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

    S. 2607--A                                            A. 3007--A

                      S E N A T E - A S S E M B L Y

                            January 22, 2013
                               ___________

IN  SENATE -- A BUDGET BILL, submitted by the Governor pursuant to arti-
  cle seven of the Constitution -- read twice and ordered  printed,  and
  when  printed to be committed to the Committee on Finance -- committee
  discharged, bill amended, ordered reprinted as amended and recommitted
  to said committee

IN ASSEMBLY -- A BUDGET BILL, submitted  by  the  Governor  pursuant  to
  article  seven  of  the  Constitution -- read once and referred to the
  Committee on Ways and Means --  committee  discharged,  bill  amended,
  ordered reprinted as amended and recommitted to said committee

AN  ACT  in  relation  to school district eligibility for an increase in
  apportionment of  school  aid  and  implementation  of  standards  for
  conducting annual professional performance reviews to determine teach-
  er  and  principal  effectiveness;  to  amend  the  education  law, in
  relation to contracts for excellence, expenses for computer equipment,
  accountability of school districts, the financing of charter  schools,
  apportionment of school aid, calculation of the gap elimination resto-
  ration  amount,  establishment  of  a  community  schools and extended
  learning time grant program, duties of school districts and the  costs
  of  certain  tuition  maintenance and transportation; to amend chapter
  756 of the laws of 1992 relating to funding a program for  work  force
  education conducted by the consortium for worker education in New York
  city,  in relation to apportionment and reimbursement; and in relation
  to extending the expiration of certain provisions;  to  amend  chapter
  169  of the laws of 1994 relating to certain provisions related to the
  1994-95 state operations, aid to localities, capital projects and debt
  service budgets; to amend chapter 82 of the laws of 1995, amending the
  education law and certain other laws relating to state aid  to  school
  districts  and  the  appropriation of funds for the support of govern-
  ment; to amend chapter 147 of the laws of 2001 amending the  education
  law  relating  to  conditional appointment of school district, charter
  school or BOCES employees; to amend chapter 425 of the  laws  of  2002
  amending  the  education law relating to the provision of supplemental
  educational services, attendance at  a  safe  public  school  and  the
  suspension  of pupils who bring a firearm to or possess a firearm at a
  school, to amend chapter 101 of the laws of 2003 amending  the  educa-
  tion law relating to implementation of the No Child Left Behind Act of

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
              

                      [ ] is old law to be omitted.
                                                           LBD12572-03-3

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  2001, in relation to extending the expiration of certain provisions of
  such  chapters;  to amend chapter 472 of the laws of 1998 amending the
  education law  relating  to  the  lease  of  school  buses  by  school
  districts, in relation to extending the provisions of such chapter; in
  relation  to school bus driver training; in relation to the support of
  public  libraries;  to  provide  special  apportionment   for   salary
  expenses;   to   provide  special  apportionment  for  public  pension
  expenses; in relation to suballocation of certain education department
  accruals; in relation to purchases by  the  city  school  district  of
  Rochester; and providing for the repeal of certain provisions relating
  to  the  suballocation  of certain education department accruals (Part
  A); to amend the education law and  the  public  authorities  law,  in
  relation  to  the  acquisition,  design, construction, reconstruction,
  rehabilitation, improvement and financing of dormitory facilities  for
  the  state university of New York (Part B); to amend chapter 57 of the
  laws of 2005 amending the labor law and other  laws  implementing  the
  state fiscal plan for the 2005-2006 state fiscal year, relating to the
  New  York  state  higher  education capital matching grant program for
  independent colleges, in relation to the New York state higher  educa-
  tion  matching  grant  program for independent colleges and the effec-
  tiveness thereof (Part C); to amend the education law, in relation  to
  establishing  the Next Generation NY Job Linkage Program Act (Part D);
  to amend the social services law, in relation to increasing the stand-
  ards of monthly need for aged, blind and disabled  persons  living  in
  the  community  (Part E); to amend the private housing finance law, in
  relation to the homeless housing and assistance program; and to repeal
  certain provisions of the social services law relating  thereto  (Part
  F);  to  amend  the  executive  law  and  the  social services law, in
  relation  to  consolidating  the  youth  development  and  delinquency
  prevention program and the special delinquency prevention program; and
  to  repeal  certain  provisions  of the executive law relating thereto
  (Part G); to amend the executive law, the family court  act,  and  the
  social  services  law, in relation to juvenile justice reforms; and to
  repeal certain provisions of the executive law and  the  family  court
  act  relating  thereto  (Subpart  A);  to  amend the executive law, in
  relation to allowing the department of civil service, in  consultation
  with  the  commissioner of the office of children and family services,
  to prescribe qualifications of facility director positions (Subpart B)
  (Part H); to amend the executive law, the public health  law  and  the
  social  services  law,  in relation to the merger of the office of the
  welfare inspector general with the office of  the  inspector  general;
  and to repeal certain provisions of the executive law relating thereto
  (Part I); to amend the real property tax law, in relation to providing
  for the registration of recipients of STAR exemptions, and eliminating
  waste,  fraud  and  abuse  in  the STAR program (Part J); to amend the
  private housing finance law, in relation to the community preservation
  program; and to repeal articles 16 and 17 of such law relating thereto
  (Part K); to amend the public authorities law and the private  housing
  finance  law,  in relation to modernizing the investment powers of the
  state of New York mortgage agency  and  the  New  York  state  housing
  finance agency; and to repeal certain provisions of the public author-
  ities  law  and the private housing finance law relating thereto (Part
  L); to utilize reserves in the project pool insurance account  of  the
  mortgage  insurance  fund  for  various  housing purposes (Part M); to
  amend the labor law, in relation to the powers of the commissioner  of
  labor  and  to  repeal  subdivision  17 of section 100 of the economic

S. 2607--A                          3                         A. 3007--A

  development law relating to the operation of  the  state  data  center
  (Part  N); to amend the labor law, in relation to increasing unemploy-
  ment insurance benefits and contributions, to entitlement  and  eligi-
  bility  criteria,  to work search requirements, to relieving employers
  of charges for separations caused by misconduct and voluntarily  leav-
  ing  employment  without good cause, to reduction of benefits based on
  pensions and dismissal pay, to  enhanced  penalties,  in  relation  to
  fraudulently  obtained  benefits  and  new penalties for employers who
  cause overpayments by failing to  timely  and  accurately  respond  to
  information  about  claims,  to approving employer shared work benefit
  plans, and to the interest assessment surcharge; and to amend  chapter
  62  of the laws of 2003, amending the state finance law and other laws
  relating to authorizing and directing the state  comptroller  to  loan
  money  to certain funds and accounts, in relation to the effectiveness
  thereof; to repeal certain provisions of the labor law relating there-
  to; and providing for the repeal of certain provisions upon expiration
  thereof (Part O); to amend the labor law, in relation to  the  minimum
  wage  and  making  technical corrections relating thereto (Part P); to
  amend the civil service law, in relation to the  expiration  of  para-
  graph  d of subdivision 4 of section 209 of such law and the authority
  of certain public arbitration panels thereunder (Part Q); and to amend
  the racing, pari-mutuel wagering and breeding law, in relation to  the
  placement of casino gambling facilities and to amend the state finance
  law, in relation to establishing the casino revenue fund (Part R)

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

  Section 1. This act enacts into law major  components  of  legislation
which are necessary to implement the state fiscal plan for the 2013-2014
state  fiscal  year.  Each  component  is wholly contained within a Part
identified as Parts A through R. The effective date for each  particular
provision contained within such Part is set forth in the last section of
such Part. Any provision in any section contained within a Part, includ-
ing the effective date of the Part, which makes a reference to a section
"of  this  act", when used in connection with that particular component,
shall be deemed to mean and refer to the corresponding  section  of  the
Part  in  which  it  is  found. Section three of this act sets forth the
general effective date of this act.

                                 PART A

  Section 1.  1. As used in this section:
  a. "APPR past non-compliance penalty" shall mean the sum of the annual
increases in apportionments withheld pursuant to section 1 of part A  of
chapter 57 of the laws of 2012 and subdivision 2 of this section for the
base year and each prior school year;
  b.  "base  year" shall mean the base year as defined in paragraph b of
subdivision 1 of section 3602 of the education law; and
  c. "current year" shall mean the current year as defined in  paragraph
a of subdivision 1 of section 3602 of the education law.
  2.  Notwithstanding  any  inconsistent  provision  of  law,  no school
district shall be eligible for an apportionment of general  support  for
public  schools  from the funds appropriated for the 2013-14 school year
and thereafter in excess  of  the  amount  apportioned  to  such  school

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district  in  the  base  year  unless such school district has submitted
documentation that has been approved by the commissioner of education by
September 1 of the current year, demonstrating that it has fully  imple-
mented  the  standards and procedures for conducting annual professional
performance reviews of classroom teachers  and  building  principals  in
accordance  with the requirements of section 3012-c of the education law
and the commissioner of education's regulations.
  3. For the 2013-14 school year and  thereafter  the  apportionment  of
general  support  for public schools from the funds appropriated for the
2013-14 school year and thereafter shall be reduced  by  the  APPR  past
non-compliance  penalty. Such reduction shall not occur prior to April 1
of the current year.
  4. If any payments of ineligible amounts pursuant  to  subdivisions  2
and 3 of this section were made, and the school district has not submit-
ted  documentation  that has been approved by the commissioner of educa-
tion by September 1 of the current school year demonstrating that it has
fully implemented the standards and  procedures  for  conducting  annual
professional  performance  reviews  of  classroom  teachers and building
principals in accordance with the requirements of section 3012-c of  the
education  law and the regulations of the commissioner of education, the
total amount of such payments shall be deducted by the  commissioner  of
education  from future payments to the school district; provided further
that, if the amount of the deduction is greater  than  the  sum  of  the
amounts available for such deductions in the applicable school year, the
remainder  of the deduction shall be withheld from payments scheduled to
be made to the school district pursuant to section 3609-a of the  educa-
tion law for the subsequent school year.
  S  2.  Paragraph  e of subdivision 1 of section 211-d of the education
law, as amended by section 2 of part A of chapter  57  of  the  laws  of
2012, is amended to read as follows:
  e.  Notwithstanding  paragraphs  a and b of this subdivision, a school
district that submitted a contract for excellence for the  two  thousand
eight--two  thousand nine school year shall submit a contract for excel-
lence for the  two  thousand  nine--two  thousand  ten  school  year  in
conformity  with the requirements of subparagraph (vi) of paragraph a of
subdivision two of this section unless all schools in the  district  are
identified  as  in  good  standing  and  provided further that, a school
district that submitted a contract for excellence for the  two  thousand
nine--two  thousand  ten school year, unless all schools in the district
are identified as in good standing, shall submit a contract  for  excel-
lence for the two thousand eleven--two thousand twelve school year which
shall,  notwithstanding  the  requirements of subparagraph (vi) of para-
graph a of subdivision two of this section, provide for the  expenditure
of  an  amount  which  shall  be not less than the product of the amount
approved by the commissioner in the contract for excellence for the  two
thousand   nine--two   thousand  ten  school  year,  multiplied  by  the
district's gap elimination adjustment percentage  and  provided  further
that, a school district that submitted a contract for excellence for the
two thousand eleven--two thousand twelve school year, unless all schools
in  the  district  are  identified  as  in good standing, shall submit a
contract for excellence for the two thousand twelve--two thousand  thir-
teen  school  year  which  shall,  notwithstanding  the  requirements of
subparagraph (vi) of paragraph a of subdivision  two  of  this  section,
provide  for  the  expenditure of an amount which shall be not less than
the amount approved by the commissioner in the contract  for  excellence
for  the  two  thousand  eleven--two  thousand  twelve  school  year AND

S. 2607--A                          5                         A. 3007--A

PROVIDED FURTHER THAT, A SCHOOL DISTRICT THAT SUBMITTED A  CONTRACT  FOR
EXCELLENCE  FOR  THE  TWO  THOUSAND TWELVE--TWO THOUSAND THIRTEEN SCHOOL
YEAR, UNLESS ALL SCHOOLS IN THE  DISTRICT  ARE  IDENTIFIED  AS  IN  GOOD
STANDING,  SHALL  SUBMIT  A CONTRACT FOR EXCELLENCE FOR THE TWO THOUSAND
THIRTEEN--TWO THOUSAND FOURTEEN SCHOOL YEAR WHICH SHALL, NOTWITHSTANDING
THE REQUIREMENTS OF SUBPARAGRAPH (VI) OF PARAGRAPH A OF SUBDIVISION  TWO
OF THIS SECTION, PROVIDE FOR THE EXPENDITURE OF AN AMOUNT WHICH SHALL BE
NOT  LESS  THAN  THE AMOUNT APPROVED BY THE COMMISSIONER IN THE CONTRACT
FOR EXCELLENCE FOR THE TWO THOUSAND TWELVE--TWO THOUSAND THIRTEEN SCHOOL
YEAR.  For purposes of this paragraph, the "gap  elimination  adjustment
percentage"  shall be calculated as the sum of one minus the quotient of
the sum of the school district's net gap elimination adjustment for  two
thousand  ten--two  thousand  eleven computed pursuant to chapter fifty-
three of the laws of two thousand ten,  making  appropriations  for  the
support  of  government,  plus  the  school  district's  gap elimination
adjustment for two thousand  eleven--two  thousand  twelve  as  computed
pursuant  to  chapter  fifty-three  of  the laws of two thousand eleven,
making appropriations for the support of the  local  assistance  budget,
including support for general support for public schools, divided by the
total aid for adjustment computed pursuant to chapter fifty-three of the
laws of two thousand eleven, making appropriations for the local assist-
ance  budget,  including support for general support for public schools.
Provided, further, that such amount shall be  expended  to  support  and
maintain  allowable programs and activities approved in the two thousand
nine--two thousand ten school year or to support new or expanded  allow-
able programs and activities in the current year.
  S  3. Subdivision 1 of section 753 of the education law, as amended by
section 4 of part A-1 of chapter 58 of the laws of 2011, is  amended  to
read as follows:
  1. In addition to any other apportionment under this chapter, a school
district  shall be eligible for an apportionment under the provisions of
this section for approved expenses for (i)  the  purchase  or  lease  of
micro  and/or  mini  computer  equipment  or terminals for instructional
purposes or (ii) technology equipment, as  defined  in  paragraph  c  of
subdivision  two  of  this  section, used for instructional purposes, or
(iii) for the repair of such equipment and training and  staff  develop-
ment  for  instructional  purposes  as provided hereinafter, or (iv) for
expenses incurred on or after July first, two thousand eleven, any items
of expenditure that  are  eligible  for  an  apportionment  pursuant  to
sections  seven  hundred  one, seven hundred eleven and/or seven hundred
fifty-one of this title, where such items are designated by  the  school
district  as eligible for aid pursuant to this section, provided, howev-
er, that if aided pursuant to this section, such expenses shall  not  be
aidable pursuant to any other section of law. Such aid shall be provided
pursuant  to  a plan developed by the district which demonstrates to the
satisfaction of the commissioner that the instructional  computer  hard-
ware needs of the district's public school students have been adequately
met  and  that the school district has provided for the loan of instruc-
tional computer hardware to students legally attending nonpublic schools
pursuant to section seven hundred  fifty-four  of  this  article.    The
apportionment  shall  equal  the  lesser of such approved expense in the
base year or, the product of (i) the technology factor, (ii) the sum  of
the  public  school district enrollment and the nonpublic school enroll-
ment in the base year as defined in subparagraphs two and three of para-
graph n of subdivision one of section thirty-six  hundred  two  of  this
chapter,  and  (iii)  the  building aid ratio, as defined in subdivision

S. 2607--A                          6                         A. 3007--A

four of section thirty-six hundred two of this  chapter.    AID  PAYABLE
PURSUANT TO THIS SECTION SHALL BE DEEMED FINAL AND NOT SUBJECT TO CHANGE
AFTER  APRIL THIRTIETH OF THE SCHOOL YEAR FOR WHICH PAYMENT WAS DUE. For
aid  payable  in  the two thousand seven--two thousand eight school year
and thereafter, the technology factor shall be twenty-four  dollars  and
twenty  cents.  A  school  district  may use up to twenty percent of the
product of (i) the technology factor, (ii) the sum of the public  school
district enrollment and the nonpublic school enrollment in the base year
as  defined in subparagraphs two and three of paragraph n of subdivision
one of section thirty-six hundred two of this  chapter,  and  (iii)  the
building aid ratio for the repair of instructional computer hardware and
technology  equipment  and  training  and staff development for instruc-
tional purposes pursuant to a plan submitted to the commissioner.
  S 4. Subdivision 2 of section 2116-b of the education law, as added by
chapter 263 of the laws of 2005, is amended to read as follows:
  2. School districts of less than eight teachers, school districts with
actual general fund expenditures totaling less than five million dollars
in the previous school year, or school districts with actual  enrollment
of  less  than  [three  hundred]  ONE  THOUSAND students in the previous
school year shall be exempt from this requirement. Any  school  district
claiming  such exemption shall annually certify to the commissioner that
such school district meets the requirements set forth in  this  subdivi-
sion.
  S  5.  Paragraph (a) of subdivision 1 of section 2856 of the education
law, as amended by section 21 of part A of chapter 58  of  the  laws  of
2011, is amended to read as follows:
  (a)  The  enrollment  of  students  attending charter schools shall be
included in the enrollment, attendance, membership and,  if  applicable,
count  of students with disabilities of the school district in which the
pupil resides. The charter school shall report  all  such  data  to  the
school  districts  of residence in a timely manner. Each school district
shall report such enrollment, attendance  and  count  of  students  with
disabilities  to  the department. The school district of residence shall
pay directly to the charter school for  each  student  enrolled  in  the
charter  school  who  resides  in the school district the charter school
basic tuition, which shall be:
  (i) for school years prior to the two thousand nine--two thousand  ten
school year and for school years following the [two thousand twelve--two
thousand  thirteen]  TWO THOUSAND THIRTEEN--TWO THOUSAND FOURTEEN school
year, an amount equal to one hundred percent of  the  amount  calculated
pursuant to paragraph f of subdivision one of section thirty-six hundred
two  of  this  chapter for the school district for the year prior to the
base year increased by the percentage change in the state total approved
operating expense calculated pursuant to paragraph t of subdivision  one
of  section  thirty-six hundred two of this chapter from two years prior
to the base year to the base year;
  (ii) for the two thousand nine--two  thousand  ten  school  year,  the
charter  school  basic  tuition  shall  be  the  amount  payable by such
district as charter school basic tuition for the two thousand eight--two
thousand nine school year;
  (iii) for the two thousand ten--two thousand eleven through [two thou-
sand twelve--two thousand thirteen] TWO THOUSAND THIRTEEN--TWO  THOUSAND
FOURTEEN  school  years,  the  charter school basic tuition shall be the
basic tuition computed for the two  thousand  ten--two  thousand  eleven
school year pursuant to the provisions of subparagraph (i) of this para-
graph.

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  S  6.  Paragraph (a) of subdivision 1 of section 2856 of the education
law, as amended by section 22 of part A of chapter 58  of  the  laws  of
2011, is amended to read as follows:
  (a)  The  enrollment  of  students  attending charter schools shall be
included in the enrollment, attendance  and,  if  applicable,  count  of
students  with  disabilities  of  the school district in which the pupil
resides. The charter school shall report all such  data  to  the  school
districts  of  residence  in a timely manner. Each school district shall
report such enrollment, attendance and count of students with  disabili-
ties  to  the  department.  The  school  district of residence shall pay
directly to the charter school for each student enrolled in the  charter
school  who  resides  in  the  school  district the charter school basic
tuition which shall be:
  (i) for school years prior to the two thousand nine--two thousand  ten
school year and for school years following the [two thousand twelve--two
thousand  thirteen]  TWO THOUSAND THIRTEEN--TWO THOUSAND FOURTEEN school
year, an amount equal to one hundred percent of  the  amount  calculated
pursuant to paragraph f of subdivision one of section thirty-six hundred
two  of  this  chapter for the school district for the year prior to the
base year increased by the percentage change in the state total approved
operating expense calculated pursuant to paragraph t of subdivision  one
of  section  thirty-six hundred two of this chapter from two years prior
to the base year to the base year;
  (ii) for the two thousand nine--two  thousand  ten  school  year,  the
charter  school  basic  tuition  shall  be  the  amount  payable by such
district as charter school basic tuition for the two thousand eight--two
thousand nine school year;
  (iii) for the two thousand ten--two thousand eleven through [two thou-
sand twelve--two thousand thirteen] TWO THOUSAND THIRTEEN--TWO  THOUSAND
FOURTEEN  school  years,  the  charter school basic tuition shall be the
basic tuition computed for the two  thousand  ten--two  thousand  eleven
school year pursuant to the provisions of subparagraph (i) of this para-
graph.
  S 7. Intentionally omitted.
  S  8.  The closing paragraph of subdivision 5-a of section 3602 of the
education law, as amended by section 27 of part A of chapter 58  of  the
laws of 2011, is amended to read as follows:
  For the two thousand eight--two thousand nine school year, each school
district  shall  be entitled to an apportionment equal to the product of
fifteen percent and the additional apportionment  computed  pursuant  to
this  subdivision  for the two thousand seven--two thousand eight school
year. For the two thousand nine--two thousand ten through  two  thousand
[twelve]  FOURTEEN--two  thousand  [thirteen] FIFTEEN school years, each
school district shall be entitled  to  an  apportionment  equal  to  the
amount  set  forth  for such school district as "SUPPLEMENTAL PUB EXCESS
COST" under the heading "2008-09 BASE  YEAR  AIDS"  in  the  school  aid
computer  listing  produced by the commissioner in support of the budget
for the two thousand nine--two thousand ten  school  year  and  entitled
"SA0910".
  S 9. Subdivision 9 of section 3602 of the education law, as amended by
section  16  of  part B of chapter 57 of the laws of 2007, is amended to
read as follows:
  9. Aid for conversion to full day kindergarten. School  districts  may
make  available  full day kindergarten programs for all children wishing
to attend such programs[,].  For aid payable in the two thousand  seven-
-two  thousand  eight school year and thereafter, school districts which

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provided any half-day  kindergarten  programs  or  had  no  kindergarten
programs  in  the  nineteen hundred ninety-six--ninety-seven school year
and in the base year, AND  WHICH  HAVE  NOT  RECEIVED  AN  APPORTIONMENT
PURSUANT  TO  THIS PARAGRAPH IN ANY PRIOR SCHOOL YEAR, shall be eligible
for aid equal to the product of the district's selected  foundation  aid
calculated  pursuant  to  subdivision four of this section multiplied by
the positive difference resulting when the full day kindergarten enroll-
ment of children attending programs in the district in the base year  is
subtracted from such enrollment in the current year.
  S  10. Subdivision 12 of section 3602 of the education law, as amended
by section 35 of part A of chapter 58 of the laws of 2011, is amended to
read as follows:
  12. Academic enhancement aid. A school district that as of April first
of the base year has been continuously identified as a district in  need
of  improvement  for  at  least  five  years shall, for the two thousand
eight--two thousand nine school  year,  be  entitled  to  an  additional
apportionment equal to the positive remainder, if any, of (a) the lesser
of  fifteen  million  dollars or the product of the total foundation aid
base, as defined by paragraph j of  subdivision  one  of  this  section,
multiplied by ten percent (0.10), less (b) the positive remainder of (i)
the  sum of the total foundation aid apportioned pursuant to subdivision
four of this section and the supplemental educational improvement grants
apportioned pursuant to subdivision eight of section thirty-six  hundred
forty-one of this article, less (ii) the total foundation aid base.
  For  the  two  thousand  nine--two  thousand  ten through two thousand
[twelve] FOURTEEN--two thousand [thirteen] FIFTEEN  school  years,  each
school  district  shall  be  entitled  to  an apportionment equal to the
amount set forth for such school district as "EDUCATION GRANTS, ACADEMIC
EN" under the heading "2008-09 BASE YEAR AIDS" in the school aid comput-
er listing produced by the commissioner in support of the budget for the
two thousand nine--two thousand ten school year and  entitled  "SA0910",
and  such  apportionment shall be deemed to satisfy the state obligation
to provide an apportionment pursuant to  subdivision  eight  of  section
thirty-six hundred forty-one of this article.
  S  11. Subdivision 16 of section 3602 of the education law, as amended
by section 18 of part B of chapter 57 of the laws of 2008,  the  opening
paragraph  as  amended by section 36 of part A of chapter 58 of the laws
of 2011, subparagraph 1 of paragraph a as further amended by  section  1
of  part  W  of  chapter  56  of the laws of 2010, is amended to read as
follows:
  16. High tax aid.  Each school district shall be eligible to receive a
high tax aid apportionment in the  two  thousand  [eight]  THIRTEEN--two
thousand  [nine]  FOURTEEN school year, which shall equal the greater of
(i) the sum of the tier 1 high tax aid apportionment[,] AND the  tier  2
high  tax  aid apportionment [and the tier 3 high tax aid apportionment]
or (ii) the  product  of  the  [apportionment  received  by  the  school
district  pursuant  to  this  subdivision in the two thousand seven--two
thousand eight school year,] AMOUNT SET FORTH FOR SUCH  SCHOOL  DISTRICT
AS  "HIGH  TAX  AID"  UNDER  THE HEADING "2012-13 ESTIMATED AIDS" IN THE
SCHOOL AID COMPUTER LISTING PRODUCED BY THE COMMISSIONER IN  SUPPORT  OF
THE  BUDGET  FOR  THE  TWO THOUSAND TWELVE--TWO THOUSAND THIRTEEN SCHOOL
YEAR AND ENTITLED "SA121-3" multiplied by the due-minimum factor,  which
shall equal, for districts with an alternate pupil wealth ratio computed
pursuant  to  paragraph  b  of subdivision three of this section that is
less than [two] ONE, [seventy] FIFTY percent [(0.70)]  (0.50),  and  for
all  other  districts,  [fifty]  THIRTY percent [(0.50)] (0.30).   [Each

S. 2607--A                          9                         A. 3007--A

school district shall be eligible to receive a high tax  aid  apportion-
ment  in  the  two  thousand nine--two thousand ten through two thousand
twelve--two thousand thirteen school years in the amount set  forth  for
such  school  district as "HIGH TAX AID" under the heading "2008-09 BASE
YEAR AIDS" in the school aid computer listing produced  by  the  commis-
sioner  in support of the budget for the two thousand nine--two thousand
ten school year and entitled "SA0910".]
  IN THE TWO THOUSAND FOURTEEN--TWO THOUSAND  FIFTEEN  SCHOOL  YEAR  AND
THEREAFTER, EACH SCHOOL DISTRICT SHALL BE ELIGIBLE TO RECEIVE A HIGH TAX
AID  APPORTIONMENT  IN  THE AMOUNT SET FORTH FOR SUCH SCHOOL DISTRICT AS
"HIGH TAX AID" UNDER THE HEADING "2013-14 ESTIMATED AIDS" IN THE  SCHOOL
AID  COMPUTER  LISTING  PRODUCED  BY  THE COMMISSIONER IN SUPPORT OF THE
EXECUTIVE BUDGET REQUEST SUBMITTED FOR THE  TWO  THOUSAND  THIRTEEN--TWO
THOUSAND FOURTEEN STATE FISCAL YEAR AND ENTITLED "BT131-4".
  a.  Definitions.  (1)  "Residential real property tax levy" shall mean
the school tax levy imposed on residential property, including condomin-
ium properties, in the year commencing in the calendar  year  two  years
prior  to  the  calendar  year  in  which the base year began. The final
update of such data shall be reported by the  commissioner  of  taxation
and  finance to the commissioner by February fifteenth of the base year.
The commissioner of taxation and  finance  shall  adopt  regulations  as
appropriate  to  assure  the  appropriate collection, classification and
reporting of such data for the purposes  of  paying  state  aid  to  the
schools.
  (2)  "Adjusted gross income" shall mean the adjusted gross income of a
school district as used in computation of the district's alternate pupil
wealth ratio pursuant to  paragraph  b  of  subdivision  three  of  this
section,  provided,  however, that for the computation of apportionments
pursuant to this subdivision, the adjusted gross  income  of  a  central
high  school  district  shall  not  equal  the sum of the adjusted gross
income of each of its component school districts.
  (3) "Tax effort ratio" shall mean the quotient of the district's resi-
dential real property tax levy divided by the district's adjusted  gross
income computed to five decimals without rounding.
  (4)  "Tier  1 eligible school district" shall mean any school district
in which (i) the income wealth index, as computed pursuant to  paragraph
d  of subdivision three of this section, is less than [two and one-half]
NINE HUNDRED AND FIFTY-FIVE THOUSANDTHS (.955), and (ii) the expense per
pupil, as computed pursuant to paragraph f of subdivision  one  of  this
section,  is  greater than NINETY-FIVE AND FIVE-TENTHS PERCENT (.955) OF
the statewide average expense per pupil as computed pursuant to subdivi-
sion five of this section, and (iii) the tax  effort  ratio  is  greater
than [three and two-tenths percent (0.032)] FOUR AND FIVE-TENTHS PERCENT
(.045).    For  the [two thousand eight--two thousand nine] TWO THOUSAND
THIRTEEN--TWO THOUSAND FOURTEEN school year, for the purpose of  comput-
ing  aid pursuant to this subdivision, the statewide average expense per
pupil shall be [ten thousand six hundred fifty dollars] TWELVE  THOUSAND
FIVE HUNDRED DOLLARS.
  (5)  "Tier  2 eligible school district" shall mean any school district
in which the tax effort ratio  is  greater  than  five  AND  FIVE-TENTHS
percent (.055).
  [(6)  "Tier 3 eligible school district" shall mean any school district
in which (i) the quotient of (a) the  actual  valuation  of  the  school
district  divided  by  its total wealth pupil units computed pursuant to
subparagraph one of paragraph a of subdivision three  of  this  section,
divided by (b) the adjusted gross income of a school district divided by

S. 2607--A                         10                         A. 3007--A

its  total  wealth  pupil units computed pursuant to subparagraph one of
paragraph b of subdivision three of this section, is greater  than  four
and sixty-two hundredths (4.62), (ii) the combined wealth ratio computed
pursuant to subparagraph one of paragraph c of subdivision three of this
section  is  less than six, and (iii) the regional cost index determined
pursuant to subparagraph two of paragraph a of subdivision four of  this
section is greater than one and three-tenths (1.3).]
  b.  Tier  1 high tax aid apportionment. For any tier 1 eligible school
district, the tier 1 high tax aid apportionment shall be [the greater of
(1)] the product  of  the  public  school  district  enrollment  of  the
district  in  the base year, as computed pursuant to subparagraph two of
paragraph n of subdivision one of this section, multiplied by the  prod-
uct of four hundred [fifty] SEVENTY-FIVE dollars multiplied by the state
sharing  ratio[,  or (2) one hundred thousand dollars] COMPUTED PURSUANT
TO PARAGRAPH G OF SUBDIVISION THREE OF THIS SECTION.
  c. Tier 2 high tax aid apportionment. For any tier 2  eligible  school
district,  the tier 2 high tax aid apportionment shall be the product of
(i) the public school district enrollment of the district  in  the  base
year,  as computed pursuant to subparagraph two of paragraph n of subdi-
vision one of this section, multiplied by (ii) one hundred  [eighty-one]
NINETY-FIVE  thousandths [(0.181)] (0.195) multiplied by (iii) the posi-
tive difference, if any, of the expense per pupil, as computed  pursuant
to  paragraph  f  of subdivision one of this section, less [ten thousand
six hundred sixty] THIRTEEN THOUSAND ONE  HUNDRED  TWENTY-FIVE  dollars,
multiplied  by  (iv)  an  aid ratio computed by subtracting from one AND
THIRTY-SEVEN HUNDREDTHS (1.37) the product obtained by  multiplying  the
alternate  pupil  wealth  ratio computed pursuant to subparagraph one of
paragraph b of subdivision three of this section by [sixty percent]  ONE
AND  TWENTY-THREE  HUNDREDTHS  (1.23),  provided, however, that such aid
ratio shall not be less than zero nor greater than  one,  multiplied  by
(v)  the  regional  cost  index COMPUTED PURSUANT TO SUBPARAGRAPH TWO OF
PARAGRAPH A OF SUBDIVISION FOUR OF THIS SECTION.
  [d. Tier 3 high tax aid apportionment. For any tier 3 eligible  school
district,  the tier 3 high tax aid apportionment shall be the product of
(i) the public school district enrollment of the district  in  the  base
year,  as computed pursuant to subparagraph two of paragraph n of subdi-
vision one of this section, multiplied by (ii) fifty-two dollars, multi-
plied by (iii) the regional cost index.]
  S 12. Paragraph (e) of subdivision 17 of section 3602 of the education
law, as added by section 6 of part A of chapter 57 of the laws of  2012,
is amended and a new paragraph f is added to read as follows:
  [(e)] E. The gap elimination adjustment restoration amount for the two
thousand  thirteen--two  thousand  fourteen  school  year and thereafter
[shall equal the product of the  gap  elimination  percentage  for  such
district  and  the  gap  elimination  adjustment  restoration allocation
established pursuant to subdivision eighteen of this section]  SHALL  BE
COMPUTED BASED ON AN ELECTRONIC DATA FILE USED TO PRODUCE THE SCHOOL AID
COMPUTER  LISTING  PRODUCED BY THE COMMISSIONER IN SUPPORT OF THE EXECU-
TIVE BUDGET REQUEST SUBMITTED FOR THE  2013-14  STATE  FISCAL  YEAR  AND
ENTITLED "BT131-4" AND SHALL EQUAL THE SUM OF (I) THE GREATER OF:
  (A)  THE  PRODUCT  OF (1) THE PRODUCT OF THE EXTRAORDINARY NEEDS INDEX
MULTIPLIED BY TWO HUNDRED TEN DOLLARS AND TWENTY CENTS COMPUTED  TO  TWO
DECIMAL  PLACES  WITHOUT  ROUNDING,  MULTIPLIED BY (2) THE STATE SHARING
RATIO COMPUTED PURSUANT TO PARAGRAPH G  OF  SUBDIVISION  THREE  OF  THIS
SECTION  MULTIPLIED BY (3) THE PUBLIC SCHOOL DISTRICT ENROLLMENT FOR THE
BASE YEAR, CALCULATED PURSUANT TO SUBPARAGRAPH TWO  OF  PARAGRAPH  N  OF

S. 2607--A                         11                         A. 3007--A

SUBDIVISION  ONE  OF  THIS  SECTION, WHERE THE EXTRAORDINARY NEEDS INDEX
SHALL BE THE  QUOTIENT  OF  THE  EXTRAORDINARY  NEEDS  PERCENT  FOR  THE
DISTRICT  COMPUTED  PURSUANT  TO  PARAGRAPH W OF SUBDIVISION ONE OF THIS
SECTION DIVIDED BY FIVE HUNDRED THIRTY-FOUR ONE-THOUSANDTHS (.534); OR
  (B)  THE  PRODUCT OF FORTY PERCENT (0.40) MULTIPLIED BY THE GAP ELIMI-
NATION ADJUSTMENT RESTORATION FOR THE TWO THOUSAND TWELVE--TWO  THOUSAND
THIRTEEN  SCHOOL  YEAR COMPUTED PURSUANT TO PARAGRAPH D OF THIS SUBDIVI-
SION AND (II) THE PRODUCT OF (1) THE POSITIVE DIFFERENCE, IF ANY, OF ONE
AND THIRTY-SEVEN ONE-HUNDREDTHS (1.37) MINUS THE PRODUCT OF THE COMBINED
WEALTH RATIO COMPUTED PURSUANT TO SUBPARAGRAPH ONE  OF  PARAGRAPH  C  OF
SUBDIVISION  THREE  OF  THIS  SECTION MULTIPLIED BY ONE AND TWENTY-THREE
HUNDREDTHS (1.23), MULTIPLIED BY (2) THE PUBLIC SCHOOL DISTRICT  ENROLL-
MENT FOR THE BASE YEAR, CALCULATED PURSUANT TO SUBPARAGRAPH TWO OF PARA-
GRAPH  N  OF  SUBDIVISION  ONE  OF THIS SECTION, MULTIPLIED BY (3) FIFTY
DOLLARS; BUT SHALL BE NO GREATER  THAN  THE  PRODUCT  OF  FORTY-ONE  AND
FIVE-TENTHS  PERCENT  (0.415) AND THE GAP ELIMINATION ADJUSTMENT FOR THE
TWO THOUSAND TWELVE--TWO THOUSAND THIRTEEN SCHOOL YEAR FOR THE DISTRICT.
  F. THE GAP ELIMINATION ADJUSTMENT RESTORATION AMOUNT FOR THE TWO THOU-
SAND FOURTEEN--TWO THOUSAND FIFTEEN SCHOOL  YEAR  AND  THEREAFTER  SHALL
EQUAL  THE  PRODUCT  OF THE GAP ELIMINATION PERCENTAGE FOR SUCH DISTRICT
AND THE GAP ELIMINATION ADJUSTMENT  RESTORATION  ALLOCATION  ESTABLISHED
PURSUANT TO SUBDIVISION EIGHTEEN OF THIS SECTION.
  S  13.  Paragraph  a of subdivision 5 of section 3604 of the education
law, as amended by chapter 161 of the laws of 2005, is amended  to  read
as follows:
  a. State aid adjustments. All errors or omissions in the apportionment
shall  be  corrected by the commissioner. Whenever a school district has
been apportioned less money than that  to  which  it  is  entitled,  the
commissioner may allot to such district the balance to which it is enti-
tled.  Whenever  a  school district has been apportioned more money than
that to which it is entitled, the commissioner may, by an order,  direct
such  moneys  to be paid back to the state to be credited to the general
fund local assistance account for state  aid  to  the  schools,  or  may
deduct  such  amount  from  the  next  apportionment  to be made to said
district, provided, however, that, upon notification of excess  payments
of  aid for which a recovery must be made by the state through deduction
of future aid payments, a school district may request that  such  excess
payments  be  recovered  by  deducting  such  excess  payments  from the
payments due to such school district and payable in the month of June in
(i) the school year in which such notification was received and (ii) the
two succeeding school years, provided further that  there  shall  be  no
interest  penalty  assessed  against  such  district or collected by the
state. Such request shall be made to the commissioner in  such  form  as
the  commissioner  shall  prescribe, and shall be based on documentation
that the total amount to be recovered is in excess of one percent of the
district's total general fund  expenditures  for  the  preceding  school
year.  The  amount to be deducted in the first year shall be the greater
of (i) the sum of the amount of such excess payments that is  recognized
as  a liability due to other governments by the district for the preced-
ing school year and the positive remainder of the district's  unreserved
fund  balance at the close of the preceding school year less the product
of the district's total general  fund  expenditures  for  the  preceding
school year multiplied by five percent, or (ii) one-third of such excess
payments.  The amount to be recovered in the second year shall equal the
lesser of the remaining amount of such excess payments to  be  recovered
or  one-third  of such excess payments, and the remaining amount of such

S. 2607--A                         12                         A. 3007--A

excess payments shall be recovered in the third year.  Provided  further
that,  notwithstanding  any  other  provisions  of this subdivision, any
pending payment of moneys due to such district as a prior  year  adjust-
ment  payable pursuant to paragraph c of this subdivision for aid claims
that had been previously paid as current year aid payments in excess  of
the  amount  to which the district is entitled and for which recovery of
excess payments is to be made  pursuant  to  this  paragraph,  shall  be
reduced  at  the  time  of  actual  payment by any remaining unrecovered
balance of such excess payments, and the remaining scheduled  deductions
of  such  excess payments pursuant to this paragraph shall be reduced by
the commissioner to reflect the amount so recovered.  [The  commissioner
shall certify no payment to a school district based on a claim submitted
later  than three years after the close of the school year in which such
payment was first to be made.  For claims for which payment is first  to
be  made  in  the nineteen hundred ninety-six--ninety-seven school year,
the commissioner shall certify no payment to a school district based  on
a  claim  submitted  later than two years after the close of such school
year.] For claims for which payment is first to be made [in the nineteen
hundred ninety-seven--ninety-eight] PRIOR TO THE TWO THOUSAND  FOURTEEN-
-TWO  THOUSAND  FIFTEEN  school  year [and thereafter], the commissioner
shall certify no payment to a school district based on a claim submitted
later than one year after the close of such school year. FOR CLAIMS  FOR
WHICH  PAYMENT  IS  FIRST  TO  BE MADE IN THE TWO THOUSAND FOURTEEN--TWO
THOUSAND FIFTEEN SCHOOL YEAR  AND  THEREAFTER,  THE  COMMISSIONER  SHALL
CERTIFY NO PAYMENT TO A SCHOOL DISTRICT BASED ON A CLAIM SUBMITTED LATER
THAN  THE  FIRST  OF NOVEMBER OF SUCH SCHOOL YEAR. Provided, however, no
payments shall be barred or reduced where such payment is required as  a
result  of  a  final  audit  of the state. [It is further provided that,
until June thirtieth, nineteen hundred ninety-six, the commissioner  may
grant  a  waiver  from  the  provisions  of  this section for any school
district if it is in the best  educational  interests  of  the  district
pursuant to guidelines developed by the commissioner and approved by the
director  of  the  budget.] FURTHER PROVIDED THAT FOR ANY APPORTIONMENTS
PROVIDED PURSUANT TO SECTIONS SEVEN HUNDRED ONE, SEVEN  HUNDRED  ELEVEN,
SEVEN  HUNDRED  FIFTY-ONE, SEVEN HUNDRED FIFTY-THREE, THIRTY-SIX HUNDRED
TWO, THIRTY-SIX HUNDRED  TWO-B,  THIRTY-SIX  HUNDRED  TWO-C,  THIRTY-SIX
HUNDRED TWO-E, THIRTY-SIX HUNDRED TWELVE, AND FORTY-FOUR HUNDRED FIVE OF
THIS  CHAPTER  FOR  THE TWO THOUSAND THIRTEEN--TWO THOUSAND FOURTEEN AND
PRIOR SCHOOL YEARS, THE COMMISSIONER  SHALL  CERTIFY  NO  PAYMENT  TO  A
SCHOOL  DISTRICT,  OTHER  THAN  PAYMENTS PURSUANT TO SUBDIVISIONS SIX-A,
ELEVEN, THIRTEEN AND FIFTEEN OF SECTION THIRTY-SIX HUNDRED TWO  OF  THIS
PART, IN EXCESS OF THE PAYMENT COMPUTED BASED ON AN ELECTRONIC DATA FILE
USED  TO PRODUCE THE SCHOOL AID COMPUTER LISTING PRODUCED BY THE COMMIS-
SIONER IN SUPPORT OF THE EXECUTIVE BUDGET REQUEST SUBMITTED FOR THE  TWO
THOUSAND  THIRTEEN--TWO THOUSAND FOURTEEN STATE FISCAL YEAR AND ENTITLED
"BT131-4", AND FURTHER PROVIDED THAT  FOR  ANY  APPORTIONMENTS  PROVIDED
PURSUANT  TO  SECTIONS  SEVEN  HUNDRED  ONE, SEVEN HUNDRED ELEVEN, SEVEN
HUNDRED FIFTY-ONE, SEVEN HUNDRED FIFTY-THREE,  THIRTY-SIX  HUNDRED  TWO,
THIRTY-SIX  HUNDRED  TWO-B, THIRTY-SIX HUNDRED TWO-C, THIRTY-SIX HUNDRED
TWO-E, THIRTY-SIX HUNDRED TWELVE, AND FORTY-FOUR HUNDRED  FIVE  OF  THIS
CHAPTER  FOR THE TWO THOUSAND FOURTEEN--TWO THOUSAND FIFTEEN SCHOOL YEAR
AND THEREAFTER, THE COMMISSIONER SHALL CERTIFY NO PAYMENT  TO  A  SCHOOL
DISTRICT,  OTHER  THAN  PAYMENTS PURSUANT TO SUBDIVISIONS SIX-A, ELEVEN,
THIRTEEN AND FIFTEEN OF SECTION THIRTY-SIX HUNDRED TWO OF THIS PART,  IN
EXCESS  OF THE PAYMENT COMPUTED BASED ON AN ELECTRONIC DATA FILE USED TO
PRODUCE THE SCHOOL AID COMPUTER LISTING PRODUCED BY THE COMMISSIONER  IN

S. 2607--A                         13                         A. 3007--A

SUPPORT  OF  THE EXECUTIVE BUDGET REQUEST SUBMITTED FOR THE STATE FISCAL
YEAR IN WHICH THE SCHOOL YEAR COMMENCES.
  S 14. The opening paragraph of section 3609-a of the education law, as
amended  by  section  9  of part A of chapter 57 of the laws of 2012, is
amended to read as follows:
  For aid payable in the two thousand seven--two thousand  eight  school
year  [and  thereafter]  THROUGH  THE  TWO THOUSAND TWELVE--TWO THOUSAND
THIRTEEN SCHOOL YEAR, "moneys apportioned" shall mean the lesser of  (i)
the  sum  of  one hundred percent of the respective amount set forth for
each school district as payable pursuant to this section in  the  school
aid  computer  listing for the current year produced by the commissioner
in support of the budget which includes the appropriation for the gener-
al support for public schools for the prescribed payments  and  individ-
ualized  payments due prior to April first for the current year plus the
apportionment payable during the current school year pursuant to  subdi-
vision  six-a  and subdivision fifteen of section thirty-six hundred two
of this part minus any reductions  to  current  year  aids  pursuant  to
subdivision seven of section thirty-six hundred four of this part or any
deduction  from  apportionment  payable  pursuant  to  this  chapter for
collection of a school district basic contribution as defined in  subdi-
vision eight of section forty-four hundred one of this chapter, less any
grants  provided pursuant to subparagraph two-a of paragraph b of subdi-
vision four of section ninety-two-c of the state finance law,  less  any
grants  provided  pursuant  to  subdivision twelve of section thirty-six
hundred forty-one of this article, or (ii) the apportionment  calculated
by  the  commissioner  based  on data on file at the time the payment is
processed; provided however, that for the purposes of any payments  made
pursuant  to this section prior to the first business day of June of the
current year, moneys apportioned shall  not  include  any  aids  payable
pursuant  to  subdivisions  six  and fourteen, if applicable, of section
thirty-six hundred two of this part as current year aid for debt service
on bond anticipation notes and/or bonds first issued in the current year
or any aids payable for  full-day  kindergarten  for  the  current  year
pursuant  to  subdivision nine of section thirty-six hundred two of this
part. The definitions of "base year" and "current year" as set forth  in
subdivision  one  of  section  thirty-six hundred two of this part shall
apply to this section. For aid payable in the two  thousand  twelve--two
thousand  thirteen  school  year, reference to such "school aid computer
listing  for  the  current  year"  shall  mean  the  printouts  entitled
"SA121-3".    FOR AID PAYABLE IN THE TWO THOUSAND THIRTEEN--TWO THOUSAND
FOURTEEN SCHOOL YEAR AND THEREAFTER, "MONEYS APPORTIONED" SHALL MEAN THE
LESSER OF: (I) THE SUM OF ONE HUNDRED PERCENT OF THE  RESPECTIVE  AMOUNT
SET  FORTH  FOR EACH SCHOOL DISTRICT AS PAYABLE PURSUANT TO THIS SECTION
IN THE SCHOOL AID COMPUTER LISTING FOR THE CURRENT YEAR PRODUCED BY  THE
COMMISSIONER  IN  SUPPORT OF THE EXECUTIVE BUDGET REQUEST WHICH INCLUDES
THE APPROPRIATION FOR THE GENERAL SUPPORT FOR  PUBLIC  SCHOOLS  FOR  THE
PRESCRIBED PAYMENTS AND INDIVIDUALIZED PAYMENTS DUE PRIOR TO APRIL FIRST
FOR  THE  CURRENT YEAR PLUS THE APPORTIONMENT PAYABLE DURING THE CURRENT
SCHOOL YEAR PURSUANT TO SUBDIVISIONS SIX-A AND FIFTEEN OF SECTION  THIR-
TY-SIX  HUNDRED  TWO  OF  THIS PART MINUS ANY REDUCTIONS TO CURRENT YEAR
AIDS PURSUANT TO SUBDIVISION SEVEN OF SECTION THIRTY-SIX HUNDRED FOUR OF
THIS PART OR ANY DEDUCTION FROM THE APPORTIONMENT  PAYABLE  PURSUANT  TO
THIS  CHAPTER  FOR COLLECTION OF A SCHOOL DISTRICT BASIC CONTRIBUTION AS
DEFINED IN SUBDIVISION EIGHT OF SECTION FORTY-FOUR HUNDRED ONE  OF  THIS
CHAPTER,  LESS  ANY  GRANTS  PROVIDED  PURSUANT TO SUBPARAGRAPH TWO-A OF
PARAGRAPH B OF SUBDIVISION FOUR OF SECTION  NINETY-TWO-C  OF  THE  STATE

S. 2607--A                         14                         A. 3007--A

FINANCE  LAW, LESS ANY GRANTS PROVIDED PURSUANT TO SUBDIVISION TWELVE OF
SECTION THIRTY-SIX HUNDRED FORTY-ONE OF THIS ARTICLE; OR (II) THE APPOR-
TIONMENT CALCULATED BY THE COMMISSIONER BASED ON DATA  ON  FILE  AT  THE
TIME  THE  PAYMENT IS PROCESSED; PROVIDED HOWEVER, THAT FOR THE PURPOSES
OF ANY PAYMENTS MADE PURSUANT TO THIS SECTION PRIOR TO THE  FIRST  BUSI-
NESS  DAY  OF  JUNE  OF  THE  CURRENT YEAR, MONEYS APPORTIONED SHALL NOT
INCLUDE ANY AIDS PAYABLE PURSUANT TO SUBDIVISIONS SIX AND  FOURTEEN,  IF
APPLICABLE,  OF  SECTION  THIRTY-SIX HUNDRED TWO OF THIS PART AS CURRENT
YEAR AID FOR DEBT SERVICE ON BOND ANTICIPATION NOTES AND/OR BONDS  FIRST
ISSUED IN THE CURRENT YEAR OR ANY AIDS PAYABLE FOR FULL-DAY KINDERGARTEN
FOR  THE CURRENT YEAR PURSUANT TO SUBDIVISION NINE OF SECTION THIRTY-SIX
HUNDRED TWO OF THIS PART. THE DEFINITIONS OF "BASE  YEAR"  AND  "CURRENT
YEAR"  AS SET FORTH IN SUBDIVISION ONE OF SECTION THIRTY-SIX HUNDRED TWO
OF THIS PART SHALL APPLY TO THIS SECTION.
  S 15. Paragraph b of subdivision 2 of section 3612  of  the  education
law,  as  amended  by  section 10 of part A of chapter 57 of the laws of
2012, is amended to read as follows:
  b. Such grants shall be awarded to school districts, within the limits
of funds appropriated therefor, through a competitive process that takes
into consideration the magnitude of any  shortage  of  teachers  in  the
school  district, the number of teachers employed in the school district
who hold temporary licenses to teach in the public schools of the state,
the number of provisionally certified teachers, the fiscal capacity  and
geographic  sparsity  of  the  district,  the number of new teachers the
school district intends to hire in the coming school year and the number
of summer in the city student internships proposed by an eligible school
district, if applicable. Grants provided pursuant to this section  shall
be used only for the purposes enumerated in this section.  Notwithstand-
ing  any  other provision of law to the contrary, a city school district
in a city having a population of one million or more inhabitants receiv-
ing a grant pursuant to this section may use no more than eighty percent
of such grant funds for any  recruitment,  retention  and  certification
costs  associated  with transitional certification of teacher candidates
for the school years two thousand one--two  thousand  two  through  [two
thousand twelve--two thousand thirteen] TWO THOUSAND THIRTEEN--TWO THOU-
SAND FOURTEEN.
  S  16.  Section  3641  of the education law is amended by adding a new
subdivision 6-a to read as follows:
  6-A. COMMUNITY SCHOOL GRANTS.  A. WITHIN THE AMOUNT  APPROPRIATED  FOR
SUCH  PURPOSE, SUBJECT TO A PLAN DEVELOPED BY THE STATE COUNCIL ON CHIL-
DREN AND FAMILIES AND APPROVED BY THE DIRECTOR OF THE BUDGET, THE  STATE
COUNCIL ON CHILDREN AND FAMILIES SHALL AWARD COMPETITIVE GRANTS PURSUANT
TO THIS SUBDIVISION TO ELIGIBLE SCHOOL DISTRICTS TO IMPLEMENT, BEGINNING
IN  THE TWO THOUSAND THIRTEEN--TWO THOUSAND FOURTEEN SCHOOL YEAR, A PLAN
THAT TARGETS SCHOOL BUILDINGS AS COMMUNITY HUBS TO DELIVER CO-LOCATED OR
SCHOOL-LINKED ACADEMIC,  HEALTH,  NUTRITION,  COUNSELING,  LEGAL  AND/OR
OTHER SERVICES TO STUDENTS AND THEIR FAMILIES IN A MANNER THAT WILL LEAD
TO IMPROVED EDUCATIONAL AND OTHER OUTCOMES.
  (1) SUCH PLAN SHALL INCLUDE, BUT NOT BE LIMITED TO:
  (I) THE PROCESS BY WHICH A REQUEST FOR PROPOSALS WILL BE DEVELOPED;
  (II)  THE  SCORING  RUBRIC  BY WHICH SUCH PROPOSALS WILL BE EVALUATED,
PROVIDED THAT SUCH GRANTS SHALL BE AWARDED BASED ON  FACTORS  INCLUDING,
BUT  NOT  LIMITED  TO: MEASURES OF SCHOOL DISTRICT NEED; MEASURES OF THE
NEED OF STUDENTS TO BE SERVED BY  EACH  OF  THE  SCHOOL  DISTRICTS;  THE
SCHOOL  DISTRICT'S  PROPOSAL  TO  TARGET  THE  HIGHEST  NEED SCHOOLS AND

S. 2607--A                         15                         A. 3007--A

STUDENTS; THE SUSTAINABILITY OF THE PROPOSED COMMUNITY SCHOOLS  PROGRAM;
AND PROPOSAL QUALITY;
  (III) THE FORM AND MANNER BY WHICH APPLICATIONS WILL BE SUBMITTED;
  (IV)  THE  MANNER BY WHICH CALCULATION OF THE AMOUNT OF THE AWARD WILL
BE DETERMINED;
  (V) THE TIMELINE FOR THE ISSUANCE AND REVIEW OF APPLICATIONS; AND
  (VI) THE PERFORMANCE BENCHMARKS  THAT  WILL  TRIGGER  PAYMENT  OF  SET
PERCENTAGES OF THE TOTAL AWARD.
  (2) IN ASSESSING PROPOSAL QUALITY, THE COUNCIL SHALL TAKE INTO ACCOUNT
FACTORS INCLUDING, BUT NOT LIMITED TO:
  (I)  THE  EXTENT TO WHICH THE SCHOOL DISTRICT'S PROPOSAL WOULD PROVIDE
SUCH COMMUNITY SERVICES THROUGH PARTNERSHIPS WITH LOCAL GOVERNMENTS  AND
NON-PROFIT ORGANIZATIONS;
  (II)  THE  EXTENT  TO WHICH THE PROPOSAL WOULD PROVIDE FOR DELIVERY OF
SUCH SERVICES DIRECTLY IN SCHOOL BUILDINGS;
  (III) THE EXTENT TO WHICH THE PROPOSAL ARTICULATES HOW  SUCH  SERVICES
WOULD  FACILITATE MEASURABLE IMPROVEMENT IN STUDENT AND FAMILY OUTCOMES;
AND
  (IV) THE EXTENT TO WHICH THE PROPOSAL ARTICULATES AND  IDENTIFIES  HOW
EXISTING  FUNDING  STREAMS  AND  PROGRAMS  WOULD BE USED TO PROVIDE SUCH
COMMUNITY SERVICES.
  B. A RESPONSE TO A REQUEST  FOR  PROPOSALS  ISSUED  PURSUANT  TO  THIS
SUBDIVISION MAY BE SUBMITTED BY A SINGLE SCHOOL DISTRICT OR JOINTLY BY A
CONSORTIUM OF TWO OR MORE SCHOOL DISTRICTS.
  C.  THE  AMOUNT  OF  THE  GRANT AWARD SHALL BE DETERMINED BY THE STATE
COUNCIL ON CHILDREN AND FAMILIES, CONSISTENT  WITH  THE  PLAN  DEVELOPED
PURSUANT  TO  PARAGRAPH  A  OF  THIS  SUBDIVISION, EXCEPT THAT NO SINGLE
DISTRICT MAY BE AWARDED MORE THAN FORTY PERCENT OF THE TOTAL  AMOUNT  OF
GRANT  AWARDS  MADE  PURSUANT  TO THIS SUBDIVISION; AND PROVIDED FURTHER
THAT THE MAXIMUM AWARD TO ANY INDIVIDUAL COMMUNITY SCHOOL SITE SHALL  BE
FIVE  HUNDRED  THOUSAND  DOLLARS;  AND  PROVIDED FURTHER THAT THE AMOUNT
AWARDED WILL BE PAID OUT IN SET PERCENTAGES OVER TIME  UPON  ACHIEVEMENT
OF  THE  PERFORMANCE BENCHMARKS DESCRIBED IN THE PLAN SET FORTH PURSUANT
TO PARAGRAPH A OF THIS SUBDIVISION; AND PROVIDED FURTHER  THAT  NONE  OF
THE  GRANTS AWARDED PURSUANT TO THIS SUBDIVISION MAY BE USED TO SUPPLANT
EXISTING FUNDING.
  D. NOTWITHSTANDING ANY STATE LAW OR REGULATION TO  THE  CONTRARY,  ANY
EXECUTIVE  AGENCY HEAD THAT IS A MEMBER OF THE STATE COUNCIL ON CHILDREN
AND FAMILY SERVICES IS DIRECTED, TO THE EXTENT ALLOWED UNDER FEDERAL LAW
AND REGULATION,  TO  PRIORITIZE  APPLICATIONS  THAT  CO-LOCATE  OR  LINK
PROGRAMMING  RELEVANT  TO  THE PROVISION OF SERVICES IDENTIFIED IN PARA-
GRAPH A OF THIS SUBDIVISION.
  S 17. Section 3641 of the education law is amended  by  adding  a  new
subdivision 6-b to read as follows:
  6-B.  EXTENDED LEARNING GRANTS.  A. WITHIN THE AMOUNT APPROPRIATED FOR
SUCH PURPOSE, SUBJECT TO A PLAN THAT  IS  DEVELOPED  BY  A  THREE-PERSON
PANEL  COMPRISED  OF  THE  COMMISSIONER, AN AGENCY HEAD APPOINTED BY THE
GOVERNOR, AND AN EXPERT IN  EXTENDED  LEARNING  TIME  APPOINTED  BY  THE
GOVERNOR,  AND  THAT  IS  APPROVED  BY  THE  DIRECTOR OF THE BUDGET, THE
COMMISSIONER SHALL AWARD COMPETITIVE PLANNING AND IMPLEMENTATION  GRANTS
PURSUANT  TO  THIS  SUBDIVISION  TO  ELIGIBLE  SCHOOL DISTRICTS THAT PUT
FORWARD A PROPOSAL TO IMPROVE STUDENT OUTCOMES BY ADDING AT LEAST  TWEN-
TY-FIVE  PERCENT  MORE  TIME  TO  THE ACADEMIC CALENDAR BY EXTENDING THE
SCHOOL  DAY,  SCHOOL  YEAR,  OR   SOME   COMBINATION   THEREOF,   EITHER
DISTRICT-WIDE OR IN SELECTED SCHOOL BUILDINGS.
  (1) SUCH PLAN SHALL INCLUDE, BUT NOT BE LIMITED TO:

S. 2607--A                         16                         A. 3007--A

  (I) THE PROCESS BY WHICH A REQUEST FOR PROPOSALS WILL BE DEVELOPED;
  (II)  THE  SCORING  RUBRIC  BY WHICH SUCH PROPOSALS WILL BE EVALUATED,
PROVIDED THAT PRIORITY SHALL BE  GIVEN  TO  APPLICANTS  BASED  UPON  THE
SCHOOL  DISTRICT'S  PROPOSAL TO TARGET THE SCHOOLS AND STUDENTS WITH THE
GREATEST NEED AND UPON PROPOSAL QUALITY;
  (III) THE FORM AND MANNER BY WHICH APPLICATIONS WILL BE SUBMITTED;
  (IV) THE TIMELINE FOR THE ISSUANCE AND REVIEW OF APPLICATIONS; AND
  (V) A REQUIREMENT THAT SCHOOL  DISTRICTS  AWARDED  GRANTS  UNDER  THIS
SUBDIVISION  SUBMIT TO AN ANNUAL EVALUATION OF PERFORMANCE AND IMPACT AS
REQUIRED BY THE COMMISSIONER.
  (2) IN ASSESSING PROPOSAL QUALITY IN  ORDER  TO  AWARD  IMPLEMENTATION
GRANT  FUNDING, THE COMMISSIONER SHALL TAKE INTO ACCOUNT FACTORS INCLUD-
ING, BUT NOT LIMITED TO:
  (I) THE EXTENT TO WHICH THE SCHOOL DISTRICT'S PROPOSAL WOULD  MAXIMIZE
THE USE OF THE ADDITIONAL LEARNING TIME THROUGH A COMPREHENSIVE RESTRUC-
TURING OF THE SCHOOL DAY AND/OR YEAR; AND
  (II) HOW THE ADDITIONAL LEARNING TIME WOULD BE UTILIZED, INCLUDING BUT
NOT LIMITED TO ADDITIONAL TIME SPENT ON CORE ACADEMICS.
  B.  A  SCHOOL  DISTRICT'S SCHOOL-WIDE EXTENDED LEARNING IMPLEMENTATION
GRANT AWARD SHALL EQUAL ITS AVERAGE DAILY ATTENDANCE IN THE  SCHOOL-WIDE
EXTENDED  LEARNING  PROGRAM MULTIPLIED BY THE EXPECTED COST PER PUPIL OF
THE ADDITIONAL LEARNING TIME. FOR  PURPOSES  OF  THIS  SUBDIVISION,  THE
EXPECTED  COST PER PUPIL OF THE ADDITIONAL LEARNING TIME SHALL EQUAL THE
GREATER OF FIFTEEN HUNDRED DOLLARS OR (1) THE QUOTIENT OF (I) THE SCHOOL
DISTRICT'S APPROVED OPERATING EXPENSE PURSUANT TO PARAGRAPH T OF  SUBDI-
VISION  ONE  OF  SECTION  THIRTY-SIX HUNDRED TWO OF THIS ARTICLE FOR THE
YEAR PRIOR TO THE BASE YEAR DIVIDED BY (II) THE DISTRICT'S PUBLIC SCHOOL
DISTRICT ENROLLMENT PURSUANT TO SUBPARAGRAPH TWO OF PARAGRAPH N OF  SUCH
SUBDIVISION  FOR  THE  YEAR PRIOR TO THE BASE YEAR MULTIPLIED BY (2) TEN
PERCENT (0.10), MULTIPLIED BY (3) THE QUOTIENT OF (I) THE AVERAGE OF THE
NATIONAL CONSUMER PRICE INDEXES DETERMINED BY THE UNITED STATES  DEPART-
MENT OF LABOR FOR THE TWELVE MONTH PERIOD PRECEDING JANUARY FIRST OF THE
BASE  YEAR,  DIVIDED  BY (II) THE AVERAGE OF THE NATIONAL CONSUMER PRICE
INDEXES DETERMINED BY THE UNITED STATES  DEPARTMENT  OF  LABOR  FOR  THE
TWELVE  MONTH PERIOD PRECEDING JANUARY FIRST OF THE YEAR TWO YEARS PRIOR
TO THE BASE YEAR.
  C. IN EXTRAORDINARY CASES, THE COMMISSIONER MAY  AWARD  A  GRANT  THAT
EXCEEDS  THE  PER PUPIL LIMIT CALCULATED PURSUANT TO PARAGRAPH B OF THIS
SUBDIVISION.
  D. NO DISTRICT SHALL RECEIVE A GRANT IN EXCESS  OF  THE  TOTAL  ACTUAL
GRANT  EXPENDITURES  INCURRED  BY  THE  DISTRICT  IN THE CURRENT YEAR AS
APPROVED BY THE COMMISSIONER.
  E. NO SINGLE DISTRICT MAY BE AWARDED MORE THAN FORTY  PERCENT  OF  THE
TOTAL AMOUNT OF GRANT AWARDS MADE PURSUANT TO THIS SUBDIVISION.
  S  18.  Paragraph  b of subdivision 2 of section 4204 of the education
law, as amended by section 12-a of part A of chapter 57 of the  laws  of
2012, is amended to read as follows:
  b.  For  the  two thousand thirteen--two thousand fourteen school year
and thereafter, the costs of tuition as  defined  in  section  forty-two
hundred  eleven  of  this  article,  INCLUDING  TUITION, MAINTENANCE AND
TRANSPORTATION FOR SUMMER SCHOOL SPECIAL EDUCATION PROGRAMS IN JULY  AND
AUGUST,  shall be a charge upon the current school district of residence
of any such child subject to this  article  and  the  directors  of  the
institution  shall bill such school district for such tuition costs on a
quarterly basis. The first  such  quarterly  payment  may  be  based  on
projected   enrollment,  provided  that  subsequent  payments  shall  be

S. 2607--A                         17                         A. 3007--A

adjusted to reflect actual enrollment. The amount  of  tuition  paid  by
such school district shall be eligible for reimbursement by the state to
the extent provided in section forty-two hundred four-b of this article.
  S 19. Subdivision 4 of section 4204-b of the education law, as amended
by  section 12-b of part A of chapter 57 of the laws of 2012, is amended
to read as follows:
  4. [The] FOR THE TWO THOUSAND  TWELVE--TWO  THOUSAND  THIRTEEN  SCHOOL
YEAR  AND  PRIOR  SCHOOL  YEARS,  THE  state  shall reimburse the school
district of which any such child is resident at the time of admission or
readmission to any of the  institutions  subject  to  this  article  for
tuition  paid  to the institution FOR THE TEN-MONTH SCHOOL CALENDAR FROM
SEPTEMBER FIRST THROUGH JUNE THIRTIETH in an amount equal to  the  posi-
tive  difference  between  the  amount  of  such  tuition and the school
district basic contribution.   IN  ACCORDANCE  WITH  THE  PROVISIONS  OF
SECTION  FORTY-FOUR  HUNDRED  EIGHT  OF THIS TITLE, FOR THE TWO THOUSAND
THIRTEEN--TWO THOUSAND FOURTEEN SCHOOL YEAR AND  THEREAFTER,  THE  STATE
SHALL  ALSO  REIMBURSE  THE  CURRENT SCHOOL DISTRICT OF RESIDENCE OF ANY
CHILD IN ANY OF THE INSTITUTIONS SUBJECT TO THIS  ARTICLE  FOR  APPROVED
TUITION,  MAINTENANCE  AND  TRANSPORTATION  PAID  TO THE INSTITUTION FOR
ENROLLMENT IN SUMMER SCHOOL  SPECIAL  EDUCATION  PROGRAMS  IN  JULY  AND
AUGUST,  IN  AN  AMOUNT  EQUAL TO EIGHTY PERCENT OF THE APPROVED TUITION
RATE PURSUANT TO SECTION FORTY-FOUR HUNDRED EIGHT OF  THIS  TITLE.  Such
state  reimbursement  to  the school district shall not be paid prior to
April first of the school year in which such tuition costs are  paid  by
the  school district. The tuition incurred through December thirty-first
of such school year, INCLUDING TUITION, MAINTENANCE  AND  TRANSPORTATION
FOR  SUMMER  SCHOOL  PROGRAMS  IN  JULY  AND  AUGUST PURSUANT TO SECTION
FORTY-FOUR HUNDRED EIGHT OF THIS TITLE, shall be payable prior  to  June
thirtieth  of such school year, provided that a claim is submitted on or
before June first.
  S 20. Paragraph b of subdivision 2 of section 4207  of  the  education
law,  as  amended by section 12-c of part A of chapter 57 of the laws of
2012, is amended to read as follows:
  b. For the two thousand thirteen--two thousand  fourteen  school  year
and  thereafter,  the  costs  of tuition as defined in section forty-two
hundred eleven of  this  article,  INCLUDING  TUITION,  MAINTENANCE  AND
TRANSPORTATION  FOR SUMMER SCHOOL SPECIAL EDUCATION PROGRAMS IN JULY AND
AUGUST, shall be a charge upon the current school district of  residence
of  any  such  child  subject  to  this article and the directors of the
institution shall bill such school district for such tuition costs on  a
quarterly  basis.  The  first  such  quarterly  payment  may be based on
projected  enrollment,  provided  that  subsequent  payments  shall   be
adjusted  to  reflect  actual  enrollment. The amount of tuition paid by
such school district, INCLUDING TUITION, MAINTENANCE AND  TRANSPORTATION
FOR  SUMMER  SCHOOL SPECIAL EDUCATION PROGRAMS IN JULY AND AUGUST, shall
be eligible for reimbursement by the state to  the  extent  provided  in
section forty-two hundred four-b of this article.
  S  21.  Subdivision 6 of section 4402 of the education law, as amended
by section 12 of part A of chapter 57 of the laws of 2012, is amended to
read as follows:
  6. Notwithstanding any other law, rule or regulation to the  contrary,
the  board  of  education of a city school district with a population of
one hundred twenty-five thousand or more inhabitants shall be  permitted
to  establish  maximum  class  sizes  for  special  classes  for certain
students with disabilities in accordance with  the  provisions  of  this
subdivision. For the purpose of obtaining relief from any adverse fiscal

S. 2607--A                         18                         A. 3007--A

impact  from under-utilization of special education resources due to low
student attendance in  special  education  classes  at  the  middle  and
secondary level as determined by the commissioner, such boards of educa-
tion  shall, during the school years nineteen hundred ninety-five--nine-
ty-six through June thirtieth, two thousand [thirteen] FOURTEEN  of  the
[two  thousand twelve--two thousand thirteen] TWO THOUSAND THIRTEEN--TWO
THOUSAND FOURTEEN school year, be authorized to increase class sizes  in
special  classes  containing students with disabilities whose age ranges
are equivalent to those of students in middle and secondary  schools  as
defined  by  the  commissioner for purposes of this section by up to but
not to exceed one and two tenths times the applicable maximum class size
specified in regulations of the commissioner rounded up to  the  nearest
whole  number,  provided  that  in a city school district having a popu-
lation of one million or more, classes that have a maximum class size of
fifteen may be increased by no more than one student and  provided  that
the  projected average class size shall not exceed the maximum specified
in the applicable regulation, provided  that  such  authorization  shall
terminate  on  June thirtieth, two thousand. Such authorization shall be
granted upon filing of a notice by such a board of  education  with  the
commissioner  stating the board's intention to increase such class sizes
and a certification that the board will conduct a  study  of  attendance
problems  at  the secondary level and will implement a corrective action
plan to increase the rate of attendance of students in such  classes  to
at  least  the  rate for students attending regular education classes in
secondary schools of the district. Such corrective action plan shall  be
submitted  for  approval by the commissioner by a date during the school
year in which such board increases class sizes as provided  pursuant  to
this  subdivision  to  be  prescribed by the commissioner. Upon at least
thirty days notice to the board of education, after  conclusion  of  the
school year in which such board increases class sizes as provided pursu-
ant  to this subdivision, the commissioner shall be authorized to termi-
nate such authorization upon a finding that  the  board  has  failed  to
develop or implement an approved corrective action plan.
  S  22.  The education law is amended by adding a new section 4403-a to
read as follows:
  S 4403-A. WAIVERS FROM CERTAIN DUTIES. 1.  A  LOCAL  SCHOOL  DISTRICT,
APPROVED PRIVATE SCHOOL OR BOARD OF COOPERATIVE EDUCATIONAL SERVICES MAY
SUBMIT  AN APPLICATION FOR A WAIVER FROM ANY REQUIREMENT IMPOSED ON SUCH
DISTRICT, SCHOOL OR BOARD OF COOPERATIVE EDUCATIONAL  SERVICES  PURSUANT
TO SECTION FORTY-FOUR HUNDRED TWO OR SECTION FORTY-FOUR HUNDRED THREE OF
THIS  ARTICLE,  AND  REGULATIONS  PROMULGATED THEREUNDER, FOR A SPECIFIC
SCHOOL YEAR.  SUCH APPLICATION MUST BE SUBMITTED AT LEAST SIXTY DAYS  IN
ADVANCE  OF THE PROPOSED DATE ON WHICH THE WAIVER WOULD BE EFFECTIVE AND
SHALL BE IN A FORM PRESCRIBED BY THE COMMISSIONER.
  2. BEFORE SUBMITTING AN APPLICATION FOR A  WAIVER,  THE  LOCAL  SCHOOL
DISTRICT,  APPROVED  PRIVATE  SCHOOL OR BOARD OF COOPERATIVE EDUCATIONAL
SERVICES SHALL PROVIDE NOTICE OF THE PROPOSED WAIVER TO THE  PARENTS  OR
PERSONS  IN PARENTAL RELATIONSHIP TO THE STUDENTS THAT WOULD BE IMPACTED
BY THE WAIVER IF GRANTED.  SUCH NOTICE SHALL BE IN  A  FORM  AND  MANNER
THAT  WILL ENSURE THAT SUCH PARENTS AND PERSONS IN PARENTAL RELATIONSHIP
WILL BE AWARE OF ALL RELEVANT CHANGES THAT WOULD OCCUR UNDER THE WAIVER,
AND SHALL INCLUDE INFORMATION ON THE FORM,  MANNER  AND  DATE  BY  WHICH
PARENTS  MAY  SUBMIT  WRITTEN COMMENTS ON THE PROPOSED WAIVER. THE LOCAL
SCHOOL DISTRICT, APPROVED PRIVATE SCHOOL, OR BOARD OF COOPERATIVE EDUCA-
TIONAL SERVICES SHALL PROVIDE AT LEAST SIXTY DAYS FOR SUCH  PARENTS  AND
PERSONS  IN  PARENTAL RELATIONSHIP TO SUBMIT WRITTEN COMMENTS, AND SHALL

S. 2607--A                         19                         A. 3007--A

INCLUDE IN THE WAIVER APPLICATION SUBMITTED TO THE COMMISSIONER PURSUANT
TO SUBDIVISION ONE OF THIS SECTION ANY WRITTEN  COMMENTS  RECEIVED  FROM
SUCH PARENTS OR PERSONS IN PARENTAL RELATION TO SUCH STUDENTS.
  3. THE COMMISSIONER MAY GRANT A WAIVER FROM ANY REQUIREMENT IMPOSED ON
A LOCAL SCHOOL DISTRICT, APPROVED PRIVATE SCHOOL OR BOARD OF COOPERATIVE
EDUCATIONAL  SERVICES  PURSUANT  TO  SECTION  FORTY-FOUR  HUNDRED TWO OR
SECTION FORTY-FOUR HUNDRED THREE OF THIS ARTICLE, UPON  A  FINDING  THAT
SUCH WAIVER WILL ENABLE A LOCAL SCHOOL DISTRICT, APPROVED PRIVATE SCHOOL
OR  BOARD OF COOPERATIVE EDUCATIONAL SERVICES TO IMPLEMENT AN INNOVATIVE
SPECIAL EDUCATION PROGRAM THAT IS  CONSISTENT  WITH  APPLICABLE  FEDERAL
REQUIREMENTS,  AND WILL ENHANCE STUDENT ACHIEVEMENT AND/OR OPPORTUNITIES
FOR PLACEMENT IN REGULAR CLASSES AND PROGRAMS. IN MAKING  SUCH  DETERMI-
NATION,  THE  COMMISSIONER  SHALL  CONSIDER ANY COMMENTS RECEIVED BY THE
LOCAL SCHOOL DISTRICT, APPROVED PRIVATE SCHOOL OR BOARD  OF  COOPERATIVE
EDUCATIONAL SERVICES FROM PARENTS OR PERSONS IN PARENTAL RELATION TO THE
STUDENTS THAT WOULD BE DIRECTLY AFFECTED BY THE WAIVER IF GRANTED.
  4.  ANY  LOCAL  SCHOOL  DISTRICT,  APPROVED PRIVATE SCHOOL OR BOARD OF
COOPERATIVE EDUCATIONAL SERVICES GRANTED A WAIVER SHALL SUBMIT AN ANNUAL
REPORT TO THE COMMISSIONER REGARDING THE OPERATION AND EVALUATION OF THE
PROGRAM NO LATER THAN THIRTY DAYS AFTER THE END OF EACH SCHOOL YEAR  FOR
WHICH A WAIVER IS GRANTED.
  S  23.  Paragraph a of subdivision 10 of section 4410 of the education
law is amended by adding a new subparagraph (iv) to read as follows:
  (IV) NOTWITHSTANDING ANY OTHER PROVISION OF LAW TO THE  CONTRARY,  FOR
THE  TWO THOUSAND THIRTEEN--TWO THOUSAND FOURTEEN SCHOOL YEAR AND THERE-
AFTER, THE CITY OF NEW YORK  SHALL  BE  AUTHORIZED  TO  ESTABLISH  LOCAL
TUITION  RATES FOR APPROVED SERVICES OR PROGRAMS LOCATED WITHIN THE CITY
OF NEW YORK THROUGH A  COMPETITIVE  REQUEST  FOR  PROPOSALS  PROCESS  OR
OTHERWISE,  PROVIDED  THAT SUCH LOCAL TUITION RATES SHALL NOT EXCEED THE
TUITION RATES DETERMINED BY THE COMMISSIONER AND APPROVED BY THE  DIREC-
TOR  OF  THE  BUDGET PURSUANT TO SUBPARAGRAPHS (I) THROUGH (III) OF THIS
PARAGRAPH AND SECTION FORTY-FOUR HUNDRED FIVE OF THIS ARTICLE. THE LOCAL
TUITION RATES SO ESTABLISHED SHALL BE USED IN THE CONTRACTS WITH PROVID-
ERS PROVIDING SERVICES OR PROGRAMS WITHIN THE CITY OF NEW YORK  PURSUANT
TO  THIS  SECTION  FOR  THE PROVISION OF PROGRAMS AND SERVICES FOR WHICH
SUCH RATES WERE ESTABLISHED. NOTWITHSTANDING ANY OTHER PROVISION OF THIS
SECTION TO THE CONTRARY, THE CITY OF NEW YORK SHALL BE  RESPONSIBLE  FOR
ARRANGING  FOR AND SELECTING THE APPROVED PROGRAM AND/OR RELATED SERVICE
PROVIDER THROUGH THE COMPETITIVE REQUEST FOR PROPOSAL PROCESS OR  OTHER-
WISE TO DELIVER THE PROGRAMS OR SERVICES CONSISTENT WITH THE INDIVIDUAL-
IZED  EDUCATION PROGRAM OF THE PRESCHOOL CHILD.  PROVIDED, HOWEVER, THAT
THE COMPETITIVE REQUEST FOR PROPOSAL PROCESS AUTHORIZED BY THIS SUBPARA-
GRAPH SHALL NOT  APPLY  TO  PRESCHOOL  CHILDREN  WITH  DISABILITIES  WHO
RECEIVED  PROGRAMS OR SERVICES PURSUANT TO THIS SECTION IN THE TWO THOU-
SAND TWELVE--TWO THOUSAND THIRTEEN SCHOOL YEAR.   THE CITY OF  NEW  YORK
SHALL  BE  REQUIRED  TO PROVIDE DATA RELATING TO THE LOCALLY ESTABLISHED
TUITION RATES TO THE DEPARTMENT IN THE FORM AND MANNER PRESCRIBED BY THE
COMMISSIONER.
  S 24. Subparagraph (ii) of paragraph c of subdivision  11  of  section
4410  of  the  education  law,  as amended by chapter 205 of the laws of
2009, is amended to read as follows:
  (ii) Payments made pursuant to this section by a  municipality  shall,
upon  conclusion  of  the  July  first to June thirtieth school year for
which such payment was made, be subject  to  audit  against  the  actual
difference  between  such audited expenditures and revenues. The munici-
pality shall submit the results of any such audit  to  the  commissioner

S. 2607--A                         20                         A. 3007--A

and the commissioner of social services, if appropriate, for review and,
if  warranted,  adjustment of the tuition and/or maintenance rates.  The
municipality is authorized to recover overpayments made to a provider of
special  services  or programs pursuant to this section as determined by
the commissioner or the commissioner of health based upon their  adjust-
ment of a tuition and/or maintenance rate, PROVIDED THAT FOR PURPOSES OF
MAKING SUCH ADJUSTMENT AND RECOVERY, THE MUNICIPALITY SHALL BE DEEMED TO
HAVE  PAID  SEVENTY-FIVE PERCENT OF THE DISALLOWED COSTS.  Such recovery
may be accomplished by withholding such amount from any moneys  due  the
provider in the current year, or by direct reimbursement.
  S 25. Intentionally omitted.
  S 26. Section 7 of chapter 472 of the laws of 1998 amending the educa-
tion  law  relating to the lease of school buses by school districts, as
amended by section 71 of part A of chapter 58 of the laws  of  2011,  is
amended to read as follows:
  S  7.  This  act shall take effect September 1, 1998, and shall expire
and be deemed repealed September 1, [2013] 2015.
  S 27. Subdivision b of section 2 of chapter 756 of the laws  of  1992,
relating  to funding a program for work force education conducted by the
consortium for worker education in New York city, as amended by  section
13  of  part  A of chapter 57 of the laws of 2012, is amended to read as
follows:
  b. Reimbursement for programs approved in accordance with  subdivision
a  of  this  section  [for the 2009-10 school year shall not exceed 64.1
percent of the lesser of such approvable costs per contact hour or elev-
en dollars and fifty cents per  contact  hour,  reimbursement]  for  the
2010--2011  school  year  shall not exceed 62.6 percent of the lesser of
such approvable costs per contact hour or twelve dollars and five  cents
per contact hour, reimbursement for the 2011--2012 school year shall not
exceed  62.9  percent of the lesser of such approvable costs per contact
hour or twelve  dollars  and  fifteen  cents  per  contact  hour,  [and]
reimbursement  for  the  2012--2013  school  year  shall not exceed 63.3
percent of the lesser of such  approvable  costs  per  contact  hour  or
twelve dollars and thirty-five cents per contact hour, AND REIMBURSEMENT
FOR  THE  2013--2014  SCHOOL  YEAR  SHALL NOT EXCEED 62.2 PERCENT OF THE
LESSER OF SUCH APPROVABLE COSTS PER CONTACT HOUR OR TWELVE  DOLLARS  AND
FIFTY  CENTS  PER  CONTACT  HOUR,  where a contact hour represents sixty
minutes of instruction services provided to an eligible adult.  Notwith-
standing any other provision of law to the contrary,  [for  the  2009-10
school  year  such  contact  hours  shall  not  exceed one million seven
hundred sixty--three thousand  nine  hundred  seven  (1,763,907)  hours;
whereas]  for  the  2010--2011  school year such contact hours shall not
exceed one million five hundred twenty-five thousand one  hundred  nine-
ty-eight  (1,525,198) hours; whereas for the 2011--2012 school year such
contact hours shall not exceed one million seven  hundred  one  thousand
five  hundred  seventy  (1,701,570)  hours;  whereas  for the 2012--2013
school year such contact hours shall not exceed one million six  hundred
sixty-four  thousand  five hundred thirty-two (1,664,532) hours; WHEREAS
FOR THE 2013--2014 SCHOOL YEAR SUCH CONTACT HOURS SHALL NOT  EXCEED  ONE
MILLION  FOUR  HUNDRED  EIGHTY THOUSAND AND FIFTY-ONE (1,480,051) HOURS.
Notwithstanding any other provision of law to the contrary,  the  appor-
tionment calculated for the city school district of the city of New York
pursuant to subdivision 11 of section 3602 of the education law shall be
computed  as if such contact hours provided by the consortium for worker
education, not to exceed the contact hours set forth herein, were eligi-

S. 2607--A                         21                         A. 3007--A

ble for aid in accordance with the provisions of such subdivision 11  of
section 3602 of the education law.
  S  28. Section 4 of chapter 756 of the laws of 1992, relating to fund-
ing a program for work force education conducted by the  consortium  for
worker  education  in New York city, is amended by adding a new subdivi-
sion r to read as follows:
  R. THE PROVISIONS OF  THIS  SUBDIVISION  SHALL  NOT  APPLY  AFTER  THE
COMPLETION  OF PAYMENTS FOR THE 2013--2014 SCHOOL YEAR.  NOTWITHSTANDING
ANY INCONSISTENT PROVISIONS OF LAW, THE COMMISSIONER OF EDUCATION  SHALL
WITHHOLD  A  PORTION  OF EMPLOYMENT PREPARATION EDUCATION AID DUE TO THE
CITY SCHOOL DISTRICT OF THE CITY OF NEW YORK TO SUPPORT A PORTION OF THE
COSTS OF THE WORK FORCE EDUCATION PROGRAM. SUCH MONEYS SHALL BE CREDITED
TO THE ELEMENTARY AND SECONDARY EDUCATION FUND-LOCAL ASSISTANCE  ACCOUNT
AND  SHALL  NOT  EXCEED  ELEVEN  MILLION  FIVE  HUNDRED THOUSAND DOLLARS
($11,500,000).
  S 29. Section 6 of chapter 756 of the laws of 1992, relating to  fund-
ing  a  program for work force education conducted by the consortium for
worker education in New York city, as amended by section 15 of part A of
chapter 57 of the laws of 2012, is amended to read as follows:
  S 6. This act shall take effect July 1,  1992,  and  shall  be  deemed
repealed on June 30, [2013] 2014.
  S 30. Subdivision 1 of section 167 of chapter 169 of the laws of 1994,
relating  to certain provisions related to the 1994-95 state operations,
aid to localities, capital projects and debt service budgets, as amended
by section 17 of part A of chapter 57 of the laws of 2012, is amended to
read as follows:
  1. Sections one through seventy of this act shall be  deemed  to  have
been  in  full  force  and effect as of April 1, 1994 provided, however,
that  sections  one,  two,  twenty-four,  twenty-five  and  twenty-seven
through seventy of this act shall expire and be deemed repealed on March
31, 2000; provided, however, that section twenty of this act shall apply
only  to  hearings  commenced  prior  to September 1, 1994, and provided
further that section twenty-six of this act shall expire and  be  deemed
repealed  on  March  31,  1997;  and provided further that sections four
through fourteen, sixteen, and eighteen, nineteen and twenty-one through
twenty-one-a of this act shall expire and be deemed  repealed  on  March
31,  1997; and provided further that sections three, fifteen, seventeen,
twenty, twenty-two and twenty-three of this  act  shall  expire  and  be
deemed repealed on March 31, [2014] 2015.
  S  31. Subdivisions 22 and 24 of section 140 of chapter 82 of the laws
of 1995, amending the education law and certain other laws  relating  to
state  aid  to  school  districts and the appropriation of funds for the
support of government, as amended by section 18 of part A of chapter  57
of the laws of 2012, are amended to read as follows:
  (22)  sections  one  hundred twelve, one hundred thirteen, one hundred
fourteen, one hundred fifteen and one hundred sixteen of this act  shall
take effect on July 1, 1995; provided, however, that section one hundred
thirteen of this act shall remain in full force and effect until July 1,
[2013] 2014 at which time it shall be deemed repealed;
  (24)  sections one hundred eighteen through one hundred thirty of this
act shall be deemed to have been in full force and effect on  and  after
July 1, 1995; provided further, however, that the amendments made pursu-
ant  to  section  one hundred nineteen of this act shall be deemed to be
repealed on and after July 1, [2013] 2014;
  S 32. Section 12 of chapter 147 of the  laws  of  2001,  amending  the
education  law  relating  to conditional appointment of school district,

S. 2607--A                         22                         A. 3007--A

charter school or BOCES employees, as amended by section 20 of part A of
chapter 57 of the laws of 2012, is amended to read as follows:
  S  12.  This  act shall take effect on the same date as chapter 180 of
the laws of 2000 takes effect, and shall expire July 1, [2013] 2014 when
upon such date the provisions of this act shall be deemed repealed.
  S 33. Section 4 of chapter 425 of  the  laws  of  2002,  amending  the
education  law  relating  to  the  provision of supplemental educational
services, attendance at a safe  public  school  and  the  suspension  of
pupils  who  bring  a  firearm  to  or possess a firearm at a school, as
amended by section 21 of part A of chapter 57 of the laws  of  2012,  is
amended to read as follows:
  S  4.  This act shall take effect July 1, 2002 and shall expire and be
deemed repealed June 30, [2013] 2014.
  S 34. Section 5 of chapter 101 of  the  laws  of  2003,  amending  the
education law relating to implementation of the No Child Left Behind Act
of 2001, as amended by section 22 of part A of chapter 57 of the laws of
2012, is amended to read as follows:
  S  5.  This  act shall take effect immediately; provided that sections
one, two and three of this act shall expire and be  deemed  repealed  on
June 30, [2013] 2014.
  S 35. School bus driver training. In addition to apportionments other-
wise  provided  by section 3602 of the education law, for aid payable in
the 2013--2014 school year, the commissioner of education shall allocate
school bus driver training grants to  school  districts  and  boards  of
cooperative  education  services pursuant to sections 3650-a, 3650-b and
3650-c of the education law, or for contracts directly with not-for-pro-
fit educational organizations for the purposes  of  this  section.  Such
payments  shall  not exceed four hundred thousand dollars ($400,000) per
school year.
  S 36. Support of public libraries. The  moneys  appropriated  for  the
support  of public libraries by the chapter of the laws of 2013 enacting
the aid to localities budget shall be  apportioned  for  the  2013--2014
state  fiscal  year  in  accordance with the provisions of sections 271,
272, 273, 282, 284, and 285 of the  education  law  as  amended  by  the
provisions of this chapter and the provisions of this act, provided that
library  construction aid pursuant to section 273-a of the education law
shall not be payable from the appropriations for the support  of  public
libraries  and  provided  further  that  no  library,  library system or
program, as defined by the commissioner of education, shall receive less
total system or program aid than it received  for  the  year  2001--2002
except as a result of a reduction adjustment necessary to conform to the
appropriations for support of public libraries.
  Notwithstanding  any other provision of law to the contrary the moneys
appropriated for the support of public libraries for the year 2013--2014
by a chapter of the laws of 2013 enacting the aid to  localities  budget
shall  fulfill  the state's obligation to provide such aid and, pursuant
to a plan developed by the commissioner of education and approved by the
director of the budget, the aid payable to libraries and library systems
pursuant to such appropriations  shall  be  reduced  proportionately  to
assure  that  the  total amount of aid payable does not exceed the total
appropriations for such purpose.
  S 37. Special apportionment for salary expenses.   a.  Notwithstanding
any  other  provision  of  law,  upon application to the commissioner of
education, not sooner than the first day of  the  second  full  business
week  of  June,  2014  and not later than the last day of the third full
business week of June, 2014, a school district eligible  for  an  appor-

S. 2607--A                         23                         A. 3007--A

tionment pursuant to section 3602 of the education law shall be eligible
to  receive  an  apportionment  pursuant to this section, for the school
year ending June 30, 2014, for salary expenses incurred between April  1
and June 30, 2014 and such apportionment shall not exceed the sum of (i)
the  deficit  reduction  assessment  of  1990--1991 as determined by the
commissioner of education, pursuant to paragraph f of subdivision  1  of
section  3602  of the education law, as in effect through June 30, 1993,
plus (ii) 186 percent of such amount for a city  school  district  in  a
city  with  a  population in excess of 1,000,000 inhabitants, plus (iii)
209 percent of such amount for a city school district in a city  with  a
population of more than 195,000 inhabitants and less than 219,000 inhab-
itants  according  to  the  latest federal census, plus (iv) the net gap
elimination adjustment for 2010--2011, as determined by the commissioner
of education pursuant to chapter 53 of the laws of 2010,  plus  (v)  the
gap  elimination  adjustment for 2011--2012 as determined by the commis-
sioner of education pursuant to subdivision 17 of section  3602  of  the
education  law,  and  provided further that such apportionment shall not
exceed such salary expenses. Such application shall be made by a  school
district, after the board of education or trustees have adopted a resol-
ution  to do so and in the case of a city school district in a city with
a population in excess of 125,000 inhabitants, with the approval of  the
mayor of such city.
  b.  The  claim  for  an  apportionment to be paid to a school district
pursuant to subdivision a of this section  shall  be  submitted  to  the
commissioner  of  education  on  a form prescribed for such purpose, and
shall be payable upon determination by such commissioner that  the  form
has been submitted as prescribed. Such approved amounts shall be payable
on  the  same  day in September of the school year following the year in
which application was made as funds provided  pursuant  to  subparagraph
(4) of paragraph b of subdivision 4 of section 92-c of the state finance
law,  on  the  audit  and  warrant  of the state comptroller on vouchers
certified or approved by the commissioner of  education  in  the  manner
prescribed  by  law  from  moneys in the state lottery fund and from the
general fund to the extent that the amount paid  to  a  school  district
pursuant  to  this  section  exceeds the amount, if any, due such school
district pursuant to subparagraph (2) of paragraph a of subdivision 1 of
section 3609-a of the education law in the  school  year  following  the
year in which application was made.
  c.  Notwithstanding  the provisions of section 3609-a of the education
law, an amount equal to the amount paid to a school district pursuant to
subdivisions a and b of this section shall first be  deducted  from  the
following  payments  due  the  school  district  during  the school year
following the year in which application was made  pursuant  to  subpara-
graphs  (1),  (2),  (3),  (4) and (5) of paragraph a of subdivision 1 of
section 3609-a of the education law in the following order: the  lottery
apportionment  payable  pursuant  to  subparagraph (2) of such paragraph
followed by the fixed fall payments payable pursuant to subparagraph (4)
of such paragraph and then followed by the district's  payments  to  the
teachers'  retirement  system pursuant to subparagraph (1) of such para-
graph, and any remainder to be deducted from the individualized payments
due the district pursuant to paragraph b of such  subdivision  shall  be
deducted on a chronological basis starting with the earliest payment due
the district.
  S  38. Special apportionment for public pension accruals. a.  Notwith-
standing any other provision of law, upon application to the commission-
er of education, not later than June 30, 2014, a school district  eligi-

S. 2607--A                         24                         A. 3007--A

ble  for  an apportionment pursuant to section 3602 of the education law
shall be eligible to receive an apportionment pursuant to this  section,
for  the  school  year ending June 30, 2014 and such apportionment shall
not  exceed  the  additional  accruals  required  to  be  made by school
districts in the 2004--2005 and 2005--2006 school years associated  with
changes  for  such  public pension liabilities. The amount of such addi-
tional accrual shall be certified to the commissioner  of  education  by
the  president of the board of education or the trustees or, in the case
of a city school district in a city  with  a  population  in  excess  of
125,000  inhabitants,  the mayor of such city. Such application shall be
made by a school district, after the board of education or trustees have
adopted a resolution to do so and in the case of a city school  district
in  a  city with a population in excess of 125,000 inhabitants, with the
approval of the mayor of such city.
  b. The claim for an apportionment to be  paid  to  a  school  district
pursuant  to  subdivision  a  of  this section shall be submitted to the
commissioner of education on a form prescribed  for  such  purpose,  and
shall  be  payable upon determination by such commissioner that the form
has been submitted as prescribed. Such approved amounts shall be payable
on the same day in September of the school year following  the  year  in
which  application  was  made as funds provided pursuant to subparagraph
(4) of paragraph b of subdivision 4 of section 92-c of the state finance
law, on the audit and warrant  of  the  state  comptroller  on  vouchers
certified  or  approved  by  the commissioner of education in the manner
prescribed by law from moneys in the state lottery  fund  and  from  the
general  fund  to  the  extent that the amount paid to a school district
pursuant to this section exceeds the amount, if  any,  due  such  school
district pursuant to subparagraph (2) of paragraph a of subdivision 1 of
section  3609-a  of  the  education law in the school year following the
year in which application was made.
  c. Notwithstanding the provisions of section 3609-a of  the  education
law, an amount equal to the amount paid to a school district pursuant to
subdivisions  a  and  b of this section shall first be deducted from the
following payments due  the  school  district  during  the  school  year
following  the  year  in which application was made pursuant to subpara-
graphs (1), (2), (3), (4) and (5) of paragraph a  of  subdivision  1  of
section  3609-a of the education law in the following order: the lottery
apportionment payable pursuant to subparagraph  (2)  of  such  paragraph
followed by the fixed fall payments payable pursuant to subparagraph (4)
of  such  paragraph  and then followed by the district's payments to the
teachers' retirement system pursuant to subparagraph (1) of  such  para-
graph, and any remainder to be deducted from the individualized payments
due  the  district  pursuant to paragraph b of such subdivision shall be
deducted on a chronological basis starting with the earliest payment due
the district.
  S 39. a. Notwithstanding any other law,  rule  or  regulation  to  the
contrary,  any moneys appropriated to the state education department may
be suballocated to other state departments or agencies,  as  needed,  to
accomplish the intent of the specific appropriations contained therein.
  b.  Notwithstanding any other law, rule or regulation to the contrary,
moneys appropriated to the state education department from  the  general
fund/aid  to  localities,  local  assistance  account-001,  shall be for
payment of financial assistance, as  scheduled,  net  of  disallowances,
refunds, reimbursement and credits.
  c.  Notwithstanding any other law, rule or regulation to the contrary,
all moneys appropriated to the state education  department  for  aid  to

S. 2607--A                         25                         A. 3007--A

localities shall be available for payment of aid heretofore or hereafter
to  accrue  and may be suballocated to other departments and agencies to
accomplish the intent of the specific appropriations contained therein.
  d.  Notwithstanding any other law, rule or regulation to the contrary,
moneys appropriated  to  the  state  education  department  for  general
support  for  public  schools may be interchanged with any other item of
appropriation for general support for public schools within the  general
fund  local  assistance  account office of prekindergarten through grade
twelve education programs.
  S 40. Notwithstanding the provision of any law, rule, or regulation to
the contrary, the city school district of the city  of  Rochester,  upon
the  consent  of  the  board  of cooperative educational services of the
supervisory district serving its geographic  region  may  purchase  from
such  board  for  the  2013--2014 school year, as a non-component school
district, services required by article 19 of the education law.
  S 41. The amounts specified in this section shall be a  setaside  from
the  state  funds  which  each such district is receiving from the total
foundation aid:
  a. for the purpose of the development,  maintenance  or  expansion  of
magnet schools or magnet school programs for the 2013--2014 school year.
To  the city school district of the city of New York there shall be paid
forty-eight  million   one   hundred   seventy-five   thousand   dollars
($48,175,000) including five hundred thousand dollars ($500,000) for the
Andrew  Jackson  High School; to the Buffalo city school district, twen-
ty-one  million  twenty-five  thousand  dollars  ($21,025,000);  to  the
Rochester  city  school district, fifteen million dollars ($15,000,000);
to  the  Syracuse  city  school  district,  thirteen   million   dollars
($13,000,000);  to  the Yonkers city school district, forty-nine million
five hundred thousand dollars ($49,500,000); to the Newburgh city school
district,  four  million  six  hundred   forty-five   thousand   dollars
($4,645,000); to the Poughkeepsie city school district, two million four
hundred  seventy-five thousand dollars ($2,475,000); to the Mount Vernon
city school district, two  million  dollars  ($2,000,000);  to  the  New
Rochelle  city  school  district,  one million four hundred ten thousand
dollars ($1,410,000); to  the  Schenectady  city  school  district,  one
million eight hundred thousand dollars ($1,800,000); to the Port Chester
city  school  district,  one  million one hundred fifty thousand dollars
($1,150,000); to the White Plains city  school  district,  nine  hundred
thousand  dollars ($900,000); to the Niagara Falls city school district,
six hundred thousand dollars  ($600,000);  to  the  Albany  city  school
district,   three   million   five   hundred   fifty   thousand  dollars
($3,550,000); to the Utica city school  district,  two  million  dollars
($2,000,000); to the Beacon city school district, five hundred sixty-six
thousand  dollars  ($566,000);  to  the Middletown city school district,
four hundred thousand dollars ($400,000); to  the  Freeport  union  free
school district, four hundred thousand dollars ($400,000); to the Green-
burgh   central   school   district,   three  hundred  thousand  dollars
($300,000); to the Amsterdam city school district, eight  hundred  thou-
sand  dollars  ($800,000);  to  the  Peekskill city school district, two
hundred thousand dollars ($200,000);  and  to  the  Hudson  city  school
district, four hundred thousand dollars ($400,000).
  b.  notwithstanding the provisions of subdivision a of this section, a
school district receiving a grant pursuant to this section may use  such
grant  funds  for:  (i) any instructional or instructional support costs
associated with the operation of a magnet school; or (ii)  any  instruc-
tional  or instructional support costs associated with implementation of

S. 2607--A                         26                         A. 3007--A

an alternative approach to reduction of racial isolation and/or enhance-
ment of the instructional program and raising of standards in elementary
and secondary schools of school  districts  having  substantial  concen-
trations  of  minority students. The commissioner of education shall not
be authorized to withhold magnet grant funds from a school district that
used such funds in accordance with this paragraph,  notwithstanding  any
inconsistency with a request for proposals issued by such commissioner.
  c.  for  the  purpose of attendance improvement and dropout prevention
for the 2013--2014 school year, for any city school district in  a  city
having  a  population of more than one million, the setaside for attend-
ance improvement and dropout prevention shall equal the amount set aside
in the base year. For the 2013--2014 school year, it is further provided
that any city school district in a city having a population of more than
one million shall allocate at least one-third of any increase from  base
year  levels  in  funds  set  aside pursuant to the requirements of this
subdivision to  community-based  organizations.  Any  increase  required
pursuant to this subdivision to community-based organizations must be in
addition to allocations provided to community-based organizations in the
base year.
  d.  for the purpose of teacher support for the 2013--2014 school year:
to the city school district of the city of New York,  sixty-two  million
seven  hundred seven thousand dollars ($62,707,000); to the Buffalo city
school district, one million seven hundred  forty-one  thousand  dollars
($1,741,000);  to the Rochester city school district, one million seven-
ty-six  thousand  dollars  ($1,076,000);  to  the  Yonkers  city  school
district,   one   million   one  hundred  forty-seven  thousand  dollars
($1,147,000); and to the Syracuse city school  district,  eight  hundred
nine  thousand  dollars ($809,000). All funds made available to a school
district pursuant to this subdivision shall be distributed among  teach-
ers  including prekindergarten teachers and teachers of adult vocational
and academic subjects in accordance with this subdivision and  shall  be
in  addition  to  salaries  heretofore  or  hereafter negotiated or made
available; provided, however, that all  funds  distributed  pursuant  to
this  section  for  the  current year shall be deemed to incorporate all
funds distributed pursuant to former subdivision 27 of section  3602  of
the  education law for prior years. In school districts where the teach-
ers are represented by certified or recognized  employee  organizations,
all salary increases funded pursuant to this section shall be determined
by separate collective negotiations conducted pursuant to the provisions
and  procedures  of article 14 of the civil service law, notwithstanding
the existence of a negotiated agreement between a school district and  a
certified or recognized employee organization.
  S 42. Severability. The provisions of this act shall be severable, and
if  the  application  of  any  clause, sentence, paragraph, subdivision,
section or part of this act to  any  person  or  circumstance  shall  be
adjudged  by  any  court  of  competent jurisdiction to be invalid, such
judgment shall not necessarily affect, impair or invalidate the applica-
tion of any such clause, sentence, paragraph, subdivision, section, part
of this act or remainder thereof, as the  case  may  be,  to  any  other
person  or  circumstance,  but shall be confined in its operation to the
clause,  sentence,  paragraph,  subdivision,  section  or  part  thereof
directly  involved  in the controversy in which such judgment shall have
been rendered.
  S 43. This act shall take effect immediately, and shall be  deemed  to
have been in full force and effect on and after April 1, 2013, provided,
however, that:

S. 2607--A                         27                         A. 3007--A

  1. Sections five and six of this act shall take effect immediately and
shall  be deemed to have been in full force and effect on and after July
1, 2010; provided, further, that the  amendments  to  subdivision  1  of
section 2856 of the education law made by section five of this act shall
be  subject to the expiration and reversion of such subdivision pursuant
to section 27 of chapter 378 of the laws of 2007, as amended, when  upon
such date the provisions of section six of this act shall take effect;
  2. Section nine of this act shall take effect July 1, 2014;
  3.  Sections  one,  eleven, twelve, thirteen, fourteen, fifteen, eigh-
teen, nineteen, twenty, twenty-one, twenty-seven, twenty-eight,  thirty-
five and forty-one of this act shall take effect July 1, 2013;
  4.  The  amendments  to subdivision 6 of section 4402 of the education
law made by section twenty-one of this act shall not affect  the  repeal
of such subdivision and shall be deemed repealed therewith;
  5.  The  amendments to subdivision 10 of section 4410 of the education
law, made by section twenty-three of this act shall take effect April 1,
2013 and shall first apply to the provision  of  services  and  programs
pursuant  to  section 4410 of the education law in the 2013--2014 school
year;
  6. The amendments to chapter 756 of the  laws  of  1992,  relating  to
funding a program for work force education conducted by a consortium for
worker  education  in  New  York city, made by sections twenty-seven and
twenty-eight of this act shall not affect the repeal of such chapter and
shall be deemed repealed therewith; and
  7. Section thirty-nine of this act shall expire and be deemed repealed
June 30, 2014.

                                 PART B

  Section 1. Section 350 of the education law is amended by adding  four
new subdivisions 10, 11, 12 and 13 to read as follows:
  10.  "DORMITORY  FACILITIES  REVENUE  FUND" MEANS THE FUND ESTABLISHED
PURSUANT TO SECTION SIXTEEN HUNDRED EIGHTY-Q OF THE  PUBLIC  AUTHORITIES
LAW.
  11. "DORMITORY FACILITIES REVENUES" MEANS ALL MONEYS, INCLUDING RENTS,
FEES AND CHARGES, DERIVED FROM THE USE OR OCCUPANCY OF DORMITORY FACILI-
TIES.
  12. "DORMITORY FACILITY" MEANS A DORMITORY, AS SUCH TERM IS DEFINED IN
PARAGRAPH  (A) OF SUBDIVISION TWO OF SECTION SIXTEEN HUNDRED SEVENTY-SIX
OF THE PUBLIC AUTHORITIES LAW.
  13. "DORMITORY FACILITY REVENUE BOND" MEANS ANY NOTE OR  BOND  OF  THE
DORMITORY  AUTHORITY  (I) ISSUED ON OR AFTER THE FIRST DAY OF APRIL, TWO
THOUSAND THIRTEEN FOR THE PURPOSES OF FINANCING DORMITORY FACILITIES  OR
REFINANCING NOTES OR BONDS PREVIOUSLY ISSUED IN CONNECTION WITH DORMITO-
RY  FACILITIES, INCLUDING NOTES OR BONDS ISSUED TO PAY COSTS INCURRED IN
CONNECTION WITH THE ISSUANCE OF SUCH NOTES OR BONDS, TO FUND ANY RESERVE
FOR THE PAYMENT OF DEBT SERVICE ON SUCH BONDS  OR  NOTES,  TO  FUND  ANY
RESERVE  ESTABLISHED  FOR  THE IMPROVEMENT, REPAIR, MAINTENANCE OR OPER-
ATIONS OF DORMITORY FACILITIES, OR TO PAY OR PROVIDE FOR THE PAYMENT  OF
ANY  NOTE  OR  BOND  PREVIOUSLY ISSUED FOR ANY SUCH PURPOSE, AND (II) IS
PAYABLE FROM MONEYS ON DEPOSIT IN THE DORMITORY FACILITIES REVENUE  FUND
AND IS NOT PAYABLE FROM ANY REVENUE OF THE STATE.
  S  2.  Subdivision 2 of section 355 of the education law is amended by
adding a new paragraph y to read as follows:
  Y. TO BETTER SECURE DORMITORY AUTHORITY  BONDS  ISSUED  IN  CONNECTION
WITH  DORMITORY  FACILITIES, INCLUDING DORMITORY FACILITY REVENUE BONDS,

S. 2607--A                         28                         A. 3007--A

THE STATE UNIVERSITY OF NEW YORK IS HEREBY AUTHORIZED, IN ITS OWN  NAME,
TO ASSIGN OR OTHERWISE TRANSFER TO THE DORMITORY AUTHORITY ANY OR ALL OF
THE STATE UNIVERSITY'S RIGHTS, TITLE AND INTEREST IN AND TO THE DORMITO-
RY  FACILITY  REVENUES,  AND TO ENTER INTO AGREEMENTS WITH THE DORMITORY
AUTHORITY PURSUANT TO SUBDIVISION TWO OF SECTION SIXTEEN HUNDRED  EIGHT-
Y-Q  OF  THE PUBLIC AUTHORITIES LAW IN FURTHERANCE OF SUCH ASSIGNMENT OR
TRANSFER. ANY ASSIGNMENT OR TRANSFER MADE  PURSUANT  TO  THIS  PARAGRAPH
SHALL  CONSTITUTE  A  TRUE  SALE  AND ABSOLUTE TRANSFER OF THE DORMITORY
FACILITIES REVENUES. THE CHARACTERIZATION OF SUCH ASSIGNMENT OR TRANSFER
SHALL NOT BE NEGATED OR ADVERSELY AFFECTED BY THE RETENTION BY THE STATE
UNIVERSITY OF NEW YORK OF ANY OWNERSHIP INTEREST IN THE DORMITORY FACIL-
ITIES REVENUES OR OF ANY RESIDUAL RIGHT  TO  PAYMENT  OF  ANY  DORMITORY
FACILITY  REVENUES  REMAINING  IN  THE DORMITORY FACILITIES REVENUE FUND
AFTER THE MONEYS THEREIN HAVE BEEN APPLIED IN ACCORDANCE WITH  PARAGRAPH
(B)  OF  SUBDIVISION  THREE  OF  SECTION SIXTEEN HUNDRED EIGHTY-Q OF THE
PUBLIC AUTHORITIES LAW. ALL RIGHTS, TITLE AND INTEREST  IN  AND  TO  ANY
MONEYS  PAID  TO  OR  UPON THE ORDER OF THE STATE UNIVERSITY OF NEW YORK
PURSUANT TO ANY AGREEMENT BY AND BETWEEN THE DORMITORY AUTHORITY AND THE
STATE UNIVERSITY OF NEW YORK ENTERED INTO PURSUANT TO SUBDIVISION TWO OF
SECTION SIXTEEN HUNDRED EIGHTY-Q OF THE PUBLIC AUTHORITIES LAW OR PURSU-
ANT TO ANY AGREEMENT ENTERED INTO PURSUANT TO PARAGRAPH J OF SUBDIVISION
TWO OF SECTION SIXTEEN HUNDRED EIGHTY  OF  THE  PUBLIC  AUTHORITIES  LAW
SHALL VEST IN THE STATE UNIVERSITY OF NEW YORK AND BE THE ABSOLUTE PROP-
ERTY  OF  THE  STATE UNIVERSITY OF NEW YORK, AND THE DORMITORY AUTHORITY
SHALL NO LONGER HAVE ANY INTEREST IN SUCH MONEYS.
  S 3. Subdivision 8 of section 355 of the education law, as amended  by
chapter 553 of the laws of 1985, is amended to read as follows:
  8.  [All]  EXCEPT AS OTHERWISE PROVIDED HEREIN, ALL moneys received by
the state university of New  York  and  by  state-operated  institutions
thereof  from  appropriations,  tuition,  fees,  user  charges, sales of
products and services and from all other sources, including sources  and
activities of the state university which are intended by law to be self-
supporting  may be credited to an appropriate fund or funds to be desig-
nated by the state comptroller. The amounts so paid into  such  fund  or
funds  which  were received by or for the state university shall be used
for expenses of the state university in carrying out any of its  objects
and  purposes  and such amounts received by or for state-operated insti-
tutions of the state university shall be used for expenses of the  state
university  under  regulations  prescribed by the state university trus-
tees.  NOTWITHSTANDING THE FOREGOING PROVISIONS OF THIS SUBDIVISION, ALL
DORMITORY FACILITIES REVENUES TRANSFERRED TO THE DORMITORY AUTHORITY  BY
ASSIGNMENT  OR  OTHERWISE  PURSUANT TO PARAGRAPH Y OF SUBDIVISION TWO OF
THIS SECTION SHALL UPON RECEIPT BY THE STATE UNIVERSITY ACTING AS  AGENT
FOR  THE DORMITORY AUTHORITY BE TRANSFERRED AND IMMEDIATELY PAID WITHOUT
APPROPRIATION THEREOF TO THE COMMISSIONER OF TAXATION AND FINANCE PURSU-
ANT TO SUBDIVISION FOUR OF SECTION FOUR OF THE  STATE  FINANCE  LAW  FOR
DEPOSIT TO THE DORMITORY FACILITIES REVENUE FUND.
  S  4.  The  public  authorities law is amended by adding a new section
1680-q to read as follows:
  S 1680-Q. STATE UNIVERSITY OF NEW YORK DORMITORY FACILITIES.    1.  AS
USED  IN  OR  REFERRED  TO  IN  THIS SECTION, UNLESS A DIFFERENT MEANING
APPEARS FROM THE CONTEXT, THE FOLLOWING TERMS SHALL HAVE  THE  FOLLOWING
RESPECTIVE MEANINGS:
  (A)  "AGREEMENT"  MEANS  AN AGREEMENT BY AND BETWEEN THE AUTHORITY AND
THE STATE UNIVERSITY ENTERED INTO PURSUANT TO THIS SECTION.

S. 2607--A                         29                         A. 3007--A

  (B) "DORMITORY FACILITIES REVENUE FUND"  MEANS  THE  FUND  ESTABLISHED
PURSUANT TO SUBDIVISION THREE OF THIS SECTION.
  (C) "DORMITORY FACILITIES REVENUES" MEANS ALL MONEYS, INCLUDING RENTS,
FEES AND CHARGES, DERIVED FROM THE USE OR OCCUPANCY OF DORMITORY FACILI-
TIES.
  (D) "DORMITORY FACILITY" MEANS A DORMITORY, AS SUCH TERM IS DEFINED IN
PARAGRAPH  (A) OF SUBDIVISION TWO OF SECTION SIXTEEN HUNDRED SEVENTY-SIX
OF THIS TITLE.
  (E) "DORMITORY FACILITY REVENUE BOND" MEANS ANY NOTE OR  BOND  OF  THE
AUTHORITY  (I)  ISSUED  ON OR AFTER THE FIRST DAY OF APRIL, TWO THOUSAND
THIRTEEN FOR THE PURPOSES OF FINANCING DORMITORY FACILITIES OR REFINANC-
ING NOTES OR BONDS ISSUED PREVIOUSLY IN CONNECTION WITH DORMITORY FACIL-
ITIES, INCLUDING  NOTES  OR  BONDS  ISSUED  TO  PAY  COSTS  INCURRED  IN
CONNECTION WITH THE ISSUANCE OF SUCH NOTES OR BONDS, TO FUND ANY RESERVE
FOR  THE  PAYMENT  OF  DEBT  SERVICE  ON SUCH BONDS, TO FUND ANY RESERVE
ESTABLISHED FOR THE IMPROVEMENT, REPAIR, MAINTENANCE  OR  OPERATIONS  OF
DORMITORY  FACILITIES,  OR TO PAY OR PROVIDE FOR THE PAYMENT OF ANY NOTE
OR BOND PREVIOUSLY ISSUED FOR ANY SUCH PURPOSE, AND (II) IS PAYABLE FROM
MONEYS ON DEPOSIT IN THE DORMITORY FACILITIES REVENUE FUND.
  (F) "PRIOR DORMITORY FACILITY BOND" MEANS ANY  NOTE  OR  BOND  OF  THE
AUTHORITY  ISSUED  PRIOR  TO  APRIL  FIRST,  TWO  THOUSAND  THIRTEEN  IN
CONNECTION WITH DORMITORY FACILITIES.
  (G) "STATE UNIVERSITY" MEANS THE  STATE  UNIVERSITY  OF  NEW  YORK,  A
CORPORATION WITHIN THE STATE EDUCATION DEPARTMENT AND WITHIN THE UNIVER-
SITY OF THE STATE OF NEW YORK CREATED BY SECTION THREE HUNDRED FIFTY-TWO
OF THE EDUCATION LAW.
  2.  THE  AUTHORITY MAY, FROM AND AFTER APRIL FIRST, TWO THOUSAND THIR-
TEEN, ISSUE DORMITORY FACILITY REVENUE BONDS IN AN AMOUNT NOT TO  EXCEED
NINE  HUNDRED FORTY-FOUR MILLION DOLLARS. SUCH AMOUNT SHALL BE EXCLUSIVE
OF BONDS AND NOTES ISSUED TO FUND ANY RESERVE FUND  OR  FUNDS,  COST  OF
ISSUANCE,  ORIGINAL  ISSUE  PREMIUM,  AND  TO REFUND ANY PRIOR DORMITORY
FACILITY BONDS OR ANY DORMITORY FACILITY REVENUE  BONDS.  THE  AUTHORITY
AND  THE STATE UNIVERSITY ARE HEREBY AUTHORIZED TO ENTER INTO AGREEMENTS
RELATING TO, AMONG OTHER THINGS, THE ACQUISITION OF PROPERTY  OR  INTER-
ESTS THEREIN, THE CONSTRUCTION, RECONSTRUCTION, REHABILITATION, IMPROVE-
MENT,  EQUIPPING  AND  FURNISHING OF DORMITORY FACILITIES, THE OPERATION
AND MAINTENANCE OF DORMITORY FACILITIES, AND THE BILLING, COLLECTION AND
DISBURSEMENT OF DORMITORY FACILITIES REVENUES, THE TITLE  TO  WHICH  HAS
BEEN CONVEYED, ASSIGNED OR OTHERWISE TRANSFERRED TO THE AUTHORITY PURSU-
ANT  TO  PARAGRAPH  Y  OF  SUBDIVISION  TWO  OF  SECTION  THREE  HUNDRED
FIFTY-FIVE OF THE EDUCATION LAW. NO DEBT SHALL BE CONTRACTED  EXCEPT  TO
FINANCE  CAPITAL  WORKS OR PURPOSES. NOTWITHSTANDING ANY OTHER PROVISION
OF LAW, DORMITORY FACILITY REVENUES SHALL NOT BE DEEMED TO  BE  REVENUES
OF  THE  STATE.  THE  STATE  SHALL NOT BE LIABLE FOR ANY PAYMENTS ON ANY
DORMITORY FACILITY REVENUE BONDS, AND SUCH BONDS SHALL NOT BE A DEBT  OF
THE STATE.
  3.  (A) THERE IS HEREBY ESTABLISHED IN THE CUSTODY OF THE COMMISSIONER
OF TAXATION AND FINANCE A SPECIAL FUND TO  BE  KNOWN  AS  THE  DORMITORY
FACILITIES REVENUE FUND. SUCH FUND SHALL CONSIST OF ALL DORMITORY FACIL-
ITIES  REVENUES  CONVEYED,  ASSIGNED  OR  OTHERWISE  TRANSFERRED  TO THE
AUTHORITY PURSUANT TO PARAGRAPH Y OF SUBDIVISION TWO  OF  SECTION  THREE
HUNDRED  FIFTY-FIVE  OF  THE  EDUCATION  LAW,  WHICH UPON RECEIPT BY THE
COMMISSIONER OF TAXATION AND FINANCE SHALL BE DEPOSITED IN SUCH FUND AND
HELD BY THE COMMISSIONER OF TAXATION AND FINANCE PURSUANT TO SUBDIVISION
FOUR OF SECTION FOUR OF THE STATE FINANCE LAW. THE MONEYS  IN  THE  FUND
SHALL  BE  THE  SOLE AND EXCLUSIVE PROPERTY OF THE AUTHORITY. THE MONEYS

S. 2607--A                         30                         A. 3007--A

HELD IN THE FUND SHALL BE HELD SEPARATE AND APART FROM AND  NOT  COMMIN-
GLED  WITH ANY MONEYS OF THE STATE OR ANY OTHER MONEYS IN THE CUSTODY OF
THE COMMISSIONER OF TAXATION AND FINANCE.  ALL DEPOSITS OF MONEYS SHALL,
IF  REQUIRED  BY THE COMMISSIONER OF TAXATION AND FINANCE, BE SECURED BY
OBLIGATIONS OF THE UNITED STATES OF AMERICA OR OF  THE  STATE  HAVING  A
MARKET  VALUE  EQUAL AT ALL TIMES TO THE AMOUNT OF SUCH DEPOSITS AND ALL
BANKS AND TRUST COMPANIES ARE  AUTHORIZED  TO  GIVE  SECURITY  FOR  SUCH
DEPOSITS.  ANY MONEYS IN SUCH FUND MAY, IN THE DISCRETION OF THE COMMIS-
SIONER OF TAXATION AND FINANCE, BE INVESTED IN OBLIGATIONS DESCRIBED  IN
SECTION NINETY-EIGHT OF THE STATE FINANCE LAW. THE COMMISSIONER OF TAXA-
TION AND FINANCE SHALL CERTIFY TO THE AUTHORITY AND THE STATE UNIVERSITY
NOT  LATER  THAN THE FIFTEENTH DAY OF EACH MONTH THE AMOUNT OF DORMITORY
FACILITIES REVENUES DEPOSITED IN THE FUND DURING THE PRECEDING  CALENDAR
MONTH AND THE AMOUNT HELD IN THE FUND AS OF THE LAST DAY OF SUCH PRECED-
ING CALENDAR MONTH.
  (B)  DURING EACH TWELVE MONTH PERIOD COMMENCING JULY FIRST OF A CALEN-
DAR YEAR AND ENDING ON JUNE THIRTIETH OF THE SUCCEEDING  CALENDAR  YEAR,
THE  COMMISSIONER  OF  TAXATION AND FINANCE SHALL PAY, WITHOUT APPROPRI-
ATION, TO OR UPON THE ORDER OF THE AUTHORITY FROM THE MONEYS IN THE FUND
THE AMOUNT CERTIFIED TO THE COMMISSIONER OF TAXATION AND FINANCE BY  THE
AUTHORITY  PURSUANT  TO  PARAGRAPH  (C)  OF THIS SUBDIVISION. ANY MONEYS
REMAINING IN THE FUND AFTER PAYMENT TO THE AUTHORITY OF  THE  AMOUNT  SO
CERTIFIED  SHALL  BE PAID BY THE COMMISSIONER OF TAXATION AND FINANCE IN
ACCORDANCE WITH THE AGREEMENT. ALL RIGHTS, TITLE AND INTEREST IN AND  TO
ANY MONEYS PAID TO OR UPON THE ORDER OF THE STATE UNIVERSITY PURSUANT TO
THE  AGREEMENT  SHALL  VEST  IN THE STATE UNIVERSITY AND BE THE ABSOLUTE
PROPERTY OF THE STATE UNIVERSITY, AND THE AUTHORITY SHALL NO LONGER HAVE
ANY INTEREST IN SUCH MONEYS.
  (C) THE AUTHORITY SHALL, NOT LATER THAN BY THE FIRST DAY  OF  JUNE  OF
EACH  CALENDAR YEAR, CERTIFY TO THE COMMISSIONER OF TAXATION AND FINANCE
AND TO THE STATE UNIVERSITY: (I) THE AMOUNT OF  THE  RENTALS,  INCLUDING
THE  AMOUNTS  REQUIRED  FOR PAYMENT OF THE PRINCIPAL OF, AND INTEREST ON
PRIOR DORMITORY FACILITY BONDS REQUIRED TO BE MADE BY THE STATE  UNIVER-
SITY  TO  THE AUTHORITY DURING THE TWELVE MONTH PERIOD COMMENCING ON THE
SUCCEEDING JULY FIRST AND ENDING ON THE SUCCEEDING JUNE THIRTIETH PURSU-
ANT TO THE AGREEMENT BETWEEN THE AUTHORITY  AND  THE  STATE  UNIVERSITY,
DATED   AS   OF   THE  TWENTIETH  DAY  OF  SEPTEMBER,  NINETEEN  HUNDRED
NINETY-FIVE, AS AMENDED AND RESTATED; (II) THE AMOUNT REQUIRED TO  MAIN-
TAIN ANY RESERVES FOR THE REPAIR AND REPLACEMENT OF DORMITORY FACILITIES
OR  THE OPERATIONS AND MAINTENANCE OF DORMITORY FACILITIES IN CONNECTION
WITH THE PRIOR DORMITORY FACILITY BONDS; (III) THE AMOUNT  REQUIRED  FOR
PAYMENT OF THE PRINCIPAL OF, WHETHER AT MATURITY OR DUE THROUGH MANDATO-
RY  REDEMPTION, AND INTEREST ON DORMITORY FACILITY REVENUE BONDS PAYABLE
ON JANUARY FIRST OF SUCH TWELVE MONTH PERIOD  AND  ON  JULY  FIRST  NEXT
SUCCEEDING  SUCH  TWELVE MONTH PERIOD; (IV) THE AMOUNT REQUIRED TO MAIN-
TAIN ANY RESERVES FOR THE REPAIR AND REPLACEMENT OF DORMITORY FACILITIES
OR THE OPERATIONS AND MAINTENANCE OF DORMITORY FACILITIES IN  CONNECTION
WITH  THE  DORMITORY  FACILITY REVENUE BONDS; (V) THE AMOUNT REQUIRED TO
RESTORE ANY RESERVE FOR THE PAYMENT OF DEBT SERVICE ON DORMITORY FACILI-
TY REVENUE BONDS TO ITS REQUIREMENT; AND (VI) THE  COSTS,  EXPENSES  AND
OVERHEAD  OF  THE  DORMITORY AUTHORITY TO BE INCURRED DURING SUCH TWELVE
MONTH PERIOD IN CONNECTION WITH  AND  REASONABLY  RELATED  TO  DORMITORY
FACILITIES  FINANCED  THROUGH THE ISSUANCE OF DORMITORY FACILITY REVENUE
BONDS. EACH SUCH AMOUNT SHALL BE SEPARATELY  STATED  AND  IDENTIFIED  IN
SUCH  CERTIFICATE.  ANY  SUCH  CERTIFICATE  SUBMITTED  BY  THE DORMITORY
AUTHORITY MAY BE AMENDED BY THE DORMITORY AUTHORITY FROM TIME TO TIME AS

S. 2607--A                         31                         A. 3007--A

NECESSARY TO ADJUST THE AMOUNTS SET FORTH THEREIN. THE  MONEYS  PAID  TO
THE  AUTHORITY  PURSUANT  TO  PARAGRAPH (B) OF THIS SUBDIVISION SHALL BE
APPLIED BY THE AUTHORITY IN THE ORDER OF PRIORITY IN WHICH  THE  AMOUNTS
SET FORTH IN SUCH CERTIFICATION ARE STATED IN THIS PARAGRAPH.
  S  5.  For  the purposes of paragraphs (b) and (c) of subdivision 3 of
section 1680-q of the public authorities law, as added by  section  four
of this act, the dormitory authority shall, within thirty days after the
date  on  which this act shall become effective, make and deliver to the
commissioner of taxation and finance and the  state  university  of  New
York  a  certification  in the form and substance required by such para-
graph (c) with respect to amounts required for the items specified ther-
ein during the period from the effective date of this act to and includ-
ing the thirtieth day of June, 2013,  and,  if  this  act  shall  become
effective after the first day of June, 2013, for the twelve month period
commencing  the  first day of July, 2013, to and including the thirtieth
day of June, 2014. No money shall be paid by the commissioner  of  taxa-
tion  and  finance  out  of  the  dormitory facility revenue fund except
unless and until such commissioner has  received  the  certification  or
certifications required by this section.
  S 6. This act shall take effect immediately.

                                 PART C

  Section  1.  Paragraph  (a) of subdivision 1 of section 1 of part U of
chapter 57 of the laws of 2005 amending the labor  law  and  other  laws
implementing  the state fiscal plan for the 2005-2006 state fiscal year,
relating to the New York state higher education capital  matching  grant
program  for  independent colleges, as amended by section 1 of part H of
chapter 57 of the laws of 2012, is amended to read as follows:
  (a) The New York state higher education capital matching  grant  board
is  hereby  created to have and exercise the powers, duties and preroga-
tives provided by the provisions of this section and any other provision
of law. The board shall remain in existence during the period of the New
York state higher education capital  matching  grant  program  from  the
effective  date  of  this  section through March 31, [2013] 2014, or the
date on which the last of the funds  available  for  grants  under  this
section  shall  have  been  disbursed,  whichever  is earlier; provided,
however, that the termination of the existence of the  board  shall  not
affect the power and authority of the dormitory authority to perform its
obligations  with  respect  to  any  bonds, notes, or other indebtedness
issued or incurred pursuant to authority granted in this section.
  S 2. Paragraph (h) of subdivision 4 of section 1 of part U of  chapter
57  of the laws of 2005 amending the labor law and other laws implement-
ing the state fiscal plan for the 2005-2006 state fiscal year,  relating
to  the  New  York state higher education capital matching grant program
for independent colleges, as amended by section 2 of part H  of  chapter
57 of the laws of 2012, is amended to read as follows:
  (h)  [If  a  college did not apply for a potential grant] IN THE EVENT
THAT ANY COLLEGES DO NOT APPLY FOR  HIGHER  EDUCATION  CAPITAL  MATCHING
GRANTS  by  March  31,  2009,  OR  IN  THE  EVENT THEY APPLY FOR AND ARE
AWARDED, BUT DO NOT USE THE FULL AMOUNT OF SUCH GRANTS, THE UNUSED funds
associated with  such  [potential  grant]  GRANTS  shall  THEREAFTER  be
awarded[,]  TO  COLLEGES  on  a  competitive basis, [to other colleges,]
according to the priorities set forth below. [Colleges]  NOTWITHSTANDING
SUBDIVISION FIVE OF THIS SECTION, ANY COLLEGE shall be eligible to apply
for  [unutilized  grants] SUCH UNUSED FUNDS IN RESPONSE TO A REQUEST FOR

S. 2607--A                         32                         A. 3007--A

PROPOSALS FOR A HIGHER EDUCATION CAPITAL MATCHING GRANT PURSUANT TO THIS
PARAGRAPH.  In such cases, the following priorities shall apply:  first,
priority shall be given to otherwise eligible colleges that either were,
or would have been, deemed ineligible for the program prior to March 31,
2009,  due  to  missed  deadlines,  insufficient matching funds, lack of
accreditation or other disqualifying  reasons;  and  second,  after  the
board  has  acted  upon  all such first-priority applications for unused
funds, if any such funds remain, those  funds  shall  be  available  for
distribution  to  eligible  colleges  [that  are located within the same
Regents of the State of New  York  region  for  which  such  funds  were
originally  allocated].   THE UNUSED FUNDS ASSOCIATED WITH HIGHER EDUCA-
TION CAPITAL MATCHING GRANTS THAT WERE AVAILABLE IN THE  FIRST  INSTANCE
TO  COLLEGES AND UNIVERSITIES LOCATED IN THE COUNTIES OF NASSAU, SUFFOLK
AND IN THE CITY OF NEW YORK, SHALL BE AWARDED PURSUANT TO THIS PARAGRAPH
TO COLLEGES IN THE COUNTIES OF NASSAU AND SUFFOLK AND THE  CITY  OF  NEW
YORK,  AND THE UNUSED FUNDS ASSOCIATED WITH SUCH GRANTS THAT WERE AVAIL-
ABLE IN THE FIRST INSTANCE TO COLLEGES OUTSIDE THE COUNTIES  OF  NASSAU,
SUFFOLK AND THE CITY OF NEW YORK SHALL BE AWARDED PURSUANT TO THIS PARA-
GRAPH  TO  COLLEGES  LOCATED OUTSIDE THE COUNTIES OF NASSAU, SUFFOLK AND
THE CITY OF NEW YORK. The dormitory authority shall  develop  a  request
for  proposals  and application process, in consultation with the board,
for [such] HIGHER EDUCATION CAPITAL MATCHING grants AWARDED PURSUANT  TO
THIS  PARAGRAPH,  and  shall  develop criteria, subject to review by the
board, for the awarding of such grants. Such  criteria  shall  [incorpo-
rate]  INCLUDE, BUT NOT BE LIMITED TO the matching criteria contained in
paragraph (c) of this subdivision,  and  the  application  criteria  set
forth  in  paragraph  (e)  of  this subdivision. The dormitory authority
shall require all applications in response to the request for  proposals
to  be submitted by September 1, [2012] 2013, and the board shall act on
each application for such matching grants by November 1, [2012] 2013.
  S 3. Subclause (A) of clause (ii) of paragraph (j) of subdivision 4 of
section 1 of part U of chapter 57 of the laws of 2005 amending the labor
law and other laws implementing the state fiscal plan for the  2005-2006
state fiscal year, relating to the New York state higher education capi-
tal  matching  grant  program  for  independent  colleges, as amended by
section 3 of part H of chapter 57 of the laws of  2012,  is  amended  to
read as follows:
  (A) Notwithstanding the provision of any general or special law to the
contrary,  and  subject  to  the provisions of chapter 59 of the laws of
2000 and to the making of annual appropriations therefor by the legisla-
ture, in order to assist the dormitory authority in providing such high-
er education capital matching grants, the  director  of  the  budget  is
authorized  in  any  state  fiscal  year commencing April 1, 2005 or any
state fiscal year thereafter for a period ending  on  March  31,  [2014]
2015,  to  enter into one or more service contracts, none of which shall
exceed 30 years in duration, with the  dormitory  authority,  upon  such
terms as the director of the budget and the dormitory authority agree.
  S  4. Paragraph (b) of subdivision 7 of section 1 of part U of chapter
57 of the laws of 2005 amending the labor law and other laws  implement-
ing  the state fiscal plan for the 2005-2006 state fiscal year, relating
to the New York state higher education matching  capital  grant  program
for  independent  colleges, as amended by section 4 of part H of chapter
57 of the laws of 2012, is amended to read as follows:
  (b) Any eligible institution receiving a grant pursuant to this  arti-
cle shall report to the dormitory authority no later than June 1, [2013]
2014,  on  the use of funding received and its programmatic and economic

S. 2607--A                         33                         A. 3007--A

impact. The dormitory authority shall submit  a  report  no  later  than
November  1, [2013] 2014 to the board, the governor, the director of the
budget, the temporary president of the senate, and the  speaker  of  the
assembly  on the aggregate impact of the higher education matching capi-
tal grant program. Such report shall provide information on the progress
and economic impact of such project.
  S 5. This act shall take effect immediately and  shall  be  deemed  to
have been in full force and effect on and after April 1, 2013.

                                 PART D

  Section  1.  Subdivision  1  of  section  6304 of the education law is
amended by adding two new paragraphs b-1 and b-2 to read as follows:
  B-1. (I) NOTWITHSTANDING ANY PROVISION OF LAW TO THE CONTRARY, FOR THE
COMMUNITY COLLEGE FISCAL YEAR TWO THOUSAND THIRTEEN--TWO THOUSAND  FOUR-
TEEN AND THEREAFTER, ENROLLMENT IN A PROGRAM THAT CONFERS A CREDIT-BEAR-
ING  CERTIFICATE,  AN  ASSOCIATE  OF  OCCUPATIONAL STUDIES DEGREE, OR AN
ASSOCIATE OF APPLIED SCIENCE DEGREE, SHALL ONLY COUNT AS AIDABLE COLLEGE
ENROLLMENT IF:
  (A) THE PROGRAM IS A PARTNERSHIP BETWEEN THE COMMUNITY COLLEGE AND ONE
OR MORE EMPLOYERS TO TRAIN AND EMPLOY STUDENTS IN A SPECIFIC OCCUPATION;
OR
  (B) THE PROGRAM (1) PREPARES STUDENTS FOR  AN  OCCUPATION  THAT  MEETS
CURRENT OR EMERGING REGIONAL WORKFORCE NEEDS BASED ON A LIST PROVIDED BY
THE  DEPARTMENT OF LABOR BASED ON AVAILABLE LABOR MARKET DATA OR IDENTI-
FIED AS SUCH BY THE APPLICABLE REGIONAL  ECONOMIC  DEVELOPMENT  COUNCIL,
AND (2) HAS AN ADVISORY COMMITTEE MADE UP OF MEMBERS OF WHOM THE MAJORI-
TY  ARE EMPLOYERS IN THE OCCUPATION OR SECTOR, OR A RELATED SECTOR, THAT
EMPLOY OR COMMIT TO EMPLOY WORKERS IN THE  REGION  WHERE  THE  COMMUNITY
COLLEGE  IS  LOCATED,  AND SUCH COMMITTEE SERVES TO ADVISE THE COMMUNITY
COLLEGE ON THE PROGRAM'S CURRICULUM, RECRUITMENT, PLACEMENT  AND  EVALU-
ATION SO THAT IT REMAINS UP-TO-DATE WITH EMPLOYER NEEDS.
  (II) NOTWITHSTANDING SUBPARAGRAPH (I) OF THIS PARAGRAPH, ENROLLMENT IN
PROGRAMS  THAT FAIL TO MEET THE REQUIREMENTS OF SUBPARAGRAPH (I) OF THIS
PARAGRAPH SHALL COUNT IN THE DETERMINATION OF AIDABLE COLLEGE ENROLLMENT
IN THE TWO THOUSAND THIRTEEN--TWO THOUSAND  FOURTEEN  COMMUNITY  COLLEGE
FISCAL  YEAR  ONLY  TO  THE  EXTENT  A  STUDENT WAS ENROLLED IN THE SAME
PROGRAM AND WAS COUNTED IN THE DETERMINATION OF AIDABLE COLLEGE  ENROLL-
MENT DURING, OR PRIOR TO, THE TWO THOUSAND TWELVE--TWO THOUSAND THIRTEEN
COMMUNITY COLLEGE FISCAL YEAR.
  (III)  ON  OR BEFORE NOVEMBER FIRST OF EACH YEAR, THE STATE UNIVERSITY
TRUSTEES AND THE CITY UNIVERSITY TRUSTEES SHALL EACH SUBMIT A REPORT  TO
THE  DIRECTOR  OF THE BUDGET FOR PURPOSES OF DETERMINING AMOUNTS PAYABLE
TO COMMUNITY COLLEGES. SUCH REPORT SHALL INCLUDE AN ACCOUNTING OF  AIDA-
BLE  COLLEGE  ENROLLMENT AS DETERMINED IN ACCORDANCE WITH THIS PARAGRAPH
FOR PROGRAMS THAT CONFER CREDIT-BEARING CERTIFICATES, ASSOCIATE OF OCCU-
PATIONAL STUDIES DEGREES, OR ASSOCIATE OF APPLIED  SCIENCE  DEGREES,  IN
SUCH  A  FORM  AND  MANNER  AS THE DIRECTOR OF THE BUDGET MAY REQUIRE TO
VERIFY COMPLIANCE WITH SUBPARAGRAPHS (I) AND (II) OF THIS PARAGRAPH  AND
APPROVE  OR DENY PAYMENT FOR SUCH PROGRAMS THEREOF; AND PROVIDED FURTHER
THAT, PRIOR TO SUBMITTING SUCH REPORTS,  THE  CHANCELLOR  OF  THE  STATE
UNIVERSITY  OF NEW YORK AND THE CHANCELLOR OF THE CITY UNIVERSITY OF NEW
YORK SHALL ASSIST THE DIRECTOR OF THE BUDGET IN AN EVALUATION OF WHETHER
THERE ARE ADDITIONAL WORKFORCE AND VOCATIONAL  PROGRAMS  THAT  SHALL  BE
CONSIDERED  IN  FUTURE  YEARS FOR THE PURPOSE OF MAKING NECESSARY CALCU-
LATIONS PURSUANT TO THIS PARAGRAPH AND PARAGRAPH B-2 OF THIS SECTION.

S. 2607--A                         34                         A. 3007--A

  B-2. (I) NOTWITHSTANDING ANY PROVISION OF LAW TO THE CONTRARY,  WITHIN
AMOUNTS APPROPRIATED THEREFOR, THE STATE UNIVERSITY OF NEW YORK AND CITY
UNIVERSITY  OF  NEW  YORK SHALL MAKE AWARDS TO COMMUNITY COLLEGES FROM A
NEXT GENERATION NY JOB LINKAGE PROGRAM  INCENTIVE  FUND  ON  A  PRO-RATA
BASIS  IN  ACCORDANCE WITH A METHODOLOGY AND IN A FORM AND MANNER DEVEL-
OPED BY THE DIRECTOR OF THE  BUDGET,  IN  CONSULTATION  WITH  THE  STATE
UNIVERSITY AND CITY UNIVERSITY, BASED ON MEASURES OF STUDENT SUCCESS FOR
ALL STUDENTS ENROLLED IN PROGRAMS THAT MEET THE REQUIREMENTS OF SUBPARA-
GRAPH (I) OF PARAGRAPH B-1 OF THIS SUBDIVISION INCLUDING, BUT NOT LIMIT-
ED TO:
  (A)  THE  NUMBER  OF  STUDENTS  WHO  ARE  EMPLOYED FOLLOWING DEGREE OR
CERTIFICATE COMPLETION AND THEIR WAGE GAINS, IF ANY,  AS  DETERMINED  BY
THE  DEPARTMENT  OF  LABOR,  WHICH SHALL BE GIVEN THE GREATEST WEIGHTING
AMONG ALL MEASURES OF STUDENT SUCCESS;
  (B) THE NUMBER OF  ON-TIME  DEGREE  COMPLETIONS,  ON-TIME  CERTIFICATE
COMPLETIONS AND STUDENT TRANSFERS TO OTHER INSTITUTIONS OF HIGHER EDUCA-
TION;
  (C) THE NUMBER OF DEGREES AND CERTIFICATE COMPLETIONS THAT DO NOT MEET
THE  ON-TIME  REQUIREMENT OF CLAUSE (B) OF THIS SUBPARAGRAPH WHICH SHALL
BE GIVEN LESSER WEIGHT THAN CLAUSE (B);
  (D) THE NUMBER OF DEGREE AND CERTIFICATE COMPLETIONS UNDER CLAUSES (B)
AND (C) OF  THIS  SUBPARAGRAPH  BY  A  STUDENT  CONSIDERED  ACADEMICALLY
AT-RISK  DUE TO ECONOMIC DISADVANTAGE OR OTHER FACTOR OF UNDER-REPRESEN-
TATION WITHIN THE FIELD OF STUDY; AND
  (E)  THE  NUMBER  OF  STUDENTS  WHO  MAKE  ADEQUATE  PROGRESS  TOWARDS
COMPLETION  OF  A  DEGREE  OR CERTIFICATE, WHICH MAY INCLUDE ACCELERATED
COMPLETION OF A DEVELOPMENTAL EDUCATION PROGRAM.
  (II) ON OR BEFORE DECEMBER FIRST OF EACH YEAR, OR AN ALTERNATIVE  DATE
AS  DETERMINED  BY  THE  DIRECTOR OF THE BUDGET IN CONSULTATION WITH THE
STATE UNIVERSITY AND CITY UNIVERSITY, THE STATE UNIVERSITY TRUSTEES  AND
THE  CITY  UNIVERSITY  TRUSTEES SHALL EACH SUBMIT A PLAN FOR APPROVAL BY
THE DIRECTOR OF THE BUDGET TO ALLOCATE AMOUNTS AVAILABLE  FOR  THE  NEXT
GENERATION NY JOB LINKAGE PROGRAM INCENTIVE FUND IN ACCORDANCE WITH THIS
PARAGRAPH.
  S 2. This act shall take effect immediately.

                                 PART E

  Section  1.  Paragraphs  (a),  (b),  (c)  and  (d) of subdivision 1 of
section 131-o of the social services law, as amended  by  section  1  of
part  C  of  chapter  57  of  the  laws  of 2012, are amended to read as
follows:
  (a) in the case of each individual receiving family  care,  an  amount
equal to at least [$135.00] $137.00 for each month beginning on or after
January first, two thousand [twelve] THIRTEEN.
  (b)  in  the  case  of  each individual receiving residential care, an
amount equal to at least [$155.00] $158.00 for each month  beginning  on
or after January first, two thousand [twelve] THIRTEEN.
  (c)  in  the  case  of  each individual receiving enhanced residential
care, an amount equal to at  least  [$184.00]  $187.00  for  each  month
beginning on or after January first, two thousand [twelve] THIRTEEN.
  (d)  for  the period commencing January first, two thousand [thirteen]
FOURTEEN, the monthly personal needs allowance shall be an amount  equal
to the sum of the amounts set forth in subparagraphs one and two of this
paragraph:

S. 2607--A                         35                         A. 3007--A

  (1)  the  amounts  specified  in  paragraphs  (a), (b) and (c) of this
subdivision; and
  (2)  the  amount  in subparagraph one of this paragraph, multiplied by
the percentage of any  federal  supplemental  security  income  cost  of
living adjustment which becomes effective on or after January first, two
thousand  [thirteen] FOURTEEN, but prior to June thirtieth, two thousand
[thirteen] FOURTEEN, rounded to the nearest whole dollar.
  S 2. Paragraphs (a), (b), (c), (d), (e) and (f) of  subdivision  2  of
section  209 of the social services law, as amended by section 2 of part
C of chapter 57 of the laws of 2012, are amended to read as follows:
  (a) On and after January first, two thousand [twelve] THIRTEEN, for an
eligible individual living alone, [$785.00] $797.00; and for an eligible
couple living alone, [$1152.00] $1170.00.
  (b) On and after January first, two thousand [twelve] THIRTEEN, for an
eligible individual living with others with or without  in-kind  income,
[$721.00] $733.00; and for an eligible couple living with others with or
without in-kind income, [$1094.00] $1112.00.
  (c)  On  and  after January first, two thousand [twelve] THIRTEEN, (i)
for an eligible individual receiving family care, [$964.48]  $976.48  if
he  or  she is receiving such care in the city of New York or the county
of Nassau, Suffolk, Westchester or Rockland; and (ii)  for  an  eligible
couple  receiving  family  care in the city of New York or the county of
Nassau, Suffolk, Westchester or Rockland, two times the amount set forth
in subparagraph (i) of this paragraph; or (iii) for an eligible individ-
ual receiving such care in any other  county  in  the  state,  [$926.48]
$938.48;  and  (iv)  for  an  eligible couple receiving such care in any
other county in the state, two times the amount set  forth  in  subpara-
graph (iii) of this paragraph.
  (d)  On  and  after January first, two thousand [twelve] THIRTEEN, (i)
for  an  eligible  individual  receiving  residential  care,  [$1133.00]
$1145.00  if he or she is receiving such care in the city of New York or
the county of Nassau, Suffolk, Westchester or Rockland; and (ii) for  an
eligible  couple  receiving  residential care in the city of New York or
the county of Nassau, Suffolk, Westchester or Rockland,  two  times  the
amount  set forth in subparagraph (i) of this paragraph; or (iii) for an
eligible individual receiving such care  in  any  other  county  in  the
state,  [$1103.00]  $1115.00;  and (iv) for an eligible couple receiving
such care in any other county in the state, two  times  the  amount  set
forth in subparagraph (iii) of this paragraph.
  (e)  (i)  On  and after January first, two thousand [twelve] THIRTEEN,
for  an  eligible  individual  receiving  enhanced   residential   care,
[$1392.00]  $1404.00; and (ii) for an eligible couple receiving enhanced
residential care, two times the amount set forth in subparagraph (i)  of
this paragraph.
  (f) The amounts set forth in paragraphs (a) through (e) of this subdi-
vision  shall  be  increased to reflect any increases in federal supple-
mental security income benefits for individuals or couples which  become
effective  on  or  after January first, two thousand [thirteen] FOURTEEN
but prior to June thirtieth, two thousand [thirteen] FOURTEEN.
  S 3. This act shall take effect December 31, 2013.

                                 PART F

  Section 1. Title 1 of article  2-A  of  the  social  services  law  is
REPEALED.

S. 2607--A                         36                         A. 3007--A

  S  2. The private housing finance law is amended by adding a new arti-
cle 28 to read as follows:
                               ARTICLE 28
                 HOMELESS HOUSING AND ASSISTANCE PROGRAM
SECTION 1223. LEGISLATIVE FINDINGS AND PURPOSE.
        1224. DEFINITIONS.
        1225. HOMELESS HOUSING AND ASSISTANCE CONTRACTS.
        1226. GENERAL AND ADMINISTRATIVE PROVISIONS.
  S 1223. LEGISLATIVE FINDINGS AND PURPOSE. THE LEGISLATURE HEREBY FINDS
THAT  THE  NEED  CONTINUES  TO  EXIST FOR A PROGRAM TO PROVIDE MONIES TO
NOT-FOR-PROFIT  CORPORATIONS,  CHARITABLE  ORGANIZATIONS,  WHOLLY  OWNED
SUBSIDIARIES  OF  NOT-FOR-PROFIT CORPORATIONS OR OF CHARITABLE ORGANIZA-
TIONS,  PUBLIC  CORPORATIONS  AND  MUNICIPALITIES  TO  DEVELOP,  EXPAND,
PRESERVE  AND IMPROVE THE SUPPLY OF SHELTER AND OTHER SUPPORTIVE HOUSING
ARRANGEMENTS FOR HOMELESS PERSONS. THIS PROGRAM SHALL NOW BE OVERSEEN BY
THE STATE DIVISION OF HOUSING AND COMMUNITY RENEWAL,  THE  STATE  AGENCY
THAT   HAS   PRIMARY   RESPONSIBILITY   FOR  AND  EXPERTISE  IN  CAPITAL
CONSTRUCTION AND ASSET MANAGEMENT. THE STATE  DIVISION  OF  HOUSING  AND
COMMUNITY  RENEWAL, IN CONJUNCTION WITH THE HOMELESS HOUSING AND ASSIST-
ANCE CORPORATION, SHALL CONSULT WITH THE OFFICE OF TEMPORARY  AND  DISA-
BILITY ASSISTANCE, THE OFFICE OF MENTAL HEALTH, THE OFFICE OF ALCOHOLISM
AND  SUBSTANCE  ABUSE SERVICES AND SUCH OTHER APPROPRIATE AGENCIES AS IT
MAY DEEM NECESSARY IN ORDER TO EFFECTUATE THE PURPOSES OF THIS  ARTICLE.
IN  ADDITION,  THE STATE DIVISION OF HOUSING AND COMMUNITY RENEWAL SHALL
CONSULT WITH THE OFFICE OF TEMPORARY AND DISABILITY ASSISTANCE IN REGARD
TO THE REVIEW OF THE COMPONENTS OF PROPOSED PROJECT OPERATING  PLANS  AS
REFERENCED IN PARAGRAPHS (B), (C) AND (D) OF SUBDIVISION FOUR OF SECTION
TWELVE HUNDRED TWENTY-FIVE OF THIS ARTICLE.
  S  1224.  DEFINITIONS.  AS  USED  IN THIS ARTICLE, THE FOLLOWING TERMS
SHALL HAVE THE FOLLOWING MEANINGS UNLESS THE  CONTEXT  CLEARLY  REQUIRES
OTHERWISE:
  1. "CORPORATION" SHALL MEAN THE HOMELESS HOUSING AND ASSISTANCE CORPO-
RATION ESTABLISHED IN SECTION FORTY-FIVE-C OF THIS CHAPTER.
  2. "HOMELESS PROJECT" SHALL MEAN A SPECIFIC FACILITY, INCLUDING LANDS,
BUILDINGS AND IMPROVEMENTS ACQUIRED, CONSTRUCTED, RENOVATED OR REHABILI-
TATED AND OPERATED BY A NOT-FOR-PROFIT CORPORATION, CHARITABLE ORGANIZA-
TION,  WHOLLY  OWNED  SUBSIDIARY OF A NOT-FOR-PROFIT CORPORATION OR OF A
CHARITABLE  ORGANIZATION,  PUBLIC  CORPORATION  OR  A  MUNICIPALITY   TO
INCREASE THE AVAILABILITY OF HOUSING FOR HOMELESS PERSONS, WHICH (A) MAY
INCLUDE  FACILITIES  FOR  ASSOCIATED SERVICES SUCH AS BUT NOT LIMITED TO
DINING,  RECREATIONAL,  SANITARY,  SOCIAL,  MEDICAL  AND  MENTAL  HEALTH
SERVICES  AS  MAY BE DEEMED BY THE CORPORATION TO BE ESSENTIAL TO SUCH A
PROJECT; AND (B) MUST PROVIDE DIRECTLY OR ARRANGE INDIRECTLY  SUPPORTIVE
SERVICES,  AS  DEEMED  BY THE CORPORATION TO BE APPROPRIATE TO THE POPU-
LATION TO BE HOUSED AND ESSENTIAL TO SUCH A PROJECT.
  3. "HOMELESS PERSON" SHALL MEAN A PERSON OR FAMILY WHO  IS  UNABLE  TO
SECURE  PERMANENT  AND  STABLE  HOUSING  WITHOUT  SPECIAL ASSISTANCE, AS
DETERMINED BY THE CORPORATION.
  4. "PROJECT COST" SHALL MEAN THE  COST  OF  ANY  OR  ALL  UNDERTAKINGS
NECESSARY   FOR   PLANNING,  FINANCING,  LAND  ACQUISITION,  DEMOLITION,
CONSTRUCTION, REHABILITATION, EQUIPMENT, FURNITURE AND SITE DEVELOPMENT.
  5. "OTHER THAN PROJECT COST" SHALL MEAN COSTS ASSOCIATED WITH SUSTAIN-
ING THE LONG-TERM VIABILITY OF THE PROJECT, INCLUDING, BUT  NOT  LIMITED
TO  STARTUP  COSTS, RESERVES, EMERGENT REPAIR NEEDS AND RELATED COSTS TO
THE CORPORATION OF STABILIZING OPERATING PROJECTS,  AS  MAY  BE  FURTHER

S. 2607--A                         37                         A. 3007--A

DEFINED  IN  THE  REGULATIONS  AND  SUBJECT TO THE LIMITATIONS STATED IN
SUBDIVISION NINE OF SECTION TWELVE HUNDRED TWENTY-FIVE OF THIS ARTICLE.
  6.  "NOT-FOR-PROFIT  CORPORATION"  AND "CHARITABLE ORGANIZATION" SHALL
MEAN ENTITIES ESTABLISHED PURSUANT TO THE NOT-FOR-PROFIT CORPORATION LAW
OR OTHERWISE ESTABLISHED PURSUANT TO LAW.
  7. "PUBLIC CORPORATION" SHALL MEAN A MUNICIPAL CORPORATION, A DISTRICT
CORPORATION, OR A PUBLIC BENEFIT CORPORATION.
  S 1225. HOMELESS HOUSING  AND  ASSISTANCE  CONTRACTS.  1.  WITHIN  THE
LIMITS  OF  FUNDS  APPROPRIATED  FOR THE HOMELESS HOUSING AND ASSISTANCE
PROGRAM, THE CORPORATION IS AUTHORIZED  TO  ENTER  INTO  CONTRACTS  WITH
MUNICIPALITIES  TO  PROVIDE  STATE  FINANCIAL ASSISTANCE FOR THE PROJECT
COSTS ATTRIBUTABLE TO THE ESTABLISHMENT OF  HOMELESS  HOUSING  PROJECTS.
THE  MUNICIPALITIES THAT ENTER INTO CONTRACTS WITH THE CORPORATION SHALL
UNDERTAKE THE ESTABLISHMENT OF THE HOMELESS  HOUSING  PROJECT  OR  SHALL
CONTRACT WITH A NOT-FOR-PROFIT CORPORATION OR CHARITABLE ORGANIZATION TO
UNDERTAKE THE PROJECT, PURSUANT TO THIS ARTICLE.
  2.  SUBJECT  TO THE APPROVAL OF THE DIRECTOR OF THE BUDGET, THE CORPO-
RATION IS AUTHORIZED TO ENTER INTO CONTRACTS WITH NOT-FOR-PROFIT  CORPO-
RATIONS  OR  SUBSIDIARIES  THEREOF,  PUBLIC  CORPORATIONS  OR CHARITABLE
ORGANIZATIONS OR SUBSIDIARIES THEREOF TO PROVIDE STATE FINANCIAL ASSIST-
ANCE FOR THE PROJECT COSTS ATTRIBUTABLE TO THE ESTABLISHMENT OF HOMELESS
PROJECTS.
  3. THE STATE FINANCIAL ASSISTANCE SHALL BE  IN  THE  FORM  OF  GRANTS,
LOANS  OR  LOAN  GUARANTEES, AS THE CORPORATION MAY DETERMINE; PROVIDED,
HOWEVER, THAT FINANCIAL ASSISTANCE TO A FOR-PROFIT SUBSIDIARY OF A  NOT-
FOR-PROFIT  CORPORATION  OR  OF A CHARITABLE ORGANIZATION MUST BE IN THE
FORM OF A LOAN OR LOAN GUARANTEE. ANY LOAN TO  A  FOR-PROFIT  SUBSIDIARY
SHALL BE REPAID UNDER SUCH TERMS AS WILL PROTECT THE FINANCIAL VIABILITY
OF  THE PROJECT.  SUBJECT TO THE APPROVAL OF THE DIRECTOR OF THE BUDGET,
THE CORPORATION MAY CONTRACT WITH OTHER STATE AGENCIES,  PUBLIC  BENEFIT
CORPORATIONS  OR PRIVATE INSTITUTIONS TO ADMINISTER A LOAN OR LOAN GUAR-
ANTEE PROGRAM PURSUANT TO REGULATIONS TO BE PROMULGATED  BY  THE  CORPO-
RATION.
  4.  THE  CORPORATION  SHALL  REQUIRE  THAT,  IN ORDER TO RECEIVE FUNDS
PURSUANT TO THIS ARTICLE, THE MUNICIPALITY,  NOT-FOR-PROFIT  CORPORATION
OR  SUBSIDIARY THEREOF, PUBLIC CORPORATION OR CHARITABLE ORGANIZATION OR
SUBSIDIARY THEREOF MUST  SUBMIT  AN  OPERATING  PLAN.  SUCH  PLAN  SHALL
INCLUDE:
  (A) THE MANNER IN WHICH THE OPERATING EXPENSES OF THE PROJECT SHALL BE
MET;
  (B)  THE SERVICES THAT WILL BE PROVIDED TO HOMELESS PERSONS, INCLUDING
PROCEDURES FOR INTAKE, REFERRAL AND OUTREACH;
  (C) THE RESPONSIBILITIES  OF  THE  MUNICIPALITY  AND  SOCIAL  SERVICES
DISTRICT FOR THE OPERATION OF THE PROJECT;
  (D) THE SPECIFIC POPULATION THAT WILL BE SERVED BY THE PROJECT AND HOW
THE PROJECT WILL ADDRESS THE POPULATION'S SPECIAL NEEDS;
  (E) THE CATEGORY OF FACILITY PROPOSED TO BE ESTABLISHED;
  (F)  EVIDENCE  DEMONSTRATING THAT SUCH PROJECT COMPLIES OR WILL COMPLY
WITH EXISTING LOCAL, STATE AND FEDERAL LAWS AND REGULATIONS; AND
  (G) A RENT OR OTHER REVENUE STRUCTURE THAT IS AFFORDABLE TO THE  POPU-
LATION TO BE HOUSED.
  5.  THE CORPORATION MAY USE UP TO TWO PERCENT OF THE APPROPRIATION FOR
ANY FISCAL YEAR TO PAY FOR TECHNICAL ASSISTANCE IN  SUPPORT  OF  PROJECT
DEVELOPMENT  AND  OPERATION. TECHNICAL ASSISTANCE MAY INCLUDE ASSISTANCE
WITH GENERAL PROJECT DEVELOPMENT AND OPERATION, SUPPORT SERVICES  DEVEL-
OPMENT,  ARCHITECTURE  AND  ENGINEERING,  LEGAL  SERVICES  AND FINANCIAL

S. 2607--A                         38                         A. 3007--A

SERVICES AND MAY BE PROVIDED BY INDIVIDUALS AND NOT-FOR-PROFIT OR  BUSI-
NESS CORPORATIONS. THE PROVIDERS OF TECHNICAL ASSISTANCE SHALL BE CHOSEN
BY  THE  CORPORATION  BASED ON SUCH INFORMATION AS THE CORPORATION SHALL
REQUIRE  IN  A REQUEST FOR PROPOSALS OR IN ANY OTHER COMPETITIVE PROCESS
WHICH SATISFIES THE PROVISIONS OF THE STATE FINANCE LAW.
  6. PRIOR TO ENTERING INTO A CONTRACT FOR THE ESTABLISHMENT AND  OPERA-
TION  OF  A  HOMELESS  PROJECT PURSUANT TO THIS SECTION, THE CORPORATION
SHALL DETERMINE THAT THE NOT-FOR-PROFIT CORPORATION OR SUBSIDIARY THERE-
OF, PUBLIC CORPORATION OR CHARITABLE ORGANIZATION OR SUBSIDIARY  THEREOF
THAT PROPOSES TO UNDERTAKE THE HOMELESS PROJECT IS A BONA FIDE ORGANIZA-
TION  WHICH  SHALL  HAVE DEMONSTRATED BY ITS PAST AND CURRENT ACTIVITIES
THAT IT  HAS  THE  ABILITY  TO  MAINTAIN,  MANAGE  OR  OPERATE  HOMELESS
PROJECTS,  THAT  THE  ORGANIZATION  IS FINANCIALLY RESPONSIBLE, THAT THE
PROPOSED PROJECT IS FINANCIALLY VIABLE AND THAT  THE  PROJECT  PLAN  HAS
BEEN  DETERMINED  TO BE APPROPRIATE FOR THE NEEDS OF THE HOMELESS IN THE
RELEVANT COMMUNITY.
  7. EVERY CONTRACT ENTERED INTO FOR THE ESTABLISHMENT AND OPERATION  OF
A  HOMELESS  PROJECT  PURSUANT TO THIS ARTICLE SHALL CONTAIN A PROVISION
THAT IN THE EVENT THE PROPERTY WHICH IS THE  SUBJECT  OF  SUCH  CONTRACT
CEASES  TO  BE  USED  AS A HOMELESS PROJECT DURING A FIFTEEN-YEAR PERIOD
COMMENCING WITH THE DATE OF THE CORPORATION'S WRITTEN APPROVAL OF  OCCU-
PANCY  OF  THE HOMELESS PROJECT, OR SUCH LONGER PERIOD OF TIME AS MAY BE
ESTABLISHED IN THE  CONTRACT,  OR  IN  CASE  OF  ANY  OTHER  SUBSTANTIAL
VIOLATION,  THE  CORPORATION  MAY TERMINATE THE CONTRACT AND MAY REQUIRE
THE REPAYMENT OF ANY MONEYS PREVIOUSLY  ADVANCED  TO  THE  MUNICIPALITY,
NOT-FOR-PROFIT  CORPORATION OR SUBSIDIARY THEREOF, PUBLIC CORPORATION OR
CHARITABLE ORGANIZATION OR SUBSIDIARY THEREOF PURSUANT TO THE  TERMS  OF
SUCH CONTRACT. WHERE THE MUNICIPALITY HAS ENTERED INTO A CONTRACT WITH A
NOT-FOR-PROFIT  CORPORATION OR SUBSIDIARY THEREOF, PUBLIC CORPORATION OR
CHARITABLE ORGANIZATION OR  SUBSIDIARY  THEREOF,  THE  CORPORATION  MAY,
PURSUANT  TO  THIS  SUBDIVISION, REQUIRE THAT THE MUNICIPALITY TERMINATE
THE CONTRACT WITH SUCH CORPORATION. ANY MONEY REPAID  PURSUANT  TO  THIS
SUBDIVISION  SHALL  BE  RETURNED  TO THE HOMELESS HOUSING AND ASSISTANCE
ACCOUNT.
  8. EACH CONTRACT ENTERED INTO FOR THE ESTABLISHMENT AND OPERATION OF A
HOMELESS PROJECT PURSUANT TO  THIS  ARTICLE  SHALL  BE  SUBJECT  TO  THE
APPROVAL  OF THE DIRECTOR OF THE BUDGET AND SHALL PROVIDE FOR PAYMENT TO
THE MUNICIPALITY,  NOT-FOR-PROFIT  CORPORATION  OR  SUBSIDIARY  THEREOF,
PUBLIC  CORPORATION OR CHARITABLE ORGANIZATION OR SUBSIDIARY THEREOF FOR
THE PROJECT COSTS RELATED TO THE HOMELESS PROJECT TO BE  ESTABLISHED  BY
IT, PURSUANT TO A PAYMENT SCHEDULE.  THE FULL AMOUNT OF THE CONTRACT, OR
ANY  APPROPRIATE  PORTION  THEREOF, AS DETERMINED BY THE CORPORATION AND
SUBJECT TO THE APPROVAL OF THE DIRECTOR OF THE BUDGET, SHALL  BE  AVAIL-
ABLE  FOR  PAYMENT  AT  ANY  TIME  ON OR AFTER THE EFFECTIVE DATE OF THE
CONTRACT.
  9. NOTWITHSTANDING ANY OTHER PROVISION OF  THIS  ARTICLE,  THE  CORPO-
RATION MAY, SUBJECT TO THE APPROVAL OF THE DIRECTOR OF THE BUDGET, ENTER
INTO  CONTRACTS  TO  PROVIDE FINANCIAL ASSISTANCE FOR OTHER THAN PROJECT
COSTS WHERE SUCH FINANCIAL ASSISTANCE CAN BE DEMONSTRATED TO  BE  NECES-
SARY; PROVIDED, HOWEVER, THAT NO MORE THAN TWENTY-FIVE PER CENTUM OF THE
TOTAL AMOUNT APPROPRIATED FOR THE PURPOSES OF THIS ARTICLE IN ANY FISCAL
YEAR  SHALL  BE  ALLOCATED IN CONTRACTS FOR OTHER THAN PROJECT COSTS. IN
DETERMINING WHETHER FINANCIAL ASSISTANCE FOR OTHER THAN PROJECT COSTS IS
NECESSARY, THE CORPORATION SHALL CONSIDER THE  PROPOSED  PROJECT'S  PLAN
FOR  MEETING  OPERATING  EXPENSES,  THE  EFFORTS MADE BY THE CONTRACTING
ORGANIZATIONS TO SECURE ALTERNATIVE SOURCES OF FUNDING  FOR  OTHER  THAN

S. 2607--A                         39                         A. 3007--A

PROJECT  COSTS,  AND  SUCH  OTHER  FACTORS AS THE CORPORATION SHALL DEEM
APPROPRIATE.
  10.  THE MUNICIPALITY, NOT-FOR-PROFIT CORPORATION OR SUBSIDIARY THERE-
OF, PUBLIC CORPORATION OR CHARITABLE ORGANIZATION OR SUBSIDIARY  THEREOF
SEEKING  FINANCIAL  ASSISTANCE  PURSUANT  TO  THIS ARTICLE SHALL, WITHIN
THIRTY DAYS OF ITS APPLICATION FOR SUCH  ASSISTANCE,  NOTIFY  THE  LOCAL
PLANNING  BOARD,  AS DEFINED BY SECTION TWENTY-SEVEN OF THE GENERAL CITY
LAW, SECTION TWO HUNDRED SEVENTY-ONE OF THE TOWN LAW, OR  SECTION  7-718
OF  THE  VILLAGE  LAW,  APPROPRIATE FOR THE GEOGRAPHIC AREA IN WHICH THE
PROPOSED HOMELESS PROJECT WOULD BE LOCATED, AND SHALL PROVIDE SUCH BOARD
WITH INFORMATION REGARDING THE PROPOSED HOMELESS PROJECT.
  S 1226. GENERAL AND  ADMINISTRATIVE  PROVISIONS.  1.  THE  CORPORATION
SHALL  ISSUE AND PROMULGATE RULES AND REGULATIONS FOR THE ADMINISTRATION
OF THIS ARTICLE. THE RULES AND  REGULATIONS  SHALL  PROVIDE  THAT  STATE
FINANCIAL  ASSISTANCE  PURSUANT  TO  THIS  ARTICLE WILL NOT BE AVAILABLE
UNLESS AN APPLICATION HAS BEEN FILED BY THE MUNICIPALITY, NOT-FOR-PROFIT
CORPORATION OR SUBSIDIARY  THEREOF,  PUBLIC  CORPORATION  OR  CHARITABLE
ORGANIZATION  OR  SUBSIDIARY THEREOF PURSUANT TO A REQUEST FOR PROPOSALS
ISSUED BY THE CORPORATION.  THE  RULES  AND  REGULATIONS  SHALL  INCLUDE
PROVISIONS  CONCERNING  ELIGIBILITY  OF  MUNICIPALITIES  AND CONTRACTING
NOT-FOR-PROFIT CORPORATIONS OR SUBSIDIARIES THEREOF, PUBLIC CORPORATIONS
AND CHARITABLE ORGANIZATIONS OR SUBSIDIARIES THEREOF FOR STATE FINANCIAL
ASSISTANCE; THE FORM OF THE APPLICATIONS FOR CONTRACTS; FUNDING CRITERIA
AND THE FUNDING DETERMINATION PROCESS; THE FORM OF THE CONTRACTS; SUPER-
VISION AND EVALUATION OF THE CONTRACTING MUNICIPALITIES OR CORPORATIONS;
REPORTING, BUDGETING AND  RECORD-KEEPING  REQUIREMENTS;  PROVISIONS  FOR
MODIFICATION,  TERMINATION, EXTENSION AND RENEWAL OF CONTRACTS; AND SUCH
OTHER MATTERS NOT INCONSISTENT WITH THE PURPOSES AND PROVISIONS OF  THIS
ARTICLE AS THE CORPORATION SHALL DEEM NECESSARY, PROPER OR APPROPRIATE.
  2.  THE  CORPORATION  MAY PROVIDE THAT PREFERENCE BE GIVEN TO CONTRACT
APPLICATIONS THAT (A) INVOLVE OTHER SOURCES OF FUNDS (MUNICIPAL, FEDERAL
OR ANY SOURCE OTHER THAN THE STATE), IN-KIND CONTRIBUTIONS MADE BY  SUCH
SOURCES, OR INVOLVE PROJECTS RECEIVING STATE FINANCIAL ASSISTANCE PURSU-
ANT  TO  CHAPTERS  THREE HUNDRED THIRTY-EIGHT, THREE HUNDRED THIRTY-NINE
AND FIVE HUNDRED FORTY-NINE OF THE LAWS OF NINETEEN HUNDRED  EIGHTY-TWO,
IN  ORDER  TO  MAXIMIZE  THE EFFECT OF STATE FINANCIAL ASSISTANCE OR (B)
INVOLVE INNOVATIVE AND COST-EFFECTIVE HOMELESS PROJECTS  THAT  MAY  HELP
RESOLVE  THE LONG-TERM PROBLEMS OF THE HOMELESS OR (C) INVOLVE THE REHA-
BILITATION OF EXISTING STRUCTURES.
  3. THE CORPORATION SHALL EVALUATE THE NEED FOR  HOMELESS  PROJECTS  IN
VARIOUS AREAS OF THE STATE AND AMONG VARIOUS POPULATIONS, INCLUDING, BUT
NOT  LIMITED  TO,  HOMELESS  MEN,  WOMEN,  FAMILIES,  PERSONS WITH AIDS,
PERSONS WITH SUBSTANCE ABUSE ISSUES AND/OR MENTAL  ILLNESS,  VICTIMS  OF
DOMESTIC  VIOLENCE,  VETERANS,  RUNAWAY  YOUTH,  AS  IDENTIFIED IN LOCAL
ASSESSMENTS OF NEEDS, AND SHALL ALLOCATE FUNDS, TO THE EXTENT  PRACTICA-
BLE, TO MEET THESE NEEDS; PROVIDED, HOWEVER, THAT NO MORE THAN SIXTY PER
CENTUM  OF THE TOTAL AMOUNT APPROPRIATED PURSUANT TO THIS ARTICLE IN ANY
FISCAL YEAR SHALL BE ALLOCATED TO CONTRACTS FOR HOMELESS PROJECTS WITHIN
ANY SINGLE MUNICIPALITY, UNLESS THE CORPORATION DETERMINES THAT IT IS IN
THE BEST INTEREST OF THE STATE IN FURTHERANCE OF THE  PURPOSES  OF  THIS
ARTICLE.
  4.  THE  CORPORATION  SHALL PROVIDE FOR THE REVIEW, AT PERIODIC INTER-
VALS, OF THE PERFORMANCE OF THE  MUNICIPALITIES,  NOT-FOR-PROFIT  CORPO-
RATIONS  OR  SUBSIDIARIES  THEREOF,  PUBLIC  CORPORATIONS AND CHARITABLE
ORGANIZATIONS OR SUBSIDIARIES  THEREOF  RECEIVING  FINANCIAL  ASSISTANCE
PURSUANT TO THIS ARTICLE.  SUCH REVIEW SHALL, AMONG OTHER THINGS, BE FOR

S. 2607--A                         40                         A. 3007--A

THE  PURPOSES  OF ASCERTAINING CONFORMITY TO CONTRACTUAL PROVISIONS, THE
FINANCIAL INTEGRITY AND EFFICIENCY OF THE ORGANIZATIONS AND  THE  EVALU-
ATION  OF  THE  PROJECT. CONTRACTS ENTERED INTO PURSUANT TO THIS ARTICLE
MAY  BE  TERMINATED  BY  THE  CORPORATION  UPON A FINDING OF SUBSTANTIAL
NONPERFORMANCE OR OTHER BREACH BY THE ORGANIZATION  OF  ITS  OBLIGATIONS
UNDER ITS CONTRACT WITH THE MUNICIPALITY.
  5.  THE  CORPORATION  SHALL  REQUIRE  THAT  ALL HOMELESS PROJECTS THAT
RECEIVED FINANCIAL ASSISTANCE PURSUANT TO THIS ARTICLE SHALL COMPLY WITH
ALL REGULATIONS APPLICABLE TO PROJECTS OF THIS TYPE PROMULGATED  BY  THE
CORPORATION AND OTHER MUNICIPAL, STATE AND FEDERAL REGULATIONS AND LAWS.
THE  CORPORATION  MAY  TERMINATE  ANY  CONTRACT  UPON  A  FINDING THAT A
SUBSTANTIAL VIOLATION OF SUCH REGULATIONS OR LAWS  HAS  REMAINED  UNCOR-
RECTED FOR A SUBSTANTIAL PERIOD OF TIME.
  6. ON OR BEFORE FEBRUARY FIRST, TWO THOUSAND FOURTEEN AND ON OR BEFORE
FEBRUARY  FIRST  OF  EACH  YEAR THEREAFTER IN WHICH CONTRACTS UNDER THIS
SECTION ARE IN FORCE, THE CORPORATION SHALL SUBMIT TO THE GOVERNOR,  THE
TEMPORARY  PRESIDENT  OF  THE  SENATE  AND THE SPEAKER OF THE ASSEMBLY A
REPORT DETAILING PROGRESS  AND  EVALUATING  RESULTS,  TO  DATE,  OF  THE
PROGRAM.
  7.  NOTWITHSTANDING  THE PROVISIONS OF ANY GENERAL OR SPECIAL LAW, THE
DIRECTOR OF THE BUDGET IS AUTHORIZED TO TRANSFER TO THE HOMELESS HOUSING
AND ASSISTANCE ACCOUNT FUNDS OTHERWISE APPROPRIATED OR REAPPROPRIATED TO
HOUSING AND COMMUNITY RENEWAL FOR THE  FISCAL  YEARS  BEGINNING  ON  AND
AFTER  APRIL  FIRST,  TWO THOUSAND THIRTEEN, IN AN AMOUNT OR AMOUNTS THE
DIRECTOR OF THE BUDGET DETERMINES TO  BE  NECESSARY  TO  CARRY  OUT  THE
PROVISIONS OF THE HOMELESS HOUSING AND ASSISTANCE PROGRAM.
  S  3.  Subdivisions 2, 3, 3-a, 8 and 10 of section 45-c of the private
housing finance law, as added by chapter 215 of the laws  of  1990,  are
amended to read as follows:
  2.  The  agency  may transfer to such subsidiary corporation any real,
personal or mixed property in order to carry out the purposes of  [title
one of article two-A of the social services law] ARTICLE TWENTY-EIGHT OF
THIS CHAPTER. Such subsidiary corporation shall have all the privileges,
immunities,  tax  exemption  and  other  exemptions of the agency to the
extent the same are not inconsistent with this section.
  3. The membership of such subsidiary corporation shall consist of  the
commissioner  of  [social  services]  THE  STATE DIVISION OF HOUSING AND
COMMUNITY RENEWAL, who shall also serve as its chairperson,  the  chair-
person  of  the  agency, THE COMMISSIONER OF THE OFFICE OF TEMPORARY AND
DISABILITY ASSISTANCE, THE COMMISSIONER OF THE OFFICE OF  MENTAL  HEALTH
and  [one  additional  member  to be appointed by the chairperson of the
homeless housing and assistance corporation,  who  shall  serve  at  the
pleasure of such chairperson] THE COMMISSIONER OF THE OFFICE OF ALCOHOL-
ISM AND SUBSTANCE ABUSE SERVICES. The powers of the corporation shall be
vested in and exercised by no less than [two] THREE of the members ther-
eof  then  in office. The corporation may delegate to one or more of its
members, or its officers, agents and employees, such duties  and  powers
as it may deem proper.
  3-a.  [The  commissioner  of  social services, and the chairman of the
agency] MEMBERS OF THE CORPORATION may each  appoint  an  individual  to
represent them at all meetings of the corporation from which they may be
absent.  Any  such  representative so designated shall have the power to
attend and to vote at any meeting of the corporation [as if the  commis-
sioner  of social services or chairperson of the agency were present and
voting]. Such designation shall be by  written  notice  filed  with  the
chairperson  of  the  corporation.  The designation of such person shall

S. 2607--A                         41                         A. 3007--A

continue until revoked at any time by  written  notice  to  such  chair-
person.  Such  designation shall not be deemed to limit the power of the
[commissioner of social services  or  the  chairperson  of  the  agency]
MEMBERS  OF  THE  CORPORATION  to  attend and vote at any meeting of the
corporation.
  8. The corporation may do any and all things necessary  or  convenient
to  carry  out and exercise the powers given and granted by this section
and [title one of article two-A of  the  social  services  law]  ARTICLE
TWENTY-EIGHT  OF  THIS CHAPTER including, but not limited to contracting
with the commissioner of [social services] THE STATE DIVISION OF HOUSING
AND COMMUNITY RENEWAL to administer any of the provisions of [title  one
of  article  two-A  of  the social services law] ARTICLE TWENTY-EIGHT OF
THIS CHAPTER.
  10. Notwithstanding the provisions of  article  one-A  of  the  public
authorities  law,  contracts entered into by the corporation pursuant to
[title one of article two-A of the social services law] ARTICLE  TWENTY-
EIGHT  OF THIS CHAPTER shall not be subject to the provisions of article
one-A of the public authorities law.
  S 4. Section 59-i of the private housing  finance  law,  as  added  by
chapter 215 of the laws of 1990, is amended to read as follows:
  S  59-i. Homeless housing and assistance account. The homeless housing
and assistance corporation  created  by  section  forty-five-c  of  this
[chapter]  ARTICLE  shall  create  and establish a special account to be
known as the homeless housing and assistance account and shall pay  into
such  account any moneys which may be made available to such corporation
for the purposes of such account  from  any  source  including  but  not
limited  to moneys appropriated by and made available pursuant to appro-
priation by the state and any income or interest earned by, or increment
to, the account due to the investment thereof. The  moneys  held  in  or
credited  to  the  homeless  housing  and assistance account established
under this section shall be expended solely to carry out the  provisions
of [title one of article two-A of the social services law] ARTICLE TWEN-
TY-EIGHT OF THIS CHAPTER.
  S  5.  This act shall take effect immediately, provided, however, that
the rules and regulations currently in effect,  as  established  by  the
office  of  temporary and disability assistance, shall continue to be in
effect as rules and regulations of the corporation until  superseded  by
rules  and  regulations  issued  by  the homeless housing and assistance
corporation. Enactment of this act shall be deemed a transfer  of  func-
tion pursuant to subdivision 2 of section 70 of the civil service law.

                                 PART G

  Section  1.  Subdivisions 4 and 5 of section 412 of the executive law,
as amended by chapter 182 of the laws of 2002, are amended  to  read  as
follows:
  4. "Municipality" shall mean a county, [city, village, town, that part
of  a  town not included within the boundaries of a village, or a school
district (if approved for such purpose by the commissioner, in instances
where no other municipality, overlapping such school district  in  whole
or  part,  is  receiving state aid pursuant to this article or upon such
other basis as the commissioner shall by regulation determine).  Munici-
pality may mean an Indian reservation, subject to rules and  regulations
of the office] OR A CITY HAVING A POPULATION OF ONE MILLION OR MORE.
  5.  "Youth  DEVELOPMENT program" shall mean a ["youth bureau," "recre-
ation project"  or  "youth  service"  project  established  under  prior

S. 2607--A                         42                         A. 3007--A

authorizing  legislation establishing a temporary state youth commission
as well as similar] local [programs] PROGRAM designed to accomplish  the
broad purposes of this article[. The definition, determination and clas-
sification  of  youth  programs  shall  be]  subject to [approval by the
office in accordance with] THE rules and regulations [adopted by it]  OF
THE OFFICE; PROVIDED HOWEVER, THE TERM "YOUTH DEVELOPMENT PROGRAM" SHALL
NOT INCLUDE APPROVED RUNAWAY PROGRAMS OR TRANSITIONAL INDEPENDENT LIVING
SUPPORT PROGRAMS AS SUCH TERMS ARE DEFINED IN SECTION FIVE HUNDRED THIR-
TY-TWO-A OF THIS CHAPTER.
  S 2. Subdivision 1 of section 420 of the executive law is REPEALED and
a new subdivision 1 is added to read as follows:
   1.  A.  (1)  EACH  MUNICIPALITY OPERATING A YOUTH DEVELOPMENT PROGRAM
APPROVED BY THE OFFICE OF CHILDREN AND FAMILY SERVICES SHALL BE ELIGIBLE
FOR ONE HUNDRED PERCENT STATE REIMBURSEMENT OF  ITS  QUALIFIED  EXPENDI-
TURES,  SUBJECT TO AVAILABLE APPROPRIATIONS AND EXCLUSIVE OF ANY FEDERAL
FUNDS MADE AVAILABLE THEREFOR, NOT TO EXCEED THE MUNICIPALITY'S DISTRIB-
UTION OF STATE AID UNDER THIS ARTICLE.
  (2) THE STATE AID APPROPRIATED FOR YOUTH DEVELOPMENT PROGRAMS SHALL BE
DISTRIBUTED BY THE OFFICE OF CHILDREN AND FAMILY  SERVICES  TO  ELIGIBLE
MUNICIPALITIES  THAT  HAVE  AN  APPROVED  COMPREHENSIVE PLAN PURSUANT TO
SUBPARAGRAPH TWO OF PARAGRAPH C OF  THIS  SUBDIVISION.  SUCH  STATE  AID
SHALL  BE  LIMITED  TO  THE FUNDS SPECIFICALLY APPROPRIATED THEREFOR AND
SHALL BE BASED ON FACTORS THAT SHALL INCLUDE, BUT NOT BE LIMITED TO, THE
NUMBER OF YOUTH UNDER THE AGE OF TWENTY-ONE RESIDING IN THE MUNICIPALITY
AS SHOWN BY THE LAST PUBLISHED FEDERAL  CENSUS  CERTIFIED  IN  THE  SAME
MANNER AS PROVIDED BY SECTION FIFTY-FOUR OF THE STATE FINANCE LAW.
  (3)  ELIGIBLE  MUNICIPALITIES MAY CLAIM UP TO FIFTEEN PERCENT OF THEIR
DISTRIBUTION FOR THE OPERATION OF A YOUTH BUREAU. THE OFFICE  SHALL  NOT
REIMBURSE ANY CLAIMS UNDER THIS SECTION UNLESS THEY ARE SUBMITTED WITHIN
TWELVE MONTHS OF THE CALENDAR QUARTER IN WHICH THE EXPENDITURE WAS MADE.
THE OFFICE MAY REQUIRE THAT SUCH CLAIMS BE SUBMITTED TO THE OFFICE ELEC-
TRONICALLY IN THE MANNER AND FORMAT REQUIRED BY THE OFFICE.
  B.  YOUTH  DEVELOPMENT PROGRAMS SHALL PROVIDE COMMUNITY-LEVEL SERVICES
DESIGNED TO  PROMOTE  POSITIVE  YOUTH  DEVELOPMENT.  SUCH  PROGRAMS  MAY
INCLUDE,  BUT  NOT  BE  LIMITED  TO:  PROGRAMS THAT PROMOTE PHYSICAL AND
EMOTIONAL WELLNESS, EDUCATIONAL ACHIEVEMENT OR CIVIC, FAMILY AND  COMMU-
NITY  ENGAGEMENT;  FAMILY  SUPPORT  SERVICES;  SERVICES TO PREVENT CHILD
ABUSE AND NEGLECT; SERVICES TO AVERT  FAMILY  CRISES;  AND  SERVICES  TO
ASSIST YOUTH IN NEED OF CRISIS INTERVENTION OR RESPITE SERVICES. SUBJECT
TO  THE  REGULATIONS  OF  THE  OFFICE,  A  MUNICIPALITY  MAY  ENTER INTO
CONTRACTS TO EFFECTUATE ITS YOUTH DEVELOPMENT  PROGRAM  ESTABLISHED  AND
APPROVED AS PROVIDED IN THIS ARTICLE.
  C.  EACH  MUNICIPALITY  SHALL  DEVELOP, IN CONSULTATION WITH THE YOUTH
BUREAU, A COMPREHENSIVE PLAN TO OFFER YOUTH DEVELOPMENT  PROGRAMS.  SUCH
COMPREHENSIVE  PLAN  SHALL  BE  SUBJECT TO THE APPROVAL OF THE OFFICE OF
CHILDREN AND FAMILY SERVICES IN ACCORDANCE WITH SUBPARAGRAPH TWO OF THIS
PARAGRAPH AND SHALL BE SUBMITTED BY EACH MUNICIPALITY IN A MANNER AND AT
SUCH TIMES AND FOR SUCH PERIODS AS THE OFFICE  OF  CHILDREN  AND  FAMILY
SERVICES SHALL DETERMINE.
  (1) SUCH COMPREHENSIVE PLAN SHALL:
  (I)  ADDRESS  THE  NEED  IN  THE  MUNICIPALITY  FOR  YOUTH DEVELOPMENT
PROGRAMS IN TOWNS AND CITIES WHICH HAVE A  YOUTH  POPULATION  OF  TWENTY
THOUSAND OR MORE PERSONS;
  (II)  (A)  ASSESS  THE  NEED IN THE MUNICIPALITY FOR YOUTH DEVELOPMENT
PROGRAMS THAT ASSIST RUNAWAY AND HOMELESS YOUTH AND  YOUTH  IN  NEED  OF
CRISIS INTERVENTION OR RESPITE SERVICES;

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  (B)  IF  THE MUNICIPALITY IS SEEKING STATE AID TO PROVIDE SERVICES FOR
RUNAWAY AND HOMELESS YOUTH, AS DEFINED IN  ARTICLE  NINETEEN-H  OF  THIS
CHAPTER, THE RUNAWAY AND HOMELESS YOUTH PLAN, AS REQUIRED BY SUBDIVISION
TWO  OF  THIS  SECTION,  SHALL BE SUBMITTED AS PART OF THE COMPREHENSIVE
PLAN THAT IS REQUIRED PURSUANT TO THIS PARAGRAPH; PROVIDED HOWEVER, THAT
STATE  AID  TO  PROVIDE SERVICES FOR RUNAWAY AND HOMELESS YOUTH SERVICES
SHALL BE FROM AND LIMITED TO  FUNDS  APPROPRIATED  SEPARATELY  FOR  SUCH
RUNAWAY  AND HOMELESS YOUTH PROGRAM PURPOSES BY THE STATE, AND SHALL NOT
BE INCLUDED UNDER THE LIMITS SET FORTH IN THIS SUBDIVISION;
  (III) SPECIFY HOW THE MUNICIPALITY WILL MEASURE  PERFORMANCE  OUTCOMES
FOR SUCH SERVICES AND PROGRAMS COVERED UNDER THE PLAN;
  (IV)  SPECIFY  THE  PROJECTED  PERFORMANCE  OUTCOMES  FOR SERVICES AND
PROGRAMS COVERED UNDER THE PLAN, INCLUDING PROJECTED  POSITIVE  OUTCOMES
FOR YOUTH WHO PARTICIPATE IN THE SERVICES AND PROGRAMS; AND
  (V)  PROVIDE  INFORMATION  ON  THE  PERFORMANCE  OUTCOMES  OF SERVICES
PROVIDED UNDER THE MUNICIPALITY'S MOST RECENT PLAN APPROVED PURSUANT  TO
THIS  SUBDIVISION, INCLUDING OUTCOME BASED MEASURES THAT DEMONSTRATE THE
QUALITY OF SERVICES PROVIDED AND PROGRAM EFFECTIVENESS OF PROGRAMS FUND-
ED UNDER SUCH PLAN.
  (2) THE OFFICE OF CHILDREN AND FAMILY SERVICES MAY APPROVE ALL OR PART
OF A MUNICIPALITY'S COMPREHENSIVE PLAN. IF THE OFFICE DOES NOT APPROVE A
MUNICIPALITY'S COMPREHENSIVE PLAN, SUCH MUNICIPALITY  SHALL  HAVE  SIXTY
DAYS FROM RECEIPT OF THE NOTIFICATION OF DISAPPROVAL TO SUBMIT A REVISED
PLAN.
  S  3. Subdivision 2 of section 420 of the executive law, as amended by
chapter 182 of the laws of 2002, is amended to read as follows:
  2. Runaway and homeless youth plan; state aid.
  a. A [county] MUNICIPALITY may submit to the [commissioner] OFFICE  OF
CHILDREN  AND  FAMILY  SERVICES a plan for the providing of services for
runaway and homeless youth, as defined in  article  nineteen-H  of  this
chapter.  Where such [county] MUNICIPALITY is receiving state aid pursu-
ant to paragraph a of subdivision one of this section, such runaway  and
homeless  youth  plan  shall  be  submitted as part of the comprehensive
[county] plan and shall be consistent  with  the  goals  and  objectives
therein. A runaway and homeless youth plan shall be developed in consul-
tation with the county youth bureau and the county or city department of
social  services,  shall  be  in  accordance with the regulations of the
[commissioner] OFFICE OF CHILDREN AND FAMILY SERVICES, shall provide for
a coordinated range of services for runaway and homeless youth and their
families including preventive, temporary shelter, transportation,  coun-
seling,  and other necessary assistance, and shall provide for the coor-
dination of all available county  resources  for  runaway  and  homeless
youth and their families including services available through the county
youth  bureau,  the  county or city department of social services, local
boards of education, local drug and alcohol programs  and  organizations
or programs which have past experience dealing with runaway and homeless
youth.  Such  plan  may  include provisions for transitional independent
living support programs for homeless youth between the ages  of  sixteen
and  twenty-one  as provided in article nineteen-H of this chapter. Such
plan shall also provide for the designation and duties  of  the  runaway
and  homeless  youth service coordinator defined in section five hundred
thirty-two-a of this chapter who is  available  on  a  twenty-four  hour
basis  and  maintains  information  concerning  available shelter space,
transportation and services. Such plan may include provision for the per
diem reimbursement for residential care of runaway and homeless youth in
approved runaway programs which are authorized agencies,  provided  that

S. 2607--A                         44                         A. 3007--A

such  per diem reimbursement shall not exceed a total of thirty days for
any one youth.
  b.  Each  [county]  MUNICIPALITY  shall  submit  to the [commissioner]
OFFICE OF CHILDREN AND FAMILY SERVICES such  additional  information  as
the [commissioner] OFFICE shall require, including but not limited to:
  (1)  A  description  of  the  current  runaway and homeless population
including their age, place of origin, family status, service  needs  and
eventual disposition;
  (2)  A  description  of  the public and private resources available to
serve runaway and homeless youth within the county;
  (3) A description of new services to be provided and current  services
to be expanded.
  c.  The  [commissioner]  OFFICE  OF CHILDREN AND FAMILY SERVICES shall
review such plan IN ACCORDANCE WITH SUBPARAGRAPH TWO OF PARAGRAPH  C  OF
SUBDIVISION  ONE OF THIS SECTION and may approve or disapprove such plan
or any part, program, or project within such plan, and may propose  such
modifications and conditions as deemed appropriate and necessary.
  d.  (1) [Counties] MUNICIPALITIES having an approved runaway and home-
less youth plan pursuant  to  this  subdivision  shall  be  entitled  to
reimbursement by the state for sixty percent of the entire amount of the
expenditures  for  programs  contained  in  such plan as approved by the
[commissioner] OFFICE OF  CHILDREN  AND  FAMILY  SERVICES,  after  first
deducting  therefrom  any federal or other state funds received or to be
received on account thereof. All reimbursement pursuant to this subdivi-
sion shall be from and limited to funds appropriated separately for such
runaway and homeless youth program purposes by the state, and shall  not
be  included  under  the  limits set in subdivision one of this section.
[The county's] A MUNICIPALITY'S share of the cost of such  programs  may
be  met in part by donated private funds or in-kind services, as defined
by the office, provided that such private funding or receipt of services
shall not in the aggregate be more than fifty percent of such [county's]
MUNICIPALITY'S share.
  (2) Notwithstanding any inconsistent provision of law and  subject  to
funds  appropriated  separately therefor, a [county] MUNICIPALITY having
an approved runaway and homeless youth plan  which  includes  provisions
for  transitional  independent living support programs shall be entitled
to reimbursement by the state for sixty percent of the entire amount  of
the  approved  expenditures  for transitional independent living support
programs contained in the plan as approved by the [commissioner]  OFFICE
OF CHILDREN AND FAMILY SERVICES.  The [county's] MUNICIPALITY'S share of
the cost of such programs may be met by donated private funds or in-kind
services,  as  defined  by  the  office,  provided  that such receipt of
in-kind services shall not in the aggregate be more than  fifty  percent
of such [county's] MUNICIPALITY'S share.
  S  4. Paragraphs a and c of subdivision 5 of section 420 of the execu-
tive law, as added by chapter 160 of the laws of 2004,  are  amended  to
read as follows:
  a.  Notwithstanding any other provision of law, the office of children
and family services shall plan for the statewide implementation  by  the
thirty-first  day of December, two thousand eight, of a county child and
family services plan  that  combines  the  [county]  comprehensive  plan
required  by  this section and the multi-year consolidated services plan
required by section thirty-four-a of the  social  services  law  into  a
single plan.
  c. The office of children and family services may waive any regulatory
requirements  relating  to the content and timing of [county] comprehen-

S. 2607--A                         45                         A. 3007--A

sive plans that may impede the ability of a county to implement a county
child and family services plan.
  S 5. Section 422 of the executive law is REPEALED.
  S 6. Subdivisions 4, 5 and 6 of section 532-a of the executive law, as
amended  by  section 14 of part E of chapter 57 of the laws of 2005, are
amended and a new subdivision 8 is added to read as follows:
  4. "Approved runaway program" shall mean any  non-residential  program
approved  by the office of children and family services after submission
by the [county youth bureau] MUNICIPALITY, as part of its  comprehensive
plan,  or  any  residential  facility which is operated by an authorized
agency as defined in subdivision ten of section three  hundred  seventy-
one  of  the social services law, and approved by the office of children
and family services after submission by the [county youth bureau]  MUNI-
CIPALITY  as part of its comprehensive plan, established and operated to
provide services to runaway and homeless youth in  accordance  with  the
regulations of the office of temporary and disability assistance and the
office  of  children and family services. Such programs may also provide
non-residential crisis intervention and residential respite services  to
youth  in need of crisis intervention or respite services, as defined in
this section.   Residential respite  services  in  an  approved  runaway
program  may  be provided for no more than twenty-one days in accordance
with the regulations of the office of children and family services.
  5. "Runaway and homeless youth service  coordinator"  shall  mean  any
person  SO  designated  by  [a county] A MUNICIPALITY whose duties shall
include but not be limited to answering inquiries at any time concerning
transportation, shelter and other services available  to  a  runaway  or
homeless  youth  or  a  youth  in need of crisis intervention or respite
services.
  6. "Transitional independent living support program"  shall  mean  any
non-residential  program  approved  by the office of children and family
services after submission by the [county youth bureau]  MUNICIPALITY  as
part  of its comprehensive plan, or any residential facility approved by
the office of children and  family  services  after  submission  by  the
[county  youth bureau] MUNICIPALITY as part of its comprehensive plan TO
OFFER YOUTH DEVELOPMENT PROGRAMS, established and  operated  to  provide
supportive services, for a period of up to eighteen months in accordance
with  the  regulations of the office of children and family services, to
enable homeless youth between the ages  of  sixteen  and  twenty-one  to
progress  from  crisis care and transitional care to independent living.
Such transitional independent living support program  may  also  provide
services  to  youth  in need of crisis intervention or respite services.
Notwithstanding the time limitation in paragraph (i) of subdivision  (d)
of  section  seven hundred thirty-five of the family court act, residen-
tial respite services may be  provided  in  a  transitional  independent
living support program for a period of more than twenty-one days.
  8.  "MUNICIPALITY"  SHALL MEAN A COUNTY, OR A CITY HAVING A POPULATION
OF ONE MILLION OR MORE.
  S 7. Subdivision 2 of section 532-b of the executive law, as added  by
chapter 722 of the laws of 1978, is amended to read as follows:
  2.  The  runaway  youth may remain in the program on a voluntary basis
for a period not to exceed thirty days from the date of admission  where
the filing of a petition pursuant to article ten of the family court act
is  not  contemplated,  in  order  that arrangements can be made for the
runaway youth's return home, alternative residential placement  pursuant
to section three hundred ninety-eight of the social services law, or any
other  suitable  plan.  If the runaway youth and the parent, guardian or

S. 2607--A                         46                         A. 3007--A

custodian agree, in writing, the runaway youth may remain in the runaway
program up to sixty days without the filing of a  petition  pursuant  to
article  ten of the family court act, provided that in any such case the
facility  shall first have obtained the approval of the [county] MUNICI-
PALITY'S runaway coordinator, who shall notify the [county] THE  MUNICI-
PALITY'S  youth  bureau of his OR HER approval together with a statement
as to the reason why such additional residential stay is necessary and a
description of the efforts  being  made  to  find  suitable  alternative
living arrangements for such youth.
  S  8.  Paragraph  (a)  of  subdivision 6 of section 34-a of the social
services law, as added by chapter 160 of the laws of 2004, is amended to
read as follows:
  (a) Notwithstanding any other provision of law, the office of children
and family services shall plan for the statewide implementation, by  the
thirty-first day of December, two thousand eight, of the use by counties
of a child and family services plan that combines the multi-year consol-
idated  services  plan required by this section and the [county] compre-
hensive plan required by section four hundred twenty  of  the  executive
law into a single plan.
  S 9. This act shall take effect January 1, 2014.

                                 PART H

  Section  1.  This part enacts into law major components of legislation
which are necessary to continue transforming New York's juvenile justice
system. Each component is wholly contained within a  subpart  identified
as  subparts  A  through  B.  The  effective  date  for  each particular
provision contained within such subpart is set forth in the last section
of such subpart.  Any  provision  in  any  section  contained  within  a
subpart, including the effective date of the subpart, which makes refer-
ence  to  a  section  "of  this  act", when used in connection with that
particular component, shall be deemed to mean and refer  to  the  corre-
sponding  section  of the subpart in which it is found. Section three of
this part sets forth the general effective date of this act.

