S. 3449--A 2
(C) "DEFAULT" MEANS THAT A RECIPIENT HAS NOT ACHIEVED ITS JOB
CREATION, JOB RETENTION, OR WAGE OR BENEFIT GOALS, AS APPLICABLE, DURING
THE PRESCRIBED PERIOD THEREFOR.
(D) "DEPARTMENT" MEANS, UNLESS OTHERWISE NOTED, THE DEPARTMENT OF
TAXATION AND FINANCE OR ANY SUCCESSOR AGENCY.
(E) "DEVELOPMENT ASSISTANCE" MEANS (1) TAX CREDITS AND TAX EXEMPTIONS
(OTHER THAN GIVEN UNDER TAX INCREMENT FINANCING) GIVEN AS AN INCENTIVE
TO A RECIPIENT BUSINESS ORGANIZATION PURSUANT TO AN INITIAL CERTIF-
ICATION OR AN INITIAL DESIGNATION MADE BY THE DEPARTMENT UNDER ARTICLE
EIGHTEEN-A OR EIGHTEEN-B OF THE GENERAL MUNICIPAL LAW;
(2) ALL SUCCESSOR AND SUBSEQUENT PROGRAMS AND TAX CREDITS DESIGNED TO
PROMOTE LARGE BUSINESS RELOCATIONS AND EXPANSIONS. "DEVELOPMENT ASSIST-
ANCE" DOES NOT INCLUDE TAX INCREMENT FINANCING, ASSISTANCE PROVIDED
UNDER ARTICLE EIGHTEEN-A OR EIGHTEEN-B OF THE GENERAL MUNICIPAL LAW
PURSUANT TO LOCAL ORDINANCE, PARTICIPATION LOANS, OR FINANCIAL TRANS-
ACTIONS THROUGH STATUTORILY AUTHORIZED FINANCIAL INTERMEDIARIES IN
SUPPORT OF SMALL BUSINESS LOANS AND INVESTMENTS OR GIVEN IN CONNECTION
WITH THE DEVELOPMENT OF AFFORDABLE HOUSING.
(F) "DEVELOPMENT ASSISTANCE AGREEMENT" MEANS ANY AGREEMENT EXECUTED BY
THE STATE GRANTING BODY AND THE RECIPIENT SETTING FORTH THE TERMS AND
CONDITIONS OF DEVELOPMENT ASSISTANCE TO BE PROVIDED TO THE RECIPIENT
CONSISTENT WITH THE FINAL APPLICATION FOR DEVELOPMENT ASSISTANCE,
INCLUDING BUT NOT LIMITED TO THE DATE OF ASSISTANCE, SUBMITTED TO AND
APPROVED BY THE STATE GRANTING BODY.
(G) "FULL-TIME, PERMANENT JOB" MEANS A JOB IN WHICH THE NEW EMPLOYEE
WORKS FOR THE RECIPIENT AT A RATE OF AT LEAST THIRTY-FIVE HOURS PER
WEEK.
(H) "NEW EMPLOYEE" MEANS A FULL-TIME, PERMANENT EMPLOYEE WHO REPRES-
ENTS A NET INCREASE IN THE NUMBER OF THE RECIPIENT'S EMPLOYEES STATE-
WIDE. "NEW EMPLOYEE" INCLUDES AN EMPLOYEE WHO PREVIOUSLY FILLED A NEW
EMPLOYEE POSITION WITH THE RECIPIENT WHO WAS REHIRED OR CALLED BACK FROM
A LAYOFF THAT OCCURS DURING OR FOLLOWING THE BASE YEARS.
THE TERM "NEW EMPLOYEE" DOES NOT INCLUDE ANY OF THE FOLLOWING:
(1) AN EMPLOYEE OF THE RECIPIENT WHO PERFORMS A JOB THAT WAS PREVIOUS-
LY PERFORMED BY ANOTHER EMPLOYEE IN THIS STATE, IF THAT JOB EXISTED IN
THIS STATE FOR AT LEAST SIX MONTHS BEFORE HIRING THE EMPLOYEE.
(2) A CHILD, GRANDCHILD, PARENT, OR SPOUSE, OTHER THAN A SPOUSE WHO IS
LEGALLY SEPARATED FROM THE INDIVIDUAL, OF ANY INDIVIDUAL WHO HAS A
DIRECT OR INDIRECT OWNERSHIP INTEREST OF AT LEAST FIVE PERCENT IN THE
PROFITS, CAPITAL, OR VALUE OF ANY MEMBER OF THE RECIPIENT.
(I) "PART-TIME JOB" MEANS A JOB IN WHICH THE NEW EMPLOYEE WORKS FOR
THE RECIPIENT AT A RATE OF LESS THAN THIRTY-FIVE HOURS PER WEEK.
(J) "RECIPIENT" MEANS ANY BUSINESS THAT RECEIVES ECONOMIC DEVELOPMENT
ASSISTANCE. A BUSINESS IS ANY CORPORATION, LIMITED LIABILITY COMPANY,
PARTNERSHIP, JOINT VENTURE, ASSOCIATION, SOLE PROPRIETORSHIP, OR OTHER
LEGALLY RECOGNIZED ENTITY.
(K) "RETAINED EMPLOYEE" MEANS ANY EMPLOYEE DEFINED AS HAVING A
FULL-TIME OR FULL-TIME EQUIVALENT JOB PRESERVED AT A SPECIFIC FACILITY
OR SITE, THE CONTINUANCE OF WHICH IS THREATENED BY A SPECIFIC AND DEMON-
STRABLE THREAT, WHICH SHALL BE SPECIFIED IN THE APPLICATION FOR DEVELOP-
MENT ASSISTANCE.
(L) "SPECIFIC PROJECT SITE" MEANS THAT DISTINCT OPERATIONAL UNIT TO
WHICH ANY DEVELOPMENT ASSISTANCE IS APPLIED.
(M) "STATE GRANTING BODY" MEANS THE DEPARTMENT, ANY OTHER STATE
DEPARTMENT OR STATE AGENCY THAT PROVIDES DEVELOPMENT ASSISTANCE THAT HAS
S. 3449--A 3
REPORTING REQUIREMENTS UNDER THIS ARTICLE, AND ANY SUCCESSOR AGENCIES TO
ANY OF THE PRECEDING.
(N) "TEMPORARY JOB" MEANS A JOB IN WHICH THE NEW EMPLOYEE IS HIRED FOR
A SPECIFIC DURATION OF TIME OR SEASON.
(O) "VALUE OF ASSISTANCE" MEANS THE FACE VALUE OF ANY FORM OF DEVELOP-
MENT ASSISTANCE.
S 1402. UNIFIED ECONOMIC DEVELOPMENT BUDGET.
(A) FOR EACH STATE FISCAL YEAR ENDING ON OR AFTER JUNE THIRTIETH, TWO
THOUSAND FIFTEEN, THE DEPARTMENT SHALL SUBMIT AN ANNUAL UNIFIED ECONOMIC
DEVELOPMENT BUDGET TO THE GOVERNOR, SENATE AND ASSEMBLY. THE UNIFIED
ECONOMIC DEVELOPMENT BUDGET SHALL BE DUE WITHIN THREE MONTHS AFTER THE
END OF THE FISCAL YEAR, AND SHALL PRESENT ALL TYPES OF DEVELOPMENT
ASSISTANCE GRANTED DURING THE PRIOR FISCAL YEAR, INCLUDING:
(1) THE AGGREGATE AMOUNT OF UNCOLLECTED OR DIVERTED STATE TAX REVENUES
RESULTING FROM EACH TYPE OF DEVELOPMENT ASSISTANCE PROVIDED PURSUANT TO
LAW, AS REPORTED TO THE DEPARTMENT ON TAX RETURNS FILED DURING THE
FISCAL YEAR.
