A 4036: Requires that an organization applying for grant funding shall provide to arts agencies a certification that it will enter into a labor peace agreement with at least one bona fide labor organization either where such bona fide labor organization is actively representing employees providing services covered by the organization seeking such grant funding or upon notice by a bona fide labor organization that is attempting to represent employees who will provide services to the organization seeking such grant funding; relates to prevailing wage requirements for not-for-profit theaters and payment of their employees on productions funded by the New York state council on the arts or arts agencies of localities.

  
  STATE OF NEW YORK ________________________________________________________________________ 4036 2025-2026 Regular Sessions  IN ASSEMBLY January 30, 2025 ___________ Introduced by M. of A. BRONSON -- read once and referred to the Commit- tee on Labor AN ACT to amend the labor law and the arts and cultural affairs law, in relation to prevailing wages for certain employees of not-for-profit theaters The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. The labor law is amended by adding a new article 9-A to 2 read as follows: 3 ARTICLE 9-A 4 PREVAILING WAGE FOR NOT-FOR-PROFIT THEATER EMPLOYEES 5 Section 239-b. Definitions. 6 239-c. Record keeping. 7 239-d. Powers of the fiscal officer. 8 239-e. Investigation and hearing. 9 239-f. Failure to protest underpayments. 10 239-g. Statements showing amounts due for wages. 11 239-h. Penalties. 12 239-i. Provisions in contracts prohibiting discrimination on 13 account of race, creed, color, national origin, age, 14 gender identity, sexual orientation, sex or disability. 15 239-j. Enforcement of article. 16 239-k. Severability. 17 § 239-b. Definitions. For the purpose of this article the following 18 terms shall have the following meanings: 19 1. "Arts agency" shall mean any public agency of New York state or of 20 a locality within New York state that provides grants to productions at 21 not-for-profit theaters. 22 2. "Contract" shall mean any agreement between a production and an 23 arts agency to grant funds to such production. EXPLANATION--Matter in italics (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD05274-01-5 
 A. 4036 2 1 3. "Employee" means an employee of a not-for-profit theater that 2 receives a grant award from an arts agency including but not limited to 3 actors, stage managers, production assistants, scenic artists, scenic 4 designers, costume designers, lighting designers, sound designers, 5 projection designers, graphic artists, art and costume department coor- 6 dinators, ushers, ticket takers, line directors, press agents, company 7 managers, theater managers, engineers, musicians, singers, choreogra- 8 phers, dancers, staging staff, ballet school faculty, directors, fight 9 directors, intimacy directors, dressers, wardrobers, costumers, stitch- 10 ers, tailors, drapers, shoppers, laundry workers, dyers, costume techni- 11 cians, milliners, craftspeople, child actors, guardians, box office 12 treasurers, first assistants, and ticket sellers employed on a 13 production funded by an arts agency. 14 4. "Grant" shall mean any capital and/or operational grants made to 15 productions funded by an arts agency. 16 5. "Production" shall mean a corporation, partnership, limited part- 17 nership, or other entity or individual that provides compensation to an 18 employee. 19 6. "Contractor" or "subcontractor" means a production that is a recip- 20 ient of a grant from an arts agency. 21 7. "Wage" means: (a) basic hourly cash rate of pay; and (b) any 22 supplements. 23 8. "Prevailing wage" means rate of compensation paid by a production, 24 by virtue of collective bargaining agreements between bona fide labor 25 organizations that represent employees performing work on a production 26 funded by an arts agency where such labor organization represents at 27 least thirty per centum of employees in the locality where such work is 28 being performed. The prevailing rate of wage shall be annually deter- 29 mined in accordance herewith by the fiscal officer no later than thirty 30 days prior to July first of each year, and the prevailing rate of wage 31 for the period commencing July first of such year through June thirti- 32 eth, inclusive, of the following year shall be the rate of wage set 33 forth in such collective bargaining agreements for the period commencing 34 July first through June thirtieth, including those increases for such 35 periods which are directly ascertainable from such collective bargaining 36 agreements by the fiscal officer in such fiscal officer's annual deter- 37 mination. In the event that it is determined that less than thirty 38 percent of the employees in the locality where the work is being 39 performed receive a collectively bargained rate of wage, then the aver- 40 age wage paid to such employees in the locality for the twelve-month 41 period preceding the fiscal officer's annual determination shall be the 42 prevailing rate of wage. Employees for whom a prevailing rate of wage is 43 to be determined shall not be considered in determining such prevailing 44 wage. 45 9. "Supplements" means all remuneration for employment paid in any 46 medium other than cash, or reimbursement for expenses, or any payments 47 which are not wages, including, but not limited to, health, welfare, 48 non-occupational disability, retirement, vacation benefits, holiday pay 49 life insurance, and apprenticeship training. 