 2. This act shall take effect immediately.
 
                                  PART X
 
   Section 1. Legislative findings. In order to increase the authority of
 the superintendent of financial services to respond to the harm posed by
 impaired insurers in this state, the legislature finds that it is in the
 best interest of the people of this state  to  enact  an  administrative
 supervision  statute.  The  superintendent of financial services has the
 right and responsibility to enforce the insurance law and the  authority
 to  seek  redress  against  any person responsible for the impairment or
 insolvency of the insurer, and  nothing  in  this  act  is  intended  to
 restrict or limit such right, responsibility, or authority.
   § 2. The insurance law is amended by adding a new section 1123 to read
 as follows:

 S. 2008                            96                            A. 3008
 
   §  1123.  ADMINISTRATIVE  SUPERVISION.    (A) FOR THE PURPOSES OF THIS
 SUBSECTION, "INSURER" SHALL HAVE THE MEANING SET FORTH IN PARAGRAPH  ONE
 OF  SUBSECTION  (B)  OF  SECTION SEVEN THOUSAND FOUR HUNDRED ONE OF THIS
 CHAPTER, AND SHALL INCLUDE A LICENSED UNITED STATES BRANCH OF  AN  ALIEN
 INSURER ENTERED THROUGH THIS STATE.
   (B)(1) THE SUPERINTENDENT MAY ISSUE AN ORDER PLACING A DOMESTIC INSUR-
 ER  UNDER  ADMINISTRATIVE  SUPERVISION  IF THE SUPERINTENDENT DETERMINES
 THAT ONE OR MORE OF THE CONDITIONS SET FORTH IN SECTION  SEVEN  THOUSAND
 FOUR  HUNDRED TWO OF THIS CHAPTER EXISTS. UPON SUCH A DETERMINATION, THE
 SUPERINTENDENT SHALL FURNISH THE INSURER WITH A WRITTEN LIST OF REQUIRE-
 MENTS TO ABATE THE CONDITION OR CONDITIONS WITHIN THE TIME SPECIFIED  IN
 THE  ORDER, WHICH SHALL NOT EXCEED ONE HUNDRED EIGHTY DAYS. THE DOMESTIC
 INSURER MAY CHALLENGE THE ORDER BY REQUESTING AN ADMINISTRATIVE  HEARING
 PURSUANT  TO  THE  ADJUDICATORY PROCEEDING RULES IN ARTICLE THREE OF THE
 STATE ADMINISTRATIVE PROCEDURE ACT AND REGULATIONS  PROMULGATED  BY  THE
 SUPERINTENDENT  BUT  THE  ORDER  SHALL  REMAIN  IN FULL FORCE AND EFFECT
 DURING THE COURSE OF THE ADJUDICATORY PROCEEDING.  UPON ISSUANCE OF  THE
 ORDER,  THE  SUPERINTENDENT  SHALL  ADVISE  SUCH DOMESTIC INSURER OF ITS
 RIGHT TO REQUEST A HEARING CHALLENGING THE ORDER PURSUANT TO THE ADJUDI-
 CATORY PROCEEDING RULES IN ARTICLE THREE  OF  THE  STATE  ADMINISTRATIVE
 PROCEDURE ACT AND REGULATIONS PROMULGATED BY THE SUPERINTENDENT.
   (2)  IF,  AT  THE END OF THE PERIOD SPECIFIED IN THE ORDER, THE SUPER-
 INTENDENT DETERMINES THAT THE CONDITION OR CONDITIONS THAT GAVE RISE  TO
 THE  ORDER  STILL EXISTS OR EXIST, THEN ADMINISTRATIVE SUPERVISION SHALL
 CONTINUE. THE INSURER MAY REQUEST A HEARING TO CHALLENGE THE SUPERINTEN-
 DENT'S DETERMINATION TO CONTINUE ADMINISTRATIVE SUPERVISION.
   (3) IF THE SUPERINTENDENT DETERMINES THAT THE CONDITION OR  CONDITIONS
 THAT  GAVE RISE TO ADMINISTRATIVE SUPERVISION NO LONGER EXISTS OR EXIST,
 THEN THE SUPERINTENDENT SHALL RELEASE THE INSURER FROM SUPERVISION.
   (C) DURING THE PERIOD OF SUPERVISION, THE SUPERINTENDENT MAY  PROHIBIT
 THE INSURER FROM ENGAGING IN ANY OF THE FOLLOWING ACTIVITIES WITHOUT THE
 SUPERINTENDENT'S PRIOR APPROVAL:
   (1)  DISPOSING  OF, CONVEYING, OR ENCUMBERING ANY OF ITS ASSETS OR ITS
 BUSINESS IN FORCE;
   (2) WITHDRAWING ANY FUNDS FROM ITS BANK ACCOUNTS;
   (3) LENDING ANY OF ITS FUNDS;
   (4) INVESTING ANY OF ITS FUNDS;
   (5) PAYING ANY CLAIMS;
   (6) TRANSFERRING ANY OF ITS PROPERTY;
   (7) INCURRING ANY DEBT, OBLIGATION, OR LIABILITY;
   (8) MERGING OR CONSOLIDATING WITH ANOTHER COMPANY;
   (9) APPROVING NEW PREMIUMS OR RENEWING ANY POLICIES;
   (10) ENTERING INTO ANY NEW REINSURANCE CONTRACT OR TREATY;
   (11) TERMINATING, SURRENDERING, FORFEITING, CONVERTING, OR LAPSING ANY
 INSURANCE POLICY, CERTIFICATE, OR CONTRACT,  EXCEPT  FOR  NONPAYMENT  OF
 PREMIUMS DUE;
   (12) RELEASING, PAYING, OR REFUNDING PREMIUM DEPOSITS, ACCRUED CASH OR
 LOAN VALUES, UNEARNED PREMIUMS, OR OTHER RESERVES ON ANY INSURANCE POLI-
 CY, CERTIFICATE, OR CONTRACT;
   (13) MAKING ANY MATERIAL CHANGE IN MANAGEMENT;
   (14)  INCREASING SALARIES AND BENEFITS OF OFFICERS OR DIRECTORS OR THE
 PAYMENT OF BONUSES, DIVIDENDS, OR OTHER PAYMENTS; OR
   (15) SUCH OTHER ACTIVITIES  THAT  THE  SUPERINTENDENT  DETERMINES  ARE
 NECESSARY TO PROTECT POLICYHOLDERS OR THE PEOPLE OF THIS STATE.

 S. 2008                            97                            A. 3008
 
   (D)  THE  SUPERINTENDENT  MAY APPOINT AS ADMINISTRATIVE SUPERVISOR, AT
 THE INSURER'S EXPENSE, ONE OR MORE PERSONS NOT EMPLOYED BY  ANY  INSURER
 OR INTERESTED IN SUCH INSURER, EXCEPT AS A POLICYHOLDER.
   (E)(1)  THE  EXPENSES  OF  ADMINISTRATIVE SUPERVISION PURSUANT TO THIS
 SUBSECTION SHALL BE BORNE AND PAID BY THE INSURER SO SUPERVISED.
   (2) IN THE EVENT THAT AN INSURER BECOMES SUBJECT TO A PROCEEDING UNDER
 ARTICLE SEVENTY-FOUR OF THIS CHAPTER WITHIN ONE YEAR OF THE  SUPERINTEN-
 DENT  RELEASING THE INSURER FROM ADMINISTRATIVE SUPERVISION, ALL ACCRUED
 AND OUTSTANDING EXPENSES  INCURRED  IN  CONNECTION  WITH  ADMINISTRATIVE
 SUPERVISION  SHALL BE TREATED AS ACTUAL AND NECESSARY COSTS AND EXPENSES
 OF THE ADMINISTRATION OF SUCH PROCEEDING UNDER ARTICLE  SEVENTY-FOUR  OF
 THIS CHAPTER.
   (F)  ALL  MATTERS PERTAINING TO A PROCEEDING OR DETERMINATION PURSUANT
 TO THIS SUBSECTION SHALL BE CONFIDENTIAL AND NOT SUBJECT TO SUBPOENA  OR
 PUBLIC  INSPECTION  UNDER  ARTICLE SIX OF THE PUBLIC OFFICERS LAW OR ANY
 OTHER STATUTE, EXCEPT  TO  THE  EXTENT  THAT  THE  SUPERINTENDENT  FINDS
 RELEASE OF INFORMATION NECESSARY TO PROTECT THE PUBLIC.
   (G)  NOTHING  IN  THIS SUBSECTION SHALL BE CONSTRUED AS PRECLUDING THE
 SUPERINTENDENT FROM INITIATING JUDICIAL PROCEEDINGS TO PLACE AN  INSURER
 IN    REHABILITATION,    LIQUIDATION,   CONSERVATION,   OR   DISSOLUTION
 PROCEEDINGS.
   § 3. Subsection (a) of section 1309 of the insurance law is amended to
 read as follows:
   (a) Whenever the superintendent finds from a  financial  statement  or
 report  on  examination  that an authorized insurer is unable to pay its
 outstanding lawful obligations as they mature in the regular  course  of
 business,  as  shown by an excess of required reserves and other liabil-
 ities over admitted assets, or by its not having  sufficient  assets  to
 reinsure  all  outstanding  risks with other solvent authorized assuming
 insurers after paying all accrued claims owed,  such  insurer  shall  be
 deemed  insolvent and the superintendent may proceed against it pursuant
 to the provisions of article seventy-four of this chapter OR  MAY  PLACE
 THE  INSURER  UNDER  ADMINISTRATIVE  SUPERVISION PURSUANT TO SECTION ONE
 THOUSAND ONE HUNDRED TWENTY-THREE OF THIS CHAPTER.
   § 4. Subsection (a) of section 1310 of the insurance law is amended to
 read as follows:
   (a) Whenever the superintendent finds from a financial statement, or a
 report on examination, of any domestic stock insurer that [(i)] (1)  the
 admitted  assets  are  less than the aggregate amount of its liabilities
 and outstanding capital stock or [(ii)] (2) the admitted assets  of  any
 such  insurer  [which] THAT is required to maintain a minimum surplus to
 policyholders are less than the aggregate amount of its liabilities  and
 the amount of its minimum surplus to policyholders, [he] THE SUPERINTEN-
 DENT  shall determine the amount of the impairment and order the insurer
 to eliminate the impairment within such period as [he]  THE  SUPERINTEN-
 DENT  designates,  not  more  than  ninety  days from the service of the
 order.  [He] THE SUPERINTENDENT may also order the insurer not to  issue
 any  new  policies  while  the  impairment  exists. If the impairment as
 determined by the provisions of [item (i) hereof] PARAGRAPH ONE OF  THIS
 SUBSECTION  equals  or  exceeds  twenty-five  percent  of  the insurer's
 outstanding capital stock, or as determined by the provisions  of  [item
 (i) or (ii) hereof] PARAGRAPH ONE OR TWO OF THIS SUBSECTION is such that
 the  insurer  does  not  have  the minimum capital or minimum surplus to
 policyholders required by this chapter, and if at the expiration of such
 designated period, such insurer has  not  satisfied  the  superintendent
 that such impairment has been eliminated, the superintendent may proceed

 S. 2008                            98                            A. 3008
 
 against  the  insurer pursuant to the provisions of article seventy-four
 of this chapter on the ground  that  its  condition  is  such  that  its
 further  transaction  of business will be hazardous to its policyholders
 or  its  creditors  or  the  public  OR THE SUPERINTENDENT MAY PLACE THE
 INSURER UNDER ADMINISTRATIVE SUPERVISION PURSUANT TO SECTION  ONE  THOU-
 SAND ONE HUNDRED TWENTY-THREE OF THIS CHAPTER.
   § 5. Subsection (c) of section 1311 of the insurance law is amended to
 read as follows:
   (c) If the impairment so determined is such that such insurer does not
 have  the  minimum  surplus  required  for  item (iii) of subsection (a)
 [hereof] OF THIS SECTION, and if when such designated period expires the
 insurer has not satisfied the superintendent that  such  impairment  has
 been  eliminated,  the  superintendent  may proceed against such insurer
 pursuant to the provisions of article seventy-four of  this  chapter  on
 the ground that its further transaction of business will be hazardous to
 its policyholders, its creditors or the public OR THE SUPERINTENDENT MAY
 PLACE  THE  INSURER UNDER ADMINISTRATIVE SUPERVISION PURSUANT TO SECTION
 ONE THOUSAND ONE HUNDRED TWENTY-THREE OF THIS CHAPTER.
   § 6. Paragraph 2 of subsection (c) of section 1312  of  the  insurance
 law is amended to read as follows:
   (2)  If  at  the expiration of such designated period such insurer has
 not satisfied the superintendent that such impairment  has  been  elimi-
 nated,  the  superintendent may proceed against such insurer pursuant to
 the provisions of article seventy-four of this  chapter  as  an  insurer
 whose  condition is such that its further transaction of business in the
 United States will be hazardous to its policyholders, its  creditors  or
 the  public  in  the  United  States OR THE SUPERINTENDENT MAY PLACE THE
 INSURER UNDER ADMINISTRATIVE SUPERVISION PURSUANT TO SUBSECTION  (B)  OF
 SECTION ONE THOUSAND ONE HUNDRED TWENTY-THREE OF THIS CHAPTER.
   § 7. This act shall take effect immediately.
 
                                  PART Y
 
   Section  1.  Subsections  (c)  and (d) of section 109 of the insurance
 law, paragraph 1 of subsection (c) as amended by section 55 of part A of
 chapter 62 of the laws of 2011, is amended and a new subsection  (e)  is
 added to read as follows:
   (c)  (1) If the superintendent finds after notice and hearing that any
 [authorized] insurer, representative of the insurer,  [licensed]  insur-
 ance  agent,  [licensed]  insurance  broker, [licensed] adjuster, or any
 other person or entity [licensed, certified, registered,  or  authorized
 pursuant]  SUBJECT to this chapter, has wilfully violated the provisions
 of this chapter or  any  regulation  promulgated  thereunder,  then  the
 superintendent  may  order  the person or entity to pay to the people of
 this state a penalty in a sum not exceeding [one] THE GREATER OF (A) TEN
 thousand dollars for each offense; (B)  A  MULTIPLE  OF  TWO  TIMES  THE
 AGGREGATE  DAMAGES  ATTRIBUTABLE  TO THE VIOLATION; OR (C) A MULTIPLE OF
 TWO TIMES THE AGGREGATE ECONOMIC GAIN ATTRIBUTABLE TO THE VIOLATION. THE
 SUPERINTENDENT MAY PROMULGATE REGULATIONS IMPLEMENTING THE TERMS OF THIS
 SUBSECTION.
   (2) Failure to pay such penalty within thirty days  after  the  order,
 unless it is suspended by an order of a court of competent jurisdiction,
 shall constitute a further violation of the provisions of this chapter.
   (3) No penalty shall be imposed pursuant to this subsection if a mone-
 tary penalty is otherwise provided in this chapter.

 S. 2008                            99                            A. 3008
 
   (d)  (1) The superintendent may maintain a civil action in the name of
 the people of the state to  recover  a  judgment  for  a  money  penalty
 imposed  by law OR TO ENFORCE ANY ORDER ISSUED BY THE SUPERINTENDENT for
 the violation of any provision of this chapter.
   (2)  NOTWITHSTANDING  ANY LAW TO THE CONTRARY, THE SUPERINTENDENT MAY,
 IN HIS OR HER SOLE DISCRETION, EITHER (A) PROSECUTE ANY SUCH ACTION  AND
 RETAIN CHARGE AND CONTROL OF THE ACTION; OR (B) REFER SUCH ACTION TO THE
 DEPARTMENT OF LAW FOR PROSECUTION.
   (E)  ANY  PERSON  OR  ENTITY  THAT  IS  REQUIRED BY THIS CHAPTER TO BE
 LICENSED, CERTIFIED, REGISTERED, OR AUTHORIZED SHALL BE SUBJECT  TO  THE
 LAWS OF THIS CHAPTER AND THE PENALTIES CONTAINED HEREIN AS IF THE PERSON
 OR ENTITY WAS SO LICENSED, CERTIFIED, REGISTERED, OR AUTHORIZED, EVEN IF
 THE  PERSON  OR  ENTITY  DOES  NOT POSSESS THE REQUIRED LICENSE, CERTIF-
 ICATION, REGISTRATION, OR AUTHORIZATION.
   § 2. Section 44 of the banking law is amended by adding two new subdi-
 visions 10 and 11 to read as follows:
   10. THE SUPERINTENDENT MAY MAINTAIN A CIVIL ACTION IN THE NAME OF  THE
 PEOPLE  OF  THE STATE TO RECOVER A JUDGEMENT FOR A MONEY PENALTY IMPOSED
 BY LAW OR TO ENFORCE ANY ORDER ISSUED  BY  THE  SUPERINTENDENT  FOR  THE
 VIOLATION  OF  ANY PROVISION OF THIS CHAPTER. NOTWITHSTANDING ANY LAW TO
 THE CONTRARY, THE SUPERINTENDENT MAY, IN HIS OR HER  DISCRETION,  EITHER
 (A)  PROSECUTE  ANY  SUCH  ACTION  AND  RETAIN CHARGE AND CONTROL OF THE
 ACTION; OR (B) REFER SUCH ACTION TO THE DEPARTMENT  OF  LAW  FOR  PROSE-
 CUTION.
   11.  ANY PERSON OR ENTITY WHO ENGAGES IN ACTIVITY THAT IS REGULATED IN
 THIS CHAPTER WITHOUT BEING LICENSED, CERTIFIED, REGISTERED,  AUTHORIZED,
 CHARTERED,  ACCREDITED,  INCORPORATED OR OTHERWISE OBTAINING ANY PERMIS-
 SION OF THE SUPERINTENDENT REQUIRED BY THIS CHAPTER BEFORE  ENGAGING  IN
 SUCH  ACTIVITY  SHALL  BE  SUBJECT  TO  THE LAWS OF THIS CHAPTER AND THE
 PENALTIES CONTAINED HEREIN AS IF THE PERSON OR ENTITY WAS  SO  LICENSED,
 CERTIFIED,  REGISTERED, AUTHORIZED, CHARTERED, ACCREDITED, INCORPORATED,
 OR OTHERWISE APPROVED BY THE SUPERINTENDENT.
   § 3. Subsection (a) of section 309 of the financial  services  law  is
 amended and a new subsection (c) is added to read as follows:
   (a)  In  addition  to  such  other remedies as are provided under this
 chapter, the superintendent may maintain and prosecute an action against
 any person subject to this chapter, the insurance  law  or  the  banking
 law,  or  the  person's officers, directors, trustees or agents, for the
 purpose of obtaining an injunction restraining such  person  or  persons
 from  doing any acts in violation of the provisions of this chapter, the
 insurance law or the banking law. THE SUPERINTENDENT MAY  COMMENCE  SUCH
 ACTION  AGAINST  ANY  PERSON OR ENTITY THAT IS REQUIRED BY THIS CHAPTER,
 THE BANKING LAW, OR THE INSURANCE LAW TO BE LICENSED, CERTIFIED,  REGIS-
 TERED,  AUTHORIZED,  CHARTERED,  ACCREDITED,  OR INCORPORATED, AS IF THE
 PERSON OR ENTITY WAS SO  LICENSED,  CERTIFIED,  REGISTERED,  AUTHORIZED,
 CHARTERED,  ACCREDITED,  OR  INCORPORATED,  EVEN IF THE PERSON OR ENTITY
 DOES NOT POSSESS  THE  REQUIRED  LICENSE,  CERTIFICATION,  REGISTRATION,
 AUTHORIZATION, CHARTER, ACCREDITATION, OR INCORPORATION.
   (C)  NOTWITHSTANDING  ANY LAW TO THE CONTRARY, THE SUPERINTENDENT MAY,
 IN HIS OR HER DISCRETION, EITHER  (I)  PROSECUTE  ANY  SUCH  ACTION  AND
 RETAIN  CHARGE  AND  CONTROL OF THE ACTION; OR (II) REFER SUCH ACTION TO
 THE DEPARTMENT OF LAW FOR PROSECUTION.
   § 4. This act shall take effect immediately.
 
                                  PART Z

 S. 2008                            100                           A. 3008
 
   Section 1. The banking law is amended by adding a new article 14-A  to
 read as follows:
                               ARTICLE XIV-A
                          STUDENT LOAN SERVICERS
 SECTION 710. DEFINITIONS.
         711. LICENSING.
         712. APPLICATION FOR A STUDENT LOAN SERVICER LICENSE; FEES.
         713. APPLICATION  PROCESS  TO  RECEIVE  LICENSE TO ENGAGE IN THE
                BUSINESS OF STUDENT LOAN SERVICING.
         714. CHANGES IN OFFICERS AND DIRECTORS.
         715. CHANGES IN CONTROL.
         716. GROUNDS FOR SUSPENSION OR REVOCATION OF LICENSE.
         717. BOOKS AND RECORDS; REPORTS AND ELECTRONIC FILING.
         718. RULES AND REGULATIONS.
         719. PROHIBITED PRACTICES.
         720. SERVICING STUDENT LOANS WITHOUT A LICENSE.
         721. RESPONSIBILITIES.
         722. EXAMINATIONS.
         723. PENALTIES FOR VIOLATION OF THIS ARTICLE.
         724. SEVERABILITY OF PROVISIONS.
         725. COMPLIANCE WITH OTHER LAWS.
   § 710. DEFINITIONS. 1. "APPLICANT" SHALL MEAN ANY PERSON APPLYING  FOR
 A LICENSE TO BE A STUDENT LOAN SERVICER.
   2. "BORROWER" SHALL MEAN ANY RESIDENT OF THIS STATE WHO HAS RECEIVED A
 STUDENT  LOAN  OR  AGREED TO PAY A STUDENT LOAN OR ANY PERSON WHO SHARES
 RESPONSIBILITY WITH SUCH RESIDENT FOR REPAYING A STUDENT LOAN.
   3. "BORROWER BENEFIT" SHALL MEAN AN INCENTIVE OFFERED TO A BORROWER IN
 CONNECTION WITH THE ORIGINATION OF A STUDENT  LOAN,  INCLUDING  BUT  NOT
 LIMITED  TO  AN INTEREST RATE REDUCTION, PRINCIPAL REBATE, FEE WAIVER OR
 REBATE, LOAN CANCELLATION, OR COSIGNER RELEASE.
   4. "EXEMPT ORGANIZATION" SHALL MEAN ANY BANKING ORGANIZATION,  FOREIGN
 BANKING CORPORATION, NATIONAL BANK, FEDERAL SAVINGS ASSOCIATION, FEDERAL
 CREDIT UNION, OR ANY BANK, TRUST COMPANY, SAVINGS BANK, SAVINGS AND LOAN
 ASSOCIATION,  OR  CREDIT  UNION  ORGANIZED  UNDER  THE LAWS OF ANY OTHER
 STATE, OR ANY INSTRUMENTALITY CREATED BY THE UNITED STATES OR ANY  STATE
 WITH  THE  POWER TO SERVICE STUDENT LOANS, OR ANY PERSON EXEMPTED BY THE
 SUPERINTENDENT OF FINANCIAL SERVICES PURSUANT TO REGULATIONS PROMULGATED
 IN ACCORDANCE WITH THIS ARTICLE.
   5. "PERSON"  SHALL  MEAN  ANY  INDIVIDUAL,  ASSOCIATION,  CORPORATION,
 LIMITED  LIABILITY COMPANY, PARTNERSHIP, TRUST, UNINCORPORATED ORGANIZA-
 TION, GOVERNMENT OR POLITICAL SUBDIVISION OF A GOVERNMENT, AND ANY OTHER
 ENTITY.
   6. "SERVICER" OR "STUDENT LOAN SERVICER" SHALL MEAN A PERSON  LICENSED
 PURSUANT  TO  SECTION  SEVEN HUNDRED ELEVEN OF THIS ARTICLE TO ENGAGE IN
 THE BUSINESS OF SERVICING ANY STUDENT LOAN OF A BORROWER.
   7. "SERVICING" SHALL MEAN:
   (A) RECEIVING ANY PAYMENT FROM A BORROWER PURSUANT TO THE TERMS OF ANY
 STUDENT LOAN;
   (B) APPLYING ANY PAYMENT TO A BORROWER'S ACCOUNT PURSUANT TO THE TERMS
 OF A STUDENT LOAN OR THE CONTRACT GOVERNING THE SERVICING  OF  ANY  SUCH
 LOAN;
   (C) PROVIDING ANY NOTIFICATION OF AMOUNTS OWED ON A STUDENT LOAN BY OR
 ON ACCOUNT OF ANY BORROWER;
   (D)  DURING A PERIOD WHEN A BORROWER IS NOT REQUIRED TO MAKE A PAYMENT
 ON A STUDENT LOAN, MAINTAINING ACCOUNT RECORDS FOR THE STUDENT LOAN  AND

 S. 2008                            101                           A. 3008
 
 COMMUNICATING  WITH THE BORROWER REGARDING THE STUDENT LOAN ON BEHALF OF
 THE OWNER OF THE STUDENT LOAN PROMISSORY NOTE;
   (E)  INTERACTING  WITH  A  BORROWER  WITH  RESPECT TO OR REGARDING ANY
 ATTEMPT TO AVOID DEFAULT ON THE BORROWER'S STUDENT LOAN, OR FACILITATING
 THE ACTIVITIES DESCRIBED IN PARAGRAPH (A) OR (B) OF THIS SUBDIVISION; OR
   (F) PERFORMING OTHER ADMINISTRATIVE SERVICES WITH RESPECT TO A BORROW-
 ER'S STUDENT LOAN.
   8. "STUDENT LOAN" SHALL MEAN ANY LOAN TO A BORROWER TO FINANCE POSTSE-
 CONDARY EDUCATION OR EXPENSES RELATED TO POSTSECONDARY EDUCATION.
   § 711. LICENSING. 1. NO PERSON SHALL ENGAGE IN THE BUSINESS OF SERVIC-
 ING STUDENT LOANS OWED BY ONE OR MORE BORROWERS RESIDING IN  THIS  STATE
 WITHOUT  FIRST  BEING  LICENSED  BY THE SUPERINTENDENT AS A STUDENT LOAN
 SERVICER IN ACCORDANCE WITH THIS ARTICLE AND SUCH REGULATIONS AS MAY  BE
 PRESCRIBED BY THE SUPERINTENDENT.
   2. THE LICENSING PROVISIONS OF THIS SUBDIVISION SHALL NOT APPLY TO ANY
 EXEMPT  ORGANIZATION, OR ANY PERSON THAT SHALL BE EXEMPTED IN ACCORDANCE
 WITH REGULATIONS PRESCRIBED BY THE  SUPERINTENDENT  HEREUNDER;  PROVIDED
 THAT  SUCH  EXEMPT  ORGANIZATION  NOTIFIES  THE  SUPERINTENDENT THAT THE
 EXEMPT ORGANIZATION IS ACTING AS A STUDENT LOAN SERVICER IN  THIS  STATE
 AND  COMPLIES  WITH  SECTIONS  SEVEN  HUNDRED NINETEEN AND SEVEN HUNDRED
 TWENTY-ONE OF THIS ARTICLE AND ANY REGULATION APPLICABLE TO STUDENT LOAN
 SERVICERS PROMULGATED BY THE SUPERINTENDENT.
   § 712. APPLICATION FOR A STUDENT LOAN SERVICER LICENSE; FEES. 1.   THE
 APPLICATION  FOR  A  LICENSE  TO  BE A STUDENT LOAN SERVICER SHALL BE IN
 WRITING, UNDER OATH, AND IN THE FORM PRESCRIBED BY  THE  SUPERINTENDENT.
 NOTWITHSTANDING  ARTICLE  THREE OF THE STATE TECHNOLOGY LAW OR ANY OTHER
 LAW TO THE CONTRARY, THE SUPERINTENDENT MAY REQUIRE THAT AN  APPLICATION
 FOR A LICENSE OR ANY OTHER SUBMISSION OR APPLICATION FOR APPROVAL AS MAY
 BE  REQUIRED  BY THIS ARTICLE BE MADE OR EXECUTED BY ELECTRONIC MEANS IF
 HE OR SHE DEEMS IT NECESSARY  TO  ENSURE  THE  EFFICIENT  AND  EFFECTIVE
 ADMINISTRATION   OF  THIS  ARTICLE.  THE  APPLICATION  SHALL  INCLUDE  A
 DESCRIPTION OF THE ACTIVITIES OF THE APPLICANT, IN SUCH DETAIL  AND  FOR
 SUCH PERIODS AS THE SUPERINTENDENT MAY REQUIRE, INCLUDING:
   (A)  AN  AFFIRMATION  OF FINANCIAL SOLVENCY NOTING SUCH CAPITALIZATION
 REQUIREMENTS AS MAY BE REQUIRED BY THE  SUPERINTENDENT,  AND  ACCESS  TO
 SUCH CREDIT AS MAY BE REQUIRED BY THE SUPERINTENDENT;
   (B)  A  FINANCIAL STATEMENT PREPARED BY A CERTIFIED PUBLIC ACCOUNTANT,
 THE ACCURACY OF WHICH IS SWORN TO UNDER OATH BEFORE A NOTARY  PUBLIC  BY
 AN OFFICER OR OTHER REPRESENTATIVE OF THE APPLICANT WHO IS AUTHORIZED TO
 EXECUTE SUCH DOCUMENTS;
   (C) THE FINGERPRINTS OF THE APPLICANT, OR ITS MEMBERS, OFFICERS, PART-
 NERS,  DIRECTORS  AND  PRINCIPALS  AS  MAY  BE APPROPRIATE, WHICH MAY BE
 SUBMITTED TO THE DIVISION OF CRIMINAL JUSTICE SERVICES AND  THE  FEDERAL
 BUREAU  OF  INVESTIGATION FOR STATE AND NATIONAL CRIMINAL HISTORY RECORD
 CHECKS;
   (D) AN AFFIRMATION THAT THE APPLICANT, OR ITS MEMBERS, OFFICERS, PART-
 NERS, DIRECTORS AND PRINCIPALS AS MAY BE APPROPRIATE, ARE AT LEAST TWEN-
 TY-ONE YEARS OF AGE;
   (E) INFORMATION AS TO THE CHARACTER, FITNESS, FINANCIAL  AND  BUSINESS
 RESPONSIBILITY,  BACKGROUND  AND  EXPERIENCES  OF  THE APPLICANT, OR ITS
 MEMBERS, OFFICERS, PARTNERS, DIRECTORS AND PRINCIPALS AS MAY  BE  APPRO-
 PRIATE;
   (F)  ANY  ADDITIONAL DETAIL OR INFORMATION REQUIRED BY THE SUPERINTEN-
 DENT.

 S. 2008                            102                           A. 3008
 
   2. AN APPLICATION TO BECOME A STUDENT LOAN SERVICER OR ANY APPLICATION
 WITH RESPECT TO A STUDENT LOAN SERVICER SHALL BE ACCOMPANIED BY A FEE AS
 PRESCRIBED PURSUANT TO SECTION EIGHTEEN-A OF THIS CHAPTER.
   §  713.  APPLICATION PROCESS TO RECEIVE LICENSE TO ENGAGE IN THE BUSI-
 NESS OF STUDENT LOAN SERVICING. 1. UPON THE FILING OF AN APPLICATION FOR
 A LICENSE, IF THE SUPERINTENDENT SHALL FIND THAT THE FINANCIAL RESPONSI-
 BILITY, EXPERIENCE, CHARACTER, AND GENERAL FITNESS OF THE APPLICANT AND,
 IF APPLICABLE, THE MEMBERS, OFFICERS, PARTNERS, DIRECTORS AND PRINCIPALS
 OF THE APPLICANT ARE SUCH AS TO COMMAND THE CONFIDENCE OF THE  COMMUNITY
 AND TO WARRANT BELIEF THAT THE BUSINESS WILL BE OPERATED HONESTLY, FAIR-
 LY,  AND EFFICIENTLY WITHIN THE PURPOSE OF THIS ARTICLE, THE SUPERINTEN-
 DENT SHALL THEREUPON ISSUE A LICENSE IN DUPLICATE TO ENGAGE IN THE BUSI-
 NESS OF SERVICING STUDENT LOANS DESCRIBED IN SECTION SEVEN  HUNDRED  TEN
 OF  THIS  ARTICLE  IN ACCORDANCE WITH THE PROVISIONS OF THIS ARTICLE. IF
 THE SUPERINTENDENT SHALL NOT SO FIND, THE SUPERINTENDENT SHALL NOT ISSUE
 A LICENSE, AND THE SUPERINTENDENT SHALL SO  NOTIFY  THE  APPLICANT.  THE
 SUPERINTENDENT SHALL TRANSMIT ONE COPY OF A LICENSE TO THE APPLICANT AND
 FILE ANOTHER COPY IN THE OFFICE OF THE DEPARTMENT OF FINANCIAL SERVICES.
 UPON  RECEIPT  OF SUCH LICENSE, A STUDENT LOAN SERVICER SHALL BE AUTHOR-
 IZED TO ENGAGE IN THE BUSINESS OF SERVICING STUDENT LOANS IN  ACCORDANCE
 WITH  THE  PROVISIONS OF THIS ARTICLE. SUCH LICENSE SHALL REMAIN IN FULL
 FORCE AND EFFECT UNTIL IT IS SURRENDERED BY THE SERVICER OR  REVOKED  OR
 SUSPENDED AS HEREINAFTER PROVIDED.
   2.  THE  SUPERINTENDENT MAY REFUSE TO ISSUE A LICENSE PURSUANT TO THIS
 ARTICLE IF HE OR SHE SHALL FIND THAT THE APPLICANT, OR ANY PERSON WHO IS
 A DIRECTOR,  OFFICER,  PARTNER,  AGENT,  EMPLOYEE,  MEMBER,  SUBSTANTIAL
 STOCKHOLDER OF THE APPLICANT, CONSULTANT OR PERSON HAVING A RELATIONSHIP
 WITH THE APPLICANT SIMILAR TO A CONSULTANT:
   (A)  HAS  BEEN  CONVICTED  OF A CRIME INVOLVING AN ACTIVITY WHICH IS A
 FELONY UNDER THIS CHAPTER OR UNDER ARTICLE ONE HUNDRED  FIFTY-FIVE,  ONE
 HUNDRED  SEVENTY, ONE HUNDRED SEVENTY-FIVE, ONE HUNDRED SEVENTY-SIX, ONE
 HUNDRED EIGHTY, ONE HUNDRED EIGHTY-FIVE, ONE HUNDRED  EIGHTY-SEVEN,  ONE
 HUNDRED  NINETY, TWO HUNDRED, TWO HUNDRED TEN OR FOUR HUNDRED SEVENTY OF
 THE PENAL LAW OR ANY COMPARABLE FELONY UNDER THE LAWS OF ANY OTHER STATE
 OR THE UNITED STATES, PROVIDED THAT SUCH CRIME  WOULD  BE  A  FELONY  IF
 COMMITTED AND PROSECUTED UNDER THE LAWS OF THIS STATE;
   (B) HAS HAD A LICENSE OR REGISTRATION REVOKED BY THE SUPERINTENDENT OR
 ANY OTHER REGULATOR OR JURISDICTION;
   (C)  HAS  BEEN  AN  OFFICER,  DIRECTOR, PARTNER, MEMBER OR SUBSTANTIAL
 STOCKHOLDER OF AN ENTITY WHICH HAS HAD A LICENSE OR REGISTRATION REVOKED
 BY THE SUPERINTENDENT OR ANY OTHER REGULATOR OR JURISDICTION; OR
   (D) HAS BEEN AN AGENT, EMPLOYEE, OFFICER, DIRECTOR, PARTNER OR  MEMBER
 OF  AN  ENTITY,  OR  A  CONSULTANT  TO,  OR  PERSON HAVING HAD A SIMILAR
 RELATIONSHIP WITH, ANY ENTITY WHICH HAS HAD A  LICENSE  OR  REGISTRATION
 REVOKED BY THE SUPERINTENDENT WHERE SUCH PERSON SHALL HAVE BEEN FOUND BY
 THE SUPERINTENDENT TO BEAR RESPONSIBILITY IN CONNECTION WITH THE REVOCA-
 TION.
   3.  THE  TERM  "SUBSTANTIAL STOCKHOLDER", AS USED IN THIS SUBDIVISION,
 SHALL BE DEEMED TO REFER TO A PERSON OWNING OR CONTROLLING  DIRECTLY  OR
 INDIRECTLY  TEN  PER  CENTUM OR MORE OF THE TOTAL OUTSTANDING STOCK OF A
 CORPORATION.
   § 714. CHANGES IN OFFICERS AND DIRECTORS. UPON ANY CHANGE  OF  ANY  OF
 THE  EXECUTIVE  OFFICERS,  DIRECTORS, PARTNERS OR MEMBERS OF ANY STUDENT
 LOAN SERVICER, THE STUDENT LOAN SERVICER SHALL SUBMIT TO THE SUPERINTEN-
 DENT THE NAME, ADDRESS, AND OCCUPATION OF EACH  NEW  OFFICER,  DIRECTOR,

 S. 2008                            103                           A. 3008
 
 PARTNER OR MEMBER, AND PROVIDE SUCH OTHER INFORMATION AS THE SUPERINTEN-
 DENT MAY REQUIRE.
   §  715.  CHANGES  IN CONTROL. 1. IT SHALL BE UNLAWFUL, EXCEPT WITH THE
 PRIOR APPROVAL OF THE SUPERINTENDENT, FOR ANY ACTION TO BE  TAKEN  WHICH
 RESULTS  IN A CHANGE OF CONTROL OF THE BUSINESS OF A STUDENT LOAN SERVI-
 CER. PRIOR TO ANY CHANGE OF CONTROL, THE PERSON  DESIROUS  OF  ACQUIRING
 CONTROL  OF  THE  BUSINESS OF A STUDENT LOAN SERVICER SHALL MAKE WRITTEN
 APPLICATION TO THE  SUPERINTENDENT  AND  PAY  AN  INVESTIGATION  FEE  AS
 PRESCRIBED  PURSUANT TO SECTION EIGHTEEN-A OF THIS CHAPTER TO THE SUPER-
 INTENDENT. THE APPLICATION SHALL CONTAIN SUCH INFORMATION AS THE  SUPER-
 INTENDENT,  BY  RULE OR REGULATION, MAY PRESCRIBE AS NECESSARY OR APPRO-
 PRIATE  FOR  THE  PURPOSE  OF  MAKING  THE  DETERMINATION  REQUIRED   BY
 SUBDIVISION TWO OF THIS SECTION. SUCH INFORMATION SHALL INCLUDE, BUT NOT
 BE LIMITED TO, THE INFORMATION AND OTHER MATERIAL REQUIRED FOR A STUDENT
 LOAN SERVICER BY SUBDIVISION ONE OF SECTION SEVEN HUNDRED TWELVE OF THIS
 ARTICLE.
   2.  THE SUPERINTENDENT SHALL APPROVE OR DISAPPROVE THE PROPOSED CHANGE
 OF CONTROL OF A STUDENT LOAN SERVICER IN ACCORDANCE WITH THE  PROVISIONS
 OF SECTION SEVEN HUNDRED THIRTEEN OF THIS ARTICLE.
   3.  FOR  A PERIOD OF SIX MONTHS FROM THE DATE OF QUALIFICATION THEREOF
 AND FOR SUCH  ADDITIONAL  PERIOD  OF  TIME  AS  THE  SUPERINTENDENT  MAY
 PRESCRIBE,  IN  WRITING,  THE  PROVISIONS OF SUBDIVISIONS ONE AND TWO OF
 THIS SECTION SHALL NOT APPLY TO A TRANSFER OF CONTROL  BY  OPERATION  OF
 LAW  TO THE LEGAL REPRESENTATIVE, AS HEREINAFTER DEFINED, OF ONE WHO HAS
 CONTROL OF A STUDENT LOAN SERVICER.  THEREAFTER,  SUCH  LEGAL  REPRESEN-
 TATIVE  SHALL  COMPLY WITH THE PROVISIONS OF SUBDIVISIONS ONE AND TWO OF
 THIS SECTION. THE PROVISIONS OF SUBDIVISIONS ONE AND TWO OF THIS SECTION
 SHALL BE APPLICABLE TO AN APPLICATION MADE UNDER THIS SECTION BY A LEGAL
 REPRESENTATIVE. THE TERM "LEGAL REPRESENTATIVE",  FOR  THE  PURPOSES  OF
 THIS  SUBDIVISION,  SHALL  MEAN  A  PERSON  DULY APPOINTED BY A COURT OF
 COMPETENT JURISDICTION  TO  ACT  AS  EXECUTOR,  ADMINISTRATOR,  TRUSTEE,
 COMMITTEE,  CONSERVATOR  OR  RECEIVER, INCLUDING A PERSON WHO SUCCEEDS A
 LEGAL REPRESENTATIVE AND A PERSON ACTING IN AN ANCILLARY CAPACITY THERE-
 TO IN ACCORDANCE WITH THE PROVISIONS OF SUCH COURT APPOINTMENT.
   4. AS USED IN THIS SECTION THE TERM "CONTROL"  MEANS  THE  POSSESSION,
 DIRECTLY OR INDIRECTLY, OF THE POWER TO DIRECT OR CAUSE THE DIRECTION OF
 THE  MANAGEMENT AND POLICIES OF A STUDENT LOAN SERVICER, WHETHER THROUGH
 THE OWNERSHIP OF VOTING STOCK OF SUCH STUDENT LOAN SERVICER, THE  OWNER-
 SHIP  OF VOTING STOCK OF ANY PERSON WHICH POSSESSES SUCH POWER OR OTHER-
 WISE. CONTROL SHALL BE PRESUMED TO EXIST  IF  ANY  PERSON,  DIRECTLY  OR
 INDIRECTLY, OWNS, CONTROLS OR HOLDS WITH POWER TO VOTE TEN PER CENTUM OR
 MORE  OF  THE VOTING STOCK OF ANY STUDENT LOAN SERVICER OR OF ANY PERSON
 WHICH OWNS, CONTROLS OR HOLDS WITH POWER TO VOTE TEN PER CENTUM OR  MORE
 OF THE VOTING STOCK OF ANY STUDENT LOAN SERVICER, BUT NO PERSON SHALL BE
 DEEMED  TO  CONTROL A STUDENT LOAN SERVICER SOLELY BY REASON OF BEING AN
 OFFICER OR DIRECTOR OF SUCH STUDENT LOAN  SERVICER.  THE  SUPERINTENDENT
 MAY  IN  HIS DISCRETION, UPON THE APPLICATION OF A STUDENT LOAN SERVICER
 OR ANY PERSON WHO, DIRECTLY OR INDIRECTLY, OWNS, CONTROLS OR HOLDS  WITH
 POWER  TO  VOTE  OR SEEKS TO OWN, CONTROL OR HOLD WITH POWER TO VOTE ANY
 VOTING STOCK OF SUCH STUDENT LOAN SERVICER, DETERMINE WHETHER OR NOT THE
 OWNERSHIP, CONTROL OR HOLDING OF SUCH VOTING STOCK CONSTITUTES OR  WOULD
 CONSTITUTE  CONTROL  OF  SUCH STUDENT LOAN SERVICER FOR PURPOSES OF THIS
 SECTION.
   § 716. GROUNDS FOR SUSPENSION OR REVOCATION OF LICENSE. 1. THE  SUPER-
 INTENDENT  MAY REVOKE ANY LICENSE TO ENGAGE IN THE BUSINESS OF A STUDENT

 S. 2008                            104                           A. 3008

 LOAN SERVICER ISSUED PURSUANT TO THIS ARTICLE IF HE OR  SHE  SHALL  FIND
 THAT:
   (A) A SERVICER HAS VIOLATED ANY PROVISION OF THIS ARTICLE, ANY RULE OR
 REGULATION  PROMULGATED  BY  THE  SUPERINTENDENT  UNDER  AND  WITHIN THE
 AUTHORITY OF THIS ARTICLE, OR ANY OTHER APPLICABLE LAW;
   (B) ANY FACT OR CONDITION EXISTS WHICH, IF IT HAD EXISTED AT THE  TIME
 OF  THE  ORIGINAL APPLICATION FOR SUCH LICENSE, WOULD HAVE WARRANTED THE
 SUPERINTENDENT REFUSING ORIGINALLY TO ISSUE SUCH LICENSE;
   (C) A SERVICER DOES NOT COOPERATE WITH AN EXAMINATION OR INVESTIGATION
 BY THE SUPERINTENDENT;
   (D) A SERVICER ENGAGES IN  FRAUD,  INTENTIONAL  MISREPRESENTATION,  OR
 GROSS NEGLIGENCE IN SERVICING A STUDENT LOAN;
   (E)  THE  COMPETENCE, EXPERIENCE, CHARACTER, OR GENERAL FITNESS OF THE
 SERVICER, AN INDIVIDUAL CONTROLLING, DIRECTLY OR INDIRECTLY, TEN PERCENT
 OR MORE OF THE OUTSTANDING INTERESTS,  OR  ANY  PERSON  RESPONSIBLE  FOR
 SERVICING  A  STUDENT  LOAN FOR THE SERVICER INDICATES THAT IT IS NOT IN
 THE PUBLIC INTEREST TO PERMIT THE SERVICER TO CONTINUE SERVICING STUDENT
 LOANS;
   (F) THE SERVICER ENGAGES IN UNSAFE OR INJURIOUS PRACTICE;
   (G) THE SERVICER IS INSOLVENT, SUSPENDS PAYMENT OF ITS OBLIGATIONS, OR
 MAKES A GENERAL ASSIGNMENT FOR THE BENEFIT OF ITS CREDITORS; OR
   (H) A SERVICER HAS VIOLATED THE LAWS OF THIS STATE,  ANY  OTHER  STATE
 LAW  OR  ANY FEDERAL LAW INVOLVING FRAUDULENT OR DISHONEST DEALING, OR A
 FINAL JUDGMENT HAS BEEN ENTERED AGAINST A STUDENT  LOAN  SERVICER  IN  A
 CIVIL ACTION UPON GROUNDS OF FRAUD, MISREPRESENTATION OR DECEIT.
   2. AS A PART OF HIS OR HER DETERMINATION REGARDING SUSPENSION OR REVO-
 CATION,  THE  SUPERINTENDENT IS AUTHORIZED TO REQUIRE THE FINGERPRINTING
 OF ANY PERSON, OFFICER, DIRECTOR,  PARTNER,  MEMBER  OR  EMPLOYEE  OF  A
 STUDENT LOAN SERVICER. SUCH FINGERPRINTS SHALL BE SUBMITTED TO THE DIVI-
 SION  OF  CRIMINAL  JUSTICE SERVICES FOR A STATE CRIMINAL HISTORY RECORD
 CHECK AND MAY BE SUBMITTED TO THE FEDERAL BUREAU OF INVESTIGATION FOR  A
 NATIONAL CRIMINAL HISTORY RECORD CHECK.
   3.  THE  SUPERINTENDENT  MAY, ON GOOD CAUSE SHOWN, OR WHERE THERE IS A
 SUBSTANTIAL RISK OF PUBLIC HARM, SUSPEND ANY LICENSE FOR  A  PERIOD  NOT
 EXCEEDING  THIRTY  DAYS, PENDING INVESTIGATION. "GOOD CAUSE", AS USED IN
 THIS SUBDIVISION, SHALL EXIST WHEN A STUDENT LOAN SERVICER HAS DEFAULTED
 OR IS LIKELY TO DEFAULT  IN  PERFORMING  ITS  FINANCIAL  ENGAGEMENTS  OR
 ENGAGES  IN  DISHONEST OR INEQUITABLE PRACTICES WHICH MAY CAUSE SUBSTAN-
 TIAL HARM TO THE PERSONS AFFORDED THE PROTECTION OF THIS ARTICLE.
   4. EXCEPT AS PROVIDED IN SUBDIVISION THREE OF THIS SECTION, NO LICENSE
 SHALL BE REVOKED OR SUSPENDED EXCEPT AFTER NOTICE AND A HEARING THEREON.
 ANY ORDER OF SUSPENSION ISSUED AFTER NOTICE AND A HEARING MAY INCLUDE AS
 A CONDITION OF REINSTATEMENT THAT THE STUDENT LOAN SERVICER MAKE  RESTI-
 TUTION  TO CONSUMERS OF FEES OR OTHER CHARGES WHICH HAVE BEEN IMPROPERLY
 CHARGED OR  COLLECTED,  INCLUDING  BUT  NOT  LIMITED  TO  BY  ALLOCATING
 PAYMENTS CONTRARY TO A BORROWER'S DIRECTION OR IN A MANNER THAT FAILS TO
 HELP  A BORROWER AVOID DEFAULT, AS DETERMINED BY THE SUPERINTENDENT. ANY
 HEARING HELD PURSUANT  TO  THE  PROVISIONS  OF  THIS  SECTION  SHALL  BE
 NOTICED,  CONDUCTED AND ADMINISTERED IN COMPLIANCE WITH THE STATE ADMIN-
 ISTRATIVE PROCEDURE ACT.
   5. ANY STUDENT LOAN SERVICER MAY SURRENDER ANY LICENSE  BY  DELIVERING
 TO  THE  SUPERINTENDENT  WRITTEN  NOTICE  THAT THE STUDENT LOAN SERVICER
 THEREBY SURRENDERS SUCH LICENSE, BUT SUCH SURRENDER SHALL NOT AFFECT THE
 SERVICER'S CIVIL OR CRIMINAL LIABILITY FOR ACTS COMMITTED PRIOR  TO  THE
 SURRENDER.  IF  SUCH  SURRENDER IS MADE AFTER THE ISSUANCE BY THE SUPER-
 INTENDENT OF A STATEMENT OF CHARGES AND NOTICE OF  HEARING,  THE  SUPER-

 S. 2008                            105                           A. 3008
 
 INTENDENT  MAY  PROCEED AGAINST THE SERVICER AS IF THE SURRENDER HAD NOT
 TAKEN PLACE.
   6. NO REVOCATION, SUSPENSION, OR SURRENDER OF ANY LICENSE SHALL IMPAIR
 OR AFFECT THE OBLIGATION OF ANY PRE-EXISTING LAWFUL CONTRACT BETWEEN THE
 STUDENT LOAN SERVICER AND ANY PERSON, INCLUDING THE DEPARTMENT OF FINAN-
 CIAL SERVICES.
   7.  EVERY LICENSE ISSUED PURSUANT TO THIS ARTICLE SHALL REMAIN IN FULL
 FORCE AND EFFECT UNTIL THE SAME SHALL HAVE BEEN SURRENDERED, REVOKED  OR
 SUSPENDED IN ACCORDANCE WITH ANY OTHER PROVISIONS OF THIS ARTICLE.
   8.  WHENEVER  THE  SUPERINTENDENT  SHALL  REVOKE  OR SUSPEND A LICENSE
 ISSUED PURSUANT TO THIS ARTICLE, HE OR SHE SHALL  FORTHWITH  EXECUTE  IN
 DUPLICATE  A WRITTEN ORDER TO THAT EFFECT. THE SUPERINTENDENT SHALL FILE
 ONE COPY OF THE ORDER IN THE  OFFICE  OF  THE  DEPARTMENT  OF  FINANCIAL
 SERVICES  AND SHALL FORTHWITH SERVE THE OTHER COPY UPON THE STUDENT LOAN
 SERVICER. ANY SUCH ORDER MAY BE REVIEWED IN THE MANNER PROVIDED BY ARTI-
 CLE SEVENTY-EIGHT OF THE CIVIL PRACTICE LAW AND  RULES.  AN  APPLICATION
 FOR REVIEW AS AUTHORIZED BY THIS SECTION MUST BE MADE WITHIN THIRTY DAYS
 FROM THE DATE OF THE ORDER OF SUSPENSION OR REVOCATION.
   §  717.  BOOKS  AND  RECORDS;  REPORTS  AND ELECTRONIC FILING. 1. EACH
 STUDENT LOAN SERVICER AND EXEMPT ORGANIZATION SHALL KEEP AND USE IN  ITS
 BUSINESS SUCH BOOKS, ACCOUNTS AND RECORDS AS WILL ENABLE THE SUPERINTEN-
 DENT TO DETERMINE WHETHER THE SERVICER OR EXEMPT ORGANIZATION IS COMPLY-
 ING  WITH  THE  PROVISIONS  OF THIS ARTICLE AND WITH THE RULES AND REGU-
 LATIONS LAWFULLY MADE BY THE SUPERINTENDENT. EVERY SERVICER  AND  EXEMPT
 ORGANIZATION  SHALL  PRESERVE  SUCH BOOKS, ACCOUNTS, AND RECORDS, FOR AT
 LEAST THREE YEARS.
   2. (A) EACH STUDENT LOAN SERVICER SHALL ANNUALLY, ON OR BEFORE A  DATE
 TO  BE  DETERMINED  BY THE SUPERINTENDENT, FILE A REPORT WITH THE SUPER-
 INTENDENT GIVING SUCH INFORMATION  AS  THE  SUPERINTENDENT  MAY  REQUIRE
 CONCERNING  THE  BUSINESS  AND  OPERATIONS DURING THE PRECEDING CALENDAR
 YEAR OF SUCH SERVICER UNDER AUTHORITY OF THIS ARTICLE. SUCH REPORT SHALL
 BE SUBSCRIBED AND AFFIRMED AS TRUE BY THE SERVICER UNDER  THE  PENALTIES
 OF PERJURY AND SHALL BE IN THE FORM PRESCRIBED BY THE SUPERINTENDENT.
   (B) IN ADDITION TO ANNUAL REPORTS, THE SUPERINTENDENT MAY REQUIRE SUCH
 ADDITIONAL REGULAR OR SPECIAL REPORTS AS HE OR SHE MAY DEEM NECESSARY TO
 THE  PROPER  SUPERVISION  OF  STUDENT LOAN SERVICERS UNDER THIS ARTICLE.
 SUCH ADDITIONAL REPORTS SHALL BE SUBSCRIBED AND AFFIRMED AS TRUE BY  THE
 SERVICER  UNDER  THE  PENALTIES  OF  PERJURY  AND  SHALL  BE IN THE FORM
 PRESCRIBED BY THE SUPERINTENDENT.
   3. NOTWITHSTANDING ARTICLE THREE OF THE STATE TECHNOLOGY  LAW  OR  ANY
 OTHER  LAW  TO  THE  CONTRARY,  THE  SUPERINTENDENT MAY REQUIRE THAT ANY
 SUBMISSION OR APPROVAL AS MAY BE REQUIRED BY THE SUPERINTENDENT BE  MADE
 OR  EXECUTED  BY  ELECTRONIC  MEANS  IF  HE OR SHE DEEMS IT NECESSARY TO
 ENSURE THE EFFICIENT ADMINISTRATION OF THIS ARTICLE.
   § 718. RULES AND REGULATIONS. 1. IN ADDITION TO  SUCH  POWERS  AS  MAY
 OTHERWISE  BE  PRESCRIBED  BY THIS CHAPTER, THE SUPERINTENDENT IS HEREBY
 AUTHORIZED AND EMPOWERED TO PROMULGATE SUCH RULES AND REGULATIONS AS MAY
 IN THE JUDGMENT OF THE SUPERINTENDENT BE CONSISTENT WITH THE PURPOSES OF
 THIS ARTICLE, OR APPROPRIATE FOR THE EFFECTIVE  ADMINISTRATION  OF  THIS
 ARTICLE, INCLUDING, BUT NOT LIMITED TO:
   (A)  SUCH  RULES  AND REGULATIONS IN CONNECTION WITH THE ACTIVITIES OF
 STUDENT LOAN SERVICERS AND EXEMPT ORGANIZATIONS AS MAY BE NECESSARY  AND
 APPROPRIATE FOR THE PROTECTION OF BORROWERS IN THIS STATE.
   (B)  SUCH RULES AND REGULATIONS AS MAY BE NECESSARY AND APPROPRIATE TO
 DEFINE UNFAIR, DECEPTIVE OR ABUSIVE ACTS OR PRACTICES IN CONNECTION WITH

 S. 2008                            106                           A. 3008
 
 THE ACTIVITIES OF STUDENT LOAN SERVICERS  AND  EXEMPT  ORGANIZATIONS  IN
 SERVICING STUDENT LOANS.
   (C)  SUCH  RULES  AND REGULATIONS AS MAY DEFINE THE TERMS USED IN THIS
 ARTICLE AND AS MAY BE NECESSARY AND APPROPRIATE TO INTERPRET AND  IMPLE-
 MENT THE PROVISIONS OF THIS ARTICLE.
   (D) SUCH RULES AND REGULATIONS AS MAY BE NECESSARY FOR THE ENFORCEMENT
 OF THIS ARTICLE.
   2.  THE SUPERINTENDENT IS HEREBY AUTHORIZED AND EMPOWERED TO MAKE SUCH
 SPECIFIC RULINGS, DEMANDS AND FINDINGS AS THE  SUPERINTENDENT  MAY  DEEM
 NECESSARY FOR THE PROPER CONDUCT OF THE STUDENT LOAN SERVICING INDUSTRY.
   § 719. PROHIBITED PRACTICES. NO STUDENT LOAN SERVICER SHALL:
   1.  DIRECTLY  OR  INDIRECTLY  EMPLOY ANY SCHEME, DEVICE OR ARTIFICE TO
 DEFRAUD OR MISLEAD A BORROWER.
   2. ENGAGE IN ANY UNFAIR, DECEPTIVE OR PREDATORY ACT OR PRACTICE TOWARD
 ANY  PERSON  OR  MISREPRESENT  OR  OMIT  ANY  MATERIAL  INFORMATION   IN
 CONNECTION  WITH  THE  SERVICING  OF  A STUDENT LOAN, INCLUDING, BUT NOT
 LIMITED TO, MISREPRESENTING THE AMOUNT, NATURE OR TERMS OF  ANY  FEE  OR
 PAYMENT DUE OR CLAIMED TO BE DUE ON A STUDENT LOAN, THE TERMS AND CONDI-
 TIONS  OF  THE  LOAN  AGREEMENT  OR THE BORROWER'S OBLIGATIONS UNDER THE
 LOAN.
   3. MISAPPLY PAYMENTS TO THE OUTSTANDING BALANCE OF ANY STUDENT LOAN OR
 TO ANY RELATED INTEREST OR FEES.
   4. PROVIDE INACCURATE INFORMATION TO A CONSUMER REPORTING AGENCY.
   5. REFUSE TO COMMUNICATE WITH  AN  AUTHORIZED  REPRESENTATIVE  OF  THE
 BORROWER  WHO  PROVIDES  A WRITTEN AUTHORIZATION SIGNED BY THE BORROWER,
 PROVIDED THAT THE SERVICER MAY ADOPT PROCEDURES  REASONABLY  RELATED  TO
 VERIFYING THAT THE REPRESENTATIVE IS IN FACT AUTHORIZED TO ACT ON BEHALF
 OF THE BORROWER.
   6. MAKE ANY FALSE STATEMENT OR MAKE ANY OMISSION OF A MATERIAL FACT IN
 CONNECTION  WITH  ANY  INFORMATION  OR REPORTS FILED WITH A GOVERNMENTAL
 AGENCY OR IN CONNECTION WITH ANY INVESTIGATION CONDUCTED BY  THE  SUPER-
 INTENDENT OR ANOTHER GOVERNMENTAL AGENCY.
   §  720. SERVICING STUDENT LOANS WITHOUT A LICENSE. 1. WHENEVER, IN THE
 OPINION OF THE SUPERINTENDENT, A PERSON IS ENGAGED IN  THE  BUSINESS  OF
 SERVICING  STUDENT LOANS, EITHER ACTUALLY OR THROUGH SUBTERFUGE, WITHOUT
 A LICENSE FROM THE SUPERINTENDENT, THE  SUPERINTENDENT  MAY  ORDER  THAT
 PERSON  TO DESIST AND REFRAIN FROM ENGAGING IN THE BUSINESS OF SERVICING
 STUDENT LOANS IN THE STATE. IF, WITHIN THIRTY DAYS  AFTER  AN  ORDER  IS
 SERVED,  A  REQUEST FOR A HEARING IS FILED IN WRITING AND THE HEARING IS
 NOT HELD WITHIN SIXTY DAYS OF THE FILING, THE ORDER SHALL BE RESCINDED.
   2. THE SUPERINTENDENT MAY MAINTAIN A CIVIL ACTION TO ENFORCE ANY ORDER
 ISSUED BY THE SUPERINTENDENT PURSUANT TO THIS SECTION.
   3. THIS SECTION SHALL NOT APPLY TO EXEMPT ORGANIZATIONS.
   § 721. RESPONSIBILITIES. 1.  IF  A  STUDENT  LOAN  SERVICER  REGULARLY
 REPORTS  INFORMATION  TO A CONSUMER REPORTING AGENCY, THE SERVICER SHALL
 ACCURATELY REPORT A BORROWER'S  PAYMENT  PERFORMANCE  TO  AT  LEAST  ONE
 CONSUMER REPORTING AGENCY THAT COMPILES AND MAINTAINS FILES ON CONSUMERS
 ON  A  NATIONWIDE BASIS AS DEFINED IN SECTION 603(P) OF THE FEDERAL FAIR
 CREDIT REPORTING ACT (15 U.S.C. SEC. 1681A(P)),  UPON  ACCEPTANCE  AS  A
 DATA FURNISHER BY THAT CONSUMER REPORTING AGENCY.
   2. (A) EXCEPT AS PROVIDED IN FEDERAL LAW OR REQUIRED BY A STUDENT LOAN
 AGREEMENT,  A  STUDENT  LOAN SERVICER SHALL INQUIRE OF A BORROWER HOW TO
 APPLY A BORROWER'S NONCONFORMING PAYMENT. A BORROWER'S DIRECTION ON  HOW
 TO  APPLY  A NONCONFORMING PAYMENT SHALL REMAIN IN EFFECT FOR ANY FUTURE
 NONCONFORMING PAYMENT DURING THE  TERM  OF  A  STUDENT  LOAN  UNTIL  THE
 BORROWER PROVIDES DIFFERENT DIRECTIONS.

 S. 2008                            107                           A. 3008
 
   (B)  FOR  PURPOSES  OF THIS SUBDIVISION, "NONCONFORMING PAYMENT" SHALL
 MEAN A PAYMENT THAT IS EITHER MORE OR LESS THAN THE BORROWER'S  REQUIRED
 STUDENT LOAN PAYMENT.
   3.  (A) IF THE SALE, ASSIGNMENT, OR OTHER TRANSFER OF THE SERVICING OF
 A STUDENT LOAN RESULTS IN A CHANGE IN THE IDENTITY OF THE PERSON TO WHOM
 THE BORROWER IS REQUIRED TO  SEND  SUBSEQUENT  PAYMENTS  OR  DIRECT  ANY
 COMMUNICATIONS  CONCERNING  THE  STUDENT  LOAN,  A STUDENT LOAN SERVICER
 SHALL TRANSFER  ALL  INFORMATION  REGARDING  A  BORROWER,  A  BORROWER'S
 ACCOUNT, AND A BORROWER'S STUDENT LOAN, INCLUDING BUT NOT LIMITED TO THE
 BORROWER'S  REPAYMENT  STATUS  AND ANY BORROWER BENEFITS ASSOCIATED WITH
 THE BORROWER'S STUDENT LOAN, TO THE NEW STUDENT LOAN SERVICER  SERVICING
 THE BORROWER'S STUDENT LOAN WITHIN FORTY-FIVE DAYS.
   (B)  A  STUDENT  LOAN  SERVICER SHALL ADOPT POLICIES AND PROCEDURES TO
 VERIFY THAT IT HAS RECEIVED ALL  INFORMATION  REGARDING  A  BORROWER,  A
 BORROWER'S  ACCOUNT,  AND  A  BORROWER'S STUDENT LOAN, INCLUDING BUT NOT
 LIMITED TO THE BORROWER'S REPAYMENT STATUS  AND  ANY  BORROWER  BENEFITS
 ASSOCIATED  WITH  THE BORROWER'S STUDENT LOAN, WHEN THE SERVICER OBTAINS
 THE RIGHT TO SERVICE A STUDENT LOAN.
   4. IF A STUDENT LOAN SERVICER SELLS, ASSIGNS, OR  OTHERWISE  TRANSFERS
 THE  SERVICING OF A STUDENT LOAN TO A NEW SERVICER, THE SALE, ASSIGNMENT
 OR OTHER TRANSFER SHALL BE COMPLETED AT  LEAST  SEVEN  DAYS  BEFORE  THE
 BORROWER'S NEXT PAYMENT IS DUE.
   5.  (A)  A  STUDENT  LOAN  SERVICER  THAT SELLS, ASSIGNS, OR OTHERWISE
 TRANSFERS THE SERVICING OF A STUDENT LOAN SHALL REQUIRE AS  A  CONDITION
 OF  SUCH  SALE,  ASSIGNMENT  OR OTHER TRANSFER THAT THE NEW STUDENT LOAN
 SERVICER SHALL HONOR ALL BORROWER  BENEFITS  ORIGINALLY  REPRESENTED  AS
 BEING  AVAILABLE  TO A BORROWER DURING THE REPAYMENT OF THE STUDENT LOAN
 AND THE POSSIBILITY OF SUCH BENEFITS, INCLUDING ANY BENEFITS  THAT  WERE
 REPRESENTED  AS  BEING  AVAILABLE BUT FOR WHICH THE BORROWER HAD NOT YET
 QUALIFIED.
   (B) A STUDENT LOAN SERVICER  THAT  OBTAINS  THE  RIGHT  TO  SERVICE  A
 STUDENT LOAN SHALL HONOR ALL BORROWER BENEFITS ORIGINALLY REPRESENTED AS
 BEING  AVAILABLE  TO A BORROWER DURING THE REPAYMENT OF THE STUDENT LOAN
 AND THE POSSIBILITY OF SUCH BENEFITS, INCLUDING ANY BENEFITS  THAT  WERE
 REPRESENTED  AS  BEING  AVAILABLE BUT FOR WHICH THE BORROWER HAD NOT YET
 QUALIFIED.
   6. A STUDENT LOAN SERVICER SHALL  RESPOND  WITHIN  THIRTY  DAYS  AFTER
 RECEIPT  TO  A WRITTEN INQUIRY FROM A BORROWER OR A BORROWER'S REPRESEN-
 TATIVE.
   7. A STUDENT LOAN SERVICER SHALL PRESERVE RECORDS OF EACH STUDENT LOAN
 AND ALL COMMUNICATIONS WITH  BORROWERS  FOR  NOT  LESS  THAN  TWO  YEARS
 FOLLOWING THE FINAL PAYMENT ON A STUDENT LOAN OR THE SALE, ASSIGNMENT OR
 OTHER  TRANSFER  OF  THE  SERVICING  OF A STUDENT LOAN, WHICHEVER OCCURS
 FIRST, OR SUCH LONGER PERIOD AS MAY BE REQUIRED BY ANY  OTHER  PROVISION
 OF LAW.
   §  722.  EXAMINATIONS.  1.  THE SUPERINTENDENT MAY AT ANY TIME, AND AS
 OFTEN AS HE OR SHE MAY DETERMINE, EITHER PERSONALLY OR BY A PERSON  DULY
 DESIGNATED  BY  THE SUPERINTENDENT, INVESTIGATE THE BUSINESS AND EXAMINE
 THE BOOKS, ACCOUNTS, RECORDS, AND FILES USED THEREIN  OF  EVERY  STUDENT
 LOAN  SERVICER.  FOR THAT PURPOSE THE SUPERINTENDENT AND HIS OR HER DULY
 DESIGNATED REPRESENTATIVE SHALL HAVE FREE  ACCESS  TO  THE  OFFICES  AND
 PLACES  OF  BUSINESS, BOOKS, ACCOUNTS, PAPERS, RECORDS, FILES, SAFES AND
 VAULTS OF ALL STUDENT LOAN SERVICERS. THE SUPERINTENDENT AND ANY  PERSON
 DULY  DESIGNATED  BY  HIM OR HER SHALL HAVE THE AUTHORITY TO REQUIRE THE
 ATTENDANCE OF AND TO EXAMINE UNDER OATH ALL PERSONS WHOSE  TESTIMONY  HE
 OR SHE MAY REQUIRE RELATIVE TO SUCH BUSINESS.

 S. 2008                            108                           A. 3008
 
   2.  NO  PERSON  SUBJECT  TO  INVESTIGATION  OR  EXAMINATION UNDER THIS
 SECTION MAY KNOWINGLY WITHHOLD, ABSTRACT, REMOVE, MUTILATE,  DESTROY  OR
 SECRETE ANY BOOKS, RECORDS, COMPUTER RECORDS OR OTHER INFORMATION.
   3.  THE  EXPENSES  INCURRED IN MAKING ANY EXAMINATION PURSUANT TO THIS
 SECTION SHALL BE ASSESSED AGAINST AND PAID BY THE STUDENT LOAN  SERVICER
 SO  EXAMINED, EXCEPT THAT TRAVELING AND SUBSISTENCE EXPENSES SO INCURRED
 SHALL BE CHARGED AGAINST AND PAID BY SERVICERS IN  SUCH  PROPORTIONS  AS
 THE  SUPERINTENDENT  SHALL  DEEM  JUST  AND REASONABLE, AND SUCH PROPOR-
 TIONATE CHARGES SHALL BE ADDED TO THE ASSESSMENT OF THE  OTHER  EXPENSES
 INCURRED  UPON  EACH EXAMINATION. UPON WRITTEN NOTICE BY THE SUPERINTEN-
 DENT OF THE TOTAL AMOUNT OF SUCH ASSESSMENT, THE SERVICER  SHALL  BECOME
 LIABLE FOR AND SHALL PAY SUCH ASSESSMENT TO THE SUPERINTENDENT.
   4. IN ANY HEARING IN WHICH A DEPARTMENT EMPLOYEE ACTING UNDER AUTHORI-
 TY  OF  THIS  CHAPTER  IS  AVAILABLE FOR CROSS-EXAMINATION, ANY OFFICIAL
 WRITTEN REPORT, WORKSHEET, OTHER RELATED PAPERS, OR DULY CERTIFIED  COPY
 THEREOF,  COMPILED, PREPARED, DRAFTED, OR OTHERWISE MADE BY SUCH DEPART-
 MENT EMPLOYEE, AFTER BEING DULY AUTHENTICATED BY THE  EMPLOYEE,  MAY  BE
 ADMITTED  AS  COMPETENT EVIDENCE UPON THE OATH OF THE EMPLOYEE THAT SUCH
 WORKSHEET,  INVESTIGATIVE  REPORT,  OR  OTHER  RELATED  DOCUMENTS   WERE
 PREPARED  AS  A  RESULT  OF AN EXAMINATION OF THE BOOKS AND RECORDS OF A
 SERVICER OR OTHER PERSON, CONDUCTED PURSUANT TO THE  AUTHORITY  OF  THIS
 CHAPTER.
   5.  UNLESS  OTHERWISE  EXEMPT  PURSUANT  TO SUBDIVISION TWO OF SECTION
 SEVEN HUNDRED ELEVEN OF THIS  ARTICLE,  AFFILIATES  OF  A  STUDENT  LOAN
 SERVICER  SHALL  BE  SUBJECT TO EXAMINATION BY THE SUPERINTENDENT ON THE
 SAME TERMS AS THE SERVICER, BUT ONLY WHEN REPORTS FROM,  OR  EXAMINATION
 OF, A SERVICER PROVIDES EVIDENCE OF UNLAWFUL ACTIVITY BETWEEN A SERVICER
 AND  AFFILIATE  BENEFITTING,  AFFECTING,  OR ARISING FROM THE ACTIVITIES
 REGULATED BY THIS ARTICLE.
   § 723. PENALTIES FOR VIOLATION OF THIS ARTICLE. 1. IN ADDITION TO SUCH
 PENALTIES AS MAY OTHERWISE BE APPLICABLE BY LAW, THE SUPERINTENDENT MAY,
 AFTER NOTICE  AND  HEARING,  REQUIRE  ANY  PERSON  FOUND  VIOLATING  THE
 PROVISIONS OF THIS ARTICLE OR THE RULES OR REGULATIONS PROMULGATED HERE-
 UNDER  TO PAY TO THE PEOPLE OF THIS STATE AN ADDITIONAL PENALTY FOR EACH
 VIOLATION OF THE ARTICLE OR ANY REGULATION OR POLICY  PROMULGATED  HERE-
 UNDER  A  SUM  NOT TO EXCEED AN AMOUNT AS DETERMINED PURSUANT TO SECTION
 FORTY-FOUR OF THIS CHAPTER FOR EACH SUCH VIOLATION.
   2. NOTHING IN THIS ARTICLE SHALL LIMIT  ANY  STATUTORY  OR  COMMON-LAW
 RIGHT OF ANY PERSON TO BRING ANY ACTION IN ANY COURT FOR ANY ACT, OR THE
 RIGHT OF THE STATE TO PUNISH ANY PERSON FOR ANY VIOLATION OF ANY LAW.
   §  724.  SEVERABILITY OF PROVISIONS. IF ANY PROVISION OF THIS ARTICLE,
 OR THE APPLICATION OF SUCH PROVISION  TO  ANY  PERSON  OR  CIRCUMSTANCE,
 SHALL  BE  HELD  INVALID, ILLEGAL OR UNENFORCEABLE, THE REMAINDER OF THE
 ARTICLE, AND THE APPLICATION OF SUCH PROVISION  TO  PERSONS  OR  CIRCUM-
 STANCES  OTHER  THAN  THOSE  AS  TO WHICH IT IS HELD INVALID, ILLEGAL OR
 UNENFORCEABLE, SHALL NOT BE AFFECTED THEREBY.
   § 725. COMPLIANCE WITH OTHER LAWS. 1.  STUDENT  LOAN  SERVICERS  SHALL
 ENGAGE IN THE BUSINESS OF SERVICING STUDENT LOANS IN CONFORMITY WITH THE
 PROVISIONS OF THIS CHAPTER, SUCH RULES AND REGULATIONS AS MAY BE PROMUL-
 GATED  BY  THE SUPERINTENDENT THEREUNDER AND ALL APPLICABLE FEDERAL LAWS
 AND THE RULES AND REGULATIONS PROMULGATED THEREUNDER.
   2. NOTHING IN THIS SECTION SHALL BE CONSTRUED TO LIMIT  ANY  OTHERWISE
 APPLICABLE STATE OR FEDERAL LAW OR REGULATIONS.
   §  2.  Subdivision  10 of section 36 of the banking law, as amended by
 chapter 182 of the laws of 2011, is amended to read as follows:

 S. 2008                            109                           A. 3008
 
   10. All reports of examinations and investigations, correspondence and
 memoranda concerning or arising out of  such  examination  and  investi-
 gations,  including any duly authenticated copy or copies thereof in the
 possession of any banking organization,  bank  holding  company  or  any
 subsidiary  thereof  (as  such terms "bank holding company" and "subsid-
 iary" are defined in article three-A of this chapter),  any  corporation
 or  any  other  entity affiliated with a banking organization within the
 meaning of subdivision six of this section and any  non-banking  subsid-
 iary  of  a  corporation  or any other entity which is an affiliate of a
 banking organization within the meaning of  subdivision  six-a  of  this
 section,  foreign  banking corporation, licensed lender, licensed casher
 of  checks,  licensed  mortgage  banker,  registered  mortgage   broker,
 licensed  mortgage  loan  originator,  licensed  sales  finance company,
 registered mortgage  loan  servicer,  LICENSED  STUDENT  LOAN  SERVICER,
 licensed  insurance  premium  finance  agency,  licensed  transmitter of
 money, licensed budget planner, any other person or  entity  subject  to
 supervision under this chapter, or the department, shall be confidential
 communications,  shall  not be subject to subpoena and shall not be made
 public unless, in the  judgment  of  the  superintendent,  the  ends  of
 justice  and  the  public advantage will be subserved by the publication
 thereof, in which event the superintendent may publish or authorize  the
 publication  of  a  copy  of any such report or any part thereof in such
 manner as may be deemed proper or unless such laws specifically  author-
 ize  such  disclosure. For the purposes of this subdivision, "reports of
 examinations and investigations, and any  correspondence  and  memoranda
 concerning  or  arising  out  of  such examinations and investigations",
 includes any such materials of a bank, insurance or securities regulato-
 ry agency or any unit of the federal government or that  of  this  state
 any  other  state or that of any foreign government which are considered
 confidential by such agency or unit and which are in the  possession  of
 the  department  or which are otherwise confidential materials that have
 been shared by the department with any such agency or unit  and  are  in
 the possession of such agency or unit.
   §  3.  Subdivisions  1,  2,  3 and 5 of section 39 of the banking law,
 subdivisions 1, 2 and 5 as amended by chapter 123 of the  laws  of  2009
 and  subdivision  3  as  amended by chapter 155 of the laws of 2012, are
 amended to read as follows:
   1. To appear and explain an  apparent  violation.  Whenever  it  shall
 appear to the superintendent that any banking organization, bank holding
 company,  registered mortgage broker, licensed mortgage banker, LICENSED
 STUDENT LOAN SERVICER, registered mortgage loan servicer, licensed mort-
 gage loan  originator,  licensed  lender,  licensed  casher  of  checks,
 licensed sales finance company, licensed insurance premium finance agen-
 cy, licensed transmitter of money, licensed budget planner, out-of-state
 state  bank  that  maintains  a  branch or branches or representative or
 other offices in this state, or foreign banking corporation licensed  by
 the superintendent to do business or maintain a representative office in
 this  state has violated any law or regulation, he or she may, in his or
 her discretion, issue an order describing such  apparent  violation  and
 requiring  such  banking  organization, bank holding company, registered
 mortgage broker, licensed mortgage banker, LICENSED STUDENT LOAN  SERVI-
 CER, licensed mortgage loan originator, licensed lender, licensed casher
 of  checks,  licensed  sales finance company, licensed insurance premium
 finance agency, licensed transmitter of money, licensed budget  planner,
 out-of-state state bank that maintains a branch or branches or represen-
 tative or other offices in this state, or foreign banking corporation to

 S. 2008                            110                           A. 3008
 
 appear  before  him  or her, at a time and place fixed in said order, to
 present an explanation of such apparent violation.
   2.  To discontinue unauthorized or unsafe and unsound practices. When-
 ever it shall appear to the superintendent that  any  banking  organiza-
 tion,  bank  holding company, registered mortgage broker, licensed mort-
 gage banker, LICENSED STUDENT LOAN SERVICER,  registered  mortgage  loan
 servicer,  licensed  mortgage loan originator, licensed lender, licensed
 casher of checks, licensed sales  finance  company,  licensed  insurance
 premium  finance  agency, licensed transmitter of money, licensed budget
 planner, out-of-state state bank that maintains a branch or branches  or
 representative or other offices in this state, or foreign banking corpo-
 ration  licensed  by  the superintendent to do business in this state is
 conducting business in an unauthorized or unsafe and unsound manner,  he
 or  she  may,  in  his  or  her discretion, issue an order directing the
 discontinuance of such unauthorized or unsafe and unsound practices, and
 fixing a time and place at which such banking organization, bank holding
 company, registered mortgage broker, licensed mortgage banker,  LICENSED
 STUDENT LOAN SERVICER, registered mortgage loan servicer, licensed mort-
 gage  loan  originator,  licensed  lender,  licensed  casher  of checks,
 licensed sales finance company, licensed insurance premium finance agen-
 cy, licensed transmitter of money, licensed budget planner, out-of-state
 state bank that maintains a branch  or  branches  or  representative  or
 other  offices  in this state, or foreign banking corporation may volun-
 tarily appear before him or her to present any explanation in defense of
 the practices directed in said order to be discontinued.
   3. To make good impairment of capital or  to  ensure  compliance  with
 financial  requirements.  Whenever it shall appear to the superintendent
 that the capital or capital stock  of  any  banking  organization,  bank
 holding  company  or any subsidiary thereof which is organized, licensed
 or registered pursuant to this chapter, is impaired,  or  the  financial
 requirements  imposed by subdivision one of section two hundred two-b of
 this chapter or any regulation of the superintendent on  any  branch  or
 agency  of  a  foreign banking corporation or the financial requirements
 imposed by this chapter or any regulation of the superintendent  on  any
 licensed  lender,  registered mortgage broker, licensed mortgage banker,
 LICENSED STUDENT LOAN SERVICER,  licensed  casher  of  checks,  licensed
 sales  finance  company,  licensed  insurance  premium  finance  agency,
 licensed transmitter of money, licensed budget planner or private banker
 are not satisfied,  the  superintendent  may,  in  the  superintendent's
 discretion,  issue  an  order  directing that such banking organization,
 bank holding company, branch or agency of a foreign banking corporation,
 registered mortgage broker, licensed mortgage banker,  LICENSED  STUDENT
 LOAN  SERVICER,  licensed  lender,  licensed  casher of checks, licensed
 sales  finance  company,  licensed  insurance  premium  finance  agency,
 licensed transmitter of money, licensed budget planner, or private bank-
 er  make  good  such  deficiency forthwith or within a time specified in
 such order.
   5. To keep books and accounts as prescribed. Whenever it shall  appear
 to the superintendent that any banking organization, bank holding compa-
 ny,  registered  mortgage  broker,  licensed  mortgage  banker, LICENSED
 STUDENT LOAN SERVICER, registered mortgage loan servicer, licensed mort-
 gage loan  originator,  licensed  lender,  licensed  casher  of  checks,
 licensed sales finance company, licensed insurance premium finance agen-
 cy,  licensed  transmitter  of money, licensed budget planner, agency or
 branch of a foreign banking corporation licensed by  the  superintendent
 to  do  business  in this state, does not keep its books and accounts in

 S. 2008                            111                           A. 3008
 
 such manner as to enable him or her to readily ascertain its true condi-
 tion, he or she may, in his or her discretion, issue an order  requiring
 such  banking  organization,  bank  holding company, registered mortgage
 broker, licensed mortgage banker, LICENSED STUDENT LOAN SERVICER, regis-
 tered   mortgage  loan  servicer,  licensed  mortgage  loan  originator,
 licensed lender, licensed  casher  of  checks,  licensed  sales  finance
 company, licensed insurance premium finance agency, licensed transmitter
 of  money,  licensed  budget planner, or foreign banking corporation, or
 the officers or agents thereof, or any of them, to open  and  keep  such
 books  or accounts as he or she may, in his or her discretion, determine
 and prescribe for the purpose of keeping accurate and convenient records
 of its transactions and accounts.
   § 4. Paragraph (a) of subdivision 1 of section 44 of the banking  law,
 as  amended  by  chapter  155 of the laws of 2012, is amended to read as
 follows:
   (a) Without limiting any power granted to the superintendent under any
 other provision of this chapter, the superintendent may, in a proceeding
 after notice and a hearing, require any safe deposit  company,  licensed
 lender,  licensed  casher  of  checks,  licensed  sales finance company,
 licensed insurance  premium  finance  agency,  licensed  transmitter  of
 money,  licensed mortgage banker, LICENSED STUDENT LOAN SERVICER, regis-
 tered mortgage broker, licensed  mortgage  loan  originator,  registered
 mortgage  loan  servicer or licensed budget planner to pay to the people
 of this state a penalty for any violation of  this  chapter,  any  regu-
 lation  promulgated  thereunder,  any  final  or  temporary order issued
 pursuant to section thirty-nine of this article, any  condition  imposed
 in  writing  by  the  superintendent in connection with the grant of any
 application or request, or any written agreement entered into  with  the
 superintendent.
   § 5. This act shall take effect on the one hundred eightieth day after
 it shall have become a law.
 
                                  PART AA
 
   Section  1.  The banking law is amended by adding a new section 4-d to
 read as follows:
   § 4-D. PROTECTING VULNERABLE ADULTS FROM  FINANCIAL  EXPLOITATION.  1.
 DEFINITIONS. AS USED IN THIS SECTION:
   (A) "BANKING INSTITUTION" MEANS ANY BANK, TRUST COMPANY, SAVINGS BANK,
 SAVINGS AND LOAN ASSOCIATION, CREDIT UNION, OR BRANCH OF A FOREIGN BANK-
 ING  CORPORATION,  WHICH  IS  CHARTERED, ORGANIZED OR LICENSED UNDER THE
 LAWS OF THIS STATE OR ANY OTHER STATE OR THE UNITED STATES, AND, IN  THE
 ORDINARY COURSE OF BUSINESS TAKES DEPOSIT ACCOUNTS IN THIS STATE.
   (B)  "VULNERABLE  ADULT"  MEANS  AN  INDIVIDUAL WHO, BECAUSE OF MENTAL
 AND/OR PHYSICAL IMPAIRMENT IS POTENTIALLY UNABLE TO MANAGE  HIS  OR  HER
 OWN RESOURCES OR PROTECT HIMSELF OR HERSELF FROM FINANCIAL EXPLOITATION.
   (C) "FINANCIAL EXPLOITATION" MEANS: (I) THE IMPROPER TAKING, WITHHOLD-
 ING,  APPROPRIATION,  OR  USE  OF A VULNERABLE ADULT'S MONEY, ASSETS, OR
 PROPERTY; OR (II) ANY ACT OR OMISSION BY A PERSON, INCLUDING THROUGH THE
 USE OF A POWER OF ATTORNEY, GUARDIANSHIP, OR ANY OTHER AUTHORITY REGARD-
 ING A VULNERABLE ADULT TO: (A) OBTAIN CONTROL, THROUGH DECEPTION, INTIM-
 IDATION OR UNDUE INFLUENCE, OVER THE VULNERABLE ADULT'S  MONEY,  ASSETS,
 OR  PROPERTY  OR  (B)  CONVERT  THE VULNERABLE ADULT'S MONEY, ASSETS, OR
 PROPERTY.

 S. 2008                            112                           A. 3008
 
   (D) "TRANSACTION HOLD" MEANS A DELAY IN THE COMPLETION OF ONE OR  MORE
 FINANCIAL  TRANSACTIONS  PENDING  AN INVESTIGATION BY A BANKING INSTITU-
 TION, ADULT PROTECTIVE SERVICES, OR A LAW ENFORCEMENT AGENCY.
   (E)  "ADULT  PROTECTIVE  SERVICES"  MEANS THE DIVISION OF THE NEW YORK
 CITY HUMAN RESOURCES ADMINISTRATION  AND  EACH  COUNTY'S  DEPARTMENT  OF
 HUMAN  SERVICES OR DEPARTMENT OF SOCIAL SERVICES RESPONSIBLE FOR PROVID-
 ING ADULT PROTECTIVE SERVICES PURSUANT TO SECTION FOUR HUNDRED  SEVENTY-
 THREE OF THE SOCIAL SERVICES LAW.
   (F) "LAW ENFORCEMENT AGENCY" MEANS ANY AGENCY, INCLUDING THE FINANCIAL
 FRAUDS  AND  CONSUMER  PROTECTION  UNIT  OF  THE DEPARTMENT OF FINANCIAL
 SERVICES, WHICH IS EMPOWERED BY LAW TO CONDUCT AN  INVESTIGATION  OR  TO
 MAKE  AN  ARREST FOR A FELONY, AND ANY AGENCY WHICH IS AUTHORIZED BY LAW
 TO PROSECUTE OR PARTICIPATE IN THE PROSECUTION OF A FELONY.
   2. APPLICATION OF TRANSACTION  HOLD.  (A)  IF  A  BANKING  INSTITUTION
 REASONABLY  BELIEVES:  (I)  THAT  FINANCIAL EXPLOITATION OF A VULNERABLE
 ADULT MAY HAVE OCCURRED, MAY HAVE BEEN ATTEMPTED, OR IS BEING ATTEMPTED;
 AND (II) THAT THE PLACEMENT OF A TRANSACTION HOLD MAY  BE  NECESSARY  TO
 PROTECT  A  VULNERABLE ADULT'S MONEY, ASSETS, OR PROPERTY FROM FINANCIAL
 EXPLOITATION, THEN THE BANKING INSTITUTION MAY, AT ITS DISCRETION, APPLY
 A TRANSACTION HOLD ON THE ACCOUNT OF A VULNERABLE ADULT, THE ACCOUNT  ON
 WHICH  A VULNERABLE ADULT IS A BENEFICIARY, INCLUDING A TRUST OR GUARDI-
 ANSHIP ACCOUNT, OR THE ACCOUNT OF A PERSON WHO IS REASONABLY BELIEVED BY
 THE BANKING INSTITUTION TO BE ENGAGING IN THE FINANCIAL EXPLOITATION  OF
 A VULNERABLE ADULT.
   (B)  A  BANKING  INSTITUTION  MAY ALSO APPLY A TRANSACTION HOLD ON THE
 ACCOUNT OF A VULNERABLE ADULT, THE ACCOUNT ON WHICH A  VULNERABLE  ADULT
 IS  A  BENEFICIARY,  INCLUDING  A  TRUST OR GUARDIANSHIP ACCOUNT, OR THE
 ACCOUNT OF A PERSON WHO IS REASONABLY BELIEVED BY THE  BANKING  INSTITU-
 TION TO BE ENGAGING IN THE FINANCIAL EXPLOITATION OF A VULNERABLE ADULT,
 IF:  (I)  ADULT PROTECTIVE SERVICES OR A LAW ENFORCEMENT AGENCY PROVIDES
 INFORMATION TO THE BANKING INSTITUTION ESTABLISHING A  REASONABLE  BASIS
 TO  BELIEVE  THAT  FINANCIAL EXPLOITATION OF A VULNERABLE ADULT MAY HAVE
 OCCURRED, MAY HAVE BEEN ATTEMPTED, OR IS BEING ATTEMPTED; AND  (II)  THE
 PLACEMENT OF A TRANSACTION HOLD MAY BE NECESSARY TO PROTECT A VULNERABLE
 ADULT'S MONEY, ASSETS, OR PROPERTY FROM FINANCIAL EXPLOITATION.
   (C) A BANKING INSTITUTION THAT APPLIES A TRANSACTION HOLD SHALL:
   (I)  MAKE A REASONABLE EFFORT TO PROVIDE NOTICE, ORALLY OR IN WRITING,
 TO ALL PARTIES AUTHORIZED TO TRANSACT BUSINESS ON THE ACCOUNT ON WHICH A
 TRANSACTION HOLD WAS PLACED WITHIN TWO BUSINESS DAYS OF WHEN THE  TRANS-
 ACTION HOLD WAS PLACED;
   (II)  IMMEDIATELY, BUT NO LATER THAN ONE BUSINESS DAY AFTER THE TRANS-
 ACTION HOLD IS PLACED, REPORT THE TRANSACTION HOLD, INCLUDING THE  BASIS
 FOR THE BAKING INSTITUTION'S BELIEF THAT THE FINANCIAL EXPLOITATION OF A
 VULNERABLE ADULT MAY HAVE OCCURRED, MAY HAVE BEEN ATTEMPTED, OR IS BEING
 ATTEMPTED, TO ADULT PROTECTIVE SERVICES AND TO A LAW ENFORCEMENT AGENCY;
   (III) AT THE REQUEST OF ADULT PROTECTIVE SERVICES OR A LAW ENFORCEMENT
 AGENCY,  PROVIDE ALL INFORMATION AND DOCUMENTS THAT RELATE TO THE TRANS-
 ACTION HOLD WITHIN THREE BUSINESS DAYS OF THE REQUEST FOR  THE  INFORMA-
 TION OR DOCUMENTS; AND
   (IV)  NOTWITHSTANDING  THE TRANSACTION HOLD, MAKE FUNDS AVAILABLE FROM
 THE ACCOUNT ON WHICH A TRANSACTION HOLD IS PLACED TO ALLOW  THE  VULNER-
 ABLE  ADULT  OR  OTHER  ACCOUNT  HOLDER TO MEET HIS OR HER ONGOING OBLI-
 GATIONS SUCH AS HOUSING AND OTHER LIVING EXPENSES OR EMERGENCY  EXPENSES
 AS  DETERMINED BY ADULT PROTECTIVE SERVICES, A LAW ENFORCEMENT AGENCY OR
 A  NOT-FOR-PROFIT  ORGANIZATION  THAT  REGULARLY  PROVIDES  SERVICES  TO

 S. 2008                            113                           A. 3008

 VULNERABLE  ADULTS  IN  THE  COMMUNITY  IN  WHICH  THE  VULNERABLE ADULT
 RESIDES.
   (D)  DURING  THE PENDENCY OF A TRANSACTION HOLD, A BANKING INSTITUTION
 MAY, IN ITS DISCRETION, ALSO MAKE FUNDS AVAILABLE FROM  THE  ACCOUNT  ON
 WHICH  A  TRANSACTION  HOLD  IS  PLACED TO ALLOW THE VULNERABLE ADULT OR
 OTHER ACCOUNT HOLDER MEET HIS OR HER ONGOING OBLIGATIONS SUCH AS HOUSING
 AND OTHER LIVING EXPENSES OR EMERGENCY EXPENSES,  PROVIDED  THE  BANKING
 INSTITUTION  DOES  NOT  HAVE  A  REASONABLE  BASIS  TO  BELIEVE THAT THE
 DISPERSAL OF SUCH FUNDS TO THE VULNERABLE ADULT OR OTHER ACCOUNT  HOLDER
 WILL  RESULT  IN THE FINANCIAL EXPLOITATION OF THE VULNERABLE ADULT. ANY
 SUCH DISPERSAL OF FUNDS PURSUANT TO THIS SUBDIVISION SHALL  BE  REPORTED
 WITHIN  ONE BUSINESS DAY AFTER THE DISPERSAL IS MADE TO ADULT PROTECTIVE
 SERVICES AND TO A LAW ENFORCEMENT AGENCY.
   (E) THE SUPERINTENDENT MAY ADOPT REGULATIONS IDENTIFYING  THE  FACTORS
 THAT  A  BANKING INSTITUTION SHOULD CONSIDER IN DETERMINING WHETHER: (I)
 THE FINANCIAL EXPLOITATION OF A VULNERABLE ADULT MAY HAVE OCCURRED,  MAY
 HAVE  BEEN ATTEMPTED, OR IS BEING ATTEMPTED; AND (II) THE PLACEMENT OF A
 TRANSACTION HOLD IS NECESSARY TO PROTECT  A  VULNERABLE  ADULT'S  MONEY,
 ASSETS, OR PROPERTY.
   3.  DURATION  OF TRANSACTION HOLD.  (A) SUBJECT TO PARAGRAPHS (B), (C)
 AND (D) OF THIS SUBDIVISION, A TRANSACTION HOLD THAT A BANKING  INSTITU-
 TION  PLACES ON AN ACCOUNT PURSUANT TO THIS SECTION SHALL TERMINATE FIVE
 BUSINESS DAYS AFTER THE DATE ON WHICH THE TRANSACTION HOLD IS APPLIED BY
 THE BANKING INSTITUTION. A BANKING INSTITUTION MAY TERMINATE THE  TRANS-
 ACTION  HOLD  AT  ANY  TIME  DURING  THIS FIVE DAY PERIOD IF THE BANKING
 INSTITUTION IS SATISFIED THAT THE TERMINATION OF THE TRANSACTION HOLD IS
 NOT LIKELY TO RESULT IN FINANCIAL EXPLOITATION OF A VULNERABLE ADULT.
   (B) A TRANSACTION HOLD MAY BE EXTENDED BEYOND THE PERIOD SET FORTH  IN
 PARAGRAPH  (A)  OF THIS SUBDIVISION FOR UP TO AN ADDITIONAL FIFTEEN DAYS
 AT THE REQUEST OF EITHER ADULT PROTECTIVE SERVICES OR A LAW  ENFORCEMENT
 AGENCY.
   (C) A TRANSACTION HOLD MAY BE EXTENDED BEYOND THE PERIODS SET FORTH IN
 PARAGRAPHS  (A)  AND  (B)  OF THIS SUBDIVISION ONLY PURSUANT TO AN ORDER
 ISSUED BY A COURT OF COMPETENT JURISDICTION.
   (D) A TRANSACTION HOLD MAY BE TERMINATED AT ANY TIME PURSUANT AN ORDER
 ISSUED BY A COURT OF COMPETENT JURISDICTION.
   4. IMMUNITY. A BANKING INSTITUTION OR AN EMPLOYEE OF A BANKING  INSTI-
 TUTION  SHALL BE IMMUNE FROM CRIMINAL, CIVIL, AND ADMINISTRATIVE LIABIL-
 ITY FOR ALL GOOD FAITH ACTIONS IN RELATION TO THE  APPLICATION  OF  THIS
 SECTION  INCLUDING  ANY GOOD FAITH DETERMINATION TO APPLY OR NOT APPLY A
 TRANSACTION HOLD ON AN ACCOUNT.  WHERE  THERE  IS  REASONABLE  BASIS  TO
 CONCLUDE: (A) THAT FINANCIAL EXPLOITATION OF A VULNERABLE ADULT MAY HAVE
 OCCURRED,  MAY  HAVE BEEN ATTEMPTED, OR IS BEING ATTEMPTED; AND (B) THAT
 THE PLACEMENT OF A TRANSACTION  HOLD  MAY  BE  NECESSARY  TO  PROTECT  A
 VULNERABLE  ADULT'S  MONEY, ASSETS, OR PROPERTY FROM FINANCIAL EXPLOITA-
 TION, SUCH IMMUNITY SHALL NOT APPLY TO A DETERMINATION NOT  TO  APPLY  A
 TRANSACTION HOLD WHEN THE BANKING INSTITUTION OR EMPLOYEE ACTS RECKLESS-
 LY  OR ENGAGES IN INTENTIONAL MISCONDUCT IN MAKING THE DETERMINATION, OR
 THE DETERMINATION RESULTS FROM A CONFLICT OF INTEREST.
   5. CERTIFICATION PROGRAM.  THE  DEPARTMENT  MAY  DEVELOP  A  FINANCIAL
 EXPLOITATION   CERTIFICATION  PROGRAM  FOR  BANKING  INSTITUTIONS.  UPON
 COMPLETION OF THE TRAINING COMPONENTS REQUIRED BY THE PROGRAM AND  AFTER
 ESTABLISHING  THE  NECESSARY INTERNAL POLICIES, PROCEDURES, AND IN-HOUSE
 TRAINING PROGRAMS, A BANKING INSTITUTION SHALL RECEIVE FROM THE  DEPART-
 MENT  AN ADULT FINANCIAL EXPLOITATION PREVENTION CERTIFICATE DEMONSTRAT-
 ING THAT STAFF AT SUCH BANKING INSTITUTION HAVE BEEN TRAINED ON  HOW  TO

 S. 2008                            114                           A. 3008
 
 IDENTIFY,  HELP  PREVENT,  AND  REPORT  THE  FINANCIAL EXPLOITATION OF A
 VULNERABLE ADULT. AT THE DISCRETION OF THE SUPERINTENDENT,  THE  CERTIF-
 ICATION  PROGRAM  MAY  BE MANDATORY FOR BANKING INSTITUTIONS LICENSED BY
 THE DEPARTMENT.
   6.  REGULATIONS.  THE  SUPERINTENDENT  MAY  ISSUE SUCH RULES AND REGU-
 LATIONS THAT PROVIDE THE PROCEDURES FOR THE ENFORCEMENT OF THE TERMS  OF
 THIS  SECTION  AND  ANY OTHER RULES AND REGULATIONS THAT HE OR SHE DEEMS
 NECESSARY TO IMPLEMENT THE TERMS OF THIS SECTION.
   § 2. This act shall take effect on the one hundred eightieth day after
 it shall have become a law.
 
                                  PART BB
 
   Section 1. The financial services law  is  amended  by  adding  a  new
 section 105 to read as follows:
   §  105. DISQUALIFICATION. (A) DEFINITIONS. (1) COVERED INDIVIDUAL. THE
 TERM "COVERED INDIVIDUAL," WHEN USED IN THIS SECTION, MEANS (A) AN INDI-
 VIDUAL OPERATING UNDER OR REQUIRED TO OPERATE UNDER A LICENSE, REGISTRA-
 TION, PERMIT CERTIFICATION OR  AUTHORIZATION  UNDER  THIS  CHAPTER,  THE
 BANKING  LAW,  THE  INSURANCE LAW, OR THE REGULATIONS PROMULGATED THERE-
 UNDER, (B) AN OWNER, DIRECTOR, TRUSTEE,  OFFICER,  EMPLOYEE,  MEMBER  OR
 PARTNER  OF  A COVERED ENTITY, OR (C) AN INDIVIDUAL OTHERWISE ENGAGED IN
 THE BUSINESS OF BANKING, INSURANCE OR FINANCIAL SERVICES IN THE STATE.
   (2) COVERED ENTITY. THE TERM  "COVERED  ENTITY,"  WHEN  USED  IN  THIS
 SECTION,  MEANS  ANY  ENTITY  (A) OPERATING UNDER OR REQUIRED TO OPERATE
 UNDER A LICENSE,  REGISTRATION,  PERMIT,  CERTIFICATE  OR  AUTHORIZATION
 UNDER  THE BANKING LAW OR THE INSURANCE LAW; (B) AUTHORIZED, ACCREDITED,
 CHARTERED OR INCORPORATED OR POSSESSING OR  REQUIRED  TO  POSSESS  OTHER
 SIMILAR  STATUS  UNDER  THE BANKING LAW, OR THE INSURANCE LAW; (C) REGU-
 LATED BY THE SUPERINTENDENT PURSUANT  TO  THIS  CHAPTER;  (D)  THAT  HAS
 SUBMITTED AN APPLICATION TO THE SUPERINTENDENT (I) FOR A LICENSE, REGIS-
 TRATION,  PERMIT,  CERTIFICATE OR AUTHORIZATION UNDER THE BANKING LAW OR
 THE INSURANCE LAW, (II)  TO  BE  AUTHORIZED,  ACCREDITED,  CHARTERED  OR
 INCORPORATED  UNDER THE BANKING LAW, OR THE INSURANCE LAW OR TO BE REGU-
 LATED PURSUANT TO THIS CHAPTER.
   (3) DISQUALIFYING EVENT. FOR PURPOSES OF THIS SECTION,  AN  INDIVIDUAL
 COMMITS A "DISQUALIFYING EVENT," WHEN HE OR SHE:
   (A)  HAS  VIOLATED  A WRITTEN AGREEMENT BETWEEN THE SUPERINTENDENT AND
 THE COVERED INDIVIDUAL;
   (B) HAS WILLFULLY VIOLATED AN AGREEMENT BETWEEN THE SUPERINTENDENT AND
 A COVERED ENTITY;
   (C) HAS ENGAGED OR PARTICIPATED IN ANY UNSAFE OR UNSOUND  PRACTICE  IN
 CONNECTION WITH ANY COVERED ENTITY;
   (D)  HAS  WILLFULLY  MADE  OR  CAUSED  TO  BE MADE IN ANY APPLICATION,
 FILING, OR SUBMISSION WITH THE SUPERINTENDENT, ANY STATEMENT  WHICH  WAS
 AT  THE  TIME  AND  IN THE LIGHT OF THE CIRCUMSTANCES UNDER WHICH IT WAS
 MADE FALSE OR MISLEADING WITH RESPECT TO ANY MATERIAL FACT, OR HAS OMIT-
 TED TO STATE IN ANY SUCH APPLICATION OR REPORT ANY MATERIAL  FACT  WHICH
 IS REQUIRED TO BE STATED THEREIN;
   (E)  HAS BEEN CONVICTED WITHIN FIVE YEARS OF ANY FELONY OR MISDEMEANOR
 THAT:
   (I) INVOLVES THE PURCHASE OR SALE OF ANY FINANCIAL PRODUCT OR SERVICE,
 THE TAKING OF A FALSE OATH, THE  MAKING  OF  A  FALSE  REPORT,  BRIBERY,
 PERJURY, BURGLARY, ANY SUBSTANTIALLY EQUIVALENT ACTIVITY HOWEVER DENOMI-
 NATED, OR CONSPIRACY TO COMMIT ANY SUCH OFFENSE;

 S. 2008                            115                           A. 3008
 
   (II)  ARISES OUT OF THE CONDUCT OF THE BUSINESS OF A COVERED ENTITY OR
 IN CONNECTION WITH THE PROMOTION, SALE OR DELIVERY OF A FINANCIAL  PROD-
 UCT OR SERVICE;
   (III)  INVOLVES THE LARCENY, THEFT, ROBBERY, EXTORTION, FORGERY, COUN-
 TERFEITING, FRAUDULENT CONCEALMENT, EMBEZZLEMENT, FRAUDULENT CONVERSION,
 OR MISAPPROPRIATION OF FUNDS, OR SECURITIES, OR SUBSTANTIALLY EQUIVALENT
 ACTIVITY HOWEVER DENOMINATED; OR
   (IV) HAS A DIRECT BEARING ON THE INDIVIDUAL'S FITNESS  OR  ABILITY  TO
 PERFORM  ONE  OR  MORE  OF  THE  DUTIES  OR RESPONSIBILITIES NECESSARILY
 RELATED TO THE LICENSE, POSITION, OR JOB IN QUESTION;
   (F) HAS BEEN FOUND BY A  FEDERAL  FINANCIAL  REGULATORY  AUTHORITY,  A
 STATE  FINANCIAL REGULATORY AUTHORITY, OR A FOREIGN FINANCIAL REGULATORY
 AUTHORITY THAT IS RECOGNIZED BY THE SUPERINTENDENT AS SUCH TO HAVE:
   (I) MADE OR CAUSED TO BE MADE IN ANY APPLICATION FOR  REGISTRATION  OR
 REPORT  REQUIRED TO BE FILED WITH THE FINANCIAL REGULATORY AUTHORITY, OR
 IN ANY PROCEEDING BEFORE THE FINANCIAL REGULATORY AUTHORITY WITH RESPECT
 TO REGISTRATION, ANY STATEMENT THAT WAS AT THE TIME AND IN THE LIGHT  OF
 THE  CIRCUMSTANCES  UNDER  WHICH  IT  WAS  MADE FALSE OR MISLEADING WITH
 RESPECT TO ANY MATERIAL FACT, OR HAS OMITTED TO STATE IN ANY APPLICATION
 OR REPORT TO THE FINANCIAL REGULATORY AUTHORITY ANY MATERIAL  FACT  THAT
 IS REQUIRED TO BE STATED THEREIN; OR
   (II)  VIOLATED  ANY  BANKING  LAW,  OR STATUTE OR REGULATION REGARDING
 TRANSACTIONS IN SECURITIES, OR CONTRACTS OF  SALE  OF  A  COMMODITY  FOR
 FUTURE  DELIVERY, TRADED ON OR SUBJECT TO THE RULES OF A CONTRACT MARKET
 OR ANY BOARD OF TRADE; OR
   (G) IS SUBJECT TO ANY FINAL ORDER OF ANY FEDERAL FINANCIAL  REGULATORY
 AUTHORITY,  A  STATE FINANCIAL REGULATORY AUTHORITY, OR A FOREIGN FINAN-
 CIAL REGULATORY AUTHORITY THAT IS RECOGNIZED BY  THE  SUPERINTENDENT  AS
 SUCH THAT:
   (I) BARS SUCH PERSON FROM ASSOCIATION WITH AN ENTITY REGULATED BY SUCH
 COMMISSION, AUTHORITY, AGENCY, OR OFFICER, OR FROM ENGAGING IN THE BUSI-
 NESS  OF SECURITIES, INSURANCE, BANKING, SAVINGS ASSOCIATION ACTIVITIES,
 OR CREDIT UNION ACTIVITIES; OR
   (II) CONSTITUTES A FINAL ORDER BASED ON  VIOLATIONS  OF  ANY  LAWS  OR
 REGULATIONS   THAT  PROHIBITS  FRAUDULENT,  MANIPULATIVE,  OR  DECEPTIVE
 CONDUCT.
   (B) DISQUALIFICATION. WITHOUT LIMITING ANY POWER GRANTED TO THE SUPER-
 INTENDENT UNDER ANY OTHER PROVISION OF STATE OR FEDERAL LAW, (1) WHENEV-
 ER THE SUPERINTENDENT HAS REASON TO BELIEVE THAT  A  COVERED  INDIVIDUAL
 HAS  COMMITTED A DISQUALIFYING EVENT THAT IS OF SUCH SEVERITY AS TO HAVE
 A DIRECT BEARING ON THE INDIVIDUAL'S FITNESS OR ABILITY TO (A) SERVE  AS
 AN  OWNER,  DIRECTOR, TRUSTEE, OFFICER, EMPLOYEE, MEMBER OR PARTNER OF A
 COVERED ENTITY OR HAVING ANY ASSOCIATION WITH A COVERED ENTITY, (B) HOLD
 ANY LICENSE, REGISTRATION, PERMIT, CERTIFICATION OR AUTHORIZATION ISSUED
 BY THE DEPARTMENT, OR (C) OTHERWISE ENGAGE IN THE BUSINESS  OF  BANKING,
 INSURANCE,  OR  FINANCIAL  SERVICES IN THE STATE, (2) THE SUPERINTENDENT
 MAY SERVE A STATEMENT OF THE CHARGES AGAINST SUCH COVERED INDIVIDUAL AND
 A NOTICE OF AN OPPORTUNITY TO APPEAR BEFORE THE SUPERINTENDENT  TO  SHOW
 CAUSE  WHY  HE  OR SHE SHOULD NOT BE DISQUALIFIED FROM (A) SERVING AS AN
 OWNER, DIRECTOR, TRUSTEE, OFFICER, EMPLOYEE,  MEMBER  OR  PARTNER  OF  A
 COVERED  ENTITY  OR  HAVING  ANY  ASSOCIATION WITH A COVERED ENTITY, (B)
 HOLDING ANY LICENSE, REGISTRATION,  PERMIT,  CERTIFICATION  OR  AUTHORI-
 ZATION  ISSUED BY THE DEPARTMENT, OR (C) OTHERWISE ENGAGING IN THE BUSI-
 NESS OF BANKING, INSURANCE, OR FINANCIAL SERVICES IN THE STATE.
   (C) ORDER OF DISQUALIFICATION. WITHOUT LIMITING ANY POWER  GRANTED  TO
 THE SUPERINTENDENT UNDER ANY OTHER PROVISION OF STATE OR FEDERAL LAW, IF

 S. 2008                            116                           A. 3008
 
 SUCH  COVERED  INDIVIDUAL WAIVES A HEARING, OR FAILS TO APPEAR IN PERSON
 OR BY A DULY AUTHORIZED REPRESENTATIVE WITHOUT GOOD CAUSE SHOWN  AT  THE
 TIME  AND  PLACE  SET  FOR  THE  HEARING OR, IF AFTER A HEARING, (1) THE
 SUPERINTENDENT  FINDS  THAT  THE  COVERED  INDIVIDUAL  HAS  ENGAGED IN A
 DISQUALIFYING EVENT THAT IS OF SUCH SEVERITY AS TO HAVE A DIRECT BEARING
 ON THE INDIVIDUAL'S FITNESS OR ABILITY TO (A) SERVE AS AN OWNER,  DIREC-
 TOR,  TRUSTEE,  OFFICER, EMPLOYEE, MEMBER OR PARTNER OF A COVERED ENTITY
 OR HAVING ANY ASSOCIATION WITH A COVERED ENTITY, (B) HOLD  ANY  LICENSE,
 REGISTRATION,  PERMIT,  CERTIFICATION  OR  AUTHORIZATION  ISSUED  BY THE
 DEPARTMENT, OR (C) OTHERWISE ENGAGE IN THE BUSINESS OF  BANKING,  INSUR-
 ANCE,  OR  FINANCIAL  SERVICES  IN THE STATE, (2) THE SUPERINTENDENT MAY
 ISSUE AN ORDER DISQUALIFYING THE COVERED INDIVIDUAL FROM (A) SERVING  AS
 AN  OWNER,  DIRECTOR, TRUSTEE, OFFICER, EMPLOYEE, MEMBER OR PARTNER OF A
 COVERED ENTITY OR HAVING ANY ASSOCIATION  WITH  A  COVERED  ENTITY,  (B)
 HOLDING  ANY  LICENSE,  REGISTRATION,  PERMIT, CERTIFICATION OR AUTHORI-
 ZATION ISSUED BY THE DEPARTMENT, OR (C) OTHERWISE ENGAGING IN THE  BUSI-
 NESS  OF  BANKING,  INSURANCE,  OR FINANCIAL SERVICES IN THE STATE. SUCH
 ORDER OF DISQUALIFICATION MAY ALSO  PROHIBIT  THE  COVERED  INDIVIDUAL'S
 PERFORMANCE  OF ANY CONTRACTUAL AGREEMENTS WITH ANY COVERED ENTITY. SUCH
 ORDER OF DISQUALIFICATION MAY BE FOR THE COVERED  INDIVIDUAL'S  LIFETIME
 OR  FOR ANY SHORTER PERIOD DETERMINED BY THE SUPERINTENDENT TO BE IN THE
 PUBLIC'S INTEREST. ANY ORDER ISSUED PURSUANT TO THIS SUBSECTION AND  THE
 FINDINGS  OF  FACT  UPON  WHICH  IT  IS  BASED MAY NOT BE MADE PUBLIC OR
 DISCLOSED TO ANYONE, EXCEPT AS PROVIDED IN SUBDIVISION  TEN  OF  SECTION
 THIRTY-SIX  OF  THE  BANKING LAW OR IN CONNECTION WITH PROCEEDINGS FOR A
 VIOLATION OF THIS SECTION.
   (D) SUSPENSION PENDING DETERMINATION OF  CHARGES.  (1)  IN  CONNECTION
 WITH,  OR  AT  ANY  TIME AFTER SERVICE OF THE WRITTEN NOTICE PURSUANT TO
 SUBSECTION (B) OF THIS SECTION, THE SUPERINTENDENT  MAY  SUSPEND  FOR  A
 PERIOD  OF  UP  TO ONE HUNDRED EIGHTY DAYS, PENDING THE DETERMINATION OF
 THE CHARGES, A COVERED INDIVIDUAL FROM SERVING AS A  DIRECTOR,  TRUSTEE,
 OFFICER,  EMPLOYEE,  MEMBER OR PARTNER OF A COVERED ENTITY OR HAVING ANY
 ASSOCIATION WITH A COVERED ENTITY; OR HOLDING ANY LICENSE, REGISTRATION,
 CERTIFICATION OR AUTHORIZATION ISSUED BY THE DEPARTMENT, IF  THE  SUPER-
 INTENDENT  HAS  REASON  TO  BELIEVE THAT BY REASON OF THE CONDUCT GIVING
 RISE TO THE ALLEGED DISQUALIFYING EVENT:
   (A) A COVERED ENTITY HAS SUFFERED OR WILL  PROBABLY  SUFFER  FINANCIAL
 LOSS;
   (B)  THE  INTERESTS OF THE DEPOSITORS AT A COVERED ENTITY HAVE BEEN OR
 COULD BE PREJUDICED; OR
   (C) THE COVERED INDIVIDUAL  DEMONSTRATES  WILLFUL  DISREGARD  FOR  THE
 SAFETY AND SOUNDNESS OF A COVERED ENTITY.
   (2)  THE SUPERINTENDENT MAY EXTEND THE SUSPENSION FOR ADDITIONAL PERI-
 ODS OF UP TO ONE HUNDRED EIGHTY DAYS IF THE HEARING  CONDUCTED  PURSUANT
 TO  SUBSECTION  (C)  OF  THIS  SECTION IS NOT COMPLETED WITHIN THE PRIOR
 SUSPENSION PERIOD DUE TO THE REQUEST OF THE COVERED INDIVIDUAL.
   (3) ANY SUSPENSION ORDER ISSUED  PURSUANT  TO  THIS  SUBSECTION  SHALL
 BECOME  EFFECTIVE UPON SERVICE, UNLESS IT IS AMENDED OR RESCINDED BY THE
 SUPERINTENDENT OR A COURT OF COMPETENT JURISDICTION, OR REPLACED  BY  AN
 ORDER ISSUED PURSUANT TO SUBSECTION (C) OF THIS SECTION. SUCH SUSPENSION
 ORDER MAY BE REVIEWED IN THE MANNER PROVIDED BY ARTICLE SEVENTY-EIGHT OF
 THE CIVIL PRACTICE LAW AND RULES.
   (E) RULES AND REGULATIONS. THE SUPERINTENDENT MAY ISSUE SUCH RULES AND
 REGULATIONS  AS  ARE  NECESSARY  TO  IMPLEMENT  THE  PROVISIONS  OF THIS
 SECTION.
   § 2. This act shall take effect January 1, 2018.

 S. 2008                            117                           A. 3008
 
                                  PART CC
 
   Section 1. The banking law is amended by adding a new section 340-a to
 read as follows:
   §  340-A.  EXEMPTION FOR CERTAIN LENDERS AND PARTNERING ORGANIZATIONS.
 1. FOR PURPOSES OF THIS SECTION:
   (A) "EXEMPT ENTITY" SHALL MEAN AN ENTITY EXEMPTED PURSUANT TO SUBDIVI-
 SION TWO OF THIS SECTION.
   (B) "LIMITED LENDING ACTIVITY" SHALL MEAN THE LENDING OF MONEY  TO  AN
 INDIVIDUAL  BORROWER  FOR WHICH NO INTEREST OR FEES, EXCEPT AS OTHERWISE
 PROVIDED FOR IN THIS SECTION, ARE CHARGED AND FOR WHICH THE BORROWER MAY
 MAKE FULL OR PARTIAL REPAYMENT OF THE LOAN PRIOR TO THE DISBURSEMENT  OF
 THE LOAN PROCEEDS.
   2. NOTWITHSTANDING THIS SECTION AND SECTIONS ONE, TEN, FOURTEEN, THIR-
 TY-SIX-B AND THIRTY-EIGHT OF THIS CHAPTER, THE SUPERINTENDENT MAY  ALLOW
 AN ENTITY TO ENGAGE IN LIMITED LENDING ACTIVITY WITHOUT BEING SUBJECT TO
 THE REQUIREMENTS OF THIS CHAPTER, IF THE ENTITY:
   (A) ENGAGES IN NO ACTIVITY REGULATED BY THIS CHAPTER EXCEPT THE MAKING
 OF ZERO-INTEREST LOANS AND ANY ACTIVITY INCIDENTAL THERETO;
   (B)  IS  EXEMPT FROM FEDERAL INCOME TAXES UNDER SECTION 501 (C) (3) OF
 THE INTERNAL REVENUE CODE AND IS ORGANIZED AND OPERATED EXCLUSIVELY  FOR
 ONE  OR  MORE  OF  THE  PURPOSES DESCRIBED IN SECTION 501 (C) (3) OF THE
 INTERNAL REVENUE CODE;
   (C) PAYS NO PART OF ITS NET EARNINGS TO A PRIVATE SHAREHOLDER OR INDI-
 VIDUAL;
   (D) PAYS OR RECEIVES NO BROKER'S FEE IN CONNECTION WITH ANY LOAN  THAT
 IT MAKES; AND
   (E) SATISFIES THE OTHER REQUIREMENTS SET FORTH IN THIS SECTION.
   3.  (A)  AN  APPLICATION TO OPERATE AS AN EXEMPT ENTITY SHALL BE FILED
 WITH THE SUPERINTENDENT, IN A MANNER PRESCRIBED BY  THE  SUPERINTENDENT,
 ALONG  WITH A FEE IN THE AMOUNT OF FIVE HUNDRED DOLLARS. THE SUPERINTEN-
 DENT SHALL  INVESTIGATE  THE  FINANCIAL  CONDITION  AND  RESPONSIBILITY,
 FINANCIAL  AND BUSINESS EXPERIENCE, CHARACTER AND GENERAL FITNESS OF THE
 APPLICANT AND, IF THE SUPERINTENDENT FINDS THESE QUALITIES ARE  SUCH  AS
 TO  WARRANT  THE  BELIEF THAT THE APPLICANT'S BUSINESS WILL BE CONDUCTED
 HONESTLY,  FAIRLY,  EQUITABLY,  CAREFULLY  AND  EFFICIENTLY  WITHIN  THE
 PURPOSES  AND  INTENT  OF  THIS  SECTION, AND IN A MANNER COMMANDING THE
 CONFIDENCE AND TRUST OF THE COMMUNITY, THE SUPERINTENDENT  SHALL  ADVISE
 THE  APPLICANT IN WRITING OF THE SUPERINTENDENT'S APPROVAL OF THE APPLI-
 CATION FOR AN EXEMPTION PURSUANT TO  THIS  SECTION.  THE  SUPERINTENDENT
 MAY, IN HIS OR HER DISCRETION, REFUSE TO GRANT AN EXEMPTION IF HE OR SHE
 FINDS THAT ONE OR MORE OF THE PROVISIONS OF THIS SECTION WERE NOT MET OR
 ARE NOT BEING MET BY THE APPLICANT OR THAT DENIAL OF THE EXEMPTION IS IN
 THE BEST INTERESTS OF THE PUBLIC.
   (B)  THE  SUPERINTENDENT  MAY  SUSPEND OR REVOKE ANY EXEMPTION GRANTED
 PURSUANT TO THIS SECTION, IF HE OR SHE FINDS THAT:
   (I) ANY SUCH ENTITY, KNOWINGLY OR WITHOUT THE EXERCISE OF DUE CARE  TO
 PREVENT  SUCH  VIOLATION,  HAS VIOLATED ANY PROVISION OF THIS SECTION OR
 ARTICLE, OR HAS FAILED TO COMPLY WITH ANY DEMAND, OR REQUIREMENT MADE BY
 THE SUPERINTENDENT;
   (II) THERE HAS BEEN ANY MATERIAL MISSTATEMENT OR  FAILURE  TO  GIVE  A
 TRUE AND CORRECT ANSWER IN AN APPLICATION OR IN RESPONSE TO ANY QUESTION
 POSED BY THE SUPERINTENDENT;
   (III) THE EXEMPT ENTITY HAS DEFRAUDED ANY BORROWER OR WILLFULLY FAILED
 TO PERFORM ANY WRITTEN AGREEMENT WITH SUCH PERSON; OR

 S. 2008                            118                           A. 3008
 
   (IV) ANY FACT OR CONDITION EXISTS WHICH, IF IT HAD EXISTED AT THE TIME
 OF  THE  ORIGINAL APPLICATION FOR AN EXEMPTION, WOULD HAVE WARRANTED THE
 SUPERINTENDENT TO REFUSE TO GRANT SUCH EXEMPTION.
   (C)  EXCEPT  AS  PROVIDED FOR IN PARAGRAPH (D) OF THIS SUBDIVISION, NO
 EXEMPTION GRANTED HEREUNDER SHALL BE SUSPENDED OR REVOKED EXCEPT AFTER A
 HEARING. THE SUPERINTENDENT SHALL GIVE THE EXEMPT ENTITY  AT  LEAST  TEN
 DAYS  WRITTEN NOTICE OF THE TIME AND PLACE OF SUCH HEARING BY REGISTERED
 MAIL ADDRESSED TO THE PRINCIPAL PLACE OF BUSINESS OF THE EXEMPT  ENTITY.
 ANY  ORDER  SUSPENDING OR REVOKING AN EXEMPTION SHALL RECITE THE GROUNDS
 UPON WHICH IT IS BASED AND SHALL NOT BE EFFECTIVE UNTIL TEN  DAYS  AFTER
 WRITTEN  NOTICE  HAS BEEN SENT BY REGISTERED MAIL TO THE EXEMPT ENTITY'S
 PRINCIPAL PLACE OF BUSINESS.
   (D) UPON, OR AT ANY TIME AFTER SERVICE OF WRITTEN NOTICE  PURSUANT  TO
 PARAGRAPH (C) OF THIS SUBDIVISION, THE SUPERINTENDENT MAY SUSPEND, PEND-
 ING  THE  DETERMINATION  OF THE CHARGES, AN EXEMPTION ISSUED PURSUANT TO
 THIS SECTION IF THE SUPERINTENDENT HAS REASON TO BELIEVE THAT AN  EXEMPT
 ENTITY:
   (I)  HAS  DEFAULTED  OR IS LIKELY TO DEFAULT IN THE PERFORMANCE OF ITS
 FINANCIAL ENGAGEMENTS;
   (II) IS ENGAGING IN DISHONEST OR INEQUITABLE PRACTICES; OR
   (III) POSES A SUBSTANTIAL HARM TO THE PERSONS AFFORDED THE  PROTECTION
 OF THIS SECTION.
   4.  (A)  EVERY  EXEMPT  ENTITY  SHALL MAINTAIN RECORDS RELATING TO ITS
 LENDING ACTIVITIES FOR AT LEAST FIVE YEARS.
   (B) EVERY EXEMPT ENTITY SHALL FILE AN ANNUAL REPORT  WITH  THE  SUPER-
 INTENDENT ON OR BEFORE MARCH FIFTEENTH OF EACH YEAR, CONTAINING INFORMA-
 TION  THAT  THE SUPERINTENDENT REQUIRES CONCERNING LENDING ACTIVITIES BY
 THE ENTITY, INCLUDING ANY LOANS FACILITATED BY  A  PARTNERING  NONPROFIT
 ORGANIZATION  DESCRIBED  IN SUBDIVISION THIRTEEN OF THIS SECTION, WITHIN
 THE STATE DURING THE PRECEDING CALENDAR YEAR.
   5. EVERY LOAN MADE BY AN EXEMPT ENTITY SHALL COMPLY WITH THE FOLLOWING
 REQUIREMENTS:
   (A) THE LOAN SHALL BE UNSECURED.
   (B) NO INTEREST MAY BE IMPOSED.
   (C) EXCEPT FOR A REIMBURSEMENT OF UP TO TEN DOLLARS TO COVER AN INSUF-
 FICIENT FUNDS FEE INCURRED BY AN EXEMPT ENTITY DUE  TO  ACTIONS  OF  THE
 BORROWER,  NO ADMINISTRATIVE OR OTHER FEES MAY BE IMPOSED ON A BORROWER.
 NO EXEMPT ENTITY SHALL CHARGE MORE THAN TWO INSUFFICIENT FUNDS  FEES  TO
 THE SAME BORROWER IN A SINGLE MONTH.
   (D)  THE  FOLLOWING  INFORMATION SHALL BE DISCLOSED TO THE BORROWER IN
 WRITING, IN A TYPEFACE NO SMALLER THAN  TWELVE-POINT  TYPE  AND  IN  THE
 PRIMARY  LANGUAGE  OF  THE BORROWER, AT THE TIME THE LOAN APPLICATION IS
 RECEIVED BY THE EXEMPT ENTITY:
   (I) THE AMOUNT TO BE BORROWED, THAT NO INTEREST WILL BE CHARGED ON THE
 LOAN, AND THE TOTAL DOLLAR COST OF THE LOAN TO THE BORROWER IF THE  LOAN
 IS  PAID  BACK  ON  TIME,  INCLUDING  THE PRINCIPAL AMOUNT BORROWED, THE
 REPAYMENT INSTALLMENT AMOUNT, THE FREQUENCY OF PAYMENT, AND THE INSUFFI-
 CIENT FUNDS FEE, IF APPLICABLE; AND
   (II) AN EXPLANATION  OF  WHETHER,  AND  UNDER  WHAT  CIRCUMSTANCES,  A
 BORROWER MAY EXIT A LOAN AGREEMENT.
   (E) THE PRINCIPAL AMOUNT UPON ORIGINATION OF THE LOAN SHALL BE NO LESS
 THAN  TWO  HUNDRED  FIFTY  DOLLARS  AND  NO  MORE THAN TWO THOUSAND FIVE
 HUNDRED DOLLARS, AND A TERM OF NOT LESS THAN THE FOLLOWING:
   (I) NINETY DAYS FOR LOANS WHOSE PRINCIPAL BALANCE UPON ORIGINATION  IS
 LESS THAN FIVE HUNDRED DOLLARS;

 S. 2008                            119                           A. 3008
 
   (II)  ONE  HUNDRED  TWENTY DAYS FOR LOANS WHOSE PRINCIPAL BALANCE UPON
 ORIGINATION IS AT LEAST FIVE HUNDRED DOLLARS, BUT IS LESS THAN ONE THOU-
 SAND FIVE HUNDRED DOLLARS; OR
   (III)  ONE  HUNDRED EIGHTY DAYS FOR LOANS WHOSE PRINCIPAL BALANCE UPON
 ORIGINATION IS AT LEAST ONE THOUSAND FIVE HUNDRED DOLLARS.
   6. THE EXEMPT ENTITY MAY RESTRUCTURE A BORROWER'S  LOAN  ONLY  IF  THE
 LOAN  AS RESTRUCTURED CONTINUES TO COMPLY WITH THE REQUIREMENTS IN PARA-
 GRAPHS (A), (B) AND (C) OF SUBDIVISION FIVE OF THIS SECTION.
   7. AN EXEMPT ENTITY SHALL NOT SELL OR ASSIGN UNPAID DEBT  ARISING  OUT
 OF  ANY  LOANS  MADE  PURSUANT TO THE AUTHORITY OF THIS SECTION TO THIRD
 PARTIES FOR COLLECTION.
   8. PRIOR TO DISBURSEMENT OF LOAN PROCEEDS, THE EXEMPT ENTITY SHALL  AT
 NO COST TO THE BORROWER EITHER:
   (A) PROVIDE A CREDIT EDUCATION PROGRAM OR SEMINAR TO THE BORROWER THAT
 HAS  BEEN PREVIOUSLY REVIEWED AND APPROVED BY THE SUPERINTENDENT FOR USE
 IN COMPLYING WITH THIS SECTION; OR
   (B) OBTAIN EVIDENCE THAT THE BORROWER HAS ATTENDED A CREDIT  EDUCATION
 PROGRAM  OR  SEMINAR OFFERED BY AN INDEPENDENT THIRD PARTY THAT HAS BEEN
 PREVIOUSLY REVIEWED AND  APPROVED  BY  THE  SUPERINTENDENT  FOR  USE  IN
 COMPLYING WITH THIS SECTION.
   9.  AN  EXEMPT ENTITY SHALL REPORT EACH BORROWER'S PAYMENT PERFORMANCE
 TO AT LEAST ONE CONSUMER REPORTING AGENCY THAT  COMPILES  AND  MAINTAINS
 FILES  ON CONSUMERS ON A NATIONWIDE BASIS. FOR PURPOSES OF THIS SECTION,
 A CONSUMER REPORTING AGENCY THAT COMPILES AND MAINTAINS FILES ON CONSUM-
 ERS ON A NATIONWIDE BASIS IS ONE THAT MEETS THE  DEFINITION  IN  SECTION
 603(P)  OF  THE  FEDERAL  FAIR  CREDIT  REPORTING  ACT  (15  U.S.C. SEC.
 1681A(P)). ANY EXEMPT ENTITY THAT IS ACCEPTED AS A DATA FURNISHER  SHALL
 REPORT  ALL  BORROWER PAYMENT PERFORMANCE SINCE THE INCEPTION OF LENDING
 BY SUCH ENTITY, AS SOON AS PRACTICABLE AFTER SUCH INDIVIDUAL IS ACCEPTED
 INTO THE EXEMPT ENTITY'S LENDING PROGRAM, BUT IN NO EVENT MORE THAN  SIX
 MONTHS AFTER ITS ACCEPTANCE INTO THE PROGRAM.
   10. THE EXEMPT ENTITY SHALL UNDERWRITE EACH LOAN AND SHALL ENSURE THAT
 A  LOAN  IS NOT MADE IF, THROUGH ITS UNDERWRITING, THE ENTITY DETERMINES
 THAT THE BORROWER'S TOTAL MONTHLY DEBT SERVICE PAYMENTS, AT THE TIME  OF
 LOAN  ORIGINATION,  INCLUDING  THE  LOAN FOR WHICH THE BORROWER IS BEING
 CONSIDERED, AND ACROSS ALL OUTSTANDING FORMS OF CREDIT THAT CAN BE INDE-
 PENDENTLY VERIFIED BY THE EXEMPT ENTITY, EXCEEDS FIFTY  PERCENT  OF  THE
 BORROWER'S  GROSS  MONTHLY  HOUSEHOLD  INCOME, UNLESS A LESSER AMOUNT IS
 MANDATED BY SUBPARAGRAPH (III) OF PARAGRAPH (C) OF THIS SUBDIVISION. THE
 EXEMPT ENTITY SHALL IN EVERY CASE:
   (A) OBTAIN INFORMATION  AND  DOCUMENTATION  PERTAINING  TO  ALL  OF  A
 BORROWER'S  OUTSTANDING DEBT OBLIGATIONS DURING THE LOAN APPLICATION AND
 UNDERWRITING PROCESS, INCLUDING BUT NOT LIMITED TO VERIFIED  INFORMATION
 FROM  A  CREDIT  REPORT AND LOANS THAT ARE SELF-REPORTED BY THE BORROWER
 BUT NOT AVAILABLE THROUGH INDEPENDENT VERIFICATION.
   (B) NOT INCLUDE FOR PURPOSES OF  A  DEBT-TO-INCOME  RATIO  EVALUATION,
 LOANS  FROM  FRIENDS  OR FAMILY, EXCEPT IF IN THE JUDGMENT OF THE EXEMPT
 ENTITY, SUCH INCLUSION IS NECESSARY TO  PROTECT  THE  INTERESTS  OF  THE
 CONSUMER.
   (C) VERIFY THE BORROWER'S HOUSEHOLD INCOME TO DETERMINE THE BORROWER'S
 DEBT-TO-INCOME  RATIO USING INFORMATION FROM ANY OF THE FOLLOWING SOURC-
 ES:
   (I) ELECTRONIC MEANS OR SERVICES DEEMED ACCEPTABLE BY THE  SUPERINTEN-
 DENT;

 S. 2008                            120                           A. 3008
 
   (II) INTERNAL REVENUE SERVICE FORM W-2, TAX RETURNS, PAYROLL RECEIPTS,
 BANK  STATEMENTS, OR OTHER THIRD-PARTY DOCUMENTS THAT PROVIDE REASONABLY
 RELIABLE EVIDENCE OF THE BORROWER'S ACTUAL INCOME; OR
   (III) A SIGNED STATEMENT FROM THE BORROWER STATING SOURCES AND AMOUNTS
 OF INCOME, IF THE BORROWER'S ACTUAL INCOME CANNOT BE INDEPENDENTLY VERI-
 FIED USING ELECTRONIC MEANS OR SERVICES, INTERNAL REVENUE SERVICE FORMS,
 TAX  RETURNS,  PAYROLL  RECEIPTS,  BANK STATEMENTS, OR OTHER THIRD-PARTY
 DOCUMENTS. IF INCOME IS VERIFIED USING A SIGNED STATEMENT FROM A BORROW-
 ER, A LOAN SHALL NOT BE  MADE  IF  THE  BORROWER'S  TOTAL  MONTHLY  DEBT
 SERVICE  PAYMENTS,  AT  THE TIME OF LOAN ORIGINATION, INCLUDING THE LOAN
 FOR WHICH THE BORROWER IS BEING CONSIDERED, AND ACROSS  ALL  OUTSTANDING
 FORMS  OF  CREDIT,  EXCEEDS  TWENTY-FIVE PERCENT OF THE BORROWER'S GROSS
 MONTHLY HOUSEHOLD INCOME.
   11. THE EXEMPT ENTITY SHALL NOTIFY EACH BORROWER, AT  LEAST  TWO  DAYS
 PRIOR  TO  EACH  PAYMENT DUE DATE, OF THE AMOUNT DUE AND THE PAYMENT DUE
 DATE.  NOTIFICATION MAY BE PROVIDED BY ANY MEANS MUTUALLY ACCEPTABLE  TO
 THE  BORROWER  AND THE EXEMPT ENTITY. A BORROWER SHALL HAVE THE RIGHT TO
 OPT OUT OF THIS NOTIFICATION AT ANY TIME,  UPON  ELECTRONIC  OR  WRITTEN
 REQUEST  TO  THE  EXEMPT  ENTITY.  THE  EXEMPT  ENTITY SHALL NOTIFY EACH
 BORROWER OF THIS RIGHT PRIOR TO DISBURSING LOAN PROCEEDS.
   12. NO EXEMPT ENTITY, IN CONNECTION WITH, OR INCIDENTAL TO, THE FACIL-
 ITATING OF ANY LOAN MADE PURSUANT TO THIS SECTION, SHALL OFFER, SELL, OR
 REQUIRE A BORROWER TO CONTRACT FOR "CREDIT INSURANCE"  OR  INSURANCE  ON
 TANGIBLE PERSONAL OR REAL PROPERTY OF ANY TYPE SECURING ANY LOAN.
   13. AN EXEMPT ENTITY MAY PARTNER WITH A NONPROFIT ORGANIZATION FOR THE
 PURPOSE  OF FACILITATING ZERO-INTEREST LOANS BY THE EXEMPT ENTITY PURSU-
 ANT TO THIS SECTION. THIS NONPROFIT ORGANIZATION SHALL NOT BE SUBJECT TO
 THIS SECTION, PROVIDED THAT IT SATISFIES THE REQUIREMENTS APPLICABLE  TO
 AN EXEMPT ENTITY SET FORTH IN PARAGRAPHS (B), (C) AND (D) OF SUBDIVISION
 TWO OF THIS SECTION AND PROVIDED THAT:
   (A)  THE EXEMPT ENTITY NOTIFIES THE SUPERINTENDENT WITHIN FIFTEEN DAYS
 OF ENTERING INTO A WRITTEN AGREEMENT WITH A PARTNERING NONPROFIT  ORGAN-
 IZATION,  ON  SUCH  FORM  AND  IN  SUCH MANNER AS THE SUPERINTENDENT MAY
 PRESCRIBE. AT A MINIMUM, THIS NOTIFICATION SHALL INCLUDE THE NAME OF THE
 PARTNERING NONPROFIT ORGANIZATION, THE CONTACT INFORMATION FOR A  PERSON
 RESPONSIBLE  FOR  THE  LENDING ACTIVITIES FACILITATED BY THAT PARTNERING
 ORGANIZATION, A COPY OF THE AGREEMENT AND THE ADDRESS  OR  ADDRESSES  AT
 WHICH THE PARTNERING ORGANIZATION CAN BE REACHED.
   (B) THE EXEMPT ENTITY INCLUDES INFORMATION REGARDING THE LOANS FACILI-
 TATED  BY  THE  PARTNERING  ORGANIZATION  IN  THE ANNUAL REPORT REQUIRED
 PURSUANT TO SUBDIVISION FOUR OF THIS SECTION.
   (C) THE SUPERINTENDENT MAY, AT HIS OR HER SOLE DISCRETION,  DISQUALIFY
 A  PARTNERING  NONPROFIT  ORGANIZATION  UPON  A  DETERMINATION THAT THIS
 ORGANIZATION HAS ACTED IN VIOLATION OF THIS SECTION  OR  ANY  REGULATION
 ADOPTED HEREUNDER.
   14.  THE  SUPERINTENDENT  MAY EXAMINE OR REQUEST A SPECIAL REPORT FROM
 EACH EXEMPT  ENTITY  AND  EACH  PARTNERING  NONPROFIT  ORGANIZATION  FOR
 COMPLIANCE  WITH  THE PROVISIONS OF THIS SECTION AT ANY TIME. ANY ENTITY
 SO EXAMINED SHALL MAKE AVAILABLE TO THE SUPERINTENDENT  OR  HIS  OR  HER
 REPRESENTATIVE  ALL  BOOKS  AND  RECORDS REQUESTED BY THE SUPERINTENDENT
 RELATED TO THE LENDING ACTIVITIES FACILITATED BY THAT ENTITY.  IN  ADDI-
 TION TO THE APPLICATION FEE PROVIDED FOR IN PARAGRAPH (A) OF SUBDIVISION
 THREE  OF  THIS  SECTION, THE COST OF ANY SUCH EXAMINATION SHALL BE PAID
 FOR BY THE ENTITY BEING EXAMINED.
   15. ALL REPORTS OF EXAMINATIONS AND INVESTIGATIONS, CORRESPONDENCE AND
 MEMORANDA CONCERNING OR ARISING OUT OF ANY EXAMINATION OR  INVESTIGATION

 S. 2008                            121                           A. 3008
 
 OF  AN  EXEMPT  ENTITY SHALL BE SUBJECT TO THE PROVISIONS OF SUBDIVISION
 TEN OF SECTION THIRTY-SIX OF THIS CHAPTER.
   16. THE SUPERINTENDENT IS HEREBY AUTHORIZED AND EMPOWERED TO MAKE SUCH
 GENERAL  RULES  AND  REGULATIONS, AND SUCH SPECIFIC RULINGS, DEMANDS AND
 FINDINGS AS HE OR SHE MAY DEEM NECESSARY FOR THE PROPER CONDUCT  OF  THE
 LENDING ACTIVITIES EXEMPTED FROM LICENSING UNDER THIS SECTION.
   § 2. This act shall take effect on the one hundred eightieth day after
 it shall have become a law.
 
                                  PART DD
 
   Section  1.  The  state finance law is amended by adding a new section
 89-i to read as follows:
   § 89-I. PAID FAMILY LEAVE RISK ADJUSTMENT FUND.   1. THERE  IS  HEREBY
 ESTABLISHED  IN  THE  SOLE  CUSTODY  OF  THE SUPERINTENDENT OF FINANCIAL
 SERVICES A SPECIAL FUND, TO BE KNOWN AS  THE  "PAID  FAMILY  LEAVE  RISK
 ADJUSTMENT FUND".
   2.  SUCH  FUND  SHALL  CONSIST OF MONEY RECEIVED BY THE SUPERINTENDENT
 FROM INSURANCE CARRIERS AS PAYMENTS INTO ANY RISK  ADJUSTMENT  MECHANISM
 ESTABLISHED BY REGULATION IN ACCORDANCE WITH PARAGRAPH TWO OF SUBSECTION
 (N)  OF  SECTION  FOUR THOUSAND TWO HUNDRED THIRTY-FIVE OF THE INSURANCE
 LAW.
   3. ALL MONEYS RETAINED IN SUCH FUND SHALL BE HELD ON BEHALF OF  INSUR-
 ANCE  CARRIERS  AND PAID OUT BY THE SUPERINTENDENT TO INSURANCE CARRIERS
 PURSUANT TO THE RISK ADJUSTMENT MECHANISM ESTABLISHED BY  REGULATION  IN
 ACCORDANCE WITH PARAGRAPH TWO OF SUBSECTION (N) OF SECTION FOUR THOUSAND
 TWO HUNDRED THIRTY-FIVE OF THE INSURANCE LAW.
   4.  THE  FUNDS  SO RECEIVED AND DEPOSITED IN SUCH RISK ADJUSTMENT FUND
 SHALL NOT BE DEEMED TO BE STATE FUNDS.
   § 2. This act shall take effect immediately.
 
                                  PART EE
 
   Section 1. Section 340 of the banking law, as amended by chapter 22 of
 the laws of 1990, is amended to read as follows:
   § 340. Doing business without license prohibited.   1.  No  person  or
 other entity shall engage in the business of making loans in the princi-
 pal  amount  of  twenty-five thousand dollars or less for any loan to an
 individual for personal, family, household, or investment  purposes  and
 in a principal amount of fifty thousand dollars or less TO AN INDIVIDUAL
 OR  BUSINESS  for  business  and commercial loans, [and charge, contract
 for, or receive a greater rate of interest  than  the  lender  would  be
 permitted  by  law to charge if he were not a licensee hereunder] except
 as authorized by this article OR BY REGULATIONS  ISSUED  BY  THE  SUPER-
 INTENDENT and without first obtaining a license from the superintendent.
   2.  For  the  purposes  of  this  section, a person or entity shall be
 considered as engaging in the business of making loans in New York,  and
 subject  to  the licensing and other requirements of this article, if it
 solicits loans in the amounts prescribed by this  section  [within  this
 state] and, in connection with such solicitation, makes loans, PURCHASES
 OR  OTHERWISE ACQUIRES FROM OTHERS LOANS OR OTHER FORMS OF FINANCING, OR
 ARRANGES OR FACILITATES THE FUNDING OF LOANS, to individuals then  resi-
 dent  in  this  state OR TO BUSINESSES LOCATED OR DOING BUSINESS IN THIS
 STATE, except that no person or entity shall be considered  as  engaging
 in the business of making loans in this state on the basis of isolated[,

 S. 2008                            122                           A. 3008

 incidental] or occasional transactions which otherwise meet the require-
 ments of this section.
   3. WHEN NECESSARY TO FACILITATE LOW COST LENDING IN ANY COMMUNITY, THE
 SUPERINTENDENT SHALL HAVE THE POWER TO ADOPT REGULATIONS THAT PROVIDE AN
 EXEMPTION  FROM  THE  LICENSURE  REQUIREMENT  IN SUBDIVISION ONE OF THIS
 SECTION FOR A PERSON OR ENTITY. THE SUPERINTENDENT MAY  ALSO  ADOPT  ANY
 SUCH  ADDITIONAL  RULES OR REGULATIONS THAT HE OR SHE DEEMS NECESSARY TO
 IMPLEMENT THE TERMS OF THIS SECTION INCLUDING THE EXEMPTION PROVISION IN
 THIS SUBDIVISION.
   4. Nothing in this article shall apply  to  licensed  collateral  loan
 brokers.
   § 2. This act shall take effect January 1, 2018.
 
                                  PART FF

   Section  1. Paragraph (b) of subdivision 6 of section 1304 of the real
 property actions and proceedings law, as amended by section 7 of part  Q
 of chapter 73 of the laws of 2016, is amended to read as follows:
   (b)  (1)  "Home  loan" means a home loan, including an open-end credit
 plan, [other than a reverse mortgage transaction,] in which:
   (i) The principal amount of the loan at origination did not exceed the
 conforming loan size that was in existence at the  time  of  origination
 for a comparable dwelling as established by the FEDERAL HOUSING ADMINIS-
 TRATION OR federal national mortgage association;
   (ii) The borrower is a natural person;
   (iii)  The  debt  is  incurred by the borrower primarily for personal,
 family, or household purposes;
   (iv) The loan is secured by a mortgage or deed of trust on real estate
 upon which there is located or there is to be  located  a  structure  or
 structures  intended principally for occupancy of from one to four fami-
 lies which is or will be occupied by  the  borrower  as  the  borrower's
 principal dwelling; and
   (v) The property is located in this state.
   (2)  A  HOME  LOAN  SHALL INCLUDE A LOAN SECURED BY A REVERSE MORTGAGE
 THAT MEETS THE REQUIREMENTS OF CLAUSES (I) THROUGH (V)  OF  SUBPARAGRAPH
 ONE OF THIS PARAGRAPH.
   § 2. Subdivision (a) of rule 3408 of the civil practice law and rules,
 as  amended by section 2 of part Q of chapter 73 of the laws of 2016, is
 amended to read as follows:
   (a) [In] 1. EXCEPT AS PROVIDED IN PARAGRAPH TWO OF  THIS  SUBDIVISION,
 IN any residential foreclosure action involving a home loan as such term
 is defined in section thirteen hundred four of the real property actions
 and proceedings law, in which the defendant is a resident of the proper-
 ty  subject to foreclosure, plaintiff shall file proof of service within
 twenty days of such service, however service  is  made,  and  the  court
 shall  hold a mandatory conference within sixty days after the date when
 proof of service upon such defendant is filed with the county clerk,  or
 on  such  adjourned  date  as has been agreed to by the parties, for the
 purpose of holding settlement discussions  pertaining  to  the  relative
 rights and obligations of the parties under the mortgage loan documents,
 including,  but not limited to: [1.] (I) determining whether the parties
 can reach a mutually agreeable resolution to help  the  defendant  avoid
 losing his or her home, and evaluating the potential for a resolution in
 which  payment  schedules  or  amounts  may be modified or other workout
 options may be agreed to, including, but not limited to, a loan  modifi-
 cation, short sale, deed in lieu of foreclosure, or any other loss miti-

 S. 2008                            123                           A. 3008
 
 gation  option;  or  [2.]  (II)  whatever other purposes the court deems
 appropriate.
   2.  PARAGRAPH  ONE  OF THIS SUBDIVISION SHALL NOT APPLY TO A HOME LOAN
 SECURED BY A REVERSE MORTGAGE WHERE THE DEFAULT  WAS  TRIGGERED  BY  THE
 DEATH  OF  THE LAST SURVIVING BORROWER UNLESS THE LAST SURVIVING BORROW-
 ER'S SPOUSE, IF ANY, IS A RESIDENT OF THE PROPERTY SUBJECT  TO  FORECLO-
 SURE.
   § 3. This act shall take effect immediately; provided, however, that:
   (a)  the  amendments to paragraph (b) of subdivision 6 of section 1304
 of the real property actions and proceedings law, made by section one of
 this act, shall take effect on the same date and in the same  manner  as
 section 7 of part Q of chapter 73 of the laws of 2016 takes effect; and
   (b)  the amendments to subdivision (a) of rule 3408 of the civil prac-
 tice law and rules, made by section two of this act, shall be subject to
 the expiration and reversion of such subdivision pursuant to subdivision
 e of section 25 of chapter 507 of the laws of 2009, as amended.
 
                                  PART GG
 
   Section 1. This act enacts into law major  components  of  legislation
 relating  to assessments, distribution of assets, and insurers deemed to
 be in a  hazardous  financial  condition.    Each  component  is  wholly
 contained  within  a  Subpart  identified  as  Subparts A through C. The
 effective date for  each  particular  provision  contained  within  such
 Subpart  is set forth in the last section of such Subpart. Any provision
 in any section contained within a Subpart, including the effective  date
 of  the Subpart, which makes references to a section "of this act", when
 used in connection with that particular component, shall  be  deemed  to
 mean  and  refer to the corresponding section of the Subpart in which it
 is found. Section three of this act sets  forth  the  general  effective
 date of this act.
 
                                 SUBPART A
 
   Section  1.  Subsection  (a)  of section 206 of the financial services
 law, is amended and a new subsection (g) is added to read as follows:
   (a) For each fiscal year commencing on or after April first, two thou-
 sand twelve, assessments to defray  operating  expenses,  including  all
 direct  and  indirect costs, of the department, except expenses incurred
 in the liquidation of banking organizations, shall be  assessed  by  the
 superintendent  in  accordance  with  this subsection. Persons regulated
 under the insurance law shall be assessed by the superintendent for  the
 operating  expenses  of  the  department that are solely attributable to
 regulating persons under the insurance  law,  which  shall  include  any
 expenses  that  were permissible to be assessed in fiscal year two thou-
 sand nine-two thousand ten, with the assessments allocated pro rata upon
 all domestic insurers and all licensed United States branches  of  alien
 insurers domiciled in this state within the meaning of paragraph four of
 subsection  (b)  of  section  seven  thousand  four hundred eight of the
 insurance law, in proportion to the  gross  direct  premiums  and  other
 considerations,  written  or  received  by them in this state during the
 calendar year ending December thirty-first immediately preceding the end
 of the fiscal year for which the assessment is made (less return  premi-
 ums  and  considerations thereon) for policies or contracts of insurance
 covering property or risks resident or located in this state  the  issu-
 ance  of  which policies or contracts requires a license from the super-

 S. 2008                            124                           A. 3008
 
 intendent. Persons regulated under the banking law shall be assessed  by
 the superintendent for the operating expenses of the department that are
 solely  attributable to regulating persons under the banking law in such
 proportions  as  the  superintendent  shall  deem  just  and reasonable.
 PERSONS REGULATED UNDER THIS CHAPTER SHALL BE  ASSESSED  BY  THE  SUPER-
 INTENDENT  FOR  THE OPERATING EXPENSES OF THE DEPARTMENT THAT ARE SOLELY
 ATTRIBUTABLE TO REGULATED PERSONS UNDER THIS CHAPTER IN SUCH PROPORTIONS
 AS THE SUPERINTENDENT SHALL DEEM JUST AND REASONABLE. Operating expenses
 of the department not covered by the assessments set forth  above  shall
 be assessed by the superintendent in such proportions as the superinten-
 dent  shall  deem just and reasonable upon all domestic insurers and all
 licensed United States branches of  alien  insurers  domiciled  in  this
 state  within the meaning of paragraph four of subsection (b) of section
 seven thousand four hundred eight of the insurance  law,  and  upon  any
 regulated  person  under  THIS  CHAPTER  AND the banking law, other than
 mortgage loan originators, except as otherwise provided by sections  one
 hundred  fifty-one  and two hundred twenty-eight of the workers' compen-
 sation law and by section sixty of the volunteer  firefighters'  benefit
 law. The provisions of this subsection shall not be applicable to a bank
 holding company, as that term is defined in article three-A of the bank-
 ing  law.  Persons  regulated under the banking law will not be assessed
 for expenses that the superintendent deems  to  benefit  solely  persons
 regulated  under  the  insurance  law,  and  persons regulated under the
 insurance law will not be assessed for expenses that the  superintendent
 deems to benefit solely persons regulated under the banking law.
   (G)  THE EXPENSES OF EVERY EXAMINATION OF THE AFFAIRS OF ANY REGULATED
 PERSON SUBJECT TO THIS CHAPTER, SHALL BE BORNE AND PAID BY THE REGULATED
 PERSON SO EXAMINED, BUT THE SUPERINTENDENT, WITH  THE  APPROVAL  OF  THE
 COMPTROLLER,  MAY,  IN  THE  SUPERINTENDENT'S  DISCRETION FOR GOOD CAUSE
 SHOWN, REMIT SUCH CHARGES.
   § 2. This act shall take effect January 1, 2018.
 
                                 SUBPART B
 
   Section 1. Legislative findings. In order to  provide  an  appropriate
 scheme of distribution of assets of all insolvent insurers, the legisla-
 ture  finds  that it is in the best interest of the people of this state
 to amend statutes regarding the priority of distribution  under  Article
 74 of the Insurance Law.
   §  2.  Paragraph  1 of subsection (a) of section 7434 of the insurance
 law, as amended by chapter 134 of the laws of 1999, is amended  to  read
 as follows:
   (1)  Upon  the  recommendation of the superintendent, AS RECEIVER, and
 under the direction of the court, distribution payments shall be made in
 a manner that will assure the proper recognition  of  priorities  and  a
 reasonable  balance  between  the  expeditious completion of the [liqui-
 dation] PROCEEDING SUBJECT TO THIS ARTICLE and the protection of  unliq-
 uidated  and undetermined claims. The priority of distribution of claims
 from [an] ALL insolvent  [property/casualty  insurer]  INSURERS  in  any
 proceeding subject to this article, UNLESS OTHERWISE SPECIFIED, shall be
 in  accordance with the order in which each class of claims is set forth
 in this paragraph and as provided in this paragraph. Every claim in each
 class shall be paid in full or adequate funds retained for such  payment
 before  the members of the next class receive any payment. No subclasses
 shall be established within any class. No claim by a shareholder,  poli-
 cyholder,  CONTRACT  HOLDER  or  other  creditor  shall  be permitted to

 S. 2008                            125                           A. 3008
 
 circumvent the priority classes through the use of  equitable  remedies.
 The order of distribution of claims shall be:
   (i)  Class  one. Claims with respect to the actual and necessary costs
 and expenses of administration, incurred by the liquidator,  rehabilita-
 tor or conservator under this article.
   (ii) Class two. All claims under policies OR CONTRACTS, including such
 claims  of  the  federal  or  any  state  or local government for losses
 incurred, third party claims, claims  for  unearned  premiums,  and  all
 claims of a security fund, guaranty association or the equivalent except
 claims arising under reinsurance contracts.
   (iii) Class three. Claims of the federal government except those under
 class two above.
   (iv)  Class  four.  Claims  for wages owing to employees of an insurer
 against whom a proceeding under this article is commenced  for  services
 rendered  within  one  year  before  commencement of the proceeding, not
 exceeding one thousand two hundred dollars to each employee, and  claims
 for unemployment insurance contributions required by article eighteen of
 the  labor  law.  Such  priority  shall  be in lieu of any other similar
 priority which may be authorized by law.
   (v) Class five. Claims of state and  local  governments  except  those
 under class two above.
   (vi) Class six. Claims of general creditors including[, but not limit-
 ed to,] claims arising under reinsurance contracts.
   (vii)  Class  seven.  Claims filed late or any other claims other than
 claims under class eight or class nine below.
   (viii) Class eight. Claims for advanced or borrowed funds made  pursu-
 ant to section one thousand three hundred seven of this chapter.
   (ix)  Class  nine.  Claims  of  shareholders  or other owners in their
 capacity as shareholders.
   § 3. Section 7435 of the insurance law, as added by chapter 802 of the
 laws of 1985, paragraph 7 of subsection (a) as amended by chapter 300 of
 the laws of 1996, is amended to read as follows:
   § 7435. Distribution for life insurers. (a) UPON THE RECOMMENDATION OF
 THE SUPERINTENDENT, AS RECEIVER, AND UNDER THE DIRECTION OF  THE  COURT,
 DISTRIBUTION  PAYMENTS  SHALL  BE  MADE IN A MANNER THAT WILL ASSURE THE
 PROPER RECOGNITION OF PRIORITIES AND A REASONABLE  BALANCE  BETWEEN  THE
 EXPEDITIOUS COMPLETION OF THE PROCEEDING SUBJECT TO THIS ARTICLE AND THE
 PROTECTION  OF  UNLIQUIDATED  AND  UNDETERMINED  CLAIMS. The priority of
 distribution of claims from the estate of [a] AN INSOLVENT  life  insur-
 ance  company  in  any  proceeding  subject  to this article shall be in
 accordance with the order in which each class of claims is [herein]  set
 forth  IN  THIS SECTION AND AS PROVIDED IN THIS SECTION.  Every claim in
 each class shall[, subject to such limitations as may be  prescribed  by
 law  and  do  not  directly conflict with the express provisions of this
 section,] be paid in full or adequate funds retained  for  such  payment
 before the members of the next class receive any payment.  No subclasses
 shall be established within any class.  NO CLAIM BY A SHAREHOLDER, POLI-
 CYHOLDER,  ANNUITANT, OR OTHER CREDITOR SHALL BE PERMITTED TO CIRCUMVENT
 THE PRIORITY CLASSES THROUGH THE USE OF EQUITABLE REMEDIES. The order of
 distribution of claims shall be:
   (1) Class one. Claims with respect to the actual and  necessary  costs
 and  expenses of administration, incurred by the liquidator, rehabilita-
 tor, conservator or ancillary rehabilitator under this  article,  or  by
 The  Life  Insurance  Guaranty Corporation or The Life Insurance Company
 Guaranty Corporation of New York, and claims described in subsection (d)
 of section seven thousand seven hundred thirteen of this chapter.

 S. 2008                            126                           A. 3008
 
   (2) Class two. [Debts due to employees for services performed  to  the
 extent  that  they  do  not  exceed one thousand two hundred dollars and
 represent payment for services performed  within  one  year  before  the
 commencement  of a proceeding under this article. Such priority shall be
 in  lieu of any other similar priority which may be authorized by law as
 to wages or compensation of employees] ALL CLAIMS UNDER INSURANCE  POLI-
 CIES, INCLUDING SUCH CLAIMS OF THE FEDERAL OR ANY STATE OR LOCAL GOVERN-
 MENT,  ANNUITY  CONTRACTS, AND FUNDING AGREEMENTS, AND ALL CLAIMS OF THE
 THE LIFE INSURANCE COMPANY GUARANTY CORPORATION OF NEW YORK OR ANY OTHER
 GUARANTY CORPORATION OR ASSOCIATION OF THIS STATE OR  ANOTHER  JURISDIC-
 TION, OTHER THAN CLAIMS PROVIDED FOR IN PARAGRAPH ONE OF THIS SUBSECTION
 AND CLAIMS FOR INTEREST.
   (3)  Class  three.  [All  claims  for  payment  for goods furnished or
 services rendered to the impaired or insolvent insurer in  the  ordinary
 course  of  business  within  ninety days prior to the date on which the
 insurer was determined to be impaired or insolvent, whichever is  appli-
 cable]  CLAIMS  OF  THE FEDERAL GOVERNMENT EXCEPT CLAIMS PROVIDED FOR IN
 PARAGRAPH TWO OF THIS SUBSECTION.
   (4)  Class  four.  [All  claims  under  insurance  policies,   annuity
 contracts  and  funding agreements, and all claims of The Life Insurance
 Company Guaranty Corporation of New York or any  other  guaranty  corpo-
 ration  or association of this state or another jurisdiction, other than
 (i) claims provided for in paragraph one of this  subsection,  and  (ii)
 claims  for  interest]  DEBTS DUE TO EMPLOYEES FOR SERVICES PERFORMED TO
 THE EXTENT THAT THEY DO NOT EXCEED ONE THOUSAND TWO HUNDRED DOLLARS  AND
 REPRESENT  PAYMENT  FOR  SERVICES  PERFORMED  WITHIN ONE YEAR BEFORE THE
 COMMENCEMENT OF A PROCEEDING UNDER THIS ARTICLE. SUCH PRIORITY SHALL  BE
 IN  LIEU  OF ANY OTHER SIMILAR PRIORITY THAT MAY BE AUTHORIZED BY LAW AS
 TO WAGES OR COMPENSATION OF EMPLOYEES.
   (5) Class five. [Claims of the federal or any state or  local  govern-
 ment.  Claims, including those of any governmental body for a penalty or
 forfeiture, shall be allowed to this class only to  the  extent  of  the
 pecuniary  loss sustained from the act, transaction or proceeding out of
 which the penalty or forfeiture arose, with reasonable and actual  costs
 occasioned  thereby.  The remainder of such claims shall be postponed to
 the class of claims under paragraph eight of this subsection] ALL CLAIMS
 FOR PAYMENT FOR GOODS FURNISHED OR SERVICES RENDERED TO THE IMPAIRED  OR
 INSOLVENT  INSURER IN THE ORDINARY COURSE OF BUSINESS WITHIN NINETY DAYS
 PRIOR TO THE DATE ON WHICH THE INSURER WAS DETERMINED TO BE IMPAIRED  OR
 INSOLVENT, WHICHEVER IS APPLICABLE.
   (6) Class six. [Claims of general creditors and any other claims other
 than  claims under paragraphs seven and eight of this subsection] CLAIMS
 OF ANY STATE OR LOCAL GOVERNMENT OTHER THAN CLAIMS  PROVIDED  FOR  UNDER
 PARAGRAPH TWO OF THIS SUBSECTION. CLAIMS, INCLUDING THOSE OF ANY GOVERN-
 MENTAL  BODY FOR A PENALTY OR FORFEITURE, SHALL BE ALLOWED TO THIS CLASS
 ONLY TO THE EXTENT OF PECUNIARY LOSS  SUSTAINED  FROM  THE  ACT,  TRANS-
 ACTION, OR PROCEEDING OUT OF WHICH THE PENALTY OR FORFEITURE AROSE, WITH
 REASONABLE  AND  ACTUAL  COSTS OCCASIONED THEREBY. THE REMAINDER OF SUCH
 CLAIMS SHALL BE POSTPONED TO THE CLASS OF CLAIMS UNDER PARAGRAPH NINE OF
 THIS SUBSECTION.
   (7) Class seven. [Surplus, capital or contribution notes,  or  similar
 obligations] CLAIMS OF GENERAL CREDITORS AND ANY OTHER CLAIMS OTHER THAN
 CLAIMS UNDER PARAGRAPHS EIGHT AND NINE OF THIS SUBSECTION.
   (8)  Class  eight. [The claims of (i) policyholders, other than claims
 under paragraph four of this subsection, and (ii) shareholders or  other
 owners] SURPLUS, CAPITAL, OR CONTRIBUTION NOTES, OR SIMILAR OBLIGATIONS.

 S. 2008                            127                           A. 3008
 
   (9)  CLASS NINE. THE CLAIMS OF POLICYHOLDERS OR ANNUITANTS, OTHER THAN
 CLAIMS UNDER PARAGRAPH TWO OF THIS SUBSECTION, AND SHAREHOLDERS OR OTHER
 OWNERS.
   (b)  Every  claim  under  a  separate  account agreement providing, in
 effect, that the assets in the separate account shall not be  chargeable
 with  liabilities arising out of any other business of the insurer shall
 be satisfied out of the assets in the  separate  account  equal  to  the
 reserves  maintained  in  such  account  for  such agreement and, to the
 extent, if any, not fully discharged thereby,  shall  be  treated  as  a
 class four claim against the estate of the life insurance company.
   (c) For purposes of this section:
   (1) "The  estate of the life insurance company" shall mean the general
 assets of such company less any assets held in separate  accounts  that,
 pursuant to section four thousand two hundred forty of this chapter, are
 not chargeable with liabilities arising out of any other business of the
 insurer.
   (2) "Insurance  policies,  annuity  contracts  and funding agreements"
 shall mean all policies and contracts of any of the kinds  of  insurance
 specified  in  paragraph  one, two or three of subsection (a) of section
 one thousand one hundred thirteen of this chapter and all funding agree-
 ments described in section three thousand two hundred twenty-two of this
 chapter, including all separate account agreements, except that separate
 account agreements referred to in subsection (b) of this  section  shall
 be included only to the extent referred to therein.
   (3) "Separate  account  agreement or agreements" shall mean any agree-
 ment or agreements for separate accounts referred  to  in  section  four
 thousand two hundred forty of this chapter.
   § 4. This act shall take effect immediately.
 
