NY State Executive Order 38 Addresses Executive Compensation

New York State Executive Order 38 pertaining to administrative expenses and executive compensation limits for organizations that receive state funds or state-authorized funds is now scheduled to be effective on April 1, 2013, extended from January 1, 2013.  Based on public comments, certain changes were made to the initially proposed regulations, including clarification of definitions to coincide with those used by the IRS; for example, a "covered employee" will be defined in the regulation consistent with the Form 990 instructions.  Interestingly, the proposed regulations may seek to define what compensation surveys will be approved for use in examining executive pay.  Affected organizations should continue to monitor and prepare for implementation of this Order.  For more information, please contact Diana Neelman at 201-934-0505 Ext. 105 or ddn@compensationresources.com.