BILL NUMBER: S10575
SPONSOR: BASKIN
 
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:
This legislation would extend the reporting deadline for the advisory
panel on employee-owned enterprises to June 30, 2027. 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 SPECIFIC PROVISIONS:
This bill would extend for one year the advisory panel within the
Department of Economic Development for the purpose of reviewing state
laws and programs in order to report and make recommendations on how to
support and promote employee-owned enterprises in New York State. The
panel would also be required to issue a report no later than June 30,
2026, with its findings.
 
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 must relocate when a small
business owner retires and sells their company.
 
LEGISLATIVE HISTORY:
2025: S.8434/A.8411 - passed and signed into law
2024: S.9777/A.9969 - passed and signed into law
 
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shall be deemed repealed therewith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:
S10575: 139 economic development law, 139(5) economic development law