A02118 Summary:

BILL NO    A02118 

SAME AS    SAME AS S05115

SPONSOR    Paulin (MS)

COSPNSR    Colton, Roberts

MLTSPNSR   Jacobs, Robinson, Skartados, Thiele, Wright

Amd S63, Exec L; amd N-PC L, generally; add S97-j, St Fin L

Prohibits officers and family members of such officers of public charities from
receiving compensation; requires reasonable compensation when allowed; sets
certain compensation; establishes the state board training consortium;
establishes the state board training consortium fund; increases certain filing
fees to fund the state board training consortium fund.
Go to top

A02118 Actions:

BILL NO    A02118 

01/09/2013 referred to governmental operations
01/08/2014 referred to governmental operations
Go to top

A02118 Memo:

BILL NUMBER:A2118

TITLE  OF BILL:   An act to amend the executive law and not-for-profit
corporation law, in relation to prohibiting certain  individuals  from
receiving  compensation  from  public  charities;  requires reasonable
compensation  when  allowed;  establishes  the  state  board  training
consortium;  and  to  amend  the  state  finance  law,  in relation to
establishing the state board training consortium fund

PURPOSE OR GENERAL IDEA  OF  BILL:    To  provide  clear  and  concise
requirements  and  procedures  to  ensure  that  compensation  paid to
executives at not-for-profits funded by the State are  reasonable  and
not excessive.

SUMMARY OF SPECIFIC PROVISIONS:

Section  one  adds a new subdivision 16 to section 63 of the executive
law to authorize  the  attorney  general  to  make  inquiry  into  any
documents   prepared   for   compliance   with   section  727  of  the
not-for-profit  corporation  law,  relating  to  the  compensation  of
executives.

Section  two  amends  subparagraph  12  of  subparagraph  (a)  of  the
not-for-profit corporation law ("NPCL") to state that compensation  is
subject,  where  applicable,  to  section  727  of  the not-for-profit
corporation law.

Section three amends section 701 of the NPCL to  disqualify  employees
and  their relatives from sitting on the board of the directors of the
corporation where they are employed.

Section four amends paragraph (a)  of  section  702  of  the  NPCL  to
provide that not-for-profit corporations with annual gross receipts in
an  amount that would trigger an audit and not-for-profit corporations
with annual gross receipts equal to or above  $250,000  must  have  at
least five directors on their board.

Section  five  amends  paragraph  (a)  of  section  706 of the NPCL to
clarify that removal of directors for cause is to  include  violations
of  NPCL  717,  duty  of  directors  and officers, or violation of the
bylaws or violation of the conflict of interest  policy  contained  in
the bylaws.

Section  six  amends  NPCL  708,  action  by  the  board, to allow for
Unanimous Consent in Lieu of a Meeting to occur via Email delivery.

Section seven amends NPCL 711, notice of meetings  of  the  board,  to
allow for Email delivery.

Section eight amends NPCL 712 to disallow the Executive Committee from
fixing the compensation of directors, officers, staff or agents of the
corporation, making this a full board function.

Section  nine  amends  NPCL  713,  to disallow officers from receiving
compensation and to disallow them from holding more than one office.


Section ten amends NPCL 713 to law to disqualify employees  and  their
relatives  from  being  compensated  for  fulfillment  of their duties
toward the corporation.

Sections  eleven  and  twelve amend NPCL 715 to allow the board to fix
director compensation for private foundations only and to disallow the
fixing of compensation for directors  for  public  charities,  and  to
disallow the compensation of officers at public charities.

Section  thirteen  amends  NPCL  717  to  mandate  that  if  there  is
compensation that said compensation must be reasonable and be  subject
to the new Section 727.

Sections  fourteen  and  fifteen  amend  NPCL  719 to append joint and
several liability to directors who vote for excess compensation and to
call for subrogation of their rights to the corporation if there is  a
reimbursement or penalty.

Section  sixteen  amends  NPCL  720  to make it actionable against the
director for not following the new Section 727.

Section seventeen adds a new section  727  to  the  NPCL.  It  defines
compensation  to  match the IRS definition surrounding "excess benefit
transactions," while  also  matching  the  testing  analysis  and  the
individuals subject to the test who are paid by the corporation, while
also  exempting  from  the testing any paid staffer at a nonprofit who
paid at or below the Level I of the Rates of Basic Pay for  Executives
Schedule  promulgated  by  the US OPM. It also calls for testing as to
whether compensation is reasonable or not for any salaries  over  this
standard, with the testing being done in-house and only made available
upon  request  of  the AG or if there is a lawsuit alleging payment of
excess benefits.

Section eighteen amends section 104-A of the NPCL to increase  various
filing fees by ten dollars.

Section  nineteen  amends  section 116 of the NPCL to create the state
board training consortium.

Section twenty amends section 97-j of the state finance law to  create
the state board training consortium fund.

Section twenty-one provides the effective date.

JUSTIFICATION:    This  legislation  will  enhance  public  trust  and
accountability in New York State's public charities, and improve their
sustainability in  serving  our  communities.  It  takes  a  targeted,
balanced  and  fair  approach  to  the  issues  associated with public
charities' compensation and promotes self-regulating accountability by
public charities' boards. It imposes workable, necessary  restrictions
on   public   charities'   staff   expenditures   and  enhances  board
responsibilities, while avoiding the imposition of  undue  burdens  on
small public charities.

PRIOR  LEGISLATIVE  HISTORY:  A.10508 of 2012 referred to governmental
operations.  Same  as  S.7565  (Marcellino)  of   2012   referred   to
investigations and government operations.


FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS:  None.

EFFECTIVE  DATE:  This  act  shall  take  effect  on  the  one hundred
eightieth day after it shall have become law.
Go to top

A02118 Text:

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

                                         2118

                              2013-2014 Regular Sessions

                                 I N  A S S E M B L Y

                                      (PREFILED)

                                    January 9, 2013
                                      ___________

       Introduced  by M. of A. PAULIN, COLTON, ROBERTS -- Multi-Sponsored by --
         M. of A. JACOBS, ROBINSON, SKARTADOS, THIELE, WRIGHT -- read once  and
         referred to the Committee on Governmental Operations

       AN ACT to amend the executive law and not-for-profit corporation law, in
         relation  to  prohibiting  certain  individuals from receiving compen-
         sation from public charities; requires  reasonable  compensation  when
         allowed; establishes the state board training consortium; and to amend
         the  state  finance  law,  in relation to establishing the state board
         training consortium fund

