S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   6793
 
                        2019-2020 Regular Sessions
 
                           I N  A S S E M B L Y
 
                              March 20, 2019
                                ___________
 
 Introduced  by M. of A. ORTIZ -- read once and referred to the Committee
   on Economic Development
 
 AN ACT to amend the economic development law, in  relation  to  enacting
   the "corporate and financial accountability act"
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:

   Section 1. Short title. This act shall be known and may  be  cited  as
 the "corporate and financial accountability act".
   §  2.  The economic development law is amended by adding a new article
 4-D to read as follows:
                                 ARTICLE 4-D
                     FINANCIAL INCENTIVES ACCOUNTABILITY
 SECTION 147. LEGISLATIVE DECLARATION.
         148. DEFINITIONS.
         149. FINANCIAL INCENTIVES ACCOUNTABILITY.
   § 147. LEGISLATIVE DECLARATION. THE LEGISLATURE SEEKS TO  ENSURE  THAT
 RECIPIENTS  OF  PUBLICLY FUNDED ECONOMIC DEVELOPMENT ASSISTANCE ARE HELD
 ACCOUNTABLE FOR THE ATTAINMENT OF AGREED  UPON  PERFORMANCE  OBJECTIVES,
 THROUGH A REQUIREMENT FOR THE REPAYMENT OF ASSISTANCE IF SUCH OBJECTIVES
 ARE NOT MET.
   §  148.  DEFINITIONS.  FOR THE PURPOSES OF THIS ARTICLE, THE FOLLOWING
 TERMS SHALL HAVE THE FOLLOWING MEANINGS AS INDICATED:
   1. "AGENCY" SHALL MEAN ANY AGENCY, DEPARTMENT, BOARD, BUREAU,  COMMIS-
 SION  A  MAJORITY  OF WHOSE MEMBERS ARE APPOINTED BY THE GOVERNOR, DIVI-
 SION, OFFICE, COUNCIL, COMMITTEE, OR OFFICER OF THE STATE, OR THE  STATE
 UNIVERSITY OF NEW YORK OR THE CITY UNIVERSITY OF NEW YORK, OR ANY PUBLIC
 BENEFIT CORPORATION OR PUBLIC AUTHORITY, A MAJORITY OF WHOSE MEMBERS ARE
 APPOINTED  BY THE GOVERNOR, THE STATE, ANY OF ITS POLITICAL SUBDIVISIONS
 OR INSTRUMENTALITY OF THE STATE OR ITS POLITICAL  SUBDIVISIONS,  OR  ANY
 PUBLIC  BENEFIT  CORPORATION  AS  DEFINED IN SUBDIVISION FOUR OF SECTION
 SIXTY-SIX OF THE GENERAL CONSTRUCTION LAW, OR ANY MUNICIPAL  CORPORATION
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD10055-01-9

