S T A T E   O F   N E W   Y O R K
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                                  4225

                       2009-2010 Regular Sessions

                          I N  A S S E M B L Y

                            February 2, 2009
                               ___________

Introduced by M. of A. CROUCH, KOLB, BURLING -- Multi-Sponsored by -- M.
  of  A.  BACALLES,  FINCH -- read once and referred to the Committee on
  Small Business

AN ACT to amend the economic development law, in relation  to  directing
  the department of economic development to study the attrition of small
  retail  businesses  from  the state and create a pilot program to help
  maintain the existence of small businesses within  the  state  and  to
  train  and  counsel small business owners and potential small business
  owners; and making an appropriation therefor

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

  Section 1. Legislative findings. The legislature finds that the number
of  small  businesses  located  within  the  boundaries  of the state is
decreasing at a rapid pace. In today's market place, the small  business
owner  struggles  to compete with the large corporate chain stores.  The
legislature further finds that the existence of these  small  businesses
within  the  state  is  crucial  toward the strengthening of the state's
economy. Therefore, it is imperative that steps be taken to help  ensure
the future existence and stability of these small businesses.
  S  2.  The  department  of  economic development is hereby directed to
conduct a comprehensive study relating to the ability  to  retain  small
retail  businesses  within  the  state  and  is further directed to make
recommendations in  accordance  with  its  findings.  Such  study  shall
include, but not be limited to:
  1. The economic feasibility to grant money to communities to establish
small retail business retention and development plans.
  2.  The possibility of subsidizing, either in whole or in part, retail
entrepreneur education programs for small business owners throughout the
state.

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD06912-01-9

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  3. The use of tax credits, both income and property, for small  retail
business  owners  to  lessen  their  financial  burden  and to help them
compete with the highly funded corporation.
  4.  The  possibility of implementing legislation guaranteeing loans to
small retail business owners at a low, fixed interest rate.
  5. The economic feasibility to grant money to  small  retail  business
owners for the upgrade of certain equipment.
  6.  The  ability  to  create  a small business incentive program. Such
program would:
  a. require small retail business owners participating in  the  program
to  commit  to  a five year program consisting of entrepreneur education
classes, management training, and consultations with financial advisors.
  b. be devised so as to create incentives for banking  institutions  to
participate  in  the  growth  and  production  of new and existing small
retail businesses.
  S 3. A report of the findings of such study, recommendations, and  any
proposed  legislation  necessary to implement such recommendations shall
be filed with the governor, the temporary president of the  senate,  and
the  speaker of the assembly within one year after the effective date of
this act.
  S 4. The economic development law is amended by adding a  new  section
139 to read as follows:
  S  139. SMALL BUSINESS OWNER AND POTENTIAL SMALL BUSINESS OWNER TRAIN-
ING PILOT PROGRAM. 1. THE COMMISSIONER IS HEREBY AUTHORIZED AND DIRECTED
TO ESTABLISH A SMALL BUSINESS OWNER AND POTENTIAL SMALL  BUSINESS  OWNER
TRAINING PROGRAM WITHIN NEW YORK STATE. THE PURPOSE OF THE PILOT PROGRAM
IS  TO  PREVENT  THE DEMISE OF SMALL RETAIL BUSINESSES WITHIN THE STATE.
THIS PILOT PROGRAM SEEKS TO PROMOTE THE GROWTH  OF  SMALL  RETAIL  BUSI-
NESSES  BY  ENCOURAGING  STATE  AND LOCAL CHAMBERS OF COMMERCE AND OTHER
LOCAL BUSINESS PROMOTING ENTITIES TO CREATE SMALL RETAIL BUSINESS TRAIN-
ING AND COUNSEL TO PROSPECTIVE BUSINESS OWNERS.
  THE COMMISSIONER SHALL PROMULGATE REGULATIONS AND REQUIREMENTS FOR THE
ESTABLISHMENT OF A SMALL BUSINESS OWNER  AND  POTENTIAL  SMALL  BUSINESS
OWNER  TRAINING  PROGRAM. A CHAMBER OF COMMERCE OR ANY OTHER LOCAL BUSI-
NESS PROMOTING ENTITY INTERESTED IN PARTICIPATING IN THIS PILOT  PROGRAM
SHALL   SUBMIT  A  PROPOSAL  FOR  APPROVAL  BY  THE  COMMISSIONER  WHICH
DESCRIBES:
  A. THE SPECIFIC SMALL BUSINESS POPULATION TO BE SERVED;
  B. THE MANNER IN WHICH SUCH SMALL BUSINESSES WILL BE IDENTIFIED;
  C. THE SPECIFIC SMALL RETAIL BUSINESS TRAINING AND COUNSEL TO BUSINESS
OWNERS AND PROSPECTIVE BUSINESS OWNERS TO BE PROVIDED;
  D. THE MANNER IN WHICH SUCH SMALL RETAIL BUSINESS TRAINING AND COUNSEL
TO BUSINESS OWNERS AND PROSPECTIVE BUSINESS OWNERS SHALL BE PROVIDED;
  E. ALL ASSOCIATED COSTS;
  F. THE EXPECTED BENEFITS OF THE TRAINING PROGRAM;
  G. THE METHOD TO BE UTILIZED  TO  MEASURE  THE  EFFECTIVENESS  OF  THE
TRAINING PROGRAM; AND
  H.  SUCH  OTHER  INFORMATION AS THE COMMISSIONER MAY DEEM NECESSARY TO
ASSURE THE SUCCESS OF THE SMALL BUSINESS OWNER AND POTENTIAL SMALL BUSI-
NESS OWNER TRAINING PILOT PROGRAM.
  2. APPROVAL AND TERMS OF SPONSORS AND SMALL BUSINESS OWNER AND  POTEN-
TIAL  SMALL BUSINESS OWNER PROGRAMS. THE WRITTEN APPROVAL OF A SPONSOR'S
APPLICATION BY THE COMMISSIONER  SHALL  CONSTITUTE  AUTHORIZATION  TO  A
SPONSOR  TO COMMENCE A SMALL BUSINESS OWNER AND POTENTIAL SMALL BUSINESS
OWNER PROGRAM.

