S T A T E   O F   N E W   Y O R K
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                                  3408

                       2009-2010 Regular Sessions

                          I N  A S S E M B L Y

                            January 27, 2009
                               ___________

Introduced  by  M. of A. PERRY -- Multi-Sponsored by -- M. of A. PHEFFER
  -- read once and referred to the Committee on Judiciary

AN ACT to amend the estates, powers and trusts  law  and  the  executive
  law,  in relation to requiring not-for-profit and exempt organizations
  and trustees to report annually whether or not moneys  were  spent  to
  pay  judgments or settle accusations related to harassment, assault or
  abuse allegedly committed by officers, directors, employees or  agents
  of the organizations or trustees

  THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. Section 8-1.4 of the estates,  powers  and  trusts  law  is
amended by adding a new paragraph (t) to read as follows:
  (T)  (1)  NOTWITHSTANDING  THE  EXEMPTIONS  FROM  THE REGISTRATION AND
REPORTING PROVISIONS OF THIS SECTION SPECIFIED IN PARAGRAPH (B) OF  THIS
SECTION,  THE  PROVISIONS  OF THIS PARAGRAPH SHALL APPLY TO A DESIGNATED
"TRUSTEE", AS DEFINED IN PARAGRAPH (A) OF THIS SECTION,  EXCEPT  TO  THE
EXTENT, IF ANY, THAT THE APPLICATION OF THIS PARAGRAPH TO ANY PARTICULAR
TRUSTEE IS FOUND BY THE FINAL JUDGMENT OF A COURT OF COMPETENT JURISDIC-
TION,  AFTER ANY AND ALL APPEALS HAVE BEEN EXHAUSTED, TO BE VIOLATIVE OF
THE FEDERAL OR STATE CONSTITUTION.
  (2) A DESIGNATED TRUSTEE SHALL FILE ANNUALLY WITH THE ATTORNEY GENERAL
ON A FORM PRESCRIBED BY THE ATTORNEY GENERAL AND ON SUCH DATE  OR  DATES
AS  THE  ATTORNEY GENERAL SHALL REQUIRE, A DISCLOSURE STATEMENT, SETTING
FORTH UNDER THE PENALTIES OF PERJURY WHETHER OR NOT  ANY  OF  THE  FUNDS
ENTRUSTED  TO SUCH BOARD OF TRUSTEES OR DESIGNATED TRUSTEE WERE EXPENDED
DURING THE IMMEDIATELY PRECEDING FISCAL YEAR COVERED BY  SUCH  STATEMENT
FOR  THE  PURPOSE OF SATISFYING ANY JUDGMENT OR PAYING THE AMOUNT OF ANY
SETTLEMENT RELATED TO ONE OR  MORE  ALLEGATIONS  OF  SEXUAL  HARASSMENT,
SEXUAL  ASSAULT,  OR  CHILD  ABUSE  COMMITTED  BY  AN OFFICER, DIRECTOR,
EMPLOYEE OR AGENT OF THE BOARD OF TRUSTEES OR A  DESIGNATED  TRUSTEE.  A
TRUSTEE  OTHERWISE  REQUIRED TO FILE AN ANNUAL FINANCIAL REPORT PURSUANT

