BILL NUMBER: S8434
SPONSOR: RYAN S
 
TITLE OF BILL:
An act to amend the economic development law, in relation to extending
the reporting deadline of the advisory panel on employee-owned enter-
prises; and to amend chapter 435 of the laws of 2017 amending the
economic development law relating to establishing an advisory panel on
employee-owned enterprises within the division of small business
services, in relation to the effectiveness thereof
 
PURPOSE:
The purpose of this legislation is to extend the reporting deadline for
the advisory panel on employee-owned enterprises to June 30, 2026. The
advisory panel is tasked with reporting and making recommendations on
how best to support such businesses and promote the formation and growth
of new employee-owned enterprises in New York State.
 
SUMMARY OF PROVISIONS:
Section 1: amends subdivision 5 of section 139 of the economic develop-
ment law to extend the due date of the report to June 30, 2026.
Section 2: amends section 2 of chapter 435 of the laws of 2017 to change
the repeal date to October 1, 2026.
Section 3: effective date.
 
JUSTIFICATION:
Employee-owned enterprises provide stability and staying power for local
jobs, and are far less likely to move out of state, or even out of the
local region, because of the roots the employees of these enterprises
have in the areas they work and live. Studies have found that wages,
sales, productivity, and retirement plans for employee-owned enterprises
are higher than those of comparable, privately owned corporations. As an
increasing number of small business owners reach retirement, many
employees fear they may lose their job or have to relocate when a small
business owner retires and sells their company.
 
LEGISLATIVE HISTORY:
2024: A9969/S9777
 
FISCAL IMPLICATIONS:
None.
 
EFFECTIVE DATE:
This act shall take effect immediately; provided that the amendments to
subdivision 5 of section 139 of the economic development law made by
section one of this act shall not affect the repeal of such section and
shall be deemed repealed therewith.

Statutes affected:
S8434: 139 economic development law, 139(5) economic development law