                                 SUBPART C

   Section  1.  Section 1104 of the insurance law, the section heading as
 amended and subsections (c) and (d) as added by chapter 235 of the  laws
 of  1989,  the opening paragraph of subsection (c) as amended by chapter
 598 of the laws of 2000, is amended to read as follows:
   § 1104. Revocation or suspension of license;  restriction  of  license
 authority  or limitation on premiums written. (a) The superintendent may
 revoke any license, CERTIFICATE OF AUTHORITY, OR REGISTRATION issued  to
 any  foreign  or alien insurer to do an insurance business in this state
 if, after notice to and hearing, [he] THE SUPERINTENDENT finds that such
 insurer has failed to comply with any requirement imposed upon it by the
 provisions of this chapter and if in [his] THE SUPERINTENDENT'S judgment
 such revocation is reasonably necessary to protect the interests of  the
 people  of this state. The superintendent may, in his OR HER discretion,
 reinstate any such license, CERTIFICATE OF AUTHORITY, OR REGISTRATION if
 [he] THE SUPERINTENDENT finds that a ground for such revocation no long-
 er exists.
   (b) The superintendent shall revoke the certificate  of  authority  of
 any corporation or agent convicted of violating section two thousand six
 hundred three of this chapter.
   (c) [The] (1) NOTWITHSTANDING ANY OTHER PROVISION OF THIS CHAPTER, THE
 superintendent may [suspend the license, restrict the license authority,
 or  limit  the  amount of premiums written in this state of any accident
 and  health  insurance  company,  property/casualty  insurance  company,
 co-operative property/casualty insurance company, title insurance compa-
 ny,  mortgage  guaranty  insurance  company,  reciprocal insurer, Lloyds

 S. 2008                            128                           A. 3008

 underwriters or nonprofit property/casualty insurance company] TAKE  ONE
 OR  MORE  OF THE ACTIONS SPECIFIED IN SUBPARAGRAPH (B) OF PARAGRAPH FOUR
 OF THIS SUBSECTION AGAINST AN INSURER, except those insurers subject  to
 the  provisions  of subsection (c) of section two thousand three hundred
 forty-three of this chapter, if after a  hearing  on  a  record,  unless
 waived  by the affected insurer, the superintendent determines that such
 insurer's surplus to policyholders is not adequate in  relation  to  the
 insurer's  outstanding  liabilities  or to its financial needs OR IF THE
 SUPERINTENDENT OTHERWISE DETERMINES THAT THE CONTINUED OPERATION OF  THE
 INSURER  MIGHT BE DEEMED TO BE HAZARDOUS TO THE INSURER'S POLICYHOLDERS,
 CREDITORS, OR TO THE GENERAL PUBLIC.
   (2) All matters pertaining to a proceeding or  determination  pursuant
 to  this subsection shall be confidential and not subject to subpoena or
 public inspection under article six of the public officers  law  or  any
 other  statute,  except  to  the  extent  that  the superintendent finds
 release of information necessary to  protect  the  public.  The  hearing
 shall be initiated within twenty days after written notice to the insur-
 er. Any determination pursuant to this subsection shall contain findings
 specifying  the  factors  deemed significant in regard to the particular
 insurer, and shall set forth  the  reasons  supporting  the  suspension,
 restriction or limitation ordered by the superintendent.
   (3)  The  SUPERINTENDENT  MAY CONSIDER THE following factors [shall be
 considered by the superintendent] in making [such] A determination AS TO
 WHETHER AN INSURER'S SURPLUS TO POLICYHOLDERS IS ADEQUATE IN RELATION TO
 THE INSURER'S OUTSTANDING LIABILITIES OR TO ITS FINANCIAL NEEDS:
   [(1)] (A) the size of the insurer as measured by its admitted  assets,
 capital and surplus to policyholders, reserves, premium writings, insur-
 ance in force and other appropriate criteria, with such surplus to poli-
 cyholders  for  foreign insurers adjusted in accordance with section one
 thousand four hundred thirteen of this chapter;
   [(2)] (B) the extent to which the insurer's  business  is  diversified
 among the several kinds of insurance;
   [(3)]  (C) the number and size of risks insured in each kind of insur-
 ance and the insurer's loss experience in regard to such risks;
   [(4)] (D) the extent  of  geographical  dispersion  of  the  insurer's
 risks;
   [(5)] (E) the nature and extent of the insurer's reinsurance program;
   [(6)]  (F) the quality, diversification and liquidity of the insurer's
 investment portfolio;
   [(7)] (G) the recent past and projected future trends in regard to the
 insurer's loss experience and in the size of the  insurer's  surplus  to
 policyholders;
   [(8)]  (H) the surplus to policyholders maintained by other comparable
 insurers;
   [(9)] (I) the adequacy of the insurer's reserves; and
   [(10)] (J) the quality and liquidity of  investments  in  subsidiaries
 made pursuant to this chapter.
   (4)(A) THE SUPERINTENDENT MAY CONSIDER THE FOLLOWING STANDARDS, EITHER
 SINGLY OR A COMBINATION OF TWO OR MORE, TO DETERMINE WHETHER THE CONTIN-
 UED  OPERATION  OF  ANY  INSURER  MIGHT BE DEEMED TO BE HAZARDOUS TO ITS
 POLICYHOLDERS, CREDITORS, OR TO THE GENERAL PUBLIC:
   (I) ADVERSE  FINDINGS  REPORTED  IN  FINANCIAL  CONDITION  AND  MARKET
 CONDUCT EXAMINATION REPORTS, AUDIT REPORTS, ACTUARIAL OPINIONS, REPORTS,
 OR SUMMARIES, OR OTHER REPORTS;

 S. 2008                            129                           A. 3008
 
   (II)  THE  NATIONAL  ASSOCIATION  OF INSURANCE COMMISSIONERS INSURANCE
 REGULATORY INFORMATION SYSTEM AND ITS OTHER FINANCIAL ANALYSIS  SOLVENCY
 TOOLS AND REPORTS;
   (III)  WHETHER  THE  INSURER HAS MADE ADEQUATE PROVISION, ACCORDING TO
 PRESENTLY ACCEPTED ACTUARIAL STANDARDS OF PRACTICE, FOR THE  ANTICIPATED
 CASH  FLOWS REQUIRED BY THE CONTRACTUAL OBLIGATIONS AND RELATED EXPENSES
 OF THE INSURER, WHEN CONSIDERED IN LIGHT  OF  THE  ASSETS  HELD  BY  THE
 INSURER  WITH  RESPECT  TO  SUCH  RESERVES  AND RELATED ACTUARIAL ITEMS,
 INCLUDING THE INVESTMENT EARNINGS ON SUCH ASSETS, AND THE CONSIDERATIONS
 ANTICIPATED  TO  BE  RECEIVED  AND  RETAINED  UNDER  SUCH  POLICIES  AND
 CONTRACTS;
   (IV)  THE  ABILITY OF AN ASSUMING REINSURER TO PERFORM AND WHETHER THE
 INSURER'S REINSURANCE PROGRAM PROVIDES  SUFFICIENT  PROTECTION  FOR  THE
 INSURER'S REMAINING SURPLUS AFTER TAKING INTO ACCOUNT THE INSURER'S CASH
 FLOW AND THE CLASSES OF BUSINESS WRITTEN AS WELL AS THE FINANCIAL CONDI-
 TION OF THE ASSUMING REINSURER;
   (V)  WHETHER  THE  INSURER'S  OPERATING  LOSS IN THE LAST TWELVE-MONTH
 PERIOD OR ANY SHORTER PERIOD OF TIME,  INCLUDING  NET  CAPITAL  GAIN  OR
 LOSS,  CHANGE  IN NON-ADMITTED ASSETS, AND CASH DIVIDENDS PAID TO SHARE-
 HOLDERS, IS GREATER  THAN  FIFTY  PERCENT  OF  THE  INSURER'S  REMAINING
 SURPLUS TO POLICYHOLDERS IN EXCESS OF THE MINIMUM REQUIRED;
   (VI)  WHETHER  THE  INSURER'S  OPERATING LOSS IN THE LAST TWELVE-MONTH
 PERIOD OR ANY SHORTER PERIOD OF TIME, EXCLUDING NET  CAPITAL  GAINS,  IS
 GREATER  THAN TWENTY PERCENT OF THE INSURER'S REMAINING SURPLUS TO POLI-
 CYHOLDERS IN EXCESS OF THE MINIMUM REQUIRED;
   (VII) WHETHER A REINSURER, AN OBLIGOR, ANY  ENTITY  IN  THE  INSURER'S
 HOLDING COMPANY SYSTEM, AS DEFINED IN PARAGRAPH SIX OF SUBSECTION (A) OF
 SECTION ONE THOUSAND FIVE HUNDRED ONE OF THIS CHAPTER, OR ANY SUBSIDIARY
 OF  AN  INSURER, IS INSOLVENT, THREATENED WITH INSOLVENCY, OR DELINQUENT
 IN PAYMENT OF ITS MONETARY OR OTHER OBLIGATIONS, AND WHICH IN THE  OPIN-
 ION OF THE SUPERINTENDENT MAY AFFECT THE SOLVENCY OF THE INSURER;
   (VIII)  CONTINGENT  LIABILITIES,  PLEDGES,  OR  GUARANTEES THAT EITHER
 INDIVIDUALLY OR COLLECTIVELY INVOLVE A TOTAL AMOUNT THAT IN  THE  SUPER-
 INTENDENT'S OPINION MAY AFFECT THE INSURER'S SOLVENCY;
   (IX)  WHETHER  ANY PERSON WHO CONTROLS AN INSURER, AS DEFINED IN PARA-
 GRAPH TWO OF SUBSECTION (A) OF SECTION ONE THOUSAND FIVE HUNDRED ONE  OF
 THIS  CHAPTER,  IS DELINQUENT IN THE TRANSMITTING TO, OR PAYMENT OF, NET
 PREMIUMS TO THE INSURER;
   (X) THE AGE AND COLLECTABILITY OF RECEIVABLES;
   (XI) WHETHER THE MANAGEMENT OF AN INSURER, INCLUDING OFFICERS,  DIREC-
 TORS, OR ANY OTHER PERSON WHO DIRECTLY OR INDIRECTLY CONTROLS THE OPERA-
 TION  OF  THE  INSURER, FAILS TO POSSESS AND DEMONSTRATE THE COMPETENCE,
 FITNESS, AND REPUTATION DEEMED NECESSARY TO SERVE THE  INSURER  IN  SUCH
 POSITION;
   (XII)  WHETHER  THE  INSURER'S  MANAGEMENT HAS FAILED TO RESPOND TO AN
 INQUIRY OF THE SUPERINTENDENT RELATIVE TO THE INSURER'S CONDITION OR HAS
 FURNISHED FALSE AND MISLEADING INFORMATION CONCERNING SUCH AN INQUIRY;
   (XIII) WHETHER  THE  INSURER  HAS  FAILED  TO  MEET  FINANCIAL  FILING
 REQUIREMENTS  OR  FILING  REQUIREMENTS  PURSUANT  TO  ARTICLES  FIFTEEN,
 SIXTEEN, OR SEVENTEEN OF THIS CHAPTER, OR REGULATIONS PROMULGATED THERE-
 UNDER, IN THE ABSENCE OF A REASON SATISFACTORY TO THE SUPERINTENDENT;
   (XIV) WHETHER THE INSURER'S MANAGEMENT EITHER HAS FILED ANY  FALSE  OR
 MISLEADING  SWORN FINANCIAL STATEMENT, OR HAS RELEASED FALSE OR MISLEAD-
 ING FINANCIAL STATEMENTS TO  LENDING  INSTITUTIONS  OR  TO  THE  GENERAL
 PUBLIC, OR HAS MADE A FALSE OR MISLEADING ENTRY, OR HAS OMITTED AN ENTRY
 OF MATERIAL AMOUNT IN THE INSURER'S BOOKS;

 S. 2008                            130                           A. 3008
 
   (XV)  WHETHER  THE  INSURER HAS GROWN SO RAPIDLY AND TO SUCH AN EXTENT
 THAT IT LACKS ADEQUATE FINANCIAL AND ADMINISTRATIVE CAPACITY TO MEET ITS
 OBLIGATIONS IN A TIMELY MANNER;
   (XVI) WHETHER THE INSURER HAS EXPERIENCED OR IS EXPECTED TO EXPERIENCE
 IN THE FORESEEABLE FUTURE CASH FLOW OR LIQUIDITY PROBLEMS;
   (XVII)  WHETHER MANAGEMENT HAS ESTABLISHED RESERVES THAT DO NOT COMPLY
 WITH MINIMUM  STANDARDS  ESTABLISHED  BY  THIS  CHAPTER  OR  REGULATIONS
 PROMULGATED  THEREUNDER,  STATUTORY  ACCOUNTING STANDARDS, AS ADOPTED BY
 THE SUPERINTENDENT, SOUND ACTUARIAL PRINCIPLES AND  STANDARDS  OF  PRAC-
 TICE;
   (XVIII)  WHETHER  MANAGEMENT  PERSISTENTLY  ENGAGES  IN MATERIAL UNDER
 RESERVING THAT RESULTS IN ADVERSE DEVELOPMENT;
   (XIX) WHETHER ANY TRANSACTION WITH AN AFFILIATE, A  SUBSIDIARY,  OR  A
 PARENT  FOR WHICH THE INSURER RECEIVES ASSETS OR CAPITAL GAINS, OR BOTH,
 DO NOT PROVIDE SUFFICIENT VALUE, LIQUIDITY, OR DIVERSITY TO  ASSURE  THE
 INSURER'S  ABILITY  TO  MEET ITS OUTSTANDING OBLIGATIONS AS THEY MATURE;
 AND
   (XX) ANY OTHER FINDING DETERMINED BY THE SUPERINTENDENT TO BE  HAZARD-
 OUS TO THE INSURER'S POLICYHOLDERS, CREDITORS, OR TO THE GENERAL PUBLIC.
   (B)  IF  THE  SUPERINTENDENT  DETERMINES THAT THE INSURER'S SURPLUS TO
 POLICYHOLDERS IS NOT ADEQUATE IN RELATION TO THE  INSURER'S  OUTSTANDING
 LIABILITIES OR TO ITS FINANCIAL NEEDS OR IF THE SUPERINTENDENT OTHERWISE
 DETERMINES  THAT THE CONTINUED OPERATION OF THE INSURER MAY BE HAZARDOUS
 TO ITS POLICYHOLDERS, CREDITORS, OR TO  THE  GENERAL  PUBLIC,  THEN  THE
 SUPERINTENDENT MAY, UPON A DETERMINATION, SUSPEND THE INSURER'S LICENSE,
 CERTIFICATE  OF  AUTHORITY,  OR  REGISTRATION,  RESTRICT  THE  INSURER'S
 LICENSE, CERTIFICATE OF AUTHORITY, OR REGISTRATION AUTHORITY,  OR  ISSUE
 AN ORDER REQUIRING THE INSURER TO DO ONE OR MORE OF THE FOLLOWING:
   (I)  REDUCE  THE  TOTAL  AMOUNT OF PRESENT AND POTENTIAL LIABILITY FOR
 POLICY BENEFITS BY REINSURANCE;
   (II) REDUCE, SUSPEND, OR LIMIT THE VOLUME OF BUSINESS  BEING  ACCEPTED
 OR RENEWED, OR LIMIT THE AMOUNT OF PREMIUMS WRITTEN IN THIS STATE;
   (III)  REDUCE  GENERAL  INSURANCE AND COMMISSION EXPENSES BY SPECIFIED
 METHODS;
   (IV) INCREASE THE INSURER'S CAPITAL AND SURPLUS;
   (V) SUSPEND OR LIMIT THE DECLARATION AND PAYMENT OF  DIVIDENDS  BY  AN
 INSURER TO ITS STOCKHOLDERS OR POLICYHOLDERS;
   (VI)  FILE  REPORTS ON A FORM AND IN A MANNER ACCEPTABLE TO THE SUPER-
 INTENDENT CONCERNING THE MARKET VALUE OF AN INSURER'S ASSETS;
   (VII) LIMIT  OR  WITHDRAW  FROM  CERTAIN  INVESTMENTS  OR  DISCONTINUE
 CERTAIN  INVESTMENT  PRACTICES  TO  THE  EXTENT THE SUPERINTENDENT DEEMS
 NECESSARY;
   (VIII) DOCUMENT THE ADEQUACY OF PREMIUM RATES IN RELATION TO THE RISKS
 INSURED;
   (IX) FILE, IN ADDITION TO REGULAR ANNUAL STATEMENTS, INTERIM FINANCIAL
 REPORTS ON A FORM AND IN A  MANNER  PRESCRIBED  BY  THE  SUPERINTENDENT,
 WHICH  MAY  INCLUDE A FORM ADOPTED BY THE NATIONAL ASSOCIATION OF INSUR-
 ANCE COMMISSIONERS;
   (X) CORRECT CORPORATE GOVERNANCE PRACTICE DEFICIENCIES, AND ADOPT  AND
 UTILIZE GOVERNANCE PRACTICES ACCEPTABLE TO THE SUPERINTENDENT;
   (XI) PROVIDE A BUSINESS PLAN TO THE SUPERINTENDENT IN ORDER TO CONTIN-
 UE TO TRANSACT BUSINESS IN THIS STATE; OR
   (XII) NOTWITHSTANDING ANY OTHER PROVISION OF LAW, ADJUST RATES FOR ANY
 NON-LIFE  INSURANCE  POLICY  OR CONTRACT WRITTEN BY THE INSURER THAT THE
 SUPERINTENDENT CONSIDERS NECESSARY TO IMPROVE  THE  INSURER'S  FINANCIAL
 CONDITION.

 S. 2008                            131                           A. 3008
 
   (d)  [The  superintendent  shall  identify  and  review those licensed
 property/casualty insurers  needing  immediate  or  targeted  regulatory
 attention, and shall include the number of insurers so identified in the
 report  required  by  section three hundred thirty-four of this chapter.
 Such   report   shall   also   include   the   name   of  each  licensed
 property/casualty insurer placed in  formal  conservatorship,  rehabili-
 tation or liquidation during the preceding year. Nothing herein shall be
 construed  to restrict or diminish any right or power of the superinten-
 dent under any other provision of this chapter] FOR THE PURPOSES OF THIS
 SECTION, "INSURER" SHALL MEAN  ANY  PERSON,  FIRM,  ASSOCIATION,  CORPO-
 RATION, OR JOINT-STOCK COMPANY AUTHORIZED TO DO AN INSURANCE BUSINESS IN
 THIS  STATE  BY  A  LICENSE  IN FORCE PURSUANT TO THE PROVISIONS OF THIS
 CHAPTER OR EXEMPTED BY THE PROVISIONS OF THIS CHAPTER FROM SUCH  LICENS-
 ING, EXCEPT THAT, FOR PURPOSES OF THIS SECTION, THE TERM "INSURER" SHALL
 NOT  INCLUDE  ANY  HEALTH MAINTENANCE ORGANIZATION OPERATING PURSUANT TO
 SECTION ONE THOUSAND ONE HUNDRED NINE OF THIS CHAPTER OR ANY  CONTINUING
 CARE RETIREMENT COMMUNITY OPERATING PURSUANT TO SECTION ONE THOUSAND ONE
 HUNDRED NINETEEN OF THIS CHAPTER.
   § 2. This act shall take effect immediately.
   § 2. Severability clause. If any clause, sentence, paragraph, subdivi-
 sion,  section  or subpart of this act shall be adjudged by any court of
 competent jurisdiction to be invalid, such judgment  shall  not  affect,
 impair,  or  invalidate  the remainder thereof, but shall be confined in
 its operation to the clause, sentence, paragraph,  subdivision,  section
 or  subpart  thereof  directly involved in the controversy in which such
 judgment shall have been rendered. It  is  hereby  declared  to  be  the
 intent  of the legislature that this act would have been enacted even if
 such invalid provisions had not been included herein.
   § 3. This act shall take effect immediately  provided,  however,  that
 the  applicable effective date of Subparts A through C of this act shall
 be as specifically set forth in the last section of such Subparts.
 
                                  PART HH
 
   Section 1. Paragraph (a) of subdivision 2 of section 179 of the  navi-
 gation  law, as amended by section 2 of part X of chapter 58 of the laws
 of 2015, is amended to read as follows:
   (a) An account which shall be  credited  with  all  license  fees  and
 penalties  collected  pursuant  to  paragraph (b) of subdivision one and
 paragraph (a) of subdivision four of section one hundred seventy-four of
 this article EXCEPT AS PROVIDED IN SECTION ONE HUNDRED SEVENTY-NINE-A OF
 THIS PART, the portion of the surcharge collected pursuant to  paragraph
 (d)  of  subdivision  four  of  section one hundred seventy-four of this
 article, penalties collected pursuant to paragraph  (b)  of  subdivision
 four  of  section  one  hundred  seventy-four-a  of  this article, money
 collected pursuant to section one hundred eighty-seven of this [article]
 PART, all penalties collected pursuant to section one hundred ninety-two
 of this article, and registration fees collected pursuant to subdivision
 two of section 17-1009 of the environmental conservation law.
   § 2. The navigation law is amended by adding a new  section  179-a  to
 read as follows:
   §  179-A.  NEW  YORK  ENVIRONMENTAL  PROTECTION  AND SPILL REMEDIATION
 ACCOUNT. 1. THERE IS HEREBY CREATED AN ACCOUNT WITHIN THE  MISCELLANEOUS
 CAPITAL  PROJECTS  FUND, THE NEW YORK ENVIRONMENTAL PROTECTION AND SPILL
 REMEDIATION ACCOUNT. THE NEW YORK  ENVIRONMENTAL  PROTECTION  AND  SPILL
 REMEDIATION  ACCOUNT SHALL CONSIST OF LICENSE FEES RECEIVED BY THE STATE

 S. 2008                            132                           A. 3008
 
 PURSUANT TO SECTION ONE HUNDRED SEVENTY-FOUR  OF  THIS  ARTICLE,  IN  AN
 AMOUNT EQUAL TO EXPENDITURES MADE FROM THIS ACCOUNT.
   2.  THESE  MONEYS,  AFTER APPROPRIATION BY THE LEGISLATURE, AND WITHIN
 THE AMOUNTS SET FORTH AND FOR THE SEVERAL PURPOSES SPECIFIED,  SHALL  BE
 AVAILABLE  TO REIMBURSE THE DEPARTMENT OF ENVIRONMENTAL CONSERVATION FOR
 EXPENDITURES ASSOCIATED  WITH  THE  PURPOSES  OF  COSTS  INCURRED  UNDER
 SECTION  ONE  HUNDRED SEVENTY-SIX OF THIS ARTICLE, INCLUDING CLEANUP AND
 REMOVAL OF PETROLEUM SPILLS, AND OTHER CAPITAL,  INVESTIGATION,  MAINTE-
 NANCE AND REMEDIATION COSTS.
   3.  ALL  PAYMENTS  MADE FROM THE NEW YORK ENVIRONMENTAL PROTECTION AND
 SPILL REMEDIATION ACCOUNT  SHALL  BE  MADE  BY  THE  ADMINISTRATOR  UPON
 CERTIFICATION BY THE COMMISSIONER.
   4.  SPENDING  PURSUANT TO THIS SECTION SHALL BE INCLUDED IN THE ANNUAL
 REPORT REQUIRED BY SECTION ONE HUNDRED NINETY-SIX OF THIS ARTICLE.
   § 3. This act shall take effect immediately and  shall  be  deemed  to
 have been in full force and effect on and after April 1, 2017.
 
                                  PART II
 
   Section  1.  This  act  shall  be known and may be cited as the "clean
 water infrastructure act of 2017".
   § 2. Article 15 of the environmental conservation law  is  amended  by
 adding a new title 33 to read as follows:
 
                                 TITLE 33
                     SOURCE WATER PROTECTION PROJECTS
 SECTION 15-3301. DEFINITIONS.
         15-3303. LAND ACQUISITION PROJECTS FOR SOURCE WATER PROTECTION.
 § 15-3301. DEFINITIONS.
   AS USED IN THIS TITLE THE FOLLOWING TERMS SHALL MEAN:
   1.  "LAND  ACQUISITION PROJECTS" MEANS OPEN SPACE ACQUISITION PROJECTS
 UNDERTAKEN WITH WILLING SELLERS  INCLUDING,  BUT  NOT  LIMITED  TO,  THE
 PURCHASE  OF  CONSERVATION  EASEMENTS,  UNDERTAKEN  BY A MUNICIPALITY, A
 NOT-FOR-PROFIT CORPORATION, OR PURCHASE OF CONSERVATION EASEMENTS  BY  A
 SOIL AND WATER CONVERSATION DISTRICT.
   2.  "MUNICIPALITY"  MEANS  THE SAME AS SUCH TERM AS DEFINED IN SECTION
 56-0101 OF THIS CHAPTER.
   3. "NOT-FOR-PROFIT CORPORATION" MEANS A CORPORATION FORMED PURSUANT TO
 THE NOT-FOR-PROFIT CORPORATION LAW AND QUALIFIED FOR  TAX-EXEMPT  STATUS
 UNDER THE FEDERAL INTERNAL REVENUE CODE.
   4.  "SOIL AND WATER CONSERVATION DISTRICT" MEANS THE SAME AS SUCH TERM
 AS DEFINED IN SECTION FIVE OF THE SOIL AND WATER CONSERVATION  DISTRICTS
 LAW.
   5.  "STATE ASSISTANCE PAYMENT" MEANS PAYMENT OF THE STATE SHARE OF THE
 COST OF PROJECTS AUTHORIZED BY THIS TITLE TO PRESERVE, ENHANCE,  RESTORE
 AND IMPROVE THE QUALITY OF THE STATE'S ENVIRONMENT.
 § 15-3303. LAND ACQUISITION PROJECTS FOR SOURCE WATER PROTECTION.
   1. THE COMMISSIONER IS AUTHORIZED TO PROVIDE STATE ASSISTANCE TO MUNI-
 CIPALITIES,  NOT-FOR-PROFIT CORPORATIONS AND SOIL AND WATER CONSERVATION
 DISTRICTS TO  UNDERTAKE  LAND  ACQUISITION  PROJECTS  FOR  SOURCE  WATER
 PROTECTION, IN COOPERATION WITH WILLING SELLERS. PROJECTS SHALL DEVELOP,
 EXPAND OR ENHANCE WATER QUALITY PROTECTION, INCLUDING BUT NOT LIMITED TO
 AQUIFERS,  WATERSHEDS,  RESERVOIRS,  LAKES,  RIVERS  AND  STREAMS.   THE
 DEPARTMENT SHALL SET FORTH THE STATE SHARE OF LAND ACQUISITION  PROJECTS
 IN ANY REQUEST FOR PROPOSAL ISSUED TO SOLICIT PROJECTS.

 S. 2008                            133                           A. 3008

   2.  ANY  CONSERVATION  EASEMENT ACQUIRED PURSUANT TO THIS SECTION THAT
 ENCUMBERS LANDS IN A  COUNTY  DESIGNATED  STATE  CERTIFIED  AGRICULTURAL
 DISTRICT  SHALL  ALLOW AGRICULTURAL ACTIVITY ON SUCH LANDS PROVIDED THAT
 THE ACTIVITY COMPLIES WITH ALL  APPLICABLE  TECHNICAL  STANDARDS  ESTAB-
 LISHED BY THE NATURAL RESOURCES CONSERVATION SERVICE.
   3.  IN  EVALUATING  PROJECTS  PURSUANT TO THIS SECTION, THE DEPARTMENT
 SHALL GIVE PRIORITY FIRST TO PROJECTS WHICH PROTECT OR RECHARGE DRINKING
 WATER SOURCES AND WATERSHEDS INCLUDING RIPARIAN BUFFERS  AND  SECOND  TO
 PROJECTS WHICH IMPROVE RESILIENCE.
   4.  NO  STATE  ASSISTANCE  MAY BE PROVIDED PURSUANT TO THIS SECTION TO
 FUND ANY PROJECT COMMITTED TO IN ANY AGREEMENT PURSUANT TO A  FILTRATION
 AVOIDANCE DETERMINATION.
   5. THE COMMISSIONER MAY ENTER INTO A CONTRACT WITH A MUNICIPALITY OR A
 NOT-FOR-PROFIT  CORPORATION  FOR  THE  UNDERTAKING OF A LAND ACQUISITION
 PROJECT. COSTS UNDER SUCH CONTRACTS ARE SUBJECT TO FINAL COMPUTATION  BY
 THE  DEPARTMENT UPON COMPLETION OF THE PROJECT, AND SHALL NOT EXCEED THE
 MAXIMUM ELIGIBLE COST SET FORTH IN ANY SUCH CONTRACT.
   6. THE COST OF A SOURCE WATER PROTECTION LAND ACQUISITION PROJECT  MAY
 INCLUDE  THE  COST  OF PREPARATION OF A PLAN FOR THE PRESERVATION OF THE
 REAL PROPERTY INTEREST IN LAND ACQUIRED PURSUANT TO THIS SECTION  EXCEPT
 WHERE  SUCH  CONSIDERATIONS  HAVE ALREADY BEEN UNDERTAKEN AS PART OF ANY
 EXISTING PLAN APPLICABLE TO THE NEWLY ACQUIRED REAL PROPERTY INTEREST IN
 LAND.
   7. THE SOIL AND WATER CONSERVATION COMMITTEE IN CONSULTATION WITH  THE
 COMMISSIONER  OF  AGRICULTURE AND MARKETS IS AUTHORIZED TO PROVIDE STATE
 ASSISTANCE PAYMENTS TO COUNTY SOIL AND WATER CONSERVATION DISTRICTS  FOR
 LAND  ACQUISITION  PROJECTS  FOR SOURCE WATER PROTECTION CONSISTENT WITH
 SECTION ELEVEN-B OF THE  SOIL  AND  WATER  CONSERVATION  DISTRICTS  LAW.
 PROJECTS  SHALL  DEVELOP,  EXPAND  OR  ENHANCE WATER QUALITY PROTECTION,
 INCLUDING BUT NOT LIMITED TO AQUIFERS,  WATERSHEDS,  RESERVOIRS,  LAKES,
 RIVERS  AND  STREAMS.    SUCH  COMMITTEE SHALL GIVE PRIORITY TO PROJECTS
 WHICH ESTABLISH BUFFERS FROM WATERS WHICH SERVES AS OR  ARE  TRIBUTARIES
 TO  DRINKING  WATER  SUPPLIES  FOR  SUCH PROJECTS USING STATE ASSISTANCE
 PURSUANT TO THIS SECTION.
   8. A. REAL PROPERTY ACQUIRED, DEVELOPED, IMPROVED, RESTORED  OR  REHA-
 BILITATED  BY OR THROUGH A MUNICIPALITY WITH FUNDS MADE AVAILABLE PURSU-
 ANT TO THIS TITLE SHALL NOT  BE  SOLD,  LEASED,  EXCHANGED,  DONATED  OR
 OTHERWISE  DISPOSED  OF  OR USED FOR OTHER THAN WATER QUALITY PROTECTION
 PURPOSES WITHOUT APPROVAL FROM THE DEPARTMENT, WHICH SHALL  PROVIDE  FOR
 THE  SUBSTITUTION  OF  OTHER LANDS OF EQUAL ENVIRONMENTAL VALUE AND FAIR
 MARKET VALUE AND REASONABLY EQUIVALENT USEFULNESS AND LOCATION TO  THOSE
 TO  BE DISCONTINUED, SOLD OR DISPOSED OF, AND SUCH OTHER REQUIREMENTS AS
 SHALL BE APPROVED BY THE COMMISSIONER; PROVIDED, HOWEVER, THAT SUCH REAL
 PROPERTY MAY BE SOLD, LEASED, EXCHANGED, DONATED OR  OTHERWISE  DISPOSED
 OF  TO  THE STATE, ANOTHER MUNICIPALITY OR A NOT-FOR-PROFIT FOR THE SAME
 PURPOSES.
   B. REAL PROPERTY ACQUIRED BY A NOT-FOR-PROFIT ORGANIZATION WITH  FUNDS
 MADE  AVAILABLE  PURSUANT  TO  THIS  TITLE  SHALL  NOT  BE SOLD, LEASED,
 EXCHANGED, DONATED OR OTHERWISE DISPOSED OF, EXCEPT TO A MUNICIPALITY OR
 THE STATE FOR THE SAME PURPOSES, WITHOUT THE APPROVAL OF THE DEPARTMENT.
   9. IF THE STATE ACQUIRES A REAL PROPERTY INTEREST IN LAND PURCHASED BY
 A MUNICIPALITY OR NOT-FOR-PROFIT WITH FUNDS MADE AVAILABLE  PURSUANT  TO
 THIS  TITLE,  THE STATE SHALL PAY THE FAIR MARKET VALUE OF SUCH INTEREST
 LESS THE AMOUNT OF FUNDING  PROVIDED  BY  THE  STATE  PURSUANT  TO  THIS
 SECTION.

 S. 2008                            134                           A. 3008
 
   §  3. The public health law is amended by adding a new section 1113 to
 read as follows:
   §  1113. LEAD SERVICE LINE REPLACEMENT GRANT PROGRAM.  NOTWITHSTANDING
 SECTION ONE HUNDRED SIXTY-THREE OF THE STATE FINANCE LAW OR  ANY  INCON-
 SISTENT  PROVISION  OF LAW TO THE CONTRARY, AND WITHIN AMOUNTS APPROPRI-
 ATED THEREFOR, THE DEPARTMENT SHALL AWARD GRANTS TO MUNICIPALITIES WITH-
 OUT A FORMAL COMPETITIVE PROCESS, FOR PURPOSES OF REPLACING LEAD SERVICE
 LINES USED TO SUPPLY DRINKING  WATER.  WHEN  DETERMINING  WHICH  MUNICI-
 PALITIES SHALL RECEIVE AWARDS AND THE AMOUNT OF SUCH AWARDS, THE DEPART-
 MENT  SHALL  CONSIDER  FOR  EACH MUNICIPALITY THE COST OF REPLACING LEAD
 SERVICE LINES AND THE NUMBER OF PERSONS WHO RECEIVE DRINKING WATER  FROM
 SUCH SERVICE LINES, AND SHALL GIVE PRIORITY TO THOSE MUNICIPALITIES WITH
 LOW-INCOME  COMMUNITIES,  ACCORDING  TO A METHODOLOGY AS SHALL BE DETER-
 MINED BY THE DEPARTMENT.
   § 4. Article 27 of the environmental conservation law  is  amended  by
 adding a new title 12 to read as follows:
 
                                 TITLE 12
   CLEANUP AND ABATEMENT OF CERTAIN SOLID WASTE SITE AND DRINKING WATER
                               CONTAMINATION
 SECTION 27-1201. DEFINITIONS.
         27-1203. MITIGATION AND CLEANUP OF SOLID WASTE SITES.
         27-1205. MITIGATION OF CONTAMINANTS IN DRINKING WATER.
         27-1207. USE  AND  REPORTING  OF  SOLID WASTE AND DRINKING WATER
                    RESPONSE ACCOUNT.
         27-1209. RULES AND REGULATIONS.
 § 27-1201. DEFINITIONS.
   WHEN USED IN THIS TITLE:
   1. "MITIGATION AND CLEANUP" MEANS THE INVESTIGATION, SAMPLING, MANAGE-
 MENT, REMOVAL, REMEDIATION OR RESTORATION OF A SOLID WASTE SITE AND  ALL
 OTHER  ACTIONS  REQUIRED  TO RESTORE OR PROTECT DRINKING WATER SUPPLIES,
 GROUNDWATER, OR OTHER ENVIRONMENTAL MEDIA AND RESTORATION OF THE SITE TO
 A CONDITION THAT IT IS NO LONGER CAUSING OR CONTRIBUTING TO POLLUTION OF
 GROUNDWATER, WATER SUPPLIES OR THE ENVIRONMENT.
   2. "SOLID WASTE SITE" MEANS A DISPOSAL FACILITY AS  DEFINED  IN  REGU-
 LATIONS  WHERE SOLID WASTE HAS BEEN IMPROPERLY DISPOSED AS DETERMINED BY
 THE DEPARTMENT OR A COURT OF COMPETENT JURISDICTION,  OR  AN  ACTIVE  OR
 INACTIVE SOLID WASTE MANAGEMENT FACILITY AS DEFINED IN REGULATIONS WHERE
 AN IMPACT TO DRINKING WATER SUPPLIES, GROUNDWATER CONTAMINATION OR OTHER
 ENVIRONMENTAL  CONTAMINATION  IS  KNOWN  OR  SUSPECTED. SOLID WASTE SITE
 SHALL NOT INCLUDE A SITE SUBJECT TO INVESTIGATION OR REMEDIATION  PURSU-
 ANT TO TITLE THIRTEEN OR FOURTEEN OF THIS ARTICLE.
   3. "SOLID WASTE AND DRINKING WATER RESPONSE ACCOUNT" MEANS THE ACCOUNT
 ESTABLISHED PURSUANT TO SUBDIVISION ONE OF SECTION NINETY-SEVEN-B OF THE
 STATE FINANCE LAW.
 § 27-1203. MITIGATION AND CLEANUP OF SOLID WASTE SITES.
   1. THE SOLID WASTE SITE CLEANUP PRIORITIES IN THIS STATE ARE:
   A.  FIRST,  TO  MITIGATE  AND  CLEANUP ANY SOLID WASTE SITE CAUSING OR
 CONTRIBUTING TO IMPAIRMENTS OF DRINKING WATER QUALITY; AND
   B. SECOND, TO MITIGATE AND CLEANUP SOLID WASTE SITES WHICH ARE CAUSING
 OR CONTRIBUTING TO OTHER ENVIRONMENTAL CONTAMINATION  WHICH  MAY  IMPACT
 PUBLIC HEALTH.
   2.  THE  OWNER OR OPERATOR OF A SOLID WASTE SITE SHALL, AT THE DEPART-
 MENT'S WRITTEN REQUEST, SUBMIT TO AND COOPERATE WITH ANY AND ALL REMEDI-
 AL MEASURES DEEMED NECESSARY BY THE DEPARTMENT FOR  THE  MITIGATION  AND
 CLEANUP OF SOLID WASTE. THE DEPARTMENT MAY IMPLEMENT ALL NECESSARY MEAS-

 S. 2008                            135                           A. 3008

 URES  TO  MITIGATE  AND  CLEANUP  THE  SOLID WASTE SITE AFTER MAKING ALL
 REASONABLE EFFORTS TO IDENTIFY AND COMPEL THE OWNER OR OPERATOR TO COOP-
 ERATE WITH THE DEPARTMENT. THE DEPARTMENT IS NOT REQUIRED TO COMMENCE  A
 HEARING OR ISSUE AN ORDER PRIOR TO USING MONEYS FROM THE SOLID WASTE AND
 DRINKING WATER RESPONSE ACCOUNT.
   3.  ALL NECESSARY AND REASONABLE EXPENSES OF MITIGATION AND CLEANUP OF
 A SOLID WASTE SITE SHALL BE PAID BY THE PERSON  OR  PERSONS  WHO  OWNED,
 OPERATED OR MAINTAINED THE SOLID WASTE SITE EXCEPT AS PROVIDED IN SUBDI-
 VISION  FOUR OF THIS SECTION, OR FROM THE SOLID WASTE AND DRINKING WATER
 RESPONSE ACCOUNT AND SHALL BE A DEBT RECOVERABLE BY THE STATE  FROM  ALL
 PERSONS  WHO  OWNED,  OPERATED OR MAINTAINED THE SOLID WASTE SITE, AND A
 LIEN MAY BE IMPOSED UPON REAL PROPERTY PURSUANT TO  SUBDIVISION  SIXTEEN
 OF  SECTION NINETY-SEVEN-B OF THE STATE FINANCE LAW, AND A CHARGE MAY BE
 PLACED ON THE PREMISES UPON WHICH THE SOLID WASTE SITE IS MAINTAINED AND
 UPON ANY REAL OR PERSONAL PROPERTY, EQUIPMENT, VEHICLES,  AND  INVENTORY
 CONTROLLED  BY SUCH PERSON OR PERSONS. MONEYS RECOVERED SHALL BE PAID TO
 THE SOLID WASTE AND DRINKING WATER RESPONSE ACCOUNT.
   4. A. THE DEPARTMENT SHALL MAKE ALL REASONABLE EFFORTS TO RECOVER  THE
 FULL  AMOUNT  OF  ANY  FUNDS  EXPENDED FROM THE SOLID WASTE AND DRINKING
 WATER RESPONSE ACCOUNT FOR MITIGATION AND CLEANUP THROUGH LITIGATION  OR
 COOPERATIVE  AGREEMENTS.  ANY  AND ALL MONEYS RECOVERED, REPAID OR REIM-
 BURSED PURSUANT TO THIS SECTION SHALL BE DEPOSITED WITH THE  COMPTROLLER
 AND CREDITED TO SUCH FUND.
   B.  WHEN A MUNICIPALITY DEVELOPS AND IMPLEMENTS A PLAN TO INVESTIGATE,
 MITIGATE AND CLEANUP A SOLID WASTE SITE, AS APPROVED BY THE  DEPARTMENT,
 FOR  A  SITE WHICH IS OWNED OR HAS BEEN OPERATED BY SUCH MUNICIPALITY OR
 WHEN THE DEPARTMENT, PURSUANT  TO  AN  AGREEMENT  WITH  A  MUNICIPALITY,
 DEVELOPS AND IMPLEMENTS SUCH A PLAN, THE COMMISSIONER SHALL, IN THE NAME
 OF  THE  STATE,  AGREE IN SUCH AGREEMENT TO PROVIDE FROM THE SOLID WASTE
 AND DRINKING WATER RESPONSE ACCOUNT, WITHIN THE LIMITATIONS OF APPROPRI-
 ATIONS  THEREFOR,  SEVENTY-FIVE  PERCENT  OF  THE  ELIGIBLE  DESIGN  AND
 CONSTRUCTION COSTS OF SUCH PROGRAM WHICH ARE NOT RECOVERED FROM OR REIM-
 BURSED OR PAID BY A RESPONSIBLE PARTY OR THE FEDERAL GOVERNMENT.
   5.  THE  DEPARTMENT  SHALL HAVE THE AUTHORITY TO ENTER ALL SOLID WASTE
 SITES FOR THE PURPOSE OF INVESTIGATION, MITIGATION AND CLEANUP.
 § 27-1205. MITIGATION OF CONTAMINANTS IN DRINKING WATER.
   1. WHENEVER THE COMMISSIONER OF HEALTH HAS  REQUIRED  A  PUBLIC  WATER
 SYSTEM  TO  TAKE  ACTION  TO REDUCE EXPOSURE TO CONTAMINANTS PURSUANT TO
 SECTION ELEVEN HUNDRED TWELVE OF THE PUBLIC HEALTH LAW, OR AT  ANY  TIME
 UPON  THE  REQUEST  OF  THE  COMMISSIONER  OF HEALTH, THE DEPARTMENT MAY
 UNDERTAKE ALL REASONABLE AND NECESSARY  MEASURES  TO  ENSURE  THAT  SAFE
 DRINKING WATER IS EXPEDITIOUSLY MADE AVAILABLE TO ALL PEOPLE IN ANY AREA
 OF  THE  STATE  IN WHICH CONTAMINATION IS KNOWN TO BE PRESENT. SUCH AREA
 SHALL INCLUDE, AT A MINIMUM, ALL PROPERTIES SERVED BY THE  WATER  SYSTEM
 AND  ANY LAND AND ANY SURFACE OR UNDERGROUND WATER SOURCES IDENTIFIED BY
 THE DEPARTMENT OR DEPARTMENT OF HEALTH AS CAUSING OR CONTRIBUTING TO THE
 CONTAMINATION.  THE DEPARTMENT'S MEASURES MAY INCLUDE  THE  INSTALLATION
 OF  TREATMENT  SYSTEMS,  INCLUDING  BUT  NOT  LIMITED TO INSTALLATION OF
 ONSITE WATER SUPPLIES, OR THE  PROVISION  OF  ALTERNATIVE  WATER  SUPPLY
 SOURCES TO ENSURE THAT WATER MEETS APPLICABLE MAXIMUM CONTAMINANT LEVELS
 OR OTHER THRESHOLD CONCENTRATIONS SET BY THE DEPARTMENT OF HEALTH.
   2.  IF  THE DEPARTMENT, IN CONSULTATION WITH THE DEPARTMENT OF HEALTH,
 IS ABLE TO IDENTIFY A SOURCE OF CONTAMINATION WHICH CAUSED  OR  CONTRIB-
 UTED  TO CONTAMINATION, THE DEPARTMENT SHALL REQUIRE THE OWNER OR OPERA-
 TOR OF THE SOURCE OF CONTAMINATION TO INVESTIGATE, DEVELOP AND IMPLEMENT
 A PLAN TO REMEDIATE THE SOURCE OF CONTAMINATION.

 S. 2008                            136                           A. 3008
 
   3. THE DEPARTMENT SHALL MAKE ALL REASONABLE  EFFORTS  TO  RECOVER  THE
 FULL  AMOUNT  OF  ANY  FUNDS  EXPENDED FROM THE SOLID WASTE AND DRINKING
 WATER RESPONSE ACCOUNT FOR A DRINKING WATER RESPONSE THROUGH  LITIGATION
 OR  COOPERATIVE  AGREEMENTS.    ANY  AND ALL MONEYS RECOVERED, REPAID OR
 REIMBURSED  PURSUANT  TO  THIS SECTION SHALL BE DEPOSITED WITH THE COMP-
 TROLLER AND CREDITED TO SUCH ACCOUNT.
   A. WHEN A MUNICIPALITY DEVELOPS AND IMPLEMENTS A PLAN  TO  RESPOND  TO
 DRINKING  WATER CONTAMINATION, DETERMINED PURSUANT TO SUBDIVISION ONE OF
 THIS SECTION, AND THE PLAN IS APPROVED BY THE  DEPARTMENT,  FOR  A  SITE
 WHICH  IS  OWNED  OR  HAS BEEN OPERATED BY SUCH MUNICIPALITY OR WHEN THE
 DEPARTMENT, PURSUANT TO AN AGREEMENT WITH A MUNICIPALITY,  DEVELOPS  AND
 IMPLEMENTS  SUCH  A  PLAN,  THE  COMMISSIONER  SHALL, IN THE NAME OF THE
 STATE, AGREE IN SUCH AGREEMENT TO  PROVIDE  FROM  THE  SOLID  WASTE  AND
 DRINKING  WATER  RESPONSE  ACCOUNT,  WITHIN THE LIMITATIONS OF APPROPRI-
 ATIONS  THEREFOR,  SEVENTY-FIVE  PERCENT  OF  THE  ELIGIBLE  DESIGN  AND
 CONSTRUCTION  COSTS  OF SUCH PROGRAM AND WHICH ARE NOT RECOVERED FROM OR
 REIMBURSED OR PAID BY A RESPONSIBLE PARTY OR THE FEDERAL GOVERNMENT.
 § 27-1207. USE AND REPORTING OF SOLID WASTE AND DRINKING WATER  RESPONSE
              ACCOUNT.
   1.  THE  SOLID WASTE AND DRINKING WATER RESPONSE ACCOUNT SHALL BE MADE
 AVAILABLE TO THE DEPARTMENT FOR THE FOLLOWING PURPOSES:
   A. ENUMERATION AND ASSESSMENT OF SOLID WASTE SITES;
   B. INVESTIGATION AND ENVIRONMENTAL  CHARACTERIZATION  OF  SOLID  WASTE
 SITES, INCLUDING ENVIRONMENTAL SAMPLING;
   C. MITIGATION AND CLEANUP OF SOLID WASTE SITES;
   D. MITIGATION OF DRINKING WATER CONTAMINATION;
   E. MONITORING OF SOLID WASTE SITES; AND
   F. ADMINISTRATION AND ENFORCEMENT OF THE REQUIREMENTS OF THIS TITLE.
   2.  ON  OR  BEFORE JULY FIRST, TWO THOUSAND NINETEEN AND JULY FIRST OF
 EACH SUCCEEDING YEAR, THE DEPARTMENT SHALL REPORT ON THE STATUS  OF  THE
 PROGRAM.
 § 27-1209. RULES AND REGULATIONS.
   THE  COMMISSIONER  SHALL  HAVE THE POWER TO PROMULGATE RULES AND REGU-
 LATIONS NECESSARY AND APPROPRIATE TO CARRY  OUT  THE  PURPOSES  OF  THIS
 TITLE.
   § 5. Subdivisions 1, 2 and 6 and paragraphs (i) and (j) of subdivision
 3 of section 97-b of the state finance law, subdivision 1 as amended and
 paragraph  (j) of subdivision 3 as added by section 4 of part I of chap-
 ter 1 of the laws of 2003, subdivision 2 as amended by section 5 of part
 X of chapter 58 of the laws of 2015, paragraph (i) of subdivision  3  as
 amended by section 1 of part R of chapter 59 of the laws of 2007, subdi-
 vision 6 as amended by chapter 38 of the laws of 1985, are amended and a
 new paragraph (k) is added to subdivision 3 to read as follows:
   1. There is hereby established in the custody of the state comptroller
 a nonlapsing revolving fund to be known as the "hazardous waste remedial
 fund",  which  shall  consist of [a "site investigation and construction
 account",] an "industry fee transfer account", an "environmental  resto-
 ration  project  account",  "hazardous  waste  cleanup account", [and] a
 "hazardous waste remediation oversight and  assistance  account"  AND  A
 "SOLID WASTE AND DRINKING WATER RESPONSE ACCOUNT".
   2. Such fund shall consist of all of the following:
   (a) [moneys appropriated for transfer to the fund's site investigation
 and  construction  account;  (b) all fines and other sums accumulated in
 the fund prior to April first, nineteen hundred eighty-eight pursuant to
 section 71-2725 of the environmental conservation law for deposit in the
 fund's site investigation and  construction  account;  (c)]  all  moneys

 S. 2008                            137                           A. 3008
 
 collected or received by the department of taxation and finance pursuant
 to  section 27-0923 of the environmental conservation law for deposit in
 the fund's industry fee transfer account; [(d)] (B) all moneys paid into
 the  fund  pursuant to section 72-0201 of the environmental conservation
 law which shall  be  deposited  in  the  fund's  industry  fee  transfer
 account;  [(e)]  (C) all moneys paid into the fund pursuant to paragraph
 (b) of subdivision one of section one hundred eighty-six of the  naviga-
 tion  law  which  shall be deposited in the fund's industry fee transfer
 account; [(f)] (D) all [monies] MONEYS recovered under sections 56-0503,
 56-0505 and 56-0507 of  the  environmental  conservation  law  into  the
 fund's  environmental  restoration  project  account; [(g)] (E) all fees
 paid into the fund pursuant to  section  72-0402  of  the  environmental
 conservation  law  which  shall  be deposited in the fund's industry fee
 transfer account; [(h)]  (F)  payments  received  for  all  state  costs
 incurred  in negotiating and overseeing the implementation of brownfield
 site cleanup agreements pursuant to title fourteen  of  article  twenty-
 seven  of  the  environmental conservation law shall be deposited in the
 hazardous waste remediation oversight and assistance  account;  (G)  ALL
 MONEYS RECOVERED PURSUANT TO TITLE TWELVE OF ARTICLE TWENTY-SEVEN OF THE
 ENVIRONMENTAL  CONSERVATION LAW INTO THE FUND'S SOLID WASTE AND DRINKING
 WATER RESPONSE ACCOUNT and [(i)] (H) other  moneys  credited  or  trans-
 ferred  thereto  from any other fund or source for deposit in the fund's
 [site investigation and construction] HAZARDOUS WASTE CLEANUP account.
   (i) with respect to moneys in the hazardous  waste  remediation  over-
 sight and assistance account, non-bondable costs associated with hazard-
 ous  waste  remediation  projects. Such costs shall be limited to agency
 staff costs associated with the administration of state  assistance  for
 brownfield  opportunity areas pursuant to section nine hundred seventy-r
 of the general municipal law, agency staff  costs  associated  with  the
 administration  of  technical assistance grants pursuant to titles thir-
 teen and fourteen of article twenty-seven of the environmental conserva-
 tion law, and costs of  the  department  of  environmental  conservation
 related  to the geographic information system required by section 3-0315
 of the environmental conservation law; [and]
   (j) with respect to moneys in the hazardous  waste  remediation  over-
 sight  and  assistance  account, technical assistance grants pursuant to
 titles thirteen and fourteen of article  twenty-seven  of  the  environ-
 mental conservation law[.]; AND
   (K)  WITH  RESPECT  TO  MONEYS  IN  THE SOLID WASTE AND DRINKING WATER
 RESPONSE ACCOUNT, WHEN ALLOCATED, SHALL BE AVAILABLE TO  THE  DEPARTMENT
 OF ENVIRONMENTAL CONSERVATION TO UNDERTAKE MITIGATION AND CLEANUP AS THE
 DEPARTMENT  OF ENVIRONMENTAL CONSERVATION MAY DETERMINE NECESSARY DUE TO
 ENVIRONMENTAL CONDITIONS RELATED TO A SOLID WASTE SITE PURSUANT TO TITLE
 TWELVE OF ARTICLE TWENTY-SEVEN OF  THE  ENVIRONMENTAL  CONSERVATION  LAW
 WHICH  INDICATES THAT CONDITIONS ON SUCH PROPERTY ARE IMPAIRING DRINKING
 WATER QUALITY, GROUND WATER  QUALITY  OR  CREATING  OTHER  ENVIRONMENTAL
 CONTAMINATION  AND  TO  ENSURE  THE  PROVISION OF SAFE DRINKING WATER IN
 AREAS DETERMINED TO HAVE DRINKING WATER CONTAMINATION BY THE  DEPARTMENT
 OF HEALTH.
   6.  The  commissioner  of the department of environmental conservation
 shall make all reasonable efforts to recover  the  full  amount  of  any
 funds expended from the fund pursuant to paragraph (a) AND PARAGRAPH (K)
 of  subdivision  three of this section through litigation or cooperative
 agreements with responsible persons. Any and  all  moneys  recovered  or
 reimbursed  pursuant  to  this  section  through voluntary agreements or

 S. 2008                            138                           A. 3008
 
 court orders shall be deposited with the comptroller and credited to the
 account of such fund from which such expenditures were made.
   §  6. Section 97-b of the state finance law is amended by adding a new
 subdivision 16 to read as follows:
   16. (A) ALL COSTS AND DAMAGES FOR WHICH A  PERSON  IS  LIABLE  TO  THE
 STATE  OF  NEW  YORK UNDER TITLES TWELVE AND THIRTEEN OF ARTICLE TWENTY-
 SEVEN OF THE ENVIRONMENTAL CONSERVATION LAW SHALL CONSTITUTE A  LIEN  IN
 FAVOR  OF  THE  STATE UPON ALL REAL PROPERTY AND RIGHTS TO SUCH PROPERTY
 WHICH: (I) BELONGS TO SUCH PERSON; AND (II) ARE SUBJECT TO MITIGATION OR
 CLEANUP PURSUANT TO TITLE TWELVE OF ARTICLE TWENTY-SEVEN OF THE ENVIRON-
 MENTAL CONSERVATION LAW OR AN INACTIVE  HAZARDOUS  WASTE  DISPOSAL  SITE
 REMEDIAL  PROGRAM  PURSUANT TO TITLE THIRTEEN OF ARTICLE TWENTY-SEVEN OF
 THE ENVIRONMENTAL CONSERVATION LAW.
   (B) THE LIEN IMPOSED BY THIS SUBDIVISION SHALL ARISE AT THE  LATER  OF
 THE  FOLLOWING:  (I) THE TIME COSTS ARE FIRST INCURRED BY THE STATE WITH
 RESPECT TO A RESPONSE ACTION PURSUANT TO TITLES TWELVE AND  THIRTEEN  OF
 ARTICLE  TWENTY-SEVEN OF THE ENVIRONMENTAL CONSERVATION LAW; OR (II) THE
 TIME THAT THE PERSON REFERRED TO IN PARAGRAPH (A) OF THIS SUBDIVISION IS
 PROVIDED (BY CERTIFIED OR REGISTERED MAIL) WRITTEN NOTICE  OF  POTENTIAL
 LIABILITY.  SUCH  LIEN SHALL CONTINUE UNTIL THE LIABILITY FOR THE COSTS,
 OR A JUDGMENT AGAINST THE PERSON  ARISING  OUT  OF  SUCH  LIABILITY,  IS
 SATISFIED, BECOMES UNENFORCEABLE, IS OTHERWISE VACATED BY COURT ORDER OR
 IS  RELEASED  BY  THE COMMISSIONER OF ENVIRONMENTAL CONSERVATION WHERE A
 LEGALLY ENFORCEABLE AGREEMENT SATISFACTORY TO THE COMMISSIONER HAS  BEEN
 EXECUTED  RELATING  TO THE CLEANUP AND REMOVAL COSTS AND DAMAGE COSTS OR
 REIMBURSING THE HAZARDOUS WASTE REMEDIAL FUND FOR  CLEANUP  AND  REMOVAL
 COSTS  AND DAMAGE COSTS, OR THE ATTACHMENT OR ENFORCEMENT OF THE LIEN IS
 DETERMINED BY THE COMMISSIONER NOT TO BE IN THE PUBLIC INTEREST.
   (C) THE LIEN SHALL STATE: (I) THAT THE LIENOR IS THE  HAZARDOUS  WASTE
 REMEDIAL  FUND;  (II)  THE  NAME OF RECORD OWNER OF THE REAL PROPERTY ON
 WHICH THE LIEN HAS ATTACHED; (III) THE  REAL  PROPERTY  SUBJECT  TO  THE
 LIEN,  WITH  A  DESCRIPTION  THEREOF SUFFICIENT FOR IDENTIFICATION; (IV)
 THAT THE REAL PROPERTY DESCRIBED IN THE NOTICE IS OR HAS BEEN SUBJECT TO
 MITIGATION OR CLEANUP PURSUANT TO TITLE TWELVE OF  ARTICLE  TWENTY-SEVEN
 OF  THE  ENVIRONMENTAL  CONSERVATION  LAW OR AN INACTIVE HAZARDOUS WASTE
 DISPOSAL SITE REMEDIAL PROGRAM PURSUANT TO  TITLE  THIRTEEN  OF  ARTICLE
 TWENTY-SEVEN  OF  THE ENVIRONMENTAL CONSERVATION LAW AND THAT COSTS HAVE
 BEEN INCURRED BY THE LIENOR AS A RESULT OF SUCH ACTIVITIES; (V) THAT THE
 OWNER IS POTENTIALLY LIABLE FOR COSTS; AND (VI) THAT A LIEN HAS ATTACHED
 TO THE DESCRIBED REAL PROPERTY.
   (D) THE LIEN IMPOSED BY THIS  SUBDIVISION  SHALL  BE  SUBJECT  TO  THE
 RIGHTS OF ANY PURCHASER ENTITLED TO THE AFFIRMATIVE DEFENSE SET FORTH IN
 SUBPARAGRAPH  THREE  OF  PARAGRAPH  (A)  OF  SUBDIVISION FOUR OF SECTION
 27-1323 OF THE ENVIRONMENTAL CONSERVATION  LAW,  HOLDER  OF  A  SECURITY
 INTEREST,  OR  JUDGMENT  LIEN CREDITOR WHOSE INTEREST IS PERFECTED UNDER
 NEW YORK STATE LAW BEFORE NOTICE OF THE LIEN HAS BEEN FILED PURSUANT  TO
 PARAGRAPH (E) OF THIS SUBDIVISION.
   (E) A NOTICE OF LIEN IMPOSED BY THIS SUBDIVISION SHALL BE FILED PURSU-
 ANT TO THE REQUIREMENTS OF SECTION ONE HUNDRED EIGHTY-ONE-C OF THE NAVI-
 GATION  LAW;  PROVIDED  HOWEVER,  THAT  A  COPY OF THE NOTICE OF LIEN IS
 SERVED UPON THE OWNER OF THE  REAL  PROPERTY  SUBJECT  TO  THE  LIEN  IN
 ACCORDANCE WITH THE PROVISIONS OF SECTION ELEVEN OF THE LIEN LAW.
   (F)  THE  COSTS CONSTITUTING THE LIEN MAY BE RECOVERED IN AN ACTION IN
 REM IN A COURT OF COMPETENT JURISDICTION. NOTHING  IN  THIS  SUBDIVISION
 SHALL  AFFECT  THE  RIGHT  OF  THE  STATE TO BRING AN ACTION AGAINST ANY
 PERSON TO RECOVER ALL COSTS AND DAMAGES FOR WHICH SUCH PERSON IS  LIABLE

 S. 2008                            139                           A. 3008
 
 UNDER TITLES TWELVE AND THIRTEEN OF ARTICLE TWENTY-SEVEN OF THE ENVIRON-
 MENTAL CONSERVATION LAW.
   §  7.  The  public  authorities law is amended by adding a new section
 1285-s to read as follows:
   § 1285-S. NEW YORK STATE REGIONAL WATER INFRASTRUCTURE PROJECTS.    1.
 FOR  PURPOSES  OF  THIS  SECTION, "MUNICIPALITY" MEANS ANY COUNTY, CITY,
 TOWN,  VILLAGE,  DISTRICT  CORPORATION,  COUNTY  OR   TOWN   IMPROVEMENT
 DISTRICT, ANY PUBLIC BENEFIT CORPORATION OR PUBLIC AUTHORITY ESTABLISHED
 PURSUANT  TO  THE LAWS OF NEW YORK OR ANY AGENCY OF NEW YORK STATE WHICH
 IS EMPOWERED TO CONSTRUCT AND OPERATE A WASTE WATER  OR  DRINKING  WATER
 INFRASTRUCTURE  PROJECT,  OR  ANY TWO OR MORE OF THE FOREGOING WHICH ARE
 ACTING JOINTLY IN CONNECTION WITH SUCH A PROJECT.
   2. (A) THE CORPORATION SHALL ESTABLISH, WITH  FUNDS  APPROPRIATED  FOR
 SUCH  PURPOSE,  A  NEW  YORK  STATE REGIONAL WATER INFRASTRUCTURE GRANTS
 PROGRAM TO PROVIDE STATE ASSISTANCE TO MUNICIPALITIES  FOR  WASTE  WATER
 AND  DRINKING  WATER INFRASTRUCTURE PROJECTS THAT HAVE A REGIONAL IMPACT
 OR DEMONSTRATED EFFICIENCIES. SUCH REGIONAL PROJECTS  SHALL  BENEFIT  OR
 SERVE  MULTIPLE  MUNICIPALITIES,  AND MAY INCLUDE SHARED INFRASTRUCTURE,
 CONSOLIDATION OR INTERCONNECTION OF SYSTEMS OF MULTIPLE  MUNICIPALITIES,
 OR PROJECTS THAT OTHERWISE ACHIEVE EFFICIENCIES.
   (B)  A  MUNICIPALITY  MAY  MAKE  AN  APPLICATION  FOR A REGIONAL WATER
 INFRASTRUCTURE GRANT IN A MANNER, FORM AND TIMEFRAME AND CONTAINING SUCH
 INFORMATION AS  THE  CORPORATION  MAY  REQUIRE  PROVIDED  HOWEVER,  SUCH
 REQUIREMENTS  SHALL  NOT  INCLUDE A REQUIREMENT FOR PRIOR LISTING ON THE
 INTENDED USE PLAN.
   3. MONEYS FOR THE REGIONAL WATER INFRASTRUCTURE GRANTS  PROGRAM  SHALL
 BE  SEGREGATED  FROM  ALL OTHER FUNDS OF OR IN THE CUSTODY OF THE CORPO-
 RATION AND SHALL ONLY BE USED TO PROVIDE  STATE  ASSISTANCE  TO  MUNICI-
 PALITIES  IN  ACCORDANCE  WITH  THE  PROVISIONS  OF  THIS SECTION AND TO
 PROVIDE FOR THE ADMINISTRATIVE AND MANAGEMENT COSTS OF THE PROGRAM.
   4. MONEYS FOR THE REGIONAL WATER INFRASTRUCTURE GRANTS PROGRAM MAY  BE
 INVESTED AS PROVIDED IN SUBDIVISION SIX OF SECTION TWELVE HUNDRED EIGHT-
 Y-FIVE-J OF THIS TITLE.
   5.  CONTRACTS  FOR  THE  CONSTRUCTION  OF PROJECTS FINANCED WITH STATE
 ASSISTANCE MADE AVAILABLE PURSUANT TO THIS SECTION SHALL BE  SUBJECT  TO
 THE  REQUIREMENTS  OF  SECTION  TWO  HUNDRED TWENTY OF THE LABOR LAW AND
 SHALL BE CONSIDERED "STATE CONTRACTS" SUBJECT TO  THE  REQUIREMENTS  AND
 PROVISIONS OF ARTICLE FIFTEEN-A OF THE EXECUTIVE LAW.
   § 8. Section 1285-q of the public authorities law, as added by section
 6  of  part  I of chapter 1 of the laws of 2003, subdivisions 1 and 3 as
 amended by section 43 of part BB of chapter 56 of the laws of  2015,  is
 amended to read as follows:
   §  1285-q.  Financing  of  hazardous  waste site remediation AND SOLID
 WASTE AND DRINKING WATER RESPONSE SITE projects. In order to  effectuate
 the  purposes  of  this  title, the corporation shall have the following
 additional special powers:
   1. Subject to chapter fifty-nine of the  laws  of  two  thousand,  but
 notwithstanding any other provisions of law to the contrary, in order to
 assist the corporation in undertaking the administration and the financ-
 ing  of  hazardous  waste  site  remediation projects for payment of the
 state's share of the costs of the remediation of hazardous  waste  sites
 AND  SOLID  WASTE  AND DRINKING WATER RESPONSE SITES, in accordance with
 [title] TITLES TWELVE AND thirteen of article twenty-seven of the  envi-
 ronmental  conservation  law  and  section  ninety-seven-b  of the state
 finance law, and for payment of state costs associated with the  remedi-
 ation  of  offsite contamination at significant threat sites as provided

 S. 2008                            140                           A. 3008
 
 in section 27-1411 of the environmental conservation law, and  beginning
 in  state  fiscal  year  two thousand fifteen - two thousand sixteen for
 environmental restoration projects pursuant to  title  five  of  article
 fifty-six  of  the  environmental conservation law provided that funding
 for such projects shall not exceed ten percent of the funding  appropri-
 ated  for  the  purposes  of  financing hazardous waste site remediation
 projects, pursuant to [title] TITLES  TWELVE  AND  thirteen  of  article
 twenty-seven  of  the environmental conservation law in any state fiscal
 year pursuant to capital appropriations made to the department of  envi-
 ronmental  conservation,  the director of the division of budget and the
 corporation are each authorized  to  enter  into  one  or  more  service
 contracts,  none  of  which  shall exceed twenty years in duration, upon
 such terms and conditions as the director and the corporation may agree,
 so as to annually provide to the corporation in the aggregate, a sum not
 to exceed the annual debt service payments and related expenses required
 for any bonds and notes authorized pursuant to  section  twelve  hundred
 ninety of this title. Any service contract entered into pursuant to this
 section shall provide that the obligation of the state to fund or to pay
 the  amounts  therein  provided  for  shall not constitute a debt of the
 state within the meaning of any constitutional  or  statutory  provision
 and shall be deemed executory only to the extent of moneys available for
 such  purposes,  subject to annual appropriation by the legislature. Any
 such service contract or any payments made or to be made thereunder  may
 be assigned and pledged by the corporation as security for its bonds and
 notes,  as  authorized pursuant to section twelve hundred ninety of this
 title.
   2. The comptroller is hereby authorized to  receive  from  the  corpo-
 ration  any  portion of bond proceeds paid to provide funds for or reim-
 burse the state for its costs associated with any hazardous  waste  site
 remediation  AND SOLID WASTE AND DRINKING WATER RESPONSE projects and to
 credit such amounts to the capital projects fund or any other  appropri-
 ate fund.
   3.  The  maximum amount of bonds that may be issued for the purpose of
 financing hazardous waste site remediation AND SOLID WASTE AND  DRINKING
 WATER  RESPONSE  projects and environmental restoration projects author-
 ized by this section shall not exceed two billion  two  hundred  million
 dollars  and  shall not exceed one hundred million dollars for appropri-
 ations enacted for any state fiscal year, provided that  the  bonds  not
 issued for such appropriations may be issued pursuant to reappropriation
 in  subsequent  fiscal years. No bonds shall be issued for the repayment
 of any new appropriation enacted after March thirty-first, two  thousand
 twenty-six  for  hazardous waste site remediation projects authorized by
 this section. Amounts authorized to be issued by this section  shall  be
 exclusive  of  bonds  issued to fund any debt service reserve funds, pay
 costs of issuance of such bonds, and bonds or notes issued to refund  or
 otherwise  repay  bonds or notes previously issued. Such bonds and notes
 of the corporation shall not be a debt of the state, and the state shall
 not be liable thereon, nor shall they be payable out of any funds  other
 than  those  appropriated  by  this  state  to  the corporation for debt
 service and related expenses pursuant to any service contracts  executed
 pursuant  to  subdivision  one of this section, and such bonds and notes
 shall contain on the face thereof a statement to such effect.
   § 9. Subdivision 9 of  section  97-b  of  the  state  finance  law  is
 REPEALED.

 S. 2008                            141                           A. 3008
 
   §  10. Subdivision 4 of section 52-0303 of the environmental conserva-
 tion law, as added by chapter 512 of the laws of  1986,  is  amended  to
 read as follows:
   4. A provision that in the event that any federal payments and respon-
 sible  party  payments  become  available which were not included in the
 calculation of the state share  pursuant  to  subdivision  two  of  this
 section, the amount of the state share shall be recalculated accordingly
 and  the  municipality shall pay to the state for deposit in the [design
 and construction] HAZARDOUS WASTE CLEANUP account of the hazardous waste
 remedial fund established under  section  ninety-seven-b  of  the  state
 finance  law the amount by which the state payment actually made exceeds
 the recalculated state share.
   § 11. The opening paragraph, and paragraphs i and j of  subdivision  4
 of  section 27-1305 of the environmental conservation law, as amended by
 section 3 of part E of chapter 1 of the laws of  2003,  are  amended  to
 read as follows:
   On or before July first, nineteen hundred eighty-six and July first of
 each  succeeding  year,  the department shall prepare a status report on
 the implementation of the plan, and an update of the  policies,  program
 objectives,  methods  and strategies as outlined in the plan which guide
 the overall inactive hazardous waste site remediation program AND  SOLID
 WASTE  SITE AND DRINKING WATER RESPONSE MITIGATION AND CLEANUP PROGRAMS.
 Such status report shall reflect information available to the department
 as of March thirty-first of each year, and shall include  an  accounting
 of  all  [monies]  MONEYS  expended or encumbered from the environmental
 quality bond act of nineteen hundred eighty-six or the  hazardous  waste
 remedial fund during the preceding fiscal year, such accounting to sepa-
 rately list:
   i.  [monies]  MONEYS  expended  or  encumbered  in  stand-by contracts
 entered into pursuant to section 3-0309 of this chapter and the purposes
 for which these stand-by contracts were entered into; [and]
   j.  MONEYS EXPENDED OR ENCUMBERED PURSUANT TO  TITLE  TWELVE  OF  THIS
 ARTICLE; AND
   K.  an  accounting  of  payments received and payments obligated to be
 received pursuant to this title AND TITLE TWELVE OF THIS ARTICLE, and  a
 report of the department's attempts to secure such obligations.
   §  12.  Subparagraph  (ii)  of paragraph b of subdivision 3 of section
 27-1313 of the environmental conservation law is REPEALED.
   § 13. Paragraph b of subdivision 1 and paragraphs b and f of  subdivi-
 sion  5  of section 27-1313 of the environmental conservation law, para-
 graph b of subdivision 1 as added by section 5 of part E of chapter 1 of
 the laws of 2003, paragraph b as amended by and paragraph f of  subdivi-
 sion  5  as  added by chapter 857 of the laws of 1982, are amended and a
 new subdivision 11 is added to read as follows:
   b. The department shall have the authority to require, AND MAY  UNDER-
 TAKE  DIRECTLY,  the  development and implementation of a department-ap-
 proved inactive hazardous  waste  disposal  site  remedial  program,  IN
 ACCORDANCE WITH SECTION NINETY-SEVEN-B OF THE STATE FINANCE LAW.
   b.  In the event that the commissioner has found that hazardous wastes
 at a site constitute a significant threat to the environment, but  after
 a  reasonable  attempt  to  determine  who  may be responsible is either
 unable to determine who may be responsible, [or] is unable to  locate  a
 person  who may be responsible, OR IS UNABLE AFTER MAKING ALL REASONABLE
 EFFORT TO SECURE VOLUNTARY AGREEMENT TO PAY THE COSTS OF NECESSARY REME-
 DIAL ACTIONS FROM OWNERS OR OPERATORS OR OTHER RESPONSIBLE PERSONS,  the
 department  may  develop  and  implement  an  inactive  hazardous  waste

 S. 2008                            142                           A. 3008
 
 disposal site remedial program for such  site.  The  commissioner  shall
 make  every  effort,  IN AN ACTION BROUGHT BEFORE A COURT OF APPROPRIATE
 JURISDICTION OR in accordance with the requirements for notice,  hearing
 and review provided for in this title, to secure appropriate relief from
 any person subsequently identified or located who is responsible for the
 disposal of hazardous waste at such site, including, but not limited to,
 development  and  implementation of an inactive hazardous waste disposal
 site remedial program, payment of the cost of such a  program,  recovery
 of  any  reasonable  expenses  incurred  by the state, money damages and
 penalties.
   f. The commissioner shall make every  effort,  IN  AN  ACTION  BROUGHT
 BEFORE  A  COURT  OF  APPROPRIATE JURISDICTION OR in accordance with the
 requirements for notice, hearing and review provided for in  this  title
 to  secure  appropriate  relief  from the owner or operator of such site
 and/or any person responsible for the disposal of  hazardous  wastes  at
 such  site  PURSUANT TO APPLICABLE PRINCIPLES OF STATUTORY OR COMMON LAW
 LIABILITY, including, but not limited to, development and implementation
 of an inactive hazardous waste disposal site remedial  program,  payment
 of  the  cost  of  such  program,  recovery  of  any reasonable expenses
 incurred by the state, money damages and penalties.
   11. A REMEDIAL DECISION BY THE STATE OR THE DEPARTMENT OR  A  RESPONSE
 ACTION  TAKEN  BY THE DEPARTMENT OR ORDERED BY THE DEPARTMENT UNDER THIS
 SECTION SHALL NOT CONSTITUTE A FINAL DECISION OR ORDER UNTIL THE DEPART-
 MENT FILES AN ACTION TO ENFORCE SUCH DECISION OR ORDER OR TO  COLLECT  A
 PENALTY FOR VIOLATION OF SUCH ORDER OR TO RECOVER ITS RESPONSE COSTS.
   §  14. The section heading and subdivision 1 of section 27-1316 of the
 environmental conservation law, as added by section 8 of part E of chap-
 ter 1 of the laws of 2003, are amended to read as follows:
   [Citizen technical] TECHNICAL assistance grants.
   1. The commissioner is authorized to provide, or order a person acting
 under order or on consent, to provide grants  to  any  ELIGIBLE  MUNICI-
 PALITY  OR not-for-profit corporation exempt from taxation under section
 501(c)(3) of the internal revenue code who may be affected by  an  inac-
 tive  hazardous  waste  disposal  site  remedial  program. To qualify to
 receive such assistance, a community group  must  demonstrate  that  its
 membership  represents  the  interests of the community affected by such
 site, and that members', OR IN THE CASE OF A MUNICIPALITY ITS RESIDENTS,
 health, economic well-being or enjoyment of the environment  are  poten-
 tially affected by such site.  AN ELIGIBLE MUNICIPALITY SHALL BE A COUN-
 TY,  CITY,  TOWN, VILLAGE, OR INDIAN TRIBE OR NATION RESIDING WITHIN NEW
 YORK STATE, WITH A POPULATION OF TEN THOUSAND OR LESS, PROVIDED,  HOWEV-
 ER,  THAT  THE  DEPARTMENT MAY MAKE A MUNICIPALITY ELIGIBLE IF IT DETER-
 MINES THAT A MUNICIPALITY IS A HARDSHIP COMMUNITY. A MUNICIPALITY  SHALL
 NOT  BE  ELIGIBLE  FOR  A  GRANT FOR ANY SITE WHICH IS OWNED OR HAS BEEN
 OPERATED BY SUCH MUNICIPALITY. Such grants shall be known  as  technical
 assistance  grants  and  may  be  used to obtain technical assistance in
 interpreting information with regard to the nature of the  hazard  posed
 by  hazardous  waste  located at or emanating from an inactive hazardous
 waste disposal site or sites and the development and  implementation  of
 an  inactive hazardous waste disposal site remedial program or programs.
 Such grants may also be used:
   (a) to advise affected residents on any health assessment; and
   (b) for training funds for the education of interested affected commu-
 nity members OR MUNICIPALITY to enable them to more effectively  partic-
 ipate in the remedy selection process.

 S. 2008                            143                           A. 3008
 
   Grants  awarded under this section may not be used for the purposes of
 collecting field sampling data, political activity or lobbying  legisla-
 tive bodies.
   §  15. Subdivision 1 of section 27-1321 of the environmental conserva-
 tion law, as amended by section 22 of part G of chapter 58 of  the  laws
 of 2012, is amended to read as follows:
   1.  Notwithstanding  any  other  provision of law to the contrary, any
 person who is, by professional training or  experience  and  attainment,
 qualified  to analyze and interpret matters pertaining to the treatment,
 storage, disposal, or transport  of  hazardous  materials  or  hazardous
 wastes,  and who voluntarily and without expectation of monetary compen-
 sation provides assistance or advice in mitigating  the  effects  of  an
 accidental or threatened discharge of any hazardous materials or hazard-
 ous  wastes,  or  in  preventing,  cleaning up, or disposing of any such
 discharge, shall not be subject to a penalty or to civil  liability  for
 damages  or  injuries  alleged  to  have been sustained by any person or
 entity by reason of an act or omission in the giving of such  assistance
 or advice. For the purposes of this section, the term "hazardous materi-
 als"  shall have the same meaning as that term is defined in regulations
 promulgated by the commissioner of transportation  pursuant  to  section
 fourteen-f  of  the  transportation law, and the term "hazardous wastes"
 shall mean those wastes identified or listed pursuant to SUBDIVISION ONE
 OF section [27-0903] 27-1301 of this article and  any  rules  and  regu-
 lations promulgated thereunder.
   § 16. Subdivision 10 of section 71-2702 of the environmental conserva-
 tion  law,  as  added  by chapter 671 of the laws of 1986, is amended to
 read as follows:
   10. "Substance hazardous to public health, safety or the  environment"
 means any substance which:
   (a)  is  identified  or  listed  as  a  hazardous waste in regulations
 promulgated pursuant to section 27-0903 of this chapter and  all  amend-
 ments  thereto,  regardless  of  whether  at  the  time  of  release the
 substance was actually a waste; [or]
   (b) appears on the list in regulations promulgated pursuant  to  para-
 graph  (a) of subdivision one of section 37-0103 of this chapter and all
 amendments thereto[.];
   (C) IS PETROLEUM; OR
   (D) POSES A PRESENT  OR  POTENTIAL  HAZARD  TO  THE  ENVIRONMENT  WHEN
 IMPROPERLY  TREATED,  STORED,  TRANSPORTED,  DISPOSED  OF,  OR OTHERWISE
 MANAGED.
   § 17. Paragraph a of subdivision 1 of section 71-2725 of the  environ-
 mental conservation law is REPEALED.
   § 18. Subdivision 4 of section 11-b of the soil and water conservation
 districts law, as amended by chapter 538 of the laws of 1996, is amended
 to read as follows:
   4.  Eligible  costs  that  may  be funded pursuant to this section are
 architectural  and  engineering  services,  plans  and   specifications,
 including  watershed  based  or  individual agricultural nonpoint source
 pollution assessments, consultant and legal services, CONSERVATION EASE-
 MENTS AND ASSOCIATED TRANSACTION COSTS SPECIFIC TO TITLE THIRTY-THREE OF
 ARTICLE FIFTEEN OF THE ENVIRONMENTAL CONSERVATION LAW and  other  direct
 expenses related to project implementation.
   §  19. If any clause, sentence, paragraph, section or part of this act
 shall be adjudged by any court of competent jurisdiction to be  invalid,
 such judgment shall not affect, impair or invalidate the remainder ther-
 eof,  but  shall  be  confined in its operation to the clause, sentence,

 S. 2008                            144                           A. 3008

 paragraph, section or part thereof directly involved in the  controversy
 in which such judgment shall have been rendered.
   § 20. This act shall take effect immediately.
 
                                  PART JJ
 
   Section 1. Paragraph (a) of subdivision 6 of section 92-s of the state
 finance  law,  as amended by chapter 432 of the laws of 1997, is amended
 to read as follows:
   (a) All moneys heretofore and hereafter deposited in the environmental
 protection transfer account shall be transferred by the  comptroller  to
 the solid waste account, the parks, recreation and historic preservation
 account,  THE  CLIMATE  CHANGE  MITIGATION AND ADAPTATION ACCOUNT or the
 open space account upon the request of the director of the budget.
   § 2. Subdivision 5 of section 27-1012 of the  environmental  conserva-
 tion law, as amended by section 6 of part F of chapter 58 of the laws of
 2013, is amended to read as follows:
   5.  All monies collected or received by the department of taxation and
 finance pursuant to this title shall be deposited to the credit  of  the
 comptroller  with such responsible banks, banking houses or trust compa-
 nies as may be designated by the comptroller.  Such  deposits  shall  be
 kept  separate  and apart from all other moneys in the possession of the
 comptroller. The comptroller shall require adequate  security  from  all
 such depositories. Of the total revenue collected, the comptroller shall
 retain the amount determined by the commissioner of taxation and finance
 to  be  necessary  for refunds out of which the comptroller must pay any
 refunds to which a deposit initiator may be  entitled.  After  reserving
 the  amount  to  pay  refunds, the comptroller must, by the tenth day of
 each month, pay into the state treasury to the  credit  of  the  general
 fund  the  revenue deposited under this subdivision during the preceding
 calendar month and remaining to the comptroller's credit on the last day
 of that preceding month; provided, however, that, beginning April first,
 two thousand [thirteen]  FOURTEEN,  and  all  fiscal  years  thereafter,
 [fifteen]  TWENTY-THREE million dollars plus all funds received from the
 payments due each fiscal year  pursuant  to  subdivision  four  of  this
 section in excess of [the amount received from April first, two thousand
 twelve  through  March  thirty-first, two thousand thirteen] ONE HUNDRED
 TWENTY-TWO MILLION TWO HUNDRED THOUSAND DOLLARS, shall be  deposited  to
 the  credit of the environmental protection fund established pursuant to
 section ninety-two-s of the state finance law.
   § 3. This act shall take effect immediately and  shall  be  deemed  to
 have been in full force and effect on and after April 1, 2016.
 
                                  PART KK
 
   Section 1. Approximately 40 percent of the food produced in the United
 States  today goes uneaten. Much of this organic waste is disposed of in
 solid waste landfills, where its  decomposition  accounts  for  over  15
 percent  of  our nation's emissions of methane, a potent greenhouse gas.
 Meanwhile, an estimated 2.8 million New Yorkers are  facing  hunger  and
 food insecurity.  This legislation is designed to address these multiple
 challenges  by:   encouraging the prevention of food waste generation by
 commercial generators and residents; directing the  recovery  of  excess
 edible  food  from  high-volume  commercial  food  waste generators; and
 ensuring that a significant portion of inedible food  waste  from  large

 S. 2008                            145                           A. 3008
 
 volume  food  waste  generators  is managed in a sustainable manner, and
 does not end up being sent to landfills or incinerators.
   §  2.  Article  27 of the environmental conservation law is amended by
 adding a new title 22 to read as follows:
                                 TITLE 22
                  FOOD DONATION AND FOOD SCRAPS RECYCLING
 SECTION 27-2201. DEFINITIONS.
         27-2203. DESIGNATED FOOD SCRAPS GENERATOR RESPONSIBILITIES.
         27-2205. TRANSPORTER RESPONSIBILITIES.
         27-2207. TRANSFER STATION  OR  OTHER  INTERMEDIARY  RESPONSIBIL-
                    ITIES.
         27-2209. FOOD SCRAPS DISPOSAL PROHIBITION.
         27-2211. DEPARTMENT RESPONSIBILITIES.
         27-2213. REGULATIONS.
         27-2215. EXCLUSIONS.
         27-2217. PREEMPTION AND SEVERABILITY.
 § 27-2201. DEFINITIONS.
   1.  "DESIGNATED FOOD SCRAPS GENERATOR" MEANS A PERSON WHO GENERATES AT
 A SINGLE LOCATION AN ANNUAL AVERAGE OF TWO TONS  PER  WEEK  OR  MORE  OF
 EXCESS  FOOD  AND  FOOD SCRAPS, INCLUDING, BUT NOT LIMITED TO, SUPERMAR-
 KETS, RESTAURANTS, HIGHER EDUCATIONAL INSTITUTIONS, HOTELS, FOOD PROCES-
 SORS, CORRECTIONAL FACILITIES, SPORTS OR ENTERTAINMENT VENUES, HOSPITALS
 AND OTHER HEALTH CARE FACILITIES. FOR A LOCATION WITH MULTIPLE INDEPEND-
 ENT FOOD SERVICE BUSINESSES, SUCH AS A MALL OR COLLEGE CAMPUS, THE ENTI-
 TY RESPONSIBLE FOR CONTRACTING  FOR  SOLID  WASTE  HAULING  SERVICES  IS
 RESPONSIBLE  FOR MANAGING EXCESS FOOD AND FOOD SCRAPS FROM THE INDEPEND-
 ENT BUSINESSES.
   2. "EXCESS FOOD" MEANS EDIBLE FOOD THAT IS NOT SOLD  OR  USED  BY  ITS
 GENERATOR.
   3.  "FOOD  SCRAPS" MEANS INEDIBLE FOOD, TRIMMINGS FROM THE PREPARATION
 OF FOOD, FOOD-SOILED PAPER, AND EDIBLE FOOD THAT IS  NOT  DONATED.  FOOD
 SCRAPS SHALL NOT INCLUDE FOOD FROM RESIDENTIAL SOURCES OR ANY FOOD WHICH
 IS  SUBJECT  TO  A  RECALL  OR SEIZURE DUE TO THE PRESENCE OF PATHOGENS,
 INCLUDING BUT NOT LIMITED TO:  LISTERIA MONOCYTOGENES,  CONFIRMED  CLOS-
 TRIDIUM  BOTULINUM,  E.  COLI 0157:H7 AND ALL SALMONELLA IN READY-TO-EAT
 FOODS.
   4. "ORGANICS RECYCLER" MEANS A  FACILITY  THAT  RECYCLES  FOOD  SCRAPS
 THROUGH  USE AS ANIMAL FEED OR A FEED INGREDIENT, RENDERING, LAND APPLI-
 CATION, COMPOSTING, AEROBIC DIGESTION, ANAEROBIC DIGESTION,  OR  ETHANOL
 PRODUCTION.  ANIMAL  SCRAPS,  FOOD  SOILED PAPER, AND POST-CONSUMER FOOD
 SCRAPS ARE PROHIBITED FOR USE AS ANIMAL FEED OR AS  A  FEED  INGREDIENT.
 THE PRODUCT CREATED FROM FOOD SCRAPS BY A COMPOSTING OR DIGESTION FACIL-
 ITY, OR OTHER TREATMENT SYSTEM, MUST BE USED IN A BENEFICIAL MANNER AS A
 SOIL  AMENDMENT AND SHALL NOT BE COMBUSTED OR LANDFILLED. THE DEPARTMENT
 MAY DESIGNATE OTHER TECHNIQUES OR TECHNOLOGIES BY  REGULATION,  PROVIDED
 THEY DO NOT INCLUDE COMBUSTION OR LANDFILLING.
   5. "PERSON" MEANS ANY INDIVIDUAL, BUSINESS ENTITY, PARTNERSHIP, COMPA-
 NY,  CORPORATION,  NOT-FOR-PROFIT CORPORATION, ASSOCIATION, GOVERNMENTAL
 ENTITY, PUBLIC BENEFIT CORPORATION, PUBLIC AUTHORITY, FIRM, ORGANIZATION
 OR ANY OTHER GROUP OF INDIVIDUALS, OR ANY OFFICER OR EMPLOYEE  OR  AGENT
 THEREOF.
   6. "SINGLE LOCATION" MEANS CONTIGUOUS PROPERTY UNDER COMMON OWNERSHIP,
 WHICH MAY INCLUDE ONE OR MORE BUILDINGS.
 § 27-2203. DESIGNATED FOOD SCRAPS GENERATOR RESPONSIBILITIES.
   1. NO LATER THAN JANUARY FIRST, TWO THOUSAND TWENTY-ONE:

 S. 2008                            146                           A. 3008
 
   (A)  ALL DESIGNATED FOOD SCRAPS GENERATORS SHALL SEPARATE THEIR EXCESS
 FOOD FOR DONATION FOR HUMAN CONSUMPTION TO THE MAXIMUM EXTENT  PRACTICA-
 BLE,  AND  IN  ACCORDANCE  WITH  APPLICABLE  LAWS, RULES AND REGULATIONS
 RELATED TO FOOD DONATION; AND
   (B)  EXCEPT  AS PROVIDED BY IN PARAGRAPH (C) OF THIS SUBDIVISION, EACH
 DESIGNATED FOOD SCRAPS GENERATOR THAT IS WITHIN FIFTY MILES OF AN ORGAN-
 ICS RECYCLER, TO THE EXTENT THAT THE RECYCLER HAS CAPACITY TO  ACCEPT  A
 SUBSTANTIAL  PORTION  OR  ALL  OF  THE  GENERATOR'S EXCESS FOOD AND FOOD
 SCRAPS AS DETERMINED BY THE DEPARTMENT ON A YEARLY BASIS, SHALL:
   (I) SEPARATE ITS REMAINING EXCESS FOOD  AND  FOOD  SCRAPS  FROM  OTHER
 SOLID  WASTE  THAT CANNOT BE EFFECTIVELY PROCESSED BY THE ORGANICS RECY-
 CLER THAT WILL BE MANAGING THE MATERIALS. WHENEVER  PRACTICABLE,  EXCESS
 FOOD  AND  FOOD  SCRAPS SHOULD BE REMOVED FROM PACKAGING AT THE POINT OF
 GENERATION OR BE SENT TO A FACILITY THAT CAN REMOVE THE  PACKAGING  FROM
 THE PRODUCT;
   (II)  ENSURE PROPER STORAGE FOR EXCESS FOOD AND FOOD SCRAPS COLLECTION
 ON SITE WHICH SHALL PRECLUDE SUCH MATERIALS  FROM  BECOMING  ODOROUS  OR
 ATTRACTING VECTORS;
   (III)  POST INSTRUCTIONS AND PROVIDE TRAINING FOR EMPLOYEES CONCERNING
 THE PROPER METHODS TO SEPARATE AND STORE EXCESS FOOD  AND  FOOD  SCRAPS;
 AND
   (IV)  OBTAIN  A TRANSPORTER THAT WILL DELIVER ITS EXCESS FOOD AND FOOD
 SCRAPS TO AN ORGANICS RECYCLER, EITHER DIRECTLY OR THROUGH  AN  INTERME-
 DIARY, SELF-HAUL ITS FOOD SCRAPS TO AN ORGANICS RECYCLER, EITHER DIRECT-
 LY  OR  THROUGH  AN  INTERMEDIARY,  OR  PROVIDE  FOR  ORGANICS RECYCLING
 ON-SITE.
   (C) THE PROVISIONS OF PARAGRAPH (B)  OF  THIS  SUBDIVISION  SHALL  NOT
 APPLY  TO ANY DESIGNATED FOOD SCRAPS GENERATOR THAT HAS ALL OF ITS SOLID
 WASTE PROCESSED IN A MIXED SOLID WASTE COMPOSTING OR MIXED  SOLID  WASTE
 ANAEROBIC DIGESTION FACILITY.
   2. ALL DESIGNATED FOOD SCRAPS GENERATORS SHALL SUBMIT AN ANNUAL REPORT
 TO THE DEPARTMENT ON OR BEFORE MARCH FIRST, TWO THOUSAND TWENTY-TWO, AND
 ANNUALLY  THEREAFTER,  IN  AN  ELECTRONIC FORMAT. THE ANNUAL REPORT MUST
 SUMMARIZE THE AMOUNT OF EXCESS FOOD DONATED AND  THE  AMOUNT  OF  EXCESS
 FOOD NOT DONATED, THE AMOUNT OF FOOD SCRAPS RECYCLED, THE ORGANICS RECY-
 CLER OR RECYCLERS AND ASSOCIATED TRANSPORTERS USED, AND ANY OTHER INFOR-
 MATION AS REQUIRED BY THE DEPARTMENT.
   3.  A DESIGNATED FOOD SCRAPS GENERATOR MAY PETITION THE DEPARTMENT FOR
 A TEMPORARY WAIVER FROM SOME OR ALL OF THE REQUIREMENTS OF  THIS  TITLE.
 THE PETITION MUST INCLUDE EVIDENCE OF UNDUE HARDSHIP BASED ON THE UNIQUE
 CIRCUMSTANCES  OF  THE  GENERATOR.  A WAIVER SHALL BE NO LONGER THAN ONE
 YEAR IN DURATION.
 § 27-2205. TRANSPORTER RESPONSIBILITIES.
   1. ANY TRANSPORTER THAT COLLECTS SOURCE-SEPARATED EXCESS FOOD AND FOOD
 SCRAPS FOR RECYCLING FROM A DESIGNATED FOOD SCRAPS GENERATOR SHALL:
   (A) DELIVER COLLECTED EXCESS  FOOD  AND  FOOD  SCRAPS  TO  A  TRANSFER
 STATION  OR  OTHER  INTERMEDIARY  THAT WILL DELIVER SUCH EXCESS FOOD AND
 FOOD SCRAPS TO AN ORGANICS RECYCLER; OR
   (B) DELIVER SUCH FOOD SCRAPS DIRECTLY TO AN ORGANICS RECYCLER.
   2. ANY TRANSPORTER THAT COLLECTS SOURCE-SEPARATED EXCESS FOOD AND FOOD
 SCRAPS FROM A DESIGNATED FOOD SCRAPS GENERATOR SHALL NOT  DELIVER  THOSE
 EXCESS  FOOD  AND FOOD SCRAPS TO A COMBUSTION FACILITY OR A LANDFILL NOR
 COMMINGLE THE MATERIAL WITH ANY OTHER SOLID WASTE UNLESS SUCH WASTE  CAN
 BE PROCESSED BY AN ORGANICS RECYCLER.
 § 27-2207. TRANSFER STATION OR OTHER INTERMEDIARY RESPONSIBILITIES.

 S. 2008                            147                           A. 3008
 
   ANY  TRANSFER STATION OR OTHER INTERMEDIARY THAT RECEIVES SOURCE-SEPA-
 RATED EXCESS FOOD AND FOOD SCRAPS FROM A DESIGNATED FOOD SCRAPS  GENERA-
 TOR  MUST ENSURE THAT THE FOOD SCRAPS ARE TAKEN TO AN ORGANICS RECYCLER.
 NO TRANSFER STATION OR OTHER INTERMEDIARY  MAY  COMMINGLE  THE  MATERIAL
 WITH  ANY  OTHER  SOLID  WASTE  UNLESS SUCH WASTE CAN BE PROCESSED BY AN
 ORGANICS RECYCLER.
 § 27-2209. FOOD SCRAPS DISPOSAL PROHIBITION.
   SOLID WASTE COMBUSTION  FACILITIES  AND  LANDFILLS  SHALL  NOT  ACCEPT
 SOURCE-SEPARATED EXCESS FOOD AND FOOD SCRAPS FROM DESIGNATED FOOD SCRAPS
 GENERATORS  REQUIRED  TO  SEND  THEIR  EXCESS  FOOD NOT DONATED AND FOOD
 SCRAPS TO AN ORGANICS RECYCLER AS OUTLINED UNDER SECTION 27-2203 OF THIS
 TITLE, EITHER DIRECTLY OR FROM AN INTERMEDIARY, AFTER JANUARY FIRST, TWO
 THOUSAND TWENTY-ONE, UNLESS THE DESIGNATED  FOOD  SCRAPS  GENERATOR  HAS
 RECEIVED  A  TEMPORARY WAIVER UNDER SUBDIVISION THREE OF SECTION 27-2203
 OF THIS TITLE.
 § 27-2211. DEPARTMENT RESPONSIBILITIES.
   1. THE DEPARTMENT  SHALL,  IN  CONSULTATION  WITH  INDUSTRY  REPRESEN-
 TATIVES, PUBLISH ON ITS WEBSITE: (A) THE METHODOLOGY THE DEPARTMENT WILL
 USE  TO  DETERMINE  WHO  IS A DESIGNATED FOOD SCRAP GENERATOR; AND (B) A
 LIST OF ALL DESIGNATED FOOD SCRAPS GENERATORS, ORGANICS  RECYCLERS,  AND
 ALL TRANSPORTERS THAT MANAGE SOURCE-SEPARATED ORGANICS.
   2.  NO  LATER  THAN OCTOBER FIRST, TWO THOUSAND TWENTY, THE DEPARTMENT
 SHALL ASSESS THE CAPACITY OF ORGANIC  RECYCLERS  AND  NOTIFY  DESIGNATED
 FOOD  SCRAPS  GENERATORS  IF  THEY  ARE  REQUIRED  TO  COMPLY  WITH  THE
 PROVISIONS OF PARAGRAPH (B) OF SUBDIVISION ONE  OF  SECTION  27-2203  OF
 THIS TITLE.
   3. THE DEPARTMENT SHALL DEVELOP AND MAKE AVAILABLE EDUCATIONAL MATERI-
 ALS  TO  ASSIST  DESIGNATED  FOOD SCRAPS GENERATORS WITH COMPLIANCE WITH
 THIS TITLE. THE DEPARTMENT SHALL ALSO  DEVELOP  EDUCATION  MATERIALS  ON
 FOOD  WASTE  MINIMIZATION  AND  ENCOURAGE  MUNICIPALITIES TO DISSEMINATE
 THESE MATERIALS BOTH ON THEIR MUNICIPAL WEBSITES AND IN ANY SUCH  FUTURE
 MAILINGS TO THEIR RESIDENTS AS THEY MAY DISTRIBUTE.
 § 27-2213. REGULATIONS.
   THE  DEPARTMENT  MAY  PROMULGATE  RULES  AND  REGULATIONS NECESSARY TO
 IMPLEMENT THE PROVISIONS OF THIS TITLE. AT  A  MINIMUM,  THE  DEPARTMENT
 SHALL  PROMULGATE  RULES  AND  REGULATIONS THAT SET FORTH HOW DESIGNATED
 FOOD SCRAPS GENERATORS SHALL COMPLY WITH THE PROVISIONS OF PARAGRAPH (A)
 AND SUBPARAGRAPH (I) OF PARAGRAPH (B)  OF  SUBDIVISION  ONE  OF  SECTION
 27-2203 OF THIS TITLE.
 § 27-2215. EXCLUSIONS.
   1. THIS TITLE SHALL NOT APPLY TO ANY DESIGNATED FOOD SCRAPS GENERATORS
 LOCATED  IN  A CITY WITH A POPULATION OF ONE MILLION OR MORE WHICH HAS A
 LOCAL LAW, ORDINANCE OR REGULATION IN PLACE WHICH REQUIRES THE DIVERSION
 OF EXCESS FOOD AND FOOD SCRAPS FROM DISPOSAL.
   2. THIS TITLE DOES NOT APPLY TO ELEMENTARY AND SECONDARY SCHOOLS.
 § 27-2217. PREEMPTION AND SEVERABILITY.
   1. ANY PROVISION OF ANY LOCAL LAW  OR  ORDINANCE,  OR  ANY  REGULATION
 PROMULGATED  THERETO,  GOVERNING THE RECYCLING OF FOOD SCRAPS SHALL UPON
 THE EFFECTIVE DATE OF THIS TITLE BE PREEMPTED, EXCEPT IN A CITY  WITH  A
 POPULATION  OF  ONE MILLION OF MORE.  HOWEVER, LOCAL LAWS OR ORDINANCES,
 OR PARTS THEREOF, AFFECTING THE RECYCLING OF FOOD  SCRAPS  THAT  INCLUDE
 GENERATORS NOT COVERED BY THIS TITLE SHALL NOT BE PREEMPTED.
   2.  THE PROVISIONS OF THIS TITLE SHALL BE SEVERABLE AND IF ANY PORTION
 THEREOF OR THE APPLICABILITY THEREOF TO ANY PERSON OR  CIRCUMSTANCES  IS
 HELD  INVALID,  THE  REMAINDER OF THIS TITLE AND THE APPLICATION THEREOF
 SHALL NOT BE AFFECTED THEREBY.

 S. 2008                            148                           A. 3008
 
   § 3. This act shall take effect immediately.
 
                                  PART LL
 
   Section  1.  The  public  authorities  law  is amended by adding a new
 section 1005-d to read as follows:
   § 1005-D. SHARING EMPLOYEES, SERVICES  AND  RESOURCES;  INDEMNITY  AND
 DEFENSE.    1. FOR THE PURPOSES OF THIS SECTION, THE FOLLOWING WORDS AND
 TERMS SHALL HAVE THE FOLLOWING MEANINGS  UNLESS  THE  CONTEXT  INDICATES
 ANOTHER MEANING OR INTENT:
   (A) "DEPARTMENT" MEANS THE DEPARTMENT OF TRANSPORTATION.
   (B) "SERVICES AND ASSISTANCE" INCLUDES BUT IS NOT LIMITED TO ENGINEER-
 ING  SERVICES;  ENVIRONMENTAL  SAMPLING AND TESTING; FACILITY, PROPERTY,
 INFRASTRUCTURE AND EQUIPMENT MAINTENANCE; AND  EQUIPMENT  AND  MATERIALS
 STORAGE.
   2.  ONE OR MORE SHARED SERVICES AGREEMENTS MAY BE EXECUTED BETWEEN THE
 DEPARTMENT AND THE AUTHORITY, CANAL CORPORATION, OR BOTH OF  THEM,  ONLY
 FOR  (A) AN EMERGENCY SITUATION, (B) EXTREME WEATHER CONDITIONS, AND (C)
 THE PROVISION OF SERVICES AND ASSISTANCE TO SUPPORT  THE  OPERATION  AND
 MAINTENANCE  OF  THE  CANAL SYSTEM AND RELATED INFRASTRUCTURE, AS DEEMED
 APPROPRIATE, INCLUDING BUT  LIMITED  TO  SHARE  EMPLOYEES,  SERVICES  OR
 RESOURCES  AS  DEEMED APPROPRIATE INCLUDING, BUT NOT LIMITED TO, FOR THE
 PERFORMANCE OF WORK AND ACTIVITIES BY THE DEPARTMENT ON  THE  FACILITIES
 AND  PROPERTY  UNDER  THE  JURISDICTION OF THE AUTHORITY OR CANAL CORPO-
 RATION, AND FOR THE PERFORMANCE OF WORK AND ACTIVITIES BY THE  AUTHORITY
 OR  CANAL CORPORATION ON THE FACILITIES AND PROPERTY UNDER THE JURISDIC-
 TION OF THE DEPARTMENT. SUCH AGREEMENT OR ANY PROJECT UNDERTAKEN  PURSU-
 ANT  TO  SUCH  AN  AGREEMENT SHALL NOT BE DEEMED TO IMPAIR THE RIGHTS OF
 BONDHOLDERS AND MAY PROVIDE FOR, BUT NOT BE LIMITED TO, THE  MANAGEMENT,
 SUPERVISION  AND  DIRECTION  OF  SUCH  EMPLOYEES'  PERFORMANCE  OF  SUCH
 SERVICES. ALL SHARED EMPLOYEES SHALL REMAIN EMPLOYEES OF  THEIR  RESPEC-
 TIVE  EMPLOYERS  AND  ALL  APPLICABLE  COLLECTIVELY BARGAINED AGREEMENTS
 SHALL REMAIN IN EFFECT FOR THE ENTIRE  LENGTH  OF  THE  SHARED  SERVICES
 AGREEMENT.  FURTHER,  SUCH  SHARED  SERVICES  AGREEMENT SHALL NOT AMEND,
 REPEAL OR REPLACE THE TERMS OF ANY AGREEMENT THAT IS COLLECTIVELY  NEGO-
 TIATED  BETWEEN  AN  EMPLOYER AND AN EMPLOYEE ORGANIZATION, INCLUDING AN
 AGREEMENT OR INTEREST ARBITRATION AWARD MADE PURSUANT TO  ARTICLE  FOUR-
 TEEN OF THE CIVIL SERVICE LAW.
   3. THE AUTHORITY SHALL DEFEND ANY UNIT, ENTITY, OFFICER OR EMPLOYEE OF
 THE  DEPARTMENT,  USING  THE FORCES OF THE DEPARTMENT OF LAW PURSUANT TO
 SUBDIVISION ELEVEN OF THIS SECTION IN  ANY  ACTION,  PROCEEDING,  CLAIM,
 DEMAND  OR  THE  PROSECUTION OF ANY APPEAL ARISING FROM OR OCCASIONED BY
 THE ACTS OR OMISSIONS TO ACT IN THE PERFORMANCE OF THE FUNCTIONS OF  THE
 AUTHORITY OR CANAL CORPORATION PURSUANT TO A SHARED SERVICES AGREEMENT.
   4.  DEFENSE  PURSUANT  TO  SUBDIVISION  THREE OF THIS SECTION SHALL BE
 CONDITIONED UPON THE FULL COOPERATION OF THE DEPARTMENT.
   5. THE AUTHORITY SHALL INDEMNIFY AND HOLD HARMLESS ANY  UNIT,  ENTITY,
 OFFICER  OR  EMPLOYEE  OF  THE  DEPARTMENT IN THE AMOUNT OF ANY JUDGMENT
 OBTAINED AGAINST THE DEPARTMENT OR IN THE AMOUNT OF ANY  SETTLEMENT  THE
 DEPARTMENT ENTERS INTO WITH THE CONSENT OF THE AUTHORITY FOR ANY AND ALL
 CLAIMS, DAMAGES OR LIABILITIES ARISING FROM OR OCCASIONED BY THE ACTS OR
 OMISSIONS  TO  ACT  OF  THE AUTHORITY OR CANAL CORPORATION PURSUANT TO A
 SHARED SERVICES AGREEMENT; PROVIDED, HOWEVER, THAT THE ACT  OR  OMISSION
 FROM WHICH SUCH JUDGMENT OR SETTLEMENT AROSE OCCURRED WHILE THE AUTHORI-
 TY  OR  CANAL  CORPORATION  WAS ACTING WITHIN THE SCOPE OF ITS FUNCTIONS
 PURSUANT TO A SHARED SERVICES AGREEMENT. NO SUCH SETTLEMENT OF ANY  SUCH

 S. 2008                            149                           A. 3008
 
 ACTION,  PROCEEDING,  CLAIM OR DEMAND SHALL BE MADE WITHOUT THE APPROVAL
 OF THE AUTHORITY'S BOARD OF TRUSTEES OR ITS DESIGNEE.
   6. ANY CLAIM OR PROCEEDING COMMENCED AGAINST ANY UNIT, ENTITY, OFFICER
 OR  EMPLOYEE  OF THE AUTHORITY OR CANAL CORPORATION THAT ARISES PURSUANT
 TO ANY SHARED SERVICES AGREEMENT SHALL NOT BE CONSTRUED IN  ANY  WAY  TO
 IMPAIR,  ALTER,  LIMIT, MODIFY, ABROGATE OR RESTRICT ANY IMMUNITY AVAIL-
 ABLE TO OR CONFERRED UPON ANY UNIT, ENTITY, OFFICER OR EMPLOYEE  OF  THE
 AUTHORITY  OR  CANAL  CORPORATION,  OR  TO IMPAIR, ALTER, LIMIT, MODIFY,
 ABROGATE OR RESTRICT ANY RIGHT TO DEFENSE AND  INDEMNIFICATION  PROVIDED
 FOR  ANY  GOVERNMENTAL OFFICER OR EMPLOYEE BY, IN ACCORDANCE WITH, OR BY
 REASON OF, ANY OTHER PROVISION OF STATE OR FEDERAL STATUTORY  OR  COMMON
 LAW.
   7. (A) THE STATE SHALL DEFEND ANY UNIT, ENTITY, OFFICER OR EMPLOYEE OF
 THE  AUTHORITY  AND CANAL CORPORATION USING THE FORCES OF THE DEPARTMENT
 OF LAW IN ANY ACTION, PROCEEDING, CLAIM, DEMAND OR  THE  PROSECUTION  OF
 ANY APPEAL ARISING FROM OR OCCASIONED BY THE ACTS OR OMISSIONS TO ACT IN
 THE  PERFORMANCE OF THE FUNCTIONS OF THE DEPARTMENT PURSUANT TO A SHARED
 SERVICES AGREEMENT.
   (B) DEFENSE PURSUANT TO PARAGRAPH (A) OF  THIS  SUBDIVISION  SHALL  BE
 CONDITIONED  UPON THE FULL COOPERATION OF THE AUTHORITY AND CANAL CORPO-
 RATION.
   (C) THE STATE SHALL INDEMNIFY AND  HOLD  HARMLESS  ANY  UNIT,  ENTITY,
 OFFICER  OR EMPLOYEE OF THE AUTHORITY OR CANAL CORPORATION IN THE AMOUNT
 OF ANY JUDGMENT OBTAINED AGAINST THE AUTHORITY OR CANAL  CORPORATION  IN
 THE  AMOUNT  OF ANY SETTLEMENT THE AUTHORITY OR CANAL CORPORATION ENTERS
 INTO WITH THE CONSENT OF THE STATE FOR ANY AND ALL  CLAIMS,  DAMAGES  OR
 LIABILITIES  ARISING  FROM OR OCCASIONED BY THE ACTS OR OMISSIONS TO ACT
 ON BEHALF OF THE DEPARTMENT PURSUANT TO  A  SHARED  SERVICES  AGREEMENT,
 PROVIDED,  HOWEVER, THAT THE ACT OR OMISSION FROM WHICH SUCH JUDGMENT OR
 SETTLEMENT AROSE OCCURRED WHILE THE DEPARTMENT  WAS  ACTING  WITHIN  THE
 SCOPE OF ITS FUNCTIONS PURSUANT TO A SHARED SERVICES AGREEMENT. ANY SUCH
 SETTLEMENT  SHALL  BE EXECUTED PURSUANT TO SECTION TWENTY-A OF THE COURT
 OF CLAIMS ACT.
   (D) ANY CLAIM OR PROCEEDING COMMENCED AGAINST ANY UNIT, ENTITY,  OFFI-
 CER OR EMPLOYEE OF THE DEPARTMENT PURSUANT TO ANY SHARED SERVICES AGREE-
 MENT  SHALL NOT BE CONSTRUED IN ANY WAY TO IMPAIR, ALTER, LIMIT, MODIFY,
 ABROGATE OR RESTRICT ANY IMMUNITY AVAILABLE TO  OR  CONFERRED  UPON  ANY
 UNIT,  ENTITY,  OFFICER  OR  EMPLOYEE  OF  THE DEPARTMENT, OR TO IMPAIR,
 ALTER, LIMIT, MODIFY, ABROGATE OR RESTRICT  ANY  RIGHT  TO  DEFENSE  AND
 INDEMNIFICATION PROVIDED FOR ANY GOVERNMENTAL OFFICER OR EMPLOYEE BY, IN
 ACCORDANCE WITH, OR BY REASON OF, ANY OTHER PROVISION OF STATE OR FEDER-
 AL STATUTORY OR COMMON LAW.
   (E)  ANY  PAYMENT MADE PURSUANT TO THIS SUBDIVISION OR ANY MONIES PAID
 FOR A CLAIM AGAINST OR SETTLEMENT  WITH  THE  DEPARTMENT,  AUTHORITY  OR
 CANAL  CORPORATION PURSUANT TO THIS SUBDIVISION AND PURSUANT TO A SHARED
 SERVICES AGREEMENT SHALL BE PAID FROM APPROPRIATIONS FOR PAYMENT BY  THE
 STATE PURSUANT TO THE COURT OF CLAIMS ACT.
   8.  THIS  SECTION  SHALL  NOT  IN ANY WAY AFFECT THE OBLIGATION OF ANY
 CLAIMANT TO GIVE NOTICE TO THE STATE, AUTHORITY,  OR  CANAL  CORPORATION
 UNDER  SECTION  TEN AND SECTION ELEVEN OF THE COURT OF CLAIMS ACT OR ANY
 OTHER PROVISION OF LAW PROVIDED, HOWEVER, THAT NOTICE  SERVED  UPON  THE
 STATE,  AUTHORITY,  OR  CANAL  CORPORATION  WHO IS A PARTY TO THE SHARED
 SERVICES AGREEMENT SHALL BE VALID NOTICE ON ALL PARTIES  TO  THE  AGREE-
 MENT,  WHEN SUCH CLAIM ARISES OUT OF SUCH SHARED SERVICES AGREEMENT. THE
 STATE, AUTHORITY AND CANAL CORPORATION SHALL NOTIFY EACH OTHER WHEN THEY

 S. 2008                            150                           A. 3008

 RECEIVE A NOTICE OF CLAIM, NOTICE OF INTENTION TO  MAKE  A  CLAIM  OR  A
 CLAIM ARISING OUT OF SUCH AGREEMENT.
   9.  THE  PROVISIONS  OF THIS SECTION SHALL NOT BE CONSTRUED TO IMPAIR,
 ALTER, LIMIT OR MODIFY THE RIGHTS AND OBLIGATIONS OF ANY  INSURER  UNDER
 ANY INSURANCE AGREEMENT.
   10. NOTWITHSTANDING ANY OTHER PROVISION OF LAW, WHEN EMPLOYED PURSUANT
 TO A SHARED SERVICES AGREEMENT, EMPLOYEES OF THE AUTHORITY, CANAL CORPO-
 RATION AND DEPARTMENT SHALL BE DEEMED EMPLOYEES OF ALL SUCH ENTITIES AND
 THE STATE FOR PURPOSES OF THE WORKERS' COMPENSATION LAW.
   11. AT THE REQUEST OF THE AUTHORITY OR CANAL CORPORATION, SERVICES AND
 ASSISTANCE  AND  LEGAL  SERVICES  FOR THE AUTHORITY OR CANAL CORPORATION
 SHALL BE PERFORMED BY FORCES OR  OFFICERS  OF  THE  DEPARTMENT  AND  THE
 DEPARTMENT  OF  LAW  RESPECTIVELY, AND ALL OTHER STATE OFFICERS, DEPART-
 MENTS, BOARDS, DIVISIONS AND COMMISSIONS SHALL  RENDER  SERVICES  WITHIN
 THEIR RESPECTIVE FUNCTIONS.
   § 2. Subdivision 1 of section 17 of the public officers law is amended
 by adding a new paragraph (z) to read as follows:
   (Z)  FOR  PURPOSES  OF THIS SECTION, THE TERM "EMPLOYEE" SHALL INCLUDE
 MEMBERS OF THE GOVERNING BOARDS, OFFICERS AND  EMPLOYEES  OF  THE  POWER
 AUTHORITY OF THE STATE OF NEW YORK OR ITS SUBSIDIARIES.
   § 3. This act, being necessary for the prosperity of the state and its
 inhabitants,  shall  be  liberally  construed to effect the purposes and
 secure the beneficial intents hereof.
   § 4. If any provision of any section of this act  or  the  application
 thereof  to  any  person  or circumstance shall be adjudged invalid by a
 court of  competent  jurisdiction,  such  order  or  judgment  shall  be
 confined  in  its operation to the controversy in which it was rendered,
 and shall not affect or invalidate the remainder of any provision of any
 section of this act or the application thereof to any  other  person  or
 circumstance  and to this end the provisions of each section of this act
 are hereby declared to be severable.
   § 5. This act shall take effect immediately.
 
                                  PART MM
 
   Section 1. Expenditures  of  moneys  by  the  New  York  state  energy
 research  and  development  authority  for  services and expenses of the
 energy  research,  development  and  demonstration  program,   including
 grants, the energy policy and planning program, the zero emissions vehi-
 cle  and  electric vehicle rebate program, and the Fuel NY program shall
 be subject to  the  provisions  of  this  section.  Notwithstanding  the
 provisions of subdivision 4-a of section 18-a of the public service law,
 all  moneys committed or expended in an amount not to exceed $19,700,000
 shall be reimbursed by assessment against gas corporations,  as  defined
 in  subdivision  11  of section 2 of the public service law and electric
 corporations as defined in subdivision 13 of section  2  of  the  public
 service  law, where such gas corporations and electric corporations have
 gross revenues from intrastate utility operations in excess of  $500,000
 in  the  preceding  calendar  year,  and  the  total amount which may be
 charged to any gas corporation and any electric  corporation  shall  not
 exceed  one  cent  per one thousand cubic feet of gas sold and .010 cent
 per kilowatt-hour of electricity sold  by  such  corporations  in  their
 intrastate  utility operations in calendar year 2015. Such amounts shall
 be excluded from the general assessment provisions of subdivision  2  of
 section  18-a of the public service law. The chair of the public service
 commission shall bill such gas and/or  electric  corporations  for  such

 S. 2008                            151                           A. 3008
 
 amounts  on  or before August 10, 2017 and such amounts shall be paid to
 the New York state energy  research  and  development  authority  on  or
 before  September  10,  2017.  Upon  receipt,  the New York state energy
 research and development authority shall deposit such funds in the ener-
 gy  research  and  development  operating  fund  established pursuant to
 section 1859 of the public authorities law. The New  York  state  energy
 research  and  development  authority is authorized and directed to: (1)
 transfer $1 million to the state general fund for services and  expenses
 of  the  department of environmental conservation, $150,000 to the state
 general fund for services and expenses of the department of  agriculture
 and  markets, and $750,000 to the University of Rochester laboratory for
 laser energetics from the funds received; and (2)  commencing  in  2016,
 provide  to  the chair of the public service commission and the director
 of the budget and the chairs and secretaries of the  legislative  fiscal
 committees,  on or before August first of each year, an itemized record,
 certified by the president and chief executive officer of the authority,
 or his or her designee, detailing any and all expenditures  and  commit-
 ments  ascribable  to  moneys received as a result of this assessment by
 the chair of the department of public service pursuant to  section  18-a
 of  the public service law.  This itemized record shall include an item-
 ized breakdown of the programs being funded  by  this  section  and  the
 amount  committed  to each program.   The authority shall not commit for
 any expenditure, any moneys derived from the assessment provided for  in
 this  section,  until  the chair of such authority shall have submitted,
 and the director of the budget  shall  have  approved,  a  comprehensive
 financial  plan encompassing all moneys available to and all anticipated
 commitments and expenditures by such authority from any source  for  the
 operations  of  such  authority.    Copies of the approved comprehensive
 financial plan shall be immediately submitted by the chair to the chairs
 and secretaries of the legislative fiscal committees.   Any such  amount
 not  committed by such authority to contracts or contracts to be awarded
 or otherwise expended by the authority during the fiscal year  shall  be
 refunded  by such authority on a pro-rata basis to such gas and/or elec-
 tric corporations, in a manner to be determined  by  the  department  of
 public service.
   §  2.  This  act  shall take effect immediately and shall be deemed to
 have been in full force and effect on and after April 1, 2017.
   § 2. Severability clause. If any clause, sentence, paragraph, subdivi-
 sion, section or part of this act shall be  adjudged  by  any  court  of
 competent  jurisdiction  to  be invalid, such judgment shall not affect,
 impair, or invalidate the remainder thereof, but shall  be  confined  in
 its  operation  to the clause, sentence, paragraph, subdivision, section
 or part thereof directly involved in the controversy in which such judg-
 ment shall have been rendered. It is hereby declared to be the intent of
 the legislature that this act would  have  been  enacted  even  if  such
 invalid provisions had not been included herein.
   §  3.  This  act shall take effect immediately provided, however, that
 the applicable effective date of Parts A through MM of this act shall be
 as specifically set forth in the last section of such Parts.

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
     S. 2008--A                                            A. 3008--A
 
                       S E N A T E - A S S E M B L Y
 
                             January 23, 2017
                                ___________
 
 IN  SENATE -- A BUDGET BILL, submitted by the Governor pursuant to arti-
   cle seven of the Constitution -- read twice and ordered  printed,  and
   when  printed to be committed to the Committee on Finance -- committee
   discharged, bill amended, ordered reprinted as amended and recommitted
   to said committee
 
 IN ASSEMBLY -- A BUDGET BILL, submitted  by  the  Governor  pursuant  to
   article  seven  of  the  Constitution -- read once and referred to the
   Committee on Ways and Means --  committee  discharged,  bill  amended,
   ordered reprinted as amended and recommitted to said committee
 
 AN  ACT to amend chapter 62 of the laws of 2003 amending the vehicle and
   traffic law and other laws relating to increasing certain motor  vehi-
   cle transaction fees, in relation to the disposition of revenues (Part
   A);  to  amend  the  vehicle and traffic law, in relation to divisible
   load permits (Part B); to amend the state finance law and  the  trans-
   portation  law,  in  relation to enhancing the ability of the state to
   enforce state and federal law concerning the safety of  public  trans-
   portation  systems  under  the  oversight of the public transportation
   safety board (Part C);  to  amend  the  vehicle  and  traffic  law  in
   relation  to compliance with new federal regulations and strengthening
   requirements for motor carriers (Part D); to amend the penal  law,  in
   relation to including the use of any highway, parkway, road, bridge or
   tunnel  without  payment  of  the  lawful toll or charge as a theft of
   services; and to amend the vehicle and traffic  law,  in  relation  to
   liability  of  vehicle  owners  for toll collection violations and the
   penalty imposed upon the operator of a  vehicle  with  an  altered  or
   obscured license plate while on a toll highway, bridge or tunnel (Part
   E); to amend the vehicle and traffic law and the state finance law, in
   relation  to  allocation  of three million dollars of assessments from
   the city of New York to the general fund (Part F); to amend the  vehi-
   cle  and  traffic  law,  the insurance law, the executive law, the tax
   law, and the state finance law,  in  relation  to  the  regulation  of
   transportation  network  company  services;  to establish the New York
   State TNC Accessibility Task Force; to  establish  the  transportation
   network  company  driver's  injury compensation fund; and to establish
   the local transit assistance fund (Part G); to amend the  vehicle  and
   traffic  law,  in  relation to the waiver of non-driver identification
 
              

  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD12573-04-7

 S. 2008--A                          2                         A. 3008--A
 
   card fees for crime victims (Part H); to amend the vehicle and traffic
   law, in relation to the reinstatement fee for non-residents (Part  I);
   to  amend  the vehicle and traffic law, in relation to increasing fees
   for  original  and  duplicate certificates of title (Part J); to amend
   the vehicle and traffic  law,  in  relation  to  additional  fees  for
   certain  identification cards (Part K); to amend the vehicle and traf-
   fic law, in relation to the definition of "drug",  the  scope  of  the
   written  test,  the suspension of a license for driving while impaired
   by drugs, the license sanctions for refusing to submit to  a  chemical
   test  and  prohibiting the use of mobile telephones and portable elec-
   tronic devices when a vehicle is not in motion and by persons under 18
   (Part L); to amend the New York state  urban  development  corporation
   act,  in  relation  to  extending  certain  provisions relating to the
   empire state economic development fund (Part M); to amend chapter  393
   of  the  laws  of  1994, amending the New York state urban development
   corporation act, relating to the powers of the New  York  state  urban
   development  corporation  to make loans, in relation to the effective-
   ness thereof (Part N); to amend chapter  261  of  the  laws  of  1988,
   amending the state finance law and other laws relating to the New York
   state  infrastructure  trust  fund,  in  relation  to the minority and
   women-owned business enterprise program (Part O); to amend the infras-
   tructure investment act, in relation to the definition of  an  author-
   ized  entity  that may utilize design-build contracts, and in relation
   to the effectiveness thereof (Part P); to amend chapter 21 of the laws
   of 2003, amending the executive law relating to permitting the  secre-
   tary  of  state to provide special handling for all documents filed or
   issued by the division of corporations and to permit additional levels
   of such expedited service, in relation  to  extending  the  expiration
   date  thereof  (Part  Q);  to  amend the business corporation law, the
   cooperative corporations law, the executive law, the  general  associ-
   ations  law,  the  general business law, the limited liability company
   law, the not-for-profit corporation  law,  the  partnership  law,  the
   private  housing  finance  law, the arts and cultural affairs law, the
   real property law and the tax law, in  relation  to  streamlining  the
   process  by  which service of process is served against a corporate or
   other entity with the  secretary  of  state;  and  to  repeal  certain
   provisions  of  the  real  property  law relating thereto (Part R); to
   amend the real property law, in relation to streamlining the licensing
   process for real estate professionals (Part S); to amend the  environ-
   mental  conservation  law  and the executive law, in relation to local
   waterfront revitalization (Part T); to amend  the  executive  law,  in
   relation to the chairperson of the state athletic commission (Part U);
   authorizing  utility and cable television assessments to provide funds
   to the department of health from cable television assessment  revenues
   and  to  the  departments  of  agriculture  and markets, environmental
   conservation, office of parks, recreation and  historic  preservation,
   and  state from utility assessment revenues (Part V); to amend chapter
   58 of the laws of 2012 amending the public authorities law relating to
   authorizing the dormitory authority to enter into certain  design  and
   construction  management  agreements,  in relation to making permanent
   certain authority of the dormitory authority of the state of New  York
   (Part  W);  to  amend the insurance law, in relation to administrative
   supervision (Part X); to amend the insurance law, the banking law, and
   the financial services law in  relation  to  the  enforcement  of  the
   insurance,  banking,  and  financial  services laws against unlicensed
   participants (Part Y); to amend the banking law, in  relation  to  the

 S. 2008--A                          3                         A. 3008--A
 
   licensing  and regulation of student loan servicers (Part Z); to amend
   the banking law, in relation  to  protecting  vulnerable  adults  from
   financial exploitation (Part AA); to amend the financial services law,
   in  relation  to  the  disqualification  of  bad actors from continued
   participation in the banking and insurance industries  (Part  BB);  to
   amend the banking law, in relation to the regulation and authorization
   of  certain  lending  circle  programs  (Part  CC); to amend the state
   finance law, in relation to creating a paid family leave risk  adjust-
   ment fund (Part DD); to amend the banking law, in relation to licensed
   lenders  (Part  EE); to amend the real property action and proceedings
   law and civil practice law and rules, in relation to reverse mortgages
   (Part FF); to amend the financial services law, in relation to assess-
   ments to defray operating expenses of the department (Subpart  A);  to
   amend  the  insurance  law,  in relation to the distribution of assets
   (Subpart B); and to amend the insurance law, in relation  to  insurers
   deemed  to be in a hazardous financial condition (Subpart C)(Part GG);
   to amend the navigation law, in relation to establishing the New  York
   environmental  protection  and spill remediation account (Part HH); to
   amend the environmental conservation law, the state finance  law,  the
   public  authorities law, and the soil and water conservation districts
   law, in relation to the implementation of the "clean water infrastruc-
   ture act of 2017"; and to repeal certain provisions  of  the  environ-
   mental  conservation  law  and  the state finance law relating thereto
   (Part II); to amend  the  state  finance  law  and  the  environmental
   conservation  law, in relation to environmental protection fund depos-
   its and transfers (Part JJ); to amend the  environmental  conservation
   law,  in relation to the donation of excess food and recycling of food
   scraps (Part KK); to amend the public authorities law and  the  public
   officers  law,  in  relation to the sharing of employees, services and
   resources by the power authority of  the  state  of  New  York,  canal
   corporation and department of transportation (Part LL); and to author-
   ize the energy research and development authority to finance a portion
   of  its  research, development and demonstration, policy and planning,
   and Fuel NY programs, as  well  as  the  department  of  environmental
   conservation's  climate  change program and the department of agricul-
   ture and markets' Fuel NY program, from an assessment on gas and elec-
   tric corporations (Part MM)
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  This  act enacts into law major components of legislation
 which are necessary to implement the state fiscal plan for the 2017-2018
 state fiscal year. Each component is  wholly  contained  within  a  Part
 identified as Parts A through MM. The effective date for each particular
 provision contained within such Part is set forth in the last section of
 such Part. Any provision in any section contained within a Part, includ-
 ing the effective date of the Part, which makes a reference to a section
 "of  this  act", when used in connection with that particular component,
 shall be deemed to mean and refer to the corresponding  section  of  the
 Part  in  which  it  is  found. Section three of this act sets forth the
 general effective date of this act.
 
                                  PART A

 S. 2008--A                          4                         A. 3008--A

   Section 1. Section 13 of part U1 of chapter 62 of  the  laws  of  2003
 amending the vehicle and traffic law and other laws relating to increas-
 ing  certain  motor vehicle transaction fees, as amended by section 1 of
 part A of chapter 58 of the laws of 2015, is amended to read as follows:
   §  13.  This  act shall take effect immediately; provided however that
 sections one through seven of this act, the amendments to subdivision  2
 of  section  205  of  the tax law made by section eight of this act, and
 section nine of this act shall expire and be deemed repealed on April 1,
 2020; [provided further, however, that the amendments to  subdivision  3
 of  section  205  of the tax law made by section eight of this act shall
 expire and be deemed repealed on  March  31,  2018;]  provided  further,
 however,  that  the  provisions of section eleven of this act shall take
 effect April 1, 2004 and shall expire and be deemed repealed on April 1,
 2020.
   § 2. This act shall take effect immediately and  shall  be  deemed  to
 have been in full force and effect on and after April 1, 2017.
 
                                  PART B
 
   Section 1. Paragraph (f) of subdivision 15 of section 385 of the vehi-
 cle  and traffic law, as amended by section 4 of part C of chapter 59 of
 the laws of 2004, the third undesignated paragraph as amended by chapter
 277 of the laws of 2014, is amended to read as follows:
   (f) 1. The department of transportation, or other  issuing  authority,
 may  issue  an  annual  permit for a vehicle designed and constructed to
 carry loads that are not of one piece or item, which  is  registered  in
 this  state. Motor carriers having apportioned vehicles registered under
 the international registration plan must either have a  currently  valid
 permit at the time this provision becomes effective or shall have desig-
 nated New York as its base state or one of the eligible jurisdictions of
 operation  under  the  international  registration  plan  in order to be
 eligible to receive a permit issued pursuant  to  [subparagraph]  CLAUSE
 (i),  (ii)  or (ii-a) OF SUBPARAGRAPH EIGHT of this paragraph. No permit
 issued pursuant to this paragraph shall be valid for  the  operation  or
 movement  of  vehicles on any state or other highway within any city not
 wholly included within one county unless such permit was issued  by  the
 city department of transportation of such city.
   2.  Effective January first, two thousand five, no vehicle or combina-
 tion of vehicles issued a permit pursuant to this paragraph shall  cross
 a  bridge designated as an R-posted bridge by the commissioner of trans-
 portation or any other permit issuing authority absent  a  determination
 by  such commissioner or permit issuing authority that the permit appli-
 cant has demonstrated special circumstances warranting the  crossing  of
 such  bridge  or  bridges  and  a  determination by such commissioner or
 permit issuing authority that such bridge  or  bridges  may  be  crossed
 safely,  provided, however, that in no event shall a vehicle or combina-
 tion of vehicles issued a permit under this paragraph  be  permitted  to
 cross  a  bridge  designated  as  an  R-posted bridge if such vehicle or
 combination of vehicles has a maximum gross weight exceeding one hundred
 two  thousand  pounds,  and  provided  further,  however,  that  nothing
 contained herein shall be deemed to authorize any vehicle or combination
 of vehicles to cross any such bridge within any city not wholly included
 within  one  county  unless  such vehicle or combination of vehicles has
 been issued a valid permit by the city department of  transportation  of
 such city pursuant to this subdivision.

 S. 2008--A                          5                         A. 3008--A
 
   3.  No  vehicle having a model year of two thousand six or newer shall
 be issued a permit pursuant to this paragraph unless each axle  of  such
 vehicle  or  combination  of vehicles, other than steerable or trackable
 axles, is equipped with two tires on each side  of  the  axle,  any  air
 pressure  controls  for  lift  axles  are located outside the cab of the
 vehicle and are beyond the reach of occupants of the cab while the vehi-
 cle is in motion, the weight on any grouping of two  or  more  axles  is
 distributed  such  that no axle in the grouping carries less than eighty
 percent of any other axle in the  grouping  and  any  liftable  axle  is
 steerable  or  trackable;  and, further provided, after December thirty-
 first, two thousand nineteen, no permit shall be issued pursuant to this
 paragraph to a vehicle of any model year that does not meet the require-
 ments of this provision, except that such permits may be issued prior to
 January first, two thousand twenty to a vehicle that does not  meet  the
 requirement  concerning axle grouping weight distribution, but meets all
 other requirements of this section.
   4. A divisible load permit may only be transferred  to  a  replacement
 vehicle by the same registrant or transferred with the permitted vehicle
 as  part of the sale or transfer of the permit holder's business; or, if
 the divisible load permit is issued pursuant  to  [subparagraph]  CLAUSE
 (iv), (v) or (vi) OF SUBPARAGRAPH EIGHT of this paragraph for use within
 the  counties  of Westchester, Rockland, Nassau, Suffolk, Putnam, Orange
 and Dutchess and has been effective  for  the  five  years  preceding  a
 transfer  of such permit, the permit may be transferred with the permit-
 ted vehicle in the sale of the permitted vehicle  to  the  holder  of  a
 permit  issued  pursuant  to  [subparagraph] CLAUSE (iv), (v) or (vi) OF
 SUBPARAGRAPH EIGHT of this paragraph for  use  within  the  counties  of
 Westchester, Rockland, Nassau, Suffolk, Putnam, Orange and Dutchess.
   5. If a permit holder operates a vehicle or combination of vehicles in
 violation  of  any posted weight restriction, THE COMMISSIONER OF TRANS-
 PORTATION MAY IMPOSE A CIVIL PENALTY AS PROVIDED BY SECTION ONE  HUNDRED
 FORTY-FIVE  OF  THE  TRANSPORTATION LAW AND/OR CANCEL, SUSPEND OR REVOKE
 the permit issued to such vehicle or combination of  vehicles  AND  SUCH
 PERMIT shall be deemed void as of the next day and shall not be reissued
 for a period of UP TO twelve calendar months.
   6.  Until  June  thirtieth, nineteen hundred ninety-four, no more than
 sixteen thousand power units shall  be  issued  annual  permits  by  the
 department  for  any  twelve-month  period in accordance with this para-
 graph. After June thirtieth, nineteen hundred ninety-four, no more  than
 sixteen thousand five hundred power units shall be issued annual permits
 by  the  department  for any twelve-month period. After December thirty-
 first, nineteen hundred ninety-five, no  more  than  seventeen  thousand
 power  units  shall  be  issued annual permits by the department for any
 twelve-month period. After December thirty-first, two thousand three, no
 more than twenty-one thousand power units shall be issued annual permits
 by the department for any twelve-month period.  After  December  thirty-
 first,  two  thousand five, no more than twenty-two thousand power units
 shall be issued annual permits by the department  for  any  twelve-month
 period.  After  December  thirty-first,  two  thousand six, no more than
 twenty-three thousand power units shall be issued annual permits by  the
 department for any twelve-month period. After December thirty-first, two
 thousand  seven,  no more than twenty-four thousand power units shall be
 issued annual permits by the department  for  any  twelve-month  period.
 After  December  thirty-first,  two thousand eight, no more than twenty-
 five thousand power units shall be issued annual permits by the  depart-
 ment for any twelve-month period. AFTER DECEMBER THIRTY-FIRST, TWO THOU-

 S. 2008--A                          6                         A. 3008--A
 
 SAND  SIXTEEN,  NO  MORE THAN TWENTY-SEVEN THOUSAND POWER UNITS SHALL BE
 ISSUED ANNUAL PERMITS BY THE DEPARTMENT  FOR  ANY  TWELVE-MONTH  PERIOD.
 AFTER  DECEMBER  THIRTY-FIRST, TWO THOUSAND EIGHTEEN, NO MORE THAN TWEN-
 TY-NINE  THOUSAND  POWER  UNITS  SHALL  BE  ISSUED ANNUAL PERMITS BY THE
 DEPARTMENT FOR ANY TWELVE-MONTH PERIOD. AFTER DECEMBER THIRTY-FIRST, TWO
 THOUSAND TWENTY, NO MORE THAN  THIRTY  THOUSAND  POWER  UNITS  SHALL  BE
 ISSUED  ANNUAL  PERMITS  BY  THE DEPARTMENT FOR ANY TWELVE-MONTH PERIOD.
 AFTER DECEMBER THIRTY-FIRST, TWO THOUSAND TWENTY-TWO, NO MORE THAN THIR-
 TY-ONE THOUSAND POWER UNITS  SHALL  BE  ISSUED  ANNUAL  PERMITS  BY  THE
 DEPARTMENT FOR ANY TWELVE-MONTH PERIOD. AFTER DECEMBER THIRTY-FIRST, TWO
 THOUSAND  TWENTY-THREE,  NO  MORE  THAN  THIRTY-TWO THOUSAND POWER UNITS
 SHALL BE ISSUED ANNUAL PERMITS BY THE DEPARTMENT  FOR  ANY  TWELVE-MONTH
 PERIOD.  AFTER  DECEMBER THIRTY-FIRST, TWO THOUSAND TWENTY-FOUR, NO MORE
 THAN THIRTY-THREE THOUSAND POWER UNITS SHALL BE ISSUED ANNUAL PERMITS BY
 THE DEPARTMENT FOR ANY TWELVE-MONTH  PERIOD.    AFTER  DECEMBER  THIRTY-
 FIRST, TWO THOUSAND TWENTY-FIVE, NO MORE THAN THIRTY-FIVE THOUSAND POWER
 UNITS  SHALL  BE ISSUED ANNUAL PERMITS BY THE DEPARTMENT FOR ANY TWELVE-
 MONTH PERIOD.
   Whenever permit application requests exceed permit  availability,  the
 department  shall  renew  annual permits that have been expired for less
 than four years which meet program requirements, and  then  shall  issue
 permit  applicants  having  less  than three divisible load permits such
 additional permits as the applicant  may  request,  providing  that  the
 total  of  existing  and  new  permits  does not exceed three. Remaining
 permits shall be allocated by  lottery  IN  ACCORDANCE  WITH  PROCEDURES
 ESTABLISHED BY THE COMMISSIONER IN RULES AND REGULATIONS. AFTER DECEMBER
 THIRTY-FIRST,  TWO  THOUSAND  SIXTEEN,  THE  DEPARTMENT  MAY PERMANENTLY
 INCREASE THE MAXIMUM NUMBER OF POWER UNITS ISSUED AN ANNUAL PERMIT BY NO
 MORE THAN TWO THOUSAND ADDITIONAL  PERMITS  ABOVE  THE  PREVIOUS  YEAR'S
 TOTAL  in  accordance with procedures established by the commissioner in
 rules and regulations.
   7. The department of transportation may issue a seasonal  agricultural
 permit in accordance with [subparagraphs] CLAUSES (i), (ii) and (iii) OF
 SUBPARAGRAPH EIGHT of this paragraph that will be valid for four consec-
 utive  months with a fee equal to one-half the annual permit fees estab-
 lished under this subdivision.
   8. For a vehicle issued a permit in  accordance  with  [subparagraphs]
 CLAUSES (iii), (iv), (v) and (vi) of this [paragraph] SUBPARAGRAPH, such
 a  vehicle  must  have  been  registered  in this state prior to January
 first, nineteen hundred eighty-six or be a  vehicle  or  combination  of
 vehicles which replace such type of vehicle which was registered in this
 state  prior  to  such date provided that the manufacturer's recommended
 maximum gross weight of the replacement vehicle or combination of  vehi-
 cles does not exceed the weight for which a permit may be issued and the
 maximum  load to be carried on the replacement vehicle or combination of
 vehicles does not exceed the maximum load which could have been  carried
 on  the vehicle being replaced or the registered weight of such vehicle,
 whichever is lower, in accordance  with  the  following  [subparagraphs]
 CLAUSES:
   (i)  A  permit may be issued for a vehicle having at least three axles
 and a wheelbase not less than sixteen feet and  for  a  vehicle  with  a
 trailer not exceeding forty-eight feet. The maximum gross weight of such
 a  vehicle  shall not exceed forty-two thousand five hundred pounds plus
 one thousand two hundred fifty pounds for each foot and  major  fraction
 of  a  foot  of the distance from the center of the foremost axle to the
 center of the rearmost axle, or one hundred two thousand pounds,  which-

 S. 2008--A                          7                         A. 3008--A
 
 ever  is  more  restrictive  provided, however, that any four axle group
 weight shall not exceed sixty-two thousand pounds, any tridem axle group
 weight shall not exceed fifty-seven thousand  pounds,  any  tandem  axle
 weight  does  not exceed forty-seven thousand pounds and any single axle
 weight shall not exceed twenty-five thousand pounds.
   Any additional special authorizations contained in a  currently  valid
 annual  permit  shall  cease  upon the expiration of such current annual
 permit.
   (ii) A permit may be issued subject to bridge restrictions for a vehi-
 cle or a combination of vehicles having at least six axles and  a  wheel
 base  of at least thirty-six and one-half feet. The maximum gross weight
 of such vehicle or combination of vehicles shall not exceed one  hundred
 seven  thousand pounds and any tridem axle group weight shall not exceed
 fifty-eight thousand pounds and any tandem axle group weight  shall  not
 exceed forty-eight thousand pounds.
   (ii-a)  A  permit  may  be issued subject to bridge restrictions for a
 combination of vehicles having at least seven axles and a  wheelbase  of
 at  least forty-three feet. The maximum gross weight of such combination
 of vehicles shall not exceed one hundred seventeen thousand pounds,  any
 four axle group weight shall not exceed sixty-three thousand pounds, any
 tridem  axle  group weight shall not exceed fifty-eight thousand pounds,
 any tandem axle group  weight  shall  not  exceed  forty-eight  thousand
 pounds, and any single axle weight shall not exceed twenty-five thousand
 pounds.
   Each  axle  of  such  combination of vehicles, other than steerable or
 trackable axles, shall be equipped with two tires on each  side  of  the
 axle,  any air pressure controls for lift axles shall be located outside
 the cab of the combination of vehicles and shall be beyond the reach  of
 occupants of the cab while the combination of vehicles is in motion, the
 weight  on  any  grouping of two or more axles shall be distributed such
 that no axle in the grouping carries less than  eighty  percent  of  any
 other axle in the grouping, and any liftable axle of such combination of
 vehicles shall be steerable or trackable.
   (iii)  A  permit  may  be  issued for a vehicle having two axles and a
 wheelbase not less than ten feet, with the maximum gross weight  not  in
 excess of one hundred twenty-five percent of the total weight limitation
 as  set  forth  in  subdivision  ten of this section. Furthermore, until
 December thirty-first, nineteen hundred  ninety-four,  any  single  rear
 axle  weight shall not exceed twenty-eight thousand pounds. After Decem-
 ber thirty-first, nineteen hundred ninety-four, any  axle  weight  shall
 not exceed twenty-seven thousand pounds.
   (iv) Within a city not wholly included within one county and the coun-
 ties  of  Westchester,  Rockland,  Nassau,  Suffolk,  Putnam, Orange and
 Dutchess, a permit may be issued for a vehicle  having  at  least  three
 axles and a wheelbase not exceeding forty-four feet nor less than seven-
 teen feet or for a vehicle with a trailer not exceeding forty feet.
   Until  December  thirty-first,  nineteen hundred ninety-four, a permit
 may only be issued for such a vehicle having a maximum gross weight  not
 exceeding  eighty-two  thousand  pounds and any tandem axle group weight
 shall not exceed sixty-two thousand pounds.
   After January first, nineteen hundred ninety-five,  the  operation  of
 such  a vehicle shall be further limited and a permit may only be issued
 for such a vehicle having a maximum gross weight not exceeding  seventy-
 nine  thousand  pounds and any tandem axle group weight shall not exceed
 fifty-nine thousand pounds, and any tridem shall not  exceed  sixty-four
 thousand pounds.

 S. 2008--A                          8                         A. 3008--A
 
   A  permit  may  be  issued  only until December thirty-first, nineteen
 hundred ninety-four for a vehicle having at  least  three  axles  and  a
 wheelbase  between  fifteen and seventeen feet. The maximum gross weight
 of such a vehicle shall not exceed seventy-three  thousand  two  hundred
 eighty  pounds  and any tandem axle group weight shall not exceed fifty-
 four thousand pounds.
   No vehicle having a model year of two thousand six or newer  shall  be
 issued  a  permit pursuant to this subparagraph for use within the coun-
 ties of Westchester,  Rockland,  Nassau,  Suffolk,  Putnam,  Orange  and
 Dutchess  unless  it  is  equipped with at least four axles, and further
 provided, after December thirty-first, two thousand fourteen, no  permit
 shall  be  issued  pursuant to this [subparagraph] CLAUSE for use within
 the counties of Westchester, Rockland, Nassau, Suffolk,  Putnam,  Orange
 and  Dutchess  to  a  vehicle  of  any  model year unless the vehicle is
 equipped with at least four axles.
   (v) Within a city not wholly included within one county and the  coun-
 ties of Westchester, Rockland, Nassau, Suffolk, Putnam, Orange or Dutch-
 ess,  a  permit may be issued only until December thirty-first, nineteen
 hundred ninety-nine for a vehicle or combination of  vehicles  that  has
 been permitted within the past four years having five axles and a wheel-
 base  of at least thirty-six and one-half feet. The maximum gross weight
 of such a vehicle or  combination  of  vehicles  shall  not  exceed  one
 hundred  five thousand pounds and any tandem axle group weight shall not
 exceed fifty-one thousand pounds.
   Within a city not wholly included within one county and  the  counties
 of  Westchester, Rockland, Nassau, Suffolk, Putnam, Orange and Dutchess,
 a permit may be issued for a vehicle or combination of  vehicles  having
 at least five axles and a wheelbase of at least thirty feet. The maximum
 gross weight of such vehicle or combination of vehicles shall not exceed
 ninety-three  thousand pounds and any tridem axle group weight shall not
 exceed fifty-seven thousand pounds and  any  tandem  axle  group  weight
 shall not exceed forty-five thousand pounds.
   (vi) Within a city not wholly included within one county and the coun-
 ties  of  Westchester,  Rockland,  Nassau,  Suffolk,  Putnam, Orange and
 Dutchess, a permit may be issued for a vehicle or combination  of  vehi-
 cles  having  at  least  five  axles or more and a wheelbase of at least
 thirty-six and one-half feet,  provided  such  permit  contains  routing
 restrictions.
   Until December thirty-first, nineteen hundred ninety-four, the maximum
 gross  weight  of  a  vehicle or combination of vehicles permitted under
 this [subparagraph] CLAUSE shall not exceed one hundred twenty  thousand
 pounds  and  any  tandem  or  tridem  axle group weight shall not exceed
 sixty-nine thousand pounds,  provided,  however,  that  any  replacement
 vehicle or combination of vehicles permitted after the effective date of
 this  [subparagraph]  CLAUSE  shall  have at least six axles, any tandem
 axle group shall not exceed fifty thousand pounds and  any  tridem  axle
 group shall not exceed sixty-nine thousand pounds.
   After  December thirty-first, nineteen hundred ninety-four, the tridem
 axle group weight of any vehicle or combination  of  vehicles  issued  a
 permit  under  this  [subparagraph]  CLAUSE shall not exceed sixty-seven
 thousand pounds, any tandem axle group weight  shall  not  exceed  fifty
 thousand  pounds and any single axle weight shall not exceed twenty-five
 thousand seven hundred fifty pounds.
   After December thirty-first, nineteen hundred ninety-nine,  all  vehi-
 cles issued a permit under this [subparagraph] CLAUSE must have at least
 six axles.

 S. 2008--A                          9                         A. 3008--A
 
   After  December  thirty-first, two thousand fourteen, all combinations
 of vehicles issued a permit under this  [subparagraph]  CLAUSE  for  use
 within  the  counties of Westchester, Rockland, Nassau, Suffolk, Putnam,
 Orange and Dutchess must have at least seven axles and a wheelbase of at
 least forty-three feet.
   After  December  thirty-first,  two  thousand six, no permits shall be
 issued under this [subparagraph] CLAUSE for use within the  counties  of
 Westchester,  Rockland, Nassau, Suffolk, Putnam, Orange and Dutchess for
 a vehicle or combination of vehicles having less  than  seven  axles  or
 having  a  wheelbase  of  less than forty-three feet, provided, however,
 that permits may be issued for use within the counties  of  Westchester,
 Rockland,  Nassau,  Suffolk, Putnam, Orange and Dutchess for vehicles or
 combinations of vehicles where the permit  applicant  demonstrates  that
 the  applicant  acquired the vehicle or combination of vehicles prior to
 December thirty-first, two thousand six, and  that  if  the  vehicle  or
 combination  of  vehicles was acquired by the applicant after the effec-
 tive date of this provision, such vehicle or combination of vehicles  is
 less than fifteen years old. In instances where the application is for a
 combination  of vehicles, the applicant shall demonstrate that the power
 unit of such combination satisfies the conditions of this [subparagraph]
 CLAUSE.  In no event shall a permit be issued under this  [subparagraph]
 CLAUSE  for  use  within  the counties of Westchester, Rockland, Nassau,
 Suffolk, Putnam, Orange and Dutchess for a  vehicle  or  combination  of
 vehicles having less than seven axles or having a wheelbase of less than
 forty-three feet after December thirty-first, two thousand fourteen.
   Except  as  otherwise  provided  by  this  subparagraph for the period
 ending December thirty-first,  two  thousand  fourteen,  after  December
 thirty-first,  two  thousand three, any combination of vehicles issued a
 permit under this [subparagraph] CLAUSE for use within the  counties  of
 Westchester,  Rockland,  Nassau,  Suffolk,  Putnam,  Orange and Dutchess
 shall not exceed one hundred twenty thousand pounds, shall have at least
 seven axles, shall have a wheelbase of at least  forty-three  feet,  and
 single  axle  weight shall not exceed twenty-five thousand seven hundred
 fifty pounds, any tandem axle group weight shall not exceed  forty-eight
 thousand  pounds,  any  tridem axle group weight shall not exceed sixty-
 three thousand pounds and any four axle group shall  not  exceed  sixty-
 five thousand pounds.
   From  the  date  of  enactment  of this paragraph, permit applications
 under [subparagraphs] CLAUSES (i), (ii), (ii-a), (iii),  (iv),  (v)  and
 (vi)  of  this  [paragraph] SUBPARAGRAPH for vehicles registered in this
 state may be honored by the  commissioner  of  transportation  or  other
 appropriate  authority.  The  commissioner  of  transportation and other
 appropriate authorities may confer and develop a  system  through  rules
 and regulations to assure compliance herewith.
   § 2. This act shall take effect immediately.
 
                                  PART C
 
   Section 1. Paragraph (b) of subdivision 5 of section 88-a of the state
 finance  law, as added by chapter 481 of the laws of 1981, is amended to
 read as follows:
   (b) Moneys in the public transportation systems  operating  assistance
 account  shall  be  paid  on  a quarterly basis beginning October first,
 nineteen hundred eighty-one. However, if there is  a  demonstrated  cash
 shortfall  in any eligible system, payments to such system may be accel-
 erated. Such payments shall be made in accordance  with  a  schedule  as

 S. 2008--A                         10                         A. 3008--A
 
 specified  by appropriation for the payment of operating costs of public
 mass transportation systems outside the metropolitan commuter  transpor-
 tation  district  as  defined by section twelve hundred sixty-two of the
 public  authorities law, eligible to receive operating assistance pursu-
 ant to section eighteen-b of the transportation law.  PROVIDED,  HOWEVER
 THAT  NO  PAYMENT SHALL BE MADE TO ANY PUBLIC TRANSPORTATION SYSTEM THAT
 IS OPERATING IN VIOLATION OF AN ORDER BY THE PUBLIC TRANSPORTATION SAFE-
 TY BOARD PURSUANT TO SUBDIVISION NINE OF SECTION TWO  HUNDRED  SEVENTEEN
 OF  THE  TRANSPORTATION LAW UNTIL SUCH TIME THAT SAID PUBLIC TRANSPORTA-
 TION SYSTEM HAS FULLY COMPLIED WITH SAID ORDER OR UNLESS  THE  ORDER  IS
 OTHERWISE LIFTED.
   §  2.  Paragraph  (b)  of  subdivision  7 of section 88-a of the state
 finance law, as amended by chapter 56 of the laws of 1993, is amended to
 read as follows:
   (b) Moneys in the metropolitan mass transportation  operating  assist-
 ance account shall be paid on a quarterly basis beginning October first,
 nineteen  hundred [eight-one] EIGHTY-ONE.  However, if there is a demon-
 strated cash shortfall in any eligible system, payments to  such  system
 may  be accelerated. Such moneys shall be paid in accordance with sched-
 ules as specified by appropriations for payment of  operating  costs  of
 public  transportation systems in the metropolitan transportation commu-
 ter district in order to meet the operating expenses  of  such  systems,
 provided,  however,  with  respect  to  the  metropolitan transportation
 authority, its affiliates  and  subsidiaries,  and  notwithstanding  any
 general  or  special  law  to  the contrary, other than such a law which
 makes specific reference to this section, and subject to the  provisions
 of  section  twelve  hundred seventy-c of the public authorities law, so
 long as the metropolitan transportation  authority  dedicated  tax  fund
 established  by  section twelve hundred seventy-c of the public authori-
 ties law shall exist, any such appropriation to the metropolitan  trans-
 portation  authority, its affiliates or its subsidiaries shall be deemed
 to be an appropriation to the metropolitan transportation authority  and
 the  total  amount paid pursuant to such appropriation or appropriations
 shall be deposited to such metropolitan transportation  authority  dedi-
 cated  tax  fund  and  distributed  in accordance with the provisions of
 section twelve hundred seventy-c of the public authorities law.  Nothing
 contained  in  this subdivision shall be deemed to restrict the right of
 the state to amend, repeal, modify or otherwise alter statutes  imposing
 or relating to the taxes producing revenues for deposit in the metropol-
 itan  mass  transportation operating assistance account or the appropri-
 ations relating thereto. The metropolitan transportation authority shall
 not include within any resolution, contract or agreement with holders of
 the bonds or notes issued under section twelve hundred sixty-nine of the
 public authorities law any  provision  which  provides  that  a  default
 occurs  as  a result of the state exercising its right to amend, repeal,
 modify or otherwise alter  such  taxes  or  appropriations.    PROVIDED,
 HOWEVER  THAT  NO  PAYMENT  SHALL  BE  MADE TO ANY PUBLIC TRANSPORTATION
 SYSTEM THAT IS OPERATING IN VIOLATION OF AN ORDER BY THE  PUBLIC  TRANS-
 PORTATION  SAFETY  BOARD  PURSUANT  TO  SUBDIVISION  NINE OF SECTION TWO
 HUNDRED SEVENTEEN OF THE TRANSPORTATION LAW UNTIL SUCH  TIME  THAT  SAID
 PUBLIC  TRANSPORTATION  SYSTEM  HAS  FULLY  COMPLIED  WITH SAID ORDER OR
 UNLESS THE ORDER IS OTHERWISE LIFTED.
   § 3. The opening paragraph of subdivision 4 of  section  88-b  of  the
 state  finance  law,  as  added  by  chapter  13 of the laws of 1987, is
 amended to read as follows:

 S. 2008--A                         11                         A. 3008--A
 
   Moneys of the fund shall be made available for financing  any  of  the
 following  types  of capital projects within the counties comprising the
 metropolitan commuter transportation  district,  except  those  counties
 comprising  the  city  of  New  York,  but  only to the extent that such
 projects  are on an adopted transportation plan and approved by a desig-
 nated transportation coordinating committee, if one exists,  or  by  the
 metropolitan  planning  organization  as  created  pursuant  to  section
 fifteen-a of the transportation  law  if  no  designated  transportation
 coordinating  committee exists: capacity and infrastructure improvements
 to state, county, town, city,  village  roads,  highways,  parkways  and
 bridges;  or  state,  county,  town, city or village mass transportation
 projects; provided, however, that in Nassau and  Suffolk  counties  such
 moneys shall be available only for capacity improvements to state roads,
 highways,  parkways  and bridges. The amount of state funds historically
 appropriated statewide, other than bond funds, for transportation  capi-
 tal  purposes  from  other  sources  shall not be reduced because of the
 availability of such moneys made available pursuant to this chapter, nor
 shall such moneys be used to match federal aid. Prior to the  allocation
 of  state advance funds appropriated pursuant to this section, the muni-
 cipality responsible for the project shall certify to  the  commissioner
 of  transportation that the amount of funds appropriated for transporta-
 tion capital purposes by that municipality shall not be reduced  because
 of  the  availability  of such state advance funds, and that such moneys
 shall not be used to match federal  aid.    PROVIDED,  HOWEVER  THAT  NO
 PAYMENT  SHALL BE MADE TO ANY PUBLIC TRANSPORTATION SYSTEM THAT IS OPER-
 ATING IN VIOLATION OF AN ORDER BY THE PUBLIC TRANSPORTATION SAFETY BOARD
 PURSUANT TO SUBDIVISION NINE OF SECTION TWO  HUNDRED  SEVENTEEN  OF  THE
 TRANSPORTATION  LAW  UNTIL  SUCH  TIME  THAT  SAID PUBLIC TRANSPORTATION
 SYSTEM HAS FULLY COMPLIED WITH SAID ORDER OR UNLESS THE ORDER IS  OTHER-
 WISE LIFTED.
   §  4.  Paragraph a of subdivision 2 of section 18-b of the transporta-
 tion law, as added by chapter 56 of the laws of 1975, is amended to read
 as follows:
   a. The commissioner shall pay to  each  public  transportation  system
 that  makes  an  application therefor, in quarterly installments, a mass
 transportation operating assistance service payment. For the purposes of
 this section, the quarters shall be April  through  June,  July  through
 September,   October   through   December  and  January  through  March.
 PROVIDED, HOWEVER THAT NO PAYMENT SHALL BE MADE TO ANY PUBLIC  TRANSPOR-
 TATION  SYSTEM  THAT IS OPERATING IN VIOLATION OF AN ORDER BY THE PUBLIC
 TRANSPORTATION SAFETY BOARD PURSUANT TO SUBDIVISION NINE OF SECTION  TWO
 HUNDRED  SEVENTEEN  OF  THIS  CHAPTER  UNTIL  SUCH TIME THAT SAID PUBLIC
 TRANSPORTATION SYSTEM HAS FULLY COMPLIED WITH SAID ORDER OR  UNLESS  THE
 ORDER IS OTHERWISE LIFTED.
   §  5. Section 217 of the transportation law is amended by adding seven
 new subdivisions 9, 10, 11, 12, 13, 14 and 15 to read as follows:
   9. TO COMPLY WITH THE REQUIREMENTS OF THE NATIONAL PUBLIC  TRANSPORTA-
 TION  SAFETY PLAN, AS PROVIDED BY SECTION 5329 OF TITLE 49 OF THE UNITED
 STATES CODE AND TO PROVIDE THE STATE SAFETY OVERSIGHT  PROGRAM  REQUIRED
 THEREBY.
   10.  TO REVIEW, APPROVE, OVERSEE AND ENFORCE THE IMPLEMENTATION BY THE
 RAIL FIXED GUIDEWAY PUBLIC TRANSPORTATION AGENCY OF THE PUBLIC TRANSPOR-
 TATION AGENCY SAFETY PLAN THAT IS APPROVED BY THE BOARD.
   11. TO INVESTIGATE AND ENFORCE  THE  SAFETY  OF  RAIL  FIXED  GUIDEWAY
 PUBLIC  TRANSPORTATION  SYSTEMS  WITH  THE  PUBLIC TRANSPORTATION AGENCY
 SAFETY PLAN APPROVED BY THE BOARD.

 S. 2008--A                         12                         A. 3008--A
 
   12. TO PERFORM AUDITS, AT LEAST ONCE TRIENNIALLY, FOR  THE  COMPLIANCE
 OF THE RAIL FIXED GUIDEWAY PUBLIC TRANSPORTATION SYSTEMS WITH THE FEDER-
 AL TRANSIT ADMINISTRATION.
   13.  TO PROVIDE, AT LEAST ONCE ANNUALLY, A STATUS REPORT ON THE SAFETY
 OF RAIL FIXED GUIDEWAY PUBLIC  TRANSPORTATION  SYSTEMS  THAT  THE  BOARD
 OVERSEES.
   14.  TO  REVIEW,  APPROVE,  OVERSEE  AND ENFORCE THE IMPLEMENTATION OF
 PUBLIC TRANSPORTATION SYSTEM SAFETY PLANS.
   15. TO ISSUE SUCH ADVISORIES, DIRECTIVES OR ORDERS THAT MAY BE  DEEMED
 NECESSARY  TO  ASSURE  SAFETY  IN THE OPERATION OF PUBLIC TRANSPORTATION
 SYSTEMS.
   § 6. This act shall take effect immediately.
 
                                  PART D
 
   Section 1. Paragraph (g) of subdivision 3 of section 385 of the  vehi-
 cle  and  traffic  law,  as added by chapter 303 of the laws of 2014, is
 amended to read as follows:
   (g) The length of a tow truck or car carrier, inclusive  of  load  and
 bumpers,  shall  be  not more than forty feet, except that a car carrier
 may have an overhang that extends beyond the rear  bumper  of  such  car
 carrier  by  not more than [three] FOUR feet and except, further, that a
 wheel lift that is less  than  fifteen  feet  in  length  shall  not  be
 included  as  part of the length of a tow truck or car carrier when such
 wheel lift is in use by such tow truck or car  carrier  to  tow  another
 motor vehicle.
   §  2.  Subparagraphs  5  and  6  of  paragraph (b) of subdivision 4 of
 section 385 of the vehicle and traffic law, subparagraph 5 as amended by
 chapter 669 of the laws of 2005, and subparagraph 6 as amended by  chap-
 ter  26  of  the  laws  of 2002, are amended and a new subparagraph 7 is
 added to read as follows:
   5. A vehicle or combination of vehicles which is disabled  and  unable
 to  proceed under its own power and is being towed for a distance not in
 excess of ten miles for the purpose of repairs or removal from the high-
 way, except that the distance to the nearest exit of a controlled-access
 highway shall not be considered in determining such ten  mile  distance;
 [and]
   6.  Stinger-steered  automobile  transporters  or stinger-steered boat
 transporters, while operating on qualifying and  access  highways.  Such
 vehicles shall not, however, exceed [seventy-five] EIGHTY feet exclusive
 of  an  overhang  of  not  more  than [three] FOUR feet on the front and
 [four] SIX feet on the rear of the vehicle[.]; AND
   7. A COMBINATION OF VEHICLES OPERATING ON  ANY  QUALIFYING  OR  ACCESS
 HIGHWAYS  CONSISTING  OF  A  POWER UNIT AND TWO TRAILERS OR SEMITRAILERS
 WITH A TOTAL WEIGHT THAT SHALL NOT  EXCEED  TWENTY-SIX  THOUSAND  POUNDS
 WHEN  THE  OVERALL  LENGTH IS GREATER THAN SIXTY-FIVE FEET BUT SHALL NOT
 EXCEED EIGHTY-TWO FEET; AND IN WHICH THE TRAILERS OR SEMITRAILERS  CARRY
 NO  PROPERTY  AND  CONSTITUTE  INVENTORY  PROPERTY  OF  A  MANUFACTURER,
 DISTRIBUTOR, OR DEALER OF SUCH TRAILERS OR SEMITRAILERS.
   § 3. Paragraph (c) of subdivision 4 of section 385 of the vehicle  and
 traffic law, as amended by chapter 26 of the laws of 2002, is amended to
 read as follows:
   (c)  Notwithstanding  the provisions of paragraph (a) of this subdivi-
 sion, an overhang of not more than three feet on the front and four feet
 on the rear of an automobile transporter or AN OVERHANG OF NOT MORE THAN
 FOUR FEET ON THE FRONT AND SIX FEET ON THE  REAR  OF  A  stinger-steered

 S. 2008--A                         13                         A. 3008--A
 
 automobile  transporter  or  a  boat transporter or stinger-steered boat
 transporter shall be permitted.
   §  4. Subdivision 10 of section 385 of the vehicle and traffic law, as
 amended by chapter 1008 of the laws of  1983,  is  amended  to  read  as
 follows:
   10.  A  single vehicle or a combination of vehicles having three axles
 or more and equipped with pneumatic tires, when loaded, may have a total
 weight on all axles not to exceed thirty-four thousand pounds, plus  one
 thousand  pounds  for  each  foot  and  major  fraction of a foot of the
 distance from the center of the foremost axle to the center of the rear-
 most axle. Axles to be counted as provided in subdivision five  of  this
 section. In no case, however, shall the total weight exceed eighty thou-
 sand  pounds EXCEPT FOR A VEHICLE IF OPERATED BY AN ENGINE FUELED PRIMA-
 RILY BY NATURAL GAS WHICH MAY HAVE A MAXIMUM GROSS WEIGHT OF  EIGHTY-TWO
 THOUSAND  POUNDS.  For  any  vehicle or combination of vehicles having a
 total gross weight less than seventy-one thousand pounds, the higher  of
 the following shall apply:
   (a)  the  total weight on all axles shall not exceed thirty-four thou-
 sand pounds plus one thousand pounds for each foot and major fraction of
 a foot of the distance from the center  of  the  foremost  axle  to  the
 center of the rearmost axle, or
   (b)  the  overall  gross  weight on a group of two or more consecutive
 axles shall not exceed the weight produced by application of the follow-
 ing formula:
                      W = 500 ((LxN)/(N-1) + (12xN)+36)
 where W equals overall gross weight on any group of two or more  consec-
 utive  axles  to  the  nearest five hundred pounds, L equals distance in
 feet from the center of the foremost axle to the center of the  rearmost
 axle  of any group of two or more consecutive axles, and N equals number
 of axles in group under consideration, except that two consecutive  sets
 of  tandem  axles  may carry a gross load of thirty-four thousand pounds
 each providing the overall distance between the first and last axles  of
 such consecutive sets of tandem axles is thirty-six feet or more.
   For any vehicle or combination of vehicles having a total gross weight
 of  seventy-one thousand pounds or greater, paragraph (b) shall apply to
 determine maximum gross weight which is permitted hereunder.
   § 5. Section 385 of the vehicle and traffic law is amended by adding a
 new subdivision 24 to read as follows:
   24. THE PROVISIONS OF SUBDIVISIONS SIX, SEVEN, EIGHT, NINE, TEN, ELEV-
 EN AND TWELVE OF THIS SECTION SHALL NOT APPLY TO ANY TOW TRUCK  THAT  IS
 TRANSPORTING  A DISABLED VEHICLE FROM THE PLACE WHERE THE VEHICLE BECAME
 DISABLED TO THE NEAREST APPROPRIATE REPAIR  FACILITY  AND  HAS  A  GROSS
 VEHICLE  WEIGHT  THAT IS EQUAL TO OR EXCEEDS THE GROSS VEHICLE WEIGHT OF
 THE DISABLED VEHICLE BEING TRANSPORTED.
   § 6. Subparagraph (iii) of paragraph b of subdivision 2 of section 510
 of the vehicle and traffic law, as amended by chapter 349 of the laws of
 1993, is amended to read as follows:
   (iii) such registrations shall be suspended when necessary  to  comply
 with  subdivision  nine of section one hundred forty or subdivision four
 of section one hundred forty-five of the transportation law OR WHEN  THE
 MOTOR  CARRIER  HAS  BEEN  ISSUED  AN OUT OF SERVICE ORDER BY THE UNITED
 STATES DEPARTMENT OF TRANSPORTATION. The  commissioner  shall  have  the
 authority  to  deny  a  registration or renewal application to any other
 person for the same vehicle and  may  deny  a  registration  or  renewal
 application  for  any  other motor vehicle registered in the name of the
 applicant where it has been determined that such registrant's intent has

 S. 2008--A                         14                         A. 3008--A
 
 been to evade the purposes of this subdivision and where the commission-
 er has reasonable grounds to believe that such registration  or  renewal
 will  have the effect of defeating the purposes of this subdivision. ANY
 SUSPENSION  ISSUED  PURSUANT TO THIS SUBPARAGRAPH SHALL REMAIN IN EFFECT
 UNTIL SUCH TIME AS THE COMMISSIONER IS NOTIFIED  BY  THE  UNITED  STATES
 DEPARTMENT  OF TRANSPORTATION OR THE NEW YORK STATE DEPARTMENT OF TRANS-
 PORTATION THAT THE OUT OF SERVICE ORDER RESULTING IN THE  SUSPENSION  IS
 NO LONGER IN EFFECT.
   § 7. This act shall take effect immediately.
 
                                  PART E
 
   Section 1. Subdivision 3 of section 165.15 of the penal law is amended
 to read as follows:
   3. With intent to obtain railroad, subway, bus, air, taxi or any other
 public  transportation  service  OR  TO  USE ANY HIGHWAY, PARKWAY, ROAD,
 BRIDGE OR TUNNEL without payment of the lawful charge OR TOLL  therefor,
 or to avoid payment of the lawful charge OR TOLL for such transportation
 service  which  has been rendered to him OR FOR SUCH USE OF ANY HIGHWAY,
 PARKWAY, ROAD, BRIDGE OR TUNNEL, he obtains or attempts to  obtain  such
 service OR USE or avoids or attempts to avoid payment therefor by force,
 intimidation, stealth, deception or mechanical tampering, or by unjusti-
 fiable failure or refusal to pay; or
   §  2.  The  vehicle and traffic law is amended by adding a new section
 518 to read as follows:
   § 518. RECIPROCAL AGREEMENTS CONCERNING SUSPENSION  OR  REVOCATION  OF
 REGISTRATION  OF A MOTOR VEHICLE FOR VIOLATIONS OF TOLL COLLECTION REGU-
 LATIONS. A. THE COMMISSIONER MAY EXECUTE A RECIPROCAL COMPACT OR  AGREE-
 MENT  REGARDING TOLL COLLECTION VIOLATIONS WITH THE MOTOR VEHICLE ADMIN-
 ISTRATOR OR OTHER AUTHORIZED OFFICIAL OF ANOTHER STATE NOT  INCONSISTENT
 WITH  THE  PROVISIONS  OF  THIS CHAPTER. SUCH COMPACT OR AGREEMENT SHALL
 PROVIDE THAT IF A REGISTRATION OF A MOTOR VEHICLE WOULD BE SUSPENDED  OR
 REVOKED  PURSUANT  TO  PARAGRAPH  D OF SUBDIVISION THREE OF SECTION FIVE
 HUNDRED TEN OF THIS CHAPTER, OR PURSUANT TO A COMPARABLE  LAW  OR  REGU-
 LATION  OF  ANOTHER STATE, BECAUSE AN OWNER OF A MOTOR VEHICLE FAILED TO
 PAY TOLLS AND VIOLATION FEES, OR HAVE  THEM  DISMISSED  OR  TRANSFERRED,
 THEN THE STATE ISSUING THE REGISTRATION SHALL LIKEWISE SUSPEND OR REVOKE
 THE  REGISTRATION OR BAR RENEWAL OF SUCH REGISTRATION, UNTIL SUCH REGIS-
 TRANT OR APPLICANT HAS PAID SUCH TOLLS AND FEES  OR  COMPLIED  WITH  THE
 RULES AND REGULATIONS.
   B.  SUCH COMPACT OR AGREEMENT SHALL ALSO PROVIDE SUCH TERMS AND PROCE-
 DURES AS ARE NECESSARY AND PROPER TO FACILITATE ITS ADMINISTRATION.  ANY
 SUCH  COMPACT  OR  AGREEMENT SHALL SPECIFY THE VIOLATIONS SUBJECT TO THE
 COMPACT OR AGREEMENT, AND SHALL INCLUDE A  DETERMINATION  OF  COMPARABLE
 VIOLATIONS  IN  EACH STATE IF ANY SUCH VIOLATIONS ARE OF A SUBSTANTIALLY
 SIMILAR NATURE BUT ARE NOT DENOMINATED OR  DESCRIBED  IN  PRECISELY  THE
 SAME WORDS IN EACH PARTY STATE.
   C.  THE  WORD  "STATE" WHEN USED IN THIS SECTION SHALL MEAN ANY STATE,
 TERRITORY, A POSSESSION OF THE UNITED STATES, THE DISTRICT  OF  COLUMBIA
 OR ANY PROVINCE OF CANADA.
   §  3.  Subdivision  1 of section 402 of the vehicle and traffic law is
 amended by adding a new paragraph (c) to read as follows:
   (C) IT SHALL BE UNLAWFUL FOR ANY PERSON TO OPERATE, DRIVE  OR  PARK  A
 MOTOR  VEHICLE  ON  A TOLL HIGHWAY, BRIDGE AND/OR TUNNEL FACILITY, UNDER
 THE JURISDICTION OF THE TOLLING AUTHORITY, IF SUCH NUMBER PLATE  IS  NOT
 EASILY  READABLE,  NOR SHALL ANY NUMBER PLATE BE COVERED BY GLASS OR ANY

 S. 2008--A                         15                         A. 3008--A
 
 PLASTIC MATERIAL, AND SHALL NOT BE KNOWINGLY COVERED OR COATED WITH  ANY
 ARTIFICIAL  OR SYNTHETIC MATERIAL OR SUBSTANCE THAT CONCEALS OR OBSCURES
 SUCH NUMBER PLATES OR THAT DISTORTS A RECORDED OR PHOTOGRAPHIC IMAGE  OF
 SUCH  NUMBER  PLATES,  AND  THE  VIEW OF SUCH NUMBER PLATES SHALL NOT BE
 OBSTRUCTED BY ANY PART OF THE VEHICLE OR BY  ANYTHING  CARRIED  THEREON,
 EXCEPT  FOR  A  RECEIVER-TRANSMITTER  ISSUED BY A PUBLICLY OWNED TOLLING
 FACILITY IN CONNECTION WITH ELECTRONIC TOLL COLLECTION WHEN SUCH RECEIV-
 ER-TRANSMITTER IS AFFIXED TO THE EXTERIOR OF  A  VEHICLE  IN  ACCORDANCE
 WITH  MOUNTING  INSTRUCTIONS  PROVIDED  BY  THE  TOLLING  FACILITY.  FOR
 PURPOSES OF THIS PARAGRAPH, "TOLLING AUTHORITY" SHALL MEAN EVERY  PUBLIC
 AUTHORITY  WHICH  OPERATES A TOLL HIGHWAY, BRIDGE AND/OR TUNNEL FACILITY
 AS WELL AS THE PORT AUTHORITY OF NEW YORK AND  NEW  JERSEY,  A  BI-STATE
 AGENCY CREATED BY COMPACT SET FORTH IN CHAPTER ONE HUNDRED FIFTY-FOUR OF
 THE LAWS OF NINETEEN HUNDRED TWENTY-ONE, AS AMENDED.
   §  4.  Subdivision 8 of section 402 of the vehicle and traffic law, as
 amended by chapter 61 of the laws of 1989 and renumbered by chapter  648
 of the laws of 2006, is amended to read as follows:
   8.  The violation of this section shall be punishable by a fine of not
 less than twenty-five nor more  than  two  hundred  dollars  EXCEPT  FOR
 VIOLATIONS  OF  PARAGRAPH  (C) OF SUBDIVISION ONE OF THIS SECTION, WHICH
 SHALL BE PUNISHABLE BY A FINE OF NOT LESS THAN ONE HUNDRED NOR MORE THAN
 FIVE HUNDRED DOLLARS.
   § 5. This act shall take effect immediately.
 
                                  PART F
 
   Section 1. Subdivision 5 of section 227 of  the  vehicle  and  traffic
 law,  as  amended  by  section 3 of part CC of chapter 58 of the laws of
 2015, is amended to read as follows:
   5. All penalties and forfeited  security  collected  pursuant  to  the
 provisions  of this article shall be paid to the department of audit and
 control to the credit of the justice court fund and shall be subject  to
 the  applicable  provisions  of  section  eighteen hundred three of this
 chapter. After such audit as shall reasonably be required by  the  comp-
 troller,  such  penalties and forfeited security shall be paid quarterly
 or, in the discretion of the comptroller, monthly,  to  the  appropriate
 jurisdiction  in  which  the  violation  occurred in accordance with the
 provisions of section ninety-nine-a of the  state  finance  law,  except
 that the sum of four dollars for each violation occurring in such juris-
 diction  for  which  a  complaint has been filed with the administrative
 tribunal established pursuant to this article shall be retained  by  the
 state.  NOTWITHSTANDING ANY LAW TO THE CONTRARY AN ADDITIONAL ANNUAL SUM
 OF  THREE  MILLION DOLLARS COLLECTED FROM FINES AND ASSESSED TO THE CITY
 OF NEW YORK, SHALL BE DEPOSITED INTO THE GENERAL FUND IN ACCORDANCE WITH
 THE PROVISIONS OF SECTION NINETY-NINE-A OF THE STATE  FINANCE  LAW.  The
 amount  distributed  during  the  first  three  quarters  to the city of
 Rochester in any given fiscal year shall not exceed seventy  percent  of
 the  amount which will be otherwise payable.  Provided, however, that if
 the full costs of administering this article shall  exceed  the  amounts
 received  and  retained  by  the  state  for any period specified by the
 commissioner, then such additional sums as shall be required  to  offset
 such  costs  shall  be  retained  by  the state out of the penalties and
 forfeited security collected pursuant to this article.
   § 2. Paragraph c of subdivision 1 of section 1803 of the  vehicle  and
 traffic  law,  as amended by chapter 385 of the laws of 1999, is amended
 to read as follows:

 S. 2008--A                         16                         A. 3008--A

   c. for compliance  with  or  violations  of  subdivision  nineteen  of
 section  three  hundred eighty-five of this chapter, notwithstanding any
 inconsistent provision of law, except as provided in section  ninety  of
 the  state finance law, the fees and fines collected by the state pursu-
 ant  to sections two hundred twenty-seven, three hundred eighty-five and
 eighteen hundred three of this chapter and section ninety-nine-a of  the
 state  finance law, shall be made available to the state comptroller for
 deposit in the general fund except that fines collected  within  a  city
 not  wholly  included  within  one  county shall be paid to such city in
 accordance with the procedures set forth in subdivision four of  section
 two  hundred  twenty-seven  of this chapter for deposit into the general
 fund of such city, AND EXCEPT THAT AN ANNUAL  AMOUNT  OF  THREE  MILLION
 DOLLARS OF FINES COLLECTED WITHIN THE CITY OF NEW YORK PURSUANT TO ARTI-
 CLE TWO-A OF THIS CHAPTER BE DEPOSITED BY THE COMPTROLLER TO THE GENERAL
 FUND.
   §  3.  Subdivision  3  of  section  99-a  of the state finance law, as
 amended by section 10 of part CC of chapter 58 of the laws of  2015,  is
 amended to read as follows:
   3.  The  comptroller  is  hereby  authorized  to implement alternative
 procedures, including guidelines in conjunction therewith,  relating  to
 the remittance of fines, penalties, forfeitures and other moneys by town
 and village justice courts, and by the Nassau and Suffolk counties traf-
 fic  and parking violations agencies, and by the city of Buffalo traffic
 violations agency, AND BY THE CITY OF NEW YORK PURSUANT TO ARTICLE TWO-A
 OF THE VEHICLE AND TRAFFIC LAW, to the justice court fund  and  for  the
 distribution  of  such moneys by the justice court fund. Notwithstanding
 any law  to  the  contrary,  the  alternative  procedures  utilized  may
 include:
   a. electronic funds transfer;
   b. remittance of funds by the justice court to the chief fiscal office
 of  the town or village, or, in the case of the Nassau and Suffolk coun-
 ties traffic and parking violations agencies, to the  county  treasurer,
 or, in the case of the Buffalo traffic violations agency, to the city of
 Buffalo comptroller, for distribution in accordance with instructions by
 the  comptroller  OR,  IN  THE CASE OF THE CITY OF NEW YORK, PURSUANT TO
 ARTICLE TWO-A OF THE VEHICLE AND TRAFFIC LAW TO  THE  CITY  COMPTROLLER;
 and/or
   c. monthly, rather than quarterly, distribution of funds.
   The comptroller may require such reporting and record keeping as he or
 she  deems  necessary  to  ensure  the  proper distribution of moneys in
 accordance with applicable laws. A  justice  court  or  the  Nassau  and
 Suffolk  counties traffic and parking violations agencies or the city of
 Buffalo traffic violations agency OR THE CITY OF NEW  YORK  PURSUANT  TO
 ARTICLE  TWO-A  OF  THE VEHICLE AND TRAFFIC LAW may utilize these proce-
 dures only when permitted by the comptroller, and such permission,  once
 given, may subsequently be withdrawn by the comptroller on due notice.
   § 4. This act shall take effect immediately.
 
