S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  2225--A
 
                        2017-2018 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             January 17, 2017
                                ___________
 
 Introduced  by M. of A. BRONSON, CRESPO -- read once and referred to the
   Committee on Ways and Means --  committee  discharged,  bill  amended,
   ordered reprinted as amended and recommitted to said committee
 
 AN  ACT in relation to enacting the empire state apprenticeship program;
   to amend the labor law, in relation to establishing the  empire  state
   apprenticeship tax credit program and granting the commissioner of the
   department of labor the power to administer such program; to amend the
   tax  law,  in  relation  to the empire state apprenticeship tax credit
   (Part A); to amend the labor law,  in  relation  to  establishing  the
   empire  state apprenticeship grant program for small business and not-
   for-profit corporations (Part B); and to amend the education  law,  in
   relation  to  developing  guidelines  to  encouraging participation in
   apprenticeships and raising awareness in apprenticeship  opportunities
   (Part C)
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. This act shall be known and may be  cited  as  the  "empire
 state apprenticeship program".
   §  2.  This  act enacts into law components of legislation relating to
 the empire  state  apprenticeship  program.  Each  component  is  wholly
 contained  within  a Part identified as Parts A through C. The effective
 date for each particular provision contained within  such  Part  is  set
 forth  in  the  last  section of such Part. Any provision in any section
 contained within a Part, including the effective date of the Part, which
 makes reference to a section "of this act", when used in connection with
 that particular component, shall be deemed to  mean  and  refer  to  the
 corresponding  section of the Part in which it is found. Section four of
 this act sets forth the general effective date of this act.
 
                                  PART A
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD00278-07-7
              

 A. 2225--A                          2
 
   Section 1. The labor law is amended by adding a new  section  25-c  to
 read as follows:
   § 25-C. POWER TO ADMINISTER THE EMPIRE STATE APPRENTICESHIP TAX CREDIT
 PROGRAM.  (A) THE COMMISSIONER IS AUTHORIZED TO ESTABLISH AND ADMINISTER
 THE EMPIRE STATE APPRENTICESHIP TAX CREDIT PROGRAM TO PROVIDE TAX INCEN-
 TIVES  TO  QUALIFIED  AND  CERTIFIED   EMPLOYERS FOR EMPLOYING QUALIFIED
 APPRENTICES PURSUANT TO AN APPRENTICESHIP AGREEMENT REGISTERED WITH  THE
 DEPARTMENT PURSUANT TO PARAGRAPH (D) OF SUBDIVISION ONE OF SECTION EIGHT
 HUNDRED  ELEVEN  OF  THIS  CHAPTER.  THE  COMMISSIONER  IS AUTHORIZED TO
 PROVIDE TAX CREDITS TO BE ALLOCATED UP TO TEN  MILLION  DOLLARS  OF  TAX
 CREDITS  ANNUALLY,  BEGINNING  TAXABLE  YEAR  TWO THOUSAND SEVENTEEN AND
