Bill Text: NY S08481 | 2009-2010 | General Assembly | Introduced
Bill Title: Establishes the New York state infrastructure development bank within the banking department, makes a $250,000,000 appropriation therefor and provides for the expiration thereof upon its repeal in 15 years.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2010-09-08 - REFERRED TO FINANCE [S08481 Detail]
Download: New_York-2009-S08481-Introduced.html
S T A T E O F N E W Y O R K ________________________________________________________________________ 8481 I N S E N A T E September 8, 2010 ___________ Introduced by Sen. C. JOHNSON -- read twice and ordered printed, and when printed to be committed to the Committee on Finance AN ACT to amend the banking law, in relation to establishing the New York state infrastructure development bank; making an appropriation therefor; and providing for the repeal of such provisions upon expira- tion thereof THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: 1 Section 1. Short title. This act shall be known and may be cited as 2 the "New York state infrastructure development bank act". 3 S 2. The banking law is amended by adding a new article 17 to read as 4 follows: 5 ARTICLE 17 6 NEW YORK STATE INFRASTRUCTURE DEVELOPMENT BANK 7 SECTION 9100. DEFINITIONS. 8 9101. ESTABLISHMENT. 9 9102. BOARD OF DIRECTORS; POWERS AND DUTIES. 10 9103. EXECUTIVE COMMITTEE. 11 9104. RISK MANAGEMENT COMMITTEE. 12 9105. AUDIT COMMITTEE. 13 9106. ELIGIBILITY CRITERIA AND ASSISTANCE. 14 9107. EXEMPTION FROM LOCAL TAXATION. 15 9108. STATUS AND APPLICABILITY OF CERTAIN FEDERAL LAWS; FULL 16 FAITH AND CREDIT. 17 9109. AUDITS AND REPORTS. 18 S 9100. DEFINITIONS. FOR THE PURPOSES OF THIS ARTICLE: 19 1. THE TERM "BANK" SHALL MEAN THE NEW YORK STATE INFRASTRUCTURE DEVEL- 20 OPMENT BANK ESTABLISHED PURSUANT TO THIS ARTICLE. 21 2. THE TERM "BOARD" SHALL MEAN THE NEW YORK STATE INFRASTRUCTURE 22 DEVELOPMENT BANK BOARD ESTABLISHED UNDER SECTION NINETY-ONE HUNDRED TWO 23 OF THIS ARTICLE. 24 3. THE TERM "CHIEF ASSET AND LIABILITY MANAGEMENT OFFICER" MEANS THE 25 CHIEF INDIVIDUAL RESPONSIBLE FOR COORDINATING THE MANAGEMENT OF ASSETS 26 AND LIABILITIES OF THE BANK. EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD17815-01-0 S. 8481 2 1 4. THE TERM "CHIEF COMPLIANCE OFFICER" OR "CCO" MEANS THE CHIEF INDI- 2 VIDUAL RESPONSIBLE FOR OVERSEEING AND MANAGING THE COMPLIANCE AND REGU- 3 LATORY AFFAIRS ISSUES OF THE BANK. 4 5. THE TERM "CHIEF FINANCIAL OFFICER" MEANS THE CHIEF INDIVIDUAL 5 RESPONSIBLE FOR MANAGING THE FINANCIAL RISKS, PLANNING, AND REPORTING OF 6 THE BANK. 7 6. THE TERM "CHIEF LOAN ORIGINATION OFFICER" MEANS THE CHIEF INDIVID- 8 UAL RESPONSIBLE FOR THE PROCESSING OF NEW LOANS PROVIDED BY THE BANK. 9 7. THE TERM "CHIEF OPERATIONS OFFICER" MEANS THE CHIEF INDIVIDUAL 10 RESPONSIBLE FOR INFORMATION TECHNOLOGY AND THE DAY TO DAY OPERATIONS OF 11 THE BANK. 12 8. THE TERM "CHIEF RISK OFFICER" OR "CRO" MEANS THE CHIEF INDIVIDUAL 13 RESPONSIBLE FOR MANAGING OPERATIONAL AND COMPLIANCE-RELATED RISKS OF THE 14 BANK. 15 9. THE TERM "CHIEF TREASURY OFFICER" MEANS THE CHIEF INDIVIDUAL 16 RESPONSIBLE FOR MANAGING THE BANK'S TREASURY OPERATIONS. 17 10. THE TERMS "DEVELOPMENT" AND "DEVELOP" MEAN, WITH RESPECT TO AN 18 INFRASTRUCTURE PROJECT, ANY: 19 (A) PRECONSTRUCTION PLANNING, FEASIBILITY REVIEW, PERMITTING, DESIGN 20 WORK, AND OTHER PRECONSTRUCTION ACTIVITIES; AND 21 (B) CONSTRUCTION, RECONSTRUCTION, REHABILITATION, REPLACEMENT, OR 22 EXPANSION. 23 11. THE TERM "DISADVANTAGED COMMUNITY" MEANS A COMMUNITY WITH A MEDIAN 24 HOUSEHOLD INCOME OF LESS THAN EIGHTY PERCENT OF THE STATEWIDE MEDIAN 25 HOUSEHOLD INCOME FOR THE STATE. 26 12. THE TERM "ENERGY INFRASTRUCTURE PROJECT" MEANS ANY PROJECT FOR 27 ENERGY TRANSMISSION, ENERGY EFFICIENCY ENHANCEMENT FOR BUILDINGS, PUBLIC 28 HOUSING, AND SCHOOLS, RENEWABLE ENERGY, AND ENERGY STORAGE. 