(2) ALL STATE DEVELOPMENT ASSISTANCE.
(B) ALL DATA CONTAINED IN THE UNIFIED ECONOMIC DEVELOPMENT BUDGET
PRESENTED TO THE GOVERNOR, SENATE AND ASSEMBLY SHALL BE FULLY SUBJECT TO
THE FREEDOM OF INFORMATION ACT.
(C) THE DEPARTMENT SHALL SUBMIT A REPORT OF THE AMOUNTS IN SUBPARA-
GRAPH ONE OF PARAGRAPH (A) OF THIS SECTION TO THE DEPARTMENT, WHICH MAY
APPEND SUCH REPORT TO THE UNIFIED ECONOMIC DEVELOPMENT BUDGET RATHER
THAN SEPARATELY REPORTING SUCH AMOUNTS.
S 1403. STANDARDIZED APPLICATIONS FOR STATE DEVELOPMENT ASSISTANCE.
(A) ALL FINAL APPLICATIONS SUBMITTED TO THE DEPARTMENT OR ANY OTHER
STATE GRANTING BODY REQUESTING DEVELOPMENT ASSISTANCE SHALL CONTAIN, AT
A MINIMUM:
(1) AN APPLICATION TRACKING NUMBER THAT IS SPECIFIC TO BOTH THE STATE
GRANTING AGENCY AND TO EACH APPLICATION.
(2) THE OFFICE MAILING ADDRESS, OFFICE TELEPHONE NUMBER, AND CHIEF
OFFICER OF THE GRANTING BODY.
(3) THE OFFICE MAILING ADDRESS, TELEPHONE NUMBER, AND THE NAME OF THE
CHIEF OFFICER OF THE APPLICANT OR AUTHORIZED DESIGNEE FOR THE SPECIFIC
PROJECT SITE FOR WHICH DEVELOPMENT ASSISTANCE IS REQUESTED.
(4) THE APPLICANT'S TOTAL NUMBER OF EMPLOYEES AT THE SPECIFIC PROJECT
SITE ON THE DATE THAT THE APPLICATION IS SUBMITTED TO THE STATE GRANTING
BODY, INCLUDING THE NUMBER OF FULL-TIME, PERMANENT JOBS, THE NUMBER OF
PART-TIME JOBS, AND THE NUMBER OF TEMPORARY JOBS.
(5) THE TYPE OF DEVELOPMENT ASSISTANCE AND VALUE OF ASSISTANCE BEING
REQUESTED.
(6) THE NUMBER OF JOBS TO BE CREATED AND RETAINED OR BOTH CREATED AND
RETAINED BY THE APPLICANT AS A RESULT OF THE DEVELOPMENT ASSISTANCE,
INCLUDING THE NUMBER OF FULL-TIME, PERMANENT JOBS, THE NUMBER OF
PART-TIME JOBS, AND THE NUMBER OF TEMPORARY JOBS.
(7) A DETAILED LIST OF THE OCCUPATION OR JOB CLASSIFICATIONS AND
NUMBER OF NEW EMPLOYEES OR RETAINED EMPLOYEES TO BE HIRED IN FULL-TIME,
PERMANENT JOBS, A SCHEDULE OF ANTICIPATED STARTING DATES OF THE NEW
HIRES AND THE ANTICIPATED AVERAGE WAGE BY OCCUPATION OR JOB CLASSIFICA-
TION AND TOTAL PAYROLL TO BE CREATED AS A RESULT OF THE DEVELOPMENT
ASSISTANCE.
(8) A LIST OF ALL OTHER FORMS OF DEVELOPMENT ASSISTANCE THAT THE
APPLICANT IS REQUESTING FOR THE SPECIFIC PROJECT SITE AND THE NAME OF
EACH STATE GRANTING BODY FROM WHICH THAT DEVELOPMENT ASSISTANCE IS BEING
REQUESTED.
S. 3449--A 4
(9) A NARRATIVE, IF NECESSARY, DESCRIBING WHY THE DEVELOPMENT ASSIST-
ANCE IS NEEDED AND HOW THE APPLICANT'S USE OF THE DEVELOPMENT ASSISTANCE
MAY REDUCE EMPLOYMENT AT ANY SITE IN NEW YORK.
(10) A CERTIFICATION BY THE CHIEF OFFICER OF THE APPLICANT OR HIS OR
HER AUTHORIZED DESIGNEE THAT THE INFORMATION CONTAINED IN THE APPLICA-
TION SUBMITTED TO THE GRANTING BODY CONTAINS NO KNOWING MISREPRESEN-
TATION OF MATERIAL FACTS UPON WHICH ELIGIBILITY FOR DEVELOPMENT ASSIST-
ANCE IS BASED.
(B) EVERY STATE GRANTING BODY EITHER SHALL COMPLETE, OR SHALL REQUIRE
THE APPLICANT TO COMPLETE, AN APPLICATION FORM THAT MEETS THE MINIMUM
REQUIREMENTS AS PRESCRIBED IN THIS SECTION EACH TIME AN APPLICANT
APPLIES FOR DEVELOPMENT ASSISTANCE COVERED BY THIS ARTICLE.
(C) THE DEPARTMENT SHALL HAVE THE DISCRETION TO MODIFY ANY STANDARD-
IZED APPLICATION FOR STATE DEVELOPMENT ASSISTANCE REQUIRED UNDER PARA-
GRAPH (A) OF THIS SECTION FOR ANY GRANTS THAT ARE NOT GIVEN AS AN INCEN-
TIVE TO A RECIPIENT BUSINESS ORGANIZATION.
S 1404. STATE DEVELOPMENT ASSISTANCE DISCLOSURE.
(A) BEGINNING FEBRUARY FIRST, TWO THOUSAND SIXTEEN AND EACH YEAR THER-
EAFTER, EVERY STATE GRANTING BODY SHALL SUBMIT TO THE DEPARTMENT COPIES
OF ALL DEVELOPMENT ASSISTANCE AGREEMENTS THAT IT APPROVED IN THE PRIOR
CALENDAR YEAR.
(B) FOR EACH DEVELOPMENT ASSISTANCE AGREEMENT FOR WHICH THE DATE OF
ASSISTANCE HAS OCCURRED IN THE PRIOR CALENDAR YEAR, EACH RECIPIENT SHALL
SUBMIT TO THE DEPARTMENT A PROGRESS REPORT THAT SHALL INCLUDE, BUT NOT
BE LIMITED TO, THE FOLLOWING:
(1) THE APPLICATION TRACKING NUMBER.
(2) THE OFFICE MAILING ADDRESS, TELEPHONE NUMBER, AND THE NAME OF THE
CHIEF OFFICER OF THE GRANTING BODY.
(3) THE OFFICE MAILING ADDRESS, TELEPHONE NUMBER, AND THE NAME OF THE
CHIEF OFFICER OF THE APPLICANT OR AUTHORIZED DESIGNEE FOR THE SPECIFIC
PROJECT SITE FOR WHICH THE DEVELOPMENT ASSISTANCE WAS APPROVED BY THE
STATE GRANTING BODY.