 ENDING BEFORE TAXABLE YEAR TWO THOUSAND TWENTY-ONE.   ANY  UNUSED  ALLO-
 CATION  OF  THE CREDIT SHALL BE MADE AVAILABLE IN EACH OF THE SUBSEQUENT
 TAXABLE YEARS FOR ALL ELIGIBLE YEARS OF THE APPRENTICESHIP ALLOWED UNDER
 SUBDIVISIONS (C) AND (D) OF THIS SECTION.
   (B) DEFINITIONS.  (1) THE TERM "APPRENTICESHIP  AGREEMENT"  MEANS  THE
 AGREEMENT AS DEFINED BY SECTION EIGHT HUNDRED SIXTEEN OF THIS CHAPTER.
   (2)  THE  TERM "QUALIFIED EMPLOYER" MEANS AN EMPLOYER THAT HAS ENTERED
 INTO A REGISTERED APPRENTICESHIP AGREEMENT. FOR  THE  PURPOSES  OF  THIS
 SECTION  A  "QUALIFIED EMPLOYER" SHALL NOT INCLUDE AN EMPLOYER THAT IS A
 CONTRACTOR OR SUBCONTRACTOR WHO IS  A  PARTNERSHIP,  FIRM,  CORPORATION,
 LIMITED  LIABILITY  COMPANY, ASSOCIATION OR OTHER LEGAL ENTITY PERMITTED
 BY LAW TO DO BUSINESS WITHIN THE STATE WHO ENGAGES  IN  CONSTRUCTION  AS
 DEFINED  IN  THIS  SECTION  AND  WHOSE APPRENTICESHIP AGREEMENT INCLUDES
 SKILLS RELATED TO THE CONSTRUCTION INDUSTRY.
   (3) FOR PURPOSES  OF  THIS  SECTION,  THE  TERM  "CONSTRUCTION"  MEANS
 CONSTRUCTING,  RECONSTRUCTING,  ALTERING, MAINTAINING, MOVING, REHABILI-
 TATING, REPAIRING, RENOVATING, FABRICATING, SERVICING, OR DEMOLITION  OF
 ANY  BUILDING,  STRUCTURE,  OR IMPROVEMENT, OR COMPONENT, OR RELATING TO
 THE EXCAVATION OF OR OTHER DEVELOPMENT OR IMPROVEMENT TO LAND.
   (4) THE TERM "CERTIFIED EMPLOYER" MEANS A QUALIFIED EMPLOYER THAT  HAS
 BEEN  CERTIFIED  AS  ELIGIBLE  BY THE COMMISSIONER TO PARTICIPATE IN THE
 EMPIRE STATE APPRENTICESHIP  TAX  CREDIT  PROGRAM  ESTABLISHED  IN  THIS
 SECTION.
   (5)  THE TERM "QUALIFIED APPRENTICE" MEANS AN INDIVIDUAL EMPLOYED IN A
 FULL TIME POSITION FOR AT LEAST SIX MONTHS OF A TAXABLE YEAR AND WHO HAS
 ENTERED INTO AN AGREEMENT WITH A QUALIFIED EMPLOYER PURSUANT TO  SECTION
 EIGHT HUNDRED SIXTEEN OF THIS CHAPTER.
   (6) THE TERM "DISADVANTAGED YOUTH" MEANS AN INDIVIDUAL:
   (I) WHO IS BETWEEN THE AGE OF SIXTEEN AND TWENTY-FOUR; AND
   (II)  WHO  IS LOW-INCOME OR AT-RISK, AS THOSE TERMS ARE DEFINED BY THE
 COMMISSIONER.
   (7) THE TERM "MENTOR" MEANS AN INDIVIDUAL  WHO  PROVIDES  INSTRUCTION,
 GUIDANCE,  AND  SUPPORT  TO THE APPRENTICE ON A REGULAR BASIS THROUGHOUT
 THEIR APPRENTICESHIP UNTIL THE COMPLETION OF  THEIR  APPRENTICESHIP  AND
 FOR  THE YEAR AFTER THEY COMPLETE THEIR APPRENTICESHIP AS THE APPRENTICE
 SEEKS EMPLOYMENT IN THE FIELD OR INDUSTRY OF THEIR  APPRENTICESHIP.  THE
 GOAL  OF  THE MENTOR IS TO HELP TRAIN THE APPRENTICE IN HIS OR HER TRADE
 AND TO HELP THE APPRENTICE SUCCESSFULLY COMPLETE THE APPRENTICESHIP  AND
 TO SECURE AND RETAIN EMPLOYMENT.
   (C)  A  CERTIFIED  EMPLOYER  SHALL BE ENTITLED TO A TAX CREDIT AGAINST
 INCOME TAX FOR EACH QUALIFIED APPRENTICE FOR TAX YEAR EQUAL TO: (1)  THE
 LESSER OF TWO THOUSAND DOLLARS OR THE TOTAL AMOUNT OF WAGES PAID FOR THE
 FIRST  YEAR  OF  THE  APPRENTICESHIP;  (2)  THE LESSER OF THREE THOUSAND
 DOLLARS OR THE TOTAL AMOUNT OF WAGES PAID FOR THE  SECOND  YEAR  OF  THE
 APPRENTICESHIP; AND (3) THE LESSER OF FOUR THOUSAND DOLLARS OR THE TOTAL

