S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   5703
 
                        2021-2022 Regular Sessions
 
                             I N  S E N A T E
 
                              March 16, 2021
                                ___________
 
 Introduced  by  Sen.  COMRIE -- read twice and ordered printed, and when
   printed to be committed to the Committee on Corporations,  Authorities
   and Commissions
 
 AN  ACT  to  amend  the  public  authorities law, in relation to project
   applications and advisory opinions of the public  authorities  control
   board

   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Subdivisions 2, 3, 3-a, 4, 5 and 6 of  section  51  of  the
 public authorities law are renumbered subdivisions 6, 7, 8, 9, 10 and 11
 and four new subdivisions 2, 3, 4 and 5 are added to read as follows:
   2. ANY APPLICATION MADE CONCERNING A PROPOSED PROJECT INVOLVING A LOAN
 SHALL INCLUDE, EXPRESSLY AND IN WRITING, THE TERMS, CONDITIONS AND DATES
 OF THE REPAYMENT OF STATE APPROPRIATIONS AUTHORIZED BY LAW PURSUANT TO A
 REPAYMENT  AGREEMENT  AND SHALL INCLUDE A COPY OF THE PROPOSED REPAYMENT
 AGREEMENT. IN ANY SUCH APPLICATION THE TERMS  AND  CONDITIONS,  PROVIDED
 EXPRESSLY AND IN WRITING, SHALL INCLUDE, BUT NOT BE LIMITED TO:
   A. ANY JOB RETENTION OR JOB CREATION REQUIREMENTS AND THE TERMS OF ANY
 SUCH  REQUIREMENTS,  WHERE  SUCH  LOAN  WOULD  BE CONDITIONAL ON ANY JOB
 RETENTION OR JOB CREATION REQUIREMENTS, A DESCRIPTION OF ANY CONTRACTUAL
 CLAWBACK PROVISIONS OR OTHER REMEDIES IN THE EVENT SUCH REQUIREMENTS ARE
 NOT MET;
   B. RATE OF INTEREST, FOR FIXED RATE AGREEMENTS;
   C. ALL TERMS NECESSARY TO DETERMINE AND CALCULATE  INTEREST  FOR  NON-
 FIXED RATE LOAN AGREEMENTS;
   D. REPAYMENT DATE, OR DATES, AND ASSOCIATED AMOUNTS, FOR THE RETURN OF
 LOAN PRINCIPAL;
   E.  ANY CONDITIONS OR RESTRICTIONS ASSOCIATED WITH THE LOAN, THE TERMS
 OF SUCH CONDITIONS OR RESTRICTIONS, AND ANY CONTRACTUAL REMEDY  IF  SUCH
 CONDITIONS OR RESTRICTIONS IN THE EVENT OF A BREACH OF SUCH TERMS;
   F. ANY SECURITY PROVISION AND A DESCRIPTION OF SUCH PROVISIONS; AND
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD10035-01-1

