2023 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; or
(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; or
* (h) a community development financial institution.
* NB There are 2 par (h)'s
* (h)   any   certified   service-disabled   veteran-owned    business
enterprises  seeking  financing  necessary  to  carry  out a procurement
contract with an agency or authority or other entity  of  the  state  or
federal government.
* NB There are 2 par (h)'s
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;
or
* (f)  projects  in which community development financial institutions
make loans.
* NB There are 2 par (f)'s
* (f)   for   certified   service-disabled   veteran-owned    business
enterprises,  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.
* NB There are 2 par (f)'s
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.
25.   "Community   development   financial   institution"   means   an
organization as defined in 12 U.S.C. 4702(5)(a).
26. "Certified  service-disabled  veteran-owned  business  enterprise"
means any service-disabled veteran-owned business enterprise as provided
for in article three of the veterans' services law.