S T A T E O F N E W Y O R K
________________________________________________________________________
5068
2019-2020 Regular Sessions
I N A S S E M B L Y
February 7, 2019
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Introduced by M. of A. TITUS, COOK, PERRY, BLAKE, SIMON, JOYNER, ORTIZ
-- Multi-Sponsored by -- M. of A. DAVILA, GLICK, RIVERA -- read once
and referred to the Committee on Ways and Means
AN ACT to amend the labor law and the tax law, in relation to establish-
ing the New York city housing authority work tax credit program
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. The labor law is amended by adding a new section 25-d to
read as follows:
§ 25-D. POWER TO ADMINISTER THE NEW YORK CITY HOUSING AUTHORITY WORK
TAX CREDIT PROGRAM. (A) THE COMMISSIONER IS AUTHORIZED TO ESTABLISH AND
ADMINISTER THE NEW YORK CITY HOUSING AUTHORITY WORK TAX CREDIT PROGRAM
TO PROVIDE TAX INCENTIVES TO EMPLOYERS FOR EMPLOYING RESIDENTS OF NEW
YORK CITY HOUSING AUTHORITY PUBLIC HOUSING IN PART-TIME AND FULL-TIME
JOBS OR INTERNSHIPS. THE COMMISSIONER IS AUTHORIZED TO ALLOCATE UP TO
TWENTY-FIVE MILLION DOLLARS OF TAX CREDITS.
(B) DEFINITIONS. (1) THE TERM "QUALIFIED EMPLOYER" MEANS AN EMPLOYER
IN GOOD STANDING:
(I) THAT IS LOCATED WITHIN A REASONABLE COMMUTING DISTANCE, AS DETER-
MINED BY THE COMMISSIONER, FOR RESIDENTS OF NEW YORK CITY HOUSING
AUTHORITY PUBLIC HOUSING;
(II) THAT HAS BEEN CERTIFIED BY THE COMMISSIONER AND THE SUPERINTEN-
DENT OF FINANCIAL SERVICES TO PARTICIPATE IN THE NEW YORK CITY HOUSING
AUTHORITY TAX CREDIT PROGRAM; AND
(III) EMPLOYS ONE OR MORE QUALIFIED EMPLOYEES.
(2) THE TERM "QUALIFIED EMPLOYEE" MEANS AN INDIVIDUAL:
(I) WHO RESIDES IN NEW YORK CITY HOUSING AUTHORITY PUBLIC HOUSING; AND
(II) WHO WILL BE WORKING FOR THE QUALIFIED EMPLOYER IN A FULL-TIME OR
PART-TIME JOB OR INTERNSHIP THAT PAYS WAGES THAT ARE EQUIVALENT TO THE
WAGES PAID FOR SIMILAR JOBS, WITH APPROPRIATE ADJUSTMENTS FOR EXPERIENCE
AND TRAINING, AND FOR WHICH NO OTHER EMPLOYEE HAS BEEN TERMINATED, OR
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD05875-01-9
A. 5068 2
WHERE THE EMPLOYER HAS NOT OTHERWISE REDUCED ITS WORKFORCE BY INVOLUN-
TARY TERMINATIONS WITH THE INTENTION OF FILLING THE VACANCY BY CREATING
A NEW HIRE.
(3) THE TERM "COMMUNITY-BASED ORGANIZATION" MEANS AN ORGANIZATION
LOCATED IN A CITY WITH A POPULATION OF ONE MILLION OR MORE WHOSE
SERVICES INCLUDE, BUT ARE NOT LIMITED TO, EMPLOYMENT, EDUCATION, AND
BUSINESS RESOURCES.
(C) A QUALIFIED EMPLOYER SHALL BE ENTITLED TO A TAX CREDIT EQUAL TO NO
MORE THAN FIVE THOUSAND DOLLARS FOR EACH QUALIFIED EMPLOYEE THE EMPLOYER
EMPLOYS IN A FULL-TIME JOB OR INTERNSHIP OF AT LEAST THIRTY-FIVE HOURS
PER WEEK OR NO MORE THAN TWO THOUSAND FIVE HUNDRED DOLLARS FOR EACH
QUALIFIED EMPLOYEE THE EMPLOYER EMPLOYS IN A PART-TIME JOB OR INTERNSHIP
OF AT LEAST TWENTY TO THIRTY-FOUR HOURS PER WEEK. THE TAX CREDITS SHALL
BE CLAIMED BY THE QUALIFIED EMPLOYER AS SPECIFIED IN SUBDIVISION FIFTY-
THREE OF SECTION TWO HUNDRED TEN-B AND SUBSECTION (JJJ) OF SECTION SIX
HUNDRED SIX OF THE TAX LAW.
