Senate Bill S7905

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   7905
 
                             I N  S E N A T E
 
                              January 3, 2024
                                ___________
 
 Introduced  by  Sens.  PARKER, BAILEY, BRESLIN, BRISPORT, BROUK, COMRIE,
   GIANARIS,  GOUNARDES,  HARCKHAM,  HOYLMAN-SIGAL,  JACKSON,   KAVANAGH,
   KRUEGER,  LIU,  MAY,  MYRIE, PERSAUD, RAMOS, RIVERA, SALAZAR, SANDERS,
   SEPULVEDA, SERRANO, STAVISKY -- read twice and  ordered  printed,  and
   when printed to be committed to the Committee on Environmental Conser-
   vation

 AN  ACT  to amend the environmental conservation law, the executive law,
   the labor law and the tax law, in relation to enacting the climate and
   community investment 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 "climate and community investment act".
   § 2. Article 19 of the environmental conservation law  is  amended  by
 adding a new title 13 to read as follows:
                                 TITLE 13
                 VALUE OF POLLUTION AND MITIGATION PROGRAM
 SECTION 19-1301. DEFINITIONS.
         19-1303. METHODOLOGY AND VALUATION OF POLLUTION PRICE INDEX.
         19-1305. IMPLEMENTATION OF FEES.
         19-1307. ALLOCATION OF REVENUES.
         19-1309. INVENTORY.
         19-1311. TRANSPORTATION POLLUTION.
         19-1313. REPORTING.
 § 19-1301. DEFINITIONS.
   FOR  THE  PURPOSES  OF  THIS TITLE, THE FOLLOWING TERMS SHALL HAVE THE
 FOLLOWING MEANINGS:
   1. "THE ACT" SHALL HAVE THE SAME MEANING AS IN  SUBDIVISION  EIGHT  OF
 SECTION 19-0107 OF THIS ARTICLE.
   2. "COMPTROLLER" MEANS THE NEW YORK STATE COMPTROLLER.
   3. "COVERED SOURCES" MEANS THOSE SOURCES OF REGULATED AIR CONTAMINANTS
 REQUIRED  TO  HAVE  A PERMIT UNDER TITLE V OF THE ACT (42 U.S.C. SECTION
 7661 ET SEQ).
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD06164-02-3
              

 S. 7905                             2
 
   4. "CUMULATIVE BURDENS" MEAN THE ADVERSE HEALTH IMPACTS THAT ACCRUE TO
 INDIVIDUALS AND POPULATION GROUPS AS A RESULT OF EXPOSURE  TO  POLLUTION
 OVER  TIME,  AND  AS A RESULT OF EXPOSURE TO MULTIPLE FORMS OF POLLUTION
 AND OTHER RISK  FACTORS,  INCLUDING  POVERTY,  VIOLENCE,  AND  SUBSTANCE
 ABUSE.
   5.  "DISADVANTAGED  COMMUNITIES"  SHALL  HAVE  THE  SAME MEANING AS IN
 SUBDIVISION FIVE OF SECTION 75-0101 OF THIS CHAPTER.
   6. "DOWNSTATE REGION" MEANS THE COUNTIES OF RICHMOND,  KINGS,  QUEENS,
 NEW YORK, BRONX, WESTCHESTER, NASSAU AND SUFFOLK.
   7.  "EMISSIONS  HOTSPOT" MEANS A LOCATION WHERE EMISSIONS OF REGULATED
 AIR CONTAMINANTS FROM SPECIFIC SOURCES MAY EXPOSE INDIVIDUALS AND  POPU-
 LATION  GROUPS  TO  ELEVATED  RISKS  OF  ADVERSE  HEALTH EFFECTS AND MAY
 CONTRIBUTE TO THE CUMULATIVE HEALTH RISKS OF EMISSIONS FROM OTHER SOURC-
 ES IN THE AREA.
   8. "EMISSIONS LEAKAGE" MEANS AN INCREASE IN EMISSIONS OUTSIDE  OF  THE
 STATE,  AS  A  RESULT  OF, OR IN CORRELATION WITH, THE IMPLEMENTATION OF
 MEASURES WITHIN THE STATE TO LIMIT SUCH EMISSIONS.
   9. "GREENHOUSE GAS" MEANS  CARBON  DIOXIDE,  METHANE,  NITROUS  OXIDE,
 HYDROFLUOROCARBONS, PERFLUOROCARBONS, SULFUR HEXAFLUORIDE, AND ANY OTHER
 SUBSTANCE  EMITTED  INTO  THE  AIR THAT MAY BE REASONABLY ANTICIPATED TO
 CAUSE OR CONTRIBUTE TO ANTHROPOGENIC CLIMATE CHANGE, WITH THE  EXCEPTION
 OF AGRICULTURAL EMISSIONS FROM LIVESTOCK.
   10.  "REGULATED  AIR  CONTAMINANT"  SHALL  HAVE THE SAME MEANING AS IN
 SUBDIVISION TWENTY-TWO OF SECTION 19-0107 OF THIS ARTICLE.
   11. "SOCIAL COST OF POLLUTION" MEANS THE COST TO NEW YORK RESIDENTS OF
 EMITTING ONE TON, OR ANOTHER UNIT OF MEASUREMENT DEEMED  APPROPRIATE  BY
 THE DEPARTMENT, OF A GIVEN REGULATED AIR CONTAMINANT.
   12.  "UPSTATE  REGION"  MEANS  ALL  NEW YORK STATE COUNTIES OTHER THAN
 NASSAU, SUFFOLK, RICHMOND, KINGS, QUEENS, NEW YORK, BRONX AND  WESTCHES-
 TER.
 § 19-1303. METHODOLOGY AND VALUATION OF POLLUTION PRICE INDEX.
   1. NOT LATER THAN ONE YEAR AFTER THE EFFECTIVE DATE OF THIS TITLE, THE
 DEPARTMENT  SHALL  PUBLISH  AN  INDEX  THAT  LISTS  THE  SOCIAL  COST OF
 POLLUTION FOR ALL REGULATED AIR CONTAMINANTS, OR APPROPRIATE  SUB-GROUP-
 ING  THEREOF. AT THE SAME TIME, THE DEPARTMENT SHALL PUBLISH A METHODOL-
 OGY FOR DETERMINING THE SOCIAL COST OF POLLUTION FOR EACH REGULATED  AIR
 CONTAMINANT,  OR  APPROPRIATE  SUB-GROUPING  THEREOF. IN DETERMINING THE
 SOCIAL COST OF POLLUTION FOR A  GIVEN  REGULATED  AIR  CONTAMINANT,  THE
 DEPARTMENT SHALL CONSIDER, AT A MINIMUM:
   (A)  PUBLIC  HEALTH  IMPACTS,  INCLUDING BUT NOT LIMITED TO:   LOSS OF
 LIFE, LOSS OF WELFARE, AND EMPLOYMENT IMPACTS;
   (B) IMPACTS TO PUBLIC AND  PRIVATE  PROPERTY,  INCLUDING  AGRICULTURAL
 PROPERTY;
   (C)  IMPACTS  TO  ECOSYSTEMS  AND THE ABILITY OF ECOSYSTEMS TO PROVIDE
 ECOSYSTEM SERVICES; AND
   (D) THE FULL LIFE-CYCLE OF IMPACTS.
   2. IF THE DEPARTMENT DEMONSTRATES  THAT  IT  IS  NOT  ADMINISTRATIVELY
 FEASIBLE  IN  THE  TIME  ALLOTTED  IN SUBDIVISION ONE OF THIS SECTION TO
 COMPLETE A METHODOLOGY FOR EACH INDIVIDUAL REGULATED AIR CONTAMINANT, OR
 APPROPRIATE SUB-GROUPING THEREOF, THEN  THE  DEPARTMENT  MAY  DELAY  THE
 COMPLETION  OF  METHODOLOGIES  FOR SOME PORTION OF REGULATED AIR CONTAM-
 INANTS FOR FUTURE RULE-MAKINGS, PROVIDED THAT:
   (A) IN THE FIRST PUBLICATION OF  SUCH  METHODOLOGIES,  THE  DEPARTMENT
 COMPLETES  A  METHODOLOGY,  PURSUANT TO SUBDIVISION ONE OF THIS SECTION,
 FOR EACH OF THE FOLLOWING POLLUTANTS:
   (I) OXIDES OF NITROGEN;
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   (II) VOLATILE ORGANIC COMPOUNDS;
   (III) SULFUR DIOXIDE;
   (IV) PARTICULATE MATTER;
   (V) CARBON MONOXIDE; AND
   (VI) LEAD;
   (B)  IN  THE  FIRST  PUBLICATION OF SUCH METHODOLOGIES, THE DEPARTMENT
 COMPLETES A METHODOLOGY, PURSUANT TO SUBDIVISION ONE  OF  THIS  SECTION,
 FOR EACH OF THE AIR CONTAMINANTS LISTED UNDER SECTION 112 OF THE ACT (42
 USC  SECTION  7412)  THAT  THE  DEPARTMENT  FINDS TO BE MOST DAMAGING TO
 PUBLIC HEALTH IN NEW YORK, OF ALL AIR  CONTAMINANTS  LISTED  UNDER  SUCH
 SECTION;
   (C) THE DEPARTMENT DEMONSTRATES AND PUBLISHES, ALONG WITH THE PUBLICA-
 TION OF METHODOLOGIES DESCRIBED UNDER SUBDIVISION ONE OF THIS SECTION, A
 DESCRIPTION  OF  WHY  IT  IS  NOT  ADMINISTRATIVELY FEASIBLE IN THE TIME
 ALLOTTED IN SUBDIVISION ONE OF THIS SECTION TO COMPLETE  A  METHODOLOGY,
 FOR EACH INDIVIDUAL REGULATED AIR CONTAMINANT, OR APPROPRIATE SUB-GROUP-
 ING THEREOF; AND
   (D)  THE  DEPARTMENT  SUBSEQUENTLY  PUBLISHES AT LEAST FIVE ADDITIONAL
 METHODOLOGIES PER YEAR, UNTIL THAT DATE WHEN EACH REGULATED AIR  CONTAM-
 INANT,  OR  APPROPRIATE SUB-GROUPING THEREOF, HAS A COMPLETE METHODOLOGY
 ASCRIBED TO IT.
 § 19-1305. IMPLEMENTATION OF FEES.
   1. NOT LATER THAN TWO YEARS AFTER THE EFFECTIVE DATE  OF  THIS  TITLE,
 THE  DEPARTMENT SHALL INSTITUTE A SYSTEM OF COMPLIANCE FEES THAT REFLECT
 THE INDEX ESTABLISHED UNDER SECTION 19-1303 OF THIS TITLE.  ALL  COVERED
 SOURCES  SHALL BE REQUIRED TO PAY THE FEE FOR EACH REGULATED AIR CONTAM-
 INANT EMITTED.
   2. NOTWITHSTANDING ANY INCONSISTENT PROVISIONS OF THE  STATE  ADMINIS-
 TRATIVE PROCEDURE ACT, SUCH FEE SHALL BE ESTABLISHED AS A RULE BY PUBLI-
 CATION  IN  THE  ENVIRONMENTAL NOTICE BULLETIN NO LATER THAN THIRTY DAYS
 AFTER THE BUDGET BILLS MAKING APPROPRIATIONS FOR THE SUPPORT OF  GOVERN-
 MENT ARE ENACTED OR JULY FIRST, WHICHEVER IS LATER, OF THE YEAR SUCH FEE
 WILL BE EFFECTIVE.
   3. BILLS ISSUED FOR THE FEE SHALL BE BASED ON ACTUAL EMISSIONS FOR THE
 PRIOR  CALENDAR  YEAR, AS DEMONSTRATED TO THE DEPARTMENT'S SATISFACTION,
 OR IN THE ABSENCE OF SUCH DEMONSTRATION,  ON  PERMITTED  EMISSIONS,  OR,
 WHERE  THERE  IS  NO  APPLICABLE  PERMIT,  ON POTENTIAL TO EMIT. PERSONS
 REQUIRED TO SUBMIT AN EMISSIONS STATEMENT TO THE  DEPARTMENT  SHALL  USE
 SUCH STATEMENT TO DEMONSTRATE ACTUAL EMISSIONS UNDER THIS SECTION.
   4.  ANY  PERSON  REQUIRED TO PAY FEES IMPOSED PURSUANT TO THIS SECTION
 MAY ELECT TO BASE SUCH FEES ON THE  LEVEL  OF  PERMITTED  EMISSIONS  SET
 FORTH  IN  A  PERMIT, CERTIFICATE OR APPROVAL ISSUED PURSUANT TO SECTION
 19-0311 OF THIS ARTICLE.
   5. IF A CITY OR COUNTY IS DELEGATED THE DEPARTMENT TO  ADMINISTER  THE
 OPERATING PERMIT PROGRAM ESTABLISHED PURSUANT TO SECTION 19-0311 OF THIS
 ARTICLE,  IT  MAY  COLLECT THE FEES ESTABLISHED PURSUANT TO THIS SECTION
 AND NO ADDITIONAL LIABILITY FOR FEES UNDER THIS SECTION SHALL ACCRUE FOR
 ANY SUCH SOURCE.
 § 19-1307. ALLOCATION OF REVENUES.
   1. THE COMPTROLLER AND DEPARTMENT SHALL ESTABLISH A TRUST FUND  TO  BE
 KNOWN  AS THE "VALUE OF POLLUTION AND MITIGATION PROGRAM FUND", CONSIST-
 ING OF SUCH AMOUNTS AS MAY BE APPROPRIATED OR CREDITED TO SUCH  FUND  AS
 PROVIDED IN THIS SECTION.
   2.   (A) FUNDS RECEIVED UNDER THIS TITLE SHALL BE ALLOCATED ACCORDING-
 LY:
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   (I) FORTY PERCENT OF FUNDS SHALL BE INVESTED IN A  MANNER  WHICH  WILL
 BENEFIT  DISADVANTAGED  COMMUNITIES, CONSISTENT WITH THE PURPOSE OF THIS
 TITLE;
   (II)  TWENTY  PERCENT  OF  FUNDS  SHALL GO TO EXPANDING, OPERATING AND
 MAINTAINING THE NEW YORK STATE TITLE V EMISSIONS  INVENTORY  WITHIN  THE
 DEPARTMENT;
   (III)  TWENTY  PERCENT  OF  FUNDS SHALL GO TO EXPANDING, OPERATING AND
 MAINTAINING AIR QUALITY MONITORING, INCLUDING AMBIENT AIR QUALITY  MONI-
 TORING AND POINT SOURCE MONITORING WITHIN THE DEPARTMENT; AND
   (IV)  TWENTY  PERCENT OF FUNDS SHALL BE ALLOCATED AT THE DISCRETION OF
 THE DEPARTMENT, BASED ON THE NEEDS OF THE DEPARTMENT.
   NO FUNDS SHALL BE ALLOCATED TO FUND POLICE, PRISONS OR RELATED INFRAS-
 TRUCTURE.
   (B) THE VALUE OF POLLUTION AND MITIGATION PROGRAM FUND SHALL BE ADMIN-
 ISTERED BY THE DEPARTMENT.
 § 19-1309. INVENTORY.
   NOT LATER THAN EIGHTEEN MONTHS AFTER THE EFFECTIVE DATE OF THIS TITLE,
 THE DEPARTMENT SHALL UPDATE AND PUBLISH THE INVENTORY OF EMISSIONS  FROM
 TITLE V SOURCES TO:
   1.  ASSESS THE EXTENT TO WHICH GIVEN REGULATED AIR CONTAMINANTS, ESPE-
 CIALLY AIR CONTAMINANTS THAT HAVE HIGHLY  ADVERSE  HEALTH  IMPACTS,  ARE
 CO-EMITTED WITH GREENHOUSE GAS EMISSIONS;
   2.  ASSESS  THE  EXTENT  TO WHICH REGULATED AIR CONTAMINANTS THAT HAVE
 ESPECIALLY ADVERSE HEALTH IMPACTS ARE LIKELY TO BE REDUCED OVER TIME  AS
 A RESULT OF:
   (A)  THE  FEE  ESTABLISHED  IN SECTION THREE THOUSAND FORTY OF THE TAX
 LAW; AND
   (B) THE INVESTMENT PROGRAMS ESTABLISHED IN  ARTICLE  SEVENTY-SEVEN  OF
 THIS CHAPTER;
   3.  IDENTIFY  AND  ANALYZE  EMISSIONS HOTSPOTS AND CUMULATIVE BURDENS,
 PERTAINING TO REGULATED AIR CONTAMINANTS IN ORDER  TO  PRIORITIZE  EMIS-
 SIONS REDUCTIONS IN THESE AREAS;
   4.  ASSESS  EMISSIONS  AND POLLUTION-RELATED HEALTH IMPACTS ASSOCIATED
 WITH THE TRANSPORTATION SECTOR; AND
   5. MAKE THE TITLE V EMISSIONS INVENTORY MORE ACCESSIBLE TO THE  PUBLIC
 INCLUDING,  BUT  NOT  LIMITED  TO,  TAKING ACTION TO RELEASE THE RELATED
 DATA, ANALYSIS AND ASSUMPTIONS OF AGENCY WEBSITES.
 § 19-1311.  TRANSPORTATION POLLUTION.
   1. NOT LATER THAN ONE YEAR AFTER THE EFFECTIVE DATE OF THIS TITLE, THE
 COMMISSIONER SHALL PREPARE AND APPROVE A SCOPING PLAN  FOR  ACCELERATING
 THE REDUCTION OF REGULATED AIR CONTAMINANTS FROM MOBILE SOURCES.
   2.  THE  DRAFT  SCOPING  PLAN  SHALL BE DEVELOPED IN CONSULTATION WITH
 OTHER STAKEHOLDERS.
   (A) THE DEPARTMENT SHALL PROVIDE MEANINGFUL OPPORTUNITIES  FOR  PUBLIC
 COMMENT  FROM  ALL  PERSONS  WHO WILL BE IMPACTED BY THE PLAN, INCLUDING
 PERSONS LIVING IN DISADVANTAGED COMMUNITIES.
   (B) ON OR BEFORE ONE YEAR AFTER THE EFFECTIVE DATE OF THIS TITLE,  THE
 DEPARTMENT  SHALL  SUBMIT  THE  FINAL  SCOPING PLAN TO THE GOVERNOR, THE
 SPEAKER OF THE ASSEMBLY AND THE TEMPORARY PRESIDENT OF  THE  SENATE  AND
 POST SUCH PLAN ON ITS WEBSITE.
   3. THE MEASURES AND ACTIONS CONSIDERED IN SUCH SCOPING PLAN SHALL AT A
 MINIMUM INCLUDE:
   (A)  PERFORMANCE-BASED  STANDARDS  FOR MOBILE SOURCES OF REGULATED AIR
 CONTAMINANTS;
   (B) MARKET-BASED MECHANISMS TO REDUCE EMISSIONS FROM  MOBILE  SOURCES,
 INCLUDING:
 S. 7905                             5
 
   (I) THE IMPOSITION OF FEES PER UNIT OF REGULATED AIR CONTAMINANT;
   (II) A ZONED SURCHARGE SYSTEM ON TRUCKING AND PORTS; AND
   (III) CONGESTION PRICING;
   (C)  THE  CREATION  OF  LOW EMISSION ZONES AND THE POLICIES TO PROMOTE
 ZERO-EMISSION AND LOW-EMISSION  TRANSPORTATION  OPTIONS,  INCLUDING  THE
 ELECTRIFICATION OF PORT FACILITIES AND FREIGHT TRANSPORTATION; AND
   (D)  LAND-USE  AND  TRANSPORTATION PLANNING MEASURES AIMED AT REDUCING
 EMISSIONS FROM MOBILE SOURCES.
   4. NO LATER THAN THREE YEARS AFTER THE EFFECTIVE DATE OF  THIS  TITLE,
 THE  DEPARTMENT,  AFTER PUBLIC WORKSHOPS AND CONSULTATION WITH REPRESEN-
 TATIVES OF REGULATED ENTITIES, AND OTHER STAKEHOLDERS, AND NOT LESS THAN
 TWO PUBLIC HEARINGS, SHALL PROMULGATE RULES AND REGULATIONS TO  ACCELER-
 ATE THE REDUCTION OF REGULATED AIR CONTAMINANTS FROM MOBILE SOURCES.
   (A)  THE  REGULATIONS  PROMULGATED  BY THE DEPARTMENT PURSUANT TO THIS
 SUBDIVISION MAY INCLUDE LEGALLY ENFORCEABLE EMISSIONS  LIMITS,  PERFORM-
 ANCE  STANDARDS,  MARKET-BASED  MECHANISMS OR MEASURES OR OTHER REQUIRE-
 MENTS TO CONTROL REGULATED AIR CONTAMINANT EMISSIONS FROM MOBILE  SOURC-
 ES.  THE  DEPARTMENT IS HEREBY AUTHORIZED TO ESTABLISH ANY SUCH POLICIES
 PURSUANT TO THIS SECTION.
   (B) IN PROMULGATING THESE REGULATIONS, THE DEPARTMENT SHALL:
   (I) DESIGN AND IMPLEMENT ALL REGULATIONS IN A MANNER THAT SEEKS TO  BE
 EQUITABLE,  TO  MINIMIZE COSTS AND TO MAXIMIZE THE TOTAL BENEFITS TO THE
 STATE;
   (II) ENSURE THAT EMISSIONS REDUCTIONS ACHIEVED ARE REAL, QUANTIFIABLE,
 VERIFIABLE, AND ENFORCEABLE BY THE DEPARTMENT;
   (III) ENSURE THAT ACTIVITIES UNDERTAKEN TO COMPLY WITH THE REGULATIONS
 DO NOT DISPROPORTIONATELY BURDEN DISADVANTAGED COMMUNITIES;
   (IV) PRIORITIZE MEASURES TO MAXIMIZE NET REDUCTIONS  OF  EMISSIONS  IN
 DISADVANTAGED COMMUNITIES;
   (V)  PRIORITIZE  MEASURES  THAT ENCOURAGE EARLY ACTION TO REDUCE EMIS-
 SIONS; AND
   (VI) MINIMIZE EMISSIONS LEAKAGE.
   5. IF ANY OF THE POLICIES IMPLEMENTED BY THE  DEPARTMENT  PURSUANT  TO
 THIS  SECTION  GENERATE STATE REVENUE, THE DEPARTMENT SHALL ENSURE THAT,
 AT A MINIMUM, FORTY PERCENT OF ANY FUNDS COLLECTED  ARE  INVESTED  IN  A
 MANNER WHICH WILL BENEFIT DISADVANTAGED COMMUNITIES, CONSISTENT WITH THE
 PURPOSES OF THIS TITLE.
 § 19-1313. REPORTING.
   1.  NOT  LATER  THAN  THREE YEARS FOLLOWING THE EFFECTIVE DATE OF THIS
 TITLE, AND EVERY TWO YEARS THEREAFTER, THE DEPARTMENT  SHALL  PRODUCE  A
 REPORT  ON  THE  IMPLEMENTATION  OF  THE POLICIES ESTABLISHED UNDER THIS
 TITLE. SUCH REPORT SHALL INCLUDE, BUT NOT BE LIMITED TO:
   (A) THE EFFECTIVENESS OF THE FEES ESTABLISHED IN  SECTION  19-1305  OF
 THIS  TITLE  TO  REDUCE  REGULATED AIR CONTAMINANTS STATEWIDE AND WITHIN
 GEOGRAPHIC SUBDIVISIONS OF THE STATE;
   (B) THE  EFFECTIVENESS  OF  THE  POLICIES  ESTABLISHED  UNDER  SECTION
 19-1311  OF  THIS TITLE TO REDUCE REGULATED AIR CONTAMINANTS FROM MOBILE
 SOURCES STATEWIDE AND WITHIN GEOGRAPHIC SUBDIVISIONS OF THE STATE;
   (C) AN OVERVIEW OF SOCIAL BENEFITS FROM THE REGULATIONS OR OTHER MEAS-
 URES ESTABLISHED PURSUANT TO THIS TITLE, INCLUDING REDUCTIONS  IN  REGU-
 LATED  AIR CONTAMINANTS, AND OTHER BENEFITS TO THE ECONOMY, ENVIRONMENT,
 AND PUBLIC HEALTH, INCLUDING BUT NOT LIMITED TO  THE  HEALTH  OF  WOMEN,
 YOUTH  AND CHILDREN AND A DETAILED ANALYSIS OF THE BENEFITS TO DISADVAN-
 TAGED COMMUNITIES;
   (D) AN OVERVIEW OF COMPLIANCE COSTS FOR REGULATED ENTITIES;
 S. 7905                             6
 
   (E) AN OVERVIEW OF ADMINISTRATIVE COSTS FOR THE DEPARTMENT  AND  OTHER
 STATE AGENCIES;
   (F) WHETHER THE FEES ESTABLISHED IN THIS TITLE ARE EQUITABLE, MINIMIZE
 COSTS AND MAXIMIZE THE TOTAL BENEFITS TO THE STATE;
   (G)  RECOMMENDATIONS  AS  TO CHANGES THAT SHOULD BE MADE TO ANY POLICY
 PROMULGATED PURSUANT TO THIS TITLE,  INCLUDING  THE  METHODOLOGY  ESTAB-
 LISHED  UNDER  SECTION  19-1303 OF THIS TITLE, AND THE IMPLEMENTATION OF
 THE FEES ESTABLISHED UNDER SECTION 19-1305 OF THIS TITLE; AND
   (H) RECOMMENDATIONS FOR FUTURE REGULATORY ACTIONS PERTAINING TO REDUC-
 ING REGULATED AIR CONTAMINANTS FROM MOBILE AND STATIONARY SOURCES.
   2. BEFORE FINALIZING THE REPORT DESCRIBED IN SUBDIVISION ONE  OF  THIS
 SECTION,  THE DEPARTMENT SHALL ENSURE THAT THERE ARE MEANINGFUL OPPORTU-
 NITIES FOR PUBLIC PARTICIPATION, INCLUDING BY:
   (A) ALLOWING AT LEAST ONE HUNDRED TWENTY DAYS FOR  THE  SUBMISSION  OF
 PUBLIC COMMENT, FOLLOWING THE DATE OF THE PUBLICATION OF A DRAFT REPORT;
 AND
   (B)  HOLDING  AT  LEAST  FOUR  REGIONAL PUBLIC HEARINGS, INCLUDING TWO
 MEETINGS IN THE UPSTATE REGION AND TWO MEETINGS IN THE DOWNSTATE REGION,
 WITH EMPHASIS ON MAXIMIZING PARTICIPATION AND ACCESSIBILITY FOR  MEMBERS
 OF DISADVANTAGED COMMUNITIES.
   3.  THE FINAL REPORT SHALL BE SUBMITTED TO THE GOVERNOR, THE TEMPORARY
 PRESIDENT OF THE SENATE, THE SPEAKER OF THE ASSEMBLY, THE MINORITY LEAD-
 ER OF THE SENATE AND THE MINORITY LEADER OF THE ASSEMBLY, AND  SHALL  BE
 POSTED ON THE WEBSITE OF THE DEPARTMENT.
   §  3. The executive law is amended by adding a new section 184 to read
 as follows:
   § 184. DIVERSION OF FUNDS DEDICATED TO CLIMATE AND  COMMUNITY  INVEST-
 MENT  TO  THE  GENERAL  FUND  OF  THE  STATE OR TO ANY OTHER PURPOSE, IS
 PROHIBITED. 1. FOR THE PURPOSES OF THIS SECTION, THE TERM  "CLIMATE  AND
 COMMUNITY  INVESTMENT" SHALL MEAN ANY PUBLIC BENEFIT CORPORATION CONSTI-
 TUTING A CLIMATE AND COMMUNITY INVESTMENT AUTHORITY  WHICH  PROVIDES  OR
 CONTRACTS  FOR  THE  PROVISION OF CLIMATE AND COMMUNITY INVESTMENT, OR A
 SUBSIDIARY THEREOF, OR ANY COUNTY OR CITY WHICH  PROVIDES  OR  CONTRACTS
 FOR  THE PROVISION OF, PURSUANT TO ARTICLE SEVENTY-SEVEN OF THE ENVIRON-
 MENTAL CONSERVATION LAW.
   2. THE DIRECTOR OF THE  BUDGET  SHALL  BE  PROHIBITED  FROM  DIVERTING
 REVENUES  DERIVED  FROM FEES PAID BY THE PUBLIC INTO ANY FUND CREATED BY
 LAW INCLUDING BUT NOT LIMITED TO ARTICLE FORTY-TWO OF THE TAX LAW, ARTI-
 CLE FORTY-THREE OF THE TAX LAW, AND ARTICLE EIGHT-B OF THE LABOR LAW FOR
 THE PURPOSE OF FUNDING CLIMATE AND COMMUNITY INVESTMENT INTO THE GENERAL
 FUND OF THE STATE OR INTO ANY OTHER FUND MAINTAINED FOR THE  SUPPORT  OF
 ANOTHER  GOVERNMENTAL  PURPOSE. NO DIVERSION OF FUNDS CAN OCCUR CONTRARY
 TO THIS SECTION BY AN ADMINISTRATIVE ACT OF THE DIRECTOR OF  THE  BUDGET
 OR ANY OTHER PERSON IN THE EXECUTIVE BRANCH.
   3. IF ANY DIVERSION OF FUNDS OCCURS BY PASSAGE OF LEGISLATION DURING A
 REGULAR OR EXTRAORDINARY SESSION OF THE LEGISLATURE, THE DIRECTOR OF THE
 BUDGET SHALL CREATE AND INCLUDE WITH THE BUDGET OR LEGISLATION DIVERTING
 FUNDS,  A  DIVERSION  IMPACT STATEMENT WHICH SHALL INCLUDE THE FOLLOWING
 INFORMATION:
   (A) THE AMOUNT OF THE DIVERSION FROM DEDICATED CLIMATE  AND  COMMUNITY
 INVESTMENT FUNDS;
   (B) THE AMOUNT DIVERTED FROM EACH FUND;
   (C)  THE  CUMULATIVE  AMOUNT  OF  DIVERSION FROM DEDICATED CLIMATE AND
 COMMUNITY INVESTMENT FUNDS DURING THE PRECEDING FIVE YEARS;
   (D) THE DATE OR DATES WHEN THE DIVERSION IS TO OCCUR; AND
 S. 7905                             7
 
   (E) A DETAILED ESTIMATE OF THE  IMPACT  OF  DIVERSION  FROM  DEDICATED
 CLIMATE  AND  COMMUNITY  INVESTMENT,  INCLUDING  ANY  IMPACT  ON CLIMATE
 INFRASTRUCTURE DEVELOPMENT, JUST TRANSITION, WORKER AND COMMUNITY ASSUR-
 ANCE, ENERGY REBATES, MAINTENANCE, SECURITY,  AND  THE  CURRENT  CAPITAL
 PROGRAM.
   4.  THE  STATE  COMPTROLLER  SHALL  REPORT ON THE RECEIPT OF ALL FUNDS
 COLLECTED PURSUANT TO THE CLIMATE AND COMMUNITY INVESTMENT ACT IN EXIST-
 ING CASH BASIS REPORTS, AND THE SPENDING OF ANY FUND COLLECTED OR  SPENT
 PURSUANT  TO  SUCH  ACT  BY  THE DEPARTMENT IN ITS EXISTING TRANSPARENCY
 REPORT AS WELL AS IF CONSIDERATION IS GIVEN TO MOVING SUCH FUNDS  ON  OR
 OFF BUDGET.
   §  4.  The labor law is amended by adding a new article 8-B to read as
 follows:
                                 ARTICLE 8-B
           RESPONSIBLE CONTRACTING, LABOR AND JOB STANDARDS AND
                             WORKER PROTECTION
 SECTION 228.   DEFINITIONS.
         229.   LABOR AND PROJECT PERFORMANCE STANDARDS.
         229-A. BEST VALUE REQUIREMENTS FOR THE SOLICITATION,  EVALUATION
                AND AWARD OF RENEWABLE ENERGY PROJECTS, ENERGY EFFICIENCY
                PROJECTS  AND OTHER CONSTRUCTION PROJECTS UNDERTAKEN WITH
                SUPPORT FROM THE DEPARTMENT OF ENVIRONMENTAL CONSERVATION
                OR RECEIVING STATE ASSISTANCE.
         229-B. BEST  VALUE  REQUIREMENTS  FOR  ALL   WORK   OTHER   THAN
                CONSTRUCTION.
   §  228.  DEFINITIONS.  FOR THE PURPOSES OF THIS ARTICLE, THE FOLLOWING
 TERMS SHALL HAVE THE FOLLOWING MEANINGS:
   1. "THE ACT" SHALL MEAN THE "CLIMATE AND COMMUNITY INVESTMENT ACT".
   2. "CLIMATE AND COMMUNITY INVESTMENT" SHALL MEAN  ANY  PUBLIC  BENEFIT
 CORPORATION  CONSTITUTING  A  CLIMATE AND COMMUNITY INVESTMENT AUTHORITY
 WHICH PROVIDES OR CONTRACTS FOR THE PROVISION OF CLIMATE  AND  COMMUNITY
 INVESTMENT,  OR  A  SUBSIDIARY  THEREOF,  OR  ANY  COUNTY  OR CITY WHICH
 PROVIDES OR CONTRACTS FOR THE PROVISION OF, PURSUANT TO  ARTICLE  SEVEN-
 TY-SEVEN OF THE ENVIRONMENTAL CONSERVATION LAW.
   3.  "LABOR  ORGANIZATION"  MEANS  ANY ORGANIZATION WHICH EXISTS AND IS
 CONSTITUTED FOR THE PURPOSE, IN WHOLE OR IN PART, OF COLLECTIVE BARGAIN-
 ING, OR OF DEALING WITH EMPLOYERS CONCERNING GRIEVANCES, TERMS OR CONDI-
 TIONS OF EMPLOYMENT, OR OF OTHER MUTUAL AID OR PROTECTION AND  WHICH  IS
 NOT  A  COMPANY  UNION.  THIS  INCLUDES, BUT IS NOT LIMITED TO BONA FIDE
 LABOR ORGANIZATIONS THAT ARE CERTIFIED OR RECOGNIZED AS THE ORGANIZATION
 OF JURISDICTION REPRESENTING  THE  WORKERS  INVOLVED  AND/OR  BONA  FIDE
 BUILDING  AND  CONSTRUCTION TRADES COUNCILS AND/OR DISTRICT COUNCILS AND
 STATE AND LOCAL LABOR FEDERATIONS COMPRISED OF LOCAL UNIONS CERTIFIED OR
 RECOGNIZED AS THE REPRESENTATIVE OF THE WORKERS.
   4. "NEUTRALITY POLICY/AGREEMENT" SHALL  MEAN  A  POLICY  OR  AGREEMENT
 WHEREIN AN EMPLOYER REMAINS NEUTRAL IN A UNION ORGANIZING DRIVE AND DOES
 NOT  ACTIVELY OPPOSE UNION EFFORTS TO GAIN MAJORITY SUPPORT OF THE RELE-
 VANT EMPLOYEES OF THE EMPLOYER.
   5. "PROJECT LABOR AGREEMENT" OR "PLA" SHALL MEAN A PRE-HIRE COLLECTIVE
 BARGAINING AGREEMENT BETWEEN A CONSTRUCTION INDUSTRY EMPLOYER AND A BONA
 FIDE BUILDING AND CONSTRUCTION TRADE LABOR ORGANIZATION REPRESENTING ALL
 CONSTRUCTION TRADES THAT  WILL  PERFORM  WORK  ON  A  PROJECT  AND  THAT
 PROVIDES  ONLY  CONTRACTORS  AND SUBCONTRACTORS WHO AGREE TO COMPLY WITH
 THE PLA SHALL BE ELIGIBLE TO PERFORM WORK ON THE PROJECT.
   § 229. LABOR AND PROJECT PERFORMANCE STANDARDS. THE FOLLOWING REQUIRE-
 MENTS SHALL APPLY TO ANY PROJECTS ASSISTED UNDER THE ACT:
 S. 7905                             8
 