 S. 5703                             2
 
   G. ANY GUARANTEE ASSOCIATED WITH SUCH LOAN.
   3.  ANY  APPLICATION  MADE  CONCERNING  A PROPOSED PROJECT INVOLVING A
 GRANT SHALL INCLUDE, EXPRESSLY AND IN WRITING, THE TERMS AND  CONDITIONS
 OF  STATE APPROPRIATIONS AUTHORIZED BY LAW PURSUANT TO A GRANT DISBURSE-
 MENT AGREEMENT AND PURSUANT TO ANY OTHER AGREEMENTS WHICH  WOULD  RELATE
 TO  SUCH  GRANT.  IN  ANY  SUCH  APPLICATION  THE  TERMS AND CONDITIONS,
 PROVIDED EXPRESSLY AND IN WRITING, SHALL INCLUDE, BUT NOT BE LIMITED TO:
   A. ANY JOB RETENTION OR JOB CREATION REQUIREMENTS AND THE TERMS OF ANY
 SUCH REQUIREMENTS, WHERE SUCH LOAN  WOULD  BE  CONDITIONAL  ON  ANY  JOB
 RETENTION OR JOB CREATION REQUIREMENTS, A DESCRIPTION OF ANY CONTRACTUAL
 CLAWBACK PROVISIONS OR OTHER REMEDIES IN THE EVENT SUCH REQUIREMENTS ARE
 NOT MET;
   B.  A FULL DESCRIPTION OF THE PROJECT AND HOW THE GRANT FUNDS WOULD BE
 USED BY THE GRANTEE;
   C. WHERE SUCH PROJECT WOULD INVOLVE THE PURCHASE OF REAL  PROPERTY,  A
 DESCRIPTION OF WHO WOULD OWN THE PROPERTY;
   D. TOTAL COST OF THE PROJECT;
   E.  A  LIST OF ALL SOURCES OF FUNDS FOR SUCH PROJECT AND A DESCRIPTION
 OF EACH SOURCE OF FUNDS;
   F. A LIST OF ALL USES OF FUNDS FOR SUCH PROJECT AND A  DESCRIPTION  OF
 EACH USE OF FUNDS;
   G.  AN  CONDITIONS  OR  RESTRICTIONS ON THE GRANTEE, THE TERMS OF SUCH
 CONDITIONS OR RESTRICTIONS, AND ANY CONTRACTUAL REMEDIES IN THE EVENT OF
 A BREACH OF SUCH TERMS;
   H. A DESCRIPTION OF THE OWNERSHIP;
   I. A DESCRIPTION OF ANY LEASE AGREEMENTS;
   J. ANY SECURITY PROVISIONS; AND
   K. ANY GUARANTEES ASSOCIATED WITH SUCH GRANT.
   4. NOTWITHSTANDING ANY LAW TO THE CONTRARY, ANY PROJECT  SUBMITTED  TO
 THE  PUBLIC  AUTHORITIES  CONTROL  BOARD INVOLVING A LOAN OR GRANT WHERE
 SUCH LOAN OR GRANT WOULD BE CONDITIONAL ON JOB RETENTION OR JOB CREATION
 REQUIREMENTS SHALL INCLUDE CLAWBACK PROVISIONS IF SUCH JOB  REQUIREMENTS
 ARE  NOT MET. THE BOARD MAY APPROVE SUCH PROJECTS ONLY UPON ITS DETERMI-
 NATION THAT:
   A. SUCH SUBMITTED PROJECT INCLUDES, EXPRESSLY AND IN WRITING, CLAWBACK
 PROVISIONS, IN THE EVENT JOB RETENTION OR JOB CREATION REQUIREMENTS  ARE
 NOT MET; AND
   B.  PRIOR  TO  GRANT  DISBURSEMENT,  SUCH APPLICANT WILL SUBMIT TO THE
 PUBLIC AUTHORITIES CONTROL BOARD A BINDING LETTER OF  AGREEMENT  BETWEEN
 THE APPLICANT AND THE GRANTEE OR LOAN RECIPIENT, OR ANY BENEFICIARIES OF
 SUCH  LOAN  OR  GRANT  WHO  WOULD  BE EXPECTED TO RETAIN OR CREATE JOBS,
 EXPRESSLY AND IN WRITING ATTESTING THAT THEY AGREED TO THE JOB  CREATION
 OR  JOB  RETENTION  CLAWBACK REQUIREMENTS AS A PRECONDITION TO RECEIVING
 THE GRANT OR LOAN.
   5. A PUBLIC BENEFIT CORPORATION SUBJECT  TO  THE  PROVISIONS  OF  THIS
 SECTION  MAY  SUBMIT TO THE PUBLIC AUTHORITIES CONTROL BOARD A POTENTIAL
 PROJECT FOR COMMENT FROM THE  PUBLIC  AUTHORITIES  CONTROL  BOARD.  SUCH
 PRELIMINARY PROJECT SHALL BE SUBMITTED TO ALL PUBLIC AUTHORITIES CONTROL
 BOARD MEMBERS AND ALL MEMBERS AS WELL AS THE STATE COMPTROLLER, AND EACH
 SHALL HAVE THIRTY DAYS TO COMMENT ON THE PRELIMINARY PROJECT, IF THEY SO
 CHOOSE.  ANY  SUCH  COMMENTS  SHALL  BE  FILED BY THE PUBLIC AUTHORITIES
 CONTROL BOARD AND TRANSMITTED TO  THE  RELEVANT  PUBLIC  BENEFIT  CORPO-
 RATION. ANY SUCH COMMENT SHALL BE PURELY ADVISORY, SHALL HAVE NO BINDING
 EFFECT  ON  ANY FUTURE DECISION OF THE PUBLIC AUTHORITIES CONTROL BOARD,
 AND SHALL NOT PROVIDE APPROVAL FOR ANY PROJECT.

 S. 5703                             3
 
   § 2. Subdivisions 9 and 10 of section 51  of  the  public  authorities
 law,  as  added  by chapter 838 of the laws of 1983 and as renumbered by
 section one of this act, are amended to read as follows:
   9.  Notwithstanding any other provisions of this section, the require-
 ments of subdivisions one, [two] SIX and [three] SEVEN of  this  section
 shall  not  apply with regard to any project of the New York state envi-
 ronmental facilities corporation, the New  York  state  housing  finance
 agency, the New York state medical care facilities finance agency or the
 dormitory  authority  in  progress  on  the first day of April, nineteen
 hundred seventy-six, with regard to any project of the  New  York  state
 project  finance  agency  or the New York state urban development corpo-
 ration in progress on the first day of April, nineteen hundred  seventy-
 eight,  with  regard  to any project of the job development authority or
 the battery park city authority in progress on the first  day  of  July,
 nineteen  hundred  eighty,  and  with  regard  to a project of any other
 public benefit corporation subject to the provisions of this section  in
 progress  on  the  first  day of July, nineteen hundred eighty-three, as
 determined by the New York state public authorities control board  whose
 affirmative  determination  shall be conclusive as to all matters of law
 and fact for the purpose of the limitations of this section.
   10. Nothing contained in subdivisions one, [two] SIX and [three] SEVEN
 of this section shall limit the right or obligation of any public  bene-
 fit corporation subject to the provisions of this section to comply with
 the provisions of any existing contract, including any existing contract
 with  or for the benefit of the holders of any obligations of any public
 benefit corporation.
   § 3. This act shall take effect immediately.