New York Laws
Sub Title 4 - Subtitle Iv Financial Assistance Generally
1825 - Local Development Corporations.

§ 1825. Local development corporations. To be eligible for loans from
the authority, a local development corporation shall meet the following
requirements in addition to any others imposed by the provisions of this
title:

1. The corporation shall (a) be incorporated or reincorporated under
section fourteen hundred eleven of the not-for-profit corporation law,
or (b) be incorporated under article four of the not-for-profit
corporation law, in addition to other purposes, to construct new
industrial or manufacturing plants or new research and development
buildings and acquire machinery and equipment deemed related thereto or
acquire, rehabilitate, and improve for use by others, industrial or
manufacturing plants in the area of the state in which an assisted
project is to be located, to assist financially in such construction,
acquisition, rehabilitation and improvement and to maintain such plants,
buildings and equipment for others, and may also be authorized to study
and promote, alone or in concert with local officials and interested
local groups, the economic growth and business prosperity of the area
and the solution of other civic problems of the region which includes
such areas.

2. The corporation shall have no member or employee thereof who owns
beneficially more than five per cent of the capital stock of the project
occupant, or of the business enterprise described in section eighteen
hundred twenty-seven and if any member or employee of the corporation
has any material financial interest in, is employed by, or is a
consultant to any such project occupant or business enterprise or any
other business enterprise including a bank or other lending institution
having a material financial relationship with such project occupant or
business enterprise, such member or employee shall fully disclose any
such interest or involvement to the corporation and to the authority in
such form and manner as the authority board shall prescribe and such
member or employee shall not participate in any evaluation of, or
decision concerning, an application pursuant to section eighteen hundred
twenty-four of this title regarding such project applicant or business
enterprise.

3. The corporation shall agree to be bound by the rules and
regulations of the authority relating to assisted projects and the
operations of local development corporations, including the use of the
loan evaluation criteria and methods established by the authority
pursuant to subdivision thirteen-b of section eighteen hundred four of
this title and the criteria established by the authority pursuant to
subdivision thirteen-c of section eighteen hundred four of this title,
and shall submit to examination of its books of account and corporate
records by the authority at such times as the authority may require
during the term of any loan made to it by the authority.

4. The corporation shall develop, promote and ensure that, where
possible, minority groups which traditionally have been disadvantaged,
and women, are afforded equal opportunity for loans from the authority
through the corporation and for contracts in connection with the
construction of the projects financed by loans from the authority
through the corporation; provided, however, that the corporation may
request that the authority implement the provisions of this subdivision.

Structure New York Laws