Bill Text: NY A02688 | 2017-2018 | General Assembly | Introduced

New York Assembly Bill 2688 (Prior Session Legislation)

NOTE: There are more recent revisions of this legislation. Read Latest Draft

Bill Title: Relates to solicitation used by or on behalf of any charitable organization.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Passed) 2018-12-21 - signed chap.373 [A02688 Detail]

Download: New_York-2017-A02688-Introduced.html

                STATE OF NEW YORK
        ________________________________________________________________________
                                          2688
                               2017-2018 Regular Sessions
                   IN ASSEMBLY
                                    January 20, 2017
                                       ___________
        Introduced  by M. of A. STECK -- read once and referred to the Committee
          on Governmental Operations
        AN ACT to amend the executive law, in relation to solicitation  used  by
          or on behalf of any charitable organization
          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:
     1    Section 1. Subdivisions 2 and 3 of section 174-b of the executive law,
     2  subdivision 2 as amended by chapter 490 of the laws of 2010, subdivision
     3  3 as amended by chapter 43 of the laws of 2002, are amended  and  a  new
     4  subdivision 6 is added to read as follows:
     5    2.  Any  solicitation used by or on behalf of any charitable organiza-
     6  tion shall [provide] include:
     7    (a) a clear description of the programs and activities  for  which  it
     8  has  requested  and  has  expended or will expend contributions or shall
     9  include therein a statement that, upon request, a person may obtain from
    10  the organization such a description; and
    11    (b) a statement identifying the website of the New York  state  office
    12  of  the  attorney  general reporting telemarketing campaigns in New York
    13  state and a telephone number to contact the charities bureau of the  New
    14  York  state  office  of  the  attorney general to answer questions about
    15  charities.
    16    (c) If the solicitation is by an institution subject to article five-A
    17  of the not-for-profit corporation law, and is for an endowment fund, the
    18  solicitation must include a statement that, unless otherwise  restricted
    19  by the gift instrument pursuant to paragraph (b) of section five hundred
    20  fifty-three  of  the not-for-profit corporation law, the institution may
    21  expend so much of an endowment fund as it deems prudent after  consider-
    22  ing  the  factors  set  forth  in  paragraph (a) of section five hundred
    23  fifty-three of the not-for-profit corporation law.
    24    3. In addition to any other disclosure required by law, any  solicita-
    25  tion  by any means by a professional fund raiser or professional solici-
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD07678-01-7

        A. 2688                             2
     1  tor on behalf of a charitable organization  required  to  be  registered
     2  pursuant to this article shall clearly and unambiguously disclose:
     3    (a)  the  name  of  the  professional  fund raiser as on file with the
     4  attorney general and that the  solicitation  is  being  conducted  by  a
     5  professional fund raiser;
     6    (b)  the name of the individual professional solicitor as on file with
     7  the attorney general and that the individual is  receiving  compensation
     8  for conducting the solicitation; and
     9    (c)  a statement identifying the website of the office of the attorney
    10  general reporting telemarketing campaigns in New York state and a  tele-
    11  phone number to contact the charities bureau of the office of the attor-
    12  ney general to answer questions about charities.
    13    6.  An  action  for  a  violation  of subdivision two or three of this
    14  section may be prosecuted by the attorney general, or his or her deputy,
    15  in the name of the people of the state, and  in  any  such  action,  the
    16  attorney general or his or her deputy, shall exercise all the powers and
    17  perform  all  duties  which  the  district  attorney  would otherwise be
    18  authorized to exercise or to perform therein  pursuant  to  section  one
    19  hundred  seventy-five  of  this  article.  Any  charitable organization,
    20  professional fund raiser  or  professional  solicitor  found  to  be  in
    21  violation of subdivision two or three of this section shall be fined one
    22  thousand  dollars for the first violation and such organization's regis-
    23  tration pursuant to section one hundred seventy-two, one hundred  seven-
    24  ty-three or one hundred seventy-three-b of this article, may be revoked.
    25  Any  charitable  organization,  professional fund raiser or professional
    26  solicitor found to have been in violation of subdivision two or three of
    27  this section in three or more separate occurrences, shall be  fined  ten
    28  thousand  dollars  and  such  organization's  registration  pursuant  to
    29  section one  hundred  seventy-two,  one  hundred  seventy-three  or  one
    30  hundred  seventy-three-b  of this article shall be revoked. The consumer
    31  protection division shall, whenever possible, assist the attorney gener-
    32  al in any investigation of a charitable organization  pursuant  to  this
    33  subdivision.
    34    §  2.  This  act shall take effect on the ninetieth day after it shall
    35  have become a law and shall apply to all  solicitation  used  by  or  on
    36  behalf of any charitable organization on and after such effective date.