The New York State Senate

 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   1710
 
                        2023-2024 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             January 20, 2023
                                ___________
 
 Introduced   by   M.  of  A.  GONZALEZ-ROJAS,  EPSTEIN,  KELLES,  CLARK,
   DE LOS SANTOS, CRUZ, GALLAGHER  --  read  once  and  referred  to  the
   Committee on Labor
 
 AN ACT to amend the labor law, in relation to providing for minimum wage
   requirements  for  miscellaneous industry workers and establishing the
   restaurant and restaurant worker recovery loan program; to  amend  the
   state  finance  law,  in  relation  to establishing the restaurant and
   restaurant worker recovery fund; making an appropriation therefor; and
   to provide for the repeal of such provisions upon expiration thereof
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Section 196-d of the labor law, as added by chapter 1007 of
 the laws of 1968, is amended to read as follows:
   §  196-d. Gratuities. No employer or his OR HER agent or an officer or
 agent of any corporation, or any other person shall  demand  or  accept,
 directly  or  indirectly,  any  part  of  the gratuities, received by an
 employee, or retain any part of a gratuity or of any charge purported to
 be a gratuity for an employee. This provision shall  not  apply  to  the
 checking  of  hats,  coats or other apparel. Nothing in this subdivision
 shall be construed as affecting the allowances from the minimum wage for
 gratuities in the amount determined in accordance with the provisions of
 article  nineteen  of  this  chapter  nor  as  affecting  practices   in
 connection  with  banquets  and  other  special  functions where a fixed
 percentage of the patron's  bill  is  added  for  gratuities  which  are
 distributed to employees, nor to the sharing of tips by a waiter [with a
 busboy or similar employee] WITH OTHER EMPLOYEES.
   §  2. Section 651 of the labor law is amended by adding a new subdivi-
 sion 10 to read as follows:
   10. "MISCELLANEOUS INDUSTRY WORKER" MEANS ANY EMPLOYEE COVERED BY  THE
 MINIMUM WAGE ORDER FOR MISCELLANEOUS INDUSTRIES AND OCCUPATIONS PURSUANT
 TO  THE  PROVISIONS OF 12 NYCRR PART 142, INCLUDING, BUT NOT LIMITED TO,
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD06920-01-3

 A. 1710                             2
 
 CAR WASH ATTENDANTS, NAIL SALON WORKERS, TOW TRUCK DRIVERS,  DOG  GROOM-
 ERS,  WEDDING PLANNERS, TOUR GUIDES, VALET PARKING ATTENDANTS, HAIRDRES-
 SERS, AESTHETICIANS, GOLF AND TENNIS INSTRUCTORS, AND DOOR-PERSONS.
   § 3. Subdivisions 2 and 4 of section 652 of the labor law, subdivision
 2 as amended by chapter 38 of the laws of 1990, the opening paragraph of
 subdivision  2  as  amended by section 6 of part II of chapter 58 of the
 laws of 2020, subdivision 4 as amended by section 2 of part K of chapter
 54 of the laws of 2016, are amended to read as follows:
   2. Existing wage orders. The minimum wage  orders  in  effect  on  the
 effective date of this act shall remain in full force and effect, except
 as modified in accordance with the provisions of this article; provided,
 however,  that  the minimum wage order for farm workers codified at part
 one hundred ninety of title twelve of the New York  code  of  rules  and
 regulations  in  effect  on  January first, two thousand twenty shall be
 deemed to be a wage order established and adopted under this article and
 shall remain in full force and effect except as modified  in  accordance
 with  the provisions of this article or article nineteen-A of this chap-
 ter.
