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

                                  73--A

                       2015-2016 Regular Sessions

                            I N  S E N A T E

                               (PREFILED)

                             January 7, 2015
                               ___________

Introduced by Sens. GALLIVAN, PANEPINTO -- read twice and ordered print-
  ed,  and  when  printed  to be committed to the Committee on Commerce,
  Economic Development and Small Business -- recommitted to the  Commit-
  tee on Commerce, Economic Development and Small Business in accordance
  with  Senate  Rule  6,  sec.  8 -- committee discharged, bill amended,
  ordered reprinted as amended and recommitted to said committee

AN ACT to amend the economic development law, in relation to  establish-
  ing  an  economic  gardening  pilot  program  within the department of
  economic development

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

  Section  1.  The  economic  development law is amended by adding a new
article 23 to read as follows:
                               ARTICLE 23
                             GROWNY PROGRAM
SECTION 450. GROWNY PILOT PROGRAM.
  S 450. GROWNY PILOT PROGRAM. 1. (A) THERE IS HEREBY CREATED WITHIN THE
DEPARTMENT THE GROWNY PILOT PROGRAM. THE PURPOSE OF THE PILOT PROGRAM IS
TO STIMULATE INVESTMENT IN THE  STATE  ECONOMY  BY  PROVIDING  TECHNICAL
ASSISTANCE FOR EXPANDING BUSINESSES IN THE STATE.
  (B) THE DEPARTMENT IS AUTHORIZED AND DIRECTED TO PROMULGATE ALL NECES-
SARY  RULES  AND  REGULATIONS  REQUIRED  TO  IMPLEMENT  THE GROWNY PILOT
PROGRAM.
  2. (A) THE DEPARTMENT SHALL CONTRACT WITH REGIONAL NON-PROFIT ECONOMIC
DEVELOPMENT ENTITIES TO ADMINISTER THE PILOT PROGRAM UNDER THIS SECTION.
THE DEPARTMENT SHALL AWARD COMPETITIVE GRANTS  OF  UP  TO  FIVE  HUNDRED
THOUSAND  DOLLARS A YEAR FOR A PERIOD OF UP TO FIVE YEARS TO EACH ENTITY
THAT DEMONSTRATES THE ABILITY TO IMPLEMENT THE PILOT  PROGRAM  IN  THEIR
REGION,  HAS AN OUTREACH PLAN, AND HAS THE ABILITY TO PROVIDE COUNSELING