(4) THE TYPE OF DEVELOPMENT ASSISTANCE PROGRAM AND VALUE OF ASSISTANCE
THAT WAS APPROVED BY THE STATE GRANTING BODY.
(5) THE APPLICANT'S TOTAL NUMBER OF EMPLOYEES AT THE SPECIFIC PROJECT
SITE ON THE DATE THAT THE APPLICATION WAS SUBMITTED TO THE STATE GRANT-
ING BODY AND THE APPLICANT'S TOTAL NUMBER OF EMPLOYEES AT THE SPECIFIC
PROJECT SITE ON THE DATE OF THE REPORT, INCLUDING THE NUMBER OF
FULL-TIME, PERMANENT JOBS, THE NUMBER OF PART-TIME JOBS, AND THE NUMBER
OF TEMPORARY JOBS, AND A COMPUTATION OF THE GAIN OR LOSS OF JOBS IN EACH
CATEGORY.
(6) THE NUMBER OF NEW EMPLOYEES AND RETAINED EMPLOYEES THE APPLICANT
STATED IN ITS DEVELOPMENT ASSISTANCE AGREEMENT, IF ANY, IF NOT, THEN IN
ITS APPLICATION, WOULD BE CREATED BY THE DEVELOPMENT ASSISTANCE BROKEN
DOWN BY FULL-TIME, PERMANENT, PART-TIME, AND TEMPORARY.
(7) A SWORN DECLARATION OF WHETHER THE RECIPIENT IS IN COMPLIANCE WITH
THE DEVELOPMENT ASSISTANCE AGREEMENT.
(8) A DETAILED LIST OF THE OCCUPATION OR JOB CLASSIFICATIONS AND
NUMBER OF NEW EMPLOYEES OR RETAINED EMPLOYEES TO BE HIRED IN FULL-TIME,
PERMANENT JOBS, A SCHEDULE OF ANTICIPATED STARTING DATES OF THE NEW
HIRES AND THE ACTUAL AVERAGE WAGE BY OCCUPATION OR JOB CLASSIFICATION
AND TOTAL PAYROLL TO BE CREATED AS A RESULT OF THE DEVELOPMENT ASSIST-
ANCE.
(9) A NARRATIVE, IF NECESSARY, DESCRIBING HOW THE RECIPIENT'S USE OF
THE DEVELOPMENT ASSISTANCE DURING THE REPORTING YEAR HAS REDUCED EMPLOY-
MENT AT ANY SITE IN NEW YORK.
S. 3449--A 5
(10) A CERTIFICATION BY THE CHIEF OFFICER OF THE APPLICANT OR HIS OR
HER AUTHORIZED DESIGNEE THAT THE INFORMATION IN THE PROGRESS REPORT
CONTAINS NO KNOWING MISREPRESENTATION OF MATERIAL FACTS UPON WHICH
ELIGIBILITY FOR DEVELOPMENT ASSISTANCE IS BASED.
(C) THE STATE GRANTING BODY, OR A SUCCESSOR AGENCY, SHALL HAVE FULL
AUTHORITY TO VERIFY INFORMATION CONTAINED IN THE RECIPIENT'S PROGRESS
REPORT, INCLUDING THE AUTHORITY TO INSPECT THE SPECIFIC PROJECT SITE AND
INSPECT THE RECORDS OF THE RECIPIENT THAT ARE SUBJECT TO THE DEVELOPMENT
ASSISTANCE AGREEMENT.
(D) BY JUNE FIRST, TWO THOUSAND SIXTEEN AND BY JUNE FIRST OF EACH YEAR
THEREAFTER, THE DEPARTMENT SHALL COMPILE AND PUBLISH ALL DATA IN ALL OF
THE PROGRESS REPORTS IN BOTH WRITTEN AND ELECTRONIC FORM.
(E) IF A RECIPIENT OF DEVELOPMENT ASSISTANCE FAILS TO COMPLY WITH
PARAGRAPH (B) OF THIS SECTION, THE DEPARTMENT SHALL, WITHIN TWENTY WORK-
ING DAYS AFTER THE REPORTING SUBMITTAL DEADLINES SET FORTH IN SUCH PARA-
GRAPH (B), SUSPEND WITHIN THIRTY-THREE WORKING DAYS ANY CURRENT DEVELOP-
MENT ASSISTANCE TO SUCH RECIPIENT UNDER ITS CONTROL, AND SHALL BE
PROHIBITED FROM COMPLETING ANY CURRENT OR PROVIDING ANY FUTURE DEVELOP-
MENT ASSISTANCE UNTIL IT RECEIVES PROOF THAT SUCH RECIPIENT HAS COME
INTO COMPLIANCE WITH THE REQUIREMENTS OF PARAGRAPH (B) OF THIS SECTION.
(F) THE DEPARTMENT SHALL HAVE THE DISCRETION TO MODIFY THE INFORMATION
REQUIRED IN THE PROGRESS REPORT REQUIRED UNDER PARAGRAPH (B) OF THIS
SECTION CONSISTENT WITH THE DISCLOSURE PURPOSE OF THIS SECTION FOR ANY
GRANTS THAT ARE NOT GIVEN AS AN INCENTIVE TO A RECIPIENT BUSINESS ORGAN-
IZATION.
S 1405. RECAPTURE.
(A) ALL DEVELOPMENT ASSISTANCE AGREEMENTS SHALL CONTAIN, AT A MINIMUM,
THE FOLLOWING RECAPTURE PROVISIONS:
(1) THE RECIPIENT MUST (I) MAKE THE LEVEL OF CAPITAL INVESTMENT IN THE
ECONOMIC DEVELOPMENT PROJECT SPECIFIED IN THE DEVELOPMENT ASSISTANCE
AGREEMENT; (II) CREATE OR RETAIN, OR BOTH, THE REQUISITE NUMBER OF JOBS,
PAYING NOT LESS THAN SPECIFIED WAGES FOR THE CREATED AND RETAINED JOBS,
WITHIN AND FOR THE DURATION OF THE TIME PERIOD SPECIFIED IN THE DEVELOP-
MENT ASSISTANCE PROGRAMS AND THE DEVELOPMENT ASSISTANCE AGREEMENT.
(2) IF THE RECIPIENT FAILS TO CREATE OR RETAIN THE REQUISITE NUMBER OF
JOBS WITHIN AND FOR THE TIME PERIOD SPECIFIED, IN THE DEVELOPMENT
ASSISTANCE PROGRAMS AND THE DEVELOPMENT ASSISTANCE AGREEMENT, THE RECIP-
IENT SHALL BE DEEMED TO NO LONGER QUALIFY FOR THE STATE ECONOMIC ASSIST-
ANCE AND THE APPLICABLE RECAPTURE PROVISIONS SHALL TAKE EFFECT.
(3) IF THE RECIPIENT RECEIVES STATE ECONOMIC ASSISTANCE IN THE FORM OF
AN EMPIRE ZONE DESIGNATION PURSUANT TO ARTICLE EIGHTEEN-B OF THE GENERAL
MUNICIPAL LAW OR AN INDUSTRIAL DEVELOPMENT ZONE DESIGNATION PURSUANT TO
ARTICLE EIGHTEEN-A OF THE GENERAL MUNICIPAL LAW AND THE RECIPIENT FAILS
TO CREATE OR RETAIN THE REQUISITE NUMBER OF JOBS, AS DETERMINED BY THE
DEVELOPMENT ASSISTANCE AGREEMENT WITHIN THE REQUISITE PERIOD OF TIME,
THE RECIPIENT SHALL BE REQUIRED TO PAY TO THE STATE THE FULL AMOUNT OF
THE STATE TAX EXEMPTION THAT IT RECEIVED AS A RESULT OF SUCH DESIG-
NATION.