                                SUBPART A

  Section 1. Subdivision 3 of section  501  of  the  executive  law,  as
amended  by  chapter  465  of  the  laws  of 1992, is amended to read as
follows:
  3. To establish, operate and maintain [division]  facilities  [and  to
contract  with  authorized  agencies as defined in section three hundred
seventy-one of the social services law for the operation and maintenance
of non-secure facilities].
  S 2. Paragraph (a) of subdivision 11 of section 501 of  the  executive
law,  as  amended by chapter 465 of the laws of 1992, is amended to read
as follows:
  (a) a projection of the numbers of youths to be placed into or commit-
ted to the care of the [division] OFFICE OF CHILDREN AND FAMILY SERVICES
at secure[,] AND limited secure [and non-secure] levels of care for  the
five years encompassed by the plan;
  S  3.    Section  501  of the executive law is amended by adding a new
subdivision 15-a to read as follows:
  15-A. (A) NOTWITHSTANDING THE PROVISIONS OF PARAGRAPH (C) OF  SUBDIVI-
SION  FIFTEEN  OF  THIS  SECTION,  OR ANY OTHER LAW TO THE CONTRARY, THE
COMMISSIONER OF THE OFFICE OF CHILDREN AND FAMILY SERVICES IS AUTHORIZED

S. 2607--A                         47                         A. 3007--A

TO CLOSE ANY NON-SECURE FACILITIES OPERATED BY THE  OFFICE  OF  CHILDREN
AND   FAMILY  SERVICES,  AND  TO  MAKE  SIGNIFICANT  ASSOCIATED  SERVICE
REDUCTIONS AND PUBLIC EMPLOYEE STAFFING REDUCTIONS  AND  TRANSFER  OPER-
ATIONS  FOR NON-SECURE FACILITIES TO A PRIVATE OR NOT-FOR-PROFIT ENTITY,
AS SHALL BE DETERMINED  BY  SUCH  COMMISSIONER  SOLELY  TO  REFLECT  THE
DECREASE  IN  THE NUMBER OF JUVENILE DELINQUENTS PLACED WITH SUCH OFFICE
CARED FOR IN NON-SECURE SETTINGS OR  CONDITIONALLY  RELEASED  FROM  SUCH
SETTINGS.
  (B)  AT  LEAST SIXTY DAYS PRIOR TO TAKING ANY SUCH ACTION, THE COMMIS-
SIONER OF THE OFFICE OF  CHILDREN  AND  FAMILY  SERVICES  SHALL  PROVIDE
NOTICE  OF  SUCH ACTION TO THE SPEAKER OF THE ASSEMBLY AND THE TEMPORARY
PRESIDENT OF THE SENATE AND SHALL  POST  SUCH  NOTICE  UPON  ITS  PUBLIC
WEBSITE.  SUCH  COMMISSIONER  SHALL BE AUTHORIZED TO CONDUCT ANY AND ALL
PREPARATORY ACTIONS WHICH MAY BE REQUIRED TO EFFECTUATE SUCH CLOSURES OR
SIGNIFICANT SERVICE OR STAFFING REDUCTIONS OR  TRANSFERS  OF  OPERATIONS
DURING SUCH SIXTY DAY PERIOD.
  (C)  ANY  TRANSFERS OF CAPACITY OR ANY RESULTING TRANSFER OF FUNCTIONS
SHALL BE AUTHORIZED TO BE MADE BY THE  COMMISSIONER  OF  THE  OFFICE  OF
CHILDREN  AND  FAMILY  SERVICES  AND ANY TRANSFER OF PERSONNEL UPON SUCH
TRANSFER OF CAPACITY OR TRANSFER OF FUNCTIONS SHALL BE  ACCOMPLISHED  IN
ACCORDANCE  WITH  THE PROVISIONS OF SECTION SEVENTY OF THE CIVIL SERVICE
LAW.
  S 4. Subdivision 1 of section 504 of the executive law,  as  added  by
chapter 465 of the laws of 1992, is amended to read as follows:
  1. The [division] OFFICE OF CHILDREN AND FAMILY SERVICES shall operate
and  maintain  secure[,]  AND limited secure [and non-secure] facilities
for the care, custody, treatment, housing, education, rehabilitation and
guidance of youth placed with or committed to the [division]  OFFICE  OF
CHILDREN AND FAMILY SERVICES.
  S  5. Subdivision 4 of section 504 of the executive law, as amended by
chapter 687 of the laws of 1993, is amended to read as follows:
  4. The [division] OFFICE OF CHILDREN AND FAMILY SERVICES shall  deter-
mine  the  particular  [division]  OFFICE facility or program in which a
child placed with the [division] OFFICE shall be cared for,  based  upon
an evaluation of such child. The [division] OFFICE OF CHILDREN AND FAMI-
LY  SERVICES  shall  also  have  authority to discharge or conditionally
release children placed with it and to transfer  such  children  from  a
limited  secure [or non-secure] facility to any other limited secure [or
non-secure] facility, when the interest of such children  requires  such
action[; provided that a child transferred to a non-secure facility from
a  limited  secure facility may be returned to a limited secure facility
upon a determination by the division that,  for  any  reason,  care  and
treatment at the non-secure facility is no longer suitable].
  S 6. Subdivision 5 of section 507-a of the executive law is REPEALED.
  S  7.  Paragraph  (f)  of subdivision 3 of section 353.2 of the family
court act, as amended by chapter 465 of the laws of 1992, is amended  to
read as follows:
  (f)  with  the consent of the [division for youth] COMMISSIONER OF THE
LOCAL SOCIAL  SERVICES  DISTRICT,  spend  a  specified  portion  of  the
probation  period,  not  exceeding  one year, in a non-secure [facility]
PLACEMENT provided by THE LOCAL SOCIAL SERVICES DISTRICT  [the  division
for youth pursuant to article nineteen-G of the executive law].
  S 8. The opening paragraph and paragraphs (a) and (b) of subdivision 3
of  section  353.3  of  the family court act, as amended by section 6 of
part G of chapter 58 of the  laws  of  2010,  are  amended  to  read  as
follows:

S. 2607--A                         48                         A. 3007--A

  Where  the respondent is placed with the office of children and family
services, the court shall[, unless it directs the office to place him or
her with an authorized agency or class of authorized agencies, including
if the court finds that the respondent is a sexually exploited child  as
defined  in subdivision one of section four hundred forty-seven-a of the
social services law, an  available  long-term  safe  house  pursuant  to
subdivision four of this section, authorize the office to] do one of the
following:
  (a)  place the respondent in a secure facility without a further hear-
ing at any time or from time to time during  the  first  sixty  days  of
residency   in  office  of  children  and  family  services  facilities.
Notwithstanding the discretion of the office to place the respondent  in
a  secure  facility at any time during the first sixty days of residency
in [a] AN office of children and family services facility, the  respond-
ent  may  be  placed  in  a [non-secure] LIMITED SECURE facility. In the
event that the office desires to  transfer  a  respondent  to  a  secure
facility  at  any time after the first sixty days of residency in office
facilities, a hearing shall be held pursuant  to  subdivision  three  of
section five hundred four-a of the executive law; or
  (b)  place the respondent in a limited secure facility. The respondent
may be transferred by the office to a secure facility after a hearing is
held pursuant to section five  hundred  four-a  of  the  executive  law;
provided,  however,  that  during  the first twenty days of residency in
office facilities, the respondent shall not be transferred to  a  secure
facility  unless  the  respondent has committed an act or acts which are
exceptionally dangerous to the respondent or to others[; or].
  S 9. Paragraph (c) of subdivision 3 of section  353.3  of  the  family
court act is REPEALED.
  S  10.  Subdivision  4  of  section  353.3  of the family court act is
REPEALED.
  S 11. Subparagraphs (iii) and (iv) of paragraph (a) of  subdivision  4
of  section  353.5  of  the family court act, as amended by section 6 of
subpart A of part G of chapter 57 of the laws of 2012,  are  amended  to
read as follows:
  (iii)  after the period set under subparagraph (ii) of this paragraph,
the respondent shall be placed in a residential facility for a period of
twelve months; provided, however, that: (A) if the respondent  has  been
placed  from  a  family court in a social services district operating an
approved juvenile justice services close to home initiative pursuant  to
section  four  hundred  four  of  the social services law, once the time
frames in subparagraph (ii) of this paragraph are met:
  [(A)] (1) beginning on the effective date of such  a  social  services
district's  plan that only covers juvenile delinquents placed in non-se-
cure settings, if the office of children and family services  concludes,
based on the needs and best interests of the respondent and the need for
protection  for the community, that a non-secure level of care is appro-
priate for the respondent, such office shall file a petition pursuant to
paragraph (b) or (c) of subdivision two of section 355.1 of this part to
have the respondent placed with the  applicable  local  commissioner  of
social services; and
  [(B)]  (2)  beginning  on the effective date of such a social services
district's plan that  covers  juvenile  delinquents  placed  in  limited
secure   settings,  if  the  office  of  children  and  family  services
concludes, based on the needs and best interests of the  respondent  and
the  need for protection for the community, that a non-secure or limited
secure level of care is appropriate  for  the  respondent,  such  office

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shall  file  a  petition pursuant to paragraph (b) or (c) of subdivision
two of section 355.1 of this part to have the respondent placed with the
applicable local commissioner of social services[.]; AND
  (B)  IF THE RESPONDENT HAS BEEN PLACED FROM A FAMILY COURT IN A SOCIAL
SERVICES DISTRICT NOT OPERATING AN APPROVED  JUVENILE  JUSTICE  SERVICES
CLOSE  TO  HOME  INITIATIVE PURSUANT TO SECTION FOUR HUNDRED FOUR OF THE
SOCIAL SERVICES LAW, IF THE  OFFICE  OF  CHILDREN  AND  FAMILY  SERVICES
CONCLUDES,  BASED  ON THE NEEDS AND BEST INTERESTS OF THE RESPONDENT AND
THE NEED FOR PROTECTION FOR THE COMMUNITY, THAT A  NON-SECURE  LEVEL  OF
CARE  IS  APPROPRIATE FOR THE RESPONDENT, SUCH OFFICE SHALL FILE A PETI-
TION PURSUANT TO PARAGRAPH (F) OF SUBDIVISION TWO OF  SECTION  355.1  OF
THIS  PART  TO  HAVE  THE  RESPONDENT  PLACED  WITH THE APPLICABLE LOCAL
COMMISSIONER OF SOCIAL SERVICES.
  (C) If the respondent is placed with the local commissioner of  social
services  in accordance with clause (A) or (B) of this subparagraph, the
remainder of the provisions of this section shall continue to  apply  to
the respondent's placement.
  (iv)  the  respondent  may  not  be released from a secure facility or
transferred to a facility other than a secure facility during the period
provided in subparagraph (ii) of this paragraph, nor may the  respondent
be  released  from  a residential facility during the period provided in
subparagraph (iii) of this paragraph. No home visits shall be  permitted
during  the  period  of secure confinement set by the court order or one
year, whichever is less, except for emergency visits for medical  treat-
ment  or  severe illness or death in the family. All home visits must be
accompanied home visits: (A) while a  youth  is  confined  in  a  secure
facility,  whether  such  confinement  is  pursuant  to a court order or
otherwise; (B) while a youth is confined in a residential facility other
than a secure facility within six months after confinement in  a  secure
facility;  and  (C)  while a youth is confined in a residential facility
other than a secure facility in excess of six months  after  confinement
in  a  secure  facility  unless two accompanied home visits have already
occurred. An "accompanied home visit" shall mean  a  home  visit  during
which  the  youth  shall  be  accompanied at all times while outside the
secure or residential facility by appropriate personnel of the office of
children and family services or, if applicable, a local social  services
district  [which operates an approved juvenile justice services close to
home initiative pursuant to section four  hundred  four  of  the  social
services law].
  S  12.  Subparagraphs (i), (iii) and (iv) of paragraph (c) of subdivi-
sion 4 of section 353.5 of the family court act, as amended by section 6
of subpart A of part G of chapter 57 of the laws of 2012, are amended to
read as follows:
  (i) after the expiration of the period provided in subparagraph  (iii)
of  paragraph  (a)  of  this  subdivision,  the  respondent shall not be
released from a residential facility without the written approval of the
office of children and family  services  or,  if  applicable,  a  social
services district [operating an approved juvenile justice services close
to  home  initiative pursuant to section four hundred four of the social
services law].
  (iii) the respondent shall not be discharged from the custody  of  the
office  of  children  and  family  services  or, if applicable, a social
services district [operating an approved juvenile justice services close
to home initiative pursuant to section four hundred four of  the  social
services  law],  unless a motion therefor under section 355.1 is granted

S. 2607--A                         50                         A. 3007--A

by the court, which motion shall not be made prior to the expiration  of
three years of the placement.
  (iv)  unless  otherwise specified in the order, the office of children
and family services or, if applicable, a social services district [oper-
ating an approved juvenile justice services  close  to  home  initiative
pursuant  to section four hundred four of the social services law] shall
report in writing to the court not  less  than  once  every  six  months
during  the  placement  on  the  status,  adjustment and progress of the
respondent.
  S 13. Paragraph (d) of subdivision 4 of section 353.5  of  the  family
court  act, as amended by section 6 of subpart A of part G of chapter 57
of the laws of 2012, is amended to read as follows:
  (d) Upon the expiration of the initial period  of  placement,  or  any
extension  thereof,  the  placement  may  be extended in accordance with
section 355.3 on a petition of any party or the office of  children  and
family  services, or, if applicable, a social services district [operat-
ing an approved juvenile  justice  services  close  to  home  initiative
pursuant to section four hundred four of the social services law], after
a  dispositional  hearing, for an additional period not to exceed twelve
months, but no initial placement or extension of  placement  under  this
section may continue beyond the respondent's twenty-first birthday.
  S  14.  Subparagraphs (iii) and (iv) of paragraph (a) of subdivision 5
of section 353.5 of the family court act, as amended  by  section  6  of
subpart  A  of  part  G of chapter 57 of the laws of 2012, is amended to
read as follows:
  (iii) after the period set under subparagraph (ii) of this  paragraph,
the  respondent  shall  be placed in a residential facility for a period
set by the order, to be not less than six nor more than  twelve  months;
provided,  however,  that  (A)  if the respondent has been placed from a
family court in a social services district operating an  approved  juve-
nile  justice services close to home initiative pursuant to section four
hundred four of the social services law, once the time frames in subpar-
agraph (ii) of this paragraph are met:
  [(A)] (1) beginning on the effective date of such  a  social  services
district's  plan that only covers juvenile delinquents placed in non-se-
cure settings, if the office of children and family services  concludes,
based on the needs and best interests of the respondent and the need for
protection  for the community, that a non-secure level of care is appro-
priate for the respondent, such office shall file a petition pursuant to
paragraph (b) or (c) of subdivision two of section 355.1 of this part to
have the respondent placed with the  applicable  local  commissioner  of
social services; and
  [(B)]  (2)  beginning  on the effective date of such a social services
district's plan to implement programs for youth placed in limited secure
settings, if the office of children and family services concludes, based
on the needs and best interests of  the  respondent  and  the  need  for
protection  for the community, that a non-secure or limited secure level
of care is appropriate for the respondent,  such  office  shall  file  a
petition  pursuant to paragraph (b) or (c) of subdivision two of section
355.1 of this part to have the respondent  placed  with  the  applicable
local commissioner of social services[.]; OR
  (B)  IF THE RESPONDENT HAS BEEN PLACED FROM A FAMILY COURT IN A SOCIAL
SERVICES DISTRICT NOT OPERATING AN APPROVED  JUVENILE  JUSTICE  SERVICES
CLOSE  TO  HOME  INITIATIVE PURSUANT TO SECTION FOUR HUNDRED FOUR OF THE
SOCIAL SERVICES LAW, IF THE  OFFICE  OF  CHILDREN  AND  FAMILY  SERVICES
CONCLUDES,  BASED  ON THE NEEDS AND BEST INTERESTS OF THE RESPONDENT AND

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THE NEED FOR PROTECTION FOR THE COMMUNITY, THAT A  NON-SECURE  LEVEL  OF
CARE  IS  APPROPRIATE FOR THE RESPONDENT, SUCH OFFICE SHALL FILE A PETI-
TION PURSUANT TO PARAGRAPH (F) OF SUBDIVISION TWO OF  SECTION  355.1  OF
THIS  PART  TO  HAVE  THE  RESPONDENT  PLACED  WITH THE APPLICABLE LOCAL
COMMISSIONER OF SOCIAL SERVICES.
  (C) If the respondent is placed with a local  commissioner  of  social
services  in accordance with clause (A) or (B) of this subparagraph, the
remainder of the provisions of this section shall continue to  apply  to
the respondent's placement.
  (iv)  the  respondent  may  not  be released from a secure facility or
transferred to a facility other than a secure facility during the period
provided by the court pursuant to subparagraph (ii) of  this  paragraph,
nor  may  the  respondent be released from a residential facility during
the period provided by the court pursuant to subparagraph (iii) of  this
paragraph. No home visits shall be permitted during the period of secure
confinement  set  by  the  court  order  or one year, whichever is less,
except for emergency visits for medical treatment or severe  illness  or
death  in  the  family. All home visits must be accompanied home visits:
(A) while a youth  is  confined  in  a  secure  facility,  whether  such
confinement is pursuant to a court order or otherwise; (B) while a youth
is confined in a residential facility other than a secure facility with-
in  six  months  after confinement in a secure facility; and (C) while a
youth is confined in a residential facility other than a secure facility
in excess of six months after confinement in a  secure  facility  unless
two  accompanied home visits have already occurred. An "accompanied home
visit" shall mean a home visit during which the youth shall be  accompa-
nied  at  all  times while outside the secure or residential facility by
appropriate personnel of the office of children and family services  or,
if  applicable,  a social services district [operating an approved juve-
nile justice close to home initiative pursuant to section  four  hundred
four of the social services law].
  S 15. Subparagraphs (i), (iii) and (iv) of paragraph (c) and paragraph
(d)  of  subdivision  5  of  section  353.5  of the family court act, as
amended by section 6 of subpart A of part G of chapter 57 of the laws of
2012, is amended to read as follows:
  (i) after the expiration of the period provided in subparagraph  (iii)
of  paragraph  (a)  of  this  subdivision,  the  respondent shall not be
released from a residential facility without the written approval of the
office of children and family  services  or,  if  applicable,  a  social
services district [operating an approved juvenile justice services close
to  home  initiative pursuant to section four hundred four of the social
services law].
  (iii) the respondent shall not be discharged from the custody  of  the
office  of  children  and  family  services, or, if applicable, a social
services district [operating an approved juvenile justice services close
to home initiative pursuant to section four hundred four of  the  social
services law].
  (iv)  unless  otherwise specified in the order, the office of children
and family services or, if applicable, a social services district [oper-
ating an approved juvenile justice services  close  to  home  initiative
pursuant to section four hundred four of the social services law], shall
report  in  writing  to  the  court  not less than once every six months
during the placement on the  status,  adjustment  and  progress  of  the
respondent.
  (d)  Upon  the  expiration  of  the initial period of placement or any
extension thereof, the placement may  be  extended  in  accordance  with

S. 2607--A                         52                         A. 3007--A

section  355.3  upon petition of any party or the office of children and
family services or, if applicable, a social services district [operating
an approved juvenile justice services close to home initiative  pursuant
to section four hundred four of the social services law], after a dispo-
sitional  hearing, for an additional period not to exceed twelve months,
but no initial placement or extension of placement  under  this  section
may continue beyond the respondent's twenty-first birthday.
  S  16.  Subdivision  2  of  section  355.1  of the family court act is
amended by adding three new paragraphs (d),  (e)  and  (f)  to  read  as
follows:
  (D)  FOR  A SOCIAL SERVICES DISTRICT THAT IS NOT OPERATING AN APPROVED
JUVENILE JUSTICE SERVICES CLOSE TO HOME INITIATIVE PURSUANT  TO  SECTION
FOUR HUNDRED FOUR OF THE SOCIAL SERVICES LAW:
  (I)  IF  THE  DISTRICT  DETERMINES  THAT PLACEMENT IN A LIMITED SECURE
FACILITY IS APPROPRIATE AND CONSISTENT WITH THE NEED FOR  PROTECTION  OF
THE  COMMUNITY AND THE NEEDS AND BEST INTERESTS OF THE RESPONDENT PLACED
INTO ITS CARE, THE SOCIAL SERVICES DISTRICT SHALL  FILE  A  PETITION  TO
TRANSFER  THE  CUSTODY  OF  THE RESPONDENT TO THE OFFICE OF CHILDREN AND
FAMILY SERVICES, AND SHALL PROVIDE A  COPY  OF  SUCH  PETITION  TO  SUCH
OFFICE, THE RESPONDENT, THE ATTORNEY FOR THE RESPONDENT AND THE RESPOND-
ENT'S  PARENT  OR LEGAL GUARDIAN. THE FAMILY COURT SHALL, AFTER ALLOWING
THE OFFICE OF CHILDREN AND FAMILY SERVICES  AND  THE  ATTORNEY  FOR  THE
RESPONDENT,  AFTER NOTICE HAVING BEEN GIVEN, AN OPPORTUNITY TO BE HEARD,
GRANT SUCH A PETITION ONLY IF THE COURT DETERMINES, AND  STATES  IN  ITS
WRITTEN  ORDER,  THE REASONS WHY A LIMITED SECURE PLACEMENT IS NECESSARY
AND CONSISTENT WITH THE NEEDS AND BEST INTERESTS OF THE  RESPONDENT  AND
THE NEED FOR PROTECTION OF THE COMMUNITY.
  (II)  IF  THE  DISTRICT DETERMINES THAT A SECURE LEVEL OF PLACEMENT IS
APPROPRIATE AND CONSISTENT WITH THE NEED FOR PROTECTION OF THE COMMUNITY
AND THE NEEDS AND BEST INTERESTS OF THE RESPONDENT PLACED INTO ITS CARE,
THE SOCIAL SERVICES DISTRICT SHALL  FILE  A  PETITION  TO  TRANSFER  THE
CUSTODY OF THE RESPONDENT TO THE OFFICE OF CHILDREN AND FAMILY SERVICES,
AND  SHALL  PROVIDE A COPY OF SUCH PETITION TO SUCH OFFICE, THE RESPOND-
ENT, THE ATTORNEY FOR THE RESPONDENT  AND  THE  RESPONDENT'S  PARENT  OR
LEGAL  GUARDIAN.  THE  FAMILY  COURT SHALL, AFTER ALLOWING THE OFFICE OF
CHILDREN AND FAMILY SERVICES AND THE ATTORNEY FOR THE RESPONDENT,  AFTER
NOTICE HAVING BEEN GIVEN, AN OPPORTUNITY TO BE HEARD, GRANT SUCH A PETI-
TION ONLY IF THE COURT DETERMINES, AND STATES IN ITS WRITTEN ORDER, THAT
THE YOUTH NEEDS A SECURE LEVEL OF PLACEMENT BECAUSE:
  (A)  THE  RESPONDENT  HAS  BEEN SHOWN TO BE EXCEPTIONALLY DANGEROUS TO
HIMSELF OR HERSELF OR TO OTHER PERSONS. EXCEPTIONALLY DANGEROUS BEHAVIOR
MAY INCLUDE, BUT IS NOT LIMITED TO,  ONE  OR  MORE  SERIOUS  INTENTIONAL
ASSAULTS, SEXUAL ASSAULTS OR SETTING FIRES; OR
  (B)  THE  RESPONDENT HAS DEMONSTRATED BY A PATTERN OF BEHAVIOR THAT HE
OR SHE NEEDS A MORE STRUCTURED SETTING AND THE SOCIAL SERVICES  DISTRICT
HAS  CONSIDERED THE APPROPRIATENESS AND AVAILABILITY OF A TRANSFER TO AN
ALTERNATIVE NON-SECURE OR LIMITED SECURE  FACILITY.  SUCH  BEHAVIOR  MAY
INCLUDE,  BUT  IS  NOT  LIMITED  TO:  DISRUPTIONS  IN FACILITY PROGRAMS;
CONTINUOUSLY AND MALICIOUSLY DESTROYING PROPERTY; OR REPEATEDLY  COMMIT-
TING OR INCITING OTHER YOUTH TO COMMIT ASSAULTIVE OR DESTRUCTIVE ACTS.
  (E)  ONCE  THE  OFFICE  OF  CHILDREN  AND FAMILY SERVICES HAS PROVIDED
NOTICE PURSUANT TO SUBDIVISION FIFTEEN-A OF SECTION FIVE HUNDRED ONE  OF
THE  EXECUTIVE  LAW, TO CLOSE ITS NON-SECURE FACILITIES, TO MAKE SIGNIF-
ICANT SERVICE REDUCTIONS AND PUBLIC EMPLOYEE STAFFING REDUCTIONS  AND/OR
TO  TRANSFER  OPERATIONS  OF  ANY NON-SECURE FACILITIES OPERATED BY SUCH
OFFICE, SUCH OFFICE SHALL FILE PETITIONS TO TRANSFER CUSTODY OF  ALL  OF

S. 2607--A                         53                         A. 3007--A

THE  YOUTH IN THE OFFICE'S CUSTODY WHO ARE CURRENTLY PLACED IN A NON-SE-
CURE SETTING, OR WHO ARE CONDITIONALLY RELEASED FROM SUCH A SETTING,  TO
THE  APPLICABLE  LOCAL  COMMISSIONER OF SOCIAL SERVICES. SUCH A PETITION
SHALL  BE  PROVIDED  TO THE RESPONDENT, THE ATTORNEY FOR THE RESPONDENT,
THE RESPONDENT'S PARENT  OR  LEGAL  GUARDIAN  AND  THE  SOCIAL  SERVICES
DISTRICT.  THE FAMILY COURT SHALL GRANT SUCH A PETITION, WITHOUT A HEAR-
ING, UNLESS THE ATTORNEY FOR THE RESPONDENT, AFTER  NOTICE,  REQUESTS  A
HEARING  AND  OBJECTS  TO  THE TRANSFER ON THE BASIS THAT THE RESPONDENT
NEEDS TO BE PLACED WITH THE OFFICE IN A LIMITED SECURE OR  SECURE  LEVEL
OF  CARE.  THE  FAMILY  COURT  SHALL GRANT THE PETITION UNLESS THE COURT
DETERMINES, AND STATES IN ITS WRITTEN ORDER, THE REASONS WHY  A  LIMITED
SECURE OR SECURE LEVEL OF PLACEMENT IS NECESSARY AND CONSISTENT WITH THE
NEEDS  AND  BEST INTERESTS OF THE RESPONDENT AND THE NEED FOR PROTECTION
OF THE COMMUNITY. NOTWITHSTANDING ANY PROVISION OF LAW TO THE  CONTRARY,
THE  FAMILY  COURT  SHALL  DETERMINE SUCH A PETITION WITHIN TEN CALENDAR
DAYS OF THE DATE THE OFFICE FILES SAID PETITION.
  (F) IF THE OFFICE OF CHILDREN AND FAMILY SERVICES  DETERMINES  THAT  A
NON-SECURE LEVEL OF CARE OR PLACEMENT IS APPROPRIATE AND CONSISTENT WITH
THE  NEED  FOR PROTECTION OF THE COMMUNITY AND THE NEEDS AND BEST INTER-
ESTS OF A RESPONDENT WHO IS IN THEIR CUSTODY  AND  PLACED  AT  EITHER  A
LIMITED  SECURE  OR  SECURE FACILITY FROM A FAMILY COURT WITHIN A SOCIAL
SERVICES DISTRICT THAT IS NOT OPERATING  AN  APPROVED  JUVENILE  JUSTICE
SERVICES  CLOSE TO HOME INITIATIVE PURSUANT TO SECTION FOUR HUNDRED FOUR
OF THE SOCIAL SERVICES LAW, SUCH OFFICE  SHALL  PETITION  THE  COURT  TO
TRANSFER CUSTODY OF SUCH RESPONDENT TO THE APPLICABLE LOCAL COMMISSIONER
OF  SOCIAL  SERVICES  AND  SHALL  PROVIDE  A COPY OF THE PETITION TO THE
SOCIAL SERVICES DISTRICT,  THE  ATTORNEY  FOR  THE  RESPONDENT  AND  THE
PRESENTMENT  AGENCY.  THE  FAMILY COURT SHALL, AFTER ALLOWING THE SOCIAL
SERVICES DISTRICT, THE ATTORNEY FOR THE RESPONDENT AND  THE  PRESENTMENT
AGENCY  AN  OPPORTUNITY  TO  BE  HEARD, GRANT SUCH A PETITION UNLESS THE
COURT DETERMINES, AND STATES IN ITS WRITTEN  ORDER  THE  REASONS  WHY  A
LIMITED  SECURE OR SECURE PLACEMENT IS NECESSARY AND CONSISTENT WITH THE
NEEDS AND BEST INTEREST OF THE RESPONDENT AND THE NEED FOR PROTECTION OF
THE COMMUNITY.
  S 17. This act shall take effect immediately,  provided  however  that
sections seven through fifteen of this act shall take effect May 1, 2013
and  provided  further,  however, that sections one, two, four, five and
six of this act shall take effect March 31, 2014; and  provided  further
that:
  (a) the amendments to subparagraphs (iii) and (iv) of paragraph (a) of
subdivision  4  of section 353.5 of the family court act made by section
eleven of this act shall not affect the expiration of  such  subdivision
and shall be deemed to expire therewith;
  (b)  the  amendments to subparagraphs (i), (iii) and (iv) of paragraph
(c) of subdivision 4 of section 353.5 of the family court  act  made  by
section  twelve  of  this  act  shall  not affect the expiration of such
subdivision and shall be deemed to expire therewith;
  (c) the amendments to paragraph (d) of subdivision 4 of section  353.5
of  the  family court act made by section thirteen of this act shall not
affect the expiration of such subdivision and shall be deemed to  expire
therewith;
  (d) the amendments to subparagraphs (iii) and (iv) of paragraph (a) of
subdivision  5  of section 353.5 of the family court act made by section
fourteen of this act shall not affect the expiration of such subdivision
and shall be deemed to expire therewith;

S. 2607--A                         54                         A. 3007--A

  (e) the amendments to subparagraphs (i), (iii) and (iv)  of  paragraph
(c)  and  paragraph  (d) of subdivision 5 of section 353.5 of the family
court act made by section fifteen of this act shall not affect the expi-
ration of such subdivision and shall be deemed to expire  therewith;
  (f)  the  amendments  to  subdivision 2 of section 355.1 of the family
court act made by section sixteen of this act shall not affect the expi-
ration of such subdivision and shall be deemed to expire therewith.

                                SUBPART B

  Section 1. Subdivision 1 of section  505  of  the  executive  law,  as
amended  by  chapter  465  of  the  laws  of 1992, is amended to read as
follows:
  1. There shall be a facility director of  each  [division  for  youth]
OFFICE  OF CHILDREN AND FAMILY SERVICES OPERATED facility. Such facility
director shall be appointed by the [director] COMMISSIONER of the [divi-
sion] OFFICE OF CHILDREN AND FAMILY SERVICES and THE POSITION  shall  be
in the noncompetitive class and designated as confidential as defined by
subdivision  two-a  of  section  forty-two of the civil service law. The
facility director shall have [two years] SUCH experience [in appropriate
titles in state government. Such facility director shall have such]  AND
other  qualifications as may be prescribed by the [director] DIRECTOR OF
CLASSIFICATION AND COMPENSATION WITHIN THE DEPARTMENT OF  CIVIL  SERVICE
IN  CONSULTATION WITH THE COMMISSIONER of the [division] OFFICE OF CHIL-
DREN AND FAMILY SERVICES, based on  differences  in  duties,  levels  of
responsibility,  size  and  character of the facility, knowledge, skills
and abilities required, and other factors affecting the position  [and].
SUCH  FACILITY  DIRECTOR  shall  serve at the pleasure of the [director]
COMMISSIONER of the [division] OFFICE.
  S 2. This act shall take effect on the thirtieth day  after  it  shall
have become a law.
  S 2. Severability clause. If any clause, sentence, paragraph, subdivi-
sion,  section  or  part  of  this act shall be adjudged by any court of
competent jurisdiction to be invalid, such judgment  shall  not  affect,
impair,  or  invalidate  the remainder thereof, but shall be confined in
its operation to the clause, sentence, paragraph,  subdivision,  section
or part thereof directly involved in the controversy in which such judg-
ment shall have been rendered. It is hereby declared to be the intent of
the  legislature  that  this  act  would  have been enacted even if such
invalid provisions had not been included herein.
  S 3. This act shall take effect immediately  provided,  however,  that
the  applicable  effective date of subparts A and B of this act shall be
as specifically set forth in the last section of such subparts.

                                 PART I

  Section 1. Sections 46, 47, 48, 49, 50 and 74 of the executive law are
REPEALED.
  S 2. Section 51 of the executive law, as added by chapter 766  of  the
laws of 2005, is amended to read as follows:
  S  51.  Jurisdiction.  This  article shall, subject to the limitations
contained herein, confer upon the office of the state inspector general,
jurisdiction over all covered agencies. For the purposes of this article
"covered agency" shall include all executive  branch  agencies,  depart-
ments,  divisions,  officers, boards and commissions, public authorities
(other than multi-state or  multi-national  authorities),  [and]  public

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benefit  corporations,  the heads of which are appointed by the governor
and which do not have their own inspector general by statute, AND  LOCAL
SOCIAL  SERVICES  DISTRICTS.    Wherever  a  covered  agency is a board,
commission,  a  public authority or public benefit corporation, the head
of the agency is the chairperson thereof. FOR PURPOSES OF THIS  SECTION,
"LOCAL  SOCIAL  SERVICES DISTRICTS" SHALL INCLUDE CONTRACTEES OR RECIPI-
ENTS OF PUBLIC ASSISTANCE SERVICES.
  S 3. Subdivisions 6 and 7 of section 53 of the executive law, as added
by chapter 766 of the laws of 2005, are amended to read as follows:
  6. recommend remedial  action  to  prevent  or  eliminate  corruption,
fraud,  criminal  activity,  conflicts  of  interest or abuse in covered
agencies AND OFFICES AND AGENCIES ADMINISTERING OR  SUPPORTING  PROGRAMS
OF THE DEPARTMENT OF FAMILY ASSISTANCE;
  7.  establish  programs  for  training  state   AND LOCAL officers and
employees OF COVERED AGENCIES regarding the prevention  and  elimination
of  corruption, fraud, criminal activity, conflicts of interest or abuse
in covered agencies.
  S 4. Section 54 of the executive law, as added by chapter 766  of  the
laws of 2005, is amended to read as follows:
  S 54. Powers. The state inspector general shall have the power to:
  1. subpoena and enforce the attendance of witnesses;
  2. administer oaths or affirmations and examine witnesses under oath;
  3.  require  the production of any books and papers deemed relevant or
material to any investigation, examination or review;
  4. notwithstanding any law to the contrary, examine and copy or remove
documents or records of any kind prepared, maintained  or  held  by  any
covered agency;
  5.  require  any  officer  or  employee in a covered agency, OR IN ANY
OFFICE OR AGENCY ADMINISTERING OR SUPPORTING ANY PROGRAM OF THE  DEPART-
MENT  OF  FAMILY  ASSISTANCE,  to answer questions concerning any matter
related to the performance of his or her official duties.  No  statement
or  other evidence derived therefrom may be used against such officer or
employee in any subsequent criminal prosecution other than  for  perjury
or  contempt  arising from such testimony. The refusal of any officer or
employee to answer questions shall be cause for removal from  office  or
employment or other appropriate penalty;
  6.  monitor  the implementation by covered agencies AND BY OFFICES AND
AGENCIES ADMINISTERING OR SUPPORTING PROGRAMS OF THE DEPARTMENT OF FAMI-
LY ASSISTANCE of any recommendations made by THE state inspector  gener-
al;
  7.  perform  any  other functions that are necessary or appropriate to
fulfill the duties and responsibilities of office[.];
  8. NOTWITHSTANDING ANY OTHER PROVISION OF LAW, RULE OR  REGULATION  TO
THE  CONTRARY, NO PERSON SHALL PREVENT, SEEK TO PREVENT, INTERFERE WITH,
OBSTRUCT OR OTHERWISE HINDER ANY INVESTIGATION BEING CONDUCTED  PURSUANT
TO  THIS  SECTION. SECTION ONE HUNDRED THIRTY-SIX OF THE SOCIAL SERVICES
LAW SHALL IN NO WAY BE CONSTRUED TO RESTRICT ANY PERSON OR  GOVERNMENTAL
BODY FROM COOPERATING WITH AND ASSISTING THE INSPECTOR GENERAL OR HIS OR
HER  EMPLOYEES  IN  CARRYING  OUT  THEIR  DUTIES UNDER THIS SECTION. ANY
VIOLATION OF THIS PARAGRAPH SHALL CONSTITUTE  CAUSE  FOR  SUSPENSION  OR
REMOVAL FROM OFFICE OR EMPLOYMENT;
  S  5.  Subdivisions  3  and  7 of section 32 of the public health law,
subdivision 3 as amended by chapter 109 of the laws of 2007 and subdivi-
sion 7 as added by chapter 442 of the laws of 2006, are amended to  read
as follows:

S. 2607--A                         56                         A. 3007--A

  3.  to  coordinate,  to  the  greatest  extent possible, activities to
prevent, detect and investigate medical  assistance  program  fraud  and
abuse  amongst  the  following:  the  department;  the offices of mental
health, [mental retardation and] PEOPLE WITH developmental disabilities,
alcoholism  and  substance  abuse services, temporary disability assist-
ance, and children and family services; the  commission  on  quality  of
care  and  advocacy  for  persons  with  disabilities; the department of
education; the fiscal agent employed to operate the  medical  assistance
information  and  payment system; local governments and entities; and to
work in a coordinated and  cooperative  manner  with,  to  the  greatest
extent possible, the deputy attorney general for Medicaid fraud control;
the  [welfare]  STATE  inspector  general, federal prosecutors, district
attorneys within the state, the special investigative unit maintained by
each health insurer operating within the  state,  and  the  state  comp-
troller;
  7.  to  make  information  and evidence relating to suspected criminal
acts which he or she may obtain in carrying out his or her duties avail-
able to appropriate law enforcement officials and to  consult  with  the
deputy attorney general for Medicaid fraud control[, the welfare inspec-
tor  general,] and other state and federal law enforcement officials for
coordination of criminal investigations and prosecutions.
  The inspector shall refer suspected fraud or criminality to the deputy
attorney general for Medicaid fraud control and make any other referrals
to such deputy attorney general as required or contemplated  by  federal
law.  At  any  time after such referral, with ten days written notice to
the deputy attorney general for Medicaid fraud control or  such  shorter
time  as  such  deputy  attorney  general consents to, the inspector may
additionally provide  relevant  information  about  suspected  fraud  or
criminality  to  any  other federal or state law enforcement agency that
the inspector deems appropriate under the circumstances;
  S 6. Subdivision 2 of section 23 of the social services law, as  added
by chapter 545 of the laws of 1978, is amended to read as follows:
  2.  Notwithstanding  any  law  to  the  contrary, the department, upon
request by the office of [welfare] THE STATE  inspector  general,  shall
provide  said  office  with  such  information it receives from the wage
reporting system operated by the department of taxation and finance that
the office of [welfare] THE STATE inspector general deems  necessary  to
carry  out  its  functions and duties under article [four] FOUR-A of the
executive law.
  S 7. Subdivision 2 of section 136  of  the  social  services  law,  as
amended  by  section 24 of part B of chapter 436 of the laws of 1997, is
amended to read as follows:
  2. All communications and information relating to a  person  receiving
public  assistance  or  care  obtained  by any social services official,
service officer, or employee in the course of his or her work  shall  be
considered  confidential  and,  except  as  otherwise  provided  in this
section, shall be disclosed only to the  commissioner,  or  his  or  her
authorized  representative,  the  commissioner of labor, or   his or her
authorized representative, the commissioner of health,  or  his  or  her
authorized representative, the [welfare] STATE inspector general, or his
or her authorized representative, the county  board of supervisors, city
council,  town  board  or other board or body authorized and required to
appropriate funds for public assistance and care in and for such county,
city or town or its authorized representative or, by  authority  of  the
county,  city  or  town  social services official, to a person or agency
considered entitled to such information. Nothing herein shall preclude a

S. 2607--A                         57                         A. 3007--A

social services official from reporting  to  an  appropriate  agency  or
official,  including  law  enforcement  agencies  or officials, known or
suspected instances of  physical  or  mental  injury,  sexual  abuse  or
exploitation,  sexual  contact  with  a  minor or negligent treatment or
maltreatment of a child of which  the  official  becomes  aware  in  the
administration  of  public  assistance  and  care  nor shall it preclude
communication with the federal immigration  and  naturalization  service
regarding the immigration status of any individual.
  S  8.  Transfer  of  employees. Notwithstanding any other provision of
law, rule, or regulation to the contrary, upon the transfer of functions
from the office of the welfare inspector general to the  office  of  the
state  inspector  general  pursuant  to  this  act, all employees of the
office of the welfare inspector general  shall  be  transferred  to  the
office of the state inspector general. Employees transferred pursuant to
this  act shall be transferred without further examination or qualifica-
tion and shall retain their respective  civil  service  classifications,
status  and  collective  bargaining  unit  designations  and  collective
bargaining agreements.
  S 9. Transfer of records. All  books,  papers,  and  property  of  the
office  of  the  welfare  inspector general, except those required to be
retained by the New York state attorney general  for  investigation  and
prosecution  of  pending  cases, shall be delivered to the office of the
state inspector general. All books, papers, and property of  the  office
of  the welfare inspector general shall continue to be maintained by the
office of the state inspector general.
  S 10. Continuity of authority. For the purpose of  succession  of  all
functions,  powers,  duties and obligations transferred and assigned to,
devolved upon and assumed by it pursuant to this act, the office of  the
state  inspector  general  shall  be  deemed  and held to constitute the
continuation of the office of the welfare inspector general.
  S 11. Completion of unfinished business. Any business or other  matter
undertaken  or  commenced by the office of the welfare inspector general
pertaining to or connected with the functions, powers,  obligations  and
duties  hereby  transferred  and  assigned  to  the  office of the state
inspector general and pending on the effective date of this act  may  be
conducted  and completed by the office of the state inspector general in
the same manner and under the same terms and  conditions  and  with  the
same  effect  as if conducted and completed by the office of the welfare
inspector general, except the office  of  the  state  inspector  general
shall have no authority to prosecute any pending cases.
  S  12.  Continuation of rules and regulations. All rules, regulations,
acts, orders, determinations, and decisions of the office of the welfare
inspector general pertaining to the functions and powers  herein  trans-
ferred  and  assigned, in force at the time of such transfer and assump-
tion, shall continue in full force and  effect  as  rules,  regulations,
acts,  orders,  determinations  and decisions of the office of the state
inspector general until duly modified or abrogated by the state  inspec-
tor general.
  S 13. Terms occurring in laws, contracts and other documents.  Whenev-
er  the office of the welfare inspector general or the welfare inspector
general is referred to or designated in any law,  contract  or  document
pertaining  to  the  functions,  powers,  obligations  and duties hereby
transferred to and assigned to the office of the state inspector general
or the state inspector general, such reference or designation  shall  be
deemed  to  refer  to  the  office of the state inspector general or the
state inspector general, as applicable.

S. 2607--A                         58                         A. 3007--A

  S 14. Existing rights and remedies preserved.  No  existing  right  or
remedy  of  any  character  shall  be  lost, impaired or affected by any
provisions of this act.
  S 15. Pending actions and proceedings. No action or proceeding pending
at  the  time when this act shall take effect, brought by or against the
office of the welfare inspector general or the welfare inspector  gener-
al,  shall be affected by any provision of this act, but the same may be
prosecuted or defended in the name of the state inspector general or the
office of the state inspector general, except the office  of  the  state
inspector  general  shall  have  no  authority  to prosecute any pending
cases. In all such actions and proceedings, the state inspector general,
upon application of the court, shall be substituted as a party.
  S 16. Transfer of appropriations heretofore made.  All  appropriations
or reappropriations heretofore made to the office of the welfare inspec-
tor  general  to  the  extent  of  remaining  unexpended or unencumbered
balance thereof, whether allocated or unallocated and whether  obligated
or unobligated, are hereby transferred to and made available for use and
expenditure  by the office of the state inspector general subject to the
approval of the director of the budget for the same purposes  for  which
originally appropriated or reappropriated and shall be payable on vouch-
ers  certified  or  approved by the state inspector general on audit and
warrant of the comptroller.
  S 17. Transfer of assets and liabilities. All assets  and  liabilities
of the office of the welfare inspector general are hereby transferred to
and assumed by the office of the state inspector general.
  S 18. This act shall take effect immediately.

                                 PART J

  Section  1.  Paragraph (b) of subdivision 3 of section 425 of the real
property tax law, as amended by section 1 of part B of  chapter  389  of
the laws of 1997, is amended to read as follows:
  (b)  Primary  residence.  The property must serve as the primary resi-
dence of one or more of  the  owners  thereof.  THE  COMMISSIONER  SHALL
ESTABLISH  GUIDELINES  FOR  DETERMINING WHAT CONSTITUTES A PRIMARY RESI-
DENCE FOR PURPOSES OF THIS SECTION. SUCH  GUIDELINES  SHALL  BE  BINDING
UPON  APPLICANTS,  ASSESSORS  AND  ALL OTHER PARTIES FOR PURPOSES OF THE
ADMINISTRATION OF THE EXEMPTION AUTHORIZED BY THIS SECTION.
  S 2. Subdivisions 12 and 13 of section 425 of the  real  property  tax
law,  as  amended  by  section 1 of part B of chapter 389 of the laws of
1997, paragraph (a) of subdivision 12 as amended by section 12 of part W
of chapter 56 of the laws of 2010, paragraph (b) of  subdivision  12  as
amended  and  paragraph  (d)  of subdivision 12 as added by section 1 of
part N of chapter 58 of the laws of 2011 and paragraph (d)  of  subdivi-
sion  13  as  added  by section 2 of part N of chapter 58 of the laws of
2011, are amended and two new subdivisions 14 and 15 are added  to  read
as follows:
  12.  Revocation  of  prior  exemptions.  (a) Generally. In addition to
discontinuing the exemption on the  next  ensuing  tentative  assessment
roll,  if  the assessor determines that the property improperly received
the exemption on one or more of the  [three]  TEN  preceding  assessment
rolls, or is advised by the department that the applicable income stand-
ard  was  not  satisfied  with  regard  to a property which received the
enhanced exemption on one or more  of  those  rolls,  he  or  she  shall
proceed  to revoke the improperly granted prior exemption or exemptions.
If the assessor is advised that the department was unable to verify  the

S. 2607--A                         59                         A. 3007--A

income  eligibility  of one or more participants in the income verifica-
tion program, the assessor shall mail that person  or  those  persons  a
notice in a form prescribed by the department requesting that the person
or  persons  document  their  income  in the same manner and to the same
extent as if the person or persons were submitting an  initial  applica-
tion  for  the  enhanced STAR exemption. If such income documentation is
not provided within forty-five days of such request, or if the  documen-
tation  provided  does  not  establish  the eligibility of the person or
persons to the assessor's satisfaction, the  assessor  shall  treat  the
exemption  as  an improperly granted exemption and proceed in the manner
provided by this subdivision.
  (b) Procedure. The assessed value attributable to each such improperly
granted exemption shall be entered separately on the next ensuing tenta-
tive or final assessment roll. The provisions of  section  five  hundred
fifty-one  or  five hundred fifty-three of this chapter, relating to the
entry by the assessor of omitted real property on a tentative  or  final
assessment  roll,  shall  apply  so far as practicable to the revocation
procedure IN THIS SUBDIVISION, except that:
  (I) the tax rate to be applied to any revoked exemption shall  be  the
tax  rate  that  was  applied to the corresponding assessment roll, [and
that]
  (II) interest shall then be added to each such  product  at  the  rate
prescribed by section nine hundred twenty-four-a of this chapter or such
other  law  as may be applicable for each month or portion thereon since
the levy of taxes upon the assessment  roll  or  rolls  upon  which  the
exemption was granted, AND
  (III)  A  PROCESSING  FEE OF FIVE HUNDRED DOLLARS SHALL BE ADDED. SUCH
PROCESSING FEE IMPOSED PURSUANT TO THIS SUBDIVISION SHALL BE RETAINED BY
THE ASSESSING UNIT.
  (c) Rights of owners. Each owner or owners shall be  given  notice  of
the  possible  revocation  UNDER  THIS SUBDIVISION of their exemption or
exemptions at the time and  in  the  manner  provided  by  section  five
hundred  ten  or  five hundred fifty-three of this chapter, and shall be
entitled to seek administrative and judicial review of  such  action  in
the manner provided by law.
  (d)  Applicability.  The  provisions  of this subdivision shall not be
applicable to the extent that  the  prior  exemptions  shall  have  been
renounced pursuant to section four hundred ninety-six of this article.
  13. Penalty for material misstatements. (a) Generally. If the assessor
should  determine, within [three] TEN years from the filing of an appli-
cation for exemption pursuant to this section, that there was a material
misstatement on the application, he or she shall  proceed  to  impose  a
penalty  tax against the property of [one hundred dollars] EITHER TWENTY
PERCENT OF THE TOTAL AMOUNT OF THE IMPROPERLY RECEIVED TAX  SAVINGS,  OR
ONE  HUNDRED  DOLLARS,  WHICHEVER  IS  GREATER.  An application shall be
deemed to contain a material misstatement for this purpose when either:
  (i) the applicant or applicants claimed that the  property  was  their
primary residence, when it was not; or
  (ii)    THE APPLICANT OR APPLICANTS CLAIMED THAT THEY HAD RELINQUISHED
THE STAR EXEMPTION ON THEIR FORMER PRIMARY RESIDENCE, WHEN THEY HAD NOT;
OR
  (III) in the case of an application for  the  enhanced  exemption  for
property owned by senior citizens, the applicant or applicants misrepre-
sented  their age or income so as to appear eligible for such exemption,
when they were not.

S. 2607--A                         60                         A. 3007--A

  (b) Procedure. When the assessor determines that a penalty tax  should
be  imposed, the penalty tax shall be entered on the next ensuing tenta-
tive or final assessment roll. The procedures set forth in section  five
hundred  fifty-one or five hundred fifty-three of this chapter, relating
to  the entry by the assessor of omitted real property on a tentative or
final assessment roll, shall apply so far as practicable when imposing a
penalty tax pursuant to this subdivision. Each owner or owners shall  be
given notice of the possible imposition of a penalty tax at the time and
in  the  manner  provided  by  section  five hundred ten or five hundred
fifty-three of this chapter, and shall be entitled to  seek  administra-
tive  and  judicial review of such action in the manner provided by law.
Any penalty tax imposed pursuant to this subdivision shall  be  retained
by the assessing unit.
  (c)  Additional consequences. A penalty tax may be imposed pursuant to
this subdivision whether or not the improper exemption has been  revoked
in the manner provided by this section. In addition, a person or persons
who are found to have made a material misstatement shall be disqualified
from  further  exemption pursuant to this section for a period of [five]
TEN years, and may be subject to prosecution pursuant to the penal law.
  (d) Applicability. The provisions of this  subdivision  shall  not  be
applicable  to  the  extent  that  the  prior exemptions shall have been
renounced pursuant to section four hundred ninety-six of this article.
  14. STAR REGISTRATION PROGRAM. (A) THE  COMMISSIONER  SHALL  ESTABLISH
AND  IMPLEMENT  A PROGRAM UNDER WHICH ALL OWNERS OF PROPERTIES INITIALLY
APPLYING FOR AND  THOSE  RECEIVING  A  BASIC  STAR  EXEMPTION  SHALL  BE
REQUIRED  TO  BE REGISTERED WITH THE COMMISSIONER IN THE MANNER, AT SUCH
INTERVALS, AND BY THE DATE OR DATES PRESCRIBED BY THE COMMISSIONER.
  (B) NOTWITHSTANDING ANY PROVISION OF LAW TO THE CONTRARY, THE  COMMIS-
SIONER  SHALL  DIRECT THE REMOVAL OR DENIAL OF A STAR EXEMPTION IF HE OR
SHE FINDS THAT ONE OR MORE OF THE FOLLOWING CONDITIONS EXIST:
  (I) ALL OWNERS OF  THE  PROPERTY  HAVE  NOT  BEEN  REGISTERED  BY  THE
PRESCRIBED  DATE  AND NO ACCEPTABLE JUSTIFICATION HAS BEEN PRESENTED FOR
SUCH FAILURE;
  (II) THE OWNERS OF THE PROPERTY ARE IMPROPERLY RECEIVING MULTIPLE STAR
EXEMPTIONS;
  (III) THE PROPERTY DOES NOT SERVE AS THE PRIMARY RESIDENCE OF  ANY  OF
ITS OWNERS;
  (IV) THE APPLICABLE INCOME LIMITATION HAS BEEN EXCEEDED; OR
  (V) THE PROPERTY IS OTHERWISE INELIGIBLE FOR THE STAR EXEMPTION.
  (C)  PRIOR  TO  DIRECTING  THAT  A STAR EXEMPTION BE REMOVED OR DENIED
PURSUANT TO THIS SUBDIVISION, THE COMMISSIONER SHALL PROVIDE THE PROPER-
TY OWNERS WITH NOTICE AND AN OPPORTUNITY TO SHOW THE  COMMISSIONER  THAT
THE PROPERTY IS ELIGIBLE TO RECEIVE THE EXEMPTION. IF THE OWNERS FAIL TO
RESPOND  TO  SUCH  NOTICE,  OR  IF  THEIR  RESPONSE DOES NOT SHOW TO THE
COMMISSIONER'S SATISFACTION  THAT  THE  PROPERTY  IS  ELIGIBLE  FOR  THE
EXEMPTION,  THE  COMMISSIONER  SHALL DIRECT THE ASSESSOR OR OTHER PERSON
HAVING CUSTODY OR CONTROL OF THE ASSESSMENT ROLL OR TAX ROLL  TO  REMOVE
OR  DENY  THE  EXEMPTION,  AND  TO  CORRECT THE ROLL ACCORDINGLY. SUCH A
DIRECTIVE SHALL BE BINDING UPON THE  ASSESSOR  OR  OTHER  PERSON  HAVING
CUSTODY  OR  CONTROL  OF  THE  ASSESSMENT ROLL OR TAX ROLL, AND SHALL BE
IMPLEMENTED BY SUCH PERSON WITHOUT THE NEED FOR FURTHER DOCUMENTATION OR
APPROVAL.
  (D) NOTWITHSTANDING THE PROVISIONS OF PARAGRAPH (B) OF SUBDIVISION SIX
OF THIS SECTION, NEITHER AN ASSESSOR NOR A BOARD  OF  ASSESSMENT  REVIEW
HAS  THE  AUTHORITY TO CONSIDER AN OBJECTION TO THE REMOVAL OR DENIAL OF
AN EXEMPTION PURSUANT TO THIS SUBDIVISION, NOR MAY  SUCH  AN  ACTION  BE

S. 2607--A                         61                         A. 3007--A

REVIEWED  IN  A PROCEEDING TO REVIEW AN ASSESSMENT PURSUANT TO TITLE ONE
OR ONE-A OF ARTICLE SEVEN OF THIS CHAPTER. SUCH AN ACTION  MAY  ONLY  BE
CHALLENGED  BEFORE THE DEPARTMENT OF TAXATION AND FINANCE ON THE GROUNDS
OF  A  MISTAKE  OF  FACT. THE TAXPAYER SHALL HAVE NO RIGHT TO COMMENCE A
COURT ACTION, ADMINISTRATIVE PROCEEDING  OR  ANY  OTHER  FORM  OF  LEGAL
RECOURSE  AGAINST  THE  COMMISSIONER,  THE  DEPARTMENT  OF  TAXATION AND
FINANCE, ASSESSOR OR OTHER PERSON  HAVING  CUSTODY  OR  CONTROL  OF  THE
ASSESSMENT ROLL OR TAX ROLL REGARDING SUCH ACTION.
  (E) THE COMMISSIONER SHALL BE ENTITLED TO UTILIZE INFORMATION FROM ANY
FILINGS  OF  A  TAXPAYER  WITH THE DEPARTMENT OF TAXATION AND FINANCE IN
CONJUNCTION WITH THE STAR REGISTRATION PROGRAM. THE  DISCLOSURE  TO  THE
ASSESSOR  OR  OTHER  PERSON  HAVING CUSTODY OR CONTROL OF THE ASSESSMENT
ROLL OR TAX ROLL OF NAMES AND ADDRESSES OF PROPERTY OWNERS  AFFECTED  BY
THIS  SUBDIVISION,  COLLECTED  FROM  THE  REGISTRATION PROCESS AND OTHER
FILINGS WITH THE DEPARTMENT OF TAXATION AND FINANCE SHALL NOT CONSTITUTE
A VIOLATION OF THE SECRECY PROVISIONS OF THE TAX LAW.  THE  COMMISSIONER
SHALL PROVIDE NO OTHER INFORMATION ABOUT THE INCOME OF A TAXPAYER TO THE
ASSESSOR  OR  OTHER  PERSON  HAVING CUSTODY OR CONTROL OF THE ASSESSMENT
ROLL OR TAX ROLL.
  15. DISCLOSURE OF CERTAIN DATA.  THE  COMMISSIONER  IS  AUTHORIZED  TO
DISCLOSE TO ASSESSORS AND COUNTY DIRECTORS OF REAL PROPERTY TAX SERVICES
SUCH  DATA  AS HE OR SHE DEEMS NECESSARY TO THE EFFECTIVE ADMINISTRATION
OF THE STAR EXEMPTION AUTHORIZED BY THIS  SECTION,  NOTWITHSTANDING  THE
SECRECY  PROVISIONS  OF THE TAX LAW, PROVIDED THAT THE DATA SO DISCLOSED
SHALL NOT BE SUBJECT TO FURTHER DISCLOSURE  UNDER  ARTICLE  SIX  OF  THE
PUBLIC OFFICERS LAW OR OTHERWISE.
  S 3. This act shall take effect April 1, 2013.

                                 PART K

  Section  1.  Articles 16 and 17 of the private housing finance law are
REPEALED.
  S 2. The private housing finance law is amended by adding a new  arti-
cle 27 to read as follows:
                               ARTICLE XXVII
                     COMMUNITY PRESERVATION PROGRAM
SECTION 1230. PURPOSE.
        1231. DEFINITIONS.
        1232. PROGRAM CONTRACTS.
        1233. TECHNICAL  SERVICES  AND ASSISTANCE TO COMMUNITY PRESERVA-
                TION CORPORATIONS.
        1234. RULES AND REGULATIONS.
        1235. ANNUAL REPORT.
        1236. RELATIONSHIP TO OTHER LAWS.
  S 1230. PURPOSE. THERE CONTINUES TO EXIST IN ALL AREAS  OF  THE  STATE
SIGNIFICANT UNMET HOUSING NEEDS OF PERSONS AND FAMILIES OF LOW OR MODER-
ATE INCOME, NUMEROUS HOUSING UNITS WHICH ARE DETERIORATING OR IN NEED OF
REHABILITATION  OR IMPROVEMENT, AND RELATED FACTORS DEMONSTRATING A NEED
FOR ATTENTION TO HOUSING PRESERVATION AND COMMUNITY REVITALIZATION.   IT
IS  THE  PURPOSE  OF  THIS ARTICLE TO ESTABLISH A COMMUNITY PRESERVATION
PROGRAM WITHIN THE HOUSING TRUST FUND CORPORATION.
  S 1231. DEFINITIONS. AS USED IN THIS ARTICLE:
  1. "HOUSING TRUST FUND CORPORATION" SHALL MEAN THE HOUSING TRUST  FUND
CORPORATION AS CREATED BY SECTION FORTY-FIVE-A OF THIS CHAPTER.
  2.  "COMMUNITY  PRESERVATION  CORPORATION"  SHALL  MEAN  A CORPORATION
ORGANIZED UNDER THE PROVISIONS OF  THE  NOT-FOR-PROFIT  CORPORATION  LAW

S. 2607--A                         62                         A. 3007--A

THAT  HAS  BEEN  ENGAGED PRIMARILY IN HOUSING PRESERVATION AND COMMUNITY
RENEWAL ACTIVITIES AS DEFINED IN SUBDIVISION FIVE OF THIS SECTION.
  3. "ELIGIBLE APPLICANT" SHALL MEAN ANY COMMUNITY CORPORATION OR COMBI-
NATION  OF  CORPORATIONS  IN EXISTENCE FOR A PERIOD OF ONE OR MORE YEARS
PRIOR TO APPLICATION.
  4. "REGION" SHALL MEAN ANY COMMUNITY AREA WITHIN THE STATE SUCH  AS  A
COUNTY,  CITY, TOWN, VILLAGE, POSTAL ZONE, OR CENSUS TRACT OR ANY SPECI-
FIED PART OR COMBINATION THEREOF AS APPROVED BY THE HOUSING  TRUST  FUND
CORPORATION, WITHIN WHICH HOUSING AND COMMUNITY RENEWAL ACTIVITIES FUND-
ED IN PART PURSUANT TO THIS ARTICLE ARE TO BE CARRIED OUT.
  5.  "HOUSING PRESERVATION AND COMMUNITY RENEWAL ACTIVITIES" SHALL MEAN
ACTIVITIES ENGAGED IN BY A COMMUNITY PRESERVATION CORPORATION  WITHIN  A
REGION,  PROVIDED,  HOWEVER, THAT THE HOUSING TRUST FUND CORPORATION MAY
ALLOW A COMMUNITY PRESERVATION CORPORATION TO ENGAGE IN SUCH  ACTIVITIES
IN UNSERVED AND UNDERSERVED AREAS OF A MUNICIPALITY LYING OUTSIDE OF ITS
DESIGNATED  REGION, THAT INCLUDE: (A) THE NEW CONSTRUCTION OR THE ACQUI-
SITION,  MAINTENANCE,  PRESERVATION,  REPAIR,  REHABILITATION  OR  OTHER
IMPROVEMENT  OF VACANT OR OCCUPIED HOUSING ACCOMMODATIONS; DEMOLITION OR
SEALING OF VACANT STRUCTURES WHERE NECESSARY OR APPROPRIATE; DISPOSITION
OF HOUSING ACCOMMODATIONS TO PRESENT OR POTENTIAL OCCUPANTS OR CO-OPERA-
TIVE ORGANIZATIONS; TRAINING OR OTHER FORMS OF ASSISTANCE  TO  OCCUPANTS
OF  HOUSING  ACCOMMODATIONS; AND MANAGEMENT OF HOUSING ACCOMMODATIONS AS
AGENT FOR THE OWNERS, RECEIVERS, ADMINISTRATORS  OR  MUNICIPALITIES;  OR
(B)  ACTIVITIES,  SIMILAR  TO  THOSE  SPECIFIED IN PARAGRAPH (A) OF THIS
SUBDIVISION, AIMED AT ACCOMPLISHING SIMILAR PURPOSES AND MEETING SIMILAR
NEEDS WITH RESPECT TO RETAIL AND SERVICE ESTABLISHMENTS WITHIN A  REGION
WHEN CARRIED OUT IN CONNECTION WITH AND INCIDENTAL TO A PROGRAM OF HOUS-
ING RELATED ACTIVITIES.
  6.  "PERSONS  OF LOW INCOME" SHALL MEAN INDIVIDUALS AND FAMILIES WHOSE
ANNUAL INCOMES DO NOT EXCEED NINETY PERCENT OF THE MEDIAN ANNUAL  INCOME
FOR  ALL  RESIDENTS  OF  THE REGION WITHIN WHICH THEY RESIDE OR A LARGER
AREA ENCOMPASSING SUCH REGION FOR WHICH  MEDIAN  ANNUAL  INCOME  CAN  BE
DETERMINED.
  7.  "MERGED  CORPORATION"  SHALL  MEAN A COMMUNITY PRESERVATION CORPO-
RATION MAINTAINING A CONTRACT PURSUANT TO THIS ARTICLE THAT  HAS  UNDER-
GONE  A  MERGER  WITH  ONE  OR  MORE OTHER COMMUNITY PRESERVATION CORPO-
RATIONS, WHICH IS ALSO MAINTAINING A CONTRACT PURSUANT TO THIS  ARTICLE,
THAT  HAS  LED  THE MERGED CORPORATION TO REDUCE THE NUMBER OF CONTRACTS
BEING MAINTAINED WITH THE HOUSING TRUST  FUND  CORPORATION  PURSUANT  TO
THIS ARTICLE TO A TOTAL OF ONE.
  8.  "UNMERGED  CORPORATION" SHALL MEAN A COMMUNITY PRESERVATION CORPO-
RATION THAT IS NOT A MERGED CORPORATION.
  S 1232. PROGRAM CONTRACTS. 1. IN ORDER TO BE ELIGIBLE TO RECEIVE FUNDS
PURSUANT TO THIS ARTICLE, AN ELIGIBLE APPLICANT SHALL SUBMIT A  PROPOSAL
BASED ON CRITERIA AS DETERMINED BY THE HOUSING TRUST FUND CORPORATION.
  2.  WITHIN  THE LIMIT OF FUNDS AVAILABLE IN THE COMMUNITY PRESERVATION
APPROPRIATION,  THE  HOUSING  TRUST  FUND  CORPORATION  MAY  ENTER  INTO
CONTRACTS WITH CORPORATIONS TO PROVIDE HOUSING PRESERVATION AND COMMUNI-
TY RENEWAL ACTIVITIES.
  3.  IN DETERMINING TO ENTER INTO A CONTRACT WITH A COMMUNITY PRESERVA-
TION CORPORATION OR CORPORATIONS PURSUANT TO THIS  ARTICLE  THE  HOUSING
TRUST  FUND  CORPORATION  SHALL DETERMINE THAT THE DEMOGRAPHIC AND OTHER
RELEVANT DATA PERTAINING TO A REGION AS SPECIFIED IN THE CONTRACT  INDI-
CATE  THAT  SUCH  REGION  CONTAINS  SIGNIFICANT  UNMET  HOUSING NEEDS OF
PERSONS OF LOW INCOME, THAT THE HOUSING STOCK OF SUCH REGION, BECAUSE OF
ITS AGE, DETERIORATION, OR OTHER FACTORS, REQUIRES IMPROVEMENT IN  ORDER

S. 2607--A                         63                         A. 3007--A

TO  PRESERVE  THE COMMUNITIES WITHIN THE REGION AND THAT THE CORPORATION
PROPOSES TO ASSIST SUCH REGION THROUGH ACTIVE INTERVENTION TO EFFECT THE
REGION'S PRESERVATION, STABILIZATION OR IMPROVEMENT. THE  HOUSING  TRUST
FUND  CORPORATION  SHALL  ALSO DETERMINE THAT THE COMMUNITY PRESERVATION
CORPORATION POSSESSES OR WILL ACQUIRE OR GAIN ACCESS  TO  THE  REQUISITE
STAFF,  OFFICE FACILITIES WITHIN SUCH COMMUNITY, EQUIPMENT AND EXPERTISE
TO ENABLE IT TO PERFORM THE ACTIVITIES WHICH IT  PROPOSES  TO  UNDERTAKE
PURSUANT  TO  SUCH  CONTRACT;  PROVIDED, HOWEVER, THAT THE MERGED CORPO-
RATION'S OFFICE FACILITIES MAY BE LOCATED OUTSIDE SUCH COMMUNITY IF THEY
ARE LOCATED IN A COMMUNITY WHOLLY CONTAINED  WITHIN  THE  MERGED  CORPO-
RATION'S  COMMUNITY, AND PROVIDED FURTHER, HOWEVER, THAT IT SHALL NOT BE
A BAR TO THE HOUSING TRUST FUND CORPORATION'S CONTRACTING WITH A  COMMU-
NITY  PRESERVATION  CORPORATION  THAT ONE OR MORE ORGANIZATIONS, WHETHER
PURSUANT TO CONTRACT WITH THE HOUSING TRUST FUND CORPORATION OR NOT, ARE
CONDUCTING COMMUNITY PRESERVATION ACTIVITIES WHOLLY OR PARTIALLY  WITHIN
THE  SAME  COMMUNITY. THE COMMUNITY PRESERVATION CORPORATION'S OFFICERS,
DIRECTORS AND MEMBERS SHALL BE FAIRLY REPRESENTATIVE  OF  THE  RESIDENTS
AND  OTHER  LEGITIMATE  INTERESTS OF THE COMMUNITY, THAT THEY WILL CARRY
OUT  SUCH  A  CONTRACT  IN  A  RESPONSIBLE  MANNER  AND  THAT  AT  LEAST
THIRTY-THREE  PERCENT  OF  THE  DIRECTORS  OF THE COMMUNITY PRESERVATION
CORPORATION ARE RESIDENTS OF THE COMMUNITY.
  4. EACH CONTRACT ENTERED INTO PURSUANT TO THIS ARTICLE  SHALL  PROVIDE
FOR PAYMENT TO THE CORPORATION FOR THE HOUSING PRESERVATION AND COMMUNI-
TY  RENEWAL ACTIVITIES TO BE PERFORMED BY IT. PAYMENTS SHALL BE BASED ON
PERFORMANCE CRITERIA ESTABLISHED BY THE HOUSING TRUST FUND CORPORATION.
  5. PAYMENT PURSUANT TO  THIS  ARTICLE  SHALL  BE  RESTRICTED  TO  SUMS
REQUIRED  FOR  THE  PAYMENT  OF  SALARIES AND WAGES TO EMPLOYEES OF SUCH
CORPORATIONS WHO ARE  ENGAGED  IN  RENDERING  HOUSING  PRESERVATION  AND
COMMUNITY  RENEWAL  ACTIVITIES,  FEES  TO  CONSULTANTS AND PROFESSIONALS
RETAINED BY THEM FOR PLANNING AND PERFORMING SUCH ACTIVITIES  AND  OTHER
COSTS  AND  EXPENSES DIRECTLY RELATED TO SUCH EMPLOYEES, CONSULTANTS AND
PROFESSIONALS. SUCH FUNDS MAY BE USED FOR PLANNING ANY HOUSING PRESERVA-
TION AND COMMUNITY  RENEWAL  ACTIVITY  AND  FOR  RENOVATING,  REPAIRING,
FURNISHING,  EQUIPPING  AND  OPERATING  AN OFFICE FACILITY TO BE USED IN
CONNECTION WITH  THE  CONDUCT  OF  HOUSING  PRESERVATION  AND  COMMUNITY
RENEWAL ACTIVITIES BY THE CORPORATION.
  6.  CONTRACTS  PURSUANT  TO  THIS  SECTION SHALL BE FOR A PERIOD TO BE
DETERMINED AT THE DISCRETION OF THE HOUSING TRUST FUND CORPORATION.
  7. THE HOUSING TRUST FUND CORPORATION MAY WITHHOLD  PAYMENTS  AND  MAY
ELECT  NOT  TO RENEW OR EXTEND A CONTRACT OR ENTER A SUCCEEDING CONTRACT
WITH ANY COMMUNITY PRESERVATION CORPORATION IF THE CORPORATION IS NOT IN
COMPLIANCE  WITH  ITS  CONTRACT,  HAS  FAILED  TO  SUBMIT  DOCUMENTATION
REQUIRED  UNDER  ITS  CONTRACT  OR  REQUESTED  BY THE HOUSING TRUST FUND
CORPORATION OR HAS NOT SATISFIED ANY OTHER  CONDITIONS  CONSISTENT  WITH
THIS ARTICLE FOR RENEWING OR EXTENDING A CONTRACT OR ENTERING A SUCCEED-
ING CONTRACT.
  8.  THE  HOUSING  TRUST FUND CORPORATION MAY ENTER INTO CONTRACTS WITH
NEW COMMUNITY PRESERVATION CORPORATIONS TO PERFORM HOUSING  PRESERVATION
AND  COMMUNITY  RENEWAL  ACTIVITIES  IN  A COMMUNITY THAT IS UNSERVED OR
UNDERSERVED AS DETERMINED BY THE HOUSING TRUST FUND CORPORATION.
  9. IF FUNDS ARE NOT COLLECTED BY A COMMUNITY PRESERVATION  CORPORATION
OR   FUNDS  ARE  REMAINING  FROM  A  TERMINATED  COMMUNITY  PRESERVATION
CONTRACT, SUCH FUNDS MAY BE DEPOSITED IN THE MERGED CORPORATION  SAVINGS
FUND  AND  USED TO FUND A NEW COMMUNITY PRESERVATION CORPORATION, MAY BE
REALLOCATED TO THE EXISTING CORPORATIONS, MAY BE USED TO PROVIDE TECHNI-

S. 2607--A                         64                         A. 3007--A

CAL ASSISTANCE OR MAY BE USED FOR OTHER COMMUNITY  PRESERVATION  PROGRAM
PURPOSES AS DETERMINED BY THE HOUSING TRUST FUND CORPORATION.
  10.  WHEN  DISBURSING  FUNDS FOR CONTRACTS WITH COMMUNITY PRESERVATION
CORPORATIONS, PURSUANT TO THIS ARTICLE, THE HOUSING  TRUST  FUND  CORPO-
RATION  SHALL  USE THE FOLLOWING CRITERIA, FORMULAS AND TABLES TO DETER-
MINE THE DISTRIBUTION OF FUNDS:
  (A) (I) THE TOTAL UNMERGED CORPORATION FUNDING SHALL EQUAL THE CURRENT
NUMBER OF UNMERGED CORPORATION CONTRACTS MULTIPLIED  BY  THE  PER  GROUP
AWARD.
  (II) THE UNMERGED CORPORATION FUNDING SHALL EQUAL THE PER GROUP AWARD.
  (III) THE MERGED CORPORATION FUNDING SHALL EQUAL THE FUNDING MODIFICA-
TION MULTIPLIED BY THE PER GROUP AWARD.
  (B)  MERGED  CORPORATION  FUNDING SHALL BE DETERMINED ON AN INDIVIDUAL
BASIS FOR EACH COMMUNITY PRESERVATION CORPORATION. THE FOLLOWING  TABLES
SHOW THE FUNDING MODIFICATION TO BE USED:
  (I) IN THE CASE OF TWO CORPORATIONS MERGING, THE FOLLOWING TABLE SHALL
BE USED:
     YEARS SINCE      FUNDING
        MERGER      MODIFICATION
          1             200%
          2             190%
          3             180%
          4             170%
          5             160%
          6             150%
  (II)  IN  THE  CASE OF THREE CORPORATIONS MERGING, THE FOLLOWING TABLE
SHALL BE USED:
     YEARS SINCE      FUNDING
        MERGER      MODIFICATION
           1            300%
           2            290%
           3            280%
           4            270%
           5            260%
           6            250%
           7            240%
           8            230%
           9            220%
          10            210%
          11            200%
  (III) IN THE CASE OF FOUR OR MORE CORPORATIONS MERGING, THE  FOLLOWING
TABLE SHALL BE USED:
     YEARS SINCE      FUNDING
        MERGER      MODIFICATION
           1            400%
           2            390%
           3            380%
           4            370%
           5            360%
           6            350%
           7            340%
           8            330%
           9            320%
          10            310%
          11            300%
          12            290%

S. 2607--A                         65                         A. 3007--A

          13            280%
          14            270%
          15            260%
          16            250%
  (C) IF A COMMUNITY PRESERVATION CORPORATION THAT HAS UNDERGONE A MERG-
ER CONTINUES TO RENEW THEIR CONTRACT BEYOND THE TIMEFRAMES LISTED IN THE
ABOVE  TABLES, IT SHALL HAVE ITS FUNDING DETERMINED USING THE LAST FUND-
ING MODIFICATION LISTED.
  (D) THE MERGED CORPORATION SAVINGS SHALL BE DETERMINED ON AN  INDIVID-
UAL  BASIS  FOR  EACH  MERGED  CORPORATION.  IT  SHALL  BE CALCULATED BY
SUBTRACTING THE AMOUNT OF SUCH CORPORATION'S MERGED CORPORATION  FUNDING
FROM  THE AMOUNT THE MERGED CORPORATIONS WOULD HAVE RECEIVED IF THEY HAD
MAINTAINED SEPARATE CONTRACTS.
  (E) THE PER GROUP AWARD SHALL BE  DETERMINED  BY  DIVIDING  THE  TOTAL
FUNDING  AVAILABLE, MINUS THE AMOUNTS OF ANY CONTRACTS FOR THE PROVISION
OF TECHNICAL ASSISTANCE, BY THE NUMBER OF COMMUNITY PRESERVATION  CORPO-
RATIONS DETERMINED TO BE QUALIFIED FOR FUNDING BY THE HOUSING TRUST FUND
CORPORATION  AS  OF  THE  EFFECTIVE  DATE OF THIS ARTICLE AND SUBSEQUENT
THERETO, WHICH WERE IN  EXISTENCE  AS  OF  AUGUST  FIRST,  TWO  THOUSAND
TWELVE,  OR WHICH CAME INTO EXISTENCE THEREAFTER, MINUS ANY CORPORATIONS
WHICH HAVE CEASED TO EXIST AND WERE NOT REPLACED OR MERGED.
  11. THE HOUSING TRUST FUND CORPORATION SHALL CREATE A FUND TO HOLD AND
SHALL TRANSFER ALL FUNDS DETERMINED TO  BE  MERGED  CORPORATION  SAVINGS
PURSUANT  TO  PARAGRAPH (D) OF SUBDIVISION TEN OF THIS SECTION INTO SUCH
FUND. THE HOUSING TRUST FUND CORPORATION SHALL USE SUCH FUNDS, AS AVAIL-
ABLE, FOR ENTERING INTO NEW CONTRACTS OR REALLOCATING FUNDS TO  EXISTING
CORPORATIONS,  PURSUANT  TO  THIS  SECTION,  WITH COMMUNITY PRESERVATION
CORPORATIONS LOCATED IN AREAS OF THE STATE THAT ARE  CURRENTLY  UNSERVED
BY A COMMUNITY PRESERVATION CORPORATION.
  S  1233.  TECHNICAL  SERVICES AND ASSISTANCE TO COMMUNITY PRESERVATION
CORPORATIONS. THE HOUSING TRUST FUND CORPORATION IS HEREBY AUTHORIZED TO
RENDER TO COMMUNITY PRESERVATION CORPORATIONS  SUCH  TECHNICAL  SERVICES
AND  ASSISTANCE AS IT MAY POSSESS OR AS MAY BE AVAILABLE TO IT TO ENABLE
SUCH CORPORATIONS TO COMPLY WITH THE INTENT AND PROVISIONS OF THIS ARTI-
CLE. THE HOUSING TRUST FUND CORPORATION IS FURTHER  AUTHORIZED  TO  TAKE
ALL  STEPS NECESSARY TO ENCOURAGE THE FORMATION, ORGANIZATION AND GROWTH
OF NEW COMMUNITY  PRESERVATION  CORPORATIONS.  THE  HOUSING  TRUST  FUND
CORPORATION  MAY  ALSO CONTRACT WITH MUNICIPAL AND OTHER PUBLIC AGENCIES
AND WITH PRIVATE PERSONS, FIRMS AND CORPORATIONS FOR  THE  PROVISION  OF
SUCH  TECHNICAL  SERVICES  AND ASSISTANCE WHICH MAY INCLUDE: PREPARATION
AND SUBMISSION OF PROPOSALS FOR ENTERING INTO CONTRACTS WITH THE HOUSING
TRUST FUND CORPORATION; PREPARATION AND SUBMISSION OF  REPORTS  REQUIRED
UNDER  SUCH  CONTRACTS  OR  REGULATIONS ISSUED BY THE HOUSING TRUST FUND
CORPORATION; INTERNAL ORGANIZATION AND MANAGEMENT OF THE COMMUNITY PRES-
ERVATION CORPORATIONS; RECRUITMENT AND  TRAINING  OF  PERSONNEL  OF  THE
COMMUNITY  PRESERVATION CORPORATIONS; PREPARATION OF PLANS AND PROJECTS,
NEGOTIATION OF AGREEMENTS AND COMPLIANCE WITH REQUIREMENTS  OF  PROGRAMS
IN  WHICH  COMMUNITY PRESERVATION CORPORATIONS MAY BECOME ENGAGED IN THE
COURSE OF THEIR COMMUNITY PRESERVATION ACTIVITIES; AND  OTHER  TECHNICAL
ADVICE  OR ASSISTANCE RELATING TO THE PERFORMANCE OR RENDITION OF COMMU-
NITY PRESERVATION ACTIVITIES.
  S 1234. RULES AND REGULATIONS. THE HOUSING TRUST FUND CORPORATION  MAY
ISSUE RULES AND REGULATIONS OR OPERATIONAL BULLETINS FOR THE APPLICATION
AND AWARDING OF FUNDS UNDER THIS ARTICLE.
  S 1235. ANNUAL REPORT. THE HOUSING TRUST FUND CORPORATION SHALL, ON OR
BEFORE  SEPTEMBER THIRTIETH IN EACH YEAR SUBMIT A REPORT TO THE LEGISLA-

S. 2607--A                         66                         A. 3007--A

TURE ON THE IMPLEMENTATION OF THIS ARTICLE. SUCH REPORT  SHALL  INCLUDE,
BUT  NOT  BE  LIMITED  TO, FOR EACH CORPORATION RECEIVING PAYMENTS UNDER
THIS ARTICLE: A DESCRIPTION OF SUCH CORPORATION'S  CONTRACT  AMOUNT  AND
CUMULATIVE   TOTAL;   THE  SPECIFIC  COMMUNITY  PRESERVATION  ACTIVITIES
PERFORMED BY SUCH CORPORATION; THE  FINDINGS  REQUIRED  BY  THE  HOUSING
TRUST FUND CORPORATION UNDER SUBDIVISION THREE OF SECTION TWELVE HUNDRED
THIRTY-TWO OF THIS ARTICLE; THE AMOUNTS OF MONIES RECEIVED BY THE CORPO-
RATION  FROM  SOURCES OTHER THAN PAYMENTS MADE PURSUANT TO THIS ARTICLE;
THE VALUE OF SERVICES RENDERED FOR THE BENEFIT OF  THE  CORPORATION  FOR
WHICH  PAYMENT IS NOT REQUIRED TO BE MADE; AND SUCH OTHER INFORMATION AS
THE HOUSING TRUST FUND CORPORATION DEEMS APPROPRIATE.
  S 1236. RELATIONSHIP TO OTHER LAWS. NOTHING IN THIS ARTICLE  SHALL  BE
DEEMED  TO DENY OR LIMIT THE RIGHT OF ANY CORPORATION TO SEEK OR RECEIVE
ASSISTANCE UNDER, OR OTHERWISE PARTICIPATE IN, ANY OTHER PROGRAM  PURSU-
ANT TO THIS CHAPTER, OR ANY OTHER GOVERNMENTAL PROGRAM RELATING TO HOUS-
ING  OR  COMMUNITY RENEWAL.   NOTHING IN THIS ARTICLE SHALL BE DEEMED TO
DENY OR LIMIT THE RIGHT OF ANY CORPORATION TO CARRY OUT ANY  PROGRAM  OR
SERVICE THROUGH A SUBSIDIARY CORPORATION OR OTHER INSTRUMENTALITY.
  S  3. Subdivision 5 of section 921 of the private housing finance law,
as added by chapter 166 of the laws of  1991,  is  amended  to  read  as
follows:
  5.  "Neighborhood"  shall mean an area within the municipality identi-
fied by recognized or established boundaries consistent with a  determi-
nation  of neighborhood eligibility under article [sixteen] TWENTY-SEVEN
of this chapter.
  S 4. The opening paragraph of section  1021  of  the  private  housing
finance  law, as added by chapter 911 of the laws of 1982, is amended to
read as follows:
  As used in this article, any term defined in article [seventeen] TWEN-
TY-SEVEN of this chapter shall have the same meaning herein as set forth
therein and the following terms shall have the following meanings:
  S 5. Section 1051 of the private housing  finance  law,  as  added  by
chapter 725 of the laws of 1983, is amended to read as follows:
  S  1051. Legislative findings and statement of policy. The legislature
hereby finds and declares that there exists  in  many  portions  of  the
rural  areas  of  the  state  substantial  needs  for revitalization and
improvement of housing and of local commercial and  service  facilities,
and  for related community renewal activities. The findings set forth in
article [seventeen] TWENTY-SEVEN of this chapter, with  respect  to  the
special  needs  and problems of such areas and the significant potential
role of locally based not-for-profit organizations in  helping  to  meet
such  needs,  are  hereby  reaffirmed. The legislature hereby determines
that, in addition to the program of  state  support  to  help  meet  the
administrative  expenses of such organizations under article [seventeen]
TWENTY-SEVEN, a further public  need  exists  for  state  funding  of  a
portion  of the costs of specific revitalization projects carried out by
such groups and similar local organizations. It is the purpose  of  this
article to encourage community preservation and improvement in the rural
area of the state by establishing a program of such funding.
  S  6.  Section  1052  of  the private housing finance law, as added by
chapter 725 of the laws of 1983 and paragraph 3 of  subdivision  (b)  as
added by chapter 166 of the laws of 1991, is amended to read as follows:
  S 1052. Definitions. As used in this article:
  (a)  all  terms  defined  in  article [seventeen] TWENTY-SEVEN of this
chapter shall have the same meanings herein as specified therein; and
  (b) the following terms shall have the following meanings:

S. 2607--A                         67                         A. 3007--A

  (1) "rural area revitalization  project"  means  a  specific  work  or
series  of  works  for the revitalization and improvement of a region of
the rural area of the state through creation, preservation  or  improve-
ment  of  housing  resources;  creation,  preservation or improvement of
local commercial facilities; restoration or improvement of public facil-
ities  or other aspects of the area environment; related community pres-
ervation or renewal activities; or any combination of the above.
  (2) "qualified applicant" means  a  not-for-profit  corporation  under
contract pursuant to article [seventeen] TWENTY-SEVEN of this chapter or
any  other locally based organization which is either incorporated under
the not-for-profit corporation law (or such law together with any  other
applicable  law) or, if unincorporated, is not organized for the private
profit or benefit of its members.
  (3) "Corporation" means the housing trust fund corporation established
in section forty-five-a of this chapter.
  S 7. Subdivision 3 of section 1053 of the private housing finance law,
as amended by chapter 63 of the laws of 2012,  is  amended  to  read  as
follows:
  3. Each contract pursuant to this section shall provide for payment by
the  corporation  for  the  activities to be carried out pursuant to the
contract. Such payment shall be based on the  projected  costs  of  such
activities  and  the  other sources of funding which may be available to
the applicant (including, if applicable,  funding  pursuant  to  article
[seventeen]  TWENTY-SEVEN  of  this  chapter) from any source. Up to ten
percent of the program or project cost may be  used  for  the  qualified
applicant's  operating  expenses including expenses related to organiza-
tion operating support and administration of  the  contract.  The  total
state  payment pursuant to any one contract shall not exceed two hundred
thousand dollars.
  S 8. This act shall take effect July 1, 2013.

                                 PART L

  Section 1. Subdivision 8 of section 2404 of the public authorities law
is REPEALED and a new subdivision 8 is added to read as follows:
  (8) TO INVEST ANY FUNDS OR OTHER MONEYS UNDER ITS CUSTODY AND  CONTROL
IN INVESTMENT SECURITIES OR UNDER ANY ANCILLARY BOND FACILITY;
  S  2.  Section 2402 of the public authorities law is amended by adding
two new subdivisions 18 and 19 to read as follows:
  (18) "INVESTMENT SECURITIES". SUBJECT TO, OR AS OTHERWISE PROVIDED IN,
THE PROVISIONS OF ANY CONTRACT  WITH  BONDHOLDERS  OF  THE  AGENCY:  (I)
GENERAL  OBLIGATIONS  OF, OR OBLIGATIONS GUARANTEED BY, ANY STATE OF THE
UNITED STATES OF AMERICA OR POLITICAL SUBDIVISION THEREOF, THE  DISTRICT
OF  COLUMBIA,  OR ANY AGENCY OR INSTRUMENTALITY THEREOF RECEIVING ONE OF
THE THREE HIGHEST LONG-TERM UNSECURED DEBT RATING  CATEGORIES  AVAILABLE
FOR  SUCH  SECURITIES OF AT LEAST ONE INDEPENDENT RATING AGENCY; OR (II)
CERTIFICATES OF DEPOSIT, SAVINGS ACCOUNTS, TIME DEPOSITS OR OTHER  OBLI-
GATIONS  OR  ACCOUNTS OF BANKS OR TRUST COMPANIES IN THE STATE, SECURED,
IF THE AGENCY SHALL SO REQUIRE, IN SUCH MANNER  AS  THE  AGENCY  MAY  SO
DETERMINE;  OR  (III)  OTHERWISE, IN THE DISCRETION OF THE AGENCY, OBLI-
GATIONS IN WHICH THE COMPTROLLER IS AUTHORIZED TO  INVEST,  PURSUANT  TO
EITHER SECTION NINETY-EIGHT OR NINETY-EIGHT-A OF THE STATE FINANCE LAW.
  (19)  "ANCILLARY BOND FACILITY". ANY INTEREST RATE EXCHANGE OR SIMILAR
AGREEMENT OR ANY BOND INSURANCE POLICY, LETTER OF CREDIT OR OTHER CREDIT
ENHANCEMENT FACILITY, LIQUIDITY FACILITY, GUARANTEED INVESTMENT OR REIN-
VESTMENT AGREEMENT, OR OTHER SIMILAR AGREEMENT, ARRANGEMENT OR CONTRACT.

S. 2607--A                         68                         A. 3007--A

  S 3. Subdivision 9 of section 2427 of the public authorities  law,  as
added by chapter 788 of the laws of 1978, is amended to read as follows:
  9.  To invest any funds held in reserves or sinking funds or any funds
not required for immediate use or disbursement, at the discretion of the
agency, in obligations of the state [of] OR federal government or of any
city of the state, the principal and interest of which are guaranteed by
the state or  federal  government,  OBLIGATIONS  OF  PUBLIC  AUTHORITIES
CREATED UNDER NEW YORK STATE LAW, obligations of agencies of the federal
government,  GOVERNMENT  NATIONAL MORTGAGE ASSOCIATION, FEDERAL NATIONAL
MORTGAGE ASSOCIATION, AND THE FEDERAL  HOME  LOAN  MORTGAGE  CORPORATION
MORTGAGE  BACKED  SECURITIES,  OR IN FHA INSURED LOANS ORIGINATED BY THE
NEW YORK STATE HOUSING FINANCE AGENCY, or special time deposits  in,  or
certificates of deposit issued by, a bank or trust company authorized to
do  business  in the state and secured by a pledge of obligations of the
United States of America or obligations of the state, any  city  of  the
state,  other  municipal corporation, school district or district corpo-
ration of the state or obligations of agencies of  the  federal  govern-
ment,  provided  that  any  such investment from time to time (1) may be
legally purchased by savings banks of the state as investments of  funds
belonging  to  them or in their control and (2) shall be approved by the
comptroller.
  S 4. Subdivision 4 of section 2429-b of the public authorities law, as
amended by chapter 3 of the laws of 2004, is amended to read as follows:
  4. Moneys in such fund may be invested (a)  in  special  time  deposit
accounts  in, or certificates of deposit issued by, a bank, trust compa-
ny, savings bank or savings and loan association located and  authorized
to  do business in this state, provided, however, that such time deposit
account or certificate of deposit shall be payable within such  time  as
the proceeds may be needed to meet expenditures estimated to be incurred
by  the  agency  and  provided further that such time deposit account or
certificate of deposit be secured by a  pledge  of  obligations  of  the
United  States  of  America or obligations of the state, any city of the
state, or other  municipal  corporation,  school  district  or  district
corporation  of  the  state  or  obligations  of agencies of the federal
government; or (b) in obligations of the United States of America or the
state which may from time to time be legally purchased by savings  banks
within the state as an investment of funds belonging to them or in their
control, or in obligations of the Federal National Mortgage Association,
OR  IN  GOVERNMENT NATIONAL MORTGAGE ASSOCIATION, FEDERAL NATIONAL MORT-
GAGE ASSOCIATION, AND THE FEDERAL HOME LOAN MORTGAGE  CORPORATION  MORT-
GAGE  BACKED  SECURITIES,  OR IN FHA INSURED LOANS ORIGINATED BY THE NEW
YORK STATE HOUSING FINANCE AGENCY OR IN OBLIGATIONS OF  PUBLIC  AUTHORI-
TIES CREATED UNDER STATE LAW, provided such obligations shall be payable
or  redeemable  at  the  option  of  the  owner within such times as the
proceeds may be needed to meet expenditures estimated to be incurred  by
the agency.
  S 5. Subdivision 8 of section 44 of the private housing finance law is
REPEALED and a new subdivision 8 is added to read as follows:
  8.  TO  INVEST ANY FUNDS OR OTHER MONEYS UNDER ITS CUSTODY AND CONTROL
IN INVESTMENT SECURITIES OR UNDER ANY ANCILLARY BOND FACILITY.
  S 6. Section 42 of the private  housing  finance  law  is  amended  by
adding two new subdivisions 26 and 27 to read as follows:
  26.  "INVESTMENT  SECURITIES"  SHALL MEAN, SUBJECT TO OR, AS OTHERWISE
PROVIDED IN, THE PROVISIONS OF ANY  CONTRACT  WITH  BONDHOLDERS  OF  THE
AGENCY:  (I)  GENERAL  OBLIGATIONS OF, OR OBLIGATIONS GUARANTEED BY, ANY
STATE OF THE UNITED STATES OF AMERICA OR POLITICAL SUBDIVISION  THEREOF,

S. 2607--A                         69                         A. 3007--A

THE  DISTRICT  OF  COLUMBIA,  OR  ANY  AGENCY OR INSTRUMENTALITY THEREOF
RECEIVING ONE OF THE THREE HIGHEST LONG-TERM UNSECURED DEBT RATING CATE-
GORIES AVAILABLE FOR SUCH SECURITIES OF AT LEAST ONE INDEPENDENT  RATING
AGENCY; OR (II) CERTIFICATES OF DEPOSIT, SAVINGS ACCOUNTS, TIME DEPOSITS
OR  OTHER  OBLIGATIONS  OR  ACCOUNTS  OF BANKS OR TRUST COMPANIES IN THE
STATE, SECURED, IF THE AGENCY SHALL SO REQUIRE, IN SUCH  MANNER  AS  THE
AGENCY  MAY  SO  DETERMINE; OR (III) OTHERWISE, IN THE DISCRETION OF THE
AGENCY, OBLIGATIONS IN WHICH THE COMPTROLLER IS  AUTHORIZED  TO  INVEST,
PURSUANT  TO  EITHER SECTION NINETY-EIGHT OR NINETY-EIGHT-A OF THE STATE
FINANCE LAW.
  27. "ANCILLARY BOND FACILITY" SHALL MEAN ANY INTEREST RATE EXCHANGE OR
SIMILAR AGREEMENT OR ANY BOND INSURANCE  POLICY,  LETTER  OF  CREDIT  OR
OTHER   CREDIT  ENHANCEMENT  FACILITY,  LIQUIDITY  FACILITY,  GUARANTEED
INVESTMENT  OR  REINVESTMENT  AGREEMENT,  OR  OTHER  SIMILAR  AGREEMENT,
ARRANGEMENT OR CONTRACT.
  S 7. This act shall take effect immediately.

                                 PART M

  Section  1.  Notwithstanding  any other provision of law, and provided
that the reserves in the project pool insurance account of the  mortgage
insurance fund created pursuant to section 2429-b of the public authori-
ties  law  are  sufficient  to attain and maintain the credit rating (as
determined by the agency) required to accomplish the  purposes  of  such
account, the board of directors of the state of New York mortgage agency
shall  authorize the transfer from the project pool insurance account of
the mortgage insurance fund to the state treasury  for  deposit  in  the
general  fund  a  total sum not to exceed one hundred million dollars as
soon as practicable but no later than March 31, 2014.
  S 2. Notwithstanding any other provision of  law,  the  housing  trust
fund  corporation  (the  corporation)  may  provide, for purposes of the
community preservation program, a sum not to exceed twelve million eigh-
teen thousand dollars  for  the  fiscal  year  ending  March  31,  2014.
Notwithstanding  any  other  provision  of  law,  and  provided that the
reserves in the project pool insurance account of the mortgage insurance
fund created pursuant to section 2429-b of the  public  authorities  law
are  sufficient  to attain and maintain the credit rating (as determined
by the agency) required to accomplish the purposes of such account,  the
board  of  directors  of  the  state  of  New York mortgage agency shall
authorize the transfer from the project pool insurance  account  of  the
mortgage  insurance  fund  to  the  housing  trust fund corporation (the
corporation), for the purposes of reimbursing any costs associated  with
community  preservation  program contracts authorized by this section, a
total sum not to exceed twelve million eighteen thousand dollars as soon
as practicable but no later than June 30, 2013.
  S 3. Notwithstanding any other provision of  law,  the  housing  trust
fund  corporation  (the  corporation)  may  provide, for purposes of the
rural rental assistance program, a sum not to exceed twenty million four
hundred thousand dollars for the fiscal  year  ending  March  31,  2014.
Notwithstanding  any  other  provision  of  law,  and  provided that the
reserves in the project pool insurance account of the mortgage insurance
fund created pursuant to section 2429-b of the  public  authorities  law
are  sufficient  to attain and maintain the credit rating (as determined
by the agency) required to accomplish the purposes of such account,  the
board  of  directors  of  the  state  of  New York mortgage agency shall
authorize the transfer from the project pool insurance  account  of  the

S. 2607--A                         70                         A. 3007--A

mortgage  insurance  fund  to  the  housing  trust fund corporation (the
corporation), for the purposes of reimbursing any costs associated  with
rural  rental assistance program contracts authorized by this section, a
total  sum not to exceed twenty million four hundred thousand dollars as
soon as practicable but no later than June 30, 2013.
  S 4. Notwithstanding any other provision of law, the  housing  finance
agency  may  provide,  for  costs  associated with the rehabilitation of
Mitchell Lama housing projects, a sum not to  exceed  seventeen  million
five  hundred  eighty-two  thousand  dollars  for the fiscal year ending
March 31, 2014. Notwithstanding any other provision of law, and provided
that the reserves in the project pool insurance account of the  mortgage
insurance fund created pursuant to section 2429-b of the public authori-
ties  law  are  sufficient  to attain and maintain the credit rating (as
determined by the agency) required to accomplish the  purposes  of  such
account, the board of directors of the state of New York mortgage agency
shall  authorize the transfer from the project pool insurance account of
the mortgage insurance fund to  the  housing  finance  agency,  for  the
purposes  of reimbursing any costs associated with Mitchell Lama housing
projects authorized by this section, a total sum not to exceed seventeen
million five hundred eighty-two thousand dollars as soon as  practicable
but no later than March 30, 2014.
  S 5. This act shall take effect immediately.

                                 PART N

  Section  1.  Section  21  of  the labor law is amended by adding a new
subdivision 14 to read as follows:
  14. SHALL DO ALL THINGS NECESSARY FOR THE OPERATION OF  THE  NEW  YORK
STATE  DATA CENTER ESTABLISHED IN THE DEPARTMENT IN COOPERATION WITH THE
UNITED STATES BUREAU OF THE CENSUS; TO COOPERATE WITH OTHER STATE  AGEN-
CIES,  UNIVERSITIES,  REGIONAL  ORGANIZATIONS,  BOARDS, COMMISSIONS, AND
OTHER ENTITIES IN THE DISSEMINATION OF  SOCIO-ECONOMIC  INFORMATION  AND
DATA THROUGH THE NEW YORK STATE DATA CENTER PROGRAM; IN RELATION TO SUCH
INFORMATION  AND  DATA,  TO  PROVIDE TECHNICAL ASSISTANCE TO OTHER STATE
AGENCIES, UNIVERSITIES, REGIONAL ORGANIZATIONS, BOARDS, COMMISSIONS  AND
OTHER ENTITIES; AND TO PREPARE ESTIMATES AND THE OFFICIAL PROJECTIONS OF
POPULATION, HOUSEHOLDS AND OTHER CHARACTERISTICS OF THE STATE FOR USE BY
ALL STATE AGENCIES.
  S  2. Subdivision 17 of section 100 of the economic development law is
REPEALED.
  S 3. This act shall take effect immediately.

                                 PART O

  Section 1. Paragraph (a) of subdivision 1 of section 518 of the  labor
law,  as  amended by chapter 589 of the laws of 1998, is amended to read
as follows:
  (a) "Wages" means all remuneration paid, except that  such  term  does
not  include remuneration paid to an employee by an employer after eight
thousand five hundred dollars have been paid to such  employee  by  such
employer  with  respect  to  employment during any calendar year, EXCEPT
THAT SUCH TERM DOES NOT INCLUDE REMUNERATION PAID TO AN EMPLOYEE  BY  AN
EMPLOYER  WITH  RESPECT TO EMPLOYMENT DURING ANY CALENDAR YEAR BEGINNING
WITH THE FIRST DAY OF
                                        THAT EXCEEDS
             JANUARY 2014                  $10,300

S. 2607--A                         71                         A. 3007--A

             JANUARY 2015                  $10,500
             JANUARY 2016                  $10,700
             JANUARY 2017                  $10,900
             JANUARY 2018                  $11,100
             JANUARY 2019                  $11,400
             JANUARY 2020                  $11,600
             JANUARY 2021                  $11,800
             JANUARY 2022                  $12,000
             JANUARY 2023                  $12,300
             JANUARY 2024                  $12,500
             JANUARY 2025                  $12,800
             JANUARY 2026                  $13,000
AND  EACH  YEAR  THEREAFTER  ON  THE  FIRST  DAY OF JANUARY THAT EXCEEDS
SIXTEEN PERCENT OF THE STATE'S AVERAGE ANNUAL WAGE AS DETERMINED BY  THE
COMMISSIONER  ON  AN ANNUAL BASIS PURSUANT TO SECTION FIVE HUNDRED TWEN-
TY-NINE OF THIS ARTICLE; PROVIDED, HOWEVER,  THAT  IN  CALCULATING  SUCH
MAXIMUM AMOUNT OF REMUNERATION, THE AMOUNT ARRIVED AT BY MULTIPLYING THE
STATE'S AVERAGE ANNUAL WAGE TIMES SIXTEEN PERCENT SHALL BE ROUNDED UP TO
THE  NEAREST HUNDRED DOLLARS. IN NO EVENT SHALL THE STATE'S ANNUAL AVER-
AGE WAGE BE REDUCED FROM THE AMOUNT DETERMINED IN THE PREVIOUS YEAR. The
term "employment" includes for the purposes of this subdivision services
constituting employment  under  any  unemployment  compensation  law  of
another state or the United States.
  S  2.  Subdivision 1 and paragraph (a) of subdivision 2 of section 527
of the labor law, subdivision 1 as amended by chapter 413 of the laws of
2003 and paragraph (a) of subdivision 2 as amended by chapter 5  of  the
laws of 2000, are amended to read as follows:
  1.  Basic  condition.  "Valid  original  claim"  is a claim filed by a
claimant who meets the following qualifications: (a) is  able  to  work,
and  available  for  work; (b) is not subject to any disqualification or
suspension under this article; (c) his  OR  HER  previously  established
benefit  year,  if  any,  has expired; (d) has been paid remuneration by
employers liable for contributions or for payments in lieu  of  contrib-
utions  under  this article, other than employers from whom the claimant
lost employment  under  conditions  which  would  be  disqualifying  FOR
MISCONDUCT  pursuant  to  [subdivision]  SUBDIVISIONS  three  AND SIX of
section five hundred ninety-three of this article, for employment during
at least two calendar quarters of the base period, with remuneration  of
one and one-half times the high calendar quarter [earnings] REMUNERATION
within  the  base  period and with at least [one] TWO thousand [six] ONE
hundred dollars of such remuneration being paid during the high calendar
quarter of such base period. For purposes of this  section,  the  [earn-
ings]  REMUNERATION in the high calendar quarter of the base period used
in determining a valid original claim shall not exceed an  amount  equal
to twenty-two times the maximum benefit rate as set forth in subdivision
five of section five hundred ninety of this article for all individuals.
  (a)  An  individual  who  is  unable to file a valid original claim in
accordance with subdivision one of this section, files a valid  original
claim  by  meeting  the qualifications enumerated in paragraphs (a), (b)
and (c) of subdivision one of this  section  and  by  having  been  paid
remuneration  by  employers  liable for contributions or for payments in
lieu of contributions under this article, other than employers from whom
the claimant lost employment  under  conditions  which  [are]  WOULD  BE
disqualifying  FOR  MISCONDUCT  pursuant  to  [subdivision] SUBDIVISIONS
three AND SIX of section five hundred ninety-three of this article,  for
employment  during  at  least  two calendar quarters of the base period,

S. 2607--A                         72                         A. 3007--A

with remuneration of one and one-half times the  high  calendar  quarter
[earnings]  REMUNERATION  within the base period and with at least [one]
TWO thousand [six] ONE hundred dollars of such remuneration  being  paid
during  the  high  calendar quarter of such base period. For purposes of
this section, the [earnings] REMUNERATION in the high  calendar  quarter
of  the base period used in determining a valid original claim shall not
exceed an amount equal to twenty-two times the maximum benefit  rate  as
set  forth  in  subdivision  five of section five hundred ninety of this
article for all individuals.
  S 3. The labor law is amended by adding a new section 529 to  read  as
follows:
  S 529. AVERAGE ANNUAL WAGE; AVERAGE WEEKLY WAGE. 1. THE "AVERAGE ANNU-
AL  WAGE"  SHALL BE THE AVERAGE ANNUAL WAGE OF THE STATE OF NEW YORK FOR
THE PREVIOUS CALENDAR YEAR AS DETERMINED BY THE  COMMISSIONER  NO  LATER
THAN THE THIRTY-FIRST DAY OF MAY OF EACH YEAR.
  2.  THE  "AVERAGE WEEKLY WAGE" SHALL BE THE AVERAGE WEEKLY WAGE OF THE
STATE OF NEW YORK FOR THE PREVIOUS CALENDAR YEAR AS  DETERMINED  BY  THE
COMMISSIONER NO LATER THAN THE THIRTY-FIRST DAY OF MAY OF EACH YEAR.
  S  4. Subdivisions 1 and 3 of section 576 of the labor law, as amended
by chapter 49 of the laws of 1966, are amended to read as follows:
  1. Determinations of liability for contributions.  No determination of
liability for contributions pursuant to section five  hundred  sixty  of
this  article  shall be made more than three years after the last day of
the calendar year in which the wages on which such  liability  is  based
were paid, EXCEPT AS PROVIDED IN SUBDIVISION THREE OF THIS SECTION.
  3.  Determinations  of LIABILITY FOR AND amount of contributions after
contest. If an  employer  contests  a  determination  of  liability  for
contributions,  a  determination  of the amount of contributions due FOR
THE CONTESTED PERIOD AND SUBSEQUENT PERIODS may  be  made  at  any  time
prior to the latter of the following:
  (a)  three  years after the last day of the calendar year in which the
wages on which such contributions are based were paid; or
  (b) two years after the last day of the calendar year  in  which  such
determination  of  liability  for  contributions became final and irrev-
ocable.
  S 5. Paragraph (a) of subdivision 1 of section 577 of the labor law is
amended by adding a new subparagraph 9 to read as follows:
  (9) MONIES PURSUANT TO SECTION FIVE HUNDRED NINETY-FOUR OF THIS TITLE.
  S 6. Subparagraph 3 of paragraph (e) of subdivision 1 of  section  581
of  the  labor  law,  as  amended by chapter 589 of the laws of 1998, is
amended to read as follows:
  (3)  An employer's account shall not be charged, and the charges shall
instead be made to the general account, for benefits paid to a  claimant
after  the  expiration  of  a  period  of disqualification from benefits
following a final determination that the claimant lost  employment  with
the  employer  through  misconduct or voluntary separation of employment
without good cause within the meaning of section  five  hundred  ninety-
three  of  this article and the charges are attributable to remuneration
paid during  the claimant's base period of employment with such employer
prior to the claimant's loss of employment with  such  employer  through
misconduct  or  voluntary  separation  of employment without good cause,
PROVIDED, HOWEVER, THAT AN EMPLOYER SHALL NOT  BE  RELIEVED  OF  CHARGES
PURSUANT  TO  THIS  SUBPARAGRAPH  IF  AN  EMPLOYER OR ITS AGENT FAILS TO
SUBMIT INFORMATION RESULTING IN AN OVERPAYMENT PURSUANT TO SECTION  FIVE
HUNDRED NINETY-SEVEN OF THIS ARTICLE.

S. 2607--A                         73                         A. 3007--A

  S  7.  Paragraph (a) of subdivision 2 of section 581 of the labor law,
as added by chapter 413 of the laws of  2003,  is  amended  to  read  as
follows:
  (a)  Each  qualified  employer's  rate  of  contribution  shall be the
percentage shown in the column headed by the size of the fund  index  as
of the computation date and on the same line with his or her negative or
positive  employer's account percentage, except that if within the three
payroll years preceding the computation date  any  part  of  a  negative
balance  has been transferred from any employer's account as a charge to
the general account pursuant to  the  provisions  of  paragraph  (e)  of
subdivision  one  of  this  section such employer's rate of contribution
shall be the maximum contribution rate as shown in the column headed  by
the size of fund index;

                           Size of Fund Index
Employer's
Account
Percentage  Less  0%  0.5% 1.0% 1.5% 2.0% 2.5% 3.0% 3.5% 4.0% 4.5% 5.0%
            Than but  but  but  but  but  but  but  but  but  but  or
            0%   less less less less less less less less less less more
                 than than than than than than than than than than
                 0.5% 1.0% 1.5% 2.0% 2.5% 3.0% 3.5% 4.0% 4.5% 5.0%

Negative

21.0%
or more     8.90 8.70 8.50 8.30 8.10 7.30 6.90 6.50 6.20 6.10 6.00 5.90
20.5%
or more
but less
than 21.0%  8.80 8.60 8.40 8.20 8.00 7.20 6.80 6.40 6.10 6.00 5.90 5.80
20.0%
or more
but less
than 20.5%  8.70 8.50 8.30 8.10 7.90 7.10 6.70 6.30 6.00 5.90 5.80 5.70
19.5%
or more
but less
than 20.0%  8.60 8.40 8.20 8.00 7.80 7.00 6.60 6.20 5.90 5.80 5.70 5.60
19.0%
or more
but less
than 19.5%  8.50 8.30 8.10 7.90 7.70 6.90 6.50 6.10 5.80 5.70 5.60 5.50
18.5%
or more
but less
than 19.0%  8.40 8.20 8.00 7.80 7.60 6.80 6.40 6.00 5.70 5.60 5.50 5.40
18.0%
or more
but less
than 18.5%  8.30 8.10 7.90 7.70 7.50 6.70 6.30 5.90 5.60 5.50 5.40 5.30
17.5%
or more
but less
than 18.0%  8.20 8.00 7.80 7.60 7.40 6.60 6.20 5.80 5.50 5.40 5.30 5.20

S. 2607--A                         74                         A. 3007--A

17.0%
or more
but less
than 17.5%  8.10 7.90 7.70 7.50 7.30 6.50 6.10 5.70 5.40 5.30 5.20 5.10
16.5%
or more
but less
than 17.0%  8.00 7.80 7.60 7.40 7.20 6.40 6.00 5.60 5.30 5.20 5.10 5.00
16.0%
or more
but less
than 16.5%  7.90 7.70 7.50 7.30 7.10 6.30 5.90 5.50 5.20 5.10 5.00 4.90
15.5%
or more
but less
than 16.0%  7.80 7.60 7.40 7.20 7.00 6.20 5.80 5.40 5.10 5.00 4.90 4.80
15.0%
or more
but less
than 15.5%  7.70 7.50 7.30 7.10 6.90 6.10 5.70 5.30 5.00 4.90 4.80 4.70
14.5%
or more
but less
than 15.0%  7.60 7.40 7.20 7.00 6.80 6.00 5.60 5.20 4.90 4.80 4.70 4.60
14.0%
or more
but less
than 14.5%  7.50 7.30 7.10 6.90 6.70 5.90 5.50 5.10 4.80 4.70 4.60 4.50
13.5%
or more
but less
than 14.0%  7.40 7.20 7.00 6.80 6.60 5.80 5.40 5.00 4.70 4.60 4.50 4.40
13.0%
or more
but less
than 13.5%  7.30 7.10 6.90 6.70 6.50 5.70 5.30 4.90 4.60 4.50 4.40 4.30
12.5%
or more
but less
than 13.0%  7.20 7.00 6.80 6.60 6.40 5.60 5.20 4.80 4.50 4.40 4.30 4.20
12.0%
or more
but less
than 12.5%  7.10 6.90 6.70 6.50 6.30 5.50 5.10 4.70 4.40 4.30 4.20 4.10
11.5%
or more
but less
than 12.0%  7.00 6.80 6.60 6.40 6.20 5.40 5.00 4.60 4.30 4.20 4.10 4.00
11.0%
or more
but less
than 11.5%  6.90 6.70 6.50 6.30 6.10 5.30 4.90 4.50 4.20 4.10 4.00 3.90
10.5%
or more
but less
than 11.0%  6.80 6.60 6.40 6.20 6.00 5.20 4.80 4.40 4.10 4.00 3.90 3.80

S. 2607--A                         75                         A. 3007--A

10.0%
or more
but less
than 10.5%  6.70 6.50 6.30 6.10 5.90 5.10 4.70 4.30 4.00 3.90 3.80 3.70
9.5%
or more
but less
than 10.0%  6.60 6.40 6.20 6.00 5.80 5.00 4.60 4.20 3.90 3.80 3.70 3.60
9.0%
or more
but less
than 9.5%   6.50 6.30 6.10 5.90 5.70 4.90 4.50 4.10 3.80 3.70 3.60 3.50
8.5%
or more
but less
than 9.0%   6.40 6.20 6.00 5.80 5.60 4.80 4.40 4.00 3.70 3.60 3.50 3.40
8.0%
or more
but less
than 8.5%   6.30 6.10 5.90 5.70 5.50 4.70 4.30 3.90 3.60 3.50 3.40 3.30
7.0%
or more
but less
than 8.0%   6.20 6.00 5.80 5.60 5.40 4.60 4.20 3.80 3.50 3.40 3.30 3.20
6.0%
or more
but less
than 7.0%   6.10 5.90 5.70 5.50 5.30 4.50 4.10 3.70 3.40 3.30 3.20 3.10
5.0%
or more
but less
than 6.0%   6.00 5.80 5.60 5.40 5.20 4.40 4.00 3.60 3.30 3.20 3.10 3.00
4.0%
or more
but less
than 5.0%   5.90 5.70 5.50 5.30 5.10 4.30 3.90 3.50 3.20 3.10 3.00 2.90
3.0%
or more
but less
than 4.0%   5.60 5.40 5.20 5.00 4.80 4.20 3.80 3.40 3.10 3.00 2.90 2.80
2.0%
or more
but less
than 3.0%   5.50 5.30 5.10 4.90 4.70 4.10 3.70 3.30 3.00 2.90 2.80 2.70
1.0%
or more
but less
than 2.0%   5.40 5.20 5.00 4.80 4.60 4.00 3.60 3.20 2.90 2.80 2.70 2.60
Less
than 1.0%   5.20 5.00 4.80 4.60 4.40 3.80 3.40 3.00 2.70 2.60 2.50 2.40

Positive

Less
than 1.0%   4.10 3.90 3.70 3.50 3.30 2.90 2.50 2.10 1.90 1.80 1.70 1.60
1.0%

S. 2607--A                         76                         A. 3007--A

or more
but less
than 2.0%   4.00 3.80 3.60 3.40 3.20 2.80 2.40 2.00 1.80 1.70 1.60 1.50
2.0%
or more
but less
than 3.0%   3.90 3.70 3.50 3.30 3.10 2.70 2.30 1.90 1.70 1.60 1.50 1.40
3.0%
or more
but less
than 4.0%   3.80 3.60 3.40 3.20 3.00 2.60 2.20 1.80 1.60 1.50 1.40 1.30
4.0%
or more
but less
than 5.0%   3.70 3.50 3.30 3.10 2.90 2.50 2.10 1.70 1.50 1.40 1.30 1.20
5.0%
or more
but less
than 5.5%   3.60 3.40 3.20 3.00 2.80 2.40 2.00 1.60 1.40 1.30 1.20 1.10
5.5%
or more but
less than
5.75%       3.50 3.30 3.10 2.90 2.70 2.30 1.90 1.50 1.30 1.20 1.10 1.00
5.75%
or more
but less
than 6.0%   3.40 3.20 3.00 2.80 2.60 2.20 1.80 1.40 1.20 1.10 1.00 0.90
6.0%
or more but
less than
6.25%       3.30 3.10 2.90 2.70 2.50 2.10 1.70 1.30 1.10 1.00 0.90 0.80
6.25%
or more
but less
than 6.5%   3.20 3.00 2.80 2.60 2.40 2.00 1.60 1.20 1.00 0.90 0.80 0.70
6.5%
or more but
less than
6.75%       3.10 2.90 2.70 2.50 2.30 1.90 1.50 1.10 0.90 0.80 0.70 0.60
6.75%
or more
but less
than 7.0%   3.00 2.80 2.60 2.40 2.20 1.80 1.40 1.00 0.80 0.70 0.60 0.50
7.0%
or more but
less than
7.25%       2.90 2.70 2.50 2.30 2.10 1.70 1.30 0.90 0.70 0.60 0.50 0.40
7.25%
or more
but less
than 7.5%   2.80 2.60 2.40 2.20 2.00 1.60 1.20 0.80 0.60 0.50 0.40 0.30
7.5%
or more but
less than
7.75%       2.70 2.50 2.30 2.10 1.90 1.50 1.10 0.70 0.50 0.40 0.30 0.20
7.75%

S. 2607--A                         77                         A. 3007--A

or more
but less
than 8.0%   2.60 2.40 2.20 2.00 1.80 1.40 1.00 0.60 0.40 0.30 0.20 0.10
8.0%
or more but
less than
8.25%       2.50 2.30 2.10 1.90 1.70 1.30 0.90 0.50 0.30 0.20 0.10 0.00
8.25%
or more
but less
than 8.5%   2.40 2.20 2.00 1.80 1.60 1.20 0.80 0.40 0.20 0.10 0.00 0.00
8.5%
or more but
less than
8.75%       2.30 2.10 1.90 1.70 1.50 1.10 0.70 0.30 0.10 0.00 0.00 0.00
8.75%
or more
but less
than 9.0%   2.20 2.00 1.80 1.60 1.40 1.00 0.60 0.20 0.00 0.00 0.00 0.00
9.0%
or more but
less than
9.25%       2.10 1.90 1.70 1.50 1.30 0.90 0.50 0.10 0.00 0.00 0.00 0.00
9.25%
or more
but less
than 9.5%   2.00 1.80 1.60 1.40 1.20 0.80 0.40 0.00 0.00 0.00 0.00 0.00
9.5%
or more but
less than
9.75%       1.90 1.70 1.50 1.30 1.10 0.70 0.30 0.00 0.00 0.00 0.00 0.00
9.75%
or more but
less than
10.0%       1.80 1.60 1.40 1.20 1.00 0.60 0.20 0.00 0.00 0.00 0.00 0.00
10.0%
or more but
less than
10.25%      1.70 1.50 1.30 1.10 0.90 0.50 0.10 0.00 0.00 0.00 0.00 0.00
10.25%
or more but
less than
10.5%       1.60 1.40 1.20 1.00 0.80 0.40 0.00 0.00 0.00 0.00 0.00 0.00
10.5%
or more [but
less than
10.75%]     1.50 1.30 1.10 0.90 0.70 0.30 0.00 0.00 0.00 0.00 0.00 0.00
[10.75%
or more but
less than
11.0%       1.40 1.20 1.00 0.80 0.60 0.20 0.00 0.00 0.00 0.00 0.00 0.00
11.0%
or more but
less than
11.25%      1.30 1.10 0.90 0.70 0.50 0.10 0.00 0.00 0.00 0.00 0.00 0.00
11.25%

S. 2607--A                         78                         A. 3007--A

or more but
less than
11.5%       1.20 1.00 0.80 0.60 0.40 0.00 0.00 0.00 0.00 0.00 0.00 0.00
11.5%
or more but
less than
11.75%      1.10 0.90 0.70 0.50 0.30 0.00 0.00 0.00 0.00 0.00 0.00 0.00
11.75%
or more but
less than
12.0%       1.00 0.80 0.60 0.40 0.20 0.00 0.00 0.00 0.00 0.00 0.00 0.00
12.0% or
more        0.90 0.70 0.50 0.30 0.10 0.00 0.00 0.00 0.00 0.00 0.00 0.00]
  S  8.  Subdivision  5  of  section 590 of the labor law, as amended by
chapter 413 of the laws of 2003, is amended to read as follows:
  5. Benefit rate. (A) A claimant's weekly benefit amount shall  be  one
twenty-sixth  of the remuneration paid during the highest calendar quar-
ter of the  base  period  by  employers,  liable  for  contributions  or
payments  in  lieu  of  contributions  under  this article, PROVIDED THE
CLAIMANT HAS REMUNERATION PAID IN ALL FOUR CALENDAR QUARTERS DURING  HIS
OR  HER  BASE  PERIOD OR ALTERNATE BASE PERIOD. However, for [claimants]
ANY CLAIMANT WHO HAS REMUNERATION PAID IN  ALL  FOUR  CALENDAR  QUARTERS
DURING  HIS  OR  HER BASE PERIOD OR ALTERNATE BASE PERIOD AND whose high
calendar quarter remuneration during the base period is  three  thousand
five  hundred  seventy-five dollars or less, the benefit amount shall be
one twenty-fifth of the remuneration paid during  the  highest  calendar
quarter  of  the  base  period  by employers liable for contributions or
payments in lieu of contributions under this article. A CLAIMANT'S WEEK-
LY BENEFIT SHALL BE ONE TWENTY-SIXTH OF THE AVERAGE REMUNERATION PAID IN
THE TWO HIGHEST QUARTERS PAID DURING THE BASE PERIOD OR  ALTERNATE  BASE
PERIOD  BY  EMPLOYERS  LIABLE  FOR  CONTRIBUTIONS OR PAYMENTS IN LIEU OF
CONTRIBUTIONS UNDER THIS ARTICLE WHEN THE CLAIMANT HAS REMUNERATION PAID
IN TWO OR THREE CALENDAR QUARTERS. HOWEVER, FOR  ANY  CLAIMANT  WHO  HAS
REMUNERATION  PAID  IN  TWO OR THREE CALENDAR QUARTERS DURING HIS OR HER
BASE PERIOD OR ALTERNATE BASE PERIOD AND  WHOSE  HIGH  CALENDAR  QUARTER
REMUNERATION  DURING  THE  BASE  PERIOD  IS  THREE THOUSAND FIVE HUNDRED
SEVENTY-FIVE  DOLLARS  OR  LESS,  THE  BENEFIT  AMOUNT  SHALL   BE   ONE
TWENTY-FIFTH  OF THE REMUNERATION PAID DURING THE HIGHEST CALENDAR QUAR-
TER OF THE BASE PERIOD BY EMPLOYERS LIABLE FOR CONTRIBUTIONS OR PAYMENTS
IN LIEU OF CONTRIBUTIONS UNDER THIS ARTICLE.  Any  claimant  whose  high
calendar  quarter remuneration during the base period is more than three
thousand five hundred seventy-five dollars shall not have a weekly bene-
fit amount less than one hundred forty-three dollars. The weekly benefit
amount, so computed, that is not a  multiple  of  one  dollar  shall  be
lowered  to  the  next  multiple  of  one dollar. On the first Monday of
September, nineteen hundred ninety-eight the weekly benefit amount shall
not exceed three hundred sixty-five  dollars  nor  be  less  than  forty
dollars,  until  the  first  Monday of September, two thousand, at which
time the maximum benefit payable  pursuant  to  this  subdivision  shall
equal  one-half  of the state average weekly wage for covered employment
as calculated by the department no sooner than July first, two  thousand
and no later than August first, two thousand, rounded down to the lowest
dollar. ON AND AFTER THE FIRST MONDAY OF OCTOBER, TWO THOUSAND FOURTEEN,
THE WEEKLY BENEFIT SHALL NOT BE LESS THAN ONE HUNDRED DOLLARS, NOR SHALL
IT EXCEED FOUR HUNDRED TWENTY DOLLARS UNTIL THE FIRST MONDAY OF OCTOBER,
TWO  THOUSAND  FIFTEEN  WHEN  THE  MAXIMUM  BENEFIT AMOUNT SHALL BE FOUR

S. 2607--A                         79                         A. 3007--A

HUNDRED TWENTY-FIVE DOLLARS, UNTIL THE  FIRST  MONDAY  OF  OCTOBER,  TWO
THOUSAND  SIXTEEN  WHEN THE MAXIMUM BENEFIT AMOUNT SHALL BE FOUR HUNDRED
THIRTY DOLLARS, UNTIL THE FIRST MONDAY OF OCTOBER, TWO  THOUSAND  SEVEN-
TEEN  WHEN  THE MAXIMUM BENEFIT AMOUNT SHALL BE FOUR HUNDRED THIRTY-FIVE
DOLLARS, UNTIL THE FIRST MONDAY OF OCTOBER, TWO THOUSAND  EIGHTEEN  WHEN
THE  MAXIMUM  BENEFIT  AMOUNT SHALL BE FOUR HUNDRED FIFTY DOLLARS, UNTIL
THE FIRST MONDAY OF OCTOBER, TWO  THOUSAND  NINETEEN  WHEN  THE  MAXIMUM
BENEFIT  AMOUNT  SHALL  BE THIRTY-SIX PERCENT OF THE AVERAGE WEEKLY WAGE
UNTIL THE FIRST MONDAY OF OCTOBER, TWO THOUSAND TWENTY WHEN THE  MAXIMUM
BENEFIT AMOUNT SHALL BE THIRTY-EIGHT PERCENT OF THE AVERAGE WEEKLY WAGE,
UNTIL THE FIRST MONDAY OF OCTOBER TWO THOUSAND TWENTY-ONE WHEN THE MAXI-
MUM  BENEFIT  AMOUNT  SHALL BE FORTY PERCENT OF THE AVERAGE WEEKLY WAGE,
UNTIL THE FIRST MONDAY OF OCTOBER,  TWO  THOUSAND  TWENTY-TWO  WHEN  THE
MAXIMUM  BENEFIT AMOUNT SHALL BE FORTY-TWO PERCENT OF THE AVERAGE WEEKLY
WAGE, UNTIL THE FIRST MONDAY OF OCTOBER, TWO THOUSAND TWENTY-THREE  WHEN
THE  MAXIMUM  BENEFIT  AMOUNT SHALL BE FORTY-FOUR PERCENT OF THE AVERAGE
WEEKLY WAGE, UNTIL THE FIRST MONDAY OF OCTOBER, TWO THOUSAND TWENTY-FOUR
WHEN THE MAXIMUM BENEFIT AMOUNT SHALL BE FORTY-SIX PERCENT OF THE  AVER-
AGE  WEEKLY  WAGE, UNTIL THE FIRST MONDAY OF OCTOBER, TWO THOUSAND TWEN-
TY-FIVE WHEN THE MAXIMUM BENEFIT AMOUNT SHALL BE FORTY-EIGHT PERCENT  OF
THE AVERAGE WEEKLY WAGE, UNTIL THE FIRST MONDAY OF OCTOBER, TWO THOUSAND
TWENTY-SIX  AND EACH YEAR THEREAFTER ON THE FIRST MONDAY OF OCTOBER WHEN
THE MAXIMUM BENEFIT AMOUNT SHALL BE FIFTY PERCENT OF THE AVERAGE  WEEKLY
WAGE  PROVIDED,  HOWEVER,  THAT  IN  NO  EVENT SHALL THE MAXIMUM BENEFIT
AMOUNT BE REDUCED FROM THE PREVIOUS YEAR.
  (B) NOTWITHSTANDING THE FOREGOING, THE MAXIMUM  BENEFIT  AMOUNT  SHALL
NOT  BE INCREASED IN ACCORDANCE WITH THE SCHEDULE SET FORTH IN PARAGRAPH
(A) OF THIS SUBDIVISION IN ANY YEAR IN WHICH THE COMMISSIONER DETERMINES
THAT THE STATE HAS HAD A DECREASE IN PRIVATE SECTOR JOBS IN  EACH  MONTH
OF  THE  FIRST  TWO  CALENDAR  QUARTERS OF THE YEAR IN WHICH THE MAXIMUM
BENEFIT AMOUNT INCREASE IS  SCHEDULED  TO  OCCUR.  IF  THE  COMMISSIONER
DETERMINES  THAT THE STATE HAS NOT HAD A DECREASE IN PRIVATE SECTOR JOBS
IN EACH MONTH IN THE FIRST TWO CALENDAR QUARTERS IN YEARS SUBSEQUENT  TO
SUCH  SUSPENSION  OF AN INCREASE IN THE MAXIMUM BENEFIT AMOUNT, THEN THE
MAXIMUM BENEFIT AMOUNT SHALL INCREASE TO THE AMOUNT FOR THE YEAR  PREVI-
OUSLY  SCHEDULED  TO  BE  ESTABLISHED  PURSUANT TO PARAGRAPH (A) OF THIS
SUBDIVISION HAD THE INCREASE NOT BEEN SUSPENDED AND  INCREASED  ANNUALLY
THEREAFTER IN ACCORDANCE WITH THE SCHEDULE SET FORTH IN PARAGRAPH (A) OF
THIS SUBDIVISION. IN NO CASE SHALL SUCH SUSPENSION RESULT IN A REDUCTION
OF  THE  MAXIMUM  BENEFIT AMOUNT TO LESS THAN THE AMOUNT PROVIDED IN THE
MOST RECENT YEAR.
  S 9. Paragraph (b) of subdivision 5 of section 590 of the  labor  law,
as  added  by section eight of this act, is REPEALED and a new paragraph
(b) is added to read as follows:
  (B) NOTWITHSTANDING THE FOREGOING, THE MAXIMUM  BENEFIT  AMOUNT  SHALL
NOT  BE INCREASED IN ACCORDANCE WITH THE SCHEDULE SET FORTH IN PARAGRAPH
(A) OF THIS SUBDIVISION IN ANY YEAR IN WHICH THE BALANCE OF THE FUND  ON
THE  THIRTY-FIRST  DAY  OF  DECEMBER  OF  THE PRIOR YEAR IS LESS THAN AN
AMOUNT OF THE FUNDS PROJECTED TO BE NEEDED TO PAY FOR  THE  INCREASE  IN
BENEFITS  AS DETERMINED BY THE COMMISSIONER. IF FUND REVENUES ARE DETER-
MINED BY THE COMMISSIONER TO BE SUFFICIENT TO PAY FOR  THE  INCREASE  IN
BENEFITS  IN  YEARS  SUBSEQUENT TO SUCH SUSPENSION OF AN INCREASE IN THE
MAXIMUM BENEFIT AMOUNT, THEN THE MAXIMUM BENEFIT AMOUNT  SHALL  INCREASE
TO THE AMOUNT FOR THE YEAR PREVIOUSLY SCHEDULED TO BE ESTABLISHED PURSU-
ANT  TO  PARAGRAPH  (A)  OF  THIS  SUBDIVISION HAD THE INCREASE NOT BEEN
SUSPENDED AND INCREASED ANNUALLY THEREAFTER IN ACCORDANCE WITH THE SCHE-

S. 2607--A                         80                         A. 3007--A

DULE SET FORTH IN PARAGRAPH (A) OF THIS SUBDIVISION. IN  NO  CASE  SHALL
SUCH  SUSPENSION  RESULT IN A REDUCTION OF THE MAXIMUM BENEFIT AMOUNT TO
LESS THAN THE AMOUNT PROVIDED IN THE MOST RECENT YEAR.
  S  10. Paragraph (b) of subdivision 5 of section 590 of the labor law,
as added by section nine of this act is REPEALED and a new paragraph (b)
is added to read as follows:
  (B) NOTWITHSTANDING THE FOREGOING, THE MAXIMUM  BENEFIT  AMOUNT  SHALL
NOT  BE INCREASED IN ACCORDANCE WITH THE SCHEDULE SET FORTH IN PARAGRAPH
(A) OF THIS SUBDIVISION IN ANY YEAR IN WHICH THE BALANCE OF THE FUND  IS
DETERMINED  BY  THE  COMMISSIONER TO NOT HAVE REACHED OR EXCEEDED THIRTY
PERCENT OF THE AVERAGE HIGH COST MULTIPLE, AS DEFINED IN 20 CFR PART 606
AS THE STANDARD FOR RECEIPT OF INTEREST-FREE FEDERAL LOANS, ON AT  LEAST
ONE DAY BETWEEN APRIL FIRST AND JUNE THIRTIETH OF THE SAME CALENDAR YEAR
AS  THE  INCREASE SHALL TAKE EFFECT. IF, FOLLOWING SUCH SUSPENSION OF AN
INCREASE IN THE MAXIMUM BENEFIT AMOUNT, THE  COMMISSIONER  SHALL  DETER-
MINE,  ON  AT  LEAST ONE DAY BETWEEN APRIL FIRST AND JUNE THIRTIETH THAT
THE BALANCE OF THE FUND IS GREATER THAN SUCH THIRTY PERCENT AVERAGE HIGH
COST MULTIPLE, THEN THE MAXIMUM BENEFIT AMOUNT  SHALL  INCREASE  TO  THE
PERCENTAGE  FOR THE YEAR PREVIOUSLY SCHEDULED TO BE ESTABLISHED PURSUANT
TO PARAGRAPH (A) OF THIS SUBDIVISION HAD THE INCREASE NOT BEEN SUSPENDED
AND INCREASED ANNUALLY THEREAFTER IN ACCORDANCE WITH  THE  SCHEDULE  SET
FORTH  IN  PARAGRAPH  (A)  OF  THIS  SUBDIVISION.  IN NO CASE SHALL SUCH
SUSPENSION RESULT IN A REDUCTION OF THE MAXIMUM BENEFIT AMOUNT  TO  LESS
THAN THE AMOUNT PROVIDED IN THE MOST RECENT YEAR.
  S  11.  Subdivision  9  of  section 590 of the labor law is amended by
adding a new paragraph (d) to read as follows:
  (D) AN ALIEN WHO IS NOT ELIGIBLE UNDER 8 USC 1621(A) SHALL BE ELIGIBLE
FOR BENEFITS, PROVIDED SUCH ALIEN IS ELIGIBLE  FOR  BENEFITS  UNDER  THE
PROVISIONS  OF  THIS  ARTICLE  AND  SECTION 3304 (A) (14) OF THE FEDERAL
UNEMPLOYMENT TAX ACT.
  S 12. Subdivision 2 of section 591 of the labor  law,  as  amended  by
chapter 720 of the laws of 1953, is amended to read as follows:
  2. Availability [and], capability, AND WORK SEARCH.  No benefits shall
be  payable  to  any  claimant  who is not capable of work or who is not
ready, willing and able to work in his usual employment or in any  other
for  which he is reasonably fitted by training and experience AND WHO IS
NOT ACTIVELY SEEKING WORK.   IN ORDER TO  BE  ACTIVELY  SEEKING  WORK  A
CLAIMANT  MUST  BE  ENGAGED  IN SYSTEMATIC AND SUSTAINED EFFORTS TO FIND
WORK WHICH SHALL INCLUDE CONTACTING AT LEAST TWO  PROSPECTIVE  EMPLOYERS
FOR EACH WEEK CLAIMED. THE CLAIMANT MUST ALSO BE ENGAGED IN OTHER ACTIV-
ITIES TO OBTAIN NEW WORK AS DETERMINED BY THE COMMISSIONER. THE CLAIMANT
SHALL  BE  REQUIRED  TO MAINTAIN DOCUMENTATION AND PROVIDE PROOF OF WORK
SEARCH EFFORTS AS PRESCRIBED BY THE COMMISSIONER AND SHALL BE SUBJECT TO
A RANDOM AUDIT.
  S 13. Section 591 of the labor law is amended by adding a new subdivi-
sion 6 to read as follows:
  6. DISMISSAL PAY. (A) NO BENEFITS SHALL BE PAYABLE TO A  CLAIMANT  FOR
ANY  WEEK  DURING  A  DISMISSAL  PERIOD  FOR  WHICH  A CLAIMANT RECEIVES
DISMISSAL PAY, NOR SHALL ANY DAY WITHIN SUCH WEEK BE CONSIDERED A DAY OF
TOTAL UNEMPLOYMENT UNDER SECTION FIVE HUNDRED TWENTY-TWO OF  THIS  ARTI-
CLE,  IF  SUCH  WEEKLY  DISMISSAL PAY EXCEEDS THE MAXIMUM WEEKLY BENEFIT
RATE.
  (B) THE TERM "DISMISSAL PAY", AS USED IN THIS SUBDIVISION,  MEANS  ONE
OR  MORE  PAYMENTS  MADE BY AN EMPLOYER TO AN EMPLOYEE DUE TO HIS OR HER
SEPARATION FROM SERVICE  OF  THE  EMPLOYER  REGARDLESS  OF  WHETHER  THE
EMPLOYER IS LEGALLY BOUND BY CONTRACT, STATUTE OR OTHERWISE TO MAKE SUCH

S. 2607--A                         81                         A. 3007--A

PAYMENTS.  THE  TERM  DOES NOT INCLUDE PAYMENTS FOR PENSION, RETIREMENT,
ACCRUED LEAVE, AND HEALTH INSURANCE OR PAYMENTS FOR  SUPPLEMENTAL  UNEM-
PLOYMENT BENEFITS.
  (C)  THE  TERM  "DISMISSAL PERIOD", AS USED IN THIS SUBDIVISION, MEANS
THE TIME DESIGNATED FOR WEEKS  OF  DISMISSAL  PAY  ATTRIBUTABLE  TO  THE
CLAIMANT'S  WEEKLY EARNINGS IN ACCORDANCE WITH THE COLLECTIVE BARGAINING
AGREEMENT, EMPLOYMENT CONTRACT, EMPLOYER'S DISMISSAL  POLICY,  DISMISSAL
AGREEMENT  WITH THE EMPLOYER OR OTHER SUCH AGREEMENT.  IF NO SUCH AGREE-
MENT, CONTRACT  OR  POLICY  DESIGNATES  A  DISMISSAL  PERIOD,  THEN  THE
DISMISSAL  PERIOD  SHALL BE THE TIME DESIGNATED IN WRITING IN ADVANCE BY
THE EMPLOYER TO BE CONSIDERED THE DISMISSAL PERIOD. IF NO TIME PERIOD IS
DESIGNATED, THE DISMISSAL PERIOD SHALL COMMENCE ON  THE  DAY  AFTER  THE
CLAIMANT'S LAST DAY OF EMPLOYMENT. IF THE DISMISSAL PAYMENT IS IN A LUMP
SUM  AMOUNT  OR  FOR  AN  INDEFINITE PERIOD, DISMISSAL PAYMENTS SHALL BE
ALLOCATED ON A WEEKLY BASIS FROM THE DAY AFTER THE CLAIMANT'S  LAST  DAY
OF  EMPLOYMENT  AND  THE CLAIMANT SHALL NOT BE ELIGIBLE FOR BENEFITS FOR
ANY WEEK FOR WHICH IT IS DETERMINED THAT THE CLAIMANT RECEIVES DISMISSAL
PAY. THE AMOUNT OF DISMISSAL PAY SHALL BE ALLOCATED BASED ON THE  CLAIM-
ANT'S  ACTUAL WEEKLY REMUNERATION PAID BY THE EMPLOYER DURING HIS OR HER
EMPLOYMENT OR, IF SUCH AMOUNT CANNOT BE DETERMINED, THE  AMOUNT  OF  THE
CLAIMANT'S AVERAGE WEEKLY WAGE FOR THE HIGHEST CALENDAR QUARTER.
  (D)  NOTWITHSTANDING THE FOREGOING, THE PROVISIONS OF THIS SUBDIVISION
SHALL NOT APPLY DURING  ANY  WEEKS  IN  WHICH  THE  INITIAL  PAYMENT  OF
DISMISSAL  PAY  IS  MADE  MORE THAN THIRTY DAYS FROM THE LAST DAY OF THE
CLAIMANT'S EMPLOYMENT.
  S 14. Subparagraph (i) of paragraph (b) of subdivision  2  of  section
591-a  of the labor law, as added by chapter 413 of the laws of 2003, is
amended to read as follows:
  (i) requirements relating to total unemployment, as defined in section
five hundred twenty-two of  this  article,  availability  for  work  AND
SEARCH FOR WORK, as set forth in subdivision two of section five hundred
ninety-one  of  this  title  and refusal to accept work, as set forth in
subdivision two of section five hundred ninety-three of this title,  are
not applicable to such individuals;
  S  15. Paragraph (a) of subdivision 1, the opening paragraph of subdi-
vision 2 and subdivision 3 of section 593 of the  labor  law,  paragraph
(a)  of  subdivision 1 as amended by chapter 35 of the laws of 2009, the
opening paragraph of subdivision 2 as amended by chapter 5 of  the  laws
of  2000,  and  subdivision  3  as amended by chapter 589 of the laws of
1998, are amended and a new subdivision 6 is added to read as follows:
  (a) No days of total unemployment shall be deemed  to  occur  after  a
claimant's voluntary separation without good cause from employment until
he  or she has subsequently worked in employment and earned remuneration
at least equal to [five] TEN times his or her weekly  benefit  rate.  In
addition  to  other  circumstances  that may be found to constitute good
cause, including a compelling family reason as set  forth  in  paragraph
(b)  of this subdivision, voluntary separation from employment shall not
in itself disqualify a claimant if circumstances have developed  in  the
course  of  such  employment  that  would have justified the claimant in
refusing such employment in the first instance under the terms of subdi-
vision two of this section or if the claimant,  pursuant  to  an  option
provided  under  a  collective  bargaining agreement or written employer
plan which permits waiver of his OR HER right to retain  the  employment
when there is a temporary layoff because of lack of work, has elected to
be separated for a temporary period and the employer has consented ther-
eto.

S. 2607--A                         82                         A. 3007--A

  No  days of total unemployment shall be deemed to occur beginning with
the day on which a claimant, without good cause, refuses  to  accept  an
offer of employment for which he OR SHE is reasonably fitted by training
and  experience, including employment not subject to this article, until
he  OR SHE has subsequently worked in employment and earned remuneration
at least equal to [five] TEN times  his  or  her  weekly  benefit  rate.
Except that claimants who are not subject to a recall date or who do not
obtain  employment  through  a union hiring hall and who are still unem-
ployed after  receiving  [thirteen]  TEN  weeks  of  benefits  shall  be
required  to  accept  any  employment  proffered that such claimants are
capable of performing, provided that such employment would result  in  a
wage not less than eighty percent of such claimant's high calendar quar-
ter  wages  received  in the base period and not substantially less than
the prevailing wage for similar work in the locality as provided for  in
paragraph (d) of this subdivision. No refusal to accept employment shall
be deemed without good cause nor shall it disqualify any claimant other-
wise eligible to receive benefits if:
  3.  Misconduct. No days of total unemployment shall be deemed to occur
after a claimant lost employment through misconduct in  connection  with
his or her employment until he or she has subsequently worked in employ-
ment  and  earned remuneration at least equal to [five] TEN times his or
her weekly benefit rate.
  6. DETERMINATIONS AND HEARINGS. THE COMMISSIONER SHALL ISSUE A  DETER-
MINATION FOR ANY PROTEST THAT IS FILED BY ANY BASE PERIOD EMPLOYER WITH-
IN  THE TIME SPECIFIED IN THE NOTIFICATION OF POTENTIAL CHARGES BASED ON
VOLUNTARY SEPARATIONS OR MISCONDUCT. AN EMPLOYER OR CLAIMANT MAY REQUEST
A HEARING OF SUCH DETERMINATION PURSUANT TO SECTION SIX  HUNDRED  TWENTY
OF THIS ARTICLE.
  S  16.  Section 594 of the labor law, as amended by chapter 728 of the
laws of 1952, and the opening paragraph as amended by chapter 139 of the
laws of 1968, are amended to read as follows:
  S 594. Reduction AND RECOVERY of benefits  AND  PENALTIES  for  WILFUL
false  statement  OR OMISSION.  A claimant who has wilfully made a false
statement or representation OR WILFULLY CONCEALED ANY PERTINENT FACT  to
obtain  any  benefit  under the provisions of this article shall forfeit
benefits for at least the first four but not more than the first  eighty
effective  days  following discovery of such offense for which he OR SHE
otherwise would have been entitled to  receive  benefits.  Such  penalty
shall apply only once with respect to each such offense.
  For  the purpose of subdivision four of section five hundred ninety of
this article, the claimant shall be deemed to have received benefits for
such forfeited effective days.
  The penalty provided in this section shall not be confined to a single
benefit year but shall no longer apply in whole or  in  part  after  the
expiration  of two years from the date [on which the offense was commit-
ted] OF THE FINAL DETERMINATION. SUCH TWO-YEAR PERIOD  SHALL  BE  TOLLED
DURING THE TIME PERIOD A CLAIMANT HAS AN APPEAL PENDING.
  A  claimant  shall  refund  all  moneys received because of such false
statement or representation [made by him] OR WILFUL CONCEALMENT AND  PAY
A CIVIL PENALTY IN AN AMOUNT EQUAL TO THE GREATER OF ONE HUNDRED DOLLARS
OR FIFTEEN PERCENT OF THE TOTAL OVERPAID BENEFITS DETERMINED PURSUANT TO
THIS  SECTION.  WHEN A DETERMINATION BASED UPON A WILFUL FALSE STATEMENT
OR REPRESENTATION OR BASED UPON THE WILFUL CONCEALMENT  OF  A  PERTINENT
FACT  IN  CONNECTION  WITH  THE CLAIM FOR BENEFITS BECOMES FINAL THROUGH
EXHAUSTION OF APPEAL RIGHTS OR FAILURE TO EXHAUST  HEARING  RIGHTS,  THE
COMMISSIONER  MAY  FILE  WITH  THE  COUNTY CLERK OF THE COUNTY WHERE THE

S. 2607--A                         83                         A. 3007--A

CLAIMANT RESIDES THE FINAL DETERMINATION  OF  THE  COMMISSIONER  OR  THE
FINAL  DECISION  BY  AN  ADMINISTRATIVE LAW JUDGE, THE APPEAL BOARD OR A
COURT CONTAINING THE AMOUNT FOUND TO BE DUE INCLUDING INTEREST AND CIVIL
PENALTY.  THE  FILING OF SUCH FINAL DETERMINATION OR DECISION SHALL HAVE
THE FULL FORCE AND EFFECT OF A JUDGMENT DULY DOCKETED IN THE  OFFICE  OF
SUCH  CLERK.  THE FINAL DETERMINATION OR DECISION MAY BE ENFORCED BY AND
IN THE SAME MANNER, AND WITH LIKE EFFECT AS IF IT WERE A DEFAULT AS  SET
FORTH  IN  SECTION  FIVE  HUNDRED  SEVENTY-THREE OF THIS ARTICLE. MONEYS
RECEIVED BECAUSE OF SUCH FALSE STATEMENT  OR  REPRESENTATION  OR  WILFUL
CONCEALMENT, INCLUDING THE ACCRUAL OF INTEREST, MAY ALSO BE RECOVERED AS
PRESCRIBED  BY  THE  CIVIL  PRACTICE LAW AND RULES FOR THE RECOVERY OF A
MONEY JUDGMENT OR THROUGH COMMON LAW OR STATUTORY RIGHTS  OF  OFFSET  OR
ANY  CRIMINAL  PROSECUTION.  THE  PENALTIES COLLECTED HEREUNDER SHALL BE
DEPOSITED IN THE FUND. THE PENALTIES  ASSESSED  UNDER  THIS  SUBDIVISION
SHALL  APPLY  AND  BE ASSESSED FOR ANY BENEFITS PAID UNDER FEDERAL UNEM-
PLOYMENT AND EXTENDED UNEMPLOYMENT PROGRAMS ADMINISTERED BY THE  DEPART-
MENT  IN  THE  SAME MANNER AS PROVIDED IN THIS ARTICLE. THE PENALTIES IN
THIS SECTION SHALL BE IN ADDITION TO ANY PENALTIES  IMPOSED  UNDER  THIS
CHAPTER OR ANY STATE OR FEDERAL CRIMINAL STATUTE.
  S 17. Section 596 of the labor law is amended by adding a new subdivi-
sion 7 to read as follows:
  7.  NOTWITHSTANDING THE PROVISIONS OF SECTION FIVE HUNDRED NINETY-FIVE
OF THIS TITLE, THE COMMISSIONER SHALL DEDUCT AND WITHHOLD  ANY  OVERPAY-
MENTS ESTABLISHED UNDER THIS ARTICLE OR UNDER ANY STATE OR FEDERAL UNEM-
PLOYMENT COMPENSATION PROGRAM FROM BENEFITS PAYABLE TO AN INDIVIDUAL. NO
PENALTIES  OR INTEREST ASSESSED PURSUANT TO SECTION FIVE HUNDRED NINETY-
FOUR OF THIS TITLE MAY BE DEDUCTED OR WITHHELD FROM BENEFITS.
  S 18. Subdivision 2 of section 597 of the  labor  law  is  amended  by
adding a new paragraph (d) to read as follows:
  (D)  NOTWITHSTANDING  ANY PROVISIONS OF THIS ARTICLE, UNLESS A COMMIS-
SIONER'S ERROR IS SHOWN OR THE FAILURE IS THE DIRECT RESULT OF A  DISAS-
TER  EMERGENCY  DECLARED  BY  THE  GOVERNOR  OR PRESIDENT, AN EMPLOYER'S
ACCOUNT SHALL NOT BE RELIEVED OF CHARGES RESULTING IN AN OVERPAYMENT  OF
BENEFITS  WHEN THE COMMISSIONER DETERMINES THAT THE OVERPAYMENT WAS MADE
BECAUSE THE EMPLOYER OR THE AGENT OF THE EMPLOYER FAILED  TO  TIMELY  OR
ADEQUATELY  RESPOND TO A REQUEST FOR INFORMATION IN THE NOTICE OF POTEN-
TIAL CHARGES OR OTHER SUCH NOTICE REQUESTING INFORMATION IN RELATION  TO
A  CLAIM  UNDER  THIS  ARTICLE, PROVIDED, HOWEVER, THAT THE COMMISSIONER
SHALL RELIEVE THE EMPLOYER OF CHARGES THE FIRST TIME THAT  THE  EMPLOYER
FAILS  TO  PROVIDE  TIMELY  OR  ADEQUATE  INFORMATION,  IF  THE EMPLOYER
PROVIDES GOOD CAUSE FOR SUCH FAILURE AS DETERMINED BY THE COMMISSIONER.
  "TIMELY" SHALL MEAN A RESPONSE IS PROVIDED IN THE TIME  PERIOD  SPECI-
FIED IN THE NOTICE AS PRESCRIBED BY THE COMMISSIONER.
  THE  TERM  "ADEQUATELY"  SHALL  MEAN  THAT  THE  EMPLOYER OR ITS AGENT
SUBMITTED INFORMATION SUFFICIENT TO RENDER A CORRECT DETERMINATION.
  THIS PROHIBITION FOR RELIEF OF CHARGES SHALL APPLY  TO  ALL  EMPLOYERS
UNDER  THIS  ARTICLE  INCLUDING  EMPLOYERS  ELECTING  PAYMENT IN LIEU OF
CONTRIBUTIONS.
  S 19. Section 600 of the labor law, as added by  chapter  793  of  the
laws  of  1963,  subdivision  6 as amended by chapter 391 of the laws of
2005, subdivision 7 as added by chapter 362 of the laws of  1980,  para-
graph  (a)  of  subdivision  7  as amended by chapter 176 of the laws of
2004, paragraph (b) of subdivision 7 as amended by chapter 5 of the laws
of 2000, and paragraph (c) of subdivision 7 as relettered by chapter 895
of the laws of 1980, is amended to read as follows:

S. 2607--A                         84                         A. 3007--A

  S 600. Effect of retirement payments. 1. Reduction  of  benefit  rate.
[If a claimant retires or is retired from employment by an employer and,
due  to  such  retirement,  is receiving a pension or retirement payment
under a plan financed in whole or in part by such employer, such  claim-
ant's  benefit  rate  for four effective days otherwise applicable under
subdivision seven of section five hundred ninety  shall  be  reduced  as
hereinafter provided.
  2.  Application. The reduction shall apply only to benefits which when
paid will be chargeable to the account of the employer who provided  the
pension or retirement benefit.
  3.  Amount  of reduction. If the pension or retirement payment is made
under a plan to which the employer is the sole contributor,  the  claim-
ant's  benefit  rate  shall  be  reduced  by the largest number of whole
dollars which is not more than the prorated weekly amount of his pension
or retirement payment under such plan.  If  the  pension  or  retirement
payment  is  made  under  a  plan  to which the employer is not the sole
contributor, the claimant's benefit rate shall be reduced by the largest
number of whole dollars which is not more than one-half of the  prorated
weekly amount of his pension or retirement payments under such plan, but
no  reduction shall apply if the claimant demonstrates that the employer
contributed less than fifty per centum to the plan.
  4. Reduction equal to benefit rate. If the amount to be deducted  from
a claimant's benefit rate equals or exceeds such rate, he shall be inel-
igible  to receive any benefits which if paid would be chargeable to the
employer involved in the pension or retirement plan,  but  any  benefits
which would in the absence of this section be chargeable to the accounts
of other employers shall be payable to the claimant.
  5. Reduction not established. If, at the time benefits are payable, it
has  not  been  established  that  the  claimant  will be receiving such
pension or retirement payment, benefits due  shall  be  paid  without  a
reduction,  subject to review within the period and under the conditions
as provided in subdivisions three and four of section five hundred nine-
ty-seven with respect to retroactive payment of remuneration.
  6. Limitation. For the purposes of this section, the terms "pension or
retirement payment" and "governmental or other  pension,  retirement  or
retired  pay,  annuity,  or  any other similar periodic payment which is
based on previous work" shall not include payments made from a qualified
trust to an eligible retirement plan  under  the  terms  and  conditions
specified  in  section four hundred two of the internal revenue code for
federal income tax purposes, such payments commonly  known  as  eligible
rollover distributions.
  7. Alternative condition. (a) When a reduction for retirement payments
is  required by the federal unemployment tax act as a condition for full
tax credit, in which event the  provisions  of  subdivisions  one,  two,
three,  four  and  five of this section shall not be operative, the] (A)
THE benefit rate of a claimant who is receiving a governmental or  other
pension,  retirement or retired pay, annuity, or any other similar peri-
odic payment which is based on his previous work, shall  be  reduced  as
hereinafter provided, if such payment is made under a plan maintained or
contributed to by his base period employer and, except for payments made
under  the  social  security act or the railroad retirement act of 1974,
the claimant's employment with,  or  remuneration  from,  such  employer
after  the beginning of the base period affected his eligibility for, or
increased the amount of, such pension, retirement or retired pay, annui-
ty, or other similar periodic payment.

S. 2607--A                         85                         A. 3007--A

  (b) [If the claimant made no contribution for the pension,  retirement
or  retired  pay,  annuity,  or other similar periodic payment, his] THE
CLAIMANT'S benefit rate shall be reduced by the largest number of  whole
dollars  which  is  not  more  than  the pro-rated weekly amount of such
payment.  If  the  claimant  was  the  sole contributor for the pension,
retirement or retired pay, annuity, or other similar  periodic  payment,
no  reduction  shall  apply.  [If  the  claimant's contributions for the
pension, retirement or retired pay, annuity, or other  similar  periodic
payment  were  less  than one hundred per centum, the commissioner shall
determine the amount of the reduction by taking into account the  claim-
ant's contributions in a manner consistent with the federal unemployment
tax act.]
  (c)  If, at the time benefits are payable, it has not been established
that the claimant will be receiving such pension, retirement or  retired
pay,  annuity  or  other  payment,  benefits due shall be paid without a
reduction, subject to review within the period and under the  conditions
as provided in subdivisions three and four of section five hundred nine-
ty-seven with respect to retroactive payment of remuneration.
  (D) FOR THE PURPOSES OF THIS SECTION, THE TERMS "PENSION OR RETIREMENT
PAYMENT"  AND "GOVERNMENTAL OR OTHER PENSION, RETIREMENT OR RETIRED PAY,
ANNUITY, OR ANY OTHER SIMILAR PERIODIC PAYMENT WHICH IS BASED ON  PREVI-
OUS  WORK"  SHALL NOT INCLUDE PAYMENTS MADE FROM A QUALIFIED TRUST TO AN
ELIGIBLE RETIREMENT PLAN UNDER THE TERMS  AND  CONDITIONS  SPECIFIED  IN
SECTION FOUR HUNDRED TWO OF THE INTERNAL REVENUE CODE FOR FEDERAL INCOME
TAX PURPOSES, SUCH PAYMENTS COMMONLY KNOWN AS ELIGIBLE ROLLOVER DISTRIB-
UTIONS.
  S  20.  Section 602 of the labor law, as amended by chapter 214 of the
laws of 1998, is amended to read as follows:
  S 602. Application. This title shall apply to a claimant  employed  by
an  employer  whose  application to participate in a shared work program
has been approved by the commissioner.  The  provisions  of  subdivision
four  of section five hundred twenty-seven, subdivisions three and seven
of section five hundred ninety and  subdivision  four  of  section  five
hundred  ninety-six  of  this  article  shall  not be applicable to such
claimant and he OR SHE shall not be required to be  available  for  work
with  any  other  employer NOR SHALL HE OR SHE BE REQUIRED TO SEARCH FOR
WORK IN ACCORDANCE WITH SUBDIVISION TWO OF SECTION FIVE HUNDRED  NINETY-
ONE OF THIS ARTICLE IF HE OR SHE IS AVAILABLE FOR HIS OR HER USUAL HOURS
OF  WORK  WITH HIS OR HER EMPLOYER THAT HAS BEEN ACCEPTED TO PARTICIPATE
IN THE SHARED WORK PROGRAM. The other provisions of this  article  shall
apply  to such claimants and their employers to the extent that they are
not inconsistent with the provisions of this title.
  S 21. Section 603 of the labor law, as added by  chapter  438  of  the
laws of 1985, is amended to read as follows:
  S  603.  Definitions. For purposes of this title: "Total unemployment"
shall mean the total lack of any employment on any day, other than  with
an employer applying for a shared work program. ["Full time hours" shall
mean  at  least  thirty-five but not more than forty hours per week, and
shall not include overtime as defined in the Fair Labor Standards  Act.]
"Work  force"  shall  mean  the total work force, a clearly identifiable
unit or units thereof, or a particular shift or shifts. THE  WORK  FORCE
SUBJECT TO REDUCTION SHALL CONSIST OF NO LESS THAN TWO EMPLOYEES.
  S 21-a. Section 604 of the labor law, as amended by chapter 564 of the
laws of 2002, is amended to read as follows:
  S  604. Eligibility conditions. A claimant shall be eligible for bene-
fits under this title if he OR SHE works less than  his  OR  HER  normal

S. 2607--A                         86                         A. 3007--A

[full time] hours in a week for his customary employer, and that employ-
er has reduced or restricted the claimant's weekly hours of work, or has
rehired  a  claimant  previously  laid off and reduced his OR HER weekly
hours  of  work from those previously worked, as the result of a plan by
the employer to stabilize the work force by a  program  of  sharing  the
work  remaining  after  a  reduction in total hours of work and a corre-
sponding reduction in wages, provided the program requires not less than
a twenty percent nor more than a sixty percent reduction  in  hours  and
wages  among the work force. A claimant receiving supplemental unemploy-
ment compensation benefits, as defined in section five hundred  one  (c)
(17)  (D)  of  the internal revenue code of nineteen hundred fifty-four,
shall not be eligible hereunder. Any employee who was otherwise eligible
for benefits under this title but was denied benefits during the  period
beginning  October first, two thousand one and ending on December first,
two thousand one because more than five percent of his OR HER wages were
derived from piece work, shall be entitled to make a  retroactive  claim
for  such benefits provided such claim is filed within sixty days of the
effective date of this sentence.
  S 22. Section 605 of the labor law, as amended by section 2 of chapter
81 of the laws of 1992, is amended to read as follows:
  S 605. Qualified employers; application. An employer who has at  least
[five] TWO full time employees may apply to participate in a shared work
program.   The WRITTEN application shall be made according to such forms
and procedures as the commissioner may specify and  shall  include  such
information as the commissioner may require, INCLUDING SUCH OTHER INFOR-
MATION THAT THE UNITED STATES SECRETARY OF LABOR DETERMINES TO BE APPRO-
PRIATE  FOR  PURPOSES  OF A SHARED WORK PROGRAM.  The commissioner shall
not approve such application unless the employer (1) [agrees]  CERTIFIES
that  for  the duration of the program it will not eliminate or diminish
health insurance, medical insurance, RETIREMENT BENEFITS  or  any  other
fringe  benefits provided to employees immediately prior to the applica-
tion UNLESS SUCH BENEFITS PROVIDED TO EMPLOYEES THAT DO NOT  PARTICIPATE
IN  THE SHARED WORK PROGRAM ARE REDUCED OR DIMINISHED TO THE SAME EXTENT
AS THOSE EMPLOYEES THAT PARTICIPATE IN  THE  SHARED  WORK  PROGRAM;  (2)
certifies  that  the  collective  bargaining agent for the employees, if
any, has agreed to participate in the program; (3) certifies that if not
for the shared work program to be initiated the employer would reduce or
would have reduced its work force to a degree equivalent  to  the  total
number  of  working  hours  proposed to be reduced or restricted for all
included employees; (4) certifies that it will not hire additional  part
time  or  full  time  employees  for  the  affected work force while the
program is in operation; [and] (5) agrees that  no  participant  of  the
program  shall  receive, in the aggregate, more than [twenty] TWENTY-SIX
weeks of  benefits  exclusive  of  the  waiting  week;  (6)  PROVIDES  A
DESCRIPTION  OF  HOW  WORKERS  IN THE WORK FORCE WILL BE NOTIFIED OF THE
SHARED WORK PROGRAM IN ADVANCE OF IT TAKING EFFECT, IF FEASIBLE, AND  IF
SUCH  NOTICE IS NOT FEASIBLE, PROVIDES AN EXPLANATION OF WHY SUCH NOTICE
IS NOT FEASIBLE; (7) PROVIDES AN ESTIMATE OF THE NUMBER OF  WORKERS  WHO
WOULD  BE  LAID  OFF IF THE EMPLOYER COULD NOT PARTICIPATE IN THE SHARED
WORK PROGRAM; AND (8) CERTIFIES THAT THE TERMS OF THE EMPLOYER'S WRITTEN
PLAN AND IMPLEMENTATION SHALL BE CONSISTENT  WITH  EMPLOYER  OBLIGATIONS
UNDER APPLICABLE FEDERAL AND STATE LAWS.
  S 22-a. Section 605 of the labor law, as amended by section twenty-two
of  this  act  is  REPEALED  and  a  new section 605 is added to read as
follows:

S. 2607--A                         87                         A. 3007--A

  S 605.  QUALIFIED EMPLOYERS; APPLICATION. AN EMPLOYER WHO HAS AT LEAST
FIVE FULL TIME EMPLOYEES MAY APPLY  TO  PARTICIPATE  IN  A  SHARED  WORK
PROGRAM.  THE  WRITTEN APPLICATION SHALL BE MADE ACCORDING TO SUCH FORMS
AND PROCEDURES AS THE COMMISSIONER MAY SPECIFY AND  SHALL  INCLUDE  SUCH
INFORMATION AS THE COMMISSIONER MAY REQUIRE, INCLUDING SUCH OTHER INFOR-
MATION THAT THE UNITED STATES SECRETARY OF LABOR DETERMINES TO BE APPRO-
PRIATE FOR PURPOSES OF A SHARED WORK PROGRAM. THE COMMISSIONER SHALL NOT
APPROVE  SUCH APPLICATION UNLESS THE EMPLOYER (1) CERTIFIES THAT FOR THE
DURATION OF THE PROGRAM IT WILL NOT ELIMINATE OR DIMINISH HEALTH  INSUR-
ANCE,  MEDICAL  INSURANCE, RETIREMENT BENEFITS OR ANY OTHER FRINGE BENE-
FITS PROVIDED TO EMPLOYEES IMMEDIATELY PRIOR TO THE  APPLICATION  UNLESS
SUCH  BENEFITS  PROVIDED  TO  EMPLOYEES  THAT  DO NOT PARTICIPATE IN THE
SHARED WORK PROGRAM ARE REDUCED OR DIMINISHED  TO  THE  SAME  EXTENT  AS
THOSE  EMPLOYEES THAT PARTICIPATE IN THE SHARED WORK PROGRAM; (2) CERTI-
FIES THAT THE COLLECTIVE BARGAINING AGENT FOR THE EMPLOYEES, IF ANY, HAS
AGREED TO PARTICIPATE IN THE PROGRAM; (3) CERTIFIES THAT IF NOT FOR  THE
SHARED  WORK  PROGRAM TO BE INITIATED THE EMPLOYER WOULD REDUCE OR WOULD
HAVE REDUCED ITS WORK FORCE TO A DEGREE EQUIVALENT TO THE  TOTAL  NUMBER
OF  WORKING  HOURS PROPOSED TO BE REDUCED OR RESTRICTED FOR ALL INCLUDED
EMPLOYEES; (4) CERTIFIES THAT IT WILL NOT HIRE ADDITIONAL PART  TIME  OR
FULL  TIME EMPLOYEES FOR THE AFFECTED WORK FORCE WHILE THE PROGRAM IS IN
OPERATION; (5) AGREES THAT NO PARTICIPANT OF THE PROGRAM SHALL  RECEIVE,
IN  THE  AGGREGATE,  MORE THAN TWENTY WEEKS OF BENEFITS EXCLUSIVE OF THE
WAITING WEEK; (6) PROVIDES A DESCRIPTION OF  HOW  WORKERS  IN  THE  WORK
FORCE  WILL  BE  NOTIFIED  OF  THE  SHARED WORK PROGRAM IN ADVANCE OF IT
TAKING EFFECT, IF FEASIBLE, AND IF SUCH NOTICE IS NOT FEASIBLE, PROVIDES
AN EXPLANATION OF WHY SUCH NOTICE IS NOT FEASIBLE; (7) PROVIDES AN ESTI-
MATE OF THE NUMBER OF WORKERS WHO WOULD BE  LAID  OFF  IF  THE  EMPLOYER
COULD NOT PARTICIPATE IN THE SHARED WORK PROGRAM; AND (8) CERTIFIES THAT
THE  TERMS  OF  THE  EMPLOYER'S WRITTEN PLAN AND IMPLEMENTATION SHALL BE
CONSISTENT WITH EMPLOYER OBLIGATIONS UNDER APPLICABLE FEDERAL AND  STATE
LAWS.
  S  23.  Section  607  of the labor law, as added by chapter 438 of the
laws of 1985, subdivision 1 as amended by section 4 of chapter 81 of the
laws of 1992, is amended to read as follows:
  S 607. Benefits. 1. Amount. An eligible claimant shall be  paid  bene-
fits  for  any  week  equal to his OR HER benefit rate multiplied by the
percentage of reduction of his OR HER wages resulting from reduced hours
of work, but only if such percentage is no less than twenty percent. The
weekly benefit amount shall be rounded off  to  the  nearest  dollar.  A
claimant  shall  not  be  paid  such  benefits  in  excess  of  [twenty]
TWENTY-SIX weeks during a benefit year.
  2. Waiting period. A claimant shall not be entitled  to  benefits  for
the  first week of unemployment under a shared work program unless he OR
SHE has served a waiting period in his OR HER benefit year  pursuant  to
subdivision seven of section five hundred ninety of this article.
  S  23-a.  Subdivision 1 of section 607 of the labor law, as amended by
section twenty-three of this act is REPEALED, and a new subdivision 1 is
added to read as follows:
  1. AMOUNT. AN ELIGIBLE CLAIMANT SHALL BE PAID BENEFITS  FOR  ANY  WEEK
EQUAL  TO  HIS  OR  HER  BENEFIT  RATE  MULTIPLIED  BY THE PERCENTAGE OF
REDUCTION OF HIS OR HER WAGES RESULTING FROM REDUCED HOURS OF WORK,  BUT
ONLY IF SUCH PERCENTAGE IS NO LESS THAN TWENTY PERCENT. THE WEEKLY BENE-
FIT  AMOUNT SHALL BE ROUNDED OFF TO THE NEAREST DOLLAR. A CLAIMANT SHALL
NOT BE PAID SUCH BENEFITS IN EXCESS OF TWENTY  WEEKS  DURING  A  BENEFIT
YEAR.

S. 2607--A                         88                         A. 3007--A

  S  24. The labor law is amended by adding a new section 609 to read as
follows:
  S  609. TRAINING.  ELIGIBLE EMPLOYEES MAY PARTICIPATE, AS APPROPRIATE,
IN TRAINING TO ENHANCE JOB SKILLS IF SUCH PROGRAM HAS BEEN  APPROVED  BY
THE COMMISSIONER.  SUCH TRAINING MAY INCLUDE EMPLOYER-SPONSORED TRAINING
OR WORKER TRAINING FUNDED UNDER THE WORKFORCE INVESTMENT ACT OF 1998.
  S  25.  Section 611 of the labor law, as amended by chapter 589 of the
laws of 1998, is amended to read as follows:
  S 611. Charging of benefits. Benefits paid  to  a  claimant  shall  be
charged  to  the  employers'  accounts  as  provided in paragraph (e) of
subdivision one of section five  hundred  eighty-one  of  this  article.
HOWEVER,  EXCEPT FOR INDIVIDUALS EMPLOYED BY A PARTICIPATING EMPLOYER ON
A SEASONAL, TEMPORARY OR INTERMITTENT  BASIS,  NO  BENEFITS  PAID  TO  A
CLAIMANT SHALL BE CHARGED TO AN EMPLOYER'S ACCOUNT IF THE STATE IS REIM-
BURSED  BY THE UNITED STATES PURSUANT TO THE MIDDLE CLASS TAX RELIEF AND
JOB CREATION ACT OF 2012, PL 112-96.
  S 26. The labor law is amended by adding a new section 612 to read  as
follows:
  S  612.  SEVERABILITY.    IF  ANY  AMENDMENT  CONTAINED  IN  A CLAUSE,
SENTENCE, PARAGRAPH, SECTION OR PART OF THIS TITLE SHALL BE ADJUDGED  BY
THE  UNITED STATES DEPARTMENT OF LABOR TO VIOLATE REQUIREMENTS FOR MAIN-
TAINING BENEFIT STANDARDS REQUIRED OF THE STATE IN ORDER TO BE  ELIGIBLE
FOR  ANY  FINANCIAL  BENEFIT  OFFERED  THROUGH FEDERAL LAW OR REGULATION
INCLUDING, BUT NOT LIMITED TO, THE WAIVER OF INTEREST ON ADVANCES OR THE
WAIVER OF OBLIGATIONS TO REPAY SUCH ADVANCES TO THE  STATE  UNEMPLOYMENT
INSURANCE FUND, SUCH AMENDMENTS SHALL BE SEVERED FROM THIS ACT AND SHALL
NOT AFFECT, IMPAIR OR INVALIDATE THE REMAINDER THEREOF.
  S  27. Section 39 of part P2 of chapter 62 of the laws of 2003, amend-
ing the state finance law and other laws  relating  to  authorizing  and
directing  the  state  comptroller  to  loan  money to certain funds and
accounts, as amended by section 1 of part W of chapter 58 of the laws of
2011, is amended to read as follows:
  S 39. This act shall take effect immediately and shall  be  deemed  to
have been in full force and effect on and after April 1, 2003; provided,
however, that sections one, three, four, six, seven through fifteen, and
seventeen  of  this act shall expire March 31, 2004, when upon such date
the provisions of such sections shall be deemed repealed; [and  sections
thirty  and  thirty-one  of this act shall expire December 31, 2013] and
the amendments made to section 69-c of the state finance law by  section
thirty-two  of  this  act  shall not affect the expiration and repeal of
such section and shall be deemed to be expired therewith.
  S 28. Severability. If any amendment contained in a clause,  sentence,
paragraph,  section  or part of this act shall be adjudged by the United
States Department of Labor to violate requirements for maintaining bene-
fit standards required of the state in order  to  be  eligible  for  any
financial  benefit  offered through federal law or regulation including,
but not limited to, the waiver of interest on advances or the waiver  of
obligations  to  repay such advances to the state unemployment insurance
fund, such amendments shall be severed  from  this  act  and  shall  not
affect, impair or invalidate the remainder thereof.
  S 29. This act shall take effect immediately, provided, however, that:
  a. sections one, three, seven, and eight of this act shall take effect
January 1, 2014;
  b.  sections  two,  thirteen,  fifteen, and nineteen of this act shall
apply to all claims filed after January 1, 2014;
  c. section nine of this act shall take effect January 1, 2017;

S. 2607--A                         89                         A. 3007--A

  d. section ten of this act shall take effect January 1, 2019;
  e.  sections  five,  six, sixteen, seventeen, and eighteen of this act
shall apply to all overpayments established after October 1, 2013;
  f. sections fourteen, twenty,  twenty-one,  twenty-one-a,  twenty-two,
twenty-three,  twenty-four, and twenty-six of this act shall take effect
on the thirtieth day after it shall have become a law;
  g. section twenty-five of this act shall expire and be deemed repealed
August 23, 2015;
  h. section twelve of this act shall take effect January 1, 2014 or  on
the  same  date  as the reversion of subdivision 2 of section 591 of the
labor law as provided in section 10 of chapter 413 of the laws of  2003,
as amended, whichever is later;
  i.  the  amendments  to section 591-a of the labor law made by section
fourteen of this act shall not affect the repeal  of  such  section  and
shall be deemed repealed therewith; and
  j.  sections  twenty-two-a  and  twenty-three-a of this act shall take
effect August 23, 2015.

                                 PART P

  Section 1. Subdivisions 1, 4 and 5 of section 652 of the labor law, as
amended by chapter 747 of the laws of  2004,  are  amended  to  read  as
follows:
  1.  Statutory.  Every  employer shall pay to each of its employees for
each hour worked a wage of not less than:
  $4.25 on and after April 1, 1991,
  $5.15 on and after March 31, 2000,
  $6.00 on and after January 1, 2005,
  $6.75 on and after January 1, 2006,
  $7.15 on and after January 1, 2007,
  $8.75 ON AND AFTER JULY 1, 2013, or, if greater, such  other  wage  as
may  be  established by federal law pursuant to 29 U.S.C. section 206 or
its successors
or such other  wage  as  may  be  established  in  accordance  with  the
provisions of this article.
  4.  Notwithstanding subdivisions one and two of this section, the wage
for an employee who is a food service worker receiving tips shall  be  a
cash  wage  of  at  least  three dollars and thirty cents per hour on or
after March thirty-first, two thousand; three  dollars  and  eighty-five
cents  on  or  after  January  first,  two  thousand five; at least four
dollars and thirty-five cents on or after January  first,  two  thousand
six;  [and]  at  least  four dollars and sixty cents on or after January
first, two thousand seven; AND AT LEAST SIX DOLLARS AND THREE  CENTS  ON
OR  AFTER  JULY  FIRST, TWO THOUSAND THIRTEEN, provided that the tips of
such an employee, when added to such cash wage, are equal to  or  exceed
the  minimum  wage in effect pursuant to subdivision one of this section
and provided further that no other cash wage is established pursuant  to
section  six  hundred fifty-three of this article. In the event the cash
wage payable under the Fair Labor Standards Act (29 United  States  Code
Sec. 203 (m), as amended), is increased after enactment of this subdivi-
sion,  the  cash wage payable under this subdivision shall automatically
be increased by the proportionate increase  in  the  cash  wage  payable
under  such federal law, and will be immediately enforceable as the cash
wage payable to food service workers under this article.
  5. Notwithstanding subdivisions one and two of this section, meal  and
lodging  allowances  for  a  food  service  worker receiving a cash wage

S. 2607--A                         90                         A. 3007--A

amounting to three dollars and thirty cents per hour on or  after  March
thirty-first,  two  thousand;  three dollars and eighty-five cents on or
after January first, two thousand five;  four  dollars  and  thirty-five
cents  on  or  after January first, two thousand six; [and] four dollars
and sixty cents on or after January first, two thousand  seven;  AND  AT
LEAST  SIX  DOLLARS AND THREE CENTS ON OR AFTER JULY FIRST, TWO THOUSAND
THIRTEEN, shall not  increase  more  than  two-thirds  of  the  increase
required  by  subdivision  two  of this section as applied to state wage
orders in effect pursuant to subdivision one of this section.
  S 2. This act shall take effect immediately.

                                 PART Q

Section 1. Paragraph (d) of subdivision 4 of section 209  of  the  civil
service  law,  as  amended  by section 9 of part A of chapter 504 of the
laws of 2009, is amended to read as follows:
  (d) The provisions of this subdivision shall expire [thirty-six] FORTY
years from July first, nineteen hundred seventy-seven, and hereafter may
be renewed every four years.
  S 2. Section 209 of the civil service law is amended by adding  a  new
subdivision 6 to read as follows:
  6. (A) FOR DISPUTES CONCERNING AN IMPASSE PURSUANT TO SUBDIVISION FOUR
OF THIS SECTION THAT INVOLVE A COUNTY, CITY, TOWN, OR VILLAGE SUBJECT TO
SECTION THREE-C OF THE GENERAL MUNICIPAL LAW, A PUBLIC ARBITRATION PANEL
SHALL  MAKE  A  DETERMINATION  AS TO WHETHER SUCH COUNTY, CITY, TOWN, OR
VILLAGE, IS A DISTRESSED PUBLIC EMPLOYER AS PART OF ITS ANALYSIS OF  THE
FINANCIAL ABILITY OF THE PUBLIC EMPLOYER TO PAY.
  (B)  IN  EVALUATING WHETHER A PUBLIC EMPLOYER COVERED BY THIS SUBDIVI-
SION IS A DISTRESSED PUBLIC  EMPLOYER,  SUCH  PUBLIC  ARBITRATION  PANEL
SHALL  CONSIDER  THE AVERAGE FULL VALUE PROPERTY TAX RATE OF SUCH PUBLIC
EMPLOYER AND THE AVERAGE FUND BALANCE PERCENTAGE OF SUCH PUBLIC  EMPLOY-
ER.
  I.  FOR  PURPOSES  OF THIS SUBDIVISION, "FULL VALUE PROPERTY TAX RATE"
SHALL MEAN THE AMOUNT TO BE RAISED BY TAX ON  REAL  ESTATE  BY  A  LOCAL
GOVERNMENT IN A GIVEN FISCAL YEAR DIVIDED BY THE FULL VALUATION OF TAXA-
BLE  REAL  ESTATE FOR THAT SAME FISCAL YEAR AS REPORTED TO THE OFFICE OF
THE STATE COMPTROLLER.
  II. FOR PURPOSES OF THIS SUBDIVISION, "AVERAGE FULL VALUE PROPERTY TAX
RATE" SHALL MEAN THE SUM OF THE FULL VALUE PROPERTY TAX  RATES  FOR  THE
FIVE MOST RECENT FISCAL YEARS DIVIDED BY FIVE.
  III. FOR PURPOSES OF THIS SUBDIVISION, "FUND BALANCE PERCENTAGE" SHALL
MEAN THE TOTAL FUND BALANCE IN THE GENERAL FUND OF A LOCAL GOVERNMENT IN
A  GIVEN  FISCAL YEAR DIVIDED BY THE TOTAL EXPENDITURES FROM THE GENERAL
FUND FOR THAT SAME FISCAL YEAR AS REPORTED TO THE OFFICE  OF  THE  STATE
COMPTROLLER.
  IV.  FOR  PURPOSES OF THIS SUBDIVISION, "AVERAGE FUND BALANCE PERCENT-
AGE" SHALL MEAN THE SUM OF THE FUND BALANCE  PERCENTAGES  FOR  THE  FIVE
MOST RECENTLY COMPLETED FISCAL YEARS DIVIDED BY FIVE.
  (C) IF THE AVERAGE FULL VALUE PROPERTY TAX RATE OF SUCH PUBLIC EMPLOY-
ER  IS GREATER THAN THE AVERAGE FULL VALUE PROPERTY TAX RATE OF SEVENTY-
FIVE PERCENT OF COUNTIES, CITIES, TOWNS, AND VILLAGES, WITH LOCAL FISCAL
YEARS ENDING IN THE SAME CALENDAR YEAR AS OF THE MOST RECENTLY AVAILABLE
INFORMATION, THE PUBLIC ARBITRATION PANEL MUST  FIND  THAT  SUCH  PUBLIC
EMPLOYER  IS  FISCALLY  DISTRESSED.  THE OFFICE OF THE STATE COMPTROLLER
SHALL MAKE PUBLICLY AVAILABLE THE LIST OF COUNTIES, CITIES,  TOWNS,  AND
VILLAGES,  THAT  HAVE AN AVERAGE FULL VALUE PROPERTY TAX RATE THAT MEETS

S. 2607--A                         91                         A. 3007--A

SUCH CRITERIA IN EACH LOCAL FISCAL YEAR. IF A PUBLIC  EMPLOYER  HAS  NOT
REPORTED  TO  THE OFFICE OF THE STATE COMPTROLLER THE INFORMATION NECES-
SARY TO CALCULATE ITS AVERAGE FULL VALUE PROPERTY TAX RATE,  THE  PUBLIC
ARBITRATION  PANEL  MAY NOT USE THE AVERAGE FULL VALUE PROPERTY TAX RATE
AS A BASIS BY WHICH TO  FIND  THAT  SUCH  PUBLIC  EMPLOYER  IS  FISCALLY
DISTRESSED.
  (D)  IF THE AVERAGE FUND BALANCE PERCENTAGE OF SUCH PUBLIC EMPLOYER IS
LESS THAN FIVE PERCENT, THE PUBLIC ARBITRATION PANEL MUST FIND THAT SUCH
PUBLIC EMPLOYER IS FISCALLY DISTRESSED. THE OFFICE OF  THE  STATE  COMP-
TROLLER  SHALL  MAKE  PUBLICLY  AVAILABLE  THE LIST OF COUNTIES, CITIES,
TOWNS, AND VILLAGES, THAT HAVE AN AVERAGE FUND BALANCE  PERCENTAGE  THAT
MEETS  SUCH CRITERIA IN EACH LOCAL FISCAL YEAR. IF A PUBLIC EMPLOYER HAS
NOT REPORTED TO THE OFFICE OF  THE  STATE  COMPTROLLER  THE  INFORMATION
NECESSARY  TO  CALCULATE ITS AVERAGE FUND BALANCE PERCENTAGE, THE PUBLIC
ARBITRATION PANEL MAY NOT USE THE AVERAGE FUND BALANCE PERCENTAGE  AS  A
BASIS BY WHICH TO FIND THAT SUCH PUBLIC EMPLOYER IS FISCALLY DISTRESSED.
  (E)   WHEN  SUCH  PUBLIC  EMPLOYER  HAS  BEEN  FOUND  TO  BE  FISCALLY
DISTRESSED, THE PUBLIC ARBITRATION PANEL SHALL NOT HAVE THE AUTHORITY TO
ISSUE A DETERMINATION THAT INCREASES THE COST OF TERMS AND CONDITIONS OF
EMPLOYMENT APPLICABLE TO EMPLOYEES UNDER THE JURISDICTION OF SUCH  PANEL
EXCEPT AS PROVIDED HEREIN.
  I. FOR THE FIRST  YEAR OF THE DETERMINATION, THE PANEL SHALL NOT ISSUE
A  DETERMINATION  THAT  MAKES  CHANGES  TO AND INCREASES THE COST OF ALL
TERMS AND CONDITIONS OF EMPLOYMENT BY  MORE  THAN  TWO  PERCENT  OF  THE
AGGREGATE AMOUNT EXPENDED BY THE PUBLIC EMPLOYER ON THE TERMS OF COLLEC-
TIVE  BARGAINING  AGREEMENTS  DIRECTLY  RELATING  TO COMPENSATION OF ALL
EMPLOYEES SUBJECT TO THE PUBLIC ARBITRATION PANEL'S JURISDICTION IN  THE
TWELVE  MONTHS  IMMEDIATELY  PRECEDING  THE EXPIRATION OF THE COLLECTIVE
BARGAINING AGREEMENT OR INTEREST ARBITRATION AWARD THAT IS  THE  SUBJECT
OF  THE  IMPASSE  BEFORE  THE  PANEL. FOR THE FIRST YEAR OF THE DETERMI-
NATION, THE PANEL IS REQUIRED TO FURTHER REDUCE THIS TWO PERCENT BY  THE
AMOUNT  OF  ANY  INCREASED  COST THAT THE PUBLIC EMPLOYER WILL INCUR FOR
INSURANCE, MEDICAL, AND HOSPITALIZATION BENEFITS PROVIDED  TO  EMPLOYEES
SUBJECT  TO  THE  PANEL'S  JURISDICTION  THAT  WILL EXCEED A TWO PERCENT
INCREASE IN COST TO THE PUBLIC EMPLOYER TO PROVIDE  INSURANCE,  MEDICAL,
AND HOSPITALIZATION BENEFITS TO EMPLOYEES UNDER THE PANEL'S JURISDICTION
DURING THE FIRST YEAR OF THE DETERMINATION.
  II.  FOR  THE  SECOND  YEAR  OF THE DETERMINATION, THE PANEL SHALL NOT
ISSUE A DETERMINATION THAT MAKES CHANGES TO AND INCREASES  THE  COST  OF
ALL  TERMS  AND CONDITIONS OF EMPLOYMENT BY MORE THAN TWO PERCENT OF THE
AGGREGATE AMOUNT EXPENDED BY THE PUBLIC EMPLOYER ON THE TERMS OF COLLEC-
TIVE BARGAINING AGREEMENTS DIRECTLY  RELATING  TO  COMPENSATION  OF  ALL
EMPLOYEES  SUBJECT TO THE PUBLIC ARBITRATION PANEL'S JURISDICTION IN THE
TWELVE MONTHS IMMEDIATELY PRECEDING THE  EXPIRATION  OF  THE  COLLECTIVE
BARGAINING  AGREEMENT  OR INTEREST ARBITRATION AWARD THAT IS THE SUBJECT
OF THE IMPASSE BEFORE THE PANEL. FOR THE SECOND  YEAR  OF  THE  DETERMI-
NATION,  THE PANEL IS REQUIRED TO FURTHER REDUCE THIS TWO PERCENT BY THE
AMOUNT OF ANY INCREASED COST THAT THE PUBLIC  EMPLOYER  WILL  INCUR  FOR
INSURANCE,  MEDICAL,  AND HOSPITALIZATION BENEFITS PROVIDED TO EMPLOYEES
SUBJECT TO THE PANEL'S JURISDICTION  THAT  WILL  EXCEED  A  TWO  PERCENT
INCREASE  IN  COST TO THE PUBLIC EMPLOYER TO PROVIDE INSURANCE, MEDICAL,
AND HOSPITALIZATION BENEFITS FOR EMPLOYEES UNDER THE  PANEL'S  JURISDIC-
TION DURING THE FIRST YEAR OF THE DETERMINATION. IF THE ACTUAL AMOUNT OF
THE  INCREASED  COST  THAT  A  PUBLIC EMPLOYER WILL INCUR FOR INSURANCE,
MEDICAL, AND HOSPITALIZATION  BENEFITS  FOR  EMPLOYEES  SUBJECT  TO  THE
PANEL'S  JURISDICTION  IN  YEAR  TWO  OF THE DETERMINATION IS KNOWN, THE

S. 2607--A                         92                         A. 3007--A

PUBLIC ARBITRATION PANEL SHALL USE THAT AMOUNT  RATHER  THAN  THE  FIRST
YEAR  AMOUNT  TO CALCULATE ANY REDUCTION. THE DETERMINATION FOR YEAR TWO
WILL BE IN ADDITION TO THE DETERMINATION FOR YEAR ONE.
  III. FOR THE PURPOSES OF DETERMINING THE AMOUNTS AVAILABLE PURSUANT TO
THIS  PARAGRAPH,  "TERMS  OF  COLLECTIVE  BARGAINING AGREEMENTS DIRECTLY
RELATING TO COMPENSATION" INCLUDES,  BUT  IS  NOT  LIMITED  TO,  SALARY,
STIPENDS, LOCATION PAY, INSURANCE, MEDICAL AND HOSPITALIZATION BENEFITS;
AND SHALL NOT APPLY TO NON-COMPENSATORY ISSUES INCLUDING, BUT NOT LIMIT-
ED  TO, JOB SECURITY, DISCIPLINARY PROCEDURES AND ACTIONS, DEPLOYMENT OR
SCHEDULING, OR ISSUES RELATING TO ELIGIBILITY FOR OVERTIME COMPENSATION.
  (F) ADDITIONALLY, WHEN THERE HAS BEEN A FINDING OF FISCAL DISTRESS,  A
PUBLIC  ARBITRATION  PANEL  SHALL  NOT  HAVE THE AUTHORITY TO CREATE NEW
TERMS AND CONDITIONS OF EMPLOYMENT THAT  INCREASE  COSTS  OF  TERMS  AND
CONDITIONS  OF  EMPLOYMENT TO THE FISCALLY DISTRESSED PUBLIC EMPLOYER IF
THE INCREASE IN COSTS WOULD CAUSE THE OVERALL COST OF THE  DETERMINATION
TO  EXCEED THE LIMITATION ON THE PUBLIC ARBITRATION PANEL'S AUTHORITY AS
CONTAINED IN PARAGRAPH (E) OF THIS SUBDIVISION.
  (G) NOTHING HEREIN SHALL REQUIRE A PUBLIC ARBITRATION PANEL,  WHERE  A
FINDING  THAT  A  DISTRESSED  PUBLIC  EMPLOYER IS REQUIRED, TO GRANT ANY
CHANGE IN TERMS AND CONDITIONS OF EMPLOYMENT UNLESS OTHERWISE  WARRANTED
AFTER TAKING INTO CONSIDERATION ALL OTHER RELEVANT AND REQUIRED FACTORS.
  (H)  NOTHING  HEREIN SHALL REQUIRE A PUBLIC ARBITRATION PANEL, WHERE A
FINDING THAT A DISTRESSED PUBLIC EMPLOYER IS NOT REQUIRED, TO GRANT  ANY
CHANGE  IN TERMS AND CONDITIONS OF EMPLOYMENT UNLESS OTHERWISE WARRANTED
AFTER TAKING INTO CONSIDERATION ALL OTHER RELEVANT AND REQUIRED FACTORS.
  (I) THE PROVISIONS OF THIS SUBDIVISION SHALL EXPIRE  FOUR  YEARS  FROM
JULY FIRST, TWO THOUSAND THIRTEEN.
  S 3. This act shall take effect immediately and shall be effective for
all  collective  bargaining  agreements  and interest arbitration awards
that expire on or after April 1, 2013.

                                 PART R

Section 1. The racing, pari-mutuel wagering and breeding law is  amended
by adding a new article 13 to read as follows:
                               ARTICLE 13
                        PHASE ONE CASINO GAMBLING
SECTION 1301. STATEMENT OF PURPOSE.
        1302. PHASE ONE CASINO GAMBLING FACILITIES.
        1303. CASINO GAMBLING REGULATION.
        1304. CASINO GAMBLING REVENUE.
        1305. GAMING REGULATORY STUDY.
        1306. CASINO REQUEST FOR INFORMATION.
  S  1301.  STATEMENT  OF PURPOSE. IN ORDER TO REVITALIZE THE ECONOMY OF
UPSTATE NEW YORK, BY INCREASING TOURISM  AND  JOBS  THROUGH  DESTINATION
RESORTS  IN  UPSTATE  NEW YORK, AND TO PROVIDE REVENUE TO FUND EDUCATION
AND REDUCE PROPERTY TAXES, THE STATE HEREBY LEGALIZES CASINO GAMBLING AS
REGULATED BY THE STATE GAMING COMMISSION.
  S 1302. PHASE ONE CASINO GAMBLING FACILITIES. 1. THE LEGISLATURE SHALL
AUTHORIZE UP TO THREE CASINOS SUBJECT TO THE  REGULATION  OF  THE  STATE
GAMING COMMISSION.
  2. THE THREE CASINOS AUTHORIZED BY THE LEGISLATURE CANNOT BE LOCATED:
  (A) IN THE CITY OF NEW YORK; AND
  (B)  IN  THE  COUNTIES OF NASSAU, PUTNAM, ROCKLAND, SUFFOLK, AND WEST-
CHESTER.

S. 2607--A                         93                         A. 3007--A

  S 1303. CASINO GAMBLING REGULATION. 1. THERE IS HEREBY CREATED IN  THE
GAMING  COMMISSION  A SEPARATE OFFICE OF CASINO GAMBLING REGULATION. THE
OFFICE SHALL REGULATE CASINO GAMBLING FACILITIES AUTHORIZED PURSUANT  TO
SECTION NINE OF ARTICLE ONE OF THE STATE CONSTITUTION.
  2.  UTILIZING  ITS BEST INDEPENDENT AND UNBIASED JUDGMENT AS PART OF A
COMPETITIVE PROCESS, THE GAMING COMMISSION SHALL  SELECT  THE  LOCATIONS
AND THE OPERATORS OF THE CASINO FACILITIES AUTHORIZED BY THIS ARTICLE.
  3.  NO  CASINO  LOCATION  AND  OPERATOR  MAY BE SELECTED BY THE GAMING
COMMISSION UNLESS THAT LOCATION AND OPERATOR  HAVE  SIGNIFICANT  SUPPORT
FROM  BOTH  THE  LOCAL  GOVERNMENT  AND THE LOCAL COMMUNITY IN WHICH THE
CASINO IS TO BE LOCATED.
  S 1304. CASINO GAMBLING REVENUE. REVENUE DERIVED BY THE STATE FROM THE
GROSS GAMING REVENUE OF THE CASINO FACILITIES AUTHORIZED BY THIS ARTICLE
SHALL BE ALLOCATED TO A CASINO REVENUE FUND AUTHORIZED PURSUANT  TO  THE
STATE FINANCE LAW AND DISTRIBUTED AS FOLLOWS:
  1. 90% FOR ELEMENTARY AND SECONDARY EDUCATION; AND
  2. 10% FOR LOCAL GOVERNMENT PROPERTY TAX RELIEF.
  S  1305.  GAMING  REGULATORY  STUDY. 1. THE STATE GAMING COMMISSION IS
HEREBY DIRECTED TO CONDUCT  A  COMPREHENSIVE  STUDY  OF  EXISTING  LEGAL
FRAMEWORKS  GOVERNING  THE  LICENSING AND REGULATION OF CASINO GAMBLING.
SUCH STUDY SHALL INCLUDE A REVIEW OF VARIOUS  SYSTEMS  OF  GAMING  REGU-
LATION AND THE EFFECTIVENESS OF THOSE SYSTEMS. SUCH STUDY SHALL CONSIDER
THE METHODS AND MANNERS OF LICENSING OF:  FACILITIES; ENTERPRISES UNDER-
TAKING  DIRECT AND INDIRECT BUSINESS WITH SUCH FACILITIES; AND PERSONNEL
DIRECTLY AND INDIRECTLY EMPLOYED BY SUCH FACILITIES AND ENTERPRISES.
  2. THE COMMISSION SHALL ALSO STUDY THE APPROPRIATE RATES  OF  TAXATION
OF  SUCH GAMING ACTIVITIES AND PROVIDE RECOMMENDATIONS ON CLARIFYING AND
HARMONIZING INCONSISTENT METHODS OF TREATMENT OF VARIOUS FORMS OF GAMING
AUTHORIZED IN THE STATE AND THE PARTICIPANTS WITHIN,  IDENTIFYING  CASES
WHERE THE DISPARITY SERVES A COMPELLING STATE INTEREST.
  3.  THE  COMMISSION  SHALL ALSO STUDY THE LEVELS OF CAPITAL INVESTMENT
THAT MIGHT BE  APPROPRIATE  TO  LOCATE  DESTINATION  CASINO  RESORTS  IN
UPSTATE NEW YORK.
  4.  THE  COMMISSION  SHALL CONSULT WITH THE REGIONAL ECONOMIC DEVELOP-
MENTS COUNCILS IN PREPARING THE STUDY REQUIRED BY THIS SECTION.
  5. THE COMMISSION SHALL SUBMIT TO THE GOVERNOR, SPEAKER OF THE  ASSEM-
BLY  AND  TEMPORARY PRESIDENT OF THE SENATE, NO LATER THAN THE FIFTEENTH
DAY OF MAY, TWO THOUSAND THIRTEEN, A WRITTEN  REPORT  ON  ITS  FINDINGS,
CONCLUSIONS  AND  RECOMMENDATIONS FOR PROPOSED CHANGES TO STATE LAWS AND
REGULATIONS NECESSARY TO PROVIDE FOR THE  LICENSING  AND  REGULATION  OF
CASINO GAMBLING IN NEW YORK STATE.
  S  1306.  CASINO  REQUEST FOR INFORMATION. THE STATE GAMING COMMISSION
SHALL ISSUE A REQUEST FOR INFORMATION  FOR  THE  PURPOSE  OF  SOLICITING
INTEREST  FROM  ENTITIES  SEEKING  AN  AWARD OF A LICENSE TO DEVELOP AND
OPERATE ONE OF THE THREE INITIAL CASINO FACILITIES  AUTHORIZED  BY  THIS
ARTICLE.  THE  REQUEST  SHOULD  SEEK  INFORMATION  FROM POTENTIAL GAMING
FACILITY OPERATORS THAT WILL ASSIST IN MAKING INFORMED  DECISIONS  ABOUT
EXPANDED  REGULATED  PRIVATE  SECTOR  GAMING.  ADDITIONALLY, THE REQUEST
SHOULD ASSIST THE COMMISSION IN DETERMINING THE RANGE OF POSSIBLE DEVEL-
OPMENT AVAILABLE IN THE MARKET AND HELP IDENTIFY  AND  ASSESS  POTENTIAL
GAMING  SERVICE  PROVIDER  INTEREST. POTENTIAL GAMING FACILITY OPERATORS
THAT RESPOND TO REQUESTS SHALL DEMONSTRATE  THAT  THERE  IS  SIGNIFICANT
SUPPORT  FOR  THE  CASINO  FACILITY  FROM THE LOCAL GOVERNMENT COMMUNITY
WHERE THE FACILITY IS PROPOSED TO BE LOCATED.
  S 2. The state finance law is amended by adding a new section 92-a  to
read as follows:

S. 2607--A                         94                         A. 3007--A

  S  92-A.  CASINO  REVENUE  FUND. 1. THERE IS HEREBY ESTABLISHED IN THE
JOINT CUSTODY OF THE COMPTROLLER AND THE COMMISSIONER  OF  TAXATION  AND
FINANCE A SPECIAL FUND TO BE KNOWN AS THE CASINO REVENUE FUND.
  2.  SUCH  FUND SHALL CONSIST OF THE STATE CASINO REVENUES DERIVED FROM
STATE TAXATION OF THE GROSS GAMING REVENUE OF LICENSED CASINOS, AND  ALL
OTHER  MONEYS  CREDITED  OR  TRANSFERRED  THERETO FROM ANY OTHER FUND OR
SOURCE PURSUANT TO LAW.
  3. NINETY PERCENT OF THE MONEYS IN SUCH FUND SHALL BE APPROPRIATED  OR
TRANSFERRED ONLY FOR ELEMENTARY AND SECONDARY EDUCATION.
  4.  NOTWITHSTANDING  ANY  PROVISION  OF  LAW  TO THE CONTRARY, AMOUNTS
APPROPRIATED OR TRANSFERRED FROM THE CASINO REVENUE FUND  SHALL  NOT  BE
INCLUDED  IN: (I) THE ALLOWABLE GROWTH AMOUNT COMPUTED PURSUANT TO PARA-
GRAPH (DD) OF SUBDIVISION ONE OF SECTION THIRTY-SIX HUNDRED TWO  OF  THE
EDUCATION  LAW,  (II) THE PRELIMINARY GROWTH AMOUNT COMPUTED PURSUANT TO
PARAGRAPH (FF) OF SUBDIVISION ONE OF SECTION THIRTY-SIX HUNDRED  TWO  OF
THE EDUCATION LAW, AND (III) THE ALLOCABLE GROWTH AMOUNT COMPUTED PURSU-
ANT  TO  PARAGRAPH (GG) OF SUBDIVISION ONE OF SECTION THIRTY-SIX HUNDRED
TWO OF THE EDUCATION LAW.
  5. ALL PAYMENTS OF MONEYS FROM THE CASINO REVENUE FUND SHALL  BE  MADE
ON THE AUDIT AND WARRANT OF THE STATE COMPTROLLER.
  S 3. This act shall take effect immediately.
  S 2. Severability clause. If any clause, sentence, paragraph, subdivi-
sion,  section  or  part  of  this act shall be adjudged by any court of
competent jurisdiction to be invalid, such judgment  shall  not  affect,
impair,  or  invalidate  the remainder thereof, but shall be confined in
its operation to the clause, sentence, paragraph,  subdivision,  section
or part thereof directly involved in the controversy in which such judg-
ment shall have been rendered. It is hereby declared to be the intent of
the  legislature  that  this  act  would  have been enacted even if such
invalid provisions had not been included herein.
  S 3. This act shall take effect immediately  provided,  however,  that
the  applicable effective date of Parts A through R of this act shall be
as specifically set forth in the last section of such Parts.