(D) TO PARTICIPATE IN THE NEW YORK CITY HOUSING AUTHORITY WORK TAX
CREDIT PROGRAM, AN EMPLOYER MUST SUBMIT AN APPLICATION (IN A FORM
PRESCRIBED BY THE COMMISSIONER IN CONSULTATION WITH THE SUPERINTENDENT
OF FINANCIAL SERVICES) TO THE COMMISSIONER AND THE SUPERINTENDENT OF
FINANCIAL SERVICES AFTER JANUARY FIRST, TWO THOUSAND TWENTY. THE COMMIS-
SIONER, IN CONSULTATION WITH THE SUPERINTENDENT OF FINANCIAL SERVICES,
SHALL ESTABLISH GUIDELINES AND CRITERIA THAT SPECIFY REQUIREMENTS FOR
EMPLOYERS TO PARTICIPATE IN THE PROGRAM INCLUDING CRITERIA FOR CERTIFY-
ING QUALIFIED EMPLOYEES. ANY REGULATIONS THAT THE COMMISSIONER DETER-
MINES ARE NECESSARY MAY BE ADOPTED ON AN EMERGENCY BASIS NOTWITHSTANDING
ANYTHING TO THE CONTRARY IN SECTION TWO HUNDRED TWO OF THE STATE ADMIN-
ISTRATIVE PROCEDURE ACT. SUCH REQUIREMENTS MAY INCLUDE THE TYPES OF
INDUSTRIES THAT THE EMPLOYERS ARE ENGAGED IN. THE COMMISSIONER AND
SUPERINTENDENT OF FINANCIAL SERVICES MAY GIVE PREFERENCE TO EMPLOYERS
THAT ARE ENGAGED IN DEMAND OCCUPATIONS OR INDUSTRIES, OR IN REGIONAL
GROWTH SECTORS, INCLUDING THOSE IDENTIFIED BY THE REGIONAL ECONOMIC
DEVELOPMENT COUNCILS, SUCH AS CLEAN ENERGY, HEALTHCARE, ADVANCED MANU-
FACTURING AND CONSERVATION. IN ADDITION, THE COMMISSIONER AND SUPER-
INTENDENT OF FINANCIAL SERVICES SHALL GIVE PREFERENCE TO EMPLOYERS WHO
OFFER ADVANCEMENT AND EMPLOYEE BENEFIT PACKAGES TO THE QUALIFIED INDI-
VIDUALS.
(E) IF, AFTER REVIEWING THE APPLICATION SUBMITTED BY AN EMPLOYER, THE
COMMISSIONER AND SUPERINTENDENT OF FINANCIAL SERVICES DETERMINE THAT
SUCH EMPLOYER IS ELIGIBLE TO PARTICIPATE IN THE NEW YORK CITY HOUSING
AUTHORITY WORK TAX CREDIT PROGRAM, THE COMMISSIONER SHALL ISSUE THE
EMPLOYER A CERTIFICATE OF ELIGIBILITY THAT ESTABLISHES THE EMPLOYER AS A
QUALIFIED EMPLOYER. THE CERTIFICATE OF ELIGIBILITY SHALL SPECIFY THE
MAXIMUM AMOUNT OF NEW YORK CITY HOUSING AUTHORITY WORK TAX CREDIT THAT
THE EMPLOYER WILL BE ALLOWED TO CLAIM.
(F) THE COMMISSIONER SHALL PROVIDE THE NAMES AND ANY OTHER INFORMATION
DEEMED NECESSARY OF QUALIFIED EMPLOYERS TO COMMUNITY-BASED ORGANIZA-
TIONS. SUCH COMMUNITY-BASED ORGANIZATIONS SHALL REFER QUALIFIED EMPLOY-
EES TO APPROPRIATE QUALIFIED EMPLOYERS. QUALIFIED EMPLOYERS SHALL NOT
ASK REFERRED QUALIFIED EMPLOYEES HOW THEY QUALIFIED FOR THE NEW YORK
CITY HOUSING AUTHORITY WORK TAX CREDIT PROGRAM.
(G) THE COMMISSIONER SHALL ANNUALLY PUBLISH A REPORT. SUCH REPORT MUST
CONTAIN THE NAMES AND ADDRESSES OF ANY EMPLOYER ISSUED A CERTIFICATE OF
ELIGIBILITY UNDER THIS SECTION, AND THE MAXIMUM AMOUNT OF NEW YORK CITY
HOUSING AUTHORITY WORK TAX CREDIT ALLOWED TO THE EMPLOYER AS SPECIFIED
ON SUCH CERTIFICATE OF ELIGIBILITY.
