NY State Senate Bill 2019-S661

Archive: Last Bill Status - In Senate Committee Commerce, Economic Development And Small Business Committee

Introduced
- In Committee Assembly
- In Committee Senate
- On Floor Calendar Assembly
- On Floor Calendar Senate
- Passed Assembly
- Passed Senate
Delivered to Governor
Signed By Governor

Please enter your contact information

First Name

Last Name

Email Address

A valid email address is required.

Home address is used to determine the senate district in which you reside. Your support or opposition to this bill is then shared immediately with the senator who represents you.

Optional services from the NY State Senate:

Create an account. An account allows you to officially support or oppose key legislation, sign petitions with a single click, and follow issues, committees, and bills that matter to you. When you create an account, you agree to this platform's terms of participation.

Include a custom message for your Senator? (Optional)

Enter a message to your senator. Many New Yorkers use this to share the reasoning behind their support or opposition to the bill. Others might share a personal anecdote about how the bill would affect them or people they care about.

Actions

View Actions

	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Jan 08, 2020	referred to commerce, economic development and small business
Jan 09, 2019	referred to commerce, economic development and small business

co-Sponsors

View additional co-sponsors

2019-S661 (ACTIVE) - Details

See Assembly Version of this Bill:: A2429
Current Committee:: Senate Commerce, Economic Development And Small Business
Law Section:: Economic Development Law
Laws Affected:: Amd §§438 & 433, Ec Dev L
Versions Introduced in 2017-2018 Legislative Session:: S5985, A7427

2019-S661 (ACTIVE) - Summary

Relates to reporting requirements for the START-UP NY program; requires an annual report be prepared and provided to the governor and the legislature including, but not limited to, the number of business applicants, number of businesses approved, benefits distributed and received and the number of net new jobs created per business including cumulative data that reflects the amount previously recorded and adjusted for net new jobs that have been lost.

2019-S661 (ACTIVE) - Sponsor Memo

                                
 
BILL NUMBER: S661

SPONSOR: BOYLE
 
TITLE OF BILL:

An act to amend the economic development law, in relation to reporting
requirements for the START-UP NY program including specific data relat-
ing to net new jobs

 
PURPOSE OF THE BILL:

This bill would revive and restore and improve the reporting require-
ments for the "SUNY Tax-free Areas to Revitalize and Transform Upstate
New York program," or the "START-UP NY program."

 
SUMMARY OF SPECIFIC PROVISIONS:

Section one of this bill revives 8 438 of the Economic Development Law
which had been wholly repealed in the enacted 2017-18 state budget.

Section two of this bill improves annual reporting requirements consist-

ent with A.3005-B, Part X.

Section three of this bill restores the reporting requirements for
participants in the START-UP NY program, as a condition of program
eligibility in § 433 of the Economic Development Law which had also been
repealed in the enacted 2017-18 budget.

Section four sets an immediate effective date.

 
JUSTIFICATION:

This legislation restores and clarifies the annual reporting requirement
for Start-Up NY and statutorily sets the report submission date for
START-UP NY as April let, and annually thereafter. The original statute
was silent on the required reporting date, but the current regulations
require April 1st. This legislation also specifies how job data is to be
presented in annual reports issued by the Department of Economic Devel-
opment so that there are distinct annual and adjusted cumulative data
available for review.  Further, since the inception of this program in
2013, participants in the START-UP NY have, as a condition of program
eligibility, reported on their progress, including how many net new jobs
their companies have created, this legislation restores that require-
ment.

 
PRIOR LEGISLATIVE HISTORY:

2017-18 Passed Senate 5/9/2108, Delivered to Assembly and referred to
Ways and Means.

 
FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS:

None noted.

 
EFFECTIVE DATE:
Immediately.