29 13. THE TERM "ENTITY" MEANS AN INDIVIDUAL, CORPORATION, PARTNERSHIP 30 (INCLUDING A PUBLIC-PRIVATE PARTNERSHIP), JOINT VENTURE, TRUST, THE 31 STATE OR OTHER GOVERNMENTAL ENTITY, INCLUDING A POLITICAL SUBDIVISION OR 32 ANY OTHER INSTRUMENTALITY OF THE STATE OR A REVOLVING FUND. 33 14. THE TERM "ENVIRONMENTAL INFRASTRUCTURE PROJECT" MEANS ANY PROJECT 34 FOR THE ESTABLISHMENT, MAINTENANCE, OR ENHANCEMENT OF ANY DRINKING WATER 35 AND WASTEWATER TREATMENT FACILITY, STORM WATER MANAGEMENT SYSTEM, DAM, 36 LEVEE, OPEN SPACE MANAGEMENT SYSTEM, SOLID WASTE DISPOSAL FACILITY, 37 HAZARDOUS WASTE FACILITY, OR INDUSTRIAL SITE CLEANUP. 38 15. THE TERM "EXECUTIVE DIRECTOR" MEANS THE INDIVIDUAL SERVING AS THE 39 CHIEF EXECUTIVE OFFICER OF THE BANK. 40 16. THE TERM "GENERAL COUNSEL" MEANS THE INDIVIDUAL WHO SERVES AS THE 41 CHIEF LAWYER FOR THE BANK. 42 17. THE TERM "INFRASTRUCTURE PROJECT" MEANS ANY ENERGY, ENVIRONMENTAL, 43 TELECOMMUNICATIONS, OR TRANSPORTATION INFRASTRUCTURE PROJECT. 44 18. THE TERM "PUBLIC BENEFIT BOND" MEANS A BOND ISSUED WITH RESPECT TO 45 AN INFRASTRUCTURE PROJECT IN ACCORDANCE WITH THIS ARTICLE: 46 (A) THE NET SPENDABLE PROCEEDS FROM THE SALE OF THE ISSUE MAY BE USED 47 FOR EXPENDITURES INCURRED AFTER THE DATE OF ISSUANCE WITH RESPECT TO THE 48 PROJECT, SUBJECT TO THE RULES OF THE BANK; 49 (B) THE BOND ISSUED BY THE BANK IS IN REGISTERED FORM AND MEETS THE 50 REQUIREMENTS OF THIS ARTICLE AND OTHERWISE APPLICABLE LAW; 51 (C) THE TERM OF EACH BOND WHICH IS PART OF THE ISSUE IS GREATER THAN 52 THIRTY YEARS; AND 53 (D) THE PAYMENT OF PRINCIPAL WITH RESPECT TO THE BOND IS THE OBLI- 54 GATION OF THE BANK. 55 19. THE TERM "PUBLIC-PRIVATE PARTNERSHIP" MEANS ANY ENTITY: S. 8481 3 1 (A) (I) WHICH IS UNDERTAKING THE DEVELOPMENT OF ALL OR PART OF AN 2 INFRASTRUCTURE PROJECT, WHICH WILL HAVE A PUBLIC BENEFIT, PURSUANT TO 3 REQUIREMENTS ESTABLISHED IN ONE OR MORE CONTRACTS BETWEEN THE ENTITY AND 4 THE STATE OR AN INSTRUMENTALITY OF THE STATE; OR 5 (II) THE ACTIVITIES OF WHICH, WITH RESPECT TO SUCH AN INFRASTRUCTURE 6 PROJECT, ARE SUBJECT TO REGULATION BY THE STATE OR ANY INSTRUMENTALITY 7 OF THE STATE; AND 8 (B) WHICH OWNS, LEASES, OR OPERATES, OR WILL OWN, LEASE, OR OPERATE, 9 THE PROJECT IN WHOLE OR IN PART, AND AT LEAST ONE OF THE PARTICIPANTS IN 10 THE ENTITY IS A NONGOVERNMENTAL ENTITY. 11 20. THE TERM "REVOLVING FUND" MEANS A FUND OR PROGRAM ESTABLISHED BY 12 THE STATE OR A POLITICAL SUBDIVISION OR OTHER INSTRUMENTALITY OF THE 13 STATE, THE PRINCIPAL ACTIVITY OF WHICH IS TO MAKE LOANS, COMMITMENTS, OR 14 OTHER FINANCIAL ACCOMMODATION AVAILABLE FOR THE DEVELOPMENT OF ONE OR 15 MORE CATEGORIES OF INFRASTRUCTURE PROJECTS. 16 21. THE TERM "SMART GRID" MEANS AN ELECTRICITY DELIVERY SYSTEM USING A 17 TWO-WAY DIGITAL COMMUNICATIONS SYSTEM AND ASSOCIATED EQUIPMENT AND SOFT- 18 WARE, INSTALLED ON THE ELECTRICAL DELIVERY SYSTEM AND ON THE PREMISES OF 19 RETAIL END-USE CUSTOMERS, WHICH PROVIDES REAL-TIME MONITORING, DIAGNOS- 20 TIC, AND CONTROL INFORMATION AND SERVICES THAT IMPROVE THE EFFICIENCY 21 AND RELIABILITY OF THE DISTRIBUTION AND USE OF ELECTRICITY. 22 22. THE TERM "SMART GROWTH" MEANS AN URBAN PLANNING AND TRANSPORTATION 23 THEORY THAT CONCENTRATES GROWTH IN THE CENTER OF A CITY TO AVOID URBAN 24 SPRAWL. 25 23. THE TERM "STATE" MEANS THE STATE OF NEW YORK. 26 24. THE TERM "TELECOMMUNICATIONS INFRASTRUCTURE PROJECT" MEANS ANY 27 PROJECT INVOLVING INFRASTRUCTURE REQUIRED TO PROVIDE COMMUNICATIONS BY 28 WIRE OR RADIO. 29 25. THE TERM "TRANSPORTATION INFRASTRUCTURE PROJECT" MEANS ANY PROJECT 30 FOR THE CONSTRUCTION, MAINTENANCE, OR ENHANCEMENT OF HIGHWAYS, ROADS, 31 BRIDGES, TRANSIT AND INTERMODAL SYSTEMS, INLAND WATERWAYS, COMMERCIAL 32 PORTS, AIRPORTS, HIGH SPEED RAIL AND FREIGHT RAIL SYSTEMS. 