NY State Fin L § 213 (2021)
2021 New York Laws STF - State Finance Article 15 - Excelsior Linked Deposit Act 213 - Definitions.

§  213.  Definitions.  When  used  in this article, unless a different meaning clearly appears from the context, the following terms shall have the following meanings:   1. "Authorized depositor" means the comptroller with respect to linked deposits made by the comptroller and the commissioner  of  taxation  and finance  with  respect  to  linked  deposits made by the commissioner of taxation and finance.   2. "Census" means the decennial census performed by the bureau of  the census of the United States department of commerce.   3. "Census bureau" means the bureau of the census of the United States department of commerce.   4.  "Certified  business"  means  a business located in an empire zone created pursuant to article eighteen-B of the general municipal law  and certified pursuant to such article as eligible for the benefits referred to in section nine hundred sixty-six of such article.   5.  "Certified minority-or women-owned business" means any minority-or women-owned business enterprise as defined in section three hundred  ten of  the  executive  law  and certified pursuant to section three hundred fourteen of the executive law.   6. "Comptroller" means the comptroller of the state of New York.   7. "Defense industry  manufacturer"  means  a  manufacturing  firm  as defined  in subdivision eighteen of this section, twenty-five percent or more of the gross revenues of which derive, either directly as  a  prime contractor  or indirectly as a subcontractor of a prime contractor, from department of defense or other military contracts.   8. "Department" means the department of economic development.   9. "Department of defense"  means  the  United  States  department  of defense.   10.  "Empire  zone"  means  an empire zone created pursuant to article eighteen-B of the general municipal law.   11. "Eligible business" means:  (a) a manufacturing firm or agricultural business which  employs  five hundred or fewer employees within the state on a full-time basis; or  (b)  any  certified  business in an empire zone which business employs one hundred or fewer employees within the state on a full-time basis; or  (b-1) during the whole or any portion of a period  in  which  an  area continues to be designated as a renewal community, any renewal community business  located  in  such  area  that  employs  one  hundred  or fewer employees within the state on a full-time basis; or  (b-2) during the whole or any portion of a period  in  which  an  area continues  to be designated as an empowerment zone, any business located in such area that employs one hundred  or  fewer  employees  within  the state on a full-time basis; or  (b-3)  during  the  whole  or any portion of a period in which an area continues to be designated as  an  enterprise  community,  any  business located  in such area that employs one hundred or fewer employees within the state on a full-time basis; or  (c) any firm seeking financing  through  the  program  for  an  export project,  which  firm  employs one hundred or fewer employees within the state on a full-time basis; or  (d) any business located in a highly distressed area, which business:  (i) is not a retail business, unless financing  provided  through  the program  would  promote the preservation of existing jobs or an increase in the overall number of retail jobs in the area; and  (ii) employs one hundred or fewer employees  within  the  state  on  a full-time basis; or  (e)  any  certified minority-or women-owned business seeking financing necessary to  carry  out  a  procurement  contract  with  an  agency  or authority or other entity of the state or federal government; or  (f)  any service business that is independently owned and operated, is not dominant in its field, employs one hundred or  fewer  persons  on  a full-time  basis  within the state, and is seeking financing through the program for a project that will result in the retention or  creation  of permanent  private  sector  jobs within the state, other than a business that sells a service rendered at a facility personally by an  individual for  another  individual,  directly, without the intervention of a third party, or  a  professional  service  business  such  as  health,  legal, accounting, engineering, or architectural services.  (g)  a  qualifying  technology  or  innovation business which business employs one hundred or fewer employees within the state on  a  full-time basis and engages in:  (1)  biotechnologies, which shall be defined as technologies involving the scientific manipulation  of  living  organisms,  especially  at  the molecular  and/or  the  sub-molecular genetic level, to produce products conducive to improving the lives and  health  of  plants,  animals,  and humans;   and   the  associated  scientific  research,  pharmacological, mechanical, and computational applications and services  connected  with these improvements;  (2)  information and communication technologies, equipment and systems that involve advanced  computer  software  and  hardware,  visualization technologies, and human interface technologies;  (3)  advanced  materials  and processing technologies that involve the development, modification, or improvement of one or  more  materials  or methods  to  produce  devices  and  structures with improved performance characteristics or special functional attributes, or to activate,  speed up, or otherwise alter chemical, biochemical, or medical processes;  (4)  electronic  and  photonic  devices  and  components  for  use  in producing electronic, optoelectronic, mechanical equipment and  products of electronic distribution with interactive media content;  (5)    energy   efficiency,   renewable   energy   and   environmental technologies, products, devices and services; or  (6) small scale systems integration and packaging.   