(4) IF THE RECIPIENT RECEIVES A GRANT OR LOAN PURSUANT TO AN EMPIRE
ZONE DESIGNATION PURSUANT TO ARTICLE EIGHTEEN-B OF THE GENERAL MUNICIPAL
LAW OR AN INDUSTRIAL DEVELOPMENT ZONE DESIGNATION PURSUANT TO ARTICLE
EIGHTEEN-A OF THE GENERAL MUNICIPAL LAW AND THE RECIPIENT FAILS TO
CREATE OR RETAIN THE REQUISITE NUMBER OF JOBS FOR THE REQUISITE TIME
PERIOD, AS PROVIDED IN THE DEVELOPMENT ASSISTANCE AGREEMENT, THE RECIPI-
ENT SHALL BE REQUIRED TO REPAY TO THE STATE A PRO RATA AMOUNT OF THE
GRANT; THAT AMOUNT SHALL REFLECT THE PERCENTAGE OF THE DEFICIENCY
S. 3449--A 6
BETWEEN THE REQUISITE NUMBER OF JOBS TO BE CREATED OR RETAINED BY THE
RECIPIENT AND THE ACTUAL NUMBER OF SUCH JOBS IN EXISTENCE AS OF THE DATE
THE DEPARTMENT DETERMINES THE RECIPIENT IS IN BREACH OF THE JOB CREATION
OR RETENTION COVENANTS CONTAINED IN THE DEVELOPMENT ASSISTANCE AGREE-
MENT. IF THE RECIPIENT OF DEVELOPMENT ASSISTANCE UNDER SUCH DESIGNATIONS
CEASES OPERATIONS AT THE SPECIFIC PROJECT SITE DURING A FIVE YEAR PERIOD
COMMENCING ON THE DATE OF ASSISTANCE, THE RECIPIENT SHALL BE REQUIRED TO
REPAY THE ENTIRE AMOUNT OF THE GRANT OR TO ACCELERATE REPAYMENT OF THE
LOAN BACK TO THE STATE.
(5) IF THE RECIPIENT RECEIVES A TAX CREDIT UNDER ARTICLE EIGHTEEN-A OR
EIGHTEEN-B OF THE GENERAL MUNICIPAL LAW, THE DEVELOPMENT ASSISTANCE
AGREEMENT SHALL PROVIDE THAT (I) IF THE NUMBER OF NEW OR RETAINED
EMPLOYEES FALLS BELOW THE REQUISITE NUMBER SET FORTH IN THE DEVELOPMENT
ASSISTANCE AGREEMENT, THE ALLOWANCE OF THE CREDIT SHALL BE AUTOMATICALLY
SUSPENDED UNTIL THE NUMBER OF NEW AND RETAINED EMPLOYEES EQUALS OR
EXCEEDS THE REQUISITE NUMBER IN THE DEVELOPMENT ASSISTANCE AGREEMENT;
(II) IF THE RECIPIENT DISCONTINUES OPERATIONS AT THE SPECIFIC PROJECT
SITE DURING THE FIRST FIVE YEARS OF THE TERM OF THE DEVELOPMENT ASSIST-
ANCE AGREEMENT, THE RECIPIENT SHALL FORFEIT ALL CREDITS TAKEN BY THE
RECIPIENT DURING SUCH FIVE YEAR PERIOD; AND (III) IN THE EVENT OF A
REVOCATION OR SUSPENSION OF THE CREDIT, THE DEPARTMENT SHALL INITIATE
PROCEEDINGS AGAINST THE RECIPIENT TO RECOVER WRONGFULLY EXEMPTED STATE
INCOME TAXES AND THE RECIPIENT SHALL PROMPTLY REPAY TO THE DEPARTMENT
ANY WRONGFULLY EXEMPTED STATE INCOME TAXES. THE FORFEITED AMOUNT OF
CREDITS SHALL BE DEEMED ASSESSED ON THE DATE THE DEPARTMENT INITIATES
PROCEEDINGS AGAINST SUCH RECIPIENT AND THE RECIPIENT SHALL PROMPTLY
REPAY TO THE DEPARTMENT ANY WRONGFULLY EXEMPTED STATE INCOME TAXES.
(B) THE COMMISSIONER OF TAXATION AND FINANCE MAY ELECT TO WAIVE
ENFORCEMENT OF ANY CONTRACTUAL PROVISION ARISING OUT OF THE DEVELOPMENT
ASSISTANCE AGREEMENT REQUIRED BY THIS ARTICLE BASED ON A FINDING THAT
THE WAIVER IS NECESSARY TO AVERT AN IMMINENT AND DEMONSTRABLE HARDSHIP
TO THE RECIPIENT THAT MAY RESULT IN SUCH RECIPIENT'S INSOLVENCY OR
DISCHARGE OF WORKERS. IF A WAIVER IS GRANTED, THE RECIPIENT SHALL AGREE
TO A CONTRACTUAL MODIFICATION, INCLUDING RECAPTURE PROVISIONS, TO THE
DEVELOPMENT ASSISTANCE AGREEMENT. THE EXISTENCE OF ANY WAIVER GRANTED
PURSUANT TO PARAGRAPH (C) OF THIS SECTION, THE DATE OF THE GRANTING OF
SUCH WAIVER, AND A BRIEF SUMMARY OF THE REASONS SUPPORTING THE GRANTING
OF SUCH WAIVER SHALL BE DISCLOSED CONSISTENT WITH THE PROVISIONS OF THIS
SECTION.
(C) BEGINNING JUNE FIRST, TWO THOUSAND FIFTEEN, THE DEPARTMENT SHALL
ANNUALLY COMPILE A REPORT ON THE OUTCOMES AND EFFECTIVENESS OF RECAPTURE
PROVISIONS BY PROGRAM, INCLUDING BUT NOT LIMITED TO: (I) THE TOTAL
NUMBER OF COMPANIES THAT RECEIVE DEVELOPMENT ASSISTANCE AS DEFINED IN
THIS ARTICLE; (II) THE TOTAL NUMBER OF RECIPIENTS IN VIOLATION OF DEVEL-
OPMENT AGREEMENTS WITH THE DEPARTMENT; (III) THE TOTAL NUMBER OF
COMPLETED RECAPTURE EFFORTS; (IV) THE TOTAL NUMBER OF RECAPTURE EFFORTS
INITIATED; AND (V) THE NUMBER OF WAIVERS GRANTED. SUCH REPORT SHALL BE
DISCLOSED CONSISTENT WITH THE PROVISIONS OF SECTION FOURTEEN HUNDRED
FOUR OF THIS ARTICLE.
S 3. The public authorities law is amended by adding a new article
10-E to read as follows:
ARTICLE 10-E
CORPORATE ACCOUNTABILITY FOR TAX EXPENDITURES
SECTION 3980. DEFINITIONS.
3981. UNIFIED ECONOMIC DEVELOPMENT BUDGET.
S. 3449--A 7
3982. STANDARDIZED APPLICATIONS FOR STATE DEVELOPMENT ASSIST-
ANCE.
3983. STATE DEVELOPMENT ASSISTANCE DISCLOSURE.
3984. RECAPTURE.
S 3980. DEFINITIONS. AS USED IN THIS ARTICLE:
1. "BASE YEARS" MEANS THE FIRST TWO COMPLETE CALENDAR YEARS FOLLOWING
THE EFFECTIVE DATE OF A RECIPIENT RECEIVING DEVELOPMENT ASSISTANCE.
