Albany Legislative Update - February 15, 2024

Floor News

LLC Transparency Act

• The Assembly and Senate passed a bill (A.8544) enacting a chapter amendment to the “LLC Transparency Act” (Chapter 772, L.2023), which mandates the disclosure of beneficial owners of domestic and foreign Limited Liability Companies (LLCs) and requires certain identifiers to be publicized in a business entity database.

~ This chapter amendment adds additional requirements to the LLC Transparency Act such as mandating that the Department of State suspend any LLC from conducting business in-state that fails to file its beneficial owner disclosure or attestation of exemptions until it makes the necessary filings and empowering the attorney general to assess fines of up to $500 for each day an LLC fails to provide such required documentation.

~ This chapter amendment also broadens the Attorney General’s investigatory powers, culminating in the ability to bring an action to dissolve or cancel a domestic LLC (or annul the authority of a foreign LLC) that is delinquent in filing paperwork or that provides false or fraudulent information (vote: 86-60).

Clarification of Fraud in Rent Regulation Overcharge Cases

• The Assembly and Senate passed a bill (A.8506) enacting a chapter amendment to Chapter 760 of the Laws of 2023, which establishes that when a landlord combines two or more vacant rent-stabilized apartments, the rent for the combined apartment will be the sum of the legal rents of the formerly separate apartments. This chapter amendment clarifies the fraud exception to the four-year look-back period in overcharge cases by providing that when a claim that an owner has engaged in a fraudulent scheme to deregulate a unit is properly raised before a court or the Division of Housing and Community Renewal (DHCR), such court or the DHCR will determine whether the owner knowingly engaged in such fraudulent scheme after a consideration of the totality of the circumstances (vote: 84-63).

Committee News

Correction

• Despite unanimous Republican opposition, the Correction Committee reported the following bills:

~ A.1300 – Expands the current definition of “serious mental illness” for the purpose of limiting segregated confinement for inmates with “Axis I Diagnoses” and replaces it with the Mental Hygiene Law’s more expansive definition of “serious mental illness,” which includes inmates presenting with anxiety, intermittent depression, and adjustment disorders. An identical bill was vetoed in 2022.

▪ This bill was reported to the Floor.

~ A.6637 – Makes it an unlawful discriminatory practice for a person, agency, bureau,

corporation, association, the State, or any political subdivision to require an individual to

provide a copy of his or her criminal history record obtained pursuant to DCJS rules and

regulations. Makes it an unfair educational practice for an educational institution to require an individual to provide a copy of his or her criminal history record obtained pursuant to DCJS rules and regulations.

▪ This bill was reported to the Floor.

Environmental Conservation

• Despite unanimous Republican opposition, the Environmental Conservation Committee reported a bill (A.4003) that adds State forests, reforestation areas, wildlife management areas, and unique areas to the State-owned lands that are excluded from the exploration, development, and production of gas.

~ This bill was reported to the Floor.

• The Environmental Conservation Committee reported the following bills:

~ A.5322-B – Enacts the “Packaging Reduction and Recycling Infrastructure Act,” which

requires companies to reduce packaging and overhauls recycling in the State, including

mandating minimum amounts of recycled materials that glass containers, paper carryout bags, and plastic trash bags manufactured and sold in the State must contain. The bill also bans packaging containing certain toxic substances and establishes the Office of Recycling

Inspector General to oversee compliance with this Act.

▪ This bill was reported to Codes.

~ A.8866 – Prohibits the use of carbon dioxide for the purpose of bringing a natural gas or oil well into production.

▪ This bill was reported to the Floor.

Judiciary

• Despite unanimous Republican opposition, the Judiciary Committee reported a resolution (K.797) that rescinds all previous requests by the Legislature, or either House thereof, for a Constitutional Convention under Article V of the U.S. Constitution.

~ This resolution was reported to the Floor.

Click here to view the Assembly Republican Review Committee’s 2023-24 Legislative Agenda.

Week In Focus

• On Monday, Assembly Republicans along with their Senate Republican Colleagues, held a press conference calling for a delay in the statewide zero-emission school bus mandate and for a complete cost-benefit analysis for each district (A.8447, Palmesano). To view CLICK HERE

• On Tuesday, Assembly Republicans along with their Senate Republican Colleagues, held a press conference on the ongoing migrant crisis and to announce legislation that restores cooperation between New York courts and law enforcement agencies with federal immigration authorities involving the arrest or conviction of illegal immigrants (A.9167, Gandolfo). To view CLICK HERE

• Joint Legislative Budget Hearings finished this week. Hearings covered Mental Hygiene (2/13), Taxes (2/14), and Housing (2/14)