50 10. "Prevailing practices in the locality" means the practice of 51 providing supplements, as provided by virtue of collective bargaining 52 agreements between bona fide labor organizations and employees, provided 53 that such bona fide labor organizations employ at least thirty per 54 centum of such employees in the locality, as determined by the fiscal 55 officer in accordance with the provisions of this article. With respect 56 to each supplement determined to be one of the prevailing practices in 
 A. 4036 3 1 the locality, the amount of such supplement shall be determined in the 2 same manner and at the same times as the prevailing rate of wage is 3 determined pursuant to this article. 4 11. "Locality" means the state, a town, city, village or other civil 5 division or area of the state as determined by the fiscal officer. The 6 fiscal officer may fix a different geographic area in determining the 7 locality for the prevailing basic hourly cash rate of pay and the local- 8 ity for prevailing supplements. 9 12. "Fiscal officer" means the comptroller of the state of New York or 10 other analogous officer of the governing body of an arts agency. 11 13. "Substantially-owned affiliated entity" means the parent company 12 of a contractor or subcontractor, any subsidiary of such contractor or 13 subcontractor, or any entity in which such parent of such contractor or 14 subcontractor owns more than fifty percent of the voting stock, or an 15 entity in which one or more of the top five shareholders of such 16 contractor or subcontractor individually or collectively also owns a 17 controlling share of the voting stock, or an entity which exhibits any 18 other indicia of control over such contractor or subcontractor or over 19 which such contractor or subcontractor exhibits control, regardless of 20 whether or not the controlling party or parties have any identifiable or 21 documented ownership interest. Such indicia shall include power or 22 responsibility over employment decisions, access to and/or use of the 23 relevant entity's assets or equipment, power or responsibility over 24 contracts of the entity, responsibility for maintenance or submission of 25 certified payroll records, and influence over the business decisions of 26 the relevant entity. 27 14. "Entity" means a partnership, association, joint venture, company, 28 sole proprietorship, corporation, or any other form of doing business. 29 15 "Parent company" means an entity that directly controls a contrac- 30 tor or subcontractor. 31 16. "Subsidiary" means an entity that is controlled directly, or indi- 32 rectly through one or more intermediaries, by a contractor or subcon- 33 tractor or the contractor's parent company. 34 17. "Successor" means an entity engaged in work substantially similar 35 to that of its predecessor, where there is substantial continuity of 36 operation with that of such predecessor. 37 18. "Not-for-profit theater" shall mean a theater operating as a not- 38 for-profit entity pursuant to New York state law with a seating capacity 39 of at least one hundred. 40 § 239-c. Record keeping. 1. In all cases where work is being performed 41 pursuant to a collective bargaining agreement the contractor or subcon- 42 tractor shall keep original payrolls or transcripts thereof, subscribed 43 and confirmed by such contractor or subcontractor as true, under penal- 44 ties of perjury, showing the hours and days worked by each employee, the 45 craft, trade or occupation at which such employee was employed, and the 46 wages paid. 47 2. Where the wages paid include sums which are not paid directly to 48 the employees weekly and which are expended for supplements, the records 49 required to be maintained shall include a record of such hourly payment 50 on behalf of such employees, the supplement for which such payment has 51 been made, and the name and address of the person to whom such payment 52 has been made. In all such cases, the contractor shall keep a true and 53 inscribed copy of the agreement under which such payments are made, a 54 record of all net payments made thereunder, and a list of all persons 55 for whom such payments are made. 