2. "DATE OF ASSISTANCE" MEANS THE COMMENCEMENT DATE OF THE ASSISTANCE
AGREEMENT, WHICH DATE TRIGGERS THE PERIOD DURING WHICH THE RECIPIENT IS
OBLIGATED TO CREATE OR RETAIN JOBS AND CONTINUE OPERATIONS AT THE
SPECIFIC PROJECT SITE.
3. "DEFAULT" MEANS THAT A RECIPIENT HAS NOT ACHIEVED ITS JOB CREATION,
JOB RETENTION, OR WAGE OR BENEFIT GOALS, AS APPLICABLE, DURING THE
PRESCRIBED PERIOD THEREFOR.
4. "DEPARTMENT" MEANS, UNLESS OTHERWISE NOTED, THE DEPARTMENT OF TAXA-
TION AND FINANCE OR ANY SUCCESSOR AGENCY.
5. "DEVELOPMENT ASSISTANCE" MEANS (A) TAX CREDITS AND TAX EXEMPTIONS
(OTHER THAN GIVEN UNDER TAX INCREMENT FINANCING) GIVEN AS AN INCENTIVE
TO A RECIPIENT PUBLIC AUTHORITY PURSUANT TO AN INITIAL CERTIFICATION OR
AN INITIAL DESIGNATION MADE BY THE DEPARTMENT UNDER ARTICLE EIGHTEEN-A
OR EIGHTEEN-B OF THE GENERAL MUNICIPAL LAW;
(B) ALL SUCCESSOR AND SUBSEQUENT PROGRAMS AND TAX CREDITS DESIGNED TO
PROMOTE LARGE BUSINESS RELOCATIONS AND EXPANSIONS. "DEVELOPMENT ASSIST-
ANCE" DOES NOT INCLUDE TAX INCREMENT FINANCING, ASSISTANCE PROVIDED
UNDER ARTICLE EIGHTEEN-A OR EIGHTEEN-B OF THE GENERAL MUNICIPAL LAW
PURSUANT TO LOCAL ORDINANCE, PARTICIPATION LOANS, OR FINANCIAL TRANS-
ACTIONS THROUGH STATUTORILY AUTHORIZED FINANCIAL INTERMEDIARIES IN
SUPPORT OF SMALL BUSINESS LOANS AND INVESTMENTS OR GIVEN IN CONNECTION
WITH THE DEVELOPMENT OF AFFORDABLE HOUSING.
6. "DEVELOPMENT ASSISTANCE AGREEMENT" MEANS ANY AGREEMENT EXECUTED BY
THE STATE GRANTING BODY AND THE RECIPIENT SETTING FORTH THE TERMS AND
CONDITIONS OF DEVELOPMENT ASSISTANCE TO BE PROVIDED TO THE RECIPIENT
CONSISTENT WITH THE FINAL APPLICATION FOR DEVELOPMENT ASSISTANCE,
INCLUDING BUT NOT LIMITED TO THE DATE OF ASSISTANCE, SUBMITTED TO AND
APPROVED BY THE STATE GRANTING BODY.
7. "FULL-TIME, PERMANENT JOB" MEANS A JOB IN WHICH THE NEW EMPLOYEE
WORKS FOR THE RECIPIENT AT A RATE OF AT LEAST THIRTY-FIVE HOURS PER
WEEK.
8. "NEW EMPLOYEE" MEANS A FULL-TIME, PERMANENT EMPLOYEE WHO REPRES-
ENTS A NET INCREASE IN THE NUMBER OF THE RECIPIENT'S EMPLOYEES STATE-
WIDE. "NEW EMPLOYEE" INCLUDES AN EMPLOYEE WHO PREVIOUSLY FILLED A NEW
EMPLOYEE POSITION WITH THE RECIPIENT WHO WAS REHIRED OR CALLED BACK FROM
A LAYOFF THAT OCCURS DURING OR FOLLOWING THE BASE YEARS.
THE TERM "NEW EMPLOYEE" DOES NOT INCLUDE ANY OF THE FOLLOWING:
(A) AN EMPLOYEE OF THE RECIPIENT WHO PERFORMS A JOB THAT WAS PREVIOUS-
LY PERFORMED BY ANOTHER EMPLOYEE IN THIS STATE, IF THAT JOB EXISTED IN
THIS STATE FOR AT LEAST SIX MONTHS BEFORE HIRING THE EMPLOYEE.
(B) A CHILD, GRANDCHILD, PARENT, OR SPOUSE, OTHER THAN A SPOUSE WHO IS
LEGALLY SEPARATED FROM THE INDIVIDUAL, OF ANY INDIVIDUAL WHO HAS A
DIRECT OR INDIRECT OWNERSHIP INTEREST OF AT LEAST FIVE PERCENT IN THE
PROFITS, CAPITAL, OR VALUE OF ANY MEMBER OF THE RECIPIENT.
9. "PART-TIME JOB" MEANS A JOB IN WHICH THE NEW EMPLOYEE WORKS FOR THE
RECIPIENT AT A RATE OF LESS THAN THIRTY-FIVE HOURS PER WEEK.
10. "RECIPIENT" MEANS ANY PUBLIC AUTHORITY CREATED PURSUANT TO THIS
CHAPTER THAT RECEIVES ECONOMIC DEVELOPMENT ASSISTANCE OR OTHER LEGALLY
RECOGNIZED ENTITY OF SUCH A PUBLIC AUTHORITY.
S. 3449--A 8
11. "RETAINED EMPLOYEE" MEANS ANY EMPLOYEE DEFINED AS HAVING A
FULL-TIME OR FULL-TIME EQUIVALENT JOB PRESERVED AT A SPECIFIC FACILITY
OR SITE, THE CONTINUANCE OF WHICH IS THREATENED BY A SPECIFIC AND DEMON-
STRABLE THREAT, WHICH SHALL BE SPECIFIED IN THE APPLICATION FOR DEVELOP-
MENT ASSISTANCE.
12. "SPECIFIC PROJECT SITE" MEANS THAT DISTINCT OPERATIONAL UNIT TO
WHICH ANY DEVELOPMENT ASSISTANCE IS APPLIED.
13. "STATE GRANTING BODY" MEANS THE DEPARTMENT, ANY OTHER STATE
DEPARTMENT OR STATE AGENCY THAT PROVIDES DEVELOPMENT ASSISTANCE THAT HAS
REPORTING REQUIREMENTS UNDER THIS ARTICLE, AND ANY SUCCESSOR AGENCIES TO
ANY OF THE PRECEDING.
14. "TEMPORARY JOB" MEANS A JOB IN WHICH THE NEW EMPLOYEE IS HIRED FOR
A SPECIFIC DURATION OF TIME OR SEASON.
15. "VALUE OF ASSISTANCE" MEANS THE FACE VALUE OF ANY FORM OF DEVELOP-
MENT ASSISTANCE.