12. "Eligible projects" means:  (a) export projects designed to increase a firm's  export  activities; or  (b)  for manufacturing, agricultural and service firms, projects which involve the preparation of strategic plans  for  improving  productivity and  competitiveness;  the  introduction  of  modern equipment and/or an expansion  of  facilities  as  part  of  a   modernization   plan;   the introduction  of  advanced  technologies  to  improve  productivity  and quality; improvements in production processes and operations,  including agricultural   operations;  introduction  of  computerized  information, reporting and control systems; reorganization  or  improvement  of  work place  systems  and  the  introduction  of  total  quality  and employee participation programs; development and introduction  of  new  products; identification  and  development  of  new  markets, including entry into foreign  markets;  financial  restructuring  for  purposes  of  enabling modernization  activities;  buyouts  of viable companies by employees or local owners residing in the state; and the provision of working capital for other modernization activities that will improve the competitiveness and productivity of a firm and result in the creation  or  retention  of jobs; or  (c)  for  certified  businesses  located  in  empire zones, for retail businesses located in highly distressed areas, for  eligible  businesses  that  are  defined  in  paragraph  (b-1)  of  subdivision eleven of this section that are located in a renewal community, for eligible businesses that are defined in  paragraph  (b-2)  of  subdivision  eleven  of  this section  that  are  located  in  an  empowerment  zone, and for eligible businesses that are defined in paragraph (b-3) of subdivision eleven  of this  section that are located in an enterprise community, projects that will create or retain full-time, permanent jobs within the  empire  zone or empowerment zone or enterprise community or highly distressed area or renewal community, as the case may be; or  (d)  for  defense  industry manufacturers, projects designed to reduce dependence on department of defense and other military contracts and  to change  or diversify production in order to take advantage of any market other than that serving the department  of  defense  or  other  military procurers; or  (e)  for  certified  minority-and  women-owned businesses, projects to provide financing necessary to carry out a procurement contract with  an agency or authority or other entity of the state or federal government.   12-a.  "Empowerment zone" means an area within the state that has been designated by such term pursuant to section 1391 of the federal Internal Revenue Code (26 United States Code § 1391) under the federal  Community Renewal Tax Relief Act of 2000.   12-b.  "Enterprise  community" means an area within the state that has been designated by such term pursuant to section  1391  of  the  federal Internal  Revenue  Code (26 United States Code § 1391) under the federal Community Renewal Tax Relief Act of 2000.   13. "Highly distressed area" means: (a) a census tract  or  tracts  or block  numbering  area  or areas or such census tract or block numbering area contiguous thereto which, according to the most recent census  data available, has:  (i)  a  poverty  rate of at least twenty percent for the year to which the data relates or at least twenty percent of the households  receiving public assistance; and  (ii)  an  unemployment  rate  of  at  least  one  and  twenty-five one hundredths times the statewide unemployment rate for the year  to  which the data relates; or  (b) a city, town, village or county within a city with a population of one  million or more for which: (i) the ratio of the full value property wealth, as determined by  the  comptroller  for  the  most  recent  year determined,  per  resident  to the statewide average full value property wealth per resident; and (ii) the ratio of the income per  resident,  as shown  in  the  most  recent  census to the statewide average income per resident; are each fifty-five percent or less of the statewide  average; provided,  however, that an empire zone shall not be considered a highly distressed area for purposes of this article.   14. "Lender" means:  (a)  any  commercial  bank  which  is  or  shall  become  an  approved depository  of  state  funds under the provisions of section one hundred five of this chapter and which agrees to participate in the program; or  (b)  any  thrift  or  credit  union  which  an  authorized   depositor determines  is  eligible  to  accept linked deposits based upon criteria applied by the  authorized  depositor  in  making  determinations  under section   one  hundred  five  of  this  chapter,  and  which  agrees  to participate in the program, provided that any  linked  deposit  in  such thrift  or  credit  union  shall be secured in the same manner as moneys deposited pursuant to section one hundred five of this chapter and  such thrifts  or  credit unions shall pledge assets or furnish other security satisfactory in form and amount to  the  authorized  depositor  for  the repayment  of moneys. Until April first, nineteen hundred ninety-six, in  the determination of thrifts eligible to  accept  linked  deposits,  the authorized  depositor  shall  give  priority  to  applications  by those thrifts seeking to make linked loans in economic development regions  in which  fewer  than  ten  linked  loans have been made on or before April first, nineteen  hundred  ninety-five.    