BILL NUMBER:S7385

TITLE OF BILL:
An act
to amend the New York state urban development corporation act, in
relation to enacting the food retail establishment subsidization for
healthy communities (FRESH Communities) act

PURPOSE:
This bill promotes public health and nutrition by authorizing
assistance for establishment or retention of food retail
establishments selling fresh food in underserved communities.

SUMMARY OF PROVISIONS:
Section 1. Short title. This act shall be known and may be cited as
the "food retail establishment subsidization for health communities
act."

Section 2. Legislative intent. The legislature finds that the lack of
access to fresh foods is a problem of growing concern in many
communities across the state.

Section 3. Subdivision 1 of section 16-m of section 1 of chapter 174
of the laws of 1968, constituting the New York State urban
development corporation act, as added by section 4 of part FF of
chapter 59 of the laws of2006, is amended and a new paragraph (n) is
              

added. The new paragraph includes provisions for loans, loan
guarantees, interest subsidies and grants to businesses,
municipalities, not-for-profit corporations or local development
corporations for the purpose of attracting, maintaining or permitting
the expansion of food retail establishments in underserved areas. For
purposes of this paragraph, "underserved areas" shall include low or
moderate-income census tracts, areas of below average supermarket
density or having supermarket customer base with more than fifty
percent living in low-income census tracts, or other areas
demonstrated to have significant access limitations due to travel
distance, as determined by the corporation, and "food retail
establishments" shall include supermarkets and other grocery
retailers that operate on a self service basis and sell a minimum
percentage of produce, meat, poultry, seafood, baked goods and/or
dairy products and which:

(i) participate in the pride of New York program;

(ii) accept payment from electronic benefit transfer through the
supplemental nutrition assistance program and through the special
supplemental nutrition program for women, infants, and children;

(iii) do not charge a membership fee; and

(iv) hire residents living within a twenty mile radius of such retail
food establishment.

JUSTIFICATION:
Development pressures in New York's urban areas, increased
consolidation of the retail industry and other socioeconomic factors


have led to a decline in the number of supermarkets and other retail
outlets selling fresh foods. The increasing disappearance of
retailers offering fresh food choices in cities has been identified
across the country as a factor in increased rates of obesity,
diabetes and other nutrition-related health concerns. Our neighboring
state of Pennsylvania has responded by enacting a First Industries
Program that provides grants, loans and loan guarantees to provide
financial assistance to urban and rural supermarkets in underserved
communities.
Ensuring an adequate number of outlets for fresh produce, dairy
products, meat, poultry, seafood and bakery items will not only
benefit the residents of currently underserved communities, but will
also benefit local and regional growers and processors. In addition,
the bill would reduce energy expenditures and greenhouse gas
emissions by encouraging reliance on less processed food and reducing
the need for long distance transportation. The result will be
improved health, both personal and economic, for communities across
New York.

Retail establishment that participate in this program will be required
to accept payment from electronic benefit transfer through the
supplemental nutrition assistance program, do not charge a membership
fee, hire residents living within a twenty mile radius of their business

LEGISLATIVE HISTORY:
2009-2010 A.7975A
2007-2008 A.11771

FISCAL IMPLICATIONS:
Undetermined.

EFFECTIVE DATE:
This act shall take effect on the first of April next succeeding the
date on which it shall have become a law; provided, however: that the
urban development corporation shall be immediately authorized to take
any and all actions necessary to fully implement the provisions of
section three of this act on or before such effective date; and
provided further, that the amendments to section 16-m of the urban
development corporation act made by section three of this act shall
not affect the expiration of such section and shall be deemed to
expire therewith.