S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  3148

                       2009-2010 Regular Sessions

                            I N  S E N A T E

                             March 12, 2009
                               ___________

Introduced  by  Sen.  DIAZ  --  read twice and ordered printed, and when
  printed to be committed to the Committee on Racing, Gaming and  Wager-
  ing

AN  ACT  to  amend the tax law and the state finance law, in relation to
  prohibiting the use of lottery funds for any purpose other than educa-
  tion

  THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section  1.  Section  1612  of  the tax law is amended by adding a new
subdivision h to read as follows:
  H. NO REVENUES COLLECTED PURSUANT TO THIS ARTICLE SHALL  BE  USED  FOR
ANY  PURPOSE  OTHER  THAN PROVIDING AID TO ALL SCHOOL CHILDREN AND SHALL
NOT BE CO-MINGLED WITH FUNDS DESIGNATED FOR ANY OTHER PURPOSE.
  S 2. Subdivision 3 of section  92-c  of  the  state  finance  law,  as
amended  by  chapter  913  of  the  laws  of 1977, is amended to read as
follows:
  3. The moneys in such fund shall be appropriated or  transferred  only
(i)  for repayment of first instance expenditures incurred in the opera-
tion of the state lottery, PROVIDED HOWEVER, THAT NO MONEYS IN SUCH FUND
SHALL BE APPROPRIATED OR TRANSFERRED FOR ANY PURPOSE OTHER THAN  PROVID-
ING  AID  TO  ALL SCHOOL CHILDREN AND SHALL NOT BE CO-MINGLED WITH FUNDS
DESIGNATED FOR ANY  OTHER  PURPOSE,  (ii)  for  the  state  fiscal  year
commencing  April  first,  nineteen  hundred  seventy-six  only  for the
purpose of providing aid to pupils with  special  educational  needs  as
defined  in paragraph e of subdivision one of section thirty-six hundred
two of the  education  law,  and  pupils  with  handicapping  conditions
receiving state financial support for programs delineated in paragraph f
of  subdivision  one  of section thirty-six hundred two, article eighty-
three, article eighty-five, article eighty-seven, article  eighty-eight,
article  eighty-nine,  AND  article  forty [and subdivision seventeen of
section thirty-six hundred two] of the education law, and for any  state

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD05963-01-9
              

S. 3148                             2

fiscal  year  commencing  after such nineteen hundred seventy-six fiscal
year for the purpose of providing aid to all school children pursuant to
the provisions of subdivision four of this section, (iii) for elementary
and  secondary  education,  (iv)  for expenditures for machines or other
capital equipment which the division of the  lottery  is  authorized  to
purchase  for  the  operation  of the lottery and (v) for payment in the
state fiscal years commencing April first, nineteen hundred seventy-sev-
en, nineteen hundred seventy-eight  and  nineteen  hundred  seventy-nine
into  the winter sports education trust fund, as created in section four
hundred ninety-five-a of article ten-C of the  education  law,  for  the
purposes  of  such fund in accordance with the provisions of subdivision
five of this section. Payments into such trust fund shall discontinue at
such time as the sum of one hundred million dollars, in  the  aggregate,
has  been  paid  into  such  fund  or  upon March thirty-first, nineteen
hundred eighty, whichever  event  occurs  first.  Nothing  herein  shall
prohibit  the purchase of machines or other capital equipment from funds
appropriated for expenditures  under  paragraph  (i)  [hereof]  OF  THIS
SUBDIVISION.
  S  3.  This  act shall take effect on the thirtieth day after it shall
have become a law and shall apply to revenues collected as a  result  of
the  New  York  state  lottery  for education occurring on or after such
date.