 A. 4036 4 1 3. The records required to be maintained shall be kept on the site of 2 the work during all of the time that work under the contract is being 3 performed. 4 4. All records required to be maintained shall be preserved for a 5 period of three years after the completion of work. 6 § 239-d. Powers of the fiscal officer. 1. In addition to the powers 7 enumerated elsewhere in this article, the fiscal officer shall have the 8 power: 9 (a) to cause an investigation to be made to determine the prevailing 10 wages in any locality for work performed by employees covered by this 11 article, and in making such investigation, the fiscal officer may 12 utilize wage and fringe benefit data from various sources including, but 13 not limited to, data and determinations of federal, state or other 14 governmental agencies; 15 (b) to institute and conduct inspections at the site of the work or 16 elsewhere in aid of the effective administration and enforcement of the 17 provisions of this article; 18 (c) to examine the books, documents and records pertaining to the 19 wages paid to, and the hours of work performed by, employees; 20 (d) to hold the hearings provided for under this article, and in 21 connection therewith to issue subpoenas, administer oaths and examine 22 witnesses. The enforcement of a subpoena issued under this section shall 23 be regulated by the civil practice law and rules; 24 (e) to make a classification by craft, trade or other generally recog- 25 nized occupational category of the employees involved and to determine 26 whether such work has been performed by such employees in such classi- 27 fication; 28 (f) to require a contractor or subcontractor to file with the fiscal 29 officer a record of the wages actually paid by such contractor to its 30 employees and of their hours of work; 31 (g) to delegate any of the powers under this subdivision to such 32 fiscal officer's deputy or other authorized representative; 33 (h) to provide such reasonable limitations from any or all provisions 34 of this article as such fiscal officer may find necessary and proper in 35 the public interest or to avoid serious impairment of the conduct of 36 government business; and 37 (i) to propose, and after public hearing held before such fiscal offi- 38 cer or such fiscal officer's designee, to promulgate such rules or regu- 39 lations as such fiscal officer shall consider necessary for the proper 40 execution of the duties, responsibilities and powers conferred upon such 41 fiscal officer by the provisions of this article. Such rules may allow 42 such reasonable variations, tolerances and exemptions to and from any or 43 all provisions of this article as the fiscal officer may find necessary 44 and proper in the public interest, or to avoid serious impairment of the 45 conduct of government business. 46 2. For all work for which the industrial commissioner is the fiscal 47 officer, the industrial commissioner shall additionally have all the 48 powers otherwise granted under this chapter. 49 § 239-e. Investigation and hearing. 1. Whenever the fiscal officer has 50 reason to believe that an employee has been paid less than the wages 51 stipulated in a contract, or if such contract has no wage schedule 52 attached thereto and the fiscal officer has reason to believe that an 53 employee has been paid less than the wages prevailing for such employ- 54 ee's craft, trade or occupation, the fiscal officer may, and upon 55 receipt of a written complaint from such employee, shall conduct a 56 special investigation to determine the facts relating thereto. 
 A. 4036 5 1 2. (a) At the start of such investigation the fiscal officer may noti- 2 fy the financial officer of the public agency interested who shall, at 3 the direction of the fiscal officer, forthwith withhold from any payment 4 due to the contractor executing the contract sufficient money to safe- 5 guard the rights of the employees and to cover the civil penalty that 6 may be assessed as provided herein, or, if there are insufficient moneys 7 still due to be disbursed to the contractor or subcontractor to safe- 8 guard the rights of the employees and to cover the civil penalty that 9 may be assessed as provided herein, the financial officer of another 10 public agency which has entered or subsequently enters into a contract 11 with the contractor or subcontractor, shall withhold from any such 12 payment to the contractor or subcontractor executing any work, suffi- 13 cient moneys to safeguard the rights of the employees and to cover the 14 civil penalty that may be assessed as provided herein. 15 (b) If there are insufficient moneys due to be disbursed by the 16 contractor or subcontractor to safeguard the rights of the employees and 17 to cover the civil penalty that may be assessed as provided herein, the 18 financial officer shall immediately so notify the fiscal officer, who 19 may issue a notice of withholding to any of the following: (i) any 20 substantially-owned affiliated entity or successor or subsidiary of the 21 contractor or subcontractor; (ii) an officer of the contractor or 22 subcontractor who knowingly participated in the violation of this arti- 23 cle; (iii) any of the partners, if the contractor or subcontractor is a 24 partnership; or (iv) any of the five largest shareholders of the 25 contractor or subcontractor, as determined by the fiscal officer. 26 (c) The notice of withholding shall provide that the fiscal officer 27 intends to instruct the financial officer, not less than ten days 28 following of the notice by mail, to withhold sufficient moneys to safe- 29 guard the rights of the employees and to cover the civil penalty that 30 may be assessed as provided herein, from any payment due the notified 31 party under any contract pending final determination. The notice of 32 withholding shall provide that within thirty days following the date of 33 the notice of withholding the notified party may contest the withholding 34 on the basis that the notified party is not a partner or one of the five 35 largest shareholders of the subcontractor or contractor, an officer of 36 the contractor or subcontractor who knowingly participated in the 37 violation of this article, a substantially-owned affiliated entity or 38 successor. If the notified party fails to contest the notice of with- 39 holding, or if the fiscal officer, after reviewing the information 40 provided by the notified party in such contest, determines that the 41 notified party is a partner or one of the five largest shareholders, a 42 substantially-owned affiliated entity, an officer of the contractor or 43 subcontractor who knowingly participated in the violation of this arti- 44 cle, or a successor, the fiscal officer may instruct the financial offi- 45 cer to immediately withhold sufficient moneys to safeguard the rights of 46 the employees and to cover the civil penalty that may be assessed as 47 provided herein from funds still to be disbursed to the notified party 48 under any contract pending the final determination. 