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

    1    Section  1. Section 63 of the executive law is amended by adding a new
    2  subdivision 16 to read as follows:
    3    16. MAKE INQUIRY INTO  ANY  DOCUMENTS  PREPARED  UNDER  SECTION  SEVEN
    4  HUNDRED  TWENTY-SEVEN  OF THE NOT-FOR-PROFIT CORPORATION LAW FOR COMPLI-
    5  ANCE WITH THAT SECTION, BUT NOT MORE THAN ANNUALLY, AND RESPOND  TO  ANY
    6  INQUIRY  REFERRED TO UNDER SUCH SECTION SEVEN HUNDRED TWENTY-SEVEN OFFI-
    7  CIALLY WITHIN NINETY DAYS OF RECEIPT.
    8    S 2. Subparagraph 12 of paragraph (a) of section 202 of  the  not-for-
    9  profit corporation law is amended to read as follows:
   10    (12)  To  elect or appoint officers, employees and other agents of the
   11  corporation, define their duties, fix their reasonable compensation  and
   12  the  reasonable  compensation  of  directors, and to indemnify corporate
   13  personnel.  Such  compensation  shall  be  commensurate  with   services
   14  performed  AND SUBJECT, WHERE APPLICABLE, TO SECTION SEVEN HUNDRED TWEN-
   15  TY-SEVEN (COMPENSATION OF EXECUTIVES).
   16    S 3. Section 701 of the not-for-profit corporation law is  amended  by
   17  adding a new paragraph (c) to read as follows:
   18    (C)  AN  EMPLOYEE  OR A SPOUSE, DOMESTIC PARTNER, SIBLING (BY WHOLE OR
   19  HALF BLOOD), SPOUSE OR DOMESTIC PARTNER OF A SIBLING (BY WHOLE  OR  HALF

        EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                             [ ] is old law to be omitted.
                                                                  LBD05072-02-3
       A. 2118                             2

    1  BLOOD),  CHILD,  GRANDCHILD,  GREAT-GRANDCHILD,  AND  SPOUSE OR DOMESTIC
    2  PARTNER OF A CHILD, GRANDCHILD, AND GREAT-GRANDCHILD OF THE EMPLOYEE  AT
    3  A  PUBLIC  CHARITY,  AS THAT TERM MAY BE DEFINED BY THE INTERNAL REVENUE
    4  SERVICE FROM TIME-TO-TIME, MAY NOT QUALIFY TO SIT ON THE BOARD OF DIREC-
    5  TORS OF THE CORPORATION WHERE THEY ARE EMPLOYED REGARDLESS OF ANY STATE-
    6  MENT  TO  THE  CONTRARY IN THE CERTIFICATE OF INCORPORATION OR BYLAWS OF
    7  THE CORPORATION. THE CERTIFICATE OF INCORPORATION  OR  THE  BYLAWS  MAY,
    8  HOWEVER,  PROVIDE  FOR AN EMPLOYEE AT A PUBLIC CHARITY, AS THAT TERM MAY
    9  BE DEFINED BY THE INTERNAL REVENUE  SERVICE  FROM  TIME-TO-TIME,  TO  BE
   10  EX-OFFICIO, A NON-VOTING MEMBER OF THE BOARD OF DIRECTORS.
   11    S  4.  Paragraph  (a) of section 702 of the not-for-profit corporation
   12  law is amended to read as follows:
   13    (a) [The] FOR NOT-FOR-PROFIT CORPORATIONS WITH ANNUAL  GROSS  RECEIPTS
   14  IN  AN AMOUNT THAT WOULD TRIGGER AN AUDIT BY A CERTIFIED PUBLIC ACCOUNT-
   15  ANT, THE number of directors constituting the entire board shall be  not
   16  less  than    FIVE,  OTHERWISE  THE  ENTIRE BOARD SHALL NOT BE LESS THAN
   17  three.  Subject to such limitation, such number  may  be  fixed  by  the
   18  by-laws  or,  in  the case of a corporation having members, by action of
   19  the members or of the board under the specific provisions  of  a  by-law
   20  adopted by the members. [If] FOR NOT-FOR-PROFIT CORPORATIONS WITH ANNUAL
   21  GROSS  RECEIPTS EQUAL TO OR ABOVE TWO HUNDRED FIFTY THOUSAND DOLLARS, IF
   22  not otherwise fixed under this paragraph, the number  shall  be    FIVE,
   23  OTHERWISE  IT  SHALL  BE  three. As used in this article, "entire board"
   24  means the total number of directors entitled to vote  which  the  corpo-
   25  ration would have if there were no vacancies.
   26    S  5.  Paragraph  (a) of section 706 of the not-for-profit corporation
   27  law is amended to read as follows:
   28    (a) Except as limited in paragraph (c) OF THIS SECTION, any or all  of
   29  the  directors  may be removed for cause, WHICH IS EITHER A VIOLATION OF
   30  THE BYLAWS, THE DUTY OF DIRECTORS AND OFFICERS OF SECTION SEVEN  HUNDRED
   31  SEVENTEEN  (COMPENSATION  OF EXECUTIVES), OR AS OTHERWISE DEFINED IN THE
   32  BYLAWS IN THE WRITTEN CONFLICT OF INTEREST POLICY OF THE CORPORATION, by
   33  vote of the members, or by vote of the directors  provided  there  is  a
   34  quorum  of  not less than a majority present at the meeting of directors
   35  at which such action is taken.
   36    S 6. Paragraph (b) of section 708 of  the  not-for-profit  corporation
   37  law, as amended by chapter 92 of the laws of 1983, is amended to read as
   38  follows:
   39    (b) Unless otherwise restricted by the certificate of incorporation or
   40  the  by-laws,  any action required or permitted to be taken by the board
   41  or any committee thereof may be taken without a meeting if  all  members
   42  of  the  board  or the committee consent in writing to the adoption of a
   43  resolution authorizing the action,  WHERE  SAID  WRITING,  OR  UNANIMOUS
   44  CONSENT  IN  LIEU OF A MEETING, IS DELIVERED, SUBMITTED AND SIGNED SEPA-
   45  RATELY BY ALL MEMBERS OF THE BOARD OR THE  COMMITTEE  AND  SUBMITTED  BY
   46  ELECTRONIC-MAIL,  OR  OTHER ELECTRONIC MEANS WITH AN ELECTRONIC RETURNED
   47  RECEIPT, OR SIMILAR MESSAGE ATTACHED, DEMONSTRATING THAT  THE  UNANIMOUS
   48  CONSENT  IN LIEU OF A MEETING WAS INDEED DELIVERED PROPERLY.  The resol-
   49  ution and the written consents thereto by the members of  the  board  or
   50  committee  shall  be  filed  with  the minutes of the proceedings of the
   51  board or committee.
   52    S 7. Paragraphs (b) and (d)  of  section  711  of  the  not-for-profit
   53  corporation law are amended to read as follows:
   54    (b)  The by-laws may prescribe what shall constitute notice of meeting
   55  of the board, OR WAIVER OF NOTICE, AND MAY BE DELIVERED VIA  ELECTRONIC-
   56  MAIL,  OR OTHER ELECTRONIC MEANS WITH AN ELECTRONIC RETURNED RECEIPT, OR
       A. 2118                             3

