Bill Text: NY S05186 | 2017-2018 | General Assembly | Introduced
Bill Title: Establishes the Made by New Yorkers fund to provide grants to certain small and medium businesses in the state that are seeking to expand; authorizes the department of state to establish a "Made by New Yorkers" labeling program for products predominantly made in this state.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2018-03-06 - REPORTED AND COMMITTED TO FINANCE [S05186 Detail]
Download: New_York-2017-S05186-Introduced.html
STATE OF NEW YORK ________________________________________________________________________ 5186 2017-2018 Regular Sessions IN SENATE March 10, 2017 ___________ Introduced by Sen. CARLUCCI -- read twice and ordered printed, and when printed to be committed to the Committee on Consumer Protection AN ACT to amend the general business law and the New York state urban development corporation act, in relation to establishing the "Made by New Yorkers" program The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. The general business law is amended by adding a new article 2 29-JJ to read as follows: 3 ARTICLE 29-JJ 4 MADE BY NEW YORKERS 5 Section 613. Definitions. 6 613-a."Made by New Yorkers"; labeling. 7 613-b. Requirements. 8 613-c. Issuance of the label. 9 613-d. Application for registration. 10 613-e. Filing of applications. 11 613-f. Fees. 12 613-g. Administration and enforcement. 13 613-h. Suspension and revocation of registrations. 14 613-i. Renewal. 15 613-j. Reporting. 16 613-k. Rules and regulations. 17 § 613. Definitions. As used in this article, the following terms shall 18 have the following meanings: 19 1. "Applicant" shall mean the person filing an application, or a 20 member of the firm or an officer of the corporation or association 21 applying for registration for use of the "Made by New Yorkers" label. 22 2. "Department" shall mean the department of state. 23 3. "Products or goods" shall include any recognizable goods, merchan- 24 dise, wares, or tangible or intangible products of any kind. EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD10610-02-7S. 5186 2 1 4. "Secretary" shall mean the secretary of state. 2 § 613-a. "Made by New Yorkers"; labeling. The department is authorized 3 to establish and implement a made by New Yorkers labeling program for 4 all products or goods made in accordance with the requirements of this 5 article. The department may consult with the department of economic 6 development in the implementation of this article. 7 § 613-b. Requirements. 1. Any products or goods made in this state in 8 accordance to this article shall be eligible to be labeled with a "Made 9 by New Yorkers" label if: 10 a. the product or good is substantially made by a business located in 11 the state; and 12 b. the finished product or good could lawfully use a "Made in U.S.A." 13 or "Made in America" label. 14 2. For purposes of this section, "substantially made" means completing 15 an act that adds at least fifty-one percent of a final product's whole- 16 sale value by manufacture, assembly or production to create a final 17 recognizable product. "Substantially made" does not include the act of 18 packaging the product. 19 § 613-c. Issuance of the label. In accordance with the provisions of 20 this article, the department shall consult with the department of 21 economic development in the design and issuance of the "Made by New 22 Yorkers" label. 23 § 613-d. Application for registration. The department shall require 24 each business that chooses to participate in the program to register 25 with the department for use of the "Made by New Yorkers" label. An 26 applicant for registration for use of the label shall submit an applica- 27 tion to the secretary in such form as shall be prescribed by the secre- 28 tary. An application for registration for use of the label shall 29 include: 30 1. the name and business address of the person applying for such 31 registration; 32 2. a description of each product or good being sold in connection with 33 the label; and 34 3. a statement by the applicant that their products or goods are made 35 in accordance with this article. 36 The application shall be signed and verified by oath, affirmation or 37 declaration subject to the penalties of perjury by the applicant. 38 § 613-e. Filing of applications. 1. Upon the filing of an application 39 for registration for use of the label, the secretary shall examine the 40 application for conformity with this article. 41 2. The applicant shall provide any additional pertinent information 42 requested by the secretary. 43 3. The department shall, before making a final determination to deny 44 a business an application for registration for use of the "Made by New 45 Yorkers" label, notify the applicant in writing of the reasons for such 46 denial and shall afford the applicant an opportunity to be heard in 47 person or by counsel prior to the denial of the application. Such 48 notification shall be delivered or mailed to the applicant. If a hear- 49 ing is requested, such hearing shall be held at such time and place as 50 the secretary shall prescribe. If the applicant fails to make a written 51 request for a hearing within thirty days after receipt of such notifica- 52 tion, then the notification shall become the final determination of the 53 secretary. If, after hearing, the registration is denied, written 54 notice of such denial shall be delivered or mailed to the applicant.S. 5186 3 1 § 613-f. Fees. The application for registration or renewal shall be 2 accompanied by a filing fee of one hundred dollars payable to the secre- 3 tary. 4 § 613-g. Administration and enforcement. The secretary shall have the 5 power to enforce the provisions of this article, and upon complaint of 6 any person, or on his or her own initiative, to investigate any 7 violation thereof or to investigate a business if in the opinion of the 8 secretary such investigation is warranted. Each such applicant or regis- 9 tered business shall be obliged, on request of the secretary, to supply 10 such information, books, papers or records as may be required concerning 11 his, her, their or its business. Failure to comply with a lawful request 12 of the secretary shall be a ground for denying an application for regis- 13 tration, or for revoking, suspending or denial of renewal of a registra- 14 tion for use of the label under this article. 