NEW YORK STATE ASSEMBLY MEMORANDUM IN SUPPORT OF LEGISLATION submitted in accordance with Assembly Rule III, Sec 1(f)
BILL NUMBER: A4075
SPONSOR: Cunningham TITLE OF BILL:
An act to amend the public authorities law and the economic development
law, in relation to expanding employee ownership assistance for lesbian,
gay, bisexual, transgender and non-binary individuals
PURPOSE OR GENERAL IDEA OF BILL:•
Purpose of the legislation is to expand MWBE to include lesbian, gay,
bisexual, transgender, and non-binary individuals
SUMMARY OF PROVISIONS:;
Section 1 amends section 1836-a of the public authorities law
Section 2 adds paragraph (b) of subdivision 1 of section 1836-c of the
public 15 authorities law
Section 3 amends section 1836-d of the public authorities law to include
lesbian, gay, bisexual, transgender, and non-binary members
Section 4 amends subdivision 7 of section 104-a of the economic develop-
ment law to include lesbian, gay, bisexual, transgender, and non-binary
members
Section 5 amends subdivisions 3 and 4 of section 210 of the economic
development law to include lesbian, gay, bisexual, transgender, and
non-binary members
Section 6 sets the effective date immediately
JUSTIFICATION:
MWBE certification was originally intended to create equity in economic
opportunities for women and minority owned businesses to close the gap
between gender and racial discrimination that may be present. As partic-
ipation in this program has increased, it has become clear that women
owned businesses are not the only businesses that face gender based
discrimination. By including the LGBTQ+ community it will bridge that
oversight and bring more economic equity to marginalized communities in
New York state.
PRIOR LEGISLATIVE HISTORY:
2023-24: A4083 - Referred to economic development
FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS:
To be determined
EFFECTIVE DATE:
Immediately.
STATE OF NEW YORK
________________________________________________________________________
4075
2025-2026 Regular Sessions
IN ASSEMBLY
January 31, 2025
___________
Introduced by M. of A. CUNNINGHAM -- read once and referred to the
Committee on Economic Development
AN ACT to amend the public authorities law and the economic development
law, in relation to expanding employee ownership assistance for lesbi-
an, gay, bisexual, transgender and non-binary individuals
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Section 1836-a of the public authorities law, as added by
2 chapter 788 of the laws of 1983, is amended to read as follows:
3 § 1836-a. Legislative findings. The legislature hereby finds and
4 declares that the health, safety and general welfare of the people of
5 this state are directly dependent upon the state economy, and that one
6 of the principal problems of our present economy is the permanent clos-
7 ing of industrial and manufacturing plants, and their relocation out of
8 state, which results in the loss of jobs and increasing unemployment.
9 It is the purpose of this subtitle to encourage [the] employees of
10 plants that are about to be permanently closed, or relocated, to acquire
11 such plants and businesses and to continue to operate them as employee-
12 owned enterprises, thereby retaining the jobs that would otherwise be
13 lost, and strengthening the economic base of this state.
14 § 2. Paragraph (b) of subdivision 1 of section 1836-c of the public
15 authorities law, as added by chapter 788 of the laws of 1983, is amended
16 to read as follows:
17 (b) the history and circumstances of the plant or business to be
18 acquired;
19 § 3. Section 1836-d of the public authorities law, as added by chapter
20 788 of the laws of 1983, is amended to read as follows:
21 § 1836-d. Loan preferences. In approving applications for loans under
22 this subtitle, the authority shall give preference to projects which:
23 1. have a membership consisting of a majority of minority, lesbian,
24 gay, bisexual, transgender, or non-binary members;
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD02330-01-5
A. 4075 2
1 2. have a higher level of funding from the funding partners;
2 [2.] 3. have the most direct impact on local economic development and
3 the creation or retention of employment opportunities;
4 [3.] 4. are most likely to stimulate other private sector investments;
5 and
6 [4.] 5. are least speculative, and provide greatest assurance of
7 repayment of the loan.
8 § 4. Subdivision 7 of section 104-a of the economic development law,
9 as added by chapter 788 of the laws of 1983, is amended to read as
10 follows:
11 7. Identify [industrial and manufacturing] businesses that are in
12 danger of being permanently closed or relocated out of state, which
13 results in the loss of jobs and increasing unemployment, and assist the
14 businesses and employees of such businesses by distributing information
15 about the provisions of this section.
16 § 5. Subdivisions 3 and 4 of section 210 of the economic development
17 law, as amended by chapter 669 of the laws of 2022, are amended to read
18 as follows:
19 3. "Minority business enterprise" shall mean any business enterprise
20 which is at least fifty-one per centum owned by, or in the case of a
21 publicly owned business at least fifty-one per centum of the stock of
22 which is owned by, citizens or permanent resident noncitizens who are
23 lesbian, gay, bisexual, transgender or non-binary, Black, Hispanic,
24 Asian or American Indian, Pacific Islander or Alaskan Native where such
25 ownership interest is real, substantial and continuing and where such
26 persons have the authority to independently control the day-to-day busi-
27 ness decisions of the entity.
28 4. "Minority group member" shall mean a United States citizen or
29 permanent resident noncitizen who is and can demonstrate membership in
30 one of the following groups:
31 (a) Black persons having origins in any of the Black African racial
32 groups not of Hispanic origin;
33 (b) Hispanic persons of Mexican, Puerto Rican, Dominican, Cuban,
34 Central or South American descent of either Indian or Hispanic origin,
35 regardless of race;
36 (c) Asian and Pacific Islander persons having origins in the Far East,
37 Southeast Asia, the Indian sub-continent or the Pacific Islands; or
38 (d) American Indian or Alaskan Native persons having origins in any of
39 the original peoples of North America; or
40 (e) Lesbian, gay, bisexual, transgender or non-binary.
41 § 6. This act shall take effect immediately.
