S T A T E O F N E W Y O R K
________________________________________________________________________
3385
2015-2016 Regular Sessions
I N S E N A T E
February 6, 2015
___________
Introduced by Sen. RANZENHOFER -- read twice and ordered printed, and
when printed to be committed to the Committee on Finance
AN ACT to amend the executive law, in relation to solicitation used by
or on behalf of any charitable organization
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Subdivisions 2 and 3 of section 174-b of the executive law,
subdivision 2 as amended by chapter 490 of the laws of 2010, subdivision
3 as amended by chapter 43 of the laws of 2002, are amended and a new
subdivision 6 is added to read as follows:
2. Any solicitation used by or on behalf of any charitable organiza-
tion shall [provide] INCLUDE:
(A) a clear description of the programs and activities for which it
has requested and has expended or will expend contributions or shall
include therein a statement that, upon request, a person may obtain from
the organization such a description; AND
(B) A STATEMENT IDENTIFYING THE WEBSITE OF THE NEW YORK STATE OFFICE
OF THE ATTORNEY GENERAL REPORTING TELEMARKETING CAMPAIGNS IN NEW YORK
STATE AND A TELEPHONE NUMBER TO CONTACT THE CHARITIES BUREAU OF THE NEW
YORK STATE OFFICE OF THE ATTORNEY GENERAL TO ANSWER QUESTIONS ABOUT
CHARITIES.
(C) If the solicitation is by an institution subject to article five-A
of the not-for-profit corporation law, and is for an endowment fund, the
solicitation must include a statement that, unless otherwise restricted
by the gift instrument pursuant to paragraph (b) of section five hundred
fifty-three of the not-for-profit corporation law, the institution may
expend so much of an endowment fund as it deems prudent after consider-
ing the factors set forth in paragraph (a) of section five hundred
fifty-three of the not-for-profit corporation law.
3. In addition to any other disclosure required by law, any solicita-
tion by any means by a professional fund raiser or professional solici-
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD05856-01-5
S. 3385 2
tor on behalf of a charitable organization required to be registered
pursuant to this article shall clearly and unambiguously disclose:
(a) the name of the professional fund raiser as on file with the
attorney general and that the solicitation is being conducted by a
professional fund raiser;
(b) the name of the individual professional solicitor as on file with
the attorney general and that the individual is receiving compensation
for conducting the solicitation; AND
(C) A STATEMENT IDENTIFYING THE WEBSITE OF THE OFFICE OF THE ATTORNEY
GENERAL REPORTING TELEMARKETING CAMPAIGNS IN NEW YORK STATE AND A TELE-
PHONE NUMBER TO CONTACT THE CHARITIES BUREAU OF THE OFFICE OF THE ATTOR-
NEY GENERAL TO ANSWER QUESTIONS ABOUT CHARITIES.
6. AN ACTION FOR A VIOLATION OF SUBDIVISION TWO OR THREE OF THIS
SECTION MAY BE PROSECUTED BY THE ATTORNEY GENERAL, OR HIS OR HER DEPUTY,
IN THE NAME OF THE PEOPLE OF THE STATE, AND IN ANY SUCH ACTION, THE
ATTORNEY GENERAL OR HIS OR HER DEPUTY, SHALL EXERCISE ALL THE POWERS AND
PERFORM ALL DUTIES WHICH THE DISTRICT ATTORNEY WOULD OTHERWISE BE
AUTHORIZED TO EXERCISE OR TO PERFORM THEREIN PURSUANT TO SECTION ONE
HUNDRED SEVENTY-FIVE OF THIS ARTICLE. ANY CHARITABLE ORGANIZATION,
PROFESSIONAL FUND RAISER OR PROFESSIONAL SOLICITOR FOUND TO BE IN
VIOLATION OF SUBDIVISION TWO OR THREE OF THIS SECTION SHALL BE FINED ONE
THOUSAND DOLLARS FOR THE FIRST VIOLATION AND SUCH ORGANIZATION'S REGIS-
TRATION PURSUANT TO SECTION ONE HUNDRED SEVENTY-TWO, ONE HUNDRED SEVEN-
TY-THREE OR ONE HUNDRED SEVENTY-THREE-B OF THIS ARTICLE, MAY BE REVOKED.
ANY CHARITABLE ORGANIZATION, PROFESSIONAL FUND RAISER OR PROFESSIONAL
SOLICITOR FOUND TO HAVE BEEN IN VIOLATION OF SUBDIVISION TWO OR THREE OF
THIS SECTION IN THREE OR MORE SEPARATE OCCURRENCES, SHALL BE FINED TEN
THOUSAND DOLLARS AND SUCH ORGANIZATION'S REGISTRATION PURSUANT TO
SECTION ONE HUNDRED SEVENTY-TWO, ONE HUNDRED SEVENTY-THREE OR ONE
HUNDRED SEVENTY-THREE-B OF THIS ARTICLE SHALL BE REVOKED. THE CONSUMER
PROTECTION DIVISION SHALL, WHENEVER POSSIBLE, ASSIST THE ATTORNEY GENER-
AL IN ANY INVESTIGATION OF A CHARITABLE ORGANIZATION PURSUANT TO THIS
SUBDIVISION.
S 2. This act shall take effect on the ninetieth day after it shall
have become a law and shall apply to all solicitation used by or on
behalf of any charitable organization on and after such effective date.