33 S 9101. ESTABLISHMENT. THERE IS HEREBY ESTABLISHED WITHIN THE DEPART- 34 MENT THE NEW YORK STATE INFRASTRUCTURE DEVELOPMENT BANK. 35 S 9102. BOARD OF DIRECTORS; POWERS AND DUTIES. 1. (A) THE BANK SHALL 36 HAVE A BOARD OF DIRECTORS CONSISTING OF FIVE MEMBERS REPRESENTING 37 DIFFERENT REGIONS OF THE STATE TO BE APPOINTED BY THE GOVERNOR AS 38 FOLLOWS: 39 (I) TWO MEMBERS SHALL HAVE PUBLIC SECTOR EXPERIENCE; AND 40 (II) THREE MEMBERS SHALL HAVE PRIVATE SECTOR EXPERIENCE. 41 (B) AS DESIGNATED AT THE TIME OF APPOINTMENT, ONE OF THE DIRECTORS OF 42 THE BOARD SHALL BE DESIGNATED CHAIRPERSON OF THE BOARD BY THE GOVERNOR 43 AND ONE SHALL BE DESIGNATED AS VICE CHAIRPERSON OF THE BOARD BY THE 44 GOVERNOR. 45 (C) (I) EXCEPT AS PROVIDED IN SUBPARAGRAPH (II) OF THIS PARAGRAPH, 46 EACH DIRECTOR SHALL BE APPOINTED FOR A TERM OF SIX YEARS. 47 (II) OF THE INITIAL MEMBERS OF THE BOARD: 48 (A) THE CHAIRPERSON AND THE VICE CHAIRPERSON SHALL BE APPOINTED FOR 49 TERMS OF SIX YEARS; 50 (B) ONE MEMBER SHALL BE APPOINTED FOR A TERM OF FIVE YEARS; 51 (C) ONE MEMBER SHALL BE APPOINTED FOR A TERM OF FOUR YEARS; 52 (D) ONE MEMBER SHALL BE APPOINTED FOR A TERM OF THREE YEARS. 53 (D) THE INITIAL APPOINTMENTS BY THE GOVERNOR SHALL BE MADE NOT LATER 54 THAN SIXTY DAYS AFTER THE EFFECTIVE DATE OF THIS ARTICLE. 55 (E) A VACANCY ON THE BOARD SHALL BE FILLED IN THE MANNER IN WHICH THE 56 ORIGINAL APPOINTMENT WAS MADE. ANY DIRECTOR APPOINTED TO FILL A VACANCY S. 8481 4 1 OCCURRING BEFORE THE EXPIRATION OF THE TERM FOR WHICH THE DIRECTOR'S 2 PREDECESSOR WAS APPOINTED SHALL BE APPOINTED ONLY FOR THE REMAINDER OF 3 SUCH TERM. 4 (F) A DIRECTOR MAY SERVE AFTER THE EXPIRATION OF THAT DIRECTOR'S TERM 5 UNTIL A SUCCESSOR HAS TAKEN OFFICE. 6 (G) ANY DIRECTOR OF THE BOARD MAY BE REAPPOINTED ONCE BY THE GOVERNOR 7 IN ACCORDANCE WITH THIS SUBDIVISION. 8 2. THREE DIRECTORS SHALL CONSTITUTE A QUORUM. 9 3. DIRECTORS OF THE BOARD SHALL SERVE ON A PART-TIME BASIS AND SHALL 10 RECEIVE A PER DIEM WHEN ENGAGED IN THE ACTUAL PERFORMANCE OF BANK BUSI- 11 NESS, PLUS REASONABLE REIMBURSEMENT FOR TRAVEL, SUBSISTENCE AND OTHER 12 NECESSARY EXPENSES INCURRED IN THE PERFORMANCE OF THEIR DUTIES. 13 4. NO DIRECTOR OF THE BOARD MAY PARTICIPATE IN ANY REVIEW OR DECISION 14 AFFECTING A PROJECT UNDER CONSIDERATION FOR ASSISTANCE UNDER THIS ARTI- 15 CLE IF THE DIRECTOR HAS OR IS AFFILIATED WITH ANY PERSON WHO HAS AN 16 INTEREST IN SUCH PROJECT. 17 5. (A) IN ORDER TO CARRY OUT THE PURPOSES OF THE BANK, THE BOARD SHALL 18 BE RESPONSIBLE FOR MONITORING AND OVERSEEING INFRASTRUCTURE PROJECTS, 19 SHALL ESTABLISH CRITERIA FOR DETERMINING PROJECT ELIGIBILITY FOR FINAN- 20 CIAL ASSISTANCE UNDER THIS ARTICLE AND SHALL HAVE THE FOLLOWING POWERS: 21 (I) TO ISSUE PUBLIC BENEFIT BONDS AND PROVIDE DIRECT SUBSIDIES TO 22 INFRASTRUCTURE PROJECTS; 23 (II) TO BORROW ON THE GLOBAL CAPITAL MARKET AND LEND TO ENTITIES AND 24 COMMERCIAL BANKS FOR FUNDING INFRASTRUCTURE PROJECTS; AND 25 (III) TO PURCHASE, POOL AND SELL INFRASTRUCTURE-RELATED LOANS AND 26 SECURITIES ON SUCH MARKET. 27 (B) THE BOARD SHALL CONDUCT ITS BUSINESS IN A MANNER CONSISTENT WITH 28 THE REQUIREMENTS OF THIS SECTION. 29 (C) THE PROVISION OF FINANCIAL ASSISTANCE BY THE BOARD PURSUANT TO 30 THIS ARTICLE SHALL NOT BE CONSTRUED AS: 31 (I) LIMITING THE RIGHT OF THE STATE OR ANY POLITICAL SUBDIVISION OR 32 OTHER INSTRUMENTALITY OF THE STATE TO APPROVE OR REGULATE THE RATES OF 33 RETURN ON PRIVATE EQUITY INVESTED IN A PROJECT; OR 34 (II) OTHERWISE SUPERSEDING ANY LAW, RULE OR REGULATION OF THE STATE 35 APPLICABLE TO A PROJECT. 36 (D) THE BOARD SHALL HAVE THE POWER TO REQUEST THE ASSISTANCE, ON A 37 REIMBURSABLE BASIS, OF PERSONNEL FROM ANY STATE AGENCIES WITH SPECIFIC 38 EXPERTISE NOT AVAILABLE FROM WITHIN THE BANK OR ELSEWHERE. THE HEAD OF 39 ANY STATE AGENCY MAY ASSIGN, ON A REIMBURSABLE BASIS, ANY PERSONNEL OF 40 SUCH AGENCY REQUESTED BY THE BOARD AND SHALL NOT UNREASONABLY REFUSE THE 41 ASSISTANCE OF ANY PERSONNEL REQUESTED BY THE BOARD. 