S 3981. UNIFIED ECONOMIC DEVELOPMENT BUDGET. 1. FOR EACH STATE FISCAL
YEAR ENDING ON OR AFTER JUNE THIRTIETH, TWO THOUSAND FIFTEEN, THE
DEPARTMENT SHALL SUBMIT AN ANNUAL UNIFIED ECONOMIC DEVELOPMENT BUDGET TO
THE GOVERNOR, SENATE AND ASSEMBLY. THE UNIFIED ECONOMIC DEVELOPMENT
BUDGET SHALL BE DUE WITHIN THREE MONTHS AFTER THE END OF THE FISCAL
YEAR, AND SHALL PRESENT ALL TYPES OF DEVELOPMENT ASSISTANCE GRANTED
DURING THE PRIOR FISCAL YEAR, INCLUDING:
(A) THE AGGREGATE AMOUNT OF UNCOLLECTED OR DIVERTED STATE TAX REVENUES
RESULTING FROM EACH TYPE OF DEVELOPMENT ASSISTANCE PROVIDED PURSUANT TO
LAW, AS REPORTED TO THE DEPARTMENT ON TAX RETURNS FILED DURING THE
FISCAL YEAR.
(B) ALL STATE DEVELOPMENT ASSISTANCE.
2. ALL DATA CONTAINED IN THE UNIFIED ECONOMIC DEVELOPMENT BUDGET
PRESENTED TO THE GOVERNOR, SENATE AND ASSEMBLY SHALL BE FULLY SUBJECT TO
THE FREEDOM OF INFORMATION ACT.
3. THE DEPARTMENT SHALL SUBMIT A REPORT OF THE AMOUNTS IN PARAGRAPH
(A) OF SUBDIVISION ONE OF THIS SECTION TO THE DEPARTMENT, WHICH MAY
APPEND SUCH REPORT TO THE UNIFIED ECONOMIC DEVELOPMENT BUDGET RATHER
THAN SEPARATELY REPORTING SUCH AMOUNTS.
S 3982. STANDARDIZED APPLICATIONS FOR STATE DEVELOPMENT ASSISTANCE.
1. ALL FINAL APPLICATIONS SUBMITTED TO THE DEPARTMENT OR ANY OTHER STATE
GRANTING BODY REQUESTING DEVELOPMENT ASSISTANCE SHALL CONTAIN, AT A
MINIMUM:
(A) AN APPLICATION TRACKING NUMBER THAT IS SPECIFIC TO BOTH THE STATE
GRANTING AGENCY AND TO EACH APPLICATION.
(B) THE OFFICE MAILING ADDRESS, OFFICE TELEPHONE NUMBER, AND CHIEF
OFFICER OF THE GRANTING BODY.
(C) THE OFFICE MAILING ADDRESS, TELEPHONE NUMBER, AND THE NAME OF THE
CHIEF OFFICER OF THE APPLICANT OR AUTHORIZED DESIGNEE FOR THE SPECIFIC
PROJECT SITE FOR WHICH DEVELOPMENT ASSISTANCE IS REQUESTED.
(D) THE APPLICANT'S TOTAL NUMBER OF EMPLOYEES AT THE SPECIFIC PROJECT
SITE ON THE DATE THAT THE APPLICATION IS SUBMITTED TO THE STATE GRANTING
BODY, INCLUDING THE NUMBER OF FULL-TIME, PERMANENT JOBS, THE NUMBER OF
PART-TIME JOBS, AND THE NUMBER OF TEMPORARY JOBS.
(E) THE TYPE OF DEVELOPMENT ASSISTANCE AND VALUE OF ASSISTANCE BEING
REQUESTED.
(F) THE NUMBER OF JOBS TO BE CREATED AND RETAINED OR BOTH CREATED AND
RETAINED BY THE APPLICANT AS A RESULT OF THE DEVELOPMENT ASSISTANCE,
INCLUDING THE NUMBER OF FULL-TIME, PERMANENT JOBS, THE NUMBER OF
PART-TIME JOBS, AND THE NUMBER OF TEMPORARY JOBS.
S. 3449--A 9
(G) A DETAILED LIST OF THE OCCUPATION OR JOB CLASSIFICATIONS AND
NUMBER OF NEW EMPLOYEES OR RETAINED EMPLOYEES TO BE HIRED IN FULL-TIME,
PERMANENT JOBS, A SCHEDULE OF ANTICIPATED STARTING DATES OF THE NEW
HIRES AND THE ANTICIPATED AVERAGE WAGE BY OCCUPATION OR JOB CLASSIFICA-
TION AND TOTAL PAYROLL TO BE CREATED AS A RESULT OF THE DEVELOPMENT
ASSISTANCE.
(H) A LIST OF ALL OTHER FORMS OF DEVELOPMENT ASSISTANCE THAT THE
APPLICANT IS REQUESTING FOR THE SPECIFIC PROJECT SITE AND THE NAME OF
EACH STATE GRANTING BODY FROM WHICH THAT DEVELOPMENT ASSISTANCE IS BEING
REQUESTED.
(I) A NARRATIVE, IF NECESSARY, DESCRIBING WHY THE DEVELOPMENT ASSIST-
ANCE IS NEEDED AND HOW THE APPLICANT'S USE OF THE DEVELOPMENT ASSISTANCE
MAY REDUCE EMPLOYMENT AT ANY SITE IN NEW YORK.
(J) A CERTIFICATION BY THE CHIEF OFFICER OF THE APPLICANT OR HIS OR
HER AUTHORIZED DESIGNEE THAT THE INFORMATION CONTAINED IN THE APPLICA-
TION SUBMITTED TO THE GRANTING BODY CONTAINS NO KNOWING MISREPRESEN-
TATION OF MATERIAL FACTS UPON WHICH ELIGIBILITY FOR DEVELOPMENT ASSIST-
ANCE IS BASED.
2. EVERY STATE GRANTING BODY EITHER SHALL COMPLETE, OR SHALL REQUIRE
THE APPLICANT TO COMPLETE, AN APPLICATION FORM THAT MEETS THE MINIMUM
REQUIREMENTS AS PRESCRIBED IN THIS SECTION EACH TIME AN APPLICANT
APPLIES FOR DEVELOPMENT ASSISTANCE COVERED BY THIS ARTICLE.
3. THE DEPARTMENT SHALL HAVE THE DISCRETION TO MODIFY ANY STANDARDIZED
APPLICATION FOR STATE DEVELOPMENT ASSISTANCE REQUIRED UNDER SUBDIVISION
ONE OF THIS SECTION FOR ANY GRANTS THAT ARE NOT GIVEN AS AN INCENTIVE TO
A RECIPIENT PUBLIC AUTHORITY.
S 3983. STATE DEVELOPMENT ASSISTANCE DISCLOSURE. 1. BEGINNING FEBRU-
ARY FIRST, TWO THOUSAND SIXTEEN AND EACH YEAR THEREAFTER, EVERY STATE
GRANTING BODY SHALL SUBMIT TO THE DEPARTMENT COPIES OF ALL DEVELOPMENT
ASSISTANCE AGREEMENTS THAT IT APPROVED IN THE PRIOR CALENDAR YEAR.
2. FOR EACH DEVELOPMENT ASSISTANCE AGREEMENT FOR WHICH THE DATE OF
ASSISTANCE HAS OCCURRED IN THE PRIOR CALENDAR YEAR, EACH RECIPIENT SHALL
SUBMIT TO THE DEPARTMENT A PROGRESS REPORT THAT SHALL INCLUDE, BUT NOT
BE LIMITED TO, THE FOLLOWING:
(A) THE APPLICATION TRACKING NUMBER.
(B) THE OFFICE MAILING ADDRESS, TELEPHONE NUMBER, AND THE NAME OF THE
CHIEF OFFICER OF THE GRANTING BODY.