                                  PART G
 
   Section  1.  Legislative  intent. The purpose of this act is to expand
 access to important and enhanced transportation  options  for  residents
 and  visitors throughout the State, while ensuring the safety, reliabil-
 ity, and cost-effectiveness of those services within the  State  of  New
 York.

 S. 2008--A                         17                         A. 3008--A
 
   §  2.  The  vehicle and traffic law is amended by adding a new article
 44-B to read as follows:
                                ARTICLE 44-B
                  TRANSPORTATION NETWORK COMPANY SERVICES
 SECTION 1691. DEFINITIONS.
         1692. GENERAL PROVISIONS.
         1693. FINANCIAL  RESPONSIBILITY OF TRANSPORTATION NETWORK COMPA-
                 NIES.
         1694. DISCLOSURES.
         1695. INSURANCE PROVISIONS.
         1696. DRIVER AND VEHICLE REQUIREMENTS.
         1697. MAINTENANCE OF RECORDS.
         1698. AUDIT PROCEDURES; CONFIDENTIALITY OF RECORDS.
         1699. CRIMINAL  HISTORY  BACKGROUND  CHECK   OF   TRANSPORTATION
                 NETWORK COMPANY DRIVERS.
         1700. CONTROLLING AUTHORITY.
   §  1691.  DEFINITIONS.  AS  USED  IN  THIS ARTICLE: 1. "TRANSPORTATION
 NETWORK COMPANY VEHICLE" OR "TNC VEHICLE" MEANS A VEHICLE THAT IS:
   (A) USED BY A TRANSPORTATION NETWORK COMPANY DRIVER TO PROVIDE  A  TNC
 PREARRANGED TRIP ORIGINATING IN THE STATE OF NEW YORK;
   (B)  OWNED,  LEASED OR OTHERWISE AUTHORIZED FOR USE BY THE TRANSPORTA-
 TION NETWORK COMPANY DRIVER AND SHALL NOT INCLUDE:
   (I) A TAXICAB, AS DEFINED IN SECTION ONE HUNDRED FORTY-EIGHT-A OF THIS
 CHAPTER AND SECTION 19-502 OF THE ADMINISTRATIVE CODE OF THE CITY OF NEW
 YORK, OR AS OTHERWISE DEFINED IN LOCAL LAW;
   (II) A LIVERY VEHICLE, AS DEFINED IN SECTION ONE HUNDRED  TWENTY-ONE-E
 OF THIS CHAPTER, OR AS OTHERWISE DEFINED IN LOCAL LAW;
   (III)  A  BLACK  CAR,  LIMOUSINE,  OR  LUXURY LIMOUSINE, AS DEFINED IN
 SECTION 19-502 OF THE ADMINISTRATIVE CODE OF THE CITY OF NEW YORK, OR AS
 OTHERWISE DEFINED IN LOCAL LAW;
   (IV) A FOR-HIRE VEHICLE, AS DEFINED IN SECTION 19-502 OF THE  ADMINIS-
 TRATIVE  CODE  OF THE CITY OF NEW YORK, OR AS OTHERWISE DEFINED IN LOCAL
 LAW;
   (V) A BUS, AS DEFINED IN SECTION ONE HUNDRED FOUR OF THIS CHAPTER;
   (VI) ANY MOTOR VEHICLE WEIGHING MORE THAN SIX  THOUSAND  FIVE  HUNDRED
 POUNDS UNLOADED;
   (VII)  ANY  MOTOR VEHICLE HAVING A SEATING CAPACITY OF MORE THAN SEVEN
 PASSENGERS; AND
   (VIII) ANY MOTOR VEHICLE SUBJECT TO SECTION THREE HUNDRED  SEVENTY  OF
 THIS CHAPTER.
   2.  "DIGITAL  NETWORK" MEANS ANY SYSTEM OR SERVICE OFFERED OR UTILIZED
 BY A TRANSPORTATION NETWORK COMPANY THAT ENABLES TNC  PREARRANGED  TRIPS
 WITH TRANSPORTATION NETWORK COMPANY DRIVERS.
   3.  "TRANSPORTATION  NETWORK  COMPANY" OR "TNC" MEANS A PERSON, CORPO-
 RATION, PARTNERSHIP,  SOLE  PROPRIETORSHIP,  OR  OTHER  ENTITY  THAT  IS
 LICENSED  PURSUANT  TO  THIS  ARTICLE AND IS OPERATING IN NEW YORK STATE
 EXCLUSIVELY USING A DIGITAL NETWORK TO  CONNECT  TRANSPORTATION  NETWORK
 COMPANY PASSENGERS TO TRANSPORTATION NETWORK COMPANY DRIVERS WHO PROVIDE
 TNC PREARRANGED TRIPS.
   4.  "TRANSPORTATION  NETWORK  COMPANY DRIVER" OR "TNC DRIVER" MEANS AN
 INDIVIDUAL WHO:
   (A) RECEIVES CONNECTIONS TO POTENTIAL PASSENGERS AND RELATED  SERVICES
 FROM  A  TRANSPORTATION NETWORK COMPANY IN EXCHANGE FOR PAYMENT OF A FEE
 TO THE TRANSPORTATION NETWORK COMPANY; AND
   (B) USES A TNC VEHICLE TO OFFER OR PROVIDE A TNC PREARRANGED  TRIP  TO
 TRANSPORTATION  NETWORK  COMPANY  PASSENGERS  UPON  CONNECTION THROUGH A

 S. 2008--A                         18                         A. 3008--A
 
 DIGITAL NETWORK  CONTROLLED  BY  A  TRANSPORTATION  NETWORK  COMPANY  IN
 EXCHANGE FOR COMPENSATION OR PAYMENT OF A FEE.
   5.  "TRANSPORTATION  NETWORK COMPANY PASSENGER" OR "PASSENGER" MEANS A
 PERSON OR PERSONS WHO USE A  TRANSPORTATION  NETWORK  COMPANY'S  DIGITAL
 NETWORK  TO  CONNECT  WITH  A  TRANSPORTATION NETWORK COMPANY DRIVER WHO
 PROVIDES TNC PREARRANGED TRIPS TO  THE  PASSENGER  IN  THE  TNC  VEHICLE
 BETWEEN POINTS CHOSEN BY THE PASSENGER.
   6.  "TNC  PREARRANGED TRIP" MEANS THE PROVISION OF TRANSPORTATION BY A
 TRANSPORTATION NETWORK COMPANY DRIVER TO A  PASSENGER  PROVIDED  THROUGH
 THE USE OF A TNC'S DIGITAL NETWORK:
   (A)  BEGINNING  WHEN A TRANSPORTATION NETWORK COMPANY DRIVER ACCEPTS A
 PASSENGER'S REQUEST FOR A TRIP THROUGH A DIGITAL NETWORK CONTROLLED BY A
 TRANSPORTATION NETWORK COMPANY;
   (B) CONTINUING WHILE THE TRANSPORTATION NETWORK COMPANY DRIVER  TRANS-
 PORTS THE REQUESTING PASSENGER IN A TNC VEHICLE; AND
   (C)  ENDING  WHEN  THE  LAST REQUESTING PASSENGER DEPARTS FROM THE TNC
 VEHICLE.
   (D) THE TERM "TNC PREARRANGED TRIP" DOES  NOT  INCLUDE  TRANSPORTATION
 PROVIDED THROUGH ANY OF THE FOLLOWING:
   (I) SHARED EXPENSE CARPOOL OR VANPOOL ARRANGEMENTS, INCLUDING THOSE AS
 DEFINED  IN SECTION ONE HUNDRED FIFTY-EIGHT-B OF THE VEHICLE AND TRAFFIC
 LAW;
   (II) USE OF A TAXICAB, LIVERY, LUXURY  LIMOUSINE,  OR  OTHER  FOR-HIRE
 VEHICLE,  AS  DEFINED  IN THE VEHICLE AND TRAFFIC LAW, SECTION 19-502 OF
 THE NEW YORK CITY ADMINISTRATIVE CODE, OR AS OTHERWISE DEFINED IN  LOCAL
 LAW; AND
   (III) A REGIONAL TRANSPORTATION PROVIDER.
   7. "GROUP POLICY" MEANS AN INSURANCE POLICY ISSUED PURSUANT TO SECTION
 THREE THOUSAND FOUR HUNDRED FIFTY-FIVE OF THE INSURANCE LAW.
   §  1692. GENERAL PROVISIONS.  1. A TNC OR A TNC DRIVER IS NOT A COMMON
 CARRIER, AS DEFINED IN SUBDIVISION SIX OF SECTION TWO OF THE TRANSPORTA-
 TION LAW; A CONTRACT CARRIER OF PASSENGERS BY MOTOR VEHICLE, AS  DEFINED
 IN SUBDIVISION NINE OF SECTION TWO OF THE TRANSPORTATION LAW; OR A MOTOR
 CARRIER,  AS  DEFINED  IN  SUBDIVISION  SEVENTEEN  OF SECTION TWO OF THE
 TRANSPORTATION LAW; NOR DO THEY  PROVIDE  TAXICAB  OR  FOR-HIRE  VEHICLE
 SERVICE.  MOREOVER,  A  TNC DRIVER SHALL NOT BE REQUIRED TO REGISTER THE
 TNC VEHICLE SUCH TNC DRIVER USES FOR TNC PREARRANGED TRIPS AS A  COMMER-
 CIAL OR FOR-HIRE VEHICLE, AS SET FORTH IN ARTICLE FOURTEEN OF THIS CHAP-
 TER.
   2. A TNC MAY NOT OPERATE IN THE STATE OF NEW YORK WITHOUT FIRST HAVING
 OBTAINED  A  LICENSE  ISSUED  BY THE DEPARTMENT IN A FORM AND MANNER AND
 WITH APPLICABLE FEES AS PROVIDED FOR BY REGULATIONS PROMULGATED  BY  THE
 COMMISSIONER.    AS  A  CONDITION OF OBTAINING A LICENSE, A TNC SHALL BE
 REQUIRED TO SUBMIT TO THE DEPARTMENT PROOF  OF  A  GROUP  POLICY  ISSUED
 PURSUANT TO SECTION THREE THOUSAND FOUR HUNDRED FIFTY-FIVE OF THE INSUR-
 ANCE LAW.  FAILURE OF A TNC TO OBTAIN A LICENSE BEFORE OPERATION, PURSU-
 ANT  TO  THIS  SUBDIVISION  SHALL CONSTITUTE A MISDEMEANOR.   NO LICENSE
 SHALL BE SUSPENDED OR REVOKED EXCEPT UPON NOTICE TO THE TNC AND AFTER AN
 OPPORTUNITY TO BE HEARD.
   3. A TNC MUST MAINTAIN AN AGENT FOR SERVICE OF PROCESS IN THE STATE OF
 NEW YORK.
   4. ON BEHALF OF A TNC DRIVER, A TNC MAY CHARGE A FARE FOR THE SERVICES
 PROVIDED TO PASSENGERS; PROVIDED THAT, IF A FARE  IS  COLLECTED  FROM  A
 PASSENGER,  THE  TNC  SHALL  DISCLOSE TO THE PASSENGERS THE FARE OR FARE
 CALCULATION METHOD ON ITS WEBSITE OR WITHIN THE APPLICATION SERVICE. THE
 TNC SHALL ALSO PROVIDE THE PASSENGERS WITH THE  APPLICABLE  RATES  BEING

 S. 2008--A                         19                         A. 3008--A

 CHARGED  AND AN ESTIMATED FARE BEFORE THE PASSENGER ENTERS THE TNC VEHI-
 CLE.
   5.  A TNC'S DIGITAL NETWORK SHALL DISPLAY A PICTURE OF THE TNC DRIVER,
 AND THE MAKE, MODEL, COLOR AND LICENSE PLATE NUMBER OF THE  TNC  VEHICLE
 UTILIZED  FOR  PROVIDING  THE  TNC PREARRANGED TRIP BEFORE THE PASSENGER
 ENTERS THE TNC VEHICLE.
   6. WITHIN A REASONABLE PERIOD OF TIME FOLLOWING THE  COMPLETION  OF  A
 TRIP,  A  TNC  SHALL  TRANSMIT AN ELECTRONIC RECEIPT TO THE PASSENGER ON
 BEHALF OF THE TNC DRIVER THAT LISTS:
   (A) THE ORIGIN AND DESTINATION OF THE TRIP;
   (B) THE TOTAL TIME AND DISTANCE OF THE TRIP; AND
   (C) AN ITEMIZATION OF THE TOTAL FARE PAID, IF ANY.
   7. A TNC DRIVER SHALL NOT SOLICIT OR ACCEPT STREET HAILS.
   8. A TNC SHALL ADOPT A POLICY PROHIBITING SOLICITATION  OR  ACCEPTANCE
 OF CASH PAYMENTS FOR THE FARES CHARGED TO PASSENGERS FOR TNC PREARRANGED
 TRIPS  AND  NOTIFY  TNC  DRIVERS OF SUCH POLICY.   TNC DRIVERS SHALL NOT
 SOLICIT OR ACCEPT CASH PAYMENTS FROM PASSENGERS.
   9. NOTHING IN THIS ARTICLE SHALL APPLY TO CITIES WITH A POPULATION  OF
 ONE MILLION OR MORE.
   § 1693.  FINANCIAL RESPONSIBILITY OF TRANSPORTATION NETWORK COMPANIES.
 1. A TNC DRIVER, OR TNC ON THE TNC DRIVER'S BEHALF THROUGH A GROUP POLI-
 CY,  SHALL  MAINTAIN  INSURANCE THAT RECOGNIZES THAT THE DRIVER IS A TNC
 DRIVER AND PROVIDES FINANCIAL RESPONSIBILITY COVERAGE:
   (A) WHILE THE TNC DRIVER IS LOGGED ONTO THE TNC'S DIGITAL NETWORK; AND
   (B) WHILE THE TNC DRIVER IS ENGAGED IN A TNC PREARRANGED TRIP.
   2. (A) THE FOLLOWING  AUTOMOBILE  FINANCIAL  RESPONSIBILITY  INSURANCE
 REQUIREMENTS  SHALL  APPLY  WHILE  A TNC DRIVER IS LOGGED ONTO THE TNC'S
 DIGITAL NETWORK AND IS AVAILABLE TO RECEIVE TRANSPORTATION REQUESTS  BUT
 IS  NOT  ENGAGED  IN A TNC PREARRANGED TRIP: INSURANCE AGAINST LOSS FROM
 THE LIABILITY IMPOSED BY LAW FOR DAMAGES, INCLUDING DAMAGES FOR CARE AND
 LOSS OF SERVICES, BECAUSE OF BODILY INJURY TO OR DEATH  OF  ANY  PERSON,
 AND  INJURY  TO OR DESTRUCTION OF PROPERTY ARISING OUT OF THE OWNERSHIP,
 MAINTENANCE, USE OR OPERATION OF A PERSONAL VEHICLE OR  VEHICLES  WITHIN
 THIS  STATE,  EXCLUSIVE OF INTEREST AND COSTS, WITH RESPECT TO EACH SUCH
 OCCURRENCE, OF AT LEAST FIFTY THOUSAND DOLLARS BECAUSE OF BODILY  INJURY
 TO OR DEATH OF ONE PERSON IN ANY ONE ACCIDENT AND, SUBJECT TO SAID LIMIT
 FOR  ONE  PERSON,  TO  A  LIMIT OF AT LEAST ONE HUNDRED THOUSAND DOLLARS
 BECAUSE OF BODILY INJURY TO OR DEATH OF TWO OR MORE PERSONS IN  ANY  ONE
 ACCIDENT,  AND  TO  A  LIMIT  OF  AT  LEAST TWENTY-FIVE THOUSAND DOLLARS
 BECAUSE OF INJURY TO OR DESTRUCTION OF PROPERTY OF  OTHERS  IN  ANY  ONE
 ACCIDENT  PROVIDED,  HOWEVER,  THAT SUCH POLICY NEED NOT BE FOR A PERIOD
 COTERMINOUS  WITH  THE  REGISTRATION  PERIOD  OF  THE  PERSONAL  VEHICLE
 INSURED,  AND  COVERAGE  IN SATISFACTION OF THE FINANCIAL RESPONSIBILITY
 REQUIREMENTS SET FORTH IN SECTION THREE THOUSAND FOUR HUNDRED TWENTY  OF
 THE  INSURANCE  LAW,  ARTICLE  FIFTY-ONE  OF THE INSURANCE LAW, AND SUCH
 OTHER REQUIREMENTS OR REGULATIONS THAT MAY APPLY  FOR  THE  PURPOSES  OF
 SATISFYING THE FINANCIAL RESPONSIBILITY REQUIREMENTS WITH RESPECT TO THE
 USE OR OPERATION OF A MOTOR VEHICLE.
   (B) THE COVERAGE REQUIREMENTS OF PARAGRAPH (A) OF THIS SUBDIVISION MAY
 BE SATISFIED BY ANY OF THE FOLLOWING:
   (I) INSURANCE MAINTAINED BY THE TNC DRIVER; OR
   (II)  INSURANCE PROVIDED THROUGH A GROUP POLICY MAINTAINED BY THE TNC;
 OR
   (III) A COMBINATION OF SUBPARAGRAPHS (I) AND (II) OF THIS PARAGRAPH.
   3. (A) THE FOLLOWING  AUTOMOBILE  FINANCIAL  RESPONSIBILITY  INSURANCE
 REQUIREMENTS  SHALL  APPLY WHILE A TNC DRIVER IS ENGAGED IN A TNC PREAR-

 S. 2008--A                         20                         A. 3008--A
 
 RANGED TRIP: INSURANCE AGAINST LOSS FROM THE LIABILITY  IMPOSED  BY  LAW
 FOR DAMAGES, INCLUDING DAMAGES FOR CARE AND LOSS OF SERVICES, BECAUSE OF
 BODILY INJURY TO OR DEATH OF ANY PERSON, AND INJURY TO OR DESTRUCTION OF
 PROPERTY ARISING OUT OF THE OWNERSHIP, MAINTENANCE, USE, OR OPERATION OF
 A  PERSONAL  VEHICLE  OR VEHICLES WITHIN THIS STATE, SUBJECT TO A LIMIT,
 EXCLUSIVE OF INTEREST AND COSTS, WITH RESPECT TO EACH  SUCH  OCCURRENCE,
 OF  AT  LEAST  ONE MILLION DOLLARS BECAUSE OF BODILY INJURIES, DEATH AND
 PROPERTY DAMAGE, PROVIDED, HOWEVER, THAT SUCH POLICY NEED NOT BE  FOR  A
 PERIOD  COTERMINOUS WITH THE REGISTRATION PERIOD OF THE PERSONAL VEHICLE
 INSURED, AND COVERAGE IN SATISFACTION OF  THE  FINANCIAL  RESPONSIBILITY
 REQUIREMENTS  SET FORTH IN SECTION THREE THOUSAND FOUR HUNDRED TWENTY OF
 THE INSURANCE LAW, ARTICLE FIFTY-ONE OF  THE  INSURANCE  LAW,  AND  SUCH
 OTHER  REQUIREMENTS  OR  REGULATIONS  THAT MAY APPLY FOR THE PURPOSES OF
 SATISFYING THE FINANCIAL RESPONSIBILITY REQUIREMENTS WITH RESPECT TO THE
 USE OR OPERATION OF A MOTOR VEHICLE.
   (B) THE COVERAGE REQUIREMENTS OF PARAGRAPH (A) OF THIS SUBDIVISION MAY
 BE SATISFIED BY ANY OF THE FOLLOWING:
   (I) INSURANCE MAINTAINED BY THE TNC DRIVER; OR
   (II) INSURANCE PROVIDED THROUGH A GROUP POLICY MAINTAINED BY THE  TNC;
 OR
   (III) A COMBINATION OF SUBPARAGRAPHS (I) AND (II) OF THIS PARAGRAPH.
   4.  A TNC SHALL, UPON ENTERING INTO A CONTRACTUAL AGREEMENT WITH A TNC
 DRIVER, PROVIDE NOTICE TO THE TNC DRIVER THAT HE OR SHE MAY  NEED  ADDI-
 TIONAL INSURANCE COVERAGE INCLUDING MOTOR VEHICLE PHYSICAL DAMAGE COVER-
 AGE  AS DESCRIBED IN PARAGRAPH NINETEEN OF SUBSECTION (A) OF SECTION ONE
 THOUSAND ONE HUNDRED THIRTEEN OF THE INSURANCE LAW IF  THE  TNC  VEHICLE
 BEING  USED BY THE TNC DRIVER IS SUBJECT TO A LEASE OR LOAN. A TNC SHALL
 ALSO POST THIS NOTICE ON ITS WEBSITE.
   5. IF INSURANCE MAINTAINED BY A TNC DRIVER  PURSUANT  TO  SUBDIVISIONS
 TWO  AND  THREE  OF  THIS  SECTION  HAS  LAPSED  OR DOES NOT PROVIDE THE
 REQUIRED COVERAGE, THEN THE GROUP  POLICY  MAINTAINED  BY  A  TNC  SHALL
 PROVIDE  THE  COVERAGE REQUIRED BY THIS SECTION BEGINNING WITH THE FIRST
 DOLLAR OF A CLAIM AND HAVE THE DUTY TO DEFEND SUCH CLAIM.
   6. COVERAGE UNDER A GROUP POLICY MAINTAINED BY THE TNC  SHALL  NOT  BE
 DEPENDENT ON THE DENIAL OF A CLAIM BY THE INSURER THAT ISSUED THE INSUR-
 ANCE  POLICY USED TO REGISTER THE TNC VEHICLE, NOR SHALL THAT INSURER BE
 REQUIRED TO FIRST DENY A CLAIM.
   7. (A) EXCEPT AS PROVIDED IN SUBDIVISION TWO OF THIS SECTION, A  GROUP
 POLICY  MAINTAINED  BY  A TNC PURSUANT TO SUBPARAGRAPH (II) OF PARAGRAPH
 (B) OF SUBDIVISIONS TWO OR THREE OF THIS SECTION SHALL BE PLACED WITH AN
 INSURER AUTHORIZED TO WRITE INSURANCE IN THIS STATE.
   (B) IF A TNC IS UNABLE TO PURCHASE A GROUP POLICY PURSUANT TO SUBPARA-
 GRAPH (II) OF PARAGRAPH (B) OF SUBDIVISIONS TWO OR THREE OF THIS SECTION
 BECAUSE SUCH INSURANCE IS UNAVAILABLE FROM AUTHORIZED INSURERS  THE  TNC
 MAY  ACQUIRE SUCH GROUP INSURANCE WITH AN EXCESS LINE BROKER PURSUANT TO
 SECTION TWO THOUSAND ONE HUNDRED EIGHTEEN OF THE INSURANCE LAW.
   (C) THE OBLIGATION TO DETERMINE WHETHER THE INSURANCE REQUIRED BY THIS
 SECTION IS UNAVAILABLE FROM INSURERS AUTHORIZED TO  WRITE  INSURANCE  IN
 THIS STATE SHALL BE MADE PRIOR TO THE INITIAL PLACEMENT AND EACH RENEWAL
 OF A POLICY.
   8.  INSURANCE SATISFYING THE REQUIREMENTS OF THIS SECTION MAY BE USED,
 WHEN  THE TNC VEHICLE IS BEING USED OR OPERATED DURING THE PERIOD SPECI-
 FIED IN SUBDIVISION ONE  OF  THIS  SECTION,  TO  SATISFY  THE  FINANCIAL
 RESPONSIBILITY  REQUIREMENTS  SET  FORTH  IN SUBDIVISION FOUR OF SECTION
 THREE HUNDRED ELEVEN OF THIS CHAPTER,  AND  ANY  OTHER  REQUIREMENTS  OR
 REGULATIONS  THAT MAY APPLY FOR THE PURPOSES OF SATISFYING THE FINANCIAL

 S. 2008--A                         21                         A. 3008--A
 
 RESPONSIBILITY REQUIREMENTS WITH RESPECT TO THE USE OR  OPERATION  OF  A
 MOTOR VEHICLE.
   9.  A TNC DRIVER SHALL CARRY PROOF OF COVERAGE SATISFYING SUBDIVISIONS
 TWO AND THREE OF THIS SECTION WITH HIM OR HER AT ALL TIMES DURING HIS OR
 HER USE OR OPERATION OF A TNC VEHICLE IN CONNECTION WITH A TNC'S DIGITAL
 NETWORK. SUCH PROOF OF COVERAGE SHALL BE IN SUCH FORM AS THE COMMISSION-
 ER SHALL PRESCRIBE, WHICH MAY BE IN THE FORM OF AN INSURANCE IDENTIFICA-
 TION CARD AS DEFINED IN SECTION THREE HUNDRED ELEVEN  OF  THIS  CHAPTER.
 ANY  INSURANCE  IDENTIFICATION CARD ISSUED PURSUANT TO THE PROVISIONS OF
 THIS ARTICLE SHALL BE IN ADDITION TO THE INSURANCE  IDENTIFICATION  CARD
 REQUIRED  PURSUANT TO ARTICLE SIX OF THIS CHAPTER, AND NOTHING CONTAINED
 IN THIS ARTICLE SHALL BE DEEMED TO SUPERSEDE THE  REQUIREMENTS  OF  SUCH
 ARTICLE SIX. WHENEVER THE PRODUCTION OF AN INSURANCE IDENTIFICATION CARD
 IS  REQUIRED  BY LAW, A TNC DRIVER SHALL (A) PRODUCE THE INSURANCE IDEN-
 TIFICATION CARD ISSUED PURSUANT TO ARTICLE SIX OF THIS CHAPTER AND,  (B)
 IF  SUCH  DRIVER EITHER (I) WAS LOGGED ONTO THE TNC'S DIGITAL NETWORK OR
 (II) WAS ENGAGED IN A TNC PREARRANGED TRIP AND THE ACTIVITY  UNDER  THIS
 SUBDIVISION  IS  BEING COVERED PRIMARILY BY INSURANCE PURCHASED BY A TNC
 SUCH  DRIVER  SHALL  ALSO  PRODUCE  THE  INSURANCE  IDENTIFICATION  CARD
 REQUIRED PURSUANT TO THIS ARTICLE.
   10.  THE  SUPERINTENDENT  OF FINANCIAL SERVICES IS AUTHORIZED TO ISSUE
 SUCH RULES AND REGULATIONS NECESSARY TO IMPLEMENT THIS SECTION.
   11. NOTHING IN THIS  SECTION  SHALL  IMPOSE  FINANCIAL  RESPONSIBILITY
 REQUIREMENTS  UPON ANY ENTITIES OPERATING AS VEHICLES FOR HIRE IN A CITY
 WITH A POPULATION OF ONE MILLION OR MORE.
   12.  A GROUP POLICY PLACED BY AN EXCESS LINE  BROKER  UNDER  PARAGRAPH
 (B)  OF  SUBDIVISION SEVEN OF THIS SECTION SHALL NOT INCLUDE A MANDATORY
 ARBITRATION CLAUSE IN A POLICY ISSUED PURSUANT TO THIS SECTION.  NOTHING
 IN  THIS  SECTION  SUPERCEDES  THE  MANDATORY  ARBITRATION  REQUIREMENTS
 CONTAINED IN SECTION FIVE THOUSAND ONE HUNDRED  FIVE  OF  THE  INSURANCE
 LAW.
   §  1694.  DISCLOSURES.  A TNC SHALL DISCLOSE IN WRITING TO TNC DRIVERS
 THE FOLLOWING BEFORE THEY ARE ALLOWED TO ACCEPT  A  REQUEST  FOR  A  TNC
 PREARRANGED TRIP ON THE TNC'S DIGITAL NETWORK:
   1.  THE  INSURANCE  COVERAGE,  INCLUDING THE TYPES OF COVERAGE AND THE
 LIMITS FOR EACH COVERAGE, THAT THE TNC PROVIDES  WHILE  THE  TNC  DRIVER
 USES A TNC VEHICLE IN CONNECTION WITH A TNC'S DIGITAL NETWORK;
   2.  THAT  THE  TNC  DRIVER'S OWN AUTOMOBILE INSURANCE POLICY MIGHT NOT
 PROVIDE ANY COVERAGE WHILE THE TNC DRIVER IS  LOGGED  ON  TO  THE  TNC'S
 DIGITAL  NETWORK  AND IS AVAILABLE TO RECEIVE TRANSPORTATION REQUESTS OR
 IS ENGAGED IN A TNC PREARRANGED TRIP, DEPENDING ON ITS TERMS; AND
   3. THAT, IF A TNC VEHICLE HAS A LIEN AGAINST IT,  THEN  THE  CONTINUED
 USE OF SUCH TNC VEHICLE BY ITS TNC DRIVER WITHOUT PHYSICAL DAMAGE COVER-
 AGE MAY VIOLATE THE TERMS OF THE CONTRACT WITH THE LIENHOLDER.
   §  1695.  INSURANCE PROVISIONS. 1.   INSURERS THAT WRITE MOTOR VEHICLE
 INSURANCE IN THIS STATE MAY, IN THE INSURANCE POLICY,  EXCLUDE  ANY  AND
 ALL COVERAGE AFFORDED UNDER THE POLICY ISSUED TO AN OWNER OR OPERATOR OF
 A  TNC  VEHICLE FOR ANY LOSS OR INJURY THAT OCCURS WHILE A TNC DRIVER IS
 LOGGED ON TO A TNC'S DIGITAL NETWORK OR WHILE A DRIVER PROVIDES A PREAR-
 RANGED TRIP, INCLUDING:
   (A) LIABILITY COVERAGE FOR BODILY INJURY AND PROPERTY DAMAGE;
   (B) COVERAGE PROVIDED PURSUANT TO ARTICLE FIFTY-ONE OF  THE  INSURANCE
 LAW;
   (C) UNINSURED AND UNDERINSURED MOTORIST COVERAGE; AND

 S. 2008--A                         22                         A. 3008--A
 
   (D)  MOTOR  VEHICLE PHYSICAL DAMAGE COVERAGE AS DESCRIBED IN PARAGRAPH
 NINETEEN OF SUBSECTION (A) OF SECTION ONE THOUSAND ONE HUNDRED  THIRTEEN
 OF THE INSURANCE LAW.
   2.  SUCH  EXCLUSIONS SHALL APPLY NOTWITHSTANDING ANY REQUIREMENT UNDER
 THE LAW TO THE CONTRARY.  NOTHING IN THIS SECTION  IMPLIES  OR  REQUIRES
 THAT  AN  OWNER'S  POLICY  OF LIABILITY INSURANCE OR OTHER MOTOR VEHICLE
 INSURANCE POLICY PROVIDE COVERAGE WHILE THE TNC DRIVER IS LOGGED  ON  TO
 THE  TNC'S  DIGITAL  NETWORK,  WHILE  THE TNC DRIVER IS ENGAGED IN A TNC
 PREARRANGED TRIP OR WHILE THE TNC DRIVER OTHERWISE USES  OR  OPERATES  A
 TNC VEHICLE TO TRANSPORT PASSENGERS FOR COMPENSATION.
   3.  NOTHING  SHALL  BE  DEEMED  TO  PRECLUDE AN INSURER FROM PROVIDING
 PRIMARY, EXCESS, OR UMBRELLA COVERAGE FOR THE TNC DRIVER'S TNC  VEHICLE,
 IF IT CHOSE TO DO SO BY CONTRACT OR ENDORSEMENT.
   4.  MOTOR VEHICLE INSURERS THAT EXCLUDE THE COVERAGE DESCRIBED IN THIS
 ARTICLE SHALL HAVE NO DUTY TO DEFEND OR INDEMNIFY  ANY  CLAIM  EXPRESSLY
 EXCLUDED THEREUNDER.  NOTHING IN THIS ARTICLE SHALL BE DEEMED TO INVALI-
 DATE OR LIMIT AN EXCLUSION CONTAINED IN A POLICY INCLUDING ANY POLICY IN
 USE  OR  APPROVED  FOR  USE IN THIS STATE PRIOR TO THE EFFECTIVE DATE OF
 THIS SECTION.
   5. A MOTOR VEHICLE INSURER THAT DEFENDS OR INDEMNIFIES A CLAIM AGAINST
 A TNC DRIVER THAT IS EXCLUDED UNDER THE TERMS OF ITS POLICY SHALL HAVE A
 RIGHT OF CONTRIBUTION AGAINST OTHER INSURERS THAT PROVIDE MOTOR  VEHICLE
 INSURANCE  TO  THE  SAME DRIVER IN SATISFACTION OF THE COVERAGE REQUIRE-
 MENTS OF THE PROVISIONS OF THE CHAPTER  OF  THE  LAWS  OF  TWO  THOUSAND
 SEVENTEEN WHICH ADDED THIS ARTICLE AT THE TIME OF LOSS.
   6.  IN  A  CLAIMS COVERAGE INVESTIGATION, A TNC AND ANY INSURER POTEN-
 TIALLY PROVIDING COVERAGE UNDER THIS ARTICLE SHALL, WITHIN FIFTEEN  DAYS
 AFTER A CLAIM HAS BEEN FILED, FACILITATE THE EXCHANGE OF RELEVANT INFOR-
 MATION  WITH DIRECTLY INVOLVED PARTIES AND ANY INSURER OF THE TNC DRIVER
 IF APPLICABLE, INCLUDING THE PRECISE TIMES THAT A TNC DRIVER  LOGGED  ON
 AND  OFF  OF  THE  TNC'S DIGITAL NETWORK IN THE TWELVE HOUR PERIOD IMME-
 DIATELY PRECEDING AND IN THE TWELVE HOUR  PERIOD  IMMEDIATELY  FOLLOWING
 THE  ACCIDENT  AND  DISCLOSE  TO  ONE ANOTHER A CLEAR DESCRIPTION OF THE
 COVERAGE, EXCLUSIONS AND LIMITS PROVIDED UNDER ANY MOTOR VEHICLE  INSUR-
 ANCE MAINTAINED UNDER THIS ARTICLE.
   7. (A) THE COMMISSIONER SHALL PROMULGATE REGULATIONS FOR THE PROVISION
 OF  RELEVANT  INSURANCE COVERAGE INFORMATION REQUIRED BY THIS ARTICLE TO
 THE FOLLOWING PERSONS UPON REQUEST:
   (I) A PERSON TO WHOM AN ACCIDENT REPORT PERTAINS OR WHO  IS  NAMED  IN
 SUCH REPORT, OR HIS OR HER AUTHORIZED REPRESENTATIVE; AND
   (II)  ANY OTHER PERSON OR HIS OR HER AUTHORIZED REPRESENTATIVE WHO HAS
 DEMONSTRATED TO THE SATISFACTION OF THE COMMISSIONER THAT SUCH PERSON IS
 OR MAY BE A PARTY TO A CIVIL ACTION ARISING OUT OF THE CONDUCT DESCRIBED
 IN SUCH ACCIDENT REPORT.
   (B) EXCEPT AS PROVIDED UNDER PARAGRAPH (A) OF  THIS  SUBDIVISION,  THE
 NAME  OF  A  TNC  DRIVER  ASSOCIATED  WITH SUCH INSURANCE INFORMATION IS
 DESIGNATED CONFIDENTIAL WHETHER OR NOT SO  MARKED,  IS  NOT  SUBJECT  TO
 DISCLOSURE BY A THIRD PARTY BY THE  DEPARTMENT OF MOTOR VEHICLES WITHOUT
 PRIOR  CONSENT  OF  THE  TNC,  AND IS EXEMPT FROM DISCLOSURE PURSUANT TO
 ARTICLE SIX OF THE PUBLIC OFFICERS LAW. NOTHING IN THIS SECTION SHALL BE
 CONSIDERED AS LIMITING THE APPLICABILITY OF ANY OTHER  EXEMPTIONS  UNDER
 ARTICLE SIX OF THE PUBLIC OFFICERS LAW.
   § 1696. DRIVER AND VEHICLE REQUIREMENTS. 1. (A) AT ALL TIMES, AN INDI-
 VIDUAL ACTING AS A TNC DRIVER SHALL BE PERMITTED BY THE TNC AS FOLLOWS:
   (I) THE INDIVIDUAL SHALL SUBMIT AN APPLICATION TO THE TNC, WHICH SHALL
 INCLUDE INFORMATION REGARDING HIS OR HER ADDRESS, AGE, DRIVER'S LICENSE,

 S. 2008--A                         23                         A. 3008--A

 MOTOR  VEHICLE  REGISTRATION,  AUTOMOBILE LIABILITY INSURANCE, AND OTHER
 INFORMATION REQUIRED BY THE TNC;
   (II)  THE TNC SHALL CONDUCT OR HAVE A THIRD PARTY CONDUCT, A LOCAL AND
 NATIONAL, CRIMINAL BACKGROUND CHECK FOR  EACH  APPLICANT  IN  ACCORDANCE
 WITH  SECTION SIXTEEN HUNDRED NINETY-NINE OF THIS ARTICLE AND THAT SHALL
 REVIEW:
   (A) WHETHER THE APPLICANT IS LISTED ON THE PUBLICLY AVAILABLE NEW YORK
 STATE  SEX  OFFENDER  REGISTRY   PURSUANT   TO   SECTION   ONE   HUNDRED
 SIXTY-EIGHT-Q OF THE CORRECTION LAW; AND
   (B)  THE  UNITED  STATES  DEPARTMENT  OF JUSTICE NATIONAL SEX OFFENDER
 PUBLIC WEBSITE;
   (III) THE TNC SHALL OBTAIN AND REVIEW, OR HAVE A  THIRD  PARTY  OBTAIN
 AND REVIEW, A DRIVING HISTORY RESEARCH REPORT FOR SUCH INDIVIDUAL.
   (B) THE TNC SHALL NOT PERMIT AN APPLICANT WHERE SUCH APPLICANT:
   (I)  FAILS  TO  MEET  ALL  QUALIFICATIONS  PURSUANT TO SECTION SIXTEEN
 HUNDRED NINETY-NINE OF THIS ARTICLE;
   (II) IS A MATCH IN THE UNITED STATES DEPARTMENT  OF  JUSTICE  NATIONAL
 SEX OFFENDER PUBLIC WEBSITE;
   (III)  DOES NOT POSSESS A VALID NEW YORK DRIVER'S LICENSE, UNLESS SUCH
 APPLICANT DOES POSSESS A VALID OUT OF STATE DRIVER'S LICENSE  AND  PROOF
 THAT  SUCH  APPLICANT  IS AN ACTIVE DUTY MEMBER OF THE ARMED SERVICES OF
 THE UNITED STATES STATIONED IN THIS STATE OR IS A  FAMILY  OR  HOUSEHOLD
 MEMBER OF SUCH AN ACTIVE DUTY MEMBER;
   (IV)  DOES  NOT POSSESS PROOF OF REGISTRATION FOR THE MOTOR VEHICLE(S)
 USED TO PROVIDE TNC PREARRANGED TRIPS;
   (V) DOES NOT POSSESS PROOF OF AUTOMOBILE LIABILITY INSURANCE  FOR  THE
 MOTOR VEHICLE(S) USED TO PROVIDE TNC PREARRANGED TRIPS AS A TNC VEHICLE;
 OR
   (VI) IS NOT AT LEAST NINETEEN YEARS OF AGE.
   (C)  UPON  REVIEW  OF ALL INFORMATION RECEIVED AND RETAINED BY THE TNC
 AND UPON VERIFYING THAT THE INDIVIDUAL IS NOT DISQUALIFIED  PURSUANT  TO
 THIS  SECTION  FROM RECEIVING A TNC DRIVER PERMIT, A TNC MAY ISSUE A TNC
 DRIVER PERMIT TO THE APPLICANT. THE TNC  SHALL  REVIEW  ALL  INFORMATION
 RECEIVED  RELATING  TO  SUCH APPLICANT AND HOLD SUCH INFORMATION FOR SIX
 YEARS ALONG WITH  A  CERTIFICATION  THAT  SUCH  APPLICANT  QUALIFIES  TO
 RECEIVE A TNC DRIVER PERMIT.
   (D)  A  TNC THAT ISSUES A TNC DRIVER'S PERMIT PURSUANT TO THIS SECTION
 SHALL PARTICIPATE IN THE NEW YORK  LICENSE  EVENT  NOTIFICATION  SERVICE
 (LENS) ESTABLISHED BY THE DEPARTMENT TO OBTAIN TIMELY NOTICE WHEN ANY OF
 THE FOLLOWING VIOLATIONS ARE ADDED TO A TNC DRIVER'S DRIVING RECORD:
   (I)  UNLAWFULLY  FLEEING  A  POLICE  OFFICER  IN  A  MOTOR  VEHICLE IN
 VIOLATION OF SECTIONS 270.25, 270.30 OR 270.35 OF THE PENAL LAW;
   (II) RECKLESS DRIVING IN VIOLATION OF SECTION ONE THOUSAND TWO HUNDRED
 TWELVE OF THIS CHAPTER;
   (III) OPERATING WHILE LICENSE OR PRIVILEGE IS SUSPENDED OR REVOKED  IN
 VIOLATION  OF  SECTION  FIVE  HUNDRED  ELEVEN OF THIS CHAPTER, EXCLUDING
 SUBDIVISION SEVEN OF SUCH SECTION;
   (IV) OPERATING A MOTOR VEHICLE UNDER THE INFLUENCE OF ALCOHOL OR DRUGS
 IN VIOLATION OF SECTION ONE THOUSAND  ONE  HUNDRED  NINETY-TWO  OF  THIS
 CHAPTER; AND
   (V) LEAVING THE SCENE OF AN INCIDENT WITHOUT REPORTING IN VIOLATION OF
 SUBDIVISION TWO OF SECTION SIX HUNDRED OF THIS CHAPTER.
   (E) THE NAME OF A TNC DRIVER ASSOCIATED WITH ENROLLMENT IN THE DEPART-
 MENT'S  LENS  REPORTING SYSTEM IS DESIGNATED CONFIDENTIAL WHETHER OR NOT
 SO MARKED, IS NOT SUBJECT TO DISCLOSURE TO A THIRD PARTY BY THE  DEPART-
 MENT  WITHOUT  PRIOR  CONSENT  OF THE TNC, AND IS EXEMPT FROM DISCLOSURE

 S. 2008--A                         24                         A. 3008--A
 
 PURSUANT TO ARTICLE SIX OF THE PUBLIC  OFFICERS  LAW.  NOTHING  IN  THIS
 SECTION  SHALL  BE  CONSTRUED AS LIMITING THE APPLICABILITY OF ANY OTHER
 EXEMPTIONS UNDER ARTICLE SIX OF THE PUBLIC OFFICERS LAW.
   (F)  NO  PERSON SHALL OPERATE A TNC VEHICLE OR OPERATE AS A TNC DRIVER
 UNLESS SUCH PERSON HOLDS A VALID TNC DRIVER PERMIT  ISSUED  PURSUANT  TO
 THIS  SECTION.  A VIOLATION OF THIS PARAGRAPH SHALL BE A TRAFFIC INFRAC-
 TION PUNISHABLE BY A FINE OF NOT LESS THAN SEVENTY-FIVE  NOR  MORE  THAN
 THREE  HUNDRED  DOLLARS,  OR  BY  IMPRISONMENT FOR NOT MORE THAN FIFTEEN
 DAYS, OR BY BOTH SUCH FINE AND IMPRISONMENT.
   2. A TNC SHALL IMPLEMENT A ZERO-TOLERANCE POLICY REGARDING A TNC DRIV-
 ER'S ACTIVITIES WHILE ACCESSING THE TNC'S DIGITAL NETWORK.  SUCH  POLICY
 SHALL  ADDRESS  THE  ISSUE OF OPERATING A VEHICLE UNDER THE INFLUENCE OF
 ALCOHOL OR DRUGS WHILE A TNC DRIVER IS PROVIDING TNC  PREARRANGED  TRIPS
 OR  IS  LOGGED  ONTO  THE TNC'S DIGITAL NETWORK BUT IS NOT PROVIDING TNC
 PREARRANGED TRIPS, AND THE TNC SHALL PROVIDE NOTICE OF  THIS  POLICY  ON
 ITS DIGITAL NETWORK, AS WELL AS PROCEDURES TO REPORT A COMPLAINT ABOUT A
 TNC  DRIVER  WITH WHOM A TNC PREARRANGED TRIP WAS COMMENCED AND WHOM THE
 PASSENGER REASONABLY SUSPECTS WAS OPERATING A VEHICLE UNDER  THE  INFLU-
 ENCE OF ALCOHOL OR DRUGS DURING THE COURSE OF THE TNC PREARRANGED TRIP.
   3.  (A)  A TNC SHALL ADOPT A POLICY OF NON-DISCRIMINATION ON THE BASIS
 OF DESTINATION, RACE, COLOR, NATIONAL ORIGIN, RELIGIOUS BELIEF, PRACTICE
 OR AFFILIATION, SEX, DISABILITY, AGE, SEXUAL ORIENTATION, GENDER IDENTI-
 TY, OR GENETIC PREDISPOSITION WITH RESPECT TO PASSENGERS  AND  POTENTIAL
 PASSENGERS AND NOTIFY TNC DRIVERS OF SUCH POLICY.
   (B)  TNC  DRIVERS SHALL COMPLY WITH ALL APPLICABLE LAWS REGARDING NON-
 DISCRIMINATION AGAINST PASSENGERS OR POTENTIAL PASSENGERS ON  THE  BASIS
 OF DESTINATION, RACE, COLOR, NATIONAL ORIGIN, RELIGIOUS BELIEF, PRACTICE
 OR AFFILIATION, SEX, DISABILITY, AGE, SEXUAL ORIENTATION, GENDER IDENTI-
 TY, OR GENETIC PREDISPOSITION.
   (C)  TNC  DRIVERS  SHALL  COMPLY  WITH ALL APPLICABLE LAWS RELATING TO
 ACCOMMODATION OF SERVICE ANIMALS.
   (D) A TNC SHALL IMPLEMENT AND MAINTAIN A POLICY OF PROVIDING  ACCESSI-
 BILITY  TO  PASSENGERS  OR  POTENTIAL  PASSENGERS  WITH A DISABILITY AND
 ACCOMMODATION OF SERVICE ANIMALS AS SUCH TERM IS DEFINED IN SECTION  ONE
 HUNDRED  TWENTY-THREE-B  OF THE AGRICULTURE AND MARKETS LAW AND SHALL TO
 THE EXTENT PRACTICABLE ADOPT FINDINGS ESTABLISHED BY THE NEW YORK  STATE
 TNC ACCESSIBILITY TASK FORCE ADOPTED PURSUANT TO SECTION EIGHTEEN OF THE
 CHAPTER  OF  THE LAWS OF TWO THOUSAND SEVENTEEN THAT ADDED THIS SECTION.
 A TNC SHALL NOT IMPOSE ADDITIONAL  CHARGES  FOR  PROVIDING  SERVICES  TO
 PERSONS WITH PHYSICAL DISABILITIES BECAUSE OF THOSE DISABILITIES.
   4.  A  TNC  SHALL  REQUIRE THAT ANY MOTOR VEHICLE(S) THAT A TNC DRIVER
 WILL USE AS A TNC VEHICLE TO PROVIDE TNC PREARRANGED TRIPS MEETS  APPLI-
 CABLE  NEW  YORK STATE VEHICLE SAFETY AND EMISSIONS REQUIREMENTS, AS SET
 FORTH IN SECTION THREE HUNDRED ONE OF THIS CHAPTER, OR THE VEHICLE SAFE-
 TY AND EMISSIONS REQUIREMENTS OF THE  STATE  IN  WHICH  THE  VEHICLE  IS
 REGISTERED.
   5. A TNC DRIVER SHALL DISPLAY A CONSISTENT AND DISTINCTIVE TRADE DRESS
 CONSISTING  OF  A  REMOVABLE  LOGO, INSIGNIA, OR EMBLEM AT ALL TIMES THE
 DRIVER IS PROVIDING TNC SERVICES. THE TRADE DRESS SHALL BE:
   (A) SUFFICIENTLY LARGE AND COLOR  CONTRASTED  SO  AS  TO  BE  READABLE
 DURING DAYLIGHT HOURS AT A DISTANCE OF FIFTY FEET; AND
   (B)  REFLECTIVE,  ILLUMINATED,  OR  OTHERWISE  PATENTLY VISIBLE IN THE
 DARKNESS.
   § 1697. MAINTENANCE OF RECORDS. A TNC  SHALL  MAINTAIN  THE  FOLLOWING
 RECORDS:

 S. 2008--A                         25                         A. 3008--A
 
   1.  INDIVIDUAL  TRIP RECORDS FOR AT LEAST SIX YEARS FROM THE DATE EACH
 TRIP WAS PROVIDED; AND
   2. INDIVIDUAL RECORDS OF TNC DRIVERS AT LEAST UNTIL THE SIX YEAR ANNI-
 VERSARY  OF  THE  DATE ON WHICH A TNC DRIVER'S RELATIONSHIP WITH THE TNC
 HAS ENDED.
   § 1698. AUDIT PROCEDURES; CONFIDENTIALITY OF RECORDS. 1. FOR THE  SOLE
 PURPOSE  OF  VERIFYING THAT A TNC IS IN COMPLIANCE WITH THE REQUIREMENTS
 OF THIS ARTICLE AND  NO  MORE  THAN  BIANNUALLY,  THE  DEPARTMENT  SHALL
 RESERVE  THE  RIGHT TO VISUALLY INSPECT A SAMPLE OF RECORDS THAT THE TNC
 IS REQUIRED TO MAINTAIN, UPON REQUEST BY THE DEPARTMENT  THAT  SHALL  BE
 FULFILLED  IN  NO  LESS THAN THIRTY BUSINESS DAYS BY THE TNC. THE SAMPLE
 SHALL BE CHOSEN RANDOMLY BY THE DEPARTMENT IN A MANNER AGREEABLE TO BOTH
 PARTIES. THE AUDIT SHALL TAKE PLACE AT A MUTUALLY AGREED LOCATION IN NEW
 YORK. ANY RECORD FURNISHED TO THE  DEPARTMENT  MAY  EXCLUDE  INFORMATION
 THAT WOULD TEND TO IDENTIFY SPECIFIC DRIVERS OR PASSENGERS.
   2.  (A)  THE  TNC  SHALL  ESTABLISH  A COMPLAINT PROCEDURE THAT ALLOWS
 PASSENGERS TO FILE COMPLAINTS WITH THE TNC THROUGH  THE  TNC'S  WEBSITE,
 MOBILE APPLICATION, EMAIL ADDRESS, OR PHONE NUMBER.
   (B)  THE  TNC'S WEBSITE SHALL ALSO PROVIDE A PASSENGER COMPLAINT TELE-
 PHONE NUMBER AND/OR WEBSITE ADDRESS FOR THE DEPARTMENT, IF APPLICABLE.
   (C) IN RESPONSE TO A SPECIFIC COMPLAINT AGAINST ANY TNC DRIVER OR TNC,
 THE DEPARTMENT IS AUTHORIZED TO INSPECT RECORDS HELD BY THE TNC THAT ARE
 NECESSARY TO INVESTIGATE AND RESOLVE THE COMPLAINT.   THE  TNC  AND  THE
 DEPARTMENT SHALL ENDEAVOR TO HAVE THE INSPECTION TAKE PLACE AT A MUTUAL-
 LY  AGREED  LOCATION IN NEW YORK. ANY RECORD FURNISHED TO THE DEPARTMENT
 MAY EXCLUDE INFORMATION THAT WOULD TEND TO IDENTIFY SPECIFIC DRIVERS  OR
 PASSENGERS,  UNLESS THE IDENTITY OF A DRIVER OR PASSENGER IS RELEVANT TO
 THE COMPLAINT.
   (D) ANY RECORDS INSPECTED BY THE DEPARTMENT  UNDER  THIS  SECTION  ARE
 DESIGNATED  CONFIDENTIAL, ARE NOT SUBJECT TO DISCLOSURE TO A THIRD PARTY
 BY THE DEPARTMENT WITHOUT PRIOR CONSENT OF THE TNC, AND ARE EXEMPT  FROM
 DISCLOSURE UNDER ARTICLE SIX OF THE PUBLIC OFFICERS LAW. NOTHING IN THIS
 SECTION  SHALL  BE  CONSTRUED AS LIMITING THE APPLICABILITY OF ANY OTHER
 EXEMPTION UNDER ARTICLE SIX OF THE PUBLIC OFFICERS LAW.
   3. THE DEPARTMENT SHALL  PROMULGATE  REGULATIONS  FOR  THE  FILING  OF
 COMPLAINTS PURSUANT TO THIS SECTION.
   §  1699.  CRIMINAL  HISTORY BACKGROUND CHECK OF TRANSPORTATION NETWORK
 COMPANY DRIVERS. 1. A TNC SHALL CONDUCT A  CRIMINAL  HISTORY  BACKGROUND
 CHECK USING A LAWFUL METHOD APPROVED BY THE DEPARTMENT PURSUANT TO PARA-
 GRAPH  (A)  OF  SUBDIVISION  TWO OF THIS SECTION FOR PERSONS APPLYING TO
 DRIVE FOR SUCH COMPANY.
   2. (A) THE METHOD USED TO CONDUCT A CRIMINAL HISTORY BACKGROUND  CHECK
 PURSUANT  TO  SUBDIVISION  ONE  OF  THIS SECTION SHALL BE ESTABLISHED IN
 REGULATIONS ADOPTED BY THE DEPARTMENT WITHIN THIRTY DAYS OF  THE  EFFEC-
 TIVE  DATE  OF  THIS  SUBDIVISION.  SUCH REGULATIONS SHALL ESTABLISH THE
 METHOD USED TO CONDUCT SUCH BACKGROUND  CHECKS  AND  ANY  PROCESSES  AND
 OPERATIONS  NECESSARY  TO  COMPLETE  SUCH CHECKS. THE REVIEW OF CRIMINAL
 HISTORY INFORMATION AND DETERMINATIONS ABOUT WHETHER OR NOT AN APPLICANT
 IS ISSUED A TNC DRIVER PERMIT SHALL BE CONTROLLED BY PARAGRAPHS (B), (C)
 AND (D) OF THIS SUBDIVISION.
   (B) AN APPLICANT SHALL BE DISQUALIFIED TO RECEIVE A TNC DRIVER  PERMIT
 WHERE HE OR SHE:
   (I)  STANDS  CONVICTED  IN THE LAST THREE YEARS OF: UNLAWFUL FLEEING A
 POLICE OFFICER IN A MOTOR  VEHICLE  IN  VIOLATION  OF  SECTIONS  270.35,
 270.30  OR  270.25  OF  THE  PENAL LAW, RECKLESS DRIVING IN VIOLATION OF
 SECTION TWELVE HUNDRED TWELVE OF THIS CHAPTER, OPERATING  WHILE  LICENSE

 S. 2008--A                         26                         A. 3008--A
 
 OR  PRIVILEGE  IS  SUSPENDED  OR  REVOKED  IN  VIOLATION OF SECTION FIVE
 HUNDRED ELEVEN OF THIS CHAPTER,  EXCLUDING  SUBDIVISION  SEVEN  OF  SUCH
 SECTION,  A MISDEMEANOR OFFENSE OF OPERATING A MOTOR VEHICLE WHILE UNDER
 THE  INFLUENCE  OF ALCOHOL OR DRUGS IN VIOLATION OF SECTION ONE THOUSAND
 ONE HUNDRED NINETY-TWO OF THIS CHAPTER, OR LEAVING THE SCENE OF AN ACCI-
 DENT IN VIOLATION OF SUBDIVISION TWO OF  SECTION  SIX  HUNDRED  OF  THIS
 CHAPTER.  IN  CALCULATING THE THREE YEAR PERIOD UNDER THIS SUBPARAGRAPH,
 ANY PERIOD OF TIME DURING WHICH THE PERSON WAS  INCARCERATED  AFTER  THE
 COMMISSION  OF SUCH OFFENSE SHALL BE EXCLUDED AND SUCH THREE YEAR PERIOD
 SHALL BE EXTENDED BY A PERIOD OR PERIODS EQUAL TO THE TIME SPENT  INCAR-
 CERATED  AND SHALL BE DETERMINED IN A MANNER CONSISTENT WITH REGULATIONS
 ESTABLISHED BY THE DEPARTMENT; OR
   (II) STANDS CONVICTED IN THE  LAST  SEVEN  YEARS  OF:  A  SEX  OFFENSE
 DEFINED  IN  SUBDIVISION TWO OF SECTION ONE HUNDRED SIXTY-EIGHT-A OF THE
 CORRECTION LAW, A FELONY OFFENSE DEFINED IN ARTICLE ONE HUNDRED  TWENTY-
 FIVE OF THE PENAL LAW, A VIOLENT FELONY OFFENSE DEFINED IN SECTION 70.02
 OF  THE  PENAL  LAW,  A CLASS A FELONY OFFENSE DEFINED IN THE PENAL LAW,
 VEHICULAR ASSAULT AS DEFINED IN SECTION 120.03, 120.04  OR  120.04-A  OF
 THE  PENAL LAW, A FELONY OFFENSE DEFINED IN SECTION ELEVEN HUNDRED NINE-
 TY-TWO OF THIS CHAPTER, AN OFFENSE  FOR  WHICH  REGISTRATION  AS  A  SEX
 OFFENDER IS REQUIRED PURSUANT TO ARTICLE SIX-C OF THE CORRECTION LAW, OR
 ANY  CONVICTION OF AN OFFENSE IN ANY OTHER JURISDICTION THAT HAS ALL THE
 ESSENTIAL ELEMENTS OF AN OFFENSE LISTED IN THIS SUBPARAGRAPH. IN  CALCU-
 LATING THE SEVEN YEAR PERIOD UNDER THIS SUBPARAGRAPH, ANY PERIOD OF TIME
 DURING  WHICH  THE  PERSON WAS INCARCERATED AFTER THE COMMISSION OF SUCH
 OFFENSE SHALL BE EXCLUDED AND SUCH SEVEN YEAR PERIOD SHALL  BE  EXTENDED
 BY A PERIOD OR PERIODS EQUAL TO THE TIME SPENT INCARCERATED AND SHALL BE
 DETERMINED  IN  A  MANNER CONSISTENT WITH REGULATIONS ESTABLISHED BY THE
 DEPARTMENT.
   (C) A CRIMINAL HISTORY RECORD THAT CONTAINS CRIMINAL CONVICTION INFOR-
 MATION THAT DOES NOT DISQUALIFY AN APPLICANT PURSUANT  TO  SUBPARAGRAPHS
 (I)  OR (II) OF PARAGRAPH (B) OF THIS SUBDIVISION, SHALL BE REVIEWED AND
 CONSIDERED ACCORDING TO THE PROVISIONS OF ARTICLE TWENTY-THREE-A OF  THE
 CORRECTION  LAW  AND  SUBDIVISIONS  FIFTEEN  AND  SIXTEEN OF SECTION TWO
 HUNDRED NINETY-SIX OF THE EXECUTIVE LAW IN DETERMINING  WHETHER  OR  NOT
 THE APPLICANT SHOULD BE ISSUED A TNC DRIVER'S PERMIT.
   (D)  UPON  RECEIPT OF CRIMINAL CONVICTION INFORMATION PURSUANT TO THIS
 SECTION FOR ANY APPLICANT, SUCH APPLICANT  SHALL  PROMPTLY  BE  PROVIDED
 WITH  A  COPY  OF  SUCH INFORMATION AS WELL AS A COPY OF ARTICLE TWENTY-
 THREE-A OF THE CORRECTION LAW. SUCH APPLICANT SHALL ALSO BE INFORMED  OF
 HIS  OR  HER  RIGHT  TO  SEEK  CORRECTION  OF  ANY INCORRECT INFORMATION
 CONTAINED IN SUCH CRIMINAL HISTORY INFORMATION  PURSUANT  TO  THE  REGU-
 LATIONS  AND  PROCEDURES ESTABLISHED BY THE DIVISION OF CRIMINAL JUSTICE
 SERVICES.
   (E) THE DEPARTMENT SHALL PROMULGATE REGULATIONS  CONSISTENT  WITH  THE
 PROVISIONS OF THIS SUBDIVISION.
   3.  A  TNC  SHALL  UPDATE THE CRIMINAL HISTORY BACKGROUND CHECK YEARLY
 DURING THE PERIOD IN WHICH THE PERSON IS AUTHORIZED  TO  DRIVE  FOR  THE
 COMPANY,  HOWEVER, THE COMMISSIONER MAY REQUIRE, PURSUANT TO REGULATION,
 MORE FREQUENT CRIMINAL HISTORY BACKGROUND CHECKS.
   4. A TNC SHALL BE RESPONSIBLE FOR ALL FEES ASSOCIATED WITH THE  CRIMI-
 NAL HISTORY CHECK PURSUANT TO SUBDIVISION ONE OF THIS SECTION.
   5.  ANY  TNC  FOUND  TO HAVE NEGLIGENTLY, RECKLESSLY, OR INTENTIONALLY
 VIOLATED ANY REQUIREMENTS ESTABLISHED PURSUANT TO THIS SECTION, SHALL ON
 THE FIRST INSTANCE, BE SUBJECT TO A CIVIL PENALTY OF NOT MORE  THAN  TEN
 THOUSAND  DOLLARS.  FOR ANY SUBSEQUENT INSTANCE WITHIN THE PERIOD OF TWO

 S. 2008--A                         27                         A. 3008--A

 YEARS FROM ANY INITIAL VIOLATION, SUCH TNC SHALL BE SUBJECT TO  A  CIVIL
 PENALTY  OF  NOT  MORE THAN FIFTY THOUSAND DOLLARS, OR THE SUSPENSION OR
 REVOCATION OF ITS TNC LICENSE OR BOTH.
   §  1700. CONTROLLING AUTHORITY. 1. NOTWITHSTANDING ANY OTHER PROVISION
 OF LAW, THE REGULATION OF TNCS AND TNC DRIVERS IS  GOVERNED  EXCLUSIVELY
 BY  THE  PROVISIONS OF THE CHAPTER OF THE LAWS OF TWO THOUSAND SEVENTEEN
 WHICH ADDED THIS SECTION AND ANY RULES PROMULGATED BY THE STATE  THROUGH
 ITS  AGENCIES  CONSISTENT  WITH  SUCH  CHAPTER. NO COUNTY, TOWN, CITY OR
 VILLAGE MAY ENACT A TAX OR ANY FEE OR OTHER SURCHARGE ON A  TNC,  A  TNC
 DRIVER,  OR  A  TNC  VEHICLE  USED BY A TNC DRIVER OR REQUIRE A LICENSE,
 PERMIT, OR ADDITIONAL INSURANCE COVERAGE OR  ANY  OTHER  LIMITATIONS  OR
 RESTRICTIONS,  WHERE  SUCH  FEE,  SURCHARGE,  UNAUTHORIZED TAX, LICENSE,
 PERMIT, INSURANCE COVERAGE, LIMITATION OR RESTRICTION, RELATES TO FACIL-
 ITATING OR PROVIDING TNC PREARRANGED TRIPS, OR SUBJECTS  A  TNC,  A  TNC
 DRIVER,  OR  A TNC VEHICLE USED BY A TNC DRIVER TO OPERATIONAL, OR OTHER
 REQUIREMENTS.
   2. NOTHING IN THIS ARTICLE SHALL AUTHORIZE ANY TNC DRIVER TO PICK-UP A
 PASSENGER FOR PURPOSES OF A TNC PREARRANGED TRIP IN A CITY WITH A  POPU-
 LATION OF ONE MILLION OR MORE.
   3.  NOTHING  IN THIS ARTICLE SHALL: (A) LIMIT THE ABILITY OF A COUNTY,
 TOWN, CITY OR VILLAGE TO ADOPT OR AMEND GENERALLY APPLICABLE LIMITATIONS
 OR RESTRICTIONS RELATING TO LOCAL TRAFFIC OR PARKING CONTROL AS  AUTHOR-
 IZED BY STATE LAW; OR (B) TO PREEMPT ANY RECIPROCITY AGREEMENTS, INCLUD-
 ING  AGREEMENTS  ENTERED  INTO  PURSUANT TO SECTION FOUR HUNDRED NINETY-
 EIGHT OF THIS CHAPTER, BETWEEN A COUNTY,  TOWN,  CITY  OR  VILLAGE  THAT
 RELATES  TO  SERVICES REGULATED BY SECTION ONE HUNDRED EIGHTY-ONE OF THE
 GENERAL MUNICIPAL LAW.
   § 3. Section 370 of the vehicle and traffic law is amended by adding a
 new subdivision 8 to read as follows:
   8. NOTWITHSTANDING ANY OTHER PROVISION OF THIS ARTICLE, AN  INDIVIDUAL
 SHALL  NOT BE DEEMED TO BE ENGAGED IN THE BUSINESS OF CARRYING OR TRANS-
 PORTING PASSENGERS FOR HIRE IF THE INDIVIDUAL DOES SO SOLELY AS A TRANS-
 PORTATION NETWORK COMPANY DRIVER IN ACCORDANCE WITH ARTICLE FORTY-FOUR-B
 OF THIS CHAPTER.
   § 4. Subdivision 1 of section 312-a of the vehicle and traffic law, as
 amended by chapter 781 of the laws  of  1983,  is  amended  to  read  as
 follows:
   1.  Upon issuance of an owner's policy of liability insurance or other
 financial security required by this chapter OR THE ARTICLE  FORTY-FOUR-B
 OF THIS CHAPTER, an insurer shall issue proof of insurance in accordance
 with  the  regulations promulgated by the commissioner pursuant to para-
 graph (b) of subdivision two of section three hundred thirteen  of  this
 article.
   § 5. Section 600 of the vehicle and traffic law, as amended by chapter
 49 of the laws of 2005, is amended to read as follows:
   § 600. Leaving  scene  of  an  incident without reporting. 1. Property
 damage. a. Any person operating a motor vehicle who, knowing  or  having
 cause to know that damage has been caused to the real property or to the
 personal property, not including animals, of another, due to an incident
 involving  the motor vehicle operated by such person shall, before leav-
 ing the place where the  damage  occurred,  stop,  exhibit  his  or  her
 license  and  insurance  identification card for such vehicle, when such
 card is required pursuant to articles six and eight of this chapter, and
 give his or her name, residence, including street and number,  insurance
 carrier  and  insurance  identification  information  including  but not
 limited to the number and effective dates of said individual's insurance

 S. 2008--A                         28                         A. 3008--A
 
 policy, and license number to the party sustaining  the  damage,  or  in
 case  the person sustaining the damage is not present at the place where
 the damage occurred then he or she shall report  the  same  as  soon  as
 physically  able to the nearest police station, or judicial officer.  IN
 ADDITION TO THE FOREGOING, ANY SUCH PERSON SHALL ALSO: (I)  PRODUCE  THE
 PROOF OF INSURANCE COVERAGE REQUIRED PURSUANT TO ARTICLE FORTY-FOUR-B OF
 THIS  CHAPTER  IF  SUCH  PERSON  IS A TNC DRIVER OPERATING A TNC VEHICLE
 WHILE THE INCIDENT OCCURRED WHO WAS EITHER (A) LOGGED ON  TO  THE  TNC'S
 DIGITAL NETWORK AND AVAILABLE TO RECEIVE TRANSPORTATION REQUESTS BUT NOT
 ENGAGED  IN  A  TNC  PREARRANGED  TRIP OR (B) WAS LOGGED ON TO THE TNC'S
 DIGITAL NETWORK AND WAS ENGAGED IN A  TNC  PREARRANGED  TRIP;  AND  (II)
 DISCLOSE  WHETHER  HE  OR  SHE,  AT THE TIME SUCH INCIDENT OCCURRED, WAS
 EITHER (A) LOGGED ON TO THE  TNC'S  DIGITAL  NETWORK  AND  AVAILABLE  TO
 RECEIVE  TRANSPORTATION  REQUESTS  BUT  NOT ENGAGED IN A TNC PREARRANGED
 TRIP OR (B) WAS LOGGED ON TO THE TNC'S DIGITAL NETWORK AND  WAS  ENGAGED
 IN A TNC PREARRANGED TRIP.
   b.  It shall be the duty of any member of a law enforcement agency who
 is at the scene of the accident to request the said operator  or  opera-
 tors  of  the  motor  vehicles,  when physically capable of doing so, to
 exchange the information required hereinabove and such member of  a  law
 enforcement  agency  shall  assist  such operator or operators in making
 such exchange of information in a reasonable and harmonious manner.
   A violation of the provisions of paragraph a of this subdivision shall
 constitute a traffic infraction punishable  by  a  fine  of  up  to  two
 hundred  fifty  dollars  or a sentence of imprisonment for up to fifteen
 days or both such fine and imprisonment.
   2. Personal injury.   a. Any person operating  a  motor  vehicle  who,
 knowing  or having cause to know that personal injury has been caused to
 another person, due to an incident involving the motor vehicle  operated
 by  such  person shall, before leaving the place where the said personal
 injury occurred, stop, exhibit his or her license  and  insurance  iden-
 tification card for such vehicle, when such card is required pursuant to
 articles  six and eight of this chapter, and give his or her name, resi-
 dence, including street and street number, insurance carrier and  insur-
 ance  identification information including but not limited to the number
 and effective dates of said individual's insurance  policy  and  license
 number,  to  the injured party, if practical, and also to a police offi-
 cer, or in the event that no police officer is in the  vicinity  of  the
 place of said injury, then, he or she shall report said incident as soon
 as  physically  able  to the nearest police station or judicial officer.
 IN ADDITION TO THE FOREGOING, ANY SUCH PERSON SHALL  ALSO:  (I)  PRODUCE
 THE   PROOF   OF   INSURANCE   COVERAGE  REQUIRED  PURSUANT  TO  ARTICLE
 FORTY-FOUR-B OF THIS CHAPTER IF SUCH PERSON IS A TNC DRIVER OPERATING  A
 TNC  VEHICLE AT THE TIME OF THE INCIDENT WHO WAS EITHER (A) LOGGED ON TO
 THE TNC'S  DIGITAL  NETWORK  AND  AVAILABLE  TO  RECEIVE  TRANSPORTATION
 REQUESTS  BUT NOT ENGAGED IN A TNC PREARRANGED TRIP OR (B) WAS LOGGED ON
 TO THE TNC'S DIGITAL NETWORK AND WAS ENGAGED IN A TNC PREARRANGED  TRIP;
 AND (II) DISCLOSE WHETHER HE OR SHE, AT THE TIME SUCH INCIDENT OCCURRED,
 WAS  EITHER  (A) LOGGED ON TO THE TNC'S DIGITAL NETWORK AND AVAILABLE TO
 RECEIVE TRANSPORTATION REQUESTS BUT NOT ENGAGED  IN  A  TNC  PREARRANGED
 TRIP  OR  (B) WAS LOGGED ON TO THE TNC'S DIGITAL NETWORK AND WAS ENGAGED
 IN A TNC PREARRANGED TRIP.
   b. It shall be the duty of any member of a law enforcement agency  who
 is  at  the scene of the accident to request the said operator or opera-
 tors of the motor vehicles, when physically  capable  of  doing  so,  to
 exchange  the  information required hereinabove and such member of a law

 S. 2008--A                         29                         A. 3008--A
 
 enforcement agency shall assist such operator  or  operators  in  making
 such exchange of information in a reasonable and harmonious manner.
   c.  A  violation  of the provisions of paragraph a of this subdivision
 resulting solely from the failure of an operator to exhibit his  or  her
 license  and  insurance  identification card for the vehicle or exchange
 the information required in such paragraph shall constitute  a  class  B
 misdemeanor  punishable by a fine of not less than two hundred fifty nor
 more than five hundred  dollars  in  addition  to  any  other  penalties
 provided  by law. Any subsequent such violation shall constitute a class
 A misdemeanor punishable by a fine of not less  than  five  hundred  nor
 more  than  one  thousand  dollars  in  addition  to any other penalties
 provided by law. Any violation of the provisions of paragraph a of  this
 subdivision,  other  than for the mere failure of an operator to exhibit
 his or her license and insurance identification card for such vehicle or
 exchange the information required in such paragraph, shall constitute  a
 class  A misdemeanor, punishable by a fine of not less than five hundred
 dollars nor more than one thousand dollars  in  addition  to  any  other
 penalties  provided  by  law.  Any  such violation committed by a person
 after such person has previously been  convicted  of  such  a  violation
 shall constitute a class E felony, punishable by a fine of not less than
 one thousand nor more than two thousand five hundred dollars in addition
 to  any other penalties provided by law. Any violation of the provisions
 of paragraph a of this subdivision, other than for the mere  failure  of
 an  operator  to exhibit his or her license and insurance identification
 card for such vehicle or exchange the information required in such para-
 graph, where the personal injury involved (i) results in  serious  phys-
 ical injury, as defined in section 10.00 of the penal law, shall consti-
 tute  a  class  E  felony,  punishable  by  a  fine of not less than one
 thousand nor more than five thousand dollars in addition  to  any  other
 penalties  provided  by law, or (ii) results in death shall constitute a
 class D felony punishable by a fine of not less than  two  thousand  nor
 more  than  five  thousand  dollars  in  addition to any other penalties
 provided by law.
   3. FOR THE PURPOSES OF THIS ARTICLE, THE TERMS  "TNC",  "TNC  DRIVER",
 "TNC  VEHICLE",  "TNC PREARRANGED TRIP" AND "DIGITAL NETWORK" SHALL HAVE
 THE SAME MEANINGS AS SUCH TERMS ARE DEFINED IN ARTICLE  FORTY-FOUR-B  OF
 THIS CHAPTER.
   § 5-a. Section 601 of the vehicle and traffic law, as amended by chap-
 ter 672 of the laws of 2004, is amended to read as follows:
   §  601.  Leaving scene of injury to certain animals without reporting.
 Any person operating a motor vehicle which shall strike and  injure  any
 horse,  dog,  cat or animal classified as cattle shall stop and endeavor
 to locate the owner or custodian of such animal or a  police,  peace  or
 judicial  officer  of  the  vicinity,  and take any other reasonable and
 appropriate action so that the animal may have necessary attention,  and
 shall  also promptly report the matter to such owner, custodian or offi-
 cer (or if no one of such has been located, then to a police officer  of
 some  other  nearby community), exhibiting his or her license and insur-
 ance identification card for such vehicle, when such  card  is  required
 pursuant  to  articles  six and eight of this chapter, giving his or her
 name and residence, including street and street number, insurance carri-
 er and insurance identification information and license number. IN ADDI-
 TION TO THE FOREGOING, ANY SUCH PERSON SHALL ALSO: (I) PRODUCE THE PROOF
 OF INSURANCE COVERAGE REQUIRED PURSUANT TO ARTICLE FORTY-FOUR-B OF  THIS
 CHAPTER  IS  SUCH  PERSON IS A TNC DRIVER OPERATING A TNC VEHICLE AT THE
 TIME OF THE INCIDENT WHO WAS EITHER (A) LOGGED ON TO THE  TNC'S  DIGITAL

 S. 2008--A                         30                         A. 3008--A
 
 NETWORK AND AVAILABLE TO RECEIVE TRANSPORTATION REQUESTS BUT NOT ENGAGED
 IN  A  TNC  PREARRANGED  TRIP  OR (B) WAS LOGGED ON TO THE TNC'S DIGITAL
 NETWORK AND WAS ENGAGED IN A TNC  PREARRANGED  TRIP  AND  (II)  DISCLOSE
 WHETHER  HE  OR  SHE, AT THE TIME SUCH INCIDENT OCCURRED, WAS EITHER (A)
 LOGGED ON TO THE TNC'S DIGITAL NETWORK AND AVAILABLE TO  RECEIVE  TRANS-
 PORTATION  REQUESTS BUT NOT ENGAGED IN A TNC PREARRANGED TRIP OR (B) WAS
 LOGGED ON TO THE TNC'S DIGITAL NETWORK AND WAS ENGAGED IN A  TNC  PREAR-
 RANGED  TRIP. Violation of this section shall be punishable by a fine of
 not more than one hundred dollars for a first offense and by a  fine  of
 not less than fifty nor more than one hundred fifty dollars for a second
 offense  and each subsequent offense; provided, however where the animal
 that has been struck and injured is a guide dog, hearing dog or  service
 dog,  as  such  terms  are defined in section forty-seven-b of the civil
 rights law which is actually engaged in aiding or guiding a person  with
 a disability, a violation of this section shall be [publishable] PUNISH-
 ABLE  by  a  fine of not less than fifty nor more than one hundred fifty
 dollars for a first offense and by a fine of not less than  one  hundred
 fifty  dollars  nor more than three hundred dollars for a second offense
 and each subsequent offense.
   § 6. The insurance law is amended by adding a new section 3455 to read
 as follows:
   § 3455. TRANSPORTATION NETWORK COMPANY GROUP INSURANCE POLICIES.   (A)
 FOR PURPOSES OF THIS SECTION, THE FOLLOWING DEFINITIONS SHALL APPLY:
   (1)  "TRANSPORTATION  NETWORK  COMPANY" SHALL HAVE THE SAME MEANING AS
 SET FORTH IN ARTICLE FORTY-FOUR-B OF THE VEHICLE AND TRAFFIC LAW.
   (2) "CERTIFICATE" OR "CERTIFICATE  OF  INSURANCE"  MEANS  ANY  POLICY,
 CONTRACT  OR OTHER EVIDENCE OF INSURANCE, OR ENDORSEMENT THERETO, ISSUED
 TO A GROUP MEMBER UNDER A TRANSPORTATION NETWORK COMPANY GROUP POLICY.
   (3) "TRANSPORTATION NETWORK COMPANY GROUP POLICY"  OR  "GROUP  POLICY"
 MEANS  A  GROUP  POLICY,  INCLUDING  CERTIFICATES  ISSUED  TO  THE GROUP
 MEMBERS, WHERE THE GROUP POLICYHOLDER IS A TRANSPORTATION NETWORK COMPA-
 NY AND THE POLICY  PROVIDES  INSURANCE  TO  THE  TRANSPORTATION  NETWORK
 COMPANY AND TO GROUP MEMBERS:
   (A) IN ACCORDANCE WITH THE REQUIREMENTS OF ARTICLE FORTY-FOUR-B OF THE
 VEHICLE AND TRAFFIC LAW;
   (B) OF THE TYPE DESCRIBED IN PARAGRAPH THIRTEEN, FOURTEEN, OR NINETEEN
 OF  SUBSECTION  (A) OF SECTION ONE THOUSAND ONE HUNDRED THIRTEEN OF THIS
 CHAPTER; AND
   (C) IN SATISFACTION OF THE FINANCIAL RESPONSIBILITY  REQUIREMENTS  SET
 FORTH  IN  SECTION  THREE  THOUSAND FOUR HUNDRED TWENTY OF THIS ARTICLE,
 SUBDIVISION FOUR OF SECTION THREE HUNDRED  ELEVEN  OF  THE  VEHICLE  AND
 TRAFFIC  LAW, ARTICLE FIFTY-ONE OF THIS CHAPTER, AND SUCH OTHER REQUIRE-
 MENTS OR REGULATIONS THAT MAY APPLY FOR THE PURPOSES OF  SATISFYING  THE
 FINANCIAL  RESPONSIBILITY REQUIREMENTS WITH RESPECT TO THE USE OR OPERA-
 TION OF A MOTOR VEHICLE.
   (4) "GROUP MEMBER" MEANS A TRANSPORTATION NETWORK  COMPANY  DRIVER  AS
 DEFINED IN ARTICLE FORTY-FOUR-B OF THE VEHICLE AND TRAFFIC LAW.
   (5) "GROUP POLICYHOLDER" MEANS A TRANSPORTATION NETWORK COMPANY.
   (6)  "TNC  VEHICLE" SHALL HAVE THE MEANING SET FORTH IN ARTICLE FORTY-
 FOUR-B OF THE VEHICLE AND TRAFFIC LAW.
   (B) AN INSURER MAY ISSUE OR ISSUE FOR DELIVERY IN THIS STATE A  TRANS-
 PORTATION  NETWORK  COMPANY  GROUP  POLICY  TO  A TRANSPORTATION NETWORK
 COMPANY AS A GROUP POLICYHOLDER ONLY IN ACCORDANCE WITH  THE  PROVISIONS
 OF THIS SECTION.

 S. 2008--A                         31                         A. 3008--A
 
   (C)(1)  A  TRANSPORTATION  NETWORK  COMPANY GROUP POLICY SHALL PROVIDE
 COVERAGE FOR A TNC VEHICLE IN ACCORDANCE WITH THE REQUIREMENTS OF  ARTI-
 CLE FORTY-FOUR-B OF THE VEHICLE AND TRAFFIC LAW.
   (2) A TRANSPORTATION NETWORK COMPANY GROUP POLICY MAY PROVIDE:
   (A) COVERAGE FOR LIMITS HIGHER THAN THE MINIMUM LIMITS REQUIRED PURSU-
 ANT TO ARTICLE FORTY-FOUR-B OF THE VEHICLE AND TRAFFIC LAW.
   (B) SUPPLEMENTARY UNINSURED/UNDERINSURED MOTORISTS INSURANCE FOR BODI-
 LY  INJURY  PURSUANT TO PARAGRAPH TWO OF SUBSECTION (F) OF SECTION THREE
 THOUSAND FOUR HUNDRED TWENTY OF THIS ARTICLE;
   (C) SUPPLEMENTAL SPOUSAL LIABILITY INSURANCE  PURSUANT  TO  SUBSECTION
 (G) OF SECTION THREE THOUSAND FOUR HUNDRED TWENTY OF THIS CHAPTER; AND
   (D)  MOTOR  VEHICLE PHYSICAL DAMAGE COVERAGE AS DESCRIBED IN PARAGRAPH
 NINETEEN OF SUBSECTION (A) OF SECTION ONE THOUSAND ONE HUNDRED  THIRTEEN
 OF THIS CHAPTER.
   (3)  THE  COVERAGE  DESCRIBED  IN  PARAGRAPHS  ONE  AND  TWO  OF  THIS
 SUBSECTION MAY BE PROVIDED IN ONE GROUP  POLICY  OR  IN  SEPARATE  GROUP
 POLICIES.
   (4)  A  TRANSPORTATION NETWORK COMPANY GROUP POLICY, INCLUDING CERTIF-
 ICATES, SHALL BE ISSUED BY  AUTHORIZED  INSURERS  OR  FROM  EXCESS  LINE
 BROKERS  PURSUANT TO SECTION SIXTEEN HUNDRED NINETY-THREE OF THE VEHICLE
 AND TRAFFIC LAW.
   (5) A POLICYHOLDER ALSO MAY BE AN INSURED UNDER A GROUP POLICY.
   (D) THE PREMIUM FOR THE TRANSPORTATION NETWORK COMPANY  GROUP  POLICY,
 INCLUDING  CERTIFICATES  MAY  BE PAID BY THE GROUP POLICYHOLDER FROM THE
 FUNDS CONTRIBUTED:
   (1) WHOLLY BY THE GROUP POLICYHOLDER;
   (2) WHOLLY BY THE GROUP MEMBERS; OR
   (3) JOINTLY BY THE GROUP POLICYHOLDER AND THE GROUP MEMBERS.
   (E) (1) ANY POLICY DIVIDEND, RETROSPECTIVE PREMIUM CREDIT,  OR  RETRO-
 SPECTIVE PREMIUM REFUND IN RESPECT OF PREMIUMS PAID BY THE GROUP POLICY-
 HOLDER MAY:
   (A) BE APPLIED TO REDUCE THE PREMIUM CONTRIBUTION OF THE GROUP POLICY-
 HOLDER, BUT NOT IN EXCESS OF THE PROPORTION TO ITS CONTRIBUTION; OR
   (B) BE RETAINED BY THE GROUP POLICYHOLDER.
   (2)  ANY  POLICY DIVIDEND, RETROSPECTIVE PREMIUM CREDIT, OR RETROSPEC-
 TIVE  PREMIUM  REFUND  NOT  DISTRIBUTED  UNDER  PARAGRAPH  ONE  OF  THIS
 SUBSECTION SHALL BE:
   (A)  APPLIED  TO  REDUCE  FUTURE  PREMIUMS  AND,  ACCORDINGLY,  FUTURE
 CONTRIBUTIONS, OF EXISTING OR FUTURE GROUP MEMBERS, OR BOTH; OR
   (B) PAID OR REFUNDED TO THOSE GROUP MEMBERS INSURED ON  THE  DATE  THE
 PAYMENT  OR  REFUND IS MADE TO THE GROUP POLICYHOLDER, IF DISTRIBUTED BY
 THE GROUP POLICYHOLDER, OR  ON  THE  DATE  OF  MAILING,  IF  DISTRIBUTED
 DIRECTLY BY THE INSURER, SUBJECT TO THE FOLLOWING REQUIREMENTS:
   (I) THE INSURER SHALL BE RESPONSIBLE FOR DETERMINING THE ALLOCATION OF
 THE PAYMENT OF REFUND TO THE GROUP MEMBERS;
   (II)  IF THE GROUP POLICYHOLDER DISTRIBUTES THE PAYMENT OR REFUND, THE
 INSURER SHALL BE RESPONSIBLE FOR AUDIT TO ASCERTAIN THAT THE PAYMENT  OR
 REFUND IS ACTUALLY MADE IN ACCORDANCE WITH THE ALLOCATION PROCEDURE; AND
   (III)  IF  THE GROUP POLICYHOLDER FAILS TO MAKE THE PAYMENT OR REFUND,
 THE INSURER SHALL MAKE THE PAYMENT OR REFUND DIRECTLY OR USE THE  METHOD
 PROVIDED IN SUBPARAGRAPH (A) OF THIS PARAGRAPH.
   (3)  NOTWITHSTANDING  PARAGRAPHS  ONE AND TWO OF THIS SUBSECTION, IF A
 DIVIDEND ACCRUES UPON TERMINATION OF  COVERAGE  UNDER  A  TRANSPORTATION
 NETWORK  COMPANY  GROUP  POLICY,  THE  PREMIUM FOR WHICH WAS PAID OUT OF
 FUNDS CONTRIBUTED BY GROUP MEMBERS SPECIFICALLY FOR  THE  COVERAGE,  THE
 DIVIDEND  SHALL  BE  PAID  OR  REFUNDED BY THE GROUP POLICYHOLDER TO THE

 S. 2008--A                         32                         A. 3008--A
 
 GROUP MEMBERS INSURED ON THE DATE THE PAYMENT OR REFUND IS MADE  TO  THE
 GROUP  POLICYHOLDER,  NET  OF  REASONABLE EXPENSES INCURRED BY THE GROUP
 POLICYHOLDER IN PAYING OR REFUNDING THE DIVIDEND TO SUCH GROUP MEMBERS.
   (4)  FOR THE PURPOSES OF THIS SUBSECTION, "DIVIDEND" MEANS A RETURN BY
 THE INSURER OF A TRANSPORTATION NETWORK COMPANY GROUP POLICY  OF  EXCESS
 PREMIUMS  TO  THE  GROUP POLICYHOLDER IN LIGHT OF FAVORABLE LOSS EXPERI-
 ENCE, INCLUDING RETROSPECTIVE PREMIUM CREDITS OR  RETROSPECTIVE  PREMIUM
 REFUNDS.  THE  TERM  "DIVIDEND"  DOES NOT INCLUDE REIMBURSEMENTS OR FEES
 RECEIVED BY A GROUP POLICYHOLDER IN CONNECTION  WITH  THE  OPERATION  OR
 ADMINISTRATION OF A TRANSPORTATION NETWORK COMPANY GROUP POLICY, INCLUD-
 ING  ADMINISTRATIVE  REIMBURSEMENTS,  FEES  FOR SERVICES PROVIDED BY THE
 GROUP POLICYHOLDER, OR TRANSACTIONAL SERVICE FEES.
   (F) THE INSURER SHALL TREAT IN LIKE MANNER ALL ELIGIBLE GROUP  MEMBERS
 OF THE SAME CLASS AND STATUS.
   (G)  EACH  POLICY  WRITTEN  PURSUANT TO THIS SECTION SHALL PROVIDE PER
 OCCURRENCE LIMITS OF COVERAGE FOR EACH GROUP MEMBER  IN  AN  AMOUNT  NOT
 LESS  THAN  THAT  REQUIRED BY THIS ARTICLE, AND MAY PROVIDE COVERAGE FOR
 LIMITS HIGHER THAN THE MINIMUM LIMITS REQUIRED UNDER THE LAW.
   (H) (1) THE INSURER SHALL BE RESPONSIBLE FOR MAILING OR DELIVERY OF  A
 CERTIFICATE  OF  INSURANCE TO EACH GROUP MEMBER INSURED UNDER THE TRANS-
 PORTATION NETWORK COMPANY GROUP  POLICY,  PROVIDED,  HOWEVER,  THAT  THE
 INSURER  MAY  DELEGATE  THE  MAILING  OR  DELIVERY TO THE TRANSPORTATION
 NETWORK COMPANY. THE INSURER SHALL ALSO BE RESPONSIBLE FOR  THE  MAILING
 OR  DELIVERY TO EACH GROUP MEMBER OF AN AMENDED CERTIFICATE OF INSURANCE
 OR ENDORSEMENT TO THE CERTIFICATE, WHENEVER THERE IS A CHANGE IN LIMITS;
 CHANGE IN TYPE OF  COVERAGE;  ADDITION,  REDUCTION,  OR  ELIMINATION  OF
 COVERAGE;  OR  ADDITION  OF  EXCLUSION, UNDER THE TRANSPORTATION NETWORK
 COMPANY GROUP POLICY OR CERTIFICATE IF SUCH  CHANGE  MATERIALLY  AFFECTS
 THE COVERAGE AVAILABLE TO SUCH GROUP MEMBER.
   (2)  THE CERTIFICATE SHALL CONTAIN IN SUBSTANCE ALL MATERIAL TERMS AND
 CONDITIONS OF COVERAGE AFFORDED TO GROUP MEMBERS, UNLESS THE TRANSPORTA-
 TION NETWORK COMPANY GROUP POLICY IS INCORPORATED  BY  REFERENCE  AND  A
 COPY OF THE GROUP POLICY ACCOMPANIES THE CERTIFICATE.
   (3) IF ANY COVERAGE AFFORDED TO THE GROUP MEMBER IS EXCESS OF APPLICA-
 BLE  INSURANCE COVERAGE, THE CERTIFICATE SHALL CONTAIN A NOTICE ADVISING
 THE GROUP MEMBERS THAT, IF THE  MEMBER  HAS  OTHER  INSURANCE  COVERAGE,
 SPECIFIED COVERAGES UNDER THE TRANSPORTATION NETWORK COMPANY GROUP POLI-
 CY WILL BE EXCESS OVER THE OTHER INSURANCE.
   (I)  A  GROUP POLICYHOLDER SHALL COMPLY WITH THE PROVISIONS OF SECTION
 TWO THOUSAND ONE HUNDRED TWENTY-TWO OF THIS CHAPTER, IN THE SAME  MANNER
 AS  AN  AGENT OR BROKER, IN ANY ADVERTISEMENT, SIGN, PAMPHLET, CIRCULAR,
 CARD, OR OTHER PUBLIC ANNOUNCEMENT REFERRING TO COVERAGE UNDER A  TRANS-
 PORTATION NETWORK COMPANY GROUP POLICY OR CERTIFICATE.
   (J) A TRANSPORTATION NETWORK COMPANY GROUP POLICY SHALL NOT BE SUBJECT
 TO  SECTION  THREE  THOUSAND  FOUR  HUNDRED TWENTY-FIVE OR SECTION THREE
 THOUSAND FOUR HUNDRED TWENTY-SIX OF  THIS  ARTICLE;  PROVIDED  THAT  THE
 FOLLOWING  REQUIREMENTS SHALL APPLY WITH REGARD TO TERMINATION OF COVER-
 AGE:
   (1)(A) AN INSURER MAY TERMINATE A GROUP POLICY OR CERTIFICATE ONLY  IF
 CANCELLATION IS BASED ON ONE OR MORE OF THE REASONS SET FORTH IN SUBPAR-
 AGRAPH (A) THROUGH (D) OR (F) THROUGH (H) OF PARAGRAPH ONE OF SUBSECTION
 (C)  OF  SECTION THREE THOUSAND FOUR HUNDRED TWENTY-SIX OF THIS ARTICLE;
 PROVIDED, HOWEVER, THAT AN ACT OR OMISSION BY A GROUP MEMBER THAT  WOULD
 CONSTITUTE THE BASIS FOR CANCELLATION OF AN INDIVIDUAL CERTIFICATE SHALL
 NOT CONSTITUTE THE BASIS FOR CANCELLATION OF THE GROUP POLICY.

 S. 2008--A                         33                         A. 3008--A
 
   (B)  WHERE THE PREMIUM IS DERIVED WHOLLY FROM FUNDS CONTRIBUTED BY THE
 GROUP POLICYHOLDER, AN INSURER MAY CANCEL AN INDIVIDUAL CERTIFICATE ONLY
 IF CANCELLATION IS BASED ON ONE OR MORE OF  THE  REASONS  SET  FORTH  IN
 SUBPARAGRAPH  (B),  (C)  OR  (H)  OF  PARAGRAPH ONE OF SUBSECTION (C) OF
 SECTION THREE THOUSAND FOUR HUNDRED TWENTY-SIX OF THIS ARTICLE.
   (2)  (A)  AN  INSURER'S  CANCELLATION OF A GROUP POLICY, INCLUDING ALL
 CERTIFICATES, SHALL NOT BECOME EFFECTIVE UNTIL  THIRTY  DAYS  AFTER  THE
 INSURER  MAILS  OR  DELIVERS WRITTEN NOTICE OF CANCELLATION TO THE GROUP
 POLICYHOLDER AT THE MAILING ADDRESS SHOWN IN THE POLICY.
   (I) WHERE ALL OR PART OF THE PREMIUM IS DERIVED FROM FUNDS CONTRIBUTED
 BY THE GROUP MEMBER SPECIFICALLY FOR THE  COVERAGE,  THE  INSURER  SHALL
 ALSO  MAIL OR DELIVER WRITTEN NOTICE OF CANCELLATION OF THE GROUP POLICY
 TO THE GROUP MEMBER AT THE GROUP MEMBER'S MAILING ADDRESS. SUCH  CANCEL-
 LATION  SHALL  NOT  BECOME EFFECTIVE UNTIL THIRTY DAYS AFTER THE INSURER
 MAILS OR DELIVERS THE WRITTEN NOTICE TO THE GROUP MEMBER.
   (II) WHERE NONE OF THE PREMIUM IS DERIVED FROM FUNDS CONTRIBUTED BY  A
 GROUP  MEMBER  SPECIFICALLY  FOR  THE  COVERAGE, THE GROUP POLICY HOLDER
 SHALL MAIL OR DELIVER WRITTEN NOTICE TO THE GROUP  MEMBER  ADVISING  THE
 GROUP  MEMBER  OF THE CANCELLATION OF THE GROUP POLICY AND THE EFFECTIVE
 DATE OF CANCELLATION. THE GROUP POLICY HOLDER SHALL MAIL OR DELIVER  THE
 WRITTEN NOTICE WITHIN NINETY DAYS AFTER RECEIVING NOTICE OF CANCELLATION
 FROM THE INSURER.
   (B)  AN  INSURER'S CANCELLATION OF AN INDIVIDUAL CERTIFICATE SHALL NOT
 BECOME EFFECTIVE UNTIL THIRTY DAYS AFTER THE INSURER MAILS  OR  DELIVERS
 WRITTEN NOTICE OF CANCELLATION TO THE GROUP MEMBER AT THE GROUP MEMBER'S
 MAILING  ADDRESS  AND  TO  THE GROUP POLICYHOLDER AT THE MAILING ADDRESS
 SHOWN IN THE GROUP POLICY.
   (3) (A) A GROUP POLICYHOLDER MAY CANCEL A GROUP POLICY, INCLUDING  ALL
 CERTIFICATES,  OR ANY INDIVIDUAL CERTIFICATE, FOR ANY REASON UPON THIRTY
 DAYS WRITTEN NOTICE TO THE INSURER AND EACH GROUP MEMBER; AND
   (B) THE GROUP POLICYHOLDER SHALL MAIL OR  DELIVER  WRITTEN  NOTICE  TO
 EACH  AFFECTED  GROUP MEMBER OF THE GROUP POLICYHOLDER'S CANCELLATION OF
 THE GROUP POLICY OR CERTIFICATE AND THE EFFECTIVE DATE OF  CANCELLATION.
 THE  GROUP  POLICYHOLDER SHALL MAIL OR DELIVER THE WRITTEN NOTICE TO THE
 GROUP MEMBER'S MAILING ADDRESS AT LEAST THIRTY DAYS PRIOR TO THE  EFFEC-
 TIVE DATE OF CANCELLATION.
   (4) (A) UNLESS A GROUP POLICY PROVIDES FOR A LONGER POLICY PERIOD, THE
 POLICY  AND  ALL  CERTIFICATES SHALL BE ISSUED OR RENEWED FOR A ONE-YEAR
 POLICY PERIOD.
   (B) THE GROUP POLICYHOLDER SHALL BE ENTITLED TO RENEW THE GROUP POLICY
 AND ALL CERTIFICATES UPON TIMELY PAYMENT OF THE PREMIUM  BILLED  TO  THE
 GROUP POLICYHOLDER FOR THE RENEWAL, UNLESS:
   (I)  THE  INSURER  MAILS OR DELIVERS TO THE GROUP POLICYHOLDER AND ALL
 GROUP MEMBERS WRITTEN NOTICE OF NONRENEWAL, OR CONDITIONAL RENEWAL; AND
   (II) THE INSURER MAILS OR DELIVERS THE WRITTEN NOTICE AT LEAST THIRTY,
 BUT NOT MORE THAN ONE HUNDRED TWENTY DAYS PRIOR TO THE  EXPIRATION  DATE
 SPECIFIED  IN  THE POLICY OR, IF NO DATE IS SPECIFIED, THE NEXT ANNIVER-
 SARY DATE OF THE POLICY.
   (5) WHERE THE GROUP POLICYHOLDER NONRENEWS THE GROUP POLICY, THE GROUP
 POLICYHOLDER SHALL MAIL OR DELIVER WRITTEN NOTICE TO EACH  GROUP  MEMBER
 ADVISING  THE  GROUP  MEMBER  OF  NONRENEWAL OF THE GROUP POLICY AND THE
 EFFECTIVE DATE OF NONRENEWAL.  THE  GROUP  POLICYHOLDER  SHALL  MAIL  OR
 DELIVER WRITTEN NOTICE AT LEAST THIRTY DAYS PRIOR TO THE NONRENEWAL.
   (6)  EVERY  NOTICE OF CANCELLATION, NONRENEWAL, OR CONDITIONAL RENEWAL
 SHALL SET FORTH THE SPECIFIC REASON OR REASONS FOR CANCELLATION,  NONRE-
 NEWAL, OR CONDITIONAL RENEWAL.

 S. 2008--A                         34                         A. 3008--A
 
   (7) (A) AN INSURER SHALL NOT BE REQUIRED UNDER THIS SUBSECTION TO GIVE
 NOTICE  TO  A GROUP MEMBER IF THE INSURER HAS BEEN ADVISED BY EITHER THE
 GROUP POLICYHOLDER OR ANOTHER INSURER THAT SUBSTANTIALLY SIMILAR  COVER-
 AGE HAS BEEN OBTAINED FROM THE OTHER INSURER WITHOUT LAPSE OF COVERAGE.
   (B)  A  GROUP POLICYHOLDER SHALL NOT BE REQUIRED UNDER THIS SUBSECTION
 TO GIVE NOTICE TO A GROUP MEMBER IF SUBSTANTIALLY SIMILAR  COVERAGE  HAS
 BEEN OBTAINED FROM ANOTHER INSURER WITHOUT LAPSE OF COVERAGE.
   (8)  (A)  IF, PRIOR TO THE EFFECTIVE DATE OF CANCELLATION, NONRENEWAL,
 OR CONDITIONAL RENEWAL OF THE GROUP POLICY, OR  A  CERTIFICATE,  WHETHER
 INITIATED  BY  THE INSURER, GROUP POLICYHOLDER OR BY THE GROUP MEMBER IN
 REGARD TO THE GROUP MEMBER'S CERTIFICATE, COVERAGE ATTACHES PURSUANT  TO
 THE  TERMS OF A GROUP POLICY, THEN THE COVERAGE SHALL BE EFFECTIVE UNTIL
 EXPIRATION OF THE APPLICABLE PERIOD OF COVERAGE PROVIDED  IN  THE  GROUP
 POLICY  NOTWITHSTANDING  THE  CANCELLATION,  NONRENEWAL  OR  CONDITIONAL
 NONRENEWAL OF THE GROUP POLICY.
   (B) NOTWITHSTANDING SUBPARAGRAPH (A) OF THIS PARAGRAPH, AN INSURER MAY
 TERMINATE COVERAGE UNDER AN INDIVIDUAL CERTIFICATE ON THE EFFECTIVE DATE
 OF CANCELLATION, IF THE CERTIFICATE IS CANCELLED IN ACCORDANCE WITH  THE
 PROVISIONS OF SUBPARAGRAPH (B) OF PARAGRAPH ONE OF THIS SUBSECTION.
   (K)  ANY  MAILING  OR DELIVERY TO A GROUP MEMBER REQUIRED OR PERMITTED
 UNDER THIS SECTION MAY BE MADE BY ELECTRONIC MAIL, OR  OTHER  ELECTRONIC
 MEANS,  IF  CONSENT  TO  SUCH  METHOD  OF  DELIVERY  HAS BEEN PREVIOUSLY
 RECEIVED FROM SUCH GROUP MEMBER.
   (L) AN INSURER MAY ISSUE A TRANSPORTATION NETWORK COMPANY GROUP POLICY
 TO A TRANSPORTATION NETWORK COMPANY, NOTWITHSTANDING THAT IT  MAY  BE  A
 CONDITION OF OPERATING A VEHICLE ON THE TRANSPORTATION NETWORK COMPANY'S
 DIGITAL NETWORK FOR THE TNC DRIVER TO PARTICIPATE IN SUCH GROUP POLICY.
   (M)  AN  INSURER SHALL NOT INCLUDE A MANDATORY ARBITRATION CLAUSE IN A
 POLICY  THAT  PROVIDES  FINANCIAL  RESPONSIBILITY  COVERAGE  UNDER  THIS
 SECTION EXCEPT AS PERMITTED IN SECTION FIVE THOUSAND ONE HUNDRED FIVE OF
 THIS CHAPTER.
   §  6-a. Subsection (g) of section 5102 of the insurance law is amended
 to read as follows:
   (g) "Insurer" means the insurance company or self-insurer, as the case
 may be, which provides the financial security required  by  article  six
 [or], eight, OR FORTY-FOUR-B of the vehicle and traffic law.
   § 7. Subsection (b) of section 5103 of the insurance law is amended by
 adding a new paragraph 4 to read as follows:
   (4)  IS  INJURED  WHILE A MOTOR VEHICLE IS BEING USED OR OPERATED BY A
 TNC DRIVER PURSUANT TO ARTICLE FORTY-FOUR-B OF THE VEHICLE  AND  TRAFFIC
 LAW,  PROVIDED,  HOWEVER, THAT AN INSURER MAY NOT INCLUDE THIS EXCLUSION
 IN A POLICY USED TO SATISFY THE REQUIREMENTS UNDER ARTICLE  FORTY-FOUR-B
 OF THE VEHICLE AND TRAFFIC LAW.
   §  8. Subsection (d) of section 5106 of the insurance law, as added by
 chapter 452 of the laws of 2005, is amended to read as follows:
   (d)  [Where]  (1)  EXCEPT  AS  PROVIDED  IN  PARAGRAPH  TWO  OF   THIS
 SUBSECTION, WHERE there is reasonable belief more than one insurer would
 be  the  source  of  first  party benefits, the insurers may agree among
 themselves, if there is a valid basis therefor, that one  of  them  will
 accept  and pay the claim initially. If there is no such agreement, then
 the first insurer to whom notice of claim is given shall be  responsible
 for  payment.  Any such dispute shall be resolved in accordance with the
 arbitration procedures established pursuant to section five thousand one
 hundred five of this article and [regulation] REGULATIONS as promulgated
 by the superintendent, and any insurer paying first-party benefits shall
 be reimbursed by other insurers for their  proportionate  share  of  the

 S. 2008--A                         35                         A. 3008--A
 
 costs  of  the claim and the allocated expenses of processing the claim,
 in accordance with the provisions entitled "other coverage" contained in
 regulation and the provisions entitled  "other  sources  of  first-party
 benefits"  contained  in regulation. If there is no such insurer and the
 motor vehicle accident occurs in this state, then an applicant who is  a
 qualified  person  as defined in article fifty-two of this chapter shall
 institute the claim against THE motor vehicle  accident  indemnification
 corporation.
   (2)  A  GROUP  POLICY  ISSUED  PURSUANT TO SECTION THREE THOUSAND FOUR
 HUNDRED FIFTY-FIVE OF THIS  CHAPTER,  TO  SATISFY  THE  REQUIREMENTS  OF
 SECTION  SIXTEEN  HUNDRED  NINETY-THREE  OF THE VEHICLE AND TRAFFIC LAW,
 SHALL PROVIDE FIRST PARTY BENEFITS WHEN A DISPUTE EXISTS AS TO WHETHER A
 DRIVER WAS USING OR OPERATING A  MOTOR  VEHICLE  IN  CONNECTION  WITH  A
 TRANSPORTATION  NETWORK  COMPANY  WHEN  LOSS,  DAMAGE,  INJURY, OR DEATH
 OCCURS. A TRANSPORTATION NETWORK COMPANY SHALL NOTIFY THE  INSURER  THAT
 ISSUED  THE  OWNER'S POLICY OF LIABILITY INSURANCE OF THE DISPUTE WITHIN
 TEN BUSINESS DAYS OF BECOMING AWARE THAT THE DISPUTE EXISTS. WHEN  THERE
 IS  A  DISPUTE,  THE GROUP INSURER LIABLE FOR THE PAYMENT OF FIRST PARTY
 BENEFITS UNDER A GROUP POLICY, TO SATISFY THE  REQUIREMENTS  OF  SECTION
 SIXTEEN  HUNDRED NINETY-THREE OF THE VEHICLE AND TRAFFIC LAW, SHALL HAVE
 THE RIGHT TO RECOVER THE AMOUNT PAID FROM THE DRIVER'S  INSURER  TO  THE
 EXTENT  THAT  SUCH  INSURER  WOULD HAVE BEEN LIABLE TO PAY DAMAGES IN AN
 ACTION AT LAW.
   § 9. Subsection (b) of section 2305 of the insurance law,  as  amended
 by  chapter  11  of the laws of 2008, paragraph 13 as amended by chapter
 136 of the laws of 2008, is amended to read as follows:
   (b) rate filings for:
   (1) workers' compensation insurance;
   (2) motor vehicle insurance, or  surety  bonds,  required  by  section
 three  hundred  seventy of the vehicle and traffic law OR ARTICLE FORTY-
 FOUR-B OF THE VEHICLE AND TRAFFIC LAW;
   (3) joint underwriting;
   (4) motor vehicle assigned risk insurance;
   (5) insurance issued by the New York Property  Insurance  Underwriting
 Association;
   (6)  risk  sharing  plans  authorized  by  section  two thousand three
 hundred eighteen of this article;
   (7) title insurance;
   (8) medical malpractice liability insurance;
   (9) insurance issued by the Medical Malpractice Insurance Association;
   (10) mortgage guaranty insurance;
   (11) credit property insurance, as defined  in  section  two  thousand
 three hundred forty of this article; [and]
   (12) gap insurance; AND
   (13)  [Private]  PRIVATE  passenger  automobile  insurance,  except as
 provided in section two thousand three hundred fifty of this article[.],
 shall be filed with the superintendent and shall  not  become  effective
 unless  either  the  filing  has been approved or thirty days, which the
 superintendent may with cause extend an additional thirty days and  with
 further  cause  extend  an additional fifteen days, have elapsed and the
 filing has not been disapproved as failing to meet the  requirements  of
 this  article, including the standard that rates be not otherwise unrea-
 sonable. After a rate filing becomes effective, the filing and  support-
 ing  information  shall  be  open  to  public inspection. If a filing is
 disapproved, THEN notice of such disapproval order shall be given, spec-
 ifying in what respects such filing fails to meet  the  requirements  of

 S. 2008--A                         36                         A. 3008--A
 
 this  article.  Upon  his  or  her  request, the superintendent shall be
 provided with support and  assistance  from  the  workers'  compensation
 board  and  other state agencies and departments with appropriate juris-
 diction.  The  loss  cost multiplier for each insurer providing coverage
 for workers' compensation, as defined by regulation promulgated  by  the
 superintendent,  shall be promptly displayed on the department's website
 and updated in the event of any change.
   § 10. Paragraph 1 of subsection (a) of section 3425 of  the  insurance
 law,  as  amended by chapter 235 of the laws of 1989, is amended to read
 as follows:
   (1) "Covered policy" means a contract of  insurance,  referred  to  in
 this section as "automobile insurance", issued or issued for delivery in
 this  state,  on  a  risk  located  or  resident in this state, insuring
 against losses or liabilities arising out of the  ownership,  operation,
 or use of a motor vehicle, predominantly used for non-business purposes,
 when  a  natural person is the named insured under the policy of automo-
 bile insurance; PROVIDED, HOWEVER, THAT THE  USE  OR  OPERATION  OF  THE
 MOTOR  VEHICLE  BY  A  TRANSPORTATION NETWORK DRIVER AS A TNC VEHICLE IN
 ACCORDANCE WITH ARTICLE FORTY-FOUR-B OF  THE  VEHICLE  AND  TRAFFIC  LAW
 SHALL  NOT BE INCLUDED IN DETERMINING WHETHER THE MOTOR VEHICLE IS BEING
 USED PREDOMINANTLY FOR NON-BUSINESS PURPOSES.
   § 11. The executive law is amended by adding a new article 6-H to read
 as follows:
                                ARTICLE 6-H
                  TRANSPORTATION NETWORK COMPANY DRIVER'S
                         INJURY COMPENSATION FUND
 SECTION 160-AAAA. DEFINITIONS.
         160-BBBB. TRANSPORTATION NETWORK COMPANY DRIVER'S INJURY COMPEN-
                     SATION FUND, INC.
         160-CCCC. SUPERVISION OF TRANSPORTATION NETWORK COMPANIES.
         160-DDDD. MANAGEMENT OF THE FUND.
         160-EEEE. PLAN OF OPERATION.
         160-FFFF. MEMBERSHIP.
         160-GGGG. SECURING OF COMPENSATION.
         160-HHHH. ASSESSMENT OF FUND MEMBERS.
         160-IIII. CERTIFIED FINANCIAL STATEMENTS.
         160-JJJJ. EXEMPTION FROM TAXES.
         160-KKKK. LIABILITY INSURANCE.
         160-LLLL. REGULATIONS.
         160-MMMM. VIOLATIONS.
   § 160-AAAA. DEFINITIONS. AS USED IN THIS ARTICLE:
   1. "TRANSPORTATION NETWORK COMPANY DRIVER" OR "TNC  DRIVER"  MEANS  AN
 INDIVIDUAL WHO:
   (A)  RECEIVES CONNECTIONS TO POTENTIAL PASSENGERS AND RELATED SERVICES
 FROM A TRANSPORTATION NETWORK COMPANY IN EXCHANGE FOR PAYMENT OF  A  FEE
 TO THE TRANSPORTATION NETWORK COMPANY;
   (B)  USES  A TNC VEHICLE TO OFFER OR PROVIDE A TNC PREARRANGED TRIP TO
 TRANSPORTATION NETWORK COMPANY  PASSENGERS  UPON  CONNECTION  THROUGH  A
 DIGITAL  NETWORK  CONTROLLED  BY  A  TRANSPORTATION  NETWORK  COMPANY IN
 EXCHANGE FOR COMPENSATION OR PAYMENT OF A FEE; AND
   (C) WHOSE INJURY AROSE OUT OF AND IN THE COURSE  OF  PROVIDING  A  TNC
 PREARRANGED  TRIP THROUGH A DIGITAL NETWORK OPERATED BY A TRANSPORTATION
 NETWORK COMPANY THAT IS A REGISTERED MEMBER OF THE NEW YORK  TRANSPORTA-
 TION NETWORK COMPANY DRIVER'S INJURY COMPENSATION FUND, INC.
   2.  "TRANSPORTATION  NETWORK COMPANY PASSENGER" OR "PASSENGER" MEANS A
 PERSON OR PERSONS WHO USE A  TRANSPORTATION  NETWORK  COMPANY'S  DIGITAL

 S. 2008--A                         37                         A. 3008--A
 
 NETWORK  TO  CONNECT  WITH  A  TRANSPORTATION NETWORK COMPANY DRIVER WHO
 PROVIDES TNC PREARRANGED TRIPS TO  THE  PASSENGER  IN  THE  TNC  VEHICLE
 BETWEEN POINTS CHOSEN BY THE PASSENGER.
   3. "BOARD" MEANS THE WORKERS' COMPENSATION BOARD.
   4.  "DIGITAL  NETWORK" MEANS ANY SYSTEM OR SERVICE OFFERED OR UTILIZED
 BY A TRANSPORTATION NETWORK COMPANY THAT ENABLES TNC  PREARRANGED  TRIPS
 WITH TRANSPORTATION NETWORK COMPANY DRIVERS.
   5. "TRANSPORTATION NETWORK COMPANY" MEANS A PERSON, CORPORATION, PART-
 NERSHIP,  SOLE PROPRIETORSHIP, OR OTHER ENTITY THAT IS LICENSED PURSUANT
 TO ARTICLE FORTY-FOUR-B OF THE VEHICLE AND TRAFFIC LAW AND IS  OPERATING
 IN  NEW YORK STATE EXCLUSIVELY USING A DIGITAL NETWORK TO CONNECT TRANS-
 PORTATION NETWORK COMPANY PASSENGERS TO TRANSPORTATION  NETWORK  COMPANY
 DRIVERS WHO PROVIDE TNC PREARRANGED TRIPS.
   6.  "TRANSPORTATION  NETWORK COMPANY VEHICLE" OR "TNC VEHICLE" MEANS A
 VEHICLE THAT IS:
   (A) USED BY A TRANSPORTATION NETWORK COMPANY DRIVER TO PROVIDE  A  TNC
 PREARRANGED TRIP ORIGINATING IN THE STATE OF NEW YORK;
   (B)  OWNED,  LEASED OR OTHERWISE AUTHORIZED FOR USE BY THE TRANSPORTA-
 TION NETWORK COMPANY DRIVER AND SHALL NOT INCLUDE:
   (I) A TAXICAB, AS DEFINED IN SECTION ONE HUNDRED FORTY-EIGHT-A OF  THE
 VEHICLE AND TRAFFIC LAW AND SECTION 19-502 OF THE ADMINISTRATIVE CODE OF
 THE CITY OF NEW YORK, OR AS OTHERWISE DEFINED IN LOCAL LAW;
   (II)  A LIVERY VEHICLE, AS DEFINED IN SECTION ONE HUNDRED TWENTY-ONE-E
 OF THE VEHICLE AND TRAFFIC LAW, OR AS OTHERWISE DEFINED IN LOCAL LAW;
   (III) A BLACK CAR, LIMOUSINE,  OR  LUXURY  LIMOUSINE,  AS  DEFINED  IN
 SECTION 19-502 OF THE ADMINISTRATIVE CODE OF THE CITY OF NEW YORK, OR AS
 OTHERWISE DEFINED IN LOCAL LAW;
   (IV)  A FOR-HIRE VEHICLE, AS DEFINED IN SECTION 19-502 OF THE ADMINIS-
 TRATIVE CODE OF THE CITY OF NEW YORK, OR AS OTHERWISE DEFINED  IN  LOCAL
 LAW;
   (V)  A  BUS, AS DEFINED IN SECTION ONE HUNDRED FOUR OF THE VEHICLE AND
 TRAFFIC LAW;
   (VI) ANY MOTOR VEHICLE WEIGHING MORE THAN SIX  THOUSAND  FIVE  HUNDRED
 POUNDS UNLOADED;
   (VII)  ANY  MOTOR VEHICLE HAVING A SEATING CAPACITY OF MORE THAN SEVEN
 PASSENGERS; AND
   (VIII) ANY MOTOR VEHICLE SUBJECT TO SECTION THREE HUNDRED  SEVENTY  OF
 THE VEHICLE AND TRAFFIC LAW.
   7. (A) "TNC PREARRANGED TRIP" MEANS THE PROVISION OF TRANSPORTATION BY
 A  TRANSPORTATION NETWORK COMPANY DRIVER TO A PASSENGER PROVIDED THROUGH
 THE USE OF A TNC'S DIGITAL NETWORK:
   (I) BEGINNING WHEN A TRANSPORTATION NETWORK COMPANY DRIVER  ACCEPTS  A
 PASSENGER'S REQUEST FOR A TRIP THROUGH A DIGITAL NETWORK CONTROLLED BY A
 TRANSPORTATION NETWORK COMPANY;
   (II) CONTINUING WHILE THE TRANSPORTATION NETWORK COMPANY DRIVER TRANS-
 PORTS THE REQUESTING PASSENGER IN A TNC VEHICLE; AND
   (III)  ENDING  WHEN THE LAST REQUESTING PASSENGER DEPARTS FROM THE TNC
 VEHICLE.
   (B) THE TERM "TNC PREARRANGED TRIP" DOES  NOT  INCLUDE  TRANSPORTATION
 PROVIDED THROUGH ANY OF THE FOLLOWING:
   (I) SHARED EXPENSE CARPOOL OR VANPOOL ARRANGEMENTS, INCLUDING THOSE AS
 DEFINED  IN SECTION ONE HUNDRED FIFTY-EIGHT-B OF THE VEHICLE AND TRAFFIC
 LAW;
   (II) USE OF A TAXICAB, LIVERY, LUXURY  LIMOUSINE,  OR  OTHER  FOR-HIRE
 VEHICLE,  AS  DEFINED  IN THE VEHICLE AND TRAFFIC LAW, SECTION 19-502 OF

 S. 2008--A                         38                         A. 3008--A
 
 THE ADMINISTRATIVE CODE OF THE CITY OF NEW YORK, OR AS OTHERWISE DEFINED
 IN LOCAL LAW; OR
   (III) A REGIONAL TRANSPORTATION PROVIDER.
   8.  "COVERED  SERVICES"  MEANS,  WITH RESPECT TO TNC PREARRANGED TRIPS
 USING A DIGITAL NETWORK OF A TRANSPORTATION NETWORK COMPANY  LOCATED  IN
 THE  STATE, ALL SUCH TNC PREARRANGED TRIPS REGARDLESS OF WHERE THE PICK-
 UP OR DISCHARGE OCCURS, AND, WITH RESPECT TO TNC PREARRANGED TRIPS USING
 A DIGITAL NETWORK OF A TRANSPORTATION NETWORK  COMPANY  LOCATED  OUTSIDE
 THE  STATE,  ALL  PREARRANGED  TRIPS  INVOLVING  A PICK-UP IN THE STATE,
 REGARDLESS OF WHERE THE DISCHARGE OCCURS.
   9. "DEPARTMENT" MEANS THE DEPARTMENT OF STATE.
   10. "FUND" MEANS THE NEW YORK TRANSPORTATION NETWORK COMPANY  DRIVER'S
 FUND, INC.
   11. "FUND LIABILITY DATE" MEANS THE EARLIER OF:
   (A)  THE DATE AS OF WHICH THE BOARD FIRST APPROVES THE FUND'S APPLICA-
 TION TO SELF-INSURE PURSUANT TO SECTION ONE HUNDRED SIXTY-GGGG  OF  THIS
 ARTICLE; OR
   (B)  THE  DATE ON WHICH COVERAGE COMMENCES UNDER THE INITIAL INSURANCE
 POLICY PURCHASED BY THE FUND PURSUANT TO SECTION ONE HUNDRED  SIXTY-GGGG
 OF THIS ARTICLE.
   12. "SECRETARY" MEANS THE SECRETARY OF STATE.
   §  160-BBBB.  TRANSPORTATION  NETWORK  COMPANY DRIVER'S INJURY COMPEN-
 SATION FUND, INC. THERE IS HEREBY CREATED A  NOT-FOR-PROFIT  CORPORATION
 TO  BE  KNOWN  AS  THE  NEW YORK TRANSPORTATION NETWORK COMPANY DRIVER'S
 INJURY COMPENSATION FUND, INC. TO THE EXTENT THAT THE PROVISIONS OF  THE
 NOT-FOR-PROFIT  CORPORATION  LAW  DO NOT CONFLICT WITH THE PROVISIONS OF
 THIS ARTICLE, OR WITH THE PLAN OF OPERATION ESTABLISHED PURSUANT TO THIS
 ARTICLE, THE NOT-FOR-PROFIT CORPORATION LAW SHALL  APPLY  TO  THE  FUND,
 WHICH SHALL BE A TYPE C CORPORATION PURSUANT TO SUCH LAW. IF AN APPLICA-
 BLE PROVISION OF THIS ARTICLE OR OF THE FUND'S PLAN OF OPERATION RELATES
 TO  A  MATTER  EMBRACED IN A PROVISION OF THE NOT-FOR-PROFIT CORPORATION
 LAW BUT IS NOT IN CONFLICT THEREWITH, BOTH PROVISIONS SHALL  APPLY.  THE
 FUND  SHALL  PERFORM ITS FUNCTIONS IN ACCORDANCE WITH ITS PLAN OF OPERA-
 TION ESTABLISHED AND APPROVED PURSUANT TO SECTION ONE HUNDRED SIXTY-EEEE
 OF THIS ARTICLE AND SHALL EXERCISE ITS POWERS THROUGH A BOARD OF  DIREC-
 TORS ESTABLISHED PURSUANT TO THIS ARTICLE.
   §  160-CCCC. SUPERVISION OF TRANSPORTATION NETWORK COMPANIES. A TRANS-
 PORTATION NETWORK COMPANY SHALL, WITH RESPECT TO THE PROVISIONS OF  THIS
 ARTICLE,  BE  SUBJECT TO THE SUPERVISION AND OVERSIGHT OF THE DEPARTMENT
 AS PROVIDED IN THIS ARTICLE.
   § 160-DDDD. MANAGEMENT OF THE FUND. 1. WITHIN THIRTY (30) DAYS OF  THE
 EFFECTIVE  DATE  OF  THIS  ARTICLE,  THERE SHALL BE APPOINTED A BOARD OF
 DIRECTORS OF THE FUND. THE BOARD OF DIRECTORS OF THE FUND SHALL  CONSIST
 OF NINE DIRECTORS APPOINTED BY THE GOVERNOR, ONE OF WHOM SHALL BE CHOSEN
 BY  THE  GOVERNOR;  ONE  OF  WHOM SHALL BE CHOSEN UPON NOMINATION OF THE
 TEMPORARY PRESIDENT OF THE SENATE; ONE OF  WHOM  SHALL  BE  CHOSEN  UPON
 NOMINATION  OF  THE SPEAKER OF THE ASSEMBLY; ONE OF WHOM SHALL BE CHOSEN
 UPON NOMINATION OF THE AMERICAN FEDERATION OF LABOR-CONGRESS  OF  INDUS-
 TRIAL  ORGANIZATIONS  OF NEW YORK; AND FIVE OF WHOM SHALL BE CHOSEN UPON
 NOMINATION OF TRANSPORTATION NETWORK COMPANY MEMBERS OF THE FUND.
   2. THE DIRECTORS SHALL ELECT ANNUALLY FROM AMONG THEIR NUMBER A CHAIR.
   3. FOR THEIR ATTENDANCE AT MEETINGS, THE DIRECTORS OF THE  FUND  SHALL
 BE  ENTITLED  TO  COMPENSATION,  AS  AUTHORIZED  BY THE DIRECTORS, IN AN
 AMOUNT NOT TO EXCEED FIVE HUNDRED DOLLARS PER MEETING PER  DIRECTOR  AND
 TO REIMBURSEMENT OF THEIR ACTUAL AND NECESSARY EXPENSES.

 S. 2008--A                         39                         A. 3008--A

   4.  DIRECTORS  OF  THE  FUND, EXCEPT AS OTHERWISE PROVIDED BY LAW, MAY
 ENGAGE IN PRIVATE OR PUBLIC EMPLOYMENT OR IN A PROFESSION OR BUSINESS.
   5. (A) ALL OF THE DIRECTORS SHALL HAVE EQUAL VOTING RIGHTS AND FIVE OR
 MORE  DIRECTORS  SHALL CONSTITUTE A QUORUM. THE AFFIRMATIVE VOTE OF FOUR
 DIRECTORS SHALL BE NECESSARY FOR THE TRANSACTION OF ANY BUSINESS OR  THE
 EXERCISE OF ANY POWER OR FUNCTION OF THE FUND.
   (B)  THE  FUND MAY DELEGATE TO ONE OR MORE OF ITS DIRECTORS, OFFICERS,
 AGENTS, OR EMPLOYEES SUCH POWERS AND DUTIES AS IT MAY DEEM PROPER.
   (C) A VACANCY OCCURRING IN A DIRECTOR POSITION SHALL BE FILLED IN  THE
 SAME MANNER AS THE INITIAL APPOINTMENT TO THAT POSITION, PROVIDED HOWEV-
 ER  THAT NO INDIVIDUAL MAY SERVE AS DIRECTOR FOR MORE THAN THREE SUCCES-
 SIVE TERMS.
   § 160-EEEE. PLAN OF OPERATION. 1.  WITHIN  SEVENTY-FIVE  DAYS  OF  THE
 EFFECTIVE  DATE OF THIS ARTICLE, THE FUND SHALL FILE WITH THE DEPARTMENT
 ITS PLAN OF OPERATION, WHICH SHALL  BE  DESIGNED  TO  ASSURE  THE  FAIR,
 REASONABLE AND EQUITABLE ADMINISTRATION OF THE FUND.  THE PLAN OF OPERA-
 TION  AND  ANY SUBSEQUENT AMENDMENTS THERETO SHALL BECOME EFFECTIVE UPON
 BEING FILED WITH THE DEPARTMENT.
   2. THE PLAN OF OPERATION SHALL CONSTITUTE THE BY-LAWS OF THE FUND  AND
 SHALL,  IN  ADDITION  TO  THE  REQUIREMENTS ENUMERATED ELSEWHERE IN THIS
 ARTICLE:
   (A) ESTABLISH PROCEDURES FOR COLLECTING AND MANAGING THE ASSETS OF THE
 FUND;
   (B) ESTABLISH REGULAR PLACES AND TIMES  FOR  MEETINGS  OF  THE  FUND'S
 BOARD OF DIRECTORS;
   (C)  ESTABLISH THE PROCEDURE BY WHICH THE FUND SHALL DETERMINE WHETHER
 TO PROVIDE THE BENEFITS DUE PURSUANT TO THIS ARTICLE BY SELF-INSURING OR
 BY PURCHASING INSURANCE;
   (D) ESTABLISH ACCOUNTING AND RECORD-KEEPING PROCEDURES FOR ALL  FINAN-
 CIAL TRANSACTIONS OF THE FUND, ITS AGENTS, AND THE BOARD OF DIRECTORS;
   (E) ESTABLISH A PROCEDURE FOR DETERMINING AND COLLECTING THE APPROPRI-
 ATE AMOUNT OF SURCHARGES AND ASSESSMENTS UNDER THIS ARTICLE;
   (F)  SET FORTH THE PROCEDURES BY WHICH THE FUND MAY EXERCISE THE AUDIT
 RIGHTS GRANTED TO IT UNDER THIS ARTICLE;
   (G) ESTABLISH PROCEDURES TO ENSURE PROMPT AND ACCURATE NOTIFICATION TO
 THE FUND BY ITS MEMBERS OF ALL ACCIDENTS AND INJURIES TO  TRANSPORTATION
 NETWORK  COMPANY DRIVERS, AND PROVIDE FOR FULL REIMBURSEMENT OF THE FUND
 BY ANY TRANSPORTATION NETWORK COMPANY  WHOSE  FAILURE  TO  PROVIDE  SUCH
 NOTIFICATION  RESULTS  IN THE IMPOSITION OF A PENALTY ON THE FUND BY THE
 BOARD; AND
   (H) CONTAIN SUCH ADDITIONAL PROVISIONS AS THE BOARD OF  THE  FUND  MAY
 DEEM  NECESSARY  OR PROPER FOR THE EXECUTION OF THE POWERS AND DUTIES OF
 THE FUND.
   § 160-FFFF. MEMBERSHIP.  1.  THE  MEMBERSHIP  OF  THE  FUND  SHALL  BE
 COMPOSED  OF  ALL  TRANSPORTATION NETWORK COMPANIES. EACH TRANSPORTATION
 NETWORK COMPANY SHALL BE REQUIRED, AS  A  CONDITION  OF  DOING  BUSINESS
 WITHIN  THIS  STATE,  TO PAY THE DEPARTMENT A TEN THOUSAND DOLLAR ANNUAL
 FEE FOR THE PURPOSE OF REGISTERING AS A MEMBER OF THE FUND AND RECEIVING
 A CERTIFICATE OF REGISTRATION.  SUCH SUMS SHALL BE USED BY  THE  DEPART-
 MENT  FOR  THE  ADMINISTRATION OF THIS ARTICLE. THE INITIAL REGISTRATION
 FEE SHALL BE DUE NO LATER THAN NINETY DAYS AFTER THE EFFECTIVE  DATE  OF
 THIS  ARTICLE.  THE  DEPARTMENT  SHALL HAVE THE POWER TO ASSESS AN ADDI-
 TIONAL FEE AGAINST EACH REGISTRANT IN THE AMOUNT NECESSARY TO PROVIDE IT
 WITH SUFFICIENT FUNDS TO COVER ITS EXPENSES  IN  PERFORMING  ITS  DUTIES
 PURSUANT  TO THIS ARTICLE. THE DEPARTMENT SHALL PROVIDE THE FUND WITH AN
 UPDATED LIST OF REGISTRANTS ON A MONTHLY BASIS.

 S. 2008--A                         40                         A. 3008--A
 
   2. ALL TRANSPORTATION NETWORK COMPANIES SHALL BE REQUIRED, AS A CONDI-
 TION OF OBTAINING OR RETAINING THEIR  LICENSE  FROM  THE  DEPARTMENT  OF
 MOTOR VEHICLES PURSUANT TO ARTICLE FORTY-FOUR-B OF THE VEHICLE AND TRAF-
 FIC LAW, TO:
   (A) BE MEMBERS OF THE FUND;
   (B) BE REGISTERED WITH THE DEPARTMENT AS MEMBERS OF THE FUND; AND
   (C)  SUBMIT  TO THE DEPARTMENT OF MOTOR VEHICLES A COPY OF ITS CERTIF-
 ICATE OF REGISTRATION AS PROOF OF SUCH MEMBERSHIP AND REGISTRATION.
   3. WITHIN SIXTY DAYS OF THE EFFECTIVE DATE OF THIS ARTICLE, THE  BOARD
 OF  THE  FUND  SHALL,  ON THE BASIS OF INFORMATION FROM TRADE PAPERS AND
 OTHER SOURCES, IDENTIFY THE TRANSPORTATION NETWORK COMPANIES SUBJECT  TO
 THIS  ARTICLE AND, ON A REGULAR AND ONGOING BASIS, CONFIRM THAT ALL SUCH
 ENTITIES HAVE REGISTERED IN ACCORDANCE  WITH  SUBDIVISION  ONE  OF  THIS
 SECTION.
   4.  THE  FUND SHALL, WITHIN SEVENTY-FIVE DAYS OF THE EFFECTIVE DATE OF
 THIS ARTICLE, PROVIDE TO ITS MEMBERS A COPY  OF  THE  PROPOSED  PLAN  OF
 OPERATION  FILED  WITH  THE  DEPARTMENT  AND SHALL INFORM ITS MEMBERS OF
 THEIR RIGHTS AND DUTIES PURSUANT TO THIS ARTICLE.
   § 160-GGGG. SECURING OF COMPENSATION. 1. WITHIN TWO HUNDRED  TEN  DAYS
 OF THE EFFECTIVE DATE OF THIS ARTICLE, THE FUND SHALL SECURE THE PAYMENT
 OF WORKERS' COMPENSATION TO ALL:  TRANSPORTATION NETWORK COMPANY DRIVERS
 ENTITLED THERETO PURSUANT TO THIS CHAPTER BY EITHER:
   (A)  SELF-INSURING  IN  ACCORDANCE  WITH  SUBDIVISION THREE OF SECTION
 FIFTY OF THE WORKERS' COMPENSATION LAW AND THE RULES PROMULGATED BY  THE
 BOARD PURSUANT TO SUCH SECTION; OR
   (B)  PURCHASING WORKERS' COMPENSATION INSURANCE COVERING, ON A BLANKET
 BASIS, ALL DRIVERS WHO ARE THE FUND'S EMPLOYEES PURSUANT TO SECTION  TWO
 OF THE WORKERS' COMPENSATION LAW.
   2. IF THE FUND INITIALLY SEEKS TO APPLY TO THE BOARD FOR AUTHORIZATION
 TO  SELF-INSURE  PURSUANT  TO  SUBDIVISION THREE OF SECTION FIFTY OF THE
 WORKERS' COMPENSATION LAW, IT SHALL SUBMIT ITS APPLICATION AND  ACCOMPA-
 NYING  PROOF TO THE BOARD WITHIN ONE HUNDRED FIFTY DAYS OF THE EFFECTIVE
 DATE OF THIS ARTICLE.  THE BOARD SHALL NOTIFY THE FUND AND THE SECRETARY
 IN WRITING OF ANY CHANGE IN THE FUND'S STATUS AS A  SELF-INSURER  OR  OF
 ANY  ADDITIONAL  REQUIREMENTS  THAT  THE  BOARD  MAY  DEEM NECESSARY FOR
 CONTINUATION OF SUCH STATUS.
   3. IF THE FUND CHOOSES TO SECURE THE PAYMENT OF WORKERS'  COMPENSATION
 PURSUANT  TO  THE  WORKERS'  COMPENSATION LAW BY PURCHASING AN INSURANCE
 POLICY FROM THE STATE INSURANCE FUND OR A  LICENSED  INSURER,  IT  SHALL
 FILE  WITH  THE DEPARTMENT NO LATER THAN THIRTY DAYS AFTER THE COMMENCE-
 MENT OF A NEW POLICY YEAR A COPY OF THE POLICY IT HAS PURCHASED. IN SUCH
 CASE, THE DEPARTMENT SHALL BE TREATED BY THE INSURER  AS  A  CERTIFICATE
 HOLDER FOR PURPOSES OF RECEIVING NOTICE OF CANCELLATION OF THE POLICY.
   4.  NO PROVISION OF THIS ARTICLE SHALL BE CONSTRUED TO ALTER OR AFFECT
 THE LIABILITY UNDER THE WORKERS' COMPENSATION LAW OF ANY  TRANSPORTATION
 NETWORK  COMPANY  WITH RESPECT TO TRANSPORTATION NETWORK COMPANY DRIVERS
 PRIOR TO THE FUND LIABILITY DATE.
   § 160-HHHH. ASSESSMENT OF FUND MEMBERS. 1. TO PAY:
   (A) THE COSTS OF THE  INSURANCE  PURCHASED  PURSUANT  TO  SECTION  ONE
 HUNDRED SIXTY-GGGG OF THIS ARTICLE; OR
   (B)  THE BENEFITS DUE UNDER THE WORKERS' COMPENSATION LAW IN THE EVENT
 THE FUND SELF-INSURES PURSUANT TO SECTION ONE HUNDRED SIXTY-GGGG OF THIS
 ARTICLE; AND TO PAY
   (C) ITS EXPENSES IN CARRYING OUT ITS  POWERS  AND  DUTIES  UNDER  THIS
 ARTICLE; AND

 S. 2008--A                         41                         A. 3008--A
 
   (D)  ITS  LIABILITIES,  IF  ANY, PURSUANT TO SECTION FOURTEEN-A OF THE
 WORKERS' COMPENSATION LAW; THE FUND SHALL ASCERTAIN BY REASONABLE  ESTI-
 MATE THE TOTAL FUNDING NECESSARY TO CARRY ON ITS OPERATIONS.
   2. BASED UPON ITS ESTIMATION OF OPERATING COSTS, THE FUND SHALL ESTAB-
 LISH A PROPOSED UNIFORM PERCENTAGE SURCHARGE TO BE ADDED TO:
   (A)  THE INVOICES OR BILLINGS FOR COVERED SERVICES SENT TO TRANSPORTA-
 TION NETWORK COMPANY PASSENGERS BY A MEMBER OR ITS AGENT; AND
   (B) THE CREDIT PAYMENTS FOR COVERED SERVICES RECEIVED BY A  MEMBER  OR
 ITS  AGENT.  THE  PROPOSED  SURCHARGE SHALL BECOME EFFECTIVE THIRTY DAYS
 AFTER BEING FILED WITH THE DEPARTMENT.
   NOTWITHSTANDING THE FOREGOING, BEGINNING ON THE FIRST DAY OF THE FIRST
 CALENDAR MONTH THAT SHALL COMMENCE AT LEAST SEVENTY-FIVE DAYS AFTER  THE
 EFFECTIVE DATE OF THIS ARTICLE, AND UNTIL THE FUND SHALL HAVE FILED WITH
 THE  DEPARTMENT  A  DIFFERENT  SURCHARGE AMOUNT, A TWO PERCENT SURCHARGE
 SHALL BE ADDED TO EVERY INVOICE OR BILLING FOR COVERED SERVICES SENT  BY
 A  MEMBER OR ITS AGENT TO, AND EVERY CREDIT PAYMENT FOR COVERED SERVICES
 RECEIVED BY A MEMBER OR ITS AGENT FROM, TRANSPORTATION  NETWORK  COMPANY
 PASSENGERS.  EACH  MEMBER OF THE FUND SHALL BE LIABLE FOR PAYMENT TO THE
 FUND OF AN AMOUNT EQUAL TO THE PRODUCT OF:
   (A) THE PERCENTAGES SURCHARGE DUE PURSUANT TO THIS ARTICLE, DIVIDED BY
 ONE HUNDRED; AND
   (B) ALL PAYMENTS RECEIVED BY THE  MEMBER  OR  ITS  AGENT  FOR  COVERED
 SERVICES  PREARRANGED  THROUGH THE MEMBER'S DIGITAL NETWORK, AS PROVIDED
 IN THIS SUBDIVISION, REGARDLESS OF WHETHER THE SURCHARGE WAS  BILLED  OR
 CHARGED.
   3. THE DEPARTMENT OF MOTOR VEHICLES OR THE DEPARTMENT SHALL NOT ISSUE,
 CONTINUE OR RENEW ANY LICENSE OR REGISTRATION CERTIFICATE FOR THE OPERA-
 TION  OF  ANY  TRANSPORTATION NETWORK COMPANY UNLESS SUCH TRANSPORTATION
 NETWORK COMPANY, AS A CONDITION OF MAINTAINING ITS LICENSE AND/OR REGIS-
 TRATION CERTIFICATE, ADDS THE SURCHARGE  REQUIRED  BY  THIS  SECTION  TO
 EVERY INVOICE AND BILLING FOR COVERED SERVICES SENT TO, AND EVERY CREDIT
 PAYMENT  FOR  COVERED SERVICES RECEIVED FROM, ITS TRANSPORTATION NETWORK
 COMPANY PASSENGERS AND PAYS TO THE FUND NO LATER THAN THE FIFTEENTH  DAY
 OF EACH MONTH THE TOTAL SURCHARGES DUE PURSUANT TO THIS ARTICLE.
   4.  EACH  TRANSPORTATION NETWORK COMPANY SHALL SUBMIT TO THE FUND WITH
 ITS MONTHLY PAYMENT A DETAILED ACCOUNTING OF THE  CHARGE  AND  SURCHARGE
 AMOUNTS  CHARGED  TO  AND  RECEIVED  FROM TRANSPORTATION NETWORK COMPANY
 PASSENGERS FOR COVERED SERVICES DURING THE PREVIOUS MONTH.    THE  FIRST
 SUCH  PAYMENT  AND  ACCOUNTING  SHALL BE DUE ON THE FIFTEENTH DAY OF THE
 MONTH FOLLOWING THE IMPOSITION OF THE SURCHARGE PURSUANT TO  SUBDIVISION
 TWO OF THIS SECTION.
   5. SHOULD THE FUND DETERMINE THAT THE SURCHARGE AMOUNTS THAT HAVE BEEN
 PAID TO IT ARE INADEQUATE TO MEET ITS OBLIGATIONS UNDER THIS ARTICLE, IT
 SHALL DETERMINE THE SURCHARGE RATE REQUIRED TO ELIMINATE SUCH DEFICIENCY
 AND  SHALL  FILE  SUCH  REVISED  SURCHARGE  RATE  WITH THE DEPARTMENT IN
 ACCORDANCE WITH SUBDIVISION TWO OF THIS SECTION.  COMMENCING THIRTY DAYS
 AFTER SUCH FILING, THE MEMBERS OF THE  FUND  SHALL  CHARGE  THE  REVISED
 SURCHARGE  RATE AND SHALL PAY TO THE FUND THE TOTAL AMOUNT OF SURCHARGES
 IN ACCORDANCE WITH THIS ARTICLE.
   6. FOR THE PURPOSES OF CONDUCTING PAYROLL AUDITS, AN INSURER PROVIDING
 COVERAGE TO THE FUND PURSUANT TO THIS ARTICLE MAY TREAT THE  MEMBERS  OF
 THE  FUND  AS POLICYHOLDERS. MEMBERS OF THE FUND SHALL BE REQUIRED TO DO
 ALL THINGS REQUIRED OF EMPLOYERS PURSUANT TO SECTION ONE  HUNDRED  THIR-
 TY-ONE  OF  THE  WORKERS'  COMPENSATION  LAW,  AND  SHALL BE REQUIRED TO
 PROVIDE THE BOARD ACCESS TO ANY  AND  ALL  RECORDS  AND  INFORMATION  AS
 OTHERWISE  REQUIRED BY THE WORKERS' COMPENSATION LAW AND THE REGULATIONS

 S. 2008--A                         42                         A. 3008--A
 
 PROMULGATED THEREUNDER, AND SHALL BE LIABLE AS PROVIDED IN THE  WORKERS'
 COMPENSATION LAW FOR ANY FAILURE SO TO DO.
   § 160-IIII. CERTIFIED FINANCIAL STATEMENTS. NO LATER THAN MAY FIRST OF
 EACH  YEAR, THE FUND SHALL SUBMIT TO THE GOVERNOR AND LEGISLATURE CERTI-
 FIED FINANCIAL STATEMENTS PREPARED IN ACCORDANCE WITH GENERALLY ACCEPTED
 ACCOUNTING PRINCIPLES BY A CERTIFIED PUBLIC ACCOUNTANT. THE  MEMBERS  OF
 THE  FUND  SHALL  BE REQUIRED ON AND AFTER JANUARY FIRST OF EACH YEAR TO
 AFFORD THE CERTIFIED PUBLIC ACCOUNTANT CONVENIENT ACCESS AT ALL  REASON-
 ABLE HOURS TO ALL BOOKS, RECORDS, AND OTHER DOCUMENTS, INCLUDING BUT NOT
 LIMITED TO INVOICES AND VOUCHERS, NECESSARY OR USEFUL IN THE PREPARATION
 OF  SUCH  STATEMENTS  AND  IN THE VERIFICATION OF THE MONTHLY STATEMENTS
 SUBMITTED TO THE FUND.
   § 160-JJJJ. EXEMPTION FROM  TAXES.  THE  FUND  SHALL  BE  EXEMPT  FROM
 PAYMENT  OF ALL FEES AND TAXES LEVIED BY THIS STATE OR ANY OF ITS SUBDI-
 VISIONS, EXCEPT TAXES LEVIED ON REAL PROPERTY.
   § 160-KKKK. LIABILITY INSURANCE. THE FUND SHALL PURCHASE  SUCH  INSUR-
 ANCE  AS  IS  NECESSARY  TO  PROTECT THE FUND AND ANY DIRECTOR, OFFICER,
 AGENT, OR OTHER REPRESENTATIVE FROM LIABILITY FOR  THEIR  ADMINISTRATION
 OF  THE  FUND, AND SHALL, TO THE EXTENT PERMITTED BY LAW, INDEMNIFY SUCH
 DIRECTORS, OFFICERS, AGENTS, OR  OTHER  REPRESENTATIVES  AND  HOLD  THEM
 HARMLESS FROM LIABILITY FOR THEIR ADMINISTRATION OF THE FUND.
   § 160-LLLL. REGULATIONS. THE DEPARTMENT SHALL ADOPT REGULATIONS IMPLE-
 MENTING THE PROVISIONS OF THIS ARTICLE, INCLUDING THE CONDUCT AND NOTICE
 OF  HEARINGS  HELD  PURSUANT  TO  SECTION ONE HUNDRED SIXTY-MMMM OF THIS
 ARTICLE.
   § 160-MMMM. VIOLATIONS. 1. IF THE SECRETARY BELIEVES  A  VIOLATION  OF
 THIS ARTICLE BY A FUND MEMBER MAY HAVE OCCURRED, UPON NOTICE TO THE FUND
 MEMBER,  A  HEARING  SHALL BE HELD BY THE SECRETARY TO DETERMINE WHETHER
 SUCH VIOLATION OCCURRED.
   2. EXCEPT AS OTHERWISE PROVIDED IN THIS SECTION, A FUND MEMBER THAT IS
 FOUND, AFTER A HEARING HELD PURSUANT TO SUBDIVISION ONE OF THIS SECTION,
 TO HAVE VIOLATED A PROVISION OF THIS ARTICLE, OR A RULE  PROMULGATED  BY
 THE  DEPARTMENT  PURSUANT TO THIS ARTICLE, SHALL BE LIABLE FOR A FINE IN
 AN AMOUNT NOT TO EXCEED TEN THOUSAND DOLLARS PER VIOLATION.
   3. WITHIN TWENTY DAYS AFTER ISSUANCE OF A DETERMINATION ADVERSE  TO  A
 TRANSPORTATION  NETWORK  COMPANY  FOLLOWING  A  HEARING HELD PURSUANT TO
 SUBDIVISION ONE OF THIS SECTION, AN APPEAL MAY BE TAKEN THEREFROM TO THE
 APPELLATE DIVISION OF  THE  SUPREME  COURT,  THIRD  DEPARTMENT,  BY  THE
 AGGRIEVED TRANSPORTATION NETWORK COMPANY.
   §  12.    Subdivision 1 of section 171-a of the tax law, as amended by
 chapter 90 of the laws of 2014, is amended to read as follows:
   1. All taxes, interest, penalties and fees collected  or  received  by
 the commissioner or the commissioner's duly authorized agent under arti-
 cles nine (except section one hundred eighty-two-a thereof and except as
 otherwise  provided  in  section  two  hundred  five  thereof),  nine-A,
 twelve-A (except as otherwise provided in section  two  hundred  eighty-
 four-d  thereof),  thirteen, thirteen-A (except as otherwise provided in
 section  three  hundred  twelve  thereof),  eighteen,  nineteen,  twenty
 (except  as otherwise provided in section four hundred eighty-two there-
 of), twenty-B, twenty-one, twenty-two, twenty-six, [twenty-six-B,] twen-
 ty-eight (except as otherwise provided in section eleven hundred two  or
 eleven  hundred three thereof), twenty-eight-A, TWENTY-NINE-B (EXCEPT AS
 OTHERWISE PROVIDED IN  SECTION  TWELVE  HUNDRED  NINETY-EIGHT  THEREOF),
 thirty-one  (except  as  otherwise  provided in section fourteen hundred
 twenty-one thereof), thirty-three and  thirty-three-A  of  this  chapter
 shall  be  deposited  daily  in one account with such responsible banks,

 S. 2008--A                         43                         A. 3008--A
 
 banking houses or trust companies as may  be  designated  by  the  comp-
 troller, to the credit of the comptroller. Such an account may be estab-
 lished  in one or more of such depositories. Such deposits shall be kept
 separate  and  apart from all other money in the possession of the comp-
 troller. The comptroller shall require adequate security from  all  such
 depositories.  Of  the  total  revenue  collected or received under such
 articles of this chapter, the comptroller  shall  retain  in  the  comp-
 troller's  hands  such  amount  as  the commissioner may determine to be
 necessary for refunds or reimbursements  under  such  articles  of  this
 chapter  out  of  which  amount the comptroller shall pay any refunds or
 reimbursements to which taxpayers shall be entitled under the provisions
 of such articles of this chapter. The commissioner and  the  comptroller
 shall  maintain  a  system  of  accounts  showing  the amount of revenue
 collected or received from each of the taxes imposed by  such  articles.
 The  comptroller,  after  reserving  the  amount  to pay such refunds or
 reimbursements, shall, on or before the tenth day  of  each  month,  pay
 into  the  state  treasury to the credit of the general fund all revenue
 deposited under this section during the  preceding  calendar  month  and
 remaining  to the comptroller's credit on the last day of such preceding
 month, (i) except that the comptroller shall pay to the state department
 of social services that amount of overpayments of tax imposed by article
 twenty-two of this chapter and the interest  on  such  amount  which  is
 certified  to  the  comptroller  by the commissioner as the amount to be
 credited against past-due support pursuant to subdivision six of section
 one hundred seventy-one-c of this article,  (ii)  and  except  that  the
 comptroller  shall  pay  to the New York state higher education services
 corporation and the state university of New York or the city  university
 of  New  York respectively that amount of overpayments of tax imposed by
 article twenty-two of this chapter and the interest on such amount which
 is certified to the comptroller by the commissioner as the amount to  be
 credited  against  the  amount  of  defaults  in repayment of guaranteed
 student loans and state university loans or city university loans pursu-
 ant to subdivision five of section one hundred seventy-one-d and  subdi-
 vision  six  of section one hundred seventy-one-e of this article, (iii)
 and except further that, notwithstanding any law, the comptroller  shall
 credit   to   the   revenue   arrearage  account,  pursuant  to  section
 ninety-one-a of the state finance law, that amount of overpayment of tax
 imposed by article nine, nine-A, twenty-two, thirty, thirty-A,  thirty-B
 or  thirty-three  of  this  chapter,  and any interest thereon, which is
 certified to the comptroller by the commissioner as  the  amount  to  be
 credited  against  a  past-due  legally enforceable debt owed to a state
 agency pursuant to paragraph (a)  of  subdivision  six  of  section  one
 hundred seventy-one-f of this article, provided, however, he shall cred-
 it  to the special offset fiduciary account, pursuant to section ninety-
 one-c of the state finance law, any such amount creditable as a  liabil-
 ity  as  set  forth  in  paragraph (b) of subdivision six of section one
 hundred seventy-one-f of this article, (iv) and except further that  the
 comptroller shall pay to the city of New York that amount of overpayment
 of  tax  imposed  by article nine, nine-A, twenty-two, thirty, thirty-A,
 thirty-B or thirty-three of this chapter and any interest  thereon  that
 is  certified to the comptroller by the commissioner as the amount to be
 credited against city of New York tax warrant judgment debt pursuant  to
 section  one  hundred  seventy-one-l  of  this  article,  (v) and except
 further that the comptroller shall pay to a  non-obligated  spouse  that
 amount of overpayment of tax imposed by article twenty-two of this chap-
 ter  and the interest on such amount which has been credited pursuant to

 S. 2008--A                         44                         A. 3008--A
 
 section  one  hundred  seventy-one-c,  one  hundred  seventy-one-d,  one
 hundred  seventy-one-e,  one hundred seventy-one-f or one hundred seven-
 ty-one-l of this article and which is certified to  the  comptroller  by
 the commissioner as the amount due such non-obligated spouse pursuant to
 paragraph six of subsection (b) of section six hundred fifty-one of this
 chapter;  and  (vi) the comptroller shall deduct a like amount which the
 comptroller shall pay into the treasury to the  credit  of  the  general
 fund  from  amounts  subsequently  payable  to  the department of social
 services, the state university of New York, the city university  of  New
 York,  or  the  higher  education  services  corporation, or the revenue
 arrearage account  or  special  offset  fiduciary  account  pursuant  to
 section  ninety-one-a  or  ninety-one-c of the state finance law, as the
 case may be, whichever had been credited the amount originally  withheld
 from  such  overpayment,  and  (vii)  with respect to amounts originally
 withheld from such overpayment pursuant to section one hundred  seventy-
 one-l  of this article and paid to the city of New York, the comptroller
 shall collect a like amount from the city of New York.
   § 13. Subdivision 1 of section 171-a of the tax  law,  as  amended  by
 section  54  of  part A of chapter 59 of the laws of 2014, is amended to
 read as follows:
   1. All taxes, interest, penalties and fees collected  or  received  by
 the commissioner or the commissioner's duly authorized agent under arti-
 cles nine (except section one hundred eighty-two-a thereof and except as
 otherwise  provided  in  section  two  hundred  five  thereof),  nine-A,
 twelve-A (except as otherwise provided in section  two  hundred  eighty-
 four-d  thereof),  thirteen, thirteen-A (except as otherwise provided in
 section  three  hundred  twelve  thereof),  eighteen,  nineteen,  twenty
 (except  as otherwise provided in section four hundred eighty-two there-
 of), twenty-one, twenty-two,  twenty-six,  [twenty-six-B,]  twenty-eight
 (except  as  otherwise  provided in section eleven hundred two or eleven
 hundred three thereof), twenty-eight-A, TWENTY-NINE-B (EXCEPT AS  OTHER-
 WISE  PROVIDED  IN SECTION TWELVE HUNDRED NINETY-EIGHT THEREOF), thirty-
 one (except as otherwise provided in section fourteen hundred twenty-one
 thereof), thirty-three and  thirty-three-A  of  this  chapter  shall  be
 deposited  daily  in  one  account  with such responsible banks, banking
 houses or trust companies as may be designated by  the  comptroller,  to
 the credit of the comptroller. Such an account may be established in one
 or  more  of such depositories. Such deposits shall be kept separate and
 apart from all other money in the possession  of  the  comptroller.  The
 comptroller  shall require adequate security from all such depositories.
 Of the total revenue collected or received under such articles  of  this
 chapter,  the  comptroller  shall retain in the comptroller's hands such
 amount as the commissioner may determine to be necessary for refunds  or
 reimbursements  under  such articles of this chapter out of which amount
 the comptroller shall pay any refunds or reimbursements to which taxpay-
 ers shall be entitled under the provisions  of  such  articles  of  this
 chapter. The commissioner and the comptroller shall maintain a system of
 accounts  showing  the amount of revenue collected or received from each
 of the taxes imposed by such articles. The comptroller, after  reserving
 the  amount  to  pay such refunds or reimbursements, shall, on or before
 the tenth day of each month, pay into the state treasury to  the  credit
 of  the general fund all revenue deposited under this section during the
 preceding calendar month and remaining to the  comptroller's  credit  on
 the  last  day  of such preceding month, (i) except that the comptroller
 shall pay to the state department of  social  services  that  amount  of
 overpayments  of  tax  imposed by article twenty-two of this chapter and

 S. 2008--A                         45                         A. 3008--A
 
 the interest on such amount which is certified to the comptroller by the
 commissioner as the amount  to  be  credited  against  past-due  support
 pursuant to subdivision six of section one hundred seventy-one-c of this
 article,  (ii) and except that the comptroller shall pay to the New York
 state higher education services corporation and the state university  of
 New  York or the city university of New York respectively that amount of
 overpayments of tax imposed by article twenty-two of  this  chapter  and
 the interest on such amount which is certified to the comptroller by the
 commissioner as the amount to be credited against the amount of defaults
 in  repayment  of guaranteed student loans and state university loans or
 city university loans  pursuant  to  subdivision  five  of  section  one
 hundred  seventy-one-d and subdivision six of section one hundred seven-
 ty-one-e of this article, (iii) and except further that, notwithstanding
 any law, the comptroller shall credit to the revenue arrearage  account,
 pursuant  to  section ninety-one-a of the state finance law, that amount
 of overpayment of tax imposed by article nine, nine-A, twenty-two, thir-
 ty, thirty-A, thirty-B or thirty-three of this chapter, and any interest
 thereon, which is certified to the comptroller by  the  commissioner  as
 the  amount  to  be credited against a past-due legally enforceable debt
 owed to a state agency pursuant to paragraph (a) of subdivision  six  of
 section one hundred seventy-one-f of this article, provided, however, he
 shall  credit  to  the  special  offset  fiduciary  account, pursuant to
 section ninety-one-c of the state finance law, any such amount  credita-
 ble  as  a liability as set forth in paragraph (b) of subdivision six of
 section one hundred seventy-one-f  of  this  article,  (iv)  and  except
 further  that  the  comptroller  shall  pay to the city of New York that
 amount of overpayment of tax imposed by article  nine,  nine-A,  twenty-
 two,  thirty, thirty-A, thirty-B or thirty-three of this chapter and any
 interest thereon that is certified to the comptroller by the commission-
 er as the amount to be credited against city of  New  York  tax  warrant
 judgment  debt  pursuant  to  section  one hundred seventy-one-l of this
 article, (v) and except further that the  comptroller  shall  pay  to  a
 non-obligated  spouse that amount of overpayment of tax imposed by arti-
 cle twenty-two of this chapter and the interest on such amount which has
 been credited pursuant to section one hundred seventy-one-c, one hundred
 seventy-one-d, one hundred seventy-one-e, one hundred  seventy-one-f  or
 one  hundred seventy-one-l of this article and which is certified to the
 comptroller by the commissioner as the  amount  due  such  non-obligated
 spouse  pursuant  to  paragraph  six  of  subsection  (b) of section six
 hundred fifty-one of this chapter; and (vi) the comptroller shall deduct
 a like amount which the comptroller shall pay into the treasury  to  the
 credit  of  the  general  fund  from amounts subsequently payable to the
 department of social services, the state university  of  New  York,  the
 city  university  of  New  York, or the higher education services corpo-
 ration, or the revenue arrearage account  or  special  offset  fiduciary
 account  pursuant  to  section ninety-one-a or ninety-one-c of the state
 finance law, as the case may be, whichever had been credited the  amount
 originally  withheld  from  such  overpayment, and (vii) with respect to
 amounts originally withheld from such overpayment  pursuant  to  section
 one  hundred  seventy-one-l  of this article and paid to the city of New
 York, the comptroller shall collect a like amount from the city  of  New
 York.
   §  14. Paragraph 34 of subdivision (b) of section 1101 of the tax law,
 as amended by section 1 of part WW of chapter 57 of the laws of 2010, is
 amended to read as follows:

 S. 2008--A                         46                         A. 3008--A
 
   (34) Transportation service. The service of transporting, carrying  or
 conveying  a  person  or  persons by livery service; whether to a single
 destination or to multiple destinations; and  whether  the  compensation
 paid  by  or  on behalf of the passenger is based on mileage, trip, time
 consumed  or  any  other  basis.  A service that begins and ends in this
 state is deemed intra-state even if it passes outside this state  during
 a  portion of the trip. However, transportation service does not include
 transportation of persons in connection  with  funerals.  Transportation
 service  includes  transporting,  carrying, or conveying property of the
 person being transported, whether owned  by  or  in  the  care  of  such
 person.  NOTWITHSTANDING THE FOREGOING, TRANSPORTATION SERVICE SHALL NOT
 INCLUDE  A  TNC  PREARRANGED  TRIP,  AS  THAT TERM IS DEFINED IN ARTICLE
 FORTY-FOUR-B OF THE VEHICLE AND TRAFFIC LAW,  THAT  IS  SUBJECT  TO  TAX
 UNDER  ARTICLE  TWENTY-NINE-B  OF  THIS  CHAPTER. In addition to what is
 included in the definition of  "receipt"  in  paragraph  three  of  this
 subdivision, receipts from the sale of transportation service subject to
 tax  include  any handling, carrying, baggage, booking service, adminis-
 trative, mark-up, additional, or other charge, of any  nature,  made  in
 conjunction  with  the  transportation  service.  Livery  service  means
 service provided by limousine, black car or other motor vehicle, with  a
 driver, but excluding (i) a taxicab, (ii) a bus, and (iii), in a city of
 one  million  or  more  in this state, an affiliated livery vehicle, and
 excluding any scheduled public service. Limousine means a vehicle with a
 seating capacity of up to fourteen persons, excluding the driver.  Black
 car means a for-hire vehicle dispatched from a central facility. "Affil-
 iated  livery  vehicle"  means  a  for-hire motor vehicle with a seating
 capacity of up to six persons, including the driver, other than a  black
 car or luxury limousine, that is authorized and licensed by the taxi and
 limousine  commission  of a city of one million or more to be dispatched
 by a base station located in such a city and regulated by such taxi  and
 limousine  commission; and the charges for service provided by an affil-
 iated livery vehicle are on the basis of flat rate,  time,  mileage,  or
 zones and not on a garage to garage basis.
   §  15.  The tax law is amended by adding a new article 29-B to read as
 follows:
                               ARTICLE 29-B
          STATE ASSESSMENT FEE ON TRANSPORTATION NETWORK COMPANY
                             PREARRANGED TRIPS
 SECTION 1291. DEFINITIONS.
         1292. IMPOSITION.
         1293. PRESUMPTION.
         1294. RETURNS AND PAYMENT OF STATE ASSESSMENT FEE.
         1295. RECORDS TO BE KEPT.
         1296. SECRECY OF RETURNS AND REPORTS.
         1297. PRACTICE AND PROCEDURE.
         1298. DEPOSIT AND DISPOSITION OF REVENUE.
   § 1291. DEFINITIONS. (A) "PERSON" MEANS  AN  INDIVIDUAL,  PARTNERSHIP,
 LIMITED  LIABILITY  COMPANY,  SOCIETY, ASSOCIATION, JOINT STOCK COMPANY,
 CORPORATION, ESTATE, RECEIVER, TRUSTEE, ASSIGNEE, REFEREE OR  ANY  OTHER
 PERSON  ACTING  IN  A  FIDUCIARY  OR  REPRESENTATIVE  CAPACITY,  WHETHER
 APPOINTED BY A COURT OR OTHERWISE, ANY COMBINATION  OF  INDIVIDUALS  AND
 ANY OTHER FORM OF UNINCORPORATED ENTERPRISE OWNED OR CONDUCTED BY TWO OR
 MORE PERSONS.
   (B)  "CITY" MEANS A CITY OF A MILLION OR MORE LOCATED IN THE METROPOL-
 ITAN COMMUTER TRANSPORTATION  DISTRICT  ESTABLISHED  BY  SECTION  TWELVE
 HUNDRED SIXTY-TWO OF THE PUBLIC AUTHORITIES LAW.

