S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  3392--A
 
                        2017-2018 Regular Sessions
 
                             I N  S E N A T E
 
                             January 23, 2017
                                ___________
 
 Introduced  by Sen. GALLIVAN -- read twice and ordered printed, and when
   printed to be committed to the Committee on Commerce, Economic  Devel-
   opment and Small Business -- recommitted to the Committee 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 24 to read as follows:
                                ARTICLE 24
                              GROWNY PROGRAM
 SECTION 470. GROWNY PILOT PROGRAM.
   § 470. 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
 SERVICES, ACCESS TO TECHNOLOGY AND INFORMATION, MARKETING  SERVICES  AND
 ADVICE, BUSINESS MANAGEMENT SUPPORT, AND OTHER SIMILAR SERVICES.
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD00275-02-8

 S. 3392--A                          2
 
   (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
 PILOT PROGRAM. THE ARRANGEMENT MUST REQUIRE,  AT  A  MINIMUM,  THAT  THE
 BUSINESS:

 S. 3392--A                          3
 
   (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 NINETEEN AND ANNUALLY THEREAFT-
 ER,  THE DEPARTMENT SHALL SUBMIT A REPORT TO THE GOVERNOR, THE TEMPORARY
 PRESIDENT OF THE SENATE, THE SPEAKER OF THE ASSEMBLY, THE MINORITY LEAD-
 ER 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.
   § 2. This act shall take effect immediately.