S T A T E O F N E W Y O R K
________________________________________________________________________
448
Seventh Extraordinary Session
I N S E N A T E
June 28, 2009
___________
Introduced by COMMITTEE ON RULES -- (at request of the Governor) -- read
twice and ordered printed, and when printed to be committed to the
Committee on Rules
AN ACT to amend chapter 605 of the laws of 2000, relating to the
construction of new educational facilities, the financing of such
facilities, and the financing of the rehabilitation and reconstruction
of existing facilities in the city of Buffalo, in relation to the
financing of additional projects for the rehabilitation and recon-
struction of existing facilities in the city of Buffalo
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Legislative findings. The legislature hereby finds and
determines:
The scope of projects to be financed in Phase V has been expressly
authorized in this legislation and is subject to the approval of the
commissioner of education. In addition, such financing may result in
certain additional project funding financing costs which are not
incurred in typical school district general obligation bond issues.
S 2. Subdivisions (b) and (d) of section 16 of chapter 605 of the laws
of 2000, relating to the construction of new educational facilities, the
financing of such facilities, and the financing of the rehabilitation
and reconstruction of existing facilities in the city of Buffalo, as
amended by chapter 492 of the laws of 2008, are amended and three new
subdivisions (l), (m) and (n) are added to read as follows:
(b) A project for the renovation, rehabilitation or reconstruction of
an educational facility of the city school district that was either:
(i) approved by the commissioner prior to February 1, 2003; or
(ii) submitted to the commissioner and identified as project number
0074-005, project number 7999-010, project number 0006-013, project
number 0033-008, project number 0037-007, project number 0039-011,
project number 0069-011, project number 0082-004, project number
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD14305-01-9
S. 448 2
0090-006, project number 0091-011, project number 0094-012, project
number 0095-012, project number 0192-007, project number 0200-011,
project number 0304-011, project number 7999-011, project number
7999-012, project number 7999-013, project number 0676-001, and project
number 2606-004; or
(iii) submitted to the commissioner and identified as project number
0027-008, project number 0032-008, project number 0043-010, project
number 0045-007, project number 0076-007, project number 0195-027,
project number 0205-014, project number 0206-013, project number
0301-012, project number 7999-014, and project number 7999-015; or
(iv) submitted to the commissioner and identified as project number
0003-010, project number 0017-008, project number 0054-006, project
number 0072-007, project number 0081-006, project number 0084-003,
project number 0093-005, project number 0203-015, project number
0305-009, project number 0306-012, project number 7999-016, and project
number 7999-017 may be financed through a special program agreement with
the state of New York municipal bond bank agency pursuant to the
provisions of section 2435-a of the public authorities law; OR
(V) SUBMITTED TO THE COMMISSIONER AND IDENTIFIED AS PROJECT NUMBER
0018-004, PROJECT NUMBER 0053-007, PROJECT NUMBER 0059-007, PROJECT
NUMBER 0061-010, PROJECT NUMBER 0064-006, PROJECT NUMBER 0065-010,
PROJECT NUMBER 0202-012, PROJECT NUMBER 7999-018, AND PROJECT NUMBER
7999-019 MAY BE FINANCED THROUGH A SPECIAL PROGRAM AGREEMENT WITH THE
STATE OF NEW YORK MUNICIPAL BOND BANK AGENCY PURSUANT TO THE PROVISIONS
OF SECTION 2435-A OF THE PUBLIC AUTHORITIES LAW.
Provided, however, that no more than nine projects submitted pursuant
to paragraph (i) of this subdivision and twenty projects submitted
pursuant to paragraph (ii) of this subdivision and eleven projects
submitted pursuant to paragraph (iii) of this subdivision and twelve
projects submitted pursuant to paragraph (iv) of this subdivision AND
NINE PROJECTS SUBMITTED PURSUANT TO PARAGRAPH (V) OF THIS SUBDIVISION,
once approved for aid by the commissioner, may be financed pursuant to
this subdivision. It shall be the duty of the JSC board, the city school
district and the city to compare the financing available for such
projects through the Erie county industrial development agency with
financing available through the state of New York municipal bond bank
agency, and to employ the financing mechanism that will result in the
lowest cost to the taxpayers of the city and the state. It shall be the
duty of the JSC board, the city school district, the city and the Erie
county industrial development agency to share with the state of New York
municipal bond bank agency any information in their possession that is
required by the state of New York municipal bond bank agency to deter-
mine the cost of financing such projects and to compute the interest
rate that would have been applicable to a bond issuance by the state of
New York municipal bond bank agency in the event that financing is
obtained through the Erie county industrial development agency. Any
failure to provide such information within thirty days of receipt of a
request from the state of New York municipal bond bank agency shall be
deemed to be a failure of the city school district to submit the data
needed to compute the apportionment of state building aid, and the
commissioner shall withhold such apportionment until such information is
fully submitted. Upon request of the commissioner, the director of the
state of New York municipal bond bank agency shall submit such reports
as the commissioner may require on the financing of such projects and/or
the interest rate that would have been applicable to such projects if
they had been financed through such agency.
