S T A T E O F N E W Y O R K
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4692
2021-2022 Regular Sessions
I N A S S E M B L Y
February 4, 2021
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Introduced by M. of A. NORRIS -- read once and referred to the Committee
on Economic Development
AN ACT to enact the "New York Business Emergency Relief Act of 2021"; to
direct the governor to unallocated settlement funds resolved in the
economic uncertainties fund (Part A); to amend the urban development
corporation act, in relation to enacting the restart New York grant
relief program (Part B); and to authorize the governor to reallocate
certain monies for the restart New York grant relief (Part C)
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 "New York Business Emergency Relief Act of 2021".
§ 2. Legislative intent. The legislature seeks to provide immediate
assistance to businesses that have been deemed non-essential or have
faced restrictions or closures as a result of the Governor's Executive
Orders and have lost income as a result.
The legislature recognizes that New York's private businesses are the
backbone of our state economy and the state must act boldly to address
the negative impacts resulting from the COVID-19 outbreak and the asso-
ciated statewide business sector shutdown. According to a recent poll by
the National Federation of Independent Businesses, 76% of its members
have been negatively impacted by COVID-19. Through Executive Orders,
businesses that were deemed non-essential were forced to keep their
doors closed with no indication of when they will be able to reopen and
face significant revenue. It is imperative that the legislature provides
immediate assistance to these businesses as they try to manage the
devastating impact of the COVID-19 virus and the interruption of their
business operations. The New York Business Emergency Relief Act of 2021
will offer direct fiscal relief and protections for businesses while
mitigating the risk of businesses being forced to permanently close
their doors and further harm the local and state economies.
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD07624-01-1
A. 4692 2
It is therefore the intent of the legislature to implement measures to
assist New York's businesses with the loss of their income as a result
of being deemed non-essential by the Governor's Executive Orders by
providing direct financial assistance in the way of State grants. The
legislature recognizes that extraordinary times call for extraordinary
measures and therefore is directing that settlement money received by
the state from financial or banking institutions, from current economic
development programs and from any federal aid provided to the state for
economic recovery be used to help the state fight the economic crisis
brought on by the COVID-19 virus by directing this funding be provided
to non-essential businesses that were negatively impacted by the Gover-
nor's Executive Orders.
§ 3. This act enacts into law major components of legislation which
are necessary to implement the New York Business Emergency Relief Act of
2021. Each component is wholly contained within a Part identified as
Parts A through C. 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, 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 five of this act sets forth the general
effective date of this act.
PART A
Section 1. Notwithstanding any other law, rule and regulation to the
contrary, the governor shall immediately direct all unallocated settle-
ment funds that are reserved in the "economic uncertainties" fund and
any further settlement money that may be received by the state to small
business relief purposes consistent with the intent of the "New York
Business Emergency Relief Act of 2021".
§ 2. This act shall take effect immediately.
PART B
Section 1. 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-bb to read as follows:
§ 16-BB. RESTART NEW YORK GRANT RELIEF PROGRAM. (1) AS USED IN THIS
SECTION, THE FOLLOWING TERMS SHALL HAVE THE FOLLOWING MEANINGS:
(A) "STATE OF EMERGENCY" SHALL MEAN A DISASTER EMERGENCY FOR THE
ENTIRE STATE OF NEW YORK DECLARED IN EXECUTIVE ORDER TWO HUNDRED TWO,
BEGINNING ON MARCH SEVENTH, TWO THOUSAND TWENTY AS WELL AS ANY FURTHER
AMENDMENTS OR MODIFICATIONS THERETO.
(B) "NON-ESSENTIAL BUSINESS" SHALL MEAN THOSE BUSINESSES THAT HAVE NOT
BEEN DEEMED ESSENTIAL AS DECLARED IN EXECUTIVE ORDER 202.6 AND IN
FURTHER GUIDANCE ISSUED BY NEW YORK STATE EMPIRE DEVELOPMENT AND SHALL
INCLUDE, BUT NOT BE LIMITED TO, BOWLING ALLEYS, BARBER SHOPS, SALONS,
MOVIE THEATRES, GYMS, RESTAURANTS, AND TOURISM RELATED BUSINESSES AND
EMPLOY TWO HUNDRED AND FIFTY OR LESS EMPLOYEES.