   1. CONSTRUCTION - PROJECT LABOR AGREEMENT. A PROJECT  LABOR  AGREEMENT
 FOR  PURPOSES OF THIS SECTION IS A PRE-HIRE COLLECTIVE BARGAINING AGREE-
 MENT WITH LABOR ORGANIZATIONS IN THE CONSTRUCTION INDUSTRY  THAT  ESTAB-
 LISHES   THE   TERMS   AND  CONDITIONS  OF  EMPLOYMENT  FOR  A  SPECIFIC
 CONSTRUCTION PROJECT AND IS AN AGREEMENT DESCRIBED IN 29 U.S.C. 158(F).
   2.  EXECUTION  OF  PROJECT  LABOR  AGREEMENT. THE PARTY WHICH RECEIVES
 ASSISTANCE FROM THE STATE FOR A RENEWABLE ENERGY PROJECT,  ENERGY  EFFI-
 CIENCY  PROJECT, OTHER CONSTRUCTION PROJECT UNDERTAKEN WITH SUPPORT FROM
 THE DEPARTMENT OF ENVIRONMENTAL CONSERVATION, OR RECEIVING STATE ASSIST-
 ANCE SHALL TAKE THE NECESSARY  CONTRACTUAL  ACTIONS  TO  ENSURE  THAT  A
 PROJECT  LABOR  AGREEMENT  IS EXECUTED BETWEEN THE GENERAL CONTRACTOR OR
 OTHER ENTITY RESPONSIBLE FOR CONSTRUCTION OF THE  ASSISTED  PROJECT  AND
 BONA  FIDE  BUILDING AND CONSTRUCTION TRADE COUNCILS THAT HAVE THE CAPA-
 BILITY TO SUPPLY SKILLED CRAFT PERSONNEL IN ALL CRAFTS  NEEDED  FOR  THE
 PROJECT IN THE AREA WHERE THE PROJECT IS LOCATED.
   3.  TERMS  OF  PROJECT  LABOR  AGREEMENT.  A  PROJECT  LABOR AGREEMENT
 EXECUTED FOR PURPOSES  OF  THIS  SECTION  SHALL  INCLUDE  THE  NECESSARY
 PROVISIONS TO:
   (A) BIND ALL CONTRACTORS AND SUBCONTRACTORS ON THE ASSISTED PROJECT TO
 THE  PROJECT  LABOR AGREEMENT THROUGH THE INCLUSION OF APPROPRIATE SPEC-
 IFICATIONS IN ALL RELEVANT SOLICITATION PROVISIONS  AND  CONTRACT  DOCU-
 MENTS;
   (B)  ALLOW ALL CONTRACTORS AND SUBCONTRACTORS TO COMPETE FOR CONTRACTS
 AND SUBCONTRACTS ON THE PROJECT  WITHOUT  REGARD  TO  WHETHER  THEY  ARE
 OTHERWISE PARTIES TO COLLECTIVE BARGAINING AGREEMENTS;
   (C)  ESTABLISH  UNIFORM  TERMS  AND  CONDITIONS  OF EMPLOYMENT FOR ALL
 CONSTRUCTION CRAFT LABOR EMPLOYED ON THE PROJECTS;
   (D) CONTAIN GUARANTEES AGAINST  STRIKES,  LOCKOUTS,  AND  SIMILAR  JOB
 DISRUPTIONS;
   (E)  SET  FORTH EFFECTIVE, PROMPT, AND MUTUALLY BINDING PROCEDURES FOR
 RESOLVING LABOR DISPUTES ARISING DURING THE PROJECT LABOR AGREEMENT; AND
   (F) INCLUDE ANY OTHER PROVISIONS AS NEGOTIATED BY THE  PARTIES  NEEDED
 TO PROMOTE SUCCESSFUL DELIVERY OF THE ASSISTED PROJECT.
   4.  PENALTIES  AND SANCTIONS. THE FAILURE OF A PARTY RECEIVING ASSIST-
 ANCE UNDER THE ACT TO ENSURE COMPLIANCE WITH THE  REQUIREMENTS  OF  THIS
 SECTION  SHALL CONSTITUTE A MATERIAL BREACH OF THE AGREEMENT UNDER WHICH
 ASSISTANCE IS PROVIDED AND SHALL PERMIT THE STATE TO  IMPOSE  APPLICABLE
 PENALTIES AND SANCTIONS FOR CONDUCT CONSTITUTING NON-COMPLIANCE, INCLUD-
 ING  BUT  NOT  LIMITED  TO  REVOCATION  OF ALL OR PART OF THE ASSISTANCE
 PROVIDED BY THE STATE.
   5. RESPONSIBLE  CONTRACTOR  REQUIREMENTS.  THE  PARTY  WHICH  RECEIVES
 ASSISTANCE  FROM  THE STATE FOR A RENEWABLE ENERGY PROJECT, ENERGY EFFI-
 CIENCY PROJECT, OR OTHER CONSTRUCTION PROJECT  UNDERTAKEN  WITH  SUPPORT
 FROM  THE DEPARTMENT OF ENVIRONMENTAL CONSERVATION SHALL TAKE THE NECES-
 SARY CONTRACTUAL ACTIONS TO ENSURE  EACH  CONTRACTOR  AND  SUBCONTRACTOR
 INVOLVED  IN  THE CONSTRUCTION OF THE ASSISTED PROJECT COMPLETES A SWORN
 CERTIFICATION THAT THE FIRM:
   (A) HAS THE NECESSARY RESOURCES TO PERFORM THE PORTION OF THE ASSISTED
 PROJECT TO WHICH THEY ARE ASSIGNED, INCLUDING THE  NECESSARY  TECHNICAL,
 FINANCIAL, AND PERSONNEL RESOURCES;
   (B)  HAS  ALL  REQUIRED  CONTRACTOR,  SPECIALTY  CONTRACTOR  OR  TRADE
 LICENSES, CERTIFICATIONS OR CERTIFICATES REQUIRED OF ANY BUSINESS ENTITY
 OR INDIVIDUAL BY APPLICABLE STATE OR LOCAL LAW;
   (C) PARTICIPATES IN AN APPRENTICESHIP TRAINING PROGRAM FOR EACH  TRADE
 IN  WHICH  IT EMPLOYS CRAFT WORKERS THAT IS REGISTERED WITH AND APPROVED
 BY THE U.S. DEPARTMENT OF LABOR OR A  STATE  APPRENTICESHIP  AGENCY  AND
 S. 7905                             9
 
 SHALL  PROVIDE  PROOF WITHIN SEVEN DAYS OF A REQUEST FROM THE DEPARTMENT
 OF ENVIRONMENTAL CONSERVATION  OR  ANY  AUTHORITY  OR  AGENCY  THAT  ITS
 PROGRAM IS ACTIVELY TRAINING EMPLOYEES, HAS FUNCTIONING TRAINING FACILI-
 TIES,  AND IS REGULARLY GRADUATING APPRENTICES TO JOURNEY PERSON STATUS,
 AND SUCH APPRENTICES ARE PLACED IN EMPLOYMENT, HEREINAFTER  REFERRED  TO
 AS "CLASS A APPRENTICESHIP PROGRAMS";
   (D) IN THE PAST THREE YEARS:
   (I) HAS NOT BEEN DEBARRED BY ANY GOVERNMENT AGENCY;
   (II) HAS NOT DEFAULTED ON ANY PROJECT;
   (III)  HAS  NOT  HAD  ANY  LICENSE,  CERTIFICATION OR OTHER CREDENTIAL
 RELATING TO THE BUSINESS REVOKED OR SUSPENDED;
   (IV) HAS NOT BEEN FOUND IN VIOLATION OF  ANY  LAW  APPLICABLE  TO  ITS
 BUSINESS  THAT  RESULTED  IN THE PAYMENT OF A FINE, BACK PAY DAMAGES, OR
 ANY OTHER TYPE OF PENALTY IN THE AMOUNT OF TEN THOUSAND DOLLARS OR MORE;
 WILL PAY CRAFT PERSONNEL EMPLOYED ON THE  PROJECT,  AT  A  MINIMUM,  THE
 APPLICABLE WAGE AND FRINGE BENEFIT RATES FOR THE CLASSIFICATION IN WHICH
 THE  WORKER IS EMPLOYED IN ACCORDANCE WITH APPLICABLE REQUIRED RATES FOR
 THE PROJECT; AND
   (E) WILL NOT MISCLASSIFY CRAFT LABOR EMPLOYEES AS INDEPENDENT CONTRAC-
 TORS.
   6. CONTRACTOR RESPONSIBILITY CERTIFICATIONS. CONTRACTOR RESPONSIBILITY
 CERTIFICATIONS EXECUTED IN ACCORDANCE WITH THIS ARTICLE:
   (A) SHALL BE SUBMITTED TO THE DEPARTMENT OF ENVIRONMENTAL CONSERVATION
 AND THE DEPARTMENT  AT  LEAST  THIRTY  DAYS  PRIOR  TO  COMMENCEMENT  OF
 CONSTRUCTION OF A STATE-ASSISTED PROJECT; AND
   (B)  SHALL  CONSTITUTE  PUBLIC DOCUMENTS WHICH SHALL BE MADE AVAILABLE
 WITHOUT REDACTION ON A PUBLICLY AVAILABLE WEBSITE WITHIN SEVEN  DAYS  OF
 BEING  SUBMITTED TO THE DEPARTMENT OF ENVIRONMENTAL CONSERVATION AND THE
 DEPARTMENT.
   7. FRAUDULENT CERTIFICATIONS. A RESPONSIBLE  CONTRACTOR  CERTIFICATION
 CONTAINING  FALSE,  MISLEADING,  OR  INACCURATE INFORMATION SHALL, AFTER
 NOTICE AND OPPORTUNITY TO BE HEARD, SUBJECT THE  FIRM  TO  A  THREE-YEAR
 DEBARMENT  FROM  FUTURE  PUBLIC AND PUBLICLY ASSISTED PROJECTS AND OTHER
 APPLICABLE PENALTIES AND SANCTIONS.
   8. PENALTIES AND SANCTIONS. THE FAILURE OF A PARTY  RECEIVING  ASSIST-
 ANCE  UNDER  THE  ACT TO ENSURE COMPLIANCE WITH THE REQUIREMENTS OF THIS
 ARTICLE SHALL CONSTITUTE A MATERIAL BREACH OF THE AGREEMENT UNDER  WHICH
 ASSISTANCE  IS  PROVIDED AND SHALL PERMIT THE STATE TO IMPOSE APPLICABLE
 PENALTIES AND SANCTIONS FOR CONDUCT CONSTITUTING NON-COMPLIANCE, INCLUD-
 ING BUT NOT LIMITED TO REVOCATION OF  PART  OR  ALL  OF  THE  ASSISTANCE
 PROVIDED BY THE STATE.
   9.  PREVAILING  WAGE RATES. CONTRACTORS AND SUBCONTRACTORS ON ASSISTED
 PROJECTS SHALL PAY CONSTRUCTION CRAFT EMPLOYEES ON  THE  PROJECT,  AT  A
 MINIMUM, THE APPLICABLE PREVAILING WAGE AND FRINGE BENEFIT RATES FOR THE
 APPROPRIATE  CLASSIFICATION  IN  WHICH  THE  WORKER  IS  EMPLOYED. FIRMS
 ENGAGED IN THE CONSTRUCTION OF AN ASSISTED PROJECT SHALL BE  SUBJECT  TO
 ALL  REPORTING,  AND  COMPLIANCE  REQUIREMENTS  OF ARTICLE EIGHT OF THIS
 CHAPTER. VIOLATIONS OF PREVAILING WAGE REQUIREMENTS ON ASSISTED PROJECTS
 SHALL BE SUBJECT TO PENALTIES AND SANCTIONS APPLICABLE TO  PUBLIC  WORKS
 PROJECTS.
   10.  PREVAILING WAGE EXCEPTION. PREVAILING WAGE REQUIREMENTS UNDER THE
 ACT SHALL NOT APPLY TO ASSISTED PROJECTS COVERED BY PROJECT LABOR AGREE-
 MENTS.
   § 229-A. BEST VALUE REQUIREMENTS FOR THE SOLICITATION, EVALUATION  AND
 AWARD OF RENEWABLE ENERGY PROJECTS, ENERGY EFFICIENCY PROJECTS AND OTHER
 CONSTRUCTION  PROJECTS  UNDERTAKEN  WITH  SUPPORT FROM THE DEPARTMENT OF
 S. 7905                            10
 
 ENVIRONMENTAL CONSERVATION OR RECEIVING STATE  ASSISTANCE.  1.  PURPOSE.
 THE  PURPOSE OF THIS SECTION IS TO ESTABLISH BEST VALUE REQUIREMENTS FOR
 THE SOLICITATION, EVALUATION AND AWARD  OF  RENEWABLE  ENERGY  PROJECTS,
 ENERGY  EFFICIENCY  PROJECTS, AND OTHER CONSTRUCTION PROJECTS UNDERTAKEN
 WITH SUPPORT FROM  THE  DEPARTMENT  OF  ENVIRONMENTAL  CONSERVATION,  OR
 ASSISTED BY THE STATE, INCLUDING THOSE ASSISTED BY THE ACT.
   2.  DEFINITIONS.  FOR  PURPOSES  OF  THIS SECTION, THE FOLLOWING TERMS
 SHALL BE DEFINED AS FOLLOWS:
   (A) "AGENCY" MEANS THE NEW YORK STATE ENERGY RESEARCH AND  DEVELOPMENT
 AUTHORITY  OR ANY OTHER STATE DEPARTMENT OR AGENCY THAT PROVIDES ASSIST-
 ANCE TO COVERED PROJECTS.
   (B) "BEST VALUE" SHALL BE GIVEN THE MEANING SPECIFIED IN  PARAGRAPH  J
 OF  SUBDIVISION  ONE  OF  SECTION  ONE  HUNDRED SIXTY-THREE OF THE STATE
 FINANCE LAW.
   (C) "CONTRACTING TEAM" MEANS THE LEAD CONTRACTOR AND  PROJECT  SUBCON-
 TRACTORS.
   (D)  "COVERED  PROJECTS"  MEANS PROJECTS DESIGNED TO PROVIDE RENEWABLE
 ENERGY, AS DEFINED IN  PARAGRAPH  (B)  OF  SUBDIVISION  ONE  OF  SECTION
 SIXTY-SIX-P  OF  THE  PUBLIC  SERVICE LAW, WHICH ARE ELIGIBLE TO RECEIVE
 ENERGY CREDITS OR OTHER FORMS OF ASSISTANCE FROM THE STATE.
   (E) "OFFEROR" MEANS THE PROJECT OWNER, DEVELOPER OR OTHER ENTITY WHICH
 SEEKS TO PROPOSE A RENEWABLE ENERGY PROJECT, ENERGY EFFICIENCY  PROJECT,
 OTHER  CONSTRUCTION  PROJECT UNDERTAKEN WITH SUPPORT FROM THE DEPARTMENT
 OF ENVIRONMENTAL CONSERVATION, OR RECEIVING STATE ASSISTANCE AND  OBTAIN
 RENEWABLE ENERGY CREDIT OR OTHER ASSISTANCE FROM THE STATE.
   (F)  "LEAD  CONTRACTOR"  MEANS  THE  GENERAL  CONTRACTOR, CONSTRUCTION
 MANAGER OR OTHER PRIME CONTRACTOR WHICH IS CONTRACTED BY THE OFFEROR  TO
 BUILD A COVERED PROJECT.
   (G)  "PROJECT  TEAM" MEANS THE LEAD CONTRACTORS AND ALL SUBCONTRACTORS
 PROPOSED FOR THE PROJECT.
   3. SOLICITATION REQUIREMENTS FOR COVERED PROJECTS. SOLICITATIONS  USED
 TO  PROVIDE  STATE  ASSISTANCE  TO  COVERED  PROJECTS  SHALL UTILIZE THE
 FOLLOWING PROCEDURES:
   (A) SOLICITATIONS SHALL BE DESIGNED TO ENSURE BEST VALUE  RESULTS  FOR
 THE STATE BY:
   (I)  PERMITTING  PROJECT  PROPOSALS  FOR  ANY TYPE OF VIABLE RENEWABLE
 ENERGY SOURCE; AND
   (II) PROMOTING MAXIMUM COMPETITION AMONG QUALIFIED OFFERORS PRESENTING
 PROPOSALS.
   (B) SOLICITATIONS SHALL BE ADMINISTERED THROUGH A PUBLIC  REQUEST  FOR
 PROPOSALS  PROCESS  THAT  PROVIDES  ADEQUATE  NOTICE,  INSTRUCTIONS  FOR
 SUBMITTING PROPOSALS AND OTHER RELEVANT INFORMATION AS DETERMINED BY THE
 AGENCY.
   (C) REQUESTS FOR PROPOSALS SHALL  REQUIRE  SEALED  PROPOSALS  FROM  AN
 OFFEROR, WHICH INCLUDE:
   (I)  PROPOSED  PROJECT, INCLUDING TYPE, VIABILITY AND PROJECTED AMOUNT
 OF ENERGY, PROJECT PLAN AND SCHEDULE; AND
   (II) THE QUALIFICATIONS, RESOURCES AND  CAPABILITIES  OF  THE  OFFEROR
 AND, THE PROJECT TEAM TO BE USED ON THE PROJECT.
   (D) THE AGENCY SHALL APPROVE THE PROJECT THAT PROVIDES THE BEST VALUE,
 CONSIDERING THE VIABILITY AND BENEFITS OF THE PROPOSED PROJECT AND QUAL-
 IFICATIONS OF THE OFFEROR AND PROJECT TEAM.
   4.  REQUEST  FOR  PROPOSALS  PROCESS.  REQUESTS FOR PROPOSALS SHALL BE
 ADMINISTERED IN COMPLIANCE WITH THIS SECTION AND ADDITIONAL INSTRUCTIONS
 SET FORTH IN THE SOLICITATION AND NOTICE OF REQUESTS FOR PROPOSALS:
 S. 7905                            11
 
   (A) THE AGENCY SHALL EVALUATE PROPOSALS ON  THE  BASIS  OF  A  MAXIMUM
 POINT  SCALE. THE PROPOSAL THAT ATTAINS THE HIGH SCORE SHALL BE SELECTED
 FOR AWARD. PROPOSALS SHALL BE SCORED ONLY ON THE BASIS OF THE EVALUATION
 FACTORS SET FORTH IN THE REQUEST FOR PROPOSALS.
   (B)  REQUEST  FOR  PROPOSALS SHALL INCLUDE ONLY FACTORS LISTED IN THIS
 SECTION AND ANY ADDITIONAL FACTORS OR SUBFACTORS THE AGENCY DEEMS NECES-
 SARY FOR ACHIEVING BEST VALUE RESULTS FOR THE STATE.
   (C) IN DETERMINING WHICH PROPOSAL OFFERS THE BEST VALUE TO THE  STATE,
 THE  AGENCY  SHALL EVALUATE THE FOLLOWING FACTORS IN ACCORDANCE WITH THE
 FOLLOWING CRITERIA:
   (I) PROPOSED PROJECT;
   (II) OFFEROR QUALIFICATIONS;
   (III) PROJECT TEAM QUALIFICATIONS; AND
   (IV) ECONOMICALLY DISADVANTAGED IMPACT.
   5. PROJECT SELECTION. THE OFFEROR THAT COMPLIES  WITH  THE  SPECIFICA-
 TIONS  AND  REQUIREMENTS  OF  THE REQUEST FOR PROPOSALS AND RECEIVES THE
 HIGHEST MAXIMUM SCORE SHALL BE SELECTED BY THE AGENCY FOR PROJECT AWARD.
   6.  EVALUATION  OF  PROPOSED  PROJECT.   IN   EVALUATING   COMPETITIVE
 PROPOSALS, THE AGENCY SHALL EVALUATE THE PROPOSED PROJECT ON THE FOLLOW-
 ING FACTORS:
   (A) PROJECTED AMOUNT OF ENERGY TO BE GENERATED;
   (B) VIABILITY OF THE PROPOSED ENERGY SOURCE;
   (C) FEASIBILITY OF THE PROJECT PLAN AND SCHEDULE; AND
   (D) QUALIFICATIONS OF THE PROJECT TEAM.
   7.  EVALUATION  OF  OFFEROR'S QUALIFICATIONS. THE OFFEROR'S QUALIFICA-
 TIONS SHALL BE DETERMINED BY  AN  EVALUATION  OF  ITS  PAST  PERFORMANCE
 RECORD,  EXPERTISE  AND TECHNICAL QUALIFICATIONS AND PRESENT PERFORMANCE
 CAPABILITIES,  INCLUDING  FINANCIAL  RESOURCES  AND  EXPERIENCE  OF  THE
 OFFEROR'S SENIOR MANAGEMENT AND PROJECT TEAM MANAGEMENT.
   8.  EVALUATION  OF  PROJECT TEAM QUALIFICATIONS. THE QUALIFICATIONS OF
 THE LEAD CONTRACTOR AND SUBCONTRACTORS SHALL BE DETERMINED BY AN  EVALU-
 ATION OF THE FOLLOWING SUBFACTORS:
   (A)  PAST  PERFORMANCE RECORD: 30 POINTS. EVALUATION OF THIS SUBFACTOR
 REQUIRES A REVIEW OF PAST PROJECTS, INCLUDING BUDGET, SCHEDULE AND SAFE-
 TY DATA, PERFORMANCE EVALUATION  REPORTS,  QUALITY  OF  WORKMANSHIP  AND
 COMPLIANCE WITH PROJECT SPECIFICATIONS.
   (B)  EXPERTISE  AND TECHNICAL QUALIFICATIONS: 10 POINTS. EVALUATION OF
 THIS SUBFACTOR REQUIRES EXAMINATION OF THE GENERAL AND SPECIFIC  EXPERI-
 ENCE  IN RELEVANT MARKET SECTORS AND IN PROJECTS SIMILAR TO THE PROPOSED
 PROJECT.
   (C) PERFORMANCE CAPABILITIES OF MANAGEMENT: 10 POINTS.  EVALUATION  OF
 THIS SUBFACTOR REQUIRES EXAMINATION OF:
   (I) RESOURCES, INCLUDING EQUIPMENT AND FINANCIAL RESOURCES;
   (II) EXPERIENCE OF THE SENIOR MANAGEMENT AND PROJECT MANAGEMENT OF THE
 LEAD CONTRACTOR AND SUBCONTRACTORS.
   (D)  PERFORMANCE CAPABILITIES OF CRAFT LABOR: 40 POINTS. EVALUATION OF
 CRAFT LABOR PERSONNEL SHALL CONSIDER THE USE OF:
   (I) PROJECT LABOR AGREEMENTS AS A  RELIABLE  SOURCE  FOR  ENSURING  AN
 ADEQUATE  SUPPLY  OF  SKILLED  CRAFT  LABOR IN ALL TRADES NEEDED FOR THE
 PROPOSED PROJECT;
   (II) PARTICIPATION IN REGISTERED APPRENTICESHIP PROGRAMS THAT  HAVE  A
 TRACK RECORD OF GRADUATING APPRENTICES FOR AT LEAST THREE YEARS;
   (III) TRAINING PROGRAMS USED TO PROVIDE TRAINING FOR UP-GRADING SKILLS
 OR TRAINING FOR SPECIALIZED SKILLS; AND
   (IV) TRAINING PROGRAMS THAT PROVIDE SAFETY TRAINING AND CERTIFICATION,
 INCLUDING, BUT NOT LIMITED TO OSHA 10 HOUR AND 30 HOUR PROGRAMS.
 S. 7905                            12

   9.  PRELISTING  OF SUBCONTRACTORS. THE LEAD CONTRACTOR SHALL PROVIDE A
 LIST IN ITS PROPOSALS THAT IDENTIFIES THE NAMES OF  ALL  SUBCONTRACTORS,
 REGARDLESS  OF TIER, IT PROPOSES TO USE FOR THE PROJECT AND THE SCOPE OF
 WORK AND APPROXIMATE PERCENTAGE OF THE TOTAL PROJECT OF EACH SUBCONTRAC-
 TOR LISTED.
   10.  PREQUALIFICATION  PROCESS. REQUESTS FOR PROPOSALS MAY BE PRECEDED
 BY A PREQUALIFICATION STAGE TO REQUIRE  INTERESTED  OFFERORS  TO  DEMON-
 STRATE  THAT  THEY HAVE ADEQUATE MINIMUM QUALIFICATIONS AND SUFFICIENTLY
 VIABLE PROJECT  PROPOSALS  TO  QUALIFY  TO  COMPETE  IN  A  REQUEST  FOR
 PROPOSALS PROCESS.
   11.  EVALUATION  OF  ECONOMICALLY  DISADVANTAGED IMPACT. EVALUATION OF
 THIS FACTOR SHALL INCLUDE AN ASSESSMENT  OF  THE  DEGREE  TO  WHICH  THE
 PROJECT  PROMOTES  OPPORTUNITIES TO SMALL, MINORITY-OWNED BUSINESSES AND
 WORKERS IN ECONOMICALLY DISADVANTAGED COMMUNITIES.
   12. PROJECT  EVALUATION  TEAM.  PROPOSALS  SUBMITTED  IN  RESPONSE  TO
 REQUEST FOR PROPOSALS UNDER THIS SECTION SHALL BE EVALUATED BY A TECHNI-
 CAL  EVALUATION TEAM THAT CONSISTS OF NO FEWER THAN THREE PERSONS QUALI-
 FIED TO CONDUCT SUCH EVALUATIONS.
   13. AUDITS OF EVALUATION PROCESS.  PROPOSAL  EVALUATIONS  PURSUANT  TO
 THIS  SECTION  SHALL  BE  SUBJECT  TO PERIODIC AUDITS, INCLUDING RANDOM,
 UNANNOUNCED AUDITS BY QUALIFIED PERSONNEL APPOINTED  BY  THE  AGENCY  TO
 ENSURE  THE  EVALUATION  PROCESS  IS  CONDUCTED  IN ACCORDANCE WITH THIS
 SECTION AND THE REQUESTS FOR PROPOSALS.
   14. PROJECT PERFORMANCE EVALUATIONS. PROJECT EVALUATION REPORTS  SHALL
 BE  PREPARED UPON COMPLETION FOR PROJECTS THAT RECEIVE STATE ASSISTANCE.
 PROJECT EVALUATION REPORTS SHALL INCLUDE INFORMATION DETERMINED RELEVANT
 BY THE AGENCY BUT SHALL AT A MINIMUM INCLUDE THE FOLLOWING:
   (A) THE AMOUNT OF ENERGY PROJECTED IN THE  PROJECT  PROPOSAL  AND  THE
 ACTUAL AMOUNT OF ENERGY THE FACILITY IS CAPABLE OF PRODUCING;
   (B)  THE  PROPOSED  PROJECT  COMPLETION DATE AND THE ACTUAL COMPLETION
 DATE; AND
   (C) ADDITIONAL INFORMATION AS DETERMINED BY THE AGENCY.
   § 229-B. BEST VALUE REQUIREMENTS FOR ALL WORK OTHER THAN CONSTRUCTION.
   1. PURPOSE. THIS SECTION ESTABLISHES BEST VALUE REQUIREMENTS  FOR  THE
 SOLICITATION,  EVALUATION  AND  AWARD  OF  RENEWABLE  ENERGY  AND  OTHER
 PROJECTS ASSISTED BY THE STATE, INCLUDING THOSE ASSISTED BY THE ACT. ALL
 INVESTMENTS UNDER THIS SECTION SHALL UTILIZE THE  FOLLOWING  BEST  VALUE
 FRAMEWORK  TO EVALUATE BIDS FOR PROJECTS DEVELOPED WITH THESE FUNDS. THE
 BEST  VALUE  FRAMEWORK  SHALL  PROVIDE  SPECIALLY-DEFINED   BEST   VALUE
 CONTRACTING AND LABOR PROVISIONS AS OPTIONS FOR ANY BIDDER RESPONDING TO
 REQUESTS  FOR PROPOSALS FOR RENEWABLE ENERGY PROJECTS. BIDS THAT INCLUDE
 RESPONSIVE PROVISIONS CAN RECEIVE ADDED CREDIT TO THEIR BID SCORES.
   2. DEFINITIONS. FOR PURPOSES OF  THIS  SECTION,  THE  FOLLOWING  TERMS
 SHALL BE DEFINED AS FOLLOWS:
   (A) "AWARDING AUTHORITY" SHALL MEAN THE GOVERNMENTAL UNIT EMPOWERED TO
 REQUEST  BIDS  AND  ENTER  INTO CONTRACTS FOR RENEWABLE ENERGY PROJECTS,
 ENERGY EFFICIENCY, AND OTHER PROJECTS OTHER THEN THE CONSTRUCTION ASPECT
 OF THE PROJECT FUNDED BY THIS STATUTE.
   (B) "BEST-VALUE FRAMEWORK" SHALL MEAN CONTRACTS  AND  SUBCONTRACTS  ON
 PROJECTS  FUNDED BY THE ACT SHALL USE A BEST-VALUE FRAMEWORK TO CONSIDER
 THE QUALITY, COST AND EFFICIENCY OF OFFERS WHEN  EVALUATING  PROCUREMENT
 CONTRACT  PROPOSALS.  SUCH  FRAMEWORK  SHALL REFLECT, WHENEVER POSSIBLE,
 OBJECTIVE AND QUANTIFIABLE ANALYSIS AND IDENTIFY A  QUANTITATIVE  FACTOR
 FOR OFFERORS.
 S. 7905                            13

