STATE OF NEW YORK
________________________________________________________________________
1543
2019-2020 Regular Sessions
IN SENATE
January 15, 2019
___________
Introduced by Sen. KENNEDY -- read twice and ordered printed, and when
printed to be committed to the Committee on Commerce, Economic Devel-
opment and Small Business
AN ACT to amend the economic development law, the state finance law and
the New York state urban development corporation act, in relation to
making small business loans available to microbusinesses
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. The economic development law is amended by adding a new
2 section 131-a to read as follows:
3 § 131-a. Definition of a microbusiness. For the purposes of this chap-
4 ter, a microbusiness shall be deemed to be a business that is resident
5 in this state, independently owned and operated, not dominant in its
6 field and employs under five persons.
7 § 2. Paragraph (f) and subparagraph 6 of paragraph (g) of subdivision
8 11 of section 213 of the state finance law, paragraph (f) as added by
9 chapter 705 of the laws of 1993, subparagraph 6 of paragraph (g) as
10 added by section 1 of part HH of chapter 59 of the laws of 2013, are
11 amended and a new paragraph (h) is added to read as follows:
12 (f) any service business that is independently owned and operated, is
13 not dominant in its field, employs one hundred or fewer persons on a
14 full-time basis within the state, and is seeking financing through the
15 program for a project that will result in the retention or creation of
16 permanent private sector jobs within the state, other than a business
17 that sells a service rendered at a facility personally by an individual
18 for another individual, directly, without the intervention of a third
19 party, or a professional service business such as health, legal,
20 accounting, engineering, or architectural services[.]; or
21 (6) small scale systems integration and packaging[.]; or
22 (h) a microbusiness, as defined by section one hundred thirty-one-a of
23 the economic development law, that has been in operation for five years
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD02107-01-9
S. 1543 2
1 and that is located in an empire zone, empowerment zone, a highly
2 distressed area or renewal community.
3 § 3. Section 16-t of section 1 of chapter 174 of the laws of 1968,
4 constituting the urban development corporation act is amended by adding
5 a new subdivision 17 to read as follows:
6 17. Notwithstanding anything to the contrary in this section, the
7 corporation shall provide at least five million dollars in program funds
8 pursuant to this section to lending organizations for the purpose of
9 making micro-loans to microbusinesses, as defined by section one hundred
10 thirty-one-a of the economic development law. Microbusinesses shall be
11 eligible to apply for funding in the same manner as other small busi-
12 nesses pursuant to subdivision three of this section.
13 § 4. This act shall take effect immediately.