42 6. (A) ALL MEETINGS OF THE BOARD HELD TO CONDUCT THE BUSINESS OF THE 43 BANK SHALL BE OPEN TO THE PUBLIC AND SHALL BE PRECEDED BY REASONABLE 44 NOTICE. 45 (B) THE BOARD SHALL MEET NOT LATER THAN NINETY DAYS AFTER THE DATE ON 46 WHICH ALL OF THE DIRECTORS OF THE BOARD ARE FIRST APPOINTED AND OTHER- 47 WISE AT THE CALL OF THE CHAIRPERSON. 48 (C) PURSUANT TO SUCH RULES AS THE BOARD MAY ESTABLISH THROUGH THEIR 49 BYLAWS, THE DIRECTORS MAY CLOSE A MEETING OF THE BOARD IF, AT THE MEET- 50 ING, THERE IS LIKELY TO BE DISCLOSED INFORMATION WHICH COULD ADVERSELY 51 AFFECT OR LEAD TO SPECULATION RELATING TO AN INFRASTRUCTURE PROJECT 52 UNDER CONSIDERATION FOR ASSISTANCE UNDER THIS ARTICLE OR IN FINANCIAL OR 53 SECURITIES OR COMMODITIES MARKETS OR INSTITUTIONS, UTILITIES, OR REAL 54 ESTATE. THE DETERMINATION TO CLOSE ANY MEETING OF THE BOARD SHALL BE 55 MADE IN A MEETING OF THE BOARD, OPEN TO THE THE PUBLIC, AND PRECEDED BY 56 REASONABLE NOTICE. THE BOARD SHALL PREPARE MINUTES OF ANY MEETING WHICH S. 8481 5 1 IS CLOSED TO THE PUBLIC AND MAKE SUCH MINUTES AVAILABLE AS SOON AS THE 2 CONSIDERATIONS NECESSITATING CLOSING SUCH MEETING NO LONGER APPLY. 3 7. THE CHAIRPERSON OF THE BOARD, EXECUTIVE DIRECTOR, CRO AND CCO SHALL 4 APPOINT, REMOVE, FIX THE COMPENSATION OF AND DEFINE THE DUTIES OF SUCH 5 QUALIFIED PERSONNEL TO SERVE UNDER THE BOARD, EXECUTIVE COMMITTEE, RISK 6 MANAGEMENT COMMITTEE OR AUDIT COMMITTEE, AS THE CASE MAY BE, AS NECES- 7 SARY AND PRESCRIBED BY THIS ARTICLE, THE BYLAWS OF THE BANK AND THE 8 BOARD. 9 S 9103. EXECUTIVE COMMITTEE. 1. THE BOARD SHALL HAVE AN EXECUTIVE 10 COMMITTEE CONSISTING OF NINE MEMBERS, HEADED BY THE EXECUTIVE DIRECTOR 11 OF THE BANK. 12 2. A MAJORITY OF THE BOARD SHALL HAVE THE AUTHORITY TO APPOINT AND 13 REAPPOINT THE EXECUTIVE DIRECTOR. 14 3. THE EXECUTIVE DIRECTOR SHALL BE THE CHIEF EXECUTIVE OFFICER OF THE 15 BANK, WITH SUCH EXECUTIVE FUNCTIONS, POWERS AND DUTIES AS MAY BE 16 PRESCRIBED BY THIS ARTICLE, THE BYLAWS OF THE BANK OR THE BOARD. 17 4. THE BOARD SHALL APPOINT, REMOVE, FIX THE COMPENSATION AND DEFINE 18 THE DUTIES OF EIGHT OTHER EXECUTIVE OFFICERS TO SERVE ON THE EXECUTIVE 19 COMMITTEE AS THE: 20 (A) CHIEF COMPLIANCE OFFICER; 21 (B) CHIEF FINANCIAL OFFICER; 22 (C) CHIEF ASSET AND LIABILITY MANAGEMENT OFFICER; 23 (D) CHIEF LOAN ORIGINATION OFFICER; 24 (E) CHIEF OPERATIONS OFFICER; 25 (F) CHIEF RISK OFFICER; 26 (G) CHIEF TREASURY OFFICER; AND 27 (H) GENERAL COUNSEL. 28 5. THE EXECUTIVE DIRECTOR AND OTHER EXECUTIVE OFFICERS SHALL HAVE 29 DEMONSTRATED EXPERIENCE AND EXPERTISE IN ONE OR MORE OF THE FOLLOWING: 30 (A) TRANSPORTATION INFRASTRUCTURE. 31 (B) ENVIRONMENTAL INFRASTRUCTURE. 32 (C) ENERGY INFRASTRUCTURE. 33 (D) TELECOMMUNICATIONS INFRASTRUCTURE. 34 (E) ECONOMIC DEVELOPMENT. 35 (F) WORKFORCE DEVELOPMENT. 36 (G) PUBLIC HEALTH. 37 (H) PRIVATE OR PUBLIC FINANCE. 38 6. IN ORDER TO CARRY OUT THE PURPOSES OF THE BANK, THE EXECUTIVE 39 COMMITTEE SHALL: 40 (A) ESTABLISH DISCLOSURE AND APPLICATION PROCEDURES FOR ENTITIES NOMI- 41 NATING PROJECTS FOR ASSISTANCE UNDER THIS ARTICLE; 42 (B) ACCEPT, FOR CONSIDERATION, PROJECT PROPOSALS RELATING TO THE 43 DEVELOPMENT OF INFRASTRUCTURE PROJECTS, WHICH MEET THE BASIC CRITERIA 44 ESTABLISHED BY THE BOARD, AND WHICH ARE SUBMITTED BY AN ENTITY; 45 (C) PROVIDE RECOMMENDATIONS TO THE BOARD AND PLACE PROJECT PROPOSALS 46 ACCEPTED BY THE EXECUTIVE COMMITTEE ON THE LIST FOR CONSIDERATION FOR 47 FINANCIAL ASSISTANCE FROM THE BOARD; 48 (D) PROVIDE TECHNICAL ASSISTANCE TO ENTITIES RECEIVING FINANCING FROM 49 THE BANK AND OTHERWISE IMPLEMENT DECISIONS OF THE BOARD. 