   (C)  "CONTRACT" SHALL MEAN A DIRECT AGREEMENT BETWEEN A VENDOR AND THE
 AWARDING AUTHORITY FOR PROJECTS FUNDED BY THE ACT VALUED AT FIVE MILLION
 DOLLARS AND OVER.
   (D)  "VENDOR"  SHALL  MEAN  A BUSINESS ENTITY ENTERING INTO A CONTRACT
 WITH  THE  AWARDING  AUTHORITY  FOR  PROJECTS,  INCLUDING  MANUFACTURING
 PROJECTS, FUNDED BY THE ACT.
   (E) "SUBCONTRACT" SHALL MEAN AN AGREEMENT BETWEEN A VENDOR AND SUBVEN-
 DOR  TO  PROVIDE MANUFACTURED MATERIALS OR PERFORM ADDITIONAL WORK UNDER
 THE VENDOR.
   (F) "SUBVENDOR" SHALL MEAN A BUSINESS ENTITY ENTERING INTO  A  SUBCON-
 TRACT  WITH  THE VENDOR TO PROVIDE MANUFACTURED MATERIALS FOR COMPLETION
 OF A CONTRACT OR PERFORM ADDITIONAL WORK UNDER THE VENDOR.
   (G) "U.S. EMPLOYMENT PLAN (USEP)" SHALL MEAN THE PLAN WHICH AN  ENTITY
 SUBMITTING  PROPOSALS  TO  AWARDING  AUTHORITIES  FOR  RENEWABLE  ENERGY
 PROJECTS, ENERGY EFFICIENCY, OTHER PROJECTS OTHER THAN THE  CONSTRUCTION
 ASPECT  OF THE PROJECT INCLUDE IN THEIR PROPOSAL TO RECEIVE EXTRA CREDIT
 AND/OR POINTS AS DEFINED BY THE  APPLICABLE  AWARDING  AUTHORITY.  IF  A
 PROPOSER  CHOOSES  TO SUBMIT A U.S. EMPLOYMENT PLAN TO WIN EXTRA CREDIT,
 THE PROPOSAL SHALL INCLUDE A WORKSHEET WITH: PROPOSED  WAGES,  BENEFITS,
 RETRAINING  AND TRAINING, INCLUDING A WORKFORCE TRAINING PLAN, COMPLETED
 BY  THE  PROPOSER  AND  THE  POTENTIAL  SUBVENDORS,  AND   A   NARRATIVE
 DESCRIPTION OF THE PROPOSERS' PLAN TO:
   (I)  RECRUIT  AND  HIRE  INDIVIDUALS FROM ZIP CODES WITH HIGH RATES OF
 POVERTY UNEMPLOYMENT, AND CHRONIC UNEMPLOYMENT;
   (II) GIVE PRIORITY IN ANY HIRING OF EMPLOYEES NOT CURRENTLY OR  PREVI-
 OUSLY EMPLOYED BY THE PROPOSER AND THE SUPPLIERS OF MANUFACTURED MATERI-
 ALS FOR THE PROJECT TO INDIVIDUALS WITH BARRIERS TO EMPLOYMENT INCLUDING
 PEOPLE  WHO HAVE BEEN INCARCERATED, PEOPLE WITH DISABILITIES, AND PEOPLE
 WHO  HAVE  BEEN  TRADITIONALLY  UNDERREPRESENTED  IN  MANUFACTURING   OR
 CONSTRUCTION EMPLOYMENT, LIKE WOMEN AND MINORITIES; AND
   (III) RECRUIT FROM "DISADVANTAGED WORKERS" AND "DISADVANTAGED COMMUNI-
 TIES" AS DEFINED BY THE ACT AND NOT DETAILED IN THIS SECTION.
   (H)  "LOCAL  EMPLOYMENT  PLAN"  SHALL  MEAN  THE  PLAN WHICH AN ENTITY
 SUBMITTING  PROPOSALS  TO  AWARDING  AUTHORITIES  FOR  RENEWABLE  ENERGY
 PROJECTS,  ENERGY EFFICIENCY, OTHER PROJECTS OTHER THAN THE CONSTRUCTION
 ASPECT OF THE PROJECT INCLUDE IN THEIR PROPOSAL TO RECEIVE EXTRA  CREDIT
 AND/OR POINTS AS DEFINED BY THE APPLICABLE AWARDING AUTHORITY. THE LOCAL
 EMPLOYMENT  PLAN  WILL  APPLY  TO WORK THAT IS NOT FINANCED WITH FEDERAL
 MONEY. A PROPOSER IS REQUIRED TO SUBMIT A LOCAL EMPLOYMENT PLAN  TO  WIN
 EXTRA  CREDIT.  THE  PROPOSER  SHALL  INCLUDE THE SAME ITEMS IN THE U.S.
 EMPLOYMENT PLAN AS WELL AS A PLAN:
   (I) TO RETAIN AND CREATE HIGH-SKILLED LOCAL JOBS; AND
   (II) TO DEVELOP FAMILY-SUSTAINING CAREER PATHWAYS INTO THE SECTOR  FOR
 DISADVANTAGED WORKERS AND DISADVANTAGED COMMUNITIES IN A SPECIFIED LOCAL
 AREA.
   (I) "WORKFORCE TRAINING PLAN" MEANS A PLAN TO CREATE PERMANENT, TRANS-
 FERABLE SKILLS FOR ALL NEW HIRES AND RETAINED EMPLOYEES UNDER A CONTRACT
 PROPOSAL, WHICH MAY:
   (I)  TAKE ADVANTAGE OF PUBLICLY FUNDED WORKFORCE DEVELOPMENT PROGRAMS,
 AN APPRENTICESHIP PROGRAM REGISTERED WITH THE DEPARTMENT OR A  FEDERALLY
 RECOGNIZED  STATE  APPRENTICESHIP  AGENCY  AND  THAT  COMPLIES  WITH THE
 REQUIREMENTS UNDER PARTS 29 AND 30 OF TITLE 29, CODE  OF  FEDERAL  REGU-
 LATIONS; AND
   (II)  INCLUDE  PRE-APPRENTICESHIP COMMITMENTS TO PROVIDE TRAINING THAT
 HELPS PARTICIPANTS IN APPRENTICESHIP PROGRAMS PREPARE FOR  AND  SUCCESS-
 FULLY COMPLETE THEIR TRAINING.
 S. 7905                            14
 
   3.  APPLICATION  PROCESS. THIS SECTION SHALL APPLY TO ALL CONTRACTS AS
 DEFINED IN THIS SECTION.
   (A)  IN  AWARDING  CONTRACTS  UNDER THIS SECTION, AWARDING AUTHORITIES
 SHALL UTILIZE THE BEST-VALUE FRAMEWORK FOR CONTRACTS.
   (B) AWARDING AUTHORITIES SHALL DEVELOP A  SYSTEM  FOR  AWARDING  EXTRA
 POINTS  AND/OR CREDIT FOR THOSE PROPOSERS THAT CREATE AND SUBMIT A LOCAL
 EMPLOYMENT PLAN OR U.S. EMPLOYMENT PLAN (DEPENDING ON  SOURCE  OF  FUND-
 ING).
   (C)  FINAL  CONTRACTS WITH A LOCAL EMPLOYMENT PLAN AND/OR U.S. EMPLOY-
 MENT PLAN THAT ARE AWARDED UNDER THIS SECTION SHALL REQUIRE  VENDORS  TO
 SUBMIT  QUARTERLY  REPORTS  WITHIN  THE  FIRST  YEAR OF AWARD AND ANNUAL
 REPORTS FOR SUBSEQUENT YEARS DEMONSTRATING VENDOR AND SUBVENDOR  COMPLI-
 ANCE WITH THEIR LOCAL EMPLOYMENT PLAN AND/OR U.S. EMPLOYMENT PLAN. THESE
 QUARTERLY AND ANNUAL REPORTS SHALL BE CERTIFIED UNDER PENALTY OF PERJURY
 AND  MUST  BE SUBMITTED IN ORDER TO RECEIVE MILESTONE PAYMENTS UNDER THE
 CONTRACT.
   (D) REQUESTS FOR PROPOSALS UNDER THIS SECTION SHALL SPECIFY THAT TERMS
 AND CONDITIONS OF EMPLOYMENT AND  COMPLIANCE  REPORTS  UNDER  THE  LOCAL
 EMPLOYMENT  PLAN AND/OR U.S. EMPLOYMENT PLAN ARE NOT EXEMPT FROM DISCLO-
 SURE UNDER THE FREEDOM OF  INFORMATION  LAW.  QUARTERLY  AND  SUBSEQUENT
 ANNUAL  REPORTS RELATED TO CONTRACT FULFILLMENT WILL BE SHARED ONLINE ON
 THE AWARDING AUTHORITY'S WEB SITE.
   (E) THE AWARDING AUTHORITY SHALL ENACT REGULATIONS CREATING FORMS  FOR
 COMPLETION OF THE LOCAL EMPLOYMENT PLAN AND/OR U.S. EMPLOYMENT PLAN THAT
 THE  AWARDING  AUTHORITY  WILL  INCLUDE  WITH REQUESTS FOR PROPOSALS FOR
 CONTRACTS.
   § 5. Section 231 of the labor law is amended by adding a new  subdivi-
 sion 8 to read as follows:
   8.  BUILDING  SERVICE  EMPLOYEES  EMPLOYED IN ANY BUILDING OR FACILITY
 THAT HAS RECEIVED GRANTS  OR  TAX  ABATEMENTS  OR  EXEMPTIONS  OR  OTHER
 ASSISTANCE  WITH  A TOTAL PRESENT FINANCIAL VALUE OF ONE MILLION DOLLARS
 OR MORE FOR THE INCREASE OF ENERGY EFFICIENCY, BUILDING  ELECTRIFICATION
 UPGRADES, THE DEVELOPMENT OF RENEWABLE ENERGIES, OR CLIMATE CHANGE RESI-
 LIENCY  SHALL  BE  PAID  NOT  LESS  THAN  THE PREVAILING WAGE. EMPLOYERS
 ENGAGED IN THE PROVISION OF BUILDING SERVICE WORK SHALL  BE  SUBJECT  TO
 ALL THE REPORTING AND COMPLIANCE REQUIREMENTS OF THIS ARTICLE, INCLUDING
 THE  RIGHT TO MAINTAIN AN ACTION FOR THE DIFFERENCE BETWEEN THE PREVAIL-
 ING WAGES AND THE WAGES ACTUALLY RECEIVED. THE PREVAILING WAGE  REQUIRE-
 MENT  SHALL  APPLY FOR THE DURATION OF THE ASSISTANCE OR TEN YEARS AFTER
 THE PROJECT OPENS, WHICHEVER IS LONGER.
   § 6. The environmental conservation law is amended  by  adding  a  new
 article 77 to read as follows:
 
                                ARTICLE 77
                      CLIMATE CHANGE JUST TRANSITION
 
 TITLE 1.  GENERAL PROVISIONS.
         3. COMMUNITY JUST TRANSITION.
         5. CLIMATE JOBS AND INFRASTRUCTURE.
         7. JUST TRANSITION FOR IMPACTED WORKERS AND COMMUNITY ASSURANCE.
 
                                  TITLE 1
                            GENERAL PROVISIONS
 SECTION 77-0101. DEFINITIONS.
         77-0103. COORDINATION OF PROGRAMS.
         77-0105. TRANSPARENCY AND ACCOUNTABILITY.
 S. 7905                            15
 
         77-0107. REPORT ON COMMUNITY OWNERSHIP.
 § 77-0101. DEFINITIONS.
   FOR  THE  PURPOSES  OF  THIS TITLE, THE FOLLOWING TERMS SHALL HAVE THE
 FOLLOWING MEANINGS:
   1. "COMMUNITY OWNERSHIP" MEANS PROJECTS, BUSINESSES AND  LEGAL  MODELS
 IN  REGARD TO RENEWABLE ENERGY ASSETS AND SERVICES THAT ALLOW FOR ONE OR
 MORE OF THE FOLLOWING:
   (A) THE FLOW OF BENEFITS FROM ENERGY GENERATION AND CONSERVATION  GOES
 DIRECTLY  TO  COMMUNITIES  AND  UTILITY  CUSTOMERS  WHILE MINIMIZING THE
 EXTRACTION OF BENEFITS AND PROFIT BY THIRD-PARTIES;
   (B) ACCESS TO ENERGY INFRASTRUCTURE OWNERSHIP, INCLUDING ENERGY  EFFI-
 CIENCY  MEASURES  AND SAVINGS, BY RENTERS, NON-PROFIT ORGANIZATIONS, AND
 INDIVIDUALS WITH A BROADER SPECTRUM OF INCOME AND CREDIT  PROFILES  THAN
 TRADITIONAL FINANCING ALLOWS FOR;
   (C)  CREATION  OF  COOPERATIVE AND COOPERATIVE-LIKE STRUCTURES FOR THE
 DEVELOPMENT AND OWNERSHIP OF ENERGY INFRASTRUCTURE; AND
   (D) OWNERSHIP BY INDIVIDUALS OR ORGANIZATIONS THAT ARE LOCATED WHERE A
 PROJECT IS SITED.
   2. "CONSTITUENCY-BASED ORGANIZATION" MEANS  AN  ORGANIZATION  INCORPO-
 RATED  FOR  THE  PURPOSE  OF  PROVIDING  SERVICES OR OTHER ASSISTANCE TO
 ECONOMICALLY OR SOCIALLY DISADVANTAGED PERSONS WITHIN A SPECIFIED COMMU-
 NITY, AND WHICH IS SUPPORTED BY,  OR  WHOSE  ACTIONS  ARE  DIRECTED  BY,
 MEMBERS OF THE COMMUNITY IN WHICH IT OPERATES.
   3.  "DISADVANTAGED COMMUNITIES" MEANS COMMUNITIES THAT BEAR BURDENS OF
 NEGATIVE PUBLIC HEALTH EFFECTS, ENVIRONMENTAL POLLUTION, AND IMPACTS  OF
 CLIMATE  CHANGE,  AND POSSESS CERTAIN SOCIOECONOMIC CRITERIA, AS IDENTI-
 FIED PURSUANT TO SECTION 75-0111 OF THIS CHAPTER.
   4. "DOWNSTATE REGION" MEANS THE COUNTIES OF RICHMOND,  KINGS,  QUEENS,
 NEW YORK, BRONX, WESTCHESTER, NASSAU AND SUFFOLK.
   5.  "EMISSIONS  LEAKAGE" MEANS AN INCREASE IN EMISSIONS OUTSIDE OF THE
 STATE, AS A RESULT OF, OR IN CORRELATION  WITH,  THE  IMPLEMENTATION  OF
 MEASURES WITHIN THE STATE TO LIMIT SUCH EMISSIONS.
   6. "GREENHOUSE GAS" SHALL HAVE THE SAME MEANING AS IN SUBDIVISION NINE
 OF SECTION 19-1301 OF THIS CHAPTER.
   7. "MUNICIPALITY" SHALL HAVE THE SAME MEANING AS IN SUBDIVISION SIX OF
 SECTION FOUR HUNDRED EIGHTY-ONE OF THE EXECUTIVE LAW.
   8.  "REGULATED  AIR  CONTAMINANT"  SHALL  HAVE  THE SAME MEANING AS IN
 SUBDIVISION TWENTY-TWO OF SECTION 19-0107 OF THIS CHAPTER.
   9. "TRIBAL NATION" MEANS THOSE  TRIBES,  NATIONS  OR  OTHER  ORGANIZED
 GROUPS OF PERSONS HAVING ORIGINS IN ANY OF THE ORIGINAL PEOPLES OF NORTH
 AMERICA  RECOGNIZED  IN THE STATE OR CONSIDERED BY THE FEDERAL SECRETARY
 OF THE INTERIOR TO BE A TRIBAL NATION, INCLUDING THE FOLLOWING NEW  YORK
 STATE TRIBAL NATIONS: CAYUGA NATION, ONEIDA NATION OF NEW YORK, ONONDAGA
 NATION, POOSPATUCK OR UNKECHAUGE NATION, SAINT REGIS MOHAWK TRIBE, SENE-
 CA NATION OF INDIANS, SHINNECOCK INDIAN NATION, TONAWANDA BAND OF SENECA
 AND TUSCARORA NATION.
   10.  "UPSTATE  REGION"  MEANS ALL NEW YORK COUNTIES OTHER THAN NASSAU,
 SUFFOLK, RICHMOND, KINGS, QUEENS, NEW YORK, BRONX AND WESTCHESTER.
 § 77-0103. COORDINATION OF PROGRAMS.
   THE DEPARTMENT SHALL UNDERTAKE ACTIONS TO ENSURE MAXIMUM  COORDINATION
 BETWEEN  EACH  OF  THE  PROGRAMS  CREATED  UNDER  SECTION THREE THOUSAND
 FORTY-SIX OF THE TAX LAW, INCLUDING CONDUCTING EACH  PROGRAM  SUCH  THAT
 ALL THREE PROGRAMS TOGETHER:
   1. MAXIMIZE THE TOTAL ECONOMIC AND SOCIAL BENEFITS TO NEW YORK;
   2. MAXIMIZE ADMINISTRATIVE EFFICIENCY;
 S. 7905                            16
 
   3.  ACHIEVE  THE  MOST  COST-EFFECTIVE  AND  THE  GREATEST  AMOUNT  OF
 REDUCTIONS IN GREENHOUSE GAS EMISSIONS AND REGULATED AIR CONTAMINANTS;
   4. ACHIEVE AN EQUITABLE DISTRIBUTION OF FUNDS;
   5. MAXIMIZE BENEFITS TO DISADVANTAGED COMMUNITIES;
   6. ENCOURAGE EARLY ACTION TO REDUCE EMISSIONS;
   7. MINIMIZE EMISSIONS LEAKAGE;
   8.  PROMOTE EQUITABLE ACCESS TO PROGRAM PARTICIPATION ACROSS PROGRAMS,
 INCLUDING  INTEROPERABILITY  WITH  EXISTING  PROGRAMS  AND  THE  USE  OF
 UNIVERSAL  ELIGIBILITY APPLICATIONS FOR LOW-INCOME APPLICANTS WHO MAY BE
 ELIGIBLE FOR MULTIPLE SERVICES; AND
   9. IDENTIFY AND UTILIZE BEST INDUSTRY STANDARD PRACTICES  TO  OVERCOME
 BARRIERS  TO  IMPLEMENTATION,  SUCH AS SPLIT INCENTIVES FOR ENERGY EFFI-
 CIENCY.
 § 77-0105. TRANSPARENCY AND ACCOUNTABILITY.
   1. NO LATER THAN TWO YEARS FOLLOWING THE EFFECTIVE DATE OF THIS  ARTI-
 CLE,  AND  EVERY  TWO  YEARS  THEREAFTER, THE DEPARTMENT SHALL PRODUCE A
 REPORT ON THE IMPLEMENTATION OF  THE  PROGRAMS  ESTABLISHED  UNDER  THIS
 ARTICLE AND THE EXTENT TO WHICH PROGRAM IMPLEMENTATION IS MEETING STATED
 PROGRAM  GOALS  AND  PRIORITIES.  SUCH  REPORT  SHALL INCLUDE BUT NOT BE
 LIMITED TO:
   (A) FOR THE PROGRAM UNDER TITLE THREE OF THIS ARTICLE:
   (I) THE EXTENT TO WHICH NEEDS IDENTIFIED IN THE NEEDS  ASSESSMENT  ARE
 BEING MET;
   (II)  THE EFFECTIVENESS OF PROJECTS FUNDED UNDER THE PROGRAM IN REDUC-
 ING EMISSIONS OF GREENHOUSE GAS AND REGULATED AIR CONTAMINANTS;
   (III) THE EFFECTIVENESS OF PROJECTS FUNDED UNDER THE PROGRAM IN REDUC-
 ING THE ENERGY BURDENS OF HOUSEHOLDS IN DISADVANTAGED COMMUNITIES;
   (IV) THE GEOGRAPHIC DISTRIBUTION OF GRANTS MADE UNDER THE PROGRAM;
   (V) BARRIERS REPORTED BY ELIGIBLE APPLICANTS IN DEVELOPING COMPETITIVE
 PROPOSALS AND RECEIVING FUNDING;
   (VI) THE JOBS CREATED AS A  RESULT  OF  FUNDS  DISTRIBUTED  UNDER  THE
 PROGRAM BY TYPE, DURATION, AND PAY SCALE; AND
   (VII) THE NUMBER OF PROJECTS FUNDED THAT ARE COMMUNITY-OWNED OR INCOR-
 PORATE  COMMUNITY OWNERSHIP, INCLUDING AN ASSESSMENT OF CONTINUED BARRI-
 ERS TO COMMUNITY OWNERSHIP.
   (B) FOR THE PROGRAM UNDER TITLE FIVE OF THIS ARTICLE:
   (I) THE NUMBER OF JOBS CREATED BY THE PROGRAM;
   (II) THE EFFECTIVENESS OF PROJECTS FUNDED UNDER THE PROGRAM IN  REDUC-
 ING EMISSIONS OF GREENHOUSE GAS AND REGULATED AIR CONTAMINANTS;
   (III)  THE EXTENT TO WHICH PROJECTS FUNDED UNDER THE PROGRAM LEVERAGED
 ADDITIONAL PRIVATE INVESTMENT;
   (IV) THE NUMBER OF MINORITY AND  WOMEN-OWNED  BUSINESSES  INVOLVED  IN
 PROJECTS FUNDED UNDER THE PROGRAM AS LEAD CONTRACTORS OR SUBCONTRACTORS,
 AND BARRIERS TO INVOLVEMENT BY SUCH BUSINESSES;
   (V) THE EFFECTIVENESS OF PROJECTS FUNDED UNDER THE PROGRAM IN REDUCING
 ENERGY  BURDENS  OF  HOUSEHOLDS,  INCLUDING  HOUSEHOLDS IN DISADVANTAGED
 COMMUNITIES; AND
   (VI) THE IMPACT OF THE PROGRAM ON DISADVANTAGED COMMUNITIES, INCLUDING
 THE IMPACT ON THE ELDERLY, YOUTH, WOMEN AND CHILDREN.
   (C) FOR THE PROGRAM UNDER ARTICLES FORTY-TWO AND  FORTY-THREE  OF  THE
 TAX LAW:
   (I)  THE  ACTUAL  COSTS  OF  THE  FEE AS COMPARED TO THE AMOUNT OF THE
 REBATE;
   (II) THE OVERALL NET COST TO HOUSEHOLDS; AND
   (III) THE RATE OF PARTICIPATION IN THE PROGRAM BY ELIGIBLE  HOUSEHOLDS
 AND THE BARRIERS TO PARTICIPATION, IF ANY.
 S. 7905                            17
 
   2.  BEFORE  FINALIZING THE REPORT DESCRIBED IN SUBDIVISION ONE OF THIS
 SECTION, THE DEPARTMENT SHALL ENSURE THAT THERE ARE MEANINGFUL  OPPORTU-
 NITIES FOR PUBLIC PARTICIPATION, INCLUDING BY:
   (A)  ALLOWING  AT  LEAST ONE HUNDRED TWENTY DAYS FOR THE SUBMISSION OF
 PUBLIC COMMENT, FOLLOWING THE DATE OF THE PUBLICATION OF A DRAFT REPORT;
 AND
   (B) HOLDING AT LEAST FOUR  REGIONAL  PUBLIC  HEARINGS,  INCLUDING  TWO
 MEETINGS IN THE UPSTATE REGION AND TWO MEETINGS IN THE DOWNSTATE REGION,
 WITH  EMPHASIS ON MAXIMIZING PARTICIPATION AND ACCESSIBILITY FOR MEMBERS
 OF DISADVANTAGED COMMUNITIES.
   3. THE FINAL REPORT SHALL BE SUBMITTED TO THE GOVERNOR, THE  TEMPORARY
 PRESIDENT OF THE SENATE, THE SPEAKER OF THE ASSEMBLY, THE MINORITY LEAD-
 ER  OF  THE SENATE AND THE MINORITY LEADER OF THE ASSEMBLY, AND SHALL BE
 POSTED ON THE WEBSITE OF THE DEPARTMENT.
 § 77-0107. REPORT ON COMMUNITY OWNERSHIP.
   1. NOT LATER THAN TWO YEARS  FOLLOWING  THE  EFFECTIVE  DATE  OF  THIS
 TITLE,  AND  EVERY TWO YEARS THEREAFTER, THE DEPARTMENT, WITH INPUT FROM
 THE DEPARTMENT OF LABOR, AND THE  STATE  ENERGY  PLANNING  BOARD,  SHALL
 PRODUCE A REPORT ON BARRIERS TO, AND OPPORTUNITIES FOR, COMMUNITY OWNER-
 SHIP, INCLUDING:
   (A) A STUDY OF CONTRACTUAL AND PRICING MECHANISMS THAT MAKE SITING AND
 OWNERSHIP  OF  RENEWABLE  ENERGY  ASSETS  AND  SERVICES IN DISADVANTAGED
 COMMUNITIES MORE VIABLE AND SCALABLE.
   (B) RECOMMENDATIONS ON HOW TO INCREASE COMMUNITY OWNERSHIP  IN  DISAD-
 VANTAGED COMMUNITIES OF THE FOLLOWING SERVICES AND COMMODITIES:
   (I) DISTRIBUTED RENEWABLE ENERGY GENERATION;
   (II) UTILITY SCALE RENEWABLE ENERGY GENERATION;
   (III) ENERGY EFFICIENCY AND WEATHERIZATION INVESTMENTS; AND
   (IV)  ELECTRIC  GRID  INVESTMENTS,  INCLUDING ENERGY STORAGE AND SMART
 METERS.
   2. BEFORE FINALIZING THE REPORT DESCRIBED IN SUBDIVISION ONE  OF  THIS
 SECTION,  THE DEPARTMENT SHALL ENSURE THAT THERE ARE MEANINGFUL OPPORTU-
 NITIES FOR PUBLIC PARTICIPATION, INCLUDING BY:
   (A) ALLOWING AT LEAST ONE HUNDRED TWENTY DAYS FOR  THE  SUBMISSION  OF
 PUBLIC COMMENT, FOLLOWING THE DATE OF THE PUBLICATION OF A DRAFT REPORT;
 AND
   (B)  HOLDING  AT  LEAST  FOUR  REGIONAL PUBLIC HEARINGS, INCLUDING TWO
 MEETINGS IN THE UPSTATE REGION AND TWO MEETINGS IN THE DOWNSTATE REGION,
 WITH EMPHASIS ON MAXIMIZING PARTICIPATION AND ACCESSIBILITY FOR  MEMBERS
 OF DISADVANTAGED COMMUNITIES.
   3.  THE FINAL REPORT SHALL BE SUBMITTED TO THE GOVERNOR, THE TEMPORARY
 PRESIDENT OF THE SENATE, THE SPEAKER OF THE ASSEMBLY, THE MINORITY LEAD-
 ER OF THE SENATE AND THE MINORITY LEADER OF THE ASSEMBLY, AND  SHALL  BE
 POSTED ON THE WEBSITE OF THE DEPARTMENT.

                                  TITLE 3
                         COMMUNITY JUST TRANSITION
 SECTION 77-0301. DEFINITIONS.
         77-0303. OFFICE OF COMMUNITY JUST TRANSITION.
         77-0305. ESTABLISHMENT OF COMMUNITY JUST TRANSITION PROGRAM.
         77-0307. ADMINISTRATION BY THE DEPARTMENT.
         77-0309. ALLOCATION OF FUNDS.
         77-0311. SELECTION PROCESS.
         77-0313. IDENTIFICATION OF DISADVANTAGED COMMUNITY NEEDS.
         77-0315. COMMUNITY   DECISION-MAKING  AND  ACCOUNTABILITY  MECH-
                 ANISMS.
 S. 7905                            18
 
         77-0317. CRITERIA  FOR  IMPLEMENTING  COMMUNITY   ACCOUNTABILITY
                 MECHANISMS.
 § 77-0301. DEFINITIONS.
   FOR  THE  PURPOSES  OF  THIS TITLE, THE FOLLOWING TERMS SHALL HAVE THE
 FOLLOWING MEANINGS:
   1. "ACT" MEANS THE "CLIMATE AND COMMUNITY INVESTMENT ACT".
   2. "DISADVANTAGED COMMUNITIES" SHALL  HAVE  THE  SAME  MEANING  AS  IN
 SUBDIVISION THREE OF SECTION 75-0111 OF THIS CHAPTER.
   3.  "ELIGIBLE  LEAD APPLICANT" MEANS A CONSTITUENCY-BASED ORGANIZATION
 OR A TRIBAL NATION, IN OR SERVING A DISADVANTAGED COMMUNITY OR  COMMUNI-
 TIES.  NOTWITHSTANDING  THE  PRECEDING  SENTENCE,  A  CONSTITUENCY-BASED
 ORGANIZATION OR TRIBAL NATION MAY BE AN ELIGIBLE LEAD APPLICANT, WHETHER
 OR NOT IT IS IN OR SERVING A DISADVANTAGED COMMUNITY OR COMMUNITIES,  IF
 IT MAKES AN APPLICATION FOR FUNDING ON BEHALF OF ONE OR MORE CONSTITUEN-
 CY-BASED  ORGANIZATIONS  OR TRIBAL NATIONS THAT ARE IN OR SERVING ONE OR
 MORE DISADVANTAGED COMMUNITIES WITH THE CONSENT  OF  SUCH  CONSTITUENCY-
 BASED  ORGANIZATION  OR  ORGANIZATIONS  OR  TRIBAL NATION OR NATIONS AND
 SUBGRANTS TO SUCH CONSTITUENCY-BASED ORGANIZATION  OR  ORGANIZATIONS  OR
 TRIBAL  NATION  OR  NATIONS. A MUNICIPALITY OR COUNTY WHERE A PROJECT IS
 PROPOSED TO BE LOCATED SHALL ALSO BE CONSIDERED AN ELIGIBLE LEAD  APPLI-
 CANT  IF  IT AFFIRMS THAT THERE IS NO CONSTITUENCY-BASED ORGANIZATION OR
 TRIBAL NATION IN OR SERVING THE DISADVANTAGED COMMUNITY OR THAT IS WILL-
 ING OR ABLE TO SUBMIT AN APPLICATION OR CONSENT TO BE A SUBGRANTEE UNDER
 THIS SUBDIVISION, AND THAT IT  PROVIDED  A  REASONABLE  OPPORTUNITY  FOR
 RESIDENTS  AND ORGANIZATIONS IN OR SERVING THE MUNICIPALITY OR COUNTY TO
 COMMENT ON THE APPLICATION PRIOR TO SUBMISSION.
   4. "ELIGIBLE SUB-APPLICANTS" MEANS PRIVATE SECTOR  ENTITIES,  ACADEMIC
 INSTITUTIONS,  NON-PROFIT ORGANIZATIONS, OTHER STAKEHOLDERS, AND MUNICI-
 PALITIES AND COUNTIES IN  CASES  WHERE  THERE  IS  A  CONSTITUENCY-BASED
 ORGANIZATION IN THE DISADVANTAGED COMMUNITY OR COMMUNITIES.
   5.  "FUND"  MEANS THE COMMUNITY JUST TRANSITION FUND ESTABLISHED UNDER
 SUBDIVISION ONE OF SECTION THREE THOUSAND FORTY-SIX OF THE TAX LAW.
   6. "MINORITY- OR  WOMEN-OWNED  BUSINESS  ENTERPRISE"  MEANS  EITHER  A
 "MINORITY-OWNED  BUSINESS ENTERPRISE" AS DEFINED IN SUBDIVISION SEVEN OF
 SECTION THREE HUNDRED TEN OF THE EXECUTIVE LAW, OR A "WOMEN-OWNED  BUSI-
 NESS ENTERPRISE" AS DEFINED IN SUBDIVISION FIFTEEN OF SUCH SECTION.
   7.  "PROGRAM"  MEANS THE COMMUNITY JUST TRANSITION PROGRAM ESTABLISHED
 UNDER THIS TITLE.
   8. "COMMUNITY OWNERSHIP" SHALL HAVE THE SAME MEANING AS SET  FORTH  IN
 SUBDIVISION ONE OF SECTION 77-0101 OF THIS ARTICLE.
   9.  "DOWNSTATE  REGION" MEANS THE COUNTIES OF RICHMOND, KINGS, QUEENS,
 NEW YORK, BRONX, WESTCHESTER, NASSAU AND SUFFOLK.
   10. "UPSTATE REGION" MEANS ALL NEW YORK COUNTIES  OTHER  THAN  NASSAU,
 SUFFOLK, RICHMOND, KINGS, QUEENS, NEW YORK, BRONX AND WESTCHESTER.
 § 77-0303. OFFICE OF COMMUNITY JUST TRANSITION.
   THE  DEPARTMENT SHALL ADMINISTER THE FUND AND THE PROGRAM. THE DEPART-
 MENT SHALL BE RESPONSIBLE FOR IMPLEMENTING NEW, PROGRESSIVE AND  EQUITA-
 BLE  GRANT  OPPORTUNITIES THAT SUPPORT DISADVANTAGED COMMUNITIES TRANSI-
 TIONING TO A REGENERATIVE RENEWABLE ENERGY ECONOMY, UNDER THIS  SECTION.
 THE DEPARTMENT SHALL DEVELOP AND ASSESS PROGRAMS.
 § 77-0305. ESTABLISHMENT OF COMMUNITY JUST TRANSITION PROGRAM.
   THERE  IS HEREBY ESTABLISHED BY THE DEPARTMENT, A COMMUNITY JUST TRAN-
 SITION PROGRAM, TO BE IMPLEMENTED BY THE COMMISSIONER.  THE  PURPOSE  OF
 THE PROGRAM IS TO DISBURSE FUNDS FROM THE COMMUNITY JUST TRANSITION FUND
 PURSUANT TO SECTION 77-0309 OF THIS TITLE.
 § 77-0307. ADMINISTRATION BY THE DEPARTMENT.
 S. 7905                            19
 