 S. 2008--A                         47                         A. 3008--A
 
   (C)  "TRANSPORTATION  NETWORK  COMPANY"  OR  "TNC" SHALL HAVE THE SAME
 MEANING AS THE TERM IS DEFINED IN ARTICLE FORTY-FOUR-B  OF  THE  VEHICLE
 AND TRAFFIC LAW.
   (D)  "TNC PREARRANGED TRIP" SHALL HAVE THE SAME MEANING AS THE TERM IS
 DEFINED IN ARTICLE FORTY-FOUR-B OF THE VEHICLE AND TRAFFIC LAW.
   (E) "TNC DRIVER" SHALL HAVE THE SAME MEANING AS THE TERM IS DEFINED IN
 ARTICLE FORTY-FOUR-B OF THE VEHICLE AND TRAFFIC LAW.
   (F) "TNC VEHICLE" SHALL HAVE THE SAME MEANING AS THE TERM  IS  DEFINED
 IN ARTICLE FORTY-FOUR-B OF THE VEHICLE AND TRAFFIC LAW.
   (G)  "GROSS TRIP FARE" MEANS THE SUM OF THE BASE FARE CHARGE, DISTANCE
 CHARGE AND TIME CHARGE FOR A COMPLETE TNC PREARRANGED TRIP AT  THE  RATE
 PUBLISHED BY THE TNC BY OR THROUGH WHICH SUCH TRIP IS ARRANGED.
   §  1292.  IMPOSITION.  THERE  IS  HEREBY  IMPOSED ON EVERY TNC A STATE
 ASSESSMENT FEE OF 5.5% OF THE GROSS TRIP FARE OF EVERY  TNC  PREARRANGED
 TRIP  PROVIDED BY SUCH TNC THAT ORIGINATES ANYWHERE IN THE STATE OUTSIDE
 THE CITY AND TERMINATES ANYWHERE IN THIS STATE.
   § 1293. PRESUMPTION. FOR THE PURPOSE OF THE PROPER  ADMINISTRATION  OF
 THIS  ARTICLE AND TO PREVENT EVASION OF THE STATE ASSESSMENT FEE IMPOSED
 BY THIS ARTICLE, IT SHALL BE PRESUMED THAT EVERY  TNC  PREARRANGED  TRIP
 THAT ORIGINATES ANYWHERE IN THE STATE OUTSIDE THE CITY IS SUBJECT TO THE
 STATE  ASSESSMENT FEE. THIS PRESUMPTION SHALL PREVAIL UNTIL THE CONTRARY
 IS PROVEN BY THE PERSON LIABLE FOR THE FEE.
   § 1294. RETURNS AND PAYMENT OF STATE ASSESSMENT FEE. (A) EVERY  PERSON
 LIABLE FOR THE STATE ASSESSMENT FEE IMPOSED BY THIS ARTICLE SHALL FILE A
 RETURN  ON A CALENDAR-QUARTERLY BASIS WITH THE COMMISSIONER. EACH RETURN
 SHALL SHOW THE NUMBER OF TNC PREARRANGED TRIPS IN THE QUARTER FOR  WHICH
 THE RETURN IS FILED, TOGETHER WITH SUCH OTHER INFORMATION AS THE COMMIS-
 SIONER MAY REQUIRE.  THE RETURNS REQUIRED BY THIS SECTION SHALL BE FILED
 WITHIN  THIRTY DAYS AFTER THE END OF THE QUARTERLY PERIOD COVERED THERE-
 BY. IF THE COMMISSIONER DEEMS  IT  NECESSARY  IN  ORDER  TO  ENSURE  THE
 PAYMENT OF THE STATE ASSESSMENT FEE IMPOSED BY THIS ARTICLE, THE COMMIS-
 SIONER  MAY  REQUIRE  RETURNS  TO  BE  MADE  FOR  SHORTER  PERIODS  THAN
 PRESCRIBED BY THE FOREGOING PROVISIONS OF THIS SECTION,  AND  UPON  SUCH
 DATES  AS  THE  COMMISSIONER  MAY  SPECIFY. THE FORM OF RETURNS SHALL BE
 PRESCRIBED BY THE COMMISSIONER AND SHALL CONTAIN SUCH INFORMATION AS THE
 COMMISSIONER MAY DEEM NECESSARY FOR THE PROPER  ADMINISTRATION  OF  THIS
 ARTICLE. THE COMMISSIONER MAY REQUIRE AMENDED RETURNS TO BE FILED WITHIN
 THIRTY DAYS AFTER NOTICE AND TO CONTAIN THE INFORMATION SPECIFIED IN THE
 NOTICE. THE COMMISSIONER MAY REQUIRE THAT THE RETURNS BE FILED ELECTRON-
 ICALLY.
   (B)  EVERY  PERSON REQUIRED TO FILE A RETURN UNDER THIS ARTICLE SHALL,
 AT THE TIME OF FILING SUCH RETURN, PAY TO THE COMMISSIONER THE TOTAL  OF
 ALL STATE ASSESSMENT FEES ON THE CORRECT NUMBER OF TRIPS SUBJECT TO SUCH
 FEE  UNDER  THIS  ARTICLE. THE AMOUNT SO PAYABLE TO THE COMMISSIONER FOR
 THE PERIOD FOR WHICH A RETURN IS REQUIRED TO BE FILED SHALL BE  DUE  AND
 PAYABLE  TO THE COMMISSIONER ON THE DATE SPECIFIED FOR THE FILING OF THE
 RETURN FOR SUCH PERIOD, WITHOUT REGARD TO WHETHER A RETURN IS  FILED  OR
 WHETHER  THE  RETURN THAT IS FILED CORRECTLY SHOWS THE CORRECT NUMBER OF
 TRIPS OR THE AMOUNT OF FEES DUE THEREON. THE  COMMISSIONER  MAY  REQUIRE
 THAT THE FEE BE PAID ELECTRONICALLY.
   §  1295. RECORDS TO BE KEPT. EVERY PERSON LIABLE FOR THE STATE ASSESS-
 MENT FEE IMPOSED BY THIS ARTICLE SHALL KEEP:
   (A) RECORDS OF EVERY TNC PREARRANGED TRIP SUBJECT TO THE STATE ASSESS-
 MENT FEE UNDER THIS ARTICLE, AND OF ALL AMOUNTS  PAID,  CHARGED  OR  DUE
 THEREON, IN SUCH FORM AS THE COMMISSIONER MAY REQUIRE;

 S. 2008--A                         48                         A. 3008--A
 
   (B)  TRUE  AND COMPLETE COPIES OF ANY RECORDS REQUIRED TO BE KEPT BY A
 STATE AGENCY THAT IS AUTHORIZED TO PERMIT OR REGULATE A TNC; AND
   (C) SUCH OTHER RECORDS AND INFORMATION AS THE COMMISSIONER MAY REQUIRE
 TO PERFORM HIS OR HER DUTIES UNDER THIS ARTICLE.
   §  1296. SECRECY OF RETURNS AND REPORTS. (A) EXCEPT IN ACCORDANCE WITH
 PROPER JUDICIAL ORDER OR AS OTHERWISE  PROVIDED  BY  LAW,  IT  SHALL  BE
 UNLAWFUL  FOR  THE  COMMISSIONER, ANY OFFICER OR EMPLOYEE OF THE DEPART-
 MENT, ANY PERSON ENGAGED OR RETAINED BY THE DEPARTMENT ON AN INDEPENDENT
 CONTRACT BASIS, OR ANY PERSON WHO IN ANY MANNER MAY ACQUIRE KNOWLEDGE OF
 THE CONTENTS OF A RETURN OR REPORT FILED WITH THE COMMISSIONER  PURSUANT
 TO  THIS ARTICLE, TO DIVULGE OR MAKE KNOWN IN ANY MANNER ANY PARTICULARS
 SET FORTH OR DISCLOSED IN ANY SUCH  RETURN  OR  REPORT.    THE  OFFICERS
 CHARGED  WITH  THE  CUSTODY  OF  SUCH  RETURNS  AND REPORTS SHALL NOT BE
 REQUIRED TO PRODUCE ANY OF THEM OR EVIDENCE  OF  ANYTHING  CONTAINED  IN
 THEM  IN  ANY ACTION OR PROCEEDING IN ANY COURT, EXCEPT ON BEHALF OF THE
 COMMISSIONER IN AN ACTION OR PROCEEDING UNDER  THE  PROVISIONS  OF  THIS
 CHAPTER OR IN ANY OTHER ACTION OR PROCEEDING INVOLVING THE COLLECTION OF
 A  STATE ASSESSMENT FEE DUE UNDER THIS ARTICLE TO WHICH THE STATE OR THE
 COMMISSIONER IS A PARTY OR A CLAIMANT, OR ON BEHALF OF ANY PARTY TO  ANY
 ACTION,  PROCEEDING OR HEARING UNDER THE PROVISIONS OF THIS ARTICLE WHEN
 THE RETURNS, REPORTS OR FACTS SHOWN THEREBY  ARE  DIRECTLY  INVOLVED  IN
 SUCH ACTION, PROCEEDING OR HEARING, IN ANY OF WHICH EVENTS THE COURT, OR
 IN  THE  CASE  OF A HEARING, THE DIVISION OF TAX APPEALS MAY REQUIRE THE
 PRODUCTION OF, AND MAY ADMIT INTO EVIDENCE, SO  MUCH  OF  SAID  RETURNS,
 REPORTS  OR  OF THE FACTS SHOWN THEREBY, AS ARE PERTINENT TO THE ACTION,
 PROCEEDING OR HEARING AND NO MORE. THE COMMISSIONER OR THE  DIVISION  OF
 TAX  APPEALS MAY, NEVERTHELESS, PUBLISH A COPY OR A SUMMARY OF ANY DECI-
 SION RENDERED AFTER A HEARING REQUIRED BY THIS ARTICLE.  NOTHING IN THIS
 SECTION SHALL BE CONSTRUED TO PROHIBIT THE DELIVERY TO A PERSON WHO  HAS
 FILED  A  RETURN OR REPORT OR TO SUCH PERSON'S DULY AUTHORIZED REPRESEN-
 TATIVE OF A CERTIFIED COPY OF ANY RETURN OR REPORT FILED  IN  CONNECTION
 WITH  SUCH  PERSON'S  STATE  ASSESSMENT  FEE. NOR SHALL ANYTHING IN THIS
 SECTION BE CONSTRUED TO PROHIBIT THE PUBLICATION OF STATISTICS SO  CLAS-
 SIFIED AS TO PREVENT THE IDENTIFICATION OF PARTICULAR RETURNS OR REPORTS
 AND  THE  ITEMS  THEREOF,  OR  THE INSPECTION BY THE ATTORNEY GENERAL OR
 OTHER LEGAL REPRESENTATIVES OF THE STATE OF THE RETURN OR REPORT OF  ANY
 PERSON  REQUIRED  TO PAY THE STATE ASSESSMENT FEE WHO SHALL BRING ACTION
 TO REVIEW THE STATE ASSESSMENT FEE BASED THEREON,  OR  AGAINST  WHOM  AN
 ACTION  OR  PROCEEDING  UNDER  THIS  CHAPTER HAS BEEN RECOMMENDED BY THE
 COMMISSIONER OR THE ATTORNEY GENERAL OR  HAS  BEEN  INSTITUTED,  OR  THE
 INSPECTION  OF THE RETURNS OR REPORTS REQUIRED UNDER THIS ARTICLE BY THE
 COMPTROLLER OR DULY DESIGNATED OFFICER OR EMPLOYEE OF THE STATE  DEPART-
 MENT  OF AUDIT AND CONTROL, FOR PURPOSES OF THE AUDIT OF A REFUND OF ANY
 STATE ASSESSMENT FEE PAID BY A PERSON REQUIRED TO PAY THE STATE  ASSESS-
 MENT  FEE UNDER THIS ARTICLE. PROVIDED, FURTHER, NOTHING IN THIS SECTION
 SHALL BE CONSTRUED TO PROHIBIT THE DISCLOSURE, IN  SUCH  MANNER  AS  THE
 COMMISSIONER DEEMS APPROPRIATE, OF THE NAMES AND OTHER APPROPRIATE IDEN-
 TIFYING  INFORMATION  OF  THOSE PERSONS REQUIRED TO PAY STATE ASSESSMENT
 FEE UNDER THIS ARTICLE.
   (B) NOTWITHSTANDING THE PROVISIONS OF SUBDIVISION (A) OF THIS SECTION,
 THE COMMISSIONER, IN HIS OR HER DISCRETION, MAY REQUIRE OR PERMIT ANY OR
 ALL PERSONS LIABLE FOR ANY STATE ASSESSMENT FEE IMPOSED BY THIS ARTICLE,
 TO MAKE PAYMENT TO BANKS, BANKING HOUSES OR TRUST  COMPANIES  DESIGNATED
 BY  THE COMMISSIONER AND TO FILE RETURNS WITH SUCH BANKS, BANKING HOUSES
 OR TRUST COMPANIES AS AGENTS OF THE COMMISSIONER, IN LIEU OF PAYING  ANY
 SUCH  STATE  ASSESSMENT  FEE  DIRECTLY TO THE COMMISSIONER. HOWEVER, THE

 S. 2008--A                         49                         A. 3008--A
 
 COMMISSIONER SHALL DESIGNATE ONLY SUCH BANKS, BANKING  HOUSES  OR  TRUST
 COMPANIES  AS  ARE ALREADY DESIGNATED BY THE COMPTROLLER AS DEPOSITORIES
 PURSUANT TO SECTION TWELVE HUNDRED EIGHTY-EIGHT OF THIS CHAPTER.
   (C) NOTWITHSTANDING THE PROVISIONS OF SUBDIVISION (A) OF THIS SECTION,
 THE  COMMISSIONER MAY PERMIT THE SECRETARY OF THE TREASURY OF THE UNITED
 STATES OR SUCH SECRETARY'S DELEGATE, OR THE AUTHORIZED REPRESENTATIVE OF
 EITHER SUCH OFFICER, TO INSPECT ANY RETURN FILED UNDER THIS ARTICLE,  OR
 MAY  FURNISH TO SUCH OFFICER OR SUCH OFFICER'S AUTHORIZED REPRESENTATIVE
 AN ABSTRACT OF ANY SUCH RETURN OR SUPPLY SUCH  PERSON  WITH  INFORMATION
 CONCERNING  AN  ITEM  CONTAINED  IN ANY SUCH RETURN, OR DISCLOSED BY ANY
 INVESTIGATION OF LIABILITY UNDER THIS ARTICLE, BUT SUCH PERMISSION SHALL
 BE GRANTED OR SUCH INFORMATION FURNISHED ONLY IF THE LAWS OF THE  UNITED
 STATES  GRANT  SUBSTANTIALLY  SIMILAR  PRIVILEGES TO THE COMMISSIONER OR
 OFFICER OF THIS STATE CHARGED  WITH  THE  ADMINISTRATION  OF  THE  STATE
 ASSESSMENT  FEE IMPOSED BY THIS ARTICLE, AND ONLY IF SUCH INFORMATION IS
 TO BE USED FOR PURPOSES OF TAX ADMINISTRATION ONLY; AND PROVIDED FURTHER
 THE COMMISSIONER MAY FURNISH TO THE COMMISSIONER OF INTERNAL REVENUE  OR
 SUCH  COMMISSIONER'S  AUTHORIZED REPRESENTATIVE SUCH RETURNS FILED UNDER
 THIS ARTICLE AND OTHER TAX INFORMATION, AS SUCH COMMISSIONER MAY CONSID-
 ER PROPER, FOR USE IN COURT ACTIONS OR PROCEEDINGS  UNDER  THE  INTERNAL
 REVENUE  CODE, WHETHER CIVIL OR CRIMINAL, WHERE A WRITTEN REQUEST THERE-
 FOR HAS BEEN MADE TO THE COMMISSIONER BY THE SECRETARY OF  THE  TREASURY
 OF  THE UNITED STATES OR SUCH SECRETARY'S DELEGATE, PROVIDED THE LAWS OF
 THE UNITED STATES GRANT SUBSTANTIALLY SIMILAR POWERS TO THE SECRETARY OF
 THE TREASURY OF THE UNITED STATES OR HIS  OR  HER  DELEGATE.  WHERE  THE
 COMMISSIONER  HAS  SO AUTHORIZED USE OF RETURNS AND OTHER INFORMATION IN
 SUCH ACTIONS OR PROCEEDINGS, OFFICERS AND EMPLOYEES  OF  THE  DEPARTMENT
 MAY TESTIFY IN SUCH ACTIONS OR PROCEEDINGS IN RESPECT TO SUCH RETURNS OR
 OTHER INFORMATION.
   (D)  RETURNS  AND  REPORTS FILED UNDER THIS ARTICLE SHALL BE PRESERVED
 FOR THREE YEARS AND THEREAFTER UNTIL THE COMMISSIONER ORDERS THEM TO  BE
 DESTROYED.
   (E)  (1)  ANY  OFFICER OR EMPLOYEE OF THE STATE WHO WILLFULLY VIOLATES
 THE PROVISIONS OF SUBDIVISION (A) OF THIS  SECTION  SHALL  BE  DISMISSED
 FROM  OFFICE  AND BE INCAPABLE OF HOLDING ANY PUBLIC OFFICE FOR A PERIOD
 OF FIVE YEARS THEREAFTER.
   (2) CROSS-REFERENCE: FOR CRIMINAL PENALTIES, SEE ARTICLE  THIRTY-SEVEN
 OF THIS CHAPTER.
   § 1297. PRACTICE AND PROCEDURE. THE PROVISIONS OF ARTICLE TWENTY-SEVEN
 OF  THIS  CHAPTER  SHALL APPLY WITH RESPECT TO THE ADMINISTRATION OF AND
 PROCEDURE WITH RESPECT TO THE STATE ASSESSMENT FEE IMPOSED BY THIS ARTI-
 CLE IN THE SAME MANNER AND WITH THE SAME FORCE  AND  EFFECT  AS  IF  THE
 LANGUAGE OF SUCH ARTICLE TWENTY-SEVEN HAD BEEN INCORPORATED IN FULL INTO
 THIS  ARTICLE  AND  HAD  EXPRESSLY  REFERRED TO THE STATE ASSESSMENT FEE
 UNDER THIS ARTICLE, EXCEPT TO THE EXTENT  THAT  ANY  SUCH  PROVISION  IS
 EITHER  INCONSISTENT WITH A PROVISION OF THIS ARTICLE OR IS NOT RELEVANT
 TO THIS ARTICLE.
   § 1298.  DEPOSIT AND DISPOSITION OF REVENUE. ALL TAXES, FEES, INTEREST
 AND PENALTIES COLLECTED OR RECEIVED BY THE COMMISSIONER UNDER THIS ARTI-
 CLE SHALL BE DEPOSITED AND DISPOSED OF PURSUANT  TO  THE  PROVISIONS  OF
 SECTION  ONE  HUNDRED  SEVENTY-ONE-A  OF  THIS CHAPTER. FROM SUCH TAXES,
 INTEREST AND PENALTIES COLLECTED OR RECEIVED BY THE  COMMISSIONER  UNDER
 THIS ARTICLE, 27.27% SHALL BE DEPOSITED TO THE CREDIT OF THE LOCAL TRAN-
 SIT  ASSISTANCE  FUND  ESTABLISHED IN SECTION EIGHTY-NINE-I OF THE STATE
 FINANCE LAW FOR THE SUPPORT OF  LOCAL  TRANSIT  SYSTEMS,  OPERATIONS  OR

 S. 2008--A                         50                         A. 3008--A
 
 PROJECTS  OTHER  THAN  THE  METROPOLITAN TRANSPORTATION AUTHORITY OR ANY
 SUBSIDIARY OR AFFILIATE OF THE METROPOLITAN TRANSPORTATION AUTHORITY.
   §  16.  The tax law is amended by adding a new section 1822 to read as
 follows:
   § 1822. VIOLATION  OF  THE  STATE  ASSESSMENT  FEE  ON  TRANSPORTATION
 NETWORK  COMPANY  PREARRANGED  TRIPS. ANY WILLFUL ACT OR OMISSION BY ANY
 PERSON THAT CONSTITUTES A VIOLATION OF ANY PROVISION OF ARTICLE  TWENTY-
 NINE-B OF THIS CHAPTER SHALL CONSTITUTE A MISDEMEANOR.
   §  17. Section 1825 of the tax law, as amended by section 89 of part A
 of chapter 59 of the laws of 2014, is amended to read as follows:
   § 1825. Violation of secrecy provisions of the  tax  law.--Any  person
 who  violates  the  provisions of subdivision (b) of section twenty-one,
 subdivision one of section two hundred two, subdivision eight of section
 two hundred eleven, subdivision (a) of section three  hundred  fourteen,
 subdivision  one  or  two  of section four hundred thirty-seven, section
 four hundred eighty-seven,  subdivision  one  or  two  of  section  five
 hundred  fourteen,  subsection  (e) of section six hundred ninety-seven,
 subsection (a) of section nine hundred ninety-four, subdivision  (a)  of
 section  eleven  hundred forty-six, section twelve hundred eighty-seven,
 SECTION TWELVE HUNDRED NINETY-SIX, subdivision (a) of  section  fourteen
 hundred  eighteen,  subdivision (a) of section fifteen hundred eighteen,
 subdivision (a) of section fifteen hundred fifty-five of  this  chapter,
 and subdivision (e) of section 11-1797 of the administrative code of the
 city of New York shall be guilty of a misdemeanor.
   §  18. 1. For purposes of this section, transportation network company
 shall mean a  transportation  network  company  as  defined  by  article
 forty-four-B of the vehicle and traffic law.
   2.  There  is  hereby  established  the  New York State Transportation
 Network Company Accessibility Task Force to analyze and advise on how to
 maximize effective and integrated transportation  services  for  persons
 with  disabilities in the transportation network company market. The New
 York State Transportation Network Company Accessibility Task Force shall
 consist of eleven members. Two members of the New York State Transporta-
 tion Network Company Accessibility Task Force shall be appointed by  the
 speaker  of  the assembly. Two members of the New York State Transporta-
 tion Network Company Accessibility Task Force shall be appointed by  the
 temporary  president  of the senate. Seven members of the New York State
 Transportation  Network  Company  Accessibility  Task  Force  shall   be
 appointed  by the governor and shall include, but not be limited to, two
 representatives of groups who serve persons with  disabilities  and  two
 representatives  from  a  transportation  network  company. The governor
 shall designate two chairpersons to the New  York  State  Transportation
 Network Company Accessibility Task Force.
   3.  The  New  York  State Transportation Network Company Accessibility
 Task Force shall study the demand responsive transportation  marketplace
 and shall, in addition to any responsibilities assigned by the governor:
 (a)  conduct a needs assessment concerning the demand for demand respon-
 sive  accessible  transportation;  (b)  conduct  a  resource  assessment
 concerning  the availability of accessible demand responsive transporta-
 tion services for persons with disabilities; (c) identify  opportunities
 for,  and barriers to, increasing accessible demand responsive transpor-
 tation service for persons with mobility disabilities; (d) propose stra-
 tegies  for  increasing  accessible  demand  responsive   transportation
 service  for  persons with disabilities; and (e) any other issues deter-
 mined important to the  task  force  in  establishing  a  recommendation
 pursuant to subdivision five of this section.

 S. 2008--A                         51                         A. 3008--A
 
   4.  The  New  York  State Transportation Network Company Accessibility
 Task Force shall hold public hearings and  provide  an  opportunity  for
 public  comment  on  the activities described in subdivision two of this
 section.
   5.  The  New  York  State Transportation Network Company Accessibility
 Task Force shall complete a report addressing the  activities  described
 in  subdivision two of this section and make a recommendation, supported
 by such activities, recommending the amount of  accessibility  necessary
 for  adequate transportation for disabled passengers in order to utilize
 such services and present such findings at a public  meeting  where  its
 members  shall accept such report, pursuant to majority vote of the task
 force, and present such report to  the  governor,  the  speaker  of  the
 assembly and the temporary president of the senate, and make such report
 publicly available for review.
   6.  Upon  making  the  report  described  in  subdivision five of this
 section, the New York State Transportation Network Company Accessibility
 Task Force shall be deemed dissolved.
   § 19. The state finance law is amended by adding a new section 89-i to
 read as follows:
   § 89-I. LOCAL TRANSIT ASSISTANCE FUND. 1. THERE IS HEREBY  ESTABLISHED
 IN  THE  JOINT  CUSTODY OF THE STATE COMPTROLLER AND THE COMMISSIONER OF
 TAXATION AND FINANCE A FUND TO BE KNOWN AS THE "LOCAL TRANSIT ASSISTANCE
 FUND". MONEYS IN THE LOCAL TRANSIT ASSISTANCE FUND SHALL BE  KEPT  SEPA-
 RATELY  FROM  AND  SHALL  NOT BE COMMINGLED WITH ANY OTHER MONEYS IN THE
 JOINT OR SOLE CUSTODY OF THE STATE COMPTROLLER OR  THE  COMMISSIONER  OF
 TAXATION AND FINANCE.
   2. THE COMPTROLLER SHALL ESTABLISH THE FOLLOWING SEPARATE AND DISTINCT
 ACCOUNT  WITHIN  THE  LOCAL  TRANSIT  ASSISTANCE  FUND:  NON-MTA TRANSIT
 ASSISTANCE ACCOUNT.
   3. THE LOCAL TRANSIT ASSISTANCE  FUND  SHALL  CONSIST  OF  ALL  MONIES
 COLLECTED  THEREFORE  OR  CREDITED OR TRANSFERRED THERETO FROM ANY OTHER
 FUND, ACCOUNT, OR SOURCE, INCLUDING A PORTION OF  THE  REVENUES  DERIVED
 FROM  ARTICLE  TWENTY-NINE-B  OF  THE TAX LAW PURSUANT TO SECTION TWELVE
 HUNDRED NINETY-EIGHT OF THE TAX LAW. ANY INTEREST RECEIVED BY THE  COMP-
 TROLLER  ON MONIES ON DEPOSIT IN THE LOCAL TRANSIT ASSISTANCE FUND SHALL
 BE RETAINED IN AND BECOME A PART OF SUCH FUND.
   4. MONIES IN THE LOCAL TRANSIT ASSISTANCE FUND SHALL, FOLLOWING APPRO-
 PRIATION BY THE LEGISLATURE, BE UTILIZED FOR THE SUPPORT OF LOCAL TRANS-
 IT SYSTEMS, OPERATIONS OR PROJECTS, AND SHALL NOT BE APPROPRIATED TO THE
 METROPOLITAN TRANSPORTATION AUTHORITY, ITS  AFFILIATES  OR  ITS  SUBSID-
 IARIES.  IN  THE FIRST YEAR THAT MONIES ARE APPROPRIATED FROM THIS FUND,
 AND IN ANY SUBSEQUENT YEARS AS MAY BE REQUIRED BY THE  DIRECTOR  OF  THE
 BUDGET,  SUCH  MONIES  SHALL  BE DISBURSED ACCORDING TO A PLAN DEVELOPED
 DURING THE PRIOR FISCAL YEAR BY  THE COMMISSIONER OF TRANSPORTATION  AND
 APPROVED  BY  THE  DIRECTOR  OF THE BUDGET. THE FIRST SUCH PLAN SHALL BE
 SUBMITTED BY THE COMMISSIONER BY MARCH THIRTY-FIRST, TWO THOUSAND  EIGH-
 TEEN.
   5.  ALL PAYMENTS OF MONEY FROM THE LOCAL TRANSIT ASSISTANCE FUND SHALL
 BE MADE ON THE AUDIT AND WARRANT OF THE COMPTROLLER.
   § 20. Severability clause. If any provision of this act or the  appli-
 cation  thereof  is held invalid, such invalidity shall not affect other
 provisions or applications of this act which can be given effect without
 the invalid provision or application, and to this end the provisions  of
 this act are declared to be severable.
   §  21.  Each agency that is designated to perform any function or duty
 pursuant to this act shall be authorized to establish  rules  and  regu-

 S. 2008--A                         52                         A. 3008--A
 
 lations  for  the  administration  and  execution of such authority in a
 manner consistent with the provisions of this act and for the protection
 of the public, health, safety and welfare of persons within this state.
   §  22.  This act shall take effect on the ninetieth day after it shall
 have become a law; provided that the  amendments  to  subdivision  1  of
 section  171-a  of  the tax law made by section twelve of this act shall
 not affect the expiration of such subdivision and  shall  expire  there-
 with, when upon such date the provisions of section thirteen of this act
 shall take effect.
 
                                  PART H
 
   Section  1.  Section  491 of the vehicle and traffic law is amended by
 adding a new subdivision 3 to read as follows:
   3. WAIVER OF FEE. THE COMMISSIONER  MAY  WAIVE  THE  PAYMENT  OF  FEES
 REQUIRED BY SUBDIVISION TWO OF THIS SECTION IF THE APPLICANT IS A VICTIM
 OF  A CRIME AND THE IDENTIFICATION CARD APPLIED FOR IS A REPLACEMENT FOR
 ONE THAT WAS LOST OR DESTROYED AS A RESULT OF THE CRIME.
   § 2. This act shall take effect on the one hundred twentieth day after
 it shall have become a law.
 
                                  PART I
 
   Section 1. Paragraph (i) of subdivision 2 of section 503 of the  vehi-
 cle  and  traffic  law, as amended by chapter 55 of the laws of 1992, is
 amended to read as follows:
   (i) A non-resident whose driving privileges have been revoked pursuant
 to sections five hundred ten, eleven  hundred  ninety-three  and  eleven
 hundred  ninety-four  of  this chapter shall, upon application for rein-
 statement of such driving privileges, pay to the commissioner  of  motor
 vehicles  a fee of [twenty-five] ONE HUNDRED dollars. WHEN THE BASIS FOR
 THE REVOCATION IS A FINDING OF DRIVING  AFTER  HAVING  CONSUMED  ALCOHOL
 PURSUANT  TO  THE  PROVISIONS  OF SECTION ELEVEN HUNDRED NINETY-TWO-A OF
 THIS CHAPTER, THE FEE TO BE  PAID  TO  THE  COMMISSIONER  SHALL  BE  ONE
 HUNDRED DOLLARS. Such fee is not refundable and shall not be returned to
 the applicant regardless of the action the commissioner may take on such
 person's application for reinstatement of such driving privileges.
   § 2. This act shall take effect on the one hundred twentieth day after
 it shall have become a law.
 
                                  PART J
 
   Section  1.  Paragraphs  1 and 3 of subdivision (a) of section 2125 of
 the vehicle and traffic law, as amended by section  1-b  of  part  A  of
 chapter 63 of the laws of 2005, are amended to read as follows:
   (1)  for  filing  an  application  for a certificate of title, [fifty]
 SEVENTY-FIVE dollars except where the application relates  to  a  mobile
 home  or  a  manufactured home as defined in section one hundred twenty-
 two-c of this chapter, in which case the fee shall be one hundred  twen-
 ty-five dollars;
   (3) for a duplicate certificate of title, [twenty] FORTY dollars.
   § 2.  Section 2125 of the vehicle and traffic law is amended by adding
 a new subdivision (h) to read as follows:
   (H)  NOTWITHSTANDING ANY OTHER PROVISION OF LAW, THE INCREASE OF TWEN-
 TY-FIVE DOLLARS FOR THE FEE ASSESSED FOR FILING  AN  APPLICATION  FOR  A
 CERTIFICATE  OF  TITLE  AND  THE  INCREASE OF TWENTY DOLLARS FOR THE FEE

 S. 2008--A                         53                         A. 3008--A
 
 ASSESSED FOR FILING AN APPLICATION FOR DUPLICATE TITLE, COLLECTED PURSU-
 ANT TO PARAGRAPHS ONE AND THREE OF  SUBDIVISION  (A)  OF  THIS  SECTION,
 SHALL  BE  DEPOSITED  TO  THE CREDIT OF THE DEDICATED HIGHWAY AND BRIDGE
 TRUST  FUND,  ESTABLISHED PURSUANT TO SECTION EIGHTY-NINE-B OF THE STATE
 FINANCE LAW.
   § 3.  This act shall take effect immediately; provided that the amend-
 ments to paragraph 1 of subdivision (a) of section 2125 of  the  vehicle
 and  traffic  law  made  by section one of this act shall not affect the
 expiration and reversion of such paragraph and shall be deemed to expire
 therewith.
 
                                  PART K
 
   Section 1. Subdivision 2 of section 491 of the vehicle and traffic law
 is amended by adding a new paragraph (f) to read as follows:
   (F) IN ADDITION TO ANY OTHER FEE PRESCRIBED IN THIS SECTION, AN  ADDI-
 TIONAL FEE OF FIVE DOLLARS SHALL BE CHARGED FOR ANY NON-DRIVER IDENTIFI-
 CATION CARD OR RENEWAL OR AMENDMENT OF SUCH CARD THAT IS ISSUED PURSUANT
 TO  AND  BEARS  A  MARKING REFLECTING COMPLIANCE WITH THE REAL ID ACT OF
 2005, PUBLIC LAW 109-13, AND REGULATIONS PROMULGATED THEREUNDER AT 6 CFR
 37 ET SEQ. THE FEE COLLECTED PURSUANT TO THIS PARAGRAPH SHALL BE PAID TO
 THE COMMISSIONER AND SHALL  BE  DEPOSITED  INTO  THE  DEDICATED  HIGHWAY
 BRIDGE  AND  TRUST  FUND  PURSUANT TO SECTION EIGHTY-NINE-B OF THE STATE
 FINANCE LAW.
   § 2. Subdivision 2 of section 503 of the vehicle and  traffic  law  is
 amended by adding a new paragraph (f-2) to read as follows:
   (F-2)  IN  ADDITION  TO  ANY  OTHER FEE PRESCRIBED IN THIS SECTION, AN
 ADDITIONAL FEE OF FIVE DOLLARS SHALL BE CHARGED FOR ANY LICENSE, RENEWAL
 OR AMENDMENT OF SUCH LICENSE THAT IS ISSUED  PURSUANT  TO  AND  BEARS  A
 MARKING  REFLECTING  COMPLIANCE WITH THE REAL ID ACT OF 2005, PUBLIC LAW
 109-13, AND REGULATIONS PROMULGATED THEREUNDER AT 6 CFR 37 ET SEQ.   THE
 FEE  COLLECTED  PURSUANT  TO THIS PARAGRAPH SHALL BE PAID TO THE COMMIS-
 SIONER AND SHALL BE DEPOSITED INTO  THE  DEDICATED  HIGHWAY  BRIDGE  AND
 TRUST FUND PURSUANT TO SECTION EIGHTY-NINE-B OF THE STATE FINANCE LAW.
   § 3. This act shall take effect immediately.
 
                                  PART L
 
   Section  1.  Section 114-a of the vehicle and traffic law, as added by
 chapter 163 of the laws of 1973, is amended to read as follows:
   § 114-a. Drug. The term "drug" when used in this  chapter,  means  and
 includes any substance listed in section thirty-three hundred six of the
 public  health  law  AND ANY SUBSTANCE OR COMBINATION OF SUBSTANCES THAT
 IMPAIR, TO ANY EXTENT, THE PHYSICAL AND MENTAL ABILITIES WHICH A  DRIVER
 IS EXPECTED TO POSSESS IN ORDER TO OPERATE A VEHICLE AS A REASONABLE AND
 PRUDENT DRIVER.
   § 2. Subparagraph (i) of paragraph (a) of subdivision 4 of section 502
 of  the vehicle and traffic law, as amended by chapter 97 of the laws of
 2016, is amended to read as follows:
   (i) Upon submission of an application  for  a  driver's  license,  the
 applicant  shall be required to take and pass a test, or submit evidence
 of passage of a test, with respect to the laws relating to traffic,  the
 laws  relating to driving while ability is impaired and while intoxicat-
 ed, under the overpowering influence of "Road Rage", or "Work Zone Safe-
 ty" awareness as defined by the commissioner, the law relating to  exer-
 cising  due  care  to avoid colliding with a parked, stopped or standing

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 authorized emergency vehicle or hazard vehicle pursuant to section elev-
 en hundred forty-four-a of this chapter, the ability to read and compre-
 hend traffic signs and symbols, BICYCLE AND PEDESTRIAN SAFETY  and  such
 other  matters  as the commissioner may prescribe, and to satisfactorily
 complete a course prescribed by the commissioner of not less  than  four
 hours  and  not  more  than  five  hours, consisting of classroom driver
 training and highway safety instruction or the equivalent thereof.  Such
 test  shall  include  at  least  seven  written questions concerning the
 effects of consumption of alcohol or drugs on the ability of a person to
 operate a motor vehicle and the legal and financial consequences result-
 ing from violations of section eleven hundred ninety-two of  this  chap-
 ter, prohibiting the operation of a motor vehicle while under the influ-
 ence  of  alcohol  or drugs. Such test shall include one or more written
 questions concerning the devastating effects of "Road Rage" on the abil-
 ity of a person to operate a motor vehicle and the legal  and  financial
 consequences  resulting from assaulting, threatening or interfering with
 the lawful conduct of another person legally  using  the  roadway.  Such
 test  shall  include  one  or  more  questions  concerning the potential
 dangers to persons and equipment resulting from the unsafe operation  of
 a  motor vehicle in a work zone. Such test may include one or more ques-
 tions concerning the law for exercising due care to avoid colliding with
 a parked, stopped or standing vehicle pursuant to section eleven hundred
 forty-four-a of this chapter. SUCH TEST MAY INCLUDE ONE  OR  MORE  QUES-
 TIONS  CONCERNING  BICYCLE  AND  PEDESTRIAN  SAFETY.  Such test shall be
 administered by the  commissioner.  The  commissioner  shall  cause  the
 applicant  to  take  a  vision test and a test for color blindness. Upon
 passage of the vision test, the application  may  be  accepted  and  the
 application fee shall be payable.
   § 3. Subparagraph (v) of paragraph (b) of subdivision 2 of section 510
 of  the  vehicle and traffic law, as amended by chapter 3 of the laws of
 1995, is amended to read as follows:
   (v) For a period of six months where the holder is  convicted  of,  or
 receives   a   youthful  offender  or  other  juvenile  adjudication  in
 connection with, any  misdemeanor  or  felony  defined  in  article  two
 hundred twenty or two hundred twenty-one of the penal law, any violation
 of  the  federal  controlled  substances act, [any crime in violation of
 subdivision four of section eleven hundred ninety-two of  this  chapter]
 or  any  out-of-state  or  federal  misdemeanor  or  felony drug-related
 offense; provided, however, that any time  actually  served  in  custody
 pursuant  to  a  sentence  or  disposition  imposed  as a result of such
 conviction or youthful offender or other juvenile adjudication shall  be
 credited  against  the  period of such suspension and, provided further,
 that the court shall determine that such suspension need not be  imposed
 where there are compelling circumstances warranting an exception.
   § 4. Paragraphs i and j of subdivision 6 of section 510 of the vehicle
 and  traffic  law,  as  added  by  chapter  533 of the laws of 1993, are
 amended to read as follows:
   i. Where suspension of a driver's license is mandatory hereunder based
 upon a conviction of, or youthful offender  or  other  juvenile  adjudi-
 cation in connection with, any misdemeanor or felony as defined in arti-
 cle  two  hundred twenty or two hundred twenty-one of the penal law, any
 violation of the  federal  controlled  substances  act,  [any  crime  in
 violation  of  subdivision  four of section eleven hundred ninety-two of
 this chapter] or any out-of-state or federal misdemeanor or felony drug-
 related offense, the commissioner may issue  a  restricted  use  license
 pursuant to section five hundred thirty of this chapter.

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   j. Where suspension of a driver's license is mandatory hereunder based
 upon  a  conviction  of,  or youthful offender or other juvenile adjudi-
 cation in connection with, any misdemeanor or felony as defined in arti-
 cle two hundred twenty or two hundred twenty-one of the penal  law,  any
 violation  of  the  federal  controlled  substances  act,  [any crime in
 violation of subdivision four of section eleven  hundred  ninety-two  of
 this chapter] or any out-of-state or federal misdemeanor or felony drug-
 related  offense  and the individual does not have a driver's license or
 the  individual's  driver's  license  was  suspended  at  the  time   of
 conviction  or  youthful  offender  or  other juvenile adjudication, the
 commissioner shall not issue  a  new  license  nor  restore  the  former
 license for a period of six months after such individual would otherwise
 have  become  eligible  to  obtain  a  new license or to have the former
 license restored; provided, however, that during such delay  period  the
 commissioner may issue a restricted use license pursuant to section five
 hundred  thirty  of  this  [chapter]  TITLE to such previously suspended
 licensee.
   § 5. Paragraph (b) of subdivision 2 of section 1193 of the vehicle and
 traffic law is amended by adding  a  new  subparagraph  13  to  read  as
 follows:
   (13)  WHERE  REVOCATION  OF  A DRIVER'S LICENSE IS MANDATORY HEREUNDER
 BASED UPON A CONVICTION OF, OR YOUTHFUL OFFENDER OF OTHER JUVENILE ADJU-
 DICATION IN CONNECTION WITH ANY CRIME IN VIOLATION OF  SUBDIVISION  FOUR
 OF  SECTION ELEVEN HUNDRED NINETY-TWO OF THIS ARTICLE AND THE INDIVIDUAL
 DOES NOT HAVE A DRIVER'S LICENSE OR THE  INDIVIDUAL'S  DRIVER'S  LICENSE
 WAS  SUSPENDED OR REVOKED AT THE TIME OF CONVICTION OR YOUTHFUL OFFENDER
 OR OTHER JUVENILE ADJUDICATION, THE COMMISSIONER SHALL NOT ISSUE  A  NEW
 LICENSE  NOR RESTORE THE FORMER LICENSE FOR A PERIOD OF SIX MONTHS AFTER
 SUCH INDIVIDUAL WOULD OTHERWISE HAVE BECOME ELIGIBLE  TO  OBTAIN  A  NEW
 LICENSE  OR TO HAVE THE FORMER LICENSE RESTORED; PROVIDED, HOWEVER, THAT
 DURING SUCH PERIOD THE COMMISSIONER  MAY  ISSUE  A  CONDITIONAL  LICENSE
 PURSUANT  TO  SECTION  ELEVEN HUNDRED NINETY-SIX OF THIS ARTICLE TO SUCH
 PREVIOUSLY REVOKED LICENSEE.
   § 6. Clauses a and b of subparagraph 1 of paragraph (d) of subdivision
 2 of section 1194 of the vehicle and traffic law, as amended by  chapter
 732 of the laws of 2006, are amended to read as follows:
   a.  Any  license  which  has been revoked pursuant to paragraph (c) of
 this subdivision shall not be restored for at least [one year]  EIGHTEEN
 MONTHS  after  such revocation, nor thereafter, except in the discretion
 of the commissioner. However, no such license shall be restored  for  at
 least [eighteen] TWENTY-FOUR months after such revocation, nor thereaft-
 er  except  in the discretion of the commissioner, in any case where the
 person has had a prior revocation resulting from refusal to submit to  a
 chemical  test,  or has been convicted of or found to be in violation of
 any subdivision of section eleven hundred ninety-two or  section  eleven
 hundred  ninety-two-a  of this article not arising out of the same inci-
 dent, within the five years immediately preceding the date of such revo-
 cation; provided, however, a prior finding that a person under  the  age
 of  twenty-one  has  refused  to  submit  to a chemical test pursuant to
 subdivision three of section eleven hundred ninety-four-a of this  arti-
 cle  shall have the same effect as a prior finding of a refusal pursuant
 to this subdivision solely for the purpose of determining the length  of
 any  license  suspension  or revocation required to be imposed under any
 provision of this article,  provided  that  the  subsequent  offense  or
 refusal  is  committed  or  occurred  prior  to  the  expiration  of the

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 retention period for such prior refusal as set forth in paragraph (k) of
 subdivision one of section two hundred one of this chapter.
   b.  Any  license  which  has been revoked pursuant to paragraph (c) of
 this subdivision or pursuant to  subdivision  three  of  section  eleven
 hundred  ninety-four-a  of  this article, where the holder was under the
 age of twenty-one years at the  time  of  such  refusal,  shall  not  be
 restored for at least [one year] EIGHTEEN MONTHS, nor thereafter, except
 in  the  discretion of the commissioner. Where such person under the age
 of twenty-one years has a prior finding, conviction or youthful offender
 adjudication resulting from a violation of section eleven hundred  nine-
 ty-two or section eleven hundred ninety-two-a of this article, not aris-
 ing  from  the  same incident, such license shall not be restored for at
 least [one year] TWENTY-FOUR MONTHS or until such person reaches the age
 of twenty-one years, whichever is the greater period of time, nor there-
 after, except in the discretion of the commissioner.
   § 7. Paragraphs (a) and (b) of subdivision 2 of section 1225-c of  the
 vehicle and traffic law, as amended by section 4 of part C of chapter 58
 of the laws of 2013, are amended to read as follows:
   (a)  Except  as  otherwise  provided  in this section, no person shall
 operate a motor vehicle upon a public highway while using a mobile tele-
 phone to engage in a call while such vehicle  is  in  motion;  provided,
 however,  that  no person shall operate a commercial motor vehicle while
 using a mobile telephone to  engage  in  a  call  on  a  public  highway
 [including  while  temporarily  stationary because of traffic, a traffic
 control device, or other momentary delays]. Provided  further,  however,
 that  a  person shall not be deemed to be operating a [commercial] motor
 vehicle while using a mobile telephone to engage in a call on  a  public
 highway  when  such  vehicle is stopped at the side of, or off, a public
 highway in a location where such vehicle  is  not  otherwise  prohibited
 from  stopping by law, rule, regulation or any lawful order or direction
 of a police officer.
   (b) An operator of any motor vehicle UPON A PUBLIC HIGHWAY who holds a
 mobile telephone to, or in the immediate proximity of, his  or  her  ear
 [while  such  vehicle is in motion] is presumed to be engaging in a call
 within the meaning of this section[; provided, however, that an operator
 of a commercial motor vehicle who holds a mobile telephone to, or in the
 immediate proximity of, his or her ear while such vehicle is temporarily
 stationary because of traffic, a traffic control device, or other momen-
 tary delays is also presumed to be engaging in a call within the meaning
 of this section except that a person operating a commercial motor  vehi-
 cle while using a mobile telephone to engage in a call when such vehicle
 is  stopped at the side of, or off, a public highway in a location where
 such vehicle is not otherwise prohibited from  stopping  by  law,  rule,
 regulation  or  any  lawful order or direction of a police officer shall
 not be presumed to be engaging in a call  within  the  meaning  of  this
 section].  The presumption established by this subdivision is rebuttable
 by evidence tending to show that the operator was not engaged in a call.
   § 8. Subdivision 3 of section 1225-c of the vehicle and  traffic  law,
 as  added by chapter 69 of the laws of 2001, is amended and a new subdi-
 vision 2-a is added to read as follows:
   2-A. NO PERSON UNDER EIGHTEEN YEARS OF AGE SHALL OPERATE A MOTOR VEHI-
 CLE UPON A PUBLIC HIGHWAY WHILE ENGAGING IN A CALL WITH A HAND  HELD  OR
 HANDS  FREE  MOBILE  TELEPHONE.  FOR  THE  PURPOSES OF THIS SUBDIVISION,
 ENGAGING IN A CALL SHALL INCLUDE MAKING OR RECEIVING A CALL WITH A  HAND
 HELD OR HANDS FREE MOBILE TELEPHONE.

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   3.  [Subdivision] SUBDIVISIONS two AND TWO-A of this section shall not
 apply to (a) the use of a mobile  telephone  for  the  sole  purpose  of
 communicating  with  any  of  the following regarding an emergency situ-
 ation: an emergency response operator; a hospital, physician's office or
 health  clinic;  an  ambulance  company  or  corps;  a  fire department,
 district or company; or a police department, (b) any  of  the  following
 persons  while  in  the  performance  of their official duties: a police
 officer or peace officer; a member of a  fire  department,  district  or
 company;  or  the operator of an authorized emergency vehicle as defined
 in section one hundred one of this chapter, or (c) the use of  a  hands-
 free  mobile  telephone  EXCEPT  AS  APPLIED TO PERSONS UNDER THE AGE OF
 EIGHTEEN YEARS.
   § 9. Subdivisions 1 and 4 of section 1225-d of the vehicle and traffic
 law, subdivision 1 as amended by section 6 and subdivision 4 as  amended
 by  section  10 of part C of chapter 58 of the laws of 2013, are amended
 to read as follows:
   1. Except as otherwise provided in this section, no person shall oper-
 ate a motor vehicle while using any portable  electronic  device  [while
 such vehicle is in motion; provided, however, that no person shall oper-
 ate  a  commercial  motor  vehicle  while  using any portable electronic
 device on  a  public  highway  including  while  temporarily  stationary
 because  of  traffic,  a  traffic  control  device,  or  other momentary
 delays]. Provided further, however, that a person shall not be deemed to
 be operating a [commercial] motor vehicle while using a  portable  elec-
 tronic  device  on  a public highway when such vehicle is stopped at the
 side of, or off, a public highway in a location where  such  vehicle  is
 not  otherwise  prohibited from stopping by law, rule, regulation or any
 lawful order or direction of a police officer.
   4. A person who  [holds]  USES  a  portable  electronic  device  in  a
 conspicuous  manner while operating a motor vehicle or while operating a
 [commercial] motor vehicle on a public highway [including  while  tempo-
 rarily stationary because of traffic, a traffic control device, or other
 momentary delays] but not including when such [commercial] motor vehicle
 is  stopped at the side of, or off, a public highway in a location where
 such vehicle is not otherwise prohibited from  stopping  by  law,  rule,
 regulation  or  any  lawful  order  or  direction of a police officer is
 presumed to be using such device[, except  that  a  person  operating  a
 commercial  motor  vehicle while using a portable electronic device when
 such vehicle is stopped at the side of, or off, a public  highway  in  a
 location where such vehicle is not otherwise prohibited from stopping by
 law, rule, regulation or any lawful order or direction of a police offi-
 cer  shall  not  be  presumed  to be using such device]. The presumption
 established by this subdivision is rebuttable  by  evidence  tending  to
 show  that  the  operator was not using the device within the meaning of
 this section.
   § 10. Paragraphs (a) and (b) of subdivision 2 of section 1225-d of the
 vehicle and traffic law, as amended by section 8 of part C of chapter 58
 of the laws of 2013, are amended to read as follows:
   (a) "Portable electronic device" shall mean any hand-held mobile tele-
 phone, as defined by subdivision one of section twelve  hundred  twenty-
 five-c  of  this  article,  personal  digital  assistant (PDA), handheld
 device with  mobile  data  access,  laptop  computer,  pager,  broadband
 personal  communication  device,  two-way  messaging  device, electronic
 game, or portable computing device, or any other  [electronic]  PERSONAL
 WIRELESS COMMUNICATIONS device when used to input, write, send, receive,
 or  read  text  OR  IMAGES for present or future communication INCLUDING

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 DOING SO FOR THE PURPOSE OF SMS TEXTING, EMAILING, INSTANT MESSAGING  OR
 ENGAGING  IN  ANY  OTHER FORM OF ELECTRONIC DATA RETRIEVAL OR ELECTRONIC
 DATA COMMUNICATION.
   (b) "Using" shall mean holding OR MAKING CONTACT WITH a portable elec-
 tronic device [while] FOR THE PURPOSE OF viewing, taking or transmitting
 images, playing games, or, for the purpose of present or future communi-
 cation: performing a command or request to access a world wide web page,
 composing, sending, reading, viewing, accessing, browsing, transmitting,
 saving  or  retrieving e-mail, text messages, instant messages, or other
 electronic data.
   § 11. Subdivision 2 of section 1225-d of the vehicle and traffic  law,
 is amended by adding a new paragraph (e) to read as follows:
   (E) "PERSONAL WIRELESS COMMUNICATIONS DEVICE" SHALL: (I) MEAN A DEVICE
 THROUGH   WHICH  PERSONAL  WIRELESS  SERVICES  (AS  DEFINED  IN  SECTION
 332(C)(7)(C)(I) OF  THE  COMMUNICATIONS  ACT  OF  1934  (47  U.S.C.  332
 (C)(7)(C)(I)), ARE TRANSMITTED; AND
   (II)  DOES  NOT  INCLUDE A GLOBAL NAVIGATION SATELLITE SYSTEM RECEIVER
 USED FOR POSITIONING, EMERGENCY NOTIFICATION, OR NAVIGATION PURPOSES.
   § 12. Subdivision 3 of section 1229-c of the vehicle and traffic  law,
 as  added  by  chapter  365  of  the laws of 1984, is amended to read as
 follows:
   3. No person shall operate a  motor  vehicle  unless  such  person  is
 restrained  by  a  safety  belt  approved by the commissioner. No person
 sixteen years of age or over shall be a passenger in [the front seat of]
 a motor vehicle unless such  person  is  restrained  by  a  safety  belt
 approved by the commissioner.
   § 13. This act shall take effect on the first of October next succeed-
 ing the date on which it shall have become a law.
 
                                  PART M
 
   Section  1.  Subdivision 3 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 section 1 of part F of chapter 58 of the
 laws of 2016, is amended to read as follows:
   3. The provisions of this section shall  expire,  notwithstanding  any
 inconsistent provision of subdivision 4 of section 469 of chapter 309 of
 the laws of 1996 or of any other law, on July 1, [2017] 2018.
   §  2.  This  act  shall take effect immediately and shall be deemed to
 have been in full force and effect on and after July 1, 2017.
 
                                  PART N
 
   Section 1. Section 2 of chapter 393 of the laws of 1994, amending  the
 New York state urban development corporation act, relating to the powers
 of  the  New  York state urban development corporation to make loans, as
 amended by section 1 of part G of chapter 58 of the  laws  of  2016,  is
 amended to read as follows:
   §  2.  This  act shall take effect immediately provided, however, that
 section one of this act shall expire on July 1, [2017]  2018,  at  which
 time the provisions of subdivision 26 of section 5 of the New York state
 urban  development  corporation  act shall be deemed repealed; provided,
 however, that neither the expiration nor the repeal of such  subdivision
 as provided for herein shall be deemed to affect or impair in any manner
 any  loan  made  pursuant  to the authority of such subdivision prior to
 such expiration and repeal.

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   § 2. This act shall take effect immediately and  shall  be  deemed  to
 have been in full force and effect on and after April 1, 2017.
 
                                  PART O
 
   Section  1. The opening paragraph of subdivision (h) of section 121 of
 chapter 261 of the laws of 1988, amending  the  state  finance  law  and
 other  laws relating to the New York state infrastructure trust fund, as
 amended by section 2 of part Q of chapter 58 of the  laws  of  2015,  is
 amended to read as follows:
   The  provisions  of  [section] SECTIONS sixty-two through sixty-six of
 this act shall expire on December thirty-first, two thousand [seventeen]
 EIGHTEEN, except that:
   § 2. This act shall take effect immediately.
 
                                  PART P
 
   Section 1. Subdivision (a) of section 2 of part F of chapter 60 of the
 laws of 2015 constituting the infrastructure investment act, is  amended
 to read as follows:
   (a)  "authorized [state] entity" shall mean the New York state thruway
 authority, [the department  of  transportation,  the  office  of  parks,
 recreation  and  historic  preservation, the department of environmental
 conservation and] the New York state bridge authority, ANY AUTHORITY  AS
 SUCH  TERM  IS DEFINED IN SECTION 2 OF THE PUBLIC AUTHORITIES LAW, EVERY
 STATE AGENCY, AS SUCH TERM IS  DEFINED  IN  SECTION  160  OF  THE  STATE
 FINANCE  LAW AND INCLUDING THE STATE UNIVERSITY OF NEW YORK AND THE CITY
 UNIVERSITY OF NEW YORK, AND ANY AND ALL AFFILIATES  OR  SUBSIDIARIES  OF
 SUCH  ENTITIES, AND COUNTIES AS SUCH TERM IS DEFINED IN SECTION 3 OF THE
 COUNTY LAW, EXCLUDING BRONX, KINGS, NEW YORK, QUEENS, AND RICHMOND COUN-
 TIES.
   § 2. Section 2 of part F of chapter 60 of the laws of 2015  constitut-
 ing the infrastructure investment act, is amended by adding a new subdi-
 vision (b-1) to read as follows:
   (B-1)  "CAPITAL  ASSETS"  SHALL  HAVE THE SAME MEANING AS SUCH TERM IS
 DEFINED BY SUBDIVISION 6-B OF SECTION 2 OF THE STATE FINANCE LAW.
   § 3. Section 3 of part F of chapter 60 of the laws of 2015  constitut-
 ing the infrastructure investment act, is amended to read as follows:
   §  3. Notwithstanding the provisions of section 38 of the highway law,
 section 136-a of the state finance law, [section]  SECTIONS  359,  1678,
 1680,  1680-A  AND  2879-A  of  the  public  authorities  law, [section]
 SECTIONS 407-A, 6281 AND 7210 of the education law, SECTIONS 8 AND 9  OF
 THE PUBLIC BUILDINGS LAW, SECTION 11 OF CHAPTER 795 OF THE LAWS OF 1967,
 SECTIONS  8  AND  9  OF  SECTION 1 OF CHAPTER 359 OF THE LAWS OF 1968 AS
 AMENDED, SECTION 29 OF CHAPTER 337 OF THE LAWS OF 1972,  SECTION  21  OF
 CHAPTER  464  OF  THE LAWS OF 1972, SECTION 103 OF THE GENERAL MUNICIPAL
 LAW, and the provisions of  any  other  law  to  the  contrary,  and  in
 conformity  with  the  requirements  of  this act, an authorized [state]
 entity may utilize  the  alternative  delivery  method  referred  to  as
 design-build contracts, in consultation with relevant local labor organ-
 izations and construction industry, for capital projects related to [the
 state's  physical  infrastructure,  including,  but  not limited to, the
 state's highways, bridges, dams, flood  control  projects,  canals,  and
 parks, including, but not limited to, to repair damage caused by natural
 disaster,  to  correct health and safety defects, to comply with federal
 and state laws, standards, and regulations, to extend the useful life of

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 or replace the state's highways, bridges, dams, flood control  projects,
 canals, and parks or to improve or add to the state's highways, bridges,
 dams,  flood control projects, canals, and parks] PUBLICLY OWNED CAPITAL
 ASSETS;  provided  that [for the contracts executed by the department of
 transportation, the office of parks, recreation and  historic  preserva-
 tion,  or  the department of environmental conservation,] the total cost
 of each such project shall not be less  than  one  million  two  hundred
 thousand dollars ($1,200,000).
   § 4. Section 4 of part F of chapter 60 of he laws of 2015 constituting
 the infrastructure investment act, is amended to read as follows:
   §  4. An entity selected by an authorized [state] entity to enter into
 a design-build contract shall be selected through a two-step method,  as
 follows:
   (a)  Step one. Generation of a list of entities that have demonstrated
 the general capability to perform the design-build contract.  Such  list
 shall  consist  of  a  specified number of entities, as determined by an
 authorized [state] entity, and shall be generated based upon the author-
 ized [state] entity's review  of  responses  to  a  publicly  advertised
 request  for qualifications. The authorized [state] entity's request for
 qualifications shall include a general description of the  project,  the
 maximum number of entities to be included on the list, and the selection
 criteria  to  be  used  in  generating the list. Such selection criteria
 shall include the  qualifications  and  experience  of  the  design  and
 construction team, organization, demonstrated responsibility, ability of
 the team or of a member or members of the team to comply with applicable
 requirements,  including  the provisions of articles 145, 147 and 148 of
 the education law, past record of compliance with  the  labor  law,  and
 such  other qualifications the authorized [state] entity deems appropri-
 ate which may include but are  not  limited  to  project  understanding,
 financial  capability  and  record  of  past performance. The authorized
 [state] entity shall evaluate and rate all entities  responding  to  the
 request  for  qualifications.    Based upon such ratings, the authorized
 [state] entity shall list the entities that shall receive a request  for
 proposals  in  accordance  with subdivision (b) of this section.  To the
 extent consistent with applicable federal law,  the  authorized  [state]
 entity  shall  consider,  when  awarding  any  contract pursuant to this
 section, the participation of: (i) firms certified pursuant  to  article
 15-A  of the executive law as minority or women-owned businesses and the
 ability of other businesses under consideration to  work  with  minority
 and  women-owned businesses so as to promote and assist participation by
 such businesses; [and] (ii) small business concerns identified  pursuant
 to subdivision (b) of section 139-g of the state finance law.
   (b) Step two. Selection of the proposal which is the best value to the
 [state]  AUTHORIZED ENTITY.  The authorized [state] entity shall issue a
 request for proposals to the entities listed pursuant to subdivision (a)
 of this section.  If such an entity consists of a team of separate enti-
 ties, the entities that comprise such a team must remain unchanged  from
 the  entity as listed pursuant to subdivision (a) of this section unless
 otherwise approved by the authorized [state]  entity.  The  request  for
 proposals  shall  set  forth  the  project's  scope  of  work, and other
 requirements, as determined by  the  authorized  [state]  entity.    The
 request  for proposals shall specify the criteria to be used to evaluate
 the responses and the relative weight  of  each  such  criteria.    Such
 criteria   shall  include  the  proposal's  cost,  the  quality  of  the
 proposal's solution, the qualifications and experience  of  the  design-
 build  entity,  and  other  factors  deemed  pertinent by the authorized

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 [state] entity, which may include, but shall  not  be  limited  to,  the
 proposal's  project  implementation,  ability  to complete the work in a
 timely and satisfactory  manner,  maintenance  costs  of  the  completed
 project,  maintenance  of  traffic  approach,  and community impact. Any
 contract awarded pursuant to this act shall be awarded to  a  responsive
 and  responsible  entity  that submits the proposal, which, in consider-
 ation of these and other specified  criteria  deemed  pertinent  to  the
 project,  offers  the  best  value  to the [state] AUTHORIZED ENTITY, as
 determined by the authorized [state] entity.  Nothing  herein  shall  be
 construed  to  prohibit  the  authorized  entity  from negotiating final
 contract terms and conditions including cost.
   § 5. Section 6 of part F of chapter 60 of the laws of 2015  constitut-
 ing the infrastructure investment act, is amended to read as follows:
   §  6.  Construction for each capital project undertaken by the author-
 ized [state] entity pursuant to this act shall be deemed a "public work"
 to be performed in accordance with the provisions of article  8  of  the
 labor  law,  as well as subject to sections 200, 240, 241 and 242 of the
 labor law and enforcement of prevailing wage  requirements  by  the  New
 York state department of labor.
   §  6. Section 7 of part F of chapter 60 of the laws of 2015 constitut-
 ing the infrastructure investment act, is amended to read as follows:
   § 7. If otherwise  applicable,  capital  projects  undertaken  by  the
 authorized  [state]  entity  pursuant  to  this  act shall be subject to
 section 135 of the state finance law, SECTION 101 OF THE GENERAL MUNICI-
 PAL LAW, and section 222 of the labor law; PROVIDED,  HOWEVER,  THAT  AN
 AUTHORIZED  ENTITY  MAY FULFILL ITS OBLIGATIONS UNDER SECTION 135 OF THE
 STATE FINANCE LAW OR SECTION 101 OF THE GENERAL MUNICIPAL LAW BY REQUIR-
 ING THE CONTRACTOR TO PREPARE SEPARATE SPECIFICATIONS IN ACCORDANCE WITH
 SECTION 135 OF THE STATE FINANCE LAW  OR  SECTION  101  OF  THE  GENERAL
 MUNICIPAL LAW, AS THE CASE MAY BE.
   §  7. Section 8 of part F of chapter 60 of the laws of 2015 constitut-
 ing the infrastructure investment act, is amended to read as follows:
   § 8. Each contract entered  into  by  the  authorized  [state]  entity
 pursuant  to  this section shall comply with the objectives and goals of
 minority and women-owned business enterprises pursuant to  article  15-A
 of  the  executive  law  or,  for  projects receiving federal aid, shall
 comply with applicable federal requirements for  disadvantaged  business
 enterprises.
   §  8. Section 9 of part F of chapter 60 of the laws of 2015 constitut-
 ing the infrastructure investment act, is amended to read as follows:
   § 9. Capital projects undertaken  by  the  authorized  [state]  entity
 pursuant  to  this act shall be subject to the requirements of article 8
 of the  environmental  conservation  law,  and,  where  applicable,  the
 requirements of the national environmental policy act.
   § 9. Section 10 of part F of chapter 60 of the laws of 2015 constitut-
 ing the infrastructure investment act, is amended to read as follows:
   §  10.    If  otherwise applicable, capital projects undertaken by the
 authorized [state] entity pursuant to this  act  shall  be  governed  by
 sections 139-d, 139-j, 139-k, paragraph f of subdivision 1 and paragraph
 g of subdivision 9 of section 163 of the state finance law.
   §  10.  Section 12 of part F of chapter 60 of the laws of 2015 consti-
 tuting the infrastructure investment act, is amended to read as follows:
   § 12. Nothing contained in this act shall limit  the  right  or  obli-
 gation of the authorized [state] entity to comply with the provisions of
 any  existing  contract, including any existing contract with or for the

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 benefit of the holders of the  obligations  of  the  authorized  [state]
 entity, or to award contracts as otherwise provided by law.
   §  11.  Section 13 of part F of chapter 60 of the laws of 2015 consti-
 tuting the infrastructure investment act, is amended to read as follows:
   § 13. Alternative construction awarding processes.  (a)  Notwithstand-
 ing  the  provisions  of  any  other law to the contrary, the authorized
 [state] entity may award a construction contract:
   1. To the contractor offering the best value; or
   2. Utilizing a cost-plus not to exceed guaranteed maximum  price  form
 of  contract in which the authorized [state] entity shall be entitled to
 monitor and audit all project costs. In establishing  the  schedule  and
 process for determining a guaranteed maximum price, the contract between
 the authorized [state] entity and the contractor shall:
   (i)  describe  the  scope  of the work and the cost of performing such
 work;
   (ii) include a detailed line item cost breakdown;
   (iii) include a list of all drawings, specifications and other  infor-
 mation on which the guaranteed maximum price is based;
   (iv)  include  the dates for substantial and final completion on which
 the guaranteed maximum price is based; and
   (v) include a schedule of unit prices; or
   3. Utilizing a lump sum contract in which  the  contractor  agrees  to
 accept  a  set dollar amount for a contract which comprises a single bid
 without providing a cost breakdown for all costs such as for  equipment,
 labor, materials, as well as such contractor's profit for completing all
 items of work comprising the project.
   (b)  Capital  projects  undertaken by an authorized [state] entity may
 include an incentive clause in  the  contract  for  various  performance
 objectives, but the incentive clause shall not include an incentive that
 exceeds  the  quantifiable  value of the benefit received by the [state]
 AUTHORIZED ENTITY. The authorized [state] entity  shall  establish  such
 performance and payment bonds as it deems necessary.
   §  12.  Section 14 of part F of chapter 60 of the laws of 2015 consti-
 tuting the infrastructure investment act, is amended to read as follows:
   §  14.  Prequalified  contractors.  (a)  Notwithstanding   any   other
 provision  of  law, the authorized [state] entity may maintain a list of
 prequalified contractors who are eligible to submit a proposal  pursuant
 to  this  act  and entry into such list shall be continuously available.
 Prospective contractors may be prequalified as  contractors  to  provide
 particular  types  of  construction, in accordance with general criteria
 established by the authorized [state]  entity  which  may  include,  but
 shall  not  be  limited to, the experience, past performance, ability to
 undertake the type and complexity of work, financial capability, respon-
 sibility, compliance with equal employment opportunity requirements  and
 anti-discrimination  laws, and reliability. Such prequalification may be
 by categories designed by size and other factors.
   (b) A contractor who is denied prequalification or whose prequalifica-
 tion is revoked or suspended by the authorized [state] entity may appeal
 such decision to the authorized [state] entity.  If  such  a  suspension
 extends  for  more than three months, it shall be deemed a revocation of
 the prequalification. The authorized [state] entity may proceed with the
 contract award during any appeal.
   § 13. Part F of chapter 60  of  the  laws  of  2015  constituting  the
 infrastructure  investment  act, is amended by adding a new section 15-a
 to read as follows:

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   § 15-A. ANY CONTRACT AWARDED PURSUANT TO THIS ACT SHALL BE  DEEMED  TO
 BE AWARDED PURSUANT TO A COMPETITIVE PROCUREMENT FOR PURPOSES OF SECTION
 2879-A OF THE PUBLIC AUTHORITIES LAW.
   §  14.  Section 17 of part F of chapter 60 of the laws of 2015 consti-
 tuting the infrastructure investment act, is amended to read as follows:
   § 17. This act shall take effect immediately [and shall expire and  be
 deemed  repealed  2  years after such date, provided that, projects with
 requests for qualifications issued prior to such repeal shall be permit-
 ted to continue under this act notwithstanding such repeal].
   § 15. This act shall take effect immediately; provided,  however  that
 the amendments to the infrastructure investment act made by sections one
 through thirteen of this act shall not affect the repeal of such act and
 shall be deemed repealed therewith.
 
                                  PART Q
 
   Section  1.  Section 2 of chapter 21 of the laws of 2003, amending the
 executive law relating to permitting the secretary of state  to  provide
 special  handling  for  all documents filed or issued by the division of
 corporations and to permit additional levels of such expedited  service,
 as  amended by section 1 of part M of chapter 58 of the laws of 2016, is
 amended to read as follows:
   § 2. This act shall take effect immediately,  provided  however,  that
 section  one  of this act shall be deemed to have been in full force and
 effect on and after April 1, 2003 and shall expire  March  31,  [2017]
 2018.
   §  2.  This  act  shall take effect immediately and shall be deemed to
 have been in full force and effect on and after March 31, 2017.
 
                                  PART R
 
   Section 1. Paragraph (d) of section 304 of  the  business  corporation
 law is amended to read as follows:
   (d)  ANY DESIGNATED POST OFFICE ADDRESS MAINTAINED BY THE SECRETARY OF
 STATE AS AGENT OF A DOMESTIC CORPORATION OR FOREIGN CORPORATION FOR  THE
 PURPOSE  OF  MAILING PROCESS SHALL BE THE POST OFFICE ADDRESS, WITHIN OR
 WITHOUT THE STATE, TO WHICH A PERSON SHALL  MAIL  PROCESS  AGAINST  SUCH
 CORPORATION  AS  REQUIRED  BY THIS ARTICLE. Any designated [post-office]
 POST OFFICE address to which the secretary of state OR  A  PERSON  shall
 mail  a  copy of ANY process served upon [him] THE SECRETARY OF STATE as
 agent of a domestic corporation or a foreign corporation, shall continue
 until the filing of a certificate under this chapter directing the mail-
 ing to a different [post-office] POST OFFICE address.
   § 2. Paragraph (a) of section 305 of the business corporation law,  as
 amended  by  chapter  131  of  the  laws  of 1985, is amended to read as
 follows:
   (a) In addition to such designation of the secretary of  state,  every
 domestic  corporation  or authorized foreign corporation may designate a
 registered agent in this state upon whom  process  against  such  corpo-
 ration may be served. The agent shall be a natural person who is a resi-
 dent  of or has a business address in this state [or], a domestic corpo-
 ration  or  foreign  corporation  of  any  type  or  kind  formed[,]  or
 authorized to do business in this state, under this chapter or under any
 other  statute  of  this state, OR DOMESTIC LIMITED LIABILITY COMPANY OR
 FOREIGN LIMITED LIABILITY COMPANY FORMED OR AUTHORIZED TO DO BUSINESS IN
 THIS STATE.

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   § 3. Subparagraph 1 of paragraph (b) of section 306  of  the  business
 corporation  law,  as  amended  by  chapter  419 of the laws of 1990, is
 amended to read as follows:
   (1)  Service of process on the secretary of state as agent of a domes-
 tic or authorized foreign corporation, OR OTHER BUSINESS ENTITY THAT HAS
 DESIGNATED THE SECRETARY OF STATE AS AGENT FOR SERVICE OF PROCESS PURSU-
 ANT TO ARTICLE NINE OF THIS CHAPTER, shall be made by [personally deliv-
 ering to and leaving with the secretary of state or a  deputy,  or  with
 any person authorized by the secretary of state to receive such service,
 at  the  office of the department of state in the city of Albany, dupli-
 cate copies of such process together with the statutory fee,  which  fee
 shall  be  a  taxable  disbursement]  MAILING  THE PROCESS AND NOTICE OF
 SERVICE THEREOF BY CERTIFIED MAIL, RETURN  RECEIPT  REQUESTED,  TO  SUCH
 CORPORATION OR OTHER BUSINESS ENTITY, AT THE POST OFFICE ADDRESS ON FILE
 IN THE DEPARTMENT OF STATE, SPECIFIED FOR THIS PURPOSE. IF A DOMESTIC OR
 AUTHORIZED  FOREIGN  CORPORATION  HAS  NO  SUCH  ADDRESS  ON FILE IN THE
 DEPARTMENT OF STATE, THE PROCESS AND NOTICE OF SERVICE THEREOF SHALL  BE
 MAILED,  IN  THE CASE OF A DOMESTIC CORPORATION, IN CARE OF ANY DIRECTOR
 NAMED IN ITS CERTIFICATE OF  INCORPORATION  AT  THE  DIRECTOR'S  ADDRESS
 STATED  THEREIN OR, IN THE CASE OF AN AUTHORIZED FOREIGN CORPORATION, TO
 SUCH CORPORATION AT THE ADDRESS OF ITS OFFICE WITHIN THIS STATE ON  FILE
 IN THE DEPARTMENT. ON THE SAME DAY THAT SUCH PROCESS IS MAILED, A DUPLI-
 CATE  COPY OF SUCH PROCESS AND PROOF OF MAILING TOGETHER WITH THE STATU-
 TORY FEE, WHICH FEE SHALL BE A TAXABLE DISBURSEMENT SHALL BE  PERSONALLY
 DELIVERED  TO  AND LEFT WITH THE SECRETARY OF STATE OR A DEPUTY, OR WITH
 ANY PERSON AUTHORIZED BY THE SECRETARY OF STATE TO RECEIVE SUCH SERVICE,
 AT THE OFFICE OF THE DEPARTMENT OF STATE IN THE CITY OF ALBANY. PROOF OF
 MAILING SHALL BE BY AFFIDAVIT OF COMPLIANCE WITH THIS SECTION.   Service
 of  process  on  such  corporation  OR  OTHER  BUSINESS  ENTITY shall be
 complete when the secretary of state is so  served.  [The  secretary  of
 state  shall  promptly send one of such copies by certified mail, return
 receipt requested, to such corporation, at the post office  address,  on
 file  in the department of state, specified for the purpose. If a domes-
 tic or authorized foreign corporation has no such address on file in the
 department of state, the secretary of state shall so mail such copy,  in
 the case of a domestic corporation, in care of any director named in its
 certificate  of  incorporation  at the director's address stated therein
 or, in the case of an authorized foreign  corporation,  to  such  corpo-
 ration  at  the  address  of its office within this state on file in the
 department.]
   § 4. Subparagraphs 2 and 3 of paragraph (a) of section  306-A  of  the
 business  corporation  law, as added by chapter 469 of the laws of 1997,
 are amended to read as follows:
   (2) That the address of the party has been designated  by  the  corpo-
 ration  as  the  post office address to which [the secretary of state] A
 PERSON shall mail a copy of any process served on the secretary of state
 as agent for such corporation, SPECIFYING SUCH ADDRESS,  and  that  such
 party wishes to resign.
   (3) That sixty days prior to the filing of the certificate of resigna-
 tion  OR  RECEIPT  OF PROCESS with the department of state the party has
 sent a copy of the certificate of resignation for receipt of process  by
 registered  or  certified mail to the address of the registered agent of
 the designating corporation, if other than the party filing the  certif-
 icate  of  resignation[,]  for receipt of process, or if the [resigning]
 DESIGNATING corporation has  no  registered  agent,  then  to  the  last
 address  of  the  designating corporation known to the party, specifying

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 the address to which the copy was sent. If there is no registered  agent
 and  no  known  address  of the designating corporation, the party shall
 attach an affidavit to the  certificate  stating  that  a  diligent  but
 unsuccessful  search  was  made  by the party to locate the corporation,
 specifying what efforts were made.
   § 5. Subparagraph 7 of paragraph (a) of section 402  of  the  business
 corporation law is amended to read as follows:
   (7)  A  designation  of  the secretary of state as agent of the corpo-
 ration upon whom process against it may be served and  the  post  office
 address, within or without this state, to which [the secretary of state]
 A  PERSON  shall mail a copy of any process against it served upon [him]
 THE SECRETARY OF STATE.
   § 6. Subparagraph (c) of paragraph 1 of section 408  of  the  business
 corporation  law, as amended by section 3 of part S of chapter 59 of the
 laws of 2015, is amended to read as follows:
   (c) The post office address, within or without this  state,  to  which
 [the  secretary  of  state]  A  PERSON  shall mail a copy of any process
 against it served upon [him or  her]  THE  SECRETARY  OF  STATE.    Such
 address shall supersede any previous address on file with the department
 of state for this purpose.
   §  7.  Subparagraph  4 of paragraph (b) of section 801 of the business
 corporation law is amended to read as follows:
   (4) To specify or change the post office address to which [the  secre-
 tary  of  state]  A  PERSON shall mail a copy of any process against the
 corporation served upon [him] THE SECRETARY OF STATE.
   § 8. Subparagraph 2 of paragraph (b) of section 803  of  the  business
 corporation  law,  as  amended  by  chapter  803 of the laws of 1965, is
 amended to read as follows:
   (2) To specify or change the post office address to which [the  secre-
 tary  of  state]  A  PERSON shall mail a copy of any process against the
 corporation served upon [him] THE SECRETARY OF STATE.
   § 9. Paragraph (b) of section 805-A of the business  corporation  law,
 as  added  by  chapter  725  of  the laws of 1964, is amended to read as
 follows:
   (b) A certificate of change which changes only the post office address
 to which [the secretary of state] A PERSON shall  mail  a  copy  of  any
 process  against  a  corporation  served  upon [him or] THE SECRETARY OF
 STATE AND/OR the address of the registered agent, provided such  address
 being changed is the address of a person, partnership, LIMITED LIABILITY
 COMPANY  or other corporation whose address, as agent, is the address to
 be changed or who has been  designated  as  registered  agent  for  such
 corporation,  may  be signed[, verified] and delivered to the department
 of state by such agent. The certificate of change shall  set  forth  the
 statements  required under subparagraphs [(a)] (1), (2) and (3) OF PARA-
 GRAPH (A) of this section; that a notice  of  the  proposed  change  was
 mailed  to the corporation by the party signing the certificate not less
 than thirty days prior to the date of delivery  to  the  department  and
 that such corporation has not objected thereto; and that the party sign-
 ing  the  certificate  is the agent of such corporation to whose address
 [the secretary of state] A PERSON is required to mail copies of  process
 SERVED ON THE SECRETARY OF STATE or the registered agent, if such be the
 case.  A  certificate  signed[, verified] and delivered under this para-
 graph shall not be deemed to effect a change of location of  the  office
 of the corporation in whose behalf such certificate is filed.

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   § 10. Subparagraph 8 of paragraph (a) of section 904-a of the business
 corporation  law,  as  amended  by  chapter  177 of the laws of 2008, is
 amended to read as follows:
   (8)  If  the surviving or resulting entity is a foreign corporation or
 other business entity, a designation of the secretary of  state  as  its
 agent upon whom process against it may be served in the manner set forth
 in  paragraph  (b)  of section three hundred six of this chapter, in any
 action or special proceeding, and a post office address, within or with-
 out this state, to which [the secretary of state] A PERSON shall mail  a
 copy of any process against it served upon [him] THE SECRETARY OF STATE.
 Such post office address shall supersede any prior address designated as
 the address to which process shall be mailed;
   §  11. Clause (G) of subparagraph 2 of paragraph (e) of section 907 of
 the business corporation law, as amended by chapter 494 of the  laws  of
 1997, is amended to read as follows:
   (G)  A  designation  of  the secretary of state as its agent upon whom
 process against it may be served in the manner set  forth  in  paragraph
 (b)  of  section  306  (Service  of  process),  in any action or special
 proceeding, and a post office address, within or without this state,  to
 which [the secretary of state] A PERSON shall mail a copy of any process
 against  it  served  upon [him] THE SECRETARY OF STATE. Such post office
 address shall supersede any prior address designated as the  address  to
 which process shall be mailed.
   §  12. Subparagraph 6 of paragraph (a) of section 1304 of the business
 corporation law, as amended by chapter 684 of the laws of  1963  and  as
 renumbered  by  chapter  590  of the laws of 1982, is amended to read as
 follows:
   (6) A designation of the secretary of state as  its  agent  upon  whom
 process  against it may be served and the post office address, within or
 without this state, to which [the secretary of  state]  A  PERSON  shall
 mail a copy of any process against it served upon [him] THE SECRETARY OF
 STATE.
   §  13. Subparagraph 7 of paragraph (a) of section 1308 of the business
 corporation law, as amended by chapter 725 of the laws of  1964  and  as
 renumbered  by  chapter  186  of the laws of 1983, is amended to read as
 follows:
   (7) To specify or change the post office address to which [the  secre-
 tary  of  state]  A  PERSON  shall mail a copy of any process against it
 served upon [him] THE SECRETARY OF STATE.
   § 14. Subparagraph 2 of paragraph (a) and  paragraph  (c)  of  section
 1309-A  of the business corporation law, subparagraph 2 of paragraph (a)
 as added by chapter 725 of the laws of 1964 and paragraph (c) as amended
 by chapter 172 of the laws of 1999, are amended to read as follows:
   (2) To specify or change the post office address to which [the  secre-
 tary  of  state]  A  PERSON  shall mail a copy of any process against it
 served upon [him] THE SECRETARY OF STATE.
   (c) A certificate of change of application for authority which changes
 only the post office address to which [the secretary of state] A  PERSON
 shall  mail  a  copy of any process against an authorized foreign corpo-
 ration served upon [him or which] THE SECRETARY OF STATE AND/OR  changes
 the  address  of  its  registered  agent,  provided  such address is the
 address of a person, partnership, LIMITED  LIABILITY  COMPANY  or  other
 corporation whose address, as agent, is the address to be changed or who
 has  been  designated  as  registered  agent for such authorized foreign
 corporation, may be signed and delivered to the department of  state  by
 such agent. The certificate of change of application for authority shall

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 set  forth the statements required under subparagraphs (1), (2), (3) and
 (4) of paragraph (b) of this section; that  a  notice  of  the  proposed
 change was mailed by the party signing the certificate to the authorized
 foreign  corporation  not  less  than  thirty  days prior to the date of
 delivery to the department and that such corporation  has  not  objected
 thereto; and that the party signing the certificate is the agent of such
 foreign  corporation  to whose address [the secretary of state] A PERSON
 is required to mail copies of process SERVED ON THE SECRETARY  OF  STATE
 or  the  registered agent, if such be the case. A certificate signed and
 delivered under this paragraph shall not be deemed to effect a change of
 location of the office of the corporation in whose behalf  such  certif-
 icate is filed.
   §  15.  Subparagraphs  1 and 6 of paragraph (a) of section 1310 of the
 business corporation law, subparagraph 1 as amended by  chapter  590  of
 the laws of 1982, are amended to read as follows:
   (1)  The name of the foreign corporation as it appears on the index of
 names of existing domestic and authorized foreign  corporations  of  any
 type  or kind in the department of state, division of corporations [or,]
 AND the fictitious name, IF ANY, the corporation has agreed  to  use  in
 this  state  pursuant to paragraph (d) of section 1301 of this [chapter]
 ARTICLE.
   (6) A post office address, within or without this state, to which [the
 secretary of state] A PERSON shall mail a copy of any process against it
 served upon [him] THE SECRETARY OF STATE.
   § 16. Subparagraph 4 of paragraph (d) of section 1310 of the  business
 corporation law is amended to read as follows:
   (4)  The changed post office address, within or without this state, to
 which [the secretary of state] A PERSON shall mail a copy of any process
 against it served upon [him] THE SECRETARY OF STATE.
   § 17. Section 1311 of the business  corporation  law,  as  amended  by
 chapter 375 of the laws of 1998, is amended to read as follows:
 § 1311. Termination of existence.
   When  an  authorized foreign corporation is dissolved or its authority
 or existence is otherwise terminated or cancelled in the jurisdiction of
 its incorporation or when such foreign corporation  is  merged  into  or
 consolidated  with  another  foreign  corporation,  a certificate of the
 secretary of state, or official performing the equivalent function as to
 corporate records, of the jurisdiction of incorporation of such  foreign
 corporation attesting to the occurrence of any such event or a certified
 copy of an order or decree of a court of such jurisdiction directing the
 dissolution  of  such foreign corporation, the termination of its exist-
 ence or the cancellation of its authority  shall  be  delivered  to  the
 department  of  state.  The  filing  of the certificate, order or decree
 shall have the same effect as the filing of a certificate  of  surrender
 of  authority under section 1310 (Surrender of authority). The secretary
 of state shall continue as agent of the foreign  corporation  upon  whom
 process  against  it  may be served in the manner set forth in paragraph
 (b) of section 306 (Service  of  process),  in  any  action  or  special
 proceeding  based  upon  any  liability  or  obligation  incurred by the
 foreign corporation within this  state  prior  to  the  filing  of  such
 certificate,  order  or  decree and [he] THE PERSON SERVING SUCH PROCESS
 shall [promptly cause a copy of  any  such]  SEND  THE  process  [to  be
 mailed]  by  [registered]  CERTIFIED  mail, return receipt requested, to
 such foreign corporation at the post  office  address  on  file  in  his
 office  specified  for  such  purpose AND SHALL PROVIDE THE SECRETARY OF
 STATE WITH PROOF OF SUCH MAILING IN THE MANNER SET  FORTH  IN  PARAGRAPH

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 (B) OF SECTION 306 (SERVICE OF PROCESS).  The post office address may be
 changed  by  signing and delivering to the department of state a certif-
 icate of change setting forth  the  statements  required  under  section
 1309-A  (Certificate of change; contents) to effect a change in the post
 office address under  subparagraph  SEVEN  OF  PARAGRAPH  (a)  [(4)]  of
 section 1308 (Amendments or changes).
   §  18. Subparagraph 6 of paragraph (a) of section 1530 of the business
 corporation law, as added by chapter 505 of the laws of 1983, is amended
 to read as follows:
   (6) A designation of the secretary of state as  its  agent  upon  whom
 process  against it may be served and the post office address, within or
 without this state, to which [the secretary of  state]  A  PERSON  shall
 mail a copy of any process against it served upon [him] THE SECRETARY OF
 STATE.
   §  19.  Subdivision  10  of section 11 of the cooperative corporations
 law, as added by chapter 97 of the laws of 1969, is amended to  read  as
 follows:
   10. A  designation  of  the  secretary of state as agent of the corpo-
 ration upon whom process against it may be served and  the  post  office
 address, within or without this state, to which [the secretary of state]
 A  PERSON  shall mail a copy of any process against it served upon [him]
 THE SECRETARY OF STATE.
   § 20. Subdivision 10 of section 96 of the executive law, as amended by
 chapter 39 of the laws of 1987, is amended to read as follows:
   10. For service of process on the secretary of state, acting as  agent
 for  a  third  party  pursuant  to law, except as otherwise specifically
 provided by law, forty dollars. No fee shall be  collected  for  process
 served  on  behalf of [a] ANY STATE OFFICIAL, DEPARTMENT, BOARD, AGENCY,
 AUTHORITY, county, city, town or village or other political  subdivision
 of  the  state.  The fees paid the secretary of state shall be a taxable
 disbursement.
   § 21. The opening paragraph of subdivision  2  and  subdivision  3  of
 section  18 of the general associations law, as amended by chapter 13 of
 the laws of 1938, are amended and two new subdivisions 5 and 6 are added
 to read as follows:
   Every association doing business within this state shall file  in  the
 department  of  state  a  certificate in its associate name, signed [and
 acknowledged] by its president, or a vice-president,  or  secretary,  or
 treasurer,  or  managing director, or trustee, designating the secretary
 of state as an agent upon whom  process  in  any  action  or  proceeding
 against  the  association  may  be served within this state, and setting
 forth an address to which [the secretary of state] A PERSON shall mail a
 copy of any process against the association which  may  be  served  upon
 [him]  THE  SECRETARY  OF STATE pursuant to law.  Annexed to the certif-
 icate of designation shall be a statement, executed in the  same  manner
 as  the certificate is required to be executed under this section, which
 shall set forth:
   3.  Any association, from time to time,  may  change  the  address  to
 which  [the  secretary  of state] A PERSON is directed to mail copies of
 process SERVED ON THE SECRETARY OF STATE, by filing a statement to  that
 effect,  executed[,]  AND  signed [and acknowledged] in like manner as a
 certificate of designation as herein provided.
   5.  ANY DESIGNATED POST OFFICE ADDRESS MAINTAINED BY THE SECRETARY  OF
 STATE  AS  AGENT IN ANY ACTION OR PROCEEDING AGAINST THE ASSOCIATION FOR
 THE PURPOSE OF MAILING PROCESS SHALL BE THE POST OFFICE ADDRESS,  WITHIN
 OR  WITHOUT THE STATE, TO WHICH A PERSON SHALL MAIL PROCESS AGAINST SUCH

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 ASSOCIATION AS REQUIRED BY THIS ARTICLE.  SUCH  ADDRESS  SHALL  CONTINUE
 UNTIL THE FILING OF A CERTIFICATE UNDER THIS CHAPTER DIRECTING THE MAIL-
 ING TO A DIFFERENT POST OFFICE ADDRESS.
   6.  "PROCESS"  MEANS JUDICIAL PROCESS AND ALL ORDERS, DEMANDS, NOTICES
 OR OTHER PAPERS REQUIRED OR PERMITTED BY LAW TO BE PERSONALLY SERVED  ON
 AN  ASSOCIATION, FOR THE PURPOSE OF ACQUIRING JURISDICTION OF SUCH ASSO-
 CIATION IN ANY ACTION OR PROCEEDING, CIVIL OR  CRIMINAL,  WHETHER  JUDI-
 CIAL,  ADMINISTRATIVE, ARBITRATIVE OR OTHERWISE, IN THIS STATE OR IN THE
 FEDERAL COURTS SITTING IN OR FOR THIS STATE.
   § 22. Section 19 of the general associations law, as amended by  chap-
 ter 166 of the laws of 1991, is amended to read as follows:
   §  19.    Service of process. 1. Service of process against an associ-
 ation upon the secretary of state shall be made by MAILING  THE  PROCESS
 AND  NOTICE  OF  SERVICE  THEREOF  BY  CERTIFIED  MAIL,  RETURN  RECEIPT
 REQUESTED, TO SUCH CORPORATION OR OTHER BUSINESS  ENTITY,  AT  THE  POST
 OFFICE  ADDRESS,  ON FILE IN THE DEPARTMENT OF STATE, SPECIFIED FOR THIS
 PURPOSE. ON THE SAME DAY THAT SUCH PROCESS IS MAILED, A  DUPLICATE  COPY
 OF  SUCH  PROCESS  AND PROOF OF MAILING SHALL BE personally [delivering]
 DELIVERED to and [leaving] LEFT with [him] THE SECRETARY OF STATE  or  a
 deputy  [secretary of state or an associate attorney, senior attorney or
 attorney in the corporation division of the  department  of  state],  SO
 DESIGNATED  [duplicate  copies  of  such  process  at  the office of the
 department of state in the city of Albany]. At the time of such  service
 the plaintiff shall pay a fee of forty dollars to the secretary of state
 which  shall  be a taxable disbursement. [If the cost of registered mail
 for transmitting a copy of the process  shall  exceed  two  dollars,  an
 additional  fee  equal  to  such excess shall be paid at the time of the
 service of such process. The secretary of state shall forthwith send  by
 registered  mail  one  of  such copies to the association at the address
 fixed for that purpose, as herein provided.]
   2. PROOF OF MAILING SHALL BE BY  AFFIDAVIT  OF  COMPLIANCE  WITH  THIS
 SECTION.  SERVICE  OF PROCESS ON SUCH ASSOCIATION SHALL BE COMPLETE WHEN
 THE SECRETARY OF STATE IS SO SERVED. If  the  action  or  proceeding  is
 instituted in a court of limited jurisdiction, service of process may be
 made in the manner provided in this section if the cause of action arose
 within  the  territorial jurisdiction of the court and the office of the
 defendant, as set forth in its statement filed pursuant to section eigh-
 teen of this [chapter] ARTICLE, is within such territorial jurisdiction.
   § 23. Subdivision 2 of section 352-b of the general business  law,  as
 amended  by  chapter  252  of  the  laws  of 1983, is amended to read as
 follows:
   2. Service of such process upon the secretary of state shall  be  made
 by  personally  delivering to and leaving with him [or], a deputy secre-
 tary of state, OR WITH A PERSON AUTHORIZED BY THE SECRETARY OF STATE  TO
 RECEIVE  SUCH SERVICE, a copy thereof at the office of the department of
 state in the city of  Albany,  and  such  service  shall  be  sufficient
 service  provided that notice of such service and a copy of such process
 are forthwith sent by the attorney general to such person,  partnership,
 corporation,  company,  trust or association, by registered or certified
 mail with return receipt requested, at his or its office as set forth in
 the "broker-dealer's statement", "salesman's statement"  or  "investment
 advisor's  statement" filed in the department of law pursuant to section
 three hundred fifty-nine-e or section three  hundred  fifty-nine-eee  of
 this article, or in default of the filing of such statement, at the last
 address  known to the attorney general. Service of such process shall be
 complete on receipt by the attorney general of a return receipt purport-

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 ing to be signed by the addressee or a person qualified to  receive  his
 or  its  registered  or certified mail, in accordance with the rules and
 customs of the post office department, or, if acceptance was refused  by
 the  addressee or his or its agent, on return to the attorney general of
 the original envelope bearing a notation by the postal authorities  that
 receipt thereof was refused.
   § 24. Section 686 of the general business law, as added by chapter 730
 of the laws of 1980, is amended to read as follows:
   § 686. Designation of secretary of state as agent for service of proc-
 ess;  service  of  process. Any person who shall offer to sell or sell a
 franchise in this state as  a  franchisor,  subfranchisor  or  franchise
 sales  agent shall be deemed to have irrevocably appointed the secretary
 of state as his or its agent  upon  whom  may  be  served  any  summons,
 complaint,  subpoena, subpoena duces tecum, notice, order or other proc-
 ess directed to such person, or any partner, principal, officer,  sales-
 man or director thereof, or his or its successor, administrator or exec-
 utor,  in  any  action,  investigation, or proceeding which arises under
 this article or a rule hereunder, with the same force and validity as if
 served personally on such person.  Service  of  such  process  upon  the
 secretary of state shall be made by personally delivering to and leaving
 with  [him]  THE SECRETARY OF STATE or a deputy [secretary of state], OR
 WITH ANY PERSON AUTHORIZED BY THE SECRETARY OF  STATE  TO  RECEIVE  SUCH
 SERVICE,  a  copy  thereof at the office of the department of state, and
 such service shall be sufficient provided that notice  of  such  service
 and  a copy of such process are sent forthwith by the department to such
 person, by registered or certified mail with return  receipt  requested,
 at  his  address as set forth in the application for registration of his
 offering prospectus or in  the  registered  offering  prospectus  itself
 filed with the department of law pursuant to this article, or in default
 of  the  filing  of  such application or prospectus, at the last address
 known to the department. Service of such process shall be complete  upon
 receipt by the department of a return receipt purporting to be signed by
 the  addressee or a person qualified to receive his or its registered or
 certified mail, in accordance with the rules and  customs  of  the  post
 office  department,  or,  if  acceptance was refused or unclaimed by the
 addressee or his or its agent, or if the addressee moved without leaving
 a forwarding address, upon return to  the  department  of  the  original
 envelope bearing a notation by the postal authorities that receipt ther-
 eof was refused or that such mail was otherwise undeliverable.
   §  25.  Paragraph  4  of subdivision (e) of section 203 of the limited
 liability company law, as added by chapter 470 of the laws of  1997,  is
 amended to read as follows:
   (4)  a  designation  of the secretary of state as agent of the limited
 liability company upon whom process against it may  be  served  and  the
 post  office address, within or without this state, to which [the secre-
 tary of state] A PERSON shall mail a copy of  any  process  against  the
 limited  liability  company  served  upon  [him or her] THE SECRETARY OF
 STATE;
   § 26. Paragraph 4 of subdivision (a) of section  206  of  the  limited
 liability  company law, as amended by chapter 44 of the laws of 2006, is
 amended to read as follows:
   (4) a statement that the secretary of state  has  been  designated  as
 agent  of the limited liability company upon whom process against it may
 be served and the post office address, within or without this state,  to
 which [the secretary of state] A PERSON shall mail a copy of any process
 against it served upon [him or her] THE SECRETARY OF STATE;

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   §  27.  Paragraph  6  of subdivision (d) of section 211 of the limited
 liability company law is amended to read as follows:
   (6)  a  change  in  the post office address to which [the secretary of
 state] A PERSON shall mail a copy of any  process  against  the  limited
 liability  company  served  upon  [him or her] THE SECRETARY OF STATE if
 such change is made other than pursuant to section three hundred one  of
 this chapter;
   §  28. Section 211-A of the limited liability company law, as added by
 chapter 448 of the laws of 1998, is amended to read as follows:
   § 211-A. Certificate of change. (a) A limited  liability  company  may
 amend  its  articles of organization from time to time to (i) specify or
 change the location of the  limited  liability  company's  office;  (ii)
 specify  or  change  the  post office address to which [the secretary of
 state] A PERSON shall mail a copy of any  process  against  the  limited
 liability  company  served  upon [him] THE SECRETARY OF STATE; and (iii)
 make, revoke or change the designation of a registered agent, or specify
 or change the address of the registered agent.  Any  one  or  more  such
 changes  may  be  accomplished  by  filing a certificate of change which
 shall be entitled "Certificate of  Change  of ....... (name  of  limited
 liability  company) under section 211-A of the Limited Liability Company
 Law" and shall be signed and delivered to the department  of  state.  It
 shall set forth:
   (1)  the  name  of  the  limited liability company, and if it has been
 changed, the name under which it was formed;
   (2) the date the articles of organization were filed by the department
 of state; and
   (3) each change effected thereby.
   (b) A certificate of change which changes only the post office address
 to which [the secretary of state] A PERSON shall  mail  a  copy  of  any
 process  against  a  limited  liability company served upon [him or] THE
 SECRETARY OF STATE AND/OR the address of the registered agent,  provided
 such  address  being  changed  is  the address of a person, partnership,
 LIMITED LIABILITY COMPANY or corporation whose address, as agent, is the
 address to be changed or who has been designated as registered agent for
 such limited liability company  may  be  signed  and  delivered  to  the
 department  of  state by such agent. The certificate of change shall set
 forth the statements required under subdivision  (a)  of  this  section;
 that  a notice of the proposed change was mailed to the domestic limited
 liability company by the party signing the  certificate  not  less  than
 thirty days prior to the date of delivery to the department of state and
 that  such  domestic limited liability company has not objected thereto;
 and that the party signing the certificate is the agent of such  limited
 liability  company to whose address [the secretary of state] A PERSON is
 required to mail copies of process SERVED ON THE SECRETARY OF  STATE  or
 the  registered  agent,  if  such  be the case. A certificate signed and
 delivered under this subdivision shall not be deemed to effect a  change
 of  location  of  the  office  of the limited liability company in whose
 behalf such certificate is filed.
   § 29. Paragraph 2 of subdivision (b) of section  213  of  the  limited
 liability company law is amended to read as follows:
   (2)  to  change  the  post  office  address to which [the secretary of
 state] A PERSON shall mail a copy of any  process  against  the  limited
 liability company served upon [him or her] THE SECRETARY OF STATE; and
   § 30. Subdivisions (c) and (e) of section 301 of the limited liability
 company  law, subdivision (e) as amended by section 5 of part S of chap-
 ter 59 of the laws of 2015, are amended to read as follows:

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   (c) ANY DESIGNATED POST OFFICE ADDRESS MAINTAINED BY THE SECRETARY  OF
 STATE AS AGENT OF A DOMESTIC LIMITED LIABILITY COMPANY OR FOREIGN LIMIT-
 ED  LIABILITY  COMPANY  FOR  THE PURPOSE OF MAILING PROCESS SHALL BE THE
 POST OFFICE ADDRESS, WITHIN OR WITHOUT THE  STATE,  TO  WHICH  A  PERSON
 SHALL MAIL PROCESS AGAINST SUCH LIMITED LIABILITY COMPANY AS REQUIRED BY
 THIS  ARTICLE. Any designated post office address to which the secretary
 of state OR A PERSON shall mail a copy of process served  upon  [him  or
 her]  THE  SECRETARY  OF  STATE as agent of a domestic limited liability
 company or a foreign limited liability company shall continue until  the
 filing  of  a  certificate under this chapter directing the mailing to a
 different post office address.
   [(e)] (D) (1) Except as otherwise provided in this subdivision,  every
 limited liability company to which this chapter applies, shall biennial-
 ly  in  the  calendar month during which its articles of organization or
 application for authority were filed, or effective date thereof if stat-
 ed, file on forms prescribed by the  secretary  of  state,  a  statement
 setting  forth  the  post office address within or without this state to
 which [the secretary of state] A PERSON shall mail a copy of any process
 accepted against it served upon [him or her]  THE  SECRETARY  OF  STATE.
 Such  address  shall  supersede  any  previous  address on file with the
 department of state for this purpose.
   (2) The commissioner of taxation and  finance  and  the  secretary  of
 state  may  agree  to  allow  limited liability companies to include the
 statement specified in paragraph one of this subdivision on tax  reports
 filed  with  the  department of taxation and finance in lieu of biennial
 statements and in a manner prescribed by the  commissioner  of  taxation
 and  finance.    If  this agreement is made, starting with taxable years
 beginning on or after January first, two thousand sixteen, each  limited
 liability  company required to file the statement specified in paragraph
 one of this subdivision that is subject to the  filing  fee  imposed  by
 paragraph  three of subsection (c) of section six hundred fifty-eight of
 the tax law shall provide such statement  annually  on  its  filing  fee
 payment  form  filed with the department of taxation and finance in lieu
 of filing a statement under this section with the department  of  state.
 However,  each  limited  liability  company required to file a statement
 under this section must continue to file the biennial statement required
 by this section with the department of state until the limited liability
 company in fact has filed a filing fee payment form with the  department
 of  taxation  and  finance that includes all required information. After
 that time, the limited liability company shall continue to provide annu-
 ally the statement specified in paragraph one of this subdivision on its
 filing fee payment form in lieu of the biennial  statement  required  by
 this subdivision.
   (3) If the agreement described in paragraph two of this subdivision is
 made,  the  department  of  taxation  and  finance  shall deliver to the
 department of state the statement specified in  paragraph  one  of  this
 subdivision  contained  on  filing  fee payment forms. The department of
 taxation and finance must, to the  extent  feasible,  also  include  the
 current name of the limited liability company, department of state iden-
 tification  number  for such limited liability company, the name, signa-
 ture and capacity of the  signer  of  the  statement,  name  and  street
 address of the filer of the statement, and the email address, if any, of
 the filer of the statement.
   §  31.  Paragraphs  2  and  3 of subdivision (a), subparagraph (ii) of
 paragraph 2 and subparagraph (ii) of paragraph 3 of subdivision  (e)  of

 S. 2008--A                         73                         A. 3008--A
 
 section  301-A of the limited liability company law, as added by chapter
 448 of the laws of 1998, are amended to read as follows:
   (2)  that  the address of the party has been designated by the limited
 liability company as the post office address to which [the secretary  of
 state] A PERSON shall mail a copy of any process served on the secretary
 of  state  as agent for such limited liability company, SUCH ADDRESS and
 that such party wishes to resign.
   (3) that sixty days prior to the filing of the certificate of resigna-
 tion OR RECEIPT OF PROCESS with the department of state  the  party  has
 sent  a copy of the certificate of resignation for receipt of process by
 registered or certified mail to the address of the registered  agent  of
 the designated limited liability company, if other than the party filing
 the  certificate  of  resignation[,]  for  receipt of process, or if the
 [resigning] DESIGNATING limited  liability  company  has  no  registered
 agent,  then  to  the  last  address of the designated limited liability
 company known to the party, specifying the address to which the copy was
 sent. If there is no registered agent and no known address of the desig-
 nating limited liability company, the party shall attach an affidavit to
 the certificate stating that a diligent but unsuccessful search was made
 by the party to locate the limited liability  company,  specifying  what
 efforts were made.
   (ii)  sent  by or on behalf of the plaintiff to such limited LIABILITY
 company by registered or certified mail with return receipt requested to
 the last address of such limited liability company known to  the  plain-
 tiff.
   (ii)  Where  service  of  a copy of process was effected by mailing in
 accordance with this section, proof of service shall be by affidavit  of
 compliance  with  this  section filed, together with the process, within
 thirty days after receipt of the return receipt signed  by  the  limited
 liability company or other official proof of delivery or of the original
 envelope  mailed.  If a copy of the process is mailed in accordance with
 this section, there shall be filed  with  the  affidavit  of  compliance
 either  the  return  receipt signed by such limited LIABILITY company or
 other official proof of delivery, if acceptance was refused by  it,  the
 original envelope with a notation by the postal authorities that accept-
 ance  was  refused.  If  acceptance was refused a copy of the notice and
 process together with notice of the mailing by registered  or  certified
 mail  and  refusal  to  accept  shall  be  promptly sent to such limited
 liability company at the same address by ordinary mail and the affidavit
 of compliance shall so state. Service of process shall be  complete  ten
 days  after  such  papers  are  filed  with  the clerk of the court. The
 refusal to accept delivery of the registered or  certified  mail  or  to
 sign the return receipt shall not affect the validity of the service and
 such  limited  liability  company  refusing to accept such registered or
 certified mail shall be charged with knowledge of the contents thereof.
   § 32. Subdivision (a) of section 303 of the limited liability  company
 law,  as  relettered  by  chapter 341 of the laws of 1999, is amended to
 read as follows:
   (a) Service of process on the secretary of state as agent of a  domes-
 tic limited liability company [or], authorized foreign limited liability
 company,  OR  OTHER BUSINESS ENTITY THAT HAS DESIGNATED THE SECRETARY OF
 STATE AS AGENT FOR SERVICE OF PROCESS PURSUANT TO ARTICLE  TEN  OF  THIS
 CHAPTER,  SHALL  BE  MADE  BY  MAILING THE PROCESS AND NOTICE OF SERVICE
 THEREOF BY CERTIFIED MAIL, RETURN RECEIPT  REQUESTED,  TO  SUCH  LIMITED
 LIABILITY  COMPANY OR OTHER BUSINESS ENTITY, AT THE POST OFFICE ADDRESS,
 ON FILE IN THE DEPARTMENT OF STATE, SPECIFIED FOR THIS PURPOSE.  ON  THE

 S. 2008--A                         74                         A. 3008--A
 
 SAME DAY AS SUCH PROCESS IS MAILED, A DUPLICATE COPY OF SUCH PROCESS AND
 PROOF OF MAILING shall be [made by] personally [delivering] DELIVERED to
 and  [leaving] LEFT with the secretary of state or his or her deputy, or
 with  any  person  authorized  by the secretary of state to receive such
 service, at the office of the department of state in the city of Albany,
 [duplicate copies of such process]  together  with  the  statutory  fee,
 which fee shall be a taxable disbursement.  PROOF OF MAILING SHALL BE BY
 AFFIDAVIT  OF  COMPLIANCE  WITH THIS SECTION. Service of process on such
 limited liability company OR OTHER BUSINESS  ENTITY  shall  be  complete
 when  the secretary of state is so served. [The secretary of state shall
 promptly send one of such  copies  by  certified  mail,  return  receipt
 requested,  to such limited liability company at the post office address
 on file in the department of state specified for that purpose.]
   § 33. Section 305 of the limited liability company law is  amended  to
 read as follows:
   §  305.  Records  of  process  served on the secretary of state.   The
 [secretary of state] DEPARTMENT OF STATE shall keep  a  record  of  each
 process served upon the secretary of state under this chapter, including
 the  date of such service [and the action of the secretary of state with
 reference thereto]. IT SHALL, UPON REQUEST MADE WITHIN TEN YEARS OF SUCH
 SERVICE, ISSUE A CERTIFICATE UNDER ITS SEAL CERTIFYING AS TO THE RECEIPT
 OF THE PROCESS BY AN AUTHORIZED PERSON,  THE  DATE  AND  PLACE  OF  SUCH
 SERVICE  AND  THE  RECEIPT OF THE STATUTORY FEE. PROCESS SERVED UPON THE
 SECRETARY OF STATE UNDER THIS CHAPTER SHALL BE DESTROYED BY THE  DEPART-
 MENT OF STATE AFTER A PERIOD OF TEN YEARS FROM SUCH SERVICE.
   §  34.  Paragraph  4  of subdivision (a) of section 802 of the limited
 liability company law, as amended by chapter 470 of the laws of 1997, is
 amended to read as follows:
   (4) a designation of the secretary of state as  its  agent  upon  whom
 process  against it may be served and the post office address, within or
 without this state, to which [the secretary of  state]  A  PERSON  shall
 mail  a  copy  of  any  process  against it served upon [him or her] THE
 SECRETARY OF STATE;
   § 35. Section 804-A of the limited liability company law, as added  by
 chapter 448 of the laws of 1998, is amended to read as follows:
   § 804-A. Certificate of change. (a) A foreign limited liability compa-
 ny  may  amend  its  application  for authority from time to time to (i)
 specify or change  the  location  of  the  limited  liability  company's
 office;  (ii)  specify  or  change the post office address to which [the
 secretary of state] A PERSON shall mail a copy of  any  process  against
 the  limited liability company served upon [him] THE SECRETARY OF STATE;
 and (iii) to make, revoke or change  the  designation  of  a  registered
 agent,  or  to  specify or change the address of a registered agent. Any
 one or more such changes may be accomplished by filing a certificate  of
 change  which shall be entitled "Certificate of Change of ........ (name
 of limited liability company) under section 804-A of the Limited Liabil-
 ity Company Law" and shall be signed and delivered to the department  of
 state. It shall set forth:
   (1) the name of the foreign limited liability company and, if applica-
 ble, the fictitious name the limited liability company has agreed to use
 in this state pursuant to section eight hundred two of this article;
   (2) the date its application for authority was filed by the department
 of state; and
   (3) each change effected thereby[,].
   (b) A certificate of change which changes only the post office address
 to  which  [the  secretary  of  state] A PERSON shall mail a copy of any

 S. 2008--A                         75                         A. 3008--A
 
 process against a foreign limited liability company served upon [him or]
 THE SECRETARY OF STATE AND/OR  the  address  of  the  registered  agent,
 provided such address being changed is the address of a person, partner-
 ship [or], corporation OR OTHER LIMITED LIABILITY COMPANY whose address,
 as  agent,  is  the address to be  changed or who has been designated as
 registered agent for such limited liability company may  be  signed  and
 delivered  to  the department of state by such agent. The certificate of
 change shall set forth the statements required under subdivision (a)  of
 this  section;  that  a  notice of the proposed change was mailed to the
 foreign limited liability company by the party signing  the  certificate
 not  less  than thirty days prior to the date of delivery to the depart-
 ment of state and that such foreign limited liability  company  has  not
 objected  thereto;  and  that  the  party signing the certificate is the
 agent of such foreign limited liability company to  whose  address  [the
 secretary  of  state]  A  PERSON  is  required to mail copies of process
 SERVED ON THE SECRETARY OF STATE or the registered agent, if such be the
 case. A certificate signed and delivered under  this  subdivision  shall
 not  be  deemed  to  effect  a  change  of location of the office of the
 foreign limited liability company in whose behalf  such  certificate  is
 filed.
   §  36.  Paragraph  6  of subdivision (b) of section 806 of the limited
 liability company law is amended to read as follows:
   (6) a post office address, within or without this state, to which [the
 secretary of state] A PERSON shall mail a copy of any process against it
 served upon [him or her] THE SECRETARY OF STATE.
   § 37. Paragraph 11 of subdivision (a) of section 1003 of  the  limited
 liability company law, as amended by chapter 374 of the laws of 1998, is
 amended to read as follows:
   (11)  a  designation  of the secretary of state as its agent upon whom
 process against it may be served in the  manner  set  forth  in  article
 three  of  this  chapter in any action or special proceeding, and a post
 office address, within or without this state, to which [the secretary of
 state] A PERSON shall mail a copy of any process  served  upon  [him  or
 her]  THE  SECRETARY  OF STATE. Such post office address shall supersede
 any prior address designated as the address to which  process  shall  be
 mailed;
   §  38.  Clause  (iv) of subparagraph (A) of paragraph 2 of subdivision
 (c) of section 1203 of the limited liability company law, as amended  by
 chapter 44 of the laws of 2006, is amended to read as follows:
   (iv)  a  statement  that the secretary of state has been designated as
 agent of the professional service limited liability  company  upon  whom
 process  against it may be served and the post office address, within or
 without this state, to which [the secretary of  state]  A  PERSON  shall
 mail  a  copy  of  any  process  against it served upon [him or her] THE
 SECRETARY OF STATE;
   § 39. Paragraph 6 of subdivision (a) and subparagraph 5  of  paragraph
 (i)  of subdivision (d) of section 1306 of the limited liability company
 law, subparagraph 5 of paragraph (i) of subdivision (d)  as  amended  by
 chapter 44 of the laws of 2006, are amended to read as follows:
   (6)  a  designation  of  the secretary of state as its agent upon whom
 process against it may be served and the post office address, within  or
 without  this  state,  to  which [the secretary of state] A PERSON shall
 mail a copy of any process against it  served  upon  [him  or  her]  THE
 SECRETARY OF STATE; and
   (5)  a  statement  that  the secretary of state has been designated as
 agent of the foreign professional service limited liability company upon

 S. 2008--A                         76                         A. 3008--A
 
 whom process against it may be served and the post office address, with-
 in or without this state, to which [the secretary  of  state]  A  PERSON
 shall mail a copy of any process against it served upon [him or her] THE
 SECRETARY OF STATE;
   §  40.  Paragraph (d) of section 304 of the not-for-profit corporation
 law, as amended by chapter 358 of the laws of 2015, is amended  to  read
 as follows:
   (d)  ANY DESIGNATED POST OFFICE ADDRESS MAINTAINED BY THE SECRETARY OF
 STATE AS AGENT OF A DOMESTIC NOT-FOR-PROFIT CORPORATION OR FOREIGN  NOT-
 FOR-PROFIT  CORPORATION  FOR THE PURPOSE OF MAILING PROCESS SHALL BE THE
 POST OFFICE ADDRESS, WITHIN OR WITHOUT THE  STATE,  TO  WHICH  A  PERSON
 SHALL MAIL PROCESS AGAINST SUCH CORPORATION AS REQUIRED BY THIS ARTICLE.
 Any  designated [post-office] POST OFFICE address to which the secretary
 of state OR A PERSON shall mail a copy of process served  upon  [him  or
 her]  THE  SECRETARY  OF STATE as agent of a domestic corporation formed
 under article four of this chapter or foreign corporation, shall contin-
 ue until the filing of a certificate under this  chapter  directing  the
 mailing to a different [post-office] POST OFFICE address.
   §  41.  Paragraph (a) of section 305 of the not-for-profit corporation
 law, as amended by chapter 549 of the laws of 2013, is amended  to  read
 as follows:
   (a)  Every  domestic corporation or authorized foreign corporation may
 designate a registered agent in this state  upon  whom  process  against
 such  corporation may be served. The agent shall be a natural person who
 is a resident of or has a business address in this state or  a  domestic
 corporation  or  foreign corporation of any kind formed[,] or authorized
 to do business in this state, under this  chapter  or  under  any  other
 statute  of  this  state,  OR  A DOMESTIC LIMITED LIABILITY COMPANY OR A
 FOREIGN LIMITED LIABILITY COMPANY AUTHORIZED  TO  DO  BUSINESS  IN  THIS
 STATE.
   §  42.  Paragraph (b) of section 306 of the not-for-profit corporation
 law, as amended by chapter 23 of the laws of 2014, is amended to read as
 follows:
   (b) Service of process on the secretary of state as agent of a  domes-
 tic  corporation formed under article four of this chapter or an author-
 ized foreign corporation shall be made by MAILING THE PROCESS AND NOTICE
 OF SERVICE THEREOF BY CERTIFIED MAIL, RETURN RECEIPT REQUESTED, TO  SUCH
 CORPORATION  OR  OTHER  BUSINESS  ENTITY, AT THE POST OFFICE ADDRESS, ON
 FILE IN THE DEPARTMENT OF STATE, SPECIFIED FOR THIS PURPOSE. ON THE SAME
 DAY THAT SUCH PROCESS IS MAILED, A DUPLICATE COPY OF  SUCH  PROCESS  AND
 PROOF  OF  MAILING  SHALL  BE  personally  [delivering] DELIVERED to and
 [leaving] LEFT with the secretary of state or his or her deputy, or with
 any person authorized by the secretary of state to receive such service,
 at the office of the department of state in the city of Albany,  [dupli-
 cate  copies of such process] together with the statutory fee, which fee
 shall be a taxable disbursement.  PROOF OF MAILING SHALL BE BY AFFIDAVIT
 OF COMPLIANCE WITH THIS SECTION. Service of process on such  corporation
 OR  OTHER  BUSINESS ENTITY shall be complete when the secretary of state
 is so served.  [The secretary of state shall promptly send one  of  such
 copies by certified mail, return receipt requested, to such corporation,
 at  the  post office address, on file in the department of state, speci-
 fied for the purpose.] If a domestic corporation  formed  under  article
 four  of  this  chapter or an authorized foreign corporation has no such
 address on file in the department of  state,  the  [secretary  of  state
 shall  so  mail  such]  DUPLICATE copy OF THE PROCESS SHALL BE MAILED to

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 such corporation at the address of its office within this state on  file
 in the department.
   §  43.  Subparagraph 6 of paragraph (a) of section 402 of the not-for-
 profit corporation law, as added by chapter 564 of the laws of 1981  and
 as  renumbered by chapter 132 of the laws of 1985, is amended to read as
 follows:
   (6) A designation of the secretary of state as  agent  of  the  corpo-
 ration  upon  whom  process against it may be served and the post office
 address, within or without this state, to which [the secretary of state]
 A PERSON shall mail a copy of any process against it served  upon  [him]
 THE SECRETARY OF STATE.
   §  44.  Subparagraph 7 of paragraph (b) of section 801 of the not-for-
 profit corporation law, as amended by chapter 438 of the laws  of  1984,
 is amended to read as follows:
   (7)  To specify or change the post office address to which [the secre-
 tary of state] A PERSON shall mail a copy of  any  process  against  the
 corporation served upon [him] THE SECRETARY OF STATE.
   §  45.  Subparagraph 2 of paragraph (c) of section 802 of the not-for-
 profit corporation law, as amended by chapter 186 of the laws  of  1983,
 is amended to read as follows:
   (2)  To specify or change the post office address to which [the secre-
 tary of state] A PERSON shall mail a copy of  any  process  against  the
 corporation served upon [him] THE SECRETARY OF STATE.
   §  46.  Subparagraph 6 of paragraph (a) of section 803 of the not-for-
 profit corporation law, as amended by chapter 23 of the laws of 2014, is
 amended to read as follows:
   (6) A designation of the secretary of state as  agent  of  the  corpo-
 ration  upon  whom  process against it may be served and the post office
 address,   within or without this state,  to  which  [the  secretary  of
 state]  A PERSON shall mail a copy of any process against it served upon
 the secretary OF STATE.
   § 47. Paragraph (b) of section 803-A of the not-for-profit corporation
 law, as amended by chapter 172 of the laws of 1999, is amended  to  read
 as follows:
   (b) A certificate of change which changes only the post office address
 to  which  [the  secretary  of  state] A PERSON shall mail a copy of any
 process against the corporation served upon [him or]  THE  SECRETARY  OF
 STATE  AND/OR the address of the registered agent, provided such address
 being changed is the address of a person, partnership, LIMITED LIABILITY
 COMPANY or other corporation whose address, as agent, is the address  to
 be  changed  or  who  has  been  designated as registered agent for such
 corporation, may be signed and delivered to the department of  state  by
 such  agent.  The  certificate  of change shall set forth the statements
 required under subparagraphs (1), (2) and (3) of paragraph (a)  of  this
 section;  that  a notice of the proposed change was mailed to the corpo-
 ration by the party signing the certificate not less  than  thirty  days
 prior  to  the  date  of delivery to the department and that such corpo-
 ration has not objected thereto; and that the party signing the  certif-
 icate  is  the agent of such corporation to whose address [the secretary
 of state] A PERSON is required to mail copies of any process against the
 corporation served upon [him] THE SECRETARY OF STATE or  the  registered
 agent,  if  such  be  the case. A certificate signed and delivered under
 this paragraph shall not be deemed to effect a change of location of the
 office of the corporation in whose behalf such certificate is filed.

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   § 48. Clause (E) of subparagraph 2 of paragraph (d) of section 906  of
 the  not-for-profit  corporation  law, as amended by chapter 1058 of the
 laws of 1971, is amended to read as follows:
   (E)  A  designation  of  the secretary of state as its agent upon whom
 process against it may be served in the manner set  forth  in  paragraph
 (b)  of  section  306  (Service  of  process),  in any action or special
 proceeding described in [subparagraph] CLAUSE (D) OF  THIS  SUBPARAGRAPH
 and  a  post office address, within or without this state, to which [the
 secretary of state] A PERSON shall mail a copy of the  process  in  such
 action or special proceeding SERVED UPON THE SECRETARY OF STATE.
   §  49. Clause (F) of subparagraph 2 of paragraph (d) of section 908 of
 the not-for-profit corporation law is amended to read as follows:
   (F) A designation of the secretary of state as  his  agent  upon  whom
 process  against  it  may be served in the manner set forth in paragraph
 (b) of section 306 (Service  of  process),  in  any  action  or  special
 proceeding  described  in [subparagraph] CLAUSE (D) OF THIS SUBPARAGRAPH
 and a post office address, within or without the state,  to  which  [the
 secretary  of  state]  A PERSON shall mail a copy of the process in such
 action or special proceeding SERVED UPON BY THE SECRETARY OF STATE.
   § 50. Subparagraph 6 of paragraph (a) of section 1304 of the  not-for-
 profit  corporation  law,  as  renumbered  by chapter 590 of the laws of
 1982, is amended to read as follows:
   (6) A designation of the secretary of state as  its  agent  upon  whom
 process  against it may be served and the post office address, within or
 without this state, to which [the secretary of  state]  A  PERSON  shall
 mail a copy of any process against it served upon [him] THE SECRETARY OF
 STATE.
   §  51. Subparagraph 7 of paragraph (a) of section 1308 of the not-for-
 profit corporation law, as renumbered by chapter  186  of  the  laws  of
 1983, is amended to read as follows:
   (7)  To specify or change the post office address to which [the secre-
 tary of state] A PERSON shall mail a copy  of  any  process  against  it
 served upon [him] THE SECRETARY OF STATE.
   §  52.  Subparagraph  2  of paragraph (a) and paragraph (c) of section
 1310 of the not-for-profit corporation law, paragraph (c) as amended  by
 chapter 172 of the laws of 1999, are amended to read as follows:
   (2)  To specify or change the post office address to which [the secre-
 tary of state] A PERSON shall mail a copy  of  any  process  against  it
 served upon [him] THE SECRETARY OF STATE.
   (c) A certificate of change of application for authority which changes
 only  the post office address to which [the secretary of state] A PERSON
 shall mail a copy of any process against an  authorized  foreign  corpo-
 ration  served upon [him or] THE SECRETARY OF STATE AND/OR which changes
 the address of its  registered  agent,  provided  such  address  is  the
 address  of  a  person,  partnership, LIMITED LIABILITY COMPANY or other
 corporation whose address, as agent, is the address to be changed or who
 has been designated as registered  agent  for  such  authorized  foreign
 corporation,  may  be signed and delivered to the department of state by
 such agent. The certificate of change of application for authority shall
 set forth the statements required under subparagraphs (1), (2), (3)  and
 (4)  of  paragraph  (b)  of  this section; that a notice of the proposed
 change was mailed by the party signing the certificate to the authorized
 foreign corporation not less than thirty  days  prior  to  the  date  of
 delivery  to  the  department and that such corporation has not objected
 thereto; and that the party signing the certificate is the agent of such
 foreign corporation to whose address [the secretary of state]  A  PERSON

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 is  required  to mail copies of process SERVED ON THE SECRETARY OF STATE
 or the registered agent, if such be the case. A certificate  signed  and
 delivered under this paragraph shall not be deemed to effect a change of
 location  of  the office of the corporation in whose behalf such certif-
 icate is filed.
   § 53. Subparagraph 6 of paragraph (a) and subparagraph 4 of  paragraph
 (d) of section 1311 of the not-for-profit corporation law are amended to
 read as follows:
   (6) A post office address, within or without this state, to which [the
 secretary of state] A PERSON shall mail a copy of any process against it
 served upon [him] THE SECRETARY OF STATE.
   (4)  The changed post office address, within or without this state, to
 which [the secretary of state] A PERSON shall mail a copy of any process
 against it served upon [him] THE SECRETARY OF STATE.
   § 54. Section 1312 of the not-for-profit corporation law,  as  amended
 by chapter 375 of the laws of 1998, is amended to read as follows:
 § 1312. Termination of existence.
   When  an  authorized foreign corporation is dissolved or its authority
 or existence is otherwise terminated or cancelled in the jurisdiction of
 its incorporation or when such foreign corporation  is  merged  into  or
 consolidated  with  another  foreign  corporation,  a certificate of the
 secretary of state, or official performing the equivalent function as to
 corporate records, of the jurisdiction of incorporation of such  foreign
 corporation attesting to the occurrence of any such event or a certified
 copy of an order or decree of a court of such jurisdiction directing the
 dissolution  of  such foreign corporation, the termination of its exist-
 ence or the cancellation of its authority  shall  be  delivered  to  the
 department  of  state.    The filing of the certificate, order or decree
 shall have the same effect as the filing of a certificate  of  surrender
 of authority under section 1311 (Surrender of authority).  The secretary
 of  state  shall  continue as agent of the foreign corporation upon whom
 process against it may be served in the manner set  forth  in  paragraph
 (b)  of  section  306  (Service  of  process),  in any action or special
 proceeding based upon  any  liability  or  obligation  incurred  by  the
 foreign  corporation  within  this  state  prior  to  the filing of such
 certificate, order or decree and [he] THE PERSON  SERVING  SUCH  PROCESS
 shall  promptly cause a copy of any such process to be mailed by [regis-
 tered] CERTIFIED mail, return receipt requested, to such foreign  corpo-
 ration  at  the  post office address on file in his office specified for
 such purpose.  The post office address may be  changed  by  signing  and
 delivering  to  the  department of state a certificate of change setting
 forth the statements required under section 1310 (Certificate of change,
 contents) to effect a change in the post office address  under  subpara-
 graph  [(a)  (4)]  (7)  OF  PARAGRAPH (A) of section 1308 (Amendments or
 changes).
   § 55. Subdivision (c) of section 121-104 of the  partnership  law,  as
 added by chapter 950 of the laws of 1990, is amended to read as follows:
   (c)  ANY DESIGNATED POST OFFICE ADDRESS MAINTAINED BY THE SECRETARY OF
 STATE AS AGENT OF A DOMESTIC  LIMITED  PARTNERSHIP  OR  FOREIGN  LIMITED
 PARTNERSHIP  FOR THE PURPOSE OF MAILING PROCESS SHALL BE THE POST OFFICE
 ADDRESS, WITHIN OR WITHOUT THE STATE, TO WHICH A PERSON SHALL MAIL PROC-
 ESS AGAINST SUCH LIMITED PARTNERSHIP AS REQUIRED BY  THIS  ARTICLE.  Any
 designated  post  office  address  to  which the secretary of state OR A
 PERSON shall mail a copy of process served upon [him] THE  SECRETARY  OF
 STATE  as  agent  of  a  domestic limited partnership or foreign limited

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 partnership shall continue until the filing of a certificate under  this
 article directing the mailing to a different post office address.
   § 56. Paragraphs 1, 2 and 3 of subdivision (a) of section 121-104-A of
 the  partnership  law,  as added by chapter 448 of the laws of 1998, are
 amended to read as follows:
   (1) the name of the limited partnership and the date that  its  [arti-
 cles  of organization] CERTIFICATE OF LIMITED PARTNERSHIP or application
 for authority was filed by the department of state.
   (2) that the address of the party has been designated by  the  limited
 partnership as the post office address to which [the secretary of state]
 A  PERSON  shall  mail  a copy of any process served on the secretary of
 state as agent for such limited partnership, and that such party  wishes
 to resign.
   (3) that sixty days prior to the filing of the certificate of resigna-
 tion  FOR  RECEIPT OF PROCESS with the department of state the party has
 sent a copy of the certificate of resignation for receipt of process  by
 registered  or  certified mail to the address of the registered agent of
 the [designated] DESIGNATING limited  partnership,  if  other  than  the
 party  filing  the certificate of resignation[,] for receipt of process,
 or if the [resigning] DESIGNATING limited partnership has no  registered
 agent,  then to the last address of the [designated] DESIGNATING limited
 partnership, known to the party, specifying the  address  to  which  the
 copy  was  sent. If there is no registered agent and no known address of
 the designating limited partnership the party shall attach an  affidavit
 to  the  certificate stating that a diligent but unsuccessful search was
 made by the party to locate the  limited  partnership,  specifying  what
 efforts were made.
   §  57.  Subdivision  (a) of section 121-105 of the partnership law, as
 added by chapter 950 of the laws of 1990, is amended to read as follows:
   (a) In addition to the designation of the  secretary  of  state,  each
 limited partnership or authorized foreign limited partnership may desig-
 nate  a  registered agent upon whom process against the limited partner-
 ship may be served. The agent must be (i) a  natural  person  who  is  a
 resident  of  this  state  or has a business address in this state, [or]
 (ii) a domestic corporation or a foreign corporation  authorized  to  do
 business  in  this  state,  OR A DOMESTIC LIMITED LIABILITY COMPANY OR A
 FOREIGN LIMITED LIABILITY COMPANY AUTHORIZED  TO  DO  BUSINESS  IN  THIS
 STATE.
   §  58.  Subdivisions (a) and (c) of section 121-109 of the partnership
 law, as added by chapter 950 of the laws of 1990 and  as  relettered  by
 chapter 341 of the laws of 1999, are amended to read as follows:
   (a)  Service of process on the secretary of state as agent of a domes-
 tic or authorized foreign limited partnership, OR OTHER BUSINESS  ENTITY
 THAT HAS DESIGNATED THE SECRETARY OF STATE AS AGENT FOR SERVICE OF PROC-
 ESS PURSUANT TO THIS CHAPTER, shall be made [as follows:
   (1) By] BY MAILING THE PROCESS AND NOTICE OF SERVICE OF PROCESS PURSU-
 ANT TO THIS SECTION BY CERTIFIED MAIL, RETURN RECEIPT REQUESTED, TO SUCH
 DOMESTIC  OR  AUTHORIZED  FOREIGN  LIMITED PARTNERSHIP OR OTHER BUSINESS
 ENTITY, AT THE POST OFFICE ADDRESS, ON FILE IN THE DEPARTMENT OF  STATE,
 SPECIFIED  FOR THAT PURPOSE. ON THE SAME DAY AS THE PROCESS IS MAILED, A
 DUPLICATE COPY OF SUCH PROCESS AND PROOF OF MAILING SHALL BE  personally
 [delivering]  DELIVERED  to  and  [leaving]  LEFT  with [him or his] THE
 SECRETARY OF STATE OR A deputy, or with any  person  authorized  by  the
 secretary of state to receive such service, at the office of the depart-
 ment  of state in the city of Albany, [duplicate copies of such process]
 together with the statutory fee, which fee shall be a taxable  disburse-

 S. 2008--A                         81                         A. 3008--A
 
 ment.  PROOF  OF  MAILING  SHALL BE BY AFFIDAVIT OF COMPLIANCE WITH THIS
 SECTION. SERVICE OF PROCESS ON SUCH LIMITED PARTNERSHIP OR  OTHER  BUSI-
 NESS ENTITY SHALL BE COMPLETE WHEN THE SECRETARY OF STATE IS SO SERVED.
   [(2)  The  service  on  the  limited  partnership is complete when the
 secretary of state is so served.
   (3) The secretary of state shall promptly send one of such  copies  by
 certified mail, return receipt requested, addressed to the limited part-
 nership  at the post office address, on file in the department of state,
 specified for that purpose.]
   (c) The [secretary of state] DEPARTMENT OF STATE shall keep  a  record
 of  all process served upon [him] IT under this section and shall record
 therein the date of such service [and his action with  reference  there-
 to]. IT SHALL, UPON REQUEST MADE WITHIN TEN YEARS OF SUCH SERVICE, ISSUE
 A CERTIFICATE UNDER ITS SEAL CERTIFYING AS TO THE RECEIPT OF THE PROCESS
 BY  AN  AUTHORIZED  PERSON,  THE  DATE AND PLACE OF SUCH SERVICE AND THE
 RECEIPT OF THE STATUTORY FEE. PROCESS SERVED UPON THE SECRETARY OF STATE
 UNDER THIS CHAPTER SHALL BE DESTROYED BY HIM AFTER A PERIOD OF TEN YEARS
 FROM SUCH SERVICE.
   § 59. Paragraph 3 of subdivision (a) and subparagraph 4  of  paragraph
 (i)  of subdivision (c) of section 121-201 of the partnership law, para-
 graph 3 of subdivision (a) as amended by chapter  264  of  the  laws  of
 1991,  and subparagraph 4 of paragraph (i) of subdivision (c) as amended
 by chapter 44 of the laws of 2006, are amended to read as follows:
   (3) a designation of the secretary of state as agent  of  the  limited
 partnership  upon  whom  process  against  it may be served and the post
 office address, within or without this state, to which [the secretary of
 state] A PERSON shall mail a copy of any process against it served  upon
 [him] THE SECRETARY OF STATE;
   (4)  a  statement  that  the secretary of state has been designated as
 agent of the limited partnership upon whom process  against  it  may  be
 served  and  the  post  office address, within or without this state, to
 which [the secretary of state] A PERSON shall mail a copy of any process
 against it served upon [him or her] THE SECRETARY OF STATE;
   § 60. Paragraph 4 of subdivision (b) of section 121-202 of  the  part-
 nership  law,  as amended by chapter 576 of the laws of 1994, is amended
 to read as follows:
   (4) a change in the name of the limited partnership, or  a  change  in
 the post office address to which [the secretary of state] A PERSON shall
 mail  a  copy  of  any process against the limited partnership served on
 [him] THE SECRETARY OF STATE, or a change in the name or address of  the
 registered  agent, if such change is made other than pursuant to section
 121-104 or 121-105 of this article.
   § 61. Section 121-202-A of the partnership law, as  added  by  chapter
 448  of  the  laws of 1998, paragraph 2 of subdivision (a) as amended by
 chapter 172 of the laws of 1999, is amended to read as follows:
   § 121-202-A. Certificate of change. (a) A certificate of limited part-
 nership may be changed by filing with the department of state a  certif-
 icate of change entitled "Certificate of Change of ..... (name of limit-
 ed   partnership)   under  Section  121-202-A  of  the  Revised  Limited
 Partnership Act" and shall be signed and delivered to the department  of
 state. A certificate of change may (i) specify or change the location of
 the limited partnership's office; (ii) specify or change the post office
 address  to which [the secretary of state] A PERSON shall mail a copy of
 process against the limited partnership served upon [him] THE  SECRETARY
 OF  STATE;  and (iii) make, revoke or change the designation of a regis-

 S. 2008--A                         82                         A. 3008--A
 
 tered agent, or to specify or  change  the  address  of  its  registered
 agent. It shall set forth:
   (1)  the  name of the limited partnership, and if it has been changed,
 the name under which it was formed;
   (2) the date its certificate of limited partnership was filed  by  the
 department of state; and
   (3) each change effected thereby.
   (b) A certificate of change which changes only the post office address
 to  which  [the  secretary  of  state] A PERSON shall mail a copy of any
 process against a limited partnership served upon [him or] THE SECRETARY
 OF STATE AND/OR the address  of  the  registered  agent,  provided  such
 address  being  changed is the address of a person, partnership, LIMITED
 LIABILITY CORPORATION or corporation whose address,  as  agent,  is  the
 address to be changed or who has been designated as registered agent for
 such limited partnership shall be signed and delivered to the department
 of  state  by  such agent. The certificate of change shall set forth the
 statements required under subdivision (a) of this section; that a notice
 of the proposed change was mailed to the domestic limited partnership by
 the party signing the certificate not less than thirty days prior to the
 date of delivery to the department  of  state  and  that  such  domestic
 limited partnership has not objected thereto; and that the party signing
 the  certificate  is  the  agent  of  such  limited partnership to whose
 address [the secretary of state] A PERSON is required to mail copies  of
 process  SERVED  ON  THE  SECRETARY OF STATE or the registered agent, if
 such be the case. A certificate signed and delivered under this subdivi-
 sion shall not be deemed to effect a change of location of the office of
 the limited partnership in whose behalf such certificate is filed.
   § 62. Paragraph 4 of subdivision (a) and subparagraph 5  of  paragraph
 (i)  of subdivision (d) of section 121-902 of the partnership law, para-
 graph 4 of subdivision (a) as amended by chapter 172 of the laws of 1999
 and subparagraph 5 of paragraph (i) of subdivision  (d)  as  amended  by
 chapter 44 of the laws of 2006, are amended to read as follows:
   (4)  a  designation  of  the secretary of state as its agent upon whom
 process against it may be served and the post office address, within  or
 without  this  state,  to  which [the secretary of state] A PERSON shall
 mail a copy of any process against it served upon [him] THE SECRETARY OF
 STATE;
   (5) a statement that the secretary of state has been designated as its
 agent upon whom process against it may be served  and  the  post  office
 address, within or without this state, to which [the secretary of state]
 A PERSON shall mail a copy of any process against it served upon [him or
 her] THE SECRETARY OF STATE;
   §  63.  Section  121-903-A of the partnership law, as added by chapter
 448 of the laws of 1998, is amended to read as follows:
   § 121-903-A. Certificate of change. (a) A foreign limited  partnership
 may  change  its application for authority by filing with the department
 of state  a  certificate  of  change  entitled  "Certificate  of  Change
 of ........ (name of limited partnership) under Section 121-903-A of the
 Revised  Limited  Partnership  Act" and shall be signed and delivered to
 the department of state. A certificate of  change  may  (i)  change  the
 location  of  the  limited  partnership's  office;  (ii) change the post
 office address to which [the secretary of state] A PERSON shall  mail  a
 copy  of  process  against the limited partnership served upon [him] THE
 SECRETARY OF STATE; and (iii) make, revoke or change the designation  of
 a  registered  agent,  or to specify or change the address of its regis-
 tered agent. It shall set forth:

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   (1) the name of the foreign limited partnership  and,  if  applicable,
 the fictitious name the foreign limited partnership has agreed to use in
 this state pursuant to section 121-902 of this article;
   (2) the date its application for authority was filed by the department
 of state; and
   (3) each change effected thereby.
   (b) A certificate of change which changes only the post office address
 to  which  [the  secretary  of  state] A PERSON shall mail a copy of any
 process against a foreign limited partnership served upon [him  or]  THE
 SECRETARY  OF STATE AND/OR the address of the registered agent, provided
 such address being changed is the  address  of  a  person,  partnership,
 LIMITED LIABILITY COMPANY or corporation whose address, as agent, is the
 address to be changed or who has been designated as registered agent for
 such  foreign  limited  partnership shall be signed and delivered to the
 department of state by such agent. The certificate of change  shall  set
 forth  the  statements  required  under subdivision (a) of this section;
 that a notice of the proposed change was mailed to the  foreign  limited
 partnership  by  the  party signing the certificate not less than thirty
 days prior to the date of delivery to the department of state  and  that
 such  foreign limited partnership has not objected thereto; and that the
 party signing the certificate is the agent of such foreign limited part-
 nership to whose address [the secretary of state] A PERSON  is  required
 to mail copies of process SERVED ON THE SECRETARY OF STATE or the regis-
 tered  agent,  if  such  be the case. A certificate signed and delivered
 under this subdivision shall  not  be  deemed  to  effect  a  change  of
 location  of  the office of the limited partnership in whose behalf such
 certificate is filed.
   § 64. Paragraph 6 of subdivision (b) of section 121-905 of  the  part-
 nership  law, as added by chapter 950 of the laws of 1990, is amended to
 read as follows:
   (6) a post office address, within or without this state, to which [the
 secretary of state] A PERSON shall mail a copy of any process against it
 served upon [him] THE SECRETARY OF STATE.
   § 65. Paragraph 7 of subdivision (a) of section 121-1103 of the  part-
 nership  law, as added by chapter 950 of the laws of 1990, is amended to
 read as follows:
   (7) A designation of the secretary of state as  its  agent  upon  whom
 process  against  it  may  be  served in the manner set forth in section
 121-109 of this article in any action or special proceeding, and a  post
 office address, within or without this state, to which [the secretary of
 state]  A  PERSON shall mail a copy of any process served upon [him] THE
 SECRETARY OF STATE.  Such post office address shall supersede any  prior
 address designated as the address to which process shall be mailed.
   §  66. Subparagraphs 2 and 4 of paragraph (I) and clause 4 of subpara-
 graph (A) of paragraph (II) of subdivision (a) of  section  121-1500  of
 the partnership law, subparagraph 2 of paragraph (I) as added by chapter
 576  of  the laws of 1994, subparagraph 4 of paragraph (I) as amended by
 chapter 643 of the laws of 1995 and such paragraph  as  redesignated  by
 chapter  767  of  the  laws  of 2005 and clause 4 of subparagraph (A) of
 paragraph (II) as amended by chapter 44 of the laws of 2006, are amended
 to read as follows:
   (2) the address, WITHIN THIS STATE, of the  principal  office  of  the
 partnership without limited partners;
   (4)  a  designation of the secretary of state as agent of the partner-
 ship without limited partners upon whom process against it may be served
 and the post office address, within or without this state, to which  the

 S. 2008--A                         84                         A. 3008--A
 
 [secretary  of  state] A PERSON shall mail a copy of any process against
 it or served [upon it] ON THE SECRETARY OF STATE;
   (4)  a  statement  that  the secretary of state has been designated as
 agent of the registered limited liability partnership upon whom  process
 against  it may be served and the post office address, within or without
 this state, to which [the secretary of state] A PERSON shall mail a copy
 of any process against it served upon [him  or  her]  THE  SECRETARY  OF
 STATE;
   § 67. Paragraphs (ii) and (iii) of subdivision (g) of section 121-1500
 of  the partnership law, as amended by section 8 of part S of chapter 59
 of the laws of 2015, are amended to read as follows:
   (ii) the address, WITHIN THIS STATE, of the principal  office  of  the
 registered limited liability partnership, (iii) the post office address,
 within or without this state, to which [the secretary of state] A PERSON
 shall mail a copy of any process accepted against it served upon [him or
 her]  THE SECRETARY OF STATE, which address shall supersede any previous
 address on file with the department of state for this purpose, and
   § 68. Subdivision (j-1) of section 121-1500 of the partnership law, as
 added by chapter 448 of the laws of 1998, is amended to read as follows:
   (j-1) A certificate of change  which  changes  only  the  post  office
 address  to which [the secretary of state] A PERSON shall mail a copy of
 any process against a registered limited  liability  partnership  served
 upon  [him]  THE SECRETARY OF STATE AND/or the address of the registered
 agent, provided such address being changed is the address of  a  person,
 partnership,  LIMITED LIABILITY COMPANY or corporation whose address, as
 agent, is the address to be changed or who has been designated as regis-
 tered agent for such registered limited liability partnership  shall  be
 signed  and  delivered  to  the  department  of state by such agent. The
 certificate of change shall set forth: (i) the name  of  the  registered
 limited  liability  partnership  and,  if  it has been changed, the name
 under which it was originally filed with the department of  state;  (ii)
 the  date  of  filing  of  its initial registration or notice statement;
 (iii) each change effected thereby; (iv) that a notice of  the  proposed
 change  was  mailed  to  the  limited liability partnership by the party
 signing the certificate not less than thirty days prior to the  date  of
 delivery  to  the  department  of  state and that such limited liability
 partnership has not objected thereto; and (v) that the party signing the
 certificate is the agent of such limited liability partnership to  whose
 address  [the secretary of state] A PERSON is required to mail copies of
 process SERVED ON THE SECRETARY OF STATE or  the  registered  agent,  if
 such be the case. A certificate signed and delivered under this subdivi-
 sion shall not be deemed to effect a change of location of the office of
 the  limited  liability  partnership in whose behalf such certificate is
 filed. The certificate of change shall be accompanied by a fee  of  five
 dollars.
   §  69.  Subdivision (a) of section 121-1502 of the partnership law, as
 amended by chapter 643 of the laws of 1995, paragraph (v) as amended  by
 chapter 470 of the laws of 1997, is amended to read as follows:
   (a)  In  order for a foreign limited liability partnership to carry on
 or conduct or transact business or activities as a New  York  registered
 foreign limited liability partnership in this state, such foreign limit-
 ed  liability  partnership  shall  file  with  the department of state a
 notice which shall set forth: (i)  the  name  under  which  the  foreign
 limited liability partnership intends to carry on or conduct or transact
 business  or  activities  in  this state; (ii) the date on which and the
 jurisdiction in which it registered as a limited liability  partnership;

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 (iii)  the  address,  WITHIN  THIS STATE, of the principal office of the
 foreign  limited  liability  partnership;   (iv)   the   profession   or
 professions  to  be practiced by such foreign limited liability partner-
 ship  and a statement that it is a foreign limited liability partnership
 eligible to file a notice under this chapter; (v) a designation  of  the
 secretary of state as agent of the foreign limited liability partnership
 upon  whom  process against it may be served and the post office address
 within or without this state, to which [the secretary of state] A PERSON
 shall mail a copy of any process against it [or] served  upon  [it]  THE
 SECRETARY OF STATE; (vi) if the foreign limited liability partnership is
 to  have  a  registered  agent, its name and address in this state and a
 statement that the registered agent is to be the agent  of  the  foreign
 limited  liability  partnership  upon  whom  process  against  it may be
 served; (vii) a statement that its registration as a  limited  liability
 partnership is effective in the jurisdiction in which it registered as a
 limited  liability partnership at the time of the filing of such notice;
 (viii) a statement that the foreign  limited  liability  partnership  is
 filing  a  notice  in  order  to  obtain status as a New York registered
 foreign limited liability partnership; (ix) if the registration  of  the
 foreign limited liability partnership is to be effective on a date later
 than  the  time  of  filing, the date, not to exceed sixty days from the
 date of filing, of  such  proposed  effectiveness;  and  (x)  any  other
 matters  the foreign limited liability partnership determines to include
 in the notice. Such notice shall be accompanied by either (1) a copy  of
 the  last  registration  or renewal registration (or similar filing), if
 any, filed by the foreign limited liability partnership with the  juris-
 diction  where it registered as a limited liability partnership or (2) a
 certificate, issued by the jurisdiction where it registered as a limited
 liability partnership, substantially to the  effect  that  such  foreign
 limited  liability  partnership  has  filed  a registration as a limited
 liability partnership which is effective on the date of the  certificate
 (if  such  registration,  renewal  registration  or  certificate is in a
 foreign language, a translation thereof under  oath  of  the  translator
 shall  be  attached thereto). Such notice shall also be accompanied by a
 fee of two hundred fifty dollars.
   § 70. Subparagraphs (ii) and (iii) of paragraph (I) of subdivision (f)
 of section 121-1502 of the partnership law, as amended by section  9  of
 part  S  of  chapter  59  of  the  laws  of 2015, are amended to read as
 follows:
   (ii) the address, WITHIN THIS STATE, of the principal  office  of  the
 New  York  registered  foreign  limited liability partnership, (iii) the
 post office address, within or without this state, to which [the  secre-
 tary  of  state]  A  PERSON  shall  mail  a copy of any process accepted
 against it served upon [him  or  her]  THE  SECRETARY  OF  STATE,  which
 address shall supersede any previous address on file with the department
 of state for this purpose, and
   §  71.  Clause  5 of subparagraph (A) of paragraph (II) of subdivision
 (f) of section 121-1502 of the partnership law, as amended by chapter 44
 of the laws of 2006, is amended to read as follows:
   (5) a statement that the secretary of state  has  been  designated  as
 agent  of  the  foreign  limited liability partnership upon whom process
 against it may be served and the post office address, within or  without
 this state, to which [the secretary of state] A PERSON shall mail a copy
 of  any  process  against  it  served upon [him or her] THE SECRETARY OF
 STATE;

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   § 72. Subdivision (i-1) of section 121-1502 of the partnership law, as
 added by chapter 448 of the laws of 1998, is amended to read as follows:
   (i-1)  A  certificate  of  change  which  changes only the post office
 address to which [the secretary of state] A PERSON shall mail a copy  of
 any  process  against  a  New  York registered foreign limited liability
 partnership served upon [him] THE SECRETARY OF STATE AND/or the  address
 of  the  registered  agent,  provided  such address being changed is the
 address of a person, partnership, LIMITED LIABILITY  COMPANY  or  corpo-
 ration  whose address, as agent, is the address to be changed or who has
 been designated as registered agent of such registered  foreign  limited
 liability partnership shall be signed and delivered to the department of
 state  by such agent. The certificate of change shall set forth: (i) the
 name of the New York registered foreign limited  liability  partnership;
 (ii) the date of filing of its initial registration or notice statement;
 (iii)  each  change effected thereby; (iv) that a notice of the proposed
 change was mailed to the limited  liability  partnership  by  the  party
 signing  the  certificate not less than thirty days prior to the date of
 delivery to the department of state  and  that  such  limited  liability
 partnership has not objected thereto; and (v) that the party signing the
 certificate  is the agent of such limited liability partnership to whose
 address [the secretary of state] A PERSON is required to mail copies  of
 process  SERVED  ON  THE  SECRETARY OF STATE or the registered agent, if
 such be the case. A certificate signed and delivered under this subdivi-
 sion shall not be deemed to effect a change of location of the office of
 the limited liability partnership in whose behalf  such  certificate  is
 filed.  The  certificate of change shall be accompanied by a fee of five
 dollars.
   § 73. Subdivision (a) of section 121-1505 of the partnership  law,  as
 added  by chapter 470 of the laws of 1997, is amended and two new subdi-
 visions (d) and (e) are added to read as follows:
   (a) Service of process on the secretary of state as agent of a  regis-
 tered  limited  liability  partnership  OR  NEW  YORK REGISTERED FOREIGN
 LIMITED LIABILITY PARTNERSHIP under this article shall be made by  MAIL-
 ING  THE PROCESS AND NOTICE OF SERVICE THEREOF BY CERTIFIED MAIL, RETURN
 RECEIPT REQUESTED, TO SUCH REGISTERED LIMITED LIABILITY  PARTNERSHIP  OR
 NEW  YORK  REGISTERED FOREIGN LIMITED LIABILITY PARTNERSHIP, AT THE POST
 OFFICE ADDRESS ON FILE IN THE DEPARTMENT OF  STATE  SPECIFIED  FOR  SUCH
 PURPOSE.  ON THE SAME DATE THAT SUCH PROCESS IS MAILED, A DUPLICATE COPY
 OF SUCH PROCESS AND PROOF OF MAILING TOGETHER WITH  THE  STATUTORY  FEE,
 WHICH  FEE SHALL BE A TAXABLE DISBURSEMENT SHALL BE personally [deliver-
 ing] DELIVERED to and [leaving] LEFT with the secretary of  state  or  a
 deputy,  or  with  any  person  authorized  by the secretary of state to
 receive such service, at the office of the department of  state  in  the
 city  of  Albany,  [duplicate  copies of such process] together with the
 statutory fee, which fee shall be a taxable disbursement. PROOF OF MAIL-
 ING SHALL BE BY AFFIDAVIT OF COMPLIANCE WITH THIS  SECTION.  Service  of
 process  on  such  registered  limited liability partnership OR NEW YORK
 REGISTERED FOREIGN LIMITED LIABILITY PARTNERSHIP shall be complete  when
 the  secretary  of  state  is  so  served. [The secretary of state shall
 promptly send one of such  copies  by  certified  mail,  return  receipt
 requested, to such registered limited liability partnership, at the post
 office  address  on  file  in the department of state specified for such
 purpose.]
   (D) THE DEPARTMENT OF STATE SHALL KEEP A RECORD OF EACH PROCESS SERVED
 UPON THE SECRETARY OF STATE UNDER THIS CHAPTER, INCLUDING  THE  DATE  OF
 SUCH  SERVICE.  IT  SHALL,  UPON  REQUEST  MADE WITHIN TEN YEARS OF SUCH

 S. 2008--A                         87                         A. 3008--A
 
 SERVICE, ISSUE A CERTIFICATE UNDER ITS SEAL CERTIFYING AS TO THE RECEIPT
 OF THE PROCESS BY AN AUTHORIZED PERSON,  THE  DATE  AND  PLACE  OF  SUCH
 SERVICE  AND  THE RECEIPT OF THE STATUTORY FEE.  PROCESS SERVED UPON THE
 SECRETARY  OF STATE UNDER THIS CHAPTER SHALL BE DESTROYED BY THE DEPART-
 MENT OF STATE AFTER A PERIOD OF TEN YEARS FROM SUCH SERVICE.
   (E) ANY DESIGNATED POST OFFICE ADDRESS MAINTAINED BY THE SECRETARY  OF
 STATE AS AGENT OF A REGISTERED LIMITED LIABILITY PARTNERSHIP OR NEW YORK
 REGISTERED  FOREIGN  LIMITED  LIABILITY  PARTNERSHIP  FOR THE PURPOSE OF
 MAILING PROCESS SHALL BE THE POST OFFICE ADDRESS, WITHIN OR WITHOUT  THE
 STATE, TO WHICH A PERSON SHALL MAIL PROCESS AGAINST SUCH LIMITED LIABIL-
 ITY  COMPANY  AS  REQUIRED  BY THIS ARTICLE. SUCH ADDRESS SHALL CONTINUE
 UNTIL THE FILING OF A CERTIFICATE UNDER THIS CHAPTER DIRECTING THE MAIL-
 ING TO A DIFFERENT POST OFFICE ADDRESS.
   § 74. Subdivision (b) of section 121-1506 of the partnership  law,  as
 added  by  chapter  448  of  the laws of 1998, paragraph 4 as amended by
 chapter 172 of the laws of 1999, is amended to read as follows:
   (b) The party (or the party's legal representative) whose post  OFFICE
 address  has  been  supplied  by  a limited liability partnership as its
 address for process may resign. A certificate entitled  "Certificate  of
 Resignation  for  Receipt  of  Process  under Section 121-1506(b) of the
 Partnership Law" shall be signed by such  party  and  delivered  to  the
 department of state. It shall set forth:
   (1)  The  name  of the limited liability partnership and the date that
 its certificate of registration was filed by the department of state.
   (2) That the address of the party has been designated by  the  limited
 liability partnership as the post office address to which [the secretary
 of state] A PERSON shall mail a copy of any process served on the secre-
 tary  of  state as agent for such limited liability partnership and that
 such party wishes to resign.
   (3) That sixty days prior to the filing of the certificate of resigna-
 tion with the department of state the party  has  sent  a  copy  of  the
 certificate  of  resignation  for  receipt  of  process by registered or
 certified mail to the address of the registered  agent  of  the  [desig-
 nated]  DESIGNATING  limited  liability  partnership,  if other than the
 party filing the certificate of resignation, for receipt of process,  or
 if  the  [resigning]  DESIGNATING  limited  liability partnership has no
 registered agent, then to the last address of the [designated] DESIGNAT-
 ING limited liability partnership, known to the  party,  specifying  the
 address  to which the copy was sent. If there is no registered agent and
 no known address of the designating limited  liability  partnership  the
 party  shall attach an affidavit to the certificate stating that a dili-
 gent but unsuccessful search was made by the party to locate the limited
 liability partnership, specifying what efforts were made.
   (4) That the [designated] DESIGNATING limited liability partnership is
 required to deliver to the department of state a certificate  of  amend-
 ment  providing for the designation by the limited liability partnership
 of a new address and that upon its failure to file such certificate, its
 authority to do business in this state shall be suspended.
   § 75. Paragraph 16 of subdivision 1 of  section  103  of  the  private
 housing  finance  law,  as  added  by chapter 22 of the laws of 1970, is
 amended to read as follows:
   (16) A designation of the secretary of state as agent  of  the  corpo-
 ration  upon  whom  process against it may be served and the post office
 address, within or without this state, to which [the secretary of state]
 A PERSON shall mail a copy of any process against it served  upon  [him]
 THE SECRETARY OF STATE.

 S. 2008--A                         88                         A. 3008--A
 
   §  76.  Subdivision  7  of  section  339-n of the real property law is
 REPEALED and subdivisions 8 and 9 are renumbered subdivisions 7 and 8.
   §  76-a.  Subdivision  15  of  section  20.03 of the arts and cultural
 affairs law, as added by chapter 656 of the laws of 1991, is amended  to
 read as follows:
   15. "Non-institutional  portion"  shall  mean the part or portion of a
 combined-use facility other than the institutional portion. If the  non-
 institutional  portion,  or any part thereof, consists of a condominium,
 the consent of the trust which has developed or approved  the  developer
 of  such  condominium  shall  be  required prior to any amendment of the
 declaration of such condominium pursuant to subdivision [nine] EIGHT  of
 section  three  hundred thirty-nine-n of the real property law and prior
 to any amendment of the by-laws of such condominium  pursuant  to  para-
 graph  (j)  of subdivision one of section three hundred thirty-nine-v of
 the real property law, and whether or not such trust is a unit owner  of
 such  condominium,  it  may exercise the rights of the board of managers
 and an aggrieved unit owner under section three hundred thirty-nine-j of
 the real property law in the case of a failure of any unit owner of such
 condominium to comply with the by-laws of such condominium and with  the
 rules, regulations, and decisions adopted pursuant thereto.
   §  77.  Subdivision  2  of  section 339-s of the real property law, as
 added by chapter 346 of the laws of 1997, is amended to read as follows:
   2. [Each such declaration, and any  amendment  or  amendments  thereof
 shall  be  filed with the department of state] (A) THE BOARD OF MANAGERS
 FOR EACH CONDOMINIUM SUBJECT TO THIS ARTICLE SHALL FILE WITH THE  SECRE-
 TARY  OF STATE A CERTIFICATE, IN WRITING, SIGNED, DESIGNATING THE SECRE-
 TARY OF STATE AS AGENT OF  THE  BOARD  OF  MANAGERS  UPON  WHOM  PROCESS
 AGAINST  IT  MAY BE SERVED AND THE POST OFFICE ADDRESS TO WHICH A PERSON
 SHALL MAIL A COPY OF SUCH PROCESS.  THE CERTIFICATE SHALL BE ACCOMPANIED
 BY A FEE OF SIXTY DOLLARS.
   (B) ANY BOARD OF MANAGERS MAY CHANGE THE ADDRESS  TO  WHICH  A  PERSON
 SHALL  MAIL  A  COPY  OF  PROCESS SERVED UPON THE SECRETARY OF STATE, BY
 FILING A SIGNED CERTIFICATE OF AMENDMENT WITH THE DEPARTMENT  OF  STATE.
 SUCH CERTIFICATE SHALL BE ACCOMPANIED BY A FEE OF SIXTY DOLLARS.
   (C)  SERVICE  OF PROCESS ON THE SECRETARY OF STATE AS AGENT OF A BOARD
 OF MANAGERS SHALL BE MADE BY MAILING THE PROCESS AND NOTICE  OF  SERVICE
 OF  PROCESS  PURSUANT  TO THIS SECTION BY CERTIFIED MAIL, RETURN RECEIPT
 REQUESTED, TO SUCH BOARD OF MANAGERS, AT THE  POST  OFFICE  ADDRESS,  ON
 FILE IN THE DEPARTMENT OF STATE, SPECIFIED FOR THIS PURPOSE. ON THE SAME
 DAY  THAT  SUCH  PROCESS IS MAILED, A DUPLICATE COPY OF SUCH PROCESS AND
 PROOF OF MAILING SHALL BE PERSONALLY DELIVERED  TO  AND  LEFT  WITH  THE
 SECRETARY  OF  STATE  OR  A DEPUTY, OR WITH ANY PERSON AUTHORIZED BY THE
 SECRETARY OF STATE TO RECEIVE SUCH SERVICE, AT THE OFFICE OF THE DEPART-
 MENT OF STATE IN THE CITY OF ALBANY, A DUPLICATE COPY  OF  SUCH  PROCESS
 WITH  PROOF OF MAILING TOGETHER WITH THE STATUTORY FEE, WHICH SHALL BE A
 TAXABLE DISBURSEMENT. PROOF OF MAILING SHALL BE BY AFFIDAVIT OF  COMPLI-
 ANCE  WITH THIS SECTION. SERVICE OF PROCESS ON A BOARD OF MANAGERS SHALL
 BE COMPLETE WHEN THE SECRETARY OF STATE IS SO SERVED.
   (D) AS USED IN THIS ARTICLE, "PROCESS" SHALL MEAN JUDICIAL PROCESS AND
 ALL ORDERS, DEMANDS, NOTICES OR OTHER PAPERS REQUIRED  OR  PERMITTED  BY
 LAW  TO  BE PERSONALLY SERVED ON A BOARD OF MANAGERS, FOR THE PURPOSE OF
 ACQUIRING JURISDICTION OF SUCH  BOARD  OF  MANAGERS  IN  ANY  ACTION  OR
 PROCEEDING,  CIVIL  OR CRIMINAL, WHETHER JUDICIAL, ADMINISTRATIVE, ARBI-
 TRATIVE OR OTHERWISE, IN THIS STATE OR IN THE FEDERAL COURTS SITTING  IN
 OR FOR THIS STATE.

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   (E) NOTHING IN THIS SECTION SHALL AFFECT THE RIGHT TO SERVE PROCESS IN
 ANY OTHER MANNER PERMITTED BY LAW.
   (F) THE DEPARTMENT OF STATE SHALL KEEP A RECORD OF EACH PROCESS SERVED
 UNDER  THIS  SECTION,  INCLUDING  THE  DATE  OF  SERVICE. IT SHALL, UPON
 REQUEST, MADE WITHIN TEN YEARS OF  SUCH  SERVICE,  ISSUE  A  CERTIFICATE
 UNDER  ITS SEAL CERTIFYING AS TO THE RECEIPT OF PROCESS BY AN AUTHORIZED
 PERSON, THE DATE AND PLACE OF SUCH SERVICE AND THE RECEIPT OF THE STATU-
 TORY FEE. PROCESS SERVED ON THE SECRETARY OF STATE  UNDER  THIS  SECTION
 SHALL  BE  DESTROYED  BY  THE  DEPARTMENT OF STATE AFTER A PERIOD OF TEN
 YEARS FROM SUCH SERVICE.
   (G) ANY DESIGNATED POST OFFICE ADDRESS MAINTAINED BY THE SECRETARY  OF
 STATE AS AGENT OF THE BOARD OF MANAGERS FOR THE PURPOSE OF MAILING PROC-
 ESS  SHALL  BE  THE POST OFFICE ADDRESS, WITHIN OR WITHOUT THE STATE, TO
 WHICH A PERSON SHALL MAIL PROCESS AGAINST SUCH BOARD AS REQUIRED BY THIS
 ARTICLE. SUCH ADDRESS SHALL CONTINUE UNTIL THE FILING OF  A  CERTIFICATE
 UNDER  THIS  CHAPTER  DIRECTING  THE  MAILING TO A DIFFERENT POST OFFICE
 ADDRESS.
   § 78. Subdivisions 3 and 4 of section 442-g of the real property  law,
 as  amended  by  chapter 482 of the laws of 1963, are amended to read as
 follows:
   3. Service of such process upon the secretary of state shall  be  made
 by  personally delivering to and leaving with [him or his] THE SECRETARY
 OF STATE OR A deputy, or with any person authorized by the secretary  of
 state  to receive such service, at the office of the department of state
 in the city of Albany, [duplicate copies] A COPY  of  such  process  AND
 PROOF  OF  MAILING  together with a fee of five dollars if the action is
 solely for the recovery of a sum of money not in excess of  two  hundred
 dollars  and the process is so endorsed, and a fee of ten dollars in any
 other action or proceeding, which fee shall be a  taxable  disbursement.
 If  such  process  is  served  upon  behalf  of  a county, city, town or
 village, or other political subdivision of the state, the fee to be paid
 to the secretary of state shall be five  dollars,  irrespective  of  the
 amount  involved  or  the  nature of the action on account of which such
 service of process is made. [If the cost of registered mail  for  trans-
 mitting  a  copy  of the process shall exceed two dollars, an additional
 fee equal to such excess shall be paid at the time  of  the  service  of
 such process.] PROOF OF MAILING SHALL BE BY AFFIDAVIT OF COMPLIANCE WITH
 THIS  SECTION. Proof of service shall be by affidavit of compliance with
 this subdivision filed by or on behalf of the  plaintiff  together  with
 the  process,  within ten days after such service, with the clerk of the
 court in which the action or special proceeding  is  pending.    Service
 made  as  provided in this section shall be complete ten days after such
 papers are filed with the clerk of the court and  shall  have  the  same
 force  and  validity as if served on him personally within the state and
 within the territorial jurisdiction of the court from which the  process
 issues.
   4. The [secretary of state] PERSON SERVING SUCH PROCESS shall [prompt-
 ly]  send [one of] such [copies] PROCESS by [registered] CERTIFIED mail,
 return receipt requested,  to  the  nonresident  broker  or  nonresident
 salesman  at  the post office address of his main office as set forth in
 the last application filed by him.
   § 79. Subdivision 2 of section 203 of the tax law, as amended by chap-
 ter 100 of the laws of 1964, is amended to read as follows:
   2.   Every foreign corporation  (other  than  a  moneyed  corporation)
 subject to the provisions of this article, except a corporation having a
 certificate of authority [under section two hundred twelve of the gener-

 S. 2008--A                         90                         A. 3008--A

 al  corporation  law]  or  having  authority to do business by virtue of
 section thirteen hundred five of the  business  corporation  law,  shall
 file  in  the  department  of  state a certificate of designation in its
 corporate  name, signed and acknowledged by its president or a vice-pre-
 sident or its secretary or treasurer, under its corporate  seal,  desig-
 nating  the  secretary  of  state  as its agent upon whom process in any
 action provided for by this article may be served within this state, and
 setting forth an address to which [the  secretary  of  state]  A  PERSON
 shall  mail a copy of any such process against the corporation which may
 be served upon [him] THE SECRETARY OF STATE.   In case any  such  corpo-
 ration  shall  have  failed  to file such certificate of designation, it
 shall be deemed to have designated the secretary of state as  its  agent
 upon whom such process against it may be served; and until a certificate
 of  designation shall have been filed the corporation shall be deemed to
 have directed [the secretary of state] A PERSON SERVING PROCESS to  mail
 copies of process served upon [him] THE SECRETARY OF STATE to the corpo-
 ration  at  its  last  known office address within or without the state.
 When a certificate of designation has been  filed  by  such  corporation
 [the  secretary  of state] A PERSON SERVING PROCESS shall mail copies of
 process thereafter served upon [him]  THE  SECRETARY  OF  STATE  to  the
 address  set forth in such certificate.  Any such corporation, from time
 to time, may change the address to which  [the  secretary  of  state]  A
 PERSON is directed to mail copies of process, by filing a certificate to
 that  effect  executed,  signed  and  acknowledged  in  like manner as a
 certificate of designation as herein provided.  Service of process  upon
 any  such  corporation  or  upon any corporation having a certificate of
 authority [under section two hundred twelve of the  general  corporation
 law]  or  having  authority to do business by virtue of section thirteen
 hundred five of the business corporation law, in any action commenced at
 any time pursuant to the provisions of this  article,  may  be  made  by
 either  (1)  personally  delivering to and leaving with the secretary of
 state, a deputy secretary of state or with any person authorized by  the
 secretary  of  state  to  receive such service [duplicate copies] A COPY
 thereof at the office of the department of state in the city of  Albany,
 in  which  event  [the secretary of state] A PERSON SERVING SUCH PROCESS
 shall forthwith send by  [registered]  CERTIFIED  mail,  return  receipt
 requested,  [one  of such copies] A DUPLICATE COPY to the corporation at
 the address designated by it or at its last known office address  within
 or  without  the state, or (2) personally delivering to and leaving with
 the secretary of state, a deputy secretary of state or with  any  person
 authorized  by  the  secretary  of state to receive such service, a copy
 thereof at the office of the department of state in the city  of  Albany
 and  by  delivering  a  copy thereof to, and leaving such copy with, the
 president, vice-president, secretary,  assistant  secretary,  treasurer,
 assistant  treasurer,  or  cashier  of  such corporation, or the officer
 performing corresponding functions under another name, or a director  or
 managing agent of such corporation, personally without the state.  Proof
 of such personal service without the state shall be filed with the clerk
 of  the  court  in  which the action is pending within thirty days after
 such service, and such service shall be complete ten  days  after  proof
 thereof is filed.
   §  80. Section 216 of the tax law, as added by chapter 415 of the laws
 of 1944, the opening paragraph as amended by chapter 100 of the laws  of
 1964  and redesignated by chapter 613 of the laws of 1976, is amended to
 read as follows:

 S. 2008--A                         91                         A. 3008--A
 
   § 216.  Collection of taxes.   Every foreign corporation (other than a
 moneyed corporation) subject to the provisions of this article, except a
 corporation having a certificate of authority [under section two hundred
 twelve of the general corporation law] or having authority to  do  busi-
 ness  by  virtue of section thirteen hundred five of the business corpo-
 ration law, shall file in the  department  of  state  a  certificate  of
 designation in its corporate name, signed and acknowledged by its presi-
 dent or a vice-president or its secretary or treasurer, under its corpo-
 rate  seal,  designating  the  secretary of state as its agent upon whom
 process in any action provided for by this article may be served  within
 this  state,  and  setting  forth  an address to which [the secretary of
 state] A PERSON shall mail a copy of any such process against the corpo-
 ration which may be served upon him.  In case any such corporation shall
 have failed to file such certificate of designation, it shall be  deemed
 to  have  designated  the secretary of state as its agent upon whom such
 process against it may be served; and until a certificate of designation
 shall have been filed the corporation shall be deemed to  have  directed
 [the  secretary  of  state]  A PERSON to mail [copies] A COPY of process
 served upon [him] THE SECRETARY OF STATE to the corporation at its  last
 known office address within or without the state.  When a certificate of
 designation  has been filed by such corporation [the secretary of state]
 A PERSON SERVING SUCH PROCESS shall mail  [copies]  A  COPY  of  process
 thereafter  served  upon  [him]  A  PERSON  SERVING  SUCH PROCESS to the
 address set forth in such certificate.  Any such corporation, from  time
 to  time,  may  change  the  address to which [the secretary of state] A
 PERSON is directed to mail copies of process, by filing a certificate to
 that effect executed, signed  and  acknowledged  in  like  manner  as  a
 certificate  of designation as herein provided.  Service of process upon
 any such corporation or upon any corporation  having  a  certificate  of
 authority  [under  section two hundred twelve of the general corporation
 law] or having authority to do business by virtue  of  section  thirteen
 hundred five of the business corporation law, in any action commenced at
 any  time  pursuant  to  the  provisions of this article, may be made by
 either (1) personally delivering to and leaving with  the  secretary  of
 state,  a deputy secretary of state or with any person authorized by the
 secretary of state to receive such service  [duplicate  copies]  A  COPY
 thereof  at the office of the department of state in the city of Albany,
 in which event [the secretary of state] A PERSON  SERVING  SUCH  PROCESS
 shall  forthwith  send  by  [registered]  CERTIFIED mail, return receipt
 requested, [one of such copies] A DUPLICATE COPY to the  corporation  at
 the  address designated by it or at its last known office address within
 or without the state, or (2) personally delivering to and  leaving  with
 the  secretary  of state, a deputy secretary of state or with any person
 authorized by the secretary of state to receive  such  service,  a  copy
 thereof  at  the office of the department of state in the city of Albany
 and by delivering a copy thereof to, and leaving  such  copy  with,  the
 president,  vice-president,  secretary,  assistant secretary, treasurer,
 assistant treasurer, or cashier of  such  corporation,  or  the  officer
 performing  corresponding functions under another name, or a director or
 managing agent of such corporation, personally without the state.  Proof
 of such personal service without the state shall be filed with the clerk
 of the court in which the action is pending  within  thirty  days  after
 such  service,  and  such service shall be complete ten days after proof
 thereof is filed.
   § 81. Subdivisions (a) and (b) of section 310 of the tax law, as added
 by chapter 400 of the laws of 1983, are amended to read as follows:

 S. 2008--A                         92                         A. 3008--A

   (a) Designation for  service  of  process.--Every  petroleum  business
 which  is  a  corporation,  except  such  a  petroleum business having a
 certificate of authority [under section two hundred twelve of the gener-
 al corporation law] or having authority to  do  business  by  virtue  of
 section  thirteen  hundred  five  of the business corporation law, shall
 file in the department of state a  certificate  of  designation  in  its
 corporate  name, signed and acknowledged by its president or vice-presi-
 dent or its secretary or treasurer, under its corporate seal,  designat-
 ing  the secretary of state as its agent upon whom process in any action
 provided for by this article  may  be  served  within  this  state,  and
 setting  forth  an  address  to  which [the secretary of state] A PERSON
 shall mail a copy of any such process against  such  petroleum  business
 which  may be served upon [him] THE SECRETARY OF STATE. In case any such
 petroleum business shall have failed to file such certificate of  desig-
 nation,  it shall be deemed to have designated the secretary of state as
 its agent upon whom such process against it may be served; and  until  a
 certificate  of designation shall have been filed such a petroleum busi-
 ness shall be deemed to have directed [the secretary of state] A  PERSON
 to  mail  copies  of process served upon [him] THE SECRETARY OF STATE to
 such petroleum business at its last known office address within or with-
 out the state. When a certificate of designation has been filed by  such
 a  petroleum  business [the secretary of state] A PERSON SERVING PROCESS
 shall mail copies of process thereafter served upon [him] THE  SECRETARY
 OF STATE to the address set forth in such certificate. Any such petrole-
 um  business,  from  time  to time, may change the address to which [the
 secretary of state] A PERSON is directed to mail copies of  process,  by
 filing a certificate to that effect executed, signed and acknowledged in
 like manner as a certificate of designation as herein provided.
   (b)  Service  of process.--Service of process upon any petroleum busi-
 ness which is a  corporation  (including  any  such  petroleum  business
 having  a  certificate of authority [under section two hundred twelve of
 the general corporation law] or  having  authority  to  do  business  by
 virtue  of  section  thirteen  hundred  five of the business corporation
 law), in any action commenced at any time pursuant to the provisions  of
 this  article,  may  be  made by either (1) personally delivering to and
 leaving with the secretary of state, a deputy secretary of state or with
 any person authorized by the secretary of state to receive such  service
 [duplicate  copies]  A  COPY  thereof at the office of the department of
 state in the city of Albany, in which event [the secretary of  state]  A
 PERSON  SERVING  PROCESS  shall forthwith send by [registered] CERTIFIED
 mail, return receipt requested, [one of such copies] A DUPLICATE COPY to
 such petroleum business at the address designated by it or at  its  last
 known  office  address  within  or  without the state, or (2) personally
 delivering to and leaving with the secretary of state, a  deputy  secre-
 tary of state or with any person authorized by the secretary of state to
 receive  such service, a copy thereof at the office of the department of
 state in the city of Albany and by delivering a  copy  thereof  to,  and
 leaving  such  copy  with,  the  president,  vice-president,  secretary,
 assistant secretary, treasurer, assistant treasurer, or cashier of  such
 petroleum  business,  or  the officer performing corresponding functions
 under another name, or a director or managing agent  of  such  petroleum
 business,  personally  without the state. Proof of such personal service
 without the state shall be filed with the clerk of the  court  in  which
 the  action  is  pending within thirty days after such service, and such
 service shall be complete ten days after proof thereof is filed.

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   § 82. This act shall take effect on  the  one  hundred  twentieth  day
 after it shall have become a law.
 
                                  PART S
 
   Section 1. Subdivision 6 of section 441-a of the real property law, as
 amended  by  chapter  183  of  the  laws  of 2006, is amended to read as
 follows:
   6. Pocket card. The department shall prepare, issue and deliver,  with
 the  assistance  of the department of motor vehicles, [to each licensee]
 UPON PAYMENT OF A FEE OF FIVE DOLLARS BY A LICENSEE, a  pocket  card  in
 such  form and manner as the department shall prescribe, but which shall
 contain the photo, name and business address of the  licensee,  and,  in
 the case of a real estate salesman, the name and business address of the
 broker  with  whom  he  or  she is associated and shall certify that the
 person whose name appears thereon is a licensed real  estate  broker  or
 salesman,  as may be. Such cards must be shown on demand. In the case of
 loss, destruction or damage, the secretary of state may, upon submission
 of satisfactory proof, issue a duplicate pocket card upon payment  of  a
 fee of ten dollars.
   § 2. This act shall take effect immediately.
 
                                  PART T
 
   Section  1.  Subdivision  2  of  section  54-1101 of the environmental
 conservation law, as amended by section 4 of part U of chapter 58 of the
 laws of 2016, is amended to read as follows:
   2. State assistance payments and/or technical assistance,  as  defined
 in section nine hundred seventeen of the executive law, shall not exceed
 [fifty] SEVENTY-FIVE percent of the cost of the program. For the purpose
 of  determining the amount of state assistance payments, costs shall not
 be more than the amount set forth in the application for  state  assist-
 ance  payments  approved by the secretary. The state assistance payments
 shall be paid on audit and warrant of the state comptroller on a certif-
 icate of availability of the director of the budget.
   § 2. The opening paragraph and paragraph a of subdivision 1 of section
 918 of the executive law, as added by chapter 840 of the laws  of  1981,
 are amended to read as follows:
   The  secretary  may  enter  into a contract or contracts for grants OR
 PAYMENTS to be made, within the limits of any  appropriations  therefor,
 for the following:
   a.  To any local governments, or to two or more local governments, for
 projects approved by the secretary which lead to preparation of a water-
 front revitalization program; provided, however,  that  such  grants  OR
 PAYMENTS  shall  not exceed [fifty] SEVENTY-FIVE percent of the approved
 cost of such projects;
   § 3. This act shall take effect immediately.
 