15 § 613-h. Suspension and revocation of registrations. The secretary 16 shall have the power to revoke or suspend any registration or deny any 17 registration upon proof: 18 1. that the applicant or registrant has violated any of the provisions 19 of this article or the rules and regulations promulgated pursuant there- 20 to; 21 2. that the applicant or registrant has practiced fraud, deceit or 22 misrepresentation; or 23 3. that the applicant or registrant has made a materially false state- 24 ment in their application for registration. 25 § 613-i. Renewal. The registration for use of the label shall be 26 effective for a term of three years from the date of registration and, 27 upon application filed within six months prior to the expiration of such 28 term, in a manner complying with the requirements of the secretary, the 29 registration may be renewed for a like term from the end of the expiring 30 term. The department shall require between the time of registration and 31 renewal that the registrant submit a sworn statement on an annual basis 32 that their products or goods are made in accordance with this article. 33 § 613-j. Reporting. The department shall submit an annual report 34 regarding its expenditures, to the governor, temporary president of the 35 senate, speaker of the assembly and appropriate committees of the legis- 36 lature. 37 § 613-k. Rules and regulations. The department shall promulgate such 38 rules and regulations as shall be necessary to implement the provisions 39 of this article. 40 § 2. Section 1 of chapter 174 of the laws of 1968, constituting the 41 New York state urban development corporation act, is amended by adding a 42 new section 16-aa to read as follows: 43 § 16-aa. Made by New Yorkers fund. 1. The Made by New Yorkers fund is 44 hereby created. The purpose of the Made by New Yorkers fund is to make 45 grants to eligible applicants, to support businesses in their growth and 46 expansion efforts, and to encourage the growth of New York businesses 47 and products both within and outside the state. 48 2. The corporation is authorized, within available appropriations, to 49 award grants of no less than fifty thousand dollars and up to one 50 hundred fifty thousand dollars to established small or medium sized 51 businesses, for the purpose of encouraging the growth and expansion 52 efforts of small or medium sized businesses. Such grants shall be 53 awarded on a competitive basis. 54 3. For the purposes of this section: 55 (a) "expansion" shall include growth of a business' operation within 56 the state or expansion of a business' sales inside or outside the state.S. 5186 4 1 (b) "small or medium sized business" shall mean a business which 2 employs five hundred or fewer employees within the state on a full-time 3 basis. 4 4. Grants awarded by the corporation pursuant to this section shall be 5 subject to the following: 6 (a) grants shall not be less than fifty thousand dollars per year and 7 shall not exceed one hundred fifty thousand dollars per year; and 8 (b) the corporation shall enter into no more than one grant per year 9 per applicant under this subdivision. 10 5. Grants shall be awarded for projects dedicated to growth and expan- 11 sion efforts taken by a business. Growth and expansion efforts shall 12 include, but not be limited to, projects that: 13 (a) assist established businesses in their growth through market 14 diversification and expansion; 15 (b) increase a business' adoption of new technologies; or 16 (c) increase a business' capacity to participate in national and 17 international markets. 18 6. The corporation shall establish a competitive process for the eval- 19 uation of applicants for the Made by New Yorkers fund. When awarding 20 funds pursuant to this section, the corporation shall ensure that appli- 21 cants meet the criteria and requirements determined by the corporation 22 pursuant to this section. 23 7. Recipients shall be required to report the status of funds received 24 pursuant to this section to the corporation on a biannual basis until 25 such project is completed. Failure to comply with reporting criteria, or 26 any other criteria set forth by the corporation, may result in suspen- 27 sion of all future payments. 28 8. The corporation shall: 29 (a) monitor the performance of each recipient of a grant under the 30 provisions of this section to ensure monies are used only for expenses 31 related to the approved project; and 32 (b) on or before April first, two thousand eighteen and annually ther- 33 eafter, submit to the governor, the temporary president of the senate, 34 the speaker of the assembly, and the chairpersons of the senate finance 35 committee and the assembly ways and means committee a report on the 36 investments and accomplishments of the Made by New Yorkers fund. Such 37 report shall include for each grant awarded, the name and location of 38 the recipient, the amount awarded, a description of the expansion 39 project, the number of jobs created or retained through the grant fund 40 monies, a description of any funds that were not disbursed, and such 41 other information as the corporation may deem appropriate. 42 § 3. The New York state urban development corporation is hereby 43 authorized to promulgate such rules and regulations, in accordance with 44 the state administrative procedure act, as are necessary to fulfill the 45 purposes of section two of this act. 46 § 4. This act shall take effect immediately, except that section one 47 of this act shall take effect on the one hundred eightieth day after it 48 shall have become a law; provided, however, that effective immediately, 49 the addition, amendment and/or repeal of any rule or regulation neces- 50 sary for the implementation of section one of this act on its effective 51 date are authorized and directed to be made and completed on or before 52 the effective date of such section.