§ 16-G — Child care facilities construction program

§ 16-g. Child care facilities construction program. 1. Definitions.\nFor the purposes of this section:\n (a) "Child care facilities construction project" shall mean a project\nfor the establishment, expansion, and development of licensed\nnot-for-profit child day care centers which are intended to serve the\nneeds of low-income working families or economically distressed areas or\nhighly distressed communities. The project shall be used as a licensed\nchild day care center for a period of at least ten years with at least\none-quarter of the available day care placements offered to the local\ndepartment of social services or set aside for persons eligible for\nlow-income day care subsidies.\n (b) "Economically distressed areas" shall have the same meaning as\nprovided for in section 16-d of this act.\n (c) "Highly distressed" shall have the same meaning as provided for in\nsection 16-d of this act.\n (d) "Not-for-profit corporation" shall mean a corporation organized\nunder the provisions of the not-for-profit corporation law.\n 2. The corporation shall, from any appropriations made available for\nthis purpose, establish a child care facilities construction program\nwhich shall offer the following assistance:\n (a) Child care construction grants pursuant to paragraphs (a) and (b)\nof subdivision 3 of this section.\n (b) Child care construction revolving loans and loan guarantees\npursuant to paragraphs (c) and (d) of subdivision 3 of this section.\n 3. To the extent that monies are appropriated for the child care\nfacilities construction program, the corporation shall provide financing\nfor child care facilities construction projects for the establishment,\nexpansion and development of not-for-profit child day care centers which\nare intended to serve the needs of low-income working families or\neconomically distressed areas or highly distressed communities. The\ncorporation, in consultation with the department of economic\ndevelopment, shall develop a joint request for applications with the\ndepartment of social services soliciting potential applicants seeking\nassistance for the development of licensed, not-for-profit child day\ncare centers. In determining award recipients, the corporation shall\nconsider, among other factors, the department of social services'\ngrouped rankings of the applications. Such financing shall consist of\ngrants, revolving loans and loan guarantees for the establishment,\nexpansion, and development of licensed, not-for-profit child day care\ncenters in accordance with section 410-ccc of the social services law\nand this section.\n (a) Grants shall be used for general project development costs,\nincluding, but not limited to:\n (i) the acquisition, design, construction, improvement or renovation\nof the site; and\n (ii) the purchase of necessary equipment.\n (b) For the purposes of this subdivision grants shall not exceed\neighty percent of the total project cost in highly distressed\ncommunities; shall not exceed sixty-five percent of the total project\ncost in economically distressed areas; and shall not exceed fifty\npercent of the total project cost in non-economically distressed areas.\n (c) Child care construction revolving loan and loan guarantees. The\ncorporation shall provide revolving loans and loan guarantees for the\nestablishment of licensed, not-for-profit child day care centers. Such\nrevolving loans and loan guarantees shall be for construction costs,\nincluding, but not limited to the design, construction, improvement or\nrenovation of a child day care center, and may include interim\nfinancing.\n (d) Child care construction revolving loan and loan guarantee fund.\nFor the purposes of this subdivision, the corporation shall establish a\nchild care construction revolving loan and loan guarantee fund account.\nThe corporation shall determine the terms and interest rates of such\nloans, except that no loan shall exceed eighty percent of the total\nproject cost in highly distressed communities; sixty-five percent of the\ntotal project cost in economically distressed areas; and fifty percent\nof the total project cost in non-economically distressed areas. In\ninstances where an otherwise qualified applicant lacks equity in a\nproject, equity participation may include any commitment for grants.\nPayments consisting of the repayment of the principal amount of the loan\nand interest shall be deposited by the corporation into the child care\nconstruction revolving loan fund account from which the loan was made.\n 4. Financing for child care facilities construction projects\nauthorized pursuant to this subdivision, shall only be made upon a\ndetermination by the corporation, in consultation with the department of\neconomic development, and the department of social services that such a\ncenter will increase supply and access to day care services. Such\nrevolving loans, loan guarantees and grants shall only be made for child\ncare centers where there is an insufficient supply of child day care.\nSuch centers shall demonstrate the potential to obtain, from the local\ndepartment of social services and other appropriate governmental\nagencies, all necessary approvals, licenses, and other supports required\nto operate the center.\n 5. In addition to the department of social services, the corporation\nshall work closely with the job development authority, the department of\neconomic development, child care resource and referral programs, local\ndevelopment corporations, neighborhood preservation companies, rural\npreservation companies, and other sources offering assistance for child\ncare in the state in order to assure coordination of services.\n