STATE OF NEW YORK
        ________________________________________________________________________

                                          10380

                   IN ASSEMBLY

                                      May 21, 2024
                                       ___________

        Introduced   by   COMMITTEE  ON  RULES  --  (at  request  of  M.  of  A.
          Bichotte Hermelyn) -- read once  and  referred  to  the  Committee  on
          Corporations, Authorities and Commissions

        AN  ACT to amend the public authorities law, in relation to requirements
          for explanatory statements regarding disposal of property

          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:

     1    Section  1. Paragraph d of subdivision 6 of section 2897 of the public
     2  authorities law is amended by adding a new subparagraph (iii) to read as
     3  follows:
     4    (iii) Each such statement shall include the names  of  all  beneficial
     5  owners of the entity to which the property is being transferred. For the
     6  purposes of this subparagraph, "beneficial owner" shall mean an individ-
     7  ual  who,  directly  or  indirectly,  through any contract, arrangement,
     8  understanding, relationship or otherwise, owns any equity interest of an
     9  entity, and/or has a level of control over the funds or  assets  of  the
    10  entity  that, as a practical matter, enables the individual, directly or
    11  indirectly, to control, manage or direct the entity and the use  of  its
    12  funds and assets or any part thereof.
    13    §  2.  Subparagraphs  (v)  and (vi) of paragraph b of subdivision 7 of
    14  section 2897 of the public authorities law, as added by chapter  506  of
    15  the  laws  of 2009, are amended and a new subparagraph (vii) is added to
    16  read as follows:
    17    (v) the names of any private parties participating  in  the  transfer,
    18  and  if  different  than  the statement required by subparagraph (iv) of
    19  this paragraph, a statement of the value to the private party; [and]
    20    (vi) the names of other private parties who have  made  an  offer  for
    21  such  asset,  the value offered, and the purpose for which the asset was
    22  sought to be used[.]; and
    23    (vii) the names of all beneficial owners of the entity  to  which  the
    24  property  is  being  transferred. For the purposes of this subparagraph,
    25  "beneficial owner" shall mean an individual who, directly or indirectly,
    26  through any contract, arrangement, understanding, relationship or other-
    27  wise, owns any equity interest of an  entity,  and/or  has  a  level  of

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD03882-01-3

        A. 10380                            2

     1  control  over  the  funds  or  assets of the entity that, as a practical
     2  matter, enables the individual,  directly  or  indirectly,  to  control,
     3  manage  or  direct the entity and the use of its funds and assets or any
     4  part thereof.
     5    §  3.  This  act  shall  take  effect  immediately  and shall apply to
     6  disposals and contracts for disposal of property  occurring  or  entered
     7  into on or after such date.