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD02105-01-9
              

A. 3408                             2

TO THIS SECTION OR SECTION ONE HUNDRED SEVENTY-TWO-B  OF  THE  EXECUTIVE
LAW  SHALL SATISFY THE FILING REQUIREMENT OF THIS PARAGRAPH BY INCLUDING
SUCH ANNUAL DISCLOSURE STATEMENT WITH THE FILING OF THE TRUSTEE'S ANNUAL
FINANCIAL  REPORT OR AS A PART OF THE TRUSTEE'S ANNUAL FINANCIAL REPORT.
THE FAILURE TO FILE OR TIMELY FILE SUCH ANNUAL DISCLOSURE  STATEMENT  OR
TO  INCLUDE  IT  AS  A  PART OF THE TRUSTEE'S ANNUAL FINANCIAL REPORT AS
PERMITTED HEREIN SHALL SUBJECT THE TRUSTEE IN DEFAULT TO THE SAME  FINES
AND  PENALTIES  AS  THOSE THAT ARE APPLICABLE TO FAILURE BY A TRUSTEE TO
FILE OR TIMELY FILE THE TRUSTEE'S ANNUAL FINANCIAL REPORT.
  S 2. Section 172-b of the executive law is amended  by  adding  a  new
subdivision 9 to read as follows:
  9.  (A)  NOTWITHSTANDING  THE  EXEMPTIONS  FROM  THE  REGISTRATION AND
REPORTING PROVISIONS OF THIS ARTICLE SPECIFIED IN  SECTION  ONE  HUNDRED
SEVENTY-TWO-A  OF THIS ARTICLE, THE PROVISIONS OF THIS SUBDIVISION SHALL
APPLY TO ALL "CHARITABLE ORGANIZATIONS" DEFINED IN SECTION  ONE  HUNDRED
SEVENTY-ONE-A  OF  THIS  ARTICLE  AND TO ALL ENTITIES OTHERWISE EXEMPTED
FROM  THIS  ARTICLE  THAT  ARE  ENUMERATED  IN   SECTION   ONE   HUNDRED
SEVENTY-TWO-A  OF  THIS  ARTICLE, EXCEPT TO THE EXTENT, IF ANY, THAT THE
APPLICATION OF THIS SUBDIVISION TO ANY PARTICULAR  CHARITABLE  ORGANIZA-
TION  IS  FOUND  BY THE FINAL JUDGMENT OF A COURT OF COMPETENT JURISDIC-
TION, AFTER ANY AND ALL APPEALS HAVE BEEN EXHAUSTED, TO BE VIOLATIVE  OF
THE FEDERAL OR STATE CONSTITUTION.
  (B)  EVERY  CHARITABLE ORGANIZATION AND EVERY ENTITY THAT IS OTHERWISE
EXEMPTED FROM THE APPLICATION OF THIS ARTICLE  BY  SECTION  ONE  HUNDRED
SEVENTY-TWO-A  OF  THIS  ARTICLE  SHALL  FILE ANNUALLY WITH THE ATTORNEY
GENERAL ON A FORM PRESCRIBED BY THE ATTORNEY GENERAL AND ON SUCH DATE OR
DATES AS THE ATTORNEY GENERAL SHALL  REQUIRE,  A  DISCLOSURE  STATEMENT,
SETTING  FORTH  UNDER THE PENALTIES OF PERJURY WHETHER OR NOT ANY OF THE
FUNDS ENTRUSTED TO SUCH CHARITABLE ORGANIZATION OR EXEMPTED ENTITY  WERE
EXPENDED  DURING  THE  IMMEDIATELY PRECEDING FISCAL YEAR COVERED BY SUCH
STATEMENT FOR THE PURPOSE OF  SATISFYING  ANY  JUDGMENT  OR  PAYING  THE
AMOUNT  OF  ANY  SETTLEMENT RELATED TO ONE OR MORE ALLEGATIONS OF SEXUAL
HARASSMENT, SEXUAL ASSAULT, OR CHILD  ABUSE  COMMITTED  BY  AN  OFFICER,
DIRECTOR,  EMPLOYEE  OR AGENT OF THE CHARITABLE ORGANIZATION OR EXEMPTED
ENTITY. A CHARITABLE ORGANIZATION OTHERWISE REQUIRED TO FILE  AN  ANNUAL
FINANCIAL  REPORT  PURSUANT  TO  THIS  ARTICLE  OR  SECTION 8-1.4 OF THE
ESTATES, POWERS AND TRUSTS LAW MAY SATISFY THE ANNUAL FILING REQUIREMENT
OF THIS SUBDIVISION BY INCLUDING SUCH ANNUAL DISCLOSURE  STATEMENT  WITH
THE  FILING  OF THE CHARITABLE ORGANIZATION'S ANNUAL FINANCIAL REPORT OR
AS A PART OF SUCH ORGANIZATION'S ANNUAL FINANCIAL REPORT. THE FAILURE TO
FILE OR TIMELY FILE SUCH ANNUAL DISCLOSURE STATEMENT OR TO INCLUDE IT AS
A PART OF A CHARITABLE ORGANIZATION'S ANNUAL FINANCIAL REPORT AS PERMIT-
TED HEREIN  SHALL  SUBJECT  THE  CHARITABLE  ORGANIZATION  OR  OTHERWISE
EXEMPTED ENTITY IN DEFAULT TO THE SAME FINES AND PENALTIES AS THOSE THAT
ARE APPLICABLE TO FAILURE BY A CHARITABLE ORGANIZATION TO FILE OR TIMELY
FILE THE CHARITABLE ORGANIZATION'S ANNUAL FINANCIAL REPORT.
  S 3. This act shall take effect on the one hundred twentieth day after
it shall have become a law.  Effective immediately, the addition, amend-
ment  and/or repeal of any rules or regulations necessary for the imple-
mentation of this act on its effective date are authorized and  directed
to  be  made  and  completed  by  the attorney general on or before such
effective date.