    1  SIMILAR MESSAGE ATTACHED, DEMONSTRATING THAT THE NOTICE,  OR  WAIVER  OF
    2  NOTICE,  WAS  INDEED  DELIVERED PROPERLY. A notice, or waiver of notice,
    3  need not specify the purpose of any regular or special  meeting  of  the
    4  board, unless required by the by-laws.
    5    (d)  A  majority  of the directors present, whether or not a quorum is
    6  present, may adjourn any meeting to  another  time  and  place.  If  the
    7  by-laws  so provide, notice of any adjournment of a meeting of the board
    8  to another time or place shall be given to the directors  who  were  not
    9  present   at   the   time  of  the  adjournment,  AND  MAY  BE  DONE  BY
   10  ELECTRONIC-MAIL, OR OTHER ELECTRONIC MEANS WITH AN  ELECTRONIC  RETURNED
   11  RECEIPT,  OR SIMILAR MESSAGE ATTACHED, DEMONSTRATING THAT THE NOTICE, OR
   12  WAIVER OF NOTICE, WAS INDEED DELIVERED PROPERLY, and, unless  such  time
   13  and place are announced at the meeting, to the other directors.
   14    S  8.  Subparagraph  3 of paragraph (a) of section 712 of the not-for-
   15  profit corporation law is amended to read as follows:
   16    (3) The fixing of compensation of the directors OR OFFICERS for  serv-
   17  ing on the board or on any committee, AND THE FIXING OF COMPENSATION FOR
   18  KEY  EMPLOYEES,  AS  THAT  TERM  MAY  BE DEFINED BY THE INTERNAL REVENUE
   19  SERVICE FROM TIME-TO-TIME, OR OTHER AGENTS OF  THE  CORPORATION  AT  ANY
   20  TIME.
   21    S  9.  Paragraph  (a) of section 713 of the not-for-profit corporation
   22  law is amended to read as follows:
   23    (a) The board may elect or appoint a president, one or more  vice-pre-
   24  sidents,  a secretary and a treasurer, and such other officers as it may
   25  determine, or as may be provided in the by-laws. These officers  may  be
   26  designated  by  such  alternate titles as may be provided in the certif-
   27  icate of incorporation or the by-laws.  [Any] NO two or more offices may
   28  be held by the same person[, except the offices of president and  secre-
   29  tary, or the offices corresponding thereto].
   30    S  10. Section 713 of the not-for-profit corporation law is amended by
   31  adding a new paragraph (f) to read as follows:
   32    (F) AN OFFICER OR A SPOUSE, DOMESTIC PARTNER,  SIBLING  (BY  WHOLE  OR
   33  HALF  BLOOD),  SPOUSE OR DOMESTIC PARTNER OF A SIBLING (BY WHOLE OR HALF
   34  BLOOD), CHILD, GRANDCHILD,  GREAT-GRANDCHILD,  AND  SPOUSE  OR  DOMESTIC
   35  PARTNER OF A CHILD, GRANDCHILD, AND GREAT-GRANDCHILD OF THE OFFICER AT A
   36  PUBLIC  CHARITY,  AS  THAT  TERM  MAY BE DEFINED BY THE INTERNAL REVENUE
   37  SERVICE FROM TIME-TO-TIME, MAY NOT RECEIVE COMPENSATION OR  REMUNERATION
   38  OF  ANY KIND WHATSOEVER, EXCEPT TO BE REIMBURSED FOR REASONABLE EXPENSES
   39  IN THE FULFILLMENT OF THEIR DUTIES TOWARD THE  CORPORATION,  WHERE  SAID
   40  PROHIBITION CANNOT BE CONTRAVENED IN THE CERTIFICATE OF INCORPORATION OR
   41  BY-LAWS OF THE CORPORATION.
   42    S  11.  Paragraph (e) of section 715 of the not-for-profit corporation
   43  law, as amended by chapter 847 of the laws of 1970, is amended  to  read
   44  as follows:
   45    (e)  Unless  otherwise provided in the certificate of incorporation or
   46  the by-laws, the board shall have authority to fix the  compensation  of
   47  directors  OF  A  PRIVATE FOUNDATION, AS THAT TERM MAY BE DEFINED BY THE
   48  INTERNAL REVENUE SERVICE FROM TIME-TO-TIME, for services in any  capaci-
   49  ty.  AT  NO TIME MAY THE DIRECTORS OF A PUBLIC CHARITY, AS THAT TERM MAY
   50  BE DEFINED BY THE INTERNAL REVENUE SERVICE  FROM  TIME-TO-TIME,  RECEIVE
   51  COMPENSATION  OR REMUNERATION OF ANY KIND WHATSOEVER, EXCEPT TO BE REIM-
   52  BURSED FOR REASONABLE EXPENSES IN THE FULFILLMENT OF THEIR DUTIES TOWARD
   53  THE CORPORATION, WHERE SAID PROHIBITION CANNOT  BE  CONTRAVENED  IN  THE
   54  CERTIFICATE OF INCORPORATION OR BY-LAWS OF THE CORPORATION.
       A. 2118                             4

    1    S  12.  Paragraph (f) of section 715 of the not-for-profit corporation
    2  law, as amended by chapter 1057 of the laws of 1971, is amended to  read
    3  as follows:
    4    (f) The fixing of salaries of officers, [if not done in or pursuant to
    5  the  by-laws,  shall  require  the affirmative vote of a majority of the
    6  entire board unless a higher proportion is set  by  the  certificate  of
    7  incorporation  or  by-laws]  IN  PUBLIC  CHARITIES,  AS THAT TERM MAY BE
    8  DEFINED BY THE INTERNAL REVENUE SERVICE FROM TIME-TO-TIME,  IS  STRICTLY
    9  PROHIBITED.
   10    S  13.  Paragraph (a) of section 717 of the not-for-profit corporation
   11  law, as amended by chapter 490 of the laws of 2010, is amended  to  read
   12  as follows:
   13    (a) Directors and officers shall discharge the duties of their respec-
   14  tive  positions  in  good  faith and with the care an ordinarily prudent
   15  person in a like position would exercise  under  similar  circumstances.
   16  The  factors  set  forth in subparagraph one of paragraph (e) of section
   17  552 (Standard of conduct in  managing  and  investing  an  institutional
   18  fund),  if  relevant, must be considered by a governing board delegating
   19  investment management of institutional funds  pursuant  to  section  514
   20  (Delegation  of  investment management). For purposes of this paragraph,
   21  the term institutional fund is defined  in  section  551  (Definitions).
   22  FURTHERMORE, ANY COMPENSATION PROVIDED TO DIRECTORS, OFFICERS, EMPLOYEES
   23  AND OTHER AGENTS OF THE CORPORATION MUST BE REASONABLE AND, WHERE APPLI-
   24  CABLE, IS SUBJECT TO SECTION SEVEN HUNDRED TWENTY-SEVEN (COMPENSATION OF
   25  EXECUTIVES).
   26    S  14.  Paragraph (a) of section 719 of the not-for-profit corporation
   27  law is amended by adding a new subparagraph 6 to read as follows:
   28    (6) THE PROVISION OF EXCESSIVE COMPENSATION  TO  DIRECTORS,  OFFICERS,
   29  KEY  EMPLOYEES,  AS  THAT  TERM  MAY  BE DEFINED BY THE INTERNAL REVENUE
   30  SERVICE FROM TIME-TO-TIME,  AND  OTHER  AGENTS  OF  THE  CORPORATION  IN
   31  VIOLATION  OF SECTION SEVEN HUNDRED TWENTY-SEVEN (COMPENSATION OF EXECU-
   32  TIVES), WHERE APPLICABLE.
   33    S 15. Paragraph (d) of section 719 of the  not-for-profit  corporation
   34  law is amended by adding a new subparagraph 6 to read as follows:
   35    (6)  UPON REIMBURSEMENT TO THE CORPORATION OF THE AMOUNT OF ANY EXCES-
   36  SIVE COMPENSATION PROVIDED IN VIOLATION OF SECTION SEVEN  HUNDRED  TWEN-
   37  TY-SEVEN (COMPENSATION OF EXECUTIVES), TO BE SUBROGATED TO THE RIGHTS OF
   38  THE  CORPORATION AGAINST A DIRECTOR, OFFICER, KEY EMPLOYEE, AS THAT TERM
   39  MAY BE DEFINED BY THE INTERNAL REVENUE  SERVICE  FROM  TIME-TO-TIME,  OR
   40  OTHER AGENT WHO RECEIVED THE EXCESSIVE COMPENSATION.
   41    S  16.  Clauses  (A)  and  (B)  of  subparagraph 1 of paragraph (a) of
   42  section 720 of the not-for-profit corporation law are amended to read as
   43  follows:
   44    (A) The neglect  of,  [or]  THE  failure  to  perform,  or  ANY  other
   45  violation  of  his  OR  HER  duties in the management and disposition of
   46  corporate assets committed to his charge.
   47    (B) The acquisition by himself OR HERSELF, transfer to others, loss or
   48  waste of corporate assets due to any neglect of,  [or]  THE  failure  to
   49  perform,  or  ANY other violation of his duties, INCLUDING VIOLATIONS OF
   50  SECTION SEVEN HUNDRED TWENTY-SEVEN (COMPENSATION OF EXECUTIVES),  PURSU-
   51  ANT TO SECTION SEVEN HUNDRED SEVENTEEN (DUTY OF DIRECTORS AND OFFICERS).
   52    S  17.  The  not-for-profit corporation law is amended by adding a new
   53  section 727 to read as follows:
   54  S 727. COMPENSATION OF EXECUTIVES.
   55    (A) DEFINITIONS. FOR THE PURPOSES OF THIS  SECTION,  UNLESS  OTHERWISE
   56  EXPRESSLY STATED OR CONTEXT CLEARLY REQUIRES:
       A. 2118                             5