A. 5068 3
§ 2. Section 210-B of the tax law is amended by adding a new subdivi-
sion 53 to read as follows:
53. NEW YORK CITY HOUSING AUTHORITY WORK TAX CREDIT. (A) A TAXPAYER
THAT HAS BEEN CERTIFIED BY THE COMMISSIONER OF LABOR AND SUPERINTENDENT
OF FINANCIAL SERVICES AS A QUALIFIED EMPLOYER PURSUANT TO SECTION TWEN-
TY-FIVE-D OF THE LABOR LAW SHALL BE ALLOWED A CREDIT AGAINST THE TAX
IMPOSED BY THIS ARTICLE EQUAL TO NO MORE THAN FIVE THOUSAND DOLLARS FOR
EACH QUALIFIED EMPLOYEE THE EMPLOYER EMPLOYS IN A FULL-TIME JOB OR
INTERNSHIP OF AT LEAST THIRTY-FIVE HOURS PER WEEK OR NO MORE THAN TWO
THOUSAND FIVE HUNDRED DOLLARS FOR EACH QUALIFIED EMPLOYEE THE EMPLOYER
EMPLOYS IN A PART-TIME JOB OR INTERNSHIP OF AT LEAST TWENTY TO THIRTY-
FOUR HOURS PER WEEK. FOR PURPOSES OF THIS SUBDIVISION, THE TERM "QUALI-
FIED EMPLOYEE" SHALL HAVE THE SAME MEANING AS SET FORTH IN SUBDIVISION
(B) OF SECTION TWENTY-FIVE-D OF THE LABOR LAW. THE PORTION OF THE CREDIT
DESCRIBED IN THIS PARAGRAPH SHALL BE ALLOWED FOR THE TAXABLE YEAR IN
WHICH THE WAGES ARE PAID TO THE QUALIFIED EMPLOYEE.
(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) THE TAXPAYER MAY BE REQUIRED TO ATTACH TO ITS TAX RETURN ITS
CERTIFICATE OF ELIGIBILITY ISSUED BY THE COMMISSIONER OF LABOR PURSUANT
TO SECTION TWENTY-FIVE-D 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 MAY 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
(jjj) to read as follows:
(JJJ) NEW YORK CITY HOUSING AUTHORITY WORK TAX CREDIT. (1) A TAXPAYER
THAT HAS BEEN CERTIFIED BY THE COMMISSIONER OF LABOR AND THE SUPERINTEN-
DENT OF FINANCIAL SERVICES AS A QUALIFIED EMPLOYER PURSUANT TO SECTION
TWENTY-FIVE-D OF THE LABOR LAW SHALL BE ALLOWED A CREDIT AGAINST THE TAX
IMPOSED BY THIS ARTICLE EQUAL TO NO MORE THAN FIVE THOUSAND DOLLARS FOR
EACH QUALIFIED EMPLOYEE THE EMPLOYER EMPLOYS IN A FULL-TIME JOB OR
INTERNSHIP OF AT LEAST THIRTY-FIVE HOURS PER WEEK OR NO MORE THAN TWO
THOUSAND FIVE HUNDRED DOLLARS FOR EACH QUALIFIED EMPLOYEE THE EMPLOYER
EMPLOYS IN A PART-TIME JOB OR INTERNSHIP OF AT LEAST TWENTY TO THIRTY-
FOUR HOURS PER WEEK. 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 AND THE SUPERINTEN-
DENT OF FINANCIAL SERVICES AS A QUALIFIED EMPLOYER PURSUANT TO SECTION
TWENTY-FIVE-D OF THE LABOR LAW SHALL BE ALLOWED ITS PRO RATA SHARE OF
THE CREDIT EARNED BY THE PARTNERSHIP, LIMITED LIABILITY COMPANY OR S
CORPORATION. FOR PURPOSES OF THIS SUBSECTION, THE TERM "QUALIFIED
A. 5068 4
EMPLOYEE" SHALL HAVE THE SAME MEANING AS SET FORTH IN SUBDIVISION (B) OF
SECTION TWENTY-FIVE-D OF THE LABOR LAW. THE PORTION OF THE CREDIT
DESCRIBED IN THIS PARAGRAPH SHALL BE ALLOWED FOR THE TAXABLE YEAR IN
WHICH THE WAGES ARE PAID TO THE QUALIFIED EMPLOYEE.
(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 MAY BE REQUIRED TO ATTACH TO ITS TAX RETURN ITS
CERTIFICATE OF ELIGIBILITY ISSUED BY THE COMMISSIONER OF LABOR PURSUANT
TO SECTION TWENTY-FIVE-D 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 MAY 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. This act shall take effect immediately.