S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  6140--A
 
                        2023-2024 Regular Sessions
 
                           I N  A S S E M B L Y
 
                               April 3, 2023
                                ___________
 
 Introduced  by  M. of A. COOK -- read once and referred to the Committee
   on Small Business  --  committee  discharged,  bill  amended,  ordered
   reprinted as amended and recommitted to said committee
 
 AN ACT to amend the New York state urban development corporation act, in
   relation to requiring the small business revolving loan fund to target
   and  market to veteran-owned enterprises and service-disabled veteran-
   owned enterprises
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  Subdivision 3 of section 16-t of section 1 of chapter 174
 of the laws of 1968, constituting the New York state  urban  development
 corporation  act,  as  amended  by  chapter  254 of the laws of 2016, is
 amended to read as follows:
   3. Program loans to small businesses  and  micro-businesses  shall  be
 targeted  and marketed to minority and women-owned enterprises, VETERAN-
 OWNED ENTERPRISES AS SET  FORTH  IN  15  U.S.C.  SECTION  632(Q)(3),  AS
 AMENDED  FROM  TIME  TO  TIME, AND SERVICE-DISABLED VETERAN-OWNED ENTER-
 PRISES AS SET FORTH IN ARTICLE THREE OF THE VETERANS' SERVICES LAW,  and
 other  small  businesses and micro-businesses that are having difficulty
 accessing traditional credit markets. Program loans to small  businesses
 and  micro-businesses  shall  be  used for the creation and retention of
 jobs, as defined by the corporation, including: (a) working capital; (b)
 the acquisition and/or improvement of real property; (c) the acquisition
 of machinery and equipment, property or improvement; or  (d)  the  refi-
 nancing  of  debt obligations. There shall be two categories of loans to
 small businesses and micro-businesses: a micro loan that  shall  have  a
 principal  amount  that  is less than twenty-five thousand dollars and a
 regular loan that shall have a principal amount not  less  than  twenty-
 five  thousand  dollars.  Prior  to receiving program funds, the lending
 organization must certify to the corporation  that  such  loan  complies
 with  this section and rules and regulations promulgated for the program
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD04336-02-3
              

 A. 6140--A                          2
 
 and that the lending organization has performed its obligations pursuant
 to and is in compliance with this section, the program rules  and  regu-
 lations  and all agreements entered into between the corporation and the
 lending  organization.  The  program  funds  amount  used by the lending
 organization to fund a program applicant loan shall  not  be  more  than
 fifty  percent  of  the principal amount of such loan. The program funds
 amount used by the lending organization to fund a program applicant loan
 shall not be greater than one hundred and twenty-five thousand  dollars.
 Minority-  and  women-owned  business  enterprises, VETERAN-OWNED ENTER-
 PRISES AS SET FORTH IN 15 U.S.C. SECTION 632(Q)(3), AS AMENDED FROM TIME
 TO TIME, AND SERVICE-DISABLED VETERAN-OWNED ENTERPRISES AS SET FORTH  IN
 ARTICLE  THREE OF THE VETERANS' SERVICES LAW, and other small businesses
 or micro-businesses who access such program loans under this subdivision
 shall not be precluded from accessing such  short-term  financing  loans
 provided under subdivision eleven of this section.
   § 2. This act shall take effect immediately.