50 7. A VACANCY IN THE POSITION OF EXECUTIVE DIRECTOR SHALL BE FILLED IN 51 THE MANNER IN WHICH THE ORIGINAL APPOINTMENT WAS MADE. 52 8. THE COMPENSATION OF THE EXECUTIVE COMMITTEE SHALL BE DETERMINED BY 53 THE BOARD. 54 9. THE EXECUTIVE OFFICERS MAY BE REMOVED AT THE DISCRETION OF A MAJOR- 55 ITY OF THE BOARD. S. 8481 6 1 10. THE EXECUTIVE OFFICERS SHALL SERVE FOR A TERM OF SIX YEARS AND MAY 2 BE REAPPOINTED ONCE IN ACCORDANCE WITH THIS SECTION. 3 11. THE EXECUTIVE OFFICERS SHALL NOT: 4 (A) HOLD ANY OTHER PUBLIC OFFICE; 5 (B) HAVE ANY INTEREST IN AN INFRASTRUCTURE PROJECT CONSIDERED BY THE 6 BOARD; 7 (C) HAVE ANY INTEREST IN AN INVESTMENT INSTITUTION, COMMERCIAL BANK OR 8 OTHER ENTITY SEEKING FINANCIAL ASSISTANCE FOR ANY INFRASTRUCTURE PROJECT 9 FROM THE BANK; AND 10 (D) HAVE ANY SUCH INTEREST DURING THE TWO YEAR PERIOD BEGINNING ON THE 11 DATE SUCH OFFICER CEASES TO SERVE IN SUCH CAPACITY. 12 S 9104. RISK MANAGEMENT COMMITTEE. 1. THE BANK SHALL ESTABLISH A RISK 13 MANAGEMENT COMMITTEE CONSISTING OF FIVE MEMBERS, HEADED BY THE CHIEF 14 RISK OFFICER. 15 2. A MAJORITY OF THE BOARD SHALL HAVE THE AUTHORITY TO APPOINT AND 16 REAPPOINT THE CRO OF THE BANK. 17 3. (A) THE CRO SHALL HAVE SUCH FUNCTIONS, POWERS AND DUTIES AS MAY BE 18 PRESCRIBED BY THIS ARTICLE, THE BYLAWS OF THE BANK AND THE BOARD. THE 19 CRO SHALL REPORT DIRECTLY TO THE BOARD. 20 (B) IN ORDER TO CARRY OUT THE PURPOSES OF THIS ARTICLE, THE RISK 21 MANAGEMENT COMMITTEE SHALL: 22 (I) CREATE FINANCIAL, CREDIT AND OPERATIONAL RISK MANAGEMENT GUIDE- 23 LINES FOR THE BANK; 24 (II) SET STANDARDS TO ENSURE DIVERSIFICATION OF LENDING ACTIVITIES BY 25 BOTH REGION AND INFRASTRUCTURE PROJECT TYPE; AND 26 (III) CREATE CONFORMING STANDARDS FOR INFRASTRUCTURE FINANCE SECURI- 27 TIES. 28 4. (A) THE BOARD SHALL APPOINT, REMOVE, FIX THE COMPENSATION AND 29 DEFINE THE DUTIES OF FOUR OTHER RISK MANAGEMENT OFFICERS TO SERVE ON 30 SUCH COMMITTEE. 31 (B) THE CRO AND OTHER RISK MANAGEMENT OFFICERS SHALL HAVE DEMONSTRATED 32 EXPERIENCE AND EXPERTISE IN ONE OR MORE OF THE FOLLOWING: 33 (I) TREASURY AND ASSET AND LIABILITY MANAGEMENT. 34 (II) INVESTMENT REGULATIONS. 35 (III) CREDIT RISK MANAGEMENT AND CREDIT EVALUATIONS. 36 (IV) RELATE DISCIPLINES. 37 5. A VACANCY IN THE POSITION OF ANY RISK MANAGEMENT OFFICER SHALL BE 38 FILLED IN THE MANNER IN WHICH THE ORIGINAL APPOINTMENT WAS MADE. 39 6. THE COMPENSATION OF THE RISK MANAGEMENT OFFICERS SHALL BE DETER- 40 MINED BY THE BOARD. 41 7. THE RISK MANAGEMENT OFFICERS MAY BE REMOVED AT THE DISCRETION OF 42 THE MAJORITY OF THE BOARD. 43 8. THE RISK MANAGEMENT OFFICERS SHALL SERVE A SIX YEAR TERM AND MAY BE 44 REAPPOINTED ONCE IN ACCORDANCE WITH THIS SECTION. 45 9. THE RISK MANAGEMENT OFFICERS SHALL NOT: 46 (A) HOLD ANY OTHER PUBLIC OFFICE; 47 (B) HAVE ANY INTEREST IN AN INFRASTRUCTURE PROJECT CONSIDERED BY THE 48 BOARD; 49 (C) HAVE ANY INTEREST IN AN INVESTMENT INSTITUTION, COMMERCIAL BANK OR 50 OTHER ENTITY SEEKING FINANCIAL ASSISTANCE FOR ANY INFRASTRUCTURE PROJECT 51 FROM THE BANK; AND 52 (D) HAVE ANY SUCH INTEREST DURING THE TWO YEAR PERIOD BEGINNING ON THE 53 DATE SUCH OFFICER CEASES TO SERVE IN SUCH CAPACITY. 54 S 9105. AUDIT COMMITTEE. 1. THE BANK SHALL ESTABLISH AN AUDIT COMMIT- 55 TEE CONSISTING OF FIVE MEMBERS, HEADED BY THE CHIEF COMPLIANCE OFFICER. S. 8481 7 1 2. A MAJORITY OF THE BOARD SHALL HAVE THE AUTHORITY TO APPOINT AND 2 REAPPOINT THE CCO OF THE BANK. 3 3. (A) THE CCO SHALL HAVE SUCH FUNCTIONS, POWERS AND DUTIES AS MAY BE 4 PRESCRIBED BY THIS ARTICLE, THE BYLAWS OF THE BANK AND THE BOARD. THE 5 CCO SHALL REPORT DIRECTLY TO THE BOARD. 6 (B) IN ORDER TO CARRY OUT THE PURPOSES OF THIS ARTICLE, THE AUDIT 7 COMMITTEE SHALL: 8 (I) PROVIDE INTERNAL CONTROLS AND INTERNAL AUDITING ACTIVITIES FOR THE 9 BANK; 10 (II) MAINTAIN RESPONSIBILITY FOR THE ACCOUNTING ACTIVITIES OF THE 11 BANK; 12 (III) ISSUE FINANCIAL REPORTS OF THE BANK; AND 13 (IV) COMPLETE REPORTS WITH OUTSIDE AUDITORS AND PUBLIC ACCOUNTANTS 14 APPOINTED BY THE BOARD. 