    1    (1)  "COMPENSATION"  MEANS  THE  AGGREGATE  VALUE OF ECONOMIC BENEFITS
    2  CONFERRED IN EXCHANGE FOR THE PERFORMANCE OF SERVICES THAT ARE  INCLUDED
    3  FOR PURPOSES OF DETERMINING REASONABLENESS UNDER SECTION 26 U.S.C. 4958,
    4  AS  FURTHER  SPECIFIED  IN  26  CFR  S53.4958-4(B)(II)(B), OR SUCCEEDING
    5  PROVISIONS.
    6    (2) "EXECUTIVE" MEANS ANY PERSON IN A POSITION TO EXERCISE SUBSTANTIAL
    7  INFLUENCE  OVER THE AFFAIRS OF A PROVIDER OF SERVICES, THAT DOES NOT SIT
    8  ON THE GOVERNING BODY OF THE TAX-EXEMPT ORGANIZATION AS REFERENCED IN 26
    9  U.S.C. S4958(F)(1)(A) AND FURTHER SPECIFIED IN 26 CFR S53.4958-3(C),  OR
   10  SUCCEEDING PROVISIONS.
   11    (3)  "FAMILY  MEMBER"  MEANS  A  SPOUSE, DOMESTIC PARTNER, SIBLING (BY
   12  WHOLE OR HALF BLOOD), SPOUSE OR DOMESTIC PARTNER OF A SIBLING (BY  WHOLE
   13  OR  HALF  BLOOD),  CHILD,  GRANDCHILD,  GREAT-GRANDCHILD,  AND SPOUSE OR
   14  DOMESTIC PARTNER OF A CHILD, GRANDCHILD, AND GREAT-GRANDCHILD.
   15    (B) COMPENSATION EXCHANGED BY A  NOT-FOR-PROFIT  CORPORATION  FOR  THE
   16  PERFORMANCE  OF  SERVICES  BY AN EXECUTIVE MUST NOT BE EXCESSIVE AND THE
   17  GOVERNING BODY (I.E., THE BOARD OF  DIRECTORS,  BOARD  OF  TRUSTEES,  OR
   18  EQUIVALENT  CONTROLLING  BODY) SHALL CONSIDER FACTORS INCLUDING, BUT NOT
   19  LIMITED TO: COMPENSATION LEVELS PAID BY SIMILARLY SITUATED  NOT-FOR-PRO-
   20  FIT  CORPORATIONS  AS  DEFINED IN SECTION ONE HUNDRED TWO (DEFINITIONS);
   21  THE AVAILABILITY OF SIMILAR SERVICES  IN  THE  GEOGRAPHIC  AREA  OF  THE
   22  APPLICABLE  PROVIDER  OF SERVICES; CURRENT COMPENSATION SURVEYS COMPILED
   23  BY INDEPENDENT FIRMS; AND ACTUAL  WRITTEN  OFFERS  FROM  SIMILAR  INSTI-
   24  TUTIONS COMPETING FOR THE SERVICES OF THE APPLICABLE EXECUTIVE.
   25    FOR THE PURPOSES OF THIS SECTION, WHETHER AN ORGANIZATION IS SIMILARLY
   26  SITUATED SHALL BE DETERMINED BASED ON FACTORS INCLUDING, BUT NOT LIMITED
   27  TO:  GROSS  ANNUAL  REVENUE;  GEOGRAPHIC LOCATION; AND THE DIVERSITY AND
   28  COMPLEXITY OF PROGRAMS.
   29    (C) ANNUAL COMPENSATION EXCHANGED BY A NOT-FOR-PROFIT CORPORATION  FOR
   30  THE  PERFORMANCE OF SERVICES BY AN EXECUTIVE SHALL BE CONSIDERED REASON-
   31  ABLE IF IT FALLS AT OR BELOW THE LEVEL I  OF  THE  FEDERAL  GOVERNMENT'S
   32  RATES  OF BASIC PAY FOR THE EXECUTIVE SCHEDULE PROMULGATED BY THE UNITED
   33  STATES OFFICE OF PERSONNEL MANAGEMENT AND NO  OTHER  ACTION  UNDER  THIS
   34  SECTION NEEDS TO BE TAKEN.
   35    (D)  ANNUAL COMPENSATION EXCHANGED BY A NOT-FOR-PROFIT CORPORATION FOR
   36  THE PERFORMANCE OF SERVICES BY AN EXECUTIVE THAT DOES EXCEED LEVEL I  OF
   37  THE  FEDERAL  GOVERNMENT'S RATES OF BASIC PAY FOR THE EXECUTIVE SCHEDULE
   38  SHALL BE PRESUMED TO NOT BE EXCESSIVE IF  EACH  OF  THE  FOLLOWING  FOUR
   39  CONDITIONS OCCUR:
   40    (1)  THE  COMPENSATION  IS  APPROVED  IN ADVANCE BY THE GOVERNING BODY
   41  (I.E., THE BOARD OF DIRECTORS, BOARD OF TRUSTEES, OR EQUIVALENT CONTROL-
   42  LING BODY) OF THE NOT-FOR-PROFIT CORPORATION THAT IS  COMPOSED  ENTIRELY
   43  OF  INDIVIDUALS  WHO  DO NOT HAVE A CONFLICT OF INTEREST WITH RESPECT TO
   44  THE COMPENSATION ARRANGEMENT.
   45    (A) FOR THE PURPOSES OF DETERMINING WHETHER THE REQUIREMENTS  OF  THIS
   46  PARAGRAPH HAVE BEEN MET WITH RESPECT TO A SPECIFIC COMPENSATION ARRANGE-
   47  MENT,  AN  INDIVIDUAL  IS  NOT INCLUDED IN THE GOVERNING BODY WHEN IT IS
   48  REVIEWING A TRANSACTION IF THAT INDIVIDUAL MEETS WITH OTHER MEMBERS ONLY
   49  TO ANSWER QUESTIONS, AND OTHERWISE RECUSES HIMSELF OR HERSELF  FROM  THE
   50  MEETING  AND IS NOT PRESENT DURING DEBATE AND VOTING ON THE COMPENSATION
   51  ARRANGEMENT.
   52    (B) A MEMBER OF THE GOVERNING BODY DOES NOT HAVE A CONFLICT OF  INTER-
   53  EST WITH RESPECT TO A COMPENSATION ARRANGEMENT ONLY IF THE MEMBER:
   54    (I)  IS  NOT AN EXECUTIVE PARTICIPATING IN, OR ECONOMICALLY BENEFITING
   55  FROM, THE COMPENSATION ARRANGEMENT;
       A. 2118                             6