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

    S. 2607--B                                            A. 3007--B

                      S E N A T E - A S S E M B L Y

                            January 22, 2013
                               ___________

IN  SENATE -- A BUDGET BILL, submitted by the Governor pursuant to arti-
  cle seven of the Constitution -- read twice and ordered  printed,  and
  when  printed to be committed to the Committee on Finance -- committee
  discharged, bill amended, ordered reprinted as amended and recommitted
  to said committee  --  committee  discharged,  bill  amended,  ordered
  reprinted as amended and recommitted to said committee

IN  ASSEMBLY  --  A  BUDGET  BILL, submitted by the Governor pursuant to
  article seven of the Constitution -- read once  and  referred  to  the
  Committee  on  Ways  and  Means -- committee discharged, bill amended,
  ordered reprinted as amended and  recommitted  to  said  committee  --
  again  reported from said committee with amendments, ordered reprinted
  as amended and recommitted to said committee

AN ACT in relation to school district eligibility  for  an  increase  in
  apportionment  of  school  aid  and  implementation  of  standards for
  conducting annual professional performance reviews to determine teach-
  er and  principal  effectiveness;  to  amend  the  education  law,  in
  relation to contracts for excellence, expenses for computer equipment,
  accountability  of school districts, the financing of charter schools,
  annual professional performance review plans, apportionment of  school
  aid, calculation of the gap elimination restoration amount, establish-
  ment  of a community schools and extended learning time grant program,
  duties of school districts and the costs of  certain  tuition  mainte-
  nance  and  transportation;  to  amend chapter 756 of the laws of 1992
  relating to funding a program for work force  education  conducted  by
  the  consortium  for worker education in New York city, in relation to
  apportionment and reimbursement; and  in  relation  to  extending  the
  expiration  of certain provisions; to amend chapter 169 of the laws of
  1994 relating to certain provisions related to the 1994-95 state oper-
  ations, aid to localities, capital projects and debt service  budgets;
  to  amend  chapter  82 of the laws of 1995, amending the education law
  and certain other laws relating to state aid to school  districts  and
  the  appropriation  of  funds  for the support of government; to amend
  chapter 147 of the laws of 2001 amending the education law relating to
  conditional appointment of school district, charter  school  or  BOCES
  employees;  to  amend  chapter  425  of  the laws of 2002 amending the
  education law relating to the provision  of  supplemental  educational

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
              

                      [ ] is old law to be omitted.
                                                           LBD12572-04-3

S. 2607--B                          2                         A. 3007--B

  services,  attendance  at  a  safe public school and the suspension of
  pupils who bring a firearm to or possess a firearm  at  a  school,  to
  amend  chapter  101  of  the  laws  of 2003 amending the education law
  relating to implementation of the No Child Left Behind Act of 2001, in
  relation  to  extending  the  expiration of certain provisions of such
  chapters; to amend chapter 472 of the laws of 1998 amending the educa-
  tion law relating to the lease of school buses by school districts, in
  relation to extending the provisions of such chapter; in  relation  to
  school  bus  driver  training;  in  relation  to the support of public
  libraries; to provide special apportionment for  salary  expenses;  to
  provide special apportionment for public pension expenses; in relation
  to suballocation of certain education department accruals; in relation
  to  purchases  by the city school district of Rochester; and providing
  for the repeal of certain provisions relating to the suballocation  of
  certain education department accruals (Part A); to amend the education
  law  and  the  public authorities law, in relation to the acquisition,
  design, construction, reconstruction, rehabilitation, improvement  and
  financing of dormitory facilities for the state university of New York
  (Part  B);  to amend chapter 57 of the laws of 2005 amending the labor
  law and  other  laws  implementing  the  state  fiscal  plan  for  the
  2005-2006  state  fiscal  year,  relating to the New York state higher
  education capital matching grant program for independent colleges,  in
  relation to the New York state higher education matching grant program
  for  independent  colleges  and the effectiveness thereof (Part C); to
  amend the education law, in relation to establishing the  Next  Gener-
  ation  NY  Job  Linkage  Program  Act  (Part  D);  to amend the social
  services law, in relation to increasing the standards of monthly  need
  for aged, blind and disabled persons living in the community (Part E);
  to  amend the private housing finance law, in relation to the homeless
  housing and assistance program; and to repeal  certain  provisions  of
  the social services law relating thereto (Part F); to amend the execu-
  tive law and the social services law, in relation to consolidating the
  youth  development  and delinquency prevention program and the special
  delinquency prevention program; and to repeal  certain  provisions  of
  the  executive  law  relating thereto (Part G); to amend the executive
  law, the family court act, and the social services law, in relation to
  juvenile justice reforms; and to  repeal  certain  provisions  of  the
  executive  law  and the family court act relating thereto (Subpart A);
  to amend the executive law, in relation to allowing the department  of
  civil  service, in consultation with the commissioner of the office of
  children and family services, to prescribe qualifications of  facility
  director  positions  (Subpart B) (Part H); to amend the executive law,
  the public health law and the social services law, in relation to  the
  merger  of the office of the welfare inspector general with the office
  of the inspector general; and to  repeal  certain  provisions  of  the
  executive  law  relating  thereto (Part I); to amend the real property
  tax law, in relation to providing for the registration  of  recipients
  of STAR exemptions, and eliminating waste, fraud and abuse in the STAR
  program  (Part  J);  to  amend  the  private  housing  finance law, in
  relation to the community preservation program; and to repeal articles
  16 and 17 of such law relating thereto (Part K); to amend  the  public
  authorities  law  and  the private housing finance law, in relation to
  modernizing the investment powers of the state of  New  York  mortgage
  agency  and  the  New York state housing finance agency; and to repeal
  certain provisions of the public authorities law and the private hous-
  ing finance law relating thereto (Part L); to utilize reserves in  the

S. 2607--B                          3                         A. 3007--B

  project  pool  insurance  account  of  the mortgage insurance fund for
  various housing purposes (Part M); to amend the labor law, in relation
  to the powers of the commissioner of labor and to  repeal  subdivision
  17  of  section  100  of  the economic development law relating to the
  operation of the state data center (Part N); to amend the  labor  law,
  in relation to increasing unemployment insurance benefits and contrib-
  utions,  to  entitlement  and  eligibility  criteria,  to  work search
  requirements, to relieving employers of charges for separations caused
  by misconduct and voluntarily leaving employment without  good  cause,
  to  reduction  of  benefits  based  on  pensions and dismissal pay, to
  enhanced penalties, in relation to fraudulently obtained benefits  and
  new penalties for employers who cause overpayments by failing to time-
  ly  and  accurately  respond to information about claims, to approving
  employer shared work benefit plans, and  to  the  interest  assessment
  surcharge;  and  to amend chapter 62 of the laws of 2003, amending the
  state finance law and other laws relating to authorizing and directing
  the state comptroller to loan money to certain funds and accounts,  in
  relation to the effectiveness thereof; to repeal certain provisions of
  the  labor  law  relating  thereto;  and  providing  for the repeal of
  certain provisions upon expiration thereof  (Part  O);  to  amend  the
  labor  law,  in  relation  to  the  minimum  wage and making technical
  corrections relating thereto (Part P); to amend the civil service law,
  in relation to the expiration of  paragraph  d  of  subdivision  4  of
  section  209  of  such  law  and the authority of certain public arbi-
  tration panels thereunder (Part Q); and to amend the racing,  pari-mu-
  tuel wagering and breeding law, in relation to the placement of casino
  gambling facilities and to amend the state finance law, in relation to
  establishing the casino revenue fund (Part R)

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

  Section 1. This act enacts into law major  components  of  legislation
which are necessary to implement the state fiscal plan for the 2013-2014
state  fiscal  year.  Each  component  is wholly contained within a Part
identified as Parts A through R. The effective date for each  particular
provision contained within such Part is set forth in the last section of
such Part. Any provision in any section contained within a Part, includ-
ing the effective date of the Part, which makes a reference to a section
"of  this  act", when used in connection with that particular component,
shall be deemed to mean and refer to the corresponding  section  of  the
Part  in  which  it  is  found. Section three of this act sets forth the
general effective date of this act.

                                 PART A

  Section 1.  1. As used in this section:
  a. "APPR past non-compliance penalty" shall mean the sum of the annual
increases in apportionments withheld pursuant to section 1 of part A  of
chapter 57 of the laws of 2012 and subdivision 2 of this section for the
base year and each prior school year;
  b.  "base  year" shall mean the base year as defined in paragraph b of
subdivision 1 of section 3602 of the education law; and
  c. "current year" shall mean the current year as defined in  paragraph
a of subdivision 1 of section 3602 of the education law.

S. 2607--B                          4                         A. 3007--B

  2.  Notwithstanding  any  inconsistent  provision  of  law,  no school
district shall be eligible for an apportionment of general  support  for
public  schools  from the funds appropriated for the 2013-14 school year
and thereafter in excess  of  the  amount  apportioned  to  such  school
district  in  the  base  year  unless such school district has submitted
documentation that has been approved by the commissioner of education by
September 1 of the current year, demonstrating that it has fully  imple-
mented  the  standards and procedures for conducting annual professional
performance reviews of classroom teachers  and  building  principals  in
accordance  with the requirements of section 3012-c of the education law
and the commissioner of education's regulations.
  3. For the 2013-14 school year and  thereafter  the  apportionment  of
general  support  for public schools from the funds appropriated for the
2013-14 school year and thereafter shall be reduced  by  the  APPR  past
non-compliance  penalty. Such reduction shall not occur prior to April 1
of the current year.
  4. If any payments of ineligible amounts pursuant  to  subdivisions  2
and 3 of this section were made, and the school district has not submit-
ted  documentation  that has been approved by the commissioner of educa-
tion by September 1 of the current school year demonstrating that it has
fully implemented the standards and  procedures  for  conducting  annual
professional  performance  reviews  of  classroom  teachers and building
principals in accordance with the requirements of section 3012-c of  the
education  law and the regulations of the commissioner of education, the
total amount of such payments shall be deducted by the  commissioner  of
education  from future payments to the school district; provided further
that, if the amount of the deduction is greater  than  the  sum  of  the
amounts available for such deductions in the applicable school year, the
remainder  of the deduction shall be withheld from payments scheduled to
be made to the school district pursuant to section 3609-a of the  educa-
tion law for the subsequent school year.
  S  2.  Paragraph  e of subdivision 1 of section 211-d of the education
law, as amended by section 2 of part A of chapter  57  of  the  laws  of
2012, is amended to read as follows:
  e.  Notwithstanding  paragraphs  a and b of this subdivision, a school
district that submitted a contract for excellence for the  two  thousand
eight--two  thousand nine school year shall submit a contract for excel-
lence for the  two  thousand  nine--two  thousand  ten  school  year  in
conformity  with the requirements of subparagraph (vi) of paragraph a of
subdivision two of this section unless all schools in the  district  are
identified  as  in  good  standing  and  provided further that, a school
district that submitted a contract for excellence for the  two  thousand
nine--two  thousand  ten school year, unless all schools in the district
are identified as in good standing, shall submit a contract  for  excel-
lence for the two thousand eleven--two thousand twelve school year which
shall,  notwithstanding  the  requirements of subparagraph (vi) of para-
graph a of subdivision two of this section, provide for the  expenditure
of  an  amount  which  shall  be not less than the product of the amount
approved by the commissioner in the contract for excellence for the  two
thousand   nine--two   thousand  ten  school  year,  multiplied  by  the
district's gap elimination adjustment percentage  and  provided  further
that, a school district that submitted a contract for excellence for the
two thousand eleven--two thousand twelve school year, unless all schools
in  the  district  are  identified  as  in good standing, shall submit a
contract for excellence for the two thousand twelve--two thousand  thir-
teen  school  year  which  shall,  notwithstanding  the  requirements of

S. 2607--B                          5                         A. 3007--B

subparagraph (vi) of paragraph a of subdivision  two  of  this  section,
provide  for  the  expenditure of an amount which shall be not less than
the amount approved by the commissioner in the contract  for  excellence
for  the  two  thousand  eleven--two  thousand  twelve  school  year AND
PROVIDED FURTHER THAT, A SCHOOL DISTRICT THAT SUBMITTED A  CONTRACT  FOR
EXCELLENCE  FOR  THE  TWO  THOUSAND TWELVE--TWO THOUSAND THIRTEEN SCHOOL
YEAR, UNLESS ALL SCHOOLS IN THE  DISTRICT  ARE  IDENTIFIED  AS  IN  GOOD
STANDING,  SHALL  SUBMIT  A CONTRACT FOR EXCELLENCE FOR THE TWO THOUSAND
THIRTEEN--TWO THOUSAND FOURTEEN SCHOOL YEAR WHICH SHALL, NOTWITHSTANDING
THE REQUIREMENTS OF SUBPARAGRAPH (VI) OF PARAGRAPH A OF SUBDIVISION  TWO
OF THIS SECTION, PROVIDE FOR THE EXPENDITURE OF AN AMOUNT WHICH SHALL BE
NOT  LESS  THAN  THE AMOUNT APPROVED BY THE COMMISSIONER IN THE CONTRACT
FOR EXCELLENCE FOR THE TWO THOUSAND TWELVE--TWO THOUSAND THIRTEEN SCHOOL
YEAR.  For purposes of this paragraph, the "gap  elimination  adjustment
percentage"  shall be calculated as the sum of one minus the quotient of
the sum of the school district's net gap elimination adjustment for  two
thousand  ten--two  thousand  eleven computed pursuant to chapter fifty-
three of the laws of two thousand ten,  making  appropriations  for  the
support  of  government,  plus  the  school  district's  gap elimination
adjustment for two thousand  eleven--two  thousand  twelve  as  computed
pursuant  to  chapter  fifty-three  of  the laws of two thousand eleven,
making appropriations for the support of the  local  assistance  budget,
including support for general support for public schools, divided by the
total aid for adjustment computed pursuant to chapter fifty-three of the
laws of two thousand eleven, making appropriations for the local assist-
ance  budget,  including support for general support for public schools.
Provided, further, that such amount shall be  expended  to  support  and
maintain  allowable programs and activities approved in the two thousand
nine--two thousand ten school year or to support new or expanded  allow-
able programs and activities in the current year.
  S  3. Subdivision 1 of section 753 of the education law, as amended by
section 4 of part A-1 of chapter 58 of the laws of 2011, is  amended  to
read as follows:
  1. In addition to any other apportionment under this chapter, a school
district  shall be eligible for an apportionment under the provisions of
this section for approved expenses for (i)  the  purchase  or  lease  of
micro  and/or  mini  computer  equipment  or terminals for instructional
purposes or (ii) technology equipment, as  defined  in  paragraph  c  of
subdivision  two  of  this  section, used for instructional purposes, or
(iii) for the repair of such equipment and training and  staff  develop-
ment  for  instructional  purposes  as provided hereinafter, or (iv) for
expenses incurred on or after July first, two thousand eleven, any items
of expenditure that  are  eligible  for  an  apportionment  pursuant  to
sections  seven  hundred  one, seven hundred eleven and/or seven hundred
fifty-one of this title, where such items are designated by  the  school
district  as eligible for aid pursuant to this section, provided, howev-
er, that if aided pursuant to this section, such expenses shall  not  be
aidable pursuant to any other section of law. Such aid shall be provided
pursuant  to  a plan developed by the district which demonstrates to the
satisfaction of the commissioner that the instructional  computer  hard-
ware needs of the district's public school students have been adequately
met  and  that the school district has provided for the loan of instruc-
tional computer hardware to students legally attending nonpublic schools
pursuant to section seven hundred  fifty-four  of  this  article.    The
apportionment  shall  equal  the  lesser of such approved expense in the
base year or, the product of (i) the technology factor, (ii) the sum  of

S. 2607--B                          6                         A. 3007--B

the  public  school district enrollment and the nonpublic school enroll-
ment in the base year as defined in subparagraphs two and three of para-
graph n of subdivision one of section thirty-six  hundred  two  of  this
chapter,  and  (iii)  the  building aid ratio, as defined in subdivision
four of section thirty-six hundred two of this  chapter.    AID  PAYABLE
PURSUANT TO THIS SECTION SHALL BE DEEMED FINAL AND NOT SUBJECT TO CHANGE
AFTER  APRIL THIRTIETH OF THE SCHOOL YEAR FOR WHICH PAYMENT WAS DUE. For
aid payable in the two thousand seven--two thousand  eight  school  year
and  thereafter,  the technology factor shall be twenty-four dollars and
twenty cents. A school district may use up  to  twenty  percent  of  the
product  of (i) the technology factor, (ii) the sum of the public school
district enrollment and the nonpublic school enrollment in the base year
as defined in subparagraphs two and three of paragraph n of  subdivision
one  of  section  thirty-six  hundred two of this chapter, and (iii) the
building aid ratio for the repair of instructional computer hardware and
technology equipment and training and  staff  development  for  instruc-
tional purposes pursuant to a plan submitted to the commissioner.
  S 4. Subdivision 2 of section 2116-b of the education law, as added by
chapter 263 of the laws of 2005, is amended to read as follows:
  2. School districts of less than eight teachers, school districts with
actual general fund expenditures totaling less than five million dollars
in  the previous school year, or school districts with actual enrollment
of less than [three hundred]  ONE  THOUSAND  students  in  the  previous
school  year  shall be exempt from this requirement. Any school district
claiming such exemption shall annually certify to the commissioner  that
such  school  district meets the requirements set forth in this subdivi-
sion.
  S 5. Paragraph (a) of subdivision 1 of section 2856 of  the  education
law,  as  amended  by  section 21 of part A of chapter 58 of the laws of
2011, is amended to read as follows:
  (a) The enrollment of students  attending  charter  schools  shall  be
included  in  the enrollment, attendance, membership and, if applicable,
count of students with disabilities of the school district in which  the
pupil  resides.  The  charter  school  shall report all such data to the
school districts of residence in a timely manner. Each  school  district
shall  report  such  enrollment,  attendance  and count of students with
disabilities to the department. The school district of  residence  shall
pay  directly  to  the  charter  school for each student enrolled in the
charter school who resides in the school  district  the  charter  school
basic tuition, which shall be:
  (i)  for school years prior to the two thousand nine--two thousand ten
school year and for school years following the [two thousand twelve--two
thousand thirteen] TWO THOUSAND THIRTEEN--TWO THOUSAND  FOURTEEN  school
year,  an  amount  equal to one hundred percent of the amount calculated
pursuant to paragraph f of subdivision one of section thirty-six hundred
two of this chapter for the school district for the year  prior  to  the
base year increased by the percentage change in the state total approved
operating  expense calculated pursuant to paragraph t of subdivision one
of section thirty-six hundred two of this chapter from two  years  prior
to the base year to the base year;
  (ii)  for  the  two  thousand  nine--two thousand ten school year, the
charter school basic  tuition  shall  be  the  amount  payable  by  such
district as charter school basic tuition for the two thousand eight--two
thousand nine school year;
  (iii) for the two thousand ten--two thousand eleven through [two thou-
sand  twelve--two thousand thirteen] TWO THOUSAND THIRTEEN--TWO THOUSAND

S. 2607--B                          7                         A. 3007--B

FOURTEEN school years, the charter school basic  tuition  shall  be  the
basic  tuition  computed  for  the two thousand ten--two thousand eleven
school year pursuant to the provisions of subparagraph (i) of this para-
graph.
  S  6.  Paragraph (a) of subdivision 1 of section 2856 of the education
law, as amended by section 22 of part A of chapter 58  of  the  laws  of
2011, is amended to read as follows:
  (a)  The  enrollment  of  students  attending charter schools shall be
included in the enrollment, attendance  and,  if  applicable,  count  of
students  with  disabilities  of  the school district in which the pupil
resides. The charter school shall report all such  data  to  the  school
districts  of  residence  in a timely manner. Each school district shall
report such enrollment, attendance and count of students with  disabili-
ties  to  the  department.  The  school  district of residence shall pay
directly to the charter school for each student enrolled in the  charter
school  who  resides  in  the  school  district the charter school basic
tuition which shall be:
  (i) for school years prior to the two thousand nine--two thousand  ten
school year and for school years following the [two thousand twelve--two
thousand  thirteen]  TWO THOUSAND THIRTEEN--TWO THOUSAND FOURTEEN school
year, an amount equal to one hundred percent of  the  amount  calculated
pursuant to paragraph f of subdivision one of section thirty-six hundred
two  of  this  chapter for the school district for the year prior to the
base year increased by the percentage change in the state total approved
operating expense calculated pursuant to paragraph t of subdivision  one
of  section  thirty-six hundred two of this chapter from two years prior
to the base year to the base year;
  (ii) for the two thousand nine--two  thousand  ten  school  year,  the
charter  school  basic  tuition  shall  be  the  amount  payable by such
district as charter school basic tuition for the two thousand eight--two
thousand nine school year;
  (iii) for the two thousand ten--two thousand eleven through [two thou-
sand twelve--two thousand thirteen] TWO THOUSAND THIRTEEN--TWO  THOUSAND
FOURTEEN  school  years,  the  charter school basic tuition shall be the
basic tuition computed for the two  thousand  ten--two  thousand  eleven
school year pursuant to the provisions of subparagraph (i) of this para-
graph.
  S  7.  Subdivision 2 of section 3012-c of the education law is amended
by adding a new paragraph l to read as follows:
  L. (1) NOTWITHSTANDING ANY PROVISION OF LAW, RULE OR REGULATION TO THE
CONTRARY, IF A SCHOOL DISTRICT IN  A  CITY  WITH  A  POPULATION  OF  ONE
MILLION  OR MORE DOES NOT HAVE AN ANNUAL PROFESSIONAL PERFORMANCE REVIEW
PLAN APPROVED BY THE COMMISSIONER OR DETERMINED PURSUANT TO  THIS  PARA-
GRAPH  IN PLACE ON OR BEFORE THE WEDNESDAY FOLLOWING THE FIRST FRIDAY IN
MAY, SUCH SCHOOL DISTRICT AND THE COLLECTIVE BARGAINING  REPRESENTATIVES
REPRESENTING  CLASSROOM  TEACHERS  OR  BUILDING  PRINCIPALS SHALL SUBMIT
WRITTEN EXPLANATIONS OF THEIR RESPECTIVE POSITIONS REGARDING SUCH ISSUES
TO THE COMMISSIONER BY SUCH DATE.
  (2) IF SUCH SCHOOL DISTRICT  DOES  NOT  HAVE  AN  ANNUAL  PROFESSIONAL
PERFORMANCE  REVIEW  PLAN  APPROVED  BY  THE  COMMISSIONER OR DETERMINED
PURSUANT TO THIS PARAGRAPH IN PLACE ON OR BEFORE THE WEDNESDAY PRECEDING
THE LAST FRIDAY IN MAY, THE COMMISSIONER SHALL  ARBITRATE  SUCH  DISPUTE
AND  SHALL  HOLD  NO MORE THAN TWO DAYS OF HEARINGS ON THE STANDARDS AND
PROCEDURES NECESSARY TO IMPLEMENT  AN  ANNUAL  PROFESSIONAL  PERFORMANCE
REVIEW PLAN PURSUANT TO THIS SECTION. THE PARTIES MAY BE HEARD EITHER IN
PERSON,  BY  COUNSEL,  OR BY SUCH REPRESENTATIVES AS THEY MAY DESIGNATE.

S. 2607--B                          8                         A. 3007--B

THE PARTIES MAY PRESENT, ORALLY  OR  IN  WRITING,  STATEMENTS  OF  FACT,
SUPPORTING WITNESSES AND OTHER EVIDENCE, AND ARGUMENTS. THE COMMISSIONER
MAY  REQUIRE THE PRODUCTION OF SUCH ADDITIONAL EVIDENCE FROM THE PARTIES
AND  SHALL  PROVIDE,  AT  THE  REQUEST  OF EITHER PARTY, THAT A FULL AND
COMPLETE RECORD BE KEPT OF ANY SUCH HEARINGS, THE COST OF SUCH RECORD TO
BE SHARED EQUALLY BY THE PARTIES.
  (3) NOTWITHSTANDING ANY OTHER PROVISION OF LAW, RULE OR REGULATION  TO
THE  CONTRARY, AFTER SUCH HEARING, THE COMMISSIONER SHALL RENDER A FINAL
AND BINDING WRITTEN DETERMINATION ON OR BEFORE JUNE  FIRST,  PRESCRIBING
SUCH  STANDARDS  AND PROCEDURES NECESSARY TO IMPLEMENT AN ANNUAL PROFES-
SIONAL PERFORMANCE REVIEW PLAN PURSUANT TO THIS  SECTION  EFFECTIVE  FOR
THE FOLLOWING SCHOOL YEAR FOR A TERM TO BE DETERMINED BY THE COMMISSION-
ER.    SUCH  DETERMINATION  SHALL BE LIMITED TO THE REQUIREMENTS OF THIS
SECTION.  THE COMMISSIONER SHALL SPECIFY IN HIS OR HER DETERMINATION THE
BASIS FOR HIS OR HER FINDINGS, TAKING INTO  CONSIDERATION  ALL  RELEVANT
FACTORS,  INCLUDING  THE  BEST  INTEREST OF STUDENTS. SUCH DETERMINATION
SHALL BE DEEMED TO CONSTITUTE THE SUBMISSION BY SUCH SCHOOL DISTRICT  OF
DOCUMENTATION  DEMONSTRATING THAT IT HAS FULLY IMPLEMENTED THE STANDARDS
AND PROCEDURES FOR CONDUCTING ANNUAL PROFESSIONAL PERFORMANCE REVIEWS OF
CLASSROOM TEACHERS  AND  BUILDING  PRINCIPALS  IN  ACCORDANCE  WITH  THE
REQUIREMENTS   OF  THIS  SECTION  AND  FINAL  APPROVAL  OF  SUCH  SCHOOL
DISTRICT'S ANNUAL PROFESSIONAL PERFORMANCE  REVIEW  PLAN  IN  ACCORDANCE
WITH PARAGRAPH K OF THIS SUBDIVISION.
  (4)  NO LATER THAN TEN DAYS AFTER RECEIPT OF THE COMMISSIONER'S DETER-
MINATION, THE PARTIES MAY MAKE AN APPLICATION  TO  THE  NEW  YORK  STATE
SUPREME  COURT TO VACATE OR MODIFY THE DETERMINATION OF THE COMMISSIONER
PURSUANT TO SECTION SEVENTY-FIVE HUNDRED ELEVEN OF  THE  CIVIL  PRACTICE
LAW  AND  RULES.  THE COURT'S REVIEW SHALL BE LIMITED TO THE GROUNDS SET
FORTH IN SUCH SECTION. THE COMMISSIONER'S DETERMINATION SHALL BE  DEEMED
TO  BE  FINAL  FOR  THE PURPOSE OF SUCH PROCEEDING. IN NO CASE SHALL THE
FILING OR THE PENDENCY OF AN APPEAL  DELAY  THE  IMPLEMENTATION  OF  THE
COMMISSIONER'S DETERMINATION.
  S  8.  The closing paragraph of subdivision 5-a of section 3602 of the
education law, as amended by section 27 of part A of chapter 58  of  the
laws of 2011, is amended to read as follows:
  For the two thousand eight--two thousand nine school year, each school
district  shall  be entitled to an apportionment equal to the product of
fifteen percent and the additional apportionment  computed  pursuant  to
this  subdivision  for the two thousand seven--two thousand eight school
year. For the two thousand nine--two thousand ten through  two  thousand
[twelve]  FOURTEEN--two  thousand  [thirteen] FIFTEEN school years, each
school district shall be entitled  to  an  apportionment  equal  to  the
amount  set  forth  for such school district as "SUPPLEMENTAL PUB EXCESS
COST" under the heading "2008-09 BASE  YEAR  AIDS"  in  the  school  aid
computer  listing  produced by the commissioner in support of the budget
for the two thousand nine--two thousand ten  school  year  and  entitled
"SA0910".
  S 9. Subdivision 9 of section 3602 of the education law, as amended by
section  16  of  part B of chapter 57 of the laws of 2007, is amended to
read as follows:
  9. Aid for conversion to full day kindergarten. School  districts  may
make  available  full day kindergarten programs for all children wishing
to attend such programs[,].  For aid payable in the two thousand  seven-
-two  thousand  eight school year and thereafter, school districts which
provided any half-day  kindergarten  programs  or  had  no  kindergarten
programs  in  the  nineteen hundred ninety-six--ninety-seven school year

S. 2607--B                          9                         A. 3007--B

and in the base year, AND  WHICH  HAVE  NOT  RECEIVED  AN  APPORTIONMENT
PURSUANT  TO  THIS PARAGRAPH IN ANY PRIOR SCHOOL YEAR, shall be eligible
for aid equal to the product of the district's selected  foundation  aid
calculated  pursuant  to  subdivision four of this section multiplied by
the positive difference resulting when the full day kindergarten enroll-
ment of children attending programs in the district in the base year  is
subtracted from such enrollment in the current year.
  S  10. Subdivision 12 of section 3602 of the education law, as amended
by section 35 of part A of chapter 58 of the laws of 2011, is amended to
read as follows:
  12. Academic enhancement aid. A school district that as of April first
of the base year has been continuously identified as a district in  need
of  improvement  for  at  least  five  years shall, for the two thousand
eight--two thousand nine school  year,  be  entitled  to  an  additional
apportionment equal to the positive remainder, if any, of (a) the lesser
of  fifteen  million  dollars or the product of the total foundation aid
base, as defined by paragraph j of  subdivision  one  of  this  section,
multiplied by ten percent (0.10), less (b) the positive remainder of (i)
the  sum of the total foundation aid apportioned pursuant to subdivision
four of this section and the supplemental educational improvement grants
apportioned pursuant to subdivision eight of section thirty-six  hundred
forty-one of this article, less (ii) the total foundation aid base.
  For  the  two  thousand  nine--two  thousand  ten through two thousand
[twelve] FOURTEEN--two thousand [thirteen] FIFTEEN  school  years,  each
school  district  shall  be  entitled  to  an apportionment equal to the
amount set forth for such school district as "EDUCATION GRANTS, ACADEMIC
EN" under the heading "2008-09 BASE YEAR AIDS" in the school aid comput-
er listing produced by the commissioner in support of the budget for the
two thousand nine--two thousand ten school year and  entitled  "SA0910",
and  such  apportionment shall be deemed to satisfy the state obligation
to provide an apportionment pursuant to  subdivision  eight  of  section
thirty-six hundred forty-one of this article.
  S  11. Subdivision 16 of section 3602 of the education law, as amended
by section 18 of part B of chapter 57 of the laws of 2008,  the  opening
paragraph  as  amended by section 36 of part A of chapter 58 of the laws
of 2011, subparagraph 1 of paragraph a as further amended by  section  1
of  part  W  of  chapter  56  of the laws of 2010, is amended to read as
follows:
  16. High tax aid.  Each school district shall be eligible to receive a
high tax aid apportionment in the  two  thousand  [eight]  THIRTEEN--two
thousand  [nine]  FOURTEEN school year, which shall equal the greater of
(i) the sum of the tier 1 high tax aid apportionment[,] AND the  tier  2
high  tax  aid apportionment [and the tier 3 high tax aid apportionment]
or (ii) the  product  of  the  [apportionment  received  by  the  school
district  pursuant  to  this  subdivision in the two thousand seven--two
thousand eight school year,] AMOUNT SET FORTH FOR SUCH  SCHOOL  DISTRICT
AS  "HIGH  TAX  AID"  UNDER  THE HEADING "2012-13 ESTIMATED AIDS" IN THE
SCHOOL AID COMPUTER LISTING PRODUCED BY THE COMMISSIONER IN  SUPPORT  OF
THE  BUDGET  FOR  THE  TWO THOUSAND TWELVE--TWO THOUSAND THIRTEEN SCHOOL
YEAR AND ENTITLED "SA121-3" multiplied by the due-minimum factor,  which
shall equal, for districts with an alternate pupil wealth ratio computed
pursuant  to  paragraph  b  of subdivision three of this section that is
less than [two] ONE, [seventy] FIFTY percent [(0.70)]  (0.50),  and  for
all  other  districts,  [fifty]  THIRTY percent [(0.50)] (0.30).   [Each
school district shall be eligible to receive a high tax  aid  apportion-
ment  in  the  two  thousand nine--two thousand ten through two thousand

S. 2607--B                         10                         A. 3007--B

twelve--two thousand thirteen school years in the amount set  forth  for
such  school  district as "HIGH TAX AID" under the heading "2008-09 BASE
YEAR AIDS" in the school aid computer listing produced  by  the  commis-
sioner  in support of the budget for the two thousand nine--two thousand
ten school year and entitled "SA0910".]
  IN THE TWO THOUSAND FOURTEEN--TWO THOUSAND  FIFTEEN  SCHOOL  YEAR  AND
THEREAFTER, EACH SCHOOL DISTRICT SHALL BE ELIGIBLE TO RECEIVE A HIGH TAX
AID  APPORTIONMENT  IN  THE AMOUNT SET FORTH FOR SUCH SCHOOL DISTRICT AS
"HIGH TAX AID" UNDER THE HEADING "2013-14 ESTIMATED AIDS" IN THE  SCHOOL
AID  COMPUTER  LISTING  PRODUCED  BY  THE COMMISSIONER IN SUPPORT OF THE
EXECUTIVE BUDGET REQUEST SUBMITTED FOR THE  TWO  THOUSAND  THIRTEEN--TWO
THOUSAND FOURTEEN STATE FISCAL YEAR AND ENTITLED "BT131-4".
  a.  Definitions.  (1)  "Residential real property tax levy" shall mean
the school tax levy imposed on residential property, including condomin-
ium properties, in the year commencing in the calendar  year  two  years
prior  to  the  calendar  year  in  which the base year began. The final
update of such data shall be reported by the  commissioner  of  taxation
and  finance to the commissioner by February fifteenth of the base year.
The commissioner of taxation and  finance  shall  adopt  regulations  as
appropriate  to  assure  the  appropriate collection, classification and
reporting of such data for the purposes  of  paying  state  aid  to  the
schools.
  (2)  "Adjusted gross income" shall mean the adjusted gross income of a
school district as used in computation of the district's alternate pupil
wealth ratio pursuant to  paragraph  b  of  subdivision  three  of  this
section,  provided,  however, that for the computation of apportionments
pursuant to this subdivision, the adjusted gross  income  of  a  central
high  school  district  shall  not  equal  the sum of the adjusted gross
income of each of its component school districts.
  (3) "Tax effort ratio" shall mean the quotient of the district's resi-
dential real property tax levy divided by the district's adjusted  gross
income computed to five decimals without rounding.
  (4)  "Tier  1 eligible school district" shall mean any school district
in which (i) the income wealth index, as computed pursuant to  paragraph
d  of subdivision three of this section, is less than [two and one-half]
NINE HUNDRED AND FIFTY-FIVE THOUSANDTHS (.955), and (ii) the expense per
pupil, as computed pursuant to paragraph f of subdivision  one  of  this
section,  is  greater than NINETY-FIVE AND FIVE-TENTHS PERCENT (.955) OF
the statewide average expense per pupil as computed pursuant to subdivi-
sion five of this section, and (iii) the tax  effort  ratio  is  greater
than [three and two-tenths percent (0.032)] FOUR AND FIVE-TENTHS PERCENT
(.045).    For  the [two thousand eight--two thousand nine] TWO THOUSAND
THIRTEEN--TWO THOUSAND FOURTEEN school year, for the purpose of  comput-
ing  aid pursuant to this subdivision, the statewide average expense per
pupil shall be [ten thousand six hundred fifty dollars] TWELVE  THOUSAND
FIVE HUNDRED DOLLARS.
  (5)  "Tier  2 eligible school district" shall mean any school district
in which the tax effort ratio  is  greater  than  five  AND  FIVE-TENTHS
percent (.055).
  [(6)  "Tier 3 eligible school district" shall mean any school district
in which (i) the quotient of (a) the  actual  valuation  of  the  school
district  divided  by  its total wealth pupil units computed pursuant to
subparagraph one of paragraph a of subdivision three  of  this  section,
divided by (b) the adjusted gross income of a school district divided by
its  total  wealth  pupil units computed pursuant to subparagraph one of
paragraph b of subdivision three of this section, is greater  than  four

S. 2607--B                         11                         A. 3007--B

and sixty-two hundredths (4.62), (ii) the combined wealth ratio computed
pursuant to subparagraph one of paragraph c of subdivision three of this
section  is  less than six, and (iii) the regional cost index determined
pursuant  to subparagraph two of paragraph a of subdivision four of this
section is greater than one and three-tenths (1.3).]
  b. Tier 1 high tax aid apportionment. For any tier 1  eligible  school
district, the tier 1 high tax aid apportionment shall be [the greater of
(1)]  the  product  of  the  public  school  district  enrollment of the
district in the base year, as computed pursuant to subparagraph  two  of
paragraph  n of subdivision one of this section, multiplied by the prod-
uct of four hundred [fifty] SEVENTY-FIVE dollars multiplied by the state
sharing ratio[, or (2) one hundred thousand dollars]  COMPUTED  PURSUANT
TO PARAGRAPH G OF SUBDIVISION THREE OF THIS SECTION.
  c.  Tier  2 high tax aid apportionment. For any tier 2 eligible school
district, the tier 2 high tax aid apportionment shall be the product  of
(i)  the  public  school district enrollment of the district in the base
year, as computed pursuant to subparagraph two of paragraph n of  subdi-
vision  one of this section, multiplied by (ii) one hundred [eighty-one]
NINETY-FIVE thousandths [(0.181)] (0.195) multiplied by (iii) the  posi-
tive  difference, if any, of the expense per pupil, as computed pursuant
to paragraph f of subdivision one of this section,  less  [ten  thousand
six  hundred  sixty]  THIRTEEN THOUSAND ONE HUNDRED TWENTY-FIVE dollars,
multiplied by (iv) an aid ratio computed by  subtracting  from  one  AND
THIRTY-SEVEN  HUNDREDTHS  (1.37) the product obtained by multiplying the
alternate pupil wealth ratio computed pursuant to  subparagraph  one  of
paragraph  b of subdivision three of this section by [sixty percent] ONE
AND TWENTY-THREE HUNDREDTHS (1.23), provided,  however,  that  such  aid
ratio  shall  not  be less than zero nor greater than one, multiplied by
(v) the regional cost index COMPUTED PURSUANT  TO  SUBPARAGRAPH  TWO  OF
PARAGRAPH A OF SUBDIVISION FOUR OF THIS SECTION.
  [d.  Tier 3 high tax aid apportionment. For any tier 3 eligible school
district, the tier 3 high tax aid apportionment shall be the product  of
(i)  the  public  school district enrollment of the district in the base
year, as computed pursuant to subparagraph two of paragraph n of  subdi-
vision one of this section, multiplied by (ii) fifty-two dollars, multi-
plied by (iii) the regional cost index.]
  S 12. Paragraph (e) of subdivision 17 of section 3602 of the education
law,  as added by section 6 of part A of chapter 57 of the laws of 2012,
is amended and a new paragraph f is added to read as follows:
  [(e)] E. The gap elimination adjustment restoration amount for the two
thousand thirteen--two thousand  fourteen  school  year  and  thereafter
[shall  equal  the  product  of  the gap elimination percentage for such
district and  the  gap  elimination  adjustment  restoration  allocation
established  pursuant  to subdivision eighteen of this section] SHALL BE
COMPUTED BASED ON AN ELECTRONIC DATA FILE USED TO PRODUCE THE SCHOOL AID
COMPUTER LISTING PRODUCED BY THE COMMISSIONER IN SUPPORT OF  THE  EXECU-
TIVE  BUDGET  REQUEST  SUBMITTED  FOR  THE 2013-14 STATE FISCAL YEAR AND
ENTITLED "BT131-4" AND SHALL EQUAL THE SUM OF (I) THE GREATER OF:
  (A) THE PRODUCT OF (1) THE PRODUCT OF THE  EXTRAORDINARY  NEEDS  INDEX
MULTIPLIED  BY  TWO HUNDRED TEN DOLLARS AND TWENTY CENTS COMPUTED TO TWO
DECIMAL PLACES WITHOUT ROUNDING, MULTIPLIED BY  (2)  THE  STATE  SHARING
RATIO  COMPUTED  PURSUANT  TO  PARAGRAPH  G OF SUBDIVISION THREE OF THIS
SECTION MULTIPLIED BY (3) THE PUBLIC SCHOOL DISTRICT ENROLLMENT FOR  THE
BASE  YEAR,  CALCULATED  PURSUANT  TO SUBPARAGRAPH TWO OF PARAGRAPH N OF
SUBDIVISION ONE OF THIS SECTION, WHERE  THE  EXTRAORDINARY  NEEDS  INDEX
SHALL  BE  THE  QUOTIENT  OF  THE  EXTRAORDINARY  NEEDS  PERCENT FOR THE

S. 2607--B                         12                         A. 3007--B

DISTRICT COMPUTED PURSUANT TO PARAGRAPH W OF  SUBDIVISION  ONE  OF  THIS
SECTION DIVIDED BY FIVE HUNDRED THIRTY-FOUR ONE-THOUSANDTHS (.534); OR
  (B)  THE  PRODUCT OF FORTY PERCENT (0.40) MULTIPLIED BY THE GAP ELIMI-
NATION ADJUSTMENT RESTORATION FOR THE TWO THOUSAND TWELVE--TWO  THOUSAND
THIRTEEN  SCHOOL  YEAR COMPUTED PURSUANT TO PARAGRAPH D OF THIS SUBDIVI-
SION AND (II) THE PRODUCT OF (1) THE POSITIVE DIFFERENCE, IF ANY, OF ONE
AND THIRTY-SEVEN ONE-HUNDREDTHS (1.37) MINUS THE PRODUCT OF THE COMBINED
WEALTH RATIO COMPUTED PURSUANT TO SUBPARAGRAPH ONE  OF  PARAGRAPH  C  OF
SUBDIVISION  THREE  OF  THIS  SECTION MULTIPLIED BY ONE AND TWENTY-THREE
HUNDREDTHS (1.23), MULTIPLIED BY (2) THE PUBLIC SCHOOL DISTRICT  ENROLL-
MENT FOR THE BASE YEAR, CALCULATED PURSUANT TO SUBPARAGRAPH TWO OF PARA-
GRAPH  N  OF  SUBDIVISION  ONE  OF THIS SECTION, MULTIPLIED BY (3) FIFTY
DOLLARS; BUT SHALL BE NO GREATER  THAN  THE  PRODUCT  OF  FORTY-ONE  AND
FIVE-TENTHS  PERCENT  (0.415) AND THE GAP ELIMINATION ADJUSTMENT FOR THE
TWO THOUSAND TWELVE--TWO THOUSAND THIRTEEN SCHOOL YEAR FOR THE DISTRICT.
  F. THE GAP ELIMINATION ADJUSTMENT RESTORATION AMOUNT FOR THE TWO THOU-
SAND FOURTEEN--TWO THOUSAND FIFTEEN SCHOOL  YEAR  AND  THEREAFTER  SHALL
EQUAL  THE  PRODUCT  OF THE GAP ELIMINATION PERCENTAGE FOR SUCH DISTRICT
AND THE GAP ELIMINATION ADJUSTMENT  RESTORATION  ALLOCATION  ESTABLISHED
PURSUANT TO SUBDIVISION EIGHTEEN OF THIS SECTION.
  S  13.  Paragraph  a of subdivision 5 of section 3604 of the education
law, as amended by chapter 161 of the laws of 2005, is amended  to  read
as follows:
  a. State aid adjustments. All errors or omissions in the apportionment
shall  be  corrected by the commissioner. Whenever a school district has
been apportioned less money than that  to  which  it  is  entitled,  the
commissioner may allot to such district the balance to which it is enti-
tled.  Whenever  a  school district has been apportioned more money than
that to which it is entitled, the commissioner may, by an order,  direct
such  moneys  to be paid back to the state to be credited to the general
fund local assistance account for state  aid  to  the  schools,  or  may
deduct  such  amount  from  the  next  apportionment  to be made to said
district, provided, however, that, upon notification of excess  payments
of  aid for which a recovery must be made by the state through deduction
of future aid payments, a school district may request that  such  excess
payments  be  recovered  by  deducting  such  excess  payments  from the
payments due to such school district and payable in the month of June in
(i) the school year in which such notification was received and (ii) the
two succeeding school years, provided further that  there  shall  be  no
interest  penalty  assessed  against  such  district or collected by the
state. Such request shall be made to the commissioner in  such  form  as
the  commissioner  shall  prescribe, and shall be based on documentation
that the total amount to be recovered is in excess of one percent of the
district's total general fund  expenditures  for  the  preceding  school
year.  The  amount to be deducted in the first year shall be the greater
of (i) the sum of the amount of such excess payments that is  recognized
as  a liability due to other governments by the district for the preced-
ing school year and the positive remainder of the district's  unreserved
fund  balance at the close of the preceding school year less the product
of the district's total general  fund  expenditures  for  the  preceding
school year multiplied by five percent, or (ii) one-third of such excess
payments.  The amount to be recovered in the second year shall equal the
lesser of the remaining amount of such excess payments to  be  recovered
or  one-third  of such excess payments, and the remaining amount of such
excess payments shall be recovered in the third year.  Provided  further
that,  notwithstanding  any  other  provisions  of this subdivision, any

S. 2607--B                         13                         A. 3007--B

pending payment of moneys due to such district as a prior  year  adjust-
ment  payable pursuant to paragraph c of this subdivision for aid claims
that had been previously paid as current year aid payments in excess  of
the  amount  to which the district is entitled and for which recovery of
excess payments is to be made  pursuant  to  this  paragraph,  shall  be
reduced  at  the  time  of  actual  payment by any remaining unrecovered
balance of such excess payments, and the remaining scheduled  deductions
of  such  excess payments pursuant to this paragraph shall be reduced by
the commissioner to reflect the amount so recovered.  [The  commissioner
shall certify no payment to a school district based on a claim submitted
later  than three years after the close of the school year in which such
payment was first to be made.  For claims for which payment is first  to
be  made  in  the nineteen hundred ninety-six--ninety-seven school year,
the commissioner shall certify no payment to a school district based  on
a  claim  submitted  later than two years after the close of such school
year.] For claims for which payment is first to be made [in the nineteen
hundred ninety-seven--ninety-eight] PRIOR TO THE TWO THOUSAND  FOURTEEN-
-TWO  THOUSAND  FIFTEEN  school  year [and thereafter], the commissioner
shall certify no payment to a school district based on a claim submitted
later than one year after the close of such school year. FOR CLAIMS  FOR
WHICH  PAYMENT  IS  FIRST  TO  BE MADE IN THE TWO THOUSAND FOURTEEN--TWO
THOUSAND FIFTEEN SCHOOL YEAR  AND  THEREAFTER,  THE  COMMISSIONER  SHALL
CERTIFY NO PAYMENT TO A SCHOOL DISTRICT BASED ON A CLAIM SUBMITTED LATER
THAN  THE  FIRST  OF NOVEMBER OF SUCH SCHOOL YEAR. Provided, however, no
payments shall be barred or reduced where such payment is required as  a
result  of  a  final  audit  of the state. [It is further provided that,
until June thirtieth, nineteen hundred ninety-six, the commissioner  may
grant  a  waiver  from  the  provisions  of  this section for any school
district if it is in the best  educational  interests  of  the  district
pursuant to guidelines developed by the commissioner and approved by the
director  of  the  budget.] FURTHER PROVIDED THAT FOR ANY APPORTIONMENTS
PROVIDED PURSUANT TO SECTIONS SEVEN HUNDRED ONE, SEVEN  HUNDRED  ELEVEN,
SEVEN  HUNDRED  FIFTY-ONE, SEVEN HUNDRED FIFTY-THREE, THIRTY-SIX HUNDRED
TWO, THIRTY-SIX HUNDRED  TWO-B,  THIRTY-SIX  HUNDRED  TWO-C,  THIRTY-SIX
HUNDRED TWO-E, THIRTY-SIX HUNDRED TWELVE, AND FORTY-FOUR HUNDRED FIVE OF
THIS  CHAPTER  FOR  THE TWO THOUSAND THIRTEEN--TWO THOUSAND FOURTEEN AND
PRIOR SCHOOL YEARS, THE COMMISSIONER  SHALL  CERTIFY  NO  PAYMENT  TO  A
SCHOOL  DISTRICT,  OTHER  THAN  PAYMENTS PURSUANT TO SUBDIVISIONS SIX-A,
ELEVEN, THIRTEEN AND FIFTEEN OF SECTION THIRTY-SIX HUNDRED TWO  OF  THIS
PART, IN EXCESS OF THE PAYMENT COMPUTED BASED ON AN ELECTRONIC DATA FILE
USED  TO PRODUCE THE SCHOOL AID COMPUTER LISTING PRODUCED BY THE COMMIS-
SIONER IN SUPPORT OF THE EXECUTIVE BUDGET REQUEST SUBMITTED FOR THE  TWO
THOUSAND  THIRTEEN--TWO THOUSAND FOURTEEN STATE FISCAL YEAR AND ENTITLED
"BT131-4", AND FURTHER PROVIDED THAT  FOR  ANY  APPORTIONMENTS  PROVIDED
PURSUANT  TO  SECTIONS  SEVEN  HUNDRED  ONE, SEVEN HUNDRED ELEVEN, SEVEN
HUNDRED FIFTY-ONE, SEVEN HUNDRED FIFTY-THREE,  THIRTY-SIX  HUNDRED  TWO,
THIRTY-SIX  HUNDRED  TWO-B, THIRTY-SIX HUNDRED TWO-C, THIRTY-SIX HUNDRED
TWO-E, THIRTY-SIX HUNDRED TWELVE, AND FORTY-FOUR HUNDRED  FIVE  OF  THIS
CHAPTER  FOR THE TWO THOUSAND FOURTEEN--TWO THOUSAND FIFTEEN SCHOOL YEAR
AND THEREAFTER, THE COMMISSIONER SHALL CERTIFY NO PAYMENT  TO  A  SCHOOL
DISTRICT,  OTHER  THAN  PAYMENTS PURSUANT TO SUBDIVISIONS SIX-A, ELEVEN,
THIRTEEN AND FIFTEEN OF SECTION THIRTY-SIX HUNDRED TWO OF THIS PART,  IN
EXCESS  OF THE PAYMENT COMPUTED BASED ON AN ELECTRONIC DATA FILE USED TO
PRODUCE THE SCHOOL AID COMPUTER LISTING PRODUCED BY THE COMMISSIONER  IN
SUPPORT  OF  THE EXECUTIVE BUDGET REQUEST SUBMITTED FOR THE STATE FISCAL
YEAR IN WHICH THE SCHOOL YEAR COMMENCES.

S. 2607--B                         14                         A. 3007--B

  S 14. The opening paragraph of section 3609-a of the education law, as
amended by section 9 of part A of chapter 57 of the  laws  of  2012,  is
amended to read as follows:
  For  aid  payable in the two thousand seven--two thousand eight school
year [and thereafter] THROUGH  THE  TWO  THOUSAND  TWELVE--TWO  THOUSAND
THIRTEEN  SCHOOL YEAR, "moneys apportioned" shall mean the lesser of (i)
the sum of one hundred percent of the respective amount  set  forth  for
each  school  district as payable pursuant to this section in the school
aid computer listing for the current year produced by  the  commissioner
in support of the budget which includes the appropriation for the gener-
al  support  for public schools for the prescribed payments and individ-
ualized payments due prior to April first for the current year plus  the
apportionment  payable during the current school year pursuant to subdi-
vision six-a and subdivision fifteen of section thirty-six  hundred  two
of  this  part  minus  any  reductions  to current year aids pursuant to
subdivision seven of section thirty-six hundred four of this part or any
deduction from  apportionment  payable  pursuant  to  this  chapter  for
collection  of a school district basic contribution as defined in subdi-
vision eight of section forty-four hundred one of this chapter, less any
grants provided pursuant to subparagraph two-a of paragraph b of  subdi-
vision  four  of section ninety-two-c of the state finance law, less any
grants provided pursuant to subdivision  twelve  of  section  thirty-six
hundred  forty-one of this article, or (ii) the apportionment calculated
by the commissioner based on data on file at the  time  the  payment  is
processed;  provided however, that for the purposes of any payments made
pursuant to this section prior to the first business day of June of  the
current  year,  moneys  apportioned  shall  not include any aids payable
pursuant to subdivisions six and fourteen,  if  applicable,  of  section
thirty-six hundred two of this part as current year aid for debt service
on bond anticipation notes and/or bonds first issued in the current year
or  any  aids  payable  for  full-day  kindergarten for the current year
pursuant to subdivision nine of section thirty-six hundred two  of  this
part.  The definitions of "base year" and "current year" as set forth in
subdivision one of section thirty-six hundred two  of  this  part  shall
apply  to  this section. For aid payable in the two thousand twelve--two
thousand thirteen school year, reference to such  "school  aid  computer
listing  for  the  current  year"  shall  mean  the  printouts  entitled
"SA121-3".  FOR AID PAYABLE IN THE TWO THOUSAND  THIRTEEN--TWO  THOUSAND
FOURTEEN SCHOOL YEAR AND THEREAFTER, "MONEYS APPORTIONED" SHALL MEAN THE
LESSER  OF:  (I) THE SUM OF ONE HUNDRED PERCENT OF THE RESPECTIVE AMOUNT
SET FORTH FOR EACH SCHOOL DISTRICT AS PAYABLE PURSUANT TO  THIS  SECTION
IN  THE SCHOOL AID COMPUTER LISTING FOR THE CURRENT YEAR PRODUCED BY THE
COMMISSIONER IN SUPPORT OF THE EXECUTIVE BUDGET REQUEST  WHICH  INCLUDES
THE  APPROPRIATION  FOR  THE  GENERAL SUPPORT FOR PUBLIC SCHOOLS FOR THE
PRESCRIBED PAYMENTS AND INDIVIDUALIZED PAYMENTS DUE PRIOR TO APRIL FIRST
FOR THE CURRENT YEAR PLUS THE APPORTIONMENT PAYABLE DURING  THE  CURRENT
SCHOOL  YEAR PURSUANT TO SUBDIVISIONS SIX-A AND FIFTEEN OF SECTION THIR-
TY-SIX HUNDRED TWO OF THIS PART MINUS ANY  REDUCTIONS  TO  CURRENT  YEAR
AIDS PURSUANT TO SUBDIVISION SEVEN OF SECTION THIRTY-SIX HUNDRED FOUR OF
THIS  PART  OR  ANY DEDUCTION FROM THE APPORTIONMENT PAYABLE PURSUANT TO
THIS CHAPTER FOR COLLECTION OF A SCHOOL DISTRICT BASIC  CONTRIBUTION  AS
DEFINED  IN  SUBDIVISION EIGHT OF SECTION FORTY-FOUR HUNDRED ONE OF THIS
CHAPTER, LESS ANY GRANTS PROVIDED  PURSUANT  TO  SUBPARAGRAPH  TWO-A  OF
PARAGRAPH  B  OF  SUBDIVISION  FOUR OF SECTION NINETY-TWO-C OF THE STATE
FINANCE LAW, LESS ANY GRANTS PROVIDED PURSUANT TO SUBDIVISION TWELVE  OF
SECTION THIRTY-SIX HUNDRED FORTY-ONE OF THIS ARTICLE; OR (II) THE APPOR-

S. 2607--B                         15                         A. 3007--B

TIONMENT  CALCULATED  BY  THE  COMMISSIONER BASED ON DATA ON FILE AT THE
TIME THE PAYMENT IS PROCESSED; PROVIDED HOWEVER, THAT FOR  THE  PURPOSES
OF  ANY  PAYMENTS MADE PURSUANT TO THIS SECTION PRIOR TO THE FIRST BUSI-
NESS  DAY  OF  JUNE  OF  THE  CURRENT YEAR, MONEYS APPORTIONED SHALL NOT
INCLUDE ANY AIDS PAYABLE PURSUANT TO SUBDIVISIONS SIX AND  FOURTEEN,  IF
APPLICABLE,  OF  SECTION  THIRTY-SIX HUNDRED TWO OF THIS PART AS CURRENT
YEAR AID FOR DEBT SERVICE ON BOND ANTICIPATION NOTES AND/OR BONDS  FIRST
ISSUED IN THE CURRENT YEAR OR ANY AIDS PAYABLE FOR FULL-DAY KINDERGARTEN
FOR  THE CURRENT YEAR PURSUANT TO SUBDIVISION NINE OF SECTION THIRTY-SIX
HUNDRED TWO OF THIS PART. THE DEFINITIONS OF "BASE  YEAR"  AND  "CURRENT
YEAR"  AS SET FORTH IN SUBDIVISION ONE OF SECTION THIRTY-SIX HUNDRED TWO
OF THIS PART SHALL APPLY TO THIS SECTION.
  S 15. Paragraph b of subdivision 2 of section 3612  of  the  education
law,  as  amended  by  section 10 of part A of chapter 57 of the laws of
2012, is amended to read as follows:
  b. Such grants shall be awarded to school districts, within the limits
of funds appropriated therefor, through a competitive process that takes
into consideration the magnitude of any  shortage  of  teachers  in  the
school  district, the number of teachers employed in the school district
who hold temporary licenses to teach in the public schools of the state,
the number of provisionally certified teachers, the fiscal capacity  and
geographic  sparsity  of  the  district,  the number of new teachers the
school district intends to hire in the coming school year and the number
of summer in the city student internships proposed by an eligible school
district, if applicable. Grants provided pursuant to this section  shall
be used only for the purposes enumerated in this section.  Notwithstand-
ing  any  other provision of law to the contrary, a city school district
in a city having a population of one million or more inhabitants receiv-
ing a grant pursuant to this section may use no more than eighty percent
of such grant funds for any  recruitment,  retention  and  certification
costs  associated  with transitional certification of teacher candidates
for the school years two thousand one--two  thousand  two  through  [two
thousand twelve--two thousand thirteen] TWO THOUSAND THIRTEEN--TWO THOU-
SAND FOURTEEN.
  S  16.  Section  3641  of the education law is amended by adding a new
subdivision 6-a to read as follows:
  6-A. COMMUNITY SCHOOL GRANTS.  A. WITHIN THE AMOUNT  APPROPRIATED  FOR
SUCH  PURPOSE, SUBJECT TO A PLAN DEVELOPED BY THE STATE COUNCIL ON CHIL-
DREN AND FAMILIES AND APPROVED BY THE DIRECTOR OF THE BUDGET, THE  STATE
COUNCIL ON CHILDREN AND FAMILIES SHALL AWARD COMPETITIVE GRANTS PURSUANT
TO THIS SUBDIVISION TO ELIGIBLE SCHOOL DISTRICTS TO IMPLEMENT, BEGINNING
IN  THE TWO THOUSAND THIRTEEN--TWO THOUSAND FOURTEEN SCHOOL YEAR, A PLAN
THAT TARGETS SCHOOL BUILDINGS AS COMMUNITY HUBS TO DELIVER CO-LOCATED OR
SCHOOL-LINKED ACADEMIC,  HEALTH,  NUTRITION,  COUNSELING,  LEGAL  AND/OR
OTHER SERVICES TO STUDENTS AND THEIR FAMILIES IN A MANNER THAT WILL LEAD
TO IMPROVED EDUCATIONAL AND OTHER OUTCOMES.
  (1) SUCH PLAN SHALL INCLUDE, BUT NOT BE LIMITED TO:
  (I) THE PROCESS BY WHICH A REQUEST FOR PROPOSALS WILL BE DEVELOPED;
  (II)  THE  SCORING  RUBRIC  BY WHICH SUCH PROPOSALS WILL BE EVALUATED,
PROVIDED THAT SUCH GRANTS SHALL BE AWARDED BASED ON  FACTORS  INCLUDING,
BUT  NOT  LIMITED  TO: MEASURES OF SCHOOL DISTRICT NEED; MEASURES OF THE
NEED OF STUDENTS TO BE SERVED BY  EACH  OF  THE  SCHOOL  DISTRICTS;  THE
SCHOOL  DISTRICT'S  PROPOSAL  TO  TARGET  THE  HIGHEST  NEED SCHOOLS AND
STUDENTS; THE SUSTAINABILITY OF THE PROPOSED COMMUNITY SCHOOLS  PROGRAM;
AND PROPOSAL QUALITY;
  (III) THE FORM AND MANNER BY WHICH APPLICATIONS WILL BE SUBMITTED;

S. 2607--B                         16                         A. 3007--B

  (IV)  THE  MANNER BY WHICH CALCULATION OF THE AMOUNT OF THE AWARD WILL
BE DETERMINED;
  (V) THE TIMELINE FOR THE ISSUANCE AND REVIEW OF APPLICATIONS; AND
  (VI)  THE  PERFORMANCE  BENCHMARKS  THAT  WILL  TRIGGER PAYMENT OF SET
PERCENTAGES OF THE TOTAL AWARD.
  (2) IN ASSESSING PROPOSAL QUALITY, THE COUNCIL SHALL TAKE INTO ACCOUNT
FACTORS INCLUDING, BUT NOT LIMITED TO:
  (I) THE EXTENT TO WHICH THE SCHOOL DISTRICT'S PROPOSAL  WOULD  PROVIDE
SUCH  COMMUNITY SERVICES THROUGH PARTNERSHIPS WITH LOCAL GOVERNMENTS AND
NON-PROFIT ORGANIZATIONS;
  (II) THE EXTENT TO WHICH THE PROPOSAL WOULD PROVIDE  FOR  DELIVERY  OF
SUCH SERVICES DIRECTLY IN SCHOOL BUILDINGS;
  (III)  THE  EXTENT TO WHICH THE PROPOSAL ARTICULATES HOW SUCH SERVICES
WOULD FACILITATE MEASURABLE IMPROVEMENT IN STUDENT AND FAMILY  OUTCOMES;
AND
  (IV)  THE  EXTENT TO WHICH THE PROPOSAL ARTICULATES AND IDENTIFIES HOW
EXISTING FUNDING STREAMS AND PROGRAMS WOULD  BE  USED  TO  PROVIDE  SUCH
COMMUNITY SERVICES.
  B.  A  RESPONSE  TO  A  REQUEST  FOR PROPOSALS ISSUED PURSUANT TO THIS
SUBDIVISION MAY BE SUBMITTED BY A SINGLE SCHOOL DISTRICT OR JOINTLY BY A
CONSORTIUM OF TWO OR MORE SCHOOL DISTRICTS.
  C. THE AMOUNT OF THE GRANT AWARD SHALL  BE  DETERMINED  BY  THE  STATE
COUNCIL  ON  CHILDREN  AND  FAMILIES, CONSISTENT WITH THE PLAN DEVELOPED
PURSUANT TO PARAGRAPH A OF  THIS  SUBDIVISION,  EXCEPT  THAT  NO  SINGLE
DISTRICT  MAY  BE AWARDED MORE THAN FORTY PERCENT OF THE TOTAL AMOUNT OF
GRANT AWARDS MADE PURSUANT TO THIS  SUBDIVISION;  AND  PROVIDED  FURTHER
THAT  THE MAXIMUM AWARD TO ANY INDIVIDUAL COMMUNITY SCHOOL SITE SHALL BE
FIVE HUNDRED THOUSAND DOLLARS; AND  PROVIDED  FURTHER  THAT  THE  AMOUNT
AWARDED  WILL  BE PAID OUT IN SET PERCENTAGES OVER TIME UPON ACHIEVEMENT
OF THE PERFORMANCE BENCHMARKS DESCRIBED IN THE PLAN SET  FORTH  PURSUANT
TO  PARAGRAPH  A  OF THIS SUBDIVISION; AND PROVIDED FURTHER THAT NONE OF
THE GRANTS AWARDED PURSUANT TO THIS SUBDIVISION MAY BE USED TO  SUPPLANT
EXISTING FUNDING.
  D.  NOTWITHSTANDING  ANY  STATE LAW OR REGULATION TO THE CONTRARY, ANY
EXECUTIVE AGENCY HEAD THAT IS A MEMBER OF THE STATE COUNCIL ON  CHILDREN
AND FAMILY SERVICES IS DIRECTED, TO THE EXTENT ALLOWED UNDER FEDERAL LAW
AND  REGULATION,  TO  PRIORITIZE  APPLICATIONS  THAT  CO-LOCATE  OR LINK
PROGRAMMING RELEVANT TO THE PROVISION OF SERVICES  IDENTIFIED  IN  PARA-
GRAPH A OF THIS SUBDIVISION.
  S  17.  Section  3641  of the education law is amended by adding a new
subdivision 6-b to read as follows:
  6-B. EXTENDED LEARNING GRANTS.  A. WITHIN THE AMOUNT APPROPRIATED  FOR
SUCH  PURPOSE,  SUBJECT  TO  A  PLAN THAT IS DEVELOPED BY A THREE-PERSON
PANEL COMPRISED OF THE COMMISSIONER, AN AGENCY  HEAD  APPOINTED  BY  THE
GOVERNOR,  AND  AN  EXPERT  IN  EXTENDED  LEARNING TIME APPOINTED BY THE
GOVERNOR, AND THAT IS APPROVED  BY  THE  DIRECTOR  OF  THE  BUDGET,  THE
COMMISSIONER  SHALL AWARD COMPETITIVE PLANNING AND IMPLEMENTATION GRANTS
PURSUANT TO THIS SUBDIVISION  TO  ELIGIBLE  SCHOOL  DISTRICTS  THAT  PUT
FORWARD  A PROPOSAL TO IMPROVE STUDENT OUTCOMES BY ADDING AT LEAST TWEN-
TY-FIVE PERCENT MORE TIME TO THE  ACADEMIC  CALENDAR  BY  EXTENDING  THE
SCHOOL   DAY,   SCHOOL   YEAR,   OR  SOME  COMBINATION  THEREOF,  EITHER
DISTRICT-WIDE OR IN SELECTED SCHOOL BUILDINGS.
  (1) SUCH PLAN SHALL INCLUDE, BUT NOT BE LIMITED TO:
  (I) THE PROCESS BY WHICH A REQUEST FOR PROPOSALS WILL BE DEVELOPED;
  (II) THE SCORING RUBRIC BY WHICH SUCH  PROPOSALS  WILL  BE  EVALUATED,
PROVIDED  THAT  PRIORITY  SHALL  BE  GIVEN  TO APPLICANTS BASED UPON THE

S. 2607--B                         17                         A. 3007--B

SCHOOL DISTRICT'S PROPOSAL TO TARGET THE SCHOOLS AND STUDENTS  WITH  THE
GREATEST NEED AND UPON PROPOSAL QUALITY;
  (III) THE FORM AND MANNER BY WHICH APPLICATIONS WILL BE SUBMITTED;
  (IV) THE TIMELINE FOR THE ISSUANCE AND REVIEW OF APPLICATIONS; AND
  (V)  A  REQUIREMENT  THAT  SCHOOL  DISTRICTS AWARDED GRANTS UNDER THIS
SUBDIVISION SUBMIT TO AN ANNUAL EVALUATION OF PERFORMANCE AND IMPACT  AS
REQUIRED BY THE COMMISSIONER.
  (2)  IN  ASSESSING  PROPOSAL  QUALITY IN ORDER TO AWARD IMPLEMENTATION
GRANT FUNDING, THE COMMISSIONER SHALL TAKE INTO ACCOUNT FACTORS  INCLUD-
ING, BUT NOT LIMITED TO:
  (I)  THE EXTENT TO WHICH THE SCHOOL DISTRICT'S PROPOSAL WOULD MAXIMIZE
THE USE OF THE ADDITIONAL LEARNING TIME THROUGH A COMPREHENSIVE RESTRUC-
TURING OF THE SCHOOL DAY AND/OR YEAR; AND
  (II) HOW THE ADDITIONAL LEARNING TIME WOULD BE UTILIZED, INCLUDING BUT
NOT LIMITED TO ADDITIONAL TIME SPENT ON CORE ACADEMICS.
  B. A SCHOOL DISTRICT'S SCHOOL-WIDE  EXTENDED  LEARNING  IMPLEMENTATION
GRANT  AWARD SHALL EQUAL ITS AVERAGE DAILY ATTENDANCE IN THE SCHOOL-WIDE
EXTENDED LEARNING PROGRAM MULTIPLIED BY THE EXPECTED COST PER  PUPIL  OF
THE  ADDITIONAL  LEARNING  TIME.  FOR  PURPOSES OF THIS SUBDIVISION, THE
EXPECTED COST PER PUPIL OF THE ADDITIONAL LEARNING TIME SHALL EQUAL  THE
GREATER OF FIFTEEN HUNDRED DOLLARS OR (1) THE QUOTIENT OF (I) THE SCHOOL
DISTRICT'S  APPROVED OPERATING EXPENSE PURSUANT TO PARAGRAPH T OF SUBDI-
VISION ONE OF SECTION THIRTY-SIX HUNDRED TWO OF  THIS  ARTICLE  FOR  THE
YEAR PRIOR TO THE BASE YEAR DIVIDED BY (II) THE DISTRICT'S PUBLIC SCHOOL
DISTRICT  ENROLLMENT PURSUANT TO SUBPARAGRAPH TWO OF PARAGRAPH N OF SUCH
SUBDIVISION FOR THE YEAR PRIOR TO THE BASE YEAR MULTIPLIED  BY  (2)  TEN
PERCENT (0.10), MULTIPLIED BY (3) THE QUOTIENT OF (I) THE AVERAGE OF THE
NATIONAL  CONSUMER PRICE INDEXES DETERMINED BY THE UNITED STATES DEPART-
MENT OF LABOR FOR THE TWELVE MONTH PERIOD PRECEDING JANUARY FIRST OF THE
BASE YEAR, DIVIDED BY (II) THE AVERAGE OF THE  NATIONAL  CONSUMER  PRICE
INDEXES  DETERMINED  BY  THE  UNITED  STATES DEPARTMENT OF LABOR FOR THE
TWELVE MONTH PERIOD PRECEDING JANUARY FIRST OF THE YEAR TWO YEARS  PRIOR
TO THE BASE YEAR.
  C.  IN  EXTRAORDINARY  CASES,  THE COMMISSIONER MAY AWARD A GRANT THAT
EXCEEDS THE PER PUPIL LIMIT CALCULATED PURSUANT TO PARAGRAPH B  OF  THIS
SUBDIVISION.
  D.  NO  DISTRICT  SHALL  RECEIVE A GRANT IN EXCESS OF THE TOTAL ACTUAL
GRANT EXPENDITURES INCURRED BY THE  DISTRICT  IN  THE  CURRENT  YEAR  AS
APPROVED BY THE COMMISSIONER.
  E.  NO  SINGLE  DISTRICT MAY BE AWARDED MORE THAN FORTY PERCENT OF THE
TOTAL AMOUNT OF GRANT AWARDS MADE PURSUANT TO THIS SUBDIVISION.
  S 18. Paragraph b of subdivision 2 of section 4204  of  the  education
law,  as  amended by section 12-a of part A of chapter 57 of the laws of
2012, is amended to read as follows:
  b. For the two thousand thirteen--two thousand  fourteen  school  year
and  thereafter,  the  costs  of tuition as defined in section forty-two
hundred eleven of  this  article,  INCLUDING  TUITION,  MAINTENANCE  AND
TRANSPORTATION  FOR SUMMER SCHOOL SPECIAL EDUCATION PROGRAMS IN JULY AND
AUGUST, shall be a charge upon the current school district of  residence
of  any  such  child  subject  to  this article and the directors of the
institution shall bill such school district for such tuition costs on  a
quarterly  basis.  The  first  such  quarterly  payment  may be based on
projected  enrollment,  provided  that  subsequent  payments  shall   be
adjusted  to  reflect  actual  enrollment. The amount of tuition paid by
such school district shall be eligible for reimbursement by the state to
the extent provided in section forty-two hundred four-b of this article.

S. 2607--B                         18                         A. 3007--B

  S 19. Subdivision 4 of section 4204-b of the education law, as amended
by section 12-b of part A of chapter 57 of the laws of 2012, is  amended
to read as follows:
  4.  [The]  FOR  THE  TWO THOUSAND TWELVE--TWO THOUSAND THIRTEEN SCHOOL
YEAR AND PRIOR SCHOOL  YEARS,  THE  state  shall  reimburse  the  school
district of which any such child is resident at the time of admission or
readmission  to  any  of  the  institutions  subject to this article for
tuition paid to the institution FOR THE TEN-MONTH SCHOOL  CALENDAR  FROM
SEPTEMBER  FIRST  THROUGH JUNE THIRTIETH in an amount equal to the posi-
tive difference between the  amount  of  such  tuition  and  the  school
district  basic  contribution.    IN  ACCORDANCE  WITH THE PROVISIONS OF
SECTION FORTY-FOUR HUNDRED EIGHT OF THIS TITLE,  FOR  THE  TWO  THOUSAND
THIRTEEN--TWO  THOUSAND  FOURTEEN  SCHOOL YEAR AND THEREAFTER, THE STATE
SHALL ALSO REIMBURSE THE CURRENT SCHOOL DISTRICT  OF  RESIDENCE  OF  ANY
CHILD  IN  ANY  OF THE INSTITUTIONS SUBJECT TO THIS ARTICLE FOR APPROVED
TUITION, MAINTENANCE AND TRANSPORTATION  PAID  TO  THE  INSTITUTION  FOR
ENROLLMENT  IN  SUMMER  SCHOOL  SPECIAL  EDUCATION  PROGRAMS IN JULY AND
AUGUST, IN AN AMOUNT EQUAL TO EIGHTY PERCENT  OF  THE  APPROVED  TUITION
RATE  PURSUANT  TO  SECTION FORTY-FOUR HUNDRED EIGHT OF THIS TITLE. Such
state reimbursement to the school district shall not be  paid  prior  to
April  first  of the school year in which such tuition costs are paid by
the school district. The tuition incurred through December  thirty-first
of  such  school year, INCLUDING TUITION, MAINTENANCE AND TRANSPORTATION
FOR SUMMER SCHOOL PROGRAMS  IN  JULY  AND  AUGUST  PURSUANT  TO  SECTION
FORTY-FOUR  HUNDRED  EIGHT OF THIS TITLE, shall be payable prior to June
thirtieth of such school year, provided that a claim is submitted on  or
before June first.
  S  20.  Paragraph  b of subdivision 2 of section 4207 of the education
law, as amended by section 12-c of part A of chapter 57 of the  laws  of
2012, is amended to read as follows:
  b.  For  the  two thousand thirteen--two thousand fourteen school year
and thereafter, the costs of tuition as  defined  in  section  forty-two
hundred  eleven  of  this  article,  INCLUDING  TUITION, MAINTENANCE AND
TRANSPORTATION FOR SUMMER SCHOOL SPECIAL EDUCATION PROGRAMS IN JULY  AND
AUGUST,  shall be a charge upon the current school district of residence
of any such child subject to this  article  and  the  directors  of  the
institution  shall bill such school district for such tuition costs on a
quarterly basis. The first  such  quarterly  payment  may  be  based  on
projected   enrollment,  provided  that  subsequent  payments  shall  be
adjusted to reflect actual enrollment. The amount  of  tuition  paid  by
such  school district, INCLUDING TUITION, MAINTENANCE AND TRANSPORTATION
FOR SUMMER SCHOOL SPECIAL EDUCATION PROGRAMS IN JULY AND  AUGUST,  shall
be  eligible  for  reimbursement  by the state to the extent provided in
section forty-two hundred four-b of this article.
  S 21. Subdivision 6 of section 4402 of the education law,  as  amended
by section 12 of part A of chapter 57 of the laws of 2012, is amended to
read as follows:
  6.  Notwithstanding any other law, rule or regulation to the contrary,
the board of education of a city school district with  a  population  of
one  hundred twenty-five thousand or more inhabitants shall be permitted
to establish  maximum  class  sizes  for  special  classes  for  certain
students  with  disabilities  in  accordance with the provisions of this
subdivision. For the purpose of obtaining relief from any adverse fiscal
impact from under-utilization of special education resources due to  low
student  attendance  in  special  education  classes  at  the middle and
secondary level as determined by the commissioner, such boards of educa-

S. 2607--B                         19                         A. 3007--B

tion shall, during the school years nineteen hundred  ninety-five--nine-
ty-six  through  June thirtieth, two thousand [thirteen] FOURTEEN of the
[two thousand twelve--two thousand thirteen] TWO THOUSAND  THIRTEEN--TWO
THOUSAND  FOURTEEN school year, be authorized to increase class sizes in
special classes containing students with disabilities whose  age  ranges
are  equivalent  to those of students in middle and secondary schools as
defined by the commissioner for purposes of this section by  up  to  but
not to exceed one and two tenths times the applicable maximum class size
specified  in  regulations of the commissioner rounded up to the nearest
whole number, provided that in a city school  district  having  a  popu-
lation of one million or more, classes that have a maximum class size of
fifteen  may  be increased by no more than one student and provided that
the projected average class size shall not exceed the maximum  specified
in  the  applicable  regulation,  provided that such authorization shall
terminate on June thirtieth, two thousand. Such authorization  shall  be
granted  upon  filing  of a notice by such a board of education with the
commissioner stating the board's intention to increase such class  sizes
and  a  certification  that the board will conduct a study of attendance
problems at the secondary level and will implement a  corrective  action
plan  to  increase the rate of attendance of students in such classes to
at least the rate for students attending regular  education  classes  in
secondary  schools of the district. Such corrective action plan shall be
submitted for approval by the commissioner by a date during  the  school
year  in  which such board increases class sizes as provided pursuant to
this subdivision to be prescribed by the  commissioner.  Upon  at  least
thirty  days  notice  to the board of education, after conclusion of the
school year in which such board increases class sizes as provided pursu-
ant to this subdivision, the commissioner shall be authorized to  termi-
nate  such  authorization  upon  a  finding that the board has failed to
develop or implement an approved corrective action plan.
  S 22. The education law is amended by adding a new section  4403-a  to
read as follows:
  S  4403-A.  WAIVERS  FROM  CERTAIN DUTIES. 1. A LOCAL SCHOOL DISTRICT,
APPROVED PRIVATE SCHOOL OR BOARD OF COOPERATIVE EDUCATIONAL SERVICES MAY
SUBMIT AN APPLICATION FOR A WAIVER FROM ANY REQUIREMENT IMPOSED ON  SUCH
DISTRICT,  SCHOOL  OR BOARD OF COOPERATIVE EDUCATIONAL SERVICES PURSUANT
TO SECTION FORTY-FOUR HUNDRED TWO OR SECTION FORTY-FOUR HUNDRED THREE OF
THIS ARTICLE, AND REGULATIONS PROMULGATED  THEREUNDER,  FOR  A  SPECIFIC
SCHOOL  YEAR.  SUCH APPLICATION MUST BE SUBMITTED AT LEAST SIXTY DAYS IN
ADVANCE OF THE PROPOSED DATE ON WHICH THE WAIVER WOULD BE EFFECTIVE  AND
SHALL BE IN A FORM PRESCRIBED BY THE COMMISSIONER.
  2.  BEFORE  SUBMITTING  AN  APPLICATION FOR A WAIVER, THE LOCAL SCHOOL
DISTRICT, APPROVED PRIVATE SCHOOL OR BOARD  OF  COOPERATIVE  EDUCATIONAL
SERVICES  SHALL  PROVIDE NOTICE OF THE PROPOSED WAIVER TO THE PARENTS OR
PERSONS IN PARENTAL RELATIONSHIP TO THE STUDENTS THAT WOULD BE  IMPACTED
BY  THE  WAIVER  IF GRANTED.   SUCH NOTICE SHALL BE IN A FORM AND MANNER
THAT WILL ENSURE THAT SUCH PARENTS AND PERSONS IN PARENTAL  RELATIONSHIP
WILL BE AWARE OF ALL RELEVANT CHANGES THAT WOULD OCCUR UNDER THE WAIVER,
AND  SHALL  INCLUDE  INFORMATION  ON  THE FORM, MANNER AND DATE BY WHICH
PARENTS MAY SUBMIT WRITTEN COMMENTS ON THE PROPOSED  WAIVER.  THE  LOCAL
SCHOOL DISTRICT, APPROVED PRIVATE SCHOOL, OR BOARD OF COOPERATIVE EDUCA-
TIONAL  SERVICES  SHALL PROVIDE AT LEAST SIXTY DAYS FOR SUCH PARENTS AND
PERSONS IN PARENTAL RELATIONSHIP TO SUBMIT WRITTEN COMMENTS,  AND  SHALL
INCLUDE IN THE WAIVER APPLICATION SUBMITTED TO THE COMMISSIONER PURSUANT
TO  SUBDIVISION  ONE  OF THIS SECTION ANY WRITTEN COMMENTS RECEIVED FROM
SUCH PARENTS OR PERSONS IN PARENTAL RELATION TO SUCH STUDENTS.

S. 2607--B                         20                         A. 3007--B

  3. THE COMMISSIONER MAY GRANT A WAIVER FROM ANY REQUIREMENT IMPOSED ON
A LOCAL SCHOOL DISTRICT, APPROVED PRIVATE SCHOOL OR BOARD OF COOPERATIVE
EDUCATIONAL SERVICES PURSUANT  TO  SECTION  FORTY-FOUR  HUNDRED  TWO  OR
SECTION  FORTY-FOUR  HUNDRED  THREE OF THIS ARTICLE, UPON A FINDING THAT
SUCH WAIVER WILL ENABLE A LOCAL SCHOOL DISTRICT, APPROVED PRIVATE SCHOOL
OR  BOARD OF COOPERATIVE EDUCATIONAL SERVICES TO IMPLEMENT AN INNOVATIVE
SPECIAL EDUCATION PROGRAM THAT IS  CONSISTENT  WITH  APPLICABLE  FEDERAL
REQUIREMENTS,  AND WILL ENHANCE STUDENT ACHIEVEMENT AND/OR OPPORTUNITIES
FOR PLACEMENT IN REGULAR CLASSES AND PROGRAMS. IN MAKING  SUCH  DETERMI-
NATION,  THE  COMMISSIONER  SHALL  CONSIDER ANY COMMENTS RECEIVED BY THE
LOCAL SCHOOL DISTRICT, APPROVED PRIVATE SCHOOL OR BOARD  OF  COOPERATIVE
EDUCATIONAL SERVICES FROM PARENTS OR PERSONS IN PARENTAL RELATION TO THE
STUDENTS THAT WOULD BE DIRECTLY AFFECTED BY THE WAIVER IF GRANTED.
  4.  ANY  LOCAL  SCHOOL  DISTRICT,  APPROVED PRIVATE SCHOOL OR BOARD OF
COOPERATIVE EDUCATIONAL SERVICES GRANTED A WAIVER SHALL SUBMIT AN ANNUAL
REPORT TO THE COMMISSIONER REGARDING THE OPERATION AND EVALUATION OF THE
PROGRAM NO LATER THAN THIRTY DAYS AFTER THE END OF EACH SCHOOL YEAR  FOR
WHICH A WAIVER IS GRANTED.
  S  23.  Paragraph a of subdivision 10 of section 4410 of the education
law is amended by adding a new subparagraph (iv) to read as follows:
  (IV) NOTWITHSTANDING ANY OTHER PROVISION OF LAW TO THE  CONTRARY,  FOR
THE  TWO THOUSAND THIRTEEN--TWO THOUSAND FOURTEEN SCHOOL YEAR AND THERE-
AFTER, THE CITY OF NEW YORK  SHALL  BE  AUTHORIZED  TO  ESTABLISH  LOCAL
TUITION  RATES FOR APPROVED SERVICES OR PROGRAMS LOCATED WITHIN THE CITY
OF NEW YORK THROUGH A  COMPETITIVE  REQUEST  FOR  PROPOSALS  PROCESS  OR
OTHERWISE,  PROVIDED  THAT SUCH LOCAL TUITION RATES SHALL NOT EXCEED THE
TUITION RATES DETERMINED BY THE COMMISSIONER AND APPROVED BY THE  DIREC-
TOR  OF  THE  BUDGET PURSUANT TO SUBPARAGRAPHS (I) THROUGH (III) OF THIS
PARAGRAPH AND SECTION FORTY-FOUR HUNDRED FIVE OF THIS ARTICLE. THE LOCAL
TUITION RATES SO ESTABLISHED SHALL BE USED IN THE CONTRACTS WITH PROVID-
ERS PROVIDING SERVICES OR PROGRAMS WITHIN THE CITY OF NEW YORK  PURSUANT
TO  THIS  SECTION  FOR  THE PROVISION OF PROGRAMS AND SERVICES FOR WHICH
SUCH RATES WERE ESTABLISHED. NOTWITHSTANDING ANY OTHER PROVISION OF THIS
SECTION TO THE CONTRARY, THE CITY OF NEW YORK SHALL BE  RESPONSIBLE  FOR
ARRANGING  FOR AND SELECTING THE APPROVED PROGRAM AND/OR RELATED SERVICE
PROVIDER THROUGH THE COMPETITIVE REQUEST FOR PROPOSAL PROCESS OR  OTHER-
WISE TO DELIVER THE PROGRAMS OR SERVICES CONSISTENT WITH THE INDIVIDUAL-
IZED  EDUCATION PROGRAM OF THE PRESCHOOL CHILD.  PROVIDED, HOWEVER, THAT
THE COMPETITIVE REQUEST FOR PROPOSAL PROCESS AUTHORIZED BY THIS SUBPARA-
GRAPH SHALL NOT  APPLY  TO  PRESCHOOL  CHILDREN  WITH  DISABILITIES  WHO
RECEIVED  PROGRAMS OR SERVICES PURSUANT TO THIS SECTION IN THE TWO THOU-
SAND TWELVE--TWO THOUSAND THIRTEEN SCHOOL YEAR.   THE CITY OF  NEW  YORK
SHALL  BE  REQUIRED  TO PROVIDE DATA RELATING TO THE LOCALLY ESTABLISHED
TUITION RATES TO THE DEPARTMENT IN THE FORM AND MANNER PRESCRIBED BY THE
COMMISSIONER.
  S 24. Subparagraph (ii) of paragraph c of subdivision  11  of  section
4410  of  the  education  law,  as amended by chapter 205 of the laws of
2009, is amended to read as follows:
  (ii) Payments made pursuant to this section by a  municipality  shall,
upon  conclusion  of  the  July  first to June thirtieth school year for
which such payment was made, be subject  to  audit  against  the  actual
difference  between  such audited expenditures and revenues. The munici-
pality shall submit the results of any such audit  to  the  commissioner
and the commissioner of social services, if appropriate, for review and,
if  warranted,  adjustment of the tuition and/or maintenance rates.  The
municipality is authorized to recover overpayments made to a provider of

S. 2607--B                         21                         A. 3007--B

special services or programs pursuant to this section as  determined  by
the  commissioner or the commissioner of health based upon their adjust-
ment of a tuition and/or maintenance rate, PROVIDED THAT FOR PURPOSES OF
MAKING SUCH ADJUSTMENT AND RECOVERY, THE MUNICIPALITY SHALL BE DEEMED TO
HAVE  PAID  ONE  HUNDRED PERCENT OF THE DISALLOWED COSTS.  Such recovery
may be accomplished by withholding such amount from any moneys  due  the
provider in the current year, or by direct reimbursement.
  S 25. Intentionally omitted.
  S 26. Section 7 of chapter 472 of the laws of 1998 amending the educa-
tion  law  relating to the lease of school buses by school districts, as
amended by section 71 of part A of chapter 58 of the laws  of  2011,  is
amended to read as follows:
  S  7.  This  act shall take effect September 1, 1998, and shall expire
and be deemed repealed September 1, [2013] 2015.
  S 27. Subdivision b of section 2 of chapter 756 of the laws  of  1992,
relating  to funding a program for work force education conducted by the
consortium for worker education in New York city, as amended by  section
13  of  part  A of chapter 57 of the laws of 2012, is amended to read as
follows:
  b. Reimbursement for programs approved in accordance with  subdivision
a  of  this  section  [for the 2009-10 school year shall not exceed 64.1
percent of the lesser of such approvable costs per contact hour or elev-
en dollars and fifty cents per  contact  hour,  reimbursement]  for  the
2010--2011  school  year  shall not exceed 62.6 percent of the lesser of
such approvable costs per contact hour or twelve dollars and five  cents
per contact hour, reimbursement for the 2011--2012 school year shall not
exceed  62.9  percent of the lesser of such approvable costs per contact
hour or twelve  dollars  and  fifteen  cents  per  contact  hour,  [and]
reimbursement  for  the  2012--2013  school  year  shall not exceed 63.3
percent of the lesser of such  approvable  costs  per  contact  hour  or
twelve dollars and thirty-five cents per contact hour, AND REIMBURSEMENT
FOR  THE  2013--2014  SCHOOL  YEAR  SHALL NOT EXCEED 62.2 PERCENT OF THE
LESSER OF SUCH APPROVABLE COSTS PER CONTACT HOUR OR TWELVE  DOLLARS  AND
FIFTY  CENTS  PER  CONTACT  HOUR,  where a contact hour represents sixty
minutes of instruction services provided to an eligible adult.  Notwith-
standing any other provision of law to the contrary,  [for  the  2009-10
school  year  such  contact  hours  shall  not  exceed one million seven
hundred sixty--three thousand  nine  hundred  seven  (1,763,907)  hours;
whereas]  for  the  2010--2011  school year such contact hours shall not
exceed one million five hundred twenty-five thousand one  hundred  nine-
ty-eight  (1,525,198) hours; whereas for the 2011--2012 school year such
contact hours shall not exceed one million seven  hundred  one  thousand
five  hundred  seventy  (1,701,570)  hours;  whereas  for the 2012--2013
school year such contact hours shall not exceed one million six  hundred
sixty-four  thousand  five hundred thirty-two (1,664,532) hours; WHEREAS
FOR THE 2013--2014 SCHOOL YEAR SUCH CONTACT HOURS SHALL NOT  EXCEED  ONE
MILLION  FOUR  HUNDRED  EIGHTY THOUSAND AND FIFTY-ONE (1,480,051) HOURS.
Notwithstanding any other provision of law to the contrary,  the  appor-
tionment calculated for the city school district of the city of New York
pursuant to subdivision 11 of section 3602 of the education law shall be
computed  as if such contact hours provided by the consortium for worker
education, not to exceed the contact hours set forth herein, were eligi-
ble for aid in accordance with the provisions of such subdivision 11  of
section 3602 of the education law.
  S  28. Section 4 of chapter 756 of the laws of 1992, relating to fund-
ing a program for work force education conducted by the  consortium  for

S. 2607--B                         22                         A. 3007--B

worker  education  in New York city, is amended by adding a new subdivi-
sion r to read as follows:
  R.  THE  PROVISIONS  OF  THIS  SUBDIVISION  SHALL  NOT APPLY AFTER THE
COMPLETION OF PAYMENTS FOR THE 2013--2014 SCHOOL YEAR.   NOTWITHSTANDING
ANY  INCONSISTENT PROVISIONS OF LAW, THE COMMISSIONER OF EDUCATION SHALL
WITHHOLD A PORTION OF EMPLOYMENT PREPARATION EDUCATION AID  DUE  TO  THE
CITY SCHOOL DISTRICT OF THE CITY OF NEW YORK TO SUPPORT A PORTION OF THE
COSTS OF THE WORK FORCE EDUCATION PROGRAM. SUCH MONEYS SHALL BE CREDITED
TO  THE ELEMENTARY AND SECONDARY EDUCATION FUND-LOCAL ASSISTANCE ACCOUNT
AND SHALL NOT  EXCEED  ELEVEN  MILLION  FIVE  HUNDRED  THOUSAND  DOLLARS
($11,500,000).
  S  29. Section 6 of chapter 756 of the laws of 1992, relating to fund-
ing a program for work force education conducted by the  consortium  for
worker education in New York city, as amended by section 15 of part A of
chapter 57 of the laws of 2012, is amended to read as follows:
  S  6.  This  act  shall  take effect July 1, 1992, and shall be deemed
repealed on June 30, [2013] 2014.
  S 30. Subdivision 1 of section 167 of chapter 169 of the laws of 1994,
relating to certain provisions related to the 1994-95 state  operations,
aid to localities, capital projects and debt service budgets, as amended
by section 17 of part A of chapter 57 of the laws of 2012, is amended to
read as follows:
  1.  Sections  one  through seventy of this act shall be deemed to have
been in full force and effect as of April  1,  1994  provided,  however,
that  sections  one,  two,  twenty-four,  twenty-five  and  twenty-seven
through seventy of this act shall expire and be deemed repealed on March
31, 2000; provided, however, that section twenty of this act shall apply
only to hearings commenced prior to  September  1,  1994,  and  provided
further  that  section twenty-six of this act shall expire and be deemed
repealed on March 31, 1997; and  provided  further  that  sections  four
through fourteen, sixteen, and eighteen, nineteen and twenty-one through
twenty-one-a  of  this  act shall expire and be deemed repealed on March
31, 1997; and provided further that sections three, fifteen,  seventeen,
twenty,  twenty-two  and  twenty-three  of  this act shall expire and be
deemed repealed on March 31, [2014] 2015.
  S 31. Subdivisions 22 and 24 of section 140 of chapter 82 of the  laws
of  1995,  amending the education law and certain other laws relating to
state aid to school districts and the appropriation  of  funds  for  the
support  of government, as amended by section 18 of part A of chapter 57
of the laws of 2012, are amended to read as follows:
  (22) sections one hundred twelve, one hundred  thirteen,  one  hundred
fourteen,  one hundred fifteen and one hundred sixteen of this act shall
take effect on July 1, 1995; provided, however, that section one hundred
thirteen of this act shall remain in full force and effect until July 1,
[2013] 2014 at which time it shall be deemed repealed;
  (24) sections one hundred eighteen through one hundred thirty of  this
act  shall  be deemed to have been in full force and effect on and after
July 1, 1995; provided further, however, that the amendments made pursu-
ant to section one hundred nineteen of this act shall be  deemed  to  be
repealed on and after July 1, [2013] 2014;
  S  32.  Section  12  of  chapter 147 of the laws of 2001, amending the
education law relating to conditional appointment  of  school  district,
charter school or BOCES employees, as amended by section 20 of part A of
chapter 57 of the laws of 2012, is amended to read as follows:

S. 2607--B                         23                         A. 3007--B

  S  12.  This  act shall take effect on the same date as chapter 180 of
the laws of 2000 takes effect, and shall expire July 1, [2013] 2014 when
upon such date the provisions of this act shall be deemed repealed.
  S  33.  Section  4  of  chapter  425 of the laws of 2002, amending the
education law relating to  the  provision  of  supplemental  educational
services,  attendance  at  a  safe  public  school and the suspension of
pupils who bring a firearm to or possess  a  firearm  at  a  school,  as
amended  by  section  21 of part A of chapter 57 of the laws of 2012, is
amended to read as follows:
  S 4. This act shall take effect July 1, 2002 and shall expire  and  be
deemed repealed June 30, [2013] 2014.
  S  34.  Section  5  of  chapter  101 of the laws of 2003, amending the
education law relating to implementation of the No Child Left Behind Act
of 2001, as amended by section 22 of part A of chapter 57 of the laws of
2012, is amended to read as follows:
  S 5. This act shall take effect immediately;  provided  that  sections
one,  two  and  three of this act shall expire and be deemed repealed on
June 30, [2013] 2014.
  S 35. School bus driver training. In addition to apportionments other-
wise provided by section 3602 of the education law, for aid  payable  in
the 2013--2014 school year, the commissioner of education shall allocate
school  bus  driver  training  grants  to school districts and boards of
cooperative education services pursuant to sections 3650-a,  3650-b  and
3650-c of the education law, or for contracts directly with not-for-pro-
fit  educational  organizations  for  the purposes of this section. Such
payments shall not exceed four hundred thousand dollars  ($400,000)  per
school year.
  S  36.  Support  of  public libraries. The moneys appropriated for the
support of public libraries by the chapter of the laws of 2013  enacting
the  aid  to  localities  budget shall be apportioned for the 2013--2014
state fiscal year in accordance with the  provisions  of  sections  271,
272,  273,  282,  284,  and  285  of the education law as amended by the
provisions of this chapter and the provisions of this act, provided that
library construction aid pursuant to section 273-a of the education  law
shall  not  be payable from the appropriations for the support of public
libraries and provided  further  that  no  library,  library  system  or
program, as defined by the commissioner of education, shall receive less
total  system  or  program  aid than it received for the year 2001--2002
except as a result of a reduction adjustment necessary to conform to the
appropriations for support of public libraries.
  Notwithstanding any other provision of law to the contrary the  moneys
appropriated for the support of public libraries for the year 2013--2014
by  a  chapter of the laws of 2013 enacting the aid to localities budget
shall fulfill the state's obligation to provide such aid  and,  pursuant
to a plan developed by the commissioner of education and approved by the
director of the budget, the aid payable to libraries and library systems
pursuant  to  such  appropriations  shall  be reduced proportionately to
assure that the total amount of aid payable does not  exceed  the  total
appropriations for such purpose.
  S  37.  Special apportionment for salary expenses.  a. Notwithstanding
any other provision of law, upon  application  to  the  commissioner  of
education,  not  sooner  than  the first day of the second full business
week of June, 2014 and not later than the last day  of  the  third  full
business  week  of  June, 2014, a school district eligible for an appor-
tionment pursuant to section 3602 of the education law shall be eligible
to receive an apportionment pursuant to this  section,  for  the  school

S. 2607--B                         24                         A. 3007--B

year  ending June 30, 2014, for salary expenses incurred between April 1
and June 30, 2014 and such apportionment shall not exceed the sum of (i)
the deficit reduction assessment of  1990--1991  as  determined  by  the
commissioner  of  education, pursuant to paragraph f of subdivision 1 of
section 3602 of the education law, as in effect through June  30,  1993,
plus  (ii)  186  percent  of such amount for a city school district in a
city with a population in excess of 1,000,000  inhabitants,  plus  (iii)
209  percent  of such amount for a city school district in a city with a
population of more than 195,000 inhabitants and less than 219,000 inhab-
itants according to the latest federal census, plus  (iv)  the  net  gap
elimination adjustment for 2010--2011, as determined by the commissioner
of  education  pursuant  to chapter 53 of the laws of 2010, plus (v) the
gap elimination adjustment for 2011--2012 as determined by  the  commis-
sioner  of  education  pursuant to subdivision 17 of section 3602 of the
education law, and provided further that such  apportionment  shall  not
exceed  such salary expenses. Such application shall be made by a school
district, after the board of education or trustees have adopted a resol-
ution to do so and in the case of a city school district in a city  with
a  population in excess of 125,000 inhabitants, with the approval of the
mayor of such city.
  b. The claim for an apportionment to be  paid  to  a  school  district
pursuant  to  subdivision  a  of  this section shall be submitted to the
commissioner of education on a form prescribed  for  such  purpose,  and
shall  be  payable upon determination by such commissioner that the form
has been submitted as prescribed. Such approved amounts shall be payable
on the same day in September of the school year following  the  year  in
which  application  was  made as funds provided pursuant to subparagraph
(4) of paragraph b of subdivision 4 of section 92-c of the state finance
law, on the audit and warrant  of  the  state  comptroller  on  vouchers
certified  or  approved  by  the commissioner of education in the manner
prescribed by law from moneys in the state lottery  fund  and  from  the
general  fund  to  the  extent that the amount paid to a school district
pursuant to this section exceeds the amount, if  any,  due  such  school
district pursuant to subparagraph (2) of paragraph a of subdivision 1 of
section  3609-a  of  the  education law in the school year following the
year in which application was made.
  c. Notwithstanding the provisions of section 3609-a of  the  education
law, an amount equal to the amount paid to a school district pursuant to
subdivisions  a  and  b of this section shall first be deducted from the
following payments due  the  school  district  during  the  school  year
following  the  year  in which application was made pursuant to subpara-
graphs (1), (2), (3), (4) and (5) of paragraph a  of  subdivision  1  of
section  3609-a of the education law in the following order: the lottery
apportionment payable pursuant to subparagraph  (2)  of  such  paragraph
followed by the fixed fall payments payable pursuant to subparagraph (4)
of  such  paragraph  and then followed by the district's payments to the
teachers' retirement system pursuant to subparagraph (1) of  such  para-
graph, and any remainder to be deducted from the individualized payments
due  the  district  pursuant to paragraph b of such subdivision shall be
deducted on a chronological basis starting with the earliest payment due
the district.
  S 38. Special apportionment for public pension accruals. a.   Notwith-
standing any other provision of law, upon application to the commission-
er  of education, not later than June 30, 2014, a school district eligi-
ble for an apportionment pursuant to section 3602 of the  education  law
shall  be eligible to receive an apportionment pursuant to this section,

S. 2607--B                         25                         A. 3007--B

for the school year ending June 30, 2014 and  such  apportionment  shall
not  exceed  the  additional  accruals  required  to  be  made by school
districts in the 2004--2005 and 2005--2006 school years associated  with
changes  for  such  public pension liabilities. The amount of such addi-
tional accrual shall be certified to the commissioner  of  education  by
the  president of the board of education or the trustees or, in the case
of a city school district in a city  with  a  population  in  excess  of
125,000  inhabitants,  the mayor of such city. Such application shall be
made by a school district, after the board of education or trustees have
adopted a resolution to do so and in the case of a city school  district
in  a  city with a population in excess of 125,000 inhabitants, with the
approval of the mayor of such city.
  b. The claim for an apportionment to be  paid  to  a  school  district
pursuant  to  subdivision  a  of  this section shall be submitted to the
commissioner of education on a form prescribed  for  such  purpose,  and
shall  be  payable upon determination by such commissioner that the form
has been submitted as prescribed. Such approved amounts shall be payable
on the same day in September of the school year following  the  year  in
which  application  was  made as funds provided pursuant to subparagraph
(4) of paragraph b of subdivision 4 of section 92-c of the state finance
law, on the audit and warrant  of  the  state  comptroller  on  vouchers
certified  or  approved  by  the commissioner of education in the manner
prescribed by law from moneys in the state lottery  fund  and  from  the
general  fund  to  the  extent that the amount paid to a school district
pursuant to this section exceeds the amount, if  any,  due  such  school
district pursuant to subparagraph (2) of paragraph a of subdivision 1 of
section  3609-a  of  the  education law in the school year following the
year in which application was made.
  c. Notwithstanding the provisions of section 3609-a of  the  education
law, an amount equal to the amount paid to a school district pursuant to
subdivisions  a  and  b of this section shall first be deducted from the
following payments due  the  school  district  during  the  school  year
following  the  year  in which application was made pursuant to subpara-
graphs (1), (2), (3), (4) and (5) of paragraph a  of  subdivision  1  of
section  3609-a of the education law in the following order: the lottery
apportionment payable pursuant to subparagraph  (2)  of  such  paragraph
followed by the fixed fall payments payable pursuant to subparagraph (4)
of  such  paragraph  and then followed by the district's payments to the
teachers' retirement system pursuant to subparagraph (1) of  such  para-
graph, and any remainder to be deducted from the individualized payments
due  the  district  pursuant to paragraph b of such subdivision shall be
deducted on a chronological basis starting with the earliest payment due
the district.
  S 39. a. Notwithstanding any other law,  rule  or  regulation  to  the
contrary,  any moneys appropriated to the state education department may
be suballocated to other state departments or agencies,  as  needed,  to
accomplish the intent of the specific appropriations contained therein.
  b.  Notwithstanding any other law, rule or regulation to the contrary,
moneys appropriated to the state education department from  the  general
fund/aid  to  localities,  local  assistance  account-001,  shall be for
payment of financial assistance, as  scheduled,  net  of  disallowances,
refunds, reimbursement and credits.
  c.  Notwithstanding any other law, rule or regulation to the contrary,
all moneys appropriated to the state education  department  for  aid  to
localities shall be available for payment of aid heretofore or hereafter

S. 2607--B                         26                         A. 3007--B

to  accrue  and may be suballocated to other departments and agencies to
accomplish the intent of the specific appropriations contained therein.
  d.  Notwithstanding any other law, rule or regulation to the contrary,
moneys appropriated  to  the  state  education  department  for  general
support  for  public  schools may be interchanged with any other item of
appropriation for general support for public schools within the  general
fund  local  assistance  account office of prekindergarten through grade
twelve education programs.
  S 40. Notwithstanding the provision of any law, rule, or regulation to
the contrary, the city school district of the city  of  Rochester,  upon
the  consent  of  the  board  of cooperative educational services of the
supervisory district serving its geographic  region  may  purchase  from
such  board  for  the  2013--2014 school year, as a non-component school
district, services required by article 19 of the education law.
  S 41. The amounts specified in this section shall be a  setaside  from
the  state  funds  which  each such district is receiving from the total
foundation aid:
  a. for the purpose of the development,  maintenance  or  expansion  of
magnet schools or magnet school programs for the 2013--2014 school year.
To  the city school district of the city of New York there shall be paid
forty-eight  million   one   hundred   seventy-five   thousand   dollars
($48,175,000) including five hundred thousand dollars ($500,000) for the
Andrew  Jackson  High School; to the Buffalo city school district, twen-
ty-one  million  twenty-five  thousand  dollars  ($21,025,000);  to  the
Rochester  city  school district, fifteen million dollars ($15,000,000);
to  the  Syracuse  city  school  district,  thirteen   million   dollars
($13,000,000);  to  the Yonkers city school district, forty-nine million
five hundred thousand dollars ($49,500,000); to the Newburgh city school
district,  four  million  six  hundred   forty-five   thousand   dollars
($4,645,000); to the Poughkeepsie city school district, two million four
hundred  seventy-five thousand dollars ($2,475,000); to the Mount Vernon
city school district, two  million  dollars  ($2,000,000);  to  the  New
Rochelle  city  school  district,  one million four hundred ten thousand
dollars ($1,410,000); to  the  Schenectady  city  school  district,  one
million eight hundred thousand dollars ($1,800,000); to the Port Chester
city  school  district,  one  million one hundred fifty thousand dollars
($1,150,000); to the White Plains city  school  district,  nine  hundred
thousand  dollars ($900,000); to the Niagara Falls city school district,
six hundred thousand dollars  ($600,000);  to  the  Albany  city  school
district,   three   million   five   hundred   fifty   thousand  dollars
($3,550,000); to the Utica city school  district,  two  million  dollars
($2,000,000); to the Beacon city school district, five hundred sixty-six
thousand  dollars  ($566,000);  to  the Middletown city school district,
four hundred thousand dollars ($400,000); to  the  Freeport  union  free
school district, four hundred thousand dollars ($400,000); to the Green-
burgh   central   school   district,   three  hundred  thousand  dollars
($300,000); to the Amsterdam city school district, eight  hundred  thou-
sand  dollars  ($800,000);  to  the  Peekskill city school district, two
hundred thousand dollars ($200,000);  and  to  the  Hudson  city  school
district, four hundred thousand dollars ($400,000).
  b.  notwithstanding the provisions of subdivision a of this section, a
school district receiving a grant pursuant to this section may use  such
grant  funds  for:  (i) any instructional or instructional support costs
associated with the operation of a magnet school; or (ii)  any  instruc-
tional  or instructional support costs associated with implementation of
an alternative approach to reduction of racial isolation and/or enhance-

S. 2607--B                         27                         A. 3007--B

ment of the instructional program and raising of standards in elementary
and secondary schools of school  districts  having  substantial  concen-
trations  of  minority students. The commissioner of education shall not
be authorized to withhold magnet grant funds from a school district that
used  such  funds in accordance with this paragraph, notwithstanding any
inconsistency with a request for proposals issued by such commissioner.
  c. for the purpose of attendance improvement  and  dropout  prevention
for  the  2013--2014 school year, for any city school district in a city
having a population of more than one million, the setaside  for  attend-
ance improvement and dropout prevention shall equal the amount set aside
in the base year. For the 2013--2014 school year, it is further provided
that any city school district in a city having a population of more than
one  million shall allocate at least one-third of any increase from base
year levels in funds set aside pursuant  to  the  requirements  of  this
subdivision  to  community-based  organizations.  Any  increase required
pursuant to this subdivision to community-based organizations must be in
addition to allocations provided to community-based organizations in the
base year.
  d. for the purpose of teacher support for the 2013--2014 school  year:
to  the  city school district of the city of New York, sixty-two million
seven hundred seven thousand dollars ($62,707,000); to the Buffalo  city
school  district,  one  million seven hundred forty-one thousand dollars
($1,741,000); to the Rochester city school district, one million  seven-
ty-six  thousand  dollars  ($1,076,000);  to  the  Yonkers  city  school
district,  one  million  one  hundred   forty-seven   thousand   dollars
($1,147,000);  and  to  the Syracuse city school district, eight hundred
nine thousand dollars ($809,000). All funds made available to  a  school
district  pursuant to this subdivision shall be distributed among teach-
ers including prekindergarten teachers and teachers of adult  vocational
and  academic  subjects in accordance with this subdivision and shall be
in addition to salaries  heretofore  or  hereafter  negotiated  or  made
available;  provided,  however,  that  all funds distributed pursuant to
this section for the current year shall be  deemed  to  incorporate  all
funds  distributed  pursuant to former subdivision 27 of section 3602 of
the education law for prior years. In school districts where the  teach-
ers  are  represented by certified or recognized employee organizations,
all salary increases funded pursuant to this section shall be determined
by separate collective negotiations conducted pursuant to the provisions
and procedures of article 14 of the civil service  law,  notwithstanding
the  existence of a negotiated agreement between a school district and a
certified or recognized employee organization.
  S 42. Severability. The provisions of this act shall be severable, and
if the application of  any  clause,  sentence,  paragraph,  subdivision,
section  or  part  of  this  act  to any person or circumstance shall be
adjudged by any court of competent  jurisdiction  to  be  invalid,  such
judgment shall not necessarily affect, impair or invalidate the applica-
tion of any such clause, sentence, paragraph, subdivision, section, part
of  this  act  or  remainder  thereof,  as the case may be, to any other
person or circumstance, but shall be confined in its  operation  to  the
clause,  sentence,  paragraph,  subdivision,  section  or  part  thereof
directly involved in the controversy in which such judgment  shall  have
been rendered.
  S  43.  This act shall take effect immediately, and shall be deemed to
have been in full force and effect on and after April 1, 2013, provided,
however, that:

S. 2607--B                         28                         A. 3007--B

  1. Sections five and six of this act shall take effect immediately and
shall be deemed to have been in full force and effect on and after  July
1,  2010;  provided,  further,  that  the amendments to subdivision 1 of
section 2856 of the education law made by section five of this act shall
be  subject to the expiration and reversion of such subdivision pursuant
to section 27 of chapter 378 of the laws of 2007, as amended, when  upon
such date the provisions of section six of this act shall take effect;
  2. Section nine of this act shall take effect July 1, 2014;
  3.  Sections  one,  eleven, twelve, thirteen, fourteen, fifteen, eigh-
teen, nineteen, twenty, twenty-one, twenty-seven, twenty-eight,  thirty-
five and forty-one of this act shall take effect July 1, 2013;
  4.  The  amendments  to subdivision 6 of section 4402 of the education
law made by section twenty-one of this act shall not affect  the  repeal
of such subdivision and shall be deemed repealed therewith;
  5.  The  amendments to subdivision 10 of section 4410 of the education
law, made by section twenty-three of this act shall take effect April 1,
2013 and shall first apply to the provision  of  services  and  programs
pursuant  to  section 4410 of the education law in the 2013--2014 school
year;
  6. The amendments to chapter 756 of the  laws  of  1992,  relating  to
funding a program for work force education conducted by a consortium for
worker  education  in  New  York city, made by sections twenty-seven and
twenty-eight of this act shall not affect the repeal of such chapter and
shall be deemed repealed therewith; and
  7. Section thirty-nine of this act shall expire and be deemed repealed
June 30, 2014.

                                 PART B

  Section 1. Section 350 of the education law is amended by adding  four
new subdivisions 10, 11, 12 and 13 to read as follows:
  10.  "DORMITORY  FACILITIES  REVENUE  FUND" MEANS THE FUND ESTABLISHED
PURSUANT TO SECTION SIXTEEN HUNDRED EIGHTY-Q OF THE  PUBLIC  AUTHORITIES
LAW.
  11. "DORMITORY FACILITIES REVENUES" MEANS ALL MONEYS, INCLUDING RENTS,
FEES AND CHARGES, DERIVED FROM THE USE OR OCCUPANCY OF DORMITORY FACILI-
TIES.
  12. "DORMITORY FACILITY" MEANS A DORMITORY, AS SUCH TERM IS DEFINED IN
PARAGRAPH  (A) OF SUBDIVISION TWO OF SECTION SIXTEEN HUNDRED SEVENTY-SIX
OF THE PUBLIC AUTHORITIES LAW.
  13. "DORMITORY FACILITY REVENUE BOND" MEANS ANY NOTE OR  BOND  OF  THE
DORMITORY  AUTHORITY  (I) ISSUED ON OR AFTER THE FIRST DAY OF APRIL, TWO
THOUSAND THIRTEEN FOR THE PURPOSES OF FINANCING DORMITORY FACILITIES  OR
REFINANCING NOTES OR BONDS PREVIOUSLY ISSUED IN CONNECTION WITH DORMITO-
RY  FACILITIES, INCLUDING NOTES OR BONDS ISSUED TO PAY COSTS INCURRED IN
CONNECTION WITH THE ISSUANCE OF SUCH NOTES OR BONDS, TO FUND ANY RESERVE
FOR THE PAYMENT OF DEBT SERVICE ON SUCH BONDS  OR  NOTES,  TO  FUND  ANY
RESERVE  ESTABLISHED  FOR  THE IMPROVEMENT, REPAIR, MAINTENANCE OR OPER-
ATIONS OF DORMITORY FACILITIES, OR TO PAY OR PROVIDE FOR THE PAYMENT  OF
ANY  NOTE  OR  BOND  PREVIOUSLY ISSUED FOR ANY SUCH PURPOSE, AND (II) IS
PAYABLE FROM MONEYS ON DEPOSIT IN THE DORMITORY FACILITIES REVENUE  FUND
AND IS NOT PAYABLE FROM ANY REVENUE OF THE STATE.
  S  2.  Subdivision 2 of section 355 of the education law is amended by
adding a new paragraph y to read as follows:
  Y. TO BETTER SECURE DORMITORY AUTHORITY  BONDS  ISSUED  IN  CONNECTION
WITH  DORMITORY  FACILITIES, INCLUDING DORMITORY FACILITY REVENUE BONDS,

S. 2607--B                         29                         A. 3007--B

THE STATE UNIVERSITY OF NEW YORK IS HEREBY AUTHORIZED, IN ITS OWN  NAME,
TO ASSIGN OR OTHERWISE TRANSFER TO THE DORMITORY AUTHORITY ANY OR ALL OF
THE STATE UNIVERSITY'S RIGHTS, TITLE AND INTEREST IN AND TO THE DORMITO-
RY  FACILITY  REVENUES,  AND TO ENTER INTO AGREEMENTS WITH THE DORMITORY
AUTHORITY PURSUANT TO SUBDIVISION TWO OF SECTION SIXTEEN HUNDRED  EIGHT-
Y-Q  OF  THE PUBLIC AUTHORITIES LAW IN FURTHERANCE OF SUCH ASSIGNMENT OR
TRANSFER. ANY ASSIGNMENT OR TRANSFER MADE  PURSUANT  TO  THIS  PARAGRAPH
SHALL  CONSTITUTE  A  TRUE  SALE  AND ABSOLUTE TRANSFER OF THE DORMITORY
FACILITIES REVENUES. THE CHARACTERIZATION OF SUCH ASSIGNMENT OR TRANSFER
SHALL NOT BE NEGATED OR ADVERSELY AFFECTED BY THE RETENTION BY THE STATE
UNIVERSITY OF NEW YORK OF ANY OWNERSHIP INTEREST IN THE DORMITORY FACIL-
ITIES REVENUES OR OF ANY RESIDUAL RIGHT  TO  PAYMENT  OF  ANY  DORMITORY
FACILITY  REVENUES  REMAINING  IN  THE DORMITORY FACILITIES REVENUE FUND
AFTER THE MONEYS THEREIN HAVE BEEN APPLIED IN ACCORDANCE WITH  PARAGRAPH
(B)  OF  SUBDIVISION  THREE  OF  SECTION SIXTEEN HUNDRED EIGHTY-Q OF THE
PUBLIC AUTHORITIES LAW. ALL RIGHTS, TITLE AND INTEREST  IN  AND  TO  ANY
MONEYS  PAID  TO  OR  UPON THE ORDER OF THE STATE UNIVERSITY OF NEW YORK
PURSUANT TO ANY AGREEMENT BY AND BETWEEN THE DORMITORY AUTHORITY AND THE
STATE UNIVERSITY OF NEW YORK ENTERED INTO PURSUANT TO SUBDIVISION TWO OF
SECTION SIXTEEN HUNDRED EIGHTY-Q OF THE PUBLIC AUTHORITIES LAW OR PURSU-
ANT TO ANY AGREEMENT ENTERED INTO PURSUANT TO PARAGRAPH J OF SUBDIVISION
TWO OF SECTION SIXTEEN HUNDRED EIGHTY  OF  THE  PUBLIC  AUTHORITIES  LAW
SHALL VEST IN THE STATE UNIVERSITY OF NEW YORK AND BE THE ABSOLUTE PROP-
ERTY  OF  THE  STATE UNIVERSITY OF NEW YORK, AND THE DORMITORY AUTHORITY
SHALL NO LONGER HAVE ANY INTEREST IN SUCH MONEYS.
  S 3. Subdivision 8 of section 355 of the education law, as amended  by
chapter 553 of the laws of 1985, is amended to read as follows:
  8.  [All]  EXCEPT AS OTHERWISE PROVIDED HEREIN, ALL moneys received by
the state university of New  York  and  by  state-operated  institutions
thereof  from  appropriations,  tuition,  fees,  user  charges, sales of
products and services and from all other sources, including sources  and
activities of the state university which are intended by law to be self-
supporting  may be credited to an appropriate fund or funds to be desig-
nated by the state comptroller. The amounts so paid into  such  fund  or
funds  which  were received by or for the state university shall be used
for expenses of the state university in carrying out any of its  objects
and  purposes  and such amounts received by or for state-operated insti-
tutions of the state university shall be used for expenses of the  state
university  under  regulations  prescribed by the state university trus-
tees.  NOTWITHSTANDING THE FOREGOING PROVISIONS OF THIS SUBDIVISION, ALL
DORMITORY FACILITIES REVENUES TRANSFERRED TO THE DORMITORY AUTHORITY  BY
ASSIGNMENT  OR  OTHERWISE  PURSUANT TO PARAGRAPH Y OF SUBDIVISION TWO OF
THIS SECTION SHALL UPON RECEIPT BY THE STATE UNIVERSITY ACTING AS  AGENT
FOR  THE DORMITORY AUTHORITY BE TRANSFERRED AND IMMEDIATELY PAID WITHOUT
APPROPRIATION THEREOF TO THE COMMISSIONER OF TAXATION AND FINANCE PURSU-
ANT TO SUBDIVISION FOUR OF SECTION FOUR OF THE  STATE  FINANCE  LAW  FOR
DEPOSIT TO THE DORMITORY FACILITIES REVENUE FUND.
  S  4.  The  public  authorities law is amended by adding a new section
1680-q to read as follows:
  S 1680-Q. STATE UNIVERSITY OF NEW YORK DORMITORY FACILITIES.    1.  AS
USED  IN  OR  REFERRED  TO  IN  THIS SECTION, UNLESS A DIFFERENT MEANING
APPEARS FROM THE CONTEXT, THE FOLLOWING TERMS SHALL HAVE  THE  FOLLOWING
RESPECTIVE MEANINGS:
  (A)  "AGREEMENT"  MEANS  AN AGREEMENT BY AND BETWEEN THE AUTHORITY AND
THE STATE UNIVERSITY ENTERED INTO PURSUANT TO THIS SECTION.

S. 2607--B                         30                         A. 3007--B

  (B) "DORMITORY FACILITIES REVENUE FUND"  MEANS  THE  FUND  ESTABLISHED
PURSUANT TO SUBDIVISION THREE OF THIS SECTION.
  (C) "DORMITORY FACILITIES REVENUES" MEANS ALL MONEYS, INCLUDING RENTS,
FEES AND CHARGES, DERIVED FROM THE USE OR OCCUPANCY OF DORMITORY FACILI-
TIES.
  (D) "DORMITORY FACILITY" MEANS A DORMITORY, AS SUCH TERM IS DEFINED IN
PARAGRAPH  (A) OF SUBDIVISION TWO OF SECTION SIXTEEN HUNDRED SEVENTY-SIX
OF THIS TITLE.
  (E) "DORMITORY FACILITY REVENUE BOND" MEANS ANY NOTE OR  BOND  OF  THE
AUTHORITY  (I)  ISSUED  ON OR AFTER THE FIRST DAY OF APRIL, TWO THOUSAND
THIRTEEN FOR THE PURPOSES OF FINANCING DORMITORY FACILITIES OR REFINANC-
ING NOTES OR BONDS ISSUED PREVIOUSLY IN CONNECTION WITH DORMITORY FACIL-
ITIES, INCLUDING  NOTES  OR  BONDS  ISSUED  TO  PAY  COSTS  INCURRED  IN
CONNECTION WITH THE ISSUANCE OF SUCH NOTES OR BONDS, TO FUND ANY RESERVE
FOR  THE  PAYMENT  OF  DEBT  SERVICE  ON SUCH BONDS, TO FUND ANY RESERVE
ESTABLISHED FOR THE IMPROVEMENT, REPAIR, MAINTENANCE  OR  OPERATIONS  OF
DORMITORY  FACILITIES,  OR TO PAY OR PROVIDE FOR THE PAYMENT OF ANY NOTE
OR BOND PREVIOUSLY ISSUED FOR ANY SUCH PURPOSE, AND (II) IS PAYABLE FROM
MONEYS ON DEPOSIT IN THE DORMITORY FACILITIES REVENUE FUND.
  (F) "PRIOR DORMITORY FACILITY BOND" MEANS ANY  NOTE  OR  BOND  OF  THE
AUTHORITY  ISSUED  PRIOR  TO  APRIL  FIRST,  TWO  THOUSAND  THIRTEEN  IN
CONNECTION WITH DORMITORY FACILITIES.
  (G) "STATE UNIVERSITY" MEANS THE  STATE  UNIVERSITY  OF  NEW  YORK,  A
CORPORATION WITHIN THE STATE EDUCATION DEPARTMENT AND WITHIN THE UNIVER-
SITY OF THE STATE OF NEW YORK CREATED BY SECTION THREE HUNDRED FIFTY-TWO
OF THE EDUCATION LAW.
  2.  THE  AUTHORITY MAY, FROM AND AFTER APRIL FIRST, TWO THOUSAND THIR-
TEEN, ISSUE DORMITORY FACILITY REVENUE BONDS IN AN AMOUNT NOT TO  EXCEED
NINE  HUNDRED FORTY-FOUR MILLION DOLLARS. SUCH AMOUNT SHALL BE EXCLUSIVE
OF BONDS AND NOTES ISSUED TO FUND ANY RESERVE FUND  OR  FUNDS,  COST  OF
ISSUANCE,  ORIGINAL  ISSUE  PREMIUM,  AND  TO REFUND ANY PRIOR DORMITORY
FACILITY BONDS OR ANY DORMITORY FACILITY REVENUE  BONDS.  THE  AUTHORITY
AND  THE STATE UNIVERSITY ARE HEREBY AUTHORIZED TO ENTER INTO AGREEMENTS
RELATING TO, AMONG OTHER THINGS, THE ACQUISITION OF PROPERTY  OR  INTER-
ESTS THEREIN, THE CONSTRUCTION, RECONSTRUCTION, REHABILITATION, IMPROVE-
MENT,  EQUIPPING  AND  FURNISHING OF DORMITORY FACILITIES, THE OPERATION
AND MAINTENANCE OF DORMITORY FACILITIES, AND THE BILLING, COLLECTION AND
DISBURSEMENT OF DORMITORY FACILITIES REVENUES, THE TITLE  TO  WHICH  HAS
BEEN CONVEYED, ASSIGNED OR OTHERWISE TRANSFERRED TO THE AUTHORITY PURSU-
ANT  TO  PARAGRAPH  Y  OF  SUBDIVISION  TWO  OF  SECTION  THREE  HUNDRED
FIFTY-FIVE OF THE EDUCATION LAW. NO DEBT SHALL BE CONTRACTED  EXCEPT  TO
FINANCE  CAPITAL  WORKS OR PURPOSES. NOTWITHSTANDING ANY OTHER PROVISION
OF LAW, DORMITORY FACILITY REVENUES SHALL NOT BE DEEMED TO  BE  REVENUES
OF  THE  STATE.  THE  STATE  SHALL NOT BE LIABLE FOR ANY PAYMENTS ON ANY
DORMITORY FACILITY REVENUE BONDS, AND SUCH BONDS SHALL NOT BE A DEBT  OF
THE STATE.
  3.  (A) THERE IS HEREBY ESTABLISHED IN THE CUSTODY OF THE COMMISSIONER
OF TAXATION AND FINANCE A SPECIAL FUND TO  BE  KNOWN  AS  THE  DORMITORY
FACILITIES REVENUE FUND. SUCH FUND SHALL CONSIST OF ALL DORMITORY FACIL-
ITIES  REVENUES  CONVEYED,  ASSIGNED  OR  OTHERWISE  TRANSFERRED  TO THE
AUTHORITY PURSUANT TO PARAGRAPH Y OF SUBDIVISION TWO  OF  SECTION  THREE
HUNDRED  FIFTY-FIVE  OF  THE  EDUCATION  LAW,  WHICH UPON RECEIPT BY THE
COMMISSIONER OF TAXATION AND FINANCE SHALL BE DEPOSITED IN SUCH FUND AND
HELD BY THE COMMISSIONER OF TAXATION AND FINANCE PURSUANT TO SUBDIVISION
FOUR OF SECTION FOUR OF THE STATE FINANCE LAW. THE MONEYS  IN  THE  FUND
SHALL  BE  THE  SOLE AND EXCLUSIVE PROPERTY OF THE AUTHORITY. THE MONEYS

S. 2607--B                         31                         A. 3007--B

HELD IN THE FUND SHALL BE HELD SEPARATE AND APART FROM AND  NOT  COMMIN-
GLED  WITH ANY MONEYS OF THE STATE OR ANY OTHER MONEYS IN THE CUSTODY OF
THE COMMISSIONER OF TAXATION AND FINANCE.  ALL DEPOSITS OF MONEYS SHALL,
IF  REQUIRED  BY THE COMMISSIONER OF TAXATION AND FINANCE, BE SECURED BY
OBLIGATIONS OF THE UNITED STATES OF AMERICA OR OF  THE  STATE  HAVING  A
MARKET  VALUE  EQUAL AT ALL TIMES TO THE AMOUNT OF SUCH DEPOSITS AND ALL
BANKS AND TRUST COMPANIES ARE  AUTHORIZED  TO  GIVE  SECURITY  FOR  SUCH
DEPOSITS.  ANY MONEYS IN SUCH FUND MAY, IN THE DISCRETION OF THE COMMIS-
SIONER OF TAXATION AND FINANCE, BE INVESTED IN OBLIGATIONS DESCRIBED  IN
SECTION NINETY-EIGHT OF THE STATE FINANCE LAW. THE COMMISSIONER OF TAXA-
TION AND FINANCE SHALL CERTIFY TO THE AUTHORITY AND THE STATE UNIVERSITY
NOT  LATER  THAN THE FIFTEENTH DAY OF EACH MONTH THE AMOUNT OF DORMITORY
FACILITIES REVENUES DEPOSITED IN THE FUND DURING THE PRECEDING  CALENDAR
MONTH AND THE AMOUNT HELD IN THE FUND AS OF THE LAST DAY OF SUCH PRECED-
ING CALENDAR MONTH.
  (B)  DURING EACH TWELVE MONTH PERIOD COMMENCING JULY FIRST OF A CALEN-
DAR YEAR AND ENDING ON JUNE THIRTIETH OF THE SUCCEEDING  CALENDAR  YEAR,
THE  COMMISSIONER  OF  TAXATION AND FINANCE SHALL PAY, WITHOUT APPROPRI-
ATION, TO OR UPON THE ORDER OF THE AUTHORITY FROM THE MONEYS IN THE FUND
THE AMOUNT CERTIFIED TO THE COMMISSIONER OF TAXATION AND FINANCE BY  THE
AUTHORITY  PURSUANT  TO  PARAGRAPH  (C)  OF THIS SUBDIVISION. ANY MONEYS
REMAINING IN THE FUND AFTER PAYMENT TO THE AUTHORITY OF  THE  AMOUNT  SO
CERTIFIED  SHALL  BE PAID BY THE COMMISSIONER OF TAXATION AND FINANCE IN
ACCORDANCE WITH THE AGREEMENT. ALL RIGHTS, TITLE AND INTEREST IN AND  TO
ANY MONEYS PAID TO OR UPON THE ORDER OF THE STATE UNIVERSITY PURSUANT TO
THE  AGREEMENT  SHALL  VEST  IN THE STATE UNIVERSITY AND BE THE ABSOLUTE
PROPERTY OF THE STATE UNIVERSITY, AND THE AUTHORITY SHALL NO LONGER HAVE
ANY INTEREST IN SUCH MONEYS.
  (C) THE AUTHORITY SHALL, NOT LATER THAN BY THE FIRST DAY  OF  JUNE  OF
EACH  CALENDAR YEAR, CERTIFY TO THE COMMISSIONER OF TAXATION AND FINANCE
AND TO THE STATE UNIVERSITY: (I) THE AMOUNT OF  THE  RENTALS,  INCLUDING
THE  AMOUNTS  REQUIRED  FOR PAYMENT OF THE PRINCIPAL OF, AND INTEREST ON
PRIOR DORMITORY FACILITY BONDS REQUIRED TO BE MADE BY THE STATE  UNIVER-
SITY  TO  THE AUTHORITY DURING THE TWELVE MONTH PERIOD COMMENCING ON THE
SUCCEEDING JULY FIRST AND ENDING ON THE SUCCEEDING JUNE THIRTIETH PURSU-
ANT TO THE AGREEMENT BETWEEN THE AUTHORITY  AND  THE  STATE  UNIVERSITY,
DATED   AS   OF   THE  TWENTIETH  DAY  OF  SEPTEMBER,  NINETEEN  HUNDRED
NINETY-FIVE, AS AMENDED AND RESTATED; (II) THE AMOUNT REQUIRED TO  MAIN-
TAIN ANY RESERVES FOR THE REPAIR AND REPLACEMENT OF DORMITORY FACILITIES
OR  THE OPERATIONS AND MAINTENANCE OF DORMITORY FACILITIES IN CONNECTION
WITH THE PRIOR DORMITORY FACILITY BONDS; (III) THE AMOUNT  REQUIRED  FOR
PAYMENT OF THE PRINCIPAL OF, WHETHER AT MATURITY OR DUE THROUGH MANDATO-
RY  REDEMPTION, AND INTEREST ON DORMITORY FACILITY REVENUE BONDS PAYABLE
ON JANUARY FIRST OF SUCH TWELVE MONTH PERIOD  AND  ON  JULY  FIRST  NEXT
SUCCEEDING  SUCH  TWELVE MONTH PERIOD; (IV) THE AMOUNT REQUIRED TO MAIN-
TAIN ANY RESERVES FOR THE REPAIR AND REPLACEMENT OF DORMITORY FACILITIES
OR THE OPERATIONS AND MAINTENANCE OF DORMITORY FACILITIES IN  CONNECTION
WITH  THE  DORMITORY  FACILITY REVENUE BONDS; (V) THE AMOUNT REQUIRED TO
RESTORE ANY RESERVE FOR THE PAYMENT OF DEBT SERVICE ON DORMITORY FACILI-
TY REVENUE BONDS TO ITS REQUIREMENT; AND (VI) THE  COSTS,  EXPENSES  AND
OVERHEAD  OF  THE  DORMITORY AUTHORITY TO BE INCURRED DURING SUCH TWELVE
MONTH PERIOD IN CONNECTION WITH  AND  REASONABLY  RELATED  TO  DORMITORY
FACILITIES  FINANCED  THROUGH THE ISSUANCE OF DORMITORY FACILITY REVENUE
BONDS. EACH SUCH AMOUNT SHALL BE SEPARATELY  STATED  AND  IDENTIFIED  IN
SUCH  CERTIFICATE.  ANY  SUCH  CERTIFICATE  SUBMITTED  BY  THE DORMITORY
AUTHORITY MAY BE AMENDED BY THE DORMITORY AUTHORITY FROM TIME TO TIME AS

S. 2607--B                         32                         A. 3007--B

NECESSARY TO ADJUST THE AMOUNTS SET FORTH THEREIN. THE  MONEYS  PAID  TO
THE  AUTHORITY  PURSUANT  TO  PARAGRAPH (B) OF THIS SUBDIVISION SHALL BE
APPLIED BY THE AUTHORITY IN THE ORDER OF PRIORITY IN WHICH  THE  AMOUNTS
SET FORTH IN SUCH CERTIFICATION ARE STATED IN THIS PARAGRAPH.
  S  5.  For  the purposes of paragraphs (b) and (c) of subdivision 3 of
section 1680-q of the public authorities law, as added by  section  four
of this act, the dormitory authority shall, within thirty days after the
date  on  which this act shall become effective, make and deliver to the
commissioner of taxation and finance and the  state  university  of  New
York  a  certification  in the form and substance required by such para-
graph (c) with respect to amounts required for the items specified ther-
ein during the period from the effective date of this act to and includ-
ing the thirtieth day of June, 2013,  and,  if  this  act  shall  become
effective after the first day of June, 2013, for the twelve month period
commencing  the  first day of July, 2013, to and including the thirtieth
day of June, 2014. No money shall be paid by the commissioner  of  taxa-
tion  and  finance  out  of  the  dormitory facility revenue fund except
unless and until such commissioner has  received  the  certification  or
certifications required by this section.
  S 6. This act shall take effect immediately.

                                 PART C

  Section  1.  Paragraph  (a) of subdivision 1 of section 1 of part U of
chapter 57 of the laws of 2005 amending the labor  law  and  other  laws
implementing  the state fiscal plan for the 2005-2006 state fiscal year,
relating to the New York state higher education capital  matching  grant
program  for  independent colleges, as amended by section 1 of part H of
chapter 57 of the laws of 2012, is amended to read as follows:
  (a) The New York state higher education capital matching  grant  board
is  hereby  created to have and exercise the powers, duties and preroga-
tives provided by the provisions of this section and any other provision
of law. The board shall remain in existence during the period of the New
York state higher education capital  matching  grant  program  from  the
effective  date  of  this  section through March 31, [2013] 2014, or the
date on which the last of the funds  available  for  grants  under  this
section  shall  have  been  disbursed,  whichever  is earlier; provided,
however, that the termination of the existence of the  board  shall  not
affect the power and authority of the dormitory authority to perform its
obligations  with  respect  to  any  bonds, notes, or other indebtedness
issued or incurred pursuant to authority granted in this section.
  S 2. Paragraph (h) of subdivision 4 of section 1 of part U of  chapter
57  of the laws of 2005 amending the labor law and other laws implement-
ing the state fiscal plan for the 2005-2006 state fiscal year,  relating
to  the  New  York state higher education capital matching grant program
for independent colleges, as amended by section 2 of part H  of  chapter
57 of the laws of 2012, is amended to read as follows:
  (h)  [If  a  college did not apply for a potential grant] IN THE EVENT
THAT ANY COLLEGES DO NOT APPLY FOR  HIGHER  EDUCATION  CAPITAL  MATCHING
GRANTS  by  March  31,  2009,  OR  IN  THE  EVENT THEY APPLY FOR AND ARE
AWARDED, BUT DO NOT USE THE FULL AMOUNT OF SUCH GRANTS, THE UNUSED funds
associated with  such  [potential  grant]  GRANTS  shall  THEREAFTER  be
awarded[,]  TO  COLLEGES  on  a  competitive basis, [to other colleges,]
according to the priorities set forth below. [Colleges]  NOTWITHSTANDING
SUBDIVISION FIVE OF THIS SECTION, ANY COLLEGE shall be eligible to apply
for  [unutilized  grants] SUCH UNUSED FUNDS IN RESPONSE TO A REQUEST FOR

S. 2607--B                         33                         A. 3007--B

PROPOSALS FOR A HIGHER EDUCATION CAPITAL MATCHING GRANT PURSUANT TO THIS
PARAGRAPH.  In such cases, the following priorities shall apply:  first,
priority shall be given to otherwise eligible colleges that either were,
or would have been, deemed ineligible for the program prior to March 31,
2009,  due  to  missed  deadlines,  insufficient matching funds, lack of
accreditation or other disqualifying  reasons;  and  second,  after  the
board  has  acted  upon  all such first-priority applications for unused
funds, if any such funds remain, those  funds  shall  be  available  for
distribution  to  eligible  colleges  [that  are located within the same
Regents of the State of New  York  region  for  which  such  funds  were
originally  allocated].   THE UNUSED FUNDS ASSOCIATED WITH HIGHER EDUCA-
TION CAPITAL MATCHING GRANTS THAT WERE AVAILABLE IN THE  FIRST  INSTANCE
TO  COLLEGES AND UNIVERSITIES LOCATED IN THE COUNTIES OF NASSAU, SUFFOLK
AND IN THE CITY OF NEW YORK, SHALL BE AWARDED PURSUANT TO THIS PARAGRAPH
TO COLLEGES IN THE COUNTIES OF NASSAU AND SUFFOLK AND THE  CITY  OF  NEW
YORK,  AND THE UNUSED FUNDS ASSOCIATED WITH SUCH GRANTS THAT WERE AVAIL-
ABLE IN THE FIRST INSTANCE TO COLLEGES OUTSIDE THE COUNTIES  OF  NASSAU,
SUFFOLK AND THE CITY OF NEW YORK SHALL BE AWARDED PURSUANT TO THIS PARA-
GRAPH  TO  COLLEGES  LOCATED OUTSIDE THE COUNTIES OF NASSAU, SUFFOLK AND
THE CITY OF NEW YORK. The dormitory authority shall  develop  a  request
for  proposals  and application process, in consultation with the board,
for [such] HIGHER EDUCATION CAPITAL MATCHING grants AWARDED PURSUANT  TO
THIS  PARAGRAPH,  and  shall  develop criteria, subject to review by the
board, for the awarding of such grants. Such  criteria  shall  [incorpo-
rate]  INCLUDE, BUT NOT BE LIMITED TO the matching criteria contained in
paragraph (c) of this subdivision,  and  the  application  criteria  set
forth  in  paragraph  (e)  of  this subdivision. The dormitory authority
shall require all applications in response to the request for  proposals
to  be submitted by September 1, [2012] 2013, and the board shall act on
each application for such matching grants by November 1, [2012] 2013.
  S 3. Subclause (A) of clause (ii) of paragraph (j) of subdivision 4 of
section 1 of part U of chapter 57 of the laws of 2005 amending the labor
law and other laws implementing the state fiscal plan for the  2005-2006
state fiscal year, relating to the New York state higher education capi-
tal  matching  grant  program  for  independent  colleges, as amended by
section 3 of part H of chapter 57 of the laws of  2012,  is  amended  to
read as follows:
  (A) Notwithstanding the provision of any general or special law to the
contrary,  and  subject  to  the provisions of chapter 59 of the laws of
2000 and to the making of annual appropriations therefor by the legisla-
ture, in order to assist the dormitory authority in providing such high-
er education capital matching grants, the  director  of  the  budget  is
authorized  in  any  state  fiscal  year commencing April 1, 2005 or any
state fiscal year thereafter for a period ending  on  March  31,  [2014]
2015,  to  enter into one or more service contracts, none of which shall
exceed 30 years in duration, with the  dormitory  authority,  upon  such
terms as the director of the budget and the dormitory authority agree.
  S  4. Paragraph (b) of subdivision 7 of section 1 of part U of chapter
57 of the laws of 2005 amending the labor law and other laws  implement-
ing  the state fiscal plan for the 2005-2006 state fiscal year, relating
to the New York state higher education matching  capital  grant  program
for  independent  colleges, as amended by section 4 of part H of chapter
57 of the laws of 2012, is amended to read as follows:
  (b) Any eligible institution receiving a grant pursuant to this  arti-
cle shall report to the dormitory authority no later than June 1, [2013]
2014,  on  the use of funding received and its programmatic and economic

S. 2607--B                         34                         A. 3007--B

impact. The dormitory authority shall submit  a  report  no  later  than
November  1, [2013] 2014 to the board, the governor, the director of the
budget, the temporary president of the senate, and the  speaker  of  the
assembly  on the aggregate impact of the higher education matching capi-
tal grant program. Such report shall provide information on the progress
and economic impact of such project.
  S 5. This act shall take effect immediately and  shall  be  deemed  to
have been in full force and effect on and after April 1, 2013.

                                 PART D

  Section  1.  Subdivision  1  of  section  6304 of the education law is
amended by adding two new paragraphs b-1 and b-2 to read as follows:
  B-1. (I) NOTWITHSTANDING ANY PROVISION OF LAW TO THE CONTRARY, FOR THE
COMMUNITY COLLEGE FISCAL YEAR TWO THOUSAND THIRTEEN--TWO THOUSAND  FOUR-
TEEN AND THEREAFTER, ENROLLMENT IN A PROGRAM THAT CONFERS A CREDIT-BEAR-
ING  CERTIFICATE,  AN  ASSOCIATE  OF  OCCUPATIONAL STUDIES DEGREE, OR AN
ASSOCIATE OF APPLIED SCIENCE DEGREE, SHALL ONLY COUNT AS AIDABLE COLLEGE
ENROLLMENT IF:
  (A) THE PROGRAM IS A PARTNERSHIP BETWEEN THE COMMUNITY COLLEGE AND ONE
OR MORE EMPLOYERS TO TRAIN AND EMPLOY STUDENTS IN A SPECIFIC OCCUPATION;
OR
  (B) THE PROGRAM (1) PREPARES STUDENTS FOR  AN  OCCUPATION  THAT  MEETS
CURRENT OR EMERGING REGIONAL WORKFORCE NEEDS BASED ON A LIST PROVIDED BY
THE  DEPARTMENT OF LABOR BASED ON AVAILABLE LABOR MARKET DATA OR IDENTI-
FIED AS SUCH BY THE APPLICABLE REGIONAL  ECONOMIC  DEVELOPMENT  COUNCIL,
AND (2) HAS AN ADVISORY COMMITTEE MADE UP OF MEMBERS OF WHOM THE MAJORI-
TY  ARE EMPLOYERS IN THE OCCUPATION OR SECTOR, OR A RELATED SECTOR, THAT
EMPLOY OR COMMIT TO EMPLOY WORKERS IN THE  REGION  WHERE  THE  COMMUNITY
COLLEGE  IS  LOCATED,  AND SUCH COMMITTEE SERVES TO ADVISE THE COMMUNITY
COLLEGE ON THE PROGRAM'S CURRICULUM, RECRUITMENT, PLACEMENT  AND  EVALU-
ATION SO THAT IT REMAINS UP-TO-DATE WITH EMPLOYER NEEDS.
  (II) NOTWITHSTANDING SUBPARAGRAPH (I) OF THIS PARAGRAPH, ENROLLMENT IN
PROGRAMS  THAT FAIL TO MEET THE REQUIREMENTS OF SUBPARAGRAPH (I) OF THIS
PARAGRAPH SHALL COUNT IN THE DETERMINATION OF AIDABLE COLLEGE ENROLLMENT
IN THE TWO THOUSAND THIRTEEN--TWO THOUSAND  FOURTEEN  COMMUNITY  COLLEGE
FISCAL  YEAR  ONLY  TO  THE  EXTENT  A  STUDENT WAS ENROLLED IN THE SAME
PROGRAM AND WAS COUNTED IN THE DETERMINATION OF AIDABLE COLLEGE  ENROLL-
MENT DURING, OR PRIOR TO, THE TWO THOUSAND TWELVE--TWO THOUSAND THIRTEEN
COMMUNITY COLLEGE FISCAL YEAR.
  (III)  ON  OR BEFORE NOVEMBER FIRST OF EACH YEAR, THE STATE UNIVERSITY
TRUSTEES AND THE CITY UNIVERSITY TRUSTEES SHALL EACH SUBMIT A REPORT  TO
THE  DIRECTOR  OF THE BUDGET FOR PURPOSES OF DETERMINING AMOUNTS PAYABLE
TO COMMUNITY COLLEGES. SUCH REPORT SHALL INCLUDE AN ACCOUNTING OF  AIDA-
BLE  COLLEGE  ENROLLMENT AS DETERMINED IN ACCORDANCE WITH THIS PARAGRAPH
FOR PROGRAMS THAT CONFER CREDIT-BEARING CERTIFICATES, ASSOCIATE OF OCCU-
PATIONAL STUDIES DEGREES, OR ASSOCIATE OF APPLIED  SCIENCE  DEGREES,  IN
SUCH  A  FORM  AND  MANNER  AS THE DIRECTOR OF THE BUDGET MAY REQUIRE TO
VERIFY COMPLIANCE WITH SUBPARAGRAPHS (I) AND (II) OF THIS PARAGRAPH  AND
APPROVE  OR DENY PAYMENT FOR SUCH PROGRAMS THEREOF; AND PROVIDED FURTHER
THAT, PRIOR TO SUBMITTING SUCH REPORTS,  THE  CHANCELLOR  OF  THE  STATE
UNIVERSITY  OF NEW YORK AND THE CHANCELLOR OF THE CITY UNIVERSITY OF NEW
YORK SHALL ASSIST THE DIRECTOR OF THE BUDGET IN AN EVALUATION OF WHETHER
THERE ARE ADDITIONAL WORKFORCE AND VOCATIONAL  PROGRAMS  THAT  SHALL  BE
CONSIDERED  IN  FUTURE  YEARS FOR THE PURPOSE OF MAKING NECESSARY CALCU-
LATIONS PURSUANT TO THIS PARAGRAPH AND PARAGRAPH B-2 OF THIS SECTION.

S. 2607--B                         35                         A. 3007--B

  B-2. (I) NOTWITHSTANDING ANY PROVISION OF LAW TO THE CONTRARY,  WITHIN
AMOUNTS APPROPRIATED THEREFOR, THE STATE UNIVERSITY OF NEW YORK AND CITY
UNIVERSITY  OF  NEW  YORK SHALL MAKE AWARDS TO COMMUNITY COLLEGES FROM A
NEXT GENERATION NY JOB LINKAGE PROGRAM  INCENTIVE  FUND  ON  A  PRO-RATA
BASIS  IN  ACCORDANCE WITH A METHODOLOGY AND IN A FORM AND MANNER DEVEL-
OPED BY THE DIRECTOR OF THE  BUDGET,  IN  CONSULTATION  WITH  THE  STATE
UNIVERSITY AND CITY UNIVERSITY, BASED ON MEASURES OF STUDENT SUCCESS FOR
ALL STUDENTS ENROLLED IN PROGRAMS THAT MEET THE REQUIREMENTS OF SUBPARA-
GRAPH (I) OF PARAGRAPH B-1 OF THIS SUBDIVISION INCLUDING, BUT NOT LIMIT-
ED TO:
  (A)  THE  NUMBER  OF  STUDENTS  WHO  ARE  EMPLOYED FOLLOWING DEGREE OR
CERTIFICATE COMPLETION AND THEIR WAGE GAINS, IF ANY,  AS  DETERMINED  BY
THE  DEPARTMENT  OF  LABOR,  WHICH SHALL BE GIVEN THE GREATEST WEIGHTING
AMONG ALL MEASURES OF STUDENT SUCCESS;
  (B) THE NUMBER OF  ON-TIME  DEGREE  COMPLETIONS,  ON-TIME  CERTIFICATE
COMPLETIONS AND STUDENT TRANSFERS TO OTHER INSTITUTIONS OF HIGHER EDUCA-
TION;
  (C) THE NUMBER OF DEGREES AND CERTIFICATE COMPLETIONS THAT DO NOT MEET
THE  ON-TIME  REQUIREMENT OF CLAUSE (B) OF THIS SUBPARAGRAPH WHICH SHALL
BE GIVEN LESSER WEIGHT THAN CLAUSE (B);
  (D) THE NUMBER OF DEGREE AND CERTIFICATE COMPLETIONS UNDER CLAUSES (B)
AND (C) OF  THIS  SUBPARAGRAPH  BY  A  STUDENT  CONSIDERED  ACADEMICALLY
AT-RISK  DUE TO ECONOMIC DISADVANTAGE OR OTHER FACTOR OF UNDER-REPRESEN-
TATION WITHIN THE FIELD OF STUDY; AND
  (E)  THE  NUMBER  OF  STUDENTS  WHO  MAKE  ADEQUATE  PROGRESS  TOWARDS
COMPLETION  OF  A  DEGREE  OR CERTIFICATE, WHICH MAY INCLUDE ACCELERATED
COMPLETION OF A DEVELOPMENTAL EDUCATION PROGRAM.
  (II) ON OR BEFORE DECEMBER FIRST OF EACH YEAR, OR AN ALTERNATIVE  DATE
AS  DETERMINED  BY  THE  DIRECTOR OF THE BUDGET IN CONSULTATION WITH THE
STATE UNIVERSITY AND CITY UNIVERSITY, THE STATE UNIVERSITY TRUSTEES  AND
THE  CITY  UNIVERSITY  TRUSTEES SHALL EACH SUBMIT A PLAN FOR APPROVAL BY
THE DIRECTOR OF THE BUDGET TO ALLOCATE AMOUNTS AVAILABLE  FOR  THE  NEXT
GENERATION NY JOB LINKAGE PROGRAM INCENTIVE FUND IN ACCORDANCE WITH THIS
PARAGRAPH.
  S 2. This act shall take effect immediately.

                                 PART E

  Section  1.  Paragraphs  (a),  (b),  (c)  and  (d) of subdivision 1 of
section 131-o of the social services law, as amended  by  section  1  of
part  C  of  chapter  57  of  the  laws  of 2012, are amended to read as
follows:
  (a) in the case of each individual receiving family  care,  an  amount
equal to at least [$135.00] $137.00 for each month beginning on or after
January first, two thousand [twelve] THIRTEEN.
  (b)  in  the  case  of  each individual receiving residential care, an
amount equal to at least [$155.00] $158.00 for each month  beginning  on
or after January first, two thousand [twelve] THIRTEEN.
  (c)  in  the  case  of  each individual receiving enhanced residential
care, an amount equal to at  least  [$184.00]  $187.00  for  each  month
beginning on or after January first, two thousand [twelve] THIRTEEN.
  (d)  for  the period commencing January first, two thousand [thirteen]
FOURTEEN, the monthly personal needs allowance shall be an amount  equal
to the sum of the amounts set forth in subparagraphs one and two of this
paragraph:

S. 2607--B                         36                         A. 3007--B

  (1)  the  amounts  specified  in  paragraphs  (a), (b) and (c) of this
subdivision; and
  (2)  the  amount  in subparagraph one of this paragraph, multiplied by
the percentage of any  federal  supplemental  security  income  cost  of
living adjustment which becomes effective on or after January first, two
thousand  [thirteen] FOURTEEN, but prior to June thirtieth, two thousand
[thirteen] FOURTEEN, rounded to the nearest whole dollar.
  S 2. Paragraphs (a), (b), (c), (d), (e) and (f) of  subdivision  2  of
section  209 of the social services law, as amended by section 2 of part
C of chapter 57 of the laws of 2012, are amended to read as follows:
  (a) On and after January first, two thousand [twelve] THIRTEEN, for an
eligible individual living alone, [$785.00] $797.00; and for an eligible
couple living alone, [$1152.00] $1170.00.
  (b) On and after January first, two thousand [twelve] THIRTEEN, for an
eligible individual living with others with or without  in-kind  income,
[$721.00] $733.00; and for an eligible couple living with others with or
without in-kind income, [$1094.00] $1112.00.
  (c)  On  and  after January first, two thousand [twelve] THIRTEEN, (i)
for an eligible individual receiving family care, [$964.48]  $976.48  if
he  or  she is receiving such care in the city of New York or the county
of Nassau, Suffolk, Westchester or Rockland; and (ii)  for  an  eligible
couple  receiving  family  care in the city of New York or the county of
Nassau, Suffolk, Westchester or Rockland, two times the amount set forth
in subparagraph (i) of this paragraph; or (iii) for an eligible individ-
ual receiving such care in any other  county  in  the  state,  [$926.48]
$938.48;  and  (iv)  for  an  eligible couple receiving such care in any
other county in the state, two times the amount set  forth  in  subpara-
graph (iii) of this paragraph.
  (d)  On  and  after January first, two thousand [twelve] THIRTEEN, (i)
for  an  eligible  individual  receiving  residential  care,  [$1133.00]
$1145.00  if he or she is receiving such care in the city of New York or
the county of Nassau, Suffolk, Westchester or Rockland; and (ii) for  an
eligible  couple  receiving  residential care in the city of New York or
the county of Nassau, Suffolk, Westchester or Rockland,  two  times  the
amount  set forth in subparagraph (i) of this paragraph; or (iii) for an
eligible individual receiving such care  in  any  other  county  in  the
state,  [$1103.00]  $1115.00;  and (iv) for an eligible couple receiving
such care in any other county in the state, two  times  the  amount  set
forth in subparagraph (iii) of this paragraph.
  (e)  (i)  On  and after January first, two thousand [twelve] THIRTEEN,
for  an  eligible  individual  receiving  enhanced   residential   care,
[$1392.00]  $1404.00; and (ii) for an eligible couple receiving enhanced
residential care, two times the amount set forth in subparagraph (i)  of
this paragraph.
  (f) The amounts set forth in paragraphs (a) through (e) of this subdi-
vision  shall  be  increased to reflect any increases in federal supple-
mental security income benefits for individuals or couples which  become
effective  on  or  after January first, two thousand [thirteen] FOURTEEN
but prior to June thirtieth, two thousand [thirteen] FOURTEEN.
  S 3. This act shall take effect December 31, 2013.

                                 PART F

  Section 1. Title 1 of article  2-A  of  the  social  services  law  is
REPEALED.

S. 2607--B                         37                         A. 3007--B

  S  2. The private housing finance law is amended by adding a new arti-
cle 28 to read as follows:
                               ARTICLE 28
                 HOMELESS HOUSING AND ASSISTANCE PROGRAM
SECTION 1223. LEGISLATIVE FINDINGS AND PURPOSE.
        1224. DEFINITIONS.
        1225. HOMELESS HOUSING AND ASSISTANCE CONTRACTS.
        1226. GENERAL AND ADMINISTRATIVE PROVISIONS.
  S 1223. LEGISLATIVE FINDINGS AND PURPOSE. THE LEGISLATURE HEREBY FINDS
THAT  THE  NEED  CONTINUES  TO  EXIST FOR A PROGRAM TO PROVIDE MONIES TO
NOT-FOR-PROFIT  CORPORATIONS,  CHARITABLE  ORGANIZATIONS,  WHOLLY  OWNED
SUBSIDIARIES  OF  NOT-FOR-PROFIT CORPORATIONS OR OF CHARITABLE ORGANIZA-
TIONS,  PUBLIC  CORPORATIONS  AND  MUNICIPALITIES  TO  DEVELOP,  EXPAND,
PRESERVE  AND IMPROVE THE SUPPLY OF SHELTER AND OTHER SUPPORTIVE HOUSING
ARRANGEMENTS FOR HOMELESS PERSONS. THIS PROGRAM SHALL NOW BE OVERSEEN BY
THE STATE DIVISION OF HOUSING AND COMMUNITY RENEWAL,  THE  STATE  AGENCY
THAT   HAS   PRIMARY   RESPONSIBILITY   FOR  AND  EXPERTISE  IN  CAPITAL
CONSTRUCTION AND ASSET MANAGEMENT. THE STATE  DIVISION  OF  HOUSING  AND
COMMUNITY  RENEWAL, IN CONJUNCTION WITH THE HOMELESS HOUSING AND ASSIST-
ANCE CORPORATION, SHALL CONSULT WITH THE OFFICE OF TEMPORARY  AND  DISA-
BILITY ASSISTANCE, THE OFFICE OF MENTAL HEALTH, THE OFFICE OF ALCOHOLISM
AND  SUBSTANCE  ABUSE SERVICES AND SUCH OTHER APPROPRIATE AGENCIES AS IT
MAY DEEM NECESSARY IN ORDER TO EFFECTUATE THE PURPOSES OF THIS  ARTICLE.
IN  ADDITION,  THE STATE DIVISION OF HOUSING AND COMMUNITY RENEWAL SHALL
CONSULT WITH THE OFFICE OF TEMPORARY AND DISABILITY ASSISTANCE IN REGARD
TO THE REVIEW OF THE COMPONENTS OF PROPOSED PROJECT OPERATING  PLANS  AS
REFERENCED IN PARAGRAPHS (B), (C) AND (D) OF SUBDIVISION FOUR OF SECTION
TWELVE HUNDRED TWENTY-FIVE OF THIS ARTICLE.
  S  1224.  DEFINITIONS.  AS  USED  IN THIS ARTICLE, THE FOLLOWING TERMS
SHALL HAVE THE FOLLOWING MEANINGS UNLESS THE  CONTEXT  CLEARLY  REQUIRES
OTHERWISE:
  1. "CORPORATION" SHALL MEAN THE HOMELESS HOUSING AND ASSISTANCE CORPO-
RATION ESTABLISHED IN SECTION FORTY-FIVE-C OF THIS CHAPTER.
  2. "HOMELESS PROJECT" SHALL MEAN A SPECIFIC FACILITY, INCLUDING LANDS,
BUILDINGS AND IMPROVEMENTS ACQUIRED, CONSTRUCTED, RENOVATED OR REHABILI-
TATED AND OPERATED BY A NOT-FOR-PROFIT CORPORATION, CHARITABLE ORGANIZA-
TION,  WHOLLY  OWNED  SUBSIDIARY OF A NOT-FOR-PROFIT CORPORATION OR OF A
CHARITABLE  ORGANIZATION,  PUBLIC  CORPORATION  OR  A  MUNICIPALITY   TO
INCREASE THE AVAILABILITY OF HOUSING FOR HOMELESS PERSONS, WHICH (A) MAY
INCLUDE  FACILITIES  FOR  ASSOCIATED SERVICES SUCH AS BUT NOT LIMITED TO
DINING,  RECREATIONAL,  SANITARY,  SOCIAL,  MEDICAL  AND  MENTAL  HEALTH
SERVICES  AS  MAY BE DEEMED BY THE CORPORATION TO BE ESSENTIAL TO SUCH A
PROJECT; AND (B) MUST PROVIDE DIRECTLY OR ARRANGE INDIRECTLY  SUPPORTIVE
SERVICES,  AS  DEEMED  BY THE CORPORATION TO BE APPROPRIATE TO THE POPU-
LATION TO BE HOUSED AND ESSENTIAL TO SUCH A PROJECT.
  3. "HOMELESS PERSON" SHALL MEAN A PERSON OR FAMILY WHO  IS  UNABLE  TO
SECURE  PERMANENT  AND  STABLE  HOUSING  WITHOUT  SPECIAL ASSISTANCE, AS
DETERMINED BY THE CORPORATION.
  4. "PROJECT COST" SHALL MEAN THE  COST  OF  ANY  OR  ALL  UNDERTAKINGS
NECESSARY   FOR   PLANNING,  FINANCING,  LAND  ACQUISITION,  DEMOLITION,
CONSTRUCTION, REHABILITATION, EQUIPMENT, FURNITURE AND SITE DEVELOPMENT.
  5. "OTHER THAN PROJECT COST" SHALL MEAN COSTS ASSOCIATED WITH SUSTAIN-
ING THE LONG-TERM VIABILITY OF THE PROJECT, INCLUDING, BUT  NOT  LIMITED
TO  STARTUP  COSTS, RESERVES, EMERGENT REPAIR NEEDS AND RELATED COSTS TO
THE CORPORATION OF STABILIZING OPERATING PROJECTS,  AS  MAY  BE  FURTHER

S. 2607--B                         38                         A. 3007--B

DEFINED  IN  THE  REGULATIONS  AND  SUBJECT TO THE LIMITATIONS STATED IN
SUBDIVISION NINE OF SECTION TWELVE HUNDRED TWENTY-FIVE OF THIS ARTICLE.
  6.  "NOT-FOR-PROFIT  CORPORATION"  AND "CHARITABLE ORGANIZATION" SHALL
MEAN ENTITIES ESTABLISHED PURSUANT TO THE NOT-FOR-PROFIT CORPORATION LAW
OR OTHERWISE ESTABLISHED PURSUANT TO LAW.
  7. "PUBLIC CORPORATION" SHALL MEAN A MUNICIPAL CORPORATION, A DISTRICT
CORPORATION, OR A PUBLIC BENEFIT CORPORATION.
  S 1225. HOMELESS HOUSING  AND  ASSISTANCE  CONTRACTS.  1.  WITHIN  THE
LIMITS  OF  FUNDS  APPROPRIATED  FOR THE HOMELESS HOUSING AND ASSISTANCE
PROGRAM, THE CORPORATION IS AUTHORIZED  TO  ENTER  INTO  CONTRACTS  WITH
MUNICIPALITIES  TO  PROVIDE  STATE  FINANCIAL ASSISTANCE FOR THE PROJECT
COSTS ATTRIBUTABLE TO THE ESTABLISHMENT OF  HOMELESS  HOUSING  PROJECTS.
THE  MUNICIPALITIES THAT ENTER INTO CONTRACTS WITH THE CORPORATION SHALL
UNDERTAKE THE ESTABLISHMENT OF THE HOMELESS  HOUSING  PROJECT  OR  SHALL
CONTRACT WITH A NOT-FOR-PROFIT CORPORATION OR CHARITABLE ORGANIZATION TO
UNDERTAKE THE PROJECT, PURSUANT TO THIS ARTICLE.
  2.  SUBJECT  TO THE APPROVAL OF THE DIRECTOR OF THE BUDGET, THE CORPO-
RATION IS AUTHORIZED TO ENTER INTO CONTRACTS WITH NOT-FOR-PROFIT  CORPO-
RATIONS  OR  SUBSIDIARIES  THEREOF,  PUBLIC  CORPORATIONS  OR CHARITABLE
ORGANIZATIONS OR SUBSIDIARIES THEREOF TO PROVIDE STATE FINANCIAL ASSIST-
ANCE FOR THE PROJECT COSTS ATTRIBUTABLE TO THE ESTABLISHMENT OF HOMELESS
PROJECTS.
  3. THE STATE FINANCIAL ASSISTANCE SHALL BE  IN  THE  FORM  OF  GRANTS,
LOANS  OR  LOAN  GUARANTEES, AS THE CORPORATION MAY DETERMINE; PROVIDED,
HOWEVER, THAT FINANCIAL ASSISTANCE TO A FOR-PROFIT SUBSIDIARY OF A  NOT-
FOR-PROFIT  CORPORATION  OR  OF A CHARITABLE ORGANIZATION MUST BE IN THE
FORM OF A LOAN OR LOAN GUARANTEE. ANY LOAN TO  A  FOR-PROFIT  SUBSIDIARY
SHALL BE REPAID UNDER SUCH TERMS AS WILL PROTECT THE FINANCIAL VIABILITY
OF  THE PROJECT.  SUBJECT TO THE APPROVAL OF THE DIRECTOR OF THE BUDGET,
THE CORPORATION MAY CONTRACT WITH OTHER STATE AGENCIES,  PUBLIC  BENEFIT
CORPORATIONS  OR PRIVATE INSTITUTIONS TO ADMINISTER A LOAN OR LOAN GUAR-
ANTEE PROGRAM PURSUANT TO REGULATIONS TO BE PROMULGATED  BY  THE  CORPO-
RATION.
  4.  THE  CORPORATION  SHALL  REQUIRE  THAT,  IN ORDER TO RECEIVE FUNDS
PURSUANT TO THIS ARTICLE, THE MUNICIPALITY,  NOT-FOR-PROFIT  CORPORATION
OR  SUBSIDIARY THEREOF, PUBLIC CORPORATION OR CHARITABLE ORGANIZATION OR
SUBSIDIARY THEREOF MUST  SUBMIT  AN  OPERATING  PLAN.  SUCH  PLAN  SHALL
INCLUDE:
  (A) THE MANNER IN WHICH THE OPERATING EXPENSES OF THE PROJECT SHALL BE
MET;
  (B)  THE SERVICES THAT WILL BE PROVIDED TO HOMELESS PERSONS, INCLUDING
PROCEDURES FOR INTAKE, REFERRAL AND OUTREACH;
  (C) THE RESPONSIBILITIES  OF  THE  MUNICIPALITY  AND  SOCIAL  SERVICES
DISTRICT FOR THE OPERATION OF THE PROJECT;
  (D) THE SPECIFIC POPULATION THAT WILL BE SERVED BY THE PROJECT AND HOW
THE PROJECT WILL ADDRESS THE POPULATION'S SPECIAL NEEDS;
  (E) THE CATEGORY OF FACILITY PROPOSED TO BE ESTABLISHED;
  (F)  EVIDENCE  DEMONSTRATING THAT SUCH PROJECT COMPLIES OR WILL COMPLY
WITH EXISTING LOCAL, STATE AND FEDERAL LAWS AND REGULATIONS; AND
  (G) A RENT OR OTHER REVENUE STRUCTURE THAT IS AFFORDABLE TO THE  POPU-
LATION TO BE HOUSED.
  5.  THE CORPORATION MAY USE UP TO TWO PERCENT OF THE APPROPRIATION FOR
ANY FISCAL YEAR TO PAY FOR TECHNICAL ASSISTANCE IN  SUPPORT  OF  PROJECT
DEVELOPMENT  AND  OPERATION. TECHNICAL ASSISTANCE MAY INCLUDE ASSISTANCE
WITH GENERAL PROJECT DEVELOPMENT AND OPERATION, SUPPORT SERVICES  DEVEL-
OPMENT,  ARCHITECTURE  AND  ENGINEERING,  LEGAL  SERVICES  AND FINANCIAL

S. 2607--B                         39                         A. 3007--B

SERVICES AND MAY BE PROVIDED BY INDIVIDUALS AND NOT-FOR-PROFIT OR  BUSI-
NESS CORPORATIONS. THE PROVIDERS OF TECHNICAL ASSISTANCE SHALL BE CHOSEN
BY  THE  CORPORATION  BASED ON SUCH INFORMATION AS THE CORPORATION SHALL
REQUIRE  IN  A REQUEST FOR PROPOSALS OR IN ANY OTHER COMPETITIVE PROCESS
WHICH SATISFIES THE PROVISIONS OF THE STATE FINANCE LAW.
  6. PRIOR TO ENTERING INTO A CONTRACT FOR THE ESTABLISHMENT AND  OPERA-
TION  OF  A  HOMELESS  PROJECT PURSUANT TO THIS SECTION, THE CORPORATION
SHALL DETERMINE THAT THE NOT-FOR-PROFIT CORPORATION OR SUBSIDIARY THERE-
OF, PUBLIC CORPORATION OR CHARITABLE ORGANIZATION OR SUBSIDIARY  THEREOF
THAT PROPOSES TO UNDERTAKE THE HOMELESS PROJECT IS A BONA FIDE ORGANIZA-
TION  WHICH  SHALL  HAVE DEMONSTRATED BY ITS PAST AND CURRENT ACTIVITIES
THAT IT  HAS  THE  ABILITY  TO  MAINTAIN,  MANAGE  OR  OPERATE  HOMELESS
PROJECTS,  THAT  THE  ORGANIZATION  IS FINANCIALLY RESPONSIBLE, THAT THE
PROPOSED PROJECT IS FINANCIALLY VIABLE AND THAT  THE  PROJECT  PLAN  HAS
BEEN  DETERMINED  TO BE APPROPRIATE FOR THE NEEDS OF THE HOMELESS IN THE
RELEVANT COMMUNITY.
  7. EVERY CONTRACT ENTERED INTO FOR THE ESTABLISHMENT AND OPERATION  OF
A  HOMELESS  PROJECT  PURSUANT TO THIS ARTICLE SHALL CONTAIN A PROVISION
THAT IN THE EVENT THE PROPERTY WHICH IS THE  SUBJECT  OF  SUCH  CONTRACT
CEASES  TO  BE  USED  AS A HOMELESS PROJECT DURING A FIFTEEN-YEAR PERIOD
COMMENCING WITH THE DATE OF THE CORPORATION'S WRITTEN APPROVAL OF  OCCU-
PANCY  OF  THE HOMELESS PROJECT, OR SUCH LONGER PERIOD OF TIME AS MAY BE
ESTABLISHED IN THE  CONTRACT,  OR  IN  CASE  OF  ANY  OTHER  SUBSTANTIAL
VIOLATION,  THE  CORPORATION  MAY TERMINATE THE CONTRACT AND MAY REQUIRE
THE REPAYMENT OF ANY MONEYS PREVIOUSLY  ADVANCED  TO  THE  MUNICIPALITY,
NOT-FOR-PROFIT  CORPORATION OR SUBSIDIARY THEREOF, PUBLIC CORPORATION OR
CHARITABLE ORGANIZATION OR SUBSIDIARY THEREOF PURSUANT TO THE  TERMS  OF
SUCH CONTRACT. WHERE THE MUNICIPALITY HAS ENTERED INTO A CONTRACT WITH A
NOT-FOR-PROFIT  CORPORATION OR SUBSIDIARY THEREOF, PUBLIC CORPORATION OR
CHARITABLE ORGANIZATION OR  SUBSIDIARY  THEREOF,  THE  CORPORATION  MAY,
PURSUANT  TO  THIS  SUBDIVISION, REQUIRE THAT THE MUNICIPALITY TERMINATE
THE CONTRACT WITH SUCH CORPORATION. ANY MONEY REPAID  PURSUANT  TO  THIS
SUBDIVISION  SHALL  BE  RETURNED  TO THE HOMELESS HOUSING AND ASSISTANCE
ACCOUNT.
  8. EACH CONTRACT ENTERED INTO FOR THE ESTABLISHMENT AND OPERATION OF A
HOMELESS PROJECT PURSUANT TO  THIS  ARTICLE  SHALL  BE  SUBJECT  TO  THE
APPROVAL  OF THE DIRECTOR OF THE BUDGET AND SHALL PROVIDE FOR PAYMENT TO
THE MUNICIPALITY,  NOT-FOR-PROFIT  CORPORATION  OR  SUBSIDIARY  THEREOF,
PUBLIC  CORPORATION OR CHARITABLE ORGANIZATION OR SUBSIDIARY THEREOF FOR
THE PROJECT COSTS RELATED TO THE HOMELESS PROJECT TO BE  ESTABLISHED  BY
IT, PURSUANT TO A PAYMENT SCHEDULE.  THE FULL AMOUNT OF THE CONTRACT, OR
ANY  APPROPRIATE  PORTION  THEREOF, AS DETERMINED BY THE CORPORATION AND
SUBJECT TO THE APPROVAL OF THE DIRECTOR OF THE BUDGET, SHALL  BE  AVAIL-
ABLE  FOR  PAYMENT  AT  ANY  TIME  ON OR AFTER THE EFFECTIVE DATE OF THE
CONTRACT.
  9. NOTWITHSTANDING ANY OTHER PROVISION OF  THIS  ARTICLE,  THE  CORPO-
RATION MAY, SUBJECT TO THE APPROVAL OF THE DIRECTOR OF THE BUDGET, ENTER
INTO  CONTRACTS  TO  PROVIDE FINANCIAL ASSISTANCE FOR OTHER THAN PROJECT
COSTS WHERE SUCH FINANCIAL ASSISTANCE CAN BE DEMONSTRATED TO  BE  NECES-
SARY; PROVIDED, HOWEVER, THAT NO MORE THAN TWENTY-FIVE PER CENTUM OF THE
TOTAL AMOUNT APPROPRIATED FOR THE PURPOSES OF THIS ARTICLE IN ANY FISCAL
YEAR  SHALL  BE  ALLOCATED IN CONTRACTS FOR OTHER THAN PROJECT COSTS. IN
DETERMINING WHETHER FINANCIAL ASSISTANCE FOR OTHER THAN PROJECT COSTS IS
NECESSARY, THE CORPORATION SHALL CONSIDER THE  PROPOSED  PROJECT'S  PLAN
FOR  MEETING  OPERATING  EXPENSES,  THE  EFFORTS MADE BY THE CONTRACTING
ORGANIZATIONS TO SECURE ALTERNATIVE SOURCES OF FUNDING  FOR  OTHER  THAN

S. 2607--B                         40                         A. 3007--B

PROJECT  COSTS,  AND  SUCH  OTHER  FACTORS AS THE CORPORATION SHALL DEEM
APPROPRIATE.
  10.  THE MUNICIPALITY, NOT-FOR-PROFIT CORPORATION OR SUBSIDIARY THERE-
OF, PUBLIC CORPORATION OR CHARITABLE ORGANIZATION OR SUBSIDIARY  THEREOF
SEEKING  FINANCIAL  ASSISTANCE  PURSUANT  TO  THIS ARTICLE SHALL, WITHIN
THIRTY DAYS OF ITS APPLICATION FOR SUCH  ASSISTANCE,  NOTIFY  THE  LOCAL
PLANNING  BOARD,  AS DEFINED BY SECTION TWENTY-SEVEN OF THE GENERAL CITY
LAW, SECTION TWO HUNDRED SEVENTY-ONE OF THE TOWN LAW, OR  SECTION  7-718
OF  THE  VILLAGE  LAW,  APPROPRIATE FOR THE GEOGRAPHIC AREA IN WHICH THE
PROPOSED HOMELESS PROJECT WOULD BE LOCATED, AND SHALL PROVIDE SUCH BOARD
WITH INFORMATION REGARDING THE PROPOSED HOMELESS PROJECT.
  S 1226. GENERAL AND  ADMINISTRATIVE  PROVISIONS.  1.  THE  CORPORATION
SHALL  ISSUE AND PROMULGATE RULES AND REGULATIONS FOR THE ADMINISTRATION
OF THIS ARTICLE. THE RULES AND  REGULATIONS  SHALL  PROVIDE  THAT  STATE
FINANCIAL  ASSISTANCE  PURSUANT  TO  THIS  ARTICLE WILL NOT BE AVAILABLE
UNLESS AN APPLICATION HAS BEEN FILED BY THE MUNICIPALITY, NOT-FOR-PROFIT
CORPORATION OR SUBSIDIARY  THEREOF,  PUBLIC  CORPORATION  OR  CHARITABLE
ORGANIZATION  OR  SUBSIDIARY THEREOF PURSUANT TO A REQUEST FOR PROPOSALS
ISSUED BY THE CORPORATION.  THE  RULES  AND  REGULATIONS  SHALL  INCLUDE
PROVISIONS  CONCERNING  ELIGIBILITY  OF  MUNICIPALITIES  AND CONTRACTING
NOT-FOR-PROFIT CORPORATIONS OR SUBSIDIARIES THEREOF, PUBLIC CORPORATIONS
AND CHARITABLE ORGANIZATIONS OR SUBSIDIARIES THEREOF FOR STATE FINANCIAL
ASSISTANCE; THE FORM OF THE APPLICATIONS FOR CONTRACTS; FUNDING CRITERIA
AND THE FUNDING DETERMINATION PROCESS; THE FORM OF THE CONTRACTS; SUPER-
VISION AND EVALUATION OF THE CONTRACTING MUNICIPALITIES OR CORPORATIONS;
REPORTING, BUDGETING AND  RECORD-KEEPING  REQUIREMENTS;  PROVISIONS  FOR
MODIFICATION,  TERMINATION, EXTENSION AND RENEWAL OF CONTRACTS; AND SUCH
OTHER MATTERS NOT INCONSISTENT WITH THE PURPOSES AND PROVISIONS OF  THIS
ARTICLE AS THE CORPORATION SHALL DEEM NECESSARY, PROPER OR APPROPRIATE.
  2.  THE  CORPORATION  MAY PROVIDE THAT PREFERENCE BE GIVEN TO CONTRACT
APPLICATIONS THAT (A) INVOLVE OTHER SOURCES OF FUNDS (MUNICIPAL, FEDERAL
OR ANY SOURCE OTHER THAN THE STATE), IN-KIND CONTRIBUTIONS MADE BY  SUCH
SOURCES, OR INVOLVE PROJECTS RECEIVING STATE FINANCIAL ASSISTANCE PURSU-
ANT  TO  CHAPTERS  THREE HUNDRED THIRTY-EIGHT, THREE HUNDRED THIRTY-NINE
AND FIVE HUNDRED FORTY-NINE OF THE LAWS OF NINETEEN HUNDRED  EIGHTY-TWO,
IN  ORDER  TO  MAXIMIZE  THE EFFECT OF STATE FINANCIAL ASSISTANCE OR (B)
INVOLVE INNOVATIVE AND COST-EFFECTIVE HOMELESS PROJECTS  THAT  MAY  HELP
RESOLVE  THE LONG-TERM PROBLEMS OF THE HOMELESS OR (C) INVOLVE THE REHA-
BILITATION OF EXISTING STRUCTURES.
  3. THE CORPORATION SHALL EVALUATE THE NEED FOR  HOMELESS  PROJECTS  IN
VARIOUS AREAS OF THE STATE AND AMONG VARIOUS POPULATIONS, INCLUDING, BUT
NOT  LIMITED  TO,  HOMELESS  MEN,  WOMEN,  FAMILIES,  PERSONS WITH AIDS,
PERSONS WITH SUBSTANCE ABUSE ISSUES AND/OR MENTAL  ILLNESS,  VICTIMS  OF
DOMESTIC  VIOLENCE,  VETERANS,  RUNAWAY  YOUTH,  AS  IDENTIFIED IN LOCAL
ASSESSMENTS OF NEEDS, AND SHALL ALLOCATE FUNDS, TO THE EXTENT  PRACTICA-
BLE, TO MEET THESE NEEDS; PROVIDED, HOWEVER, THAT NO MORE THAN SIXTY PER
CENTUM  OF THE TOTAL AMOUNT APPROPRIATED PURSUANT TO THIS ARTICLE IN ANY
FISCAL YEAR SHALL BE ALLOCATED TO CONTRACTS FOR HOMELESS PROJECTS WITHIN
ANY SINGLE MUNICIPALITY, UNLESS THE CORPORATION DETERMINES THAT IT IS IN
THE BEST INTEREST OF THE STATE IN FURTHERANCE OF THE  PURPOSES  OF  THIS
ARTICLE.
  4.  THE  CORPORATION  SHALL PROVIDE FOR THE REVIEW, AT PERIODIC INTER-
VALS, OF THE PERFORMANCE OF THE  MUNICIPALITIES,  NOT-FOR-PROFIT  CORPO-
RATIONS  OR  SUBSIDIARIES  THEREOF,  PUBLIC  CORPORATIONS AND CHARITABLE
ORGANIZATIONS OR SUBSIDIARIES  THEREOF  RECEIVING  FINANCIAL  ASSISTANCE
PURSUANT TO THIS ARTICLE.  SUCH REVIEW SHALL, AMONG OTHER THINGS, BE FOR

S. 2607--B                         41                         A. 3007--B

THE  PURPOSES  OF ASCERTAINING CONFORMITY TO CONTRACTUAL PROVISIONS, THE
FINANCIAL INTEGRITY AND EFFICIENCY OF THE ORGANIZATIONS AND  THE  EVALU-
ATION  OF  THE  PROJECT. CONTRACTS ENTERED INTO PURSUANT TO THIS ARTICLE
MAY  BE  TERMINATED  BY  THE  CORPORATION  UPON A FINDING OF SUBSTANTIAL
NONPERFORMANCE OR OTHER BREACH BY THE ORGANIZATION  OF  ITS  OBLIGATIONS
UNDER ITS CONTRACT WITH THE MUNICIPALITY.
  5.  THE  CORPORATION  SHALL  REQUIRE  THAT  ALL HOMELESS PROJECTS THAT
RECEIVED FINANCIAL ASSISTANCE PURSUANT TO THIS ARTICLE SHALL COMPLY WITH
ALL REGULATIONS APPLICABLE TO PROJECTS OF THIS TYPE PROMULGATED  BY  THE
CORPORATION AND OTHER MUNICIPAL, STATE AND FEDERAL REGULATIONS AND LAWS.
THE  CORPORATION  MAY  TERMINATE  ANY  CONTRACT  UPON  A  FINDING THAT A
SUBSTANTIAL VIOLATION OF SUCH REGULATIONS OR LAWS  HAS  REMAINED  UNCOR-
RECTED FOR A SUBSTANTIAL PERIOD OF TIME.
  6. ON OR BEFORE FEBRUARY FIRST, TWO THOUSAND FOURTEEN AND ON OR BEFORE
FEBRUARY  FIRST  OF  EACH  YEAR THEREAFTER IN WHICH CONTRACTS UNDER THIS
SECTION ARE IN FORCE, THE CORPORATION SHALL SUBMIT TO THE GOVERNOR,  THE
TEMPORARY  PRESIDENT  OF  THE  SENATE  AND THE SPEAKER OF THE ASSEMBLY A
REPORT DETAILING PROGRESS  AND  EVALUATING  RESULTS,  TO  DATE,  OF  THE
PROGRAM.
  7.  NOTWITHSTANDING  THE PROVISIONS OF ANY GENERAL OR SPECIAL LAW, THE
DIRECTOR OF THE BUDGET IS AUTHORIZED TO TRANSFER TO THE HOMELESS HOUSING
AND ASSISTANCE ACCOUNT FUNDS OTHERWISE APPROPRIATED OR REAPPROPRIATED TO
HOUSING AND COMMUNITY RENEWAL FOR THE  FISCAL  YEARS  BEGINNING  ON  AND
AFTER  APRIL  FIRST,  TWO THOUSAND THIRTEEN, IN AN AMOUNT OR AMOUNTS THE
DIRECTOR OF THE BUDGET DETERMINES TO  BE  NECESSARY  TO  CARRY  OUT  THE
PROVISIONS OF THE HOMELESS HOUSING AND ASSISTANCE PROGRAM.
  S  3.  Subdivisions 2, 3, 3-a, 8 and 10 of section 45-c of the private
housing finance law, as added by chapter 215 of the laws  of  1990,  are
amended to read as follows:
  2.  The  agency  may transfer to such subsidiary corporation any real,
personal or mixed property in order to carry out the purposes of  [title
one of article two-A of the social services law] ARTICLE TWENTY-EIGHT OF
THIS CHAPTER. Such subsidiary corporation shall have all the privileges,
immunities,  tax  exemption  and  other  exemptions of the agency to the
extent the same are not inconsistent with this section.
  3. The membership of such subsidiary corporation shall consist of  the
commissioner  of  [social  services]  THE  STATE DIVISION OF HOUSING AND
COMMUNITY RENEWAL, who shall also serve as its chairperson,  the  chair-
person  of  the  agency, THE COMMISSIONER OF THE OFFICE OF TEMPORARY AND
DISABILITY ASSISTANCE, THE COMMISSIONER OF THE OFFICE OF  MENTAL  HEALTH
and  [one  additional  member  to be appointed by the chairperson of the
homeless housing and assistance corporation,  who  shall  serve  at  the
pleasure of such chairperson] THE COMMISSIONER OF THE OFFICE OF ALCOHOL-
ISM AND SUBSTANCE ABUSE SERVICES. The powers of the corporation shall be
vested in and exercised by no less than [two] THREE of the members ther-
eof  then  in office. The corporation may delegate to one or more of its
members, or its officers, agents and employees, such duties  and  powers
as it may deem proper.
  3-a.  [The  commissioner  of  social services, and the chairman of the
agency] MEMBERS OF THE CORPORATION may each  appoint  an  individual  to
represent them at all meetings of the corporation from which they may be
absent.  Any  such  representative so designated shall have the power to
attend and to vote at any meeting of the corporation [as if the  commis-
sioner  of social services or chairperson of the agency were present and
voting]. Such designation shall be by  written  notice  filed  with  the
chairperson  of  the  corporation.  The designation of such person shall

S. 2607--B                         42                         A. 3007--B

continue until revoked at any time by  written  notice  to  such  chair-
person.  Such  designation shall not be deemed to limit the power of the
[commissioner of social services  or  the  chairperson  of  the  agency]
MEMBERS  OF  THE  CORPORATION  to  attend and vote at any meeting of the
corporation.
  8. The corporation may do any and all things necessary  or  convenient
to  carry  out and exercise the powers given and granted by this section
and [title one of article two-A of  the  social  services  law]  ARTICLE
TWENTY-EIGHT  OF  THIS CHAPTER including, but not limited to contracting
with the commissioner of [social services] THE STATE DIVISION OF HOUSING
AND COMMUNITY RENEWAL to administer any of the provisions of [title  one
of  article  two-A  of  the social services law] ARTICLE TWENTY-EIGHT OF
THIS CHAPTER.
  10. Notwithstanding the provisions of  article  one-A  of  the  public
authorities  law,  contracts entered into by the corporation pursuant to
[title one of article two-A of the social services law] ARTICLE  TWENTY-
EIGHT  OF THIS CHAPTER shall not be subject to the provisions of article
one-A of the public authorities law.
  S 4. Section 59-i of the private housing  finance  law,  as  added  by
chapter 215 of the laws of 1990, is amended to read as follows:
  S  59-i. Homeless housing and assistance account. The homeless housing
and assistance corporation  created  by  section  forty-five-c  of  this
[chapter]  ARTICLE  shall  create  and establish a special account to be
known as the homeless housing and assistance account and shall pay  into
such  account any moneys which may be made available to such corporation
for the purposes of such account  from  any  source  including  but  not
limited  to moneys appropriated by and made available pursuant to appro-
priation by the state and any income or interest earned by, or increment
to, the account due to the investment thereof. The  moneys  held  in  or
credited  to  the  homeless  housing  and assistance account established
under this section shall be expended solely to carry out the  provisions
of [title one of article two-A of the social services law] ARTICLE TWEN-
TY-EIGHT OF THIS CHAPTER.
  S  5.  This act shall take effect immediately, provided, however, that
the rules and regulations currently in effect,  as  established  by  the
office  of  temporary and disability assistance, shall continue to be in
effect as rules and regulations of the corporation until  superseded  by
rules  and  regulations  issued  by  the homeless housing and assistance
corporation. Enactment of this act shall be deemed a transfer  of  func-
tion pursuant to subdivision 2 of section 70 of the civil service law.

                                 PART G

  Section  1.  Subdivisions 4 and 5 of section 412 of the executive law,
as amended by chapter 182 of the laws of 2002, are amended  to  read  as
follows:
  4. "Municipality" shall mean a county, [city, village, town, that part
of  a  town not included within the boundaries of a village, or a school
district (if approved for such purpose by the commissioner, in instances
where no other municipality, overlapping such school district  in  whole
or  part,  is  receiving state aid pursuant to this article or upon such
other basis as the commissioner shall by regulation determine).  Munici-
pality may mean an Indian reservation, subject to rules and  regulations
of the office] OR A CITY HAVING A POPULATION OF ONE MILLION OR MORE.
  5.  "Youth  DEVELOPMENT program" shall mean a ["youth bureau," "recre-
ation project"  or  "youth  service"  project  established  under  prior

S. 2607--B                         43                         A. 3007--B

authorizing  legislation establishing a temporary state youth commission
as well as similar] local [programs] PROGRAM designed to accomplish  the
broad purposes of this article[. The definition, determination and clas-
sification  of  youth  programs  shall  be]  subject to [approval by the
office in accordance with] THE rules and regulations [adopted by it]  OF
THE OFFICE; PROVIDED HOWEVER, THE TERM "YOUTH DEVELOPMENT PROGRAM" SHALL
NOT INCLUDE APPROVED RUNAWAY PROGRAMS OR TRANSITIONAL INDEPENDENT LIVING
SUPPORT PROGRAMS AS SUCH TERMS ARE DEFINED IN SECTION FIVE HUNDRED THIR-
TY-TWO-A OF THIS CHAPTER.
  S 2. Subdivision 1 of section 420 of the executive law is REPEALED and
a new subdivision 1 is added to read as follows:
   1.  A.  (1)  EACH  MUNICIPALITY OPERATING A YOUTH DEVELOPMENT PROGRAM
APPROVED BY THE OFFICE OF CHILDREN AND FAMILY SERVICES SHALL BE ELIGIBLE
FOR ONE HUNDRED PERCENT STATE REIMBURSEMENT OF  ITS  QUALIFIED  EXPENDI-
TURES,  SUBJECT TO AVAILABLE APPROPRIATIONS AND EXCLUSIVE OF ANY FEDERAL
FUNDS MADE AVAILABLE THEREFOR, NOT TO EXCEED THE MUNICIPALITY'S DISTRIB-
UTION OF STATE AID UNDER THIS ARTICLE.
  (2) THE STATE AID APPROPRIATED FOR YOUTH DEVELOPMENT PROGRAMS SHALL BE
DISTRIBUTED BY THE OFFICE OF CHILDREN AND FAMILY  SERVICES  TO  ELIGIBLE
MUNICIPALITIES  THAT  HAVE  AN  APPROVED  COMPREHENSIVE PLAN PURSUANT TO
SUBPARAGRAPH TWO OF PARAGRAPH C OF  THIS  SUBDIVISION.  SUCH  STATE  AID
SHALL  BE  LIMITED  TO  THE FUNDS SPECIFICALLY APPROPRIATED THEREFOR AND
SHALL BE BASED ON FACTORS THAT SHALL INCLUDE, BUT NOT BE LIMITED TO, THE
NUMBER OF YOUTH UNDER THE AGE OF TWENTY-ONE RESIDING IN THE MUNICIPALITY
AS SHOWN BY THE LAST PUBLISHED FEDERAL  CENSUS  CERTIFIED  IN  THE  SAME
MANNER AS PROVIDED BY SECTION FIFTY-FOUR OF THE STATE FINANCE LAW.
  (3)  ELIGIBLE  MUNICIPALITIES MAY CLAIM UP TO FIFTEEN PERCENT OF THEIR
DISTRIBUTION FOR THE OPERATION OF A YOUTH BUREAU. THE OFFICE  SHALL  NOT
REIMBURSE ANY CLAIMS UNDER THIS SECTION UNLESS THEY ARE SUBMITTED WITHIN
TWELVE MONTHS OF THE CALENDAR QUARTER IN WHICH THE EXPENDITURE WAS MADE.
THE OFFICE MAY REQUIRE THAT SUCH CLAIMS BE SUBMITTED TO THE OFFICE ELEC-
TRONICALLY IN THE MANNER AND FORMAT REQUIRED BY THE OFFICE.
  B.  YOUTH  DEVELOPMENT PROGRAMS SHALL PROVIDE COMMUNITY-LEVEL SERVICES
DESIGNED TO  PROMOTE  POSITIVE  YOUTH  DEVELOPMENT.  SUCH  PROGRAMS  MAY
INCLUDE,  BUT  NOT  BE  LIMITED  TO:  PROGRAMS THAT PROMOTE PHYSICAL AND
EMOTIONAL WELLNESS, EDUCATIONAL ACHIEVEMENT OR CIVIC, FAMILY AND  COMMU-
NITY  ENGAGEMENT;  FAMILY  SUPPORT  SERVICES;  SERVICES TO PREVENT CHILD
ABUSE AND NEGLECT; SERVICES TO AVERT  FAMILY  CRISES;  AND  SERVICES  TO
ASSIST YOUTH IN NEED OF CRISIS INTERVENTION OR RESPITE SERVICES. SUBJECT
TO  THE  REGULATIONS  OF  THE  OFFICE,  A  MUNICIPALITY  MAY  ENTER INTO
CONTRACTS TO EFFECTUATE ITS YOUTH DEVELOPMENT  PROGRAM  ESTABLISHED  AND
APPROVED AS PROVIDED IN THIS ARTICLE.
  C.  EACH  MUNICIPALITY  SHALL  DEVELOP, IN CONSULTATION WITH THE YOUTH
BUREAU, A COMPREHENSIVE PLAN TO OFFER YOUTH DEVELOPMENT  PROGRAMS.  SUCH
COMPREHENSIVE  PLAN  SHALL  BE  SUBJECT TO THE APPROVAL OF THE OFFICE OF
CHILDREN AND FAMILY SERVICES IN ACCORDANCE WITH SUBPARAGRAPH TWO OF THIS
PARAGRAPH AND SHALL BE SUBMITTED BY EACH MUNICIPALITY IN A MANNER AND AT
SUCH TIMES AND FOR SUCH PERIODS AS THE OFFICE  OF  CHILDREN  AND  FAMILY
SERVICES SHALL DETERMINE.
  (1) SUCH COMPREHENSIVE PLAN SHALL:
  (I)  ADDRESS  THE  NEED  IN  THE  MUNICIPALITY  FOR  YOUTH DEVELOPMENT
PROGRAMS IN TOWNS AND CITIES WHICH HAVE A  YOUTH  POPULATION  OF  TWENTY
THOUSAND OR MORE PERSONS;
  (II)  (A)  ASSESS  THE  NEED IN THE MUNICIPALITY FOR YOUTH DEVELOPMENT
PROGRAMS THAT ASSIST RUNAWAY AND HOMELESS YOUTH AND  YOUTH  IN  NEED  OF
CRISIS INTERVENTION OR RESPITE SERVICES;

S. 2607--B                         44                         A. 3007--B

  (B)  IF  THE MUNICIPALITY IS SEEKING STATE AID TO PROVIDE SERVICES FOR
RUNAWAY AND HOMELESS YOUTH, AS DEFINED IN  ARTICLE  NINETEEN-H  OF  THIS
CHAPTER, THE RUNAWAY AND HOMELESS YOUTH PLAN, AS REQUIRED BY SUBDIVISION
TWO  OF  THIS  SECTION,  SHALL BE SUBMITTED AS PART OF THE COMPREHENSIVE
PLAN THAT IS REQUIRED PURSUANT TO THIS PARAGRAPH; PROVIDED HOWEVER, THAT
STATE  AID  TO  PROVIDE SERVICES FOR RUNAWAY AND HOMELESS YOUTH SERVICES
SHALL BE FROM AND LIMITED TO  FUNDS  APPROPRIATED  SEPARATELY  FOR  SUCH
RUNAWAY  AND HOMELESS YOUTH PROGRAM PURPOSES BY THE STATE, AND SHALL NOT
BE INCLUDED UNDER THE LIMITS SET FORTH IN THIS SUBDIVISION;
  (III) SPECIFY HOW THE MUNICIPALITY WILL MEASURE  PERFORMANCE  OUTCOMES
FOR SUCH SERVICES AND PROGRAMS COVERED UNDER THE PLAN;
  (IV)  SPECIFY  THE  PROJECTED  PERFORMANCE  OUTCOMES  FOR SERVICES AND
PROGRAMS COVERED UNDER THE PLAN, INCLUDING PROJECTED  POSITIVE  OUTCOMES
FOR YOUTH WHO PARTICIPATE IN THE SERVICES AND PROGRAMS; AND
  (V)  PROVIDE  INFORMATION  ON  THE  PERFORMANCE  OUTCOMES  OF SERVICES
PROVIDED UNDER THE MUNICIPALITY'S MOST RECENT PLAN APPROVED PURSUANT  TO
THIS  SUBDIVISION, INCLUDING OUTCOME BASED MEASURES THAT DEMONSTRATE THE
QUALITY OF SERVICES PROVIDED AND PROGRAM EFFECTIVENESS OF PROGRAMS FUND-
ED UNDER SUCH PLAN.
  (2) THE OFFICE OF CHILDREN AND FAMILY SERVICES MAY APPROVE ALL OR PART
OF A MUNICIPALITY'S COMPREHENSIVE PLAN. IF THE OFFICE DOES NOT APPROVE A
MUNICIPALITY'S COMPREHENSIVE PLAN, SUCH MUNICIPALITY  SHALL  HAVE  SIXTY
DAYS FROM RECEIPT OF THE NOTIFICATION OF DISAPPROVAL TO SUBMIT A REVISED
PLAN.
  S  3. Subdivision 2 of section 420 of the executive law, as amended by
chapter 182 of the laws of 2002, is amended to read as follows:
  2. Runaway and homeless youth plan; state aid.
  a. A [county] MUNICIPALITY may submit to the [commissioner] OFFICE  OF
CHILDREN  AND  FAMILY  SERVICES a plan for the providing of services for
runaway and homeless youth, as defined in  article  nineteen-H  of  this
chapter.  Where such [county] MUNICIPALITY is receiving state aid pursu-
ant to paragraph a of subdivision one of this section, such runaway  and
homeless  youth  plan  shall  be  submitted as part of the comprehensive
[county] plan and shall be consistent  with  the  goals  and  objectives
therein. A runaway and homeless youth plan shall be developed in consul-
tation with the county youth bureau and the county or city department of
social  services,  shall  be  in  accordance with the regulations of the
[commissioner] OFFICE OF CHILDREN AND FAMILY SERVICES, shall provide for
a coordinated range of services for runaway and homeless youth and their
families including preventive, temporary shelter, transportation,  coun-
seling,  and other necessary assistance, and shall provide for the coor-
dination of all available county  resources  for  runaway  and  homeless
youth and their families including services available through the county
youth  bureau,  the  county or city department of social services, local
boards of education, local drug and alcohol programs  and  organizations
or programs which have past experience dealing with runaway and homeless
youth.  Such  plan  may  include provisions for transitional independent
living support programs for homeless youth between the ages  of  sixteen
and  twenty-one  as provided in article nineteen-H of this chapter. Such
plan shall also provide for the designation and duties  of  the  runaway
and  homeless  youth service coordinator defined in section five hundred
thirty-two-a of this chapter who is  available  on  a  twenty-four  hour
basis  and  maintains  information  concerning  available shelter space,
transportation and services. Such plan may include provision for the per
diem reimbursement for residential care of runaway and homeless youth in
approved runaway programs which are authorized agencies,  provided  that

S. 2607--B                         45                         A. 3007--B

such  per diem reimbursement shall not exceed a total of thirty days for
any one youth.
  b.  Each  [county]  MUNICIPALITY  shall  submit  to the [commissioner]
OFFICE OF CHILDREN AND FAMILY SERVICES such  additional  information  as
the [commissioner] OFFICE shall require, including but not limited to:
  (1)  A  description  of  the  current  runaway and homeless population
including their age, place of origin, family status, service  needs  and
eventual disposition;
  (2)  A  description  of  the public and private resources available to
serve runaway and homeless youth within the county;
  (3) A description of new services to be provided and current  services
to be expanded.
  c.  The  [commissioner]  OFFICE  OF CHILDREN AND FAMILY SERVICES shall
review such plan IN ACCORDANCE WITH SUBPARAGRAPH TWO OF PARAGRAPH  C  OF
SUBDIVISION  ONE OF THIS SECTION and may approve or disapprove such plan
or any part, program, or project within such plan, and may propose  such
modifications and conditions as deemed appropriate and necessary.
  d.  (1) [Counties] MUNICIPALITIES having an approved runaway and home-
less youth plan pursuant  to  this  subdivision  shall  be  entitled  to
reimbursement by the state for sixty percent of the entire amount of the
expenditures  for  programs  contained  in  such plan as approved by the
[commissioner] OFFICE OF  CHILDREN  AND  FAMILY  SERVICES,  after  first
deducting  therefrom  any federal or other state funds received or to be
received on account thereof. All reimbursement pursuant to this subdivi-
sion shall be from and limited to funds appropriated separately for such
runaway and homeless youth program purposes by the state, and shall  not
be  included  under  the  limits set in subdivision one of this section.
[The county's] A MUNICIPALITY'S share of the cost of such  programs  may
be  met in part by donated private funds or in-kind services, as defined
by the office, provided that such private funding or receipt of services
shall not in the aggregate be more than fifty percent of such [county's]
MUNICIPALITY'S share.
  (2) Notwithstanding any inconsistent provision of law and  subject  to
funds  appropriated  separately therefor, a [county] MUNICIPALITY having
an approved runaway and homeless youth plan  which  includes  provisions
for  transitional  independent living support programs shall be entitled
to reimbursement by the state for sixty percent of the entire amount  of
the  approved  expenditures  for transitional independent living support
programs contained in the plan as approved by the [commissioner]  OFFICE
OF CHILDREN AND FAMILY SERVICES.  The [county's] MUNICIPALITY'S share of
the cost of such programs may be met by donated private funds or in-kind
services,  as  defined  by  the  office,  provided  that such receipt of
in-kind services shall not in the aggregate be more than  fifty  percent
of such [county's] MUNICIPALITY'S share.
  S  4. Paragraphs a and c of subdivision 5 of section 420 of the execu-
tive law, as added by chapter 160 of the laws of 2004,  are  amended  to
read as follows:
  a.  Notwithstanding any other provision of law, the office of children
and family services shall plan for the statewide implementation  by  the
thirty-first  day of December, two thousand eight, of a county child and
family services plan  that  combines  the  [county]  comprehensive  plan
required  by  this section and the multi-year consolidated services plan
required by section thirty-four-a of the  social  services  law  into  a
single plan.
  c. The office of children and family services may waive any regulatory
requirements  relating  to the content and timing of [county] comprehen-

S. 2607--B                         46                         A. 3007--B

sive plans that may impede the ability of a county to implement a county
child and family services plan.
  S 5. Section 422 of the executive law is REPEALED.
  S 6. Subdivisions 4, 5 and 6 of section 532-a of the executive law, as
amended  by  section 14 of part E of chapter 57 of the laws of 2005, are
amended and a new subdivision 8 is added to read as follows:
  4. "Approved runaway program" shall mean any  non-residential  program
approved  by the office of children and family services after submission
by the [county youth bureau] MUNICIPALITY, as part of its  comprehensive
plan,  or  any  residential  facility which is operated by an authorized
agency as defined in subdivision ten of section three  hundred  seventy-
one  of  the social services law, and approved by the office of children
and family services after submission by the [county youth bureau]  MUNI-
CIPALITY  as part of its comprehensive plan, established and operated to
provide services to runaway and homeless youth in  accordance  with  the
regulations of the office of temporary and disability assistance and the
office  of  children and family services. Such programs may also provide
non-residential crisis intervention and residential respite services  to
youth  in need of crisis intervention or respite services, as defined in
this section.   Residential respite  services  in  an  approved  runaway
program  may  be provided for no more than twenty-one days in accordance
with the regulations of the office of children and family services.
  5. "Runaway and homeless youth service  coordinator"  shall  mean  any
person  SO  designated  by  [a county] A MUNICIPALITY whose duties shall
include but not be limited to answering inquiries at any time concerning
transportation, shelter and other services available  to  a  runaway  or
homeless  youth  or  a  youth  in need of crisis intervention or respite
services.
  6. "Transitional independent living support program"  shall  mean  any
non-residential  program  approved  by the office of children and family
services after submission by the [county youth bureau]  MUNICIPALITY  as
part  of its comprehensive plan, or any residential facility approved by
the office of children and  family  services  after  submission  by  the
[county  youth bureau] MUNICIPALITY as part of its comprehensive plan TO
OFFER YOUTH DEVELOPMENT PROGRAMS, established and  operated  to  provide
supportive services, for a period of up to eighteen months in accordance
with  the  regulations of the office of children and family services, to
enable homeless youth between the ages  of  sixteen  and  twenty-one  to
progress  from  crisis care and transitional care to independent living.
Such transitional independent living support program  may  also  provide
services  to  youth  in need of crisis intervention or respite services.
Notwithstanding the time limitation in paragraph (i) of subdivision  (d)
of  section  seven hundred thirty-five of the family court act, residen-
tial respite services may be  provided  in  a  transitional  independent
living support program for a period of more than twenty-one days.
  8.  "MUNICIPALITY"  SHALL MEAN A COUNTY, OR A CITY HAVING A POPULATION
OF ONE MILLION OR MORE.
  S 7. Subdivision 2 of section 532-b of the executive law, as added  by
chapter 722 of the laws of 1978, is amended to read as follows:
  2.  The  runaway  youth may remain in the program on a voluntary basis
for a period not to exceed thirty days from the date of admission  where
the filing of a petition pursuant to article ten of the family court act
is  not  contemplated,  in  order  that arrangements can be made for the
runaway youth's return home, alternative residential placement  pursuant
to section three hundred ninety-eight of the social services law, or any
other  suitable  plan.  If the runaway youth and the parent, guardian or

S. 2607--B                         47                         A. 3007--B

custodian agree, in writing, the runaway youth may remain in the runaway
program up to sixty days without the filing of a  petition  pursuant  to
article  ten of the family court act, provided that in any such case the
facility  shall first have obtained the approval of the [county] MUNICI-
PALITY'S runaway coordinator, who shall notify the [county] THE  MUNICI-
PALITY'S  youth  bureau of his OR HER approval together with a statement
as to the reason why such additional residential stay is necessary and a
description of the efforts  being  made  to  find  suitable  alternative
living arrangements for such youth.
  S  8.  Paragraph  (a)  of  subdivision 6 of section 34-a of the social
services law, as added by chapter 160 of the laws of 2004, is amended to
read as follows:
  (a) Notwithstanding any other provision of law, the office of children
and family services shall plan for the statewide implementation, by  the
thirty-first day of December, two thousand eight, of the use by counties
of a child and family services plan that combines the multi-year consol-
idated  services  plan required by this section and the [county] compre-
hensive plan required by section four hundred twenty  of  the  executive
law into a single plan.
  S 9. This act shall take effect January 1, 2014.