2019-S661 (ACTIVE) - Bill Text download pdf

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                    661
 
                        2019-2020 Regular Sessions
 
                             I N  S E N A T E
 
                                (PREFILED)
 
                              January 9, 2019
                                ___________
 
 Introduced  by  Sens.  BOYLE,  AKSHAR,  HELMING, LANZA, ORTT, SEPULVEDA,
   SERINO -- read twice and ordered  printed,  and  when  printed  to  be
   committed to the Committee on Commerce, Economic Development and Small
   Business
 
 AN  ACT  to amend the economic development law, in relation to reporting
   requirements for the  START-UP  NY  program  including  specific  data
   relating to net new jobs
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Notwithstanding the provisions of article 5 of the  general
 construction law, the provisions of section 438 of the economic develop-
 ment  law, as amended by section two of this act, are hereby revived and
 shall continue in full force and effect as such  provisions  existed  on
 April 10, 2017.
   §  2. Section 438 of the economic development law, as added by section
 1 of part A of chapter 68 of the laws of 2013, is  amended  to  read  as
 follows:
   §  438.  Disclosure  authorization  and reporting requirements. 1. The
 commissioner and the department shall disclose publicly  the  names  and
 addresses  of the businesses located within a tax-free NY area. In addi-
 tion, the commissioner and the department shall  disclose  publicly  and
 include  in  the  annual  report  required under subdivision two of this
 section such other information contained in  such  businesses'  applica-
 tions and annual reports, including the projected number of net new jobs
 to  be  created, as they determine is relevant and necessary to evaluate
 the success of this program.
   2. (a) The commissioner shall prepare an annual report to the governor
 and the legislature NO LATER THAN APRIL FIRST, TWO THOUSAND  TWENTY  AND
 ANNUALLY  THEREAFTER.   Such report shall include the number of business
 applicants, number of businesses approved, the names  and  addresses  of
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets

                       [ ] is old law to be omitted.
                                                            LBD03909-01-9

 S. 661                              2
 
 the  businesses located within a tax-free NY area, total amount of bene-
 fits distributed, benefits received per business, number of net new jobs
 created, net new jobs created per business, new investment per business,
 the  types  of  industries represented and such other information as the
 commissioner determines is necessary to evaluate  the  progress  of  the
 START-UP  NY  program.   SUCH ANNUAL REPORT SHALL, AT A MINIMUM, INCLUDE
 ANNUAL PROGRAM DATA AND INFORMATION ATTRIBUTABLE SOLELY TO THE PRECEDING
 CALENDAR YEAR.  IN ADDITION, SUCH REPORT SHALL INCLUDE CUMULATIVE ANNUAL
 PROGRAM DATA INCLUDING ALL NET NEW JOBS  PREVIOUSLY  RECORDED,  ADJUSTED
 FOR NET NEW JOBS THAT HAVE BEEN SUBSEQUENTLY LOST. CUMULATIVE DATA SHALL
 BE  PRESENTED  SEPARATE AND DISTINCT FROM ANNUAL PROGRAM DATA REPORTING.
 SUCH REPORT SHALL BE POSTED AS A SEPARATE DOCUMENT ON  THE  DEPARTMENT'S
 WEBSITE.
   (b)  Any  business located in a tax-free NY area must submit an annual
 report to the commissioner in a form and at  such  time  and  with  such
 information  as  prescribed by the commissioner in consultation with the
 commissioner of taxation and finance. Such information shall  be  suffi-
 cient  for the commissioner and the commissioner of taxation and finance
 to: (i) monitor the  continued  eligibility  of  the  business  and  its
 employees  to participate in the START-UP NY program and receive the tax
 benefits described in section thirty-nine of the tax law; (ii)  evaluate
 the  progress  of  the START-UP NY program; and (iii) prepare the annual
 report required by paragraph (a) of this subdivision. Such annual report
 shall also include information regarding the wages paid during the  year
 to  its employees employed in the net new jobs created and maintained in
 the tax-free NY area.
   § 3. Subdivision 1 of section 433 of the economic development law,  as
 amended  by  section 3 of part UUU of chapter 59 of the laws of 2017, is
 amended to read as follows:
   1. In order to participate in the START-UP NY program, a business must
 satisfy all of the following criteria.
   (a) The mission and activities of the  business  must  align  with  or
 further  the academic mission of the campus, college or university spon-
 soring the tax-free NY area in which it seeks to locate, and  the  busi-
 ness's  participation  in  the  START-UP  NY  program must have positive
 community and economic benefits.
   (b) The business must demonstrate that it will, in its first  year  of
 operation,  create  net new jobs. After its first year of operation, the
 business must maintain net new jobs. In addition, the average number  of
 employees  of  the  business and its related persons in the state during
 the year must equal or exceed the sum of:  (i)  the  average  number  of
 employees  of  the  business and its related persons in the state during
 the year immediately preceding the year in which  the  business  submits
 its  application  to locate in a tax-free NY area; and (ii) net new jobs
 of the business in the tax-free NY area during  the  year.  The  average
 number of employees of the business and its related persons in the state
 shall  be determined by adding together the total number of employees of
 the business and its related persons in the state on March thirty-first,
 June thirtieth, September thirtieth and December thirty-first and divid-
 ing the total by the number of such dates occurring within such year.
   (c) Except as provided in paragraphs [(f)] (G) and [(g)] (H)  of  this
 subdivision,  at the time it submits its application for the START-UP NY
 program, the business must be a new business to the state.
   (d) The business may be organized as  a  corporation,  a  partnership,
 limited liability company or a sole proprietorship.