   Such minimum wage orders shall be  modified  by  the  commissioner  to
 increase  all  monetary amounts specified therein in the same proportion
 as the increase in the hourly minimum wage as  provided  in  subdivision
 one  of  this  section,  including the amounts specified in such minimum
 wage orders as allowances for gratuities,  and  when  furnished  by  the
 employer  to  its  employees, for meals, lodging, apparel and other such
 items, services and facilities, EXCEPT THAT THE  HOURLY  CASH  WAGE  FOR
 FOOD SERVICE WORKERS, SERVICE EMPLOYEES AND MISCELLANEOUS INDUSTRY WORK-
 ERS WHO RECEIVE TIPS SHALL NOT BE LESS THAN THE CASH WAGE AS PROVIDED IN
 SUBDIVISION  FOUR  OF  THIS  SECTION, AND THE MAXIMUM CREDIT FOR TIPS IN
 MINIMUM WAGE ORDERS SHALL BE MODIFIED SO THAT SUCH CREDIT, WHEN COMBINED
 WITH SUCH CASH WAGE, IS EQUAL TO THE MINIMUM WAGE, AND THE  HOURLY  CASH
 WAGE  FOR MISCELLANEOUS INDUSTRY WORKERS SHALL NOT BE LESS THAN THE CASH
 WAGE AS PROVIDED IN SUBDIVISION FOUR OF THIS  SECTION.  All  amounts  so
 modified  shall  be  rounded off to the nearest five cents. The modified
 orders shall be promulgated by the commissioner without a  public  hear-
 ing,  and  without reference to a wage board, and shall become effective
 on the effective date of such increases in the minimum  wage  except  as
 otherwise  provided  in  this  subdivision,  notwithstanding  any  other
 provision of this article.
   4. (A) Notwithstanding subdivisions one and two of this  section,  the
 wage  for  an employee who is a food service worker receiving tips shall
 be a cash wage of at least two-thirds of  the  minimum  wage  rates  set
 forth  in  subdivision  one of this section, rounded to the nearest five
 cents or seven dollars and fifty cents, whichever  is  higher,  provided
 that  the  [tips]  AVERAGE DAILY WAGE of such an employee, when TIPS FOR
 THE DAY ARE added to [such] THE cash wage PAID FOR HOURS WORKED ON  EACH
 SUCH  DAY, are equal to or exceed the minimum wage in effect pursuant to
 subdivision one of this section and provided further that no other  cash
 wage  is established pursuant to section six hundred fifty-three of this
 article. ANY CASH WAGE  ESTABLISHED  PURSUANT  TO  SECTION  SIX  HUNDRED
 FIFTY-THREE  OF THIS ARTICLE SHALL NOT BE LESS THAN THE CASH WAGE ESTAB-
 LISHED BY THIS SUBDIVISION.
   (B) NOTWITHSTANDING SUBDIVISIONS ONE  AND  TWO  OF  THIS  SECTION  AND
 SECTION SIX HUNDRED FIFTY-THREE OF THIS ARTICLE, THE WAGE FOR AN EMPLOY-
 EE WHO IS A FOOD SERVICE WORKER SERVICE EMPLOYEE RECEIVING TIPS AND PAID
 PURSUANT  TO THE PROVISIONS OF 12 NYCRR PART 146 SHALL BE, FOR EACH HOUR
 WORKED IN THE CITY OF NEW YORK, A CASH WAGE OF NOT LESS THAN:
 A. 1710                             3
 
   $9.00 PER HOUR ON AND AFTER DECEMBER 31, 2023;
   $10.50 PER HOUR ON AND AFTER DECEMBER 31, 2024;
   $12.00 PER HOUR ON AND AFTER DECEMBER 31, 2025;
   $13.50 PER HOUR ON AND AFTER DECEMBER 31, 2026;
   $15.00  PER  HOUR  ON  AND  AFTER  DECEMBER 31, 2027, AND BEGINNING ON
 DECEMBER THIRTY-FIRST, TWO THOUSAND TWENTY-EIGHT, AND ON EACH  FOLLOWING
 DECEMBER  THIRTY-FIRST THEREAFTER, A CASH WAGE PAYABLE TO A FOOD SERVICE
 WORKER OR SERVICE WORKER SHALL BE PUBLISHED BY THE  COMMISSIONER  ON  OR
 BEFORE OCTOBER FIRST OF SUCH YEAR THAT IS EQUAL TO THE THEN CURRENT CASH
 WAGE  UNDER  THIS  PARAGRAPH INCREASED BY $1.75, UNTIL SUCH TIME AS SUCH
 CASH WAGE WOULD BE EQUAL TO OR GREATER THAN THE CASH  WAGE  UNDER  PARA-
 GRAPH  (A)  OF  SUBDIVISION ONE OF THIS SECTION, AT WHICH POINT THE CASH
 WAGE UNDER THIS PARAGRAPH SHALL BE THE SAME AS THE CASH WAGE UNDER PARA-
 GRAPH (A) OF SUBDIVISION ONE OF THIS SECTION AND SHALL INCREASE WHENEVER
 THE LATTER INCREASES.
