S T A T E   O F   N E W   Y O R K
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                                  3388

                       2013-2014 Regular Sessions

                          I N  A S S E M B L Y

                            January 25, 2013
                               ___________

Introduced by M. of A. GLICK, GOTTFRIED, MAISEL -- Multi-Sponsored by --
  M. of A. SWEENEY -- read once and referred to the Committee on Econom-
  ic Development

AN  ACT  to  amend  the  economic development law and the New York state
  urban development corporation act, in relation to limiting the use  of
  economic development funds to certain corporations

  THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. The economic development law is amended  by  adding  a  new
section 107 to read as follows:
  S  107. RESTRICTIONS ON ECONOMIC DEVELOPMENT FUNDING TO CERTAIN CORPO-
RATIONS. NO ECONOMIC DEVELOPMENT LOANS, GRANTS OR  OTHER  FUNDS  MAY  BE
PROVIDED UNDER THE PROVISIONS OF THIS CHAPTER TO ANY PERSON, FIRM, PART-
NERSHIP  OR  CORPORATION WHERE THE CHIEF EXECUTIVE OFFICER OF SUCH BUSI-
NESS ENTITY RECEIVES A  SALARY,  INCLUDING  ALL  REMUNERATION,  BONUSES,
STOCK  AND  BENEFITS, WHICH IS MORE THAN TWENTY-FIVE TIMES THE AMOUNT OF
THE SALARY OF THE LOWEST PAID EMPLOYEE  OF  SUCH  BUSINESS  ENTITY.  THE
SALARY  OF  ANY  PART  TIME  EMPLOYEE  SHALL BE DETERMINED ON A PRORATED
BASIS, AND CALCULATED AS IF SUCH EMPLOYEE WAS EMPLOYED  FULL  TIME.  THE
COMMISSIONER SHALL REQUEST AND EXAMINE THE PAYROLL RECORDS AND ANY OTHER
RECORDS  OF  ANY BUSINESS ENTITY WHICH RECEIVES OR APPLIES FOR ANY LOAN,
GRANT OR ECONOMIC DEVELOPMENT  FUNDING  UNDER  THIS  CHAPTER  WHICH  ARE
NECESSARY TO DETERMINE THE SALARY AMOUNTS PURSUANT TO THIS SECTION.
  S  2.  Section  1 of chapter 174 of the laws of 1968, constituting the
New York state urban development corporation act, is amended by adding a
new section 5-a to read as follows:
  S 5-A. RESTRICTIONS ON ECONOMIC DEVELOPMENT FUNDING TO CERTAIN  CORPO-
RATIONS.  NO  ECONOMIC  DEVELOPMENT  LOANS, GRANTS OR OTHER FUNDS MAY BE
PROVIDED UNDER THE PROVISIONS OF THIS ACT TO ANY PERSON, FIRM,  PARTNER-
SHIP  OR  CORPORATION WHERE THE CHIEF EXECUTIVE OFFICER OF SUCH BUSINESS
ENTITY RECEIVES A SALARY, INCLUDING ALL REMUNERATION, BONUSES, STOCK AND

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD04557-01-3
              

A. 3388                             2

BENEFITS, WHICH IS MORE THAN TWENTY-FIVE TIMES THE AMOUNT OF THE  SALARY
OF  THE  LOWEST PAID EMPLOYEE OF SUCH BUSINESS ENTITY. THE SALARY OF ANY
PART TIME EMPLOYEE SHALL BE DETERMINED ON A PRORATED BASIS,  AND  CALCU-
LATED AS IF SUCH EMPLOYEE WAS EMPLOYED FULL TIME. THE BOARD OF DIRECTORS
OF THE CORPORATION SHALL REQUEST AND EXAMINE THE PAYROLL RECORDS AND ANY
OTHER  RECORDS  OF ANY BUSINESS ENTITY WHICH RECEIVES OR APPLIES FOR ANY
LOAN, GRANT OR ECONOMIC DEVELOPMENT FUNDING UNDER  THIS  ACT  WHICH  ARE
NECESSARY TO DETERMINE THE SALARY AMOUNTS PURSUANT TO THIS SECTION.
  S  3. This act shall take effect on the first of January next succeed-
ing the date on which it shall have become a law.