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  SUCH AUTHORIZATION SHALL BE IN EFFECT FOR THREE YEARS, ABSENT  REVOCA-
TION OR EXTENSION BY THE COMMISSIONER.
  3. REPORTING AND EVALUATION OF THE PROGRAM. ON OR BEFORE EACH ONE YEAR
ANNIVERSARY  OF  THE  PILOT  PROGRAM'S INCEPTION, THE COMMISSIONER SHALL
SUBMIT A REPORT TO THE  GOVERNOR  AND  THE  LEGISLATURE  CONCERNING  THE
PROGRAMS  ESTABLISHED IN THIS SECTION AND SHALL PROVIDE AN EVALUATION AS
TO THE EFFECTIVENESS OF THE PILOT PROGRAM IN MEETING  THE  PURPOSES  FOR
WHICH  IT  WAS ESTABLISHED. SUCH REPORT SHALL ALSO RECOMMEND WHETHER THE
PILOT PROGRAM SHOULD BE EXPANDED TO ADDITIONAL LOCATIONS  IN  THE  STATE
AND SHALL ESTIMATE THE FINANCIAL COST OF ANY SUCH EXPANSION.
  S  5.  The  sum  of two hundred ten thousand dollars ($210,000), or so
much thereof as may be necessary, is hereby appropriated to the  depart-
ment  of  economic  development from any moneys in the state treasury in
the general fund not otherwise appropriated for services  and  expenses;
including  the  expenses  of the department of economic development, for
the purposes of carrying out the provisions of this act. Such sum  shall
be payable on the audit and warrant of the state comptroller on vouchers
certified  or  approved  by the commissioner of economic development, or
his duly designated representative in the manner provided  by  law.  Not
more  than  fifteen  percent  of  the  monies hereby appropriated may be
expended for the costs of the department of economic development.
  S 6. This act shall take effect immediately.