(2) THE CORPORATION SHALL ESTABLISH A FUND TO BE KNOWN AS THE "RESTART
NEW YORK GRANT RELIEF FUND" AND SHALL PAY INTO SUCH FUND ANY MONIES MADE
AVAILABLE TO THE CORPORATION FOR SUCH FUND FROM ANY SOURCE, INCLUDING
FEDERAL COVID-19 STIMULUS FUNDING PROVIDED TO STATES. THE MONIES HELD IN
OR CREDITED TO THE FUND SHALL BE EXPENDED SOLELY FOR THE PURPOSES SET
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FORTH IN THIS SECTION. THE CORPORATION SHALL NOT COMMINGLE THE MONIES OF
SUCH FUND WITH ANY OTHER MONIES OF THE CORPORATION OR ANY MONIES HELD IN
TRUST BY THE CORPORATION.
(3) THE CORPORATION SHALL PROVIDE GRANTS EQUAL TO THE LIKELY NET
INCOME LOST AS A RESULT OF BEING DEEMED A NON-ESSENTIAL BUSINESS OR FOR
HAVING SERVICES LIMITED DURING THE STATE OF EMERGENCY. FUNDING FOR SUCH
GRANTS WILL BE ALLOCATED FROM ANY MONIES MADE AVAILABLE FROM THE RESTART
NEW YORK GRANT RELIEF FUND.
(4) BUSINESSES SHALL APPLY FOR SUCH GRANT ON A FORM PRESCRIBED BY THE
CORPORATION. EACH FORM SHALL CONTAIN CONTENT AS SET FORTH BY RULE, REGU-
LATION, INSTRUCTION OR PROCEDURE OF THE CORPORATION AND MAY BE CHANGED
OR UPDATED AS NECESSARY BY THE CORPORATION IN ORDER TO CARRY OUT THE
PURPOSE OF THIS SECTION. TO DETERMINE THE AMOUNT OF EACH GRANT PROVIDED,
NON-ESSENTIAL BUSINESSES WHO HAD THEIR SERVICES LIMITED SHALL INCLUDE
THE FOLLOWING INFORMATION ON SUCH FORM:
A. THE NET INCOME OF THE BUSINESS DURING THE 2018 AND 2019 TAX YEARS
AS EVIDENCED BY THEIR TAX RETURNS;
B. THE NET INCOME OF THE BUSINESS DURING THE 2020 TAX YEAR AS
EVIDENCED BY A CERTIFIED PROFIT LOSS STATEMENT OR TAX RETURN;
C. THE CERTIFIED PROJECTED NET INCOME LOSS OF THE BUSINESS FOR THE
2021 TAX YEAR;
D. THE OPERATING EXPENSES, INCLUDING PAYROLL EXPENSES, NECESSARY TO
RESUME OPERATIONS WITH THE SAME QUALITY OF SERVICE THAT EXISTED PRIOR TO
WHEN THE BUSINESS WAS DEEMED A NON-ESSENTIAL BUSINESS; AND
E. OTHER RELEVANT SOURCES OF INFORMATION INCLUDING, BUT NOT LIMITED
TO, ANY FUNDS RECEIVED BY THE BUSINESS THROUGH THE FEDERAL PAYROLL
PROTECTION PROGRAM, TAX RETURNS, FINANCIAL RECORDS, AND ACCOUNTING
PROCEDURES.
§ 2. This act shall take effect immediately.
PART C
Section 1. Notwithstanding any other law, rule or regulation to the
contrary, the governor is hereby authorized to repurpose all monies of
the New York state urban development corporation, the environmental
facilities corporation, the dormitory authority of the state of New
York, the New York state energy research and development authority and
all other state resources as identified and needed by the governor to
fully fund programs created by this act.
§ 2. This act shall take effect immediately.
§ 4. 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.
§ 5. This act shall take effect immediately provided, however, that
the applicable effective date of Parts A through C of this act shall be
as specifically set forth in the last section of such Parts.