   (C) NOTWITHSTANDING SUBDIVISIONS ONE  AND  TWO  OF  THIS  SECTION  AND
 SECTION SIX HUNDRED FIFTY-THREE OF THIS ARTICLE, THE WAGE FOR AN EMPLOY-
 EE  WHO  IS A FOOD SERVICE WORKER OR SERVICE EMPLOYEE RECEIVING TIPS AND
 PAID PURSUANT TO THE PROVISIONS OF 12 NYCRR PART 146 SHALL BE, FOR  EACH
 HOUR  WORKED  IN THE COUNTIES OF NASSAU, SUFFOLK AND WESTCHESTER, A CASH
 WAGE OF NOT LESS THAN:
   $8.00 PER HOUR ON AND AFTER DECEMBER 31, 2023;
   $9.50 PER HOUR ON AND AFTER DECEMBER 31, 2024;
   $11.00 PER HOUR ON AND AFTER DECEMBER 31, 2025;
   $13.00 PER HOUR ON AND AFTER DECEMBER 31, 2026;
   $15.00 PER HOUR ON AND AFTER  DECEMBER  31,  2027,  AND  BEGINNING  ON
 DECEMBER  THIRTY-FIRST, TWO THOUSAND TWENTY-EIGHT, AND ON EACH FOLLOWING
 DECEMBER THIRTY-FIRST THEREAFTER, A CASH WAGE PAYABLE TO A FOOD  SERVICE
 WORKER  OR  SERVICE  WORKER SHALL BE PUBLISHED BY THE COMMISSIONER ON OR
 BEFORE OCTOBER FIRST OF SUCH YEAR, THAT IS EQUAL  TO  THE  THEN  CURRENT
 CASH  WAGE  UNDER  THIS PARAGRAPH INCREASED BY $1.75, UNTIL SUCH TIME AS
 SUCH CASH WAGE WOULD BE EQUAL TO OR GREATER THAN  THE  CASH  WAGE  UNDER
 PARAGRAPH  (B)  OF  SUBDIVISION  ONE OF THIS SECTION, AT WHICH POINT THE
 CASH WAGE PAYABLE UNDER THIS PARAGRAPH SHALL BE THE  SAME  AS  THE  CASH
 WAGE  UNDER  PARAGRAPH  (B) OF SUBDIVISION ONE OF THIS SECTION AND SHALL
 INCREASE WHENEVER THE LATTER INCREASES.
   (D) NOTWITHSTANDING SUBDIVISIONS ONE  AND  TWO  OF  THIS  SECTION  AND
 SECTION SIX HUNDRED FIFTY-THREE OF THIS ARTICLE, THE WAGE FOR AN EMPLOY-
 EE  WHO  IS A FOOD SERVICE WORKER OR SERVICE EMPLOYEE RECEIVING TIPS AND
 PAID PURSUANT TO THE PROVISIONS OF 12 NYCRR PART 146 SHALL BE, FOR  EACH
 HOUR  WORKED  OUTSIDE  THE  CITY OF NEW YORK AND THE COUNTIES OF NASSAU,
 SUFFOLK AND WESTCHESTER, A CASH WAGE OF NOT LESS THAN:
   $8.00 PER HOUR ON AND AFTER DECEMBER 31, 2023;
   $9.25 PER HOUR ON AND AFTER DECEMBER 31, 2024;
   $10.50 PER HOUR ON AND AFTER DECEMBER 31, 2025;
   $11.50 PER HOUR ON AND AFTER DECEMBER 31, 2026;
   $12.50 PER HOUR ON AND AFTER  DECEMBER  31,  2027,  AND  BEGINNING  ON
 DECEMBER  THIRTY-FIRST, TWO THOUSAND TWENTY-EIGHT, AND ON EACH FOLLOWING
 DECEMBER THIRTY-FIRST THEREAFTER, A CASH WAGE PAYABLE TO A FOOD  SERVICE
 WORKER  OR  SERVICE  WORKER SHALL BE PUBLISHED BY THE COMMISSIONER ON OR
 BEFORE OCTOBER FIRST OF SUCH YEAR THAT IS EQUAL TO THE THEN CURRENT CASH
 WAGE UNDER THIS PARAGRAPH INCREASED BY $1.75, UNTIL SUCH  TIME  AS  SUCH
 CASH  WAGE  WOULD  BE EQUAL TO OR GREATER THAN THE CASH WAGE UNDER PARA-
 GRAPH (C) OF SUBDIVISION ONE OF THIS SECTION, AT WHICH  POINT  THE  CASH
 WAGE  UNDER THIS PARAGRAPH SHALL BE THE SAME AS THE WAGE UNDER PARAGRAPH
 A. 1710                             4
 
 (C) OF SUBDIVISION ONE OF THIS SECTION AND SHALL INCREASE  WHENEVER  THE
 LATTER INCREASES.