15 4. (A) THE BOARD SHALL APPOINT, REMOVE, FIX THE COMPENSATION AND 16 DEFINE THE DUTIES OF FOUR OTHER AUDIT OFFICERS TO SERVE ON SUCH COMMIT- 17 TEE. 18 (B) THE CCO AND OTHER AUDIT OFFICERS SHALL HAVE DEMONSTRATED EXPERI- 19 ENCE AND EXPERTISE IN ONE OR MORE OF THE FOLLOWING: 20 (I) INTERNAL AUDITING. 21 (II) INTERNAL INVESTIGATIONS. 22 (III) ACCOUNTING PRACTICES. 23 (IV) FINANCING PRACTICES. 24 5. A VACANCY IN THE POSITION OF ANY AUDIT OFFICER SHALL BE FILLED IN 25 THE MANNER IN WHICH THE ORIGINAL APPOINTMENT WAS MADE. 26 6. THE COMPENSATION OF THE AUDIT OFFICERS SHALL BE DETERMINED BY THE 27 BOARD. 28 7. THE AUDIT OFFICERS MAY BE REMOVED AT THE DISCRETION OF THE MAJORITY 29 OF THE BOARD. 30 8. THE AUDIT OFFICERS SHALL SERVE A SIX YEAR TERM AND MAY BE REAP- 31 POINTED ONCE IN ACCORDANCE WITH THIS SECTION. 32 9. THE AUDIT OFFICERS SHALL NOT: 33 (A) HOLD ANY OTHER PUBLIC OFFICE; 34 (B) HAVE ANY INTEREST IN AN INFRASTRUCTURE PROJECT CONSIDERED BY THE 35 BOARD; 36 (C) HAVE ANY INTEREST IN AN INVESTMENT INSTITUTION, COMMERCIAL BANK OR 37 OTHER ENTITY SEEKING FINANCIAL ASSISTANCE FOR ANY INFRASTRUCTURE PROJECT 38 FROM THE BANK; AND 39 (D) HAVE ANY SUCH INTEREST DURING THE TWO YEAR PERIOD BEGINNING ON THE 40 DATE SUCH OFFICER CEASES TO SERVE IN SUCH CAPACITY. 41 S 9106. ELIGIBILITY CRITERIA AND ASSISTANCE. 1. NO FINANCIAL ASSIST- 42 ANCE SHALL BE AVAILABLE UNDER THIS ARTICLE FROM THE BANK UNLESS THE 43 APPLICANT FOR SUCH ASSISTANCE HAS DEMONSTRATED TO THE SATISFACTION OF 44 THE BOARD THAT THE PROJECT FOR WHICH SUCH ASSISTANCE IS BEING SOUGHT 45 MEETS: 46 (A) THE REQUIREMENTS OF THIS ARTICLE; AND 47 (B) ANY CRITERIA ESTABLISHED IN ACCORDANCE WITH THIS ARTICLE BY THE 48 BOARD. 49 2. (A) CONSISTENT WITH THE REQUIREMENTS OF SUBDIVISIONS THREE AND FOUR 50 OF THIS SECTION, THE BOARD SHALL ESTABLISH: 51 (I) CRITERIA FOR DETERMINING ELIGIBILITY FOR FINANCIAL ASSISTANCE 52 UNDER THIS ARTICLE; 53 (II) DISCLOSURE AND APPLICATION PROCEDURES TO BE FOLLOWED BY ENTITIES 54 TO NOMINATE PROJECTS FOR ASSISTANCE UNDER THIS ARTICLE; AND 55 (III) SUCH OTHER CRITERIA AS THE BOARD MAY CONSIDER TO BE APPROPRIATE 56 FOR PURPOSES OF CARRYING OUT THIS ARTICLE. S. 8481 8 1 (B) (I) THE BANK SHALL CONDUCT AN ANALYSIS THAT TAKES INTO ACCOUNT THE 2 ECONOMIC, ENVIRONMENTAL, SOCIAL BENEFITS AND COSTS OF EACH PROJECT UNDER 3 CONSIDERATION FOR FINANCIAL ASSISTANCE UNDER THIS ARTICLE, PRIORITIZING 4 PROJECTS THAT CONTRIBUTE TO ECONOMIC GROWTH, LEAD TO JOB CREATION AND 5 ARE OF REGIONAL OR LOCAL SIGNIFICANCE. 6 (II) THE CRITERIA ESTABLISHED PURSUANT TO SUBPARAGRAPH (I) OF PARA- 7 GRAPH (A) OF THIS SUBDIVISION SHALL PROVIDE FOR THE CONSIDERATION OF THE 8 FOLLOWING FACTORS IN CONSIDERING ELIGIBILITY FOR FINANCIAL ASSISTANCE 9 UNDER THIS ARTICLE: 10 (A) THE MEANS BY WHICH DEVELOPMENT OF THE INFRASTRUCTURE PROJECT UNDER 11 CONSIDERATION IS BEING FINANCED, INCLUDING: 12 (1) THE TERMS AND CONDITIONS AND FINANCIAL STRUCTURE OF THE PROPOSED 13 FINANCING; AND 14 (2) THE FINANCIAL ASSUMPTIONS AND PROJECTIONS ON WHICH THE PROJECT IS 15 BASED. 16 (B) THE LIKELIHOOD THAT THE PROVISION OF ASSISTANCE BY THE BANK WILL 17 CAUSE SUCH DEVELOPMENT TO PROCEED MORE PROMPTLY AND WITH LOWER COSTS FOR 18 FINANCING THAN WOULD BE THE CASE WITHOUT SUCH ASSISTANCE. 19 (C) THE EXTENT TO WHICH THE PROVISION OF ASSISTANCE BY THE BANK MAXI- 20 MIZES THE LEVEL OF PRIVATE INVESTMENT IN THE INFRASTRUCTURE PROJECT 21 WHILE PROVIDING A PUBLIC BENEFIT. 22 3. (A) FOR ANY TRANSPORTATION INFRASTRUCTURE PROJECT, THE BOARD SHALL 23 CONSIDER THE FOLLOWING: 24 (I) JOB CREATION, INCLUDING WORKFORCE DEVELOPMENT FOR WOMEN AND MINOR- 25 ITIES, RESPONSIBLE EMPLOYMENT PRACTICES, AND QUALITY JOB TRAINING OPPOR- 26 TUNITIES. 27 (II) REDUCTION IN CARBON EMISSIONS. 