Bill Text: NY A01314 | 2009-2010 | General Assembly | Introduced

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Bill Title: An act to amend the not-for-profit corporation law, in relation to the creation of the higher education research foundation accountability and transparency act

Spectrum: Partisan Bill (Democrat 2-0)

Status: (Introduced - Dead) 2010-02-23 - reported referred to ways and means [A01314 Detail]

Download: New_York-2009-A01314-Introduced.html

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                           S T A T E   O F   N E W   Y O R K
       ________________________________________________________________________
                                         1314
                              2009-2010 Regular Sessions
                                 I N  A S S E M B L Y
                                      (PREFILED)
                                    January 7, 2009
                                      ___________
       Introduced  by M. of A. BRODSKY -- read once and referred to the Commit-
         tee on Corporations, Authorities and Commissions
       AN ACT to amend the not-for-profit corporation law, in relation  to  the
         creation  of  the  higher education research foundation accountability
         and transparency act
         THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
       BLY, DO ENACT AS FOLLOWS:
    1    Section  1.  This  act  shall be known and may be cited as the "higher
    2  education research foundation accountability and transparency act".
    3    S 2. Legislative findings and declarations. The legislature finds  and
    4  declares  that  the  state  has a vital interest in the oversight of its
    5  educational centers  and  associated  research  foundations  for  higher
    6  education  and  in the research foundations' viability as not-for-profit
    7  entities, as well as preserving the high academic standards and research
    8  done throughout the state's university system. The state has  an  essen-
    9  tial  interest in protecting and ensuring that funding, grants and other
   10  monies used by the state university system of New  York  in  conjunction
   11  with  not-for-profit  research foundations is facilitated in an open and
   12  accountable manner. The combination and close relationship of  a  public
   13  university  system  with  not-for-profit  research  foundations presents
   14  certain challenges and potential conflicts with the academic, labor  and
   15  other  policies  of  the  state.  Therefore,  the  legislature finds and
   16  declares that additional oversight and accountability  is  necessary  to
   17  preserve the integrity of the state university system.
   18    S  3.  The  not-for-profit  corporation law is amended by adding a new
   19  section 1413 to read as follows:
   20  S 1413. HIGHER EDUCATION RESEARCH FOUNDATIONS.
   21    (A) FOR THE PURPOSES OF  THIS  SECTION,  THE  TERM  "HIGHER  EDUCATION
   22  RESEARCH FOUNDATION" SHALL MEAN A NOT-FOR-PROFIT CORPORATION, COMPANY OR
   23  PARTNERSHIP CLOSELY AFFILIATED WITH THE STATE UNIVERSITY OF NEW YORK AND
        EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                             [ ] is old law to be omitted.
                                                                  LBD04816-01-9
       A. 1314                             2
    1  WHOSE  PURPOSES  ARE  ESSENTIALLY  TO  SUPPORT, SUPPLEMENT OR EXTEND THE
    2  FUNCTIONS AND PROGRAMS OF SUCH STATE UNIVERSITY, INCLUDING WITHOUT LIMI-
    3  TATION THE RESEARCH FOUNDATION OF THE STATE UNIVERSITY OF NEW  YORK  AND
    4  ITS AFFILIATED ENTITIES.
    5    (B)  BUDGET  REPORTS  AND OVERSIGHT. HIGHER EDUCATION RESEARCH FOUNDA-
    6  TIONS SHALL BE CONSIDERED A PUBLIC BENEFIT CORPORATION AS THAT  TERM  IS
    7  USED  IN  SECTION  TWO  OF THE PUBLIC AUTHORITIES LAW FOR THE PURPOSE OF
    8  SUBMITTING SUCH HIGHER EDUCATION RESEARCH FOUNDATIONS TO THE  PROVISIONS
    9  OF TITLE ONE OF ARTICLE NINE OF THE PUBLIC AUTHORITIES LAW. SUCH FOUNDA-
   10  TIONS  SHALL SUBMIT ANNUALLY TO THE GOVERNOR, THE TEMPORARY PRESIDENT OF
   11  THE SENATE, THE SPEAKER OF THE ASSEMBLY AND THE COMPTROLLER, REPORTS  OF
   12  BUDGET  INFORMATION  AS  REQUIRED  BY  TITLE  ONE OF ARTICLE NINE OF THE
   13  PUBLIC AUTHORITIES LAW.  REPORTS REQUIRED BY THIS SECTION SHALL BE MAIN-
   14  TAINED AT THE PRINCIPAL OFFICE OF THE HIGHER EDUCATION RESEARCH  FOUNDA-
   15  TION  AS  A PUBLIC RECORD AVAILABLE FOR PUBLIC INSPECTION AND COPYING. A
   16  HIGHER EDUCATION RESEARCH FOUNDATION SHALL BE CONSIDERED A STATE  AGENCY
   17  FOR  THE  PURPOSES  OF COMPLYING WITH ARTICLE SIX OF THE PUBLIC OFFICERS
   18  LAW.
   19    (C) RESTRICTIONS OF THE TRANSFER  OF  FUNCTIONS.  NOTWITHSTANDING  ANY
   20  OTHER  PROVISION  OF LAW TO THE CONTRARY, NO FUNCTION WHICH IS PRIMARILY
   21  PERFORMED BY EMPLOYEES OF THE STATE UNIVERSITY  OF  NEW  YORK  SHALL  BE
   22  TRANSFERRED TO, OR ASSUMED BY, OR PERFORMED BY HIGHER EDUCATION RESEARCH
   23  FOUNDATIONS,  UNLESS  SUCH  TRANSFER  OR  ASSUMPTION  OR  PERFORMANCE IS
   24  SPECIFICALLY AUTHORIZED IN LAW BY AN ACT OF THE STATE LEGISLATURE.
   25    (D) CIVIL SERVICE STATUS OF EMPLOYEES. ANY  PERMANENT  EMPLOYEE  OF  A
   26  HIGHER  EDUCATION  RESEARCH  FOUNDATION WHO IS HIRED AFTER THE EFFECTIVE
   27  DATE OF THIS SECTION, SHALL BE DEEMED TO  BE  IN  THE  CLASSIFIED  CIVIL
   28  SERVICE  OR  THE UNCLASSIFIED CIVIL SERVICE AS PROVIDED FOR IN THE CIVIL
   29  SERVICE LAW AND SHALL BE SUBJECT TO THE PROVISIONS OF THE CIVIL  SERVICE
   30  LAW  IN  THE SAME MANNER AS AN EMPLOYEE OF A DEPARTMENT OR AGENCY OF THE
   31  STATE.
   32    S 4. The state civil service commission may prescribe rules and  regu-
   33  lations  to  define  permanent  employees of a higher education research
   34  foundation as defined in section 1413 of the not-for-profit  corporation
   35  law, as added by section three of this act.
   36    S 5. This act shall take effect on the one hundred eightieth day after
   37  it shall have become a law.