    1    (II) IS NOT IN AN EMPLOYMENT RELATIONSHIP SUBJECT TO THE DIRECTION  OR
    2  CONTROL OF ANY EXECUTIVE, OR THE FAMILY MEMBER OF ANY EXECUTIVE, PARTIC-
    3  IPATING IN OR ECONOMICALLY BENEFITING FROM THE COMPENSATION ARRANGEMENT;
    4    (III)  DOES  NOT  RECEIVE  COMPENSATION  OR  OTHER  PAYMENT SUBJECT TO
    5  APPROVAL BY ANY EXECUTIVE,  OR  THE  FAMILY  MEMBER  OF  ANY  EXECUTIVE,
    6  PARTICIPATING  IN  OR  ECONOMICALLY  BENEFITING  FROM  THE  COMPENSATION
    7  ARRANGEMENT;
    8    (IV) HAS NO MATERIAL FINANCIAL INTEREST AFFECTED BY  THE  COMPENSATION
    9  ARRANGEMENT; AND
   10    (V)  DOES NOT APPROVE A TRANSACTION PROVIDING ECONOMIC BENEFITS TO ANY
   11  EXECUTIVE, OR THE FAMILY MEMBER OF ANY EXECUTIVE, PARTICIPATING  IN  THE
   12  COMPENSATION  ARRANGEMENT,  WHO  IN  TURN HAS APPROVED OR WILL APPROVE A
   13  TRANSACTION PROVIDING ECONOMIC BENEFITS TO THE MEMBER.
   14    (2) THE GOVERNING BODY OBTAINED AND RELIED UPON APPROPRIATE DATA AS TO
   15  COMPARABILITY PRIOR TO MAKING ITS DETERMINATION AND GIVEN THE  KNOWLEDGE
   16  AND EXPERTISE OF ITS MEMBERS, IT HAS INFORMATION SUFFICIENT TO DETERMINE
   17  WHETHER  THE  COMPENSATION  ARRANGEMENT  IN  ITS ENTIRETY IS REASONABLE.
   18  RELEVANT INFORMATION INCLUDES,  BUT  IS  NOT  LIMITED  TO:  COMPENSATION
   19  LEVELS PAID BY SIMILARLY SITUATED NOT-FOR-PROFIT CORPORATIONS AS DEFINED
   20  IN  SECTION  ONE  HUNDRED TWO (DEFINITIONS); THE AVAILABILITY OF SIMILAR
   21  SERVICES IN THE GEOGRAPHIC AREA OF THE APPLICABLE PROVIDER OF  SERVICES;
   22  CURRENT  COMPENSATION  SURVEYS COMPILED BY INDEPENDENT FIRMS; AND ACTUAL
   23  WRITTEN OFFERS FROM SIMILAR INSTITUTIONS COMPETING FOR THE  SERVICES  OF
   24  THE APPLICABLE EXECUTIVE.
   25    (A)  FOR PURPOSES OF THIS PARAGRAPH, CONTROL BY AN APPLICABLE NOT-FOR-
   26  PROFIT CORPORATION MEANS:
   27    (I) IN THE CASE OF A STOCK CORPORATION, OWNERSHIP (BY VOTE  OR  VALUE)
   28  OF MORE THAN FIFTY PERCENT OF THE STOCK IN SUCH CORPORATION;
   29    (II)  IN  THE  CASE  OF  A  PARTNERSHIP,  OWNERSHIP OF MORE THAN FIFTY
   30  PERCENT OF THE PROFITS INTERESTS OR CAPITAL INTERESTS  IN  THE  PARTNER-
   31  SHIP;
   32    (III) IN THE CASE OF A NONSTOCK ORGANIZATION (I.E., AN ENTITY IN WHICH
   33  NO  PERSON HOLDS A PROPRIETARY INTEREST), THAT AT LEAST FIFTY PERCENT OF
   34  THE DIRECTORS OR TRUSTEES OF THE NOT-FOR-PROFIT CORPORATION  ARE  EITHER
   35  REPRESENTATIVES  (INCLUDING  TRUSTEES,  DIRECTORS, AGENTS, OR EMPLOYEES)
   36  OF, OR DIRECTLY OR INDIRECTLY CONTROLLED BY,  AN  APPLICABLE  TAX-EXEMPT
   37  ORGANIZATION; OR
   38    (IV)  IN  THE  CASE  OF ANY OTHER ENTITY, OWNERSHIP OF MORE THAN FIFTY
   39  PERCENT OF THE BENEFICIAL INTEREST IN THE ENTITY.
   40    (3) THE GOVERNING BODY ADEQUATELY DOCUMENTED THE BASIS FOR ITS  DETER-
   41  MINATION CONCURRENTLY WITH MAKING THAT DETERMINATION.
   42    (A)  FOR  A DECISION TO BE DOCUMENTED ADEQUATELY, THE WRITTEN OR ELEC-
   43  TRONIC RECORDS OF THE GOVERNING BODY MUST NOTE:
   44    (I) THE TERMS OF THE TRANSACTION THAT WAS APPROVED, AND  THE  DATE  IT
   45  WAS APPROVED;
   46    (II)  THE MEMBERS OF THE GOVERNING BODY WHO WERE PRESENT DURING DEBATE
   47  ON THE TRANSACTION THAT WAS APPROVED, AND THOSE WHO VOTED ON IT;
   48    (III) THE COMPARABILITY DATA OBTAINED AND RELIED UPON BY THE GOVERNING
   49  BODY, AND HOW THE DATA WAS OBTAINED; AND
   50    (IV) ANY ACTIONS TAKEN WITH RESPECT TO  CONSIDERATION  OF  THE  TRANS-
   51  ACTION BY ANYONE WHO IS OTHERWISE A MEMBER OF THE GOVERNING BODY BUT WHO
   52  HAD A CONFLICT OF INTEREST WITH RESPECT TO THE TRANSACTION.
   53    (B) IF THE GOVERNING BODY DETERMINES THAT THE EXECUTIVE'S COMPENSATION
   54  FOR  A SPECIFIC ARRANGEMENT IS HIGHER OR LOWER THAN THE RANGE OF COMPAR-
   55  ABILITY DATA OBTAINED, THE GOVERNING BODY MUST RECORD THE BASIS FOR  ITS
   56  DETERMINATION. FOR A DECISION TO BE DOCUMENTED CONCURRENTLY RECORDS MUST
       A. 2118                             7

