S T A T E O F N E W Y O R K
________________________________________________________________________
7555
I N S E N A T E
June 4, 2012
___________
Introduced by Sen. MARTINS -- (at request of the State Comptroller) --
read twice and ordered printed, and when printed to be committed to
the Committee on Rules
AN ACT to amend the local finance law, in relation to making technical
amendments to the time frame within which a governing board of the
municipality or school district authorized to incur debt to finance a
deficit may make adjustments to its proposed budget; updating the list
of types of obligations which may be issued by municipalities, school
districts or district corporations; and to amend chapter 386 of the
laws of 2010, amending the local finance law relating to the private
sale of bonds, in relation to eliminating the expiration and repeal of
such provisions
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Paragraph d of section 10.10 of the local finance law, as
added by chapter 341 of the laws of 2007, is amended to read as follows:
d. beginning with the fiscal year during which the municipality or
school district is authorized to incur debt to finance the deficit, to
and including the last fiscal year during which such debt or any debt
incurred to refund such debt is outstanding, the chief executive officer
or other individual or individuals responsible for the preparation of
the tentative budget, or in the case of a town, the preliminary budget,
shall submit the tentative or preliminary budget for the next succeeding
fiscal year to the state comptroller and, in the case of a school
district, also to the commissioner of education, no later than thirty
days before the date scheduled for the governing board's vote on the
adoption of the final budget or the last date on which the budget may be
finally adopted, whichever is sooner. The state comptroller and, in the
case of a school district, the commissioner of education, shall examine
such proposed budget and make such recommendations as deemed appropriate
thereon to the municipality or school district prior to the adoption of
the budget, but no later than ten days before the date scheduled for the
governing board's vote on the adoption of the final budget or the last
date on which the budget must be adopted, whichever is sooner. Such
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD14996-01-2
S. 7555 2
recommendations shall be made after examination into the estimates of
revenues and expenditures of such municipality or school district. The
governing board of the municipality or school district, no later than
five days prior to the adoption of the budget, shall review any such
recommendations and may make adjustments to its proposed budget consist-
ent with any recommendations made by the state comptroller and, in the
case of a school district, by the commissioner of education[, within
fifteen days after receipt of any such recommendations]. Any recommenda-
tions that the board rejects shall be explained in writing to the state
comptroller and, in the case of recommendations made by the commissioner
of education, to the commissioner. The action or inaction of the state
comptroller or the commissioner of education under this section shall
not be construed to affect the legal validity of any budget of the muni-
cipality or school district nor to affect the powers or duties of the
municipality or school district with respect to the local budget proc-
ess, provided, however, that the municipality or school district may not
issue bonds for any object or purpose unless and until adjustments to
its proposed budget consistent with any recommendations made by the
state comptroller and, in the case of a school district, by the commis-
sioner of education, are made, or any such recommendations that are
rejected have been explained in writing to the state comptroller and, in
the case of school districts, the commissioner of education.
S 2. Paragraph a of section 20.00 of the local finance law is amended
by adding a new subdivision 12 to read as follows:
12. DEFICIENCY NOTES.
S 3. Section 14 of chapter 386 of the laws of 2010, amending the local
finance law relating to the private sale of bonds, is amended to read as
follows:
S 14. This act shall take effect immediately[; provided, however, that
the provisions of sections two, three, four and five of this act shall
expire June 1, 2012 when upon such date the provisions of such sections
shall be deemed repealed].
S 4. This act shall take effect immediately; provided, however, if
section three of this act shall become a law on or after June 1, 2012
such section shall take effect immediately and shall be deemed to have
been in full force and effect on and after June 1, 2012.