28 (III) REDUCTION IN SURFACE AND AIR TRAFFIC CONGESTION. 29 (IV) SMART GROWTH IN URBAN AREAS. 30 (V) POVERTY AND INEQUALITY REDUCTION THROUGH TARGETED TRAINING AND 31 EMPLOYMENT OPPORTUNITIES FOR LOW-INCOME WORKERS. 32 (VI) USE OF SMART TOLLING, SUCH AS VEHICLE MILES TRAVELED AND 33 CONGESTION PRICING, FOR HIGHWAY, ROAD, AND BRIDGE PROJECTS. 34 (VII) PUBLIC HEALTH BENEFITS. 35 (B) FOR ANY ENVIRONMENTAL INFRASTRUCTURE PROJECT, THE BOARD SHALL 36 CONSIDER THE FOLLOWING: 37 (I) PUBLIC HEALTH BENEFITS. 38 (II) POLLUTION REDUCTIONS. 39 (III) JOB CREATION, INCLUDING WORKFORCE DEVELOPMENT FOR WOMEN AND 40 MINORITIES, RESPONSIBLE EMPLOYMENT PRACTICES AND QUALITY JOB TRAINING 41 OPPORTUNITIES. 42 (IV) POVERTY AND INEQUALITY REDUCTION THROUGH TARGETED TRAINING AND 43 EMPLOYMENT OPPORTUNITIES FOR LOW INCOME WORKERS. 44 (V) ENVIRONMENTAL JUSTICE. 45 (C) FOR ANY ENERGY INFRASTRUCTURE PROJECT, THE BOARD SHALL CONSIDER 46 THE FOLLOWING: 47 (I) JOB CREATION, INCLUDING WORKFORCE DEVELOPMENT FOR WOMEN AND MINOR- 48 ITIES, RESPONSIBLE EMPLOYMENT PRACTICES AND QUALITY JOB TRAINING OPPOR- 49 TUNITIES. 50 (II) POVERTY AND INEQUALITY REDUCTION THROUGH TARGETED TRAINING AND 51 EMPLOYMENT OPPORTUNITIES FOR LOW INCOME WORKERS. 52 (III) REDUCTION IN CARBON EMISSIONS. 53 (IV) ENVIRONMENTAL JUSTICE. 54 (V) SMART GROWTH IN URBAN AREAS. 55 (VI) EXPANDED USE OF RENEWABLE ENERGY, INCLUDING, BUT NOT LIMITED TO 56 HYDROELECTRIC, SOLAR, WIND AND WASTE-TO-ENERGY. S. 8481 9 1 (VII) DEVELOPMENT OF A SMART GRID. 2 (VIII) ENERGY EFFICIENT BUILDING, HOUSING, SCHOOL MODERNIZATION AND 3 WEATHERIZATION. 4 (IX) IN ANY CASE IN WHICH THE PROJECT IS ALSO A PUBLIC HOUSING 5 PROJECT: 6 (A) IMPROVEMENT OF THE PHYSICAL SHAPE AND LAYOUT; 7 (B) ENVIRONMENTAL IMPROVEMENT; AND 8 (C) MOBILITY IMPROVEMENTS FOR RESIDENTS. 9 (X) PUBLIC HEALTH BENEFITS. 10 (D) FOR ANY TELECOMMUNICATIONS PROJECT, THE BOARD SHALL CONSIDER THE 11 FOLLOWING: 12 (I) THE EXTENT TO WHICH ASSISTANCE EXPANDS OR IMPROVES BROADBAND AND 13 WIRELESS SERVICES IN RURAL AND DISADVANTAGED COMMUNITIES. 14 (II) JOB CREATION, INCLUDING WORKFORCE DEVELOPMENT FOR WOMEN AND 15 MINORITIES, RESPONSIBLE EMPLOYMENT PRACTICES AND QUALITY JOB TRAINING 16 OPPORTUNITIES. 17 (III) POVERTY AND INEQUALITY REDUCTION THROUGH TARGETED TRAINING AND 18 EMPLOYMENT OPPORTUNITIES FOR LOW INCOME WORKERS. 19 4. (A) CONSIDERATION OF PROJECTS BY THE EXECUTIVE COMMITTEE AND BOARD 20 SHALL BE CONDUCTED WITH PERSONNEL ASSISTING THE BANK FROM RELEVANT STATE 21 AND LOCAL AGENCIES FROM AMONG INDIVIDUALS WHO ARE FAMILIAR WITH AND 22 EXPERIENCED IN THE SELECTION CRITERIA FOR COMPETITIVE PROJECTS. 23 (B) A FEE MAY BE CHARGED FOR THE REVIEW OF ANY PROJECT PROPOSAL IN 24 SUCH AMOUNT AS MAY BE CONSIDERED APPROPRIATE BY THE EXECUTIVE COMMITTEE 25 TO COVER THE COST OF SUCH REVIEW. 26 5. CONSISTENT WITH OTHER PROVISIONS OF THIS ARTICLE, ANY DETERMINATION 27 OF THE BOARD TO PROVIDE ASSISTANCE TO ANY PROJECT, AND THE MANNER IN 28 WHICH SUCH ASSISTANCE IS PROVIDED, INCLUDING THE TERMS, CONDITIONS, FEES 29 AND CHARGES SHALL BE AT THE SOLE DISCRETION OF THE BOARD. 30 6. THE PROVISION OF ASSISTANCE BY THE BOARD IN ACCORDANCE WITH THIS 31 ARTICLE SHALL NOT BE DEEMED TO RELIEVE ANY RECIPIENT OF ASSISTANCE OR 32 THE RELATED PROJECT OF ANY OBLIGATION TO OBTAIN REQUIRED, STATE, LOCAL 33 AND FEDERAL PERMIT AND APPROVALS. 34 7. AN ENTITY RECEIVING ASSISTANCE FROM THE BOARD SHALL MAKE ANNUAL 35 REPORTS TO THE BOARD ON THE USE OF ANY SUCH ASSISTANCE, CRITERIA SET 36 FORTH IN THIS SECTION AND A DISCLOSURE OF ALL ENTITIES WITH A DEVELOP- 37 MENT, OWNERSHIP OR OPERATIONAL INTEREST IN A PROJECT ASSISTED OR 38 PROPOSED TO BE ASSISTED UNDER THIS ARTICLE. 