§ 591-A — Self-employment assistance program

New York § 591-A

• Jurisdiction: New York
• Law LAB: Labor
• Title 7: Benefits and Claims
• Art. 18: Unemployment Insurance Law

Text

* § 591-a. Self-employment assistance program. 1. The department is\nhereby authorized and empowered to establish and operate a\nself-employment assistance program as authorized pursuant to subsection\n(t) of section 3306 of the internal revenue code.\n 2. For the purposes of this section, the term "self-employment\nassistance program" means a program under which:\n (a) individuals who meet the requirements described in paragraph (c)\nof this subdivision are eligible to receive an allowance in lieu of\nregular unemployment benefits for the purpose of assisting such\nindividuals in establishing a business and becoming self-employed;\n (b) the allowance payable to individuals pursuant to paragraph (a) of\nthis subdivision is payable in the same amount, at the same interval, on\nthe same terms, and subject to the same conditions, as regular\nunemployment benefits and the sum of any allowance paid under this\nsection and regular benefits, as defined in this section, paid for any\nbenefit year shall not exceed the maximum amount of benefits payable\nunder this article, except:\n (i) requirements relating to total unemployment, as defined in section\nfive hundred twenty-two of this article, availability for work and\nsearch for work, as set forth in subdivision two of section five hundred\nninety-one of this title and refusal to accept work, as set forth in\nsubdivision two of section five hundred ninety-three of this title, are\nnot applicable to such individuals;\n (ii) requirements relating to disqualifying income, as set forth in\nsections five hundred twenty-five and five hundred ninety of this\narticle, are not applicable to income earned from self-employment\nentered into by such individuals as a result of their participation in\nself-employment assistance programs as defined in this section; and\n (iii) such individuals are considered to be unemployed for the\npurposes of laws applicable to unemployment benefits, as long as such\nindividuals meet the requirements applicable under this subdivision;\n (c) individuals may receive the allowance described in paragraph (a)\nof this subdivision if such individuals:\n (i) are eligible to receive regular unemployment benefits or would be\neligible to receive such benefits except for the requirements set forth\nin subparagraphs (i) and (ii) of paragraph (b) of this subdivision. For\npurposes of this section, regular unemployment benefits means benefits\npayable under this article, including benefits payable to federal\ncivilian employees and to ex-servicemen and servicewomen pursuant to 5\nUSC Chapter 85, and benefits authorized to be used for the\nself-employment assistance program pursuant to the Federal-State\nExtended Unemployment Compensation Act of 1970 but excluding additional\nbenefits;\n (ii) are identified pursuant to a worker profiling system as\nindividuals likely to exhaust regular unemployment benefits;\n (iii) are participating in self-employment assistance activities\napproved by the department and by the department of economic development\nwhich include but need not be limited to entrepreneurial training,\nbusiness counseling, and technical assistance, including financing\nassistance for qualified individuals as appropriate, offered by\nentrepreneurship assistance centers established pursuant to section two\nhundred eleven of the economic development law, state university of New\nYork small business development centers, programs offered by\ncommunity-based organizations, local development corporations, and\nboards of cooperative educational services (BOCES) as established\npursuant to section one thousand nine hundred fifty of the education\nlaw; and, unless otherwise required by federal law or regulation, no\nindividual shall be prohibited from or disqualified from eligibility for\nthe program if prior to applying for the program, an individual has\nprinted business cards or has a website that is designed but not active,\nand neither are being used to solicit or conduct business;\n (iv) are actively engaged on a full-time basis in activities, which\nmay include training, relating to the establishment of a business and\nbecoming self-employed;\n (v) are not individuals who have previously participated in\nself-employment assistance programs pursuant to this section; and\n (d) the aggregate number of individuals receiving the allowance under\nthe program does not at any time exceed five percent of the number of\nindividuals receiving regular unemployment benefits at such time.\n 3. Each self-employment assistance program applicant shall provide at\na minimum, in such form and at such time as the commissioner may\nprescribe, the following information:\n (a) a description of the proposed self-employment;\n (b) a description of such applicant's knowledge of experience in\nself-employment or such applicant's knowledge of and experience with the\nparticular product to be manufactured, produced, processed, distributed\nor sold or service to be provided;\n (c) the names and addresses of such applicant's previous employers\nduring the two years immediately preceding the date of applying for\nregular unemployment insurance benefits; and a\n (d) a description of each applicant's work activity and the\napplicant's previous employer's activity at the work locations to which\nthe applicant was assigned during said two year period.\n 4. Among individuals seeking participation in a self-employment\nassistance program, the department shall give preference to those\nindividuals who propose businesses not likely to compete directly with\nthe business of any base period employer of the individual.\n * NB Repealed December 7, 2027\n