    1  BE  PREPARED  BEFORE THE LATER OF THE NEXT MEETING OF THE GOVERNING BODY
    2  OR SIXTY DAYS AFTER THE FINAL ACTION OR ACTIONS OF  THE  GOVERNING  BODY
    3  ARE  TAKEN.  RECORDS MUST BE REVIEWED AND APPROVED BY THE GOVERNING BODY
    4  AS  REASONABLE,  ACCURATE  AND  COMPLETE WITHIN A REASONABLE TIME PERIOD
    5  THEREAFTER.
    6    (4) THE COMPENSATION PROVIDED TO THE EXECUTIVE BY THE  GOVERNING  BODY
    7  DOES  NOT  EXCEED THE HIGHEST COMPENSATION PROVIDED BY A SIMILARLY SITU-
    8  ATED ORGANIZATION FOR SIMILAR SERVICES, AS IDENTIFIED IN THE COMPARABIL-
    9  ITY DATA, BY MORE THAN TWENTY PERCENT.
   10    (E) IF THE FOUR CONDITIONS OF PARAGRAPH (D) OF THIS SECTION ARE SATIS-
   11  FIED, THEN THE PERSON OR ENTITY BRINGING AN ACTION FOR  RELIEF  PURSUANT
   12  TO  SECTION  SEVEN  HUNDRED  TWENTY-SEVEN  OF THIS ARTICLE MAY REBUT THE
   13  PRESUMPTION THAT ARISES UNDER PARAGRAPH (D) OF THIS SECTION ONLY  IF  IT
   14  DEVELOPS  SUFFICIENT  CONTRARY  EVIDENCE TO REBUT THE PROBATIVE VALUE OF
   15  THE COMPARABILITY DATA RELIED UPON BY THE GOVERNING BODY.  WITH  RESPECT
   16  TO  ANY FIXED PAYMENT, REBUTTAL EVIDENCE IS LIMITED TO EVIDENCE RELATING
   17  TO FACTS AND CIRCUMSTANCES EXISTING ON THE DATE THE PARTIES  ENTER  INTO
   18  THE  CONTRACT PURSUANT TO WHICH THE PAYMENT IS MADE (EXCEPT IN THE EVENT
   19  OF SUBSTANTIAL NONPERFORMANCE). WITH  RESPECT  TO  ALL  OTHER  PAYMENTS,
   20  REBUTTAL  EVIDENCE MAY INCLUDE FACTS AND CIRCUMSTANCES UP TO AND INCLUD-
   21  ING THE DATE OF PAYMENT.
   22    (F) A NOT-FOR-PROFIT IS PROHIBITED FROM, AND MAY THUS BE  REFERRED  TO
   23  THE  ATTORNEY  GENERAL FOR FURTHER INQUIRY TO BE OFFICIALLY RESPONDED TO
   24  WITHIN NINETY DAYS OF RECEIPT, BY  THE  PERSON  OR  ENTITY  BRINGING  AN
   25  ACTION FOR RELIEF PURSUANT TO THIS SECTION: (1) ENGAGING IN ANY ACT THAT
   26  THE  INTERNAL  REVENUE SERVICE DETERMINES CONSTITUTES AN "EXCESS BENEFIT
   27  TRANSACTION" UNDER SECTION 4958 OF THE INTERNAL  REVENUE  CODE;  OR  (2)
   28  ENGAGING  IN  ANY  ACT  THAT  WOULD CONSTITUTE AN "EXCESS BENEFIT TRANS-
   29  ACTION" UNDER THE STANDARDS OF SECTION  4958  OF  THE  INTERNAL  REVENUE
   30  CODE.
   31    S 18. Section 104-A of the not-for-profit corporation law, as added by
   32  chapter  591  of  the  laws of 1982, paragraphs (a), (c), (d), (e), (g),
   33  (l), (m), (n) and (p) as amended by chapter 166 of the laws of 1991  and
   34  paragraph  (r) as amended by chapter 198 of the laws of 1984, is amended
   35  to read as follows:
   36  S 104-A. Fees.
   37    Except as otherwise provided, the department of  state  shall  collect
   38  the following fees pursuant to this chapter:
   39    (a)  For  filing  a  certificate of type of not-for-profit corporation
   40  pursuant to section one hundred  thirteen  of  this  [chapter]  ARTICLE,
   41  thirty dollars.
   42    (b) For the reservation of a corporate name pursuant to  section three
   43  hundred three of this chapter, ten dollars.
   44    (c)  For  the resignation of a registered agent for service of process
   45  pursuant to section three hundred five of this chapter, thirty dollars.
   46    (d) For service of process on  the  secretary  of  state  pursuant  to
   47  section  three hundred six or three hundred seven of this chapter, forty
   48  dollars. If the service is in an action brought solely to recover a  sum
   49  of  money  not  in  excess  of two hundred dollars and the process is so
   50  endorsed, or the process is served on behalf of a county, city, town  or
   51  village or other subdivision of the state, ten dollars.
   52    (e) For filing a certificate of incorporation pursuant to section four
   53  hundred two of this chapter, [seventy-five] EIGHTY-FIVE dollars.
   54    (f)  For  filing  a certificate of amendment pursuant to section eight
   55  hundred three of this chapter, [thirty] FORTY dollars.
       A. 2118                             8