   WITHIN  SIX MONTHS OF THE EFFECTIVE DATE OF THIS TITLE, THE DEPARTMENT
 IS HEREBY AUTHORIZED AND DIRECTED TO ESTABLISH AND ADMINISTER THE COMMU-
 NITY JUST TRANSITION PROGRAM.  THE DEPARTMENT IS AUTHORIZED AND DIRECTED
 TO:
   1.  USE  MONIES  MADE  AVAILABLE FOR THE PROGRAM, PURSUANT TO SECTIONS
 77-0309 AND 77-0311 OF THIS TITLE;
   2. ENTER INTO CONTRACTS WITH ELIGIBLE LEAD APPLICANTS  AND  SUB-APPLI-
 CANTS THROUGH A COMPETITIVE SELECTION PROCESS;
   3.  RECOVER  FROM  THE  MONIES  MADE AVAILABLE FOR THE PROGRAM, NOT IN
 EXCESS OF TWO PERCENT OF ANNUAL FUND PROCEEDS,  ITS  OWN  NECESSARY  AND
 DOCUMENTED  COSTS  INCURRED  IN  ADMINISTERING  THE  PROGRAM,  INCLUDING
 PROGRAM EVALUATION; AND
   4. EXERCISE SUCH OTHER POWERS AS ARE NECESSARY FOR THE PROPER ADMINIS-
 TRATION OF THE PROGRAM.
 § 77-0309. ALLOCATION OF FUNDS.
   1. FUNDS FROM THE COMMUNITY JUST TRANSITION FUND  SHALL  BE  DISBURSED
 THROUGH DIRECT GRANTS TO ELIGIBLE LEAD APPLICANTS.
   2.  AT  LEAST  SEVENTY-FIVE  PERCENT  OF FUNDS FROM THE COMMUNITY JUST
 TRANSITION FUND SHALL BE FOR PROJECTS PHYSICALLY LOCATED WITHIN A DESIG-
 NATED DISADVANTAGED COMMUNITY, OR FOR PROJECTS AS CLOSE TO SUCH COMMUNI-
 TY AS IS PRACTICABLE, PROVIDED THAT A PROJECT NOT PHYSICALLY LOCATED  IN
 THE  DISADVANTAGED  COMMUNITY  SHALL  ONLY BE ELIGIBLE FOR FUNDING UNDER
 THIS SUBDIVISION IF THE DEPARTMENT FINDS THAT  IT  IS  IMPRACTICABLE  TO
 LOCATE  THE PROJECT IN SUCH DISADVANTAGED COMMUNITY OR THAT FUNDING SUCH
 PROJECT IS IN THE BEST INTERESTS OF SUCH DISADVANTAGED COMMUNITY, TAKING
 INTO ACCOUNT SUCH FACTORS AS  THE  BURDENS  OF  NEGATIVE  PUBLIC  HEALTH
 EFFECTS, ENVIRONMENTAL POLLUTION AND THE IMPACTS OF CLIMATE CHANGES. ANY
 PROJECT  FUNDED  UNDER THIS SUBDIVISION SHALL ACHIEVE ONE OR MORE OF THE
 GOALS IN PARAGRAPH (A), (B) OR (C) OF THIS SUBDIVISION:
   (A) MAXIMIZING GREENHOUSE GAS EMISSIONS REDUCTIONS, INCLUDING  THROUGH
 THE  COMPLETION  OF PROJECTS, INCLUDING BUT NOT LIMITED TO: ENERGY EFFI-
 CIENCY AND ENERGY DEMAND REDUCTION; RENEWABLE  ENERGY;  ENERGY  STORAGE;
 RENEWABLE ENERGY-POWERED MICROGRIDS; ENERGY RESILIENCY; DEMAND RESPONSE;
 AND  REDUCING  URBAN  HEAT ISLAND EFFECTS THROUGH VARIOUS MEANS, SUCH AS
 THROUGH THE COMPLETION OF URBAN FORESTRY, URBAN  AGRICULTURE,  OR  GREEN
 INFRASTRUCTURE PROJECTS;
   (B)  THE  REDUCTION OF OTHER REGULATED AIR CONTAMINANTS IN CONJUNCTION
 WITH GREENHOUSE GAS EMISSIONS REDUCTIONS; AND
   (C) COMMUNITY OWNERSHIP AND GOVERNANCE, INCLUDING THROUGH THE  FUNDING
 OF PLANNING, DESIGN AND CONSTRUCTION OF COMMUNITY SOLAR INSTALLATION AND
 OTHER PROJECTS LISTED UNDER PARAGRAPH (A) OF THIS SUBDIVISION.
   3.  UP TO TWENTY-FIVE PERCENT OF FUNDS FROM THE COMMUNITY JUST TRANSI-
 TION FUND MAY BE USED FOR PROJECTS OTHER THAN AS SPECIFIED  IN  SUBDIVI-
 SION TWO OF THIS SECTION, BUT MUST PROVIDE AT LEAST ONE OF THE FOLLOWING
 BENEFITS TO ONE OR MORE DESIGNATED DISADVANTAGED COMMUNITIES:
   (A)  REDUCING  EMISSIONS FROM STATIONARY SOURCES, INCLUDING THE PERMA-
 NENT CLOSURE OF FOSSIL FUEL-FIRED POWER PLANTS, INCLUDING PEAKER-PLANTS,
 OR WASTE-TO-ENERGY PLANTS, WITH PRIORITY  GIVEN  TO  REDUCING  EMISSIONS
 FROM  SOURCES  THAT  EMIT  POLLUTION  INTO  THE AIRSHED OF DISADVANTAGED
 COMMUNITIES;
   (B) REDUCING THE FINANCIAL BURDEN OF ENERGY EXPENSES FOR DISADVANTAGED
 COMMUNITIES, INCLUDING REDUCING ENERGY COSTS  THROUGH  THE  CREATION  OF
 COMMUNITY-OWNED SOLAR ASSETS; AND
   (C) INCREASING AND SUPPORTING OPPORTUNITIES FOR COMMUNITY OWNERSHIP OF
 ENERGY  PROJECTS  BY  RESIDENTS  OF DISADVANTAGED COMMUNITIES, INCLUDING
 S. 7905                            20
 
 OWNERSHIP OF THE TYPE OF ENERGY PROJECTS SPECIFIED UNDER SUBDIVISION TWO
 OF THIS SECTION AND BY ESTABLISHING COMMUNITY-OWNED ENERGY COOPERATIVES.
 § 77-0311. SELECTION PROCESS.
   1.  THE  DEPARTMENT  SHALL DEVELOP CRITERIA AND A PROCESS FOR COMPETI-
 TIVELY SELECTING PROJECT PROPOSALS UNDER THIS TITLE, IN ACCORDANCE  WITH
 THIS SECTION AND SECTION 77-0309 OF THIS TITLE.
   2. THE DEPARTMENT SHALL COMPETITIVELY SELECT PROJECT PROPOSALS ACCORD-
 ING  TO  THE CRITERIA AND PROCESS ESTABLISHED UNDER SUBDIVISION THREE OF
 THIS SECTION.
   3. IN SELECTING PROJECTS AND DISTRIBUTING FUNDS,  THE  DIRECTOR  SHALL
 MEET THE STANDARDS IN PARAGRAPHS (A), (B), (C), (D), (E) AND (F) OF THIS
 SUBDIVISION.
   (A)  ALL  PROJECTS SHALL BE LED BY AN ELIGIBLE LEAD APPLICANT; PROVIDE
 BENEFITS TO DESIGNATED DISADVANTAGED COMMUNITIES;  COMPLY  WITH  SECTION
 77-0309  OF  THIS TITLE; INCORPORATE COMMUNITY DECISION-MAKING, PURSUANT
 TO SECTION 77-0315 OF THIS TITLE, THROUGHOUT PROJECT PLANNING AND IMPLE-
 MENTATION; AND PROVIDE A COMMUNITY ACCOUNTABILITY MECHANISM, PURSUANT TO
 SECTION 77-0317 OF THIS TITLE AND COMPLY WITH THE LABOR AND JOB PERFORM-
 ANCE STANDARDS IN THIS ACT.
   (B) PROGRAM FUNDS AS A WHOLE SHALL BE EQUITABLY DISTRIBUTED TO MEMBERS
 OF DISADVANTAGED COMMUNITIES, WITH ROUGHLY AN EVEN DISTRIBUTION OF FUNDS
 PER CAPITA AMONG DISADVANTAGED COMMUNITIES ACROSS THE STATE.
   (C) COMMUNITIES SHALL BE TARGETED IN  AREAS  WHERE  ENERGY  COSTS  ARE
 PARTICULARLY HIGH IN RELATION TO A MEASURE OF MEDIAN HOUSEHOLD INCOME AS
 DETERMINED  BY THE DEPARTMENT; OR WHICH HAVE BEEN DESIGNATED AS A NONAT-
 TAINMENT AREA FOR ONE OR MORE POLLUTANTS PURSUANT TO SECTION 107 OF  THE
 FEDERAL CLEAN AIR ACT (42 U.S.C. SECTION 7407).
   (D)  THE DEPARTMENT SHALL GIVE PREFERENCE IN AWARDS TO APPLICANTS THAT
 INCLUDE SIGNIFICANT PARTICIPATION BY MINORITY- OR  WOMEN-OWNED  BUSINESS
 ENTERPRISES.
   (E)  THE DEPARTMENT SHALL GIVE PREFERENCE IN AWARDS TO APPLICANTS THAT
 IMPLEMENT MECHANISMS TO MAXIMIZE COMMUNITY OWNERSHIP,  PURSUANT  TO  THE
 FINDINGS  OF THE LATEST REPORT MANDATED BY SECTION 77-0107 OF THIS ARTI-
 CLE.
   (F) THE DEPARTMENT SHALL GIVE PREFERENCE IN AWARDS  TO  PROJECTS  THAT
 WOULD  NOT  OTHERWISE  LIKELY  BE  COMPLETED  WITHOUT THE SUPPORT OF THE
 PROGRAM.
   4. THE DEPARTMENT SHALL ENCOURAGE ELIGIBLE LEAD APPLICANTS TO  PROPOSE
 PROJECTS  IN  COLLABORATION WITH ELIGIBLE SUB-APPLICANTS AND COMPLY WITH
 THE LABOR AND JOB PERFORMANCE STANDARDS IN THIS ACT.
   5. THE DEPARTMENT SHALL ANNUALLY ISSUE AT LEAST ONE AND NOT MORE  THAN
 FOUR  PROGRAM  OPPORTUNITY  NOTICES OR REQUESTS FOR PROPOSALS TO SOLICIT
 APPLICATIONS FROM ELIGIBLE LEAD APPLICANTS.
   6. THE DEPARTMENT SHALL PRIORITIZE CREATING A STREAMLINED AND  SIMPLI-
 FIED  APPLICATION AND DISBURSEMENT PROCESS FOR ELIGIBLE LEAD APPLICANTS,
 INCLUDING BUT NOT LIMITED TO, QUARTERLY AVAILABLE  GRANT  OPPORTUNITIES,
 AT LEAST QUARTERLY INFORMATION WEBINARS, AND PROVIDING OPPORTUNITIES FOR
 TECHNICAL ASSISTANCE TO NAVIGATE THE APPLICATION PROCESS.
   7.  TO  THE  EXTENT  OTHERWISE  PERMITTED BY LAW, THE DEPARTMENT SHALL
 DISTRIBUTE FUNDS IN A MANNER THAT PROVIDES AT LEAST SEVENTY-FIVE PERCENT
 OF EACH AWARD UP-FRONT, TO ENSURE THAT  ELIGIBLE  LEAD  APPLICANTS  WITH
 LIMITED EXISTING BUDGETS ARE ABLE TO IMPLEMENT PROJECTS EFFECTIVELY.
   8.  THE  DEPARTMENT  SHALL  CONSULT  WITH  THE DIVISION OF HOUSING AND
 COMMUNITY RENEWAL TO DEVELOP STRATEGIES TO MITIGATE ANY ADVERSE ECONOMIC
 IMPACT OF THE PROGRAM ON TENANTS  AND  HOMEOWNERS,  INCLUDING,  BUT  NOT
 LIMITED TO, RESIDENTS OF RENT-REGULATED HOUSING OR RECIPIENTS OF HOUSING
 S. 7905                            21
 
 SUBSIDIES  AND RENT-BURDENED HOUSEHOLDS; AND ENHANCE LONG-TERM COMMUNITY
 COHESION WHILE PREVENTING GENTRIFICATION AND DISPLACEMENT.
   9. NOTHING IN THIS TITLE SHALL PRECLUDE THE DEPARTMENT FROM PERMITTING
 ELIGIBLE  LEAD APPLICANTS OR SUB-APPLICANTS TO USE PROGRAM FUNDS AWARDED
 UNDER THIS TITLE IN CONJUNCTION WITH OTHER  PUBLIC  OR  PRIVATE  FUNDING
 AWARDED FOR OTHER PURPOSES, PROVIDING THAT THE LEAD APPLICANT CAN DEMON-
 STRATE, IN A MANNER SUFFICIENT TO THE DEPARTMENT, THAT THE PROGRAM GOALS
 AND OTHER REQUIREMENTS OF THIS TITLE WILL BE MET.
 § 77-0313. IDENTIFICATION OF DISADVANTAGED COMMUNITY NEEDS.
   1. THE DEPARTMENT, IN COOPERATION WITH THE COMMISSIONERS OF HEALTH AND
 LABOR  SHALL  IDENTIFY DISADVANTAGED COMMUNITY NEEDS FOR THE PURPOSES OF
 IMPLEMENTING THIS SECTION.
   2. DISADVANTAGED COMMUNITY NEEDS SHALL BE IDENTIFIED, WITH  THE  INPUT
 OF  EXPERTS,  LOCAL GOVERNMENT REPRESENTATIVES, PUBLIC UTILITY REPRESEN-
 TATIVES, AND OTHER LOCAL STAKEHOLDERS, FOR EACH DISADVANTAGED  COMMUNITY
 OR SET OF DISADVANTAGED COMMUNITIES.
   3.  BEFORE  FINALIZING  THE LIST OF IDENTIFIED DISADVANTAGED COMMUNITY
 NEEDS PURSUANT TO SUBDIVISION ONE OF THIS SECTION, THE DEPARTMENT  SHALL
 ENSURE  THAT  THERE  ARE MEANINGFUL OPPORTUNITIES FOR PUBLIC COMMENT FOR
 ALL PERSONS WHO WILL BE IMPACTED  BY  THE  IDENTIFIED  NEEDS,  INCLUDING
 PERSONS LIVING IN AREAS THAT MAY BE IDENTIFIED AS DISADVANTAGED COMMUNI-
 TIES, INCLUDING BY:
   (A)  PUBLISHING  DRAFT  IDENTIFIED  DISADVANTAGED COMMUNITY NEEDS, AND
 MAKING SUCH INFORMATION AVAILABLE ON THE INTERNET;
   (B) HOLDING AT LEAST SIX REGIONAL PUBLIC HEARINGS ON THE DRAFT IDENTI-
 FIED DISADVANTAGED COMMUNITY NEEDS, INCLUDING THREE MEETINGS IN  UPSTATE
 REGIONS AND THREE MEETINGS IN DOWNSTATE REGIONS; AND
   (C)  ALLOWING  AT  LEAST ONE HUNDRED TWENTY DAYS FOR THE SUBMISSION OF
 PUBLIC COMMENT, FOLLOWING THE DATE OF THE PUBLICATION OF  DRAFT  IDENTI-
 FIED DISADVANTAGED COMMUNITY NEEDS DESCRIBED UNDER PARAGRAPH (A) OF THIS
 SUBDIVISION.
   4. THE DEPARTMENT, IN COOPERATION WITH THE COMMISSIONERS OF HEALTH AND
 LABOR OR THEIR DESIGNEES, SHALL MEET NO LESS THAN ANNUALLY TO REVIEW THE
 IDENTIFIED  DISADVANTAGED  COMMUNITY  NEEDS AND METHODS USED TO IDENTIFY
 SUCH NEEDS, AND MAY MODIFY SUCH METHODS  TO  INCORPORATE  NEW  DATA  AND
 SCIENTIFIC  FINDINGS,  SUBJECT  TO  THE SAME PROCESS REQUIREMENTS LISTED
 UNDER SUBDIVISION THREE OF THIS SECTION.
 § 77-0315. COMMUNITY DECISION-MAKING AND ACCOUNTABILITY MECHANISMS.
   1. THE DEPARTMENT, IN COOPERATION WITH THE COMMISSIONERS OF HEALTH AND
 LABOR SHALL ESTABLISH CRITERIA FOR APPROPRIATE COMMUNITY DECISION-MAKING
 PRACTICES FOR THE PURPOSES OF IMPLEMENTING THIS SECTION.
   2. COMMUNITY DECISION-MAKING PRACTICES SHALL BE  IDENTIFIED  BASED  ON
 CONSULTATIONS  WITH  CONSTITUENCY-BASED ORGANIZATIONS, MEMBERS OF DISAD-
 VANTAGED COMMUNITIES, AND OTHER STAKEHOLDERS IDENTIFIED BY  THE  DEPART-
 MENT.
   3.  BEFORE FINALIZING THE CRITERIA FOR APPROPRIATE COMMUNITY DECISION-
 MAKING PRACTICES PURSUANT  TO  SUBDIVISION  ONE  OF  THIS  SECTION,  THE
 DEPARTMENT  SHALL  ENSURE  THAT  THERE  ARE MEANINGFUL OPPORTUNITIES FOR
 PUBLIC COMMENT FOR ALL PERSONS WHO WILL BE  IMPACTED  BY  THE  CRITERIA,
 INCLUDING  PERSONS  LIVING  IN AREAS THAT MAY BE IDENTIFIED AS DISADVAN-
 TAGED COMMUNITIES, INCLUDING BY:
   (A) PUBLISHING DRAFT CRITERIA, AND MAKING SUCH  INFORMATION  AVAILABLE
 ON THE INTERNET;
   (B)  HOLDING AT LEAST TEN REGIONAL PUBLIC HEARINGS ON THE DRAFT CRITE-
 RIA, ONE IN EACH REGION; AND
 S. 7905                            22
 
   (C) ALLOWING AT LEAST ONE HUNDRED TWENTY DAYS FOR  THE  SUBMISSION  OF
 PUBLIC  COMMENT, FOLLOWING THE DATE OF THE PUBLICATION OF DRAFT CRITERIA
 DESCRIBED UNDER PARAGRAPH (A) OF THIS SUBDIVISION.
   4. THE DEPARTMENT, IN COOPERATION WITH THE COMMISSIONERS OF HEALTH AND
 LABOR  SHALL MEET NO LESS THAN ANNUALLY TO REVIEW THE CRITERIA AND METH-
 ODS USED TO IDENTIFY APPROPRIATE  COMMUNITY  DECISION-MAKING  PRACTICES,
 AND MAY MODIFY SUCH METHODS TO INCORPORATE NEW DATA AND SCIENTIFIC FIND-
 INGS,  SUBJECT TO THE SAME PROCESS REQUIREMENTS LISTED UNDER SUBDIVISION
 THREE OF THIS SECTION.
   5. FOR THE PURPOSES OF PARAGRAPH (B)  OF  SUBDIVISION  THREE  OF  THIS
 SECTION,  "REGION" SHALL HAVE THE SAME MEANING AS IN SUBDIVISION NINE OF
 SECTION TWENTY-FOUR HUNDRED TWENTY-SIX OF THE PUBLIC AUTHORITIES LAW.
 § 77-0317. CRITERIA  FOR  IMPLEMENTING  COMMUNITY  ACCOUNTABILITY  MECH-
              ANISMS.
   THE  DEPARTMENT,  IN  COOPERATION WITH THE COMMISSIONERS OF HEALTH AND
 LABOR SHALL ESTABLISH CRITERIA FOR IMPLEMENTING COMMUNITY ACCOUNTABILITY
 MECHANISMS FOR THE PURPOSES OF IMPLEMENTING THIS SECTION.
   1. CRITERIA FOR IMPLEMENTING COMMUNITY ACCOUNTABILITY MECHANISMS SHALL
 BE BASED ON INPUT FROM THE DEPARTMENT AND THE  COMMISSIONERS  OF  HEALTH
 AND LABOR.
   2.  BEFORE FINALIZING THE CRITERIA FOR IMPLEMENTING COMMUNITY ACCOUNT-
 ABILITY MECHANISMS PURSUANT TO SUBDIVISION  ONE  OF  THIS  SECTION,  THE
 DEPARTMENT  SHALL  ENSURE  THAT  THERE  ARE MEANINGFUL OPPORTUNITIES FOR
 PUBLIC COMMENT FOR ALL PERSONS WHO WILL BE  IMPACTED  BY  THE  CRITERIA,
 INCLUDING  PERSONS  LIVING  IN AREAS THAT MAY BE IDENTIFIED AS DISADVAN-
 TAGED COMMUNITIES, INCLUDING BY:
   (A) PUBLISHING DRAFT CRITERIA, AND MAKING SUCH  INFORMATION  AVAILABLE
 ON THE INTERNET;
   (B)  HOLDING AT LEAST SIX REGIONAL PUBLIC HEARINGS ON THE DRAFT CRITE-
 RIA, INCLUDING THREE MEETINGS IN THE UPSTATE REGION AND  THREE  MEETINGS
 IN THE DOWNSTATE REGION; AND
   (C)  ALLOWING  AT  LEAST ONE HUNDRED TWENTY DAYS FOR THE SUBMISSION OF
 PUBLIC COMMENT, FOLLOWING THE DATE OF THE PUBLICATION OF DRAFT  CRITERIA
 DESCRIBED UNDER PARAGRAPH (A) OF THIS SUBDIVISION.
   3. THE DEPARTMENT, IN COOPERATION WITH THE COMMISSIONERS OF HEALTH AND
 LABOR  SHALL MEET NO LESS THAN ANNUALLY TO REVIEW THE CRITERIA AND METH-
 ODS USED TO IDENTIFY COMMUNITY ACCOUNTABILITY MECHANISMS, AND MAY MODIFY
 SUCH METHODS TO INCORPORATE NEW DATA AND SCIENTIFIC FINDINGS, SUBJECT TO
 THE SAME PROCESS REQUIREMENTS  LISTED  UNDER  SUBDIVISION  TWO  OF  THIS
 SECTION.
 
                                  TITLE 5
                      CLIMATE JOBS AND INFRASTRUCTURE
 SECTION 77-0501. DEFINITIONS.
         77-0503. ESTABLISHMENT   OF   CLIMATE  JOBS  AND  INFRASTRUCTURE
                 PROGRAM.
         77-0505. ADMINISTRATION BY THE DEPARTMENT.
         77-0507. ALLOCATION OF FUNDS.
         77-0509. FUNDING INSTRUMENTS.
         77-0511. SELECTION PROCESS AND CRITERIA.
         77-0513. COMPREHENSIVE APPROACH TO EXISTING STRUCTURES.
 
 § 77-0501. DEFINITIONS.
   FOR THE PURPOSES OF THIS TITLE, THE FOLLOWING  TERMS  SHALL  HAVE  THE
 FOLLOWING MEANINGS:
 S. 7905                            23
 
   1.  "ELIGIBLE  APPLICANT"  MEANS  A  CONSTITUENCY-BASED  ORGANIZATION,
 TRIBAL NATION, LABOR UNION, MUNICIPALITY, TRANSIT AGENCY, PORT  AUTHORI-
 TY,  METROPOLITAN  PLANNING  ORGANIZATIONS, SMALL BUSINESS, MINORITY- OR
 WOMEN-OWNED BUSINESS ENTERPRISE OR ANY OTHER ENTITY  DEEMED  APPROPRIATE
 BY THE DEPARTMENT.
   2.  "FUND"  MEANS THE CLIMATE JOBS AND INFRASTRUCTURE FUND ESTABLISHED
 UNDER SUBDIVISION TWO OF SECTION THREE THOUSAND  FORTY-SIX  OF  THE  TAX
 LAW.
   3.  "MINORITY-  OR  WOMEN-OWNED  BUSINESS  ENTERPRISE"  MEANS EITHER A
 "MINORITY-OWNED BUSINESS ENTERPRISE" AS DEFINED IN SUBDIVISION SEVEN  OF
 SECTION  THREE HUNDRED TEN OF THE EXECUTIVE LAW, OR A "WOMEN-OWNED BUSI-
 NESS ENTERPRISE" AS DEFINED IN SUBDIVISION FIFTEEN OF SUCH SECTION.
   4. "PROGRAM" MEANS THE CLIMATE JOBS AND INFRASTRUCTURE PROGRAM  ESTAB-
 LISHED UNDER THIS TITLE.
   5.  "THIRD-PARTY  ENTITIES"  MEANS  PRIVATE  SECTOR ENTITIES, ACADEMIC
 INSTITUTIONS, NON-PROFIT ORGANIZATIONS AND OTHER STAKEHOLDERS  THAT  ARE
 NOT ELIGIBLE APPLICANTS.
   6.  "TRIBAL NATION" SHALL HAVE THE SAME MEANING AS IN SUBDIVISION NINE
 OF SECTION 77-0101 OF THIS ARTICLE.
   7. "DISADVANTAGED   COMMUNITIES" SHALL HAVE THE  SAME  MEANING  AS  IN
 SUBDIVISION FIVE OF SECTION 75-0101 OF THIS CHAPTER.
 § 77-0503. ESTABLISHMENT OF CLIMATE JOBS AND INFRASTRUCTURE PROGRAM.
   THERE  IS  HEREBY  ESTABLISHED  BY  THE DEPARTMENT, A CLIMATE JOBS AND
 INFRASTRUCTURE PROGRAM, WHICH SHALL DISBURSE FUNDS FROM THE CLIMATE JOBS
 AND INFRASTRUCTURE FUND PURSUANT TO THE GOALS ESTABLISHED UNDER  SECTION
 77-0507 OF THIS TITLE.
 § 77-0505. ADMINISTRATION BY THE DEPARTMENT.
   WITHIN  SIX MONTHS OF THE EFFECTIVE DATE OF THIS TITLE, THE DEPARTMENT
 IS HEREBY AUTHORIZED  AND  DIRECTED  TO  ESTABLISH  AND  ADMINISTER  THE
 CLIMATE  JOBS AND INFRASTRUCTURE PROGRAM. THE DEPARTMENT SHALL IMPLEMENT
 THE PROGRAM IN CONSULTATION WITH THE PUBLIC SERVICE COMMISSION, THE  NEW
 YORK  INDEPENDENT  SYSTEM  OPERATOR,  THE  NEW  YORK ENERGY RESEARCH AND
 DEVELOPMENT AUTHORITY, AND THE DEPARTMENTS OF TRANSPORTATION, HEALTH AND
 LABOR. THE DEPARTMENT IS AUTHORIZED AND DIRECTED TO TAKE  THE  FOLLOWING
 STEPS:
   1.  USING  MONIES MADE AVAILABLE FROM THE FUND TO ACHIEVE THE GOALS OF
 THE PROGRAM OUTLINED IN SECTION 77-0507 OF THIS TITLE;
   2. ENTERING INTO CONTRACTS WITH ELIGIBLE APPLICANTS AND OTHER ENTITIES
 THROUGH THE COMPETITIVE SELECTION PROCESS AUTHORIZED BY THIS TITLE;
   3. USING FROM THE MONIES MADE AVAILABLE FOR THE PROGRAM, NOT IN EXCESS
 OF TWO PERCENT OF ANNUAL FUND PROCEEDS, ITS OWN NECESSARY AND DOCUMENTED
 COSTS INCURRED IN ADMINISTERING THE PROGRAM,  INCLUDING  PROGRAM  EVALU-
 ATION; AND
   4. EXERCISING SUCH OTHER POWERS AS ARE NECESSARY FOR THE PROPER ADMIN-
 ISTRATION OF THE PROGRAM.
 § 77-0507. ALLOCATION OF FUNDS.
   1.  FUNDS  FROM  THE  CLIMATE  JOBS  AND  INFRASTRUCTURE FUND SHALL BE
 DISBURSED UNDER THE CLIMATE JOBS AND INFRASTRUCTURE PROGRAM  TO  ACHIEVE
 QUANTIFIABLE,  VERIFIABLE,  AND SIGNIFICANT REDUCTIONS IN GREENHOUSE GAS
 EMISSIONS AND OF REGULATED AIR CONTAMINANTS WHILE ACHIEVING THE  GENERAL
 GOALS  SPECIFIED  IN  SUBDIVISION  TWO OF THIS SECTION.  THESE FUNDS ARE
 INTENDED TO ADVANCE THE GOALS OF THE CLIMATE  LEADERSHIP  AND  COMMUNITY
 PROTECTION ACT.
   2.  IN  ADDITION  TO MEETING THE GOALS SPECIFIED IN SUBDIVISION ONE OF
 THIS SECTION, FUNDS SHALL BE DISBURSED TO MEET THE FOLLOWING GOALS:
 S. 7905                            24
 
   (A) JOB CREATION, PURSUANT TO THE STANDARDS ESTABLISHED UNDER  ARTICLE
 EIGHT-B  OF THE LABOR LAW, INCLUDING OPPORTUNITIES FOR NEW ENTRANTS INTO
 THE STATE'S WORKFORCE, AND THE LONG-TERM UNEMPLOYED OR  DISPLACED  WORK-
 ERS,  AND  THE DEVELOPMENT OF AN IN-STATE MANUFACTURING AND SUPPLY CHAIN
 FOR CLEAN ENERGY TECHNOLOGIES;
   (B) FUNDING LARGE-SCALE PROJECTS, INCLUDING THOSE THAT MAY SPAN MULTI-
 PLE COMMUNITIES OR REGIONS;
   (C)  REDUCING  GREENHOUSE  GAS  EMISSIONS  AND  ENERGY  COSTS  THROUGH
 IMPROVEMENTS IN ENERGY EFFICIENCY, ENERGY CONSERVATION, LOAD  BALANCING,
 ENERGY STORAGE AND THE INSTALLATION OF CLEAN ENERGY TECHNOLOGIES;
   (D)  ACHIEVING  ADVANCEMENTS  IN  SOCIAL  EQUITY,  INCLUDING PROMOTING
 COMMUNITY OWNERSHIP  AND  GOVERNANCE  OF  ENERGY  PRODUCTION,  INCLUDING
 YOUTH,  CHILDREN,  THE  INCARCERATED  AND THE FORMERLY INCARCERATED; AND
 SUPPORTING SUSTAINABLE LOCAL ECONOMIC DEVELOPMENT;
   (E) ELECTRIFICATION  OF  EQUIPMENT  AND  APPLIANCES  FOR  RESIDENTIAL,
 COMMERCIAL AND INDUSTRIAL APPLICATIONS;
   (F)  PROMOTING THE PARTICIPATION OF PRIVATE CAPITAL, MUNICIPAL GOVERN-
 MENTS AND TRIBAL NATIONS IN ACHIEVING THE GOALS STATED IN  THIS  SECTION
 AND  THE  USE OF INNOVATIVE FINANCING MECHANISMS TO FINANCE ENERGY EFFI-
 CIENCY IMPROVEMENTS THROUGH ENERGY COST SAVINGS;
   (G) ENCOURAGING THE DEVELOPMENT OF  PROGRAMS  TO  SUPPORT  COMMUNITIES
 WITH  HIGH  CUMULATIVE  ENVIRONMENTAL BURDEN, HIGH PEAK ENERGY LOAD, AND
 AGING HOUSING STOCK IN ORDER TO PRESERVE AFFORDABLE HOUSING AND  ENHANCE
 LONG-TERM   COMMUNITY   COHESION  WHILE  PREVENTING  GENTRIFICATION  AND
 DISPLACEMENT;
   (H) ENCOURAGING THE DEVELOPMENT OF  ENERGY  EFFICIENCY  AND  RENEWABLE
 ENERGY PROJECTS AND PROGRAMS FOR AND IN PUBLIC SCHOOLS, SCHOOL TRANSPOR-
 TATION INCLUDING CENTRALIZED PROCUREMENT BY THE DEPARTMENT OF ZERO-EMIS-
 SION  SCHOOL BUSES AND CHARGING INFRASTRUCTURE IN ORDER TO PROMOTE EFFI-
 CIENCY, INNOVATION, AND THE CREATION OF HIGH-QUALITY JOBS IN SCHOOL  BUS
 AND  CHARGING  INFRASTRUCTURE  MANUFACTURING AND COMMUNITY CENTERS, WITH
 PRIORITY GIVEN TO SCHOOLS LOCATED IN AND SERVING DISADVANTAGED  COMMUNI-
 TIES  IN  ORDER  TO  PRESERVE AND IMPROVE SCHOOL INFRASTRUCTURE, IMPROVE
 COMMUNITY RESILIENCE AND PROVIDE CO-EDUCATIONAL BENEFITS FOR STUDENTS IN
 SCIENCE, TECHNOLOGY, ENGINEERING, ART, ECOLOGY AND SCIENCE;
   (I) ENCOURAGING THE DEVELOPMENT OF QUALITY CHILD  AND  DEPENDENT  CARE
 WITH  PRIORITY GIVEN TO THE DEVELOPMENT OF QUALITY CHILD CARE LOCATED IN
 AND SERVING DISADVANTAGED COMMUNITIES; AND
   (J) ENCOURAGING THE DEVELOPMENT OF WORKFORCE DEVELOPMENT PROGRAMS THAT
 IDENTIFY AND UTILIZE BEST PRACTICES TO PROVIDE  AND  TRAIN  WORKERS  FOR
 HIGH QUALITY AND CONTINUOUS CAREER AND WORK OPPORTUNITIES.
   3.  EVERY  FIVE YEARS, THE DEPARTMENT SHALL DESIGNATE PRIORITY PROJECT
 TYPES FOR INVESTMENTS BASED ON CAPITAL FUNDING NEEDS, THE POTENTIAL  FOR
 GREENHOUSE  GAS  EMISSION REDUCTIONS, AND THE POTENTIAL FOR REGIONAL JOB
 CREATION. THESE PRIORITIES SHALL  GUIDE  THE  DEPARTMENT  IN  SOLICITING
 PROPOSALS  AND SELECTING PROJECTS. THE FIRST FIVE YEARS OF FUNDING SHALL
 PRIORITIZE INVESTMENT IN:
   (A) PUBLIC TRANSIT,  WITH  SPECIAL  PRIORITY  FOR  INTRA-CITY  TRANSIT
 MODES, IN UPSTATE REGIONS AND IN OTHER UNDERSERVED REGIONS OF THE STATE,
 INCLUDING  THROUGH:  SUBSIDIZING TRANSIT RATE REDUCTIONS, THE ESTABLISH-
 MENT OF NEW TRANSIT ROUTES, AND IMPROVEMENTS IN TRANSIT SERVICE (INCLUD-
 ING INCREASED FREQUENCY, ACCESSIBILITY AND SAFETY), ESPECIALLY TO BETTER
 SERVE LOW- TO MODERATE-INCOME  INDIVIDUALS;  CREATING  JOURNEY  TO  WORK
 ROUTES,  DEDICATED  TO  CREATING  ACCESS TO MAJOR AREAS OF EMPLOYMENT IN
 BOTH URBAN AND NON-URBAN AREAS, ESPECIALLY ROUTES  CONNECTING  NON-URBAN
 AREAS  WITHOUT  NECESSITATING A TRIP THROUGH THE CENTRAL CITY; DIRECTING
 S. 7905                            25