 A. 2225--A                          3
 
 AMOUNT  OF  WAGES PAID FOR EACH OF THE THIRD, FOURTH, AND FIFTH YEARS OF
 THE APPRENTICESHIP.
   (D) (1) A CERTIFIED EMPLOYER SHALL BE ENTITLED TO A TAX CREDIT AGAINST
 INCOME  TAX  FOR EACH QUALIFIED APPRENTICE WHO IS CONSIDERED A DISADVAN-
 TAGED YOUTH FOR EACH TAX YEAR EQUAL TO: (A) THE LESSER OF FIVE  THOUSAND
 DOLLARS  OR  THE  TOTAL  AMOUNT  OF WAGES PAID FOR THE FIRST YEAR OF THE
 APPRENTICESHIP; (B) THE LESSER OF SIX  THOUSAND  DOLLARS  OR  THE  TOTAL
 AMOUNT  OF WAGES PAID FOR THE SECOND YEAR OF THE APPRENTICESHIP; AND (C)
 THE LESSER OF SEVEN THOUSAND DOLLARS OR THE TOTAL AMOUNT OF  WAGES  PAID
 FOR EACH OF THE THIRD, FOURTH, AND FIFTH YEARS OF THE APPRENTICESHIP.
   (2)  A  CERTIFIED EMPLOYER SHALL BE ENTITLED TO AN ENHANCED TAX CREDIT
 IF THE EMPLOYER CAN SHOW THAT THE  APPRENTICE  FOR  WHICH  THE  EMPLOYER
 RECEIVED THE TAX CREDIT PURSUANT TO THIS SUBDIVISION IS BEING TRAINED IN
 HIS  OR  HER TRADE BY A MENTOR AS DEFINED IN THIS SECTION.  THE ENHANCED
 CREDIT SHALL BE AN ADDITIONAL FIVE HUNDRED DOLLARS FOR EACH YEAR OF  THE
 APPRENTICESHIP  IN ADDITION TO THE BASE TAX CREDIT DESCRIBED IN SUBDIVI-
 SION (C) OF THIS SECTION.
   (E) TO PARTICIPATE IN THE PROGRAM ESTABLISHED UNDER  THIS  SECTION,  A
 QUALIFIED  EMPLOYER  MUST SUBMIT AN APPLICATION (IN A FORM PRESCRIBED BY
 THE COMMISSIONER) TO THE COMMISSIONER AFTER JANUARY FIRST, BUT NO  LATER
 THAN  NOVEMBER THIRTIETH OF EACH YEAR DURING TAXABLE YEARS THE CREDIT IS
 ALLOCATED.  THE QUALIFIED APPRENTICES MUST START THEIR EMPLOYMENT ON  OR
 AFTER JANUARY FIRST BUT NO LATER THAN DECEMBER THIRTY-FIRST, OF THE YEAR
 FOR WHICH THE QUALIFIED EMPLOYER SEEKS THE TAX CREDIT.
   (F) AS PART OF SUCH APPLICATION, EACH QUALIFIED EMPLOYER MUST:
   (1) AGREE TO ALLOW THE DEPARTMENT OF TAXATION AND FINANCE TO SHARE ITS
 TAX  INFORMATION WITH THE DEPARTMENT. HOWEVER, ANY INFORMATION SHARED AS
 A RESULT OF THIS AGREEMENT SHALL NOT  BE  AVAILABLE  FOR  DISCLOSURE  OR
 INSPECTION UNDER THE STATE FREEDOM OF INFORMATION LAW.
   (2)  ALLOW  THE  DEPARTMENT AND ITS AGENTS ACCESS TO ANY AND ALL BOOKS
 AND RECORDS THE DEPARTMENT MAY REQUIRE TO MONITOR COMPLIANCE.
   (G) THE COMMISSIONER SHALL  ESTABLISH  GUIDELINES  AND  CRITERIA  THAT
 SPECIFY  REQUIREMENTS  FOR  QUALIFIED  EMPLOYERS  TO  PARTICIPATE IN THE
 PROGRAM INCLUDING CRITERIA FOR  CERTIFYING  QUALIFIED  APPRENTICES.  ANY
 REGULATIONS  THAT  THE  COMMISSIONER  DETERMINES  ARE  NECESSARY AND ARE
 CONSISTENT WITH THE PURPOSE OF THIS ARTICLE MAY BE ADOPTED ON  AN  EMER-
 GENCY  BASIS NOTWITHSTANDING ANY PROVISIONS TO THE CONTRARY IN THE STATE
 ADMINISTRATIVE PROCEDURE ACT. THE COMMISSIONER SHALL GIVE PREFERENCE  TO
 QUALIFIED  EMPLOYERS  THAT  ARE  MINORITY  AND WOMEN-OWNED BUSINESSES OR
 ENGAGED IN DEMAND OCCUPATIONS  OR  INDUSTRIES,  OR  IN  REGIONAL  GROWTH
 SECTORS,  INCLUDING  THOSE  IDENTIFIED  BY THE DEPARTMENT, SUCH AS CLEAN
 ENERGY, HEALTH CARE, ADVANCED MANUFACTURING AND CONSERVATION.
   (H)(I) IF, AFTER REVIEWING THE APPLICATION SUBMITTED  BY  A  QUALIFIED
 EMPLOYER,  THE  COMMISSIONER  DETERMINES THAT SUCH QUALIFIED EMPLOYER IS
 ELIGIBLE TO PARTICIPATE IN THE PROGRAM ESTABLISHED UNDER  THIS  SECTION,
 THE COMMISSIONER SHALL ISSUE THE QUALIFIED EMPLOYER A CERTIFICATE WITHIN
 NINETY DAYS OF APPLICATION OF ELIGIBILITY THAT ESTABLISHES THE QUALIFIED
 EMPLOYER  AS  A CERTIFIED EMPLOYER. THE CERTIFICATE OF ELIGIBILITY SHALL
 SPECIFY THE MAXIMUM AMOUNT OF TAX CREDIT  THAT  THE  CERTIFIED  EMPLOYER
 WILL BE ALLOWED TO CLAIM.
   (II) FOR EACH SUBSEQUENT APPLICATION SUBMITTED BY A QUALIFIED EMPLOYER
 WHO  WAS  CERTIFIED BY THE COMMISSIONER IN A PRIOR TAX YEAR, THE COMMIS-
 SIONER MAY CONSIDER THE FOLLOWING FACTORS WHEN DETERMINING IF THE QUALI-
 FIED EMPLOYER SHOULD BE RE-CERTIFIED:
   (A) THE LENGTH  OF  THE  APPRENTICESHIP  AGREEMENT  THE  EMPLOYER  HAS
 ENTERED INTO;