 S. 661                              3

   (e)  UPON  COMPLETION OF ITS FIRST YEAR IN THE START-UP NY PROGRAM AND
 THEREAFTER, THE BUSINESS MUST COMPLETE AND TIMELY FILE THE ANNUAL REPORT
 REQUIRED UNDER SECTION FOUR HUNDRED THIRTY-EIGHT OF THIS ARTICLE.
   (F)  Except  as provided in paragraphs [(f)] (G) and [(g)] (H) of this
 subdivision, the business must not be engaged in a line of business that
 is currently or was previously conducted by the business  or  a  related
 person in the last five years in New York state.
   [(f)]  (G) If a business does not satisfy the eligibility standard set
 forth in paragraph (c) or [(e)] (F) of this subdivision, because at  one
 point in time it operated in New York state but moved its operations out
 of  New  York  state on or before June first, two thousand thirteen, the
 commissioner shall grant that business permission to  apply  to  partic-
 ipate in the START-UP NY program if the commissioner determines that the
 business has demonstrated that it will substantially restore the jobs in
 New York state that it previously had moved out of state.
   [(g)]  (H) If a business seeks to expand its current operations in New
 York state into a tax-free NY area but the business does not qualify  as
 a new business because it does not satisfy the criteria in paragraph (c)
 of subdivision six of section four hundred thirty-one of this article or
 the  business  does  not  satisfy  the eligibility standard set forth in
 paragraph [(e)] (F) of this subdivision, the  commissioner  shall  grant
 the  business  permission  to  apply  to  participate in the START-UP NY
 program if the commissioner determines  that  the  business  has  demon-
 strated  that  it  will  create net new jobs in the tax-free NY area and
 that it or any related person has not eliminated any jobs in  the  state
 in connection with this expansion.
   § 4. This act shall take effect immediately.

Comments

Open Legislation is a forum for New York State legislation. All comments are subject to review and community moderation is encouraged.

Comments deemed off-topic, commercial, campaign-related, self-promotional; or that contain profanity, hate or toxic speech; or that link to sites outside of the nysenate.gov domain are not permitted, and will not be published. Attempts to intimidate and silence contributors or deliberately deceive the public, including excessive or extraneous posting/posts, or coordinated activity, are prohibited and may result in the temporary or permanent banning of the user. Comment moderation is generally performed Monday through Friday. By contributing or voting you agree to the Terms of Participation and verify you are over 13.

Create an account. An account allows you to sign petitions with a single click, officially support or oppose key legislation, and follow issues, committees, and bills that matter to you. When you create an account, you agree to this platform's terms of participation.

Senate Bill S661

Sponsored By

Archive: Last Bill Status - In Senate Committee Commerce, Economic Development And Small Business Committee

co-Sponsors

2019-S661 (ACTIVE) - Details

2019-S661 (ACTIVE) - Summary

2019-S661 (ACTIVE) - Sponsor Memo

2019-S661 (ACTIVE) - Bill Text download pdf

Comments

Senate Bill S661

Share this bill

Sponsored By

Archive: Last Bill Status - In Senate Committee Commerce, Economic Development And Small Business Committee

co-Sponsors

2019-S661 (ACTIVE) - Details

2019-S661 (ACTIVE) - Summary

2019-S661 (ACTIVE) - Sponsor Memo

2019-S661 (ACTIVE) - Bill Text download pdf

Comments