Vote: Floor vote
NY SenateMar 24, 2026Result: passed
Sponsor · State Senator, District 42 · Democratic
Senate bill · S4039 (2025-26)
Prohibits certain persons from receiving compensation for legal fees, consulting, or other work performed for an industrial development agency or an economic assistance corporation
The heading above is this same sentence with its legal opening removed. No words were added, changed or reordered.
Prohibits certain persons from receiving compensation for legal fees, consulting, or other work performed for an industrial development agency, an economic assistance corporation or state or local authority; relates to consultant disclosure requirements.
Not chosen yet
Passed one of the two chambers; it still needs the other.
New York State Senate
Same as A5090, the matching bill in the Assembly.
Amends the Public Officers Law.
Ethics And Internal Governance · New York State Senate
Also referred to Governmental Operations · New York State Assembly.
Section 1: Amends paragraphs (a) and (b) of subdivision 7 of section 73 of the public officers law to prohibit statewide elected officials, state officers or employees, members of the legislature, legislative employees, or political party chairman who owns or controls a certain percentage of a corporation or limited liability company from receiving compensation for consulting or legal services from a state or local authority. Section 2: Amends subdivision 1-a of section 2825 of the public authori- ties law to make a conforming amendment to the Public Authorities Law reflecting the same prohibitions. Section 3: Amends section 801 of the general municipal law to make a conforming amendment reflecting the same prohibitions for municipal officers. Section 4: Amends section 858-c of the general municipal law to require individuals and entities providing consulting services, including legal, lobbying, financial, marketing, and other consulting services, to disclose details of their engagements with applicants or recipients of agency financial assistance. Section 5: Sets Effective Date.
Filed with the bill. Read it on nysenate.gov (opens in a new tab)
NY SenateMar 24, 2026Result: passed
Senate Ethics And Internal GovernanceMar 4, 2026Result: passed
NY SenateMay 29, 2025Result: passed
Senate Ethics And Internal GovernanceMay 13, 2025Result: passed
The sponsor's argument
This legislation arises in response to a case in which a local elected official received hundreds of thousands of dollars in consulting fees from local Industrial Development Agencies (IDAs) and Local Development Corporations (LDCs) through third-party employers and consulting firms. This conduct led to a Justice Department indictment on eight criminal counts. Even the State Comptroller has faced significant challenges in auditing the finances of IDAs and LDCs, highlighting persistent obsta- cles to transparency. These challenges underscore the significant influ- ence of these entities and the potential for financial misconduct in public funds. The current system allows for a preference in appointments of those consultants or attorneys who are politically connected, as opposed to suitably qualified to advise the IDAs on issues that impact taxpayers in the jurisdiction. The members of the IDA are authorized to hire consultants to advise them in their decision-making capacity. When those consultants or attorneys have conflicts of interest and/or are not the best-qualified candidates for the job, an injustice occurs that must be rectified. To address this issue, this legislation prohibits public officeholders at local and state levels from collecting consulting fees from state and local authorities directly or through companies that control 10% or more.
This is the sponsor's own case for the bill, quoted from their memorandum. It is not Agora's description of what the bill does.
Sent to the executive
DELIVERED TO ASSEMBLY
NY Senate
Passed a chamber
PASSED SENATE
NY Senate
Referred to committee
REFERRED TO GOVERNMENTAL OPERATIONS
NY Assembly
Advanced to Third Reading
ADVANCED TO THIRD READING
NY Senate
2ND Report CAL.
2ND REPORT CAL.
NY Senate
1ST Report CAL.451
1ST REPORT CAL.451
NY Senate
Died in Assembly
DIED IN ASSEMBLY
NY Assembly
Referred to committee
REFERRED TO ETHICS AND INTERNAL GOVERNANCE
NY Senate
Referred to committee
REFERRED TO GOVERNMENTAL OPERATIONS
NY Assembly
Sent to the executive
DELIVERED TO ASSEMBLY
NY Senate
Passed a chamber
PASSED SENATE
NY Senate
Referred to committee
REFERRED TO GOVERNMENTAL OPERATIONS
NY Assembly
Amend (t) and Recommit to Governmental Operations
AMEND (T) AND RECOMMIT TO GOVERNMENTAL OPERATIONS
NY Assembly
Advanced to Third Reading
ADVANCED TO THIRD READING
NY Senate
2ND Report CAL.
2ND REPORT CAL.
NY Senate
1ST Report CAL.1023
1ST REPORT CAL.1023
NY Senate
Amend (t) and Recommit to Ethics and Internal Governance
AMEND (T) AND RECOMMIT TO ETHICS AND INTERNAL GOVERNANCE
NY Senate
Referred to committee
REFERRED TO GOVERNMENTAL OPERATIONS
NY Assembly
Referred to committee
REFERRED TO ETHICS AND INTERNAL GOVERNANCE
NY Senate
The summary comes from NY Open Legislation, the New York State Senate's public record. For more, see How we handle summaries.
From NY Open Legislation, the NY Senate and Assembly, and official rosters. This record was last updated Nov 1, 2026. About our data