 A. 2225--A                          4

   (B)  HOW  MANY  APPRENTICES  HAVE  GRADUATED  FROM  THE APPRENTICESHIP
 PROGRAM TO WHICH THE  QUALIFIED  APPRENTICE  EMPLOYED  BY  THE  EMPLOYER
 BELONGS;
   (C) HOW MANY APPRENTICES IN THE FIRST, SECOND, THIRD, FOURTH, OR FIFTH
 YEAR OF AN APPRENTICESHIP PROGRAM THE QUALIFIED EMPLOYER HAS HIRED; AND
   (D) ANY OTHER FACTORS THE COMMISSIONER DEEMS RELEVANT.
   (I) CERTIFIED EMPLOYERS THAT EMPLOY A QUALIFIED APPRENTICE PURSUANT TO
 AN  APPRENTICESHIP AGREEMENT AS DEFINED BY SECTION EIGHT HUNDRED SIXTEEN
 OF THIS ARTICLE THAT REQUIRES THE APPRENTICE TO BE TAUGHT TRADE OR CRAFT
 DIVISIONS BY MORE THAN ONE EMPLOYER SHALL BE  ELIGIBLE  FOR  THE  CREDIT
 BASED  ON  THE TOTAL NUMBER OF HOURS SUCH APPRENTICE IS EMPLOYED BY EACH
 SUCH EMPLOYER IF THE TOTAL NUMBER OF HOURS EMPLOYED EXCEEDS THE  MINIMUM
 NUMBER  OF  HOURS  REQUIRED TO BE A QUALIFIED APPRENTICESHIP UNDER PARA-
 GRAPH FIVE OF SUBDIVISION (B) OF THIS SECTION, AS DETERMINED PURSUANT TO
 REGULATIONS OF THE DEPARTMENT.
   (J) THE COMMISSIONER  SHALL  ANNUALLY  PUBLISH  A  REPORT  WITHIN  ONE
 HUNDRED  EIGHTY  DAYS  OF  THE  CLOSE  OF THE TAX YEAR. SUCH REPORT MUST
 CONTAIN THE NAMES AND ADDRESSES  OF  ANY  CERTIFIED  EMPLOYER  ISSUED  A
 CERTIFICATE  OF  ELIGIBILITY  UNDER  THIS SECTION, THE MAXIMUM AMOUNT OF
 EMPIRE STATE APPRENTICESHIP TAX CREDIT ALLOWED TO THE CERTIFIED EMPLOYER
 AS SPECIFIED ON SUCH CERTIFICATE OF ELIGIBILITY, THE NUMBER OF EMPLOYERS
 WHO RECEIVED TAX CREDITS FOR EMPLOYING ONE OR MORE DISADVANTAGED YOUTHS,
 THE TOTAL NUMBER OF DISADVANTAGED YOUTHS  FOR  WHICH  SUCH  CREDITS  ARE
 AWARDED,  THE  NUMBER  OF  APPRENTICES  HIRED  BROKEN DOWN BY AGE, RACE,
 GENDER, AND HOW THEY MEET THE DEFINITION OF DISADVANTAGED AS DEFINED  IN
 SECTION  TWENTY-FIVE-A  OF  THIS  ARTICLE,  THE  NUMBER OF TOTAL AND NEW
 CERTIFICATES GRANTED EACH YEAR, THE TOTAL AMOUNT OF CREDITS  CLAIMED  TO
 DATE,  AND THE NUMBER OF YEARS CREDITS HAVE BEEN RECEIVED FOR INDIVIDUAL
 APPRENTICES.  THE COMMISSIONER SHALL INCLUDE IN SUCH REPORT  RECOMMENDA-
 TIONS  FOR LEGISLATIVE OR OTHER ACTION TO FURTHER THE INTENT AND PURPOSE
 OF THE EMPIRE STATE APPRENTICESHIP  TAX  CREDIT  PROGRAM.    THE  ANNUAL
 REPORT  SHALL  BE ALIGNED WITH THE GOALS OF THE NEW YORK STATE WORKFORCE
 INNOVATION AND OPPORTUNITY ACT FOUR YEAR COMBINE STATE PLAN WHERE APPRO-
 PRIATE.
   (K) THE COMMISSIONER SHALL PROMOTE, PUBLISH AND  DISSEMINATE  INFORMA-
 TION  CONCERNING  THE  EMPIRE  STATE APPRENTICESHIP TAX CREDIT AND OTHER
 AVAILABLE FUNDING, PARTICULARLY TARGETING INDUSTRIES AND FIELDS OF BUSI-
 NESS NOT CURRENTLY TAKING ADVANTAGE  OF  APPRENTICESHIPS,  MINORITY  AND
 WOMEN-OWNED  BUSINESSES, AND BUSINESSES ENGAGED IN DEMAND OCCUPATIONS OR
 INDUSTRIES, OR IN REGIONAL GROWTH SECTORS, INCLUDING THOSE IDENTIFIED BY
 THE DEPARTMENT, SUCH AS CLEAN ENERGY, HEALTH CARE, ADVANCED  MANUFACTUR-
 ING AND CONSERVATION.
   §  2. Section 210-B of the tax law is amended by adding a new subdivi-
 sion 49 to read as follows:
   49. EMPIRE STATE APPRENTICESHIP TAX CREDIT. (A) A  TAXPAYER  THAT  HAS
 BEEN  CERTIFIED  BY  THE  COMMISSIONER  OF LABOR AS A CERTIFIED EMPLOYER
 PURSUANT TO SECTION TWENTY-FIVE-C OF THE LABOR LAW SHALL  BE  ALLOWED  A
 CREDIT  AGAINST  THE  TAX  IMPOSED  BY  THIS ARTICLE, FOR EACH QUALIFIED
 APPRENTICE, UP TO (I) TWO THOUSAND FIVE HUNDRED DOLLARS  FOR  THE  FIRST
 YEAR OF THE APPRENTICESHIP; (II) THREE THOUSAND FIVE HUNDRED DOLLARS FOR
 THE  SECOND YEAR OF THE APPRENTICESHIP; (III) FOUR THOUSAND FIVE HUNDRED
 DOLLARS FOR THE THIRD YEAR OF THE  APPRENTICESHIP;  (IV)  FOUR  THOUSAND
 FIVE  HUNDRED DOLLARS FOR THE FOURTH YEAR OF THE APPRENTICESHIP; AND (V)
 FOUR THOUSAND FIVE HUNDRED DOLLARS FOR THE FIFTH YEAR OF THE APPRENTICE-
 SHIP.  FOR PURPOSES OF THIS SUBDIVISION, THE TERM "QUALIFIED APPRENTICE"
 SHALL HAVE THE SAME MEANING AS SET FORTH IN SUBDIVISION (B)  OF  SECTION