    1    (g) For filing a certificate  of  change  pursuant  to  section  eight
    2  hundred three-A of this chapter, [twenty] THIRTY dollars.
    3    (h)  For  filing  a  restated certificate of incorporation pursuant to
    4  section eight hundred five of this chapter, [thirty] FORTY dollars.
    5    (i) For filing a certificate of merger or  consolidation  pursuant  to
    6  section nine hundred four of this chapter, [thirty] FORTY  dollars.
    7    (j)  For  filing  a certificate of merger or consolidation of domestic
    8  and foreign corporations pursuant to section nine hundred  six  of  this
    9  chapter, [thirty] FORTY dollars.
   10    (k)  For  filing    a  certified  copy  of an order of approval of the
   11  supreme court pursuant to section nine hundred seven  of  this  chapter,
   12  thirty dollars.
   13    (l)  For  filing  a certificate of dissolution pursuant to section one
   14  thousand three of this chapter, thirty dollars.
   15    (m) For filing a certificate of annulment of dissolution  pursuant  to
   16  section one thousand twelve of this chapter, [thirty] FORTY dollars.
   17    (n)  For  filing an application by a foreign corporation for authority
   18  to do business in New York state pursuant to  section  thirteen  hundred
   19  four of this chapter, one hundred [thirty-five] FORTY-FIVE dollars.
   20    (o)  For  filing  a  certificate  of  amendment  of an application for
   21  authority by a foreign corporation pursuant to section thirteen  hundred
   22  nine of this chapter, [thirty] FORTY dollars.
   23    (p) For filing a certificate of change of application for authority by
   24  a  foreign  corporation pursuant to section thirteen hundred ten of this
   25  chapter, [twenty] THIRTY dollars.
   26    (q) For filing a certificate of surrender  of  authority  pursuant  to
   27  section thirteen hundred eleven of this chapter, thirty dollars.
   28    (r)  For  filing  a  statement  of  the  termination of existence of a
   29  foreign corporation pursuant to section thirteen hundred twelve of  this
   30  chapter,  thirty  dollars.  There  shall  be no fee for the filing by an
   31  authorized officer of the jurisdiction of  incorporation  of  a  foreign
   32  corporation  of  a  certificate  that  the  foreign corporation has been
   33  dissolved or its authority or existence has been otherwise terminated or
   34  cancelled in the jurisdiction of its incorporation.
   35    (s) For filing any other certificate or instrument, thirty dollars.
   36    S 19. The not-for-profit corporation law is amended by  adding  a  new
   37  section 116 to read as follows:
   38  S 116. STATE BOARD TRAINING CONSORTIUM.
   39    (A)  NOT-FOR-PROFIT  BOARD  MEMBERS  ARE  ENTRUSTED  WITH  THE OVERALL
   40  MANAGEMENT AND OVERSIGHT OF NON-PROFITS AND HAVE LEGAL AND ETHICAL OBLI-
   41  GATIONS TO KEEP THEMSELVES FULLY INFORMED REGARDING THEIR  ORGANIZATION,
   42  ITS  FINANCES  AND  ITS  OVERALL  OPERATION AND IN ASSURING THAT PROGRAM
   43  STAFF  AND  ADMINISTRATION  EFFECTIVELY  CARRY  OUT  THE  ORGANIZATION'S
   44  MISSION.  THE  STATE  BOARD  TRAINING  CONSORTIUM IS INTENDED TO EMPOWER
   45  BOARD MEMBERS OF NOT-FOR-PROFIT  ORGANIZATIONS  WHO  CONTRACT  WITH  THE
   46  STATE  OF NEW YORK WITH THE INFORMATION AND TOOLS NECESSARY TO CARRY OUT
   47  THEIR VERY IMPORTANT RESPONSIBILITIES, ROLES AND OBLIGATIONS. THE  STATE
   48  BOARD  TRAINING  CONSORTIUM  WILL BE A COMPREHENSIVE STATE-WIDE TRAINING
   49  EFFORT, DELIVERED REGIONALLY,  IN-PERSON,  TOGETHER  WITH  A  NUMBER  OF
   50  TAILORED  AGENCY  SPECIFIC  ONSITE TRAININGS, SOME VIRTUAL WEBINARS, AND
   51  THE LIKE, AND STATE WORKFORCE TRAININGS ON THE SAME OR SIMILAR SUBJECTS.
   52  ANY TRAINING CONDUCTED UNDER THE AUSPICES OF THE  STATE  BOARD  TRAINING
   53  CONSORTIUM  WILL BE FREE TO VERIFIED MEMBERS OF NOT-FOR-PROFIT BOARDS OF
   54  DIRECTORS WHO CONTRACT WITH THE STATE OF NEW YORK.
   55    (1) FEES GENERATED FROM THE TEN DOLLAR INCREASE  IN  THE  FILING  FEES
   56  ASSOCIATED WITH CERTIFICATES OF INCORPORATION, AMENDMENT, CHANGE, MERGER
       A. 2118                             9

    1  OR  CONSOLIDATION,  ANNULMENT  OF  DISSOLUTION,  AUTHORITY  BY A FOREIGN
    2  CORPORATION, AN AMENDMENT OF SAME OR A CHANGE  IN  THE  AUTHORITY  OF  A
    3  FOREIGN  CORPORATION PROMULGATED BY A CHAPTER OF THE LAWS OF 2013, SHALL
    4  BE USED TO FUND THE STATE BOARD TRAINING CONSORTIUM.
    5    (2)  SAID FEES SHALL BE MAINTAINED IN THE STATE BOARD TRAINING CONSOR-
    6  TIUM FUND, AS ESTABLISHED BY SECTION NINETY-SEVEN-J OF THE STATE FINANCE
    7  LAW, TO SUPPORT THE STATE BOARD TRAINING CONSORTIUM ESTABLISHED BY  THIS
    8  SECTION.
    9    (B)  THE  STATE BOARD TRAINING CONSORTIUM SHALL BE ADMINISTERED BY THE
   10  DEPARTMENT OF STATE THROUGH A CONTRACT UNDER COUNSEL'S OFFICE. A  QUALI-
   11  FIED  NOT-FOR-PROFIT  CORPORATION WILL BE CONTRACTED WITH BY THE DEPART-
   12  MENT OF STATE TO PROVIDE THE TRAINING AND ASSOCIATED SERVICES  DELIVERED
   13  UNDER  THE  STATE  BOARD TRAINING CONSORTIUM, TOGETHER WITH MANAGING ALL
   14  DAY-TO-DAY OPERATIONS, MARKETING EFFORTS, CURRICULUM  UPDATES,  PRINTING
   15  AND  RECORD-KEEPING. THE CONTRACT SHALL HAVE A FIVE YEAR TERM, RENEWABLE
   16  FOR THREE ADDITIONAL YEARS, AND A STANDARD REQUEST FOR PROPOSALS/REQUEST
   17  FOR QUALIFICATIONS PROCESS WILL BE UTILIZED AT  THE  INCEPTION  OF  EACH
   18  CONTRACT.
   19    (1)  THE  COMMISSIONERS  OF  THE  OFFICE FOR PEOPLE WITH DEVELOPMENTAL
   20  DISABILITIES,  OFFICE  OF  MENTAL  HEALTH,  OFFICE  OF  ALCOHOLISM   AND
   21  SUBSTANCE  ABUSE  SERVICES,  OFFICE OF CHILDREN AND FAMILY SERVICES, AND
   22  DEPARTMENT OF HEALTH, HAVING PRIOR EXPERIENCE IN THE STATE BOARD  TRAIN-
   23  ING  CONSORTIUM  AS  ADMINISTERED  BY OFFICE OF ALCOHOLISM AND SUBSTANCE
   24  ABUSE SERVICES, AND THE DEPARTMENT  OF  HEALTH,  AIDS  INSTITUTE,  SHALL
   25  JOINTLY:
   26    (I)  DEVELOP  A CONTRACT FOR THE STATE BOARD TRAINING CONSORTIUM ALONG
   27  THE LINES ALREADY PROMULGATED BY THEIR AGENCIES;
   28    (II) ESTABLISH UNIFORM PROCEDURES TO MONITOR ATTENDANCE  AT  TRAININGS
   29  CONDUCTED UNDER THE STATE BOARD TRAINING CONSORTIUM AND IN REPORTING THE
   30  SAME TO THE ATTENDING BOARDS OF DIRECTORS.
   31    (2)  THE COMMISSIONERS OF OTHER AGENCIES, INCLUDING BUT NOT LIMITED TO
   32  THE OFFICE FOR THE AGING, DEPARTMENT OF AGRICULTURE AND MARKETS, COUNCIL
   33  ON THE ARTS,  OFFICE  OF  COURT  ADMINISTRATION,  DIVISION  OF  CRIMINAL
   34  JUSTICE  SERVICES, EMPIRE STATE DEVELOPMENT, DEPARTMENT OF ENVIRONMENTAL
   35  CONSERVATION, OFFICE OF GENERAL SERVICES, NEW YORK  STATE  CANAL  CORPO-
   36  RATION  AND  THE  OFFICE  OF  TEMPORARY  AND DISABILITY ASSISTANCE SHALL
   37  ESTABLISH PROCEDURES TO MONITOR ATTENDANCE AT TRAININGS CONDUCTED  UNDER
   38  THE  STATE  BOARD  TRAINING  CONSORTIUM AND IN REPORTING THE SAME TO THE
   39  ATTENDING BOARDS OF DIRECTORS.
   40    (C) ALL NOT-FOR-PROFIT CORPORATIONS THAT CONTRACT WITH  THE  STATE  OF
   41  NEW  YORK  MAY ATTEND THE STATE BOARD TRAINING CONSORTIUM TRAININGS FREE
   42  OF CHARGE.
   43    S 20. The state finance law is amended by adding a new section 97-j to
   44  read as follows:
   45    S 97-J. STATE BOARD TRAINING  CONSORTIUM  FUND.  1.  THERE  IS  HEREBY
   46  ESTABLISHED  IN  THE  JOINT  CUSTODY OF THE COMMISSIONER OF TAXATION AND
   47  FINANCE AND THE COMPTROLLER A FUND TO  BE  KNOWN  AS  THE  "STATE  BOARD
   48  TRAINING CONSORTIUM FUND."
   49    2.  SUCH  FUND  SHALL  CONSIST  OF  FEES GENERATED FROM THE TEN DOLLAR
   50  INCREASE IN FILING FEES IN PARAGRAPHS (E), (F), (G), (H), (I), (J), (M),
   51  (N), (O) AND (P) OF SECTION ONE HUNDRED  FOUR-A  OF  THE  NOT-FOR-PROFIT
   52  CORPORATION  LAW,  ASSOCIATED WITH CERTIFICATES OF INCORPORATION, AMEND-
   53  MENT, CHANGE, MERGER OR CONSOLIDATION, ANNULMENT OF DISSOLUTION, AUTHOR-
   54  ITY BY A FOREIGN CORPORATION, AN AMENDMENT OF SAME OR A  CHANGE  IN  THE
   55  AUTHORITY  OF  A  FOREIGN CORPORATION, PROMULGATED BY THE CHAPTER OF THE
   56  LAWS OF TWO THOUSAND THIRTEEN THAT ADDED THIS  SECTION,  AND  ALL  OTHER
       A. 2118                            10