 INFRASTRUCTURE FUNDING, INCLUDING THROUGH VARIOUS APPROACHES TO SUPPORT-
 ING BONDING, REVOLVING LOAN FUNDS AND OTHER  FINANCING  MECHANISMS;  AND
 SUBSIDIZING  ELECTRIC  AND  ZERO-EMISSIONS  VEHICLES AND INFRASTRUCTURE,
 INCLUDING CHARGING INFRASTRUCTURE AND ENERGY STORAGE TECHNOLOGIES;
   (B) ENERGY EFFICIENCY AND CONSERVATION PROJECTS, INCLUDING PROJECTS IN
 PUBLIC  BUILDINGS, AND INCENTIVES FOR NEW PRIVATE BUILDINGS THAT ACHIEVE
 HIGH EFFICIENCY OR NET-ZERO STATUS AND FOR RETROFITS OF EXISTING  BUILD-
 INGS,  PROVIDING  THAT LANDLORDS WHO RECEIVE RETROFIT FUNDS OR FINANCIAL
 ASSISTANCE OF ANY KIND UNDER THIS PROGRAM NOT BE ALLOWED TO INCLUDE SUCH
 INVESTMENTS  AS  MAJOR  CAPITAL  IMPROVEMENTS  OR  INDIVIDUAL  APARTMENT
 ASSESSMENTS  IN  ORDER  TO RAISE RENTS TO RECOUP COSTS IN RENT-REGULATED
 HOUSING;
   (C) LARGE SCALE RENEWABLE ENERGY PROJECTS,  COMMUNITY-OWNED  RENEWABLE
 ENERGY  PROJECTS,  SUCH  AS COMMUNITY SOLAR AND COMMUNITY WIND PROJECTS,
 AND PUBLICLY-OWNED RENEWABLE  ENERGY  PROJECTS,  INCLUDING  PROJECTS  ON
 PUBLIC BUILDINGS AND LAND;
   (D) PORT FACILITY ELECTRIFICATION AND SUSTAINABILITY MEASURES, INCLUD-
 ING  BUT  NOT LIMITED TO AT THE PORT OF ALBANY, THE PORT OF BUFFALO, AND
 THE NEW YORK CITY WATERFRONT, INCLUDING HUNTS POINT AND SUNSET PARK;
   (E)  ELECTRIC  GRID  UPGRADES  WITHIN   THE   STATE,   INCLUDING   THE
 CONSTRUCTION  OF ELECTRICITY TRANSMISSION, ENERGY STORAGE AND SMART GRID
 INFRASTRUCTURE, AND INCLUDING SUPPORT FOR ESTABLISHING ELECTRIC  VEHICLE
 INFRASTRUCTURE AND SYSTEMS TO OPTIMIZE DISTRIBUTED ENERGY RESOURCES;
   (F)  ENERGY  EFFICIENCY AND RENEWABLE ENERGY PROJECTS AND PROGRAMS FOR
 AND IN PUBLIC SCHOOLS, SCHOOL TRANSPORTATION  (INCLUDING  SCHOOL  BUSES)
 AND COMMUNITY CENTERS WITH PRIORITY GIVEN TO SCHOOLS LOCATED IN OR SERV-
 ING DISADVANTAGED COMMUNITIES; AND
   (G)  CHILD  AND  DEPENDENT  CARE FACILITIES AND PROGRAMS WITH PRIORITY
 GIVEN TO CHILD AND DEPENDENT CARE FACILITIES AND PROGRAMS LOCATED IN  OR
 SERVING DISADVANTAGED COMMUNITIES.
   4.  IN  ADDITION  TO ALLOCATING FUNDS UNDER THE PROGRAM TO ACHIEVE THE
 GOALS AND PRIORITIES OUTLINED IN  THIS  SECTION,  THE  DEPARTMENT  SHALL
 ALLOCATE  FUNDS  FOR  THE  PURPOSES OF PROVIDING TECHNICAL ASSISTANCE TO
 ELIGIBLE APPLICANTS. SUCH TECHNICAL ASSISTANCE SHALL INCLUDE  ASSISTANCE
 WITH:  DEVELOPING  PROJECT  PROPOSALS;  IMPLEMENTING  PROJECT PROPOSALS;
 CONDUCTING ANALYSIS AND REPORTING  ON  PROJECTS  IMPLEMENTED  UNDER  THE
 PROGRAM; AND OTHER NEEDS IDENTIFIED BY THE DEPARTMENT.
   5.  NO MONIES FROM THE CLIMATE JOBS AND INFRASTRUCTURE FUND SHALL FUND
 POLICE, PRISONS OR RELATED INFRASTRUCTURE.
 § 77-0509. FUNDING INSTRUMENTS.
   THE DEPARTMENT SHALL DETERMINE THE APPROPRIATE INSTRUMENT, OR  VARIETY
 OF  INSTRUMENTS,  INCLUDING  GRANTS,  LOAN  GUARANTEES, INCENTIVES, BOND
 PAYMENTS, LOAN PROGRAMS, AND OTHER MECHANISMS FOR  ACHIEVING  THE  GOALS
 STATED IN SECTION 77-0507 OF THIS TITLE.
 § 77-0511. SELECTION PROCESS AND CRITERIA.
   THE DEPARTMENT IS AUTHORIZED, WITHIN AMOUNTS APPROPRIATED, TO DISBURSE
 FUNDS FROM THE FUND TO ELIGIBLE APPLICANTS ON A COMPETITIVE BASIS.
   1.  THE  DEPARTMENT SHALL DEVELOP CRITERIA AND A PROCESS FOR SELECTING
 PROJECT PROPOSALS SUBMITTED BY ELIGIBLE APPLICANTS UNDER THIS TITLE.
   2. IN SELECTING PROJECTS AND DISTRIBUTING FUNDS, THE DEPARTMENT  SHALL
 INCLUDE THE FOLLOWING CRITERIA:
   (A)  THE EXTENT TO WHICH THE PROJECT MEETS EACH OF THE GOALS SET FORTH
 IN SUBDIVISIONS ONE AND TWO OF SECTION 77-0507 OF THIS TITLE;
   (B) WHETHER THE PROJECT FALLS UNDER A PRIORITY AREA FOR INVESTMENT FOR
 THE FIVE-YEAR PERIOD;
 S. 7905                            26
 
   (C) WHETHER THE PROJECT WILL BENEFIT  GEOGRAPHIC  AREAS  WHERE  ENERGY
 COSTS ARE PARTICULARLY HIGH IN RELATION TO A MEASURE OF MEDIAN HOUSEHOLD
 INCOME AS DETERMINED BY THE DEPARTMENT; OR WHICH HAVE BEEN DESIGNATED AS
 A  NONATTAINMENT AREA FOR ONE OR MORE POLLUTANTS PURSUANT TO SECTION 107
 OF THE FEDERAL CLEAN AIR ACT (42 U.S.C. SECTION 7407);
   (D) WHETHER THE APPLICANTS INCLUDE SIGNIFICANT PARTICIPATION BY MINOR-
 ITY- AND WOMEN-OWNED BUSINESS ENTERPRISES; AND
   (E)  THE  EXTENT  TO  WHICH  PROJECTS WOULD NOT OTHERWISE BE COMPLETED
 WITHOUT THE SUPPORT OF THE PROGRAM.
   3. IN ALLOCATING FUNDS, THE DEPARTMENT SHALL ALSO, WHERE POSSIBLE, AIM
 TO GEOGRAPHICALLY DISTRIBUTE FUNDS IN AN  EQUITABLE  MANNER  ACROSS  THE
 STATE, TAKING INTO ACCOUNT POPULATION DENSITY.
   4.  THE  DEPARTMENT  SHALL  ENCOURAGE  ELIGIBLE  APPLICANTS TO PROPOSE
 PROJECTS IN PARTNERSHIP WITH OTHER ELIGIBLE APPLICANTS, AND WITH  THIRD-
 PARTY ENTITIES.
 § 77-0513. COMPREHENSIVE APPROACH TO EXISTING STRUCTURES.
   1.  IN  CONSULTATION WITH THE DEPARTMENT OF STATE, DEPARTMENT OF HOMES
 AND COMMUNITY RENEWAL, THE NEW  YORK  ENERGY  RESEARCH  AND  DEVELOPMENT
 AUTHORITY  AND OTHER RELEVANT STAKEHOLDERS, THE DEPARTMENT SHALL DEVELOP
 A MASTER PLAN TO:
   (A) ENSURE A COMPREHENSIVE APPROACH EXISTS TO IMPROVE BUILDING  ENERGY
 EFFICIENCY THAT INCLUDES ALL OF THE STATE'S EXISTING BUILDINGS;
   (B) ENSURE THAT THE STATE MEETS ITS ENERGY EFFICIENCY GOALS;
   (C) REDUCES ENERGY USE IN ALL EXISTING STRUCTURES AND NEW BUILDINGS;
   (D) IMPROVES AND PROTECTS HOUSING AFFORDABILITY AND ENHANCES LONG-TERM
 COMMUNITY COHESION WHILE PREVENTING GENTRIFICATION AND DISPLACEMENT; AND
   (E) INCORPORATES HEALTH AND SAFETY ASSESSMENTS AND IMPROVEMENTS.
   2. THE MASTER PLAN WILL SPECIFICALLY INCLUDE RECOMMENDATIONS FOR COOR-
 DINATED  CHANGES  TO  THE  BUILDING  AND ENERGY CODES, ENERGY EFFICIENCY
 PROGRAMS ADMINISTERED BY THE STATE AND OTHERS, AND SPENDING PURSUANT  TO
 THE  CLIMATE  AND COMMUNITY INVESTMENT ACT, IN ORDER TO ENSURE THAT MOST
 BUILDINGS RECEIVE DEEP ENERGY EFFICIENCY RETROFITS THAT INCLUDE  ASSESS-
 MENT AND IMPROVEMENTS TO HEALTH AND SAFETY.
   3.  TO  PREPARE THE MASTER PLAN, THE DEPARTMENT SHALL CONVENE RELEVANT
 STAKEHOLDERS IN EACH REGION OF THE STATE AT LEAST ONCE, GIVING AT  LEAST
 NINETY  DAYS'  NOTICE OF THE PROPOSED MEETING IN ORDER FOR THE PUBLIC TO
 ATTEND. FOR THE PURPOSES OF THIS SUBDIVISION, "REGION"  SHALL  HAVE  THE
 SAME MEANING AS IN SUBDIVISION NINE OF SECTION TWENTY-FOUR HUNDRED TWEN-
 TY-SIX OF THE PUBLIC AUTHORITIES LAW.
 
                                  TITLE 7
       JUST TRANSITION FOR IMPACTED WORKERS AND COMMUNITY ASSURANCE
 SECTION 77-0701. DEFINITIONS.
         77-0703. WORKER ASSURANCE PROGRAM.
         77-0705. COMMUNITY ASSURANCE PROGRAM.
         77-0707. ADMINISTRATION.
         77-0709. ALLOCATION OF FUNDS.
         77-0711. SELECTION PROCESS.
         77-0713. DESIGNATION OF SIGNIFICANT IMPACT.
         77-0715. PUBLIC ENGAGEMENT AND SOCIAL DIALOGUE.
         77-0717. REPORTING.
   § 77-0701. DEFINITIONS.
   FOR  THE  PURPOSES  OF  THIS TITLE, THE FOLLOWING TERMS SHALL HAVE THE
 FOLLOWING MEANINGS:
 S. 7905                            27
 
   1. "ADVERSELY AFFECTED EMPLOYMENT" MEANS EMPLOYMENT IN AN ENTITY REGU-
 LATED BY THE NEW YORK STATE  DEPARTMENT  OF  PUBLIC  SERVICE  GENERATING
 ENERGY THAT IS NOT RENEWABLE.
   2.  "ADVERSELY  AFFECTED  WORKER"  MEANS AN INDIVIDUAL WHO, BECAUSE OF
 LACK OF WORK IN ADVERSELY  AFFECTED  EMPLOYMENT,  HAS  BEEN  TOTALLY  OR
 PARTIALLY  SEPARATED  FROM SUCH EMPLOYMENT, IS EXPECTED TO BE TOTALLY OR
 PARTIALLY SEPARATED FROM SUCH EMPLOYMENT, OR IS A DISPLACED WORKER.
   3. "ADJUSTMENT ASSISTANCE" MEANS ANY  COMPENSATION,  CREDIT,  BENEFIT,
 FUNDING,  TRAINING,  OR  SERVICE PROVIDED UNDER THIS ARTICLE THROUGH ANY
 OPTION DESCRIBED.
   4. "APPLICABLE FIRM" MEANS, AS APPLICABLE:
   (A) THE FIRM, OR SUBDIVISION OF A FIRM, FOR WHICH THE GROUP OF WORKERS
 WHO ARE PETITIONING FOR CERTIFICATION WORK AT;
   (B) THE FIRM, OR SUBDIVISION OF A FIRM, FOR WHICH A GROUP OF CERTIFIED
 ADVERSELY AFFECTED WORKERS WORK AT;
   (C) A GROUP OF FIRMS WITHIN CLOSE GEOGRAPHIC PROXIMITY, AS  DETERMINED
 BY  THE DEPARTMENT, EMPLOYING A GROUP OF WORKERS WHO ARE PETITIONING FOR
 CERTIFICATION; OR
   (D) A GROUP OF FIRMS WITHIN A CLOSE GEOGRAPHIC  PROXIMITY,  AS  DETER-
 MINED  BY  THE  DEPARTMENT,  FOR  WHICH  A  GROUP OF CERTIFIED ADVERSELY
 AFFECTED WORKERS WORK.
   5. "ENERGY INDUSTRY" MEANS A COMMERCIAL SECTOR, AS DETERMINED  BY  THE
 DEPARTMENT, THAT:
   (A)  EXTRACTS,  TRANSPORTS, OR USES AS A DIRECT INPUT ENERGY RESOURCES
 OR ELECTRICITY; OR
   (B) IS OTHERWISE DEPENDENT ON THE GENERATION OR CONSUMPTION OF  ENERGY
 RESOURCES OR ELECTRICITY.
   6. "CONSTITUENCY-BASED ORGANIZATION" SHALL HAVE THE SAME MEANING AS IN
 SUBDIVISION  THREE  OF SECTION EIGHTEEN HUNDRED NINETY-ONE OF THE PUBLIC
 AUTHORITIES LAW.
   7. "DISADVANTAGED COMMUNITIES" SHALL  HAVE  THE  SAME  MEANING  AS  IN
 SECTION 75-0111 OF THIS CHAPTER.
   8.  "DISPLACED  WORKER"  MEANS  AN INDIVIDUAL WHO IS A RESIDENT OF NEW
 YORK STATE AND WHO HAS EITHER:
   (A) BEEN TERMINATED OR HAS RECEIVED NOTICE OF TERMINATION AS A  RESULT
 OF A PERMANENT FACILITY CLOSURE; OR
   (B) EXPERIENCED PARTIAL SEPARATION AND IS IN THE ENERGY INDUSTRY.
   9. "DISADVANTAGED WORKER" IS A RESIDENT OF NEW YORK STATE WHO:
   (A) IS A WOMAN, WHEN CONSIDERING CONSTRUCTION AND BUILDING CONTRACTS;
   (B)  HAS  A  HOUSEHOLD  INCOME  OF LESS THAN FIFTY PERCENT OF THE AREA
 MEDIAN INCOME (AMI);
   (C) IS AN INDIVIDUAL RESIDING IN AN AREA OF CONCENTRATED POVERTY;
   (D) IS DISABLED;
   (E) IS A VETERAN;
   (F) IS A PERSON PREVIOUSLY INCARCERATED OR  CONVICTED  OF  A  CRIMINAL
 OFFENSE; OR
   (G) IS LONG-TERM UNEMPLOYED.
   10.  "DOWNSTATE REGION" MEANS THE COUNTIES OF RICHMOND, KINGS, QUEENS,
 NEW YORK, BRONX, WESTCHESTER, NASSAU AND SUFFOLK.
   11. "ELIGIBLE LEAD APPLICANT" MEANS A CONSTITUENCY-BASED ORGANIZATION,
 LABOR ORGANIZATION, A TRIBAL NATION, LOCAL SCHOOL DISTRICT, OR A MUNICI-
 PAL OR COUNTY GOVERNMENT LOCATED IN OR SERVING THE IMPACTED COMMUNITY OR
 COMMUNITIES WHICH MAKES AN APPLICATION FOR FUNDING UNDER THIS  TITLE  ON
 BEHALF OF ITSELF ALONE OR ALONG WITH ELIGIBLE SUB-APPLICANTS.
   12.  "ELIGIBLE SUB-APPLICANTS" MEANS PRIVATE SECTOR ENTITIES, ACADEMIC
 INSTITUTIONS,  NON-PROFIT  ORGANIZATIONS,  OTHER  STAKEHOLDERS,  WITH  A
 S. 7905                            28
 
 RELATIONSHIP  TO  THE  IMPACTED  COMMUNITY. ELIGIBLE SUB-APPLICANTS, MAY
 APPLY WITH A LEAD APPLICANT PURSUANT  TO  STANDARDS  PRESCRIBED  BY  THE
 DEPARTMENT.  APPLYING WITH SUPPORT FROM AN ELIGIBLE LEAD APPLICANT.
   13.  "FUND"  MEANS  THE WORKER AND COMMUNITY ASSURANCE SPECIAL PURPOSE
 FUND CREATED UNDER ARTICLE FORTY-TWO OF THE TAX LAW.
   14. "GREENHOUSE GAS" SHALL HAVE THE SAME  MEANING  AS  IN  SUBDIVISION
 NINE OF SECTION 19-1301 OF THIS CHAPTER.
   15.  "LABOR  ORGANIZATION"  MEANS ANY ORGANIZATION WHICH EXISTS AND IS
 CONSTITUTED FOR THE PURPOSE, IN WHOLE OR IN PART, OF COLLECTIVE BARGAIN-
 ING, OR OF DEALING WITH EMPLOYERS CONCERNING GRIEVANCES, TERMS OR CONDI-
 TIONS OF EMPLOYMENT, OR OF OTHER MUTUAL AID OR PROTECTION AND  WHICH  IS
 NOT A COMPANY UNION. THIS INCLUDES BUT IS NOT LIMITED TO BONA FIDE LABOR
 ORGANIZATIONS  THAT  ARE  CERTIFIED OR RECOGNIZED AS THE ORGANIZATION OF
 JURISDICTION REPRESENTING THE WORKERS INVOLVED AND/OR BONA FIDE BUILDING
 AND CONSTRUCTION TRADES COUNCILS AND/OR DISTRICT COUNCILS AND STATE  AND
 LOCAL  LABOR  FEDERATIONS  COMPRISED OF LOCAL UNIONS CERTIFIED OR RECOG-
 NIZED AS THE REPRESENTATIVE OF THE WORKERS.
   16. "PARTIAL SEPARATION" MEANS, WITH RESPECT TO AN INDIVIDUAL WHO  HAS
 NOT BEEN TOTALLY SEPARATED, THAT SUCH INDIVIDUAL HAS EXPERIENCED:
   (A)  A  REDUCTION  IN  HOURS  OF WORK TO EIGHTY PERCENT OR LESS OF THE
 INDIVIDUAL'S AVERAGE WEEKLY HOURS IN ADVERSELY AFFECTED EMPLOYMENT; AND
   (B) A REDUCTION IN WAGES TO EIGHTY PERCENT OR LESS OF THE INDIVIDUAL'S
 AVERAGE WEEKLY WAGE IN SUCH ADVERSELY AFFECTED EMPLOYMENT.
   17. "PERMANENT FACILITY CLOSURE" MEANS THE  PERMANENT  SHUTDOWN  OF  A
 SINGLE  SITE OF EMPLOYMENT, OR ONE OR MORE FACILITIES OR OPERATING UNITS
 WITHIN A SINGLE SITE OF  EMPLOYMENT,  IF  THE  SHUTDOWN  RESULTS  IN  AN
 EMPLOYMENT  LOSS  AT THE SINGLE SITE OF EMPLOYMENT DURING ANY THIRTY-DAY
 PERIOD.
   18. "PROGRAM" MEANS THE WORKER ASSURANCE PROGRAM AND COMMUNITY  ASSUR-
 ANCE PROGRAM ESTABLISHED UNDER THIS TITLE.
   19.  "SIGNIFICANTLY  IMPACTED COMMUNITY" IS A COMMUNITY, MUNICIPALITY,
 OR OTHER AREA DESIGNATED AS SUCH BY THE DEPARTMENT.
   20. "SOCIAL DIALOGUE" MEANS AN OPEN DIALOGUE WITH RESOURCES  AVAILABLE
 TO  THE  PUBLIC AND ALL STAKEHOLDERS TO ENCOURAGE PARTICIPATION INTENDED
 TO DEVELOP A CONSENSUS AMONG THE PARTIES CONSISTING OF DISCUSSIONS WHERE
 PARTICIPANTS CAN DISCUSS, BE PROVIDED WITH RESOURCES AND MAKE  DECISIONS
 ABOUT HOW TO RESPOND TO THE CHALLENGES OF THE TRANSITION.
   21.  "TOTAL SEPARATION" MEANS THE LAYOFF OR SEVERANCE OF AN INDIVIDUAL
 FROM EMPLOYMENT WITH AN APPLICABLE FIRM.
   22. "TOTALLY SEPARATED" MEANS, WITH RESPECT  TO  AN  INDIVIDUAL,  THAT
 SUCH INDIVIDUAL IS EXPERIENCING TOTAL SEPARATION.
   23.  "UPSTATE  REGION"  MEANS ALL NEW YORK COUNTIES OTHER THAN NASSAU,
 SUFFOLK, RICHMOND, KINGS, QUEENS, NEW YORK, BRONX AND WESTCHESTER.
 § 77-0703. WORKER ASSURANCE PROGRAM.
   THERE IS HEREBY ESTABLISHED WITHIN THE DEPARTMENT, A WORKER  ASSURANCE
 PROGRAM, TO BE IMPLEMENTED BY THE DEPARTMENT.
   1.  THE PURPOSE OF THE PROGRAM IS TO CREATE PROGRAMS OR DISBURSE FUNDS
 FROM THE FUND TO BENEFIT THE  FOLLOWING  PERSONS,  REGARDLESS  OF  IMMI-
 GRATION STATUS OR TERM OF RESIDENCY:
   (A) ADVERSELY AFFECTED WORKERS;
   (B) DISPLACED WORKERS; AND
   (C) DISADVANTAGED WORKERS IN SIGNIFICANTLY IMPACTED COMMUNITIES.
   2.  BENEFITS, SERVICES, OR FINANCIAL SUPPORT MAY BE DELIVERED DIRECTLY
 BY THE DEPARTMENT OR THROUGH ELIGIBLE LEAD APPLICANTS AND ELIGIBLE  SUB-
 APPLICANTS.
 S. 7905                            29
 
   3. APPLICATIONS UNDER THIS SECTION CAN BE MADE ON BEHALF OF A GROUP OF
 WORKERS BY AN ELIGIBLE LEAD APPLICANT, HOWEVER INDIVIDUALS MAY APPLY FOR
 SUPPORT DIRECTLY FROM THE AGENCY EVEN IF THERE IS A LOCAL PROGRAM ADMIN-
 ISTERED BY OR APPLICATION MADE BY AN ELIGIBLE LEAD APPLICANT.
   4.  ALL  INDIVIDUAL  APPLICANTS  WILL BE APPROVED TO RECEIVE BENEFITS,
 SERVICES, OR FINANCIAL SUPPORT REGARDLESS OF IMMIGRATION STATUS OR  TERM
 OF RESIDENCY. TO RECEIVE BENEFITS APPLICANTS MUST DEMONSTRATE THEY ARE:
   (A) ADVERSELY AFFECTED WORKERS;
   (B) DISPLACED WORKERS; OR
   (C) DISADVANTAGED WORKERS IN SIGNIFICANTLY IMPACTED COMMUNITIES.
   5.  THE  DEPARTMENT WILL PROMULGATE SUCH REGULATIONS OR GUIDELINES FOR
 THE CREATION OF PROGRAMS BY ELIGIBLE LEAD APPLICANTS AS MAY BE NEEDED.
   6. BENEFITS, SERVICES, OR FINANCIAL SUPPORT UPON AN APPLICATION  BEING
 ACCEPTED,  BENEFITS, SERVICES, OR FINANCIAL SUPPORT SHALL BE MADE AVAIL-
 ABLE FOR QUALIFYING WORKERS FOR AT LEAST  THREE  YEARS  AND  UP  TO  TEN
 YEARS.
   7.  THESE  BENEFITS  SHALL INCLUDE INCOME SUPPORT EQUAL TO THEIR PRIOR
 SALARY EITHER UNTIL NEW EMPLOYMENT IS FOUND AT A COMPARABLE WAGE OR AS A
 SUPPLEMENT TO THE NEW WAGE TO MEET THE PRIOR LEVEL FOR THREE YEARS;  AND
 ADDITIONAL APPROPRIATE SUPPORTS INCLUDING:
   (A)  EMPLOYMENT  BY  THE  DEPARTMENT  OR A LEAD APPLICANT (FOR EXAMPLE
 DOING REMEDIATION AT THEIR CURRENT SITE OF EMPLOYMENT) ON A  PROJECT  TO
 REUTILIZE  FACILITIES  TO REPLACE LOSSES IN THE TAX BASE, OR PURSUANT TO
 ANOTHER PROGRAM CREATED UNDER THIS TITLE;
   (B) RETRAINING AND PLACEMENT IN PUBLIC OR PRIVATE SECTOR POSITIONS;
   (C) PAYMENT TOWARDS PENSION SUPPORT;
   (D) ON THE JOB TRAINING FUNDS OR WAGE SUBSIDIES TO MATCH  THEIR  PRIOR
 SALARY OR HOURLY WAGE;
   (E) PAYMENT TOWARDS EARLY RETIREMENT;
   (F) TRANSITIONAL SUPPORT INCLUDING BUT NOT LIMITED TO SKILLS TRAINING,
 JOB COUNSELING, TUITION SUPPORT AND ON-THE-JOB TRAINING; AND
   (G)  SUPPORT  FOR  IMPACTED  WORKERS TO START EMPLOYEE-OWNED BUSINESS,
 EARLY RETIREMENT OR INCOME SUPPORT.
   8. THE DEPARTMENT WILL REPORT REGULARLY TO THE PUBLIC ON THE STATUS OF
 THESE PROGRAMS AS WELL AS WHAT BENEFITS ARE  BEING  PROVIDED  AND  WHERE
 PROGRAMS HAVE BEEN CREATED BY ELIGIBLE LEAD APPLICANTS.
   9.  WHEN  APPROVED  APPLICANTS  ARE  EMPLOYED OR HAVE BEEN IMMEDIATELY
 PRIOR TO DISPLACEMENT UNDER AN EXISTING COLLECTIVE BARGAINING AGREEMENT,
 THE DEPARTMENT SHALL NOTIFY THE LABOR ORGANIZATION PARTY TO THAT  AGREE-
 MENT OF THE APPLICATION.
 § 77-0705. COMMUNITY ASSURANCE PROGRAM.
   THERE  IS HEREBY ESTABLISHED WITHIN THE DEPARTMENT, A COMMUNITY ASSUR-
 ANCE PROGRAM, TO BE IMPLEMENTED BY THE DEPARTMENT. THE  PURPOSE  OF  THE
 PROGRAM IS TO:
   1. DISBURSE FUNDS FROM THE FUND, PURSUANT TO THIS SECTION;
   2.  PROVIDE  SUPPORT  FOR  DISADVANTAGED COMMUNITIES AND SIGNIFICANTLY
 IMPACTED COMMUNITIES DIRECTLY FROM THE DEPARTMENT, THROUGH LOCAL GOVERN-
 MENT ENTITIES, ELIGIBLE LEAD APPLICANTS, OR ELIGIBLE SUB-APPLICANTS TO:
   (A) REPLACE LOST SCHOOL AID, LOST PROPERTY TAX PAYMENTS TO SCHOOLS, OR
 OTHER LOST SCHOOL FUNDING;
   (B) ESTABLISH JOB CREATION PROGRAMS;
   (C) REPLACE LOST PAYMENT IN-LIEU-OF TAXES (PILOT) AND LOCAL TAX REVEN-
 UE, REPLACE REVENUE RAISED BY OR PAID BY THE STATE  OR  AN  EMPLOYER  TO
 MUNICIPALITIES  OR  SCHOOL  DISTRICTS  (INCLUDING,  BUT  NOT LIMITED TO,
 CENTRAL SCHOOL DISTRICTS AND CITY SCHOOL DISTRICTS),  AND  OTHER  PUBLIC
 FUNDING THAT IS BEING LOST; AND
 S. 7905                            30
 
