New York 2025-2026 Regular Session

New York Senate Bill S03405

Introduced
1/27/25  
Refer
1/27/25  

Caption

Authorizes the comptroller to audit local development corporations.

Summary

This bill amends the Not-for-Profit Corporation Law to expressly authorize the New York State Comptroller to audit any local development corporation (LDC) incorporated or reincorporated under section 1411. The change is narrow and direct: it adds a new audit provision to the statute and makes the authority explicit in law, rather than leaving the comptroller’s audit power unclear or implied. The bill takes effect immediately upon enactment. In practical terms, it would place LDCs—entities often used for economic development, financing, and public-purpose projects—within the comptroller’s audit authority, allowing state oversight of their operations, finances, and compliance with applicable requirements.

Impact

The bill would amend section 1411 of the Not-for-Profit Corporation Law by adding a specific statutory grant of audit authority to the State Comptroller over local development corporations. This could affect LDCs statewide, including their boards, officers, finances, and recordkeeping practices, by subjecting them to potential state audit review. It does not create a new type of entity or change how LDCs are formed, but it strengthens oversight and accountability mechanisms for existing corporations organized under that section.

Sentiment

Based on the bill text and the absence of recorded committee debate or votes in the provided materials, the measure appears to be a straightforward oversight bill with no documented opposition in the available record. Its purpose suggests a generally favorable policy posture toward transparency and accountability in quasi-public economic development entities. Because there are no transcripts or vote tallies, no clear partisan or stakeholder split can be identified from the supplied context.

Contention

The main point of contention, if any, would likely center on the scope of state oversight over local development corporations. Supporters would view comptroller audits as a tool for transparency, fiscal accountability, and protection of public funds, while critics might argue that the bill increases administrative burden or state interference in locally driven economic development activities. No specific objections or named opponents appear in the provided committee or voting history.

Companion Bills

No companion bills found.

Previously Filed As

NY S01850

Authorizes the comptroller to audit local development corporations.

NY HB1585

Relating to housing finance corporations and to the location of residential developments owned by those corporations.

NY S09386

Requires audits by the comptroller in the event of arrest or conviction of contractors of certain sections of law relating to theft and fraud.

NY S09876

Authorizes funding to local government entities from the urban development corporation through the electric generation facility cessation mitigation fund for an additional three years.

NY A10659

Requires the state comptroller and the attorney general to conduct an annual audit of the office of cannabis management

NY S10445

Authorizes the comptroller, in consultation with the NYS higher education services corporation, to develop and administer a scholarship and savings program to provide a pathway for eligible children to save for education expenses.

NY S09678

Adds employee-owned enterprises and worker cooperatives to the list of preferred contractors for public contracts in the state; authorizes such enterprises and cooperatives to make certain purchases from centralized contracts for commodities, subject to conditions of the office of general services; authorizes the comptroller to conduct certain audits of employee-owned enterprises and worker cooperatives.

NY HB3532

Relating to multifamily residential developments owned by public facility corporations.

NY HB1590

Relating to multifamily residential developments owned by public facility corporations.

NY S09617

Authorizes funding to local government entities from the urban development corporation through the electric generation facility cessation mitigation fund for an additional five years.

Similar Bills

No similar bills found.