49 (d) The financial officer shall immediately implement the notice of 50 withholding and confirm in writing to the fiscal officer the amount of 51 money withheld. 52 (e) If the notified party contests the withholding after a withholding 53 has been effected, and if the fiscal officer determines that the noti- 54 fied party is not a partner or one of the five largest shareholders, a 55 substantially-owned affiliated entity or successor, or an officer of the 56 contractor or subcontractor who knowingly participated in the violation 
 A. 4036 6 1 of this article, the fiscal officer shall immediately notify the finan- 2 cial officer to release all funds being withheld from the notified 3 party. 4 (f) The money shall be held in trust pending completion of the inves- 5 tigation. 6 3. If, despite the requirements of law, the contract for the work has 7 been awarded without the annexation thereto of the schedule of wages 8 provided for in this article, the fiscal officer shall determine in the 9 proceeding before such fiscal officer the wages prevailing at the time 10 the work was performed for the crafts, trades or occupations of the 11 employees involved. 12 4. In an investigation conducted under the provisions of this section, 13 the inquiry of the fiscal officer shall not extend to work performed 14 more than two years prior to: (a) the filing of the complaint; or (b) 15 the commencement of the investigation upon the fiscal officer's own 16 volition, whichever occurs first. 17 5. (a) The investigation and hearing shall be expeditiously conducted 18 and upon the completion thereof the fiscal officer shall determine the 19 issues raised and shall make and file an order in such fiscal officer's 20 office stating such determination and forthwith serve personally or by 21 mail a copy of such order and determination together with a notice of 22 filing upon all parties to the proceeding and upon the financial officer 23 of the public agency involved. 24 (b) In addition to directing payment of wages found to be due, such 25 order of the fiscal officer may direct payment of a further sum as a 26 civil penalty in an amount not exceeding twenty-five percent of the 27 total amount found to be due. In assessing the amount of the penalty, 28 due consideration shall be given to the size of the employer's business, 29 the good faith of the employer, the gravity of the violation, the histo- 30 ry of previous violations of the employer, successor or substantially- 31 owned affiliated entity or any successor of the contractor or subcon- 32 tractor, any officer of the contractor or subcontractor who knowingly 33 participated in the violation of this article, and any of the partners 34 if the contractor or subcontractor is a partnership or any of the five 35 largest shareholders of the contractor or subcontractor, as determined 36 by the fiscal officer, of such underpayment of wages or supplements, and 37 any officer of the contractor or subcontractor who knowingly partic- 38 ipated in the violation of this article, and the failure to comply with 39 recordkeeping or other non-wage requirements. Where the fiscal officer 40 is the commissioner, the penalty shall be paid to the commissioner for 41 deposit in the state treasury. Where the fiscal officer is a city comp- 42 troller or other analogous officer, the penalty shall be paid to such 43 officer for deposit in the city treasury. 44 (c) If the order directs the payment to specified employees of wages 45 found to be due and unpaid, including interest at a rate not less than 46 six per centum per year and not more than the rate of interest then in 47 effect as prescribed by the superintendent of financial services pursu- 48 ant to section fourteen-a of the banking law per annum from the time 49 such wages should have been paid, the financial officer of such public 50 agency shall, upon receipt of such order, pay to such employees from the 51 trust money withheld the amounts specified in such order and shall pay 52 the civil penalty as provided herein, provided no review proceeding 53 pursuant to the provisions of article seventy-eight of the civil prac- 54 tice law and rules is commenced within thirty days of the date said 55 order was filed in the office of the fiscal officer. If such review is 56 timely commenced, the money withheld shall remain in trust pending final 
 A. 4036 7 1 disposition of the review proceeding. In determining the rate of inter- 2 est to be imposed the fiscal officer shall consider the size of the 3 employer's business, the good faith of the employer, the gravity of the 4 violation, the history of previous violations of the employer, successor 5 or substantially-owned affiliated entity or any successor of the 6 contractor or subcontractor, any officer of the contractor or subcon- 7 tractor who knowingly participated in the violation of this article, and 8 any of the partners if the contractor or subcontractor is a partnership 9 or any of the five largest shareholders of the contractor or subcontrac- 10 tor, as determined by the fiscal officer, and the failure to comply with 11 recordkeeping or other non-wage requirements. 