                                 PART H

  Section  1.  This part enacts into law major components of legislation
which are necessary to continue transforming New York's juvenile justice
system. Each component is wholly contained within a  subpart  identified
as  subparts  A  through  B.  The  effective  date  for  each particular
provision contained within such subpart is set forth in the last section
of such subpart.  Any  provision  in  any  section  contained  within  a
subpart, including the effective date of the subpart, which makes refer-
ence  to  a  section  "of  this  act", when used in connection with that
particular component, shall be deemed to mean and refer  to  the  corre-
sponding  section  of the subpart in which it is found. Section three of
this part sets forth the general effective date of this act.

                                SUBPART A

  Section 1. Subdivision 3 of section  501  of  the  executive  law,  as
amended  by  chapter  465  of  the  laws  of 1992, is amended to read as
follows:
  3. To establish, operate and maintain [division]  facilities  [and  to
contract  with  authorized  agencies as defined in section three hundred
seventy-one of the social services law for the operation and maintenance
of non-secure facilities].
  S 2. Paragraph (a) of subdivision 11 of section 501 of  the  executive
law,  as  amended by chapter 465 of the laws of 1992, is amended to read
as follows:
  (a) a projection of the numbers of youths to be placed into or commit-
ted to the care of the [division] OFFICE OF CHILDREN AND FAMILY SERVICES
at secure[,] AND limited secure [and non-secure] levels of care for  the
five years encompassed by the plan;
  S  3.    Section  501  of the executive law is amended by adding a new
subdivision 15-a to read as follows:
  15-A. (A) NOTWITHSTANDING THE PROVISIONS OF PARAGRAPH (C) OF  SUBDIVI-
SION  FIFTEEN  OF  THIS  SECTION,  OR ANY OTHER LAW TO THE CONTRARY, THE
COMMISSIONER OF THE OFFICE OF CHILDREN AND FAMILY SERVICES IS AUTHORIZED

S. 2607--B                         48                         A. 3007--B

TO CLOSE ANY NON-SECURE FACILITIES OPERATED BY THE  OFFICE  OF  CHILDREN
AND   FAMILY  SERVICES,  AND  TO  MAKE  SIGNIFICANT  ASSOCIATED  SERVICE
REDUCTIONS AND PUBLIC EMPLOYEE STAFFING REDUCTIONS  AND  TRANSFER  OPER-
ATIONS  FOR NON-SECURE FACILITIES TO A PRIVATE OR NOT-FOR-PROFIT ENTITY,
AS SHALL BE DETERMINED  BY  SUCH  COMMISSIONER  SOLELY  TO  REFLECT  THE
DECREASE  IN  THE NUMBER OF JUVENILE DELINQUENTS PLACED WITH SUCH OFFICE
CARED FOR IN NON-SECURE SETTINGS OR  CONDITIONALLY  RELEASED  FROM  SUCH
SETTINGS.
  (B)  AT  LEAST SIXTY DAYS PRIOR TO TAKING ANY SUCH ACTION, THE COMMIS-
SIONER OF THE OFFICE OF  CHILDREN  AND  FAMILY  SERVICES  SHALL  PROVIDE
NOTICE  OF  SUCH ACTION TO THE SPEAKER OF THE ASSEMBLY AND THE TEMPORARY
PRESIDENT OF THE SENATE AND SHALL  POST  SUCH  NOTICE  UPON  ITS  PUBLIC
WEBSITE.  SUCH  COMMISSIONER  SHALL BE AUTHORIZED TO CONDUCT ANY AND ALL
PREPARATORY ACTIONS WHICH MAY BE REQUIRED TO EFFECTUATE SUCH CLOSURES OR
SIGNIFICANT SERVICE OR STAFFING REDUCTIONS OR  TRANSFERS  OF  OPERATIONS
DURING SUCH SIXTY DAY PERIOD.
  (C)  ANY  TRANSFERS OF CAPACITY OR ANY RESULTING TRANSFER OF FUNCTIONS
SHALL BE AUTHORIZED TO BE MADE BY THE  COMMISSIONER  OF  THE  OFFICE  OF
CHILDREN  AND  FAMILY  SERVICES  AND ANY TRANSFER OF PERSONNEL UPON SUCH
TRANSFER OF CAPACITY OR TRANSFER OF FUNCTIONS SHALL BE  ACCOMPLISHED  IN
ACCORDANCE  WITH  THE PROVISIONS OF SECTION SEVENTY OF THE CIVIL SERVICE
LAW.
  S 4. Subdivision 1 of section 504 of the executive law,  as  added  by
chapter 465 of the laws of 1992, is amended to read as follows:
  1. The [division] OFFICE OF CHILDREN AND FAMILY SERVICES shall operate
and  maintain  secure[,]  AND limited secure [and non-secure] facilities
for the care, custody, treatment, housing, education, rehabilitation and
guidance of youth placed with or committed to the [division]  OFFICE  OF
CHILDREN AND FAMILY SERVICES.
  S  5. Subdivision 4 of section 504 of the executive law, as amended by
chapter 687 of the laws of 1993, is amended to read as follows:
  4. The [division] OFFICE OF CHILDREN AND FAMILY SERVICES shall  deter-
mine  the  particular  [division]  OFFICE facility or program in which a
child placed with the [division] OFFICE shall be cared for,  based  upon
an evaluation of such child. The [division] OFFICE OF CHILDREN AND FAMI-
LY  SERVICES  shall  also  have  authority to discharge or conditionally
release children placed with it and to transfer  such  children  from  a
limited  secure [or non-secure] facility to any other limited secure [or
non-secure] facility, when the interest of such children  requires  such
action[; provided that a child transferred to a non-secure facility from
a  limited  secure facility may be returned to a limited secure facility
upon a determination by the division that,  for  any  reason,  care  and
treatment at the non-secure facility is no longer suitable].
  S 6. Subdivision 5 of section 507-a of the executive law is REPEALED.
  S  7.  Paragraph  (f)  of subdivision 3 of section 353.2 of the family
court act, as amended by chapter 465 of the laws of 1992, is amended  to
read as follows:
  (f)  with  the consent of the [division for youth] COMMISSIONER OF THE
LOCAL SOCIAL  SERVICES  DISTRICT,  spend  a  specified  portion  of  the
probation  period,  not  exceeding  one year, in a non-secure [facility]
PLACEMENT provided by THE LOCAL SOCIAL SERVICES DISTRICT  [the  division
for youth pursuant to article nineteen-G of the executive law].
  S 8. The opening paragraph and paragraphs (a) and (b) of subdivision 3
of  section  353.3  of  the family court act, as amended by section 6 of
part G of chapter 58 of the  laws  of  2010,  are  amended  to  read  as
follows:

S. 2607--B                         49                         A. 3007--B

  Where  the respondent is placed with the office of children and family
services, the court shall[, unless it directs the office to place him or
her with an authorized agency or class of authorized agencies, including
if the court finds that the respondent is a sexually exploited child  as
defined  in subdivision one of section four hundred forty-seven-a of the
social services law, an  available  long-term  safe  house  pursuant  to
subdivision four of this section, authorize the office to] do one of the
following:
  (a)  place the respondent in a secure facility without a further hear-
ing at any time or from time to time during  the  first  sixty  days  of
residency   in  office  of  children  and  family  services  facilities.
Notwithstanding the discretion of the office to place the respondent  in
a  secure  facility at any time during the first sixty days of residency
in [a] AN office of children and family services facility, the  respond-
ent  may  be  placed  in  a [non-secure] LIMITED SECURE facility. In the
event that the office desires to  transfer  a  respondent  to  a  secure
facility  at  any time after the first sixty days of residency in office
facilities, a hearing shall be held pursuant  to  subdivision  three  of
section five hundred four-a of the executive law; or
  (b)  place the respondent in a limited secure facility. The respondent
may be transferred by the office to a secure facility after a hearing is
held pursuant to section five  hundred  four-a  of  the  executive  law;
provided,  however,  that  during  the first twenty days of residency in
office facilities, the respondent shall not be transferred to  a  secure
facility  unless  the  respondent has committed an act or acts which are
exceptionally dangerous to the respondent or to others[; or].
  S 9. Paragraph (c) of subdivision 3 of section  353.3  of  the  family
court act is REPEALED.
  S  10.  Subdivision  4  of  section  353.3  of the family court act is
REPEALED.
  S 11. Subparagraphs (iii) and (iv) of paragraph (a) of  subdivision  4
of  section  353.5  of  the family court act, as amended by section 6 of
subpart A of part G of chapter 57 of the laws of 2012,  are  amended  to
read as follows:
  (iii)  after the period set under subparagraph (ii) of this paragraph,
the respondent shall be placed in a residential facility for a period of
twelve months; provided, however, that: (A) if the respondent  has  been
placed  from  a  family court in a social services district operating an
approved juvenile justice services close to home initiative pursuant  to
section  four  hundred  four  of  the social services law, once the time
frames in subparagraph (ii) of this paragraph are met:
  [(A)] (1) beginning on the effective date of such  a  social  services
district's  plan that only covers juvenile delinquents placed in non-se-
cure settings, if the office of children and family services  concludes,
based on the needs and best interests of the respondent and the need for
protection  for the community, that a non-secure level of care is appro-
priate for the respondent, such office shall file a petition pursuant to
paragraph (b) or (c) of subdivision two of section 355.1 of this part to
have the respondent placed with the  applicable  local  commissioner  of
social services; and
  [(B)]  (2)  beginning  on the effective date of such a social services
district's plan that  covers  juvenile  delinquents  placed  in  limited
secure   settings,  if  the  office  of  children  and  family  services
concludes, based on the needs and best interests of the  respondent  and
the  need for protection for the community, that a non-secure or limited
secure level of care is appropriate  for  the  respondent,  such  office

S. 2607--B                         50                         A. 3007--B

shall  file  a  petition pursuant to paragraph (b) or (c) of subdivision
two of section 355.1 of this part to have the respondent placed with the
applicable local commissioner of social services[.]; AND
  (B)  IF THE RESPONDENT HAS BEEN PLACED FROM A FAMILY COURT IN A SOCIAL
SERVICES DISTRICT NOT OPERATING AN APPROVED  JUVENILE  JUSTICE  SERVICES
CLOSE  TO  HOME  INITIATIVE PURSUANT TO SECTION FOUR HUNDRED FOUR OF THE
SOCIAL SERVICES LAW, IF THE  OFFICE  OF  CHILDREN  AND  FAMILY  SERVICES
CONCLUDES,  BASED  ON THE NEEDS AND BEST INTERESTS OF THE RESPONDENT AND
THE NEED FOR PROTECTION FOR THE COMMUNITY, THAT A  NON-SECURE  LEVEL  OF
CARE  IS  APPROPRIATE FOR THE RESPONDENT, SUCH OFFICE SHALL FILE A PETI-
TION PURSUANT TO PARAGRAPH (F) OF SUBDIVISION TWO OF  SECTION  355.1  OF
THIS  PART  TO  HAVE  THE  RESPONDENT  PLACED  WITH THE APPLICABLE LOCAL
COMMISSIONER OF SOCIAL SERVICES.
  (C) If the respondent is placed with the local commissioner of  social
services  in accordance with clause (A) or (B) of this subparagraph, the
remainder of the provisions of this section shall continue to  apply  to
the respondent's placement.
  (iv)  the  respondent  may  not  be released from a secure facility or
transferred to a facility other than a secure facility during the period
provided in subparagraph (ii) of this paragraph, nor may the  respondent
be  released  from  a residential facility during the period provided in
subparagraph (iii) of this paragraph. No home visits shall be  permitted
during  the  period  of secure confinement set by the court order or one
year, whichever is less, except for emergency visits for medical  treat-
ment  or  severe illness or death in the family. All home visits must be
accompanied home visits: (A) while a  youth  is  confined  in  a  secure
facility,  whether  such  confinement  is  pursuant  to a court order or
otherwise; (B) while a youth is confined in a residential facility other
than a secure facility within six months after confinement in  a  secure
facility;  and  (C)  while a youth is confined in a residential facility
other than a secure facility in excess of six months  after  confinement
in  a  secure  facility  unless two accompanied home visits have already
occurred. An "accompanied home visit" shall mean  a  home  visit  during
which  the  youth  shall  be  accompanied at all times while outside the
secure or residential facility by appropriate personnel of the office of
children and family services or, if applicable, a local social  services
district  [which operates an approved juvenile justice services close to
home initiative pursuant to section four  hundred  four  of  the  social
services law].
  S  12.  Subparagraphs (i), (iii) and (iv) of paragraph (c) of subdivi-
sion 4 of section 353.5 of the family court act, as amended by section 6
of subpart A of part G of chapter 57 of the laws of 2012, are amended to
read as follows:
  (i) after the expiration of the period provided in subparagraph  (iii)
of  paragraph  (a)  of  this  subdivision,  the  respondent shall not be
released from a residential facility without the written approval of the
office of children and family  services  or,  if  applicable,  a  social
services district [operating an approved juvenile justice services close
to  home  initiative pursuant to section four hundred four of the social
services law].
  (iii) the respondent shall not be discharged from the custody  of  the
office  of  children  and  family  services  or, if applicable, a social
services district [operating an approved juvenile justice services close
to home initiative pursuant to section four hundred four of  the  social
services  law],  unless a motion therefor under section 355.1 is granted

S. 2607--B                         51                         A. 3007--B

by the court, which motion shall not be made prior to the expiration  of
three years of the placement.
  (iv)  unless  otherwise specified in the order, the office of children
and family services or, if applicable, a social services district [oper-
ating an approved juvenile justice services  close  to  home  initiative
pursuant  to section four hundred four of the social services law] shall
report in writing to the court not  less  than  once  every  six  months
during  the  placement  on  the  status,  adjustment and progress of the
respondent.
  S 13. Paragraph (d) of subdivision 4 of section 353.5  of  the  family
court  act, as amended by section 6 of subpart A of part G of chapter 57
of the laws of 2012, is amended to read as follows:
  (d) Upon the expiration of the initial period  of  placement,  or  any
extension  thereof,  the  placement  may  be extended in accordance with
section 355.3 on a petition of any party or the office of  children  and
family  services, or, if applicable, a social services district [operat-
ing an approved juvenile  justice  services  close  to  home  initiative
pursuant to section four hundred four of the social services law], after
a  dispositional  hearing, for an additional period not to exceed twelve
months, but no initial placement or extension of  placement  under  this
section may continue beyond the respondent's twenty-first birthday.
  S  14.  Subparagraphs (iii) and (iv) of paragraph (a) of subdivision 5
of section 353.5 of the family court act, as amended  by  section  6  of
subpart  A  of  part  G of chapter 57 of the laws of 2012, is amended to
read as follows:
  (iii) after the period set under subparagraph (ii) of this  paragraph,
the  respondent  shall  be placed in a residential facility for a period
set by the order, to be not less than six nor more than  twelve  months;
provided,  however,  that  (A)  if the respondent has been placed from a
family court in a social services district operating an  approved  juve-
nile  justice services close to home initiative pursuant to section four
hundred four of the social services law, once the time frames in subpar-
agraph (ii) of this paragraph are met:
  [(A)] (1) beginning on the effective date of such  a  social  services
district's  plan that only covers juvenile delinquents placed in non-se-
cure settings, if the office of children and family services  concludes,
based on the needs and best interests of the respondent and the need for
protection  for the community, that a non-secure level of care is appro-
priate for the respondent, such office shall file a petition pursuant to
paragraph (b) or (c) of subdivision two of section 355.1 of this part to
have the respondent placed with the  applicable  local  commissioner  of
social services; and
  [(B)]  (2)  beginning  on the effective date of such a social services
district's plan to implement programs for youth placed in limited secure
settings, if the office of children and family services concludes, based
on the needs and best interests of  the  respondent  and  the  need  for
protection  for the community, that a non-secure or limited secure level
of care is appropriate for the respondent,  such  office  shall  file  a
petition  pursuant to paragraph (b) or (c) of subdivision two of section
355.1 of this part to have the respondent  placed  with  the  applicable
local commissioner of social services[.]; OR
  (B)  IF THE RESPONDENT HAS BEEN PLACED FROM A FAMILY COURT IN A SOCIAL
SERVICES DISTRICT NOT OPERATING AN APPROVED  JUVENILE  JUSTICE  SERVICES
CLOSE  TO  HOME  INITIATIVE PURSUANT TO SECTION FOUR HUNDRED FOUR OF THE
SOCIAL SERVICES LAW, IF THE  OFFICE  OF  CHILDREN  AND  FAMILY  SERVICES
CONCLUDES,  BASED  ON THE NEEDS AND BEST INTERESTS OF THE RESPONDENT AND

S. 2607--B                         52                         A. 3007--B

THE NEED FOR PROTECTION FOR THE COMMUNITY, THAT A  NON-SECURE  LEVEL  OF
CARE  IS  APPROPRIATE FOR THE RESPONDENT, SUCH OFFICE SHALL FILE A PETI-
TION PURSUANT TO PARAGRAPH (F) OF SUBDIVISION TWO OF  SECTION  355.1  OF
THIS  PART  TO  HAVE  THE  RESPONDENT  PLACED  WITH THE APPLICABLE LOCAL
COMMISSIONER OF SOCIAL SERVICES.
  (C) If the respondent is placed with a local  commissioner  of  social
services  in accordance with clause (A) or (B) of this subparagraph, the
remainder of the provisions of this section shall continue to  apply  to
the respondent's placement.
  (iv)  the  respondent  may  not  be released from a secure facility or
transferred to a facility other than a secure facility during the period
provided by the court pursuant to subparagraph (ii) of  this  paragraph,
nor  may  the  respondent be released from a residential facility during
the period provided by the court pursuant to subparagraph (iii) of  this
paragraph. No home visits shall be permitted during the period of secure
confinement  set  by  the  court  order  or one year, whichever is less,
except for emergency visits for medical treatment or severe  illness  or
death  in  the  family. All home visits must be accompanied home visits:
(A) while a youth  is  confined  in  a  secure  facility,  whether  such
confinement is pursuant to a court order or otherwise; (B) while a youth
is confined in a residential facility other than a secure facility with-
in  six  months  after confinement in a secure facility; and (C) while a
youth is confined in a residential facility other than a secure facility
in excess of six months after confinement in a  secure  facility  unless
two  accompanied home visits have already occurred. An "accompanied home
visit" shall mean a home visit during which the youth shall be  accompa-
nied  at  all  times while outside the secure or residential facility by
appropriate personnel of the office of children and family services  or,
if  applicable,  a social services district [operating an approved juve-
nile justice close to home initiative pursuant to section  four  hundred
four of the social services law].
  S 15. Subparagraphs (i), (iii) and (iv) of paragraph (c) and paragraph
(d)  of  subdivision  5  of  section  353.5  of the family court act, as
amended by section 6 of subpart A of part G of chapter 57 of the laws of
2012, is amended to read as follows:
  (i) after the expiration of the period provided in subparagraph  (iii)
of  paragraph  (a)  of  this  subdivision,  the  respondent shall not be
released from a residential facility without the written approval of the
office of children and family  services  or,  if  applicable,  a  social
services district [operating an approved juvenile justice services close
to  home  initiative pursuant to section four hundred four of the social
services law].
  (iii) the respondent shall not be discharged from the custody  of  the
office  of  children  and  family  services, or, if applicable, a social
services district [operating an approved juvenile justice services close
to home initiative pursuant to section four hundred four of  the  social
services law].
  (iv)  unless  otherwise specified in the order, the office of children
and family services or, if applicable, a social services district [oper-
ating an approved juvenile justice services  close  to  home  initiative
pursuant to section four hundred four of the social services law], shall
report  in  writing  to  the  court  not less than once every six months
during the placement on the  status,  adjustment  and  progress  of  the
respondent.
  (d)  Upon  the  expiration  of  the initial period of placement or any
extension thereof, the placement may  be  extended  in  accordance  with

S. 2607--B                         53                         A. 3007--B

section  355.3  upon petition of any party or the office of children and
family services or, if applicable, a social services district [operating
an approved juvenile justice services close to home initiative  pursuant
to section four hundred four of the social services law], after a dispo-
sitional  hearing, for an additional period not to exceed twelve months,
but no initial placement or extension of placement  under  this  section
may continue beyond the respondent's twenty-first birthday.
  S  16.  Subdivision  2  of  section  355.1  of the family court act is
amended by adding three new paragraphs (d),  (e)  and  (f)  to  read  as
follows:
  (D)  FOR  A SOCIAL SERVICES DISTRICT THAT IS NOT OPERATING AN APPROVED
JUVENILE JUSTICE SERVICES CLOSE TO HOME INITIATIVE PURSUANT  TO  SECTION
FOUR HUNDRED FOUR OF THE SOCIAL SERVICES LAW:
  (I)  IF  THE  DISTRICT  DETERMINES  THAT PLACEMENT IN A LIMITED SECURE
FACILITY IS APPROPRIATE AND CONSISTENT WITH THE NEED FOR  PROTECTION  OF
THE  COMMUNITY AND THE NEEDS AND BEST INTERESTS OF THE RESPONDENT PLACED
INTO ITS CARE, THE SOCIAL SERVICES DISTRICT SHALL  FILE  A  PETITION  TO
TRANSFER  THE  CUSTODY  OF  THE RESPONDENT TO THE OFFICE OF CHILDREN AND
FAMILY SERVICES, AND SHALL PROVIDE A  COPY  OF  SUCH  PETITION  TO  SUCH
OFFICE, THE RESPONDENT, THE ATTORNEY FOR THE RESPONDENT AND THE RESPOND-
ENT'S  PARENT  OR LEGAL GUARDIAN. THE FAMILY COURT SHALL, AFTER ALLOWING
THE OFFICE OF CHILDREN AND FAMILY SERVICES  AND  THE  ATTORNEY  FOR  THE
RESPONDENT,  AFTER NOTICE HAVING BEEN GIVEN, AN OPPORTUNITY TO BE HEARD,
GRANT SUCH A PETITION ONLY IF THE COURT DETERMINES, AND  STATES  IN  ITS
WRITTEN  ORDER,  THE REASONS WHY A LIMITED SECURE PLACEMENT IS NECESSARY
AND CONSISTENT WITH THE NEEDS AND BEST INTERESTS OF THE  RESPONDENT  AND
THE NEED FOR PROTECTION OF THE COMMUNITY.
  (II)  IF  THE  DISTRICT DETERMINES THAT A SECURE LEVEL OF PLACEMENT IS
APPROPRIATE AND CONSISTENT WITH THE NEED FOR PROTECTION OF THE COMMUNITY
AND THE NEEDS AND BEST INTERESTS OF THE RESPONDENT PLACED INTO ITS CARE,
THE SOCIAL SERVICES DISTRICT SHALL  FILE  A  PETITION  TO  TRANSFER  THE
CUSTODY OF THE RESPONDENT TO THE OFFICE OF CHILDREN AND FAMILY SERVICES,
AND  SHALL  PROVIDE A COPY OF SUCH PETITION TO SUCH OFFICE, THE RESPOND-
ENT, THE ATTORNEY FOR THE RESPONDENT  AND  THE  RESPONDENT'S  PARENT  OR
LEGAL  GUARDIAN.  THE  FAMILY  COURT SHALL, AFTER ALLOWING THE OFFICE OF
CHILDREN AND FAMILY SERVICES AND THE ATTORNEY FOR THE RESPONDENT,  AFTER
NOTICE HAVING BEEN GIVEN, AN OPPORTUNITY TO BE HEARD, GRANT SUCH A PETI-
TION ONLY IF THE COURT DETERMINES, AND STATES IN ITS WRITTEN ORDER, THAT
THE YOUTH NEEDS A SECURE LEVEL OF PLACEMENT BECAUSE:
  (A)  THE  RESPONDENT  HAS  BEEN SHOWN TO BE EXCEPTIONALLY DANGEROUS TO
HIMSELF OR HERSELF OR TO OTHER PERSONS. EXCEPTIONALLY DANGEROUS BEHAVIOR
MAY INCLUDE, BUT IS NOT LIMITED TO,  ONE  OR  MORE  SERIOUS  INTENTIONAL
ASSAULTS, SEXUAL ASSAULTS OR SETTING FIRES; OR
  (B)  THE  RESPONDENT HAS DEMONSTRATED BY A PATTERN OF BEHAVIOR THAT HE
OR SHE NEEDS A MORE STRUCTURED SETTING AND THE SOCIAL SERVICES  DISTRICT
HAS  CONSIDERED THE APPROPRIATENESS AND AVAILABILITY OF A TRANSFER TO AN
ALTERNATIVE NON-SECURE OR LIMITED SECURE  FACILITY.  SUCH  BEHAVIOR  MAY
INCLUDE,  BUT  IS  NOT  LIMITED  TO:  DISRUPTIONS  IN FACILITY PROGRAMS;
CONTINUOUSLY AND MALICIOUSLY DESTROYING PROPERTY; OR REPEATEDLY  COMMIT-
TING OR INCITING OTHER YOUTH TO COMMIT ASSAULTIVE OR DESTRUCTIVE ACTS.
  (E)  ONCE  THE  OFFICE  OF  CHILDREN  AND FAMILY SERVICES HAS PROVIDED
NOTICE PURSUANT TO SUBDIVISION FIFTEEN-A OF SECTION FIVE HUNDRED ONE  OF
THE  EXECUTIVE  LAW, TO CLOSE ITS NON-SECURE FACILITIES, TO MAKE SIGNIF-
ICANT SERVICE REDUCTIONS AND PUBLIC EMPLOYEE STAFFING REDUCTIONS  AND/OR
TO  TRANSFER  OPERATIONS  OF  ANY NON-SECURE FACILITIES OPERATED BY SUCH
OFFICE, SUCH OFFICE SHALL FILE PETITIONS TO TRANSFER CUSTODY OF  ALL  OF

S. 2607--B                         54                         A. 3007--B

THE  YOUTH IN THE OFFICE'S CUSTODY WHO ARE CURRENTLY PLACED IN A NON-SE-
CURE SETTING, OR WHO ARE CONDITIONALLY RELEASED FROM SUCH A SETTING,  TO
THE  APPLICABLE  LOCAL  COMMISSIONER OF SOCIAL SERVICES. SUCH A PETITION
SHALL  BE  PROVIDED  TO THE RESPONDENT, THE ATTORNEY FOR THE RESPONDENT,
THE RESPONDENT'S PARENT  OR  LEGAL  GUARDIAN  AND  THE  SOCIAL  SERVICES
DISTRICT.  THE FAMILY COURT SHALL GRANT SUCH A PETITION, WITHOUT A HEAR-
ING, UNLESS THE ATTORNEY FOR THE RESPONDENT, AFTER  NOTICE,  REQUESTS  A
HEARING  AND  OBJECTS  TO  THE TRANSFER ON THE BASIS THAT THE RESPONDENT
NEEDS TO BE PLACED WITH THE OFFICE IN A LIMITED SECURE OR  SECURE  LEVEL
OF  CARE.  THE  FAMILY  COURT  SHALL GRANT THE PETITION UNLESS THE COURT
DETERMINES, AND STATES IN ITS WRITTEN ORDER, THE REASONS WHY  A  LIMITED
SECURE OR SECURE LEVEL OF PLACEMENT IS NECESSARY AND CONSISTENT WITH THE
NEEDS  AND  BEST INTERESTS OF THE RESPONDENT AND THE NEED FOR PROTECTION
OF THE COMMUNITY. NOTWITHSTANDING ANY PROVISION OF LAW TO THE  CONTRARY,
THE  FAMILY  COURT  SHALL  DETERMINE SUCH A PETITION WITHIN TEN CALENDAR
DAYS OF THE DATE THE OFFICE FILES SAID PETITION.
  (F) IF THE OFFICE OF CHILDREN AND FAMILY SERVICES  DETERMINES  THAT  A
NON-SECURE LEVEL OF CARE OR PLACEMENT IS APPROPRIATE AND CONSISTENT WITH
THE  NEED  FOR PROTECTION OF THE COMMUNITY AND THE NEEDS AND BEST INTER-
ESTS OF A RESPONDENT WHO IS IN THEIR CUSTODY  AND  PLACED  AT  EITHER  A
LIMITED  SECURE  OR  SECURE FACILITY FROM A FAMILY COURT WITHIN A SOCIAL
SERVICES DISTRICT THAT IS NOT OPERATING  AN  APPROVED  JUVENILE  JUSTICE
SERVICES  CLOSE TO HOME INITIATIVE PURSUANT TO SECTION FOUR HUNDRED FOUR
OF THE SOCIAL SERVICES LAW, SUCH OFFICE  SHALL  PETITION  THE  COURT  TO
TRANSFER CUSTODY OF SUCH RESPONDENT TO THE APPLICABLE LOCAL COMMISSIONER
OF  SOCIAL  SERVICES  AND  SHALL  PROVIDE  A COPY OF THE PETITION TO THE
SOCIAL SERVICES DISTRICT,  THE  ATTORNEY  FOR  THE  RESPONDENT  AND  THE
PRESENTMENT  AGENCY.  THE  FAMILY COURT SHALL, AFTER ALLOWING THE SOCIAL
SERVICES DISTRICT, THE ATTORNEY FOR THE RESPONDENT AND  THE  PRESENTMENT
AGENCY  AN  OPPORTUNITY  TO  BE  HEARD, GRANT SUCH A PETITION UNLESS THE
COURT DETERMINES, AND STATES IN ITS WRITTEN  ORDER  THE  REASONS  WHY  A
LIMITED  SECURE OR SECURE PLACEMENT IS NECESSARY AND CONSISTENT WITH THE
NEEDS AND BEST INTEREST OF THE RESPONDENT AND THE NEED FOR PROTECTION OF
THE COMMUNITY.
  S 17. This act shall take effect immediately,  provided  however  that
sections seven through fifteen of this act shall take effect May 1, 2013
and  provided  further,  however, that sections one, two, four, five and
six of this act shall take effect March 31, 2014; and  provided  further
that:
  (a) the amendments to subparagraphs (iii) and (iv) of paragraph (a) of
subdivision  4  of section 353.5 of the family court act made by section
eleven of this act shall not affect the expiration of  such  subdivision
and shall be deemed to expire therewith;
  (b)  the  amendments to subparagraphs (i), (iii) and (iv) of paragraph
(c) of subdivision 4 of section 353.5 of the family court  act  made  by
section  twelve  of  this  act  shall  not affect the expiration of such
subdivision and shall be deemed to expire therewith;
  (c) the amendments to paragraph (d) of subdivision 4 of section  353.5
of  the  family court act made by section thirteen of this act shall not
affect the expiration of such subdivision and shall be deemed to  expire
therewith;
  (d) the amendments to subparagraphs (iii) and (iv) of paragraph (a) of
subdivision  5  of section 353.5 of the family court act made by section
fourteen of this act shall not affect the expiration of such subdivision
and shall be deemed to expire therewith;

S. 2607--B                         55                         A. 3007--B

  (e) the amendments to subparagraphs (i), (iii) and (iv)  of  paragraph
(c)  and  paragraph  (d) of subdivision 5 of section 353.5 of the family
court act made by section fifteen of this act shall not affect the expi-
ration of such subdivision and shall be deemed to expire  therewith;
  (f)  the  amendments  to  subdivision 2 of section 355.1 of the family
court act made by section sixteen of this act shall not affect the expi-
ration of such subdivision and shall be deemed to expire therewith.

                                SUBPART B

  Section 1. Subdivision 1 of section  505  of  the  executive  law,  as
amended  by  chapter  465  of  the  laws  of 1992, is amended to read as
follows:
  1. There shall be a facility director of  each  [division  for  youth]
OFFICE  OF CHILDREN AND FAMILY SERVICES OPERATED facility. Such facility
director shall be appointed by the [director] COMMISSIONER of the [divi-
sion] OFFICE OF CHILDREN AND FAMILY SERVICES and THE POSITION  shall  be
in the noncompetitive class and designated as confidential as defined by
subdivision  two-a  of  section  forty-two of the civil service law. The
facility director shall have [two years] SUCH experience [in appropriate
titles in state government. Such facility director shall have such]  AND
other  qualifications as may be prescribed by the [director] DIRECTOR OF
CLASSIFICATION AND COMPENSATION WITHIN THE DEPARTMENT OF  CIVIL  SERVICE
IN  CONSULTATION WITH THE COMMISSIONER of the [division] OFFICE OF CHIL-
DREN AND FAMILY SERVICES, based on  differences  in  duties,  levels  of
responsibility,  size  and  character of the facility, knowledge, skills
and abilities required, and other factors affecting the position  [and].
SUCH  FACILITY  DIRECTOR  shall  serve at the pleasure of the [director]
COMMISSIONER of the [division] OFFICE.
  S 2. This act shall take effect on the thirtieth day  after  it  shall
have become a law.
  S 2. Severability clause. If any clause, sentence, paragraph, subdivi-
sion,  section  or  part  of  this act shall be adjudged by any court of
competent jurisdiction to be invalid, such judgment  shall  not  affect,
impair,  or  invalidate  the remainder thereof, but shall be confined in
its operation to the clause, sentence, paragraph,  subdivision,  section
or part thereof directly involved in the controversy in which such judg-
ment shall have been rendered. It is hereby declared to be the intent of
the  legislature  that  this  act  would  have been enacted even if such
invalid provisions had not been included herein.
  S 3. This act shall take effect immediately  provided,  however,  that
the  applicable  effective date of subparts A and B of this act shall be
as specifically set forth in the last section of such subparts.

                                 PART I

  Section 1. Sections 46, 47, 48, 49, 50 and 74 of the executive law are
REPEALED.
  S 2. Section 51 of the executive law, as added by chapter 766  of  the
laws of 2005, is amended to read as follows:
  S  51.  Jurisdiction.  This  article shall, subject to the limitations
contained herein, confer upon the office of the state inspector general,
jurisdiction over all covered agencies. For the purposes of this article
"covered agency" shall include all executive  branch  agencies,  depart-
ments,  divisions,  officers, boards and commissions, public authorities
(other than multi-state or  multi-national  authorities),  [and]  public

S. 2607--B                         56                         A. 3007--B

benefit  corporations,  the heads of which are appointed by the governor
and which do not have their own inspector general by statute, AND  LOCAL
SOCIAL  SERVICES  DISTRICTS.    Wherever  a  covered  agency is a board,
commission,  a  public authority or public benefit corporation, the head
of the agency is the chairperson thereof. FOR PURPOSES OF THIS  SECTION,
"LOCAL  SOCIAL  SERVICES DISTRICTS" SHALL INCLUDE CONTRACTEES OR RECIPI-
ENTS OF PUBLIC ASSISTANCE SERVICES.
  S 3. Subdivisions 6 and 7 of section 53 of the executive law, as added
by chapter 766 of the laws of 2005, are amended to read as follows:
  6. recommend remedial  action  to  prevent  or  eliminate  corruption,
fraud,  criminal  activity,  conflicts  of  interest or abuse in covered
agencies AND OFFICES AND AGENCIES ADMINISTERING OR  SUPPORTING  PROGRAMS
OF THE DEPARTMENT OF FAMILY ASSISTANCE;
  7.  establish  programs  for  training  state   AND LOCAL officers and
employees OF COVERED AGENCIES regarding the prevention  and  elimination
of  corruption, fraud, criminal activity, conflicts of interest or abuse
in covered agencies.
  S 4. Section 54 of the executive law, as added by chapter 766  of  the
laws of 2005, is amended to read as follows:
  S 54. Powers. The state inspector general shall have the power to:
  1. subpoena and enforce the attendance of witnesses;
  2. administer oaths or affirmations and examine witnesses under oath;
  3.  require  the production of any books and papers deemed relevant or
material to any investigation, examination or review;
  4. notwithstanding any law to the contrary, examine and copy or remove
documents or records of any kind prepared, maintained  or  held  by  any
covered agency;
  5.  require  any  officer  or  employee in a covered agency, OR IN ANY
OFFICE OR AGENCY ADMINISTERING OR SUPPORTING ANY PROGRAM OF THE  DEPART-
MENT  OF  FAMILY  ASSISTANCE,  to answer questions concerning any matter
related to the performance of his or her official duties.  No  statement
or  other evidence derived therefrom may be used against such officer or
employee in any subsequent criminal prosecution other than  for  perjury
or  contempt  arising from such testimony. The refusal of any officer or
employee to answer questions shall be cause for removal from  office  or
employment or other appropriate penalty;
  6.  monitor  the implementation by covered agencies AND BY OFFICES AND
AGENCIES ADMINISTERING OR SUPPORTING PROGRAMS OF THE DEPARTMENT OF FAMI-
LY ASSISTANCE of any recommendations made by THE state inspector  gener-
al;
  7.  perform  any  other functions that are necessary or appropriate to
fulfill the duties and responsibilities of office[.];
  8. NOTWITHSTANDING ANY OTHER PROVISION OF LAW, RULE OR  REGULATION  TO
THE  CONTRARY, NO PERSON SHALL PREVENT, SEEK TO PREVENT, INTERFERE WITH,
OBSTRUCT OR OTHERWISE HINDER ANY INVESTIGATION BEING CONDUCTED  PURSUANT
TO  THIS  SECTION. SECTION ONE HUNDRED THIRTY-SIX OF THE SOCIAL SERVICES
LAW SHALL IN NO WAY BE CONSTRUED TO RESTRICT ANY PERSON OR  GOVERNMENTAL
BODY FROM COOPERATING WITH AND ASSISTING THE INSPECTOR GENERAL OR HIS OR
HER  EMPLOYEES  IN  CARRYING  OUT  THEIR  DUTIES UNDER THIS SECTION. ANY
VIOLATION OF THIS PARAGRAPH SHALL CONSTITUTE  CAUSE  FOR  SUSPENSION  OR
REMOVAL FROM OFFICE OR EMPLOYMENT;
  S  5.  Subdivisions  3  and  7 of section 32 of the public health law,
subdivision 3 as amended by chapter 109 of the laws of 2007 and subdivi-
sion 7 as added by chapter 442 of the laws of 2006, are amended to  read
as follows:

S. 2607--B                         57                         A. 3007--B

  3.  to  coordinate,  to  the  greatest  extent possible, activities to
prevent, detect and investigate medical  assistance  program  fraud  and
abuse  amongst  the  following:  the  department;  the offices of mental
health, [mental retardation and] PEOPLE WITH developmental disabilities,
alcoholism  and  substance  abuse services, temporary disability assist-
ance, and children and family services; the  commission  on  quality  of
care  and  advocacy  for  persons  with  disabilities; the department of
education; the fiscal agent employed to operate the  medical  assistance
information  and  payment system; local governments and entities; and to
work in a coordinated and  cooperative  manner  with,  to  the  greatest
extent possible, the deputy attorney general for Medicaid fraud control;
the  [welfare]  STATE  inspector  general, federal prosecutors, district
attorneys within the state, the special investigative unit maintained by
each health insurer operating within the  state,  and  the  state  comp-
troller;
  7.  to  make  information  and evidence relating to suspected criminal
acts which he or she may obtain in carrying out his or her duties avail-
able to appropriate law enforcement officials and to  consult  with  the
deputy attorney general for Medicaid fraud control[, the welfare inspec-
tor  general,] and other state and federal law enforcement officials for
coordination of criminal investigations and prosecutions.
  The inspector shall refer suspected fraud or criminality to the deputy
attorney general for Medicaid fraud control and make any other referrals
to such deputy attorney general as required or contemplated  by  federal
law.  At  any  time after such referral, with ten days written notice to
the deputy attorney general for Medicaid fraud control or  such  shorter
time  as  such  deputy  attorney  general consents to, the inspector may
additionally provide  relevant  information  about  suspected  fraud  or
criminality  to  any  other federal or state law enforcement agency that
the inspector deems appropriate under the circumstances;
  S 6. Subdivision 2 of section 23 of the social services law, as  added
by chapter 545 of the laws of 1978, is amended to read as follows:
  2.  Notwithstanding  any  law  to  the  contrary, the department, upon
request by the office of [welfare] THE STATE  inspector  general,  shall
provide  said  office  with  such  information it receives from the wage
reporting system operated by the department of taxation and finance that
the office of [welfare] THE STATE inspector general deems  necessary  to
carry  out  its  functions and duties under article [four] FOUR-A of the
executive law.
  S 7. Subdivision 2 of section 136  of  the  social  services  law,  as
amended  by  section 24 of part B of chapter 436 of the laws of 1997, is
amended to read as follows:
  2. All communications and information relating to a  person  receiving
public  assistance  or  care  obtained  by any social services official,
service officer, or employee in the course of his or her work  shall  be
considered  confidential  and,  except  as  otherwise  provided  in this
section, shall be disclosed only to the  commissioner,  or  his  or  her
authorized  representative,  the  commissioner of labor, or   his or her
authorized representative, the commissioner of health,  or  his  or  her
authorized representative, the [welfare] STATE inspector general, or his
or her authorized representative, the county  board of supervisors, city
council,  town  board  or other board or body authorized and required to
appropriate funds for public assistance and care in and for such county,
city or town or its authorized representative or, by  authority  of  the
county,  city  or  town  social services official, to a person or agency
considered entitled to such information. Nothing herein shall preclude a

S. 2607--B                         58                         A. 3007--B

social services official from reporting  to  an  appropriate  agency  or
official,  including  law  enforcement  agencies  or officials, known or
suspected instances of  physical  or  mental  injury,  sexual  abuse  or
exploitation,  sexual  contact  with  a  minor or negligent treatment or
maltreatment of a child of which  the  official  becomes  aware  in  the
administration  of  public  assistance  and  care  nor shall it preclude
communication with the federal immigration  and  naturalization  service
regarding the immigration status of any individual.
  S  8.  Transfer  of  employees. Notwithstanding any other provision of
law, rule, or regulation to the contrary, upon the transfer of functions
from the office of the welfare inspector general to the  office  of  the
state  inspector  general  pursuant  to  this  act, all employees of the
office of the welfare inspector general  shall  be  transferred  to  the
office of the state inspector general. Employees transferred pursuant to
this  act shall be transferred without further examination or qualifica-
tion and shall retain their respective  civil  service  classifications,
status  and  collective  bargaining  unit  designations  and  collective
bargaining agreements.
  S 9. Transfer of records. All  books,  papers,  and  property  of  the
office  of  the  welfare  inspector general, except those required to be
retained by the New York state attorney general  for  investigation  and
prosecution  of  pending  cases, shall be delivered to the office of the
state inspector general. All books, papers, and property of  the  office
of  the welfare inspector general shall continue to be maintained by the
office of the state inspector general.
  S 10. Continuity of authority. For the purpose of  succession  of  all
functions,  powers,  duties and obligations transferred and assigned to,
devolved upon and assumed by it pursuant to this act, the office of  the
state  inspector  general  shall  be  deemed  and held to constitute the
continuation of the office of the welfare inspector general.
  S 11. Completion of unfinished business. Any business or other  matter
undertaken  or  commenced by the office of the welfare inspector general
pertaining to or connected with the functions, powers,  obligations  and
duties  hereby  transferred  and  assigned  to  the  office of the state
inspector general and pending on the effective date of this act  may  be
conducted  and completed by the office of the state inspector general in
the same manner and under the same terms and  conditions  and  with  the
same  effect  as if conducted and completed by the office of the welfare
inspector general, except the office  of  the  state  inspector  general
shall have no authority to prosecute any pending cases.
  S  12.  Continuation of rules and regulations. All rules, regulations,
acts, orders, determinations, and decisions of the office of the welfare
inspector general pertaining to the functions and powers  herein  trans-
ferred  and  assigned, in force at the time of such transfer and assump-
tion, shall continue in full force and  effect  as  rules,  regulations,
acts,  orders,  determinations  and decisions of the office of the state
inspector general until duly modified or abrogated by the state  inspec-
tor general.
  S 13. Terms occurring in laws, contracts and other documents.  Whenev-
er  the office of the welfare inspector general or the welfare inspector
general is referred to or designated in any law,  contract  or  document
pertaining  to  the  functions,  powers,  obligations  and duties hereby
transferred to and assigned to the office of the state inspector general
or the state inspector general, such reference or designation  shall  be
deemed  to  refer  to  the  office of the state inspector general or the
state inspector general, as applicable.

S. 2607--B                         59                         A. 3007--B

  S 14. Existing rights and remedies preserved.  No  existing  right  or
remedy  of  any  character  shall  be  lost, impaired or affected by any
provisions of this act.
  S 15. Pending actions and proceedings. No action or proceeding pending
at  the  time when this act shall take effect, brought by or against the
office of the welfare inspector general or the welfare inspector  gener-
al,  shall be affected by any provision of this act, but the same may be
prosecuted or defended in the name of the state inspector general or the
office of the state inspector general, except the office  of  the  state
inspector  general  shall  have  no  authority  to prosecute any pending
cases. In all such actions and proceedings, the state inspector general,
upon application of the court, shall be substituted as a party.
  S 16. Transfer of appropriations heretofore made.  All  appropriations
or reappropriations heretofore made to the office of the welfare inspec-
tor  general  to  the  extent  of  remaining  unexpended or unencumbered
balance thereof, whether allocated or unallocated and whether  obligated
or unobligated, are hereby transferred to and made available for use and
expenditure  by the office of the state inspector general subject to the
approval of the director of the budget for the same purposes  for  which
originally appropriated or reappropriated and shall be payable on vouch-
ers  certified  or  approved by the state inspector general on audit and
warrant of the comptroller.
  S 17. Transfer of assets and liabilities. All assets  and  liabilities
of the office of the welfare inspector general are hereby transferred to
and assumed by the office of the state inspector general.
  S 18. This act shall take effect immediately.

                                 PART J

  Section  1.  Paragraph (b) of subdivision 3 of section 425 of the real
property tax law, as amended by section 1 of part B of  chapter  389  of
the laws of 1997, is amended to read as follows:
  (b)  Primary  residence.  The property must serve as the primary resi-
dence of one or more of  the  owners  thereof.  THE  COMMISSIONER  SHALL
ESTABLISH  GUIDELINES  FOR  DETERMINING WHAT CONSTITUTES A PRIMARY RESI-
DENCE FOR PURPOSES OF THIS SECTION. SUCH  GUIDELINES  SHALL  BE  BINDING
UPON  APPLICANTS,  ASSESSORS  AND  ALL OTHER PARTIES FOR PURPOSES OF THE
ADMINISTRATION OF THE EXEMPTION AUTHORIZED BY THIS SECTION.
  S 2. Subdivisions 12 and 13 of section 425 of the  real  property  tax
law,  as  amended  by  section 1 of part B of chapter 389 of the laws of
1997, paragraph (a) of subdivision 12 as amended by section 12 of part W
of chapter 56 of the laws of 2010, paragraph (b) of  subdivision  12  as
amended  and  paragraph  (d)  of subdivision 12 as added by section 1 of
part N of chapter 58 of the laws of 2011 and paragraph (d)  of  subdivi-
sion  13  as  added  by section 2 of part N of chapter 58 of the laws of
2011, are amended and two new subdivisions 14 and 15 are added  to  read
as follows:
  12.  Revocation  of  prior  exemptions.  (a) Generally. In addition to
discontinuing the exemption on the  next  ensuing  tentative  assessment
roll,  if  the assessor determines that the property improperly received
the exemption on one or more of the  [three]  TEN  preceding  assessment
rolls, or is advised by the department that the applicable income stand-
ard  was  not  satisfied  with  regard  to a property which received the
enhanced exemption on one or more  of  those  rolls,  he  or  she  shall
proceed  to revoke the improperly granted prior exemption or exemptions.
If the assessor is advised that the department was unable to verify  the

S. 2607--B                         60                         A. 3007--B

income  eligibility  of one or more participants in the income verifica-
tion program, the assessor shall mail that person  or  those  persons  a
notice in a form prescribed by the department requesting that the person
or  persons  document  their  income  in the same manner and to the same
extent as if the person or persons were submitting an  initial  applica-
tion  for  the  enhanced STAR exemption. If such income documentation is
not provided within forty-five days of such request, or if the  documen-
tation  provided  does  not  establish  the eligibility of the person or
persons to the assessor's satisfaction, the  assessor  shall  treat  the
exemption  as  an improperly granted exemption and proceed in the manner
provided by this subdivision.
  (b) Procedure. The assessed value attributable to each such improperly
granted exemption shall be entered separately on the next ensuing tenta-
tive or final assessment roll. The provisions of  section  five  hundred
fifty-one  or  five hundred fifty-three of this chapter, relating to the
entry by the assessor of omitted real property on a tentative  or  final
assessment  roll,  shall  apply  so far as practicable to the revocation
procedure IN THIS SUBDIVISION, except that:
  (I) the tax rate to be applied to any revoked exemption shall  be  the
tax  rate  that  was  applied to the corresponding assessment roll, [and
that]
  (II) interest shall then be added to each such  product  at  the  rate
prescribed by section nine hundred twenty-four-a of this chapter or such
other  law  as may be applicable for each month or portion thereon since
the levy of taxes upon the assessment  roll  or  rolls  upon  which  the
exemption was granted, AND
  (III)  A  PROCESSING  FEE OF FIVE HUNDRED DOLLARS SHALL BE ADDED. SUCH
PROCESSING FEE IMPOSED PURSUANT TO THIS SUBDIVISION SHALL BE RETAINED BY
THE ASSESSING UNIT.
  (c) Rights of owners. Each owner or owners shall be  given  notice  of
the  possible  revocation  UNDER  THIS SUBDIVISION of their exemption or
exemptions at the time and  in  the  manner  provided  by  section  five
hundred  ten  or  five hundred fifty-three of this chapter, and shall be
entitled to seek administrative and judicial review of  such  action  in
the manner provided by law.
  (d)  Applicability.  The  provisions  of this subdivision shall not be
applicable to the extent that  the  prior  exemptions  shall  have  been
renounced pursuant to section four hundred ninety-six of this article.
  13. Penalty for material misstatements. (a) Generally. If the assessor
should  determine, within [three] TEN years from the filing of an appli-
cation for exemption pursuant to this section, that there was a material
misstatement on the application, he or she shall  proceed  to  impose  a
penalty  tax against the property of [one hundred dollars] EITHER TWENTY
PERCENT OF THE TOTAL AMOUNT OF THE IMPROPERLY RECEIVED TAX  SAVINGS,  OR
ONE  HUNDRED  DOLLARS,  WHICHEVER  IS  GREATER.  An application shall be
deemed to contain a material misstatement for this purpose when either:
  (i) the applicant or applicants claimed that the  property  was  their
primary residence, when it was not; or
  (ii)    THE APPLICANT OR APPLICANTS CLAIMED THAT THEY HAD RELINQUISHED
THE STAR EXEMPTION ON THEIR FORMER PRIMARY RESIDENCE, WHEN THEY HAD NOT;
OR
  (III) in the case of an application for  the  enhanced  exemption  for
property owned by senior citizens, the applicant or applicants misrepre-
sented  their age or income so as to appear eligible for such exemption,
when they were not.

S. 2607--B                         61                         A. 3007--B

  (b) Procedure. When the assessor determines that a penalty tax  should
be  imposed, the penalty tax shall be entered on the next ensuing tenta-
tive or final assessment roll. The procedures set forth in section  five
hundred  fifty-one or five hundred fifty-three of this chapter, relating
to  the entry by the assessor of omitted real property on a tentative or
final assessment roll, shall apply so far as practicable when imposing a
penalty tax pursuant to this subdivision. Each owner or owners shall  be
given notice of the possible imposition of a penalty tax at the time and
in  the  manner  provided  by  section  five hundred ten or five hundred
fifty-three of this chapter, and shall be entitled to  seek  administra-
tive  and  judicial review of such action in the manner provided by law.
Any penalty tax imposed pursuant to this subdivision shall  be  retained
by the assessing unit.
  (c)  Additional consequences. A penalty tax may be imposed pursuant to
this subdivision whether or not the improper exemption has been  revoked
in the manner provided by this section. In addition, a person or persons
who are found to have made a material misstatement shall be disqualified
from  further  exemption pursuant to this section for a period of [five]
TEN years, and may be subject to prosecution pursuant to the penal law.
  (d) Applicability. The provisions of this  subdivision  shall  not  be
applicable  to  the  extent  that  the  prior exemptions shall have been
renounced pursuant to section four hundred ninety-six of this article.
  14. STAR REGISTRATION PROGRAM. (A) THE  COMMISSIONER  SHALL  ESTABLISH
AND  IMPLEMENT  A PROGRAM UNDER WHICH ALL OWNERS OF PROPERTIES INITIALLY
APPLYING FOR AND  THOSE  RECEIVING  A  BASIC  STAR  EXEMPTION  SHALL  BE
REQUIRED  TO  BE REGISTERED WITH THE COMMISSIONER IN THE MANNER, AT SUCH
INTERVALS, AND BY THE DATE OR DATES PRESCRIBED BY THE COMMISSIONER.
  (B) NOTWITHSTANDING ANY PROVISION OF LAW TO THE CONTRARY, THE  COMMIS-
SIONER  SHALL  DIRECT THE REMOVAL OR DENIAL OF A STAR EXEMPTION IF HE OR
SHE FINDS THAT ONE OR MORE OF THE FOLLOWING CONDITIONS EXIST:
  (I) ALL OWNERS OF  THE  PROPERTY  HAVE  NOT  BEEN  REGISTERED  BY  THE
PRESCRIBED  DATE  AND NO ACCEPTABLE JUSTIFICATION HAS BEEN PRESENTED FOR
SUCH FAILURE;
  (II) THE OWNERS OF THE PROPERTY ARE IMPROPERLY RECEIVING MULTIPLE STAR
EXEMPTIONS;
  (III) THE PROPERTY DOES NOT SERVE AS THE PRIMARY RESIDENCE OF  ANY  OF
ITS OWNERS;
  (IV) THE APPLICABLE INCOME LIMITATION HAS BEEN EXCEEDED; OR
  (V) THE PROPERTY IS OTHERWISE INELIGIBLE FOR THE STAR EXEMPTION.
  (C)  PRIOR  TO  DIRECTING  THAT  A STAR EXEMPTION BE REMOVED OR DENIED
PURSUANT TO THIS SUBDIVISION, THE COMMISSIONER SHALL PROVIDE THE PROPER-
TY OWNERS WITH NOTICE AND AN OPPORTUNITY TO SHOW THE  COMMISSIONER  THAT
THE PROPERTY IS ELIGIBLE TO RECEIVE THE EXEMPTION. IF THE OWNERS FAIL TO
RESPOND  TO  SUCH  NOTICE,  OR  IF  THEIR  RESPONSE DOES NOT SHOW TO THE
COMMISSIONER'S SATISFACTION  THAT  THE  PROPERTY  IS  ELIGIBLE  FOR  THE
EXEMPTION,  THE  COMMISSIONER  SHALL DIRECT THE ASSESSOR OR OTHER PERSON
HAVING CUSTODY OR CONTROL OF THE ASSESSMENT ROLL OR TAX ROLL  TO  REMOVE
OR  DENY  THE  EXEMPTION,  AND  TO  CORRECT THE ROLL ACCORDINGLY. SUCH A
DIRECTIVE SHALL BE BINDING UPON THE  ASSESSOR  OR  OTHER  PERSON  HAVING
CUSTODY  OR  CONTROL  OF  THE  ASSESSMENT ROLL OR TAX ROLL, AND SHALL BE
IMPLEMENTED BY SUCH PERSON WITHOUT THE NEED FOR FURTHER DOCUMENTATION OR
APPROVAL.
  (D) NOTWITHSTANDING THE PROVISIONS OF PARAGRAPH (B) OF SUBDIVISION SIX
OF THIS SECTION, NEITHER AN ASSESSOR NOR A BOARD  OF  ASSESSMENT  REVIEW
HAS  THE  AUTHORITY TO CONSIDER AN OBJECTION TO THE REMOVAL OR DENIAL OF
AN EXEMPTION PURSUANT TO THIS SUBDIVISION, NOR MAY  SUCH  AN  ACTION  BE

S. 2607--B                         62                         A. 3007--B

REVIEWED  IN  A PROCEEDING TO REVIEW AN ASSESSMENT PURSUANT TO TITLE ONE
OR ONE-A OF ARTICLE SEVEN OF THIS CHAPTER. SUCH AN ACTION  MAY  ONLY  BE
CHALLENGED  BEFORE THE DEPARTMENT OF TAXATION AND FINANCE ON THE GROUNDS
OF  A  MISTAKE  OF  FACT. THE TAXPAYER SHALL HAVE NO RIGHT TO COMMENCE A
COURT ACTION, ADMINISTRATIVE PROCEEDING  OR  ANY  OTHER  FORM  OF  LEGAL
RECOURSE  AGAINST  THE  COMMISSIONER,  THE  DEPARTMENT  OF  TAXATION AND
FINANCE, ASSESSOR OR OTHER PERSON  HAVING  CUSTODY  OR  CONTROL  OF  THE
ASSESSMENT ROLL OR TAX ROLL REGARDING SUCH ACTION.
  (E) THE COMMISSIONER SHALL BE ENTITLED TO UTILIZE INFORMATION FROM ANY
FILINGS  OF  A  TAXPAYER  WITH THE DEPARTMENT OF TAXATION AND FINANCE IN
CONJUNCTION WITH THE STAR REGISTRATION PROGRAM. THE  DISCLOSURE  TO  THE
ASSESSOR  OR  OTHER  PERSON  HAVING CUSTODY OR CONTROL OF THE ASSESSMENT
ROLL OR TAX ROLL OF NAMES AND ADDRESSES OF PROPERTY OWNERS  AFFECTED  BY
THIS  SUBDIVISION,  COLLECTED  FROM  THE  REGISTRATION PROCESS AND OTHER
FILINGS WITH THE DEPARTMENT OF TAXATION AND FINANCE SHALL NOT CONSTITUTE
A VIOLATION OF THE SECRECY PROVISIONS OF THE TAX LAW.  THE  COMMISSIONER
SHALL PROVIDE NO OTHER INFORMATION ABOUT THE INCOME OF A TAXPAYER TO THE
ASSESSOR  OR  OTHER  PERSON  HAVING CUSTODY OR CONTROL OF THE ASSESSMENT
ROLL OR TAX ROLL.
  15. DISCLOSURE OF CERTAIN DATA.  THE  COMMISSIONER  IS  AUTHORIZED  TO
DISCLOSE TO ASSESSORS AND COUNTY DIRECTORS OF REAL PROPERTY TAX SERVICES
SUCH  DATA  AS HE OR SHE DEEMS NECESSARY TO THE EFFECTIVE ADMINISTRATION
OF THE STAR EXEMPTION AUTHORIZED BY THIS  SECTION,  NOTWITHSTANDING  THE
SECRECY  PROVISIONS  OF THE TAX LAW, PROVIDED THAT THE DATA SO DISCLOSED
SHALL NOT BE SUBJECT TO FURTHER DISCLOSURE  UNDER  ARTICLE  SIX  OF  THE
PUBLIC OFFICERS LAW OR OTHERWISE.
  S 3. This act shall take effect April 1, 2013.

                                 PART K

  Section  1.  Articles 16 and 17 of the private housing finance law are
REPEALED.
  S 2. The private housing finance law is amended by adding a new  arti-
cle 27 to read as follows:
                               ARTICLE XXVII
                     COMMUNITY PRESERVATION PROGRAM
SECTION 1230. PURPOSE.
        1231. DEFINITIONS.
        1232. PROGRAM CONTRACTS.
        1233. TECHNICAL  SERVICES  AND ASSISTANCE TO COMMUNITY PRESERVA-
                TION CORPORATIONS.
        1234. RULES AND REGULATIONS.
        1235. ANNUAL REPORT.
        1236. RELATIONSHIP TO OTHER LAWS.
  S 1230. PURPOSE. THERE CONTINUES TO EXIST IN ALL AREAS  OF  THE  STATE
SIGNIFICANT UNMET HOUSING NEEDS OF PERSONS AND FAMILIES OF LOW OR MODER-
ATE INCOME, NUMEROUS HOUSING UNITS WHICH ARE DETERIORATING OR IN NEED OF
REHABILITATION  OR IMPROVEMENT, AND RELATED FACTORS DEMONSTRATING A NEED
FOR ATTENTION TO HOUSING PRESERVATION AND COMMUNITY REVITALIZATION.   IT
IS  THE  PURPOSE  OF  THIS ARTICLE TO ESTABLISH A COMMUNITY PRESERVATION
PROGRAM WITHIN THE HOUSING TRUST FUND CORPORATION.
  S 1231. DEFINITIONS. AS USED IN THIS ARTICLE:
  1. "HOUSING TRUST FUND CORPORATION" SHALL MEAN THE HOUSING TRUST  FUND
CORPORATION AS CREATED BY SECTION FORTY-FIVE-A OF THIS CHAPTER.
  2.  "COMMUNITY  PRESERVATION  CORPORATION"  SHALL  MEAN  A CORPORATION
ORGANIZED UNDER THE PROVISIONS OF  THE  NOT-FOR-PROFIT  CORPORATION  LAW

S. 2607--B                         63                         A. 3007--B

THAT  HAS  BEEN  ENGAGED PRIMARILY IN HOUSING PRESERVATION AND COMMUNITY
RENEWAL ACTIVITIES AS DEFINED IN SUBDIVISION FIVE OF THIS SECTION.
  3. "ELIGIBLE APPLICANT" SHALL MEAN ANY COMMUNITY CORPORATION OR COMBI-
NATION  OF  CORPORATIONS  IN EXISTENCE FOR A PERIOD OF ONE OR MORE YEARS
PRIOR TO APPLICATION.
  4. "REGION" SHALL MEAN ANY COMMUNITY AREA WITHIN THE STATE SUCH  AS  A
COUNTY,  CITY, TOWN, VILLAGE, POSTAL ZONE, OR CENSUS TRACT OR ANY SPECI-
FIED PART OR COMBINATION THEREOF AS APPROVED BY THE HOUSING  TRUST  FUND
CORPORATION, WITHIN WHICH HOUSING AND COMMUNITY RENEWAL ACTIVITIES FUND-
ED IN PART PURSUANT TO THIS ARTICLE ARE TO BE CARRIED OUT.
  5.  "HOUSING PRESERVATION AND COMMUNITY RENEWAL ACTIVITIES" SHALL MEAN
ACTIVITIES ENGAGED IN BY A COMMUNITY PRESERVATION CORPORATION  WITHIN  A
REGION,  PROVIDED,  HOWEVER, THAT THE HOUSING TRUST FUND CORPORATION MAY
ALLOW A COMMUNITY PRESERVATION CORPORATION TO ENGAGE IN SUCH  ACTIVITIES
IN UNSERVED AND UNDERSERVED AREAS OF A MUNICIPALITY LYING OUTSIDE OF ITS
DESIGNATED  REGION, THAT INCLUDE: (A) THE NEW CONSTRUCTION OR THE ACQUI-
SITION,  MAINTENANCE,  PRESERVATION,  REPAIR,  REHABILITATION  OR  OTHER
IMPROVEMENT  OF VACANT OR OCCUPIED HOUSING ACCOMMODATIONS; DEMOLITION OR
SEALING OF VACANT STRUCTURES WHERE NECESSARY OR APPROPRIATE; DISPOSITION
OF HOUSING ACCOMMODATIONS TO PRESENT OR POTENTIAL OCCUPANTS OR CO-OPERA-
TIVE ORGANIZATIONS; TRAINING OR OTHER FORMS OF ASSISTANCE  TO  OCCUPANTS
OF  HOUSING  ACCOMMODATIONS; AND MANAGEMENT OF HOUSING ACCOMMODATIONS AS
AGENT FOR THE OWNERS, RECEIVERS, ADMINISTRATORS  OR  MUNICIPALITIES;  OR
(B)  ACTIVITIES,  SIMILAR  TO  THOSE  SPECIFIED IN PARAGRAPH (A) OF THIS
SUBDIVISION, AIMED AT ACCOMPLISHING SIMILAR PURPOSES AND MEETING SIMILAR
NEEDS WITH RESPECT TO RETAIL AND SERVICE ESTABLISHMENTS WITHIN A  REGION
WHEN CARRIED OUT IN CONNECTION WITH AND INCIDENTAL TO A PROGRAM OF HOUS-
ING RELATED ACTIVITIES.
  6.  "PERSONS  OF LOW INCOME" SHALL MEAN INDIVIDUALS AND FAMILIES WHOSE
ANNUAL INCOMES DO NOT EXCEED NINETY PERCENT OF THE MEDIAN ANNUAL  INCOME
FOR  ALL  RESIDENTS  OF  THE REGION WITHIN WHICH THEY RESIDE OR A LARGER
AREA ENCOMPASSING SUCH REGION FOR WHICH  MEDIAN  ANNUAL  INCOME  CAN  BE
DETERMINED.
  7.  "MERGED  CORPORATION"  SHALL  MEAN A COMMUNITY PRESERVATION CORPO-
RATION MAINTAINING A CONTRACT PURSUANT TO THIS ARTICLE THAT  HAS  UNDER-
GONE  A  MERGER  WITH  ONE  OR  MORE OTHER COMMUNITY PRESERVATION CORPO-
RATIONS, WHICH IS ALSO MAINTAINING A CONTRACT PURSUANT TO THIS  ARTICLE,
THAT  HAS  LED  THE MERGED CORPORATION TO REDUCE THE NUMBER OF CONTRACTS
BEING MAINTAINED WITH THE HOUSING TRUST  FUND  CORPORATION  PURSUANT  TO
THIS ARTICLE TO A TOTAL OF ONE.
  8.  "UNMERGED  CORPORATION" SHALL MEAN A COMMUNITY PRESERVATION CORPO-
RATION THAT IS NOT A MERGED CORPORATION.
  S 1232. PROGRAM CONTRACTS. 1. IN ORDER TO BE ELIGIBLE TO RECEIVE FUNDS
PURSUANT TO THIS ARTICLE, AN ELIGIBLE APPLICANT SHALL SUBMIT A  PROPOSAL
BASED ON CRITERIA AS DETERMINED BY THE HOUSING TRUST FUND CORPORATION.
  2.  WITHIN  THE LIMIT OF FUNDS AVAILABLE IN THE COMMUNITY PRESERVATION
APPROPRIATION,  THE  HOUSING  TRUST  FUND  CORPORATION  MAY  ENTER  INTO
CONTRACTS WITH CORPORATIONS TO PROVIDE HOUSING PRESERVATION AND COMMUNI-
TY RENEWAL ACTIVITIES.
  3.  IN DETERMINING TO ENTER INTO A CONTRACT WITH A COMMUNITY PRESERVA-
TION CORPORATION OR CORPORATIONS PURSUANT TO THIS  ARTICLE  THE  HOUSING
TRUST  FUND  CORPORATION  SHALL DETERMINE THAT THE DEMOGRAPHIC AND OTHER
RELEVANT DATA PERTAINING TO A REGION AS SPECIFIED IN THE CONTRACT  INDI-
CATE  THAT  SUCH  REGION  CONTAINS  SIGNIFICANT  UNMET  HOUSING NEEDS OF
PERSONS OF LOW INCOME, THAT THE HOUSING STOCK OF SUCH REGION, BECAUSE OF
ITS AGE, DETERIORATION, OR OTHER FACTORS, REQUIRES IMPROVEMENT IN  ORDER

S. 2607--B                         64                         A. 3007--B

TO  PRESERVE  THE COMMUNITIES WITHIN THE REGION AND THAT THE CORPORATION
PROPOSES TO ASSIST SUCH REGION THROUGH ACTIVE INTERVENTION TO EFFECT THE
REGION'S PRESERVATION, STABILIZATION OR IMPROVEMENT. THE  HOUSING  TRUST
FUND  CORPORATION  SHALL  ALSO DETERMINE THAT THE COMMUNITY PRESERVATION
CORPORATION POSSESSES OR WILL ACQUIRE OR GAIN ACCESS  TO  THE  REQUISITE
STAFF,  OFFICE FACILITIES WITHIN SUCH COMMUNITY, EQUIPMENT AND EXPERTISE
TO ENABLE IT TO PERFORM THE ACTIVITIES WHICH IT  PROPOSES  TO  UNDERTAKE
PURSUANT  TO  SUCH  CONTRACT;  PROVIDED, HOWEVER, THAT THE MERGED CORPO-
RATION'S OFFICE FACILITIES MAY BE LOCATED OUTSIDE SUCH COMMUNITY IF THEY
ARE LOCATED IN A COMMUNITY WHOLLY CONTAINED  WITHIN  THE  MERGED  CORPO-
RATION'S  COMMUNITY, AND PROVIDED FURTHER, HOWEVER, THAT IT SHALL NOT BE
A BAR TO THE HOUSING TRUST FUND CORPORATION'S CONTRACTING WITH A  COMMU-
NITY  PRESERVATION  CORPORATION  THAT ONE OR MORE ORGANIZATIONS, WHETHER
PURSUANT TO CONTRACT WITH THE HOUSING TRUST FUND CORPORATION OR NOT, ARE
CONDUCTING COMMUNITY PRESERVATION ACTIVITIES WHOLLY OR PARTIALLY  WITHIN
THE  SAME  COMMUNITY. THE COMMUNITY PRESERVATION CORPORATION'S OFFICERS,
DIRECTORS AND MEMBERS SHALL BE FAIRLY REPRESENTATIVE  OF  THE  RESIDENTS
AND  OTHER  LEGITIMATE  INTERESTS OF THE COMMUNITY, THAT THEY WILL CARRY
OUT  SUCH  A  CONTRACT  IN  A  RESPONSIBLE  MANNER  AND  THAT  AT  LEAST
THIRTY-THREE  PERCENT  OF  THE  DIRECTORS  OF THE COMMUNITY PRESERVATION
CORPORATION ARE RESIDENTS OF THE COMMUNITY.
  4. EACH CONTRACT ENTERED INTO PURSUANT TO THIS ARTICLE  SHALL  PROVIDE
FOR PAYMENT TO THE CORPORATION FOR THE HOUSING PRESERVATION AND COMMUNI-
TY  RENEWAL ACTIVITIES TO BE PERFORMED BY IT. PAYMENTS SHALL BE BASED ON
PERFORMANCE CRITERIA ESTABLISHED BY THE HOUSING TRUST FUND CORPORATION.
  5. PAYMENT PURSUANT TO  THIS  ARTICLE  SHALL  BE  RESTRICTED  TO  SUMS
REQUIRED  FOR  THE  PAYMENT  OF  SALARIES AND WAGES TO EMPLOYEES OF SUCH
CORPORATIONS WHO ARE  ENGAGED  IN  RENDERING  HOUSING  PRESERVATION  AND
COMMUNITY  RENEWAL  ACTIVITIES,  FEES  TO  CONSULTANTS AND PROFESSIONALS
RETAINED BY THEM FOR PLANNING AND PERFORMING SUCH ACTIVITIES  AND  OTHER
COSTS  AND  EXPENSES DIRECTLY RELATED TO SUCH EMPLOYEES, CONSULTANTS AND
PROFESSIONALS. SUCH FUNDS MAY BE USED FOR PLANNING ANY HOUSING PRESERVA-
TION AND COMMUNITY  RENEWAL  ACTIVITY  AND  FOR  RENOVATING,  REPAIRING,
FURNISHING,  EQUIPPING  AND  OPERATING  AN OFFICE FACILITY TO BE USED IN
CONNECTION WITH  THE  CONDUCT  OF  HOUSING  PRESERVATION  AND  COMMUNITY
RENEWAL ACTIVITIES BY THE CORPORATION.
  6.  CONTRACTS  PURSUANT  TO  THIS  SECTION SHALL BE FOR A PERIOD TO BE
DETERMINED AT THE DISCRETION OF THE HOUSING TRUST FUND CORPORATION.
  7. THE HOUSING TRUST FUND CORPORATION MAY WITHHOLD  PAYMENTS  AND  MAY
ELECT  NOT  TO RENEW OR EXTEND A CONTRACT OR ENTER A SUCCEEDING CONTRACT
WITH ANY COMMUNITY PRESERVATION CORPORATION IF THE CORPORATION IS NOT IN
COMPLIANCE  WITH  ITS  CONTRACT,  HAS  FAILED  TO  SUBMIT  DOCUMENTATION
REQUIRED  UNDER  ITS  CONTRACT  OR  REQUESTED  BY THE HOUSING TRUST FUND
CORPORATION OR HAS NOT SATISFIED ANY OTHER  CONDITIONS  CONSISTENT  WITH
THIS ARTICLE FOR RENEWING OR EXTENDING A CONTRACT OR ENTERING A SUCCEED-
ING CONTRACT.
  8.  THE  HOUSING  TRUST FUND CORPORATION MAY ENTER INTO CONTRACTS WITH
NEW COMMUNITY PRESERVATION CORPORATIONS TO PERFORM HOUSING  PRESERVATION
AND  COMMUNITY  RENEWAL  ACTIVITIES  IN  A COMMUNITY THAT IS UNSERVED OR
UNDERSERVED AS DETERMINED BY THE HOUSING TRUST FUND CORPORATION.
  9. IF FUNDS ARE NOT COLLECTED BY A COMMUNITY PRESERVATION  CORPORATION
OR   FUNDS  ARE  REMAINING  FROM  A  TERMINATED  COMMUNITY  PRESERVATION
CONTRACT, SUCH FUNDS MAY BE DEPOSITED IN THE MERGED CORPORATION  SAVINGS
FUND  AND  USED TO FUND A NEW COMMUNITY PRESERVATION CORPORATION, MAY BE
REALLOCATED TO THE EXISTING CORPORATIONS, MAY BE USED TO PROVIDE TECHNI-

S. 2607--B                         65                         A. 3007--B

CAL ASSISTANCE OR MAY BE USED FOR OTHER COMMUNITY  PRESERVATION  PROGRAM
PURPOSES AS DETERMINED BY THE HOUSING TRUST FUND CORPORATION.
  10.  WHEN  DISBURSING  FUNDS FOR CONTRACTS WITH COMMUNITY PRESERVATION
CORPORATIONS, PURSUANT TO THIS ARTICLE, THE HOUSING  TRUST  FUND  CORPO-
RATION  SHALL  USE THE FOLLOWING CRITERIA, FORMULAS AND TABLES TO DETER-
MINE THE DISTRIBUTION OF FUNDS:
  (A) (I) THE TOTAL UNMERGED CORPORATION FUNDING SHALL EQUAL THE CURRENT
NUMBER OF UNMERGED CORPORATION CONTRACTS MULTIPLIED  BY  THE  PER  GROUP
AWARD.
  (II) THE UNMERGED CORPORATION FUNDING SHALL EQUAL THE PER GROUP AWARD.
  (III) THE MERGED CORPORATION FUNDING SHALL EQUAL THE FUNDING MODIFICA-
TION MULTIPLIED BY THE PER GROUP AWARD.
  (B)  MERGED  CORPORATION  FUNDING SHALL BE DETERMINED ON AN INDIVIDUAL
BASIS FOR EACH COMMUNITY PRESERVATION CORPORATION. THE FOLLOWING  TABLES
SHOW THE FUNDING MODIFICATION TO BE USED:
  (I) IN THE CASE OF TWO CORPORATIONS MERGING, THE FOLLOWING TABLE SHALL
BE USED:
     YEARS SINCE      FUNDING
        MERGER      MODIFICATION
          1             200%
          2             190%
          3             180%
          4             170%
          5             160%
          6             150%
  (II)  IN  THE  CASE OF THREE CORPORATIONS MERGING, THE FOLLOWING TABLE
SHALL BE USED:
     YEARS SINCE      FUNDING
        MERGER      MODIFICATION
           1            300%
           2            290%
           3            280%
           4            270%
           5            260%
           6            250%
           7            240%
           8            230%
           9            220%
          10            210%
          11            200%
  (III) IN THE CASE OF FOUR OR MORE CORPORATIONS MERGING, THE  FOLLOWING
TABLE SHALL BE USED:
     YEARS SINCE      FUNDING
        MERGER      MODIFICATION
           1            400%
           2            390%
           3            380%
           4            370%
           5            360%
           6            350%
           7            340%
           8            330%
           9            320%
          10            310%
          11            300%
          12            290%

S. 2607--B                         66                         A. 3007--B

          13            280%
          14            270%
          15            260%
          16            250%
  (C) IF A COMMUNITY PRESERVATION CORPORATION THAT HAS UNDERGONE A MERG-
ER CONTINUES TO RENEW THEIR CONTRACT BEYOND THE TIMEFRAMES LISTED IN THE
ABOVE  TABLES, IT SHALL HAVE ITS FUNDING DETERMINED USING THE LAST FUND-
ING MODIFICATION LISTED.
  (D) THE MERGED CORPORATION SAVINGS SHALL BE DETERMINED ON AN  INDIVID-
UAL  BASIS  FOR  EACH  MERGED  CORPORATION.  IT  SHALL  BE CALCULATED BY
SUBTRACTING THE AMOUNT OF SUCH CORPORATION'S MERGED CORPORATION  FUNDING
FROM  THE AMOUNT THE MERGED CORPORATIONS WOULD HAVE RECEIVED IF THEY HAD
MAINTAINED SEPARATE CONTRACTS.
  (E) THE PER GROUP AWARD SHALL BE  DETERMINED  BY  DIVIDING  THE  TOTAL
FUNDING  AVAILABLE, MINUS THE AMOUNTS OF ANY CONTRACTS FOR THE PROVISION
OF TECHNICAL ASSISTANCE, BY THE NUMBER OF COMMUNITY PRESERVATION  CORPO-
RATIONS DETERMINED TO BE QUALIFIED FOR FUNDING BY THE HOUSING TRUST FUND
CORPORATION  AS  OF  THE  EFFECTIVE  DATE OF THIS ARTICLE AND SUBSEQUENT
THERETO, WHICH WERE IN  EXISTENCE  AS  OF  AUGUST  FIRST,  TWO  THOUSAND
TWELVE,  OR WHICH CAME INTO EXISTENCE THEREAFTER, MINUS ANY CORPORATIONS
WHICH HAVE CEASED TO EXIST AND WERE NOT REPLACED OR MERGED.
  11. THE HOUSING TRUST FUND CORPORATION SHALL CREATE A FUND TO HOLD AND
SHALL TRANSFER ALL FUNDS DETERMINED TO  BE  MERGED  CORPORATION  SAVINGS
PURSUANT  TO  PARAGRAPH (D) OF SUBDIVISION TEN OF THIS SECTION INTO SUCH
FUND. THE HOUSING TRUST FUND CORPORATION SHALL USE SUCH FUNDS, AS AVAIL-
ABLE, FOR ENTERING INTO NEW CONTRACTS OR REALLOCATING FUNDS TO  EXISTING
CORPORATIONS,  PURSUANT  TO  THIS  SECTION,  WITH COMMUNITY PRESERVATION
CORPORATIONS LOCATED IN AREAS OF THE STATE THAT ARE  CURRENTLY  UNSERVED
BY A COMMUNITY PRESERVATION CORPORATION.
  S  1233.  TECHNICAL  SERVICES AND ASSISTANCE TO COMMUNITY PRESERVATION
CORPORATIONS. THE HOUSING TRUST FUND CORPORATION IS HEREBY AUTHORIZED TO
RENDER TO COMMUNITY PRESERVATION CORPORATIONS  SUCH  TECHNICAL  SERVICES
AND  ASSISTANCE AS IT MAY POSSESS OR AS MAY BE AVAILABLE TO IT TO ENABLE
SUCH CORPORATIONS TO COMPLY WITH THE INTENT AND PROVISIONS OF THIS ARTI-
CLE. THE HOUSING TRUST FUND CORPORATION IS FURTHER  AUTHORIZED  TO  TAKE
ALL  STEPS NECESSARY TO ENCOURAGE THE FORMATION, ORGANIZATION AND GROWTH
OF NEW COMMUNITY  PRESERVATION  CORPORATIONS.  THE  HOUSING  TRUST  FUND
CORPORATION  MAY  ALSO CONTRACT WITH MUNICIPAL AND OTHER PUBLIC AGENCIES
AND WITH PRIVATE PERSONS, FIRMS AND CORPORATIONS FOR  THE  PROVISION  OF
SUCH  TECHNICAL  SERVICES  AND ASSISTANCE WHICH MAY INCLUDE: PREPARATION
AND SUBMISSION OF PROPOSALS FOR ENTERING INTO CONTRACTS WITH THE HOUSING
TRUST FUND CORPORATION; PREPARATION AND SUBMISSION OF  REPORTS  REQUIRED
UNDER  SUCH  CONTRACTS  OR  REGULATIONS ISSUED BY THE HOUSING TRUST FUND
CORPORATION; INTERNAL ORGANIZATION AND MANAGEMENT OF THE COMMUNITY PRES-
ERVATION CORPORATIONS; RECRUITMENT AND  TRAINING  OF  PERSONNEL  OF  THE
COMMUNITY  PRESERVATION CORPORATIONS; PREPARATION OF PLANS AND PROJECTS,
NEGOTIATION OF AGREEMENTS AND COMPLIANCE WITH REQUIREMENTS  OF  PROGRAMS
IN  WHICH  COMMUNITY PRESERVATION CORPORATIONS MAY BECOME ENGAGED IN THE
COURSE OF THEIR COMMUNITY PRESERVATION ACTIVITIES; AND  OTHER  TECHNICAL
ADVICE  OR ASSISTANCE RELATING TO THE PERFORMANCE OR RENDITION OF COMMU-
NITY PRESERVATION ACTIVITIES.
  S 1234. RULES AND REGULATIONS. THE HOUSING TRUST FUND CORPORATION  MAY
ISSUE RULES AND REGULATIONS OR OPERATIONAL BULLETINS FOR THE APPLICATION
AND AWARDING OF FUNDS UNDER THIS ARTICLE.
  S 1235. ANNUAL REPORT. THE HOUSING TRUST FUND CORPORATION SHALL, ON OR
BEFORE  SEPTEMBER THIRTIETH IN EACH YEAR SUBMIT A REPORT TO THE LEGISLA-

S. 2607--B                         67                         A. 3007--B

TURE ON THE IMPLEMENTATION OF THIS ARTICLE. SUCH REPORT  SHALL  INCLUDE,
BUT  NOT  BE  LIMITED  TO, FOR EACH CORPORATION RECEIVING PAYMENTS UNDER
THIS ARTICLE: A DESCRIPTION OF SUCH CORPORATION'S  CONTRACT  AMOUNT  AND
CUMULATIVE   TOTAL;   THE  SPECIFIC  COMMUNITY  PRESERVATION  ACTIVITIES
PERFORMED BY SUCH CORPORATION; THE  FINDINGS  REQUIRED  BY  THE  HOUSING
TRUST FUND CORPORATION UNDER SUBDIVISION THREE OF SECTION TWELVE HUNDRED
THIRTY-TWO OF THIS ARTICLE; THE AMOUNTS OF MONIES RECEIVED BY THE CORPO-
RATION  FROM  SOURCES OTHER THAN PAYMENTS MADE PURSUANT TO THIS ARTICLE;
THE VALUE OF SERVICES RENDERED FOR THE BENEFIT OF  THE  CORPORATION  FOR
WHICH  PAYMENT IS NOT REQUIRED TO BE MADE; AND SUCH OTHER INFORMATION AS
THE HOUSING TRUST FUND CORPORATION DEEMS APPROPRIATE.
  S 1236. RELATIONSHIP TO OTHER LAWS. NOTHING IN THIS ARTICLE  SHALL  BE
DEEMED  TO DENY OR LIMIT THE RIGHT OF ANY CORPORATION TO SEEK OR RECEIVE
ASSISTANCE UNDER, OR OTHERWISE PARTICIPATE IN, ANY OTHER PROGRAM  PURSU-
ANT TO THIS CHAPTER, OR ANY OTHER GOVERNMENTAL PROGRAM RELATING TO HOUS-
ING  OR  COMMUNITY RENEWAL.   NOTHING IN THIS ARTICLE SHALL BE DEEMED TO
DENY OR LIMIT THE RIGHT OF ANY CORPORATION TO CARRY OUT ANY  PROGRAM  OR
SERVICE THROUGH A SUBSIDIARY CORPORATION OR OTHER INSTRUMENTALITY.
  S  3. Subdivision 5 of section 921 of the private housing finance law,
as added by chapter 166 of the laws of  1991,  is  amended  to  read  as
follows:
  5.  "Neighborhood"  shall mean an area within the municipality identi-
fied by recognized or established boundaries consistent with a  determi-
nation  of neighborhood eligibility under article [sixteen] TWENTY-SEVEN
of this chapter.
  S 4. The opening paragraph of section  1021  of  the  private  housing
finance  law, as added by chapter 911 of the laws of 1982, is amended to
read as follows:
  As used in this article, any term defined in article [seventeen] TWEN-
TY-SEVEN of this chapter shall have the same meaning herein as set forth
therein and the following terms shall have the following meanings:
  S 5. Section 1051 of the private housing  finance  law,  as  added  by
chapter 725 of the laws of 1983, is amended to read as follows:
  S  1051. Legislative findings and statement of policy. The legislature
hereby finds and declares that there exists  in  many  portions  of  the
rural  areas  of  the  state  substantial  needs  for revitalization and
improvement of housing and of local commercial and  service  facilities,
and  for related community renewal activities. The findings set forth in
article [seventeen] TWENTY-SEVEN of this chapter, with  respect  to  the
special  needs  and problems of such areas and the significant potential
role of locally based not-for-profit organizations in  helping  to  meet
such  needs,  are  hereby  reaffirmed. The legislature hereby determines
that, in addition to the program of  state  support  to  help  meet  the
administrative  expenses of such organizations under article [seventeen]
TWENTY-SEVEN, a further public  need  exists  for  state  funding  of  a
portion  of the costs of specific revitalization projects carried out by
such groups and similar local organizations. It is the purpose  of  this
article to encourage community preservation and improvement in the rural
area of the state by establishing a program of such funding.
  S  6.  Section  1052  of  the private housing finance law, as added by
chapter 725 of the laws of 1983 and paragraph 3 of  subdivision  (b)  as
added by chapter 166 of the laws of 1991, is amended to read as follows:
  S 1052. Definitions. As used in this article:
  (a)  all  terms  defined  in  article [seventeen] TWENTY-SEVEN of this
chapter shall have the same meanings herein as specified therein; and
  (b) the following terms shall have the following meanings:

S. 2607--B                         68                         A. 3007--B

  (1) "rural area revitalization  project"  means  a  specific  work  or
series  of  works  for the revitalization and improvement of a region of
the rural area of the state through creation, preservation  or  improve-
ment  of  housing  resources;  creation,  preservation or improvement of
local commercial facilities; restoration or improvement of public facil-
ities  or other aspects of the area environment; related community pres-
ervation or renewal activities; or any combination of the above.
  (2) "qualified applicant" means  a  not-for-profit  corporation  under
contract pursuant to article [seventeen] TWENTY-SEVEN of this chapter or
any  other locally based organization which is either incorporated under
the not-for-profit corporation law (or such law together with any  other
applicable  law) or, if unincorporated, is not organized for the private
profit or benefit of its members.
  (3) "Corporation" means the housing trust fund corporation established
in section forty-five-a of this chapter.
  S 7. Subdivision 3 of section 1053 of the private housing finance law,
as amended by chapter 63 of the laws of 2012,  is  amended  to  read  as
follows:
  3. Each contract pursuant to this section shall provide for payment by
the  corporation  for  the  activities to be carried out pursuant to the
contract. Such payment shall be based on the  projected  costs  of  such
activities  and  the  other sources of funding which may be available to
the applicant (including, if applicable,  funding  pursuant  to  article
[seventeen]  TWENTY-SEVEN  of  this  chapter) from any source. Up to ten
percent of the program or project cost may be  used  for  the  qualified
applicant's  operating  expenses including expenses related to organiza-
tion operating support and administration of  the  contract.  The  total
state  payment pursuant to any one contract shall not exceed two hundred
thousand dollars.
  S 8. This act shall take effect July 1, 2013.

                                 PART L

  Section 1. Subdivision 8 of section 2404 of the public authorities law
is REPEALED and a new subdivision 8 is added to read as follows:
  (8) TO INVEST ANY FUNDS OR OTHER MONEYS UNDER ITS CUSTODY AND  CONTROL
IN INVESTMENT SECURITIES OR UNDER ANY ANCILLARY BOND FACILITY;
  S  2.  Section 2402 of the public authorities law is amended by adding
two new subdivisions 18 and 19 to read as follows:
  (18) "INVESTMENT SECURITIES". SUBJECT TO, OR AS OTHERWISE PROVIDED IN,
THE PROVISIONS OF ANY CONTRACT  WITH  BONDHOLDERS  OF  THE  AGENCY:  (I)
GENERAL  OBLIGATIONS  OF, OR OBLIGATIONS GUARANTEED BY, ANY STATE OF THE
UNITED STATES OF AMERICA OR POLITICAL SUBDIVISION THEREOF, THE  DISTRICT
OF  COLUMBIA,  OR ANY AGENCY OR INSTRUMENTALITY THEREOF RECEIVING ONE OF
THE THREE HIGHEST LONG-TERM UNSECURED DEBT RATING  CATEGORIES  AVAILABLE
FOR  SUCH  SECURITIES OF AT LEAST ONE INDEPENDENT RATING AGENCY; OR (II)
CERTIFICATES OF DEPOSIT, SAVINGS ACCOUNTS, TIME DEPOSITS OR OTHER  OBLI-
GATIONS  OR  ACCOUNTS OF BANKS OR TRUST COMPANIES IN THE STATE, SECURED,
IF THE AGENCY SHALL SO REQUIRE, IN SUCH MANNER  AS  THE  AGENCY  MAY  SO
DETERMINE;  OR  (III)  OTHERWISE, IN THE DISCRETION OF THE AGENCY, OBLI-
GATIONS IN WHICH THE COMPTROLLER IS AUTHORIZED TO  INVEST,  PURSUANT  TO
EITHER SECTION NINETY-EIGHT OR NINETY-EIGHT-A OF THE STATE FINANCE LAW.
  (19)  "ANCILLARY BOND FACILITY". ANY INTEREST RATE EXCHANGE OR SIMILAR
AGREEMENT OR ANY BOND INSURANCE POLICY, LETTER OF CREDIT OR OTHER CREDIT
ENHANCEMENT FACILITY, LIQUIDITY FACILITY, GUARANTEED INVESTMENT OR REIN-
VESTMENT AGREEMENT, OR OTHER SIMILAR AGREEMENT, ARRANGEMENT OR CONTRACT.

S. 2607--B                         69                         A. 3007--B

  S 3. Subdivision 9 of section 2427 of the public authorities  law,  as
added by chapter 788 of the laws of 1978, is amended to read as follows:
  9.  To invest any funds held in reserves or sinking funds or any funds
not required for immediate use or disbursement, at the discretion of the
agency, in obligations of the state [of] OR federal government or of any
city of the state, the principal and interest of which are guaranteed by
the state or  federal  government,  OBLIGATIONS  OF  PUBLIC  AUTHORITIES
CREATED UNDER NEW YORK STATE LAW, obligations of agencies of the federal
government,  GOVERNMENT  NATIONAL MORTGAGE ASSOCIATION, FEDERAL NATIONAL
MORTGAGE ASSOCIATION, AND THE FEDERAL  HOME  LOAN  MORTGAGE  CORPORATION
MORTGAGE  BACKED  SECURITIES,  OR IN FHA INSURED LOANS ORIGINATED BY THE
NEW YORK STATE HOUSING FINANCE AGENCY, or special time deposits  in,  or
certificates of deposit issued by, a bank or trust company authorized to
do  business  in the state and secured by a pledge of obligations of the
United States of America or obligations of the state, any  city  of  the
state,  other  municipal corporation, school district or district corpo-
ration of the state or obligations of agencies of  the  federal  govern-
ment,  provided  that  any  such investment from time to time (1) may be
legally purchased by savings banks of the state as investments of  funds
belonging  to  them or in their control and (2) shall be approved by the
comptroller.
  S 4. Subdivision 4 of section 2429-b of the public authorities law, as
amended by chapter 3 of the laws of 2004, is amended to read as follows:
  4. Moneys in such fund may be invested (a)  in  special  time  deposit
accounts  in, or certificates of deposit issued by, a bank, trust compa-
ny, savings bank or savings and loan association located and  authorized
to  do business in this state, provided, however, that such time deposit
account or certificate of deposit shall be payable within such  time  as
the proceeds may be needed to meet expenditures estimated to be incurred
by  the  agency  and  provided further that such time deposit account or
certificate of deposit be secured by a  pledge  of  obligations  of  the
United  States  of  America or obligations of the state, any city of the
state, or other  municipal  corporation,  school  district  or  district
corporation  of  the  state  or  obligations  of agencies of the federal
government; or (b) in obligations of the United States of America or the
state which may from time to time be legally purchased by savings  banks
within the state as an investment of funds belonging to them or in their
control, or in obligations of the Federal National Mortgage Association,
OR  IN  GOVERNMENT NATIONAL MORTGAGE ASSOCIATION, FEDERAL NATIONAL MORT-
GAGE ASSOCIATION, AND THE FEDERAL HOME LOAN MORTGAGE  CORPORATION  MORT-
GAGE  BACKED  SECURITIES,  OR IN FHA INSURED LOANS ORIGINATED BY THE NEW
YORK STATE HOUSING FINANCE AGENCY OR IN OBLIGATIONS OF  PUBLIC  AUTHORI-
TIES CREATED UNDER STATE LAW, provided such obligations shall be payable
or  redeemable  at  the  option  of  the  owner within such times as the
proceeds may be needed to meet expenditures estimated to be incurred  by
the agency.
  S 5. Subdivision 8 of section 44 of the private housing finance law is
REPEALED and a new subdivision 8 is added to read as follows:
  8.  TO  INVEST ANY FUNDS OR OTHER MONEYS UNDER ITS CUSTODY AND CONTROL
IN INVESTMENT SECURITIES OR UNDER ANY ANCILLARY BOND FACILITY.
  S 6. Section 42 of the private  housing  finance  law  is  amended  by
adding two new subdivisions 26 and 27 to read as follows:
  26.  "INVESTMENT  SECURITIES"  SHALL MEAN, SUBJECT TO OR, AS OTHERWISE
PROVIDED IN, THE PROVISIONS OF ANY  CONTRACT  WITH  BONDHOLDERS  OF  THE
AGENCY:  (I)  GENERAL  OBLIGATIONS OF, OR OBLIGATIONS GUARANTEED BY, ANY
STATE OF THE UNITED STATES OF AMERICA OR POLITICAL SUBDIVISION  THEREOF,

S. 2607--B                         70                         A. 3007--B

THE  DISTRICT  OF  COLUMBIA,  OR  ANY  AGENCY OR INSTRUMENTALITY THEREOF
RECEIVING ONE OF THE THREE HIGHEST LONG-TERM UNSECURED DEBT RATING CATE-
GORIES AVAILABLE FOR SUCH SECURITIES OF AT LEAST ONE INDEPENDENT  RATING
AGENCY; OR (II) CERTIFICATES OF DEPOSIT, SAVINGS ACCOUNTS, TIME DEPOSITS
OR  OTHER  OBLIGATIONS  OR  ACCOUNTS  OF BANKS OR TRUST COMPANIES IN THE
STATE, SECURED, IF THE AGENCY SHALL SO REQUIRE, IN SUCH  MANNER  AS  THE
AGENCY  MAY  SO  DETERMINE; OR (III) OTHERWISE, IN THE DISCRETION OF THE
AGENCY, OBLIGATIONS IN WHICH THE COMPTROLLER IS  AUTHORIZED  TO  INVEST,
PURSUANT  TO  EITHER SECTION NINETY-EIGHT OR NINETY-EIGHT-A OF THE STATE
FINANCE LAW.
  27. "ANCILLARY BOND FACILITY" SHALL MEAN ANY INTEREST RATE EXCHANGE OR
SIMILAR AGREEMENT OR ANY BOND INSURANCE  POLICY,  LETTER  OF  CREDIT  OR
OTHER   CREDIT  ENHANCEMENT  FACILITY,  LIQUIDITY  FACILITY,  GUARANTEED
INVESTMENT  OR  REINVESTMENT  AGREEMENT,  OR  OTHER  SIMILAR  AGREEMENT,
ARRANGEMENT OR CONTRACT.
  S 7. This act shall take effect immediately.

                                 PART M

  Section  1.  Notwithstanding  any other provision of law, and provided
that the reserves in the project pool insurance account of the  mortgage
insurance fund created pursuant to section 2429-b of the public authori-
ties  law  are  sufficient  to attain and maintain the credit rating (as
determined by the agency) required to accomplish the  purposes  of  such
account, the board of directors of the state of New York mortgage agency
shall  authorize the transfer from the project pool insurance account of
the mortgage insurance fund to the state treasury  for  deposit  in  the
general  fund  a  total sum not to exceed one hundred million dollars as
soon as practicable but no later than March 31, 2014.
  S 2. Notwithstanding any other provision of  law,  the  housing  trust
fund  corporation  (the  corporation)  may  provide, for purposes of the
community preservation program, a sum not to exceed twelve million eigh-
teen thousand dollars  for  the  fiscal  year  ending  March  31,  2014.
Notwithstanding  any  other  provision  of  law,  and  provided that the
reserves in the project pool insurance account of the mortgage insurance
fund created pursuant to section 2429-b of the  public  authorities  law
are  sufficient  to attain and maintain the credit rating (as determined
by the agency) required to accomplish the purposes of such account,  the
board  of  directors  of  the  state  of  New York mortgage agency shall
authorize the transfer from the project pool insurance  account  of  the
mortgage  insurance  fund  to  the  housing  trust fund corporation (the
corporation), for the purposes of reimbursing any costs associated  with
community  preservation  program contracts authorized by this section, a
total sum not to exceed twelve million eighteen thousand dollars as soon
as practicable but no later than June 30, 2013.
  S 3. Notwithstanding any other provision of  law,  the  housing  trust
fund  corporation  (the  corporation)  may  provide, for purposes of the
rural rental assistance program, a sum not to exceed twenty million four
hundred thousand dollars for the fiscal  year  ending  March  31,  2014.
Notwithstanding  any  other  provision  of  law,  and  provided that the
reserves in the project pool insurance account of the mortgage insurance
fund created pursuant to section 2429-b of the  public  authorities  law
are  sufficient  to attain and maintain the credit rating (as determined
by the agency) required to accomplish the purposes of such account,  the
board  of  directors  of  the  state  of  New York mortgage agency shall
authorize the transfer from the project pool insurance  account  of  the

S. 2607--B                         71                         A. 3007--B

mortgage  insurance  fund  to  the  housing  trust fund corporation (the
corporation), for the purposes of reimbursing any costs associated  with
rural  rental assistance program contracts authorized by this section, a
total  sum not to exceed twenty million four hundred thousand dollars as
soon as practicable but no later than June 30, 2013.
  S 4. Notwithstanding any other provision of law, the  housing  finance
agency  may  provide,  for  costs  associated with the rehabilitation of
Mitchell Lama housing projects, a sum not to  exceed  seventeen  million
five  hundred  eighty-two  thousand  dollars  for the fiscal year ending
March 31, 2014. Notwithstanding any other provision of law, and provided
that the reserves in the project pool insurance account of the  mortgage
insurance fund created pursuant to section 2429-b of the public authori-
ties  law  are  sufficient  to attain and maintain the credit rating (as
determined by the agency) required to accomplish the  purposes  of  such
account, the board of directors of the state of New York mortgage agency
shall  authorize the transfer from the project pool insurance account of
the mortgage insurance fund to  the  housing  finance  agency,  for  the
purposes  of reimbursing any costs associated with Mitchell Lama housing
projects authorized by this section, a total sum not to exceed seventeen
million five hundred eighty-two thousand dollars as soon as  practicable
but no later than March 30, 2014.
  S 5. This act shall take effect immediately.

                                 PART N

  Section  1.  Section  21  of  the labor law is amended by adding a new
subdivision 14 to read as follows:
  14. SHALL DO ALL THINGS NECESSARY FOR THE OPERATION OF  THE  NEW  YORK
STATE  DATA CENTER ESTABLISHED IN THE DEPARTMENT IN COOPERATION WITH THE
UNITED STATES BUREAU OF THE CENSUS; TO COOPERATE WITH OTHER STATE  AGEN-
CIES,  UNIVERSITIES,  REGIONAL  ORGANIZATIONS,  BOARDS, COMMISSIONS, AND
OTHER ENTITIES IN THE DISSEMINATION OF  SOCIO-ECONOMIC  INFORMATION  AND
DATA THROUGH THE NEW YORK STATE DATA CENTER PROGRAM; IN RELATION TO SUCH
INFORMATION  AND  DATA,  TO  PROVIDE TECHNICAL ASSISTANCE TO OTHER STATE
AGENCIES, UNIVERSITIES, REGIONAL ORGANIZATIONS, BOARDS, COMMISSIONS  AND
OTHER ENTITIES; AND TO PREPARE ESTIMATES AND THE OFFICIAL PROJECTIONS OF
POPULATION, HOUSEHOLDS AND OTHER CHARACTERISTICS OF THE STATE FOR USE BY
ALL STATE AGENCIES.
  S  2. Subdivision 17 of section 100 of the economic development law is
REPEALED.
  S 3. This act shall take effect immediately.

                                 PART O

  Section 1. Paragraph (a) of subdivision 1 of section 518 of the  labor
law,  as  amended by chapter 589 of the laws of 1998, is amended to read
as follows:
  (a) "Wages" means all remuneration paid, except that  such  term  does
not  include remuneration paid to an employee by an employer after eight
thousand five hundred dollars have been paid to such  employee  by  such
employer  with  respect  to  employment during any calendar year, EXCEPT
THAT SUCH TERM DOES NOT INCLUDE REMUNERATION PAID TO AN EMPLOYEE  BY  AN
EMPLOYER  WITH  RESPECT TO EMPLOYMENT DURING ANY CALENDAR YEAR BEGINNING
WITH THE FIRST DAY OF
                                        THAT EXCEEDS
             JANUARY 2014                  $10,300

S. 2607--B                         72                         A. 3007--B

             JANUARY 2015                  $10,500
             JANUARY 2016                  $10,700
             JANUARY 2017                  $10,900
             JANUARY 2018                  $11,100
             JANUARY 2019                  $11,400
             JANUARY 2020                  $11,600
             JANUARY 2021                  $11,800
             JANUARY 2022                  $12,000
             JANUARY 2023                  $12,300
             JANUARY 2024                  $12,500
             JANUARY 2025                  $12,800
             JANUARY 2026                  $13,000
AND  EACH  YEAR  THEREAFTER  ON  THE  FIRST  DAY OF JANUARY THAT EXCEEDS
SIXTEEN PERCENT OF THE STATE'S AVERAGE ANNUAL WAGE AS DETERMINED BY  THE
COMMISSIONER  ON  AN ANNUAL BASIS PURSUANT TO SECTION FIVE HUNDRED TWEN-
TY-NINE OF THIS ARTICLE; PROVIDED, HOWEVER,  THAT  IN  CALCULATING  SUCH
MAXIMUM AMOUNT OF REMUNERATION, THE AMOUNT ARRIVED AT BY MULTIPLYING THE
STATE'S AVERAGE ANNUAL WAGE TIMES SIXTEEN PERCENT SHALL BE ROUNDED UP TO
THE  NEAREST HUNDRED DOLLARS. IN NO EVENT SHALL THE STATE'S ANNUAL AVER-
AGE WAGE BE REDUCED FROM THE AMOUNT DETERMINED IN THE PREVIOUS YEAR. The
term "employment" includes for the purposes of this subdivision services
constituting employment  under  any  unemployment  compensation  law  of
another state or the United States.
  S  2.  Subdivision 1 and paragraph (a) of subdivision 2 of section 527
of the labor law, subdivision 1 as amended by chapter 413 of the laws of
2003 and paragraph (a) of subdivision 2 as amended by chapter 5  of  the
laws of 2000, are amended to read as follows:
  1.  Basic  condition.  "Valid  original  claim"  is a claim filed by a
claimant who meets the following qualifications: (a) is  able  to  work,
and  available  for  work; (b) is not subject to any disqualification or
suspension under this article; (c) his  OR  HER  previously  established
benefit  year,  if  any,  has expired; (d) has been paid remuneration by
employers liable for contributions or for payments in lieu  of  contrib-
utions  under  this article, other than employers from whom the claimant
lost employment  under  conditions  which  would  be  disqualifying  FOR
MISCONDUCT  pursuant  to  [subdivision]  SUBDIVISIONS  three  AND SIX of
section five hundred ninety-three of this article, for employment during
at least two calendar quarters of the base period, with remuneration  of
one and one-half times the high calendar quarter [earnings] REMUNERATION
within  the  base  period and with at least [one] TWO thousand [six] ONE
hundred dollars of such remuneration being paid during the high calendar
quarter of such base period. For purposes of this  section,  the  [earn-
ings]  REMUNERATION in the high calendar quarter of the base period used
in determining a valid original claim shall not exceed an  amount  equal
to twenty-two times the maximum benefit rate as set forth in subdivision
five of section five hundred ninety of this article for all individuals.
  (a)  An  individual  who  is  unable to file a valid original claim in
accordance with subdivision one of this section, files a valid  original
claim  by  meeting  the qualifications enumerated in paragraphs (a), (b)
and (c) of subdivision one of this  section  and  by  having  been  paid
remuneration  by  employers  liable for contributions or for payments in
lieu of contributions under this article, other than employers from whom
the claimant lost employment  under  conditions  which  [are]  WOULD  BE
disqualifying  FOR  MISCONDUCT  pursuant  to  [subdivision] SUBDIVISIONS
three AND SIX of section five hundred ninety-three of this article,  for
employment  during  at  least  two calendar quarters of the base period,

S. 2607--B                         73                         A. 3007--B

with remuneration of one and one-half times the  high  calendar  quarter
[earnings]  REMUNERATION  within the base period and with at least [one]
TWO thousand [six] ONE hundred dollars of such remuneration  being  paid
during  the  high  calendar quarter of such base period. For purposes of
this section, the [earnings] REMUNERATION in the high  calendar  quarter
of  the base period used in determining a valid original claim shall not
exceed an amount equal to twenty-two times the maximum benefit  rate  as
set  forth  in  subdivision  five of section five hundred ninety of this
article for all individuals.
  S 3. The labor law is amended by adding a new section 529 to  read  as
follows:
  S 529. AVERAGE ANNUAL WAGE; AVERAGE WEEKLY WAGE. 1. THE "AVERAGE ANNU-
AL  WAGE"  SHALL BE THE AVERAGE ANNUAL WAGE OF THE STATE OF NEW YORK FOR
THE PREVIOUS CALENDAR YEAR AS DETERMINED BY THE  COMMISSIONER  NO  LATER
THAN THE THIRTY-FIRST DAY OF MAY OF EACH YEAR.
  2.  THE  "AVERAGE WEEKLY WAGE" SHALL BE THE AVERAGE WEEKLY WAGE OF THE
STATE OF NEW YORK FOR THE PREVIOUS CALENDAR YEAR AS  DETERMINED  BY  THE
COMMISSIONER NO LATER THAN THE THIRTY-FIRST DAY OF MAY OF EACH YEAR.
  S  4. Subdivisions 1 and 3 of section 576 of the labor law, as amended
by chapter 49 of the laws of 1966, are amended to read as follows:
  1. Determinations of liability for contributions.  No determination of
liability for contributions pursuant to section five  hundred  sixty  of
this  article  shall be made more than three years after the last day of
the calendar year in which the wages on which such  liability  is  based
were paid, EXCEPT AS PROVIDED IN SUBDIVISION THREE OF THIS SECTION.
  3.  Determinations  of LIABILITY FOR AND amount of contributions after
contest. If an  employer  contests  a  determination  of  liability  for
contributions,  a  determination  of the amount of contributions due FOR
THE CONTESTED PERIOD AND SUBSEQUENT PERIODS may  be  made  at  any  time
prior to the latter of the following:
  (a)  three  years after the last day of the calendar year in which the
wages on which such contributions are based were paid; or
  (b) two years after the last day of the calendar year  in  which  such
determination  of  liability  for  contributions became final and irrev-
ocable.
  S 5. Paragraph (a) of subdivision 1 of section 577 of the labor law is
amended by adding a new subparagraph 9 to read as follows:
  (9) MONIES PURSUANT TO SECTION FIVE HUNDRED NINETY-FOUR OF THIS TITLE.
  S 6. Subparagraph 3 of paragraph (e) of subdivision 1 of  section  581
of  the  labor  law,  as  amended by chapter 589 of the laws of 1998, is
amended to read as follows:
  (3)  An employer's account shall not be charged, and the charges shall
instead be made to the general account, for benefits paid to a  claimant
after  the  expiration  of  a  period  of disqualification from benefits
following a final determination that the claimant lost  employment  with
the  employer  through  misconduct or voluntary separation of employment
without good cause within the meaning of section  five  hundred  ninety-
three  of  this article and the charges are attributable to remuneration
paid during  the claimant's base period of employment with such employer
prior to the claimant's loss of employment with  such  employer  through
misconduct  or  voluntary  separation  of employment without good cause,
PROVIDED, HOWEVER, THAT AN EMPLOYER SHALL NOT  BE  RELIEVED  OF  CHARGES
PURSUANT  TO  THIS  SUBPARAGRAPH  IF  AN  EMPLOYER OR ITS AGENT FAILS TO
SUBMIT INFORMATION RESULTING IN AN OVERPAYMENT PURSUANT TO SECTION  FIVE
HUNDRED NINETY-SEVEN OF THIS ARTICLE.

S. 2607--B                         74                         A. 3007--B

  S  7.  Paragraph (a) of subdivision 2 of section 581 of the labor law,
as added by chapter 413 of the laws of  2003,  is  amended  to  read  as
follows:
  (a)  Each  qualified  employer's  rate  of  contribution  shall be the
percentage shown in the column headed by the size of the fund  index  as
of the computation date and on the same line with his or her negative or
positive  employer's account percentage, except that if within the three
payroll years preceding the computation date  any  part  of  a  negative
balance  has been transferred from any employer's account as a charge to
the general account pursuant to  the  provisions  of  paragraph  (e)  of
subdivision  one  of  this  section such employer's rate of contribution
shall be the maximum contribution rate as shown in the column headed  by
the size of fund index;

                           Size of Fund Index
Employer's
Account
Percentage  Less  0%  0.5% 1.0% 1.5% 2.0% 2.5% 3.0% 3.5% 4.0% 4.5% 5.0%
            Than but  but  but  but  but  but  but  but  but  but  or
            0%   less less less less less less less less less less more
                 than than than than than than than than than than
                 0.5% 1.0% 1.5% 2.0% 2.5% 3.0% 3.5% 4.0% 4.5% 5.0%

Negative

21.0%
or more     8.90 8.70 8.50 8.30 8.10 7.30 6.90 6.50 6.20 6.10 6.00 5.90
20.5%
or more
but less
than 21.0%  8.80 8.60 8.40 8.20 8.00 7.20 6.80 6.40 6.10 6.00 5.90 5.80
20.0%
or more
but less
than 20.5%  8.70 8.50 8.30 8.10 7.90 7.10 6.70 6.30 6.00 5.90 5.80 5.70
19.5%
or more
but less
than 20.0%  8.60 8.40 8.20 8.00 7.80 7.00 6.60 6.20 5.90 5.80 5.70 5.60
19.0%
or more
but less
than 19.5%  8.50 8.30 8.10 7.90 7.70 6.90 6.50 6.10 5.80 5.70 5.60 5.50
18.5%
or more
but less
than 19.0%  8.40 8.20 8.00 7.80 7.60 6.80 6.40 6.00 5.70 5.60 5.50 5.40
18.0%
or more
but less
than 18.5%  8.30 8.10 7.90 7.70 7.50 6.70 6.30 5.90 5.60 5.50 5.40 5.30
17.5%
or more
but less
than 18.0%  8.20 8.00 7.80 7.60 7.40 6.60 6.20 5.80 5.50 5.40 5.30 5.20

S. 2607--B                         75                         A. 3007--B

17.0%
or more
but less
than 17.5%  8.10 7.90 7.70 7.50 7.30 6.50 6.10 5.70 5.40 5.30 5.20 5.10
16.5%
or more
but less
than 17.0%  8.00 7.80 7.60 7.40 7.20 6.40 6.00 5.60 5.30 5.20 5.10 5.00
16.0%
or more
but less
than 16.5%  7.90 7.70 7.50 7.30 7.10 6.30 5.90 5.50 5.20 5.10 5.00 4.90
15.5%
or more
but less
than 16.0%  7.80 7.60 7.40 7.20 7.00 6.20 5.80 5.40 5.10 5.00 4.90 4.80
15.0%
or more
but less
than 15.5%  7.70 7.50 7.30 7.10 6.90 6.10 5.70 5.30 5.00 4.90 4.80 4.70
14.5%
or more
but less
than 15.0%  7.60 7.40 7.20 7.00 6.80 6.00 5.60 5.20 4.90 4.80 4.70 4.60
14.0%
or more
but less
than 14.5%  7.50 7.30 7.10 6.90 6.70 5.90 5.50 5.10 4.80 4.70 4.60 4.50
13.5%
or more
but less
than 14.0%  7.40 7.20 7.00 6.80 6.60 5.80 5.40 5.00 4.70 4.60 4.50 4.40
13.0%
or more
but less
than 13.5%  7.30 7.10 6.90 6.70 6.50 5.70 5.30 4.90 4.60 4.50 4.40 4.30
12.5%
or more
but less
than 13.0%  7.20 7.00 6.80 6.60 6.40 5.60 5.20 4.80 4.50 4.40 4.30 4.20
12.0%
or more
but less
than 12.5%  7.10 6.90 6.70 6.50 6.30 5.50 5.10 4.70 4.40 4.30 4.20 4.10
11.5%
or more
but less
than 12.0%  7.00 6.80 6.60 6.40 6.20 5.40 5.00 4.60 4.30 4.20 4.10 4.00
11.0%
or more
but less
than 11.5%  6.90 6.70 6.50 6.30 6.10 5.30 4.90 4.50 4.20 4.10 4.00 3.90
10.5%
or more
but less
than 11.0%  6.80 6.60 6.40 6.20 6.00 5.20 4.80 4.40 4.10 4.00 3.90 3.80

S. 2607--B                         76                         A. 3007--B

10.0%
or more
but less
than 10.5%  6.70 6.50 6.30 6.10 5.90 5.10 4.70 4.30 4.00 3.90 3.80 3.70
9.5%
or more
but less
than 10.0%  6.60 6.40 6.20 6.00 5.80 5.00 4.60 4.20 3.90 3.80 3.70 3.60
9.0%
or more
but less
than 9.5%   6.50 6.30 6.10 5.90 5.70 4.90 4.50 4.10 3.80 3.70 3.60 3.50
8.5%
or more
but less
than 9.0%   6.40 6.20 6.00 5.80 5.60 4.80 4.40 4.00 3.70 3.60 3.50 3.40
8.0%
or more
but less
than 8.5%   6.30 6.10 5.90 5.70 5.50 4.70 4.30 3.90 3.60 3.50 3.40 3.30
7.0%
or more
but less
than 8.0%   6.20 6.00 5.80 5.60 5.40 4.60 4.20 3.80 3.50 3.40 3.30 3.20
6.0%
or more
but less
than 7.0%   6.10 5.90 5.70 5.50 5.30 4.50 4.10 3.70 3.40 3.30 3.20 3.10
5.0%
or more
but less
than 6.0%   6.00 5.80 5.60 5.40 5.20 4.40 4.00 3.60 3.30 3.20 3.10 3.00
4.0%
or more
but less
than 5.0%   5.90 5.70 5.50 5.30 5.10 4.30 3.90 3.50 3.20 3.10 3.00 2.90
3.0%
or more
but less
than 4.0%   5.60 5.40 5.20 5.00 4.80 4.20 3.80 3.40 3.10 3.00 2.90 2.80
2.0%
or more
but less
than 3.0%   5.50 5.30 5.10 4.90 4.70 4.10 3.70 3.30 3.00 2.90 2.80 2.70
1.0%
or more
but less
than 2.0%   5.40 5.20 5.00 4.80 4.60 4.00 3.60 3.20 2.90 2.80 2.70 2.60
Less
than 1.0%   5.20 5.00 4.80 4.60 4.40 3.80 3.40 3.00 2.70 2.60 2.50 2.40

Positive

Less
than 1.0%   4.10 3.90 3.70 3.50 3.30 2.90 2.50 2.10 1.90 1.80 1.70 1.60
1.0%

S. 2607--B                         77                         A. 3007--B

or more
but less
than 2.0%   4.00 3.80 3.60 3.40 3.20 2.80 2.40 2.00 1.80 1.70 1.60 1.50
2.0%
or more
but less
than 3.0%   3.90 3.70 3.50 3.30 3.10 2.70 2.30 1.90 1.70 1.60 1.50 1.40
3.0%
or more
but less
than 4.0%   3.80 3.60 3.40 3.20 3.00 2.60 2.20 1.80 1.60 1.50 1.40 1.30
4.0%
or more
but less
than 5.0%   3.70 3.50 3.30 3.10 2.90 2.50 2.10 1.70 1.50 1.40 1.30 1.20
5.0%
or more
but less
than 5.5%   3.60 3.40 3.20 3.00 2.80 2.40 2.00 1.60 1.40 1.30 1.20 1.10
5.5%
or more but
less than
5.75%       3.50 3.30 3.10 2.90 2.70 2.30 1.90 1.50 1.30 1.20 1.10 1.00
5.75%
or more
but less
than 6.0%   3.40 3.20 3.00 2.80 2.60 2.20 1.80 1.40 1.20 1.10 1.00 0.90
6.0%
or more but
less than
6.25%       3.30 3.10 2.90 2.70 2.50 2.10 1.70 1.30 1.10 1.00 0.90 0.80
6.25%
or more
but less
than 6.5%   3.20 3.00 2.80 2.60 2.40 2.00 1.60 1.20 1.00 0.90 0.80 0.70
6.5%
or more but
less than
6.75%       3.10 2.90 2.70 2.50 2.30 1.90 1.50 1.10 0.90 0.80 0.70 0.60
6.75%
or more
but less
than 7.0%   3.00 2.80 2.60 2.40 2.20 1.80 1.40 1.00 0.80 0.70 0.60 0.50
7.0%
or more but
less than
7.25%       2.90 2.70 2.50 2.30 2.10 1.70 1.30 0.90 0.70 0.60 0.50 0.40
7.25%
or more
but less
than 7.5%   2.80 2.60 2.40 2.20 2.00 1.60 1.20 0.80 0.60 0.50 0.40 0.30
7.5%
or more but
less than
7.75%       2.70 2.50 2.30 2.10 1.90 1.50 1.10 0.70 0.50 0.40 0.30 0.20
7.75%

S. 2607--B                         78                         A. 3007--B

or more
but less
than 8.0%   2.60 2.40 2.20 2.00 1.80 1.40 1.00 0.60 0.40 0.30 0.20 0.10
8.0%
or more but
less than
8.25%       2.50 2.30 2.10 1.90 1.70 1.30 0.90 0.50 0.30 0.20 0.10 0.00
8.25%
or more
but less
than 8.5%   2.40 2.20 2.00 1.80 1.60 1.20 0.80 0.40 0.20 0.10 0.00 0.00
8.5%
or more but
less than
8.75%       2.30 2.10 1.90 1.70 1.50 1.10 0.70 0.30 0.10 0.00 0.00 0.00
8.75%
or more
but less
than 9.0%   2.20 2.00 1.80 1.60 1.40 1.00 0.60 0.20 0.00 0.00 0.00 0.00
9.0%
or more but
less than
9.25%       2.10 1.90 1.70 1.50 1.30 0.90 0.50 0.10 0.00 0.00 0.00 0.00
9.25%
or more
but less
than 9.5%   2.00 1.80 1.60 1.40 1.20 0.80 0.40 0.00 0.00 0.00 0.00 0.00
9.5%
or more but
less than
9.75%       1.90 1.70 1.50 1.30 1.10 0.70 0.30 0.00 0.00 0.00 0.00 0.00
9.75%
or more but
less than
10.0%       1.80 1.60 1.40 1.20 1.00 0.60 0.20 0.00 0.00 0.00 0.00 0.00
10.0%
or more but
less than
10.25%      1.70 1.50 1.30 1.10 0.90 0.50 0.10 0.00 0.00 0.00 0.00 0.00
10.25%
or more but
less than
10.5%       1.60 1.40 1.20 1.00 0.80 0.40 0.00 0.00 0.00 0.00 0.00 0.00
10.5%
or more [but
less than
10.75%]     1.50 1.30 1.10 0.90 0.70 0.30 0.00 0.00 0.00 0.00 0.00 0.00
[10.75%
or more but
less than
11.0%       1.40 1.20 1.00 0.80 0.60 0.20 0.00 0.00 0.00 0.00 0.00 0.00
11.0%
or more but
less than
11.25%      1.30 1.10 0.90 0.70 0.50 0.10 0.00 0.00 0.00 0.00 0.00 0.00
11.25%

S. 2607--B                         79                         A. 3007--B

or more but
less than
11.5%       1.20 1.00 0.80 0.60 0.40 0.00 0.00 0.00 0.00 0.00 0.00 0.00
11.5%
or more but
less than
11.75%      1.10 0.90 0.70 0.50 0.30 0.00 0.00 0.00 0.00 0.00 0.00 0.00
11.75%
or more but
less than
12.0%       1.00 0.80 0.60 0.40 0.20 0.00 0.00 0.00 0.00 0.00 0.00 0.00
12.0% or
more        0.90 0.70 0.50 0.30 0.10 0.00 0.00 0.00 0.00 0.00 0.00 0.00]
  S  8.  Subdivision  5  of  section 590 of the labor law, as amended by
chapter 413 of the laws of 2003, is amended to read as follows:
  5. Benefit rate. (A) A claimant's weekly benefit amount shall  be  one
twenty-sixth  of the remuneration paid during the highest calendar quar-
ter of the  base  period  by  employers,  liable  for  contributions  or
payments  in  lieu  of  contributions  under  this article, PROVIDED THE
CLAIMANT HAS REMUNERATION PAID IN ALL FOUR CALENDAR QUARTERS DURING  HIS
OR  HER  BASE  PERIOD OR ALTERNATE BASE PERIOD. However, for [claimants]
ANY CLAIMANT WHO HAS REMUNERATION PAID IN  ALL  FOUR  CALENDAR  QUARTERS
DURING  HIS  OR  HER BASE PERIOD OR ALTERNATE BASE PERIOD AND whose high
calendar quarter remuneration during the base period is  three  thousand
five  hundred  seventy-five dollars or less, the benefit amount shall be
one twenty-fifth of the remuneration paid during  the  highest  calendar
quarter  of  the  base  period  by employers liable for contributions or
payments in lieu of contributions under this article. A CLAIMANT'S WEEK-
LY BENEFIT SHALL BE ONE TWENTY-SIXTH OF THE AVERAGE REMUNERATION PAID IN
THE TWO HIGHEST QUARTERS PAID DURING THE BASE PERIOD OR  ALTERNATE  BASE
PERIOD  BY  EMPLOYERS  LIABLE  FOR  CONTRIBUTIONS OR PAYMENTS IN LIEU OF
CONTRIBUTIONS UNDER THIS ARTICLE WHEN THE CLAIMANT HAS REMUNERATION PAID
IN TWO OR THREE CALENDAR QUARTERS. HOWEVER, FOR  ANY  CLAIMANT  WHO  HAS
REMUNERATION  PAID  IN  TWO OR THREE CALENDAR QUARTERS DURING HIS OR HER
BASE PERIOD OR ALTERNATE BASE PERIOD AND  WHOSE  HIGH  CALENDAR  QUARTER
REMUNERATION  DURING  THE  BASE  PERIOD  IS  THREE THOUSAND FIVE HUNDRED
SEVENTY-FIVE  DOLLARS  OR  LESS,  THE  BENEFIT  AMOUNT  SHALL   BE   ONE
TWENTY-FIFTH  OF THE REMUNERATION PAID DURING THE HIGHEST CALENDAR QUAR-
TER OF THE BASE PERIOD BY EMPLOYERS LIABLE FOR CONTRIBUTIONS OR PAYMENTS
IN LIEU OF CONTRIBUTIONS UNDER THIS ARTICLE.  Any  claimant  whose  high
calendar  quarter remuneration during the base period is more than three
thousand five hundred seventy-five dollars shall not have a weekly bene-
fit amount less than one hundred forty-three dollars. The weekly benefit
amount, so computed, that is not a  multiple  of  one  dollar  shall  be
lowered  to  the  next  multiple  of  one dollar. On the first Monday of
September, nineteen hundred ninety-eight the weekly benefit amount shall
not exceed three hundred sixty-five  dollars  nor  be  less  than  forty
dollars,  until  the  first  Monday of September, two thousand, at which
time the maximum benefit payable  pursuant  to  this  subdivision  shall
equal  one-half  of the state average weekly wage for covered employment
as calculated by the department no sooner than July first, two  thousand
and no later than August first, two thousand, rounded down to the lowest
dollar. ON AND AFTER THE FIRST MONDAY OF OCTOBER, TWO THOUSAND FOURTEEN,
THE WEEKLY BENEFIT SHALL NOT BE LESS THAN ONE HUNDRED DOLLARS, NOR SHALL
IT EXCEED FOUR HUNDRED TWENTY DOLLARS UNTIL THE FIRST MONDAY OF OCTOBER,
TWO  THOUSAND  FIFTEEN  WHEN  THE  MAXIMUM  BENEFIT AMOUNT SHALL BE FOUR

S. 2607--B                         80                         A. 3007--B

HUNDRED TWENTY-FIVE DOLLARS, UNTIL THE  FIRST  MONDAY  OF  OCTOBER,  TWO
THOUSAND  SIXTEEN  WHEN THE MAXIMUM BENEFIT AMOUNT SHALL BE FOUR HUNDRED
THIRTY DOLLARS, UNTIL THE FIRST MONDAY OF OCTOBER, TWO  THOUSAND  SEVEN-
TEEN  WHEN  THE MAXIMUM BENEFIT AMOUNT SHALL BE FOUR HUNDRED THIRTY-FIVE
DOLLARS, UNTIL THE FIRST MONDAY OF OCTOBER, TWO THOUSAND  EIGHTEEN  WHEN
THE  MAXIMUM  BENEFIT  AMOUNT SHALL BE FOUR HUNDRED FIFTY DOLLARS, UNTIL
THE FIRST MONDAY OF OCTOBER, TWO  THOUSAND  NINETEEN  WHEN  THE  MAXIMUM
BENEFIT  AMOUNT  SHALL  BE THIRTY-SIX PERCENT OF THE AVERAGE WEEKLY WAGE
UNTIL THE FIRST MONDAY OF OCTOBER, TWO THOUSAND TWENTY WHEN THE  MAXIMUM
BENEFIT AMOUNT SHALL BE THIRTY-EIGHT PERCENT OF THE AVERAGE WEEKLY WAGE,
UNTIL THE FIRST MONDAY OF OCTOBER TWO THOUSAND TWENTY-ONE WHEN THE MAXI-
MUM  BENEFIT  AMOUNT  SHALL BE FORTY PERCENT OF THE AVERAGE WEEKLY WAGE,
UNTIL THE FIRST MONDAY OF OCTOBER,  TWO  THOUSAND  TWENTY-TWO  WHEN  THE
MAXIMUM  BENEFIT AMOUNT SHALL BE FORTY-TWO PERCENT OF THE AVERAGE WEEKLY
WAGE, UNTIL THE FIRST MONDAY OF OCTOBER, TWO THOUSAND TWENTY-THREE  WHEN
THE  MAXIMUM  BENEFIT  AMOUNT SHALL BE FORTY-FOUR PERCENT OF THE AVERAGE
WEEKLY WAGE, UNTIL THE FIRST MONDAY OF OCTOBER, TWO THOUSAND TWENTY-FOUR
WHEN THE MAXIMUM BENEFIT AMOUNT SHALL BE FORTY-SIX PERCENT OF THE  AVER-
AGE  WEEKLY  WAGE, UNTIL THE FIRST MONDAY OF OCTOBER, TWO THOUSAND TWEN-
TY-FIVE WHEN THE MAXIMUM BENEFIT AMOUNT SHALL BE FORTY-EIGHT PERCENT  OF
THE AVERAGE WEEKLY WAGE, UNTIL THE FIRST MONDAY OF OCTOBER, TWO THOUSAND
TWENTY-SIX  AND EACH YEAR THEREAFTER ON THE FIRST MONDAY OF OCTOBER WHEN
THE MAXIMUM BENEFIT AMOUNT SHALL BE FIFTY PERCENT OF THE AVERAGE  WEEKLY
WAGE  PROVIDED,  HOWEVER,  THAT  IN  NO  EVENT SHALL THE MAXIMUM BENEFIT
AMOUNT BE REDUCED FROM THE PREVIOUS YEAR.
  (B) NOTWITHSTANDING THE FOREGOING, THE MAXIMUM  BENEFIT  AMOUNT  SHALL
NOT  BE INCREASED IN ACCORDANCE WITH THE SCHEDULE SET FORTH IN PARAGRAPH
(A) OF THIS SUBDIVISION IN ANY YEAR IN WHICH THE COMMISSIONER DETERMINES
THAT THE STATE HAS HAD A DECREASE IN PRIVATE SECTOR JOBS IN  EACH  MONTH
OF  THE  FIRST  TWO  CALENDAR  QUARTERS OF THE YEAR IN WHICH THE MAXIMUM
BENEFIT AMOUNT INCREASE IS  SCHEDULED  TO  OCCUR.  IF  THE  COMMISSIONER
DETERMINES  THAT THE STATE HAS NOT HAD A DECREASE IN PRIVATE SECTOR JOBS
IN EACH MONTH IN THE FIRST TWO CALENDAR QUARTERS IN YEARS SUBSEQUENT  TO
SUCH  SUSPENSION  OF AN INCREASE IN THE MAXIMUM BENEFIT AMOUNT, THEN THE
MAXIMUM BENEFIT AMOUNT SHALL INCREASE TO THE AMOUNT FOR THE YEAR  PREVI-
OUSLY  SCHEDULED  TO  BE  ESTABLISHED  PURSUANT TO PARAGRAPH (A) OF THIS
SUBDIVISION HAD THE INCREASE NOT BEEN SUSPENDED AND  INCREASED  ANNUALLY
THEREAFTER IN ACCORDANCE WITH THE SCHEDULE SET FORTH IN PARAGRAPH (A) OF
THIS SUBDIVISION. IN NO CASE SHALL SUCH SUSPENSION RESULT IN A REDUCTION
OF  THE  MAXIMUM  BENEFIT AMOUNT TO LESS THAN THE AMOUNT PROVIDED IN THE
MOST RECENT YEAR.
  S 9. Paragraph (b) of subdivision 5 of section 590 of the  labor  law,
as  added  by section eight of this act, is REPEALED and a new paragraph
(b) is added to read as follows:
  (B) NOTWITHSTANDING THE FOREGOING, THE MAXIMUM  BENEFIT  AMOUNT  SHALL
NOT  BE INCREASED IN ACCORDANCE WITH THE SCHEDULE SET FORTH IN PARAGRAPH
(A) OF THIS SUBDIVISION IN ANY YEAR IN WHICH THE BALANCE OF THE FUND  ON
THE  THIRTY-FIRST  DAY  OF  DECEMBER  OF  THE PRIOR YEAR IS LESS THAN AN
AMOUNT OF THE FUNDS PROJECTED TO BE NEEDED TO PAY FOR  THE  INCREASE  IN
BENEFITS  AS DETERMINED BY THE COMMISSIONER. IF FUND REVENUES ARE DETER-
MINED BY THE COMMISSIONER TO BE SUFFICIENT TO PAY FOR  THE  INCREASE  IN
BENEFITS  IN  YEARS  SUBSEQUENT TO SUCH SUSPENSION OF AN INCREASE IN THE
MAXIMUM BENEFIT AMOUNT, THEN THE MAXIMUM BENEFIT AMOUNT  SHALL  INCREASE
TO THE AMOUNT FOR THE YEAR PREVIOUSLY SCHEDULED TO BE ESTABLISHED PURSU-
ANT  TO  PARAGRAPH  (A)  OF  THIS  SUBDIVISION HAD THE INCREASE NOT BEEN
SUSPENDED AND INCREASED ANNUALLY THEREAFTER IN ACCORDANCE WITH THE SCHE-

S. 2607--B                         81                         A. 3007--B

DULE SET FORTH IN PARAGRAPH (A) OF THIS SUBDIVISION. IN  NO  CASE  SHALL
SUCH  SUSPENSION  RESULT IN A REDUCTION OF THE MAXIMUM BENEFIT AMOUNT TO
LESS THAN THE AMOUNT PROVIDED IN THE MOST RECENT YEAR.
  S  10. Paragraph (b) of subdivision 5 of section 590 of the labor law,
as added by section nine of this act is REPEALED and a new paragraph (b)
is added to read as follows:
  (B) NOTWITHSTANDING THE FOREGOING, THE MAXIMUM  BENEFIT  AMOUNT  SHALL
NOT  BE INCREASED IN ACCORDANCE WITH THE SCHEDULE SET FORTH IN PARAGRAPH
(A) OF THIS SUBDIVISION IN ANY YEAR IN WHICH THE BALANCE OF THE FUND  IS
DETERMINED  BY  THE  COMMISSIONER TO NOT HAVE REACHED OR EXCEEDED THIRTY
PERCENT OF THE AVERAGE HIGH COST MULTIPLE, AS DEFINED IN 20 CFR PART 606
AS THE STANDARD FOR RECEIPT OF INTEREST-FREE FEDERAL LOANS, ON AT  LEAST
ONE DAY BETWEEN APRIL FIRST AND JUNE THIRTIETH OF THE SAME CALENDAR YEAR
AS  THE  INCREASE SHALL TAKE EFFECT. IF, FOLLOWING SUCH SUSPENSION OF AN
INCREASE IN THE MAXIMUM BENEFIT AMOUNT, THE  COMMISSIONER  SHALL  DETER-
MINE,  ON  AT  LEAST ONE DAY BETWEEN APRIL FIRST AND JUNE THIRTIETH THAT
THE BALANCE OF THE FUND IS GREATER THAN SUCH THIRTY PERCENT AVERAGE HIGH
COST MULTIPLE, THEN THE MAXIMUM BENEFIT AMOUNT  SHALL  INCREASE  TO  THE
PERCENTAGE  FOR THE YEAR PREVIOUSLY SCHEDULED TO BE ESTABLISHED PURSUANT
TO PARAGRAPH (A) OF THIS SUBDIVISION HAD THE INCREASE NOT BEEN SUSPENDED
AND INCREASED ANNUALLY THEREAFTER IN ACCORDANCE WITH  THE  SCHEDULE  SET
FORTH  IN  PARAGRAPH  (A)  OF  THIS  SUBDIVISION.  IN NO CASE SHALL SUCH
SUSPENSION RESULT IN A REDUCTION OF THE MAXIMUM BENEFIT AMOUNT  TO  LESS
THAN THE AMOUNT PROVIDED IN THE MOST RECENT YEAR.
  S  11.  Subdivision  9  of  section 590 of the labor law is amended by
adding a new paragraph (d) to read as follows:
  (D) AN ALIEN WHO IS NOT ELIGIBLE UNDER 8 USC 1621(A) SHALL BE ELIGIBLE
FOR BENEFITS, PROVIDED SUCH ALIEN IS ELIGIBLE  FOR  BENEFITS  UNDER  THE
PROVISIONS  OF  THIS  ARTICLE  AND  SECTION 3304 (A) (14) OF THE FEDERAL
UNEMPLOYMENT TAX ACT.
  S 12. Subdivision 2 of section 591 of the labor  law,  as  amended  by
chapter 720 of the laws of 1953, is amended to read as follows:
  2. Availability [and], capability, AND WORK SEARCH.  No benefits shall
be  payable  to  any  claimant  who is not capable of work or who is not
ready, willing and able to work in his usual employment or in any  other
for  which he is reasonably fitted by training and experience AND WHO IS
NOT ACTIVELY SEEKING WORK.   IN ORDER TO  BE  ACTIVELY  SEEKING  WORK  A
CLAIMANT  MUST  BE  ENGAGED  IN SYSTEMATIC AND SUSTAINED EFFORTS TO FIND
WORK WHICH SHALL INCLUDE CONTACTING AT LEAST TWO  PROSPECTIVE  EMPLOYERS
FOR EACH WEEK CLAIMED. THE CLAIMANT MUST ALSO BE ENGAGED IN OTHER ACTIV-
ITIES TO OBTAIN NEW WORK AS DETERMINED BY THE COMMISSIONER. THE CLAIMANT
SHALL  BE  REQUIRED  TO MAINTAIN DOCUMENTATION AND PROVIDE PROOF OF WORK
SEARCH EFFORTS AS PRESCRIBED BY THE COMMISSIONER AND SHALL BE SUBJECT TO
A RANDOM AUDIT.
  S 13. Section 591 of the labor law is amended by adding a new subdivi-
sion 6 to read as follows:
  6. DISMISSAL PAY. (A) NO BENEFITS SHALL BE PAYABLE TO A  CLAIMANT  FOR
ANY  WEEK  DURING  A  DISMISSAL  PERIOD  FOR  WHICH  A CLAIMANT RECEIVES
DISMISSAL PAY, NOR SHALL ANY DAY WITHIN SUCH WEEK BE CONSIDERED A DAY OF
TOTAL UNEMPLOYMENT UNDER SECTION FIVE HUNDRED TWENTY-TWO OF  THIS  ARTI-
CLE,  IF  SUCH  WEEKLY  DISMISSAL PAY EXCEEDS THE MAXIMUM WEEKLY BENEFIT
RATE.
  (B) THE TERM "DISMISSAL PAY", AS USED IN THIS SUBDIVISION,  MEANS  ONE
OR  MORE  PAYMENTS  MADE BY AN EMPLOYER TO AN EMPLOYEE DUE TO HIS OR HER
SEPARATION FROM SERVICE  OF  THE  EMPLOYER  REGARDLESS  OF  WHETHER  THE
EMPLOYER IS LEGALLY BOUND BY CONTRACT, STATUTE OR OTHERWISE TO MAKE SUCH

S. 2607--B                         82                         A. 3007--B

PAYMENTS.  THE  TERM  DOES NOT INCLUDE PAYMENTS FOR PENSION, RETIREMENT,
ACCRUED LEAVE, AND HEALTH INSURANCE OR PAYMENTS FOR  SUPPLEMENTAL  UNEM-
PLOYMENT BENEFITS.
  (C)  THE  TERM  "DISMISSAL PERIOD", AS USED IN THIS SUBDIVISION, MEANS
THE TIME DESIGNATED FOR WEEKS  OF  DISMISSAL  PAY  ATTRIBUTABLE  TO  THE
CLAIMANT'S  WEEKLY EARNINGS IN ACCORDANCE WITH THE COLLECTIVE BARGAINING
AGREEMENT, EMPLOYMENT CONTRACT, EMPLOYER'S DISMISSAL  POLICY,  DISMISSAL
AGREEMENT  WITH THE EMPLOYER OR OTHER SUCH AGREEMENT.  IF NO SUCH AGREE-
MENT, CONTRACT  OR  POLICY  DESIGNATES  A  DISMISSAL  PERIOD,  THEN  THE
DISMISSAL  PERIOD  SHALL BE THE TIME DESIGNATED IN WRITING IN ADVANCE BY
THE EMPLOYER TO BE CONSIDERED THE DISMISSAL PERIOD. IF NO TIME PERIOD IS
DESIGNATED, THE DISMISSAL PERIOD SHALL COMMENCE ON  THE  DAY  AFTER  THE
CLAIMANT'S LAST DAY OF EMPLOYMENT. IF THE DISMISSAL PAYMENT IS IN A LUMP
SUM  AMOUNT  OR  FOR  AN  INDEFINITE PERIOD, DISMISSAL PAYMENTS SHALL BE
ALLOCATED ON A WEEKLY BASIS FROM THE DAY AFTER THE CLAIMANT'S  LAST  DAY
OF  EMPLOYMENT  AND  THE CLAIMANT SHALL NOT BE ELIGIBLE FOR BENEFITS FOR
ANY WEEK FOR WHICH IT IS DETERMINED THAT THE CLAIMANT RECEIVES DISMISSAL
PAY. THE AMOUNT OF DISMISSAL PAY SHALL BE ALLOCATED BASED ON THE  CLAIM-
ANT'S  ACTUAL WEEKLY REMUNERATION PAID BY THE EMPLOYER DURING HIS OR HER
EMPLOYMENT OR, IF SUCH AMOUNT CANNOT BE DETERMINED, THE  AMOUNT  OF  THE
CLAIMANT'S AVERAGE WEEKLY WAGE FOR THE HIGHEST CALENDAR QUARTER.
  (D)  NOTWITHSTANDING THE FOREGOING, THE PROVISIONS OF THIS SUBDIVISION
SHALL NOT APPLY DURING  ANY  WEEKS  IN  WHICH  THE  INITIAL  PAYMENT  OF
DISMISSAL  PAY  IS  MADE  MORE THAN THIRTY DAYS FROM THE LAST DAY OF THE
CLAIMANT'S EMPLOYMENT.
  S 14. Subparagraph (i) of paragraph (b) of subdivision  2  of  section
591-a  of the labor law, as added by chapter 413 of the laws of 2003, is
amended to read as follows:
  (i) requirements relating to total unemployment, as defined in section
five hundred twenty-two of  this  article,  availability  for  work  AND
SEARCH FOR WORK, as set forth in subdivision two of section five hundred
ninety-one  of  this  title  and refusal to accept work, as set forth in
subdivision two of section five hundred ninety-three of this title,  are
not applicable to such individuals;
  S  15. Paragraph (a) of subdivision 1, the opening paragraph of subdi-
vision 2 and subdivision 3 of section 593 of the  labor  law,  paragraph
(a)  of  subdivision 1 as amended by chapter 35 of the laws of 2009, the
opening paragraph of subdivision 2 as amended by chapter 5 of  the  laws
of  2000,  and  subdivision  3  as amended by chapter 589 of the laws of
1998, are amended and a new subdivision 6 is added to read as follows:
  (a) No days of total unemployment shall be deemed  to  occur  after  a
claimant's voluntary separation without good cause from employment until
he  or she has subsequently worked in employment and earned remuneration
at least equal to [five] TEN times his or her weekly  benefit  rate.  In
addition  to  other  circumstances  that may be found to constitute good
cause, including a compelling family reason as set  forth  in  paragraph
(b)  of this subdivision, voluntary separation from employment shall not
in itself disqualify a claimant if circumstances have developed  in  the
course  of  such  employment  that  would have justified the claimant in
refusing such employment in the first instance under the terms of subdi-
vision two of this section or if the claimant,  pursuant  to  an  option
provided  under  a  collective  bargaining agreement or written employer
plan which permits waiver of his OR HER right to retain  the  employment
when there is a temporary layoff because of lack of work, has elected to
be separated for a temporary period and the employer has consented ther-
eto.

S. 2607--B                         83                         A. 3007--B

  No  days of total unemployment shall be deemed to occur beginning with
the day on which a claimant, without good cause, refuses  to  accept  an
offer of employment for which he OR SHE is reasonably fitted by training
and  experience, including employment not subject to this article, until
he  OR SHE has subsequently worked in employment and earned remuneration
at least equal to [five] TEN times  his  or  her  weekly  benefit  rate.
Except that claimants who are not subject to a recall date or who do not
obtain  employment  through  a union hiring hall and who are still unem-
ployed after  receiving  [thirteen]  TEN  weeks  of  benefits  shall  be
required  to  accept  any  employment  proffered that such claimants are
capable of performing, provided that such employment would result  in  a
wage not less than eighty percent of such claimant's high calendar quar-
ter  wages  received  in the base period and not substantially less than
the prevailing wage for similar work in the locality as provided for  in
paragraph (d) of this subdivision. No refusal to accept employment shall
be deemed without good cause nor shall it disqualify any claimant other-
wise eligible to receive benefits if:
  3.  Misconduct. No days of total unemployment shall be deemed to occur
after a claimant lost employment through misconduct in  connection  with
his or her employment until he or she has subsequently worked in employ-
ment  and  earned remuneration at least equal to [five] TEN times his or
her weekly benefit rate.
  6. DETERMINATIONS AND HEARINGS. THE COMMISSIONER SHALL ISSUE A  DETER-
MINATION FOR ANY PROTEST THAT IS FILED BY ANY BASE PERIOD EMPLOYER WITH-
IN  THE TIME SPECIFIED IN THE NOTIFICATION OF POTENTIAL CHARGES BASED ON
VOLUNTARY SEPARATIONS OR MISCONDUCT. AN EMPLOYER OR CLAIMANT MAY REQUEST
A HEARING OF SUCH DETERMINATION PURSUANT TO SECTION SIX  HUNDRED  TWENTY
OF THIS ARTICLE.
  S  16.  Section 594 of the labor law, as amended by chapter 728 of the
laws of 1952, and the opening paragraph as amended by chapter 139 of the
laws of 1968, are amended to read as follows:
  S 594. Reduction AND RECOVERY of benefits  AND  PENALTIES  for  WILFUL
false  statement  OR OMISSION.  A claimant who has wilfully made a false
statement or representation OR WILFULLY CONCEALED ANY PERTINENT FACT  to
obtain  any  benefit  under the provisions of this article shall forfeit
benefits for at least the first four but not more than the first  eighty
effective  days  following discovery of such offense for which he OR SHE
otherwise would have been entitled to  receive  benefits.  Such  penalty
shall apply only once with respect to each such offense.
  For  the purpose of subdivision four of section five hundred ninety of
this article, the claimant shall be deemed to have received benefits for
such forfeited effective days.
  The penalty provided in this section shall not be confined to a single
benefit year but shall no longer apply in whole or  in  part  after  the
expiration  of two years from the date [on which the offense was commit-
ted] OF THE FINAL DETERMINATION. SUCH TWO-YEAR PERIOD  SHALL  BE  TOLLED
DURING THE TIME PERIOD A CLAIMANT HAS AN APPEAL PENDING.
  A  claimant  shall  refund  all  moneys received because of such false
statement or representation [made by him] OR WILFUL CONCEALMENT AND  PAY
A CIVIL PENALTY IN AN AMOUNT EQUAL TO THE GREATER OF ONE HUNDRED DOLLARS
OR FIFTEEN PERCENT OF THE TOTAL OVERPAID BENEFITS DETERMINED PURSUANT TO
THIS  SECTION.  WHEN A DETERMINATION BASED UPON A WILFUL FALSE STATEMENT
OR REPRESENTATION OR BASED UPON THE WILFUL CONCEALMENT  OF  A  PERTINENT
FACT  IN  CONNECTION  WITH  THE CLAIM FOR BENEFITS BECOMES FINAL THROUGH
EXHAUSTION OF APPEAL RIGHTS OR FAILURE TO EXHAUST  HEARING  RIGHTS,  THE
COMMISSIONER  MAY  FILE  WITH  THE  COUNTY CLERK OF THE COUNTY WHERE THE

S. 2607--B                         84                         A. 3007--B

CLAIMANT RESIDES THE FINAL DETERMINATION  OF  THE  COMMISSIONER  OR  THE
FINAL  DECISION  BY  AN  ADMINISTRATIVE LAW JUDGE, THE APPEAL BOARD OR A
COURT CONTAINING THE AMOUNT FOUND TO BE DUE INCLUDING INTEREST AND CIVIL
PENALTY.  THE  FILING OF SUCH FINAL DETERMINATION OR DECISION SHALL HAVE
THE FULL FORCE AND EFFECT OF A JUDGMENT DULY DOCKETED IN THE  OFFICE  OF
SUCH  CLERK.  THE FINAL DETERMINATION OR DECISION MAY BE ENFORCED BY AND
IN THE SAME MANNER, AND WITH LIKE EFFECT AS IF IT WERE A DEFAULT AS  SET
FORTH  IN  SECTION  FIVE  HUNDRED  SEVENTY-THREE OF THIS ARTICLE. MONEYS
RECEIVED BECAUSE OF SUCH FALSE STATEMENT  OR  REPRESENTATION  OR  WILFUL
CONCEALMENT, INCLUDING THE ACCRUAL OF INTEREST, MAY ALSO BE RECOVERED AS
PRESCRIBED  BY  THE  CIVIL  PRACTICE LAW AND RULES FOR THE RECOVERY OF A
MONEY JUDGMENT OR THROUGH COMMON LAW OR STATUTORY RIGHTS  OF  OFFSET  OR
ANY  CRIMINAL  PROSECUTION.  THE  PENALTIES COLLECTED HEREUNDER SHALL BE
DEPOSITED IN THE FUND. THE PENALTIES  ASSESSED  UNDER  THIS  SUBDIVISION
SHALL  APPLY  AND  BE ASSESSED FOR ANY BENEFITS PAID UNDER FEDERAL UNEM-
PLOYMENT AND EXTENDED UNEMPLOYMENT PROGRAMS ADMINISTERED BY THE  DEPART-
MENT  IN  THE  SAME MANNER AS PROVIDED IN THIS ARTICLE. THE PENALTIES IN
THIS SECTION SHALL BE IN ADDITION TO ANY PENALTIES  IMPOSED  UNDER  THIS
CHAPTER OR ANY STATE OR FEDERAL CRIMINAL STATUTE.
  S 17. Section 596 of the labor law is amended by adding a new subdivi-
sion 7 to read as follows:
  7.  NOTWITHSTANDING THE PROVISIONS OF SECTION FIVE HUNDRED NINETY-FIVE
OF THIS TITLE, THE COMMISSIONER SHALL DEDUCT AND WITHHOLD  ANY  OVERPAY-
MENTS ESTABLISHED UNDER THIS ARTICLE OR UNDER ANY STATE OR FEDERAL UNEM-
PLOYMENT COMPENSATION PROGRAM FROM BENEFITS PAYABLE TO AN INDIVIDUAL. NO
PENALTIES  OR INTEREST ASSESSED PURSUANT TO SECTION FIVE HUNDRED NINETY-
FOUR OF THIS TITLE MAY BE DEDUCTED OR WITHHELD FROM BENEFITS.
  S 18. Subdivision 2 of section 597 of the  labor  law  is  amended  by
adding a new paragraph (d) to read as follows:
  (D)  NOTWITHSTANDING  ANY PROVISIONS OF THIS ARTICLE, UNLESS A COMMIS-
SIONER'S ERROR IS SHOWN OR THE FAILURE IS THE DIRECT RESULT OF A  DISAS-
TER  EMERGENCY  DECLARED  BY  THE  GOVERNOR  OR PRESIDENT, AN EMPLOYER'S
ACCOUNT SHALL NOT BE RELIEVED OF CHARGES RESULTING IN AN OVERPAYMENT  OF
BENEFITS  WHEN THE COMMISSIONER DETERMINES THAT THE OVERPAYMENT WAS MADE
BECAUSE THE EMPLOYER OR THE AGENT OF THE EMPLOYER FAILED  TO  TIMELY  OR
ADEQUATELY  RESPOND TO A REQUEST FOR INFORMATION IN THE NOTICE OF POTEN-
TIAL CHARGES OR OTHER SUCH NOTICE REQUESTING INFORMATION IN RELATION  TO
A  CLAIM  UNDER  THIS  ARTICLE, PROVIDED, HOWEVER, THAT THE COMMISSIONER
SHALL RELIEVE THE EMPLOYER OF CHARGES THE FIRST TIME THAT  THE  EMPLOYER
FAILS  TO  PROVIDE  TIMELY  OR  ADEQUATE  INFORMATION,  IF  THE EMPLOYER
PROVIDES GOOD CAUSE FOR SUCH FAILURE AS DETERMINED BY THE COMMISSIONER.
  "TIMELY" SHALL MEAN A RESPONSE IS PROVIDED IN THE TIME  PERIOD  SPECI-
FIED IN THE NOTICE AS PRESCRIBED BY THE COMMISSIONER.
  THE  TERM  "ADEQUATELY"  SHALL  MEAN  THAT  THE  EMPLOYER OR ITS AGENT
SUBMITTED INFORMATION SUFFICIENT TO RENDER A CORRECT DETERMINATION.
  THIS PROHIBITION FOR RELIEF OF CHARGES SHALL APPLY  TO  ALL  EMPLOYERS
UNDER  THIS  ARTICLE  INCLUDING  EMPLOYERS  ELECTING  PAYMENT IN LIEU OF
CONTRIBUTIONS.
  S 19. Section 600 of the labor law, as added by  chapter  793  of  the
laws  of  1963,  subdivision  6 as amended by chapter 391 of the laws of
2005, subdivision 7 as added by chapter 362 of the laws of  1980,  para-
graph  (a)  of  subdivision  7  as amended by chapter 176 of the laws of
2004, paragraph (b) of subdivision 7 as amended by chapter 5 of the laws
of 2000, and paragraph (c) of subdivision 7 as relettered by chapter 895
of the laws of 1980, is amended to read as follows:

S. 2607--B                         85                         A. 3007--B

  S 600. Effect of retirement payments. 1. Reduction  of  benefit  rate.
[If a claimant retires or is retired from employment by an employer and,
due  to  such  retirement,  is receiving a pension or retirement payment
under a plan financed in whole or in part by such employer, such  claim-
ant's  benefit  rate  for four effective days otherwise applicable under
subdivision seven of section five hundred ninety  shall  be  reduced  as
hereinafter provided.
  2.  Application. The reduction shall apply only to benefits which when
paid will be chargeable to the account of the employer who provided  the
pension or retirement benefit.
  3.  Amount  of reduction. If the pension or retirement payment is made
under a plan to which the employer is the sole contributor,  the  claim-
ant's  benefit  rate  shall  be  reduced  by the largest number of whole
dollars which is not more than the prorated weekly amount of his pension
or retirement payment under such plan.  If  the  pension  or  retirement
payment  is  made  under  a  plan  to which the employer is not the sole
contributor, the claimant's benefit rate shall be reduced by the largest
number of whole dollars which is not more than one-half of the  prorated
weekly amount of his pension or retirement payments under such plan, but
no  reduction shall apply if the claimant demonstrates that the employer
contributed less than fifty per centum to the plan.
  4. Reduction equal to benefit rate. If the amount to be deducted  from
a claimant's benefit rate equals or exceeds such rate, he shall be inel-
igible  to receive any benefits which if paid would be chargeable to the
employer involved in the pension or retirement plan,  but  any  benefits
which would in the absence of this section be chargeable to the accounts
of other employers shall be payable to the claimant.
  5. Reduction not established. If, at the time benefits are payable, it
has  not  been  established  that  the  claimant  will be receiving such
pension or retirement payment, benefits due  shall  be  paid  without  a
reduction,  subject to review within the period and under the conditions
as provided in subdivisions three and four of section five hundred nine-
ty-seven with respect to retroactive payment of remuneration.
  6. Limitation. For the purposes of this section, the terms "pension or
retirement payment" and "governmental or other  pension,  retirement  or
retired  pay,  annuity,  or  any other similar periodic payment which is
based on previous work" shall not include payments made from a qualified
trust to an eligible retirement plan  under  the  terms  and  conditions
specified  in  section four hundred two of the internal revenue code for
federal income tax purposes, such payments commonly  known  as  eligible
rollover distributions.
  7. Alternative condition. (a) When a reduction for retirement payments
is  required by the federal unemployment tax act as a condition for full
tax credit, in which event the  provisions  of  subdivisions  one,  two,
three,  four  and  five of this section shall not be operative, the] (A)
THE benefit rate of a claimant who is receiving a governmental or  other
pension,  retirement or retired pay, annuity, or any other similar peri-
odic payment which is based on his previous work, shall  be  reduced  as
hereinafter provided, if such payment is made under a plan maintained or
contributed to by his base period employer and, except for payments made
under  the  social  security act or the railroad retirement act of 1974,
the claimant's employment with,  or  remuneration  from,  such  employer
after  the beginning of the base period affected his eligibility for, or
increased the amount of, such pension, retirement or retired pay, annui-
ty, or other similar periodic payment.

S. 2607--B                         86                         A. 3007--B

  (b) [If the claimant made no contribution for the pension,  retirement
or  retired  pay,  annuity,  or other similar periodic payment, his] THE
CLAIMANT'S benefit rate shall be reduced by the largest number of  whole
dollars  which  is  not  more  than  the pro-rated weekly amount of such
payment.  If  the  claimant  was  the  sole contributor for the pension,
retirement or retired pay, annuity, or other similar  periodic  payment,
no  reduction  shall  apply.  [If  the  claimant's contributions for the
pension, retirement or retired pay, annuity, or other  similar  periodic
payment  were  less  than one hundred per centum, the commissioner shall
determine the amount of the reduction by taking into account the  claim-
ant's contributions in a manner consistent with the federal unemployment
tax act.]
  (c)  If, at the time benefits are payable, it has not been established
that the claimant will be receiving such pension, retirement or  retired
pay,  annuity  or  other  payment,  benefits due shall be paid without a
reduction, subject to review within the period and under the  conditions
as provided in subdivisions three and four of section five hundred nine-
ty-seven with respect to retroactive payment of remuneration.
  (D) FOR THE PURPOSES OF THIS SECTION, THE TERMS "PENSION OR RETIREMENT
PAYMENT"  AND "GOVERNMENTAL OR OTHER PENSION, RETIREMENT OR RETIRED PAY,
ANNUITY, OR ANY OTHER SIMILAR PERIODIC PAYMENT WHICH IS BASED ON  PREVI-
OUS  WORK"  SHALL NOT INCLUDE PAYMENTS MADE FROM A QUALIFIED TRUST TO AN
ELIGIBLE RETIREMENT PLAN UNDER THE TERMS  AND  CONDITIONS  SPECIFIED  IN
SECTION FOUR HUNDRED TWO OF THE INTERNAL REVENUE CODE FOR FEDERAL INCOME
TAX PURPOSES, SUCH PAYMENTS COMMONLY KNOWN AS ELIGIBLE ROLLOVER DISTRIB-
UTIONS.
  S  20.  Section 602 of the labor law, as amended by chapter 214 of the
laws of 1998, is amended to read as follows:
  S 602. Application. This title shall apply to a claimant  employed  by
an  employer  whose  application to participate in a shared work program
has been approved by the commissioner.  The  provisions  of  subdivision
four  of section five hundred twenty-seven, subdivisions three and seven
of section five hundred ninety and  subdivision  four  of  section  five
hundred  ninety-six  of  this  article  shall  not be applicable to such
claimant and he OR SHE shall not be required to be  available  for  work
with  any  other  employer NOR SHALL HE OR SHE BE REQUIRED TO SEARCH FOR
WORK IN ACCORDANCE WITH SUBDIVISION TWO OF SECTION FIVE HUNDRED  NINETY-
ONE OF THIS ARTICLE IF HE OR SHE IS AVAILABLE FOR HIS OR HER USUAL HOURS
OF  WORK  WITH HIS OR HER EMPLOYER THAT HAS BEEN ACCEPTED TO PARTICIPATE
IN THE SHARED WORK PROGRAM. The other provisions of this  article  shall
apply  to such claimants and their employers to the extent that they are
not inconsistent with the provisions of this title.
  S 21. Section 603 of the labor law, as added by  chapter  438  of  the
laws of 1985, is amended to read as follows:
  S  603.  Definitions. For purposes of this title: "Total unemployment"
shall mean the total lack of any employment on any day, other than  with
an employer applying for a shared work program. ["Full time hours" shall
mean  at  least  thirty-five but not more than forty hours per week, and
shall not include overtime as defined in the Fair Labor Standards  Act.]
"Work  force"  shall  mean  the total work force, a clearly identifiable
unit or units thereof, or a particular shift or shifts. THE  WORK  FORCE
SUBJECT TO REDUCTION SHALL CONSIST OF NO LESS THAN TWO EMPLOYEES.
  S 21-a. Section 604 of the labor law, as amended by chapter 564 of the
laws of 2002, is amended to read as follows:
  S  604. Eligibility conditions. A claimant shall be eligible for bene-
fits under this title if he OR SHE works less than  his  OR  HER  normal

S. 2607--B                         87                         A. 3007--B

[full time] hours in a week for his customary employer, and that employ-
er has reduced or restricted the claimant's weekly hours of work, or has
rehired  a  claimant  previously  laid off and reduced his OR HER weekly
hours  of  work from those previously worked, as the result of a plan by
the employer to stabilize the work force by a  program  of  sharing  the
work  remaining  after  a  reduction in total hours of work and a corre-
sponding reduction in wages, provided the program requires not less than
a twenty percent nor more than a sixty percent reduction  in  hours  and
wages  among the work force. A claimant receiving supplemental unemploy-
ment compensation benefits, as defined in section five hundred  one  (c)
(17)  (D)  of  the internal revenue code of nineteen hundred fifty-four,
shall not be eligible hereunder. Any employee who was otherwise eligible
for benefits under this title but was denied benefits during the  period
beginning  October first, two thousand one and ending on December first,
two thousand one because more than five percent of his OR HER wages were
derived from piece work, shall be entitled to make a  retroactive  claim
for  such benefits provided such claim is filed within sixty days of the
effective date of this sentence.
  S 22. Section 605 of the labor law, as amended by section 2 of chapter
81 of the laws of 1992, is amended to read as follows:
  S 605. Qualified employers; application. An employer who has at  least
[five] TWO full time employees may apply to participate in a shared work
program.   The WRITTEN application shall be made according to such forms
and procedures as the commissioner may specify and  shall  include  such
information as the commissioner may require, INCLUDING SUCH OTHER INFOR-
MATION THAT THE UNITED STATES SECRETARY OF LABOR DETERMINES TO BE APPRO-
PRIATE  FOR  PURPOSES  OF A SHARED WORK PROGRAM.  The commissioner shall
not approve such application unless the employer (1) [agrees]  CERTIFIES
that  for  the duration of the program it will not eliminate or diminish
health insurance, medical insurance, RETIREMENT BENEFITS  or  any  other
fringe  benefits provided to employees immediately prior to the applica-
tion UNLESS SUCH BENEFITS PROVIDED TO EMPLOYEES THAT DO NOT  PARTICIPATE
IN  THE SHARED WORK PROGRAM ARE REDUCED OR DIMINISHED TO THE SAME EXTENT
AS THOSE EMPLOYEES THAT PARTICIPATE IN  THE  SHARED  WORK  PROGRAM;  (2)
certifies  that  the  collective  bargaining agent for the employees, if
any, has agreed to participate in the program; (3) certifies that if not
for the shared work program to be initiated the employer would reduce or
would have reduced its work force to a degree equivalent  to  the  total
number  of  working  hours  proposed to be reduced or restricted for all
included employees; (4) certifies that it will not hire additional  part
time  or  full  time  employees  for  the  affected work force while the
program is in operation; [and] (5) agrees that  no  participant  of  the
program  shall  receive, in the aggregate, more than [twenty] TWENTY-SIX
weeks of  benefits  exclusive  of  the  waiting  week;  (6)  PROVIDES  A
DESCRIPTION  OF  HOW  WORKERS  IN THE WORK FORCE WILL BE NOTIFIED OF THE
SHARED WORK PROGRAM IN ADVANCE OF IT TAKING EFFECT, IF FEASIBLE, AND  IF
SUCH  NOTICE IS NOT FEASIBLE, PROVIDES AN EXPLANATION OF WHY SUCH NOTICE
IS NOT FEASIBLE; (7) PROVIDES AN ESTIMATE OF THE NUMBER OF  WORKERS  WHO
WOULD  BE  LAID  OFF IF THE EMPLOYER COULD NOT PARTICIPATE IN THE SHARED
WORK PROGRAM; AND (8) CERTIFIES THAT THE TERMS OF THE EMPLOYER'S WRITTEN
PLAN AND IMPLEMENTATION SHALL BE CONSISTENT  WITH  EMPLOYER  OBLIGATIONS
UNDER APPLICABLE FEDERAL AND STATE LAWS.
  S 22-a. Section 605 of the labor law, as amended by section twenty-two
of  this  act  is  REPEALED  and  a  new section 605 is added to read as
follows:

S. 2607--B                         88                         A. 3007--B

  S 605.  QUALIFIED EMPLOYERS; APPLICATION. AN EMPLOYER WHO HAS AT LEAST
FIVE FULL TIME EMPLOYEES MAY APPLY  TO  PARTICIPATE  IN  A  SHARED  WORK
PROGRAM.  THE  WRITTEN APPLICATION SHALL BE MADE ACCORDING TO SUCH FORMS
AND PROCEDURES AS THE COMMISSIONER MAY SPECIFY AND  SHALL  INCLUDE  SUCH
INFORMATION AS THE COMMISSIONER MAY REQUIRE, INCLUDING SUCH OTHER INFOR-
MATION THAT THE UNITED STATES SECRETARY OF LABOR DETERMINES TO BE APPRO-
PRIATE FOR PURPOSES OF A SHARED WORK PROGRAM. THE COMMISSIONER SHALL NOT
APPROVE  SUCH APPLICATION UNLESS THE EMPLOYER (1) CERTIFIES THAT FOR THE
DURATION OF THE PROGRAM IT WILL NOT ELIMINATE OR DIMINISH HEALTH  INSUR-
ANCE,  MEDICAL  INSURANCE, RETIREMENT BENEFITS OR ANY OTHER FRINGE BENE-
FITS PROVIDED TO EMPLOYEES IMMEDIATELY PRIOR TO THE  APPLICATION  UNLESS
SUCH  BENEFITS  PROVIDED  TO  EMPLOYEES  THAT  DO NOT PARTICIPATE IN THE
SHARED WORK PROGRAM ARE REDUCED OR DIMINISHED  TO  THE  SAME  EXTENT  AS
THOSE  EMPLOYEES THAT PARTICIPATE IN THE SHARED WORK PROGRAM; (2) CERTI-
FIES THAT THE COLLECTIVE BARGAINING AGENT FOR THE EMPLOYEES, IF ANY, HAS
AGREED TO PARTICIPATE IN THE PROGRAM; (3) CERTIFIES THAT IF NOT FOR  THE
SHARED  WORK  PROGRAM TO BE INITIATED THE EMPLOYER WOULD REDUCE OR WOULD
HAVE REDUCED ITS WORK FORCE TO A DEGREE EQUIVALENT TO THE  TOTAL  NUMBER
OF  WORKING  HOURS PROPOSED TO BE REDUCED OR RESTRICTED FOR ALL INCLUDED
EMPLOYEES; (4) CERTIFIES THAT IT WILL NOT HIRE ADDITIONAL PART  TIME  OR
FULL  TIME EMPLOYEES FOR THE AFFECTED WORK FORCE WHILE THE PROGRAM IS IN
OPERATION; (5) AGREES THAT NO PARTICIPANT OF THE PROGRAM SHALL  RECEIVE,
IN  THE  AGGREGATE,  MORE THAN TWENTY WEEKS OF BENEFITS EXCLUSIVE OF THE
WAITING WEEK; (6) PROVIDES A DESCRIPTION OF  HOW  WORKERS  IN  THE  WORK
FORCE  WILL  BE  NOTIFIED  OF  THE  SHARED WORK PROGRAM IN ADVANCE OF IT
TAKING EFFECT, IF FEASIBLE, AND IF SUCH NOTICE IS NOT FEASIBLE, PROVIDES
AN EXPLANATION OF WHY SUCH NOTICE IS NOT FEASIBLE; (7) PROVIDES AN ESTI-
MATE OF THE NUMBER OF WORKERS WHO WOULD BE  LAID  OFF  IF  THE  EMPLOYER
COULD NOT PARTICIPATE IN THE SHARED WORK PROGRAM; AND (8) CERTIFIES THAT
THE  TERMS  OF  THE  EMPLOYER'S WRITTEN PLAN AND IMPLEMENTATION SHALL BE
CONSISTENT WITH EMPLOYER OBLIGATIONS UNDER APPLICABLE FEDERAL AND  STATE
LAWS.
  S  23.  Section  607  of the labor law, as added by chapter 438 of the
laws of 1985, subdivision 1 as amended by section 4 of chapter 81 of the
laws of 1992, is amended to read as follows:
  S 607. Benefits. 1. Amount. An eligible claimant shall be  paid  bene-
fits  for  any  week  equal to his OR HER benefit rate multiplied by the
percentage of reduction of his OR HER wages resulting from reduced hours
of work, but only if such percentage is no less than twenty percent. The
weekly benefit amount shall be rounded off  to  the  nearest  dollar.  A
claimant  shall  not  be  paid  such  benefits  in  excess  of  [twenty]
TWENTY-SIX weeks during a benefit year.
  2. Waiting period. A claimant shall not be entitled  to  benefits  for
the  first week of unemployment under a shared work program unless he OR
SHE has served a waiting period in his OR HER benefit year  pursuant  to
subdivision seven of section five hundred ninety of this article.
  S  23-a.  Subdivision 1 of section 607 of the labor law, as amended by
section twenty-three of this act is REPEALED, and a new subdivision 1 is
added to read as follows:
  1. AMOUNT. AN ELIGIBLE CLAIMANT SHALL BE PAID BENEFITS  FOR  ANY  WEEK
EQUAL  TO  HIS  OR  HER  BENEFIT  RATE  MULTIPLIED  BY THE PERCENTAGE OF
REDUCTION OF HIS OR HER WAGES RESULTING FROM REDUCED HOURS OF WORK,  BUT
ONLY IF SUCH PERCENTAGE IS NO LESS THAN TWENTY PERCENT. THE WEEKLY BENE-
FIT  AMOUNT SHALL BE ROUNDED OFF TO THE NEAREST DOLLAR. A CLAIMANT SHALL
NOT BE PAID SUCH BENEFITS IN EXCESS OF TWENTY  WEEKS  DURING  A  BENEFIT
YEAR.

S. 2607--B                         89                         A. 3007--B

  S  24. The labor law is amended by adding a new section 609 to read as
follows:
  S  609. TRAINING.  ELIGIBLE EMPLOYEES MAY PARTICIPATE, AS APPROPRIATE,
IN TRAINING TO ENHANCE JOB SKILLS IF SUCH PROGRAM HAS BEEN  APPROVED  BY
THE COMMISSIONER.  SUCH TRAINING MAY INCLUDE EMPLOYER-SPONSORED TRAINING
OR WORKER TRAINING FUNDED UNDER THE WORKFORCE INVESTMENT ACT OF 1998.
  S  25.  Section 611 of the labor law, as amended by chapter 589 of the
laws of 1998, is amended to read as follows:
  S 611. Charging of benefits. Benefits paid  to  a  claimant  shall  be
charged  to  the  employers'  accounts  as  provided in paragraph (e) of
subdivision one of section five  hundred  eighty-one  of  this  article.
HOWEVER,  EXCEPT FOR INDIVIDUALS EMPLOYED BY A PARTICIPATING EMPLOYER ON
A SEASONAL, TEMPORARY OR INTERMITTENT  BASIS,  NO  BENEFITS  PAID  TO  A
CLAIMANT SHALL BE CHARGED TO AN EMPLOYER'S ACCOUNT IF THE STATE IS REIM-
BURSED  BY THE UNITED STATES PURSUANT TO THE MIDDLE CLASS TAX RELIEF AND
JOB CREATION ACT OF 2012, PL 112-96.
  S 26. The labor law is amended by adding a new section 612 to read  as
follows:
  S  612.  SEVERABILITY.    IF  ANY  AMENDMENT  CONTAINED  IN  A CLAUSE,
SENTENCE, PARAGRAPH, SECTION OR PART OF THIS TITLE SHALL BE ADJUDGED  BY
THE  UNITED STATES DEPARTMENT OF LABOR TO VIOLATE REQUIREMENTS FOR MAIN-
TAINING BENEFIT STANDARDS REQUIRED OF THE STATE IN ORDER TO BE  ELIGIBLE
FOR  ANY  FINANCIAL  BENEFIT  OFFERED  THROUGH FEDERAL LAW OR REGULATION
INCLUDING, BUT NOT LIMITED TO, THE WAIVER OF INTEREST ON ADVANCES OR THE
WAIVER OF OBLIGATIONS TO REPAY SUCH ADVANCES TO THE  STATE  UNEMPLOYMENT
INSURANCE FUND, SUCH AMENDMENTS SHALL BE SEVERED FROM THIS ACT AND SHALL
NOT AFFECT, IMPAIR OR INVALIDATE THE REMAINDER THEREOF.
  S  27. Section 39 of part P2 of chapter 62 of the laws of 2003, amend-
ing the state finance law and other laws  relating  to  authorizing  and
directing  the  state  comptroller  to  loan  money to certain funds and
accounts, as amended by section 1 of part W of chapter 58 of the laws of
2011, is amended to read as follows:
  S 39. This act shall take effect immediately and shall  be  deemed  to
have been in full force and effect on and after April 1, 2003; provided,
however, that sections one, three, four, six, seven through fifteen, and
seventeen  of  this act shall expire March 31, 2004, when upon such date
the provisions of such sections shall be deemed repealed; [and  sections
thirty  and  thirty-one  of this act shall expire December 31, 2013] and
the amendments made to section 69-c of the state finance law by  section
thirty-two  of  this  act  shall not affect the expiration and repeal of
such section and shall be deemed to be expired therewith.
  S 28. Severability. If any amendment contained in a clause,  sentence,
paragraph,  section  or part of this act shall be adjudged by the United
States Department of Labor to violate requirements for maintaining bene-
fit standards required of the state in order  to  be  eligible  for  any
financial  benefit  offered through federal law or regulation including,
but not limited to, the waiver of interest on advances or the waiver  of
obligations  to  repay such advances to the state unemployment insurance
fund, such amendments shall be severed  from  this  act  and  shall  not
affect, impair or invalidate the remainder thereof.
  S 29. This act shall take effect immediately, provided, however, that:
  a. sections one, three, seven, and eight of this act shall take effect
January 1, 2014;
  b.  sections  two,  thirteen,  fifteen, and nineteen of this act shall
apply to all claims filed after January 1, 2014;
  c. section nine of this act shall take effect January 1, 2017;

S. 2607--B                         90                         A. 3007--B

  d. section ten of this act shall take effect January 1, 2019;
  e.  sections  five,  six, sixteen, seventeen, and eighteen of this act
shall apply to all overpayments established after October 1, 2013;
  f. sections fourteen, twenty,  twenty-one,  twenty-one-a,  twenty-two,
twenty-three,  twenty-four, and twenty-six of this act shall take effect
on the thirtieth day after it shall have become a law;
  g. section twenty-five of this act shall expire and be deemed repealed
August 23, 2015;
  h. section twelve of this act shall take effect January 1, 2014 or  on
the  same  date  as the reversion of subdivision 2 of section 591 of the
labor law as provided in section 10 of chapter 413 of the laws of  2003,
as amended, whichever is later;
  i.  the  amendments  to section 591-a of the labor law made by section
fourteen of this act shall not affect the repeal  of  such  section  and
shall be deemed repealed therewith; and
  j.  sections  twenty-two-a  and  twenty-three-a of this act shall take
effect August 23, 2015.

                                 PART P

  Section 1. Subdivisions 1, 4 and 5 of section 652 of the labor law, as
amended by chapter 747 of the laws of  2004,  are  amended  to  read  as
follows:
  1.  Statutory.  Every  employer shall pay to each of its employees for
each hour worked a wage of not less than:
  $4.25 on and after April 1, 1991,
  $5.15 on and after March 31, 2000,
  $6.00 on and after January 1, 2005,
  $6.75 on and after January 1, 2006,
  $7.15 on and after January 1, 2007,
  $8.75 ON AND AFTER JULY 1, 2013, or, if greater, such  other  wage  as
may  be  established by federal law pursuant to 29 U.S.C. section 206 or
its successors
or such other  wage  as  may  be  established  in  accordance  with  the
provisions of this article.
  4.  Notwithstanding subdivisions one and two of this section, the wage
for an employee who is a food service worker receiving tips shall  be  a
cash  wage  of  at  least  three dollars and thirty cents per hour on or
after March thirty-first, two thousand; three  dollars  and  eighty-five
cents  on  or  after  January  first,  two  thousand five; at least four
dollars and thirty-five cents on or after January  first,  two  thousand
six;  [and]  at  least  four dollars and sixty cents on or after January
first, two thousand seven; AND AT LEAST SIX DOLLARS AND THREE  CENTS  ON
OR  AFTER  JULY  FIRST, TWO THOUSAND THIRTEEN, provided that the tips of
such an employee, when added to such cash wage, are equal to  or  exceed
the  minimum  wage in effect pursuant to subdivision one of this section
and provided further that no other cash wage is established pursuant  to
section  six  hundred fifty-three of this article. In the event the cash
wage payable under the Fair Labor Standards Act (29 United  States  Code
Sec. 203 (m), as amended), is increased after enactment of this subdivi-
sion,  the  cash wage payable under this subdivision shall automatically
be increased by the proportionate increase  in  the  cash  wage  payable
under  such federal law, and will be immediately enforceable as the cash
wage payable to food service workers under this article.
  5. Notwithstanding subdivisions one and two of this section, meal  and
lodging  allowances  for  a  food  service  worker receiving a cash wage

S. 2607--B                         91                         A. 3007--B

amounting to three dollars and thirty cents per hour on or  after  March
thirty-first,  two  thousand;  three dollars and eighty-five cents on or
after January first, two thousand five;  four  dollars  and  thirty-five
cents  on  or  after January first, two thousand six; [and] four dollars
and sixty cents on or after January first, two thousand  seven;  AND  AT
LEAST  SIX  DOLLARS AND THREE CENTS ON OR AFTER JULY FIRST, TWO THOUSAND
THIRTEEN, shall not  increase  more  than  two-thirds  of  the  increase
required  by  subdivision  two  of this section as applied to state wage
orders in effect pursuant to subdivision one of this section.
  S 2. This act shall take effect immediately.

                                 PART Q

Section 1. Paragraph (d) of subdivision 4 of section 209  of  the  civil
service  law,  as  amended  by section 9 of part A of chapter 504 of the
laws of 2009, is amended to read as follows:
  (d) The provisions of this subdivision shall expire [thirty-six] FORTY
years from July first, nineteen hundred seventy-seven, and hereafter may
be renewed every four years.
  S 2. Section 209 of the civil service law is amended by adding  a  new
subdivision 6 to read as follows:
  6. (A) FOR DISPUTES CONCERNING AN IMPASSE PURSUANT TO SUBDIVISION FOUR
OF THIS SECTION THAT INVOLVE A COUNTY, CITY, TOWN, OR VILLAGE SUBJECT TO
SECTION THREE-C OF THE GENERAL MUNICIPAL LAW, A PUBLIC ARBITRATION PANEL
SHALL  MAKE  A  DETERMINATION  AS TO WHETHER SUCH COUNTY, CITY, TOWN, OR
VILLAGE, IS A DISTRESSED PUBLIC EMPLOYER AS PART OF ITS ANALYSIS OF  THE
FINANCIAL ABILITY OF THE PUBLIC EMPLOYER TO PAY.
  (B)  IN  EVALUATING WHETHER A PUBLIC EMPLOYER COVERED BY THIS SUBDIVI-
SION IS A DISTRESSED PUBLIC  EMPLOYER,  SUCH  PUBLIC  ARBITRATION  PANEL
SHALL  CONSIDER  THE AVERAGE FULL VALUE PROPERTY TAX RATE OF SUCH PUBLIC
EMPLOYER AND THE AVERAGE FUND BALANCE PERCENTAGE OF SUCH PUBLIC  EMPLOY-
ER.
  I.  FOR  PURPOSES  OF THIS SUBDIVISION, "FULL VALUE PROPERTY TAX RATE"
SHALL MEAN THE AMOUNT TO BE RAISED BY TAX ON  REAL  ESTATE  BY  A  LOCAL
GOVERNMENT IN A GIVEN FISCAL YEAR DIVIDED BY THE FULL VALUATION OF TAXA-
BLE  REAL  ESTATE FOR THAT SAME FISCAL YEAR AS REPORTED TO THE OFFICE OF
THE STATE COMPTROLLER.
  II. FOR PURPOSES OF THIS SUBDIVISION, "AVERAGE FULL VALUE PROPERTY TAX
RATE" SHALL MEAN THE SUM OF THE FULL VALUE PROPERTY TAX  RATES  FOR  THE
FIVE MOST RECENT FISCAL YEARS DIVIDED BY FIVE.
  III. FOR PURPOSES OF THIS SUBDIVISION, "FUND BALANCE PERCENTAGE" SHALL
MEAN THE TOTAL FUND BALANCE IN THE GENERAL FUND OF A LOCAL GOVERNMENT IN
A  GIVEN  FISCAL YEAR DIVIDED BY THE TOTAL EXPENDITURES FROM THE GENERAL
FUND FOR THAT SAME FISCAL YEAR AS REPORTED TO THE OFFICE  OF  THE  STATE
COMPTROLLER.
  IV.  FOR  PURPOSES OF THIS SUBDIVISION, "AVERAGE FUND BALANCE PERCENT-
AGE" SHALL MEAN THE SUM OF THE FUND BALANCE  PERCENTAGES  FOR  THE  FIVE
MOST RECENTLY COMPLETED FISCAL YEARS DIVIDED BY FIVE.
  (C) IF THE AVERAGE FULL VALUE PROPERTY TAX RATE OF SUCH PUBLIC EMPLOY-
ER  IS GREATER THAN THE AVERAGE FULL VALUE PROPERTY TAX RATE OF SEVENTY-
FIVE PERCENT OF COUNTIES, CITIES, TOWNS, AND VILLAGES, WITH LOCAL FISCAL
YEARS ENDING IN THE SAME CALENDAR YEAR AS OF THE MOST RECENTLY AVAILABLE
INFORMATION, THE PUBLIC ARBITRATION PANEL MUST  FIND  THAT  SUCH  PUBLIC
EMPLOYER  IS  FISCALLY  DISTRESSED.  THE OFFICE OF THE STATE COMPTROLLER
SHALL MAKE PUBLICLY AVAILABLE THE LIST OF COUNTIES, CITIES,  TOWNS,  AND
VILLAGES,  THAT  HAVE AN AVERAGE FULL VALUE PROPERTY TAX RATE THAT MEETS

S. 2607--B                         92                         A. 3007--B

SUCH CRITERIA IN EACH LOCAL FISCAL YEAR. IF A PUBLIC  EMPLOYER  HAS  NOT
REPORTED  TO  THE OFFICE OF THE STATE COMPTROLLER THE INFORMATION NECES-
SARY TO CALCULATE ITS AVERAGE FULL VALUE PROPERTY TAX RATE,  THE  PUBLIC
ARBITRATION  PANEL  MAY NOT USE THE AVERAGE FULL VALUE PROPERTY TAX RATE
AS A BASIS BY WHICH TO  FIND  THAT  SUCH  PUBLIC  EMPLOYER  IS  FISCALLY
DISTRESSED.
  (D)  IF THE AVERAGE FUND BALANCE PERCENTAGE OF SUCH PUBLIC EMPLOYER IS
LESS THAN FIVE PERCENT, THE PUBLIC ARBITRATION PANEL MUST FIND THAT SUCH
PUBLIC EMPLOYER IS FISCALLY DISTRESSED. THE OFFICE OF  THE  STATE  COMP-
TROLLER  SHALL  MAKE  PUBLICLY  AVAILABLE  THE LIST OF COUNTIES, CITIES,
TOWNS, AND VILLAGES, THAT HAVE AN AVERAGE FUND BALANCE  PERCENTAGE  THAT
MEETS  SUCH CRITERIA IN EACH LOCAL FISCAL YEAR. IF A PUBLIC EMPLOYER HAS
NOT REPORTED TO THE OFFICE OF  THE  STATE  COMPTROLLER  THE  INFORMATION
NECESSARY  TO  CALCULATE ITS AVERAGE FUND BALANCE PERCENTAGE, THE PUBLIC
ARBITRATION PANEL MAY NOT USE THE AVERAGE FUND BALANCE PERCENTAGE  AS  A
BASIS BY WHICH TO FIND THAT SUCH PUBLIC EMPLOYER IS FISCALLY DISTRESSED.
  (E)   WHEN  SUCH  PUBLIC  EMPLOYER  HAS  BEEN  FOUND  TO  BE  FISCALLY
DISTRESSED, THE PUBLIC ARBITRATION PANEL SHALL NOT HAVE THE AUTHORITY TO
ISSUE A DETERMINATION THAT INCREASES THE COST OF TERMS AND CONDITIONS OF
EMPLOYMENT APPLICABLE TO EMPLOYEES UNDER THE JURISDICTION OF SUCH  PANEL
EXCEPT AS PROVIDED HEREIN.
  I. FOR THE FIRST  YEAR OF THE DETERMINATION, THE PANEL SHALL NOT ISSUE
A  DETERMINATION  THAT  MAKES  CHANGES  TO AND INCREASES THE COST OF ALL
TERMS AND CONDITIONS OF EMPLOYMENT BY  MORE  THAN  TWO  PERCENT  OF  THE
AGGREGATE AMOUNT EXPENDED BY THE PUBLIC EMPLOYER ON THE TERMS OF COLLEC-
TIVE  BARGAINING  AGREEMENTS  DIRECTLY  RELATING  TO COMPENSATION OF ALL
EMPLOYEES SUBJECT TO THE PUBLIC ARBITRATION PANEL'S JURISDICTION IN  THE
TWELVE  MONTHS  IMMEDIATELY  PRECEDING  THE EXPIRATION OF THE COLLECTIVE
BARGAINING AGREEMENT OR INTEREST ARBITRATION AWARD THAT IS  THE  SUBJECT
OF  THE  IMPASSE  BEFORE  THE  PANEL. FOR THE FIRST YEAR OF THE DETERMI-
NATION, THE PANEL IS REQUIRED TO FURTHER REDUCE THIS TWO PERCENT BY  THE
AMOUNT  OF  ANY  INCREASED  COST THAT THE PUBLIC EMPLOYER WILL INCUR FOR
INSURANCE, MEDICAL, AND HOSPITALIZATION BENEFITS PROVIDED  TO  EMPLOYEES
SUBJECT  TO  THE  PANEL'S  JURISDICTION  THAT  WILL EXCEED A TWO PERCENT
INCREASE IN COST TO THE PUBLIC EMPLOYER TO PROVIDE  INSURANCE,  MEDICAL,
AND HOSPITALIZATION BENEFITS TO EMPLOYEES UNDER THE PANEL'S JURISDICTION
DURING THE FIRST YEAR OF THE DETERMINATION.
  II.  FOR  THE  SECOND  YEAR  OF THE DETERMINATION, THE PANEL SHALL NOT
ISSUE A DETERMINATION THAT MAKES CHANGES TO AND INCREASES  THE  COST  OF
ALL  TERMS  AND CONDITIONS OF EMPLOYMENT BY MORE THAN TWO PERCENT OF THE
AGGREGATE AMOUNT EXPENDED BY THE PUBLIC EMPLOYER ON THE TERMS OF COLLEC-
TIVE BARGAINING AGREEMENTS DIRECTLY  RELATING  TO  COMPENSATION  OF  ALL
EMPLOYEES  SUBJECT TO THE PUBLIC ARBITRATION PANEL'S JURISDICTION IN THE
TWELVE MONTHS IMMEDIATELY PRECEDING THE  EXPIRATION  OF  THE  COLLECTIVE
BARGAINING  AGREEMENT  OR INTEREST ARBITRATION AWARD THAT IS THE SUBJECT
OF THE IMPASSE BEFORE THE PANEL. FOR THE SECOND  YEAR  OF  THE  DETERMI-
NATION,  THE PANEL IS REQUIRED TO FURTHER REDUCE THIS TWO PERCENT BY THE
AMOUNT OF ANY INCREASED COST THAT THE PUBLIC  EMPLOYER  WILL  INCUR  FOR
INSURANCE,  MEDICAL,  AND HOSPITALIZATION BENEFITS PROVIDED TO EMPLOYEES
SUBJECT TO THE PANEL'S JURISDICTION  THAT  WILL  EXCEED  A  TWO  PERCENT
INCREASE  IN  COST TO THE PUBLIC EMPLOYER TO PROVIDE INSURANCE, MEDICAL,
AND HOSPITALIZATION BENEFITS FOR EMPLOYEES UNDER THE  PANEL'S  JURISDIC-
TION DURING THE FIRST YEAR OF THE DETERMINATION. IF THE ACTUAL AMOUNT OF
THE  INCREASED  COST  THAT  A  PUBLIC EMPLOYER WILL INCUR FOR INSURANCE,
MEDICAL, AND HOSPITALIZATION  BENEFITS  FOR  EMPLOYEES  SUBJECT  TO  THE
PANEL'S  JURISDICTION  IN  YEAR  TWO  OF THE DETERMINATION IS KNOWN, THE

S. 2607--B                         93                         A. 3007--B

PUBLIC ARBITRATION PANEL SHALL USE THAT AMOUNT  RATHER  THAN  THE  FIRST
YEAR  AMOUNT  TO CALCULATE ANY REDUCTION. THE DETERMINATION FOR YEAR TWO
WILL BE IN ADDITION TO THE DETERMINATION FOR YEAR ONE.
  III. FOR THE PURPOSES OF DETERMINING THE AMOUNTS AVAILABLE PURSUANT TO
THIS  PARAGRAPH,  "TERMS  OF  COLLECTIVE  BARGAINING AGREEMENTS DIRECTLY
RELATING TO COMPENSATION" INCLUDES,  BUT  IS  NOT  LIMITED  TO,  SALARY,
STIPENDS, LOCATION PAY, INSURANCE, MEDICAL AND HOSPITALIZATION BENEFITS;
AND SHALL NOT APPLY TO NON-COMPENSATORY ISSUES INCLUDING, BUT NOT LIMIT-
ED  TO, JOB SECURITY, DISCIPLINARY PROCEDURES AND ACTIONS, DEPLOYMENT OR
SCHEDULING, OR ISSUES RELATING TO ELIGIBILITY FOR OVERTIME COMPENSATION.
  (F) ADDITIONALLY, WHEN THERE HAS BEEN A FINDING OF FISCAL DISTRESS,  A
PUBLIC  ARBITRATION  PANEL  SHALL  NOT  HAVE THE AUTHORITY TO CREATE NEW
TERMS AND CONDITIONS OF EMPLOYMENT THAT  INCREASE  COSTS  OF  TERMS  AND
CONDITIONS  OF  EMPLOYMENT TO THE FISCALLY DISTRESSED PUBLIC EMPLOYER IF
THE INCREASE IN COSTS WOULD CAUSE THE OVERALL COST OF THE  DETERMINATION
TO  EXCEED THE LIMITATION ON THE PUBLIC ARBITRATION PANEL'S AUTHORITY AS
CONTAINED IN PARAGRAPH (E) OF THIS SUBDIVISION.
  (G) NOTHING HEREIN SHALL REQUIRE A PUBLIC ARBITRATION PANEL,  WHERE  A
FINDING  THAT  A  DISTRESSED  PUBLIC  EMPLOYER IS REQUIRED, TO GRANT ANY
CHANGE IN TERMS AND CONDITIONS OF EMPLOYMENT UNLESS OTHERWISE  WARRANTED
AFTER TAKING INTO CONSIDERATION ALL OTHER RELEVANT AND REQUIRED FACTORS.
  (H)  NOTHING  HEREIN SHALL REQUIRE A PUBLIC ARBITRATION PANEL, WHERE A
FINDING THAT A DISTRESSED PUBLIC EMPLOYER IS NOT REQUIRED, TO GRANT  ANY
CHANGE  IN TERMS AND CONDITIONS OF EMPLOYMENT UNLESS OTHERWISE WARRANTED
AFTER TAKING INTO CONSIDERATION ALL OTHER RELEVANT AND REQUIRED FACTORS.
  (I) THE PROVISIONS OF THIS SUBDIVISION SHALL EXPIRE  FOUR  YEARS  FROM
JULY FIRST, TWO THOUSAND THIRTEEN.
  S 3. This act shall take effect immediately and shall be effective for
all  collective  bargaining  agreements  and interest arbitration awards
that expire on or after April 1, 2013.

                                 PART R

Section 1. The racing, pari-mutuel wagering and breeding law is  amended
by adding a new article 13 to read as follows:
                               ARTICLE 13
                        PHASE ONE CASINO GAMBLING
SECTION 1301. STATEMENT OF PURPOSE.
        1302. PHASE ONE CASINO GAMBLING FACILITIES.
        1303. CASINO GAMBLING REGULATION.
        1304. CASINO GAMBLING REVENUE.
        1305. GAMING REGULATORY STUDY.
        1306. CASINO REQUEST FOR INFORMATION.
  S  1301.  STATEMENT  OF PURPOSE. IN ORDER TO REVITALIZE THE ECONOMY OF
UPSTATE NEW YORK, BY INCREASING TOURISM  AND  JOBS  THROUGH  DESTINATION
RESORTS  IN  UPSTATE  NEW YORK, AND TO PROVIDE REVENUE TO FUND EDUCATION
AND REDUCE PROPERTY TAXES, THE STATE HEREBY LEGALIZES CASINO GAMBLING AS
REGULATED BY THE STATE GAMING COMMISSION.
  S 1302. PHASE ONE CASINO GAMBLING FACILITIES. 1. THE LEGISLATURE SHALL
AUTHORIZE UP TO THREE CASINOS SUBJECT TO THE  REGULATION  OF  THE  STATE
GAMING COMMISSION.
  2. THE THREE CASINOS AUTHORIZED BY THE LEGISLATURE CANNOT BE LOCATED:
  (A) IN THE CITY OF NEW YORK; AND
  (B)  IN  THE  COUNTIES OF NASSAU, PUTNAM, ROCKLAND, SUFFOLK, AND WEST-
CHESTER.

S. 2607--B                         94                         A. 3007--B

  S 1303. CASINO GAMBLING REGULATION. 1. THERE IS HEREBY CREATED IN  THE
GAMING  COMMISSION  A SEPARATE OFFICE OF CASINO GAMBLING REGULATION. THE
OFFICE SHALL REGULATE CASINO GAMBLING FACILITIES AUTHORIZED PURSUANT  TO
SECTION NINE OF ARTICLE ONE OF THE STATE CONSTITUTION.
  2.  UTILIZING  ITS BEST INDEPENDENT AND UNBIASED JUDGMENT AS PART OF A
COMPETITIVE PROCESS, THE GAMING COMMISSION SHALL  SELECT  THE  LOCATIONS
AND THE OPERATORS OF THE CASINO FACILITIES AUTHORIZED BY THIS ARTICLE.
  3.  NO  CASINO  LOCATION  AND  OPERATOR  MAY BE SELECTED BY THE GAMING
COMMISSION UNLESS THAT LOCATION AND OPERATOR  HAVE  SIGNIFICANT  SUPPORT
FROM  BOTH  THE  LOCAL  GOVERNMENT  AND THE LOCAL COMMUNITY IN WHICH THE
CASINO IS TO BE LOCATED.
  S 1304. CASINO GAMBLING REVENUE. REVENUE DERIVED BY THE STATE FROM THE
GROSS GAMING REVENUE OF THE CASINO FACILITIES AUTHORIZED BY THIS ARTICLE
SHALL BE ALLOCATED TO A CASINO REVENUE FUND AUTHORIZED PURSUANT  TO  THE
STATE FINANCE LAW AND DISTRIBUTED AS FOLLOWS:
  1. 90% FOR ELEMENTARY AND SECONDARY EDUCATION; AND
  2. 10% FOR LOCAL GOVERNMENT PROPERTY TAX RELIEF.
  S  1305.  GAMING  REGULATORY  STUDY. 1. THE STATE GAMING COMMISSION IS
HEREBY DIRECTED TO CONDUCT  A  COMPREHENSIVE  STUDY  OF  EXISTING  LEGAL
FRAMEWORKS  GOVERNING  THE  LICENSING AND REGULATION OF CASINO GAMBLING.
SUCH STUDY SHALL INCLUDE A REVIEW OF VARIOUS  SYSTEMS  OF  GAMING  REGU-
LATION AND THE EFFECTIVENESS OF THOSE SYSTEMS. SUCH STUDY SHALL CONSIDER
THE METHODS AND MANNERS OF LICENSING OF:  FACILITIES; ENTERPRISES UNDER-
TAKING  DIRECT AND INDIRECT BUSINESS WITH SUCH FACILITIES; AND PERSONNEL
DIRECTLY AND INDIRECTLY EMPLOYED BY SUCH FACILITIES AND ENTERPRISES.
  2. THE COMMISSION SHALL ALSO STUDY THE APPROPRIATE RATES  OF  TAXATION
OF  SUCH GAMING ACTIVITIES AND PROVIDE RECOMMENDATIONS ON CLARIFYING AND
HARMONIZING INCONSISTENT METHODS OF TREATMENT OF VARIOUS FORMS OF GAMING
AUTHORIZED IN THE STATE AND THE PARTICIPANTS WITHIN,  IDENTIFYING  CASES
WHERE THE DISPARITY SERVES A COMPELLING STATE INTEREST.
  3.  THE  COMMISSION  SHALL ALSO STUDY THE LEVELS OF CAPITAL INVESTMENT
THAT MIGHT BE  APPROPRIATE  TO  LOCATE  DESTINATION  CASINO  RESORTS  IN
UPSTATE NEW YORK.
  4.  THE  COMMISSION  SHALL CONSULT WITH THE REGIONAL ECONOMIC DEVELOP-
MENTS COUNCILS IN PREPARING THE STUDY REQUIRED BY THIS SECTION.
  5. THE COMMISSION SHALL SUBMIT TO THE GOVERNOR, SPEAKER OF THE  ASSEM-
BLY  AND  TEMPORARY PRESIDENT OF THE SENATE, NO LATER THAN THE FIFTEENTH
DAY OF MAY, TWO THOUSAND THIRTEEN, A WRITTEN  REPORT  ON  ITS  FINDINGS,
CONCLUSIONS  AND  RECOMMENDATIONS FOR PROPOSED CHANGES TO STATE LAWS AND
REGULATIONS NECESSARY TO PROVIDE FOR THE  LICENSING  AND  REGULATION  OF
CASINO GAMBLING IN NEW YORK STATE.
  S  1306.  CASINO  REQUEST FOR INFORMATION. THE STATE GAMING COMMISSION
SHALL ISSUE A REQUEST FOR INFORMATION  FOR  THE  PURPOSE  OF  SOLICITING
INTEREST  FROM  ENTITIES  SEEKING  AN  AWARD OF A LICENSE TO DEVELOP AND
OPERATE ONE OF THE THREE INITIAL CASINO FACILITIES  AUTHORIZED  BY  THIS
ARTICLE.  THE  REQUEST  SHOULD  SEEK  INFORMATION  FROM POTENTIAL GAMING
FACILITY OPERATORS THAT WILL ASSIST IN MAKING INFORMED  DECISIONS  ABOUT
EXPANDED  REGULATED  PRIVATE  SECTOR  GAMING.  ADDITIONALLY, THE REQUEST
SHOULD ASSIST THE COMMISSION IN DETERMINING THE RANGE OF POSSIBLE DEVEL-
OPMENT AVAILABLE IN THE MARKET AND HELP IDENTIFY  AND  ASSESS  POTENTIAL
GAMING  SERVICE  PROVIDER  INTEREST. POTENTIAL GAMING FACILITY OPERATORS
THAT RESPOND TO REQUESTS SHALL DEMONSTRATE  THAT  THERE  IS  SIGNIFICANT
SUPPORT  FOR  THE  CASINO  FACILITY  FROM THE LOCAL GOVERNMENT COMMUNITY
WHERE THE FACILITY IS PROPOSED TO BE LOCATED.
  S 2. The racing, pari-mutuel wagering and breeding law is  amended  by
adding a new section 109-a to read as follows:

S. 2607--B                         95                         A. 3007--B

  S  109-A.  LABOR  PEACE  AGREEMENTS FOR CERTAIN FACILITIES.   1. DEFI-
NITIONS. AS USED IN THIS SUBDIVISION:
  A.  "GAMING FACILITY" MEANS ANY CASINO GAMING FACILITY LICENSED BY THE
COMMISSION. A GAMING FACILITY OR OPERATION SHALL NOT INCLUDE  ANY  HORSE
RACING,  BINGO  OR  CHARITABLE  GAMES  OF  CHANCE, THE STATE LOTTERY FOR
EDUCATION, OR ANY GAMING FACILITY  OPERATING  PURSUANT  TO  THE  FEDERAL
INDIAN GAMING REGULATORY ACT, 25 U.S.C. S 2710 ET SEQ. A GAMING FACILITY
OR  OPERATION  SHALL  INCLUDE ANY HOSPITALITY OPERATION AT OR RELATED TO
THE GAMING FACILITY.
  B. "LABOR PEACE AGREEMENT" MEANS AN  AGREEMENT  ENFORCEABLE  UNDER  29
U.S.C.  S  185(A)  THAT,  AT A MINIMUM, PROTECTS THE STATE'S PROPRIETARY
INTERESTS BY PROHIBITING LABOR ORGANIZATIONS AND MEMBERS  FROM  ENGAGING
IN PICKETING, WORK STOPPAGES, BOYCOTTS, AND ANY OTHER ECONOMIC INTERFER-
ENCE WITH OPERATION OF THE RELEVANT GAMING FACILITY.
  C.  "LICENSE" MEANS ANY PERMIT, LICENSE, FRANCHISE OR ALLOWANCE OF THE
COMMISSION AND SHALL INCLUDE ANY FRANCHISEE OR PERMITTEE.
  D. "PROPRIETARY INTEREST" MEANS AN ECONOMIC AND NON-REGULATORY  INTER-
EST  AT  RISK IN THE FINANCIAL SUCCESS OF THE GAMING FACILITY THAT COULD
BE ADVERSELY AFFECTED BY LABOR-MANAGEMENT CONFLICT,  INCLUDING  BUT  NOT
LIMITED  TO  PROPERTY INTERESTS, FINANCIAL INVESTMENTS AND REVENUE SHAR-
ING.
  2. LEGISLATIVE FINDINGS. THE STATE LEGISLATURE FINDS THAT  THE  GAMING
INDUSTRY  CONSTITUTES  A  VITAL SECTOR OF NEW YORK'S OVERALL ECONOMY AND
THAT THE STATE THROUGH ITS OPERATION  OF  LOTTERIES  AND  VIDEO  LOTTERY
FACILITIES  AND  THROUGH  ITS  OWNERSHIP  OF THE PROPERTIES UTILIZED FOR
HORSE RACING BY THE NEW YORK RACING ASSOCIATION, INC. HAS A  SIGNIFICANT
AND  ONGOING  ECONOMIC  AND  NON-REGULATORY  INTEREST  IN  THE FINANCIAL
VIABILITY AND COMPETITIVENESS OF THE GAMING INDUSTRY. THE STATE LEGISLA-
TURE FURTHER FINDS THAT THE AWARD OR GRANT OF A LICENSE BY  THE  COMMIS-
SION TO OPERATE A GAMING FACILITY IS A SIGNIFICANT STATE ACTION AND THAT
THE COMMISSION MUST MAKE PRUDENT AND EFFICIENT DECISIONS TO MAXIMIZE THE
BENEFITS AND MINIMIZE THE RISKS OF GAMING. THE STATE LEGISLATURE FURTHER
RECOGNIZES  THAT  CASINO GAMING INDUSTRY INTEGRATION CAN PROVIDE A VITAL
ECONOMIC ENGINE  TO  ASSIST,  NURTURE,  DEVELOP,  AND  PROMOTE  REGIONAL
ECONOMIC  DEVELOPMENT, THE STATE TOURISM INDUSTRY AND THE GROWTH OF JOBS
IN THE STATE. ADDITIONALLY, THE STATE LEGISLATURE  ALSO  FINDS  REVENUES
DERIVED  DIRECTLY  BY THE STATE FROM SUCH GAMING ACTIVITY WILL BE SHARED
FROM GROSS  GAMING  RECEIPTS,  AFTER  PAYOUT  OF  PRIZES  BUT  PRIOR  TO
DEDUCTIONS FOR OPERATIONAL EXPENSES.
  THEREFORE,  THE  STATE LEGISLATURE FINDS THAT THE STATE HAS A SUBSTAN-
TIAL AND COMPELLING PROPRIETARY INTEREST IN ANY LICENSE AWARDED FOR  THE
OPERATION OF A GAMING FACILITY WITHIN THE STATE.
  3.  REQUIREMENTS.  THE  COMMISSION  SHALL  REQUIRE ANY APPLICANT FOR A
GAMING FACILITY LICENSE WHO HAS NOT  YET  ENTERED  INTO  A  LABOR  PEACE
AGREEMENT  TO  PRODUCE  AN AFFIDAVIT STATING IT SHALL ENTER INTO A LABOR
PEACE AGREEMENT WITH LABOR ORGANIZATIONS THAT ARE  ACTIVELY  ENGAGED  IN
REPRESENTING  OR  ATTEMPTING TO REPRESENT GAMING OR HOSPITALITY INDUSTRY
WORKERS IN THE STATE. IN ORDER FOR THE  COMMISSION  TO  ISSUE  A  GAMING
FACILITY  LICENSE  AND  FOR  OPERATIONS TO COMMENCE, THE APPLICANT FOR A
GAMING FACILITY LICENSE MUST PRODUCE DOCUMENTATION THAT IT  HAS  ENTERED
INTO  A  LABOR  PEACE  AGREEMENT  WITH  EACH  LABOR ORGANIZATION THAT IS
ACTIVELY ENGAGED IN REPRESENTING AND ATTEMPTING TO REPRESENT GAMING  AND
HOSPITALITY INDUSTRY WORKERS IN THE STATE. THE COMMISSION SHALL MAKE THE
MAINTENANCE  OF  SUCH A LABOR PEACE AGREEMENT AN ONGOING MATERIAL CONDI-
TION OF LICENSURE.

