Provides that self employment activities, for the purposes of unemployment, shall include training and counseling on establishing a business

Summary of provisions

Section 1: Amends Economic Development Law section 213 (1) to require that each job development center and entrepreneurship support center, when annually reporting on its activities to the Department of Economic Development, must include information on the outcomes for program participants and track such outcomes on a statistical basis for a period of up to five years to ascertain, track and document the success rate for such participants. In addition, the Department of Economic Development shall, for entrepreneurship support centers, conduct a regional analysis of the effectiveness of SEAP sponsored businesses including any regional disparities in the participation rates of such centers and the need for mechanisms to alleviate such disparities.

Section 2: Amends Economic Development Law section 213 (2) to include within this section of law a regional analysis of the effectiveness of self-employment assistance programs as provided for in Labor Law section 591-a, including regional disparities in the participation rates for such centers.

Section 3: Amends Labor Law section 591-a (2)(c)(iii) to expand the scope of self-employment activities that can be conducted by the Department of Labor in its operation of the self-employment Assistance Program (SEAP). Such activities can include class room training up to 40 hours and 20 hours of one-on-one counseling for each participant, instruction on start-up business financial management, capital acquisition and the development of business plans to establish a successful business, provide participants information on the existence of local professional organizations and chambers of commerce to help develop a support network for such participants, and offer follow-up advice and counseling to help ensure the success of such business venture.

Existing law

This bill expands upon the SEAP program so as to increase its effectiveness, and extends the sunset date of this law until 2017.

Justification

This bill is needed to expand upon the services that can be provided by the SEAP program to assist those who are receiving unemployment benefits and transition such persons to new profitable self-employment opportunities. It is important for those unemployed persons with young families and working -single women and mothers, to be able to expand upon the kinds of business opportunities that such persons can pursue and to help them build a new career or business that help to successfully support such individuals or households. Such SEAP programs would be encouraged to provide more instruction on start-up business financial management, capital acquisition and the development of practical business plans to establish a successful business. Further, this bill attempts to establish support networks for such new businesses by connecting them to local professional associations and chambers of commerce and by providing follow-up advice and counseling to ensure the success of such business venture. Further, it helps to encourage cooperation between the Departments of Labor and Economic Development that jointly approve and conduct SEAP activities to further their departmental missions.

Legislative history

New Bill.

Fiscal implications

None.

Effective date

The first of January next succeeding the date on which it shall have become a law.