12 6. When a final determination has been made and such determination is 13 in favor of an employee, such employee may, in addition to any other 14 remedy provided by this article, institute an action in any court of 15 appropriate jurisdiction against the person or corporation found to have 16 violated this article, any substantially-owned affiliated entity or any 17 successor of the contractor or subcontractor, any officer of the 18 contractor or subcontractor who knowingly participated in the violation 19 of this article, and any of the partners if the contractor or subcon- 20 tractor is a partnership or any of the five largest shareholders of the 21 contractor or subcontractor, as determined by the fiscal officer, for 22 the recovery of the difference between the sum, if any, actually paid to 23 such fiscal officer by the aforesaid financial officer pursuant to such 24 order and the amount found to be due such fiscal officer as determined 25 by such order. Such action shall be commenced within three years from 26 the date of the filing of such order, or if such order is reviewed in a 27 proceeding pursuant to article seventy-eight of the civil practice law 28 and rules, within three years after the termination of such review 29 proceeding. Provided that if no proceeding for judicial review as 30 provided in this section shall then be pending and the time for initi- 31 ation of such proceeding shall have expired, the fiscal officer may file 32 with the county clerk of the county where the employer resides or has a 33 place of business the order of the fiscal officer containing the amount 34 found to be due. The filing of such order shall have the full force and 35 effect of a judgment duly docketed in the office of such clerk. The 36 order may be enforced by and in the name of the fiscal officer in the 37 same manner, and with like effect, as that prescribed by the civil prac- 38 tice law and rules for the enforcement of a money judgment. 39 7. When, pursuant to the provisions of this section, two final orders 40 have been entered against a contractor, subcontractor, successor, or any 41 substantially-owned affiliated entity of the contractor or subcontrac- 42 tor, any of the partners if the contractor or subcontractor is a part- 43 nership, any of the five largest shareholders of the contractor or 44 subcontractor, any officer of the contractor or subcontractor who know- 45 ingly participated in the violation of this article within any consec- 46 utive six-year period determining that such contractor or subcontractor 47 and/or its successor, substantially-owned affiliated entity of the 48 contractor or subcontractor, any of the partners or any of the five 49 largest shareholders of the contractor or subcontractor, any officer of 50 the contractor or subcontractor who knowingly participated in the 51 violation of this article has willfully failed to pay the prevailing 52 wages in accordance with the provisions of this article, whether such 53 failures were concurrent or consecutive and whether or not such final 54 determinations concerning separate public contracts are rendered simul- 55 taneously, such contractor, subcontractor, successor, and if the 56 contractor, subcontractor, successor, or any substantially-owned affil- 
 A. 4036 8 1 iated entity of the contractor or subcontractor, any of the partners if 2 the contractor or subcontractor is a partnership, or any of the five 3 largest shareholders of the contractor or subcontractor, any officer of 4 the contractor or subcontractor who knowingly participated in the 5 violation of this article, or any successor is a corporation, or any 6 officer of such corporation who knowingly participated in such failure, 7 shall be ineligible to submit a grant application or be awarded a grant 8 by a public agency covered by this article for a period of five years 9 from the date of the second order, provided, however, that where any 10 such final order involves the falsification of payroll records or the 11 kickback of wages, the contractor, subcontractor, successor, substan- 12 tially-owned affiliated entity of the contractor or subcontractor, any 13 partner if the contractor or subcontractor is a partnership or any of 14 the five largest shareholders of the contractor or subcontractor, or any 15 officer of the contractor or subcontractor who knowingly participated in 16 the violation of this article shall be ineligible to submit a grant 17 application or be awarded a grant, contract or subcontract with the 18 state, any municipal corporation or public body for a period of five 19 years from the date of the first final order. Nothing in this subdivi- 20 sion shall be construed as affecting any provision of any other law or 21 regulation relating to the awarding of public contracts or grants. 22 8. (a) When a final determination has been made in favor of a 23 complainant and the contractor or subcontractor found violating this 24 article has failed to make payment as required by the order of the 25 fiscal officer, and provided that no relevant proceeding for judicial 26 review shall then be pending and the time for initiation of such 27 proceeding shall have expired, the fiscal officer may file a copy of the 28 order of the fiscal officer containing the amount found to be due with 29 the county clerk of the county of residence or place of business of any 30 of the following: 31 (i) any substantially-owned affiliated entity or any successor of the 32 contractor or subcontractor; 33 (ii) any of the partners if the contractor or subcontractor is a part- 34 nership or any of the five largest shareholders of the contractor or 35 subcontractor, as determined by the fiscal officer; or 36 (iii) any officer of the contractor or subcontractor who knowingly 37 participated in the violation of this article; provided, however, that 38 the fiscal officer shall within five days of the filing of the order 39 provide notice thereof to the partner or five largest shareholders or 40 successor or substantially-owned affiliated entity. The notified party 41 may contest the filing on the basis that it is not a partner or five 42 largest shareholders, an officer of the contractor or subcontractor who 43 knowingly participated in the violation of this article, successor or 44 substantially-owned affiliated entity. If, after reviewing the informa- 45 tion provided by the notified party in support of such contest, the 46 fiscal officer determines that the notified party is not within the 47 definitions described herein, the fiscal officer shall immediately with- 48 draw such fiscal officer's filing of the order. 49 (b) The filing of such order shall have the full force and effect of a 50 judgment duly docketed in the office of such clerk. The order may be 51 enforced by and in the name of the fiscal officer in the same manner, 52 and with like effect, as that prescribed by the civil practice law and 53 rules for the enforcement of a money judgment. 54 9. When a final determination has been made against a subcontractor in 55 favor of a complainant and the contractor has made payment to the 56 complainant of any wages and interest due the complainant and any civil 