S. 2607--B                         96                         A. 3007--B

  A LICENSE HOLDER SHALL, AS A CONDITION OF  ITS  LICENSE,  ENSURE  THAT
OPERATIONS  AT  THE  GAMING  FACILITY THAT ARE CONDUCTED BY CONTRACTORS,
SUBCONTRACTORS, LICENSEES, ASSIGNEES, TENANTS  OR  SUBTENANTS  AND  THAT
INVOLVE  GAMING  OR HOSPITALITY INDUSTRY EMPLOYEES SHALL BE DONE UNDER A
LABOR PEACE AGREEMENT CONTAINING THE SAME PROVISIONS AS SPECIFIED ABOVE.
  S  3. The state finance law is amended by adding a new section 92-a to
read as follows:
  S 92-A. CASINO REVENUE FUND. 1. THERE IS  HEREBY  ESTABLISHED  IN  THE
JOINT  CUSTODY  OF  THE COMPTROLLER AND THE COMMISSIONER OF TAXATION AND
FINANCE A SPECIAL FUND TO BE KNOWN AS THE CASINO REVENUE FUND.
  2. SUCH FUND SHALL CONSIST OF THE STATE CASINO REVENUES  DERIVED  FROM
STATE  TAXATION OF THE GROSS GAMING REVENUE OF LICENSED CASINOS, AND ALL
OTHER MONEYS CREDITED OR TRANSFERRED THERETO  FROM  ANY  OTHER  FUND  OR
SOURCE PURSUANT TO LAW.
  3.  NINETY PERCENT OF THE MONEYS IN SUCH FUND SHALL BE APPROPRIATED OR
TRANSFERRED ONLY FOR ELEMENTARY AND SECONDARY EDUCATION.
  4. NOTWITHSTANDING ANY PROVISION  OF  LAW  TO  THE  CONTRARY,  AMOUNTS
APPROPRIATED  OR  TRANSFERRED  FROM THE CASINO REVENUE FUND SHALL NOT BE
INCLUDED IN: (I) THE ALLOWABLE GROWTH AMOUNT COMPUTED PURSUANT TO  PARA-
GRAPH  (DD)  OF SUBDIVISION ONE OF SECTION THIRTY-SIX HUNDRED TWO OF THE
EDUCATION LAW, (II) THE PRELIMINARY GROWTH AMOUNT COMPUTED  PURSUANT  TO
PARAGRAPH  (FF)  OF SUBDIVISION ONE OF SECTION THIRTY-SIX HUNDRED TWO OF
THE EDUCATION LAW, AND (III) THE ALLOCABLE GROWTH AMOUNT COMPUTED PURSU-
ANT TO PARAGRAPH (GG) OF SUBDIVISION ONE OF SECTION  THIRTY-SIX  HUNDRED
TWO OF THE EDUCATION LAW.
  5.  ALL  PAYMENTS OF MONEYS FROM THE CASINO REVENUE FUND SHALL BE MADE
ON THE AUDIT AND WARRANT OF THE STATE COMPTROLLER.
  S 4. This act shall take effect immediately.
  S 2. Severability clause. If any clause, sentence, paragraph, subdivi-
sion, section or part of this act shall be  adjudged  by  any  court  of
competent  jurisdiction  to  be invalid, such judgment shall not affect,
impair, or invalidate the remainder thereof, but shall  be  confined  in
its  operation  to the clause, sentence, paragraph, subdivision, section
or part thereof directly involved in the controversy in which such judg-
ment shall have been rendered. It is hereby declared to be the intent of
the legislature that this act would  have  been  enacted  even  if  such
invalid provisions had not been included herein.
  S  3.  This  act shall take effect immediately provided, however, that
the applicable effective date of Parts A through R of this act shall  be
as specifically set forth in the last section of such Parts.

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

                                 2607--C

                            I N  S E N A T E

                            January 22, 2013
                               ___________

A  BUDGET  BILL,  submitted by the Governor pursuant to article seven of
  the Constitution -- read twice and ordered printed, and  when  printed
  to  be  committed to the Committee on Finance -- committee discharged,
  bill amended, ordered reprinted as amended  and  recommitted  to  said
  committee  -- committee discharged, bill amended, ordered reprinted as
  amended and recommitted to said  committee  --  committee  discharged,
  bill  amended,  ordered  reprinted  as amended and recommitted to said
  committee

AN ACT in relation to school district eligibility  for  an  increase  in
  apportionment  of  school  aid  and  implementation  of  standards for
  conducting annual professional performance reviews to determine teach-
  er and  principal  effectiveness;  to  amend  the  education  law,  in
  relation  to  making  internal  audit  functions  optional  by  school
  districts unless an audit by  the  comptroller  reveals  deficiencies;
  contracts  for  excellence,  expenses for computer equipment, account-
  ability of school districts, the financing of charter schools,  annual
  professional  performance  review  plans, apportionment of school aid,
  calculation of the gap elimination restoration amount  and  duties  of
  school districts; to amend chapter 756 of the laws of 1992 relating to
  funding a program for work force education conducted by the consortium
  for  worker  education  in New York city, in relation to apportionment
  and reimbursement; and in relation  to  extending  the  expiration  of
  certain  provisions; to amend chapter 169 of the laws of 1994 relating
  to certain provisions related to the 1994-95 state operations, aid  to
  localities,  capital projects and debt service budgets; to amend chap-
  ter 82 of the laws of 1995, amending the  education  law  and  certain
  other laws relating to state aid to school districts and the appropri-
  ation  of funds for the support of government; to amend chapter 147 of
  the laws of 2001 amending the education law  relating  to  conditional
  appointment  of school district, charter school or BOCES employees; to
  amend chapter 425 of the laws  of  2002  amending  the  education  law
  relating  to  the  provision  of  supplemental  educational  services,
  attendance at a safe public school and the suspension  of  pupils  who
  bring  a firearm to or possess a firearm at a school, to amend chapter
  101 of the laws of 2003 amending the education law relating to  imple-
  mentation  of  the  No  Child  Left Behind Act of 2001, in relation to
  extending the expiration of certain provisions of  such  chapters;  to

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
              

                      [ ] is old law to be omitted.
                                                           LBD12572-07-3

S. 2607--C                          2

  amend  chapter  472  of  the  laws  of 1998 amending the education law
  relating to the lease of school buses by school districts, in relation
  to extending the provisions of such chapter; in relation to school bus
  driver  training;  in  relation to the support of public libraries; to
  provide special apportionment for salary expenses; to provide  special
  apportionment  for  public  pension  expenses; in relation to suballo-
  cation of  certain  education  department  accruals;  in  relation  to
  purchases  by  the  city  school  district  of Rochester; to amend the
  education law, in relation to the computation of the  school  district
  basic contribution for certain school districts; and providing for the
  repeal  of  certain  provisions  upon  expiration thereof (Part A); to
  amend the education law, in  relation  to  defining  "personal  income
  growth  index"  for  purposes  of aid calculation for the two thousand
  fourteen--two thousand fifteen school year; and in relation to  elimi-
  nating  the  adjustment of building aid interest; to repeal section 31
  of part A of chapter 57 of the laws of 2012 relating to submission  of
  school construction final cost reports, in relation to certain actions
  and  omissions  of  school  districts;  and in relation to actions and
  omissions of any school district which  failed  to  submit  a  certain
  final  building  project  cost  report; to amend the education law, in
  relation to removing the requirement for annual visual inspections  of
  school  buildings;  and  in  relation  to  transportation expenses and
  supplemental valuation impact grants; to amend the education  law,  in
  relation  to  permitting apportionment of state aid where a school was
  not in session due to extraordinary weather conditions,  disasters  or
  emergencies  during  the  two  thousand  twelve--two thousand thirteen
  school year; to repeal subdivision 17 of section 1950 of the education
  law relating to board  of  cooperative  educational  services  special
  education  space  plans;  to  amend  the education law, in relation to
  transportation after four o'clock  in  the  afternoon;  to  amend  the
  education law, in relation to local contribution for a child placed in
  an  intermediate  care  facility,  extending  the academic freeze with
  accountability fix, universal pre-kindergarten one hundred eighty  day
  requirement,  financial responsibility for special education services,
  and aid to libraries; to amend chapter 121 of the laws of 1996  relat-
  ing to authorizing the Roosevelt union free school district to finance
  deficits  by  the  issuance  of serial bonds, in relation to extending
  certain provisions; to establish a special  apportionment  for  school
  district  salary  expenses;  to  amend  the  general municipal law, in
  relation to the employee benefit accrued liability  reserve  fund;  to
  provide  for  the  payment  of  the transportation costs to school for
  children displaced as a result  of  Hurricane  Sandy;  and  to  repeal
  certain provisions of the education law relating thereto; to amend the
  education  law,  in  relation  to  continuing  authorization of annual
  professional performance reviews transition grants; relating to allow-
  able transportation expenses  in  cities  with  a  population  of  one
  million  or  more; to amend the education law, in relation to applying
  for waivers from title II of the education  law  for  high  performing
  schools,  payments  of  moneys due for prior years and assumed amorti-
  zation for school projects; in relation to the chargeback  of  tuition
  for  a homeless child who attended a public school located outside the
  state and to amend the education law, in relation to  the  computation
  of the school district basic contribution for certain school districts
  (Part  A-1);  to  amend  the  education  law,  in relation to regional
  secondary schools (Part A-2); to  amend  the  education  law  and  the
  public  authorities  law,  in  relation  to  the  acquisition, design,

S. 2607--C                          3

  construction, reconstruction, rehabilitation, improvement and  financ-
  ing of dormitory facilities for the state university of New York (Part
  B); to amend chapter 57 of the laws of 2005 amending the labor law and
  other  laws implementing the state fiscal plan for the 2005-2006 state
  fiscal year, relating to the New York state higher  education  capital
  matching  grant  program  for independent colleges, in relation to the
  New York state higher education matching grant program for independent
  colleges and the effectiveness thereof (Part C); intentionally omitted
  (Part D); to amend the social services law, in relation to  increasing
  the  standards  of  monthly  need for aged, blind and disabled persons
  living in the community (Part E); intentionally omitted (Part  F);  to
  amend  the  executive  law and the social services law, in relation to
  consolidating the youth development and delinquency prevention program
  and the special delinquency  prevention  program;  to  repeal  certain
  provisions  of  the  executive law relating thereto; and providing for
  the repeal of such provisions upon expiration thereof (Part G); inten-
  tionally omitted (Part H); intentionally omitted (Part  I);  to  amend
  the  real property tax law, in relation to providing for the registra-
  tion of recipients of STAR exemptions, and  eliminating  waste,  fraud
  and  abuse  in  the STAR program (Part J); intentionally omitted (Part
  K); intentionally omitted (Part L); to utilize reserves in the project
  pool insurance account of the  mortgage  insurance  fund  for  various
  housing  purposes (Part M); to amend the labor law, in relation to the
  powers of the commissioner of labor and to repeal  subdivision  17  of
  section  100 of the economic development law relating to the operation
  of the state data center (Part N); to amend the labor law, in relation
  to increasing unemployment insurance benefits  and  contributions,  to
  entitlement  and eligibility criteria, to work search requirements, to
  relieving employers of charges for separations  caused  by  misconduct
  and voluntarily leaving employment without good cause, to reduction of
  benefits  based  on pensions and dismissal pay, to enhanced penalties,
  in relation to fraudulently obtained benefits and  new  penalties  for
  employers  who  cause overpayments by failing to timely and accurately
  respond to information about claims, to approving employer shared work
  benefit plans, and to the interest assessment surcharge; and to  amend
  chapter  62  of  the  laws of 2003, amending the state finance law and
  other laws relating to authorizing and directing the state comptroller
  to loan money to certain funds and accounts, in relation to the effec-
  tiveness thereof; to repeal certain provisions of the labor law relat-
  ing thereto; and providing for the repeal of certain  provisions  upon
  expiration  thereof (Part O); intentionally omitted (Part P); to amend
  the civil service law, in relation to extending the  effectiveness  of
  provisions  establishing  dispute resolution during collective negoti-
  ations (Part Q); intentionally omitted (Part R); to amend the tax law,
  the state finance law and the executive law, in relation to gifts  for
  honor  and  remembrance of veterans, the establishment of the veterans
  remembrance and cemetery maintenance and operation fund, and to repeal
  certain provisions of the executive law relating thereto (Part S);  to
  amend the education law, in relation to the establishment of community
  college regions (Part T); to amend the private housing finance law, in
  relation to establishing the rural and urban community investment fund
  program  (Part  U); to amend the education law, in relation to charges
  for non-resident students (Part V); to amend chapter 420 of  the  laws
  of  2002  amending  the  education  law  relating to the profession of
  social work; chapter 676 of the laws of 2002  amending  the  education
  law relating to the practice of psychology; chapter 130 of the laws of

S. 2607--C                          4

  2010  amending the education law and other laws relating to the regis-
  tration of entities providing certain professional  services  and  the
  licensure  of  certain  professions, in relation to reporting require-
  ments  and  expiration  dates;  and  to  amend  the  education law, in
  relation to licensure and continuing education of social  workers  and
  mental  health counselors (Part W); to amend the civil service law, in
  relation to merger of the department of civil  service  (Part  X);  to
  amend  the education law and the state finance law, in relation to the
  student loan linked deposit act (Part Y); to amend the labor  law,  in
  relation to the self-employment assistance program; and to amend chap-
  ter  413  of  the  laws of 2003 amending the labor law relating to the
  self-employment assistance program and other matters, in  relation  to
  the effectiveness thereof (Part Z); and to amend the education law, in
  relation to establishing the remedial education plan and program (Part
  AA)

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

  Section 1. This act enacts into law major  components  of  legislation
which are necessary to implement the state fiscal plan for the 2013-2014
state  fiscal  year.  Each  component  is wholly contained within a Part
identified as Parts A through AA. The effective date for each particular
provision contained within such Part is set forth in the last section of
such Part. Any provision in any section contained within a Part, includ-
ing the effective date of the Part, which makes a reference to a section
"of this act", when used in connection with that  particular  component,
shall  be  deemed  to mean and refer to the corresponding section of the
Part in which it is found. Section three of  this  act  sets  forth  the
general effective date of this act.

                                 PART A

  Section 1.  1. As used in this section:
  a. "APPR past non-compliance penalty" shall mean the sum of the annual
increases  in apportionments withheld pursuant to section 1 of part A of
chapter 57 of the laws of 2012 and subdivision 2 of this section for the
base year and each prior school year;
  b. "base year" shall mean the base year as defined in paragraph  b  of
subdivision 1 of section 3602 of the education law; and
  c.  "current year" shall mean the current year as defined in paragraph
a of subdivision 1 of section 3602 of the education law.
  2. Notwithstanding  any  inconsistent  provision  of  law,  no  school
district  shall  be eligible for an apportionment of general support for
public schools from the funds appropriated for the 2013-14  school  year
and  thereafter  in  excess  of  the  amount  apportioned to such school
district in the base year unless  such  school  district  has  submitted
documentation that has been approved by the commissioner of education by
September  1 of the current year, demonstrating that it has fully imple-
mented the standards and procedures for conducting  annual  professional
performance  reviews  of  classroom  teachers and building principals in
accordance with the requirements of section 3012-c of the education  law
and the commissioner of education's regulations.
  3.  For  the  2013-14  school year and thereafter the apportionment of
general support for public schools from the funds appropriated  for  the

S. 2607--C                          5

2013-14  school  year  and  thereafter shall be reduced by the APPR past
non-compliance penalty. Such reduction shall not occur prior to April  1
of the current year.
  4.  If  any  payments of ineligible amounts pursuant to subdivisions 2
and 3 of this section were made, and the school district has not submit-
ted documentation that has been approved by the commissioner  of  educa-
tion by September 1 of the current school year demonstrating that it has
fully  implemented  the  standards  and procedures for conducting annual
professional performance reviews  of  classroom  teachers  and  building
principals  in accordance with the requirements of section 3012-c of the
education law and the regulations of the commissioner of education,  the
total  amount  of such payments shall be deducted by the commissioner of
education from future payments to the school district; provided  further
that,  if  the  amount  of  the deduction is greater than the sum of the
amounts available for such deductions in the applicable school year, the
remainder of the deduction shall be withheld from payments scheduled  to
be  made to the school district pursuant to section 3609-a of the educa-
tion law for the subsequent school year.
  S 2. Paragraph e of subdivision 1 of section 211-d  of  the  education
law,  as  amended  by  section  2 of part A of chapter 57 of the laws of
2012, is amended to read as follows:
  e. Notwithstanding paragraphs a and b of this  subdivision,  a  school
district  that  submitted a contract for excellence for the two thousand
eight--two thousand nine school year shall submit a contract for  excel-
lence  for  the  two  thousand  nine--two  thousand  ten  school year in
conformity with the requirements of subparagraph (vi) of paragraph a  of
subdivision  two  of this section unless all schools in the district are
identified as in good standing  and  provided  further  that,  a  school
district  that  submitted a contract for excellence for the two thousand
nine--two thousand ten school year, unless all schools in  the  district
are  identified  as in good standing, shall submit a contract for excel-
lence for the two thousand eleven--two thousand twelve school year which
shall, notwithstanding the requirements of subparagraph  (vi)  of  para-
graph  a of subdivision two of this section, provide for the expenditure
of an amount which shall be not less than  the  product  of  the  amount
approved  by the commissioner in the contract for excellence for the two
thousand  nine--two  thousand  ten  school  year,  multiplied   by   the
district's  gap  elimination  adjustment percentage and provided further
that, a school district that submitted a contract for excellence for the
two thousand eleven--two thousand twelve school year, unless all schools
in the district are identified as  in  good  standing,  shall  submit  a
contract  for excellence for the two thousand twelve--two thousand thir-
teen school  year  which  shall,  notwithstanding  the  requirements  of
subparagraph  (vi)  of  paragraph  a of subdivision two of this section,
provide for the expenditure of an amount which shall be  not  less  than
the  amount  approved by the commissioner in the contract for excellence
for the  two  thousand  eleven--two  thousand  twelve  school  year  AND
PROVIDED  FURTHER  THAT,  A  SCHOOL  DISTRICT  WITH  A POPULATION OF ONE
MILLION OR MORE THAT SUBMITTED A CONTRACT FOR  EXCELLENCE  FOR  THE  TWO
THOUSAND  TWELVE--TWO  THOUSAND THIRTEEN SCHOOL YEAR, UNLESS ALL SCHOOLS
IN THE DISTRICT ARE IDENTIFIED AS  IN  GOOD  STANDING,  SHALL  SUBMIT  A
CONTRACT  FOR  EXCELLENCE  FOR  THE  TWO THOUSAND THIRTEEN--TWO THOUSAND
FOURTEEN SCHOOL YEAR WHICH SHALL, NOTWITHSTANDING  THE  REQUIREMENTS  OF
SUBPARAGRAPH  (VI)  OF  PARAGRAPH  A OF SUBDIVISION TWO OF THIS SECTION,
PROVIDE FOR THE EXPENDITURE OF AN AMOUNT WHICH SHALL BE  NOT  LESS  THAN
THE  AMOUNT  APPROVED BY THE COMMISSIONER IN THE CONTRACT FOR EXCELLENCE

S. 2607--C                          6

FOR THE TWO THOUSAND TWELVE--TWO THOUSAND THIRTEEN  SCHOOL  YEAR.    For
purposes  of this paragraph, the "gap elimination adjustment percentage"
shall be calculated as the sum of one minus the quotient of the  sum  of
the  school  district's  net gap elimination adjustment for two thousand
ten--two thousand eleven computed pursuant to chapter fifty-three of the
laws of two thousand ten,  making  appropriations  for  the  support  of
government,  plus  the  school district's gap elimination adjustment for
two thousand eleven--two thousand twelve as computed pursuant to chapter
fifty-three of the laws of two thousand  eleven,  making  appropriations
for  the  support  of the local assistance budget, including support for
general support for public schools, divided by the total aid for adjust-
ment computed pursuant to chapter fifty-three of the laws of  two  thou-
sand  eleven,  making  appropriations  for  the local assistance budget,
including support for general  support  for  public  schools.  Provided,
further,  that  such  amount  shall  be expended to support and maintain
allowable programs and activities approved in the two thousand nine--two
thousand ten school  year  or  to  support  new  or  expanded  allowable
programs and activities in the current year.
  S 3. Intentionally omitted.
  S  4.  Subdivisions 1, 2 and 7 of section 2116-b of the education law,
as added by chapter 263 of the laws of  2005,  are  amended  and  a  new
subdivision 8 is added to read as follows:
  1.  No  later  than July first, two thousand six, each school district
shall establish an internal audit function to be in operation  no  later
than  the  following December thirty-first. Such function shall include:
(a) development of a risk assessment of district  operations,  including
but  not  limited  to, a review of financial policies and procedures and
the testing and evaluation of district internal controls; (b) [an  annu-
al]  A review and update of such risk assessment; and (c) preparation of
reports[, at least annually or more frequently as the trustees or  board
of  education  may  direct,]  which  analyze significant risk assessment
findings, recommend changes  for  strengthening  controls  and  reducing
identified  risks,  and  specify  timeframes  for implementation of such
recommendations.
  2. School districts of less than eight teachers, school districts with
actual general fund expenditures totaling less than five million dollars
in the previous school year, or school districts with actual  enrollment
of less than three hundred students in the previous school year shall be
exempt   from  this  requirement.  Any  school  district  claiming  such
exemption shall [annually] certify to the commissioner that such  school
district meets the requirements set forth in this subdivision.
  7.  Nothing  in  this section shall be construed as requiring a school
district in any city with a population of one hundred twenty-five  thou-
sand  or  more  to replace or modify an existing internal audit function
where such function already exists by special or local law, so  long  as
the  superintendent  of the district [annually] certifies to the commis-
sioner that the existing internal audit function meets  or  exceeds  the
requirements of this section.
  8.    NOTWITHSTANDING  ANY OTHER PROVISION OF LAW TO THE CONTRARY, THE
INTERNAL AUDIT FUNCTION ESTABLISHED PURSUANT TO THIS  SECTION  SHALL  BE
OPTIONAL  BY ALL SCHOOL DISTRICTS UNLESS THE COMPTROLLER FINDS DEFICIEN-
CIES IN THE AUDIT PERFORMED PURSUANT  TO  SECTION  THIRTY-THREE  OF  THE
GENERAL  MUNICIPAL  LAW.  IF  DEFICIENCIES ARE FOUND BY THE COMPTROLLER,
SCHOOL DISTRICTS SHALL PERFORM BI-ANNUAL INTERNAL AUDITS UNTIL THE COMP-
TROLLER CONDUCTS ANOTHER AUDIT OF SUCH SCHOOL DISTRICT.

S. 2607--C                          7

  S 5. Paragraph (a) of subdivision 1 of section 2856 of  the  education
law,  as  amended  by  section 21 of part A of chapter 58 of the laws of
2011, is amended to read as follows:
  (a)  The  enrollment  of  students  attending charter schools shall be
included in the enrollment, attendance, membership and,  if  applicable,
count  of students with disabilities of the school district in which the
pupil resides. The charter school shall report  all  such  data  to  the
school  districts  of residence in a timely manner. Each school district
shall report such enrollment, attendance  and  count  of  students  with
disabilities  to  the department. The school district of residence shall
pay directly to the charter school for  each  student  enrolled  in  the
charter  school  who  resides  in the school district the charter school
basic tuition, which shall be:
  (i) for school years prior to the two thousand nine--two thousand  ten
school year and for school years following the [two thousand twelve--two
thousand  thirteen]  TWO THOUSAND THIRTEEN--TWO THOUSAND FOURTEEN school
year, an amount equal to one hundred percent of  the  amount  calculated
pursuant to paragraph f of subdivision one of section thirty-six hundred
two  of  this  chapter for the school district for the year prior to the
base year increased by the percentage change in the state total approved
operating expense calculated pursuant to paragraph t of subdivision  one
of  section  thirty-six hundred two of this chapter from two years prior
to the base year to the base year;
  (ii) for the two thousand nine--two  thousand  ten  school  year,  the
charter  school  basic  tuition  shall  be  the  amount  payable by such
district as charter school basic tuition for the two thousand eight--two
thousand nine school year;
  (iii) for the two thousand ten--two thousand eleven through [two thou-
sand twelve--two thousand thirteen] TWO THOUSAND THIRTEEN--TWO  THOUSAND
FOURTEEN  school  years,  the  charter school basic tuition shall be the
basic tuition computed for the two  thousand  ten--two  thousand  eleven
school year pursuant to the provisions of subparagraph (i) of this para-
graph.
  S  6.  Paragraph (a) of subdivision 1 of section 2856 of the education
law, as amended by section 22 of part A of chapter 58  of  the  laws  of
2011, is amended to read as follows:
  (a)  The  enrollment  of  students  attending charter schools shall be
included in the enrollment, attendance  and,  if  applicable,  count  of
students  with  disabilities  of  the school district in which the pupil
resides. The charter school shall report all such  data  to  the  school
districts  of  residence  in a timely manner. Each school district shall
report such enrollment, attendance and count of students with  disabili-
ties  to  the  department.  The  school  district of residence shall pay
directly to the charter school for each student enrolled in the  charter
school  who  resides  in  the  school  district the charter school basic
tuition which shall be:
  (i) for school years prior to the two thousand nine--two thousand  ten
school year and for school years following the [two thousand twelve--two
thousand  thirteen]  TWO THOUSAND THIRTEEN--TWO THOUSAND FOURTEEN school
year, an amount equal to one hundred percent of  the  amount  calculated
pursuant to paragraph f of subdivision one of section thirty-six hundred
two  of  this  chapter for the school district for the year prior to the
base year increased by the percentage change in the state total approved
operating expense calculated pursuant to paragraph t of subdivision  one
of  section  thirty-six hundred two of this chapter from two years prior
to the base year to the base year;

S. 2607--C                          8

  (ii) for the two thousand nine--two  thousand  ten  school  year,  the
charter  school  basic  tuition  shall  be  the  amount  payable by such
district as charter school basic tuition for the two thousand eight--two
thousand nine school year;
  (iii) for the two thousand ten--two thousand eleven through [two thou-
sand  twelve--two thousand thirteen] TWO THOUSAND THIRTEEN--TWO THOUSAND
FOURTEEN school years, the charter school basic  tuition  shall  be  the
basic  tuition  computed  for  the two thousand ten--two thousand eleven
school year pursuant to the provisions of subparagraph (i) of this para-
graph.
  S 7. Subdivision 2 of section 3012-c of the education law  is  amended
by adding two new paragraphs l and m to read as follows:
  L. (1) NOTWITHSTANDING ANY PROVISION OF LAW, RULE OR REGULATION TO THE
CONTRARY,  IF  A  SCHOOL  DISTRICT  DID  NOT HAVE AN ANNUAL PROFESSIONAL
PERFORMANCE REVIEW PLAN  APPROVED  BY  THE  COMMISSIONER  OR  DETERMINED
PURSUANT  TO  THIS  PARAGRAPH IN PLACE ON OR BEFORE JANUARY SEVENTEENTH,
TWO THOUSAND THIRTEEN AND AS OF THE WEDNESDAY FOLLOWING THE FIRST FRIDAY
IN MAY, SUCH SCHOOL DISTRICT AND  THE  COLLECTIVE  BARGAINING  REPRESEN-
TATIVES  REPRESENTING  CLASSROOM  TEACHERS  OR BUILDING PRINCIPALS SHALL
SUBMIT WRITTEN EXPLANATIONS OF THEIR RESPECTIVE POSITIONS REGARDING SUCH
ISSUES TO THE COMMISSIONER BY SUCH DATE.
  (2) IF SUCH SCHOOL  DISTRICTS  DO  NOT  HAVE  AN  ANNUAL  PROFESSIONAL
PERFORMANCE  REVIEW  PLAN  APPROVED  BY  THE  COMMISSIONER OR DETERMINED
PURSUANT TO THIS PARAGRAPH IN PLACE ON OR BEFORE THE WEDNESDAY PRECEDING
THE LAST FRIDAY IN MAY, THE COMMISSIONER SHALL  ARBITRATE  SUCH  DISPUTE
AND  SHALL  HOLD  NO MORE THAN TWO DAYS OF HEARINGS ON THE STANDARDS AND
PROCEDURES NECESSARY TO IMPLEMENT  AN  ANNUAL  PROFESSIONAL  PERFORMANCE
REVIEW PLAN PURSUANT TO THIS SECTION. THE PARTIES MAY BE HEARD EITHER IN
PERSON,  BY  COUNSEL,  OR BY SUCH REPRESENTATIVES AS THEY MAY DESIGNATE.
THE PARTIES MAY PRESENT, ORALLY  OR  IN  WRITING,  STATEMENTS  OF  FACT,
SUPPORTING WITNESSES AND OTHER EVIDENCE, AND ARGUMENTS. THE COMMISSIONER
MAY  REQUIRE THE PRODUCTION OF SUCH ADDITIONAL EVIDENCE FROM THE PARTIES
AND SHALL PROVIDE, AT THE REQUEST OF  EITHER  PARTY,  THAT  A  FULL  AND
COMPLETE RECORD BE KEPT OF ANY SUCH HEARINGS, THE COST OF SUCH RECORD TO
BE SHARED EQUALLY BY THE PARTIES.
  (3)  NOTWITHSTANDING ANY OTHER PROVISION OF LAW, RULE OR REGULATION TO
THE CONTRARY, AFTER SUCH HEARING, THE COMMISSIONER SHALL RENDER A  FINAL
AND  BINDING  WRITTEN DETERMINATION ON OR BEFORE JUNE FIRST, PRESCRIBING
SUCH STANDARDS AND PROCEDURES NECESSARY TO IMPLEMENT AN  ANNUAL  PROFES-
SIONAL  PERFORMANCE  REVIEW  PLAN PURSUANT TO THIS SECTION EFFECTIVE FOR
THE FOLLOWING SCHOOL YEAR FOR A TERM TO BE DETERMINED BY THE COMMISSION-
ER.  SUCH DETERMINATION SHALL BE LIMITED TO  THE  REQUIREMENTS  OF  THIS
SECTION.  THE COMMISSIONER SHALL SPECIFY IN HIS OR HER DETERMINATION THE
BASIS  FOR  HIS  OR HER FINDINGS, TAKING INTO CONSIDERATION ALL RELEVANT
FACTORS, INCLUDING THE BEST INTEREST  OF  STUDENTS.  SUCH  DETERMINATION
SHALL  BE DEEMED TO CONSTITUTE THE SUBMISSION BY SUCH SCHOOL DISTRICT OF
DOCUMENTATION DEMONSTRATING THAT IT HAS FULLY IMPLEMENTED THE  STANDARDS
AND PROCEDURES FOR CONDUCTING ANNUAL PROFESSIONAL PERFORMANCE REVIEWS OF
CLASSROOM  TEACHERS  AND  BUILDING  PRINCIPALS  IN  ACCORDANCE  WITH THE
REQUIREMENTS  OF  THIS  SECTION  AND  FINAL  APPROVAL  OF  SUCH   SCHOOL
DISTRICT'S  ANNUAL  PROFESSIONAL  PERFORMANCE  REVIEW PLAN IN ACCORDANCE
WITH PARAGRAPH K OF THIS SUBDIVISION.
  (4) NO LATER THAN TEN DAYS AFTER RECEIPT OF THE COMMISSIONER'S  DETER-
MINATION,  THE  PARTIES  MAY  MAKE  AN APPLICATION TO THE NEW YORK STATE
SUPREME COURT TO VACATE OR MODIFY THE DETERMINATION OF THE  COMMISSIONER
PURSUANT  TO  SECTION  SEVENTY-FIVE HUNDRED ELEVEN OF THE CIVIL PRACTICE

S. 2607--C                          9

LAW AND RULES. THE COURT'S REVIEW SHALL BE LIMITED TO  THE  GROUNDS  SET
FORTH  IN SUCH SECTION. THE COMMISSIONER'S DETERMINATION SHALL BE DEEMED
TO BE FINAL FOR THE PURPOSE OF SUCH PROCEEDING. IN  NO  CASE  SHALL  THE
FILING  OR  THE  PENDENCY  OF  AN APPEAL DELAY THE IMPLEMENTATION OF THE
COMMISSIONER'S DETERMINATION.
  M. (1) NOTWITHSTANDING ANY PROVISION OF LAW, RULE OR REGULATION TO THE
CONTRARY, IF A SCHOOL DISTRICT DOES  NOT  HAVE  AN  ANNUAL  PROFESSIONAL
PERFORMANCE  REVIEW  PLAN  APPROVED  BY  THE  COMMISSIONER OR DETERMINED
PURSUANT TO THIS PARAGRAPH IN PLACE ON OR  BEFORE  JULY  FIRST  FOR  THE
CURRENT  SCHOOL YEAR, SUCH SCHOOL DISTRICT AND THE COLLECTIVE BARGAINING
REPRESENTATIVES REPRESENTING CLASSROOM TEACHERS OR  BUILDING  PRINCIPALS
SHALL  SUBMIT WRITTEN EXPLANATIONS OF THEIR RESPECTIVE POSITIONS REGARD-
ING SUCH ISSUES TO THE COMMISSIONER BY SUCH DATE.
  (2) IF SUCH SCHOOL DISTRICT  DOES  NOT  HAVE  AN  ANNUAL  PROFESSIONAL
PERFORMANCE  REVIEW  PLAN  APPROVED  BY  THE  COMMISSIONER OR DETERMINED
PURSUANT TO THIS PARAGRAPH IN PLACE ON OR  BEFORE  JULY  FIRST  FOR  THE
CURRENT  SCHOOL  YEAR, THE COMMISSIONER SHALL ARBITRATE SUCH DISPUTE AND
SHALL PROVIDE FOR THE STANDARDS AND PROCEDURES  NECESSARY  TO  ARBITRATE
AND IMPLEMENT AN ANNUAL PROFESSIONAL PERFORMANCE REVIEW PLAN PURSUANT TO
THIS  SECTION. THE PARTIES MAY BE HEARD EITHER IN PERSON, BY COUNSEL, OR
BY SUCH REPRESENTATIVES AS THEY MAY DESIGNATE. THE PARTIES MAY  PRESENT,
ORALLY OR IN WRITING, STATEMENTS OF FACT, SUPPORTING WITNESSES AND OTHER
EVIDENCE,  AND ARGUMENTS. THE COMMISSIONER MAY REQUIRE THE PRODUCTION OF
SUCH ADDITIONAL EVIDENCE FROM THE PARTIES  AND  SHALL  PROVIDE,  AT  THE
REQUEST  OF EITHER PARTY, THAT A FULL AND COMPLETE RECORD BE KEPT OF ANY
PROCEEDINGS AND MATERIAL SUBMITTED, THE COST OF SUCH RECORD TO BE SHARED
EQUALLY BY THE PARTIES.
  (3) NOTWITHSTANDING ANY OTHER PROVISION OF LAW, RULE OR REGULATION  TO
THE  CONTRARY, THE COMMISSIONER SHALL RENDER A FINAL AND BINDING WRITTEN
DETERMINATION ON OR BEFORE SEPTEMBER FIRST, PRESCRIBING  SUCH  STANDARDS
AND PROCEDURES NECESSARY TO IMPLEMENT AN ANNUAL PROFESSIONAL PERFORMANCE
REVIEW  PLAN PURSUANT TO THIS SECTION EFFECTIVE FOR THE FOLLOWING SCHOOL
YEAR FOR A TERM TO BE DETERMINED BY THE  COMMISSIONER.    SUCH  DETERMI-
NATION  SHALL  BE  LIMITED  TO  THE  REQUIREMENTS OF THIS SECTION.   THE
COMMISSIONER SHALL SPECIFY IN HIS OR HER DETERMINATION THE BASIS FOR HIS
OR HER FINDINGS, TAKING INTO CONSIDERATION ALL RELEVANT FACTORS, INCLUD-
ING THE BEST INTEREST OF STUDENTS. SUCH DETERMINATION SHALL BE DEEMED TO
CONSTITUTE THE SUBMISSION  BY  SUCH  SCHOOL  DISTRICT  OF  DOCUMENTATION
DEMONSTRATING THAT IT HAS FULLY IMPLEMENTED THE STANDARDS AND PROCEDURES
FOR  CONDUCTING  ANNUAL  PROFESSIONAL  PERFORMANCE  REVIEWS OF CLASSROOM
TEACHERS AND BUILDING PRINCIPALS IN ACCORDANCE WITH THE REQUIREMENTS  OF
THIS SECTION AND FINAL APPROVAL OF SUCH SCHOOL DISTRICT'S ANNUAL PROFES-
SIONAL  PERFORMANCE  REVIEW  PLAN IN ACCORDANCE WITH PARAGRAPH K OF THIS
SUBDIVISION.
  (4) NO LATER THAN TEN DAYS AFTER RECEIPT OF THE COMMISSIONER'S  DETER-
MINATION,  THE  PARTIES  MAY  MAKE  AN APPLICATION TO THE NEW YORK STATE
SUPREME COURT TO VACATE OR MODIFY THE DETERMINATION OF THE  COMMISSIONER
PURSUANT  TO  SECTION  SEVENTY-FIVE HUNDRED ELEVEN OF THE CIVIL PRACTICE
LAW AND RULES. THE COURT'S REVIEW SHALL BE LIMITED TO  THE  GROUNDS  SET
FORTH  IN SUCH SECTION. THE COMMISSIONER'S DETERMINATION SHALL BE DEEMED
TO BE FINAL FOR THE PURPOSE OF SUCH PROCEEDING. IN  NO  CASE  SHALL  THE
FILING  OR  THE  PENDENCY  OF  AN APPEAL DELAY THE IMPLEMENTATION OF THE
COMMISSIONER'S DETERMINATION.
  S 8. The closing paragraph of subdivision 5-a of section 3602  of  the
education  law,  as amended by section 27 of part A of chapter 58 of the
laws of 2011, is amended to read as follows:

S. 2607--C                         10

  For the two thousand eight--two thousand nine school year, each school
district shall be entitled to an apportionment equal to the  product  of
fifteen  percent  and  the additional apportionment computed pursuant to
this subdivision for the two thousand seven--two thousand  eight  school
year.  For  the two thousand nine--two thousand ten through two thousand
[twelve] FOURTEEN--two thousand [thirteen] FIFTEEN  school  years,  each
school  district  shall  be  entitled  to  an apportionment equal to the
amount set forth for such school district as  "SUPPLEMENTAL  PUB  EXCESS
COST"  under  the  heading  "2008-09  BASE  YEAR AIDS" in the school aid
computer listing produced by the commissioner in support of  the  budget
for  the  two  thousand  nine--two thousand ten school year and entitled
"SA0910".
  S 9. Subdivision 9 of section 3602 of the education law, as amended by
section 16 of part B of chapter 57 of the laws of 2007,  is  amended  to
read as follows:
  9.  Aid  for conversion to full day kindergarten. School districts may
make available full day kindergarten programs for all  children  wishing
to  attend such programs[,].  For aid payable in the two thousand seven-
-two thousand eight school year and thereafter, school  districts  which
provided  any  half-day  kindergarten  programs  or  had no kindergarten
programs in the nineteen hundred  ninety-six--ninety-seven  school  year
and  in  the  base  year,  AND  WHICH HAVE NOT RECEIVED AN APPORTIONMENT
PURSUANT TO THIS PARAGRAPH IN ANY PRIOR SCHOOL YEAR, shall  be  eligible
for  aid  equal to the product of the district's selected foundation aid
calculated pursuant to subdivision four of this  section  multiplied  by
the positive difference resulting when the full day kindergarten enroll-
ment  of children attending programs in the district in the base year is
subtracted from such enrollment in the current year.
  S 10. Subdivision 12 of section 3602 of the education law, as  amended
by section 35 of part A of chapter 58 of the laws of 2011, is amended to
read as follows:
  12. Academic enhancement aid. A school district that as of April first
of  the base year has been continuously identified as a district in need
of improvement AND/OR A FOCUS DISTRICT for at least  five  years  shall,
for  the  two thousand eight--two thousand nine school year, be entitled
to an additional apportionment equal to the positive remainder, if  any,
of (a) the lesser of fifteen million dollars or the product of the total
foundation  aid  base,  as  defined by paragraph j of subdivision one of
this section, multiplied by ten percent (0.10), less  (b)  the  positive
remainder  of (i) the sum of the total foundation aid apportioned pursu-
ant to subdivision four of this section and the supplemental educational
improvement grants apportioned pursuant to subdivision eight of  section
thirty-six  hundred forty-one of this article, less (ii) the total foun-
dation aid base.
  For the two thousand  nine--two  thousand  ten  through  two  thousand
[twelve]  FOURTEEN--two  thousand  [thirteen] FIFTEEN school years, each
school district shall be entitled  to  an  apportionment  equal  to  the
amount set forth for such school district as "EDUCATION GRANTS, ACADEMIC
EN" under the heading "2008-09 BASE YEAR AIDS" in the school aid comput-
er listing produced by the commissioner in support of the budget for the
two  thousand  nine--two thousand ten school year and entitled "SA0910",
and such apportionment shall be deemed to satisfy the  state  obligation
to  provide  an  apportionment  pursuant to subdivision eight of section
thirty-six hundred forty-one of this article.
  S 11. Subdivision 16 of section 3602 of the education law, as  amended
by  section  18 of part B of chapter 57 of the laws of 2008, the opening

S. 2607--C                         11

paragraph as amended by section 36 of part A of chapter 58 of  the  laws
of  2011,  subparagraph 1 of paragraph a as further amended by section 1
of part W of chapter 56 of the laws of  2010,  is  amended  to  read  as
follows:
  16. High tax aid.  Each school district shall be eligible to receive a
high  tax  aid  apportionment  in the two thousand [eight] THIRTEEN--two
thousand [nine] FOURTEEN school year, which shall equal the  greater  of
(i)  the  sum of the tier 1 high tax aid apportionment[,] AND the tier 2
high tax aid apportionment [and the tier 3 high tax  aid  apportionment]
or  (ii)  [the  product  of]  the  [apportionment received by the school
district pursuant to this subdivision in  the  two  thousand  seven--two
thousand  eight school year, multiplied by the due-minimum factor, which
shall equal, for districts with an alternate pupil wealth ratio computed
pursuant to paragraph b of subdivision three of  this  section  that  is
less  than  two,  seventy  percent  (0.70), and for all other districts,
fifty percent (0.50).  Each school district shall be eligible to receive
a high tax aid apportionment in the two thousand nine--two thousand  ten
through  two  thousand twelve--two thousand thirteen school years in the
amount set forth for such school district as "HIGH TAX  AID"  under  the
heading  "2008-09  BASE  YEAR  AIDS"  in the school aid computer listing
produced by the commissioner in support of the budget for the two  thou-
sand  nine--two  thousand ten school year and entitled "SA0910".] AMOUNT
SET FORTH FOR SUCH SCHOOL DISTRICT AS "HIGH TAX AID" UNDER  THE  HEADING
"2012-13  ESTIMATED AIDS" IN THE SCHOOL AID COMPUTER LISTING PRODUCED BY
THE  COMMISSIONER  IN  SUPPORT  OF  THE  BUDGET  FOR  THE  TWO  THOUSAND
TWELVE--TWO THOUSAND THIRTEEN SCHOOL YEAR AND ENTITLED "SA121-3".
  IN  THE  TWO  THOUSAND  FOURTEEN--TWO THOUSAND FIFTEEN SCHOOL YEAR AND
THEREAFTER, EACH SCHOOL DISTRICT SHALL BE ELIGIBLE TO RECEIVE A HIGH TAX
AID APPORTIONMENT IN THE AMOUNT SET FORTH FOR SUCH  SCHOOL  DISTRICT  AS
"HIGH  TAX AID" UNDER THE HEADING "2013-14 ESTIMATED AIDS" IN THE SCHOOL
AID COMPUTER LISTING PRODUCED BY THE  COMMISSIONER  IN  SUPPORT  OF  THE
EXECUTIVE  BUDGET  REQUEST  SUBMITTED FOR THE TWO THOUSAND THIRTEEN--TWO
THOUSAND FOURTEEN STATE FISCAL YEAR AND ENTITLED "SABT131-4".
  a. Definitions. (1) "Residential real property tax  levy"  shall  mean
the school tax levy imposed on residential property, including condomin-
ium  properties,  in  the year commencing in the calendar year two years
prior to the calendar year in which  the  base  year  began.  The  final
update  of  such  data shall be reported by the commissioner of taxation
and finance to the commissioner by February fifteenth of the base  year.
The  commissioner  of  taxation  and  finance shall adopt regulations as
appropriate to assure the  appropriate  collection,  classification  and
reporting  of  such  data  for  the  purposes of paying state aid to the
schools.
  (2) "Adjusted gross income" shall mean the adjusted gross income of  a
school district as used in computation of the district's alternate pupil
wealth  ratio  pursuant  to  paragraph  b  of  subdivision three of this
section, provided, however, that for the computation  of  apportionments
pursuant  to  this  subdivision,  the adjusted gross income of a central
high school district shall not equal  the  sum  of  the  adjusted  gross
income of each of its component school districts.
  (3) "Tax effort ratio" shall mean the quotient of the district's resi-
dential  real property tax levy divided by the district's adjusted gross
income computed to five decimals without rounding.
  (4) "Tier 1 eligible school district" shall mean any  school  district
in  which (i) the income wealth index, as computed pursuant to paragraph
d of subdivision three of this section, is less than [two and  one-half]

S. 2607--C                         12

NINE HUNDRED AND FIFTY-FIVE THOUSANDTHS (.955), and (ii) the expense per
pupil,  as  computed  pursuant to paragraph f of subdivision one of this
section, is greater than NINETY-FIVE AND FIVE-TENTHS PERCENT  (.955)  OF
the statewide average expense per pupil as computed pursuant to subdivi-
sion  five  of  this  section, and (iii) the tax effort ratio is greater
than [three and two-tenths percent (0.032)] FOUR AND FIVE-TENTHS PERCENT
(.045).  For the [two thousand eight--two thousand  nine]  TWO  THOUSAND
THIRTEEN--TWO  THOUSAND FOURTEEN school year, for the purpose of comput-
ing aid pursuant to this subdivision, the statewide average expense  per
pupil  shall be [ten thousand six hundred fifty dollars] TWELVE THOUSAND
FIVE HUNDRED DOLLARS.
  (5) "Tier 2 eligible school district" shall mean any  school  district
in  which  the  tax  effort  ratio  is greater than five AND FIVE-TENTHS
percent (.055).
  [(6) "Tier 3 eligible school district" shall mean any school  district
in  which  (i)  the  quotient  of (a) the actual valuation of the school
district divided by its total wealth pupil units  computed  pursuant  to
subparagraph  one  of  paragraph a of subdivision three of this section,
divided by (b) the adjusted gross income of a school district divided by
its total wealth pupil units computed pursuant to  subparagraph  one  of
paragraph  b  of subdivision three of this section, is greater than four
and sixty-two hundredths (4.62), (ii) the combined wealth ratio computed
pursuant to subparagraph one of paragraph c of subdivision three of this
section is less than six, and (iii) the regional cost  index  determined
pursuant  to subparagraph two of paragraph a of subdivision four of this
section is greater than one and three-tenths (1.3).]
  b. Tier 1 high tax aid apportionment. For any tier 1  eligible  school
district, the tier 1 high tax aid apportionment shall be [the greater of
(1)]  the  product  of  the  public  school  district  enrollment of the
district in the base year, as computed pursuant to subparagraph  two  of
paragraph  n of subdivision one of this section, multiplied by the prod-
uct of four hundred [fifty] SEVENTY-FIVE dollars multiplied by the state
sharing ratio[, or (2) one hundred thousand dollars]  COMPUTED  PURSUANT
TO PARAGRAPH G OF SUBDIVISION THREE OF THIS SECTION.
  c.  Tier  2 high tax aid apportionment. For any tier 2 eligible school
district, the tier 2 high tax aid apportionment shall be the product  of
(i)  the  public  school district enrollment of the district in the base
year, as computed pursuant to subparagraph two of paragraph n of  subdi-
vision  one of this section, multiplied by (ii) one hundred [eighty-one]
NINETY-FIVE thousandths [(0.181)] (0.195) multiplied by (iii) the  posi-
tive  difference, if any, of the expense per pupil, as computed pursuant
to paragraph f of subdivision one of this section,  less  [ten  thousand
six  hundred  sixty]  THIRTEEN THOUSAND ONE HUNDRED TWENTY-FIVE dollars,
multiplied by (iv) an aid ratio computed by  subtracting  from  one  AND
THIRTY-SEVEN  HUNDREDTHS  (1.37) the product obtained by multiplying the
alternate pupil wealth ratio computed pursuant to  subparagraph  one  of
paragraph  b of subdivision three of this section by [sixty percent] ONE
AND TWENTY-THREE HUNDREDTHS (1.23), provided,  however,  that  such  aid
ratio  shall  not  be less than zero nor greater than one, multiplied by
(v) the regional cost index COMPUTED PURSUANT  TO  SUBPARAGRAPH  TWO  OF
PARAGRAPH A OF SUBDIVISION FOUR OF THIS SECTION.
  [d.  Tier 3 high tax aid apportionment. For any tier 3 eligible school
district, the tier 3 high tax aid apportionment shall be the product  of
(i)  the  public  school district enrollment of the district in the base
year, as computed pursuant to subparagraph two of paragraph n of  subdi-

S. 2607--C                         13

vision one of this section, multiplied by (ii) fifty-two dollars, multi-
plied by (iii) the regional cost index.]
  S 12. Paragraph (e) of subdivision 17 of section 3602 of the education
law,  as added by section 6 of part A of chapter 57 of the laws of 2012,
is amended and three new paragraphs f, g and h  are  added  to  read  as
follows:
  [(e)] E. The gap elimination adjustment restoration amount for the two
thousand  thirteen--two  thousand  fourteen  school  year and thereafter
[shall equal the product of the  gap  elimination  percentage  for  such
district  and  the  gap  elimination  adjustment  restoration allocation
established pursuant to subdivision eighteen of this section]  SHALL  BE
COMPUTED BASED ON AN ELECTRONIC DATA FILE USED TO PRODUCE THE SCHOOL AID
COMPUTER  LISTING PRODUCED BY THE COMMISSIONER IN SUPPORT OF THE ENACTED
BUDGET FOR THE 2013-2014 STATE FISCAL YEAR AND  ENTITLED  "SA131-4"  AND
SHALL EQUAL THE SUM OF:
  (I)  THE  "TIER  1  RESTORATION"  WHICH  SHALL MEAN THE SUM OF (A) THE
GREATER OF: (A) THE PRODUCT OF (1)  THE  PRODUCT  OF  THE  EXTRAORDINARY
NEEDS  INDEX  MULTIPLIED  BY  TWO  HUNDRED  TEN DOLLARS AND TWENTY CENTS
COMPUTED TO TWO DECIMAL PLACES WITHOUT ROUNDING, MULTIPLIED BY  (2)  THE
STATE  SHARING  RATIO  COMPUTED  PURSUANT  TO PARAGRAPH G OF SUBDIVISION
THREE OF THIS SECTION MULTIPLIED  BY  (3)  THE  PUBLIC  SCHOOL  DISTRICT
ENROLLMENT FOR THE BASE YEAR, CALCULATED PURSUANT TO SUBPARAGRAPH TWO OF
PARAGRAPH  N OF SUBDIVISION ONE OF THIS SECTION, WHERE THE EXTRAORDINARY
NEEDS INDEX SHALL BE THE QUOTIENT OF THE EXTRAORDINARY NEEDS PERCENT FOR
THE DISTRICT COMPUTED PURSUANT TO PARAGRAPH W OF SUBDIVISION ONE OF THIS
SECTION DIVIDED BY FIVE HUNDRED THIRTY-FOUR ONE-THOUSANDTHS  (.534);  OR
(B)  THE  PRODUCT  OF  FORTY PERCENT (0.40) MULTIPLIED BY THE GAP ELIMI-
NATION ADJUSTMENT RESTORATION FOR THE TWO THOUSAND TWELVE--TWO  THOUSAND
THIRTEEN  SCHOOL  YEAR COMPUTED PURSUANT TO PARAGRAPH D OF THIS SUBDIVI-
SION AND (B) THE PRODUCT OF (1) THE POSITIVE DIFFERENCE, IF ANY, OF  ONE
AND THIRTY-SEVEN ONE-HUNDREDTHS (1.37) MINUS THE PRODUCT OF THE COMBINED
WEALTH  RATIO  COMPUTED  PURSUANT  TO SUBPARAGRAPH ONE OF PARAGRAPH C OF
SUBDIVISION THREE OF THIS SECTION MULTIPLIED  BY  ONE  AND  TWENTY-THREE
HUNDREDTHS  (1.23), MULTIPLIED BY (2) THE PUBLIC SCHOOL DISTRICT ENROLL-
MENT FOR THE BASE YEAR, CALCULATED PURSUANT TO SUBPARAGRAPH TWO OF PARA-
GRAPH N OF SUBDIVISION ONE OF THIS  SECTION,  MULTIPLIED  BY  (3)  FIFTY
DOLLARS;  BUT  SHALL  BE  NO  GREATER  THAN THE PRODUCT OF FORTY-TWO AND
FIVE-TENTHS PERCENT (0.425) AND THE GAP ELIMINATION ADJUSTMENT  FOR  THE
TWO  THOUSAND TWELVE--TWO THOUSAND THIRTEEN SCHOOL YEAR FOR THE DISTRICT
AND SHALL BE NO LESS THAN THE AMOUNT SET FORTH FOR SUCH SCHOOL  DISTRICT
AS  "GEA  RESTORATION" UNDER THE HEADING "2013-14 ESTIMATED AIDS" IN THE
SCHOOL AID COMPUTER LISTING PRODUCED BY THE COMMISSIONER IN  SUPPORT  OF
THE   EXECUTIVE   BUDGET   REQUEST   SUBMITTED   FOR  THE  TWO  THOUSAND
THIRTEEN--TWO  THOUSAND  FOURTEEN  STATE  FISCAL   YEAR   AND   ENTITLED
"BT131-4"; AND
  (II)  THE "TIER 2 RESTORATION" WHICH SHALL MEAN FOR DISTRICTS WITH (1)
A COMBINED WEALTH RATIO OF  LESS  THAN  ONE  AND  THIRTY-TWO  HUNDREDTHS
(1.32)  AND  (2)  AN  ENROLLMENT  PER  SQUARE  MILE  WHICH  SHALL BE THE
QUOTIENT, COMPUTED TO TWO  DECIMALS  WITHOUT  ROUNDING,  OF  THE  PUBLIC
SCHOOL  ENROLLMENT  OF  THE  SCHOOL  DISTRICT ON THE DATE ENROLLMENT WAS
COUNTED IN ACCORDANCE WITH SUBDIVISION ONE OF THIS SECTION FOR THE  BASE
YEAR  DIVIDED  BY THE SQUARE MILES OF THE DISTRICT, AS DETERMINED BY THE
COMMISSIONER, OF LESS THAN ONE HUNDRED AND TWENTY AND (3) DESIGNATED  AS
HIGH  NEED OR AVERAGE NEED PURSUANT TO CLAUSE (C) OF SUBPARAGRAPH TWO OF
PARAGRAPH C OF SUBDIVISION SIX  OF  THIS  SECTION  FOR  THE  SCHOOL  AID
COMPUTER  LISTING PRODUCED BY THE COMMISSIONER IN SUPPORT OF THE ENACTED

S. 2607--C                         14

BUDGET FOR THE TWO THOUSAND SEVEN--TWO THOUSAND EIGHT  SCHOOL  YEAR  AND
ENTITLED  "SA0708" AND (4) A TIER ONE RESTORATION WHICH EQUALS LESS THAN
TWENTY-EIGHT PERCENT (.28) OF THE GAP ELIMINATION ADJUSTMENT FOR THE TWO
THOUSAND  TWELVE--TWO THOUSAND THIRTEEN SCHOOL YEAR AS COMPUTED BASED ON
AN ELECTRONIC DATA FILE USED TO PRODUCE THE SCHOOL AID COMPUTER  LISTING
PRODUCED  BY  THE  COMMISSIONER IN SUPPORT OF THE ENACTED BUDGET FOR THE
TWO THOUSAND TWELVE--TWO THOUSAND THIRTEEN STATE FISCAL YEAR  AND  ENTI-
TLED  "SA121-3", THE POSITIVE DIFFERENCE IF ANY, OF THE PRODUCT OF TWEN-
TY-EIGHT PERCENT (0.28) MULTIPLIED BY THE GAP ELIMINATION ADJUSTMENT FOR
THE TWO THOUSAND TWELVE--TWO THOUSAND THIRTEEN SCHOOL YEAR  AS  COMPUTED
BASED ON AN ELECTRONIC DATA FILE USED TO PRODUCE THE SCHOOL AID COMPUTER
LISTING  PRODUCED  BY  THE COMMISSIONER IN SUPPORT OF THE ENACTED BUDGET
FOR THE TWO THOUSAND TWELVE--TWO THOUSAND THIRTEEN STATE FISCAL YEAR AND
ENTITLED "SA121-3" MINUS THE TIER 1 RESTORATION; AND
  (III) THE "TIER 3 RESTORATION" SHALL MEAN (1)  FOR  DISTRICTS  WITH  A
COMBINED  WEALTH  RATIO  OF LESS THAN ONE AND TWO TENTHS (1.2) AND WHERE
THE QUOTIENT OF THE POSITIVE DIFFERENCE OF THE GAP  ELIMINATION  ADJUST-
MENT  FOR  THE  TWO  THOUSAND ELEVEN--TWO THOUSAND TWELVE SCHOOL YEAR AS
COMPUTED BASED ON AN ELECTRONIC DATA FILE USED TO PRODUCE THE SCHOOL AID
COMPUTER LISTING PRODUCED BY THE COMMISSIONER IN SUPPORT OF THE  ENACTED
BUDGET  FOR  THE  TWO  THOUSAND ELEVEN--TWO THOUSAND TWELVE STATE FISCAL
YEAR AND ENTITLED "SA111-2" MINUS THE GAP ELIMINATION ADJUSTMENT FOR THE
TWO THOUSAND TWELVE--TWO THOUSAND THIRTEEN SCHOOL YEAR AS COMPUTED BASED
ON AN ELECTRONIC DATA FILE USED TO PRODUCE THE SCHOOL AID COMPUTER LIST-
ING PRODUCED BY THE COMMISSIONER IN SUPPORT OF THE  ENACTED  BUDGET  FOR
THE  TWO  THOUSAND  TWELVE--TWO  THOUSAND THIRTEEN STATE FISCAL YEAR AND
ENTITLED "SA121-3" DIVIDED BY THE GAP ELIMINATION ADJUSTMENT FOR THE TWO
THOUSAND ELEVEN--TWO THOUSAND TWELVE SCHOOL YEAR AS COMPUTED BASED ON AN
ELECTRONIC DATA FILE USED TO PRODUCE THE  SCHOOL  AID  COMPUTER  LISTING
PRODUCED  BY  THE  COMMISSIONER IN SUPPORT OF THE ENACTED BUDGET FOR THE
TWO THOUSAND ELEVEN--TWO THOUSAND TWELVE STATE FISCAL YEAR AND  ENTITLED
"SA111-2"  IS  LESS THAN OR EQUAL TO SEVENTY-FIVE HUNDREDTHS (.075), THE
POSITIVE DIFFERENCE OF THE PRODUCT OF TWENTY PERCENT (.20) MULTIPLIED BY
THE GAP ELIMINATION ADJUSTMENT FOR THE 2012-2013 SCHOOL YEAR AS COMPUTED
BASED ON AN ELECTRONIC DATA FILE USED TO PRODUCE THE SCHOOL AID COMPUTER
LISTING PRODUCED BY THE COMMISSIONER IN SUPPORT OF  THE  ENACTED  BUDGET
FOR THE TWO THOUSAND TWELVE--TWO THOUSAND THIRTEEN STATE FISCAL YEAR AND
ENTITLED  "SA121-3" MINUS THE SUM OF THE TIER 1 RESTORATION AND THE TIER
2 RESTORATION; OR (2)  FOR  ALL  OTHER  SCHOOL  DISTRICTS  THE  POSITIVE
DIFFERENCE  OF THE PRODUCT OF TEN AND EIGHT TENTHS PERCENT (.108) MULTI-
PLIED BY THE GAP ELIMINATION ADJUSTMENT FOR THE TWO THOUSAND  TWELVE  --
TWO  THOUSAND  THIRTEEN  SCHOOL  YEAR AS COMPUTED BASED ON AN ELECTRONIC
DATA FILE USED TO PRODUCE THE SCHOOL AID COMPUTER  LISTING  PRODUCED  BY
THE  COMMISSIONER  IN SUPPORT OF THE ENACTED BUDGET FOR THE TWO THOUSAND
TWELVE--TWO THOUSAND THIRTEEN STATE FISCAL YEAR AND  ENTITLED  "SA121-3"
MINUS THE SUM OF THE TIER 1 RESTORATION AND THE TIER 2 RESTORATION; AND
  (IV)  FOR  SCHOOL DISTRICTS DESIGNATED AS HIGH NEED URBAN-SUBURBAN AND
HIGH NEED RURAL PURSUANT TO CLAUSE (C) OF SUBPARAGRAPH TWO OF  PARAGRAPH
C  OF  SUBDIVISION  SIX OF THIS SECTION DESIGNATED AS CODES "1", "3" AND
"4" FOR THE SCHOOL AID COMPUTER LISTING PRODUCED BY THE COMMISSIONER  IN
SUPPORT  OF  THE ENACTED BUDGET FOR THE TWO THOUSAND SEVEN--TWO THOUSAND
EIGHT SCHOOL YEAR AND ENTITLED "SA0708", THE PRODUCT OF (A) ONE  HUNDRED
TEN  DOLLARS  ($110),  MULTIPLIED  BY  (B)  THE  BASE YEAR PUBLIC SCHOOL
DISTRICT ENROLLMENT, AS COMPUTED PURSUANT TO PARAGRAPH N OF  SUBDIVISION
ONE OF THIS SECTION; AND

S. 2607--C                         15

  (V)  FOR  SCHOOL  DISTRICTS  THAT ARE (1) DESIGNATED AS LOW OR AVERAGE
NEED PURSUANT TO CLAUSE (C) OF SUBPARAGRAPH TWO OF PARAGRAPH C OF SUBDI-
VISION SIX OF THIS SECTION FOR THE SCHOOL AID COMPUTER LISTING  PRODUCED
BY  THE  COMMISSIONER IN SUPPORT OF THE ENACTED BUDGET FOR THE TWO THOU-
SAND SEVEN--TWO THOUSAND EIGHT SCHOOL YEAR AND ENTITLED "SA0708" AND (2)
DESIGNATED  AS HIGH NEED PURSUANT TO THE REGULATIONS OF THE COMMISSIONER
IN THE MOST RECENTLY AVAILABLE STUDY INCLUDED IN THE SCHOOL AID COMPUTER
LISTING PRODUCED BY THE COMMISSIONER IN SUPPORT OF  THE  ENACTED  BUDGET
FOR  THE  TWO THOUSAND THIRTEEN--TWO THOUSAND FOURTEEN STATE FISCAL YEAR
AND ENTITLED "SA131-4", THE POSITIVE DIFFERENCE OF THE AMOUNT SET  FORTH
FOR SUCH SCHOOL DISTRICT AS "GAP ELIMINATION ADJUSTMENT" UNDER THE HEAD-
ING "2011-12 BASE YEAR AIDS" IN THE SCHOOL AID COMPUTER LISTING PRODUCED
BY  THE  COMMISSIONER IN SUPPORT OF THE ENACTED BUDGET FOR THE TWO THOU-
SAND TWELVE--TWO  THOUSAND  THIRTEEN  STATE  FISCAL  YEAR  AND  ENTITLED
"SA121-3"  MINUS  THE  PRODUCT  OF  SIX AND EIGHT-TENTHS PERCENT (0.068)
MULTIPLIED BY  THE  TOTAL  GENERAL  FUND  EXPENDITURES  OF  SUCH  SCHOOL
DISTRICT FOR THE TWO THOUSAND TEN-TWO THOUSAND ELEVEN SCHOOL YEAR; AND
  (VI)  FOR A DISTRICT DESIGNATED AS AVERAGE NEED PURSUANT TO CLAUSE (C)
OF SUBPARAGRAPH TWO OF PARAGRAPH C OF SUBDIVISION SIX  OF  THIS  SECTION
FOR THE SCHOOL AID COMPUTER LISTING PRODUCED FOR THE SCHOOL AID COMPUTER
LISTING  PRODUCED  BY  THE COMMISSIONER IN SUPPORT OF THE ENACTED BUDGET
FOR THE TWO THOUSAND SEVEN--TWO THOUSAND EIGHT SCHOOL YEAR AND  ENTITLED
"SA0708"  AND  A  COMBINED WEALTH RATIO LESS THAN EIGHT TENTHS (.8), THE
PRODUCT OF (A) TWENTY-FIVE DOLLARS ($25), MULTIPLIED  BY  (B)  THE  BASE
YEAR  PUBLIC  SCHOOL  DISTRICT ENROLLMENT, AS COMPUTED PURSUANT TO PARA-
GRAPH N OF SUBDIVISION ONE OF THIS SECTION. PROVIDED FURTHER  THAT  SUCH
GAP ELIMINATION ADJUSTMENT RESTORATION AMOUNT FOR THE TWO THOUSAND THIR-
TEEN--TWO  THOUSAND  FOURTEEN  SCHOOL  YEAR  SHALL  NOT BE LESS THAN ONE
HUNDRED THOUSAND DOLLARS ($100,000) OR  MORE  THAN  FORTY-TWO  AND  FIVE
TENTHS  PERCENT  (.425) OF THE AMOUNT SET FORTH FOR SUCH SCHOOL DISTRICT
AS "GAP ELIMINATION ADJUSTMENT" UNDER  THE  HEADING  "2012-13  ESTIMATED
AIDS" IN THE SCHOOL AID COMPUTER LISTING PRODUCED BY THE COMMISSIONER IN
SUPPORT  OF THE ENACTED BUDGET FOR THE TWO THOUSAND TWELVE--TWO THOUSAND
THIRTEEN STATE FISCAL YEAR AND ENTITLED "SA121-3".
  F. NOTWITHSTANDING ANY OTHER LAW TO THE CONTRARY THE  GAP  ELIMINATION
ADJUSTMENT  FOR  THE  TWO THOUSAND FOURTEEN--TWO THOUSAND FIFTEEN SCHOOL
YEAR SHALL EQUAL SIXTY-SIX PERCENT (0.66) OF THE GAP ELIMINATION ADJUST-
MENT FOR SUCH DISTRICT FOR THE TWO THOUSAND THIRTEEN--TWO THOUSAND FOUR-
TEEN SCHOOL YEAR.
  G. NOTWITHSTANDING ANY OTHER LAW TO THE CONTRARY THE  GAP  ELIMINATION
ADJUSTMENT  FOR  THE  TWO  THOUSAND FIFTEEN--TWO THOUSAND SIXTEEN SCHOOL
YEAR SHALL EQUAL FIFTY PERCENT (0.50) OF THE GAP ELIMINATION  ADJUSTMENT
FOR  SUCH  DISTRICT  FOR THE TWO THOUSAND FOURTEEN--TWO THOUSAND FIFTEEN
SCHOOL YEAR.
  H. NOTWITHSTANDING ANY OTHER LAW TO THE CONTRARY THE  GAP  ELIMINATION
ADJUSTMENT  FOR  THE TWO THOUSAND SIXTEEN--TWO THOUSAND SEVENTEEN SCHOOL
YEAR SHALL EQUAL ZERO.
  S 13. Intentionally omitted.
  S 14. Intentionally omitted.
  S 15. Paragraph b of subdivision 2 of section 3612  of  the  education
law,  as  amended  by  section 10 of part A of chapter 57 of the laws of
2012, is amended to read as follows:
  b. Such grants shall be awarded to school districts, within the limits
of funds appropriated therefor, through a competitive process that takes
into consideration the magnitude of any  shortage  of  teachers  in  the
school  district, the number of teachers employed in the school district

S. 2607--C                         16

who hold temporary licenses to teach in the public schools of the state,
the number of provisionally certified teachers, the fiscal capacity  and
geographic  sparsity  of  the  district,  the number of new teachers the
school district intends to hire in the coming school year and the number
of summer in the city student internships proposed by an eligible school
district,  if applicable. Grants provided pursuant to this section shall
be used only for the purposes enumerated in this section.  Notwithstand-
ing any other provision of law to the contrary, a city  school  district
in a city having a population of one million or more inhabitants receiv-
ing a grant pursuant to this section may use no more than eighty percent
of  such  grant  funds  for any recruitment, retention and certification
costs associated with transitional certification of  teacher  candidates
for  the  school  years  two thousand one--two thousand two through [two
thousand twelve--two thousand thirteen] TWO THOUSAND THIRTEEN--TWO THOU-
SAND FOURTEEN.
  S 16. Section 3641 of the education law is amended  by  adding  a  new
subdivision 6-a to read as follows:
  6-A.  COMMUNITY  SCHOOL GRANTS.  A. WITHIN THE AMOUNT APPROPRIATED FOR
SUCH PURPOSE, SUBJECT TO A PLAN DEVELOPED BY THE STATE COUNCIL ON  CHIL-
DREN  AND FAMILIES AND APPROVED BY THE DIRECTOR OF THE BUDGET, THE STATE
COUNCIL ON CHILDREN AND FAMILIES SHALL AWARD COMPETITIVE GRANTS PURSUANT
TO THIS SUBDIVISION TO ELIGIBLE SCHOOL DISTRICTS TO IMPLEMENT, BEGINNING
IN THE TWO THOUSAND THIRTEEN--TWO THOUSAND FOURTEEN SCHOOL YEAR, A  PLAN
THAT TARGETS SCHOOL BUILDINGS AS COMMUNITY HUBS TO DELIVER CO-LOCATED OR
SCHOOL-LINKED  ACADEMIC,  HEALTH,  NUTRITION,  COUNSELING,  LEGAL AND/OR
OTHER SERVICES TO STUDENTS AND THEIR FAMILIES IN A MANNER THAT WILL LEAD
TO IMPROVED EDUCATIONAL AND OTHER OUTCOMES.
  (1) SUCH PLAN SHALL INCLUDE, BUT NOT BE LIMITED TO:
  (I) THE PROCESS BY WHICH A REQUEST FOR PROPOSALS WILL BE DEVELOPED;
  (II) THE SCORING RUBRIC BY WHICH SUCH  PROPOSALS  WILL  BE  EVALUATED,
PROVIDED  THAT  SUCH GRANTS SHALL BE AWARDED BASED ON FACTORS INCLUDING,
BUT NOT LIMITED TO: MEASURES OF SCHOOL DISTRICT NEED;  MEASURES  OF  THE
NEED  OF  STUDENTS  TO  BE  SERVED  BY EACH OF THE SCHOOL DISTRICTS; THE
SCHOOL DISTRICT'S PROPOSAL  TO  TARGET  THE  HIGHEST  NEED  SCHOOLS  AND
STUDENTS;  THE SUSTAINABILITY OF THE PROPOSED COMMUNITY SCHOOLS PROGRAM;
AND PROPOSAL QUALITY;
  (III) THE FORM AND MANNER BY WHICH APPLICATIONS WILL BE SUBMITTED;
  (IV) THE MANNER BY WHICH CALCULATION OF THE AMOUNT OF THE  AWARD  WILL
BE DETERMINED;
  (V) THE TIMELINE FOR THE ISSUANCE AND REVIEW OF APPLICATIONS; AND
  (VI)  THE  PERFORMANCE  BENCHMARKS  THAT  WILL  TRIGGER PAYMENT OF SET
PERCENTAGES OF THE TOTAL AWARD.
  (2) IN ASSESSING PROPOSAL QUALITY, THE COUNCIL SHALL TAKE INTO ACCOUNT
FACTORS INCLUDING, BUT NOT LIMITED TO:
  (I) THE EXTENT TO WHICH THE SCHOOL DISTRICT'S PROPOSAL  WOULD  PROVIDE
SUCH  COMMUNITY SERVICES THROUGH PARTNERSHIPS WITH LOCAL GOVERNMENTS AND
NON-PROFIT ORGANIZATIONS;
  (II) THE EXTENT TO WHICH THE PROPOSAL WOULD PROVIDE  FOR  DELIVERY  OF
SUCH SERVICES DIRECTLY IN SCHOOL BUILDINGS;
  (III)  THE  EXTENT TO WHICH THE PROPOSAL ARTICULATES HOW SUCH SERVICES
WOULD FACILITATE MEASURABLE IMPROVEMENT IN STUDENT AND FAMILY  OUTCOMES;
AND
  (IV)  THE  EXTENT TO WHICH THE PROPOSAL ARTICULATES AND IDENTIFIES HOW
EXISTING FUNDING STREAMS AND PROGRAMS WOULD  BE  USED  TO  PROVIDE  SUCH
COMMUNITY SERVICES.

S. 2607--C                         17

  B.  A  RESPONSE  TO  A  REQUEST  FOR PROPOSALS ISSUED PURSUANT TO THIS
SUBDIVISION MAY BE SUBMITTED BY A SINGLE SCHOOL DISTRICT OR JOINTLY BY A
CONSORTIUM OF TWO OR MORE SCHOOL DISTRICTS.
  C.  THE  AMOUNT  OF  THE  GRANT AWARD SHALL BE DETERMINED BY THE STATE
COUNCIL ON CHILDREN AND FAMILIES, CONSISTENT  WITH  THE  PLAN  DEVELOPED
PURSUANT  TO  PARAGRAPH  A  OF  THIS  SUBDIVISION, EXCEPT THAT NO SINGLE
DISTRICT MAY BE AWARDED MORE THAN FORTY PERCENT OF THE TOTAL  AMOUNT  OF
GRANT  AWARDS  MADE  PURSUANT  TO THIS SUBDIVISION; AND PROVIDED FURTHER
THAT THE MAXIMUM AWARD TO ANY INDIVIDUAL COMMUNITY SCHOOL SITE SHALL  BE
FIVE  HUNDRED  THOUSAND  DOLLARS;  AND  PROVIDED FURTHER THAT THE AMOUNT
AWARDED WILL BE PAID OUT IN SET PERCENTAGES OVER TIME  UPON  ACHIEVEMENT
OF  THE  PERFORMANCE BENCHMARKS DESCRIBED IN THE PLAN SET FORTH PURSUANT
TO PARAGRAPH A OF THIS SUBDIVISION; AND PROVIDED FURTHER  THAT  NONE  OF
THE  GRANTS AWARDED PURSUANT TO THIS SUBDIVISION MAY BE USED TO SUPPLANT
EXISTING FUNDING.
  D. NOTWITHSTANDING ANY STATE LAW OR REGULATION TO  THE  CONTRARY,  ANY
EXECUTIVE  AGENCY HEAD THAT IS A MEMBER OF THE STATE COUNCIL ON CHILDREN
AND FAMILY SERVICES IS DIRECTED, TO THE EXTENT ALLOWED UNDER FEDERAL LAW
AND REGULATION,  TO  PRIORITIZE  APPLICATIONS  THAT  CO-LOCATE  OR  LINK
PROGRAMMING  RELEVANT  TO  THE PROVISION OF SERVICES IDENTIFIED IN PARA-
GRAPH A OF THIS SUBDIVISION.
  S 17. Intentionally omitted.
  S 18. Intentionally omitted.
  S 19. Intentionally omitted.
  S 20. Intentionally omitted.
  S 21. Subdivision 6 of section 4402 of the education law,  as  amended
by section 12 of part A of chapter 57 of the laws of 2012, is amended to
read as follows:
  6.  Notwithstanding any other law, rule or regulation to the contrary,
the board of education of a city school district with  a  population  of
one  hundred twenty-five thousand or more inhabitants shall be permitted
to establish  maximum  class  sizes  for  special  classes  for  certain
students  with  disabilities  in  accordance with the provisions of this
subdivision. For the purpose of obtaining relief from any adverse fiscal
impact from under-utilization of special education resources due to  low
student  attendance  in  special  education  classes  at  the middle and
secondary level as determined by the commissioner, such boards of educa-
tion shall, during the school years nineteen hundred  ninety-five--nine-
ty-six  through  June thirtieth, two thousand [thirteen] FOURTEEN of the
[two thousand twelve--two thousand thirteen] TWO THOUSAND  THIRTEEN--TWO
THOUSAND  FOURTEEN school year, be authorized to increase class sizes in
special classes containing students with disabilities whose  age  ranges
are  equivalent  to those of students in middle and secondary schools as
defined by the commissioner for purposes of this section by  up  to  but
not to exceed one and two tenths times the applicable maximum class size
specified  in  regulations of the commissioner rounded up to the nearest
whole number, provided that in a city school  district  having  a  popu-
lation of one million or more, classes that have a maximum class size of
fifteen  may  be increased by no more than one student and provided that
the projected average class size shall not exceed the maximum  specified
in  the  applicable  regulation,  provided that such authorization shall
terminate on June thirtieth, two thousand. Such authorization  shall  be
granted  upon  filing  of a notice by such a board of education with the
commissioner stating the board's intention to increase such class  sizes
and  a  certification  that the board will conduct a study of attendance
problems at the secondary level and will implement a  corrective  action

S. 2607--C                         18

plan  to  increase the rate of attendance of students in such classes to
at least the rate for students attending regular  education  classes  in
secondary  schools of the district. Such corrective action plan shall be
submitted  for  approval by the commissioner by a date during the school
year in which such board increases class sizes as provided  pursuant  to
this  subdivision  to  be  prescribed by the commissioner. Upon at least
thirty days notice to the board of education, after  conclusion  of  the
school year in which such board increases class sizes as provided pursu-
ant  to this subdivision, the commissioner shall be authorized to termi-
nate such authorization upon a finding that  the  board  has  failed  to
develop or implement an approved corrective action plan.
  S  22.  The education law is amended by adding a new section 4403-a to
read as follows:
  S 4403-A. WAIVERS FROM CERTAIN DUTIES. 1.  A  LOCAL  SCHOOL  DISTRICT,
APPROVED PRIVATE SCHOOL OR BOARD OF COOPERATIVE EDUCATIONAL SERVICES MAY
SUBMIT  AN APPLICATION FOR A WAIVER FROM ANY REQUIREMENT IMPOSED ON SUCH
DISTRICT, SCHOOL OR BOARD OF COOPERATIVE EDUCATIONAL  SERVICES  PURSUANT
TO SECTION FORTY-FOUR HUNDRED TWO OR SECTION FORTY-FOUR HUNDRED THREE OF
THIS  ARTICLE,  AND  REGULATIONS  PROMULGATED THEREUNDER, FOR A SPECIFIC
SCHOOL YEAR.  SUCH APPLICATION MUST BE SUBMITTED AT LEAST SIXTY DAYS  IN
ADVANCE  OF THE PROPOSED DATE ON WHICH THE WAIVER WOULD BE EFFECTIVE AND
SHALL BE IN A FORM PRESCRIBED BY THE COMMISSIONER.
  2. BEFORE SUBMITTING AN APPLICATION FOR A  WAIVER,  THE  LOCAL  SCHOOL
DISTRICT,  APPROVED  PRIVATE  SCHOOL OR BOARD OF COOPERATIVE EDUCATIONAL
SERVICES SHALL PROVIDE NOTICE OF THE PROPOSED WAIVER TO THE  PARENTS  OR
PERSONS  IN PARENTAL RELATIONSHIP TO THE STUDENTS THAT WOULD BE IMPACTED
BY THE WAIVER IF GRANTED.  SUCH NOTICE SHALL BE IN  A  FORM  AND  MANNER
THAT  WILL ENSURE THAT SUCH PARENTS AND PERSONS IN PARENTAL RELATIONSHIP
WILL BE AWARE OF ALL RELEVANT CHANGES THAT WOULD OCCUR UNDER THE WAIVER,
AND SHALL INCLUDE INFORMATION ON THE FORM,  MANNER  AND  DATE  BY  WHICH
PARENTS  MAY  SUBMIT  WRITTEN COMMENTS ON THE PROPOSED WAIVER. THE LOCAL
SCHOOL DISTRICT, APPROVED PRIVATE SCHOOL, OR BOARD OF COOPERATIVE EDUCA-
TIONAL SERVICES SHALL PROVIDE AT LEAST SIXTY DAYS FOR SUCH  PARENTS  AND
PERSONS  IN  PARENTAL RELATIONSHIP TO SUBMIT WRITTEN COMMENTS, AND SHALL
INCLUDE IN THE WAIVER APPLICATION SUBMITTED TO THE COMMISSIONER PURSUANT
TO SUBDIVISION ONE OF THIS SECTION ANY WRITTEN  COMMENTS  RECEIVED  FROM
SUCH PARENTS OR PERSONS IN PARENTAL RELATION TO SUCH STUDENTS.
  3. THE COMMISSIONER MAY GRANT A WAIVER FROM ANY REQUIREMENT IMPOSED ON
A LOCAL SCHOOL DISTRICT, APPROVED PRIVATE SCHOOL OR BOARD OF COOPERATIVE
EDUCATIONAL  SERVICES  PURSUANT  TO  SECTION  FORTY-FOUR  HUNDRED TWO OR
SECTION FORTY-FOUR HUNDRED THREE OF THIS ARTICLE, UPON  A  FINDING  THAT
SUCH WAIVER WILL ENABLE A LOCAL SCHOOL DISTRICT, APPROVED PRIVATE SCHOOL
OR  BOARD OF COOPERATIVE EDUCATIONAL SERVICES TO IMPLEMENT AN INNOVATIVE
SPECIAL EDUCATION PROGRAM THAT IS  CONSISTENT  WITH  APPLICABLE  FEDERAL
REQUIREMENTS,  AND WILL ENHANCE STUDENT ACHIEVEMENT AND/OR OPPORTUNITIES
FOR PLACEMENT IN REGULAR CLASSES AND PROGRAMS. IN MAKING  SUCH  DETERMI-
NATION,  THE  COMMISSIONER  SHALL  CONSIDER ANY COMMENTS RECEIVED BY THE
LOCAL SCHOOL DISTRICT, APPROVED PRIVATE SCHOOL OR BOARD  OF  COOPERATIVE
EDUCATIONAL SERVICES FROM PARENTS OR PERSONS IN PARENTAL RELATION TO THE
STUDENTS THAT WOULD BE DIRECTLY AFFECTED BY THE WAIVER IF GRANTED.
  4.  ANY  LOCAL  SCHOOL  DISTRICT,  APPROVED PRIVATE SCHOOL OR BOARD OF
COOPERATIVE EDUCATIONAL SERVICES GRANTED A WAIVER SHALL SUBMIT AN ANNUAL
REPORT TO THE COMMISSIONER REGARDING THE OPERATION AND EVALUATION OF THE
PROGRAM NO LATER THAN THIRTY DAYS AFTER THE END OF EACH SCHOOL YEAR  FOR
WHICH A WAIVER IS GRANTED.
  S 23. Intentionally omitted.

S. 2607--C                         19

  S  24.  Subparagraph  (ii) of paragraph c of subdivision 11 of section
4410 of the education law, as amended by chapter  205  of  the  laws  of
2009, is amended to read as follows:
  (ii)  Payments  made pursuant to this section by a municipality shall,
upon conclusion of the July first to  June  thirtieth  school  year  for
which  such  payment  was  made,  be subject to audit against the actual
difference between such audited expenditures and revenues.  The  munici-
pality  shall  submit  the results of any such audit to the commissioner
and the commissioner of social services, if appropriate, for review and,
if warranted, adjustment of the tuition and/or maintenance rates.    The
municipality is authorized to recover overpayments made to a provider of
special  services  or programs pursuant to this section as determined by
the commissioner or the commissioner of health based upon their  adjust-
ment of a tuition and/or maintenance rate, PROVIDED THAT FOR PURPOSES OF
MAKING SUCH ADJUSTMENT AND RECOVERY, THE MUNICIPALITY SHALL BE DEEMED TO
HAVE  PAID  ONE  HUNDRED PERCENT OF THE DISALLOWED COSTS.  Such recovery
may be accomplished by withholding such amount from any moneys  due  the
provider in the current year, or by direct reimbursement.
  S 25. Intentionally omitted.
  S 26. Section 7 of chapter 472 of the laws of 1998 amending the educa-
tion  law  relating to the lease of school buses by school districts, as
amended by section 71 of part A of chapter 58 of the laws  of  2011,  is
amended to read as follows:
  S  7.  This  act shall take effect September 1, 1998, and shall expire
and be deemed repealed September 1, [2013] 2015.
  S 27. Subdivision b of section 2 of chapter 756 of the laws  of  1992,
relating  to funding a program for work force education conducted by the
consortium for worker education in New York city, as amended by  section
13  of  part  A of chapter 57 of the laws of 2012, is amended to read as
follows:
  b. Reimbursement for programs approved in accordance with  subdivision
a  of  this  section  [for the 2009-10 school year shall not exceed 64.1
percent of the lesser of such approvable costs per contact hour or elev-
en dollars and fifty cents per  contact  hour,  reimbursement]  for  the
2010--2011  school  year  shall not exceed 62.6 percent of the lesser of
such approvable costs per contact hour or twelve dollars and five  cents
per contact hour, reimbursement for the 2011--2012 school year shall not
exceed  62.9  percent of the lesser of such approvable costs per contact
hour or twelve  dollars  and  fifteen  cents  per  contact  hour,  [and]
reimbursement  for  the  2012--2013  school  year  shall not exceed 63.3
percent of the lesser of such  approvable  costs  per  contact  hour  or
twelve dollars and thirty-five cents per contact hour, AND REIMBURSEMENT
FOR  THE  2013--2014  SCHOOL  YEAR  SHALL NOT EXCEED 62.2 PERCENT OF THE
LESSER OF SUCH APPROVABLE COSTS PER CONTACT HOUR OR TWELVE  DOLLARS  AND
FIFTY  CENTS  PER  CONTACT  HOUR,  where a contact hour represents sixty
minutes of instruction services provided to an eligible adult.  Notwith-
standing any other provision of law to the contrary,  [for  the  2009-10
school  year  such  contact  hours  shall  not  exceed one million seven
hundred sixty--three thousand  nine  hundred  seven  (1,763,907)  hours;
whereas]  for  the  2010--2011  school year such contact hours shall not
exceed one million five hundred twenty-five thousand one  hundred  nine-
ty-eight  (1,525,198) hours; whereas for the 2011--2012 school year such
contact hours shall not exceed one million seven  hundred  one  thousand
five  hundred  seventy  (1,701,570)  hours;  whereas  for the 2012--2013
school year such contact hours shall not exceed one million six  hundred
sixty-four  thousand  five hundred thirty-two (1,664,532) hours; WHEREAS

S. 2607--C                         20

FOR THE 2013--2014 SCHOOL YEAR SUCH CONTACT HOURS SHALL NOT  EXCEED  ONE
MILLION  FOUR  HUNDRED  EIGHTY THOUSAND AND FIFTY-ONE (1,480,051) HOURS.
Notwithstanding any other provision of law to the contrary,  the  appor-
tionment calculated for the city school district of the city of New York
pursuant to subdivision 11 of section 3602 of the education law shall be
computed  as if such contact hours provided by the consortium for worker
education, not to exceed the contact hours set forth herein, were eligi-
ble for aid in accordance with the provisions of such subdivision 11  of
section 3602 of the education law.
  S  28. Section 4 of chapter 756 of the laws of 1992, relating to fund-
ing a program for work force education conducted by the  consortium  for
worker  education  in New York city, is amended by adding a new subdivi-
sion r to read as follows:
  R. THE PROVISIONS OF  THIS  SUBDIVISION  SHALL  NOT  APPLY  AFTER  THE
COMPLETION  OF PAYMENTS FOR THE 2013--2014 SCHOOL YEAR.  NOTWITHSTANDING
ANY INCONSISTENT PROVISIONS OF LAW, THE COMMISSIONER OF EDUCATION  SHALL
WITHHOLD  A  PORTION  OF EMPLOYMENT PREPARATION EDUCATION AID DUE TO THE
CITY SCHOOL DISTRICT OF THE CITY OF NEW YORK TO SUPPORT A PORTION OF THE
COSTS OF THE WORK FORCE EDUCATION PROGRAM. SUCH MONEYS SHALL BE CREDITED
TO THE ELEMENTARY AND SECONDARY EDUCATION FUND-LOCAL ASSISTANCE  ACCOUNT
AND SHALL NOT EXCEED THIRTEEN MILLION DOLLARS ($13,000,000).
  S  29. Section 6 of chapter 756 of the laws of 1992, relating to fund-
ing a program for work force education conducted by the  consortium  for
worker education in New York city, as amended by section 15 of part A of
chapter 57 of the laws of 2012, is amended to read as follows:
  S  6.  This  act  shall  take effect July 1, 1992, and shall be deemed
repealed on June 30, [2013] 2014.
  S 30. Subdivision 1 of section 167 of chapter 169 of the laws of 1994,
relating to certain provisions related to the 1994-95 state  operations,
aid to localities, capital projects and debt service budgets, as amended
by section 17 of part A of chapter 57 of the laws of 2012, is amended to
read as follows:
  1.  Sections  one  through seventy of this act shall be deemed to have
been in full force and effect as of April  1,  1994  provided,  however,
that  sections  one,  two,  twenty-four,  twenty-five  and  twenty-seven
through seventy of this act shall expire and be deemed repealed on March
31, 2000; provided, however, that section twenty of this act shall apply
only to hearings commenced prior to  September  1,  1994,  and  provided
further  that  section twenty-six of this act shall expire and be deemed
repealed on March 31, 1997; and  provided  further  that  sections  four
through fourteen, sixteen, and eighteen, nineteen and twenty-one through
twenty-one-a  of  this  act shall expire and be deemed repealed on March
31, 1997; and provided further that sections three, fifteen,  seventeen,
twenty,  twenty-two  and  twenty-three  of  this act shall expire and be
deemed repealed on March 31, [2014] 2015.
  S 31. Subdivisions 22 and 24 of section 140 of chapter 82 of the  laws
of  1995,  amending the education law and certain other laws relating to
state aid to school districts and the appropriation  of  funds  for  the
support  of government, as amended by section 18 of part A of chapter 57
of the laws of 2012, are amended to read as follows:
  (22) sections one hundred twelve, one hundred  thirteen,  one  hundred
fourteen,  one hundred fifteen and one hundred sixteen of this act shall
take effect on July 1, 1995; provided, however, that section one hundred
thirteen of this act shall remain in full force and effect until July 1,
[2013] 2014 at which time it shall be deemed repealed;

S. 2607--C                         21

  (24) sections one hundred eighteen through one hundred thirty of  this
act  shall  be deemed to have been in full force and effect on and after
July 1, 1995; provided further, however, that the amendments made pursu-
ant to section one hundred nineteen of this act shall be  deemed  to  be
repealed on and after July 1, [2013] 2014;
  S  32.  Section  12  of  chapter 147 of the laws of 2001, amending the
education law relating to conditional appointment  of  school  district,
charter school or BOCES employees, as amended by section 20 of part A of
chapter 57 of the laws of 2012, is amended to read as follows:
  S  12.  This  act shall take effect on the same date as chapter 180 of
the laws of 2000 takes effect, and shall expire July 1, [2013] 2014 when
upon such date the provisions of this act shall be deemed repealed.
  S 33. Section 4 of chapter 425 of  the  laws  of  2002,  amending  the
education  law  relating  to  the  provision of supplemental educational
services, attendance at a safe  public  school  and  the  suspension  of
pupils  who  bring  a  firearm  to  or possess a firearm at a school, as
amended by section 21 of part A of chapter 57 of the laws  of  2012,  is
amended to read as follows:
  S  4.  This act shall take effect July 1, 2002 and shall expire and be
deemed repealed June 30, [2013] 2014.
  S 34. Section 5 of chapter 101 of  the  laws  of  2003,  amending  the
education law relating to implementation of the No Child Left Behind Act
of 2001, as amended by section 22 of part A of chapter 57 of the laws of
2012, is amended to read as follows:
  S  5.  This  act shall take effect immediately; provided that sections
one, two and three of this act shall expire and be  deemed  repealed  on
June 30, [2013] 2014.
  S 35. School bus driver training. In addition to apportionments other-
wise  provided  by section 3602 of the education law, for aid payable in
the 2013--2014 school year, the commissioner of education shall allocate
school bus driver training grants to  school  districts  and  boards  of
cooperative  education  services pursuant to sections 3650-a, 3650-b and
3650-c of the education law, or for contracts directly with not-for-pro-
fit educational organizations for the purposes  of  this  section.  Such
payments  shall  not exceed four hundred thousand dollars ($400,000) per
school year.
  S 36. Support of public libraries. The  moneys  appropriated  for  the
support  of public libraries by the chapter of the laws of 2013 enacting
the aid to localities budget shall be  apportioned  for  the  2013--2014
state  fiscal  year  in  accordance with the provisions of sections 271,
272, 273, 282, 284, and 285 of the  education  law  as  amended  by  the
provisions of this chapter and the provisions of this act, provided that
library  construction aid pursuant to section 273-a of the education law
shall not be payable from the appropriations for the support  of  public
libraries  and  provided  further  that  no  library,  library system or
program, as defined by the commissioner of education, shall receive less
total system or program aid than it received  for  the  year  2001--2002
except as a result of a reduction adjustment necessary to conform to the
appropriations for support of public libraries.
  Notwithstanding  any other provision of law to the contrary the moneys
appropriated for the support of public libraries for the year 2013--2014
by a chapter of the laws of 2013 enacting the aid to  localities  budget
shall  fulfill  the state's obligation to provide such aid and, pursuant
to a plan developed by the commissioner of education and approved by the
director of the budget, the aid payable to libraries and library systems
pursuant to such appropriations  shall  be  reduced  proportionately  to

S. 2607--C                         22

assure  that  the  total amount of aid payable does not exceed the total
appropriations for such purpose.
  S  37.  Special apportionment for salary expenses.  a. Notwithstanding
any other provision of law, upon  application  to  the  commissioner  of
education,  not  sooner  than  the first day of the second full business
week of June, 2014 and not later than the last day  of  the  third  full
business  week  of  June, 2014, a school district eligible for an appor-
tionment pursuant to section 3602 of the education law shall be eligible
to receive an apportionment pursuant to this  section,  for  the  school
year  ending June 30, 2014, for salary expenses incurred between April 1
and June 30, 2014 and such apportionment shall not exceed the sum of (i)
the deficit reduction assessment of  1990--1991  as  determined  by  the
commissioner  of  education, pursuant to paragraph f of subdivision 1 of
section 3602 of the education law, as in effect through June  30,  1993,
plus  (ii)  186  percent  of such amount for a city school district in a
city with a population in excess of 1,000,000  inhabitants,  plus  (iii)
209  percent  of such amount for a city school district in a city with a
population of more than 195,000 inhabitants and less than 219,000 inhab-
itants according to the latest federal census, plus  (iv)  the  net  gap
elimination adjustment for 2010--2011, as determined by the commissioner
of  education  pursuant  to chapter 53 of the laws of 2010, plus (v) the
gap elimination adjustment for 2011--2012 as determined by  the  commis-
sioner  of  education  pursuant to subdivision 17 of section 3602 of the
education law, and provided further that such  apportionment  shall  not
exceed  such salary expenses. Such application shall be made by a school
district, after the board of education or trustees have adopted a resol-
ution to do so and in the case of a city school district in a city  with
a  population in excess of 125,000 inhabitants, with the approval of the
mayor of such city.
  b. The claim for an apportionment to be  paid  to  a  school  district
pursuant  to  subdivision  a  of  this section shall be submitted to the
commissioner of education on a form prescribed  for  such  purpose,  and
shall  be  payable upon determination by such commissioner that the form
has been submitted as prescribed. Such approved amounts shall be payable
on the same day in September of the school year following  the  year  in
which  application  was  made as funds provided pursuant to subparagraph
(4) of paragraph b of subdivision 4 of section 92-c of the state finance
law, on the audit and warrant  of  the  state  comptroller  on  vouchers
certified  or  approved  by  the commissioner of education in the manner
prescribed by law from moneys in the state lottery  fund  and  from  the
general  fund  to  the  extent that the amount paid to a school district
pursuant to this section exceeds the amount, if  any,  due  such  school
district pursuant to subparagraph (2) of paragraph a of subdivision 1 of
section  3609-a  of  the  education law in the school year following the
year in which application was made.
  c. Notwithstanding the provisions of section 3609-a of  the  education
law, an amount equal to the amount paid to a school district pursuant to
subdivisions  a  and  b of this section shall first be deducted from the
following payments due  the  school  district  during  the  school  year
following  the  year  in which application was made pursuant to subpara-
graphs (1), (2), (3), (4) and (5) of paragraph a  of  subdivision  1  of
section  3609-a of the education law in the following order: the lottery
apportionment payable pursuant to subparagraph  (2)  of  such  paragraph
followed by the fixed fall payments payable pursuant to subparagraph (4)
of  such  paragraph  and then followed by the district's payments to the
teachers' retirement system pursuant to subparagraph (1) of  such  para-

S. 2607--C                         23

graph, and any remainder to be deducted from the individualized payments
due  the  district  pursuant to paragraph b of such subdivision shall be
deducted on a chronological basis starting with the earliest payment due
the district.
  S  38. Special apportionment for public pension accruals. a.  Notwith-
standing any other provision of law, upon application to the commission-
er of education, not later than June 30, 2014, a school district  eligi-
ble  for  an apportionment pursuant to section 3602 of the education law
shall be eligible to receive an apportionment pursuant to this  section,
for  the  school  year ending June 30, 2014 and such apportionment shall
not exceed the  additional  accruals  required  to  be  made  by  school
districts  in the 2004--2005 and 2005--2006 school years associated with
changes for such public pension liabilities. The amount  of  such  addi-
tional  accrual  shall  be certified to the commissioner of education by
the president of the board of education or the trustees or, in the  case
of  a  city  school  district  in  a city with a population in excess of
125,000 inhabitants, the mayor of such city. Such application  shall  be
made by a school district, after the board of education or trustees have
adopted  a resolution to do so and in the case of a city school district
in a city with a population in excess of 125,000 inhabitants,  with  the
approval of the mayor of such city.
  b.  The  claim  for  an  apportionment to be paid to a school district
pursuant to subdivision a of this section  shall  be  submitted  to  the
commissioner  of  education  on  a form prescribed for such purpose, and
shall be payable upon determination by such commissioner that  the  form
has been submitted as prescribed. Such approved amounts shall be payable
on  the  same  day in September of the school year following the year in
which application was made as funds provided  pursuant  to  subparagraph
(4) of paragraph b of subdivision 4 of section 92-c of the state finance
law,  on  the  audit  and  warrant  of the state comptroller on vouchers
certified or approved by the commissioner of  education  in  the  manner
prescribed  by  law  from  moneys in the state lottery fund and from the
general fund to the extent that the amount paid  to  a  school  district
pursuant  to  this  section  exceeds the amount, if any, due such school
district pursuant to subparagraph (2) of paragraph a of subdivision 1 of
section 3609-a of the education law in the  school  year  following  the
year in which application was made.
  c.  Notwithstanding  the provisions of section 3609-a of the education
law, an amount equal to the amount paid to a school district pursuant to
subdivisions a and b of this section shall first be  deducted  from  the
following  payments  due  the  school  district  during  the school year
following the year in which application was made  pursuant  to  subpara-
graphs  (1),  (2),  (3),  (4) and (5) of paragraph a of subdivision 1 of
section 3609-a of the education law in the following order: the  lottery
apportionment  payable  pursuant  to  subparagraph (2) of such paragraph
followed by the fixed fall payments payable pursuant to subparagraph (4)
of such paragraph and then followed by the district's  payments  to  the
teachers'  retirement  system pursuant to subparagraph (1) of such para-
graph, and any remainder to be deducted from the individualized payments
due the district pursuant to paragraph b of such  subdivision  shall  be
deducted on a chronological basis starting with the earliest payment due
the district.
  S  39.  a.  Notwithstanding  any  other law, rule or regulation to the
contrary, any moneys appropriated to the state education department  may
be  suballocated  to  other state departments or agencies, as needed, to
accomplish the intent of the specific appropriations contained therein.

S. 2607--C                         24

  b. Notwithstanding any other law, rule or regulation to the  contrary,
moneys  appropriated  to the state education department from the general
fund/aid to localities,  local  assistance  account-001,  shall  be  for
payment  of  financial  assistance,  as scheduled, net of disallowances,
refunds, reimbursement and credits.
  c.  Notwithstanding any other law, rule or regulation to the contrary,
all moneys appropriated to the state education  department  for  aid  to
localities shall be available for payment of aid heretofore or hereafter
to  accrue  and may be suballocated to other departments and agencies to
accomplish the intent of the specific appropriations contained therein.
  d. Notwithstanding any other law, rule or regulation to the  contrary,
moneys  appropriated  to  the  state  education  department  for general
support for public schools may be interchanged with any  other  item  of
appropriation  for general support for public schools within the general
fund local assistance account office of  prekindergarten  through  grade
twelve education programs.
  S 40. Notwithstanding the provision of any law, rule, or regulation to
the  contrary,  the  city school district of the city of Rochester, upon
the consent of the board of  cooperative  educational  services  of  the
supervisory  district  serving  its  geographic region may purchase from
such board for the 2013--2014 school year,  as  a  non-component  school
district, services required by article 19 of the education law.
  S  41.  The amounts specified in this section shall be a setaside from
the state funds which each such district is  receiving  from  the  total
foundation aid:
  a.  for  the  purpose  of the development, maintenance or expansion of
magnet schools or magnet school programs for the 2013--2014 school year.
To the city school district of the city of New York there shall be  paid
forty-eight   million   one   hundred   seventy-five   thousand  dollars
($48,175,000) including five hundred thousand dollars ($500,000) for the
Andrew Jackson High School; to the Buffalo city school  district,  twen-
ty-one  million  twenty-five  thousand  dollars  ($21,025,000);  to  the
Rochester city school district, fifteen million  dollars  ($15,000,000);
to   the   Syracuse  city  school  district,  thirteen  million  dollars
($13,000,000); to the Yonkers city school district,  forty-nine  million
five hundred thousand dollars ($49,500,000); to the Newburgh city school
district,   four   million   six  hundred  forty-five  thousand  dollars
($4,645,000); to the Poughkeepsie city school district, two million four
hundred seventy-five thousand dollars ($2,475,000); to the Mount  Vernon
city  school  district,  two  million  dollars  ($2,000,000); to the New
Rochelle city school district, one million  four  hundred  ten  thousand
dollars  ($1,410,000);  to  the  Schenectady  city  school district, one
million eight hundred thousand dollars ($1,800,000); to the Port Chester
city school district, one million one  hundred  fifty  thousand  dollars
($1,150,000);  to  the  White  Plains city school district, nine hundred
thousand dollars ($900,000); to the Niagara Falls city school  district,
six  hundred  thousand  dollars  ($600,000);  to  the Albany city school
district,  three   million   five   hundred   fifty   thousand   dollars
($3,550,000);  to  the  Utica  city school district, two million dollars
($2,000,000); to the Beacon city school district, five hundred sixty-six
thousand dollars ($566,000); to the  Middletown  city  school  district,
four  hundred  thousand  dollars  ($400,000); to the Freeport union free
school district, four hundred thousand dollars ($400,000); to the Green-
burgh  central  school  district,   three   hundred   thousand   dollars
($300,000);  to  the Amsterdam city school district, eight hundred thou-
sand dollars ($800,000); to the  Peekskill  city  school  district,  two

S. 2607--C                         25

hundred  thousand  dollars  ($200,000);  and  to  the Hudson city school
district, four hundred thousand dollars ($400,000).
  b.  notwithstanding the provisions of subdivision a of this section, a
school district receiving a grant pursuant to this section may use  such
grant  funds  for:  (i) any instructional or instructional support costs
associated with the operation of a magnet school; or (ii)  any  instruc-
tional  or instructional support costs associated with implementation of
an alternative approach to reduction of racial isolation and/or enhance-
ment of the instructional program and raising of standards in elementary
and secondary schools of school  districts  having  substantial  concen-
trations  of  minority students. The commissioner of education shall not
be authorized to withhold magnet grant funds from a school district that
used such funds in accordance with this paragraph,  notwithstanding  any
inconsistency with a request for proposals issued by such commissioner.
  c.  for  the  purpose of attendance improvement and dropout prevention
for the 2013--2014 school year, for any city school district in  a  city
having  a  population of more than one million, the setaside for attend-
ance improvement and dropout prevention shall equal the amount set aside
in the base year. For the 2013--2014 school year, it is further provided
that any city school district in a city having a population of more than
one million shall allocate at least one-third of any increase from  base
year  levels  in  funds  set  aside pursuant to the requirements of this
subdivision to  community-based  organizations.  Any  increase  required
pursuant to this subdivision to community-based organizations must be in
addition to allocations provided to community-based organizations in the
base year.
  d.  for the purpose of teacher support for the 2013--2014 school year:
to the city school district of the city of New York,  sixty-two  million
seven  hundred seven thousand dollars ($62,707,000); to the Buffalo city
school district, one million seven hundred  forty-one  thousand  dollars
($1,741,000);  to the Rochester city school district, one million seven-
ty-six  thousand  dollars  ($1,076,000);  to  the  Yonkers  city  school
district,   one   million   one  hundred  forty-seven  thousand  dollars
($1,147,000); and to the Syracuse city school  district,  eight  hundred
nine  thousand  dollars ($809,000). All funds made available to a school
district pursuant to this subdivision shall be distributed among  teach-
ers  including prekindergarten teachers and teachers of adult vocational
and academic subjects in accordance with this subdivision and  shall  be
in  addition  to  salaries  heretofore  or  hereafter negotiated or made
available; provided, however, that all  funds  distributed  pursuant  to
this  section  for  the  current year shall be deemed to incorporate all
funds distributed pursuant to former subdivision 27 of section  3602  of
the  education law for prior years. In school districts where the teach-
ers are represented by certified or recognized  employee  organizations,
all salary increases funded pursuant to this section shall be determined
by separate collective negotiations conducted pursuant to the provisions
and  procedures  of article 14 of the civil service law, notwithstanding
the existence of a negotiated agreement between a school district and  a
certified or recognized employee organization.
  S  42.  Subdivision 8 of section 4401 of the education law, as amended
by chapter 57 of the laws of 1993, is amended to read as follows:
  8. "School district basic contribution" shall mean an amount equal  to
the  total  school district local property and non-property tax levy for
the base year divided by the base year public school district enrollment
of resident pupils of the school district as defined in paragraph  n  of
subdivision  one  of  section  thirty-six  hundred  two of this chapter,

S. 2607--C                         26

EXCEPT THAT FOR THE TWO THOUSAND TWELVE--TWO  THOUSAND  THIRTEEN  SCHOOL
YEAR AND THEREAFTER, SUCH TAX LEVY FOR THE BASE YEAR SHALL BE DIVIDED BY
THE  BASE YEAR PUPIL COUNT AS DETERMINED BY THE COMMISSIONER PURSUANT TO
PARAGRAPH F OF SUBDIVISION TWO OF SECTION THIRTY-SIX HUNDRED TWO OF THIS
CHAPTER  FOR  ANY  SCHOOL  DISTRICT IN WHICH SUCH BASE YEAR PUPIL COUNT,
EXCLUDING PUPILS ATTENDING A CENTRAL HIGH SCHOOL DISTRICT,  EXCEEDS  ONE
HUNDRED  AND  FIFTY  PERCENT  OF  SUCH  BASE YEAR PUBLIC SCHOOL DISTRICT
ENROLLMENT OF RESIDENT PUPILS AS DEFINED IN PARAGRAPH N  OF  SUBDIVISION
ONE OF SECTION THIRTY-SIX HUNDRED TWO OF THIS CHAPTER.
  S 43. Severability. The provisions of this act shall be severable, and
if  the  application  of  any  clause, sentence, paragraph, subdivision,
section or part of this act to  any  person  or  circumstance  shall  be
adjudged  by  any  court  of  competent jurisdiction to be invalid, such
judgment shall not necessarily affect, impair or invalidate the applica-
tion of any such clause, sentence, paragraph, subdivision, section, part
of this act or remainder thereof, as the  case  may  be,  to  any  other
person  or  circumstance,  but shall be confined in its operation to the
clause,  sentence,  paragraph,  subdivision,  section  or  part  thereof
directly  involved  in the controversy in which such judgment shall have
been rendered.
  S 44. This act shall take effect immediately, and shall be  deemed  to
have been in full force and effect on and after April 1, 2013, provided,
however, that:
  1. Sections five and six of this act shall take effect immediately and
shall  be deemed to have been in full force and effect on and after July
1, 2010; provided, further, that the  amendments  to  subdivision  1  of
section 2856 of the education law made by section five of this act shall
be  subject to the expiration and reversion of such subdivision pursuant
to subdivision d of section 27 of chapter 378 of the laws  of  2007,  as
amended,  when  upon such date the provisions of section six of this act
shall take effect;
  2. Section nine of this act shall take effect July 1, 2014;
  3. Sections one, eleven, twelve,  fifteen,  twenty-one,  twenty-seven,
twenty-eight,  thirty-five,  forty-one  and  forty-two of this act shall
take effect July 1, 2013;
  4. The amendments to subdivision 6 of section 4402  of  the  education
law  made  by section twenty-one of this act shall not affect the repeal
of such subdivision and shall be deemed repealed therewith;
  5. The amendments to chapter 756 of the  laws  of  1992,  relating  to
funding a program for work force education conducted by a consortium for
worker  education  in  New  York city, made by sections twenty-seven and
twenty-eight of this act shall not affect the repeal of such chapter and
shall be deemed repealed therewith; and
  6. Section thirty-nine of this act shall expire and be deemed repealed
June 30, 2014.

                                PART A-1

  Section 1. Paragraph bb of subdivision 1 of section 3602 of the educa-
tion law, as added by section 25 of part A of chapter 58 of the laws  of
2011, is amended to read as follows:
  bb. "Personal income growth index" shall mean (1) for the two thousand
twelve--two  thousand thirteen school year, the average of the quotients
for each year in the period commencing with the two  thousand  five--two
thousand six state fiscal year and finishing with the two thousand nine-
-two  thousand ten state fiscal year of the total personal income of the

S. 2607--C                         27

state for each such year divided by the total  personal  income  of  the
state for the immediately preceding state fiscal year, but not less than
one  and (2) for the two thousand thirteen--two thousand fourteen school
year  [and  each  school  year  thereafter],  the  quotient of the total
personal income of the state for the state fiscal year one year prior to
the state fiscal year in which the base year commenced  divided  by  the
total  personal  income of the state for the immediately preceding state
fiscal year, but not less than one AND (3) FOR THE  TWO  THOUSAND  FOUR-
TEEN--TWO  THOUSAND FIFTEEN SCHOOL YEAR AND EACH SCHOOL YEAR THEREAFTER,
THE GREATER OF (I) THE AVERAGE, ROUNDED TO THREE DECIMAL PLACES, OF  THE
QUOTIENTS  OF  THE  TOTAL  PERSONAL  INCOME  OF THE STATE FOR EACH STATE
FISCAL YEAR IN THE TEN-YEAR PERIOD FINISHING WITH THE STATE FISCAL  YEAR
TWO  YEARS  PRIOR  TO  THE  STATE  FISCAL  YEAR  IN  WHICH THE BASE YEAR
COMMENCED DIVIDED BY THE TOTAL PERSONAL INCOME  OF  THE  STATE  FOR  THE
IMMEDIATELY  PRECEDING STATE FISCAL YEAR, ROUNDED TO THREE DECIMAL PLAC-
ES, OR (II) ONE.
  S 2. Clauses (c) and (d) of subparagraph 5 of paragraph e of  subdivi-
sion  6  of  section 3602 of the education law, clause (c) as amended by
section 1 of part F of chapter 383 of the laws of 2001 and clause (d) as
amended by section 30 of part A of chapter 58 of the laws of  2011,  are
amended to read as follows:
  (c) [Periodically, but at least at the end of each ten year segment of
an assumed amortization established pursuant to subparagraphs two, three
and  four of this paragraph, the commissioner shall revise the remaining
scheduled semiannual payments of the outstanding principal and  interest
of  such  assumed amortization, other than the outstanding principal and
interest of refunding bonds where the district can  demonstrate  to  the
commissioner that it is precluded by state or federal law, rule or regu-
lation  from  refinancing such outstanding principal and interest, based
on the interest rates applicable for the current year if the  difference
of  the  interest  rate  upon which the existing assumed amortization is
based minus such interest rate applicable for the current year is  equal
to or greater than one quarter of one-one hundredth.
  (d)]  Notwithstanding any other law, rule or regulation to the contra-
ry, any interest rate calculated under this subdivision shall take  into
account  any federal subsidy payments made or to be made to the applica-
ble school district or an issuer on behalf of the school district  under
the  terms  of  a  federally  authorized  debt instrument which have the
effect of reducing the actual interest  costs  incurred  by  the  school
district  or an issuer on behalf of the school district over the life of
such capital debt, irrespective of any federal government right of  set-
off.
  S  3.  Section 31 of part A of chapter 57 of the laws of 2012 relating
to submission of school construction final cost reports, is REPEALED.
  S 4. a. Notwithstanding any other provision of law  to  the  contrary,
the actions or omissions of any school district which failed to submit a
final building project cost report by June 30 of the school year follow-
ing  June  30 of the school year in which the certificate of substantial
completion of the project is issued by the architect or engineer, or six
months after issuance of such certificate, whichever is later, are here-
by ratified and validated,  provided  that  such  building  project  was
eligible  for  aid  in  a year for which the commissioner is required to
prepare an estimate of apportionments due and owing  pursuant  to  para-
graph  c of subdivision 21 of section 305 of the education law, provided
further that such school district submits a  final  cost  report  on  or
before December 31, 2013 and such report is approved by the commissioner

S. 2607--C                         28

of  education,  and provided further that any amount due and payable for
school years prior to the 2013-14 school year as a result  of  this  act
shall be paid pursuant to the provisions of paragraph c of subdivision 5
of section 3604 of the education law.
  b.  Notwithstanding  any  other  provision of law to the contrary, any
pending payment of moneys due to such district as a prior  year  adjust-
ment payable pursuant to paragraph c of subdivision 5 of section 3604 of
the education law for aid claims that had been previously paid in excess
as  current  year aid payments and for which recovery of excess payments
is to be made pursuant to this act, shall be reduced  by  any  remaining
unrecovered balance of such excess payments, and the remaining scheduled
deductions of such excess payments pursuant to this act shall be reduced
by the commissioner of education to reflect the amount so recovered.
  S  5. Subdivision 1 of section 409-d of the education law, as added by
section 1 of part B of chapter 56 of the laws of  1998,  is  amended  to
read as follows:
  1.  Program establishment. The commissioner is authorized and directed
to establish, develop and monitor a comprehensive public school building
safety program which shall include a uniform inspection,  safety  rating
and monitoring system. Such program shall [require the annual inspection
of  all  public school buildings throughout New York state;] establish a
safety rating system for such school buildings to assess  the  need  for
maintenance,  repairs,  rehabilitation, reconstruction, construction and
other improvements related to the structural integrity and overall safe-
ty of public school buildings including  but  not  limited  to  building
systems  related  to electrical, plumbing, heating, ventilation, and air
conditioning, sanitation and health, fire and accident  protection;  and
require that such ratings be used for the purpose of developing a build-
ings  condition  survey  as  required  pursuant  to  subdivision four of
section thirty-six hundred forty-one of this chapter  and  a  five  year
facilities  plan  as required pursuant to clause (i) of subparagraph two
of paragraph b of subdivision six of section thirty-six hundred  two  of
this chapter.
  S  6.  Subdivision 3 of section 3623-a of the education law is amended
by adding a new paragraph d to read as follows:
  D. (1) NOTWITHSTANDING  ANY  LAW  TO  THE  CONTRARY,  WHERE  A  SCHOOL
DISTRICT PROVIDING TRANSPORTATION FOR SOME OR ALL OF ITS DISTRICT PUPILS
THROUGH A DISTRICT OPERATED TRANSPORTATION SYSTEM AS OF THE FIRST DAY OF
SEPTEMBER  TWO THOUSAND THIRTEEN CONTRACTS FOR THE TRANSPORTATION OF ITS
PUPILS WITH A CONTRACTOR AND SUCH CONTRACT RESULTS IN A LOWER  ALLOWABLE
TRANSPORTATION  EXPENSE PURSUANT TO THIS SECTION THAN THE DISTRICT OPER-
ATED TRANSPORTATION SYSTEM SUCH DISTRICT MAY COMPUTE ITS  TRANSPORTATION
AID  PURSUANT  TO  THIS  SECTION BASED UPON THE HIGHER DISTRICT OPERATED
TRANSPORTATION  SYSTEM  COSTS;  PROVIDED,  HOWEVER,  THAT  SUCH   SCHOOL
DISTRICT  MEETS  THE  REQUIREMENTS SET FORTH IN SUBPARAGRAPH TWO OF THIS
PARAGRAPH.
  (2) A SCHOOL DISTRICT WHICH COMPUTES ITS TRANSPORTATION  AID  PURSUANT
TO  SUBPARAGRAPH ONE OF THIS PARAGRAPH SHALL MEET THE FOLLOWING REQUIRE-
MENTS:
  (I) CALCULATE ITS ALLOWABLE TRANSPORTATION EXPENSES PURSUANT  TO  THIS
SECTION  FOR A DISTRICT OPERATED TRANSPORTATION SYSTEM FOR THE TWO THOU-
SAND TWELVE--TWO THOUSAND THIRTEEN SCHOOL YEAR. SUCH  CALCULATION  SHALL
BE  BASED  ON THAT PORTION OF THE TRANSPORTATION SYSTEM THAT IS DISTRICT
OPERATED AND PROPOSED TO BE CONTRACTED TO A QUALIFIED PUPIL  TRANSPORTA-
TION CONTRACTOR;

S. 2607--C                         29

  (II)  IF  A  SCHOOL DISTRICT PRESENTLY PROVIDES FOR TRANSPORTATION FOR
ITS PUPILS THROUGH A COMBINATION OF A DISTRICT  OPERATED  TRANSPORTATION
SYSTEM  AND A CONTRACTOR TRANSPORTATION SYSTEM, ONLY THAT PORTION OF THE
TRANSPORTATION SYSTEM WHICH IS DISTRICT OPERATED IS ELIGIBLE FOR  TREAT-
MENT UNDER THIS PARAGRAPH;
  (III)  ISSUE  A REQUEST FOR PROPOSAL FOR SUCH DISTRICT OPERATED TRANS-
PORTATION SERVICES; AND
  (IV) AWARD  A  CONTRACT  FOR  SUCH  DISTRICT  OPERATED  TRANSPORTATION
SERVICES TO A QUALIFIED PUPIL TRANSPORTATION CONTRACTOR.
  (3) NOTWITHSTANDING ANY LAW TO THE CONTRARY, A SCHOOL DISTRICT SWITCH-
ING  FROM  A  DISTRICT  OPERATED  TRANSPORTATION  SYSTEM TO A CONTRACTOR
TRANSPORTATION SYSTEM MAY SELL OR LEASE EQUIPMENT PURCHASED  IN  SUPPORT
OF  THE  DISTRICT OPERATED TRANSPORTATION SYSTEM AND RETAIN ANY PROCEEDS
AND AMORTIZED TRANSPORTATION AID.
  (4) A SCHOOL DISTRICT SHALL BE INELIGIBLE FOR RETENTION OF TRANSPORTA-
TION AID PURSUANT TO THIS  PARAGRAPH  UPON  EXPIRATION  OF  THE  INITIAL
CONTRACT  ENTERED  INTO BETWEEN THE SCHOOL DISTRICT AND THE PUPIL TRANS-
PORTATION CONTRACTOR.
  (5) A SCHOOL DISTRICT SHALL BE ELIGIBLE FOR RETENTION  OF  TRANSPORTA-
TION AID PURSUANT TO THIS PARAGRAPH FOR NO MORE THAN FIVE YEARS.
  S  7.  Section  3641  of  the education law is amended by adding a new
subdivision 3-a to read as follows:
  3-A. SUPPLEMENTAL VALUATION IMPACT GRANTS. A. IN  ADDITION  TO  APPOR-
TIONMENTS  OTHERWISE  PROVIDED BY SECTION THIRTY-SIX HUNDRED TWO OF THIS
ARTICLE, FOR AID PAYABLE IN  THE  TWO  THOUSAND  THIRTEEN--TWO  THOUSAND
FOURTEEN SCHOOL YEAR, THE AMOUNTS SPECIFIED IN PARAGRAPHS B, C, D, AND E
OF  THIS  SUBDIVISION  SHALL  BE PAID FOR THE PURPOSE OF PROVIDING ADDI-
TIONAL FUNDING FOR SCHOOL DISTRICTS WHICH HAVE EXPERIENCED A SIGNIFICANT
FINANCIAL HARDSHIP CREATED BY AN EXTRAORDINARY  CHANGE  IN  THE  TAXABLE
PROPERTY  VALUATION  ARISING OUT OF THE CLOSURE, GOVERNMENT ACQUISITION,
AND/OR DECOMMISSIONING OF A POWER PLANT FACILITY AND/OR ENERGY  PROCESS-
ING FACILITY WITHIN SUCH SCHOOL DISTRICT BOUNDARIES.
  B.  TO  THE  MARLBORO CENTRAL SCHOOL DISTRICT, THERE SHALL BE PAID THE
GREATER  OF  ONE  MILLION  NINE   HUNDRED   SEVENTY   THOUSAND   DOLLARS
($1,970,000)  OR  ANY ADDITIONAL APPORTIONMENT PROVIDED BY SECTION THIR-
TY-SIX HUNDRED TWO OF THIS ARTICLE BASED ON A RECALCULATION OF  ANY  TWO
THOUSAND  TWELVE--TWO  THOUSAND  THIRTEEN  APPORTIONMENTS  USING THE TWO
THOUSAND  TEN  FULL  VALUE  OF  SUCH   DISTRICT   IN   THE   AMOUNT   OF
$1,988,619,552.  SUCH ADDITIONAL AMOUNT SHALL BE PAYABLE TO THE MARLBORO
CENTRAL  SCHOOL  DISTRICT  IN  ACCORDANCE  WITH  THE  PAYMENT  SCHEDULES
CONTAINED IN SECTION THIRTY-SIX HUNDRED NINE-A OF THIS ARTICLE, NOTWITH-
STANDING ANY PROVISION OF LAW TO THE CONTRARY.
  C.  TO THE UNION-ENDICOTT CENTRAL SCHOOL DISTRICT, THERE SHALL BE PAID
THE GREATER OF TWO MILLION FOUR HUNDRED THOUSAND DOLLARS ($2,400,000) OR
ANY ADDITIONAL APPORTIONMENT PROVIDED BY SECTION THIRTY-SIX HUNDRED  TWO
OF THIS ARTICLE BASED ON A RECALCULATION OF ANY TWO THOUSAND TWELVE--TWO
THOUSAND  THIRTEEN  APPORTIONMENTS USING THE TWO THOUSAND TEN FULL VALUE
OF SUCH DISTRICT IN THE AMOUNT OF $2,400,000,000. SUCH ADDITIONAL AMOUNT
SHALL BE PAYABLE  TO  THE  UNION-ENDICOTT  CENTRAL  SCHOOL  DISTRICT  IN
ACCORDANCE  WITH  THE  PAYMENT SCHEDULES CONTAINED IN SECTION THIRTY-SIX
HUNDRED NINE-A OF THIS ARTICLE, NOTWITHSTANDING ANY PROVISION OF LAW  TO
THE CONTRARY.
  D. TO THE WEST VALLEY CENTRAL SCHOOL DISTRICT, THERE SHALL BE PAID THE
GREATER  OF  FIVE  HUNDRED THOUSAND DOLLARS ($500,000) OR ANY ADDITIONAL
APPORTIONMENT PROVIDED BY SECTION THIRTY-SIX HUNDRED TWO OF THIS ARTICLE
BASED ON A RECALCULATION OF ANY TWO THOUSAND TWELVE--TWO THOUSAND  THIR-

S. 2607--C                         30

TEEN  APPORTIONMENTS  USING  THE  TWO  THOUSAND  NINE FULL VALUE OF SUCH
DISTRICT IN THE AMOUNT OF $134,175,874. SUCH ADDITIONAL AMOUNT SHALL  BE
PAYABLE  TO  THE  WEST VALLEY CENTRAL SCHOOL DISTRICT IN ACCORDANCE WITH
THE  PAYMENT SCHEDULES CONTAINED IN SECTION THIRTY-SIX HUNDRED NINE-A OF
THIS ARTICLE, NOTWITHSTANDING ANY PROVISION OF LAW TO THE CONTRARY.
  E. TO THE NORTH SHORE CENTRAL SCHOOL DISTRICT, THERE SHALL BE PAID THE
GREATER OF TWO MILLION DOLLARS ($2,000,000) OR ANY ADDITIONAL APPORTION-
MENT PROVIDED BY SECTION THIRTY-SIX HUNDRED TWO OF THIS ARTICLE BASED ON
A RECALCULATION OF ANY TWO THOUSAND TWELVE--TWO THOUSAND THIRTEEN APPOR-
TIONMENTS USING THE TWO THOUSAND TEN FULL VALUE OF SUCH DISTRICT IN  THE
AMOUNT OF $4,890,733,200. SUCH ADDITIONAL AMOUNT SHALL BE PAYABLE TO THE
NORTH SHORE CENTRAL SCHOOL DISTRICT IN ACCORDANCE WITH THE PAYMENT SCHE-
DULES  CONTAINED  IN  SECTION THIRTY-SIX HUNDRED NINE-A OF THIS ARTICLE,
NOTWITHSTANDING ANY PROVISION OF LAW TO THE CONTRARY.
  S 8. Section 3604 of the education law is  amended  by  adding  a  new
subdivision 7-b to read as follows:
  7-B.  NOTWITHSTANDING  THE  PROVISIONS  OF  SUBDIVISION  SEVEN OF THIS
SECTION, FOR THE TWO THOUSAND TWELVE--TWO THOUSAND THIRTEEN SCHOOL YEAR,
THE COMMISSIONER SHALL DISREGARD SUCH REDUCTION, UP TO TEN DAYS, IN  THE
APPORTIONMENT  OF  PUBLIC MONEY, IF THE SCHOOLS OF THE DISTRICT WERE NOT
IN SESSION FOR  ONE  HUNDRED  EIGHTY  DAYS  BECAUSE  OF  EXTRAORDINARILY
ADVERSE WEATHER CONDITIONS, FEDERAL DECLARATIONS OF NATURAL DISASTERS, A
STATE  DISASTER EMERGENCY AS DEFINED IN SECTION TWENTY OF THE  EXECUTIVE
LAW, THE CLOSING OF TRANSPORTATION ROUTES PURSUANT TO A  DECLARED  LOCAL
STATE  OF EMERGENCY, IMPAIRMENT OF HEATING FACILITIES,  INSUFFICIENCY OF
WATER SUPPLY, SHORTAGE OF FUEL, LACK OF ELECTRICITY, OR THE  DESTRUCTION
OF  A  SCHOOL  BUILDING EITHER IN WHOLE OR IN PART, AND IF, FURTHER, THE
DISTRICT SUPERINTENDENT CERTIFIES THAT SUCH DISTRICT CANNOT MAKE UP SUCH
DAYS OF INSTRUCTION BY USING FOR  THE  SECONDARY  GRADES  ALL  SCHEDULED
VACATION DAYS WHICH OCCUR PRIOR TO THE FIRST SCHEDULED  REGENTS EXAMINA-
TION  DAY  IN JUNE, AND FOR THE ELEMENTARY GRADES ALL SCHEDULED VACATION
DAYS WHICH OCCUR PRIOR TO THE LAST SCHEDULED REGENTS EXAMINATION DAY  IN
JUNE;  AND  IF,  FURTHER,  THE  DISTRICT SUPERINTENDENT CERTIFIES TO THE
COMMISSIONER THAT TO DO SO WOULD IMPERIL  STUDENTS,  FACULTY  AND  STAFF
WHILE REPAIRS CONTINUE. FOR THE PURPOSES OF THIS SUBDIVISION, "SCHEDULED
VACATION DAYS" SHALL MEAN DAYS  ON WHICH THE SCHOOLS OF THE DISTRICT ARE
NOT  IN SESSION AND FOR WHICH NO PROHIBITION EXISTS IN SUBDIVISION EIGHT
OF THIS SECTION FOR THEM TO BE IN SESSION.
  S 9. Subdivision 17 of section 1950 of the education law is REPEALED.
  S 10. Section 3242 of the education law, as amended by  section  2  of
subpart  F  of  part  C of chapter 97 of the laws of 2011, is amended to
read as follows:
  S 3242. School census in school districts. The trustees  or  board  of
education of every school district may cause a census to be taken of all
children  between  birth  and  eighteen years of age, including all such
facts and information as are required in  the  census  provided  for  in
section thirty-two hundred forty-one of this [chapter] PART. Such census
shall  be  prepared [annually] BIENNIALLY for children between ages five
and eighteen who are entitled  to  attend  the  public  schools  without
payment  of  tuition  in duplicate in their respective school districts,
and one copy thereof filed with the teacher or principal and  the  other
copy  filed  with  the  district  superintendent or superintendent on or
before the fifteenth day of October. For pre-school students from  birth
to  five  years of age, such census may be prepared and filed biennially
on or before the fifteenth day of October. Such census shall include the
reports and information required from  cities  as  provided  in  section

S. 2607--C                         31

thirty-two  hundred forty-one OF THIS PART.  All information regarding a
student with a disability under the age of  twenty-one  years  shall  be
filed  annually  with  the  superintendent  of  the board of cooperative
educational services of which said district may be a part.
  S  11.  Section  2801-b of the education law, as added by chapter 1 of
the laws of 2013, is amended to read as follows:
  S 2801-b. New York state school safety improvement teams. The governor
shall establish New York state school safety  improvement  teams,  which
may be composed of representatives from the division of homeland securi-
ty and emergency services, the division of state police, the division of
criminal  justice  services,  and  the  department.  Such New York State
School Safety Improvement Teams shall review and  assess  school  safety
plans  submitted,  on  a  voluntary  basis, by school districts having a
population of less than one hundred  twenty-five  thousand  inhabitants,
boards of cooperative educational services, NONPUBLIC SCHOOLS, and coun-
ty  vocational  education and extension boards, and may make recommenda-
tions to improve such school safety plans.
  S 12. Section 3627 of the education law is REPEALED, and a new section
3627 is added to read as follows:
  S  3627.  TRANSPORTATION  AFTER  4PM.  1.  NOTWITHSTANDING  ANY  OTHER
PROVISIONS  OF  THIS  SECTION  TO  THE  CONTRARY, A CITY SCHOOL DISTRICT
LOCATED IN A CITY HAVING A POPULATION OF ONE MILLION OR  MORE  PROVIDING
TRANSPORTATION PURSUANT TO THIS CHAPTER SHALL BE RESPONSIBLE FOR:
  (A)  PROVIDING  TRANSPORTATION FOR THOSE CHILDREN ATTENDING PUBLIC AND
NONPUBLIC SCHOOLS IN GRADES KINDERGARTEN THROUGH SIX WHO REMAIN  AT  THE
SAME SCHOOL FOR WHICH THEY ARE ENROLLED FOR REGULARLY SCHEDULED ACADEMIC
CLASSES FROM HALF-PAST NINE O'CLOCK IN THE MORNING OR EARLIER UNTIL FOUR
O'CLOCK  IN THE AFTERNOON OR LATER, ON WEEKDAYS, AND RESIDE AT LEAST ONE
MILE FROM THEIR SCHOOL OF ATTENDANCE FOR GRADES THREE THROUGH  SIX,  AND
AT  LEAST  ONE-HALF  MILE  FROM  THEIR  SCHOOL  OF ATTENDANCE FOR GRADES
KINDERGARTEN THROUGH TWO OR
  (B) REIMBURSING THE COST INCURRED BY LICENSED TRANSPORTATION  CARRIERS
PURSUANT  TO CONTRACTS WITH SUCH SCHOOL DISTRICT FOR PROVIDING TRANSPOR-
TATION FOR THOSE CHILDREN ATTENDING  PUBLIC  AND  NONPUBLIC  SCHOOLS  IN
GRADES  KINDERGARTEN THROUGH SIX WHO REMAIN AT THE SAME SCHOOL FOR WHICH
THEY  ARE  ENROLLED  FOR  REGULARLY  SCHEDULED  ACADEMIC  CLASSES   FROM
HALF-PAST  NINE  O'CLOCK IN THE MORNING OR EARLIER UNTIL FOUR O'CLOCK IN
THE AFTERNOON OR LATER, ON WEEKDAYS, AND RESIDE AT LEAST ONE  MILE  FROM
THEIR  SCHOOL  OF  ATTENDANCE FOR GRADES THREE THROUGH SIX, AND AT LEAST
ONE-HALF MILE FROM THEIR SCHOOL OF ATTENDANCE  FOR  GRADES  KINDERGARTEN
THROUGH TWO.
  2.  NOTHING HEREIN SHALL PROHIBIT THE SCHOOL DISTRICT FROM REIMBURSING
FOR COSTS INCURRED FOR CONTRACTS BETWEEN THE  SCHOOL  DISTRICT  AND  ANY
ENTITY PROVIDING OR CONTRACTING FOR SUCH TRANSPORTATION SERVICE.
  3.  A  DISTRICT  SHALL  NOT BE DEEMED TO HAVE SATISFIED ITS OBLIGATION
UNDER THIS SECTION BY PROVIDING PUBLIC SERVICE TRANSPORTATION.
  4. ANY EXPENDITURE FOR THE PURPOSE OF A DISTRICT COMPLYING  WITH  THIS
SECTION SHALL BE CONSIDERED ELIGIBLE FOR TRANSPORTATION AID.
  5.  THE  CHANCELLOR  OF SUCH SCHOOL DISTRICT, IN CONSULTATION WITH THE
COMMISSIONER, SHALL PRESCRIBE THE MOST COST EFFECTIVE SYSTEM FOR  IMPLE-
MENTING  THE REQUIREMENTS OF THIS SECTION, TAKING INTO CONSIDERATION THE
COSTS ASSOCIATED WITH PARAGRAPHS (A) AND (B) OF SUBDIVISION ONE OF  THIS
SECTION,  WHILE  AT  THE SAME TIME ATTEMPTING TO MAXIMIZE STUDENT SAFETY
FOR THE STUDENT TO BE TRANSPORTED. FOR PURPOSES OF THIS SECTION:
  (A) THE TRANSPORTATION SHALL NOT BE DEEMED TO MAXIMIZE STUDENT  SAFETY
IF THE PICK UP OR DROP OFF SITE OF THE TRANSPORTATION IS:

S. 2607--C                         32

  (I) FURTHER THAN 600 FEET FROM THE STUDENT'S RESIDENCE; AND/OR
  (II)  AT  DIFFERENT LOCATIONS FOR ANY FAMILY THAT HAVE CHILDREN AT THE
SAME RESIDENCE WHO ATTEND TWO OR MORE DIFFERENT SCHOOLS; AND
  (B) THE TRANSPORTATION SHALL NOT BE DEEMED MOST COST  EFFECTIVE  IF  A
LICENSED  TRANSPORTATION  CARRIER  CAN  PROVIDE  TRANSPORTATION FOR SUCH
STUDENTS FOR AN AMOUNT TEN PERCENT OR LESS THAN THE AMOUNT THE  DISTRICT
PAYS  OR  WOULD PAY TO WHATEVER ENTITY PRESENTLY PROVIDES TRANSPORTATION
FOR THE DISTRICT IN THE AFFECTED AREA.
  6. (A) IN THE EVENT THE CHANCELLOR  HAS  NOT  SATISFIED  A  DISTRICT'S
OBLIGATION  UNDER  THIS  SECTION,  A PARENT OR GUARDIAN OR ANY REPRESEN-
TATIVE AUTHORIZED BY SUCH PARENT OR GUARDIAN  OF  A  CHILD  ELIGIBLE  TO
RECEIVE  TRANSPORTATION  UNDER THIS SECTION MAY REQUEST THE COMMISSIONER
TO ARRANGE FOR THE PROVISION OF THE TRANSPORTATION  TO  SO  SATISFY  THE
REQUIREMENTS OF THIS SECTION.
  (B)  IF WITHIN SIXTY DAYS OF RECEIVING A REQUEST FROM SUCH A PARENT OR
GUARDIAN OR ANY REPRESENTATIVE AUTHORIZED BY SUCH  PARENT  OR  GUARDIAN,
THE  COMMISSIONER  DETERMINES  THAT  THE  CHANCELLOR HAS NOT SATISFIED A
DISTRICT'S OBLIGATION UNDER THIS SECTION, THEN  THE  COMMISSIONER  SHALL
IMMEDIATELY  DIRECT THE CHANCELLOR TO CONTRACT WITH A LICENSED TRANSPOR-
TATION CARRIER TO PROVIDE THE TRANSPORTATION REQUIRED PURSUANT  TO  THIS
SECTION.
  (C)  IN  THE  EVENT  THE CHANCELLOR IS DIRECTED BY THE COMMISSIONER TO
CONTRACT WITH A LICENSED TRANSPORTATION CARRIER TO PROVIDE THE TRANSPOR-
TATION REQUIRED PURSUANT TO THIS SECTION, THE CHANCELLOR  SHALL  PROVIDE
THE  COMMISSIONER  WITH  A  COPY  OF  SUCH  PROPOSED CONTRACT, BEFORE IT
BECOMES EFFECTIVE, AND THE COMMISSIONER SHALL HAVE THE POWER TO APPROVE,
DISAPPROVE OR REQUIRE AMENDMENTS TO SUCH CONTRACT BEFORE IT SHALL BECOME
EFFECTIVE.
  (D) A DISTRICT, DETERMINED BY THE COMMISSIONER TO NOT BE IN COMPLIANCE
WITH THE REQUIREMENTS OF THIS SECTION, SHALL BE RESPONSIBLE FOR THE COST
OF ANY TRANSPORTATION CONTRACT AWARDED BY THE CHANCELLOR.
  7. THE PARENT OR GUARDIAN, OR ANY REPRESENTATIVE  AUTHORIZED  BY  SUCH
PARENT  OR  GUARDIAN,  MAY  SUBMIT  A WRITTEN REQUEST FOR TRANSPORTATION
UNDER THIS SECTION, IN THE SAME MANNER AND UPON THE SAME  DATES  AS  ARE
REQUIRED FOR A REQUEST FOR TRANSPORTATION PURSUANT TO SUBDIVISION TWO OF
SECTION THIRTY-SIX HUNDRED THIRTY-FIVE OF THIS ARTICLE.
  S  13. Paragraph b of subdivision 6-c of section 3602 of the education
law, as added by chapter 1 of the laws of 2013, is amended  to  read  as
follows:
  b.  For  projects  approved  by the commissioner authorized to receive
additional building aid pursuant to this subdivision for the purchase of
stationary metal detectors, security cameras or other  security  devices
approved  by  the  commissioner that increase the safety of students and
school personnel, provided that for  purposes  of  this  paragraph  such
other  security  devices shall be limited to electronic security systems
and hardened doors, and provided  that  for  projects  approved  by  the
commissioner on or after the first day of July two thousand thirteen and
before  the  first  day of July two thousand sixteen such additional aid
shall equal the product of (i) the building aid ratio computed  for  use
in  the  current year pursuant to paragraph c of subdivision six of this
section plus [ten] FIFTY percentage points, except that in no case shall
this amount exceed one hundred percent, and  (ii)  the  actual  approved
expenditures  incurred  in  the  base year pursuant to this subdivision,
provided that the limitations on cost allowances prescribed by paragraph
a of subdivision six of this  section  shall  not  apply,  and  provided
further that any projects aided under this paragraph must be included in

S. 2607--C                         33

a  district's  school  safety  plan.  The  commissioner  shall  annually
prescribe a special cost allowance for  metal  detectors,  and  security
cameras, and the approved expenditures shall not exceed such cost allow-
ance.
  S 14. Paragraph a-1 of subdivision 11 of section 3602 of the education
law,  as  amended  by  section  7 of part A of chapter 57 of the laws of
2012, is amended to read as follows:
  a-1. Notwithstanding the provisions of paragraph a  of  this  subdivi-
sion, for aid payable in the school years two thousand--two thousand one
through  two  thousand nine--two thousand ten, and two thousand eleven--
two thousand twelve through [two thousand twelve--two thousand thirteen]
TWO THOUSAND THIRTEEN--TWO THOUSAND FOURTEEN, the commissioner  may  set
aside  an amount not to exceed two million five hundred thousand dollars
from the funds appropriated for purposes of  this  subdivision  for  the
purpose of serving persons twenty-one years of age or older who have not
been  enrolled  in  any  school for the preceding school year, including
persons who have received a high school diploma or  high  school  equiv-
alency diploma but fail to demonstrate basic educational competencies as
defined  in  regulation  by  the commissioner, when measured by accepted
standardized tests, and who shall be eligible to attend employment prep-
aration education programs operated pursuant to this subdivision.
  S 15. Intentionally omitted.
  S 16. Subdivision 16 of  section  3602-e  of  the  education  law,  as
amended  by  section  19 of part B of chapter 57 of the laws of 2007, is
amended to read as follows:
  16. The grant payable to a school district pursuant to this section in
the current year shall be reduced by one one-hundred eightieth for  each
day less than one hundred eighty days that the universal prekindergarten
classes  of  the  district  were [actually] SCHEDULED TO BE in session[,
except that the commissioner may disregard such reduction for any  defi-
ciency  that may be disregarded in computing total foundation aid pursu-
ant to subdivision seven or eight of section thirty-six hundred four  of
this  chapter]  IN  THE  PROGRAM  APPLICATION APPROVED BY THE DEPARTMENT
PURSUANT TO THIS SECTION.
  S 17. Paragraph b of subdivision 2 of section 3612  of  the  education
law,  as  amended  by  section 10 of part A of chapter 57 of the laws of
2012, is amended to read as follows:
  b. Such grants shall be awarded to school districts, within the limits
of funds appropriated therefor, through a competitive process that takes
into consideration the magnitude of any  shortage  of  teachers  in  the
school  district, the number of teachers employed in the school district
who hold temporary licenses to teach in the public schools of the state,
the number of provisionally certified teachers, the fiscal capacity  and
geographic  sparsity  of  the  district,  the number of new teachers the
school district intends to hire in the coming school year and the number
of summer in the city student internships proposed by an eligible school
district, if applicable. Grants provided pursuant to this section  shall
be used only for the purposes enumerated in this section.  Notwithstand-
ing  any  other provision of law to the contrary, a city school district
in a city having a population of one million or more inhabitants receiv-
ing a grant pursuant to this section may use no more than eighty percent
of such grant funds for any  recruitment,  retention  and  certification
costs  associated  with transitional certification of teacher candidates
for the school years two thousand one--two  thousand  two  through  [two
thousand twelve--two thousand thirteen] TWO THOUSAND THIRTEEN--TWO THOU-
SAND FOURTEEN.

S. 2607--C                         34

  S  18.  Subdivision a of section 5 of chapter 121 of the laws of 1996,
relating to authorizing the Roosevelt  union  free  school  district  to
finance  deficits by the issuance of serial bonds, as amended by section
27-b of part A of chapter 57 of the laws of 2012, is amended to read  as
follows:
  a.  Notwithstanding  any  other provisions of law, upon application to
the commissioner of education submitted not sooner than April first  and
not  later than June thirtieth of the applicable school year, the Roose-
velt union free school district shall be eligible to receive  an  appor-
tionment pursuant to this chapter for salary expenses, including related
benefits, incurred between April first and June thirtieth of such school
year.  Such apportionment shall not exceed:  for the 1996-97 school year
through   the  [2012-13]  2013-14  school  year,  four  million  dollars
($4,000,000); for the  [2013-14]  2014-15  school  year,  three  million
dollars  ($3,000,000);  for  the  [2014-2015]  2015-16  school year, two
million dollars ($2,000,000); for the [2015-16] 2016-17 school year, one
million dollars ($1,000,000); and for the [2016-17] 2017-18 school year,
zero dollars.  Such annual application shall be made after the board  of
education  has  adopted  a  resolution to do so with the approval of the
commissioner of education.
  S 19. Special apportionment for salary expenses.   a.  Notwithstanding
any  other  provision  of  law,  upon application to the commissioner of
education, not sooner than the first day of  the  second  full  business
week  of  June,  2014  and not later than the last day of the third full
business week of June, 2014, a school district eligible  for  an  appor-
tionment pursuant to section 3602 of the education law shall be eligible
to  receive  an  apportionment  pursuant to this section, for the school
year ending June 30, 2014, for salary expenses incurred between April  1
and June 30, 2014 and such apportionment shall not exceed the sum of (i)
the  deficit  reduction  assessment  of  1990--91  as  determined by the
commissioner of education, pursuant to paragraph f of subdivision  1  of
section  3602  of the education law, as in effect through June 30, 1993,
plus (ii) 186 percent of such amount for a city  school  district  in  a
city  with  a  population in excess of 1,000,000 inhabitants, plus (iii)
209 percent of such amount for a city school district in a city  with  a
population of more than 195,000 inhabitants and less than 219,000 inhab-
itants  according  to  the  latest  federal census plus (iv) the net gap
elimination adjustment for 2010--2011, as determined by the commissioner
of education pursuant to chapter 53 of the laws of 2010,  plus  (v)  the
sum  of the gap elimination adjustment for the 2011--12 through 2012--13
school years as determined by the commissioner of education pursuant  to
subdivision  17  of  section  3602  of  the  education law, and provided
further that such apportionment shall not exceed such  salary  expenses.
Such  application shall be made by a school district, after the board of
education or trustees have adopted a resolution to do so and in the case
of a city school district in a city  with  a  population  in  excess  of
125,000 inhabitants, with the approval of the mayor of such city.
  b.  The  claim  for  an  apportionment to be paid to a school district
pursuant to subdivision a of this section  shall  be  submitted  to  the
commissioner  of  education  on  a form prescribed for such purpose, and
shall be payable upon determination by such commissioner that  the  form
has been submitted as prescribed. Such approved amounts shall be payable
on  the  same  day in September of the school year following the year in
which application was made as funds provided pursuant to subparagraph  4
of  paragraph  b  of  subdivision 4 of section 92-c of the state finance
law, on the audit and warrant  of  the  state  comptroller  on  vouchers

S. 2607--C                         35

certified  or  approved  by  the commissioner of education in the manner
prescribed by law from moneys in the state lottery  fund  and  from  the
general  fund  to  the  extent that the amount paid to a school district
pursuant  to  this  section  exceeds the amount, if any, due such school
district pursuant to subparagraph 2 of paragraph a of subdivision  1  of
section  3609-a  of  the  education law in the school year following the
year in which application was made.
  c. Notwithstanding the provisions of section 3609-a of  the  education
law, an amount equal to the amount paid to a school district pursuant to
subdivisions  a  and  b of this section shall first be deducted from the
following payments due  the  school  district  during  the  school  year
following  the  year  in which application was made pursuant to subpara-
graphs 1, 2, 3, 4 and 5 of paragraph  a  of  subdivision  1  of  section
3609-a  of  the education law in the following order: the lottery appor-
tionment payable pursuant to subparagraph 2 of such  paragraph  followed
by  the  fixed  fall payments payable pursuant to subparagraph 4 of such
paragraph and then followed by the district's payments to the  teachers'
retirement  system pursuant to subparagraph 1 of such paragraph, and any
remainder to be  deducted  from  the  individualized  payments  due  the
district  pursuant  to paragraph b of such subdivision shall be deducted
on a chronological basis starting with  the  earliest  payment  due  the
district.
  S  20.  Subdivision 10 of section 6-p of the general municipal law, as
amended by section 30-a of part A of chapter 57 of the laws of 2012,  is
amended to read as follows:
  10.  Notwithstanding any provision of law to the contrary, the govern-
ing board of a school district may, during the two thousand [twelve--two
thousand thirteen] THIRTEEN--TWO THOUSAND FOURTEEN school year,  author-
ize  a  withdrawal  from this fund in an amount not to exceed the lesser
of: (a) the dollar value of excess funding in the fund as determined  by
the  comptroller pursuant to section thirty-three of this chapter or (b)
the amount of the school district's remaining gap elimination adjustment
as calculated by the commissioner of education pursuant  to  subdivision
seventeen  of section thirty-six hundred two of the education law. Funds
withdrawn pursuant to this subdivision may only be used for the  purpose
of  maintaining educational programming during the two thousand [twelve-
-two thousand thirteen]  THIRTEEN--TWO  THOUSAND  FOURTEEN  school  year
which  otherwise  would have been reduced as a result of such gap elimi-
nation adjustment. Governing boards which make such a  withdrawal  shall
submit,  in a form prescribed by the commissioner of education, relevant
information about the withdrawal, which shall include but not be limited
to, the amount of such withdrawal, the date of withdrawal, and  the  use
of such withdrawn funds.
  S 21. The opening paragraph of paragraph d of subdivision 4 of section
4405  of  the  education  law  is  designated subparagraph 1 and   a new
subparagraph 2 is added to read as follows:
  (2) TUITION RATES APPROVED FOR THE  SCHOOL  YEAR  COMMENCING  ON  JULY
FIRST,  TWO THOUSAND THIRTEEN AND SUBSEQUENT SCHOOL YEARS, SHALL INCLUDE
AN ALLOWABLE GROWTH AMOUNT EQUAL TO THE "PERSONAL INCOME  GROWTH  INDEX"
AS  DEFINED  IN  PARAGRAPH  BB  OF SUBDIVISION ONE OF SECTION THIRTY-SIX
HUNDRED TWO OF THIS CHAPTER.
  S 22. The opening paragraph of subdivision 11 of section  273  of  the
education  law  is designated paragraph a and a new paragraph b is added
to read as follows:
  B. COMMENCING ON JULY FIRST,  TWO  THOUSAND  THIRTEEN  AND  SUBSEQUENT
YEARS,  AID  TO A LIBRARY OR A LIBRARY SYSTEM SHALL INCLUDE AN ALLOWABLE

S. 2607--C                         36

GROWTH AMOUNT EQUAL TO THE "PERSONAL INCOME GROWTH INDEX" AS DEFINED  IN
PARAGRAPH  BB  OF  SUBDIVISION  ONE OF SECTION THIRTY-SIX HUNDRED TWO OF
THIS CHAPTER.
  S  23. Notwithstanding paragraph c of subdivision 4 of section 3209 of
the education law, or any other provision of law to the contrary,  costs
incurred  for  approved transportation expenses, pursuant to paragraph c
of subdivision 4 of section 3209 of the education law, for any  homeless
child  who  required  transportation to attend a school district, desig-
nated pursuant to paragraph a of subdivision 2 of section  3209  of  the
education law, outside of the district in which such child is housed due
to  the  emergency  disaster  that  occurred  as the result of Hurricane
Sandy, shall be reimbursed, pursuant to this section, in an amount equal
to the difference between one hundred percent of such approved transpor-
tation expenses minus the transportation aid payable on  such  expenses,
pursuant  to subdivision 7 of section 3602 of the education law, subject
to an appropriation for this purpose, for the duration of time that  the
child  was  homeless,  as  defined  in  paragraph  a of subdivision 1 of
section 3209 of the education law.
  S 24. Subparagraphs (i) and (ii) of paragraph c of subdivision  11  of
section  4410 of the education law, subparagraph (i) as amended by chap-
ter 82 of the laws of 1995 and subparagraph (ii) as amended  by  chapter
205 of the laws of 2009, are amended to read as follows:
  (i)  Each  municipality, or, in addition, in the case of a city of one
million or more persons, the board, may perform a fiscal audit  of  such
services or programs for which it bears fiscal responsibility in accord-
ance  with  audit  standards established by the commissioner[, which may
include site visitation]. ANY AUDIT OF SERVICES OR PROGRAMS OR  SERVICES
PURSUANT  TO  THIS  SECTION SHALL UTILIZE THE STANDARDIZED AUDIT TOOL AS
PRESCRIBED BY THE COMMISSIONER.  Prior  to  commencing  a  fiscal  audit
pursuant  to  this  subparagraph,  a  municipality  shall ascertain that
neither the state nor any other  municipality  has  performed  a  fiscal
audit  of  the  same services or programs within the current fiscal year
for such program. If it is  determined  that  no  such  audit  has  been
performed,  the municipality shall inquire with the department to deter-
mine which other municipalities, if any, bear  financial  responsibility
for  the  services or programs to be audited and shall afford such other
municipalities an opportunity to recommend issues to be examined through
the audit.  Municipalities completing audits pursuant to  this  subpara-
graph  shall  provide  copies  to  the  department,  the provider of the
services and programs and all other municipalities previously determined
to bear financial responsibility for the audited services and  programs.
No other municipality may conduct an additional fiscal audit of the same
services or programs during such current fiscal year for such program.
  (ii)  Payments  made pursuant to this section by a municipality shall,
upon conclusion of the July first to  June  thirtieth  school  year  for
which  such  payment  was  made,  be subject to audit against the actual
difference between such audited expenditures and revenues.  The  munici-
pality  shall  submit  the results of any such audit to the commissioner
and the commissioner of social services, if appropriate, for review and,
if warranted, adjustment of the tuition and/or  maintenance  rates.  The
municipality is authorized to recover overpayments made to a provider of
special  services  or programs pursuant to this section as determined by
the commissioner or the commissioner of health based upon their  adjust-
ment of a tuition and/or maintenance rate, PROVIDED THAT FOR PURPOSES OF
MAKING SUCH ADJUSTMENT AND RECOVERY, THE MUNICIPALITY SHALL BE DEEMED TO
HAVE  PAID  ONE  HUNDRED PERCENT OF THE DISALLOWED COSTS.  Such recovery

S. 2607--C                         37

may be accomplished by withholding such amount from any moneys  due  the
provider  in  the current year, or by direct reimbursement.  THE COMMIS-
SIONER SHALL PROMULGATE RULES AND REGULATIONS NECESSARY TO IMPLEMENT THE
PROVISIONS  OF  THIS SUBDIVISION WITHIN SIXTY DAYS OF THE EFFECTIVE DATE
OF THIS CHAPTER.
  S 25. Paragraph d of subdivision 15 of section 3641 of  the  education
law,  as  added  by  section 22-b of part A of chapter 57 of the laws of
2012, is amended to read as follows:
  d. Approved additional expenses for  annual  professional  performance
reviews  transition  grants  [pursuant  to this subdivision] FOR THE TWO
THOUSAND TWELVE--TWO THOUSAND THIRTEEN SCHOOL YEAR shall CONTINUE TO  be
eligible for reimbursement. Such approved expenses shall be eligible for
payment on or after September first following the end of the school year
in  which  such  expenses  were  [approved] INCURRED.   In the event the
appropriation for purposes of this subdivision in any year  is  insuffi-
cient  to  pay  all  approved  claims  pursuant to this subdivision, the
commissioner shall pay  such  claims  on  a  prorated  basis  among  all
districts  filing  such claims until the appropriation is exhausted. The
commissioner shall promulgate rules and regulations necessary to  imple-
ment  the provisions of this subdivision within sixty days of the effec-
tive date of the chapter of the laws of two thousand  [twelve]  THIRTEEN
that [added] AMENDED this [subdivision] PARAGRAPH.
  S  26.  Notwithstanding any provision of law to the contrary including
but not limited to paragraph b of subdivision 7 of section 3602  of  the
education  law,  where as a result of a weather related emergency or its
aftermath, or a strike against  operators  of  school  buses,  a  school
district  in  a city with a population in excess of one million inhabit-
ants incurs expenditures for providing  for  alternative  transportation
for  school children, including expenditures to the New York City Metro-
politan Transportation Authority, such expenditures shall be  an  allow-
able transportation expense.
  S  27. Title 2 of the education law is amended by adding a new article
30 to read as follows:

                               ARTICLE 30
                   WAIVERS FOR HIGH PERFORMING SCHOOLS
  SECTION 1401. WAIVERS FOR HIGH PERFORMING SCHOOLS.
  S 1401. WAIVERS FOR HIGH PERFORMING  SCHOOLS.  1.  A  HIGH  PERFORMING
SCHOOL  MAY  SUBMIT  AN  APPLICATION  FOR  A WAIVER FROM ANY REQUIREMENT
IMPOSED ON SUCH DISTRICT PURSUANT TO THIS TITLE, AND REGULATIONS PROMUL-
GATED THEREUNDER, FOR THE TWO THOUSAND THIRTEEN--TWO  THOUSAND  FOURTEEN
SCHOOL  YEAR.  SUCH APPLICATION MUST BE SUBMITTED AT LEAST SIXTY DAYS IN
ADVANCE OF THE PROPOSED DATE ON WHICH THE WAIVER WOULD BE EFFECTIVE  AND
SHALL BE IN A FORM PRESCRIBED BY THE COMMISSIONER.
  2. A "HIGH PERFORMING SCHOOL" SHALL INCLUDE ANY ONE OF THE FOLLOWING:
  A.  SCHOOL DISTRICTS THAT FALL WITHIN THE TOP TEN PERCENT OF THE STATE
IN PERCENT OF STUDENTS GRADUATING WITH A  REGENTS  DIPLOMA  IN  THE  TWO
THOUSAND TWELVE--TWO THOUSAND THIRTEEN SCHOOL YEAR; OR
  B.  SCHOOL  DISTRICTS  THAT  FALL WITHIN THE TOP TEN PERCENT OF SCHOOL
DISTRICT GRADUATION RATES OVER THE THREE MOST RECENT YEARS IN WHICH DATA
IS AVAILABLE.
  3. BEFORE SUBMITTING AN APPLICATION FOR A WAIVER, THE HIGH  PERFORMING
SCHOOL  SHALL  PROVIDE  NOTICE  OF THE PROPOSED WAIVER TO THE PARENTS OR
PERSONS IN PARENTAL RELATIONSHIP TO THE STUDENTS THAT WOULD BE  IMPACTED
BY THE WAIVER IF GRANTED. SUCH NOTICE SHALL BE IN A FORM AND MANNER THAT
WILL  ENSURE THAT SUCH PARENTS AND PERSONS IN PARENTAL RELATIONSHIP WILL

S. 2607--C                         38

BE AWARE OF ALL RELEVANT CHANGES THAT WOULD OCCUR UNDER THE WAIVER,  AND
SHALL  INCLUDE INFORMATION ON THE FORM, MANNER AND DATE BY WHICH PARENTS
MAY SUBMIT WRITTEN COMMENTS ON THE PROPOSED WAIVER. THE HIGH  PERFORMING
SCHOOL SHALL PROVIDE AT LEAST SIXTY DAYS FOR SUCH PARENTS AND PERSONS IN
PARENTAL  RELATIONSHIP  TO SUBMIT WRITTEN COMMENTS, AND SHALL INCLUDE IN
THE WAIVER APPLICATION SUBMITTED TO THE COMMISSIONER PURSUANT TO  SUBDI-
VISION  ONE  OF  THIS  SECTION  ANY  WRITTEN COMMENTS RECEIVED FROM SUCH
PARENTS OR PERSONS IN PARENTAL RELATION TO SUCH STUDENTS.
  4. THE COMMISSIONER MAY GRANT A WAIVER FROM ANY REQUIREMENT IMPOSED ON
A HIGH PERFORMING SCHOOL PURSUANT TO THIS TITLE. IN MAKING SUCH DETERMI-
NATION, THE COMMISSIONER SHALL CONSIDER ANY  COMMENTS  RECEIVED  BY  THE
HIGH  PERFORMING  SCHOOL FROM PARENTS OR PERSONS IN PARENTAL RELATION TO
THE STUDENTS THAT WOULD BE DIRECTLY AFFECTED BY THE WAIVER IF GRANTED.
  5. THE COMMISSIONER SHALL MAKE HIS OR  HER  DETERMINATION  WITHIN  TEN
DAYS OF RECEIPT OF THE APPLICATION FOR A WAIVER.
  6.  ANY HIGH PERFORMING SCHOOL GRANTED A WAIVER SHALL SUBMIT AN ANNUAL
REPORT TO THE COMMISSIONER REGARDING THE OPERATION AND EVALUATION OF THE
PROGRAM NO LATER THAN THIRTY DAYS AFTER THE END OF EACH SCHOOL YEAR  FOR
WHICH A WAIVER IS GRANTED.
  S 28. The opening paragraph of paragraph c of subdivision 5 of section
2604  of  the  education  law  is  designated subparagraph (i) and a new
subparagraph is added to read as follows:
   (II) NOTWITHSTANDING ANY PROVISION OF LAW, RULE OR REGULATION TO  THE
CONTRARY,  THE  FUNDS APPROPRIATED HEREIN, SUBJECT TO AN ALLOCATION PLAN
DEVELOPED BY THE LEGISLATURE AND APPROVED BY THE DIRECTOR OF THE BUDGET,
SHALL BE AVAILABLE FOR  PAYMENT  OR  PRIOR  YEAR  CLAIMS  AND/OR  FISCAL
STABILIZATION  GRANTS  FOR  REMAINING  PAYMENTS  FOR  THE  TWO  THOUSAND
TWELVE-TWO THOUSAND THIRTEEN SCHOOL YEAR AND FOR PAYMENTS PRIOR TO MARCH
THIRTY-FIRST, TWO THOUSAND FOURTEEN FOR THE  TWO  THOUSAND  THIRTEEN-TWO
THOUSAND  FOURTEEN  SCHOOL YEAR, PROVIDED, HOWEVER, THAT NOTWITHSTANDING
ANY PROVISIONS OF LAW, RULE OR REGULATION TO THE CONTRARY, FOUR  MILLION
DOLLARS  SHALL  BE  MADE  AVAILABLE  TO ANY AVERAGE NEED SCHOOL DISTRICT
OTHER THAN A CITY SCHOOL DISTRICT FOR THE PAYMENT OF PRIOR  YEAR  CLAIMS
THAT HAVE BEEN APPROVED BY THE COMMISSIONER WHERE SUCH SCHOOL DISTRICT'S
TOTAL  AGGREGATE APPROVED PRIOR YEAR CLAIMS EXCEED FOUR MILLION DOLLARS;
PROVIDED FURTHER THAT ANY REMAINING FUNDS ALLOCATED FOR PAYMENT OF PRIOR
YEAR CLAIMS SHALL BE USED TO PAY CLAIMS IN THE ORDER THAT EACH CLAIM HAS
BEEN APPROVED BY THE COMMISSIONER, BUT IN NO CASE SHALL ANY  CLAIM  DRAW
DOWN  MORE  THAN  FORTY PERCENT OF THE TOTAL PAYMENT LEVEL SO DESIGNATED
FOR PRIOR YEAR CLAIMS FOR THE TWO THOUSAND THIRTEEN-TWO  THOUSAND  FOUR-
TEEN  SCHOOL YEAR; PROVIDED FURTHER THAT NO MORE THAN FIFTY-FIVE PERCENT
OF SUCH TWO THOUSAND THIRTEEN-TWO THOUSAND FOURTEEN SCHOOL  YEAR  AMOUNT
FOR  FISCAL STABILIZATION GRANTS AND/OR PRIOR YEAR CLAIMS SHALL BE PAYA-
BLE PRIOR TO APRIL FIRST OF THE SCHOOL YEAR; PROVIDED  FURTHER  THAT  NO
CLAIM  SHALL  BE SET ASIDE FOR INSUFFICIENCY OF FUNDS TO MAKE A COMPLETE
PAYMENT.
  S 29. Clause (b) of subparagraph 3 of paragraph e of subdivision 6  of
section  3602 of the education law, as amended by section 31-a of part A
of chapter 57 of the laws of 2012, is amended to read as follows:
  (b) Such assumed amortization for a project approved  by  the  commis-
sioner  on or after the later of the first day of December, two thousand
one or thirty days after the date upon which this subdivision shall have
become a law and prior to the first day of July, two thousand eleven  or
for  any  debt  service related to projects approved by the commissioner
prior to such date where a bond, capital note or bond anticipation  note
is  first issued on or after the first day of December, two thousand one

S. 2607--C                         39

to fund such projects, shall commence: (i) eighteen  months  after  such
approval or (ii) on the date of receipt by the commissioner of a certif-
ication  by  the  district that a general construction contract has been
awarded  for  such project by the district, whichever is later, and such
assumed amortization for a project approved by the [commissioner] VOTERS
OF THE SCHOOL DISTRICT OR BY THE BOARD OF EDUCATION  OF  A  CITY  SCHOOL
DISTRICT  IN  A  CITY  WITH  MORE  THAN ONE HUNDRED TWENTY-FIVE THOUSAND
INHABITANTS BUT LESS THAN ONE MILLION INHABITANTS, on or after the first
day of July, two thousand eleven shall commence: (iii)  eighteen  months
after [such] COMMISSIONER approval or (iv) on the date of receipt by the
commissioner  of both the final certificate of substantial completion of
the project issued by the architect  or  engineer  and  the  final  cost
report  for  such  project, whichever is later or (v) upon the effective
date of a waiver based on a finding by the commissioner, pursuant  to  a
process  set  forth  by the commissioner, that the district is unable to
submit a final certificate of substantial  completion  for  the  project
and/or  complete  the  final cost report because of circumstances beyond
the control of the district. Such assumed amortization shall provide for
equal semiannual payments of principal and interest based on an interest
rate established pursuant to subparagraph five  of  this  paragraph  for
such  purpose  for  the  school  year during which such certification is
received. The first installment of  obligations  issued  by  the  school
district in support of such projects may mature not later than the dates
established  pursuant  to  sections 21.00 and 22.10 of the local finance
law.
  S 30. Notwithstanding any other provision of law, rule  or  regulation
to  the  contrary, where the public school or school district a homeless
child was attending on a tuition-free basis or was  entitled  to  attend
when  circumstances  arose  which caused the child to become homeless is
located outside the state, the New York school district responsible  for
the  education  of  such  homeless child pursuant to section 3209 of the
education law upon the child's entry into New York shall not be  respon-
sible  for  reimbursement  of the state education department pursuant to
paragraph b of subdivision 3 of section 3209 of the education law.
  S 31.  Subdivision 8 of section 4401 of the education law, as  amended
by chapter 57 of the laws of 1993, is amended to read as follows:
  8.  "School district basic contribution" shall mean an amount equal to
the total school district local property and non-property tax  levy  for
the base year divided by the base year public school district enrollment
of  resident  pupils of the school district as defined in paragraph n of
subdivision one of section  thirty-six  hundred  two  of  this  chapter,
EXCEPT  THAT  FOR  THE TWO THOUSAND TWELVE--TWO THOUSAND THIRTEEN SCHOOL
YEAR AND THEREAFTER, SUCH TAX LEVY FOR THE BASE YEAR SHALL BE DIVIDED BY
THE BASE YEAR PUPIL COUNT AS DETERMINED BY THE COMMISSIONER PURSUANT  TO
PARAGRAPH F OF SUBDIVISION TWO OF SECTION THIRTY-SIX HUNDRED TWO OF THIS
CHAPTER  FOR  ANY  SCHOOL  DISTRICT IN WHICH SUCH BASE YEAR PUPIL COUNT,
EXCLUDING PUPILS ATTENDING A CENTRAL HIGH SCHOOL DISTRICT,  EXCEEDS  ONE
HUNDRED  AND  FIFTY  PERCENT  OF  SUCH  BASE YEAR PUBLIC SCHOOL DISTRICT
ENROLLMENT OF RESIDENT PUPILS AS DEFINED IN PARAGRAPH N  OF  SUBDIVISION
ONE OF SECTION THIRTY-SIX HUNDRED TWO OF THIS CHAPTER.
  S 32. This act shall take effect immediately; provided, however, that:
  (a) section two of this act shall be deemed to have been in full force
and  effect  on  and after the effective date of section 30 of part A of
chapter 58 of the laws of 2011, took effect;

S. 2607--C                         40

  (b) section eleven of this act shall take effect on the same date  and
in the same manner as section 55 of chapter 1 of the laws of 2013, takes
effect;
  (c)  section  thirteen  of this act shall take effect on the same date
and in the same manner as section 56 of chapter 1 of the laws  of  2013,
takes effect;
  (d)  section  sixteen of this act shall be deemed to have been in full
force and effect on and after July 1, 2010; and
  (e) sections nine, seventeen, twenty-eight and thirty-one of this  act
shall take effect July 1, 2013.

                                PART A-2

  Section  1.  Legislative  intent.  The  legislature  hereby  finds and
declares that given the current  fiscal  climate  in  this  state,  many
school districts, particularly small, rural districts, are threatened by
a decline in educational opportunities and programs for their students.
  School  districts  are  seeking  new  models of delivering services to
students that are most cost-effective and efficient, in order to sustain
or enhance the quality of services to maintain or expand  the  scope  of
services offered to students.
  The  legislature  recognizes  that many secondary schools in the state
are experiencing financial limitations that may impair their ability  to
offer students the same range or quality of courses that other secondary
schools may provide. In order to ensure that these districts continue to
offer  their students advanced course work, districts should be afforded
the opportunity to establish a regional secondary school.
  Under this new model of delivering services, districts will be able to
streamline programs and services, increase resources and increase  their
purchasing  power  through shared services. These resultant cost savings
will allow money to flow into  educational  programs  and  services  for
students  which  will,  in turn, help to improve student performance and
meet college and career readiness.
  S 2. The education law is amended by adding a new article 39-A to read
as follows:
                              ARTICLE 39-A
                       REGIONAL SECONDARY SCHOOLS
SECTION 1920.  DEFINITIONS.
        1921.  ESTABLISHMENT OF A REGIONAL SECONDARY SCHOOL OPERATED  BY
                A BOARD OF EDUCATION.
        1922.   ESTABLISHMENT OF A REGIONAL SECONDARY SCHOOL OPERATED BY
                A BOARD OF COOPERATIVE EDUCATIONAL SERVICES.
        1923.  STATE AID FOR REGIONAL SECONDARY SCHOOLS.
        1924.  REGIONAL SECONDARY SCHOOL ADVISORY COMMITTEE.
  S 1920. DEFINITIONS. FOR PURPOSES OF THIS ARTICLE, THE FOLLOWING TERMS
SHALL HAVE THE FOLLOWING MEANINGS:
  1. THE TERM "REGIONAL SECONDARY SCHOOL" SHALL MEAN A SECONDARY  SCHOOL
ESTABLISHED  BY  PARTICIPATING  DISTRICTS  WITHIN  A  REGION OF NEW YORK
STATE.
  2. THE TERM "SECONDARY SCHOOL" SHALL MEAN:
  A. A HIGH SCHOOL CONTAINING GRADES NINE THROUGH TWELVE;
  B. A JUNIOR HIGH SCHOOL CONTAINING GRADES SIX THROUGH EIGHT;
  C. A COMBINED JUNIOR/SENIOR HIGH SCHOOL CONTAINING GRADES SIX  THROUGH
TWELVE;
  D.  A  COMBINED  JUNIOR/SENIOR  HIGH  SCHOOL  CONTAINING  GRADES SEVEN
THROUGH TWELVE; OR

S. 2607--C                         41

  E. A  COMBINED  JUNIOR/SENIOR  HIGH  SCHOOL  CONTAINING  GRADES  EIGHT
THROUGH TWELVE.
  3.  THE  TERM "REGION" SHALL MEAN THE COMBINED AREA OF ALL THE PARTIC-
IPATING DISTRICTS THAT ESTABLISH A REGIONAL SECONDARY SCHOOL.
  4. THE TERM "PARTICIPATING DISTRICT" SHALL  MEAN  AN  ELIGIBLE  SCHOOL
DISTRICT  WHOSE BOARD OF EDUCATION HAS ADOPTED A RESOLUTION TO ESTABLISH
A REGIONAL SECONDARY SCHOOL WITH  ONE  OR  MORE  OTHER  ELIGIBLE  SCHOOL
DISTRICTS.
  5. THE TERM "ELIGIBLE SCHOOL DISTRICT" SHALL MEAN:
  A. A CITY SCHOOL DISTRICT,
  B. A CENTRAL SCHOOL DISTRICT,
  C. A UNION FREE SCHOOL DISTRICT, AND/OR
  D. A COMMON SCHOOL DISTRICT, WHICH IS ELIGIBLE TO ESTABLISH A REGIONAL
SECONDARY SCHOOL.
  6.  THE  TERM "HOSTING DISTRICT" SHALL MEAN THE PARTICIPATING DISTRICT
WHICH HOSTS THE REGIONAL SECONDARY SCHOOL.
  7. THE TERM "REGIONAL REFERENDUM" SHALL MEAN A  REFERENDUM,  PRESENTED
SIMULTANEOUSLY  ON  THE  BALLOT  OF ALL THE PARTICIPATING DISTRICTS, AND
DETERMINED BY A MAJORITY VOTE  OF  THE  PARTICIPATING  ELECTORS  OF  THE
REGION COLLECTIVELY.
  8. THE TERM "PROPOSED CONTRACT" SHALL MEAN THE CONTRACT ADOPTED BY ALL
THE  BOARDS  OF  EDUCATION OF THE PARTICIPATING DISTRICTS FOR THE ESTAB-
LISHMENT AND OPERATION OF THE REGIONAL SECONDARY SCHOOL.
  9. THE TERM "GOVERNING BOARD OF THE REGIONAL SECONDARY  SCHOOL"  SHALL
MEAN  THE GOVERNING BOARD OF THE REGIONAL SECONDARY SCHOOL AS DESIGNATED
BY THE PROPOSED CONTRACT.
  S 1921. ESTABLISHMENT OF A REGIONAL SECONDARY  SCHOOL  OPERATED  BY  A
BOARD  OF  EDUCATION.  1. A REGIONAL SECONDARY SCHOOL MAY BE ESTABLISHED
PURSUANT TO THIS SECTION.
  2. A REGIONAL SECONDARY SCHOOL MAY  BE  ESTABLISHED  BY  TWO  OR  MORE
ELIGIBLE SCHOOL DISTRICTS.
  3.  THE  ESTABLISHMENT OF A REGIONAL SECONDARY SCHOOL SHALL BE SUBJECT
TO THE APPROVAL OF THE COMMISSIONER, IN A MANNER AND TIME FRAME, AS  SET
FORTH WITHIN THIS SECTION.
  4. A REGIONAL SECONDARY SCHOOL:
  A.  SHALL  BE  WHOLLY  CONTAINED  WITHIN THE SUPERVISORY DISTRICT OF A
BOARD OF COOPERATIVE EDUCATIONAL SERVICES, UNLESS:
  (I) UPON APPLICATION OF THE BOARDS OF EDUCATION SEEKING TO ESTABLISH A
REGIONAL  SECONDARY  SCHOOL,  THE  COMMISSIONER  AGREES  TO  WAIVE  THIS
REQUIREMENT; OR
  (II)  THE  PARTICIPATING  SCHOOL  DISTRICT  IS  A  CENTRAL HIGH SCHOOL
DISTRICT, WHICH SUBJECT TO APPROVAL  OF  ITS  VOTERS,  ENTERED  INTO  AN
AGREEMENT   WITH  SCHOOL  DISTRICTS  OTHER  THAN  ITS  COMPONENT  SCHOOL
DISTRICTS, THAT ARE WHOLLY CONTAINED WITHIN THE SUPERVISORY DISTRICT  OF
A BOARD OF COOPERATIVE EDUCATIONAL SERVICES.
  B.  SHALL  NOT BE A COMPONENT SCHOOL DISTRICT OF A CENTRAL HIGH SCHOOL
DISTRICT, OR A SPECIAL ACT SCHOOL DISTRICT, AS DEFINED IN  SECTION  FOUR
THOUSAND ONE OF THIS CHAPTER.
  5. A REGIONAL SECONDARY SCHOOL SHALL SERVE ALL OR SOME OF THE STUDENTS
IN  EACH  OF THE PARTICIPATING DISTRICTS IN GRADES OF A SECONDARY SCHOOL
AS DETERMINED BY THE AGREEMENT BETWEEN THE PARTICIPATING DISTRICTS.
  6. UPON THE ESTABLISHMENT OF A REGIONAL SECONDARY SCHOOL, EACH PARTIC-
IPATING DISTRICT SHALL CEASE OPERATION OF AT LEAST ONE SECONDARY SCHOOL,
EXCEPT THAT THE HOSTING DISTRICT MAY CONTINUE  TO  OPERATE  A  SECONDARY
SCHOOL  AS  A  REGIONAL  SECONDARY SCHOOL, PURSUANT TO THE CONDITIONS OF
THIS ARTICLE.

S. 2607--C                         42

  7. PURSUANT TO THIS SECTION, THE  REGIONAL  SECONDARY  SCHOOL  MAY  BE
OPERATED BY:
  A.  ONE  OF  THE  PARTICIPATING  DISTRICTS,  CONSTITUTING  THE HOSTING
DISTRICT, WHICH SHALL ASSUME THE RESPONSIBILITY  TO  OPERATE,  SUPERVISE
AND  MAINTAIN  THE  REGIONAL  SECONDARY SCHOOL AND THE ADMINISTRATION OF
SUCH REGIONAL SECONDARY SCHOOL; OR
  B. A JOINT BOARD OF EDUCATION ESTABLISHED PURSUANT TO THIS SECTION.
  8. A. TO ESTABLISH A REGIONAL SECONDARY SCHOOL, TWO  OR  MORE  PARTIC-
IPATING  SCHOOL  DISTRICTS MUST INITIALLY ADOPT, BY MAJORITY VOTE OF THE
BOARD OF EDUCATION OF EACH PARTICIPATING DISTRICT, A RESOLUTION  PROPOS-
ING THE ESTABLISHMENT OF THE REGIONAL SECONDARY SCHOOL.
  B. THE RESOLUTION TO ESTABLISH A REGIONAL SECONDARY SCHOOL SHALL INDI-
CATE:
  (I) THE PROPOSED PARTICIPATING SCHOOL DISTRICTS;
  (II)  WHETHER  THE  SCHOOL  WOULD  BE  GOVERNED  BY A PROPOSED HOSTING
DISTRICT OR A JOINT BOARD OF EDUCATION;
  (III) A LISTING OF THE GRADES THAT WOULD BE INCLUDED IN  THE  REGIONAL
SECONDARY SCHOOL;
  (IV) THE PROPOSED LOCATION OF, THE REGIONAL SECONDARY SCHOOL;
  (V) THE PROPOSED TERM OF THE CONTRACT GOVERNING THE REGIONAL SECONDARY
SCHOOL.
  C. THE RESOLUTION TO  ESTABLISH THE REGIONAL SECONDARY SCHOOL SHALL BE
VOTED  ON BY EACH BOARD AT A MEETING HELD NO LATER THAN OCTOBER FIRST OF
THE SCHOOL YEAR PRIOR TO THE SCHOOL YEAR IN WHICH THE REGIONAL SECONDARY
SCHOOL IS PROPOSED TO COMMENCE OPERATION.
  9. A. IF TWO OR MORE SCHOOL  DISTRICTS  ADOPT  SUCH  A  RESOLUTION  AS
PROVIDED  IN  SUBDIVISION EIGHT OF THIS SECTION, THE RESOLUTION SHALL BE
PRESENTED IN A REGIONAL REFERENDUM BY MEANS OF A REGIONAL  VOTE,  BEFORE
THE ELECTORS OF ALL OF THE PROPOSED PARTICIPATING DISTRICTS.
  B.  APPROVAL  OF THE REGIONAL REFERENDUM SHALL BE UPON A MAJORITY VOTE
OF THE PARTICIPATING ELECTORS IN THE  REGION  ENCOMPASSING  ALL  OF  THE
PROPOSED PARTICIPATION DISTRICTS.
  C.  IN THE EVENT THE VOTERS DO NOT APPROVE THE REGIONAL REFERENDUM, IT
MAY BE PRESENTED FOR A RE-VOTE, BUT IN NO EVENT ANY MORE THAN TWO  VOTES
BE HELD IN ANY SCHOOL YEAR.
  10.  UPON  THE  APPROVAL  OF  THE  VOTERS  IN THE REGIONAL REFERENDUM,
PRESENTED PURSUANT TO SUBDIVISION NINE OF THIS SECTION, THE  PARTICIPAT-
ING  SCHOOL  DISTRICTS SHALL COLLECTIVELY ENTER INTO A PROPOSED CONTRACT
FOR THE ESTABLISHMENT OF A REGIONAL SECONDARY SCHOOL.
  11. WITH THE CONSENT OF EACH OF THE PARTICIPATING BOARDS OF  EDUCATION
AND APPROVAL OF THE COMMISSIONER, ADDITIONAL SCHOOL DISTRICTS, OTHERWISE
ELIGIBLE  TO  ESTABLISH  THE  REGIONAL  SECONDARY  SCHOOL,  MAY JOIN THE
REGIONAL SECONDARY SCHOOL IN THE SECOND OR A SUBSEQUENT YEAR  OF  OPERA-
TION, BY ADOPTING A BOARD RESOLUTION AND OBTAINING VOTER APPROVAL UPON A
MAJORITY VOTE OF THE ELECTORS OF SUCH ADDITIONAL DISTRICT.
  12.  A. UPON RECEIPT OF VOTER APPROVAL IN THE REGIONAL REFERENDUM HELD
PURSUANT TO SUBDIVISION NINE OF THIS SECTION, THE  PARTICIPATING  SCHOOL
DISTRICTS  SHALL ADOPT, BY A MAJORITY VOTE OF THE BOARDS OF EDUCATION OF
EACH PARTICIPATING SCHOOL DISTRICT, A PROPOSED CONTRACT FOR  THE  OPERA-
TION OF THE  REGIONAL SECONDARY SCHOOL.
  B.  THE  PROPOSED CONTRACT FOR THE OPERATION OF THE REGIONAL SECONDARY
SCHOOL SHALL INCLUDE THE PLAN OF FORMATION AND OPERATION OF THE REGIONAL
SECONDARY SCHOOL AND SHALL BE SUBMITTED TO THE COMMISSIONER FOR  HIS  OR
HER APPROVAL, IN A TIME AND MANNER PRESCRIBED BY THE COMMISSIONER.
  C.   THE PROPOSED CONTRACT FOR THE OPERATION OF THE REGIONAL SECONDARY
SCHOOL SHALL BE AN INTER-MUNICIPAL SHARING AGREEMENT PURSUANT TO ARTICLE

S. 2607--C                         43

FIVE-G OF THE GENERAL MUNICIPAL LAW THAT COMPLIES WITH THE  REQUIREMENTS
OF THIS SECTION.
  13.  THE PROPOSED CONTRACT FOR THE OPERATION OF THE REGIONAL SECONDARY
SCHOOL, AND THE REGIONAL SECONDARY  SCHOOL  THAT  WOULD  BE  ESTABLISHED
THEREUNDER, SHALL MEET THE FOLLOWING REQUIREMENTS:
  A.  THE  PROPOSED  CONTRACT  SHALL  PROVIDE  THE  NAME OF THE REGIONAL
SECONDARY SCHOOL, WHICH SHALL BE SUBJECT TO THE COMMISSIONER'S APPROVAL.
  B. THE TERM OF THE PROPOSED CONTRACT SHALL BE SPECIFIED  THEREIN,  AND
SHALL BE FOR A TERM NOT LESS THAN FIVE NOR MORE THAN SEVEN SCHOOL YEARS.
  C.  THE  PROPOSED  CONTRACT  SHALL  ESTABLISH A GOVERNING BOARD OF THE
REGIONAL SECONDARY SCHOOL, THAT  WILL  OPERATE  THE  REGIONAL  SECONDARY
SCHOOL ON BEHALF OF ALL PARTICIPATING DISTRICTS, AS FOLLOWS:
  (I)  THE  GOVERNING  BOARD  OF  THE REGIONAL SECONDARY SCHOOL SHALL BE
DESIGNATED BY THE PROPOSED CONTRACT TO BE EITHER THE BOARD OF  EDUCATION
OF  THE  HOSTING  DISTRICT, OR A JOINT BOARD OF EDUCATION ESTABLISHED BY
THE PARTICIPATING DISTRICTS.
  (II) IN THE EVENT THE PROPOSED CONTRACT DESIGNATES A  JOINT  BOARD  OF
EDUCATION AS THE GOVERNING BOARD OF THE REGIONAL SECONDARY SCHOOL:
  (1)  SUCH JOINT BOARD SHALL CONSIST OF AT LEAST FIVE MEMBERS, WITH NOT
LESS THAN ONE MEMBER APPOINTED BY THE BOARD OF EDUCATION OF EACH PARTIC-
IPATING SCHOOL DISTRICT, AND WITH ANY REMAINING  MEMBERS  BEING  JOINTLY
APPOINTED  BY  THE  BOARDS  OF  EDUCATION  OF  THE  PARTICIPATING SCHOOL
DISTRICTS COLLECTIVELY;
  (2) THE PROPOSED CONTRACT, CONSISTENT  WITH  THE  PROVISIONS  OF  THIS
SECTION,  SHALL SPECIFY THE NUMBER, TERM, AND PROCEDURES FOR APPOINTMENT
OF THE JOINT BOARD MEMBERS; AND
  (3) THE JOINT BOARD SHALL HAVE THE SAME POWERS AND DUTIES WITH RESPECT
TO THE REGIONAL SECONDARY SCHOOL AS A BOARD OF EDUCATION OF A UNION FREE
SCHOOL DISTRICT HAS WITH RESPECT TO  ITS  SCHOOLS  UNDER  THIS  CHAPTER,
EXCEPT AS MODIFIED BY THE TERMS OF THE PROPOSED CONTRACT.
  (III) THE GOVERNING BOARD SHALL HAVE RESPONSIBILITY FOR THE OPERATION,
SUPERVISION  AND  MAINTENANCE OF THE REGIONAL SECONDARY SCHOOL AND SHALL
BE RESPONSIBLE FOR THE  ADMINISTRATION  OF  THE  SCHOOL,  INCLUDING  THE
CURRICULUM,  GRADING,  STAFFING  AND  THE  ISSUANCE  OF DIPLOMAS FOR ALL
STUDENTS THAT ATTEND THE REGIONAL SECONDARY SCHOOL, AS SHALL  BE  DESIG-
NATED IN THE PROPOSED CONTRACT.
  (IV)  THE  REGIONAL  SECONDARY  SCHOOL SHALL BE DEEMED A SCHOOL OF THE
GOVERNING BOARD FOR ACCOUNTABILITY PURPOSES.
  D. THE  PROPOSED  CONTRACT  MAY  PROVIDE  THAT  THE  STUDENT'S  SCHOOL
DISTRICT  OF  RESIDENCE  MAY  ISSUE  THE STUDENT'S DIPLOMA, UPON CERTIF-
ICATION BY THE GOVERNING BOARD THAT ALL GRADUATION REQUIREMENTS  OF  THE
REGIONAL SECONDARY SCHOOL HAVE BEEN MET.
  E.  THE  PROPOSED  CONTRACT  SHALL DESIGNATE THE GRADES OF INSTRUCTION
INTENDED TO BE SERVED BY THE REGIONAL SECONDARY SCHOOL.
  F. THE PROPOSED CONTRACT SHALL DESIGNATE  THE  SITE  OF  THE  REGIONAL
SECONDARY  SCHOOL,  WHICH  SHALL  BE WITHIN THE BOUNDARIES OF ONE OF THE
PARTICIPATING DISTRICTS, AND WHERE POSSIBLE, SHOULD USE EXISTING  BUILD-
INGS AND/OR INFRASTRUCTURE.
  G.  NOTWITHSTANDING  ANY  OTHER  PROVISION OF LAW TO THE CONTRARY, THE
PROPOSED CONTRACT SHALL PROVIDE THAT EACH PARTICIPATING SCHOOL  DISTRICT
SHALL  BE  RESPONSIBLE  FOR PROVIDING OR ARRANGING FOR TRANSPORTATION TO
ITS RESIDENT STUDENTS ATTENDING THE REGIONAL SECONDARY SCHOOL IN ACCORD-
ANCE WITH ITS SCHOOL DISTRICT POLICY, BUT WITHOUT REGARD TO ANY  MAXIMUM
MILEAGE LIMITATION.
  H.  THE  PROPOSED CONTRACT MAY PROVIDE THAT STUDENT TRANSPORTATION MAY
BE PROVIDED BY CONTRACT FOR TRANSPORTATION SERVICES, INCLUDING  BUT  NOT

S. 2607--C                         44

LIMITED  TO  A  CONTRACT  WITH  ONE OR MORE PARTICIPATING DISTRICTS OR A
BOARD OF COOPERATIVE EDUCATIONAL SERVICES.
  I. THE PROPOSED CONTRACT SHALL SPECIFY:
  (I)  THAT  THE  STUDENTS  OF  EACH PARTICIPATING SCHOOL DISTRICT SHALL
REMAIN ENROLLED AS STUDENTS OF  THEIR  RESPECTIVE  PARTICIPATING  SCHOOL
DISTRICTS;
  (II)  THAT  THE  STUDENTS  SHALL BE TREATED AND COUNTED AS STUDENTS OF
THEIR RESPECTIVE PARTICIPATING SCHOOL  DISTRICTS  FOR  PURPOSES  OF  ALL
STATE AID CALCULATIONS PURSUANT TO THIS CHAPTER;
  (III)  THE  CURRENT  ENROLLMENT OF ALL PARTICIPATING SCHOOL DISTRICTS;
AND
  (IV) THE PROJECTED TOTAL ENROLLMENT NUMBERS OF THE REGIONAL  SECONDARY
SCHOOL.
  J.  THE  PROPOSED CONTRACT MUST DEMONSTRATE HOW THE REGIONAL SECONDARY
SCHOOL WILL PROVIDE INCREASED EDUCATIONAL  OPPORTUNITIES  FOR  STUDENTS,
INCLUDING  COURSES  AND PROGRAMS IN SCIENCE, TECHNOLOGY, ENGINEERING AND
MATH, TO PREPARE STUDENTS FOR COLLEGE AND CAREER READINESS  AND  IMPROVE
STUDENT PERFORMANCE.
  K.  THAT  EMPLOYMENT  ISSUES OF THE REGIONAL SECONDARY SCHOOL SHALL BE
RESOLVED AS FOLLOWS:
  (I) THAT ALL TEACHERS, TEACHING ASSISTANTS AND TEACHER  AIDES  OF  THE
PARTICIPATING  SCHOOL  DISTRICTS,  WHOSE  SERVICES  IN THE PARTICIPATING
SCHOOL DISTRICTS ARE NO LONGER NEEDED BECAUSE OF THE ESTABLISHMENT OF  A
REGIONAL  SECONDARY  SCHOOL,  OR THE TRANSFER OF STUDENTS TO AN EXISTING
REGIONAL SECONDARY SCHOOL, OR AS A RESULT OF A NEW PARTICIPATING  SCHOOL
DISTRICT JOINING THE REGIONAL SECONDARY SCHOOL, SHALL IMMEDIATELY BECOME
EMPLOYEES  OF  THE  GOVERNING BOARD DESIGNATED IN THE PROPOSED CONTRACT,
AND SHALL RETAIN THEIR TENURE AND/OR EMPLOYMENT STATUS AND THE SENIORITY
GAINED IN THE PARTICIPATING DISTRICT.
  (II) THAT IN THE EVENT THAT THE NUMBER OF TEACHING, TEACHING ASSISTANT
OR TEACHER AIDE POSITIONS NEEDED TO  PROVIDE  THE  EDUCATIONAL  SERVICES
REQUIRED  BY  A  REGIONAL  SECONDARY  SCHOOL  IS LESS THAN THE NUMBER OF
TEACHERS, TEACHING ASSISTANTS, AND TEACHER AIDS ELIGIBLE TO  BE  CONSID-
ERED  EMPLOYEES  OF  THE  DESIGNATED  GOVERNING  BOARD  OF SUCH REGIONAL
SECONDARY SCHOOL, THE SERVICES OF THE TEACHERS, TEACHING ASSISTANTS  AND
TEACHER  AIDES  HAVING  THE  LEAST SENIORITY IN THE PARTICIPATING SCHOOL
DISTRICT WITHIN THE TENURE AREA OR CIVIL SERVICE STATUS, AS THE CASE MAY
BE, OF THE POSITION SHALL BE DISCONTINUED.
  (III) THAT ANY SUCH EMPLOYEES WHO ARE TEACHERS, TEACHING ASSISTANTS OR
TEACHER AIDES SHALL BE PLACED ON A PREFERRED ELIGIBLE LIST OF CANDIDATES
FOR APPOINTMENT TO A VACANCY THAT MAY THEREAFTER OCCUR IN AN  OFFICE  OR
POSITION  UNDER THE JURISDICTION OF THE PARTICIPATING SCHOOL DISTRICT IN
ACCORDANCE WITH THE PROVISIONS OF SECTION  TWENTY-FIVE  HUNDRED  TEN  OR
THREE THOUSAND THIRTEEN OF THIS CHAPTER.
  (IV) THAT FOR ANY SUCH TEACHER, TEACHING ASSISTANT OR TEACHER AIDE WHO
IS RETAINED BY THE GOVERNING BOARD, FOR SALARY, SICK LEAVE AND ANY OTHER
PURPOSES,  THE  LENGTH  OF SERVICE CREDITED IN SUCH PARTICIPATING SCHOOL
DISTRICT PRIOR TO ITS PARTICIPATION IN  THE  REGIONAL  SECONDARY  SCHOOL
SHALL  BE  CREDITED  AS  EMPLOYMENT  TIME  WITH THE DESIGNATED GOVERNING
BOARD.
  (V) THAT UPON TERMINATION OF THE PROPOSED CONTRACT  PURSUANT  TO  THIS
SECTION AND THE RETURN OF STUDENTS FROM THE REGIONAL SECONDARY SCHOOL TO
THE FORMER PARTICIPATING SCHOOL DISTRICT, THE TEACHERS, TEACHING ASSIST-
ANTS  AND  TEACHER AIDES EMPLOYED BY THE GOVERNING BOARD TO SERVE IN THE
REGIONAL SECONDARY SCHOOL SHALL HAVE THE SAME EMPLOYMENT RIGHTS  IN  THE
PARTICIPATING SCHOOL DISTRICTS AS TEACHERS WOULD HAVE UPON TAKEOVER OF A

S. 2607--C                         45

BOARD  OF  COOPERATIVE  EDUCATIONAL  SERVICES  PROGRAM  BY  SUCH  SCHOOL
DISTRICTS PURSUANT TO SECTION THREE THOUSAND FOURTEEN-B OF THIS CHAPTER.
  (VI)  THAT  ALL  SCHOOL  PRINCIPALS, ASSISTANT PRINCIPALS, SUPERVISORY
EMPLOYEES, AND NON-INSTRUCTIONAL EMPLOYEES OF THE  PARTICIPATING  SCHOOL
DISTRICTS,  WHOSE  SERVICES IN THE PARTICIPATING SCHOOL DISTRICTS ARE NO
LONGER NEEDED BECAUSE OF  THE  ESTABLISHMENT  OF  A  REGIONAL  SECONDARY
SCHOOL,  OR  THE  TRANSFER OF STUDENTS TO AN EXISTING REGIONAL SECONDARY
SCHOOL, OR AS A RESULT OF A NEW PARTICIPATING  SCHOOL  DISTRICT  JOINING
THE REGIONAL SECONDARY SCHOOL, SHALL IMMEDIATELY BECOME EMPLOYEES OF THE
GOVERNING  BOARD  DESIGNATED  IN  THE  PROPOSED CONTRACT, AND SHALL HAVE
EMPLOYMENT RIGHTS IDENTICAL TO TEACHERS, TEACHING ASSISTANTS OR  TEACHER
AIDES  PROVIDED  IN  THIS  SECTION AND THE EXISTING RELEVANT SECTIONS OF
THIS CHAPTER.
  L. THE PROPOSED CONTRACT SHALL SPECIFY THE PROCESS FOR DEVELOPMENT  OF
THE BUDGET FOR THE REGIONAL SECONDARY SCHOOL BY THE DESIGNATED GOVERNING
BOARD  AND HOW OPERATING AND ADMINISTRATIVE COSTS AND THE LOCAL SHARE OF
CAPITAL EXPENSES ATTRIBUTABLE TO THE REGIONAL SECONDARY SCHOOL  WILL  BE
ALLOCATED AMONGST THE PARTICIPATING DISTRICTS.
  M.    THE  PROPOSED  CONTRACT  SHALL SPECIFY THE COSTS OF THE REGIONAL
SECONDARY SCHOOL, STAFFING,  CURRENT  AND  FUTURE  CAPITAL  CONSTRUCTION
PLANS AND FOR THE DELIVERY OF SPECIAL EDUCATION PROGRAMS.
  N.  THE  PROPOSED CONTRACT SHALL SPECIFY THE PROCEDURES FOR DISCIPLINE
OF STUDENTS ATTENDING  THE  REGIONAL  SECONDARY  SCHOOL,  INCLUDING  THE
APPLICABLE  CODE OF CONDUCT PROVIDED THAT SUCH CODE OF CONDUCT MEETS THE
REQUIREMENTS OF SECTION TWENTY-EIGHT HUNDRED ONE  OF  THIS  CHAPTER  AND
PROCEDURES  FOR  SUPERINTENDENTS'  HEARINGS  AND APPEALS TO THE BOARD OF
EDUCATION PURSUANT TO SECTION THIRTY-TWO HUNDRED FOURTEEN OF THIS  CHAP-
TER.
  O.  THE  PROPOSED CONTRACT SHALL SPECIFY THE COSTS OF THE OPERATION OF
THE REGIONAL SECONDARY SCHOOL FOR EACH PARTICIPATING SCHOOL DISTRICT AND
AN ITEMIZED LISTING OF THE COST SAVINGS FOR  EACH  PARTICIPATING  SCHOOL
DISTRICT.
  P. THE PROPOSED CONTRACT SHALL SPECIFY HOW EXTRA-CURRICULAR ACTIVITIES
AND  INTERSCHOLASTIC  ATHLETICS  WILL  BE  PROVIDED  TO  STUDENTS OF THE
REGIONAL SECONDARY SCHOOL.
  Q. THE PROPOSED CONTRACT SHALL SPECIFY THE FISCAL IMPLICATIONS OF  THE
REGIONAL  SECONDARY  SCHOOL  INCLUDING  EXPECTED  STATE AID AND EXPECTED
CHANGES IN EXPENDITURES AND PROPERTY TAX LEVIES.
  R. THE PROPOSED CONTRACT SHALL SPECIFY WHETHER THE  EMPLOYEES  OF  THE
REGIONAL  SECONDARY  SCHOOL  SHALL ESTABLISH NEW EMPLOYEE ORGANIZATIONS,
PURSUANT TO ARTICLE FOURTEEN OF THE CIVIL SERVICE LAW, FOR THEIR  REPRE-
SENTATION,  OR,  WHERE  APPLICABLE, WHETHER THEY SHALL BECOME MEMBERS OF
THE APPLICABLE EMPLOYEE ORGANIZATIONS REPRESENTING THE EMPLOYEES OF  THE
HOSTING DISTRICT.
  S.  THE  PROPOSED  CONTRACT  SHALL  SET FORTH ANY OTHER INFORMATION OR
ANALYSIS AS MAY BE REQUIRED BY THE REGULATIONS OF THE COMMISSIONER.
  14. IF THE COMMISSIONER APPROVES THE PROPOSED CONTRACT,  THE  REGIONAL
SECONDARY  SCHOOL SHALL BE ESTABLISHED. THE CONTRACT, SO APPROVED, SHALL
BE FOR A PERIOD OF AT LEAST FIVE AND NOT MORE THAN  SEVEN  SCHOOL  YEARS
AND,  UPON  THE APPROVAL OF THE COMMISSIONER, MAY BE RENEWED PURSUANT TO
MUTUAL AGREEMENT BY MEANS OF A MAJORITY VOTE OF EACH OF  THE  BOARDS  OF
EDUCATION  OF THE PARTICIPATING DISTRICTS. THE REGIONAL SECONDARY SCHOOL
SHALL COMMENCE OPERATIONS ON THE FIRST OF  JULY,  AND  SHALL  NOT  CEASE
OPERATIONS BEFORE THE THIRTIETH OF JUNE IN ANY SCHOOL YEAR.