    1  MONEYS CREDITED OR APPROPRIATED FOR TRANSFER THERETO FROM ANY OTHER FUND
    2  OR SOURCE ACCORDING TO LAW.
    3    3.  MONEYS  IN  THE STATE BOARD TRAINING CONSORTIUM FUND SHALL BE KEPT
    4  SEPARATE AND SHALL NOT BE COMMINGLED WITH ANY OTHER MONEYS IN THE CUSTO-
    5  DY OF THE STATE COMPTROLLER. MONEYS IN THE FUND MAY BE INVESTED  BY  THE
    6  COMPTROLLER PURSUANT TO THE PROVISIONS OF SECTION NINETY-EIGHT-A OF THIS
    7  ARTICLE AND ANY INCOME RECEIVED BY THE COMPTROLLER FROM SUCH INVESTMENTS
    8  SHALL BE ADDED TO AND BECOME PART OF, AND SHALL BE USED FOR THE PURPOSES
    9  OF SUCH FUND. ALL DEPOSITS OF SUCH MONEY SHALL, IF REQUIRED BY THE COMP-
   10  TROLLER,  BE SECURED BY OBLIGATIONS OF THE UNITED STATES OR OF THE STATE
   11  OF MARKET VALUE EQUAL AT ALL TIMES TO THE AMOUNT OF THE DEPOSIT AND  ALL
   12  BANKS  AND  TRUST  COMPANIES  ARE AUTHORIZED TO GIVE SUCH SECURITIES FOR
   13  SUCH DEPOSITS.
   14    4. MONEYS IN THE FUND, FOLLOWING  APPROPRIATION  BY  THE  LEGISLATURE,
   15  SHALL BE ALLOCATED UPON A CERTIFICATE OF APPROVAL OF AVAILABILITY BY THE
   16  DIRECTOR  OF  THE  BUDGET  SOLELY  FOR  THE  PURPOSES  SET FORTH IN THIS
   17  SECTION.
   18    5. ALL MONEYS IN THE FUND SHALL BE MADE AVAILABLE PURSUANT  TO  APPRO-
   19  PRIATION  FOR  USE IN FUNDING THE STATE BOARD TRAINING CONSORTIUM ESTAB-
   20  LISHED PURSUANT TO SECTION ONE HUNDRED  SIXTEEN  OF  THE  NOT-FOR-PROFIT
   21  CORPORATION LAW.
   22    S  21. (a) This act shall take effect on the one hundred eightieth day
   23  after it shall have become law.
   24    (b) The commissioners of the  office  for  people  with  developmental
   25  disabilities,   office  of  mental  health,  office  of  alcoholism  and
   26  substance abuse  services,  office  of  children  and  family  services,
   27  department of health, office for the aging, and the division of criminal
   28  justice  services shall immediately take the necessary actions to ensure
   29  that forms and regulations required by section nine of this act  are  in
   30  place  on such effective date. Further, whereas the authority to promul-
   31  gate regulations and make rules is derived from an express  or  implicit
   32  statutory grant provided by the legislature, all agencies, divisions and
   33  departments  of  the state are hereby prohibited from promulgating regu-
   34  lations and making rules pursuant to 9 NYCRR  8.38,  or  that  otherwise
   35  address  the  extent and nature of a provider's administrative costs and
   36  executive compensation, except as required and  necessary  to  implement
   37  the provisions of section six of this act.
   38    (c)  Absent  explicit  language  expressly and unequivocally stating a
   39  legislative intent to the contrary, all provisions of this act are irre-
   40  futably presumed to operate in a wholly prospective  manner.  Provisions
   41  shall be considered to operate retroactively, and therefore in violation
   42  of  this  act,  if applied in such a manner as to alter, change, affect,
   43  impair or defeat any rights, obligations, duties or  interests  accrued,
   44  incurred  or conferred prior to the effective date of this act. Further-
   45  more, the provisions of this act shall neither apply to, nor be  applied
   46  based upon the occasion of, acts occurring prior to it becoming law.
Go to top
Page display time = 0.1465 sec