S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   6223
 
                        2019-2020 Regular Sessions
 
                           I N  A S S E M B L Y
 
                               March 4, 2019
                                ___________
 
 Introduced by M. of A. BICHOTTE -- read once and referred to the Commit-
   tee on Governmental Operations
 
 AN  ACT  to amend the executive law, in relation to criteria for certif-
   ication by the division of minority and women's  business  development
   of  minority and women-owned business enterprise status; and to repeal
   subdivision 19 of section 310 of such law relating to  the  definition
   of personal net worth
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Paragraph (a) of subdivision 2-a  of  section  314  of  the
 executive law, as amended by chapter 175 of the laws of 2010, is amended
 to read as follows:
   (a)  The  director  shall establish a procedure enabling the office to
 accept New York municipal  corporation  certification  verification  for
 minority  and  women-owned  business  enterprise  applicants  in lieu of
 requiring the applicant to complete the state certification process. The
 director shall promulgate rules and regulations to  set  forth  criteria
 for  the acceptance of municipal corporation certification. All eligible
 municipal corporation certifications shall require business  enterprises
 seeking certification to meet the following standards:
   (i)  have  at  least  fifty-one  percent  ownership by a minority or a
 women-owned enterprise and be owned by United States citizens or  perma-
 nent resident aliens;
   (ii)  be  an  enterprise  in which the minority and/or women-ownership
 interest is real, substantial and continuing;
   (iii) be an enterprise in which the  minority  and/or  women-ownership
 has  and exercises the authority to control independently the day-to-day
 business decisions of the enterprise;
   (iv) be an enterprise authorized to do business in this state;
   (v) be subject to a physical site inspection to verify  the  fifty-one
 percent ownership requirement;
   (vi)  be  owned  by  an  individual  or  individuals, whose ownership,
 control and  operation  are  relied  upon  for  certification[,  with  a
 personal net worth that does not exceed three million five hundred thou-
              

  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD00264-02-9

 A. 6223                             2

 sand  dollars,  as  adjusted  annually  for  inflation  according to the
 consumer price index] AND THAT HAS BEEN AWARDED CONTRACTS BY ONE OR MORE
 AGENCIES WITHIN THE PAST  THREE  YEARS  WHERE  THE  TOTAL  CITY  FUNDING
 RECEIVED BY THE ENTERPRISE FROM THE EXPENSE AND CAPITAL BUDGETS FOR SUCH
 CONTRACTS  WAS EQUAL TO OR GREATER THAN SIXTY MILLION DOLLARS, EXCLUSIVE
 OF ANY PAYMENTS MADE TO SUBCONTRACTORS, AND WHOSE SIZE HAS EXCEEDED  THE
 SIZE  STANDARDS  ESTABLISHED FOR ITS INDUSTRY BY THE UNITED STATES SMALL
 BUSINESS ADMINISTRATION FOR THREE YEARS; and
   (vii) be an enterprise that is a small business pursuant  to  subdivi-
 sion twenty of section three hundred ten of this article.
   §  2.  Paragraph (e) of subdivision 7, paragraph (e) of subdivision 15
 and subdivision 20 of section 310 of the executive law, paragraph (e) of
 subdivision 7 and paragraph (e) of subdivision 15 as amended by  chapter
 22 of the laws of 2014 and subdivision 20 as added by chapter 175 of the
 laws of 2010, are amended to read as follows:
   (e)  an enterprise owned by an individual or individuals, whose owner-
 ship, control and operation are relied upon for certification[,  with  a
 personal net worth that does not exceed three million five hundred thou-
 sand dollars, as adjusted annually on the first of January for inflation
 according to the consumer price index of the previous year] AND THAT HAS
 BEEN  AWARDED  CONTRACTS  BY  ONE OR MORE AGENCIES WITHIN THE PAST THREE
 YEARS WHERE THE TOTAL STATE FUNDING RECEIVED BY THE ENTERPRISE FROM  THE
 EXPENSE  AND  CAPITAL BUDGETS FOR SUCH CONTRACTS WAS EQUAL TO OR GREATER
 THAN SIXTY MILLION DOLLARS, EXCLUSIVE OF ANY PAYMENTS  MADE  TO  SUBCON-
 TRACTORS, AND WHOSE SIZE HAS EXCEEDED THE SIZE AND STANDARDS ESTABLISHED
 FOR  ITS INDUSTRY BY THE UNITED STATES SMALL BUSINESS ADMINISTRATION FOR
 THREE YEARS; and
   (e) an enterprise owned by an individual or individuals, whose  owner-
 ship,  control  and operation are relied upon for certification[, with a
 personal net worth that does not exceed three million five hundred thou-
 sand dollars, as adjusted annually on the first of January for inflation
 according to the consumer price index of the previous year] AND THAT HAS
 BEEN AWARDED CONTRACTS BY ONE OR MORE AGENCIES  WITHIN  THE  PAST  THREE
 YEARS  WHERE THE TOTAL STATE FUNDING RECEIVED BY THE ENTERPRISE FROM THE
 EXPENSE AND CAPITAL BUDGETS FOR SUCH CONTRACTS WAS EQUAL TO  OR  GREATER
 THAN  SIXTY  MILLION  DOLLARS, EXCLUSIVE OF ANY PAYMENTS MADE TO SUBCON-
 TRACTORS, AND WHOSE SIZE HAS EXCEEDED THE SIZE STANDARDS ESTABLISHED FOR
 ITS INDUSTRY BY THE UNITED  STATES  SMALL  BUSINESS  ADMINISTRATION  FOR
 THREE YEARS; and
   20.  "Small  business" as used in this section, unless otherwise indi-
 cated, shall mean a business which has a significant  business  presence
 in  the  state, is independently owned and operated, not dominant in its
 field and [employs, based on its industry, a certain number  of  persons
 as  determined  by the director, but not to exceed three hundred, taking
 into consideration factors which include, but are not limited to, feder-
 al small business administration standards] WHOSE SIZE DOES  NOT  EXCEED
 THE  SIZE  STANDARDS  ESTABLISHED  BY  THE  UNITED STATES SMALL BUSINESS
 ADMINISTRATION FOR ITS INDUSTRY pursuant to 13  CFR  part  121  and  any
 amendments   thereto.   The   director  may  issue  regulations  on  the
 construction of the terms in this definition.
   § 3. Subdivision 19 of section 310 of the executive law is REPEALED.
   § 4. This act shall take effect on the ninetieth day  after  it  shall
 have  become  a  law;  provided, however, that the amendments to article
 15-A of the executive law made by sections one and two of this act shall
 not affect the expiration of such article and shall be deemed to  expire
 therewith.