NY A08537

Amends banking law to authorize the New York Business Development Corporation to act as a third-party agent for the capital access program, including processing, funding, and approving qualifying loans for minority and women-owned business enterprises (MWBEs) and small businesses in highly distressed areas.

Requires contracts with third-party agents to be for two-year periods, renewable for an additional two years, and to include compensation for expenses and services deemed appropriate by the corporation.

Mandates that the Department of Financial Services, Empire State Development Corporation, and New York Business Development Corporation jointly establish guidelines (including underwriting standards) to assist MWBEs and small businesses in highly distressed areas in accessing the capital access program, incorporating alternative indications of creditworthiness and best practices.

Requires the corporation and any third-party contractors to collaborate to increase awareness, participation, and referrals to the capital access loan program among MWBEs and small businesses in highly distressed areas.

Takes effect on the same date as the 2023 amendments to the banking law and urban development corporation act relating to the capital access program.