   (D) FACILITATE THE EXPANSION OF EXISTING ECONOMIC DEVELOPMENT PROGRAMS
 TO  ENABLE  COMMUNITIES  TO RESPOND TO PERMANENT FACILITY CLOSURE AND/OR
 MAJOR REDUCTIONS IN PROPERTY TAXES OR PILOT PAYMENTS; AND
   3. REVIEW WHICH PROPOSALS FOR PROGRAM FUNDING MAY INCLUDE, BUT ARE NOT
 LIMITED TO:
   (A)  SUPPORT TO START COOPERATIVE EMPLOYEE-OWNED BUSINESSES, INCLUDING
 BY DISPLACED WORKERS OR LABOR ORGANIZATIONS;
   (B) INFRASTRUCTURE  PROJECTS  IN  COMMUNITIES  WHERE  ENERGY-INTENSIVE
 FACILITIES ARE CLOSING;
   (C)  EFFORTS  AT  RECLAMATION  PROJECT  CREATING  A  RENEWABLE PROJECT
 LOCATED AT:
   (I) A BROWNFIELD SITE AS DEFINED IN SUBDIVISION TWO OF SECTION 27-1405
 OF THIS CHAPTER, NOT EXCLUDING A SITE SUBJECT TO AN ENFORCEMENT ORDER AS
 PROVIDED FOR IN PARAGRAPH (C) OF SUBDIVISION TWO OF SECTION  27-1405  OF
 THIS CHAPTER;
   (II)  A  DORMANT ELECTRIC GENERATING SITE AS DETERMINED BY THE COMMIS-
 SION; OR
   (III) REAL PROPERTY OWNED BY A  PRIVATE  DEVELOPER  OR  REAL  PROPERTY
 OWNED BY AN APPLICABLE FIRM.
   (D)  PROJECTS  PROPOSED THROUGH NEGOTIATED PROJECT LABOR AGREEMENTS OR
 NEUTRALITY AGREEMENTS WITH  LABOR  ORGANIZATIONS  REPRESENTING  IMPACTED
 WORKERS OR ADVERSELY AFFECTED WORKERS.
   (E)  SMALL  BUSINESS  RETRAINING  AND  TRANSITION  PROGRAMS: INCLUDING
 PROGRAMS TO IDENTIFY AND SUPPORT SMALL BUSINESSES, TO AVOID  JOB  LOSSES
 DUE  TO  ENERGY  TRANSITION,  MAKE  TECHNOLOGICAL  CHANGES  OR  TRAINING
 IMPROVEMENTS, ON THE JOB TRAINING PROGRAMS, EQUIPMENT GRANTS, AND  TECH-
 NICAL SUPPORT FOR EXISTING BUSINESSES TO TRANSITION TO PRACTICES FOCUSED
 ON SUSTAINABILITY, DECARBONIZATION, OR NON-EMITTING OPERATIONS.
   (F)  SUPPORT  FOR LOCAL MANUFACTURING COORDINATED WITH DECARBONIZATION
 PROGRAMS TO PROVIDE GRANTS AND NO-INTEREST LOANS TO DEVELOP AND ACCELER-
 ATE MANUFACTURING OF:
   (I) ELECTRIC BUSES (INCLUDING SCHOOL BUSES), ELECTRIC  PICKUP  TRUCKS,
 ELECTRIC CARS, AND OTHER ELECTRIC VEHICLES; AND
   (II)  ENERGY-EFFICIENT  ELECTRIC  APPLIANCES IN SIGNIFICANTLY IMPACTED
 COMMUNITIES AND ADVERSELY AFFECTED COMMUNITIES.
 § 77-0707. ADMINISTRATION.
   1. WITHIN SIX MONTHS OF THE EFFECTIVE DATE OF THIS TITLE, THE  DEPART-
 MENT IS HEREBY AUTHORIZED AND DIRECTED TO ESTABLISH THE PROGRAMS AUTHOR-
 IZED BY THIS TITLE.  THE DEPARTMENT SHALL:
   (A)  USE  MONIES MADE AVAILABLE FOR THE PROGRAMS FOR THE ESTABLISHMENT
 OF THE WORKER ASSURANCE PROGRAM PURSUANT  TO  SECTION  77-0703  OF  THIS
 TITLE,  AND  THE COMMUNITY ASSURANCE PROGRAM PURSUANT TO SECTION 77-0705
 OF THIS TITLE TO ACHIEVE THE PURPOSES OF EACH PROGRAM;
   (B) ENTER INTO CONTRACTS WITH ELIGIBLE LEAD APPLICANTS, ELIGIBLE  SUB-
 APPLICANTS, AND OTHER ENTITIES THROUGH THE COMPETITIVE SELECTION PROCESS
 AUTHORIZED BY THIS TITLE;
   (C)  ENTER  INTO  CONTRACTS  WITH  ONE OR MORE PROGRAM IMPLEMENTERS TO
 PERFORM SUCH FUNCTIONS AS THE DEPARTMENT DEEMS APPROPRIATE;
   (D) EVALUATE DISADVANTAGED COMMUNITIES AND OTHER COMMUNITIES TO  IDEN-
 TIFY  THOSE  WHERE  PERMANENT  FACILITY CLOSURE IS LIKELY, AND ENGAGE IN
 OUTREACH TO ENSURE THAT CONSTITUENCY-BASED ORGANIZATIONS,  LABOR  ORGAN-
 IZATIONS,  AND  ELIGIBLE  APPLICANTS ARE AWARE THAT THE PROGRAM IS UNDER
 DEVELOPMENT AND INVITE THEM TO BE INVOLVED IN  THE  DEVELOPMENT  OF  THE
 PROGRAM; AND
   (E)  EXERCISE SUCH OTHER POWERS AS ARE NECESSARY FOR THE PROPER ADMIN-
 ISTRATION OF THE PROGRAM.
 S. 7905                            31

   2. THE DEPARTMENT  SHALL  NOTIFY  THE  LABOR  ORGANIZATIONS  PARTY  TO
 COLLECTIVE  BARGAINING  AGREEMENTS  COVERING  WORKERS  IN  SIGNIFICANTLY
 IMPACTED COMMUNITIES OF PROPOSED PROGRAMS OR FUNDING OPPORTUNITIES UNDER
 THIS SECTION.
 § 77-0709. ALLOCATION OF FUNDS.
   1.  FUNDS  FROM  THE FUND SHALL BE DISBURSED UNDER THE PROGRAMS AND BE
 USED TO ENSURE A STABLE TRANSITION FOR WORKERS AND COMMUNITIES  IMPACTED
 BY THE TRANSITION TO A CARBON FREE ECONOMY. FUNDS MAY BE USED FOR ACTIV-
 ITIES PURSUANT TO SECTIONS 77-0703 AND 77-0705 OF THIS TITLE.
   2. THE DEPARTMENT SHALL:
   (A) DEVELOP CLEAR GUIDELINES AND ENGAGE IN PUBLIC COMMENT BEFORE ALLO-
 CATING FUNDS;
   (B)  DETERMINE  A TRANSPARENT AND CONSISTENT LEVEL OF FUNDING, PROGRAM
 PORTFOLIO, AND PROCESS FOR ACCESSING THAT SUPPORT IN  BOTH  THE  UPSTATE
 REGION AND THE DOWNSTATE REGION; AND
   (C)  COORDINATE  WITH THE NEW YORK STATE DEPARTMENT OF LABOR REGARDING
 THE PROGRAM ADMINISTERED BY THE DEPARTMENT THAT DIRECTS FUNDS  TO  INDI-
 VIDUAL NEW YORK RESIDENTS PURSUANT TO SECTION 77-0703 OF THIS TITLE;
   3.  (A)  ALL PROJECTS FUNDED PURSUANT TO THIS SECTION MUST BE OPERATED
 AS ZERO-EMISSION PROJECTS. NO FUNDS FROM THIS PROGRAM MAY BE AWARDED  TO
 ANY PROJECT THAT USES CARBON-BASED-FUELS IN ITS OPERATIONS.
   (B)  NO  FUNDS  UNDER THIS TITLE SHALL FUND POLICE, PRISONS OR RELATED
 INFRASTRUCTURE.
   (C) FUNDS ADMINISTERED UNDER SECTION 77-0705 OF THIS TITLE  SHOULD  BE
 COORDINATED  WHENEVER  POSSIBLE WITH EXISTING PROGRAMS, AND WITH FUNDING
 OPPORTUNITIES UNDER OTHER TITLES OF THIS ARTICLE.
 § 77-0711. SELECTION PROCESS.
   THE DEPARTMENT IS AUTHORIZED, WITHIN AMOUNTS APPROPRIATED, TO DISBURSE
 FUNDS FROM THE FUND ON A COMPETITIVE  BASIS  FOR  APPROVED  PROJECTS  TO
 ELIGIBLE APPLICANTS AND PARTNERS.
   1.  THE  DEPARTMENT SHALL DEVELOP CRITERIA AND A PROCESS FOR SELECTING
 PROJECT PROPOSALS SUBMITTED BY ELIGIBLE APPLICANTS UNDER THIS TITLE.
   2. THE DEPARTMENT WILL SELECT PROJECTS BASED ON PROPOSALS FROM  ELIGI-
 BLE  LEAD  APPLICANTS AND LABOR ORGANIZATIONS OR BASED ON A REQUEST FROM
 INDIVIDUAL IMPACTED WORKERS AND ADVERSELY AFFECTED WORKERS.
   3. PROPOSALS SHOULD CLEARLY ARTICULATE: THE PROGRAMS TO BE  SUPPORTED;
 THE  NUMBER  OF WORKERS IMPACTED; OVERALL EXPECTED FUNDING LEVEL; A PLAN
 TO ENGAGE THE PEOPLE MOST AFFECTED BY THE TRANSITION, INCLUDING  WORKERS
 AND  COMMUNITY  MEMBERS;  A  PLAN FOR ANY NECESSARY SITE REMEDIATION AND
 ECONOMIC DEVELOPMENT; AND A PLAN TO ENSURE THAT FUNDING IS TIME  LIMITED
 TO NO MORE THAN TEN YEARS OF DIRECT SUPPORT FROM THE FUND.
   4. THE DEPARTMENT SHALL GIVE PRIORITY TO PROPOSALS FROM OR RELATED TO:
   (A) DISADVANTAGED WORKERS OR DISADVANTAGED COMMUNITIES;
   (B) ADVERSELY AFFECTED WORKERS;
   (C)  ELIGIBLE APPLICANTS THAT RELATE TO ADVERSELY AFFECTED EMPLOYMENT;
 AND
   (D) PROJECTS THAT HAVE SIGNIFICANT EMPLOYMENT  AND  TAX  BASE  IMPACTS
 WHEN EXPERIENCING A PERMANENT CLOSURE.
   5.  WHERE  A  PROPOSAL  IS RECEIVED AND ONE OR MORE LABOR ORGANIZATION
 REPRESENT IMPACTED WORKERS, THEY SHALL BE NOTIFIED, AND GIVEN A  REASON-
 ABLE OPPORTUNITY TO SUBMIT A PROPOSAL EITHER ON THEIR OWN OR IN PARTNER-
 SHIP WITH OTHER ELIGIBLE APPLICANTS.
   6.  IN  DEVELOPING THE CRITERIA, THE DEPARTMENT SHALL ATTEMPT TO MAXI-
 MIZE: THE NUMBER OF PEOPLE FROM AFFECTED COMMUNITIES THAT  WILL  BENEFIT
 FROM  ANY  IMPLEMENTED PROJECT AND FROM THE SUITE OF PROJECTS ACROSS THE
 PROGRAM; THE DEGREE OF DIRECT BENEFITS DELIVERED  TO  AFFECTED  COMMUNI-
 S. 7905                            32

 TIES;  GREENHOUSE GAS AND EMISSIONS REDUCTIONS FOR REGULATED AIR CONTAM-
 INANTS; AND, TO THE EXTENT POSSIBLE, THE LEVERAGING OF PRIVATE CAPITAL.
   7.  THE DEPARTMENT SHALL ENCOURAGE LEAD ELIGIBLE APPLICANTS TO PROPOSE
 PROJECTS IN PARTNERSHIP WITH OTHER  ELIGIBLE  LEAD  APPLICANTS,  AND  IN
 PARTNERSHIP  WITH  ELIGIBLE  SUB-APPLICANTS,  AND  WILL NOTIFY ALL THOSE
 PARTIES INVOLVED IF MULTIPLE PROPOSALS ARE RECEIVED REGARDING  THE  SAME
 SITE, WORKERS, OR COMMUNITY.
   8.  WHERE POSSIBLE, THE DEPARTMENT SHALL AIM TO DISTRIBUTE FUNDS IN AN
 EQUITABLE MANNER BY REGION OF THE STATE.
   9. IF ADEQUATE FUNDING  IS  AVAILABLE,  THE  DEPARTMENT  MAY  CONSIDER
 PROPOSALS  RELATED  TO OTHER IMPACTS ASSOCIATED WITH CLIMATE CHANGE THAT
 HAVE THE EFFECT OF CAUSING JOB LOSSES, INCLUDING CLIMATE-RELATED NATURAL
 DISASTERS.
   10. THE DEPARTMENT SHALL ALLOCATE FUNDING ANNUALLY, OR  AS  DETERMINED
 APPROPRIATE  BY  THE  DEPARTMENT FOR ENSURING CONTINUOUS FUNDING FOR THE
 NEEDS OF THE CHOSEN PROGRAMS AND PROJECTS.
 § 77-0713. DESIGNATION OF SIGNIFICANT IMPACT.
   1. THE DEPARTMENT SHALL ESTABLISH CRITERIA TO DETERMINE WHEN AN INDUS-
 TRY HAS BECOME SIGNIFICANTLY IMPACTED AS A DIRECT RESULT OF POLICIES  TO
 REDUCE  GREENHOUSE GAS EMISSIONS IN NEW YORK STATE. THE DEPARTMENT SHALL
 IDENTIFY AN INITIAL SET OF INDUSTRIES THAT ARE SIGNIFICANTLY IMPACTED AS
 A DIRECT RESULT OF EMISSIONS REDUCTION  POLICIES  FOR  THE  PURPOSES  OF
 IMPLEMENTING  THIS  SECTION.    AFTER  THOSE  INITIAL SET OF INDUSTRIES,
 FURTHER INDUSTRIES CAN BE ADDED BY THE DEPARTMENT.
   2. IN DESIGNING THE CRITERIA AND LISTING THE INDUSTRIES  DESCRIBED  IN
 SUBDIVISION  ONE  OF THIS SECTION, THE DEPARTMENT SHALL CONSIDER FACTORS
 SUCH AS:
   (A) PERMANENT FACILITY CLOSURES OR THE  CLOSURE  OF  BUSINESSES  AS  A
 RESULT  OF  REGULATORY  CHANGES  RELATED  TO  THE  CLIMATE AND COMMUNITY
 INVESTMENT ACT;
   (B) SIGNIFICANT JOB LOSSES ACROSS AN INDUSTRY AS A RESULT  OF  TECHNO-
 LOGICAL  CHANGE  IN ORDER TO ACHIEVE GREENHOUSE GAS EMISSION REDUCTIONS;
 OR
   (C) LOSS OF PROPERTY TAX OR SCHOOL TAX  REVENUE  THAT  WOULD  LEAD  TO
 LOCAL  LAYOFFS  OR  SERVICE REDUCTIONS AS A RESULT OF REGULATORY CHANGES
 RELATED TO SUCH ACT.
   3. BEFORE FINALIZING THE CRITERIA FOR IDENTIFYING INDUSTRIES THAT  ARE
 SIGNIFICANTLY  IMPACTED  AS A DIRECT RESULT OF CLIMATE CHANGE POLICY AND
 IDENTIFYING A LIST OF  SIGNIFICANTLY  IMPACTED  INDUSTRIES  PURSUANT  TO
 SUBDIVISION  ONE OF THIS SECTION, THE DEPARTMENT SHALL ENSURE THAT THERE
 ARE MEANINGFUL OPPORTUNITIES FOR PUBLIC COMMENT,  INCLUDING  BY  PERSONS
 WORKING  IN  POTENTIALLY  SIGNIFICANTLY  IMPACTED INDUSTRIES AND PERSONS
 THAT MAY BE IDENTIFIED AS PART OF AFFECTED COMMUNITIES PURSUANT TO  THIS
 ARTICLE, INCLUDING BY:
   (A)  PUBLISHING  DRAFT  CRITERIA  AND  A  DRAFT  LIST OF SIGNIFICANTLY
 IMPACTED INDUSTRIES AND MAKING SUCH INFORMATION AVAILABLE ON THE  INTER-
 NET.
   (B)  HOLDING AT LEAST SIX REGIONAL PUBLIC HEARINGS ON THE DRAFT CRITE-
 RIA AND THE DRAFT LIST OF SIGNIFICANTLY IMPACTED  INDUSTRIES,  INCLUDING
 AT  LEAST THREE MEETINGS IN THE UPSTATE REGION AND THREE MEETINGS IN THE
 DOWNSTATE REGION; AND
   (C) ALLOWING AT LEAST ONE HUNDRED TWENTY DAYS FOR  THE  SUBMISSION  OF
 PUBLIC  COMMENT, FOLLOWING THE DATE OF THE PUBLICATION OF DRAFT CRITERIA
 DESCRIBED IN PARAGRAPH (A) OF THIS SUBDIVISION.
   4. THE DEPARTMENT NO LESS THAN FOUR TIMES ANNUALLY  SHALL  REVIEW  THE
 CRITERIA AND METHODS USED TO IDENTIFY SIGNIFICANTLY IMPACTED INDUSTRIES,
 S. 7905                            33

 AND MAY MODIFY SUCH METHODS TO INCORPORATE NEW DATA AND SCIENTIFIC FIND-
 INGS,  SUBJECT TO THE SAME PROCESS REQUIREMENTS LISTED UNDER SUBDIVISION
 THREE OF THIS SECTION.
   5. AN INDUSTRY THAT HAS BEEN SIGNIFICANTLY IMPACTED AS A DIRECT RESULT
 OF  CLIMATE  CHANGE  POLICY,  OR  WORKERS  IN  AN INDUSTRY THAT HAS BEEN
 SIGNIFICANTLY IMPACTED AS A DIRECT RESULT OF CLIMATE CHANGE POLICY,  MAY
 ALSO BE IDENTIFIED BASED ON A PETITION FROM A MUNICIPALITY, LABOR ORGAN-
 IZATION, OR CONSTITUENCY-BASED ORGANIZATION LOCATED IN OR ADJACENT TO AN
 IMPACTED COMMUNITY.
   6. THE COMPTROLLER OF THE STATE OF NEW YORK SHALL OVERSEE THE DISTRIB-
 UTION OF FUNDS IN COLLABORATION WITH THE DEPARTMENT.
 § 77-0715. PUBLIC ENGAGEMENT AND SOCIAL DIALOGUE.
   1.  THE  DEPARTMENT  MAY  REGULARLY  SEEK  INPUT AND FEEDBACK FROM THE
 COMMUNITY, BOTH IN EVERY REGION AND DIRECTLY FROM  IMPACTED  COMMUNITIES
 AND IMPACTED WORKERS.
   2.  ALL  MEETINGS  OF  THE  DEPARTMENT SHALL INCLUDE OPPORTUNITIES FOR
 MEANINGFUL PUBLIC INPUT AND ALLOW ALL THOSE AFFECTED THE OPPORTUNITY  TO
 BE  A  PART  OF  THE  DIALOGUE;  ADDITIONALLY, THE DEPARTMENT SHALL HOLD
 REGIONAL MEETINGS IN EACH REGION EACH YEAR, IN ADDITION TO THEIR REGULAR
 MEETINGS IN ORDER TO GET PUBLIC INPUT.
   3. THE DEPARTMENT WILL RELEASE A PRELIMINARY REPORT WITHIN ONE YEAR OF
 THEIR FIRST MEETING, BUT AFTER COMPLETING PUBLIC ENGAGEMENT MEETINGS  IN
 EACH REGION THIS REPORT WILL INCLUDE:
   (A)  INITIAL  RECOMMENDATIONS  FOR  A PROCESS FOR A COMPREHENSIVE LONG
 TERM JUST TRANSITION PLANNING FOR NEW YORK  STATE,  INCLUDING,  BUT  NOT
 LIMITED  TO  IDENTIFYING  IMPACTED  COMMUNITIES,  IDENTIFYING APPLICABLE
 FIRMS, MAKING RECOMMENDATIONS FOR ONGOING WORKFORCE  STRATEGY,  AND  ANY
 ADDITIONAL PROGRAMS OR SUPPORTS REQUIRED FOR A JUST TRANSITION.
   (B)  IDENTIFYING  EVERY  COMMUNITY  ACROSS  NEW YORK THAT IS ALREADY A
 SIGNIFICANTLY IMPACTED  COMMUNITY,  ALREADY  HAS  SIGNIFICANT  ADVERSELY
 AFFECTED  EMPLOYMENT  (INCLUDING  SIGNIFICANT  EMPLOYMENT  IN THE ENERGY
 INDUSTRY IS LIKELY TO BE A SIGNIFICANTLY IMPACTED COMMUNITY), OR ALREADY
 HAS IMPACTED WORKERS OR PERMANENTLY CLOSED FACILITIES.
   4. THE DEPARTMENT SHALL COMMENCE A  SOCIAL  DIALOGUE  IN  EACH  REGION
 CONSISTING  OF  DISCUSSIONS  WHERE PARTICIPANTS CAN DISCUSS, BE PROVIDED
 WITH RESOURCES, AND DEVELOP A CONSENSUS ABOUT  HOW  TO  RESPOND  TO  THE
 CHALLENGES  OF  THE  TRANSITION. THE SOCIAL DIALOGUE MUST BE DIRECTED BY
 THE PEOPLE MOST AFFECTED. GOALS OF THE SOCIAL DIALOGUE INCLUDE: ENSURING
 ECONOMIC DECISIONS ARE MADE WITH REAL INPUT  FROM  THOSE  MOST  AFFECTED
 THEY  MUST  INCLUDE  ENGAGEMENT  WITH  THE  BROADER COMMUNITY AND ACROSS
 SECTORS INCLUDING INPUT FROM  THE  COMMUNITY,  WORKERS,  BUSINESSES  AND
 OTHERS  WHO  ARE IMPACTED BY CLIMATE POLICIES, UNCOVERING THE BEST LOCAL
 ECONOMIC DEVELOPMENT AND WORKFORCE PLANS AND SET THE STAGE  FOR  DIVERSE
 INVESTMENTS  INTO  COMMUNITY REBIRTH PROVIDE RESOURCES TO COMMUNITIES TO
 DEVELOP SOLUTIONS, INCLUDING ACCESS TO TECHNICAL EXPERTISE,  INFORMATION
 ABOUT  CLIMATE CHANGE, ITS IMPACTS AND CAUSES; THE IMPACT CLIMATE CHANGE
 HAS ON THE COMMUNITIES AND THE  WORKFORCE,  AND  REGIONAL  ECONOMY;  AND
 INFORMATION ABOUT EMERGING JOBS AND SECTORS.
   5.  WITHIN  TWO YEARS OF THE EFFECTIVE DATE OF THIS TITLE, THE DEPART-
 MENT WILL RELEASE A DRAFT PLAN THAT SHALL INCLUDE, AT A MINIMUM:
   (A) SPECIFICS OF HOW TO TRANSITION A WORKFORCE INTO EMERGING JOBS;
   (B) ESTIMATES OF SUFFICIENT RESOURCES FOR THAT TRANSITION;
   (C) WHAT EXPERTISE AND SUPPORTS MUST BE ALLOCATED FOR THE  DEVELOPMENT
 AND IMPLEMENTATION OF AN EFFECTIVE WORKFORCE PLAN;
 S. 7905                            34
 
   (D)  A SKILLS MAP FOR EACH IMPACTED POSITION, CURRENT AND EMERGING NEW
 ENERGY JOBS AND REGIONAL EMPLOYMENT OPPORTUNITIES WITH SIMILAR  REQUIRE-
 MENTS; AND
   (E)  EDUCATION  AND  TRAINING  OPTIONS FOR WORKERS THAT ALLOWS THEM TO
 RAPIDLY RE-SKILL FOR JOBS IN DEMAND THAT RECOGNIZES  THEIR  CURRENT  AND
 TRANSFERABLE SKILLS, PROVIDES COMPETENCY-BASED TRAINING, LEARN AND EARN,
 AND  CREDIT  FOR  PRIOR  LEARNING OPPORTUNITIES UPSKILLING THROUGH JOINT
 LABOR MANAGEMENT JOURNEYPERSON EXTENSION  PROGRAMS  SPONSORED  BY  JOINT
 APPRENTICESHIP TRAINING PROGRAMS.
   6. THE DEPARTMENT WILL ALSO SEEK PUBLIC INPUT ON:
   (A) A POLICY FOR WORKFORCE IMPACT STATEMENTS; AND
   (B)  ADDITIONAL POTENTIAL FUNDING AND POSSIBLE PARTNERSHIPS FOR OPPOR-
 TUNITY AND WORKFORCE AND ECONOMIC REVITALIZATION.
   7. FOR THE PURPOSES OF  SUBDIVISIONS  TWO,  THREE  AND  FOUR  OF  THIS
 SECTION,  "REGION" SHALL HAVE THE SAME MEANING AS IN SUBDIVISION NINE OF
 SECTION TWO THOUSAND FOUR HUNDRED TWENTY-SIX OF THE  PUBLIC  AUTHORITIES
 LAW.
 § 77-0717. REPORTING.
   1. NO LATER THAN TWO YEARS FOLLOWING THE EFFECTIVE DATE OF THIS TITLE,
 AND EVERY TWO YEARS THEREAFTER, THE DEPARTMENT SHALL PRODUCE A REPORT ON
 THE  IMPLEMENTATION  OF THE PROGRAM ESTABLISHED UNDER THIS TITLE AND THE
 EXTENT TO WHICH PROGRAM IMPLEMENTATION IS MEETING STATED  PROGRAM  GOALS
 AND PRIORITIES. SUCH REPORT SHALL INCLUDE BUT NOT BE LIMITED TO:
   (A)  REPORTING  ON THE EFFECTIVENESS OF THE POLICIES ESTABLISHED UNDER
 THIS TITLE TO THE  LEGISLATURE  AND  PUBLIC  ON  THE  JOB  CREATION  AND
 RETENTION IMPACTS;
   (B)  AN  OVERVIEW OF SOCIAL BENEFITS PURSUANT TO THE IMPLEMENTATION OF
 THIS SECTION, INCLUDING BENEFITS TO THE ECONOMY, ENVIRONMENT, AND PUBLIC
 HEALTH, INCLUDING WOMEN'S HEALTH;
   (C) AN OVERVIEW OF ADMINISTRATIVE COSTS FOR THE DEPARTMENT  AND  OTHER
 STATE AGENCIES;
   (D) RECOMMENDATIONS FOR FUTURE POLICY PERTAINING TO TRANSITION ASSIST-
 ANCE; AND
   (E)  DATA  IDENTIFYING  BOTH  WHO SUBMITTED PETITIONS AND WHO RECEIVED
 SUPPORT FROM THE PROGRAM AND WHY.
   2. (A) PRIOR TO FINALIZING THE REPORT DESCRIBED IN SUBDIVISION ONE  OF
 THIS  SECTION,  THE  DEPARTMENT  SHALL  ENSURE THAT THERE ARE MEANINGFUL
 OPPORTUNITIES FOR PUBLIC PARTICIPATION, INCLUDING BY:
   (I) ALLOWING AT LEAST ONE HUNDRED TWENTY DAYS FOR  THE  SUBMISSION  OF
 PUBLIC COMMENT, FOLLOWING THE DATE OF THE PUBLICATION OF A DRAFT REPORT;
 AND
   (II)  HOLDING  AT LEAST FOUR REGIONAL PUBLIC HEARINGS, INCLUDING:  TWO
 MEETINGS IN THE UPSTATE REGION AND TWO MEETINGS IN THE DOWNSTATE REGION,
 WITH EMPHASIS ON MAXIMIZING PARTICIPATION AND ACCESSIBILITY FOR  MEMBERS
 OF DISADVANTAGED COMMUNITIES.
   (B) THE FOLLOWING ENTITIES SHALL BE INVITED TO ATTEND AND GIVEN NOTICE
 OF THE PUBLIC HEARINGS DESCRIBED IN PARAGRAPH (A) OF THIS SUBDIVISION:
   (I) ENVIRONMENTAL JUSTICE REPRESENTATIVES;
   (II) ORGANIZATIONS REPRESENTING DISADVANTAGED COMMUNITY MEMBERS;
   (III) LABOR ORGANIZATIONS IN THE AREA;
   (IV) LOCAL BUSINESSES;
   (V) LOCAL GOVERNMENTS AND SCHOOL AUTHORITIES; AND
   (VI) CLIMATE CHANGE EXPERTS.
   3. THE FINAL REPORT DESCRIBED IN SUBDIVISION ONE OF THIS SECTION SHALL
 BE  SUBMITTED  TO THE GOVERNOR, THE PRESIDENT OF THE SENATE, THE SPEAKER
 OF THE ASSEMBLY, THE MINORITY LEADER OF  THE  SENATE  AND  THE  MINORITY
 S. 7905                            35
 
 LEADER OF THE ASSEMBLY AND SHALL BE POSTED ON THE WEBSITE OF THE DEPART-
 MENT.  ADDITIONALLY,  ALL  REPORTS  SHALL BE SHARED PUBLICLY THROUGH THE
 DEPARTMENT OF INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS OF THE  CITY
 OF NEW YORK.
   §  7.  The  tax law is amended by adding two new articles 42 and 43 to
 read as follows:
                                 ARTICLE 42
                           CLIMATE POLLUTION FEE
 SECTION 3039. DEFINITIONS.
         3040. IMPOSITION OF CARBON POLLUTION FEE.
         3041. AMOUNT OF FEE.
         3042. APPLICABLE ENTITIES.
         3043. CALCULATION OF EMISSIONS FACTORS.
         3044. EXEMPTIONS AND DEDUCTIONS.
         3045. EMISSIONS LEAKAGE MITIGATION POLICY.
         3046. CREATION OF FUNDS WITHIN THE DEPARTMENT  OF  ENVIRONMENTAL
         CONSERVATION.
         3047. REPORTING.
   §  3039.  DEFINITIONS. FOR THE PURPOSES OF THIS ARTICLE, THE FOLLOWING
 TERMS SHALL HAVE THE FOLLOWING MEANINGS:
   1. "BORDER CARBON ADJUSTMENT FEE" MEANS A FEE IMPOSED TO ADDRESS EMIS-
 SIONS LEAKAGE THAT ADJUSTS THE PRICE OF A GOOD,  AT  THE  POINT  OF  THE
 IMPORTATION INTO THE STATE OF GOODS THAT REQUIRE EMISSIONS OF GREENHOUSE
 GASES  FOR  THEIR  PRODUCTION OR OPERATION, OR EXPORT FROM THE STATE, TO
 REFLECT THE KNOWN OR ESTIMATED GREENHOUSE GAS EMISSIONS QUANTITIES ASSO-
 CIATED WITH THE PRODUCTION OF SUCH GOOD.
   2. "CARBON-BASED FUEL" MEANS COAL, A PETROLEUM PRODUCT,  NATURAL  GAS,
 METHANE,  MUNICIPAL SOLID WASTE (OR ANY OTHER FEEDSTOCKS USED FOR WASTE-
 TO-ENERGY CONVERSIONS), OR BIOMASS THAT MAY BE A  SOURCE  OF  GREENHOUSE
 GAS EMISSIONS THROUGH COMBUSTION AND FUGITIVE EMISSIONS.
   3.  "CARBON  DIOXIDE  EQUIVALENT" AND "CO2E" MEAN THE AMOUNT OF CARBON
 DIOXIDE BY MASS THAT WOULD PRODUCE THE SAME GLOBAL WARMING IMPACT  AS  A
 GIVEN  MASS  OF  ANOTHER  GREENHOUSE  GAS OVER AN INTEGRATED TWENTY-YEAR
 TIMEFRAME AFTER EMISSION, BASED ON THE BEST AVAILABLE SCIENCE.
   4. "REGULATED AIR CONTAMINANT" SHALL  HAVE  THE  SAME  MEANING  AS  IN
 SUBDIVISION TWENTY-TWO OF SECTION 19-0107 OF THE ENVIRONMENTAL CONSERVA-
 TION LAW.
   5.  "DISADVANTAGED  COMMUNITIES"  SHALL  HAVE  THE  SAME MEANING AS IN
 SECTION 75-0111 OF THE ENVIRONMENTAL CONSERVATION LAW.
   6. "DOWNSTATE REGION" MEANS THE COUNTIES OF RICHMOND,  KINGS,  QUEENS,
 NEW YORK, BRONX, WESTCHESTER, NASSAU AND SUFFOLK.
   7.  "EMISSIONS  LEAKAGE" MEANS AN INCREASE IN EMISSIONS OUTSIDE OF THE
 STATE, AS A RESULT OF, OR IN CORRELATION  WITH,  THE  IMPLEMENTATION  OF
 MEASURES WITHIN THE STATE TO LIMIT SUCH EMISSIONS.
   8. "FUGITIVE EMISSIONS" MEANS THOSE EMISSIONS OF A GREENHOUSE GAS THAT
 ARE  RELEASED DURING EXTRACTION, TRANSPORTATION OF FUEL, DURING PROCESS-
 ING, AND DUE TO LEAKS DURING INDUSTRIAL PROCESSES OR AT SOLID WASTE  AND
 WASTEWATER MANAGEMENT SITES.
   9. "GREENHOUSE GAS" SHALL HAVE THE SAME MEANING AS IN SUBDIVISION NINE
 OF SECTION 19-1301 OF THE ENVIRONMENTAL CONSERVATION LAW.
   10.  "GREENHOUSE  GAS EMISSION SOURCE" OR "SOURCE" MEANS ANY ANTHROPO-
 GENIC SOURCE OR CATEGORY OF  ANTHROPOGENIC  SOURCES  OF  GREENHOUSE  GAS
 EMISSIONS.
   11.  "INDUSTRIAL  PROCESSES" MEANS THOSE PROCESSES THAT INCLUDE FOSSIL
 FUEL EXTRACTION, THE OPERATION OF FUEL PROCESSING PLANTS, PIPELINE OPER-
 ATIONS AND OTHER FUEL TRANSPORT, THE OPERATION OF FUEL  REFINERIES,  AND
 S. 7905                            36
 