S. 448 3
(d) Notwithstanding subdivision (a) of this section, contracts for the
renovation, rehabilitation or reconstruction of an educational facility
that has been submitted to the commissioner and identified as project
number 7999-010, project number 7999-012, project number 0676-001,
project number 7999-015 [and], project number 7999-016, AND PROJECT
NUMBER 7999-019 need not be awarded pursuant to the process required in
such subdivision.
(L) NOTWITHSTANDING ANY OTHER PROVISION OF LAW TO THE CONTRARY, IF THE
TOTAL PROJECT COST ASSOCIATED WITH THE PROJECTS AUTHORIZED PURSUANT TO
PARAGRAPH (V) OF SUBDIVISION (B) OF THIS SECTION EXCEEDS THE ESTIMATED
TOTAL PROJECT COST OF 195 MILLION DOLLARS, THEN THE JSC BOARD SHALL
REPORT SUCH INFORMATION, ALONG WITH EXPLANATORY DOCUMENTATION REGARDING
THE INCREASE IN COST, TO THE GOVERNOR, THE NEW YORK STATE COMPTROLLER,
THE COMMISSIONER, THE TEMPORARY PRESIDENT OF THE SENATE AND THE SPEAKER
OF THE ASSEMBLY.
(M) NOTWITHSTANDING ANY OTHER PROVISION OF LAW TO THE CONTRARY, THE
JSC BOARD SHALL SUBMIT ESTIMATED PROJECT COSTS FOR THE PROJECTS AUTHOR-
IZED PURSUANT TO PARAGRAPH (V) OF SUBDIVISION (B) OF THIS SECTION AFTER
THE COMPLETION OF SCHEMATIC PLANS AND SPECIFICATIONS FOR REVIEW BY THE
COMMISSIONER. IF THE TOTAL PROJECT COSTS ASSOCIATED WITH SUCH PROJECTS
EXCEED THE SUM OF THE ESTIMATED INDIVIDUAL APPROVED COST ALLOWANCES OF
EACH BUILDING PROJECT BY MORE THAN THE LESSER OF $20 MILLION OR TEN
PERCENT OF THE APPROVED COSTS, AND THE CITY SCHOOL DISTRICT HAS NOT
OTHERWISE DEMONSTRATED TO THE SATISFACTION OF THE NEW YORK STATE EDUCA-
TION DEPARTMENT THE AVAILABILITY OF ADDITIONAL LOCAL SHARES FOR SUCH
EXCESS COSTS, THEN THE JSC BOARD SHALL NOT PROCEED WITH THE PREPARATION
OF FINAL PLANS AND SPECIFICATIONS FOR SUCH PROJECTS UNTIL THE PROJECTS
HAVE BEEN REDESIGNED OR VALUE-ENGINEERED TO REDUCE ESTIMATED PROJECT
COSTS SO AS NOT TO EXCEED THE ABOVE COST LIMITS.
(N) NOTWITHSTANDING ANY OTHER PROVISION OF LAW TO THE CONTRARY, THE
JSC BOARD SHALL SUBMIT ESTIMATED PROJECT COSTS FOR THE PROJECTS AUTHOR-
IZED PURSUANT TO PARAGRAPH (V) OF SUBDIVISION (B) OF THIS SECTION AFTER
THE COMPLETION OF FIFTY PERCENT OF THE FINAL PLANS AND SPECIFICATIONS
FOR REVIEW BY THE COMMISSIONER. IF THE TOTAL PROJECT COSTS ASSOCIATED
WITH SUCH PROJECTS EXCEED THE SUM OF THE ESTIMATED INDIVIDUAL APPROVED
COST ALLOWANCE OF EACH BUILDING PROJECT BY MORE THAN THE LESSER OF 20
MILLION DOLLARS OR TEN PERCENT OF THE APPROVED COSTS, AND THE CITY
SCHOOL DISTRICT HAS NOT OTHERWISE DEMONSTRATED TO THE SATISFACTION OF
THE NEW YORK STATE EDUCATION DEPARTMENT THE AVAILABILITY OF ADDITIONAL
LOCAL SHARE FOR SUCH EXCESS COSTS, THEN THE JSC BOARD SHALL NOT PROCEED
WITH THE COMPLETION OF THE REMAINING FIFTY PERCENT OF THE PLANS AND
SPECIFICATIONS FOR SUCH PROJECTS UNTIL THE PROJECTS HAVE BEEN REDESIGNED
OR VALUE-ENGINEERED TO REDUCE ESTIMATED PROJECT COSTS SO AS NOT TO
EXCEED THE ABOVE COST LIMITS.
S 3. This act shall take effect immediately.