 A. 2225--A                          5
 
 TWENTY-FIVE-C  OF  THE LABOR LAW. THE PORTION OF THE CREDIT DESCRIBED IN
 SUBPARAGRAPHS (I) THROUGH (V) OF THIS PARAGRAPH SHALL BE ALLOWED FOR THE
 TAXABLE YEARS IN WHICH THE WAGES ARE PAID TO THE QUALIFIED APPRENTICE.
   (B) THE CREDIT ALLOWED UNDER THIS SUBDIVISION FOR ANY TAXABLE YEAR MAY
 NOT  REDUCE THE TAX DUE FOR THAT YEAR TO LESS THAN THE AMOUNT PRESCRIBED
 IN PARAGRAPH (D) OF SUBDIVISION ONE OF SECTION TWO HUNDRED TEN  OF  THIS
 ARTICLE.  HOWEVER, IF THE AMOUNT OF THE CREDIT ALLOWED UNDER THIS SUBDI-
 VISION FOR ANY TAXABLE YEAR REDUCES THE TAX TO THAT  AMOUNT  OR  IF  THE
 TAXPAYER  OTHERWISE  PAYS  TAX BASED ON THE FIXED DOLLAR MINIMUM AMOUNT,
 ANY AMOUNT OF CREDIT NOT DEDUCTIBLE IN THAT TAXABLE YEAR WILL BE TREATED
 AS AN OVERPAYMENT OF TAX TO BE CREDITED OR REFUNDED IN  ACCORDANCE  WITH
 THE  PROVISIONS  OF  SECTION  ONE  THOUSAND  EIGHTY-SIX OF THIS CHAPTER.
 PROVIDED, HOWEVER, NO INTEREST WILL BE PAID THEREON.
   (C) A TAXPAYER SHALL BE ENTITLED TO A TAX CREDIT  AGAINST  INCOME  TAX
 FOR  EACH  QUALIFIED  APPRENTICE WHO IS CONSIDERED A DISADVANTAGED YOUTH
 FOR EACH TAX YEAR EQUAL TO: (I) THE LESSER OF FIVE THOUSAND  DOLLARS  OR
 THE TOTAL AMOUNT OF WAGES PAID FOR THE FIRST YEAR OF THE APPRENTICESHIP;
 (II)  THE  LESSER  OF  SIX THOUSAND DOLLARS OF THE TOTAL AMOUNT OF WAGES
 PAID FOR THE SECOND YEAR OF THE APPRENTICESHIP; AND (III) THE LESSER  OF
 SEVEN THOUSAND DOLLARS OR THE TOTAL AMOUNT OF WAGES PAID FOR EACH OF THE
 THIRD, FOURTH, AND FIFTH YEARS OF THE APPRENTICESHIP. EMPLOYERS WHO HIRE
 APPRENTICES WHO ARE IDENTIFIED AS DISADVANTAGED YOUTH AND WHO ARE GUIDED
 THROUGHOUT  THEIR APPRENTICESHIP BY A MENTOR AS CERTIFIED BY THE DEPART-
 MENT SHALL ALSO BE  ELIGIBLE  TO  RECEIVE  AN  ADDITIONAL  FIVE  HUNDRED
 DOLLARS EACH TAXABLE YEAR.
   (D)  THE  TAXPAYER  SHALL  BE REQUIRED TO ATTACH TO ITS TAX RETURN ITS
 CERTIFICATE OF ELIGIBILITY ISSUED BY THE COMMISSIONER OF LABOR  PURSUANT
 TO SECTION TWENTY-FIVE-C OF THE LABOR LAW. IN NO EVENT SHALL THE TAXPAY-
 ER  BE  ALLOWED A CREDIT GREATER THAN THE AMOUNT OF THE CREDIT LISTED ON
 THE CERTIFICATE OF ELIGIBILITY. NOTWITHSTANDING ANY  PROVISION  OF  THIS
 CHAPTER  TO THE CONTRARY, THE COMMISSIONER AND THE COMMISSIONER'S DESIG-
 NEES SHALL RELEASE THE NAMES AND ADDRESSES OF ANY TAXPAYER CLAIMING THIS
 CREDIT AND THE AMOUNT OF THE CREDIT EARNED BY  THE  TAXPAYER.  PROVIDED,
 HOWEVER,  IF  A  TAXPAYER CLAIMS THIS CREDIT BECAUSE IT IS A MEMBER OF A
 LIMITED LIABILITY COMPANY OR A PARTNER IN A PARTNERSHIP, ONLY THE AMOUNT
 OF CREDIT EARNED BY THE ENTITY AND NOT THE AMOUNT OF CREDIT  CLAIMED  BY
 THE TAXPAYER MAY BE RELEASED.
   §  3. Section 606 of the tax law is amended by adding a new subsection
 (vvv) to read as follows:
   (VVV) EMPIRE STATE APPRENTICESHIP TAX CREDIT. (1)(A)  (I)  A  TAXPAYER
 THAT  HAS  BEEN  CERTIFIED  BY  THE COMMISSIONER OF LABOR AS A CERTIFIED
 EMPLOYER PURSUANT TO SECTION TWENTY-FIVE-C OF THE  LABOR  LAW  SHALL  BE
 ALLOWED A CREDIT AGAINST THE TAX IMPOSED BY THIS ARTICLE, FOR EACH QUAL-
 IFIED  APPRENTICE,  UP  TO (I) TWO THOUSAND FIVE HUNDRED DOLLARS FOR THE
 FIRST YEAR OF THE  APPRENTICESHIP;  (II)  THREE  THOUSAND  FIVE  HUNDRED
 DOLLARS  FOR  THE SECOND YEAR OF THE APPRENTICESHIP; (III) FOUR THOUSAND
 FIVE HUNDRED DOLLARS FOR THE THIRD YEAR OF THE APPRENTICESHIP; (IV) FOUR
 THOUSAND FIVE HUNDRED DOLLARS FOR THE FOURTH YEAR OF THE APPRENTICESHIP;
 AND (V) FOUR THOUSAND FIVE HUNDRED DOLLARS FOR THE  FIFTH  YEAR  OF  THE
 APPRENTICESHIP.
   (II)  A  TAXPAYER THAT HAS BEEN CERTIFIED BY THE COMMISSIONER OF LABOR
 AS A CERTIFIED EMPLOYER PURSUANT TO SECTION TWENTY-FIVE-C OF  THE  LABOR
 LAW  SHALL  BE ALLOWED A CREDIT AGAINST THE TAX IMPOSED BY THIS ARTICLE,
 FOR EACH QUALIFIED APPRENTICE WHO IS CONSIDERED A  DISADVANTAGED  YOUTH,
 UP  TO (I) THE FIVE THOUSAND FIVE HUNDRED DOLLARS OR THE TOTAL AMOUNT OF
 WAGES PAID FOR THE FIRST YEAR OF THE APPRENTICESHIP; (II)  SIX  THOUSAND