(C) THE OFFICE MAILING ADDRESS, TELEPHONE NUMBER, AND THE NAME OF THE
CHIEF OFFICER OF THE APPLICANT OR AUTHORIZED DESIGNEE FOR THE SPECIFIC
PROJECT SITE FOR WHICH THE DEVELOPMENT ASSISTANCE WAS APPROVED BY THE
STATE GRANTING BODY.
(D) THE TYPE OF DEVELOPMENT ASSISTANCE PROGRAM AND VALUE OF ASSISTANCE
THAT WAS APPROVED BY THE STATE GRANTING BODY.
(E) THE APPLICANT'S TOTAL NUMBER OF EMPLOYEES AT THE SPECIFIC PROJECT
SITE ON THE DATE THAT THE APPLICATION WAS SUBMITTED TO THE STATE GRANT-
ING BODY AND THE APPLICANT'S TOTAL NUMBER OF EMPLOYEES AT THE SPECIFIC
PROJECT SITE ON THE DATE OF THE REPORT, INCLUDING THE NUMBER OF
FULL-TIME, PERMANENT JOBS, THE NUMBER OF PART-TIME JOBS, AND THE NUMBER
OF TEMPORARY JOBS, AND A COMPUTATION OF THE GAIN OR LOSS OF JOBS IN EACH
CATEGORY.
(F) THE NUMBER OF NEW EMPLOYEES AND RETAINED EMPLOYEES THE APPLICANT
STATED IN ITS DEVELOPMENT ASSISTANCE AGREEMENT, IF ANY, IF NOT, THEN IN
ITS APPLICATION, WOULD BE CREATED BY THE DEVELOPMENT ASSISTANCE BROKEN
DOWN BY FULL-TIME, PERMANENT, PART-TIME, AND TEMPORARY.
(G) A SWORN DECLARATION OF WHETHER THE RECIPIENT IS IN COMPLIANCE WITH
THE DEVELOPMENT ASSISTANCE AGREEMENT.
S. 3449--A 10
(H) A DETAILED LIST OF THE OCCUPATION OR JOB CLASSIFICATIONS AND
NUMBER OF NEW EMPLOYEES OR RETAINED EMPLOYEES TO BE HIRED IN FULL-TIME,
PERMANENT JOBS, A SCHEDULE OF ANTICIPATED STARTING DATES OF THE NEW
HIRES AND THE ACTUAL AVERAGE WAGE BY OCCUPATION OR JOB CLASSIFICATION
AND TOTAL PAYROLL TO BE CREATED AS A RESULT OF THE DEVELOPMENT ASSIST-
ANCE.
(I) A NARRATIVE, IF NECESSARY, DESCRIBING HOW THE RECIPIENT'S USE OF
THE DEVELOPMENT ASSISTANCE DURING THE REPORTING YEAR HAS REDUCED EMPLOY-
MENT AT ANY SITE IN NEW YORK.
(J) A CERTIFICATION BY THE CHIEF OFFICER OF THE APPLICANT OR HIS OR
HER AUTHORIZED DESIGNEE THAT THE INFORMATION IN THE PROGRESS REPORT
CONTAINS NO KNOWING MISREPRESENTATION OF MATERIAL FACTS UPON WHICH
ELIGIBILITY FOR DEVELOPMENT ASSISTANCE IS BASED.
3. THE STATE GRANTING BODY, OR A SUCCESSOR AGENCY, SHALL HAVE FULL
AUTHORITY TO VERIFY INFORMATION CONTAINED IN THE RECIPIENT'S PROGRESS
REPORT, INCLUDING THE AUTHORITY TO INSPECT THE SPECIFIC PROJECT SITE AND
INSPECT THE RECORDS OF THE RECIPIENT THAT ARE SUBJECT TO THE DEVELOPMENT
ASSISTANCE AGREEMENT.
4. BY JUNE FIRST, TWO THOUSAND SIXTEEN AND BY JUNE FIRST OF EACH YEAR
THEREAFTER, THE DEPARTMENT SHALL COMPILE AND PUBLISH ALL DATA IN ALL OF
THE PROGRESS REPORTS IN BOTH WRITTEN AND ELECTRONIC FORM.
5. IF A RECIPIENT OF DEVELOPMENT ASSISTANCE FAILS TO COMPLY WITH
SUBDIVISION TWO OF THIS SECTION, THE DEPARTMENT SHALL, WITHIN TWENTY
WORKING DAYS AFTER THE REPORTING SUBMITTAL DEADLINES SET FORTH IN SUCH
SUBDIVISION TWO, SUSPEND WITHIN THIRTY-THREE WORKING DAYS ANY CURRENT
DEVELOPMENT ASSISTANCE TO SUCH RECIPIENT UNDER ITS CONTROL, AND SHALL BE
PROHIBITED FROM COMPLETING ANY CURRENT OR PROVIDING ANY FUTURE DEVELOP-
MENT ASSISTANCE UNTIL IT RECEIVES PROOF THAT SUCH RECIPIENT HAS COME
INTO COMPLIANCE WITH THE REQUIREMENTS OF SUBDIVISION TWO OF THIS
SECTION.
6. THE DEPARTMENT SHALL HAVE THE DISCRETION TO MODIFY THE INFORMATION
REQUIRED IN THE PROGRESS REPORT REQUIRED UNDER SUBDIVISION TWO OF THIS
SECTION CONSISTENT WITH THE DISCLOSURE PURPOSE OF THIS SECTION FOR ANY
GRANTS THAT ARE NOT GIVEN AS AN INCENTIVE TO A RECIPIENT PUBLIC AUTHORI-
TY.
S 3984. RECAPTURE. 1. ALL DEVELOPMENT ASSISTANCE AGREEMENTS SHALL
CONTAIN, AT A MINIMUM, THE FOLLOWING RECAPTURE PROVISIONS:
(A) THE RECIPIENT MUST (I) MAKE THE LEVEL OF CAPITAL INVESTMENT IN THE
ECONOMIC DEVELOPMENT PROJECT SPECIFIED IN THE DEVELOPMENT ASSISTANCE
AGREEMENT; (II) CREATE OR RETAIN, OR BOTH, THE REQUISITE NUMBER OF JOBS,
PAYING NOT LESS THAN SPECIFIED WAGES FOR THE CREATED AND RETAINED JOBS,
WITHIN AND FOR THE DURATION OF THE TIME PERIOD SPECIFIED IN THE DEVELOP-
MENT ASSISTANCE PROGRAMS AND THE DEVELOPMENT ASSISTANCE AGREEMENT.
(B) IF THE RECIPIENT FAILS TO CREATE OR RETAIN THE REQUISITE NUMBER OF
JOBS WITHIN AND FOR THE TIME PERIOD SPECIFIED, IN THE DEVELOPMENT
ASSISTANCE PROGRAMS AND THE DEVELOPMENT ASSISTANCE AGREEMENT, THE RECIP-
IENT SHALL BE DEEMED TO NO LONGER QUALIFY FOR THE STATE ECONOMIC ASSIST-
ANCE AND THE APPLICABLE RECAPTURE PROVISIONS SHALL TAKE EFFECT.