 OTHER  PROCESSES  INVOLVED IN THE EXTRACTION, REFINEMENT OR TRANSPORT OF
 CARBON-BASED FUELS.
   12.  "LIFE  CYCLE  ANALYSIS" MEANS A METHOD FOR CALCULATING GREENHOUSE
 GAS EMISSIONS THAT ENCOMPASSES EMISSIONS THAT ARE  RELEASED  OR  SEQUES-
 TERED  DURING  ALL  PHASES  OF A FUEL OR OTHER PRODUCT'S LIFE, INCLUDING
 THOSE  EMISSIONS  RELEASED  DURING  EXTRACTION,  PROCESSING,  TRANSPORT,
 DISTRIBUTION,  COMBUSTION  (OR  SOME  OTHER  FORM  OF  CONSUMPTION), AND
 DISPOSAL. SUCH TERM  SHALL  INCLUDE  CO2E  THAT  IS  SEQUESTERED  DURING
 BIOLOGICAL PROCESSES, PERTAINING TO BIOMASS FUEL.
   13.  "PETROLEUM  PRODUCT"  MEANS ALL PETROLEUM DERIVATIVES, WHETHER IN
 BOND OR NOT, WHICH ARE COMMONLY BURNED TO PRODUCE HEAT, ELECTRICITY,  OR
 MOTION,  OR  WHICH  ARE  COMMONLY PROCESSED TO PRODUCE SYNTHETIC GAS FOR
 BURNING, INCLUDING WITHOUT LIMITATION, PROPANE, GASOLINE, UNLEADED GASO-
 LINE, KEROSENE, HEATING OIL, DIESEL FUEL, KEROSENE BASED JET  FUEL,  AND
 NUMBER  4,  NUMBER  5 AND RESIDUAL OIL FOR UTILITY AND NON-UTILITY USES,
 BUT NOT INCLUDING, PETROLEUM FEEDSTOCKS TO PLASTICS PRODUCTION OR  OTHER
 MANUFACTURING.
   14.  "UPSTATE  REGION"  MEANS ALL NEW YORK COUNTIES OTHER THAN NASSAU,
 SUFFOLK, RICHMOND, KINGS, QUEENS, NEW YORK, BRONX AND WESTCHESTER.
   § 3040. IMPOSITION OF CARBON POLLUTION FEE.  THERE IS  HEREBY  IMPOSED
 UPON  ANY  APPLICABLE  ENTITY, AS SPECIFIED UNDER SECTION THREE THOUSAND
 FORTY-TWO OF THIS ARTICLE, A FEE IN AN AMOUNT DETERMINED  UNDER  SECTION
 THREE THOUSAND FORTY-ONE OF THIS ARTICLE, ON:
   1.  ANY  CARBON-BASED FUEL SOLD, USED, OR BROUGHT INTO THE STATE BY AN
 APPLICABLE ENTITY AS DEFINED IN SECTION THREE THOUSAND FORTY-TWO OF THIS
 ARTICLE; AND
   2. ANY FUGITIVE EMISSIONS OF METHANE EMITTED IN THE STATE BY AN APPLI-
 CABLE ENTITY.
   § 3041. AMOUNT OF FEE. 1. THE AMOUNT OF THE  FEE  IMPOSED  BY  SECTION
 THREE  THOUSAND  FORTY  OF THIS ARTICLE, PER SHORT TON OF CARBON DIOXIDE
 EQUIVALENT CONTENT THAT WOULD BE EMITTED THROUGH THE COMBUSTION OF  SUCH
 PRODUCT,  AS DETERMINED BY THE DEPARTMENT OF ENVIRONMENTAL CONSERVATION,
 IN CONSULTATION WITH THE NEW YORK STATE ENERGY RESEARCH AND  DEVELOPMENT
 AUTHORITY, PURSUANT TO THIS ARTICLE, SHALL BE EQUAL TO THE FOLLOWING:
   (A)   DURING  CALENDAR  YEAR  TWO  THOUSAND  TWENTY-FOUR,  TWENTY-FIVE
 DOLLARS;
   (B) DURING CALENDAR YEARS TWO THOUSAND TWENTY-FIVE THROUGH  TWO  THOU-
 SAND TWENTY-SEVEN, AN AMOUNT EQUAL TO THE SUM OF:
   (I)  THE  AMOUNT  IN  EFFECT  UNDER THIS SUBDIVISION FOR THE PRECEDING
 CALENDAR YEAR, AND
   (II) A FIVE PERCENT INCREASE TO THE AMOUNT ASSESSED  IN  THE  PREVIOUS
 YEAR;
   (C)  DURING CALENDAR YEARS TWO THOUSAND TWENTY-EIGHT THROUGH TWO THOU-
 SAND THIRTY-THREE, AN AMOUNT EQUAL TO THE SUM OF:
   (I) THE FEE ASSESSED UNDER THIS SUBDIVISION FOR THE PRECEDING CALENDAR
 YEAR, AND:
   (A) TWO PERCENT OF THE PREVIOUS YEAR'S FEE IF THE  MOST  RECENT  FIVE-
 YEAR  ENVIRONMENTAL  INTEGRITY  METRIC, DESCRIBED UNDER PARAGRAPH (A) OF
 SUBDIVISION TWO OF THIS SECTION, IS LESS THAN MINUS FIVE PERCENT;
   (B) FIVE PERCENT OF THE PREVIOUS YEAR'S FEE IF THE MOST  RECENT  FIVE-
 YEAR  ENVIRONMENTAL  INTEGRITY  METRIC, DESCRIBED UNDER PARAGRAPH (A) OF
 SUBDIVISION TWO OF THIS SECTION, IS GREATER THAN OR EQUAL TO MINUS  FIVE
 PERCENT AND LESS THAN FIVE PERCENT;
   (C)  SEVEN PERCENT OF THE PREVIOUS YEAR'S FEE IF THE MOST RECENT FIVE-
 YEAR ENVIRONMENTAL INTEGRITY METRIC, DESCRIBED UNDER  PARAGRAPH  (A)  OF
 S. 7905                            37
 
 SUBDIVISION  TWO  OF  THIS  SECTION,  IS  GREATER  THAN OR EQUAL TO FIVE
 PERCENT AND LESS THAN TEN PERCENT; OR
   (D)  TEN  PERCENT  OF THE PREVIOUS YEAR'S FEE IF THE MOST RECENT FIVE-
 YEAR ENVIRONMENTAL INTEGRITY METRIC, DESCRIBED UNDER  PARAGRAPH  (A)  OF
 SUBDIVISION  TWO  OF  THIS  SECTION,  IS  GREATER  THAN  OR EQUAL TO TEN
 PERCENT; AND
   (II) THE DEPARTMENT OF ENVIRONMENTAL CONSERVATION SHALL ALSO ASSESS  A
 COST-OF-LIVING,  OR INFLATION, ADJUSTMENT USING THE UNITED STATES BUREAU
 OF LABOR STATISTICS CONSUMER PRICE INDEX OR, IF THAT INDEX IS NOT AVAIL-
 ABLE, ANOTHER INDEX ADOPTED BY THE COMMISSIONER;
   (D) DURING CALENDAR YEARS TWO THOUSAND THIRTY-FOUR THROUGH  TWO  THOU-
 SAND FIFTY-THREE, AN AMOUNT EQUAL TO THE SUM OF:
   (I) THE FEE ASSESSED UNDER THIS SUBDIVISION FOR THE PRECEDING CALENDAR
 YEAR, AND:
   (A)  TWO  PERCENT  OF THE PREVIOUS YEAR'S FEE IF THE MOST RECENT FIVE-
 YEAR ENVIRONMENTAL INTEGRITY METRIC, DESCRIBED UNDER  PARAGRAPH  (A)  OF
 SUBDIVISION  TWO  OF  THIS SECTION, IS LESS THAN MINUS FIVE PERCENT, AND
 THE MOST RECENT CUMULATIVE  ENVIRONMENTAL  INTEGRITY  METRIC,  DESCRIBED
 UNDER  PARAGRAPH  (B)  OF  SUBDIVISION TWO OF THIS SECTION, IS LESS THAN
 MINUS ONE PERCENT;
   (B) FIVE PERCENT OF THE PREVIOUS YEAR'S FEE IF:
   I. THE MOST RECENT FIVE-YEAR ENVIRONMENTAL INTEGRITY METRIC, DESCRIBED
 UNDER PARAGRAPH (A) OF SUBDIVISION TWO OF THIS SECTION, IS GREATER  THAN
 OR  EQUAL TO MINUS FIVE PERCENT AND LESS THAN FIVE PERCENT, AND THE MOST
 RECENT CUMULATIVE ENVIRONMENTAL INTEGRITY METRIC, DESCRIBED UNDER  PARA-
 GRAPH  (B) OF SUBDIVISION TWO OF THIS SECTION, IS LESS THAN TWO PERCENT;
 OR
   II.  THE  MOST  RECENT  FIVE-YEAR  ENVIRONMENTAL   INTEGRITY   METRIC,
 DESCRIBED  UNDER  PARAGRAPH  (A)  OF SUBDIVISION TWO OF THIS SECTION, IS
 LESS THAN FIVE PERCENT, AND THE  MOST  RECENT  CUMULATIVE  ENVIRONMENTAL
 INTEGRITY  METRIC,  DESCRIBED  UNDER PARAGRAPH (B) OF SUBDIVISION TWO OF
 THIS SECTION, IS GREATER THAN OR EQUAL TO MINUS  ONE  PERCENT  AND  LESS
 THAN TWO PERCENT;
   (C) SEVEN PERCENT OF THE PREVIOUS YEAR'S FEE IF:
   I. THE MOST RECENT FIVE-YEAR ENVIRONMENTAL INTEGRITY METRIC, DESCRIBED
 UNDER  PARAGRAPH (A) OF SUBDIVISION TWO OF THIS SECTION, IS GREATER THAN
 OR EQUAL TO FIVE PERCENT AND LESS THAN TEN  PERCENT,  AND  IF  THE  MOST
 RECENT  CUMULATIVE ENVIRONMENTAL INTEGRITY METRIC, DESCRIBED UNDER PARA-
 GRAPH (B) OF SUBDIVISION  TWO  OF  THIS  SECTION,  IS  LESS  THAN  THREE
 PERCENT; OR
   II.   THE   MOST  RECENT  FIVE-YEAR  ENVIRONMENTAL  INTEGRITY  METRIC,
 DESCRIBED UNDER PARAGRAPH (A) OF SUBDIVISION TWO  OF  THIS  SECTION,  IS
 LESS  THAN  TEN  PERCENT,  AND  THE MOST RECENT CUMULATIVE ENVIRONMENTAL
 INTEGRITY METRIC, DESCRIBED UNDER PARAGRAPH (B) OF  SUBDIVISION  TWO  OF
 THIS  SECTION,  IS  GREATER  THAN  OR EQUAL TO TWO PERCENT AND LESS THAN
 THREE PERCENT; OR
   (D) TEN PERCENT OF THE PREVIOUS YEAR'S FEE IF:
   I. THE MOST RECENT FIVE-YEAR ENVIRONMENTAL INTEGRITY METRIC, DESCRIBED
 UNDER PARAGRAPH (A) OF SUBDIVISION TWO OF THIS SECTION, IS GREATER  THAN
 OR EQUAL TO TEN PERCENT; OR
   II.   THE  MOST  RECENT  CUMULATIVE  ENVIRONMENTAL  INTEGRITY  METRIC,
 DESCRIBED UNDER PARAGRAPH (B) OF SUBDIVISION TWO  OF  THIS  SECTION,  IS
 GREATER THAN OR EQUAL TO THREE PERCENT; AND
   (II)  THE DEPARTMENT OF ENVIRONMENTAL CONSERVATION SHALL ALSO ASSESS A
 COST-OF-LIVING, OR INFLATION, ADJUSTMENT USING THE UNITED STATES  BUREAU
 S. 7905                            38
 
 OF LABOR STATISTICS CONSUMER PRICE INDEX OR, IF THAT INDEX IS NOT AVAIL-
 ABLE, ANOTHER INDEX ADOPTED BY THE COMMISSIONER.
   2.  IN TWO THOUSAND TWENTY-SIX, AND EVERY YEAR THEREAFTER, THE COMMIS-
 SIONER SHALL, IN  CONSULTATION  WITH  THE  DEPARTMENT  OF  ENVIRONMENTAL
 CONSERVATION:
   (A)  CALCULATE  THE  FIVE-YEAR  ENVIRONMENTAL  INTEGRITY METRIC, WHICH
 SHALL EQUAL A FRACTION, EXPRESSED AS A PERCENTAGE:
   (I) THE NUMERATOR OF WHICH IS:
   (A) THE SUM OF THE QUANTITY OF ACTUAL STATEWIDE GREENHOUSE  GAS  EMIS-
 SIONS, MEASURED IN SHORT TONS CO2E, IN EACH OF THE PRECEDING FIVE YEARS,
 MINUS
   (B)  THE  SUM OF THE QUANTITY OF TARGET STATEWIDE GREENHOUSE GAS EMIS-
 SIONS, MEASURED IN SHORT TONS CO2E, IN EACH OF THE PRECEDING FIVE YEARS,
 PURSUANT TO SUBDIVISION FOUR OF THIS SECTION; AND
   (II) THE DENOMINATOR OF WHICH IS THE SUM OF  THE  QUANTITY  OF  TARGET
 STATEWIDE GREENHOUSE GAS EMISSIONS, MEASURED IN SHORT TONS CO2E, IN EACH
 OF  THE  PRECEDING  FIVE  YEARS,  PURSUANT  TO  SUBDIVISION FOUR OF THIS
 SECTION; AND
   (B) CALCULATE THE CUMULATIVE  ENVIRONMENTAL  INTEGRITY  METRIC,  WHICH
 SHALL EQUAL A FRACTION, EXPRESSED AS A PERCENTAGE:
   (I) THE NUMERATOR OF WHICH IS:
   (A)  THE  SUM OF THE QUANTITY OF ACTUAL STATEWIDE GREENHOUSE GAS EMIS-
 SIONS, MEASURED IN SHORT TONS CO2E, IN EACH OF THE PRECEDING YEARS  THAT
 ARE AFTER TWO THOUSAND EIGHTEEN, MINUS
   (B)  THE  SUM OF THE QUANTITY OF TARGET STATEWIDE GREENHOUSE GAS EMIS-
 SIONS, MEASURED IN SHORT TONS CO2E, IN EACH OF THE PRECEDING YEARS  THAT
 ARE  AFTER  TWO  THOUSAND EIGHTEEN, PURSUANT TO SUBDIVISION FOUR OF THIS
 SECTION; AND
   (II) THE DENOMINATOR OF WHICH IS THE SUM OF  THE  QUANTITY  OF  TARGET
 STATEWIDE GREENHOUSE GAS EMISSIONS, MEASURED IN SHORT TONS CO2E, IN EACH
 OF THE PRECEDING YEARS THAT ARE AFTER TWO THOUSAND EIGHTEEN, PURSUANT TO
 SUBDIVISION FOUR OF THIS SECTION; AND
   (C)  PUBLISH  THE AMOUNTS CALCULATED IN PARAGRAPHS (A) AND (B) OF THIS
 SUBDIVISION NOT LATER THAN JULY FIRST IN THAT YEAR.
   3. THE DEPARTMENT OF ENVIRONMENTAL CONSERVATION  SHALL  CALCULATE  AND
 PUBLISH THE AMOUNT OF THE FEE IN CURRENT DOLLARS FOR EACH YEAR, NO LATER
 THAN JULY FIRST IN THAT YEAR.
   4.  FOR THE PURPOSES OF CALCULATING THE FIVE-YEAR ENVIRONMENTAL INTEG-
 RITY METRIC AND THE  CUMULATIVE  ENVIRONMENTAL  INTEGRITY  METRIC  UNDER
 SUBDIVISION TWO OF THIS SECTION, THE DEPARTMENT OF ENVIRONMENTAL CONSER-
 VATION  SHALL  REFER TO THE FOLLOWING STATEWIDE GREENHOUSE GAS EMISSIONS
 TARGETS:
   (A) FOR THE YEAR TWO THOUSAND TWENTY-THREE, EIGHTY-FIVE PERCENT OF TWO
 THOUSAND EIGHTEEN EMISSIONS;
   (B) FOR EACH YEAR AFTER TWO THOUSAND TWENTY-THREE AND BEFORE TWO THOU-
 SAND TWENTY-NINE, LESS THAN IN THE PRECEDING YEAR BY FOUR PERCENT OF TWO
 THOUSAND EIGHTEEN EMISSIONS;
   (C) FOR EACH YEAR AFTER TWO THOUSAND TWENTY-EIGHT AND BEFORE TWO THOU-
 SAND FORTY-FOUR, LESS THAN IN THE PRECEDING YEAR BY THREE PERCENT OF TWO
 THOUSAND EIGHTEEN EMISSIONS; AND
   (D) FOR EACH YEAR AFTER TWO THOUSAND FORTY-THREE,  LESS  THAN  IN  THE
 PRECEDING YEAR BY TWO PERCENT OF TWO THOUSAND EIGHTEEN EMISSIONS.
   §  3042.  APPLICABLE  ENTITIES.  FOR THE PURPOSES OF THIS ARTICLE, THE
 TERM "APPLICABLE ENTITY" MEANS:
   1. FOR THE PURPOSES OF ANY COAL SOLD, USED, OR ENTERED INTO THE STATE:
 S. 7905                            39
 
   (A) THE VENDOR OF SUCH COAL AT THE FIRST POINT OF SALE, IN CASES WHERE
 THE SALE OF COAL OCCURS IN THE STATE; AND
   (B)  THE PURCHASER OF SUCH ELECTRICITY, IN CASES WHERE THE SALE OF THE
 ELECTRICITY OCCURS OUTSIDE OF THE STATE;
   5. FOR THE PURPOSES OF ANY MUNICIPAL SOLID WASTE (OR ANY OTHER  FEEDS-
 TOCKS  USED FOR WASTE-TO-ENERGY CONVERSIONS) SOLD, USED, OR ENTERED INTO
 THE STATE:
   (A) THE VENDOR OF SUCH MUNICIPAL SOLID WASTE (OR ANY OTHER  FEEDSTOCKS
 USED  FOR  WASTE-TO-ENERGY  CONVERSIONS)  AT THE FIRST POINT OF SALE, IN
 CASES WHERE THE SALE OF MUNICIPAL SOLID WASTE (OR ANY  OTHER  FEEDSTOCKS
 USED FOR WASTE-TO-ENERGY CONVERSIONS) OCCURS IN THE STATE; AND
   (B)  THE  PURCHASER OF SUCH MUNICIPAL SOLID WASTE (OR ANY OTHER FEEDS-
 TOCKS USED FOR WASTE-TO-ENERGY CONVERSIONS), IN CASES WHERE THE SALE  OF
 THE MUNICIPAL SOLID WASTE (OR ANY OTHER FEEDSTOCKS USED FOR WASTE-TO-EN-
 ERGY CONVERSIONS) OCCURS OUTSIDE OF THE STATE;
   6.  FOR  THE  PURPOSES  OF ANY BIOMASS SOLD, USED, OR ENTERED INTO THE
 STATE:
   (A) THE VENDOR OF SUCH BIOMASS AT THE FIRST POINT OF  SALE,  IN  CASES
 WHERE THE SALE OF BIOMASS OCCURS IN THE STATE; AND
   (B)  THE  PURCHASER  OF  SUCH  BIOMASS, IN CASES WHERE THE SALE OF THE
 BIOMASS OCCURS OUTSIDE OF THE STATE; AND
   7. FOR THE PURPOSES OF ANY FUGITIVE EMISSIONS OF METHANE  RELEASED  IN
 THE STATE, THE OWNER OF THE PROPERTY THAT IS THE SOURCE OF SUCH FUGITIVE
 EMISSIONS,  INCLUDING STATIONARY SOURCES AND MOBILE SOURCES, AND INCLUD-
 ING PIPELINE OPERATORS, FUEL DISTRIBUTORS, TRANSPORTATION COMPANIES  AND
 OTHER ENTITIES.
   §  3043.  CALCULATION OF EMISSIONS FACTORS. 1. NOT LATER THAN ONE YEAR
 AFTER THE EFFECTIVE DATE OF THIS ARTICLE,  THE  NEW  YORK  STATE  ENERGY
 RESEARCH AND DEVELOPMENT AUTHORITY, IN COLLABORATION WITH THE DEPARTMENT
 OF ENVIRONMENTAL CONSERVATION, SHALL, FOR EACH CARBON-BASED FUEL IDENTI-
 FIED  IN THIS ARTICLE AND FOR VARIOUS SOURCES OF ELECTRICITY CONSUMED IN
 THE STATE, CALCULATE GREENHOUSE GAS EMISSIONS FACTORS, IN CARBON DIOXIDE
 EQUIVALENT.
   2. EMISSIONS FACTORS ASSOCIATED WITH COMBUSTION OR  OTHER  CONSUMPTION
 OF THE CARBON-BASED FUELS IDENTIFIED IN THIS ARTICLE SHALL BE CALCULATED
 ACCORDING  TO  LIFE-CYCLE  ANALYSIS  METHODS,  WHICH  AT A MINIMUM SHALL
 INCORPORATE:
   (A) ANY GREENHOUSE GASES RELEASED AT THE POINT OF COMBUSTION OR  OTHER
 CONSUMPTION; AND
   (B)  UP-STEAM  FUGITIVE  EMISSIONS  OF  METHANE  RELEASED  DURING  THE
 EXTRACTION, PROCESSING, REFINING, TRANSPORT, OR DISTRIBUTION OF  NATURAL
 GAS  PRODUCTS  AND PETROLEUM PRODUCTS BEFORE THE POINT OF CONSUMPTION IN
 NEW YORK.
   3. THE NEW YORK STATE ENERGY RESEARCH AND  DEVELOPMENT  AUTHORITY,  IN
 COLLABORATION  WITH  THE DEPARTMENT OF ENVIRONMENTAL CONSERVATION, SHALL
 CALCULATE, FOR VARIOUS SOURCES OF ELECTRICITY  CONSUMED  IN  THE  STATE,
 GREENHOUSE GAS EMISSIONS FACTORS, IN CARBON DIOXIDE EQUIVALENT PER KILO-
 WATT-HOUR,  ASSOCIATED  WITH  THE  COMBUSTION  OF EACH CARBON-BASED FUEL
 IDENTIFIED IN THIS ARTICLE FOR THE PURPOSES OF  GENERATING  ELECTRICITY.
 THIS CALCULATION SHOULD TAKE INTO ACCOUNT THE BEST AVAILABLE INFORMATION
 AND  SCIENCE  REGARDING  POWER  PLANT  HEAT  RATES AND OTHER OPERATIONAL
 PARAMETERS THAT MAY DETERMINE EFFICIENCY IN THE  CONVERSION  OF  THERMAL
 ENERGY TO ELECTRICAL ENERGY. THE CO2E OF EACH KILOWATT-HOUR OF ELECTRIC-
 ITY  DELIVERED  IN  THE STATE SHALL BE DETERMINED BY TAKING THE WEIGHTED
 AVERAGE OF THE COAL, PETROLEUM PRODUCT,  NATURAL  GAS,  MUNICIPAL  SOLID
 WASTE (OR ANY OTHER FEEDSTOCKS USED FOR WASTE-TO-ENERGY CONVERSIONS), OR
 S. 7905                            40
 
 BIOMASS  PORTIONS OF THE FUEL MIX AND MULTIPLYING EACH OF THOSE PORTIONS
 SEPARATELY BY THE AMOUNT OF CARBON DIOXIDE EQUIVALENT EMISSIONS  CREATED
 PER  KILOWATT-HOUR OF ELECTRICITY PRODUCED BY EACH SUCH FUEL. THE CALCU-
 LATION  OF  EMISSIONS  FACTORS  UNDER  THIS  SUBDIVISION SHALL TAKE INTO
 ACCOUNT ALL ELECTRICITY CONSUMED IN THE STATE, WHICH SHALL  INCLUDE  ANY
 ELECTRICITY PRODUCED WITHIN THE STATE AND OUTSIDE OF THE STATE.
   §  3044.  EXEMPTIONS  AND  DEDUCTIONS.    1. THE OWNER OF ANY ELECTRIC
 GENERATING FACILITY THAT IS COVERED BY THE CO2 BUDGET TRADING PROGRAM (6
 NYCRR PART 242) ESTABLISHED BY THE DEPARTMENT OF ENVIRONMENTAL CONSERVA-
 TION SHALL BE ENTITLED TO DEDUCT FROM THE FEE IMPOSED BY THIS ARTICLE AN
 AMOUNT EQUAL TO THE AMOUNT IT PAID TO PURCHASE CO2 EMISSION ALLOWANCE TO
 COMPLY WITH THE CO2 BUDGET TRADING PROGRAM; PROVIDED, HOWEVER, THAT  THE
 AMOUNT SO DEDUCTED MAY BE NO GREATER THAN THE TOTAL AMOUNT OF THE FEE AS
 CALCULATED IN THIS ARTICLE.
   2. ANY APPLICABLE ENTITY SUBJECT TO A FEE UNDER THIS ARTICLE, SHALL BE
 ENTITLED  TO DEDUCT FROM THE FEE IMPOSED BY THIS ARTICLE AN AMOUNT EQUAL
 TO THE AMOUNT IT PAID FOR THE SAME YEAR ON ACCOUNT OF A FEDERAL  LAW  OR
 REGULATION THAT IMPOSES A DIRECT PRICE (INCLUDING THROUGH CAP-AND-TRADE,
 OR  A  CARBON  TAX  OR CARBON FEE MECHANISMS) ON THE SAME GREENHOUSE GAS
 EMISSIONS FROM CARBON-BASED FUELS; PROVIDED, HOWEVER, THAT THE AMOUNT SO
 DEDUCTED MAY BE NO GREATER THAN THE TOTAL AMOUNT OF THE  FEE  AS  CALCU-
 LATED IN THIS ARTICLE.
   3.  THE  DEPARTMENT  OF  ENVIRONMENTAL CONSERVATION MAY EXEMPT CERTAIN
 SOURCES OF GREENHOUSE GAS EMISSIONS FOUND TO PRODUCE DE MINIMIS  QUANTI-
 TIES  OF  SUCH  EMISSIONS.  IN ORDER TO EXEMPT SOURCES OF GREENHOUSE GAS
 EMISSIONS  UNDER  THIS  SUBDIVISION,  THE  DEPARTMENT  OF  ENVIRONMENTAL
 CONSERVATION, IN PARTNERSHIP WITH THE NEW YORK STATE ENERGY RESEARCH AND
 DEVELOPMENT  AUTHORITY, SHALL FIRST PROMULGATE A RULE, OR RULES, OUTLIN-
 ING THE SPECIFIC REQUIREMENTS FOR  BEING  CLASSIFIED  AS  A  DE  MINIMIS
 SOURCE,  INCLUDING,  AT  A MINIMUM, IDENTIFYING THE QUANTITIES OF GREEN-
 HOUSE GASES THAT WOULD MAKE A SOURCE A DE MINIMIS SOURCE. IN  PROMULGAT-
 ING  SUCH  RULE,  OR RULES, THE DEPARTMENT OF ENVIRONMENTAL CONSERVATION
 SHALL PROVIDE MEANINGFUL OPPORTUNITIES  FOR  PUBLIC  COMMENT,  INCLUDING
 FROM PERSONS LIVING IN DISADVANTAGED COMMUNITIES.
   §  3045.  EMISSIONS  LEAKAGE MITIGATION POLICY.  1. NOT LATER THAN ONE
 YEAR AFTER THE EFFECTIVE DATE OF THIS ARTICLE, THE DEPARTMENT  OF  ENVI-
 RONMENTAL  CONSERVATION,  IN  PARTNERSHIP WITH THE NEW YORK STATE ENERGY
 RESEARCH AND DEVELOPMENT AUTHORITY AND THE COMMISSIONER OF LABOR,  SHALL
 PREPARE  AND APPROVE A SCOPING PLAN OUTLINING RECOMMENDATIONS FOR POLICY
 MEASURES TO REDUCE EMISSIONS LEAKAGE ASSOCIATED WITH THE  IMPLEMENTATION
 OF THIS ARTICLE.
   (A)  THE  DRAFT  SCOPING  PLAN SHALL BE DEVELOPED IN CONSULTATION WITH
 STAKEHOLDERS.
   (B) THE DEPARTMENT OF ENVIRONMENTAL CONSERVATION SHALL  PROVIDE  MEAN-
 INGFUL  OPPORTUNITIES  FOR  PUBLIC  COMMENT FROM ALL PERSONS WHO WILL BE
 IMPACTED BY THE PLAN, INCLUDING PERSONS WORKING IN ENERGY INTENSIVE  AND
 TRADE  EXPOSED  INDUSTRIES  AND PERSONS LIVING IN DISADVANTAGED COMMUNI-
 TIES.
   (C) THE MEASURES AND ACTIONS CONSIDERED IN SUCH SCOPING PLAN SHALL  AT
 A MINIMUM INCLUDE:
   (I) IMPOSING A BORDER CARBON ADJUSTMENT FEE;
   (II)  THE  IMPLEMENTATION OF A BORDER CARBON ADJUSTMENT FOR VULNERABLE
 INDUSTRIES AND COMPANIES;
   (III) THE IMPLEMENTATION  OF  AN  OUTPUT-BASED  CARBON  POLLUTION  FEE
 REBATE PROGRAM FOR VULNERABLE INDUSTRIES AND COMPANIES;
 S. 7905                            41
 
   (IV)  QUANTITATIVE  METHODS  FOR  DESIGNATING VULNERABLE INDUSTRIES OR
 COMPANIES, SUCH AS ENERGY INTENSIVE AND TRADE EXPOSED INDUSTRIES; AND
   (V)  POLICIES  FOR  MITIGATING  ANY  IMPACTS  TO CONSUMERS AND WORKERS
 CAUSED BY THE IMPLEMENTATION OF POLICIES UNDER THIS  SECTION,  INCLUDING
 THROUGH THE USE OF REVENUES FROM A POSSIBLE BORDER CARBON ADJUSTMENT FEE
 FOR REDUCING SUCH IMPACTS.
   (D)  NOT LATER THAN ONE YEAR AFTER THE EFFECTIVE DATE OF THIS ARTICLE,
 THE DEPARTMENT OF ENVIRONMENTAL  CONSERVATION  SHALL  SUBMIT  THE  FINAL
 SCOPING PLAN TO THE GOVERNOR, THE SPEAKER OF THE ASSEMBLY AND THE TEMPO-
 RARY PRESIDENT OF THE SENATE AND POST SUCH PLAN ON ITS WEBSITE.
   2.  NOT LATER THAN TWO YEARS AFTER THE EFFECTIVE DATE OF THIS ARTICLE,
 THE DEPARTMENT OF ENVIRONMENTAL CONSERVATION,  AFTER  PUBLIC  WORKSHOPS,
 REPRESENTATIVES  OF  REGULATED  ENTITIES, AND OTHER STAKEHOLDERS, SHALL,
 AFTER NO LESS THAN TWO PUBLIC HEARINGS, PROMULGATE RULES AND REGULATIONS
 TO IMPLEMENT A POLICY TO REDUCE EMISSIONS LEAKAGE  ASSOCIATED  WITH  THE
 IMPLEMENTATION OF THIS ARTICLE.
   (A) THE REGULATIONS PROMULGATED MAY INCLUDE:
   (I) A BORDER CARBON ADJUSTMENT FEE FOR VULNERABLE TRADE EXPOSED ENERGY
 INTENSIVE INDUSTRIES AND COMPANIES TO REDUCE EMISSIONS;
   (II)  AN  OUTPUT-BASED  CARBON  POLLUTION  FEE  AND REBATE PROGRAM FOR
 VULNERABLE INDUSTRIES AND COMPANIES;
   (III) QUANTITATIVE METHODS FOR DESIGNATING  VULNERABLE  INDUSTRIES  OR
 COMPANIES, SUCH AS ENERGY INTENSIVE AND TRADE EXPOSED INDUSTRIES; AND
   (IV)  POLICIES  FOR  MITIGATING  ANY  IMPACTS TO CONSUMERS AND WORKERS
 CAUSED BY THE IMPLEMENTATION OF POLICIES UNDER THIS  SECTION,  INCLUDING
 THROUGH THE USE OF REVENUES FROM A POSSIBLE BORDER CARBON ADJUSTMENT FEE
 FOR REDUCING SUCH IMPACTS.
   (B) IN PROMULGATING THESE REGULATIONS, THE DEPARTMENT OF ENVIRONMENTAL
 CONSERVATION SHALL:
   (I)  DESIGN AND IMPLEMENT ALL REGULATIONS IN A MANNER THAT SEEKS TO BE
 EQUITABLE, TO MINIMIZE COSTS AND TO MAXIMIZE THE TOTAL BENEFITS  TO  NEW
 YORK STATE;
   (II)  ENSURE THAT ACTIVITIES UNDERTAKEN TO COMPLY WITH THE REGULATIONS
 DO NOT DISPROPORTIONATELY BURDEN DISADVANTAGED COMMUNITIES; AND
   (III) MINIMIZE EMISSIONS LEAKAGE.
   3. ANY FUNDS COLLECTED PURSUANT TO A POLICY ARISING FROM THIS  SECTION
 SHALL  BE  APPROPRIATED  BY THE DEPARTMENT OF ENVIRONMENTAL CONSERVATION
 PURSUANT TO THE MANDATED PROPORTIONS IN SECTION THREE THOUSAND FORTY-SIX
 OF THIS ARTICLE.
   § 3046. CREATION OF  FUNDS  WITHIN  THE  DEPARTMENT  OF  ENVIRONMENTAL
 CONSERVATION.  1. (A) WITHIN NINETY DAYS FOLLOWING THE EFFECTIVE DATE OF
 THIS ARTICLE, THE COMMISSIONER, IN COORDINATION  WITH  THE  COMPTROLLER,
 SHALL  ESTABLISH A FUND WITHIN THE DEPARTMENT OF ENVIRONMENTAL CONSERVA-
 TION TO BE KNOWN AS THE "COMMUNITY JUST TRANSITION FUND", CONSISTING  OF
 SUCH  AMOUNTS  AS MAY BE APPROPRIATED OR CREDITED TO SUCH FUND AND THIR-
 TY-THREE PERCENT OF THE TOTAL AMOUNT  OF  FEES  RECEIVED  UNDER  SECTION
 THREE THOUSAND FORTY OF THIS ARTICLE DURING SUCH YEAR.
   (B)  THE  COMMUNITY  JUST TRANSITION FUND SHALL BE ADMINISTERED BY THE
 DEPARTMENT OF ENVIRONMENTAL CONSERVATION FOR THE PURPOSES ENUMERATED  IN
 THE CLIMATE AND COMMUNITY INVESTMENT ACT.
   2.  (A)  WITHIN NINETY DAYS FOLLOWING THE EFFECTIVE DATE OF THIS ARTI-
 CLE, THE COMMISSIONER,  IN  COORDINATION  WITH  THE  COMPTROLLER,  SHALL
 ESTABLISH  A FUND WITHIN THE DEPARTMENT OF ENVIRONMENTAL CONSERVATION TO
 BE KNOWN AS THE "CLIMATE JOBS AND INFRASTRUCTURE  FUND",  CONSISTING  OF
 SUCH  AMOUNTS AS MAY BE APPROPRIATED OR CREDITED TO SUCH FUND AND THIRTY
 S. 7905                            42
 