   (E) NOTWITHSTANDING SUBDIVISIONS ONE AND TWO OF THIS SECTION, THE WAGE
 FOR  AN  EMPLOYEE  WHO IS A MISCELLANEOUS INDUSTRY WORKER RECEIVING TIPS
 AND PAID PURSUANT TO THE PROVISIONS OF 12 NYCRR PART 142  SHALL  BE  FOR
 EACH HOUR WORKED IN THE CITY OF NEW YORK, A CASH WAGE OF NOT LESS THAN:
   $13.15  OR $13.85 PER HOUR FOR HIGH TIP AND LOW TIP EMPLOYEES, RESPEC-
 TIVELY ON AND AFTER JUNE 30, 2023;
   $15.00 PER HOUR FOR BOTH HIGH TIP AND LOW TIP EMPLOYEES ON  AND  AFTER
 DECEMBER  31, 2023, AND BEGINNING ON DECEMBER THIRTY-FIRST, TWO THOUSAND
 TWENTY-FOUR, THE CASH WAGE PAYABLE UNDER THIS  PARAGRAPH  SHALL  BE  THE
 SAME  AS  THE  CASH  WAGE UNDER PARAGRAPH (A) OF SUBDIVISION ONE OF THIS
 SECTION AND SHALL INCREASE WHENEVER THE LATTER INCREASES.
   (F) NOTWITHSTANDING SUBDIVISIONS ONE AND TWO OF THIS SECTION, THE WAGE
 FOR AN EMPLOYEE WHO IS A MISCELLANEOUS INDUSTRY  WORKER  RECEIVING  TIPS
 AND  PAID  PURSUANT  TO  THE PROVISIONS OF 12 NYCRR PART 142 BE FOR EACH
 WORKED IN THE COUNTIES OF NASSAU, SUFFOLK AND WESTCHESTER, A  CASH  WAGE
 OF NOT LESS THAN:
   $11.40  OR $12.00 PER HOUR FOR HIGH TIP AND LOW TIP EMPLOYEES, RESPEC-
 TIVELY ON AND AFTER JUNE 30, 2023;
   $14.00 PER HOUR FOR BOTH HIGH TIP AND LOW TIP EMPLOYEES ON  AND  AFTER
 DECEMBER  31, 2023, AND BEGINNING ON DECEMBER THIRTY-FIRST, TWO THOUSAND
 TWENTY-FOUR, THE CASH WAGE PAYABLE UNDER THIS  PARAGRAPH  SHALL  BE  THE
 SAME  AS  THE  CASH  WAGE UNDER PARAGRAPH (B) OF SUBDIVISION ONE OF THIS
 SECTION AND SHALL INCREASE WHENEVER THE LATTER INCREASES.
   (G) NOTWITHSTANDING SUBDIVISIONS ONE AND TWO OF THIS SECTION, THE WAGE
 FOR AN EMPLOYEE WHO IS A MISCELLANEOUS INDUSTRY  WORKER  RECEIVING  TIPS
 AND  PAID  PURSUANT  TO  THE PROVISIONS OF 12 NYCRR PART 142 BE FOR EACH
 HOUR WORKED OUTSIDE THE CITY OF NEW YORK AND  THE  COUNTIES  OF  NASSAU,
 SUFFOLK AND WESTCHESTER, A CASH WAGE OF NOT LESS THAN:
   $10.35  OR $10.90 PER HOUR FOR HIGH TIP AND LOW TIP EMPLOYEES, RESPEC-
 TIVELY ON AND AFTER JUNE 30, 2023;
   $12.50 PER HOUR FOR BOTH HIGH TIP AND LOW TIP EMPLOYEES ON  AND  AFTER
 DECEMBER  31, 2023, AND BEGINNING ON DECEMBER THIRTY-FIRST, TWO THOUSAND
 TWENTY-FOUR, THE CASH WAGE PAYABLE UNDER THIS  PARAGRAPH  SHALL  BE  THE
 SAME  AS  THE  CASH  WAGE UNDER PARAGRAPH (C) OF SUBDIVISION ONE OF THIS
 SECTION AND SHALL INCREASE WHENEVER THE LATTER INCREASES.