 A. 4036 9 1 penalty, and providing that no relevant proceeding for judicial review 2 shall then be pending and the time for initiation of such proceeding 3 shall have expired, the contractor may file a copy of the order of the 4 fiscal officer containing the amount found to be due with the county 5 clerk of the county of residence or place of business of the subcontrac- 6 tor. The filing of such order shall have the full force and effect of a 7 judgment duly docketed in the office of such clerk. The judgment may be 8 docketed in favor of the contractor who may proceed as a judgment credi- 9 tor against the subcontractor for the recovery of all monies paid by the 10 contractor under such order. 11 § 239-f. Failure to protest underpayments. Notwithstanding any incon- 12 sistent provision of this chapter or of any other general, special or 13 local law, ordinance, charter or administrative code, an employee shall 14 not be barred from such employee's right to recover the difference 15 between the amount actually paid to such employee and the amount which 16 should have been paid to such employee pursuant to an order entered 17 under the provisions of this article because of the prior receipt by 18 such employee without protest of wages paid or on account of such 19 employee's failure to state orally or in writing upon any payroll or 20 receipt which such employee is required to sign that the wages received 21 by such employee are received under protest, or on account of such 22 employee's failure to indicate such employee's protest against the 23 amount, or that the amount so paid does not constitute payment in full 24 of wages due to such employee for the period covered by such payment. 25 § 239-g. Statements showing amounts due for wages. 1. Subcontractors 26 engaged for work by a contractor or its subcontractor shall, upon 27 receipt from the contractor or its subcontractor of the schedule of 28 wages and supplements specified in the contract, provide to the contrac- 29 tor or its subcontractor a verified statement attesting that the subcon- 30 tractor has received and reviewed such schedule of wages and supple- 31 ments, and agrees that it will pay the applicable prevailing wages and 32 will pay or provide the supplements specified therein. Such verified 33 statement shall be filed in the manner described in subdivision three of 34 this section. It shall be a violation of this article for any contractor 35 or its subcontractor to fail to provide for its subcontractor a copy of 36 the schedule of wages and supplements specified in the contract. 37 2. Before grant funds are released by a public agency it shall be the 38 duty of the comptroller of the state or the financial officer of such 39 public agency or other officer or person charged with the custody and 40 disbursement of the grant funds pursuant to the contract and under which 41 payment is made, to require the contractor to file a statement in writ- 42 ing in form satisfactory to such officer certifying to the amounts then 43 due and owing from such contractor filing such statement to or on behalf 44 of any and all employees for daily or weekly wages on account of labor 45 performed upon the work under the contract, setting forth therein the 46 names of the persons whose wages are unpaid and the amount due to or on 47 behalf of each respectively, which statement so to be filed shall be 48 verified by the oath of the contractor that such contractor has read 49 such statement subscribed by such contractor and knows the contents 50 thereof, and that the same is true of such contractor's own knowledge. 51 3. Before payment is made by or on behalf of a public agency of any 52 sums due on account of a contract and representing the final portion of 53 twenty percent of the total amount payable under the contract, it shall 54 be the duty of the comptroller of the state or the financial officer of 55 such public agency or other officer or person charged with the custody 56 and disbursement of the grant funds applicable to the contract under and 
 A. 4036 10 1 pursuant to which payment is made to require the contractor to file 2 every verified statement required to be obtained by the contractor from 3 its subcontractors pursuant to subdivision one of this section and to 4 file a statement in writing in form satisfactory to such officer setting 5 forth the amounts known by the contractor to be then due and owing from 6 a subcontractor, or from a subcontractor of such contractor, for such 7 wages and supplements, or certifying that the contractor has no know- 8 ledge of such amounts owing to or on behalf of any employees of its 9 subcontractors, and that in the event it is determined by the commis- 10 sioner that the wages or supplements or both of any employees of such 11 subcontractors have not been paid or provided pursuant to the appropri- 12 ate schedule of wages and supplements, the contractor shall be responsi- 13 ble for payment of such wages or supplements pursuant to the provisions 14 of section two hundred thirty-nine-j of this article. Before final 15 payment is made of any sums due on account of such contract, the 16 contractor shall be required to file a supplemental statement setting 17 forth any additional amounts known by the contractor to be then due and 18 owing by each subcontractor for such wages or supplements, or that the 19 contractor has no knowledge of such amounts owing to or on behalf of any 20 employee of its subcontractors. Such statements so to be filed shall be 21 verified by the oath of the contractor that such contractor has read 22 such statements subscribed by such contractor and knows the contents 23 thereof, and that the same is true of such contractor's own knowledge, 24 except with respect to wages and supplements owing by subcontractors 25 which may be certified upon information and belief. 