Bill > A03837

This bill establishes a state disaster emergency grant and loan program administered by industrial development agencies (IDAs) to support small businesses impacted by state or local emergencies. Under the program, IDAs can provide loans up to $25,000 and grants to small businesses (defined as businesses with 50 or fewer employees) that have suffered qualified business losses during a declared state or local emergency. Qualified business losses include damage to business structures, inventory losses, shipping delays, perishable goods expiration due to power outages, forced closures, and revenue losses directly related to the emergency. IDAs must develop uniform criteria for evaluating and selecting eligible businesses, which may include assessing the business's financial viability before the emergency, creditworthiness, impact from the emergency, and plans to retain jobs. Each agency can only issue loans to a business once per emergency, and agencies serving the same municipalities must coordinate loan distribution. Businesses must apply for loans within 30 days of the emergency's end, and agencies are required to maintain detailed records of loans issued, repayments, and defaults. Additionally, any interest deferred on these loans will be exempt from state taxes, though federal tax consequences may apply.

Government Affairs

https://www.nysenate.gov/legislation/bills/2025/A3837