STATE OF NEW YORK
________________________________________________________________________
3460--A
2017-2018 Regular Sessions
IN ASSEMBLY
January 27, 2017
___________
Introduced by M. of A. LUPARDO -- read once and referred to the Commit-
tee on Higher Education -- committee discharged, bill amended, ordered
reprinted as amended and recommitted to said committee
AN ACT to amend the business corporation law, in relation to providing
for expanded ownership in design professional corporations by employee
stock ownership plans and non-licensed employees
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Subparagraphs (i) and (ii) of paragraph (b-1) of section
2 1503 of the business corporation law, as added by chapter 550 of the
3 laws of 2011, are amended to read as follows:
4 (i) greater than seventy-five percent of the outstanding shares of
5 stock of the corporation are owned by design professionals and an ESOP
6 (or ESOPs) with greater than seventy-five percent of the plan's voting
7 trustees and greater than seventy-five percent of the plan's committee
8 members being design professionals,
9 (ii) an ESOP, either in part or in its entirety, shall not constitute
10 part of the greater than seventy-five percent owned by design profes-
11 sionals unless greater than seventy-five percent of the plan's voting
12 trustees and greater than seventy-five percent of the plan's committee
13 members are design professionals,
14 § 2. Subparagraphs (i) and (ii) of paragraph (b) of section 1507 of
15 the business corporation law, as added by chapter 550 of the laws of
16 2011, are amended to read as follows:
17 (i) greater than seventy-five percent of the outstanding shares of
18 stock of the corporation are owned by design professionals and an ESOP
19 (or ESOPs) with greater than seventy-five percent of the plan's voting
20 trustees and greater than seventy-five percent of the plan's committee
21 members being design professionals,
22 (ii) an ESOP, either in part or in its entirety, shall not constitute
23 part of the greater than seventy-five percent owned by design profes-
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD09308-02-7
A. 3460--A 2
1 sionals unless greater than seventy-five percent of the plan's voting
2 trustees and greater than seventy-five percent of the plan's committee
3 members are design professionals,
4 § 3. Subparagraph (i) of paragraph (b) of section 1514 of the business
5 corporation law, as added by chapter 550 of the laws of 2011, is amended
6 to read as follows:
7 (i) greater than seventy-five percent of the outstanding shares of
8 stock of the corporation are and were owned by design professionals and
9 an ESOP (or ESOPs) with greater than seventy-five percent of the plan's
10 voting trustees and greater than seventy-five percent of the plan's
11 committee members being design professionals,
12 § 4. This act shall take effect immediately.