26 4. If any interested person shall have previously filed a protest in 27 writing objecting to the release of grant funds to any contractor or 28 subcontractor to the extent of the amount or amounts due or to become 29 due to such contractor or subcontractor for daily or weekly wages for 30 labor performed on the work which was funded by such grant, or if for 31 any other reason it may be deemed advisable, the comptroller of the 32 state or the financial officer of the public agency or other officer or 33 person charged with the custody and disbursement of the grant funds 34 applicable to the contract for such work, may deduct from the whole 35 amount of any payment on account thereof the sum or sums admitted by any 36 contractor or subcontractor in such statement or statements as filed to 37 be due and owing by such contractor or subcontractor on account of labor 38 performed on such work before disbursing such grant funds, and may with- 39 hold the amount so deducted for the benefit of the employees whose wages 40 are unpaid as shown by the verified statements filed by any contractor 41 or subcontractor, and may pay directly to any person the amount or 42 amounts shown by the statements filed as hereinbefore required to be due 43 to such person or such person's duly authorized collective bargaining 44 labor organization receiving such payment to the extent of the amount 45 thereof. 46 § 239-h. Penalties. 1. Any contractor or subcontractor who shall upon 47 such contractor or subcontractor's oath verify any statement required to 48 be filed under this article which is known by such contractor or subcon- 49 tractor to be false shall be guilty of perjury and punishable as 50 provided by the penal law. 51 2. When a contract contains as part thereof a schedule of wages as 52 provided for in this article, any contractor who, after entering into 53 such contract, and any subcontractor of such contractor who fails to pay 54 to any employee the wages stipulated in such wage schedule is guilty of 55 a misdemeanor and upon conviction shall be punished for a first offense 56 by a fine of five hundred dollars or by imprisonment for not more than 
 A. 4036 11 1 thirty days or by both fine and imprisonment; for a second offense by a 2 fine of one thousand dollars, and in addition thereto the contract on 3 which the violation has occurred shall be forfeited; and no such 4 contractor shall be entitled to receive any sum, nor shall any officer, 5 agent or employee of the contracting public agency pay any such sum or 6 authorize its payment from the funds under such contractor's charge or 7 control to such contractor for work done upon the contract on which the 8 contractor has been convicted of a second offense. If the contractor or 9 subcontractor is a corporation, any officer of such corporation who 10 knowingly permits the corporation to fail to make such payment shall 11 also be guilty of a misdemeanor and the criminal and civil penalties 12 herein shall attach to such officer upon conviction. 13 § 239-i. Provisions in contracts prohibiting discrimination on account 14 of race, creed, color, national origin, age, gender identity, sexual 15 orientation, sex or disability. Every contract for work shall contain 16 provisions by which the contractor agrees: 17 1. that in the hiring of employees for the performance of work under 18 the contract or any subcontract thereunder within the territorial limits 19 of this state, no contractor, subcontractor, nor any person acting on 20 behalf of such contractor or subcontractor, shall by reason of race, 21 creed, color, national origin, age, gender identity, sexual orientation, 22 sex or disability, discriminate against any citizen of the state of New 23 York who is qualified and available to perform the work to which the 24 employment relates; 25 2. that no contractor, subcontractor, nor any person on such contrac- 26 tor or subcontractor's behalf shall, in any manner, discriminate against 27 or intimidate any employee hired for the performance of work under the 28 contract on account of race, creed, color, national origin, age, gender 29 identity, sexual orientation, sex or disability; 30 3. that there may be deducted from the amount payable to the contrac- 31 tor by the public agency under the contract a penalty of fifty dollars 32 for each person for each day during which such person was discriminated 33 against or intimidated in violation of the provisions of the contract; 34 and 35 4. that the contract may be cancelled or terminated by the public 36 agency, and all moneys otherwise to be disbursed pursuant to such 37 contract may be forfeited for a second or any subsequent violation of 38 the terms or conditions of this section of the contract. 39 § 239-j. Enforcement of article. If the fiscal officer finds that any 40 contractor fails to comply with or evades the provisions of this arti- 41 cle, the fiscal officer shall present evidence of such noncompliance or 42 evasion to the public agency having charge of such contract for enforce- 43 ment. Where such evidence indicates a noncompliance or evasion on the 44 part of a subcontractor, the contractor shall be responsible for such 45 noncompliance or evasion. It shall be the duty of the public agency in 46 charge of such contract to enforce the provisions of this article. 47 § 239-k. Severability. If any clause, sentence, paragraph, subdivi- 48 sion, section or part of this article shall be adjudged by any court of 49 competent jurisdiction to be invalid, such judgment shall not affect, 50 impair, or invalidate the remainder thereof, but shall be confined in 51 its operation to the clause, sentence, paragraph, subdivision, section 52 or part thereof directly involved in the controversy in which such judg- 53 ment shall have been rendered. It is hereby declared to be the intent of 54 the legislature that this article would have been enacted even if such 55 invalid provisions had not been included herein. 
