N.Y. State Finance Law § 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.