§ 38 — Small business and minority-owned and women-owned business enterprises transportation capital assistance and guaranteed loan program

§ 38. Small business and minority-owned and women-owned business\nenterprises transportation capital assistance and guaranteed loan\nprogram. 1. To provide financial assistance to small business and\nminority-owned and women-owned business enterprises engaged in\ngovernment sponsored, transportation related construction projects, the\ncorporation shall establish a small business and minority-owned and\nwomen-owned business enterprise transportation capital assistance\nrevolving loan fund which shall provide loans or loan guarantees to\nsmall business and minority-owned and women-owned business enterprises.\nFor purposes of this section: (a) the term small business shall have the\nsame meaning as defined in section one hundred thirty-one of the\neconomic development law and (b) the term project shall mean a project\nof state agency or authority that sponsors transportation related\nconstruction projects and participates in this program and any\ndefinition of project contained elsewhere in this act shall not apply.\n 2. Such loans, or loan guarantees for loans made by federally and\nstate chartered credit institutions, financial institutions, and\nfederally insured banking organizations to small business and\nminority-owned and women-owned business enterprises, shall be used to\n(a) enable such businesses, through the acquisition, leasing or\nimprovement of real property, machinery or equipment, or through the\nprovision of working capital to secure service, commodity or\nconstruction contracts; (b) restore working capital to such businesses\nwhich have successfully completed work under a contract but whose\nliquidity has been adversely affected by problems resulting from delayed\npayments; and (c) ensure the completion of the work associated with a\ngovernmental service, commodity or construction contract in order to\nprevent default on such contract.\n 3. (a) To be eligible for such loans or loan guarantees (i) a\nminority-owned or women-owned business enterprise must be certified as a\nminority-owned or women-owned business enterprise pursuant to article\n15-A of the executive law; and (ii) a small business or a minority-owned\nor women-owned business enterprise shall have a contract or sub-contract\nto provide goods or services related to a government sponsored,\ntransportation related construction project.\n (b) Only such business enterprises referred to the corporation by a\nwritten application of a state agency or authority that sponsors\ntransportation related construction projects shall be eligible for\nprogram assistance. Such assistance shall be provided to such an\nenterprise only in connection with its performance as a contractor or\nsub-contractor on a specific transportation related project of the\nreferring agency or authority. In order for such an agency or authority\nto refer such enterprises to the corporation, such agency or authority\nshall enter into a master agreement with the corporation covering\nprocedures and requirements for providing program assistance. The\ncorporation shall determine whether or not to approve such an agency's\nor authority's written application for program assistance to such a\nbusiness within twenty business days of the corporation's receipt of\nsuch application. If it approves the application, the corporation will\nprovide assistance pursuant to the applicable master agreement.\n 4. The corporation shall give preference to minority-owned and\nwomen-owned business enterprises in making such loans and loan\nguarantees and shall establish such other criteria as it may deem\nnecessary for this program and for any required amount that shall be\nheld in reserve for any guarantees made under this program.\n 5. Notwithstanding any inconsistent provision of law, general, special\nor local, including pursuant to capital projects budget appropriations\nor reappropriations, where applicable, the corporation is hereby\nauthorized to enter into such agreements as may be necessary for the\noperation and administration of a small business and minority-owned and\nwomen-owned business enterprises transportation capital assistance and\nguaranteed loan program.\n 6. The corporation is authorized to establish a revolving loan fund\naccount into which funds may be received and from which funds may be\nexpended for the aforementioned purposes.\n 7. The provisions of section ten and subdivision two of section\nsixteen of this act shall not apply to assistance provided under this\nprogram.\n