 A. 4036 12 1 § 2. Section 3.01 of the arts and cultural affairs law is amended to 2 read as follows: 3 § 3.01. Legislative findings and declaration of policy. 1. It is here- 4 by found that many of our citizens lack the opportunity to view, enjoy 5 or participate in living theatrical performances, musical concerts, 6 operas, dance and ballet recitals, art exhibits, examples of fine archi- 7 tecture, and the performing and fine arts generally. It is hereby 8 further found that, with increasing leisure time, the practice and 9 enjoyment of the arts are of increasing importance and that the general 10 welfare of the people of the state will be promoted by giving further 11 recognition to the arts as a vital aspect of our culture and heritage 12 and as a valued means of expanding the scope of our educational 13 programs. 14 2. It is hereby declared to be the policy of the state to join with 15 private patrons and with institutions and professional organizations 16 concerned with the arts to [insure] ensure that the role of the arts in 17 the life of our communities will continue to grow and will play an ever 18 more significant part in the welfare and educational experience of our 19 citizens and in maintaining the paramount position of this state in the 20 nation and in the world as a cultural center. 21 3. The legislature further finds that the investment of funds by arts 22 agencies can provide a vital economic engine to assist, nurture, devel- 23 op, and promote regional economic development, the state tourism indus- 24 try and the growth of jobs in the state. Indeed, attendees of arts 25 programming generate economic activity in New York state far beyond the 26 cost of admission, from food and drink, to parking, transportation, 27 travel, and childcare revenues, among others. The professional perform- 28 ers and related or supporting professionals employed on projects and 29 productions that create the performing and fine arts are the basis of 30 the arts economy in New York state and must not be left behind. There- 31 fore, the state legislature finds that arts agencies have a substantial 32 and compelling proprietary interest in any funds awarded in the fine and 33 performing arts. The legislature hereby declares that the mandate of a 34 living wage for projects awarded grants by arts agencies is central to 35 ensuring the continued availability of the fine and performing arts in 36 New York state, and the concomitant economic benefits therewith, and 37 further that the state's proprietary interest with regard to such funds 38 could be adversely affected by labor-management conflict. 39 4. It is further declared that all activities undertaken by the state 40 in carrying out this policy shall be directed toward encouraging and 41 assisting rather than in any ways limiting the freedom of artistic 42 expression that is essential for the well-being of the arts. 43 § 3. Paragraph (d) of subdivision 1 of section 3.19 of the arts and 44 cultural affairs law is relettered paragraph (e) and a new paragraph (d) 45 is added to read as follows: 46 (d) Any organization applying for grant funding from an arts agency 47 shall provide a certification that it will enter into a labor peace 48 agreement with at least one bona fide labor organization that represents 49 employees of such organization including but not limited to actors, 50 stage managers, production assistants, scenic artists, scenic designers, 51 costume designers, lighting designers, sound designers, projection 52 designers, graphic artists, art and costume department coordinators, 53 ushers, ticket takers, line directors, press agents, company managers, 54 theater managers, engineers, musicians, singers, choreographers, danc- 55 ers, staging staff, ballet school faculty, directors, fight directors, 56 intimacy directors, dressers, wardrobers, costumers, stitchers, tailors, 
 A. 4036 13 1 drapers, shoppers, laundry workers, dyers, costume technicians, millin- 2 ers, craftspeople, child actors, guardians, box office treasurers, first 3 assistants, and ticket sellers either where such bona fide labor organ- 4 ization is actively representing employees providing services covered by 5 the organization seeking such grant funding or upon notice by a bona 6 fide labor organization that is attempting to represent employees who 7 will provide services to the organization seeking such grant funding. 8 The maintenance of such a labor peace agreement shall be an ongoing 9 material condition for receipt of grant funding under this article. For 10 purposes of this paragraph, the term "labor peace agreement" shall mean 11 an agreement between an entity and labor organization that, at a mini- 12 mum, protects the state's proprietary interests by prohibiting labor 13 organizations and members from engaging in picketing, work stoppages, 14 boycotts, and any other economic interference with the entity. 15 § 4. This act shall take effect on the ninetieth day after it shall 16 have become a law and shall apply to any grant award made after such 17 effective date.