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD01154-04-6
              

S. 73--A                            2

SERVICES, ACCESS TO TECHNOLOGY AND INFORMATION, MARKETING  SERVICES  AND
ADVICE, BUSINESS MANAGEMENT SUPPORT, AND OTHER SIMILAR SERVICES.
  (B) CONTRACTS WITH SELECTED ECONOMIC DEVELOPMENT ENTITIES SHALL BE FOR
A  PERIOD OF FIVE YEARS AND SHALL BE REEVALUATED BY THE DEPARTMENT EVERY
TWELVE MONTHS TO ENSURE SUCH ENTITIES CONTINUE  TO  PROVIDE  A  POSITIVE
ECONOMIC  BENEFIT  TO THE COMMUNITY AND CONFORM TO THE PROGRAM CRITERIA.
CONTRACTED ENTITIES SHALL NOT LIMIT SERVICES OFFERED UNDER THIS  PROGRAM
TO  MEMBERS  OF SUCH ENTITY AND SHALL SEEK TO PROVIDE ECONOMIC GARDENING
SERVICES TO EVERY ELIGIBLE BUSINESS  THAT  MEETS  THE  CRITERIA  OF  THE
PROGRAM.
  (C)  CONTRACTED ENTITIES SHALL COORDINATE THEIR EFFORTS WITH THE LOCAL
NEW YORK STATE SMALL BUSINESS DEVELOPMENT CENTER OR OTHER LEAD  ECONOMIC
DEVELOPMENT  ORGANIZATIONS  IN  COUNTIES AND CITIES WITHIN THE REGION OF
THE CONTRACTED ENTITY AND SHALL ESTABLISH A REFERRAL SYSTEM AND LINKAGES
TO EXISTING AREA SMALL BUSINESS ASSISTANCE PROGRAMS AND FINANCING SOURC-
ES.
  3. A CONTRACTED ENTITY ADMINISTERING THE PILOT PROGRAM  SHALL  PROVIDE
TECHNICAL  ASSISTANCE FOR ELIGIBLE BUSINESSES WHICH INCLUDES, BUT IS NOT
LIMITED TO:
  (A) ACCESS TO AFFORDABLE INFORMATION SERVICES AND CONSULTING SERVICES,
INCLUDING INFORMATION ON MARKETS, CUSTOMERS, AND  COMPETITORS,  BUSINESS
DATABASES,  GEOGRAPHIC  INFORMATION  SYSTEMS,  INTERNET AND SOCIAL MEDIA
STRATEGIES, BUSINESS TO BUSINESS REFERRALS, AND SEARCH ENGINE  OPTIMIZA-
TION;
  (B)  DEVELOPMENT  OF  BUSINESS  CONNECTIONS, INCLUDING INTERACTION AND
EXCHANGE  AMONG  BUSINESS  OWNERS  AND  RESOURCE  PROVIDERS,   INCLUDING
COLLEGES  AND  UNIVERSITIES,  TRADE  ASSOCIATIONS, THINK TANKS, ACADEMIC
INSTITUTIONS, BUSINESS  ROUNDTABLES,  FINANCIAL  SERVICE  AND  WORKFORCE
DEVELOPMENT  PROVIDERS,  PEER-TO-PEER  LEARNING  SESSIONS, AND MENTORING
PROGRAMS;
  (C) ASSISTANCE IN DEVELOPING A LISTING OF SHOVEL READY SITES CURRENTLY
AVAILABLE TO THE NEEDS OF THE BUSINESS;
  (D) ASSISTANCE IN UNDERSTANDING STATE LAWS AND REGULATIONS  APPLICABLE
TO SUCH BUSINESS;
  (E)  ANY  OTHER FORM OF CONSULTATION AND TECHNICAL ASSISTANCE THAT MAY
BE PROVIDED TO THE ELIGIBLE BUSINESS TO ASSIST  WITH  ITS  BUSINESS  AND
MARKETING NEEDS.
  4.  (A)  THIS PROGRAM SHALL BE TARGETED AT EMERGING GROWTH BUSINESSES,
KNOWN AS SECOND STAGE COMPANIES. TO BE ELIGIBLE FOR ASSISTANCE UNDER THE
PILOT PROGRAM, A BUSINESS MUST BE A FOR-PROFIT, PRIVATELY HELD  BUSINESS
THAT  EMPLOYS  AT  LEAST  FIVE  PERSONS,  BUT  NOT MORE THAN NINETY-NINE
PERSONS, HAS MAINTAINED ITS PRINCIPAL PLACE OF BUSINESS IN THE STATE FOR
AT LEAST THE PREVIOUS TWO YEARS, AND GENERATES AT  LEAST  SEVEN  HUNDRED
FIFTY  THOUSAND  DOLLARS,  BUT  NOT  MORE THAN FIFTY MILLION DOLLARS, IN
ANNUAL REVENUE. THE  COMMISSIONER  SHALL  HAVE  THE  AUTHORITY  TO  MAKE
EXCEPTIONS TO THESE PROVISIONS AT HIS OR HER SOLE DISCRETION.
  (B)  A CONTRACTED ENTITY ADMINISTERING THE PILOT PROGRAM, IN SELECTING
THE ELIGIBLE BUSINESSES TO RECEIVE ASSISTANCE, SHALL ACTIVELY REACH  OUT
TO  BUSINESSES  IN  MORE  THAN  ONE INDUSTRY CLUSTER AND, TO THE MAXIMUM
EXTENT PRACTICABLE, SHALL  CHOOSE  BUSINESSES  THAT  ARE  GEOGRAPHICALLY
DISTRIBUTED  THROUGHOUT  THE  REGION WITH THE GREATEST POTENTIAL FOR JOB
GROWTH.
  5. (A) A BUSINESS RECEIVING ASSISTANCE UNDER THE  PILOT  PROGRAM  MUST
ENTER  INTO  AN  AGREEMENT  WITH THE CONTRACTED ENTITY ADMINISTERING THE
PROGRAM TO ESTABLISH THE BUSINESS' COMMITMENT TO  PARTICIPATION  IN  THE