   § 4. Subdivision 2 of section 653 of the labor law, as added by  chap-
 ter 14 of the laws of 2000, is amended to read as follows:
   (2)  The  commissioner shall, within six months after enactment of any
 change in the statutory minimum wage set forth  in  subdivision  one  of
 section  six  hundred fifty-two of this article, appoint a wage board to
 inquire and report and recommend any changes to  wage  orders  governing
 wages  payable  to food service workers. Such wage board shall be estab-
 lished consistent with the provisions of subdivision one of section  six
 hundred  fifty-five  of  this article, except the representatives of the
 employees shall be selected upon the nomination of  the  state  American
 Federation  of Labor/Congress of Industrial Organizations; and provided,
 further, that the representatives of the  employers  shall  be  selected
 upon  the  nomination  of the New York State Business Council. [Any wage
 order authorizing a lesser wage  than  the  previously  and  statutorily
 mandated  minimum  wage for such employees shall be reviewed by the wage
 board to ascertain at what  level  such  wage  order  is  sufficient  to
 provide adequate maintenance and to protect the health and livelihood of
 employees subject to such a wage order after a statutory increase in the
 mandated minimum wage] NOTWITHSTANDING SECTION SIX HUNDRED FIFTY-FIVE OF
 A. 1710                             5
 
 THIS  ARTICLE, A WAGE ORDER UNDER THIS SUBDIVISION SHALL NOT AUTHORIZE A
 LESSER WAGE THAN THE PREVIOUSLY AND STATUTORILY  MANDATED  MINIMUM  WAGE
 FOR SUCH EMPLOYEES.
   § 5. The labor law is amended by adding a new section 198-f to read as
 follows:
   §  198-F. RESTAURANT AND RESTAURANT WORKER RECOVERY FUND LOAN PROGRAM.
 1. THERE IS ESTABLISHED IN THE DEPARTMENT A  RESTAURANT  AND  RESTAURANT
 WORKER RECOVERY FUND LOAN PROGRAM FOR THE PURPOSES OF SUPPORTING RESTAU-
 RANTS  IN THE STATE AND HELPING THEIR EMPLOYEES TO SURVIVE THE FINANCIAL
 HARDSHIPS CREATED BY THE COVID-19 PANDEMIC BY PROVIDING LOANS TO  QUALI-
 FYING  RESTAURANTS  TO  ASSIST  IN  COVERING  UNANTICIPATED  LABOR COSTS
 INCURRED AS A RESULT OF THE STATE OF  EMERGENCY  THAT  WAS  DECLARED  BY
 EXECUTIVE  ORDER  NUMBER TWO HUNDRED TWO OF TWO THOUSAND TWENTY, AND ANY
 FURTHER AMENDMENTS OR MODIFICATIONS THERETO, AND TO ENCOURAGE  PROVIDING
 A LIVABLE WAGE FOR RESTAURANT WORKERS WHO RECEIVE GRATUITIES.
   2. AS USED IN THIS SECTION:
   (A)  "EQUITY TRAINING" MEANS TRAINING AS DESCRIBED IN SUBDIVISION FIVE
 OF THIS SECTION.
   (B) "RESTAURANT AND RESTAURANT WORKER RECOVERY FUND" OR  "FUND"  MEANS
 THE  RESTAURANT AND RESTAURANT WORKER RECOVERY FUND ESTABLISHED PURSUANT
 TO SECTION NINETY-SEVEN-II OF THE STATE FINANCE LAW.
   (C) "QUALIFYING RESTAURANT" MEANS A RESTAURANT THAT MEETS THE CRITERIA
 ESTABLISHED IN SUBDIVISION THREE OF THIS SECTION.
   (D) "SMALL NEW YORK-BASED RESTAURANT" MEANS A RESTAURANT LOCATED WITH-
 IN THE STATE THAT IS A SMALL BUSINESS AS DEFINED BY SECTION ONE  HUNDRED
 THIRTY-ONE OF THE ECONOMIC DEVELOPMENT LAW.