                                  PART U
 
   Section 1. Paragraph (e) of subdivision 1 of section 169 of the execu-
 tive law, as amended by section 9 of part A of chapter 60 of the laws of
 2012, is amended to read as follows:
   (e) [chairman of state athletic commission,] director of the office of
 victim services, chairman of human rights appeal board, chairman of  the
 industrial  board  of  appeals,  chairman  of  the  state  commission of

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 correction, members of the board of parole, member-chairman of unemploy-
 ment insurance appeal board, director of veterans'  affairs,  and  vice-
 chairman of the workers' compensation board;
   § 2. This act shall take effect immediately.
 
                                  PART V
 
   Section  1.  Expenditures  of  moneys appropriated in a chapter of the
 laws of 2017 to the department  of  agriculture  and  markets  from  the
 special  revenue  funds-other/state  operations,  miscellaneous  special
 revenue fund-339,  public  service  account  shall  be  subject  to  the
 provisions  of  this section. Notwithstanding any other provision of law
 to the contrary, direct and indirect expenses relating to the department
 of  agriculture  and  markets'  participation  in   general   ratemaking
 proceedings  pursuant to section 65 of the public service law or certif-
 ication proceedings pursuant to article 7 or 10 of  the  public  service
 law, shall be deemed expenses of the department of public service within
 the  meaning  of  section  18-a of the public service law. No later than
 August 15, 2018, the commissioner of the department of  agriculture  and
 markets  shall submit an accounting of such expenses, including, but not
 limited to, expenses in the 2017 -- 2018 fiscal year  for  personal  and
 non-personal  services  and  fringe benefits, to the chair of the public
 service commission for the chair's review pursuant to the provisions  of
 section 18-a of the public service law.
   §  2.  Expenditures of moneys appropriated in a chapter of the laws of
 2017 to  the  department  of  state  from  the  special  revenue  funds-
 other/state  operations,  miscellaneous special revenue fund-339, public
 service account shall be subject to  the  provisions  of  this  section.
 Notwithstanding  any  other provision of law to the contrary, direct and
 indirect expenses relating  to  the  activities  of  the  department  of
 state's  utility  intervention unit pursuant to subdivision 4 of section
 94-a of the executive law, including, but not limited  to  participation
 in  general  ratemaking proceedings pursuant to section 65 of the public
 service law or certification proceedings pursuant to article 7 or 10  of
 the  public  service  law, shall be deemed expenses of the department of
 public service within the meaning of section 18-a of the public  service
 law.  No later than August 15, 2018, the secretary of state shall submit
 an  accounting of such expenses, including, but not limited to, expenses
 in the 2017 -- 2018 fiscal year for personal and  non-personal  services
 and  fringe  benefits, to the chair of the public service commission for
 the chair's review pursuant to the provisions of  section  18-a  of  the
 public service law.
   §  3.  Expenditures of moneys appropriated in a chapter of the laws of
 2017 to the office of parks, recreation and historic  preservation  from
 the  special revenue funds-other/state operations, miscellaneous special
 revenue fund-339,  public  service  account  shall  be  subject  to  the
 provisions  of  this section. Notwithstanding any other provision of law
 to the contrary, direct and indirect expenses relating to the office  of
 parks,  recreation  and historic preservation's participation in general
 ratemaking proceedings pursuant to section 65 of the public service  law
 or  certification  proceedings pursuant to article 7 or 10 of the public
 service law, shall be  deemed  expenses  of  the  department  of  public
 service within the meaning of section 18-a of the public service law. No
 later  than  August  15,  2018, the commissioner of the office of parks,
 recreation and historic preservation shall submit an accounting of  such
 expenses,  including,  but  not limited to, expenses in the 2017 -- 2018

 S. 2008--A                         95                         A. 3008--A
 
 fiscal year for personal and non-personal services and fringe  benefits,
 to  the  chair  of  the public service commission for the chair's review
 pursuant to the provisions of section 18-a of the public service law.
   §  4.  Expenditures of moneys appropriated in a chapter of the laws of
 2017 to the department of environmental conservation  from  the  special
 revenue funds-other/state operations, environmental conservation special
 revenue  fund-301,  utility  environmental  regulation  account shall be
 subject to the provisions of this  section.  Notwithstanding  any  other
 provision  of law to the contrary, direct and indirect expenses relating
 to the department of environmental conservation's participation in state
 energy policy proceedings,  or  certification  proceedings  pursuant  to
 article  7  or 10 of the public service law, shall be deemed expenses of
 the department of public service within the meaning of section  18-a  of
 the  public service law. No later than August 15, 2018, the commissioner
 of the department of environmental conservation shall submit an account-
 ing of such expenses, including, but not limited  to,  expenses  in  the
 2017  --  2018  fiscal  year  for personal and non-personal services and
 fringe benefits, to the chair of the public service commission  for  the
 chair's  review pursuant to the provisions of section 18-a of the public
 service law.
   § 5. Notwithstanding any other law, rule or regulation to the  contra-
 ry,  expenses  of  the  department  of  health  public service education
 program incurred pursuant to appropriations from  the  cable  television
 account of the state miscellaneous special revenue funds shall be deemed
 expenses  of  the department of public service. No later than August 15,
 2018, the commissioner of the  department  of  health  shall  submit  an
 accounting  of  expenses in the 2017 -- 2018 fiscal year to the chair of
 the public service commission for the chair's  review  pursuant  to  the
 provisions of section 217 of the public service law.
   §  6.  This  act  shall take effect immediately and shall be deemed to
 have been in full force and effect on and after April 1, 2017.
 
                                  PART W
 
   Section 1. Section 2 of part BB of chapter 58 of  the  laws  of  2012,
 amending the public authorities law relating to authorizing the dormito-
 ry  authority  to  enter into certain design and construction management
 agreements, as amended by section 1 of part S of chapter 58 of the  laws
 of 2015, is amended to read as follows:
   §  2.  This act shall take effect immediately [and shall expire and be
 deemed repealed April 1, 2017].
   § 2. This act shall take effect immediately.
 
                                  PART X
 
   Section 1. Legislative findings. In order to increase the authority of
 the superintendent of financial services to respond to the harm posed by
 impaired insurers in this state, the legislature finds that it is in the
 best interest of the people of this state  to  enact  an  administrative
 supervision  statute.  The  superintendent of financial services has the
 right and responsibility to enforce the insurance law and the  authority
 to  seek  redress  against  any person responsible for the impairment or
 insolvency of the insurer, and  nothing  in  this  act  is  intended  to
 restrict or limit such right, responsibility, or authority.
   § 2. The insurance law is amended by adding a new section 1123 to read
 as follows:

 S. 2008--A                         96                         A. 3008--A
 
   §  1123.  ADMINISTRATIVE  SUPERVISION.    (A) FOR THE PURPOSES OF THIS
 SUBSECTION, "INSURER" SHALL HAVE THE MEANING SET FORTH IN PARAGRAPH  ONE
 OF  SUBSECTION  (B)  OF  SECTION SEVEN THOUSAND FOUR HUNDRED ONE OF THIS
 CHAPTER, AND SHALL INCLUDE A LICENSED UNITED STATES BRANCH OF  AN  ALIEN
 INSURER ENTERED THROUGH THIS STATE.
   (B)(1) THE SUPERINTENDENT MAY ISSUE AN ORDER PLACING A DOMESTIC INSUR-
 ER  UNDER  ADMINISTRATIVE  SUPERVISION  IF THE SUPERINTENDENT DETERMINES
 THAT ONE OR MORE OF THE CONDITIONS SET FORTH IN SECTION  SEVEN  THOUSAND
 FOUR  HUNDRED TWO OF THIS CHAPTER EXISTS. UPON SUCH A DETERMINATION, THE
 SUPERINTENDENT SHALL FURNISH THE INSURER WITH A WRITTEN LIST OF REQUIRE-
 MENTS TO ABATE THE CONDITION OR CONDITIONS WITHIN THE TIME SPECIFIED  IN
 THE  ORDER, WHICH SHALL NOT EXCEED ONE HUNDRED EIGHTY DAYS. THE DOMESTIC
 INSURER MAY CHALLENGE THE ORDER BY REQUESTING AN ADMINISTRATIVE  HEARING
 PURSUANT  TO  THE  ADJUDICATORY PROCEEDING RULES IN ARTICLE THREE OF THE
 STATE ADMINISTRATIVE PROCEDURE ACT AND REGULATIONS  PROMULGATED  BY  THE
 SUPERINTENDENT  BUT  THE  ORDER  SHALL  REMAIN  IN FULL FORCE AND EFFECT
 DURING THE COURSE OF THE ADJUDICATORY PROCEEDING.  UPON ISSUANCE OF  THE
 ORDER,  THE  SUPERINTENDENT  SHALL  ADVISE  SUCH DOMESTIC INSURER OF ITS
 RIGHT TO REQUEST A HEARING CHALLENGING THE ORDER PURSUANT TO THE ADJUDI-
 CATORY PROCEEDING RULES IN ARTICLE THREE  OF  THE  STATE  ADMINISTRATIVE
 PROCEDURE ACT AND REGULATIONS PROMULGATED BY THE SUPERINTENDENT.
   (2)  IF,  AT  THE END OF THE PERIOD SPECIFIED IN THE ORDER, THE SUPER-
 INTENDENT DETERMINES THAT THE CONDITION OR CONDITIONS THAT GAVE RISE  TO
 THE  ORDER  STILL EXISTS OR EXIST, THEN ADMINISTRATIVE SUPERVISION SHALL
 CONTINUE. THE INSURER MAY REQUEST A HEARING TO CHALLENGE THE SUPERINTEN-
 DENT'S DETERMINATION TO CONTINUE ADMINISTRATIVE SUPERVISION.
   (3) IF THE SUPERINTENDENT DETERMINES THAT THE CONDITION OR  CONDITIONS
 THAT  GAVE RISE TO ADMINISTRATIVE SUPERVISION NO LONGER EXISTS OR EXIST,
 THEN THE SUPERINTENDENT SHALL RELEASE THE INSURER FROM SUPERVISION.
   (C) DURING THE PERIOD OF SUPERVISION, THE SUPERINTENDENT MAY  PROHIBIT
 THE INSURER FROM ENGAGING IN ANY OF THE FOLLOWING ACTIVITIES WITHOUT THE
 SUPERINTENDENT'S PRIOR APPROVAL:
   (1)  DISPOSING  OF, CONVEYING, OR ENCUMBERING ANY OF ITS ASSETS OR ITS
 BUSINESS IN FORCE;
   (2) WITHDRAWING ANY FUNDS FROM ITS BANK ACCOUNTS;
   (3) LENDING ANY OF ITS FUNDS;
   (4) INVESTING ANY OF ITS FUNDS;
   (5) PAYING ANY CLAIMS;
   (6) TRANSFERRING ANY OF ITS PROPERTY;
   (7) INCURRING ANY DEBT, OBLIGATION, OR LIABILITY;
   (8) MERGING OR CONSOLIDATING WITH ANOTHER COMPANY;
   (9) APPROVING NEW PREMIUMS OR RENEWING ANY POLICIES;
   (10) ENTERING INTO ANY NEW REINSURANCE CONTRACT OR TREATY;
   (11) TERMINATING, SURRENDERING, FORFEITING, CONVERTING, OR LAPSING ANY
 INSURANCE POLICY, CERTIFICATE, OR CONTRACT,  EXCEPT  FOR  NONPAYMENT  OF
 PREMIUMS DUE;
   (12) RELEASING, PAYING, OR REFUNDING PREMIUM DEPOSITS, ACCRUED CASH OR
 LOAN VALUES, UNEARNED PREMIUMS, OR OTHER RESERVES ON ANY INSURANCE POLI-
 CY, CERTIFICATE, OR CONTRACT;
   (13) MAKING ANY MATERIAL CHANGE IN MANAGEMENT;
   (14)  INCREASING SALARIES AND BENEFITS OF OFFICERS OR DIRECTORS OR THE
 PAYMENT OF BONUSES, DIVIDENDS, OR OTHER PAYMENTS; OR
   (15) SUCH OTHER ACTIVITIES  THAT  THE  SUPERINTENDENT  DETERMINES  ARE
 NECESSARY TO PROTECT POLICYHOLDERS OR THE PEOPLE OF THIS STATE.

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   (D)  THE  SUPERINTENDENT  MAY APPOINT AS ADMINISTRATIVE SUPERVISOR, AT
 THE INSURER'S EXPENSE, ONE OR MORE PERSONS NOT EMPLOYED BY  ANY  INSURER
 OR INTERESTED IN SUCH INSURER, EXCEPT AS A POLICYHOLDER.
   (E)(1)  THE  EXPENSES  OF  ADMINISTRATIVE SUPERVISION PURSUANT TO THIS
 SUBSECTION SHALL BE BORNE AND PAID BY THE INSURER SO SUPERVISED.
   (2) IN THE EVENT THAT AN INSURER BECOMES SUBJECT TO A PROCEEDING UNDER
 ARTICLE SEVENTY-FOUR OF THIS CHAPTER WITHIN ONE YEAR OF THE  SUPERINTEN-
 DENT  RELEASING THE INSURER FROM ADMINISTRATIVE SUPERVISION, ALL ACCRUED
 AND OUTSTANDING EXPENSES  INCURRED  IN  CONNECTION  WITH  ADMINISTRATIVE
 SUPERVISION  SHALL BE TREATED AS ACTUAL AND NECESSARY COSTS AND EXPENSES
 OF THE ADMINISTRATION OF SUCH PROCEEDING UNDER ARTICLE  SEVENTY-FOUR  OF
 THIS CHAPTER.
   (F)  ALL  MATTERS PERTAINING TO A PROCEEDING OR DETERMINATION PURSUANT
 TO THIS SUBSECTION SHALL BE CONFIDENTIAL AND NOT SUBJECT TO SUBPOENA  OR
 PUBLIC  INSPECTION  UNDER  ARTICLE SIX OF THE PUBLIC OFFICERS LAW OR ANY
 OTHER STATUTE, EXCEPT  TO  THE  EXTENT  THAT  THE  SUPERINTENDENT  FINDS
 RELEASE OF INFORMATION NECESSARY TO PROTECT THE PUBLIC.
   (G)  NOTHING  IN  THIS SUBSECTION SHALL BE CONSTRUED AS PRECLUDING THE
 SUPERINTENDENT FROM INITIATING JUDICIAL PROCEEDINGS TO PLACE AN  INSURER
 IN    REHABILITATION,    LIQUIDATION,   CONSERVATION,   OR   DISSOLUTION
 PROCEEDINGS.
   § 3. Subsection (a) of section 1309 of the insurance law is amended to
 read as follows:
   (a) Whenever the superintendent finds from a  financial  statement  or
 report  on  examination  that an authorized insurer is unable to pay its
 outstanding lawful obligations as they mature in the regular  course  of
 business,  as  shown by an excess of required reserves and other liabil-
 ities over admitted assets, or by its not having  sufficient  assets  to
 reinsure  all  outstanding  risks with other solvent authorized assuming
 insurers after paying all accrued claims owed,  such  insurer  shall  be
 deemed  insolvent and the superintendent may proceed against it pursuant
 to the provisions of article seventy-four of this chapter OR  MAY  PLACE
 THE  INSURER  UNDER  ADMINISTRATIVE  SUPERVISION PURSUANT TO SECTION ONE
 THOUSAND ONE HUNDRED TWENTY-THREE OF THIS CHAPTER.
   § 4. Subsection (a) of section 1310 of the insurance law is amended to
 read as follows:
   (a) Whenever the superintendent finds from a financial statement, or a
 report on examination, of any domestic stock insurer that [(i)] (1)  the
 admitted  assets  are  less than the aggregate amount of its liabilities
 and outstanding capital stock or [(ii)] (2) the admitted assets  of  any
 such  insurer  [which] THAT is required to maintain a minimum surplus to
 policyholders are less than the aggregate amount of its liabilities  and
 the amount of its minimum surplus to policyholders, [he] THE SUPERINTEN-
 DENT  shall determine the amount of the impairment and order the insurer
 to eliminate the impairment within such period as [he]  THE  SUPERINTEN-
 DENT  designates,  not  more  than  ninety  days from the service of the
 order.  [He] THE SUPERINTENDENT may also order the insurer not to  issue
 any  new  policies  while  the  impairment  exists. If the impairment as
 determined by the provisions of [item (i) hereof] PARAGRAPH ONE OF  THIS
 SUBSECTION  equals  or  exceeds  twenty-five  percent  of  the insurer's
 outstanding capital stock, or as determined by the provisions  of  [item
 (i) or (ii) hereof] PARAGRAPH ONE OR TWO OF THIS SUBSECTION is such that
 the  insurer  does  not  have  the minimum capital or minimum surplus to
 policyholders required by this chapter, and if at the expiration of such
 designated period, such insurer has  not  satisfied  the  superintendent
 that such impairment has been eliminated, the superintendent may proceed

 S. 2008--A                         98                         A. 3008--A
 
 against  the  insurer pursuant to the provisions of article seventy-four
 of this chapter on the ground  that  its  condition  is  such  that  its
 further  transaction  of business will be hazardous to its policyholders
 or  its  creditors  or  the  public  OR THE SUPERINTENDENT MAY PLACE THE
 INSURER UNDER ADMINISTRATIVE SUPERVISION PURSUANT TO SECTION  ONE  THOU-
 SAND ONE HUNDRED TWENTY-THREE OF THIS CHAPTER.
   § 5. Subsection (c) of section 1311 of the insurance law is amended to
 read as follows:
   (c) If the impairment so determined is such that such insurer does not
 have  the  minimum  surplus  required  for  item (iii) of subsection (a)
 [hereof] OF THIS SECTION, and if when such designated period expires the
 insurer has not satisfied the superintendent that  such  impairment  has
 been  eliminated,  the  superintendent  may proceed against such insurer
 pursuant to the provisions of article seventy-four of  this  chapter  on
 the ground that its further transaction of business will be hazardous to
 its policyholders, its creditors or the public OR THE SUPERINTENDENT MAY
 PLACE  THE  INSURER UNDER ADMINISTRATIVE SUPERVISION PURSUANT TO SECTION
 ONE THOUSAND ONE HUNDRED TWENTY-THREE OF THIS CHAPTER.
   § 6. Paragraph 2 of subsection (c) of section 1312  of  the  insurance
 law is amended to read as follows:
   (2)  If  at  the expiration of such designated period such insurer has
 not satisfied the superintendent that such impairment  has  been  elimi-
 nated,  the  superintendent may proceed against such insurer pursuant to
 the provisions of article seventy-four of this  chapter  as  an  insurer
 whose  condition is such that its further transaction of business in the
 United States will be hazardous to its policyholders, its  creditors  or
 the  public  in  the  United  States OR THE SUPERINTENDENT MAY PLACE THE
 INSURER UNDER ADMINISTRATIVE SUPERVISION PURSUANT TO SUBSECTION  (B)  OF
 SECTION ONE THOUSAND ONE HUNDRED TWENTY-THREE OF THIS CHAPTER.
   § 7. This act shall take effect immediately.
 
                                  PART Y
 
   Section  1.  Subsections  (c)  and (d) of section 109 of the insurance
 law, paragraph 1 of subsection (c) as amended by section 55 of part A of
 chapter 62 of the laws of 2011, is amended and a new subsection  (e)  is
 added to read as follows:
   (c)  (1) If the superintendent finds after notice and hearing that any
 [authorized] insurer, representative of the insurer,  [licensed]  insur-
 ance  agent,  [licensed]  insurance  broker, [licensed] adjuster, or any
 other person or entity [licensed, certified, registered,  or  authorized
 pursuant]  SUBJECT to this chapter, has wilfully violated the provisions
 of this chapter or  any  regulation  promulgated  thereunder,  then  the
 superintendent  may  order  the person or entity to pay to the people of
 this state a penalty in a sum not exceeding [one] THE GREATER OF (A) TEN
 thousand dollars for each offense; (B)  A  MULTIPLE  OF  TWO  TIMES  THE
 AGGREGATE  DAMAGES  ATTRIBUTABLE  TO THE VIOLATION; OR (C) A MULTIPLE OF
 TWO TIMES THE AGGREGATE ECONOMIC GAIN ATTRIBUTABLE TO THE VIOLATION. THE
 SUPERINTENDENT MAY PROMULGATE REGULATIONS IMPLEMENTING THE TERMS OF THIS
 SUBSECTION.
   (2) Failure to pay such penalty within thirty days  after  the  order,
 unless it is suspended by an order of a court of competent jurisdiction,
 shall constitute a further violation of the provisions of this chapter.
   (3) No penalty shall be imposed pursuant to this subsection if a mone-
 tary penalty is otherwise provided in this chapter.

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   (d)  (1) The superintendent may maintain a civil action in the name of
 the people of the state to  recover  a  judgment  for  a  money  penalty
 imposed  by law OR TO ENFORCE ANY ORDER ISSUED BY THE SUPERINTENDENT for
 the violation of any provision of this chapter.
   (2)  NOTWITHSTANDING  ANY LAW TO THE CONTRARY, THE SUPERINTENDENT MAY,
 IN HIS OR HER SOLE DISCRETION, EITHER (A) PROSECUTE ANY SUCH ACTION  AND
 RETAIN CHARGE AND CONTROL OF THE ACTION; OR (B) REFER SUCH ACTION TO THE
 DEPARTMENT OF LAW FOR PROSECUTION.
   (E)  ANY  PERSON  OR  ENTITY  THAT  IS  REQUIRED BY THIS CHAPTER TO BE
 LICENSED, CERTIFIED, REGISTERED, OR AUTHORIZED SHALL BE SUBJECT  TO  THE
 LAWS OF THIS CHAPTER AND THE PENALTIES CONTAINED HEREIN AS IF THE PERSON
 OR ENTITY WAS SO LICENSED, CERTIFIED, REGISTERED, OR AUTHORIZED, EVEN IF
 THE  PERSON  OR  ENTITY  DOES  NOT POSSESS THE REQUIRED LICENSE, CERTIF-
 ICATION, REGISTRATION, OR AUTHORIZATION.
   § 2. Section 44 of the banking law is amended by adding two new subdi-
 visions 10 and 11 to read as follows:
   10. THE SUPERINTENDENT MAY MAINTAIN A CIVIL ACTION IN THE NAME OF  THE
 PEOPLE  OF  THE STATE TO RECOVER A JUDGEMENT FOR A MONEY PENALTY IMPOSED
 BY LAW OR TO ENFORCE ANY ORDER ISSUED  BY  THE  SUPERINTENDENT  FOR  THE
 VIOLATION  OF  ANY PROVISION OF THIS CHAPTER. NOTWITHSTANDING ANY LAW TO
 THE CONTRARY, THE SUPERINTENDENT MAY, IN HIS OR HER  DISCRETION,  EITHER
 (A)  PROSECUTE  ANY  SUCH  ACTION  AND  RETAIN CHARGE AND CONTROL OF THE
 ACTION; OR (B) REFER SUCH ACTION TO THE DEPARTMENT  OF  LAW  FOR  PROSE-
 CUTION.
   11.  ANY PERSON OR ENTITY WHO ENGAGES IN ACTIVITY THAT IS REGULATED IN
 THIS CHAPTER WITHOUT BEING LICENSED, CERTIFIED, REGISTERED,  AUTHORIZED,
 CHARTERED,  ACCREDITED,  INCORPORATED OR OTHERWISE OBTAINING ANY PERMIS-
 SION OF THE SUPERINTENDENT REQUIRED BY THIS CHAPTER BEFORE  ENGAGING  IN
 SUCH  ACTIVITY  SHALL  BE  SUBJECT  TO  THE LAWS OF THIS CHAPTER AND THE
 PENALTIES CONTAINED HEREIN AS IF THE PERSON OR ENTITY WAS  SO  LICENSED,
 CERTIFIED,  REGISTERED, AUTHORIZED, CHARTERED, ACCREDITED, INCORPORATED,
 OR OTHERWISE APPROVED BY THE SUPERINTENDENT.
   § 3. Subsection (a) of section 309 of the financial  services  law  is
 amended and a new subsection (c) is added to read as follows:
   (a)  In  addition  to  such  other remedies as are provided under this
 chapter, the superintendent may maintain and prosecute an action against
 any person subject to this chapter, the insurance  law  or  the  banking
 law,  or  the  person's officers, directors, trustees or agents, for the
 purpose of obtaining an injunction restraining such  person  or  persons
 from  doing any acts in violation of the provisions of this chapter, the
 insurance law or the banking law. THE SUPERINTENDENT MAY  COMMENCE  SUCH
 ACTION  AGAINST  ANY  PERSON OR ENTITY THAT IS REQUIRED BY THIS CHAPTER,
 THE BANKING LAW, OR THE INSURANCE LAW TO BE LICENSED, CERTIFIED,  REGIS-
 TERED,  AUTHORIZED,  CHARTERED,  ACCREDITED,  OR INCORPORATED, AS IF THE
 PERSON OR ENTITY WAS SO  LICENSED,  CERTIFIED,  REGISTERED,  AUTHORIZED,
 CHARTERED,  ACCREDITED,  OR  INCORPORATED,  EVEN IF THE PERSON OR ENTITY
 DOES NOT POSSESS  THE  REQUIRED  LICENSE,  CERTIFICATION,  REGISTRATION,
 AUTHORIZATION, CHARTER, ACCREDITATION, OR INCORPORATION.
   (C)  NOTWITHSTANDING  ANY LAW TO THE CONTRARY, THE SUPERINTENDENT MAY,
 IN HIS OR HER DISCRETION, EITHER  (I)  PROSECUTE  ANY  SUCH  ACTION  AND
 RETAIN  CHARGE  AND  CONTROL OF THE ACTION; OR (II) REFER SUCH ACTION TO
 THE DEPARTMENT OF LAW FOR PROSECUTION.
   § 4. This act shall take effect immediately.
 
                                  PART Z

 S. 2008--A                         100                        A. 3008--A
 
   Section 1. The banking law is amended by adding a new article 14-A  to
 read as follows:
                               ARTICLE XIV-A
                          STUDENT LOAN SERVICERS
 SECTION 710. DEFINITIONS.
         711. LICENSING.
         712. APPLICATION FOR A STUDENT LOAN SERVICER LICENSE; FEES.
         713. APPLICATION  PROCESS  TO  RECEIVE  LICENSE TO ENGAGE IN THE
                BUSINESS OF STUDENT LOAN SERVICING.
         714. CHANGES IN OFFICERS AND DIRECTORS.
         715. CHANGES IN CONTROL.
         716. GROUNDS FOR SUSPENSION OR REVOCATION OF LICENSE.
         717. BOOKS AND RECORDS; REPORTS AND ELECTRONIC FILING.
         718. RULES AND REGULATIONS.
         719. PROHIBITED PRACTICES.
         720. SERVICING STUDENT LOANS WITHOUT A LICENSE.
         721. RESPONSIBILITIES.
         722. EXAMINATIONS.
         723. PENALTIES FOR VIOLATION OF THIS ARTICLE.
         724. SEVERABILITY OF PROVISIONS.
         725. COMPLIANCE WITH OTHER LAWS.
   § 710. DEFINITIONS. 1. "APPLICANT" SHALL MEAN ANY PERSON APPLYING  FOR
 A LICENSE TO BE A STUDENT LOAN SERVICER.
   2. "BORROWER" SHALL MEAN ANY RESIDENT OF THIS STATE WHO HAS RECEIVED A
 STUDENT  LOAN  OR  AGREED TO PAY A STUDENT LOAN OR ANY PERSON WHO SHARES
 RESPONSIBILITY WITH SUCH RESIDENT FOR REPAYING A STUDENT LOAN.
   3. "BORROWER BENEFIT" SHALL MEAN AN INCENTIVE OFFERED TO A BORROWER IN
 CONNECTION WITH THE ORIGINATION OF A STUDENT  LOAN,  INCLUDING  BUT  NOT
 LIMITED  TO  AN INTEREST RATE REDUCTION, PRINCIPAL REBATE, FEE WAIVER OR
 REBATE, LOAN CANCELLATION, OR COSIGNER RELEASE.
   4. "EXEMPT ORGANIZATION" SHALL MEAN ANY BANKING ORGANIZATION,  FOREIGN
 BANKING CORPORATION, NATIONAL BANK, FEDERAL SAVINGS ASSOCIATION, FEDERAL
 CREDIT UNION, OR ANY BANK, TRUST COMPANY, SAVINGS BANK, SAVINGS AND LOAN
 ASSOCIATION,  OR  CREDIT  UNION  ORGANIZED  UNDER  THE LAWS OF ANY OTHER
 STATE, OR  ANY  PERSON  EXEMPTED  BY  THE  SUPERINTENDENT  OF  FINANCIAL
 SERVICES  PURSUANT  TO  REGULATIONS  PROMULGATED IN ACCORDANCE WITH THIS
 ARTICLE.
   5. "PERSON"  SHALL  MEAN  ANY  INDIVIDUAL,  ASSOCIATION,  CORPORATION,
 LIMITED  LIABILITY COMPANY, PARTNERSHIP, TRUST, UNINCORPORATED ORGANIZA-
 TION, GOVERNMENT OR POLITICAL SUBDIVISION OF A GOVERNMENT, AND ANY OTHER
 ENTITY.
   6. "SERVICER" OR "STUDENT LOAN SERVICER" SHALL MEAN A PERSON  LICENSED
 PURSUANT  TO  SECTION  SEVEN HUNDRED ELEVEN OF THIS ARTICLE TO ENGAGE IN
 THE BUSINESS OF SERVICING ANY STUDENT LOAN OF A BORROWER.
   7. "SERVICING" SHALL MEAN:
   (A) RECEIVING ANY PAYMENT FROM A BORROWER PURSUANT TO THE TERMS OF ANY
 STUDENT LOAN;
   (B) APPLYING ANY PAYMENT TO A BORROWER'S ACCOUNT PURSUANT TO THE TERMS
 OF A STUDENT LOAN OR THE CONTRACT GOVERNING THE SERVICING  OF  ANY  SUCH
 LOAN;
   (C) PROVIDING ANY NOTIFICATION OF AMOUNTS OWED ON A STUDENT LOAN BY OR
 ON ACCOUNT OF ANY BORROWER;
   (D)  DURING A PERIOD WHEN A BORROWER IS NOT REQUIRED TO MAKE A PAYMENT
 ON A STUDENT LOAN, MAINTAINING ACCOUNT RECORDS FOR THE STUDENT LOAN  AND
 COMMUNICATING  WITH THE BORROWER REGARDING THE STUDENT LOAN ON BEHALF OF
 THE OWNER OF THE STUDENT LOAN PROMISSORY NOTE;

 S. 2008--A                         101                        A. 3008--A
 
   (E) INTERACTING WITH A BORROWER  WITH  RESPECT  TO  OR  REGARDING  ANY
 ATTEMPT TO AVOID DEFAULT ON THE BORROWER'S STUDENT LOAN, OR FACILITATING
 THE ACTIVITIES DESCRIBED IN PARAGRAPH (A) OR (B) OF THIS SUBDIVISION; OR
   (F) PERFORMING OTHER ADMINISTRATIVE SERVICES WITH RESPECT TO A BORROW-
 ER'S STUDENT LOAN.
   8. "STUDENT LOAN" SHALL MEAN ANY LOAN TO A BORROWER TO FINANCE POSTSE-
 CONDARY EDUCATION OR EXPENSES RELATED TO POSTSECONDARY EDUCATION.
   § 711. LICENSING. 1. NO PERSON SHALL ENGAGE IN THE BUSINESS OF SERVIC-
 ING  STUDENT  LOANS OWED BY ONE OR MORE BORROWERS RESIDING IN THIS STATE
 WITHOUT FIRST BEING LICENSED BY THE SUPERINTENDENT  AS  A  STUDENT  LOAN
 SERVICER  IN ACCORDANCE WITH THIS ARTICLE AND SUCH REGULATIONS AS MAY BE
 PRESCRIBED BY THE SUPERINTENDENT.
   2. THE LICENSING PROVISIONS OF THIS SUBDIVISION SHALL NOT APPLY TO ANY
 EXEMPT ORGANIZATION, OR ANY PERSON THAT SHALL BE EXEMPTED IN  ACCORDANCE
 WITH  REGULATIONS  PRESCRIBED  BY THE SUPERINTENDENT HEREUNDER; PROVIDED
 THAT SUCH EXEMPT  ORGANIZATION  NOTIFIES  THE  SUPERINTENDENT  THAT  THE
 EXEMPT  ORGANIZATION  IS ACTING AS A STUDENT LOAN SERVICER IN THIS STATE
 AND COMPLIES WITH SECTIONS SEVEN  HUNDRED  NINETEEN  AND  SEVEN  HUNDRED
 TWENTY-ONE OF THIS ARTICLE AND ANY REGULATION APPLICABLE TO STUDENT LOAN
 SERVICERS PROMULGATED BY THE SUPERINTENDENT.
   §  712. APPLICATION FOR A STUDENT LOAN SERVICER LICENSE; FEES. 1.  THE
 APPLICATION FOR A LICENSE TO BE A STUDENT  LOAN  SERVICER  SHALL  BE  IN
 WRITING,  UNDER  OATH, AND IN THE FORM PRESCRIBED BY THE SUPERINTENDENT.
 NOTWITHSTANDING ARTICLE THREE OF THE STATE TECHNOLOGY LAW OR  ANY  OTHER
 LAW  TO THE CONTRARY, THE SUPERINTENDENT MAY REQUIRE THAT AN APPLICATION
 FOR A LICENSE OR ANY OTHER SUBMISSION OR APPLICATION FOR APPROVAL AS MAY
 BE REQUIRED BY THIS ARTICLE BE MADE OR EXECUTED BY ELECTRONIC  MEANS  IF
 HE  OR  SHE  DEEMS  IT  NECESSARY  TO ENSURE THE EFFICIENT AND EFFECTIVE
 ADMINISTRATION  OF  THIS  ARTICLE.  THE  APPLICATION  SHALL  INCLUDE   A
 DESCRIPTION  OF  THE ACTIVITIES OF THE APPLICANT, IN SUCH DETAIL AND FOR
 SUCH PERIODS AS THE SUPERINTENDENT MAY REQUIRE, INCLUDING:
   (A) AN AFFIRMATION OF FINANCIAL SOLVENCY  NOTING  SUCH  CAPITALIZATION
 REQUIREMENTS  AS  MAY  BE  REQUIRED BY THE SUPERINTENDENT, AND ACCESS TO
 SUCH CREDIT AS MAY BE REQUIRED BY THE SUPERINTENDENT;
   (B) A FINANCIAL STATEMENT PREPARED BY A CERTIFIED  PUBLIC  ACCOUNTANT,
 THE  ACCURACY  OF WHICH IS SWORN TO UNDER OATH BEFORE A NOTARY PUBLIC BY
 AN OFFICER OR OTHER REPRESENTATIVE OF THE APPLICANT WHO IS AUTHORIZED TO
 EXECUTE SUCH DOCUMENTS;
   (C) THE FINGERPRINTS OF THE APPLICANT, OR ITS MEMBERS, OFFICERS, PART-
 NERS, DIRECTORS AND PRINCIPALS AS  MAY  BE  APPROPRIATE,  WHICH  MAY  BE
 SUBMITTED  TO  THE DIVISION OF CRIMINAL JUSTICE SERVICES AND THE FEDERAL
 BUREAU OF INVESTIGATION FOR STATE AND NATIONAL CRIMINAL  HISTORY  RECORD
 CHECKS;
   (D) AN AFFIRMATION THAT THE APPLICANT, OR ITS MEMBERS, OFFICERS, PART-
 NERS, DIRECTORS AND PRINCIPALS AS MAY BE APPROPRIATE, ARE AT LEAST TWEN-
 TY-ONE YEARS OF AGE;
   (E)  INFORMATION  AS TO THE CHARACTER, FITNESS, FINANCIAL AND BUSINESS
 RESPONSIBILITY, BACKGROUND AND EXPERIENCES  OF  THE  APPLICANT,  OR  ITS
 MEMBERS,  OFFICERS,  PARTNERS, DIRECTORS AND PRINCIPALS AS MAY BE APPRO-
 PRIATE;
   (F) ANY ADDITIONAL DETAIL OR INFORMATION REQUIRED BY  THE  SUPERINTEN-
 DENT.
   2. AN APPLICATION TO BECOME A STUDENT LOAN SERVICER OR ANY APPLICATION
 WITH RESPECT TO A STUDENT LOAN SERVICER SHALL BE ACCOMPANIED BY A FEE AS
 PRESCRIBED PURSUANT TO SECTION EIGHTEEN-A OF THIS CHAPTER.

 S. 2008--A                         102                        A. 3008--A
 
   §  713.  APPLICATION PROCESS TO RECEIVE LICENSE TO ENGAGE IN THE BUSI-
 NESS OF STUDENT LOAN SERVICING. 1. UPON THE FILING OF AN APPLICATION FOR
 A LICENSE, IF THE SUPERINTENDENT SHALL FIND THAT THE FINANCIAL RESPONSI-
 BILITY, EXPERIENCE, CHARACTER, AND GENERAL FITNESS OF THE APPLICANT AND,
 IF APPLICABLE, THE MEMBERS, OFFICERS, PARTNERS, DIRECTORS AND PRINCIPALS
 OF  THE APPLICANT ARE SUCH AS TO COMMAND THE CONFIDENCE OF THE COMMUNITY
 AND TO WARRANT BELIEF THAT THE BUSINESS WILL BE OPERATED HONESTLY, FAIR-
 LY, AND EFFICIENTLY WITHIN THE PURPOSE OF THIS ARTICLE, THE  SUPERINTEN-
 DENT SHALL THEREUPON ISSUE A LICENSE IN DUPLICATE TO ENGAGE IN THE BUSI-
 NESS  OF  SERVICING STUDENT LOANS DESCRIBED IN SECTION SEVEN HUNDRED TEN
 OF THIS ARTICLE IN ACCORDANCE WITH THE PROVISIONS OF  THIS  ARTICLE.  IF
 THE SUPERINTENDENT SHALL NOT SO FIND, THE SUPERINTENDENT SHALL NOT ISSUE
 A  LICENSE,  AND  THE  SUPERINTENDENT SHALL SO NOTIFY THE APPLICANT. THE
 SUPERINTENDENT SHALL TRANSMIT ONE COPY OF A LICENSE TO THE APPLICANT AND
 FILE ANOTHER COPY IN THE OFFICE OF THE DEPARTMENT OF FINANCIAL SERVICES.
 UPON RECEIPT OF SUCH LICENSE, A STUDENT LOAN SERVICER SHALL  BE  AUTHOR-
 IZED  TO ENGAGE IN THE BUSINESS OF SERVICING STUDENT LOANS IN ACCORDANCE
 WITH THE PROVISIONS OF THIS ARTICLE. SUCH LICENSE SHALL REMAIN  IN  FULL
 FORCE  AND  EFFECT UNTIL IT IS SURRENDERED BY THE SERVICER OR REVOKED OR
 SUSPENDED AS HEREINAFTER PROVIDED.
   2. THE SUPERINTENDENT MAY REFUSE TO ISSUE A LICENSE PURSUANT  TO  THIS
 ARTICLE IF HE OR SHE SHALL FIND THAT THE APPLICANT, OR ANY PERSON WHO IS
 A  DIRECTOR,  OFFICER,  PARTNER,  AGENT,  EMPLOYEE,  MEMBER, SUBSTANTIAL
 STOCKHOLDER OF THE APPLICANT, CONSULTANT OR PERSON HAVING A RELATIONSHIP
 WITH THE APPLICANT SIMILAR TO A CONSULTANT:
   (A) HAS BEEN CONVICTED OF A CRIME INVOLVING AN  ACTIVITY  WHICH  IS  A
 FELONY  UNDER  THIS CHAPTER OR UNDER ARTICLE ONE HUNDRED FIFTY-FIVE, ONE
 HUNDRED SEVENTY, ONE HUNDRED SEVENTY-FIVE, ONE HUNDRED SEVENTY-SIX,  ONE
 HUNDRED  EIGHTY,  ONE HUNDRED EIGHTY-FIVE, ONE HUNDRED EIGHTY-SEVEN, ONE
 HUNDRED NINETY, TWO HUNDRED, TWO HUNDRED TEN OR FOUR HUNDRED SEVENTY  OF
 THE PENAL LAW OR ANY COMPARABLE FELONY UNDER THE LAWS OF ANY OTHER STATE
 OR  THE  UNITED  STATES,  PROVIDED  THAT SUCH CRIME WOULD BE A FELONY IF
 COMMITTED AND PROSECUTED UNDER THE LAWS OF THIS STATE;
   (B) HAS HAD A LICENSE OR REGISTRATION REVOKED BY THE SUPERINTENDENT OR
 ANY OTHER REGULATOR OR JURISDICTION;
   (C) HAS BEEN AN OFFICER,  DIRECTOR,  PARTNER,  MEMBER  OR  SUBSTANTIAL
 STOCKHOLDER OF AN ENTITY WHICH HAS HAD A LICENSE OR REGISTRATION REVOKED
 BY THE SUPERINTENDENT OR ANY OTHER REGULATOR OR JURISDICTION; OR
   (D)  HAS BEEN AN AGENT, EMPLOYEE, OFFICER, DIRECTOR, PARTNER OR MEMBER
 OF AN ENTITY, OR A  CONSULTANT  TO,  OR  PERSON  HAVING  HAD  A  SIMILAR
 RELATIONSHIP  WITH,  ANY  ENTITY WHICH HAS HAD A LICENSE OR REGISTRATION
 REVOKED BY THE SUPERINTENDENT WHERE SUCH PERSON SHALL HAVE BEEN FOUND BY
 THE SUPERINTENDENT TO BEAR RESPONSIBILITY IN CONNECTION WITH THE REVOCA-
 TION.
   3. THE TERM "SUBSTANTIAL STOCKHOLDER", AS USED  IN  THIS  SUBDIVISION,
 SHALL  BE  DEEMED TO REFER TO A PERSON OWNING OR CONTROLLING DIRECTLY OR
 INDIRECTLY TEN PER CENTUM OR MORE OF THE TOTAL OUTSTANDING  STOCK  OF  A
 CORPORATION.
   §  714.  CHANGES  IN OFFICERS AND DIRECTORS. UPON ANY CHANGE OF ANY OF
 THE EXECUTIVE OFFICERS, DIRECTORS, PARTNERS OR MEMBERS  OF  ANY  STUDENT
 LOAN SERVICER, THE STUDENT LOAN SERVICER SHALL SUBMIT TO THE SUPERINTEN-
 DENT  THE  NAME,  ADDRESS, AND OCCUPATION OF EACH NEW OFFICER, DIRECTOR,
 PARTNER OR MEMBER, AND PROVIDE SUCH OTHER INFORMATION AS THE SUPERINTEN-
 DENT MAY REQUIRE.
   § 715. CHANGES IN CONTROL. 1. IT SHALL BE UNLAWFUL,  EXCEPT  WITH  THE
 PRIOR  APPROVAL  OF THE SUPERINTENDENT, FOR ANY ACTION TO BE TAKEN WHICH

 S. 2008--A                         103                        A. 3008--A
 
 RESULTS IN A CHANGE OF CONTROL OF THE BUSINESS OF A STUDENT LOAN  SERVI-
 CER.  PRIOR  TO  ANY CHANGE OF CONTROL, THE PERSON DESIROUS OF ACQUIRING
 CONTROL OF THE BUSINESS OF A STUDENT LOAN SERVICER  SHALL  MAKE  WRITTEN
 APPLICATION  TO  THE  SUPERINTENDENT  AND  PAY  AN  INVESTIGATION FEE AS
 PRESCRIBED PURSUANT TO SECTION EIGHTEEN-A OF THIS CHAPTER TO THE  SUPER-
 INTENDENT.  THE APPLICATION SHALL CONTAIN SUCH INFORMATION AS THE SUPER-
 INTENDENT, BY RULE OR REGULATION, MAY PRESCRIBE AS NECESSARY  OR  APPRO-
 PRIATE   FOR  THE  PURPOSE  OF  MAKING  THE  DETERMINATION  REQUIRED  BY
 SUBDIVISION TWO OF THIS SECTION. SUCH INFORMATION SHALL INCLUDE, BUT NOT
 BE LIMITED TO, THE INFORMATION AND OTHER MATERIAL REQUIRED FOR A STUDENT
 LOAN SERVICER BY SUBDIVISION ONE OF SECTION SEVEN HUNDRED TWELVE OF THIS
 ARTICLE.
   2. THE SUPERINTENDENT SHALL APPROVE OR DISAPPROVE THE PROPOSED  CHANGE
 OF  CONTROL OF A STUDENT LOAN SERVICER IN ACCORDANCE WITH THE PROVISIONS
 OF SECTION SEVEN HUNDRED THIRTEEN OF THIS ARTICLE.
   3. FOR A PERIOD OF SIX MONTHS FROM THE DATE OF  QUALIFICATION  THEREOF
 AND  FOR  SUCH  ADDITIONAL  PERIOD  OF  TIME  AS  THE SUPERINTENDENT MAY
 PRESCRIBE, IN WRITING, THE PROVISIONS OF SUBDIVISIONS  ONE  AND  TWO  OF
 THIS  SECTION  SHALL  NOT APPLY TO A TRANSFER OF CONTROL BY OPERATION OF
 LAW TO THE LEGAL REPRESENTATIVE, AS HEREINAFTER DEFINED, OF ONE WHO  HAS
 CONTROL  OF  A  STUDENT  LOAN SERVICER. THEREAFTER, SUCH LEGAL REPRESEN-
 TATIVE SHALL COMPLY WITH THE PROVISIONS OF SUBDIVISIONS ONE AND  TWO  OF
 THIS SECTION. THE PROVISIONS OF SUBDIVISIONS ONE AND TWO OF THIS SECTION
 SHALL BE APPLICABLE TO AN APPLICATION MADE UNDER THIS SECTION BY A LEGAL
 REPRESENTATIVE.  THE  TERM  "LEGAL  REPRESENTATIVE", FOR THE PURPOSES OF
 THIS SUBDIVISION, SHALL MEAN A PERSON  DULY  APPOINTED  BY  A  COURT  OF
 COMPETENT  JURISDICTION  TO  ACT  AS  EXECUTOR,  ADMINISTRATOR, TRUSTEE,
 COMMITTEE, CONSERVATOR OR RECEIVER, INCLUDING A PERSON  WHO  SUCCEEDS  A
 LEGAL REPRESENTATIVE AND A PERSON ACTING IN AN ANCILLARY CAPACITY THERE-
 TO IN ACCORDANCE WITH THE PROVISIONS OF SUCH COURT APPOINTMENT.
   4.  AS  USED  IN THIS SECTION THE TERM "CONTROL" MEANS THE POSSESSION,
 DIRECTLY OR INDIRECTLY, OF THE POWER TO DIRECT OR CAUSE THE DIRECTION OF
 THE MANAGEMENT AND POLICIES OF A STUDENT LOAN SERVICER, WHETHER  THROUGH
 THE  OWNERSHIP OF VOTING STOCK OF SUCH STUDENT LOAN SERVICER, THE OWNER-
 SHIP OF VOTING STOCK OF ANY PERSON WHICH POSSESSES SUCH POWER OR  OTHER-
 WISE.  CONTROL  SHALL  BE  PRESUMED  TO EXIST IF ANY PERSON, DIRECTLY OR
 INDIRECTLY, OWNS, CONTROLS OR HOLDS WITH POWER TO VOTE TEN PER CENTUM OR
 MORE OF THE VOTING STOCK OF ANY STUDENT LOAN SERVICER OR OF  ANY  PERSON
 WHICH  OWNS, CONTROLS OR HOLDS WITH POWER TO VOTE TEN PER CENTUM OR MORE
 OF THE VOTING STOCK OF ANY STUDENT LOAN SERVICER, BUT NO PERSON SHALL BE
 DEEMED TO CONTROL A STUDENT LOAN SERVICER SOLELY BY REASON OF  BEING  AN
 OFFICER  OR  DIRECTOR  OF SUCH STUDENT LOAN SERVICER. THE SUPERINTENDENT
 MAY IN HIS DISCRETION, UPON THE APPLICATION OF A STUDENT  LOAN  SERVICER
 OR  ANY PERSON WHO, DIRECTLY OR INDIRECTLY, OWNS, CONTROLS OR HOLDS WITH
 POWER TO VOTE OR SEEKS TO OWN, CONTROL OR HOLD WITH POWER  TO  VOTE  ANY
 VOTING STOCK OF SUCH STUDENT LOAN SERVICER, DETERMINE WHETHER OR NOT THE
 OWNERSHIP,  CONTROL OR HOLDING OF SUCH VOTING STOCK CONSTITUTES OR WOULD
 CONSTITUTE CONTROL OF SUCH STUDENT LOAN SERVICER FOR  PURPOSES  OF  THIS
 SECTION.
   §  716. GROUNDS FOR SUSPENSION OR REVOCATION OF LICENSE. 1. THE SUPER-
 INTENDENT MAY REVOKE ANY LICENSE TO ENGAGE IN THE BUSINESS OF A  STUDENT
 LOAN  SERVICER  ISSUED  PURSUANT TO THIS ARTICLE IF HE OR SHE SHALL FIND
 THAT:
   (A) A SERVICER HAS VIOLATED ANY PROVISION OF THIS ARTICLE, ANY RULE OR
 REGULATION PROMULGATED  BY  THE  SUPERINTENDENT  UNDER  AND  WITHIN  THE
 AUTHORITY OF THIS ARTICLE, OR ANY OTHER APPLICABLE LAW;

 S. 2008--A                         104                        A. 3008--A
 
   (B)  ANY FACT OR CONDITION EXISTS WHICH, IF IT HAD EXISTED AT THE TIME
 OF THE ORIGINAL APPLICATION FOR SUCH LICENSE, WOULD HAVE  WARRANTED  THE
 SUPERINTENDENT REFUSING ORIGINALLY TO ISSUE SUCH LICENSE;
   (C) A SERVICER DOES NOT COOPERATE WITH AN EXAMINATION OR INVESTIGATION
 BY THE SUPERINTENDENT;
   (D)  A  SERVICER  ENGAGES  IN FRAUD, INTENTIONAL MISREPRESENTATION, OR
 GROSS NEGLIGENCE IN SERVICING A STUDENT LOAN;
   (E) THE COMPETENCE, EXPERIENCE, CHARACTER, OR GENERAL FITNESS  OF  THE
 SERVICER, AN INDIVIDUAL CONTROLLING, DIRECTLY OR INDIRECTLY, TEN PERCENT
 OR  MORE  OF  THE  OUTSTANDING  INTERESTS, OR ANY PERSON RESPONSIBLE FOR
 SERVICING A STUDENT LOAN FOR THE SERVICER INDICATES THAT IT  IS  NOT  IN
 THE PUBLIC INTEREST TO PERMIT THE SERVICER TO CONTINUE SERVICING STUDENT
 LOANS;
   (F) THE SERVICER ENGAGES IN UNSAFE OR INJURIOUS PRACTICE;
   (G) THE SERVICER IS INSOLVENT, SUSPENDS PAYMENT OF ITS OBLIGATIONS, OR
 MAKES A GENERAL ASSIGNMENT FOR THE BENEFIT OF ITS CREDITORS; OR
   (H)  A  SERVICER  HAS VIOLATED THE LAWS OF THIS STATE, ANY OTHER STATE
 LAW OR ANY FEDERAL LAW INVOLVING FRAUDULENT OR DISHONEST DEALING,  OR  A
 FINAL  JUDGMENT  HAS  BEEN  ENTERED AGAINST A STUDENT LOAN SERVICER IN A
 CIVIL ACTION UPON GROUNDS OF FRAUD, MISREPRESENTATION OR DECEIT.
   2. AS A PART OF HIS OR HER DETERMINATION REGARDING SUSPENSION OR REVO-
 CATION, THE SUPERINTENDENT IS AUTHORIZED TO REQUIRE  THE  FINGERPRINTING
 OF  ANY  PERSON,  OFFICER,  DIRECTOR,  PARTNER,  MEMBER OR EMPLOYEE OF A
 STUDENT LOAN SERVICER. SUCH FINGERPRINTS SHALL BE SUBMITTED TO THE DIVI-
 SION OF CRIMINAL JUSTICE SERVICES FOR A STATE  CRIMINAL  HISTORY  RECORD
 CHECK  AND MAY BE SUBMITTED TO THE FEDERAL BUREAU OF INVESTIGATION FOR A
 NATIONAL CRIMINAL HISTORY RECORD CHECK.
   3. THE SUPERINTENDENT MAY, ON GOOD CAUSE SHOWN, OR WHERE  THERE  IS  A
 SUBSTANTIAL  RISK  OF  PUBLIC HARM, SUSPEND ANY LICENSE FOR A PERIOD NOT
 EXCEEDING THIRTY DAYS, PENDING INVESTIGATION. "GOOD CAUSE", AS  USED  IN
 THIS SUBDIVISION, SHALL EXIST WHEN A STUDENT LOAN SERVICER HAS DEFAULTED
 OR  IS  LIKELY  TO  DEFAULT  IN  PERFORMING ITS FINANCIAL ENGAGEMENTS OR
 ENGAGES IN DISHONEST OR INEQUITABLE PRACTICES WHICH MAY  CAUSE  SUBSTAN-
 TIAL HARM TO THE PERSONS AFFORDED THE PROTECTION OF THIS ARTICLE.
   4. EXCEPT AS PROVIDED IN SUBDIVISION THREE OF THIS SECTION, NO LICENSE
 SHALL BE REVOKED OR SUSPENDED EXCEPT AFTER NOTICE AND A HEARING THEREON.
 ANY ORDER OF SUSPENSION ISSUED AFTER NOTICE AND A HEARING MAY INCLUDE AS
 A  CONDITION OF REINSTATEMENT THAT THE STUDENT LOAN SERVICER MAKE RESTI-
 TUTION TO CONSUMERS OF FEES OR OTHER CHARGES WHICH HAVE BEEN  IMPROPERLY
 CHARGED  OR  COLLECTED,  INCLUDING  BUT  NOT  LIMITED  TO  BY ALLOCATING
 PAYMENTS CONTRARY TO A BORROWER'S DIRECTION OR IN A MANNER THAT FAILS TO
 HELP A BORROWER AVOID DEFAULT, AS DETERMINED BY THE SUPERINTENDENT.  ANY
 HEARING  HELD  PURSUANT  TO  THE  PROVISIONS  OF  THIS  SECTION SHALL BE
 NOTICED, CONDUCTED AND ADMINISTERED IN COMPLIANCE WITH THE STATE  ADMIN-
 ISTRATIVE PROCEDURE ACT.
   5.  ANY  STUDENT LOAN SERVICER MAY SURRENDER ANY LICENSE BY DELIVERING
 TO THE SUPERINTENDENT WRITTEN NOTICE  THAT  THE  STUDENT  LOAN  SERVICER
 THEREBY SURRENDERS SUCH LICENSE, BUT SUCH SURRENDER SHALL NOT AFFECT THE
 SERVICER'S  CIVIL  OR CRIMINAL LIABILITY FOR ACTS COMMITTED PRIOR TO THE
 SURRENDER. IF SUCH SURRENDER IS MADE AFTER THE ISSUANCE  BY  THE  SUPER-
 INTENDENT  OF  A  STATEMENT OF CHARGES AND NOTICE OF HEARING, THE SUPER-
 INTENDENT MAY PROCEED AGAINST THE SERVICER AS IF THE SURRENDER  HAD  NOT
 TAKEN PLACE.
   6. NO REVOCATION, SUSPENSION, OR SURRENDER OF ANY LICENSE SHALL IMPAIR
 OR AFFECT THE OBLIGATION OF ANY PRE-EXISTING LAWFUL CONTRACT BETWEEN THE

 S. 2008--A                         105                        A. 3008--A
 
 STUDENT LOAN SERVICER AND ANY PERSON, INCLUDING THE DEPARTMENT OF FINAN-
 CIAL SERVICES.
   7.  EVERY LICENSE ISSUED PURSUANT TO THIS ARTICLE SHALL REMAIN IN FULL
 FORCE AND EFFECT UNTIL THE SAME SHALL HAVE BEEN SURRENDERED, REVOKED  OR
 SUSPENDED IN ACCORDANCE WITH ANY OTHER PROVISIONS OF THIS ARTICLE.
   8.  WHENEVER  THE  SUPERINTENDENT  SHALL  REVOKE  OR SUSPEND A LICENSE
 ISSUED PURSUANT TO THIS ARTICLE, HE OR SHE SHALL  FORTHWITH  EXECUTE  IN
 DUPLICATE  A WRITTEN ORDER TO THAT EFFECT. THE SUPERINTENDENT SHALL FILE
 ONE COPY OF THE ORDER IN THE  OFFICE  OF  THE  DEPARTMENT  OF  FINANCIAL
 SERVICES  AND SHALL FORTHWITH SERVE THE OTHER COPY UPON THE STUDENT LOAN
 SERVICER. ANY SUCH ORDER MAY BE REVIEWED IN THE MANNER PROVIDED BY ARTI-
 CLE SEVENTY-EIGHT OF THE CIVIL PRACTICE LAW AND  RULES.  AN  APPLICATION
 FOR REVIEW AS AUTHORIZED BY THIS SECTION MUST BE MADE WITHIN THIRTY DAYS
 FROM THE DATE OF THE ORDER OF SUSPENSION OR REVOCATION.
   §  717.  BOOKS  AND  RECORDS;  REPORTS  AND ELECTRONIC FILING. 1. EACH
 STUDENT LOAN SERVICER AND EXEMPT ORGANIZATION SHALL KEEP AND USE IN  ITS
 BUSINESS SUCH BOOKS, ACCOUNTS AND RECORDS AS WILL ENABLE THE SUPERINTEN-
 DENT TO DETERMINE WHETHER THE SERVICER OR EXEMPT ORGANIZATION IS COMPLY-
 ING  WITH  THE  PROVISIONS  OF THIS ARTICLE AND WITH THE RULES AND REGU-
 LATIONS LAWFULLY MADE BY THE SUPERINTENDENT. EVERY SERVICER  AND  EXEMPT
 ORGANIZATION  SHALL  PRESERVE  SUCH BOOKS, ACCOUNTS, AND RECORDS, FOR AT
 LEAST THREE YEARS.
   2. (A) EACH STUDENT LOAN SERVICER SHALL ANNUALLY, ON OR BEFORE A  DATE
 TO  BE  DETERMINED  BY THE SUPERINTENDENT, FILE A REPORT WITH THE SUPER-
 INTENDENT GIVING SUCH INFORMATION  AS  THE  SUPERINTENDENT  MAY  REQUIRE
 CONCERNING  THE  BUSINESS  AND  OPERATIONS DURING THE PRECEDING CALENDAR
 YEAR OF SUCH SERVICER UNDER AUTHORITY OF THIS ARTICLE. SUCH REPORT SHALL
 BE SUBSCRIBED AND AFFIRMED AS TRUE BY THE SERVICER UNDER  THE  PENALTIES
 OF PERJURY AND SHALL BE IN THE FORM PRESCRIBED BY THE SUPERINTENDENT.
   (B) IN ADDITION TO ANNUAL REPORTS, THE SUPERINTENDENT MAY REQUIRE SUCH
 ADDITIONAL REGULAR OR SPECIAL REPORTS AS HE OR SHE MAY DEEM NECESSARY TO
 THE  PROPER  SUPERVISION  OF  STUDENT LOAN SERVICERS UNDER THIS ARTICLE.
 SUCH ADDITIONAL REPORTS SHALL BE SUBSCRIBED AND AFFIRMED AS TRUE BY  THE
 SERVICER  UNDER  THE  PENALTIES  OF  PERJURY  AND  SHALL  BE IN THE FORM
 PRESCRIBED BY THE SUPERINTENDENT.
   3. NOTWITHSTANDING ARTICLE THREE OF THE STATE TECHNOLOGY  LAW  OR  ANY
 OTHER  LAW  TO  THE  CONTRARY,  THE  SUPERINTENDENT MAY REQUIRE THAT ANY
 SUBMISSION OR APPROVAL AS MAY BE REQUIRED BY THE SUPERINTENDENT BE  MADE
 OR  EXECUTED  BY  ELECTRONIC  MEANS  IF  HE OR SHE DEEMS IT NECESSARY TO
 ENSURE THE EFFICIENT ADMINISTRATION OF THIS ARTICLE.
   § 718. RULES AND REGULATIONS. 1. IN ADDITION TO  SUCH  POWERS  AS  MAY
 OTHERWISE  BE  PRESCRIBED  BY THIS CHAPTER, THE SUPERINTENDENT IS HEREBY
 AUTHORIZED AND EMPOWERED TO PROMULGATE SUCH RULES AND REGULATIONS AS MAY
 IN THE JUDGMENT OF THE SUPERINTENDENT BE CONSISTENT WITH THE PURPOSES OF
 THIS ARTICLE, OR APPROPRIATE FOR THE EFFECTIVE  ADMINISTRATION  OF  THIS
 ARTICLE, INCLUDING, BUT NOT LIMITED TO:
   (A)  SUCH  RULES  AND REGULATIONS IN CONNECTION WITH THE ACTIVITIES OF
 STUDENT LOAN SERVICERS AND EXEMPT ORGANIZATIONS AS MAY BE NECESSARY  AND
 APPROPRIATE FOR THE PROTECTION OF BORROWERS IN THIS STATE.
   (B)  SUCH RULES AND REGULATIONS AS MAY BE NECESSARY AND APPROPRIATE TO
 DEFINE UNFAIR, DECEPTIVE OR ABUSIVE ACTS OR PRACTICES IN CONNECTION WITH
 THE ACTIVITIES OF STUDENT LOAN SERVICERS  AND  EXEMPT  ORGANIZATIONS  IN
 SERVICING STUDENT LOANS.
   (C)  SUCH  RULES  AND REGULATIONS AS MAY DEFINE THE TERMS USED IN THIS
 ARTICLE AND AS MAY BE NECESSARY AND APPROPRIATE TO INTERPRET AND  IMPLE-
 MENT THE PROVISIONS OF THIS ARTICLE.

 S. 2008--A                         106                        A. 3008--A
 
   (D) SUCH RULES AND REGULATIONS AS MAY BE NECESSARY FOR THE ENFORCEMENT
 OF THIS ARTICLE.
   2.  THE SUPERINTENDENT IS HEREBY AUTHORIZED AND EMPOWERED TO MAKE SUCH
 SPECIFIC RULINGS, DEMANDS AND FINDINGS AS THE  SUPERINTENDENT  MAY  DEEM
 NECESSARY FOR THE PROPER CONDUCT OF THE STUDENT LOAN SERVICING INDUSTRY.
   § 719. PROHIBITED PRACTICES. NO STUDENT LOAN SERVICER SHALL:
   1.  DIRECTLY  OR  INDIRECTLY  EMPLOY ANY SCHEME, DEVICE OR ARTIFICE TO
 DEFRAUD OR MISLEAD A BORROWER.
   2. ENGAGE IN ANY UNFAIR, DECEPTIVE OR PREDATORY ACT OR PRACTICE TOWARD
 ANY  PERSON  OR  MISREPRESENT  OR  OMIT  ANY  MATERIAL  INFORMATION   IN
 CONNECTION  WITH  THE  SERVICING  OF  A STUDENT LOAN, INCLUDING, BUT NOT
 LIMITED TO, MISREPRESENTING THE AMOUNT, NATURE OR TERMS OF  ANY  FEE  OR
 PAYMENT DUE OR CLAIMED TO BE DUE ON A STUDENT LOAN, THE TERMS AND CONDI-
 TIONS  OF  THE  LOAN  AGREEMENT  OR THE BORROWER'S OBLIGATIONS UNDER THE
 LOAN.
   3. MISAPPLY PAYMENTS TO THE OUTSTANDING BALANCE OF ANY STUDENT LOAN OR
 TO ANY RELATED INTEREST OR FEES.
   4. PROVIDE INACCURATE INFORMATION TO A CONSUMER REPORTING AGENCY.
   5. REFUSE TO COMMUNICATE WITH  AN  AUTHORIZED  REPRESENTATIVE  OF  THE
 BORROWER  WHO  PROVIDES  A WRITTEN AUTHORIZATION SIGNED BY THE BORROWER,
 PROVIDED THAT THE SERVICER MAY ADOPT PROCEDURES  REASONABLY  RELATED  TO
 VERIFYING THAT THE REPRESENTATIVE IS IN FACT AUTHORIZED TO ACT ON BEHALF
 OF THE BORROWER.
   6. MAKE ANY FALSE STATEMENT OR MAKE ANY OMISSION OF A MATERIAL FACT IN
 CONNECTION  WITH  ANY  INFORMATION  OR REPORTS FILED WITH A GOVERNMENTAL
 AGENCY OR IN CONNECTION WITH ANY INVESTIGATION CONDUCTED BY  THE  SUPER-
 INTENDENT OR ANOTHER GOVERNMENTAL AGENCY.
   §  720. SERVICING STUDENT LOANS WITHOUT A LICENSE. 1. WHENEVER, IN THE
 OPINION OF THE SUPERINTENDENT, A PERSON IS ENGAGED IN  THE  BUSINESS  OF
 SERVICING  STUDENT LOANS, EITHER ACTUALLY OR THROUGH SUBTERFUGE, WITHOUT
 A LICENSE FROM THE SUPERINTENDENT, THE  SUPERINTENDENT  MAY  ORDER  THAT
 PERSON  TO DESIST AND REFRAIN FROM ENGAGING IN THE BUSINESS OF SERVICING
 STUDENT LOANS IN THE STATE. IF, WITHIN THIRTY DAYS  AFTER  AN  ORDER  IS
 SERVED,  A  REQUEST FOR A HEARING IS FILED IN WRITING AND THE HEARING IS
 NOT HELD WITHIN SIXTY DAYS OF THE FILING, THE ORDER SHALL BE RESCINDED.
   2. THE SUPERINTENDENT MAY MAINTAIN A CIVIL ACTION TO ENFORCE ANY ORDER
 ISSUED BY THE SUPERINTENDENT PURSUANT TO THIS SECTION.
   3. THIS SECTION SHALL NOT APPLY TO EXEMPT ORGANIZATIONS.
   § 721. RESPONSIBILITIES. 1.  IF  A  STUDENT  LOAN  SERVICER  REGULARLY
 REPORTS  INFORMATION  TO A CONSUMER REPORTING AGENCY, THE SERVICER SHALL
 ACCURATELY REPORT A BORROWER'S  PAYMENT  PERFORMANCE  TO  AT  LEAST  ONE
 CONSUMER REPORTING AGENCY THAT COMPILES AND MAINTAINS FILES ON CONSUMERS
 ON  A  NATIONWIDE BASIS AS DEFINED IN SECTION 603(P) OF THE FEDERAL FAIR
 CREDIT REPORTING ACT (15 U.S.C. SEC. 1681A(P)),  UPON  ACCEPTANCE  AS  A
 DATA FURNISHER BY THAT CONSUMER REPORTING AGENCY.
   2. (A) EXCEPT AS PROVIDED IN FEDERAL LAW OR REQUIRED BY A STUDENT LOAN
 AGREEMENT,  A  STUDENT  LOAN SERVICER SHALL INQUIRE OF A BORROWER HOW TO
 APPLY A BORROWER'S NONCONFORMING PAYMENT. A BORROWER'S DIRECTION ON  HOW
 TO  APPLY  A NONCONFORMING PAYMENT SHALL REMAIN IN EFFECT FOR ANY FUTURE
 NONCONFORMING PAYMENT DURING THE  TERM  OF  A  STUDENT  LOAN  UNTIL  THE
 BORROWER PROVIDES DIFFERENT DIRECTIONS.
   (B)  FOR  PURPOSES  OF THIS SUBDIVISION, "NONCONFORMING PAYMENT" SHALL
 MEAN A PAYMENT THAT IS EITHER MORE OR LESS THAN THE BORROWER'S  REQUIRED
 STUDENT LOAN PAYMENT.
   3.  (A) IF THE SALE, ASSIGNMENT, OR OTHER TRANSFER OF THE SERVICING OF
 A STUDENT LOAN RESULTS IN A CHANGE IN THE IDENTITY OF THE PERSON TO WHOM

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 THE BORROWER IS REQUIRED TO  SEND  SUBSEQUENT  PAYMENTS  OR  DIRECT  ANY
 COMMUNICATIONS  CONCERNING  THE  STUDENT  LOAN,  A STUDENT LOAN SERVICER
 SHALL TRANSFER  ALL  INFORMATION  REGARDING  A  BORROWER,  A  BORROWER'S
 ACCOUNT, AND A BORROWER'S STUDENT LOAN, INCLUDING BUT NOT LIMITED TO THE
 BORROWER'S  REPAYMENT  STATUS  AND ANY BORROWER BENEFITS ASSOCIATED WITH
 THE BORROWER'S STUDENT LOAN, TO THE NEW STUDENT LOAN SERVICER  SERVICING
 THE BORROWER'S STUDENT LOAN WITHIN FORTY-FIVE DAYS.
   (B)  A  STUDENT  LOAN  SERVICER SHALL ADOPT POLICIES AND PROCEDURES TO
 VERIFY THAT IT HAS RECEIVED ALL  INFORMATION  REGARDING  A  BORROWER,  A
 BORROWER'S  ACCOUNT,  AND  A  BORROWER'S STUDENT LOAN, INCLUDING BUT NOT
 LIMITED TO THE BORROWER'S REPAYMENT STATUS  AND  ANY  BORROWER  BENEFITS
 ASSOCIATED  WITH  THE BORROWER'S STUDENT LOAN, WHEN THE SERVICER OBTAINS
 THE RIGHT TO SERVICE A STUDENT LOAN.
   4. IF A STUDENT LOAN SERVICER SELLS, ASSIGNS, OR  OTHERWISE  TRANSFERS
 THE  SERVICING OF A STUDENT LOAN TO A NEW SERVICER, THE SALE, ASSIGNMENT
 OR OTHER TRANSFER SHALL BE COMPLETED AT  LEAST  SEVEN  DAYS  BEFORE  THE
 BORROWER'S NEXT PAYMENT IS DUE.
   5.  (A)  A  STUDENT  LOAN  SERVICER  THAT SELLS, ASSIGNS, OR OTHERWISE
 TRANSFERS THE SERVICING OF A STUDENT LOAN SHALL REQUIRE AS  A  CONDITION
 OF  SUCH  SALE,  ASSIGNMENT  OR OTHER TRANSFER THAT THE NEW STUDENT LOAN
 SERVICER SHALL HONOR ALL BORROWER  BENEFITS  ORIGINALLY  REPRESENTED  AS
 BEING  AVAILABLE  TO A BORROWER DURING THE REPAYMENT OF THE STUDENT LOAN
 AND THE POSSIBILITY OF SUCH BENEFITS, INCLUDING ANY BENEFITS  THAT  WERE
 REPRESENTED  AS  BEING  AVAILABLE BUT FOR WHICH THE BORROWER HAD NOT YET
 QUALIFIED.
   (B) A STUDENT LOAN SERVICER  THAT  OBTAINS  THE  RIGHT  TO  SERVICE  A
 STUDENT LOAN SHALL HONOR ALL BORROWER BENEFITS ORIGINALLY REPRESENTED AS
 BEING  AVAILABLE  TO A BORROWER DURING THE REPAYMENT OF THE STUDENT LOAN
 AND THE POSSIBILITY OF SUCH BENEFITS, INCLUDING ANY BENEFITS  THAT  WERE
 REPRESENTED  AS  BEING  AVAILABLE BUT FOR WHICH THE BORROWER HAD NOT YET
 QUALIFIED.
   6. A STUDENT LOAN SERVICER SHALL  RESPOND  WITHIN  THIRTY  DAYS  AFTER
 RECEIPT  TO  A WRITTEN INQUIRY FROM A BORROWER OR A BORROWER'S REPRESEN-
 TATIVE.
   7. A STUDENT LOAN SERVICER SHALL PRESERVE RECORDS OF EACH STUDENT LOAN
 AND ALL COMMUNICATIONS WITH  BORROWERS  FOR  NOT  LESS  THAN  TWO  YEARS
 FOLLOWING THE FINAL PAYMENT ON A STUDENT LOAN OR THE SALE, ASSIGNMENT OR
 OTHER  TRANSFER  OF  THE  SERVICING  OF A STUDENT LOAN, WHICHEVER OCCURS
 FIRST, OR SUCH LONGER PERIOD AS MAY BE REQUIRED BY ANY  OTHER  PROVISION
 OF LAW.
   §  722.  EXAMINATIONS.  1.  THE SUPERINTENDENT MAY AT ANY TIME, AND AS
 OFTEN AS HE OR SHE MAY DETERMINE, EITHER PERSONALLY OR BY A PERSON  DULY
 DESIGNATED  BY  THE SUPERINTENDENT, INVESTIGATE THE BUSINESS AND EXAMINE
 THE BOOKS, ACCOUNTS, RECORDS, AND FILES USED THEREIN  OF  EVERY  STUDENT
 LOAN  SERVICER.  FOR THAT PURPOSE THE SUPERINTENDENT AND HIS OR HER DULY
 DESIGNATED REPRESENTATIVE SHALL HAVE FREE  ACCESS  TO  THE  OFFICES  AND
 PLACES  OF  BUSINESS, BOOKS, ACCOUNTS, PAPERS, RECORDS, FILES, SAFES AND
 VAULTS OF ALL STUDENT LOAN SERVICERS. THE SUPERINTENDENT AND ANY  PERSON
 DULY  DESIGNATED  BY  HIM OR HER SHALL HAVE THE AUTHORITY TO REQUIRE THE
 ATTENDANCE OF AND TO EXAMINE UNDER OATH ALL PERSONS WHOSE  TESTIMONY  HE
 OR SHE MAY REQUIRE RELATIVE TO SUCH BUSINESS.
   2.  NO  PERSON  SUBJECT  TO  INVESTIGATION  OR  EXAMINATION UNDER THIS
 SECTION MAY KNOWINGLY WITHHOLD, ABSTRACT, REMOVE, MUTILATE,  DESTROY  OR
 SECRETE ANY BOOKS, RECORDS, COMPUTER RECORDS OR OTHER INFORMATION.
   3.  THE  EXPENSES  INCURRED IN MAKING ANY EXAMINATION PURSUANT TO THIS
 SECTION SHALL BE ASSESSED AGAINST AND PAID BY THE STUDENT LOAN  SERVICER

 S. 2008--A                         108                        A. 3008--A
 
 SO  EXAMINED, EXCEPT THAT TRAVELING AND SUBSISTENCE EXPENSES SO INCURRED
 SHALL BE CHARGED AGAINST AND PAID BY SERVICERS IN  SUCH  PROPORTIONS  AS
 THE  SUPERINTENDENT  SHALL  DEEM  JUST  AND REASONABLE, AND SUCH PROPOR-
 TIONATE  CHARGES  SHALL BE ADDED TO THE ASSESSMENT OF THE OTHER EXPENSES
 INCURRED UPON EACH EXAMINATION. UPON WRITTEN NOTICE BY  THE  SUPERINTEN-
 DENT  OF  THE TOTAL AMOUNT OF SUCH ASSESSMENT, THE SERVICER SHALL BECOME
 LIABLE FOR AND SHALL PAY SUCH ASSESSMENT TO THE SUPERINTENDENT.
   4. IN ANY HEARING IN WHICH A DEPARTMENT EMPLOYEE ACTING UNDER AUTHORI-
 TY OF THIS CHAPTER IS  AVAILABLE  FOR  CROSS-EXAMINATION,  ANY  OFFICIAL
 WRITTEN  REPORT, WORKSHEET, OTHER RELATED PAPERS, OR DULY CERTIFIED COPY
 THEREOF, COMPILED, PREPARED, DRAFTED, OR OTHERWISE MADE BY SUCH  DEPART-
 MENT  EMPLOYEE,  AFTER  BEING DULY AUTHENTICATED BY THE EMPLOYEE, MAY BE
 ADMITTED AS COMPETENT EVIDENCE UPON THE OATH OF THE EMPLOYEE  THAT  SUCH
 WORKSHEET,   INVESTIGATIVE  REPORT,  OR  OTHER  RELATED  DOCUMENTS  WERE
 PREPARED AS A RESULT OF AN EXAMINATION OF THE BOOKS  AND  RECORDS  OF  A
 SERVICER  OR  OTHER  PERSON, CONDUCTED PURSUANT TO THE AUTHORITY OF THIS
 CHAPTER.
   5. UNLESS OTHERWISE EXEMPT PURSUANT  TO  SUBDIVISION  TWO  OF  SECTION
 SEVEN  HUNDRED  ELEVEN  OF  THIS  ARTICLE,  AFFILIATES OF A STUDENT LOAN
 SERVICER SHALL BE SUBJECT TO EXAMINATION BY THE  SUPERINTENDENT  ON  THE
 SAME  TERMS  AS THE SERVICER, BUT ONLY WHEN REPORTS FROM, OR EXAMINATION
 OF, A SERVICER PROVIDES EVIDENCE OF UNLAWFUL ACTIVITY BETWEEN A SERVICER
 AND AFFILIATE BENEFITTING, AFFECTING, OR  ARISING  FROM  THE  ACTIVITIES
 REGULATED BY THIS ARTICLE.
   § 723. PENALTIES FOR VIOLATION OF THIS ARTICLE. 1. IN ADDITION TO SUCH
 PENALTIES AS MAY OTHERWISE BE APPLICABLE BY LAW, THE SUPERINTENDENT MAY,
 AFTER  NOTICE  AND  HEARING,  REQUIRE  ANY  PERSON  FOUND  VIOLATING THE
 PROVISIONS OF THIS ARTICLE OR THE RULES OR REGULATIONS PROMULGATED HERE-
 UNDER TO PAY TO THE PEOPLE OF THIS STATE AN ADDITIONAL PENALTY FOR  EACH
 VIOLATION  OF  THE ARTICLE OR ANY REGULATION OR POLICY PROMULGATED HERE-
 UNDER A SUM NOT TO EXCEED AN AMOUNT AS DETERMINED  PURSUANT  TO  SECTION
 FORTY-FOUR OF THIS CHAPTER FOR EACH SUCH VIOLATION.
   2.  NOTHING  IN  THIS  ARTICLE SHALL LIMIT ANY STATUTORY OR COMMON-LAW
 RIGHT OF ANY PERSON TO BRING ANY ACTION IN ANY COURT FOR ANY ACT, OR THE
 RIGHT OF THE STATE TO PUNISH ANY PERSON FOR ANY VIOLATION OF ANY LAW.
   § 724. SEVERABILITY OF PROVISIONS. IF ANY PROVISION OF  THIS  ARTICLE,
 OR  THE  APPLICATION  OF  SUCH  PROVISION TO ANY PERSON OR CIRCUMSTANCE,
 SHALL BE HELD INVALID, ILLEGAL OR UNENFORCEABLE, THE  REMAINDER  OF  THE
 ARTICLE,  AND  THE  APPLICATION  OF SUCH PROVISION TO PERSONS OR CIRCUM-
 STANCES OTHER THAN THOSE AS TO WHICH IT  IS  HELD  INVALID,  ILLEGAL  OR
 UNENFORCEABLE, SHALL NOT BE AFFECTED THEREBY.
   §  725.  COMPLIANCE  WITH  OTHER LAWS. 1. STUDENT LOAN SERVICERS SHALL
 ENGAGE IN THE BUSINESS OF SERVICING STUDENT LOANS IN CONFORMITY WITH THE
 PROVISIONS OF THIS CHAPTER, SUCH RULES AND REGULATIONS AS MAY BE PROMUL-
 GATED BY THE SUPERINTENDENT THEREUNDER AND ALL APPLICABLE  FEDERAL  LAWS
 AND THE RULES AND REGULATIONS PROMULGATED THEREUNDER.
   2.  NOTHING  IN THIS SECTION SHALL BE CONSTRUED TO LIMIT ANY OTHERWISE
 APPLICABLE STATE OR FEDERAL LAW OR REGULATIONS.
   § 2. Subdivision 10 of section 36 of the banking law,  as  amended  by
 chapter 182 of the laws of 2011, is amended to read as follows:
   10. All reports of examinations and investigations, correspondence and
 memoranda  concerning  or  arising  out of such examination and investi-
 gations, including any duly authenticated copy or copies thereof in  the
 possession  of  any  banking  organization,  bank holding company or any
 subsidiary thereof (as such terms "bank holding  company"  and  "subsid-
 iary"  are  defined in article three-A of this chapter), any corporation

 S. 2008--A                         109                        A. 3008--A

 or any other entity affiliated with a banking  organization  within  the
 meaning  of  subdivision six of this section and any non-banking subsid-
 iary of a corporation or any other entity which is  an  affiliate  of  a
 banking  organization  within  the  meaning of subdivision six-a of this
 section, foreign banking corporation, licensed lender,  licensed  casher
 of   checks,  licensed  mortgage  banker,  registered  mortgage  broker,
 licensed mortgage  loan  originator,  licensed  sales  finance  company,
 registered  mortgage  loan  servicer,  LICENSED  STUDENT  LOAN SERVICER,
 licensed insurance  premium  finance  agency,  licensed  transmitter  of
 money,  licensed  budget  planner, any other person or entity subject to
 supervision under this chapter, or the department, shall be confidential
 communications, shall not be subject to subpoena and shall not  be  made
 public  unless,  in  the  judgment  of  the  superintendent, the ends of
 justice and the public advantage will be subserved  by  the  publication
 thereof,  in which event the superintendent may publish or authorize the
 publication of a copy of any such report or any  part  thereof  in  such
 manner  as may be deemed proper or unless such laws specifically author-
 ize such disclosure. For the purposes of this subdivision,  "reports  of
 examinations  and  investigations,  and any correspondence and memoranda
 concerning or arising out  of  such  examinations  and  investigations",
 includes any such materials of a bank, insurance or securities regulato-
 ry  agency  or  any unit of the federal government or that of this state
 any other state or that of any foreign government which  are  considered
 confidential  by  such agency or unit and which are in the possession of
 the department or which are otherwise confidential materials  that  have
 been  shared  by  the department with any such agency or unit and are in
 the possession of such agency or unit.
   § 3. Subdivisions 1, 2, 3 and 5 of section  39  of  the  banking  law,
 subdivisions  1,  2  and 5 as amended by chapter 123 of the laws of 2009
 and subdivision 3 as amended by chapter 155 of the  laws  of  2012,  are
 amended to read as follows:
   1.  To  appear  and  explain  an apparent violation. Whenever it shall
 appear to the superintendent that any banking organization, bank holding
 company, registered mortgage broker, licensed mortgage banker,  LICENSED
 STUDENT LOAN SERVICER, registered mortgage loan servicer, licensed mort-
 gage  loan  originator,  licensed  lender,  licensed  casher  of checks,
 licensed sales finance company, licensed insurance premium finance agen-
 cy, licensed transmitter of money, licensed budget planner, out-of-state
 state bank that maintains a branch  or  branches  or  representative  or
 other  offices in this state, or foreign banking corporation licensed by
 the superintendent to do business or maintain a representative office in
 this state has violated any law or regulation, he or she may, in his  or
 her  discretion,  issue  an order describing such apparent violation and
 requiring such banking organization, bank  holding  company,  registered
 mortgage  broker, licensed mortgage banker, LICENSED STUDENT LOAN SERVI-
 CER, licensed mortgage loan originator, licensed lender, licensed casher
 of checks, licensed sales finance company,  licensed  insurance  premium
 finance  agency, licensed transmitter of money, licensed budget planner,
 out-of-state state bank that maintains a branch or branches or represen-
 tative or other offices in this state, or foreign banking corporation to
 appear before him or her, at a time and place fixed in  said  order,  to
 present an explanation of such apparent violation.
   2.  To discontinue unauthorized or unsafe and unsound practices. When-
 ever it shall appear to the superintendent that  any  banking  organiza-
 tion,  bank  holding company, registered mortgage broker, licensed mort-
 gage banker, LICENSED STUDENT LOAN SERVICER,  registered  mortgage  loan

 S. 2008--A                         110                        A. 3008--A
 
 servicer,  licensed  mortgage loan originator, licensed lender, licensed
 casher of checks, licensed sales  finance  company,  licensed  insurance
 premium  finance  agency, licensed transmitter of money, licensed budget
 planner,  out-of-state state bank that maintains a branch or branches or
 representative or other offices in this state, or foreign banking corpo-
 ration licensed by the superintendent to do business in  this  state  is
 conducting  business in an unauthorized or unsafe and unsound manner, he
 or she may, in his or her  discretion,  issue  an  order  directing  the
 discontinuance of such unauthorized or unsafe and unsound practices, and
 fixing a time and place at which such banking organization, bank holding
 company,  registered mortgage broker, licensed mortgage banker, LICENSED
 STUDENT LOAN SERVICER, registered mortgage loan servicer, licensed mort-
 gage loan  originator,  licensed  lender,  licensed  casher  of  checks,
 licensed sales finance company, licensed insurance premium finance agen-
 cy, licensed transmitter of money, licensed budget planner, out-of-state
 state  bank  that  maintains  a  branch or branches or representative or
 other offices in this state, or foreign banking corporation  may  volun-
 tarily appear before him or her to present any explanation in defense of
 the practices directed in said order to be discontinued.
   3.  To  make  good  impairment of capital or to ensure compliance with
 financial requirements. Whenever it shall appear to  the  superintendent
 that  the  capital  or  capital  stock of any banking organization, bank
 holding company or any subsidiary thereof which is  organized,  licensed
 or  registered  pursuant  to this chapter, is impaired, or the financial
 requirements imposed by subdivision one of section two hundred two-b  of
 this  chapter  or  any regulation of the superintendent on any branch or
 agency of a foreign banking corporation or  the  financial  requirements
 imposed  by  this chapter or any regulation of the superintendent on any
 licensed lender, registered mortgage broker, licensed  mortgage  banker,
 LICENSED  STUDENT  LOAN  SERVICER,  licensed  casher of checks, licensed
 sales  finance  company,  licensed  insurance  premium  finance  agency,
 licensed transmitter of money, licensed budget planner or private banker
 are  not  satisfied,  the  superintendent  may,  in the superintendent's
 discretion, issue an order directing  that  such  banking  organization,
 bank holding company, branch or agency of a foreign banking corporation,
 registered  mortgage  broker, licensed mortgage banker, LICENSED STUDENT
 LOAN SERVICER, licensed lender,  licensed  casher  of  checks,  licensed
 sales  finance  company,  licensed  insurance  premium  finance  agency,
 licensed transmitter of money, licensed budget planner, or private bank-
 er make good such deficiency forthwith or within  a  time  specified  in
 such order.
   5.  To keep books and accounts as prescribed. Whenever it shall appear
 to the superintendent that any banking organization, bank holding compa-
 ny, registered  mortgage  broker,  licensed  mortgage  banker,  LICENSED
 STUDENT LOAN SERVICER, registered mortgage loan servicer, licensed mort-
 gage  loan  originator,  licensed  lender,  licensed  casher  of checks,
 licensed sales finance company, licensed insurance premium finance agen-
 cy, licensed transmitter of money, licensed budget  planner,  agency  or
 branch  of  a foreign banking corporation licensed by the superintendent
 to do business in this state, does not keep its books  and  accounts  in
 such manner as to enable him or her to readily ascertain its true condi-
 tion,  he or she may, in his or her discretion, issue an order requiring
 such banking organization, bank  holding  company,  registered  mortgage
 broker, licensed mortgage banker, LICENSED STUDENT LOAN SERVICER, regis-
 tered   mortgage  loan  servicer,  licensed  mortgage  loan  originator,
 licensed lender, licensed  casher  of  checks,  licensed  sales  finance

 S. 2008--A                         111                        A. 3008--A
 
 company, licensed insurance premium finance agency, licensed transmitter
 of  money,  licensed  budget planner, or foreign banking corporation, or
 the officers or agents thereof, or any of them, to open  and  keep  such
 books  or accounts as he or she may, in his or her discretion, determine
 and prescribe for the purpose of keeping accurate and convenient records
 of its transactions and accounts.
   § 4. Paragraph (a) of subdivision 1 of section 44 of the banking  law,
 as  amended  by  chapter  155 of the laws of 2012, is amended to read as
 follows:
   (a) Without limiting any power granted to the superintendent under any
 other provision of this chapter, the superintendent may, in a proceeding
 after notice and a hearing, require any safe deposit  company,  licensed
 lender,  licensed  casher  of  checks,  licensed  sales finance company,
 licensed insurance  premium  finance  agency,  licensed  transmitter  of
 money,  licensed mortgage banker, LICENSED STUDENT LOAN SERVICER, regis-
 tered mortgage broker, licensed  mortgage  loan  originator,  registered
 mortgage  loan  servicer or licensed budget planner to pay to the people
 of this state a penalty for any violation of  this  chapter,  any  regu-
 lation  promulgated  thereunder,  any  final  or  temporary order issued
 pursuant to section thirty-nine of this article, any  condition  imposed
 in  writing  by  the  superintendent in connection with the grant of any
 application or request, or any written agreement entered into  with  the
 superintendent.
   § 5. This act shall take effect on the one hundred eightieth day after
 it shall have become a law.
 
                                  PART AA
 
   Section  1.  The banking law is amended by adding a new section 4-d to
 read as follows:
   § 4-D. PROTECTING VULNERABLE ADULTS FROM  FINANCIAL  EXPLOITATION.  1.
 DEFINITIONS. AS USED IN THIS SECTION:
   (A) "BANKING INSTITUTION" MEANS ANY BANK, TRUST COMPANY, SAVINGS BANK,
 SAVINGS AND LOAN ASSOCIATION, CREDIT UNION, OR BRANCH OF A FOREIGN BANK-
 ING  CORPORATION,  WHICH  IS  CHARTERED, ORGANIZED OR LICENSED UNDER THE
 LAWS OF THIS STATE OR ANY OTHER STATE OR THE UNITED STATES, AND, IN  THE
 ORDINARY COURSE OF BUSINESS TAKES DEPOSIT ACCOUNTS IN THIS STATE.
   (B)  "VULNERABLE  ADULT"  MEANS  AN  INDIVIDUAL WHO, BECAUSE OF MENTAL
 AND/OR PHYSICAL IMPAIRMENT IS POTENTIALLY UNABLE TO MANAGE  HIS  OR  HER
 OWN RESOURCES OR PROTECT HIMSELF OR HERSELF FROM FINANCIAL EXPLOITATION.
   (C) "FINANCIAL EXPLOITATION" MEANS: (I) THE IMPROPER TAKING, WITHHOLD-
 ING,  APPROPRIATION,  OR  USE  OF A VULNERABLE ADULT'S MONEY, ASSETS, OR
 PROPERTY; OR (II) ANY ACT OR OMISSION BY A PERSON, INCLUDING THROUGH THE
 USE OF A POWER OF ATTORNEY, GUARDIANSHIP, OR ANY OTHER AUTHORITY REGARD-
 ING A VULNERABLE ADULT TO: (A) OBTAIN CONTROL, THROUGH DECEPTION, INTIM-
 IDATION OR UNDUE INFLUENCE, OVER THE VULNERABLE ADULT'S  MONEY,  ASSETS,
 OR  PROPERTY  OR  (B)  CONVERT  THE VULNERABLE ADULT'S MONEY, ASSETS, OR
 PROPERTY.
   (D) "TRANSACTION HOLD" MEANS A DELAY IN THE COMPLETION OF ONE OR  MORE
 FINANCIAL  TRANSACTIONS  PENDING  AN INVESTIGATION BY A BANKING INSTITU-
 TION, ADULT PROTECTIVE SERVICES, OR A LAW ENFORCEMENT AGENCY.
   (E) "ADULT PROTECTIVE SERVICES" MEANS THE DIVISION  OF  THE  NEW  YORK
 CITY  HUMAN  RESOURCES  ADMINISTRATION  AND  EACH COUNTY'S DEPARTMENT OF
 HUMAN SERVICES OR DEPARTMENT OF SOCIAL SERVICES RESPONSIBLE FOR  PROVID-
 ING  ADULT PROTECTIVE SERVICES PURSUANT TO SECTION FOUR HUNDRED SEVENTY-
 THREE OF THE SOCIAL SERVICES LAW.

 S. 2008--A                         112                        A. 3008--A
 
   (F) "LAW ENFORCEMENT AGENCY" MEANS ANY AGENCY, INCLUDING THE FINANCIAL
 FRAUDS AND CONSUMER PROTECTION  UNIT  OF  THE  DEPARTMENT  OF  FINANCIAL
 SERVICES,  WHICH  IS  EMPOWERED BY LAW TO CONDUCT AN INVESTIGATION OR TO
 MAKE AN ARREST FOR A FELONY, AND ANY AGENCY WHICH IS AUTHORIZED  BY  LAW
 TO PROSECUTE OR PARTICIPATE IN THE PROSECUTION OF A FELONY.
   2.  APPLICATION  OF  TRANSACTION  HOLD.  (A)  IF A BANKING INSTITUTION
 REASONABLY BELIEVES: (I) THAT FINANCIAL  EXPLOITATION  OF  A  VULNERABLE
 ADULT MAY HAVE OCCURRED, MAY HAVE BEEN ATTEMPTED, OR IS BEING ATTEMPTED;
 AND  (II)  THAT  THE PLACEMENT OF A TRANSACTION HOLD MAY BE NECESSARY TO
 PROTECT A VULNERABLE ADULT'S MONEY, ASSETS, OR PROPERTY  FROM  FINANCIAL
 EXPLOITATION, THEN THE BANKING INSTITUTION MAY, AT ITS DISCRETION, APPLY
 A  TRANSACTION HOLD ON THE ACCOUNT OF A VULNERABLE ADULT, THE ACCOUNT ON
 WHICH A VULNERABLE ADULT IS A BENEFICIARY, INCLUDING A TRUST OR  GUARDI-
 ANSHIP ACCOUNT, OR THE ACCOUNT OF A PERSON WHO IS REASONABLY BELIEVED BY
 THE  BANKING INSTITUTION TO BE ENGAGING IN THE FINANCIAL EXPLOITATION OF
 A VULNERABLE ADULT.
   (B) A BANKING INSTITUTION MAY ALSO APPLY A  TRANSACTION  HOLD  ON  THE
 ACCOUNT  OF  A VULNERABLE ADULT, THE ACCOUNT ON WHICH A VULNERABLE ADULT
 IS A BENEFICIARY, INCLUDING A TRUST  OR  GUARDIANSHIP  ACCOUNT,  OR  THE
 ACCOUNT  OF  A PERSON WHO IS REASONABLY BELIEVED BY THE BANKING INSTITU-
 TION TO BE ENGAGING IN THE FINANCIAL EXPLOITATION OF A VULNERABLE ADULT,
 IF: (I) ADULT PROTECTIVE SERVICES OR A LAW ENFORCEMENT  AGENCY  PROVIDES
 INFORMATION  TO  THE BANKING INSTITUTION ESTABLISHING A REASONABLE BASIS
 TO BELIEVE THAT FINANCIAL EXPLOITATION OF A VULNERABLE  ADULT  MAY  HAVE
 OCCURRED,  MAY  HAVE BEEN ATTEMPTED, OR IS BEING ATTEMPTED; AND (II) THE
 PLACEMENT OF A TRANSACTION HOLD MAY BE NECESSARY TO PROTECT A VULNERABLE
 ADULT'S MONEY, ASSETS, OR PROPERTY FROM FINANCIAL EXPLOITATION.
   (C) A BANKING INSTITUTION THAT APPLIES A TRANSACTION HOLD SHALL:
   (I) MAKE A REASONABLE EFFORT TO PROVIDE NOTICE, ORALLY OR IN  WRITING,
 TO ALL PARTIES AUTHORIZED TO TRANSACT BUSINESS ON THE ACCOUNT ON WHICH A
 TRANSACTION  HOLD WAS PLACED WITHIN TWO BUSINESS DAYS OF WHEN THE TRANS-
 ACTION HOLD WAS PLACED;
   (II) IMMEDIATELY, BUT NO LATER THAN ONE BUSINESS DAY AFTER THE  TRANS-
 ACTION  HOLD IS PLACED, REPORT THE TRANSACTION HOLD, INCLUDING THE BASIS
 FOR THE BAKING INSTITUTION'S BELIEF THAT THE FINANCIAL EXPLOITATION OF A
 VULNERABLE ADULT MAY HAVE OCCURRED, MAY HAVE BEEN ATTEMPTED, OR IS BEING
 ATTEMPTED, TO ADULT PROTECTIVE SERVICES AND TO A LAW ENFORCEMENT AGENCY;
   (III) AT THE REQUEST OF ADULT PROTECTIVE SERVICES OR A LAW ENFORCEMENT
 AGENCY, PROVIDE ALL INFORMATION AND DOCUMENTS THAT RELATE TO THE  TRANS-
 ACTION  HOLD  WITHIN THREE BUSINESS DAYS OF THE REQUEST FOR THE INFORMA-
 TION OR DOCUMENTS; AND
   (IV) NOTWITHSTANDING THE TRANSACTION HOLD, MAKE FUNDS  AVAILABLE  FROM
 THE  ACCOUNT  ON WHICH A TRANSACTION HOLD IS PLACED TO ALLOW THE VULNER-
 ABLE ADULT OR OTHER ACCOUNT HOLDER TO MEET  HIS  OR  HER  ONGOING  OBLI-
 GATIONS  SUCH AS HOUSING AND OTHER LIVING EXPENSES OR EMERGENCY EXPENSES
 AS DETERMINED BY ADULT PROTECTIVE SERVICES, A LAW ENFORCEMENT AGENCY  OR
 A  NOT-FOR-PROFIT  ORGANIZATION  THAT  REGULARLY  PROVIDES  SERVICES  TO
 VULNERABLE ADULTS  IN  THE  COMMUNITY  IN  WHICH  THE  VULNERABLE  ADULT
 RESIDES.
   (D)  DURING  THE PENDENCY OF A TRANSACTION HOLD, A BANKING INSTITUTION
 MAY, IN ITS DISCRETION, ALSO MAKE FUNDS AVAILABLE FROM  THE  ACCOUNT  ON
 WHICH  A  TRANSACTION  HOLD  IS  PLACED TO ALLOW THE VULNERABLE ADULT OR
 OTHER ACCOUNT HOLDER MEET HIS OR HER ONGOING OBLIGATIONS SUCH AS HOUSING
 AND OTHER LIVING EXPENSES OR EMERGENCY EXPENSES,  PROVIDED  THE  BANKING
 INSTITUTION  DOES  NOT  HAVE  A  REASONABLE  BASIS  TO  BELIEVE THAT THE
 DISPERSAL OF SUCH FUNDS TO THE VULNERABLE ADULT OR OTHER ACCOUNT  HOLDER

 S. 2008--A                         113                        A. 3008--A
 
 WILL  RESULT  IN THE FINANCIAL EXPLOITATION OF THE VULNERABLE ADULT. ANY
 SUCH DISPERSAL OF FUNDS PURSUANT TO THIS SUBDIVISION SHALL  BE  REPORTED
 WITHIN  ONE BUSINESS DAY AFTER THE DISPERSAL IS MADE TO ADULT PROTECTIVE
 SERVICES AND TO A LAW ENFORCEMENT AGENCY.
   (E)  THE  SUPERINTENDENT MAY ADOPT REGULATIONS IDENTIFYING THE FACTORS
 THAT A BANKING INSTITUTION SHOULD CONSIDER IN DETERMINING  WHETHER:  (I)
 THE  FINANCIAL EXPLOITATION OF A VULNERABLE ADULT MAY HAVE OCCURRED, MAY
 HAVE BEEN ATTEMPTED, OR IS BEING ATTEMPTED; AND (II) THE PLACEMENT OF  A
 TRANSACTION  HOLD  IS  NECESSARY  TO PROTECT A VULNERABLE ADULT'S MONEY,
 ASSETS, OR PROPERTY.
   3. DURATION OF TRANSACTION HOLD.  (A) SUBJECT TO PARAGRAPHS  (B),  (C)
 AND  (D) OF THIS SUBDIVISION, A TRANSACTION HOLD THAT A BANKING INSTITU-
 TION PLACES ON AN ACCOUNT PURSUANT TO THIS SECTION SHALL TERMINATE  FIVE
 BUSINESS DAYS AFTER THE DATE ON WHICH THE TRANSACTION HOLD IS APPLIED BY
 THE  BANKING INSTITUTION. A BANKING INSTITUTION MAY TERMINATE THE TRANS-
 ACTION HOLD AT ANY TIME DURING THIS  FIVE  DAY  PERIOD  IF  THE  BANKING
 INSTITUTION IS SATISFIED THAT THE TERMINATION OF THE TRANSACTION HOLD IS
 NOT LIKELY TO RESULT IN FINANCIAL EXPLOITATION OF A VULNERABLE ADULT.
   (B)  A TRANSACTION HOLD MAY BE EXTENDED BEYOND THE PERIOD SET FORTH IN
 PARAGRAPH (A) OF THIS SUBDIVISION FOR UP TO AN ADDITIONAL  FIFTEEN  DAYS
 AT  THE REQUEST OF EITHER ADULT PROTECTIVE SERVICES OR A LAW ENFORCEMENT
 AGENCY.
   (C) A TRANSACTION HOLD MAY BE EXTENDED BEYOND THE PERIODS SET FORTH IN
 PARAGRAPHS (A) AND (B) OF THIS SUBDIVISION ONLY  PURSUANT  TO  AN  ORDER
 ISSUED BY A COURT OF COMPETENT JURISDICTION.
   (D) A TRANSACTION HOLD MAY BE TERMINATED AT ANY TIME PURSUANT AN ORDER
 ISSUED BY A COURT OF COMPETENT JURISDICTION.
   4.  IMMUNITY. A BANKING INSTITUTION OR AN EMPLOYEE OF A BANKING INSTI-
 TUTION SHALL BE IMMUNE FROM CRIMINAL, CIVIL, AND ADMINISTRATIVE  LIABIL-
 ITY  FOR  ALL  GOOD FAITH ACTIONS IN RELATION TO THE APPLICATION OF THIS
 SECTION INCLUDING ANY GOOD FAITH DETERMINATION TO APPLY OR NOT  APPLY  A
 TRANSACTION  HOLD  ON  AN  ACCOUNT.  WHERE  THERE IS REASONABLE BASIS TO
 CONCLUDE: (A) THAT FINANCIAL EXPLOITATION OF A VULNERABLE ADULT MAY HAVE
 OCCURRED, MAY HAVE BEEN ATTEMPTED, OR IS BEING ATTEMPTED; AND  (B)  THAT
 THE  PLACEMENT  OF  A  TRANSACTION  HOLD  MAY  BE NECESSARY TO PROTECT A
 VULNERABLE ADULT'S MONEY, ASSETS, OR PROPERTY FROM  FINANCIAL  EXPLOITA-
 TION,  SUCH  IMMUNITY  SHALL NOT APPLY TO A DETERMINATION NOT TO APPLY A
 TRANSACTION HOLD WHEN THE BANKING INSTITUTION OR EMPLOYEE ACTS RECKLESS-
 LY OR ENGAGES IN INTENTIONAL MISCONDUCT IN MAKING THE DETERMINATION,  OR
 THE DETERMINATION RESULTS FROM A CONFLICT OF INTEREST.
   5.  CERTIFICATION  PROGRAM.  THE  DEPARTMENT  MAY  DEVELOP A FINANCIAL
 EXPLOITATION  CERTIFICATION  PROGRAM  FOR  BANKING  INSTITUTIONS.   UPON
 COMPLETION  OF THE TRAINING COMPONENTS REQUIRED BY THE PROGRAM AND AFTER
 ESTABLISHING THE NECESSARY INTERNAL POLICIES, PROCEDURES,  AND  IN-HOUSE
 TRAINING  PROGRAMS, A BANKING INSTITUTION SHALL RECEIVE FROM THE DEPART-
 MENT AN ADULT FINANCIAL EXPLOITATION PREVENTION CERTIFICATE  DEMONSTRAT-
 ING  THAT  STAFF AT SUCH BANKING INSTITUTION HAVE BEEN TRAINED ON HOW TO
 IDENTIFY, HELP PREVENT, AND  REPORT  THE  FINANCIAL  EXPLOITATION  OF  A
 VULNERABLE  ADULT.  AT THE DISCRETION OF THE SUPERINTENDENT, THE CERTIF-
 ICATION PROGRAM MAY BE MANDATORY FOR BANKING  INSTITUTIONS  LICENSED  BY
 THE DEPARTMENT.
   6.  REGULATIONS.  THE  SUPERINTENDENT  MAY  ISSUE SUCH RULES AND REGU-
 LATIONS THAT PROVIDE THE PROCEDURES FOR THE ENFORCEMENT OF THE TERMS  OF
 THIS  SECTION  AND  ANY OTHER RULES AND REGULATIONS THAT HE OR SHE DEEMS
 NECESSARY TO IMPLEMENT THE TERMS OF THIS SECTION.

 S. 2008--A                         114                        A. 3008--A

   § 2. This act shall take effect on the one hundred eightieth day after
 it shall have become a law.
 
                                  PART BB
 
   Section  1.  The  financial  services  law  is amended by adding a new
 section 105 to read as follows:
   § 105. DISQUALIFICATION. (A) DEFINITIONS. (1) COVERED INDIVIDUAL.  THE
 TERM "COVERED INDIVIDUAL," WHEN USED IN THIS SECTION, MEANS (A) AN INDI-
 VIDUAL OPERATING UNDER OR REQUIRED TO OPERATE UNDER A LICENSE, REGISTRA-
 TION,  PERMIT  CERTIFICATION  OR  AUTHORIZATION  UNDER THIS CHAPTER, THE
 BANKING LAW, THE INSURANCE LAW, OR THE  REGULATIONS  PROMULGATED  THERE-
 UNDER,  (B)  AN  OWNER,  DIRECTOR, TRUSTEE, OFFICER, EMPLOYEE, MEMBER OR
 PARTNER OF A COVERED ENTITY, OR (C) AN INDIVIDUAL OTHERWISE  ENGAGED  IN
 THE BUSINESS OF BANKING, INSURANCE OR FINANCIAL SERVICES IN THE STATE.
   (2)  COVERED  ENTITY.  THE  TERM  "COVERED  ENTITY," WHEN USED IN THIS
 SECTION, MEANS ANY ENTITY (A) OPERATING UNDER  OR  REQUIRED  TO  OPERATE
 UNDER  A  LICENSE,  REGISTRATION,  PERMIT,  CERTIFICATE OR AUTHORIZATION
 UNDER THE BANKING LAW OR THE INSURANCE LAW; (B) AUTHORIZED,  ACCREDITED,
 CHARTERED  OR  INCORPORATED  OR  POSSESSING OR REQUIRED TO POSSESS OTHER
 SIMILAR STATUS UNDER THE BANKING LAW, OR THE INSURANCE  LAW;  (C)  REGU-
 LATED  BY  THE  SUPERINTENDENT  PURSUANT  TO  THIS CHAPTER; (D) THAT HAS
 SUBMITTED AN APPLICATION TO THE SUPERINTENDENT (I) FOR A LICENSE, REGIS-
 TRATION, PERMIT, CERTIFICATE OR AUTHORIZATION UNDER THE BANKING  LAW  OR
 THE  INSURANCE  LAW,  (II)  TO  BE  AUTHORIZED, ACCREDITED, CHARTERED OR
 INCORPORATED UNDER THE BANKING LAW, OR THE INSURANCE LAW OR TO BE  REGU-
 LATED PURSUANT TO THIS CHAPTER.
   (3)  DISQUALIFYING  EVENT. FOR PURPOSES OF THIS SECTION, AN INDIVIDUAL
 COMMITS A "DISQUALIFYING EVENT," WHEN HE OR SHE:
   (A) HAS VIOLATED A WRITTEN AGREEMENT BETWEEN  THE  SUPERINTENDENT  AND
 THE COVERED INDIVIDUAL;
   (B) HAS WILLFULLY VIOLATED AN AGREEMENT BETWEEN THE SUPERINTENDENT AND
 A COVERED ENTITY;
   (C)  HAS  ENGAGED OR PARTICIPATED IN ANY UNSAFE OR UNSOUND PRACTICE IN
 CONNECTION WITH ANY COVERED ENTITY;
   (D) HAS WILLFULLY MADE OR  CAUSED  TO  BE  MADE  IN  ANY  APPLICATION,
 FILING,  OR  SUBMISSION WITH THE SUPERINTENDENT, ANY STATEMENT WHICH WAS
 AT THE TIME AND IN THE LIGHT OF THE CIRCUMSTANCES  UNDER  WHICH  IT  WAS
 MADE FALSE OR MISLEADING WITH RESPECT TO ANY MATERIAL FACT, OR HAS OMIT-
 TED  TO  STATE IN ANY SUCH APPLICATION OR REPORT ANY MATERIAL FACT WHICH
 IS REQUIRED TO BE STATED THEREIN;
   (E) HAS BEEN CONVICTED WITHIN FIVE YEARS OF ANY FELONY OR  MISDEMEANOR
 THAT:
   (I) INVOLVES THE PURCHASE OR SALE OF ANY FINANCIAL PRODUCT OR SERVICE,
 THE  TAKING  OF  A  FALSE  OATH,  THE MAKING OF A FALSE REPORT, BRIBERY,
 PERJURY, BURGLARY, ANY SUBSTANTIALLY EQUIVALENT ACTIVITY HOWEVER DENOMI-
 NATED, OR CONSPIRACY TO COMMIT ANY SUCH OFFENSE;
   (II) ARISES OUT OF THE CONDUCT OF THE BUSINESS OF A COVERED ENTITY  OR
 IN  CONNECTION WITH THE PROMOTION, SALE OR DELIVERY OF A FINANCIAL PROD-
 UCT OR SERVICE;
   (III) INVOLVES THE LARCENY, THEFT, ROBBERY, EXTORTION, FORGERY,  COUN-
 TERFEITING, FRAUDULENT CONCEALMENT, EMBEZZLEMENT, FRAUDULENT CONVERSION,
 OR MISAPPROPRIATION OF FUNDS, OR SECURITIES, OR SUBSTANTIALLY EQUIVALENT
 ACTIVITY HOWEVER DENOMINATED; OR

 S. 2008--A                         115                        A. 3008--A
 
   (IV)  HAS  A  DIRECT BEARING ON THE INDIVIDUAL'S FITNESS OR ABILITY TO
 PERFORM ONE OR  MORE  OF  THE  DUTIES  OR  RESPONSIBILITIES  NECESSARILY
 RELATED TO THE LICENSE, POSITION, OR JOB IN QUESTION;
   (F)  HAS  BEEN  FOUND  BY  A FEDERAL FINANCIAL REGULATORY AUTHORITY, A
 STATE FINANCIAL REGULATORY AUTHORITY, OR A FOREIGN FINANCIAL  REGULATORY
 AUTHORITY THAT IS RECOGNIZED BY THE SUPERINTENDENT AS SUCH TO HAVE:
   (I)  MADE  OR CAUSED TO BE MADE IN ANY APPLICATION FOR REGISTRATION OR
 REPORT REQUIRED TO BE FILED WITH THE FINANCIAL REGULATORY AUTHORITY,  OR
 IN ANY PROCEEDING BEFORE THE FINANCIAL REGULATORY AUTHORITY WITH RESPECT
 TO  REGISTRATION, ANY STATEMENT THAT WAS AT THE TIME AND IN THE LIGHT OF
 THE CIRCUMSTANCES UNDER WHICH IT  WAS  MADE  FALSE  OR  MISLEADING  WITH
 RESPECT TO ANY MATERIAL FACT, OR HAS OMITTED TO STATE IN ANY APPLICATION
 OR  REPORT  TO THE FINANCIAL REGULATORY AUTHORITY ANY MATERIAL FACT THAT
 IS REQUIRED TO BE STATED THEREIN; OR
   (II) VIOLATED ANY BANKING LAW,  OR  STATUTE  OR  REGULATION  REGARDING
 TRANSACTIONS  IN  SECURITIES,  OR  CONTRACTS  OF SALE OF A COMMODITY FOR
 FUTURE DELIVERY, TRADED ON OR SUBJECT TO THE RULES OF A CONTRACT  MARKET
 OR ANY BOARD OF TRADE; OR
   (G)  IS SUBJECT TO ANY FINAL ORDER OF ANY FEDERAL FINANCIAL REGULATORY
 AUTHORITY, A STATE FINANCIAL REGULATORY AUTHORITY, OR A  FOREIGN  FINAN-
 CIAL  REGULATORY  AUTHORITY  THAT IS RECOGNIZED BY THE SUPERINTENDENT AS
 SUCH THAT:
   (I) BARS SUCH PERSON FROM ASSOCIATION WITH AN ENTITY REGULATED BY SUCH
 COMMISSION, AUTHORITY, AGENCY, OR OFFICER, OR FROM ENGAGING IN THE BUSI-
 NESS OF SECURITIES, INSURANCE, BANKING, SAVINGS ASSOCIATION  ACTIVITIES,
 OR CREDIT UNION ACTIVITIES; OR
   (II)  CONSTITUTES  A  FINAL  ORDER  BASED ON VIOLATIONS OF ANY LAWS OR
 REGULATIONS  THAT  PROHIBITS  FRAUDULENT,  MANIPULATIVE,  OR   DECEPTIVE
 CONDUCT.
   (B) DISQUALIFICATION. WITHOUT LIMITING ANY POWER GRANTED TO THE SUPER-
 INTENDENT UNDER ANY OTHER PROVISION OF STATE OR FEDERAL LAW, (1) WHENEV-
 ER  THE  SUPERINTENDENT  HAS REASON TO BELIEVE THAT A COVERED INDIVIDUAL
 HAS COMMITTED A DISQUALIFYING EVENT THAT IS OF SUCH SEVERITY AS TO  HAVE
 A  DIRECT BEARING ON THE INDIVIDUAL'S FITNESS OR ABILITY TO (A) SERVE AS
 AN OWNER, DIRECTOR, TRUSTEE, OFFICER, EMPLOYEE, MEMBER OR PARTNER  OF  A
 COVERED ENTITY OR HAVING ANY ASSOCIATION WITH A COVERED ENTITY, (B) HOLD
 ANY LICENSE, REGISTRATION, PERMIT, CERTIFICATION OR AUTHORIZATION ISSUED
 BY  THE  DEPARTMENT, OR (C) OTHERWISE ENGAGE IN THE BUSINESS OF BANKING,
 INSURANCE, OR FINANCIAL SERVICES IN THE STATE,  (2)  THE  SUPERINTENDENT
 MAY SERVE A STATEMENT OF THE CHARGES AGAINST SUCH COVERED INDIVIDUAL AND
 A  NOTICE  OF AN OPPORTUNITY TO APPEAR BEFORE THE SUPERINTENDENT TO SHOW
 CAUSE WHY HE OR SHE SHOULD NOT BE DISQUALIFIED FROM (A)  SERVING  AS  AN
 OWNER,  DIRECTOR,  TRUSTEE,  OFFICER,  EMPLOYEE,  MEMBER OR PARTNER OF A
 COVERED ENTITY OR HAVING ANY ASSOCIATION  WITH  A  COVERED  ENTITY,  (B)
 HOLDING  ANY  LICENSE,  REGISTRATION,  PERMIT, CERTIFICATION OR AUTHORI-
 ZATION ISSUED BY THE DEPARTMENT, OR (C) OTHERWISE ENGAGING IN THE  BUSI-
 NESS OF BANKING, INSURANCE, OR FINANCIAL SERVICES IN THE STATE.
   (C)  ORDER  OF DISQUALIFICATION. WITHOUT LIMITING ANY POWER GRANTED TO
 THE SUPERINTENDENT UNDER ANY OTHER PROVISION OF STATE OR FEDERAL LAW, IF
 SUCH COVERED INDIVIDUAL WAIVES A HEARING, OR FAILS TO APPEAR  IN  PERSON
 OR  BY  A DULY AUTHORIZED REPRESENTATIVE WITHOUT GOOD CAUSE SHOWN AT THE
 TIME AND PLACE SET FOR THE HEARING OR,  IF  AFTER  A  HEARING,  (1)  THE
 SUPERINTENDENT  FINDS  THAT  THE  COVERED  INDIVIDUAL  HAS  ENGAGED IN A
 DISQUALIFYING EVENT THAT IS OF SUCH SEVERITY AS TO HAVE A DIRECT BEARING
 ON THE INDIVIDUAL'S FITNESS OR ABILITY TO (A) SERVE AS AN OWNER,  DIREC-
 TOR,  TRUSTEE,  OFFICER, EMPLOYEE, MEMBER OR PARTNER OF A COVERED ENTITY

 S. 2008--A                         116                        A. 3008--A
 
 OR HAVING ANY ASSOCIATION WITH A COVERED ENTITY, (B) HOLD  ANY  LICENSE,
 REGISTRATION,  PERMIT,  CERTIFICATION  OR  AUTHORIZATION  ISSUED  BY THE
 DEPARTMENT, OR (C) OTHERWISE ENGAGE IN THE BUSINESS OF  BANKING,  INSUR-
 ANCE,  OR  FINANCIAL  SERVICES  IN THE STATE, (2) THE SUPERINTENDENT MAY
 ISSUE AN ORDER DISQUALIFYING THE COVERED INDIVIDUAL FROM (A) SERVING  AS
 AN  OWNER,  DIRECTOR, TRUSTEE, OFFICER, EMPLOYEE, MEMBER OR PARTNER OF A
 COVERED ENTITY OR HAVING ANY ASSOCIATION  WITH  A  COVERED  ENTITY,  (B)
 HOLDING  ANY  LICENSE,  REGISTRATION,  PERMIT, CERTIFICATION OR AUTHORI-
 ZATION ISSUED BY THE DEPARTMENT, OR (C) OTHERWISE ENGAGING IN THE  BUSI-
 NESS  OF  BANKING,  INSURANCE,  OR FINANCIAL SERVICES IN THE STATE. SUCH
 ORDER OF DISQUALIFICATION MAY ALSO  PROHIBIT  THE  COVERED  INDIVIDUAL'S
 PERFORMANCE  OF ANY CONTRACTUAL AGREEMENTS WITH ANY COVERED ENTITY. SUCH
 ORDER OF DISQUALIFICATION MAY BE FOR THE COVERED  INDIVIDUAL'S  LIFETIME
 OR  FOR ANY SHORTER PERIOD DETERMINED BY THE SUPERINTENDENT TO BE IN THE
 PUBLIC'S INTEREST. ANY ORDER ISSUED PURSUANT TO THIS SUBSECTION AND  THE
 FINDINGS  OF  FACT  UPON  WHICH  IT  IS  BASED MAY NOT BE MADE PUBLIC OR
 DISCLOSED TO ANYONE, EXCEPT AS PROVIDED IN SUBDIVISION  TEN  OF  SECTION
 THIRTY-SIX  OF  THE  BANKING LAW OR IN CONNECTION WITH PROCEEDINGS FOR A
 VIOLATION OF THIS SECTION.
   (D) SUSPENSION PENDING DETERMINATION OF  CHARGES.  (1)  IN  CONNECTION
 WITH,  OR  AT  ANY  TIME AFTER SERVICE OF THE WRITTEN NOTICE PURSUANT TO
 SUBSECTION (B) OF THIS SECTION, THE SUPERINTENDENT  MAY  SUSPEND  FOR  A
 PERIOD  OF  UP  TO ONE HUNDRED EIGHTY DAYS, PENDING THE DETERMINATION OF
 THE CHARGES, A COVERED INDIVIDUAL FROM SERVING AS A  DIRECTOR,  TRUSTEE,
 OFFICER,  EMPLOYEE,  MEMBER OR PARTNER OF A COVERED ENTITY OR HAVING ANY
 ASSOCIATION WITH A COVERED ENTITY; OR HOLDING ANY LICENSE, REGISTRATION,
 CERTIFICATION OR AUTHORIZATION ISSUED BY THE DEPARTMENT, IF  THE  SUPER-
 INTENDENT  HAS  REASON  TO  BELIEVE THAT BY REASON OF THE CONDUCT GIVING
 RISE TO THE ALLEGED DISQUALIFYING EVENT:
   (A) A COVERED ENTITY HAS SUFFERED OR WILL  PROBABLY  SUFFER  FINANCIAL
 LOSS;
   (B)  THE  INTERESTS OF THE DEPOSITORS AT A COVERED ENTITY HAVE BEEN OR
 COULD BE PREJUDICED; OR
   (C) THE COVERED INDIVIDUAL  DEMONSTRATES  WILLFUL  DISREGARD  FOR  THE
 SAFETY AND SOUNDNESS OF A COVERED ENTITY.
   (2)  THE SUPERINTENDENT MAY EXTEND THE SUSPENSION FOR ADDITIONAL PERI-
 ODS OF UP TO ONE HUNDRED EIGHTY DAYS IF THE HEARING  CONDUCTED  PURSUANT
 TO  SUBSECTION  (C)  OF  THIS  SECTION IS NOT COMPLETED WITHIN THE PRIOR
 SUSPENSION PERIOD DUE TO THE REQUEST OF THE COVERED INDIVIDUAL.
   (3) ANY SUSPENSION ORDER ISSUED  PURSUANT  TO  THIS  SUBSECTION  SHALL
 BECOME  EFFECTIVE UPON SERVICE, UNLESS IT IS AMENDED OR RESCINDED BY THE
 SUPERINTENDENT OR A COURT OF COMPETENT JURISDICTION, OR REPLACED  BY  AN
 ORDER ISSUED PURSUANT TO SUBSECTION (C) OF THIS SECTION. SUCH SUSPENSION
 ORDER MAY BE REVIEWED IN THE MANNER PROVIDED BY ARTICLE SEVENTY-EIGHT OF
 THE CIVIL PRACTICE LAW AND RULES.
   (E) RULES AND REGULATIONS. THE SUPERINTENDENT MAY ISSUE SUCH RULES AND
 REGULATIONS  AS  ARE  NECESSARY  TO  IMPLEMENT  THE  PROVISIONS  OF THIS
 SECTION.
   § 2. This act shall take effect January 1, 2018.
 
                                  PART CC
 
   Section 1. The banking law is amended by adding a new section 340-a to
 read as follows:
   § 340-A. EXEMPTION FOR CERTAIN LENDERS AND  PARTNERING  ORGANIZATIONS.
 1. FOR PURPOSES OF THIS SECTION:

 S. 2008--A                         117                        A. 3008--A

   (A) "EXEMPT ENTITY" SHALL MEAN AN ENTITY EXEMPTED PURSUANT TO SUBDIVI-
 SION TWO OF THIS SECTION.
   (B)  "LIMITED  LENDING ACTIVITY" SHALL MEAN THE LENDING OF MONEY TO AN
 INDIVIDUAL BORROWER FOR WHICH NO INTEREST OR FEES, EXCEPT  AS  OTHERWISE
 PROVIDED FOR IN THIS SECTION, ARE CHARGED AND FOR WHICH THE BORROWER MAY
 MAKE FULL OR PARTIAL REPAYMENT OF THE LOAN PRIOR TO THE DISBURSEMENT  OF
 THE LOAN PROCEEDS.
   2. NOTWITHSTANDING THIS SECTION AND SECTIONS ONE, TEN, FOURTEEN, THIR-
 TY-SIX-B  AND THIRTY-EIGHT OF THIS CHAPTER, THE SUPERINTENDENT MAY ALLOW
 AN ENTITY TO ENGAGE IN LIMITED LENDING ACTIVITY WITHOUT BEING SUBJECT TO
 THE REQUIREMENTS OF THIS CHAPTER, IF THE ENTITY:
   (A) ENGAGES IN NO ACTIVITY REGULATED BY THIS CHAPTER EXCEPT THE MAKING
 OF ZERO-INTEREST LOANS AND ANY ACTIVITY INCIDENTAL THERETO;
   (B) IS EXEMPT FROM FEDERAL INCOME TAXES UNDER SECTION 501 (C)  (3)  OF
 THE  INTERNAL REVENUE CODE AND IS ORGANIZED AND OPERATED EXCLUSIVELY FOR
 ONE OR MORE OF THE PURPOSES DESCRIBED IN SECTION  501  (C)  (3)  OF  THE
 INTERNAL REVENUE CODE;
   (C) PAYS NO PART OF ITS NET EARNINGS TO A PRIVATE SHAREHOLDER OR INDI-
 VIDUAL;
   (D)  PAYS OR RECEIVES NO BROKER'S FEE IN CONNECTION WITH ANY LOAN THAT
 IT MAKES; AND
   (E) SATISFIES THE OTHER REQUIREMENTS SET FORTH IN THIS SECTION.
   3. (A) AN APPLICATION TO OPERATE AS AN EXEMPT ENTITY  SHALL  BE  FILED
 WITH  THE  SUPERINTENDENT, IN A MANNER PRESCRIBED BY THE SUPERINTENDENT,
 ALONG WITH A FEE IN THE AMOUNT OF FIVE HUNDRED DOLLARS. THE  SUPERINTEN-
 DENT  SHALL  INVESTIGATE  THE  FINANCIAL  CONDITION  AND RESPONSIBILITY,
 FINANCIAL AND BUSINESS EXPERIENCE, CHARACTER AND GENERAL FITNESS OF  THE
 APPLICANT  AND,  IF THE SUPERINTENDENT FINDS THESE QUALITIES ARE SUCH AS
 TO WARRANT THE BELIEF THAT THE APPLICANT'S BUSINESS  WILL  BE  CONDUCTED
 HONESTLY,  FAIRLY,  EQUITABLY,  CAREFULLY  AND  EFFICIENTLY  WITHIN  THE
 PURPOSES AND INTENT OF THIS SECTION, AND  IN  A  MANNER  COMMANDING  THE
 CONFIDENCE  AND  TRUST OF THE COMMUNITY, THE SUPERINTENDENT SHALL ADVISE
 THE APPLICANT IN WRITING OF THE SUPERINTENDENT'S APPROVAL OF THE  APPLI-
 CATION  FOR  AN  EXEMPTION  PURSUANT TO THIS SECTION. THE SUPERINTENDENT
 MAY, IN HIS OR HER DISCRETION, REFUSE TO GRANT AN EXEMPTION IF HE OR SHE
 FINDS THAT ONE OR MORE OF THE PROVISIONS OF THIS SECTION WERE NOT MET OR
 ARE NOT BEING MET BY THE APPLICANT OR THAT DENIAL OF THE EXEMPTION IS IN
 THE BEST INTERESTS OF THE PUBLIC.
   (B) THE SUPERINTENDENT MAY SUSPEND OR  REVOKE  ANY  EXEMPTION  GRANTED
 PURSUANT TO THIS SECTION, IF HE OR SHE FINDS THAT:
   (I)  ANY SUCH ENTITY, KNOWINGLY OR WITHOUT THE EXERCISE OF DUE CARE TO
 PREVENT SUCH VIOLATION, HAS VIOLATED ANY PROVISION OF  THIS  SECTION  OR
 ARTICLE, OR HAS FAILED TO COMPLY WITH ANY DEMAND, OR REQUIREMENT MADE BY
 THE SUPERINTENDENT;
   (II)  THERE  HAS  BEEN  ANY MATERIAL MISSTATEMENT OR FAILURE TO GIVE A
 TRUE AND CORRECT ANSWER IN AN APPLICATION OR IN RESPONSE TO ANY QUESTION
 POSED BY THE SUPERINTENDENT;
   (III) THE EXEMPT ENTITY HAS DEFRAUDED ANY BORROWER OR WILLFULLY FAILED
 TO PERFORM ANY WRITTEN AGREEMENT WITH SUCH PERSON; OR
   (IV) ANY FACT OR CONDITION EXISTS WHICH, IF IT HAD EXISTED AT THE TIME
 OF THE ORIGINAL APPLICATION FOR AN EXEMPTION, WOULD HAVE  WARRANTED  THE
 SUPERINTENDENT TO REFUSE TO GRANT SUCH EXEMPTION.
   (C)  EXCEPT  AS  PROVIDED FOR IN PARAGRAPH (D) OF THIS SUBDIVISION, NO
 EXEMPTION GRANTED HEREUNDER SHALL BE SUSPENDED OR REVOKED EXCEPT AFTER A
 HEARING. THE SUPERINTENDENT SHALL GIVE THE EXEMPT ENTITY  AT  LEAST  TEN
 DAYS  WRITTEN NOTICE OF THE TIME AND PLACE OF SUCH HEARING BY REGISTERED

 S. 2008--A                         118                        A. 3008--A
 
 MAIL ADDRESSED TO THE PRINCIPAL PLACE OF BUSINESS OF THE EXEMPT  ENTITY.
 ANY  ORDER  SUSPENDING OR REVOKING AN EXEMPTION SHALL RECITE THE GROUNDS
 UPON WHICH IT IS BASED AND SHALL NOT BE EFFECTIVE UNTIL TEN  DAYS  AFTER
 WRITTEN  NOTICE  HAS BEEN SENT BY REGISTERED MAIL TO THE EXEMPT ENTITY'S
 PRINCIPAL PLACE OF BUSINESS.
   (D) UPON, OR AT ANY TIME AFTER SERVICE OF WRITTEN NOTICE  PURSUANT  TO
 PARAGRAPH (C) OF THIS SUBDIVISION, THE SUPERINTENDENT MAY SUSPEND, PEND-
 ING  THE  DETERMINATION  OF THE CHARGES, AN EXEMPTION ISSUED PURSUANT TO
 THIS SECTION IF THE SUPERINTENDENT HAS REASON TO BELIEVE THAT AN  EXEMPT
 ENTITY:
   (I)  HAS  DEFAULTED  OR IS LIKELY TO DEFAULT IN THE PERFORMANCE OF ITS
 FINANCIAL ENGAGEMENTS;
   (II) IS ENGAGING IN DISHONEST OR INEQUITABLE PRACTICES; OR
   (III) POSES A SUBSTANTIAL HARM TO THE PERSONS AFFORDED THE  PROTECTION
 OF THIS SECTION.
   4.  (A)  EVERY  EXEMPT  ENTITY  SHALL MAINTAIN RECORDS RELATING TO ITS
 LENDING ACTIVITIES FOR AT LEAST FIVE YEARS.
   (B) EVERY EXEMPT ENTITY SHALL FILE AN ANNUAL REPORT  WITH  THE  SUPER-
 INTENDENT ON OR BEFORE MARCH FIFTEENTH OF EACH YEAR, CONTAINING INFORMA-
 TION  THAT  THE SUPERINTENDENT REQUIRES CONCERNING LENDING ACTIVITIES BY
 THE ENTITY, INCLUDING ANY LOANS FACILITATED BY  A  PARTNERING  NONPROFIT
 ORGANIZATION  DESCRIBED  IN SUBDIVISION THIRTEEN OF THIS SECTION, WITHIN
 THE STATE DURING THE PRECEDING CALENDAR YEAR.
   5. EVERY LOAN MADE BY AN EXEMPT ENTITY SHALL COMPLY WITH THE FOLLOWING
 REQUIREMENTS:
   (A) THE LOAN SHALL BE UNSECURED.
   (B) NO INTEREST MAY BE IMPOSED.
   (C) EXCEPT FOR A REIMBURSEMENT OF UP TO TEN DOLLARS TO COVER AN INSUF-
 FICIENT FUNDS FEE INCURRED BY AN EXEMPT ENTITY DUE  TO  ACTIONS  OF  THE
 BORROWER,  NO ADMINISTRATIVE OR OTHER FEES MAY BE IMPOSED ON A BORROWER.
 NO EXEMPT ENTITY SHALL CHARGE MORE THAN TWO INSUFFICIENT FUNDS  FEES  TO
 THE SAME BORROWER IN A SINGLE MONTH.
   (D)  THE  FOLLOWING  INFORMATION SHALL BE DISCLOSED TO THE BORROWER IN
 WRITING, IN A TYPEFACE NO SMALLER THAN  TWELVE-POINT  TYPE  AND  IN  THE
 PRIMARY  LANGUAGE  OF  THE BORROWER, AT THE TIME THE LOAN APPLICATION IS
 RECEIVED BY THE EXEMPT ENTITY:
   (I) THE AMOUNT TO BE BORROWED, THAT NO INTEREST WILL BE CHARGED ON THE
 LOAN, AND THE TOTAL DOLLAR COST OF THE LOAN TO THE BORROWER IF THE  LOAN
 IS  PAID  BACK  ON  TIME,  INCLUDING  THE PRINCIPAL AMOUNT BORROWED, THE
 REPAYMENT INSTALLMENT AMOUNT, THE FREQUENCY OF PAYMENT, AND THE INSUFFI-
 CIENT FUNDS FEE, IF APPLICABLE; AND
   (II) AN EXPLANATION  OF  WHETHER,  AND  UNDER  WHAT  CIRCUMSTANCES,  A
 BORROWER MAY EXIT A LOAN AGREEMENT.
   (E) THE PRINCIPAL AMOUNT UPON ORIGINATION OF THE LOAN SHALL BE NO LESS
 THAN  TWO  HUNDRED  FIFTY  DOLLARS  AND  NO  MORE THAN TWO THOUSAND FIVE
 HUNDRED DOLLARS, AND A TERM OF NOT LESS THAN THE FOLLOWING:
   (I) NINETY DAYS FOR LOANS WHOSE PRINCIPAL BALANCE UPON ORIGINATION  IS
 LESS THAN FIVE HUNDRED DOLLARS;
   (II)  ONE  HUNDRED  TWENTY DAYS FOR LOANS WHOSE PRINCIPAL BALANCE UPON
 ORIGINATION IS AT LEAST FIVE HUNDRED DOLLARS, BUT IS LESS THAN ONE THOU-
 SAND FIVE HUNDRED DOLLARS; OR
   (III) ONE HUNDRED EIGHTY DAYS FOR LOANS WHOSE PRINCIPAL  BALANCE  UPON
 ORIGINATION IS AT LEAST ONE THOUSAND FIVE HUNDRED DOLLARS.
   6.  THE  EXEMPT  ENTITY  MAY RESTRUCTURE A BORROWER'S LOAN ONLY IF THE
 LOAN AS RESTRUCTURED CONTINUES TO COMPLY WITH THE REQUIREMENTS IN  PARA-
 GRAPHS (A), (B) AND (C) OF SUBDIVISION FIVE OF THIS SECTION.

 S. 2008--A                         119                        A. 3008--A
 
   7.  AN  EXEMPT ENTITY SHALL NOT SELL OR ASSIGN UNPAID DEBT ARISING OUT
 OF ANY LOANS MADE PURSUANT TO THE AUTHORITY OF  THIS  SECTION  TO  THIRD
 PARTIES FOR COLLECTION.
   8.  PRIOR TO DISBURSEMENT OF LOAN PROCEEDS, THE EXEMPT ENTITY SHALL AT
 NO COST TO THE BORROWER EITHER:
   (A) PROVIDE A CREDIT EDUCATION PROGRAM OR SEMINAR TO THE BORROWER THAT
 HAS BEEN PREVIOUSLY REVIEWED AND APPROVED BY THE SUPERINTENDENT FOR  USE
 IN COMPLYING WITH THIS SECTION; OR
   (B)  OBTAIN EVIDENCE THAT THE BORROWER HAS ATTENDED A CREDIT EDUCATION
 PROGRAM OR SEMINAR OFFERED BY AN INDEPENDENT THIRD PARTY THAT  HAS  BEEN
 PREVIOUSLY  REVIEWED  AND  APPROVED  BY  THE  SUPERINTENDENT  FOR USE IN
 COMPLYING WITH THIS SECTION.
   9. AN EXEMPT ENTITY SHALL REPORT EACH BORROWER'S  PAYMENT  PERFORMANCE
 TO  AT  LEAST  ONE CONSUMER REPORTING AGENCY THAT COMPILES AND MAINTAINS
 FILES ON CONSUMERS ON A NATIONWIDE BASIS. FOR PURPOSES OF THIS  SECTION,
 A CONSUMER REPORTING AGENCY THAT COMPILES AND MAINTAINS FILES ON CONSUM-
 ERS  ON  A  NATIONWIDE BASIS IS ONE THAT MEETS THE DEFINITION IN SECTION
 603(P) OF  THE  FEDERAL  FAIR  CREDIT  REPORTING  ACT  (15  U.S.C.  SEC.
 1681A(P)).  ANY EXEMPT ENTITY THAT IS ACCEPTED AS A DATA FURNISHER SHALL
 REPORT ALL BORROWER PAYMENT PERFORMANCE SINCE THE INCEPTION  OF  LENDING
 BY SUCH ENTITY, AS SOON AS PRACTICABLE AFTER SUCH INDIVIDUAL IS ACCEPTED
 INTO  THE EXEMPT ENTITY'S LENDING PROGRAM, BUT IN NO EVENT MORE THAN SIX
 MONTHS AFTER ITS ACCEPTANCE INTO THE PROGRAM.
   10. THE EXEMPT ENTITY SHALL UNDERWRITE EACH LOAN AND SHALL ENSURE THAT
 A LOAN IS NOT MADE IF, THROUGH ITS UNDERWRITING, THE  ENTITY  DETERMINES
 THAT  THE BORROWER'S TOTAL MONTHLY DEBT SERVICE PAYMENTS, AT THE TIME OF
 LOAN ORIGINATION, INCLUDING THE LOAN FOR WHICH  THE  BORROWER  IS  BEING
 CONSIDERED, AND ACROSS ALL OUTSTANDING FORMS OF CREDIT THAT CAN BE INDE-
 PENDENTLY  VERIFIED  BY  THE EXEMPT ENTITY, EXCEEDS FIFTY PERCENT OF THE
 BORROWER'S GROSS MONTHLY HOUSEHOLD INCOME, UNLESS  A  LESSER  AMOUNT  IS
 MANDATED BY SUBPARAGRAPH (III) OF PARAGRAPH (C) OF THIS SUBDIVISION. THE
 EXEMPT ENTITY SHALL IN EVERY CASE:
   (A)  OBTAIN  INFORMATION  AND  DOCUMENTATION  PERTAINING  TO  ALL OF A
 BORROWER'S OUTSTANDING DEBT OBLIGATIONS DURING THE LOAN APPLICATION  AND
 UNDERWRITING  PROCESS, INCLUDING BUT NOT LIMITED TO VERIFIED INFORMATION
 FROM A CREDIT REPORT AND LOANS THAT ARE SELF-REPORTED  BY  THE  BORROWER
 BUT NOT AVAILABLE THROUGH INDEPENDENT VERIFICATION.
   (B)  NOT  INCLUDE  FOR  PURPOSES OF A DEBT-TO-INCOME RATIO EVALUATION,
 LOANS FROM FRIENDS OR FAMILY, EXCEPT IF IN THE JUDGMENT  OF  THE  EXEMPT
 ENTITY,  SUCH  INCLUSION  IS  NECESSARY  TO PROTECT THE INTERESTS OF THE
 CONSUMER.
   (C) VERIFY THE BORROWER'S HOUSEHOLD INCOME TO DETERMINE THE BORROWER'S
 DEBT-TO-INCOME RATIO USING INFORMATION FROM ANY OF THE FOLLOWING  SOURC-
 ES:
   (I)  ELECTRONIC MEANS OR SERVICES DEEMED ACCEPTABLE BY THE SUPERINTEN-
 DENT;
   (II) INTERNAL REVENUE SERVICE FORM W-2, TAX RETURNS, PAYROLL RECEIPTS,
 BANK STATEMENTS, OR OTHER THIRD-PARTY DOCUMENTS THAT PROVIDE  REASONABLY
 RELIABLE EVIDENCE OF THE BORROWER'S ACTUAL INCOME; OR
   (III) A SIGNED STATEMENT FROM THE BORROWER STATING SOURCES AND AMOUNTS
 OF INCOME, IF THE BORROWER'S ACTUAL INCOME CANNOT BE INDEPENDENTLY VERI-
 FIED USING ELECTRONIC MEANS OR SERVICES, INTERNAL REVENUE SERVICE FORMS,
 TAX  RETURNS,  PAYROLL  RECEIPTS,  BANK STATEMENTS, OR OTHER THIRD-PARTY
 DOCUMENTS. IF INCOME IS VERIFIED USING A SIGNED STATEMENT FROM A BORROW-
 ER, A LOAN SHALL NOT BE  MADE  IF  THE  BORROWER'S  TOTAL  MONTHLY  DEBT
 SERVICE  PAYMENTS,  AT  THE TIME OF LOAN ORIGINATION, INCLUDING THE LOAN

 S. 2008--A                         120                        A. 3008--A
 
 FOR WHICH THE BORROWER IS BEING CONSIDERED, AND ACROSS  ALL  OUTSTANDING
 FORMS  OF  CREDIT,  EXCEEDS  TWENTY-FIVE PERCENT OF THE BORROWER'S GROSS
 MONTHLY HOUSEHOLD INCOME.
   11.  THE  EXEMPT  ENTITY SHALL NOTIFY EACH BORROWER, AT LEAST TWO DAYS
 PRIOR TO EACH PAYMENT DUE DATE, OF THE AMOUNT DUE AND  THE  PAYMENT  DUE
 DATE.   NOTIFICATION MAY BE PROVIDED BY ANY MEANS MUTUALLY ACCEPTABLE TO
 THE BORROWER AND THE EXEMPT ENTITY. A BORROWER SHALL HAVE THE  RIGHT  TO
 OPT  OUT  OF  THIS  NOTIFICATION AT ANY TIME, UPON ELECTRONIC OR WRITTEN
 REQUEST TO THE EXEMPT  ENTITY.  THE  EXEMPT  ENTITY  SHALL  NOTIFY  EACH
 BORROWER OF THIS RIGHT PRIOR TO DISBURSING LOAN PROCEEDS.
   12. NO EXEMPT ENTITY, IN CONNECTION WITH, OR INCIDENTAL TO, THE FACIL-
 ITATING OF ANY LOAN MADE PURSUANT TO THIS SECTION, SHALL OFFER, SELL, OR
 REQUIRE  A  BORROWER  TO CONTRACT FOR "CREDIT INSURANCE" OR INSURANCE ON
 TANGIBLE PERSONAL OR REAL PROPERTY OF ANY TYPE SECURING ANY LOAN.
   13. AN EXEMPT ENTITY MAY PARTNER WITH A NONPROFIT ORGANIZATION FOR THE
 PURPOSE OF FACILITATING ZERO-INTEREST LOANS BY THE EXEMPT ENTITY  PURSU-
 ANT TO THIS SECTION. THIS NONPROFIT ORGANIZATION SHALL NOT BE SUBJECT TO
 THIS  SECTION, PROVIDED THAT IT SATISFIES THE REQUIREMENTS APPLICABLE TO
 AN EXEMPT ENTITY SET FORTH IN PARAGRAPHS (B), (C) AND (D) OF SUBDIVISION
 TWO OF THIS SECTION AND PROVIDED THAT:
   (A) THE EXEMPT ENTITY NOTIFIES THE SUPERINTENDENT WITHIN FIFTEEN  DAYS
 OF  ENTERING INTO A WRITTEN AGREEMENT WITH A PARTNERING NONPROFIT ORGAN-
 IZATION, ON SUCH FORM AND IN  SUCH  MANNER  AS  THE  SUPERINTENDENT  MAY
 PRESCRIBE. AT A MINIMUM, THIS NOTIFICATION SHALL INCLUDE THE NAME OF THE
 PARTNERING  NONPROFIT ORGANIZATION, THE CONTACT INFORMATION FOR A PERSON
 RESPONSIBLE FOR THE LENDING ACTIVITIES FACILITATED  BY  THAT  PARTNERING
 ORGANIZATION,  A  COPY  OF THE AGREEMENT AND THE ADDRESS OR ADDRESSES AT
 WHICH THE PARTNERING ORGANIZATION CAN BE REACHED.
   (B) THE EXEMPT ENTITY INCLUDES INFORMATION REGARDING THE LOANS FACILI-
 TATED BY THE PARTNERING  ORGANIZATION  IN  THE  ANNUAL  REPORT  REQUIRED
 PURSUANT TO SUBDIVISION FOUR OF THIS SECTION.
   (C)  THE SUPERINTENDENT MAY, AT HIS OR HER SOLE DISCRETION, DISQUALIFY
 A PARTNERING NONPROFIT  ORGANIZATION  UPON  A  DETERMINATION  THAT  THIS
 ORGANIZATION  HAS  ACTED  IN VIOLATION OF THIS SECTION OR ANY REGULATION
 ADOPTED HEREUNDER.
   14. THE SUPERINTENDENT MAY EXAMINE OR REQUEST A  SPECIAL  REPORT  FROM
 EACH  EXEMPT  ENTITY  AND  EACH  PARTNERING  NONPROFIT  ORGANIZATION FOR
 COMPLIANCE WITH THE PROVISIONS OF THIS SECTION AT ANY TIME.  ANY  ENTITY
 SO  EXAMINED  SHALL  MAKE  AVAILABLE TO THE SUPERINTENDENT OR HIS OR HER
 REPRESENTATIVE ALL BOOKS AND RECORDS  REQUESTED  BY  THE  SUPERINTENDENT
 RELATED  TO  THE LENDING ACTIVITIES FACILITATED BY THAT ENTITY. IN ADDI-
 TION TO THE APPLICATION FEE PROVIDED FOR IN PARAGRAPH (A) OF SUBDIVISION
 THREE OF THIS SECTION, THE COST OF ANY SUCH EXAMINATION  SHALL  BE  PAID
 FOR BY THE ENTITY BEING EXAMINED.
   15. ALL REPORTS OF EXAMINATIONS AND INVESTIGATIONS, CORRESPONDENCE AND
 MEMORANDA  CONCERNING OR ARISING OUT OF ANY EXAMINATION OR INVESTIGATION
 OF AN EXEMPT ENTITY SHALL BE SUBJECT TO THE  PROVISIONS  OF  SUBDIVISION
 TEN OF SECTION THIRTY-SIX OF THIS CHAPTER.
   16. THE SUPERINTENDENT IS HEREBY AUTHORIZED AND EMPOWERED TO MAKE SUCH
 GENERAL  RULES  AND  REGULATIONS, AND SUCH SPECIFIC RULINGS, DEMANDS AND
 FINDINGS AS HE OR SHE MAY DEEM NECESSARY FOR THE PROPER CONDUCT  OF  THE
 LENDING ACTIVITIES EXEMPTED FROM LICENSING UNDER THIS SECTION.
   § 2. This act shall take effect on the one hundred eightieth day after
 it shall have become a law.
 
                                  PART DD

 S. 2008--A                         121                        A. 3008--A
 
   Section  1.  The  state finance law is amended by adding a new section
 89-i to read as follows:
   §  89-I.  PAID  FAMILY LEAVE RISK ADJUSTMENT FUND.  1. THERE IS HEREBY
 ESTABLISHED IN THE SOLE  CUSTODY  OF  THE  SUPERINTENDENT  OF  FINANCIAL
 SERVICES  A  SPECIAL  FUND,  TO  BE KNOWN AS THE "PAID FAMILY LEAVE RISK
 ADJUSTMENT FUND".
   2. SUCH FUND SHALL CONSIST OF MONEY  RECEIVED  BY  THE  SUPERINTENDENT
 FROM  INSURANCE  CARRIERS AS PAYMENTS INTO ANY RISK ADJUSTMENT MECHANISM
 ESTABLISHED BY REGULATION IN ACCORDANCE WITH PARAGRAPH TWO OF SUBSECTION
 (N) OF SECTION FOUR THOUSAND TWO HUNDRED THIRTY-FIVE  OF  THE  INSURANCE
 LAW.
   3.  ALL MONEYS RETAINED IN SUCH FUND SHALL BE HELD ON BEHALF OF INSUR-
 ANCE CARRIERS AND PAID OUT BY THE SUPERINTENDENT TO  INSURANCE  CARRIERS
 PURSUANT  TO  THE RISK ADJUSTMENT MECHANISM ESTABLISHED BY REGULATION IN
 ACCORDANCE WITH PARAGRAPH TWO OF SUBSECTION (N) OF SECTION FOUR THOUSAND
 TWO HUNDRED THIRTY-FIVE OF THE INSURANCE LAW.
   4. THE FUNDS SO RECEIVED AND DEPOSITED IN SUCH  RISK  ADJUSTMENT  FUND
 SHALL NOT BE DEEMED TO BE STATE FUNDS.
   § 2. This act shall take effect immediately.
 
                                  PART EE
 
   Section 1. Section 340 of the banking law, as amended by chapter 22 of
 the laws of 1990, is amended to read as follows:
   § 340.  Doing  business  without license prohibited.   1. No person or
 other entity shall engage in the business of making loans in the princi-
 pal amount of twenty-five thousand dollars or less for any  loan  to  an
 individual  for  personal, family, household, or investment purposes and
 in a principal amount of fifty thousand dollars or less TO AN INDIVIDUAL
 OR BUSINESS for business and commercial  loans,  [and  charge,  contract
 for,  or  receive  a  greater  rate of interest than the lender would be
 permitted by law to charge if he were not a licensee  hereunder]  except
 as  authorized  by  this  article OR BY REGULATIONS ISSUED BY THE SUPER-
 INTENDENT and without first obtaining a license from the superintendent.
   2. For the purposes of this section,  a  person  or  entity  shall  be
 considered  as engaging in the business of making loans in New York, and
 subject to the licensing and other requirements of this article,  if  it
 solicits  loans  in  the amounts prescribed by this section [within this
 state] and, in connection with such solicitation, makes loans, PURCHASES
 OR OTHERWISE ACQUIRES FROM OTHERS LOANS OR OTHER FORMS OF FINANCING,  OR
 ARRANGES  OR FACILITATES THE FUNDING OF LOANS, to individuals then resi-
 dent in this state OR TO BUSINESSES LOCATED OR DOING  BUSINESS  IN  THIS
 STATE,  except  that no person or entity shall be considered as engaging
 in the business of making loans in this state on the basis of isolated[,
 incidental] or occasional transactions which otherwise meet the require-
 ments of this section.
   3. WHEN NECESSARY TO FACILITATE LOW COST LENDING IN ANY COMMUNITY, THE
 SUPERINTENDENT SHALL HAVE THE POWER TO ADOPT REGULATIONS THAT PROVIDE AN
 EXEMPTION FROM THE LICENSURE REQUIREMENT  IN  SUBDIVISION  ONE  OF  THIS
 SECTION  FOR  A  PERSON OR ENTITY. THE SUPERINTENDENT MAY ALSO ADOPT ANY
 SUCH ADDITIONAL RULES OR REGULATIONS THAT HE OR SHE DEEMS  NECESSARY  TO
 IMPLEMENT THE TERMS OF THIS SECTION INCLUDING THE EXEMPTION PROVISION IN
 THIS SUBDIVISION.
   4.  Nothing  in  this  article shall apply to licensed collateral loan
 brokers.
   § 2. This act shall take effect January 1, 2018.

 S. 2008--A                         122                        A. 3008--A
 
                                  PART FF
 
   Section  1. Paragraph (b) of subdivision 6 of section 1304 of the real
 property actions and proceedings law, as amended by section 7 of part  Q
 of chapter 73 of the laws of 2016, is amended to read as follows:
   (b)  (1)  "Home  loan" means a home loan, including an open-end credit
 plan, [other than a reverse mortgage transaction,] in which:
   (i) The principal amount of the loan at origination did not exceed the
 conforming loan size that was in existence at the  time  of  origination
 for a comparable dwelling as established by the FEDERAL HOUSING ADMINIS-
 TRATION OR federal national mortgage association;
   (ii) The borrower is a natural person;
   (iii)  The  debt  is  incurred by the borrower primarily for personal,
 family, or household purposes;
   (iv) The loan is secured by a mortgage or deed of trust on real estate
 upon which there is located or there is to be  located  a  structure  or
 structures  intended principally for occupancy of from one to four fami-
 lies which is or will be occupied by  the  borrower  as  the  borrower's
 principal dwelling; and
   (v) The property is located in this state.
   (2)  A  HOME  LOAN  SHALL INCLUDE A LOAN SECURED BY A REVERSE MORTGAGE
 THAT MEETS THE REQUIREMENTS OF CLAUSES (I) THROUGH (V)  OF  SUBPARAGRAPH
 ONE OF THIS PARAGRAPH.
   § 2. Subdivision (a) of rule 3408 of the civil practice law and rules,
 as  amended by section 2 of part Q of chapter 73 of the laws of 2016, is
 amended to read as follows:
   (a) [In] 1. EXCEPT AS PROVIDED IN PARAGRAPH TWO OF  THIS  SUBDIVISION,
 IN any residential foreclosure action involving a home loan as such term
 is defined in section thirteen hundred four of the real property actions
 and proceedings law, in which the defendant is a resident of the proper-
 ty  subject to foreclosure, plaintiff shall file proof of service within
 twenty days of such service, however service  is  made,  and  the  court
 shall  hold a mandatory conference within sixty days after the date when
 proof of service upon such defendant is filed with the county clerk,  or
 on  such  adjourned  date  as has been agreed to by the parties, for the
 purpose of holding settlement discussions  pertaining  to  the  relative
 rights and obligations of the parties under the mortgage loan documents,
 including,  but not limited to: [1.] (I) determining whether the parties
 can reach a mutually agreeable resolution to help  the  defendant  avoid
 losing his or her home, and evaluating the potential for a resolution in
 which  payment  schedules  or  amounts  may be modified or other workout
 options may be agreed to, including, but not limited to, a loan  modifi-
 cation, short sale, deed in lieu of foreclosure, or any other loss miti-
 gation  option;  or  [2.]  (II)  whatever other purposes the court deems
 appropriate.
   2. PARAGRAPH ONE OF THIS SUBDIVISION SHALL NOT APPLY TO  A  HOME  LOAN
 SECURED  BY  A  REVERSE  MORTGAGE WHERE THE DEFAULT WAS TRIGGERED BY THE
 DEATH OF THE LAST SURVIVING BORROWER UNLESS THE LAST  SURVIVING  BORROW-
 ER'S  SPOUSE,  IF ANY, IS A RESIDENT OF THE PROPERTY SUBJECT TO FORECLO-
 SURE.
   § 3. This act shall take effect immediately; provided, however, that:
   (a) the amendments to paragraph (b) of subdivision 6 of  section  1304
 of the real property actions and proceedings law, made by section one of
 this  act,  shall take effect on the same date and in the same manner as
 section 7 of part Q of chapter 73 of the laws of 2016 takes effect; and

 S. 2008--A                         123                        A. 3008--A
 
   (b) the amendments to subdivision (a) of rule 3408 of the civil  prac-
 tice law and rules, made by section two of this act, shall be subject to
 the expiration and reversion of such subdivision pursuant to subdivision
 e of section 25 of chapter 507 of the laws of 2009, as amended.
 
                                  PART GG
 
   Section  1.  This  act enacts into law major components of legislation
 relating to assessments, distribution of assets, and insurers deemed  to
 be  in  a  hazardous  financial  condition.    Each  component is wholly
 contained within a Subpart identified  as  Subparts  A  through  C.  The
 effective  date  for  each  particular  provision  contained within such
 Subpart is set forth in the last section of such Subpart. Any  provision
 in  any section contained within a Subpart, including the effective date
 of the Subpart, which makes references to a section "of this act",  when
 used  in  connection  with that particular component, shall be deemed to
 mean and refer to the corresponding section of the Subpart in  which  it
 is  found.  Section  three  of this act sets forth the general effective
 date of this act.
 
                                 SUBPART A
 
   Section 1. Subsection (a) of section 206  of  the  financial  services
 law, is amended and a new subsection (g) is added to read as follows:
   (a) For each fiscal year commencing on or after April first, two thou-
 sand  twelve,  assessments  to  defray operating expenses, including all
 direct and indirect costs, of the department, except  expenses  incurred
 in  the  liquidation  of banking organizations, shall be assessed by the
 superintendent in accordance with  this  subsection.  Persons  regulated
 under  the insurance law shall be assessed by the superintendent for the
 operating expenses of the department that  are  solely  attributable  to
 regulating  persons  under  the  insurance  law, which shall include any
 expenses that were permissible to be assessed in fiscal year  two  thou-
 sand nine-two thousand ten, with the assessments allocated pro rata upon
 all  domestic  insurers and all licensed United States branches of alien
 insurers domiciled in this state within the meaning of paragraph four of
 subsection (b) of section seven  thousand  four  hundred  eight  of  the
 insurance  law,  in  proportion  to  the gross direct premiums and other
 considerations, written or received by them in  this  state  during  the
 calendar year ending December thirty-first immediately preceding the end
 of  the fiscal year for which the assessment is made (less return premi-
 ums and considerations thereon) for policies or contracts  of  insurance
 covering  property  or risks resident or located in this state the issu-
 ance of which policies or contracts requires a license from  the  super-
 intendent.  Persons regulated under the banking law shall be assessed by
 the superintendent for the operating expenses of the department that are
 solely attributable to regulating persons under the banking law in  such
 proportions  as  the  superintendent  shall  deem  just  and reasonable.
 PERSONS REGULATED UNDER THIS CHAPTER SHALL BE  ASSESSED  BY  THE  SUPER-
 INTENDENT  FOR  THE OPERATING EXPENSES OF THE DEPARTMENT THAT ARE SOLELY
 ATTRIBUTABLE TO REGULATED PERSONS UNDER THIS CHAPTER IN SUCH PROPORTIONS
 AS THE SUPERINTENDENT SHALL DEEM JUST AND REASONABLE. Operating expenses
 of the department not covered by the assessments set forth  above  shall
 be assessed by the superintendent in such proportions as the superinten-
 dent  shall  deem just and reasonable upon all domestic insurers and all
 licensed United States branches of  alien  insurers  domiciled  in  this

 S. 2008--A                         124                        A. 3008--A
 
 state  within the meaning of paragraph four of subsection (b) of section
 seven thousand four hundred eight of the insurance  law,  and  upon  any
 regulated  person  under  THIS  CHAPTER  AND the banking law, other than
 mortgage  loan originators, except as otherwise provided by sections one
 hundred fifty-one and two hundred twenty-eight of the  workers'  compen-
 sation  law  and by section sixty of the volunteer firefighters' benefit
 law. The provisions of this subsection shall not be applicable to a bank
 holding company, as that term is defined in article three-A of the bank-
 ing law. Persons regulated under the banking law will  not  be  assessed
 for  expenses  that  the  superintendent deems to benefit solely persons
 regulated under the insurance  law,  and  persons  regulated  under  the
 insurance  law will not be assessed for expenses that the superintendent
 deems to benefit solely persons regulated under the banking law.
   (G) THE EXPENSES OF EVERY EXAMINATION OF THE AFFAIRS OF ANY  REGULATED
 PERSON SUBJECT TO THIS CHAPTER, SHALL BE BORNE AND PAID BY THE REGULATED
 PERSON  SO  EXAMINED,  BUT  THE SUPERINTENDENT, WITH THE APPROVAL OF THE
 COMPTROLLER, MAY, IN THE  SUPERINTENDENT'S  DISCRETION  FOR  GOOD  CAUSE
 SHOWN, REMIT SUCH CHARGES.
   § 2. This act shall take effect January 1, 2018.
 
                                 SUBPART B
 
   Section  1.  Legislative  findings. In order to provide an appropriate
 scheme of distribution of assets of all insolvent insurers, the legisla-
 ture finds that it is in the best interest of the people of  this  state
 to  amend  statutes regarding the priority of distribution under Article
 74 of the Insurance Law.
   § 2. Paragraph 1 of subsection (a) of section 7434  of  the  insurance
 law,  as  amended by chapter 134 of the laws of 1999, is amended to read
 as follows:
   (1) Upon the recommendation of the superintendent,  AS  RECEIVER,  and
 under the direction of the court, distribution payments shall be made in
 a  manner  that  will  assure the proper recognition of priorities and a
 reasonable balance between the expeditious  completion  of  the  [liqui-
 dation]  PROCEEDING SUBJECT TO THIS ARTICLE and the protection of unliq-
 uidated and undetermined claims. The priority of distribution of  claims
 from  [an]  ALL  insolvent  [property/casualty  insurer] INSURERS in any
 proceeding subject to this article, UNLESS OTHERWISE SPECIFIED, shall be
 in accordance with the order in which each class of claims is set  forth
 in this paragraph and as provided in this paragraph. Every claim in each
 class  shall be paid in full or adequate funds retained for such payment
 before the members of the next class receive any payment. No  subclasses
 shall  be established within any class. No claim by a shareholder, poli-
 cyholder, CONTRACT HOLDER  or  other  creditor  shall  be  permitted  to
 circumvent  the  priority classes through the use of equitable remedies.
 The order of distribution of claims shall be:
   (i) Class one. Claims with respect to the actual and  necessary  costs
 and  expenses of administration, incurred by the liquidator, rehabilita-
 tor or conservator under this article.
   (ii) Class two. All claims under policies OR CONTRACTS, including such
 claims of the federal or  any  state  or  local  government  for  losses
 incurred,  third  party  claims,  claims  for unearned premiums, and all
 claims of a security fund, guaranty association or the equivalent except
 claims arising under reinsurance contracts.
   (iii) Class three. Claims of the federal government except those under
 class two above.

 S. 2008--A                         125                        A. 3008--A
 
   (iv) Class four. Claims for wages owing to  employees  of  an  insurer
 against  whom  a proceeding under this article is commenced for services
 rendered within one year before  commencement  of  the  proceeding,  not
 exceeding  one thousand two hundred dollars to each employee, and claims
 for unemployment insurance contributions required by article eighteen of
 the  labor  law.  Such  priority  shall  be in lieu of any other similar
 priority which may be authorized by law.
   (v) Class five. Claims of state and  local  governments  except  those
 under class two above.
   (vi) Class six. Claims of general creditors including[, but not limit-
 ed to,] claims arising under reinsurance contracts.
   (vii)  Class  seven.  Claims filed late or any other claims other than
 claims under class eight or class nine below.
   (viii) Class eight. Claims for advanced or borrowed funds made  pursu-
 ant to section one thousand three hundred seven of this chapter.
   (ix)  Class  nine.  Claims  of  shareholders  or other owners in their
 capacity as shareholders.
   § 3. Section 7435 of the insurance law, as added by chapter 802 of the
 laws of 1985, paragraph 7 of subsection (a) as amended by chapter 300 of
 the laws of 1996, is amended to read as follows:
   § 7435. Distribution for life insurers. (a) UPON THE RECOMMENDATION OF
 THE SUPERINTENDENT, AS RECEIVER, AND UNDER THE DIRECTION OF  THE  COURT,
 DISTRIBUTION  PAYMENTS  SHALL  BE  MADE IN A MANNER THAT WILL ASSURE THE
 PROPER RECOGNITION OF PRIORITIES AND A REASONABLE  BALANCE  BETWEEN  THE
 EXPEDITIOUS COMPLETION OF THE PROCEEDING SUBJECT TO THIS ARTICLE AND THE
 PROTECTION  OF  UNLIQUIDATED  AND  UNDETERMINED  CLAIMS. The priority of
 distribution of claims from the estate of [a] AN INSOLVENT  life  insur-
 ance  company  in  any  proceeding  subject  to this article shall be in
 accordance with the order in which each class of claims is [herein]  set
 forth  IN  THIS SECTION AND AS PROVIDED IN THIS SECTION.  Every claim in
 each class shall[, subject to such limitations as may be  prescribed  by
 law  and  do  not  directly conflict with the express provisions of this
 section,] be paid in full or adequate funds retained  for  such  payment
 before the members of the next class receive any payment.  No subclasses
 shall be established within any class.  NO CLAIM BY A SHAREHOLDER, POLI-
 CYHOLDER,  ANNUITANT, OR OTHER CREDITOR SHALL BE PERMITTED TO CIRCUMVENT
 THE PRIORITY CLASSES THROUGH THE USE OF EQUITABLE REMEDIES. The order of
 distribution of claims shall be:
   (1) Class one. Claims with respect to the actual and  necessary  costs
 and  expenses of administration, incurred by the liquidator, rehabilita-
 tor, conservator or ancillary rehabilitator under this  article,  or  by
 The  Life  Insurance  Guaranty Corporation or The Life Insurance Company
 Guaranty Corporation of New York, and claims described in subsection (d)
 of section seven thousand seven hundred thirteen of this chapter.
   (2) Class two. [Debts due to employees for services performed  to  the
 extent  that  they  do  not  exceed one thousand two hundred dollars and
 represent payment for services performed  within  one  year  before  the
 commencement  of a proceeding under this article. Such priority shall be
 in lieu of any other similar priority which may be authorized by law  as
 to  wages or compensation of employees] ALL CLAIMS UNDER INSURANCE POLI-
 CIES, INCLUDING SUCH CLAIMS OF THE FEDERAL OR ANY STATE OR LOCAL GOVERN-
 MENT, ANNUITY CONTRACTS, AND FUNDING AGREEMENTS, AND ALL CLAIMS  OF  THE
 THE LIFE INSURANCE COMPANY GUARANTY CORPORATION OF NEW YORK OR ANY OTHER
 GUARANTY  CORPORATION  OR ASSOCIATION OF THIS STATE OR ANOTHER JURISDIC-
 TION, OTHER THAN CLAIMS PROVIDED FOR IN PARAGRAPH ONE OF THIS SUBSECTION
 AND CLAIMS FOR INTEREST.

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   (3) Class three. [All  claims  for  payment  for  goods  furnished  or
 services  rendered  to the impaired or insolvent insurer in the ordinary
 course of business within ninety days prior to the  date  on  which  the
 insurer  was determined to be impaired or insolvent, whichever is appli-
 cable]  CLAIMS  OF  THE FEDERAL GOVERNMENT EXCEPT CLAIMS PROVIDED FOR IN
 PARAGRAPH TWO OF THIS SUBSECTION.
   (4)  Class  four.  [All  claims  under  insurance  policies,   annuity
 contracts  and  funding agreements, and all claims of The Life Insurance
 Company Guaranty Corporation of New York or any  other  guaranty  corpo-
 ration  or association of this state or another jurisdiction, other than
 (i) claims provided for in paragraph one of this  subsection,  and  (ii)
 claims  for  interest]  DEBTS DUE TO EMPLOYEES FOR SERVICES PERFORMED TO
 THE EXTENT THAT THEY DO NOT EXCEED ONE THOUSAND TWO HUNDRED DOLLARS  AND
 REPRESENT  PAYMENT  FOR  SERVICES  PERFORMED  WITHIN ONE YEAR BEFORE THE
 COMMENCEMENT OF A PROCEEDING UNDER THIS ARTICLE. SUCH PRIORITY SHALL  BE
 IN  LIEU  OF ANY OTHER SIMILAR PRIORITY THAT MAY BE AUTHORIZED BY LAW AS
 TO WAGES OR COMPENSATION OF EMPLOYEES.
   (5) Class five. [Claims of the federal or any state or  local  govern-
 ment.  Claims, including those of any governmental body for a penalty or
 forfeiture, shall be allowed to this class only to  the  extent  of  the
 pecuniary  loss sustained from the act, transaction or proceeding out of
 which the penalty or forfeiture arose, with reasonable and actual  costs
 occasioned  thereby.  The remainder of such claims shall be postponed to
 the class of claims under paragraph eight of this subsection] ALL CLAIMS
 FOR PAYMENT FOR GOODS FURNISHED OR SERVICES RENDERED TO THE IMPAIRED  OR
 INSOLVENT  INSURER IN THE ORDINARY COURSE OF BUSINESS WITHIN NINETY DAYS
 PRIOR TO THE DATE ON WHICH THE INSURER WAS DETERMINED TO BE IMPAIRED  OR
 INSOLVENT, WHICHEVER IS APPLICABLE.
   (6) Class six. [Claims of general creditors and any other claims other
 than  claims under paragraphs seven and eight of this subsection] CLAIMS
 OF ANY STATE OR LOCAL GOVERNMENT OTHER THAN CLAIMS  PROVIDED  FOR  UNDER
 PARAGRAPH TWO OF THIS SUBSECTION. CLAIMS, INCLUDING THOSE OF ANY GOVERN-
 MENTAL  BODY FOR A PENALTY OR FORFEITURE, SHALL BE ALLOWED TO THIS CLASS
 ONLY TO THE EXTENT OF PECUNIARY LOSS  SUSTAINED  FROM  THE  ACT,  TRANS-
 ACTION, OR PROCEEDING OUT OF WHICH THE PENALTY OR FORFEITURE AROSE, WITH
 REASONABLE  AND  ACTUAL  COSTS OCCASIONED THEREBY. THE REMAINDER OF SUCH
 CLAIMS SHALL BE POSTPONED TO THE CLASS OF CLAIMS UNDER PARAGRAPH NINE OF
 THIS SUBSECTION.
   (7) Class seven. [Surplus, capital or contribution notes,  or  similar
 obligations] CLAIMS OF GENERAL CREDITORS AND ANY OTHER CLAIMS OTHER THAN
 CLAIMS UNDER PARAGRAPHS EIGHT AND NINE OF THIS SUBSECTION.
   (8)  Class  eight. [The claims of (i) policyholders, other than claims
 under paragraph four of this subsection, and (ii) shareholders or  other
 owners] SURPLUS, CAPITAL, OR CONTRIBUTION NOTES, OR SIMILAR OBLIGATIONS.
   (9)  CLASS NINE. THE CLAIMS OF POLICYHOLDERS OR ANNUITANTS, OTHER THAN
 CLAIMS UNDER PARAGRAPH TWO OF THIS SUBSECTION, AND SHAREHOLDERS OR OTHER
 OWNERS.
   (b) Every claim under  a  separate  account  agreement  providing,  in
 effect,  that the assets in the separate account shall not be chargeable
 with liabilities arising out of any other business of the insurer  shall
 be  satisfied  out  of  the  assets in the separate account equal to the
 reserves maintained in such account  for  such  agreement  and,  to  the
 extent,  if  any,  not  fully  discharged thereby, shall be treated as a
 class four claim against the estate of the life insurance company.
   (c) For purposes of this section:

 S. 2008--A                         127                        A. 3008--A
 
   (1) "The estate of the life insurance company" shall mean the  general
 assets  of  such company less any assets held in separate accounts that,
 pursuant to section four thousand two hundred forty of this chapter, are
 not chargeable with liabilities arising out of any other business of the
 insurer.
   (2) "Insurance  policies,  annuity  contracts  and funding agreements"
 shall mean all policies and contracts of any of the kinds  of  insurance
 specified  in  paragraph  one, two or three of subsection (a) of section
 one thousand one hundred thirteen of this chapter and all funding agree-
 ments described in section three thousand two hundred twenty-two of this
 chapter, including all separate account agreements, except that separate
 account agreements referred to in subsection (b) of this  section  shall
 be included only to the extent referred to therein.
   (3) "Separate  account  agreement or agreements" shall mean any agree-
 ment or agreements for separate accounts referred  to  in  section  four
 thousand two hundred forty of this chapter.
   § 4. This act shall take effect immediately.
 