Provided,  however,  that  the granting  of  such  priority  shall  in  no  way  relieve  an authorized depositor of his or  her  duty  and  obligation  to  review  all  thrift applications  from  all  economic  development regions in the state on a timely basis.  (c) any farm credit system institution which agrees to participate  in the program.  (d) the New York business development corporation.   15.  "Linked  deposit"  means  a  deposit,  or  for farm credit system institutions and  the  New  York  business  development  corporation  an investment eligible to be held by such institution or corporation placed with  a  lender  by  the comptroller or the commissioner of taxation and finance for a period of four years at the linked deposit interest  rate, provided the lender agrees to:  (a)  lend the equivalent value of such deposit to an eligible business at the interest rate provided in section two hundred  eighteen  of  this article; and  (b)  permit  the  deposit  to  be  comprised of a series of ninety day deposits each bearing an interest  rate  equal  to  the  linked  deposit interest rate fixed at the time the original deposit is placed.   This  article  and  the related statutes that refer to this article do not grant thrifts, credit unions, farm credit system institutions or the New York business development corporation eligibility to  accept  public funds or public moneys from public entities for investment purposes. For farm credit system institutions, the linked deposit program is available for loans with an agricultural purpose as defined by the farm credit act of  nineteen hundred seventy-one, as amended and regulations promulgated thereunder. A linked deposit is intended to enable a lender  to  make  a linked loan to an eligible business and such deposit earns a yield lower than posted rates in order to accomplish the goals of this article.   16. "Linked deposit interest rate" means:  (a)  for  a  linked deposit made in connection with a linked loan to a certified business in an empire zone or to an eligible business  located in  a  highly distressed area or to an eligible business that is defined in paragraph (b-1) of subdivision eleven of this section that is located in a renewal community or defined in paragraph (b-2) of such subdivision that is located in an empowerment zone or defined in paragraph (b-3)  of such  subdivision  that  is  located  in  an  enterprise community, or a qualifying technology or innovation business as defined in paragraph (g) of  subdivision  eleven  of  this  section,  respectively  for  eligible projects  defined in paragraph (c) of subdivision twelve of this section or a certified minority-  or  women-owned  business  enterprise  for  an eligible  project defined in paragraph (e) of subdivision twelve of this section or to a defense industry manufacturer for a project  defined  in paragraph  (d)  of  subdivision  twelve of this section, a fixed rate of interest which is three hundred basis points below the  lender's  posted four year certificate of deposit rate or, if the lender does not offer a four  year  certificate  of deposit, is three hundred basis points below the average statewide rate for four  year  certificates  of  deposit  as determined by the commissioner of economic development;  (b) for a linked deposit made in connection with any linked loan other than  those specified in paragraph (a) of this subdivision, a fixed rate of interest which is two hundred basis points below the lender's  posted four year certificate of deposit rate, or if the lender does not offer a  four  year certificate of deposit, is two hundred basis points below the average  statewide  rate  for  four  year  certificates  of  deposit  as determined by the commissioner of economic development.   17. "Linked loan" means a loan for purposes of an eligible project, in an  amount  equal to a linked deposit and bearing interest for the first four years at the interest rate provided in section two hundred eighteen of this article.   18. "Manufacturing  firm"  means  a  firm  involved  with  extracting, smelting,  recovering,  developing,  preparing, compounding, converting, assembling or producing in any manner, minerals, raw materials, products or substances of any  kind  or  nature,  and  shall  include  facilities related  thereto  for storage, warehousing or distribution, for research and development or for the discovery  of  new,  and  the  refinement  of known, substances, processes, and products.   19. "Program" means the excelsior linked deposit program.   20.  "Thrift"  means any savings bank or savings and loan association, federal savings bank or federal savings and loan association.   21.  "Economic  development  region"  shall  refer  to  those  regions established  by  the  department  of  economic  development  pursuant to section two hundred thirty of the economic development law.   22. "Renewal community" means an area within the state that  has  been designated  by such term in accordance with section 1400E of the federal Internal Revenue Code (26 United States Code § 1400E) under the  federal Community Renewal Tax Relief Act of 2000.   23.  "Renewal  community business" means a business that is designated by such term pursuant to section 1400G of the federal  Internal  Revenue Code (26 United States Code § 1400G) under the federal Community Renewal Tax Relief Act of 2000.   24.  "Credit  union"  means  any  credit union chartered under article eleven of the banking law or any federal credit union.