   3.  (A) THE DEPARTMENT MAY MAKE LOANS TO QUALIFYING RESTAURANTS IN THE
 AMOUNT OF UP TO FIFTEEN THOUSAND DOLLARS BASED ON A FORMULA AND  PROCESS
 DETERMINED BY THE COMMISSIONER.
   (B)  TO  BE  ELIGIBLE FOR A LOAN FROM THE FUND, A SMALL NEW YORK-BASED
 RESTAURANT SHALL PAY ALL TIPPED EMPLOYEES NOT LESS THAN THE FULL MINIMUM
 HOURLY WAGE RATE AS DEFINED BY SECTION SIX  HUNDRED  FIFTY-TWO  OF  THIS
 CHAPTER AS EVIDENCED BY:
   (I)  PROOF THAT SUCH A POLICY AND PRACTICE IS IN EXISTENCE AT THE TIME
 OF THE APPLICATION FOR A LOAN FROM THE FUND; OR
   (II) EXECUTION OF A SWORN AFFIDAVIT ATTESTING THAT SUCH A  POLICY  AND
 PRACTICE  SHALL  BE  INSTITUTED  IN  THE RESTAURANT WITHIN SIX MONTHS OF
 RECEIPT OF A LOAN FROM THE FUND.
   4. (A) A LOAN MADE PURSUANT TO THE PROVISIONS OF THIS SECTION SHALL BE
 FORGIVEN IN ITS ENTIRETY BY THE COMMISSIONER IF THE  FOLLOWING  CRITERIA
 ARE MET:
   (I)  THE  RESTAURANT  PROVIDES  PROOF  TO THE COMMISSIONER THAT IT HAS
 PARTICIPATED IN EQUITY TRAINING WITHIN SIX  MONTHS  OF  RECEIPT  OF  THE
 INTEREST-FREE LOAN FROM THE FUND; AND
   (II)  THE  RESTAURANT PROVIDES PROOF OF IMPLEMENTATION OF A POLICY AND
 PRACTICE OF PAYING ITS TIPPED EMPLOYEES NOT LESS THAN THE  FULL  MINIMUM
 HOURLY  WAGE  RATE  AS  DEFINED BY SECTION SIX HUNDRED FIFTY-TWO OF THIS
 CHAPTER AND THAT SUCH POLICY AND PRACTICE HAS BEEN  IN  EFFECT  FOR  NOT
 LESS  THAN  TWO YEARS FROM THE DATE OF RECEIPT OF THE LOAN FROM THE FUND
 OR, ALTERNATIVELY, THE ACTUAL DATE OF THE IMPLEMENTATION OF SUCH  POLICY
 AND  PRACTICE  IS NOT GREATER THAN SIX MONTHS AFTER RECEIPT OF THE LOAN,
 WHICHEVER IS LATER.
   (B) IF A RESTAURANT THAT RECEIVES A LOAN UNDER THIS SECTION  FAILS  TO
 MEET AND CONTINUE THE REQUIREMENTS FOR ACCEPTING SUCH LOAN, AS SET FORTH
 PURSUANT  TO  THIS  SECTION  AND  AS  THE COMMISSIONER MAY REQUIRE, SUCH
 RESTAURANT SHALL BE REQUIRED TO PAY BACK THE TOTAL AMOUNT  OF  THE  LOAN
 A. 1710                             6
 
 ACCEPTED  PLUS  A  PENALTY  OF  THREE PERCENT OF THE TOTAL AMOUNT OF THE
 LOAN.
   5.  (A)  THE  DEPARTMENT  SHALL DEVELOP AN EQUITY TRAINING PROGRAM FOR
 OWNERS AND  MANAGERS  OF  QUALIFYING  RESTAURANTS.  IN  DEVELOPING  SUCH
 PROGRAM,  THE  DEPARTMENT  MAY UTILIZE EXISTING DEPARTMENT RESOURCES AND
 PROGRAMS AND MAY CONSULT WITH  ORGANIZATIONS  THAT  HAVE  A  HISTORY  OF
 TRAINING  EMPLOYERS  ON  BEST  PRACTICES  TO INCREASE WAGES AND TEACHING
 GENDER AND RACIAL EQUITY.