S. 2607--C                         46

  S  1922.  ESTABLISHMENT  OF  A REGIONAL SECONDARY SCHOOL OPERATED BY A
BOARD OF COOPERATIVE  EDUCATIONAL  SERVICES.  1.  A  REGIONAL  SECONDARY
SCHOOL MAY BE ESTABLISHED PURSUANT TO THIS SECTION.
  2.  A  REGIONAL  SECONDARY  SCHOOL  MAY  BE ESTABLISHED BY TWO OR MORE
ELIGIBLE SCHOOL DISTRICTS.
  3. THE ESTABLISHMENT OF A REGIONAL SECONDARY SCHOOL SHALL  BE  SUBJECT
TO  THE APPROVAL OF THE COMMISSIONER, IN A MANNER AND TIME FRAME, AS SET
FORTH WITHIN THIS SECTION.
  4. A REGIONAL SECONDARY SCHOOL SHALL BE WHOLLY  CONTAINED  WITHIN  THE
SUPERVISORY  DISTRICT  OF  THE BOARD OF COOPERATIVE EDUCATIONAL SERVICES
OPERATING THE REGIONAL SECONDARY SCHOOL.
  5. A REGIONAL SECONDARY SCHOOL SHALL SERVE ALL OR SOME OF THE STUDENTS
IN EACH OF THE PARTICIPATING DISTRICTS IN GRADES OF A  SECONDARY  SCHOOL
AS DETERMINED BY THE AGREEMENT BETWEEN THE PARTICIPATING DISTRICTS.
  6. UPON THE ESTABLISHMENT OF A REGIONAL SECONDARY SCHOOL, EACH PARTIC-
IPATING DISTRICT SHALL CEASE OPERATION OF AT LEAST ONE SECONDARY SCHOOL,
EXCEPT  THAT  THE  HOSTING  DISTRICT MAY CONTINUE TO OPERATE A SECONDARY
SCHOOL AS A REGIONAL SECONDARY SCHOOL, PURSUANT  TO  THE  CONDITIONS  OF
THIS ARTICLE.
  7. PURSUANT TO THIS SECTION, THE REGIONAL SECONDARY SCHOOL OPERATED BY
A  BOARD  OF  COOPERATIVE EDUCATIONAL SERVICES, SHALL HAVE SUCH BOARD OF
COOPERATIVE EDUCATIONAL SERVICES ASSUME THE RESPONSIBILITY  TO  OPERATE,
SUPERVISE  AND  MAINTAIN  THE REGIONAL SECONDARY SCHOOL AND THE ADMINIS-
TRATION OF SUCH REGIONAL SECONDARY SCHOOL.
  8. A. TO ESTABLISH A REGIONAL SECONDARY SCHOOL, TWO  OR  MORE  PARTIC-
IPATING  SCHOOL  DISTRICTS MUST INITIALLY ADOPT, BY MAJORITY VOTE OF THE
BOARD OF EDUCATION OF EACH PARTICIPATING DISTRICT, A RESOLUTION  PROPOS-
ING THE ESTABLISHMENT OF THE REGIONAL SECONDARY SCHOOL.
  B. THE RESOLUTION TO ESTABLISH A REGIONAL SECONDARY SCHOOL SHALL INDI-
CATE:
  (I) THE PROPOSED PARTICIPATING SCHOOL DISTRICTS;
  (II)  THAT  THE REGIONAL SECONDARY SCHOOL SHALL BE OPERATED BY A BOARD
OF COOPERATIVE EDUCATIONAL SERVICES;
  (III) A LISTING OF THE GRADES THAT WOULD BE INCLUDED IN  THE  REGIONAL
SECONDARY SCHOOL;
  (IV) THE PROPOSED LOCATION OF THE REGIONAL SECONDARY SCHOOL;
  (V) THE PROPOSED TERM OF THE CONTRACT GOVERNING THE REGIONAL SECONDARY
SCHOOL.
  C.  THE RESOLUTION TO ESTABLISH THE REGIONAL SECONDARY SCHOOL SHALL BE
VOTED ON BY EACH BOARD AT A MEETING HELD NO LATER THAN OCTOBER FIRST  OF
THE SCHOOL YEAR PRIOR TO THE SCHOOL YEAR IN WHICH THE REGIONAL SECONDARY
SCHOOL IS PROPOSED TO COMMENCE OPERATION.
  9.  A.  IF  TWO  OR  MORE  SCHOOL DISTRICTS ADOPT SUCH A RESOLUTION AS
PROVIDED IN SUBDIVISION EIGHT OF THIS SECTION, THE RESOLUTION  SHALL  BE
PRESENTED  IN  A REGIONAL REFERENDUM BY MEANS OF A REGIONAL VOTE, BEFORE
THE ELECTORS OF ALL OF THE PROPOSED PARTICIPATING DISTRICTS.
  B. APPROVAL OF THE REGIONAL REFERENDUM SHALL BE UPON A  MAJORITY  VOTE
OF  THE  PARTICIPATING  ELECTORS  IN  THE REGION ENCOMPASSING ALL OF THE
PROPOSED PARTICIPATING DISTRICTS.
  C. IN THE EVENT THE VOTERS DO NOT APPROVE THE REGIONAL REFERENDUM,  IT
MAY  BE PRESENTED FOR A RE-VOTE, BUT IN NO EVENT MAY MORE THAN TWO VOTES
BE HELD IN ANY SCHOOL YEAR.
  10. UPON THE APPROVAL  OF  THE  VOTERS  IN  THE  REGIONAL  REFERENDUM,
PRESENTED  PURSUANT TO SUBDIVISION NINE OF THIS SECTION, THE PARTICIPAT-
ING SCHOOL DISTRICTS SHALL COLLECTIVELY ENTER INTO A  PROPOSED  CONTRACT
FOR THE ESTABLISHMENT OF A REGIONAL SECONDARY SCHOOL.

S. 2607--C                         47

  11. WITH THE CONSENT OF EACH OF THE PARTICIPATING BOARDS OF EDUCATION,
AND THE BOARD OF COOPERATIVE EDUCATIONAL SERVICES OPERATING THE REGIONAL
SECONDARY  SCHOOL, AND UPON THE APPROVAL OF THE COMMISSIONER, ADDITIONAL
SCHOOL DISTRICTS, OTHERWISE ELIGIBLE TO ESTABLISH THE REGIONAL SECONDARY
SCHOOL OPERATED BY A BOARD OF COOPERATIVE EDUCATIONAL SERVICES, MAY JOIN
THE  REGIONAL  SECONDARY  SCHOOL  IN  THE SECOND OR A SUBSEQUENT YEAR OF
OPERATION, BY ADOPTING A BOARD RESOLUTION AND OBTAINING  VOTER  APPROVAL
UPON A MAJORITY VOTE OF THE ELECTORS OF SUCH ADDITIONAL DISTRICT.
  12.  A. UPON RECEIPT OF VOTER APPROVAL IN THE REGIONAL REFERENDUM HELD
PURSUANT TO SUBDIVISION NINE OF THIS SECTION, THE  PARTICIPATING  SCHOOL
DISTRICTS  SHALL ADOPT, BY A MAJORITY VOTE OF THE BOARDS OF EDUCATION OF
EACH PARTICIPATING SCHOOL DISTRICT, A PROPOSED CONTRACT FOR  THE  OPERA-
TION OF THE REGIONAL SECONDARY SCHOOL.
  B.  THE  PROPOSED CONTRACT FOR THE OPERATION OF THE REGIONAL SECONDARY
SCHOOL SHALL INCLUDE THE PLAN OF FORMATION AND OPERATION OF THE REGIONAL
SECONDARY SCHOOL AND SHALL BE SUBMITTED TO THE COMMISSIONER FOR  HIS  OR
HER APPROVAL, IN A TIME AND MANNER PRESCRIBED BY THE COMMISSIONER.
  C.  THE  PROPOSED CONTRACT FOR THE OPERATION OF THE REGIONAL SECONDARY
SCHOOL SHALL BE AN INTERMUNICIPAL SHARING AGREEMENT PURSUANT TO  ARTICLE
FIVE-G  OF THE GENERAL MUNICIPAL LAW THAT COMPLIES WITH THE REQUIREMENTS
OF THIS SECTION.
  13. THE PROPOSED CONTRACT FOR THE OPERATION OF THE REGIONAL  SECONDARY
SCHOOL,  AND  THE  REGIONAL  SECONDARY  SCHOOL THAT WOULD BE ESTABLISHED
THEREUNDER, SHALL MEET THE FOLLOWING REQUIREMENTS:
  A. THE PROPOSED CONTRACT  SHALL  PROVIDE  THE  NAME  OF  THE  REGIONAL
SECONDARY SCHOOL, WHICH SHALL BE SUBJECT TO THE COMMISSIONER'S APPROVAL;
  B.  THE  TERM OF THE PROPOSED CONTRACT SHALL BE SPECIFIED THEREIN, AND
SHALL BE FOR A TERM NOT LESS THAN FIVE NOR MORE THAN SEVEN SCHOOL YEARS;
  C. THE PROPOSED CONTRACT SHALL ESTABLISH:
  (I) THAT THE BOARD OF COOPERATIVE EDUCATIONAL SERVICES AS THE  GOVERN-
ING  BOARD  OF  THE REGIONAL SECONDARY SCHOOL, WILL OPERATE THE REGIONAL
SECONDARY SCHOOL ON BEHALF OF ALL PARTICIPATING DISTRICTS;
  (II) THAT THE BOARD OF COOPERATIVE EDUCATIONAL SERVICES AS THE GOVERN-
ING BOARD OF THE REGIONAL SECONDARY SCHOOL,  SHALL  HAVE  RESPONSIBILITY
FOR THE OPERATION, SUPERVISION AND MAINTENANCE OF THE REGIONAL SECONDARY
SCHOOL  AND  SHALL  BE RESPONSIBLE FOR THE ADMINISTRATION OF THE SCHOOL,
INCLUDING THE CURRICULUM, GRADING, STAFFING AND THE ISSUANCE OF DIPLOMAS
FOR ALL STUDENTS THAT ATTEND THE REGIONAL SECONDARY SCHOOL, AS SHALL  BE
DESIGNATED IN THE PROPOSED CONTRACT; AND
  (III)  THAT  THE  BOARD  OF  COOPERATIVE  EDUCATIONAL  SERVICES AS THE
GOVERNING BOARD OF THE REGIONAL  SECONDARY  SCHOOL  SHALL  BE  DEEMED  A
SCHOOL DISTRICT FOR ACCOUNTABILITY PURPOSES;
  D.  THE  PROPOSED  CONTRACT  MAY  PROVIDE  THAT  THE  STUDENT'S SCHOOL
DISTRICT OF RESIDENCE MAY ISSUE  THE  STUDENT'S  DIPLOMA,  UPON  CERTIF-
ICATION  BY  THE GOVERNING BOARD THAT ALL GRADUATION REQUIREMENTS OF THE
REGIONAL SECONDARY SCHOOL HAVE BEEN MET;
  E. THE PROPOSED CONTRACT SHALL DESIGNATE  THE  GRADES  OF  INSTRUCTION
INTENDED TO BE SERVED BY THE REGIONAL SECONDARY SCHOOL;
  F.  THE  PROPOSED  CONTRACT  SHALL  DESIGNATE THE SITE OF THE REGIONAL
SECONDARY SCHOOL, WHICH SHALL BE WITHIN THE BOUNDARIES  OF  ONE  OF  THE
PARTICIPATING  DISTRICTS, AND WHERE POSSIBLE, SHOULD USE EXISTING BUILD-
INGS AND/OR INFRASTRUCTURE;
  G. NOTWITHSTANDING ANY OTHER PROVISION OF LAW  TO  THE  CONTRARY,  THE
PROPOSED  CONTRACT SHALL PROVIDE THAT EACH PARTICIPATING SCHOOL DISTRICT
SHALL BE RESPONSIBLE FOR PROVIDING OR ARRANGING  FOR  TRANSPORTATION  TO
ITS RESIDENT STUDENTS ATTENDING THE REGIONAL SECONDARY SCHOOL IN ACCORD-

S. 2607--C                         48

ANCE  WITH ITS SCHOOL DISTRICT POLICY, BUT WITHOUT REGARD TO ANY MAXIMUM
MILEAGE LIMITATION.
  H.  THE  PROPOSED CONTRACT MAY PROVIDE THAT STUDENT TRANSPORTATION MAY
BE PROVIDED BY CONTRACT FOR TRANSPORTATION SERVICES, INCLUDING  BUT  NOT
LIMITED  TO  A  CONTRACT  WITH  ONE OR MORE PARTICIPATING DISTRICTS OR A
BOARD OF COOPERATIVE EDUCATIONAL SERVICES;
  I. THE PROPOSED CONTRACT SHALL SPECIFY:
  (I) THAT THE STUDENTS OF  EACH  PARTICIPATING  SCHOOL  DISTRICT  SHALL
REMAIN  ENROLLED  AS  STUDENTS  OF THEIR RESPECTIVE PARTICIPATING SCHOOL
DISTRICTS;
  (II) THAT THE STUDENTS SHALL BE TREATED AND  COUNTED  AS  STUDENTS  OF
THEIR  RESPECTIVE  PARTICIPATING  SCHOOL  DISTRICTS  FOR PURPOSES OF ALL
STATE AID CALCULATIONS PURSUANT TO THIS CHAPTER;
  (III) THE CURRENT ENROLLMENT OF ALL  PARTICIPATING  SCHOOL  DISTRICTS;
AND
  (IV)  THE PROJECTED TOTAL ENROLLMENT NUMBERS OF THE REGIONAL SECONDARY
SCHOOL;
  J. THE PROPOSED CONTRACT MUST DEMONSTRATE HOW THE  REGIONAL  SECONDARY
SCHOOL  WILL  PROVIDE  INCREASED EDUCATIONAL OPPORTUNITIES FOR STUDENTS,
INCLUDING COURSES AND PROGRAMS IN SCIENCE, TECHNOLOGY,  ENGINEERING  AND
MATH,  TO  PREPARE STUDENTS FOR COLLEGE AND CAREER READINESS AND IMPROVE
STUDENT PERFORMANCE;
  K. THAT EMPLOYMENT ISSUES OF THE REGIONAL SECONDARY  SCHOOL  SHALL  BE
RESOLVED AS FOLLOWS:
  (I)  THAT  ALL  TEACHERS, TEACHING ASSISTANTS AND TEACHER AIDES OF THE
PARTICIPATING SCHOOL DISTRICTS,  WHOSE  SERVICES  IN  THE  PARTICIPATING
SCHOOL  DISTRICTS ARE NO LONGER NEEDED BECAUSE OF THE ESTABLISHMENT OF A
REGIONAL SECONDARY SCHOOL, OR THE TRANSFER OF STUDENTS  TO  AN  EXISTING
REGIONAL  SECONDARY SCHOOL, OR AS A RESULT OF A NEW PARTICIPATING SCHOOL
DISTRICT JOINING THE REGIONAL SECONDARY SCHOOL, SHALL IMMEDIATELY BECOME
EMPLOYEES OF THE BOARD OF COOPERATIVE EDUCATIONAL SERVICES DESIGNATED IN
THE PROPOSED CONTRACT, AND SHALL RETAIN THEIR TENURE  AND/OR  EMPLOYMENT
STATUS AND THE SENIORITY GAINED IN THE PARTICIPATING DISTRICT;
  (II) THAT IN THE EVENT THAT THE NUMBER OF TEACHING, TEACHING ASSISTANT
OR  TEACHER  AIDE  POSITIONS  NEEDED TO PROVIDE THE EDUCATIONAL SERVICES
REQUIRED BY A REGIONAL SECONDARY SCHOOL  IS  LESS  THAN  THE  NUMBER  OF
TEACHERS,  TEACHING  ASSISTANTS AND TEACHER AIDES ELIGIBLE TO BE CONSID-
ERED EMPLOYEES OF  THE  DESIGNATED  GOVERNING  BOARD  OF  SUCH  REGIONAL
SECONDARY  SCHOOL, THE SERVICES OF THE TEACHERS, TEACHING ASSISTANTS AND
TEACHER AIDES HAVING THE LEAST SENIORITY  IN  THE  PARTICIPATING  SCHOOL
DISTRICT WITHIN THE TENURE AREA OR CIVIL SERVICE STATUS, AS THE CASE MAY
BE, OF THE POSITION SHALL BE DISCONTINUED;
  (III) THAT ANY SUCH EMPLOYEES WHO ARE TEACHERS, TEACHING ASSISTANTS OR
TEACHER AIDES SHALL BE PLACED ON A PREFERRED ELIGIBLE LIST OF CANDIDATES
FOR  APPOINTMENT  TO A VACANCY THAT MAY THEREAFTER OCCUR IN AN OFFICE OR
POSITION UNDER THE JURISDICTION OF THE PARTICIPATING SCHOOL DISTRICT  IN
ACCORDANCE  WITH  THE  PROVISIONS  OF SECTION TWENTY-FIVE HUNDRED TEN OR
THREE THOUSAND THIRTEEN OF THIS CHAPTER;
  (IV) THAT FOR ANY SUCH TEACHER, TEACHING ASSISTANT OR TEACHER AIDE WHO
IS RETAINED BY THE GOVERNING BOARD, FOR SALARY, SICK LEAVE AND ANY OTHER
PURPOSES, THE LENGTH OF SERVICE CREDITED IN  SUCH  PARTICIPATING  SCHOOL
DISTRICT  PRIOR  TO  ITS  PARTICIPATION IN THE REGIONAL SECONDARY SCHOOL
SHALL BE CREDITED AS EMPLOYMENT  TIME  WITH  THE  BOARD  OF  COOPERATIVE
EDUCATIONAL SERVICES;
  (V)  THAT  UPON  TERMINATION OF THE PROPOSED CONTRACT PURSUANT TO THIS
SECTION AND THE RETURN OF STUDENTS FROM THE REGIONAL SECONDARY SCHOOL TO

S. 2607--C                         49

THE FORMER PARTICIPATING SCHOOL DISTRICT, THE TEACHERS, TEACHING ASSIST-
ANTS, AND TEACHER AIDES EMPLOYED BY THE BOARD OF COOPERATIVE EDUCATIONAL
SERVICES TO SERVE IN THE REGIONAL SECONDARY SCHOOL SHALL HAVE  THE  SAME
EMPLOYMENT  RIGHTS  IN  THE  PARTICIPATING  SCHOOL DISTRICTS AS TEACHERS
WOULD HAVE UPON TAKEOVER OF A BOARD OF COOPERATIVE EDUCATIONAL  SERVICES
PROGRAM  BY  SUCH  SCHOOL  DISTRICTS  PURSUANT TO SECTION THREE THOUSAND
FOURTEEN-B OF THIS CHAPTER;
  (VI) THAT ALL SCHOOL  PRINCIPALS,  ASSISTANT  PRINCIPALS,  SUPERVISORY
EMPLOYEES,  AND  NON-INSTRUCTIONAL EMPLOYEES OF THE PARTICIPATING SCHOOL
DISTRICTS, WHOSE SERVICES IN THE PARTICIPATING SCHOOL DISTRICTS  ARE  NO
LONGER  NEEDED  BECAUSE  OF  THE  ESTABLISHMENT  OF A REGIONAL SECONDARY
SCHOOL, OR THE TRANSFER OF STUDENTS IN AN  EXISTING  REGIONAL  SECONDARY
SCHOOL,  OR  AS  A RESULT OF A NEW PARTICIPATING SCHOOL DISTRICT JOINING
THE REGIONAL SECONDARY SCHOOL, SHALL IMMEDIATELY BECOME EMPLOYEES OF THE
BOARD OF COOPERATIVE EDUCATIONAL SERVICES  DESIGNATED  IN  THE  PROPOSED
CONTRACT, AND SHALL HAVE EMPLOYMENT RIGHTS IDENTICAL TO TEACHERS, TEACH-
ING  ASSISTANTS OR TEACHER AIDES PROVIDED IN THIS SECTION AND THE EXIST-
ING RELEVANT SECTIONS OF THIS CHAPTER.
  L. THE PROPOSED CONTRACT SHALL SPECIFY THE PROCESS FOR DEVELOPMENT  OF
THE BUDGET FOR THE REGIONAL SECONDARY SCHOOL BY THE BOARD OF COOPERATIVE
EDUCATIONAL  SERVICES AND HOW OPERATING AND ADMINISTRATIVE COSTS AND THE
LOCAL SHARE OF CAPITAL EXPENSES ATTRIBUTABLE TO THE  REGIONAL  SECONDARY
SCHOOL WILL BE ALLOCATED AMONGST THE PARTICIPATING DISTRICTS;
  M.  THE  PROPOSED  CONTRACT  SHALL  SPECIFY  THE COSTS OF THE REGIONAL
SECONDARY SCHOOL, STAFFING,  CURRENT  AND  FUTURE  CAPITAL  CONSTRUCTION
PLANS AND FOR THE DELIVERY OF SPECIAL EDUCATION PROGRAMS;
  N.  THE  PROPOSED CONTRACT SHALL SPECIFY THE PROCEDURES FOR DISCIPLINE
OF STUDENTS ATTENDING  THE  REGIONAL  SECONDARY  SCHOOL,  INCLUDING  THE
APPLICABLE  CODE OF CONDUCT PROVIDED THAT SUCH CODE OF CONDUCT MEETS THE
REQUIREMENTS OF SECTION TWENTY-EIGHT HUNDRED ONE  OF  THIS  CHAPTER  AND
PROCEDURES  FOR  SUPERINTENDENTS'  HEARINGS  AND APPEALS TO THE BOARD OF
EDUCATION PURSUANT TO SECTION THIRTY-TWO HUNDRED FOURTEEN OF THIS  CHAP-
TER;
  O.  THE  PROPOSED CONTRACT SHALL SPECIFY THE COSTS OF THE OPERATION OF
THE REGIONAL SECONDARY SCHOOL FOR EACH PARTICIPATING SCHOOL DISTRICT AND
AN ITEMIZED LISTING OF THE COST SAVINGS FOR  EACH  PARTICIPATING  SCHOOL
DISTRICT;
  P.  THE PROPOSED CONTRACT SHALL SPECIFY HOW EXTRACURRICULAR ACTIVITIES
AND INTERSCHOLASTIC ATHLETICS  WILL  BE  PROVIDED  TO  STUDENTS  OF  THE
REGIONAL SECONDARY SCHOOL;
  Q.  THE PROPOSED CONTRACT SHALL SPECIFY THE FISCAL IMPLICATIONS OF THE
REGIONAL SECONDARY SCHOOL INCLUDING  EXPECTED  STATE  AID  AND  EXPECTED
CHANGES IN EXPENDITURES AND PROPERTY TAX LEVIES;
  R.  THE  PROPOSED  CONTRACT SHALL SPECIFY WHETHER THE EMPLOYEES OF THE
REGIONAL SECONDARY SCHOOL SHALL ESTABLISH  NEW  EMPLOYEE  ORGANIZATIONS,
PURSUANT  TO ARTICLE FOURTEEN OF THE CIVIL SERVICE LAW, FOR THEIR REPRE-
SENTATION, OR, WHERE APPLICABLE, WHETHER THEY SHALL  BECOME  MEMBERS  OF
THE  APPLICABLE EMPLOYEE ORGANIZATIONS REPRESENTING THE EMPLOYEES OF THE
HOSTING DISTRICT; AND
  S. THE PROPOSED CONTRACT SHALL SET  FORTH  ANY  OTHER  INFORMATION  OR
ANALYSIS AS MAY BE REQUIRED BY THE REGULATIONS OF THE COMMISSIONER.
  14.  IF  THE COMMISSIONER APPROVES THE PROPOSED CONTRACT, THE REGIONAL
SECONDARY SCHOOL SHALL BE ESTABLISHED. THE CONTRACT, SO APPROVED,  SHALL
BE  FOR  A  PERIOD OF AT LEAST FIVE AND NOT MORE THAN SEVEN SCHOOL YEARS
AND, UPON THE APPROVAL OF THE COMMISSIONER, MAY BE RENEWED  PURSUANT  TO
MUTUAL  AGREEMENT  BY  MEANS OF A MAJORITY VOTE OF EACH OF THE BOARDS OF

S. 2607--C                         50

EDUCATION OF THE PARTICIPATING DISTRICTS AND THE SUPERVISORY DISTRICT OF
THE BOARD OF COOPERATIVE EDUCATIONAL SERVICES.  THE  REGIONAL  SECONDARY
SCHOOL  SHALL  COMMENCE  OPERATIONS  ON THE FIRST OF JULY, AND SHALL NOT
CEASE OPERATIONS BEFORE THE THIRTIETH OF JUNE IN ANY SCHOOL YEAR.
  S  1923. STATE AID FOR REGIONAL SECONDARY SCHOOLS. 1. STUDENTS ATTEND-
ING A REGIONAL SECONDARY SCHOOL SHALL BE DEEMED ENROLLED IN THEIR SCHOOL
DISTRICT OF RESIDENCE AND SHALL BE INCLUDED IN  THE  APPLICABLE  MEMBER-
SHIP,  ENROLLMENT  AND  ATTENDANCE  COUNTS  OF  THEIR  RESPECTIVE SCHOOL
DISTRICTS OF RESIDENCE FOR PURPOSES OF COMPUTATION OF STATE AID TO  SUCH
SCHOOL  DISTRICTS.  THE  COSTS  OF  EDUCATING EACH SUCH STUDENT SHALL BE
INCLUDED IN THE APPROVED  OPERATING  EXPENSE  OF  THE  STUDENT'S  SCHOOL
DISTRICT  OF RESIDENCE AND EXCEPT AS OTHERWISE PROVIDED IN THIS SECTION,
THE STATE AID ATTRIBUTABLE TO SUCH STUDENT SHALL BE COMPUTED IN THE SAME
MANNER AS AID ATTRIBUTABLE TO OTHER RESIDENT STUDENTS AND SHALL BE PAYA-
BLE TO THE SCHOOL DISTRICT OF RESIDENCE.
  2. NOTWITHSTANDING ANY OTHER PROVISION OF LAW  TO  THE  CONTRARY,  THE
SCHOOL  DISTRICT  THAT  OWNS  THE  FACILITY  USED  TO HOUSE THE REGIONAL
SECONDARY SCHOOL SHALL BE THE ONLY SCHOOL DISTRICT ELIGIBLE FOR BUILDING
AID PURSUANT TO THE APPLICABLE PROVISIONS  OF  SUBDIVISION  SIX,  SIX-A,
SIX-C,  SIX-E OR SIX-F OF SECTION THIRTY-SIX HUNDRED TWO OF THIS CHAPTER
FOR PROJECTS INVOLVING THE REGIONAL SECONDARY SCHOOL THAT  ARE  APPROVED
BY  THE  QUALIFIED  VOTERS  OF  SUCH DISTRICT AFTER ESTABLISHMENT OF THE
REGIONAL SECONDARY SCHOOL, PROVIDED THAT  SUCH  AID  SHALL  BE  COMPUTED
USING  THE  BUILDING  AID  RATIO  APPLICABLE  TO  PROJECTS OF THE SCHOOL
DISTRICT THAT OWNS THE REGIONAL  SECONDARY  SCHOOL  FACILITY  UNDER  THE
PROVISIONS  OF  PARAGRAPHS  B  AND  C  OF  SUBDIVISION  SIX  OF  SECTION
THIRTY-SIX HUNDRED TWO OF THIS CHAPTER. SUCH AID SHALL BE PAID  TO  SUCH
SCHOOL  DISTRICT  OR TO THE BOARD OF COOPERATIVE EDUCATIONAL SERVICES ON
BEHALF OF SUCH SCHOOL DISTRICT WHERE THE  BOARD  OF  COOPERATIVE  EDUCA-
TIONAL  SERVICES  OPERATES  THE  REGIONAL  SECONDARY  SCHOOL. THE SCHOOL
DISTRICT OR BOARD OF COOPERATIVE EDUCATIONAL SERVICES SHALL ALLOCATE THE
LOCAL SHARE OF THE COSTS OF SUCH PROJECTS TO  THE  PARTICIPATING  SCHOOL
DISTRICTS  IN  ACCORDANCE  WITH  ITS  CONTRACT  ENTERED INTO PURSUANT TO
SECTION NINETEEN HUNDRED TWENTY OR NINETEEN HUNDRED TWENTY-ONE  OF  THIS
ARTICLE. THE COSTS OF SUCH PROJECTS SHALL NOT BE ELIGIBLE FOR AID PURSU-
ANT  TO  SUBDIVISION  SIX-B  OR  PARAGRAPH  C OF SUBDIVISION FOURTEEN OF
SECTION THIRTY-SIX HUNDRED TWO OF THIS CHAPTER.
  3. NOTWITHSTANDING ANY PROVISION OF SECTION NINETEEN HUNDRED FIFTY  OR
NINETEEN HUNDRED FIFTY-ONE OF THIS TITLE TO THE CONTRARY, IN THE CASE OF
A  REGIONAL  SECONDARY  SCHOOL OPERATED BY A BOARD OF COOPERATIVE EDUCA-
TIONAL SERVICES THAT IS HOUSED IN A FACILITY OWNED  BY  A  PARTICIPATING
SCHOOL  DISTRICT,  THE  CAPITAL EXPENSES FOR BUILDING PROJECTS INVOLVING
THE REGIONAL SECONDARY SCHOOL SHALL BE A CHARGE UPON  THE  PARTICIPATING
SCHOOL  DISTRICTS  ONLY,  AND SUCH COSTS SHALL NOT BE ALLOCATED TO OTHER
COMPONENT SCHOOL DISTRICTS. SUCH CAPITAL EXPENSES SHALL NOT BE  ELIGIBLE
FOR  AID  PURSUANT TO SUBDIVISION FIVE OF SECTION NINETEEN HUNDRED FIFTY
OF THIS TITLE. PROVIDED, HOWEVER, THAT COSTS OF AIDABLE SHARED  SERVICES
PROVIDED  BY THE BOARD OF COOPERATIVE EDUCATIONAL SERVICES TO SUPPLEMENT
THE PROGRAMS OF THE REGIONAL SECONDARY SCHOOL SHALL BE ELIGIBLE FOR  AID
PURSUANT TO SUCH SUBDIVISION FIVE OF SECTION NINETEEN HUNDRED FIFTY, THE
ADMINISTRATIVE  EXPENSES  ATTRIBUTABLE  TO THE REGIONAL SECONDARY SCHOOL
AND THE CAPITAL EXPENSES ATTRIBUTABLE TO  A  REGIONAL  SECONDARY  SCHOOL
HOUSED  IN  A  FACILITY  OWNED  BY  THE BOARD OF COOPERATIVE EDUCATIONAL
SERVICES SHALL BE ALLOCATED TO COMPONENT SCHOOL DISTRICTS IN  ACCORDANCE
WITH  SECTION  NINETEEN  HUNDRED  FIFTY OR NINETEEN HUNDRED FIFTY-ONE OF

S. 2607--C                         51

THIS TITLE AND SHALL BE ELIGIBLE FOR AID PURSUANT  TO  SUCH  SUBDIVISION
FIVE OF SECTION NINETEEN HUNDRED FIFTY.
  4.  THE  BOARD OF EDUCATION OF EACH SCHOOL DISTRICT PARTICIPATING IN A
REGIONAL SECONDARY SCHOOL PURSUANT TO THIS ARTICLE SHALL BE ELIGIBLE FOR
ADDITIONAL STATE AID IN ACCORDANCE WITH PARAGRAPH K OF SUBDIVISION FOUR-
TEEN OF SECTION THIRTY-SIX HUNDRED TWO OF THIS CHAPTER.
  S 1924. REGIONAL SECONDARY SCHOOL ADVISORY COMMITTEE. 1. EACH REGIONAL
SECONDARY SCHOOL ESTABLISHED AND OPERATED PURSUANT TO THIS ARTICLE SHALL
ESTABLISH  AN  ADVISORY  COMMITTEE.  THE  ADVISORY  COMMITTEE  SHALL  BE
COMPOSED  OF THE PRESIDENT OF THE BOARD OF EDUCATION OF EACH PARTICIPAT-
ING SCHOOL DISTRICT, THE PRESIDENT OF THE BOARD  OF  EDUCATION  OF  EACH
SUPERVISORY BOARD OF COOPERATIVE EDUCATIONAL SERVICES, WHERE APPLICABLE,
AND  THE  SUPERINTENDENT  OF  EACH PARTICIPATING SCHOOL DISTRICT AND THE
SUPERINTENDENT OF THE SUPERVISORY DISTRICT IN WHICH THE REGIONAL SECOND-
ARY SCHOOL IS LOCATED. THE SUPERINTENDENT OF  THE  SUPERVISORY  DISTRICT
SHALL BE THE CHAIR OF THE ADVISORY COMMITTEE.
  2. THE ADVISORY COMMITTEE SHALL CONVENE, AT THE CALL OF THE CHAIR, NOT
LESS  THAN  FOUR TIMES DURING EACH SCHOOL YEAR DURING WHICH THE REGIONAL
SECONDARY SCHOOL OPERATES. DURING SUCH MEETINGS, THE ADVISORY  COMMITTEE
SHALL  REVIEW  THE  OPERATION  OF THE REGIONAL SECONDARY SCHOOL AND MAKE
RECOMMENDATIONS TO THE HOSTING DISTRICT  OR  THE  SUPERVISORY  BOARD  OF
COOPERATIVE  EDUCATIONAL  SERVICES, AS THE CASE MAY BE, ON THE CONTINUED
OPERATION OF SUCH SECONDARY SCHOOL.
  S 3. Subdivision 4 of section 1950 of the education law is amended  by
adding a new paragraph oo to read as follows:
  OO.  PURSUANT TO ARTICLE THIRTY-NINE-A OF THIS TITLE, A BOARD OF COOP-
ERATIVE EDUCATIONAL SERVICES MAY ENTER INTO AN  AGREEMENT  WITH  TWO  OR
MORE  SCHOOL DISTRICTS ELIGIBLE TO ENTER SUCH AN AGREEMENT IN ACCORDANCE
WITH SECTION NINETEEN  HUNDRED  TWENTY-TWO  OF  THIS  TITLE,  WHICH  MAY
INCLUDE  CITY  SCHOOL  DISTRICTS, CENTRAL SCHOOL DISTRICTS, CENTRAL HIGH
SCHOOL DISTRICTS, UNION FREE  SCHOOL  DISTRICTS,  AND/OR  COMMON  SCHOOL
DISTRICTS  WHICH ARE WHOLLY CONTAINED WITHIN THE SUPERVISORY DISTRICT OF
THE BOARD OF  COOPERATIVE  EDUCATIONAL  SERVICES,  TO  FORM  A  REGIONAL
SECONDARY  SCHOOL TO BE OPERATED BY THE BOARD OF COOPERATIVE EDUCATIONAL
SERVICES. THE BOARD OF COOPERATIVE EDUCATIONAL SERVICES SHALL  HAVE  THE
SAME POWERS AND DUTIES WITH RESPECT TO SUCH REGIONAL SECONDARY SCHOOL AS
THE  BOARD OF EDUCATION OF A UNION FREE SCHOOL DISTRICT HAS WITH RESPECT
TO ITS SCHOOLS, CONSISTENT WITH THE TERMS  OF  ITS  AGREEMENT  WITH  THE
PARTICIPATING SCHOOL DISTRICTS.
  S 4. Paragraph h of subdivision 4 of section 1950 of the education law
is  amended  by  adding three new subparagraphs 11, 12 and 13 to read as
follows:
  (11) TO ENTER INTO CONTRACTS AS NECESSARY OR CONVENIENT TO  OPERATE  A
REGIONAL  SECONDARY  SCHOOL AS ESTABLISHED PURSUANT TO THE PROVISIONS OF
SECTION NINETEEN HUNDRED TWENTY-ONE OF THIS TITLE.
  (12) TO DEVELOP CORE CURRICULUM  FOR  STUDENTS  ATTENDING  A  REGIONAL
SECONDARY SCHOOL ESTABLISHED PURSUANT TO THE PROVISIONS OF SECTION NINE-
TEEN HUNDRED TWENTY-TWO OF THIS TITLE.
  (13)  TO  ISSUE REGENTS AND OTHER HIGH SCHOOL DIPLOMAS TO STUDENTS WHO
GRADUATE FROM A REGIONAL SECONDARY SCHOOL ESTABLISHED  PURSUANT  TO  THE
PROVISIONS  OF  SECTION NINETEEN HUNDRED TWENTY-ONE OF THIS TITLE, UNDER
THE SAME CONDITIONS AS A SCHOOL DISTRICT.
  S 5. Paragraph b of subdivision 4 of section 1950 of the education law
is amended by adding a new subparagraph 8 to read as follows:
  (8) FOR REGIONAL SECONDARY SCHOOLS  ESTABLISHED  PURSUANT  TO  SECTION
NINETEEN  HUNDRED  TWENTY-TWO  OF  THIS  TITLE, THE BOARD OF COOPERATIVE

S. 2607--C                         52

EDUCATIONAL SERVICES SHALL PREPARE AND PROPOSE  A  TENTATIVE  BUDGET  OF
EXPENDITURES  FOR  PROGRAM,  ADMINISTRATIVE AND CAPITAL COSTS TO OPERATE
THE REGIONAL SECONDARY SCHOOL IN THE ENSUING SCHOOL YEAR. SUCH  PROPOSED
BUDGET SHALL BE PROVIDED TO THE BOARD OF EDUCATION OF EACH PARTICIPATING
SCHOOL  DISTRICT  OF THE REGIONAL SECONDARY SCHOOL, BY THE DATE PROVIDED
IN THE AGREEMENT ENTERED INTO PURSUANT TO SUCH SECTION NINETEEN  HUNDRED
TWENTY-TWO. THE BOARD OF EDUCATION OF EACH PARTICIPATING SCHOOL DISTRICT
SHALL  BE AFFORDED TO REVIEW AND COMMENT ON THE PROPOSED BUDGET PRIOR TO
ITS FINAL ADOPTION BY THE BOARD OF COOPERATIVE EDUCATIONAL SERVICES.
  S 6. Subdivision 14 of section 3602 of the education law is amended by
adding a new paragraph k to read as follows:
  K. TRANSITION  INCENTIVE  AID  FOR  REGIONAL  SECONDARY  SCHOOLS.  (1)
NOTWITHSTANDING  THE PROVISIONS OF PARAGRAPHS A THROUGH G OF THIS SUBDI-
VISION, FOR AID PAYABLE  IN  THE  TWO  THOUSAND  FOURTEEN--TWO  THOUSAND
FIFTEEN  SCHOOL YEAR OR THEREAFTER, SCHOOL DISTRICTS THAT ARE PARTIES TO
AN AGREEMENT TO ESTABLISH AND OPERATE A REGIONAL SECONDARY SCHOOL PURSU-
ANT TO ARTICLE THIRTY-NINE-A OF THIS CHAPTER ENTERED INTO  ON  OR  AFTER
JULY  FIRST,  TWO  THOUSAND  THIRTEEN  AND PARTICIPATED IN SUCH REGIONAL
SECONDARY SCHOOL IN THE BASE  YEAR  SHALL  BE  ELIGIBLE  FOR  TRANSITION
INCENTIVE  AID  PURSUANT  TO  THIS PARAGRAPH PROVIDED THAT THE FOLLOWING
CONDITIONS ARE MET:
  (I) THE REGIONAL SECONDARY SCHOOL  AGREEMENT  INCLUDES  AT  LEAST  TWO
SCHOOL  DISTRICTS, EACH OF WHICH PREVIOUSLY MAINTAINED ITS OWN SECONDARY
SCHOOLS, AND HAS CEASED DISTRICT OPERATION OF AT LEAST ONE  HIGH  SCHOOL
OR  JUNIOR  HIGH  SCHOOL  FOLLOWING  THE  ESTABLISHMENT  OF THE REGIONAL
SECONDARY SCHOOL, OR
  (II) THE REGIONAL SECONDARY SCHOOL AGREEMENT  INCLUDES  AT  LEAST  ONE
SCHOOL  DISTRICT  WHICH  PREVIOUSLY  MAINTAINED  ITS  OWN HIGH SCHOOL OR
JUNIOR HIGH SCHOOL, AND DOES NOT MAINTAIN ITS OWN HIGH SCHOOL OR  JUNIOR
HIGH  SCHOOL  FOLLOWING  THE  ESTABLISHMENT  OF  THE  REGIONAL SECONDARY
SCHOOL, AND IN ADDITION THERETO, INCLUDES AT LEAST ONE ADDITIONAL SCHOOL
DISTRICT EMPLOYING EIGHT OR MORE TEACHERS THAT DO NOT MAINTAIN THEIR OWN
HIGH SCHOOL OR JUNIOR SCHOOL;
  (2) IN EACH OF THE FIRST THIRTEEN YEARS IN WHICH A SCHOOL DISTRICT  IS
PARTY  TO  SUCH  AGREEMENT, SUCH DISTRICT SHALL BE ENTITLED TO AN APPOR-
TIONMENT EQUAL TO THE PRODUCT OF (I) THIRTY PERCENT OF THE APPORTIONMENT
COMPUTED IN ACCORDANCE WITH THE PROVISIONS  OF  PARAGRAPH  D-1  OF  THIS
SUBDIVISION,  MULTIPLIED  BY  (II)  THE QUOTIENT OF THE NUMBER OF PUPILS
WITHIN SUCH SCHOOL DISTRICT ATTENDING THE REGIONAL SECONDARY  SCHOOL  IN
THE  BASE YEAR DIVIDED BY THE RESIDENT PUBLIC SCHOOL DISTRICT ENROLLMENT
OF SUCH SCHOOL DISTRICT WITHIN THE GRADES OF THE NEW REGIONAL  SECONDARY
SCHOOL(S);  PROVIDED  FURTHER  THAT  SUCH DISTRICTS SHALL BE ELIGIBLE TO
RECEIVE AN ADDITIONAL APPORTIONMENT EQUAL TO  THE  PRODUCT  OF  (I)  TEN
PERCENT  OF THE APPORTIONMENT COMPUTED IN ACCORDANCE WITH THE PROVISIONS
OF PARAGRAPH D-1 OF THIS SUBDIVISION MULTIPLIED BY (II) THE QUOTIENT  OF
THE  NUMBER OF PUPILS WITHIN SUCH SCHOOL DISTRICT ATTENDING THE REGIONAL
SECONDARY SCHOOL IN THE BASE YEAR DIVIDED BY THE RESIDENT PUBLIC  SCHOOL
DISTRICT ENROLLMENT OF SUCH SCHOOL DISTRICT WITHIN THE GRADES OF THE NEW
REGIONAL  SECONDARY SCHOOL(S) UPON MEETING ACADEMIC ACHIEVEMENT GOALS AS
ESTABLISHED  BY  THE  COMMISSIONER  IN  ACCORDANCE  WITH  A  METHODOLOGY
PRESCRIBED  IN THE REGULATIONS OF THE COMMISSIONER. IN NO CASE SHALL THE
SUM OF SUCH APPORTIONMENTS UNDER THIS PARAGRAPH PLUS THE SELECTED  OPER-
ATING  AID  PER  PUPIL BE MORE THAN A TOTAL OF NINETY-FIVE PER CENTUM OF
THE YEAR PRIOR TO THE  BASE  YEAR  APPROVED  OPERATING  EXPENSE.  SCHOOL
DISTRICTS  WHICH RECEIVE AN APPORTIONMENT UNDER THIS PARAGRAPH SHALL NOT

S. 2607--C                         53

BE ELIGIBLE FOR AN APPORTIONMENT UNDER PARAGRAPH  C,  F  OR  J  OF  THIS
SUBDIVISION.
  (3)  THE  APPORTIONMENT  THAT  A  SCHOOL DISTRICT SHALL BE ENTITLED TO
RECEIVE PURSUANT TO SUBPARAGRAPH TWO OF THIS PARAGRAPH SHALL BE REDUCED,
AFTER THE THIRD YEAR IT HAS RECEIVED SUCH APPORTIONMENTS, BY THE  AMOUNT
OF TEN PERCENT FOR EACH YEAR SUCH SCHOOL DISTRICT IS ENTITLED TO RECEIVE
SUCH APPORTIONMENT.
  S  7.  This  act shall take effect July 1, 2013, provided that if this
act becomes a law after such date, it shall take effect immediately  and
be  deemed  to  have  been in full force and effect on and after July 1,
2013.

                                 PART B

  Section 1. Section 350 of the education law is amended by adding  four
new subdivisions 10, 11, 12 and 13 to read as follows:
  10.  "DORMITORY  FACILITIES  REVENUE  FUND" MEANS THE FUND ESTABLISHED
PURSUANT TO SECTION SIXTEEN HUNDRED EIGHTY-Q OF THE  PUBLIC  AUTHORITIES
LAW.
  11. "DORMITORY FACILITIES REVENUES" MEANS ALL MONEYS, INCLUDING RENTS,
FEES AND CHARGES, DERIVED FROM THE USE OR OCCUPANCY OF DORMITORY FACILI-
TIES.
  12. "DORMITORY FACILITY" MEANS A DORMITORY, AS SUCH TERM IS DEFINED IN
PARAGRAPH  (A) OF SUBDIVISION TWO OF SECTION SIXTEEN HUNDRED SEVENTY-SIX
OF THE PUBLIC AUTHORITIES LAW.
  13. "DORMITORY FACILITY REVENUE BOND" MEANS ANY NOTE OR  BOND  OF  THE
DORMITORY  AUTHORITY  (I) ISSUED ON OR AFTER THE FIRST DAY OF APRIL, TWO
THOUSAND THIRTEEN FOR THE PURPOSES OF FINANCING DORMITORY FACILITIES  OR
REFINANCING NOTES OR BONDS PREVIOUSLY ISSUED IN CONNECTION WITH DORMITO-
RY  FACILITIES, INCLUDING NOTES OR BONDS ISSUED TO PAY COSTS INCURRED IN
CONNECTION WITH THE ISSUANCE OF SUCH NOTES OR BONDS, TO FUND ANY RESERVE
FOR THE PAYMENT OF DEBT SERVICE ON SUCH BONDS  OR  NOTES,  TO  FUND  ANY
RESERVE  ESTABLISHED  FOR  THE IMPROVEMENT, REPAIR, MAINTENANCE OR OPER-
ATIONS OF DORMITORY FACILITIES, OR TO PAY OR PROVIDE FOR THE PAYMENT  OF
ANY  NOTE  OR  BOND  PREVIOUSLY ISSUED FOR ANY SUCH PURPOSE, AND (II) IS
PAYABLE FROM MONEYS ON DEPOSIT IN THE DORMITORY FACILITIES REVENUE  FUND
AND IS NOT PAYABLE FROM ANY REVENUE OF THE STATE.
  S  2.  Subdivision 2 of section 355 of the education law is amended by
adding a new paragraph y to read as follows:
  Y. TO BETTER SECURE DORMITORY AUTHORITY  BONDS  ISSUED  IN  CONNECTION
WITH  DORMITORY  FACILITIES, INCLUDING DORMITORY FACILITY REVENUE BONDS,
THE STATE UNIVERSITY OF NEW YORK IS HEREBY AUTHORIZED, IN ITS OWN  NAME,
TO ASSIGN OR OTHERWISE TRANSFER TO THE DORMITORY AUTHORITY ANY OR ALL OF
THE STATE UNIVERSITY'S RIGHTS, TITLE AND INTEREST IN AND TO THE DORMITO-
RY  FACILITY  REVENUES,  AND TO ENTER INTO AGREEMENTS WITH THE DORMITORY
AUTHORITY PURSUANT TO SUBDIVISION TWO OF SECTION SIXTEEN HUNDRED  EIGHT-
Y-Q  OF  THE PUBLIC AUTHORITIES LAW IN FURTHERANCE OF SUCH ASSIGNMENT OR
TRANSFER. ANY ASSIGNMENT OR TRANSFER MADE  PURSUANT  TO  THIS  PARAGRAPH
SHALL  CONSTITUTE  A  TRUE  SALE  AND ABSOLUTE TRANSFER OF THE DORMITORY
FACILITIES REVENUES. THE CHARACTERIZATION OF SUCH ASSIGNMENT OR TRANSFER
SHALL NOT BE NEGATED OR ADVERSELY AFFECTED BY THE RETENTION BY THE STATE
UNIVERSITY OF NEW YORK OF ANY OWNERSHIP INTEREST IN THE DORMITORY FACIL-
ITIES REVENUES OR OF ANY RESIDUAL RIGHT  TO  PAYMENT  OF  ANY  DORMITORY
FACILITY  REVENUES  REMAINING  IN  THE DORMITORY FACILITIES REVENUE FUND
AFTER THE MONEYS THEREIN HAVE BEEN APPLIED IN ACCORDANCE WITH  PARAGRAPH
(B)  OF  SUBDIVISION  THREE  OF  SECTION SIXTEEN HUNDRED EIGHTY-Q OF THE

S. 2607--C                         54

PUBLIC AUTHORITIES LAW. ALL RIGHTS, TITLE AND INTEREST  IN  AND  TO  ANY
MONEYS  PAID  TO  OR  UPON THE ORDER OF THE STATE UNIVERSITY OF NEW YORK
PURSUANT TO ANY AGREEMENT BY AND BETWEEN THE DORMITORY AUTHORITY AND THE
STATE UNIVERSITY OF NEW YORK ENTERED INTO PURSUANT TO SUBDIVISION TWO OF
SECTION SIXTEEN HUNDRED EIGHTY-Q OF THE PUBLIC AUTHORITIES LAW OR PURSU-
ANT TO ANY AGREEMENT ENTERED INTO PURSUANT TO PARAGRAPH J OF SUBDIVISION
TWO  OF  SECTION  SIXTEEN  HUNDRED  EIGHTY OF THE PUBLIC AUTHORITIES LAW
SHALL VEST IN THE STATE UNIVERSITY OF NEW YORK AND BE THE ABSOLUTE PROP-
ERTY OF THE STATE UNIVERSITY OF NEW YORK, AND  THE  DORMITORY  AUTHORITY
SHALL NO LONGER HAVE ANY INTEREST IN SUCH MONEYS.
  S  3. Subdivision 8 of section 355 of the education law, as amended by
chapter 553 of the laws of 1985, is amended to read as follows:
  8. [All] EXCEPT AS OTHERWISE PROVIDED HEREIN, ALL moneys  received  by
the  state  university  of  New  York and by state-operated institutions
thereof from appropriations,  tuition,  fees,  user  charges,  sales  of
products  and services and from all other sources, including sources and
activities of the state university which are intended by law to be self-
supporting may be credited to an appropriate fund or funds to be  desig-
nated  by  the  state comptroller. The amounts so paid into such fund or
funds which were received by or for the state university shall  be  used
for  expenses of the state university in carrying out any of its objects
and purposes and such amounts received by or for  state-operated  insti-
tutions  of the state university shall be used for expenses of the state
university under regulations prescribed by the  state  university  trus-
tees.  NOTWITHSTANDING THE FOREGOING PROVISIONS OF THIS SUBDIVISION, ALL
DORMITORY  FACILITIES REVENUES TRANSFERRED TO THE DORMITORY AUTHORITY BY
ASSIGNMENT OR OTHERWISE PURSUANT TO PARAGRAPH Y OF  SUBDIVISION  TWO  OF
THIS  SECTION SHALL UPON RECEIPT BY THE STATE UNIVERSITY ACTING AS AGENT
FOR THE DORMITORY AUTHORITY BE TRANSFERRED AND IMMEDIATELY PAID  WITHOUT
APPROPRIATION THEREOF TO THE COMMISSIONER OF TAXATION AND FINANCE PURSU-
ANT  TO  SUBDIVISION  FOUR  OF SECTION FOUR OF THE STATE FINANCE LAW FOR
DEPOSIT TO THE DORMITORY FACILITIES REVENUE FUND.
  S 4. The public authorities law is amended by  adding  a  new  section
1680-q to read as follows:
  S  1680-Q.  STATE  UNIVERSITY OF NEW YORK DORMITORY FACILITIES.  1. AS
USED IN OR REFERRED TO IN  THIS  SECTION,  UNLESS  A  DIFFERENT  MEANING
APPEARS  FROM  THE CONTEXT, THE FOLLOWING TERMS SHALL HAVE THE FOLLOWING
RESPECTIVE MEANINGS:
  (A) "AGREEMENT" MEANS AN AGREEMENT BY AND BETWEEN  THE  AUTHORITY  AND
THE STATE UNIVERSITY ENTERED INTO PURSUANT TO THIS SECTION.
  (B)  "DORMITORY  FACILITIES  REVENUE  FUND" MEANS THE FUND ESTABLISHED
PURSUANT TO SUBDIVISION THREE OF THIS SECTION.
  (C) "DORMITORY FACILITIES REVENUES" MEANS ALL MONEYS, INCLUDING RENTS,
FEES AND CHARGES, DERIVED FROM THE USE OR OCCUPANCY OF DORMITORY FACILI-
TIES.
  (D) "DORMITORY FACILITY" MEANS A DORMITORY, AS SUCH TERM IS DEFINED IN
PARAGRAPH (A) OF SUBDIVISION TWO OF SECTION SIXTEEN HUNDRED  SEVENTY-SIX
OF THIS TITLE.
  (E)  "DORMITORY  FACILITY  REVENUE BOND" MEANS ANY NOTE OR BOND OF THE
AUTHORITY (I) ISSUED ON OR AFTER THE FIRST DAY OF  APRIL,  TWO  THOUSAND
THIRTEEN FOR THE PURPOSES OF FINANCING DORMITORY FACILITIES OR REFINANC-
ING NOTES OR BONDS ISSUED PREVIOUSLY IN CONNECTION WITH DORMITORY FACIL-
ITIES,  INCLUDING  NOTES  OR  BONDS  ISSUED  TO  PAY  COSTS  INCURRED IN
CONNECTION WITH THE ISSUANCE OF SUCH NOTES OR BONDS, TO FUND ANY RESERVE
FOR THE PAYMENT OF DEBT SERVICE ON  SUCH  BONDS,  TO  FUND  ANY  RESERVE
ESTABLISHED  FOR  THE  IMPROVEMENT, REPAIR, MAINTENANCE OR OPERATIONS OF

S. 2607--C                         55

DORMITORY FACILITIES, OR TO PAY OR PROVIDE FOR THE PAYMENT OF  ANY  NOTE
OR BOND PREVIOUSLY ISSUED FOR ANY SUCH PURPOSE, AND (II) IS PAYABLE FROM
MONEYS ON DEPOSIT IN THE DORMITORY FACILITIES REVENUE FUND.
  (F)  "PRIOR  DORMITORY  FACILITY  BOND"  MEANS ANY NOTE OR BOND OF THE
AUTHORITY  ISSUED  PRIOR  TO  APRIL  FIRST,  TWO  THOUSAND  THIRTEEN  IN
CONNECTION WITH DORMITORY FACILITIES.
  (G)  "STATE  UNIVERSITY"  MEANS  THE  STATE  UNIVERSITY OF NEW YORK, A
CORPORATION WITHIN THE STATE EDUCATION DEPARTMENT AND WITHIN THE UNIVER-
SITY OF THE STATE OF NEW YORK CREATED BY SECTION THREE HUNDRED FIFTY-TWO
OF THE EDUCATION LAW.
  2. THE AUTHORITY MAY, FROM AND AFTER APRIL FIRST, TWO  THOUSAND  THIR-
TEEN,  ISSUE DORMITORY FACILITY REVENUE BONDS IN AN AMOUNT NOT TO EXCEED
NINE HUNDRED FORTY-FOUR MILLION DOLLARS. SUCH AMOUNT SHALL BE  EXCLUSIVE
OF  BONDS  AND  NOTES  ISSUED TO FUND ANY RESERVE FUND OR FUNDS, COST OF
ISSUANCE, ORIGINAL ISSUE PREMIUM, AND  TO  REFUND  ANY  PRIOR  DORMITORY
FACILITY  BONDS  OR  ANY DORMITORY FACILITY REVENUE BONDS. THE AUTHORITY
AND THE STATE UNIVERSITY ARE HEREBY AUTHORIZED TO ENTER INTO  AGREEMENTS
RELATING  TO,  AMONG OTHER THINGS, THE ACQUISITION OF PROPERTY OR INTER-
ESTS THEREIN, THE CONSTRUCTION, RECONSTRUCTION, REHABILITATION, IMPROVE-
MENT, EQUIPPING AND FURNISHING OF DORMITORY  FACILITIES,  THE  OPERATION
AND MAINTENANCE OF DORMITORY FACILITIES, AND THE BILLING, COLLECTION AND
DISBURSEMENT  OF  DORMITORY  FACILITIES REVENUES, THE TITLE TO WHICH HAS
BEEN CONVEYED, ASSIGNED OR OTHERWISE TRANSFERRED TO THE AUTHORITY PURSU-
ANT  TO  PARAGRAPH  Y  OF  SUBDIVISION  TWO  OF  SECTION  THREE  HUNDRED
FIFTY-FIVE  OF  THE EDUCATION LAW. NO DEBT SHALL BE CONTRACTED EXCEPT TO
FINANCE CAPITAL WORKS OR PURPOSES. NOTWITHSTANDING ANY  OTHER  PROVISION
OF  LAW,  DORMITORY FACILITY REVENUES SHALL NOT BE DEEMED TO BE REVENUES
OF THE STATE. THE STATE SHALL NOT BE LIABLE  FOR  ANY  PAYMENTS  ON  ANY
DORMITORY  FACILITY REVENUE BONDS, AND SUCH BONDS SHALL NOT BE A DEBT OF
THE STATE.
  3. (A) THERE IS HEREBY ESTABLISHED IN THE CUSTODY OF THE  COMMISSIONER
OF  TAXATION  AND  FINANCE  A  SPECIAL FUND TO BE KNOWN AS THE DORMITORY
FACILITIES REVENUE FUND. SUCH FUND SHALL CONSIST OF ALL DORMITORY FACIL-
ITIES REVENUES  CONVEYED,  ASSIGNED  OR  OTHERWISE  TRANSFERRED  TO  THE
AUTHORITY  PURSUANT  TO  PARAGRAPH Y OF SUBDIVISION TWO OF SECTION THREE
HUNDRED FIFTY-FIVE OF THE EDUCATION  LAW,  WHICH  UPON  RECEIPT  BY  THE
COMMISSIONER OF TAXATION AND FINANCE SHALL BE DEPOSITED IN SUCH FUND AND
HELD BY THE COMMISSIONER OF TAXATION AND FINANCE PURSUANT TO SUBDIVISION
FOUR  OF  SECTION  FOUR OF THE STATE FINANCE LAW. THE MONEYS IN THE FUND
SHALL BE THE SOLE AND EXCLUSIVE PROPERTY OF THE  AUTHORITY.  THE  MONEYS
HELD  IN  THE FUND SHALL BE HELD SEPARATE AND APART FROM AND NOT COMMIN-
GLED WITH ANY MONEYS OF THE STATE OR ANY OTHER MONEYS IN THE CUSTODY  OF
THE COMMISSIONER OF TAXATION AND FINANCE.  ALL DEPOSITS OF MONEYS SHALL,
IF  REQUIRED  BY THE COMMISSIONER OF TAXATION AND FINANCE, BE SECURED BY
OBLIGATIONS OF THE UNITED STATES OF AMERICA OR OF  THE  STATE  HAVING  A
MARKET  VALUE  EQUAL AT ALL TIMES TO THE AMOUNT OF SUCH DEPOSITS AND ALL
BANKS AND TRUST COMPANIES ARE  AUTHORIZED  TO  GIVE  SECURITY  FOR  SUCH
DEPOSITS.  ANY MONEYS IN SUCH FUND MAY, IN THE DISCRETION OF THE COMMIS-
SIONER OF TAXATION AND FINANCE, BE INVESTED IN OBLIGATIONS DESCRIBED  IN
SECTION NINETY-EIGHT OF THE STATE FINANCE LAW. THE COMMISSIONER OF TAXA-
TION AND FINANCE SHALL CERTIFY TO THE AUTHORITY AND THE STATE UNIVERSITY
NOT  LATER  THAN THE FIFTEENTH DAY OF EACH MONTH THE AMOUNT OF DORMITORY
FACILITIES REVENUES DEPOSITED IN THE FUND DURING THE PRECEDING  CALENDAR
MONTH AND THE AMOUNT HELD IN THE FUND AS OF THE LAST DAY OF SUCH PRECED-
ING CALENDAR MONTH.

S. 2607--C                         56

  (B)  DURING EACH TWELVE MONTH PERIOD COMMENCING JULY FIRST OF A CALEN-
DAR YEAR AND ENDING ON JUNE THIRTIETH OF THE SUCCEEDING  CALENDAR  YEAR,
THE  COMMISSIONER  OF  TAXATION AND FINANCE SHALL PAY, WITHOUT APPROPRI-
ATION, TO OR UPON THE ORDER OF THE AUTHORITY FROM THE MONEYS IN THE FUND
THE  AMOUNT CERTIFIED TO THE COMMISSIONER OF TAXATION AND FINANCE BY THE
AUTHORITY PURSUANT TO PARAGRAPH (C)  OF  THIS  SUBDIVISION.  ANY  MONEYS
REMAINING  IN  THE  FUND AFTER PAYMENT TO THE AUTHORITY OF THE AMOUNT SO
CERTIFIED SHALL BE PAID BY THE COMMISSIONER OF TAXATION AND  FINANCE  IN
ACCORDANCE  WITH THE AGREEMENT. ALL RIGHTS, TITLE AND INTEREST IN AND TO
ANY MONEYS PAID TO OR UPON THE ORDER OF THE STATE UNIVERSITY PURSUANT TO
THE AGREEMENT SHALL VEST IN THE STATE UNIVERSITY  AND  BE  THE  ABSOLUTE
PROPERTY OF THE STATE UNIVERSITY, AND THE AUTHORITY SHALL NO LONGER HAVE
ANY INTEREST IN SUCH MONEYS.
  (C)  THE  AUTHORITY  SHALL, NOT LATER THAN BY THE FIRST DAY OF JUNE OF
EACH CALENDAR YEAR, CERTIFY TO THE COMMISSIONER OF TAXATION AND  FINANCE
AND  TO  THE  STATE UNIVERSITY: (I) THE AMOUNT OF THE RENTALS, INCLUDING
THE AMOUNTS REQUIRED FOR PAYMENT OF THE PRINCIPAL OF,  AND  INTEREST  ON
PRIOR  DORMITORY FACILITY BONDS REQUIRED TO BE MADE BY THE STATE UNIVER-
SITY TO THE AUTHORITY DURING THE TWELVE MONTH PERIOD COMMENCING  ON  THE
SUCCEEDING JULY FIRST AND ENDING ON THE SUCCEEDING JUNE THIRTIETH PURSU-
ANT  TO  THE  AGREEMENT  BETWEEN THE AUTHORITY AND THE STATE UNIVERSITY,
DATED  AS  OF  THE  TWENTIETH  DAY  OF   SEPTEMBER,   NINETEEN   HUNDRED
NINETY-FIVE,  AS AMENDED AND RESTATED; (II) THE AMOUNT REQUIRED TO MAIN-
TAIN ANY RESERVES FOR THE REPAIR AND REPLACEMENT OF DORMITORY FACILITIES
OR THE OPERATIONS AND MAINTENANCE OF DORMITORY FACILITIES IN  CONNECTION
WITH  THE  PRIOR DORMITORY FACILITY BONDS; (III) THE AMOUNT REQUIRED FOR
PAYMENT OF THE PRINCIPAL OF, WHETHER AT MATURITY OR DUE THROUGH MANDATO-
RY REDEMPTION, AND INTEREST ON DORMITORY FACILITY REVENUE BONDS  PAYABLE
ON  JANUARY  FIRST  OF  SUCH  TWELVE MONTH PERIOD AND ON JULY FIRST NEXT
SUCCEEDING SUCH TWELVE MONTH PERIOD; (IV) THE AMOUNT REQUIRED  TO  MAIN-
TAIN ANY RESERVES FOR THE REPAIR AND REPLACEMENT OF DORMITORY FACILITIES
OR  THE OPERATIONS AND MAINTENANCE OF DORMITORY FACILITIES IN CONNECTION
WITH THE DORMITORY FACILITY REVENUE BONDS; (V) THE  AMOUNT  REQUIRED  TO
RESTORE ANY RESERVE FOR THE PAYMENT OF DEBT SERVICE ON DORMITORY FACILI-
TY  REVENUE  BONDS  TO ITS REQUIREMENT; AND (VI) THE COSTS, EXPENSES AND
OVERHEAD OF THE DORMITORY AUTHORITY TO BE INCURRED  DURING  SUCH  TWELVE
MONTH  PERIOD  IN  CONNECTION  WITH  AND REASONABLY RELATED TO DORMITORY
FACILITIES FINANCED THROUGH THE ISSUANCE OF DORMITORY  FACILITY  REVENUE
BONDS.  EACH  SUCH  AMOUNT  SHALL BE SEPARATELY STATED AND IDENTIFIED IN
SUCH CERTIFICATE.  ANY  SUCH  CERTIFICATE  SUBMITTED  BY  THE  DORMITORY
AUTHORITY MAY BE AMENDED BY THE DORMITORY AUTHORITY FROM TIME TO TIME AS
NECESSARY  TO  ADJUST  THE AMOUNTS SET FORTH THEREIN. THE MONEYS PAID TO
THE AUTHORITY PURSUANT TO PARAGRAPH (B) OF  THIS  SUBDIVISION  SHALL  BE
APPLIED  BY  THE AUTHORITY IN THE ORDER OF PRIORITY IN WHICH THE AMOUNTS
SET FORTH IN SUCH CERTIFICATION ARE STATED IN THIS PARAGRAPH.
  S 5. For the purposes of paragraphs (b) and (c) of  subdivision  3  of
section  1680-q  of the public authorities law, as added by section four
of this act, the dormitory authority shall, within thirty days after the
date on which this act shall become effective, make and deliver  to  the
commissioner  of  taxation  and  finance and the state university of New
York a certification in the form and substance required  by  such  para-
graph (c) with respect to amounts required for the items specified ther-
ein during the period from the effective date of this act to and includ-
ing  the  thirtieth  day  of  June,  2013, and, if this act shall become
effective after the first day of June, 2013, for the twelve month period
commencing the first day of July, 2013, to and including  the  thirtieth

S. 2607--C                         57

day  of  June, 2014. No money shall be paid by the commissioner of taxa-
tion and finance out of  the  dormitory  facility  revenue  fund  except
unless  and  until  such  commissioner has received the certification or
certifications required by this section.
  S 6. This act shall take effect immediately.

                                 PART C

  Section  1.  Paragraph  (a) of subdivision 1 of section 1 of part U of
chapter 57 of the laws of 2005 amending the labor  law  and  other  laws
implementing  the state fiscal plan for the 2005-2006 state fiscal year,
relating to the New York state higher education capital  matching  grant
program  for  independent colleges, as amended by section 1 of part H of
chapter 57 of the laws of 2012, is amended to read as follows:
  (a) The New York state higher education capital matching  grant  board
is  hereby  created to have and exercise the powers, duties and preroga-
tives provided by the provisions of this section and any other provision
of law. The board shall remain in existence during the period of the New
York state higher education capital  matching  grant  program  from  the
effective  date  of  this  section through March 31, [2013] 2014, or the
date on which the last of the funds  available  for  grants  under  this
section  shall  have  been  disbursed,  whichever  is earlier; provided,
however, that the termination of the existence of the  board  shall  not
affect the power and authority of the dormitory authority to perform its
obligations  with  respect  to  any  bonds, notes, or other indebtedness
issued or incurred pursuant to authority granted in this section.
  S 2. Paragraph (h) of subdivision 4 of section 1 of part U of  chapter
57  of the laws of 2005 amending the labor law and other laws implement-
ing the state fiscal plan for the 2005-2006 state fiscal year,  relating
to  the  New  York state higher education capital matching grant program
for independent colleges, as amended by section 2 of part H  of  chapter
57 of the laws of 2012, is amended to read as follows:
  (h)  [If  a  college did not apply for a potential grant] IN THE EVENT
THAT ANY COLLEGES DO NOT APPLY FOR  HIGHER  EDUCATION  CAPITAL  MATCHING
GRANTS  by  March  31,  2009,  OR  IN  THE  EVENT THEY APPLY FOR AND ARE
AWARDED, BUT DO NOT USE THE FULL AMOUNT OF SUCH GRANTS, THE UNUSED funds
associated with  such  [potential  grant]  GRANTS  shall  THEREAFTER  be
awarded[,]  TO  COLLEGES  on  a  competitive basis, [to other colleges,]
according to the priorities set forth below. [Colleges]  NOTWITHSTANDING
SUBDIVISION FIVE OF THIS SECTION, ANY COLLEGE shall be eligible to apply
for  [unutilized  grants] SUCH UNUSED FUNDS IN RESPONSE TO A REQUEST FOR
PROPOSALS FOR A HIGHER EDUCATION CAPITAL MATCHING GRANT PURSUANT TO THIS
PARAGRAPH.  In such cases, the following priorities shall apply:  first,
priority shall be given to otherwise eligible colleges that either were,
or would have been, deemed ineligible for the program prior to March 31,
2009,  due  to  missed  deadlines,  insufficient matching funds, lack of
accreditation or other disqualifying  reasons;  and  second,  after  the
board  has  acted  upon  all such first-priority applications for unused
funds, if any such funds remain, those  funds  shall  be  available  for
distribution  to  eligible  colleges  [that  are located within the same
Regents of the State of New  York  region  for  which  such  funds  were
originally  allocated].  The dormitory authority shall develop a request
for proposals and application process, in consultation with  the  board,
for  [such] HIGHER EDUCATION CAPITAL MATCHING grants AWARDED PURSUANT TO
THIS PARAGRAPH, and shall develop criteria, subject  to  review  by  the
board,  for  the  awarding of such grants. Such criteria shall [incorpo-

S. 2607--C                         58

rate] INCLUDE, BUT NOT BE LIMITED TO the matching criteria contained  in
paragraph  (c)  of  this  subdivision,  and the application criteria set
forth in paragraph (e) of  this  subdivision.  The  dormitory  authority
shall  require all applications in response to the request for proposals
to be submitted by September 1, [2012] 2013, and the board shall act  on
each application for such matching grants by November 1, [2012] 2013.
  S 3. Subclause (A) of clause (ii) of paragraph (j) of subdivision 4 of
section 1 of part U of chapter 57 of the laws of 2005 amending the labor
law  and other laws implementing the state fiscal plan for the 2005-2006
state fiscal year, relating to the New York state higher education capi-
tal matching grant program  for  independent  colleges,  as  amended  by
section  3  of  part  H of chapter 57 of the laws of 2012, is amended to
read as follows:
  (A) Notwithstanding the provision of any general or special law to the
contrary, and subject to the provisions of chapter 59  of  the  laws  of
2000 and to the making of annual appropriations therefor by the legisla-
ture, in order to assist the dormitory authority in providing such high-
er  education  capital  matching  grants,  the director of the budget is
authorized in any state fiscal year commencing  April  1,  2005  or  any
state  fiscal  year  thereafter  for a period ending on March 31, [2014]
2015, to enter into one or more service contracts, none of  which  shall
exceed  30  years  in  duration, with the dormitory authority, upon such
terms as the director of the budget and the dormitory authority agree.
  S 4. Paragraph (b) of subdivision 7 of section 1 of part U of  chapter
57  of the laws of 2005 amending the labor law and other laws implement-
ing the state fiscal plan for the 2005-2006 state fiscal year,  relating
to  the  New  York state higher education matching capital grant program
for independent colleges, as amended by section 4 of part H  of  chapter
57 of the laws of 2012, is amended to read as follows:
  (b)  Any eligible institution receiving a grant pursuant to this arti-
cle shall report to the dormitory authority no later than June 1, [2013]
2014, on the use of funding received and its programmatic  and  economic
impact.  The  dormitory  authority  shall  submit a report no later than
November 1, [2013] 2014 to the board, the governor, the director of  the
budget,  the  temporary  president of the senate, and the speaker of the
assembly on the aggregate impact of the higher education matching  capi-
tal grant program. Such report shall provide information on the progress
and economic impact of such project.
  S  5.  This  act  shall take effect immediately and shall be deemed to
have been in full force and effect on and after April 1, 2013.

                                 PART D
                          Intentionally Omitted

                                 PART E

  Section 1. Paragraphs (a), (b),  (c)  and  (d)  of  subdivision  1  of
section  131-o  of  the  social services law, as amended by section 1 of
part C of chapter 57 of the  laws  of  2012,  are  amended  to  read  as
follows:
  (a)  in  the  case of each individual receiving family care, an amount
equal to at least [$135.00] $137.00 for each month beginning on or after
January first, two thousand [twelve] THIRTEEN.

S. 2607--C                         59

  (b) in the case of each  individual  receiving  residential  care,  an
amount  equal  to at least [$155.00] $158.00 for each month beginning on
or after January first, two thousand [twelve] THIRTEEN.
  (c)  in  the  case  of  each individual receiving enhanced residential
care, an amount equal to at  least  [$184.00]  $187.00  for  each  month
beginning on or after January first, two thousand [twelve] THIRTEEN.
  (d)  for  the period commencing January first, two thousand [thirteen]
FOURTEEN, the monthly personal needs allowance shall be an amount  equal
to the sum of the amounts set forth in subparagraphs one and two of this
paragraph:
  (1)  the  amounts  specified  in  paragraphs  (a), (b) and (c) of this
subdivision; and
  (2) the amount in subparagraph one of this  paragraph,  multiplied  by
the  percentage  of  any  federal  supplemental  security income cost of
living adjustment which becomes effective on or after January first, two
thousand [thirteen] FOURTEEN, but prior to June thirtieth, two  thousand
[thirteen] FOURTEEN, rounded to the nearest whole dollar.
  S  2.  Paragraphs  (a), (b), (c), (d), (e) and (f) of subdivision 2 of
section 209 of the social services law, as amended by section 2 of  part
C of chapter 57 of the laws of 2012, are amended to read as follows:
  (a) On and after January first, two thousand [twelve] THIRTEEN, for an
eligible individual living alone, [$785.00] $797.00; and for an eligible
couple living alone, [$1152.00] $1170.00.
  (b) On and after January first, two thousand [twelve] THIRTEEN, for an
eligible  individual  living with others with or without in-kind income,
[$721.00] $733.00; and for an eligible couple living with others with or
without in-kind income, [$1094.00] $1112.00.
  (c) On and after January first, two thousand  [twelve]  THIRTEEN,  (i)
for  an  eligible individual receiving family care, [$964.48] $976.48 if
he or she is receiving such care in the city of New York or  the  county
of  Nassau,  Suffolk,  Westchester or Rockland; and (ii) for an eligible
couple receiving family care in the city of New York or  the  county  of
Nassau, Suffolk, Westchester or Rockland, two times the amount set forth
in subparagraph (i) of this paragraph; or (iii) for an eligible individ-
ual  receiving  such  care  in  any other county in the state, [$926.48]
$938.48; and (iv) for an eligible couple  receiving  such  care  in  any
other  county  in  the state, two times the amount set forth in subpara-
graph (iii) of this paragraph.
  (d) On and after January first, two thousand  [twelve]  THIRTEEN,  (i)
for  an  eligible  individual  receiving  residential  care,  [$1133.00]
$1145.00 if he or she is receiving such care in the city of New York  or
the  county of Nassau, Suffolk, Westchester or Rockland; and (ii) for an
eligible couple receiving residential care in the city of  New  York  or
the  county  of  Nassau, Suffolk, Westchester or Rockland, two times the
amount set forth in subparagraph (i) of this paragraph; or (iii) for  an
eligible  individual  receiving  such  care  in  any other county in the
state, [$1103.00] $1115.00; and (iv) for an  eligible  couple  receiving
such  care  in  any  other county in the state, two times the amount set
forth in subparagraph (iii) of this paragraph.
  (e) (i) On and after January first, two  thousand  [twelve]  THIRTEEN,
for   an   eligible  individual  receiving  enhanced  residential  care,
[$1392.00] $1404.00; and (ii) for an eligible couple receiving  enhanced
residential  care, two times the amount set forth in subparagraph (i) of
this paragraph.
  (f) The amounts set forth in paragraphs (a) through (e) of this subdi-
vision shall be increased to reflect any increases  in  federal  supple-

S. 2607--C                         60

mental  security income benefits for individuals or couples which become
effective on or after January first, two  thousand  [thirteen]  FOURTEEN
but prior to June thirtieth, two thousand [thirteen] FOURTEEN.
  S 3. This act shall take effect December 31, 2013.

                                 PART F
                          Intentionally Omitted

                                 PART G

  Section  1.  Subdivisions 4 and 5 of section 412 of the executive law,
as amended by chapter 182 of the laws of 2002, are amended and  two  new
subdivisions 8 and 9 are added to read as follows:
  4. "Municipality" shall mean a county, [city, village, town, that part
of  a  town not included within the boundaries of a village, or a school
district (if approved for such purpose by the commissioner, in instances
where no other municipality, overlapping such school district  in  whole
or  part,  is  receiving state aid pursuant to this article or upon such
other basis as the commissioner shall by regulation determine).  Munici-
pality may mean an Indian reservation, subject to rules and  regulations
of the office] OR A CITY HAVING A POPULATION OF ONE MILLION OR MORE WITH
A LOCAL YOUTH BUREAU.
  5.  "Youth  DEVELOPMENT program" shall mean a ["youth bureau," "recre-
ation project"  or  "youth  service"  project  established  under  prior
authorizing  legislation establishing a temporary state youth commission
as well as similar] local [programs] PROGRAM designed to accomplish  the
broad purposes of this article[. The definition, determination and clas-
sification  of  youth  programs  shall  be]  subject to [approval by the
office in accordance with] THE rules and regulations [adopted by it], AS
REQUIRED UNDER PARAGRAPH D OF SUBDIVISION ONE OF  SECTION  FOUR  HUNDRED
TWENTY OF THIS ARTICLE, OF THE OFFICE; PROVIDED HOWEVER, THE TERM "YOUTH
DEVELOPMENT  PROGRAM"  SHALL  NOT  INCLUDE  APPROVED RUNAWAY PROGRAMS OR
TRANSITIONAL INDEPENDENT LIVING  SUPPORT  PROGRAMS  AS  SUCH  TERMS  ARE
DEFINED IN SECTION FIVE HUNDRED THIRTY-TWO-A OF THIS CHAPTER.
  8.  "LOCAL  YOUTH  BUREAU"  SHALL MEAN AN AGENCY IN A MUNICIPALITY, AS
DEFINED IN THIS SECTION.
  9. "MUNICIPAL YOUTH BUREAU" SHALL MEAN AN AGENCY IN A  CITY,  TOWN  OR
VILLAGE  WITH  A  TOTAL  POPULATION  OF TWENTY THOUSAND OR MORE PRIOR TO
JANUARY FIRST, TWO THOUSAND FOURTEEN.
  S 2. Subdivision 1 of section 420 of the executive law is REPEALED and
a new subdivision 1 is added to read as follows:
   1. A. (1) EACH MUNICIPALITY OPERATING  A  YOUTH  DEVELOPMENT  PROGRAM
APPROVED BY THE OFFICE OF CHILDREN AND FAMILY SERVICES SHALL BE ELIGIBLE
FOR  ONE  HUNDRED  PERCENT STATE REIMBURSEMENT OF ITS QUALIFIED EXPENDI-
TURES, SUBJECT TO AVAILABLE APPROPRIATIONS AND EXCLUSIVE OF ANY  FEDERAL
FUNDS MADE AVAILABLE THEREFOR, NOT TO EXCEED THE MUNICIPALITY'S DISTRIB-
UTION OF STATE AID UNDER THIS ARTICLE.
  (2) THE STATE AID APPROPRIATED FOR YOUTH DEVELOPMENT PROGRAMS SHALL BE
DISTRIBUTED BY THE OFFICE OF CHILDREN AND FAMILY SERVICES TO AN ELIGIBLE
LOCAL YOUTH BUREAU WITHIN A MUNICIPALITY THAT HAS AN APPROVED COMPREHEN-
SIVE  PLAN  PURSUANT TO SUBPARAGRAPH TWO OF PARAGRAPH C OF THIS SUBDIVI-
SION. SUCH STATE AID SHALL BE LIMITED TO THE FUNDS  SPECIFICALLY  APPRO-
PRIATED  THEREFOR  AND SHALL BE BASED ON FACTORS THAT SHALL INCLUDE, BUT
NOT BE LIMITED TO, THE PERCENTAGE OF YOUTH LIVING  IN  POVERTY  AND  THE
NUMBER OF YOUTH UNDER THE AGE OF TWENTY-ONE RESIDING IN THE MUNICIPALITY

S. 2607--C                         61

AS  SHOWN  BY  THE  LAST  PUBLISHED FEDERAL CENSUS CERTIFIED IN THE SAME
MANNER AS PROVIDED BY SECTION FIFTY-FOUR OF THE STATE FINANCE LAW.
  (3)  ELIGIBLE  MUNICIPALITIES MAY CLAIM UP TO FIFTEEN PERCENT OF THEIR
DISTRIBUTION FOR THE OPERATION OF A YOUTH BUREAU. THE OFFICE  SHALL  NOT
REIMBURSE ANY CLAIMS UNDER THIS SECTION UNLESS THEY ARE SUBMITTED WITHIN
TWELVE MONTHS OF THE CALENDAR QUARTER IN WHICH THE EXPENDITURE WAS MADE.
THE OFFICE MAY REQUIRE THAT SUCH CLAIMS BE SUBMITTED TO THE OFFICE ELEC-
TRONICALLY IN THE MANNER AND FORMAT REQUIRED BY THE OFFICE.
  B.  YOUTH  DEVELOPMENT PROGRAMS SHALL PROVIDE COMMUNITY-LEVEL SERVICES
DESIGNED TO  PROMOTE  POSITIVE  YOUTH  DEVELOPMENT.  SUCH  PROGRAMS  MAY
INCLUDE,  BUT  NOT  BE  LIMITED  TO:  PROGRAMS THAT PROMOTE PHYSICAL AND
EMOTIONAL WELLNESS, EDUCATIONAL ACHIEVEMENT OR CIVIC, FAMILY AND  COMMU-
NITY  ENGAGEMENT;  FAMILY  SUPPORT  SERVICES;  SERVICES TO PREVENT CHILD
ABUSE AND NEGLECT; SERVICES TO AVERT  FAMILY  CRISES;  AND  SERVICES  TO
ASSIST YOUTH IN NEED OF CRISIS INTERVENTION OR RESPITE SERVICES. SUBJECT
TO  THE  REGULATIONS  OF  THE OFFICE, AS REQUIRED BY PARAGRAPH D OF THIS
SUBDIVISION, A MUNICIPALITY MAY ENTER INTO CONTRACTS TO  EFFECTUATE  ITS
YOUTH  DEVELOPMENT  PROGRAM ESTABLISHED AND APPROVED AS PROVIDED IN THIS
ARTICLE.
  C. EACH MUNICIPALITY SHALL DEVELOP, IN  CONSULTATION  WITH  THE  LOCAL
YOUTH  BUREAU, A COMPREHENSIVE PLAN TO OFFER YOUTH DEVELOPMENT PROGRAMS.
SUCH COMPREHENSIVE PLAN SHALL BE SUBJECT TO THE APPROVAL OF  THE  OFFICE
OF  CHILDREN  AND FAMILY SERVICES IN ACCORDANCE WITH SUBPARAGRAPH TWO OF
THIS PARAGRAPH AND SHALL BE SUBMITTED BY EACH MUNICIPALITY IN  A  MANNER
AND  AT  SUCH  TIMES  AND FOR SUCH PERIODS AS THE OFFICE OF CHILDREN AND
FAMILY SERVICES SHALL DETERMINE.
  (1) SUCH COMPREHENSIVE PLAN SHALL:
  (I) ADDRESS  THE  NEED  IN  THE  MUNICIPALITY  FOR  YOUTH  DEVELOPMENT
PROGRAMS  IN TOWNS, CITIES AND VILLAGES WHICH HAVE A YOUTH POPULATION OF
TWENTY THOUSAND OR MORE PERSONS;
  (II) SPECIFY HOW THE MUNICIPALITY WILL  MEASURE  PERFORMANCE  OUTCOMES
FOR SUCH SERVICES AND PROGRAMS COVERED UNDER THE PLAN;
  (III)  SPECIFY  THE  PROJECTED  PERFORMANCE  OUTCOMES FOR SERVICES AND
PROGRAMS COVERED UNDER THE PLAN, INCLUDING PROJECTED  POSITIVE  OUTCOMES
FOR YOUTH WHO PARTICIPATE IN THE SERVICES AND PROGRAMS; AND
  (IV)  PROVIDE  INFORMATION  ON  THE  PERFORMANCE  OUTCOMES OF SERVICES
PROVIDED UNDER THE MUNICIPALITY'S MOST RECENT PLAN APPROVED PURSUANT  TO
THIS  SUBDIVISION, INCLUDING OUTCOME BASED MEASURES THAT DEMONSTRATE THE
QUALITY OF SERVICES PROVIDED AND PROGRAM EFFECTIVENESS OF PROGRAMS FUND-
ED UNDER SUCH PLAN.
  (2) THE OFFICE OF CHILDREN AND FAMILY SERVICES MAY APPROVE ALL OR PART
OF A MUNICIPALITY'S COMPREHENSIVE PLAN. IF THE OFFICE DOES NOT APPROVE A
MUNICIPALITY'S COMPREHENSIVE PLAN, SUCH MUNICIPALITY  SHALL  HAVE  SIXTY
DAYS FROM RECEIPT OF THE NOTIFICATION OF DISAPPROVAL TO SUBMIT A REVISED
PLAN.
  D.  THE  OFFICE  OF  CHILDREN  AND  FAMILY  SERVICES SHALL DEVELOP AND
PROMULGATE IN CONJUNCTION WITH EXISTING  YOUTH  SERVICE  REPRESENTATIVES
AND  ANY OTHER PERTINENT STAKEHOLDER, REGULATIONS NECESSARY TO IMPLEMENT
THE YOUTH  DEVELOPMENT  PROGRAM  INCLUDING,  BUT  NOT  LIMITED  TO,  THE
DISTRIBUTION  FORMULA AND ROLE OF MUNICIPAL YOUTH BUREAUS IN DEVELOPMENT
OF THE COMPREHENSIVE PLAN.
  E. TWO OR MORE MUNICIPALITIES MAY JOIN TOGETHER TO ESTABLISH,  OPERATE
AND  MAINTAIN YOUTH DEVELOPMENT PROGRAMS AND MAY MAKE AND PERFORM AGREE-
MENTS IN CONNECTION THEREWITH. SUCH AGREEMENTS SHALL INCLUDE  PROVISIONS
FOR  THE PROPORTIONATE COST TO BE BORNE BY EACH MUNICIPALITY AND FOR THE
MANNER OF EMPLOYMENT OF PERSONNEL AND MAY PROVIDE THAT A FISCAL  OFFICER

S. 2607--C                         62

OF  ONE  SUCH  MUNICIPALITY  SHALL  BE  THE CUSTODIAN OF THE MONEYS MADE
AVAILABLE FOR EXPENDITURE FOR SUCH PURPOSES BY ALL  SUCH  MUNICIPALITIES
AND  THAT  SUCH FISCAL OFFICER MAY MAKE PAYMENTS THEREFROM UPON AUDIT OF
THE  APPROPRIATE AUDITING BODY OR OFFICER OF HIS OR HER MUNICIPALITY. IN
MAKING CLAIMS FOR STATE AID PURSUANT TO THIS ARTICLE, EACH SUCH  MUNICI-
PALITY  SHALL CLAIM FOR ITS PROPORTIONATE SHARE OF EXPENDITURES SO MADE.
HOWEVER, WHERE IT IS PROVIDED THAT THERE SHALL BE A  DISBURSING  MUNICI-
PALITY,  SUCH  DISBURSING  MUNICIPALITY  SHALL CLAIM FOR THE TOTAL JOINT
PROGRAM EXPENDITURES SO MADE AND SHALL DISBURSE SUCH STATE AID  TO  EACH
PARTICIPATING MUNICIPALITY BASED UPON THE PROPORTIONATE SHARE OF EXPEND-
ITURES SO MADE.
  S 3. Section 422 of the executive law is REPEALED.
  S  4.  Paragraph  (a)  of  subdivision 6 of section 34-a of the social
services law, as added by chapter 160 of the laws of 2004, is amended to
read as follows:
  (a) Notwithstanding any other provision of law, the office of children
and family services shall plan for the statewide implementation, by  the
thirty-first day of December, two thousand eight, of the use by counties
of a child and family services plan that combines the multi-year consol-
idated  services  plan required by this section and the [county] compre-
hensive plan required by section four hundred twenty  of  the  executive
law into a single plan.
  S  5.  This  act  shall  take  effect January 1, 2014 and shall expire
December 31, 2018 when upon such date the provisions of this  act  shall
be  deemed  repealed;  provided however, that effective immediately, the
addition, amendment and/or repeal of any rule  or  regulation  necessary
for  the  implementation of this act on its effective date is authorized
and directed to be made and completed on or before such effective date.

                                 PART H
                          Intentionally Omitted

                                 PART I
                          Intentionally Omitted

                                 PART J

  Section 1. Paragraph (b) of subdivision 3 of section 425 of  the  real
property  tax  law,  as amended by section 1 of part B of chapter 389 of
the laws of 1997, is amended to read as follows:
  (b) Primary residence. The property must serve as  the  primary  resi-
dence  of  one  or  more  of  the owners thereof. THE COMMISSIONER SHALL
ESTABLISH GUIDELINES FOR DETERMINING WHAT CONSTITUTES  A  PRIMARY  RESI-
DENCE  FOR  PURPOSES  OF  THIS SECTION. SUCH GUIDELINES SHALL BE BINDING
UPON APPLICANTS, ASSESSORS AND ALL OTHER PARTIES  FOR  PURPOSES  OF  THE
ADMINISTRATION OF THE EXEMPTION AUTHORIZED BY THIS SECTION.
  S  2.  Subdivisions  12 and 13 of section 425 of the real property tax
law, as added by section 1 of part B of chapter 389 of the laws of 1997,
paragraph (a) of subdivision 12 as amended by section 12 of  part  W  of
chapter  56  of  the  laws  of  2010, paragraph (b) of subdivision 12 as
amended and paragraph (d) of subdivision 12 as added  by  section  1  of
part  N  of chapter 58 of the laws of 2011 and paragraph (d) of subdivi-
sion 13 as added by section 2 of part N of chapter 58  of  the  laws  of

S. 2607--C                         63

2011,  are  amended and two new subdivisions 14 and 15 are added to read
as follows:
  12.  Revocation  of  prior  exemptions.  (a) Generally. In addition to
discontinuing the exemption on the  next  ensuing  tentative  assessment
roll,  if  the assessor determines that the property improperly received
the exemption on one or more of the  [three]  TEN  preceding  assessment
rolls, or is advised by the department that the applicable income stand-
ard  was  not  satisfied  with  regard  to a property which received the
enhanced exemption on one or more  of  those  rolls,  he  or  she  shall
proceed  to revoke the improperly granted prior exemption or exemptions.
If the assessor is advised that the department was unable to verify  the
income  eligibility  of one or more participants in the income verifica-
tion program, the assessor shall mail that person  or  those  persons  a
notice in a form prescribed by the department requesting that the person
or  persons  document  their  income  in the same manner and to the same
extent as if the person or persons were submitting an  initial  applica-
tion  for  the  enhanced STAR exemption. If such income documentation is
not provided within forty-five days of such request, or if the  documen-
tation  provided  does  not  establish  the eligibility of the person or
persons to the assessor's satisfaction, the  assessor  shall  treat  the
exemption  as  an improperly granted exemption and proceed in the manner
provided by this subdivision.
  (b) Procedure. The assessed value attributable to each such improperly
granted exemption shall be entered separately on the next ensuing tenta-
tive or final assessment roll. The provisions of  section  five  hundred
fifty-one  or  five hundred fifty-three of this chapter, relating to the
entry by the assessor of omitted real property on a tentative  or  final
assessment  roll,  shall  apply  so far as practicable to the revocation
procedure IN THIS SUBDIVISION, except that:
  (I) the tax rate to be applied to any revoked exemption shall  be  the
tax  rate  that  was  applied to the corresponding assessment roll, [and
that]
  (II) interest shall then be added to each such  product  at  the  rate
prescribed by section nine hundred twenty-four-a of this chapter or such
other  law  as may be applicable for each month or portion thereon since
the levy of taxes upon the assessment  roll  or  rolls  upon  which  the
exemption was granted.
  (c)  Rights  of  owners. Each owner or owners shall be given notice of
the possible revocation UNDER THIS SUBDIVISION  of  their  exemption  or
exemptions  at  the  time  and  in  the  manner provided by section five
hundred ten or five hundred fifty-three of this chapter,  and  shall  be
entitled  to  seek  administrative and judicial review of such action in
the manner provided by law.
  (d) Applicability. The provisions of this  subdivision  shall  not  be
applicable  to  the  extent  that  the  prior exemptions shall have been
renounced pursuant to section four hundred ninety-six of this article.
  13. Penalty for material misstatements. (a) Generally. If the assessor
should determine, within [three] TEN years from the filing of an  appli-
cation for exemption pursuant to this section, that there was a material
misstatement  on  the  application,  he or she shall proceed to impose a
penalty tax against the property of one hundred dollars.  An application
shall be deemed to contain a material misstatement for this purpose when
either:
  (i) the applicant or applicants claimed that the  property  was  their
primary residence, when it was not; or

S. 2607--C                         64

  (ii)    THE APPLICANT OR APPLICANTS CLAIMED THAT THEY HAD RELINQUISHED
THE STAR EXEMPTION ON THEIR FORMER PRIMARY RESIDENCE, WHEN THEY HAD NOT;
OR
  (III)  in  the  case  of an application for the enhanced exemption for
property owned by senior citizens, the applicant or applicants misrepre-
sented their age or income so as to appear eligible for such  exemption,
when they were not.
  (b)  Procedure. When the assessor determines that a penalty tax should
be imposed, the penalty tax shall be entered on the next ensuing  tenta-
tive  or final assessment roll. The procedures set forth in section five
hundred fifty-one or five hundred fifty-three of this chapter,  relating
to  the entry by the assessor of omitted real property on a tentative or
final assessment roll, shall apply so far as practicable when imposing a
penalty tax pursuant to this subdivision. Each owner or owners shall  be
given notice of the possible imposition of a penalty tax at the time and
in  the  manner  provided  by  section  five hundred ten or five hundred
fifty-three of this chapter, and shall be entitled to  seek  administra-
tive  and  judicial review of such action in the manner provided by law.
Any penalty tax imposed pursuant to this subdivision shall  be  retained
by the assessing unit.
  (c)  Additional consequences. A penalty tax may be imposed pursuant to
this subdivision whether or not the improper exemption has been  revoked
in the manner provided by this section. In addition, a person or persons
who are found to have made a material misstatement shall be disqualified
from  further  exemption pursuant to this section for a period of [five]
TEN years, and may be subject to prosecution pursuant to the penal law.
  (d) Applicability. The provisions of this  subdivision  shall  not  be
applicable  to  the  extent  that  the  prior exemptions shall have been
renounced pursuant to section four hundred ninety-six of this article.
  14. STAR REGISTRATION PROGRAM. (A) THE  COMMISSIONER  SHALL  ESTABLISH
AND  IMPLEMENT  A PROGRAM UNDER WHICH ALL OWNERS OF PROPERTIES INITIALLY
APPLYING FOR AND  THOSE  RECEIVING  A  BASIC  STAR  EXEMPTION  SHALL  BE
REQUIRED TO REGISTER WITH THE COMMISSIONER IN THE MANNER, AT SUCH INTER-
VALS,  AND  BY  THE  DATE  OR DATES PRESCRIBED BY THE COMMISSIONER.  THE
COMMISSIONER  SHALL  REQUIRE  CURRENT  RECIPIENTS  OF  THE  BASIC   STAR
EXEMPTION,  AS  OF  THE  EFFECTIVE DATE OF THIS SUBDIVISION, TO REGISTER
WITH THE COMMISSIONER WITHIN ONE YEAR OF  SUCH  EFFECTIVE  DATE.    UPON
REGISTRATION  PURSUANT TO THIS SUBDIVISION, NO RECIPIENT OF A BASIC STAR
EXEMPTION SHALL BE REQUIRED TO REREGISTER FOR A PERIOD  OF  THREE  YEARS
FROM SUCH REGISTRATION.
  (B)  SIX  MONTHS PROCEEDING ANY REQUIRED REGISTRATION PURSUANT TO THIS
SUBDIVISION, THE COMMISSIONER SHALL PROVIDE WRITTEN NOTICE TO EACH  HOME
OWNER  RECEIVING  A  BASIC  STAR  EXEMPTION  UPON CONFIRMATION FROM EACH
RESPECTIVE MUNICIPALITY OF  CURRENT  EXEMPTION  RECIPIENTS  WITHIN  SUCH
MUNICIPALITY.
  (C)  NOTWITHSTANDING ANY PROVISION OF LAW TO THE CONTRARY, THE COMMIS-
SIONER SHALL DIRECT THE REMOVAL OR DENIAL OF A STAR EXEMPTION IF  HE  OR
SHE FINDS THAT ONE OR MORE OF THE FOLLOWING CONDITIONS EXIST:
  (I)  ALL  OWNERS  OF  THE  PROPERTY  HAVE  NOT  BEEN REGISTERED BY THE
PRESCRIBED DATE AND NO ACCEPTABLE JUSTIFICATION HAS BEEN  PRESENTED  FOR
SUCH FAILURE;
  (II) THE OWNERS OF THE PROPERTY ARE IMPROPERLY RECEIVING MULTIPLE STAR
EXEMPTIONS;
  (III)  THE  PROPERTY DOES NOT SERVE AS THE PRIMARY RESIDENCE OF ANY OF
ITS OWNERS;
  (IV) THE APPLICABLE INCOME LIMITATION HAS BEEN EXCEEDED; OR

S. 2607--C                         65

  (V) THE PROPERTY IS OTHERWISE INELIGIBLE FOR THE STAR EXEMPTION.
  (D)  PRIOR  TO  DIRECTING  THAT  A STAR EXEMPTION BE REMOVED OR DENIED
PURSUANT TO THIS SUBDIVISION, THE COMMISSIONER SHALL PROVIDE THE PROPER-
TY OWNERS WITH NOTICE AND AN OPPORTUNITY TO SHOW THE  COMMISSIONER  THAT
THE PROPERTY IS ELIGIBLE TO RECEIVE THE EXEMPTION. IF THE OWNERS FAIL TO
RESPOND  TO  SUCH  NOTICE,  OR  IF  THEIR  RESPONSE DOES NOT SHOW TO THE
COMMISSIONER'S SATISFACTION  THAT  THE  PROPERTY  IS  ELIGIBLE  FOR  THE
EXEMPTION,  THE  COMMISSIONER  SHALL DIRECT THE ASSESSOR OR OTHER PERSON
HAVING CUSTODY OR CONTROL OF THE ASSESSMENT ROLL OR TAX ROLL  TO  REMOVE
OR  DENY  THE  EXEMPTION,  AND  TO  CORRECT THE ROLL ACCORDINGLY. SUCH A
DIRECTIVE SHALL BE BINDING UPON THE  ASSESSOR  OR  OTHER  PERSON  HAVING
CUSTODY  OR  CONTROL  OF  THE  ASSESSMENT ROLL OR TAX ROLL, AND SHALL BE
IMPLEMENTED BY SUCH PERSON WITHOUT THE NEED FOR FURTHER DOCUMENTATION OR
APPROVAL.  HOWEVER, FOR THE PERIOD OF ONE YEAR AFTER THE REMOVAL  OF  AN
EXEMPTION,  A  PAST  RECIPIENT  WHO HAS HAD HIS EXEMPTION REVOKED, SHALL
HAVE THE ABILITY TO REQUEST TO THE COMMISSIONER, IN A  MANNER  AND  FORM
PRESCRIBED BY THE COMMISSIONER, THAT SUCH EXEMPTION BE REAPPLIED FOR THE
PREVIOUS  YEAR UPON A SHOWING THAT THE PROPERTY WAS ELIGIBLE DURING SUCH
PREVIOUS YEAR TO RECEIVE A BASIC STAR EXEMPTION.  UPON  A  FINDING  THAT
SUCH  PROPERTY  WAS  ELIGIBLE  TO  RECEIVE  A  BASIC STAR EXEMPTION, THE
COMMISSIONER SHALL DIRECT THE ASSESSOR OR THE PERSON HAVING  CUSTODY  OR
CONTROL  OF  THE  ASSESSMENT ROLL OR THE TAX ROLL TO ADD SUCH EXEMPTION,
AND TO CORRECT THE ROLL ACCORDINGLY.
  (E) NOTWITHSTANDING THE PROVISIONS OF PARAGRAPH (B) OF SUBDIVISION SIX
OF THIS SECTION, NEITHER AN ASSESSOR NOR A BOARD  OF  ASSESSMENT  REVIEW
HAS  THE  AUTHORITY TO CONSIDER AN OBJECTION TO THE REMOVAL OR DENIAL OF
AN EXEMPTION PURSUANT TO THIS SUBDIVISION, NOR MAY  SUCH  AN  ACTION  BE
REVIEWED  IN  A PROCEEDING TO REVIEW AN ASSESSMENT PURSUANT TO TITLE ONE
OR ONE-A OF ARTICLE SEVEN OF THIS CHAPTER. SUCH AN ACTION  MAY  ONLY  BE
CHALLENGED  BEFORE THE DEPARTMENT OF TAXATION AND FINANCE ON THE GROUNDS
OF A MISTAKE OF FACT. THE TAXPAYER SHALL HAVE NO  RIGHT  TO  COMMENCE  A
COURT  ACTION,  ADMINISTRATIVE  PROCEEDING  OR  ANY  OTHER FORM OF LEGAL
RECOURSE AGAINST  THE  COMMISSIONER,  THE  DEPARTMENT  OF  TAXATION  AND
FINANCE,  ASSESSOR  OR  OTHER  PERSON  HAVING  CUSTODY OR CONTROL OF THE
ASSESSMENT ROLL OR TAX ROLL REGARDING SUCH ACTION.
  (F) THE COMMISSIONER SHALL BE ENTITLED TO UTILIZE INFORMATION FROM ANY
FILINGS OF A TAXPAYER WITH THE DEPARTMENT OF  TAXATION  AND  FINANCE  IN
CONJUNCTION  WITH  THE  STAR REGISTRATION PROGRAM. THE DISCLOSURE TO THE
ASSESSOR OR OTHER PERSON HAVING CUSTODY OR  CONTROL  OF  THE  ASSESSMENT
ROLL  OR  TAX ROLL OF NAMES AND ADDRESSES OF PROPERTY OWNERS AFFECTED BY
THIS SUBDIVISION, COLLECTED FROM  THE  REGISTRATION  PROCESS  AND  OTHER
FILINGS WITH THE DEPARTMENT OF TAXATION AND FINANCE SHALL NOT CONSTITUTE
A  VIOLATION  OF THE SECRECY PROVISIONS OF THE TAX LAW. THE COMMISSIONER
SHALL PROVIDE NO OTHER INFORMATION ABOUT THE INCOME OF A TAXPAYER TO THE
ASSESSOR OR OTHER PERSON HAVING CUSTODY OR  CONTROL  OF  THE  ASSESSMENT
ROLL OR TAX ROLL.
  15.  DISCLOSURE  OF  CERTAIN  DATA.  THE COMMISSIONER IS AUTHORIZED TO
DISCLOSE TO ASSESSORS AND COUNTY DIRECTORS OF REAL PROPERTY TAX SERVICES
SUCH DATA AS HE OR SHE DEEMS NECESSARY TO THE  EFFECTIVE  ADMINISTRATION
OF  THE  STAR  EXEMPTION AUTHORIZED BY THIS SECTION, NOTWITHSTANDING THE
SECRECY PROVISIONS OF THE TAX LAW, PROVIDED THAT THE DATA  SO  DISCLOSED
SHALL  NOT  BE  SUBJECT  TO  FURTHER DISCLOSURE UNDER ARTICLE SIX OF THE
PUBLIC OFFICERS LAW OR OTHERWISE.
  S 3. This act shall take effect April 1, 2013.

S. 2607--C                         66

                                 PART K
                          Intentionally Omitted

                                 PART L
                          Intentionally Omitted

                                 PART M

  Section  1.  Notwithstanding  any other provision of law, and provided
that the reserves in the project pool insurance account of the  mortgage
insurance fund created pursuant to section 2429-b of the public authori-
ties  law  are  sufficient  to attain and maintain the credit rating (as
determined by the agency) required to accomplish the  purposes  of  such
account, the board of directors of the state of New York mortgage agency
shall  authorize the transfer from the project pool insurance account of
the mortgage insurance fund to the state treasury  for  deposit  in  the
general  fund a total sum not to exceed two hundred eleven million seven
hundred thousand dollars as soon as practicable but no later than  March
31, 2014.
  S  2.  Notwithstanding  any  other provision of law, the housing trust
fund corporation (the corporation) may  provide,  for  purposes  of  the
rural  and  urban community investment fund program, a sum not to exceed
ten million dollars for the fiscal year ending March 31, 2014.  Notwith-
standing  any  other provision of law, and provided that the reserves in
the project pool  insurance  account  of  the  mortgage  insurance  fund
created  pursuant  to  section  2429-b of the public authorities law are
sufficient to attain and maintain the credit rating  (as  determined  by
the  agency)  required  to  accomplish the purposes of such account, the
board of directors of the  state  of  New  York  mortgage  agency  shall
authorize  the  transfer  from the project pool insurance account of the
mortgage insurance fund to  the  housing  trust  fund  corporation  (the
corporation),  for the purposes of reimbursing any costs associated with
rural and urban community investment fund program  contracts  authorized
by  this  section, a total sum not to exceed ten million dollars as soon
as practicable but no later than March 31, 2014.
  S 3. Notwithstanding any other provision of law, the  housing  finance
agency  may  provide,  for  costs  associated with the rehabilitation of
Mitchell Lama housing projects, a sum not to exceed  four  million  five
hundred  thousand  dollars  for  the  fiscal year ending March 31, 2014.
Notwithstanding any other  provision  of  law,  and  provided  that  the
reserves in the project pool insurance account of the mortgage insurance
fund  created  pursuant  to section 2429-b of the public authorities law
are sufficient to attain and maintain the credit rating  (as  determined
by  the agency) required to accomplish the purposes of such account, the
board of directors of the  state  of  New  York  mortgage  agency  shall
authorize  the  transfer  from the project pool insurance account of the
mortgage insurance fund to the housing finance agency, for the  purposes
of  reimbursing any costs associated with Mitchell Lama housing projects
authorized by this section, a total sum not to exceed four million  five
hundred  thousand dollars as soon as practicable but no later than March
30, 2014.
  S 4. This act shall take effect immediately.

                                 PART N

S. 2607--C                         67

  Section 1. Section 21 of the labor law is  amended  by  adding  a  new
subdivision 14 to read as follows:
  14.  SHALL  DO  ALL THINGS NECESSARY FOR THE OPERATION OF THE NEW YORK
STATE DATA CENTER ESTABLISHED IN THE DEPARTMENT IN COOPERATION WITH  THE
UNITED  STATES BUREAU OF THE CENSUS; TO COOPERATE WITH OTHER STATE AGEN-
CIES, UNIVERSITIES, REGIONAL  ORGANIZATIONS,  BOARDS,  COMMISSIONS,  AND
OTHER  ENTITIES  IN  THE DISSEMINATION OF SOCIO-ECONOMIC INFORMATION AND
DATA THROUGH THE NEW YORK STATE DATA CENTER PROGRAM; IN RELATION TO SUCH
INFORMATION AND DATA, TO PROVIDE TECHNICAL  ASSISTANCE  TO  OTHER  STATE
AGENCIES,  UNIVERSITIES, REGIONAL ORGANIZATIONS, BOARDS, COMMISSIONS AND
OTHER ENTITIES; AND TO PREPARE ESTIMATES AND THE OFFICIAL PROJECTIONS OF
POPULATION, HOUSEHOLDS AND OTHER CHARACTERISTICS OF THE STATE FOR USE BY
ALL STATE AGENCIES.
  S 2. Subdivision 17 of section 100 of the economic development law  is
REPEALED.
  S 3. This act shall take effect immediately.

                                 PART O

  Section  1. Paragraph (a) of subdivision 1 of section 518 of the labor
law, as amended by chapter 589 of the laws of 1998, is amended  to  read
as follows:
  (a)  "Wages"  means  all remuneration paid, except that such term does
not include remuneration paid to an employee by an employer after  eight
thousand  five  hundred  dollars have been paid to such employee by such
employer with respect to employment during  any  calendar  year,  EXCEPT
THAT  SUCH  TERM DOES NOT INCLUDE REMUNERATION PAID TO AN EMPLOYEE BY AN
EMPLOYER WITH RESPECT TO EMPLOYMENT DURING ANY CALENDAR  YEAR  BEGINNING
WITH THE FIRST DAY OF
                                        THAT EXCEEDS
             JANUARY 2014                  $10,300
             JANUARY 2015                  $10,500
             JANUARY 2016                  $10,700
             JANUARY 2017                  $10,900
             JANUARY 2018                  $11,100
             JANUARY 2019                  $11,400
             JANUARY 2020                  $11,600
             JANUARY 2021                  $11,800
             JANUARY 2022                  $12,000
             JANUARY 2023                  $12,300
             JANUARY 2024                  $12,500
             JANUARY 2025                  $12,800
             JANUARY 2026                  $13,000
AND  EACH  YEAR  THEREAFTER  ON  THE  FIRST  DAY OF JANUARY THAT EXCEEDS
SIXTEEN PERCENT OF THE STATE'S AVERAGE ANNUAL WAGE AS DETERMINED BY  THE
COMMISSIONER  ON  AN ANNUAL BASIS PURSUANT TO SECTION FIVE HUNDRED TWEN-
TY-NINE OF THIS ARTICLE; PROVIDED, HOWEVER,  THAT  IN  CALCULATING  SUCH
MAXIMUM AMOUNT OF REMUNERATION, THE AMOUNT ARRIVED AT BY MULTIPLYING THE
STATE'S AVERAGE ANNUAL WAGE TIMES SIXTEEN PERCENT SHALL BE ROUNDED UP TO
THE  NEAREST HUNDRED DOLLARS. IN NO EVENT SHALL THE STATE'S ANNUAL AVER-
AGE WAGE BE REDUCED FROM THE AMOUNT DETERMINED IN THE PREVIOUS YEAR. The
term "employment" includes for the purposes of this subdivision services
constituting employment  under  any  unemployment  compensation  law  of
another state or the United States.
  S  2.  Subdivision 1 and paragraph (a) of subdivision 2 of section 527
of the labor law, subdivision 1 as amended by chapter 413 of the laws of

S. 2607--C                         68

2003 and paragraph (a) of subdivision 2 as amended by chapter 5  of  the
laws of 2000, are amended to read as follows:
  1.  Basic  condition.  "Valid  original  claim"  is a claim filed by a
claimant who meets the following qualifications: (a) is  able  to  work,
and  available  for  work; (b) is not subject to any disqualification or
suspension under this article; (c) his  OR  HER  previously  established
benefit  year,  if  any,  has expired; (d) has been paid remuneration by
employers liable for contributions or for payments in lieu  of  contrib-
utions  under  this article, other than employers from whom the claimant
lost employment  under  conditions  which  would  be  disqualifying  FOR
MISCONDUCT  pursuant  to  [subdivision]  SUBDIVISIONS  three  AND SIX of
section five hundred ninety-three of this article, for employment during
at least two calendar quarters of the base period, with remuneration  of
one and one-half times the high calendar quarter [earnings] REMUNERATION
within  the  base  period and with at least [one] TWO thousand [six] ONE
hundred dollars of such remuneration being paid during the high calendar
quarter of such base period. For purposes of this  section,  the  [earn-
ings]  REMUNERATION in the high calendar quarter of the base period used
in determining a valid original claim shall not exceed an  amount  equal
to twenty-two times the maximum benefit rate as set forth in subdivision
five of section five hundred ninety of this article for all individuals.
  (a)  An  individual  who  is  unable to file a valid original claim in
accordance with subdivision one of this section, files a valid  original
claim  by  meeting  the qualifications enumerated in paragraphs (a), (b)
and (c) of subdivision one of this  section  and  by  having  been  paid
remuneration  by  employers  liable for contributions or for payments in
lieu of contributions under this article, other than employers from whom
the claimant lost employment  under  conditions  which  [are]  WOULD  BE
disqualifying  FOR  MISCONDUCT  pursuant  to  [subdivision] SUBDIVISIONS
three AND SIX of section five hundred ninety-three of this article,  for
employment  during  at  least  two calendar quarters of the base period,
with remuneration of one and one-half times the  high  calendar  quarter
[earnings]  REMUNERATION  within the base period and with at least [one]
TWO thousand [six] ONE hundred dollars of such remuneration  being  paid
during  the  high  calendar quarter of such base period. For purposes of
this section, the [earnings] REMUNERATION in the high  calendar  quarter
of  the base period used in determining a valid original claim shall not
exceed an amount equal to twenty-two times the maximum benefit  rate  as
set  forth  in  subdivision  five of section five hundred ninety of this
article for all individuals.
  S 3. The labor law is amended by adding a new section 529 to  read  as
follows:
  S 529. AVERAGE ANNUAL WAGE; AVERAGE WEEKLY WAGE. 1. THE "AVERAGE ANNU-
AL  WAGE"  SHALL BE THE AVERAGE ANNUAL WAGE OF THE STATE OF NEW YORK FOR
THE PREVIOUS CALENDAR YEAR AS DETERMINED BY THE  COMMISSIONER  NO  LATER
THAN THE THIRTY-FIRST DAY OF MAY OF EACH YEAR.
  2.  THE  "AVERAGE WEEKLY WAGE" SHALL BE THE AVERAGE WEEKLY WAGE OF THE
STATE OF NEW YORK FOR THE PREVIOUS CALENDAR YEAR AS  DETERMINED  BY  THE
COMMISSIONER NO LATER THAN THE THIRTY-FIRST DAY OF MAY OF EACH YEAR.
  S  4. Subdivisions 1 and 3 of section 576 of the labor law, as amended
by chapter 49 of the laws of 1966, are amended to read as follows:
  1. Determinations of liability for contributions.  No determination of
liability for contributions pursuant to section five  hundred  sixty  of
this  article  shall be made more than three years after the last day of
the calendar year in which the wages on which such  liability  is  based
were paid, EXCEPT AS PROVIDED IN SUBDIVISION THREE OF THIS SECTION.

S. 2607--C                         69

  3.  Determinations  of LIABILITY FOR AND amount of contributions after
contest. If an  employer  contests  a  determination  of  liability  for
contributions,  a  determination  of the amount of contributions due FOR
THE CONTESTED PERIOD AND SUBSEQUENT PERIODS may  be  made  at  any  time
prior to the latter of the following:
  (a)  three  years after the last day of the calendar year in which the
wages on which such contributions are based were paid; or
  (b) two years after the last day of the calendar year  in  which  such
determination  of  liability  for  contributions became final and irrev-
ocable.
  S 5. Paragraph (a) of subdivision 1 of section 577 of the labor law is
amended by adding a new subparagraph 9 to read as follows:
  (9) MONIES PURSUANT TO SECTION FIVE HUNDRED NINETY-FOUR OF THIS TITLE.
  S 6. Subparagraph 3 of paragraph (e) of subdivision 1 of  section  581
of  the  labor  law,  as  amended by chapter 589 of the laws of 1998, is
amended to read as follows:
  (3)  An employer's account shall not be charged, and the charges shall
instead be made to the general account, for benefits paid to a  claimant
after  the  expiration  of  a  period  of disqualification from benefits
following a final determination that the claimant lost  employment  with
the  employer  through  misconduct or voluntary separation of employment
without good cause within the meaning of section  five  hundred  ninety-
three  of  this article and the charges are attributable to remuneration
paid during  the claimant's base period of employment with such employer
prior to the claimant's loss of employment with  such  employer  through
misconduct  or  voluntary  separation  of employment without good cause,
PROVIDED, HOWEVER, THAT AN EMPLOYER SHALL NOT  BE  RELIEVED  OF  CHARGES
PURSUANT  TO  THIS  SUBPARAGRAPH  IF  AN  EMPLOYER OR ITS AGENT FAILS TO
SUBMIT INFORMATION RESULTING IN AN OVERPAYMENT PURSUANT TO SECTION  FIVE
HUNDRED NINETY-SEVEN OF THIS ARTICLE.
  S  7.  Paragraph (a) of subdivision 2 of section 581 of the labor law,
as added by chapter 413 of the laws of  2003,  is  amended  to  read  as
follows:
  (a)  Each  qualified  employer's  rate  of  contribution  shall be the
percentage shown in the column headed by the size of the fund  index  as
of the computation date and on the same line with his or her negative or
positive  employer's account percentage, except that if within the three
payroll years preceding the computation date  any  part  of  a  negative
balance  has been transferred from any employer's account as a charge to
the general account pursuant to  the  provisions  of  paragraph  (e)  of
subdivision  one  of  this  section such employer's rate of contribution
shall be the maximum contribution rate as shown in the column headed  by
the size of fund index;

                           Size of Fund Index
Employer's
Account
Percentage  Less  0%  0.5% 1.0% 1.5% 2.0% 2.5% 3.0% 3.5% 4.0% 4.5% 5.0%
            Than but  but  but  but  but  but  but  but  but  but  or
            0%   less less less less less less less less less less more
                 than than than than than than than than than than
                 0.5% 1.0% 1.5% 2.0% 2.5% 3.0% 3.5% 4.0% 4.5% 5.0%

Negative

S. 2607--C                         70

21.0%
or more     8.90 8.70 8.50 8.30 8.10 7.30 6.90 6.50 6.20 6.10 6.00 5.90
20.5%
or more
but less
than 21.0%  8.80 8.60 8.40 8.20 8.00 7.20 6.80 6.40 6.10 6.00 5.90 5.80
20.0%
or more
but less
than 20.5%  8.70 8.50 8.30 8.10 7.90 7.10 6.70 6.30 6.00 5.90 5.80 5.70
19.5%
or more
but less
than 20.0%  8.60 8.40 8.20 8.00 7.80 7.00 6.60 6.20 5.90 5.80 5.70 5.60
19.0%
or more
but less
than 19.5%  8.50 8.30 8.10 7.90 7.70 6.90 6.50 6.10 5.80 5.70 5.60 5.50
18.5%
or more
but less
than 19.0%  8.40 8.20 8.00 7.80 7.60 6.80 6.40 6.00 5.70 5.60 5.50 5.40
18.0%
or more
but less
than 18.5%  8.30 8.10 7.90 7.70 7.50 6.70 6.30 5.90 5.60 5.50 5.40 5.30
17.5%
or more
but less
than 18.0%  8.20 8.00 7.80 7.60 7.40 6.60 6.20 5.80 5.50 5.40 5.30 5.20
17.0%
or more
but less
than 17.5%  8.10 7.90 7.70 7.50 7.30 6.50 6.10 5.70 5.40 5.30 5.20 5.10
16.5%
or more
but less
than 17.0%  8.00 7.80 7.60 7.40 7.20 6.40 6.00 5.60 5.30 5.20 5.10 5.00
16.0%
or more
but less
than 16.5%  7.90 7.70 7.50 7.30 7.10 6.30 5.90 5.50 5.20 5.10 5.00 4.90
15.5%
or more
but less
than 16.0%  7.80 7.60 7.40 7.20 7.00 6.20 5.80 5.40 5.10 5.00 4.90 4.80
15.0%
or more
but less
than 15.5%  7.70 7.50 7.30 7.10 6.90 6.10 5.70 5.30 5.00 4.90 4.80 4.70
14.5%
or more
but less
than 15.0%  7.60 7.40 7.20 7.00 6.80 6.00 5.60 5.20 4.90 4.80 4.70 4.60
14.0%
or more

S. 2607--C                         71

but less
than 14.5%  7.50 7.30 7.10 6.90 6.70 5.90 5.50 5.10 4.80 4.70 4.60 4.50
13.5%
or more
but less
than 14.0%  7.40 7.20 7.00 6.80 6.60 5.80 5.40 5.00 4.70 4.60 4.50 4.40
13.0%
or more
but less
than 13.5%  7.30 7.10 6.90 6.70 6.50 5.70 5.30 4.90 4.60 4.50 4.40 4.30
12.5%
or more
but less
than 13.0%  7.20 7.00 6.80 6.60 6.40 5.60 5.20 4.80 4.50 4.40 4.30 4.20
12.0%
or more
but less
than 12.5%  7.10 6.90 6.70 6.50 6.30 5.50 5.10 4.70 4.40 4.30 4.20 4.10
11.5%
or more
but less
than 12.0%  7.00 6.80 6.60 6.40 6.20 5.40 5.00 4.60 4.30 4.20 4.10 4.00
11.0%
or more
but less
than 11.5%  6.90 6.70 6.50 6.30 6.10 5.30 4.90 4.50 4.20 4.10 4.00 3.90
10.5%
or more
but less
than 11.0%  6.80 6.60 6.40 6.20 6.00 5.20 4.80 4.40 4.10 4.00 3.90 3.80
10.0%
or more
but less
than 10.5%  6.70 6.50 6.30 6.10 5.90 5.10 4.70 4.30 4.00 3.90 3.80 3.70
9.5%
or more
but less
than 10.0%  6.60 6.40 6.20 6.00 5.80 5.00 4.60 4.20 3.90 3.80 3.70 3.60
9.0%
or more
but less
than 9.5%   6.50 6.30 6.10 5.90 5.70 4.90 4.50 4.10 3.80 3.70 3.60 3.50
8.5%
or more
but less
than 9.0%   6.40 6.20 6.00 5.80 5.60 4.80 4.40 4.00 3.70 3.60 3.50 3.40
8.0%
or more
but less
than 8.5%   6.30 6.10 5.90 5.70 5.50 4.70 4.30 3.90 3.60 3.50 3.40 3.30
7.0%
or more
but less
than 8.0%   6.20 6.00 5.80 5.60 5.40 4.60 4.20 3.80 3.50 3.40 3.30 3.20
6.0%
or more

S. 2607--C                         72

but less
than 7.0%   6.10 5.90 5.70 5.50 5.30 4.50 4.10 3.70 3.40 3.30 3.20 3.10
5.0%
or more
but less
than 6.0%   6.00 5.80 5.60 5.40 5.20 4.40 4.00 3.60 3.30 3.20 3.10 3.00
4.0%
or more
but less
than 5.0%   5.90 5.70 5.50 5.30 5.10 4.30 3.90 3.50 3.20 3.10 3.00 2.90
3.0%
or more
but less
than 4.0%   5.60 5.40 5.20 5.00 4.80 4.20 3.80 3.40 3.10 3.00 2.90 2.80
2.0%
or more
but less
than 3.0%   5.50 5.30 5.10 4.90 4.70 4.10 3.70 3.30 3.00 2.90 2.80 2.70
1.0%
or more
but less
than 2.0%   5.40 5.20 5.00 4.80 4.60 4.00 3.60 3.20 2.90 2.80 2.70 2.60
Less
than 1.0%   5.20 5.00 4.80 4.60 4.40 3.80 3.40 3.00 2.70 2.60 2.50 2.40

Positive

Less
than 1.0%   4.10 3.90 3.70 3.50 3.30 2.90 2.50 2.10 1.90 1.80 1.70 1.60
1.0%
or more
but less
than 2.0%   4.00 3.80 3.60 3.40 3.20 2.80 2.40 2.00 1.80 1.70 1.60 1.50
2.0%
or more
but less
than 3.0%   3.90 3.70 3.50 3.30 3.10 2.70 2.30 1.90 1.70 1.60 1.50 1.40
3.0%
or more
but less
than 4.0%   3.80 3.60 3.40 3.20 3.00 2.60 2.20 1.80 1.60 1.50 1.40 1.30
4.0%
or more
but less
than 5.0%   3.70 3.50 3.30 3.10 2.90 2.50 2.10 1.70 1.50 1.40 1.30 1.20
5.0%
or more
but less
than 5.5%   3.60 3.40 3.20 3.00 2.80 2.40 2.00 1.60 1.40 1.30 1.20 1.10
5.5%
or more but
less than
5.75%       3.50 3.30 3.10 2.90 2.70 2.30 1.90 1.50 1.30 1.20 1.10 1.00
5.75%
or more
but less

S. 2607--C                         73

than 6.0%   3.40 3.20 3.00 2.80 2.60 2.20 1.80 1.40 1.20 1.10 1.00 0.90
6.0%
or more but
less than
6.25%       3.30 3.10 2.90 2.70 2.50 2.10 1.70 1.30 1.10 1.00 0.90 0.80
6.25%
or more
but less
than 6.5%   3.20 3.00 2.80 2.60 2.40 2.00 1.60 1.20 1.00 0.90 0.80 0.70
6.5%
or more but
less than
6.75%       3.10 2.90 2.70 2.50 2.30 1.90 1.50 1.10 0.90 0.80 0.70 0.60
6.75%
or more
but less
than 7.0%   3.00 2.80 2.60 2.40 2.20 1.80 1.40 1.00 0.80 0.70 0.60 0.50
7.0%
or more but
less than
7.25%       2.90 2.70 2.50 2.30 2.10 1.70 1.30 0.90 0.70 0.60 0.50 0.40
7.25%
or more
but less
than 7.5%   2.80 2.60 2.40 2.20 2.00 1.60 1.20 0.80 0.60 0.50 0.40 0.30
7.5%
or more but
less than
7.75%       2.70 2.50 2.30 2.10 1.90 1.50 1.10 0.70 0.50 0.40 0.30 0.20
7.75%
or more
but less
than 8.0%   2.60 2.40 2.20 2.00 1.80 1.40 1.00 0.60 0.40 0.30 0.20 0.10
8.0%
or more but
less than
8.25%       2.50 2.30 2.10 1.90 1.70 1.30 0.90 0.50 0.30 0.20 0.10 0.00
8.25%
or more
but less
than 8.5%   2.40 2.20 2.00 1.80 1.60 1.20 0.80 0.40 0.20 0.10 0.00 0.00
8.5%
or more but
less than
8.75%       2.30 2.10 1.90 1.70 1.50 1.10 0.70 0.30 0.10 0.00 0.00 0.00
8.75%
or more
but less
than 9.0%   2.20 2.00 1.80 1.60 1.40 1.00 0.60 0.20 0.00 0.00 0.00 0.00
9.0%
or more but
less than
9.25%       2.10 1.90 1.70 1.50 1.30 0.90 0.50 0.10 0.00 0.00 0.00 0.00
9.25%
or more
but less

S. 2607--C                         74

than 9.5%   2.00 1.80 1.60 1.40 1.20 0.80 0.40 0.00 0.00 0.00 0.00 0.00
9.5%
or more but
less than
9.75%       1.90 1.70 1.50 1.30 1.10 0.70 0.30 0.00 0.00 0.00 0.00 0.00
9.75%
or more but
less than
10.0%       1.80 1.60 1.40 1.20 1.00 0.60 0.20 0.00 0.00 0.00 0.00 0.00
10.0%
or more but
less than
10.25%      1.70 1.50 1.30 1.10 0.90 0.50 0.10 0.00 0.00 0.00 0.00 0.00
10.25%
or more but
less than
10.5%       1.60 1.40 1.20 1.00 0.80 0.40 0.00 0.00 0.00 0.00 0.00 0.00
10.5%
or more [but
less than
10.75%]     1.50 1.30 1.10 0.90 0.70 0.30 0.00 0.00 0.00 0.00 0.00 0.00
[10.75%
or more but
less than
11.0%       1.40 1.20 1.00 0.80 0.60 0.20 0.00 0.00 0.00 0.00 0.00 0.00
11.0%
or more but
less than
11.25%      1.30 1.10 0.90 0.70 0.50 0.10 0.00 0.00 0.00 0.00 0.00 0.00
11.25%
or more but
less than
11.5%       1.20 1.00 0.80 0.60 0.40 0.00 0.00 0.00 0.00 0.00 0.00 0.00
11.5%
or more but
less than
11.75%      1.10 0.90 0.70 0.50 0.30 0.00 0.00 0.00 0.00 0.00 0.00 0.00
11.75%
or more but
less than
12.0%       1.00 0.80 0.60 0.40 0.20 0.00 0.00 0.00 0.00 0.00 0.00 0.00
12.0% or
more        0.90 0.70 0.50 0.30 0.10 0.00 0.00 0.00 0.00 0.00 0.00 0.00]
  S  8.  Subdivision  5  of  section 590 of the labor law, as amended by
chapter 413 of the laws of 2003, is amended to read as follows:
  5. Benefit rate. (A) A claimant's weekly benefit amount shall  be  one
twenty-sixth  of the remuneration paid during the highest calendar quar-
ter of the  base  period  by  employers,  liable  for  contributions  or
payments  in  lieu  of  contributions  under  this article, PROVIDED THE
CLAIMANT HAS REMUNERATION PAID IN ALL FOUR CALENDAR QUARTERS DURING  HIS
OR  HER  BASE  PERIOD OR ALTERNATE BASE PERIOD. However, for [claimants]
ANY CLAIMANT WHO HAS REMUNERATION PAID IN  ALL  FOUR  CALENDAR  QUARTERS
DURING  HIS  OR  HER BASE PERIOD OR ALTERNATE BASE PERIOD AND whose high
calendar quarter remuneration during the base period is  three  thousand
five  hundred  seventy-five dollars or less, the benefit amount shall be
one twenty-fifth of the remuneration paid during  the  highest  calendar

S. 2607--C                         75

quarter  of  the  base  period  by employers liable for contributions or
payments in lieu of contributions under this article. A CLAIMANT'S WEEK-
LY BENEFIT SHALL BE ONE TWENTY-SIXTH OF THE AVERAGE REMUNERATION PAID IN
THE  TWO  HIGHEST QUARTERS PAID DURING THE BASE PERIOD OR ALTERNATE BASE
PERIOD BY EMPLOYERS LIABLE FOR CONTRIBUTIONS  OR  PAYMENTS  IN  LIEU  OF
CONTRIBUTIONS UNDER THIS ARTICLE WHEN THE CLAIMANT HAS REMUNERATION PAID
IN  TWO  OR  THREE  CALENDAR QUARTERS. HOWEVER, FOR ANY CLAIMANT WHO HAS
REMUNERATION PAID IN TWO OR THREE CALENDAR QUARTERS DURING  HIS  OR  HER
BASE  PERIOD  OR  ALTERNATE  BASE PERIOD AND WHOSE HIGH CALENDAR QUARTER
REMUNERATION DURING THE BASE  PERIOD  IS  THREE  THOUSAND  FIVE  HUNDRED
SEVENTY-FIVE   DOLLARS   OR  LESS,  THE  BENEFIT  AMOUNT  SHALL  BE  ONE
TWENTY-FIFTH OF THE REMUNERATION PAID DURING THE HIGHEST CALENDAR  QUAR-
TER OF THE BASE PERIOD BY EMPLOYERS LIABLE FOR CONTRIBUTIONS OR PAYMENTS
IN  LIEU  OF  CONTRIBUTIONS  UNDER THIS ARTICLE. Any claimant whose high
calendar quarter remuneration during the base period is more than  three
thousand five hundred seventy-five dollars shall not have a weekly bene-
fit amount less than one hundred forty-three dollars. The weekly benefit
amount,  so  computed,  that  is  not  a multiple of one dollar shall be
lowered to the next multiple of one  dollar.  On  the  first  Monday  of
September, nineteen hundred ninety-eight the weekly benefit amount shall
not  exceed  three  hundred  sixty-five  dollars  nor be less than forty
dollars, until the first Monday of September,  two  thousand,  at  which
time  the  maximum  benefit  payable  pursuant to this subdivision shall
equal one-half of the state average weekly wage for  covered  employment
as  calculated by the department no sooner than July first, two thousand
and no later than August first, two thousand, rounded down to the lowest
dollar. ON AND AFTER THE FIRST MONDAY OF OCTOBER, TWO THOUSAND FOURTEEN,
THE WEEKLY BENEFIT SHALL NOT BE LESS THAN ONE HUNDRED DOLLARS, NOR SHALL
IT EXCEED FOUR HUNDRED TWENTY DOLLARS UNTIL THE FIRST MONDAY OF OCTOBER,
TWO THOUSAND FIFTEEN WHEN THE  MAXIMUM  BENEFIT  AMOUNT  SHALL  BE  FOUR
HUNDRED  TWENTY-FIVE  DOLLARS,  UNTIL  THE  FIRST MONDAY OF OCTOBER, TWO
THOUSAND SIXTEEN WHEN THE MAXIMUM BENEFIT AMOUNT SHALL BE  FOUR  HUNDRED
THIRTY  DOLLARS,  UNTIL THE FIRST MONDAY OF OCTOBER, TWO THOUSAND SEVEN-
TEEN WHEN THE MAXIMUM BENEFIT AMOUNT SHALL BE FOUR  HUNDRED  THIRTY-FIVE
DOLLARS,  UNTIL  THE FIRST MONDAY OF OCTOBER, TWO THOUSAND EIGHTEEN WHEN
THE MAXIMUM BENEFIT AMOUNT SHALL BE FOUR HUNDRED  FIFTY  DOLLARS,  UNTIL
THE  FIRST  MONDAY  OF  OCTOBER,  TWO THOUSAND NINETEEN WHEN THE MAXIMUM
BENEFIT AMOUNT SHALL BE THIRTY-SIX PERCENT OF THE  AVERAGE  WEEKLY  WAGE
UNTIL  THE FIRST MONDAY OF OCTOBER, TWO THOUSAND TWENTY WHEN THE MAXIMUM
BENEFIT AMOUNT SHALL BE THIRTY-EIGHT PERCENT OF THE AVERAGE WEEKLY WAGE,
UNTIL THE FIRST MONDAY OF OCTOBER TWO THOUSAND TWENTY-ONE WHEN THE MAXI-
MUM BENEFIT AMOUNT SHALL BE FORTY PERCENT OF THE  AVERAGE  WEEKLY  WAGE,
UNTIL  THE  FIRST  MONDAY  OF  OCTOBER, TWO THOUSAND TWENTY-TWO WHEN THE
MAXIMUM BENEFIT AMOUNT SHALL BE FORTY-TWO PERCENT OF THE AVERAGE  WEEKLY
WAGE,  UNTIL THE FIRST MONDAY OF OCTOBER, TWO THOUSAND TWENTY-THREE WHEN
THE MAXIMUM BENEFIT AMOUNT SHALL BE FORTY-FOUR PERCENT  OF  THE  AVERAGE
WEEKLY WAGE, UNTIL THE FIRST MONDAY OF OCTOBER, TWO THOUSAND TWENTY-FOUR
WHEN  THE MAXIMUM BENEFIT AMOUNT SHALL BE FORTY-SIX PERCENT OF THE AVER-
AGE WEEKLY WAGE, UNTIL THE FIRST MONDAY OF OCTOBER, TWO  THOUSAND  TWEN-
TY-FIVE  WHEN THE MAXIMUM BENEFIT AMOUNT SHALL BE FORTY-EIGHT PERCENT OF
THE AVERAGE WEEKLY WAGE, UNTIL THE FIRST MONDAY OF OCTOBER, TWO THOUSAND
TWENTY-SIX AND EACH YEAR THEREAFTER ON THE FIRST MONDAY OF OCTOBER  WHEN
THE  MAXIMUM BENEFIT AMOUNT SHALL BE FIFTY PERCENT OF THE AVERAGE WEEKLY
WAGE PROVIDED, HOWEVER, THAT IN  NO  EVENT  SHALL  THE  MAXIMUM  BENEFIT
AMOUNT BE REDUCED FROM THE PREVIOUS YEAR.

S. 2607--C                         76

  (B)  NOTWITHSTANDING  THE  FOREGOING, THE MAXIMUM BENEFIT AMOUNT SHALL
NOT BE INCREASED IN ACCORDANCE WITH THE SCHEDULE SET FORTH IN  PARAGRAPH
(A) OF THIS SUBDIVISION IN ANY YEAR IN WHICH THE COMMISSIONER DETERMINES
THAT  THE  STATE HAS HAD A DECREASE IN PRIVATE SECTOR JOBS IN EACH MONTH
OF  THE  FIRST  TWO  CALENDAR  QUARTERS OF THE YEAR IN WHICH THE MAXIMUM
BENEFIT AMOUNT INCREASE IS  SCHEDULED  TO  OCCUR.  IF  THE  COMMISSIONER
DETERMINES  THAT THE STATE HAS NOT HAD A DECREASE IN PRIVATE SECTOR JOBS
IN EACH MONTH IN THE FIRST TWO CALENDAR QUARTERS IN YEARS SUBSEQUENT  TO
SUCH  SUSPENSION  OF AN INCREASE IN THE MAXIMUM BENEFIT AMOUNT, THEN THE
MAXIMUM BENEFIT AMOUNT SHALL INCREASE TO THE AMOUNT FOR THE YEAR  PREVI-
OUSLY  SCHEDULED  TO  BE  ESTABLISHED  PURSUANT TO PARAGRAPH (A) OF THIS
SUBDIVISION HAD THE INCREASE NOT BEEN SUSPENDED AND  INCREASED  ANNUALLY
THEREAFTER IN ACCORDANCE WITH THE SCHEDULE SET FORTH IN PARAGRAPH (A) OF
THIS SUBDIVISION. IN NO CASE SHALL SUCH SUSPENSION RESULT IN A REDUCTION
OF  THE  MAXIMUM  BENEFIT AMOUNT TO LESS THAN THE AMOUNT PROVIDED IN THE
MOST RECENT YEAR.
  S 9. Paragraph (b) of subdivision 5 of section 590 of the  labor  law,
as  added  by section eight of this act, is REPEALED and a new paragraph
(b) is added to read as follows:
  (B) NOTWITHSTANDING THE FOREGOING, THE MAXIMUM  BENEFIT  AMOUNT  SHALL
NOT  BE INCREASED IN ACCORDANCE WITH THE SCHEDULE SET FORTH IN PARAGRAPH
(A) OF THIS SUBDIVISION IN ANY YEAR IN WHICH THE BALANCE OF THE FUND  ON
THE  THIRTY-FIRST  DAY  OF  DECEMBER  OF  THE PRIOR YEAR IS LESS THAN AN
AMOUNT OF THE FUNDS PROJECTED TO BE NEEDED TO PAY FOR  THE  INCREASE  IN
BENEFITS  AS DETERMINED BY THE COMMISSIONER. IF FUND REVENUES ARE DETER-
MINED BY THE COMMISSIONER TO BE SUFFICIENT TO PAY FOR  THE  INCREASE  IN
BENEFITS  IN  YEARS  SUBSEQUENT TO SUCH SUSPENSION OF AN INCREASE IN THE
MAXIMUM BENEFIT AMOUNT, THEN THE MAXIMUM BENEFIT AMOUNT  SHALL  INCREASE
TO THE AMOUNT FOR THE YEAR PREVIOUSLY SCHEDULED TO BE ESTABLISHED PURSU-
ANT  TO  PARAGRAPH  (A)  OF  THIS  SUBDIVISION HAD THE INCREASE NOT BEEN
SUSPENDED AND INCREASED ANNUALLY THEREAFTER IN ACCORDANCE WITH THE SCHE-
DULE SET FORTH IN PARAGRAPH (A) OF THIS SUBDIVISION. IN  NO  CASE  SHALL
SUCH  SUSPENSION  RESULT IN A REDUCTION OF THE MAXIMUM BENEFIT AMOUNT TO
LESS THAN THE AMOUNT PROVIDED IN THE MOST RECENT YEAR.
  S 10. Paragraph (b) of subdivision 5 of section 590 of the labor  law,
as added by section nine of this act is REPEALED and a new paragraph (b)
is added to read as follows:
  (B)  NOTWITHSTANDING  THE  FOREGOING, THE MAXIMUM BENEFIT AMOUNT SHALL
NOT BE INCREASED IN ACCORDANCE WITH THE SCHEDULE SET FORTH IN  PARAGRAPH
(A)  OF THIS SUBDIVISION IN ANY YEAR IN WHICH THE BALANCE OF THE FUND IS
DETERMINED BY THE COMMISSIONER TO NOT HAVE REACHED  OR  EXCEEDED  THIRTY
PERCENT OF THE AVERAGE HIGH COST MULTIPLE, AS DEFINED IN 20 CFR PART 606
AS  THE STANDARD FOR RECEIPT OF INTEREST-FREE FEDERAL LOANS, ON AT LEAST
ONE DAY BETWEEN APRIL FIRST AND JUNE THIRTIETH OF THE SAME CALENDAR YEAR
AS THE INCREASE SHALL TAKE EFFECT. IF, FOLLOWING SUCH SUSPENSION  OF  AN
INCREASE  IN  THE  MAXIMUM BENEFIT AMOUNT, THE COMMISSIONER SHALL DETER-
MINE, ON AT LEAST ONE DAY BETWEEN APRIL FIRST AND  JUNE  THIRTIETH  THAT
THE BALANCE OF THE FUND IS GREATER THAN SUCH THIRTY PERCENT AVERAGE HIGH
COST  MULTIPLE,  THEN  THE  MAXIMUM BENEFIT AMOUNT SHALL INCREASE TO THE
PERCENTAGE FOR THE YEAR PREVIOUSLY SCHEDULED TO BE ESTABLISHED  PURSUANT
TO PARAGRAPH (A) OF THIS SUBDIVISION HAD THE INCREASE NOT BEEN SUSPENDED
AND  INCREASED  ANNUALLY  THEREAFTER IN ACCORDANCE WITH THE SCHEDULE SET
FORTH IN PARAGRAPH (A) OF  THIS  SUBDIVISION.  IN  NO  CASE  SHALL  SUCH
SUSPENSION  RESULT  IN A REDUCTION OF THE MAXIMUM BENEFIT AMOUNT TO LESS
THAN THE AMOUNT PROVIDED IN THE MOST RECENT YEAR.

S. 2607--C                         77

  S 11. Subdivision 9 of section 590 of the  labor  law  is  amended  by
adding a new paragraph (d) to read as follows:
  (D) AN ALIEN WHO IS NOT ELIGIBLE UNDER 8 USC 1621(A) SHALL BE ELIGIBLE
FOR  BENEFITS,  PROVIDED  SUCH  ALIEN IS ELIGIBLE FOR BENEFITS UNDER THE
PROVISIONS OF THIS ARTICLE AND SECTION 3304  (A)  (14)  OF  THE  FEDERAL
UNEMPLOYMENT TAX ACT.
  S  12.  Subdivision  2  of section 591 of the labor law, as amended by
chapter 720 of the laws of 1953, is amended to read as follows:
  2. Availability [and], capability, AND WORK SEARCH.  No benefits shall
be payable to any claimant who is not capable of  work  or  who  is  not
ready,  willing and able to work in his usual employment or in any other
for which he is reasonably fitted by training and experience AND WHO  IS
NOT  ACTIVELY  SEEKING  WORK.    IN  ORDER TO BE ACTIVELY SEEKING WORK A
CLAIMANT MUST BE ENGAGED IN SYSTEMATIC AND  SUSTAINED  EFFORTS  TO  FIND
WORK  WHICH  SHALL INCLUDE CONTACTING AT LEAST TWO PROSPECTIVE EMPLOYERS
FOR EACH WEEK CLAIMED. THE CLAIMANT MUST ALSO BE ENGAGED IN OTHER ACTIV-
ITIES TO OBTAIN NEW WORK AS DETERMINED BY THE COMMISSIONER. THE CLAIMANT
SHALL BE REQUIRED TO MAINTAIN DOCUMENTATION AND PROVIDE  PROOF  OF  WORK
SEARCH EFFORTS AS PRESCRIBED BY THE COMMISSIONER AND SHALL BE SUBJECT TO
A RANDOM AUDIT.
  S 13. Section 591 of the labor law is amended by adding a new subdivi-
sion 6 to read as follows:
  6.  DISMISSAL  PAY. (A) NO BENEFITS SHALL BE PAYABLE TO A CLAIMANT FOR
ANY WEEK DURING  A  DISMISSAL  PERIOD  FOR  WHICH  A  CLAIMANT  RECEIVES
DISMISSAL PAY, NOR SHALL ANY DAY WITHIN SUCH WEEK BE CONSIDERED A DAY OF
TOTAL  UNEMPLOYMENT  UNDER SECTION FIVE HUNDRED TWENTY-TWO OF THIS ARTI-
CLE, IF SUCH WEEKLY DISMISSAL PAY EXCEEDS  THE  MAXIMUM  WEEKLY  BENEFIT
RATE.
  (B)  THE  TERM "DISMISSAL PAY", AS USED IN THIS SUBDIVISION, MEANS ONE
OR MORE PAYMENTS MADE BY AN EMPLOYER TO AN EMPLOYEE DUE TO  HIS  OR  HER
SEPARATION  FROM  SERVICE  OF  THE  EMPLOYER  REGARDLESS  OF WHETHER THE
EMPLOYER IS LEGALLY BOUND BY CONTRACT, STATUTE OR OTHERWISE TO MAKE SUCH
PAYMENTS. THE TERM DOES NOT INCLUDE PAYMENTS  FOR  PENSION,  RETIREMENT,
ACCRUED  LEAVE,  AND HEALTH INSURANCE OR PAYMENTS FOR SUPPLEMENTAL UNEM-
PLOYMENT BENEFITS.
  (C) THE TERM "DISMISSAL PERIOD", AS USED IN  THIS  SUBDIVISION,  MEANS
THE  TIME  DESIGNATED  FOR  WEEKS  OF  DISMISSAL PAY ATTRIBUTABLE TO THE
CLAIMANT'S WEEKLY EARNINGS IN ACCORDANCE WITH THE COLLECTIVE  BARGAINING
AGREEMENT,  EMPLOYMENT  CONTRACT, EMPLOYER'S DISMISSAL POLICY, DISMISSAL
AGREEMENT WITH THE EMPLOYER OR OTHER SUCH AGREEMENT.  IF NO SUCH  AGREE-
MENT,  CONTRACT  OR  POLICY  DESIGNATES  A  DISMISSAL  PERIOD,  THEN THE
DISMISSAL PERIOD SHALL BE THE TIME DESIGNATED IN WRITING IN  ADVANCE  BY
THE EMPLOYER TO BE CONSIDERED THE DISMISSAL PERIOD. IF NO TIME PERIOD IS
DESIGNATED,  THE  DISMISSAL  PERIOD  SHALL COMMENCE ON THE DAY AFTER THE
CLAIMANT'S LAST DAY OF EMPLOYMENT. IF THE DISMISSAL PAYMENT IS IN A LUMP
SUM AMOUNT OR FOR AN INDEFINITE  PERIOD,  DISMISSAL  PAYMENTS  SHALL  BE
ALLOCATED  ON  A WEEKLY BASIS FROM THE DAY AFTER THE CLAIMANT'S LAST DAY
OF EMPLOYMENT AND THE CLAIMANT SHALL NOT BE ELIGIBLE  FOR  BENEFITS  FOR
ANY WEEK FOR WHICH IT IS DETERMINED THAT THE CLAIMANT RECEIVES DISMISSAL
PAY.  THE AMOUNT OF DISMISSAL PAY SHALL BE ALLOCATED BASED ON THE CLAIM-
ANT'S ACTUAL WEEKLY REMUNERATION PAID BY THE EMPLOYER DURING HIS OR  HER
EMPLOYMENT  OR,  IF  SUCH AMOUNT CANNOT BE DETERMINED, THE AMOUNT OF THE
CLAIMANT'S AVERAGE WEEKLY WAGE FOR THE HIGHEST CALENDAR QUARTER.
  (D) NOTWITHSTANDING THE FOREGOING, THE PROVISIONS OF THIS  SUBDIVISION
SHALL  NOT  APPLY  DURING  ANY  WEEKS  IN  WHICH  THE INITIAL PAYMENT OF

S. 2607--C                         78

DISMISSAL PAY IS MADE MORE THAN THIRTY DAYS FROM THE  LAST  DAY  OF  THE
CLAIMANT'S EMPLOYMENT.
  S  14.  Subparagraph  (i) of paragraph (b) of subdivision 2 of section
591-a of the labor law, as added by chapter 413 of the laws of 2003,  is
amended to read as follows:
  (i) requirements relating to total unemployment, as defined in section
five  hundred  twenty-two  of  this  article,  availability for work AND
SEARCH FOR WORK, as set forth in subdivision two of section five hundred
ninety-one of this title and refusal to accept work,  as  set  forth  in
subdivision  two of section five hundred ninety-three of this title, are
not applicable to such individuals;
  S 15. Paragraph (a) of subdivision 1, the opening paragraph of  subdi-
vision  2  and  subdivision 3 of section 593 of the labor law, paragraph
(a) of subdivision 1 as amended by chapter 35 of the laws of  2009,  the
opening  paragraph  of subdivision 2 as amended by chapter 5 of the laws
of 2000, and subdivision 3 as amended by chapter  589  of  the  laws  of
1998, are amended and a new subdivision 6 is added to read as follows:
  (a)  No  days  of  total unemployment shall be deemed to occur after a
claimant's voluntary separation without good cause from employment until
he or she has subsequently worked in employment and earned  remuneration
at  least  equal  to [five] TEN times his or her weekly benefit rate. In
addition to other circumstances that may be  found  to  constitute  good
cause,  including  a  compelling family reason as set forth in paragraph
(b) of this subdivision, voluntary separation from employment shall  not
in  itself  disqualify a claimant if circumstances have developed in the
course of such employment that would  have  justified  the  claimant  in
refusing such employment in the first instance under the terms of subdi-
vision  two  of  this  section or if the claimant, pursuant to an option
provided under a collective bargaining  agreement  or  written  employer
plan  which  permits waiver of his OR HER right to retain the employment
when there is a temporary layoff because of lack of work, has elected to
be separated for a temporary period and the employer has consented ther-
eto.
  No days of total unemployment shall be deemed to occur beginning  with
the  day  on  which a claimant, without good cause, refuses to accept an
offer of employment for which he OR SHE is reasonably fitted by training
and experience, including employment not subject to this article,  until
he  OR SHE has subsequently worked in employment and earned remuneration
at least equal to [five] TEN times  his  or  her  weekly  benefit  rate.
Except that claimants who are not subject to a recall date or who do not
obtain  employment  through  a union hiring hall and who are still unem-
ployed after  receiving  [thirteen]  TEN  weeks  of  benefits  shall  be
required  to  accept  any  employment  proffered that such claimants are
capable of performing, provided that such employment would result  in  a
wage not less than eighty percent of such claimant's high calendar quar-
ter  wages  received  in the base period and not substantially less than
the prevailing wage for similar work in the locality as provided for  in
paragraph (d) of this subdivision. No refusal to accept employment shall
be deemed without good cause nor shall it disqualify any claimant other-
wise eligible to receive benefits if:
  3.  Misconduct. No days of total unemployment shall be deemed to occur
after a claimant lost employment through misconduct in  connection  with
his or her employment until he or she has subsequently worked in employ-
ment  and  earned remuneration at least equal to [five] TEN times his or
her weekly benefit rate.

S. 2607--C                         79

  6. DETERMINATIONS AND HEARINGS. THE COMMISSIONER SHALL ISSUE A  DETER-
MINATION FOR ANY PROTEST THAT IS FILED BY ANY BASE PERIOD EMPLOYER WITH-
IN  THE TIME SPECIFIED IN THE NOTIFICATION OF POTENTIAL CHARGES BASED ON
VOLUNTARY SEPARATIONS OR MISCONDUCT. AN EMPLOYER OR CLAIMANT MAY REQUEST
A  HEARING  OF SUCH DETERMINATION PURSUANT TO SECTION SIX HUNDRED TWENTY
OF THIS ARTICLE.
  S 16. Section 594 of the labor law, as amended by chapter 728  of  the
laws of 1952, and the opening paragraph as amended by chapter 139 of the
laws of 1968, are amended to read as follows:
  S  594.  Reduction  AND  RECOVERY of benefits AND PENALTIES for WILFUL
false statement OR OMISSION.  A claimant who has wilfully made  a  false
statement  or representation OR WILFULLY CONCEALED ANY PERTINENT FACT to
obtain any benefit under the provisions of this  article  shall  forfeit
benefits  for at least the first four but not more than the first eighty
effective days following discovery of such offense for which he  OR  SHE
otherwise  would  have  been  entitled to receive benefits. Such penalty
shall apply only once with respect to each such offense.
  For the purpose of subdivision four of section five hundred ninety  of
this article, the claimant shall be deemed to have received benefits for
such forfeited effective days.
  The penalty provided in this section shall not be confined to a single
benefit  year  but  shall  no longer apply in whole or in part after the
expiration of two years from the date [on which the offense was  commit-
ted]  OF  THE  FINAL DETERMINATION. SUCH TWO-YEAR PERIOD SHALL BE TOLLED
DURING THE TIME PERIOD A CLAIMANT HAS AN APPEAL PENDING.
  A claimant shall refund all moneys  received  because  of  such  false
statement  or representation [made by him] OR WILFUL CONCEALMENT AND PAY
A CIVIL PENALTY IN AN AMOUNT EQUAL TO THE GREATER OF ONE HUNDRED DOLLARS
OR FIFTEEN PERCENT OF THE TOTAL OVERPAID BENEFITS DETERMINED PURSUANT TO
THIS SECTION.  WHEN A DETERMINATION BASED UPON A WILFUL FALSE  STATEMENT
OR  REPRESENTATION  OR  BASED UPON THE WILFUL CONCEALMENT OF A PERTINENT
FACT IN CONNECTION WITH THE CLAIM FOR  BENEFITS  BECOMES  FINAL  THROUGH
EXHAUSTION  OF  APPEAL  RIGHTS OR FAILURE TO EXHAUST HEARING RIGHTS, THE
COMMISSIONER MAY FILE WITH THE COUNTY CLERK  OF  THE  COUNTY  WHERE  THE
CLAIMANT  RESIDES  THE  FINAL  DETERMINATION  OF THE COMMISSIONER OR THE
FINAL DECISION BY AN ADMINISTRATIVE LAW JUDGE, THE  APPEAL  BOARD  OR  A
COURT CONTAINING THE AMOUNT FOUND TO BE DUE INCLUDING INTEREST AND CIVIL
PENALTY.  THE  FILING OF SUCH FINAL DETERMINATION OR DECISION SHALL HAVE
THE FULL FORCE AND EFFECT OF A JUDGMENT DULY DOCKETED IN THE  OFFICE  OF
SUCH  CLERK.  THE FINAL DETERMINATION OR DECISION MAY BE ENFORCED BY AND
IN THE SAME MANNER, AND WITH LIKE EFFECT AS IF IT WERE A DEFAULT AS  SET
FORTH  IN  SECTION  FIVE  HUNDRED  SEVENTY-THREE OF THIS ARTICLE. MONEYS
RECEIVED BECAUSE OF SUCH FALSE STATEMENT  OR  REPRESENTATION  OR  WILFUL
CONCEALMENT, INCLUDING THE ACCRUAL OF INTEREST, MAY ALSO BE RECOVERED AS
PRESCRIBED  BY  THE  CIVIL  PRACTICE LAW AND RULES FOR THE RECOVERY OF A
MONEY JUDGMENT OR THROUGH COMMON LAW OR STATUTORY RIGHTS  OF  OFFSET  OR
ANY  CRIMINAL  PROSECUTION.  THE  PENALTIES COLLECTED HEREUNDER SHALL BE
DEPOSITED IN THE FUND. THE PENALTIES  ASSESSED  UNDER  THIS  SUBDIVISION
SHALL  APPLY  AND  BE ASSESSED FOR ANY BENEFITS PAID UNDER FEDERAL UNEM-
PLOYMENT AND EXTENDED UNEMPLOYMENT PROGRAMS ADMINISTERED BY THE  DEPART-
MENT  IN  THE  SAME MANNER AS PROVIDED IN THIS ARTICLE. THE PENALTIES IN
THIS SECTION SHALL BE IN ADDITION TO ANY PENALTIES  IMPOSED  UNDER  THIS
CHAPTER OR ANY STATE OR FEDERAL CRIMINAL STATUTE.
  S 17. Section 596 of the labor law is amended by adding a new subdivi-
sion 7 to read as follows:

S. 2607--C                         80

  7.  NOTWITHSTANDING THE PROVISIONS OF SECTION FIVE HUNDRED NINETY-FIVE
OF THIS TITLE, THE COMMISSIONER SHALL DEDUCT AND WITHHOLD  ANY  OVERPAY-
MENTS ESTABLISHED UNDER THIS ARTICLE OR UNDER ANY STATE OR FEDERAL UNEM-
PLOYMENT COMPENSATION PROGRAM FROM BENEFITS PAYABLE TO AN INDIVIDUAL. NO
PENALTIES  OR INTEREST ASSESSED PURSUANT TO SECTION FIVE HUNDRED NINETY-
FOUR OF THIS TITLE MAY BE DEDUCTED OR WITHHELD FROM BENEFITS.
  S 18. Subdivision 2 of section 597 of the  labor  law  is  amended  by
adding a new paragraph (d) to read as follows:
  (D)  NOTWITHSTANDING  ANY PROVISIONS OF THIS ARTICLE, UNLESS A COMMIS-
SIONER'S ERROR IS SHOWN OR THE FAILURE IS THE DIRECT RESULT OF A  DISAS-
TER  EMERGENCY  DECLARED  BY  THE  GOVERNOR  OR PRESIDENT, AN EMPLOYER'S
ACCOUNT SHALL NOT BE RELIEVED OF CHARGES RESULTING IN AN OVERPAYMENT  OF
BENEFITS  WHEN THE COMMISSIONER DETERMINES THAT THE OVERPAYMENT WAS MADE
BECAUSE THE EMPLOYER OR THE AGENT OF THE EMPLOYER FAILED  TO  TIMELY  OR
ADEQUATELY  RESPOND TO A REQUEST FOR INFORMATION IN THE NOTICE OF POTEN-
TIAL CHARGES OR OTHER SUCH NOTICE REQUESTING INFORMATION IN RELATION  TO
A  CLAIM  UNDER  THIS  ARTICLE, PROVIDED, HOWEVER, THAT THE COMMISSIONER
SHALL RELIEVE THE EMPLOYER OF CHARGES THE FIRST TIME THAT  THE  EMPLOYER
FAILS  TO  PROVIDE  TIMELY  OR  ADEQUATE  INFORMATION,  IF  THE EMPLOYER
PROVIDES GOOD CAUSE FOR SUCH FAILURE AS DETERMINED BY THE COMMISSIONER.
  "TIMELY" SHALL MEAN A RESPONSE IS PROVIDED IN THE TIME  PERIOD  SPECI-
FIED IN THE NOTICE AS PRESCRIBED BY THE COMMISSIONER.
  THE  TERM  "ADEQUATELY"  SHALL  MEAN  THAT  THE  EMPLOYER OR ITS AGENT
SUBMITTED INFORMATION SUFFICIENT TO RENDER A CORRECT DETERMINATION.
  THIS PROHIBITION FOR RELIEF OF CHARGES SHALL APPLY  TO  ALL  EMPLOYERS
UNDER  THIS  ARTICLE  INCLUDING  EMPLOYERS  ELECTING  PAYMENT IN LIEU OF
CONTRIBUTIONS.
  S 19. Section 600 of the labor law, as added by  chapter  793  of  the
laws  of  1963,  subdivision  6 as amended by chapter 391 of the laws of
2005, subdivision 7 as added by chapter 362 of the laws of  1980,  para-
graph  (a)  of  subdivision  7  as amended by chapter 176 of the laws of
2004, paragraph (b) of subdivision 7 as amended by chapter 5 of the laws
of 2000, and paragraph (c) of subdivision 7 as relettered by chapter 895
of the laws of 1980, is amended to read as follows:
  S 600. Effect of retirement payments. 1. Reduction  of  benefit  rate.
[If a claimant retires or is retired from employment by an employer and,
due  to  such  retirement,  is receiving a pension or retirement payment
under a plan financed in whole or in part by such employer, such  claim-
ant's  benefit  rate  for four effective days otherwise applicable under
subdivision seven of section five hundred ninety  shall  be  reduced  as
hereinafter provided.
  2.  Application. The reduction shall apply only to benefits which when
paid will be chargeable to the account of the employer who provided  the
pension or retirement benefit.
  3.  Amount  of reduction. If the pension or retirement payment is made
under a plan to which the employer is the sole contributor,  the  claim-
ant's  benefit  rate  shall  be  reduced  by the largest number of whole
dollars which is not more than the prorated weekly amount of his pension
or retirement payment under such plan.  If  the  pension  or  retirement
payment  is  made  under  a  plan  to which the employer is not the sole
contributor, the claimant's benefit rate shall be reduced by the largest
number of whole dollars which is not more than one-half of the  prorated
weekly amount of his pension or retirement payments under such plan, but
no  reduction shall apply if the claimant demonstrates that the employer
contributed less than fifty per centum to the plan.

S. 2607--C                         81

  4. Reduction equal to benefit rate. If the amount to be deducted  from
a claimant's benefit rate equals or exceeds such rate, he shall be inel-
igible  to receive any benefits which if paid would be chargeable to the
employer involved in the pension or retirement plan,  but  any  benefits
which would in the absence of this section be chargeable to the accounts
of other employers shall be payable to the claimant.
  5. Reduction not established. If, at the time benefits are payable, it
has  not  been  established  that  the  claimant  will be receiving such
pension or retirement payment, benefits due  shall  be  paid  without  a
reduction,  subject to review within the period and under the conditions
as provided in subdivisions three and four of section five hundred nine-
ty-seven with respect to retroactive payment of remuneration.
  6. Limitation. For the purposes of this section, the terms "pension or
retirement payment" and "governmental or other  pension,  retirement  or
retired  pay,  annuity,  or  any other similar periodic payment which is
based on previous work" shall not include payments made from a qualified
trust to an eligible retirement plan  under  the  terms  and  conditions
specified  in  section four hundred two of the internal revenue code for
federal income tax purposes, such payments commonly  known  as  eligible
rollover distributions.
  7. Alternative condition. (a) When a reduction for retirement payments
is  required by the federal unemployment tax act as a condition for full
tax credit, in which event the  provisions  of  subdivisions  one,  two,
three,  four  and  five of this section shall not be operative, the] (A)
THE benefit rate of a claimant who is receiving a governmental or  other
pension,  retirement or retired pay, annuity, or any other similar peri-
odic payment which is based on his previous work, shall  be  reduced  as
hereinafter provided, if such payment is made under a plan maintained or
contributed to by his base period employer and, except for payments made
under  the  social  security act or the railroad retirement act of 1974,
the claimant's employment with,  or  remuneration  from,  such  employer
after  the beginning of the base period affected his eligibility for, or
increased the amount of, such pension, retirement or retired pay, annui-
ty, or other similar periodic payment.
  (b) [If the claimant made no contribution for the pension,  retirement
or  retired  pay,  annuity,  or other similar periodic payment, his] THE
CLAIMANT'S benefit rate shall be reduced by the largest number of  whole
dollars  which  is  not  more  than  the pro-rated weekly amount of such
payment. If the claimant was  the  sole  contributor  for  the  pension,
retirement  or  retired pay, annuity, or other similar periodic payment,
no reduction shall apply.  [If  the  claimant's  contributions  for  the
pension,  retirement  or retired pay, annuity, or other similar periodic
payment were less than one hundred per centum,  the  commissioner  shall
determine  the amount of the reduction by taking into account the claim-
ant's contributions in a manner consistent with the federal unemployment
tax act.]
  (c) If, at the time benefits are payable, it has not been  established
that  the claimant will be receiving such pension, retirement or retired
pay, annuity or other payment, benefits due  shall  be  paid  without  a
reduction,  subject to review within the period and under the conditions
as provided in subdivisions three and four of section five hundred nine-
ty-seven with respect to retroactive payment of remuneration.
  (D) FOR THE PURPOSES OF THIS SECTION, THE TERMS "PENSION OR RETIREMENT
PAYMENT" AND "GOVERNMENTAL OR OTHER PENSION, RETIREMENT OR RETIRED  PAY,
ANNUITY,  OR ANY OTHER SIMILAR PERIODIC PAYMENT WHICH IS BASED ON PREVI-
OUS WORK" SHALL NOT INCLUDE PAYMENTS MADE FROM A QUALIFIED TRUST  TO  AN

S. 2607--C                         82

ELIGIBLE  RETIREMENT  PLAN  UNDER  THE TERMS AND CONDITIONS SPECIFIED IN
SECTION FOUR HUNDRED TWO OF THE INTERNAL REVENUE CODE FOR FEDERAL INCOME
TAX PURPOSES, SUCH PAYMENTS COMMONLY KNOWN AS ELIGIBLE ROLLOVER DISTRIB-
UTIONS.
  S  20.  Section 602 of the labor law, as amended by chapter 214 of the
laws of 1998, is amended to read as follows:
  S 602. Application. This title shall apply to a claimant  employed  by
an  employer  whose  application to participate in a shared work program
has been approved by the commissioner.  The  provisions  of  subdivision
four  of section five hundred twenty-seven, subdivisions three and seven
of section five hundred ninety and  subdivision  four  of  section  five
hundred  ninety-six  of  this  article  shall  not be applicable to such
claimant and he OR SHE shall not be required to be  available  for  work
with  any  other  employer NOR SHALL HE OR SHE BE REQUIRED TO SEARCH FOR
WORK IN ACCORDANCE WITH SUBDIVISION TWO OF SECTION FIVE HUNDRED  NINETY-
ONE OF THIS ARTICLE IF HE OR SHE IS AVAILABLE FOR HIS OR HER USUAL HOURS
OF  WORK  WITH HIS OR HER EMPLOYER THAT HAS BEEN ACCEPTED TO PARTICIPATE
IN THE SHARED WORK PROGRAM. The other provisions of this  article  shall
apply  to such claimants and their employers to the extent that they are
not inconsistent with the provisions of this title.
  S 21. Section 603 of the labor law, as added by  chapter  438  of  the
laws of 1985, is amended to read as follows:
  S  603.  Definitions. For purposes of this title: "Total unemployment"
shall mean the total lack of any employment on any day, other than  with
an employer applying for a shared work program. ["Full time hours" shall
mean  at  least  thirty-five but not more than forty hours per week, and
shall not include overtime as defined in the Fair Labor Standards  Act.]
"Work  force"  shall  mean  the total work force, a clearly identifiable
unit or units thereof, or a particular shift or shifts. THE  WORK  FORCE
SUBJECT TO REDUCTION SHALL CONSIST OF NO LESS THAN TWO EMPLOYEES.
  S 21-a. Section 604 of the labor law, as amended by chapter 564 of the
laws of 2002, is amended to read as follows:
  S  604. Eligibility conditions. A claimant shall be eligible for bene-
fits under this title if he OR SHE works less than  his  OR  HER  normal
[full time] hours in a week for his customary employer, and that employ-
er has reduced or restricted the claimant's weekly hours of work, or has
rehired  a  claimant  previously  laid off and reduced his OR HER weekly
hours of work from those previously worked, as the result of a  plan  by
the  employer  to  stabilize  the work force by a program of sharing the
work remaining after a reduction in total hours of  work  and  a  corre-
sponding reduction in wages, provided the program requires not less than
a  twenty  percent  nor more than a sixty percent reduction in hours and
wages among the work force. A claimant receiving supplemental  unemploy-
ment  compensation  benefits, as defined in section five hundred one (c)
(17) (D) of the internal revenue code of  nineteen  hundred  fifty-four,
shall not be eligible hereunder. Any employee who was otherwise eligible
for  benefits under this title but was denied benefits during the period
beginning October first, two thousand one and ending on December  first,
two thousand one because more than five percent of his OR HER wages were
derived  from  piece work, shall be entitled to make a retroactive claim
for such benefits provided such claim is filed within sixty days of  the
effective date of this sentence.
  S 22. Section 605 of the labor law, as amended by section 2 of chapter
81 of the laws of 1992, is amended to read as follows:
  S  605. Qualified employers; application. An employer who has at least
[five] TWO full time employees may apply to participate in a shared work

S. 2607--C                         83

program.  The WRITTEN application shall be made according to such  forms
and  procedures  as  the commissioner may specify and shall include such
information as the commissioner may require, INCLUDING SUCH OTHER INFOR-
MATION THAT THE UNITED STATES SECRETARY OF LABOR DETERMINES TO BE APPRO-
PRIATE  FOR  PURPOSES  OF A SHARED WORK PROGRAM.  The commissioner shall
not approve such application unless the employer (1) [agrees]  CERTIFIES
that  for  the duration of the program it will not eliminate or diminish
health insurance, medical insurance, RETIREMENT BENEFITS  or  any  other
fringe  benefits provided to employees immediately prior to the applica-
tion UNLESS SUCH BENEFITS PROVIDED TO EMPLOYEES THAT DO NOT  PARTICIPATE
IN  THE SHARED WORK PROGRAM ARE REDUCED OR DIMINISHED TO THE SAME EXTENT
AS THOSE EMPLOYEES THAT PARTICIPATE IN  THE  SHARED  WORK  PROGRAM;  (2)
certifies  that  the  collective  bargaining agent for the employees, if
any, has agreed to participate in the program; (3) certifies that if not
for the shared work program to be initiated the employer would reduce or
would have reduced its work force to a degree equivalent  to  the  total
number  of  working  hours  proposed to be reduced or restricted for all
included employees; (4) certifies that it will not hire additional  part
time  or  full  time  employees  for  the  affected work force while the
program is in operation; [and] (5) agrees that  no  participant  of  the
program  shall  receive, in the aggregate, more than [twenty] TWENTY-SIX
weeks of  benefits  exclusive  of  the  waiting  week;  (6)  PROVIDES  A
DESCRIPTION  OF  HOW  WORKERS  IN THE WORK FORCE WILL BE NOTIFIED OF THE
SHARED WORK PROGRAM IN ADVANCE OF IT TAKING EFFECT, IF FEASIBLE, AND  IF
SUCH  NOTICE IS NOT FEASIBLE, PROVIDES AN EXPLANATION OF WHY SUCH NOTICE
IS NOT FEASIBLE; (7) PROVIDES AN ESTIMATE OF THE NUMBER OF  WORKERS  WHO
WOULD  BE  LAID  OFF IF THE EMPLOYER COULD NOT PARTICIPATE IN THE SHARED
WORK PROGRAM; AND (8) CERTIFIES THAT THE TERMS OF THE EMPLOYER'S WRITTEN
PLAN AND IMPLEMENTATION SHALL BE CONSISTENT  WITH  EMPLOYER  OBLIGATIONS
UNDER APPLICABLE FEDERAL AND STATE LAWS.
  S 22-a. Section 605 of the labor law, as amended by section twenty-two
of  this  act  is  REPEALED  and  a  new section 605 is added to read as
follows:
  S 605.  QUALIFIED EMPLOYERS; APPLICATION. AN EMPLOYER WHO HAS AT LEAST
FIVE FULL TIME EMPLOYEES MAY APPLY  TO  PARTICIPATE  IN  A  SHARED  WORK
PROGRAM.  THE  WRITTEN APPLICATION SHALL BE MADE ACCORDING TO SUCH FORMS
AND PROCEDURES AS THE COMMISSIONER MAY SPECIFY AND  SHALL  INCLUDE  SUCH
INFORMATION AS THE COMMISSIONER MAY REQUIRE, INCLUDING SUCH OTHER INFOR-
MATION THAT THE UNITED STATES SECRETARY OF LABOR DETERMINES TO BE APPRO-
PRIATE FOR PURPOSES OF A SHARED WORK PROGRAM. THE COMMISSIONER SHALL NOT
APPROVE  SUCH APPLICATION UNLESS THE EMPLOYER (1) CERTIFIES THAT FOR THE
DURATION OF THE PROGRAM IT WILL NOT ELIMINATE OR DIMINISH HEALTH  INSUR-
ANCE,  MEDICAL  INSURANCE, RETIREMENT BENEFITS OR ANY OTHER FRINGE BENE-
FITS PROVIDED TO EMPLOYEES IMMEDIATELY PRIOR TO THE  APPLICATION  UNLESS
SUCH  BENEFITS  PROVIDED  TO  EMPLOYEES  THAT  DO NOT PARTICIPATE IN THE
SHARED WORK PROGRAM ARE REDUCED OR DIMINISHED  TO  THE  SAME  EXTENT  AS
THOSE  EMPLOYEES THAT PARTICIPATE IN THE SHARED WORK PROGRAM; (2) CERTI-
FIES THAT THE COLLECTIVE BARGAINING AGENT FOR THE EMPLOYEES, IF ANY, HAS
AGREED TO PARTICIPATE IN THE PROGRAM; (3) CERTIFIES THAT IF NOT FOR  THE
SHARED  WORK  PROGRAM TO BE INITIATED THE EMPLOYER WOULD REDUCE OR WOULD
HAVE REDUCED ITS WORK FORCE TO A DEGREE EQUIVALENT TO THE  TOTAL  NUMBER
OF  WORKING  HOURS PROPOSED TO BE REDUCED OR RESTRICTED FOR ALL INCLUDED
EMPLOYEES; (4) CERTIFIES THAT IT WILL NOT HIRE ADDITIONAL PART  TIME  OR
FULL  TIME EMPLOYEES FOR THE AFFECTED WORK FORCE WHILE THE PROGRAM IS IN
OPERATION; (5) AGREES THAT NO PARTICIPANT OF THE PROGRAM SHALL  RECEIVE,
IN  THE  AGGREGATE,  MORE THAN TWENTY WEEKS OF BENEFITS EXCLUSIVE OF THE

S. 2607--C                         84

WAITING WEEK; (6) PROVIDES A DESCRIPTION OF  HOW  WORKERS  IN  THE  WORK
FORCE  WILL  BE  NOTIFIED  OF  THE  SHARED WORK PROGRAM IN ADVANCE OF IT
TAKING EFFECT, IF FEASIBLE, AND IF SUCH NOTICE IS NOT FEASIBLE, PROVIDES
AN EXPLANATION OF WHY SUCH NOTICE IS NOT FEASIBLE; (7) PROVIDES AN ESTI-
MATE  OF  THE  NUMBER  OF  WORKERS WHO WOULD BE LAID OFF IF THE EMPLOYER
COULD NOT PARTICIPATE IN THE SHARED WORK PROGRAM; AND (8) CERTIFIES THAT
THE TERMS OF THE EMPLOYER'S WRITTEN PLAN  AND  IMPLEMENTATION  SHALL  BE
CONSISTENT  WITH EMPLOYER OBLIGATIONS UNDER APPLICABLE FEDERAL AND STATE
LAWS.
  S 23. Section 607 of the labor law, as added by  chapter  438  of  the
laws of 1985, subdivision 1 as amended by section 4 of chapter 81 of the
laws of 1992, is amended to read as follows:
  S  607.  Benefits. 1. Amount. An eligible claimant shall be paid bene-
fits for any week equal to his OR HER benefit  rate  multiplied  by  the
percentage of reduction of his OR HER wages resulting from reduced hours
of work, but only if such percentage is no less than twenty percent. The
weekly  benefit  amount  shall  be  rounded off to the nearest dollar. A
claimant  shall  not  be  paid  such  benefits  in  excess  of  [twenty]
TWENTY-SIX weeks during a benefit year.
  2.  Waiting  period.  A claimant shall not be entitled to benefits for
the first week of unemployment under a shared work program unless he  OR
SHE  has  served a waiting period in his OR HER benefit year pursuant to
subdivision seven of section five hundred ninety of this article.
  S 23-a. Subdivision 1 of section 607 of the labor law, as  amended  by
section twenty-three of this act is REPEALED, and a new subdivision 1 is
added to read as follows:
  1.  AMOUNT.  AN  ELIGIBLE CLAIMANT SHALL BE PAID BENEFITS FOR ANY WEEK
EQUAL TO HIS OR  HER  BENEFIT  RATE  MULTIPLIED  BY  THE  PERCENTAGE  OF
REDUCTION  OF HIS OR HER WAGES RESULTING FROM REDUCED HOURS OF WORK, BUT
ONLY IF SUCH PERCENTAGE IS NO LESS THAN TWENTY PERCENT. THE WEEKLY BENE-
FIT AMOUNT SHALL BE ROUNDED OFF TO THE NEAREST DOLLAR. A CLAIMANT  SHALL
NOT  BE  PAID  SUCH  BENEFITS IN EXCESS OF TWENTY WEEKS DURING A BENEFIT
YEAR.
  S 24. The labor law is amended by adding a new section 609 to read  as
follows:
  S  609. TRAINING.  ELIGIBLE EMPLOYEES MAY PARTICIPATE, AS APPROPRIATE,
IN TRAINING TO ENHANCE JOB SKILLS IF SUCH PROGRAM HAS BEEN  APPROVED  BY
THE COMMISSIONER.  SUCH TRAINING MAY INCLUDE EMPLOYER-SPONSORED TRAINING
OR WORKER TRAINING FUNDED UNDER THE WORKFORCE INVESTMENT ACT OF 1998.
  S  25.  Section 611 of the labor law, as amended by chapter 589 of the
laws of 1998, is amended to read as follows:
  S 611. Charging of benefits. Benefits paid  to  a  claimant  shall  be
charged  to  the  employers'  accounts  as  provided in paragraph (e) of
subdivision one of section five  hundred  eighty-one  of  this  article.
HOWEVER,  EXCEPT FOR INDIVIDUALS EMPLOYED BY A PARTICIPATING EMPLOYER ON
A SEASONAL, TEMPORARY OR INTERMITTENT  BASIS,  NO  BENEFITS  PAID  TO  A
CLAIMANT SHALL BE CHARGED TO AN EMPLOYER'S ACCOUNT IF THE STATE IS REIM-
BURSED  BY THE UNITED STATES PURSUANT TO THE MIDDLE CLASS TAX RELIEF AND
JOB CREATION ACT OF 2012, PL 112-96.
  S 26. The labor law is amended by adding a new section 612 to read  as
follows:
  S  612.  SEVERABILITY.    IF  ANY  AMENDMENT  CONTAINED  IN  A CLAUSE,
SENTENCE, PARAGRAPH, SECTION OR PART OF THIS TITLE SHALL BE ADJUDGED  BY
THE  UNITED STATES DEPARTMENT OF LABOR TO VIOLATE REQUIREMENTS FOR MAIN-
TAINING BENEFIT STANDARDS REQUIRED OF THE STATE IN ORDER TO BE  ELIGIBLE
FOR  ANY  FINANCIAL  BENEFIT  OFFERED  THROUGH FEDERAL LAW OR REGULATION

S. 2607--C                         85

INCLUDING, BUT NOT LIMITED TO, THE WAIVER OF INTEREST ON ADVANCES OR THE
WAIVER OF OBLIGATIONS TO REPAY SUCH ADVANCES TO THE  STATE  UNEMPLOYMENT
INSURANCE FUND, SUCH AMENDMENTS SHALL BE SEVERED FROM THIS ACT AND SHALL
NOT AFFECT, IMPAIR OR INVALIDATE THE REMAINDER THEREOF.
  S  27. Section 39 of part P2 of chapter 62 of the laws of 2003, amend-
ing the state finance law and other laws  relating  to  authorizing  and
directing  the  state  comptroller  to  loan  money to certain funds and
accounts, as amended by section 1 of part W of chapter 58 of the laws of
2011, is amended to read as follows:
  S 39. This act shall take effect immediately and shall  be  deemed  to
have been in full force and effect on and after April 1, 2003; provided,
however, that sections one, three, four, six, seven through fifteen, and
seventeen  of  this act shall expire March 31, 2004, when upon such date
the provisions of such sections shall be deemed repealed; [and  sections
thirty  and  thirty-one  of this act shall expire December 31, 2013] and
the amendments made to section 69-c of the state finance law by  section
thirty-two  of  this  act  shall not affect the expiration and repeal of
such section and shall be deemed to be expired therewith.
  S 28. Severability. If any amendment contained in a clause,  sentence,
paragraph,  section  or part of this act shall be adjudged by the United
States Department of Labor to violate requirements for maintaining bene-
fit standards required of the state in order  to  be  eligible  for  any
financial  benefit  offered through federal law or regulation including,
but not limited to, the waiver of interest on advances or the waiver  of
obligations  to  repay such advances to the state unemployment insurance
fund, such amendments shall be severed  from  this  act  and  shall  not
affect, impair or invalidate the remainder thereof.
  S 29. This act shall take effect immediately, provided, however, that:
  a. sections one, three, seven, and eight of this act shall take effect
January 1, 2014;
  b.  sections  two,  thirteen,  fifteen, and nineteen of this act shall
apply to all claims filed after January 1, 2014;
  c. section nine of this act shall take effect January 1, 2017;
  d. section ten of this act shall take effect January 1, 2019;
  e. sections five, six, sixteen, seventeen, and eighteen  of  this  act
shall apply to all overpayments established after October 1, 2013;
  f.  sections  fourteen,  twenty, twenty-one, twenty-one-a, twenty-two,
twenty-three, twenty-four, and twenty-six of this act shall take  effect
on the thirtieth day after it shall have become a law;
  g. section twenty-five of this act shall expire and be deemed repealed
August 23, 2015;
  h.  section twelve of this act shall take effect January 1, 2014 or on
the same date as the reversion of subdivision 2 of section  591  of  the
labor  law as provided in section 10 of chapter 413 of the laws of 2003,
as amended, whichever is later;
  i. the amendments to section 591-a of the labor law  made  by  section
fourteen  of  this  act  shall not affect the repeal of such section and
shall be deemed repealed therewith; and
  j. sections twenty-two-a and twenty-three-a of  this  act  shall  take
effect August 23, 2015.

                                 PART P
                          Intentionally Omitted

                                 PART Q

S. 2607--C                         86

  Section  1. Paragraph (d) of subdivision 4 of section 209 of the civil
service law, as amended by section 9 of part A of  chapter  504  of  the
laws of 2009, is amended to read as follows:
  (d) The provisions of this subdivision shall expire [thirty-six] FORTY
years from July first, nineteen hundred seventy-seven, and hereafter may
be renewed every four years.
  S 2. This act shall take effect immediately.