39 S 9107. EXEMPTION FROM LOCAL TAXATION. ALL NOTES, DEBENTURES, BONDS OR 40 OTHER SUCH OBLIGATIONS ISSUED BY THE BANK, AND THE INTEREST ON OR CRED- 41 ITS WITH RESPECT TO SUCH BONDS OR OTHER OBLIGATIONS, SHALL NOT BE 42 SUBJECT TO TAXATION BY ANY STATE, COUNTY, MUNICIPALITY OR LOCAL TAXING 43 AUTHORITY. 44 S 9108. STATUS AND APPLICABILITY OF CERTAIN FEDERAL LAWS; FULL FAITH 45 AND CREDIT. 1. THE BANK SHALL COMPLY WITH ALL FEDERAL LAWS REGULATING 46 BUDGETARY AND AUDITING PRACTICES OF A GOVERNMENT CORPORATION, EXCEPT AS 47 OTHERWISE PROVIDED FOR IN THIS ARTICLE. 48 2. ANY BOND OR OTHER OBLIGATION ISSUED BY THE BANK UNDER THIS ARTICLE 49 SHALL BE AN OBLIGATION SUPPORTED BY THE FULL FAITH AND CREDIT OF THE 50 UNITED STATES. 51 3. ALL DEBT SECURITIES AND OTHER OBLIGATIONS ISSUED BY THE BANK PURSU- 52 ANT TO THIS ARTICLE SHALL BE DEEMED TO BE EXEMPT SECURITIES WITHIN THE 53 MEANING OF LAWS ADMINISTERED BY THE SECURITIES AND EXCHANGE COMMISSION 54 TO THE SAME EXTENT AS SECURITIES WHICH ARE DIRECT OBLIGATIONS OF, OR 55 OBLIGATIONS FULLY GUARANTEED AS TO PRINCIPAL OR INTEREST BY, THE UNITED 56 STATES. S. 8481 10 1 4. THE OBLIGATIONS OF THE BANK ISSUED PURSUANT TO THIS ARTICLE SHALL 2 BE DEEMED TO BE OBLIGATIONS OF THE STATE. 3 S 9109. AUDITS AND REPORTS. 1. THE BOOKS OF ACCOUNT OF THE BANK SHALL 4 BE MAINTAINED IN ACCORDANCE WITH GENERALLY ACCEPTED ACCOUNTING PRINCI- 5 PLES AND SHALL BE SUBJECT TO AN ANNUAL AUDIT BY INDEPENDENT PUBLIC 6 ACCOUNTANTS APPOINTED BY THE BOARD AND OF NATIONALLY RECOGNIZED STAND- 7 ING. 8 2. (A) THE BOARD SHALL SUBMIT TO THE GOVERNOR AND LEGISLATURE, WITHIN 9 NINETY DAYS AFTER THE LAST DAY OF EACH FISCAL YEAR, A COMPLETE AND 10 DETAILED REPORT WITH RESPECT TO THE PRECEDING FISCAL YEAR, SETTING 11 FORTH: 12 (I) A SUMMARY OF THE BANK'S OPERATIONS FOR SUCH PRECEDING FISCAL YEAR; 13 (II) A SCHEDULE OF THE BANK'S OBLIGATIONS AND CAPITAL SECURITIES 14 OUTSTANDING AT THE END OF SUCH PRECEDING FISCAL YEAR, WITH A STATEMENT 15 OF THE AMOUNTS ISSUED AND REDEEMED OR PAID DURING SUCH PRECEDING FISCAL 16 YEAR; AND 17 (III) THE STATUS OF PROJECTS RECEIVING FUNDING OR OTHER ASSISTANCE 18 PURSUANT TO THIS ARTICLE, INCLUDING, BUT NOT LIMITED TO DISCLOSURE OF 19 ALL ENTITIES WITH A DEVELOPMENT, OWNERSHIP OR OPERATIONAL INTEREST IN 20 SUCH PROJECTS. 21 (B) NOT LATER THAN FIVE YEARS AFTER THE EFFECTIVE DATE OF THIS ARTI- 22 CLE, THE NEW YORK STATE COMPTROLLER SHALL SUBMIT TO THE GOVERNOR AND 23 LEGISLATURE A REPORT EVALUATING ACTIVITIES OF THE BANK FOR THE FISCAL 24 YEARS COVERED BY THE REPORT THAT INCLUDES AN ASSESSMENT OF THE IMPACT 25 AND BENEFITS OF EACH FUNDED PROJECT, INCLUDING A REVIEW OF HOW EFFEC- 26 TIVELY EACH PROJECT ACCOMPLISHED THE GOALS PRIORITIZED BY THE BANK'S 27 PROJECT CRITERIA. 28 3. (A) THE BANK SHALL MAINTAIN ADEQUATE BOOKS AND RECORDS TO SUPPORT 29 THE FINANCIAL TRANSACTIONS OF THE BANK WITH A DESCRIPTION OF FINANCIAL 30 TRANSACTIONS AND INFRASTRUCTURE PROJECTS RECEIVING FUNDING, AND THE 31 AMOUNT OF FUNDING FOR EACH PROJECT MAINTAINED ON A PUBLICLY ACCESSIBLE 32 DATABASE. 33 (B) THE BOOKS AND RECORDS OF THE BANK SHALL BE MAINTAINED IN ACCORD- 34 ANCE WITH RECOMMENDED ACCOUNTING PRACTICES AND SHALL BE OPEN TO 35 INSPECTION BY THE SUPERINTENDENT AND THE NEW YORK STATE COMPTROLLER. 36 S 3. The sum of two hundred fifty million dollars ($250,000,000) is 37 hereby appropriated to the banking department out of any moneys in the 38 state treasury in the general fund to the credit of the state purposes 39 account, not otherwise appropriated, and made immediately available, for 40 the purpose of carrying out the provisions of this act. Such moneys 41 shall be payable on the audit and warrant of the comptroller on vouchers 42 certified or approved by the superintendent of banking department in the 43 manner prescribed by law. 44 S 4. This act shall take effect on the sixtieth day after it shall 45 have become a law and shall expire and be deemed repealed December 31, 46 2025.