   (B) THE EQUITY TRAINING PROGRAM SHALL INCLUDE INFORMATION AND  MATERI-
 ALS PERTAINING TO THE BEST PRACTICES WITH RESPECT TO:
   (I)  RAISING  WAGES TO PROFITABLY PAY A FULL MINIMUM WAGE TO ALL WORK-
 ERS;
   (II) EQUITABLE SHARING OF TIPS;
   (III) INCREASING RACE AND GENDER EQUITY AMONG EMPLOYEES, INCLUDING:
   (A) ASSESSING AND OVERHAULING HIRING, TRAINING, PROMOTION  AND  EVALU-
 ATION PRACTICES TO ENSURE EQUITY FOR WOMEN AND PEOPLE OF COLOR;
   (B) IMPLICIT BIAS TESTING AND TRAINING FOR MANAGEMENT.
   (C) MATERIALS PROVIDED TO PERSONS PARTICIPATING IN THE EQUITY TRAINING
 SHALL INCLUDE:
   (I) A CALCULATION THAT ALLOWS EMPLOYERS TO INPUT THE NUMBER OF EMPLOY-
 EES  AND  THE MENU PROCESS AT THE QUALIFYING RESTAURANT AND PROVIDES THE
 EMPLOYER WITH THE BEST PRICING OPTIONS TO INCREASE WAGES PROFITABLY;
   (II) THREE MODELS AND CASE STUDIES OF EQUITABLE  WAGE/GRATUITY  STRUC-
 TURES,  INCLUDING  ONE  THAT  ADDRESSES  SERVICE  CHARGES  AND  ONE THAT
 ADDRESSES GRATUITY-FREE MODELS;
   (III) CASE STUDIES OF THE BOTTOM-LINE BENEFITS  OF  INCREASING  EQUITY
 AMONG EMPLOYEES; AND
   (IV) A MODEL POLICY TO ADDRESS SEXUAL HARASSMENT.
   (D)  THE  DEPARTMENT  SHALL  PROVIDE QUALIFYING RESTAURANT OWNERS WITH
 TECHNICAL ASSISTANCE TO HELP SUCH  OWNERS  TO  DEVELOP  THEIR  OWN  WAGE
 INCREASE STRUCTURE.
   (E)  THE  DEPARTMENT IS AUTHORIZED TO EXPEND UP TO SEVEN HUNDRED FIFTY
 THOUSAND DOLLARS  FOR  PURPOSES  OF  IMPLEMENTING  THE  EQUITY  TRAINING
 DESCRIBED IN THIS SUBDIVISION.
   6.  NOTHING IN THIS SECTION SHALL BE CONSTRUED TO MODIFY IN ANY WAY AN
 EMPLOYEE'S RIGHT TO RECEIVE GRATUITIES PURSUANT TO SECTION  ONE  HUNDRED
 NINETY-SIX-D OF THIS ARTICLE.
   7.  THE  COMMISSIONER IS AUTHORIZED TO PROMULGATE, AMEND AND/OR REPEAL
 SUCH RULES  AND  REGULATIONS  AS  MAY  BE  NECESSARY  TO  IMPLEMENT  THE
 PROVISIONS OF THIS SECTION.
   § 6. The state finance law is amended by adding a new section 97-ii to
 read as follows:
   §  97-II.  RESTAURANT  AND  RESTAURANT  WORKER RECOVERY FUND. THERE IS
 HEREBY ESTABLISHED IN THE JOINT CUSTODY OF THE COMMISSIONER OF  TAXATION
 AND  FINANCE  AND  THE  COMPTROLLER,  A  SPECIAL FUND TO BE KNOWN AS THE
 RESTAURANT AND RESTAURANT WORKER RECOVERY FUND. MONIES IN THE FUND SHALL
 BE KEPT SEPARATE FROM AND NOT COMMINGLED WITH OTHER FUNDS  HELD  IN  THE
 CUSTODY OF THE COMMISSIONER OF TAXATION AND FINANCE.
   2.  THE FUND SHALL CONSIST OF ALL MONIES APPROPRIATED FOR ITS PURPOSE,
 ALL MONIES REQUIRED BY THIS SECTION OR ANY OTHER PROVISIONS OF LAW TO BE
 PAID INTO OR CREDITED TO SUCH FUND, AND ALL  OTHER  MONEY  APPROPRIATED,
 CREDITED,  OR TRANSFERRED THERETO FROM ANY OTHER FUND OR SOURCE PURSUANT
 TO LAW. NOTHING IN THIS SECTION SHALL PREVENT THE STATE  FROM  RECEIVING
 GRANTS,  GIFTS  OR  BEQUESTS  FOR THE PURPOSES OF THE FUND AS DEFINED IN
 THIS SECTION AND DEPOSITING THEM INTO THE FUND ACCORDING TO LAW.