                                 PART R
                          Intentionally Omitted

                                 PART S

  Section  1.  The  tax  law is amended by adding a new section 627-a to
read as follows:
  S 627-A. GIFT FOR HONOR AND REMEMBRANCE OF VETERANS. EFFECTIVE FOR ANY
TAX YEAR COMMENCING ON OR AFTER JANUARY FIRST, TWO THOUSAND THIRTEEN, AN
INDIVIDUAL IN ANY TAXABLE YEAR MAY ELECT TO CONTRIBUTE TO  THE  VETERANS
REMEMBRANCE  AND  CEMETERY MAINTENANCE AND OPERATION FUND. SUCH CONTRIB-
UTION SHALL BE IN ANY WHOLE DOLLAR  AMOUNT  AND  SHALL  NOT  REDUCE  THE
AMOUNT  OF  STATE  TAX  OWED  BY SUCH INDIVIDUAL. THE COMMISSIONER SHALL
INCLUDE SPACE ON THE PERSONAL INCOME TAX RETURN TO ENABLE A TAXPAYER  TO
MAKE  SUCH CONTRIBUTION. NOTWITHSTANDING ANY OTHER PROVISION OF LAW, ALL
REVENUES COLLECTED PURSUANT TO THIS SECTION SHALL  BE  CREDITED  TO  THE
VETERANS  REMEMBRANCE  AND  CEMETERY  MAINTENANCE AND OPERATION FUND AND
USED ONLY FOR THOSE PURPOSES ENUMERATED IN SECTION NINETY-SEVEN-MMMM  OF
THE STATE FINANCE LAW.
  S  2. The state finance law is amended by adding a new section 97-mmmm
to read as follows:
  S 97-MMMM. VETERANS REMEMBRANCE AND CEMETERY MAINTENANCE AND OPERATION
FUND. 1. THERE IS HEREBY ESTABLISHED IN THE JOINT CUSTODY OF THE COMMIS-
SIONER OF TAXATION AND FINANCE, THE DIRECTOR OF THE DIVISION OF VETERANS
AFFAIRS AND THE COMPTROLLER, A SPECIAL FUND TO BE KNOWN AS THE "VETERANS
REMEMBRANCE AND CEMETERY MAINTENANCE AND OPERATION FUND".
  2. SUCH FUND SHALL CONSIST OF ALL REVENUES RECEIVED BY THE  DEPARTMENT
OF  TAXATION  AND  FINANCE,  PURSUANT  TO  THE PROVISIONS OF SECTION SIX
HUNDRED TWENTY-SEVEN-A OF THE TAX LAW, AND ALL  OTHER  MONEYS  APPROPRI-
ATED,  CREDITED,  OR  TRANSFERRED  THERETO FROM ANY OTHER FUND OR SOURCE
PURSUANT TO LAW. FOR EACH STATE FISCAL YEAR, THERE SHALL BE APPROPRIATED
TO THE FUND BY THE STATE, IN ADDITION TO ALL OTHER MONEYS REQUIRED TO BE
DEPOSITED INTO SUCH FUND, AN AMOUNT  EQUAL  TO  THE  AMOUNTS  OF  MONIES
COLLECTED  AND  DEPOSITED  INTO THE FUND PURSUANT TO SECTION SIX HUNDRED
TWENTY-SEVEN-A OF THE TAX LAW, AND THE AMOUNTS OF  MONEYS  RECEIVED  AND
DEPOSITED  INTO  THE  FUND  FROM  GRANTS,  GIFTS AND BEQUESTS DURING THE
PRECEDING CALENDAR YEAR, AS CERTIFIED BY  THE  COMPTROLLER.  NOTHING  IN
THIS  SECTION  SHALL  PREVENT  THE  STATE  FROM SOLICITING AND RECEIVING
GRANTS, GIFTS OR BEQUESTS FOR THE PURPOSES OF THE  FUND  AS  DEFINED  IN
THIS SECTION AND DEPOSITING THEM INTO THE FUND ACCORDING TO LAW.
  3.  ON  OR BEFORE THE FIRST DAY OF FEBRUARY OF EACH CALENDAR YEAR, THE
COMPTROLLER SHALL CERTIFY TO THE GOVERNOR, THE  TEMPORARY  PRESIDENT  OF
THE SENATE, THE SPEAKER OF THE ASSEMBLY, THE CHAIR OF THE SENATE FINANCE
COMMITTEE  AND  THE  CHAIR OF THE ASSEMBLY WAYS AND MEANS COMMITTEE, THE
AMOUNT OF MONEY DEPOSITED IN VETERANS REMEMBRANCE AND  CEMETERY  MAINTE-
NANCE  AND  OPERATION  FUND  DURING  THE  PRECEDING CALENDAR YEAR AS THE

S. 2607--C                         87

RESULT OF REVENUE DERIVED PURSUANT TO SECTION SIX HUNDRED TWENTY-SEVEN-A
OF THE TAX LAW, AND FROM ALL GRANTS, GIFTS AND BEQUESTS.
  4.  MONEYS  OF  THE  FUND SHALL BE EXPENDED ONLY FOR THE CONSTRUCTION,
ESTABLISHMENT, EXPANSION, IMPROVEMENT, SUPPORT,  OPERATION,  MAINTENANCE
AND  THE  PROVISION  OF  PERPETUAL CARE OF STATE VETERANS CEMETERIES. AS
USED IN  THIS  SECTION,  "THE  CONSTRUCTION,  ESTABLISHMENT,  EXPANSION,
IMPROVEMENT,  SUPPORT,  OPERATION,  MAINTENANCE  AND  THE  PROVISION  OF
PERPETUAL CARE OF STATE VETERANS CEMETERIES" SHALL INCLUDE, BUT  NOT  BE
LIMITED TO:
  (A)  THE  PURCHASE,  LEASING OR IMPROVEMENT OF LAND FOR THE PURPOSE OF
THE CONSTRUCTION, ESTABLISHMENT, EXPANSION, IMPROVEMENT, SUPPORT, OPERA-
TION, MAINTENANCE AND THE PROVISION OF PERPETUAL CARE OF STATE  VETERANS
CEMETERIES;
  (B) THE PURCHASE, LEASING, CONSTRUCTION OR IMPROVEMENT OF BUILDINGS OR
INFRASTRUCTURE  FOR  THE  PURPOSE  OF  THE  CONSTRUCTION, ESTABLISHMENT,
EXPANSION,  IMPROVEMENT,  SUPPORT,  OPERATION,   MAINTENANCE   AND   THE
PROVISION OF PERPETUAL CARE OF STATE VETERANS CEMETERIES;
  (C)  THE  PURCHASE OR LEASING OF EQUIPMENT, TOOLS, BUILDING MATERIALS,
LANDSCAPING  MATERIALS,  MARKERS,  MONUMENTS,  HEADSTONES,  FLAGS,  FLAG
POLES,  OR  RELATED  REMEMBRANCE OR CEMETERY ITEMS FOR THE CONSTRUCTION,
ESTABLISHMENT, EXPANSION, IMPROVEMENT, SUPPORT,  OPERATION,  MAINTENANCE
AND THE PROVISION OF PERPETUAL CARE OF STATE VETERANS CEMETERIES;
  (D)  THE  PAYMENT  OF  SALARIES, WAGES, BENEFITS, PROFESSIONAL SERVICE
FEES, CONTRACT FEES, ASSOCIATION FEES, OR OTHER  CHARGES  NECESSARY  FOR
THE CONSTRUCTION, ESTABLISHMENT, EXPANSION, IMPROVEMENT, SUPPORT, OPERA-
TION,  MAINTENANCE AND THE PROVISION OF PERPETUAL CARE OF STATE VETERANS
CEMETERIES; AND/OR
  (E) THE PURCHASE OF ANY  OTHER  ITEM  OR  SERVICE  NECESSARY  FOR  THE
CONSTRUCTION, ESTABLISHMENT, EXPANSION, IMPROVEMENT, SUPPORT, OPERATION,
MAINTENANCE  AND  THE  PROVISION  OF  PERPETUAL CARE OF A STATE VETERANS
CEMETERY.
  5. MONEYS SHALL BE PAYABLE FROM THE FUND ON THE AUDIT AND  WARRANT  OF
THE  COMPTROLLER  ON  VOUCHERS APPROVED AND CERTIFIED BY THE DIRECTOR OF
VETERANS AFFAIRS.
  S 3. Subdivision 12 of section 353 of the executive  law  is  REPEALED
and a new subdivision 12 is added to read as follows:
  12.  (A) FOR THE PURPOSE OF PROVIDING FOR THE CONSTRUCTION, ESTABLISH-
MENT, EXPANSION, IMPROVEMENT, SUPPORT, OPERATION,  MAINTENANCE  AND  THE
PROVISION OF PERPETUAL CARE FOR STATE VETERANS CEMETERIES, TO SEEK FUND-
ING FROM, AND MAKE APPLICATION FOR FUNDING TO:
  (1)  THE  GOVERNMENT  OF  THE  UNITED  STATES, INCLUDING ANY AGENCY OR
PUBLIC AUTHORITY THEREOF;
  (2) THE GOVERNMENT OF THE STATE OF NEW YORK, INCLUDING ANY  AGENCY  OR
PUBLIC AUTHORITY THEREOF;
  (3)  ANY  POLITICAL  SUBDIVISION OF THE GOVERNMENT OF THE STATE OF NEW
YORK, INCLUDING ANY AGENCY OR PUBLIC AUTHORITY THEREOF; OR
  (4) ANY PRIVATE INDIVIDUAL, CORPORATION OR FOUNDATION;
  (B) PURSUANT TO SECTION THREE HUNDRED SIXTY-FIVE OF THIS  ARTICLE,  TO
PROVIDE   THE   CONSTRUCTION,   ESTABLISHMENT,  EXPANSION,  IMPROVEMENT,
SUPPORT, OPERATION, MAINTENANCE AND THE PROVISION OF PERPETUAL CARE  FOR
STATE VETERANS CEMETERIES;
  (C) TO SERVE AS JOINT CUSTODIAN OF, AND PROVIDE FOR THE EXPENDITURE OF
MONEYS FROM, THE VETERANS REMEMBRANCE AND CEMETERY MAINTENANCE AND OPER-
ATION  FUND,  ESTABLISHED  PURSUANT  TO SECTION NINETY-SEVEN-MMMM OF THE
STATE FINANCE LAW; AND

S. 2607--C                         88

  (D) TO EVALUATE, MONITOR AND OTHERWISE OVERSEE THE OPERATION OF VETER-
ANS CEMETERIES IN THIS STATE.
  S 4. Subdivision 12-a of section 353 of the executive law is REPEALED.
  S  5. The executive law is amended by adding a new section 365 to read
as follows:
  S 365. NEW YORK STATE VETERANS CEMETERIES. 1. LEGISLATIVE INTENT.  THE
LEGISLATURE  FINDS AND DETERMINES THAT THE DEVOTED SERVICE AND SACRIFICE
OF VETERANS DESERVES IMPORTANT, UNIQUE AND ETERNAL  RECOGNITION  BY  THE
STATE OF NEW YORK. THAT IT IS BY MEANS OF THE DEVOTED SERVICE AND SACRI-
FICE  OF  VETERANS  THAT THE LIBERTY, FREEDOM AND PROSPERITY, ENJOYED BY
ALL NEW YORKERS IS MAINTAINED AND PRESERVED.
  THE LEGISLATURE FURTHER FINDS AND  DETERMINES  THAT  TO  PROVIDE  THIS
IMPORTANT,  UNIQUE  AND ETERNAL RECOGNITION, THE STATE SHALL ESTABLISH A
PROGRAM OF NEW YORK STATE VETERANS CEMETERIES IN NEW YORK. SUCH  PROGRAM
SHALL  PROVIDE  FOR THE CONSTRUCTION, ESTABLISHMENT, EXPANSION, IMPROVE-
MENT, SUPPORT, OPERATION, MAINTENANCE AND  THE  PROVISION  OF  PERPETUAL
CARE  FOR  STATE  VETERANS CEMETERIES IN THIS STATE, AND THEREBY FOR THE
MEMORIALIZATION AND REMEMBRANCE OF INDIVIDUAL VETERANS AND THEIR SERVICE
TO THEIR COMMUNITY, STATE AND NATION.
  THE LEGISLATURE ADDITIONALLY FINDS AND DETERMINES THAT IT IS THEREFORE
NECESSARY TO PROVIDE FOR THE CONSTRUCTION AND ESTABLISHMENT  OF  ONE  OR
MORE NEW YORK STATE VETERANS CEMETERIES, AND THAT TO THEREAFTER, PROVIDE
FOR  THE EXPANSION, IMPROVEMENT, SUPPORT, OPERATION, MAINTENANCE AND THE
PROVISION OF PERPETUAL CARE OF ALL SUCH CEMETERIES  SO  CONSTRUCTED  AND
ESTABLISHED. THE LEGISLATURE ALSO FINDS AND DETERMINES THAT IT IS APPRO-
PRIATE  TO  HAVE THE RESPONSIBILITY FOR THE CONSTRUCTION, ESTABLISHMENT,
EXPANSION,  IMPROVEMENT,  SUPPORT,  OPERATION,   MAINTENANCE   AND   THE
PROVISION OF PERPETUAL CARE FOR VETERANS CEMETERIES IN THIS STATE, TO BE
UNDER  THE  OVERSIGHT  AND  DIRECTION  OF THE STATE DIVISION OF VETERANS
AFFAIRS, AND ITS DIRECTOR, INDIVIDUALLY, AND AS CHAIR OF THE  MANAGEMENT
BOARD, FOR EACH SUCH VETERANS CEMETERY SO CONSTRUCTED AND ESTABLISHED.
  2.  THE  ESTABLISHMENT  OF THE FIRST NEW YORK STATE VETERANS CEMETERY.
(A) THE DIVISION, IN COOPERATION WITH THE UNITED  STATES  DEPARTMENT  OF
VETERANS  AFFAIRS,  IS  HEREBY  DIRECTED TO CONDUCT AN INVESTIGATION AND
STUDY ON THE ISSUE OF THE CONSTRUCTION AND ESTABLISHMENT  OF  THE  FIRST
NEW  YORK  STATE  VETERANS  CEMETERY. SUCH INVESTIGATION AND STUDY SHALL
INCLUDE, BUT NOT BE LIMITED TO:
  (I) POTENTIAL SITE LOCATIONS FOR SUCH CEMETERY,  WITH  FULL  CONSIDER-
ATION AS TO THE NEEDS OF THE VETERANS POPULATION;
  (II) THE GEOGRAPHICAL SIZE OF THE CEMETERY;
  (III) THE NUMBER OF ANNUAL INTERNMENTS AT THE CEMETERY;
  (IV) ACCESSIBILITY TO THE CEMETERY BY VETERANS, THEIR FAMILIES AND THE
GENERAL PUBLIC;
  (V) COSTS FOR CONSTRUCTION OF THE CEMETERY;
  (VI) COSTS OF OPERATION OF THE CEMETERY;
  (VII) SCALABILITY OF THE CEMETERY FOR FUTURE GROWTH AND EXPANSION;
  (VIII)  POTENTIAL FOR FUNDING FOR THE CEMETERY FROM FEDERAL, LOCAL AND
PRIVATE SOURCES; AND
  (IX) SUCH OTHER AND FURTHER ITEMS AS  THE  DIRECTOR  OF  THE  DIVISION
DEEMS NECESSARY FOR THE FIRST STATE VETERANS CEMETERY TO BE SUCCESSFUL.
  THE INVESTIGATION AND STUDY CONDUCTED PURSUANT TO THIS PARAGRAPH SHALL
BE  CONCLUDED  BY NO LATER THAN OCTOBER THIRTY-FIRST, TWO THOUSAND THIR-
TEEN, AND A REPORT OF ITS CONCLUSIONS SHALL BE DELIVERED TO  THE  GOVER-
NOR,  THE TEMPORARY PRESIDENT OF THE SENATE, THE SPEAKER OF THE ASSEMBLY
AND THE CHAIR OF THE SENATE COMMITTEE ON VETERANS, HOMELAND SECURITY AND

S. 2607--C                         89

MILITARY AFFAIRS, AND THE CHAIR OF THE ASSEMBLY COMMITTEE  ON  VETERANS'
AFFAIRS, BY NO LATER THAN NOVEMBER ELEVENTH, TWO THOUSAND THIRTEEN.
  (B)  BY  NO LATER THAN DECEMBER FIRST, TWO THOUSAND THIRTEEN, PURSUANT
TO THE RULES AND REGULATIONS ISSUED UNDER PARAGRAPH (F) OF THIS SUBDIVI-
SION, THE DIRECTOR SHALL ISSUE, ON BEHALF OF THE DIVISION, A REQUEST FOR
PROPOSALS FOR ANY LOCAL GOVERNMENT DESIRING  TO  HAVE  THE  FIRST  STATE
VETERANS  CEMETERY  LOCATED  WITHIN  THEIR  POLITICAL  SUBDIVISION. SUCH
REQUEST FOR PROPOSALS SHALL BE RETURNABLE TO THE DIVISION  BY  NO  LATER
THAN JANUARY THIRTY-FIRST, TWO THOUSAND FOURTEEN.
  (C)  NO  LATER  THAN  FEBRUARY  FIFTEENTH,  TWO THOUSAND FOURTEEN, THE
DIRECTOR, IN CONSULTATION WITH THE MANAGEMENT BOARD  OF  THE  FIRST  NEW
YORK STATE VETERANS CEMETERY, SHALL SELECT A SITE FOR THE FIRST NEW YORK
STATE  VETERANS  CEMETERY.  IN  SELECTING  SUCH SITE, THE DIRECTOR SHALL
CONSIDER:
  (I) THE INVESTIGATION AND STUDY, AND THE REPORT PRODUCED BY THE  SAME,
PURSUANT TO PARAGRAPH (A) OF THIS SUBDIVISION;
  (II)  THE  SUBMITTED  RESPONSES  TO  THE REQUESTS FOR PROPOSALS ISSUED
PURSUANT TO PARAGRAPH (B) OF THIS SUBDIVISION;
  (III) THE GUIDELINES FOR  RECEIPT  OF  FEDERAL  FUNDING  SPECIFIED  IN
SECTION  2408 OF TITLE 38 OF THE UNITED STATES CODE, PART 39 OF TITLE 38
OF THE CODE OF FEDERAL REGULATIONS, AND ANY OTHER RELEVANT FEDERAL STAT-
UTE OR REGULATION;
  (IV) THE POSSIBILITY OF FUNDING FROM PRIVATE INDIVIDUALS, CORPORATIONS
OR FOUNDATIONS; AND
  (V) ANY OTHER CONSIDERATION THAT WOULD FACILITATE THE SUCCESSFUL OPER-
ATION OF THE FIRST NEW YORK STATE VETERANS CEMETERY.
  (D) NO LATER THAN MARCH FIRST, TWO THOUSAND FOURTEEN, THE DIRECTOR, IN
CONSULTATION WITH THE MANAGEMENT BOARD  OF  THE  FIRST  NEW  YORK  STATE
VETERANS  CEMETERY,  SHALL  MAKE  AN  APPLICATION  FOR  FUNDING FROM THE
GOVERNMENT OF THE UNITED STATES, IN ACCORDANCE WITH THE  GRANT  REQUIRE-
MENTS  SPECIFIED  IN SECTION 2408 OF TITLE 38 OF THE UNITED STATES CODE,
PART 39 OF TITLE 38 OF THE CODE OF FEDERAL REGULATIONS,  AND  ANY  OTHER
RELEVANT FEDERAL STATUTE OR REGULATION, FOR THE PURPOSE OF SEEKING FUNDS
TO  SUPPORT  THE  CONSTRUCTION,  ESTABLISHMENT,  EXPANSION, IMPROVEMENT,
SUPPORT, OPERATION, MAINTENANCE AND THE PROVISION OF PERPETUAL  CARE  OF
NEW YORK STATE'S FIRST VETERAN CEMETERY. SUCH GRANT APPLICATION SHALL BE
BASED  ON A SITE SELECTED PURSUANT TO PARAGRAPH (C) OF THIS SUBDIVISION,
AND SHALL BE CONSISTENT WITH THE GUIDELINES FOR RECEIPT OF FEDERAL FUND-
ING PURSUANT TO THE RELEVANT PROVISIONS OF FEDERAL LAW.
  (E) THE GOVERNOR SHALL APPOINT A MANAGEMENT BOARD FOR  THE  FIRST  NEW
YORK  STATE  VETERANS  CEMETERY  PURSUANT  TO  SUBDIVISION THREE OF THIS
SECTION.  THE GOVERNOR SHALL PRESENT APPOINTMENTS  FOR  CONFIRMATION  BY
THE SENATE FOR THE MANAGEMENT BOARD OF THE FIRST NEW YORK STATE VETERANS
CEMETERY BY NO LATER THAN JANUARY FIFTEENTH, TWO THOUSAND FOURTEEN.
  (F) THE DIRECTOR SHALL PROMULGATE RULES AND REGULATIONS GOVERNING:
  (I)  THE GUIDELINES AND STANDARDS FOR THE CONSTRUCTION, ESTABLISHMENT,
EXPANSION,  IMPROVEMENT,  SUPPORT,  OPERATION,   MAINTENANCE   AND   THE
PROVISION  OF  PERPETUAL CARE FOR A STATE VETERANS CEMETERY. SUCH GUIDE-
LINES SHALL INCLUDE, BUT NOT BE LIMITED TO:
  (1) THE SIZE AND TERRAIN OF THE CEMETERY;
  (2) THE MANAGEMENT AND OPERATION OF THE CEMETERY,  INCLUDING  BUT  NOT
LIMITED TO:
  (A) HOURS OF OPERATION;
  (B) EMPLOYEES, EMPLOYEE RELATIONS, AND EMPLOYEE DUTIES;
  (C) THE CONDUCT AND PRACTICE OF EVENTS, CEREMONIES AND PROGRAMS;

S. 2607--C                         90

  (D)  THE  FILING AND COMPLIANCE OF THE CEMETERY WITH STATE AND FEDERAL
REGULATORS; AND
  (E)  SUCH  OTHER  AND FURTHER OPERATIONAL AND MANAGEMENT PRACTICES AND
PROCEDURES AS THE DIRECTOR SHALL  DETERMINE  TO  BE  NECESSARY  FOR  THE
SUCCESSFUL OPERATION OF A STATE VETERANS CEMETERY.
  (3) THE LAYOUT OF PLOTS;
  (4)  THE  LOCATIONS  OF BUILDING AND INFRASTRUCTURE, INCLUDING BUT NOT
LIMITED TO:
  (A) ELECTRICAL LINES AND FACILITIES;
  (B) WATERLINES, IRRIGATION SYSTEMS, AND DRAINAGE FACILITIES;
  (C) TREES, FLOWERS AND OTHER PLANTINGS;
  (D) NON GRAVESITE MEMORIALS, GRAVESITE  MEMORIALS,  MAUSOLEUMS,  HEAD-
STONES,  GRAVE  MARKERS,  INDOOR  INTERNMENT  FACILITIES,  SIGNAGE, FLAG
POLES, AND OTHER MEMORIAL GATHERING SPACES OR INFRASTRUCTURE;
  (E) ROADWAYS, PEDESTRIAN PATHWAYS, PARKING SITES, CURBS AND CURB CUTS;
  (F) PONDS, LAKES AND OTHER WATER SITES;
  (G) RETAINING WALLS, GATES, FENCES, SECURITY SYSTEMS OR OTHER  DEVICES
FOR CEMETERY PROTECTION; AND
  (H)  ANY  OTHER  BUILDINGS, STRUCTURES OR INFRASTRUCTURE NECESSARY FOR
THE SAFE, EFFICIENT AND EFFECTIVE OPERATION OF THE CEMETERY;
  (5) THE QUALIFICATIONS FOR INTERNMENT, CONSISTENT WITH THE  PROVISIONS
OF STATE AND FEDERAL LAW AND ANY REQUIREMENTS PURSUANT TO THE RECEIPT OF
FEDERAL, STATE, LOCAL OR PRIVATE FUNDS;
  (6) THE LOCATION AND PLACEMENT OF INTERNMENTS;
  (7)  CONSISTENT  WITH  THE PROVISIONS OF STATE AND FEDERAL LAW AND ANY
REQUIREMENTS PURSUANT TO THE RECEIPT OF FEDERAL, STATE, LOCAL OR PRIVATE
FUNDS, THE FINANCIAL MANAGEMENT  OF  THE  CEMETERY,  INCLUDING  BUT  NOT
LIMITED TO:
  (A)  THE PROCEDURES FOR THE PROTECTION AND IMPLEMENTATION OF THE CEME-
TERY'S ANNUAL BUDGET;
  (B) THE SEEKING, COLLECTING,  DEPOSIT  AND  EXPENDITURE  OF  OPERATING
FUNDS PURSUANT TO THE CEMETERY'S BUDGET;
  (C)  THE SEEKING, COLLECTING, DEPOSIT AND EXPENDITURE OF CAPITAL FUNDS
PURSUANT TO THE CEMETERY'S CAPITAL PLAN;
  (D) THE SEEKING, COLLECTING,  DEPOSIT  AND  EXPENDITURE  OF  EMERGENCY
FUNDS TO ADDRESS AN UNEXPECTED EVENT;
  (E)  THE  ASSESSMENT,  CHARGING,  COLLECTION  AND  DEPOSIT OF FEES AND
CHARGES;
  (F) THE MANAGEMENT OF CEMETERY FINANCES, BOTH CURRENT AND FUTURE, WITH
RESPECT TO INVESTMENTS; AND
  (G) SUCH OTHER AND FURTHER PROCEDURES AND  ACTIVITIES  CONCERNING  THE
FINANCIAL MANAGEMENT OF THE CEMETERY;
  (8)  THE  PROVISION  OF PERPETUAL CARE FOR THE CEMETERY, INCLUDING BUT
NOT LIMITED TO:
  (A) THE FREQUENCY, STANDARDS AND METHODS FOR  THE  BEAUTIFICATION  AND
MAINTENANCE  OF  GROUNDS,  MEMORIALS,  GRAVESITES, BUILDINGS, CEREMONIAL
SITES, OR OTHER LOCATIONS WITHIN, OR UPON THE CARTILAGE OF THE CEMETERY;
  (B) THE FREQUENCY, STANDARDS AND METHODS FOR THE PROVISION  OF  FLAGS,
PATRIOTIC  AND  MILITARY  SYMBOLS,  AND  OTHER  HONORARY  ITEMS, AT EACH
GRAVESITE AND THROUGHOUT THE CEMETERY; AND
  (C) SUCH OTHER AND FURTHER STANDARDS AS ARE NECESSARY  TO  ASSURE  THE
PROPER  PERPETUAL CARE OF THE CEMETERY IN A MANNER BEFITTING THE HIGHEST
LEVEL OF HONOR AND RESPECT DESERVING TO THOSE VETERANS AND  THEIR  FAMI-
LIES INTERRED IN THE CEMETERY; AND
  (9) GUIDELINES AND STANDARDS FOR THE PROCUREMENT OF LAND FOR THE CEME-
TERY  PROVIDING  THAT  THE STATE VETERANS CEMETERY, AND ALL THE PROPERTY

S. 2607--C                         91

UPON WHICH IT RESIDES SHALL BE OWNED IN FEE SIMPLE ABSOLUTE BY THE STATE
OF NEW YORK, EXCEPT THAT UPON ELECTION OF THE DIRECTOR, IN  CONSULTATION
WITH  THE MANAGEMENT BOARD, MAY PERMIT THE INDIVIDUAL BURIAL PLOTS TO BE
OWNED  BY  THE  VETERAN  OR  VETERAN FAMILY MEMBER, OR THEIR DESCENDENTS
AUTHORIZED TO BE INTERRED TO IN SUCH PLOTS;
  (10) GUIDELINES AND STANDARDS FOR THE PRACTICES AND PROCEDURES FOR THE
CONSTRUCTION AND ESTABLISHMENT OF A STATE VETERANS  CEMETERY,  INCLUDING
CONTRACTING  AND  PURCHASING  FOR  CONSTRUCTION  SERVICES,  PROFESSIONAL
SERVICES, LEGAL SERVICES, ARCHITECTURAL SERVICES,  CONSULTING  SERVICES,
AS  WELL  AS THE PROCUREMENT OF MATERIALS, ALL CONSISTENT WITH THE RELE-
VANT PROVISIONS OF FEDERAL, STATE AND LOCAL LAW, THE REGULATIONS PROMUL-
GATED THEREUNDER, AND THE REQUIREMENTS CONTAINED IN THE  GRANTS  AWARDED
OR  PURSUED  FROM THE FEDERAL GOVERNMENT, OR ANY SOURCE OF PRIVATE FUND-
ING;
  (11) GUIDELINES AND STANDARDS FOR THE PRACTICES AND PROCEDURES FOR THE
EXPANSION AND  IMPROVEMENT  OF  A  STATE  VETERANS  CEMETERY,  INCLUDING
CONTRACTING  AND  PURCHASING  FOR  CONSTRUCTION  SERVICES,  PROFESSIONAL
SERVICES, LEGAL SERVICES, ARCHITECTURAL SERVICES,  CONSULTING  SERVICES,
AS  WELL  AS THE PROCUREMENT OF MATERIALS, ALL CONSISTENT WITH THE RELE-
VANT PROVISIONS OF FEDERAL, STATE AND LOCAL LAW, THE REGULATIONS PROMUL-
GATED THEREUNDER, AND THE REQUIREMENTS CONTAINED IN THE  GRANTS  AWARDED
OR  PURSUED  FROM THE FEDERAL GOVERNMENT, OR ANY SOURCE OF PRIVATE FUND-
ING;
  (12) ANY OTHER GUIDELINES AND  STANDARDS  THAT  WOULD  FACILITATE  THE
SUCCESSFUL CONSTRUCTION, ESTABLISHMENT, EXPANSION, IMPROVEMENT, SUPPORT,
OPERATION, MAINTENANCE AND THE PROVISION OF PERPETUAL CARE FOR THE STATE
VETERANS CEMETERY;
  (II)  GUIDELINES  AND  STANDARDS FOR THE REQUEST FOR PROPOSALS FOR ANY
LOCAL GOVERNMENT DESIRING TO HAVE  THE  FIRST  STATE  VETERANS  CEMETERY
LOCATED WITHIN THEIR POLITICAL SUBDIVISION, PURSUANT TO PARAGRAPH (B) OF
THIS SUBDIVISION, INCLUDING, BUT NOT LIMITED TO:
  (1)  THE FORM, REQUIREMENTS AND STANDARDS REQUIRED FOR SUBMISSION OF A
RESPONSE TO THE REQUEST FOR PROPOSALS;
  (2) THE REQUIREMENT, IF THE DIRECTOR SO ELECTS, THAT A RESPONSE  SHALL
REQUIRE  THE LOCAL GOVERNMENT TO AGREE TO CONTRACT WITH THE STATE OF NEW
YORK THAT ALL COSTS FOR CONSTRUCTION, ESTABLISHMENT, EXPANSION, IMPROVE-
MENT, SUPPORT, OPERATION, MAINTENANCE AND  THE  PROVISION  OF  PERPETUAL
CARE  OF  THE VETERANS CEMETERY SHALL BE THE SOLE RESPONSIBILITY OF, AND
PAID BY THE LOCAL GOVERNMENT, AND THAT TO THE EXTENT SUCH COSTS ARE  NOT
PAID  OR REIMBURSED BY THE GOVERNMENT OF THE UNITED STATES, OR A PRIVATE
INDIVIDUAL, CORPORATION OR FOUNDATION;
  (3) THE REQUIREMENT THAT THE LOCAL GOVERNMENT  WILL  COMPLY  WITH  ALL
STATE  AND FEDERAL STATUTES AND REGULATIONS CONCERNING THE CONSTRUCTION,
ESTABLISHMENT, EXPANSION, IMPROVEMENT, SUPPORT,  OPERATION,  MAINTENANCE
AND  THE PROVISION OF PERPETUAL CARE OF THE STATE VETERANS CEMETERY, AND
SHALL SATISFY ANY AND ALL APPLICABLE STATE  AND  FEDERAL  STANDARDS  AND
REQUIREMENTS FOR THE PERPETUAL CARE OF THE STATE VETERANS CEMETERY;
  (4)  THAT THE STATE VETERANS CEMETERY, AND ALL THE PROPERTY UPON WHICH
IT RESIDES SHALL BE OWNED IN FEE SIMPLE ABSOLUTE BY  THE  STATE  OF  NEW
YORK,  EXCEPT  THAT  UPON ELECTION OF THE DIRECTOR, IN CONSULTATION WITH
THE MANAGEMENT BOARD, MAY PERMIT THE INDIVIDUAL BURIAL PLOTS TO BE OWNED
BY THE VETERAN OR VETERAN FAMILY MEMBER, OR THEIR DESCENDANTS AUTHORIZED
TO BE INTERRED TO IN SUCH PLOTS;
  (5) THAT ALL LANDS UPON WHICH SUCH CEMETERY IS CONSTRUCTED AND  ESTAB-
LISHED  SHALL  BE  USED SOLELY FOR STATE VETERANS CEMETERY PURPOSES, AND

S. 2607--C                         92

FOR THE PURPOSE OF PROVIDING THE HONOR AND REMEMBRANCE OF  VETERANS  AND
THEIR SERVICE THOROUGH CEREMONIES AND PROGRAMS;
  (6)  THE REQUIREMENT, IF THE DIRECTOR SO ELECTS, THAT A RESPONSE SHALL
REQUIRE THE LOCAL GOVERNMENT TO AGREE TO  AUTHORIZE  THE  STATE  OF  NEW
YORK,  IN THE EVENT THAT THE LOCAL GOVERNMENT FAILS TO PERFORM ITS OBLI-
GATIONS UNDER THE CONTRACT WITH THE STATE OF NEW YORK,  THAT  THE  COMP-
TROLLER  MAY  RECOUP ANY UNPAID AMOUNTS OR ANY AMOUNTS NECESSARY FOR THE
STATE TO ASSUME THE OBLIGATIONS WHICH THE  LOCAL  GOVERNMENT  FAILED  TO
PERFORM,  AND THE COMPTROLLER SHALL, TO THE EXTENT NOT OTHERWISE PROHIB-
ITED BY LAW, WITHHOLD SUCH AMOUNT FROM ANY STATE  AID  OR  OTHER  AMOUNT
PAYABLE TO SUCH LOCAL GOVERNMENT; AND
  (7)  SUCH  OTHER  AND  FURTHER  REQUIREMENTS  AS THE DIRECTOR MAY DEEM
PRUDENT IN THE FACILITATION OF THE SUCCESSFUL CITING AND OPERATION OF  A
STATE VETERANS CEMETERY IN THE JURISDICTION OF THE LOCAL GOVERNMENT; AND
  (III) SUCH OTHER AND FURTHER GUIDELINES AND STANDARDS AS ARE NECESSARY
FOR  THE SUCCESSFUL CONSTRUCTION, ESTABLISHMENT, EXPANSION, IMPROVEMENT,
SUPPORT, OPERATION, MAINTENANCE AND THE PROVISION OF PERPETUAL CARE  FOR
A STATE VETERANS CEMETERY;
  (G)  UPON  THE ACCUMULATION OF SUFFICIENT FUNDS IN THE VETERANS REMEM-
BRANCE AND CEMETERY MAINTENANCE AND OPERATION FUND, TO PROVIDE  FOR  THE
DESIGN, CONSTRUCTION AND ESTABLISHMENT OF A STATE VETERANS CEMETERY, AND
FOR  THE  SUPPORT, OPERATION, MAINTENANCE AND THE PROVISION OF PERPETUAL
CARE OF SUCH CEMETERY FOR A PERIOD OF NOT LESS THAN TEN YEARS, ACCORDING
TO ESTIMATES IN THE BUDGET ADOPTED BY THE MANAGEMENT BOARD  PURSUANT  TO
THE  GUIDELINES  AND  PROCEDURES  ESTABLISHED  IN  PARAGRAPH (F) OF THIS
SUBDIVISION, THE DIRECTOR, UPON CONSULTATION WITH THE MANAGEMENT  BOARD,
SHALL  COMMENCE  THE  PROCESS  OF  CONSTRUCTION AND ESTABLISHMENT OF THE
FIRST STATE VETERANS CEMETERY. SUCH PROCESS SHALL BE CONSISTENT WITH THE
RELEVANT PROVISIONS OF LOCAL, STATE AND FEDERAL LAW, AND THE  RULES  AND
REGULATIONS ESTABLISHED PURSUANT TO PARAGRAPH (F) OF THIS SUBDIVISION.
  3.  MANAGEMENT  BOARDS  OF NEW YORK STATE VETERANS CEMETERIES. (A) FOR
EACH NEW YORK STATE VETERANS CEMETERY THERE SHALL BE A MANAGEMENT BOARD.
EACH SUCH MANAGEMENT BOARD SHALL CONSIST OF SEVEN MEMBERS, INCLUDING THE
DIRECTOR OF THE DIVISION WHO SHALL SERVE  AS  CHAIR,  AND  SIX  MEMBERS,
APPOINTED BY THE GOVERNOR UPON ADVICE AND CONSENT OF THE SENATE. OF SUCH
SIX  MEMBERS, NOT LESS THAN FIVE SHALL BE A VETERAN OF THE UNITED STATES
ARMY, THE UNITED STATES NAVY, THE UNITED STATES AIR  FORCE,  THE  UNITED
STATES  MARINES,  THE  NEW  YORK  ARMY  NATIONAL GUARD, THE NEW YORK AIR
NATIONAL GUARD, THE NEW YORK NAVAL MILITIA, OR A MEMBER WHO  HAS  SERVED
IN  A  THEATER  OF COMBAT OPERATIONS OF THE UNITED STATES COAST GUARD OR
THE UNITED STATES MERCHANT MARINES.
  (B) THE MANAGEMENT BOARD SHALL ADVISE, BY MAJORITY VOTE, THE  DIRECTOR
ON   ISSUES   CONCERNING  THE  CONSTRUCTION,  ESTABLISHMENT,  EXPANSION,
IMPROVEMENT,  SUPPORT,  OPERATION,  MAINTENANCE  AND  THE  PROVISION  OF
PERPETUAL  CARE  FOR THE VETERANS CEMETERY, INCLUDING BUT NOT LIMITED TO
ISSUES OF FINANCIAL  CONCERN,  EMPLOYMENT  RELATIONS,  CEMETERY  POLICY,
CEMETERY  EVENTS  AND PROGRAMS, AND SUCH OTHER AND FURTHER ISSUES AS THE
BOARD AND DIRECTOR SHALL DEEM IMPORTANT.
  4. ADDITIONAL STATE VETERANS CEMETERIES. (A) NOT LATER THAN TEN  YEARS
AFTER  THE  CONSTRUCTION  AND  ESTABLISHMENT OF THE FIRST NEW YORK STATE
VETERANS CEMETERY, AND EVERY TEN  YEARS  THEREAFTER,  THE  DIVISION,  IN
COOPERATION WITH THE UNITED STATES DEPARTMENT OF VETERANS AFFAIRS, SHALL
CONDUCT  AN INVESTIGATION AND STUDY ON THE ISSUE OF THE CONSTRUCTION AND
ESTABLISHMENT OF ADDITIONAL NEW YORK  STATE  VETERANS  CEMETERIES.  SUCH
INVESTIGATION AND STUDY SHALL CONSIDER, BUT NOT BE LIMITED TO, THE STUDY
PARAMETERS  ESTABLISHED  PURSUANT TO PARAGRAPH (A) OF SUBDIVISION TWO OF

S. 2607--C                         93

THIS SECTION. A REPORT OF THE INVESTIGATION AND  STUDY  REQUIRED  TO  BE
CONDUCTED  PURSUANT TO THIS SUBDIVISION SHALL BE DELIVERED TO THE GOVER-
NOR, THE TEMPORARY PRESIDENT OF THE SENATE, THE SPEAKER OF THE  ASSEMBLY
AND THE CHAIR OF THE SENATE COMMITTEE ON VETERANS, HOMELAND SECURITY AND
MILITARY  AFFAIRS,  AND THE CHAIR OF THE ASSEMBLY COMMITTEE ON VETERANS'
AFFAIRS, BY NO LATER THAN NINETY DAYS AFTER THE DIVISION  HAS  COMMENCED
THE CONDUCT OF THE INVESTIGATION AND STUDY;
  (B) THE REPORT OF THE INVESTIGATION AND STUDY REQUIRED TO BE CONDUCTED
PURSUANT TO THIS SUBDIVISION SHALL PROVIDE A DETERMINATION BY THE DIREC-
TOR  AS  TO WHETHER THE STATE SHOULD CONSTRUCT AND ESTABLISH ONE OR MORE
ADDITIONAL VETERANS CEMETERIES, AND SHALL STATE THE REASONING AND  BASIS
FOR SUCH DETERMINATION; AND
  (C)  THE  DIVISION MAY, AT THE DISCRETION OF THE DIRECTOR, AT ANY TIME
AFTER FIVE YEARS FROM THE COMPLETION OF CONSTRUCTION OF THE MOST RECENT-
LY CONSTRUCTED AND ESTABLISHED STATE VETERANS CEMETERY,  IN  COOPERATION
WITH THE UNITED STATES DEPARTMENT OF VETERANS AFFAIRS, CONDUCT AN INVES-
TIGATION AND STUDY ON THE ISSUE OF THE CONSTRUCTION AND ESTABLISHMENT OF
ADDITIONAL  NEW YORK STATE VETERANS CEMETERIES. A REPORT OF THE INVESTI-
GATION AND STUDY REQUIRED TO BE CONDUCTED  SHALL  BE  DELIVERED  TO  THE
GOVERNOR,  THE  TEMPORARY  PRESIDENT  OF  THE SENATE, THE SPEAKER OF THE
ASSEMBLY AND THE CHAIR OF THE SENATE  COMMITTEE  ON  VETERANS,  HOMELAND
SECURITY  AND  MILITARY AFFAIRS, AND THE CHAIR OF THE ASSEMBLY COMMITTEE
ON VETERANS' AFFAIRS, BY NO LATER THAN NINETY DAYS  AFTER  THE  DIVISION
HAS COMMENCED THE CONDUCT OF THE INVESTIGATION AND STUDY.
  (D) IF THE DIRECTOR, PURSUANT TO THE INVESTIGATION AND STUDY CONDUCTED
PURSUANT  TO  THIS  SUBDIVISION, DETERMINES THAT THERE SHALL BE AN ADDI-
TIONAL STATE VETERANS CEMETERY IN NEW YORK  STATE,  THE  DIRECTOR  SHALL
PROVIDE  FOR  THE  CONSTRUCTION  AND  ESTABLISHMENT OF SUCH NEW VETERANS
CEMETERY  PURSUANT  TO  THE  SAME  GUIDELINES  AND  STANDARDS  FOR   THE
CONSTRICTION  AND  ESTABLISHMENT  OF  THE  FIRST STATE VETERANS CEMETERY
UNDER THIS SECTION.
  5. EXPANSION AND IMPROVEMENT OF EXISTING  STATE  VETERANS  CEMETERIES.
THE  DIRECTOR,  IN  CONSULTATION  WITH  THE  MANAGEMENT BOARD OF A STATE
VETERANS CEMETERY, MAY PROVIDE FOR THE EXPANSION AND/OR  IMPROVEMENT  OF
THE  CEMETERY.  SUCH  EXPANSION  AND  IMPROVEMENT  SHALL BE CONDUCTED IN
ACCORDANCE WITH THE RULES AND REGULATIONS OF THE  DIVISION  UNDER  PARA-
GRAPH (F) OF SUBDIVISION TWO OF THIS SECTION.
  S 6. This act shall take effect immediately.

                                 PART T

  Section  1.  Subdivision  2  of  section 6302 of the education law, as
amended by chapter 295 of the laws  of  1995,  is  amended  to  read  as
follows:
  2.  Pursuant  to  section sixty-three hundred ten of this article, any
eligible county, city or school district acting through its local legis-
lative body or board, may by local law or resolution,  and  pursuant  to
the  master  plan,  standards  and  regulations  prescribed by the state
university trustees, and with the approval  of  said  trustees,  combine
with one or more contiguous counties, cities or school districts, or any
combination  thereof,  to  constitute a community college region for the
purpose of operating, as local sponsor, an  existing  community  college
[which is currently sponsored by a city or school district] other than A
COMMUNITY  COLLEGE CURRENTLY SPONSORED BY a school district located in a
city with a population of one million or more.

S. 2607--C                         94

  S 2. Section 6310 of the education law is amended by adding  five  new
subdivisions  18, 19, 20, 21 and 22 to read as follows:
  18.  THE  SPONSOR OF ANY EXISTING COMMUNITY COLLEGE FOR WHICH SPONSOR-
SHIP IS TRANSFERRED TO A COMMUNITY COLLEGE REGION MAY TERMINATE ITS SOLE
SPONSORSHIP OF SUCH COMMUNITY COLLEGE AND TRANSFER  THE  SPONSORSHIP  OF
THE COMMUNITY COLLEGE BY RESOLUTION IN ACCORDANCE WITH THE PROVISIONS OF
THIS  SECTION,  THIS ARTICLE, THE MASTER PLAN, STANDARDS AND REGULATIONS
PRESCRIBED BY THE STATE UNIVERSITY TRUSTEES, AND WITH  THE  APPROVAL  OF
SAID TRUSTEES; AND THE BOARD OF TRUSTEES OF THE COMMUNITY COLLEGE REGION
ESTABLISHED TO SPONSOR SUCH COMMUNITY COLLEGE MAY ACCEPT THE TRANSFER OF
SUCH COLLEGE BY RESOLUTION.
  19.  NOTWITHSTANDING  ANY INCONSISTENT PROVISION OF ANY OTHER LAW, THE
SPONSOR OF ANY EXISTING  COMMUNITY  COLLEGE  FOR  WHICH  SPONSORSHIP  IS
TRANSFERRED TO A COMMUNITY COLLEGE REGION MAY GRANT, TRANSFER, OR CONVEY
TO  THE  COMMUNITY  COLLEGE REGION ESTABLISHED TO SPONSOR SUCH COMMUNITY
COLLEGE FOR AN AGREED AMOUNT OF CONSIDERATION, AND THE COMMUNITY COLLEGE
REGION MAY ACCEPT, RECEIVE, AND HOLD ANY REAL OR  PERSONAL  PROPERTY  OR
ASSIGNED  ASSETS,  OR  ANY INTEREST THEREIN, CONSISTING OF THE COMMUNITY
COLLEGE.
  20. THE SPONSOR OF ANY EXISTING COMMUNITY COLLEGE FOR  WHICH  SPONSOR-
SHIP  IS  TRANSFERRED TO A COMMUNITY COLLEGE REGION IS HEREBY AUTHORIZED
TO PROVIDE BY AGREEMENT  WITH  THE  COMMUNITY  COLLEGE  REGION  FOR  THE
PAYMENT  OF  ANY  LIABILITIES  INCURRED  BY  IT  FOR  COMMUNITY  COLLEGE
PURPOSES, INCLUDING ALL DEBTS AND OBLIGATIONS OF EVERY KIND,  INCLUDING,
BUT NOT LIMITED TO, ANY OBLIGATIONS OUTSTANDING PRIOR TO THE DATE OF THE
TRANSFER  OF SPONSORSHIP OF THE COLLEGE TO THE COMMUNITY COLLEGE REGION.
SUBSEQUENT TO THE DATE OF TRANSFER OF SPONSORSHIP,  AND  NOTWITHSTANDING
ANY  INCONSISTENT  PROVISION  OF  ANY  OTHER  LAW, THE COMMUNITY COLLEGE
REGION SHALL HAVE THE POWER TO BORROW MONEY IN ANTICIPATION  OF  REVENUE
DUE TO THE COMMUNITY COLLEGE REGION AND SHALL, SOLELY FOR THE PURPOSE OF
CONTRACTING  INDEBTEDNESS  UNDER SECTION 25.00 OF THE LOCAL FINANCE LAW,
BE DEEMED A MUNICIPALITY. FOR THE PURPOSES OF THE LOCAL FINANCE LAW, THE
BOARD OF TRUSTEES OF THE COMMUNITY COLLEGE REGION SHALL BE  THE  FINANCE
BOARD,  ITS  CHAIRMAN  SHALL BE ITS CHIEF FISCAL OFFICER, AND ITS FISCAL
YEAR SHALL BE AS SET FORTH IN THIS SECTION; PROVIDED  FURTHER  THAT  THE
PROVISIONS  OF SECTION 162.00 OF THE LOCAL FINANCE LAW SHALL BE APPLICA-
BLE TO REVENUE ANTICIPATION NOTES ISSUED UNDER THIS SECTION.
  21. THE SPONSOR OF ANY EXISTING COMMUNITY COLLEGE FOR  WHICH  SPONSOR-
SHIP  IS  TRANSFERRED  TO  A  COMMUNITY COLLEGE REGION AND THE COMMUNITY
COLLEGE REGION SHALL MAKE PROVISION FOR THE TRANSFER OF ALL PERSONNEL OF
THE COMMUNITY COLLEGE TO THE COMMUNITY COLLEGE  REGION.  NOTWITHSTANDING
ANY  OTHER  PROVISION  OF LAW, SUCH EMPLOYEES SO TRANSFERRED SHALL IMME-
DIATELY BECOME EMPLOYEES OF  THE  COMMUNITY  COLLEGE  REGION  AND  SHALL
RETAIN  ALL  RIGHTS  AND  PRIVILEGES  ACCRUED  AT THE COMMUNITY COLLEGE,
INCLUDING, BUT NOT LIMITED TO, TENURE, PENSION, EMPLOYMENT  STATUS,  AND
SENIORITY. FOR SALARY, SICK LEAVE, AND OTHER PURPOSES AS APPROPRIATE, AN
EMPLOYEE'S LENGTH OF SERVICE WITH THE COMMUNITY COLLEGE SHALL BE CREDIT-
ED  AS  EMPLOYMENT TIME WITH THE REGIONAL COMMUNITY COLLEGE. ALL COLLEC-
TIVE BARGAINING AGREEMENTS NEGOTIATED PURSUANT TO  ARTICLE  FOURTEEN  OF
THE  CIVIL SERVICE LAW AND THE TERMS AND CONDITIONS OF EMPLOYMENT OF THE
THEN CURRENT EMPLOYEES OF THE COMMUNITY COLLEGE FOR WHICH SPONSORSHIP IS
BEING TRANSFERRED TO A COMMUNITY  COLLEGE  REGION,  INCLUDING  ANY  PAST
PRACTICES  THAT  CONSTITUTE  TERMS  AND  CONDITIONS OF EMPLOYMENT, SHALL
REMAIN IN EFFECT UNTIL MODIFIED PURSUANT  TO  ARTICLE  FOURTEEN  OF  THE
CIVIL SERVICE LAW. ALL NEGOTIATING UNITS OF SUCH EMPLOYEES SHALL CONTIN-
UE IN ACCORDANCE WITH ARTICLE FOURTEEN OF THE CIVIL SERVICE LAW, AND ALL

S. 2607--C                         95

CERTIFIED  EMPLOYEE  ORGANIZATIONS SHALL CONTINUE TO REPRESENT EMPLOYEES
IN THE COMMUNITY COLLEGE REGION UNTIL MODIFIED PURSUANT TO ARTICLE FOUR-
TEEN OF THE CIVIL SERVICE LAW.  THIS  SECTION  SHALL  NOT  DIMINISH  ANY
CURRENT  RIGHTS OR BENEFITS OF NOR CONFER ANY ADDITIONAL RIGHTS OR BENE-
FITS TO ANY EMPLOYEE OR EMPLOYEE ORGANIZATION.
  22. NOTWITHSTANDING ANY INCONSISTENT PROVISION OF ANY OTHER  LAW,  THE
SPONSOR OF AN EXISTING COMMUNITY COLLEGE FOR WHICH SPONSORSHIP IS TRANS-
FERRED  TO A COMMUNITY COLLEGE REGION, THE COMMUNITY COLLEGE, THE COMMU-
NITY COLLEGE REGION, OR ANY COUNTY ELIGIBLE TO APPOINT  MEMBERS  TO  THE
COMMUNITY  COLLEGE REGIONAL BOARD OF TRUSTEES ARE AUTHORIZED TO TAKE ALL
ACTIONS NECESSARY OR PROPER WITH  RESPECT  TO  THE  ESTABLISHMENT  OF  A
COMMUNITY  COLLEGE  REGION OR THE TRANSFER OF SPONSORSHIP OF A COMMUNITY
COLLEGE TO A COMMUNITY COLLEGE REGION, INCLUDING  THE  APPROVAL  OF  ANY
BUDGET  OR TAX, THE APPROVAL OF AND THE ISSUANCE OF REVENUE ANTICIPATION
NOTES AND OTHER OBLIGATIONS, ALL CONTRACTS, PURCHASES,  AGREEMENTS,  AND
APPOINTMENTS  MADE  AND ENTERED INTO BY SUCH SPONSOR, COLLEGE REGION AND
COUNTIES ON BEHALF OF THE COMMUNITY COLLEGE, ALL  CONTRACTS,  PURCHASES,
AGREEMENTS,  AND  APPOINTMENTS  MADE  AND  ENTERED INTO BY THE COMMUNITY
COLLEGE, ALL ACTIONS TAKEN BY ITS SPONSOR, AND SUCH COUNTIES  IN  INCUR-
RING  ANY  OBLIGATION  TO  FINANCE  ANY  EXPENDITURES  OF SUCH COMMUNITY
COLLEGE, THE ACTIONS OF  SUCH  SPONSOR  IN  TRANSFERRING  TITLE  OF  ALL
COLLEGE  PROPERTIES  TO  THE  COMMUNITY  COLLEGE REGION, AND ANY AND ALL
ACTIONS TAKEN BY SUCH COUNTIES,  SPONSOR,  AND  COMMUNITY  COLLEGE  WITH
RESPECT  TO  THE  AFORESAID  MATTERS  FOR  ANY  PURPOSES RELATING TO THE
PROVISION OF EDUCATIONAL FACILITIES AND SERVICES FOR THE STUDENTS OF THE
COMMUNITY COLLEGE.
  S 3. If any clause, sentence, subdivision, paragraph, section or  part
of  this  act  be  adjudged by any court of competent jurisdiction to be
invalid, such judgment  shall  not  affect,  impair  or  invalidate  the
remainder thereof, but shall be confined in its operation to the clause,
sentence,  subdivision,  paragraph,  section  or  part  thereof directly
involved in the controversy in  which  such  judgment  shall  have  been
rendered.
  S 4. This act shall take effect immediately.

                                 PART U

  Section  1. The private housing finance law is amended by adding a new
article 28 to read as follows:
                               ARTICLE 28
            RURAL AND URBAN COMMUNITY INVESTMENT FUND PROGRAM
SECTION 1230. STATEMENT OF LEGISLATIVE FINDINGS AND PURPOSE.
        1231. DEFINITIONS.
        1232. RURAL AND URBAN COMMUNITY INVESTMENT FUND.
  S 1230. STATEMENT OF LEGISLATIVE FINDINGS AND PURPOSE. THE LEGISLATURE
FINDS AND DECLARES THAT THERE EXISTS IN NEW YORK STATE A SERIOUS NEED TO
ASSIST COMMUNITIES WITH THE CREATION AND IMPROVEMENT OF AFFORDABLE HOUS-
ING, AND THE COMMERCIAL, RETAIL  AND  COMMUNITY  FACILITIES  RELATED  TO
MIXED   USE   AFFORDABLE   RESIDENTIAL  DEVELOPMENTS.     LOCALLY  BASED
NOT-FOR-PROFIT ORGANIZATIONS PLAY A SIGNIFICANT ROLE IN  ADDRESSING  THE
UNIQUE  CHARACTERISTICS  OF  RURAL AND URBAN COMMUNITIES.  PARTNERSHIPS,
ALLIANCES AND COLLABORATIONS WITH  CORPORATE  ENTITIES,  TO  THE  EXTENT
PRACTICABLE,  WILL FOSTER CROSS-SECTOR COLLABORATION IN ORDER TO BUILD A
DIVERSE COMMUNITY SUPPORT SYSTEM. THE LEGISLATURE FINDS  THAT,  IN  BOTH
RURAL  AND  URBAN AREAS OF THE STATE, A PROGRAM SHOULD BE ESTABLISHED TO
FUND THE PRESERVATION AND/OR  IMPROVEMENT  OF  AFFORDABLE  HOUSING,  THE

S. 2607--C                         96

CREATION,  PRESERVATION  OR  IMPROVEMENT  OF  THE  COMMERCIAL, RETAIL OR
COMMUNITY FACILITIES  COMPONENT  OF  MIXED  USE  AFFORDABLE  RESIDENTIAL
DEVELOPMENTS.
  S  1231.  DEFINITIONS.  1.  "CORPORATION" SHALL MEAN THE HOUSING TRUST
FUND CORPORATION ESTABLISHED IN SECTION FORTY-FIVE-A OF THIS CHAPTER.
  2. "RURAL AND URBAN COMMUNITY  INVESTMENT  FUND  PROGRAM"  SHALL  MEAN
ACTIVITIES  BY  AN  ELIGIBLE  APPLICANT FOR A SPECIFIC WORK OR SERIES OF
WORKS FOR THE PRESERVATION OR IMPROVEMENT OF AFFORDABLE HOUSING, OR  THE
CREATION,  PRESERVATION  OR  IMPROVEMENT  OF  THE  COMMERCIAL, RETAIL OR
COMMUNITY FACILITIES  COMPONENT  OF  MIXED  USE  AFFORDABLE  RESIDENTIAL
DEVELOPMENTS, IN RURAL AND URBAN AREAS OF THE STATE.
   3.  "RURAL  AREA  OF THE STATE" SHALL MEAN CITIES, TOWNS AND VILLAGES
HAVING A POPULATION OF LESS THAN TWENTY-FIVE THOUSAND.
  4. "URBAN AREA OF THE STATE" SHALL MEAN ANY UNIT OF  LOCAL  GOVERNMENT
WITHIN THE STATE WITH A POPULATION OF MORE THAN TWENTY THOUSAND PERSONS.
  5.  "ELIGIBLE APPLICANT" SHALL INCLUDE A NOT-FOR-PROFIT CORPORATION OR
CHARITABLE ORGANIZATION, OR A WHOLLY-OWNED SUBSIDIARY OF SUCH  A  CORPO-
RATION  OR  ORGANIZATION,  OR  A  PRIVATE FOR-PROFIT DEVELOPER SUCH AS A
PERSON, CORPORATION, PARTNERSHIP OR LIMITED LIABILITY COMPANY.
  6. "AFFORDABLE  RESIDENTIAL  DEVELOPMENT"  SHALL  INCLUDE  RESIDENTIAL
UNITS  THAT  ARE  RENT  RESTRICTED  AND OCCUPIED BY PERSONS AND FAMILIES
WHOSE INCOME DOES NOT EXCEED NINETY PERCENT OF AREA  MEDIAN  INCOME  FOR
THE  COUNTY  IN  WHICH  A PROJECT IS LOCATED AS CALCULATED BY THE UNITED
STATES DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT.
  S 1232. RURAL AND URBAN COMMUNITY INVESTMENT FUND. 1.  WITHIN  AMOUNTS
APPROPRIATED  THEREFOR, THE HOUSING TRUST FUND CORPORATION SHALL DEVELOP
AND ADMINISTER A RURAL AND URBAN COMMUNITY INVESTMENT FUND PROGRAM WHICH
SHALL PROVIDE ASSISTANCE IN THE FORM OF PAYMENTS, GRANTS AND  LOANS  FOR
REASONABLE  AND NECESSARY EXPENSES, TO AN ELIGIBLE APPLICANT FOR PRESER-
VATION OR IMPROVEMENT OF AFFORDABLE HOUSING, CREATION,  PRESERVATION  OR
IMPROVEMENT  OF THE COMMERCIAL, RETAIL OR COMMUNITY FACILITIES COMPONENT
OF MIXED USE AFFORDABLE RESIDENTIAL DEVELOPMENTS,  IN  RURAL  AND  URBAN
AREAS OF THE STATE.
  2.  PROGRAM CRITERIA. THE CORPORATION SHALL DEVELOP PROCEDURES, CRITE-
RIA AND REQUIREMENTS RELATED TO THE APPLICATION AND  AWARD  OF  PROJECTS
PURSUANT  TO  THIS  SECTION  WHICH  SHALL INCLUDE:   ELIGIBILITY, MARKET
DEMAND, FEASIBILITY AND  FUNDING  CRITERIA;  THE  FUNDING  DETERMINATION
PROCESS;  SUPERVISION  AND EVALUATION OF CONTRACTING APPLICANTS; REPORT-
ING, BUDGETING AND RECORD-KEEPING REQUIREMENTS; PROVISIONS FOR MODIFICA-
TION AND TERMINATION OF CONTRACTS; AND SUCH OTHER MATTERS NOT INCONSIST-
ENT WITH THE PURPOSES AND PROVISIONS OF THIS ARTICLE AS THE  CORPORATION
SHALL DEEM NECESSARY OR APPROPRIATE.
  3.  FUND ALLOCATION. SIXTY PERCENT OF THE TOTAL FUNDS AWARDED PURSUANT
TO THIS ARTICLE IN ANY  FISCAL  YEAR  SHALL  BE  ALLOCATED  TO  PROJECTS
LOCATED  IN  URBAN  AREAS OF THE STATE. FORTY PERCENT OF THE TOTAL FUNDS
AWARDED PURSUANT TO THIS ARTICLE IN ANY FISCAL YEAR SHALL  BE  ALLOCATED
TO PROJECTS LOCATED IN RURAL AREAS OF THE STATE.
  4.  FUNDING  CRITERIA. A ONE-THIRD MATCH REQUIREMENT SHALL BE REQUIRED
OF ANY ELIGIBLE APPLICANT, WHICH MAY INCLUDE DONATED PROPERTY, MATERIALS
OR LABOR AND OTHER RESOURCES, AND  MAY  BE  REDUCED  OR  ELIMINATED  FOR
PROJECTS LOCATED WITHIN A DECLARED DISASTER AREA.
  5.  FUNDING  DECISIONS.  THE  CORPORATION IN ITS SOLE DISCRETION SHALL
AUTHORIZE ALL FUNDING DECISIONS AND MAKE ALL  AWARD  ANNOUNCEMENTS.  THE
CORPORATION  SHALL  PROVIDE AMPLE NOTICE TO THE RESPECTIVE CHAIRS OF THE
SENATE AND ASSEMBLY  HOUSING,  CONSTRUCTION  AND  COMMUNITY  DEVELOPMENT

S. 2607--C                         97

COMMITTEES,  OF  LEAST  TEN BUSINESS DAYS, PRIOR TO ANY PUBLIC ANNOUNCE-
MENT, ISSUANCE OF AWARD LETTERS, OR OTHER NOTIFICATION TO AWARDEES.
  6.  ANNUAL  REPORT. THE CORPORATION SHALL, ON OR BEFORE DECEMBER THIR-
TY-FIRST IN EACH YEAR SUBMIT A REPORT TO THE LEGISLATURE ON  THE  IMPLE-
MENTATION OF THIS ARTICLE. SUCH REPORT SHALL INCLUDE, BUT NOT BE LIMITED
TO,  FOR  EACH AWARD MADE TO A GRANTEE UNDER THIS ARTICLE: A DESCRIPTION
OF SUCH AWARD; CONTRACT AMOUNT AND CUMULATIVE TOTAL; THE SPECIFIC ACTIV-
ITIES IN RURAL AND URBAN AREAS PERFORMED BY SUCH GRANTEE; THE AMOUNTS OF
MATCH MONIES RECEIVED BY THE GRANTEE FROM SOURCES  OTHER  THAN  PAYMENTS
MADE  PURSUANT TO THIS ARTICLE; AND SUCH OTHER INFORMATION AS THE CORPO-
RATION DEEMS PERTINENT.
  S 2. This act shall take effect immediately.

                                 PART V

  Section 1. Section 6301 of the education law is amended  by  adding  a
new subdivision 6 to read as follows:
  6.  "CERTIFICATE  OF RESIDENCE FORM".  A STANDARD FORM AS DEVELOPED BY
THE CHANCELLOR OF THE STATE UNIVERSITY OF NEW YORK, IN CONJUNCTION  WITH
THE CHANCELLOR OF THE CITY UNIVERSITY OF NEW YORK.
  S 2. Subdivisions 3 and 4 of section 6305 of the education law, subdi-
vision 3 as amended by chapter 486 of the laws of 1967 and subdivision 4
as  separately  amended by chapters 439 and 646 of the laws of 1975, are
amended to read as follows:
  3. The chief fiscal officer of each county, as defined in section 2.00
of the local finance law, shall, upon application and submission to  him
of  satisfactory  evidence,  issue to any person desiring to enroll in a
community college as a non-resident student, a certificate of  residence
FORM showing that said person is a resident of said county. If the chief
fiscal  officer  of  a county refuses to issue such a certificate on the
ground that the person applying therefor is not a resident of such coun-
ty, the person applying may  appeal  to  the  chancellor  of  the  state
university. The chancellor of the state university shall make a determi-
nation after a hearing, upon ten days' notice to such chief fiscal offi-
cer  of the county, and such determination shall be final and binding on
the county. Such person shall, upon his registration  for  each  college
year,  file with the college such a certificate of residence FORM issued
not earlier than two months prior thereto, and such certificate of resi-
dence FORM shall be valid for a period of one  year  from  the  date  of
issuance.
  4.  If,  pursuant  to  subdivision  two  of  this section, a community
college elects to charge to and collect  an  allocable  portion  of  the
operating  costs  and  a further sum on account of capital costs of such
college from each county which has issued a certificate FORM or  certif-
icates of residence FORMS pursuant to subdivision three of this section,
on the basis of which non-resident students are attending such community
college,  the  president  of such community college shall, within forty-
five days after the commencement of each college term or program, submit
to the chief fiscal officer  of  each  county  a  list  of  non-resident
students  attending  such  college  on the basis of such certificates of
residence FORM and a voucher for the amount payable by each  county  for
these  students.  Such list and voucher shall be determined on the basis
of non-resident students enrolled in the program as of the end (or  last
day)  of  the third week of the commencement for a program scheduled for
one semester, the end of the second  for  a  program  scheduled  for  an
academic quarter and the end of the first week for any program scheduled

S. 2607--C                         98

to  be  completed  in  thirty  days or less. The chancellor of the state
university, or such officers or employees thereof as shall be designated
by the chancellor in the manner authorized by the state university trus-
tees,  shall  notify  the  chief  fiscal  officers of each county of the
approved annual operating and capital charge-back rate for each communi-
ty college. The amount billed to the chief fiscal officer of each county
by the president of such community college as a charge for the allocable
portion of the operating costs and a further sum on account  of  capital
costs  of  such  college  for non-resident students shall be paid to the
chief fiscal officer of such college by the billed county no later  than
sixty days after the county receives said billing.
  S  3. Subdivision 10 of section 6305 of the education law, as added by
chapter 170 of the laws of 1994, is amended to read as follows:
  10. On or before March thirty-first, nineteen hundred ninety-five  and
every  year  thereafter, the state shall reimburse each county which has
issued a certificate  of  residence  for  any  non-resident  student  in
attendance  at  the  fashion institute of technology during the nineteen
hundred ninety-three--ninety-four academic year and every year thereaft-
er in an amount equal to fifty percent of the actual amount paid by such
county on behalf of such students and on or before June first,  nineteen
hundred ninety-five and every year thereafter, the state shall reimburse
each county for the remaining fifty percent of the actual amount paid by
each  such  county on behalf of such students.  NOTWITHSTANDING SUBDIVI-
SION FIVE OF THIS SECTION, AND SUBJECT  TO  THE  AVAILABILITY  OF  STATE
APPROPRIATIONS  FOR  STATE FISCAL YEARS TWO THOUSAND FOURTEEN--TWO THOU-
SAND FIFTEEN AND THEREAFTER, GENERAL COUNTY CHARGES PAYABLE TO THE FASH-
ION INSTITUTE OF TECHNOLOGY FOR NON-RESIDENT STUDENTS ENROLLED IN  UPPER
DIVISION  CLASSES  SHALL  NOT BE CHARGED BACK TO ANY CITY OR TOWN WITHIN
THE COUNTY. PROVIDED FURTHER HOWEVER, THAT FOR THE  TWO  THOUSAND  THIR-
TEEN--TWO  THOUSAND FOURTEEN STATE FISCAL YEAR ONLY, A COUNTY MAY CHARGE
BACK TOWNS UP TO FIFTY PERCENT OF THE ACADEMIC YEAR  COSTS  ATTRIBUTABLE
TO NON-RESIDENT ENROLLMENT IN UPPER DIVISION CLASSES.
  S  4. Subdivision 11 of section 6305 of the education law, as added by
section 1 of part Q of chapter 57 of the laws of 2012,  is  amended  and
three new subdivisions 12, 13 and 14 are added to read as follows:
  11.  [The  state university board of trustees, in conjunction with the
city university board of trustees, is  directed  to  examine  the  laws,
regulations,  and  policies regarding community college charges for non-
resident students. This examination shall  review  the  impacts  of  the
current  law mechanisms for covering the local sponsor's share of commu-
nity college operating  costs  attributable  to  non-resident  students,
including the impacts of charging a non-resident student or charging the
county  where the student resides a per student allocable portion of the
local sponsor's share of operating costs, and  shall  also  specifically
include examination of the following:
  a. the methodology for determining the amount that may be charged by a
community  college  for each non-resident student's allocable portion of
the local sponsor's share of operating costs;
  b. the process for notifying a county of the approved annual operating
and community college charge-back rates and the timeline for a county to
pay the charge-back rate to the community college;
  c. policies regarding charge-back rates paid by city and towns in  the
county; and
  d.  recommendations  for  potential  modification  to  the laws, regu-
lations, and policies regarding community college charges for  non-resi-
dent  students  that  would result in improvements related to equity and

S. 2607--C                         99

efficiency and the fiscal impacts of implementing such modifications  to
students, counties and the state.
  The boards shall submit a joint report of their findings to the chairs
of  the senate and assembly higher education committees and the chair of
the senate finance committee and the chair  of  the  assembly  ways  and
means committee no later than September first, two thousand twelve.] THE
STATE  UNIVERSITY  OF NEW YORK AND THE CITY UNIVERSITY OF NEW YORK SHALL
PROMULGATE A UNIFORM METHODOLOGY FOR  CALCULATING  CHARGEBACK  RATES  TO
ENSURE EQUITY BETWEEN THE LOCAL SPONSOR CONTRIBUTION PER STUDENT AND THE
CHARGEBACK RATE PER STUDENT CHARGED TO OTHER COUNTIES.
  12.  NO  RETROACTIVE  CHARGE SHALL BE BILLED TO ANY COUNTY BASED ON AN
INCREASED CHARGEBACK RATE AFTER THE COMMENCEMENT OF THE BILLABLE  SEMES-
TER.
  13.  THE  STATE  UNIVERSITY OF NEW YORK AND THE CITY UNIVERSITY OF NEW
YORK SHALL DEVELOP AN ON-LINE TRAINING PROGRAM TO BE MADE  AVAILABLE  TO
EACH  COUNTY  TREASURER AND/OR FINANCIAL OFFICER, TO PROVIDE INFORMATION
REGARDING CHARGEBACK FEES AND GUIDANCE CONCERNING  COMMON  FORMS,  TIME-
LINES, AND POLICIES RELATING TO CHARGEBACK FEES AND THE PAYMENT THEREOF.
  14.  THE  STATE  UNIVERSITY OF NEW YORK AND THE CITY UNIVERSITY OF NEW
YORK SHALL DEVELOP AND IMPLEMENT THEIR OWN ON-LINE OR ELECTRONIC BILLING
SYSTEM, TO BE AVAILABLE TO THE COUNTIES OF THIS STATE, FOR  THE  PAYMENT
OF CHARGEBACK FEES.
  S 5. Paragraph c of subdivision 1 of section 355 of the education law,
as  amended  by  chapter  552 of the laws of 1985, is amended to read as
follows:
  c. The approval of the establishment of community  colleges  and  four
year colleges authorized by article one hundred twenty-six of this chap-
ter, in conformance with the master plan; the provision of standards and
regulations  covering  the organization and operation of their programs,
courses and curricula, financing arrangements, state  financial  assist-
ance,  tuition  charges  and  fees,  and  such  other  matters as may be
involved in the operation of such colleges; THE ESTABLISHMENT AND  MAIN-
TENANCE  OF  A WEB PAGE, LINKED TO THE HOME PAGE OF THE STATE UNIVERSITY
OF NEW YORK, THAT SHALL SERVE AS A CENTRAL REPOSITORY FOR COMMON  FORMS,
TIMELINES,  AND  POLICIES  RELATED TO CHARGEBACK FEES AND CERTIFICATE OF
RESIDENCY FORMS.
  S 6. Subdivision 3 of section 6222 of the education law, as  added  by
section  2  of  part  Q of chapter 57 of the laws of 2012, is amended to
read as follows:
  3. [The city university board of trustees shall  work  in  conjunction
with  the state university board of trustees for the purposes of examin-
ing the laws, regulations,  and  policies  regarding  community  college
charges  for non-resident students and submitting a report to the legis-
lature pursuant to subdivision eleven  of  section  sixty-three  hundred
five of this title] THE CITY UNIVERSITY BOARD OF TRUSTEES SHALL MAINTAIN
A  WEBPAGE,  LINKED TO THE HOME PAGE OF THE CITY UNIVERSITY OF NEW YORK,
THAT SHALL SERVE AS A CENTRAL REPOSITORY FOR  COMMON  FORMS,  TIMELINES,
AND  POLICIES  RELATED  TO  CHARGEBACK FEES AND CERTIFICATE OF RESIDENCY
FORMS.
  S 7. This act shall take effect immediately; provided that:
  (a) sections one, two, five and six of  this  act  shall  take  effect
February 1, 2014; and
  (b) section four of this act shall take effect April 1, 2015.

                                 PART W

S. 2607--C                         100

  Section  1.  Section 9 of chapter 420 of the laws of 2002 amending the
education law relating to the profession of social work, as  amended  by
chapter 132 of the laws of 2010, is amended to read as follows:
  S 9. a.  Nothing in this act shall prohibit or limit the activities or
services on the part of any person in the employ of a program or service
operated,  regulated,  funded,  or  approved by the department of mental
hygiene, the office of children and family services, the  department  of
[correctional services] CORRECTIONS AND COMMUNITY SUPERVISION, the state
office  for the aging, the department of health, or a local governmental
unit as that term is defined in article 41 of the mental hygiene law  or
a  social  services  district  as  defined  in  section 61 of the social
services law, provided, however, this section shall  not  authorize  the
use  of  any  title  authorized pursuant to article 154 of the education
law, except that this section shall be deemed repealed on July 1,  [2013
provided,  further,  however,  that  on  or before October 1, 2010, each
state agency identified in this subdivision shall submit to the  commis-
sioner  of  education  data, in such form and detail as requested by the
commissioner of education, concerning the  functions  performed  by  its
service  provider  workforce  and  the service provider workforce of the
local governmental units and social services  districts  as  defined  in
this  subdivision  over which the agency has regulatory authority. After
receipt of such data, the commissioner shall convene a workgroup of such
state agencies for the purpose of reviewing such data and also  to  make
recommendations  regarding  amendments to law, rule or regulation neces-
sary to clarify which tasks and activities must  be  performed  only  by
licensed  or  otherwise  authorized  personnel. No later than January 1,
2011, after consultation with such work group,  the  commissioner  shall
develop  criteria  for  the report required pursuant to subdivision b of
this section and shall work with such state agencies by providing advice
and guidance regarding which tasks and activities must be performed only
by licensed or otherwise authorized personnel.
  b. On or before July 1, 2011, each such state agency, after  consulta-
tion  with  local  governmental  units  and social services districts as
defined in subdivision a of this section over which the agency has regu-
latory authority, shall submit to the commissioner of education a report
on the utilization of  personnel  subject  to  the  provisions  of  this
section. Such report shall include but not be limited to: identification
of tasks and activities performed by such personnel categorized as tasks
and  functions  restricted to licensed personnel and tasks and functions
that do not require a license under article 154 of  the  education  law;
analysis  of costs associated with employing only appropriately licensed
or otherwise authorized personnel to perform tasks  and  functions  that
require  licensure  under  such  article 154, including salary costs and
costs associated with  providing  support  to  unlicensed  personnel  in
obtaining  appropriate  licensure.  Such  report  shall  also include an
action plan detailing measures through which each such entity shall,  no
later  than July 1, 2013, comply with professional licensure laws appli-
cable to services provided and make recommendations on alternative path-
ways toward licensure.
  c.  The commissioner of education shall, after receipt of  the  report
required under this section, and after consultation with state agencies,
not-for-profit  providers,  professional  associations,  consumers,  and
other key stakeholders, submit a report to the governor, the speaker  of
the  assembly,  the temporary president of the senate, and the chairs of
the senate and assembly higher education committees by July 1,  2012  to
recommend  any  amendments to law, rule or regulation necessary to fully

S. 2607--C                         101

implement the requirements for licensure by July 1, 2013.   Other  state
agency  commissioners shall be provided an opportunity to include state-
ments or alternative recommendations in such report] 2016.
  B.  ON  OR  BEFORE  SEPTEMBER 1, 2014, EACH STATE AGENCY IDENTIFIED IN
SUBDIVISION A OF THIS SECTION  THAT  OPERATES,  REGULATES,  APPROVES  OR
FUNDS  PROGRAMS  THAT  EMPLOY INDIVIDUALS TO PROVIDE SERVICES THAT WOULD
OTHERWISE BE RESTRICTED TO  INDIVIDUALS  LICENSED  OR  AUTHORIZED  UNDER
ARTICLE  153,  154  OR  163  OF  THE  EDUCATION LAW, SHALL SUBMIT TO THE
COMMISSIONER OF EDUCATION, IN SUCH FORM AND DETAIL AS REQUESTED BY  SUCH
COMMISSIONER,  DATA  IN RELATION TO:  THE NUMBER OF INDIVIDUALS EMPLOYED
IN EXEMPT PROGRAMS OPERATED, FUNDED, REGULATED OR APPROVED BY EACH STATE
AGENCY ON JULY 1, 2013 WHO WERE LICENSED BY THE DEPARTMENT OF  EDUCATION
PURSUANT  TO  PARAGRAPH B OF SUBDIVISION 2 OF SECTION 7707 OF THE EDUCA-
TION LAW BY JULY 1, 2014; THE NUMBER OF INDIVIDUALS EMPLOYED  IN  EXEMPT
PROGRAMS OPERATED, FUNDED, REGULATED OR APPROVED BY EACH STATE AGENCY ON
JULY  1,  2013  WHO  ARE  PROVIDING  SERVICES  THAT  WOULD  OTHERWISE BE
RESTRICTED TO THOSE LICENSED OR AUTHORIZED UNDER ARTICLE 153, 154 OR 163
OF THE EDUCATION LAW, WHO APPLIED FOR BUT WHO DID NOT RECEIVE A  LICENSE
OR  LIMITED  PERMIT FROM THE STATE EDUCATION DEPARTMENT BY JULY 1, 2014,
INCLUDING THE REASON OR REASONS FOR NOT RECEIVING SUCH LICENSE OR LIMIT-
ED PERMIT; THE NAME, OCCUPATIONAL TITLE, AND EDUCATIONAL DEGREE, IF ANY,
OF INDIVIDUALS WHO ON JULY 1, 2014 ARE NOT LICENSED OR OTHERWISE AUTHOR-
IZED UNDER TITLE VIII OF THE EDUCATION LAW, AND WHO ARE ENGAGED IN:  THE
DIAGNOSIS  OF MENTAL, EMOTIONAL, BEHAVIORAL, ADDICTIVE AND DEVELOPMENTAL
DISORDERS AND DISABILITIES; THE PROVISION  OF  PSYCHOTHERAPEUTIC  TREAT-
MENT;  AND/OR  THE  DEVELOPMENT  AND  IMPLEMENTATION OF ASSESSMENT-BASED
TREATMENT PLANS, AS DEFINED IN ARTICLE 154 OF THE EDUCATION  LAW  OR  AS
AUTHORIZED  IN  ARTICLE  153 OF THE EDUCATION LAW.  FOR PURPOSES OF THIS
SECTION, THIS REPORTING SHALL NOT INCLUDE INDIVIDUALS THAT ARE  PERFORM-
ING TASKS THAT DO NOT REQUIRE LICENSURE, INCLUDING THOSE INDIVIDUALS WHO
ARE   ENGAGED   IN  INFORMAL  ASSESSMENTS,  SUCH  AS  BASIC  INFORMATION
COLLECTION, GATHERING OF DEMOGRAPHIC DATA, OR INFORMAL OBSERVATIONS  AND
SCREENINGS  USED  TO  DETERMINE ELIGIBILITY FOR A PROGRAM OR SERVICE; OR
THOSE INDIVIDUALS WHO ARE ENGAGED IN THE CREATION OR  DEVELOPMENT  OF  A
SERVICE  PLAN THAT IS UNRELATED TO, OR ANCILLARY TO, A BEHAVIORAL HEALTH
DIAGNOSIS AND TREATMENT PLAN. SUCH SERVICE PLANS MAY  INCLUDE,  BUT  ARE
NOT  LIMITED TO JOB TRAINING, HOUSING, GENERAL PUBLIC ASSISTANCE OR MEAL
DELIVERY; AND, A PLAN BY WHICH THE STATE AGENCY  WILL  ENSURE  A  TIMELY
TRANSITION  OF RESTRICTED SERVICES FROM SUCH UNLICENSED PERSONS TO THOSE
LICENSED OR AUTHORIZED UNDER TITLE VIII NO LATER THAN JULY 1, 2015.
  C. THE COMMISSIONER OF EDUCATION, AFTER RECEIPT OF THIS DATA  AND,  IF
NECESSARY,  IN  CONSULTATION WITH STATE AGENCIES, NOT-FOR-PROFIT PROVID-
ERS, PROFESSIONAL ASSOCIATIONS, CONSUMERS AND  OTHER  KEY  STAKEHOLDERS,
SHALL  PREPARE  A  REPORT  THAT RECOMMENDS CHANGES IN ANY LAWS, RULES OR
REGULATIONS NECESSARY TO ENSURE  APPROPRIATE  LICENSURE  OF  INDIVIDUALS
PROVIDING   SERVICES   THAT   ARE  WITHIN  THE  RESTRICTED  PRACTICE  OF
PROFESSIONS LICENSED UNDER ARTICLE 153, 154 OR 163 OF THE EDUCATION LAW.
THE COMMISSIONER OF EDUCATION SHALL SUBMIT THE REPORT TO  THE  GOVERNOR,
THE  SPEAKER OF THE ASSEMBLY, THE TEMPORARY PRESIDENT OF THE SENATE, AND
THE CHAIRS OF THE SENATE AND ASSEMBLY  HIGHER  EDUCATION  COMMITTEES  BY
JANUARY  1,  2015. OTHER STATE AGENCY COMMISSIONERS SHALL BE PROVIDED AN
OPPORTUNITY TO INCLUDE STATEMENTS OR ALTERNATIVE RECOMMENDATIONS IN SUCH
REPORT.
  S 2. Section 17-a of chapter 676 of the  laws  of  2002  amending  the
education  law  relating  to  the  practice of psychology, as amended by

S. 2607--C                         102

chapter 130 of the laws of 2010, subdivision b as amended by chapter 132
of the laws of 2010, is amended to read as follows:
  S  17-a.    a.  In  relation to activities and services provided under
article 153 of the education law, nothing in this act shall prohibit  or
limit  such  activities  or  services  on  the part of any person in the
employ of a program or service operated, regulated, funded, or  approved
by the department of mental hygiene or the office of children and family
services,  or a local governmental unit as that term is defined in arti-
cle 41 of the mental hygiene  law  or  a  social  services  district  as
defined in section 61 of the social services law.  In relation to activ-
ities  and  services  provided  under  article 163 of the education law,
nothing in this act shall prohibit or limit such activities or  services
on  the  part  of any person in the employ of a program or service oper-
ated, regulated,  funded,  or  approved  by  the  department  of  mental
hygiene,  the  office of children and family services, the department of
[correctional services] CORRECTIONS AND COMMUNITY SUPERVISION, the state
office for the aging and the department of health  or  a  local  govern-
mental  unit as that term is defined in article 41 of the mental hygiene
law or a social services district as defined in section 61 of the social
services law, pursuant to authority granted by law. This  section  shall
not authorize the use of any title authorized pursuant to article 153 or
163  of  the education law by any such employed person, except as other-
wise provided by such articles respectively.    THIS  SECTION  SHALL  BE
DEEMED REPEALED JULY 1, 2016.
  [b.  This  section  shall  be  deemed  repealed July 1, 2013 provided,
however, that on or before October 1, 2010, each state agency identified
in subdivision a of this section shall submit  to  the  commissioner  of
education data, in such form and detail as requested by the commissioner
of education, concerning the functions performed by its service provider
workforce  and  the service provider workforce of the local governmental
units and social services districts as defined in subdivision a of  this
section over which the agency has regulatory authority. After receipt of
such  data,  the  commissioner  shall  convene a workgroup of such state
agencies for the purpose of reviewing such data and also to make  recom-
mendations  regarding amendments to law, rule or regulation necessary to
clarify which tasks and activities must be performed only by licensed or
otherwise authorized personnel. No later than  January  1,  2011,  after
consultation  with such workgroup, the commissioner shall develop crite-
ria for the report required pursuant to paragraph one of  this  subdivi-
sion  and  shall  work  with such state agencies by providing advice and
guidance regarding which tasks and activities must be performed only  by
licensed or otherwise authorized personnel.
  1.  On or before July 1, 2011, each such state agency, after consulta-
tion with local governmental units  and  social  services  districts  as
defined in subdivision a of this section over which the agency has regu-
latory authority, shall submit to the commissioner of education a report
on  the  utilization  of  personnel  subject  to  the provisions of this
section. Such report shall include but not be limited to: identification
of tasks and activities performed by such personnel categorized as tasks
and functions restricted to licensed personnel and tasks  and  functions
that  do not require a license under article 153 or 163 of the education
law; analysis of costs  associated  with  employing  only  appropriately
licensed  or  otherwise  authorized personnel to perform tasks and func-
tions that require licensure under such article 153  or  163,  including
salary  costs  and costs associated with providing support to unlicensed
personnel in obtaining appropriate licensure.  Such  report  shall  also

S. 2607--C                         103

include an action plan detailing measures through which each such entity
shall,  no  later  than July 1, 2013, comply with professional licensure
laws applicable to services provided and make recommendations on  alter-
native pathways toward licensure.
  2.   The commissioner of education shall, after receipt of the reports
required under this section, and after consultation with state agencies,
not-for-profit  providers,  professional  associations,  consumers,  and
other  key stakeholders, submit a report to the governor, the speaker of
the assembly, the temporary president of the senate, and the  chairs  of
the  senate  and assembly higher education committees by July 1, 2012 to
recommend any amendments to law, rule or regulation necessary  to  fully
implement  the  requirements for licensure by July 1, 2013.  Other state
agency commissioners shall be provided an opportunity to include  state-
ments or alternative recommendations in such report.]
  B.  ON  OR  BEFORE  SEPTEMBER 1, 2014, EACH STATE AGENCY IDENTIFIED IN
SUBDIVISION A OF THIS SECTION  THAT  OPERATES,  REGULATES,  APPROVES  OR
FUNDS  PROGRAMS  THAT  EMPLOY INDIVIDUALS TO PROVIDE SERVICES THAT WOULD
OTHERWISE BE RESTRICTED TO  INDIVIDUALS  LICENSED  OR  AUTHORIZED  UNDER
ARTICLE  153,  154  OR  163  OF  THE  EDUCATION LAW, SHALL SUBMIT TO THE
COMMISSIONER OF EDUCATION, IN SUCH FORM AND DETAIL AS REQUESTED BY  SUCH
COMMISSIONER,  DATA  IN RELATION TO:  THE NUMBER OF INDIVIDUALS EMPLOYED
IN EXEMPT PROGRAMS OPERATED, FUNDED, REGULATED OR APPROVED BY EACH STATE
AGENCY ON JULY 1, 2013 WHO WERE LICENSED BY THE DEPARTMENT OF  EDUCATION
PURSUANT  TO  PARAGRAPH B OF SUBDIVISION 2 OF SECTION 7707 OF THE EDUCA-
TION LAW, BY JULY 1, 2014; THE NUMBER OF INDIVIDUALS EMPLOYED IN  EXEMPT
PROGRAMS OPERATED, FUNDED, REGULATED OR APPROVED BY EACH STATE AGENCY ON
JULY  1,  2013  WHO  ARE  PROVIDING  SERVICES  THAT  WOULD  OTHERWISE BE
RESTRICTED TO THOSE LICENSED OR AUTHORIZED UNDER ARTICLE 153, 154 OR 163
OF THE EDUCATION LAW, WHO APPLIED FOR BUT WHO DID NOT RECEIVE A  LICENSE
OR  LIMITED  PERMIT FROM THE STATE EDUCATION DEPARTMENT BY JULY 1, 2014,
INCLUDING THE REASON OR REASONS FOR NOT RECEIVING SUCH LICENSE OR LIMIT-
ED PERMIT; THE NAME, OCCUPATIONAL TITLE, AND EDUCATIONAL DEGREE, IF ANY,
OF INDIVIDUALS WHO ON JULY 1, 2014 ARE NOT LICENSED OR OTHERWISE AUTHOR-
IZED UNDER TITLE VIII OF THE EDUCATION LAW, AND WHO ARE ENGAGED IN:  THE
DIAGNOSIS  OF MENTAL, EMOTIONAL, BEHAVIORAL, ADDICTIVE AND DEVELOPMENTAL
DISORDERS AND DISABILITIES; THE PROVISION  OF  PSYCHOTHERAPEUTIC  TREAT-
MENT;  AND/OR  THE  DEVELOPMENT  AND  IMPLEMENTATION OF ASSESSMENT-BASED
TREATMENT PLANS, AS DEFINED IN ARTICLE 154 OF THE EDUCATION  LAW  OR  AS
AUTHORIZED  IN  ARTICLE  153 OF THE EDUCATION LAW.  FOR PURPOSES OF THIS
SECTION, THIS REPORTING SHALL NOT INCLUDE INDIVIDUALS THAT ARE  PERFORM-
ING TASKS THAT DO NOT REQUIRE LICENSURE, INCLUDING THOSE INDIVIDUALS WHO
ARE   ENGAGED   IN  INFORMAL  ASSESSMENTS,  SUCH  AS  BASIC  INFORMATION
COLLECTION, GATHERING OF DEMOGRAPHIC DATA, OR INFORMAL OBSERVATIONS  AND
SCREENINGS  USED  TO  DETERMINE ELIGIBILITY FOR A PROGRAM OR SERVICE; OR
THOSE INDIVIDUALS WHO ARE ENGAGED IN THE CREATION OR  DEVELOPMENT  OF  A
SERVICE  PLAN THAT IS UNRELATED TO, OR ANCILLARY TO, A BEHAVIORAL HEALTH
DIAGNOSIS AND TREATMENT PLAN. SUCH SERVICE PLANS MAY  INCLUDE,  BUT  ARE
NOT  LIMITED TO JOB TRAINING, HOUSING, GENERAL PUBLIC ASSISTANCE OR MEAL
DELIVERY; AND, A PLAN BY WHICH THE STATE AGENCY  WILL  ENSURE  A  TIMELY
TRANSITION  OF RESTRICTED SERVICES FROM SUCH UNLICENSED PERSONS TO THOSE
LICENSED OR AUTHORIZED UNDER TITLE VIII NO LATER THAN JULY 1, 2015.
  C. THE COMMISSIONER OF EDUCATION, AFTER RECEIPT OF THIS DATA  AND,  IF
NECESSARY,  CONSULTATION  WITH STATE AGENCIES, NOT-FOR-PROFIT PROVIDERS,
PROFESSIONAL ASSOCIATIONS, CONSUMERS AND OTHER KEY  STAKEHOLDERS,  SHALL
PREPARE  A  REPORT  THAT  RECOMMENDS CHANGES IN ANY LAWS, RULES OR REGU-
LATIONS NECESSARY TO ENSURE APPROPRIATE LICENSURE OF INDIVIDUALS PROVID-

S. 2607--C                         104

ING SERVICES THAT ARE WITHIN  THE  RESTRICTED  PRACTICE  OF  PROFESSIONS
LICENSED UNDER ARTICLE 153, 154 OR 163 OF THE EDUCATION LAW. THE COMMIS-
SIONER OF EDUCATION SHALL SUBMIT THE REPORT TO THE GOVERNOR, THE SPEAKER
OF  THE  ASSEMBLY, THE TEMPORARY PRESIDENT OF THE SENATE, AND THE CHAIRS
OF THE SENATE AND ASSEMBLY HIGHER EDUCATION  COMMITTEES  BY  JANUARY  1,
2015.  OTHER STATE AGENCY COMMISSIONERS SHALL BE PROVIDED AN OPPORTUNITY
TO INCLUDE STATEMENTS OR ALTERNATIVE RECOMMENDATIONS IN SUCH REPORT.
  S 3. Section 16 of chapter 130 of the laws of 2010 amending the educa-
tion law and other laws relating to the registration of entities provid-
ing  certain  professional  services  and  the  licensure   of   certain
professions,  as  amended by chapter 132 of the laws of 2010, is amended
to read as follows:
  S 16. This act shall take effect immediately; provided  that  sections
thirteen, fourteen and fifteen of this act shall take effect immediately
and  shall  be deemed to have been in full force and effect on and after
June 1, 2010 and such sections shall be deemed repealed July  1,  [2013]
2016;  provided  further that the amendments to section 9 of chapter 420
of the laws of 2002 amending the education law relating to  the  profes-
sion of social work made by section thirteen of this act shall repeal on
the  same date as such section repeals; provided further that the amend-
ments to section 17-a of chapter 676 of the laws of  2002  amending  the
education  law  relating  to  the practice of psychology made by section
fourteen of this act shall repeal on  the  same  date  as  such  section
repeals.
  S 4. Subdivision 2 of section 7707 of the education law, as amended by
chapter 230 of the laws of 2004, is amended to read as follows:
  2.  (A)  Any  person who possesses a master's of social work degree on
the effective date of this section, who has five years of  post-graduate
social work employment and meets the requirements for a license pursuant
to  this article, except for examination, and who files with the depart-
ment within one year of the effective date  of  this  section  shall  be
licensed as a licensed master social worker.
  (B) ANY PERSON WHO POSSESSES A MASTER'S OF SOCIAL WORK DEGREE ACCEPTA-
BLE  TO  THE  DEPARTMENT ON APRIL FIRST, TWO THOUSAND THIRTEEN AND MEETS
ALL REQUIREMENTS FOR LICENSURE  AS  SET  FORTH  IN  SUBDIVISION  ONE  OF
SECTION  SEVENTY-SEVEN HUNDRED FOUR OF THIS ARTICLE, EXCEPT FOR EXAMINA-
TION, WHO SUBMITS VERIFICATION OF AT LEAST TWO  YEARS  OF  POST-MASTER'S
SUPERVISED EXPERIENCE IN LICENSED MASTER SOCIAL WORK BY APRIL FIRST, TWO
THOUSAND  FOURTEEN, ACCEPTABLE TO THE DEPARTMENT, SHALL BE LICENSED AS A
LICENSED MASTER SOCIAL WORKER WITHOUT EXAMINATION.
  S 5. Section 7707 of the education law is  amended  by  adding  a  new
subdivision 6 to read as follows:
  6.  A  LICENSE  SHALL NOT BE REQUIRED FOR INFORMAL ASSESSMENTS SUCH AS
BASIC  INFORMATION  COLLECTION,  GATHERING  OF  DEMOGRAPHIC  DATA,   AND
INFORMAL  OBSERVATIONS  AND SCREENING USED FOR GENERAL ELIGIBILITY FOR A
PROGRAM OR SERVICE. LICENSURE IS NOT REQUIRED TO  CREATE  OR  DEVELOP  A
SERVICE  PLAN UNRELATED TO, OR ANCILLARY TO, A BEHAVIORAL HEALTH DIAGNO-
SIS AND TREATMENT PLAN. SUCH SERVICE PLANS INCLUDE, BUT ARE NOT  LIMITED
TO JOB TRAINING, HOUSING, GENERAL PUBLIC ASSISTANCE, OR MEAL DELIVERY.
  S 6. The education law is amended by adding a new section 7710 to read
as follows:
  S  7710.  MANDATORY  CONTINUING EDUCATION. 1. (A) EACH LICENSED MASTER
SOCIAL WORKER OR LICENSED CLINICAL SOCIAL  WORKER  REQUIRED  UNDER  THIS
ARTICLE  TO REGISTER TRIENNIALLY WITH THE DEPARTMENT TO PRACTICE IN THIS
STATE, SHALL COMPLY WITH THE PROVISIONS OF MANDATORY  CONTINUING  EDUCA-
TION  REQUIREMENTS PRESCRIBED IN SUBDIVISION TWO OF THIS SECTION, EXCEPT

S. 2607--C                         105

AS SET FORTH IN PARAGRAPHS (B) AND (C)  OF  THIS  SUBDIVISION.  LICENSED
MASTER  SOCIAL  WORKERS  OR  LICENSED CLINICAL SOCIAL WORKERS WHO DO NOT
SATISFY THE MANDATORY CONTINUING EDUCATION REQUIREMENTS SHALL NOT  PRAC-
TICE  UNTIL  THEY HAVE MET SUCH REQUIREMENTS AND THEY HAVE BEEN ISSUED A
REGISTRATION CERTIFICATE, EXCEPT THAT A LICENSED MASTER SOCIAL WORKER OR
LICENSED CLINICAL SOCIAL WORKER MAY PRACTICE  WITHOUT  HAVING  MET  SUCH
REQUIREMENTS  IF  HE OR SHE IS ISSUED A CONDITIONAL REGISTRATION CERTIF-
ICATE PURSUANT TO SUBDIVISION THREE OF THIS SECTION.
  (B) EACH LICENSED MASTER SOCIAL WORKER  OR  LICENSED  CLINICAL  SOCIAL
WORKER  SHALL BE EXEMPT FROM THE MANDATORY CONTINUING EDUCATION REQUIRE-
MENTS FOR THE TRIENNIAL REGISTRATION PERIOD DURING WHICH THEY ARE  FIRST
LICENSED.  IN  ACCORDANCE WITH THE INTENT OF THIS SECTION, ADJUSTMENT TO
THE MANDATORY CONTINUING EDUCATION REQUIREMENT MAY  BE  GRANTED  BY  THE
DEPARTMENT  FOR  REASONS  OF HEALTH THAT ARE CERTIFIED BY AN APPROPRIATE
HEALTH CARE PROFESSIONAL, FOR EXTENDED ACTIVE DUTY WITH THE ARMED FORCED
OF THE UNITED STATES, OR FOR OTHER GOOD CAUSE ACCEPTABLE TO THE  DEPART-
MENT WHICH MAY PREVENT COMPLIANCE.
  (C)  A  LICENSED  MASTER  SOCIAL  WORKER OR A LICENSED CLINICAL SOCIAL
WORKER NOT ENGAGED IN PRACTICE, AS DETERMINED BY THE  DEPARTMENT,  SHALL
BE  EXEMPT  FROM THE MANDATORY CONTINUING EDUCATION REQUIREMENT UPON THE
FILING OF A STATEMENT WITH THE DEPARTMENT DECLARING SUCH  STATUS.    ANY
LICENSEE WHO RETURNS TO THE PRACTICE OF SOCIAL WORK DURING THE TRIENNIAL
REGISTRATION  PERIOD SHALL NOTIFY THE DEPARTMENT PRIOR TO REENTERING THE
PROFESSION AND SHALL MEET SUCH MANDATORY EDUCATION REQUIREMENTS AS SHALL
BE PRESCRIBED BY REGULATIONS OF THE COMMISSIONER.
  (D) A LICENSED CLINICAL SOCIAL WORKER WHO IS ALSO LICENSED AND  REGIS-
TERED  TO PRACTICE AS A LICENSED MASTER SOCIAL WORKER IN THE SAME TRIEN-
NIAL REGISTRATION PERIOD, SHALL NOT BE REQUIRED TO  COMPLETE  MORE  THAN
THIRTY-SIX  HOURS  OF CONTINUING EDUCATION IN THE TRIENNIAL REGISTRATION
PERIOD, OR ONE HOUR PER MONTH FOR A REGISTRATION PERIOD OTHER THAN THIR-
TY-SIX MONTHS.
  2. DURING EACH TRIENNIAL REGISTRATION PERIOD AN APPLICANT  FOR  REGIS-
TRATION  AS  A LICENSED MASTER SOCIAL WORKER OR LICENSED CLINICAL SOCIAL
WORKER SHALL COMPLETE A MINIMUM OF THIRTY-SIX HOURS OF ACCEPTABLE FORMAL
CONTINUING EDUCATION. ANY LICENSED  MASTER  SOCIAL  WORKER  OR  LICENSED
CLINICAL  SOCIAL  WORKER  WHOSE  FIRST  REGISTRATION  DATE FOLLOWING THE
EFFECTIVE DATE OF THIS SECTION OCCURS LESS THAN THREE  YEARS  FROM  SUCH
EFFECTIVE  DATE,  BUT ON OR AFTER JANUARY FIRST, TWO THOUSAND SEVENTEEN,
SHALL COMPLETE CONTINUING EDUCATION HOURS ON A  PRORATED  BASIS  AT  THE
RATE  OF  ONE HOUR PER MONTH FOR THE PERIOD BEGINNING JANUARY FIRST, TWO
THOUSAND SEVENTEEN UP TO  THE  FIRST  REGISTRATION  DATE  THEREAFTER.  A
LICENSEE  WHO  HAS  NOT  SATISFIED  THE  MANDATORY  CONTINUING EDUCATION
REQUIREMENT SHALL NOT BE ISSUED A TRIENNIAL REGISTRATION CERTIFICATE  BY
THE  DEPARTMENT  AND  SHALL  NOT PRACTICE UNLESS AND UNTIL A CONDITIONAL
REGISTRATION CERTIFICATE IS ISSUED AS PROVIDED FOR IN SUBDIVISION  THREE
OF  THIS  SECTION. CONTINUING EDUCATION HOURS TAKEN DURING ONE TRIENNIUM
MAY NOT BE TRANSFERRED TO THE SUBSEQUENT TRIENNIUM.
  3. (A) THE DEPARTMENT, IN ITS  DISCRETION,  MAY  ISSUE  A  CONDITIONAL
REGISTRATION  TO  A  LICENSEE WHO FAILS TO MEET THE CONTINUING EDUCATION
REQUIREMENTS ESTABLISHED IN SUBDIVISION TWO  OF  THIS  SECTION  BUT  WHO
AGREES TO MAKE UP ANY DEFICIENCIES AND COMPLETE ANY ADDITIONAL EDUCATION
WHICH  THE DEPARTMENT MAY REQUIRE. THE FEE FOR SUCH A CONDITIONAL REGIS-
TRATION SHALL BE THE SAME AS, AND IN ADDITION TO, THE FEE FOR THE TRIEN-
NIAL REGISTRATION. THE DURATION OF SUCH CONDITIONAL  REGISTRATION  SHALL
BE  DETERMINED  BY  THE  DEPARTMENT  BUT  SHALL NOT EXCEED ONE YEAR. ANY
LICENSEE WHO IS NOTIFIED OF THE DENIAL OF REGISTRATION  FOR  FAILURE  TO

S. 2607--C                         106

SUBMIT  EVIDENCE, SATISFACTORY TO THE DEPARTMENT, OF REQUIRED CONTINUING
EDUCATION AND WHO PRACTICES WITHOUT SUCH REGISTRATION MAY BE SUBJECT  TO
DISCIPLINARY  PROCEEDINGS  PURSUANT TO SECTION SIXTY-FIVE HUNDRED TEN OF
THIS TITLE.
  (B)  FOR  PURPOSES OF THIS SECTION "ACCEPTABLE FORMAL EDUCATION" SHALL
MEAN FORMAL COURSES OF LEARNING WHICH CONTRIBUTE TO  PROFESSIONAL  PRAC-
TICE  IN  SOCIAL  WORK  AND WHICH MEET THE STANDARDS PRESCRIBED BY REGU-
LATIONS OF THE COMMISSIONER.   SUCH FORMAL  COURSES  OF  LEARNING  SHALL
INCLUDE,  BUT  NOT BE LIMITED TO, COLLEGIATE LEVEL CREDIT AND NON-CREDIT
COURSES,  PROFESSIONAL  DEVELOPMENT  PROGRAMS  AND  TECHNICAL   SESSIONS
OFFERED BY NATIONAL, STATE AND LOCAL PROFESSIONAL ASSOCIATIONS AND OTHER
ORGANIZATIONS  ACCEPTABLE  TO  THE  DEPARTMENT,  AND ANY OTHER ORGANIZED
EDUCATIONAL AND TECHNICAL PROGRAMS ACCEPTABLE TO THE DEPARTMENT. CONTIN-
UING EDUCATION COURSES MUST BE  TAKEN  FROM  A  PROVIDER  WHO  HAS  BEEN
APPROVED  BY THE DEPARTMENT, BASED UPON AN APPLICATION AND FEE, PURSUANT
TO THE REGULATIONS OF THE  COMMISSIONER.  THE  DEPARTMENT  MAY,  IN  ITS
DISCRETION  AND AS NEEDED TO CONTRIBUTE TO THE HEALTH AND WELFARE OF THE
PUBLIC, REQUIRE  THE  COMPLETION  OF  CONTINUING  EDUCATION  COURSES  IN
SPECIFIC   SUBJECTS  TO  FULFILL  THIS  MANDATORY  CONTINUING  EDUCATION
REQUIREMENT. COURSES MUST BE  TAKEN  FROM  A  SPONSOR  APPROVED  BY  THE
DEPARTMENT,  PURSUANT  TO  THE REGULATIONS OF THE COMMISSIONER. LICENSED
MASTER SOCIAL WORKERS OR LICENSED CLINICAL SOCIAL WORKERS SHALL MAINTAIN
ADEQUATE DOCUMENTATION OF COMPLETION  OF  ACCEPTABLE  FORMAL  CONTINUING
EDUCATION  AND  SHALL  PROVIDE  SUCH DOCUMENTATION AT THE REQUEST OF THE
DEPARTMENT. FAILURE TO PROVIDE SUCH DOCUMENTATION UPON  THE  REQUEST  OF
THE  DEPARTMENT  SHALL  BE  AN ACT OF MISCONDUCT SUBJECT TO DISCIPLINARY
PROCEEDINGS PURSUANT TO SECTION SIXTY-FIVE HUNDRED TEN OF THIS TITLE.
  (C) THE MANDATORY CONTINUING EDUCATION FEE SHALL BE DETERMINED BY  THE
DEPARTMENT.    SUCH  FEE  SHALL BE PAYABLE ON OR BEFORE THE FIRST DAY OF
EACH TRIENNIAL REGISTRATION PERIOD, AND SHALL BE PAID IN ADDITION TO THE
TRIENNIAL REGISTRATION FEE REQUIRED BY PARAGRAPH (G) OF SUBDIVISION  ONE
AND  PARAGRAPH  (G)  OF SUBDIVISION TWO OF SECTION SEVENTY-SEVEN HUNDRED
FOUR OF THIS ARTICLE.
  S 7. Section 8411 of the education law is  amended  by  adding  a  new
subdivision 4 to read as follows:
  4.  A  LICENSE  SHALL NOT BE REQUIRED FOR INFORMAL ASSESSMENTS SUCH AS
BASIC  INFORMATION  COLLECTION,  GATHERING  OF  DEMOGRAPHIC  DATA,   AND
INFORMAL  OBSERVATIONS  AND SCREENING USED FOR GENERAL ELIGIBILITY FOR A
PROGRAM OR SERVICE. LICENSURE IS NOT REQUIRED TO  CREATE  OR  DEVELOP  A
SERVICE  PLAN UNRELATED TO, OR ANCILLARY TO, A BEHAVIORAL HEALTH DIAGNO-
SIS AND TREATMENT PLAN. SUCH SERVICE PLANS INCLUDE, BUT ARE NOT  LIMITED
TO JOB TRAINING, HOUSING, GENERAL PUBLIC ASSISTANCE, OR MEAL DELIVERY.
  S 8. The education law is amended by adding a new section 8412 to read
as follows:
  S  8412.  MANDATORY  CONTINUING EDUCATION. 1. (A) EACH LICENSED MENTAL
HEALTH COUNSELOR, MARRIAGE  AND  FAMILY  THERAPIST,  PSYCHOANALYST,  AND
CREATIVE ARTS THERAPIST REQUIRED UNDER THIS ARTICLE TO REGISTER TRIENNI-
ALLY  WITH  THE  DEPARTMENT TO PRACTICE IN THIS STATE, SHALL COMPLY WITH
THE PROVISIONS OF MANDATORY CONTINUING EDUCATION REQUIREMENTS PRESCRIBED
IN SUBDIVISION TWO OF THIS SECTION, EXCEPT AS SET  FORTH  IN  PARAGRAPHS
(B)  AND  (C)  OF  THIS  SUBDIVISION. LICENSED MENTAL HEALTH COUNSELORS,
MARRIAGE AND FAMILY THERAPISTS, PSYCHOANALYSTS, AND CREATIVE ARTS THERA-
PISTS WHO DO NOT SATISFY THE MANDATORY CONTINUING EDUCATION REQUIREMENTS
SHALL NOT PRACTICE UNTIL THEY HAVE MET SUCH REQUIREMENTS, AND THEY  HAVE
BEEN  ISSUED  A  REGISTRATION CERTIFICATE, EXCEPT THAT A LICENSED MENTAL
HEALTH COUNSELOR, MARRIAGE  AND  FAMILY  THERAPIST,  PSYCHOANALYST,  AND

S. 2607--C                         107

CREATIVE  ARTS  THERAPIST  MAY PRACTICE WITHOUT HAVING MET SUCH REQUIRE-
MENTS IF HE OR SHE IS  ISSUED  A  CONDITIONAL  REGISTRATION  CERTIFICATE
PURSUANT TO SUBDIVISION THREE OF THIS SECTION.
  (B)  EACH LICENSED MENTAL HEALTH COUNSELOR, MARRIAGE AND FAMILY THERA-
PIST, PSYCHOANALYST, AND CREATIVE ARTS THERAPIST SHALL  BE  EXEMPT  FROM
THE MANDATORY CONTINUING EDUCATION REQUIREMENTS FOR THE TRIENNIAL REGIS-
TRATION  PERIOD DURING WHICH THEY ARE FIRST LICENSED. IN ACCORDANCE WITH
THE INTENT OF THIS  SECTION,  ADJUSTMENT  TO  THE  MANDATORY  CONTINUING
EDUCATION  REQUIREMENT  MAY  BE GRANTED BY THE DEPARTMENT FOR REASONS OF
HEALTH THAT ARE CERTIFIED BY AN APPROPRIATE  HEALTH  CARE  PROFESSIONAL,
FOR  EXTENDED ACTIVE DUTY WITH THE ARMED FORCES OF THE UNITED STATES, OR
FOR OTHER GOOD CAUSE ACCEPTABLE TO  THE  DEPARTMENT  WHICH  MAY  PREVENT
COMPLIANCE.
  (C) A LICENSED MENTAL HEALTH COUNSELOR, MARRIAGE AND FAMILY THERAPIST,
PSYCHOANALYST,  AND  CREATIVE ARTS THERAPIST NOT ENGAGED IN PRACTICE, AS
DETERMINED BY THE DEPARTMENT, SHALL BE EXEMPT FROM THE MANDATORY CONTIN-
UING EDUCATION REQUIREMENT UPON THE  FILING  OF  A  STATEMENT  WITH  THE
DEPARTMENT  DECLARING SUCH STATUS. ANY LICENSEE WHO RETURNS TO THE PRAC-
TICE OF MENTAL HEALTH COUNSELING, MARRIAGE AND FAMILY  THERAPY,  PSYCHO-
ANALYSIS,  AND  CREATIVE  ARTS THERAPY DURING THE TRIENNIAL REGISTRATION
PERIOD SHALL NOTIFY THE DEPARTMENT PRIOR TO  REENTERING  THE  PROFESSION
AND  SHALL  MEET  SUCH  MANDATORY  EDUCATION  REQUIREMENTS  AS  SHALL BE
PRESCRIBED BY REGULATIONS OF THE COMMISSIONER.
  2. DURING EACH TRIENNIAL REGISTRATION PERIOD AN APPLICANT  FOR  REGIS-
TRATION AS A LICENSED MENTAL HEALTH COUNSELOR, MARRIAGE AND FAMILY THER-
APIST, PSYCHOANALYST, AND CREATIVE ARTS THERAPIST SHALL COMPLETE A MINI-
MUM  OF  THIRTY-SIX  HOURS  OF ACCEPTABLE FORMAL CONTINUING EDUCATION, A
MAXIMUM OF TWELVE HOURS OF WHICH MAY BE SELF-INSTRUCTIONAL  COURSE  WORK
ACCEPTABLE  TO  THE  DEPARTMENT.  ANY  LICENSED MENTAL HEALTH COUNSELOR,
MARRIAGE AND FAMILY THERAPIST, PSYCHOANALYST, AND CREATIVE  ARTS  THERA-
PIST  WHOSE FIRST REGISTRATION DATE FOLLOWING THE EFFECTIVE DATE OF THIS
SECTION OCCURS LESS THAN THREE YEARS FROM SUCH EFFECTIVE DATE, BUT ON OR
AFTER JANUARY FIRST, TWO THOUSAND SEVENTEEN, SHALL  COMPLETE  CONTINUING
EDUCATION  HOURS  ON  A PRORATED BASIS AT THE RATE OF ONE HOUR PER MONTH
FOR THE PERIOD BEGINNING JANUARY FIRST, TWO THOUSAND SEVENTEEN UP TO THE
FIRST REGISTRATION DATE THEREAFTER. A LICENSEE WHO HAS NOT SATISFIED THE
MANDATORY CONTINUING EDUCATION REQUIREMENT SHALL NOT BE ISSUED A  TRIEN-
NIAL  REGISTRATION  CERTIFICATE BY THE DEPARTMENT AND SHALL NOT PRACTICE
UNLESS AND UNTIL A CONDITIONAL REGISTRATION  CERTIFICATE  IS  ISSUED  AS
PROVIDED  FOR IN SUBDIVISION THREE OF THIS SECTION. CONTINUING EDUCATION
HOURS TAKEN DURING ONE TRIENNIUM MAY NOT BE TRANSFERRED  TO  THE  SUBSE-
QUENT TRIENNIUM.
  3.  (A)  THE  DEPARTMENT,  IN  ITS DISCRETION, MAY ISSUE A CONDITIONAL
REGISTRATION TO A LICENSEE WHO FAILS TO MEET  THE  CONTINUING  EDUCATION
REQUIREMENTS  ESTABLISHED  IN  SUBDIVISION  TWO  OF THIS SECTION BUT WHO
AGREES TO MAKE UP ANY DEFICIENCIES AND COMPLETE ANY ADDITIONAL EDUCATION
WHICH THE DEPARTMENT MAY REQUIRE. THE FEE FOR SUCH A CONDITIONAL  REGIS-
TRATION SHALL BE THE SAME AS, AND IN ADDITION TO, THE FEE FOR THE TRIEN-
NIAL  REGISTRATION.  THE DURATION OF SUCH CONDITIONAL REGISTRATION SHALL
BE DETERMINED BY THE DEPARTMENT BUT  SHALL  NOT  EXCEED  ONE  YEAR.  ANY
LICENSEE  WHO  IS  NOTIFIED OF THE DENIAL OF REGISTRATION FOR FAILURE TO
SUBMIT EVIDENCE, SATISFACTORY TO THE DEPARTMENT, OF REQUIRED  CONTINUING
EDUCATION  AND WHO PRACTICES WITHOUT SUCH REGISTRATION MAY BE SUBJECT TO
DISCIPLINARY PROCEEDINGS PURSUANT TO SECTION SIXTY-FIVE HUNDRED  TEN  OF
THIS TITLE.

S. 2607--C                         108

  (B)  FOR  PURPOSES OF THIS SECTION "ACCEPTABLE FORMAL EDUCATION" SHALL
MEAN FORMAL COURSES OF LEARNING WHICH CONTRIBUTE TO  PROFESSIONAL  PRAC-
TICE  IN  MENTAL HEALTH COUNSELING, MARRIAGE AND FAMILY THERAPY, PSYCHO-
ANALYSIS, OR CREATIVE  ARTS  THERAPIES  AND  WHICH  MEET  THE  STANDARDS
PRESCRIBED  BY  REGULATIONS  OF THE COMMISSIONER. SUCH FORMAL COURSES OF
LEARNING SHALL INCLUDE, BUT NOT BE LIMITED TO, COLLEGIATE  LEVEL  CREDIT
AND  NON-CREDIT COURSES, PROFESSIONAL DEVELOPMENT PROGRAMS AND TECHNICAL
SESSIONS OFFERED BY NATIONAL, STATE AND LOCAL PROFESSIONAL  ASSOCIATIONS
AND  OTHER  ORGANIZATIONS  ACCEPTABLE  TO  THE DEPARTMENT, AND ANY OTHER
ORGANIZED EDUCATIONAL AND TECHNICAL PROGRAMS ACCEPTABLE TO  THE  DEPART-
MENT.    CONTINUING  EDUCATION COURSES MUST BE TAKEN FROM A PROVIDER WHO
HAS BEEN APPROVED BY THE DEPARTMENT, BASED UPON AN APPLICATION AND  FEE,
PURSUANT  TO THE REGULATIONS OF THE COMMISSIONER. THE DEPARTMENT MAY, IN
ITS DISCRETION AND AS NEEDED TO CONTRIBUTE TO THE HEALTH AND WELFARE  OF
THE  PUBLIC,  REQUIRE  THE COMPLETION OF CONTINUING EDUCATION COURSES IN
SPECIFIC  SUBJECTS  TO  FULFILL  THIS  MANDATORY  CONTINUING   EDUCATION
REQUIREMENT.    LICENSED  MENTAL  HEALTH COUNSELORS, MARRIAGE AND FAMILY
THERAPISTS, PSYCHOANALYSTS, AND CREATIVE ARTS THERAPISTS SHALL  MAINTAIN
ADEQUATE  DOCUMENTATION  OF  COMPLETION  OF ACCEPTABLE FORMAL CONTINUING
EDUCATION AND SHALL PROVIDE SUCH DOCUMENTATION AT  THE  REQUEST  OF  THE
DEPARTMENT.  FAILURE  TO  PROVIDE SUCH DOCUMENTATION UPON THE REQUEST OF
THE DEPARTMENT SHALL BE AN ACT OF  MISCONDUCT  SUBJECT  TO  DISCIPLINARY
PROCEEDINGS PURSUANT TO SECTION SIXTY-FIVE HUNDRED TEN OF THIS TITLE.
  (C)  THE MANDATORY CONTINUING EDUCATION FEE SHALL BE DETERMINED BY THE
DEPARTMENT.  SUCH FEE SHALL BE PAYABLE ON OR BEFORE  THE  FIRST  DAY  OF
EACH TRIENNIAL REGISTRATION PERIOD, AND SHALL BE PAID IN ADDITION TO THE
TRIENNIAL  REGISTRATION  FEES  REQUIRED  BY PARAGRAPH (G) OF SUBDIVISION
THREE OF SECTION EIGHTY-FOUR HUNDRED TWO OF THIS ARTICLE  AND  PARAGRAPH
(G)  OF  SUBDIVISION  THREE  OF SECTION EIGHTY-FOUR HUNDRED FIVE OF THIS
ARTICLE.
  S 9. Subdivision 2 of section 8409 of the education law, as amended by
chapter 210 of the laws of 2004, is amended to read as follows:
  2. Limited permits shall be for [one year, except that limited permits
for mental health counseling shall  be  for]  two  years;  such  limited
permits  may  be renewed, at the discretion of the department, for [one]
UP TO TWO additional ONE year PERIODS.
  S 10. This act shall take effect immediately and shall  be  deemed  to
have been in full force and effect on and after April 1, 2013; provided,
however, that the provisions of this act shall apply only to actions and
proceedings  commenced  on  or  after  such  effective  date;  provided,
further, that sections six and eight of this act shall take effect Janu-
ary 1, 2017; provided further that the amendments to section 9 of  chap-
ter  420 of the laws of 2002 and section 17-a of chapter 676 of the laws
of 2002 made by sections one and two of this  act,  respectively,  shall
not  affect  the  repeal of such sections and shall expire and be deemed
repealed therewith.

                                 PART X

  Section 1. Subdivision 1 of section 5 of the  civil  service  law,  as
added by chapter 790 of the laws of 1958, is amended to read as follows:
  1.  The department. There shall continue to be in the state government
a department of civil service.    THE  DEPARTMENT  SHALL  NOT  MERGE  OR
CONSOLIDATE    WITH  ANY  OTHER  DEPARTMENT,  DIVISION, AGENCY OR OFFICE
UNLESS EXPRESSLY PERMITTED BY LAW. The head of the department  shall  be

S. 2607--C                         109

the president of the state civil service commission who shall be respon-
sible for the discharge of the duties and functions of the department.
  S 2. This act shall take effect immediately.

                                 PART Y

  Section 1. Legislative findings and declaration of purpose. The legis-
lature  hereby  finds  that the costs of completing higher education for
residents of the state of New York are increasing at a rate significant-
ly faster than the rate of inflation. Paying out of  pocket  has  become
increasingly  difficult  for  families  and  students seeking to improve
their educational and economic prospects. An affordable  college  educa-
tion  has  become  increasingly  inaccessible to large numbers of middle
class families in the state, for  whom  financial  resources,  including
state  grants  and scholarships, are either limited or unavailable. Many
families and students have no choice but to turn to the private  lending
market in order to finance their higher education.
  Compounding  the  problem  is the fact that typical interest rates for
student loans offered through the private lending market are  relatively
high when compared to interest rates for other purposes, such as a mort-
gage  or  automobile.  Additionally,  the average student loan debt upon
graduation is more than $26,000 per student in the state.  Reducing  the
debt  burden  that  students endure upon graduating college has become a
critical public policy goal.
  As increasing the share of the state's population that undertakes  and
completes  higher  education is also a desirable public policy goal, and
an individual's decision to complete a program of  postsecondary  educa-
tion  typically reaps economic and social rewards to the individual, the
legislature hereby declares that it is in the best interest of the state
to create a student loan linked deposit program whereby the  state  will
subsidize private lenders to provide reduced-rate loans to students.
  S 2. Paragraph c of subdivision 1 of section 680 of the education law,
as  added by chapter 622 of the laws of 2008, is amended and a new para-
graph d is added to read as follows:
  c. To enter into cooperative agreements, subject to  the  approval  of
the  board  of trustees and the director of the budget, with other enti-
ties, including, but not limited to, other states, the  federal  govern-
ment,  and  post-secondary  institutions,  to establish, administer, and
operate federal student aid programs. Notwithstanding the provisions  of
paragraphs  a  and b of this subdivision, the corporation is authorized,
pursuant to such cooperative agreements, to provide federal student  aid
services  to  students  and  families  who are not residents of New York
state[.]; AND
  D. TO ADMINISTER AND OPERATE A STUDENT  LOAN  LINKED  DEPOSIT  PROGRAM
PURSUANT TO ARTICLE FIFTEEN-A OF THE STATE FINANCE LAW.
  S  3. Subdivision 2 of section 98-a of the state finance law, as added
by chapter 705 of the laws of 1993, is amended to read as follows:
  2. Notwithstanding any provision of law to the contrary, investment of
bond proceeds and other funds not immediately required may  be  invested
by  the  comptroller  in  linked deposits pursuant to article fifteen OR
ARTICLE FIFTEEN-A of this chapter. If any moneys  are  invested  by  the
comptroller  in  linked  deposits pursuant to article fifteen OR ARTICLE
FIFTEEN-A of this chapter, the comptroller  shall  compute  the  monthly
earnings  for  all  funds,  other  than  the general fund, as if no such
moneys had been invested in such linked deposits.

S. 2607--C                         110

  S 4. The state finance law is amended by adding a new article 15-A  to
read as follows:
                              ARTICLE 15-A
                     STUDENT LOAN LINKED DEPOSIT ACT
SECTION 225.   SHORT TITLE.
        226.   DEFINITIONS.
        227.   ESTABLISHMENT  AND  PURPOSE;  STUDENT LOAN LINKED DEPOSIT
                 PROGRAM AUTHORIZATION.
        228.   RESPONSIBILITIES OF THE PRESIDENT, COMPTROLLER AND SUPER-
                 INTENDENT.
        229.   RELEASE FROM LINKED DEPOSITS.
        230.   LINKED STUDENT LOANS.
        231.   INTEREST RATE FOR LINKED LOANS; NO LENDER'S FEES.
        232.   APPLICATION PROCEDURE.
        233.   REPAYMENT PERIODS FOR LINKED STUDENT LOANS.
        234.   LIABILITY; EARLY REPAYMENT AND WITHDRAWAL.
        234-A. MONITORING AND REPORT.
        234-B. PROMOTION OF PROGRAM.
        234-C. RULES AND REGULATIONS.
  S 225. SHORT TITLE. THIS ARTICLE SHALL BE KNOWN AND MAY  BE  CITED  AS
THE "STUDENT LOAN LINKED DEPOSIT ACT".
  S  226.  DEFINITIONS.  WHEN  USED  IN THIS ARTICLE, UNLESS A DIFFERENT
MEANING CLEARLY APPEARS FROM THE CONTEXT, THE FOLLOWING TERMS SHALL HAVE
THE FOLLOWING MEANINGS:
  1. "AUTHORIZED DEPOSITOR" MEANS THE COMPTROLLER WITH RESPECT TO LINKED
DEPOSITS MADE BY THE COMPTROLLER.
  2. "COMPTROLLER" MEANS THE COMPTROLLER OF THE STATE OF NEW YORK.
  3. "DEPARTMENT" MEANS THE DEPARTMENT OF FINANCIAL SERVICES.
  4. "ELIGIBLE RECIPIENT" MEANS  AN  INDIVIDUAL  THAT  HAS  SUCCESSFULLY
APPLIED FOR A LINKED STUDENT LOAN AND MET ALL REQUIREMENTS PRESCRIBED BY
THE PRESIDENT AND A LENDING INSTITUTION FOR RECEIPT OF A LOAN.
  5. "LENDER" MEANS:
  (A) ANY COMMERCIAL BANK WHICH IS OR SHALL BECOME AN APPROVED DEPOSITO-
RY  OF  STATE  FUNDS UNDER THE PROVISIONS OF SECTION ONE HUNDRED FIVE OF
THIS CHAPTER AND WHICH AGREES TO PARTICIPATE IN THE PROGRAM; OR
  (B) ANY THRIFT WHICH AN AUTHORIZED DEPOSITOR DETERMINES IS ELIGIBLE TO
ACCEPT LINKED DEPOSITS BASED UPON CRITERIA  APPLIED  BY  THE  AUTHORIZED
DEPOSITOR  IN  MAKING  DETERMINATIONS  UNDER SECTION ONE HUNDRED FIVE OF
THIS CHAPTER, AND WHICH AGREES TO PARTICIPATE IN THE  PROGRAM,  PROVIDED
THAT  ANY  LINKED  DEPOSIT  IN  SUCH THRIFT SHALL BE SECURED IN THE SAME
MANNER AS MONEYS DEPOSITED PURSUANT TO SECTION ONE HUNDRED FIVE OF  THIS
CHAPTER  AND  SUCH THRIFTS SHALL PLEDGE ASSETS OR FURNISH OTHER SECURITY
SATISFACTORY IN FORM AND AMOUNT TO  THE  AUTHORIZED  DEPOSITOR  FOR  THE
REPAYMENT OF MONEYS.
  6.  "LINKED DEPOSIT" MEANS A DEPOSIT PLACED WITH A LENDER BY THE COMP-
TROLLER FOR A PERIOD OF FOUR YEARS AT THE LINKED DEPOSIT INTEREST  RATE,
PROVIDED THE LENDER AGREES TO:
  (A) LEND THE EQUIVALENT VALUE OF SUCH DEPOSIT TO AN ELIGIBLE RECIPIENT
AT  THE INTEREST RATE PROVIDED IN SECTION TWO HUNDRED THIRTY-ONE OF THIS
ARTICLE; AND
  (B) PERMIT THE DEPOSIT TO BE COMPRISED  OF  A  SERIES  OF  NINETY  DAY
DEPOSITS  EACH  BEARING  AN  INTEREST  RATE  EQUAL TO THE LINKED DEPOSIT
INTEREST RATE FIXED AT THE TIME THE ORIGINAL DEPOSIT IS PLACED.
  THIS ARTICLE AND THE RELATED STATUTES THAT REFER TO  THIS  ARTICLE  DO
NOT  GRANT  THRIFTS  ELIGIBILITY TO ACCEPT PUBLIC FUNDS OR PUBLIC MONEYS
FROM PUBLIC ENTITIES  FOR  INVESTMENT  PURPOSES.  A  LINKED  DEPOSIT  IS

S. 2607--C                         111

INTENDED TO ENABLE A LENDER TO MAKE A LINKED LOAN TO AN ELIGIBLE RECIPI-
ENT  AND  SUCH DEPOSIT EARNS A YIELD LOWER THAN POSTED RATES IN ORDER TO
ACCOMPLISH THE GOALS OF THIS ARTICLE.
  7.  "LINKED  DEPOSIT INTEREST RATE" MEANS FOR A LINKED DEPOSIT MADE IN
CONNECTION WITH A LINKED LOAN TO AN ELIGIBLE RECIPIENT A FIXED  RATE  OF
INTEREST  WHICH  IS THREE HUNDRED BASIS POINTS BELOW THE LENDER'S POSTED
FOUR YEAR CERTIFICATE OF DEPOSIT RATE OR, IF THE LENDER DOES NOT OFFER A
FOUR YEAR CERTIFICATE OF DEPOSIT, IS THREE HUNDRED  BASIS  POINTS  BELOW
THE  AVERAGE  STATEWIDE  RATE  FOR  FOUR YEAR CERTIFICATES OF DEPOSIT AS
DETERMINED BY THE SUPERINTENDENT OF FINANCIAL SERVICES.   IN  THE  EVENT
THAT  THE  LENDER'S POSTED FOUR YEAR CERTIFICATE OF DEPOSIT RATE, OR THE
AVERAGE STATEWIDE RATE FOR FOUR YEAR CERTIFICATES OF DEPOSIT  ARE  BELOW
THREE  HUNDRED  BASIS POINTS, THE LINKED DEPOSIT INTEREST RATE SHALL NOT
BE LESS THAN ZERO.
  8. "LINKED LOAN" MEANS A LOAN MADE TO AN  ELIGIBLE  RECIPIENT,  IN  AN
AMOUNT EQUAL TO A LINKED DEPOSIT AND BEARING INTEREST FOR THE FIRST FOUR
YEARS AT THE INTEREST RATE PROVIDED IN SECTION TWO HUNDRED THIRTY-ONE OF
THIS ARTICLE.
  9.  "PRESIDENT"  MEANS  THE PRESIDENT OF THE HIGHER EDUCATION SERVICES
CORPORATION.
  10. "PROGRAM" MEANS THE STUDENT LOAN LINKED DEPOSIT PROGRAM.
  11. "QUALIFIED EDUCATIONAL EXPENSES" MEANS THE ACTUAL OR EXPECTED COST
OF A STUDENT'S HIGHER EDUCATION, WHICH SHALL INCLUDE THE FULL QUARTERLY,
SEMESTERLY OR ANNUAL COST OF TUITION, FEES, BOOKS,  SUPPLIES,  ROOM  AND
BOARD.
  12.  "THRIFT"  MEANS ANY SAVINGS BANK OR SAVINGS AND LOAN ASSOCIATION,
FEDERAL SAVINGS BANK OR FEDERAL SAVINGS AND LOAN ASSOCIATION.
  S 227. ESTABLISHMENT AND PURPOSE; STUDENT LOAN LINKED DEPOSIT  PROGRAM
AUTHORIZATION.  THE  STUDENT  LOAN  LINKED  DEPOSIT  PROGRAM  IS  HEREBY
CREATED.  THE PURPOSE OF THE PROGRAM IS TO MAKE AVAILABLE  TO  RESIDENTS
OF  NEW  YORK STATE REDUCED RATE LOANS THAT WILL ASSIST IN THE FINANCING
OF AN IN-STATE COLLEGE EDUCATION. THE COMPTROLLER IS  HEREBY  AUTHORIZED
TO  USE  ANY MONEYS OF THE STATE THE COMPTROLLER IS AUTHORIZED TO INVEST
PURSUANT TO SECTION NINETY-EIGHT-A OF THIS CHAPTER  AS  LINKED  DEPOSITS
FOR  THE  PROGRAM.    NOT  MORE THAN ONE HUNDRED MILLION DOLLARS OF SUCH
MONEYS SHALL BE ON DEPOSIT PURSUANT TO THE PROGRAM AT ANY GIVEN TIME.
  S 228. RESPONSIBILITIES OF THE PRESIDENT, COMPTROLLER AND  SUPERINTEN-
DENT.  1. THE PRESIDENT SHALL ADMINISTER THE PROGRAM PURSUANT TO SECTION
TWO HUNDRED THIRTY-TWO OF THIS ARTICLE,  INCLUDING  ALL  DECISIONS  WITH
RESPECT  TO  THE APPLICATION AND USE OF THE PROGRAM FOR ELIGIBLE RECIPI-
ENTS; MARKET AND PROMOTE THE PROGRAM PURSUANT  TO  SECTION  TWO  HUNDRED
THIRTY-FOUR-B OF THIS ARTICLE; AFTER CONSULTING WITH THE COMPTROLLER AND
THE  SUPERINTENDENT  OF  FINANCIAL SERVICES, ISSUE RULES AND REGULATIONS
FOR THE OPERATION OF THE PROGRAM PURSUANT TO SECTION TWO  HUNDRED  THIR-
TY-FOUR-C OF THIS ARTICLE.
  2. THE COMPTROLLER'S RESPONSIBILITIES FOR THE PROGRAM SHALL BE LIMITED
TO:  PURSUANT TO SECTIONS TWO HUNDRED TWENTY-SEVEN AND TWO HUNDRED THIR-
TY-TWO  OF THIS ARTICLE, PLACING MONEYS ON DEPOSIT AT THE REQUEST OF THE
PRESIDENT FOR THE PURPOSES OF THE PROGRAM AND ADMINISTERING SUCH  DEPOS-
ITS  IN  ACCORDANCE WITH SECTIONS NINETY-EIGHT-A AND ONE HUNDRED FIVE OF
THIS CHAPTER AND WITH  THE  COMPTROLLER'S  ESTABLISHED  PROCEDURES;  AND
ENTERING  INTO  DEPOSIT  AGREEMENTS WITH LENDERS PURSUANT TO SECTION TWO
HUNDRED THIRTY-TWO OF THIS ARTICLE.
  3. THE SUPERINTENDENT'S RESPONSIBILITIES  FOR  THE  PROGRAM  SHALL  BE
LIMITED  TO  MARKETING AND PROMOTING THE PROGRAM PURSUANT TO SECTION TWO
HUNDRED THIRTY-FOUR-B OF THIS ARTICLE.

S. 2607--C                         112

  S 229. RELEASE FROM LINKED  DEPOSITS.  THE  AUTHORIZED  DEPOSITOR  MAY
PERMIT FUNDS RELEASED FROM A LINKED DEPOSIT RELATING TO A LINKED LOAN TO
BE MADE AVAILABLE FOR ADDITIONAL LINKED DEPOSITS UNDER THIS PROGRAM.
  S  230.  LINKED  STUDENT  LOANS. LINKED STUDENT LOANS SHALL BE MADE BY
LENDERS PURSUANT TO THE PROGRAM ONLY TO ELIGIBLE RECIPIENTS  FOR  QUALI-
FIED  EDUCATIONAL  EXPENSES. A LINKED LOAN SHALL BE LIMITED TO A MAXIMUM
AMOUNT OF SEVEN THOUSAND FIVE HUNDRED  DOLLARS  PER  ACADEMIC  YEAR.  AN
ELIGIBLE RECIPIENT MAY RECEIVE NO MORE THAN ONE LINKED LOAN PER ACADEMIC
YEAR.  DURING  THE  LIFE OF THE LINKED LOAN PROGRAM, THE TOTAL AMOUNT OF
MONEY THAT AN ELIGIBLE RECIPIENT CAN BORROW FROM THE LINKED STUDENT LOAN
PROGRAM SHALL BE THIRTY THOUSAND DOLLARS. THE CREDIT DECISION FOR MAKING
A LINKED LOAN SHALL BE MADE SOLELY BY THE LENDER, PROVIDED HOWEVER  THAT
SUCH  LENDER  SHALL  ENSURE THAT AN ELIGIBLE RECIPIENT COMPLIES WITH THE
PROVISIONS OF THIS ARTICLE, INCLUDING ANY RULES OR REGULATIONS ISSUED BY
THE PRESIDENT. NOTWITHSTANDING THE LENGTH OF THE TERM OF A LINKED  LOAN,
THE  LINKED DEPOSIT RELATING TO THE LINKED LOAN SHALL BE FOR A PERIOD OF
NOT MORE THAN FOUR YEARS.
  S 231. INTEREST RATE FOR LINKED LOANS; NO  LENDER'S  FEES.  1.  LINKED
LOANS  MADE  TO  ELIGIBLE RECIPIENTS SHALL BEAR INTEREST AT A FIXED RATE
EQUAL TO THREE PERCENTAGE POINTS BELOW THE FIXED INTEREST RATE THE LEND-
ER WOULD HAVE CHARGED FOR THE LOAN IN THE ABSENCE OF  A  LINKED  DEPOSIT
BASED  ON  ITS USUAL CREDIT CONSIDERATIONS. LENDERS SHALL CERTIFY TO THE
PRESIDENT THAT THE RATE TO BE CHARGED ON A LINKED LOAN IS THREE PERCENT-
AGE POINTS BELOW THE INTEREST RATE THE LENDER WOULD HAVE CHARGED FOR THE
LOAN IN THE ABSENCE OF A LINKED DEPOSIT.
  2. LENDERS WHO MAKE LOANS PURSUANT TO THE PROGRAM SHALL NOT  BE  ENTI-
TLED  TO  CHARGE  ANY DISCOUNT, POINTS, ORIGINATION FEES, HANDLING FEES,
SERVICE CHARGES, REFINANCING FEES OR PENALTIES OR ANY CHARGE OTHER  THAN
THOSE NORMALLY CHARGED AND IN SUCH AMOUNTS NORMALLY CHARGED BY THE LEND-
ER FOR LOANS OF THE TYPE BEING MADE WITHOUT REGARD TO THE PROGRAM.
  S 232. APPLICATION PROCEDURE. 1. THE PRESIDENT, WITH THE ASSISTANCE OF
THE  SUPERINTENDENT  OF  THE  DEPARTMENT, SHALL ESTABLISH PROCEDURES AND
OTHER REQUIREMENTS FOR PARTICIPATION IN THE PROGRAM, AND SHALL PROVIDE A
SIMPLIFIED APPLICATION FORM TO  THE  PARTICIPATING  LENDERS  FOR  LINKED
DEPOSITS.    SUCH FORM SHALL REFLECT THE QUALIFYING INFORMATION REQUIRED
BY THIS ARTICLE FOR ELIGIBLE LOAN RECIPIENTS.   UPON COMPLETION  OF  ANY
APPLICATION FOR A LINKED DEPOSIT, THE LENDER SHALL SEND THE APPLICATION,
TOGETHER  WITH  THE  INTEREST  RATE  CERTIFICATION  REQUIRED PURSUANT TO
SECTION TWO HUNDRED THIRTY-ONE OF THIS ARTICLE,  TO  THE  PRESIDENT  WHO
SHALL EITHER APPROVE OR REJECT THE APPLICATION WITHIN TWENTY-EIGHT DAYS.
THE  PRESIDENT  SHALL EVALUATE EACH APPLICATION BASED UPON THE FOLLOWING
CRITERIA:
  (A) THE EXTENT TO WHICH SUCH LOAN WOULD REDUCE THE LONG-TERM  COST  OF
FINANCING A STUDENT'S HIGHER EDUCATION;
  (B)  THE  LIKELIHOOD OF THE STUDENT SUCCESSFULLY COMPLETING HIS OR HER
HIGHER EDUCATION AND REPAYING THE LOAN WITHIN A TIMELY MANNER; AND
  (C) SUCH OTHER CRITERIA AS THE PRESIDENT DEEMS RELEVANT.
  2. IF THE DEPOSIT APPLICATION IS APPROVED BY THE PRESIDENT, HE OR  SHE
SHALL  NOTIFY AN AUTHORIZED DEPOSITOR THAT A DETERMINATION HAS BEEN MADE
THAT THE APPLICATION SATISFIES THE REQUIREMENTS OF THIS ARTICLE, AND THE
PRESIDENT SHALL REQUEST THE AUTHORIZED DEPOSITOR TO DEPOSIT  FUNDS  WITH
THE LENDER IN ACCORDANCE WITH SECTION NINETY-EIGHT-A OF THIS CHAPTER AND
WITH  THE  AUTHORIZED  DEPOSITOR'S ESTABLISHED PROCEDURES. SUCH DEPOSITS
SHALL BE SECURED IN  ACCORDANCE  WITH  THE  PROVISIONS  OF  SECTION  ONE
HUNDRED  FIVE OF THIS CHAPTER, AND LENDERS RECEIVING SUCH DEPOSITS SHALL
SATISFY, IN THE SOLE JUDGMENT OF THE AUTHORIZED DEPOSITOR,  ALL  COLLAT-

S. 2607--C                         113

ERAL  AND  OTHER REQUIREMENTS GENERALLY APPLIED BY THE AUTHORIZED DEPOS-
ITOR TO FUNDS INVESTED BY IT.  THE NOTIFIED AUTHORIZED DEPOSITOR AND THE
LENDER SHALL ENTER INTO A WRITTEN DEPOSIT AGREEMENT. IN NO  EVENT  SHALL
ANY  DEFECT IN ANY SUCH AGREEMENT BE ASSERTED AS A DEFENSE BY A BORROWER
ON A LINKED LOAN MADE PURSUANT TO THE PROGRAM.
  S 233. REPAYMENT PERIODS FOR LINKED STUDENT LOANS. THE PRESIDENT SHALL
REQUIRE THAT LINKED STUDENT LOANS ISSUED THROUGH THE PROGRAM OFFER FLEX-
IBLE REPAYMENT OPTIONS, INCLUDING THE OPTION OF AN  INCOME-BASED  REPAY-
MENT PLAN.  SUCH REPAYMENT OPTIONS MAY, IF THE PRESIDENT DEEMS IT ADVIS-
ABLE,  BE  CONSISTENT WITH THE REPAYMENT TERMS STIPULATED BY THE WILLIAM
D. FORD FEDERAL DIRECT LOAN PROGRAM AUTHORIZED PURSUANT TO 20 USC  CHAP-
TER 28, SUBCHAPTER IV, PART C.
  S 234. LIABILITY; EARLY REPAYMENT AND WITHDRAWAL. NOTHING CONTAINED IN
THIS  ARTICLE  SHALL IMPOSE LIABILITY ON THE STATE OR ANY OF ITS DEPART-
MENTS OR EMPLOYEES FOR PAYMENT OR DELAYS IN PAYMENT OF THE PRINCIPAL  OR
INTEREST  OF  A  LINKED  LOAN. ANY DELAY IN PAYMENTS OR ANY DEFAULT ON A
LINKED LOAN SHALL IN NO WAY AFFECT THE LINKED DEPOSIT AGREEMENT  BETWEEN
THE  LENDER  AND  THE  AUTHORIZED  DEPOSITOR.  HOWEVER, IN THE EVENT THE
INTEREST RATE OF THE LINKED LOAN SHALL BE INCREASED AS A CONSEQUENCE  OF
DEFAULT  OR  RENEGOTIATION, OR THE LOAN SHALL BE CHARGED OFF, THE LENDER
SHALL GIVE THE AUTHORIZED DEPOSITOR PROMPT NOTICE OF SUCH EVENT, AND THE
AUTHORIZED DEPOSITOR SHALL THEREAFTER WITHDRAW THE LINKED  DEPOSIT  UPON
NOT LESS THAN SEVEN DAYS' PRIOR WRITTEN NOTICE TO THE LENDER. UPON EARLY
REPAYMENT OF A LINKED LOAN, THE LENDER SHALL WITHIN THIRTY DAYS GIVE THE
AUTHORIZED  DEPOSITOR NOTICE OF SUCH EARLY REPAYMENT, AND THE AUTHORIZED
DEPOSITOR SHALL THEREAFTER WITHDRAW THE LINKED  DEPOSIT  UPON  NOT  LESS
THAN  SEVEN  DAYS'  PRIOR WRITTEN NOTICE TO THE LENDER, AND THE INTEREST
RATE PAYABLE ON THE LINKED DEPOSIT FROM THE DATE OF EARLY  REPAYMENT  OF
THE LINKED LOAN TO THE DATE OF WITHDRAWAL OF THE LINKED DEPOSIT SHALL BE
THE INTEREST RATE UPON WHICH THE LINKED DEPOSIT INTEREST RATE WAS CALCU-
LATED WITHOUT REGARD TO THE APPLICABLE BASIS POINT REDUCTION.
  S  234-A.  MONITORING  AND  REPORT. 1. THE PRESIDENT SHALL MONITOR THE
ACTIVITIES OF PARTICIPATING LENDERS AND LOAN RECIPIENTS AND MAY  REQUIRE
PERIODIC REPORTS OR OTHER INFORMATION THE PRESIDENT DEEMS NECESSARY FROM
PARTICIPATING  LENDERS  AND  LOAN RECIPIENTS ON THE STATUS OF THE LINKED
LOANS TO ENSURE COMPLIANCE WITH THE PROVISIONS AND THE  INTENT  OF  THIS
ARTICLE.
  2.  ON  OR  BEFORE  DECEMBER FIRST, TWO THOUSAND FIFTEEN, AND ANNUALLY
THEREAFTER THE PRESIDENT SHALL SUBMIT TO  THE  GOVERNOR,  THE  TEMPORARY
PRESIDENT OF THE SENATE AND THE SPEAKER OF THE ASSEMBLY A REPORT REGARD-
ING THE ACTIVITIES OF THE PROGRAM. SUCH REPORT SHALL CONTAIN A STATEMENT
OF  THE COST OF THE PROGRAM TO THE STATE, CONSIDERED AS A WHOLE, BECAUSE
OF REDUCED RATES ON FUNDS INVESTED IN LINKED DEPOSITS. SUCH REPORT SHALL
ALSO INCLUDE, BUT SHALL NOT BE LIMITED TO, THE NUMBER AND TYPE OF LINKED
LOANS UNDER THE PROGRAM AND THE AMOUNT THEREOF; THE NUMBER AND TYPES  OF
LENDERS  MAKING  LINKED LOANS AND OF INDIVIDUALS RECEIVING LINKED LOANS;
THE GEOGRAPHIC DISTRIBUTION OF SUCH LENDERS  AND  RECIPIENTS,  INCLUDING
THE STEPS TAKEN TO ENSURE GEOGRAPHIC DIVERSITY AMONG PARTICIPATING LEND-
ERS, AS WELL AS ANY INFORMATION THE PRESIDENT DETERMINES USEFUL IN EVAL-
UATING THE BENEFITS OF THE PROGRAM.
  S  234-B. PROMOTION OF PROGRAM. THE DEPARTMENT, WITH THE ASSISTANCE OF
OTHER APPROPRIATE STATE AGENCIES,  SHALL  ACTIVELY  MARKET  AND  PROMOTE
AWARENESS  OF  THE  PROGRAM IN ALL GEOGRAPHICAL AREAS OF THE STATE AMONG
COMMERCIAL BANKS, THRIFTS AND OTHER APPROPRIATE BANKING ORGANIZATIONS.
  S 234-C. RULES AND REGULATIONS. THE PRESIDENT SHALL,  IN  CONSULTATION
WITH  THE  COMPTROLLER  AND  THE  SUPERINTENDENT  OF FINANCIAL SERVICES,

S. 2607--C                         114

PROMULGATE RULES AND REGULATIONS NECESSARY AND REASONABLE FOR THE OPERA-
TION OF THE PROGRAM.
  S 5. This act shall take effect on the one hundred eightieth day after
it shall have become a law, provided however that effective immediately,
the addition, amendment and/or repeal of any rules or regulations neces-
sary  for  implementation  of  the foregoing sections of this act on its
effective date is authorized and directed to be made and completed on or
before such effective date.

                                 PART Z

  Section 1. Paragraph (c) of subdivision 2  of  section  591-a  of  the
labor  law,  as added by chapter 413 of the laws of 2003, is amended and
two new subdivisions 5 and 6 are added to read as follows:
  (c) individuals may receive the allowance described in  paragraph  (a)
of this subdivision if such individuals:
  (i)  are eligible to receive regular unemployment benefits or would be
eligible to receive such benefits except for the requirements set  forth
in  subparagraphs (i) and (ii) of paragraph (b) of this subdivision. For
purposes of this section, regular unemployment benefits  means  benefits
payable under this article, including benefits payable to federal civil-
ian  employees  and  to ex-servicemen and servicewomen pursuant to 5 USC
Chapter 85, but excluding additional and  extended  benefits  EXCEPT  AS
OTHERWISE PROVIDED IN THIS CHAPTER;
  (ii)  are identified pursuant to a worker profiling system as individ-
uals WITH A PROFILING SCORE OF THIRTY OR  MORE  AND  likely  to  exhaust
regular unemployment benefits;
  (iii)  are  participating  in  self-employment  assistance  activities
approved by the department and by the department of economic development
which include but need not be limited to entrepreneurial training, busi-
ness counseling, and technical assistance, including  financing  assist-
ance  for qualified individuals as appropriate, offered by entrepreneur-
ship support centers established pursuant to section two hundred  twelve
of  the  economic  development  law,  state university of New York small
business development centers, programs offered by community-based organ-
izations, local development  corporations,  and  boards  of  cooperative
educational  services  (BOCES)  as  established  pursuant to section one
thousand nine hundred fifty of the education law; AND, UNLESS  OTHERWISE
REQUIRED BY FEDERAL LAW OR REGULATION, NO INDIVIDUAL SHALL BE PROHIBITED
FROM  OR  DISQUALIFIED  FROM  ELIGIBILITY  FOR  THE PROGRAM BY REASON OF
HAVING INCORPORATED OR REGISTERED A BUSINESS OR PROFESSION  OR  OBTAINED
LICENSES  OR  CERTIFICATES  THEREFORE,  RENTED  SPACE FOR SUCH BUSINESS,
PRINTED BUSINESS CARDS, SOLICITED CUSTOMERS,  DEVELOPED  A  WEBSITE,  OR
TAKEN  SUCH  OTHER USUAL AND CUSTOMARY STEPS TOWARD CREATING A BUSINESS,
OR HAVING PREVIOUSLY ENROLLED IN A BUSINESS TRAINING PROGRAM  WHICH  THE
COMMISSIONER HAS APPROVED;
  (iv)  are  actively  engaged on a full-time basis in activities, which
may include training, relating to the establishment of  a  business  and
becoming self-employed;
  (v)  are  not individuals who have previously participated in self-em-
ployment assistance programs pursuant to this section; and
  5. THE DEPARTMENT SHALL MAKE MODIFICATIONS NECESSARY PURSUANT  TO  THE
STATE  AGREEMENT  PURSUANT TO SECTION 4001(A) OF THE SUPPLEMENTAL APPRO-
PRIATIONS ACT OF 2008 TO ALLOW INDIVIDUALS RECEIVING  BENEFITS  PURSUANT
TO  EMERGENCY  UNEMPLOYMENT BENEFITS TO BE ELIGIBLE FOR THE SELF-EMPLOY-
MENT ASSISTANCE PROGRAM AUTHORIZED HEREIN.

S. 2607--C                         115

  6. ANY OTHER PROVISION OF THIS CHAPTER TO THE  CONTRARY  NOTWITHSTAND-
ING,  A  CLAIMANT  RECEIVING  EXTENDED  BENEFITS PURSUANT TO SECTION SIX
HUNDRED ONE OF THIS TITLE SHALL  BE  ELIGIBLE  FOR  THE  SELF-EMPLOYMENT
ASSISTANCE PROGRAM AUTHORIZED BY THIS SECTION, PROVIDED THAT:
  (A)  INDIVIDUALS  WHO MEET THE REQUIREMENTS DESCRIBED IN PARAGRAPH (C)
OF SUBDIVISION TWO OF THIS SECTION ARE ELIGIBLE TO RECEIVE AN  ALLOWANCE
IN  LIEU  OF EXTENDED UNEMPLOYMENT BENEFITS FOR THE PURPOSE OF ASSISTING
SUCH INDIVIDUALS IN ESTABLISHING A BUSINESS AND BECOMING SELF-EMPLOYED;
  (B) THE ALLOWANCE PAYABLE TO INDIVIDUALS PURSUANT TO PARAGRAPH (A)  OF
THIS SUBDIVISION IS PAYABLE IN THE SAME AMOUNT, AT THE SAME INTERVAL, ON
THE SAME TERMS, AND SUBJECT TO THE SAME CONDITIONS, AS EXTENDED BENEFITS
AND  THE  SUM  OF ANY ALLOWANCE PAID UNDER THIS SECTION AND THE EXTENDED
BENEFITS WITH RESPECT TO ANY BENEFIT YEAR SHALL NOT EXCEED  THE  MAXIMUM
BENEFIT AMOUNT PERMITTED UNDER THIS ARTICLE, EXCEPT:
  (I)  APPLICABLE  REQUIREMENTS  RELATING  TO TOTAL UNEMPLOYMENT ARE NOT
APPLICABLE TO SUCH INDIVIDUALS;
  (II) APPLICABLE REQUIREMENTS RELATING TO DISQUALIFYING INCOME ARE  NOT
APPLICABLE  TO  INCOME  EARNED FROM SELF-EMPLOYMENT ENTERED INTO BY SUCH
INDIVIDUALS AS  A  RESULT  OF  THEIR  PARTICIPATION  IN  SELF-EMPLOYMENT
ASSISTANCE PROGRAMS AS DEFINED IN THIS SECTION; AND
  (III)  SUCH  INDIVIDUALS  ARE  CONSIDERED  TO  BE  UNEMPLOYED  FOR THE
PURPOSES OF LAWS APPLICABLE TO UNEMPLOYMENT BENEFITS, AS  LONG  AS  SUCH
INDIVIDUALS MEET THE REQUIREMENTS APPLICABLE UNDER THIS SUBDIVISION;
  (C)  AN INDIVIDUAL WHO FAILS TO PARTICIPATE IN SELF-EMPLOYMENT ASSIST-
ANCE ACTIVITIES OR WHO FAILS TO ACTIVELY ENGAGE ON A FULL-TIME BASIS  IN
ACTIVITIES (WHICH MAY INCLUDE TRAINING) RELATING TO THE ESTABLISHMENT OF
A BUSINESS AND BECOMING SELF-EMPLOYED SHALL BE DISQUALIFIED FOR THE WEEK
SUCH FAILURE OCCURS; AND
  (D)  AN  INDIVIDUAL SHALL NOT BE ELIGIBLE TO RECEIVE A SELF-EMPLOYMENT
ALLOWANCE UNLESS THE DEPARTMENT HAS A REASONABLE  EXPECTATION  THAT  THE
INDIVIDUAL  WILL BE ENTITLED TO AT LEAST THIRTEEN TIMES THE INDIVIDUAL'S
AVERAGE WEEKLY BENEFIT AMOUNT OF  EXTENDED  COMPENSATION  AND  EMERGENCY
UNEMPLOYMENT COMPENSATION.
  (E)  THE AGGREGATE NUMBER OF INDIVIDUALS RECEIVING THE ALLOWANCE UNDER
THIS SUBDIVISION AT ANY TIME SHALL NOT EXCEED ONE PERCENT OF THE  NUMBER
OF INDIVIDUALS RECEIVING EXTENDED COMPENSATION.
  S  2. Section 10 of chapter 413 of the laws of 2003 amending the labor
law  relating  to  the  self-employment  assistance  program  and  other
matters,  as  amended  by chapter 134 of the laws of 2011, is amended to
read as follows:
  S 10.  This act shall take effect immediately; provided, however, that
sections eight and nine of this act shall expire December 7, [2013] 2015
when upon such date the provisions of  such  sections  shall  be  deemed
repealed.
  S  3.  This act shall take effect immediately; provided, however, that
the amendments to section 591-a of the labor law made by section one  of
this act shall not affect the repeal of such section and shall be deemed
repealed therewith.

                                 PART AA

  Section 1. The education law is amended by adding a new section 6303-a
to read as follows:
  S  6303-A.  REMEDIAL  EDUCATION PLAN AND PROGRAM.   1. DEFINITIONS. AS
USED IN THIS SECTION, THE FOLLOWING TERMS SHALL HAVE THE FOLLOWING MEAN-
INGS:

S. 2607--C                         116

  (A) "CITY UNIVERSITY TRUSTEES" SHALL MEAN THE BOARD OF TRUSTEES OF THE
CITY UNIVERSITY OF NEW YORK.
  (B)  "CONTRACT  COURSES" SHALL MEAN COURSES OFFERED FOR THE PURPOSE OF
PROVIDING OCCUPATIONAL  TRAINING  OR  ASSISTANCE  TO  BUSINESS  FOR  THE
CREATION  AND  RETENTION OF JOB OPPORTUNITIES AND FOR THE IMPROVEMENT OF
PRODUCTIVITY, THROUGH CONTRACTS  OR  ARRANGEMENTS  BETWEEN  A  COMMUNITY
COLLEGE  AND  A  BUSINESS,  LABOR ORGANIZATION, OR NOT-FOR-PROFIT CORPO-
RATIONS OR OTHER NONGOVERNMENTAL ORGANIZATIONS, INCLUDING  LABOR-MANAGE-
MENT COMMITTEES COMPOSED OF LABOR, BUSINESS AND COMMUNITY LEADERS ORGAN-
IZED TO PROMOTE LABOR-MANAGEMENT RELATIONS, PRODUCTIVITY, THE QUALITY OF
WORKING  LIFE,  INDUSTRIAL DEVELOPMENT, AND RETENTION OF BUSINESS IN THE
COMMUNITY.
  (C) "PLAN" SHALL MEAN THE REMEDIAL EDUCATION PLAN TO BE  DEVELOPED  BY
THE  STATE  UNIVERSITY  TRUSTEES  PURSUANT  TO  SUBDIVISION  TWO OF THIS
SECTION.
  (D) "PROGRAM" SHALL MEAN THE REMEDIAL EDUCATION PROGRAM TO  BE  DEVEL-
OPED  BY  THE  STATE  UNIVERSITY TRUSTEES PURSUANT TO SUBDIVISION TWO OF
THIS SECTION.
  2. BY NO LATER THAN JANUARY FIRST, TWO THOUSAND  FOURTEEN,  THE  STATE
UNIVERSITY  TRUSTEES  SHALL  DEVELOP,  AS  PART OF THE MASTER PLAN TO BE
SUBMITTED PURSUANT TO SECTION THREE HUNDRED FIFTY-FOUR OF THIS  CHAPTER,
A  COMPREHENSIVE REMEDIAL EDUCATION PLAN TO BE INCORPORATED INTO ITS TWO
THOUSAND SIXTEEN MASTER PLAN AND FULLY IMPLEMENTED NO  LATER  THAN  JULY
FIRST,  TWO THOUSAND SIXTEEN AT EACH OF THE STATE UNIVERSITY OF NEW YORK
COMMUNITY COLLEGES. SUCH REMEDIAL EDUCATION PLAN SHALL SEEK TO DEVELOP A
REMEDIAL EDUCATION PROGRAM TO ACCOMPLISH THE FOLLOWING GOALS:
  (A) IMPROVE COMMUNITY COLLEGE OUTCOMES BY REDUCING THE TIME TO  DEGREE
COMPLETION OR TRANSFER TO A FOUR YEAR COLLEGE;
  (B)  REDUCE  STATE  AND LOCAL SPONSOR EXPENDITURES ON REMEDIAL COURSE-
WORK;
  (C) IMPROVING OVERALL COMMUNITY COLLEGE GRADUATION RATES  AND  EMPLOY-
MENT PROSPECTS.
  3.  THE  STATE UNIVERSITY TRUSTEES SHALL WORK WITH THE CITY UNIVERSITY
TRUSTEES TO MODEL ITS REMEDIAL EDUCATION PROGRAM AFTER  THE  ACCELERATED
STUDY IN ASSOCIATE PROGRAMS AT THE CITY UNIVERSITY OF NEW YORK.  AS PART
OF THE PLAN, THE STATE UNIVERSITY TRUSTEES SHALL PRODUCE A COST ESTIMATE
OF  THE AMOUNT OF STATE AND LOCAL SPONSOR SUPPORT NEEDED TO FULLY IMPLE-
MENT A REMEDIAL EDUCATION PROGRAM AT EACH COMMUNITY COLLEGE OF THE STATE
UNIVERSITY OF NEW YORK.
  4. AS PART OF THE PLAN, THE TRUSTEES SHALL ESTABLISH  TWO  TRACKS  FOR
STUDENTS  IDENTIFIED  AS  BEING IN NEED OF REMEDIAL EDUCATION. ONE TRACK
SHALL PREPARE STUDENTS FOR THE WORKFORCE THROUGH CONTRACT  COURSES,  AND
ANOTHER  TRACK  SHALL  PREPARE  STUDENTS  FOR  COMPLETION  OF  A  TWO OR
FOUR-YEAR DEGREE. THE TRUSTEES SHALL ESTABLISH A MECHANISM BY WHICH EACH
COMMUNITY COLLEGE WILL IDENTIFY AND RECOMMEND STUDENTS FOR PLACEMENT  IN
ONE OF THE TWO TRACKS, PROVIDED HOWEVER, THAT ENROLLMENT IN A PARTICULAR
TRACK SHALL ONLY BE VALID UPON THE CONSENT OF A STUDENT.
  5. WITH RESPECT TO CONTRACT COURSES OR WORKFORCE DEVELOPMENT PROGRAMS,
EACH  COMMUNITY  COLLEGE SHALL WORK WITH LOCAL EMPLOYERS TO IDENTIFY THE
OCCUPATIONAL SKILLS NEEDED FOR JOBS OFFERED BY EMPLOYERS LOCATED IN  THE
SAME  REGION AS THE COMMUNITY COLLEGE. SUCH CONTRACT COURSE OR WORKFORCE
DEVELOPMENT PROGRAM SHALL REQUIRE THAT THE EMPLOYER OR BUSINESS  SEEKING
TO  EMPLOY  COMMUNITY  COLLEGE  STUDENTS  UPON  COMPLETION OF A CONTRACT
COURSE OR WORKFORCE DEVELOPMENT PROGRAM, PROVIDE  AT  LEAST  TWENTY-FIVE
PERCENT OF THE FUNDS REQUIRED FOR SUCH COURSE OR PROGRAM. EACH COMMUNITY
COLLEGE WORKFORCE DEVELOPMENT PROGRAM SHALL WORK TO RETAIN LOCAL EMPLOY-

S. 2607--C                         117

ERS,  AND ATTRACT OUTSIDE EMPLOYERS TO THE REGION IN WHICH THE COMMUNITY
COLLEGE IS LOCATED.
  6. NOTWITHSTANDING THE PROVISIONS OF SUBDIVISION FIVE OF THIS SECTION,
A  BUSINESS OR EMPLOYER SHALL NOT BE REQUIRED TO REIMBURSE THE COMMUNITY
COLLEGE FOR A STUDENT THAT COMPLETES  A  CONTRACT  COURSE  OR  WORKFORCE
DEVELOPMENT  PROGRAM, UNTIL AFTER THE STUDENT IS GAINFULLY EMPLOYED WITH
THE BUSINESS.
  7. WITH RESPECT TO STUDENTS PURSUING A TWO OR  FOUR-YEAR  DEGREE,  THE
COMMUNITY  COLLEGE  SHALL UTILIZE FEATURES CONTAINED WITHIN THE ACCELER-
ATED STUDY IN ASSOCIATE PROGRAMS, INCLUDING,  BUT  NOT  LIMITED  TO  THE
FOLLOWING:
  (A)  A  CONSOLIDATED  COURSE  SCHEDULE  THAT  PERMITS STUDENTS TO TAKE
CLASSES IN A MORNING, AFTERNOON, EVENING OR WEEKEND SCHEDULE  SO  AS  TO
ENABLE  STUDENTS TO BALANCE SCHOOL, WORK AND OTHER PERSONAL RESPONSIBIL-
ITIES;
  (B) COHORT COURSE TAKING THAT GROUPS STUDENTS BASED ON MAJOR;
  (C)  AN  INTRUSIVE  ADVISEMENT  MODEL  THAT  DIRECTS  COUNSELORS  WITH
ASSIGNED  CASELOADS  TO  MEET  WITH  STUDENTS MONTHLY FROM PROGRAM ENTRY
UNTIL GRADUATION;
  (D) CAREER AND EMPLOYMENT SERVICES THAT PROVIDE STUDENTS  WITH  INTER-
VIEW TRAINING, JOB SKILLS AND CAREER PLANNING;
  (E)  ACADEMIC  SUPPORT  SERVICES  THAT PROVIDE TUTORING FROM QUALIFIED
UNDERGRADUATE OR GRADUATE STUDENTS OR FACULTY;
  (F) MANDATORY SUMMER ORIENTATIONS OR INSTITUTES FOR STUDENTS  ENTERING
THE REMEDIAL EDUCATION PROGRAM; AND
  (G)  COMPREHENSIVE EVALUATION AND THE USE OF DATA TO ASSESS THE EFFEC-
TIVENESS OF THE PROGRAM.
  8. THE OPERATING COSTS OF SUCH REMEDIAL EDUCATION PROGRAM FOR STUDENTS
PURSUING A TWO OR FOUR-YEAR DEGREE SHALL BE BORNE BY THE STATE  AND  THE
LOCAL SPONSOR RESPONSIBLE FOR OPERATING THE COMMUNITY COLLEGE. THE STATE
SHALL PROVIDE FIFTY PERCENT OF THE FUNDS FOR OPERATING A REMEDIAL EDUCA-
TION  PROGRAM,  AND  THE  LOCAL  SPONSOR  SHALL  PROVIDE THE OTHER FIFTY
PERCENT OF SUCH OPERATING COSTS.
  9. EACH COMMUNITY COLLEGE SHALL BE REQUIRED TO IMPLEMENT, ON A PARTIAL
BASIS, ITS REMEDIAL EDUCATION PROGRAM BY THE TWO THOUSAND  FOURTEEN--TWO
THOUSAND  FIFTEEN ACADEMIC YEAR. PRIOR TO THE TWO THOUSAND FOURTEEN--TWO
THOUSAND FIFTEEN ACADEMIC YEAR, EACH COMMUNITY COLLEGE  SHALL  CALCULATE
ITS EXPENDITURES ON REMEDIAL COURSEWORK IN THE PRIOR ACADEMIC YEAR. SUCH
EXPENDITURES  SHALL THEN BE MULTIPLIED BY:  (A) THIRTY PERCENT TO DETER-
MINE THE TOTAL MAXIMUM BUDGET FOR PARTIAL IMPLEMENTATION OF THE REMEDIAL
EDUCATION PROGRAM IN THE TWO  THOUSAND  FOURTEEN--TWO  THOUSAND  FIFTEEN
ACADEMIC  YEAR,  (B) SIXTY PERCENT TO DETERMINE THE TOTAL MAXIMUM BUDGET
FOR PARTIAL IMPLEMENTATION OF THE REMEDIAL EDUCATION PROGRAM IN THE  TWO
THOUSAND  FIFTEEN--TWO  THOUSAND  SIXTEEN  ACADEMIC YEAR; AND (C) NINETY
PERCENT TO DETERMINE THE TOTAL MAXIMUM BUDGET FOR FULL IMPLEMENTATION OF
THE REMEDIAL EDUCATION PROGRAM IN THE TWO THOUSAND SIXTEEN--TWO THOUSAND
SEVENTEEN ACADEMIC YEAR. FULL  IMPLEMENTATION  SHALL  REQUIRE  THAT  ALL
STUDENTS IN NEED OF AT LEAST ONE REMEDIAL EDUCATION COURSE ENROLL IN THE
REMEDIAL EDUCATION PROGRAM.
  10.  EACH  COMMUNITY COLLEGE SHALL REPORT ON THE IMPLEMENTATION OF THE
PROGRAM CREATED PURSUANT TO PARAGRAPH  D  OF  SUBDIVISION  ONE  OF  THIS
SECTION AND SHALL REPORT ON MEASURES OF STUDENT SUCCESS FOR EACH STUDENT
ENROLLED  IN  SUCH PROGRAM. SUCH REPORT SHALL INCLUDE BUT NOT BE LIMITED
TO:

S. 2607--C                         118

  (A) THE NUMBER OF  STUDENTS  WHO  ARE  EMPLOYED  FOLLOWING  DEGREE  OR
CERTIFICATION  COMPLETION AND THEIR WAGE GAINS, IF ANY, AS DETERMINED BY
THE DEPARTMENT OF LABOR;
  (B)  THE  NUMBER  OF  ON-TIME  DEGREE COMPLETIONS, ON-TIME CERTIFICATE
COMPLETIONS AND STUDENT TRANSFERS TO OTHER INSTITUTIONS OF HIGHER EDUCA-
TION;
  (C) THE NUMBER OF DEGREES AND CERTIFICATES THAT ARE COMPLETED BUT  ARE
NOT CONSIDERED ON-TIME COMPLETIONS;
  (D)  THE  NUMBER  OF  DEGREE  AND CERTIFICATE COMPLETIONS BY A STUDENT
CONSIDERED ACADEMICALLY AT-RISK DUE TO ECONOMIC  DISADVANTAGE  OR  OTHER
FACTOR OF UNDER-REPRESENTATION WITHIN A FIELD OF STUDY; AND
  (E)  THE  NUMBER  OF  STUDENTS  WHO  MAKE  ADEQUATE  PROGRESS  TOWARDS
COMPLETION OF A DEGREE OR CERTIFICATE,  WHICH  MAY  INCLUDE  ACCELERATED
COMPLETION OF A DEVELOPMENTAL EDUCATION PROGRAM.
  S  2.  Subparagraph  (iv) of paragraph (a) of subdivision 1 of section
6304 of the education law, as amended by chapter  552  of  the  laws  of
1984, is amended to read as follows:
  (iv)  provide  for  adequate  programs of remediation, instruction and
counselling to meet the needs of  all  students  to  be  served  by  the
college.    PROVIDED  HOWEVER,  THAT  FOR THE TWO THOUSAND FOURTEEN--TWO
THOUSAND FIFTEEN STATE FISCAL YEAR, STATE AID FOR  TRADITIONAL  REMEDIAL
EDUCATION  SHALL NOT EXCEED TWO THIRDS OF A COMMUNITY COLLEGE'S REMEDIAL
EXPENDITURES  FOR  THE  TWO  THOUSAND  THIRTEEN--TWO  THOUSAND  FOURTEEN
ACADEMIC  YEAR.  PROVIDED  FURTHER  HOWEVER,  THAT  FOR THE TWO THOUSAND
FIFTEEN--TWO THOUSAND SIXTEEN STATE FISCAL YEAR, STATE  AID  FOR  TRADI-
TIONAL  REMEDIAL  EDUCATION  SHALL  NOT  EXCEED ONE-THIRD OF A COMMUNITY
COLLEGE'S REMEDIAL EXPENDITURES FOR THE TWO THOUSAND THIRTEEN--TWO THOU-
SAND FOURTEEN ACADEMIC YEAR. PROVIDED FURTHER HOWEVER, THAT FOR THE  TWO
THOUSAND  SIXTEEN--TWO  THOUSAND  SEVENTEEN  STATE FISCAL YEAR AND EVERY
STATE FISCAL YEAR THEREAFTER, TRADITIONAL REMEDIAL EDUCATION  SHALL  NOT
BE  ELIGIBLE  FOR  STATE  AID.  FOR  THE  PURPOSES OF THIS SUBPARAGRAPH,
"TRADITIONAL REMEDIAL EDUCATION" SHALL MEAN ANY REMEDIAL EDUCATION OTHER
THAN REMEDIAL EDUCATION PROVIDED PURSUANT TO A PLAN AND  PROGRAM  ESTAB-
LISHED  IN  ACCORDANCE  WITH SECTION SIXTY-THREE HUNDRED THREE-A OF THIS
ARTICLE. The trustees may require  periodic  reports  or  certifications
from  colleges  which  have submitted plans which have been approved and
may, in appropriate cases, revoke such approval in case a college is  in
default of implementing its plan.
  S 3. This act shall take effect immediately.
  S 2. Severability clause. If any clause, sentence, paragraph, subdivi-
sion,  section  or  part  of  this act shall be adjudged by any court of
competent jurisdiction to be invalid, such judgment  shall  not  affect,
impair,  or  invalidate  the remainder thereof, but shall be confined in
its operation to the clause, sentence, paragraph,  subdivision,  section
or part thereof directly involved in the controversy in which such judg-
ment shall have been rendered. It is hereby declared to be the intent of
the  legislature  that  this  act  would  have been enacted even if such
invalid provisions had not been included herein.
  S 3. This act shall take effect immediately  provided,  however,  that
the applicable effective date of Parts A through AA of this act shall be
as specifically set forth in the last section of such Parts.

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

    S. 2607--D                                            A. 3007--D

                      S E N A T E - A S S E M B L Y

                            January 22, 2013
                               ___________

IN  SENATE -- A BUDGET BILL, submitted by the Governor pursuant to arti-
  cle seven of the Constitution -- read twice and ordered  printed,  and
  when  printed to be committed to the Committee on Finance -- committee
  discharged, bill amended, ordered reprinted as amended and recommitted
  to said committee  --  committee  discharged,  bill  amended,  ordered
  reprinted  as  amended  and recommitted to said committee -- committee
  discharged, bill amended, ordered reprinted as amended and recommitted
  to said committee  --  committee  discharged,  bill  amended,  ordered
  reprinted as amended and recommitted to said committee

IN  ASSEMBLY  --  A  BUDGET  BILL, submitted by the Governor pursuant to
  article seven of the Constitution -- read once  and  referred  to  the
  Committee  on  Ways  and  Means -- committee discharged, bill amended,
  ordered reprinted as amended and  recommitted  to  said  committee  --
  again  reported from said committee with amendments, ordered reprinted
  as amended and recommitted to said committee --  again  reported  from
  said  committee  with  amendments,  ordered  reprinted  as amended and
  recommitted to said committee -- again reported  from  said  committee
  with  amendments, ordered reprinted as amended and recommitted to said
  committee

AN ACT in relation to school district eligibility  for  an  increase  in
  apportionment  of  school  aid  and  implementation  of  standards for
  conducting annual professional performance reviews to determine teach-
  er and  principal  effectiveness;  to  amend  the  education  law,  in
  relation   to  contracts  for  excellence,  school  census  in  school
  districts, New York state school safety  improvement  teams,  account-
  ability  of school districts, the financing of charter schools, annual
  professional performance review plans, apportionment  of  school  aid,
  calculation  of  the gap elimination restoration amount, establishment
  of a community schools  and  extended  learning  time  grant  program,
  duties  of  school  districts and the costs of certain tuition mainte-
  nance and transportation; to  amend  the  general  municipal  law,  in
  relation  to  the  employee benefit accrued liability reserve fund; to
  amend the education law, in relation to transportation after 4 pm;  to
  amend  chapter  121  of  the  laws of 1996 relating to authorizing the
  Roosevelt union free school district to finance deficits by the  issu-
  ance  of serial bonds, in relation to extending certain provisions; to

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
              

                      [ ] is old law to be omitted.
                                                           LBD12572-09-3

S. 2607--D                          2                         A. 3007--D

  amend chapter 756 of the laws of 1992 relating to  funding  a  program
  for work force education conducted by the consortium for worker educa-
  tion in New York city, in relation to apportionment and reimbursement;
  and  in relation to extending the expiration of certain provisions; to
  amend chapter 169 of the laws of 1994 relating to  certain  provisions
  related  to  the  1994-95 state operations, aid to localities, capital
  projects and debt service budgets; to amend chapter 82 of the laws  of
  1995,  amending  the  education law and certain other laws relating to
  state aid to school districts and the appropriation of funds  for  the
  support of government; to amend chapter 147 of the laws of 2001 amend-
  ing  the  education  law relating to conditional appointment of school
  district, charter school or BOCES employees; to amend chapter  425  of
  the  laws of 2002 amending the education law relating to the provision
  of supplemental educational services,  attendance  at  a  safe  public
  school  and the suspension of pupils who bring a firearm to or possess
  a firearm at a school, to amend chapter 101 of the laws of 2003 amend-
  ing the education law relating to implementation of the No Child  Left
  Behind Act of 2001, in relation to extending the expiration of certain
  provisions  of such chapters; to amend chapter 472 of the laws of 1998
  amending the education law relating to the lease of  school  buses  by
  school  districts,  in  relation  to  extending the provisions of such
  chapter; in relation to school bus driver training; in relation to the
  support of public libraries;  to  provide  special  apportionment  for
  salary  expenses;  to provide special apportionment for public pension
  expenses; in relation to suballocation of certain education department
  accruals; in relation to purchases by  the  city  school  district  of
  Rochester;  to  repeal subdivision 17 of section 1950 of the education
  law relating thereto; and to repeal section 3627 of the education  law
  relating  to transportation after 5 pm and providing for the repeal of
  certain provisions upon expiration thereof  (Part  A);  to  amend  the
  education  law  and  the  public  authorities  law, in relation to the
  acquisition,  design,  construction,  reconstruction,  rehabilitation,
  improvement  and  financing  of  dormitory  facilities  for  the state
  university of New York (Part B); to amend chapter 57 of  the  laws  of
  2005  amending  the  labor  law  and other laws implementing the state
  fiscal plan for the 2005-2006 state fiscal year, relating to  the  New
  York  state  higher education capital matching grant program for inde-
  pendent colleges, in relation to the New York state  higher  education
  matching  grant program for independent colleges and the effectiveness
  thereof (Part C); to amend the education law, in  relation  to  estab-
  lishing  the  Next  Generation NY Job Linkage Program Act (Part D); to
  amend the social services law, in relation to increasing the standards
  of monthly need for aged, blind and disabled  persons  living  in  the
  community (Part E); intentionally omitted (Part F); to amend the exec-
  utive  law  and  the social services law, in relation to consolidating
  the youth development  and  delinquency  prevention  program  and  the
  special   delinquency   prevention  program;  and  to  repeal  certain
  provisions of the executive law relating thereto;  and  providing  for
  the repeal of such provisions upon expiration thereof (Part G); inten-
  tionally  omitted  (Part  H); intentionally omitted (Part I); to amend
  the real property tax law, in relation to providing for the  registra-
  tion  of  recipients  of STAR exemptions, and eliminating waste, fraud
  and abuse in the STAR program and relating to the powers of the  state
  board  of  real  property tax services (Part J); intentionally omitted
  (Part K); intentionally omitted (Part L); to utilize reserves  in  the
  project  pool  insurance  account  of  the mortgage insurance fund for

S. 2607--D                          3                         A. 3007--D

  various housing purposes (Part M); to amend the labor law, in relation
  to the powers of the commissioner of labor and to  repeal  subdivision
  17  of  section  100  of  the economic development law relating to the
  operation  of  the state data center (Part N); to amend the labor law,
  in relation to increasing unemployment insurance benefits and contrib-
  utions, to  entitlement  and  eligibility  criteria,  to  work  search
  requirements, to relieving employers of charges for separations caused
  by  misconduct  and voluntarily leaving employment without good cause,
  to reduction of benefits based  on  pensions  and  dismissal  pay,  to
  enhanced  penalties, in relation to fraudulently obtained benefits and
  new penalties for employers who cause overpayments by failing to time-
  ly and accurately respond to information about  claims,  to  approving
  employer  shared  work  benefit  plans, and to the interest assessment
  surcharge; and to amend chapter 62 of the laws of 2003,  amending  the
  state finance law and other laws relating to authorizing and directing
  the  state comptroller to loan money to certain funds and accounts, in
  relation to the effectiveness thereof; to repeal certain provisions of
  the labor law relating  thereto;  and  providing  for  the  repeal  of
  certain  provisions  upon  expiration  thereof  (Part O); to amend the
  labor law, in relation  to  the  minimum  wage  and  making  technical
  corrections relating thereto (Part P); intentionally omitted (Part Q);
  to  amend  the  racing,  pari-mutuel  wagering  and  breeding  law, in
  relation to labor peace agreements (Part R); to  amend  the  education
  law,  in relation to dental health certificates for students (Part S);
  to amend the education law, in relation to the performance of  medical
  services (Part T); to amend the education law, in relation to creating
  the  graduation,  achievement and placement program (Part U); to amend
  the education law, in relation to charges  for  non-resident  students
  (Part  V);  to amend the tax law, the state finance law and the execu-
  tive law, in relation to gifts for honor and remembrance of  veterans,
  the establishment of the veterans remembrance and cemetery maintenance
  and  operation fund, and to repeal certain provisions of the executive
  law relating thereto (Part W); to amend the  public  service  law,  in
  relation  to strengthening the oversight and enforcement mechanisms of
  the Public Service Commission; to amend the general business  law,  in
  relation to increasing fines for violations relating to the protection
  of  underground  facilities (Part X); in relation to the repowering of
  existing power generation facilities (Part Y); to amend the labor law,
  in relation to the self-employment assistance program;  and  to  amend
  chapter 413 of the laws of 2003 amending the labor law relating to the
  self-employment  assistance  program and other matters, in relation to
  the effectiveness thereof (Part Z); to amend chapter 420 of  the  laws
  of  2002  amending  the  education  law  relating to the profession of
  social work; chapter 676 of the laws of 2002  amending  the  education
  law relating to the practice of psychology; chapter 130 of the laws of
  2010  amending the education law and other laws relating to the regis-
  tration of entities providing certain professional  services  and  the
  licensure  of  certain  professions, in relation to reporting require-
  ments and expiration  dates;  and  to  amend  the  education  law,  in
  relation  to  licensure of social workers and mental health counselors
  (Part AA); to  amend  the  retirement  and  social  security  law,  in
  relation  to  stable  pensions;  and  to  amend  the education law, in
  relation to a stable contribution option for participating educational
  employers (Part  BB);  in  relation  to  contracts  for  services  and
  expenses of pay for success initiatives to improve program outcomes in
  the  program areas of health care, early childhood development, child-

S. 2607--D                          4                         A. 3007--D

  hood welfare and public safety (Part CC); to amend the private housing
  finance law, in relation to establishing the rural and urban community
  investment fund program (Part DD); to amend the state finance law,  in
  relation  to increasing state assistance to eligible cities and eligi-
  ble municipalities in which a video lottery gaming facility is located
  (Part EE); to amend the penal law, in  relation  to  making  technical
  changes  to  such  law relating to licensing of firearms; and to amend
  chapter 1 of the laws of 2013 amending the criminal procedure law  and
  other laws relating to suspension and revocation of firearms licenses,
  in relation to the effectiveness thereof (Part FF); to amend the work-
  ers'  compensation law, in relation to changing the composition of the
  board's practice committees and  to  permitting  a  single  arbitrator
  process;  to  amend  the workers' compensation law, in relation to the
  collection of assessments for annual expenses and  the  investment  of
  surplus  or  reserve;  in  relation to the representation of funds; in
  relation to closing the fund for reopened cases; in relation to admin-
  istration expenses for  the  state  insurance  fund;  in  relation  to
  requiring  self-insured  municipal  groups  and  county  treasurers to
  provide certain financial information  to  the  workers'  compensation
  board;  to amend the workers' compensation law and the public authori-
  ties law, in relation to authorizing the workers'  compensation  board
  and  the dormitory authority to enter into a self-insured bond financ-
  ing agreement; to amend the volunteer firefighters'  benefit  law  and
  the  volunteer  ambulance  workers'  benefit  law,  in relation to the
  payment of benefits and to the assessment of expenses;  to  amend  the
  public  officers law, in relation to indemnification of state officers
  and employees;  and  repealing  certain  provisions  of  the  workers'
  compensation  law,  the  volunteer  firefighters'  benefit law and the
  volunteer ambulance workers' benefit law relating to  assessments  for
  expenses,  and  relating  to the location of the workers' compensation
  board (Part GG); and to provide  for  the  administration  of  certain
  funds  and accounts related to the 2013-14 budget; authorizing certain
  payments and transfers; to amend chapter  59  of  the  laws  of  2012,
  relating to providing for administration of certain funds and accounts
  related  to  the  2013-2014  budget,  in relation to the effectiveness
  thereof; to amend the state finance law, in  relation  to  school  tax
  relief  fund;  to  amend  chapter 60 of the laws of 2011, amending the
  state finance law relating  to  disbursements  from  the  tribal-state
  compact  revenue account to certain municipalities, in relation to the
  availability of moneys; to amend  the  New  York  state  medical  care
  facilities  finance  agency act, in relation to the deposit of certain
  funds; to amend the state finance law, in relation to the issuance  of
  revenue bonds; to amend the public authorities law, in relation to the
  number  of directors required for approval of a resolution authorizing
  the issuance of bonds or notes; to amend  the  New  York  state  urban
  development  corporation act, in relation to funding project costs for
  certain capital projects; to amend chapter 61 of  the  laws  of  2005,
  relating  to  providing  for  the  administration of certain funds and
  accounts related to the 2005-2006 budget, in relation to the  Division
  of  Military  and Naval Affairs Capital Projects; to amend chapter 389
  of the laws of 1997, relating to the  financing  of  the  correctional
  facilities  improvement  fund and the youth facility improvement fund,
  in relation to the issuance of bonds; to  amend  the  private  housing
  finance  law, in relation to housing program bonds and notes; to amend
  chapter 329 of the laws of 1991, amending the state  finance  law  and
  other  laws relating to the establishment of the dedicated highway and

S. 2607--D                          5                         A. 3007--D

  bridge trust fund, in relation to the issuance of bonds; to amend  the
  public  authorities  law,  in  relation to courthouse improvements and
  training facilities, metropolitan transportation authority facilities,
  peace  bridge projects and issuance of bonds by the dormitory authori-
  ty; to amend chapter 61 of the laws of 2005, providing for the  admin-
  istration of certain funds and accounts related to the 2005-2006 budg-
  et,  in  relation  to  issuance  of  bonds  by  the  urban development
  corporation; to amend the New York state urban development corporation
  act, in relation to projects for retention of professional football in
  western New York; to amend the public authorities law, in relation  to
  the  cleaner,  greener communities program; to amend the state finance
  law, in relation to establishing the sales tax revenue bond  tax  fund
  and  providing for the deposit of revenues therefrom, establishing the
  sales tax revenue bond financing program; to amend  the  tax  law,  in
  relation  to  deposit  and  disposition of revenue; to amend the state
  finance law, in relation to establishing  the  New  York  state  storm
  recovery  capital  fund; to amend the New York state urban development
  corporation act, in relation  to  authorizing  the  urban  development
  corporation  to  issue bonds to fund project costs for the implementa-
  tion of a NY-CUNY challenge grant program; to amend chapter 260 of the
  laws of 2011 amending the education law and the New York  state  urban
  development corporation act relating to establishing components of the
  NY-SUNY 2020 challenge grant program, in relation to the effectiveness
  thereof;  to amend the public authorities law, in relation to dormito-
  ries at certain educational institutions  other  than  state  operated
  institutions and statutory or contract colleges under the jurisdiction
  of  the  state university of New York; to amend chapter 81 of the laws
  of 2002,  providing  for  the  administration  of  certain  funds  and
  accounts  related  to  the 2002-2003 budget, in relation to increasing
  the aggregate amount of bonds to be issued by the New York state urban
  development corporation; to  amend  the  public  authorities  law,  in
  relation  to  financing  of  New  York  works  transportation  capital
  projects; and providing for the  repeal  of  certain  provisions  upon
  expiration thereof (Part HH)

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

  Section 1. This act enacts into law major  components  of  legislation
which are necessary to implement the state fiscal plan for the 2013-2014
state  fiscal  year.  Each  component  is wholly contained within a Part
identified as Parts A through HH. The effective date for each particular
provision contained within such Part is set forth in the last section of
such Part. Any provision in any section contained within a Part, includ-
ing the effective date of the Part, which makes a reference to a section
"of this act", when used in connection with that  particular  component,
shall  be  deemed  to mean and refer to the corresponding section of the
Part in which it is found. Section three of  this  act  sets  forth  the
general effective date of this act.