                                 SUBPART C
 
   Section  1.  Section 1104 of the insurance law, the section heading as
 amended and subsections (c) and (d) as added by chapter 235 of the  laws
 of  1989,  the opening paragraph of subsection (c) as amended by chapter
 598 of the laws of 2000, is amended to read as follows:
   § 1104. Revocation or suspension of license;  restriction  of  license
 authority  or limitation on premiums written. (a) The superintendent may
 revoke any license, CERTIFICATE OF AUTHORITY, OR REGISTRATION issued  to
 any  foreign  or alien insurer to do an insurance business in this state
 if, after notice to and hearing, [he] THE SUPERINTENDENT finds that such
 insurer has failed to comply with any requirement imposed upon it by the
 provisions of this chapter and if in [his] THE SUPERINTENDENT'S judgment
 such revocation is reasonably necessary to protect the interests of  the
 people  of this state. The superintendent may, in his OR HER discretion,
 reinstate any such license, CERTIFICATE OF AUTHORITY, OR REGISTRATION if
 [he] THE SUPERINTENDENT finds that a ground for such revocation no long-
 er exists.
   (b) The superintendent shall revoke the certificate  of  authority  of
 any corporation or agent convicted of violating section two thousand six
 hundred three of this chapter.
   (c) [The] (1) NOTWITHSTANDING ANY OTHER PROVISION OF THIS CHAPTER, THE
 superintendent may [suspend the license, restrict the license authority,
 or  limit  the  amount of premiums written in this state of any accident
 and  health  insurance  company,  property/casualty  insurance  company,
 co-operative property/casualty insurance company, title insurance compa-
 ny,  mortgage  guaranty  insurance  company,  reciprocal insurer, Lloyds
 underwriters or nonprofit property/casualty insurance company] TAKE  ONE
 OR  MORE  OF THE ACTIONS SPECIFIED IN SUBPARAGRAPH (B) OF PARAGRAPH FOUR
 OF THIS SUBSECTION AGAINST AN INSURER, except those insurers subject  to
 the  provisions  of subsection (c) of section two thousand three hundred
 forty-three of this chapter, if after a  hearing  on  a  record,  unless
 waived  by the affected insurer, the superintendent determines that such
 insurer's surplus to policyholders is not adequate in  relation  to  the
 insurer's  outstanding  liabilities  or to its financial needs OR IF THE
 SUPERINTENDENT OTHERWISE DETERMINES THAT THE CONTINUED OPERATION OF  THE
 INSURER  MIGHT BE DEEMED TO BE HAZARDOUS TO THE INSURER'S POLICYHOLDERS,
 CREDITORS, OR TO THE GENERAL PUBLIC.

 S. 2008--A                         128                        A. 3008--A
 
   (2) All matters pertaining to a proceeding or  determination  pursuant
 to  this subsection shall be confidential and not subject to subpoena or
 public inspection under article six of the public officers  law  or  any
 other  statute,  except  to  the  extent  that  the superintendent finds
 release  of  information  necessary  to  protect the public. The hearing
 shall be initiated within twenty days after written notice to the insur-
 er. Any determination pursuant to this subsection shall contain findings
 specifying the factors deemed significant in regard  to  the  particular
 insurer,  and  shall  set  forth  the reasons supporting the suspension,
 restriction or limitation ordered by the superintendent.
   (3) The SUPERINTENDENT MAY CONSIDER THE following  factors  [shall  be
 considered by the superintendent] in making [such] A determination AS TO
 WHETHER AN INSURER'S SURPLUS TO POLICYHOLDERS IS ADEQUATE IN RELATION TO
 THE INSURER'S OUTSTANDING LIABILITIES OR TO ITS FINANCIAL NEEDS:
   [(1)]  (A) the size of the insurer as measured by its admitted assets,
 capital and surplus to policyholders, reserves, premium writings, insur-
 ance in force and other appropriate criteria, with such surplus to poli-
 cyholders for foreign insurers adjusted in accordance with  section  one
 thousand four hundred thirteen of this chapter;
   [(2)]  (B)  the  extent to which the insurer's business is diversified
 among the several kinds of insurance;
   [(3)] (C) the number and size of risks insured in each kind of  insur-
 ance and the insurer's loss experience in regard to such risks;
   [(4)]  (D)  the  extent  of  geographical  dispersion of the insurer's
 risks;
   [(5)] (E) the nature and extent of the insurer's reinsurance program;
   [(6)] (F) the quality, diversification and liquidity of the  insurer's
 investment portfolio;
   [(7)] (G) the recent past and projected future trends in regard to the
 insurer's  loss  experience  and in the size of the insurer's surplus to
 policyholders;
   [(8)] (H) the surplus to policyholders maintained by other  comparable
 insurers;
   [(9)] (I) the adequacy of the insurer's reserves; and
   [(10)]  (J)  the  quality and liquidity of investments in subsidiaries
 made pursuant to this chapter.
   (4)(A) THE SUPERINTENDENT MAY CONSIDER THE FOLLOWING STANDARDS, EITHER
 SINGLY OR A COMBINATION OF TWO OR MORE, TO DETERMINE WHETHER THE CONTIN-
 UED OPERATION OF ANY INSURER MIGHT BE DEEMED  TO  BE  HAZARDOUS  TO  ITS
 POLICYHOLDERS, CREDITORS, OR TO THE GENERAL PUBLIC:
   (I)  ADVERSE  FINDINGS  REPORTED  IN  FINANCIAL  CONDITION  AND MARKET
 CONDUCT EXAMINATION REPORTS, AUDIT REPORTS, ACTUARIAL OPINIONS, REPORTS,
 OR SUMMARIES, OR OTHER REPORTS;
   (II) THE NATIONAL ASSOCIATION  OF  INSURANCE  COMMISSIONERS  INSURANCE
 REGULATORY  INFORMATION SYSTEM AND ITS OTHER FINANCIAL ANALYSIS SOLVENCY
 TOOLS AND REPORTS;
   (III) WHETHER THE INSURER HAS MADE ADEQUATE  PROVISION,  ACCORDING  TO
 PRESENTLY  ACCEPTED ACTUARIAL STANDARDS OF PRACTICE, FOR THE ANTICIPATED
 CASH FLOWS REQUIRED BY THE CONTRACTUAL OBLIGATIONS AND RELATED  EXPENSES
 OF  THE  INSURER,  WHEN  CONSIDERED  IN  LIGHT OF THE ASSETS HELD BY THE
 INSURER WITH RESPECT TO  SUCH  RESERVES  AND  RELATED  ACTUARIAL  ITEMS,
 INCLUDING THE INVESTMENT EARNINGS ON SUCH ASSETS, AND THE CONSIDERATIONS
 ANTICIPATED  TO  BE  RECEIVED  AND  RETAINED  UNDER  SUCH  POLICIES  AND
 CONTRACTS;
   (IV) THE ABILITY OF AN ASSUMING REINSURER TO PERFORM AND  WHETHER  THE
 INSURER'S  REINSURANCE  PROGRAM  PROVIDES  SUFFICIENT PROTECTION FOR THE

 S. 2008--A                         129                        A. 3008--A
 
 INSURER'S REMAINING SURPLUS AFTER TAKING INTO ACCOUNT THE INSURER'S CASH
 FLOW AND THE CLASSES OF BUSINESS WRITTEN AS WELL AS THE FINANCIAL CONDI-
 TION OF THE ASSUMING REINSURER;
   (V)  WHETHER  THE  INSURER'S  OPERATING  LOSS IN THE LAST TWELVE-MONTH
 PERIOD OR ANY SHORTER PERIOD OF TIME,  INCLUDING  NET  CAPITAL  GAIN  OR
 LOSS,  CHANGE  IN NON-ADMITTED ASSETS, AND CASH DIVIDENDS PAID TO SHARE-
 HOLDERS, IS GREATER  THAN  FIFTY  PERCENT  OF  THE  INSURER'S  REMAINING
 SURPLUS TO POLICYHOLDERS IN EXCESS OF THE MINIMUM REQUIRED;
   (VI)  WHETHER  THE  INSURER'S  OPERATING LOSS IN THE LAST TWELVE-MONTH
 PERIOD OR ANY SHORTER PERIOD OF TIME, EXCLUDING NET  CAPITAL  GAINS,  IS
 GREATER  THAN TWENTY PERCENT OF THE INSURER'S REMAINING SURPLUS TO POLI-
 CYHOLDERS IN EXCESS OF THE MINIMUM REQUIRED;
   (VII) WHETHER A REINSURER, AN OBLIGOR, ANY  ENTITY  IN  THE  INSURER'S
 HOLDING COMPANY SYSTEM, AS DEFINED IN PARAGRAPH SIX OF SUBSECTION (A) OF
 SECTION ONE THOUSAND FIVE HUNDRED ONE OF THIS CHAPTER, OR ANY SUBSIDIARY
 OF  AN  INSURER, IS INSOLVENT, THREATENED WITH INSOLVENCY, OR DELINQUENT
 IN PAYMENT OF ITS MONETARY OR OTHER OBLIGATIONS, AND WHICH IN THE  OPIN-
 ION OF THE SUPERINTENDENT MAY AFFECT THE SOLVENCY OF THE INSURER;
   (VIII)  CONTINGENT  LIABILITIES,  PLEDGES,  OR  GUARANTEES THAT EITHER
 INDIVIDUALLY OR COLLECTIVELY INVOLVE A TOTAL AMOUNT THAT IN  THE  SUPER-
 INTENDENT'S OPINION MAY AFFECT THE INSURER'S SOLVENCY;
   (IX)  WHETHER  ANY PERSON WHO CONTROLS AN INSURER, AS DEFINED IN PARA-
 GRAPH TWO OF SUBSECTION (A) OF SECTION ONE THOUSAND FIVE HUNDRED ONE  OF
 THIS  CHAPTER,  IS DELINQUENT IN THE TRANSMITTING TO, OR PAYMENT OF, NET
 PREMIUMS TO THE INSURER;
   (X) THE AGE AND COLLECTABILITY OF RECEIVABLES;
   (XI) WHETHER THE MANAGEMENT OF AN INSURER, INCLUDING OFFICERS,  DIREC-
 TORS, OR ANY OTHER PERSON WHO DIRECTLY OR INDIRECTLY CONTROLS THE OPERA-
 TION  OF  THE  INSURER, FAILS TO POSSESS AND DEMONSTRATE THE COMPETENCE,
 FITNESS, AND REPUTATION DEEMED NECESSARY TO SERVE THE  INSURER  IN  SUCH
 POSITION;
   (XII)  WHETHER  THE  INSURER'S  MANAGEMENT HAS FAILED TO RESPOND TO AN
 INQUIRY OF THE SUPERINTENDENT RELATIVE TO THE INSURER'S CONDITION OR HAS
 FURNISHED FALSE AND MISLEADING INFORMATION CONCERNING SUCH AN INQUIRY;
   (XIII) WHETHER  THE  INSURER  HAS  FAILED  TO  MEET  FINANCIAL  FILING
 REQUIREMENTS  OR  FILING  REQUIREMENTS  PURSUANT  TO  ARTICLES  FIFTEEN,
 SIXTEEN, OR SEVENTEEN OF THIS CHAPTER, OR REGULATIONS PROMULGATED THERE-
 UNDER, IN THE ABSENCE OF A REASON SATISFACTORY TO THE SUPERINTENDENT;
   (XIV) WHETHER THE INSURER'S MANAGEMENT EITHER HAS FILED ANY  FALSE  OR
 MISLEADING  SWORN FINANCIAL STATEMENT, OR HAS RELEASED FALSE OR MISLEAD-
 ING FINANCIAL STATEMENTS TO  LENDING  INSTITUTIONS  OR  TO  THE  GENERAL
 PUBLIC, OR HAS MADE A FALSE OR MISLEADING ENTRY, OR HAS OMITTED AN ENTRY
 OF MATERIAL AMOUNT IN THE INSURER'S BOOKS;
   (XV)  WHETHER  THE  INSURER HAS GROWN SO RAPIDLY AND TO SUCH AN EXTENT
 THAT IT LACKS ADEQUATE FINANCIAL AND ADMINISTRATIVE CAPACITY TO MEET ITS
 OBLIGATIONS IN A TIMELY MANNER;
   (XVI) WHETHER THE INSURER HAS EXPERIENCED OR IS EXPECTED TO EXPERIENCE
 IN THE FORESEEABLE FUTURE CASH FLOW OR LIQUIDITY PROBLEMS;
   (XVII) WHETHER MANAGEMENT HAS ESTABLISHED RESERVES THAT DO NOT  COMPLY
 WITH  MINIMUM  STANDARDS  ESTABLISHED  BY  THIS  CHAPTER  OR REGULATIONS
 PROMULGATED THEREUNDER, STATUTORY ACCOUNTING STANDARDS,  AS  ADOPTED  BY
 THE  SUPERINTENDENT,  SOUND  ACTUARIAL PRINCIPLES AND STANDARDS OF PRAC-
 TICE;
   (XVIII) WHETHER MANAGEMENT  PERSISTENTLY  ENGAGES  IN  MATERIAL  UNDER
 RESERVING THAT RESULTS IN ADVERSE DEVELOPMENT;

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   (XIX)  WHETHER  ANY  TRANSACTION WITH AN AFFILIATE, A SUBSIDIARY, OR A
 PARENT FOR WHICH THE INSURER RECEIVES ASSETS OR CAPITAL GAINS, OR  BOTH,
 DO  NOT  PROVIDE SUFFICIENT VALUE, LIQUIDITY, OR DIVERSITY TO ASSURE THE
 INSURER'S ABILITY TO MEET ITS OUTSTANDING OBLIGATIONS  AS  THEY  MATURE;
 AND
   (XX)  ANY OTHER FINDING DETERMINED BY THE SUPERINTENDENT TO BE HAZARD-
 OUS TO THE INSURER'S POLICYHOLDERS, CREDITORS, OR TO THE GENERAL PUBLIC.
   (B) IF THE SUPERINTENDENT DETERMINES THAT  THE  INSURER'S  SURPLUS  TO
 POLICYHOLDERS  IS  NOT ADEQUATE IN RELATION TO THE INSURER'S OUTSTANDING
 LIABILITIES OR TO ITS FINANCIAL NEEDS OR IF THE SUPERINTENDENT OTHERWISE
 DETERMINES THAT THE CONTINUED OPERATION OF THE INSURER MAY BE  HAZARDOUS
 TO  ITS  POLICYHOLDERS,  CREDITORS,  OR  TO THE GENERAL PUBLIC, THEN THE
 SUPERINTENDENT MAY, UPON A DETERMINATION, SUSPEND THE INSURER'S LICENSE,
 CERTIFICATE  OF  AUTHORITY,  OR  REGISTRATION,  RESTRICT  THE  INSURER'S
 LICENSE,  CERTIFICATE  OF AUTHORITY, OR REGISTRATION AUTHORITY, OR ISSUE
 AN ORDER REQUIRING THE INSURER TO DO ONE OR MORE OF THE FOLLOWING:
   (I) REDUCE THE TOTAL AMOUNT OF PRESENT  AND  POTENTIAL  LIABILITY  FOR
 POLICY BENEFITS BY REINSURANCE;
   (II)  REDUCE,  SUSPEND, OR LIMIT THE VOLUME OF BUSINESS BEING ACCEPTED
 OR RENEWED, OR LIMIT THE AMOUNT OF PREMIUMS WRITTEN IN THIS STATE;
   (III) REDUCE GENERAL INSURANCE AND COMMISSION  EXPENSES  BY  SPECIFIED
 METHODS;
   (IV) INCREASE THE INSURER'S CAPITAL AND SURPLUS;
   (V)  SUSPEND  OR  LIMIT THE DECLARATION AND PAYMENT OF DIVIDENDS BY AN
 INSURER TO ITS STOCKHOLDERS OR POLICYHOLDERS;
   (VI) FILE REPORTS ON A FORM AND IN A MANNER ACCEPTABLE TO  THE  SUPER-
 INTENDENT CONCERNING THE MARKET VALUE OF AN INSURER'S ASSETS;
   (VII)  LIMIT  OR  WITHDRAW  FROM  CERTAIN  INVESTMENTS  OR DISCONTINUE
 CERTAIN INVESTMENT PRACTICES TO  THE  EXTENT  THE  SUPERINTENDENT  DEEMS
 NECESSARY;
   (VIII) DOCUMENT THE ADEQUACY OF PREMIUM RATES IN RELATION TO THE RISKS
 INSURED;
   (IX) FILE, IN ADDITION TO REGULAR ANNUAL STATEMENTS, INTERIM FINANCIAL
 REPORTS  ON  A  FORM  AND  IN A MANNER PRESCRIBED BY THE SUPERINTENDENT,
 WHICH MAY INCLUDE A FORM ADOPTED BY THE NATIONAL ASSOCIATION  OF  INSUR-
 ANCE COMMISSIONERS;
   (X)  CORRECT CORPORATE GOVERNANCE PRACTICE DEFICIENCIES, AND ADOPT AND
 UTILIZE GOVERNANCE PRACTICES ACCEPTABLE TO THE SUPERINTENDENT;
   (XI) PROVIDE A BUSINESS PLAN TO THE SUPERINTENDENT IN ORDER TO CONTIN-
 UE TO TRANSACT BUSINESS IN THIS STATE; OR
   (XII) NOTWITHSTANDING ANY OTHER PROVISION OF LAW, ADJUST RATES FOR ANY
 NON-LIFE INSURANCE POLICY OR CONTRACT WRITTEN BY THE  INSURER  THAT  THE
 SUPERINTENDENT  CONSIDERS  NECESSARY  TO IMPROVE THE INSURER'S FINANCIAL
 CONDITION.
   (d) [The superintendent  shall  identify  and  review  those  licensed
 property/casualty  insurers  needing  immediate  or  targeted regulatory
 attention, and shall include the number of insurers so identified in the
 report required by section three hundred thirty-four  of  this  chapter.
 Such   report   shall   also   include   the   name   of  each  licensed
 property/casualty insurer placed in  formal  conservatorship,  rehabili-
 tation or liquidation during the preceding year. Nothing herein shall be
 construed  to restrict or diminish any right or power of the superinten-
 dent under any other provision of this chapter] FOR THE PURPOSES OF THIS
 SECTION, "INSURER" SHALL MEAN  ANY  PERSON,  FIRM,  ASSOCIATION,  CORPO-
 RATION, OR JOINT-STOCK COMPANY AUTHORIZED TO DO AN INSURANCE BUSINESS IN
 THIS  STATE  BY  A  LICENSE  IN FORCE PURSUANT TO THE PROVISIONS OF THIS

 S. 2008--A                         131                        A. 3008--A
 
 CHAPTER OR EXEMPTED BY THE PROVISIONS OF THIS CHAPTER FROM SUCH  LICENS-
 ING, EXCEPT THAT, FOR PURPOSES OF THIS SECTION, THE TERM "INSURER" SHALL
 NOT  INCLUDE  ANY  HEALTH MAINTENANCE ORGANIZATION OPERATING PURSUANT TO
 SECTION  ONE THOUSAND ONE HUNDRED NINE OF THIS CHAPTER OR ANY CONTINUING
 CARE RETIREMENT COMMUNITY OPERATING PURSUANT TO SECTION ONE THOUSAND ONE
 HUNDRED NINETEEN OF THIS CHAPTER.
   § 2. This act shall take effect immediately.
   § 2. Severability clause. If any clause, sentence, paragraph, subdivi-
 sion, section or subpart of this act shall be adjudged by any  court  of
 competent  jurisdiction  to  be invalid, such judgment shall not affect,
 impair, or invalidate the remainder thereof, but shall  be  confined  in
 its  operation  to the clause, sentence, paragraph, subdivision, section
 or subpart thereof directly involved in the controversy  in  which  such
 judgment  shall  have  been  rendered.  It  is hereby declared to be the
 intent of the legislature that this act would have been enacted even  if
 such invalid provisions had not been included herein.
   §  3.  This  act shall take effect immediately provided, however, that
 the applicable effective date of Subparts A through C of this act  shall
 be as specifically set forth in the last section of such Subparts.
 
                                  PART HH
 
   Section  1. Paragraph (a) of subdivision 2 of section 179 of the navi-
 gation law, as amended by section 2 of part X of chapter 58 of the  laws
 of 2015, is amended to read as follows:
   (a)  An  account  which  shall  be  credited with all license fees and
 penalties collected pursuant to paragraph (b)  of  subdivision  one  and
 paragraph (a) of subdivision four of section one hundred seventy-four of
 this article EXCEPT AS PROVIDED IN SECTION ONE HUNDRED SEVENTY-NINE-A OF
 THIS  ARTICLE,  the portion of the surcharge collected pursuant to para-
 graph (d) of subdivision four of section  one  hundred  seventy-four  of
 this  article, penalties collected pursuant to paragraph (b) of subdivi-
 sion four of section one hundred seventy-four-a of this  article,  money
 collected  pursuant to section one hundred eighty-seven of this article,
 all penalties collected pursuant to section one  hundred  ninety-two  of
 this  article,  and  registration fees collected pursuant to subdivision
 two of section 17-1009 of the environmental conservation law.
   § 2. The navigation law is amended by adding a new  section  179-a  to
 read as follows:
   §  179-A.  NEW  YORK  ENVIRONMENTAL  PROTECTION  AND SPILL REMEDIATION
 ACCOUNT. 1. THERE IS HEREBY CREATED AN ACCOUNT WITHIN THE  MISCELLANEOUS
 CAPITAL  PROJECTS  FUND, THE NEW YORK ENVIRONMENTAL PROTECTION AND SPILL
 REMEDIATION ACCOUNT. THE NEW YORK  ENVIRONMENTAL  PROTECTION  AND  SPILL
 REMEDIATION  ACCOUNT SHALL CONSIST OF LICENSE FEES RECEIVED BY THE STATE
 PURSUANT TO SECTION ONE HUNDRED SEVENTY-FOUR  OF  THIS  ARTICLE,  IN  AN
 AMOUNT EQUAL TO EXPENDITURES MADE FROM THIS ACCOUNT.
   2.  THESE  MONEYS,  AFTER APPROPRIATION BY THE LEGISLATURE, AND WITHIN
 THE AMOUNTS SET FORTH AND FOR THE SEVERAL PURPOSES SPECIFIED,  SHALL  BE
 AVAILABLE  TO REIMBURSE THE DEPARTMENT OF ENVIRONMENTAL CONSERVATION FOR
 EXPENDITURES ASSOCIATED WITH THE PURPOSES OF COSTS INCURRED  UNDER  THIS
 ARTICLE,  INCLUDING  CLEANUP  AND REMOVAL OF PETROLEUM SPILLS, AND OTHER
 CAPITAL, INVESTIGATION, MAINTENANCE AND REMEDIATION COSTS.
   3. ALL PAYMENTS MADE FROM THE NEW YORK  ENVIRONMENTAL  PROTECTION  AND
 SPILL  REMEDIATION  ACCOUNT  SHALL  BE  MADE  BY  THE ADMINISTRATOR UPON
 CERTIFICATION BY THE COMMISSIONER.

 S. 2008--A                         132                        A. 3008--A
 
   4. SPENDING PURSUANT TO THIS SECTION SHALL BE INCLUDED IN  THE  ANNUAL
 REPORT REQUIRED BY SECTION ONE HUNDRED NINETY-SIX OF THIS ARTICLE.
   §  3.  Subdivision 3 of section 176 of the navigation law, as added by
 chapter 845 of the laws of 1977, is amended to read as follows:
   3. Any unexplained discharge of petroleum within state jurisdiction or
 discharge of petroleum occurring in  waters  beyond  state  jurisdiction
 that  for  any  reason  penetrates  within  state  jurisdiction shall be
 removed by or under the direction of the department.  Except  for  those
 expenses  incurred  by  the  party  causing such discharge, any expenses
 incurred in the removal of discharges shall be paid  promptly  from  the
 New  York  environmental protection and spill compensation fund pursuant
 to [section] SECTIONS one hundred and eighty-six AND ONE HUNDRED  SEVEN-
 TY-NINE-A  of this article and any reimbursements due such fund shall be
 collected in accordance with the provisions of section one  hundred  and
 eighty-seven of this article.
   §  4.  This  act  shall take effect immediately and shall be deemed to
 have been in full force and effect on and after April 1, 2017.
 
                                  PART II
 
   Section 1. This act shall be known and may  be  cited  as  the  "clean
 water infrastructure act of 2017".
   §  2.  Article  15 of the environmental conservation law is amended by
 adding a new title 33 to read as follows:
 
                                 TITLE 33
                     SOURCE WATER PROTECTION PROJECTS
 SECTION 15-3301. DEFINITIONS.
         15-3303. LAND ACQUISITION PROJECTS FOR SOURCE WATER PROTECTION.
 § 15-3301. DEFINITIONS.
   AS USED IN THIS TITLE THE FOLLOWING TERMS SHALL MEAN:
   1. "LAND ACQUISITION PROJECTS" MEANS OPEN SPACE  ACQUISITION  PROJECTS
 UNDERTAKEN  WITH  WILLING  SELLERS  INCLUDING,  BUT  NOT LIMITED TO, THE
 PURCHASE OF CONSERVATION EASEMENTS,  UNDERTAKEN  BY  A  MUNICIPALITY,  A
 NOT-FOR-PROFIT  CORPORATION,  OR PURCHASE OF CONSERVATION EASEMENTS BY A
 SOIL AND WATER CONSERVATION DISTRICT.
   2. "MUNICIPALITY" MEANS THE SAME AS SUCH TERM AS  DEFINED  IN  SECTION
 56-0101 OF THIS CHAPTER.
   3. "NOT-FOR-PROFIT CORPORATION" MEANS A CORPORATION FORMED PURSUANT TO
 THE  NOT-FOR-PROFIT  CORPORATION LAW AND QUALIFIED FOR TAX-EXEMPT STATUS
 UNDER THE FEDERAL INTERNAL REVENUE CODE.
   4. "SOIL AND WATER CONSERVATION DISTRICT" MEANS THE SAME AS SUCH  TERM
 AS  DEFINED IN SECTION FIVE OF THE SOIL AND WATER CONSERVATION DISTRICTS
 LAW.
   5. "STATE ASSISTANCE PAYMENT" MEANS PAYMENT OF THE STATE SHARE OF  THE
 COST  OF PROJECTS AUTHORIZED BY THIS TITLE TO PRESERVE, ENHANCE, RESTORE
 AND IMPROVE THE QUALITY OF THE STATE'S ENVIRONMENT.
 § 15-3303. LAND ACQUISITION PROJECTS FOR SOURCE WATER PROTECTION.
   1. THE COMMISSIONER IS AUTHORIZED TO PROVIDE STATE ASSISTANCE TO MUNI-
 CIPALITIES, NOT-FOR-PROFIT CORPORATIONS AND SOIL AND WATER  CONSERVATION
 DISTRICTS  TO  UNDERTAKE  LAND  ACQUISITION  PROJECTS  FOR  SOURCE WATER
 PROTECTION, IN COOPERATION WITH WILLING SELLERS. PROJECTS SHALL DEVELOP,
 EXPAND OR ENHANCE WATER QUALITY PROTECTION, INCLUDING BUT NOT LIMITED TO
 AQUIFERS, WATERSHEDS,  RESERVOIRS,  LAKES,  RIVERS  AND  STREAMS.    THE
 DEPARTMENT  SHALL SET FORTH THE STATE SHARE OF LAND ACQUISITION PROJECTS
 IN ANY REQUEST FOR PROPOSAL ISSUED TO SOLICIT PROJECTS.

 S. 2008--A                         133                        A. 3008--A
 
   2. ANY CONSERVATION EASEMENT ACQUIRED PURSUANT TO  THIS  SECTION  THAT
 ENCUMBERS  LANDS  IN  A  COUNTY  DESIGNATED STATE CERTIFIED AGRICULTURAL
 DISTRICT SHALL ALLOW AGRICULTURAL ACTIVITY ON SUCH LANDS  PROVIDED  THAT
 THE  ACTIVITY  COMPLIES  WITH  ALL APPLICABLE TECHNICAL STANDARDS ESTAB-
 LISHED BY THE NATURAL RESOURCES CONSERVATION SERVICE.
   3.  IN  EVALUATING  PROJECTS  PURSUANT TO THIS SECTION, THE DEPARTMENT
 SHALL GIVE PRIORITY FIRST TO PROJECTS WHICH PROTECT OR RECHARGE DRINKING
 WATER SOURCES AND WATERSHEDS INCLUDING RIPARIAN BUFFERS  AND  SECOND  TO
 PROJECTS WHICH IMPROVE RESILIENCE.
   4.  NO  STATE  ASSISTANCE  MAY BE PROVIDED PURSUANT TO THIS SECTION TO
 FUND ANY PROJECT COMMITTED TO IN ANY AGREEMENT PURSUANT TO A  FILTRATION
 AVOIDANCE DETERMINATION.
   5. THE COMMISSIONER MAY ENTER INTO A CONTRACT WITH A MUNICIPALITY OR A
 NOT-FOR-PROFIT  CORPORATION  FOR  THE  UNDERTAKING OF A LAND ACQUISITION
 PROJECT. COSTS UNDER SUCH CONTRACTS ARE SUBJECT TO FINAL COMPUTATION  BY
 THE  DEPARTMENT UPON COMPLETION OF THE PROJECT, AND SHALL NOT EXCEED THE
 MAXIMUM ELIGIBLE COST SET FORTH IN ANY SUCH CONTRACT.
   6. THE COST OF A SOURCE WATER PROTECTION LAND ACQUISITION PROJECT  MAY
 INCLUDE  THE  COST  OF PREPARATION OF A PLAN FOR THE PRESERVATION OF THE
 REAL PROPERTY INTEREST IN LAND ACQUIRED PURSUANT TO THIS SECTION  EXCEPT
 WHERE  SUCH  CONSIDERATIONS  HAVE ALREADY BEEN UNDERTAKEN AS PART OF ANY
 EXISTING PLAN APPLICABLE TO THE NEWLY ACQUIRED REAL PROPERTY INTEREST IN
 LAND.
   7. THE SOIL AND WATER CONSERVATION COMMITTEE IN CONSULTATION WITH  THE
 COMMISSIONER  OF  AGRICULTURE AND MARKETS IS AUTHORIZED TO PROVIDE STATE
 ASSISTANCE PAYMENTS TO COUNTY SOIL AND WATER CONSERVATION DISTRICTS  FOR
 LAND  ACQUISITION  PROJECTS  FOR SOURCE WATER PROTECTION CONSISTENT WITH
 SECTION ELEVEN-B OF THE  SOIL  AND  WATER  CONSERVATION  DISTRICTS  LAW.
 PROJECTS  SHALL  DEVELOP,  EXPAND  OR  ENHANCE WATER QUALITY PROTECTION,
 INCLUDING BUT NOT LIMITED TO AQUIFERS,  WATERSHEDS,  RESERVOIRS,  LAKES,
 RIVERS  AND  STREAMS.    SUCH  COMMITTEE SHALL GIVE PRIORITY TO PROJECTS
 WHICH ESTABLISH BUFFERS FROM WATERS WHICH SERVES AS OR  ARE  TRIBUTARIES
 TO  DRINKING  WATER  SUPPLIES  FOR  SUCH PROJECTS USING STATE ASSISTANCE
 PURSUANT TO THIS SECTION.
   8. A. REAL PROPERTY ACQUIRED, DEVELOPED, IMPROVED, RESTORED  OR  REHA-
 BILITATED  BY OR THROUGH A MUNICIPALITY WITH FUNDS MADE AVAILABLE PURSU-
 ANT TO THIS TITLE SHALL NOT  BE  SOLD,  LEASED,  EXCHANGED,  DONATED  OR
 OTHERWISE  DISPOSED  OF  OR USED FOR OTHER THAN WATER QUALITY PROTECTION
 PURPOSES WITHOUT APPROVAL FROM THE DEPARTMENT, WHICH SHALL  PROVIDE  FOR
 THE  SUBSTITUTION  OF  OTHER LANDS OF EQUAL ENVIRONMENTAL VALUE AND FAIR
 MARKET VALUE AND REASONABLY EQUIVALENT USEFULNESS AND LOCATION TO  THOSE
 TO  BE DISCONTINUED, SOLD OR DISPOSED OF, AND SUCH OTHER REQUIREMENTS AS
 SHALL BE APPROVED BY THE COMMISSIONER; PROVIDED, HOWEVER, THAT SUCH REAL
 PROPERTY MAY BE SOLD, LEASED, EXCHANGED, DONATED OR  OTHERWISE  DISPOSED
 OF  TO  THE STATE, ANOTHER MUNICIPALITY OR A NOT-FOR-PROFIT FOR THE SAME
 PURPOSES.
   B. REAL PROPERTY ACQUIRED BY A NOT-FOR-PROFIT ORGANIZATION WITH  FUNDS
 MADE  AVAILABLE  PURSUANT  TO  THIS  TITLE  SHALL  NOT  BE SOLD, LEASED,
 EXCHANGED, DONATED OR OTHERWISE DISPOSED OF, EXCEPT TO A MUNICIPALITY OR
 THE STATE FOR THE SAME PURPOSES, WITHOUT THE APPROVAL OF THE DEPARTMENT.
   9. IF THE STATE ACQUIRES A REAL PROPERTY INTEREST IN LAND PURCHASED BY
 A MUNICIPALITY OR NOT-FOR-PROFIT WITH FUNDS MADE AVAILABLE  PURSUANT  TO
 THIS  TITLE,  THE STATE SHALL PAY THE FAIR MARKET VALUE OF SUCH INTEREST
 LESS THE AMOUNT OF FUNDING  PROVIDED  BY  THE  STATE  PURSUANT  TO  THIS
 SECTION.

 S. 2008--A                         134                        A. 3008--A
 
   §  3. The public health law is amended by adding a new section 1113 to
 read as follows:
   §  1113. LEAD SERVICE LINE REPLACEMENT GRANT PROGRAM.  NOTWITHSTANDING
 SECTION ONE HUNDRED SIXTY-THREE OF THE STATE FINANCE LAW OR  ANY  INCON-
 SISTENT  PROVISION  OF LAW TO THE CONTRARY, AND WITHIN AMOUNTS APPROPRI-
 ATED THEREFOR, THE DEPARTMENT SHALL AWARD GRANTS TO MUNICIPALITIES WITH-
 OUT A FORMAL COMPETITIVE PROCESS, FOR PURPOSES OF REPLACING LEAD SERVICE
 LINES USED TO SUPPLY DRINKING  WATER.  WHEN  DETERMINING  WHICH  MUNICI-
 PALITIES SHALL RECEIVE AWARDS AND THE AMOUNT OF SUCH AWARDS, THE DEPART-
 MENT  SHALL  CONSIDER  FOR  EACH MUNICIPALITY THE COST OF REPLACING LEAD
 SERVICE LINES AND THE NUMBER OF PERSONS WHO RECEIVE DRINKING WATER  FROM
 SUCH SERVICE LINES, AND SHALL GIVE PRIORITY TO THOSE MUNICIPALITIES WITH
 LOW-INCOME  COMMUNITIES,  ACCORDING  TO A METHODOLOGY AS SHALL BE DETER-
 MINED BY THE DEPARTMENT.
   § 4. Article 27 of the environmental conservation law  is  amended  by
 adding a new title 12 to read as follows:
 
                                 TITLE 12
   CLEANUP AND ABATEMENT OF CERTAIN SOLID WASTE SITE AND DRINKING WATER
                               CONTAMINATION
 SECTION 27-1201. DEFINITIONS.
         27-1203. MITIGATION AND CLEANUP OF SOLID WASTE SITES.
         27-1205. MITIGATION OF CONTAMINANTS IN DRINKING WATER.
         27-1207. USE  AND  REPORTING  OF  SOLID WASTE AND DRINKING WATER
                    RESPONSE ACCOUNT.
         27-1209. RULES AND REGULATIONS.
 § 27-1201. DEFINITIONS.
   WHEN USED IN THIS TITLE:
   1. "MITIGATION AND CLEANUP" MEANS THE INVESTIGATION, SAMPLING, MANAGE-
 MENT, REMOVAL, REMEDIATION OR RESTORATION OF A SOLID WASTE SITE AND  ALL
 OTHER  ACTIONS  REQUIRED  TO RESTORE OR PROTECT DRINKING WATER SUPPLIES,
 GROUNDWATER, OR OTHER ENVIRONMENTAL MEDIA AND RESTORATION OF THE SITE TO
 A CONDITION THAT IT IS NO LONGER CAUSING OR CONTRIBUTING TO POLLUTION OF
 GROUNDWATER, WATER SUPPLIES OR THE ENVIRONMENT.
   2. "SOLID WASTE SITE" MEANS A DISPOSAL FACILITY AS  DEFINED  IN  REGU-
 LATIONS  WHERE SOLID WASTE HAS BEEN IMPROPERLY DISPOSED AS DETERMINED BY
 THE DEPARTMENT OR A COURT OF COMPETENT JURISDICTION,  OR  AN  ACTIVE  OR
 INACTIVE SOLID WASTE MANAGEMENT FACILITY AS DEFINED IN REGULATIONS WHERE
 AN IMPACT TO DRINKING WATER SUPPLIES, GROUNDWATER CONTAMINATION OR OTHER
 ENVIRONMENTAL  CONTAMINATION  IS  KNOWN  OR  SUSPECTED. SOLID WASTE SITE
 SHALL NOT INCLUDE A SITE SUBJECT TO INVESTIGATION OR REMEDIATION  PURSU-
 ANT TO TITLE THIRTEEN OR FOURTEEN OF THIS ARTICLE.
   3. "SOLID WASTE AND DRINKING WATER RESPONSE ACCOUNT" MEANS THE ACCOUNT
 ESTABLISHED PURSUANT TO SUBDIVISION ONE OF SECTION NINETY-SEVEN-B OF THE
 STATE FINANCE LAW.
 § 27-1203. MITIGATION AND CLEANUP OF SOLID WASTE SITES.
   1. THE SOLID WASTE SITE CLEANUP PRIORITIES IN THIS STATE ARE:
   A.  FIRST,  TO  MITIGATE  AND  CLEANUP ANY SOLID WASTE SITE CAUSING OR
 CONTRIBUTING TO IMPAIRMENTS OF DRINKING WATER QUALITY; AND
   B. SECOND, TO MITIGATE AND CLEANUP SOLID WASTE SITES WHICH ARE CAUSING
 OR CONTRIBUTING TO OTHER ENVIRONMENTAL CONTAMINATION  WHICH  MAY  IMPACT
 PUBLIC HEALTH.
   2.  THE  OWNER OR OPERATOR OF A SOLID WASTE SITE SHALL, AT THE DEPART-
 MENT'S WRITTEN REQUEST, SUBMIT TO AND COOPERATE WITH ANY AND ALL REMEDI-
 AL MEASURES DEEMED NECESSARY BY THE DEPARTMENT FOR  THE  MITIGATION  AND
 CLEANUP OF SOLID WASTE. THE DEPARTMENT MAY IMPLEMENT ALL NECESSARY MEAS-

 S. 2008--A                         135                        A. 3008--A

 URES  TO  MITIGATE  AND  CLEANUP  THE  SOLID WASTE SITE AFTER MAKING ALL
 REASONABLE EFFORTS TO IDENTIFY AND COMPEL THE OWNER OR OPERATOR TO COOP-
 ERATE WITH THE DEPARTMENT. THE DEPARTMENT IS NOT REQUIRED TO COMMENCE  A
 HEARING OR ISSUE AN ORDER PRIOR TO USING MONEYS FROM THE SOLID WASTE AND
 DRINKING WATER RESPONSE ACCOUNT.
   3.  ALL NECESSARY AND REASONABLE EXPENSES OF MITIGATION AND CLEANUP OF
 A SOLID WASTE SITE SHALL BE PAID BY THE PERSON  OR  PERSONS  WHO  OWNED,
 OPERATED OR MAINTAINED THE SOLID WASTE SITE EXCEPT AS PROVIDED IN SUBDI-
 VISION  FOUR OF THIS SECTION, OR FROM THE SOLID WASTE AND DRINKING WATER
 RESPONSE ACCOUNT AND SHALL BE A DEBT RECOVERABLE BY THE STATE  FROM  ALL
 PERSONS  WHO  OWNED,  OPERATED OR MAINTAINED THE SOLID WASTE SITE, AND A
 LIEN MAY BE IMPOSED UPON REAL PROPERTY PURSUANT TO  SUBDIVISION  SIXTEEN
 OF  SECTION NINETY-SEVEN-B OF THE STATE FINANCE LAW, AND A CHARGE MAY BE
 PLACED ON THE PREMISES UPON WHICH THE SOLID WASTE SITE IS MAINTAINED AND
 UPON ANY REAL OR PERSONAL PROPERTY, EQUIPMENT, VEHICLES,  AND  INVENTORY
 CONTROLLED  BY SUCH PERSON OR PERSONS. MONEYS RECOVERED SHALL BE PAID TO
 THE SOLID WASTE AND DRINKING WATER RESPONSE ACCOUNT.
   4. A. THE DEPARTMENT SHALL MAKE ALL REASONABLE EFFORTS TO RECOVER  THE
 FULL  AMOUNT  OF  ANY  FUNDS  EXPENDED FROM THE SOLID WASTE AND DRINKING
 WATER RESPONSE ACCOUNT FOR MITIGATION AND CLEANUP THROUGH LITIGATION  OR
 COOPERATIVE  AGREEMENTS.  ANY  AND ALL MONEYS RECOVERED, REPAID OR REIM-
 BURSED PURSUANT TO THIS SECTION SHALL BE DEPOSITED WITH THE  COMPTROLLER
 AND CREDITED TO SUCH FUND.
   B.  WHEN A MUNICIPALITY DEVELOPS AND IMPLEMENTS A PLAN TO INVESTIGATE,
 MITIGATE AND CLEANUP A SOLID WASTE SITE, AS APPROVED BY THE  DEPARTMENT,
 FOR  A  SITE WHICH IS OWNED OR HAS BEEN OPERATED BY SUCH MUNICIPALITY OR
 WHEN THE DEPARTMENT, PURSUANT  TO  AN  AGREEMENT  WITH  A  MUNICIPALITY,
 DEVELOPS AND IMPLEMENTS SUCH A PLAN, THE COMMISSIONER SHALL, IN THE NAME
 OF  THE  STATE,  AGREE IN SUCH AGREEMENT TO PROVIDE FROM THE SOLID WASTE
 AND DRINKING WATER RESPONSE ACCOUNT, WITHIN THE LIMITATIONS OF APPROPRI-
 ATIONS  THEREFOR,  SEVENTY-FIVE  PERCENT  OF  THE  ELIGIBLE  DESIGN  AND
 CONSTRUCTION COSTS OF SUCH PROGRAM WHICH ARE NOT RECOVERED FROM OR REIM-
 BURSED OR PAID BY A RESPONSIBLE PARTY OR THE FEDERAL GOVERNMENT.
   5.  THE  DEPARTMENT  SHALL HAVE THE AUTHORITY TO ENTER ALL SOLID WASTE
 SITES FOR THE PURPOSE OF INVESTIGATION, MITIGATION AND CLEANUP.
 § 27-1205. MITIGATION OF CONTAMINANTS IN DRINKING WATER.
   1. WHENEVER THE COMMISSIONER OF HEALTH HAS  REQUIRED  A  PUBLIC  WATER
 SYSTEM  TO  TAKE  ACTION  TO REDUCE EXPOSURE TO CONTAMINANTS PURSUANT TO
 SECTION ELEVEN HUNDRED TWELVE OF THE PUBLIC HEALTH LAW, OR AT  ANY  TIME
 UPON  THE  REQUEST  OF  THE  COMMISSIONER  OF HEALTH, THE DEPARTMENT MAY
 UNDERTAKE ALL REASONABLE AND NECESSARY  MEASURES  TO  ENSURE  THAT  SAFE
 DRINKING WATER IS EXPEDITIOUSLY MADE AVAILABLE TO ALL PEOPLE IN ANY AREA
 OF  THE  STATE  IN WHICH CONTAMINATION IS KNOWN TO BE PRESENT. SUCH AREA
 SHALL INCLUDE, AT A MINIMUM, ALL PROPERTIES SERVED BY THE  WATER  SYSTEM
 AND  ANY LAND AND ANY SURFACE OR UNDERGROUND WATER SOURCES IDENTIFIED BY
 THE DEPARTMENT OR DEPARTMENT OF HEALTH AS CAUSING OR CONTRIBUTING TO THE
 CONTAMINATION.  THE DEPARTMENT'S MEASURES MAY INCLUDE  THE  INSTALLATION
 OF  TREATMENT  SYSTEMS,  INCLUDING  BUT  NOT  LIMITED TO INSTALLATION OF
 ONSITE WATER SUPPLIES, OR THE  PROVISION  OF  ALTERNATIVE  WATER  SUPPLY
 SOURCES TO ENSURE THAT WATER MEETS APPLICABLE MAXIMUM CONTAMINANT LEVELS
 OR OTHER THRESHOLD CONCENTRATIONS SET BY THE DEPARTMENT OF HEALTH.
   2.  IF  THE DEPARTMENT, IN CONSULTATION WITH THE DEPARTMENT OF HEALTH,
 IS ABLE TO IDENTIFY A SOURCE OF CONTAMINATION WHICH CAUSED  OR  CONTRIB-
 UTED  TO CONTAMINATION, THE DEPARTMENT SHALL REQUIRE THE OWNER OR OPERA-
 TOR OF THE SOURCE OF CONTAMINATION TO INVESTIGATE, DEVELOP AND IMPLEMENT
 A PLAN TO REMEDIATE THE SOURCE OF CONTAMINATION.

 S. 2008--A                         136                        A. 3008--A
 
   3. THE DEPARTMENT SHALL MAKE ALL REASONABLE  EFFORTS  TO  RECOVER  THE
 FULL  AMOUNT  OF  ANY  FUNDS  EXPENDED FROM THE SOLID WASTE AND DRINKING
 WATER RESPONSE ACCOUNT FOR A DRINKING WATER RESPONSE THROUGH  LITIGATION
 OR  COOPERATIVE  AGREEMENTS.    ANY  AND ALL MONEYS RECOVERED, REPAID OR
 REIMBURSED  PURSUANT  TO  THIS SECTION SHALL BE DEPOSITED WITH THE COMP-
 TROLLER AND CREDITED TO SUCH ACCOUNT.
   A. WHEN A MUNICIPALITY DEVELOPS AND IMPLEMENTS A PLAN  TO  RESPOND  TO
 DRINKING  WATER CONTAMINATION, DETERMINED PURSUANT TO SUBDIVISION ONE OF
 THIS SECTION, AND THE PLAN IS APPROVED BY THE  DEPARTMENT,  FOR  A  SITE
 WHICH  IS  OWNED  OR  HAS BEEN OPERATED BY SUCH MUNICIPALITY OR WHEN THE
 DEPARTMENT, PURSUANT TO AN AGREEMENT WITH A MUNICIPALITY,  DEVELOPS  AND
 IMPLEMENTS  SUCH  A  PLAN,  THE  COMMISSIONER  SHALL, IN THE NAME OF THE
 STATE, AGREE IN SUCH AGREEMENT TO  PROVIDE  FROM  THE  SOLID  WASTE  AND
 DRINKING  WATER  RESPONSE  ACCOUNT,  WITHIN THE LIMITATIONS OF APPROPRI-
 ATIONS  THEREFOR,  SEVENTY-FIVE  PERCENT  OF  THE  ELIGIBLE  DESIGN  AND
 CONSTRUCTION  COSTS  OF SUCH PROGRAM AND WHICH ARE NOT RECOVERED FROM OR
 REIMBURSED OR PAID BY A RESPONSIBLE PARTY OR THE FEDERAL GOVERNMENT.
 § 27-1207. USE AND REPORTING OF SOLID WASTE AND DRINKING WATER  RESPONSE
              ACCOUNT.
   1.  THE  SOLID WASTE AND DRINKING WATER RESPONSE ACCOUNT SHALL BE MADE
 AVAILABLE TO THE DEPARTMENT FOR THE FOLLOWING PURPOSES:
   A. ENUMERATION AND ASSESSMENT OF SOLID WASTE SITES;
   B. INVESTIGATION AND ENVIRONMENTAL  CHARACTERIZATION  OF  SOLID  WASTE
 SITES, INCLUDING ENVIRONMENTAL SAMPLING;
   C. MITIGATION AND CLEANUP OF SOLID WASTE SITES;
   D. MITIGATION OF DRINKING WATER CONTAMINATION;
   E. MONITORING OF SOLID WASTE SITES; AND
   F. ADMINISTRATION AND ENFORCEMENT OF THE REQUIREMENTS OF THIS TITLE.
   2.  ON  OR  BEFORE JULY FIRST, TWO THOUSAND NINETEEN AND JULY FIRST OF
 EACH SUCCEEDING YEAR, THE DEPARTMENT SHALL REPORT ON THE STATUS  OF  THE
 PROGRAM.
 § 27-1209. RULES AND REGULATIONS.
   THE  COMMISSIONER  SHALL  HAVE THE POWER TO PROMULGATE RULES AND REGU-
 LATIONS NECESSARY AND APPROPRIATE TO CARRY  OUT  THE  PURPOSES  OF  THIS
 TITLE.
   § 5. Subdivisions 1, 2 and 6 and paragraphs (i) and (j) of subdivision
 3 of section 97-b of the state finance law, subdivision 1 as amended and
 paragraph  (j) of subdivision 3 as added by section 4 of part I of chap-
 ter 1 of the laws of 2003, subdivision 2 as amended by section 5 of part
 X of chapter 58 of the laws of 2015, paragraph (i) of subdivision  3  as
 amended by section 1 of part R of chapter 59 of the laws of 2007, subdi-
 vision 6 as amended by chapter 38 of the laws of 1985, are amended and a
 new paragraph (k) is added to subdivision 3 to read as follows:
   1. There is hereby established in the custody of the state comptroller
 a nonlapsing revolving fund to be known as the "hazardous waste remedial
 fund",  which  shall  consist of [a "site investigation and construction
 account",] an "industry fee transfer account", an "environmental  resto-
 ration  project  account",  "hazardous  waste  cleanup account", [and] a
 "hazardous waste remediation oversight and  assistance  account"  AND  A
 "SOLID WASTE AND DRINKING WATER RESPONSE ACCOUNT".
   2. Such fund shall consist of all of the following:
   (a) [moneys appropriated for transfer to the fund's site investigation
 and  construction  account;  (b) all fines and other sums accumulated in
 the fund prior to April first, nineteen hundred eighty-eight pursuant to
 section 71-2725 of the environmental conservation law for deposit in the
 fund's site investigation and  construction  account;  (c)]  all  moneys

 S. 2008--A                         137                        A. 3008--A
 
 collected or received by the department of taxation and finance pursuant
 to  section 27-0923 of the environmental conservation law for deposit in
 the fund's industry fee transfer account; [(d)] (B) all moneys paid into
 the  fund  pursuant to section 72-0201 of the environmental conservation
 law which shall  be  deposited  in  the  fund's  industry  fee  transfer
 account;  [(e)]  (C) all moneys paid into the fund pursuant to paragraph
 (b) of subdivision one of section one hundred eighty-six of the  naviga-
 tion  law  which  shall be deposited in the fund's industry fee transfer
 account; [(f)] (D) all [monies] MONEYS recovered under sections 56-0503,
 56-0505 and 56-0507 of  the  environmental  conservation  law  into  the
 fund's  environmental  restoration  project  account; [(g)] (E) all fees
 paid into the fund pursuant to  section  72-0402  of  the  environmental
 conservation  law  which  shall  be deposited in the fund's industry fee
 transfer account; [(h)]  (F)  payments  received  for  all  state  costs
 incurred  in negotiating and overseeing the implementation of brownfield
 site cleanup agreements pursuant to title fourteen  of  article  twenty-
 seven  of  the  environmental conservation law shall be deposited in the
 hazardous waste remediation oversight and assistance  account;  (G)  ALL
 MONEYS RECOVERED PURSUANT TO TITLE TWELVE OF ARTICLE TWENTY-SEVEN OF THE
 ENVIRONMENTAL  CONSERVATION LAW INTO THE FUND'S SOLID WASTE AND DRINKING
 WATER RESPONSE ACCOUNT and [(i)] (H) other  moneys  credited  or  trans-
 ferred  thereto  from any other fund or source for deposit in the fund's
 [site investigation and construction] HAZARDOUS WASTE CLEANUP account.
   (i) with respect to moneys in the hazardous  waste  remediation  over-
 sight and assistance account, non-bondable costs associated with hazard-
 ous  waste  remediation  projects. Such costs shall be limited to agency
 staff costs associated with the administration of state  assistance  for
 brownfield  opportunity areas pursuant to section nine hundred seventy-r
 of the general municipal law, agency staff  costs  associated  with  the
 administration  of  technical assistance grants pursuant to titles thir-
 teen and fourteen of article twenty-seven of the environmental conserva-
 tion law, and costs of  the  department  of  environmental  conservation
 related  to the geographic information system required by section 3-0315
 of the environmental conservation law; [and]
   (j) with respect to moneys in the hazardous  waste  remediation  over-
 sight  and  assistance  account, technical assistance grants pursuant to
 titles thirteen and fourteen of article  twenty-seven  of  the  environ-
 mental conservation law[.]; AND
   (K)  WITH  RESPECT  TO  MONEYS  IN  THE SOLID WASTE AND DRINKING WATER
 RESPONSE ACCOUNT, WHEN ALLOCATED, SHALL BE AVAILABLE TO  THE  DEPARTMENT
 OF ENVIRONMENTAL CONSERVATION TO UNDERTAKE MITIGATION AND CLEANUP AS THE
 DEPARTMENT  OF ENVIRONMENTAL CONSERVATION MAY DETERMINE NECESSARY DUE TO
 ENVIRONMENTAL CONDITIONS RELATED TO A SOLID WASTE SITE PURSUANT TO TITLE
 TWELVE OF ARTICLE TWENTY-SEVEN OF  THE  ENVIRONMENTAL  CONSERVATION  LAW
 WHICH  INDICATES THAT CONDITIONS ON SUCH PROPERTY ARE IMPAIRING DRINKING
 WATER QUALITY, GROUND WATER  QUALITY  OR  CREATING  OTHER  ENVIRONMENTAL
 CONTAMINATION  AND  TO  ENSURE  THE  PROVISION OF SAFE DRINKING WATER IN
 AREAS DETERMINED TO HAVE DRINKING WATER CONTAMINATION BY THE  DEPARTMENT
 OF HEALTH.
   6.  The  commissioner  of the department of environmental conservation
 shall make all reasonable efforts to recover  the  full  amount  of  any
 funds expended from the fund pursuant to paragraph (a) AND PARAGRAPH (K)
 of  subdivision  three of this section through litigation or cooperative
 agreements with responsible persons. Any and  all  moneys  recovered  or
 reimbursed  pursuant  to  this  section  through voluntary agreements or

 S. 2008--A                         138                        A. 3008--A
 
 court orders shall be deposited with the comptroller and credited to the
 account of such fund from which such expenditures were made.
   §  6. Section 97-b of the state finance law is amended by adding a new
 subdivision 16 to read as follows:
   16. (A) ALL COSTS AND DAMAGES FOR WHICH A  PERSON  IS  LIABLE  TO  THE
 STATE  OF  NEW  YORK UNDER TITLES TWELVE AND THIRTEEN OF ARTICLE TWENTY-
 SEVEN OF THE ENVIRONMENTAL CONSERVATION LAW SHALL CONSTITUTE A  LIEN  IN
 FAVOR  OF  THE  STATE UPON ALL REAL PROPERTY AND RIGHTS TO SUCH PROPERTY
 WHICH: (I) BELONGS TO SUCH PERSON; AND (II) ARE SUBJECT TO MITIGATION OR
 CLEANUP PURSUANT TO TITLE TWELVE OF ARTICLE TWENTY-SEVEN OF THE ENVIRON-
 MENTAL CONSERVATION LAW OR AN INACTIVE  HAZARDOUS  WASTE  DISPOSAL  SITE
 REMEDIAL  PROGRAM  PURSUANT TO TITLE THIRTEEN OF ARTICLE TWENTY-SEVEN OF
 THE ENVIRONMENTAL CONSERVATION LAW.
   (B) THE LIEN IMPOSED BY THIS SUBDIVISION SHALL ARISE AT THE  LATER  OF
 THE  FOLLOWING:  (I) THE TIME COSTS ARE FIRST INCURRED BY THE STATE WITH
 RESPECT TO A RESPONSE ACTION PURSUANT TO TITLES TWELVE AND  THIRTEEN  OF
 ARTICLE  TWENTY-SEVEN OF THE ENVIRONMENTAL CONSERVATION LAW; OR (II) THE
 TIME THAT THE PERSON REFERRED TO IN PARAGRAPH (A) OF THIS SUBDIVISION IS
 PROVIDED (BY CERTIFIED OR REGISTERED MAIL) WRITTEN NOTICE  OF  POTENTIAL
 LIABILITY.  SUCH  LIEN SHALL CONTINUE UNTIL THE LIABILITY FOR THE COSTS,
 OR A JUDGMENT AGAINST THE PERSON  ARISING  OUT  OF  SUCH  LIABILITY,  IS
 SATISFIED, BECOMES UNENFORCEABLE, IS OTHERWISE VACATED BY COURT ORDER OR
 IS  RELEASED  BY  THE COMMISSIONER OF ENVIRONMENTAL CONSERVATION WHERE A
 LEGALLY ENFORCEABLE AGREEMENT SATISFACTORY TO THE COMMISSIONER HAS  BEEN
 EXECUTED  RELATING  TO THE CLEANUP AND REMOVAL COSTS AND DAMAGE COSTS OR
 REIMBURSING THE HAZARDOUS WASTE REMEDIAL FUND FOR  CLEANUP  AND  REMOVAL
 COSTS  AND DAMAGE COSTS, OR THE ATTACHMENT OR ENFORCEMENT OF THE LIEN IS
 DETERMINED BY THE COMMISSIONER NOT TO BE IN THE PUBLIC INTEREST.
   (C) THE LIEN SHALL STATE: (I) THAT THE LIENOR IS THE  HAZARDOUS  WASTE
 REMEDIAL  FUND;  (II)  THE  NAME OF RECORD OWNER OF THE REAL PROPERTY ON
 WHICH THE LIEN HAS ATTACHED; (III) THE  REAL  PROPERTY  SUBJECT  TO  THE
 LIEN,  WITH  A  DESCRIPTION  THEREOF SUFFICIENT FOR IDENTIFICATION; (IV)
 THAT THE REAL PROPERTY DESCRIBED IN THE NOTICE IS OR HAS BEEN SUBJECT TO
 MITIGATION OR CLEANUP PURSUANT TO TITLE TWELVE OF  ARTICLE  TWENTY-SEVEN
 OF  THE  ENVIRONMENTAL  CONSERVATION  LAW OR AN INACTIVE HAZARDOUS WASTE
 DISPOSAL SITE REMEDIAL PROGRAM PURSUANT TO  TITLE  THIRTEEN  OF  ARTICLE
 TWENTY-SEVEN  OF  THE ENVIRONMENTAL CONSERVATION LAW AND THAT COSTS HAVE
 BEEN INCURRED BY THE LIENOR AS A RESULT OF SUCH ACTIVITIES; (V) THAT THE
 OWNER IS POTENTIALLY LIABLE FOR COSTS; AND (VI) THAT A LIEN HAS ATTACHED
 TO THE DESCRIBED REAL PROPERTY.
   (D) THE LIEN IMPOSED BY THIS  SUBDIVISION  SHALL  BE  SUBJECT  TO  THE
 RIGHTS OF ANY PURCHASER ENTITLED TO THE AFFIRMATIVE DEFENSE SET FORTH IN
 SUBPARAGRAPH  THREE  OF  PARAGRAPH  (A)  OF  SUBDIVISION FOUR OF SECTION
 27-1323 OF THE ENVIRONMENTAL CONSERVATION  LAW,  HOLDER  OF  A  SECURITY
 INTEREST,  OR  JUDGMENT  LIEN CREDITOR WHOSE INTEREST IS PERFECTED UNDER
 NEW YORK STATE LAW BEFORE NOTICE OF THE LIEN HAS BEEN FILED PURSUANT  TO
 PARAGRAPH (E) OF THIS SUBDIVISION.
   (E) A NOTICE OF LIEN IMPOSED BY THIS SUBDIVISION SHALL BE FILED PURSU-
 ANT TO THE REQUIREMENTS OF SECTION ONE HUNDRED EIGHTY-ONE-C OF THE NAVI-
 GATION  LAW;  PROVIDED  HOWEVER,  THAT  A  COPY OF THE NOTICE OF LIEN IS
 SERVED UPON THE OWNER OF THE  REAL  PROPERTY  SUBJECT  TO  THE  LIEN  IN
 ACCORDANCE WITH THE PROVISIONS OF SECTION ELEVEN OF THE LIEN LAW.
   (F)  THE  COSTS CONSTITUTING THE LIEN MAY BE RECOVERED IN AN ACTION IN
 REM IN A COURT OF COMPETENT JURISDICTION. NOTHING  IN  THIS  SUBDIVISION
 SHALL  AFFECT  THE  RIGHT  OF  THE  STATE TO BRING AN ACTION AGAINST ANY
 PERSON TO RECOVER ALL COSTS AND DAMAGES FOR WHICH SUCH PERSON IS  LIABLE

 S. 2008--A                         139                        A. 3008--A
 
 UNDER TITLES TWELVE AND THIRTEEN OF ARTICLE TWENTY-SEVEN OF THE ENVIRON-
 MENTAL CONSERVATION LAW.
   §  7.  The  public  authorities law is amended by adding a new section
 1285-s to read as follows:
   § 1285-S. NEW YORK STATE REGIONAL WATER INFRASTRUCTURE PROJECTS.    1.
 FOR  PURPOSES  OF  THIS  SECTION, "MUNICIPALITY" MEANS ANY COUNTY, CITY,
 TOWN,  VILLAGE,  DISTRICT  CORPORATION,  COUNTY  OR   TOWN   IMPROVEMENT
 DISTRICT, ANY PUBLIC BENEFIT CORPORATION OR PUBLIC AUTHORITY ESTABLISHED
 PURSUANT  TO  THE LAWS OF NEW YORK OR ANY AGENCY OF NEW YORK STATE WHICH
 IS EMPOWERED TO CONSTRUCT AND OPERATE A WASTE WATER  OR  DRINKING  WATER
 INFRASTRUCTURE  PROJECT,  OR  ANY TWO OR MORE OF THE FOREGOING WHICH ARE
 ACTING JOINTLY IN CONNECTION WITH SUCH A PROJECT.
   2. (A) THE CORPORATION SHALL ESTABLISH, WITH  FUNDS  APPROPRIATED  FOR
 SUCH  PURPOSE,  A  NEW  YORK  STATE REGIONAL WATER INFRASTRUCTURE GRANTS
 PROGRAM TO PROVIDE STATE ASSISTANCE TO MUNICIPALITIES  FOR  WASTE  WATER
 AND  DRINKING  WATER INFRASTRUCTURE PROJECTS THAT HAVE A REGIONAL IMPACT
 OR DEMONSTRATED EFFICIENCIES. SUCH REGIONAL PROJECTS  SHALL  BENEFIT  OR
 SERVE  MULTIPLE  MUNICIPALITIES,  AND MAY INCLUDE SHARED INFRASTRUCTURE,
 CONSOLIDATION OR INTERCONNECTION OF SYSTEMS OF MULTIPLE  MUNICIPALITIES,
 OR PROJECTS THAT OTHERWISE ACHIEVE EFFICIENCIES.
   (B)  A  MUNICIPALITY  MAY  MAKE  AN  APPLICATION  FOR A REGIONAL WATER
 INFRASTRUCTURE GRANT IN A MANNER, FORM AND TIMEFRAME AND CONTAINING SUCH
 INFORMATION AS  THE  CORPORATION  MAY  REQUIRE  PROVIDED  HOWEVER,  SUCH
 REQUIREMENTS  SHALL  NOT  INCLUDE A REQUIREMENT FOR PRIOR LISTING ON THE
 INTENDED USE PLAN.
   3. MONEYS FOR THE REGIONAL WATER INFRASTRUCTURE GRANTS  PROGRAM  SHALL
 BE  SEGREGATED  FROM  ALL OTHER FUNDS OF OR IN THE CUSTODY OF THE CORPO-
 RATION AND SHALL ONLY BE USED TO PROVIDE  STATE  ASSISTANCE  TO  MUNICI-
 PALITIES  IN  ACCORDANCE  WITH  THE  PROVISIONS  OF  THIS SECTION AND TO
 PROVIDE FOR THE ADMINISTRATIVE AND MANAGEMENT COSTS OF THE PROGRAM.
   4. MONEYS FOR THE REGIONAL WATER INFRASTRUCTURE GRANTS PROGRAM MAY  BE
 INVESTED AS PROVIDED IN SUBDIVISION SIX OF SECTION TWELVE HUNDRED EIGHT-
 Y-FIVE-J OF THIS TITLE.
   5.  CONTRACTS  FOR  THE  CONSTRUCTION  OF PROJECTS FINANCED WITH STATE
 ASSISTANCE MADE AVAILABLE PURSUANT TO THIS SECTION SHALL BE  SUBJECT  TO
 THE  REQUIREMENTS  OF  SECTION  TWO  HUNDRED TWENTY OF THE LABOR LAW AND
 SHALL BE CONSIDERED "STATE CONTRACTS" SUBJECT TO  THE  REQUIREMENTS  AND
 PROVISIONS OF ARTICLE FIFTEEN-A OF THE EXECUTIVE LAW.
   § 8. Section 1285-q of the public authorities law, as added by section
 6  of  part  I of chapter 1 of the laws of 2003, subdivisions 1 and 3 as
 amended by section 43 of part BB of chapter 56 of the laws of  2015,  is
 amended to read as follows:
   §  1285-q.  Financing  of  hazardous  waste site remediation AND SOLID
 WASTE AND DRINKING WATER RESPONSE SITE projects. In order to  effectuate
 the  purposes  of  this  title, the corporation shall have the following
 additional special powers:
   1. Subject to chapter fifty-nine of the  laws  of  two  thousand,  but
 notwithstanding any other provisions of law to the contrary, in order to
 assist the corporation in undertaking the administration and the financ-
 ing  of  hazardous  waste  site  remediation projects for payment of the
 state's share of the costs of the remediation of hazardous  waste  sites
 AND  SOLID  WASTE  AND DRINKING WATER RESPONSE SITES, in accordance with
 [title] TITLES TWELVE AND thirteen of article twenty-seven of the  envi-
 ronmental  conservation  law  and  section  ninety-seven-b  of the state
 finance law, and for payment of state costs associated with the  remedi-
 ation  of  offsite contamination at significant threat sites as provided

 S. 2008--A                         140                        A. 3008--A
 
 in section 27-1411 of the environmental conservation law, and  beginning
 in  state  fiscal  year  two thousand fifteen - two thousand sixteen for
 environmental restoration projects pursuant to  title  five  of  article
 fifty-six  of  the  environmental conservation law provided that funding
 for such projects shall not exceed ten percent of the funding  appropri-
 ated  for  the  purposes  of  financing hazardous waste site remediation
 projects, pursuant to [title] TITLES  TWELVE  AND  thirteen  of  article
 twenty-seven  of  the environmental conservation law in any state fiscal
 year pursuant to capital appropriations made to the department of  envi-
 ronmental  conservation,  the director of the division of budget and the
 corporation are each authorized  to  enter  into  one  or  more  service
 contracts,  none  of  which  shall exceed twenty years in duration, upon
 such terms and conditions as the director and the corporation may agree,
 so as to annually provide to the corporation in the aggregate, a sum not
 to exceed the annual debt service payments and related expenses required
 for any bonds and notes authorized pursuant to  section  twelve  hundred
 ninety of this title. Any service contract entered into pursuant to this
 section shall provide that the obligation of the state to fund or to pay
 the  amounts  therein  provided  for  shall not constitute a debt of the
 state within the meaning of any constitutional  or  statutory  provision
 and shall be deemed executory only to the extent of moneys available for
 such  purposes,  subject to annual appropriation by the legislature. Any
 such service contract or any payments made or to be made thereunder  may
 be assigned and pledged by the corporation as security for its bonds and
 notes,  as  authorized pursuant to section twelve hundred ninety of this
 title.
   2. The comptroller is hereby authorized to  receive  from  the  corpo-
 ration  any  portion of bond proceeds paid to provide funds for or reim-
 burse the state for its costs associated with any hazardous  waste  site
 remediation  AND SOLID WASTE AND DRINKING WATER RESPONSE projects and to
 credit such amounts to the capital projects fund or any other  appropri-
 ate fund.
   3.  The  maximum amount of bonds that may be issued for the purpose of
 financing hazardous waste site remediation AND SOLID WASTE AND  DRINKING
 WATER  RESPONSE  projects and environmental restoration projects author-
 ized by this section shall not exceed two billion  two  hundred  million
 dollars  and  shall not exceed one hundred million dollars for appropri-
 ations enacted for any state fiscal year, provided that  the  bonds  not
 issued for such appropriations may be issued pursuant to reappropriation
 in  subsequent  fiscal years. No bonds shall be issued for the repayment
 of any new appropriation enacted after March thirty-first, two  thousand
 twenty-six  for  hazardous waste site remediation projects authorized by
 this section. Amounts authorized to be issued by this section  shall  be
 exclusive  of  bonds  issued to fund any debt service reserve funds, pay
 costs of issuance of such bonds, and bonds or notes issued to refund  or
 otherwise  repay  bonds or notes previously issued. Such bonds and notes
 of the corporation shall not be a debt of the state, and the state shall
 not be liable thereon, nor shall they be payable out of any funds  other
 than  those  appropriated  by  this  state  to  the corporation for debt
 service and related expenses pursuant to any service contracts  executed
 pursuant  to  subdivision  one of this section, and such bonds and notes
 shall contain on the face thereof a statement to such effect.
   § 9. Subdivision 9 of  section  97-b  of  the  state  finance  law  is
 REPEALED.

 S. 2008--A                         141                        A. 3008--A
 
   §  10. Subdivision 4 of section 52-0303 of the environmental conserva-
 tion law, as added by chapter 512 of the laws of  1986,  is  amended  to
 read as follows:
   4. A provision that in the event that any federal payments and respon-
 sible  party  payments  become  available which were not included in the
 calculation of the state share  pursuant  to  subdivision  two  of  this
 section, the amount of the state share shall be recalculated accordingly
 and  the  municipality shall pay to the state for deposit in the [design
 and construction] HAZARDOUS WASTE CLEANUP account of the hazardous waste
 remedial fund established under  section  ninety-seven-b  of  the  state
 finance  law the amount by which the state payment actually made exceeds
 the recalculated state share.
   § 11. The opening paragraph, and paragraphs i and j of  subdivision  4
 of  section 27-1305 of the environmental conservation law, as amended by
 section 3 of part E of chapter 1 of the laws of  2003,  are  amended  to
 read as follows:
   On or before July first, nineteen hundred eighty-six and July first of
 each  succeeding  year,  the department shall prepare a status report on
 the implementation of the plan, and an update of the  policies,  program
 objectives,  methods  and strategies as outlined in the plan which guide
 the overall inactive hazardous waste site remediation program AND  SOLID
 WASTE  SITE AND DRINKING WATER RESPONSE MITIGATION AND CLEANUP PROGRAMS.
 Such status report shall reflect information available to the department
 as of March thirty-first of each year, and shall include  an  accounting
 of  all  [monies]  MONEYS  expended or encumbered from the environmental
 quality bond act of nineteen hundred eighty-six or the  hazardous  waste
 remedial fund during the preceding fiscal year, such accounting to sepa-
 rately list:
   i.  [monies]  MONEYS  expended  or  encumbered  in  stand-by contracts
 entered into pursuant to section 3-0309 of this chapter and the purposes
 for which these stand-by contracts were entered into; [and]
   j.  MONEYS EXPENDED OR ENCUMBERED PURSUANT TO  TITLE  TWELVE  OF  THIS
 ARTICLE; AND
   K.  an  accounting  of  payments received and payments obligated to be
 received pursuant to this title AND TITLE TWELVE OF THIS ARTICLE, and  a
 report of the department's attempts to secure such obligations.
   §  12.  Subparagraph  (ii)  of paragraph b of subdivision 3 of section
 27-1313 of the environmental conservation law is REPEALED.
   § 13. Paragraph b of subdivision 1 and paragraphs b and f of  subdivi-
 sion  5  of section 27-1313 of the environmental conservation law, para-
 graph b of subdivision 1 as added by section 5 of part E of chapter 1 of
 the laws of 2003, paragraph b as amended by and paragraph f of  subdivi-
 sion  5  as  added by chapter 857 of the laws of 1982, are amended and a
 new subdivision 11 is added to read as follows:
   b. The department shall have the authority to require, AND MAY  UNDER-
 TAKE  DIRECTLY,  the  development and implementation of a department-ap-
 proved inactive hazardous  waste  disposal  site  remedial  program,  IN
 ACCORDANCE WITH SECTION NINETY-SEVEN-B OF THE STATE FINANCE LAW.
   b.  In the event that the commissioner has found that hazardous wastes
 at a site constitute a significant threat to the environment, but  after
 a  reasonable  attempt  to  determine  who  may be responsible is either
 unable to determine who may be responsible, [or] is unable to  locate  a
 person  who may be responsible, OR IS UNABLE AFTER MAKING ALL REASONABLE
 EFFORT TO SECURE VOLUNTARY AGREEMENT TO PAY THE COSTS OF NECESSARY REME-
 DIAL ACTIONS FROM OWNERS OR OPERATORS OR OTHER RESPONSIBLE PERSONS,  the
 department  may  develop  and  implement  an  inactive  hazardous  waste

 S. 2008--A                         142                        A. 3008--A
 
 disposal site remedial program for such  site.  The  commissioner  shall
 make  every  effort,  IN AN ACTION BROUGHT BEFORE A COURT OF APPROPRIATE
 JURISDICTION OR in accordance with the requirements for notice,  hearing
 and review provided for in this title, to secure appropriate relief from
 any person subsequently identified or located who is responsible for the
 disposal of hazardous waste at such site, including, but not limited to,
 development  and  implementation of an inactive hazardous waste disposal
 site remedial program, payment of the cost of such a  program,  recovery
 of  any  reasonable  expenses  incurred  by the state, money damages and
 penalties.
   f. The commissioner shall make every  effort,  IN  AN  ACTION  BROUGHT
 BEFORE  A  COURT  OF  APPROPRIATE JURISDICTION OR in accordance with the
 requirements for notice, hearing and review provided for in  this  title
 to  secure  appropriate  relief  from the owner or operator of such site
 and/or any person responsible for the disposal of  hazardous  wastes  at
 such  site  PURSUANT TO APPLICABLE PRINCIPLES OF STATUTORY OR COMMON LAW
 LIABILITY, including, but not limited to, development and implementation
 of an inactive hazardous waste disposal site remedial  program,  payment
 of  the  cost  of  such  program,  recovery  of  any reasonable expenses
 incurred by the state, money damages and penalties.
   11. A REMEDIAL DECISION BY THE STATE OR THE DEPARTMENT OR  A  RESPONSE
 ACTION  TAKEN  BY THE DEPARTMENT OR ORDERED BY THE DEPARTMENT UNDER THIS
 SECTION SHALL NOT CONSTITUTE A FINAL DECISION OR ORDER UNTIL THE DEPART-
 MENT FILES AN ACTION TO ENFORCE SUCH DECISION OR ORDER OR TO  COLLECT  A
 PENALTY FOR VIOLATION OF SUCH ORDER OR TO RECOVER ITS RESPONSE COSTS.
   §  14. The section heading and subdivision 1 of section 27-1316 of the
 environmental conservation law, as added by section 8 of part E of chap-
 ter 1 of the laws of 2003, are amended to read as follows:
   [Citizen technical] TECHNICAL assistance grants.
   1. The commissioner is authorized to provide, or order a person acting
 under order or on consent, to provide grants  to  any  ELIGIBLE  MUNICI-
 PALITY  OR not-for-profit corporation exempt from taxation under section
 501(c)(3) of the internal revenue code who may be affected by  an  inac-
 tive  hazardous  waste  disposal  site  remedial  program. To qualify to
 receive such assistance, a community group  must  demonstrate  that  its
 membership  represents  the  interests of the community affected by such
 site, and that members', OR IN THE CASE OF A MUNICIPALITY ITS RESIDENTS,
 health, economic well-being or enjoyment of the environment  are  poten-
 tially affected by such site.  AN ELIGIBLE MUNICIPALITY SHALL BE A COUN-
 TY,  CITY,  TOWN, VILLAGE, OR INDIAN TRIBE OR NATION RESIDING WITHIN NEW
 YORK STATE, WITH A POPULATION OF TEN THOUSAND OR LESS, PROVIDED,  HOWEV-
 ER,  THAT  THE  DEPARTMENT MAY MAKE A MUNICIPALITY ELIGIBLE IF IT DETER-
 MINES THAT A MUNICIPALITY IS A HARDSHIP COMMUNITY. A MUNICIPALITY  SHALL
 NOT  BE  ELIGIBLE  FOR  A  GRANT FOR ANY SITE WHICH IS OWNED OR HAS BEEN
 OPERATED BY SUCH MUNICIPALITY. Such grants shall be known  as  technical
 assistance  grants  and  may  be  used to obtain technical assistance in
 interpreting information with regard to the nature of the  hazard  posed
 by  hazardous  waste  located at or emanating from an inactive hazardous
 waste disposal site or sites and the development and  implementation  of
 an  inactive hazardous waste disposal site remedial program or programs.
 Such grants may also be used:
   (a) to advise affected residents on any health assessment; and
   (b) for training funds for the education of interested affected commu-
 nity members OR MUNICIPALITY to enable them to more effectively  partic-
 ipate in the remedy selection process.

 S. 2008--A                         143                        A. 3008--A
 
   Grants  awarded under this section may not be used for the purposes of
 collecting field sampling data, political activity or lobbying  legisla-
 tive bodies.
   §  15. Subdivision 1 of section 27-1321 of the environmental conserva-
 tion law, as amended by section 22 of part G of chapter 58 of  the  laws
 of 2012, is amended to read as follows:
   1.  Notwithstanding  any  other  provision of law to the contrary, any
 person who is, by professional training or  experience  and  attainment,
 qualified  to analyze and interpret matters pertaining to the treatment,
 storage, disposal, or transport  of  hazardous  materials  or  hazardous
 wastes,  and who voluntarily and without expectation of monetary compen-
 sation provides assistance or advice in mitigating  the  effects  of  an
 accidental or threatened discharge of any hazardous materials or hazard-
 ous  wastes,  or  in  preventing,  cleaning up, or disposing of any such
 discharge, shall not be subject to a penalty or to civil  liability  for
 damages  or  injuries  alleged  to  have been sustained by any person or
 entity by reason of an act or omission in the giving of such  assistance
 or advice. For the purposes of this section, the term "hazardous materi-
 als"  shall have the same meaning as that term is defined in regulations
 promulgated by the commissioner of transportation  pursuant  to  section
 fourteen-f  of  the  transportation law, and the term "hazardous wastes"
 shall mean those wastes identified or listed pursuant to SUBDIVISION ONE
 OF section [27-0903] 27-1301 of this article and  any  rules  and  regu-
 lations promulgated thereunder.
   § 16. Subdivision 10 of section 71-2702 of the environmental conserva-
 tion  law,  as  added  by chapter 671 of the laws of 1986, is amended to
 read as follows:
   10. "Substance hazardous to public health, safety or the  environment"
 means any substance which:
   (a)  is  identified  or  listed  as  a  hazardous waste in regulations
 promulgated pursuant to section 27-0903 of this chapter and  all  amend-
 ments  thereto,  regardless  of  whether  at  the  time  of  release the
 substance was actually a waste; [or]
   (b) appears on the list in regulations promulgated pursuant  to  para-
 graph  (a) of subdivision one of section 37-0103 of this chapter and all
 amendments thereto[.];
   (C) IS PETROLEUM; OR
   (D) POSES A PRESENT  OR  POTENTIAL  HAZARD  TO  THE  ENVIRONMENT  WHEN
 IMPROPERLY  TREATED,  STORED,  TRANSPORTED,  DISPOSED  OF,  OR OTHERWISE
 MANAGED.
   § 17. Paragraph a of subdivision 1 of section 71-2725 of the  environ-
 mental conservation law is REPEALED.
   § 18. Subdivision 4 of section 11-b of the soil and water conservation
 districts law, as amended by chapter 538 of the laws of 1996, is amended
 to read as follows:
   4.  Eligible  costs  that  may  be funded pursuant to this section are
 architectural  and  engineering  services,  plans  and   specifications,
 including  watershed  based  or  individual agricultural nonpoint source
 pollution assessments, consultant and legal services, CONSERVATION EASE-
 MENTS AND ASSOCIATED TRANSACTION COSTS SPECIFIC TO TITLE THIRTY-THREE OF
 ARTICLE FIFTEEN OF THE ENVIRONMENTAL CONSERVATION LAW and  other  direct
 expenses related to project implementation.
   §  19. If any clause, sentence, paragraph, section or part of this act
 shall be adjudged by any court of competent jurisdiction to be  invalid,
 such judgment shall not affect, impair or invalidate the remainder ther-
 eof,  but  shall  be  confined in its operation to the clause, sentence,

 S. 2008--A                         144                        A. 3008--A

 paragraph, section or part thereof directly involved in the  controversy
 in which such judgment shall have been rendered.
   § 20. This act shall take effect immediately.
 
                                  PART JJ
 
   Section 1. Paragraph (a) of subdivision 6 of section 92-s of the state
 finance  law,  as amended by chapter 432 of the laws of 1997, is amended
 to read as follows:
   (a) All moneys heretofore and hereafter deposited in the environmental
 protection transfer account shall be transferred by the  comptroller  to
 the solid waste account, the parks, recreation and historic preservation
 account,  THE  CLIMATE  CHANGE  MITIGATION AND ADAPTATION ACCOUNT or the
 open space account upon the request of the director of the budget.
   § 2. Subdivision 5 of section 27-1012 of the  environmental  conserva-
 tion law, as amended by section 6 of part F of chapter 58 of the laws of
 2013, is amended to read as follows:
   5.  All monies collected or received by the department of taxation and
 finance pursuant to this title shall be deposited to the credit  of  the
 comptroller  with such responsible banks, banking houses or trust compa-
 nies as may be designated by the comptroller.  Such  deposits  shall  be
 kept  separate  and apart from all other moneys in the possession of the
 comptroller. The comptroller shall require adequate  security  from  all
 such depositories. Of the total revenue collected, the comptroller shall
 retain the amount determined by the commissioner of taxation and finance
 to  be  necessary  for refunds out of which the comptroller must pay any
 refunds to which a deposit initiator may be  entitled.  After  reserving
 the  amount  to  pay  refunds, the comptroller must, by the tenth day of
 each month, pay into the state treasury to the  credit  of  the  general
 fund  the  revenue deposited under this subdivision during the preceding
 calendar month and remaining to the comptroller's credit on the last day
 of that preceding month; provided, however, that, beginning April first,
 two thousand [thirteen]  FOURTEEN,  and  all  fiscal  years  thereafter,
 [fifteen]  TWENTY-THREE million dollars plus all funds received from the
 payments due each fiscal year  pursuant  to  subdivision  four  of  this
 section in excess of [the amount received from April first, two thousand
 twelve  through  March  thirty-first, two thousand thirteen] ONE HUNDRED
 TWENTY-TWO MILLION TWO HUNDRED THOUSAND DOLLARS, shall be  deposited  to
 the  credit of the environmental protection fund established pursuant to
 section ninety-two-s of the state finance law.
   § 3. This act shall take effect immediately and  shall  be  deemed  to
 have been in full force and effect on and after April 1, 2016.
 
                                  PART KK
 
   Section 1. Approximately 40 percent of the food produced in the United
 States  today goes uneaten. Much of this organic waste is disposed of in
 solid waste landfills, where its  decomposition  accounts  for  over  15
 percent  of  our nation's emissions of methane, a potent greenhouse gas.
 Meanwhile, an estimated 2.8 million New Yorkers are  facing  hunger  and
 food insecurity.  This legislation is designed to address these multiple
 challenges  by:   encouraging the prevention of food waste generation by
 commercial generators and residents; directing the  recovery  of  excess
 edible  food  from  high-volume  commercial  food  waste generators; and
 ensuring that a significant portion of inedible food  waste  from  large

 S. 2008--A                         145                        A. 3008--A
 
 volume  food  waste  generators  is managed in a sustainable manner, and
 does not end up being sent to landfills or incinerators.
   §  2.  Article  27 of the environmental conservation law is amended by
 adding a new title 22 to read as follows:
                                 TITLE 22
                  FOOD DONATION AND FOOD SCRAPS RECYCLING
 SECTION 27-2201. DEFINITIONS.
         27-2203. DESIGNATED FOOD SCRAPS GENERATOR RESPONSIBILITIES.
         27-2205. TRANSPORTER RESPONSIBILITIES.
         27-2207. TRANSFER STATION  OR  OTHER  INTERMEDIARY  RESPONSIBIL-
                    ITIES.
         27-2209. FOOD SCRAPS DISPOSAL PROHIBITION.
         27-2211. DEPARTMENT RESPONSIBILITIES.
         27-2213. REGULATIONS.
         27-2215. EXCLUSIONS.
         27-2217. PREEMPTION AND SEVERABILITY.
 § 27-2201. DEFINITIONS.
   1.  "DESIGNATED FOOD SCRAPS GENERATOR" MEANS A PERSON WHO GENERATES AT
 A SINGLE LOCATION AN ANNUAL AVERAGE OF TWO TONS  PER  WEEK  OR  MORE  OF
 EXCESS  FOOD  AND  FOOD SCRAPS, INCLUDING, BUT NOT LIMITED TO, SUPERMAR-
 KETS, RESTAURANTS, HIGHER EDUCATIONAL INSTITUTIONS, HOTELS, FOOD PROCES-
 SORS, CORRECTIONAL FACILITIES, SPORTS OR ENTERTAINMENT VENUES, HOSPITALS
 AND OTHER HEALTH CARE FACILITIES. FOR A LOCATION WITH MULTIPLE INDEPEND-
 ENT FOOD SERVICE BUSINESSES, SUCH AS A MALL OR COLLEGE CAMPUS, THE ENTI-
 TY RESPONSIBLE FOR CONTRACTING  FOR  SOLID  WASTE  HAULING  SERVICES  IS
 RESPONSIBLE  FOR MANAGING EXCESS FOOD AND FOOD SCRAPS FROM THE INDEPEND-
 ENT BUSINESSES.
   2. "EXCESS FOOD" MEANS EDIBLE FOOD THAT IS NOT SOLD  OR  USED  BY  ITS
 GENERATOR.
   3.  "FOOD  SCRAPS" MEANS INEDIBLE FOOD, TRIMMINGS FROM THE PREPARATION
 OF FOOD, FOOD-SOILED PAPER, AND EDIBLE FOOD THAT IS  NOT  DONATED.  FOOD
 SCRAPS SHALL NOT INCLUDE FOOD FROM RESIDENTIAL SOURCES OR ANY FOOD WHICH
 IS  SUBJECT  TO  A  RECALL  OR SEIZURE DUE TO THE PRESENCE OF PATHOGENS,
 INCLUDING BUT NOT LIMITED TO:  LISTERIA MONOCYTOGENES,  CONFIRMED  CLOS-
 TRIDIUM  BOTULINUM,  E.  COLI 0157:H7 AND ALL SALMONELLA IN READY-TO-EAT
 FOODS.
   4. "ORGANICS RECYCLER" MEANS A  FACILITY  THAT  RECYCLES  FOOD  SCRAPS
 THROUGH  USE AS ANIMAL FEED OR A FEED INGREDIENT, RENDERING, LAND APPLI-
 CATION, COMPOSTING, AEROBIC DIGESTION, ANAEROBIC DIGESTION,  OR  ETHANOL
 PRODUCTION.  ANIMAL  SCRAPS,  FOOD  SOILED PAPER, AND POST-CONSUMER FOOD
 SCRAPS ARE PROHIBITED FOR USE AS ANIMAL FEED OR AS  A  FEED  INGREDIENT.
 THE PRODUCT CREATED FROM FOOD SCRAPS BY A COMPOSTING OR DIGESTION FACIL-
 ITY, OR OTHER TREATMENT SYSTEM, MUST BE USED IN A BENEFICIAL MANNER AS A
 SOIL  AMENDMENT AND SHALL NOT BE COMBUSTED OR LANDFILLED. THE DEPARTMENT
 MAY DESIGNATE OTHER TECHNIQUES OR TECHNOLOGIES BY  REGULATION,  PROVIDED
 THEY DO NOT INCLUDE COMBUSTION OR LANDFILLING.
   5. "PERSON" MEANS ANY INDIVIDUAL, BUSINESS ENTITY, PARTNERSHIP, COMPA-
 NY,  CORPORATION,  NOT-FOR-PROFIT CORPORATION, ASSOCIATION, GOVERNMENTAL
 ENTITY, PUBLIC BENEFIT CORPORATION, PUBLIC AUTHORITY, FIRM, ORGANIZATION
 OR ANY OTHER GROUP OF INDIVIDUALS, OR ANY OFFICER OR EMPLOYEE  OR  AGENT
 THEREOF.
   6. "SINGLE LOCATION" MEANS CONTIGUOUS PROPERTY UNDER COMMON OWNERSHIP,
 WHICH MAY INCLUDE ONE OR MORE BUILDINGS.
 § 27-2203. DESIGNATED FOOD SCRAPS GENERATOR RESPONSIBILITIES.
   1. NO LATER THAN JANUARY FIRST, TWO THOUSAND TWENTY-ONE:

 S. 2008--A                         146                        A. 3008--A
 
   (A)  ALL DESIGNATED FOOD SCRAPS GENERATORS SHALL SEPARATE THEIR EXCESS
 FOOD FOR DONATION FOR HUMAN CONSUMPTION TO THE MAXIMUM EXTENT  PRACTICA-
 BLE,  AND  IN  ACCORDANCE  WITH  APPLICABLE  LAWS, RULES AND REGULATIONS
 RELATED TO FOOD DONATION; AND
   (B)  EXCEPT  AS  PROVIDED  IN  PARAGRAPH (C) OF THIS SUBDIVISION, EACH
 DESIGNATED FOOD SCRAPS GENERATOR THAT IS WITHIN FIFTY MILES OF AN ORGAN-
 ICS RECYCLER, TO THE EXTENT THAT THE RECYCLER HAS CAPACITY TO  ACCEPT  A
 SUBSTANTIAL  PORTION  OR  ALL  OF  THE  GENERATOR'S EXCESS FOOD AND FOOD
 SCRAPS AS DETERMINED BY THE DEPARTMENT ON A YEARLY BASIS, SHALL:
   (I) SEPARATE ITS REMAINING EXCESS FOOD  AND  FOOD  SCRAPS  FROM  OTHER
 SOLID  WASTE  THAT CANNOT BE EFFECTIVELY PROCESSED BY THE ORGANICS RECY-
 CLER THAT WILL BE MANAGING THE MATERIALS. WHENEVER  PRACTICABLE,  EXCESS
 FOOD  AND  FOOD  SCRAPS SHOULD BE REMOVED FROM PACKAGING AT THE POINT OF
 GENERATION OR BE SENT TO A FACILITY THAT CAN REMOVE THE  PACKAGING  FROM
 THE PRODUCT;
   (II)  ENSURE PROPER STORAGE FOR EXCESS FOOD AND FOOD SCRAPS COLLECTION
 ON SITE WHICH SHALL PRECLUDE SUCH MATERIALS  FROM  BECOMING  ODOROUS  OR
 ATTRACTING VECTORS;
   (III)  POST INSTRUCTIONS AND PROVIDE TRAINING FOR EMPLOYEES CONCERNING
 THE PROPER METHODS TO SEPARATE AND STORE EXCESS FOOD  AND  FOOD  SCRAPS;
 AND
   (IV)  OBTAIN  A TRANSPORTER THAT WILL DELIVER ITS EXCESS FOOD AND FOOD
 SCRAPS TO AN ORGANICS RECYCLER, EITHER DIRECTLY OR THROUGH  AN  INTERME-
 DIARY, SELF-HAUL ITS FOOD SCRAPS TO AN ORGANICS RECYCLER, EITHER DIRECT-
 LY  OR  THROUGH  AN  INTERMEDIARY,  OR  PROVIDE  FOR  ORGANICS RECYCLING
 ON-SITE.
   (C) THE PROVISIONS OF PARAGRAPH (B)  OF  THIS  SUBDIVISION  SHALL  NOT
 APPLY  TO ANY DESIGNATED FOOD SCRAPS GENERATOR THAT HAS ALL OF ITS SOLID
 WASTE PROCESSED IN A MIXED SOLID WASTE COMPOSTING OR MIXED  SOLID  WASTE
 ANAEROBIC DIGESTION FACILITY.
   2. ALL DESIGNATED FOOD SCRAPS GENERATORS SHALL SUBMIT AN ANNUAL REPORT
 TO THE DEPARTMENT ON OR BEFORE MARCH FIRST, TWO THOUSAND TWENTY-TWO, AND
 ANNUALLY  THEREAFTER,  IN  AN  ELECTRONIC FORMAT. THE ANNUAL REPORT MUST
 SUMMARIZE THE AMOUNT OF EXCESS FOOD DONATED AND  THE  AMOUNT  OF  EXCESS
 FOOD NOT DONATED, THE AMOUNT OF FOOD SCRAPS RECYCLED, THE ORGANICS RECY-
 CLER OR RECYCLERS AND ASSOCIATED TRANSPORTERS USED, AND ANY OTHER INFOR-
 MATION AS REQUIRED BY THE DEPARTMENT.
   3.  A DESIGNATED FOOD SCRAPS GENERATOR MAY PETITION THE DEPARTMENT FOR
 A TEMPORARY WAIVER FROM SOME OR ALL OF THE REQUIREMENTS OF  THIS  TITLE.
 THE PETITION MUST INCLUDE EVIDENCE OF UNDUE HARDSHIP BASED ON THE UNIQUE
 CIRCUMSTANCES  OF  THE  GENERATOR.  A WAIVER SHALL BE NO LONGER THAN ONE
 YEAR IN DURATION.
 § 27-2205. TRANSPORTER RESPONSIBILITIES.
   1. ANY TRANSPORTER THAT COLLECTS SOURCE-SEPARATED EXCESS FOOD AND FOOD
 SCRAPS FOR RECYCLING FROM A DESIGNATED FOOD SCRAPS GENERATOR SHALL:
   (A) DELIVER COLLECTED EXCESS  FOOD  AND  FOOD  SCRAPS  TO  A  TRANSFER
 STATION  OR  OTHER  INTERMEDIARY  THAT WILL DELIVER SUCH EXCESS FOOD AND
 FOOD SCRAPS TO AN ORGANICS RECYCLER; OR
   (B) DELIVER SUCH FOOD SCRAPS DIRECTLY TO AN ORGANICS RECYCLER.
   2. ANY TRANSPORTER THAT COLLECTS SOURCE-SEPARATED EXCESS FOOD AND FOOD
 SCRAPS FROM A DESIGNATED FOOD SCRAPS GENERATOR SHALL NOT  DELIVER  THOSE
 EXCESS  FOOD  AND FOOD SCRAPS TO A COMBUSTION FACILITY OR A LANDFILL NOR
 COMMINGLE THE MATERIAL WITH ANY OTHER SOLID WASTE UNLESS SUCH WASTE  CAN
 BE PROCESSED BY AN ORGANICS RECYCLER.
 § 27-2207. TRANSFER STATION OR OTHER INTERMEDIARY RESPONSIBILITIES.

 S. 2008--A                         147                        A. 3008--A
 
   ANY  TRANSFER STATION OR OTHER INTERMEDIARY THAT RECEIVES SOURCE-SEPA-
 RATED EXCESS FOOD AND FOOD SCRAPS FROM A DESIGNATED FOOD SCRAPS  GENERA-
 TOR  MUST ENSURE THAT THE FOOD SCRAPS ARE TAKEN TO AN ORGANICS RECYCLER.
 NO TRANSFER STATION OR OTHER INTERMEDIARY  MAY  COMMINGLE  THE  MATERIAL
 WITH  ANY  OTHER  SOLID  WASTE  UNLESS SUCH WASTE CAN BE PROCESSED BY AN
 ORGANICS RECYCLER.
 § 27-2209. FOOD SCRAPS DISPOSAL PROHIBITION.
   SOLID WASTE COMBUSTION  FACILITIES  AND  LANDFILLS  SHALL  NOT  ACCEPT
 SOURCE-SEPARATED EXCESS FOOD AND FOOD SCRAPS FROM DESIGNATED FOOD SCRAPS
 GENERATORS  REQUIRED  TO  SEND  THEIR  EXCESS  FOOD NOT DONATED AND FOOD
 SCRAPS TO AN ORGANICS RECYCLER AS OUTLINED UNDER SECTION 27-2203 OF THIS
 TITLE, EITHER DIRECTLY OR FROM AN INTERMEDIARY, AFTER JANUARY FIRST, TWO
 THOUSAND TWENTY-ONE, UNLESS THE DESIGNATED  FOOD  SCRAPS  GENERATOR  HAS
 RECEIVED  A  TEMPORARY WAIVER UNDER SUBDIVISION THREE OF SECTION 27-2203
 OF THIS TITLE.
 § 27-2211. DEPARTMENT RESPONSIBILITIES.
   1. THE DEPARTMENT  SHALL,  IN  CONSULTATION  WITH  INDUSTRY  REPRESEN-
 TATIVES, PUBLISH ON ITS WEBSITE: (A) THE METHODOLOGY THE DEPARTMENT WILL
 USE  TO  DETERMINE  WHO  IS A DESIGNATED FOOD SCRAP GENERATOR; AND (B) A
 LIST OF ALL DESIGNATED FOOD SCRAPS GENERATORS, ORGANICS  RECYCLERS,  AND
 ALL TRANSPORTERS THAT MANAGE SOURCE-SEPARATED ORGANICS.
   2.  NO  LATER  THAN OCTOBER FIRST, TWO THOUSAND TWENTY, THE DEPARTMENT
 SHALL ASSESS THE CAPACITY OF ORGANIC  RECYCLERS  AND  NOTIFY  DESIGNATED
 FOOD  SCRAPS  GENERATORS  IF  THEY  ARE  REQUIRED  TO  COMPLY  WITH  THE
 PROVISIONS OF PARAGRAPH (B) OF SUBDIVISION ONE  OF  SECTION  27-2203  OF
 THIS TITLE.
   3. THE DEPARTMENT SHALL DEVELOP AND MAKE AVAILABLE EDUCATIONAL MATERI-
 ALS  TO  ASSIST  DESIGNATED  FOOD SCRAPS GENERATORS WITH COMPLIANCE WITH
 THIS TITLE. THE DEPARTMENT SHALL ALSO  DEVELOP  EDUCATION  MATERIALS  ON
 FOOD  WASTE  MINIMIZATION  AND  ENCOURAGE  MUNICIPALITIES TO DISSEMINATE
 THESE MATERIALS BOTH ON THEIR MUNICIPAL WEBSITES AND IN ANY SUCH  FUTURE
 MAILINGS TO THEIR RESIDENTS AS THEY MAY DISTRIBUTE.
 § 27-2213. REGULATIONS.
   THE  DEPARTMENT  MAY  PROMULGATE  RULES  AND  REGULATIONS NECESSARY TO
 IMPLEMENT THE PROVISIONS OF THIS TITLE. AT  A  MINIMUM,  THE  DEPARTMENT
 SHALL  PROMULGATE  RULES  AND  REGULATIONS THAT SET FORTH HOW DESIGNATED
 FOOD SCRAPS GENERATORS SHALL COMPLY WITH THE PROVISIONS OF PARAGRAPH (A)
 AND SUBPARAGRAPH (I) OF PARAGRAPH (B)  OF  SUBDIVISION  ONE  OF  SECTION
 27-2203 OF THIS TITLE.
 § 27-2215. EXCLUSIONS.
   1. THIS TITLE SHALL NOT APPLY TO ANY DESIGNATED FOOD SCRAPS GENERATORS
 LOCATED  IN  A CITY WITH A POPULATION OF ONE MILLION OR MORE WHICH HAS A
 LOCAL LAW, ORDINANCE OR REGULATION IN PLACE WHICH REQUIRES THE DIVERSION
 OF EXCESS FOOD AND FOOD SCRAPS FROM DISPOSAL.
   2. THIS TITLE DOES NOT APPLY TO ELEMENTARY AND SECONDARY SCHOOLS.
 § 27-2217. PREEMPTION AND SEVERABILITY.
   1. ANY PROVISION OF ANY LOCAL LAW  OR  ORDINANCE,  OR  ANY  REGULATION
 PROMULGATED  THERETO,  GOVERNING THE RECYCLING OF FOOD SCRAPS SHALL UPON
 THE EFFECTIVE DATE OF THIS TITLE BE PREEMPTED, EXCEPT IN A CITY  WITH  A
 POPULATION  OF  ONE MILLION OF MORE.  HOWEVER, LOCAL LAWS OR ORDINANCES,
 OR PARTS THEREOF, AFFECTING THE RECYCLING OF FOOD  SCRAPS  THAT  INCLUDE
 GENERATORS NOT COVERED BY THIS TITLE SHALL NOT BE PREEMPTED.
   2.  THE PROVISIONS OF THIS TITLE SHALL BE SEVERABLE AND IF ANY PORTION
 THEREOF OR THE APPLICABILITY THEREOF TO ANY PERSON OR  CIRCUMSTANCES  IS
 HELD  INVALID,  THE  REMAINDER OF THIS TITLE AND THE APPLICATION THEREOF
 SHALL NOT BE AFFECTED THEREBY.

 S. 2008--A                         148                        A. 3008--A
 
   § 3. This act shall take effect immediately.
 
                                  PART LL
 
   Section  1.  The  public  authorities  law  is amended by adding a new
 section 1005-d to read as follows:
   § 1005-D. SHARING EMPLOYEES, SERVICES  AND  RESOURCES;  INDEMNITY  AND
 DEFENSE.    1. FOR THE PURPOSES OF THIS SECTION, THE FOLLOWING WORDS AND
 TERMS SHALL HAVE THE FOLLOWING MEANINGS  UNLESS  THE  CONTEXT  INDICATES
 ANOTHER MEANING OR INTENT:
   (A) "DEPARTMENT" MEANS THE DEPARTMENT OF TRANSPORTATION.
   (B) "SERVICES AND ASSISTANCE" INCLUDES BUT IS NOT LIMITED TO ENGINEER-
 ING  SERVICES;  ENVIRONMENTAL  SAMPLING AND TESTING; FACILITY, PROPERTY,
 INFRASTRUCTURE AND EQUIPMENT MAINTENANCE; AND  EQUIPMENT  AND  MATERIALS
 STORAGE.
   2.  ONE OR MORE SHARED SERVICES AGREEMENTS MAY BE EXECUTED BETWEEN THE
 DEPARTMENT AND THE AUTHORITY, CANAL CORPORATION, OR BOTH OF  THEM,  ONLY
 FOR  (A) AN EMERGENCY SITUATION, (B) EXTREME WEATHER CONDITIONS, AND (C)
 THE PROVISION OF SERVICES AND ASSISTANCE TO SUPPORT  THE  OPERATION  AND
 MAINTENANCE  OF  THE  CANAL SYSTEM AND RELATED INFRASTRUCTURE, AS DEEMED
 APPROPRIATE, INCLUDING BUT  LIMITED  TO  SHARE  EMPLOYEES,  SERVICES  OR
 RESOURCES  AS  DEEMED APPROPRIATE INCLUDING, BUT NOT LIMITED TO, FOR THE
 PERFORMANCE OF WORK AND ACTIVITIES BY THE DEPARTMENT ON  THE  FACILITIES
 AND  PROPERTY  UNDER  THE  JURISDICTION OF THE AUTHORITY OR CANAL CORPO-
 RATION, AND FOR THE PERFORMANCE OF WORK AND ACTIVITIES BY THE  AUTHORITY
 OR  CANAL CORPORATION ON THE FACILITIES AND PROPERTY UNDER THE JURISDIC-
 TION OF THE DEPARTMENT. SUCH AGREEMENT OR ANY PROJECT UNDERTAKEN  PURSU-
 ANT  TO  SUCH  AN  AGREEMENT SHALL NOT BE DEEMED TO IMPAIR THE RIGHTS OF
 BONDHOLDERS AND MAY PROVIDE FOR, BUT NOT BE LIMITED TO, THE  MANAGEMENT,
 SUPERVISION  AND  DIRECTION  OF  SUCH  EMPLOYEES'  PERFORMANCE  OF  SUCH
 SERVICES. ALL SHARED EMPLOYEES SHALL REMAIN EMPLOYEES OF  THEIR  RESPEC-
 TIVE  EMPLOYERS  AND  ALL  APPLICABLE  COLLECTIVELY BARGAINED AGREEMENTS
 SHALL REMAIN IN EFFECT FOR THE ENTIRE  LENGTH  OF  THE  SHARED  SERVICES
 AGREEMENT.  FURTHER,  SUCH  SHARED  SERVICES  AGREEMENT SHALL NOT AMEND,
 REPEAL OR REPLACE THE TERMS OF ANY AGREEMENT THAT IS COLLECTIVELY  NEGO-
 TIATED  BETWEEN  AN  EMPLOYER AND AN EMPLOYEE ORGANIZATION, INCLUDING AN
 AGREEMENT OR INTEREST ARBITRATION AWARD MADE PURSUANT TO  ARTICLE  FOUR-
 TEEN OF THE CIVIL SERVICE LAW.
   3. THE AUTHORITY SHALL DEFEND ANY UNIT, ENTITY, OFFICER OR EMPLOYEE OF
 THE  DEPARTMENT,  USING  THE FORCES OF THE DEPARTMENT OF LAW PURSUANT TO
 SUBDIVISION ELEVEN OF THIS SECTION IN  ANY  ACTION,  PROCEEDING,  CLAIM,
 DEMAND  OR  THE  PROSECUTION OF ANY APPEAL ARISING FROM OR OCCASIONED BY
 THE ACTS OR OMISSIONS TO ACT IN THE PERFORMANCE OF THE FUNCTIONS OF  THE
 AUTHORITY OR CANAL CORPORATION PURSUANT TO A SHARED SERVICES AGREEMENT.
   4.  DEFENSE  PURSUANT  TO  SUBDIVISION  THREE OF THIS SECTION SHALL BE
 CONDITIONED UPON THE FULL COOPERATION OF THE DEPARTMENT.
   5. THE AUTHORITY SHALL INDEMNIFY AND HOLD HARMLESS ANY  UNIT,  ENTITY,
 OFFICER  OR  EMPLOYEE  OF  THE  DEPARTMENT IN THE AMOUNT OF ANY JUDGMENT
 OBTAINED AGAINST THE DEPARTMENT OR IN THE AMOUNT OF ANY  SETTLEMENT  THE
 DEPARTMENT ENTERS INTO WITH THE CONSENT OF THE AUTHORITY FOR ANY AND ALL
 CLAIMS, DAMAGES OR LIABILITIES ARISING FROM OR OCCASIONED BY THE ACTS OR
 OMISSIONS  TO  ACT  OF  THE AUTHORITY OR CANAL CORPORATION PURSUANT TO A
 SHARED SERVICES AGREEMENT; PROVIDED, HOWEVER, THAT THE ACT  OR  OMISSION
 FROM WHICH SUCH JUDGMENT OR SETTLEMENT AROSE OCCURRED WHILE THE AUTHORI-
 TY  OR  CANAL  CORPORATION  WAS ACTING WITHIN THE SCOPE OF ITS FUNCTIONS
 PURSUANT TO A SHARED SERVICES AGREEMENT. NO SUCH SETTLEMENT OF ANY  SUCH

 S. 2008--A                         149                        A. 3008--A
 
 ACTION,  PROCEEDING,  CLAIM OR DEMAND SHALL BE MADE WITHOUT THE APPROVAL
 OF THE AUTHORITY'S BOARD OF TRUSTEES OR ITS DESIGNEE.
   6. ANY CLAIM OR PROCEEDING COMMENCED AGAINST ANY UNIT, ENTITY, OFFICER
 OR  EMPLOYEE  OF THE AUTHORITY OR CANAL CORPORATION THAT ARISES PURSUANT
 TO ANY SHARED SERVICES AGREEMENT SHALL NOT BE CONSTRUED IN  ANY  WAY  TO
 IMPAIR,  ALTER,  LIMIT, MODIFY, ABROGATE OR RESTRICT ANY IMMUNITY AVAIL-
 ABLE TO OR CONFERRED UPON ANY UNIT, ENTITY, OFFICER OR EMPLOYEE  OF  THE
 AUTHORITY  OR  CANAL  CORPORATION,  OR  TO IMPAIR, ALTER, LIMIT, MODIFY,
 ABROGATE OR RESTRICT ANY RIGHT TO DEFENSE AND  INDEMNIFICATION  PROVIDED
 FOR  ANY  GOVERNMENTAL OFFICER OR EMPLOYEE BY, IN ACCORDANCE WITH, OR BY
 REASON OF, ANY OTHER PROVISION OF STATE OR FEDERAL STATUTORY  OR  COMMON
 LAW.
   7. (A) THE STATE SHALL DEFEND ANY UNIT, ENTITY, OFFICER OR EMPLOYEE OF
 THE  AUTHORITY  AND CANAL CORPORATION USING THE FORCES OF THE DEPARTMENT
 OF LAW IN ANY ACTION, PROCEEDING, CLAIM, DEMAND OR  THE  PROSECUTION  OF
 ANY APPEAL ARISING FROM OR OCCASIONED BY THE ACTS OR OMISSIONS TO ACT IN
 THE  PERFORMANCE OF THE FUNCTIONS OF THE DEPARTMENT PURSUANT TO A SHARED
 SERVICES AGREEMENT.
   (B) DEFENSE PURSUANT TO PARAGRAPH (A) OF  THIS  SUBDIVISION  SHALL  BE
 CONDITIONED  UPON THE FULL COOPERATION OF THE AUTHORITY AND CANAL CORPO-
 RATION.
   (C) THE STATE SHALL INDEMNIFY AND  HOLD  HARMLESS  ANY  UNIT,  ENTITY,
 OFFICER  OR EMPLOYEE OF THE AUTHORITY OR CANAL CORPORATION IN THE AMOUNT
 OF ANY JUDGMENT OBTAINED AGAINST THE AUTHORITY OR CANAL  CORPORATION  IN
 THE  AMOUNT  OF ANY SETTLEMENT THE AUTHORITY OR CANAL CORPORATION ENTERS
 INTO WITH THE CONSENT OF THE STATE FOR ANY AND ALL  CLAIMS,  DAMAGES  OR
 LIABILITIES  ARISING  FROM OR OCCASIONED BY THE ACTS OR OMISSIONS TO ACT
 ON BEHALF OF THE DEPARTMENT PURSUANT TO  A  SHARED  SERVICES  AGREEMENT,
 PROVIDED,  HOWEVER, THAT THE ACT OR OMISSION FROM WHICH SUCH JUDGMENT OR
 SETTLEMENT AROSE OCCURRED WHILE THE DEPARTMENT  WAS  ACTING  WITHIN  THE
 SCOPE OF ITS FUNCTIONS PURSUANT TO A SHARED SERVICES AGREEMENT. ANY SUCH
 SETTLEMENT  SHALL  BE EXECUTED PURSUANT TO SECTION TWENTY-A OF THE COURT
 OF CLAIMS ACT.
   (D) ANY CLAIM OR PROCEEDING COMMENCED AGAINST ANY UNIT, ENTITY,  OFFI-
 CER OR EMPLOYEE OF THE DEPARTMENT PURSUANT TO ANY SHARED SERVICES AGREE-
 MENT  SHALL NOT BE CONSTRUED IN ANY WAY TO IMPAIR, ALTER, LIMIT, MODIFY,
 ABROGATE OR RESTRICT ANY IMMUNITY AVAILABLE TO  OR  CONFERRED  UPON  ANY
 UNIT,  ENTITY,  OFFICER  OR  EMPLOYEE  OF  THE DEPARTMENT, OR TO IMPAIR,
 ALTER, LIMIT, MODIFY, ABROGATE OR RESTRICT  ANY  RIGHT  TO  DEFENSE  AND
 INDEMNIFICATION PROVIDED FOR ANY GOVERNMENTAL OFFICER OR EMPLOYEE BY, IN
 ACCORDANCE WITH, OR BY REASON OF, ANY OTHER PROVISION OF STATE OR FEDER-
 AL STATUTORY OR COMMON LAW.
   (E)  ANY  PAYMENT MADE PURSUANT TO THIS SUBDIVISION OR ANY MONIES PAID
 FOR A CLAIM AGAINST OR SETTLEMENT  WITH  THE  DEPARTMENT,  AUTHORITY  OR
 CANAL  CORPORATION PURSUANT TO THIS SUBDIVISION AND PURSUANT TO A SHARED
 SERVICES AGREEMENT SHALL BE PAID FROM APPROPRIATIONS FOR PAYMENT BY  THE
 STATE PURSUANT TO THE COURT OF CLAIMS ACT.
   8.  THIS  SECTION  SHALL  NOT  IN ANY WAY AFFECT THE OBLIGATION OF ANY
 CLAIMANT TO GIVE NOTICE TO THE STATE, AUTHORITY,  OR  CANAL  CORPORATION
 UNDER  SECTION  TEN AND SECTION ELEVEN OF THE COURT OF CLAIMS ACT OR ANY
 OTHER PROVISION OF LAW PROVIDED, HOWEVER, THAT NOTICE  SERVED  UPON  THE
 STATE,  AUTHORITY,  OR  CANAL  CORPORATION  WHO IS A PARTY TO THE SHARED
 SERVICES AGREEMENT SHALL BE VALID NOTICE ON ALL PARTIES  TO  THE  AGREE-
 MENT,  WHEN SUCH CLAIM ARISES OUT OF SUCH SHARED SERVICES AGREEMENT. THE
 STATE, AUTHORITY AND CANAL CORPORATION SHALL NOTIFY EACH OTHER WHEN THEY

 S. 2008--A                         150                        A. 3008--A

 RECEIVE A NOTICE OF CLAIM, NOTICE OF INTENTION TO  MAKE  A  CLAIM  OR  A
 CLAIM ARISING OUT OF SUCH AGREEMENT.
   9.  THE  PROVISIONS  OF THIS SECTION SHALL NOT BE CONSTRUED TO IMPAIR,
 ALTER, LIMIT OR MODIFY THE RIGHTS AND OBLIGATIONS OF ANY  INSURER  UNDER
 ANY INSURANCE AGREEMENT.
   10. NOTWITHSTANDING ANY OTHER PROVISION OF LAW, WHEN EMPLOYED PURSUANT
 TO A SHARED SERVICES AGREEMENT, EMPLOYEES OF THE AUTHORITY, CANAL CORPO-
 RATION AND DEPARTMENT SHALL BE DEEMED EMPLOYEES OF ALL SUCH ENTITIES AND
 THE STATE FOR PURPOSES OF THE WORKERS' COMPENSATION LAW.
   11. AT THE REQUEST OF THE AUTHORITY OR CANAL CORPORATION, SERVICES AND
 ASSISTANCE  AND  LEGAL  SERVICES  FOR THE AUTHORITY OR CANAL CORPORATION
 SHALL BE PERFORMED BY FORCES OR  OFFICERS  OF  THE  DEPARTMENT  AND  THE
 DEPARTMENT  OF  LAW  RESPECTIVELY, AND ALL OTHER STATE OFFICERS, DEPART-
 MENTS, BOARDS, DIVISIONS AND COMMISSIONS SHALL  RENDER  SERVICES  WITHIN
 THEIR RESPECTIVE FUNCTIONS.
   § 2. Subdivision 1 of section 17 of the public officers law is amended
 by adding a new paragraph (z) to read as follows:
   (Z)  FOR  PURPOSES  OF THIS SECTION, THE TERM "EMPLOYEE" SHALL INCLUDE
 MEMBERS OF THE GOVERNING BOARDS, OFFICERS AND  EMPLOYEES  OF  THE  POWER
 AUTHORITY OF THE STATE OF NEW YORK OR ITS SUBSIDIARIES.
   § 3. This act, being necessary for the prosperity of the state and its
 inhabitants,  shall  be  liberally  construed to effect the purposes and
 secure the beneficial intents hereof.
   § 4. If any provision of any section of this act  or  the  application
 thereof  to  any  person  or circumstance shall be adjudged invalid by a
 court of  competent  jurisdiction,  such  order  or  judgment  shall  be
 confined  in  its operation to the controversy in which it was rendered,
 and shall not affect or invalidate the remainder of any provision of any
 section of this act or the application thereof to any  other  person  or
 circumstance  and to this end the provisions of each section of this act
 are hereby declared to be severable.
   § 5. This act shall take effect immediately.
 
                                  PART MM
 
   Section 1. Expenditures  of  moneys  by  the  New  York  state  energy
 research  and  development  authority  for  services and expenses of the
 energy  research,  development  and  demonstration  program,   including
 grants, the energy policy and planning program, the zero emissions vehi-
 cle  and  electric vehicle rebate program, and the Fuel NY program shall
 be subject to  the  provisions  of  this  section.  Notwithstanding  the
 provisions of subdivision 4-a of section 18-a of the public service law,
 all  moneys committed or expended in an amount not to exceed $19,700,000
 shall be reimbursed by assessment against gas corporations,  as  defined
 in  subdivision  11  of section 2 of the public service law and electric
 corporations as defined in subdivision 13 of section  2  of  the  public
 service  law, where such gas corporations and electric corporations have
 gross revenues from intrastate utility operations in excess of  $500,000
 in  the  preceding  calendar  year,  and  the  total amount which may be
 charged to any gas corporation and any electric  corporation  shall  not
 exceed  one  cent  per one thousand cubic feet of gas sold and .010 cent
 per kilowatt-hour of electricity sold  by  such  corporations  in  their
 intrastate  utility operations in calendar year 2015. Such amounts shall
 be excluded from the general assessment provisions of subdivision  2  of
 section  18-a of the public service law. The chair of the public service
 commission shall bill such gas and/or  electric  corporations  for  such

 S. 2008--A                         151                        A. 3008--A
 
 amounts  on  or before August 10, 2017 and such amounts shall be paid to
 the New York state energy  research  and  development  authority  on  or
 before  September  10,  2017.  Upon  receipt,  the New York state energy
 research and development authority shall deposit such funds in the ener-
 gy  research  and  development  operating  fund  established pursuant to
 section 1859 of the public authorities law. The New  York  state  energy
 research  and  development  authority is authorized and directed to: (1)
 transfer $1 million to the state general fund for services and  expenses
 of  the  department of environmental conservation, $150,000 to the state
 general fund for services and expenses of the department of  agriculture
 and  markets, and $750,000 to the University of Rochester laboratory for
 laser energetics from the funds received; and (2)  commencing  in  2016,
 provide  to  the chair of the public service commission and the director
 of the budget and the chairs and secretaries of the  legislative  fiscal
 committees,  on or before August first of each year, an itemized record,
 certified by the president and chief executive officer of the authority,
 or his or her designee, detailing any and all expenditures  and  commit-
 ments  ascribable  to  moneys received as a result of this assessment by
 the chair of the department of public service pursuant to  section  18-a
 of  the public service law.  This itemized record shall include an item-
 ized breakdown of the programs being funded  by  this  section  and  the
 amount  committed  to each program.   The authority shall not commit for
 any expenditure, any moneys derived from the assessment provided for  in
 this  section,  until  the chair of such authority shall have submitted,
 and the director of the budget  shall  have  approved,  a  comprehensive
 financial  plan encompassing all moneys available to and all anticipated
 commitments and expenditures by such authority from any source  for  the
 operations  of  such  authority.    Copies of the approved comprehensive
 financial plan shall be immediately submitted by the chair to the chairs
 and secretaries of the legislative fiscal committees.   Any such  amount
 not  committed by such authority to contracts or contracts to be awarded
 or otherwise expended by the authority during the fiscal year  shall  be
 refunded  by such authority on a pro-rata basis to such gas and/or elec-
 tric corporations, in a manner to be determined  by  the  department  of
 public service.
   §  2.  This  act  shall take effect immediately and shall be deemed to
 have been in full force and effect on and after April 1, 2017.
   § 2. Severability clause. If any clause, sentence, paragraph, subdivi-
 sion, section or part of this act shall be  adjudged  by  any  court  of
 competent  jurisdiction  to  be invalid, such judgment shall not affect,
 impair, or invalidate the remainder thereof, but shall  be  confined  in
 its  operation  to the clause, sentence, paragraph, subdivision, section
 or part thereof directly involved in the controversy in which such judg-
 ment shall have been rendered. It is hereby declared to be the intent of
 the legislature that this act would  have  been  enacted  even  if  such
 invalid provisions had not been included herein.
   §  3.  This  act shall take effect immediately provided, however, that
 the applicable effective date of Parts A through MM of this act shall be
 as specifically set forth in the last section of such Parts.

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  2008--B
 
                             I N  S E N A T E
 
                             January 23, 2017
                                ___________
 
 A  BUDGET  BILL,  submitted by the Governor pursuant to article seven of
   the Constitution -- read twice and ordered printed, and  when  printed
   to  be  committed to the Committee on Finance -- committee discharged,
   bill amended, ordered reprinted as amended  and  recommitted  to  said
   committee  -- committee discharged, bill amended, ordered reprinted as
   amended and recommitted to said committee

 AN ACT to amend chapter 62 of the laws of 2003 amending the vehicle  and
   traffic  law and other laws relating to increasing certain motor vehi-
   cle transaction fees, in relation to the disposition of revenues (Part
   A); to amend the vehicle and traffic law,  in  relation  to  divisible
   load  permits  (Part  B); intentionally omitted (Part C); to amend the
   vehicle and traffic law in relation to  compliance  with  new  federal
   regulations (Part D); to amend the penal law, in relation to including
   the  use  of  any  highway,  parkway,  road,  bridge or tunnel without
   payment of the lawful toll or charge as a theft of  services;  and  to
   amend the vehicle and traffic law, in relation to liability of vehicle
   owners for toll collection violations and the penalty imposed upon the
   operator  of a vehicle with an altered or obscured license plate while
   on a toll highway, bridge or tunnel (Part E); to amend the vehicle and
   traffic law and the state finance law, in relation  to  allocation  of
   three  million dollars of assessments from the city of New York to the
   general fund (Part F); to amend  the  vehicle  and  traffic  law,  the
   insurance  law,  the executive law and the tax law, in relation to the
   regulation of transportation network company  services;  to  establish
   the  New  York  State  TNC  Accessibility Task Force; and to amend the
   state finance law, in  relation  to  establishing  the  local  transit
   assistance  fund  (Part  G);  to amend the vehicle and traffic law, in
   relation to the waiver of  non-driver  identification  card  fees  for
   crime  victims (Part H); intentionally omitted (Part I); intentionally
   omitted (Part J); intentionally omitted (Part K); to amend the vehicle
   and traffic law, in relation to the definition of "drug", the scope of
   the written test, the  suspension  of  a  license  for  driving  while
   impaired by drugs, and the license sanctions for refusing to submit to
   a  chemical  test (Part L); to amend the New York state urban develop-
   ment corporation act, in  relation  to  extending  certain  provisions
   relating  to  the  empire state economic development fund (Part M); to
   amend chapter 393 of the laws of 1994, amending  the  New  York  state
 
              

  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD12573-06-7

 S. 2008--B                          2
 
   urban  development  corporation act, relating to the powers of the New
   York state urban development corporation to make loans, in relation to
   the effectiveness thereof (Part N); intentionally  omitted  (Part  O);
   intentionally  omitted  (Part  P);  to amend chapter 21 of the laws of
   2003, amending the executive law relating to permitting the  secretary
   of state to provide special handling for all documents filed or issued
   by  the  division  of  corporations and to permit additional levels of
   such expedited service, in relation to extending the  expiration  date
   thereof  (Part Q); intentionally omitted (Part R); intentionally omit-
   ted (Part S); to amend the  environmental  conservation  law  and  the
   executive  law,  in  relation to local waterfront revitalization (Part
   T); intentionally omitted (Part  U);  authorizing  utility  and  cable
   television  assessments  to  provide funds to the department of health
   from cable television assessment revenues (Part V); to  amend  chapter
   58 of the laws of 2012 amending the public authorities law relating to
   authorizing  the  dormitory authority to enter into certain design and
   construction management  agreements,  in  relation  to  extending  the
   effectiveness  of  such  authorization (Part W); intentionally omitted
   (Part X); intentionally omitted (Part Y); intentionally omitted  (Part
   Z);  intentionally omitted (Part AA); intentionally omitted (Part BB);
   intentionally omitted (Part  CC);  intentionally  omitted  (Part  DD);
   intentionally  omitted  (Part  EE);  intentionally  omitted (Part FF);
   intentionally omitted (Part  GG);  intentionally  omitted  (Part  HH);
   intentionally  omitted  (Part  II);  intentionally  omitted (Part JJ);
   intentionally omitted (Part KK); intentionally omitted (Part  LL);  to
   authorize the energy research and development authority to finance the
   University  of  Rochester  laboratory  for  laser  energetics, from an
   assessment on gas and electric corporations (Part MM);  to  amend  the
   not-for-profit  corporation  law, in relation to increasing the number
   of authorized land banks in the state to 25 (Part NN);  to  amend  the
   public lands law, in relation to sale of vacant real property owned by
   the  state (Part OO); to amend the public authorities law, in relation
   to toll discount programs (Part PP); to amend the vehicle and  traffic
   law,  in relation to creating an exemption to the snowmobile registra-
   tion requirements by creating a seasonal trail pass pilot program  for
   Canadian  citizens;  and  providing  for the repeal of such provisions
   upon expiration thereof (Part QQ); to amend the waterfront  commission
   act,  in  relation  to cargo facility charges by the Port Authority of
   New York and New Jersey (Part RR);  in  relation  to  authorizing  the
   forgiveness  of loans received by the Oswego Port Authority (Part SS);
   to amend the vehicle and traffic law, in relation to providing  for  a
   discount  on  driver's  license renewal fees for senior citizens (Part
   TT); to repeal subdivision 18-a of section 1261 of the public authori-
   ties law relating to the definition of  "transportation  purpose"  for
   purposes  of  the  metropolitan transportation authority (Part UU); to
   amend the vehicle and traffic law, in relation to the definition of an
   all terrain vehicle or "ATV" (Part VV); to repeal  section  1678-a  of
   the  public  authorities law relating to the New York State design and
   construction corporation act (Part WW); to amend the vehicle and traf-
   fic law and the public officers law, in relation to authorizing  local
   authorities to establish demonstration programs, implementing railroad
   grade crossing monitoring systems by means of photo devices (Part XX);
   to amend the vehicle and traffic law, in relation to certain registra-
   tions  of  vehicles  (Part  YY);  to  establish the toll advisory task
   force, and providing for the powers and duties thereof (Part  ZZ);  to
   amend  the  vehicle  and  traffic  law,  in  relation to directing the

 S. 2008--B                          3
 
   department of transportation to establish a  maximum  speed  limit  of
   thirty  miles  per  hour  on  state route 908H, better known as "Ocean
   parkway", in the county of Kings (Part AAA); to amend the  transporta-
   tion  law,  in  relation  to the interagency coordinating committee on
   rural public transportation (Part BBB); to amend the highway  law,  in
   relation  to  the rate paid by the state to a city for maintenance and
   repair of highways (Part CCC); to amend the vehicle and  traffic  law,
   in  relation  to  requiring the suspension of the license to operate a
   motor vehicle of any person convicted of two violations of school zone
   speed limits within eighteen months (Part DDD); to amend  the  vehicle
   and  traffic  law,  in  relation  to distribution of certain mandatory
   surcharges imposed for alcohol-related  traffic  convictions;  and  to
   amend  the  state finance law, in relation to establishing an impaired
   driving safety fund (Part EEE); to amend the  environmental  conserva-
   tion  law,  in  relation  to establishing the yearling buck protection
   program (Part FFF); to amend the environmental  conservation  law,  in
   relation  to  crossbows;  and to repeal certain provisions of such law
   relating thereto (Part GGG); to amend the  environmental  conservation
   law,  in  relation to the use of ultra low sulfur diesel fuel and best
   available technology by the state (Part HHH); to  amend  the  environ-
   mental conservation law, in relation to lowering the age for universal
   hunting  licenses  from  fourteen  years old to twelve years old (Part
   III); to amend the navigation law, in relation  to  license  fees  per
   barrel  of  petroleum (Part JJJ); to amend the environmental conserva-
   tion law, in relation to fees for certification of pesticide  applica-
   tors;  and  to  repeal certain provisions of such law relating thereto
   (Part KKK); to amend the economic development law, in relation to  the
   establishment of regional economic development councils; and providing
   for  the repeal of such provisions upon expiration thereof (Part LLL);
   to amend the economic development law, in  relation  to  comprehensive
   economic development reporting (Part MMM); to amend the public author-
   ities law, in relation to enacting the "New York microgrids act" (Part
   NNN); to amend the public authorities law, in relation to the New York
   state  geothermal  heating  system rebate program (Part OOO); to amend
   the canal law, in relation to maintaining bridges in a manner  to  not
   impede  commercial  motor  vehicles  (Part  PPP); to amend the general
   business law and the New York state urban development corporation act,
   in relation to establishing the "Made by New  Yorkers"  program  (Part
   QQQ);  and  to  amend the economic development law, in relation to the
   life sciences program (Part RRR)

   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  This  act enacts into law major components of legislation
 which are necessary to implement the state fiscal plan for the 2017-2018
 state fiscal year. Each component is  wholly  contained  within  a  Part
 identified  as  Parts A through RRR. The effective date for each partic-
 ular provision contained within such Part  is  set  forth  in  the  last
 section  of  such  Part. Any provision in any section contained within a
 Part, including the effective date of the Part, which makes a  reference
 to a section "of this act", when used in connection with that particular
 component,  shall  be  deemed  to  mean  and  refer to the corresponding
 section of the Part in which it is found. Section three of this act sets
 forth the general effective date of this act.

 S. 2008--B                          4
 
                                  PART A
 
   Section  1.  Section  13  of part U1 of chapter 62 of the laws of 2003
 amending the vehicle and traffic law and other laws relating to increas-
 ing certain motor vehicle transaction fees, as amended by section  1  of
 part A of chapter 58 of the laws of 2015, is amended to read as follows:
   §  13.  This  act shall take effect immediately; provided however that
 sections one through seven of this act, the amendments to subdivision  2
 of  section  205  of  the tax law made by section eight of this act, and
 section nine of this act shall expire and be deemed repealed on April 1,
 2020; [provided further, however, that the amendments to  subdivision  3
 of  section  205  of the tax law made by section eight of this act shall
 expire and be deemed repealed on  March  31,  2018;]  provided  further,
 however,  that  the  provisions of section eleven of this act shall take
 effect April 1, 2004 and shall expire and be deemed repealed on April 1,
 2020.
   § 2. This act shall take effect immediately and  shall  be  deemed  to
 have been in full force and effect on and after April 1, 2017.
 
                                  PART B
 
   Section 1. The sixth undesignated paragraph of paragraph (f) of subdi-
 vision  15  of section 385 of the vehicle and traffic law, as amended by
 section 4 of part C of chapter 59 of the laws of  2004,  is  amended  to
 read as follows:
   Until  June  thirtieth,  nineteen  hundred  ninety-four,  no more than
 sixteen thousand power units shall  be  issued  annual  permits  by  the
 department  for  any  twelve-month  period in accordance with this para-
 graph. After June thirtieth, nineteen hundred ninety-four, no more  than
 sixteen thousand five hundred power units shall be issued annual permits
 by  the  department  for any twelve-month period. After December thirty-
 first, nineteen hundred ninety-five, no  more  than  seventeen  thousand
 power  units  shall  be  issued annual permits by the department for any
 twelve-month period. After December thirty-first, two thousand three, no
 more than twenty-one thousand power units shall be issued annual permits
 by the department for any twelve-month period.  After  December  thirty-
 first,  two  thousand five, no more than twenty-two thousand power units
 shall be issued annual permits by the department  for  any  twelve-month
 period.  After  December  thirty-first,  two  thousand six, no more than
 twenty-three thousand power units shall be issued annual permits by  the
 department for any twelve-month period. After December thirty-first, two
 thousand  seven,  no more than twenty-four thousand power units shall be
 issued annual permits by the department  for  any  twelve-month  period.
 After  December  thirty-first,  two thousand eight, no more than twenty-
 five thousand power units shall be issued annual permits by the  depart-
 ment for any twelve-month period. AFTER DECEMBER THIRTY-FIRST, TWO THOU-
 SAND  SIXTEEN,  NO  MORE THAN TWENTY-SEVEN THOUSAND POWER UNITS SHALL BE
 ISSUED ANNUAL PERMITS BY THE DEPARTMENT FOR ANY TWELVE-MONTH PERIOD.
   § 2. This act shall take effect immediately.
 
                                  PART C

                           Intentionally Omitted
 
                                  PART D

 S. 2008--B                          5
 
   Section 1. Paragraph (g) of subdivision 3 of section 385 of the  vehi-
 cle  and  traffic  law,  as added by chapter 303 of the laws of 2014, is
 amended to read as follows:
   (g)  The  length  of a tow truck or car carrier, inclusive of load and
 bumpers, shall be not more than forty feet, except that  a  car  carrier
 may  have  an  overhang  that extends beyond the rear bumper of such car
 carrier by not more than [three] FOUR feet and except, further,  that  a
 wheel  lift  that  is  less  than  fifteen  feet  in length shall not be
 included as part of the length of a tow truck or car carrier  when  such
 wheel  lift  is  in  use by such tow truck or car carrier to tow another
 motor vehicle.
   § 2. Subparagraphs 5 and 6  of  paragraph  (b)  of  subdivision  4  of
 section 385 of the vehicle and traffic law, subparagraph 5 as amended by
 chapter  669 of the laws of 2005, and subparagraph 6 as amended by chap-
 ter 26 of the laws of 2002, are amended and  a  new  subparagraph  7  is
 added to read as follows:
   5.  A  vehicle or combination of vehicles which is disabled and unable
 to proceed under its own power and is being towed for a distance not  in
 excess of ten miles for the purpose of repairs or removal from the high-
 way, except that the distance to the nearest exit of a controlled-access
 highway  shall  not be considered in determining such ten mile distance;
 [and]
   6. Stinger-steered automobile  transporters  or  stinger-steered  boat
 transporters,  while  operating  on qualifying and access highways. Such
 vehicles shall not, however, exceed [seventy-five] EIGHTY feet exclusive
 of an overhang of not more than [three]  FOUR  feet  on  the  front  and
 [four] SIX feet on the rear of the vehicle[.]; AND
   7.  A  COMBINATION  OF  VEHICLES OPERATING ON ANY QUALIFYING OR ACCESS
 HIGHWAYS CONSISTING OF A POWER UNIT AND  TWO  TRAILERS  OR  SEMITRAILERS
 WITH  A  TOTAL  WEIGHT  THAT SHALL NOT EXCEED TWENTY-SIX THOUSAND POUNDS
 WHEN THE OVERALL LENGTH IS GREATER THAN SIXTY-FIVE FEET  BUT  SHALL  NOT
 EXCEED  EIGHTY-TWO FEET; AND IN WHICH THE TRAILERS OR SEMITRAILERS CARRY
 NO  PROPERTY  AND  CONSTITUTE  INVENTORY  PROPERTY  OF  A  MANUFACTURER,
 DISTRIBUTOR, OR DEALER OF SUCH TRAILERS OR SEMITRAILERS.
   §  3. Paragraph (c) of subdivision 4 of section 385 of the vehicle and
 traffic law, as amended by chapter 26 of the laws of 2002, is amended to
 read as follows:
   (c) Notwithstanding the provisions of paragraph (a) of  this  subdivi-
 sion, an overhang of not more than three feet on the front and four feet
 on the rear of an automobile transporter or AN OVERHANG OF NOT MORE THAN
 FOUR  FEET  ON  THE  FRONT AND SIX FEET ON THE REAR OF A stinger-steered
 automobile transporter or a boat  transporter  or  stinger-steered  boat
 transporter shall be permitted.
   §  4. Subdivision 10 of section 385 of the vehicle and traffic law, as
 amended by chapter 1008 of the laws of  1983,  is  amended  to  read  as
 follows:
   10.  A  single vehicle or a combination of vehicles having three axles
 or more and equipped with pneumatic tires, when loaded, may have a total
 weight on all axles not to exceed thirty-four thousand pounds, plus  one
 thousand  pounds  for  each  foot  and  major  fraction of a foot of the
 distance from the center of the foremost axle to the center of the rear-
 most axle. Axles to be counted as provided in subdivision five  of  this
 section. In no case, however, shall the total weight exceed eighty thou-
 sand  pounds EXCEPT FOR A VEHICLE IF OPERATED BY AN ENGINE FUELED PRIMA-
 RILY BY NATURAL GAS WHICH MAY HAVE A MAXIMUM GROSS WEIGHT OF  EIGHTY-TWO
 THOUSAND  POUNDS.  For  any  vehicle or combination of vehicles having a

 S. 2008--B                          6
 
 total gross weight less than seventy-one thousand pounds, the higher  of
 the following shall apply:
   (a)  the  total weight on all axles shall not exceed thirty-four thou-
 sand pounds plus one thousand pounds for each foot and major fraction of
 a foot of the distance from the center  of  the  foremost  axle  to  the
 center of the rearmost axle, or
   (b)  the  overall  gross  weight on a group of two or more consecutive
 axles shall not exceed the weight produced by application of the follow-
 ing formula:
                      W = 500 ((LxN)/(N-1) + (12xN)+36)
 where W equals overall gross weight on any group of two or more  consec-
 utive  axles  to  the  nearest five hundred pounds, L equals distance in
 feet from the center of the foremost axle to the center of the  rearmost
 axle  of any group of two or more consecutive axles, and N equals number
 of axles in group under consideration, except that two consecutive  sets
 of  tandem  axles  may carry a gross load of thirty-four thousand pounds
 each providing the overall distance between the first and last axles  of
 such consecutive sets of tandem axles is thirty-six feet or more.
   For any vehicle or combination of vehicles having a total gross weight
 of  seventy-one thousand pounds or greater, paragraph (b) shall apply to
 determine maximum gross weight which is permitted hereunder.
   § 5. Section 385 of the vehicle and traffic law is amended by adding a
 new subdivision 24 to read as follows:
   24. THE PROVISIONS OF SUBDIVISIONS SIX, SEVEN, EIGHT, NINE, TEN, ELEV-
 EN AND TWELVE OF THIS SECTION SHALL NOT APPLY TO ANY TOW TRUCK  THAT  IS
 TRANSPORTING  A DISABLED VEHICLE FROM THE PLACE WHERE THE VEHICLE BECAME
 DISABLED TO THE NEAREST APPROPRIATE REPAIR  FACILITY  AND  HAS  A  GROSS
 VEHICLE  WEIGHT  THAT IS EQUAL TO OR EXCEEDS THE GROSS VEHICLE WEIGHT OF
 THE DISABLED VEHICLE BEING TRANSPORTED.
   § 6. Intentionally Omitted.
   § 7. This act shall take effect immediately.
 
                                  PART E
 
   Section 1.  Section 165.15 of the penal law is amended by adding a new
 subdivision 12 to read as follows:
   12. HE OR SHE ENGAGES IN A SCHEME CONSTITUTING  A  SYSTEMATIC  ONGOING
 COURSE  OF CONDUCT BY INTENTIONALLY USING OR ATTEMPTING TO USE ANY HIGH-
 WAY, PARKWAY, BRIDGE OR TUNNEL WITHOUT PAYMENT OF LAWFUL CHARGE OR  TOLL
 BY  FORCE,  INTIMIDATION,  STEALTH,  DECEPTION,  MECHANICAL TAMPERING OR
 UNJUSTIFIABLE FAILURE OR REFUSAL TO PAY, AND OBTAINS  SUCH  USE  WITH  A
 VALUE IN EXCESS OF FIVE HUNDRED DOLLARS.
   §  2.  The  vehicle and traffic law is amended by adding a new section
 518 to read as follows:
   § 518. RECIPROCAL AGREEMENTS CONCERNING SUSPENSION  OR  REVOCATION  OF
 REGISTRATION  OF A MOTOR VEHICLE FOR VIOLATIONS OF TOLL COLLECTION REGU-
 LATIONS. A. THE COMMISSIONER MAY EXECUTE A RECIPROCAL COMPACT OR  AGREE-
 MENT  REGARDING TOLL COLLECTION VIOLATIONS WITH THE MOTOR VEHICLE ADMIN-
 ISTRATOR OR OTHER AUTHORIZED OFFICIAL OF ANOTHER STATE NOT  INCONSISTENT
 WITH  THE  PROVISIONS  OF  THIS CHAPTER. SUCH COMPACT OR AGREEMENT SHALL
 PROVIDE THAT IF A REGISTRATION OF A MOTOR VEHICLE WOULD BE SUSPENDED  OR
 REVOKED  PURSUANT  TO  PARAGRAPH  D OF SUBDIVISION THREE OF SECTION FIVE
 HUNDRED TEN OF THIS CHAPTER, OR PURSUANT TO A COMPARABLE  LAW  OR  REGU-
 LATION  OF  ANOTHER STATE, BECAUSE AN OWNER OF A MOTOR VEHICLE FAILED TO
 PAY TOLLS AND VIOLATION FEES, OR HAVE  THEM  DISMISSED  OR  TRANSFERRED,
 THEN THE STATE ISSUING THE REGISTRATION SHALL LIKEWISE SUSPEND OR REVOKE

 S. 2008--B                          7
 
 THE  REGISTRATION OR BAR RENEWAL OF SUCH REGISTRATION, UNTIL SUCH REGIS-
 TRANT OR APPLICANT HAS PAID SUCH TOLLS AND FEES  OR  COMPLIED  WITH  THE
 RULES AND REGULATIONS.
   B.  SUCH COMPACT OR AGREEMENT SHALL ALSO PROVIDE SUCH TERMS AND PROCE-
 DURES AS ARE NECESSARY AND PROPER TO FACILITATE ITS ADMINISTRATION.  ANY
 SUCH  COMPACT  OR  AGREEMENT SHALL SPECIFY THE VIOLATIONS SUBJECT TO THE
 COMPACT OR AGREEMENT, AND SHALL INCLUDE A  DETERMINATION  OF  COMPARABLE
 VIOLATIONS  IN  EACH STATE IF ANY SUCH VIOLATIONS ARE OF A SUBSTANTIALLY
 SIMILAR NATURE BUT ARE NOT DENOMINATED OR  DESCRIBED  IN  PRECISELY  THE
 SAME WORDS IN EACH PARTY STATE.
   C.  THE  WORD  "STATE" WHEN USED IN THIS SECTION SHALL MEAN ANY STATE,
 TERRITORY, A POSSESSION OF THE UNITED STATES, THE DISTRICT  OF  COLUMBIA
 OR ANY PROVINCE OF CANADA.
   §  3.  Subdivision  1 of section 402 of the vehicle and traffic law is
 amended by adding a new paragraph (c) to read as follows:
   (C) IT SHALL BE UNLAWFUL FOR ANY PERSON TO OPERATE, DRIVE  OR  PARK  A
 MOTOR  VEHICLE  ON  A TOLL HIGHWAY, BRIDGE AND/OR TUNNEL FACILITY, UNDER
 THE JURISDICTION OF THE TOLLING AUTHORITY, IF SUCH NUMBER PLATE  IS  NOT
 EASILY  READABLE,  NOR SHALL ANY NUMBER PLATE BE COVERED BY GLASS OR ANY
 PLASTIC MATERIAL, AND SHALL NOT BE KNOWINGLY COVERED OR COATED WITH  ANY
 ARTIFICIAL  OR SYNTHETIC MATERIAL OR SUBSTANCE THAT CONCEALS OR OBSCURES
 SUCH NUMBER PLATES OR THAT DISTORTS A RECORDED OR PHOTOGRAPHIC IMAGE  OF
 SUCH  NUMBER  PLATES,  AND  THE  VIEW OF SUCH NUMBER PLATES SHALL NOT BE
 OBSTRUCTED BY ANY PART OF THE VEHICLE OR BY  ANYTHING  CARRIED  THEREON,
 EXCEPT  FOR  A  RECEIVER-TRANSMITTER  ISSUED BY A PUBLICLY OWNED TOLLING
 FACILITY IN CONNECTION WITH ELECTRONIC TOLL COLLECTION WHEN SUCH RECEIV-
 ER-TRANSMITTER IS AFFIXED TO THE EXTERIOR OF  A  VEHICLE  IN  ACCORDANCE
 WITH  MOUNTING  INSTRUCTIONS  PROVIDED  BY  THE  TOLLING  FACILITY.  FOR
 PURPOSES OF THIS PARAGRAPH, "TOLLING AUTHORITY" SHALL MEAN EVERY  PUBLIC
 AUTHORITY  WHICH  OPERATES A TOLL HIGHWAY, BRIDGE AND/OR TUNNEL FACILITY
 AS WELL AS THE PORT AUTHORITY OF NEW YORK AND  NEW  JERSEY,  A  BI-STATE
 AGENCY CREATED BY COMPACT SET FORTH IN CHAPTER ONE HUNDRED FIFTY-FOUR OF
 THE LAWS OF NINETEEN HUNDRED TWENTY-ONE, AS AMENDED.
   §  4.  Subdivision 8 of section 402 of the vehicle and traffic law, as
 amended by chapter 61 of the laws of 1989 and renumbered by chapter  648
 of the laws of 2006, is amended to read as follows:
   8.  The violation of this section shall be punishable by a fine of not
 less than twenty-five nor more  than  two  hundred  dollars  EXCEPT  FOR
 VIOLATIONS  OF  PARAGRAPH  (C) OF SUBDIVISION ONE OF THIS SECTION, WHICH
 SHALL BE PUNISHABLE BY A FINE OF NOT LESS THAN ONE HUNDRED NOR MORE THAN
 FIVE HUNDRED DOLLARS.
   § 5. This act shall take effect immediately.
 
                                  PART F
 
   Section 1. Subdivision 5 of section 227 of  the  vehicle  and  traffic
 law,  as  amended  by  section 3 of part CC of chapter 58 of the laws of
 2015, is amended to read as follows:
   5. All penalties and forfeited  security  collected  pursuant  to  the
 provisions  of this article shall be paid to the department of audit and
 control to the credit of the justice court fund and shall be subject  to
 the  applicable  provisions  of  section  eighteen hundred three of this
 chapter. After such audit as shall reasonably be required by  the  comp-
 troller,  such  penalties and forfeited security shall be paid quarterly
 or, in the discretion of the comptroller, monthly,  to  the  appropriate
 jurisdiction  in  which  the  violation  occurred in accordance with the

 S. 2008--B                          8
 
 provisions of section ninety-nine-a of the  state  finance  law,  except
 that the sum of four dollars for each violation occurring in such juris-
 diction  for  which  a  complaint has been filed with the administrative
 tribunal  established  pursuant to this article shall be retained by the
 state.  NOTWITHSTANDING ANY LAW TO THE CONTRARY AN ADDITIONAL ANNUAL SUM
 OF THREE MILLION DOLLARS COLLECTED FROM FINES AND ASSESSED TO  THE  CITY
 OF NEW YORK, SHALL BE DEPOSITED INTO THE GENERAL FUND IN ACCORDANCE WITH
 THE  PROVISIONS  OF  SECTION NINETY-NINE-A OF THE STATE FINANCE LAW. The
 amount distributed during the  first  three  quarters  to  the  city  of
 Rochester  in  any given fiscal year shall not exceed seventy percent of
 the amount which will be otherwise payable.  Provided, however, that  if
 the  full  costs  of administering this article shall exceed the amounts
 received and retained by the state  for  any  period  specified  by  the
 commissioner,  then  such additional sums as shall be required to offset
 such costs shall be retained by the  state  out  of  the  penalties  and
 forfeited security collected pursuant to this article.
   §  2.  Paragraph c of subdivision 1 of section 1803 of the vehicle and
 traffic law, as amended by chapter 385 of the laws of 1999,  is  amended
 to read as follows:
   c.  for  compliance  with  or  violations  of  subdivision nineteen of
 section three hundred eighty-five of this chapter,  notwithstanding  any
 inconsistent  provision  of law, except as provided in section ninety of
 the state finance law, the fees and fines collected by the state  pursu-
 ant  to sections two hundred twenty-seven, three hundred eighty-five and
 eighteen hundred three of this chapter and section ninety-nine-a of  the
 state  finance law, shall be made available to the state comptroller for
 deposit in the general fund except that fines collected  within  a  city
 not  wholly  included  within  one  county shall be paid to such city in
 accordance with the procedures set forth in subdivision four of  section
 two  hundred  twenty-seven  of this chapter for deposit into the general
 fund of such city, AND EXCEPT THAT AN ANNUAL  AMOUNT  OF  THREE  MILLION
 DOLLARS OF FINES COLLECTED WITHIN THE CITY OF NEW YORK PURSUANT TO ARTI-
 CLE TWO-A OF THIS CHAPTER BE DEPOSITED BY THE COMPTROLLER TO THE GENERAL
 FUND.
   §  3.  Subdivision  3  of  section  99-a  of the state finance law, as
 amended by section 10 of part CC of chapter 58 of the laws of  2015,  is
 amended to read as follows:
   3.  The  comptroller  is  hereby  authorized  to implement alternative
 procedures, including guidelines in conjunction therewith,  relating  to
 the remittance of fines, penalties, forfeitures and other moneys by town
 and village justice courts, and by the Nassau and Suffolk counties traf-
 fic  and parking violations agencies, and by the city of Buffalo traffic
 violations agency, AND BY THE CITY OF NEW YORK PURSUANT TO ARTICLE TWO-A
 OF THE VEHICLE AND TRAFFIC LAW, to the justice court fund  and  for  the
 distribution  of  such moneys by the justice court fund. Notwithstanding
 any law  to  the  contrary,  the  alternative  procedures  utilized  may
 include:
   a. electronic funds transfer;
   b. remittance of funds by the justice court to the chief fiscal office
 of  the town or village, or, in the case of the Nassau and Suffolk coun-
 ties traffic and parking violations agencies, to the  county  treasurer,
 or, in the case of the Buffalo traffic violations agency, to the city of
 Buffalo comptroller, for distribution in accordance with instructions by
 the  comptroller  OR,  IN  THE CASE OF THE CITY OF NEW YORK, PURSUANT TO
 ARTICLE TWO-A OF THE VEHICLE AND TRAFFIC LAW TO  THE  CITY  COMPTROLLER;
 and/or

 S. 2008--B                          9
 
   c. monthly, rather than quarterly, distribution of funds.
   The comptroller may require such reporting and record keeping as he or
 she  deems  necessary  to  ensure  the  proper distribution of moneys in
 accordance with applicable laws. A  justice  court  or  the  Nassau  and
 Suffolk  counties traffic and parking violations agencies or the city of
 Buffalo traffic violations agency OR THE CITY OF NEW  YORK  PURSUANT  TO
 ARTICLE  TWO-A  OF  THE VEHICLE AND TRAFFIC LAW may utilize these proce-
 dures only when permitted by the comptroller, and such permission,  once
 given, may subsequently be withdrawn by the comptroller on due notice.
   § 4. This act shall take effect immediately.
 
                                  PART G
 
   Section  1.  Legislative  intent. The purpose of this act is to ensure
 the  safety,  reliability,  and  cost-effectiveness  of   transportation
 network  company  (TNC)  services  within  the  state of New York and to
 preserve and enhance access to these  important  transportation  options
 for residents and visitors to the state.
   §  2.  The  vehicle and traffic law is amended by adding a new article
 44-B to read as follows:
                               ARTICLE 44-B
                  TRANSPORTATION NETWORK COMPANY SERVICES
 SECTION 1691. DEFINITIONS.
         1692. GENERAL PROVISIONS.
         1693. FINANCIAL RESPONSIBILITY OF TRANSPORTATION NETWORK  COMPA-
                 NIES.
         1694. DISCLOSURES.
         1695. INSURANCE PROVISIONS.
         1696. DRIVER AND VEHICLE REQUIREMENTS.
         1697. MAINTENANCE OF RECORDS.
         1698. AUDIT PROCEDURES; CONFIDENTIALITY OF RECORDS.
         1699. CRIMINAL   HISTORY   BACKGROUND  CHECK  OF  TRANSPORTATION
                 NETWORK COMPANY DRIVERS.
         1700. CONTROLLING AUTHORITY.
   § 1691. DEFINITIONS. AS  USED  IN  THIS  ARTICLE:  1.  "TRANSPORTATION
 NETWORK COMPANY VEHICLE" OR "TNC VEHICLE" MEANS A VEHICLE THAT IS:
   (A)  USED  BY A TRANSPORTATION NETWORK COMPANY DRIVER TO PROVIDE A TNC
 PREARRANGED TRIP WITHIN THE STATE OF NEW YORK;
   (B) OWNED, LEASED OR OTHERWISE AUTHORIZED FOR USE BY  THE  TRANSPORTA-
 TION NETWORK COMPANY DRIVER AND SHALL NOT INCLUDE:
   (I) A TAXICAB, AS DEFINED IN SECTION ONE HUNDRED FORTY-EIGHT-A OF THIS
 CHAPTER AND SECTION 19-502 OF THE ADMINISTRATIVE CODE OF THE CITY OF NEW
 YORK, OR AS OTHERWISE DEFINED IN LOCAL LAW;
   (II)  A LIVERY VEHICLE, AS DEFINED IN SECTION ONE HUNDRED TWENTY-ONE-E
 OF THIS CHAPTER, OR AS OTHERWISE DEFINED IN LOCAL LAW;
   (III) A BLACK CAR, LIMOUSINE,  OR  LUXURY  LIMOUSINE,  AS  DEFINED  IN
 SECTION 19-502 OF THE ADMINISTRATIVE CODE OF THE CITY OF NEW YORK, OR AS
 OTHERWISE DEFINED IN LOCAL LAW;
   (IV)  A FOR-HIRE VEHICLE, AS DEFINED IN SECTION 19-502 OF THE ADMINIS-
 TRATIVE CODE OF THE CITY OF NEW YORK, OR AS OTHERWISE DEFINED  IN  LOCAL
 LAW;
   (V) A BUS, AS DEFINED IN SECTION ONE HUNDRED FOUR OF THIS CHAPTER;
   (VI)  ANY  MOTOR  VEHICLE WEIGHING MORE THAN SIX THOUSAND FIVE HUNDRED
 POUNDS UNLOADED;
   (VII) ANY MOTOR VEHICLE HAVING A SEATING CAPACITY OF MORE  THAN  SEVEN
 PASSENGERS; AND

 S. 2008--B                         10
 
   (VIII)  ANY  MOTOR VEHICLE SUBJECT TO SECTION THREE HUNDRED SEVENTY OF
 THIS CHAPTER.
   2.  "DIGITAL  NETWORK" MEANS ANY SYSTEM OR SERVICE OFFERED OR UTILIZED
 BY A TRANSPORTATION NETWORK COMPANY THAT ENABLES TNC  PREARRANGED  TRIPS
 WITH TRANSPORTATION NETWORK COMPANY DRIVERS.
   3.  "TRANSPORTATION  NETWORK  COMPANY" OR "TNC" MEANS A PERSON, CORPO-
 RATION, PARTNERSHIP,  SOLE  PROPRIETORSHIP,  OR  OTHER  ENTITY  THAT  IS
 LICENSED  PURSUANT  TO  THIS  ARTICLE AND IS OPERATING IN NEW YORK STATE
 EXCLUSIVELY USING A DIGITAL NETWORK TO  CONNECT  TRANSPORTATION  NETWORK
 COMPANY PASSENGERS TO TRANSPORTATION NETWORK COMPANY DRIVERS WHO PROVIDE
 TNC PREARRANGED TRIPS.
   4.  "TRANSPORTATION  NETWORK  COMPANY DRIVER" OR "TNC DRIVER" MEANS AN
 INDIVIDUAL WHO:
   (A) RECEIVES CONNECTIONS TO POTENTIAL PASSENGERS AND RELATED  SERVICES
 FROM  A  TRANSPORTATION NETWORK COMPANY IN EXCHANGE FOR PAYMENT OF A FEE
 TO THE TRANSPORTATION NETWORK COMPANY; AND
   (B) USES A TNC VEHICLE TO OFFER OR PROVIDE A TNC PREARRANGED  TRIP  TO
 TRANSPORTATION  NETWORK  COMPANY  PASSENGERS  UPON  CONNECTION THROUGH A
 DIGITAL NETWORK  CONTROLLED  BY  A  TRANSPORTATION  NETWORK  COMPANY  IN
 EXCHANGE FOR COMPENSATION OR PAYMENT OF A FEE.
   5.  "TRANSPORTATION  NETWORK COMPANY PASSENGER" OR "PASSENGER" MEANS A
 PERSON OR PERSONS WHO USE A  TRANSPORTATION  NETWORK  COMPANY'S  DIGITAL
 NETWORK  TO  CONNECT  WITH  A  TRANSPORTATION NETWORK COMPANY DRIVER WHO
 PROVIDES TNC PREARRANGED TRIPS TO  THE  PASSENGER  IN  THE  TNC  VEHICLE
 BETWEEN POINTS CHOSEN BY THE PASSENGER.
   6. "TNC PREARRANGED TRIP" OR "TRIP" MEANS THE PROVISION OF TRANSPORTA-
 TION  BY A TRANSPORTATION NETWORK COMPANY DRIVER TO A PASSENGER PROVIDED
 THROUGH THE USE OF A TNC'S DIGITAL NETWORK:
   (A) BEGINNING WHEN A TRANSPORTATION NETWORK COMPANY DRIVER  ACCEPTS  A
 PASSENGER'S REQUEST FOR A TRIP THROUGH A DIGITAL NETWORK CONTROLLED BY A
 TRANSPORTATION NETWORK COMPANY;
   (B)  CONTINUING WHILE THE TRANSPORTATION NETWORK COMPANY DRIVER TRANS-
 PORTS THE REQUESTING PASSENGER IN A TNC VEHICLE; AND
   (C) ENDING WHEN THE LAST REQUESTING PASSENGER  DEPARTS  FROM  THE  TNC
 VEHICLE.
   (D)  A "TNC PREARRANGED TRIP" DOES NOT INCLUDE TRANSPORTATION PROVIDED
 THROUGH ANY OF THE FOLLOWING:
   (I) SHARED EXPENSE CARPOOL OR VANPOOL ARRANGEMENTS, INCLUDING THOSE AS
 DEFINED IN SECTION ONE HUNDRED FIFTY-EIGHT-B OF THE VEHICLE AND  TRAFFIC
 LAW;
   (II)  USE  OF  A  TAXICAB, LIVERY, LUXURY LIMOUSINE, OR OTHER FOR-HIRE
 VEHICLE, AS DEFINED IN THE VEHICLE AND TRAFFIC LAW,  SECTION  19-502  OF
 THE  NEW YORK CITY ADMINISTRATIVE CODE, OR AS OTHERWISE DEFINED IN LOCAL
 LAW; AND
   (III) A REGIONAL TRANSPORTATION PROVIDER.
   7. "GROUP POLICY" MEANS AN INSURANCE POLICY ISSUED PURSUANT TO SECTION
 THREE THOUSAND FOUR HUNDRED FIFTY-FIVE OF THE INSURANCE LAW.
   § 1692. GENERAL PROVISIONS.  1. A TNC OR A TNC DRIVER IS NOT A  COMMON
 CARRIER, AS DEFINED IN SUBDIVISION SIX OF SECTION TWO OF THE TRANSPORTA-
 TION  LAW; A CONTRACT CARRIER OF PASSENGERS BY MOTOR VEHICLE, AS DEFINED
 IN SUBDIVISION NINE OF SECTION TWO OF THE TRANSPORTATION LAW; OR A MOTOR
 CARRIER, AS DEFINED IN SUBDIVISION  SEVENTEEN  OF  SECTION  TWO  OF  THE
 TRANSPORTATION  LAW;  NOR  DO  THEY  PROVIDE TAXICAB OR FOR-HIRE VEHICLE
 SERVICE. MOREOVER, A TNC DRIVER SHALL NOT BE REQUIRED  TO  REGISTER  THE
 TNC  VEHICLE SUCH TNC DRIVER USES FOR TNC PREARRANGED TRIPS AS A COMMER-

 S. 2008--B                         11
 
 CIAL OR FOR-HIRE VEHICLE, AS SET FORTH IN ARTICLE FOURTEEN OF THIS CHAP-
 TER.
   2. A TNC MAY NOT OPERATE IN THE STATE OF NEW YORK WITHOUT FIRST HAVING
 OBTAINED  A  LICENSE  ISSUED  BY THE DEPARTMENT IN A FORM AND MANNER AND
 WITH APPLICABLE FEES AS PROVIDED FOR BY REGULATIONS PROMULGATED  BY  THE
 COMMISSIONER.  AS  A  CONDITION  OF  OBTAINING A LICENSE, A TNC SHALL BE
 REQUIRED TO SUBMIT TO THE DEPARTMENT PROOF  OF  A  GROUP  POLICY  ISSUED
 PURSUANT TO SECTION THREE THOUSAND FOUR HUNDRED FIFTY-FIVE OF THE INSUR-
 ANCE  LAW. FAILURE OF A TNC TO OBTAIN A LICENSE BEFORE OPERATION, PURSU-
 ANT TO THIS SUBDIVISION SHALL CONSTITUTE A MISDEMEANOR. NO LICENSE SHALL
 BE SUSPENDED OR REVOKED EXCEPT UPON NOTICE  TO  THE  TNC  AND  AFTER  AN
 OPPORTUNITY TO BE HEARD.
   3. A TNC MUST MAINTAIN AN AGENT FOR SERVICE OF PROCESS IN THE STATE OF
 NEW YORK.
   4. ON BEHALF OF A TNC DRIVER, A TNC MAY CHARGE A FARE FOR THE SERVICES
 PROVIDED  TO  PASSENGERS;  PROVIDED  THAT, IF A FARE IS COLLECTED FROM A
 PASSENGER, THE TNC SHALL DISCLOSE TO THE PASSENGERS  THE  FARE  OR  FARE
 CALCULATION METHOD ON ITS WEBSITE OR WITHIN THE APPLICATION SERVICE. THE
 TNC  SHALL  ALSO  PROVIDE THE PASSENGERS WITH THE APPLICABLE RATES BEING
 CHARGED AND AN ESTIMATED FARE BEFORE THE PASSENGER ENTERS THE TNC  VEHI-
 CLE.
   5.  A TNC'S DIGITAL NETWORK SHALL DISPLAY A PICTURE OF THE TNC DRIVER,
 AND THE MAKE, MODEL, COLOR AND LICENSE PLATE NUMBER OF THE  TNC  VEHICLE
 UTILIZED  FOR  PROVIDING  THE  TNC PREARRANGED TRIP BEFORE THE PASSENGER
 ENTERS THE TNC VEHICLE.
   6. WITHIN A REASONABLE PERIOD OF TIME FOLLOWING THE  COMPLETION  OF  A
 TRIP,  A  TNC  SHALL  TRANSMIT AN ELECTRONIC RECEIPT TO THE PASSENGER ON
 BEHALF OF THE TNC DRIVER THAT LISTS:
   (A) THE ORIGIN AND DESTINATION OF THE TRIP;
   (B) THE TOTAL TIME AND DISTANCE OF THE TRIP;
   (C) AN ITEMIZATION OF THE TOTAL FARE PAID, IF ANY; AND
   (D) A SEPARATE STATEMENT OF THE APPLICABLE TAXES.
   7. A TNC DRIVER SHALL NOT SOLICIT OR ACCEPT STREET HAILS.
   8. A TNC SHALL ADOPT A POLICY PROHIBITING SOLICITATION  OR  ACCEPTANCE
 OF CASH PAYMENTS FOR THE FARES CHARGED TO PASSENGERS FOR TNC PREARRANGED
 TRIPS  AND  NOTIFY  TNC  DRIVERS OF SUCH POLICY.   TNC DRIVERS SHALL NOT
 SOLICIT OR ACCEPT CASH PAYMENTS FROM PASSENGERS.
   9. NOTHING IN THIS ARTICLE SHALL APPLY TO CITIES WITH A POPULATION  OF
 ONE MILLION OR MORE.
   § 1693.  FINANCIAL RESPONSIBILITY OF TRANSPORTATION NETWORK COMPANIES.
 1. A TNC DRIVER, OR TNC ON THE TNC DRIVER'S BEHALF THROUGH A GROUP POLI-
 CY,  SHALL  MAINTAIN  INSURANCE THAT RECOGNIZES THAT THE DRIVER IS A TNC
 DRIVER AND PROVIDES FINANCIAL RESPONSIBILITY COVERAGE:
   (A) WHILE THE TNC DRIVER IS LOGGED ONTO THE TNC'S DIGITAL NETWORK; AND
   (B) WHILE THE TNC DRIVER IS ENGAGED IN A TNC PREARRANGED TRIP.
   2. (A) THE FOLLOWING  AUTOMOBILE  FINANCIAL  RESPONSIBILITY  INSURANCE
 REQUIREMENTS  SHALL  APPLY  WHILE  A TNC DRIVER IS LOGGED ONTO THE TNC'S
 DIGITAL NETWORK AND IS AVAILABLE TO RECEIVE TRANSPORTATION REQUESTS  BUT
 IS  NOT  ENGAGED  IN A TNC PREARRANGED TRIP: INSURANCE AGAINST LOSS FROM
 THE LIABILITY IMPOSED BY LAW FOR DAMAGES, INCLUDING DAMAGES FOR CARE AND
 LOSS OF SERVICES, BECAUSE OF BODILY INJURY TO OR DEATH  OF  ANY  PERSON,
 AND  INJURY  TO OR DESTRUCTION OF PROPERTY ARISING OUT OF THE OWNERSHIP,
 MAINTENANCE, USE OR OPERATION OF A PERSONAL VEHICLE OR  VEHICLES  WITHIN
 THIS  STATE, OR ELSEWHERE IN THE UNITED STATES IN NORTH AMERICA OR CANA-
 DA, SUBJECT TO A LIMIT, EXCLUSIVE OF INTEREST AND COSTS, WITH RESPECT TO
 EACH SUCH OCCURRENCE, OF AT LEAST  FIFTY  THOUSAND  DOLLARS  BECAUSE  OF

 S. 2008--B                         12
 
 BODILY INJURY TO OR DEATH OF ONE PERSON IN ANY ONE ACCIDENT AND, SUBJECT
 TO  SAID  LIMIT FOR ONE PERSON, TO A LIMIT OF AT LEAST ONE HUNDRED THOU-
 SAND DOLLARS BECAUSE OF BODILY INJURY TO OR DEATH OF TWO OR MORE PERSONS
 IN  ANY  ONE  ACCIDENT,  AND TO A LIMIT OF AT LEAST TWENTY-FIVE THOUSAND
 DOLLARS BECAUSE OF INJURY TO OR DESTRUCTION OF PROPERTY OF OTHERS IN ANY
 ONE ACCIDENT PROVIDED, HOWEVER, THAT SUCH POLICY NEED NOT BE FOR A PERI-
 OD COTERMINOUS WITH THE REGISTRATION  PERIOD  OF  THE  PERSONAL  VEHICLE
 INSURED,  AND  COVERAGE  IN SATISFACTION OF THE FINANCIAL RESPONSIBILITY
 REQUIREMENTS SET FORTH IN SECTION THREE THOUSAND FOUR HUNDRED TWENTY  OF
 THE  INSURANCE  LAW,  ARTICLE  FIFTY-ONE  OF THE INSURANCE LAW, AND SUCH
 OTHER REQUIREMENTS OR REGULATIONS THAT MAY APPLY  FOR  THE  PURPOSES  OF
 SATISFYING THE FINANCIAL RESPONSIBILITY REQUIREMENTS WITH RESPECT TO THE
 USE OR OPERATION OF A MOTOR VEHICLE.
   (B) THE COVERAGE REQUIREMENTS OF PARAGRAPH (A) OF THIS SUBDIVISION MAY
 BE SATISFIED BY ANY OF THE FOLLOWING:
   (I) INSURANCE MAINTAINED BY THE TNC DRIVER; OR
   (II)  INSURANCE PROVIDED THROUGH A GROUP POLICY MAINTAINED BY THE TNC;
 OR
   (III) A COMBINATION OF SUBPARAGRAPHS (I) AND (II) OF THIS PARAGRAPH.
   3. (A) THE FOLLOWING  AUTOMOBILE  FINANCIAL  RESPONSIBILITY  INSURANCE
 REQUIREMENTS  SHALL  APPLY WHILE A TNC DRIVER IS ENGAGED IN A TNC PREAR-
 RANGED TRIP: INSURANCE AGAINST LOSS FROM THE LIABILITY  IMPOSED  BY  LAW
 FOR DAMAGES, INCLUDING DAMAGES FOR CARE AND LOSS OF SERVICES, BECAUSE OF
 BODILY INJURY TO OR DEATH OF ANY PERSON, AND INJURY TO OR DESTRUCTION OF
 PROPERTY ARISING OUT OF THE OWNERSHIP, MAINTENANCE, USE, OR OPERATION OF
 A  SPECIFIC PERSONAL VEHICLE OR VEHICLES WITHIN THIS STATE, OR ELSEWHERE
 IN THE UNITED STATES IN NORTH AMERICA OR CANADA,  SUBJECT  TO  A  LIMIT,
 EXCLUSIVE  OF  INTEREST AND COSTS, WITH RESPECT TO EACH SUCH OCCURRENCE,
 OF AT LEAST ONE MILLION DOLLARS BECAUSE OF BODILY  INJURIES,  DEATH  AND
 PROPERTY  DAMAGE,  PROVIDED, HOWEVER, THAT SUCH POLICY NEED NOT BE FOR A
 PERIOD COTERMINOUS WITH THE REGISTRATION PERIOD OF THE PERSONAL  VEHICLE
 INSURED,  AND  COVERAGE  IN SATISFACTION OF THE FINANCIAL RESPONSIBILITY
 REQUIREMENTS SET FORTH IN SECTION THREE THOUSAND FOUR HUNDRED TWENTY  OF
 THE  INSURANCE  LAW,  ARTICLE  FIFTY-ONE  OF THE INSURANCE LAW, AND SUCH
 OTHER REQUIREMENTS OR REGULATIONS THAT MAY APPLY  FOR  THE  PURPOSES  OF
 SATISFYING THE FINANCIAL RESPONSIBILITY REQUIREMENTS WITH RESPECT TO THE
 USE OR OPERATION OF A MOTOR VEHICLE.
   (B) THE COVERAGE REQUIREMENTS OF PARAGRAPH (A) OF THIS SUBDIVISION MAY
 BE SATISFIED BY ANY OF THE FOLLOWING:
   (I) INSURANCE MAINTAINED BY THE TNC DRIVER; OR
   (II)  INSURANCE PROVIDED THROUGH A GROUP POLICY MAINTAINED BY THE TNC;
 OR
   (III) A COMBINATION OF SUBPARAGRAPHS (I) AND (II) OF THIS PARAGRAPH.
   4. A TNC SHALL, UPON ENTERING INTO A CONTRACTUAL AGREEMENT WITH A  TNC
 DRIVER,  PROVIDE  NOTICE TO THE TNC DRIVER THAT HE OR SHE MAY NEED ADDI-
 TIONAL INSURANCE COVERAGE INCLUDING MOTOR VEHICLE PHYSICAL DAMAGE COVER-
 AGE AS DESCRIBED IN PARAGRAPH NINETEEN OF SUBSECTION (A) OF SECTION  ONE
 THOUSAND  ONE  HUNDRED  THIRTEEN OF THE INSURANCE LAW IF THE TNC VEHICLE
 BEING USED BY THE TNC DRIVER IS SUBJECT TO A LEASE OR LOAN. A TNC  SHALL
 ALSO POST THIS NOTICE ON ITS WEBSITE IN A PROMINENT PLACE.
   5.  IF  INSURANCE  MAINTAINED BY A TNC DRIVER PURSUANT TO SUBDIVISIONS
 TWO AND THREE OF THIS  SECTION  HAS  LAPSED  OR  DOES  NOT  PROVIDE  THE
 REQUIRED  COVERAGE,  THEN  THE  GROUP  POLICY  MAINTAINED BY A TNC SHALL
 PROVIDE THE COVERAGE REQUIRED BY THIS SECTION BEGINNING WITH  THE  FIRST
 DOLLAR OF A CLAIM AND HAVE THE DUTY TO DEFEND SUCH CLAIM.