S. 73--A                            3

PILOT  PROGRAM.  THE  ARRANGEMENT  MUST  REQUIRE, AT A MINIMUM, THAT THE
BUSINESS:
  (I)  ATTEND  A MINIMUM NUMBER OF MEETINGS BETWEEN THE BUSINESS AND THE
CONTRACTED ENTITY ADMINISTERING THE PILOT PROGRAM. SUCH  MEETINGS  SHALL
BE HELD AT THE CONVENIENCE OF THE BUSINESS;
  (II)  REPORT  INVESTMENT, REVENUE, AND JOB CREATION AND RETENTION DATA
IN THE MANNER PRESCRIBED BY  THE  CONTRACTED  ENTITY  ADMINISTERING  THE
PILOT PROGRAM; AND
  (III)  PROVIDE NON-PROPRIETARY FINANCIAL DATA IN THE MANNER PRESCRIBED
BY THE CONTRACTED ENTITY ADMINISTERING THE PROGRAM.
  (B)  THE  REGIONAL  NON-PROFIT  ECONOMIC  DEVELOPMENT  ENTITY  OR  THE
CONTRACTED  ENTITY  ADMINISTERING  THE  PILOT  PROGRAM  SHALL REPORT THE
INFORMATION TO THE DEPARTMENT ON AN ANNUAL BASIS.
  6. A CONTRACTED ENTITY ADMINISTERING THE PILOT PROGRAM  IS  AUTHORIZED
TO PROMOTE THE GENERAL BUSINESS INTERESTS OR INDUSTRIAL INTERESTS OF THE
STATE.
  7.  THE  DEPARTMENT SHALL REVIEW THE PROGRESS OF THE CONTRACTED ENTITY
ADMINISTERING THE PILOT PROGRAM AT LEAST ONCE EVERY  TWELVE  MONTHS  AND
SHALL DETERMINE WHETHER THE CONTRACTED ENTITY IS MEETING ITS CONTRACTUAL
OBLIGATIONS  FOR  ADMINISTERING  THE  PILOT  PROGRAM. THE DEPARTMENT MAY
TERMINATE AND REBID A CONTRACT IF THE CONTRACTED ENTITY  DOES  NOT  MEET
ITS CONTRACTUAL OBLIGATIONS.
  8.  BY  MARCH THIRTY-FIRST, TWO THOUSAND SEVENTEEN AND ANNUALLY THERE-
AFTER, THE DEPARTMENT SHALL SUBMIT A REPORT TO THE GOVERNOR, THE  TEMPO-
RARY  PRESIDENT OF THE SENATE, THE SPEAKER OF THE ASSEMBLY, THE MINORITY
LEADER OF THE SENATE AND THE  MINORITY  LEADER  OF  THE  ASSEMBLY  WHICH
DESCRIBES IN DETAIL THE PROGRESS OF THE GROWNY PILOT PROGRAM. THE REPORT
SHALL INCLUDE, BUT IS NOT LIMITED TO, THE NUMBER OF BUSINESSES RECEIVING
ASSISTANCE,  THE NUMBER OF FULL-TIME EQUIVALENT JOBS CREATED OR RETAINED
AS A RESULT OF THE ASSISTANCE, IF ANY, AND THE AGGREGATE AMOUNT OF WAGES
PAID TO SUCH EMPLOYEES.
  S 2. This act shall take effect immediately.