 A. 1710                             7
 
   3. MONIES OF THE FUND SHALL, AFTER APPROPRIATION BY  THE  LEGISLATURE,
 BE  MADE AVAILABLE TO THE DEPARTMENT OF LABOR AND SHALL BE EXPENDED ONLY
 FOR THE PURPOSES OF LOANS AND EQUITY TRAINING THROUGH AND ADMINISTRATIVE
 EXPENSES OF THE RESTAURANT AND  RESTAURANT  WORKER  RECOVERY  FUND  LOAN
 PROGRAM  ESTABLISHED  BY SECTION ONE HUNDRED NINETY-EIGHT-F OF THE LABOR
 LAW. MONIES SHALL BE PAYABLE FROM THE FUND BY THE COMMISSIONER OF  TAXA-
 TION AND FINANCE ON VOUCHERS APPROVED BY THE COMMISSIONER OF LABOR.
   4.  ON OR BEFORE THE FIRST DAY OF FEBRUARY EACH YEAR, THE COMMISSIONER
 OF LABOR SHALL PROVIDE A WRITTEN REPORT TO THE GOVERNOR,  THE  TEMPORARY
 PRESIDENT  OF  THE SENATE, THE SPEAKER OF THE ASSEMBLY, THE CHAIR OF THE
 SENATE FINANCE COMMITTEE AND THE CHAIR OF THE ASSEMBLY  WAYS  AND  MEANS
 COMMITTEE.  SUCH  REPORT  SHALL  INCLUDE HOW THE MONIES OF THE FUND WERE
 UTILIZED DURING THE PRECEDING CALENDAR YEAR AND SHALL INCLUDE:  (A)  THE
 AMOUNT  OF  MONEY  DISBURSED  FROM THE FUND; (B) THE RECIPIENTS OF LOANS
 FROM THE FUND; (C)  THE  AMOUNT  AWARDED  TO  EACH  RECIPIENT;  (D)  THE
 PURPOSES FOR WHICH SUCH LOANS WERE GRANTED; (E) THE AMOUNT OF LOANS THAT
 WERE  REPAID  UNDER  THE  RESTAURANT AND RESTAURANT WORKER RECOVERY FUND
 LOAN PROGRAM; (F) THE AMOUNT OF  LOANS  THAT  WERE  FORGIVEN  UNDER  THE
 RESTAURANT  AND  RESTAURANT WORKER RECOVERY FUND LOAN PROGRAM; AND (G) A
 SUMMARY FINANCIAL PLAN FOR SUCH MONIES WHICH SHALL INCLUDE ESTIMATES  OF
 ALL RECEIPTS AND ALL DISBURSEMENTS FOR THE CURRENT AND SUCCEEDING FISCAL
 YEARS, ALONG WITH THE ACTUAL RESULTS FROM THE PRIOR FISCAL YEAR.
   § 7. The sum of fifty million dollars ($50,000,000), or so much there-
 of  as  may  be  available,  is hereby appropriated to the department of
 labor from any moneys in the state treasury in the general fund  to  the
 credit  of  the  state purposes account, not otherwise appropriated, and
 made  immediately  available,  for  the  purpose  of  carrying  out  the
 provisions  of  this  act. Such moneys shall be payable on the audit and
 warrant of the state comptroller on vouchers certified  or  approved  by
 the commissioner of labor in the manner prescribed by law.
   §  8. Upon the expiration and repeal of this act, any monies remaining
 in the restaurant and restaurant worker recovery fund established pursu-
 ant to section 97-ii of the state finance law shall be refunded  to  the
 state  treasury  in the general fund to the credit of the state purposes
 account.
   § 9. 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 of this act, but shall  be  confined
 in  its  operation  to  the  clause,  sentence,  paragraph, subdivision,
 section or part of this act 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 clause, sentence, paragraph, subdivision, section
 or part of this act had not been included herein.
   § 10. This act shall take effect immediately and shall expire  and  be
 deemed repealed July 1, 2025.