 A. 2225--A                          6
 
 FIVE  HUNDRED  DOLLARS  FOR  THE  SECOND YEAR OF THE APPRENTICESHIP; AND
 (III) SEVEN THOUSAND FIVE HUNDRED DOLLARS FOR EACH OF THE THIRD, FOURTH,
 AND FIFTH YEARS OF THE APPRENTICESHIP.
   (B) A TAXPAYER THAT IS A PARTNER IN A PARTNERSHIP, MEMBER OF A LIMITED
 LIABILITY  COMPANY  OR  SHAREHOLDER  IN  AN  S CORPORATION THAT HAS BEEN
 CERTIFIED BY THE COMMISSIONER OF LABOR AS A CERTIFIED EMPLOYER  PURSUANT
 TO  SECTION TWENTY-FIVE-C OF THE LABOR LAW SHALL BE ALLOWED ITS PRO RATA
 SHARE OF THE CREDIT EARNED BY THE PARTNERSHIP, LIMITED LIABILITY COMPANY
 OR S CORPORATION.
   (C) FOR PURPOSES OF THIS SUBSECTION, THE TERM  "QUALIFIED  APPRENTICE"
 SHALL  HAVE  THE SAME MEANING AS SET FORTH IN SUBDIVISION (B) OF SECTION
 TWENTY-FIVE-C OF THE LABOR LAW.  THE PORTION OF THE CREDIT DESCRIBED  IN
 ITEM (I) THROUGH (V) OF CLAUSE (I) OF SUBPARAGRAPH (A) OF THIS PARAGRAPH
 SHALL  BE  ALLOWED  FOR THE TAXABLE YEARS IN WHICH THE WAGES ARE PAID TO
 THE QUALIFIED APPRENTICE.
   (2) IF THE AMOUNT OF THE CREDIT ALLOWED UNDER THIS SUBSECTION  EXCEEDS
 THE TAXPAYER'S TAX FOR THE TAXABLE YEAR, ANY AMOUNT OF CREDIT NOT DEDUC-
 TIBLE  IN  THAT TAXABLE YEAR WILL BE TREATED AS AN OVERPAYMENT OF TAX TO
 BE CREDITED OR REFUNDED IN ACCORDANCE WITH THE PROVISIONS OF SECTION SIX
 HUNDRED EIGHTY-SIX OF THIS ARTICLE.  PROVIDED, HOWEVER, NO INTEREST WILL
 BE PAID THEREON.
   (3) THE TAXPAYER SHALL BE REQUIRED TO ATTACH TO  ITS  TAX  RETURN  ITS
 CERTIFICATE  OF ELIGIBILITY ISSUED BY THE COMMISSIONER OF LABOR PURSUANT
 TO SECTION TWENTY-FIVE-C OF THE LABOR LAW. IN NO EVENT SHALL THE TAXPAY-
 ER BE ALLOWED A CREDIT GREATER THAN THE AMOUNT OF THE CREDIT  LISTED  ON
 THE  CERTIFICATE  OF  ELIGIBILITY. NOTWITHSTANDING ANY PROVISION OF THIS
 CHAPTER TO THE CONTRARY, THE COMMISSIONER AND THE COMMISSIONER'S  DESIG-
 NEES SHALL RELEASE THE NAMES AND ADDRESSES OF ANY TAXPAYER CLAIMING THIS
 CREDIT  AND  THE  AMOUNT OF THE CREDIT EARNED BY THE TAXPAYER. PROVIDED,
 HOWEVER, IF A TAXPAYER CLAIMS THIS CREDIT BECAUSE IT IS A  MEMBER  OF  A
 LIMITED  LIABILITY COMPANY, A PARTNER IN A PARTNERSHIP, OR A SHAREHOLDER
 IN A SUBCHAPTER S CORPORATION, ONLY THE AMOUNT OF CREDIT EARNED  BY  THE
 ENTITY  AND  NOT  THE  AMOUNT  OF  CREDIT CLAIMED BY THE TAXPAYER MAY BE
 RELEASED.
   § 4. Subparagraph (B) of paragraph 1 of subsection (i) of section  606
 of  the  tax  law  is  amended by adding a new clause (xliii) to read as
 follows:
 (XLIII) EMPIRE STATE APPRENTICESHIP  AMOUNT OF CREDIT UNDER
 TAX CREDIT UNDER SUBSECTION          SUBDIVISION FORTY-NINE OF
 (VVV)                                SECTION TWO HUNDRED TEN-B
   § 5. This act shall take effect immediately and shall apply to taxable
 years commencing on or after January 1, 2017.
 