 PERCENT OF THE TOTAL AMOUNT OF FEES RECEIVED UNDER SECTION  THREE  THOU-
 SAND FORTY OF THIS ARTICLE DURING SUCH YEAR.
   (B)  THE CLIMATE JOBS AND INFRASTRUCTURE FUND SHALL BE ADMINISTERED BY
 THE DEPARTMENT OF ENVIRONMENTAL CONSERVATION FOR THE PURPOSES ENUMERATED
 IN THE CLIMATE AND COMMUNITY INVESTMENT ACT.
   3. (A) WITHIN NINETY DAYS OF THE EFFECTIVE DATE OF THIS  ARTICLE,  THE
 COMMISSIONER,  IN  COORDINATION  WITH THE COMPTROLLER, SHALL ESTABLISH A
 FUND WITHIN THE DEPARTMENT OF ENVIRONMENTAL CONSERVATION TO BE KNOWN  AS
 THE  "LOW-INCOME  AND  SMALL BUSINESS AND HOUSEHOLD ENERGY REBATE FUND",
 CONSISTING OF SUCH AMOUNTS AS MAY BE APPROPRIATED OR  CREDITED  TO  SUCH
 FUND  AND  THIRTY  PERCENT  OF  THE  TOTAL AMOUNT OF FEES RECEIVED UNDER
 SECTION THREE THOUSAND FORTY OF THIS ARTICLE DURING SUCH YEAR.
   (B) THE LOW-INCOME AND SMALL BUSINESS AND HOUSEHOLD ENERGY REBATE FUND
 SHALL BE ADMINISTRATED BY THE DEPARTMENT OF  ENVIRONMENTAL  CONSERVATION
 FOR THE PURPOSES ENUMERATED IN THE CLIMATE AND COMMUNITY INVESTMENT ACT.
   4.  (A)  WITHIN NINETY DAYS OF THE EFFECTIVE DATE OF THIS ARTICLE, THE
 COMMISSIONER, IN COORDINATION WITH THE COMPTROLLER,  SHALL  ESTABLISH  A
 FUND  WITHIN THE DEPARTMENT OF ENVIRONMENTAL CONSERVATION TO BE KNOWN AS
 THE "WORKER AND COMMUNITY ASSURANCE FUND", CONSISTING OF SUCH AMOUNTS AS
 MAY BE APPROPRIATED OR CREDITED TO SUCH FUND AS FOLLOWS:
   (I) IN THE FIRST FISCAL YEAR IN WHICH ANY FEES UNDER THIS ARTICLE  ARE
 COLLECTED,  NO  LESS  THAN  FIVE HUNDRED MILLION DOLLARS SHALL BE TRANS-
 FERRED TO THE WORKER AND COMMUNITY ASSURANCE FUND; AND
   (II) SEVEN PERCENT OF THE TOTAL AMOUNT OF FEES RECEIVED UNDER  SECTION
 THREE THOUSAND FORTY DURING SUCH YEAR.
   (B)  THE  WORKER AND COMMUNITY ASSURANCE FUND SHALL BE ADMINISTERED BY
 THE DEPARTMENT OF ENVIRONMENTAL CONSERVATION FOR THE PURPOSES ENUMERATED
 IN THE CLIMATE AND COMMUNITY INVESTMENT ACT.
   5. NO PROCEEDS RECEIVED THROUGH THE IMPLEMENTATION OF THE  FEE  ESTAB-
 LISHED UNDER THIS ARTICLE SHALL FUND GOVERNMENT OPERATIONS OF THE STATE,
 OTHER  THAN  TO  PAY FOR REASONABLE ADMINISTRATIVE COSTS ASSOCIATED WITH
 IMPLEMENTING THE CLIMATE AND COMMUNITY INVESTMENT ACT.
   6. NO PROCEEDS RECEIVED THROUGH THE IMPLEMENTATION OF THE  FEE  ESTAB-
 LISHED  UNDER THIS ARTICLE SHALL FUND POLICE, PRISONS OR RELATED INFRAS-
 TRUCTURE.
   § 3047. REPORTING.  1. NO LATER THAN THREE YEARS FOLLOWING THE  EFFEC-
 TIVE  DATE  OF THIS ARTICLE, AND EVERY TWO YEARS THEREAFTER, THE DEPART-
 MENT OF ENVIRONMENTAL CONSERVATION, IN PARTNERSHIP WITH THE COMPTROLLER,
 AND THE NEW YORK STATE ENERGY RESEARCH AND DEVELOPMENT AUTHORITY,  SHALL
 PRODUCE  A  REPORT  ON  THE  IMPLEMENTATION OF THIS ARTICLE. SUCH REPORT
 SHALL INCLUDE BUT NOT BE LIMITED TO:
   (A) THE TOTAL ANNUAL REVENUES ASSOCIATED WITH  THE  IMPLEMENTATION  OF
 THIS ARTICLE;
   (B) THE EFFECTIVENESS OF THE FEE ESTABLISHED UNDER SECTION THREE THOU-
 SAND FORTY OF THIS ARTICLE TO REDUCE GREENHOUSE GAS EMISSIONS STATEWIDE,
 INCLUDING  AN  ANALYSIS  OF REDUCTIONS BY GEOGRAPHIC SUBDIVISIONS OF THE
 STATE;
   (C) THE AMOUNT OF ESTIMATED EMISSIONS LEAKAGE THAT MAY BE OCCURRING IN
 CORRELATION WITH THE IMPLEMENTATION OF THE FEE ESTABLISHED UNDER SECTION
 THREE THOUSAND FORTY OF THIS ARTICLE, THE EFFECTIVENESS OF ANY  POLICIES
 THAT HAVE BEEN IMPLEMENTED TO ADDRESS EMISSIONS LEAKAGE, AND RECOMMENDA-
 TIONS FOR IMPROVING POLICIES TO MITIGATE EMISSIONS LEAKAGE;
   (D)  AN  OVERVIEW  OF SOCIAL BENEFITS FROM THE FEES AND OTHER POLICIES
 ESTABLISHED PURSUANT TO THIS ARTICLE, INCLUDING BENEFITS TO THE ECONOMY,
 ENVIRONMENT, AND PUBLIC HEALTH, INCLUDING THE HEALTH OF WOMEN, YOUTH AND
 CHILDREN;
 S. 7905                            43
 
   (E) AN OVERVIEW OF THE DISTRIBUTION OF COSTS AND BENEFITS OF THE POLI-
 CIES PROMULGATED UNDER THIS ARTICLE, ACROSS  DIFFERENT  COMMUNITIES  AND
 SECTORS OF THE STATE ECONOMY;
   (F) AN OVERVIEW OF COMPLIANCE COSTS FOR REGULATED ENTITIES;
   (G) AN OVERVIEW OF ADMINISTRATIVE COSTS FOR THE DEPARTMENT OF ENVIRON-
 MENTAL CONSERVATION AND OTHER STATE AGENCIES; AND
   (H)  RECOMMENDATIONS  FOR FUTURE REGULATORY AND POLICY ACTION, AND, IN
 GENERAL, PERTAINING TO MEASURES FOR REDUCING GREENHOUSE EMISSIONS IN THE
 STATE.
   2. BEFORE FINALIZING THE REPORT DESCRIBED IN SUBDIVISION ONE  OF  THIS
 SECTION,  THE DEPARTMENT OF ENVIRONMENTAL CONSERVATION SHALL ENSURE THAT
 THERE ARE MEANINGFUL OPPORTUNITIES FOR PUBLIC  PARTICIPATION,  INCLUDING
 BY:
   (A)  ALLOWING  AT  LEAST ONE HUNDRED TWENTY DAYS FOR THE SUBMISSION OF
 PUBLIC COMMENT, FOLLOWING THE DATE OF THE PUBLICATION OF A DRAFT REPORT;
 AND
   (B) HOLDING AT LEAST FOUR  REGIONAL  PUBLIC  HEARINGS,  INCLUDING  TWO
 MEETINGS IN THE UPSTATE REGION AND TWO MEETINGS IN THE DOWNSTATE REGION,
 WITH  EMPHASIS ON MAXIMIZING PARTICIPATION AND ACCESSIBILITY FOR MEMBERS
 OF DISADVANTAGED COMMUNITIES.
   3. THE FINAL REPORT SHALL BE SUBMITTED TO THE GOVERNOR, THE  TEMPORARY
 PRESIDENT OF THE SENATE, THE SPEAKER OF THE ASSEMBLY, THE MINORITY LEAD-
 ER  OF  THE SENATE AND THE MINORITY LEADER OF THE ASSEMBLY, AND SHALL BE
 POSTED ON THE WEBSITE OF THE DEPARTMENT OF ENVIRONMENTAL CONSERVATION.
                                ARTICLE 43
                HOUSEHOLD AND SMALL BUSINESS ENERGY REBATE
 SECTION 3050. DEFINITIONS.
         3051. ESTABLISHMENT OF THE HOUSEHOLD AND SMALL  BUSINESS  ENERGY
                 REBATE PROGRAM.
         3052. ADMINISTRATION  BY THE DEPARTMENT OF ENVIRONMENTAL CONSER-
                 VATION.
         3053. ALLOCATION OF FUNDS.
         3054. QUALIFYING HOUSEHOLDS.
         3055. REBATE AMOUNT AND REPORT.
         3056. DELIVERY OF FUNDS.
         3057. REASSESSMENT OF ALLOCATIONS.
         3058. SMALL BUSINESS TAX CREDIT.
         3059. PUBLIC SERVICE COMMISSION INVESTIGATION.
   § 3050. DEFINITIONS. FOR THE PURPOSES OF THIS ARTICLE,  THE  FOLLOWING
 TERMS SHALL HAVE THE FOLLOWING MEANINGS:
   1.  "ELIGIBLE  LOW-INCOME  HOUSEHOLD"  MEANS,  WITH RESPECT TO A GIVEN
 CALENDAR YEAR, ANY HOUSEHOLD IN NEW YORK STATE WHOSE GROSS  INCOME  DOES
 NOT  EXCEED ONE HUNDRED FIFTY PERCENT OF THE POVERTY LINE, REGARDLESS OF
 CITIZENSHIP OR TERM OF INSURANCE.
   2. "ELIGIBLE MODERATE-INCOME HOUSEHOLD" MEANS, WITH RESPECT TO A GIVEN
 CALENDAR YEAR, ANY HOUSEHOLD  IN  NEW  YORK  STATE  WHOSE  GROSS  INCOME
 EXCEEDS  ONE  HUNDRED  FIFTY  PERCENT  OF THE POVERTY LINE, BUT DOES NOT
 EXCEED THE MEDIAN HOUSEHOLD INCOME FOR THE COUNTY IN WHICH THEY  RESIDE,
 REGARDLESS OF CITIZENSHIP OR TERM OF INSURANCE.
   3.  "ELIGIBLE  SMALL  BUSINESS" MEANS A BUSINESS, COOPERATIVE, OR NOT-
 FOR-PROFIT CORPORATION WHICH IS RESIDENT  IN  THIS  STATE,  AND  EMPLOYS
 FIFTY  OR  LESS  PERSONS  (INCLUDING  A  SOLE  PROPRIETORSHIP), AND WITH
 RESPECT TO BUSINESSES, IS INDEPENDENTLY OWNED AND OPERATED AND NOT DOMI-
 NANT IN ITS FIELD.
 S. 7905                            44
 
   4. "FUND" OR "REBATE FUND" MEANS  THE  HOUSEHOLD  AND  SMALL  BUSINESS
 ENERGY  REBATE FUND ESTABLISHED UNDER SUBDIVISION THREE OF SECTION THREE
 THOUSAND FORTY-SIX OF THIS CHAPTER.
   5.  "POVERTY LINE" SHALL HAVE THE SAME MEANING AS IN SECTION 673(2) OF
 THE FEDERAL COMMUNITY SERVICES BLOCK GRANT ACT (46 USC SECTION 9902).
   6. "PROGRAM" MEANS THE HOUSEHOLD  AND  SMALL  BUSINESS  ENERGY  REBATE
 PROGRAM ESTABLISHED UNDER THIS ARTICLE.
   §  3051.  ESTABLISHMENT  OF  THE  HOUSEHOLD  AND SMALL BUSINESS ENERGY
 REBATE PROGRAM. THERE IS HEREBY ESTABLISHED  WITHIN  THE  DEPARTMENT  OF
 ENVIRONMENTAL  CONSERVATION,  THE  "HOUSEHOLD  AND SMALL BUSINESS ENERGY
 REBATE PROGRAM". THE PURPOSES OF THE PROGRAM INCLUDE:
   1. DISBURSEMENT OF FUNDS FROM THE HOUSEHOLD AND SMALL BUSINESS  ENERGY
 REBATE  FUND;  FOR  THE  BENEFIT  OF THE MOST VULNERABLE POPULATIONS, TO
 OFFSET THE INCREASED COST OF LIVING ASSOCIATED WITH  THE  IMPLEMENTATION
 OF  THE  CLIMATE  POLLUTION FEE CREATED PURSUANT TO ARTICLE FORTY-TWO OF
 THIS CHAPTER AND OTHER REGULATORY MEASURES ESTABLISHED AS  PART  OF  THE
 STATE'S CLIMATE MITIGATION EFFORTS; AND
   2.  REDUCING THE ALREADY SEVERE ENERGY BURDEN ON LOW- AND MODERATE-IN-
 COME FAMILIES.
   § 3052. ADMINISTRATION BY THE DEPARTMENT  OF  ENVIRONMENTAL  CONSERVA-
 TION.  WITHIN  SIX  MONTHS  OF  THE  EFFECTIVE DATE OF THIS ARTICLE, THE
 DEPARTMENT  OF  ENVIRONMENTAL  CONSERVATION  IS  HEREBY  AUTHORIZED  AND
 DIRECTED  TO  ESTABLISH AND OPERATE THE PROGRAM. THE DEPARTMENT OF ENVI-
 RONMENTAL CONSERVATION SHALL IMPLEMENT THE PROGRAM IN CONSULTATION  WITH
 THE OFFICE OF TEMPORARY AND DISABILITY ASSISTANCE AND THE DEPARTMENTS OF
 HEALTH  AND LABOR. THE DEPARTMENT OF ENVIRONMENTAL CONSERVATION SHALL BE
 AUTHORIZED AND DIRECTED TO: USE MONIES MADE AVAILABLE  FOR  THE  PROGRAM
 PURSUANT TO ARTICLE FORTY-TWO OF THIS CHAPTER TO ACHIEVE THE PURPOSES OF
 THE  PROGRAM;  AND  EXERCISE  SUCH OTHER POWERS AS ARE NECESSARY FOR THE
 PROPER ADMINISTRATION OF SUCH PROGRAM, INCLUDING ISSUING RULES AND REGU-
 LATIONS CONSISTENT WITH THIS ARTICLE.
   § 3053. ALLOCATION OF FUNDS. FUNDS FROM THE HOUSEHOLD AND SMALL  BUSI-
 NESS ENERGY REBATE FUND SHALL BE DISBURSED UNDER THE PROGRAM TO ELIGIBLE
 HOUSEHOLDS AND SMALL BUSINESSES. THE DEPARTMENT OF ENVIRONMENTAL CONSER-
 VATION SHALL COLLECT AND THEN DISTRIBUTE DIRECTLY TO ELIGIBLE HOUSEHOLDS
 THE ENTIRE AMOUNT OF FUNDS DEDICATED TO THE REBATE FUND. ELIGIBLE HOUSE-
 HOLDS SHALL BE NOTIFIED THAT THEY ARE AUTOMATICALLY BEING ENROLLED BASED
 ON THEIR TAX FILING STATUS OR RECEIPT OF PUBLIC BENEFITS. THE DEPARTMENT
 OF  ENVIRONMENTAL  CONSERVATION,  IN COORDINATION WITH THE COMMISSIONER,
 THE PUBLIC SERVICE COMMISSION, THE NEW YORK STATE  OFFICE  OF  TEMPORARY
 AND  DISABILITY ASSISTANCE, AND THE DEPARTMENT, WILL MAKE DETERMINATIONS
 AS TO WHICH HOUSEHOLDS AND SMALL BUSINESSES ARE ELIGIBLE FOR THE  REBATE
 AND  ESTABLISH AN APPEALS PROCESS WITHIN THE DEPARTMENT OF ENVIRONMENTAL
 CONSERVATION AS TO SUCH DETERMINATIONS. THE DEPARTMENT OF  ENVIRONMENTAL
 CONSERVATION  SHALL  ALSO  ESTABLISH AN OPPORTUNITY FOR INDIVIDUAL RESI-
 DENTS OF THE STATE WHO ARE NOT REQUIRED TO FILE INCOME  TAXES  TO  APPLY
 FOR REBATES UNDER THIS ARTICLE.
   §  3054. QUALIFYING HOUSEHOLDS. A REBATE WILL BE AVAILABLE TO ELIGIBLE
 LOW-INCOME HOUSEHOLDS, MODERATE-INCOME HOUSEHOLDS, AND ADDITIONAL HOUSE-
 HOLDS, PROVIDED THAT REBATES SHALL ONLY BE PROVIDED TO  SUCH  ADDITIONAL
 HOUSEHOLDS  UPON  A  DETERMINATION  BY  THE  DEPARTMENT OF ENVIRONMENTAL
 CONSERVATION THAT THERE ARE ADEQUATE FUNDS. NOTWITHSTANDING THE  PRECED-
 ING  SENTENCE,  THE  REBATE  SHALL  BE  AVAILABLE  TO A MAXIMUM OF SIXTY
 PERCENT OF THE HOUSEHOLDS IN NEW YORK STATE.   HOUSEHOLDS SHALL  QUALIFY
 REGARDLESS  OF CITIZENSHIP. THE DEPARTMENT OF ENVIRONMENTAL CONSERVATION
 WILL COOPERATE WITH THE DEPARTMENT AND THE OFFICE OF TEMPORARY AND DISA-
 S. 7905                            45
 
 BILITY ASSISTANCE TO IDENTIFY HOUSEHOLDS AND PLACE THEM IN THE FOLLOWING
 FOUR HOUSEHOLD CATEGORIES:
   1.  ELIGIBLE MODERATE-INCOME HOUSEHOLDS CONTAINING NEW YORK CITY RESI-
 DENTS;
   2. ELIGIBLE LOW-INCOME HOUSEHOLDS CONTAINING NEW YORK  CITY  RESIDENTS
 IN  WHICH THE HOUSEHOLD INCOME IS BELOW ONE HUNDRED FIFTY PERCENT OF THE
 POVERTY LINE OR WHO ARE RECEIVING ANY MEANS-TESTED GOVERNMENT ASSISTANCE
 AIMED AT LOW-INCOME INDIVIDUALS OR HOUSEHOLDS;
   3. ELIGIBLE MODERATE-INCOME HOUSEHOLDS CONTAINING RESIDENTS OUTSIDE OF
 NEW YORK CITY; AND
   4. ELIGIBLE LOW-INCOME HOUSEHOLDS CONTAINING RESIDENTS OUTSIDE OF  NEW
 YORK CITY WITH A HOUSEHOLD INCOME BELOW ONE HUNDRED FIFTY PERCENT OF THE
 POVERTY   LINE  OR  RECEIVING  ANY  MEANS-TESTED  GOVERNMENT  ASSISTANCE
 PROGRAMS AIMED AT LOW-INCOME INDIVIDUALS OR HOUSEHOLDS.
   § 3055. REBATE AMOUNT AND REPORT. 1. THE DEPARTMENT  OF  ENVIRONMENTAL
 CONSERVATION  SHALL  DETERMINE  THE  APPROPRIATE  AMOUNT  OF THE REBATE,
 CONSISTENT WITH THE STANDARDS SET FORTH IN THIS SECTION.  EACH  ELIGIBLE
 HOUSEHOLD  WILL  RECEIVE  A SHARE OF THE TOTAL ALLOCATED REBATE FUNDS SO
 THAT:
   (A) ALL ELIGIBLE HOUSEHOLDS IN NEW YORK CITY SHALL  RECEIVE  THE  SAME
 AMOUNT,
   (B) ALL ELIGIBLE HOUSEHOLDS OUTSIDE OF NEW YORK CITY SHALL RECEIVE THE
 SAME  AMOUNT  AND  THAT AMOUNT SHALL BE AT LEAST FIFTY PERCENT MORE THAN
 THE REBATE AMOUNT APPLICABLE TO NEW YORK CITY HOUSEHOLDS, AND
   (C) THE TOTAL AMOUNT PROVIDED FOR REBATES MUST NOT EXCEED  THE  ANNUAL
 REVENUE IN THE REBATE FUND.
   2.  THE DEPARTMENT OF ENVIRONMENTAL CONSERVATION SHALL ANNUALLY ASSESS
 AND REPORT TO THE LEGISLATURE AND THE GOVERNOR AT  LEAST  THE  FOLLOWING
 INFORMATION: THE NUMBER OF HOUSEHOLDS IN EACH REBATE CATEGORY IN SECTION
 THREE  THOUSAND FIFTY-FOUR OF THIS ARTICLE; THE NUMBER OF HOUSEHOLDS WHO
 SELECT EACH DELIVERY MECHANISM  SET  FORTH  IN  SECTION  THREE  THOUSAND
 FIFTY-SIX OF THIS ARTICLE; AND HOW THE NUMBER OF HOUSEHOLDS COMPARE TO:
   (A) THE INCREMENTAL INCREASE IN THE COST OF LIVING ASSOCIATED WITH THE
 IMPLEMENTATION  OF  THE FEE ESTABLISHED PURSUANT TO ARTICLE FORTY-TWO OF
 THIS CHAPTER AND OTHER REGULATORY  MEASURES  ESTABLISHED  UNDER  ARTICLE
 FORTY-TWO OF THIS CHAPTER;
   (B)  OTHER  ESTIMATED  INCREASES IN THE COST OF LIVING ASSOCIATED WITH
 THE TRANSITION TO A LOW-CARBON ECONOMY; AND
   (C) EXISTING ENERGY BURDENS.
   § 3056. DELIVERY OF FUNDS. 1. THE DEPARTMENT OF ENVIRONMENTAL  CONSER-
 VATION,  IN  PARTNERSHIP WITH THE THE NEW YORK STATE ENERGY RESEARCH AND
 DEVELOPMENT AUTHORITY, THE PUBLIC SERVICE COMMISSION AND THE  OFFICE  OF
 TEMPORARY  AND  DISABILITY  ASSISTANCE SHALL DETERMINE APPROPRIATE MECH-
 ANISMS FOR DELIVERING REBATES  UNDER  THIS  ARTICLE.  THESE  DEPARTMENTS
 SHALL  WITHIN  THE BOUNDS OF THE LAW SHARE NECESSARY EXPERTISE AND DATA.
 THAT MECHANISM SHALL ENSURE THAT:
   (A) ELIGIBLE MODERATE-INCOME HOUSEHOLDS IN THE FIRST AND THIRD  HOUSE-
 HOLD  CATEGORIES  SET FORTH IN SECTION THREE THOUSAND FIFTY-FOUR OF THIS
 ARTICLE SHALL RECEIVE A DIRECT PAYMENT REDEEMABLE TAX CREDIT.
   (B) ELIGIBLE LOW-INCOME HOUSEHOLDS IN THE SECOND AND FOURTH  HOUSEHOLD
 CATEGORIES  SET FORTH IN SECTION THREE THOUSAND FIFTY-FOUR OF THIS ARTI-
 CLE SHALL RECEIVE THEIR REBATE THROUGH MECHANISMS THAT WILL NOT  CONSTI-
 TUTE  INCOME  FOR  PURPOSES  OF  ANY  MEANS-TESTED GOVERNMENT ASSISTANCE
 PROGRAMS THAT THEY MAY  BE  RECEIVING.  UNLESS  AN  ELIGIBLE  LOW-INCOME
 HOUSEHOLD OPTS OUT OF SUCH BENEFIT UNDER THIS SECTION, THE BENEFIT SHALL
 BE:
 S. 7905                            46
 
   (I) A TRANSIT VOUCHER FOR USE RECEIVING SERVICES THROUGH THE METROPOL-
 ITAN  TRANSPORTATION  AUTHORITY,  ACCESS-A-RIDE, OR OTHER PUBLIC TRANSIT
 SERVICE FOR HOUSEHOLDS IN THE SECOND HOUSEHOLD  CATEGORY  UNDER  SECTION
 THREE THOUSAND FIFTY-FOUR OF THIS ARTICLE.
   (II)  UTILITY  ASSISTANCE  OR  A  WEATHERIZATION  GRANT FOR THE FOURTH
 HOUSEHOLD CATEGORY UNDER SECTION THREE THOUSAND FIFTY-FOUR OF THIS ARTI-
 CLE.
   (III) ANOTHER FORM THAT COMPLIES WITH THIS SUBDIVISION.
   2.  ALL QUALIFYING HOUSEHOLDS MAY OPT OUT OF THE  DEFAULT  OPTION  FOR
 DELIVERY  OF  THE REBATE, AND CAN CHOOSE TO RECEIVE THEIR BENEFIT AMOUNT
 IN THE FORM OF ONE OF THE FOLLOWING FOUR OPTIONS:  (A)  UTILITY  ASSIST-
 ANCE; (B) A WEATHERIZATION GRANT; (C) A VOUCHER FOR USE WITH THEIR LOCAL
 TRANSIT  AUTHORITY; (D) A REDEEMABLE TAX CREDIT; OR (E) A DIRECT PAYMENT
 IF THE AUTHORITY OFFERS SUCH OPTION.
   3. THE DEPARTMENT OF ENVIRONMENTAL CONSERVATION SHALL MAKE  REASONABLE
 EFFORTS TO DELIVER FUNDS AS FREQUENTLY AS PRACTICAL, AND TO DISTRIBUTE A
 PORTION OF THE REBATE AT LEAST QUARTERLY.
   §  3057.  REASSESSMENT  OF  ALLOCATIONS.  1. BEGINNING IN TWO THOUSAND
 TWENTY-THREE AND EVERY FIVE YEARS THEREAFTER, THE DEPARTMENT OF ENVIRON-
 MENTAL CONSERVATION, IN COORDINATION WITH THE DEPARTMENT, THE OFFICE  OF
 TEMPORARY  AND  DISABILITY ASSISTANCE, THE PUBLIC SERVICE COMMISSION AND
 THE NEW YORK STATE  ENERGY  RESEARCH  AND  DEVELOPMENT  AUTHORITY  SHALL
 PERFORM  AN ASSESSMENT, WHICH SHALL INCLUDE, AT A MINIMUM, THE FOLLOWING
 INFORMATION: (A) THE STATEWIDE ENERGY BURDEN FOR SMALL  BUSINESSES,  AND
 HOUSEHOLDS  BY  GEOGRAPHY AND INCOME; (B) WHETHER SUCH ENERGY BURDEN HAS
 STAYED LEVEL OR DECREASED SINCE THE EFFECTIVE DATE OF THIS SECTION;  (C)
 THE  UPTAKE  OF  ENERGY  EFFICIENCY  AND RENEWABLE ENERGY IN EACH INCOME
 CATEGORY; AND (D) AN ESTIMATED IMPACT ON ENERGY BURDEN OR ANOTHER EQUIV-
 ALENT ESTIMATE OF THE PROPORTION OF HOUSEHOLD INCOME  SPENT  ON  ENERGY.
 BASED  ON  SUCH  INFORMATION  AND  ANY  ADDITIONAL  INFORMATION THAT THE
 DEPARTMENT DETERMINES IS APPROPRIATE,  THE  DEPARTMENT  SHALL  DETERMINE
 WHETHER THE PRESENT REBATE AMOUNT IS APPROPRIATE OR WHETHER IT IS APPRO-
 PRIATE TO REDUCE THE REBATE BENEFIT AMOUNT.
   2.  FOLLOWING  ANY  ASSESSMENT  UNDER  SUBDIVISION ONE OF THIS SECTION
 WHERE THE IMPACT OF THE FEE ESTABLISHED IS FOUND NOT TO INCREASE  HOUSE-
 HOLD  SPENDING,  OR WHERE THE ENERGY BURDEN HAS FALLEN, THE REBATE SHALL
 BE REDUCED BY AT LEAST TEN PERCENT AND THE FUNDS  REALLOCATED  IN  EQUAL
 AMOUNTS  TO  THE  COMMUNITY JUST TRANSITION FUND ESTABLISHED PURSUANT TO
 SUBDIVISION ONE OF SECTION THREE THOUSAND FORTY-SIX OF THIS CHAPTER  AND
 THE  CLIMATE JOBS AND INFRASTRUCTURE FUND ESTABLISHED PURSUANT TO SUBDI-
 VISION TWO OF SUCH SECTION.
   § 3058. SMALL BUSINESS TAX CREDIT. 1. ELIGIBLE SMALL BUSINESSES  SHALL
 RECEIVE  A  REDEEMABLE  TAX CREDIT TO REDUCE ANY INCREMENTAL INCREASE IN
 THE COST OF DOING BUSINESS ASSOCIATED WITH THE IMPLEMENTATION OF THE FEE
 ESTABLISHED PURSUANT TO ARTICLE FORTY-TWO  OF  THIS  CHAPTER  AND  OTHER
 REGULATORY  MEASURES ESTABLISHED UNDER THE CLIMATE AND COMMUNITY INVEST-
 MENT ACT OR THE TRANSITION TO A LOW-CARBON ECONOMY IN NEW YORK STATE.
   2. ANY ELIGIBLE SMALL BUSINESS THAT INCURS ENERGY OR FUEL COSTS IN THE
 COURSE OF ITS BUSINESS, SHALL BE ALLOWED A CREDIT,  TO  BE  COMPUTED  AS
 PROVIDED  IN  SUBDIVISION THREE OF THIS SECTION, AGAINST BUSINESS INCOME
 FOR EACH YEAR THAT THE FEE ESTABLISHED PURSUANT TO ARTICLE FORTY-TWO  OF
 THIS CHAPTER IS COLLECTED.
   3.  THE  CREDIT  AUTHORIZED  BY THIS SECTION SHALL EQUAL THE HIGHER OF
 FIVE HUNDRED DOLLARS A YEAR, OR THE  AMOUNT  COMPUTED  FOR  A  HOUSEHOLD
 REBATE.
 S. 7905                            47
 
   4.  THE  CREDIT  CREATED  UNDER THIS SECTION MAY BE CLAIMED EVEN IF NO
 TAXES ARE OWED BY THE ELIGIBLE SMALL BUSINESS. SUCH CREDIT MAY  BE  USED
 TO REDUCE THE TAX LIABILITY OF THE CREDIT CLAIMANT BELOW ZERO.
   §  3059.  PUBLIC  SERVICE COMMISSION INVESTIGATION. NOT LATER THAN SIX
 MONTHS AFTER THE EFFECTIVE DATE OF  THIS  ARTICLE,  THE  PUBLIC  SERVICE
 COMMISSION  SHALL  ESTABLISH  A  PROCEEDING TO INVESTIGATE, IDENTIFY AND
 MITIGATE ANY INCREASE IN ELECTRIC OR GAS RATES FOR QUALIFYING HOUSEHOLDS
 AND ELIGIBLE SMALL BUSINESSES THAT MAY BE PROJECTED TO ARISE UNDER  THIS
 ARTICLE AND ARTICLE FORTY-TWO OF THIS CHAPTER.
   §  8.  Severability. If any word, phrase, 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 thereof, but shall be confined in its operation
 to the word, phrase, clause, sentence, paragraph, section, or part ther-
 eof  directly  involved  in the controversy in which such judgment shall
 have been rendered.
   § 9. If any word, phrase, clause,  sentence,  paragraph,  section,  or
 part of this act shall be adjudged to require the department of environ-
 mental  conservation    to  act  outside  of their legal powers, such as
 engaging in the market beyond activities allowed as a market actor,  the
 relevant  statutory requirements shall be interpreted so that the powers
 and duties herein are enforced to the extent allowed by law.
   § 10. This act shall take effect on  the  one  hundred  eightieth  day
 after  it  shall have become a law and shall apply to any grants, loans,
 contracts and financial assistance awarded or renewed on or  after  such
 effective  date.  Effective  immediately, the addition, amendment and/or
 repeal of any rule or regulation necessary  for  the  implementation  of
 this  act  on its effective date are authorized to be made and completed
 on or before such date.