Bill S4359-2013

Relates to the small business revolving loan fund program

Relates to the small business revolving loan fund program.

Details

Actions

  • Jan 8, 2014: REFERRED TO CORPORATIONS, AUTHORITIES AND COMMISSIONS
  • Jan 8, 2014: returned to senate
  • Jan 8, 2014: died in assembly
  • Jun 20, 2013: referred to small business
  • Jun 20, 2013: DELIVERED TO ASSEMBLY
  • Jun 20, 2013: PASSED SENATE
  • May 8, 2013: ADVANCED TO THIRD READING
  • May 7, 2013: 2ND REPORT CAL.
  • May 6, 2013: 1ST REPORT CAL.542
  • Mar 21, 2013: REFERRED TO CORPORATIONS, AUTHORITIES AND COMMISSIONS

Meetings

Calendars

Votes

VOTE: COMMITTEE VOTE: - Corporations, Authorities and Commissions - May 6, 2013
Ayes (2): Ranzenhofer, Flanagan
Ayes W/R (3): Martins, Perkins, Squadron
Excused (1): Larkin

Memo

BILL NUMBER:S4359

TITLE OF BILL: An act to amend the urban development corporation act, in relation to the small business revolving loan fund program

Purpose of Bill: This bill would enable Empire State Development (ESD) to fully utilize its revolving loan funding by permitting it to reallocate funds to the Small Business Revolving Loan Trust Fund from the Regional Revolving Loan Trust Fund Program, Minority and Women Revolving Loan Trust Fund Program, Micro Enterprise Revolving Loan Trust Fund and Commercial District Revolving Loan Trust fund, provided that loans made with such reallocated funds are made to the types of businesses that would be eligible under the respective program from which the funds were reallocated.

Summary of Provisions:

Section 1 of the bill would amend the Small Business Revolving Loan Trust Fund Program by adding a new subdivision 16, which permits the reallocation of funding to the Small Business Revolving Loan Trust Fund Program from the Regional Revolving Loan Trust Fund Program. Minority and Women Revolving Loan Trust Fund Program, Micro Enterprise Revolving Loan Trust Fund and Commercial District Revolving Loan Trust fund, provided that loans made with such reallocated funds were made to the types of businesses that would be eligible under the respective program from which the funds were reallocated.

Section two of the bill is the effective date.

Existing Law: Currently, the Revolving Loan Trust Fund Programs listed in the bill do not permit reallocation of funding.

Prior Legislative History: This is a new bill.

Statement in Support: The bill would enable ESD to fully utilize its revolving loan program funding by permitting reallocation of funding from several revolving loan fund programs to the Small Business Revolving Loan Fund Program. This will allow ESD greater flexibility to structure transactions that more closely meet changing market requirements, while still servicing the types of businesses that the Revolving Loan Fund Programs from which the funds are being reallocated were intended to benefit.

Fiscal Implications: None to the State.

Effective Date: This bill would take effect immediately.


Text

STATE OF NEW YORK ________________________________________________________________________ 4359 2013-2014 Regular Sessions IN SENATE March 21, 2013 ___________
Introduced by Sen. RANZENHOFER -- (at request of the Empire State Devel- opment) -- read twice and ordered printed, and when printed to be committed to the Committee on Corporations, Authorities and Commis- sions AN ACT to amend the urban development corporation act, in relation to the small business revolving loan fund program THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: Section 1. Section 16-t of section 1 of chapter 174 of the laws of 1968, constituting the urban development corporation act, is amended by adding a new subdivision 16 to read as follows: (16) AS PROVIDED IN THIS SUBDIVISION, THE CORPORATION IS AUTHORIZED TO REALLOCATE TO THE PROGRAM FUNDS FROM THE REGIONAL REVOLVING LOAN TRUST FUND, THE MINORITY AND WOMEN REVOLVING LOAN TRUST FUND, THE MICRO ENTER- PRISE REVOLVING LOAN TRUST FUND AND THE COMMERCIAL DISTRICT REVOLVING LOAN TRUST FUND. FOR PROGRAM LOANS MADE WITH SUCH REALLOCATED FUNDS: (A) LOANS PROVIDED WITH FUNDS REALLOCATED FROM THE MINORITY AND WOMEN REVOLVING LOAN TRUST FUND SHALL BE TO MINORITY BUSINESS ENTERPRISES, AS DEFINED IN SUBDIVISION THREE OF SECTION TWO HUNDRED TEN OF THE ECONOMIC DEVELOPMENT LAW, AND WOMEN-OWNED BUSINESS ENTERPRISES, AS DEFINED IN SUBDIVISION FIVE OF SECTION TWO HUNDRED TEN OF THE ECONOMIC DEVELOPMENT LAW; (B) LOANS PROVIDED WITH FUNDS REALLOCATED FROM THE MICRO ENTERPRISE REVOLVING LOAN TRUST FUND SHALL BE MICROLOANS EQUAL TO OR LESS THAN SEVEN THOUSAND DOLLARS TO MINORITY BUSINESS ENTERPRISES, AS DEFINED IN SUBDIVISION THREE OF SECTION TWO HUNDRED TEN OF THE ECONOMIC DEVELOPMENT LAW, AND WOMEN-OWNED BUSINESS ENTERPRISES, AS DEFINED IN SUBDIVISION FIVE OF SECTION TWO HUNDRED TEN OF THE ECONOMIC DEVELOPMENT LAW; (C) LOANS PROVIDED WITH FUNDS REALLOCATED FROM THE COMMERCIAL DISTRICT REVOLVING LOAN TRUST FUND SHALL BE TO RETAIL BUSINESS WITHIN A COMMER- CIAL DISTRICT; (D) TO THE EXTENT FEASIBLE, THE CORPORATION SHALL APPLY THE REALLOCATED FUNDS FROM THE REGIONAL REVOLVING LOAN TRUST FUND SO
THAT PROGRAM ELIGIBLE BORROWERS IN ALL REGIONS OF THE STATE SHALL HAVE ACCESS TO LOANS FUNDED WITH SUCH REALLOCATED FUNDS; (E) THE CORPORATION MAY AUTHORIZE A LENDING ORGANIZATION TO FUND UP TO ONE HUNDRED PERCENT OF THE PRINCIPAL AMOUNT OF EACH LOAN WITH REALLOCATED FUNDS; (F) LENDING ORGANIZATIONS PARTICIPATING IN THE REGIONAL REVOLVING LOAN TRUST FUND, THE MINORITY AND WOMEN REVOLVING LOAN TRUST FUND, THE MICRO ENTERPRISE REVOLVING LOAN TRUST FUND AND THE COMMERCIAL DISTRICT REVOLVING LOAN TRUST FUND, OR THE PROGRAM MAY RECEIVE SUCH REALLOCATED FUNDS WITHOUT PARTICIPATING IN A NEW COMPETITIVE SOLICITATION; AND (G) SUBJECT TO THE PROVISIONS OF THIS SUBDIVISION, ALL OTHER PROVISIONS OF THIS SECTION WILL APPLY WITH RESPECT TO THE REALLOCATED FUNDS. S 2. This act shall take effect immediately.

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