                                  PART B
 
   Section 1. The labor law is amended by adding a new  article  23-D  to
 read as follows:
                               ARTICLE 23-D
            EMPIRE STATE APPRENTICESHIP GRANT PROGRAM FOR SMALL
                 BUSINESS AND NOT-FOR-PROFIT CORPORATIONS
 SECTION 833. EMPIRE  STATE  APPRENTICESHIP GRANT PROGRAM FOR SMALL BUSI-
                NESS AND NOT-FOR-PROFIT CORPORATIONS.
   § 833. EMPIRE STATE APPRENTICESHIP GRANT PROGRAM  FOR  SMALL  BUSINESS
 AND  NOT-FOR-PROFIT  CORPORATIONS.   1. THE DEPARTMENT SHALL ESTABLISH A
 GRANT PROGRAM DESIGNED TO  ENCOURAGE  THE  ADOPTION  OF  APPRENTICESHIPS
 ADMINISTERED  BY  SMALL BUSINESSES AND NOT-FOR-PROFIT CORPORATIONS.  THE

 A. 2225--A                          7
 
 DEPARTMENT SHALL PROVIDE GRANTS WITHIN AVAILABLE  APPROPRIATIONS,  ON  A
 COMPETITIVE  BASIS,  IN RESPONSE TO A REQUEST FOR PROPOSAL FROM ELIGIBLE
 ENTITIES.  THE PROGRAM SHALL PROVIDE ONE TO ONE STATE MATCHING FUNDS  TO
 ELIGIBLE  ENTITIES  NOT  TO  EXCEED  FIFTY THOUSAND DOLLARS ANNUALLY. AN
 ELIGIBLE ENTITY SHALL INCLUDE A BUSINESS EMPLOYING  AND/OR  TRAINING  AN
 APPRENTICE  PURSUANT  TO AN APPRENTICESHIP AGREEMENT REGISTERED WITH THE
 DEPARTMENT PURSUANT TO PARAGRAPH (D) OF SUBDIVISION ONE OF SECTION EIGHT
 HUNDRED ELEVEN OF THIS CHAPTER WHICH IS RESIDENT IN  THIS  STATE,  INDE-
 PENDENTLY  OWNED  AND OPERATED, AND EMPLOYS TWENTY-FIVE OR LESS PERSONS,
 OR A NOT-FOR-PROFIT ORGANIZATION EMPLOYING AND/OR TRAINING AN APPRENTICE
 PURSUANT TO AN APPRENTICESHIP AGREEMENT  AS  DEFINED  BY  SECTION  EIGHT
 HUNDRED  SIXTEEN OF THIS CHAPTER AND REGISTERED WITH THE DEPARTMENT.  AN
 ELIGIBLE ENTITY SHALL NOT INCLUDE AN EMPLOYER WHO  IS  A  CONTRACTOR  OR
 SUBCONTRACTOR WHO IS A PARTNERSHIP, FIRM, CORPORATION, LIMITED LIABILITY
 COMPANY,  ASSOCIATION OR OTHER LEGAL ENTITY PERMITTED BY LAW TO DO BUSI-
 NESS WITHIN THE STATE WHO ENGAGES IN CONSTRUCTION.  FOR PURPOSES OF THIS
 SECTION, THE TERM  "CONSTRUCTION"  MEANS  CONSTRUCTING,  RECONSTRUCTING,
 ALTERING,  MAINTAINING,  MOVING,  REHABILITATING, REPAIRING, RENOVATING,
 FABRICATING, SERVICING, OR DEMOLITION OF  ANY  BUILDING,  STRUCTURE,  OR
 IMPROVEMENT,  OR  COMPONENT,  OR  RELATING TO THE EXCAVATION OF OR OTHER
 DEVELOPMENT OR IMPROVEMENT TO LAND.  THE DEPARTMENT MAY USE GRANT  FUNDS
 ONLY  FOR  COSTS  RELATED  TO APPRENTICESHIP PROGRAMS FOR CAPITAL AND/OR
 OPERATING EXPENSES, AND TO SUPPORT DEDICATED  MENTORS  FOR  APPRENTICES.
 THE  COMMISSIONER IS DIRECTED TO ESTABLISH GUIDELINES AND AN APPLICATION
 PROCESS. TOTAL STATEWIDE EXPENDITURES FOR THE GRANT  PROGRAM  SHALL  NOT
 EXCEED TWO MILLION FIVE HUNDRED THOUSAND DOLLARS PER YEAR.
   2. THE STATE APPRENTICESHIP AND TRAINING COUNCIL SHALL REVIEW REQUESTS