 S. 2008--B                         13
 
   6.  COVERAGE  UNDER  A GROUP POLICY MAINTAINED BY THE TNC SHALL NOT BE
 DEPENDENT ON THE DENIAL OF A CLAIM BY THE INSURER THAT ISSUED THE INSUR-
 ANCE POLICY USED TO REGISTER THE TNC VEHICLE, NOR SHALL THAT INSURER  BE
 REQUIRED TO FIRST DENY A CLAIM.
   7.  INSURANCE  REQUIRED  BY THIS SECTION MAY BE PLACED WITH AN INSURER
 AUTHORIZED OR ELIGIBLE TO WRITE INSURANCE IN THIS  STATE  AND  SHALL  BE
 ELIGIBLE  FOR PLACEMENT BY AN EXCESS LINE BROKER PURSUANT TO SECTION TWO
 THOUSAND ONE HUNDRED EIGHTEEN OF THE INSURANCE LAW.
   8.  INSURANCE SATISFYING THE REQUIREMENTS OF THIS SECTION MAY BE USED,
 WHEN THE TNC VEHICLE IS BEING USED OR OPERATED DURING THE PERIOD  SPECI-
 FIED  IN  SUBDIVISION  ONE  OF  THIS  SECTION,  TO SATISFY THE FINANCIAL
 RESPONSIBILITY REQUIREMENTS SET FORTH IN  SUBDIVISION  FOUR  OF  SECTION
 THREE  HUNDRED  ELEVEN  OF  THIS  CHAPTER, AND ANY OTHER REQUIREMENTS OR
 REGULATIONS THAT MAY APPLY FOR THE PURPOSES OF SATISFYING THE  FINANCIAL
 RESPONSIBILITY  REQUIREMENTS  WITH  RESPECT TO THE USE OR OPERATION OF A
 MOTOR VEHICLE.
   9. A TNC DRIVER SHALL CARRY PROOF OF COVERAGE SATISFYING  SUBDIVISIONS
 TWO AND THREE OF THIS SECTION WITH HIM OR HER AT ALL TIMES DURING HIS OR
 HER USE OR OPERATION OF A TNC VEHICLE IN CONNECTION WITH A TNC'S DIGITAL
 NETWORK. SUCH PROOF OF COVERAGE SHALL BE IN SUCH FORM AS THE COMMISSION-
 ER SHALL PRESCRIBE, WHICH MAY BE IN THE FORM OF AN INSURANCE IDENTIFICA-
 TION  CARD  AS  DEFINED IN SECTION THREE HUNDRED ELEVEN OF THIS CHAPTER.
 ANY INSURANCE IDENTIFICATION CARD ISSUED PURSUANT TO THE  PROVISIONS  OF
 THIS  ARTICLE  SHALL BE IN ADDITION TO THE INSURANCE IDENTIFICATION CARD
 REQUIRED PURSUANT TO ARTICLE SIX OF THIS CHAPTER, AND NOTHING  CONTAINED
 IN  THIS  ARTICLE  SHALL BE DEEMED TO SUPERSEDE THE REQUIREMENTS OF SUCH
 ARTICLE SIX. WHENEVER THE PRODUCTION OF AN INSURANCE IDENTIFICATION CARD
 IS REQUIRED BY LAW, A TNC DRIVER SHALL (A) PRODUCE THE  INSURANCE  IDEN-
 TIFICATION  CARD ISSUED PURSUANT TO ARTICLE SIX OF THIS CHAPTER AND, (B)
 IF SUCH DRIVER EITHER (I) WAS LOGGED ONTO THE TNC'S DIGITAL NETWORK  AND
 AVAILABLE  TO  RECEIVE  TRANSPORTATION REQUESTS BUT NOT ENGAGED IN A TNC
 PREARRANGED TRIP OR (II) WAS LOGGED ON TO THE TNC'S DIGITAL NETWORK  AND
 WAS  ENGAGED  IN  A TNC PREARRANGED TRIP, SUCH DRIVER SHALL ALSO PRODUCE
 THE INSURANCE IDENTIFICATION CARD REQUIRED PURSUANT TO THIS ARTICLE.
   10. THE SUPERINTENDENT OF FINANCIAL SERVICES IS  AUTHORIZED  TO  ISSUE
 SUCH RULES AND REGULATIONS NECESSARY TO IMPLEMENT THIS SECTION.
   11.  NOTHING  IN  THIS  SECTION  SHALL IMPOSE FINANCIAL RESPONSIBILITY
 REQUIREMENTS UPON ANY ENTITIES OPERATING AS VEHICLES FOR HIRE IN A  CITY
 WITH A POPULATION OF ONE MILLION OR MORE.
   §  1694.  DISCLOSURES.  A TNC SHALL DISCLOSE IN WRITING TO TNC DRIVERS
 THE FOLLOWING BEFORE THEY ARE ALLOWED TO ACCEPT  A  REQUEST  FOR  A  TNC
 PREARRANGED TRIP ON THE TNC'S DIGITAL NETWORK:
   1.  THE  INSURANCE  COVERAGE,  INCLUDING THE TYPES OF COVERAGE AND THE
 LIMITS FOR EACH COVERAGE, THAT THE TNC PROVIDES  WHILE  THE  TNC  DRIVER
 USES A TNC VEHICLE IN CONNECTION WITH A TNC'S DIGITAL NETWORK;
   2.  THAT  THE  TNC  DRIVER'S OWN AUTOMOBILE INSURANCE POLICY MIGHT NOT
 PROVIDE ANY COVERAGE WHILE THE TNC DRIVER IS  LOGGED  ON  TO  THE  TNC'S
 DIGITAL  NETWORK  AND IS AVAILABLE TO RECEIVE TRANSPORTATION REQUESTS OR
 IS ENGAGED IN A TNC PREARRANGED TRIP, DEPENDING ON ITS TERMS; AND
   3. THAT, IF A TNC VEHICLE HAS A LIEN AGAINST IT,  THEN  THE  CONTINUED
 USE OF SUCH TNC VEHICLE BY ITS TNC DRIVER WITHOUT PHYSICAL DAMAGE COVER-
 AGE MAY VIOLATE THE TERMS OF THE CONTRACT WITH THE LIENHOLDER.
   §  1695.  INSURANCE PROVISIONS. 1.   INSURERS THAT WRITE MOTOR VEHICLE
 INSURANCE IN THIS STATE MAY, IN THE INSURANCE POLICY,  EXCLUDE  ANY  AND
 ALL COVERAGE AFFORDED UNDER THE POLICY ISSUED TO AN OWNER OR OPERATOR OF
 A  TNC  VEHICLE FOR ANY LOSS OR INJURY THAT OCCURS WHILE A TNC DRIVER IS

 S. 2008--B                         14
 
 LOGGED ON TO A TNC'S DIGITAL NETWORK OR WHILE A DRIVER PROVIDES A PREAR-
 RANGED TRIP, INCLUDING:
   (A) LIABILITY COVERAGE FOR BODILY INJURY AND PROPERTY DAMAGE;
   (B)  COVERAGE  PROVIDED PURSUANT TO ARTICLE FIFTY-ONE OF THE INSURANCE
 LAW;
   (C) UNINSURED AND UNDERINSURED MOTORIST COVERAGE; AND
   (D) MOTOR VEHICLE PHYSICAL DAMAGE COVERAGE AS DESCRIBED  IN  PARAGRAPH
 NINETEEN  OF SUBSECTION (A) OF SECTION ONE THOUSAND ONE HUNDRED THIRTEEN
 OF THE INSURANCE LAW.
   2. SUCH EXCLUSIONS SHALL APPLY NOTWITHSTANDING ANY  REQUIREMENT  UNDER
 THE  LAW  TO THE CONTRARY.   NOTHING IN THIS SECTION IMPLIES OR REQUIRES
 THAT AN OWNER'S POLICY OF LIABILITY INSURANCE  OR  OTHER  MOTOR  VEHICLE
 INSURANCE  POLICY  PROVIDE COVERAGE WHILE THE TNC DRIVER IS LOGGED ON TO
 THE TNC'S DIGITAL NETWORK, WHILE THE TNC DRIVER  IS  ENGAGED  IN  A  TNC
 PREARRANGED  TRIP  OR  WHILE THE TNC DRIVER OTHERWISE USES OR OPERATES A
 TNC VEHICLE TO TRANSPORT PASSENGERS FOR COMPENSATION.
   3. NOTHING SHALL BE DEEMED  TO  PRECLUDE  AN  INSURER  FROM  PROVIDING
 PRIMARY,  EXCESS, OR UMBRELLA COVERAGE FOR THE TNC DRIVER'S TNC VEHICLE,
 IF IT CHOSE TO DO SO BY CONTRACT OR ENDORSEMENT.
   4. MOTOR VEHICLE INSURERS THAT EXCLUDE THE COVERAGE DESCRIBED IN  THIS
 ARTICLE  SHALL  HAVE  NO DUTY TO DEFEND OR INDEMNIFY ANY CLAIM EXPRESSLY
 EXCLUDED THEREUNDER.  NOTHING IN THIS ARTICLE SHALL BE DEEMED TO INVALI-
 DATE OR LIMIT AN EXCLUSION CONTAINED IN A POLICY INCLUDING ANY POLICY IN
 USE OR APPROVED FOR USE IN THIS STATE PRIOR TO THE EFFECTIVE DATE OF THE
 CHAPTER OF THE LAWS OF TWO THOUSAND SEVENTEEN THAT ADDED THIS SECTION.
   5. A MOTOR VEHICLE INSURER THAT DEFENDS OR INDEMNIFIES A CLAIM AGAINST
 A TNC DRIVER THAT IS EXCLUDED UNDER THE TERMS OF ITS POLICY SHALL HAVE A
 RIGHT OF CONTRIBUTION AGAINST OTHER INSURERS THAT PROVIDE MOTOR  VEHICLE
 INSURANCE  TO  THE  SAME DRIVER IN SATISFACTION OF THE COVERAGE REQUIRE-
 MENTS OF THE PROVISIONS OF THE CHAPTER  OF  THE  LAWS  OF  TWO  THOUSAND
 SEVENTEEN WHICH ADDED THIS ARTICLE AT THE TIME OF LOSS.
   6.  IN  A  CLAIMS COVERAGE INVESTIGATION, A TNC AND ANY INSURER POTEN-
 TIALLY PROVIDING COVERAGE UNDER THIS ARTICLE SHALL, WITHIN FIFTEEN  DAYS
 AFTER A CLAIM HAS BEEN FILED, FACILITATE THE EXCHANGE OF RELEVANT INFOR-
 MATION  WITH DIRECTLY INVOLVED PARTIES AND ANY INSURER OF THE TNC DRIVER
 IF APPLICABLE, INCLUDING THE PRECISE TIMES THAT A TNC DRIVER  LOGGED  ON
 AND  OFF  OF  THE  TNC'S DIGITAL NETWORK IN THE TWELVE HOUR PERIOD IMME-
 DIATELY PRECEDING AND IN THE TWELVE HOUR  PERIOD  IMMEDIATELY  FOLLOWING
 THE  ACCIDENT  AND  DISCLOSE  TO  ONE ANOTHER A CLEAR DESCRIPTION OF THE
 COVERAGE, EXCLUSIONS AND LIMITS PROVIDED UNDER ANY MOTOR VEHICLE  INSUR-
 ANCE MAINTAINED UNDER THIS ARTICLE.
   7.  THE COMMISSIONER SHALL PROMULGATE REGULATIONS FOR THE PROVISION OF
 RELEVANT INSURANCE COVERAGE INFORMATION REQUIRED BY THIS ARTICLE TO  THE
 FOLLOWING PERSONS UPON REQUEST:
   (A)  A  PERSON  TO WHOM AN ACCIDENT REPORT PERTAINS OR WHO IS NAMED IN
 SUCH REPORT, OR HIS OR HER AUTHORIZED REPRESENTATIVE; AND
   (B) ANY OTHER PERSON OR HIS OR HER AUTHORIZED REPRESENTATIVE  WHO  HAS
 DEMONSTRATED TO THE SATISFACTION OF THE COMMISSIONER THAT SUCH PERSON IS
 OR MAY BE A PARTY TO A CIVIL ACTION ARISING OUT OF THE CONDUCT DESCRIBED
 IN SUCH ACCIDENT REPORT.
   § 1696. DRIVER AND VEHICLE REQUIREMENTS. 1. (A) AT ALL TIMES, AN INDI-
 VIDUAL ACTING AS A TNC DRIVER SHALL BE PERMITTED BY THE TNC AS FOLLOWS:
   (I) THE INDIVIDUAL SHALL SUBMIT AN APPLICATION TO THE TNC, WHICH SHALL
 INCLUDE INFORMATION REGARDING HIS OR HER ADDRESS, AGE, DRIVER'S LICENSE,
 MOTOR  VEHICLE  REGISTRATION,  AUTOMOBILE LIABILITY INSURANCE, AND OTHER
 INFORMATION REQUIRED BY THE TNC;

 S. 2008--B                         15

   (II) THE TNC SHALL CONDUCT OR HAVE A THIRD PARTY CONDUCT, A LOCAL  AND
 NATIONAL CRIMINAL BACKGROUND CHECK FOR EACH APPLICANT IN ACCORDANCE WITH
 SECTION  SIXTEEN  HUNDRED  NINETY-NINE  OF  THIS  ARTICLE AND THAT SHALL
 REVIEW:
   (A) WHETHER THE APPLICANT IS LISTED ON THE NEW YORK STATE SEX OFFENDER
 REGISTRY PURSUANT TO ARTICLE SIX-C OF THE CORRECTION LAW; AND
   (B)  THE  UNITED  STATES  DEPARTMENT  OF JUSTICE NATIONAL SEX OFFENDER
 PUBLIC WEBSITE;
   (III) THE TNC SHALL OBTAIN AND REVIEW, OR HAVE A  THIRD  PARTY  OBTAIN
 AND REVIEW, A DRIVING HISTORY RESEARCH REPORT FOR SUCH INDIVIDUAL.
   (B) THE TNC SHALL NOT PERMIT AN APPLICANT WHERE SUCH APPLICANT:
   (I)  FAILS  TO  MEET  ALL  QUALIFICATIONS  PURSUANT TO SECTION SIXTEEN
 HUNDRED NINETY-NINE OF THIS ARTICLE;
   (II) IS A MATCH IN THE UNITED STATES DEPARTMENT  OF  JUSTICE  NATIONAL
 SEX OFFENDER PUBLIC WEBSITE;
   (III)  DOES NOT POSSESS A VALID NEW YORK DRIVER'S LICENSE, UNLESS SUCH
 APPLICANT DOES POSSESS A VALID OUT OF STATE DRIVER'S LICENSE  AND  PROOF
 THAT  SUCH  APPLICANT  IS AN ACTIVE DUTY MEMBER OF THE ARMED SERVICES OF
 THE UNITED STATES STATIONED IN THIS STATE OR IS A  FAMILY  OR  HOUSEHOLD
 MEMBER OF SUCH AN ACTIVE DUTY MEMBER;
   (IV)  DOES  NOT POSSESS PROOF OF REGISTRATION FOR THE MOTOR VEHICLE(S)
 USED TO PROVIDE TNC PREARRANGED TRIPS;
   (V) DOES NOT POSSESS PROOF OF AUTOMOBILE LIABILITY INSURANCE  FOR  THE
 MOTOR VEHICLE(S) USED TO PROVIDE TNC PREARRANGED TRIPS AS A TNC VEHICLE;
 OR
   (VI) IS NOT AT LEAST NINETEEN YEARS OF AGE.
   (C)  UPON  REVIEW  OF ALL INFORMATION RECEIVED AND RETAINED BY THE TNC
 AND UPON VERIFYING THAT THE INDIVIDUAL IS NOT DISQUALIFIED  PURSUANT  TO
 THIS  SECTION  FROM RECEIVING A TNC DRIVER PERMIT, A TNC MAY ISSUE A TNC
 DRIVER PERMIT TO THE APPLICANT. THE TNC  SHALL  REVIEW  ALL  INFORMATION
 RECEIVED  RELATING  TO  SUCH APPLICANT AND HOLD SUCH INFORMATION FOR SIX
 YEARS ALONG WITH  A  CERTIFICATION  THAT  SUCH  APPLICANT  QUALIFIES  TO
 RECEIVE A TNC DRIVER PERMIT.
   (D)  (I)  A  TNC  THAT  ISSUES  A TNC DRIVER'S PERMIT PURSUANT TO THIS
 SECTION SHALL PARTICIPATE IN THE NEW  YORK  LICENSE  EVENT  NOTIFICATION
 SERVICE  (LENS)  ESTABLISHED  BY  THE DEPARTMENT TO OBTAIN TIMELY NOTICE
 WHEN ANY OF THE FOLLOWING VIOLATIONS ARE ADDED TO A TNC DRIVER'S DRIVING
 RECORD:
   (A) UNLAWFUL FLEEING A POLICE OFFICER IN A MOTOR VEHICLE IN  VIOLATION
 OF SECTIONS 270.35, 270.30 OR 270.25 OF THE PENAL LAW;
   (B)  RECKLESS DRIVING IN VIOLATION OF SECTION ONE THOUSAND TWO HUNDRED
 TWELVE OF THIS CHAPTER;
   (C) OPERATING WHILE LICENSE OR PRIVILEGE IS SUSPENDED  OR  REVOKED  IN
 VIOLATION  OF  SECTION  FIVE  HUNDRED  ELEVEN OF THIS CHAPTER, EXCLUDING
 SUBDIVISION SEVEN OF SUCH SECTION;
   (D) OPERATING A MOTOR VEHICLE WHILE UNDER THE INFLUENCE OF ALCOHOL  OR
 DRUGS  IN  VIOLATION  OF  SECTION ONE THOUSAND ONE HUNDRED NINETY-TWO OF
 THIS CHAPTER; AND
   (E) LEAVING THE SCENE OF AN INCIDENT WITHOUT REPORTING IN VIOLATION OF
 SUBDIVISION TWO OF SECTION SIX HUNDRED OF THIS CHAPTER.
   (E) NO PERSON SHALL OPERATE A TNC VEHICLE OR OPERATE AS A  TNC  DRIVER
 UNLESS  SUCH  PERSON  HOLDS A VALID TNC DRIVER PERMIT ISSUED PURSUANT TO
 THIS SECTION. A VIOLATION OF THIS PARAGRAPH SHALL BE A  TRAFFIC  INFRAC-
 TION  PUNISHABLE  BY  A FINE OF NOT LESS THAN SEVENTY-FIVE NOR MORE THAN
 THREE HUNDRED DOLLARS, OR BY IMPRISONMENT  FOR  NOT  MORE  THAN  FIFTEEN
 DAYS, OR BY BOTH SUCH FINE AND IMPRISONMENT.

 S. 2008--B                         16
 
   2. A TNC SHALL IMPLEMENT A ZERO-TOLERANCE POLICY REGARDING A TNC DRIV-
 ER'S  ACTIVITIES  WHILE ACCESSING THE TNC'S DIGITAL NETWORK. SUCH POLICY
 SHALL ADDRESS THE ISSUE OF OPERATING A VEHICLE UNDER  THE  INFLUENCE  OF
 ALCOHOL  OR  DRUGS WHILE A TNC DRIVER IS PROVIDING TNC PREARRANGED TRIPS
 OR  IS  LOGGED  ONTO  THE TNC'S DIGITAL NETWORK BUT IS NOT PROVIDING TNC
 PREARRANGED TRIPS, AND THE TNC SHALL PROVIDE NOTICE OF  THIS  POLICY  ON
 ITS DIGITAL NETWORK, AS WELL AS PROCEDURES TO REPORT A COMPLAINT ABOUT A
 TNC  DRIVER  WITH WHOM A TNC PREARRANGED TRIP WAS COMMENCED AND WHOM THE
 PASSENGER REASONABLY SUSPECTS WAS OPERATING A VEHICLE UNDER  THE  INFLU-
 ENCE OF ALCOHOL OR DRUGS DURING THE COURSE OF THE TNC PREARRANGED TRIP.
   3.  (A)  A TNC SHALL ADOPT A POLICY OF NON-DISCRIMINATION ON THE BASIS
 OF DESTINATION, RACE, COLOR, NATIONAL ORIGIN, RELIGIOUS BELIEF, PRACTICE
 OR AFFILIATION, SEX, DISABILITY, AGE, SEXUAL ORIENTATION, GENDER IDENTI-
 TY, OR GENETIC PREDISPOSITION WITH RESPECT TO PASSENGERS  AND  POTENTIAL
 PASSENGERS AND NOTIFY TNC DRIVERS OF SUCH POLICY.
   (B)  TNC  DRIVERS SHALL COMPLY WITH ALL APPLICABLE LAWS REGARDING NON-
 DISCRIMINATION AGAINST PASSENGERS OR POTENTIAL PASSENGERS ON  THE  BASIS
 OF DESTINATION, RACE, COLOR, NATIONAL ORIGIN, RELIGIOUS BELIEF, PRACTICE
 OR AFFILIATION, SEX, DISABILITY, AGE, SEXUAL ORIENTATION, GENDER IDENTI-
 TY,  OR  GENETIC PREDISPOSITION WITH RESPECT TO PASSENGERS AND POTENTIAL
 PASSENGERS AND NOTIFY TNC DRIVERS OF SUCH POLICY.
   (C) TNC DRIVERS SHALL COMPLY WITH  ALL  APPLICABLE  LAWS  RELATING  TO
 ACCOMMODATION OF SERVICE ANIMALS.
   (D)  A TNC SHALL IMPLEMENT AND MAINTAIN A POLICY OF PROVIDING ACCESSI-
 BILITY TO PASSENGERS OR  POTENTIAL  PASSENGERS  WITH  A  DISABILITY  AND
 ACCOMMODATION  OF SERVICE ANIMALS AS SUCH TERM IS DEFINED IN SECTION ONE
 HUNDRED TWENTY-THREE-B OF THE AGRICULTURE AND MARKETS LAW AND  SHALL  TO
 THE  EXTENT PRACTICABLE ADOPT FINDINGS ESTABLISHED BY THE NEW YORK STATE
 TNC ACCESSIBILITY TASK FORCE ADOPTED PURSUANT TO SECTION NINETEEN OF THE
 CHAPTER OF THE LAWS OF TWO THOUSAND SEVENTEEN THAT ADDED  THIS  SECTION.
 A  TNC  SHALL  NOT  IMPOSE  ADDITIONAL CHARGES FOR PROVIDING SERVICES TO
 PERSONS WITH PHYSICAL DISABILITIES BECAUSE OF THOSE DISABILITIES.
   4. A TNC SHALL REQUIRE THAT ANY MOTOR VEHICLE(S)  THAT  A  TNC  DRIVER
 WILL  USE AS A TNC VEHICLE TO PROVIDE TNC PREARRANGED TRIPS MEETS APPLI-
 CABLE NEW YORK STATE VEHICLE SAFETY AND EMISSIONS REQUIREMENTS,  AS  SET
 FORTH IN SECTION THREE HUNDRED ONE OF THIS CHAPTER, OR THE VEHICLE SAFE-
 TY  AND  EMISSIONS  REQUIREMENTS  OF  THE  STATE IN WHICH THE VEHICLE IS
 REGISTERED.
   5. A TNC DRIVER SHALL DISPLAY A CONSISTENT AND DISTINCTIVE TRADE DRESS
 CONSISTING OF A REMOVABLE LOGO, INSIGNIA, OR EMBLEM  AT  ALL  TIMES  THE
 DRIVER IS PROVIDING TNC SERVICES. THE TRADE DRESS SHALL BE:
   (A)  SUFFICIENTLY  LARGE  AND  COLOR  CONTRASTED  SO AS TO BE READABLE
 DURING DAYLIGHT HOURS AT A DISTANCE OF FIFTY FEET; AND
   (B) REFLECTIVE, ILLUMINATED, OR  OTHERWISE  PATENTLY  VISIBLE  IN  THE
 DARKNESS.
   §  1697.  MAINTENANCE  OF  RECORDS. A TNC SHALL MAINTAIN THE FOLLOWING
 RECORDS:
   1. INDIVIDUAL TRIP RECORDS FOR AT LEAST SIX YEARS FROM THE  DATE  EACH
 TRIP WAS PROVIDED; AND
   2. INDIVIDUAL RECORDS OF TNC DRIVERS AT LEAST UNTIL THE SIX YEAR ANNI-
 VERSARY  OF  THE  DATE ON WHICH A TNC DRIVER'S RELATIONSHIP WITH THE TNC
 HAS ENDED.
   § 1698. AUDIT PROCEDURES; CONFIDENTIALITY OF RECORDS. 1. FOR THE  SOLE
 PURPOSE  OF  VERIFYING THAT A TNC IS IN COMPLIANCE WITH THE REQUIREMENTS
 OF THIS ARTICLE AND  NO  MORE  THAN  BIANNUALLY,  THE  DEPARTMENT  SHALL
 RESERVE  THE  RIGHT TO VISUALLY INSPECT A SAMPLE OF RECORDS THAT THE TNC

 S. 2008--B                         17

 IS REQUIRED TO MAINTAIN, UPON REQUEST BY THE DEPARTMENT  THAT  SHALL  BE
 FULFILLED IN NO LESS THAN TEN BUSINESS DAYS BY THE TNC. THE SAMPLE SHALL
 BE  CHOSEN  RANDOMLY  BY  THE  DEPARTMENT  IN A MANNER AGREEABLE TO BOTH
 PARTIES. THE AUDIT SHALL TAKE PLACE AT A MUTUALLY AGREED LOCATION IN NEW
 YORK.  ANY  RECORD  FURNISHED  TO THE DEPARTMENT MAY EXCLUDE INFORMATION
 THAT WOULD TEND TO IDENTIFY SPECIFIC DRIVERS OR PASSENGERS.
   2. (A) THE DEPARTMENT SHALL ESTABLISH REGULATIONS FOR  THE  FILING  OF
 COMPLAINTS AGAINST ANY TNC DRIVER OR TNC PURSUANT TO THIS SECTION.
   (B) IN RESPONSE TO A SPECIFIC COMPLAINT AGAINST ANY TNC DRIVER OR TNC,
 THE DEPARTMENT IS AUTHORIZED TO INSPECT RECORDS HELD BY THE TNC THAT ARE
 NECESSARY  TO  INVESTIGATE  AND RESOLVE THE COMPLAINT.   THE TNC AND THE
 DEPARTMENT SHALL ENDEAVOR TO HAVE THE INSPECTION TAKE PLACE AT A MUTUAL-
 LY AGREED LOCATION IN NEW YORK. ANY RECORD FURNISHED TO  THE  DEPARTMENT
 MAY  EXCLUDE INFORMATION THAT WOULD TEND TO IDENTIFY SPECIFIC DRIVERS OR
 PASSENGERS, UNLESS THE IDENTITY OF A DRIVER OR PASSENGER IS RELEVANT  TO
 THE COMPLAINT.
   3.  THE  DEPARTMENT  SHALL  PROMULGATE  REGULATIONS  FOR THE FILING OF
 COMPLAINTS PURSUANT TO THIS SECTION.
   § 1699. CRIMINAL HISTORY BACKGROUND CHECK  OF  TRANSPORTATION  NETWORK
 COMPANY  DRIVERS.  1.  A  TRANSPORTATION NETWORK COMPANY SHALL CONDUCT A
 CRIMINAL HISTORY BACKGROUND CHECK USING A LAWFUL METHOD APPROVED BY  THE
 DEPARTMENT  PURSUANT TO PARAGRAPH (A) OF SUBDIVISION TWO OF THIS SECTION
 FOR PERSONS APPLYING TO DRIVE FOR SUCH COMPANY.
   2. (A) THE METHOD USED TO CONDUCT A CRIMINAL HISTORY BACKGROUND  CHECK
 PURSUANT  TO  SUBDIVISION  ONE  OF  THIS SECTION SHALL BE ESTABLISHED IN
 REGULATIONS ADOPTED BY THE DEPARTMENT WITHIN THIRTY DAYS OF  THE  EFFEC-
 TIVE  DATE  OF THIS SECTION.  TO ENSURE SAFETY OF THE PASSENGERS AND THE
 PUBLIC SUCH REGULATIONS SHALL ESTABLISH THE METHOD USED TO CONDUCT  SUCH
 BACKGROUND CHECKS AND ANY PROCESSES AND OPERATIONS NECESSARY TO COMPLETE
 SUCH  CHECKS.  THE  REVIEW  OF CRIMINAL HISTORY INFORMATION AND DETERMI-
 NATIONS ABOUT WHETHER OR NOT AN APPLICANT IS ISSUED A TNC DRIVER  PERMIT
 SHALL BE CONTROLLED BY PARAGRAPHS (B), (C) AND (D) OF THIS SUBDIVISION.
   (B)  AN APPLICANT SHALL BE DISQUALIFIED TO RECEIVE A TNC DRIVER PERMIT
 WHERE HE OR SHE:
   (I) STANDS CONVICTED IN THE LAST THREE YEARS OF:  UNLAWFUL  FLEEING  A
 POLICE  OFFICER  IN  A  MOTOR  VEHICLE  IN VIOLATION OF SECTIONS 270.35,
 270.30 OR 270.25 OF THE PENAL LAW,  RECKLESS  DRIVING  IN  VIOLATION  OF
 SECTION  TWO THOUSAND TWELVE OF THIS CHAPTER, OPERATING WHILE LICENSE OR
 PRIVILEGE IS SUSPENDED OR REVOKED IN VIOLATION OF SECTION  FIVE  HUNDRED
 ELEVEN  OF  THIS CHAPTER, EXCLUDING SUBDIVISION SEVEN OF SUCH SECTION, A
 MISDEMEANOR OFFENSE OF OPERATING A MOTOR VEHICLE WHILE UNDER THE  INFLU-
 ENCE  OF  ALCOHOL  OR  DRUGS  IN  VIOLATION  OF SECTION ONE THOUSAND ONE
 HUNDRED AND NINETY TWO OF THIS CHAPTER, OR LEAVING THE SCENE OF AN ACCI-
 DENT IN VIOLATION OF SUBDIVISION TWO OF  SECTION  SIX  HUNDRED  OF  THIS
 CHAPTER.  IN  CALCULATING THE THREE YEAR PERIOD UNDER THIS SUBPARAGRAPH,
 ANY PERIOD OF TIME DURING WHICH THE PERSON WAS  INCARCERATED  AFTER  THE
 COMMISSION  OF SUCH OFFENSE SHALL BE EXCLUDED AND SUCH THREE YEAR PERIOD
 SHALL BE EXTENDED BY A PERIOD OR PERIODS EQUAL TO THE TIME SPENT  INCAR-
 CERATED; OR
   (II)  STANDS  CONVICTED  IN  THE  LAST  SEVEN  YEARS OF: A SEX OFFENSE
 DEFINED IN SUBDIVISION TWO OF SECTION 168-A OF  THE  CORRECTION  LAW,  A
 FELONY  OFFENSE  DEFINED IN ARTICLE ONE HUNDRED TWENTY-FIVE OF THE PENAL
 LAW, A VIOLENT FELONY OFFENSE DEFINED IN SECTION 70.02 OF THE PENAL LAW,
 A CLASS A FELONY OFFENSE DEFINED IN THE PENAL LAW, VEHICULAR ASSAULT  IN
 VIOLATION  OF SECTION 120.03, 120.04 OR SUBDIVISION (A) OF 120.04 OF THE
 PENAL LAW, A FELONY OFFENSE DEFINED IN SECTION ELEVEN HUNDRED NINETY-TWO

 S. 2008--B                         18
 
 OF THE VEHICLE AND TRAFFIC LAW, AN OFFENSE FOR WHICH REGISTRATION  AS  A
 SEX  OFFENDER  IS  REQUIRED  PURSUANT TO ARTICLE SIX-C OF THE CORRECTION
 LAW, OR ANY CONVICTION OF AN OFFENSE IN ANY OTHER JURISDICTION THAT  HAS
 ALL THE ESSENTIAL ELEMENTS OF AN OFFENSE LISTED IN THIS SUBPARAGRAPH. IN
 CALCULATING THE SEVEN YEAR PERIOD UNDER THIS SUBPARAGRAPH, ANY PERIOD OF
 TIME  DURING  WHICH  THE PERSON WAS INCARCERATED AFTER THE COMMISSION OF
 SUCH OFFENSE SHALL BE EXCLUDED AND  SUCH  SEVEN  YEAR  PERIOD  SHALL  BE
 EXTENDED BY A PERIOD OR PERIODS EQUAL TO THE TIME SPENT INCARCERATED.
   (C) A CRIMINAL HISTORY RECORD THAT CONTAINS CRIMINAL CONVICTION INFOR-
 MATION  THAT  DOES NOT DISQUALIFY AN APPLICANT PURSUANT TO SUBPARAGRAPHS
 (I) OR (II) OF PARAGRAPH (B) OF THIS SUBDIVISION, SHALL BE REVIEWED  AND
 CONSIDERED  ACCORDING TO THE PROVISIONS OF ARTICLE TWENTY-THREE-A OF THE
 CORRECTION LAW AND SUBDIVISIONS  FIFTEEN  AND  SIXTEEN  OF  SECTION  TWO
 HUNDRED  NINETY-SIX  OF  THE EXECUTIVE LAW IN DETERMINING WHETHER OR NOT
 THE APPLICANT SHOULD BE ISSUED A TNC DRIVER'S PERMIT.
   (D) UPON RECEIPT OF CRIMINAL CONVICTION INFORMATION PURSUANT  TO  THIS
 SECTION  FOR  ANY  APPLICANT,  SUCH APPLICANT SHALL PROMPTLY BE PROVIDED
 WITH A COPY OF SUCH INFORMATION AS WELL AS A  COPY  OF  ARTICLE  TWENTY-
 THREE-A  OF THE CORRECTION LAW. SUCH APPLICANT SHALL ALSO BE INFORMED OF
 HIS OR HER  RIGHT  TO  SEEK  CORRECTION  OF  ANY  INCORRECT  INFORMATION
 CONTAINED  IN  SUCH  CRIMINAL  HISTORY INFORMATION PURSUANT TO THE REGU-
 LATIONS AND PROCEDURES ESTABLISHED BY THE DIVISION OF  CRIMINAL  JUSTICE
 SERVICES.
   (E)  THE  DEPARTMENT  SHALL  PROMULGATE REGULATIONS FOR THE PURPOSE OF
 IMPLEMENTING THE PROVISIONS OF THIS SUBDIVISION.
   3. A TRANSPORTATION NETWORK COMPANY SHALL UPDATE THE CRIMINAL  HISTORY
 BACKGROUND CHECK YEARLY DURING THE PERIOD IN WHICH THE PERSON IS AUTHOR-
 IZED  TO  DRIVE  FOR THE COMPANY, HOWEVER, THE COMMISSIONER MAY REQUIRE,
 PURSUANT  TO  REGULATION,  MORE  FREQUENT  CRIMINAL  HISTORY  BACKGROUND
 CHECKS.
   4. TO ENSURE SAFETY OF THE PASSENGERS AND THE PUBLIC, A TRANSPORTATION
 NETWORK  COMPANY  SHALL  BE RESPONSIBLE FOR ALL FEES ASSOCIATED WITH THE
 CRIMINAL HISTORY CHECK PURSUANT TO SUBDIVISION ONE OF THIS SECTION.
   5. ANY TRANSPORTATION NETWORK  COMPANY  FOUND  TO  HAVE  VIOLATED  ANY
 REQUIREMENTS  ESTABLISHED  PURSUANT  TO THIS SECTION, SHALL ON THE FIRST
 INSTANCE, BE SUBJECT TO A CIVIL PENALTY OF NOT MORE  THAN  TEN  THOUSAND
 DOLLARS. FOR ANY SUBSEQUENT INSTANCE WITHIN THE PERIOD OF TWO YEARS FROM
 ANY  INITIAL  VIOLATION,  SUCH  TRANSPORTATION  NETWORK COMPANY SHALL BE
 SUBJECT TO A CIVIL PENALTY OF NOT MORE THAN FIFTY THOUSAND  DOLLARS,  OR
 THE SUSPENSION OR REVOCATION OF ITS TNC LICENSE OR BOTH.
   §  1700. CONTROLLING AUTHORITY. 1. NOTWITHSTANDING ANY OTHER PROVISION
 OF LAW, THE REGULATION OF TNCS AND TNC DRIVERS IS  GOVERNED  EXCLUSIVELY
 BY  THE  PROVISIONS OF THE CHAPTER OF THE LAWS OF TWO THOUSAND SEVENTEEN
 WHICH ADDED THIS SECTION AND ANY RULES PROMULGATED BY THE STATE  THROUGH
 ITS  AGENCIES  CONSISTENT  WITH  SUCH  CHAPTER. NO COUNTY, TOWN, CITY OR
 VILLAGE MAY ENACT A TAX OR ANY FEE OR OTHER SURCHARGE ON A  TNC,  A  TNC
 DRIVER,  OR  A  TNC  VEHICLE  USED BY A TNC DRIVER OR REQUIRE A LICENSE,
 PERMIT, OR ADDITIONAL INSURANCE COVERAGE OR  ANY  OTHER  LIMITATIONS  OR
 RESTRICTIONS  ON  A  TNC  DRIVER, OR A TNC VEHICLE USED BY A TNC DRIVER,
 WHERE SUCH FEE, SURCHARGE, UNAUTHORIZED TAX, LICENSE, PERMIT,  INSURANCE
 COVERAGE,  LIMITATION OR RESTRICTION, RELATES TO FACILITATING OR PROVID-
 ING TNC PREARRANGED TRIPS, OR SUBJECTS A TNC, A TNC  DRIVER,  OR  A  TNC
 VEHICLE USED BY A TNC DRIVER TO OPERATIONAL, OR OTHER REQUIREMENTS.
   2. NOTHING IN THIS ARTICLE SHALL AUTHORIZE ANY TNC DRIVER TO PICK-UP A
 PASSENGER  FOR PURPOSES OF A TNC PREARRANGED TRIP IN A CITY WITH A POPU-
 LATION OF ONE MILLION OR MORE.

 S. 2008--B                         19
 
   3. NOTHING IN THIS ARTICLE SHALL; (A) LIMIT THE ABILITY OF  A  COUNTY,
 TOWN, CITY OR VILLAGE TO ADOPT OR AMEND GENERALLY APPLICABLE LIMITATIONS
 OR  RESTRICTIONS RELATING TO LOCAL TRAFFIC OR PARKING CONTROL AS AUTHOR-
 IZED BY STATE LAW; OR (B) TO PREEMPT ANY RECIPROCITY AGREEMENTS, INCLUD-
 ING  AGREEMENTS  ENTERED  INTO  PURSUANT TO SECTION FOUR HUNDRED NINETY-
 EIGHT OF THIS CHAPTER, BETWEEN A COUNTY,  TOWN,  CITY  OR  VILLAGE  THAT
 RELATES  TO  SERVICES REGULATED BY SECTION ONE HUNDRED EIGHTY-ONE OF THE
 GENERAL MUNICIPAL LAW.
   4. NOTHING IN THIS ARTICLE SHALL BE CONSTRUED TO LIMIT THE ABILITY  OF
 A  MUNICIPALITY  OR  OTHER  GOVERNING AUTHORITY THAT OWNS OR OPERATES AN
 AIRPORT LOCATED OUTSIDE OF A CITY WITH A POPULATION OF  ONE  MILLION  OR
 MORE  FROM  ADOPTING  REGULATIONS  AND  ENTERING INTO CONTRACTS OR OTHER
 AGREEMENTS RELATING TO THE DUTIES AND RESPONSIBILITIES ON AIRPORT  PROP-
 ERTY  OF A TRANSPORTATION NETWORK COMPANY, WHICH MAY INCLUDE THE IMPOSI-
 TION AND PAYMENT OF REASONABLE FEES, PROVIDED THAT ANY  SUCH  CONTRACTS,
 AGREEMENTS,  OR REGULATIONS SHALL NOT IMPOSE ANY LICENSE OR OTHER OPERA-
 TIONAL REQUIREMENT ON A TRANSPORTATION NETWORK COMPANY DRIVER OR  TRANS-
 PORTATION  NETWORK  COMPANY  VEHICLE  THAT IS INCONSISTENT WITH OR ADDI-
 TIONAL TO THE REQUIREMENTS OF THIS ARTICLE.
   § 3. Section 370 of the vehicle and traffic law is amended by adding a
 new subdivision 8 to read as follows:
   8. NOTWITHSTANDING ANY OTHER PROVISION OF THIS ARTICLE, AN  INDIVIDUAL
 SHALL  NOT BE DEEMED TO BE ENGAGED IN THE BUSINESS OF CARRYING OR TRANS-
 PORTING PASSENGERS FOR HIRE IF THE INDIVIDUAL DOES SO SOLELY AS A TRANS-
 PORTATION NETWORK COMPANY DRIVER IN ACCORDANCE WITH ARTICLE FORTY-FOUR-B
 OF THIS CHAPTER.
   § 4. Subdivision 1 of section 312-a of the vehicle and traffic law, as
 amended by chapter 781 of the laws  of  1983,  is  amended  to  read  as
 follows:
   1.  Upon issuance of an owner's policy of liability insurance or other
 financial security required by this chapter OR THE ARTICLE  FORTY-FOUR-B
 OF THIS CHAPTER, an insurer shall issue proof of insurance in accordance
 with  the  regulations promulgated by the commissioner pursuant to para-
 graph (b) of subdivision two of section three hundred thirteen  of  this
 article.
   § 4-a. Section 600 of the vehicle and traffic law, as amended by chap-
 ter 49 of the laws of 2005, is amended to read as follows:
   § 600. Leaving  scene  of  an  incident without reporting. 1. Property
 damage. a. Any person operating a motor vehicle who, knowing  or  having
 cause to know that damage has been caused to the real property or to the
 personal property, not including animals, of another, due to an incident
 involving  the motor vehicle operated by such person shall, before leav-
 ing the place where the  damage  occurred,  stop,  exhibit  his  or  her
 license  and  insurance  identification card for such vehicle, when such
 card is required pursuant to articles six and eight of this chapter, and
 give his or her name, residence, including street and number,  insurance
 carrier  and  insurance  identification  information  including  but not
 limited to the number and effective dates of said individual's insurance
 policy, and license number to the party sustaining  the  damage,  or  in
 case  the person sustaining the damage is not present at the place where
 the damage occurred then he or she shall report  the  same  as  soon  as
 physically  able to the nearest police station, or judicial officer.  IN
 ADDITION TO THE FOREGOING, ANY SUCH PERSON SHALL ALSO: (I)  PRODUCE  THE
 PROOF OF INSURANCE COVERAGE REQUIRED PURSUANT TO ARTICLE FORTY-FOUR-B OF
 THIS  CHAPTER  IF  SUCH  PERSON  IS A TNC DRIVER OPERATING A TNC VEHICLE
 WHILE THE INCIDENT OCCURRED WHO WAS EITHER (A) LOGGED ON  TO  THE  TNC'S

 S. 2008--B                         20
 
 DIGITAL NETWORK AND AVAILABLE TO RECEIVE TRANSPORTATION REQUESTS BUT NOT
 ENGAGED  IN  A  TNC  PREARRANGED  TRIP OR (B) WAS LOGGED ON TO THE TNC'S
 DIGITAL NETWORK AND WAS ENGAGED IN A  TNC  PREARRANGED  TRIP;  AND  (II)
 DISCLOSE  WHETHER  HE  OR  SHE,  AT THE TIME SUCH INCIDENT OCCURRED, WAS
 EITHER (A) LOGGED ON TO THE  TNC'S  DIGITAL  NETWORK  AND  AVAILABLE  TO
 RECEIVE  TRANSPORTATION  REQUESTS  BUT  NOT ENGAGED IN A TNC PREARRANGED
 TRIP OR (B) WAS LOGGED ON TO THE TNC'S DIGITAL NETWORK AND  WAS  ENGAGED
 IN A TNC PREARRANGED TRIP.
   b.  It shall be the duty of any member of a law enforcement agency who
 is at the scene of the accident to request the said operator  or  opera-
 tors  of  the  motor  vehicles,  when physically capable of doing so, to
 exchange the information required hereinabove and such member of  a  law
 enforcement  agency  shall  assist  such operator or operators in making
 such exchange of information in a reasonable and harmonious manner.
   A violation of the provisions of paragraph a of this subdivision shall
 constitute a traffic infraction punishable  by  a  fine  of  up  to  two
 hundred  fifty  dollars  or a sentence of imprisonment for up to fifteen
 days or both such fine and imprisonment.
   2. Personal injury.   a. Any person operating  a  motor  vehicle  who,
 knowing  or having cause to know that personal injury has been caused to
 another person, due to an incident involving the motor vehicle  operated
 by  such  person shall, before leaving the place where the said personal
 injury occurred, stop, exhibit his or her license  and  insurance  iden-
 tification card for such vehicle, when such card is required pursuant to
 articles  six and eight of this chapter, and give his or her name, resi-
 dence, including street and street number, insurance carrier and  insur-
 ance  identification information including but not limited to the number
 and effective dates of said individual's insurance  policy  and  license
 number,  to  the injured party, if practical, and also to a police offi-
 cer, or in the event that no police officer is in the  vicinity  of  the
 place of said injury, then, he or she shall report said incident as soon
 as  physically  able  to the nearest police station or judicial officer.
 IN ADDITION TO THE FOREGOING, ANY SUCH PERSON SHALL  ALSO:  (I)  PRODUCE
 THE   PROOF   OF   INSURANCE   COVERAGE  REQUIRED  PURSUANT  TO  ARTICLE
 FORTY-FOUR-B OF THIS CHAPTER IF SUCH PERSON IS A TNC DRIVER OPERATING  A
 TNC  VEHICLE AT THE TIME OF THE INCIDENT WHO WAS EITHER (A) LOGGED ON TO
 THE TNC'S  DIGITAL  NETWORK  AND  AVAILABLE  TO  RECEIVE  TRANSPORTATION
 REQUESTS  BUT NOT ENGAGED IN A TNC PREARRANGED TRIP OR (B) WAS LOGGED ON
 TO THE TNC'S DIGITAL NETWORK AND WAS ENGAGED IN A TNC PREARRANGED  TRIP;
 AND (II) DISCLOSE WHETHER HE OR SHE, AT THE TIME SUCH INCIDENT OCCURRED,
 WAS  EITHER  (A) LOGGED ON TO THE TNC'S DIGITAL NETWORK AND AVAILABLE TO
 RECEIVE TRANSPORTATION REQUESTS BUT NOT ENGAGED  IN  A  TNC  PREARRANGED
 TRIP  OR  (B) WAS LOGGED ON TO THE TNC'S DIGITAL NETWORK AND WAS ENGAGED
 IN A TNC PREARRANGED TRIP.
   b. It shall be the duty of any member of a law enforcement agency  who
 is  at  the scene of the accident to request the said operator or opera-
 tors of the motor vehicles, when physically  capable  of  doing  so,  to
 exchange  the  information required hereinabove and such member of a law
 enforcement agency shall assist such operator  or  operators  in  making
 such exchange of information in a reasonable and harmonious manner.
   c.  A  violation  of the provisions of paragraph a of this subdivision
 resulting solely from the failure of an operator to exhibit his  or  her
 license  and  insurance  identification card for the vehicle or exchange
 the information required in such paragraph shall constitute  a  class  B
 misdemeanor  punishable by a fine of not less than two hundred fifty nor
 more than five hundred  dollars  in  addition  to  any  other  penalties

 S. 2008--B                         21
 
 provided  by law. Any subsequent such violation shall constitute a class
 A misdemeanor punishable by a fine of not less  than  five  hundred  nor
 more  than  one  thousand  dollars  in  addition  to any other penalties
 provided  by law. Any violation of the provisions of paragraph a of this
 subdivision, other than for the mere failure of an operator  to  exhibit
 his or her license and insurance identification card for such vehicle or
 exchange  the information required in such paragraph, shall constitute a
 class A misdemeanor, punishable by a fine of not less than five  hundred
 dollars  nor  more  than  one  thousand dollars in addition to any other
 penalties provided by law. Any such  violation  committed  by  a  person
 after  such  person  has  previously  been convicted of such a violation
 shall constitute a class E felony, punishable by a fine of not less than
 one thousand nor more than two thousand five hundred dollars in addition
 to any other penalties provided by law. Any violation of the  provisions
 of  paragraph  a of this subdivision, other than for the mere failure of
 an operator to exhibit his or her license and  insurance  identification
 card for such vehicle or exchange the information required in such para-
 graph,  where  the personal injury involved (i) results in serious phys-
 ical injury, as defined in section 10.00 of the penal law, shall consti-
 tute a class E felony, punishable  by  a  fine  of  not  less  than  one
 thousand  nor  more  than five thousand dollars in addition to any other
 penalties provided by law, or (ii) results in death shall  constitute  a
 class  D  felony  punishable by a fine of not less than two thousand nor
 more than five thousand dollars  in  addition  to  any  other  penalties
 provided by law.
   3.  FOR  THE  PURPOSES OF THIS ARTICLE, THE TERMS "TNC", "TNC DRIVER",
 "TNC VEHICLE", "TNC PREARRANGED TRIP" AND "DIGITAL NETWORK"  SHALL  HAVE
 THE  SAME  MEANINGS AS SUCH TERMS ARE DEFINED IN ARTICLE FORTY-FOUR-B OF
 THIS CHAPTER.
   § 4-b. Section 601 of the vehicle and traffic law, as amended by chap-
 ter 672 of the laws of 2004, is amended to read as follows:
   § 601. Leaving scene of injury to certain animals  without  reporting.
 Any  person  operating a motor vehicle which shall strike and injure any
 horse, dog, cat or animal classified as cattle shall stop  and  endeavor
 to  locate  the  owner or custodian of such animal or a police, peace or
 judicial officer of the vicinity, and  take  any  other  reasonable  and
 appropriate  action so that the animal may have necessary attention, and
 shall also promptly report the matter to such owner, custodian or  offi-
 cer  (or if no one of such has been located, then to a police officer of
 some other nearby community), exhibiting his or her license  and  insur-
 ance  identification  card  for such vehicle, when such card is required
 pursuant to articles six and eight of this chapter, giving  his  or  her
 name and residence, including street and street number, insurance carri-
 er and insurance identification information and license number. IN ADDI-
 TION TO THE FOREGOING, ANY SUCH PERSON SHALL ALSO: (I) PRODUCE THE PROOF
 OF  INSURANCE COVERAGE REQUIRED PURSUANT TO ARTICLE FORTY-FOUR-B OF THIS
 CHAPTER IS SUCH PERSON IS A TNC DRIVER OPERATING A TNC  VEHICLE  AT  THE
 TIME  OF  THE INCIDENT WHO WAS EITHER (A) LOGGED ON TO THE TNC'S DIGITAL
 NETWORK AND AVAILABLE TO RECEIVE TRANSPORTATION REQUESTS BUT NOT ENGAGED
 IN A TNC PREARRANGED TRIP OR (B) WAS LOGGED  ON  TO  THE  TNC'S  DIGITAL
 NETWORK  AND  WAS  ENGAGED  IN  A TNC PREARRANGED TRIP AND (II) DISCLOSE
 WHETHER HE OR SHE, AT THE TIME SUCH INCIDENT OCCURRED,  WAS  EITHER  (A)
 LOGGED  ON  TO THE TNC'S DIGITAL NETWORK AND AVAILABLE TO RECEIVE TRANS-
 PORTATION REQUESTS BUT NOT ENGAGED IN A TNC PREARRANGED TRIP OR (B)  WAS
 LOGGED  ON  TO THE TNC'S DIGITAL NETWORK AND WAS ENGAGED IN A TNC PREAR-
 RANGED TRIP. Violation of this section shall be punishable by a fine  of

 S. 2008--B                         22
 
 not  more  than one hundred dollars for a first offense and by a fine of
 not less than fifty nor more than one hundred fifty dollars for a second
 offense and each subsequent offense; provided, however where the  animal
 that  has been struck and injured is a guide dog, hearing dog or service
 dog, as such terms are defined in section  forty-seven-b  of  the  civil
 rights  law which is actually engaged in aiding or guiding a person with
 a disability, a violation of this section shall be [publishable] PUNISH-
 ABLE by a fine of not less than fifty nor more than  one  hundred  fifty
 dollars  for  a first offense and by a fine of not less than one hundred
 fifty dollars nor more than three hundred dollars for a  second  offense
 and each subsequent offense.
   § 5. The insurance law is amended by adding a new section 3455 to read
 as follows:
   §  3455. TRANSPORTATION NETWORK COMPANY GROUP INSURANCE POLICIES.  (A)
 FOR PURPOSES OF THIS SECTION, THE FOLLOWING DEFINITIONS SHALL APPLY:
   (1) "TRANSPORTATION NETWORK COMPANY" SHALL HAVE THE  SAME  MEANING  AS
 SET FORTH IN ARTICLE FORTY-FOUR-B OF THE VEHICLE AND TRAFFIC LAW.
   (2)  "CERTIFICATE"  OR  "CERTIFICATE  OF  INSURANCE" MEANS ANY POLICY,
 CONTRACT OR OTHER EVIDENCE OF INSURANCE, OR ENDORSEMENT THERETO,  ISSUED
 TO A GROUP MEMBER UNDER A TRANSPORTATION NETWORK COMPANY GROUP POLICY.
   (3)  "TRANSPORTATION  NETWORK  COMPANY GROUP POLICY" OR "GROUP POLICY"
 MEANS A  GROUP  POLICY,  INCLUDING  CERTIFICATES  ISSUED  TO  THE  GROUP
 MEMBERS, WHERE THE GROUP POLICYHOLDER IS A TRANSPORTATION NETWORK COMPA-
 NY  AND  THE  POLICY  PROVIDES  INSURANCE  TO THE TRANSPORTATION NETWORK
 COMPANY AND TO GROUP MEMBERS:
   (A) IN ACCORDANCE WITH THE REQUIREMENTS OF ARTICLE FORTY-FOUR-B OF THE
 VEHICLE AND TRAFFIC LAW;
   (B) OF THE TYPE DESCRIBED IN PARAGRAPH THIRTEEN, FOURTEEN, OR NINETEEN
 OF SUBSECTION (A) OF SECTION ONE THOUSAND ONE HUNDRED THIRTEEN  OF  THIS
 CHAPTER; AND
   (C)  IN  SATISFACTION OF THE FINANCIAL RESPONSIBILITY REQUIREMENTS SET
 FORTH IN SECTION THREE THOUSAND FOUR HUNDRED  TWENTY  OF  THIS  ARTICLE,
 SUBDIVISION  FOUR  OF  SECTION  THREE  HUNDRED ELEVEN OF THE VEHICLE AND
 TRAFFIC LAW, ARTICLE FIFTY-ONE OF THIS CHAPTER, AND SUCH OTHER  REQUIRE-
 MENTS  OR  REGULATIONS THAT MAY APPLY FOR THE PURPOSES OF SATISFYING THE
 FINANCIAL RESPONSIBILITY REQUIREMENTS WITH RESPECT TO THE USE OR  OPERA-
 TION OF A MOTOR VEHICLE.
   (4)  "GROUP  MEMBER"  MEANS A TRANSPORTATION NETWORK COMPANY DRIVER AS
 DEFINED IN ARTICLE FORTY-FOUR-B OF THE VEHICLE AND TRAFFIC LAW.
   (5) "GROUP POLICYHOLDER" MEANS A TRANSPORTATION NETWORK COMPANY.
   (6) "TNC VEHICLE" SHALL HAVE THE MEANING SET FORTH IN  ARTICLE  FORTY-
 FOUR-B OF THE VEHICLE AND TRAFFIC LAW.
   (B)  AN INSURER MAY ISSUE OR ISSUE FOR DELIVERY IN THIS STATE A TRANS-
 PORTATION NETWORK COMPANY  GROUP  POLICY  TO  A  TRANSPORTATION  NETWORK
 COMPANY  AS  A GROUP POLICYHOLDER ONLY IN ACCORDANCE WITH THE PROVISIONS
 OF THIS SECTION.
   (C)(1) A TRANSPORTATION NETWORK COMPANY  GROUP  POLICY  SHALL  PROVIDE
 COVERAGE  FOR A TNC VEHICLE IN ACCORDANCE WITH THE REQUIREMENTS OF ARTI-
 CLE FORTY-FOUR-B OF THE VEHICLE AND TRAFFIC LAW.
   (2) A TRANSPORTATION NETWORK COMPANY GROUP POLICY MAY PROVIDE:
   (A) COVERAGE FOR LIMITS HIGHER THAN THE MINIMUM LIMITS REQUIRED PURSU-
 ANT TO ARTICLE FORTY-FOUR-B OF THE VEHICLE AND TRAFFIC LAW;
   (B) SUPPLEMENTARY UNINSURED/UNDERINSURED MOTORISTS INSURANCE FOR BODI-
 LY INJURY PURSUANT TO PARAGRAPH TWO OF SUBSECTION (F) OF  SECTION  THREE
 THOUSAND FOUR HUNDRED TWENTY OF THIS ARTICLE;

 S. 2008--B                         23
 
   (C)  SUPPLEMENTAL  SPOUSAL  LIABILITY INSURANCE PURSUANT TO SUBSECTION
 (G) OF SECTION THREE THOUSAND FOUR HUNDRED TWENTY OF THIS CHAPTER; AND
   (D)  MOTOR  VEHICLE PHYSICAL DAMAGE COVERAGE AS DESCRIBED IN PARAGRAPH
 NINETEEN OF SUBSECTION (A) OF SECTION ONE THOUSAND ONE HUNDRED  THIRTEEN
 OF THIS CHAPTER.
   (3)  THE  COVERAGE  DESCRIBED  IN  PARAGRAPHS  ONE  AND  TWO  OF  THIS
 SUBSECTION MAY BE PROVIDED IN ONE GROUP  POLICY  OR  IN  SEPARATE  GROUP
 POLICIES.    A  TRANSPORTATION  NETWORK  COMPANY GROUP POLICY, INCLUDING
 CERTIFICATES, SHALL BE ISSUED BY AUTHORIZED INSURERS OR FROM EXCESS LINE
 BROKERS PURSUANT TO SECTION SIXTEEN HUNDRED NINETY-THREE OF THE  VEHICLE
 AND TRAFFIC LAW.
   (4) A POLICYHOLDER ALSO MAY BE AN INSURED UNDER A GROUP POLICY.
   (D)  THE  PREMIUM FOR THE TRANSPORTATION NETWORK COMPANY GROUP POLICY,
 INCLUDING CERTIFICATES MAY BE PAID BY THE GROUP  POLICYHOLDER  FROM  THE
 FUNDS CONTRIBUTED:
   (1) WHOLLY BY THE GROUP POLICYHOLDER;
   (2) WHOLLY BY THE GROUP MEMBERS; OR
   (3) JOINTLY BY THE GROUP POLICYHOLDER AND THE GROUP MEMBERS.
   (E)  (1)  ANY POLICY DIVIDEND, RETROSPECTIVE PREMIUM CREDIT, OR RETRO-
 SPECTIVE PREMIUM REFUND IN RESPECT OF PREMIUMS PAID BY THE GROUP POLICY-
 HOLDER MAY:
   (A) BE APPLIED TO REDUCE THE PREMIUM CONTRIBUTION OF THE GROUP POLICY-
 HOLDER, BUT NOT IN EXCESS OF THE PROPORTION TO ITS CONTRIBUTION; OR
   (B) BE RETAINED BY THE GROUP POLICYHOLDER.
   (2) ANY POLICY DIVIDEND, RETROSPECTIVE PREMIUM CREDIT,  OR  RETROSPEC-
 TIVE  PREMIUM  REFUND  NOT  DISTRIBUTED  UNDER  PARAGRAPH  ONE  OF  THIS
 SUBSECTION SHALL BE:
   (A)  APPLIED  TO  REDUCE  FUTURE  PREMIUMS  AND,  ACCORDINGLY,  FUTURE
 CONTRIBUTIONS, OF EXISTING OR FUTURE GROUP MEMBERS, OR BOTH; OR
   (B)  PAID  OR  REFUNDED TO THOSE GROUP MEMBERS INSURED ON THE DATE THE
 PAYMENT OR REFUND IS MADE TO THE GROUP POLICYHOLDER, IF  DISTRIBUTED  BY
 THE  GROUP  POLICYHOLDER,  OR  ON  THE  DATE  OF MAILING, IF DISTRIBUTED
 DIRECTLY BY THE INSURER, SUBJECT TO THE FOLLOWING REQUIREMENTS:
   (I) THE INSURER SHALL BE RESPONSIBLE FOR DETERMINING THE ALLOCATION OF
 THE PAYMENT OF REFUND TO THE GROUP MEMBERS;
   (II) IF THE GROUP POLICYHOLDER DISTRIBUTES THE PAYMENT OR REFUND,  THE
 INSURER  SHALL BE RESPONSIBLE FOR AUDIT TO ASCERTAIN THAT THE PAYMENT OR
 REFUND IS ACTUALLY MADE IN ACCORDANCE WITH THE ALLOCATION PROCEDURE; AND
   (III) IF THE GROUP POLICYHOLDER FAILS TO MAKE THE PAYMENT  OR  REFUND,
 THE  INSURER SHALL MAKE THE PAYMENT OR REFUND DIRECTLY OR USE THE METHOD
 PROVIDED IN SUBPARAGRAPH (A) OF THIS PARAGRAPH.
   (3) NOTWITHSTANDING PARAGRAPHS ONE AND TWO OF THIS  SUBSECTION,  IF  A
 DIVIDEND  ACCRUES  UPON  TERMINATION  OF COVERAGE UNDER A TRANSPORTATION
 NETWORK COMPANY GROUP POLICY, THE PREMIUM FOR  WHICH  WAS  PAID  OUT  OF
 FUNDS  CONTRIBUTED  BY  GROUP MEMBERS SPECIFICALLY FOR THE COVERAGE, THE
 DIVIDEND SHALL BE PAID OR REFUNDED BY  THE  GROUP  POLICYHOLDER  TO  THE
 GROUP  MEMBERS  INSURED ON THE DATE THE PAYMENT OR REFUND IS MADE TO THE
 GROUP POLICYHOLDER, NET OF REASONABLE EXPENSES  INCURRED  BY  THE  GROUP
 POLICYHOLDER IN PAYING OR REFUNDING THE DIVIDEND TO SUCH GROUP MEMBERS.
   (4)  FOR THE PURPOSES OF THIS SUBSECTION, "DIVIDEND" MEANS A RETURN BY
 THE INSURER OF A TRANSPORTATION NETWORK COMPANY GROUP POLICY  OF  EXCESS
 PREMIUMS  TO  THE  GROUP POLICYHOLDER IN LIGHT OF FAVORABLE LOSS EXPERI-
 ENCE, INCLUDING RETROSPECTIVE PREMIUM CREDITS OR  RETROSPECTIVE  PREMIUM
 REFUNDS.  THE  TERM  "DIVIDEND"  DOES NOT INCLUDE REIMBURSEMENTS OR FEES
 RECEIVED BY A GROUP POLICYHOLDER IN CONNECTION  WITH  THE  OPERATION  OR
 ADMINISTRATION OF A TRANSPORTATION NETWORK COMPANY GROUP POLICY, INCLUD-

 S. 2008--B                         24
 
 ING  ADMINISTRATIVE  REIMBURSEMENTS,  FEES  FOR SERVICES PROVIDED BY THE
 GROUP POLICYHOLDER, OR TRANSACTIONAL SERVICE FEES.
   (F)  THE INSURER SHALL TREAT IN LIKE MANNER ALL ELIGIBLE GROUP MEMBERS
 OF THE SAME CLASS AND STATUS.
   (G) EACH POLICY WRITTEN PURSUANT TO THIS  SECTION  SHALL  PROVIDE  PER
 OCCURRENCE  LIMITS  OF  COVERAGE  FOR EACH GROUP MEMBER IN AN AMOUNT NOT
 LESS THAN THAT REQUIRED BY THIS ARTICLE, AND MAY  PROVIDE  COVERAGE  FOR
 LIMITS HIGHER THAN THE MINIMUM LIMITS REQUIRED UNDER THE LAW.
   (H)  (1) THE INSURER SHALL BE RESPONSIBLE FOR MAILING OR DELIVERY OF A
 CERTIFICATE OF INSURANCE TO EACH GROUP MEMBER INSURED UNDER  THE  TRANS-
 PORTATION  NETWORK  COMPANY  GROUP  POLICY,  PROVIDED, HOWEVER, THAT THE
 INSURER MAY DELEGATE THE  MAILING  OR  DELIVERY  TO  THE  TRANSPORTATION
 NETWORK  COMPANY.  THE INSURER SHALL ALSO BE RESPONSIBLE FOR THE MAILING
 OR DELIVERY TO EACH GROUP MEMBER OF AN AMENDED CERTIFICATE OF  INSURANCE
 OR ENDORSEMENT TO THE CERTIFICATE, WHENEVER THERE IS A CHANGE IN LIMITS;
 CHANGE  IN  TYPE  OF  COVERAGE;  ADDITION,  REDUCTION, OR ELIMINATION OF
 COVERAGE; OR ADDITION OF EXCLUSION,  UNDER  THE  TRANSPORTATION  NETWORK
 COMPANY  GROUP  POLICY OR CERTIFICATE, IF SUCH CHANGE MATERIALLY AFFECTS
 THE COVERAGE AVAILABLE TO SUCH GROUP MEMBER.
   (2) THE CERTIFICATE SHALL CONTAIN IN SUBSTANCE ALL MATERIAL TERMS  AND
 CONDITIONS OF COVERAGE AFFORDED TO GROUP MEMBERS, UNLESS THE TRANSPORTA-
 TION  NETWORK  COMPANY  GROUP  POLICY IS INCORPORATED BY REFERENCE AND A
 COPY OF THE GROUP POLICY ACCOMPANIES THE CERTIFICATE.
   (3) IF ANY COVERAGE AFFORDED TO THE GROUP MEMBER IS EXCESS OF APPLICA-
 BLE INSURANCE COVERAGE, THE CERTIFICATE SHALL CONTAIN A NOTICE  ADVISING
 THE  GROUP  MEMBERS  THAT,  IF  THE MEMBER HAS OTHER INSURANCE COVERAGE,
 SPECIFIED COVERAGES UNDER THE TRANSPORTATION NETWORK COMPANY GROUP POLI-
 CY WILL BE EXCESS OVER THE OTHER INSURANCE.
   (I) A GROUP POLICYHOLDER SHALL COMPLY WITH THE PROVISIONS  OF  SECTION
 TWO  THOUSAND ONE HUNDRED TWENTY-TWO OF THIS CHAPTER, IN THE SAME MANNER
 AS AN AGENT OR BROKER, IN ANY ADVERTISEMENT, SIGN,  PAMPHLET,  CIRCULAR,
 CARD,  OR OTHER PUBLIC ANNOUNCEMENT REFERRING TO COVERAGE UNDER A TRANS-
 PORTATION NETWORK COMPANY GROUP POLICY OR CERTIFICATE.
   (J) A TRANSPORTATION NETWORK COMPANY GROUP POLICY SHALL NOT BE SUBJECT
 TO SECTION THREE THOUSAND FOUR  HUNDRED  TWENTY-FIVE  OR  SECTION  THREE
 THOUSAND  FOUR  HUNDRED  TWENTY-SIX  OF  THIS ARTICLE; PROVIDED THAT THE
 FOLLOWING REQUIREMENTS SHALL APPLY WITH REGARD TO TERMINATION OF  COVER-
 AGE:
   (1)(A)  AN INSURER MAY TERMINATE A GROUP POLICY OR CERTIFICATE ONLY IF
 CANCELLATION IS BASED ON ONE OR MORE OF THE REASONS SET FORTH IN SUBPAR-
 AGRAPH (A) THROUGH (D) OR (F) THROUGH (H) OF PARAGRAPH ONE OF SUBSECTION
 (C) OF SECTION THREE THOUSAND FOUR HUNDRED TWENTY-SIX OF  THIS  ARTICLE;
 PROVIDED,  HOWEVER, THAT AN ACT OR OMISSION BY A GROUP MEMBER THAT WOULD
 CONSTITUTE THE BASIS FOR CANCELLATION OF AN INDIVIDUAL CERTIFICATE SHALL
 NOT CONSTITUTE THE BASIS FOR CANCELLATION OF THE GROUP POLICY.
   (B) WHERE THE PREMIUM IS DERIVED WHOLLY FROM FUNDS CONTRIBUTED BY  THE
 GROUP POLICYHOLDER, AN INSURER MAY CANCEL AN INDIVIDUAL CERTIFICATE ONLY
 IF  CANCELLATION  IS  BASED  ON  ONE OR MORE OF THE REASONS SET FORTH IN
 SUBPARAGRAPH (B), (C) OR (H) OF  PARAGRAPH  ONE  OF  SUBSECTION  (C)  OF
 SECTION THREE THOUSAND FOUR HUNDRED TWENTY-SIX OF THIS ARTICLE.
   (2)  (A)  AN  INSURER'S  CANCELLATION OF A GROUP POLICY, INCLUDING ALL
 CERTIFICATES, SHALL NOT BECOME EFFECTIVE UNTIL  THIRTY  DAYS  AFTER  THE
 INSURER  MAILS  OR  DELIVERS WRITTEN NOTICE OF CANCELLATION TO THE GROUP
 POLICYHOLDER AT THE MAILING ADDRESS SHOWN IN THE POLICY.
   (I) WHERE ALL OR PART OF THE PREMIUM IS DERIVED FROM FUNDS CONTRIBUTED
 BY THE GROUP MEMBER SPECIFICALLY FOR THE  COVERAGE,  THE  INSURER  SHALL

 S. 2008--B                         25
 
 ALSO  MAIL OR DELIVER WRITTEN NOTICE OF CANCELLATION OF THE GROUP POLICY
 TO THE GROUP MEMBER AT THE GROUP MEMBER'S MAILING ADDRESS. SUCH  CANCEL-
 LATION  SHALL  NOT  BECOME EFFECTIVE UNTIL THIRTY DAYS AFTER THE INSURER
 MAILS OR DELIVERS THE WRITTEN NOTICE TO THE GROUP MEMBER.
   (II)  WHERE NONE OF THE PREMIUM IS DERIVED FROM FUNDS CONTRIBUTED BY A
 GROUP MEMBER SPECIFICALLY FOR THE  COVERAGE,  THE  GROUP  POLICY  HOLDER
 SHALL  MAIL  OR  DELIVER WRITTEN NOTICE TO THE GROUP MEMBER ADVISING THE
 GROUP MEMBER OF THE CANCELLATION OF THE GROUP POLICY AND  THE  EFFECTIVE
 DATE  OF CANCELLATION. THE GROUP POLICY HOLDER SHALL MAIL OR DELIVER THE
 WRITTEN NOTICE WITHIN NINETY DAYS AFTER RECEIVING NOTICE OF CANCELLATION
 FROM THE INSURER.
   (B) AN INSURER'S CANCELLATION OF AN INDIVIDUAL CERTIFICATE  SHALL  NOT
 BECOME  EFFECTIVE  UNTIL THIRTY DAYS AFTER THE INSURER MAILS OR DELIVERS
 WRITTEN NOTICE OF CANCELLATION TO THE GROUP MEMBER AT THE GROUP MEMBER'S
 MAILING ADDRESS AND TO THE GROUP POLICYHOLDER  AT  THE  MAILING  ADDRESS
 SHOWN IN THE GROUP POLICY.
   (3)  (A) A GROUP POLICYHOLDER MAY CANCEL A GROUP POLICY, INCLUDING ALL
 CERTIFICATES, OR ANY INDIVIDUAL CERTIFICATE, FOR ANY REASON UPON  THIRTY
 DAYS WRITTEN NOTICE TO THE INSURER AND EACH GROUP MEMBER; AND
   (B)  THE  GROUP  POLICYHOLDER  SHALL MAIL OR DELIVER WRITTEN NOTICE TO
 EACH AFFECTED GROUP MEMBER OF THE GROUP POLICYHOLDER'S  CANCELLATION  OF
 THE  GROUP POLICY OR CERTIFICATE AND THE EFFECTIVE DATE OF CANCELLATION.
 THE GROUP POLICYHOLDER SHALL MAIL OR DELIVER THE WRITTEN NOTICE  TO  THE
 GROUP  MEMBER'S MAILING ADDRESS AT LEAST THIRTY DAYS PRIOR TO THE EFFEC-
 TIVE DATE OF CANCELLATION.
   (4) (A) UNLESS A GROUP POLICY PROVIDES FOR A LONGER POLICY PERIOD, THE
 POLICY AND ALL CERTIFICATES SHALL BE ISSUED OR RENEWED  FOR  A  ONE-YEAR
 POLICY PERIOD.
   (B) THE GROUP POLICYHOLDER SHALL BE ENTITLED TO RENEW THE GROUP POLICY
 AND  ALL  CERTIFICATES  UPON TIMELY PAYMENT OF THE PREMIUM BILLED TO THE
 GROUP POLICYHOLDER FOR THE RENEWAL, UNLESS:
   (I) THE INSURER MAILS OR DELIVERS TO THE GROUP  POLICYHOLDER  AND  ALL
 GROUP MEMBERS WRITTEN NOTICE OF NONRENEWAL, OR CONDITIONAL RENEWAL; AND
   (II) THE INSURER MAILS OR DELIVERS THE WRITTEN NOTICE AT LEAST THIRTY,
 BUT  NOT  MORE THAN ONE HUNDRED TWENTY DAYS PRIOR TO THE EXPIRATION DATE
 SPECIFIED IN THE POLICY OR, IF NO DATE IS SPECIFIED, THE  NEXT  ANNIVER-
 SARY DATE OF THE POLICY.
   (5) WHERE THE GROUP POLICYHOLDER NONRENEWS THE GROUP POLICY, THE GROUP
 POLICYHOLDER  SHALL  MAIL OR DELIVER WRITTEN NOTICE TO EACH GROUP MEMBER
 ADVISING THE GROUP MEMBER OF NONRENEWAL OF  THE  GROUP  POLICY  AND  THE
 EFFECTIVE  DATE  OF  NONRENEWAL.  THE  GROUP  POLICYHOLDER SHALL MAIL OR
 DELIVER WRITTEN NOTICE AT LEAST THIRTY DAYS PRIOR TO THE NONRENEWAL.
   (6) EVERY NOTICE OF CANCELLATION, NONRENEWAL, OR  CONDITIONAL  RENEWAL
 SHALL  SET FORTH THE SPECIFIC REASON OR REASONS FOR CANCELLATION, NONRE-
 NEWAL, OR CONDITIONAL RENEWAL.
   (7) (A) AN INSURER SHALL NOT BE REQUIRED UNDER THIS SUBSECTION TO GIVE
 NOTICE TO A GROUP MEMBER IF THE INSURER HAS BEEN ADVISED BY  EITHER  THE
 GROUP  POLICYHOLDER OR ANOTHER INSURER THAT SUBSTANTIALLY SIMILAR COVER-
 AGE HAS BEEN OBTAINED FROM THE OTHER INSURER WITHOUT LAPSE OF COVERAGE.
   (B) A GROUP POLICYHOLDER SHALL NOT BE REQUIRED UNDER  THIS  SUBSECTION
 TO  GIVE  NOTICE TO A GROUP MEMBER IF SUBSTANTIALLY SIMILAR COVERAGE HAS
 BEEN OBTAINED FROM ANOTHER INSURER WITHOUT LAPSE OF COVERAGE.
   (8) (A) IF, PRIOR TO THE EFFECTIVE DATE OF  CANCELLATION,  NONRENEWAL,
 OR  CONDITIONAL  RENEWAL  OF THE GROUP POLICY, OR A CERTIFICATE, WHETHER
 INITIATED BY THE INSURER, GROUP POLICYHOLDER OR BY THE GROUP  MEMBER  IN
 REGARD  TO THE GROUP MEMBER'S CERTIFICATE, COVERAGE ATTACHES PURSUANT TO

 S. 2008--B                         26
 
 THE TERMS OF A GROUP POLICY, THEN THE COVERAGE SHALL BE EFFECTIVE  UNTIL
 EXPIRATION  OF  THE  APPLICABLE PERIOD OF COVERAGE PROVIDED IN THE GROUP
 POLICY  NOTWITHSTANDING  THE  CANCELLATION,  NONRENEWAL  OR  CONDITIONAL
 NONRENEWAL OF THE GROUP POLICY.
   (B) NOTWITHSTANDING SUBPARAGRAPH (A) OF THIS PARAGRAPH, AN INSURER MAY
 TERMINATE COVERAGE UNDER AN INDIVIDUAL CERTIFICATE ON THE EFFECTIVE DATE
 OF  CANCELLATION, IF THE CERTIFICATE IS CANCELLED IN ACCORDANCE WITH THE
 PROVISIONS OF SUBPARAGRAPH (B) OF PARAGRAPH ONE OF THIS SUBSECTION.
   (K) ANY MAILING OR DELIVERY TO A GROUP MEMBER  REQUIRED  OR  PERMITTED
 UNDER  THIS  SECTION  MAY  BE MADE BY ELECTRONIC MAIL IF CONSENT TO SUCH
 METHOD OF DELIVERY HAS BEEN PREVIOUSLY RECEIVED FROM SUCH GROUP MEMBER.
   (L) AN INSURER MAY ISSUE A TRANSPORTATION NETWORK COMPANY GROUP POLICY
 TO A TRANSPORTATION NETWORK COMPANY, NOTWITHSTANDING THAT IT  MAY  BE  A
 CONDITION OF OPERATING A VEHICLE ON THE TRANSPORTATION NETWORK COMPANY'S
 DIGITAL NETWORK FOR THE TNC DRIVER TO PARTICIPATE IN SUCH GROUP POLICY.
   (M)  AN  INSURER SHALL NOT INCLUDE A MANDATORY ARBITRATION CLAUSE IN A
 POLICY  THAT  PROVIDES  FINANCIAL  RESPONSIBILITY  COVERAGE  UNDER  THIS
 SECTION EXCEPT AS PERMITTED IN SECTION FIVE THOUSAND ONE HUNDRED FIVE OF
 THE INSURANCE LAW.
   § 6. Subsection (g) of section 5102 of the insurance law is amended to
 read as follows:
   (g) "Insurer" means the insurance company or self-insurer, as the case
 may  be,  which  provides the financial security required by article six
 [or], eight, OR FORTY-FOUR-B of the vehicle and traffic law.
   § 7. Subsection (b) of section 5103 of the insurance law is amended by
 adding a new paragraph 4 to read as follows:
   (4) IS INJURED WHILE A MOTOR VEHICLE IS BEING USED OR  OPERATED  BY  A
 TNC  DRIVER  PURSUANT TO ARTICLE FORTY-FOUR-B OF THE VEHICLE AND TRAFFIC
 LAW, PROVIDED, HOWEVER, THAT AN INSURER MAY NOT INCLUDE  THIS  EXCLUSION
 IN  A POLICY USED TO SATISFY THE REQUIREMENTS UNDER ARTICLE FORTY-FOUR-B
 OF THE VEHICLE AND TRAFFIC LAW.
   § 8. Subsection (d) of section 5106 of the insurance law, as added  by
 chapter 452 of the laws of 2005, is amended to read as follows:
   (d)   [Where]  (1)  EXCEPT  AS  PROVIDED  IN  PARAGRAPH  TWO  OF  THIS
 SUBSECTION, WHERE there is reasonable belief more than one insurer would
 be the source of first party benefits,  the  insurers  may  agree  among
 themselves,  if  there  is a valid basis therefor, that one of them will
 accept and pay the claim initially. If there is no such agreement,  then
 the  first insurer to whom notice of claim is given shall be responsible
 for payment. Any such dispute shall be resolved in accordance  with  the
 arbitration procedures established pursuant to section five thousand one
 hundred five of this article and [regulation] REGULATIONS as promulgated
 by the superintendent, and any insurer paying first-party benefits shall
 be  reimbursed  by  other  insurers for their proportionate share of the
 costs of the claim and the allocated expenses of processing  the  claim,
 in accordance with the provisions entitled "other coverage" contained in
 regulation  and  the  provisions  entitled "other sources of first-party
 benefits" contained in regulation. If there is no such insurer  and  the
 motor  vehicle accident occurs in this state, then an applicant who is a
 qualified person as defined in article fifty-two of this  chapter  shall
 institute  the  claim against THE motor vehicle accident indemnification
 corporation.
   (2) A GROUP POLICY ISSUED PURSUANT  TO  SECTION  THREE  THOUSAND  FOUR
 HUNDRED  FIFTY-FIVE  OF  THIS CHAPTER SHALL PROVIDE FIRST PARTY BENEFITS
 WHEN A DISPUTE EXISTS AS TO WHETHER A DRIVER WAS USING  OR  OPERATING  A
 MOTOR  VEHICLE  IN CONNECTION WITH A TRANSPORTATION NETWORK COMPANY WHEN

 S. 2008--B                         27
 
 LOSS, DAMAGE, INJURY, OR DEATH OCCURS. A TRANSPORTATION NETWORK  COMPANY
 SHALL  NOTIFY  THE  INSURER  THAT ISSUED THE OWNER'S POLICY OF LIABILITY
 INSURANCE OF THE DISPUTE WITHIN TEN BUSINESS DAYS OF BECOMING AWARE THAT
 THE  DISPUTE  EXISTS.  WHEN THERE IS A DISPUTE, THE GROUP INSURER LIABLE
 FOR THE PAYMENT OF FIRST PARTY BENEFITS UNDER A GROUP POLICY SHALL  HAVE
 THE  RIGHT  TO  RECOVER THE AMOUNT PAID FROM THE DRIVER'S INSURER TO THE
 EXTENT THAT THE DRIVER WOULD HAVE BEEN  LIABLE  TO  PAY  DAMAGES  IN  AN
 ACTION AT LAW.
   §  9.  Subsection (b) of section 2305 of the insurance law, as amended
 by chapter 11 of the laws of 2008, paragraph 13 as  amended  by  chapter
 136 of the laws of 2008, is amended to read as follows:
   (b) rate filings for:
   (1) workers' compensation insurance;
   (2)  motor  vehicle  insurance,  or  surety bonds, required by section
 three hundred seventy of the vehicle and traffic law OR  ARTICLE  FORTY-
 FOUR-B OF THE VEHICLE AND TRAFFIC LAW;
   (3) joint underwriting;
   (4) motor vehicle assigned risk insurance;
   (5)  insurance  issued by the New York Property Insurance Underwriting
 Association;
   (6) risk sharing  plans  authorized  by  section  two  thousand  three
 hundred eighteen of this article;
   (7) title insurance;
   (8) medical malpractice liability insurance;
   (9) insurance issued by the Medical Malpractice Insurance Association;
   (10) mortgage guaranty insurance;
   (11)  credit  property  insurance,  as defined in section two thousand
 three hundred forty of this article; [and]
   (12) gap insurance; AND
   (13) [Private]  PRIVATE  passenger  automobile  insurance,  except  as
 provided in section two thousand three hundred fifty of this article[.],
 shall  be  filed  with the superintendent and shall not become effective
 unless either the filing has been approved or  thirty  days,  which  the
 superintendent  may with cause extend an additional thirty days and with
 further cause extend an additional fifteen days, have  elapsed  and  the
 filing  has  not been disapproved as failing to meet the requirements of
 this article, including the standard that rates be not otherwise  unrea-
 sonable.  After a rate filing becomes effective, the filing and support-
 ing information shall be open to  public  inspection.  If  a  filing  is
 disapproved, THEN notice of such disapproval order shall be given, spec-
 ifying  in  what  respects such filing fails to meet the requirements of
 this article. Upon his or  her  request,  the  superintendent  shall  be
 provided  with  support  and  assistance  from the workers' compensation
 board and other state agencies and departments with  appropriate  juris-
 diction.  The  loss  cost multiplier for each insurer providing coverage
 for workers' compensation, as defined by regulation promulgated  by  the
 superintendent,  shall be promptly displayed on the department's website
 and updated in the event of any change.
   § 10. Paragraph 1 of subsection (a) of section 3425 of  the  insurance
 law,  as  amended by chapter 235 of the laws of 1989, is amended to read
 as follows:
   (1) "Covered policy" means a contract of  insurance,  referred  to  in
 this section as "automobile insurance", issued or issued for delivery in
 this  state,  on  a  risk  located  or  resident in this state, insuring
 against losses or liabilities arising out of the  ownership,  operation,
 or use of a motor vehicle, predominantly used for non-business purposes,

 S. 2008--B                         28
 
 when  a  natural person is the named insured under the policy of automo-
 bile insurance; PROVIDED, HOWEVER, THAT THE  USE  OR  OPERATION  OF  THE
 MOTOR  VEHICLE  BY  A  TRANSPORTATION NETWORK DRIVER AS A TNC VEHICLE IN
 ACCORDANCE  WITH  ARTICLE  FORTY-FOUR-B  OF  THE VEHICLE AND TRAFFIC LAW
 SHALL NOT BE INCLUDED IN DETERMINING WHETHER THE MOTOR VEHICLE IS  BEING
 USED PREDOMINANTLY FOR NON-BUSINESS PURPOSES.
   § 11. The executive law is amended by adding a new article 6-H to read
 as follows:
                                ARTICLE 6-H
                  TRANSPORTATION NETWORK COMPANY DRIVER'S
                         INJURY COMPENSATION FUND
 SECTION 160-AAAA. DEFINITIONS.
         160-BBBB. TRANSPORTATION NETWORK COMPANY DRIVER'S INJURY COMPEN-
                     SATION FUND, INC.
         160-CCCC. SUPERVISION OF TRANSPORTATION NETWORK COMPANIES.
         160-DDDD. MANAGEMENT OF THE FUND.
         160-EEEE. PLAN OF OPERATION.
         160-FFFF. MEMBERSHIP.
         160-GGGG. SECURING OF COMPENSATION.
         160-HHHH. ASSESSMENT OF FUND MEMBERS.
         160-IIII. CERTIFIED FINANCIAL STATEMENTS.
         160-JJJJ. EXEMPTION FROM TAXES.
         160-KKKK. LIABILITY INSURANCE.
         160-LLLL. REGULATIONS.
         160-MMMM. VIOLATIONS.
   § 160-AAAA. DEFINITIONS. AS USED IN THIS ARTICLE:
   1.  "TRANSPORTATION  NETWORK  COMPANY DRIVER" OR "TNC DRIVER" MEANS AN
 INDIVIDUAL WHO:
   (A) RECEIVES CONNECTIONS TO POTENTIAL PASSENGERS AND RELATED  SERVICES
 FROM  A  TRANSPORTATION NETWORK COMPANY IN EXCHANGE FOR PAYMENT OF A FEE
 TO THE TRANSPORTATION NETWORK COMPANY;
   (B) USES A TNC VEHICLE TO OFFER OR PROVIDE A TNC PREARRANGED  TRIP  TO
 TRANSPORTATION  NETWORK  COMPANY  PASSENGERS  UPON  CONNECTION THROUGH A
 DIGITAL NETWORK  CONTROLLED  BY  A  TRANSPORTATION  NETWORK  COMPANY  IN
 EXCHANGE FOR COMPENSATION OR PAYMENT OF A FEE; AND
   (C)  WHOSE  INJURY  AROSE  OUT OF AND IN THE COURSE OF PROVIDING A TNC
 PREARRANGED TRIP THROUGH A DIGITAL NETWORK OPERATED BY A  TRANSPORTATION
 NETWORK  COMPANY THAT IS A REGISTERED MEMBER OF THE NEW YORK TRANSPORTA-
 TION NETWORK COMPANY DRIVER'S INJURY COMPENSATION FUND, INC.
   2. "TRANSPORTATION NETWORK COMPANY PASSENGER" OR "PASSENGER"  MEANS  A
 PERSON  OR  PERSONS  WHO  USE A TRANSPORTATION NETWORK COMPANY'S DIGITAL
 NETWORK TO CONNECT WITH A  TRANSPORTATION  NETWORK  COMPANY  DRIVER  WHO
 PROVIDES  TNC  PREARRANGED  TRIPS  TO  THE  PASSENGER IN THE TNC VEHICLE
 BETWEEN POINTS CHOSEN BY THE PASSENGER.
   3. "BOARD" MEANS THE WORKERS' COMPENSATION BOARD.
   4. "DIGITAL NETWORK" MEANS ANY SYSTEM OR SERVICE OFFERED  OR  UTILIZED
 BY  A  TRANSPORTATION NETWORK COMPANY THAT ENABLES TNC PREARRANGED TRIPS
 WITH TRANSPORTATION NETWORK COMPANY DRIVERS.
   5. "TRANSPORTATION NETWORK COMPANY" MEANS A PERSON, CORPORATION, PART-
 NERSHIP, SOLE PROPRIETORSHIP, OR OTHER ENTITY THAT IS LICENSED  PURSUANT
 TO  ARTICLE FORTY-FOUR-B OF THE VEHICLE AND TRAFFIC LAW AND IS OPERATING
 IN NEW YORK STATE EXCLUSIVELY USING A DIGITAL NETWORK TO CONNECT  TRANS-
 PORTATION  NETWORK  COMPANY PASSENGERS TO TRANSPORTATION NETWORK COMPANY
 DRIVERS WHO PROVIDE TNC PREARRANGED TRIPS.
   6. "TRANSPORTATION NETWORK COMPANY VEHICLE" OR "TNC VEHICLE"  MEANS  A
 VEHICLE THAT IS:

 S. 2008--B                         29
 
   (A)  USED  BY A TRANSPORTATION NETWORK COMPANY DRIVER TO PROVIDE A TNC
 PREARRANGED TRIP ORIGINATING IN THE STATE OF NEW YORK;
   (B)  OWNED,  LEASED OR OTHERWISE AUTHORIZED FOR USE BY THE TRANSPORTA-
 TION NETWORK COMPANY DRIVER AND SHALL NOT INCLUDE:
   (I) A TAXICAB, AS DEFINED IN SECTION ONE HUNDRED FORTY-EIGHT-A OF  THE
 VEHICLE AND TRAFFIC LAW AND SECTION 19-502 OF THE ADMINISTRATIVE CODE OF
 THE CITY OF NEW YORK, OR AS OTHERWISE DEFINED IN LOCAL LAW;
   (II)  A LIVERY VEHICLE, AS DEFINED IN SECTION ONE HUNDRED TWENTY-ONE-E
 OF THE VEHICLE AND TRAFFIC LAW, OR AS OTHERWISE DEFINED IN LOCAL LAW;
   (III) A BLACK CAR, LIMOUSINE,  OR  LUXURY  LIMOUSINE,  AS  DEFINED  IN
 SECTION 19-502 OF THE ADMINISTRATIVE CODE OF THE CITY OF NEW YORK, OR AS
 OTHERWISE DEFINED IN LOCAL LAW;
   (IV)  A FOR-HIRE VEHICLE, AS DEFINED IN SECTION 19-502 OF THE ADMINIS-
 TRATIVE CODE OF THE CITY OF NEW YORK, OR AS OTHERWISE DEFINED  IN  LOCAL
 LAW;
   (V)  A  BUS, AS DEFINED IN SECTION ONE HUNDRED FOUR OF THE VEHICLE AND
 TRAFFIC LAW;
   (VI) ANY MOTOR VEHICLE WEIGHING MORE THAN SIX  THOUSAND  FIVE  HUNDRED
 POUNDS UNLOADED;
   (VII)  ANY  MOTOR VEHICLE HAVING A SEATING CAPACITY OF MORE THAN SEVEN
 PASSENGERS; AND
   (VIII) ANY MOTOR VEHICLE SUBJECT TO SECTION THREE HUNDRED  SEVENTY  OF
 THE VEHICLE AND TRAFFIC LAW.
   7. (A) "TNC PREARRANGED TRIP" MEANS THE PROVISION OF TRANSPORTATION BY
 A  TRANSPORTATION NETWORK COMPANY DRIVER TO A PASSENGER PROVIDED THROUGH
 THE USE OF A TNC'S DIGITAL NETWORK:
   (I) BEGINNING WHEN A TRANSPORTATION NETWORK COMPANY DRIVER  ACCEPTS  A
 PASSENGER'S REQUEST FOR A TRIP THROUGH A DIGITAL NETWORK CONTROLLED BY A
 TRANSPORTATION NETWORK COMPANY;
   (II) CONTINUING WHILE THE TRANSPORTATION NETWORK COMPANY DRIVER TRANS-
 PORTS THE REQUESTING PASSENGER IN A TNC VEHICLE; AND
   (III)  ENDING  WHEN THE LAST REQUESTING PASSENGER DEPARTS FROM THE TNC
 VEHICLE.
   (B) THE TERM "TNC PREARRANGED TRIP" DOES  NOT  INCLUDE  TRANSPORTATION
 PROVIDED THROUGH ANY OF THE FOLLOWING:
   (I) SHARED EXPENSE CARPOOL OR VANPOOL ARRANGEMENTS, INCLUDING THOSE AS
 DEFINED  IN SECTION ONE HUNDRED FIFTY-EIGHT-B OF THE VEHICLE AND TRAFFIC
 LAW;
   (II) USE OF A TAXICAB, LIVERY, LUXURY  LIMOUSINE,  OR  OTHER  FOR-HIRE
 VEHICLE,  AS  DEFINED  IN THE VEHICLE AND TRAFFIC LAW, SECTION 19-502 OF
 THE ADMINISTRATIVE CODE OF THE CITY OF NEW YORK, OR AS OTHERWISE DEFINED
 IN LOCAL LAW; OR
   (III) A REGIONAL TRANSPORTATION PROVIDER.
   8. "COVERED SERVICES" MEANS, WITH RESPECT  TO  TNC  PREARRANGED  TRIPS
 USING  A  DIGITAL NETWORK OF A TRANSPORTATION NETWORK COMPANY LOCATED IN
 THE STATE, ALL SUCH TNC PREARRANGED TRIPS REGARDLESS OF WHERE THE  PICK-
 UP OR DISCHARGE OCCURS, AND, WITH RESPECT TO TNC PREARRANGED TRIPS USING
 A  DIGITAL  NETWORK  OF A TRANSPORTATION NETWORK COMPANY LOCATED OUTSIDE
 THE STATE, ALL PREARRANGED TRIPS  INVOLVING  A  PICK-UP  IN  THE  STATE,
 REGARDLESS OF WHERE THE DISCHARGE OCCURS.
   9. "DEPARTMENT" MEANS THE DEPARTMENT OF STATE.
   10.  "FUND" MEANS THE NEW YORK TRANSPORTATION NETWORK COMPANY DRIVER'S
 FUND, INC.
   11. "FUND LIABILITY DATE" MEANS THE EARLIER OF:

 S. 2008--B                         30
 
   (A) THE DATE AS OF WHICH THE BOARD FIRST APPROVES THE FUND'S  APPLICA-
 TION  TO  SELF-INSURE PURSUANT TO SECTION ONE HUNDRED SIXTY-GGGG OF THIS
 ARTICLE; OR
   (B)  THE  DATE ON WHICH COVERAGE COMMENCES UNDER THE INITIAL INSURANCE
 POLICY PURCHASED BY THE FUND PURSUANT TO SECTION ONE HUNDRED  SIXTY-GGGG
 OF THIS ARTICLE.
   12. "SECRETARY" MEANS THE SECRETARY OF STATE.
   §  160-BBBB.  TRANSPORTATION  NETWORK  COMPANY DRIVER'S INJURY COMPEN-
 SATION FUND, INC. THERE IS HEREBY CREATED A  NOT-FOR-PROFIT  CORPORATION
 TO  BE  KNOWN  AS  THE  NEW YORK TRANSPORTATION NETWORK COMPANY DRIVER'S
 INJURY COMPENSATION FUND, INC. TO THE EXTENT THAT THE PROVISIONS OF  THE
 NOT-FOR-PROFIT  CORPORATION  LAW  DO NOT CONFLICT WITH THE PROVISIONS OF
 THIS ARTICLE, OR WITH THE PLAN OF OPERATION ESTABLISHED PURSUANT TO THIS
 ARTICLE, THE NOT-FOR-PROFIT CORPORATION LAW SHALL  APPLY  TO  THE  FUND,
 WHICH SHALL BE A TYPE C CORPORATION PURSUANT TO SUCH LAW. IF AN APPLICA-
 BLE PROVISION OF THIS ARTICLE OR OF THE FUND'S PLAN OF OPERATION RELATES
 TO  A  MATTER  EMBRACED IN A PROVISION OF THE NOT-FOR-PROFIT CORPORATION
 LAW BUT IS NOT IN CONFLICT THEREWITH, BOTH PROVISIONS SHALL  APPLY.  THE
 FUND  SHALL  PERFORM ITS FUNCTIONS IN ACCORDANCE WITH ITS PLAN OF OPERA-
 TION ESTABLISHED AND APPROVED PURSUANT TO SECTION ONE HUNDRED SIXTY-EEEE
 OF THIS ARTICLE AND SHALL EXERCISE ITS POWERS THROUGH A BOARD OF  DIREC-
 TORS ESTABLISHED PURSUANT TO THIS ARTICLE.
   §  160-CCCC. SUPERVISION OF TRANSPORTATION NETWORK COMPANIES. A TRANS-
 PORTATION NETWORK COMPANY SHALL, WITH RESPECT TO THE PROVISIONS OF  THIS
 ARTICLE,  BE  SUBJECT TO THE SUPERVISION AND OVERSIGHT OF THE DEPARTMENT
 AS PROVIDED IN THIS ARTICLE.
   § 160-DDDD. MANAGEMENT OF THE FUND. 1. WITHIN THIRTY (30) DAYS OF  THE
 EFFECTIVE  DATE  OF  THIS  ARTICLE,  THERE SHALL BE APPOINTED A BOARD OF
 DIRECTORS OF THE FUND. THE BOARD OF DIRECTORS OF THE FUND SHALL  CONSIST
 OF NINE DIRECTORS APPOINTED BY THE GOVERNOR, ONE OF WHOM SHALL BE CHOSEN
 BY  THE  GOVERNOR;  ONE  OF  WHOM SHALL BE CHOSEN UPON NOMINATION OF THE
 TEMPORARY PRESIDENT OF THE SENATE; ONE OF  WHOM  SHALL  BE  CHOSEN  UPON
 NOMINATION  OF  THE SPEAKER OF THE ASSEMBLY; ONE OF WHOM SHALL BE CHOSEN
 UPON NOMINATION OF THE AMERICAN FEDERATION OF LABOR-CONGRESS  OF  INDUS-
 TRIAL  ORGANIZATIONS  OF NEW YORK; AND FIVE OF WHOM SHALL BE CHOSEN UPON
 NOMINATION OF TRANSPORTATION NETWORK COMPANY MEMBERS OF THE FUND.
   2. THE DIRECTORS SHALL ELECT ANNUALLY FROM AMONG THEIR NUMBER A CHAIR.
   3. FOR THEIR ATTENDANCE AT MEETINGS, THE DIRECTORS OF THE  FUND  SHALL
 BE  ENTITLED  TO  COMPENSATION,  AS  AUTHORIZED  BY THE DIRECTORS, IN AN
 AMOUNT NOT TO EXCEED FIVE HUNDRED DOLLARS PER MEETING PER  DIRECTOR  AND
 TO REIMBURSEMENT OF THEIR ACTUAL AND NECESSARY EXPENSES.
   4.  DIRECTORS  OF  THE  FUND, EXCEPT AS OTHERWISE PROVIDED BY LAW, MAY
 ENGAGE IN PRIVATE OR PUBLIC EMPLOYMENT OR IN A PROFESSION OR BUSINESS.
   5. (A) ALL OF THE DIRECTORS SHALL HAVE EQUAL VOTING RIGHTS AND FIVE OR
 MORE DIRECTORS SHALL CONSTITUTE A QUORUM. THE AFFIRMATIVE VOTE  OF  FOUR
 DIRECTORS  SHALL BE NECESSARY FOR THE TRANSACTION OF ANY BUSINESS OR THE
 EXERCISE OF ANY POWER OR FUNCTION OF THE FUND.
   (B) THE FUND MAY DELEGATE TO ONE OR MORE OF ITS  DIRECTORS,  OFFICERS,
 AGENTS, OR EMPLOYEES SUCH POWERS AND DUTIES AS IT MAY DEEM PROPER.
   (C)  A VACANCY OCCURRING IN A DIRECTOR POSITION SHALL BE FILLED IN THE
 SAME MANNER AS THE INITIAL APPOINTMENT TO THAT POSITION, PROVIDED HOWEV-
 ER THAT NO INDIVIDUAL MAY SERVE AS DIRECTOR FOR MORE THAN THREE  SUCCES-
 SIVE TERMS.
   §  160-EEEE.  PLAN  OF  OPERATION.  1. WITHIN SEVENTY-FIVE DAYS OF THE
 EFFECTIVE DATE OF THIS ARTICLE, THE FUND SHALL FILE WITH THE  DEPARTMENT
 ITS  PLAN  OF  OPERATION,  WHICH  SHALL  BE DESIGNED TO ASSURE THE FAIR,

 S. 2008--B                         31
 
 REASONABLE AND EQUITABLE ADMINISTRATION OF THE FUND.  THE PLAN OF OPERA-
 TION AND ANY SUBSEQUENT AMENDMENTS THERETO SHALL BECOME  EFFECTIVE  UPON
 BEING FILED WITH THE DEPARTMENT.
   2.  THE PLAN OF OPERATION SHALL CONSTITUTE THE BY-LAWS OF THE FUND AND
 SHALL, IN ADDITION TO THE  REQUIREMENTS  ENUMERATED  ELSEWHERE  IN  THIS
 ARTICLE:
   (A) ESTABLISH PROCEDURES FOR COLLECTING AND MANAGING THE ASSETS OF THE
 FUND;
   (B)  ESTABLISH  REGULAR  PLACES  AND  TIMES FOR MEETINGS OF THE FUND'S
 BOARD OF DIRECTORS;
   (C) ESTABLISH THE PROCEDURE BY WHICH THE FUND SHALL DETERMINE  WHETHER
 TO PROVIDE THE BENEFITS DUE PURSUANT TO THIS ARTICLE BY SELF-INSURING OR
 BY PURCHASING INSURANCE;
   (D)  ESTABLISH ACCOUNTING AND RECORD-KEEPING PROCEDURES FOR ALL FINAN-
 CIAL TRANSACTIONS OF THE FUND, ITS AGENTS, AND THE BOARD OF DIRECTORS;
   (E) ESTABLISH A PROCEDURE FOR DETERMINING AND COLLECTING THE APPROPRI-
 ATE AMOUNT OF SURCHARGES AND ASSESSMENTS UNDER THIS ARTICLE;
   (F) SET FORTH THE PROCEDURES BY WHICH THE FUND MAY EXERCISE THE  AUDIT
 RIGHTS GRANTED TO IT UNDER THIS ARTICLE;
   (G) ESTABLISH PROCEDURES TO ENSURE PROMPT AND ACCURATE NOTIFICATION TO
 THE  FUND BY ITS MEMBERS OF ALL ACCIDENTS AND INJURIES TO TRANSPORTATION
 NETWORK COMPANY DRIVERS, AND PROVIDE FOR FULL REIMBURSEMENT OF THE  FUND
 BY  ANY  TRANSPORTATION  NETWORK  COMPANY  WHOSE FAILURE TO PROVIDE SUCH
 NOTIFICATION RESULTS IN THE IMPOSITION OF A PENALTY ON THE FUND  BY  THE
 BOARD; AND
   (H)  CONTAIN  SUCH  ADDITIONAL PROVISIONS AS THE BOARD OF THE FUND MAY
 DEEM NECESSARY OR PROPER FOR THE EXECUTION OF THE POWERS AND  DUTIES  OF
 THE FUND.
   §  160-FFFF.  MEMBERSHIP.  1.  THE  MEMBERSHIP  OF  THE  FUND SHALL BE
 COMPOSED OF ALL TRANSPORTATION NETWORK  COMPANIES.  EACH  TRANSPORTATION
 NETWORK  COMPANY  SHALL  BE  REQUIRED,  AS A CONDITION OF DOING BUSINESS
 WITHIN THIS STATE, TO PAY THE DEPARTMENT A TEN  THOUSAND  DOLLAR  ANNUAL
 FEE FOR THE PURPOSE OF REGISTERING AS A MEMBER OF THE FUND AND RECEIVING
 A  CERTIFICATE  OF REGISTRATION.  SUCH SUMS SHALL BE USED BY THE DEPART-
 MENT FOR THE ADMINISTRATION OF THIS ARTICLE.  THE  INITIAL  REGISTRATION
 FEE  SHALL  BE DUE NO LATER THAN NINETY DAYS AFTER THE EFFECTIVE DATE OF
 THIS ARTICLE. THE DEPARTMENT SHALL HAVE THE POWER  TO  ASSESS  AN  ADDI-
 TIONAL FEE AGAINST EACH REGISTRANT IN THE AMOUNT NECESSARY TO PROVIDE IT
 WITH  SUFFICIENT  FUNDS  TO  COVER ITS EXPENSES IN PERFORMING ITS DUTIES
 PURSUANT TO THIS ARTICLE. THE DEPARTMENT SHALL PROVIDE THE FUND WITH  AN
 UPDATED LIST OF REGISTRANTS ON A MONTHLY BASIS.
   2. ALL TRANSPORTATION NETWORK COMPANIES SHALL BE REQUIRED, AS A CONDI-
 TION  OF  OBTAINING  OR  RETAINING  THEIR LICENSE FROM THE DEPARTMENT OF
 MOTOR VEHICLES PURSUANT TO ARTICLE FORTY-FOUR-B OF THE VEHICLE AND TRAF-
 FIC LAW, TO:
   (A) BE MEMBERS OF THE FUND;
   (B) BE REGISTERED WITH THE DEPARTMENT AS MEMBERS OF THE FUND; AND
   (C) SUBMIT TO THE DEPARTMENT OF MOTOR VEHICLES A COPY OF  ITS  CERTIF-
 ICATE OF REGISTRATION AS PROOF OF SUCH MEMBERSHIP AND REGISTRATION.
   3.  WITHIN SIXTY DAYS OF THE EFFECTIVE DATE OF THIS ARTICLE, THE BOARD
 OF THE FUND SHALL, ON THE BASIS OF INFORMATION  FROM  TRADE  PAPERS  AND
 OTHER  SOURCES, IDENTIFY THE TRANSPORTATION NETWORK COMPANIES SUBJECT TO
 THIS ARTICLE AND, ON A REGULAR AND ONGOING BASIS, CONFIRM THAT ALL  SUCH
 ENTITIES  HAVE  REGISTERED  IN  ACCORDANCE  WITH SUBDIVISION ONE OF THIS
 SECTION.

 S. 2008--B                         32
 
   4. THE FUND SHALL, WITHIN SEVENTY-FIVE DAYS OF THE EFFECTIVE  DATE  OF
 THIS  ARTICLE,  PROVIDE  TO  ITS  MEMBERS A COPY OF THE PROPOSED PLAN OF
 OPERATION FILED WITH THE DEPARTMENT AND  SHALL  INFORM  ITS  MEMBERS  OF
 THEIR RIGHTS AND DUTIES PURSUANT TO THIS ARTICLE.
   §  160-GGGG.  SECURING OF COMPENSATION. 1. WITHIN TWO HUNDRED TEN DAYS
 OF THE EFFECTIVE DATE OF THIS ARTICLE, THE FUND SHALL SECURE THE PAYMENT
 OF WORKERS' COMPENSATION TO ALL:  TRANSPORTATION NETWORK COMPANY DRIVERS
 ENTITLED THERETO PURSUANT TO THIS CHAPTER BY EITHER:
   (A) SELF-INSURING IN ACCORDANCE  WITH  SUBDIVISION  THREE  OF  SECTION
 FIFTY  OF THE WORKERS' COMPENSATION LAW AND THE RULES PROMULGATED BY THE
 BOARD PURSUANT TO SUCH SECTION; OR
   (B) PURCHASING WORKERS' COMPENSATION INSURANCE COVERING, ON A  BLANKET
 BASIS,  ALL DRIVERS WHO ARE THE FUND'S EMPLOYEES PURSUANT TO SECTION TWO
 OF THE WORKERS' COMPENSATION LAW.
   2. IF THE FUND INITIALLY SEEKS TO APPLY TO THE BOARD FOR AUTHORIZATION
 TO SELF-INSURE PURSUANT TO SUBDIVISION THREE OF  SECTION  FIFTY  OF  THE
 WORKERS'  COMPENSATION LAW, IT SHALL SUBMIT ITS APPLICATION AND ACCOMPA-
 NYING PROOF TO THE BOARD WITHIN ONE HUNDRED FIFTY DAYS OF THE  EFFECTIVE
 DATE OF THIS ARTICLE.  THE BOARD SHALL NOTIFY THE FUND AND THE SECRETARY
 IN  WRITING  OF  ANY CHANGE IN THE FUND'S STATUS AS A SELF-INSURER OR OF
 ANY ADDITIONAL REQUIREMENTS  THAT  THE  BOARD  MAY  DEEM  NECESSARY  FOR
 CONTINUATION OF SUCH STATUS.
   3.  IF THE FUND CHOOSES TO SECURE THE PAYMENT OF WORKERS' COMPENSATION
 PURSUANT TO THE WORKERS' COMPENSATION LAW  BY  PURCHASING  AN  INSURANCE
 POLICY  FROM  THE  STATE  INSURANCE FUND OR A LICENSED INSURER, IT SHALL
 FILE WITH THE DEPARTMENT NO LATER THAN THIRTY DAYS AFTER  THE  COMMENCE-
 MENT OF A NEW POLICY YEAR A COPY OF THE POLICY IT HAS PURCHASED. IN SUCH
 CASE,  THE  DEPARTMENT  SHALL BE TREATED BY THE INSURER AS A CERTIFICATE
 HOLDER FOR PURPOSES OF RECEIVING NOTICE OF CANCELLATION OF THE POLICY.
   4. NO PROVISION OF THIS ARTICLE SHALL BE CONSTRUED TO ALTER OR  AFFECT
 THE  LIABILITY UNDER THE WORKERS' COMPENSATION LAW OF ANY TRANSPORTATION
 NETWORK COMPANY WITH RESPECT TO TRANSPORTATION NETWORK  COMPANY  DRIVERS
 PRIOR TO THE FUND LIABILITY DATE.
   § 160-HHHH. ASSESSMENT OF FUND MEMBERS. 1. TO PAY:
   (A)  THE  COSTS  OF  THE  INSURANCE  PURCHASED PURSUANT TO SECTION ONE
 HUNDRED SIXTY-GGGG OF THIS ARTICLE; OR
   (B) THE BENEFITS DUE UNDER THE WORKERS' COMPENSATION LAW IN THE  EVENT
 THE FUND SELF-INSURES PURSUANT TO SECTION ONE HUNDRED SIXTY-GGGG OF THIS
 ARTICLE; AND TO PAY
   (C)  ITS  EXPENSES  IN  CARRYING  OUT ITS POWERS AND DUTIES UNDER THIS
 ARTICLE; AND
   (D) ITS LIABILITIES, IF ANY, PURSUANT TO  SECTION  FOURTEEN-A  OF  THE
 WORKERS'  COMPENSATION LAW; THE FUND SHALL ASCERTAIN BY REASONABLE ESTI-
 MATE THE TOTAL FUNDING NECESSARY TO CARRY ON ITS OPERATIONS.
   2. BASED UPON ITS ESTIMATION OF OPERATING COSTS, THE FUND SHALL ESTAB-
 LISH A PROPOSED UNIFORM PERCENTAGE SURCHARGE TO BE ADDED TO:
   (A) THE INVOICES OR BILLINGS FOR COVERED SERVICES SENT TO  TRANSPORTA-
 TION NETWORK COMPANY PASSENGERS BY A MEMBER OR ITS AGENT; AND
   (B)  THE  CREDIT PAYMENTS FOR COVERED SERVICES RECEIVED BY A MEMBER OR
 ITS AGENT. THE PROPOSED SURCHARGE SHALL  BECOME  EFFECTIVE  THIRTY  DAYS
 AFTER BEING FILED WITH THE DEPARTMENT.
   NOTWITHSTANDING THE FOREGOING, BEGINNING ON THE FIRST DAY OF THE FIRST
 CALENDAR  MONTH THAT SHALL COMMENCE AT LEAST SEVENTY-FIVE DAYS AFTER THE
 EFFECTIVE DATE OF THIS ARTICLE, AND UNTIL THE FUND SHALL HAVE FILED WITH
 THE DEPARTMENT A DIFFERENT SURCHARGE AMOUNT,  A  TWO  PERCENT  SURCHARGE
 SHALL  BE ADDED TO EVERY INVOICE OR BILLING FOR COVERED SERVICES SENT BY

 S. 2008--B                         33
 
 A MEMBER OR ITS AGENT TO, AND EVERY CREDIT PAYMENT FOR COVERED  SERVICES
 RECEIVED  BY  A MEMBER OR ITS AGENT FROM, TRANSPORTATION NETWORK COMPANY
 PASSENGERS. EACH MEMBER OF THE FUND SHALL BE LIABLE FOR PAYMENT  TO  THE
 FUND OF AN AMOUNT EQUAL TO THE PRODUCT OF:
   (A) THE PERCENTAGES SURCHARGE DUE PURSUANT TO THIS ARTICLE, DIVIDED BY
 ONE HUNDRED; AND
   (B)  ALL  PAYMENTS  RECEIVED  BY  THE  MEMBER OR ITS AGENT FOR COVERED
 SERVICES PREARRANGED THROUGH THE MEMBER'S DIGITAL NETWORK,  AS  PROVIDED
 IN  THIS  SUBDIVISION, REGARDLESS OF WHETHER THE SURCHARGE WAS BILLED OR
 CHARGED.
   3. THE DEPARTMENT OF MOTOR VEHICLES OR THE DEPARTMENT SHALL NOT ISSUE,
 CONTINUE OR RENEW ANY LICENSE OR REGISTRATION CERTIFICATE FOR THE OPERA-
 TION OF ANY TRANSPORTATION NETWORK COMPANY  UNLESS  SUCH  TRANSPORTATION
 NETWORK COMPANY, AS A CONDITION OF MAINTAINING ITS LICENSE AND/OR REGIS-
 TRATION  CERTIFICATE,  ADDS  THE  SURCHARGE  REQUIRED BY THIS SECTION TO
 EVERY INVOICE AND BILLING FOR COVERED SERVICES SENT TO, AND EVERY CREDIT
 PAYMENT FOR COVERED SERVICES RECEIVED FROM, ITS  TRANSPORTATION  NETWORK
 COMPANY  PASSENGERS AND PAYS TO THE FUND NO LATER THAN THE FIFTEENTH DAY
 OF EACH MONTH THE TOTAL SURCHARGES DUE PURSUANT TO THIS ARTICLE.
   4. EACH TRANSPORTATION NETWORK COMPANY SHALL SUBMIT TO THE  FUND  WITH
 ITS  MONTHLY  PAYMENT  A DETAILED ACCOUNTING OF THE CHARGE AND SURCHARGE
 AMOUNTS CHARGED TO AND  RECEIVED  FROM  TRANSPORTATION  NETWORK  COMPANY
 PASSENGERS  FOR  COVERED  SERVICES DURING THE PREVIOUS MONTH.  THE FIRST
 SUCH PAYMENT AND ACCOUNTING SHALL BE DUE ON THE  FIFTEENTH  DAY  OF  THE
 MONTH  FOLLOWING THE IMPOSITION OF THE SURCHARGE PURSUANT TO SUBDIVISION
 TWO OF THIS SECTION.
   5. SHOULD THE FUND DETERMINE THAT THE SURCHARGE AMOUNTS THAT HAVE BEEN
 PAID TO IT ARE INADEQUATE TO MEET ITS OBLIGATIONS UNDER THIS ARTICLE, IT
 SHALL DETERMINE THE SURCHARGE RATE REQUIRED TO ELIMINATE SUCH DEFICIENCY
 AND SHALL FILE SUCH  REVISED  SURCHARGE  RATE  WITH  THE  DEPARTMENT  IN
 ACCORDANCE WITH SUBDIVISION TWO OF THIS SECTION.  COMMENCING THIRTY DAYS
 AFTER  SUCH  FILING,  THE  MEMBERS  OF THE FUND SHALL CHARGE THE REVISED
 SURCHARGE RATE AND SHALL PAY TO THE FUND THE TOTAL AMOUNT OF  SURCHARGES
 IN ACCORDANCE WITH THIS ARTICLE.
   6. FOR THE PURPOSES OF CONDUCTING PAYROLL AUDITS, AN INSURER PROVIDING
 COVERAGE  TO  THE FUND PURSUANT TO THIS ARTICLE MAY TREAT THE MEMBERS OF
 THE FUND AS POLICYHOLDERS. MEMBERS OF THE FUND SHALL BE REQUIRED  TO  DO
 ALL  THINGS  REQUIRED OF EMPLOYERS PURSUANT TO SECTION ONE HUNDRED THIR-
 TY-ONE OF THE WORKERS'  COMPENSATION  LAW,  AND  SHALL  BE  REQUIRED  TO
 PROVIDE  THE  BOARD  ACCESS  TO  ANY  AND ALL RECORDS AND INFORMATION AS
 OTHERWISE REQUIRED BY THE WORKERS' COMPENSATION LAW AND THE  REGULATIONS
 PROMULGATED  THEREUNDER, AND SHALL BE LIABLE AS PROVIDED IN THE WORKERS'
 COMPENSATION LAW FOR ANY FAILURE SO TO DO.
   § 160-IIII. CERTIFIED FINANCIAL STATEMENTS. NO LATER THAN MAY FIRST OF
 EACH YEAR, THE FUND SHALL SUBMIT TO THE GOVERNOR AND LEGISLATURE  CERTI-
 FIED FINANCIAL STATEMENTS PREPARED IN ACCORDANCE WITH GENERALLY ACCEPTED
 ACCOUNTING  PRINCIPLES  BY A CERTIFIED PUBLIC ACCOUNTANT. THE MEMBERS OF
 THE FUND SHALL BE REQUIRED ON AND AFTER JANUARY FIRST OF  EACH  YEAR  TO
 AFFORD  THE CERTIFIED PUBLIC ACCOUNTANT CONVENIENT ACCESS AT ALL REASON-
 ABLE HOURS TO ALL BOOKS, RECORDS, AND OTHER DOCUMENTS, INCLUDING BUT NOT
 LIMITED TO INVOICES AND VOUCHERS, NECESSARY OR USEFUL IN THE PREPARATION
 OF SUCH STATEMENTS AND IN THE VERIFICATION  OF  THE  MONTHLY  STATEMENTS
 SUBMITTED TO THE FUND.
   §  160-JJJJ.  EXEMPTION  FROM  TAXES.  THE  FUND  SHALL BE EXEMPT FROM
 PAYMENT OF ALL FEES AND TAXES LEVIED BY THIS STATE OR ANY OF ITS  SUBDI-
 VISIONS, EXCEPT TAXES LEVIED ON REAL PROPERTY.

 S. 2008--B                         34
 
   §  160-KKKK.  LIABILITY INSURANCE. THE FUND SHALL PURCHASE SUCH INSUR-
 ANCE AS IS NECESSARY TO PROTECT THE  FUND  AND  ANY  DIRECTOR,  OFFICER,
 AGENT,  OR  OTHER REPRESENTATIVE FROM LIABILITY FOR THEIR ADMINISTRATION
 OF THE FUND, AND SHALL, TO THE EXTENT PERMITTED BY LAW,  INDEMNIFY  SUCH
 DIRECTORS,  OFFICERS,  AGENTS,  OR  OTHER  REPRESENTATIVES AND HOLD THEM
 HARMLESS FROM LIABILITY FOR THEIR ADMINISTRATION OF THE FUND.
   § 160-LLLL. REGULATIONS. THE DEPARTMENT SHALL ADOPT REGULATIONS IMPLE-
 MENTING THE PROVISIONS OF THIS ARTICLE, INCLUDING THE CONDUCT AND NOTICE
 OF HEARINGS HELD PURSUANT TO SECTION  ONE  HUNDRED  SIXTY-MMMM  OF  THIS
 ARTICLE.
   §  160-MMMM.  VIOLATIONS.  1. IF THE SECRETARY BELIEVES A VIOLATION OF
 THIS ARTICLE BY A FUND MEMBER MAY HAVE OCCURRED, UPON NOTICE TO THE FUND
 MEMBER, A HEARING SHALL BE HELD BY THE SECRETARY  TO  DETERMINE  WHETHER
 SUCH VIOLATION OCCURRED.
   2. EXCEPT AS OTHERWISE PROVIDED IN THIS SECTION, A FUND MEMBER THAT IS
 FOUND, AFTER A HEARING HELD PURSUANT TO SUBDIVISION ONE OF THIS SECTION,
 TO  HAVE  VIOLATED A PROVISION OF THIS ARTICLE, OR A RULE PROMULGATED BY
 THE DEPARTMENT PURSUANT TO THIS ARTICLE, SHALL BE LIABLE FOR A  FINE  IN
 AN AMOUNT NOT TO EXCEED TEN THOUSAND DOLLARS PER VIOLATION.
   3.  WITHIN  TWENTY DAYS AFTER ISSUANCE OF A DETERMINATION ADVERSE TO A
 TRANSPORTATION NETWORK COMPANY FOLLOWING  A  HEARING  HELD  PURSUANT  TO
 SUBDIVISION ONE OF THIS SECTION, AN APPEAL MAY BE TAKEN THEREFROM TO THE
 APPELLATE  DIVISION  OF  THE  SUPREME  COURT,  THIRD  DEPARTMENT, BY THE
 AGGRIEVED TRANSPORTATION NETWORK COMPANY.
   § 12.  Subdivision 1 of section 171-a of the tax law,  as  amended  by
 chapter 90 of the laws of 2014, is amended to read as follows:
   1.  All  taxes,  interest, penalties and fees collected or received by
 the commissioner or the commissioner's duly authorized agent under arti-
 cles nine (except section one hundred eighty-two-a thereof and except as
 otherwise  provided  in  section  two  hundred  five  thereof),  nine-A,
 twelve-A  (except  as  otherwise provided in section two hundred eighty-
 four-d thereof), thirteen, thirteen-A (except as otherwise  provided  in
 section  three  hundred  twelve  thereof),  eighteen,  nineteen,  twenty
 (except as otherwise provided in section four hundred eighty-two  there-
 of), twenty-B, twenty-one, twenty-two, twenty-six, [twenty-six-B,] twen-
 ty-eight  (except as otherwise provided in section eleven hundred two or
 eleven hundred three thereof), twenty-eight-A, TWENTY-NINE-B (EXCEPT  AS
 OTHERWISE  PROVIDED  IN  SECTION  TWELVE  HUNDRED NINETY-EIGHT THEREOF),
 thirty-one (except as otherwise provided  in  section  fourteen  hundred
 twenty-one  thereof),  thirty-three  and  thirty-three-A of this chapter
 shall be deposited daily in one account  with  such  responsible  banks,
 banking  houses  or  trust  companies  as may be designated by the comp-
 troller, to the credit of the comptroller. Such an account may be estab-
 lished in one or more of such depositories. Such deposits shall be  kept
 separate  and  apart from all other money in the possession of the comp-
 troller. The comptroller shall require adequate security from  all  such
 depositories.  Of  the  total  revenue  collected or received under such
 articles of this chapter, the comptroller  shall  retain  in  the  comp-
 troller's  hands  such  amount  as  the commissioner may determine to be
 necessary for refunds or reimbursements  under  such  articles  of  this
 chapter  out  of  which  amount the comptroller shall pay any refunds or
 reimbursements to which taxpayers shall be entitled under the provisions
 of such articles of this chapter. The commissioner and  the  comptroller
 shall  maintain  a  system  of  accounts  showing  the amount of revenue
 collected or received from each of the taxes imposed by  such  articles.
 The  comptroller,  after  reserving  the  amount  to pay such refunds or

 S. 2008--B                         35
 
 reimbursements, shall, on or before the tenth day  of  each  month,  pay
 into  the  state  treasury to the credit of the general fund all revenue
 deposited under this section during the  preceding  calendar  month  and
 remaining  to the comptroller's credit on the last day of such preceding
 month, (i) except that the comptroller shall pay to the state department
 of social services that amount of overpayments of tax imposed by article
 twenty-two of this chapter and the interest  on  such  amount  which  is
 certified  to  the  comptroller  by the commissioner as the amount to be
 credited against past-due support pursuant to subdivision six of section
 one hundred seventy-one-c of this article,  (ii)  and  except  that  the
 comptroller  shall  pay  to the New York state higher education services
 corporation and the state university of New York or the city  university
 of  New  York respectively that amount of overpayments of tax imposed by
 article twenty-two of this chapter and the interest on such amount which
 is certified to the comptroller by the commissioner as the amount to  be
 credited  against  the  amount  of  defaults  in repayment of guaranteed
 student loans and state university loans or city university loans pursu-
 ant to subdivision five of section one hundred seventy-one-d and  subdi-
 vision  six  of section one hundred seventy-one-e of this article, (iii)
 and except further that, notwithstanding any law, the comptroller  shall
 credit   to   the   revenue   arrearage  account,  pursuant  to  section
 ninety-one-a of the state finance law, that amount of overpayment of tax
 imposed by article nine, nine-A, twenty-two, thirty, thirty-A,  thirty-B
 or  thirty-three  of  this  chapter,  and any interest thereon, which is
 certified to the comptroller by the commissioner as  the  amount  to  be
 credited  against  a  past-due  legally enforceable debt owed to a state
 agency pursuant to paragraph (a)  of  subdivision  six  of  section  one
 hundred seventy-one-f of this article, provided, however, he shall cred-
 it  to the special offset fiduciary account, pursuant to section ninety-
 one-c of the state finance law, any such amount creditable as a  liabil-
 ity  as  set  forth  in  paragraph (b) of subdivision six of section one
 hundred seventy-one-f of this article, (iv) and except further that  the
 comptroller shall pay to the city of New York that amount of overpayment
 of  tax  imposed  by article nine, nine-A, twenty-two, thirty, thirty-A,
 thirty-B or thirty-three of this chapter and any interest  thereon  that
 is  certified to the comptroller by the commissioner as the amount to be
 credited against city of New York tax warrant judgment debt pursuant  to
 section  one  hundred  seventy-one-l  of  this  article,  (v) and except
 further that the comptroller shall pay to a  non-obligated  spouse  that
 amount of overpayment of tax imposed by article twenty-two of this chap-
 ter  and the interest on such amount which has been credited pursuant to
 section  one  hundred  seventy-one-c,  one  hundred  seventy-one-d,  one
 hundred  seventy-one-e,  one hundred seventy-one-f or one hundred seven-
 ty-one-l of this article and which is certified to  the  comptroller  by
 the commissioner as the amount due such non-obligated spouse pursuant to
 paragraph six of subsection (b) of section six hundred fifty-one of this
 chapter;  and  (vi) the comptroller shall deduct a like amount which the
 comptroller shall pay into the treasury to the  credit  of  the  general
 fund  from  amounts  subsequently  payable  to  the department of social
 services, the state university of New York, the city university  of  New
 York,  or  the  higher  education  services  corporation, or the revenue
 arrearage account  or  special  offset  fiduciary  account  pursuant  to
 section  ninety-one-a  or  ninety-one-c of the state finance law, as the
 case may be, whichever had been credited the amount originally  withheld
 from  such  overpayment,  and  (vii)  with respect to amounts originally
 withheld from such overpayment pursuant to section one hundred  seventy-

 S. 2008--B                         36
 
 one-l  of this article and paid to the city of New York, the comptroller
 shall collect a like amount from the city of New York.
   §  13.  Subdivision  1  of section 171-a of the tax law, as amended by
 section 54 of part A of chapter 59 of the laws of 2014,  is  amended  to
 read as follows:
   1.  All  taxes,  interest, penalties and fees collected or received by
 the commissioner or the commissioner's duly authorized agent under arti-
 cles nine (except section one hundred eighty-two-a thereof and except as
 otherwise  provided  in  section  two  hundred  five  thereof),  nine-A,
 twelve-A  (except  as  otherwise provided in section two hundred eighty-
 four-d thereof), thirteen, thirteen-A (except as otherwise  provided  in
 section  three  hundred  twelve  thereof),  eighteen,  nineteen,  twenty
 (except as otherwise provided in section four hundred eighty-two  there-
 of),  twenty-one,  twenty-two,  twenty-six, [twenty-six-B,] twenty-eight
 (except as otherwise provided in section eleven hundred  two  or  eleven
 hundred  three thereof), twenty-eight-A, TWENTY-NINE-B (EXCEPT AS OTHER-
 WISE PROVIDED IN SECTION TWELVE HUNDRED NINETY-EIGHT  THEREOF),  thirty-
 one (except as otherwise provided in section fourteen hundred twenty-one
 thereof),  thirty-three  and  thirty-three-A  of  this  chapter shall be
 deposited daily in one account  with  such  responsible  banks,  banking
 houses  or  trust  companies as may be designated by the comptroller, to
 the credit of the comptroller. Such an account may be established in one
 or more of such depositories. Such deposits shall be kept  separate  and
 apart  from  all  other  money in the possession of the comptroller. The
 comptroller shall require adequate security from all such  depositories.
 Of  the  total revenue collected or received under such articles of this
 chapter, the comptroller shall retain in the  comptroller's  hands  such
 amount  as the commissioner may determine to be necessary for refunds or
 reimbursements under such articles of this chapter out of  which  amount
 the comptroller shall pay any refunds or reimbursements to which taxpay-
 ers  shall  be  entitled  under  the provisions of such articles of this
 chapter. The commissioner and the comptroller shall maintain a system of
 accounts showing the amount of revenue collected or received  from  each
 of  the taxes imposed by such articles. The comptroller, after reserving
 the amount to pay such refunds or reimbursements, shall,  on  or  before
 the  tenth  day of each month, pay into the state treasury to the credit
 of the general fund all revenue deposited under this section during  the
 preceding  calendar  month  and remaining to the comptroller's credit on
 the last day of such preceding month, (i) except  that  the  comptroller
 shall  pay  to  the  state  department of social services that amount of
 overpayments of tax imposed by article twenty-two of  this  chapter  and
 the interest on such amount which is certified to the comptroller by the
 commissioner  as  the  amount  to  be  credited against past-due support
 pursuant to subdivision six of section one hundred seventy-one-c of this
 article, (ii) and except that the comptroller shall pay to the New  York
 state  higher education services corporation and the state university of
 New York or the city university of New York respectively that amount  of
 overpayments  of  tax  imposed by article twenty-two of this chapter and
 the interest on such amount which is certified to the comptroller by the
 commissioner as the amount to be credited against the amount of defaults
 in repayment of guaranteed student loans and state university  loans  or
 city  university  loans  pursuant  to  subdivision  five  of section one
 hundred seventy-one-d and subdivision six of section one hundred  seven-
 ty-one-e of this article, (iii) and except further that, notwithstanding
 any  law, the comptroller shall credit to the revenue arrearage account,
 pursuant to section ninety-one-a of the state finance law,  that  amount

 S. 2008--B                         37
 
 of overpayment of tax imposed by article nine, nine-A, twenty-two, thir-
 ty, thirty-A, thirty-B or thirty-three of this chapter, and any interest
 thereon,  which  is  certified to the comptroller by the commissioner as
 the  amount  to  be credited against a past-due legally enforceable debt
 owed to a state agency pursuant to paragraph (a) of subdivision  six  of
 section one hundred seventy-one-f of this article, provided, however, he
 shall  credit  to  the  special  offset  fiduciary  account, pursuant to
 section ninety-one-c of the state finance law, any such amount  credita-
 ble  as  a liability as set forth in paragraph (b) of subdivision six of
 section one hundred seventy-one-f  of  this  article,  (iv)  and  except
 further  that  the  comptroller  shall  pay to the city of New York that
 amount of overpayment of tax imposed by article  nine,  nine-A,  twenty-
 two,  thirty, thirty-A, thirty-B or thirty-three of this chapter and any
 interest thereon that is certified to the comptroller by the commission-
 er as the amount to be credited against city of  New  York  tax  warrant
 judgment  debt  pursuant  to  section  one hundred seventy-one-l of this
 article, (v) and except further that the  comptroller  shall  pay  to  a
 non-obligated  spouse that amount of overpayment of tax imposed by arti-
 cle twenty-two of this chapter and the interest on such amount which has
 been credited pursuant to section one hundred seventy-one-c, one hundred
 seventy-one-d, one hundred seventy-one-e, one hundred  seventy-one-f  or
 one  hundred seventy-one-l of this article and which is certified to the
 comptroller by the commissioner as the  amount  due  such  non-obligated
 spouse  pursuant  to  paragraph  six  of  subsection  (b) of section six
 hundred fifty-one of this chapter; and (vi) the comptroller shall deduct
 a like amount which the comptroller shall pay into the treasury  to  the
 credit  of  the  general  fund  from amounts subsequently payable to the
 department of social services, the state university  of  New  York,  the
 city  university  of  New  York, or the higher education services corpo-
 ration, or the revenue arrearage account  or  special  offset  fiduciary
 account  pursuant  to  section ninety-one-a or ninety-one-c of the state
 finance law, as the case may be, whichever had been credited the  amount
 originally  withheld  from  such  overpayment, and (vii) with respect to
 amounts originally withheld from such overpayment  pursuant  to  section
 one  hundred  seventy-one-l  of this article and paid to the city of New
 York, the comptroller shall collect a like amount from the city  of  New
 York.
   §  14. Paragraph 34 of subdivision (b) of section 1101 of the tax law,
 as amended by section 1 of part WW of chapter 57 of the laws of 2010, is
 amended to read as follows:
   (34) Transportation service. The service of transporting, carrying  or
 conveying  a  person  or  persons by livery service; whether to a single
 destination or to multiple destinations; and  whether  the  compensation
 paid  by  or  on behalf of the passenger is based on mileage, trip, time
 consumed or any other basis. A service that  begins  and  ends  in  this
 state  is deemed intra-state even if it passes outside this state during
 a portion of the trip. However, transportation service does not  include
 transportation  of  persons  in connection with funerals. Transportation
 service includes transporting, carrying, or conveying  property  of  the
 person  being  transported,  whether  owned  by  or  in the care of such
 person.  NOTWITHSTANDING THE FOREGOING, TRANSPORTATION SERVICE SHALL NOT
 INCLUDE A TNC PREARRANGED TRIP, AS  THAT  TERM  IS  DEFINED  IN  ARTICLE
 FORTY-FOUR-B  OF  THE  VEHICLE  AND  TRAFFIC LAW, THAT IS SUBJECT TO TAX
 UNDER ARTICLE TWENTY-NINE-B OF THIS CHAPTER.  In  addition  to  what  is
 included  in  the  definition  of  "receipt"  in paragraph three of this
 subdivision, receipts from the sale of transportation service subject to

 S. 2008--B                         38

 tax include any handling, carrying, baggage, booking  service,  adminis-
 trative,  mark-up,  additional,  or other charge, of any nature, made in
 conjunction  with  the  transportation  service.  Livery  service  means
 service  provided by limousine, black car or other motor vehicle, with a
 driver, but excluding (i) a taxicab, (ii) a bus, and (iii), in a city of
 one million or more in this state, an  affiliated  livery  vehicle,  and
 excluding any scheduled public service. Limousine means a vehicle with a
 seating  capacity of up to fourteen persons, excluding the driver. Black
 car means a for-hire vehicle dispatched from a central facility. "Affil-
 iated livery vehicle" means a for-hire  motor  vehicle  with  a  seating
 capacity  of up to six persons, including the driver, other than a black
 car or luxury limousine, that is authorized and licensed by the taxi and
 limousine commission of a city of one million or more to  be  dispatched
 by  a base station located in such a city and regulated by such taxi and
 limousine commission; and the charges for service provided by an  affil-
 iated  livery  vehicle  are on the basis of flat rate, time, mileage, or
 zones and not on a garage to garage basis.
   § 15. The tax law is amended by adding a new article 29-B to  read  as
 follows:
                               ARTICLE 29-B
          STATE ASSESSMENT FEE ON TRANSPORTATION NETWORK COMPANY
                             PREARRANGED TRIPS
 SECTION 1291. DEFINITIONS.
         1292. IMPOSITION.
         1293. PRESUMPTION.
         1294. RETURNS AND PAYMENT OF STATE ASSESSMENT FEE.
         1295. RECORDS TO BE KEPT.
         1296. SECRECY OF RETURNS AND REPORTS.
         1297. PRACTICE AND PROCEDURE.
         1298. DEPOSIT AND DISPOSITION OF REVENUE.
   §  1291.  DEFINITIONS.  (A) "PERSON" MEANS AN INDIVIDUAL, PARTNERSHIP,
 LIMITED LIABILITY COMPANY, SOCIETY, ASSOCIATION,  JOINT  STOCK  COMPANY,
 CORPORATION,  ESTATE,  RECEIVER, TRUSTEE, ASSIGNEE, REFEREE OR ANY OTHER
 PERSON  ACTING  IN  A  FIDUCIARY  OR  REPRESENTATIVE  CAPACITY,  WHETHER
 APPOINTED  BY  A  COURT OR OTHERWISE, ANY COMBINATION OF INDIVIDUALS AND
 ANY OTHER FORM OF UNINCORPORATED ENTERPRISE OWNED OR CONDUCTED BY TWO OR
 MORE PERSONS.
   (B) "CITY" MEANS A CITY OF A MILLION OR MORE LOCATED IN THE  METROPOL-
 ITAN  COMMUTER  TRANSPORTATION  DISTRICT  ESTABLISHED  BY SECTION TWELVE
 HUNDRED SIXTY-TWO OF THE PUBLIC AUTHORITIES LAW.
   (C) "TRANSPORTATION NETWORK COMPANY" OR  "TNC"  SHALL  HAVE  THE  SAME
 MEANING  AS  THE  TERM IS DEFINED IN ARTICLE FORTY-FOUR-B OF THE VEHICLE
 AND TRAFFIC LAW.
   (D) "TNC PREARRANGED TRIP" SHALL HAVE THE SAME MEANING AS THE TERM  IS
 DEFINED IN ARTICLE FORTY-FOUR-B OF THE VEHICLE AND TRAFFIC LAW.
   (E) "TNC DRIVER" SHALL HAVE THE SAME MEANING AS THE TERM IS DEFINED IN
 ARTICLE FORTY-FOUR-B OF THE VEHICLE AND TRAFFIC LAW.
   (F)  "TNC  VEHICLE" SHALL HAVE THE SAME MEANING AS THE TERM IS DEFINED
 IN ARTICLE FORTY-FOUR-B OF THE VEHICLE AND TRAFFIC LAW.
   (G) "GROSS TRIP FARE" MEANS THE SUM OF THE BASE FARE CHARGE,  DISTANCE
 CHARGE  AND  TIME CHARGE FOR A COMPLETE TNC PREARRANGED TRIP AT THE RATE
 PUBLISHED BY THE TNC BY OR THROUGH WHICH SUCH TRIP IS ARRANGED.
   § 1292. IMPOSITION. THERE IS HEREBY  IMPOSED  ON  EVERY  TNC  A  STATE
 ASSESSMENT FEE OF TWO PERCENT OF THE GROSS TRIP FARE OF EVERY TNC PREAR-
 RANGED  TRIP  PROVIDED BY SUCH TNC THAT ORIGINATES ANYWHERE IN THE STATE
 OUTSIDE THE CITY AND TERMINATES ANYWHERE IN THIS STATE.

 S. 2008--B                         39
 
   § 1293. PRESUMPTION. FOR THE PURPOSE OF THE PROPER  ADMINISTRATION  OF
 THIS  ARTICLE AND TO PREVENT EVASION OF THE STATE ASSESSMENT FEE IMPOSED
 BY THIS ARTICLE, IT SHALL BE PRESUMED THAT EVERY  TNC  PREARRANGED  TRIP
 THAT ORIGINATES ANYWHERE IN THE STATE OUTSIDE THE CITY IS SUBJECT TO THE
 STATE  ASSESSMENT FEE. THIS PRESUMPTION SHALL PREVAIL UNTIL THE CONTRARY
 IS PROVEN BY THE PERSON LIABLE FOR THE FEE.
   § 1294. RETURNS AND PAYMENT OF STATE ASSESSMENT FEE. (A) EVERY  PERSON
 LIABLE FOR THE STATE ASSESSMENT FEE IMPOSED BY THIS ARTICLE SHALL FILE A
 RETURN  ON A CALENDAR-QUARTERLY BASIS WITH THE COMMISSIONER. EACH RETURN
 SHALL SHOW THE NUMBER OF TNC PREARRANGED TRIPS IN THE QUARTER FOR  WHICH
 THE RETURN IS FILED, TOGETHER WITH SUCH OTHER INFORMATION AS THE COMMIS-
 SIONER MAY REQUIRE.  THE RETURNS REQUIRED BY THIS SECTION SHALL BE FILED
 WITHIN  THIRTY DAYS AFTER THE END OF THE QUARTERLY PERIOD COVERED THERE-
 BY. IF THE COMMISSIONER DEEMS  IT  NECESSARY  IN  ORDER  TO  ENSURE  THE
 PAYMENT OF THE STATE ASSESSMENT FEE IMPOSED BY THIS ARTICLE, THE COMMIS-
 SIONER  MAY  REQUIRE  RETURNS  TO  BE  MADE  FOR  SHORTER  PERIODS  THAN
 PRESCRIBED BY THE FOREGOING PROVISIONS OF THIS SECTION,  AND  UPON  SUCH
 DATES  AS  THE  COMMISSIONER  MAY  SPECIFY. THE FORM OF RETURNS SHALL BE
 PRESCRIBED BY THE COMMISSIONER AND SHALL CONTAIN SUCH INFORMATION AS THE
 COMMISSIONER MAY DEEM NECESSARY FOR THE PROPER  ADMINISTRATION  OF  THIS
 ARTICLE. THE COMMISSIONER MAY REQUIRE AMENDED RETURNS TO BE FILED WITHIN
 THIRTY DAYS AFTER NOTICE AND TO CONTAIN THE INFORMATION SPECIFIED IN THE
 NOTICE. THE COMMISSIONER MAY REQUIRE THAT THE RETURNS BE FILED ELECTRON-
 ICALLY.
   (B)  EVERY  PERSON REQUIRED TO FILE A RETURN UNDER THIS ARTICLE SHALL,
 AT THE TIME OF FILING SUCH RETURN, PAY TO THE COMMISSIONER THE TOTAL  OF
 ALL STATE ASSESSMENT FEES ON THE CORRECT NUMBER OF TRIPS SUBJECT TO SUCH
 FEE  UNDER  THIS  ARTICLE. THE AMOUNT SO PAYABLE TO THE COMMISSIONER FOR
 THE PERIOD FOR WHICH A RETURN IS REQUIRED TO BE FILED SHALL BE  DUE  AND
 PAYABLE  TO THE COMMISSIONER ON THE DATE SPECIFIED FOR THE FILING OF THE
 RETURN FOR SUCH PERIOD, WITHOUT REGARD TO WHETHER A RETURN IS  FILED  OR
 WHETHER  THE  RETURN THAT IS FILED CORRECTLY SHOWS THE CORRECT NUMBER OF
 TRIPS OR THE AMOUNT OF FEES DUE THEREON. THE  COMMISSIONER  MAY  REQUIRE
 THAT THE FEE BE PAID ELECTRONICALLY.
   §  1295. RECORDS TO BE KEPT. EVERY PERSON LIABLE FOR THE STATE ASSESS-
 MENT FEE IMPOSED BY THIS ARTICLE SHALL KEEP:
   (A) RECORDS OF EVERY TNC PREARRANGED TRIP SUBJECT TO THE STATE ASSESS-
 MENT FEE UNDER THIS ARTICLE, AND OF ALL AMOUNTS  PAID,  CHARGED  OR  DUE
 THEREON, IN SUCH FORM AS THE COMMISSIONER MAY REQUIRE;
   (B)  TRUE  AND COMPLETE COPIES OF ANY RECORDS REQUIRED TO BE KEPT BY A
 STATE AGENCY THAT IS AUTHORIZED TO PERMIT OR REGULATE A TNC; AND
   (C) SUCH OTHER RECORDS AND INFORMATION AS THE COMMISSIONER MAY REQUIRE
 TO PERFORM HIS OR HER DUTIES UNDER THIS ARTICLE.
   § 1296. SECRECY OF RETURNS AND REPORTS. (A) EXCEPT IN ACCORDANCE  WITH
 PROPER  JUDICIAL  ORDER  OR  AS  OTHERWISE  PROVIDED BY LAW, IT SHALL BE
 UNLAWFUL FOR THE COMMISSIONER, ANY OFFICER OR EMPLOYEE  OF  THE  DEPART-
 MENT, ANY PERSON ENGAGED OR RETAINED BY THE DEPARTMENT ON AN INDEPENDENT
 CONTRACT BASIS, OR ANY PERSON WHO IN ANY MANNER MAY ACQUIRE KNOWLEDGE OF
 THE  CONTENTS OF A RETURN OR REPORT FILED WITH THE COMMISSIONER PURSUANT
 TO THIS ARTICLE, TO DIVULGE OR MAKE KNOWN IN ANY MANNER ANY  PARTICULARS
 SET  FORTH  OR  DISCLOSED  IN  ANY SUCH RETURN OR REPORT.   THE OFFICERS
 CHARGED WITH THE CUSTODY OF  SUCH  RETURNS  AND  REPORTS  SHALL  NOT  BE
 REQUIRED  TO  PRODUCE  ANY  OF THEM OR EVIDENCE OF ANYTHING CONTAINED IN
 THEM IN ANY ACTION OR PROCEEDING IN ANY COURT, EXCEPT ON BEHALF  OF  THE
 COMMISSIONER  IN  AN  ACTION  OR PROCEEDING UNDER THE PROVISIONS OF THIS
 CHAPTER OR IN ANY OTHER ACTION OR PROCEEDING INVOLVING THE COLLECTION OF

 S. 2008--B                         40
 
 A STATE ASSESSMENT FEE DUE UNDER THIS ARTICLE TO WHICH THE STATE OR  THE
 COMMISSIONER  IS A PARTY OR A CLAIMANT, OR ON BEHALF OF ANY PARTY TO ANY
 ACTION, PROCEEDING OR HEARING UNDER THE PROVISIONS OF THIS ARTICLE  WHEN
 THE  RETURNS,  REPORTS  OR  FACTS SHOWN THEREBY ARE DIRECTLY INVOLVED IN
 SUCH ACTION, PROCEEDING OR HEARING, IN ANY OF WHICH EVENTS THE COURT, OR
 IN THE CASE OF A HEARING, THE DIVISION OF TAX APPEALS  MAY  REQUIRE  THE
 PRODUCTION  OF,  AND  MAY  ADMIT INTO EVIDENCE, SO MUCH OF SAID RETURNS,
 REPORTS OR OF THE FACTS SHOWN THEREBY, AS ARE PERTINENT TO  THE  ACTION,
 PROCEEDING  OR  HEARING AND NO MORE. THE COMMISSIONER OR THE DIVISION OF
 TAX APPEALS MAY, NEVERTHELESS, PUBLISH A COPY OR A SUMMARY OF ANY  DECI-
 SION RENDERED AFTER A HEARING REQUIRED BY THIS ARTICLE.  NOTHING IN THIS
 SECTION  SHALL BE CONSTRUED TO PROHIBIT THE DELIVERY TO A PERSON WHO HAS
 FILED A RETURN OR REPORT OR TO SUCH PERSON'S DULY  AUTHORIZED  REPRESEN-
 TATIVE  OF  A CERTIFIED COPY OF ANY RETURN OR REPORT FILED IN CONNECTION
 WITH SUCH PERSON'S STATE ASSESSMENT FEE.  NOR  SHALL  ANYTHING  IN  THIS
 SECTION  BE CONSTRUED TO PROHIBIT THE PUBLICATION OF STATISTICS SO CLAS-
 SIFIED AS TO PREVENT THE IDENTIFICATION OF PARTICULAR RETURNS OR REPORTS
 AND THE ITEMS THEREOF, OR THE INSPECTION  BY  THE  ATTORNEY  GENERAL  OR
 OTHER  LEGAL REPRESENTATIVES OF THE STATE OF THE RETURN OR REPORT OF ANY
 PERSON REQUIRED TO PAY THE STATE ASSESSMENT FEE WHO SHALL  BRING  ACTION
 TO  REVIEW  THE  STATE  ASSESSMENT FEE BASED THEREON, OR AGAINST WHOM AN
 ACTION OR PROCEEDING UNDER THIS CHAPTER  HAS  BEEN  RECOMMENDED  BY  THE
 COMMISSIONER  OR  THE  ATTORNEY  GENERAL  OR HAS BEEN INSTITUTED, OR THE
 INSPECTION OF THE RETURNS OR REPORTS REQUIRED UNDER THIS ARTICLE BY  THE
 COMPTROLLER  OR DULY DESIGNATED OFFICER OR EMPLOYEE OF THE STATE DEPART-
 MENT OF AUDIT AND CONTROL, FOR PURPOSES OF THE AUDIT OF A REFUND OF  ANY
 STATE  ASSESSMENT FEE PAID BY A PERSON REQUIRED TO PAY THE STATE ASSESS-
 MENT FEE UNDER THIS ARTICLE. PROVIDED, FURTHER, NOTHING IN THIS  SECTION
 SHALL  BE  CONSTRUED  TO  PROHIBIT THE DISCLOSURE, IN SUCH MANNER AS THE
 COMMISSIONER DEEMS APPROPRIATE, OF THE NAMES AND OTHER APPROPRIATE IDEN-
 TIFYING INFORMATION OF THOSE PERSONS REQUIRED TO  PAY  STATE  ASSESSMENT
 FEE UNDER THIS ARTICLE.
   (B) NOTWITHSTANDING THE PROVISIONS OF SUBDIVISION (A) OF THIS SECTION,
 THE COMMISSIONER, IN HIS OR HER DISCRETION, MAY REQUIRE OR PERMIT ANY OR
 ALL PERSONS LIABLE FOR ANY STATE ASSESSMENT FEE IMPOSED BY THIS ARTICLE,
 TO  MAKE  PAYMENT TO BANKS, BANKING HOUSES OR TRUST COMPANIES DESIGNATED
 BY THE COMMISSIONER AND TO FILE RETURNS WITH SUCH BANKS, BANKING  HOUSES
 OR  TRUST COMPANIES AS AGENTS OF THE COMMISSIONER, IN LIEU OF PAYING ANY
 SUCH STATE ASSESSMENT FEE DIRECTLY TO  THE  COMMISSIONER.  HOWEVER,  THE
 COMMISSIONER  SHALL  DESIGNATE  ONLY SUCH BANKS, BANKING HOUSES OR TRUST
 COMPANIES AS ARE ALREADY DESIGNATED BY THE COMPTROLLER  AS  DEPOSITORIES
 PURSUANT TO SECTION TWELVE HUNDRED EIGHTY-EIGHT OF THIS CHAPTER.
   (C) NOTWITHSTANDING THE PROVISIONS OF SUBDIVISION (A) OF THIS SECTION,
 THE  COMMISSIONER MAY PERMIT THE SECRETARY OF THE TREASURY OF THE UNITED
 STATES OR SUCH SECRETARY'S DELEGATE, OR THE AUTHORIZED REPRESENTATIVE OF
 EITHER SUCH OFFICER, TO INSPECT ANY RETURN FILED UNDER THIS ARTICLE,  OR
 MAY  FURNISH TO SUCH OFFICER OR SUCH OFFICER'S AUTHORIZED REPRESENTATIVE
 AN ABSTRACT OF ANY SUCH RETURN OR SUPPLY SUCH  PERSON  WITH  INFORMATION
 CONCERNING  AN  ITEM  CONTAINED  IN ANY SUCH RETURN, OR DISCLOSED BY ANY
 INVESTIGATION OF LIABILITY UNDER THIS ARTICLE, BUT SUCH PERMISSION SHALL
 BE GRANTED OR SUCH INFORMATION FURNISHED ONLY IF THE LAWS OF THE  UNITED
 STATES  GRANT  SUBSTANTIALLY  SIMILAR  PRIVILEGES TO THE COMMISSIONER OR
 OFFICER OF THIS STATE CHARGED  WITH  THE  ADMINISTRATION  OF  THE  STATE
 ASSESSMENT  FEE IMPOSED BY THIS ARTICLE, AND ONLY IF SUCH INFORMATION IS
 TO BE USED FOR PURPOSES OF TAX ADMINISTRATION ONLY; AND PROVIDED FURTHER
 THE COMMISSIONER MAY FURNISH TO THE COMMISSIONER OF INTERNAL REVENUE  OR

 S. 2008--B                         41
 
 SUCH  COMMISSIONER'S  AUTHORIZED REPRESENTATIVE SUCH RETURNS FILED UNDER
 THIS ARTICLE AND OTHER TAX INFORMATION, AS SUCH COMMISSIONER MAY CONSID-
 ER PROPER, FOR USE IN COURT ACTIONS OR PROCEEDINGS  UNDER  THE  INTERNAL
 REVENUE  CODE, WHETHER CIVIL OR CRIMINAL, WHERE A WRITTEN REQUEST THERE-
 FOR HAS BEEN MADE TO THE COMMISSIONER BY THE SECRETARY OF  THE  TREASURY
 OF  THE UNITED STATES OR SUCH SECRETARY'S DELEGATE, PROVIDED THE LAWS OF
 THE UNITED STATES GRANT SUBSTANTIALLY SIMILAR POWERS TO THE SECRETARY OF
 THE TREASURY OF THE UNITED STATES OR HIS  OR  HER  DELEGATE.  WHERE  THE
 COMMISSIONER  HAS  SO AUTHORIZED USE OF RETURNS AND OTHER INFORMATION IN
 SUCH ACTIONS OR PROCEEDINGS, OFFICERS AND EMPLOYEES  OF  THE  DEPARTMENT
 MAY TESTIFY IN SUCH ACTIONS OR PROCEEDINGS IN RESPECT TO SUCH RETURNS OR
 OTHER INFORMATION.
   (D)  RETURNS  AND  REPORTS FILED UNDER THIS ARTICLE SHALL BE PRESERVED
 FOR THREE YEARS AND THEREAFTER UNTIL THE COMMISSIONER ORDERS THEM TO  BE
 DESTROYED.
   (E)  (1)  ANY  OFFICER OR EMPLOYEE OF THE STATE WHO WILLFULLY VIOLATES
 THE PROVISIONS OF SUBDIVISION (A) OF THIS  SECTION  SHALL  BE  DISMISSED
 FROM  OFFICE  AND BE INCAPABLE OF HOLDING ANY PUBLIC OFFICE FOR A PERIOD
 OF FIVE YEARS THEREAFTER.
   (2) CROSS-REFERENCE: FOR CRIMINAL PENALTIES, SEE ARTICLE  THIRTY-SEVEN
 OF THIS CHAPTER.
   § 1297. PRACTICE AND PROCEDURE. THE PROVISIONS OF ARTICLE TWENTY-SEVEN
 OF  THIS  CHAPTER  SHALL APPLY WITH RESPECT TO THE ADMINISTRATION OF AND
 PROCEDURE WITH RESPECT TO THE STATE ASSESSMENT FEE IMPOSED BY THIS ARTI-
 CLE IN THE SAME MANNER AND WITH THE SAME FORCE  AND  EFFECT  AS  IF  THE
 LANGUAGE OF SUCH ARTICLE TWENTY-SEVEN HAD BEEN INCORPORATED IN FULL INTO
 THIS  ARTICLE  AND  HAD  EXPRESSLY  REFERRED TO THE STATE ASSESSMENT FEE
 UNDER THIS ARTICLE, EXCEPT TO THE EXTENT  THAT  ANY  SUCH  PROVISION  IS
 EITHER  INCONSISTENT WITH A PROVISION OF THIS ARTICLE OR IS NOT RELEVANT
 TO THIS ARTICLE.
   § 1298. DEPOSIT AND DISPOSITION OF REVENUE. ALL TAXES, FEES,  INTEREST
 AND PENALTIES COLLECTED OR RECEIVED BY THE COMMISSIONER UNDER THIS ARTI-
 CLE  SHALL  BE  DEPOSITED  AND DISPOSED OF PURSUANT TO THE PROVISIONS OF
 SECTION ONE HUNDRED SEVENTY-ONE-A OF  THIS  CHAPTER.  FROM  SUCH  TAXES,
 INTEREST  AND  PENALTIES COLLECTED OR RECEIVED BY THE COMMISSIONER UNDER
 THIS ARTICLE, FIFTY PERCENT SHALL BE DEPOSITED  TO  THE  CREDIT  OF  THE
 DEDICATED  HIGHWAY  AND  BRIDGE TRUST FUND AS DEFINED IN SECTION EIGHTY-
 NINE-B OF THE STATE FINANCE LAW AND FIFTY PERCENT SHALL BE DEPOSITED  TO
 THE  CREDIT  OF THE LOCAL TRANSIT ASSISTANCE FUND ESTABLISHED IN SECTION
 EIGHTY-NINE-I OF THE STATE FINANCE LAW.
   § 16. The tax law is amended by adding a new section 1822 to  read  as
 follows:
   §  1822.  VIOLATION  OF  THE  STATE  ASSESSMENT  FEE ON TRANSPORTATION
 NETWORK COMPANY PREARRANGED TRIPS. ANY WILLFUL ACT OR  OMISSION  BY  ANY
 PERSON  THAT CONSTITUTES A VIOLATION OF ANY PROVISION OF ARTICLE TWENTY-
 NINE-B OF THIS CHAPTER SHALL CONSTITUTE A MISDEMEANOR.
   § 17. Section 1825 of the tax law, as amended by section 89 of part  A
 of chapter 59 of the laws of 2014, is amended to read as follows:
   §  1825.  Violation  of secrecy provisions of the tax law.--Any person
 who violates the provisions of subdivision (b)  of  section  twenty-one,
 subdivision one of section two hundred two, subdivision eight of section
 two  hundred  eleven, subdivision (a) of section three hundred fourteen,
 subdivision one or two of section  four  hundred  thirty-seven,  section
 four  hundred  eighty-seven,  subdivision  one  or  two  of section five
 hundred fourteen, subsection (e) of section  six  hundred  ninety-seven,
 subsection  (a)  of section nine hundred ninety-four, subdivision (a) of

 S. 2008--B                         42
 
 section eleven hundred forty-six, section twelve  hundred  eighty-seven,
 SECTION  TWELVE  HUNDRED NINETY-SIX, subdivision (a) of section fourteen
 hundred eighteen, subdivision (a) of section fifteen  hundred  eighteen,
 subdivision  (a)  of section fifteen hundred fifty-five of this chapter,
 and subdivision (e) of section 11-1797 of the administrative code of the
 city of New York shall be guilty of a misdemeanor.
   § 18. 1. For purposes of this section, transportation network  company
 shall  mean  a transportation network company as defined by article 44-B
 of the vehicle and traffic law.
   2. There is hereby  established  the  New  York  State  Transportation
 Network Company Accessibility Task Force to analyze and advise on how to
 maximize  effective  and  integrated transportation services for persons
 with disabilities in the transportation network company market. The  New
 York State Transportation Network Company Accessibility Task Force shall
 consist of eleven members. Two members of the New York State Transporta-
 tion  Network Company Accessibility Task Force shall be appointed by the
 speaker of the assembly. Two members of the New York  State  Transporta-
 tion  Network Company Accessibility Task Force shall be appointed by the
 temporary president of the senate. Seven members of the New  York  State
 Transportation   Network  Company  Accessibility  Task  Force  shall  be
 appointed by the governor and shall include, but not be limited to,  two
 representatives  of  groups  who serve persons with disabilities and two
 representatives from a  transportation  network  company.  The  governor
 shall  designate  two  chairpersons to the New York State Transportation
 Network Company Accessibility Task Force.
   3. The New York State  Transportation  Network  Company  Accessibility
 Task  Force shall study the demand responsive transportation marketplace
 and shall, in addition to any responsibilities assigned by the governor:
 (a) conduct a needs assessment concerning the demand for demand  respon-
 sive  accessible  transportation;  (b)  conduct  a  resource  assessment
 concerning the availability of accessible demand responsive  transporta-
 tion  services for persons with disabilities; (c) identify opportunities
 for, and barriers to, increasing accessible demand responsive  transpor-
 tation service for persons with mobility disabilities; (d) propose stra-
 tegies   for  increasing  accessible  demand  responsive  transportation
 service for persons with disabilities; and (e) any other  issues  deter-
 mined  important  to  the  task  force  in establishing a recommendation
 pursuant to subdivision five of this section.
   4. The New York State  Transportation  Network  Company  Accessibility
 Task  Force  shall  hold  public hearings and provide an opportunity for
 public comment on the activities described in subdivision  two  of  this
 section.
   5.  The  New  York  State Transportation Network Company Accessibility
 Task Force shall complete a report addressing the  activities  described
 in  subdivision two of this section and make a recommendation, supported
 by such activities, recommending the amount of  accessibility  necessary
 for  adequate transportation for disabled passengers in order to utilize
 transportation network companies and present such findings at  a  public
 meeting where its members shall accept such report, pursuant to majority
 vote  of  the  task  force, and present such report to the governor, the
 speaker of the assembly and the temporary president of the  senate,  and
 make such report publicly available for review.
   6.  Upon  making  the  report  described  in  subdivision five of this
 section, the New York State Transportation Network Company Accessibility
 Task Force shall be deemed dissolved.

 S. 2008--B                         43
 
   § 19. The state finance law is amended by adding a new section 89-i to
 read as follows:
   §  89-I. LOCAL TRANSIT ASSISTANCE FUND. 1. THERE IS HEREBY ESTABLISHED
 IN THE JOINT CUSTODY OF THE STATE COMPTROLLER AND  THE  COMMISSIONER  OF
 TAXATION AND FINANCE A FUND TO BE KNOWN AS THE "LOCAL TRANSIT ASSISTANCE
 FUND".  MONEYS  IN THE LOCAL TRANSIT ASSISTANCE FUND SHALL BE KEPT SEPA-
 RATELY FROM AND SHALL NOT BE COMMINGLED WITH ANY  OTHER  MONEYS  IN  THE
 JOINT  OR  SOLE  CUSTODY OF THE STATE COMPTROLLER OR THE COMMISSIONER OF
 TAXATION AND FINANCE.
   2. THE COMPTROLLER SHALL ESTABLISH THE FOLLOWING SEPARATE AND DISTINCT
 ACCOUNT WITHIN  THE  LOCAL  TRANSIT  ASSISTANCE  FUND:  NON-MTA  TRANSIT
 ASSISTANCE ACCOUNT.
   3. THE LOCAL TRANSIT ASSISTANCE FUND SHALL CONSIST OF MONIES COLLECTED
 THEREFORE  OR  CREDITED  OR  TRANSFERRED  THERETO  FROM  NAY OTHER FUND,
 ACCOUNT, OR SOURCE, INCLUDING A PORTION OF  THE  REVENUES  DERIVED  FROM
 ARTICLE  TWENTY-NINE-B OF THE TAX LAW PURSUANT TO SECTION TWELVE HUNDRED
 NINETY-EIGHT OF THE TAX LAW. ANY INTEREST RECEIVED BY THE COMPTROLLER ON
 MONIES ON DEPOSIT IN THE LOCAL TRANSIT ASSISTANCE FUND SHALL BE RETAINED
 IN AND BECOME PART OF SUCH FUND.
   4. MONIES IN THE LOCAL TRANSIT ASSISTANCE FUND SHALL, FOLLOWING APPRO-
 PRIATION BY THE LEGISLATURE, BE DISTRIBUTED TO EACH  COUNTY  NOT  WHOLLY
 CONTAINED  WITHIN  A  CITY  WITH A POPULATION OF A MILLION OR MORE.  THE
 FUNDING DIRECTED TO THE COUNTIES SHALL BE DISTRIBUTED TO EACH COUNTY  IN
 THE  SAME  PROPORTION AS THE REVENUE GENERATED BY EACH COUNTY UNDER THIS
 ARTICLE AND SHALL ONLY BE USED BY THE COUNTIES FOR TRANSIT PROGRAMS.
   5. ALL PAYMENTS OF MONEY FROM THE LOCAL TRANSIT ASSISTANCE FUND  SHALL
 BE MADE ON THE AUDIT AND WARRANT OF THE COMPTROLLER.
   §  20. Severability clause. If any provision of this act or the appli-
 cation thereof is held invalid, such invalidity shall not  affect  other
 provisions or applications of this act which can be given effect without
 the  invalid provision or application, and to this end the provisions of
 this act are declared to be severable.
   § 21. Each agency that is designated to perform any function  or  duty
 pursuant  to  this  act shall be authorized to establish rules and regu-
 lations for the administration and execution  of  such  authority  in  a
 manner consistent with the provisions of this act and for the protection
 of the public, health, safety and welfare of persons within this state.
   §  22.  This act shall take effect on the ninetieth day after it shall
 have become a law; provided that the  amendments  to  subdivision  1  of
 section  171-a  of  the tax law made by section twelve of this act shall
 not affect the expiration of such subdivision and  shall  expire  there-
 with,  pursuant  to  section  12  of  chapter 90 of the laws of 2014, as
 amended, when upon such date the provisions of section thirteen of  this
 act shall take effect.

                                  PART H
 
   Section  1.  Section  491 of the vehicle and traffic law is amended by
 adding a new subdivision 3 to read as follows:
   3. WAIVER OF FEE. THE COMMISSIONER  MAY  WAIVE  THE  PAYMENT  OF  FEES
 REQUIRED BY SUBDIVISION TWO OF THIS SECTION IF THE APPLICANT IS A VICTIM
 OF  A CRIME AND THE IDENTIFICATION CARD APPLIED FOR IS A REPLACEMENT FOR
 ONE THAT WAS LOST OR DESTROYED AS A RESULT OF THE CRIME.
   § 2. This act shall take effect on the one hundred twentieth day after
 it shall have become a law.

 S. 2008--B                         44
 
                                  PART I
 
                           Intentionally Omitted
 
                                  PART J
 
                           Intentionally Omitted

                                  PART K
 
                           Intentionally Omitted
 
                                  PART L
 
   Section  1.  Section 114-a of the vehicle and traffic law, as added by
 chapter 163 of the laws of 1973, is amended to read as follows:
   § 114-a. Drug. The term "drug" when used in this  chapter,  means  and
 includes any substance listed in section thirty-three hundred six of the
 public  health  law  AND ANY SUBSTANCE OR COMBINATION OF SUBSTANCES THAT
 IMPAIR, TO ANY EXTENT, THE PHYSICAL AND MENTAL ABILITIES WHICH A  DRIVER
 IS EXPECTED TO POSSESS IN ORDER TO OPERATE A VEHICLE AS A REASONABLE AND
 PRUDENT DRIVER.
   § 2. Subparagraph (i) of paragraph (a) of subdivision 4 of section 502
 of  the vehicle and traffic law, as amended by chapter 97 of the laws of
 2016, is amended to read as follows:
   (i) Upon submission of an application  for  a  driver's  license,  the
 applicant  shall be required to take and pass a test, or submit evidence
 of passage of a test, with respect to the laws relating to traffic,  the
 laws  relating to driving while ability is impaired and while intoxicat-
 ed, under the overpowering influence of "Road Rage", or "Work Zone Safe-
 ty" awareness as defined by the commissioner, the law relating to  exer-
 cising  due  care  to avoid colliding with a parked, stopped or standing
 authorized emergency vehicle or hazard vehicle pursuant to section elev-
 en hundred forty-four-a of this chapter, the ability to read and compre-
 hend traffic signs and symbols, BICYCLE AND PEDESTRIAN SAFETY,  MOTORCY-
 CLE  SAFETY AND AWARENESS and such other matters as the commissioner may
 prescribe, and to satisfactorily complete a  course  prescribed  by  the
 commissioner  of  not less than four hours and not more than five hours,
 consisting of classroom driver training and highway  safety  instruction
 or  the equivalent thereof. Such test shall include at least seven writ-
 ten questions concerning the effects of consumption of alcohol or  drugs
 on  the ability of a person to operate a motor vehicle and the legal and
 financial consequences  resulting  from  violations  of  section  eleven
 hundred ninety-two of this chapter, prohibiting the operation of a motor
 vehicle  while  under the influence of alcohol or drugs. Such test shall
 include one or more written questions concerning the devastating effects
 of "Road Rage" on the ability of a person to operate a motor vehicle and
 the legal and financial consequences resulting from assaulting,  threat-
 ening  or  interfering with the lawful conduct of another person legally
 using the roadway.  Such  test  shall  include  one  or  more  questions
 concerning the potential dangers to persons and equipment resulting from
 the  unsafe  operation  of a motor vehicle in a work zone. Such test may
 include one or more questions concerning the law for exercising due care

 S. 2008--B                         45
 
 to avoid colliding with a parked, stopped or standing  vehicle  pursuant
 to  section  eleven  hundred forty-four-a of this chapter. SUCH TEST MAY
 INCLUDE ONE OR MORE QUESTIONS CONCERNING BICYCLE AND  PEDESTRIAN  SAFETY
 AND SHALL INCLUDE ONE OR MORE QUESTIONS CONCERNING MOTORCYCLE SAFETY AND
 AWARENESS.  Such  test  shall  be  administered by the commissioner. The
 commissioner shall cause the applicant to take a vision test and a  test
 for  color  blindness.  Upon passage of the vision test, the application
 may be accepted and the application fee shall be payable.
   § 3. Subparagraph (v) of paragraph (b) of subdivision 2 of section 510
 of the vehicle and traffic law, as amended by chapter 3 of the  laws  of
 1995, is amended to read as follows:
   (v)  For  a  period of six months where the holder is convicted of, or
 receives  a  youthful  offender  or  other  juvenile   adjudication   in
 connection  with,  any  misdemeanor  or  felony  defined  in article two
 hundred twenty or two hundred twenty-one of the penal law, any violation
 of the federal controlled substances act, [any  crime  in  violation  of
 subdivision  four  of section eleven hundred ninety-two of this chapter]
 or any  out-of-state  or  federal  misdemeanor  or  felony  drug-related
 offense;  provided,  however,  that  any time actually served in custody
 pursuant to a sentence or  disposition  imposed  as  a  result  of  such
 conviction  or youthful offender or other juvenile adjudication shall be
 credited against the period of such suspension  and,  provided  further,
 that  the court shall determine that such suspension need not be imposed
 where there are compelling circumstances warranting an exception.
   § 4. Paragraphs i and j of subdivision 6 of section 510 of the vehicle
 and traffic law, as added by chapter  533  of  the  laws  of  1993,  are
 amended to read as follows:
   i. Where suspension of a driver's license is mandatory hereunder based
 upon  a  conviction  of,  or youthful offender or other juvenile adjudi-
 cation in connection with, any misdemeanor or felony as defined in arti-
 cle two hundred twenty or two hundred twenty-one of the penal  law,  any
 violation  of  the  federal  controlled  substances  act,  [any crime in
 violation of subdivision four of section eleven  hundred  ninety-two  of
 this chapter] or any out-of-state or federal misdemeanor or felony drug-
 related  offense,  the  commissioner  may issue a restricted use license
 pursuant to section five hundred thirty of this chapter.
   j. Where suspension of a driver's license is mandatory hereunder based
 upon a conviction of, or youthful offender  or  other  juvenile  adjudi-
 cation in connection with, any misdemeanor or felony as defined in arti-
 cle  two  hundred twenty or two hundred twenty-one of the penal law, any
 violation of the  federal  controlled  substances  act,  [any  crime  in
 violation  of  subdivision  four of section eleven hundred ninety-two of
 this chapter] or any out-of-state or federal misdemeanor or felony drug-
 related offense and the individual does not have a driver's  license  or
 the   individual's  driver's  license  was  suspended  at  the  time  of
 conviction or youthful offender  or  other  juvenile  adjudication,  the
 commissioner  shall  not  issue  a  new  license  nor restore the former
 license for a period of six months after such individual would otherwise
 have become eligible to obtain a new  license  or  to  have  the  former
 license  restored;  provided, however, that during such delay period the
 commissioner may issue a restricted use license pursuant to section five
 hundred thirty of this [chapter]  TITLE  to  such  previously  suspended
 licensee.
   § 5. Paragraph (b) of subdivision 2 of section 1193 of the vehicle and
 traffic  law  is  amended  by  adding  a  new subparagraph 13 to read as
 follows:

 S. 2008--B                         46
 
   (13) WHERE REVOCATION OF A DRIVER'S  LICENSE  IS  MANDATORY  HEREUNDER
 BASED UPON A CONVICTION OF, OR YOUTHFUL OFFENDER OF OTHER JUVENILE ADJU-
 DICATION  IN  CONNECTION WITH ANY CRIME IN VIOLATION OF SUBDIVISION FOUR
 OF SECTION ELEVEN HUNDRED NINETY-TWO OF THIS ARTICLE AND THE  INDIVIDUAL
 DOES  NOT  HAVE  A DRIVER'S LICENSE OR THE INDIVIDUAL'S DRIVER'S LICENSE
 WAS SUSPENDED OR REVOKED AT THE TIME OF CONVICTION OR YOUTHFUL  OFFENDER
 OR  OTHER  JUVENILE ADJUDICATION, THE COMMISSIONER SHALL NOT ISSUE A NEW
 LICENSE NOR RESTORE THE FORMER LICENSE FOR A PERIOD OF SIX MONTHS  AFTER
 SUCH  INDIVIDUAL  WOULD  OTHERWISE  HAVE BECOME ELIGIBLE TO OBTAIN A NEW
 LICENSE OR TO HAVE THE FORMER LICENSE RESTORED; PROVIDED, HOWEVER,  THAT
 DURING  SUCH  PERIOD  THE  COMMISSIONER  MAY ISSUE A CONDITIONAL LICENSE
 PURSUANT TO SECTION ELEVEN HUNDRED NINETY-SIX OF THIS  ARTICLE  TO  SUCH
 PREVIOUSLY REVOKED LICENSEE.
   § 6. Clauses a and b of subparagraph 1 of paragraph (d) of subdivision
 2  of section 1194 of the vehicle and traffic law, as amended by chapter
 732 of the laws of 2006, are amended to read as follows:
   a. Any license which has been revoked pursuant  to  paragraph  (c)  of
 this  subdivision shall not be restored for at least [one year] EIGHTEEN
 MONTHS after such revocation, nor thereafter, except in  the  discretion
 of  the  commissioner. However, no such license shall be restored for at
 least [eighteen] TWENTY-FOUR months after such revocation, nor thereaft-
 er except in the discretion of the commissioner, in any case  where  the
 person  has had a prior revocation resulting from refusal to submit to a
 chemical test, or has been convicted of or found to be in  violation  of
 any  subdivision  of section eleven hundred ninety-two or section eleven
 hundred ninety-two-a of this article not arising out of the  same  inci-
 dent, within the five years immediately preceding the date of such revo-
 cation;  provided,  however, a prior finding that a person under the age
 of twenty-one has refused to submit  to  a  chemical  test  pursuant  to
 subdivision  three of section eleven hundred ninety-four-a of this arti-
 cle shall have the same effect as a prior finding of a refusal  pursuant
 to  this subdivision solely for the purpose of determining the length of
 any license suspension or revocation required to be  imposed  under  any
 provision  of  this  article,  provided  that  the subsequent offense or
 refusal is  committed  or  occurred  prior  to  the  expiration  of  the
 retention period for such prior refusal as set forth in paragraph (k) of
 subdivision one of section two hundred one of this chapter.
   b.  Any  license  which  has been revoked pursuant to paragraph (c) of
 this subdivision or pursuant to  subdivision  three  of  section  eleven
 hundred  ninety-four-a  of  this article, where the holder was under the
 age of twenty-one years at the  time  of  such  refusal,  shall  not  be
 restored for at least [one year] EIGHTEEN MONTHS, nor thereafter, except
 in  the  discretion of the commissioner. Where such person under the age
 of twenty-one years has a prior finding, conviction or youthful offender
 adjudication resulting from a violation of section eleven hundred  nine-
 ty-two or section eleven hundred ninety-two-a of this article, not aris-
 ing  from  the  same incident, such license shall not be restored for at
 least [one year] TWENTY-FOUR MONTHS or until such person reaches the age
 of twenty-one years, whichever is the greater period of time, nor there-
 after, except in the discretion of the commissioner.
   § 7. Intentionally omitted.
   § 8. Intentionally omitted.
   § 9. Intentionally omitted.
   § 10. Intentionally omitted.
   § 11. Intentionally omitted.