(C) IF THE RECIPIENT RECEIVES STATE ECONOMIC ASSISTANCE IN THE FORM OF
AN EMPIRE ZONE DESIGNATION PURSUANT TO ARTICLE EIGHTEEN-B OF THE GENERAL
MUNICIPAL LAW OR AN INDUSTRIAL DEVELOPMENT ZONE DESIGNATION PURSUANT TO
ARTICLE EIGHTEEN-A OF THE GENERAL MUNICIPAL LAW AND THE RECIPIENT FAILS
TO CREATE OR RETAIN THE REQUISITE NUMBER OF JOBS, AS DETERMINED BY THE
DEVELOPMENT ASSISTANCE AGREEMENT WITHIN THE REQUISITE PERIOD OF TIME,
THE RECIPIENT SHALL BE REQUIRED TO PAY TO THE STATE THE FULL AMOUNT OF
S. 3449--A 11
THE STATE TAX EXEMPTION THAT IT RECEIVED AS A RESULT OF SUCH DESIG-
NATION.
(D) IF THE RECIPIENT RECEIVES A GRANT OR LOAN PURSUANT TO AN EMPIRE
ZONE DESIGNATION PURSUANT TO ARTICLE EIGHTEEN-B OF THE GENERAL MUNICIPAL
LAW OR AN INDUSTRIAL DEVELOPMENT ZONE DESIGNATION PURSUANT TO ARTICLE
EIGHTEEN-A OF THE GENERAL MUNICIPAL LAW AND THE RECIPIENT FAILS TO
CREATE OR RETAIN THE REQUISITE NUMBER OF JOBS FOR THE REQUISITE TIME
PERIOD, AS PROVIDED IN THE DEVELOPMENT ASSISTANCE AGREEMENT, THE RECIPI-
ENT SHALL BE REQUIRED TO REPAY TO THE STATE A PRO RATA AMOUNT OF THE
GRANT; THAT AMOUNT SHALL REFLECT THE PERCENTAGE OF THE DEFICIENCY
BETWEEN THE REQUISITE NUMBER OF JOBS TO BE CREATED OR RETAINED BY THE
RECIPIENT AND THE ACTUAL NUMBER OF SUCH JOBS IN EXISTENCE AS OF THE DATE
THE DEPARTMENT DETERMINES THE RECIPIENT IS IN BREACH OF THE JOB CREATION
OR RETENTION COVENANTS CONTAINED IN THE DEVELOPMENT ASSISTANCE AGREE-
MENT. IF THE RECIPIENT OF DEVELOPMENT ASSISTANCE UNDER SUCH DESIGNATIONS
CEASES OPERATIONS AT THE SPECIFIC PROJECT SITE DURING A FIVE YEAR PERIOD
COMMENCING ON THE DATE OF ASSISTANCE, THE RECIPIENT SHALL BE REQUIRED TO
REPAY THE ENTIRE AMOUNT OF THE GRANT OR TO ACCELERATE REPAYMENT OF THE
LOAN BACK TO THE STATE.
(E) IF THE RECIPIENT RECEIVES A TAX CREDIT UNDER ARTICLE EIGHTEEN-A OR
EIGHTEEN-B OF THE GENERAL MUNICIPAL LAW, THE DEVELOPMENT ASSISTANCE
AGREEMENT SHALL PROVIDE THAT (I) IF THE NUMBER OF NEW OR RETAINED
EMPLOYEES FALLS BELOW THE REQUISITE NUMBER SET FORTH IN THE DEVELOPMENT
ASSISTANCE AGREEMENT, THE ALLOWANCE OF THE CREDIT SHALL BE AUTOMATICALLY
SUSPENDED UNTIL THE NUMBER OF NEW AND RETAINED EMPLOYEES EQUALS OR
EXCEEDS THE REQUISITE NUMBER IN THE DEVELOPMENT ASSISTANCE AGREEMENT;
(II) IF THE RECIPIENT DISCONTINUES OPERATIONS AT THE SPECIFIC PROJECT
SITE DURING THE FIRST FIVE YEARS OF THE TERM OF THE DEVELOPMENT ASSIST-
ANCE AGREEMENT, THE RECIPIENT SHALL FORFEIT ALL CREDITS TAKEN BY THE
RECIPIENT DURING SUCH FIVE YEAR PERIOD; AND (III) IN THE EVENT OF A
REVOCATION OR SUSPENSION OF THE CREDIT, THE DEPARTMENT SHALL INITIATE
PROCEEDINGS AGAINST THE RECIPIENT TO RECOVER WRONGFULLY EXEMPTED STATE
INCOME TAXES AND THE RECIPIENT SHALL PROMPTLY REPAY TO THE DEPARTMENT
ANY WRONGFULLY EXEMPTED STATE INCOME TAXES. THE FORFEITED AMOUNT OF
CREDITS SHALL BE DEEMED ASSESSED ON THE DATE THE DEPARTMENT INITIATES
PROCEEDINGS AGAINST SUCH RECIPIENT AND THE RECIPIENT SHALL PROMPTLY
REPAY TO THE DEPARTMENT ANY WRONGFULLY EXEMPTED STATE INCOME TAXES.
2. THE COMMISSIONER OF TAXATION AND FINANCE MAY ELECT TO WAIVE
ENFORCEMENT OF ANY CONTRACTUAL PROVISION ARISING OUT OF THE DEVELOPMENT
ASSISTANCE AGREEMENT REQUIRED BY THIS ARTICLE BASED ON A FINDING THAT
THE WAIVER IS NECESSARY TO AVERT AN IMMINENT AND DEMONSTRABLE HARDSHIP
TO THE RECIPIENT THAT MAY RESULT IN SUCH RECIPIENT'S INSOLVENCY OR
DISCHARGE OF WORKERS. IF A WAIVER IS GRANTED, THE RECIPIENT SHALL AGREE
TO A CONTRACTUAL MODIFICATION, INCLUDING RECAPTURE PROVISIONS, TO THE
DEVELOPMENT ASSISTANCE AGREEMENT. THE EXISTENCE OF ANY WAIVER GRANTED
PURSUANT TO SUBDIVISION THREE OF THIS SECTION, THE DATE OF THE GRANTING
OF SUCH WAIVER, AND A BRIEF SUMMARY OF THE REASONS SUPPORTING THE GRANT-
ING OF SUCH WAIVER SHALL BE DISCLOSED CONSISTENT WITH THE PROVISIONS OF
THIS SECTION.
3. BEGINNING JUNE FIRST, TWO THOUSAND FIFTEEN, THE DEPARTMENT SHALL
ANNUALLY COMPILE A REPORT ON THE OUTCOMES AND EFFECTIVENESS OF RECAPTURE
PROVISIONS BY PROGRAM, INCLUDING BUT NOT LIMITED TO: (A) THE TOTAL
NUMBER OF AUTHORITIES THAT RECEIVE DEVELOPMENT ASSISTANCE AS DEFINED IN
THIS ARTICLE; (B) THE TOTAL NUMBER OF RECIPIENTS IN VIOLATION OF DEVEL-
OPMENT AGREEMENTS WITH THE DEPARTMENT; (C) THE TOTAL NUMBER OF COMPLETED
RECAPTURE EFFORTS; (D) THE TOTAL NUMBER OF RECAPTURE EFFORTS INITIATED;
S. 3449--A 12
AND (E) THE NUMBER OF WAIVERS GRANTED. SUCH REPORT SHALL BE DISCLOSED
CONSISTENT WITH THE PROVISIONS OF SECTION THIRTY-NINE HUNDRED
EIGHTY-THREE OF THIS ARTICLE.
S 4. This act shall take effect on the one hundred twentieth day after
it shall have become a law and shall apply to contracts and agreements
entered into on or after such effective date. Effective immediately,
the addition, amendment and/or repeal of any rule or regulation neces-
sary for the implementation of this act on its effective date is author-
ized to be made on or before such effective date.