 FOR PROPOSALS AND WILL RECOMMEND PROJECT APPLICATIONS DEEMED TO MEET THE
 INTENT  OF  THE  PROGRAM TO THE DEPARTMENT, AND SHALL GIVE PREFERENCE TO
 EMPLOYERS WHO EMPLOY DISADVANTAGED YOUTH AS DEFINED BY  SECTION  TWENTY-
 FIVE-C OF THIS CHAPTER.
   3.  THE  DEPARTMENT SHALL REPORT ON OR BEFORE OCTOBER FIRST, TWO THOU-
 SAND EIGHTEEN AND ANNUALLY THEREAFTER TO THE GOVERNOR, TEMPORARY  PRESI-
 DENT  OF THE SENATE, SPEAKER OF THE ASSEMBLY, AND CHAIRS OF THE ASSEMBLY
 COMMITTEE ON LABOR AND THE LEGISLATIVE COMMISSION ON SKILLS  DEVELOPMENT
 AND  CAREER  EDUCATION  ON  ACTIVITIES  AND  PROGRESS OF THE GRANT. SUCH
 REPORT SHALL CONTAIN THE NAMES, ADDRESSES AND DESCRIPTIONS OF ANY ELIGI-
 BLE ENTITY ISSUED A GRANT UNDER THIS SECTION, THE AMOUNT  OF  THE  GRANT
 ALLOWED  TO  THE  EMPLOYER, FOR WHAT PURPOSES, THE NUMBER OF APPRENTICES
 AND THEIR TRADE OR TRADES, AND THE NUMBER WHO ARE  CONSIDERED  DISADVAN-
 TAGED  YOUTHS AND WHETHER EACH APPRENTICESHIP IS A NEW JOB CREATED AFTER
 BEING ISSUED A GRANT PURSUANT TO THIS PROGRAM.
   § 2. This act shall take effect immediately.
 
                                  PART C
 
   Section 1. Section 305 of the education law is amended by adding a new
 subdivision 56 to read as follows:
   56. THE COMMISSIONER SHALL, IN CONSULTATION  WITH  THE  DEPARTMENT  OF
 LABOR, DEVELOP GUIDELINES FOR USE BY HIGH SCHOOL COUNSELORS AND GUIDANCE
 COUNSELORS  TO  COORDINATE  SERVICES WITH LOCAL REPRESENTATIVES OF LOCAL
 APPRENTICESHIP AND WORKFORCE DEVELOPMENT PROGRAMS FOR  THE  PURPOSES  OF
 ENCOURAGING  PARTICIPATION  IN  APPRENTICESHIPS  AND  RAISING  AWARENESS
 SURROUNDING APPRENTICESHIP OPPORTUNITIES. SUCH GUIDELINES SHALL BE  MADE
 AVAILABLE ON THE DEPARTMENT'S WEBSITE AND SHALL BE UPDATED ANNUALLY.
   § 2. This act shall take effect immediately.

 A. 2225--A                          8
 
   § 3. Severability clause. If any clause, sentence, paragraph, subdivi-
 sion,  section  or  part  of  this act shall be adjudged by any court of
 competent jurisdiction to be invalid, such judgment  shall  not  affect,
 impair,  or  invalidate  the remainder thereof, but shall be confined in
 its  operation  to the clause, sentence, paragraph, subdivision, section
 or part thereof directly involved in the controversy in which such judg-
 ment shall have been rendered. It is hereby declared to be the intent of
 the legislature that this act would  have  been  enacted  even  if  such
 invalid provisions had not been included herein.
   §  4.  This  act shall take effect immediately provided, however, that
 the applicable effective date of Parts A through C of this act shall  be
 as specifically set forth in the last section of such Parts.