 S. 2008--B                         47
 
   § 12. Subdivision 3 of section 1229-c of the vehicle and traffic  law,
 as  added  by  chapter  365  of  the laws of 1984, is amended to read as
 follows:
   3.  No  person  shall  operate  a  motor vehicle unless such person is
 restrained by a safety belt approved  by  the  commissioner.  No  person
 [sixteen]  TWENTY-ONE  years of age or over shall be a passenger in [the
 front seat of] a motor vehicle unless such person  is  restrained  by  a
 safety belt approved by the commissioner.
   § 13. This act shall take effect on the first of October next succeed-
 ing the date on which it shall have become a law.
 
                                  PART M

   Section  1.  Subdivision 3 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 section 1 of part F of chapter 58 of the
 laws of 2016, is amended to read as follows:
   3. The provisions of this section shall  expire,  notwithstanding  any
 inconsistent provision of subdivision 4 of section 469 of chapter 309 of
 the laws of 1996 or of any other law, on July 1, [2017] 2018.
   §  2.  This  act  shall take effect immediately and shall be deemed to
 have been in full force and effect on and after July 1, 2017.
 
                                  PART N
 
   Section 1. Section 2 of chapter 393 of the laws of 1994, amending  the
 New York state urban development corporation act, relating to the powers
 of  the  New  York state urban development corporation to make loans, as
 amended by section 1 of part G of chapter 58 of the  laws  of  2016,  is
 amended to read as follows:
   §  2.  This  act shall take effect immediately provided, however, that
 section one of this act shall expire on July 1, [2017]  2018,  at  which
 time the provisions of subdivision 26 of section 5 of the New York state
 urban  development  corporation  act shall be deemed repealed; provided,
 however, that neither the expiration nor the repeal of such  subdivision
 as provided for herein shall be deemed to affect or impair in any manner
 any  loan  made  pursuant  to the authority of such subdivision prior to
 such expiration and repeal.
   § 2. This act shall take effect immediately and  shall  be  deemed  to
 have been in full force and effect on and after April 1, 2017.

                                  PART O
 
                           Intentionally Omitted
 
                                  PART P
 
                           Intentionally Omitted
 
                                  PART Q
 
   Section  1.  Section 2 of chapter 21 of the laws of 2003, amending the
 executive law relating to permitting the secretary of state  to  provide
 special  handling  for  all documents filed or issued by the division of

 S. 2008--B                         48
 
 corporations and to permit additional levels of such expedited  service,
 as  amended by section 1 of part M of chapter 58 of the laws of 2016, is
 amended to read as follows:
   §  2.  This  act shall take effect immediately, provided however, that
 section one of this act shall be deemed to have been in full  force  and
 effect  on  and  after  April 1, 2003 and shall expire March 31, [2017]
 2018.
   § 2. This act shall take effect immediately and  shall  be  deemed  to
 have been in full force and effect on and after March 31, 2017.
 
                                  PART R
 
                           Intentionally Omitted
 
                                  PART S
 
                           Intentionally Omitted
 
                                  PART T
 
   Section  1.  Subdivision  2  of  section  54-1101 of the environmental
 conservation law, as amended by section 4 of part U of chapter 58 of the
 laws of 2016, is amended to read as follows:
   2. State assistance payments and/or technical assistance,  as  defined
 in section nine hundred seventeen of the executive law, shall not exceed
 [fifty] SEVENTY-FIVE percent of the cost of the program. For the purpose
 of  determining the amount of state assistance payments, costs shall not
 be more than the amount set forth in the application for  state  assist-
 ance  payments  approved by the secretary. The state assistance payments
 shall be paid on audit and warrant of the state comptroller on a certif-
 icate of availability of the director of the budget.
   § 2. The opening paragraph and paragraph a of subdivision 1 of section
 918 of the executive law, as added by chapter 840 of the laws  of  1981,
 are amended to read as follows:
   The  secretary  may  enter  into a contract or contracts for grants OR
 PAYMENTS to be made, within the limits of any  appropriations  therefor,
 for the following:
   a.  To any local governments, or to two or more local governments, for
 projects approved by the secretary which lead to preparation of a water-
 front revitalization program; provided, however,  that  such  grants  OR
 PAYMENTS  shall  not exceed [fifty] SEVENTY-FIVE percent of the approved
 cost of such projects;
   § 3. This act shall take effect immediately.
 
                                  PART U
 
                           Intentionally Omitted
 
                                  PART V
 
   Section 1. Intentionally omitted.
   § 2. Intentionally omitted.
   § 3. Intentionally omitted.

 S. 2008--B                         49
 
   § 4. Intentionally omitted.
   §  5. Notwithstanding any other law, rule or regulation to the contra-
 ry, expenses of  the  department  of  health  public  service  education
 program  incurred  pursuant  to appropriations from the cable television
 account of the state miscellaneous special revenue funds shall be deemed
 expenses of the department of public service. No later than  August  15,
 2018,  the  commissioner  of  the  department  of health shall submit an
 accounting of expenses in the 2017 -- 2018 fiscal year to the  chair  of
 the  public  service  commission  for the chair's review pursuant to the
 provisions of section 217 of the public service  law.  In  order  to  be
 eligible  for  reimbursement,  no  less  than twenty-five percent of the
 funds for which reimbursement is sought must have been used  for  educa-
 tional  programming within secondary schools, and must be appropriate to
 such audience.
   § 6. This act shall take effect immediately and  shall  be  deemed  to
 have been in full force and effect on and after April 1, 2017.

                                  PART W
 
   Section  1.  Section  2  of Part BB of chapter 58 of the laws of 2012,
 amending the public authorities law relating to authorizing the dormito-
 ry authority to enter into certain design  and  construction  management
 agreements,  as amended by section 1 of part S of chapter 58 of the laws
 of 2015, is amended to read as follows:
   § 2. This act shall take effect immediately and shall  expire  and  be
 deemed repealed April 1, [2017] 2019.
   §  2.  Within 90 days of the effective date of this act, the dormitory
 authority of the state of New York  shall  provide  a  report  providing
 information  regarding  any  project undertaken pursuant to a design and
 construction management agreement, as authorized by part BB  of  chapter
 58  of the laws of 2012, between the dormitory authority of the state of
 New York and the department of  environmental  conservation  and/or  the
 office  of  parks, recreation and historic preservation to the governor,
 the temporary president of the senate and speaker of the assembly.  Such
 report  shall  include  but not be limited to a description of each such
 project, the project identification number  of  each  such  project,  if
 applicable, the projected date of completion, the status of the project,
 the total cost or projected cost of each such project, and the location,
 including  the  names  of  any county, town, village or city, where each
 such project is located or proposed. In addition, such a report shall be
 provided to the aforementioned parties by the first day of March of each
 year that the authority to enter into such agreements pursuant  to  part
 BB of chapter 58 of the laws of 2012 is in effect.
   §  3.  This  act  shall take effect immediately and shall be deemed to
 have been in effect on and after April 1, 2017.
 
                                  PART X
 
                           Intentionally Omitted
 
                                  PART Y
 
                           Intentionally Omitted

 S. 2008--B                         50
 
                                  PART Z
 
                           Intentionally Omitted
 
                                  PART AA
 
                           Intentionally Omitted
 
                                  PART BB
 
                           Intentionally Omitted
 
                                  PART CC
 
                           Intentionally Omitted
 
                                  PART DD
 
                           Intentionally Omitted

                                  PART EE
 
                           Intentionally Omitted
 
                                  PART FF
 
                           Intentionally Omitted
 
                                  PART GG
 
                           Intentionally Omitted
 
                                  PART HH
 
                           Intentionally Omitted
 
                                  PART II
 
                           Intentionally Omitted
 
                                  PART JJ
 
                           Intentionally Omitted
 
                                  PART KK

 S. 2008--B                         51
 
                           Intentionally Omitted
 
                                  PART LL
 
                           Intentionally Omitted

                                  PART MM
 
   Section  1.    Notwithstanding  the  provisions  of subdivision 4-a of
 section 18-a of the public service law, all moneys committed or expended
 in an amount not to exceed $1,200,000 shall be reimbursed by  assessment
 against  gas  corporations, as defined in subdivision 11 of section 2 of
 the public service law and electric corporations as defined in  subdivi-
 sion  13  of  section 2 of the public service law, where such gas corpo-
 rations and electric corporations have gross  revenues  from  intrastate
 utility operations in excess of $500,000 in the preceding calendar year,
 and the total amount which may be charged to any gas corporation and any
 electric  corporation  shall  not exceed one cent per one thousand cubic
 feet of gas sold and .010 cent per kilowatt-hour of electricity sold  by
 such  corporations  in  their  intrastate utility operations in calendar
 year 2015. Such amounts shall be excluded from  the  general  assessment
 provisions  of  subdivision 2 of section 18-a of the public service law.
 The chair of the public service commission shall bill  such  gas  and/or
 electric  corporations for such amounts on or before August 10, 2017 and
 such amounts shall be paid to the New York  state  energy  research  and
 development authority on or before September 10, 2017. Upon receipt, the
 New  York  state energy research and development authority shall deposit
 such funds in the energy research and development operating fund  estab-
 lished  pursuant  to section 1859 of the public authorities law. The New
 York state energy research and development authority is  authorized  and
 directed  to:  (1)  transfer  $1,200,000  to the University of Rochester
 laboratory for  laser  energetics  from  the  funds  received;  and  (2)
 commencing  in  2016, provide to the chair of the public service commis-
 sion and the director of the budget and the chairs  and  secretaries  of
 the  legislative  fiscal  committees,  on or before August first of each
 year, an itemized record, certified by the president and chief executive
 officer of the authority, or his or her designee, detailing any and  all
 expenditures  and  commitments ascribable to moneys received as a result
 of this assessment by the chair of  the  department  of  public  service
 pursuant  to  section  18-a  of  the public service law.   This itemized
 record shall include an itemized breakdown of the programs being  funded
 by this section and the amount committed to each program.  The authority
 shall  not  commit  for  any  expenditure,  any  moneys derived from the
 assessment provided for in this section, until the chair of such author-
 ity shall have submitted, and the director  of  the  budget  shall  have
 approved,  a comprehensive financial plan encompassing all moneys avail-
 able to and all anticipated commitments and expenditures by such author-
 ity from any source for the operations of such authority.  Copies of the
 approved comprehensive financial plan shall be immediately submitted  by
 the  chair  to  the  chairs  and  secretaries  of the legislative fiscal
 committees.   Any  such  amount  not  committed  by  such  authority  to
 contracts  or  contracts  to  be  awarded  or  otherwise expended by the
 authority during the fiscal year shall be refunded by such authority  on

 S. 2008--B                         52
 
 a  pro-rata  basis to such gas and/or electric corporations, in a manner
 to be determined by the department of public service.
   §  2.  This  act  shall take effect immediately and shall be deemed to
 have been in full force and effect on and after April 1, 2017.
 
                                  PART NN
 
   Section 1. Paragraph (g) of section 1603 of the not-for-profit  corpo-
 ration law, as amended by chapter 106 of the laws of 2014, is amended to
 read as follows:
   (g) Nothing in this article shall be construed to authorize the exist-
 ence  of  more than [twenty] TWENTY-FIVE land banks located in the state
 at one time, provided further that each foreclosing governmental unit or
 units proposing to create a land bank shall submit such local law, ordi-
 nance or resolution as required by paragraph (a) of this section, to the
 urban development corporation, for its review and approval. The creation
 of a land bank shall be conditioned upon approval of the urban  develop-
 ment corporation.
   § 2. This act shall take effect immediately.
 
                                  PART OO
 
   Section  1.  Subdivision  2  of  section 2 of the public lands law, as
 separately amended by chapters 405 and 957  of  the  laws  of  1981,  is
 amended to read as follows:
   2.  State-owned  real  property inventory. The commissioner of general
 services shall establish, maintain and have the custody of an  inventory
 of  all  state-owned  real  property,  as  an aid in the utilization and
 management of the land resources  of  the  state.  The  inventory  shall
 include any state-owned real property under the jurisdiction, custody or
 management  of  any  state  agency,  whether  acquired by appropriation,
 purchase, gift or otherwise. In order to provide an accurate and current
 inventory for use by the commissioner of general services,  state  agen-
 cies  and  the  legislature,  the commissioner may by rule or regulation
 prescribe the elements, extent and  format  of  the  information  to  be
 included  and  the procedures for collection, presentation and verifica-
 tion of the information to be contained in the  inventory.  THE  COMMIS-
 SIONER  SHALL LABEL ALL UNUSED AND UNAPPROPRIATED STATE LANDS AS VACANT.
 SUCH VACANT LAND SHALL INCLUDE UNAPPROPRIATED STATE LANDS  AS  DESCRIBED
 IN SECTION THIRTY OF THIS CHAPTER AND ANY OTHER UNUSED LAND OWNED BY THE
 STATE.  THE COMMISSIONER SHALL MAKE A REPORT WHICH LISTS ALL STATE OWNED
 LAND THAT HAS BEEN LABELED VACANT AND FURNISH SUCH REPORT TO THE  LEGIS-
 LATURE BY MARCH THIRTY-FIRST, TWO THOUSAND EIGHTEEN AND EACH YEAR THERE-
 AFTER. The commissioner shall by rule or regulation, and upon the advice
 of  the  comptroller,  prescribe  the elements, extent and format of the
 information to be included and the procedures for collection,  presenta-
 tion,  and  verification  of such information necessary to establish and
 maintain a set of general fixed asset accounts that comply with general-
 ly accepted accounting principles. Each state agency  shall  deliver  to
 the  commissioner  of general services such information at the times and
 in the manner as determined by him OR HER to be necessary for the estab-
 lishment and maintenance of the inventory and shall permit  the  commis-
 sioner  and  his  OR  HER  agents  to  make  such  physical  and records
 inspections as deemed necessary by the commissioner for the purposes  of
 the inventory program.

 S. 2008--B                         53
 
   §  2.  Subdivision 1 of section 33 of the public lands law, as amended
 by chapter 360 of the laws of 1983, is amended and a new  subdivision  6
 is added to read as follows:
   1.  The  commissioner  of  general  services [may, from time to time,]
 SHALL sell unappropriated state lands at public  auction  or  by  sealed
 bids  in  such  parcels as he deems for the best interests of the state.
 Previous to every sale, he OR SHE shall fix the lowest sum at which each
 lot may be sold, and shall designate at least one newspaper in the coun-
 ty where the lands to be sold are situated, in  which  the  commissioner
 shall  cause  notice  of  the  time, place and description of sale to be
 published, at least once a week for four weeks, successively, before the
 sale. Such notice need not be published in any other  paper  or  papers,
 and  any  statute  requiring additional publication of notices or adver-
 tisements by state officers or a department, board, bureau or commission
 of the state shall not apply to such notice. The commissioner may desig-
 nate a representative of his OR HER office to  conduct  such  sale.  All
 such  sales  shall  be  held  at the county seat of the county where the
 property is situated, unless otherwise directed by the commissioner.
   Upon such sales of unappropriated state land to a  purchaser  procured
 by any licensed real estate broker and the payment of the purchase price
 in  the  amount  offered  by such broker in behalf of the purchaser, the
 commissioner of general services is authorized to pay, subject  to  such
 terms  and conditions as the commissioner may prescribe, a commission to
 such broker out of monies available therefor. Uniform rates  of  commis-
 sion  shall[, from time to time,] be fixed by the commissioner but shall
 not exceed six percentum of the purchase price. No commission  shall  be
 paid  for  the procuring of any sale unless (1) written authority of the
 broker to make such offer on a  form  acceptable  to  the  commissioner,
 signed  by  the person for whom he OR SHE is acting, shall be filed with
 the commissioner before the day of the sale and unless  (2)  the  broker
 shall furnish to the commissioner evidence in such form and extent as he
 OR  SHE  may require establishing that the purchaser was procured as the
 result of the broker's services. In no event shall a broker who is  paid
 a  commission  by  the  commissioner as herein provided accept any other
 commission or fee from any  person  or  source  for  brokerage  services
 relating to the sale of such unappropriated state land.
   6.  THE  COMMISSIONER  SHALL ENSURE THE TIMELY SALE OF ALL STATE LANDS
 WHICH HAVE BEEN LABELED VACANT AS NOTATED  UNDER  SECTION  TWO  OF  THIS
 CHAPTER. SUCH SALES SHALL STRIVE TO RAISE REVENUE IN THE AMOUNT OF FIFTY
 MILLION  DOLLARS  FOR  THE  FISCAL  YEAR IN WHICH THIS SUBDIVISION TAKES
 EFFECT AND ONE HUNDRED MILLION DOLLARS FOR EACH SUBSEQUENT FISCAL  YEAR.
 FIFTY  PERCENT  OF  SUCH SALES SHALL BE APPROPRIATED TO THE COUNTY WHERE
 SUCH SOLD LAND IS SITUATED AND SHALL BE USED  FOR  ECONOMIC  DEVELOPMENT
 INITIATIVES WITHIN SUCH COUNTY.
   § 3. This act shall take effect immediately.
 
                                  PART PP

   Section  1.  The  public  authorities  law  is amended by adding a new
 section 553-j to read as follows:
   § 553-J. VERRAZANO-NARROWS REDUCED TOLL; KINGS COUNTY.   NOTWITHSTAND-
 ING  ANY  INCONSISTENT  PROVISION OF LAW, BUT SUBJECT TO AGREEMENTS WITH
 NOTEHOLDERS AND BONDHOLDERS, THE AUTHORITY  SHALL  ESTABLISH  A  REDUCED
 TOLL  FOR RESIDENTS OF THE COUNTY OF KINGS AS SET FORTH IN THIS SECTION,
 WHICH SHALL ENTITLE SUCH RESIDENTS TO CROSSINGS OVER THE  VERRAZANO-NAR-
 ROWS  BRIDGE  AT A REDUCED COST OF FIFTY-EIGHT PER CENTUM OF THE REGULAR

 S. 2008--B                         54
 
 CROSSING FARE IMPOSED ON NONRESIDENTS OF THE COUNTY  OF  KINGS.  IN  THE
 EVENT  THE AUTHORITY SHALL IMPOSE A SURCHARGE IN ADDITION TO THE REGULAR
 TOLL FOR CROSSINGS OVER THE  VERRAZANO-NARROWS  BRIDGE,  SUCH  SURCHARGE
 SHALL  NOT BE DEEMED A PART OF THE REGULAR CROSSING FARE FOR PURPOSES OF
 THIS SECTION, AND SUCH RESIDENTS OF THE COUNTY OF KINGS SHALL  BE  ENTI-
 TLED  TO  A  PERMANENT EXEMPTION FROM THE PAYMENT OF ANY SUCH SURCHARGE.
 THE PROVISIONS OF THIS SECTION SHALL APPLY TO RESIDENTS OF KINGS  COUNTY
 WHO  UTILIZE  AN  ELECTRONIC  METHOD  OF  TOLL PAYMENT AND WHO CROSS THE
 VERRAZANO-NARROWS BRIDGE THREE OR MORE TIMES PER MONTH. APPLICATION  FOR
 SUCH DISCOUNT SHALL BE MADE IN SUCH MANNER AS PRESCRIBED BY THE AUTHORI-
 TY  AND  SHALL  CONTAIN SUCH INFORMATION AS THE AUTHORITY MAY REASONABLY
 REQUIRE.
   § 2. This act shall take effect immediately.
 
                                  PART QQ

   Section 1. Subdivision 5 of section 2222 of the  vehicle  and  traffic
 law,  as added by chapter 839 of the laws of 1973, is amended to read as
 follows:
   5. Application. The owner of each  snowmobile  requiring  registration
 under  this section shall present an application for registration to the
 commissioner, on a blank to be prepared and furnished by the commission-
 er for that purpose. Such application shall contain or be accompanied by
 such evidence of the ownership of the snowmobile described in the appli-
 cation as may be required by  the  commissioner.  WHERE  THE  SNOWMOBILE
 OWNER  IS  A CITIZEN OF CANADA, NO REGISTRATION SHALL BE REQUIRED, BUT A
 TRAIL PASS AS DESCRIBED IN SUBDIVISION FIVE-A OF THIS SECTION  SHALL  BE
 REQUIRED.
   §  2. Section 2222 of the vehicle and traffic law is amended by adding
 a new subdivision 5-a to read as follows:
   5-A. CANADIAN CITIZEN TRAIL PASS. ALL APPLICABLE FEES SHALL BE PAID TO
 RECEIVE A TRAIL PASS. TRAIL PASS FEES SHALL BE EQUAL TO THOSE  DESCRIBED
 IN  SUBDIVISIONS  FOUR  AND  FOUR-A  OF THIS SECTION, IN ADDITION TO ANY
 OTHER APPLICABLE FEES PRESCRIBED BY LAW. PASSES SHALL NOT AUTHORIZE  THE
 USE  OF  A SNOWMOBILE OTHER THAN FOR PLEASURE, AND SHALL REQUIRE COMPLI-
 ANCE WITH ALL LAWS AND REGULATIONS APPLICABLE TO THE USE OF  SNOWMOBILES
 IN NEW YORK STATE.
   (A)  PASSES SHALL EXPIRE AFTER ONE YEAR, MUST BE PROMINENTLY DISPLAYED
 ON THE COWL OF THE SNOWMOBILE AT ALL TIMES WHEN THE SNOWMOBILE IS WITHIN
 THE BORDERS OF NEW YORK STATE.
   (B) PASSES WILL BE SOLD BY BUSINESSES APPROVED BY THE COMMISSIONER  OF
 THE DEPARTMENT OF ENVIRONMENTAL CONSERVATION.
   (C) APPLICATIONS FOR A TRAIL PASS MUST BE ACCOMPANIED BY VALID CANADI-
 AN REGISTRATION.
   (D)  PASSES  SHALL  BE ISSUED WITH INFORMATION CONCERNING THE LAWS AND
 REGULATIONS OF NEW YORK STATE THAT PERTAIN TO THE SAFE AND LEGAL  OPERA-
 TION OF A SNOWMOBILE WITHIN NEW YORK STATE'S BORDERS.
   §  3.  This  act shall take effect on the ninetieth day after it shall
 have become a law and shall expire January 1, 2024 when upon  such  date
 the  provisions of this act shall be deemed repealed; provided, however,
 that effective immediately, the addition, amendment and/or repeal of any
 rule or regulation by the commissioner of the department of motor  vehi-
 cles  that is necessary for the implementation of this act on its effec-
 tive date are authorized to be made and  completed  on  or  before  such
 effective date.

 S. 2008--B                         55
 
                                  PART RR
 
   Section  1. Section 1 of chapter 882 of the laws of 1953, constituting
 the waterfront commission act is amended by adding a new  article  VII-A
 to read as follows:
 
                               ARTICLE VII-A
                          CARGO FACILITY CHARGES
 
   1. AS USED IN THIS ARTICLE:
   (A)  "BILL OF LADING" MEANS A DOCUMENT EVIDENCING THE RECEIPT OF GOODS
 FOR SHIPMENT ISSUED BY A PERSON ENGAGED IN THE BUSINESS OF  TRANSPORTING
 OR FORWARDING GOODS.
   (B)  "CARGO  FACILITY  CHARGE"  MEANS  ANY FEE APPLICABLE TO CARGO AND
 CARGO CONTAINERS DISCHARGED FROM, OR LOADED ONTO, VESSELS AT ANY  MARINE
 FACILITY OWNED OR OPERATED BY THE PORT AUTHORITY.
   (C)  "CARRIER" MEANS A CARRIER AS THAT TERM IS DEFINED IN 49 U.S.C. S.
 13102.
   (D) "CONTAINER" MEANS ANY RECEPTACLE, BOX, CARTON, OR CRATE  WHICH  IS
 SPECIFICALLY  DESIGNED AND CONSTRUCTED SO THAT IT MAY BE REPEATEDLY USED
 FOR THE CARRIAGE OF FREIGHT BY AN OCEAN COMMON CARRIER.
   (E) "MARINE TERMINAL OPERATOR" MEANS ANY PERSON, CORPORATION, PARTNER-
 SHIP, OR ANY BUSINESS ORGANIZATION WHICH SHALL OPERATE AND MAINTAIN  ANY
 OF  THE  MARINE  TERMINALS ESTABLISHED, ACQUIRED, CONSTRUCTED, REHABILI-
 TATED, OR IMPROVED BY THE PORT AUTHORITY BY MEANS OF AND THROUGH LEASING
 AGREEMENTS ENTERED INTO BY ANY SUCH PERSON, CORPORATION, PARTNERSHIP, OR
 ANY BUSINESS ORGANIZATION WITH THE PORT AUTHORITY.
   (F) "OCEAN COMMON CARRIER" MEANS AN OCEAN COMMON CARRIER AS THAT  TERM
 IS DEFINED IN 46 U.S.C. S.40102.
   (G)  "RAIL CARRIER" MEANS A RAIL CARRIER AS THAT TERM IS DEFINED IN 49
 U.S.C. S. 10102.
   (H) "TARIFF" MEANS A MARINE TERMINAL OPERATOR SCHEDULE AS THAT TERM IS
 DEFINED IN 46 C.F.R. 525.2.
   (I) "USER" MEANS:
   (1) ANY PERSON, COMPANY, OR OTHER ENTITY THAT IS NAMED AS THE  SHIPPER
 OR  CONSIGNEE  ON  THE  OCEAN  COMMON  CARRIER BILL OF LADING ISSUED FOR
 EXPORT OR IMPORT  CARGO,  OR  ANY  PERSON  OWNING  OR  ENTITLED  TO  THE
 POSSESSION, OR HAVING A PAST OR FUTURE INTEREST IN, THE EXPORT OR IMPORT
 CARGO;
   (2)  IN  THE  CASE  OF  NEGOTIABLE  BILLS OF LADING, ANY OTHER PERSON,
 COMPANY, OR OTHER ENTITY THAT IS A BONA  FIDE  HOLDER  OF  THE  BILL  OF
 LADING  OR WHO IS ENTITLED TO RECEIVE DELIVERY OF EXPORT CARGO OR IMPORT
 CARGO; OR
   (3) ANY OTHER BAILOR OF EXPORT OR IMPORT CARGO.
   2. NOTWITHSTANDING ANY LAW, RULE, REGULATION, OR  EXISTING  TARIFF  TO
 THE  CONTRARY,  THE PORT AUTHORITY SHALL NOT ASSESS A USER, OCEAN COMMON
 CARRIER, MARINE TERMINAL OPERATOR, CARRIER,  OR  RAIL  CARRIER  A  CARGO
 FACILITY  CHARGE  ON IMPORT AND EXPORT CARGO LEAVING ANY MARINE FACILITY
 OWNED OR OPERATED BY THE PORT AUTHORITY, EXCEPT THAT THE PORT  AUTHORITY
 MAY  ASSESS  A  USER,  OCEAN  COMMON  CARRIER, MARINE TERMINAL OPERATOR,
 CARRIER, OR RAIL CARRIER A CARGO FACILITY  CHARGE  UPON  WRITTEN  MUTUAL
 AGREEMENT BETWEEN THE USER, OCEAN COMMON CARRIER, MARINE TERMINAL OPERA-
 TOR, CARRIER, OR RAIL CARRIER AND THE PORT AUTHORITY.
   §  2.  This  act  shall take effect upon the enactment into law by the
 state of New Jersey of legislation having an identical effect with  this
 act,  but  if  the  state  of New Jersey shall have already enacted such

 S. 2008--B                         56
 
 legislation, then it shall take effect immediately;  and  provided  that
 the  waterfront  commission  shall  notify the legislative bill drafting
 commission upon the occurrence  of  the  enactment  of  the  legislation
 provided for in section one of this act in order that the commission may
 maintain an accurate and timely effective data base of the official text
 of  laws  of  the  state  of New York in furtherance of effectuating the
 provisions of section 44 of the legislative law and section 70-b of  the
 public officers law.
 
                                  PART SS
 
   Section  1. Notwithstanding any inconsistent general, special or local
 law to the contrary, New York state through the division of  the  budget
 is hereby authorized to forgive outstanding amounts on all loans made to
 the Oswego Port Authority between the years of 1958 and 1981.  The total
 amount  of outstanding debt owed to the state to be forgiven pursuant to
 this act is $3,755,926. Any agreements entered  into  between  the  Port
 Authority  and  New  York  state  to  repay  such  obligations  shall be
 canceled.
   § 2. This act shall take effect immediately.
 
                                  PART TT
 
   Section 1. Paragraph (c) of subdivision 2 of section 503 of the  vehi-
 cle  and traffic law is amended by adding a new subparagraph (v) to read
 as follows:
   (V) PROVIDED THAT FOR A SENIOR CITIZEN, THE RENEWAL FEE SHALL  BE  TEN
 PERCENT LESS THAN THE FEES OTHERWISE REQUIRED BY THIS PARAGRAPH. FOR THE
 PURPOSES  OF THIS SUBPARAGRAPH, THE TERM "SENIOR CITIZEN" MEANS A PERSON
 AT LEAST SIXTY-FIVE YEARS OF AGE.
   § 2. This act shall take effect on the ninetieth day  after  it  shall
 have become a law.
 
                                  PART UU
 
   Section  1. Subdivision 18-a of section 1261 of the public authorities
 law is REPEALED.
   § 2. This act shall take effect immediately.

                                  PART VV
 
   Section 1. Paragraph (a) of subdivision 1 of section 2281 of the vehi-
 cle and traffic law, as amended by chapter 319 of the laws of  1997,  is
 amended to read as follows:
   (a)  "All  terrain  vehicle" or "ATV" means any self-propelled vehicle
 which is manufactured for sale for operation  primarily  on  off-highway
 trails  or  off-highway  competitions  and only incidentally operated on
 public highways providing that such  vehicle  does  not  exceed  seventy
 inches  in  width,  or  one  thousand  FIVE  HUNDRED  pounds dry weight.
 Provided, however, this definition shall not include a  "snowmobile"  or
 other  self-propelled  vehicles  manufactured for off-highway use exclu-
 sively designed for travel on snow or ice, steered by  skis  or  runners
 and  supported  in whole or in part by one or more skis, belts or cleats
 which utilize an endless belt tread.
   § 2. This act shall take effect on the thirtieth day  after  it  shall
 have become a law.

 S. 2008--B                         57
 
                                  PART WW
 
   Section 1. Section 1678-a of the public authorities law is REPEALED.
   § 2. This act shall take effect immediately.
 
                                  PART XX
 
   Section  1.  The  vehicle  and  traffic law is amended by adding a new
 section 1170-a to read as follows:
   § 1170-A. OWNER LIABILITY FOR FAILURE OF OPERATOR TO OBEY SIGNAL INDI-
 CATING APPROACH OF TRAIN.  (A) 1. NOTWITHSTANDING ANY OTHER PROVISION OF
 LAW, ANY POLITICAL SUBDIVISION IS HEREBY  AUTHORIZED  AND  EMPOWERED  TO
 ADOPT  AND  AMEND  A  LOCAL  LAW, ORDINANCE OR RESOLUTION ESTABLISHING A
 DEMONSTRATION PROGRAM IMPOSING MONETARY LIABILITY  ON  THE  OWNER  OF  A
 VEHICLE FOR FAILURE OF AN OPERATOR THEREOF TO COMPLY WITH SECTION ELEVEN
 HUNDRED  SEVENTY  OF  THIS  ARTICLE.  SUCH  DEMONSTRATION  PROGRAM SHALL
 EMPOWER A POLITICAL SUBDIVISION TO INSTALL AND  OPERATE  RAILROAD  GRADE
 CROSSING  PHOTO  VIOLATION-MONITORING  DEVICES  AT  ANY RAILROAD SIGN OR
 SIGNAL.
   2. SUCH DEMONSTRATION PROGRAM SHALL UTILIZE NECESSARY TECHNOLOGIES  TO
 ENSURE,  TO  THE  EXTENT  PRACTICABLE, THAT PHOTOGRAPHS PRODUCED BY SUCH
 RAILROAD GRADE CROSSING PHOTO  VIOLATION-MONITORING  SYSTEMS  SHALL  NOT
 INCLUDE  IMAGES THAT IDENTIFY THE DRIVER, THE PASSENGERS OR THE CONTENTS
 OF THE VEHICLE. PROVIDED, HOWEVER, THAT NO NOTICE  OF  LIABILITY  ISSUED
 PURSUANT  TO THIS SECTION SHALL BE DISMISSED SOLELY BECAUSE A PHOTOGRAPH
 OR PHOTOGRAPHS ALLOW FOR THE IDENTIFICATION OF THE CONTENTS OF  A  VEHI-
 CLE,  PROVIDED  THAT  SUCH  POLITICAL  SUBDIVISION HAS MADE A REASONABLE
 EFFORT TO COMPLY WITH THE PROVISIONS OF THIS PARAGRAPH.
   (B) WITHIN THE JURISDICTION OF ANY SUCH  POLITICAL  SUBDIVISION  WHICH
 HAS ADOPTED A LOCAL LAW, ORDINANCE OR RESOLUTION PURSUANT TO SUBDIVISION
 (A) OF THIS SECTION, THE OWNER OF A VEHICLE SHALL BE LIABLE FOR A PENAL-
 TY IMPOSED PURSUANT TO THIS SECTION IF SUCH VEHICLE WAS USED OR OPERATED
 WITH  THE  PERMISSION  OF THE OWNER, EXPRESS OR IMPLIED, IN VIOLATION OF
 SECTION ELEVEN HUNDRED SEVENTY OF THIS ARTICLE, AND  SUCH  VIOLATION  IS
 EVIDENCED  BY  INFORMATION OBTAINED FROM A RAILROAD GRADE CROSSING PHOTO
 VIOLATION-MONITORING SYSTEM; PROVIDED, HOWEVER, THAT NO OWNER OF A VEHI-
 CLE SHALL BE LIABLE FOR A PENALTY IMPOSED PURSUANT TO THIS SECTION WHERE
 THE OPERATOR OF SUCH  VEHICLE  HAS  BEEN  CONVICTED  OF  THE  UNDERLYING
 VIOLATION OF SECTION ELEVEN HUNDRED SEVENTY OF THIS ARTICLE.
   (C)  FOR  PURPOSES  OF  THIS  SECTION,  "OWNER" SHALL HAVE THE MEANING
 PROVIDED IN ARTICLE TWO-B OF THIS CHAPTER. FOR PURPOSES OF THIS SECTION,
 "RAILROAD GRADE CROSSING PHOTO VIOLATION-MONITORING SYSTEM" SHALL MEAN A
 VEHICLE SENSOR INSTALLED TO WORK IN CONJUNCTION WITH A RAILROAD SIGN  OR
 SIGNAL WHICH AUTOMATICALLY PRODUCES TWO OR MORE PHOTOGRAPHS, TWO OR MORE
 MICROPHOTOGRAPHS,  A  VIDEOTAPE OR OTHER RECORDED IMAGES OF EACH VEHICLE
 AT THE TIME IT IS USED  OR  OPERATED  IN  VIOLATION  OF  SECTION  ELEVEN
 HUNDRED SEVENTY OF THIS ARTICLE.
   (D)  A  CERTIFICATE,  SWORN TO OR AFFIRMED BY A TECHNICIAN EMPLOYED BY
 THE POLITICAL SUBDIVISION IN WHICH THE CHARGED VIOLATION OCCURRED, OR  A
 FACSIMILE  THEREOF,  BASED  UPON  INSPECTION OF PHOTOGRAPHS, MICROPHOTO-
 GRAPHS, VIDEOTAPE OR OTHER RECORDED IMAGES PRODUCED BY A RAILROAD  GRADE
 CROSSING   PHOTO  VIOLATION-MONITORING  SYSTEM,  SHALL  BE  PRIMA  FACIE
 EVIDENCE OF THE FACTS CONTAINED THEREIN.  ANY  PHOTOGRAPHS,  MICROPHOTO-
 GRAPHS,  VIDEOTAPE  OR OTHER RECORDED IMAGES EVIDENCING SUCH A VIOLATION
 SHALL BE AVAILABLE FOR INSPECTION IN ANY PROCEEDING  TO  ADJUDICATE  THE

 S. 2008--B                         58
 
 LIABILITY  FOR  SUCH  VIOLATION  PURSUANT  TO  A LOCAL LAW, ORDINANCE OR
 RESOLUTION ADOPTED PURSUANT TO THIS SECTION.
   (E)  AN OWNER LIABLE FOR A VIOLATION OF SECTION ELEVEN HUNDRED SEVENTY
 OF THIS ARTICLE PURSUANT TO A LOCAL LAW, ORDINANCE OR RESOLUTION ADOPTED
 PURSUANT TO THIS SECTION SHALL  BE  LIABLE  FOR  MONETARY  PENALTIES  IN
 ACCORDANCE  WITH  A SCHEDULE OF FINES AND PENALTIES TO BE ESTABLISHED IN
 SUCH LOCAL LAW, ORDINANCE OR RESOLUTION.  THE  LIABILITY  OF  THE  OWNER
 PURSUANT  TO  THIS SECTION SHALL NOT EXCEED ONE HUNDRED DOLLARS FOR EACH
 VIOLATION; PROVIDED, HOWEVER, THAT AN ADJUDICATING AUTHORITY MAY PROVIDE
 FOR AN ADDITIONAL PENALTY OF NOT IN EXCESS OF  TWENTY-FIVE  DOLLARS  FOR
 EACH VIOLATION FOR THE FAILURE TO RESPOND TO A NOTICE OF LIABILITY WITH-
 IN THE PRESCRIBED PERIOD OF TIME.
   (F)  AN IMPOSITION OF LIABILITY UNDER A LOCAL LAW, ORDINANCE OR RESOL-
 UTION ADOPTED PURSUANT TO THIS SECTION SHALL NOT BE DEEMED A  CONVICTION
 AS AN OPERATOR AND SHALL NOT BE MADE PART OF THE OPERATING RECORD OF THE
 PERSON  UPON  WHOM  SUCH  LIABILITY  IS IMPOSED NOR SHALL IT BE USED FOR
 INSURANCE PURPOSES IN THE PROVISION OF MOTOR VEHICLE INSURANCE COVERAGE.
   (G) 1. A NOTICE OF LIABILITY SHALL BE SENT BY FIRST CLASS MAIL TO EACH
 PERSON ALLEGED TO BE LIABLE AS AN OWNER FOR A VIOLATION OF SECTION ELEV-
 EN HUNDRED SEVENTY OF THIS ARTICLE PURSUANT TO THIS SECTION.    PERSONAL
 DELIVERY  ON  THE  OWNER  SHALL  NOT  BE REQUIRED. A MANUAL OR AUTOMATIC
 RECORD OF MAILING PREPARED IN THE ORDINARY COURSE OF BUSINESS  SHALL  BE
 PRIMA FACIE EVIDENCE OF THE FACTS CONTAINED THEREIN.
   2.  A  NOTICE  OF  LIABILITY SHALL CONTAIN THE NAME AND ADDRESS OF THE
 PERSON ALLEGED TO BE LIABLE AS AN OWNER FOR A VIOLATION OF SECTION ELEV-
 EN HUNDRED SEVENTY OF THIS ARTICLE PURSUANT TO THIS SECTION, THE  REGIS-
 TRATION  NUMBER  OF THE VEHICLE INVOLVED IN SUCH VIOLATION, THE LOCATION
 WHERE SUCH VIOLATION TOOK PLACE, THE DATE AND TIME OF SUCH VIOLATION AND
 THE IDENTIFICATION NUMBER OF THE CAMERA WHICH RECORDED THE VIOLATION  OR
 OTHER DOCUMENT LOCATOR NUMBER.
   3.  THE  NOTICE  OF  LIABILITY  SHALL CONTAIN INFORMATION ADVISING THE
 PERSON CHARGED OF THE MANNER AND THE TIME IN WHICH HE OR SHE MAY CONTEST
 THE LIABILITY ALLEGED IN THE NOTICE. SUCH NOTICE OF LIABILITY SHALL ALSO
 CONTAIN A WARNING TO ADVISE THE PERSON CHARGED THAT FAILURE  TO  CONTEST
 IN  THE MANNER AND TIME PROVIDED SHALL BE DEEMED AN ADMISSION OF LIABIL-
 ITY AND THAT A DEFAULT JUDGMENT MAY BE ENTERED THEREON.
   4. THE NOTICE OF LIABILITY SHALL BE PREPARED AND MAILED BY  THE  POLI-
 TICAL  SUBDIVISION,  OR BY ANY OTHER ENTITY AUTHORIZED BY SUCH POLITICAL
 SUBDIVISION TO PREPARE AND MAIL SUCH NOTIFICATION OF VIOLATION.
   (H) ADJUDICATION OF THE LIABILITY IMPOSED UPON OWNERS BY THIS  SECTION
 SHALL  BE  BY  THE  COURT  HAVING JURISDICTION OVER TRAFFIC INFRACTIONS,
 EXCEPT THAT IF SUCH POLITICAL SUBDIVISION HAS ESTABLISHED AN ADMINISTRA-
 TIVE TRIBUNAL TO HEAR AND DETERMINE COMPLAINTS  OF  TRAFFIC  INFRACTIONS
 CONSTITUTING  PARKING,  STANDING  OR  STOPPING VIOLATIONS SUCH POLITICAL
 SUBDIVISION MAY, BY LOCAL  LAW,  AUTHORIZE  SUCH  ADJUDICATION  BY  SUCH
 TRIBUNAL.
   (I)  IF  AN  OWNER  RECEIVES  A  NOTICE  OF LIABILITY PURSUANT TO THIS
 SECTION FOR ANY TIME PERIOD DURING WHICH THE VEHICLE WAS REPORTED  TO  A
 LAW  ENFORCEMENT  AGENCY  AS  HAVING  BEEN  STOLEN,  IT SHALL BE A VALID
 DEFENSE TO AN ALLEGATION OF LIABILITY FOR A VIOLATION OF SECTION  ELEVEN
 HUNDRED  SEVENTY OF THIS ARTICLE PURSUANT TO THIS SECTION THAT THE VEHI-
 CLE HAD BEEN REPORTED TO THE POLICE AS STOLEN  PRIOR  TO  THE  TIME  THE
 VIOLATION OCCURRED AND HAD NOT BEEN RECOVERED BY SUCH TIME. FOR PURPOSES
 OF ASSERTING THE DEFENSE PROVIDED BY THIS SUBDIVISION IT SHALL BE SUFFI-
 CIENT  THAT A CERTIFIED COPY OF A POLICE REPORT ON THE STOLEN VEHICLE BE

 S. 2008--B                         59
 
 SENT BY FIRST CLASS MAIL TO THE COURT  HAVING  JURISDICTION  OR  PARKING
 VIOLATIONS BUREAU.
   (J) 1. IN SUCH POLITICAL SUBDIVISION WHERE THE ADJUDICATION OF LIABIL-
 ITY  IMPOSED  UPON  OWNERS PURSUANT TO THIS SECTION IS BY A COURT HAVING
 JURISDICTION, AN OWNER WHO IS A LESSOR OF A VEHICLE TO WHICH A NOTICE OF
 LIABILITY WAS ISSUED PURSUANT TO SUBDIVISION (G) OF THIS  SECTION  SHALL
 NOT  BE  LIABLE  FOR  THE VIOLATION OF SECTION ELEVEN HUNDRED SEVENTY OF
 THIS ARTICLE, PROVIDED THAT HE OR SHE SENDS TO THE COURT  HAVING  JURIS-
 DICTION  A  COPY  OF  THE  RENTAL, LEASE OR OTHER SUCH CONTRACT DOCUMENT
 COVERING SUCH VEHICLE ON THE DATE OF THE VIOLATION, WITH  THE  NAME  AND
 ADDRESS  OF  THE  LESSEE CLEARLY LEGIBLE, WITHIN THIRTY-SEVEN DAYS AFTER
 RECEIVING NOTICE FROM THE COURT OF THE DATE AND TIME OF SUCH  VIOLATION,
 TOGETHER  WITH THE OTHER INFORMATION CONTAINED IN THE ORIGINAL NOTICE OF
 LIABILITY.  FAILURE TO SEND SUCH INFORMATION  WITHIN  SUCH  THIRTY-SEVEN
 DAY TIME PERIOD SHALL RENDER THE OWNER LIABLE FOR THE PENALTY PRESCRIBED
 BY  THIS  SECTION. WHERE THE LESSOR COMPLIES WITH THE PROVISIONS OF THIS
 PARAGRAPH, THE LESSEE OF SUCH VEHICLE ON  THE  DATE  OF  SUCH  VIOLATION
 SHALL  BE  DEEMED  TO  BE THE OWNER OF SUCH VEHICLE FOR PURPOSES OF THIS
 SECTION, SHALL BE SUBJECT TO LIABILITY  FOR  THE  VIOLATION  OF  SECTION
 ELEVEN  HUNDRED  SEVENTY  OF  THIS  ARTICLE PURSUANT TO THIS SECTION AND
 SHALL BE SENT A NOTICE OF LIABILITY PURSUANT TO SUBDIVISION (G) OF  THIS
 SECTION.
   2.  (I) IN SUCH POLITICAL SUBDIVISION WHICH HAS AUTHORIZED THE ADJUDI-
 CATION OF LIABILITY IMPOSED UPON OWNERS BY THIS  SECTION  BY  A  PARKING
 VIOLATIONS  BUREAU,  AN  OWNER  WHO  IS A LESSOR OF A VEHICLE TO WHICH A
 NOTICE OF LIABILITY WAS ISSUED  PURSUANT  TO  SUBDIVISION  (G)  OF  THIS
 SECTION  SHALL NOT BE LIABLE FOR THE VIOLATION OF SECTION ELEVEN HUNDRED
 SEVENTY OF THIS ARTICLE, PROVIDED THAT:
   (A) PRIOR TO THE VIOLATION, THE LESSOR HAS FILED WITH  THE  BUREAU  IN
 ACCORDANCE  WITH  THE  PROVISIONS  OF SECTION TWO HUNDRED THIRTY-NINE OF
 THIS CHAPTER; AND
   (B) WITHIN THIRTY-SEVEN DAYS AFTER RECEIVING NOTICE FROM THE BUREAU OF
 THE DATE AND TIME OF A LIABILITY, TOGETHER WITH  THE  OTHER  INFORMATION
 CONTAINED IN THE ORIGINAL NOTICE OF LIABILITY, THE LESSOR SUBMITS TO THE
 BUREAU THE CORRECT NAME AND ADDRESS OF THE LESSEE OF THE VEHICLE IDENTI-
 FIED  IN THE NOTICE OF LIABILITY AT THE TIME OF SUCH VIOLATION, TOGETHER
 WITH SUCH OTHER ADDITIONAL INFORMATION CONTAINED IN THE RENTAL, LEASE OR
 OTHER CONTRACT DOCUMENT, AS MAY BE REASONABLY  REQUIRED  BY  THE  BUREAU
 PURSUANT TO REGULATIONS THAT MAY BE PROMULGATED FOR SUCH PURPOSE.
   (II)  FAILURE  TO  COMPLY  WITH CLAUSE (B) OF SUBPARAGRAPH (I) OF THIS
 PARAGRAPH SHALL RENDER THE OWNER LIABLE FOR THE  PENALTY  PRESCRIBED  IN
 THIS SECTION.
   (III) WHERE THE LESSOR COMPLIES WITH THE PROVISIONS OF THIS PARAGRAPH,
 THE LESSEE OF SUCH VEHICLE ON THE DATE OF SUCH VIOLATION SHALL BE DEEMED
 TO  BE  THE OWNER OF SUCH VEHICLE FOR PURPOSES OF THIS SECTION, SHALL BE
 SUBJECT TO LIABILITY FOR SUCH VIOLATION PURSUANT  TO  THIS  SECTION  AND
 SHALL  BE SENT A NOTICE OF LIABILITY PURSUANT TO SUBDIVISION (G) OF THIS
 SECTION.
   (K) 1. IF THE OWNER LIABLE FOR A VIOLATION OF SECTION  ELEVEN  HUNDRED
 SEVENTY OF THIS ARTICLE PURSUANT TO THIS SECTION WAS NOT THE OPERATOR OF
 THE  VEHICLE  AT  THE  TIME  OF THE VIOLATION, THE OWNER MAY MAINTAIN AN
 ACTION FOR INDEMNIFICATION AGAINST THE OPERATOR.
   2. NOTWITHSTANDING ANY OTHER PROVISION OF THIS SECTION, NO OWNER OF  A
 VEHICLE  SHALL  BE  SUBJECT  TO A MONETARY FINE IMPOSED PURSUANT TO THIS
 SECTION IF THE OPERATOR OF SUCH VEHICLE WAS OPERATING SUCH VEHICLE WITH-
 OUT THE CONSENT OF THE OWNER AT THE TIME SUCH OPERATOR FAILED TO OBEY  A

 S. 2008--B                         60
 
 RAILROAD  SIGN  OR  SIGNAL  INDICATING  THE  APPROACH  OF A TRAIN.   FOR
 PURPOSES OF THIS SUBDIVISION THERE SHALL BE A PRESUMPTION THAT THE OPER-
 ATOR OF SUCH VEHICLE WAS OPERATING SUCH VEHICLE WITH THE CONSENT OF  THE
 OWNER AT THE TIME SUCH OPERATOR FAILED TO OBEY A RAILROAD SIGN OR SIGNAL
 INDICATING THE APPROACH OF A TRAIN.
   (L)  NOTHING IN THIS SECTION SHALL BE CONSTRUED TO LIMIT THE LIABILITY
 OF AN OPERATOR OF A VEHICLE FOR ANY VIOLATION OF SECTION ELEVEN  HUNDRED
 SEVENTY OF THIS ARTICLE.
   (M)  IN  ANY  SUCH  POLITICAL SUBDIVISION WHICH ADOPTS A DEMONSTRATION
 PROGRAM PURSUANT TO SUBDIVISION (A)  OF  THIS  SECTION,  SUCH  POLITICAL
 SUBDIVISION SHALL SUBMIT AN ANNUAL REPORT ON THE RESULTS OF THE USE OF A
 RAILROAD  GRADE CROSSING PHOTO VIOLATION-MONITORING SYSTEM TO THE GOVER-
 NOR, THE TEMPORARY PRESIDENT OF THE SENATE AND THE SPEAKER OF THE ASSEM-
 BLY ON OR BEFORE JUNE FIRST, TWO THOUSAND NINETEEN AND ON THE SAME  DATE
 IN  EACH SUCCEEDING YEAR IN WHICH THE DEMONSTRATION PROGRAM IS OPERABLE.
 SUCH REPORT SHALL INCLUDE, BUT NOT BE LIMITED TO:
   1. A DESCRIPTION OF THE LOCATIONS WHERE RAILROAD GRADE CROSSING  PHOTO
 VIOLATION-MONITORING SYSTEMS WERE USED;
   2.  THE  AGGREGATE  NUMBER, TYPE AND SEVERITY OF ACCIDENTS REPORTED AT
 INTERSECTIONS WHERE A RAILROAD GRADE CROSSING PHOTO VIOLATION-MONITORING
 SYSTEM IS USED FOR THE YEAR PRECEDING THE INSTALLATION OF  SUCH  SYSTEM,
 TO THE EXTENT THE INFORMATION IS MAINTAINED BY THE DEPARTMENT;
   3.  THE  AGGREGATE  NUMBER, TYPE AND SEVERITY OF ACCIDENTS REPORTED AT
 INTERSECTIONS WHERE A RAILROAD GRADE CROSSING PHOTO VIOLATION-MONITORING
 SYSTEM IS USED, TO THE EXTENT  THE  INFORMATION  IS  MAINTAINED  BY  THE
 DEPARTMENT;
   4.  THE  NUMBER  OF  VIOLATIONS  RECORDED AT EACH INTERSECTION WHERE A
 RAILROAD GRADE CROSSING PHOTO VIOLATION-MONITORING SYSTEM IS USED AND IN
 THE AGGREGATE ON A DAILY, WEEKLY AND MONTHLY BASIS;
   5. THE TOTAL NUMBER OF NOTICES  OF  LIABILITY  ISSUED  FOR  VIOLATIONS
 RECORDED BY SUCH SYSTEMS;
   6.  THE  NUMBER  OF  FINES  AND TOTAL AMOUNT OF FINES PAID AFTER FIRST
 NOTICE OF LIABILITY ISSUED FOR VIOLATIONS RECORDED BY SUCH SYSTEMS;
   7. THE NUMBER OF VIOLATIONS ADJUDICATED AND RESULTS  OF  SUCH  ADJUDI-
 CATIONS   INCLUDING  BREAKDOWNS  OF  DISPOSITIONS  MADE  FOR  VIOLATIONS
 RECORDED BY SUCH SYSTEMS;
   8. THE TOTAL AMOUNT OF REVENUE REALIZED BY SUCH POLITICAL  SUBDIVISION
 FROM SUCH ADJUDICATIONS;
   9.  EXPENSES INCURRED BY SUCH POLITICAL SUBDIVISION IN CONNECTION WITH
 THE PROGRAM; AND
   10. QUALITY OF THE ADJUDICATION PROCESS AND ITS RESULTS.
   (N) IT SHALL BE A DEFENSE  TO  ANY  PROSECUTION  FOR  A  VIOLATION  OF
 SECTION  ELEVEN  HUNDRED SEVENTY OF THIS ARTICLE PURSUANT TO A LOCAL LAW
 OR ORDINANCE ADOPTED PURSUANT TO THIS SECTION THAT THE  RAILROAD  SIGNAL
 INDICATIONS WERE MALFUNCTIONING AT THE TIME OF THE ALLEGED VIOLATION.
   § 2. Subdivision 2 of section 87 of the public officers law is amended
 by adding a new paragraph (p) to read as follows:
   (P)  ARE  PHOTOGRAPHS,  MICROPHOTOGRAPHS,  VIDEOTAPE OR OTHER RECORDED
 IMAGES PREPARED UNDER THE AUTHORITY OF SECTION ELEVEN HUNDRED  SEVENTY-A
 OF THE VEHICLE AND TRAFFIC LAW.
   §  3.  This  act shall take effect on the thirtieth day after it shall
 have become a law.
 
                                  PART YY

 S. 2008--B                         61
 
   Section 1. Subdivision 13 of section 401 of the  vehicle  and  traffic
 law,  as  amended by chapter 295 of the laws of 2016, is amended to read
 as follows:
   13. Registration of motor vehicles, trailers and semitrailers operated
 upon  public  highways connecting portions of a farm or farms, municipal
 sanitary landfills, licensed motor vehicle repair shops and the point of
 sale of the vehicle. Motor vehicles, other than motor vehicles  manufac-
 tured  and  equipped  primarily  for  the  transportation of passengers,
 trailers and semitrailers, to be operated by any person, upon  a  public
 highway for the purpose of traveling by the most direct route, but in no
 event further than twenty-five miles one-way from a point on the farm as
 designated  by  the vehicle owner [and set forth in an attachment to the
 vehicle registration], (a) between  fields,  buildings,  and  facilities
 managed  or  operated  as part of a single farm enterprise in connection
 with the production, harvesting, processing or marketing on that farm of
 crops, livestock, or livestock products produced on that  farm;  or  (b)
 for  the  purpose  of  transporting materials from a farm to the nearest
 available municipal sanitary landfill; or (c) for the purpose of  trans-
 porting  the  motor  vehicle,  trailer or semitrailer to a motor vehicle
 repair shop licensed pursuant to this chapter for the repair or  adjust-
 ment  of  equipment provided that, in addition to the route restrictions
 set forth in this subdivision, no such transport shall be authorized (i)
 if such vehicle has an out-of-service defect relating  to  load  secure-
 ment,  brake  systems,  steering  components and/or coupling devices, or
 after it has been placed out-of-service;  (ii)  on  any  limited  access
 highway;  and  (iii)  during the period of one hour before sunset to one
 hour after sunrise; or (d) for the purpose  of  transporting  the  motor
 vehicle,  trailer or semitrailer, at the time of first receipt, from its
 point of sale to a farm, may be registered as provided in this  subdivi-
 sion.  Every  owner  of  such  vehicles may cause to be filed by mail or
 otherwise, with the commissioner or with any agent of the  commissioner,
 an  application  for  registration  of  such  vehicle,  addressed to the
 commissioner, and on a blank to be furnished  by  the  commissioner  for
 that  purpose, containing the information required by subdivision one of
 this section and  such  other  information  as  the  commissioner  shall
 require.  The commissioner or agent shall make such investigation, as he
 or she shall determine necessary, and if satisfied that the  vehicle  is
 to  be  operated exclusively as provided in this subdivision shall, upon
 the payment of a fee of one dollar, assign to such vehicle a distinctive
 number and issue and deliver to the applicant a set of number plates and
 a certificate of registration in such form  as  the  commissioner  shall
 prescribe,  indicating the extent to which the vehicle registered may be
 operated on the public highways and such vehicle may be operated only as
 so indicated. For the purposes of this subdivision, the terms "farm" and
 "crops, livestock or livestock products," shall have the same meaning as
 "land used in agricultural production" and "crops, livestock  and  live-
 stock  products,"  respectively, as defined in section three hundred one
 of the agriculture and markets law, except that farmers with an  average
 gross  sales  value  of at least one thousand dollars per year of crops,
 livestock, and livestock products shall be eligible to register vehicles
 pursuant to this subdivision.
   § 2. This act shall take effect immediately.
 
                                  PART ZZ

 S. 2008--B                         62
 
   Section 1. Toll advisory task force. 1. The commissioner of  transpor-
 tation  and  the  chairman of the New York state thruway authority shall
 convene a toll advisory  task  force  to  review  toll  rates,  commuter
 discount  options,  resident  discount  programs  and commercial vehicle
 rates in order to ensure affordable travel on the toll roads and bridges
 within the state.
   2.  Such task force shall consist of eight members. Such members shall
 be as follows: two  members  appointed  by  the  governor;  two  members
 appointed  by  the  temporary  president  of  the  senate;  two  members
 appointed by the speaker of the assembly; the commissioner of  transpor-
 tation,  or  his or her designee; and the chairman of the New York state
 thruway authority, or his or her designee.
   3. The task force shall be co-chaired by the commissioner of transpor-
 tation and the chairman of the New  York  state  thruway  authority,  or
 their designees.
   4.  The goals of the task force shall include, but are not limited to,
 the study and evaluation of:
   (a) current toll rates;
   (b) commuter discount programs;
   (c) resident discount programs;
   (d) rates issued for commercial vehicles; and
   (e) potential toll increases as related to  funding  for  the  New  NY
 bridge.
   5.  The  task  force  shall  hold  monthly public hearings. During the
 public hearings, the task force shall hear the  testimony  of  voluntary
 witnesses,  may  compel  the testimony of witnesses, and may require the
 production of any documents the task force deems reasonably necessary to
 carry out its responsibilities.
   6. The task force shall make a report to the governor and the legisla-
 ture of its findings,  conclusions  and  recommendations  on  or  before
 September 1, 2018.
   § 2. This act shall take effect immediately.
 
                                 PART AAA
 
   Section  1.  Section 1620 of the vehicle and traffic law is amended by
 adding a new subdivision (a-1) to read as follows:
   (A-1) NOTWITHSTANDING  THE  PROVISIONS  OF  SUBDIVISION  (A)  OF  THIS
 SECTION  OR ANY OTHER PROVISION OF LAW AUTHORIZING CITIES HAVING A POPU-
 LATION OF ONE MILLION OR MORE TO ESTABLISH MAXIMUM SPEED LIMITS ON STATE
 HIGHWAYS, THE DEPARTMENT OF TRANSPORTATION  SHALL  ESTABLISH  A  MAXIMUM
 SPEED  LIMIT  OF THIRTY MILES PER HOUR ON STATE ROUTE NINE HUNDRED EIGHT
 H, BETTER KNOWN AS "OCEAN PARKWAY", IN THE COUNTY OF KINGS.
   § 2. This act shall take effect on the thirtieth day  after  it  shall
 have become a law.
 
                                 PART BBB

   Section 1. Section 73-d of the transportation law, as amended by chap-
 ter 562 of the laws of 1987, is amended to read as follows:
   § 73-d. Interagency coordinating committee on rural public transporta-
 tion. 1. There is hereby created a committee to be known as the "intera-
 gency  coordinating  committee  on  rural  public transportation", to be
 comprised of nineteen members. The commissioner or his or  her  designee
 shall  serve as chairperson. Twelve of such members shall be the follow-
 ing or his or her duly designated representative: the  director  of  the

 S. 2008--B                         63
 
 office for the aging; the commissioner of education; the commissioner of
 labor;  the  commissioner  of  health; the commissioner of the office of
 mental  health;  THE  COMMISSIONER  OF  THE  OFFICE  OF  ALCOHOLISM  AND
 SUBSTANCE  ABUSE;  the commissioner of the office [of mental retardation
 and] FOR PEOPLE WITH developmental  disabilities;  the  commissioner  of
 [social services; state advocate for the disabled] THE OFFICE FOR TEMPO-
 RARY  AND  DISABILITY ASSISTANCE; THE EXECUTIVE DIRECTOR OF THE NEW YORK
 STATE JUSTICE CENTER FOR THE PROTECTION OF PEOPLE  WITH  SPECIAL  NEEDS;
 THE  secretary  of  state; THE commissioner of agriculture and markets[;
 the director of the office of rural affairs] and the  [director  of  the
 division  for  youth]  COMMISSIONER OF THE OFFICE OF CHILDREN AND FAMILY
 SERVICES. Six additional members, all of whom  shall  be  transportation
 providers or consumers representing rural counties shall be appointed to
 serve  a  term of three years as follows: two by the [president pro-tem-
 pore] TEMPORARY PRESIDENT of the senate,  two  by  the  speaker  of  the
 assembly,  one  by  the  minority  leader  of the senate, and one by the
 minority leader of the assembly. Efforts shall  be  made  to  provide  a
 broad  representation  of  consumers  and  providers  of  transportation
 services in rural counties when making such appointments.   [Members  of
 the committee shall receive no salary.] THE SIX MEMBERS APPOINTED BY THE
 LEGISLATURE,  AS  WELL AS THE COMMISSIONER OR HIS OR HER DESIGNEE, SHALL
 BE THE VOTING MEMBERS. THE BALANCE OF THE COMMITTEE  WILL  SERVE  IN  AN
 ADVISORY  OR  CONSULTING  CAPACITY. THE COMMITTEE SHALL KEEP A RECORD OF
 ITS OFFICIAL ACTIONS.
   The commissioner shall cause the department to provide  staff  assist-
 ance  necessary for the efficient and effective operation of the commit-
 tee.
   2. The committee shall[:] MEET AT LEAST ONCE EVERY  THREE  MONTHS  AND
 SHALL  REPORT TO THE SPEAKER OF THE ASSEMBLY, THE TEMPORARY PRESIDENT OF
 THE SENATE, AND THE GOVERNOR  ANNUALLY,  BEGINNING  OCTOBER  FIRST,  TWO
 THOUSAND SEVENTEEN. THE ANNUAL REPORT SHALL:
   A.  IDENTIFY EXISTING RURAL TRANSPORTATION SYSTEMS AND PROVIDE DATA ON
 RIDERSHIP, REVENUE, AND FINANCIAL CHALLENGES FOR EACH SYSTEM;
   B. IDENTIFY RURAL POPULATIONS CURRENTLY UTILIZING  PUBLIC  TRANSPORTA-
 TION,  AS  WELL  AS POPULATIONS IN NEED OF PUBLIC TRANSPORTATION WITHOUT
 ACCESS,  AND  DISCUSS  RECOMMENDATIONS  FOR  MAINTAINING  AND  EXPANDING
 SERVICES;
   C. INCLUDE A BREAKDOWN BY COUNTY OF COST SAVINGS, MODES OF TRANSPORTA-
 TION  PROVIDED  TO MEDICAID PATIENTS, AND RATES OF UTILIZATION OF PUBLIC
 TRANSPORTATION BY MEDICAID PATIENTS;
   D. identify programs and the annual amounts and sources of funds  from
 such  programs  that  are  eligible  to be used to support a coordinated
 public transportation service, and the annual  amounts  and  sources  of
 such  funds  that  are  actually  used  for client transportation or for
 transportation of persons in connection with agency-affiliated  programs
 or services; such data shall be provided on a county basis;
   [b.]  E. identify restrictions on existing programs that inhibit funds
 from such programs being used to pay for a coordinated public  transpor-
 tation service in rural counties;
   [c.]  F.  recommend changes in state or local laws or regulations that
 would improve the coordination of funds, facilities, vehicles or  equip-
 ment and other resources used for transportation at the local level[;
   d.  upon  request, compile and forward to the commissioner any data or
 other information required by this section].
   3. THE COMMITTEE SHALL BE  REQUIRED  TO  EXAMINE  REIMBURSEMENT  RATES
 DEVELOPED  BY  TRANSPORTATION  MANAGERS  PURSUANT TO SUBDIVISION FOUR OF

 S. 2008--B                         64

 SECTION THREE HUNDRED SIXTY-FIVE-H OF THE SOCIAL SERVICES LAW FOR  COUN-
 TIES  WITH  A  POPULATION OF TWO HUNDRED THOUSAND OR LESS. THE COMMITTEE
 SHALL SUBMIT RECOMMENDATIONS FOR PROPOSED AND EFFECTIVE RATES FOR  RURAL
 COMMUNITIES  TO  THE COMMISSIONER OF HEALTH WITH RECOMMENDATIONS INCLUD-
 ING, BUT NOT LIMITED TO, ADJUSTMENTS TO INDIVIDUAL RIDERSHIP  FARES  FOR
 PUBLIC TRANSPORTATION UTILIZATION, RATES FOR LOW-COST COORDINATED TRANS-
 PORTATION  WITH  OTHER  HUMAN  SERVICE  AGENCIES,  AND RATES FOR PRIVATE
 TRANSPORTATION WITH CONSIDERATIONS OF AVAILABILITY AND COST SAVINGS.
   THE COMMISSIONER OF HEALTH SHALL CONSULT WITH THE COMMITTEE  PRIOR  TO
 APPROVAL  OF  RATES  PROPOSED  UNDER  SUBDIVISION  FOUR OF SECTION THREE
 HUNDRED SIXTY-FIVE-H OF THE SOCIAL SERVICES  LAW  FOR  COUNTIES  WITH  A
 POPULATION  OF  TWO  HUNDRED  THOUSAND  OR LESS. ANY PROPOSAL FOR A RATE
 ADJUSTMENT FOR RURAL COMMUNITIES AFTER APPROVAL SHALL BE EXAMINED BY THE
 COMMITTEE PRIOR TO APPROVAL BY THE COMMISSIONER.
   4. A MAJORITY OF THE WHOLE NUMBER OF VOTING MEMBERS OF  THE  COMMITTEE
 SHALL  CONSTITUTE  A QUORUM FOR THE TRANSACTION OF THE COMMITTEE'S BUSI-
 NESS. THE COMMITTEE SHALL HAVE THE POWER TO ACT BY A  MAJORITY  VOTE  OF
 THE  VOTING  MEMBERS.  COMMITTEE  MEMBERS  SHALL HOLD OFFICE UNTIL THEIR
 SUCCESSORS HAVE BEEN APPOINTED AND  HAVE  QUALIFIED.  THE  SELECTION  OF
 SUCCESSORS  TO  FILL A VACANCY SHALL BE MADE IN THE SAME MANNER IN WHICH
 THE RETIRING COMMITTEE MEMBERS SHALL HAVE BEEN SELECTED.  MEMBERS OF THE
 COMMITTEE SHALL RECEIVE NO SALARY OR OTHER COMPENSATION,  BUT  SHALL  BE
 ENTITLED  TO  THEIR  ACTUAL  AND NECESSARY EXPENSES, INCLUDING TRAVELING
 EXPENSES INCURRED IN THE DISCHARGE OF THEIR DUTIES.
   § 2. This act shall take effect immediately.
 
                                 PART CCC
 
   Section 1. The opening paragraph of subdivision 5-a of  section  340-b
 of  the  highway  law,  as amended by chapter 30 of the laws of 1987, is
 amended to read as follows:
   The commissioner of transportation and the city of  New  York,  acting
 through  the  mayor  or other administrative head thereof, pursuant to a
 resolution of the governing body of such city, are authorized  to  enter
 into  a  written  agreement  for  the  maintenance and repair, under the
 supervision and subject to the approval of the commissioner of transpor-
 tation, of any state interstate highway or portion thereof, exclusive of
 service roads and pavement on  intersecting  street  bridges,  which  is
 within the boundaries of such city and which is now or which shall here-
 after be designated in section three hundred forty-a of this chapter and
 which  has  been  constructed  or  which  shall have been constructed as
 authorized by section three hundred forty-a of this chapter. Such agree-
 ment may provide that the state shall pay annually to such city a sum to
 be computed at the rate of (a) not more than  [eighty-five]  ONE  DOLLAR
 AND  SEVENTY-SEVEN  cents  per  square yard of the pavement area that is
 included in the state highway system according to the provisions of this
 section, and (b) an additional [ten] TWENTY cents  per  square  yard  of
 such  pavement  area where such pavement area is located on any elevated
 bridge, SUCH RATE SHALL BE INCREASED IN EACH YEAR OF  THE  AGREEMENT  BY
 THE  PERCENTAGE CHANGE IN THE CONSUMER PRICE INDEX FOR ALL URBAN CONSUM-
 ERS (CPI-U), NEW YORK-NORTHERN NEW JERSEY-LONG ISLAND,  NY-NJ-CT-PA,  AS
 PUBLISHED  BY  THE  UNITED  STATES  DEPARTMENT  OF LABOR BUREAU OF LABOR
 STATISTICS, OVER THE PRIOR FIVE YEARS.
   § 2. The opening paragraph of subdivision 7 of section  349-c  of  the
 highway law, as amended by chapter 30 of the laws of 1987, is amended to
 read as follows:

 S. 2008--B                         65
 
   The commissioner of transportation and any city named in this article,
 acting  through the mayor or other administrative head thereof, pursuant
 to a resolution of the governing body of such city except  the  city  of
 New York, are authorized to enter into a written agreement for the main-
 tenance and repair, under the supervision and subject to the approval of
 the  commissioner,  of  any public street, main route or thoroughfare or
 portion thereof, exclusive of service roads and pavement on intersecting
 street bridges, which is within the boundaries of such city and which is
 now or which shall hereafter be designated in this article and which has
 been constructed or which shall have been constructed as  authorized  by
 [articles]  THIS ARTICLE AND ARTICLE four [and twelve-B] of this chapter
 and with grants made available by the federal government pursuant to the
 federal aid highway act of nineteen hundred forty-four, being public law
 five hundred twenty-one of  the  seventy-eighth  congress,  chapter  six
 hundred  twenty-six, second session, as approved on the twentieth day of
 December, nineteen hundred forty-four. Such agreement may  provide  that
 the  state  shall  pay annually to such city a sum to be computed at the
 rate of (a) not more than [eighty-five]  ONE  DOLLAR  AND  SEVENTY-SEVEN
 cents per square yard of the pavement area that is included in the state
 highway  system  according to the provisions of this section, and (b) an
 additional [ten] TWENTY cents per square  yard  of  such  pavement  area
 where  such  pavement  area is located on any elevated bridge, SUCH RATE
 SHALL BE INCREASED IN EACH YEAR  OF  THE  AGREEMENT  BY  THE  PERCENTAGE
 CHANGE  IN THE CONSUMER PRICE INDEX FOR ALL URBAN CONSUMERS (CPI-U), NEW
 YORK-NORTHERN NEW JERSEY-LONG ISLAND, NY-NJ-CT-PA, AS PUBLISHED  BY  THE
 UNITED  STATES  DEPARTMENT OF LABOR BUREAU OF LABOR STATISTICS, OVER THE
 PRIOR FIVE YEARS.
   § 3. This act shall take effect immediately; provided,  however,  that
 section  one  of  this act shall take effect on the same date and in the
 same manner as a chapter of the laws of 2017 amending the general munic-
 ipal law and the municipal home rule law, relating  to  limitation  upon
 real  property  tax levies in cities with a population of one million or
 more, as proposed in legislative bill number S. 2006-B, takes effect.
 
                                 PART DDD
 
   Section 1. Paragraph b of subdivision 2 of section 510 of the  vehicle
 and  traffic law is amended by adding a new subparagraph (xviii) to read
 as follows:
   (XVIII) FOR A PERIOD OF SIXTY DAYS WHERE THE HOLDER HAS BEEN CONVICTED
 OF TWO VIOLATIONS, COMMITTED WITHIN A  PERIOD  OF  EIGHTEEN  MONTHS,  OF
 SUBDIVISION (C) OF SECTION ELEVEN HUNDRED EIGHTY OF THIS CHAPTER.
   §  2.  This  act  shall  take  effect  on  the first of September next
 succeeding the date on which it shall have become a law.
 
                                 PART EEE
 
   Section 1. Paragraph (a) of subdivision 1 of section 1197 of the vehi-
 cle and traffic law, as separately amended by chapters 196  and  688  of
 the  laws  of  1996  and subparagraph 3 as amended by chapter 345 of the
 laws of 2007, is amended to read as follows:
   (a) Where a county establishes a special traffic options  program  for
 driving  while  intoxicated,  pursuant to this section, it shall receive
 fines and forfeitures collected by any court, judge, magistrate or other
 officer within that county,  including,  where  appropriate,  a  hearing
 officer  acting  on  behalf  of  the  commissioner[,]:  (1)  imposed for

 S. 2008--B                         66
 
 violations of subparagraphs (ii) and (iii) of paragraph (a) of  subdivi-
 sion  two  or  subparagraph (i) of paragraph (a) of subdivision three of
 section five hundred eleven of this chapter; (2) imposed  in  accordance
 with  the  provisions  of section eleven hundred ninety-three, PARAGRAPH
 (F) OF SUBDIVISION SEVEN OF SECTION ELEVEN HUNDRED NINETY-SIX,  SUBDIVI-
 SION  NINE  OF  SECTION ELEVEN HUNDRED NINETY-EIGHT, and civil penalties
 imposed pursuant to subdivision two of section  eleven  hundred  ninety-
 four-a  of this article, including, where appropriate, a hearing officer
 acting on behalf of the commissioner, from violations of sections eleven
 hundred ninety-two, eleven hundred ninety-two-a and findings made  under
 section  eleven  hundred  ninety-four-a of this article; and (3) imposed
 upon a conviction for: aggravated vehicular assault, pursuant to section
 120.04-a of the penal law; vehicular assault in the first degree, pursu-
 ant to section 120.04 of the penal law; vehicular assault in the  second
 degree,  pursuant to section 120.03 of the penal law; aggravated vehicu-
 lar homicide, pursuant to section 125.14 of  the  penal  law;  vehicular
 manslaughter  in  the  first  degree,  pursuant to section 125.13 of the
 penal law; and vehicular manslaughter in the second degree, pursuant  to
 section 125.12 of the penal law, as provided in section eighteen hundred
 three  of  this  chapter. Upon receipt of these moneys, the county shall
 deposit them in a separate account  entitled  "special  traffic  options
 program  for  driving  while  intoxicated,"  and they shall be under the
 exclusive care, custody, and control of the chief fiscal officer of each
 county participating in the program.
   § 2. The opening paragraph of subdivision 9 of  section  1803  of  the
 vehicle  and traffic law, as amended by chapter 345 of the laws of 2007,
 is amended to read as follows:
   Where a county establishes a special traffic options program for driv-
 ing while intoxicated, approved by the commissioner [of motor vehicles],
 pursuant to section eleven hundred ninety-seven  of  this  chapter,  all
 fines,  penalties  and forfeitures: (A) IMPOSED AND collected [from] FOR
 violations of subparagraphs (ii) and (iii) of paragraph (a) of  subdivi-
 sion  two  or  subparagraph (i) of paragraph (a) of subdivision three of
 section five hundred eleven[, all fines, penalties and  forfeitures]  OF
 THIS CHAPTER; (B) imposed AND COLLECTED in accordance with section elev-
 en  hundred ninety-three of this chapter [collected from] FOR violations
 of section eleven hundred ninety-two of this chapter; [and any fines  or
 forfeitures]  (C)  IMPOSED AND COLLECTED FOR VIOLATIONS OF PARAGRAPH (F)
 OF SUBDIVISION SEVEN OF SECTION ELEVEN HUNDRED NINETY-SIX OF THIS  CHAP-
 TER  OR  FOR  VIOLATIONS  OF  SUBDIVISION NINE OF SECTION ELEVEN HUNDRED
 NINETY-EIGHT OF THIS CHAPTER; (D) collected by any court, judge,  magis-
 trate or other officer imposed upon a conviction for: aggravated vehicu-
 lar  assault,  pursuant  to section 120.04-a of the penal law; vehicular
 assault in the first degree, pursuant to section  120.04  of  the  penal
 law;  vehicular assault in the second degree, pursuant to section 120.03
 of the penal law; aggravated vehicular  homicide,  pursuant  to  section
 125.14  of  the  penal  law; vehicular manslaughter in the first degree,
 pursuant to section 125.13 of the penal law; and vehicular  manslaughter
 in  the  second degree, pursuant to section 125.12 of the penal law; and
 (E) civil penalties imposed pursuant to subdivision two of section elev-
 en hundred ninety-four-a of this chapter, shall be paid to such county.
   § 3. Subdivisions 1 and 2 of section 1809-c of the vehicle and traffic
 law, as added by section 37 of part J of chapter 62 of the laws of 2003,
 are amended to read as follows:
   1. Notwithstanding any other provision of law, whenever proceedings in
 a court of this state result in a conviction pursuant to:   (A)  section

 S. 2008--B                         67
 
 eleven  hundred  ninety-two  of this chapter; (B) SUBPARAGRAPHS (II) AND
 (III) OF PARAGRAPH (A) OF SUBDIVISION TWO OR SUBPARAGRAPH (I)  OF  PARA-
 GRAPH  (A)  OF  SUBDIVISION THREE OF SECTION FIVE HUNDRED ELEVEN OF THIS
 CHAPTER;  (C)  PARAGRAPH  (F)  OF  SUBDIVISION  SEVEN  OF SECTION ELEVEN
 HUNDRED NINETY-SIX OF THIS CHAPTER; OR (D) SUBDIVISION NINE  OF  SECTION
 ELEVEN  HUNDRED  NINETY-EIGHT OF THIS CHAPTER, there shall be levied, in
 addition to any sentence or other surcharge  required  or  permitted  by
 law, an additional surcharge of twenty-five dollars.
   2.  The  additional  surcharge provided for in subdivision one of this
 section shall be paid to the  clerk  of  the  court  that  rendered  the
 conviction.  Within the first ten days of the month following collection
 of the surcharge the collecting authority shall determine the amount  of
 surcharge collected and it shall pay such money to the state comptroller
 who  shall  deposit such money in the state treasury pursuant to section
 one hundred twenty-one of the state finance law to  the  credit  of  the
 general  fund;  PROVIDED, HOWEVER, COMMENCING ON THE FIRST DAY OF APRIL,
 TWO THOUSAND EIGHTEEN AND EVERY FISCAL YEAR THEREAFTER, THE STATE  COMP-
 TROLLER  SHALL  DEPOSIT SUCH MONEY TO THE CREDIT OF THE IMPAIRED DRIVING
 SAFETY FUND PURSUANT TO SECTION EIGHTY-NINE-I OF THE STATE  FINANCE  LAW
 AND SUCH MONEY SHALL BE DISTRIBUTED IN ACCORDANCE WITH THE PROVISIONS OF
 SUCH SECTION.
   §  4. Paragraph b of subdivision 1 and subdivision 2 of section 1809-e
 of the vehicle and traffic law, as added by section  1  of  part  EE  of
 chapter 56 of the laws of 2008, are amended to read as follows:
   b. Notwithstanding any other provision of law, whenever proceedings in
 a  court  of  this state result in a conviction pursuant to: (1) section
 eleven hundred ninety-two of this chapter; (2)  SUBPARAGRAPHS  (II)  AND
 (III)  OF  PARAGRAPH (A) OF SUBDIVISION TWO OR SUBPARAGRAPH (I) OF PARA-
 GRAPH (A) OF SUBDIVISION THREE OF SECTION FIVE HUNDRED  ELEVEN  OF  THIS
 CHAPTER;  (3)  PARAGRAPH  (F)  OF  SUBDIVISION  SEVEN  OF SECTION ELEVEN
 HUNDRED NINETY-SIX OF THIS CHAPTER; OR (4) SUBDIVISION NINE  OF  SECTION
 ELEVEN  HUNDRED  NINETY-EIGHT OF THIS CHAPTER, there shall be levied, in
 addition to any sentence or other surcharge  required  or  permitted  by
 law, an additional surcharge of one hundred seventy dollars.
   2.  The  additional surcharges provided for in subdivision one of this
 section shall be paid to the clerk of the court or administrative tribu-
 nal that rendered the conviction. Within the first ten days of the month
 following collection of such surcharges, the collecting authority  shall
 pay  such  money to the state comptroller to be deposited to the general
 fund; PROVIDED, HOWEVER, COMMENCING ON THE FIRST DAY OF APRIL, TWO THOU-
 SAND EIGHTEEN AND EVERY FISCAL YEAR THEREAFTER,  THE  STATE  COMPTROLLER
 SHALL  DEPOSIT  SUCH  MONEY TO THE CREDIT OF THE IMPAIRED DRIVING SAFETY
 FUND PURSUANT TO SECTION EIGHTY-NINE-I OF THE STATE FINANCE LAW AND SUCH
 MONEY SHALL BE DISTRIBUTED IN ACCORDANCE WITH  THE  PROVISIONS  OF  SUCH
 SECTION.
   §  5. The state finance law is amended by adding a new section 89-i to
 read as follows:
   § 89-I. IMPAIRED DRIVING SAFETY FUND. 1. THERE IS  HEREBY  ESTABLISHED
 IN  THE  CUSTODY  OF  THE COMPTROLLER, A SPECIAL FUND TO BE KNOWN AS THE
 "IMPAIRED DRIVING SAFETY FUND".
   2. SUCH FUND SHALL CONSIST OF ALL MONEYS RECEIVED BY THE STATE FOR THE
 COLLECTION OF SURCHARGES IMPOSED PURSUANT TO SECTIONS  EIGHTEEN  HUNDRED
 NINE-C  AND  EIGHTEEN  HUNDRED NINE-E OF THE VEHICLE AND TRAFFIC LAW AND
 ALL OTHER GRANTS, BEQUESTS OR OTHER  MONEYS  APPROPRIATED,  CREDITED  OR
 TRANSFERRED THERETO FROM ANY OTHER FUND OR SOURCE PURSUANT TO LAW.

 S. 2008--B                         68
 
   3.  MONEYS IN THE IMPAIRED DRIVING SAFETY FUND SHALL BE MADE AVAILABLE
 TO THE DEPARTMENT OF MOTOR VEHICLES ONLY FOR THE COSTS  ASSOCIATED  WITH
 MONITORING  PERSONS  SUBJECT  TO  THE  IGNITION INTERLOCK PROGRAM AS SET
 FORTH IN SECTION ELEVEN HUNDRED NINETY-EIGHT OF THE VEHICLE AND  TRAFFIC
 LAW,  AND  FOR  THE  DISTRIBUTION  OF ANNUAL GRANTS TO ELIGIBLE PROGRAMS
 ESTABLISHED PURSUANT TO SECTION ELEVEN HUNDRED NINETY-SEVEN OF THE VEHI-
 CLE AND TRAFFIC LAW EXCLUSIVELY FOR THE PURPOSES, FUNCTIONS  AND  DUTIES
 SET  FORTH  IN  SECTION  ELEVEN  HUNDRED NINETY-SEVEN OF THE VEHICLE AND
 TRAFFIC LAW.
   4. THE MONEYS OF THE FUND SHALL BE PAID OUT ON THE AUDIT  AND  WARRANT
 OF THE COMPTROLLER ON VOUCHERS CERTIFIED OR APPROVED BY THE COMMISSIONER
 OF  MOTOR  VEHICLES, INCLUDING ADVANCE OF FUNDS, IF NECESSARY, FOR COSTS
 INCURRED BY A COUNTY FOR MONITORING  PERSONS  SUBJECT  TO  THE  IGNITION
 INTERLOCK  PROGRAM.  AT THE END OF EACH YEAR ANY MONEYS REMAINING IN THE
 FUND SHALL BE RETAINED IN THE FUND  EXCLUSIVELY  FOR  THE  PURPOSES  SET
 FORTH  HEREIN AND SHALL NOT REVERT TO THE GENERAL FUND. THE INTEREST AND
 INCOME EARNED ON MONEYS IN THE FUND AFTER DEDUCTING  APPLICABLE  CHARGES
 SHALL BE CREDITED TO THE FUND.
   § 6. This act shall take effect on the first of November next succeed-
 ing the date on which it shall have become a law.
 
                                 PART FFF
 
   Section  1.  The environmental conservation law is amended by adding a
 new section 11-0935 to read as follows:
 § 11-0935. YEARLING BUCK PROTECTION PROGRAM.
   1. DEFINITIONS. A. "ANTLERED DEER" MEANS A  DEER  WITH  AT  LEAST  ONE
 ANTLER MEASURING THREE INCHES OR MORE IN LENGTH.
   B.  "WILDLIFE MANAGEMENT UNIT" MEANS WILDLIFE REGIONS AS DEMARCATED BY
 THE DEPARTMENT.
   2. RESTRICTIONS AND APPLICABILITY. A. ANY PERSON WHO  HUNTS  OR  TAKES
 ANTLERED  DEER  UNDER  A VALID PERMIT OR LICENSE DURING THE BOW HUNTING,
 REGULAR AND MUZZLELOADING DEER SEASONS IS RESTRICTED TO THE  HUNTING  OR
 TAKING  OF  ANTLERED  DEER  WITH AT LEAST ONE ANTLER WITH AT LEAST THREE
 POINTS IN WILDLIFE MANAGEMENT UNITS 3G, 3M, 3N, 3P, 3R, 4B, 4C, 4F,  4H,
 4J,  4K,  4L, 4T, 4U, 4Y, 4Z, 5R, 5S, 5T, 7M, 7P, 6A, 6G, 6H, 6C, 6K AND
 TAKING OF ANTLERED DEER WITH AT LEAST ONE  ANTLER  WITH  AT  LEAST  FOUR
 POINTS  IN WILDLIFE MANAGEMENT UNITS 7R, 7S, 8N, 8P, 8R, 8T, 8W, 8Y, 9G,
 9H, 9J, 9K, 9M, 9N, 9P, 9R, 9S, 9T, 9W, 9X, 9Y, 7A, 7F, 7J, 6P, 6S,  6R,
 AND 4A; EACH POINT MUST BE AT LEAST ONE INCH LONG MEASURED FROM THE MAIN
 ANTLER BEAM.
   B.  THE  YEARLING  BUCK  PROTECTION  PROGRAM APPLIES TO ALL PUBLIC AND
 PRIVATE LAND WITHIN THE WILDLIFE MANAGEMENT  UNITS  SET  FORTH  IN  THIS
 SECTION.
   3.  APPLICABILITY.  THE  RESTRICTIONS  SET FORTH IN THIS SECTION SHALL
 ONLY APPLY TO THE WILDLIFE MANAGEMENT UNITS SET FORTH IN THIS SECTION.
   4. EXEMPTIONS FROM REQUIREMENTS. HUNTERS UNDER THE  AGE  OF  SEVENTEEN
 ARE  EXEMPT  FROM  THE  PROVISIONS OF THIS SECTION AND MAY TAKE ANY DEER
 WITH ANTLER OR ANTLERS MEASURING THREE INCHES OR MORE IN LENGTH.
   § 2. This act shall take effect immediately.
 
                                 PART GGG
 
   Section 1. Paragraph a of subdivision  1,  the  closing  paragraph  of
 paragraph  a  of  subdivision  2,  paragraphs  1 and 2 of subdivision 3,
 subdivision 5 and subdivision 9 of section 11-0701 of the  environmental

 S. 2008--B                         69
 
 conservation  law, paragraph a of subdivision 1 as amended by section 21
 and subdivision 9 as amended by section 17 of part EE of chapter  55  of
 the laws of 2014, the closing paragraph of paragraph a of subdivision 2,
 paragraphs  1  and  2  of  subdivision 3 and subdivision 5 as amended by
 section 1-a of part R of chapter 58 of the laws of 2013, are amended  to
 read as follows:
   a.  entitles  a  holder who is twelve or thirteen years of age to hunt
 wildlife, except big game, as  provided  in  title  9  of  this  article
 subject,  specifically,  to  the  provisions  of section 11-0929 of this
 article. It entitles such holder to  possess  firearms  as  provided  in
 section  265.05  of  the  penal law. [A holder who is twelve or thirteen
 years of age shall not hunt with a crossbow.]
   A holder may take fish with a  longbow  OR  CROSSBOW  as  provided  in
 titles 9 and 13 of this article.
   (1)  who  is between the ages of twelve and sixteen years to hunt wild
 deer and bear with a longbow OR  CROSSBOW  during  the  special  archery
 season  and  during  the  regular season, as provided in title 9 of this
 article, subject to the provisions of section 11-0929 and subdivision  3
 of section 11-0713 of this article;
   (2)  who  is eighteen years of age or older to hunt wild deer and bear
 with a longbow OR CROSSBOW, as provided in title 9 of this article, in a
 special [longbow] ARCHERY season; and
   5. A non-resident bear tag entitles a person who has not been a  resi-
 dent of the state for more than thirty days who also possesses a hunting
 license  to  hunt  bear during the regular open season therefor or in an
 open season fixed by regulation pursuant to subdivision eight of section
 11-0903 of this article. It entitles  a  non-resident  holder  who  also
 possesses  a hunting license with bowhunting privilege to hunt bear with
 a longbow OR CROSSBOW during the open bear season. It entitles a non-re-
 sident holder who also possesses a hunting license  with  muzzle-loading
 privilege to hunt bear with a muzzleloader during the open bear season.
   9. A muzzle-loading privilege when included on a hunting license enti-
 tles  a  holder  who is fourteen years of age or older to hunt wild deer
 and bear with a muzzle-loading firearm [or  crossbow],  as  provided  in
 title 9 of this article, in a special muzzle-loading firearm season.
   §  2.  Paragraph b of subdivision 6 of section 11-0703 of the environ-
 mental conservation law, as amended by section 2 of part R of chapter 58
 of the laws of 2013, is amended to read as follows:
   b. Except as provided in section 11-0707 and section 11-0709  of  this
 title,  no  person  shall  (1) hunt wild deer or bear unless such person
 holds and is entitled to exercise the privileges of a  hunting  license,
 and  meets  the requirements of this article; (2) hunt wild deer or bear
 with a longbow OR CROSSBOW in a special [longbow] ARCHERY season  unless
 such  person holds and is entitled to exercise the privileges of a hunt-
 ing license with a bowhunting privilege and meets  the  requirements  of
 this  article;  or  (3)  hunt  wild  deer  or bear with a muzzle-loading
 firearm in a special muzzle-loading firearm season unless such person is
 at least fourteen years old and holds a hunting license with  a  muzzle-
 loading privilege and meets the requirements of this article.
   §  3.  Subdivision 6 of section 11-0713 of the environmental conserva-
 tion law is REPEALED.
   § 4. Subparagraph 3 of paragraph c of subdivision 3 of section 11-0901
 of the environmental conservation law is REPEALED.
   § 5. Paragraph c of subdivision 3 of section 11-0901 of  the  environ-
 mental  conservation law, as amended by section 19 of part EE of chapter
 55 of the laws of 2014, is amended to read as follows:

 S. 2008--B                         70
 
   c. Wild small game and wild upland game birds shall be taken  only  by
 longbow,  CROSSBOW or gun, or by the use of raptors as provided in title
 10 of this article, except that:
   (1) skunk, raccoon, bobcat, coyote, fox, mink and muskrat may be taken
 in  any manner not prohibited in this section or in title 11 of the Fish
 and Wildlife Law; AND
   (2) frogs may also be taken by spearing, catching with the  hands,  or
 by the use of a club or hook[; and].
   §  6.  Subparagraph 9 of paragraph b and subparagraph 9 of paragraph c
 of subdivision 4 of section 11-0901 of  the  environmental  conservation
 law,  subparagraph  9  of paragraph b as added by section 6 and subpara-
 graph 9 of paragraph c as added by section 7 of part EE of chapter 55 of
 the laws of 2014, are amended to read as follows:
   (9) with a crossbow unless such crossbow shall consist of  a  bow  and
 string,  either  compound  or  recurve, that launches a minimum fourteen
 inch [bolt] ARROW, not including point, mounted  upon  a  stock  with  a
 trigger  that  holds  the string and limbs under tension until released.
 The trigger unit of such crossbow must have a working safety. The [mini-
 mum limb width of such crossbow shall be seventeen inches, have a] mini-
 mum peak draw weight [of] SHALL BE one hundred  pounds  [and  a  maximum
 peak  draw  weight of two hundred pounds]. The minimum overall length of
 such crossbow from buttstock to front  of  limbs  shall  be  twenty-four
 inches.
   (9)  with  a  crossbow unless such crossbow shall consist of a bow and
 string, either compound or recurve, that  launches  a  minimum  fourteen
 inch  [bolt]  ARROW,  not  including  point, mounted upon a stock with a
 trigger that holds the string and limbs under  tension  until  released.
 The trigger unit of such crossbow must have a working safety. The [mini-
 mum limb width of such crossbow shall be seventeen inches, have a] mini-
 mum  peak  draw  weight  [of] SHALL BE one hundred pounds [and a maximum
 peak draw weight of two hundred pounds]. The minimum overall  length  of
 such  crossbow  from  buttstock  to  front of limbs shall be twenty-four
 inches.
   § 7. Subdivision 13 of section 11-0901 of the environmental  conserva-
 tion  law,  as amended by section 23 of part R of chapter 58 of the laws
 of 2013, is amended to read as follows:
   13. Persons engaged in hunting deer and/or bear with a  longbow  OR  A
 CROSSBOW  must possess a current bowhunting privilege or a valid certif-
 icate of qualification in responsible  bowhunting  practices  issued  or
 honored by the department.
   §  8.  Subdivisions  11 and 16 of section 11-0901 of the environmental
 conservation law are REPEALED.
   § 9. Section 11-0903 of the environmental conservation law is  amended
 by adding a new subdivision 12 to read as follows:
   12.  NOTWITHSTANDING  ANY  INCONSISTENT PROVISION OF THIS ARTICLE, THE
 DEPARTMENT IS AUTHORIZED TO ADOPT REGULATIONS WHICH AUTHORIZE THE TAKING
 OF WILDLIFE BY THE USE OF CROSSBOW. A  SUMMARY  OF  REGULATIONS  ADOPTED
 PURSUANT TO THIS SUBDIVISION SHALL BE PUBLISHED EACH YEAR IN THE HUNTING
 SYLLABUS ISSUED PURSUANT TO SECTION 11-0323 OF THIS ARTICLE.
   § 10. Subdivision 10 of section 11-0907 of the environmental conserva-
 tion law is REPEALED.
   §  11. Subdivision 1 of section 11-0929 of the environmental conserva-
 tion law, as amended by section 20 of part EE of chapter 55 of the  laws
 of 2014, is amended to read as follows:
   1.  A  licensee  who is twelve or thirteen years of age shall not hunt
 wildlife with a gun, CROSSBOW or a longbow unless he or she is  accompa-

 S. 2008--B                         71
 
 nied  by  his or her parent or legal guardian, or by a person twenty-one
 years of age or older designated in writing by  his  or  her  parent  or
 legal guardian on a form prescribed by the department, who holds a hunt-
 ing  license.  [A  licensee who is twelve or thirteen years of age shall
 not hunt with a crossbow.]
   § 12. Subparagraph 5 of  paragraph  b  of  subdivision  2  of  section
 11-0929  of the environmental conservation law is  REPEALED and subpara-
 graph 6 is renumbered subparagraph 5.
   § 13. Subparagraph 2 of paragraph a and subparagraph 1 of paragraph  b
 of  subdivision  4  of section 11-0931 of the environmental conservation
 law, as amended by section 8 of part EE of chapter 55  of  the  laws  of
 2014, are amended to read as follows:
   (2)  discharge  a  firearm within five hundred feet, a long bow within
 one hundred fifty feet, or a crossbow within  [two]  ONE  hundred  fifty
 feet  from  a  dwelling  house, farm building or farm structure actually
 occupied or used, school building, school playground, public  structure,
 or occupied factory or church;
   (1) The owner or lessee of the dwelling house, or members of his imme-
 diate  family  actually  residing therein, or a person in his employ, or
 the guest of the owner or lessee of the dwelling house acting  with  the
 consent  of  said owner or lessee, provided however, that nothing herein
 shall be deemed to authorize such persons to discharge a firearm  within
 five hundred feet, a long bow within one hundred fifty feet, or a cross-
 bow  within [two] ONE hundred fifty feet of any other dwelling house, or
 a farm building or farm structure actually occupied or used, or a school
 building or playground, public structure, or occupied factory or church;
   § 14. Section 11-0933 of the environmental conservation law, as  added
 by  section  22 of part EE of chapter 55 of the laws of 2014, is amended
 to read as follows:
 § 11-0933. Taking small game by crossbow.
   Notwithstanding any provision of this chapter, or any  prior  notwith-
 standing  language  in  this article, the department may, by regulation,
 authorize the taking of small game and wild upland game birds by the use
 of a crossbow by any licensed person [fourteen] TWELVE years of  age  or
 older,  in  any small game season[, in any area designated in items (a),
 (b), (c), (d), (e), (f), (i), (k), and (l) of paragraph a of subdivision
 two of section 11-0907 of this title in which a shotgun or muzzle loader
 is permitted].
   § 15. This act shall take effect immediately.
 
                                 PART HHH
 
   Section 1. Section 19-0323 of the environmental conservation  law,  as
 added  by  chapter  629  of the laws of 2006, subdivisions 3, 5 and 7 as
 amended by section 1 of part X of chapter 58 of the laws  of  2016,  and
 subdivisions  6 and 8 as renumbered by section 1 of part C of chapter 59
 of the laws of 2010, is amended to read as follows:
 § 19-0323. Use of ultra low sulfur diesel fuel and best available  tech-
              nology by the state.
   1. As used in this section, the terms:
   a.  "Ultra  low  sulfur  diesel  fuel" means diesel fuel having sulfur
 content of 0.0015 [per cent] PERCENT of sulfur or less.
   b. "Heavy duty vehicle" or "vehicle" means any on and off-road vehicle
 powered by diesel fuel and having a gross vehicle weight of greater than
 8,500 pounds, except that those vehicles defined in  section  [101]  ONE
 HUNDRED  ONE of the vehicle and traffic law, paragraph [2] TWO of sched-

 S. 2008--B                         72

 ule E and paragraph (a) of  schedule  F  of  subdivision  [7]  SEVEN  of
 section  [401]  FOUR  HUNDRED ONE of such law, and vehicles specified in
 subdivision [13] THIRTEEN of section [401] FOUR HUNDRED ONE of such law,
 and  farm  type  tractors and all terrain type vehicles used exclusively
 for agricultural or mowing purposes, or for snow plowing, other than for
 hire, farm equipment, including self-propelled machines used exclusively
 in growing, harvesting or  handling  farm  produce,  and  self-propelled
 caterpillar  or  crawler-type  equipment  while  being  operated  on the
 contract site, and timber harvesting equipment such as harvesters,  wood
 chippers,  forwarders, log skidders, and other processing equipment used
 exclusively off highway for  timber  harvesting  and  logging  purposes,
 shall  not  be  deemed heavy duty vehicles for purposes of this section.
 This term shall not include vehicles that  are  specially  equipped  for
 emergency  response  by  the department, office of emergency management,
 sheriff's office of the department of finance, police department or fire
 department.
   c. "Best available retrofit technology" means technology, verified  by
 the United States environmental protection agency for reducing the emis-
 sion  of pollutants that achieves reductions in particulate matter emis-
 sions at the highest classification level for  diesel  emission  control
 strategies  that is applicable to the particular engine and application.
 Such technology shall also, at a reasonable cost, achieve  the  greatest
 reduction  in  emissions  of  nitrogen oxides at such particulate matter
 reduction level and shall in no event result in a net  increase  in  the
 emissions of either particulate matter or nitrogen oxides.
   d.  "Reasonable cost" means that such technology does not cost greater
 than 30 percent more than other technology applicable to the  particular
 engine  and  application that falls within the same classification level
 for diesel emission control strategies, as set forth in paragraph  c  of
 this  subdivision,  when  considering  the cost of the strategies, them-
 selves, and the cost of installation.
   2. Any diesel powered heavy duty vehicle that is owned by, operated by
 or on behalf of, or leased by a state  agency  and  state  and  regional
 public authority shall be powered by ultra low sulfur diesel fuel.
   3. Any diesel powered heavy duty vehicle that is owned by, operated by
 [or  on  behalf  of,] or leased by a state agency and state and regional
 public authority with more than half of its governing body appointed  by
 the  governor  shall  utilize the best available retrofit technology for
 reducing the emission of pollutants. The commissioner  shall  promulgate
 regulations  for  the implementation of this subdivision specifying that
 all vehicles covered by  this  subdivision  shall  have  best  available
 retrofit  technology  on or before December [31, 2017] THIRTY-FIRST, TWO
 THOUSAND NINETEEN.
   This subdivision shall not apply to any vehicle subject to a lease  or
 public  works  contract  entered  into or renewed prior to the effective
 date of this section.
   4. In addition to other provisions for regulations  in  this  section,
 the commissioner shall promulgate regulations as necessary and appropri-
 ate to carry out the provisions of this act including but not limited to
 provision  for waivers upon written finding by the commissioner that (a)
 best available retrofit technology for reducing the emissions of  pollu-
 tants as required by subdivision [3] THREE of this section is not avail-
 able  for  a  particular vehicle or class of vehicles and (b) that ultra
 low sulfur diesel fuel is not available.
   5. In addition to any waiver which may be issued pursuant to  subdivi-
 sion  four  of  this  section,  the department shall issue a waiver to a

 S. 2008--B                         73
 
 state agency[,] OR a state or regional public authority[,  or  a  person
 operating  any  diesel-powered  heavy  duty vehicle on behalf of a state
 agency, state or regional public authority,] upon a request  in  a  form
 acceptable  to the department for a waiver from the provisions of subdi-
 vision three of this section for a vehicle  engine  provided  that  such
 vehicle  engine will cease to be used in the state on or before December
 thirty-first, two thousand  [eighteen]  TWENTY-TWO.  Any  waiver  issued
 pursuant  to this subdivision shall expire when a state agency[, a state
 or regional public authority, or a person operating  any  diesel-powered
 heavy  duty vehicle on behalf of a state agency,] OR A state or regional
 public authority ceases to use the engine in the  state  but  not  later
 than December thirty-first, two thousand [eighteen] TWENTY-TWO.
   6. This section shall not apply where federal law or funding precludes
 the state from imposing the requirements of this section.
   7.  On or before January [1, 2008] FIRST, TWO THOUSAND EIGHT and every
 year thereafter, the commissioner  shall  report  to  the  governor  and
 legislature  on  the  use  of ultra low sulfur diesel fuel. On or before
 January [1, 2018] FIRST, TWO THOUSAND TWENTY and every year  thereafter,
 the  commissioner shall include in the report to the governor and legis-
 lature the use of the best available  retrofit  technology  as  required
 under  this  section.  The  information  contained  in this report shall
 include, but not be limited to, for each state agency and public author-
 ity covered by this section: (a) the total number of diesel fuel-powered
 motor vehicles owned or operated by such agency and authority;  (b)  the
 number  of  such  motor  vehicles  that were powered by ultra low sulfur
 diesel fuel; (c) the total number of diesel fuel-powered motor  vehicles
 owned  or  operated  by such agency and authority having a gross vehicle
 weight rating of more than 8,500 pounds; (d) the number  of  such  motor
 vehicles that utilized the best available retrofit technology, including
 a breakdown by motor vehicle model, engine year and the type of technol-
 ogy  used  for  each vehicle; (e) the number of such motor vehicles that
 are equipped with an engine certified  to  the  applicable  2007  United
 States  environmental  protection agency standard for particulate matter
 as set forth in section 86.007-11 of title 40 of  the  code  of  federal
 regulations  or to any subsequent United States environmental protection
 agency standard for particulate matter that is at  least  as  stringent;
 and (f) all waivers, findings, and renewals of such findings, which, for
 each  waiver,  shall  include,  but  not  be limited to, the quantity of
 diesel fuel needed to power diesel fuel-powered motor vehicles owned  or
 operated  by  such agency and authority; specific information concerning
 the availability of ultra low sulfur diesel fuel.
   8. The department shall, to the extent  practicable,  coordinate  with
 regions  which  have  proposed or adopted heavy duty emission inspection
 programs to promote regional consistency in such programs.
   § 2. This act shall take effect immediately.
 
                                 PART III
 
   Section 1. Subparagraph 3 of paragraph b of subdivision 3  of  section
 11-0713  of  the environmental conservation law, as amended by section 3
 of part R of chapter 58 of the laws of  2013,  is  amended  to  read  as
 follows:
   (3)  The issuing officer shall not issue a muzzle-loading privilege to
 any person unless the applicant presents a  hunting  license  issued  to
 that  person  for  the  corresponding license year and such person is at
 least [fourteen] TWELVE years old.

 S. 2008--B                         74
 
   § 2. Paragraph b of subdivision 6 of section 11-0703 of  the  environ-
 mental conservation law, as amended by section 2 of part R of chapter 58
 of the laws of 2013, is amended to read as follows:
   b.  Except  as provided in section 11-0707 and section 11-0709 of this
 title, no person shall (1) hunt wild deer or  bear  unless  such  person
 holds  and  is entitled to exercise the privileges of a hunting license,
 and meets the requirements of this article; (2) hunt wild deer  or  bear
 with  a longbow in a special longbow season unless such person holds and
 is entitled to exercise the privileges  of  a  hunting  license  with  a
 bowhunting  privilege and meets the requirements of this article; or (3)
 hunt wild deer or bear  with  a  muzzle-loading  firearm  in  a  special
 muzzle-loading  firearm season unless such person is at least [fourteen]
 TWELVE years old and holds a hunting license with a muzzle-loading priv-
 ilege and meets the requirements of this article.
   § 3. Subdivisions 1 and 2 of  section  11-0929  of  the  environmental
 conservation  law,  subdivision 1 as amended by section 20 of part EE of
 chapter 55 of the laws of 2014, subdivision 2 as amended by  section  13
 of part R of chapter 58 of the laws of 2013, paragraph a and the opening
 paragraph  of  paragraph  b of subdivision 2 as amended by section 11 of
 part EE of chapter 55 of the laws of 2014 and subparagraph  6  of  para-
 graph  b of subdivision 2 as amended by chapter 192 of the laws of 2016,
 are amended to read as follows:
   1. A licensee who is twelve or thirteen years of age  shall  not  hunt
 wildlife  with a gun or a longbow unless he or she is accompanied by his
 or her parent or legal guardian, or by a person twenty-one years of  age
 or older designated in writing by his or her parent or legal guardian on
 a  form  prescribed  by  the department, who holds a hunting license. [A
 licensee who is twelve or thirteen years of age shall not  hunt  with  a
 crossbow.]
   2. A licensee who is fourteen or fifteen years of age shall not[:
   a.]  hunt  wildlife  with  a gun, crossbow or longbow, other than wild
 deer or bear as provided in [paragraph  b]  SUBDIVISION  THREE  of  this
 [subdivision]  SECTION,  unless  he  or she is accompanied by his or her
 parent or legal guardian holding a hunting license, or by a person eigh-
 teen years of age or older, designated in writing by his or  her  parent
 or legal guardian, holding such license;
   [b.]  3. A LICENSEE WHO IS TWELVE, THIRTEEN, FOURTEEN OR FIFTEEN YEARS
 OF AGE, SHALL NOT hunt wild deer or bear with a crossbow or gun unless:
   [(1)] A. he or she is accompanied by his or  her  parent  or  a  legal
 guardian,  or  a  youth  mentor  who is twenty-one years of age or older
 designated in writing by the parent or legal guardian of the licensee on
 a form prescribed by the department; and
   [(2)] B. such parent, guardian or youth mentor has had at least  three
 years of experience in hunting big game; and
   [(3)]  C.  such  parent,  guardian  or  youth  mentor  holds a hunting
 license; and
   [(4)] D. such parent, guardian  or  youth  mentor  maintains  physical
 control  over  the  minor  he  or she is accompanying at all times while
 hunting; and
   [(5)] E. such parent, guardian or youth mentor and the minor he or she
 is accompanying remain at ground level at all times while hunting; and
   [(6)] F. such parent, guardian or youth mentor and the minor he or she
 is accompanying shall each display either a minimum total of two hundred
 fifty square inches of solid fluorescent orange  or  pink  or  patterned
 fluorescent  orange  or  pink  consisting  of no less than fifty percent
 fluorescent orange or pink material worn above  the  waist  and  visible

 S. 2008--B                         75
 
 from  all directions, or a hat or cap with no less than fifty percent of
 the exterior consisting of solid fluorescent orange or pink material and
 visible from all directions. For purposes of this  paragraph,  "physical
 control"  shall  mean  that  the  physical proximity of the minor to the
 parent, guardian or youth mentor is such that the  parent,  guardian  or
 youth   mentor  is  reasonably  able  to  issue  verbal  directions  and
 instructions, maintain constant visual contact,  and  otherwise  provide
 guidance and supervision to the minor.
   §  4.  Paragraph a of subdivision 1 of section 11-0701 of the environ-
 mental conservation law, as amended by section 21 of part EE of  chapter
 55 of the laws of 2014, is amended to read as follows:
   a.  entitles  a  holder who is twelve or thirteen years of age to hunt
 wildlife, [except big game,] as provided in  title  9  of  this  article
 subject,  specifically,  to  the  provisions  of section 11-0929 of this
 article. It entitles such holder to  possess  firearms  as  provided  in
 section  265.05  of  the  penal law. [A holder who is twelve or thirteen
 years of age shall not hunt with a crossbow.]
   § 5. Subparagraph 3 of paragraph c of subdivision 3 of section 11-0901
 of the environmental conservation law, as amended by section 19 of  part
 EE of chapter 55 of the laws of 2014, is amended to read as follows:
   (3)  crossbows  may  be  used but only by licensees who are [fourteen]
 TWELVE years of age or older.
   § 6. Section 11-0933 of the environmental conservation law,  as  added
 by  section  22 of part EE of chapter 55 of the laws of 2014, is amended
 to read as follows:
 § 11-0933. Taking small game by crossbow.
   Notwithstanding any provision of this chapter, or any  prior  notwith-
 standing  language  in  this article, the department may, by regulation,
 authorize the taking of small game and wild upland game birds by the use
 of a crossbow by any licensed person [fourteen] TWELVE years of  age  or
 older,  in  any  small game season, in any area designated in items (a),
 (b), (c), (d), (e), (f), (i), (k), and (l) of paragraph a of subdivision
 two of section 11-0907 of this title in which a shotgun or muzzle loader
 is permitted.
   § 7. This act shall take effect immediately.
 
                                 PART JJJ
 
   Section 1. Paragraph (a) of subdivision 4 of section 174 of the  navi-
 gation  law, as amended by section 1 of part X of chapter 58 of the laws
 of 2015, is amended to read as follows:
   (a) The license fee shall be nine and one-half cents per barrel trans-
 ferred, UNLESS THE MAJOR FACILITY IS LOCATED WITHIN ONE MILE OF A FACIL-
 ITY IN AN ADJOINING STATE, WHICH IF SUCH FACILITY IN ANOTHER  STATE  WAS
 LOCATED  IN THIS STATE WOULD BE A MAJOR FACILITY, THEN SUCH FEE SHALL BE
 ONE CENT PER BARREL TRANSFERRED, provided, however, that the fee on  any
 barrel,  including  any  products derived therefrom, subject to multiple
 transfer, shall be imposed only once at the  point  of  first  transfer.
 Provided further, the license fee for major facilities that (i) transfer
 barrels  for their own use, and (ii) do not sell or transfer the product
 subject to such license fee, shall be eight cents. In each  fiscal  year
 following  any  year  in which the balance of the account established by
 paragraph (a) of subdivision two of section one hundred seventy-nine  of
 this  article  equals  or  exceeds forty million dollars, no license fee
 shall be imposed unless (a) the current balance in such account is  less
 than  thirty-five  million  dollars  or  (b) pending claims against such

 S. 2008--B                         76
 
 account exceed fifty percent of the existing balance of such account. In
 the event of either such occurrence and upon  certification  thereof  by
 the  state  comptroller,  the administrator shall within ten days of the
 date  of  such  certification reimpose the license fee, which shall take
 effect on the first day of the month following such relevy. The rate may
 be set at less than nine and one-half cents per  barrel  transferred  if
 the  administrator  determines  that  the revenue produced by such lower
 rate shall be sufficient to pay outstanding claims against such  account
 within  one  year  of  such  imposition  of the license fee. Should such
 account exceed forty million dollars,  as  a  result  of  interest,  the
 administrator  and  the commissioner of environmental conservation shall
 report to the legislature and the governor concerning  the  options  for
 the  use  of  such interest. The fee established by this paragraph shall
 not be imposed upon any barrel which is  transferred  to  a  land  based
 facility  but  thereafter  exported  from this state for use outside the
 state and is shipped to  facilities  outside  the  state  regardless  of
 whether the delivery or sale of such petroleum occurs in this state.
   §  2. Subdivision 4 of section 174 of the navigation law is amended by
 adding a new paragraph (e) to read as follows:
   (E) NOTWITHSTANDING PARAGRAPH (D) OF THIS SUBDIVISION,  THE  SURCHARGE
 ESTABLISHED  BY  PARAGRAPH (B) OF THIS SUBDIVISION SHALL BE ONE AND ONE-
 HALF CENTS PER BARREL FOR ANY BARREL THAT IS TRANSFERRED  INTO  A  MAJOR
 FACILITY  LOCATED  WITHIN  ONE MILE OF A FACILITY IN AN ADJOINING STATE,
 WHICH IF SUCH FACILITY IN ANOTHER STATE WAS LOCATED IN THIS STATE  WOULD
 BE  A  MAJOR  FACILITY,  AND THEREAFTER EXPORTED FROM THIS STATE FOR USE
 OUTSIDE THE STATE AS DESCRIBED BY PARAGRAPH (A) OF THIS SUBDIVISION.
   § 3. This act shall take effect immediately.
 
                                 PART KKK
 
   Section 1. Paragraph d of subdivision 3  of  section  33-0905  of  the
 environmental  conservation  law,  as  amended by section 1 of part U of
 chapter 59 of the laws of 2004, is amended to read as follows:
   d. Except as provided in [paragraphs] PARAGRAPH  e  [and  f]  of  this
 subdivision,  pesticide  applicator  certifications  shall  be valid for
 three years after which every applicator shall  recertify  according  to
 the  requirements  then  in  effect.  Certification identification cards
 shall be valid for three years.
   § 2. Paragraph f of subdivision 3 of section 33-0905 of  the  environ-
 mental conservation law is REPEALED.
   §  3.  Subdivision 2 of section 33-0911 of the environmental conserva-
 tion law, as amended by section 3 of part YY of chapter 59 of  the  laws
 of 2009, is amended to read as follows:
   2.  [a.  Except  as provided in paragraph b of this subdivision, fees]
 FEES for pesticide applicator certification shall be four hundred  fifty
 dollars  for  commercial pesticide applicator certification in one indi-
 vidual category, one hundred fifty dollars for each additional  category
 and  one  hundred fifty dollars for each additional sub-category chosen.
 For private applicators a fee of twenty-five  dollars  for  the  initial
 certified private applicator and five dollars for subsequent applicators
 on  the  same  farm  or business shall be charged at the time of initial
 certification, renewal of certification or recertification.
   [b. Fees for  pesticide  applicator  certification  for  a  commercial
 pesticide  applicator  with only subcategory 3A-ornamentals, shade trees
 and turf or only subcategory 3B-turf shall be two hundred dollars.]

 S. 2008--B                         77
 
   § 4. This act shall take effect immediately and shall apply to certif-
 ications issued on or after such date.
 
                                 PART LLL
 
   Section  1.  The  economic  development law is amended by adding a new
 section 233 to read as follows:
   § 233. REGIONAL ECONOMIC DEVELOPMENT COUNCILS. 1. THE  GOVERNOR  SHALL
 ESTABLISH  TEN  REGIONAL  ECONOMIC DEVELOPMENT COUNCILS, ONE FOR EACH OF
 THE FOLLOWING REGIONS OF THE STATE:
   (A) LONG ISLAND (WHICH CONSISTS OF SUFFOLK AND NASSAU COUNTIES);
   (B) THE CITY OF NEW YORK (WHICH CONSISTS OF BRONX, NEW  YORK,  QUEENS,
 KINGS, AND RICHMOND COUNTIES);
   (C)  THE MID-HUDSON REGION (WHICH CONSISTS OF SULLIVAN, ULSTER, DUTCH-
 ESS, ORANGE, PUTNAM, WESTCHESTER, AND ROCKLAND COUNTIES);
   (D) THE SOUTHERN TIER (WHICH CONSISTS OF STEUBEN, SCHUYLER,  TOMPKINS,
 CHEMUNG, TIOGA, CHENANGO, BROOME, AND DELAWARE COUNTIES);
   (E)  THE CAPITAL REGION (WHICH CONSISTS OF WARREN, WASHINGTON, SARATO-
 GA, SCHENECTADY, RENSSELAER, ALBANY, COLUMBIA, AND GREENE COUNTIES);
   (F) THE MOHAWK VALLEY (WHICH CONSISTS  OF  ONEIDA,  HERKIMER,  FULTON,
 MONTGOMERY, OTSEGO, AND SCHOHARIE COUNTIES);
   (G)  THE  NORTH  COUNTRY  (WHICH  CONSISTS  OF  CLINTON, FRANKLIN, ST.
 LAWRENCE, JEFFERSON, LEWIS, HAMILTON, AND ESSEX COUNTIES);
   (H) THE CENTRAL REGION (WHICH CONSISTS OF  OSWEGO,  CAYUGA,  ONONDAGA,
 MADISON, AND CORTLAND COUNTIES);
   (I) THE FINGER LAKES REGION (WHICH CONSISTS OF ORLEANS, MONROE, WAYNE,
 GENESEE, WYOMING, LIVINGSTON, ONTARIO, SENECA, AND YATES COUNTIES); AND
   (J)  THE  WESTERN REGION (WHICH CONSISTS OF NIAGARA, ERIE, CHAUTAUQUA,
 CATTARAUGUS, AND ALLEGANY COUNTIES).
   2. EACH REGIONAL ECONOMIC DEVELOPMENT COUNCIL SHALL  DEVELOP  A  LONG-
 TERM  STRATEGIC  PLAN  FOR ECONOMIC GROWTH WITHIN ITS REGION BY DECEMBER
 THIRTY-FIRST, TWO THOUSAND SEVENTEEN.
   3. THE MEMBERS OF EACH REGIONAL ECONOMIC DEVELOPMENT COUNCIL SHALL  BE
 LOCAL EXPERTS AND STAKEHOLDERS FROM BUSINESSES, ACADEMIA, MUNICIPALITIES
 AND  NON-GOVERNMENTAL  ORGANIZATIONS  WITHIN  THE  REGION. EACH REGIONAL
 ECONOMIC DEVELOPMENT COUNCIL SHALL BE COMPRISED  OF  TWENTY-FOUR  VOTING
 MEMBERS  APPOINTED  BY  THE  GOVERNOR, FOUR ON THE RECOMMENDATION OF THE
 TEMPORARY PRESIDENT OF THE SENATE, FOUR ON  THE  RECOMMENDATION  OF  THE
 SPEAKER OF THE ASSEMBLY, TWO ON THE RECOMMENDATION OF THE MINORITY LEAD-
 ER  OF  THE SENATE, AND TWO ON THE RECOMMENDATION OF THE MINORITY LEADER
 OF THE ASSEMBLY. ALL VOTING MEMBERS SHALL SERVE TERMS OF FOUR YEARS  AND
 MAY  SERVE  NO  MORE  THAN  TWO  CONSECUTIVE TERMS.   THE GOVERNOR SHALL
 APPOINT THE CHAIR OR CO-CHAIRS OF  EACH  REGIONAL  ECONOMIC  DEVELOPMENT
 COUNCIL, WHO MAY SERVE IN SUCH CAPACITY FOR NO MORE THAN FOUR YEARS.
   4.  ALL  MEMBERS  OF  REGIONAL  ECONOMIC DEVELOPMENT COUNCILS SHALL BE
 SUBJECT TO THE PROVISIONS OF SECTION SEVENTY-FOUR OF THE PUBLIC OFFICERS
 LAW RELATING TO CONFLICTS OF INTEREST. THE DEPARTMENT SHALL ADOPT A CODE
 OF ETHICAL  CONDUCT  FOR  THE  REGIONAL  ECONOMIC  DEVELOPMENT  COUNCILS
 CONSISTENT  WITH  SECTION  SEVENTY-FOUR OF THE PUBLIC OFFICERS LAW.  ALL
 MEMBERS OF THE REGIONAL ECONOMIC DEVELOPMENT COUNCILS SHALL  PARTICIPATE
 IN AN APPROVED GOOD GOVERNANCE TRAINING PROGRAM BY THE AUTHORITIES BUDG-
 ET  OFFICE  REGARDING  THEIR RESPONSIBILITIES AS MEMBERS OF THE REGIONAL
 ECONOMIC DEVELOPMENT COUNCILS.
   5. ALL MEMBERS OF REGIONAL  ECONOMIC  DEVELOPMENT  COUNCILS  SHALL  BE
 SUBJECT TO THE PROVISIONS OF SECTION SEVENTY-THREE-A OF THE PUBLIC OFFI-
 CERS  LAW  RELATING  TO FINANCIAL DISCLOSURE; PROVIDED THAT SUCH MEMBERS

 S. 2008--B                         78
 
 SHALL NOT BE REQUIRED TO DISCLOSE: (A)  THE  CATEGORY  OF  AMOUNT  USING
 TABLE  I  OR  CATEGORY  OF  VALUE OF CONTRACT USING TABLE II; OR (B) ANY
 POSITION OR FINANCIAL INTEREST THAT WILL NOT REASONABLY CONFLICT IN  ANY
 WAY  WITH THE PROPER DISCHARGE OF HIS OR HER OFFICIAL DUTIES AS A MEMBER
 OF THE REGIONAL ECONOMIC DEVELOPMENT COUNCIL.
   6. EACH REGIONAL ECONOMIC DEVELOPMENT COUNCIL SHALL BE SUBJECT TO  THE
 PROVISIONS  OF  ARTICLE SEVEN OF THE PUBLIC OFFICERS LAW RELATING TO THE
 OPEN MEETINGS LAW AND ARTICLE SIX OF THE PUBLIC OFFICERS LAW RELATING TO
 THE FREEDOM OF INFORMATION LAW.
   7. THE DEPARTMENT SHALL DEVELOP  SCORING  CRITERIA  FOR  ALL  REGIONAL
 ECONOMIC DEVELOPMENT COUNCILS TO USE WHEN EVALUATING AN APPLICATION. THE
 SCORE  DETERMINED  BY  THE  REGIONAL  ECONOMIC DEVELOPMENT COUNCIL SHALL
 COUNT TOWARDS FIFTY PERCENT OF THE TOTAL SCORE ON  AN  APPLICATION,  AND
 THE  SCORE  DETERMINED BY THE APPLICABLE STATE AGENCY ON THE APPLICATION
 SHALL COUNT FOR THE OTHER FIFTY PERCENT OF THE TOTAL SCORE.  THE  SCORES
 OF  BOTH  THE  REGIONAL  ECONOMIC DEVELOPMENT COUNCIL AND THE APPLICABLE
 STATE AGENCY ON EACH APPLICATION SHALL BE PUBLICLY AVAILABLE AND  POSTED
 PROMINENTLY BY THE DEPARTMENT ON ITS WEBSITE.
   8.  THE  FINAL  LIST  OF  REGIONAL ECONOMIC DEVELOPMENT COUNCIL AWARDS
 DEVELOPED BY THE GOVERNOR EVERY YEAR SHALL BE REVIEWED AND  APPROVED  BY
 THE  PUBLIC  AUTHORITIES CONTROL BOARD, IN CONJUNCTION WITH THE AUTHORI-
 TIES BUDGET OFFICE, PRIOR TO ITS RELEASE AND ANNOUNCEMENT.
   9. THE DEPARTMENT SHALL DEVELOP DETAILED STANDARDIZED METRICS FOR EACH
 REGIONAL ECONOMIC DEVELOPMENT COUNCIL TO USE IN EVALUATING  THE  ONGOING
 PERFORMANCE  OF  AWARD  RECIPIENTS.   THE ANNUAL PROGRESS REPORT OF EACH
 REGIONAL  ECONOMIC  DEVELOPMENT  COUNCIL  SHALL  CONTAIN  SPECIFIC   JOB
 CREATION  AND  RETENTION  STATISTICS  FOR  EVERY  AWARD RECIPIENT IN THE
 REGION, AND THE AMOUNT OF FUNDING  DISBURSED  TO  DATE  TO  EVERY  AWARD
 RECIPIENT.
   10.  THE DEPARTMENT, IN CONSULTATION WITH THE STATE COMPTROLLER, SHALL
 OBTAIN AN ANNUAL COST BENEFIT ANALYSIS OF THE OVERALL  EFFECTIVENESS  OF
 THE  REGIONAL  ECONOMIC  DEVELOPMENT  COUNCIL  PROGRAM BY AN INDEPENDENT
 AUDITOR TO BE COMPLETED NO LATER THAN DECEMBER THIRTY-FIRST,  TWO  THOU-
 SAND EIGHTEEN.
   §  2.  This  act shall take effect immediately and shall expire and be
 deemed repealed April 1, 2019.
 
                                 PART MMM
 
   Section 1. The economic development law is amended by adding  two  new
 sections 100-a and 100-b to read as follows:
   §  100-A. COMPREHENSIVE ECONOMIC DEVELOPMENT REPORTING. THE DEPARTMENT
 SHALL CREATE A COMPREHENSIVE ECONOMIC DEVELOPMENT REPORT EACH YEAR LIST-
 ING ALL FORMS OF ECONOMIC DEVELOPMENT SPENDING BY  ALL  STATE  AGENCIES,
 AUTHORITIES AND CORPORATIONS, INCLUDING BUT NOT LIMITED TO DIRECT SPEND-
 ING, TAX EXPENDITURES, MARKETING AND ADVERTISING, GRANTS, AWARDS AND ALL
 OTHER  SUBSIDIES.  SUCH  COMPREHENSIVE  REPORT  SHALL  INCLUDE AGGREGATE
 TOTALS FOR EACH AGENCY, AUTHORITY AND CORPORATION, AS WELL  AS  SPECIFIC
 AMOUNTS  BY EACH INDIVIDUAL ECONOMIC DEVELOPMENT PROGRAM WITH SUCH AGEN-
 CY, AUTHORITY AND CORPORATION. FOR EACH INDIVIDUAL PROGRAM, THE  COMPRE-
 HENSIVE REPORT SHALL IDENTIFY THE SPECIFIC SOURCE OF THE FUNDING FOR THE
 INDIVIDUAL  PROGRAM  AND  THE EXACT AMOUNT DISBURSED IN THE PRIOR FISCAL
 YEAR. IN ADDITION TO THE COMPREHENSIVE REPORT, THE DEPARTMENT SHALL ALSO
 CREATE A PUBLIC DATABASE OF ECONOMIC DEVELOPMENT  CONTRACTS  AND  AGREE-
 MENTS  IDENTIFYING ALL FORMS OF ECONOMIC DEVELOPMENT ASSISTANCE, AS WELL
 AS THE TOTAL AMOUNT OF SUCH  ASSISTANCE,  PROVIDED  TO  EACH  INDIVIDUAL

 S. 2008--B                         79
 
 BUSINESS  RECEIVING  ECONOMIC  DEVELOPMENT  FUNDING  FROM THE STATE. THE
 DEPARTMENT SHALL PROMINENTLY POST THE COMPREHENSIVE ECONOMIC DEVELOPMENT
 REPORT, AND THE PUBLIC DATABASE OF ECONOMIC  DEVELOPMENT  CONTRACTS  AND
 AGREEMENTS, ON ITS WEBSITE.
   § 100-B. PERFORMANCE GOALS AND MEASUREMENTS FOR ADVERTISING CONTRACTS.
 FOR  ANY  ADVERTISING  CONTRACT OVER ONE MILLION DOLLARS ENTERED INTO BY
 THE  DEPARTMENT  OR  THE  EMPIRE  STATE  DEVELOPMENT  CORPORATION,  SUCH
 CONTRACT SHALL INCLUDE: (A) SPECIFIC PERFORMANCE MEASURES FOR MONITORING
 OUTCOMES TO DETERMINE IF THE ADVERTISING COST WILL GENERATE AN APPROPRI-
 ATE  RETURN  FOR  THE  INVESTMENT;  AND  (B) SPECIFIC TARGETS, GOALS AND
 BENCHMARKS FOR  EVALUATING  PERFORMANCE  OUTCOMES  FOR  THE  ADVERTISING
 CONTRACT.  IN ADDITION, THE DEPARTMENT SHALL MONITOR EACH SUCH ADVERTIS-
 ING CONTRACT AND EVALUATE THE PERFORMANCE OUTCOMES OF THE CONTRACT,  AND
 PREPARE AN ANNUAL REPORT ON THE COST-EFFECTIVENESS OF SUCH CONTRACT.
   § 2. This act shall take effect immediately.
 
                                 PART NNN
 
   Section  1.  Article  8  of  the  public authorities law is amended by
 adding a new title 9-B to read as follows:
 
                                 TITLE 9-B
                          NEW YORK MICROGRIDS ACT
 
 SECTION 1900. SHORT TITLE.
         1901. DEFINITIONS.
         1902. PURPOSES.
         1903. MICROGRIDS OF NEW YORK GRANT PROGRAM.
   § 1900. SHORT TITLE. THIS TITLE SHALL BE KNOWN AND MAY BE CITED AS THE
 "NEW YORK MICROGRIDS ACT".
   § 1901. DEFINITIONS. AS USED IN  THIS  SECTION,  THE  FOLLOWING  TERMS
 SHALL HAVE THE FOLLOWING MEANINGS:
   1.  "AUTHORITY"  MEANS THE NEW YORK STATE ENERGY RESEARCH AND DEVELOP-
 MENT AUTHORITY CONTINUED PURSUANT TO SECTION EIGHTEEN HUNDRED  FIFTY-TWO
 OF THIS ARTICLE.
   2.  "ENERGY INSECURE REGIONS" MEANS AREAS OF THE STATE THAT HAVE EXPE-
 RIENCED INCREASED ELECTRICITY OUTAGES DUE TO GRID INSTABILITY AND TRANS-
 MISSION LINE ISSUES.
   3. "PROGRAM" MEANS THE MICROGRIDS OF NEW  YORK  GRANT  PROGRAM  ESTAB-
 LISHED PURSUANT TO SECTION NINETEEN HUNDRED THREE OF THIS TITLE.
   4.  "RURAL  AREAS"  SHALL HAVE THE SAME MEANING AS IS ASCRIBED TO SUCH
 TERM PURSUANT TO SUBDIVISION SEVEN OF SECTION FOUR HUNDRED EIGHTY-ONE OF
 THE EXECUTIVE LAW.
   § 1902. PURPOSES. THE PURPOSES OF THIS TITLE ARE TO:
   1. PROMOTE LONG TERM REDUCTION OF ENERGY COSTS;
   2. REDUCE THE CAPACITY DEMAND FOR THE MARKET BY  DRAWING  LESS  ENERGY
 FROM THE ORIGINAL GRID;
   3. STABILIZE ENERGY COSTS;
   4. ENHANCE THE RELIABILITY OF ENERGY SOURCES;
   5. INCREASE ENERGY INDEPENDENCE THROUGHOUT THE STATE; AND
   6.  PROMOTE  RELIANCE  ON  RENEWABLE  ENERGY  SOURCES TO HELP MITIGATE
 CLIMATE CHANGE AND ACHIEVE THE STATE'S ENERGY USE REDUCTION GOALS.
   § 1903. MICROGRIDS OF NEW YORK GRANT PROGRAM. 1. THE  AUTHORITY  SHALL
 ESTABLISH  AND  OPERATE  THE  MICROGRIDS OF NEW YORK GRANT PROGRAM. SUCH
 PROGRAM SHALL BE IMPLEMENTED BY THE AUTHORITY, IN CONSULTATION WITH  THE
 DEPARTMENT  OF  PUBLIC  SERVICE, THE POWER AUTHORITY OF THE STATE OF NEW

 S. 2008--B                         80
 
 YORK, THE LONG ISLAND POWER AUTHORITY AND  THE  DEPARTMENT  OF  ENVIRON-
 MENTAL CONSERVATION. IN FURTHERANCE THEREOF, THE AUTHORITY SHALL:
   (A)  USE  MONIES MADE AVAILABLE FOR THE PURPOSES OF THIS TITLE AND THE
 PROGRAM;
   (B) ENTER INTO CONTRACTS WITH  CONSTITUENCY  BASED  ORGANIZATIONS  AND
 OTHER  ENTITIES THROUGH THE COMPETITIVE GRANT PROCESS ESTABLISHED PURSU-
 ANT TO SUBDIVISION TWO OF THIS SECTION;
   (C) ENTER INTO CONTRACTS WITH ONE  OR  MORE  PROGRAM  IMPLEMENTERS  TO
 PERFORM SUCH FUNCTIONS AS THE AUTHORITY DEEMS APPROPRIATE; AND
   (D)  EXERCISE SUCH OTHER POWERS AS ARE NECESSARY FOR THE PROPER IMPLE-
 MENTATION OF THIS TITLE.
   2. THE AUTHORITY SHALL:
   (A) ISSUE ONE OR MORE PROGRAM  OPPORTUNITY  NOTICES  OR  REQUESTS  FOR
 PROPOSALS TO SOLICIT APPLICATIONS FROM PARTNERSHIPS COMPRISED OF CONSTI-
 TUENCY  BASED  ORGANIZATIONS, WHICH CAN CONNECT COMMUNITY MEMBERS TO THE
 PROGRAM, INCLUDING FACILITATING AWARENESS OF THE PROGRAM AND  ENROLLMENT
 THEREIN;
   (B)  AWARD  GRANTS OF NOT MORE THAN ONE HUNDRED FIFTY THOUSAND DOLLARS
 TO EACH APPROVED APPLICANT;
   (C) WITH REGARD TO AWARDING SUCH GRANTS, GIVE PREFERENCE TO:
   (I) COMMUNITIES IN AREAS OF THE STATE WHERE ENERGY COSTS  ARE  PARTIC-
 ULARLY  HIGH  IN RELATION TO A MEASURE OF ITS MEDIAN HOUSEHOLD INCOME AS
 DETERMINED BY THE AUTHORITY;
   (II) RURAL AREAS;
   (III) ENERGY INSECURE REGIONS; AND
   (IV) LOW INCOME MUNICIPALITIES.
   3. THE AUTHORITY IS AUTHORIZED IN CONSULTATION WITH THE DEPARTMENT  OF
 PUBLIC  SERVICE,  THE POWER AUTHORITY OF THE STATE OF NEW YORK, THE LONG
 ISLAND POWER AUTHORITY AND THE DEPARTMENT OF ENVIRONMENTAL CONSERVATION,
 TO PROMULGATE SUCH RULES AND REGULATIONS AS SHALL BE NECESSARY TO IMPLE-
 MENT THE PROVISIONS OF THIS SECTION.
   § 2. This act shall take effect on the one hundred eightieth day after
 it shall have become a law.
 
                                 PART OOO
 
   Section 1. The public authorities law  is  amended  by  adding  a  new
 section 1884 to read as follows:
   §  1884.  NEW YORK STATE GEOTHERMAL HEATING SYSTEM REBATE PROGRAM.  1.
 THE AUTHORITY SHALL ESTABLISH A FIFTEEN MILLION  DOLLAR  REBATE  PROGRAM
 FOR  THE  INSTALLATION  OF  GEOTHERMAL  HEATING  SYSTEMS OVER TWO YEARS.
 RESIDENTIAL AND SMALL-SCALE SYSTEMS ARE ELIGIBLE FOR REBATES UP  TO  ONE
 THOUSAND  FIVE HUNDRED DOLLARS PER TON OF INSTALLED CAPACITY. COMMERCIAL
 AND LARGE-SCALE SYSTEMS ARE ELIGIBLE FOR REBATES UP TO ONE THOUSAND  TWO
 HUNDRED DOLLARS PER TON OF INSTALLED CAPACITY.
   2.  NO  LATER  THAN  ONE  YEAR  FOLLOWING  THE  EFFECTIVE DATE OF THIS
 SECTION, THE AUTHORITY SHALL PROVIDE A REPORT TO THE  EXECUTIVE,  TEMPO-
 RARY  PRESIDENT OF THE SENATE, SPEAKER OF THE ASSEMBLY, THE CHAIR OF THE
 SENATE COMMITTEE ON ENERGY AND TELECOMMUNICATIONS AND THE CHAIR  OF  THE
 ASSEMBLY  COMMITTEE  ON ENERGY OF PROGRAM EXPENDITURES BY CLASS CATEGORY
 AND SIZE OF THE UNIT INSTALLED.
   § 2. This act shall take effect immediately and funds  shall  be  made
 available  no  later  than the ninetieth day after the effective date of
 this act, provided that systems pre-dating the launch, if  installed  on
 or after January 1, 2017, will be eligible for such funds.

 S. 2008--B                         81
 
                                 PART PPP
 
   Section  1.  Section 62 of the canal law, as amended by chapter 335 of
 the laws of 2001, is amended to read as follows:
   § 62. Maintenance by state of certain bridges over the  canal  system.
 All highway or pedestrian, lift or movable bridges over the canal system
 other  than  highway bridges connecting parts of a state highway hereto-
 fore constructed as a part of  the  barge  canal  improvement  shall  be
 reconstructed,  improved,  maintained and repaired at the expense of the
 state, [if in the opinion of the  commissioner  of  transportation,  the
 public  convenience  requires  such  bridges  to  be maintained where no
 alternate crossing has been provided] IN A MANNER SO AS  NOT  TO  IMPEDE
 COMMERCIAL  MOTOR  VEHICLES  AS DEFINED IN SUBDIVISION FOUR-A OF SECTION
 TWO OF THE TRANSPORTATION LAW.  In the event the commissioner of  trans-
 portation  determines that any such bridge is no longer required for the
 convenience of the public, he shall have power to close, remove or relo-
 cate such  bridge,  PROVIDED  AT  LEAST  ONE  PUBLIC  HEARING  SHALL  BE
 CONDUCTED  IN THE COMMUNITY OR COMMUNITIES WHERE THE BRIDGE TO BE CLOSED
 OR REMOVED IS LOCATED.  The commissioner of  transportation  shall  have
 the supervision and direction of such reconstruction, improvement, main-
 tenance,  repair,  closing, removing or relocation. All bridges over the
 canal system other than  lift,  movable,  pedestrian  or  state  highway
 bridges  heretofore  constructed  as part of the barge canal improvement
 shall be reconstructed, improved, maintained and repaired at the expense
 of the state under the supervision and direction of the commissioner  of
 transportation, if, in his opinion, the public convenience requires that
 each  such bridge shall be continued as a bridge for highway traffic. In
 the event the commissioner of transportation is requested by any munici-
 pality to reconstruct or improve any such bridge, he is hereby empowered
 to do so, provided,  however,  that  prior  to  such  reconstruction  or
 improvement  the  municipality enters into a written agreement that such
 bridge thereafter shall become a part of the highway system  or  systems
 which  it may connect and the maintenance, repair, improvement, replace-
 ment or closing of any such bridge shall be governed by  the  provisions
 of the highway law, except that any such bridges situate in a city shall
 be maintained, repaired, improved, replaced or closed in the same manner
 and  subject  to the provisions of any special law which may apply or to
 the same provisions of law as apply to other streets and bridges in such
 city or in the case of such bridges situate in a village,  such  bridges
 shall  be maintained, repaired, improved, replaced or closed in the same
 manner and subject to the same provisions  of  law  as  apply  to  other
 streets  and bridges in such village. Any bridge over the New York state
 canal system or abandoned part thereof which  joins  parts  of  a  state
 highway shall be under the jurisdiction of the commissioner of transpor-
 tation and deemed to be part of the state highway system and such bridg-
 es  shall be constructed, reconstructed, improved, maintained, repaired,
 closed or relocated pursuant to the provisions of the  highway  law  and
 the  cost  of  such  work  shall  be  paid  from  moneys  available  for
 construction, reconstruction,  improvement,  maintenance  or  repair  of
 state highways.
   § 2. This act shall take effect immediately.
 
                                 PART QQQ
 
   Section 1. The general business law is amended by adding a new article
 29-JJ to read as follows:

 S. 2008--B                         82
 
                               ARTICLE 29-JJ
                            MADE BY NEW YORKERS
 SECTION 613.   DEFINITIONS.
         613-A."MADE BY NEW YORKERS"; LABELING.
         613-B. REQUIREMENTS.
         613-C. ISSUANCE OF THE LABEL.
         613-D. APPLICATION FOR REGISTRATION.
         613-E. FILING OF APPLICATIONS.
         613-F. FEES.
         613-G. ADMINISTRATION AND ENFORCEMENT.
         613-H. SUSPENSION AND REVOCATION OF REGISTRATIONS.
         613-I. RENEWAL.
         613-J. REPORTING.
         613-K. RULES AND REGULATIONS.
   § 613. DEFINITIONS. AS USED IN THIS ARTICLE, THE FOLLOWING TERMS SHALL
 HAVE THE FOLLOWING MEANINGS:
   1.  "APPLICANT"  SHALL  MEAN  THE  PERSON  FILING AN APPLICATION, OR A
 MEMBER OF THE FIRM OR AN  OFFICER  OF  THE  CORPORATION  OR  ASSOCIATION
 APPLYING FOR REGISTRATION FOR USE OF THE "MADE BY NEW YORKERS" LABEL.
   2. "DEPARTMENT" SHALL MEAN THE DEPARTMENT OF STATE.
   3.  "PRODUCTS OR GOODS" SHALL INCLUDE ANY RECOGNIZABLE GOODS, MERCHAN-
 DISE, WARES, OR TANGIBLE OR INTANGIBLE PRODUCTS OF ANY KIND.
   4. "SECRETARY" SHALL MEAN THE SECRETARY OF STATE.
   § 613-A. "MADE BY NEW YORKERS"; LABELING. THE DEPARTMENT IS AUTHORIZED
 TO ESTABLISH AND IMPLEMENT A MADE BY NEW YORKERS  LABELING  PROGRAM  FOR
 ALL  PRODUCTS  OR GOODS MADE IN ACCORDANCE WITH THE REQUIREMENTS OF THIS
 ARTICLE. THE DEPARTMENT MAY CONSULT  WITH  THE  DEPARTMENT  OF  ECONOMIC
 DEVELOPMENT IN THE IMPLEMENTATION OF THIS ARTICLE.
   §  613-B. REQUIREMENTS. 1. ANY PRODUCTS OR GOODS MADE IN THIS STATE IN
 ACCORDANCE TO THIS ARTICLE SHALL BE ELIGIBLE TO BE LABELED WITH A  "MADE
 BY NEW YORKERS" LABEL IF:
   A.  THE PRODUCT OR GOOD IS SUBSTANTIALLY MADE BY A BUSINESS LOCATED IN
 THE STATE; AND
   B. THE FINISHED PRODUCT OR GOOD COULD LAWFULLY USE A "MADE IN  U.S.A."
 OR "MADE IN AMERICA" LABEL.
   2. FOR PURPOSES OF THIS SECTION, "SUBSTANTIALLY MADE" MEANS COMPLETING
 AN  ACT THAT ADDS AT LEAST FIFTY-ONE PERCENT OF A FINAL PRODUCT'S WHOLE-
 SALE VALUE BY MANUFACTURE, ASSEMBLY OR  PRODUCTION  TO  CREATE  A  FINAL
 RECOGNIZABLE  PRODUCT.  "SUBSTANTIALLY MADE" DOES NOT INCLUDE THE ACT OF
 PACKAGING THE PRODUCT.
   § 613-C. ISSUANCE OF THE LABEL. IN ACCORDANCE WITH THE  PROVISIONS  OF
 THIS  ARTICLE,  THE  DEPARTMENT  SHALL  CONSULT  WITH  THE DEPARTMENT OF
 ECONOMIC DEVELOPMENT IN THE DESIGN AND ISSUANCE  OF  THE  "MADE  BY  NEW
 YORKERS"  LABEL.    ONCE  THE  SECRETARY HAS APPROVED AN APPLICATION FOR
 REGISTRATION OR RENEWAL, THE DEPARTMENT SHALL TRANSMIT THE IMAGE OF  THE
 LABEL THROUGH ELECTRONIC MEANS TO THE REGISTRANT.
   §  613-D.  APPLICATION FOR REGISTRATION.  THE DEPARTMENT SHALL REQUIRE
 EACH BUSINESS THAT CHOOSES TO PARTICIPATE IN  THE  PROGRAM  TO  REGISTER
 WITH  THE  DEPARTMENT  FOR  USE  OF  THE "MADE BY NEW YORKERS" LABEL. AN
 APPLICANT FOR REGISTRATION FOR USE OF THE LABEL SHALL SUBMIT AN APPLICA-
 TION TO THE SECRETARY IN SUCH FORM AS SHALL BE PRESCRIBED BY THE  SECRE-
 TARY.  AN  APPLICATION  FOR  REGISTRATION  FOR  USE  OF  THE LABEL SHALL
 INCLUDE:
   1. THE NAME AND BUSINESS ADDRESS  OF  THE  PERSON  APPLYING  FOR  SUCH
 REGISTRATION;

 S. 2008--B                         83
 
   2. A DESCRIPTION OF EACH PRODUCT OR GOOD BEING SOLD IN CONNECTION WITH
 THE LABEL; AND
   3.  A STATEMENT BY THE APPLICANT THAT THEIR PRODUCTS OR GOODS ARE MADE
 IN ACCORDANCE WITH THIS ARTICLE.
   THE APPLICATION SHALL BE SIGNED AND VERIFIED BY OATH,  AFFIRMATION  OR
 DECLARATION SUBJECT TO THE PENALTIES OF PERJURY BY THE APPLICANT.
   §  613-E. FILING OF APPLICATIONS. 1. UPON THE FILING OF AN APPLICATION
 FOR REGISTRATION FOR USE OF THE LABEL, THE SECRETARY SHALL  EXAMINE  THE
 APPLICATION FOR CONFORMITY WITH THIS ARTICLE.
   2.  THE  APPLICANT  SHALL PROVIDE ANY ADDITIONAL PERTINENT INFORMATION
 REQUESTED BY THE SECRETARY.
   3.  THE DEPARTMENT SHALL, BEFORE MAKING A FINAL DETERMINATION TO  DENY
 A  BUSINESS  AN APPLICATION FOR REGISTRATION FOR USE OF THE "MADE BY NEW
 YORKERS" LABEL, NOTIFY THE APPLICANT IN WRITING OF THE REASONS FOR  SUCH
 DENIAL  AND  SHALL  AFFORD  THE  APPLICANT AN OPPORTUNITY TO BE HEARD IN
 PERSON OR BY COUNSEL PRIOR  TO  THE  DENIAL  OF  THE  APPLICATION.  SUCH
 NOTIFICATION  SHALL BE DELIVERED OR MAILED TO THE APPLICANT.  IF A HEAR-
 ING IS REQUESTED, SUCH HEARING SHALL BE HELD AT SUCH TIME AND  PLACE  AS
 THE  SECRETARY SHALL PRESCRIBE. IF THE APPLICANT FAILS TO MAKE A WRITTEN
 REQUEST FOR A HEARING WITHIN THIRTY DAYS AFTER RECEIPT OF SUCH NOTIFICA-
 TION, THEN THE NOTIFICATION SHALL BECOME THE FINAL DETERMINATION OF  THE
 SECRETARY.    IF,  AFTER  HEARING,  THE  REGISTRATION IS DENIED, WRITTEN
 NOTICE OF SUCH DENIAL SHALL BE DELIVERED OR MAILED TO THE APPLICANT.
   § 613-F. FEES. THE APPLICATION FOR REGISTRATION AND RENEWAL  SHALL  BE
 ACCOMPANIED BY A FILING FEE OF ONE HUNDRED DOLLARS PAYABLE TO THE SECRE-
 TARY.
   §  613-G. ADMINISTRATION AND ENFORCEMENT. THE SECRETARY SHALL HAVE THE
 POWER TO ENFORCE THE PROVISIONS OF THIS ARTICLE, AND UPON  COMPLAINT  OF
 ANY  PERSON,  OR  ON  HIS  OR  HER  OWN  INITIATIVE,  TO INVESTIGATE ANY
 VIOLATION THEREOF OR TO INVESTIGATE A BUSINESS IF IN THE OPINION OF  THE
 SECRETARY SUCH INVESTIGATION IS WARRANTED. EACH SUCH APPLICANT OR REGIS-
 TERED  BUSINESS SHALL BE OBLIGED, ON REQUEST OF THE SECRETARY, TO SUPPLY
 SUCH INFORMATION, BOOKS, PAPERS OR RECORDS AS MAY BE REQUIRED CONCERNING
 HIS OR HER BUSINESS. FAILURE TO COMPLY WITH  A  LAWFUL  REQUEST  OF  THE
 SECRETARY SHALL BE A GROUND FOR DENYING AN APPLICATION FOR REGISTRATION,
 OR  FOR  REVOKING, SUSPENDING OR DENIAL OF RENEWAL OF A REGISTRATION FOR
 USE OF THE LABEL UNDER THIS ARTICLE.
   § 613-H. SUSPENSION AND REVOCATION  OF  REGISTRATIONS.  THE  SECRETARY
 SHALL  HAVE  THE POWER TO REVOKE OR SUSPEND ANY REGISTRATION OR DENY ANY
 REGISTRATION UPON PROOF:
   1. THAT THE APPLICANT OR REGISTRANT HAS VIOLATED ANY OF THE PROVISIONS
 OF THIS ARTICLE OR THE RULES AND REGULATIONS PROMULGATED PURSUANT THERE-
 TO;
   2. THAT THE APPLICANT OR REGISTRANT HAS  PRACTICED  FRAUD,  DECEIT  OR
 MISREPRESENTATION; OR
   3. THAT THE APPLICANT OR REGISTRANT HAS MADE A MATERIALLY FALSE STATE-
 MENT IN THEIR APPLICATION FOR REGISTRATION.
   §  613-I.  RENEWAL.  THE  REGISTRATION  FOR  USE OF THE LABEL SHALL BE
 EFFECTIVE FOR A TERM OF THREE YEARS FROM THE DATE OF  REGISTRATION  AND,
 UPON APPLICATION FILED WITHIN SIX MONTHS PRIOR TO THE EXPIRATION OF SUCH
 TERM,  IN A MANNER COMPLYING WITH THE REQUIREMENTS OF THE SECRETARY, THE
 REGISTRATION MAY BE RENEWED FOR A LIKE TERM FROM THE END OF THE EXPIRING
 TERM.  THE DEPARTMENT SHALL REQUIRE BETWEEN THE TIME OF REGISTRATION AND
 RENEWAL THAT THE REGISTRANT SUBMIT A SWORN STATEMENT ON AN ANNUAL  BASIS
 THAT THEIR PRODUCTS OR GOODS ARE MADE IN ACCORDANCE WITH THIS ARTICLE.

 S. 2008--B                         84
 
   §  613-J.  REPORTING.  THE  DEPARTMENT  SHALL  SUBMIT AN ANNUAL REPORT
 REGARDING ITS EXPENDITURES, TO THE GOVERNOR, TEMPORARY PRESIDENT OF  THE
 SENATE, SPEAKER OF THE ASSEMBLY AND APPROPRIATE COMMITTEES OF THE LEGIS-
 LATURE.
   §  613-K.  RULES AND REGULATIONS. THE DEPARTMENT SHALL PROMULGATE SUCH
 RULES AND REGULATIONS AS SHALL BE NECESSARY TO IMPLEMENT THE  PROVISIONS
 OF THIS ARTICLE.
   §  2.  Section 1 of chapter 174  of the laws of 1968, constituting the
 New York state urban development corporation act, is amended by adding a
 new section 16-aa to read as follows:
   § 16-AA. MADE BY NEW YORKERS FUND.  1. THE MADE BY NEW YORKERS FUND IS
 HEREBY CREATED. THE PURPOSE OF THE MADE BY NEW YORKERS FUND IS  TO  MAKE
 GRANTS TO ELIGIBLE APPLICANTS, TO SUPPORT BUSINESSES IN THEIR GROWTH AND
 EXPANSION  EFFORTS,  AND  TO ENCOURAGE THE GROWTH OF NEW YORK BUSINESSES
 AND PRODUCTS BOTH WITHIN AND OUTSIDE THE STATE.
   2. THE CORPORATION IS AUTHORIZED, WITHIN AVAILABLE APPROPRIATIONS,  TO
 AWARD  GRANTS  OF  NO  LESS  THAN  FIFTY  THOUSAND DOLLARS AND UP TO ONE
 HUNDRED FIFTY THOUSAND DOLLARS TO  ESTABLISHED  SMALL  OR  MEDIUM  SIZED
 BUSINESSES,  FOR  THE  PURPOSE  OF  ENCOURAGING THE GROWTH AND EXPANSION
 EFFORTS OF SMALL OR  MEDIUM  SIZED  BUSINESSES.  SUCH  GRANTS  SHALL  BE
 AWARDED ON A COMPETITIVE BASIS.
   3. FOR THE PURPOSES OF THIS SECTION:
   (A)  "EXPANSION"  SHALL INCLUDE GROWTH OF A BUSINESS' OPERATION WITHIN
 THE STATE OR EXPANSION OF A BUSINESS' SALES.
   (B) "SMALL OR MEDIUM SIZED BUSINESS" SHALL MEAN A BUSINESS LOCATED  IN
 THIS  STATE WHICH EMPLOYS FIVE HUNDRED OR FEWER EMPLOYEES ON A FULL-TIME
 BASIS.
   4. GRANTS AWARDED BY THE CORPORATION PURSUANT TO THIS SECTION SHALL BE
 SUBJECT TO THE FOLLOWING:
   (A) GRANTS SHALL NOT BE LESS THAN FIFTY THOUSAND DOLLARS PER YEAR  AND
 SHALL NOT EXCEED ONE HUNDRED FIFTY THOUSAND DOLLARS PER YEAR; AND
   (B)  THE  CORPORATION SHALL ENTER INTO NO MORE THAN ONE GRANT PER YEAR
 PER APPLICANT UNDER THIS SUBDIVISION.
   5. GRANTS SHALL BE AWARDED FOR PROJECTS DEDICATED TO GROWTH AND EXPAN-
 SION EFFORTS TAKEN BY A BUSINESS. GROWTH  AND  EXPANSION  EFFORTS  SHALL
 INCLUDE, BUT NOT BE LIMITED TO, PROJECTS THAT:
   (A)  ASSIST  ESTABLISHED  BUSINESSES  IN  THEIR  GROWTH THROUGH MARKET
 DIVERSIFICATION AND EXPANSION;
   (B) INCREASE A BUSINESS' ADOPTION OF NEW TECHNOLOGIES; OR
   (C) INCREASE A BUSINESS'  CAPACITY  TO  PARTICIPATE  IN  NATIONAL  AND
 INTERNATIONAL MARKETS.
   6. THE CORPORATION SHALL ESTABLISH A COMPETITIVE PROCESS FOR THE EVAL-
 UATION  OF  APPLICANTS  FOR  THE MADE BY NEW YORKERS FUND. WHEN AWARDING
 FUNDS PURSUANT TO THIS SECTION, THE CORPORATION SHALL ENSURE THAT APPLI-
 CANTS MEET THE CRITERIA AND REQUIREMENTS DETERMINED BY  THE  CORPORATION
 PURSUANT TO THIS SECTION.
   7.  RECIPIENTS  SHALL  BE  REQUIRED  TO REPORT THE SPECIFIC USE OF THE
 DISBURSEMENT OF FUNDS RECEIVED PURSUANT TO THIS SECTION  TO  THE  CORPO-
 RATION  ON  A BIANNUAL BASIS UNTIL SUCH PROJECT IS COMPLETED. FAILURE TO
 COMPLY WITH REPORTING CRITERIA, OR ANY OTHER CRITERIA SET FORTH  BY  THE
 CORPORATION, MAY RESULT IN SUSPENSION OF ALL FUTURE PAYMENTS.
   8. THE CORPORATION SHALL:
   (A)  MONITOR  THE  PERFORMANCE  OF EACH RECIPIENT OF A GRANT UNDER THE
 PROVISIONS OF THIS SECTION TO ENSURE  MONIES  ISSUED  PURSUANT  TO  THIS
 SECTION ARE USED ONLY FOR EXPENSES RELATED TO THE APPROVED PROJECT; AND

 S. 2008--B                         85
 
   (B) ON OR BEFORE APRIL FIRST, TWO THOUSAND EIGHTEEN AND ANNUALLY THER-
 EAFTER,  SUBMIT  TO THE GOVERNOR, THE TEMPORARY PRESIDENT OF THE SENATE,
 THE SPEAKER OF THE ASSEMBLY, AND THE CHAIRPERSONS OF THE SENATE  FINANCE
 COMMITTEE  AND  THE  ASSEMBLY  WAYS  AND MEANS COMMITTEE A REPORT ON THE
 INVESTMENTS  AND  ACCOMPLISHMENTS  OF THE MADE BY NEW YORKERS FUND. SUCH
 REPORT SHALL INCLUDE FOR EACH GRANT AWARDED, THE NAME  AND  LOCATION  OF
 THE  RECIPIENT,  THE  AMOUNT  AWARDED,  A  DESCRIPTION  OF THE EXPANSION
 PROJECT, THE NUMBER OF JOBS CREATED OR RETAINED THROUGH THE  GRANT  FUND
 MONIES,  A  DESCRIPTION  OF  ANY FUNDS THAT WERE NOT DISBURSED, AND SUCH
 OTHER INFORMATION AS THE CORPORATION MAY DEEM APPROPRIATE.
   § 3. The New  York  state  urban  development  corporation  is  hereby
 authorized  to promulgate such rules and regulations, in accordance with
 the state administrative procedure act, as are necessary to fulfill  the
 purposes of section two of this act.
   §  4.  This act shall take effect immediately, except that section one
 of this act shall take effect on the one hundred eightieth day after  it
 shall  have become a law; provided, however, that effective immediately,
 the addition, amendment and/or repeal of any rule or  regulation  neces-
 sary  for the implementation of section one of this act on its effective
 date are authorized and directed to be made and completed on  or  before
 the effective date of such section.
 
                                 PART RRR
 
   Section  1.  The  economic  development law is amended by adding a new
 article 23 to read as follows:
 
                                ARTICLE 23
                     LIFE SCIENCES INITIATIVES PROGRAM
 SECTION 447. LIFE SCIENCES INITIATIVES PROGRAM.
   § 447. LIFE SCIENCES INITIATIVES PROGRAM.   THE LIFE  SCIENCES  INITI-
 ATIVES  PROGRAM  IS HEREBY ESTABLISHED FOR THE PURPOSE OF ATTRACTING NEW
 LIFE SCIENCES TECHNOLOGIES,  TO  PROMOTE  CRITICAL  PUBLIC  AND  PRIVATE
 SECTOR  INVESTMENT  IN  EMERGING LIFE SCIENCES FIELDS IN NEW YORK STATE,
 AND TO CREATE AND EXPAND LIFE SCIENCES RELATED  BUSINESSES  AND  EMPLOY-
 MENT.
   1.  SUCH LIFE SCIENCES INITIATIVES PROGRAM IS DESIGNATED TO OPERATE IN
 AREAS IDENTIFIED BY THE DEPARTMENT AS HAVING SIGNIFICANT  POTENTIAL  FOR
 ECONOMIC  GROWTH  IN  NEW  YORK, OR IN WHICH THE APPLICATION OF NEW LIFE
 SCIENCES TECHNOLOGIES COULD SIGNIFICANTLY ENHANCE THE  PRODUCTIVITY  AND
 STABILITY OF NEW YORK BUSINESSES.
   2.  LIFE  SCIENCES  ARE  DEFINED AS ADVANCED AND APPLIED SCIENCES THAT
 EXPAND THE UNDERSTANDING OF HUMAN PHYSIOLOGY AND HAVE THE  POTENTIAL  TO
 LEAD  TO MEDICAL ADVANCES OR THERAPEUTIC APPLICATIONS INCLUDING, BUT NOT
 LIMITED TO,  AGRICULTURAL  BIOTECHNOLOGY,  BIOGENERICS,  BIOINFORMATICS,
 BIOMEDICAL   ENGINEERING,  BIOPHARMACEUTICALS,  BIOTECHNOLOGY,  CHEMICAL
 SYNTHESIS, CHEMISTRY TECHNOLOGY, DIAGNOSTICS, GENOMICS, IMAGE  ANALYSIS,
 MARINE  BIOLOGY,  MARINE  TECHNOLOGY,  MEDICAL  DEVICES, NANOTECHNOLOGY,
 NATURAL PRODUCT PHARMACEUTICALS, PROTEOMICS, REGENERATIVE MEDICINE,  RNA
 INTERFERENCE,   STEM  CELL  RESEARCH,  CLINICAL  TRIALS  AND  VETERINARY
 SCIENCE.
   3. A LIFE SCIENCES ENTITY IS DEFINED AS A BUSINESS CORPORATION,  PART-
 NERSHIP,  FIRM,  UNINCORPORATED ASSOCIATION, OR ANY OTHER ENTITY ENGAGED
 IN LIFE SCIENCES RESEARCH, DEVELOPMENT, MANUFACTURING OR  COMMERCIALIZA-
 TION.

 S. 2008--B                         86
 
   4.  AS  A  CONDITION OF RECEIPT OF SUPPORT AUTHORIZED PURSUANT TO THIS
 SECTION THE LIFE SCIENCES ENTITY SHALL ANNUALLY SUBMIT TO THE DEPARTMENT
 A PLAN WHICH INCLUDES A STRATEGY FOR JOB CREATION AND  RETENTION  WITHIN
 NEW YORK STATE.
   5.  (A)  FROM SUCH FUNDS AS MAY BE APPROPRIATED TO LIFE SCIENCES ENTI-
 TIES FOR THIS PURPOSE BY THE LEGISLATURE,  THE  DEPARTMENT  MAY  PROVIDE
 FINANCIAL  SUPPORT, THROUGH AN APPLICATION AND APPROVAL PROCESS AND SUCH
 FUNDS MAY BE USED FOR  THE  ADVANCEMENT  AND  ECONOMIC  GROWTH  OF  LIFE
 SCIENCES  PROGRAMS,  EMPLOYMENT  OF STAFF, DEVELOPMENT AND FACILITIES OR
 OTHER OPERATING EXPENSES THAT ARE ALIGNED WITH THE LIFE SCIENCES PROGRAM
 STRATEGY AND APPROVED BY THE DEPARTMENT.
   (B) A LIFE SCIENCES ENTITY MUST  SUBMIT  A  COMPLETED  APPLICATION  AS
 PRESCRIBED  BY THE COMMISSIONER. LIFE SCIENCES INITIATIVES ENTITY APPLI-
 CATIONS WILL BE ACCEPTED, REVIEWED AND  APPROVED  ON  A  ROLLING  BASIS.
 LIFE  SCIENCES  INITIATIVES  ENTITY  APPLICANTS MAY INCLUDE A PROGRAM OR
 MULTIPLE PROGRAMS IN  THEIR  APPLICATION.  EACH  LIFE  SCIENCES  PROGRAM
 APPLICANT  SHALL INCLUDE INFORMATION IN SUCH APPLICATION RELATING TO HOW
 ITS LIFE SCIENCES PROGRAM INITIATIVE WILL ENHANCE  AND  ACCELERATE  LIFE
 SCIENCE  PROGRAMS,  RESEARCH  AND  JOB CREATION AND RETENTION WITHIN NEW
 YORK.
   (C) FUNDS APPROPRIATED TO ANY CITY WITH A POPULATION OVER ONE  MILLION
 SHALL  BE MATCHED ON A ONE TO ONE BASIS BY THE INSTITUTION RECEIVING THE
 FUNDS AND COLLABORATIVE PARTNERS IN THE FORM OF CASH OR IN-KIND  PERSON-
 NEL,  EQUIPMENT,  MATERIAL  DONATIONS, AND OTHER FACILITY AND OPERATIONS
 EXPENDITURES. NO MORE THAN ONE-THIRD OF ALL FUNDS APPROPRIATED SHALL  BE
 AWARDED TO A CITY WITH A POPULATION OVER ONE MILLION.
   6.  THE  COMMISSIONER SHALL, ON OR BEFORE FEBRUARY FIRST, TWO THOUSAND
 EIGHTEEN AND EVERY YEAR THEREAFTER, SUBMIT TO THE GOVERNOR,  THE  TEMPO-
 RARY  PRESIDENT  OF THE SENATE AND THE SPEAKER OF THE ASSEMBLY AN ANNUAL
 REPORT ON THE OPERATIONS AND ACCOMPLISHMENTS OF THE LIFE SCIENCES INITI-
 ATIVES PROGRAMS WHICH SHALL INCLUDE, BUT NOT BE LIMITED TO, THE ECONOMIC
 IMPACT OF THE ACTIVITIES UNDERTAKEN WITH STATE  FUNDS,  THE  NUMBER  AND
 AMOUNT  OF FEDERAL FUNDS PROCURED AFTER PROGRAM APPROVAL, INCLUDING SUCH
 FACTORS AS JOBS CREATED AND MAINTAINED, THE AVERAGE SALARY OF  THE  JOBS
 CREATED  AND  AVERAGE  SALARY  OF JOBS RETAINED AND THE ACTUAL OR ANTIC-
 IPATED NEW PRODUCTS AND PROCESSES WITH COMMERCIAL APPLICATION OF  IMPOR-
 TANCE TO THE AFFECTED INDUSTRIES THAT WERE CREATED.
   § 2. This act shall take effect immediately.
   § 2. Severability clause. If any clause, sentence, paragraph, subdivi-
 sion,  section  or  part  of  this act shall be adjudged by any court of
 competent jurisdiction to be invalid, such judgment  shall  not  affect,
 impair,  or  invalidate  the remainder thereof, but shall be confined in
 its operation to the clause, sentence, paragraph,  subdivision,  section
 or part thereof directly involved in the controversy in which such judg-
 ment shall have been rendered. It is hereby declared to be the intent of
 the  legislature  that  this  act  would  have been enacted even if such
 invalid provisions had not been included herein.
   § 3. This act shall take effect immediately  provided,  however,  that
 the  applicable  effective date of Parts A through RRR of this act shall
 be as specifically set forth in the last section of such Parts.