2023 New York Laws › SOS - Social Services › Article 5 - Assistance and Care › Title 1 - General Provisions › 131-I*2 - Family Loan Program.

* §  131-i. Family loan program. 1. From amounts appropriated for such
  purpose, the department of labor in consultation with the department  is
  hereby  authorized  and  directed  to  solicit  proposals  to  establish
  programs to be known  as  family  loan  programs.  Such  programs  shall
  provide  small, no-interest loans to custodial parents with income below
  two hundred percent of the federal poverty level and who are working  or
  enrolled  in  a post-secondary education program, to aid in covering the
  costs of unexpected expenses that could interfere with their ability  to
  maintain  employment  or  continue  education.  Loans  awarded through a
  family loan program may be paid directly to a third party on behalf of a
  loan recipient and  in  either  case  shall  not  constitute  income  or
  resources  for the purposes of public assistance and care so long as the
  funds are used for the intended purpose.
2. The commissioner of labor shall enter into written agreements  with
  not-for-profit  organizations or local government agencies to administer
  loan pools. Agreements shall be entered into  with  no  more  than  four
  organizations  and/or  agencies,  no  more  than  one  of which shall be
  located in the city of New York.
3. Program sites shall be approved based on the  demonstrated  ability
  of  the  organization  or  governmental  agency  to  secure funding from
  private and/or public sources sufficient to establish a loan pool to  be
  maintained   through  repayment  agreements  entered  into  by  eligible
  low-income families.  Funds  awarded  by  the  department  of  labor  to
  approved  program  sites  shall  be  used  for  the  express purposes of
  covering staffing and administration costs associated with administering
  the loan pool.
4. From amounts appropriated for such purpose, the department of labor
  in consultation with the office of temporary and  disability  assistance
  is  hereby  authorized and directed to solicit proposals to establish up
  to four new family loan programs. Such programs shall operate  according
  to  provisions  set  forth  in  subdivision  one  through  three of this
  section; provided, however,  that  such  programs  may  provide  no-  or
  low-interest  loans, and further provided that applications submitted by
  a  consortium  of  not-for-profit  organizations  or  local   government
  agencies  shall be viewed as one program and may receive greater funding
  by the department of labor than an application  submitted  by  a  single
  organization  or  agency.  Low-interest  loans  shall  not exceed a rate
  greater  than  two-thirds  of  the   prime   rate.   No   not-for-profit
  organization   or   local   government   agency   awarded  funding  from
  appropriations  made  in  the  nineteen  hundred  ninety-seven--nineteen
  hundred  ninety-eight  fiscal  year  shall  be  eligible  for funds made
  available   from   appropriations   made   in   the   nineteen   hundred
  ninety-nine--two thousand fiscal year.
* NB There are 2 § 131-i's