What's happening
This bill increases transparency and accountability for state economic development entities by applying public disclosure and ethics laws to their members.
Why it matters
Extends open meetings and freedom of information laws. to cover economic development entities, requiring them to conduct business in public and respond to information requests like other government bodies—this could allow the public to scrutinize how state subsidies, grants, and tax credits are allocated.
Mandates public access to submitted proposals. (such as those for funding or tax credits), with only limited redactions allowed—this aims to prevent favoritism or secretive decision-making in the economic development process.
Requires members of these entities to file annual financial disclosures and follow state ethics rules. this is significant because it increases personal accountability for conflicts of interest or potential corruption among individuals who influence major economic decisions.
Brings previously exempt or loosely regulated bodies under tighter oversight. , closing loopholes that have allowed influential economic development organizations to operate with less transparency or ethical scrutiny than other state agencies.
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Who cares
Headline styles
Require Economic Entity Transparency
Plain English, a few words. Used as the page title.
Sponsors
Senator · Senate District 39
No co-sponsors yet.
History
- Referred to corporations, authorities and commissions
- Committed to rules
- Advanced to third reading
- 2nd report cal.
- 1st report cal.559
- Referred to corporations, authorities and commissions
Companion bill
The same bill in the other chamber. A bill becomes law when one version passes both houses and the governor signs it, so either number can carry it.
Require Economic Entity Transparency
In Assembly Committee · Economic Development · Sponsor Thomas Abinanti
Full text
2 pagesUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
4290
2019-2020 Regular Sessions
IN SENATE
March 6, 2019
Introduced by Sen. SKOUFIS -- read twice and ordered printed, and when printed to be committed to the Committee on Corporations, Authorities and Commissions
AN ACT to amend the New York state urban development corporation act, in relation to obligations of members of economic development entities
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Section 1 of chapter 174 of the laws of 1968, constituting the New York state urban development corporation act, is amended by adding a new section 32-a to read as follows:
§ 32-a. Special provisions relating to economic development entities. (1) For the purposes of this section, an "economic development entity" shall mean any entity created by the executive branch, including the executive chamber of the governor and lieutenant governor, and any state agency whose function includes providing advice, recommendations or determinations to or on behalf of the executive branch or any state agency, as defined in paragraph (b) of subdivision one of section seventy-three-a of the public officers law, on the allocation or disbursement of state or federal monies or tax credits and/or benefits.
(2) (a) The provisions of article seven of the public officers law applicable to public bodies shall apply to an economic development entity.
(b) The provisions of article six of the public officers law applicable to agencies shall apply to an economic development entity. In addition to the requirements of subdivision three of section eighty-seven of the public officers law, an economic development entity shall maintain and make available for public inspection and copying any and all proposals submitted to it through a centralized application process, including the consolidated funding applications process, except that an economic development entity may redact or withhold portions of a
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD05256-01-9
S. 4290 2
proposal if such portion would be exempt from disclosure pursuant to article six of the public officers law.
(c) For the purpose of section seventy-three-a of the public officers law, any member of an economic development entity shall be deemed a state officer or employee and shall be deemed a policy maker and shall file an annual statement of financial disclosure set forth in subdivision three of section seventy-three-a of the public officers law.
(d) The provisions of section seventy-four of the public officers law applicable to an officer or employee of a state agency shall apply to any member of an economic development entity.
§ 2. This act shall take effect immediately; provided, however, that those incumbents who have not filed a disclosure form for the calendar year 2018 shall have thirty days from the effective date of this act to file such form with the joint commission on public ethics.
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Sponsor's memo
Title of bill
An act to amend the New York state urban development corporation act, in relation to obligations of members of economic development entities
Purpose
To increase transparency of the Regional Economic Development Councils that provide advice or recommendations on the allocation or disbursement of state or federal moneys and ensure that members of such councils do not have conflicts of interest related to such advice.
Summary of provisions
Section 1 of the bill amends section 1 of chapter 174 of the laws of 1968, constituting the New York state urban development corporation act, by adding a new section 32-a to establish special provisions relating to economic development entities including that:
1. For purpose of this section, an "economic development entity" shall mean any entity created by the executive branch, and any state agency whose function includes providing advice, recommendations or determi- nations to or on behalf of the executive branch or any state agency, on the allocation or disbursement of state or federal monies or tax credits and/or benefits.
2. The provisions of article seven of the public officers law applicable to public bodies and the provisions of article six of the public offi- cers law applicable to agencies shall apply to an economic development entity.
3. In addition to the requirements of subdivision 3 of section eighty- seven of the public officers law, an economic development entity shall maintain and make available for public inspection and copying any and all proposals submitted to it through a centralized process.
4. For purposes of public officers law section seventy-three-a, any member of an economic development entity shall be deemed a state officer or employee and shall be deemed a policy maker and shall file an annual statement of financial disclosure set forth in subdivision 3 of public officers law section seventy-three-a.
Section 2 is the effective date.
Justification
Public Officers Law section 73-a governs financial disclosure rules for various state officers and employees. Articles 6 and 7 of the public officers govern the freedom of information law rules and open meetings law rules, respectively.
Currently, Regional Economic Development Councils (REDCs) are not covered by these laws yet they have significant input into the distrib- ution of billions of dollars of state funds.
Since its inception in 2011, REDC have been empowered to help direct more than $5.4 billion of state moneys to community development projects throughout the State. The 2018-19 State budget provides for an eighth round of REDCs awards with up to $750 million to fund regional priority projects which, once again, the REDCs will have a significant role in directing. Despite having influence over bill ions of dollars of state moneys, members of the REDCs do not file any financial disclosure state- ments; most of their meetings are not open to the public; and they do not make most of their records available to the public for inspection and copying.
This bill would provide much needed increased transparency of the REDCs by ensuring its members file financial disclosures statements as required by other state officers and employees and are subject of the requirements of the open meetings law and freedom of information law.
Legislative history
2018: Al 0849 referred to economic development
Fiscal implications
None to the state.
Effective date
This act shall take effect immediately; provided, however, that those incumbents who have not filed a disclosure from for the calendar year 2018 shall have thirty days from the effective date of this act to file such forms with the joint commission on public ethics.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.