 A. 6793                             2
 
 AS DEFINED IN SUBDIVISION THREE OF SECTION THREE-A OF THE GENERAL MUNIC-
 IPAL LAW.
   2.  "ECONOMIC DEVELOPMENT CONTRACT" SHALL MEAN ANY CONTRACT, AGREEMENT
 OR UNDERSTANDING BETWEEN  AN  AGENCY  AND  A  RECIPIENT,  PROVIDING  FOR
 AWARDS, GRANTS, LOANS, TAX ABATEMENTS OR OTHER BUSINESS INCENTIVES.
   3.  "RECIPIENT" SHALL MEAN A PERSON, FIRM, PARTNERSHIP, COMPANY, ASSO-
 CIATION  OR  CORPORATION  WHICH  ENTERS  INTO  AN  ECONOMIC  DEVELOPMENT
 CONTRACT WITH AN AGENCY.
   4.  "APPLICANT"  SHALL  MEAN ANY ENTITY FILING ANY APPLICATION WITH AN
 AGENCY TO BECOME A RECIPIENT.
   5. "AWARD" SHALL MEAN ANY AWARD, GRANT OF FINANCIAL ASSISTANCE,  LOAN,
 TAX ABATEMENT OR OTHER BUSINESS INCENTIVE.
   §  149.  FINANCIAL  INCENTIVES  ACCOUNTABILITY.  1.  EVERY AGENCY THAT
 ENTERS INTO ECONOMIC DEVELOPMENT CONTRACTS SHALL ESTABLISH AND IMPLEMENT
 A FINANCIAL ACCOUNTABILITY POLICY WHICH SHALL AT MINIMUM REQUIRE:
   A. APPLICANTS TO FILE INFORMATION WITH AN AGENCY DURING  THE  APPLICA-
 TION PROCESS FOR QUALIFICATION AS A RECIPIENT OF AN ECONOMIC DEVELOPMENT
 CONTRACT  WHICH  SHALL INCLUDE SUCH APPLICANT'S RECORD OF PERFORMANCE IN
 CONTRIBUTING TO JOB  RETENTION  AND  CREATION,  ECONOMIC  STABILITY  AND
 COMMUNITY  REVITALIZATION,  AND  ANY CRIMINAL CONVICTIONS, VIOLATIONS OR
 PENDING INVESTIGATIONS REGARDING OCCUPATIONAL SAFETY AND  HEALTH  STAND-
 ARDS, EQUAL EMPLOYMENT OPPORTUNITY CREDITS AND ENVIRONMENTAL STANDARDS;
   B.  THE REPAYMENT, WITH INTEREST, OF AWARDS OR A PORTION THEREOF, UPON
 A FINDING THAT THE RECIPIENT HAS NOT FULLY EXECUTED  AND  COMPLETED  THE
 STATED  PURPOSE  OR  OBJECTIVE OF THE AWARD. UPON A WRITTEN FINDING THAT
 THE REPAYMENT OF THE AWARD IS UNABLE TO  BE  FULFILLED  DUE  TO  CIRCUM-
 STANCES  BEYOND  THE CONTROL OF THE RECIPIENT, THE AWARD MAY BE EXCUSED,
 IN WHOLE OR IN PART, BY THE AGENCY; AND
   C. IN THE EVENT THAT A RECIPIENT FAILS TO REPAY AN AWARD AND IS  FOUND
 TO  HAVE  BEEN SUBJECT TO A PREVIOUS REPAYMENT PURSUANT TO THIS ARTICLE,
 SUCH APPLICANT SHALL BE INELIGIBLE TO RECEIVE AN AWARD FROM  THE  AGENCY
 FOR NOT LESS THAN FIVE YEARS FOLLOWING THE DATE OF LAST REPAYMENT.
   2.  EACH  AGENCY THAT ENTERS INTO ECONOMIC DEVELOPMENT CONTRACTS SHALL
 FILE WITH THE DEPARTMENT A CERTIFIED COPY OF  THEIR  FINANCIAL  ACCOUNT-
 ABILITY POLICY PROMULGATED PURSUANT TO THIS ARTICLE.
   3.  IN  THE  EVENT THAT A RECIPIENT FAILS TO REPAY AN AWARD THE AGENCY
 SHALL INFORM THE DEPARTMENT WHICH SHALL MAINTAIN A LISTING THEREOF.  THE
 DEPARTMENT SHALL THEN MAKE AN ANNUAL REPORT TO THE SPEAKER OF THE ASSEM-
 BLY AND THE TEMPORARY PRESIDENT OF THE SENATE ON THE FIRST DAY OF  MARCH
 WITH  RESPECT  TO  ALL RECIPIENTS, TO DATE, THAT HAVE FAILED TO REPAY AN
 AWARD.
   4. EVERY AGENCY  WHICH  ENTERS  INTO  ECONOMIC  DEVELOPMENT  CONTRACTS
 SHALL,  IN THE COURSE OF IMPLEMENTING THE POLICY PROMULGATED PURSUANT TO
 THIS ARTICLE, REPORT ANY INFORMATION REGARDING A RECIPIENT'S  RECORD  OF
 PERFORMANCE  IN  CONTRIBUTING  TO  JOB  RETENTION AND CREATION, ECONOMIC
 STABILITY AND COMMUNITY REVITALIZATION, AND  ANY  CRIMINAL  CONVICTIONS,
 VIOLATIONS  OR PENDING INVESTIGATIONS REGARDING SAFETY AND HEALTH STAND-
 ARDS, EQUAL OPPORTUNITY EMPLOYMENT CREDITS AND  ENVIRONMENTAL  STANDARDS
 TO THE APPROPRIATE DEPARTMENT FOR ASSESSMENT AND REVIEW.
   § 3. This act shall take effect on the one hundred twentieth day after
 it  shall have become a law. Effective immediately, the addition, amend-
 ment and/or repeal of any rule or regulation necessary for the implemen-
 tation of this act on its effective date are authorized and directed  to
 be made and completed on or before such effective date.