                                 PART A

  Section 1.  1. As used in this section:
  a.  "base  year" shall mean the base year as defined in paragraph b of
subdivision 1 of section 3602 of the education law; and

S. 2607--D                          6                         A. 3007--D

  b. "current year" shall mean the current year as defined in  paragraph
a of subdivision 1 of section 3602 of the education law.
  2.  Notwithstanding  any  inconsistent  provision  of  law,  no school
district shall be eligible for an apportionment of general  support  for
public  schools  from the funds appropriated for the 2013-14 school year
and thereafter in excess  of  the  amount  apportioned  to  such  school
district  in  the  base  year  unless such school district has submitted
documentation that has been approved by the commissioner of education by
September 1 of the current year, demonstrating that it has fully  imple-
mented  the  standards and procedures for conducting annual professional
performance reviews of classroom teachers  and  building  principals  in
accordance  with the requirements of section 3012-c of the education law
and the commissioner of  education's  regulations.    Any  apportionment
withheld  pursuant  to  this section shall not occur prior to April 1 of
the current year and shall not have any effect on the base  year  calcu-
lation for use in the subsequent school year.
  3.  If any payments of ineligible amounts pursuant to subdivision 2 of
this section were made,  and  the  school  district  has  not  submitted
documentation that has been approved by the commissioner of education by
September  1  of the current school year demonstrating that it has fully
implemented the standards and procedures for conducting  annual  profes-
sional performance reviews of classroom teachers and building principals
in  accordance  with the requirements of section 3012-c of the education
law and the regulations of the  commissioner  of  education,  the  total
amount  of such payments shall be deducted by the commissioner of educa-
tion from future payments to the school district; provided further that,
if the amount of the deduction is greater than the sum  of  the  amounts
available for such deductions in the applicable school year, the remain-
der  of  the  deduction  shall be withheld from payments scheduled to be
made to the school district pursuant to section 3609-a of the  education
law for the subsequent school year.
  S  2.  Paragraph  e of subdivision 1 of section 211-d of the education
law, as amended by section 2 of part A of chapter  57  of  the  laws  of
2012, is amended to read as follows:
  e.  Notwithstanding  paragraphs  a and b of this subdivision, a school
district that submitted a contract for excellence for the  two  thousand
eight--two  thousand nine school year shall submit a contract for excel-
lence for the  two  thousand  nine--two  thousand  ten  school  year  in
conformity  with the requirements of subparagraph (vi) of paragraph a of
subdivision two of this section unless all schools in the  district  are
identified  as  in  good  standing  and  provided further that, a school
district that submitted a contract for excellence for the  two  thousand
nine--two  thousand  ten school year, unless all schools in the district
are identified as in good standing, shall submit a contract  for  excel-
lence for the two thousand eleven--two thousand twelve school year which
shall,  notwithstanding  the  requirements of subparagraph (vi) of para-
graph a of subdivision two of this section, provide for the  expenditure
of  an  amount  which  shall  be not less than the product of the amount
approved by the commissioner in the contract for excellence for the  two
thousand   nine--two   thousand  ten  school  year,  multiplied  by  the
district's gap elimination adjustment percentage  and  provided  further
that, a school district that submitted a contract for excellence for the
two thousand eleven--two thousand twelve school year, unless all schools
in  the  district  are  identified  as  in good standing, shall submit a
contract for excellence for the two thousand twelve--two thousand  thir-
teen  school  year  which  shall,  notwithstanding  the  requirements of

S. 2607--D                          7                         A. 3007--D

subparagraph (vi) of paragraph a of subdivision  two  of  this  section,
provide  for  the  expenditure of an amount which shall be not less than
the amount approved by the commissioner in the contract  for  excellence
for  the  two  thousand  eleven--two  thousand  twelve  school  year AND
PROVIDED FURTHER THAT, A SCHOOL DISTRICT THAT SUBMITTED A  CONTRACT  FOR
EXCELLENCE  FOR  THE  TWO  THOUSAND TWELVE--TWO THOUSAND THIRTEEN SCHOOL
YEAR, UNLESS ALL SCHOOLS IN THE  DISTRICT  ARE  IDENTIFIED  AS  IN  GOOD
STANDING,  SHALL  SUBMIT  A CONTRACT FOR EXCELLENCE FOR THE TWO THOUSAND
THIRTEEN--TWO THOUSAND FOURTEEN SCHOOL YEAR WHICH SHALL, NOTWITHSTANDING
THE REQUIREMENTS OF SUBPARAGRAPH (VI) OF PARAGRAPH A OF SUBDIVISION  TWO
OF THIS SECTION, PROVIDE FOR THE EXPENDITURE OF AN AMOUNT WHICH SHALL BE
NOT  LESS  THAN  THE AMOUNT APPROVED BY THE COMMISSIONER IN THE CONTRACT
FOR EXCELLENCE FOR THE TWO THOUSAND TWELVE--TWO THOUSAND THIRTEEN SCHOOL
YEAR.  For purposes of this paragraph, the "gap  elimination  adjustment
percentage"  shall be calculated as the sum of one minus the quotient of
the sum of the school district's net gap elimination adjustment for  two
thousand  ten--two  thousand  eleven computed pursuant to chapter fifty-
three of the laws of two thousand ten,  making  appropriations  for  the
support  of  government,  plus  the  school  district's  gap elimination
adjustment for two thousand  eleven--two  thousand  twelve  as  computed
pursuant  to  chapter  fifty-three  of  the laws of two thousand eleven,
making appropriations for the support of the  local  assistance  budget,
including support for general support for public schools, divided by the
total aid for adjustment computed pursuant to chapter fifty-three of the
laws of two thousand eleven, making appropriations for the local assist-
ance  budget,  including support for general support for public schools.
Provided, further, that such amount shall be  expended  to  support  and
maintain  allowable programs and activities approved in the two thousand
nine--two thousand ten school year or to support new or expanded  allow-
able programs and activities in the current year.
  S  2-a.  Section  2215 of the education law is amended by adding a new
subdivision 17 to read as follows:
  17.  TO DETERMINE THE ADEQUACY AND APPROPRIATENESS OF  THE  FACILITIES
SPACE  AVAILABLE  TO  HOUSE SPECIAL EDUCATION PROGRAMS IN THE GEOGRAPHIC
AREA SERVED BY THE BOARD OF COOPERATIVE EDUCATIONAL SERVICES, CONSISTENT
WITH THE LEAST RESTRICTIVE ENVIRONMENT REQUIREMENT  AND  TO  ENSURE  THE
STABILITY  AND  CONTINUITY OF PROGRAM PLACEMENTS FOR STUDENTS WITH DISA-
BILITIES,  INCLUDING  PROCEDURES  THAT  ENSURE  THAT  SPECIAL  EDUCATION
PROGRAMS  AND  SERVICES  LOCATED  IN  APPROPRIATE FACILITIES WILL NOT BE
RELOCATED WITHOUT ADEQUATE CONSIDERATION OF THE NEEDS  OF  PARTICIPATING
STUDENTS WITH DISABILITIES.
  S  2-b.  Subdivision  17  of  section  1950  of  the  education law is
REPEALED.
  S 3. Section 3242 of the education law, as amended  by  section  2  of
subpart  F  of  part  C of chapter 97 of the laws of 2011, is amended to
read as follows:
  S 3242. School census in school districts. The trustees  or  board  of
education of every school district may cause a census to be taken of all
children  between  birth  and  eighteen years of age, including all such
facts and information as are required in  the  census  provided  for  in
section thirty-two hundred forty-one of this [chapter] PART. Such census
shall  be  prepared [annually] BIENNIALLY for children between ages five
and eighteen who are entitled  to  attend  the  public  schools  without
payment  of  tuition  in duplicate in their respective school districts,
and one copy thereof filed with the teacher or principal and  the  other
copy  filed  with  the  district  superintendent or superintendent on or

S. 2607--D                          8                         A. 3007--D

before the fifteenth day of October. For pre-school students from  birth
to  five  years of age, such census may be prepared and filed biennially
on or before the fifteenth day of October. Such census shall include the
reports  and  information  required  from  cities as provided in section
thirty-two hundred forty-one OF THIS PART.  All information regarding  a
student  with  a  disability  under the age of twenty-one years shall be
filed annually with the  superintendent  of  the  board  of  cooperative
educational services of which said district may be a part.
  S  3-a.  Section 2801-b of the education law, as added by chapter 1 of
the laws of 2013, is amended to read as follows:
  S 2801-b. New York state school safety improvement teams. The governor
shall establish New York state school safety  improvement  teams,  which
may be composed of representatives from the division of homeland securi-
ty and emergency services, the division of state police, the division of
criminal  justice  services,  and  the  department.  Such New York State
School Safety Improvement Teams shall review and  assess  school  safety
plans  submitted,  on  a  voluntary  basis, by school districts having a
population of less than one hundred  twenty-five  thousand  inhabitants,
boards of cooperative educational services, NONPUBLIC SCHOOLS, and coun-
ty  vocational  education and extension boards, and may make recommenda-
tions to improve such school safety plans.
  S 4. Subdivision 2 of section 2116-b of the education law, as added by
chapter 263 of the laws of 2005, is amended to read as follows:
  2. School districts of less than eight teachers, school districts with
actual general fund expenditures totaling less than five million dollars
in the previous school year, or school districts with actual  enrollment
of  less  than [three hundred] ONE THOUSAND FIVE HUNDRED students in the
previous school year shall be exempt from this requirement.  Any  school
district  claiming  such exemption shall annually certify to the commis-
sioner that such school district meets the  requirements  set  forth  in
this subdivision.
  S  5.  Paragraph (a) of subdivision 1 of section 2856 of the education
law, as amended by section 21 of part A of chapter 58  of  the  laws  of
2011, is amended to read as follows:
  (a)  The  enrollment  of  students  attending charter schools shall be
included in the enrollment, attendance, membership and,  if  applicable,
count  of students with disabilities of the school district in which the
pupil resides. The charter school shall report  all  such  data  to  the
school  districts  of residence in a timely manner. Each school district
shall report such enrollment, attendance  and  count  of  students  with
disabilities  to  the department. The school district of residence shall
pay directly to the charter school for  each  student  enrolled  in  the
charter  school  who  resides  in the school district the charter school
basic tuition, which shall be:
  (i) for school years prior to the two thousand nine--two thousand  ten
school year and for school years following the [two thousand twelve--two
thousand  thirteen]  TWO THOUSAND THIRTEEN--TWO THOUSAND FOURTEEN school
year, an amount equal to one hundred percent of  the  amount  calculated
pursuant to paragraph f of subdivision one of section thirty-six hundred
two  of  this  chapter for the school district for the year prior to the
base year increased by the percentage change in the state total approved
operating expense calculated pursuant to paragraph t of subdivision  one
of  section  thirty-six hundred two of this chapter from two years prior
to the base year to the base year;
  (ii) for the two thousand nine--two  thousand  ten  school  year,  the
charter  school  basic  tuition  shall  be  the  amount  payable by such

S. 2607--D                          9                         A. 3007--D

district as charter school basic tuition for the two thousand eight--two
thousand nine school year;
  (iii) for the two thousand ten--two thousand eleven through [two thou-
sand  twelve--two thousand thirteen] TWO THOUSAND THIRTEEN--TWO THOUSAND
FOURTEEN school years, the charter school basic  tuition  shall  be  the
basic  tuition  computed  for  the two thousand ten--two thousand eleven
school year pursuant to the provisions of subparagraph (i) of this para-
graph.
  S 6. Paragraph (a) of subdivision 1 of section 2856 of  the  education
law,  as  amended  by  section 22 of part A of chapter 58 of the laws of
2011, is amended to read as follows:
  (a) The enrollment of students  attending  charter  schools  shall  be
included  in  the  enrollment,  attendance  and, if applicable, count of
students with disabilities of the school district  in  which  the  pupil
resides.  The  charter  school  shall report all such data to the school
districts of residence in a timely manner. Each  school  district  shall
report  such enrollment, attendance and count of students with disabili-
ties to the department. The  school  district  of  residence  shall  pay
directly  to the charter school for each student enrolled in the charter
school who resides in the  school  district  the  charter  school  basic
tuition which shall be:
  (i)  for school years prior to the two thousand nine--two thousand ten
school year and for school years following the [two thousand twelve--two
thousand thirteen] TWO THOUSAND THIRTEEN--TWO THOUSAND  FOURTEEN  school
year,  an  amount  equal to one hundred percent of the amount calculated
pursuant to paragraph f of subdivision one of section thirty-six hundred
two of this chapter for the school district for the year  prior  to  the
base year increased by the percentage change in the state total approved
operating  expense calculated pursuant to paragraph t of subdivision one
of section thirty-six hundred two of this chapter from two  years  prior
to the base year to the base year;
  (ii)  for  the  two  thousand  nine--two thousand ten school year, the
charter school basic  tuition  shall  be  the  amount  payable  by  such
district as charter school basic tuition for the two thousand eight--two
thousand nine school year;
  (iii) for the two thousand ten--two thousand eleven through [two thou-
sand  twelve--two thousand thirteen] TWO THOUSAND THIRTEEN--TWO THOUSAND
FOURTEEN school years, the charter school basic  tuition  shall  be  the
basic  tuition  computed  for  the two thousand ten--two thousand eleven
school year pursuant to the provisions of subparagraph (i) of this para-
graph.
  S 7.  Subdivision 2 of section 3012-c of the education law is  amended
by adding a new paragraph l to read as follows:
  L. IN THE EVENT A SCHOOL DISTRICT DOES NOT HAVE AN ANNUAL PROFESSIONAL
PERFORMANCE  REVIEW PLAN APPROVED BY THE COMMISSIONER FOR THE APPLICABLE
SCHOOL YEAR AS  OF  SEPTEMBER  FIRST  OF  THAT  YEAR,  THE  COLLECTIVELY
BARGAINED  PLAN  MOST  RECENTLY  APPROVED  OR THE PLAN DETERMINED BY THE
COMMISSIONER SHALL REMAIN IN EFFECT UNTIL A SUBSEQUENT PLAN IS AGREED TO
BY THE PARTIES IN ACCORDANCE WITH THIS SECTION AND IS  APPROVED  BY  THE
COMMISSIONER.
  S 7-a. Subdivision 2 of section 3012-c of the education law is amended
by adding a new paragraph m to read as follows:
  M. (1) NOTWITHSTANDING ANY PROVISION OF LAW, RULE OR REGULATION TO THE
CONTRARY,  IF A SCHOOL DISTRICT THAT DID NOT HAVE AN ANNUAL PROFESSIONAL
PERFORMANCE REVIEW PLAN APPROVED BY THE COMMISSIONER ON OR BEFORE  JANU-
ARY  SEVENTEENTH, TWO THOUSAND THIRTEEN, DOES NOT HAVE AN ANNUAL PROFES-

S. 2607--D                         10                         A. 3007--D

SIONAL PERFORMANCE REVIEW PLAN APPROVED BY THE  COMMISSIONER  OR  DETER-
MINED  PURSUANT TO THIS PARAGRAPH IN PLACE FOR THE FOLLOWING SCHOOL YEAR
ON OR BEFORE THE WEDNESDAY   FOLLOWING THE FIRST  FRIDAY  IN  MAY,  SUCH
SCHOOL DISTRICT AND THE COLLECTIVE BARGAINING REPRESENTATIVES REPRESENT-
ING  CLASSROOM  TEACHERS  AND  BUILDING  PRINCIPALS SHALL SUBMIT WRITTEN
EXPLANATIONS OF THEIR RESPECTIVE POSITIONS REGARDING SUCH ISSUES TO  THE
COMMISSIONER BY SUCH DATE.
  (2)  IF  SUCH  A  SCHOOL DISTRICT DOES NOT HAVE AN ANNUAL PROFESSIONAL
PERFORMANCE REVIEW PLAN  APPROVED  BY  THE  COMMISSIONER  OR  DETERMINED
PURSUANT TO THIS PARAGRAPH IN PLACE ON OR BEFORE THE WEDNESDAY PRECEDING
THE  LAST  FRIDAY  IN MAY, THE COMMISSIONER SHALL CONDUCT AN ARBITRATION
PROCEEDING AND SHALL HOLD NO MORE THAN TWO DAYS OF HEARINGS ON THE STAN-
DARDS AND PROCEDURES  NECESSARY  TO  IMPLEMENT  AN  ANNUAL  PROFESSIONAL
PERFORMANCE  REVIEW  PLAN  PURSUANT  TO THIS SECTION. THE PARTIES MAY BE
HEARD EITHER IN PERSON, BY COUNSEL, OR BY SUCH REPRESENTATIVES  AS  THEY
MAY DESIGNATE. THE PARTIES MAY PRESENT, ORALLY OR IN WRITING, STATEMENTS
OF  FACT,  SUPPORTING  WITNESSES  AND OTHER EVIDENCE, AND ARGUMENTS. THE
COMMISSIONER MAY REQUIRE THE PRODUCTION OF SUCH ADDITIONAL EVIDENCE FROM
THE PARTIES AND SHALL PROVIDE, AT THE REQUEST OF EITHER  PARTY,  THAT  A
FULL  AND COMPLETE RECORD BE KEPT OF ANY SUCH HEARINGS, THE COST OF SUCH
RECORD TO BE SHARED EQUALLY BY THE PARTIES.
  (3) NOTWITHSTANDING ANY OTHER PROVISION OF LAW, RULE OR REGULATION  TO
THE  CONTRARY, AFTER SUCH HEARING, THE COMMISSIONER SHALL RENDER A FINAL
AND BINDING WRITTEN DETERMINATION ON OR BEFORE JUNE  FIRST,  PRESCRIBING
SUCH  STANDARDS  AND PROCEDURES NECESSARY TO IMPLEMENT AN ANNUAL PROFES-
SIONAL PERFORMANCE REVIEW PLAN PURSUANT TO THIS  SECTION  EFFECTIVE  FOR
THE FOLLOWING SCHOOL YEAR FOR A TERM TO BE DETERMINED BY THE COMMISSION-
ER.  SUCH  DETERMINATION  SHALL  BE  LIMITED TO THE REQUIREMENTS OF THIS
SECTION AND CONSISTENT WITH PLANS APPROVED BY THE COMMISSIONER  PURSUANT
TO  PARAGRAPH  K OF THIS SUBDIVISION.  THE COMMISSIONER SHALL SPECIFY IN
HIS OR HER DETERMINATION THE BASIS FOR HIS OR HER FINDINGS, TAKING  INTO
CONSIDERATION  ALL  RELEVANT  FACTORS,  INCLUDING  THE  BEST INTEREST OF
STUDENTS.  SUCH  DETERMINATION  SHALL  BE  DEEMED  TO   CONSTITUTE   THE
SUBMISSION  BY  SUCH SCHOOL DISTRICT OF DOCUMENTATION DEMONSTRATING THAT
IT HAS FULLY IMPLEMENTED THE STANDARDS  AND  PROCEDURES  FOR  CONDUCTING
ANNUAL PROFESSIONAL PERFORMANCE REVIEWS OF CLASSROOM TEACHERS AND BUILD-
ING  PRINCIPALS  IN ACCORDANCE WITH THE REQUIREMENTS OF THIS SECTION AND
FINAL APPROVAL OF SUCH SCHOOL DISTRICT'S ANNUAL PROFESSIONAL PERFORMANCE
REVIEW PLAN IN ACCORDANCE WITH PARAGRAPH K OF THIS SUBDIVISION.
  (4) NO LATER THAN TEN DAYS AFTER RECEIPT OF THE COMMISSIONER'S  DETER-
MINATION,  THE  PARTIES  MAY  MAKE  AN APPLICATION TO THE NEW YORK STATE
SUPREME COURT TO VACATE OR MODIFY THE DETERMINATION OF THE  COMMISSIONER
PURSUANT  TO  SECTION  SEVENTY-FIVE HUNDRED ELEVEN OF THE CIVIL PRACTICE
LAW AND RULES. THE COURT'S REVIEW SHALL BE LIMITED TO  THE  GROUNDS  SET
FORTH  IN SUCH SECTION. THE COMMISSIONER'S DETERMINATION SHALL BE DEEMED
TO BE FINAL FOR THE PURPOSE OF SUCH PROCEEDING. IN  NO  CASE  SHALL  THE
FILING  OR  THE  PENDENCY  OF  AN APPEAL DELAY THE IMPLEMENTATION OF THE
COMMISSIONER'S DETERMINATION.
  (5) NOTHING IN THIS PARAGRAPH SHALL RESTRICT THE ABILITY OF  A  SCHOOL
DISTRICT  SUBJECT  TO ARBITRATION PURSUANT TO THIS PARAGRAPH AND COLLEC-
TIVE BARGAINING  REPRESENTATIVES  REPRESENTING  CLASSROOM  TEACHERS  AND
BUILDING PRINCIPALS IN SUCH DISTRICT FROM ENTERING INTO A NEW OR AMENDED
AGREEMENT  TO  IMPLEMENT  AN ANNUAL PROFESSIONAL PERFORMANCE REVIEW PLAN
PURSUANT TO THIS SECTION. ANY NEW OR AMENDED AGREEMENT MUST BE SUBMITTED
TO THE COMMISSIONER PURSUANT TO PARAGRAPH K OF THIS SUBDIVISION FOR  HIS
OR  HER  APPROVAL  AND SHALL BE APPROVED PROVIDED THAT SUCH TERMS OF THE

S. 2607--D                         11                         A. 3007--D

AGREEMENT ARE CONSISTENT WITH THIS SECTION AND THE  REGULATIONS  OF  THE
COMMISSIONER.
  S  8.  The closing paragraph of subdivision 5-a of section 3602 of the
education law, as amended by section 27 of part A of chapter 58  of  the
laws of 2011, is amended to read as follows:
  For the two thousand eight--two thousand nine school year, each school
district  shall  be entitled to an apportionment equal to the product of
fifteen percent and the additional apportionment  computed  pursuant  to
this  subdivision  for the two thousand seven--two thousand eight school
year. For the two thousand nine--two thousand ten through  two  thousand
[twelve]  FOURTEEN--two  thousand  [thirteen] FIFTEEN school years, each
school district shall be entitled  to  an  apportionment  equal  to  the
amount  set  forth  for such school district as "SUPPLEMENTAL PUB EXCESS
COST" under the heading "2008-09 BASE  YEAR  AIDS"  in  the  school  aid
computer  listing  produced by the commissioner in support of the budget
for the two thousand nine--two thousand ten  school  year  and  entitled
"SA0910".
  S  8-a.  The opening paragraph and paragraphs a and b of subdivision 4
of section 3602 of the education law, the  opening  paragraph,  subpara-
graph  1  and  the closing paragraph of subparagraph 2 of paragraph b as
amended by section 6-a of part A of chapter 57  of  the  laws  of  2012,
paragraphs  a  and b as amended by section 26 of part A of chapter 58 of
the laws of 2011, are amended to read as follows:
  In addition to any other apportionment pursuant  to  this  chapter,  a
school  district, other than a special act school district as defined in
subdivision eight of section four thousand one of this chapter, shall be
eligible for total foundation aid equal to the product of total  aidable
foundation  pupil units multiplied by the district's selected foundation
aid, which shall be the greater of five hundred dollars ($500) or  foun-
dation  formula aid, provided, however that for the two thousand seven--
two thousand eight through two thousand eight--two thousand nine  school
years,  no  school district shall receive total foundation aid in excess
of the sum of the total foundation aid base for aid payable in  the  two
thousand  seven--two  thousand  eight  school  year computed pursuant to
subparagraph (i) of paragraph j of subdivision one of this section, plus
the phase-in foundation increase computed pursuant  to  paragraph  b  of
this subdivision, and provided further that for the two thousand twelve-
-two  thousand thirteen school year [and thereafter], no school district
shall receive total foundation aid in excess of the  sum  of  the  total
foundation  aid  base  for  aid  payable in the two thousand eleven--two
thousand twelve school year computed pursuant to paragraph j of subdivi-
sion one of this section, plus the phase-in foundation increase computed
pursuant to paragraph b of this subdivision, AND PROVIDED  FURTHER  THAT
FOR  THE  TWO  THOUSAND  THIRTEEN--TWO THOUSAND FOURTEEN SCHOOL YEAR AND
THEREAFTER, NO SCHOOL DISTRICT SHALL RECEIVE  TOTAL  FOUNDATION  AID  IN
EXCESS  OF THE SUM OF THE TOTAL FOUNDATION AID BASE COMPUTED PURSUANT TO
PARAGRAPH J OF SUBDIVISION ONE OF THIS SECTION, PLUS THE PHASE-IN  FOUN-
DATION INCREASE COMPUTED PURSUANT TO PARAGRAPH B OF THIS SUBDIVISION and
provided  further  that  total foundation aid shall not be less than the
product of the total foundation aid base computed pursuant to  paragraph
j  of  subdivision one of this section and THE DUE-MINIMUM PERCENT WHICH
SHALL BE, FOR THE TWO  THOUSAND  TWELVE--TWO  THOUSAND  THIRTEEN  SCHOOL
YEAR,  one  hundred and six-tenths percent (1.006) AND FOR THE TWO THOU-
SAND  THIRTEEN--TWO  THOUSAND  FOURTEEN  SCHOOL  YEAR  FOR  CITY  SCHOOL
DISTRICTS  OF  THOSE  CITIES HAVING POPULATIONS IN EXCESS OF ONE HUNDRED
TWENTY-FIVE THOUSAND AND LESS THAN ONE MILLION INHABITANTS  ONE  HUNDRED

S. 2607--D                         12                         A. 3007--D

AND  ONE  AND ONE HUNDRED AND SEVENTY-SIX THOUSANDTHS PERCENT (1.01176),
AND FOR  ALL  OTHER  DISTRICTS  ONE  HUNDRED  AND  THREE-TENTHS  PERCENT
(1.003), subject to allocation pursuant to the provisions of subdivision
eighteen  of this section and any provisions of a chapter of the laws of
New York as described therein, nor more than the product of  such  total
foundation  aid  base  and  one  hundred  fifteen  percent, and provided
further that for the two thousand nine--two  thousand  ten  through  two
thousand  eleven--two thousand twelve school years, each school district
shall receive total foundation aid in an  amount  equal  to  the  amount
apportioned  to  such  school  district  for the two thousand eight--two
thousand nine school year pursuant to this  subdivision.  Total  aidable
foundation  pupil  units  shall be calculated pursuant to paragraph g of
subdivision two of this section. For the  purposes  of  calculating  aid
pursuant  to  this  subdivision, aid for the city school district of the
city of New York shall be calculated on a citywide basis.
  a. Foundation formula aid. Foundation  formula  aid  shall  equal  the
remainder  when  the  expected  minimum local contribution is subtracted
from the product of the foundation amount, the regional cost index,  and
the  pupil  need  index,  or: (foundation amount x regional cost index x
pupil need index)- expected minimum local contribution.
  (1) The foundation amount shall reflect the average per pupil cost  of
general  education instruction in successful school districts, as deter-
mined by a statistical analysis of the costs of  special  education  and
general  education  in  successful  school  districts, provided that the
foundation amount shall be adjusted annually to reflect  the  percentage
increase in the consumer price index as computed pursuant to section two
thousand  twenty-two of this chapter, provided that for the two thousand
eight--two thousand nine school year, for the purpose  of  such  adjust-
ment,  the  percentage  increase  in  the  consumer price index shall be
deemed to be two and nine-tenths percent (0.029), and  provided  further
that  the  foundation  amount  for  the two thousand seven--two thousand
eight school  year  shall  be  five  thousand  two  hundred  fifty-eight
dollars, and provided further that for the two thousand seven--two thou-
sand  eight  through  two  thousand fifteen--two thousand sixteen school
years, the foundation amount shall be further adjusted by  the  phase-in
foundation  percent established pursuant to paragraph b of this subdivi-
sion.
  (2) The regional cost index shall reflect an analysis of labor  market
costs  based on median salaries in professional occupations that require
similar credentials to those of positions in the  education  field,  but
not  including  those  occupations in the education field, provided that
the regional cost indices for the two thousand seven--two thousand eight
school year and thereafter shall be as follows:
          Labor Force Region  Index
          Capital District    1.124
          Southern Tier       1.045
          Western New York    1.091
          Hudson Valley       1.314
          Long Island/NYC     1.425
          Finger Lakes        1.141
          Central New York    1.103
          Mohawk Valley       1.000
          North Country       1.000
  (3) The pupil need index shall equal the sum of one plus the  extraor-
dinary needs percent, provided, however, that the pupil need index shall
not  be less than one nor more than two. The extraordinary needs percent

S. 2607--D                         13                         A. 3007--D

shall be calculated pursuant to paragraph w of subdivision one  of  this
section.
  (4)  The expected minimum local contribution shall equal the lesser of
(i) the product of (A) the quotient arrived at when the selected  actual
valuation  is divided by total wealth foundation pupil units, multiplied
by (B) the product of the local tax factor,  multiplied  by  the  income
wealth  index,  or (ii) the product of (A) the product of the foundation
amount, the regional cost index, and the pupil need index, multiplied by
(B) the positive difference, if any, of  one  minus  the  state  sharing
ratio  for  total  foundation  aid. The local tax factor shall be estab-
lished by May first of each year by determining the product, computed to
four decimal places without rounding, of ninety  percent  multiplied  by
the quotient of the sum of the statewide average tax rate as computed by
the  commissioner for the current year in accordance with the provisions
of paragraph e of subdivision one of section thirty-six  hundred  nine-e
of this part plus the statewide average tax rate computed by the commis-
sioner  for  the  base  year in accordance with such provisions plus the
statewide average tax rate computed by the  commissioner  for  the  year
prior  to  the  base year in accordance with such provisions, divided by
three, provided however that for the two  thousand  seven--two  thousand
eight  school  year,  such local tax factor shall be sixteen thousandths
(0.016), and provided further that for the two thousand eight--two thou-
sand nine school year, such  local  tax  factor  shall  be  one  hundred
fifty-four  ten  thousandths  (0.0154). The income wealth index shall be
calculated pursuant to paragraph d of subdivision three of this section,
provided, however, that for the purposes of computing the expected mini-
mum local contribution the income wealth index shall not  be  less  than
sixty-five percent (0.65) and shall not be more than two hundred percent
(2.0)  and  provided  however that such income wealth index shall not be
more than ninety-five percent (0.95) for  the  two  thousand  eight--two
thousand  nine school year, AND PROVIDED FURTHER THAT SUCH INCOME WEALTH
INDEX SHALL NOT BE LESS THAN ZERO FOR  THE  TWO  THOUSAND  THIRTEEN--TWO
THOUSAND  FOURTEEN  SCHOOL YEAR.  The selected actual valuation shall be
calculated pursuant to paragraph c of subdivision one of  this  section.
Total  wealth  foundation  pupil  units  shall be calculated pursuant to
paragraph h of subdivision two of this section.
  b. Phase-in foundation increase. (1) The phase-in foundation  increase
shall  equal  the  product  of  the  phase-in foundation increase factor
multiplied by the positive difference, if any, of (i) the product of the
total aidable  foundation  pupil  units  multiplied  by  the  district's
selected  foundation aid less (ii) the total foundation aid base for aid
payable in the two thousand  eleven--two  thousand  twelve  school  year
computed pursuant to paragraph j of subdivision one of this section.
  (2)  The  phase-in foundation percent shall equal one hundred thirteen
and fourteen one  hundredths  percent  (1.1314)  for  the  two  thousand
eleven--two  thousand  twelve  school  year, one hundred ten and thirty-
eight hundredths percent (1.1038) for the two thousand twelve--two thou-
sand thirteen school year, one hundred seven and sixty-eight  hundredths
percent  (1.0768)  for  the two thousand thirteen--two thousand fourteen
school year, one hundred five and six hundredths  percent  (1.0506)  for
the  two  thousand  fourteen--two  thousand fifteen school year, and one
hundred two and five  tenths  percent  (1.0250)  for  the  two  thousand
fifteen--two thousand sixteen school year.
  For  the  two  thousand  eleven--two  thousand twelve school year, the
phase-in foundation increase factor shall equal  thirty-seven  and  one-
half  percent  (0.375)  and the phase-in due minimum percent shall equal

S. 2607--D                         14                         A. 3007--D

nineteen and forty-one hundredths percent (0.1941), for the two thousand
twelve--two  thousand  thirteen  school  year  the  phase-in  foundation
increase  factor shall equal one and seven-tenths percent (0.017), [and]
for  the  two  thousand  thirteen--two thousand fourteen school year THE
PHASE-IN FOUNDATION INCREASE FACTOR SHALL EQUAL (1) FOR  A  CITY  SCHOOL
DISTRICT  IN A CITY HAVING A POPULATION OF ONE MILLION OR MORE, FIVE AND
TWENTY-THREE HUNDREDTHS PERCENT (0.0523) OR (2)  FOR  ALL  OTHER  SCHOOL
DISTRICTS  ZERO PERCENT, AND FOR THE TWO THOUSAND FOURTEEN--TWO THOUSAND
FIFTEEN SCHOOL YEAR  and  thereafter  the  commissioner  shall  annually
determine  the phase-in foundation increase factor subject to allocation
pursuant to the provisions of subdivision eighteen of this  section  and
any  provisions of a chapter of the laws of New York as described there-
in.
  S 9. Subdivision 9 of section 3602 of the education law, as amended by
section 16 of part B of chapter 57 of the laws of 2007,  is  amended  to
read as follows:
  9.  Aid  for conversion to full day kindergarten. School districts may
make available full day kindergarten programs for all  children  wishing
to attend such programs[,].
  A.  For  aid  payable  in  the  two thousand seven--two thousand eight
school year and thereafter, school districts which provided any half-day
kindergarten programs or had no kindergarten programs  in  the  nineteen
hundred  ninety-six--ninety-seven  school year and in the base year, AND
WHICH HAVE NOT RECEIVED AN APPORTIONMENT PURSUANT TO THIS  PARAGRAPH  IN
ANY PRIOR SCHOOL YEAR, shall be eligible for aid equal to the product of
the  district's  selected foundation aid calculated pursuant to subdivi-
sion four of this section multiplied by the positive difference  result-
ing  when  the  full  day  kindergarten enrollment of children attending
programs in the district in  the  base  year  is  subtracted  from  such
enrollment in the current year.
  B.  NOTWITHSTANDING THE PROVISIONS OF PARAGRAPH A OF THIS SUBDIVISION,
SCHOOL DISTRICTS THAT HAVE RECEIVED AN APPORTIONMENT  PURSUANT  TO  THIS
SUBDIVISION  IN  A PRIOR SCHOOL YEAR SHALL BE ELIGIBLE FOR AN APPORTION-
MENT WHERE THE DEPARTMENT GRANTS A WAIVER UPON CAUSE SATISFACTORY TO THE
DEPARTMENT, INCLUDING BUT NOT LIMITED TO, SATISFACTORY DEMONSTRATION  OF
SIGNIFICANT  ECONOMIC  HARDSHIP  THAT WOULD IMPACT THE SCHOOL DISTRICT'S
ABILITY TO PROVIDE FULL DAY KINDERGARTEN FOR  ALL  CHILDREN  WISHING  TO
ATTEND  SUCH  PROGRAMS.  NO SCHOOL DISTRICT MAY BE GRANTED SUCH A WAIVER
MORE THAN ONCE.
  S 10. Subdivision 12 of section 3602 of the education law, as  amended
by section 35 of part A of chapter 58 of the laws of 2011, is amended to
read as follows:
  12. Academic enhancement aid. A school district that as of April first
of  the base year has been continuously identified as a district in need
of improvement for at least five  years  shall,  for  the  two  thousand
eight--two  thousand  nine  school  year,  be  entitled to an additional
apportionment equal to the positive remainder, if any, of (a) the lesser
of fifteen million dollars or the product of the  total  foundation  aid
base,  as  defined  by  paragraph  j of subdivision one of this section,
multiplied by ten percent (0.10), less (b) the positive remainder of (i)
the sum of the total foundation aid apportioned pursuant to  subdivision
four of this section and the supplemental educational improvement grants
apportioned  pursuant to subdivision eight of section thirty-six hundred
forty-one of this article, less (ii) the total foundation aid base.
  For the two thousand  nine--two  thousand  ten  through  two  thousand
[twelve]  FOURTEEN--two  thousand  [thirteen] FIFTEEN school years, each

S. 2607--D                         15                         A. 3007--D

school district shall be entitled  to  an  apportionment  equal  to  the
amount set forth for such school district as "EDUCATION GRANTS, ACADEMIC
EN" under the heading "2008-09 BASE YEAR AIDS" in the school aid comput-
er listing produced by the commissioner in support of the budget for the
two  thousand  nine--two thousand ten school year and entitled "SA0910",
and such apportionment shall be deemed to satisfy the  state  obligation
to  provide  an  apportionment  pursuant to subdivision eight of section
thirty-six hundred forty-one of this article.
  S 11.  The opening paragraph of subdivision 16 of section 3602 of  the
education  law,  as amended by section 36 of part A of chapter 58 of the
laws of 2011, is amended to read as follows:
  Each school district shall be eligible  to  receive  a  high  tax  aid
apportionment  in the two thousand eight--two thousand nine school year,
which shall equal the greater of (i) the sum of the tier 1 high tax  aid
apportionment, the tier 2 high tax aid apportionment and the tier 3 high
tax  aid apportionment or (ii) the product of the apportionment received
by the school district pursuant to this subdivision in the two  thousand
seven--two  thousand  eight  school  year, multiplied by the due-minimum
factor, which shall equal, for districts with an alternate pupil  wealth
ratio  computed  pursuant  to  paragraph  b of subdivision three of this
section that is less than two, seventy percent (0.70), and for all other
districts, fifty percent (0.50). Each school district shall be  eligible
to  receive  a  high tax aid apportionment in the two thousand nine--two
thousand ten through two thousand twelve--two thousand  thirteen  school
years in the amount set forth for such school district as "HIGH TAX AID"
under  the  heading  "2008-09 BASE YEAR AIDS" in the school aid computer
listing produced by the commissioner in support of the  budget  for  the
two  thousand  nine--two thousand ten school year and entitled "SA0910".
EACH SCHOOL DISTRICT SHALL BE ELIGIBLE TO RECEIVE A HIGH TAX AID  APPOR-
TIONMENT IN THE TWO THOUSAND THIRTEEN--TWO THOUSAND FOURTEEN SCHOOL YEAR
AND THE TWO THOUSAND FOURTEEN--TWO THOUSAND FIFTEEN SCHOOL YEAR EQUAL TO
THE  GREATER  OF  (1)  THE  AMOUNT SET FORTH FOR SUCH SCHOOL DISTRICT AS
"HIGH TAX AID" UNDER THE HEADING "2008-09 BASE YEAR AIDS" IN THE  SCHOOL
AID  COMPUTER  LISTING  PRODUCED  BY  THE COMMISSIONER IN SUPPORT OF THE
BUDGET FOR THE TWO THOUSAND NINE--TWO THOUSAND TEN SCHOOL YEAR AND ENTI-
TLED "SA0910" OR (2) THE AMOUNT SET FORTH FOR SUCH  SCHOOL  DISTRICT  AS
"HIGH  TAX AID" UNDER THE HEADING "2013-14 ESTIMATED AIDS" IN THE SCHOOL
AID COMPUTER LISTING PRODUCED BY THE  COMMISSIONER  IN  SUPPORT  OF  THE
EXECUTIVE BUDGET FOR THE 2013-14 FISCAL YEAR AND ENTITLED "BT131-4"
  S 12. Paragraph (e) of subdivision 17 of section 3602 of the education
law,  as added by section 6 of part A of chapter 57 of the laws of 2012,
is amended and a new paragraph (f) is added to read as follows:
  (e) The gap elimination adjustment  restoration  amount  for  the  two
thousand  thirteen--two  thousand  fourteen  school year [and thereafter
shall equal the product of  the  gap  elimination  percentage  for  such
district  and  the  gap  elimination  adjustment  restoration allocation
established pursuant to subdivision eighteen of  this  section.]  FOR  A
SCHOOL  DISTRICT  SHALL  BE  COMPUTED    BASED  ON DATA ON FILE WITH THE
COMMISSIONER AND IN THE DATABASE USED BY THE COMMISSIONER TO PRODUCE  AN
UPDATED  ELECTRONIC  DATA  FILE IN SUPPORT OF THE ENACTED BUDGET FOR THE
TWO THOUSAND THIRTEEN--TWO THOUSAND FOURTEEN STATE FISCAL YEAR END ENTI-
TLED "SA131-4" AND SHALL EQUAL  THE  GREATER  OF  ONE  HUNDRED  THOUSAND
DOLLARS ($100,000) OR THE SUM OF:
  (I) THE "TIER A RESTORATION" WHICH SHALL MEAN THE AMOUNT SET FORTH FOR
SUCH  SCHOOL  DISTRICT  AS  "GEA RESTORATION" UNDER THE HEADING "2013-14
ESTIMATED AIDS" IN THE SCHOOL  AID  COMPUTER  LISTING  PRODUCED  BY  THE

S. 2607--D                         16                         A. 3007--D

COMMISSIONER  IN  SUPPORT  OF THE EXECUTIVE BUDGET REQUEST SUBMITTED FOR
THE TWO THOUSAND THIRTEEN--TWO THOUSAND FOURTEEN STATE FISCAL  YEAR  AND
ENTITLED "BT131-4"; AND
  (II) THE "TIER B RESTORATION" WHICH SHALL MEAN FOR A DISTRICT WITH (1)
A  COMBINED WEALTH RATIO OF LESS THAN ONE AND SEVEN-TENTHS (1.7) AND (2)
AN ENROLLMENT PER SQUARE MILE WHICH SHALL BE THE QUOTIENT,  COMPUTED  TO
TWO  DECIMALS  WITHOUT  ROUNDING, OF THE PUBLIC SCHOOL ENROLLMENT OF THE
SCHOOL DISTRICT ON THE DATE ENROLLMENT WAS COUNTED  IN  ACCORDANCE  WITH
SUBDIVISION  ONE OF THIS SECTION FOR THE BASE YEAR DIVIDED BY THE SQUARE
MILES OF THE DISTRICT, AS DETERMINED BY THE COMMISSIONER, OF  LESS  THAN
ONE  HUNDRED  AND  SEVENTY AND (3) A DESIGNATION AS HIGH NEED OR AVERAGE
NEED PURSUANT TO CLAUSE (C) OF SUBPARAGRAPH TWO OF PARAGRAPH C OF SUBDI-
VISION SIX OF THIS SECTION FOR THE SCHOOL AID COMPUTER LISTING  PRODUCED
BY  THE  COMMISSIONER IN SUPPORT OF THE ENACTED BUDGET FOR THE TWO THOU-
SAND SEVEN--TWO THOUSAND EIGHT SCHOOL YEAR AND ENTITLED "SA0708", OR  IN
THE  CASE OF A REORGANIZED DISTRICT THAT HAD A PREDECESSOR DISTRICT THAT
WAS SO DESIGNATED AND (4) A TIER A RESTORATION WHICH  EQUALS  LESS  THAN
TWENTY  AND  SEVEN-TENTHS PERCENT (0.207) OF THE GAP ELIMINATION ADJUST-
MENT FOR THE BASE YEAR, THE POSITIVE DIFFERENCE IF ANY, OF  THE  PRODUCT
OF  TWENTY AND SEVEN-TENTHS PERCENT (0.207) MULTIPLIED BY THE GAP ELIMI-
NATION ADJUSTMENT FOR THE BASE YEAR MINUS THE TIER A RESTORATION; AND
  (III) THE "TIER C RESTORATION" WHICH SHALL MEAN  FOR  A  DISTRICT  FOR
WHICH  THE  SUM  OF THE TIER A RESTORATION AND THE TIER B RESTORATION IS
LESS THAN THE PRODUCT OF THE GAP ELIMINATION  ADJUSTMENT  FOR  THE  BASE
YEAR  MULTIPLIED  BY  SIX PERCENT (0.06), THE POSITIVE DIFFERENCE OF THE
PRODUCT OF THE GAP ELIMINATION ADJUSTMENT FOR THE BASE  YEAR  MULTIPLIED
BY  SIX  PERCENT  (0.06) MINUS THE SUM OF THE TIER A RESTORATION AND THE
TIER B RESTORATION; AND
  (IV) THE "TIER D RESTORATION" WHICH SHALL MEAN  FOR  SCHOOL  DISTRICTS
THAT  WERE: (1) DESIGNATED AS LOW OR AVERAGE NEED PURSUANT TO CLAUSE (C)
OF SUBPARAGRAPH TWO OF PARAGRAPH C OF SUBDIVISION SIX  OF  THIS  SECTION
FOR  THE  SCHOOL  AID  COMPUTER  LISTING PRODUCED BY THE COMMISSIONER IN
SUPPORT OF THE ENACTED BUDGET FOR THE TWO THOUSAND  SEVEN--TWO  THOUSAND
EIGHT SCHOOL YEAR AND ENTITLED "SA0708", OR IN THE CASE OF A REORGANIZED
DISTRICT  THAT HAD A PREDECESSOR DISTRICT THAT WAS SO DESIGNATED AND (2)
DESIGNATED AS HIGH NEED PURSUANT TO THE REGULATIONS OF THE  COMMISSIONER
IN THE MOST RECENTLY AVAILABLE STUDY INCLUDED IN THE SCHOOL AID COMPUTER
LISTING  PRODUCED  BY  THE COMMISSIONER IN SUPPORT OF THE ENACTED BUDGET
FOR THE TWO THOUSAND THIRTEEN--TWO THOUSAND FOURTEEN STATE  FISCAL  YEAR
AND ENTITLED "SA131-4" KNOWN AS THE  2008 NEED RESOURCE CAPACITY CATEGO-
RY  CODE, THE PRODUCT OF (A) THE POSITIVE DIFFERENCE, IF ANY, OF THE GAP
ELIMINATION  ADJUSTMENT  FOR  SUCH  DISTRICT  FOR   THE   TWO   THOUSAND
ELEVEN--TWO  THOUSAND  TWELVE  SCHOOL  YEAR MINUS THE PRODUCT OF SIX AND
EIGHT TENTHS PERCENT  (0.068)  MULTIPLIED  BY  THE  TOTAL  GENERAL  FUND
EXPENDITURES  OF  SUCH  DISTRICT  FOR THE TWO THOUSAND TEN--TWO THOUSAND
ELEVEN SCHOOL YEAR, MULTIPLIED BY (B) THIRTY-FIVE HUNDREDTHS (0.35); AND
  (V) THE "TIER E RESTORATION" WHICH SHALL MEAN FOR DISTRICTS WITH (1) A
QUOTIENT OF THE POSITIVE DIFFERENCE OF THE  GAP  ELIMINATION  ADJUSTMENT
FOR THE YEAR PRIOR TO THE BASE YEAR MINUS THE GAP ELIMINATION ADJUSTMENT
FOR THE BASE YEAR DIVIDED BY THE GAP ELIMINATION ADJUSTMENT FOR THE YEAR
PRIOR  TO  THE  BASE  YEAR  IS  LESS  THAN SEVEN AND FIVE-TENTHS PERCENT
(0.075) AND (2) A COMBINED WEALTH RATIO OF LESS THAN ONE  AND  ONE-TENTH
(1.10), THE PRODUCT OF TWO AND FIVE-TENTHS PERCENT (0.025) MULTIPLIED BY
THE GAP ELIMINATION ADJUSTMENT FOR THE BASE YEAR; AND
  (VI)  THE  "TIER  F RESTORATION" WHICH SHALL MEAN FOR ANY DISTRICT (1)
DESIGNATED AS HIGH NEED PURSUANT TO CLAUSE (C) OF  SUBPARAGRAPH  TWO  OF

S. 2607--D                         17                         A. 3007--D

PARAGRAPH  C  OF  SUBDIVISION  SIX  OF  THIS  SECTION FOR THE SCHOOL AID
COMPUTER LISTING PRODUCED BY THE COMMISSIONER IN SUPPORT OF THE  ENACTED
BUDGET  FOR  THE  TWO THOUSAND SEVEN--TWO THOUSAND EIGHT SCHOOL YEAR AND
ENTITLED  "SA0708",  OR IN THE CASE OF A REORGANIZED DISTRICT THAT HAD A
PREDECESSOR DISTRICT THAT WAS SO DESIGNATED, WITH (2) A  GEA/TGFE  RATIO
GREATER  THAN  FOUR AND NINETY-ONE HUNDREDTHS PERCENT (.0491), WHERE THE
GEA/TGFE RATIO SHALL BE THE QUOTIENT OF THE GAP  ELIMINATION  ADJUSTMENT
FOR  THE  BASE  YEAR  FOR THE DISTRICT DIVIDED BY THE TOTAL GENERAL FUND
EXPENDITURES OF SUCH DISTRICT IN THE BASE YEAR, THE PRODUCT  OF  FIFTEEN
DOLLARS  ($15.00),  MULTIPLIED  BY  THE BASE YEAR PUBLIC SCHOOL DISTRICT
ENROLLMENT, AS COMPUTED PURSUANT TO PARAGRAPH N OF  SUBDIVISION  ONE  OF
THIS SECTION, BUT NOT LESS THAN ONE HUNDRED THOUSAND DOLLARS ($100,000);
AND
  (VII)  THE  "TIER  G  RESTORATION"  WHICH SHALL MEAN FOR A CITY SCHOOL
DISTRICT OF A CITY HAVING A POPULATION IN EXCESS OF ONE HUNDRED  TWENTY-
FIVE  THOUSAND AND LESS THAN ONE HUNDRED AND SIXTY THOUSAND AND FOR CITY
SCHOOL DISTRICTS OF CITIES WITH POPULATIONS IN EXCESS OF TWO HUNDRED AND
FIVE THOUSAND AND LESS THAN THREE HUNDRED THOUSAND, THE PRODUCT  OF  TEN
DOLLARS  ($10.00)  MULTIPLIED  BY  THE  BASE YEAR PUBLIC SCHOOL DISTRICT
ENROLLMENT, AS COMPUTED PURSUANT TO PARAGRAPH N OF  SUBDIVISION  ONE  OF
THIS  SECTION  AND  FOR  A CITY SCHOOL DISTRICT OF A CITY HAVING A POPU-
LATION IN EXCESS OF ONE HUNDRED SIXTY THOUSAND  AND  BELOW  TWO  HUNDRED
THOUSAND  THE  PRODUCT  OF  EIGHT DOLLARS ($8.00) MULTIPLIED BY THE BASE
YEAR PUBLIC SCHOOL DISTRICT ENROLLMENT, AS COMPUTED  PURSUANT  TO  PARA-
GRAPH  N  OF  SUBDIVISION  ONE  OF  THIS  SECTION  AND FOR A CITY SCHOOL
DISTRICT OF A CITY HAVING A POPULATION OF ONE MILLION OR MORE, THE PROD-
UCT OF FORTY-TWO DOLLARS AND TWO CENTS ($42.02), MULTIPLIED BY THE  BASE
YEAR  PUBLIC  SCHOOL  DISTRICT ENROLLMENT, AS COMPUTED PURSUANT TO PARA-
GRAPH N OF SUBDIVISION ONE OF THIS SECTION; AND
  (VIII) THE "TIER H RESTORATION" WHICH SHALL MEAN FOR  DISTRICTS  OTHER
THAN  FOR  CITY  SCHOOL  DISTRICTS  OF  CITIES HAVING POPULATIONS OF ONE
HUNDRED AND TWENTY-FIVE THOUSAND OR MORE, THE PRODUCT  OF  THE  POSITIVE
DIFFERENCE   OF   ONE  AND  FORTY-THREE  HUNDREDTHS  (1.43)  MINUS  SUCH
DISTRICT'S REGIONAL COST INDEX PURSUANT  TO  SUBDIVISION  FOUR  OF  THIS
SECTION,  MULTIPLIED  BY FIVE, MULTIPLIED BY THE THREE-YEAR AVERAGE FREE
AND REDUCED PRICE LUNCH  PERCENT,  MULTIPLIED  BY  ONE  HUNDRED  DOLLARS
($100.00) MULTIPLIED BY THE BASE YEAR PUBLIC SCHOOL DISTRICT ENROLLMENT,
AS  COMPUTED PURSUANT TO PARAGRAPH N OF SUBDIVISION ONE OF THIS SECTION;
AND
  (IX) THE "TIER I RESTORATION" WHICH SHALL MEAN FOR ANY DISTRICT WITH A
COMBINED WEALTH RATIO GREATER THAN ONE AND ONE-TENTH (1.1) AND A  THREE-
YEAR   AVERAGE  FREE  AND  REDUCED  PRICE  LUNCH  PERCENT  GREATER  THAN
SIX-TENTHS (0.6), THE PRODUCT OF ONE HUNDRED AND FIFTY DOLLARS ($150.00)
MULTIPLIED BY THE  BASE  YEAR  PUBLIC  SCHOOL  DISTRICT  ENROLLMENT,  AS
COMPUTED PURSUANT TO PARAGRAPH N OF SUBDIVISION ONE OF THIS SECTION; AND
  (X)  THE  "TIER  J RESTORATION" WHICH SHALL MEAN FOR A DISTRICT WITH A
COMBINED WEALTH RATIO LESS THAN ONE AND ONE-TENTHS (1.1), THE PRODUCT OF
(A) TWO HUNDRED DOLLARS ($200.00) MULTIPLIED BY (B) THE POSITIVE DIFFER-
ENCE, IF ANY, OF THE BASE YEAR PUBLIC SCHOOL  DISTRICT  ENROLLMENT  LESS
THE  PUBLIC  SCHOOL DISTRICT ENROLLMENT FOR THE YEAR FOUR YEARS PRIOR TO
THE BASE YEAR, AS COMPUTED PURSUANT TO PARAGRAPH N OF SUBDIVISION ONE OF
THIS SECTION;
  PROVIDED FURTHER, NOTWITHSTANDING ANY PORTION OF THIS PARAGRAPH TO THE
CONTRARY, THAT A DISTRICT'S GAP ELIMINATION ADJUSTMENT  RESTORATION  FOR
THE  TWO  THOUSAND THIRTEEN--TWO THOUSAND FOURTEEN SCHOOL YEAR SHALL NOT

S. 2607--D                         18                         A. 3007--D

EXCEED THE PRODUCT OF FORTY-THREE PERCENT (0.43) AND THE GAP ELIMINATION
ADJUSTMENT FOR THE BASE YEAR FOR THE DISTRICT.
  (F)  THE  GAP  ELIMINATION  ADJUSTMENT  RESTORATION AMOUNT FOR THE TWO
THOUSAND FOURTEEN--TWO THOUSAND FIFTEEN SCHOOL YEAR AND THEREAFTER SHALL
EQUAL THE PRODUCT OF THE GAP ELIMINATION PERCENTAGE  FOR  SUCH  DISTRICT
AND  THE  GAP  ELIMINATION ADJUSTMENT RESTORATION ALLOCATION ESTABLISHED
PURSUANT TO SUBDIVISION EIGHTEEN OF THIS SECTION.
  S 13. Intentionally omitted.
  S 13-a. Clause (c) of subparagraph 5 of paragraph e of  subdivision  6
of  section 3602 of the education law, as amended by section 1 of part F
of chapter 383 of the laws of 2001, is amended to read as follows:
  (c) [Periodically, but at least at]  AT  the  end  of  each  ten  year
segment of an assumed amortization established pursuant to subparagraphs
two,  three  and four of this paragraph, OR IN THE TWO THOUSAND FOURTEEN
-- TWO THOUSAND FIFTEEN SCHOOL YEAR IN THE CASE OF ASSUMED AMORTIZATIONS
WHOSE TEN YEAR SEGMENT ENDS PRIOR TO SUCH SCHOOL YEAR, the  commissioner
shall   revise  the  remaining  scheduled  semiannual  payments  of  the
outstanding principal and interest of such assumed  amortization,  other
than the outstanding principal and interest of refunding bonds where the
district  can  demonstrate  to  the commissioner that it is precluded by
state or federal law, rule or regulation from refinancing such outstand-
ing principal and interest, based on the interest rates  applicable  for
the  current  year if the difference of the interest rate upon which the
existing assumed amortization is based minus such interest rate applica-
ble for the current year is equal to or  greater  than  one  quarter  of
one-one  hundredth.    PROVIDED  HOWEVER, IN THE CASE OF ASSUMED AMORTI-
ZATION WHOSE TEN YEAR SEGMENT ENDED PRIOR TO THE TWO  THOUSAND  FOURTEEN
--  TWO  THOUSAND FIFTEEN SCHOOL YEAR THE NEXT TEN YEAR SEGMENT SHALL BE
DEEMED TO COMMENCE WITH  THE  TWO  THOUSAND  FOURTEEN  --  TWO  THOUSAND
FIFTEEN  SCHOOL  YEAR.  THE  DEPARTMENT SHALL NOTIFY SCHOOL DISTRICTS OF
PROJECTS SUBJECT TO THE PROVISIONS OF  THIS  CLAUSE  BY  NO  LATER  THAN
DECEMBER FIRST NEXT PRECEDING THE SCHOOL YEAR IN WHICH THE ASSUMED AMOR-
TIZATION IS SCHEDULED TO BE REVISED PURSUANT TO THIS CLAUSE.
  S 14. The opening paragraph of section 3609-a of the education law, as
amended  by  section  9  of part A of chapter 57 of the laws of 2012, is
amended to read as follows:
  For aid payable in the two thousand seven--two thousand  eight  school
year  and  thereafter, "moneys apportioned" shall mean the lesser of (i)
the sum of one hundred percent of the respective amount  set  forth  for
each  school  district as payable pursuant to this section in the school
aid computer listing for the current year produced by  the  commissioner
in support of the budget which includes the appropriation for the gener-
al  support  for public schools for the prescribed payments and individ-
ualized payments due prior to April first for the current year plus  the
apportionment  payable during the current school year pursuant to subdi-
vision six-a and subdivision fifteen of section thirty-six  hundred  two
of  this  part  minus  any  reductions  to current year aids pursuant to
subdivision seven of section thirty-six hundred four of this part or any
deduction from  apportionment  payable  pursuant  to  this  chapter  for
collection  of a school district basic contribution as defined in subdi-
vision eight of section forty-four hundred one of this chapter, less any
grants provided pursuant to subparagraph two-a of paragraph b of  subdi-
vision  four  of section ninety-two-c of the state finance law, less any
grants provided pursuant to subdivision  twelve  of  section  thirty-six
hundred  forty-one of this article, or (ii) the apportionment calculated
by the commissioner based on data on file at the  time  the  payment  is

S. 2607--D                         19                         A. 3007--D

processed;  provided however, that for the purposes of any payments made
pursuant to this section prior to the first business day of June of  the
current  year,  moneys  apportioned  shall  not include any aids payable
pursuant  to  subdivisions  six  and fourteen, if applicable, of section
thirty-six hundred two of this part as current year aid for debt service
on bond anticipation notes and/or bonds first issued in the current year
or any aids payable for  full-day  kindergarten  for  the  current  year
pursuant  to  subdivision nine of section thirty-six hundred two of this
part. The definitions of "base year" and "current year" as set forth  in
subdivision  one  of  section  thirty-six hundred two of this part shall
apply to this section. For aid payable in the [two thousand  twelve--two
thousand  thirteen]  TWO THOUSAND THIRTEEN--TWO THOUSAND FOURTEEN school
year, reference to such "school aid computer  listing  for  the  current
year" shall mean the printouts entitled ["SA121-3"] "SA131-4".
  S  15.  Paragraph  b of subdivision 2 of section 3612 of the education
law, as amended by section 10 of part A of chapter 57  of  the  laws  of
2012, is amended to read as follows:
  b. Such grants shall be awarded to school districts, within the limits
of funds appropriated therefor, through a competitive process that takes
into  consideration  the  magnitude  of  any shortage of teachers in the
school district, the number of teachers employed in the school  district
who hold temporary licenses to teach in the public schools of the state,
the  number of provisionally certified teachers, the fiscal capacity and
geographic sparsity of the district, the  number  of  new  teachers  the
school district intends to hire in the coming school year and the number
of summer in the city student internships proposed by an eligible school
district,  if applicable. Grants provided pursuant to this section shall
be used only for the purposes enumerated in this section.  Notwithstand-
ing any other provision of law to the contrary, a city  school  district
in a city having a population of one million or more inhabitants receiv-
ing a grant pursuant to this section may use no more than eighty percent
of  such  grant  funds  for any recruitment, retention and certification
costs associated with transitional certification of  teacher  candidates
for  the  school  years  two thousand one--two thousand two through [two
thousand twelve--two thousand thirteen] TWO THOUSAND THIRTEEN--TWO THOU-
SAND FOURTEEN.
  S 16. Section 3641 of the education law is amended  by  adding  a  new
subdivision 6-a to read as follows:
  6-A.  COMMUNITY  SCHOOL GRANTS.  A. WITHIN THE AMOUNT APPROPRIATED FOR
SUCH PURPOSE, SUBJECT TO A PLAN DEVELOPED BY THE STATE COUNCIL ON  CHIL-
DREN  AND FAMILIES IN COORDINATION WITH THE COMMISSIONER AND APPROVED BY
THE DIRECTOR OF THE BUDGET, THE  COMMISSIONER  SHALL  AWARD  COMPETITIVE
GRANTS PURSUANT TO THIS SUBDIVISION TO ELIGIBLE SCHOOL DISTRICTS OR IN A
CITY  WITH  A  POPULATION  OF  ONE MILLION OR MORE AN ELIGIBLE ENTITY TO
IMPLEMENT, BEGINNING IN THE TWO THOUSAND THIRTEEN--TWO THOUSAND FOURTEEN
SCHOOL YEAR, A PLAN THAT TARGETS SCHOOL BUILDINGS AS COMMUNITY  HUBS  TO
DELIVER  CO-LOCATED  OR  SCHOOL-LINKED  ACADEMIC, HEALTH, MENTAL HEALTH,
NUTRITION, COUNSELING, LEGAL AND/OR OTHER SERVICES TO STUDENTS AND THEIR
FAMILIES IN A MANNER THAT WILL LEAD TO IMPROVED  EDUCATIONAL  AND  OTHER
OUTCOMES.   IN A CITY WITH A POPULATION OF ONE MILLION OR MORE, ELIGIBLE
ENTITIES SHALL MEAN THE CITY SCHOOL DISTRICT OF THE CITY OF NEW YORK, OR
NOT-FOR-PROFIT ORGANIZATIONS, WHICH SHALL INCLUDE NOT-FOR-PROFIT  COMMU-
NITY  BASED  ORGANIZATIONS.  AN ELIGIBLE ENTITY THAT IS A NOT-FOR-PROFIT
MAY APPLY FOR A COMMUNITY SCHOOL GRANT  PROVIDED  THAT  IT  COLLABORATES
WITH  THE  CITY SCHOOL DISTRICT OF THE CITY OF NEW YORK AND RECEIVES THE

S. 2607--D                         20                         A. 3007--D

APPROVAL OF THE CHANCELLOR OF THE CITY SCHOOL DISTRICT OF  THE  CITY  OF
NEW YORK.
  (1) SUCH PLAN SHALL INCLUDE, BUT NOT BE LIMITED TO:
  (I) THE PROCESS BY WHICH A REQUEST FOR PROPOSALS WILL BE DEVELOPED;
  (II)  THE  SCORING  RUBRIC  BY WHICH SUCH PROPOSALS WILL BE EVALUATED,
PROVIDED THAT SUCH GRANTS SHALL BE AWARDED BASED ON  FACTORS  INCLUDING,
BUT  NOT  LIMITED  TO: MEASURES OF SCHOOL DISTRICT NEED; MEASURES OF THE
NEED OF STUDENTS TO BE SERVED BY  EACH  OF  THE  SCHOOL  DISTRICTS;  THE
SCHOOL  DISTRICT'S  PROPOSAL  TO  TARGET  THE  HIGHEST  NEED SCHOOLS AND
STUDENTS; THE SUSTAINABILITY OF THE PROPOSED COMMUNITY SCHOOLS  PROGRAM;
AND PROPOSAL QUALITY;
  (III) THE FORM AND MANNER BY WHICH APPLICATIONS WILL BE SUBMITTED;
  (IV)  THE  MANNER BY WHICH CALCULATION OF THE AMOUNT OF THE AWARD WILL
BE DETERMINED;
  (V) THE TIMELINE FOR THE ISSUANCE AND REVIEW OF APPLICATIONS; AND
  (VI) PROGRAM IMPLEMENTATION PHASES THAT WILL TRIGGER  PAYMENT  OF  SET
PERCENTAGES OF THE TOTAL AWARD.
  (2)  IN  ASSESSING  PROPOSAL QUALITY, THE COMMISSIONER SHALL TAKE INTO
ACCOUNT FACTORS INCLUDING, BUT NOT LIMITED TO:
  (I) THE EXTENT TO WHICH THE SCHOOL DISTRICT'S PROPOSAL  WOULD  PROVIDE
SUCH  COMMUNITY SERVICES THROUGH PARTNERSHIPS WITH LOCAL GOVERNMENTS AND
NON-PROFIT ORGANIZATIONS;
  (II) THE EXTENT TO WHICH THE PROPOSAL WOULD PROVIDE  FOR  DELIVERY  OF
SUCH SERVICES DIRECTLY IN SCHOOL BUILDINGS;
  (III)  THE  EXTENT TO WHICH THE PROPOSAL ARTICULATES HOW SUCH SERVICES
WOULD FACILITATE MEASURABLE IMPROVEMENT IN STUDENT AND FAMILY OUTCOMES;
  (IV) THE EXTENT TO WHICH THE PROPOSAL ARTICULATES AND  IDENTIFIES  HOW
EXISTING  FUNDING  STREAMS  AND  PROGRAMS  WOULD BE USED TO PROVIDE SUCH
COMMUNITY SERVICES; AND
  (V) THE EXTENT TO  WHICH  THE  PROPOSAL  ENSURES  THE  SAFETY  OF  ALL
STUDENTS, STAFF AND COMMUNITY MEMBERS IN SCHOOL BUILDINGS USED AS COMMU-
NITY HUBS.
  B.  A  RESPONSE  TO  A  REQUEST  FOR PROPOSALS ISSUED PURSUANT TO THIS
SUBDIVISION MAY BE SUBMITTED BY A SINGLE SCHOOL DISTRICT OR JOINTLY BY A
CONSORTIUM OF TWO OR MORE SCHOOL DISTRICTS, OR IN A CITY  WITH  A  POPU-
LATION OF ONE MILLION OR MORE, AN ELIGIBLE ENTITY.
  C.  THE  AMOUNT  OF THE GRANT AWARD SHALL BE DETERMINED BY THE COMMIS-
SIONER, CONSISTENT WITH THE PLAN DEVELOPED PURSUANT TO  PARAGRAPH  A  OF
THIS  SUBDIVISION,  EXCEPT  THAT  NO SINGLE DISTRICT MAY BE AWARDED MORE
THAN FORTY PERCENT OF THE TOTAL AMOUNT OF GRANT AWARDS MADE PURSUANT  TO
THIS  SUBDIVISION;  AND  PROVIDED  FURTHER THAT THE MAXIMUM AWARD TO ANY
INDIVIDUAL COMMUNITY SCHOOL SITE SHALL BE FIVE HUNDRED THOUSAND DOLLARS;
AND PROVIDED FURTHER THAT THE AMOUNT AWARDED WILL BE  PAID  OUT  IN  SET
PERCENTAGES  OVER TIME UPON SUCCESSFUL IMPLEMENTATION OF EACH PHASE OF A
SCHOOL DISTRICT'S APPROVED PROPOSAL SET FORTH PURSUANT TO PARAGRAPH A OF
THIS SUBDIVISION; AND PROVIDED FURTHER THAT NONE OF THE  GRANTS  AWARDED
PURSUANT TO THIS SUBDIVISION MAY BE USED TO SUPPLANT EXISTING FUNDING.
  S  17.  Section  3641  of the education law is amended by adding a new
subdivision 6-b to read as follows:
  6-B. EXTENDED LEARNING GRANTS.  A. WITHIN THE AMOUNT APPROPRIATED  FOR
SUCH  PURPOSE,  SUBJECT TO A PLAN THAT IS DEVELOPED BY THE COMMISSIONER,
AND APPROVED BY THE DIRECTOR OF THE BUDGET, THE COMMISSIONER SHALL AWARD
COMPETITIVE PLANNING AND IMPLEMENTATION GRANTS PURSUANT TO THIS SUBDIVI-
SION TO ELIGIBLE SCHOOL DISTRICTS OR SCHOOL DISTRICTS  IN  COLLABORATION
WITH  NOT-FOR-PROFIT  COMMUNITY  BASED  ORGANIZATIONS THAT PUT FORWARD A
PROPOSAL TO IMPROVE STUDENT OUTCOMES  BY  ADDING  AT  LEAST  TWENTY-FIVE

S. 2607--D                         21                         A. 3007--D

PERCENT  MORE TIME TO THE ACADEMIC CALENDAR BY EXTENDING THE SCHOOL DAY,
SCHOOL YEAR, OR SOME COMBINATION THEREOF,  EITHER  DISTRICT-WIDE  OR  IN
SELECTED SCHOOL BUILDINGS.
  (1) SUCH PLAN SHALL INCLUDE, BUT NOT BE LIMITED TO:
  (I) THE PROCESS BY WHICH A REQUEST FOR PROPOSALS WILL BE DEVELOPED;
  (II)  THE  SCORING  RUBRIC  BY WHICH SUCH PROPOSALS WILL BE EVALUATED,
PROVIDED THAT PRIORITY SHALL BE  GIVEN  TO  APPLICANTS  BASED  UPON  THE
SCHOOL  DISTRICT'S  PROPOSAL TO TARGET THE SCHOOLS AND STUDENTS WITH THE
GREATEST NEED AND UPON PROPOSAL QUALITY;
  (III) THE FORM AND MANNER BY WHICH APPLICATIONS WILL BE SUBMITTED;
  (IV) THE TIMELINE FOR THE ISSUANCE AND REVIEW OF APPLICATIONS; AND
  (V) A REQUIREMENT THAT SCHOOL  DISTRICTS  AWARDED  GRANTS  UNDER  THIS
SUBDIVISION  SUBMIT TO AN ANNUAL EVALUATION OF PERFORMANCE AND IMPACT AS
REQUIRED BY THE COMMISSIONER.
  (2) IN ASSESSING PROPOSAL QUALITY IN  ORDER  TO  AWARD  IMPLEMENTATION
GRANT  FUNDING, THE COMMISSIONER SHALL TAKE INTO ACCOUNT FACTORS INCLUD-
ING, BUT NOT LIMITED TO:
  (I) THE EXTENT TO WHICH THE SCHOOL DISTRICT'S PROPOSAL WOULD  MAXIMIZE
THE USE OF THE ADDITIONAL LEARNING TIME THROUGH A COMPREHENSIVE RESTRUC-
TURING OF THE SCHOOL DAY AND/OR YEAR;
  (II) HOW THE ADDITIONAL LEARNING TIME WOULD BE UTILIZED, INCLUDING BUT
NOT LIMITED TO ADDITIONAL TIME SPENT ON CORE ACADEMICS; AND
  (III) THE EXTENT TO WHICH THE PROPOSAL WOULD PROVIDE ADDITIONAL LEARN-
ING TIME FOR STUDENTS IN GRADES SIX THROUGH EIGHT.
  B.  A  SCHOOL  DISTRICT'S SCHOOL-WIDE EXTENDED LEARNING IMPLEMENTATION
GRANT AWARD SHALL EQUAL ITS AVERAGE DAILY ATTENDANCE IN THE  SCHOOL-WIDE
EXTENDED  LEARNING  PROGRAM MULTIPLIED BY THE EXPECTED COST PER PUPIL OF
THE ADDITIONAL LEARNING TIME. FOR  PURPOSES  OF  THIS  SUBDIVISION,  THE
EXPECTED  COST PER PUPIL OF THE ADDITIONAL LEARNING TIME SHALL EQUAL THE
GREATER OF FIFTEEN HUNDRED DOLLARS OR (1) THE QUOTIENT OF (I) THE SCHOOL
DISTRICT'S APPROVED OPERATING EXPENSE PURSUANT TO PARAGRAPH T OF  SUBDI-
VISION  ONE  OF  SECTION  THIRTY-SIX HUNDRED TWO OF THIS ARTICLE FOR THE
YEAR PRIOR TO THE BASE YEAR DIVIDED BY (II) THE DISTRICT'S PUBLIC SCHOOL
DISTRICT ENROLLMENT PURSUANT TO SUBPARAGRAPH TWO OF PARAGRAPH N OF  SUCH
SUBDIVISION  FOR  THE  YEAR PRIOR TO THE BASE YEAR MULTIPLIED BY (2) TEN
PERCENT (0.10), MULTIPLIED BY (3) THE QUOTIENT OF (I) THE AVERAGE OF THE
NATIONAL CONSUMER PRICE INDEXES DETERMINED BY THE UNITED STATES  DEPART-
MENT OF LABOR FOR THE TWELVE MONTH PERIOD PRECEDING JANUARY FIRST OF THE
BASE  YEAR,  DIVIDED  BY (II) THE AVERAGE OF THE NATIONAL CONSUMER PRICE
INDEXES DETERMINED BY THE UNITED STATES  DEPARTMENT  OF  LABOR  FOR  THE
TWELVE  MONTH PERIOD PRECEDING JANUARY FIRST OF THE YEAR TWO YEARS PRIOR
TO THE BASE YEAR.
  C. IN EXTRAORDINARY CASES, THE COMMISSIONER MAY  AWARD  A  GRANT  THAT
EXCEEDS  THE  PER PUPIL LIMIT CALCULATED PURSUANT TO PARAGRAPH B OF THIS
SUBDIVISION.
  D. NO DISTRICT SHALL RECEIVE A GRANT IN EXCESS  OF  THE  TOTAL  ACTUAL
GRANT  EXPENDITURES  INCURRED  BY  THE  DISTRICT  IN THE CURRENT YEAR AS
APPROVED BY THE COMMISSIONER.
  E. NO SINGLE DISTRICT MAY BE AWARDED MORE THAN FORTY  PERCENT  OF  THE
TOTAL AMOUNT OF GRANT AWARDS MADE PURSUANT TO THIS SUBDIVISION.
  S  18.  Subdivision  16  of  section  3602-e  of the education law, as
amended by section 19 of part B of chapter 57 of the laws  of  2007,  is
amended to read as follows:
  16. The grant payable to a school district pursuant to this section in
the  current year shall be reduced by one one-hundred eightieth for each
day less than one hundred eighty days that the universal prekindergarten

S. 2607--D                         22                         A. 3007--D

classes of the district  were  actually  in  session,  except  that  the
commissioner may disregard such reduction for any deficiency that may be
disregarded  in  computing  total foundation aid pursuant to subdivision
seven or eight of section thirty-six hundred four of this chapter AND IN
ADDITION  MAY DISREGARD A REDUCTION FOR ANY DEFICIENCY THAT IS CAUSED BY
A DELAY IN THE OPENING OF PUBLIC SCHOOL CLASSES DUE  TO  EXTRAORDINARILY
ADVERSE  WEATHER  CONDITIONS  OR  OTHER  CAUSE CITED IN SUCH SUBDIVISION
SEVEN OF SECTION THIRTY-SIX HUNDRED FOUR THAT RESULTS IN CANCELLATION OF
THE PREKINDERGARTEN PROGRAM OR OF TRANSPORTATION TO SUCH PROGRAM.
  S 19. Clause (b) of subparagraph 3 of paragraph e of subdivision 6  of
section  3602 of the education law, as amended by section 31-a of part A
of chapter 57 of the laws of 2012, is amended to read as follows:
  (b) Such assumed amortization for a project approved  by  the  commis-
sioner  on or after the later of the first day of December, two thousand
one or thirty days after the date upon which this subdivision shall have
become a law and prior to the first day of July, two thousand eleven  or
for  any  debt  service related to projects approved by the commissioner
prior to such date where a bond, capital note or bond anticipation  note
is  first issued on or after the first day of December, two thousand one
to fund such projects, shall commence: (i) eighteen  months  after  such
approval or (ii) on the date of receipt by the commissioner of a certif-
ication  by  the  district that a general construction contract has been
awarded for such project by the district, whichever is later,  and  such
assumed  amortization  for  a project approved by the commissioner on or
after the first day of July, two thousand eleven shall  commence:  (iii)
eighteen  months  after  such approval or (iv) on the date of receipt by
the commissioner of both the final certificate of substantial completion
of the project issued by the architect or engineer and  the  final  cost
report  for  such  project, whichever is later or (v) upon the effective
date of a waiver based on a finding by the commissioner, pursuant  to  a
process  set  forth  by the commissioner, that the district is unable to
submit a final certificate of substantial  completion  for  the  project
and/or  complete  the  final cost report because of circumstances beyond
the control of the district, WHICH SHALL INCLUDE BUT SHALL NOT BE LIMIT-
ED TO THE INABILITY OF THE DISTRICT TO COMPLETE A COMPLEX PROJECT WITHIN
EIGHTEEN MONTHS.   Such assumed amortization  shall  provide  for  equal
semiannual  payments of principal and interest based on an interest rate
established pursuant to subparagraph five of  this  paragraph  for  such
purpose for the school year during which such certification is received.
The  first  installment  of obligations issued by the school district in
support of such projects may mature not later than the dates established
pursuant to sections 21.00 and 22.10 of the local finance law.
  S 20. Section 2556 of the education law is amended  by  adding  a  new
subdivision 15 to read as follows:
  15.  A.  THE  CHANCELLOR  OF A CITY SCHOOL DISTRICT IN A CITY HAVING A
POPULATION OF ONE MILLION OR MORE SHALL  COMPILE  AN  INVENTORY  OF  AND
ISSUE  A WRITTEN REPORT AND DEVELOP RECOMMENDATIONS REGARDING TRANSPORT-
ABLE CLASSROOM UNITS ("TCU" OR ALSO COMMONLY KNOWN AS A "TRAILER"). SUCH
INVENTORY, REPORT AND RECOMMENDATIONS SHALL:
  (I) IDENTIFY EACH TRANSPORTABLE CLASSROOM UNIT  LOCATED  IN  THE  CITY
SCHOOL  DISTRICT.  EACH TRANSPORTABLE CLASSROOM UNIT SHALL BE IDENTIFIED
BY THE COMMUNITY SCHOOL DISTRICT IN WHICH IT  IS  LOCATED,  ITS  ADDRESS
WITH  IDENTIFICATION  OF ANY SCHOOL BUILDING IT IS PART OF OR ASSOCIATED
WITH, ITS APPROXIMATE SIZE, ITS AGE, AND A DESCRIPTION OF  ITS  PHYSICAL
CONDITION;

S. 2607--D                         23                         A. 3007--D

  (II)  IDENTIFY THE NUMBER OF STUDENTS SERVED WITHIN EACH TRANSPORTABLE
CLASSROOM UNIT, INCLUDING THE GRADE LEVEL OF SUCH STUDENTS, IF  APPLICA-
BLE,  THE  AVERAGE  CLASS SIZE WITHIN EACH TRANSPORTABLE CLASSROOM UNIT,
AND A DESCRIPTION OF THE AMOUNT OF THE SCHOOL  DAY  THE  STUDENTS  SPEND
WITHIN EACH TRANSPORTABLE CLASSROOM UNIT;
  (III)  PROVIDE RECOMMENDATIONS TO MINIMIZE THE NUMBER OF TRANSPORTABLE
CLASSROOM UNITS WITHIN THE CITY SCHOOL DISTRICT.
  B. ON OR BEFORE DECEMBER  THIRTY-FIRST,  TWO  THOUSAND  FOURTEEN,  THE
CHANCELLOR  SHALL  SUBMIT THE INVENTORY, REPORT, AND THE RECOMMENDATIONS
TO MINIMIZE THE NUMBER OF TRANSPORTABLE CLASSROOM UNITS WITHIN THE  CITY
SCHOOL  DISTRICT, COMPILED AND DEVELOPED PURSUANT TO PARAGRAPH A OF THIS
SUBDIVISION, TO THE GOVERNOR, THE TEMPORARY PRESIDENT OF THE SENATE, THE
SPEAKER OF THE ASSEMBLY, THE CHAIRS OF THE SENATE AND  ASSEMBLY  COMMIT-
TEES ON EDUCATION, AND THE DEPARTMENT.
  S 20-a. Section 2590-h of the education law is amended by adding a new
subdivision 53 to read as follows:
  53.  TO  COMPILE  AN INVENTORY OF, ISSUE A WRITTEN REPORT, AND PROVIDE
RECOMMENDATIONS  AS  REQUIRED  BY   SUBDIVISION   FIFTEEN   OF   SECTION
TWENTY-FIVE  HUNDRED  FIFTY-SIX  OF  THIS  TITLE REGARDING TRANSPORTABLE
CLASSROOM UNITS IN THE CITY SCHOOL DISTRICT.
  S 21. Subdivision 6 of section 4402 of the education law,  as  amended
by section 12 of part A of chapter 57 of the laws of 2012, is amended to
read as follows:
  6.  Notwithstanding any other law, rule or regulation to the contrary,
the board of education of a city school district with  a  population  of
one  hundred twenty-five thousand or more inhabitants shall be permitted
to establish  maximum  class  sizes  for  special  classes  for  certain
students  with  disabilities  in  accordance with the provisions of this
subdivision. For the purpose of obtaining relief from any adverse fiscal
impact from under-utilization of special education resources due to  low
student  attendance  in  special  education  classes  at  the middle and
secondary level as determined by the commissioner, such boards of educa-
tion shall, during the school years nineteen hundred  ninety-five--nine-
ty-six  through  June thirtieth, two thousand [thirteen] FOURTEEN of the
[two thousand twelve--two thousand thirteen] TWO THOUSAND  THIRTEEN--TWO
THOUSAND  FOURTEEN school year, be authorized to increase class sizes in
special classes containing students with disabilities whose  age  ranges
are  equivalent  to those of students in middle and secondary schools as
defined by the commissioner for purposes of this section by  up  to  but
not to exceed one and two tenths times the applicable maximum class size
specified  in  regulations of the commissioner rounded up to the nearest
whole number, provided that in a city school  district  having  a  popu-
lation of one million or more, classes that have a maximum class size of
fifteen  may  be increased by no more than one student and provided that
the projected average class size shall not exceed the maximum  specified
in  the  applicable  regulation,  provided that such authorization shall
terminate on June thirtieth, two thousand. Such authorization  shall  be
granted  upon  filing  of a notice by such a board of education with the
commissioner stating the board's intention to increase such class  sizes
and  a  certification  that the board will conduct a study of attendance
problems at the secondary level and will implement a  corrective  action
plan  to  increase the rate of attendance of students in such classes to
at least the rate for students attending regular  education  classes  in
secondary  schools of the district. Such corrective action plan shall be
submitted for approval by the commissioner by a date during  the  school
year  in  which such board increases class sizes as provided pursuant to

S. 2607--D                         24                         A. 3007--D

this subdivision to be prescribed by the  commissioner.  Upon  at  least
thirty  days  notice  to the board of education, after conclusion of the
school year in which such board increases class sizes as provided pursu-
ant  to this subdivision, the commissioner shall be authorized to termi-
nate such authorization upon a finding that  the  board  has  failed  to
develop or implement an approved corrective action plan.
  S 21-a. Paragraph d of subdivision 15 of section 3641 of the education
law,  as  added  by  section 22-b of part A of chapter 57 of the laws of
2012, is amended to read as follows:
  d. Approved additional expenses for  annual  professional  performance
reviews transition grants pursuant to this subdivision FOR THE TWO THOU-
SAND  TWELVE--TWO  THOUSAND  THIRTEEN  SCHOOL  YEAR shall CONTINUE TO be
eligible for reimbursement. Such approved expenses shall be eligible for
payment on or after September first following the end of the school year
in which such expenses were approved.   In the event  the  appropriation
for  purposes of this subdivision in any year is insufficient to pay all
approved claims pursuant to this subdivision, the commissioner shall pay
such claims on a prorated basis among all districts filing  such  claims
until  the appropriation is exhausted. The commissioner shall promulgate
rules and regulations necessary to  implement  the  provisions  of  this
subdivision  within  sixty  days of the effective date of the chapter of
the laws of two thousand [twelve] THIRTEEN  that  [added]  AMENDED  this
[subdivision] PARAGRAPH.
  S 22. Intentionally omitted.
  S  22-a.  Section 3604 of the education law is amended by adding a new
subdivision 7-b to read as follows:
  7-B. NOTWITHSTANDING THE  PROVISIONS  OF  SUBDIVISION  SEVEN  OF  THIS
SECTION, FOR THE TWO THOUSAND TWELVE--TWO THOUSAND THIRTEEN SCHOOL YEAR,
THE  COMMISSIONER SHALL DISREGARD SUCH REDUCTION, UP TO TEN DAYS, IN THE
APPORTIONMENT OF PUBLIC MONEY, IF THE SCHOOLS OF THE DISTRICT  WERE  NOT
IN  SESSION  FOR  ONE  HUNDRED  EIGHTY  DAYS  BECAUSE OF EXTRAORDINARILY
ADVERSE WEATHER CONDITIONS, FEDERAL DECLARATIONS OF NATURAL DISASTERS, A
STATE DISASTER EMERGENCY AS DEFINED IN SECTION TWENTY OF THE   EXECUTIVE
LAW,  THE  CLOSING OF TRANSPORTATION ROUTES PURSUANT TO A DECLARED LOCAL
STATE OF EMERGENCY, IMPAIRMENT OF HEATING FACILITIES,  INSUFFICIENCY  OF
WATER  SUPPLY, SHORTAGE OF FUEL, LACK OF ELECTRICITY, OR THE DESTRUCTION
OF A SCHOOL BUILDING EITHER IN WHOLE OR IN PART, AND  IF,  FURTHER,  THE
DISTRICT SUPERINTENDENT CERTIFIES THAT SUCH DISTRICT CANNOT MAKE UP SUCH
DAYS  OF  INSTRUCTION  BY  USING  FOR THE SECONDARY GRADES ALL SCHEDULED
VACATION DAYS WHICH OCCUR PRIOR TO THE FIRST SCHEDULED  REGENTS EXAMINA-
TION DAY IN JUNE, AND FOR THE ELEMENTARY GRADES ALL  SCHEDULED  VACATION
DAYS  WHICH OCCUR PRIOR TO THE LAST SCHEDULED REGENTS EXAMINATION DAY IN
JUNE; AND IF, FURTHER, THE  DISTRICT  SUPERINTENDENT  CERTIFIES  TO  THE
COMMISSIONER  THAT  TO  DO  SO WOULD IMPERIL STUDENTS, FACULTY AND STAFF
WHILE REPAIRS CONTINUE. FOR THE PURPOSES OF THIS SUBDIVISION, "SCHEDULED
VACATION DAYS" SHALL MEAN DAYS  ON WHICH THE SCHOOLS OF THE DISTRICT ARE
NOT IN SESSION AND FOR WHICH NO PROHIBITION EXISTS IN SUBDIVISION  EIGHT
OF THIS SECTION FOR THEM TO BE IN SESSION.
  S 23. Section 3627 of the education law is REPEALED, and a new section
3627 is added to read as follows:
  S  3627.  TRANSPORTATION  AFTER  4PM.  1.  NOTWITHSTANDING  ANY  OTHER
PROVISIONS OF THIS SECTION TO THE CONTRARY, FOR THE TWO  THOUSAND  THIR-
TEEN--TWO  THOUSAND FOURTEEN SCHOOL YEAR, A CITY SCHOOL DISTRICT LOCATED
IN A CITY HAVING A POPULATION OF ONE MILLION OR MORE PROVIDING TRANSPOR-
TATION PURSUANT TO THIS CHAPTER SHALL BE RESPONSIBLE FOR:

S. 2607--D                         25                         A. 3007--D

  (A) PROVIDING TRANSPORTATION FOR THOSE CHILDREN ATTENDING  PUBLIC  AND
NONPUBLIC  SCHOOLS  IN GRADES KINDERGARTEN THROUGH SIX WHO REMAIN AT THE
SAME SCHOOL FOR WHICH THEY ARE ENROLLED FOR REGULARLY SCHEDULED ACADEMIC
CLASSES FROM HALF-PAST NINE O'CLOCK IN THE MORNING OR EARLIER UNTIL FOUR
O'CLOCK  IN THE AFTERNOON OR LATER, ON WEEKDAYS, AND RESIDE AT LEAST ONE
MILE FROM THEIR SCHOOL OF ATTENDANCE FOR GRADES THREE THROUGH  SIX,  AND
AT  LEAST  ONE-HALF  MILE  FROM  THEIR  SCHOOL  OF ATTENDANCE FOR GRADES
KINDERGARTEN THROUGH TWO OR
  (B) REIMBURSING THE COST INCURRED BY LICENSED TRANSPORTATION  CARRIERS
PURSUANT  TO CONTRACTS WITH SUCH SCHOOL DISTRICT FOR PROVIDING TRANSPOR-
TATION FOR THOSE CHILDREN ATTENDING  PUBLIC  AND  NONPUBLIC  SCHOOLS  IN
GRADES  KINDERGARTEN THROUGH SIX WHO REMAIN AT THE SAME SCHOOL FOR WHICH
THEY  ARE  ENROLLED  FOR  REGULARLY  SCHEDULED  ACADEMIC  CLASSES   FROM
HALF-PAST  NINE  O'CLOCK IN THE MORNING OR EARLIER UNTIL FOUR O'CLOCK IN
THE AFTERNOON OR LATER, ON WEEKDAYS, AND RESIDE AT LEAST ONE  MILE  FROM
THEIR  SCHOOL  OF  ATTENDANCE FOR GRADES THREE THROUGH SIX, AND AT LEAST
ONE-HALF MILE FROM THEIR SCHOOL OF ATTENDANCE  FOR  GRADES  KINDERGARTEN
THROUGH TWO.
  2.  NOTHING HEREIN SHALL PROHIBIT THE SCHOOL DISTRICT FROM REIMBURSING
FOR COSTS INCURRED FOR CONTRACTS BETWEEN THE  SCHOOL  DISTRICT  AND  ANY
ENTITY PROVIDING OR CONTRACTING FOR SUCH TRANSPORTATION SERVICE.
  3.  A  DISTRICT  SHALL  NOT BE DEEMED TO HAVE SATISFIED ITS OBLIGATION
UNDER THIS SECTION BY PROVIDING PUBLIC SERVICE TRANSPORTATION.
  4. NOTWITHSTANDING ANY OTHER PROVISION OF LAW  TO  THE  CONTRARY,  ANY
EXPENDITURES FOR TRANSPORTATION PROVIDED PURSUANT TO THIS SECTION IN THE
TWO  THOUSAND  THIRTEEN--TWO THOUSAND FOURTEEN SCHOOL YEAR AND OTHERWISE
ELIGIBLE FOR TRANSPORTATION AID PURSUANT TO SUBDIVISION SEVEN OF SECTION
THIRTY-SIX HUNDRED TWO OF THIS  ARTICLE  SHALL  BE  CONSIDERED  APPROVED
TRANSPORTATION   EXPENSES  ELIGIBLE  FOR  TRANSPORTATION  AID,  PROVIDED
FURTHER THAT SUCH AID SHALL BE LIMITED TO FIVE MILLION SIX HUNDRED THOU-
SAND DOLLARS. AND PROVIDED FURTHER THAT SUCH EXPENDITURES  ELIGIBLE  FOR
AID  UNDER THIS SECTION SHALL SUPPLEMENT NOT SUPPLANT LOCAL EXPENDITURES
FOR SUCH TRANSPORTATION IN THE TWO THOUSAND TWELVE--TWO  THOUSAND  THIR-
TEEN SCHOOL YEAR.
  5.  NOTWITHSTANDING ANY OTHER PROVISION OF THIS SECTION TO THE CONTRA-
RY, IN NO EVENT SHALL SUCH CITY SCHOOL DISTRICT, IN ORDER TO COMPLY WITH
THE REQUIREMENTS OF THIS SECTION, BE REQUIRED  TO  INCUR  ANY  COSTS  IN
EXCESS  OF THE AMOUNT ELIGIBLE FOR TRANSPORTATION AID PURSUANT TO SUBDI-
VISION FOUR OF THIS SECTION. IN THE EVENT SUCH AMOUNT  IS  INSUFFICIENT,
THE  CITY  SCHOOL  DISTRICT  OF  NEW  YORK  SHALL PROVIDE TRANSPORTATION
SERVICES WITHIN SUCH AMOUNT ON AN EQUITABLE BASIS, UNTIL SUCH APPORTION-
MENT IS EXHAUSTED.
  6. THE CHANCELLOR OF SUCH SCHOOL DISTRICT, IN  CONSULTATION  WITH  THE
COMMISSIONER,  SHALL PRESCRIBE THE MOST COST EFFECTIVE SYSTEM FOR IMPLE-
MENTING THE REQUIREMENTS OF THIS SECTION, TAKING INTO CONSIDERATION: (A)
THE COSTS ASSOCIATED WITH PARAGRAPHS (A) AND (B) OF SUBDIVISION  ONE  OF
THIS  SECTION,  AND (B) POLICIES THAT ATTEMPT TO MAXIMIZE STUDENT SAFETY
FOR THE STUDENT TO BE TRANSPORTED, WHICH FOR PURPOSES  OF  THIS  SECTION
SHALL INCLUDE WHETHER THE PICK UP OR DROP OFF SITE OF THE TRANSPORTATION
IS:
  (I) NOT FURTHER THAN 600 FEET FROM THE STUDENT'S RESIDENCE; AND/OR
  (II)  AT  THE  SAME LOCATIONS FOR ANY FAMILY THAT HAVE CHILDREN AT THE
SAME RESIDENCE WHO ATTEND TWO OR MORE DIFFERENT SCHOOLS.
  7. (A) IN THE EVENT THE CHANCELLOR  HAS  NOT  SATISFIED  A  DISTRICT'S
OBLIGATION  UNDER  THIS  SECTION,  A PARENT OR GUARDIAN OR ANY REPRESEN-
TATIVE AUTHORIZED BY SUCH PARENT OR GUARDIAN  OF  A  CHILD  ELIGIBLE  TO

S. 2607--D                         26                         A. 3007--D

RECEIVE  TRANSPORTATION  UNDER THIS SECTION MAY REQUEST THE COMMISSIONER
TO ARRANGE FOR THE PROVISION OF THE TRANSPORTATION  TO  SO  SATISFY  THE
REQUIREMENTS OF THIS SECTION.
  (B)  IF WITHIN SIXTY DAYS OF RECEIVING A REQUEST FROM SUCH A PARENT OR
GUARDIAN OR ANY REPRESENTATIVE AUTHORIZED BY SUCH  PARENT  OR  GUARDIAN,
THE  COMMISSIONER  DETERMINES  THAT  THE  CHANCELLOR HAS NOT SATISFIED A
DISTRICT'S OBLIGATION UNDER THIS SECTION, THEN  THE  COMMISSIONER  SHALL
IMMEDIATELY  DIRECT THE CHANCELLOR TO CONTRACT WITH A LICENSED TRANSPOR-
TATION CARRIER TO PROVIDE THE TRANSPORTATION REQUIRED PURSUANT  TO  THIS
SECTION.
  (C)  IN  THE  EVENT  THE CHANCELLOR IS DIRECTED BY THE COMMISSIONER TO
CONTRACT WITH A LICENSED TRANSPORTATION CARRIER TO PROVIDE THE TRANSPOR-
TATION REQUIRED PURSUANT TO THIS SECTION, THE CHANCELLOR  SHALL  PROVIDE
THE  COMMISSIONER  WITH  A  COPY  OF  SUCH  PROPOSED CONTRACT, BEFORE IT
BECOMES EFFECTIVE, AND THE COMMISSIONER SHALL HAVE THE POWER TO APPROVE,
DISAPPROVE OR REQUIRE AMENDMENTS TO SUCH CONTRACT BEFORE IT SHALL BECOME
EFFECTIVE.
  (D) A DISTRICT, DETERMINED BY THE COMMISSIONER TO NOT BE IN COMPLIANCE
WITH THE REQUIREMENTS OF THIS SECTION, SHALL BE RESPONSIBLE FOR THE COST
OF ANY TRANSPORTATION CONTRACT AWARDED BY THE CHANCELLOR.
  8. THE PARENT OR GUARDIAN, OR ANY REPRESENTATIVE  AUTHORIZED  BY  SUCH
PARENT  OR  GUARDIAN,  MAY  SUBMIT  A WRITTEN REQUEST FOR TRANSPORTATION
UNDER THIS SECTION, IN THE SAME MANNER AND UPON THE SAME  DATES  AS  ARE
REQUIRED FOR A REQUEST FOR TRANSPORTATION PURSUANT TO SUBDIVISION TWO OF
SECTION THIRTY-SIX HUNDRED THIRTY-FIVE OF THIS ARTICLE.
  S 23-a. Intentionally omitted.
  S 23-b. Subdivision a of section 5 of chapter 121 of the laws of 1996,
relating  to  authorizing  the  Roosevelt  union free school district to
finance deficits by the issuance of serial bonds, as amended by  section
27-b  of part A of chapter 57 of the laws of 2012, is amended to read as
follows:
  a. Notwithstanding any other provisions of law,  upon  application  to
the  commissioner of education submitted not sooner than April first and
not later than June thirtieth of the applicable school year, the  Roose-
velt  union  free school district shall be eligible to receive an appor-
tionment pursuant to this chapter for salary expenses, including related
benefits, incurred between April first and June thirtieth of such school
year.  Such apportionment shall not exceed:  for the 1996-97 school year
through  the  [2012-13]  2013-14  school  year,  four  million   dollars
($4,000,000);  for  the  [2013-14]  2014-15  school  year, three million
dollars ($3,000,000); for  the  [2014-2015]  2015-16  school  year,  two
million dollars ($2,000,000); for the [2015-16] 2016-17 school year, one
million dollars ($1,000,000); and for the [2016-17] 2017-18 school year,
zero  dollars.  Such annual application shall be made after the board of
education has adopted a resolution to do so with  the  approval  of  the
commissioner of education.
  S  24.  Subparagraphs (i) and (ii) of paragraph c of subdivision 11 of
section 4410 of the education law, subparagraph (i) as amended by  chap-
ter  82  of the laws of 1995 and subparagraph (ii) as amended by chapter
205 of the laws of 2009, are amended to read as follows:
  (i) Each municipality, or, in addition, in the case of a city  of  one
million  or  more persons, the board, may perform a fiscal audit of such
services or programs for which it bears fiscal responsibility in accord-
ance with audit standards established by  the  commissioner,  which  may
include  site  visitation.  THE  DEPARTMENT  SHALL PROVIDE GUIDELINES ON
STANDARDS AND PROCEDURES TO MUNICIPALITIES AND BOARDS, FOR FISCAL AUDITS

S. 2607--D                         27                         A. 3007--D

OF SERVICES OR PROGRAMS PURSUANT TO THIS SECTION. Prior to commencing  a
fiscal  audit pursuant to this subparagraph, a municipality shall ascer-
tain that neither the state nor any other municipality has  performed  a
fiscal  audit of the same services or programs within the current fiscal
year for such program. If it is determined that no such audit  has  been
performed,  the municipality shall inquire with the department to deter-
mine which other municipalities, if any, bear  financial  responsibility
for  the  services or programs to be audited and shall afford such other
municipalities an opportunity to recommend issues to be examined through
the audit.  Municipalities completing audits pursuant to  this  subpara-
graph  shall  provide  copies  to  the  department,  the provider of the
services and programs and all other municipalities previously determined
to bear financial responsibility for the audited services and  programs.
No other municipality may conduct an additional fiscal audit of the same
services or programs during such current fiscal year for such program.
  (ii)  Payments  made pursuant to this section by a municipality shall,
upon conclusion of the July first to  June  thirtieth  school  year  for
which  such  payment  was  made,  be subject to audit against the actual
difference between such audited expenditures and revenues.  The  munici-
pality  shall  submit  the results of any such audit to the commissioner
and the commissioner of social services, if appropriate, for review and,
if warranted, adjustment of the tuition and/or  maintenance  rates.  The
municipality is authorized to recover overpayments made to a provider of
special  services  or programs pursuant to this section as determined by
the commissioner or the commissioner of health based upon their  adjust-
ment of a tuition and/or maintenance rate, PROVIDED THAT FOR PURPOSES OF
MAKING SUCH ADJUSTMENT AND RECOVERY, THE MUNICIPALITY SHALL BE DEEMED TO
HAVE  PAID  ONE  HUNDRED PERCENT OF THE DISALLOWED COSTS.  Such recovery
may be accomplished by withholding such amount from any moneys  due  the
provider  in  the current year, or by direct reimbursement.  THE COMMIS-
SIONER SHALL PROMULGATE RULES AND REGULATIONS NECESSARY TO IMPLEMENT THE
PROVISIONS OF THIS PARAGRAPH WITHIN SIXTY DAYS OF THE EFFECTIVE DATE  OF
THE  CHAPTER  OF  THE  LAWS  OF TWO THOUSAND THIRTEEN WHICH AMENDED THIS
SUBPARAGRAPH.
  S 24-a. Notwithstanding any provision of the law to the contrary,  for
a school district with a penalty arising from the late filing of a final
cost  report  pursuant to section 31 of part A of chapter 57 of the laws
of 2012 where such  penalty  exceeds  $4,000,000  and  also  exceeds  30
percent  of  such district's total general fund expenditures for 2010-11
school year, the commissioner shall recover such penalty  in  ten  equal
annual  installments  beginning  the  later  of June 2014 or June of the
school year in which such district is notified of the penalty.  Provided
further that such district may elect to make an initial payment no later
than  thirty days in advance of the first annual installment which shall
reduce the amount of each annual installment.
  S 25.  Paragraph a-1 of subdivision 11 of section 3602 of  the  educa-
tion law, as amended by section 7 of part A of chapter 57 of the laws of
2012, is amended to read as follows:
  a-1.  Notwithstanding  the  provisions of paragraph a of this subdivi-
sion, for aid payable in the school years two thousand--two thousand one
through two thousand nine--two thousand ten, and two  thousand  eleven--
two thousand twelve through two thousand [twelve] THIRTEEN--two thousand
[thirteen]  FOURTEEN,  the  commissioner  may set aside an amount not to
exceed two million five hundred thousand dollars from the  funds  appro-
priated  for  purposes  of  this  subdivision for the purpose of serving
persons twenty-one years of age or older who have not been  enrolled  in

S. 2607--D                         28                         A. 3007--D

any  school  for  the  preceding school year, including persons who have
received a high school diploma or high school  equivalency  diploma  but
fail  to  demonstrate basic educational competencies as defined in regu-
lation  by  the  commissioner,  when  measured  by accepted standardized
tests, and who shall be eligible to attend employment preparation educa-
tion programs operated pursuant to this subdivision.
  S 25-a. Subdivision 8 of section 4401 of the education law, as amended
by chapter 57 of the laws of 1993, is amended to read as follows:
  8. "School district basic contribution" shall mean an amount equal  to
the  total  school district local property and non-property tax levy for
the base year divided by the base year public school district enrollment
of resident pupils of the school district as defined in paragraph  n  of
subdivision  one  of  section  thirty-six  hundred  two of this chapter,
EXCEPT THAT FOR THE TWO THOUSAND THIRTEEN--TWO THOUSAND FOURTEEN  SCHOOL
YEAR,  FOR SCHOOL DISTRICTS OTHER THAN CENTRAL HIGH SCHOOL DISTRICTS AND
THEIR COMPONENTS, SUCH TAX LEVY FOR THE BASE YEAR SHALL  BE  DIVIDED  BY
THE YEAR PRIOR TO THE BASE YEAR PUPIL COUNT AS DETERMINED BY THE COMMIS-
SIONER  PURSUANT TO PARAGRAPH F OF SUBDIVISION TWO OF SECTION THIRTY-SIX
HUNDRED TWO OF THIS CHAPTER FOR ANY SCHOOL DISTRICT IN WHICH  SUCH  YEAR
PRIOR  TO THE BASE YEAR PUPIL COUNT EXCEEDS ONE HUNDRED FIFTY PERCENT OF
SUCH BASE YEAR PUBLIC SCHOOL DISTRICT ENROLLMENT OF RESIDENT PUPILS.
  S 26. Section 7 of chapter 472 of the laws of 1998 amending the educa-
tion law relating to the lease of school buses by school  districts,  as
amended  by  section  71 of part A of chapter 58 of the laws of 2011, is
amended to read as follows:
  S 7. This act shall take effect September 1, 1998,  and  shall  expire
and be deemed repealed September 1, [2013] 2015.
  S  27.  Subdivision b of section 2 of chapter 756 of the laws of 1992,
relating to funding a program for work force education conducted by  the
consortium  for worker education in New York city, as amended by section
13 of part A of chapter 57 of the laws of 2012, is amended  to  read  as
follows:
  b.  Reimbursement for programs approved in accordance with subdivision
a of this section [for the 2009-10 school year  shall  not  exceed  64.1
percent of the lesser of such approvable costs per contact hour or elev-
en  dollars  and  fifty  cents  per contact hour, reimbursement] for the
2010--2011 school year shall not exceed 62.6 percent of  the  lesser  of
such  approvable costs per contact hour or twelve dollars and five cents
per contact hour, reimbursement for the 2011--2012 school year shall not
exceed 62.9 percent of the lesser of such approvable costs  per  contact
hour  or  twelve  dollars  and  fifteen  cents  per  contact hour, [and]
reimbursement for the 2012--2013  school  year  shall  not  exceed  63.3
percent  of  the  lesser  of  such  approvable costs per contact hour or
twelve dollars and thirty-five cents per contact hour, AND REIMBURSEMENT
FOR THE 2013--2014 SCHOOL YEAR SHALL NOT  EXCEED  62.3  PERCENT  OF  THE
LESSER  OF  SUCH APPROVABLE COSTS PER CONTACT HOUR OR TWELVE DOLLARS AND
SIXTY-FIVE CENTS PER CONTACT HOUR, where a contact hour represents sixty
minutes of instruction services provided to an eligible adult.  Notwith-
standing any other provision of law to the contrary,  [for  the  2009-10
school  year  such  contact  hours  shall  not  exceed one million seven
hundred sixty--three thousand  nine  hundred  seven  (1,763,907)  hours;
whereas]  for  the  2010--2011  school year such contact hours shall not
exceed one million five hundred twenty-five thousand one  hundred  nine-
ty-eight  (1,525,198) hours; whereas for the 2011--2012 school year such
contact hours shall not exceed one million seven  hundred  one  thousand
five  hundred  seventy  (1,701,570)  hours;  whereas  for the 2012--2013

S. 2607--D                         29                         A. 3007--D

school year such contact hours shall not exceed one million six  hundred
sixty-four  thousand  five hundred thirty-two (1,664,532) hours; WHEREAS
FOR THE 2013--2014 SCHOOL YEAR SUCH CONTACT HOURS SHALL NOT  EXCEED  ONE
MILLION   SIX   HUNDRED  FORTY-NINE  THOUSAND  SEVEN  HUNDRED  FORTY-SIX
(1,649,746) HOURS.  Notwithstanding any other provision of  law  to  the
contrary,  the  apportionment calculated for the city school district of
the city of New York pursuant to subdivision 11 of section 3602  of  the
education law shall be computed as if such contact hours provided by the
consortium  for  worker  education,  not to exceed the contact hours set
forth herein, were eligible for aid in accordance with the provisions of
such subdivision 11 of section 3602 of the education law.
  S 28. Section 4 of chapter 756 of the laws of 1992, relating to  fund-
ing  a  program for work force education conducted by the consortium for
worker education in New York city, is amended by adding a  new  subdivi-
sion r to read as follows:
  R.  THE  PROVISIONS  OF  THIS  SUBDIVISION  SHALL  NOT APPLY AFTER THE
COMPLETION OF PAYMENTS FOR THE 2013--2014 SCHOOL  YEAR.  NOTWITHSTANDING
ANY  INCONSISTENT PROVISIONS OF LAW, THE COMMISSIONER OF EDUCATION SHALL
WITHHOLD A PORTION OF EMPLOYMENT PREPARATION EDUCATION AID  DUE  TO  THE
CITY SCHOOL DISTRICT OF THE CITY OF NEW YORK TO SUPPORT A PORTION OF THE
COSTS OF THE WORK FORCE EDUCATION PROGRAM. SUCH MONEYS SHALL BE CREDITED
TO  THE ELEMENTARY AND SECONDARY EDUCATION FUND-LOCAL ASSISTANCE ACCOUNT
AND SHALL NOT EXCEED THIRTEEN MILLION DOLLARS ($13,000,000).
  S 29. Section 6 of chapter 756 of the laws of 1992, relating to  fund-
ing  a  program for work force education conducted by the consortium for
worker education in New York city, as amended by section 15 of part A of
chapter 57 of the laws of 2012, is amended to read as follows:
  S 6. This act shall take effect July 1,  1992,  and  shall  be  deemed
repealed on June 30, [2013] 2014.
  S 30. Subdivision 1 of section 167 of chapter 169 of the laws of 1994,
relating  to certain provisions related to the 1994-95 state operations,
aid to localities, capital projects and debt service budgets, as amended
by section 17 of part A of chapter 57 of the laws of 2012, is amended to
read as follows:
  1. Sections one through seventy of this act shall be  deemed  to  have
been  in  full  force  and effect as of April 1, 1994 provided, however,
that  sections  one,  two,  twenty-four,  twenty-five  and  twenty-seven
through seventy of this act shall expire and be deemed repealed on March
31, 2000; provided, however, that section twenty of this act shall apply
only  to  hearings  commenced  prior  to September 1, 1994, and provided
further that section twenty-six of this act shall expire and  be  deemed
repealed  on  March  31,  1997;  and provided further that sections four
through fourteen, sixteen, and eighteen, nineteen and twenty-one through
twenty-one-a of this act shall expire and be deemed  repealed  on  March
31,  1997; and provided further that sections three, fifteen, seventeen,
twenty, twenty-two and twenty-three of this  act  shall  expire  and  be
deemed repealed on March 31, [2014] 2015.
  S  31. Subdivisions 22 and 24 of section 140 of chapter 82 of the laws
of 1995, amending the education law and certain other laws  relating  to
state  aid  to  school  districts and the appropriation of funds for the
support of government, as amended by section 18 of part A of chapter  57
of the laws of 2012, are amended to read as follows:
  (22)  sections  one  hundred twelve, one hundred thirteen, one hundred
fourteen, one hundred fifteen and one hundred sixteen of this act  shall
take effect on July 1, 1995; provided, however, that section one hundred

S. 2607--D                         30                         A. 3007--D

thirteen of this act shall remain in full force and effect until July 1,
[2013] 2014 at which time it shall be deemed repealed;
  (24)  sections one hundred eighteen through one hundred thirty of this
act shall be deemed to have been in full force and effect on  and  after
July 1, 1995; provided further, however, that the amendments made pursu-
ant  to  section  one hundred nineteen of this act shall be deemed to be
repealed on and after July 1, [2013] 2014;
  S 32. Section 12 of chapter 147 of the  laws  of  2001,  amending  the
education  law  relating  to conditional appointment of school district,
charter school or BOCES employees, as amended by section 20 of part A of
chapter 57 of the laws of 2012, is amended to read as follows:
  S 12. This act shall take effect on the same date as  chapter  180  of
the laws of 2000 takes effect, and shall expire July 1, [2013] 2014 when
upon such date the provisions of this act shall be deemed repealed.
  S 32-a. Subdivision 10 of section 6-p of the general municipal law, as
amended  by section 30-a of part A of chapter 57 of the laws of 2012, is
amended to read as follows:
  10. Notwithstanding any provision of law to the contrary, the  govern-
ing board of a school district may, during the [two thousand twelve--two
thousand  thirteen]  TWO THOUSAND THIRTEEN--TWO THOUSAND FOURTEEN school
year, authorize a withdrawal from this fund in an amount not  to  exceed
the  lesser  of:  (a)  the dollar value of excess funding in the fund as
determined by the comptroller pursuant to section thirty-three  of  this
chapter  or (b) the amount of the school district's remaining gap elimi-
nation adjustment as calculated by the commissioner of education  pursu-
ant  to  subdivision  seventeen of section thirty-six hundred two of the
education law. Funds withdrawn pursuant to this subdivision may only  be
used  for  the purpose of maintaining educational programming during the
[two thousand twelve--two thousand thirteen] TWO THOUSAND  THIRTEEN--TWO
THOUSAND FOURTEEN school year which otherwise would have been reduced as
a result of such gap elimination adjustment. Governing boards which make
such a withdrawal shall submit, in a form prescribed by the commissioner
of  education,  relevant  information  about the withdrawal, which shall
include but not be limited to, the amount of such withdrawal,  the  date
of withdrawal, and the use of such withdrawn funds.
  S  33.  Section  4  of  chapter  425 of the laws of 2002, amending the
education law relating to  the  provision  of  supplemental  educational
services,  attendance  at  a  safe  public  school and the suspension of
pupils who bring a firearm to or possess  a  firearm  at  a  school,  as
amended  by  section  21 of part A of chapter 57 of the laws of 2012, is
amended to read as follows:
  S 4. This act shall take effect July 1, 2002 and shall expire  and  be
deemed repealed June 30, [2013] 2014.
  S  34.  Section  5  of  chapter  101 of the laws of 2003, amending the
education law relating to implementation of the No Child Left Behind Act
of 2001, as amended by section 22 of part A of chapter 57 of the laws of
2012, is amended to read as follows:
  S 5. This act shall take effect immediately;  provided  that  sections
one,  two  and  three of this act shall expire and be deemed repealed on
June 30, [2013] 2014.
  S 35. School bus driver training. In addition to apportionments other-
wise provided by section 3602 of the education law, for aid  payable  in
the 2013--2014 school year, the commissioner of education shall allocate
school  bus  driver  training  grants  to school districts and boards of
cooperative education services pursuant to sections 3650-a,  3650-b  and
3650-c of the education law, or for contracts directly with not-for-pro-

S. 2607--D                         31                         A. 3007--D

fit  educational  organizations  for  the purposes of this section. Such
payments shall not exceed four hundred thousand dollars  ($400,000)  per
school year.
  S  36.  Support  of  public libraries. The moneys appropriated for the
support of public libraries by the chapter of the laws of 2013  enacting
the  aid  to  localities  budget shall be apportioned for the 2013--2014
state fiscal year in accordance with the  provisions  of  sections  271,
272,  273,  282,  284,  and  285  of the education law as amended by the
provisions of this chapter and the provisions of this act, provided that
library construction aid pursuant to section 273-a of the education  law
shall  not  be payable from the appropriations for the support of public
libraries and provided  further  that  no  library,  library  system  or
program, as defined by the commissioner of education, shall receive less
total  system  or  program  aid than it received for the year 2001--2002
except as a result of a reduction adjustment necessary to conform to the
appropriations for support of public libraries.
  Notwithstanding any other provision of law to the contrary the  moneys
appropriated for the support of public libraries for the year 2013--2014
by  a  chapter of the laws of 2013 enacting the aid to localities budget
shall fulfill the state's obligation to provide such aid  and,  pursuant
to a plan developed by the commissioner of education and approved by the
director of the budget, the aid payable to libraries and library systems
pursuant  to  such  appropriations  shall  be reduced proportionately to
assure that the total amount of aid payable does not  exceed  the  total
appropriations for such purpose.
  S  37.  Special apportionment for salary expenses.  a. Notwithstanding
any other provision of law, upon  application  to  the  commissioner  of
education,  not  sooner  than  the first day of the second full business
week of June, 2014 and not later than the last day  of  the  third  full
business  week  of  June, 2014, a school district eligible for an appor-
tionment pursuant to section 3602 of the education law shall be eligible
to receive an apportionment pursuant to this  section,  for  the  school
year  ending June 30, 2014, for salary expenses incurred between April 1
and June 30, 2014 and such apportionment shall not exceed the sum of (i)
the deficit reduction assessment of  1990--1991  as  determined  by  the
commissioner  of  education, pursuant to paragraph f of subdivision 1 of
section 3602 of the education law, as in effect through June  30,  1993,
plus  (ii)  186  percent  of such amount for a city school district in a
city with a population in excess of 1,000,000  inhabitants,  plus  (iii)
209  percent  of such amount for a city school district in a city with a
population of more than 195,000 inhabitants and less than 219,000 inhab-
itants according to the latest federal census, plus  (iv)  the  net  gap
elimination adjustment for 2010--2011, as determined by the commissioner
of  education  pursuant  to chapter 53 of the laws of 2010, plus (v) the
gap elimination adjustment for 2011--2012 as determined by  the  commis-
sioner  of  education  pursuant to subdivision 17 of section 3602 of the
education law, and provided further that such  apportionment  shall  not
exceed  such salary expenses. Such application shall be made by a school
district, after the board of education or trustees have adopted a resol-
ution to do so and in the case of a city school district in a city  with
a  population in excess of 125,000 inhabitants, with the approval of the
mayor of such city.
  b. The claim for an apportionment to be  paid  to  a  school  district
pursuant  to  subdivision  a  of  this section shall be submitted to the
commissioner of education on a form prescribed  for  such  purpose,  and
shall  be  payable upon determination by such commissioner that the form

S. 2607--D                         32                         A. 3007--D

has been submitted as prescribed. Such approved amounts shall be payable
on the same day in September of the school year following  the  year  in
which  application  was  made as funds provided pursuant to subparagraph
(4) of paragraph b of subdivision 4 of section 92-c of the state finance
law,  on  the  audit  and  warrant  of the state comptroller on vouchers
certified or approved by the commissioner of  education  in  the  manner
prescribed  by  law  from  moneys in the state lottery fund and from the
general fund to the extent that the amount paid  to  a  school  district
pursuant  to  this  section  exceeds the amount, if any, due such school
district pursuant to subparagraph (2) of paragraph a of subdivision 1 of
section 3609-a of the education law in the  school  year  following  the
year in which application was made.
  c.  Notwithstanding  the provisions of section 3609-a of the education
law, an amount equal to the amount paid to a school district pursuant to
subdivisions a and b of this section shall first be  deducted  from  the
following  payments  due  the  school  district  during  the school year
following the year in which application was made  pursuant  to  subpara-
graphs  (1),  (2),  (3),  (4) and (5) of paragraph a of subdivision 1 of
section 3609-a of the education law in the following order: the  lottery
apportionment  payable  pursuant  to  subparagraph (2) of such paragraph
followed by the fixed fall payments payable pursuant to subparagraph (4)
of such paragraph and then followed by the district's  payments  to  the
teachers'  retirement  system pursuant to subparagraph (1) of such para-
graph, and any remainder to be deducted from the individualized payments
due the district pursuant to paragraph b of such  subdivision  shall  be
deducted on a chronological basis starting with the earliest payment due
the district.
  S  38. Special apportionment for public pension accruals. a.  Notwith-
standing any other provision of law, upon application to the commission-
er of education, not later than June 30, 2014, a school district  eligi-
ble  for  an apportionment pursuant to section 3602 of the education law
shall be eligible to receive an apportionment pursuant to this  section,
for  the  school  year ending June 30, 2014 and such apportionment shall
not exceed the  additional  accruals  required  to  be  made  by  school
districts  in the 2004--2005 and 2005--2006 school years associated with
changes for such public pension liabilities. The amount  of  such  addi-
tional  accrual  shall  be certified to the commissioner of education by
the president of the board of education or the trustees or, in the  case
of  a  city  school  district  in  a city with a population in excess of
125,000 inhabitants, the mayor of such city. Such application  shall  be
made by a school district, after the board of education or trustees have
adopted  a resolution to do so and in the case of a city school district
in a city with a population in excess of 125,000 inhabitants,  with  the
approval of the mayor of such city.
  b.  The  claim  for  an  apportionment to be paid to a school district
pursuant to subdivision a of this section  shall  be  submitted  to  the
commissioner  of  education  on  a form prescribed for such purpose, and
shall be payable upon determination by such commissioner that  the  form
has been submitted as prescribed. Such approved amounts shall be payable
on  the  same  day in September of the school year following the year in
which application was made as funds provided  pursuant  to  subparagraph
(4) of paragraph b of subdivision 4 of section 92-c of the state finance
law,  on  the  audit  and  warrant  of the state comptroller on vouchers
certified or approved by the commissioner of  education  in  the  manner
prescribed  by  law  from  moneys in the state lottery fund and from the
general fund to the extent that the amount paid  to  a  school  district

S. 2607--D                         33                         A. 3007--D

pursuant  to  this  section  exceeds the amount, if any, due such school
district pursuant to subparagraph (2) of paragraph a of subdivision 1 of
section 3609-a of the education law in the  school  year  following  the
year in which application was made.
  c.  Notwithstanding  the provisions of section 3609-a of the education
law, an amount equal to the amount paid to a school district pursuant to
subdivisions a and b of this section shall first be  deducted  from  the
following  payments  due  the  school  district  during  the school year
following the year in which application was made  pursuant  to  subpara-
graphs  (1),  (2),  (3),  (4) and (5) of paragraph a of subdivision 1 of
section 3609-a of the education law in the following order: the  lottery
apportionment  payable  pursuant  to  subparagraph (2) of such paragraph
followed by the fixed fall payments payable pursuant to subparagraph (4)
of such paragraph and then followed by the district's  payments  to  the
teachers'  retirement  system pursuant to subparagraph (1) of such para-
graph, and any remainder to be deducted from the individualized payments
due the district pursuant to paragraph b of such  subdivision  shall  be
deducted on a chronological basis starting with the earliest payment due
the district.
  S  39.  a.  Notwithstanding  any  other law, rule or regulation to the
contrary, any moneys appropriated to the state education department  may
be  suballocated  to  other state departments or agencies, as needed, to
accomplish the intent of the specific appropriations contained therein.
  b. Notwithstanding any other law, rule or regulation to the  contrary,
moneys  appropriated  to the state education department from the general
fund/aid to localities,  local  assistance  account-001,  shall  be  for
payment  of  financial  assistance,  as scheduled, net of disallowances,
refunds, reimbursement and credits.
  c. Notwithstanding any other law, rule or regulation to the  contrary,
all  moneys  appropriated  to  the state education department for aid to
localities shall be available for payment of aid heretofore or hereafter
to accrue and may be suballocated to other departments and  agencies  to
accomplish the intent of the specific appropriations contained therein.
  d.  Notwithstanding any other law, rule or regulation to the contrary,
moneys appropriated  to  the  state  education  department  for  general
support  for  public  schools may be interchanged with any other item of
appropriation for general support for public schools within the  general
fund  local  assistance  account office of prekindergarten through grade
twelve education programs.
  S 40. Notwithstanding the provision of any law, rule, or regulation to
the contrary, the city school district of the city  of  Rochester,  upon
the  consent  of  the  board  of cooperative educational services of the
supervisory district serving its geographic  region  may  purchase  from
such  board  for  the  2013--2014 school year, as a non-component school
district, services required by article 19 of the education law.
  S 41. The amounts specified in this section shall be a  setaside  from
the  state  funds  which  each such district is receiving from the total
foundation aid:
  a. for the purpose of the development,  maintenance  or  expansion  of
magnet schools or magnet school programs for the 2013--2014 school year.
To  the city school district of the city of New York there shall be paid
forty-eight  million   one   hundred   seventy-five   thousand   dollars
($48,175,000) including five hundred thousand dollars ($500,000) for the
Andrew  Jackson  High School; to the Buffalo city school district, twen-
ty-one  million  twenty-five  thousand  dollars  ($21,025,000);  to  the
Rochester  city  school district, fifteen million dollars ($15,000,000);

S. 2607--D                         34                         A. 3007--D

to  the  Syracuse  city  school  district,  thirteen   million   dollars
($13,000,000);  to  the Yonkers city school district, forty-nine million
five hundred thousand dollars ($49,500,000); to the Newburgh city school
district,   four   million   six  hundred  forty-five  thousand  dollars
($4,645,000); to the Poughkeepsie city school district, two million four
hundred seventy-five thousand dollars ($2,475,000); to the Mount  Vernon
city  school  district,  two  million  dollars  ($2,000,000); to the New
Rochelle city school district, one million  four  hundred  ten  thousand
dollars  ($1,410,000);  to  the  Schenectady  city  school district, one
million eight hundred thousand dollars ($1,800,000); to the Port Chester
city school district, one million one  hundred  fifty  thousand  dollars
($1,150,000);  to  the  White  Plains city school district, nine hundred
thousand dollars ($900,000); to the Niagara Falls city school  district,
six  hundred  thousand  dollars  ($600,000);  to  the Albany city school
district,  three   million   five   hundred   fifty   thousand   dollars
($3,550,000);  to  the  Utica  city school district, two million dollars
($2,000,000); to the Beacon city school district, five hundred sixty-six
thousand dollars ($566,000); to the  Middletown  city  school  district,
four  hundred  thousand  dollars  ($400,000); to the Freeport union free
school district, four hundred thousand dollars ($400,000); to the Green-
burgh  central  school  district,   three   hundred   thousand   dollars
($300,000);  to  the Amsterdam city school district, eight hundred thou-
sand dollars ($800,000); to the  Peekskill  city  school  district,  two
hundred  thousand  dollars  ($200,000);  and  to  the Hudson city school
district, four hundred thousand dollars ($400,000).
  b. notwithstanding the provisions of subdivision a of this section,  a
school  district receiving a grant pursuant to this section may use such
grant funds for: (i) any instructional or  instructional  support  costs
associated  with  the operation of a magnet school; or (ii) any instruc-
tional or instructional support costs associated with implementation  of
an alternative approach to reduction of racial isolation and/or enhance-
ment of the instructional program and raising of standards in elementary
and  secondary  schools  of  school districts having substantial concen-
trations of minority students. The commissioner of education  shall  not
be authorized to withhold magnet grant funds from a school district that
used  such  funds in accordance with this paragraph, notwithstanding any
inconsistency with a request for proposals issued by such commissioner.
  c. for the purpose of attendance improvement  and  dropout  prevention
for  the  2013--2014 school year, for any city school district in a city
having a population of more than one million, the setaside  for  attend-
ance improvement and dropout prevention shall equal the amount set aside
in the base year. For the 2013--2014 school year, it is further provided
that any city school district in a city having a population of more than
one  million shall allocate at least one-third of any increase from base
year levels in funds set aside pursuant  to  the  requirements  of  this
subdivision  to  community-based  organizations.  Any  increase required
pursuant to this subdivision to community-based organizations must be in
addition to allocations provided to community-based organizations in the
base year.
  d. for the purpose of teacher support for the 2013--2014 school  year:
to  the  city school district of the city of New York, sixty-two million
seven hundred seven thousand dollars ($62,707,000); to the Buffalo  city
school  district,  one  million seven hundred forty-one thousand dollars
($1,741,000); to the Rochester city school district, one million  seven-
ty-six  thousand  dollars  ($1,076,000);  to  the  Yonkers  city  school
district,  one  million  one  hundred   forty-seven   thousand   dollars

S. 2607--D                         35                         A. 3007--D

($1,147,000);  and  to  the Syracuse city school district, eight hundred
nine thousand dollars ($809,000). All funds made available to  a  school
district  pursuant to this subdivision shall be distributed among teach-
ers  including prekindergarten teachers and teachers of adult vocational
and academic subjects in accordance with this subdivision and  shall  be
in  addition  to  salaries  heretofore  or  hereafter negotiated or made
available; provided, however, that all  funds  distributed  pursuant  to
this  section  for  the  current year shall be deemed to incorporate all
funds distributed pursuant to former subdivision 27 of section  3602  of
the  education law for prior years. In school districts where the teach-
ers are represented by certified or recognized  employee  organizations,
all salary increases funded pursuant to this section shall be determined
by separate collective negotiations conducted pursuant to the provisions
and  procedures  of article 14 of the civil service law, notwithstanding
the existence of a negotiated agreement between a school district and  a
certified or recognized employee organization.
  S 42. Severability. The provisions of this act shall be severable, and
if  the  application  of  any  clause, sentence, paragraph, subdivision,
section or part of this act to  any  person  or  circumstance  shall  be
adjudged  by  any  court  of  competent jurisdiction to be invalid, such
judgment shall not necessarily affect, impair or invalidate the applica-
tion of any such clause, sentence, paragraph, subdivision, section, part
of this act or remainder thereof, as the  case  may  be,  to  any  other
person  or  circumstance,  but shall be confined in its operation to the
clause,  sentence,  paragraph,  subdivision,  section  or  part  thereof
directly  involved  in the controversy in which such judgment shall have
been rendered.
  S 43. This act shall take effect immediately, and shall be  deemed  to
have been in full force and effect on and after April 1, 2013, provided,
however, that:
  1. Section five of this act shall take effect immediately and shall be
deemed  to have been in full force and effect on and after July 1, 2010;
provided, further, that the amendments to subdivision 1 of section  2856
of  the  education law made by section five of this act shall be subject
to the expiration and reversion of such subdivision pursuant to  section
27  of  chapter 378 of the laws of 2007, as amended, when upon such date
the provisions of section six of this act shall take effect;
  2. Section seven-a of this act shall expire and be deemed repealed May
1, 2014; provided that the expiration and repeal of such  section  shall
not  affect  the  duration of any annual professional performance review
plan implemented on or before the expiration and repeal of such  section
or  the  ability of school districts and collective bargaining represen-
tatives representing classroom teachers and building principals to enter
into a new or amended agreement pursuant to section 3012-c of the educa-
tion law;
  3. Section nine of this act shall take effect July 1, 2014;
  4. Sections one, eight-a, eleven, twelve, fourteen, fifteen, nineteen,
twenty-one, twenty-three, twenty-five, twenty-seven, twenty-eight, thir-
ty-two-a, thirty-five and forty-one of this act shall take  effect  July
1, 2013;
  5.    The  amendments  to  section 2590-h of the education law made by
section twenty-a of this act shall not affect  the  expiration  of  such
section and shall be deemed to expire therewith;
  6.  The  amendments  to subdivision 6 of section 4402 of the education
law made by section twenty-one of this act shall not affect  the  repeal
of such subdivision and shall be deemed repealed therewith;

S. 2607--D                         36                         A. 3007--D

  7.  The  amendments  to  chapter  756 of the laws of 1992, relating to
funding a program for work force education conducted by a consortium for
worker education in New York city, made  by  sections  twenty-seven  and
twenty-eight of this act shall not affect the repeal of such chapter and
shall be deemed repealed therewith;
  8. Section thirty-nine of this act shall expire and be deemed repealed
June 30, 2014; and
  9.  Section  eighteen of this act shall be deemed to have been in full
force and effect on and after July 1, 2012.

                                 PART B

  Section 1. Section 350 of the education law is amended by adding  four
new subdivisions 10, 11, 12 and 13 to read as follows:
  10.  "DORMITORY  FACILITIES  REVENUE  FUND" MEANS THE FUND ESTABLISHED
PURSUANT TO SECTION SIXTEEN HUNDRED EIGHTY-Q OF THE  PUBLIC  AUTHORITIES
LAW.
  11. "DORMITORY FACILITIES REVENUES" MEANS ALL MONEYS, INCLUDING RENTS,
FEES AND CHARGES, DERIVED FROM THE USE OR OCCUPANCY OF DORMITORY FACILI-
TIES.
  12. "DORMITORY FACILITY" MEANS A DORMITORY, AS SUCH TERM IS DEFINED IN
PARAGRAPH  (A) OF SUBDIVISION TWO OF SECTION SIXTEEN HUNDRED SEVENTY-SIX
OF THE PUBLIC AUTHORITIES LAW.
  13. "DORMITORY FACILITY REVENUE BOND" MEANS ANY NOTE OR  BOND  OF  THE
DORMITORY  AUTHORITY  (I) ISSUED ON OR AFTER THE FIRST DAY OF APRIL, TWO
THOUSAND THIRTEEN FOR THE PURPOSES OF FINANCING DORMITORY FACILITIES  OR
REFINANCING NOTES OR BONDS PREVIOUSLY ISSUED IN CONNECTION WITH DORMITO-
RY  FACILITIES, INCLUDING NOTES OR BONDS ISSUED TO PAY COSTS INCURRED IN
CONNECTION WITH THE ISSUANCE OF SUCH NOTES OR BONDS, TO FUND ANY RESERVE
FOR THE PAYMENT OF DEBT SERVICE ON SUCH BONDS  OR  NOTES,  TO  FUND  ANY
RESERVE  ESTABLISHED  FOR  THE IMPROVEMENT, REPAIR, MAINTENANCE OR OPER-
ATIONS OF DORMITORY FACILITIES, OR TO PAY OR PROVIDE FOR THE PAYMENT  OF
ANY  NOTE  OR  BOND  PREVIOUSLY ISSUED FOR ANY SUCH PURPOSE, AND (II) IS
PAYABLE FROM MONEYS ON DEPOSIT IN THE DORMITORY FACILITIES REVENUE  FUND
AND IS NOT PAYABLE FROM ANY REVENUE OF THE STATE.
  S  2.  Subdivision 2 of section 355 of the education law is amended by
adding a new paragraph y to read as follows:
  Y. TO BETTER SECURE DORMITORY AUTHORITY  BONDS  ISSUED  IN  CONNECTION
WITH  DORMITORY  FACILITIES, INCLUDING DORMITORY FACILITY REVENUE BONDS,
THE STATE UNIVERSITY OF NEW YORK IS HEREBY AUTHORIZED, IN ITS OWN  NAME,
TO ASSIGN OR OTHERWISE TRANSFER TO THE DORMITORY AUTHORITY ANY OR ALL OF
THE STATE UNIVERSITY'S RIGHTS, TITLE AND INTEREST IN AND TO THE DORMITO-
RY  FACILITY  REVENUES,  AND TO ENTER INTO AGREEMENTS WITH THE DORMITORY
AUTHORITY PURSUANT TO SUBDIVISION TWO OF SECTION SIXTEEN HUNDRED  EIGHT-
Y-Q  OF  THE PUBLIC AUTHORITIES LAW IN FURTHERANCE OF SUCH ASSIGNMENT OR
TRANSFER. ANY ASSIGNMENT OR TRANSFER MADE  PURSUANT  TO  THIS  PARAGRAPH
SHALL  CONSTITUTE  A  TRUE  SALE  AND ABSOLUTE TRANSFER OF THE DORMITORY
FACILITIES REVENUES. THE CHARACTERIZATION OF SUCH ASSIGNMENT OR TRANSFER
SHALL NOT BE NEGATED OR ADVERSELY AFFECTED BY THE RETENTION BY THE STATE
UNIVERSITY OF NEW YORK OF ANY OWNERSHIP INTEREST IN THE DORMITORY FACIL-
ITIES REVENUES OR OF ANY RESIDUAL RIGHT  TO  PAYMENT  OF  ANY  DORMITORY
FACILITY  REVENUES  REMAINING  IN  THE DORMITORY FACILITIES REVENUE FUND
AFTER THE MONEYS THEREIN HAVE BEEN APPLIED IN ACCORDANCE WITH  PARAGRAPH
(B)  OF  SUBDIVISION  THREE  OF  SECTION SIXTEEN HUNDRED EIGHTY-Q OF THE
PUBLIC AUTHORITIES LAW. ALL RIGHTS, TITLE AND INTEREST  IN  AND  TO  ANY
MONEYS  PAID  TO  OR  UPON THE ORDER OF THE STATE UNIVERSITY OF NEW YORK

S. 2607--D                         37                         A. 3007--D

PURSUANT TO ANY AGREEMENT BY AND BETWEEN THE DORMITORY AUTHORITY AND THE
STATE UNIVERSITY OF NEW YORK ENTERED INTO PURSUANT TO SUBDIVISION TWO OF
SECTION SIXTEEN HUNDRED EIGHTY-Q OF THE PUBLIC AUTHORITIES LAW OR PURSU-
ANT TO ANY AGREEMENT ENTERED INTO PURSUANT TO PARAGRAPH J OF SUBDIVISION
TWO  OF  SECTION  SIXTEEN  HUNDRED  EIGHTY OF THE PUBLIC AUTHORITIES LAW
SHALL VEST IN THE STATE UNIVERSITY OF NEW YORK AND BE THE ABSOLUTE PROP-
ERTY OF THE STATE UNIVERSITY OF NEW YORK, AND  THE  DORMITORY  AUTHORITY
SHALL NO LONGER HAVE ANY INTEREST IN SUCH MONEYS.
  S  3. Subdivision 8 of section 355 of the education law, as amended by
chapter 553 of the laws of 1985, is amended to read as follows:
  8. [All] EXCEPT AS OTHERWISE PROVIDED HEREIN, ALL moneys  received  by
the  state  university  of  New  York and by state-operated institutions
thereof from appropriations,  tuition,  fees,  user  charges,  sales  of
products  and services and from all other sources, including sources and
activities of the state university which are intended by law to be self-
supporting may be credited to an appropriate fund or funds to be  desig-
nated  by  the  state comptroller. The amounts so paid into such fund or
funds which were received by or for the state university shall  be  used
for  expenses of the state university in carrying out any of its objects
and purposes and such amounts received by or for  state-operated  insti-
tutions  of the state university shall be used for expenses of the state
university under regulations prescribed by the  state  university  trus-
tees.  NOTWITHSTANDING THE FOREGOING PROVISIONS OF THIS SUBDIVISION, ALL
DORMITORY  FACILITIES REVENUES TRANSFERRED TO THE DORMITORY AUTHORITY BY
ASSIGNMENT OR OTHERWISE PURSUANT TO PARAGRAPH Y OF  SUBDIVISION  TWO  OF
THIS  SECTION SHALL UPON RECEIPT BY THE STATE UNIVERSITY ACTING AS AGENT
FOR THE DORMITORY AUTHORITY BE TRANSFERRED AND IMMEDIATELY PAID  WITHOUT
APPROPRIATION THEREOF TO THE COMMISSIONER OF TAXATION AND FINANCE PURSU-
ANT  TO  SUBDIVISION  FOUR  OF SECTION FOUR OF THE STATE FINANCE LAW FOR
DEPOSIT TO THE DORMITORY FACILITIES REVENUE FUND.
  S 4. The public authorities law is amended by  adding  a  new  section
1680-q to read as follows:
  S  1680-Q.  STATE  UNIVERSITY OF NEW YORK DORMITORY FACILITIES.  1. AS
USED IN OR REFERRED TO IN  THIS  SECTION,  UNLESS  A  DIFFERENT  MEANING
APPEARS  FROM  THE CONTEXT, THE FOLLOWING TERMS SHALL HAVE THE FOLLOWING
RESPECTIVE MEANINGS:
  (A) "AGREEMENT" MEANS AN AGREEMENT BY AND BETWEEN  THE  AUTHORITY  AND
THE STATE UNIVERSITY ENTERED INTO PURSUANT TO THIS SECTION.
  (B)  "DORMITORY  FACILITIES  REVENUE  FUND" MEANS THE FUND ESTABLISHED
PURSUANT TO SUBDIVISION THREE OF THIS SECTION.
  (C) "DORMITORY FACILITIES REVENUES" MEANS ALL MONEYS, INCLUDING RENTS,
FEES AND CHARGES, DERIVED FROM THE USE OR OCCUPANCY OF DORMITORY FACILI-
TIES.
  (D) "DORMITORY FACILITY" MEANS A DORMITORY, AS SUCH TERM IS DEFINED IN
PARAGRAPH (A) OF SUBDIVISION TWO OF SECTION SIXTEEN HUNDRED  SEVENTY-SIX
OF THIS TITLE.
  (E)  "DORMITORY  FACILITY  REVENUE BOND" MEANS ANY NOTE OR BOND OF THE
AUTHORITY (I) ISSUED ON OR AFTER THE FIRST DAY OF  APRIL,  TWO  THOUSAND
THIRTEEN FOR THE PURPOSES OF FINANCING DORMITORY FACILITIES OR REFINANC-
ING NOTES OR BONDS ISSUED PREVIOUSLY IN CONNECTION WITH DORMITORY FACIL-
ITIES,  INCLUDING  NOTES  OR  BONDS  ISSUED  TO  PAY  COSTS  INCURRED IN
CONNECTION WITH THE ISSUANCE OF SUCH NOTES OR BONDS, TO FUND ANY RESERVE
FOR THE PAYMENT OF DEBT SERVICE ON  SUCH  BONDS,  TO  FUND  ANY  RESERVE
ESTABLISHED  FOR  THE  IMPROVEMENT, REPAIR, MAINTENANCE OR OPERATIONS OF
DORMITORY FACILITIES, OR TO PAY OR PROVIDE FOR THE PAYMENT OF  ANY  NOTE
OR BOND PREVIOUSLY ISSUED FOR ANY SUCH PURPOSE, AND (II) IS PAYABLE FROM

S. 2607--D                         38                         A. 3007--D

MONEYS  ON  DEPOSIT  IN THE DORMITORY FACILITIES REVENUE FUND AND IS NOT
PAYABLE FROM ANY REVENUE OF THE STATE.
  (F)  "PRIOR  DORMITORY  FACILITY  BOND"  MEANS ANY NOTE OR BOND OF THE
AUTHORITY  ISSUED  PRIOR  TO  APRIL  FIRST,  TWO  THOUSAND  THIRTEEN  IN
CONNECTION WITH DORMITORY FACILITIES.
  (G)  "STATE  UNIVERSITY"  MEANS  THE  STATE  UNIVERSITY OF NEW YORK, A
CORPORATION WITHIN THE STATE EDUCATION DEPARTMENT AND WITHIN THE UNIVER-
SITY OF THE STATE OF NEW YORK CREATED BY SECTION THREE HUNDRED FIFTY-TWO
OF THE EDUCATION LAW.
  2. THE AUTHORITY MAY, FROM AND AFTER APRIL FIRST, TWO  THOUSAND  THIR-
TEEN,  ISSUE DORMITORY FACILITY REVENUE BONDS IN AN AMOUNT NOT TO EXCEED
NINE HUNDRED FORTY-FOUR MILLION DOLLARS.  NOTWITHSTANDING ANY OTHER RULE
OR LAW, SUCH BONDS SHALL NOT BE A DEBT OF THE STATE OF NEW YORK  OR  THE
STATE  UNIVERSITY  NOR SHALL THE STATE OR THE STATE UNIVERSITY BE LIABLE
THEREON, NOR SHALL THEY BE PAYABLE OUT OF ANY FUNDS OTHER THAN THOSE  OF
THE  AUTHORITY  CONSTITUTING DORMITORY FACILITIES REVENUES.  SUCH AMOUNT
SHALL BE EXCLUSIVE OF BONDS AND NOTES ISSUED TO FUND ANY RESERVE FUND OR
FUNDS, COST OF ISSUANCE, ORIGINAL ISSUE PREMIUM, AND TO REFUND ANY PRIOR
DORMITORY FACILITY BONDS OR ANY DORMITORY FACILITY  REVENUE  BONDS.  THE
AUTHORITY  AND  THE STATE UNIVERSITY ARE HEREBY AUTHORIZED TO ENTER INTO
AGREEMENTS RELATING TO, AMONG OTHER THINGS, THE ACQUISITION OF  PROPERTY
OR  INTERESTS THEREIN, THE CONSTRUCTION, RECONSTRUCTION, REHABILITATION,
IMPROVEMENT, EQUIPPING AND FURNISHING OF DORMITORY FACILITIES, THE OPER-
ATION  AND  MAINTENANCE  OF  DORMITORY  FACILITIES,  AND  THE   BILLING,
COLLECTION  AND DISBURSEMENT OF DORMITORY FACILITIES REVENUES, THE TITLE
TO WHICH HAS BEEN CONVEYED, ASSIGNED OR  OTHERWISE  TRANSFERRED  TO  THE
AUTHORITY  PURSUANT  TO  PARAGRAPH Y OF SUBDIVISION TWO OF SECTION THREE
HUNDRED FIFTY-FIVE OF THE EDUCATION LAW.  IN NO EVENT  SHALL  THE  STATE
UNIVERSITY  HAVE ANY OBLIGATION UNDER THE AGREEMENT TO MAKE PAYMENT WITH
RESPECT TO, ON ACCOUNT OF OR TO PAY DORMITORY FACILITIES REVENUE  BONDS,
AND  SUCH  BONDS  SHALL  BE PAYABLE SOLELY FROM THE DORMITORY FACILITIES
REVENUES ASSIGNED TO THE AUTHORITY BY THE STATE  UNIVERSITY.    NO  DEBT
SHALL  BE  CONTRACTED  EXCEPT  TO  FINANCE  CAPITAL  WORKS  OR PURPOSES.
NOTWITHSTANDING ANY OTHER PROVISION OF LAW, DORMITORY FACILITY  REVENUES
SHALL  NOT  BE  DEEMED TO BE REVENUES OF THE STATE.  NOTWITHSTANDING ANY
OTHER RULE OR LAW, THE STATE SHALL NOT BE LIABLE FOR ANY PAYMENTS ON ANY
DORMITORY FACILITY REVENUE BONDS, AND SUCH BONDS SHALL NOT BE A DEBT  OF
THE  STATE  AND  SHALL  NOT  BE  PAYABLE OUT OF ANY FUNDS OTHER THAN THE
DORMITORY FACILITIES REVENUES ASSIGNED TO THE  AUTHORITY  BY  THE  STATE
UNIVERSITY.
  3.  (A) THERE IS HEREBY ESTABLISHED IN THE CUSTODY OF THE COMMISSIONER
OF TAXATION AND FINANCE A SPECIAL FUND TO  BE  KNOWN  AS  THE  DORMITORY
FACILITIES REVENUE FUND. SUCH FUND SHALL CONSIST OF ALL DORMITORY FACIL-
ITIES  REVENUES  CONVEYED,  ASSIGNED  OR  OTHERWISE  TRANSFERRED  TO THE
AUTHORITY PURSUANT TO PARAGRAPH Y OF SUBDIVISION TWO  OF  SECTION  THREE
HUNDRED  FIFTY-FIVE  OF  THE  EDUCATION  LAW,  WHICH UPON RECEIPT BY THE
COMMISSIONER OF TAXATION AND FINANCE SHALL BE DEPOSITED IN SUCH FUND AND
HELD BY THE COMMISSIONER OF TAXATION AND FINANCE PURSUANT TO SUBDIVISION
FOUR OF SECTION FOUR OF THE STATE FINANCE LAW. THE MONEYS  IN  THE  FUND
SHALL  BE  THE  SOLE AND EXCLUSIVE PROPERTY OF THE AUTHORITY. THE MONEYS
HELD IN THE FUND SHALL BE HELD SEPARATE AND APART FROM AND  NOT  COMMIN-
GLED  WITH ANY MONEYS OF THE STATE OR ANY OTHER MONEYS IN THE CUSTODY OF
THE COMMISSIONER OF TAXATION AND FINANCE.  ALL DEPOSITS OF MONEYS SHALL,
IF REQUIRED BY THE COMMISSIONER OF TAXATION AND FINANCE, BE  SECURED  BY
OBLIGATIONS  OF  THE  UNITED  STATES OF AMERICA OR OF THE STATE HAVING A
MARKET VALUE EQUAL AT ALL TIMES TO THE AMOUNT OF SUCH DEPOSITS  AND  ALL

S. 2607--D                         39                         A. 3007--D

BANKS  AND  TRUST  COMPANIES  ARE  AUTHORIZED  TO GIVE SECURITY FOR SUCH
DEPOSITS. ANY MONEYS IN SUCH FUND MAY, IN THE DISCRETION OF THE  COMMIS-
SIONER  OF TAXATION AND FINANCE, BE INVESTED IN OBLIGATIONS DESCRIBED IN
SECTION NINETY-EIGHT OF THE STATE FINANCE LAW. THE COMMISSIONER OF TAXA-
TION AND FINANCE SHALL CERTIFY TO THE AUTHORITY AND THE STATE UNIVERSITY
NOT  LATER  THAN THE FIFTEENTH DAY OF EACH MONTH THE AMOUNT OF DORMITORY
FACILITIES REVENUES DEPOSITED IN THE FUND DURING THE PRECEDING  CALENDAR
MONTH AND THE AMOUNT HELD IN THE FUND AS OF THE LAST DAY OF SUCH PRECED-
ING CALENDAR MONTH.
  (B)  DURING EACH TWELVE MONTH PERIOD COMMENCING JULY FIRST OF A CALEN-
DAR YEAR AND ENDING ON JUNE THIRTIETH OF THE SUCCEEDING  CALENDAR  YEAR,
THE  COMMISSIONER  OF  TAXATION AND FINANCE SHALL PAY, WITHOUT APPROPRI-
ATION, TO OR UPON THE ORDER OF THE AUTHORITY FROM THE MONEYS IN THE FUND
THE AMOUNT CERTIFIED TO THE COMMISSIONER OF TAXATION AND FINANCE BY  THE
AUTHORITY  PURSUANT  TO  PARAGRAPH  (C)  OF THIS SUBDIVISION. ANY MONEYS
REMAINING IN THE FUND AFTER PAYMENT TO THE AUTHORITY OF  THE  AMOUNT  SO
CERTIFIED  SHALL  BE PAID BY THE COMMISSIONER OF TAXATION AND FINANCE IN
ACCORDANCE WITH THE AGREEMENT. ALL RIGHTS, TITLE AND INTEREST IN AND  TO
ANY MONEYS PAID TO OR UPON THE ORDER OF THE STATE UNIVERSITY PURSUANT TO
THE  AGREEMENT  SHALL  VEST  IN THE STATE UNIVERSITY AND BE THE ABSOLUTE
PROPERTY OF THE STATE UNIVERSITY, AND THE AUTHORITY SHALL NO LONGER HAVE
ANY INTEREST IN SUCH MONEYS.
  (C) THE AUTHORITY SHALL, NOT LATER THAN BY THE FIRST DAY  OF  JUNE  OF
EACH  CALENDAR YEAR, CERTIFY TO THE COMMISSIONER OF TAXATION AND FINANCE
AND TO THE STATE UNIVERSITY: (I) THE AMOUNT OF  THE  RENTALS,  INCLUDING
THE  AMOUNTS  REQUIRED  FOR PAYMENT OF THE PRINCIPAL OF, AND INTEREST ON
PRIOR DORMITORY FACILITY BONDS REQUIRED TO BE MADE BY THE STATE  UNIVER-
SITY  TO  THE AUTHORITY DURING THE TWELVE MONTH PERIOD COMMENCING ON THE
SUCCEEDING JULY FIRST AND ENDING ON THE SUCCEEDING JUNE THIRTIETH PURSU-
ANT TO THE AGREEMENT BETWEEN THE AUTHORITY  AND  THE  STATE  UNIVERSITY,
DATED   AS   OF   THE  TWENTIETH  DAY  OF  SEPTEMBER,  NINETEEN  HUNDRED
NINETY-FIVE, AS AMENDED AND RESTATED; (II) THE AMOUNT REQUIRED TO  MAIN-
TAIN ANY RESERVES FOR THE REPAIR AND REPLACEMENT OF DORMITORY FACILITIES
OR  THE OPERATIONS AND MAINTENANCE OF DORMITORY FACILITIES IN CONNECTION
WITH THE PRIOR DORMITORY FACILITY BONDS; (III) THE AMOUNT  REQUIRED  FOR
PAYMENT OF THE PRINCIPAL OF, WHETHER AT MATURITY OR DUE THROUGH MANDATO-
RY  REDEMPTION, AND INTEREST ON DORMITORY FACILITY REVENUE BONDS PAYABLE
ON JANUARY FIRST OF SUCH TWELVE MONTH PERIOD  AND  ON  JULY  FIRST  NEXT
SUCCEEDING  SUCH  TWELVE MONTH PERIOD; (IV) THE AMOUNT REQUIRED TO MAIN-
TAIN ANY RESERVES FOR THE REPAIR AND REPLACEMENT OF DORMITORY FACILITIES
OR THE OPERATIONS AND MAINTENANCE OF DORMITORY FACILITIES IN  CONNECTION
WITH  THE  DORMITORY  FACILITY REVENUE BONDS; (V) THE AMOUNT REQUIRED TO
RESTORE ANY RESERVE FOR THE PAYMENT OF DEBT SERVICE ON DORMITORY FACILI-
TY REVENUE BONDS TO ITS REQUIREMENT; AND (VI) THE  COSTS,  EXPENSES  AND
OVERHEAD  OF  THE  DORMITORY AUTHORITY TO BE INCURRED DURING SUCH TWELVE
MONTH PERIOD IN CONNECTION WITH  AND  REASONABLY  RELATED  TO  DORMITORY
FACILITIES  FINANCED  THROUGH THE ISSUANCE OF DORMITORY FACILITY REVENUE
BONDS. EACH SUCH AMOUNT SHALL BE SEPARATELY  STATED  AND  IDENTIFIED  IN
SUCH  CERTIFICATE.  ANY  SUCH  CERTIFICATE  SUBMITTED  BY  THE DORMITORY
AUTHORITY MAY BE AMENDED BY THE DORMITORY AUTHORITY FROM TIME TO TIME AS
NECESSARY TO ADJUST THE AMOUNTS SET FORTH THEREIN. THE  MONEYS  PAID  TO
THE  AUTHORITY  PURSUANT  TO  PARAGRAPH (B) OF THIS SUBDIVISION SHALL BE
APPLIED BY THE AUTHORITY IN THE ORDER OF PRIORITY IN WHICH  THE  AMOUNTS
SET FORTH IN SUCH CERTIFICATION ARE STATED IN THIS PARAGRAPH.
   4.  (A)  THE  DORMITORY  AUTHORITY,  IN  CONSULTATION  WITH THE STATE
UNIVERSITY OF NEW YORK, SHALL PREPARE AN ANNUAL REPORT DUE ON  SEPTEMBER

S. 2607--D                         40                         A. 3007--D

THIRTIETH,  COMMENCING ON SEPTEMBER THIRTIETH, TWO THOUSAND FOURTEEN, OF
EVERY CALENDAR YEAR RELATING TO THE PROVISIONS OF PARAGRAPH Y OF  SUBDI-
VISION  TWO  OF SECTION THREE HUNDRED FIFTY-FIVE OF THE EDUCATION LAW AS
ADDED BY A CHAPTER OF THE LAWS OF TWO THOUSAND THIRTEEN WHICH ADDED THIS
SECTION;  SUBDIVISION  EIGHT  OF SECTION THREE HUNDRED FIFTY-FIVE OF THE
EDUCATION LAW AS AMENDED BY A CHAPTER OF THE LAWS OF TWO THOUSAND  THIR-
TEEN  WHICH  ADDED  THIS  SECTION;  AND  THIS  SECTION. THE REPORT SHALL
INCLUDE, BUT NOT BE LIMITED  TO:  (I)  THE  TOTAL  DORMITORY  FACILITIES
REVENUES  ASSIGNED OR OTHERWISE TRANSFERRED FROM THE STATE UNIVERSITY OF
NEW YORK TO THE DORMITORY AUTHORITY IN THE PRIOR STATE UNIVERSITY FISCAL
YEAR AND THE SUM OF SUCH TRANSFERS MADE IN THE FIVE PRIOR FISCAL  YEARS;
(II)  THE  SUM OF MONIES, IF ANY, TRANSFERRED TO THE STATE UNIVERSITY OF
NEW YORK FROM THE DORMITORY FACILITIES REVENUE FUND IN THE  PRIOR  STATE
UNIVERSITY  FISCAL YEAR; (III) A LIST OF ANY INCREASE IN RENTS, FEES AND
OTHER  CHARGES  THAT  RELATE  TO  DORMITORY  FACILITIES  PER  CAMPUS  TO
STUDENTS;  (IV) A SUMMARY OF ALL COSTS ASSOCIATED WITH THE CONSTRUCTION,
RECONSTRUCTION,  REHABILITATION,  IMPROVEMENT,  EQUIPPING,   FURNISHING,
REPAIR,  MAINTENANCE  AND  OPERATIONS  OF  DORMITORY FACILITIES THAT THE
DORMITORY AUTHORITY FUNDED WITH DORMITORY FACILITIES  REVENUES  AND  THE
PROCEEDS  OF  DORMITORY FACILITY REVENUE BONDS; (V) A SUMMARY AND JUSTI-
FICATION  OF  DORMITORY  AUTHORITY  ADMINISTRATIVE  EXPENSES  AND  COSTS
INCURRED  RELATED  TO  THE  DORMITORY  FACILITIES REVENUE FUND; (VI) THE
ISSUANCE AMOUNTS, DEBT SERVICE COSTS AND SAVINGS, IF ANY, OF  ALL  STATE
UNIVERSITY  OF NEW YORK DORMITORY BONDS ISSUED PRIOR TO APRIL FIRST, TWO
THOUSAND THIRTEEN AND REFINANCED BY THE DORMITORY AUTHORITY WITH  DORMI-
TORY FACILITY REVENUE BONDS; (VII) TOTAL AMOUNT OF DEBT SERVICE PAYMENTS
MADE  PER  YEAR ON DORMITORY FACILITY REVENUE BONDS; AND (VIII) AN ESTI-
MATED DATE WHEN THE DORMITORY AUTHORITY  WILL  REACH  THE  NINE  HUNDRED
FORTY-FOUR MILLION DOLLAR CAP ON DORMITORY FACILITY REVENUE BONDS.
  (B)  THE  REPORT  AUTHORIZED BY THIS SECTION SHALL BE SUBMITTED TO THE
GOVERNOR, THE DIRECTOR OF THE BUDGET, THE SPEAKER OF THE  ASSEMBLY,  THE
TEMPORARY  PRESIDENT  OF  THE  SENATE, CHAIRS OF THE SENATE AND ASSEMBLY
HIGHER EDUCATION COMMITTEES, THE CHAIR OF THE SENATE  FINANCE  COMMITTEE
AND THE CHAIR OF THE ASSEMBLY WAYS AND MEANS COMMITTEE.
  S  5.  For  the purposes of paragraphs (b) and (c) of subdivision 3 of
section 1680-q of the public authorities law, as added by  section  four
of this act, the dormitory authority shall, within thirty days after the
date  on  which this act shall become effective, make and deliver to the
commissioner of taxation and finance and the  state  university  of  New
York  a  certification  in the form and substance required by such para-
graph (c) with respect to amounts required for the items specified ther-
ein during the period from the effective date of this act to and includ-
ing the thirtieth day of June, 2013,  and,  if  this  act  shall  become
effective after the first day of June, 2013, for the twelve month period
commencing  the  first day of July, 2013, to and including the thirtieth
day of June, 2014. No money shall be paid by the commissioner  of  taxa-
tion  and  finance  out  of  the  dormitory facility revenue fund except
unless and until such commissioner has  received  the  certification  or
certifications required by this section.
  S 6. This act shall take effect immediately.

                                 PART C

  Section  1.  Paragraph  (a) of subdivision 1 of section 1 of part U of
chapter 57 of the laws of 2005 amending the labor  law  and  other  laws
implementing  the state fiscal plan for the 2005-2006 state fiscal year,

S. 2607--D                         41                         A. 3007--D

relating to the New York state higher education capital  matching  grant
program  for  independent colleges, as amended by section 1 of part H of
chapter 57 of the laws of 2012, is amended to read as follows:
  (a)  The  New York state higher education capital matching grant board
is hereby created to have and exercise the powers, duties  and  preroga-
tives provided by the provisions of this section and any other provision
of law. The board shall remain in existence during the period of the New
York  state  higher  education  capital  matching grant program from the
effective date of this section through March 31,  [2013]  2014,  or  the
date  on  which  the  last  of the funds available for grants under this
section shall have  been  disbursed,  whichever  is  earlier;  provided,
however,  that  the  termination of the existence of the board shall not
affect the power and authority of the dormitory authority to perform its
obligations with respect to any  bonds,  notes,  or  other  indebtedness
issued or incurred pursuant to authority granted in this section.
  S  2. Paragraph (h) of subdivision 4 of section 1 of part U of chapter
57 of the laws of 2005 amending the labor law and other laws  implement-
ing  the state fiscal plan for the 2005-2006 state fiscal year, relating
to the New York state higher education capital  matching  grant  program
for  independent  colleges, as amended by section 2 of part H of chapter
57 of the laws of 2012, is amended to read as follows:
  (h) [If a college did not apply for a potential grant]  IN  THE  EVENT
THAT  ANY  COLLEGES  DO  NOT APPLY FOR HIGHER EDUCATION CAPITAL MATCHING
GRANTS by March 31, 2009, OR  IN  THE  EVENT  THEY  APPLY  FOR  AND  ARE
AWARDED, BUT DO NOT USE THE FULL AMOUNT OF SUCH GRANTS, THE UNUSED funds
associated  with  such  [potential  grant]  GRANTS  shall  THEREAFTER be
awarded[,] TO COLLEGES on a  competitive  basis,  [to  other  colleges,]
according  to the priorities set forth below. [Colleges] NOTWITHSTANDING
SUBDIVISION FIVE OF THIS SECTION, ANY COLLEGE shall be eligible to apply
for [unutilized grants] SUCH UNUSED FUNDS IN RESPONSE TO A  REQUEST  FOR
PROPOSALS FOR A HIGHER EDUCATION CAPITAL MATCHING GRANT PURSUANT TO THIS
PARAGRAPH.   In such cases, the following priorities shall apply: first,
priority shall be given to otherwise eligible colleges that either were,
or would have been, deemed ineligible for the program prior to March 31,
2009, due to missed deadlines,  insufficient  matching  funds,  lack  of
accreditation  or  other  disqualifying  reasons;  and second, after the
board has acted upon all such  first-priority  applications  for  unused
funds,  if  any  such  funds  remain, those funds shall be available for
distribution to eligible colleges [that  are  located  within  the  same
Regents  of  the  State  of  New  York  region for which such funds were
originally allocated].  The dormitory authority shall develop a  request
for  proposals  and application process, in consultation with the board,
for [such] HIGHER EDUCATION CAPITAL MATCHING grants AWARDED PURSUANT  TO
THIS  PARAGRAPH,  and  shall  develop criteria, subject to review by the
board, for the awarding of such grants. Such  criteria  shall  [incorpo-
rate]  INCLUDE, BUT NOT BE LIMITED TO the matching criteria contained in
paragraph (c) of this subdivision,  and  the  application  criteria  set
forth  in  paragraph  (e)  of  this subdivision. The dormitory authority
shall require all applications in response to the request for  proposals
to  be submitted by September 1, [2012] 2013, and the board shall act on
each application for such matching grants by November 1, [2012] 2013.
  S 3. Subclause (A) of clause (ii) of paragraph (j) of subdivision 4 of
section 1 of part U of chapter 57 of the laws of 2005 amending the labor
law and other laws implementing the state fiscal plan for the  2005-2006
state fiscal year, relating to the New York state higher education capi-
tal  matching  grant  program  for  independent  colleges, as amended by

S. 2607--D                         42                         A. 3007--D

section 3 of part H of chapter 57 of the laws of  2012,  is  amended  to
read as follows:
  (A) Notwithstanding the provision of any general or special law to the
contrary,  and  subject  to  the provisions of chapter 59 of the laws of
2000 and to the making of annual appropriations therefor by the legisla-
ture, in order to assist the dormitory authority in providing such high-
er education capital matching grants, the  director  of  the  budget  is
authorized  in  any  state  fiscal  year commencing April 1, 2005 or any
state fiscal year thereafter for a period ending  on  March  31,  [2014]
2015,  to  enter into one or more service contracts, none of which shall
exceed 30 years in duration, with the  dormitory  authority,  upon  such
terms as the director of the budget and the dormitory authority agree.
  S  4. Paragraph (b) of subdivision 7 of section 1 of part U of chapter
57 of the laws of 2005 amending the labor law and other laws  implement-
ing  the state fiscal plan for the 2005-2006 state fiscal year, relating
to the New York state higher education matching  capital  grant  program
for  independent  colleges, as amended by section 4 of part H of chapter
57 of the laws of 2012, is amended to read as follows:
  (b) Any eligible institution receiving a grant pursuant to this  arti-
cle shall report to the dormitory authority no later than June 1, [2013]
2014,  on  the use of funding received and its programmatic and economic
impact. The dormitory authority shall submit  a  report  no  later  than
November  1, [2013] 2014 to the board, the governor, the director of the
budget, the temporary president of the senate, and the  speaker  of  the
assembly  on the aggregate impact of the higher education matching capi-
tal grant program. Such report shall provide information on the progress
and economic impact of such project.
  S 5. This act shall take effect immediately and  shall  be  deemed  to
have been in full force and effect on and after April 1, 2013.

                                 PART D

  Section  1.  Subdivision  1  of  section  6304 of the education law is
amended by adding two new paragraphs b-1 and b-2 to read as follows:
  B-1. (I) NOTWITHSTANDING ANY PROVISION OF LAW TO THE CONTRARY, FOR THE
COMMUNITY COLLEGE FISCAL YEAR TWO THOUSAND THIRTEEN--TWO THOUSAND  FOUR-
TEEN  AND THEREAFTER, EACH PROGRAM THAT CONFERS A CREDIT-BEARING CERTIF-
ICATE, AN ASSOCIATE OF OCCUPATIONAL STUDIES DEGREE, OR AN  ASSOCIATE  OF
APPLIED  SCIENCE DEGREE, SHALL DEMONSTRATE THAT IT IS PREPARING STUDENTS
FOR CURRENT AND FUTURE JOB OPPORTUNITIES BY PARTNERING WITH EMPLOYERS AS
FOLLOWS:
  (A) THE PROGRAM IS A PARTNERSHIP BETWEEN THE COMMUNITY COLLEGE AND ONE
OR MORE EMPLOYERS TO TRAIN AND EMPLOY STUDENTS IN A SPECIFIC OCCUPATION;
  (B) THE PROGRAM HAS AN ADVISORY COMMITTEE MADE UP OF MEMBERS  OF  WHOM
THE  MAJORITY  ARE  EMPLOYERS  IN THE OCCUPATION OR SECTOR, OR A RELATED
SECTOR, OR IS OTHERWISE ADVISED BY ONE OR MORE EMPLOYERS IN THE  OCCUPA-
TION  OR  SECTOR, THAT EMPLOY OR WILL EMPLOY WORKERS IN THE REGION WHERE
THE COMMUNITY COLLEGE IS LOCATED, AND SUCH COMMITTEE  SERVES  TO  ADVISE
THE  COMMUNITY  COLLEGE ON THE PROGRAM'S CURRICULUM, RECRUITMENT, PLACE-
MENT AND EVALUATION SO THAT IT REMAINS UP-TO-DATE WITH  EMPLOYER  NEEDS;
OR
  (C)  THE PROGRAM IS IN A HIGH-TECH SECTOR AND IS IN DEMAND FOR CURRENT
OR PROJECTED JOB GROWTH,  INCLUDING  THOSE  SECTORS  IDENTIFIED  BY  THE
REGIONAL  ECONOMIC  DEVELOPMENT  COUNCIL,  AND  IS ADVISED BY CURRENT OR
POTENTIAL FUTURE EMPLOYERS IN THE OCCUPATION OR SECTOR.

S. 2607--D                         43                         A. 3007--D

  (II) ON OR BEFORE JANUARY FIRST, TWO THOUSAND FOURTEEN FOR THE  COMMU-
NITY  COLLEGE  FISCAL YEAR TWO THOUSAND THIRTEEN--TWO THOUSAND FOURTEEN,
NOVEMBER FIRST, TWO THOUSAND FOURTEEN FOR THE COMMUNITY  COLLEGE  FISCAL
YEAR  TWO  THOUSAND FOURTEEN--TWO THOUSAND FIFTEEN AND NOVEMBER FIRST OF
EACH  COMMUNITY  COLLEGE  FISCAL  YEAR  THEREAFTER, THE STATE UNIVERSITY
TRUSTEES AND THE CITY UNIVERSITY TRUSTEES SHALL EACH SUBMIT A JOB  LINK-
AGE  REPORT  TO THE DIRECTOR OF THE BUDGET, THE CHAIRS OF THE SENATE AND
ASSEMBLY HIGHER EDUCATION COMMITTEES AND THE CHAIR OF THE SENATE FINANCE
COMMITTEE AND THE CHAIR  OF  THE  ASSEMBLY  WAYS  AND  MEANS  COMMITTEE,
INCLUDING  AN  ACCOUNTING OF FULL TIME EQUIVALENT ENROLLMENT IN PROGRAMS
THAT  CONFER  CREDIT-BEARING  CERTIFICATES,  ASSOCIATE  OF  OCCUPATIONAL
STUDIES DEGREES, OR ASSOCIATE OF APPLIED SCIENCE DEGREES, IN SUCH A FORM
AND  MANNER  AS THE DIRECTOR OF THE BUDGET MAY REQUIRE TO VERIFY COMPLI-
ANCE WITH SUBPARAGRAPH (I) OF THIS PARAGRAPH.
  B-2. (I) NOTWITHSTANDING ANY PROVISION OF LAW TO THE CONTRARY,  WITHIN
AMOUNTS  APPROPRIATED FOR INCENTIVE FUNDING, THE STATE UNIVERSITY OF NEW
YORK AND CITY UNIVERSITY OF NEW YORK  SHALL  MAKE  AWARDS  TO  COMMUNITY
COLLEGES  FROM THE NEXT GENERATION NY JOB LINKAGE PROGRAM INCENTIVE FUND
BASED ON MEASURES OF  STUDENT  SUCCESS  FOR  ALL  STUDENTS  ENROLLED  IN
PROGRAMS THAT CONFER A CREDIT-BEARING CERTIFICATE, AN ASSOCIATE OF OCCU-
PATIONAL  STUDIES  DEGREE,  OR  AN  ASSOCIATE OF APPLIED SCIENCE DEGREE,
INCLUDING, BUT NOT LIMITED TO:
  (A) THE NUMBER OF  STUDENTS  WHO  ARE  EMPLOYED  FOLLOWING  DEGREE  OR
CERTIFICATE  COMPLETION  AND  THEIR WAGE GAINS, IF ANY, AS DETERMINED BY
THE DEPARTMENT OF LABOR, WHICH SHALL BE  GIVEN  THE  GREATEST  WEIGHTING
AMONG ALL MEASURES OF STUDENT SUCCESS;
  (B)  THE  NUMBER  OF  DEGREE  COMPLETIONS, CERTIFICATE COMPLETIONS AND
STUDENT TRANSFERS TO OTHER INSTITUTIONS OF HIGHER EDUCATION;
  (C) THE NUMBER OF DEGREE AND CERTIFICATE COMPLETIONS UNDER CLAUSE  (B)
OF  THIS  PARAGRAPH  BY  STUDENTS CONSIDERED ACADEMICALLY AT-RISK DUE TO
ECONOMIC DISADVANTAGE OR OTHER FACTOR OF UNDER-REPRESENTATION WITHIN THE
FIELD OF STUDY; VETERANS; AND THE DISABLED;
  (D)  THE  NUMBER  OF  STUDENTS  WHO  MAKE  ADEQUATE  PROGRESS  TOWARDS
COMPLETION  OF  A  DEGREE  OR CERTIFICATE, WHICH MAY INCLUDE ACCELERATED
COMPLETION OF A DEVELOPMENTAL EDUCATION PROGRAM;
  (E) THE NUMBER OF DEGREE COMPLETIONS IN INNOVATIVE  PROGRAMS  DESIGNED
TO  ENABLE STUDENTS TO BALANCE SCHOOL, WORK AND OTHER PERSONAL RESPONSI-
BILITIES; AND
  (F) THE NUMBER OF STUDENTS ENGAGED IN CAREER AND  EMPLOYMENT  OPPORTU-
NITIES  INCLUDING  APPRENTICESHIPS,  COOPERATIVE  EDUCATION  PROGRAMS OR
OTHER PAID WORK EXPERIENCE THAT IS AN INTEGRAL PART  OF  THEIR  ACADEMIC
PROGRAM.
  (II)  AWARDS  SHALL  BE  MADE ON A PRO-RATA BASIS IN ACCORDANCE WITH A
METHODOLOGY AND IN A FORM AND MANNER DEVELOPED BY THE  DIRECTOR  OF  THE
BUDGET, IN CONSULTATION WITH THE STATE UNIVERSITY AND CITY UNIVERSITY.
  (III) ON OR BEFORE DECEMBER FIRST OF EACH YEAR, OR AN ALTERNATIVE DATE
AS  DETERMINED  BY  THE  DIRECTOR OF THE BUDGET IN CONSULTATION WITH THE
STATE UNIVERSITY AND CITY UNIVERSITY, THE STATE UNIVERSITY TRUSTEES  AND
THE  CITY  UNIVERSITY  TRUSTEES SHALL EACH SUBMIT A PLAN FOR APPROVAL BY
THE DIRECTOR OF THE BUDGET TO ALLOCATE AMOUNTS AVAILABLE  FOR  THE  NEXT
GENERATION NY JOB LINKAGE PROGRAM INCENTIVE FUND IN ACCORDANCE WITH THIS
PARAGRAPH.
  S 2. This act shall take effect immediately.

                                 PART E

S. 2607--D                         44                         A. 3007--D

  Section  1.  Paragraphs  (a),  (b),  (c)  and  (d) of subdivision 1 of
section 131-o of the social services law, as amended  by  section  1  of
part  C  of  chapter  57  of  the  laws  of 2012, are amended to read as
follows:
  (a)  in  the  case of each individual receiving family care, an amount
equal to at least [$135.00] $137.00 for each month beginning on or after
January first, two thousand [twelve] THIRTEEN.
  (b) in the case of each  individual  receiving  residential  care,  an
amount  equal  to at least [$155.00] $158.00 for each month beginning on
or after January first, two thousand [twelve] THIRTEEN.
  (c) in the case of  each  individual  receiving  enhanced  residential
care,  an  amount  equal  to  at  least [$184.00] $187.00 for each month
beginning on or after January first, two thousand [twelve] THIRTEEN.
  (d) for the period commencing January first, two  thousand  [thirteen]
FOURTEEN,  the monthly personal needs allowance shall be an amount equal
to the sum of the amounts set forth in subparagraphs one and two of this
paragraph:
  (1) the amounts specified in paragraphs  (a),  (b)  and  (c)  of  this
subdivision; and
  (2)  the  amount  in subparagraph one of this paragraph, multiplied by
the percentage of any  federal  supplemental  security  income  cost  of
living adjustment which becomes effective on or after January first, two
thousand  [thirteen] FOURTEEN, but prior to June thirtieth, two thousand
[thirteen] FOURTEEN, rounded to the nearest whole dollar.
  S 2. Paragraphs (a), (b), (c), (d), (e) and (f) of  subdivision  2  of
section  209 of the social services law, as amended by section 2 of part
C of chapter 57 of the laws of 2012, are amended to read as follows:
  (a) On and after January first, two thousand [twelve] THIRTEEN, for an
eligible individual living alone, [$785.00] $797.00; and for an eligible
couple living alone, [$1152.00] $1170.00.
  (b) On and after January first, two thousand [twelve] THIRTEEN, for an
eligible individual living with others with or without  in-kind  income,
[$721.00] $733.00; and for an eligible couple living with others with or
without in-kind income, [$1094.00] $1112.00.
  (c)  On  and  after January first, two thousand [twelve] THIRTEEN, (i)
for an eligible individual receiving family care, [$964.48]  $976.48  if
he  or  she is receiving such care in the city of New York or the county
of Nassau, Suffolk, Westchester or Rockland; and (ii)  for  an  eligible
couple  receiving  family  care in the city of New York or the county of
Nassau, Suffolk, Westchester or Rockland, two times the amount set forth
in subparagraph (i) of this paragraph; or (iii) for an eligible individ-
ual receiving such care in any other  county  in  the  state,  [$926.48]
$938.48;  and  (iv)  for  an  eligible couple receiving such care in any
other county in the state, two times the amount set  forth  in  subpara-
graph (iii) of this paragraph.
  (d)  On  and  after January first, two thousand [twelve] THIRTEEN, (i)
for  an  eligible  individual  receiving  residential  care,  [$1133.00]
$1145.00  if he or she is receiving such care in the city of New York or
the county of Nassau, Suffolk, Westchester or Rockland; and (ii) for  an
eligible  couple  receiving  residential care in the city of New York or
the county of Nassau, Suffolk, Westchester or Rockland,  two  times  the
amount  set forth in subparagraph (i) of this paragraph; or (iii) for an
eligible individual receiving such care  in  any  other  county  in  the
state,  [$1103.00]  $1115.00;  and (iv) for an eligible couple receiving
such care in any other county in the state, two  times  the  amount  set
forth in subparagraph (iii) of this paragraph.

S. 2607--D                         45                         A. 3007--D

  (e)  (i)  On  and after January first, two thousand [twelve] THIRTEEN,
for  an  eligible  individual  receiving  enhanced   residential   care,
[$1392.00]  $1404.00; and (ii) for an eligible couple receiving enhanced
residential care, two times the amount set forth in subparagraph (i)  of
this paragraph.
  (f) The amounts set forth in paragraphs (a) through (e) of this subdi-
vision  shall  be  increased to reflect any increases in federal supple-
mental security income benefits for individuals or couples which  become
effective  on  or  after January first, two thousand [thirteen] FOURTEEN
but prior to June thirtieth, two thousand [thirteen] FOURTEEN.
  S 3. This act shall take effect December 31, 2013.

                                 PART F
                          Intentionally omitted

                                 PART G

  Section 1. Subdivisions 4 and 5 of section 412 of the  executive  law,
as  amended by chapter 182 of the laws of 2002, are amended, and two new
subdivisions 8 and 9 are added to read as follows:
  4. "Municipality" shall mean a county, [city, village, town, that part
of a town not included within the boundaries of a village, or  a  school
district (if approved for such purpose by the commissioner, in instances
where  no  other municipality, overlapping such school district in whole
or part, is receiving state aid pursuant to this article  or  upon  such
other basis as the commissioner shall by regulation determine).  Munici-
pality  may mean an Indian reservation, subject to rules and regulations
of the office] OR A CITY HAVING A POPULATION OF ONE MILLION OR MORE.
  5. "Youth DEVELOPMENT program" shall mean a ["youth  bureau,"  "recre-
ation  project"  or  "youth  service"  project  established  under prior
authorizing legislation establishing a temporary state youth  commission
as  well as similar] local [programs] PROGRAM designed to accomplish the
broad purposes of this article[. The definition, determination and clas-
sification of youth programs shall  be]  subject  to  [approval  by  the
office  in accordance with] THE rules and regulations [adopted by it] OF
THE OFFICE; PROVIDED HOWEVER, THE TERM "YOUTH DEVELOPMENT PROGRAM" SHALL
NOT INCLUDE APPROVED RUNAWAY PROGRAMS OR TRANSITIONAL INDEPENDENT LIVING
SUPPORT PROGRAMS AS SUCH TERMS ARE DEFINED IN SECTION FIVE HUNDRED THIR-
TY-TWO-A OF THIS CHAPTER.
  8. "MUNICIPAL YOUTH BUREAU" SHALL MEAN EITHER:
  A. IN A CITY HAVING A POPULATION OF ONE MILLION OR MORE, THE NEW  YORK
CITY DEPARTMENT OF YOUTH AND COMMUNITY DEVELOPMENT, OR A SUCCESSOR ENTI-
TY;
  B.  A  YOUTH  BUREAU  THAT  ENGAGES  IN ACTIVITIES, INCLUDING, BUT NOT
LIMITED TO, THE OPERATION, ADMINISTRATION OR MONITORING OF YOUTH  DEVEL-
OPMENT PROGRAMS, THROUGHOUT A PARTICULAR COUNTY; OR
  C.  A  YOUTH  BUREAU  THAT  ENGAGES  IN ACTIVITIES, INCLUDING, BUT NOT
LIMITED TO, THE OPERATION, ADMINISTRATION OR MONITORING OF YOUTH  DEVEL-
OPMENT  PROGRAMS, THROUGHOUT TWO OR MORE PARTICULAR COUNTIES, IN ACCORD-
ANCE WITH SUBDIVISION FIVE OF SECTION FOUR HUNDRED  TWENTY-TWO  OF  THIS
ARTICLE.
  9. "LOCAL YOUTH BUREAU" SHALL MEAN A YOUTH BUREAU, NOT INCLUDED WITHIN
THE  DEFINITION  OF MUNICIPAL YOUTH BUREAU PURSUANT TO SUBDIVISION EIGHT
OF THIS SECTION, THAT ENGAGES IN ACTIVITIES, INCLUDING, BUT NOT  LIMITED

S. 2607--D                         46                         A. 3007--D

TO,  THE  OPERATION,  ADMINISTRATION  OR MONITORING OF YOUTH DEVELOPMENT
PROGRAMS, THROUGHOUT A PARTICULAR VILLAGE, TOWN OR CITY.
  S 2. Subdivision 1 of section 420 of the executive law is REPEALED and
a new subdivision 1 is added to read as follows:
   1.  A.  (1)  EACH  MUNICIPALITY OPERATING A YOUTH DEVELOPMENT PROGRAM
APPROVED BY THE OFFICE OF CHILDREN AND FAMILY SERVICES SHALL BE ELIGIBLE
FOR ONE HUNDRED PERCENT STATE REIMBURSEMENT OF  ITS  QUALIFIED  EXPENDI-
TURES,  SUBJECT TO AVAILABLE APPROPRIATIONS AND EXCLUSIVE OF ANY FEDERAL
FUNDS MADE AVAILABLE THEREFOR, NOT TO EXCEED THE MUNICIPALITY'S DISTRIB-
UTION OF STATE AID UNDER THIS ARTICLE.
  (2) THE STATE AID APPROPRIATED FOR YOUTH DEVELOPMENT PROGRAMS SHALL BE
DISTRIBUTED BY THE OFFICE OF CHILDREN AND FAMILY  SERVICES  TO  ELIGIBLE
MUNICIPALITIES  THAT  HAVE  AN  APPROVED  COMPREHENSIVE PLAN PURSUANT TO
SUBPARAGRAPH TWO OF PARAGRAPH C OF  THIS  SUBDIVISION.  SUCH  STATE  AID
SHALL  BE  LIMITED  TO  THE FUNDS SPECIFICALLY APPROPRIATED THEREFOR AND
SHALL BE BASED ON FACTORS THAT SHALL INCLUDE THE NUMBER OF  YOUTH  UNDER
THE  AGE OF TWENTY-ONE RESIDING IN THE MUNICIPALITY AS SHOWN BY THE LAST
PUBLISHED FEDERAL CENSUS CERTIFIED IN THE SAME  MANNER  AS  PROVIDED  BY
SECTION  FIFTY-FOUR OF THE STATE FINANCE LAW AND MAY INCLUDE, BUT NOT BE
LIMITED TO, THE PERCENTAGE OF YOUTH LIVING IN POVERTY WITHIN THE MUNICI-
PALITY OR SUCH OTHER FACTORS AS PROVIDED FOR IN THE REGULATIONS  OF  THE
OFFICE.
  (3)  THE  OFFICE  SHALL  NOT  REIMBURSE  ANY CLAIMS UNDER THIS SECTION
UNLESS THEY ARE SUBMITTED WITHIN TWELVE MONTHS OF THE  CALENDAR  QUARTER
IN  WHICH  THE  EXPENDITURE WAS MADE.   THE OFFICE MAY REQUIRE THAT SUCH
CLAIMS BE SUBMITTED TO THE  OFFICE  ELECTRONICALLY  IN  THE  MANNER  AND
FORMAT REQUIRED BY THE OFFICE.
  (4)  A  COMPREHENSIVE PLAN DEVELOPED IN ACCORDANCE WITH PARAGRAPH C OF
THIS SUBDIVISION MAY PROVIDE FOR THE FUNDING OF LOCAL YOUTH BUREAUS THAT
HAVE BEEN APPROVED IN ACCORDANCE WITH SECTION FOUR HUNDRED TWENTY-TWO OF
THIS ARTICLE AND MUNICIPAL YOUTH  BUREAUS.  PROVIDED  HOWEVER,  THAT  AN
APPROVED  LOCAL  YOUTH BUREAU THAT IS NOT PROVIDING, OPERATING, ADMINIS-
TERING OR MONITORING YOUTH DEVELOPMENT PROGRAMS SHALL NOT RECEIVE  FUND-
ING  PURSUANT  TO THIS SUBDIVISION. PROVIDED, FURTHER THAT UP TO FIFTEEN
PERCENT OF THE YOUTH DEVELOPMENT FUNDS THAT  A  MUNICIPALITY  DETERMINES
WILL  BE PROVIDED TO A LOCAL YOUTH BUREAU IN ACCORDANCE WITH CLAUSE (II)
OF SUBPARAGRAPH ONE OF PARAGRAPH C OF THIS SUBDIVISION MAY BE  USED  FOR
ADMINISTRATIVE FUNCTIONS PERFORMED BY SUCH LOCAL YOUTH BUREAU.
  (5)  IF  A  MUNICIPALITY  DOES  NOT ALLOCATE YOUTH DEVELOPMENT FUNDING
PURSUANT TO THE INFORMATION CONTAINED WITHIN THE MUNICIPALITY'S  COMPRE-
HENSIVE PLAN IN ACCORDANCE WITH CLAUSE (II) OF SUBPARAGRAPH ONE OF PARA-
GRAPH  C  OF  THIS  SUBDIVISION, THE OFFICE MAY AUTHORIZE OR REQUIRE THE
COMPTROLLER TO WITHHOLD THE PAYMENT OF STATE AID TO SUCH MUNICIPALITY IN
ACCORDANCE WITH SECTION FOUR HUNDRED TWENTY-ONE OF THIS ARTICLE.
  B. YOUTH DEVELOPMENT PROGRAMS SHALL PROVIDE  COMMUNITY-LEVEL  SERVICES
DESIGNED  TO  PROMOTE  POSITIVE  YOUTH  DEVELOPMENT.  SUCH  PROGRAMS MAY
INCLUDE, BUT NOT BE LIMITED  TO:  PROGRAMS  THAT  PROMOTE  PHYSICAL  AND
EMOTIONAL  WELLNESS, EDUCATIONAL ACHIEVEMENT OR CIVIC, FAMILY AND COMMU-
NITY ENGAGEMENT; FAMILY SUPPORT SERVICES; SERVICES TO  PREVENT  JUVENILE
DELINQUENCY,  CHILD  ABUSE AND NEGLECT; SERVICES TO AVERT FAMILY CRISES;
AND SERVICES TO ASSIST YOUTH IN NEED OF CRISIS INTERVENTION  OR  RESPITE
SERVICES.  SUBJECT  TO THE REGULATIONS OF THE OFFICE, A MUNICIPALITY MAY
ENTER INTO CONTRACTS TO EFFECTUATE ITS YOUTH DEVELOPMENT PROGRAM  ESTAB-
LISHED AND APPROVED AS PROVIDED IN THIS ARTICLE.
  C.  EACH MUNICIPALITY SHALL DEVELOP, IN CONSULTATION WITH THE APPLICA-
BLE MUNICIPAL YOUTH BUREAU, A COMPREHENSIVE PLAN TO OFFER YOUTH DEVELOP-

S. 2607--D                         47                         A. 3007--D

MENT PROGRAMS. SUCH COMPREHENSIVE PLAN SHALL BE SUBJECT TO THE  APPROVAL
OF THE OFFICE OF CHILDREN AND FAMILY SERVICES IN ACCORDANCE WITH SUBPAR-
AGRAPH TWO OF THIS PARAGRAPH AND SHALL BE SUBMITTED BY EACH MUNICIPALITY
IN  A  MANNER  AND  AT  SUCH TIMES AND FOR SUCH PERIODS AS THE OFFICE OF
CHILDREN AND FAMILY SERVICES SHALL DETERMINE.
  (1) SUCH COMPREHENSIVE PLAN SHALL:
  (I) DESCRIBE THE  NEED  IN  THE  MUNICIPALITY  FOR  YOUTH  DEVELOPMENT
PROGRAMS, AND SPECIFY, AT MINIMUM, HOW THE MUNICIPALITY WILL ADDRESS THE
NEED  FOR  YOUTH  DEVELOPMENT IN VILLAGES, TOWNS AND CITIES WHICH HAVE A
YOUTH POPULATION OF TWENTY THOUSAND OR MORE PERSONS;
  (II) DETAIL HOW THE MUNICIPALITY WILL ALLOCATE THE FUNDING IT RECEIVES
PURSUANT TO THIS SUBDIVISION, INCLUDING AN  ACCOUNTING  OF  ALL  OF  THE
ELIGIBLE  ENTITIES  WITHIN  SUCH  MUNICIPALITY THAT WILL RECEIVE FUNDING
UNDER THIS SUBDIVISION, THE YOUTH DEVELOPMENT SERVICES THAT  SUCH  ENTI-
TIES  WILL  PROVIDE,  AND  THE  AMOUNT  OF FUNDING THAT EACH ENTITY WILL
RECEIVE;
  (III) SPECIFY HOW THE MUNICIPALITY WILL MEASURE  PERFORMANCE  OUTCOMES
FOR SUCH SERVICES AND PROGRAMS COVERED UNDER THE PLAN;
  (IV)  SPECIFY  THE  PROJECTED  PERFORMANCE  OUTCOMES  FOR SERVICES AND
PROGRAMS COVERED UNDER THE PLAN, INCLUDING PROJECTED  POSITIVE  OUTCOMES
FOR YOUTH WHO PARTICIPATE IN THE SERVICES AND PROGRAMS; AND
  (V)  PROVIDE  INFORMATION  ON  THE  PERFORMANCE  OUTCOMES  OF SERVICES
PROVIDED UNDER THE MUNICIPALITY'S MOST RECENT PLAN APPROVED PURSUANT  TO
THIS  SUBDIVISION, INCLUDING OUTCOME BASED MEASURES THAT DEMONSTRATE THE
QUALITY OF SERVICES PROVIDED AND PROGRAM EFFECTIVENESS OF PROGRAMS FUND-
ED UNDER SUCH PLAN.
  (2) THE OFFICE OF CHILDREN AND FAMILY SERVICES MAY APPROVE ALL OR PART
OF A MUNICIPALITY'S COMPREHENSIVE PLAN. IF THE OFFICE DOES NOT APPROVE A
MUNICIPALITY'S COMPREHENSIVE PLAN, SUCH MUNICIPALITY  SHALL  HAVE  SIXTY
DAYS FROM RECEIPT OF THE NOTIFICATION OF DISAPPROVAL TO SUBMIT A REVISED
PLAN.
  (3)  IF  THE MUNICIPALITY IS SEEKING STATE AID TO PROVIDE SERVICES FOR
RUNAWAY AND HOMELESS YOUTH, AS DEFINED IN  ARTICLE  NINETEEN-H  OF  THIS
CHAPTER, THE RUNAWAY AND HOMELESS YOUTH PLAN, AS REQUIRED BY SUBDIVISION
TWO  OF  THIS  SECTION,  SHALL BE SUBMITTED AS PART OF THE COMPREHENSIVE
PLAN THAT IS REQUIRED PURSUANT TO THIS PARAGRAPH; PROVIDED HOWEVER, THAT
STATE AID TO PROVIDE SERVICES FOR RUNAWAY AND  HOMELESS  YOUTH  SERVICES
SHALL  BE  FROM,  AND LIMITED TO, FUNDS APPROPRIATED SEPARATELY FOR SUCH
RUNAWAY AND HOMELESS YOUTH PROGRAM PURPOSES BY THE STATE, AND SHALL  NOT
BE INCLUDED UNDER THE LIMITS SET FORTH IN THIS SUBDIVISION.
  S  3. Subdivision 2 of section 420 of the executive law, as amended by
chapter 182 of the laws of 2002, is amended to read as follows:
  2. Runaway and homeless youth plan; state aid.
  a. A [county] MUNICIPALITY may submit to the [commissioner] OFFICE  OF
CHILDREN  AND  FAMILY  SERVICES a plan for the providing of services for
runaway and homeless youth, as defined in  article  nineteen-H  of  this
chapter.  Where such [county] MUNICIPALITY is receiving state aid pursu-
ant to paragraph a of subdivision one of this section, such runaway  and
homeless  youth  plan  shall  be  submitted as part of the comprehensive
[county] plan and shall be consistent  with  the  goals  and  objectives
therein. A runaway and homeless youth plan shall be developed in consul-
tation  with  the [county] MUNICIPAL youth bureau and the county or city
department of social services, shall be in  accordance  with  the  regu-
lations  of  the  [commissioner] OFFICE OF CHILDREN AND FAMILY SERVICES,
shall provide for a coordinated range of services for runaway and  home-
less  youth  and their families including preventive, temporary shelter,

S. 2607--D                         48                         A. 3007--D

transportation, counseling, and other necessary  assistance,  and  shall
provide for the coordination of all available county resources for runa-
way  and  homeless youth and their families including services available
through  the [county] MUNICIPAL youth bureau, the county or city depart-
ment of social services, local boards of education, local drug and alco-
hol programs and organizations or programs which  have  past  experience
dealing   with  runaway  and  homeless  youth.  Such  plan  may  include
provisions for transitional  independent  living  support  programs  for
homeless youth between the ages of sixteen and twenty-one as provided in
article nineteen-H of this chapter. Such plan shall also provide for the
designation and duties of the runaway and homeless youth service coordi-
nator  defined  in section five hundred thirty-two-a of this chapter who
is available on a  twenty-four  hour  basis  and  maintains  information
concerning  available  shelter  space, transportation and services. Such
plan may include provision for the per diem reimbursement  for  residen-
tial  care  of  runaway  and homeless youth in approved runaway programs
which are authorized agencies, provided that such per diem reimbursement
shall not exceed a total of thirty days for any one youth.
  A-1. EACH MUNICIPALITY THAT DOES NOT SUBMIT  A  RUNAWAY  AND  HOMELESS
YOUTH  PLAN  IN  ACCORDANCE  WITH PARAGRAPH A OF THIS SUBDIVISION, SHALL
INCLUDE WITHIN THEIR COMPREHENSIVE PLAN SUBMITTED PURSUANT  TO  SUBDIVI-
SION  ONE  OF THIS SECTION, AN ASSESSMENT OF THE NEED WITHIN THE MUNICI-
PALITY FOR SERVICES TO ASSIST RUNAWAY AND HOMELESS YOUTH  AND  YOUTH  IN
NEED  OF CRISIS INTERVENTION OR RESPITE SERVICES. PROVIDED HOWEVER, THAT
STATE AID TO PROVIDE FOR RUNAWAY AND HOMELESS YOUTH  SERVICES  SHALL  BE
FROM  AND  LIMITED TO FUNDS APPROPRIATED SEPARATELY FOR SUCH RUNAWAY AND
HOMELESS YOUTH PROGRAM PURPOSES BY THE STATE, AND SHALL NOT BE  INCLUDED
UNDER THE LIMITS SET FORTH IN SUBDIVISION ONE OF THIS SECTION.
  b.  Each  [county]  MUNICIPALITY  shall  submit  to the [commissioner]
OFFICE OF CHILDREN AND FAMILY SERVICES such  additional  information  as
the [commissioner] OFFICE shall require, including but not limited to:
  (1)  A  description  of  the  current  runaway and homeless population
including their age, place of origin, family status, service  needs  and
eventual disposition;
  (2)  A  description  of  the public and private resources available to
serve runaway and homeless youth within the [county] MUNICIPALITY;
  (3) A description of new services to be provided and current  services
to be expanded.
  c.  The  [commissioner]  OFFICE  OF CHILDREN AND FAMILY SERVICES shall
review such plan IN ACCORDANCE WITH SUBPARAGRAPH TWO OF PARAGRAPH  C  OF
SUBDIVISION  ONE OF THIS SECTION and may approve or disapprove such plan
or any part, program, or project within such plan, and may propose  such
modifications and conditions as deemed appropriate and necessary.
  d.  (1) [Counties] MUNICIPALITIES having an approved runaway and home-
less youth plan pursuant  to  this  subdivision  shall  be  entitled  to
reimbursement by the state for sixty percent of the entire amount of the
expenditures  for  programs  contained  in  such plan as approved by the
[commissioner] OFFICE OF  CHILDREN  AND  FAMILY  SERVICES,  after  first
deducting  therefrom  any federal or other state funds received or to be
received on account thereof. All reimbursement pursuant to this subdivi-
sion shall be from and limited to funds appropriated separately for such
runaway and homeless youth program purposes by the state, and shall  not
be  included  under  the  limits set in subdivision one of this section.
[The county's] A MUNICIPALITY'S share of the cost of such  programs  may
be  met in part by donated private funds or in-kind services, as defined
by the office, provided that such private funding or receipt of services

S. 2607--D                         49                         A. 3007--D

shall not in the aggregate be more than fifty percent of such [county's]
MUNICIPALITY'S share.
  (2)  Notwithstanding  any inconsistent provision of law and subject to
funds appropriated separately therefor, a [county]  MUNICIPALITY  having
an  approved  runaway  and homeless youth plan which includes provisions
for transitional independent living support programs shall  be  entitled
to  reimbursement by the state for sixty percent of the entire amount of
the approved expenditures for transitional  independent  living  support
programs  contained in the plan as approved by the [commissioner] OFFICE
OF CHILDREN AND FAMILY SERVICES.  The [county's] MUNICIPALITY'S share of
the cost of such programs may be met by donated private funds or in-kind
services, as defined by  the  office,  provided  that  such  receipt  of
in-kind  services  shall not in the aggregate be more than fifty percent
of such [county's] MUNICIPALITY'S share.
  S 4. Paragraphs a and c of subdivision 5 of section 420 of the  execu-
tive  law,  as  added by chapter 160 of the laws of 2004, are amended to
read as follows:
  a. Notwithstanding any other provision of law, the office of  children
and  family  services shall plan for the statewide implementation by the
thirty-first day of December, two thousand eight, of a county child  and
family  services  plan  that  combines  the  [county] comprehensive plan
required by this section and the multi-year consolidated  services  plan
required  by  section  thirty-four-a  of  the social services law into a
single plan.
  c. The office of children and family services may waive any regulatory
requirements relating to the content and timing of  [county]  comprehen-
sive plans that may impede the ability of a county to implement a county
child and family services plan.
  S  5. Section 422 of the executive law, as added by chapter 636 of the
laws of 1956, subdivisions 1, 3, 4, 7, 8 and 9 as amended by chapter 182
of the laws of 2002, subdivision 5 as amended by chapter 879 of the laws
of 1976 and subdivision 10 as added by chapter 400 of the laws of  1978,
is amended to read as follows:
  S 422. Youth  bureaus[;  recreation  and  youth  service projects; and
other youth programs]. 1. A. Any [county or]  city,  [or  any]  town  or
village  [with  a  total  population of twenty thousand or more persons]
desiring to establish a LOCAL youth bureau[, or any municipality  desir-
ing to establish a recreation, youth service or other project] may apply
to the [office] MUNICIPALITY WHICH SUCH CITY, TOWN OR VILLAGE IS LOCATED
WITHIN,  for approval of its plans. The application shall be in writing,
specifying the nature of the program, and shall contain such information
as the [office] MUNICIPALITY shall require.
  B. ALL LOCAL YOUTH BUREAUS APPROVED BY  THE  OFFICE  OF  CHILDREN  AND
FAMILY SERVICES ON OR BEFORE APRIL FIRST, TWO THOUSAND THIRTEEN SHALL BE
DEEMED APPROVED LOCAL YOUTH BUREAUS FOR THE PURPOSE OF THIS ARTICLE.
  2.  No  application  for  the  approval  of  [plans for] a LOCAL youth
[program] BUREAU shall be considered BY THE MUNICIPALITY  that  has  not
been  first  approved  by the governing body of the [municipality] CITY,
TOWN OR VILLAGE making THE application.
  3. The [office] MUNICIPALITY may approve or  disapprove  the  proposed
LOCAL youth [program as filed, or, if its modifications are not objected
to by the applicant, approve the same with such modifications] BUREAU.
  4.  The  approval  of  [any  proposed]  A  LOCAL youth [program by the
office] BUREAU shall authorize the  [county,]  city  [or  municipality],
TOWN  OR  VILLAGE  to  establish,  operate and maintain the program [and
entitle it to state aid as herein  set  forth;  provided,  however,  the

S. 2607--D                         50                         A. 3007--D

office  may  at  any  time subsequently withdraw its approval or require
changes in a plan or program previously approved]  AND  WILL  ALLOW  THE
MUNICIPALITY  TO  DISTRIBUTE  TO  SUCH  LOCAL  YOUTH  BUREAU,  STATE AID
RECEIVED  IN  ACCORDANCE  WITH  SUBDIVISION  ONE OF SECTION FOUR HUNDRED
TWENTY OF THIS ARTICLE.
  5. Two or more municipalities may join together to establish,  operate
and  maintain  A  MUNICIPAL  youth  [programs]  BUREAU  and may make and
perform  agreements  in  connection  therewith.  Such  agreements  shall
include  provisions for the proportionate cost to be borne by each muni-
cipality and for the manner of employment of personnel and  may  provide
that a fiscal officer of one such municipality shall be the custodian of
the  moneys made available for expenditure for such purposes by all such
municipalities and that such fiscal officer may make payments  therefrom
upon  audit  of  the  appropriate auditing body or officer of his OR HER
municipality. In making claims for state aid pursuant to SUBDIVISION ONE
OF SECTION FOUR HUNDRED TWENTY OF this article, each  such  municipality
shall  claim for its proportionate share of THE TOTAL JOINT expenditures
so made.  However, where it is provided that there shall be a disbursing
municipality, such disbursing municipality shall  claim  for  the  total
joint  program expenditures so made and shall disburse such state aid to
each participating municipality based upon the  proportionate  share  of
expenditures so made.
  6.  [A  municipality  and the board of education, board of trustees or
the trustee of a school district may make and perform agreements provid-
ing for the operation by a school district of a  youth  service,  recre-
ation or other project of such municipality.
  7.  Moneys  derived by a municipality from taxation, from profits of a
public utility service operated by it, or from gifts or grants available
therefor, may be made available in accordance with law and expended  for
improvements  to  real property owned by it and held for school purposes
or owned by a school district in whole or in part located in such  muni-
cipality where such real property is used by such municipality for youth
program  purposes and where such improvements are required in connection
with such purposes. Such municipality may receive reimbursement for such
expenditures as herein provided, subject to the rules and regulations of
the office.
  8. The office, by rule and regulation, may authorize  expenditures  to
be made by a municipality for work to be done or improvements to be made
to real property for youth program purposes.
  9.  Subject to the regulations of the office, a municipality may enter
into contracts to effectuate its youth program established and  approved
as provided in this article.
  10.]  Notwithstanding  any provision of law, rule or regulation to the
contrary, no [city, town or village] MUNICIPAL YOUTH BUREAU SERVING  ONE
OR  MORE  MUNICIPALITIES  with  a  TOTAL youth population of twenty-five
thousand or less [residing in such  city,  town  or  village]  shall  be
required  under  this  article,  or  for purposes of receiving state aid
hereunder, to employ a full time executive director for their respective
proposed or approved youth programs, as the case may be.
  S 6. Subdivisions 4, 5 and 6 of section 532-a of the executive law, as
amended by section 14 of part E of chapter 57 of the laws of  2005,  are
amended and a new subdivision 8 is added to read as follows:
  4.  "Approved  runaway program" shall mean any non-residential program
approved by the office of children and family services after  submission
by  the [county youth bureau] MUNICIPALITY, as part of its comprehensive
plan, or any residential facility which is  operated  by  an  authorized

S. 2607--D                         51                         A. 3007--D

agency  as  defined in subdivision ten of section three hundred seventy-
one of the social services law, and approved by the office  of  children
and  family services after submission by the [county youth bureau] MUNI-
CIPALITY  as part of its comprehensive plan, established and operated to
provide services to runaway and homeless youth in  accordance  with  the
regulations of the office of temporary and disability assistance and the
office  of  children and family services. Such programs may also provide
non-residential crisis intervention and residential respite services  to
youth  in need of crisis intervention or respite services, as defined in
this section.   Residential respite  services  in  an  approved  runaway
program  may  be provided for no more than twenty-one days in accordance
with the regulations of the office of children and family services.
  5. "Runaway and homeless youth service  coordinator"  shall  mean  any
person  SO  designated  by  [a county] A MUNICIPALITY whose duties shall
include but not be limited to answering inquiries at any time concerning
transportation, shelter and other services available  to  a  runaway  or
homeless  youth  or  a  youth  in need of crisis intervention or respite
services.
  6. "Transitional independent living support program"  shall  mean  any
non-residential  program  approved  by the office of children and family
services after submission by the [county youth bureau]  MUNICIPALITY  as
part  of its comprehensive plan, or any residential facility approved by
the office of children and  family  services  after  submission  by  the
[county  youth bureau] MUNICIPALITY as part of its comprehensive plan TO
OFFER YOUTH DEVELOPMENT PROGRAMS, established and  operated  to  provide
supportive services, for a period of up to eighteen months in accordance
with  the  regulations of the office of children and family services, to
enable homeless youth between the ages  of  sixteen  and  twenty-one  to
progress  from  crisis care and transitional care to independent living.
Such transitional independent living support program  may  also  provide
services  to  youth  in need of crisis intervention or respite services.
Notwithstanding the time limitation in paragraph (i) of subdivision  (d)
of  section  seven hundred thirty-five of the family court act, residen-
tial respite services may be  provided  in  a  transitional  independent
living support program for a period of more than twenty-one days.
  8.  "MUNICIPALITY"  SHALL MEAN A COUNTY, OR A CITY HAVING A POPULATION
OF ONE MILLION OR MORE.
  S 7. Subdivision 2 of section 532-b of the executive law, as added  by
chapter 722 of the laws of 1978, is amended to read as follows:
  2.  The  runaway  youth may remain in the program on a voluntary basis
for a period not to exceed thirty days from the date of admission  where
the filing of a petition pursuant to article ten of the family court act
is  not  contemplated,  in  order  that arrangements can be made for the
runaway youth's return home, alternative residential placement  pursuant
to section three hundred ninety-eight of the social services law, or any
other  suitable  plan.  If the runaway youth and the parent, guardian or
custodian agree, in writing, the runaway youth may remain in the runaway
program up to sixty days without the filing of a  petition  pursuant  to
article  ten of the family court act, provided that in any such case the
facility shall first have obtained the approval of the [county] APPLICA-
BLE MUNICIPAL runaway coordinator, who shall notify the [county] MUNICI-
PALITY'S youth bureau of his OR HER approval together with  a  statement
as to the reason why such additional residential stay is necessary and a
description  of  the  efforts  being  made  to find suitable alternative
living arrangements for such youth.

S. 2607--D                         52                         A. 3007--D

  S 8. Paragraph (a) of subdivision 6 of  section  34-a  of  the  social
services law, as added by chapter 160 of the laws of 2004, is amended to
read as follows:
  (a) Notwithstanding any other provision of law, the office of children
and  family services shall plan for the statewide implementation, by the
thirty-first day of December, two thousand eight, of the use by counties
of a child and family services plan that combines the multi-year consol-
idated services plan required by this section and the  [county]  compre-
hensive  plan  required  by section four hundred twenty of the executive
law into a single plan.
  S 9. This act shall take effect January 1, 2014 and shall  expire  and
be deemed repealed on December 31, 2018.

                                 PART H
                          Intentionally omitted

                                 PART I
                          Intentionally omitted

                                 PART J

  Section 1.  Subdivisions 12 and 13 of section 425 of the real property
tax law, as amended by section 1 of part B of chapter 389 of the laws of
1997, paragraph (a) of subdivision 12 as amended by section 12 of part W
of  chapter  56  of the laws of 2010, paragraph (b) of subdivision 12 as
amended and paragraph (d) of subdivision 12 as added  by  section  1  of
part  N  of chapter 58 of the laws of 2011 and paragraph (d) of subdivi-
sion 13 as added by section 2 of part N of chapter 58  of  the  laws  of
2011, are amended and a new subdivision 14 is added to read as follows:
  12.  Revocation  of  prior  exemptions.  (a) Generally. In addition to
discontinuing the exemption on the  next  ensuing  tentative  assessment
roll,  if  the assessor determines that the property improperly received
the exemption on one or more of the  [three]  SIX  preceding  assessment
rolls,  PROVIDED  THAT  FINAL  ASSESSMENT ROLLS THAT WERE FILED PRIOR TO
APRIL FIRST, TWO THOUSAND TEN SHALL NOT BE SUBJECT TO THE PROVISIONS  OF
THIS  SUBDIVISION,  or  is advised by the department that the applicable
income standard was not  satisfied  with  regard  to  a  property  which
received the enhanced exemption on one or more of those rolls, he or she
shall  proceed  to  revoke  the  improperly  granted  prior exemption or
exemptions. If the assessor is advised that the department was unable to
verify the income eligibility of one or more participants in the  income
verification  program,  the  assessor  shall  mail  that person or those
persons a notice in a form prescribed by the department requesting  that
the  person  or  persons document their income in the same manner and to
the same extent as if the person or persons were submitting  an  initial
application  for  the enhanced STAR exemption. If such income documenta-
tion is not provided within forty-five days of such request, or  if  the
documentation  provided does not establish the eligibility of the person
or persons to the assessor's satisfaction, the assessor shall treat  the
exemption  as  an improperly granted exemption and proceed in the manner
provided by this subdivision.
  (b) Procedure. The assessed value attributable to each such improperly
granted exemption shall be entered separately on the next ensuing tenta-
tive or final assessment roll. The provisions of  section  five  hundred

S. 2607--D                         53                         A. 3007--D

fifty-one  or  five hundred fifty-three of this chapter, relating to the
entry by the assessor of omitted real property on a tentative  or  final
assessment  roll,  shall  apply  so far as practicable to the revocation
procedure IN THIS SUBDIVISION, except that:
  (I)  the  tax rate to be applied to any revoked exemption shall be the
tax rate that was applied to the  corresponding  assessment  roll,  [and
that]
  (II)  interest  shall  then  be added to each such product at the rate
prescribed by section nine hundred twenty-four-a of this chapter or such
other law as may be applicable for each month or portion  thereon  since
the  levy  of  taxes  upon  the  assessment roll or rolls upon which the
exemption was granted, AND
  (III) FOR IMPROPERLY GRANTED STAR EXEMPTIONS OCCURRING  ON  ASSESSMENT
ROLLS  FILED ON AND AFTER APRIL FIRST, TWO THOUSAND THIRTEEN, A PROCESS-
ING FEE OF FIVE HUNDRED DOLLARS SHALL  BE  ADDED.  SUCH  PROCESSING  FEE
IMPOSED  PURSUANT TO THIS SUBDIVISION SHALL BE RETAINED BY THE ASSESSING
UNIT AND THE STATE SHALL BE ENTITLED TO NO PART THEREOF.
  (c) Rights of owners. Each owner or owners shall be  given  notice  of
the  possible  revocation  UNDER  THIS SUBDIVISION of their exemption or
exemptions at the time and  in  the  manner  provided  by  section  five
hundred  ten  or  five hundred fifty-three of this chapter, and shall be
entitled to seek administrative and judicial review of  such  action  in
the manner provided by law.
  (d)  Applicability.  The  provisions  of this subdivision shall not be
applicable to the extent that  the  prior  exemptions  shall  have  been
renounced pursuant to section four hundred ninety-six of this article.
  (E)  RECORDS  RETENTION. NOTHING IN THIS SECTION SHALL BE CONSTRUED TO
IMPOSE UPON AN ASSESSOR A DUTY TO RETAIN RECORDS  FOR  A  PERIOD  LONGER
THAN  THE  PERIOD  PRESCRIBED  PURSUANT TO THE ARTS AND CULTURAL AFFAIRS
LAW, OR TO REQUIRE AN ASSESSOR TO  CONDUCT  A  REVIEW  OF  A  TAXPAYER'S
ELIGIBILITY  WHEN  THE  ASSESSOR HAS DISPOSED OF THE RELEVANT RECORDS IN
ACCORDANCE WITH SUCH LAW.
  13. Penalty for material misstatements. (a) Generally. [If the  asses-
sor  should determine, within three years from the filing of an applica-
tion for exemption pursuant to this section, that there was  a  material
misstatement  on  the  application,  he or she shall proceed to impose a
penalty tax against the property of one hundred dollars.] IF THE  ASSES-
SOR SHOULD DETERMINE THAT THERE WAS A MATERIAL MISSTATEMENT ON AN APPLI-
CATION FOR EXEMPTION PURSUANT TO THIS SECTION THAT WAS FILED ON OR AFTER
OCTOBER  FIRST,  TWO  THOUSAND  TEN, HE OR SHE SHALL PROCEED TO IMPOSE A
PENALTY TAX AGAINST THE PROPERTY. IF THE APPLICATION WAS FILED PRIOR  TO
OCTOBER  FIRST,  TWO  THOUSAND  THIRTEEN,  THE  PENALTY TAX SHALL BE ONE
HUNDRED DOLLARS, PROVIDED THAT THE ASSESSOR'S DETERMINATION MUST BE MADE
WITHIN THREE YEARS OF THE FILING OF THE APPLICATION. IF THE  APPLICATION
WAS  FILED ON OR AFTER OCTOBER FIRST, TWO THOUSAND THIRTEEN, THE PENALTY
TAX SHALL BE EITHER ONE HUNDRED DOLLARS OR TWENTY PERCENT OF THE IMPROP-
ERLY RECEIVED TAX SAVINGS, WHICHEVER IS GREATER NOT TO EXCEED TWO  THOU-
SAND FIVE HUNDRED DOLLARS, PROVIDED FURTHER THAT THE ASSESSOR'S DETERMI-
NATION  MUST  BE MADE WITHIN SIX YEARS OF THE FILING OF THE APPLICATION.
An application shall be deemed to contain a  material  misstatement  for
this purpose when either:
  (i)  the  applicant  or applicants claimed that the property was their
primary residence, when it was not; or
  (ii) THE APPLICANT OR APPLICANTS CLAIMED THAT  THEY  HAD  RELINQUISHED
THE  STAR  EXEMPTION  ON  THEIR FORMER PRIMARY RESIDENCE, WHEN THEY KNEW
THEY HAD NOT; OR

S. 2607--D                         54                         A. 3007--D

  (III) in the case of an application for  the  enhanced  exemption  for
property owned by senior citizens, the applicant or applicants misrepre-
sented  their age or income so as to appear eligible for such exemption,
when they were not.
  (b)  Procedure. When the assessor determines that a penalty tax should
be imposed, the penalty tax shall be entered on the next ensuing  tenta-
tive  or final assessment roll. The procedures set forth in section five
hundred fifty-one or five hundred fifty-three of this chapter,  relating
to  the entry by the assessor of omitted real property on a tentative or
final assessment roll, shall apply so far as practicable when imposing a
penalty tax pursuant to this subdivision. Each owner or owners shall  be
given notice of the possible imposition of a penalty tax at the time and
in  the  manner  provided  by  section  five hundred ten or five hundred
fifty-three of this chapter, and shall be entitled to  seek  administra-
tive  and  judicial review of such action in the manner provided by law.
Any penalty tax imposed pursuant to this subdivision shall  be  retained
by  the  assessing  unit  AND  THE  STATE  SHALL  BE ENTITLED TO NO PART
THEREOF.
  (c) Additional consequences. A penalty tax may be imposed pursuant  to
this  subdivision whether or not the improper exemption has been revoked
in the manner provided by this section. In addition, a person or persons
who are found to have made a material misstatement shall be disqualified
from further exemption pursuant to this section for a  period  of  [five
years,  and]  FIVE  YEARS IF SUCH MISSTATEMENT APPEARS ON AN APPLICATION
FILED PRIOR TO OCTOBER FIRST, TWO THOUSAND THIRTEEN, AND  SIX  YEARS  IF
SUCH  MISSTATEMENT  APPEARS ON AN APPLICATION FILED THEREAFTER. IN ADDI-
TION, SUCH PERSON OR PERSONS may be subject to prosecution  pursuant  to
the penal law.
  (d)  Applicability.  The  provisions  of this subdivision shall not be
applicable to the extent that  the  prior  exemptions  shall  have  been
renounced pursuant to section four hundred ninety-six of this article.
  (E)  RECORDS  RETENTION. NOTHING IN THIS SECTION SHALL BE CONSTRUED TO
IMPOSE UPON AN ASSESSOR A DUTY TO RETAIN RECORDS  FOR  A  PERIOD  LONGER
THAN  THE  PERIOD  PRESCRIBED  PURSUANT TO THE ARTS AND CULTURAL AFFAIRS
LAW, OR TO REQUIRE AN ASSESSOR TO  CONDUCT  A  REVIEW  OF  A  TAXPAYER'S
ELIGIBILITY  WHEN  THE  ASSESSOR HAS DISPOSED OF THE RELEVANT RECORDS IN
ACCORDANCE WITH SUCH LAW.
  14. STAR REGISTRATION PROGRAM. (A) THE  COMMISSIONER  SHALL  ESTABLISH
AND  IMPLEMENT  A PROGRAM UNDER WHICH ALL OWNERS OF PROPERTIES INITIALLY
APPLYING FOR AND  THOSE  RECEIVING  A  BASIC  STAR  EXEMPTION  SHALL  BE
REQUIRED  TO  BE REGISTERED WITH THE COMMISSIONER IN THE MANNER, AT SUCH
INTERVALS, AND BY THE DATE OR  DATES  PRESCRIBED  BY  THE  COMMISSIONER,
PROVIDED THAT:
  (I)  OWNERS  OF PROPERTIES THAT ARE RECEIVING THE BASIC STAR EXEMPTION
DURING THE TWO THOUSAND TWELVE--TWO THOUSAND THIRTEEN SCHOOL YEAR  SHALL
BE  REQUIRED  TO  INITIALLY REGISTER WITH THE COMMISSIONER NO LATER THAN
APRIL FIRST, TWO THOUSAND FOURTEEN;
  (II) THE COMMISSIONER SHALL PROVIDE WRITTEN NOTICE OF THE REGISTRATION
REQUIREMENT TO SUCH OWNERS AT LEAST SIXTY DAYS BEFORE  THE  REGISTRATION
DEADLINE ESTABLISHED PURSUANT TO SUBPARAGRAPH (I) OF THIS PARAGRAPH;
  (III)  AN  OWNER WHO FAILS TO REGISTER BY THE REGISTRATION DEADLINE SO
ESTABLISHED SHALL BE PERMITTED TO FILE A PETITION WITH THE  COMMISSIONER
REQUESTING  THAT  THE COMMISSIONER EXCUSE SUCH FAILURE AND ACCEPT A LATE
REGISTRATION, PROVIDED THAT SUCH PETITION SHALL EXPLAIN WHY SUCH FAILURE
OCCURRED AND SHALL BE FILED NO LATER THAN ONE YEAR AFTER SUCH DEADLINE;

S. 2607--D                         55                         A. 3007--D

  (IV) AFTER THE INITIAL REGISTRATION PROGRAM HAS BEEN IMPLEMENTED,  THE
COMMISSIONER  SHALL  ENDEAVOR  TO  CONFIRM THE CONTINUING ELIGIBILITY OF
STAR RECIPIENTS THROUGH MEANS OTHER THAN  RE-REGISTRATION,  SUCH  AS  BY
REVIEWING  THE  RELEVANT  DATA APPEARING ON PERSONAL INCOME TAX RETURNS.
THE  COMMISSIONER  MAY  REINSTATE THE REGISTRATION REQUIREMENT, PROVIDED
THAT IN NO EVENT MAY THE COMMISSIONER REQUIRE REGISTERED STAR RECIPIENTS
TO RE-REGISTER MORE THAN ONCE IN A THREE-YEAR PERIOD  IF  THEIR  PRIMARY
ADDRESSES HAVE NOT CHANGED.
  (B)  NOTWITHSTANDING ANY PROVISION OF LAW TO THE CONTRARY, THE COMMIS-
SIONER SHALL DIRECT THE REMOVAL OR DENIAL OF A STAR EXEMPTION IF  HE  OR
SHE FINDS THAT ONE OR MORE OF THE FOLLOWING CONDITIONS EXIST:
  (I)  ALL  OWNERS  OF  THE  PROPERTY  HAVE  NOT  BEEN REGISTERED BY THE
PRESCRIBED DATE AND NO ACCEPTABLE JUSTIFICATION HAS BEEN  PRESENTED  FOR
SUCH FAILURE;
  (II) THE OWNERS OF THE PROPERTY ARE IMPROPERLY RECEIVING MULTIPLE STAR
EXEMPTIONS;
  (III)  THE  PROPERTY DOES NOT SERVE AS THE PRIMARY RESIDENCE OF ANY OF
ITS OWNERS;
  (IV) THE APPLICABLE INCOME LIMITATION HAS BEEN EXCEEDED; OR
  (V) THE PROPERTY IS OTHERWISE INELIGIBLE FOR THE STAR EXEMPTION.
  (C) PRIOR TO DIRECTING THAT A STAR  EXEMPTION  BE  REMOVED  OR  DENIED
PURSUANT TO THIS SUBDIVISION, THE COMMISSIONER SHALL PROVIDE THE PROPER-
TY  OWNERS  WITH NOTICE AND AN OPPORTUNITY TO SHOW THE COMMISSIONER THAT
THE PROPERTY IS ELIGIBLE TO RECEIVE THE EXEMPTION. IF THE OWNERS FAIL TO
RESPOND TO SUCH NOTICE WITHIN FORTY-FIVE DAYS FROM THE MAILING  THEREOF,
OR  IF  THEIR  RESPONSE DOES NOT SHOW TO THE COMMISSIONER'S SATISFACTION
THAT THE PROPERTY IS ELIGIBLE FOR THE EXEMPTION, THE COMMISSIONER  SHALL
DIRECT  THE  ASSESSOR  OR  OTHER PERSON HAVING CUSTODY OR CONTROL OF THE
ASSESSMENT ROLL OR TAX ROLL TO REMOVE OR  DENY  THE  EXEMPTION,  AND  TO
CORRECT THE ROLL ACCORDINGLY. SUCH A DIRECTIVE SHALL BE BINDING UPON THE
ASSESSOR  OR  OTHER  PERSON  HAVING CUSTODY OR CONTROL OF THE ASSESSMENT
ROLL OR TAX ROLL, AND SHALL BE IMPLEMENTED BY SUCH  PERSON  WITHOUT  THE
NEED FOR FURTHER DOCUMENTATION OR APPROVAL.
  (D) NOTWITHSTANDING THE PROVISIONS OF PARAGRAPH (B) OF SUBDIVISION SIX
OF  THIS  SECTION,  NEITHER AN ASSESSOR NOR A BOARD OF ASSESSMENT REVIEW
HAS THE AUTHORITY TO CONSIDER AN OBJECTION TO THE REMOVAL OR  DENIAL  OF
AN  EXEMPTION  PURSUANT  TO  THIS SUBDIVISION, NOR MAY SUCH AN ACTION BE
REVIEWED IN A PROCEEDING TO REVIEW AN ASSESSMENT PURSUANT TO  TITLE  ONE
OR  ONE-A  OF  ARTICLE SEVEN OF THIS CHAPTER. SUCH AN ACTION MAY ONLY BE
CHALLENGED BEFORE THE DEPARTMENT OF TAXATION AND FINANCE.  IF A TAXPAYER
IS DISSATISFIED WITH THE DEPARTMENT'S FINAL DETERMINATION, THE  TAXPAYER
MAY  APPEAL  THAT  DETERMINATION TO THE STATE BOARD OF REAL PROPERTY TAX
SERVICES IN A FORM AND MANNER TO BE PRESCRIBED BY THE COMMISSIONER. SUCH
APPEAL SHALL BE FILED WITHIN FORTY-FIVE DAYS FROM THE  ISSUANCE  OF  THE
DEPARTMENT'S FINAL DETERMINATION. IF DISSATISFIED WITH THE STATE BOARD'S
DETERMINATION, THE TAXPAYER MAY SEEK JUDICIAL REVIEW THEREOF PURSUANT TO
ARTICLE  SEVENTY-EIGHT OF THE CIVIL PRACTICE LAW AND RULES. THE TAXPAYER
SHALL OTHERWISE HAVE NO RIGHT TO CHALLENGE SUCH FINAL DETERMINATION IN A
COURT ACTION, ADMINISTRATIVE PROCEEDING  OR  ANY  OTHER  FORM  OF  LEGAL
RECOURSE  AGAINST  THE  COMMISSIONER,  THE  DEPARTMENT  OF  TAXATION AND
FINANCE, THE STATE BOARD OF REAL PROPERTY TAX SERVICES, THE ASSESSOR  OR
OTHER  PERSON  HAVING  CUSTODY  OR CONTROL OF THE ASSESSMENT ROLL OR TAX
ROLL REGARDING SUCH ACTION.
  (E) THE COMMISSIONER SHALL BE ENTITLED TO UTILIZE INFORMATION FROM ANY
FILINGS OF A TAXPAYER WITH THE DEPARTMENT OF  TAXATION  AND  FINANCE  IN
CONJUNCTION WITH THE STAR REGISTRATION PROGRAM.

S. 2607--D                         56                         A. 3007--D

  S  2.  Subdivision 2 of section 200-a of the real property tax law, as
added by section 7 of part W of chapter 56  of  the  laws  of  2010,  is
amended to read as follows:
  2.  The  state  board  of  real  property  tax services shall have the
following powers in relation to real property tax administration:
  (a) The power to determine the final special franchise value,  special
franchise  assessment,  railroad ceiling, state equalization rate or any
other equalization product established  pursuant  to  this  chapter  for
which  a  complaint has been filed, as provided by sections four hundred
eighty-nine-o, four hundred eighty-nine-ll, six hundred fourteen, twelve
hundred ten, twelve hundred fifty-three, and twelve hundred  sixty-three
of this chapter;
  (b) The power to hear and determine reviews relating to determinations
made  by  county  equalization  agencies,  as provided by sections eight
hundred sixteen and eight hundred eighteen of this chapter; AND
  (C) THE POWER TO HEAR AND DETERMINE REVIEWS RELATING TO DETERMINATIONS
OF STAR ELIGIBILITY MADE BY THE DEPARTMENT OF TAXATION  AND  FINANCE  AS
PROVIDED BY SECTION FOUR HUNDRED TWENTY FIVE OF THIS CHAPTER.
  S 3. This act shall take effect April 1, 2013.

                                 PART K
                          Intentionally omitted

                                 PART L
                          Intentionally omitted

                                 PART M

  Section  1.  Notwithstanding  any other provision of law, and provided
that the reserves in the project pool insurance account of the  mortgage
insurance fund created pursuant to section 2429-b of the public authori-
ties  law  are  sufficient  to attain and maintain the credit rating (as
determined by the agency) required to accomplish the  purposes  of  such
account, the board of directors of the state of New York mortgage agency
shall  authorize the transfer from the project pool insurance account of
the mortgage insurance fund to the state treasury  for  deposit  in  the
general  fund a total sum not to exceed one hundred four million dollars
as soon as practicable but no later than March 31, 2014.
  S 2. Notwithstanding any other provision of  law,  the  housing  trust
fund  corporation  (the  corporation)  may  provide, for purposes of the
neighborhood preservation program, a sum not  to  exceed  eight  million
four  hundred  seventy-nine  thousand dollars for the fiscal year ending
March 31, 2014. Notwithstanding any other provision of law, and provided
that the reserves in the project pool insurance account of the  mortgage
insurance fund created pursuant to section 2429-b of the public authori-
ties  law  are  sufficient  to attain and maintain the credit rating (as
determined by the agency) required to accomplish the  purposes  of  such
account, the board of directors of the state of New York mortgage agency
shall  authorize the transfer from the project pool insurance account of
the mortgage insurance fund to the housing trust fund  corporation  (the
corporation),  for the purposes of reimbursing any costs associated with
neighborhood preservation program contracts authorized by this  section,
a  total sum not to exceed eight million four hundred seventy-nine thou-
sand dollars as soon as practicable but no later than June 30, 2013.

S. 2607--D                         57                         A. 3007--D

  S 3. Notwithstanding any other provision of  law,  the  housing  trust
fund  corporation  (the  corporation)  may  provide, for purposes of the
rural preservation program, a sum  not  to  exceed  three  million  five
hundred  thirty-nine  thousand  dollars for the fiscal year ending March
31,  2014. Notwithstanding any other provision of law, and provided that
the reserves in the project  pool  insurance  account  of  the  mortgage
insurance fund created pursuant to section 2429-b of the public authori-
ties  law  are  sufficient  to attain and maintain the credit rating (as
determined by the agency) required to accomplish the  purposes  of  such
account, the board of directors of the state of New York mortgage agency
shall  authorize the transfer from the project pool insurance account of
the mortgage insurance fund to the housing trust fund  corporation  (the
corporation),  for the purposes of reimbursing any costs associated with
rural preservation program contracts authorized by this section, a total
sum not to  exceed  three  million  five  hundred  thirty-nine  thousand
dollars as soon as practicable but no later than June 30, 2013.
  S  4.  Notwithstanding  any  other provision of law, the housing trust
fund corporation (the corporation) may  provide,  for  purposes  of  the
rural rental assistance program, a sum not to exceed twenty million four
hundred  thousand  dollars  for  the  fiscal year ending March 31, 2014.
Notwithstanding any other  provision  of  law,  and  provided  that  the
reserves in the project pool insurance account of the mortgage insurance
fund  created  pursuant  to section 2429-b of the public authorities law
are sufficient to attain and maintain the credit rating  (as  determined
by  the agency) required to accomplish the purposes of such account, the
board of directors of the  state  of  New  York  mortgage  agency  shall
authorize  the  transfer  from the project pool insurance account of the
mortgage insurance fund to  the  housing  trust  fund  corporation  (the
corporation),  for the purposes of reimbursing any costs associated with
rural rental assistance program contracts authorized by this section,  a
total  sum not to exceed twenty million four hundred thousand dollars as
soon as practicable but no later than June 30,  2013.    Notwithstanding
any  other  provision  of  law,  all  current  and existing rural rental
assistance program contracts may  be  assigned  to  the  corporation  to
administer  as  soon as practicable. Notwithstanding any other provision
of law, such funds  may  be  used  by  the  corporation  in  support  of
contracts  scheduled  to  expire in 2013-14 for as many as 10 additional
years; in support of contracts for new eligible projects  for  a  period
not  to exceed 5 years; and in support of contracts which reach their 25
year maximum in and/or prior to 2013-14 for an additional one year peri-
od.
  S 5. Notwithstanding any other provision of law, the  housing  finance
agency  may  provide,  for  costs  associated with the rehabilitation of
Mitchell Lama housing projects, a sum not to  exceed  seventeen  million
five  hundred  eighty-two  thousand  dollars  for the fiscal year ending
March 31, 2014. Notwithstanding any other provision of law, and provided
that the reserves in the project pool insurance account of the  mortgage
insurance fund created pursuant to section 2429-b of the public authori-
ties  law  are  sufficient  to attain and maintain the credit rating (as
determined by the agency) required to accomplish the  purposes  of  such
account, the board of directors of the state of New York mortgage agency
shall  authorize the transfer from the project pool insurance account of
the mortgage insurance fund to  the  housing  finance  agency,  for  the
purposes  of reimbursing any costs associated with Mitchell Lama housing
projects authorized by this section, a total sum not to exceed seventeen

S. 2607--D                         58                         A. 3007--D

million five hundred eighty-two thousand dollars as soon as  practicable
but no later than March 30, 2014.
  S  6.  Notwithstanding  any  other provision of law, the housing trust
fund corporation (the corporation) may  provide,  for  purposes  of  the
rural  and  urban  community investment fund program created pursuant to
article XXVII of the private housing finance law, a sum  not  to  exceed
three  million  five hundred thousand dollars for the fiscal year ending
March 31, 2014. Notwithstanding any other provision of law, and provided
that the reserves in the project pool insurance account of the  mortgage
insurance fund created pursuant to section 2429-b of the public authori-
ties  law  are  sufficient  to attain and maintain the credit rating (as
determined by the agency) required to accomplish the  purposes  of  such
account, the board of directors of the state of New York mortgage agency
shall  authorize the transfer from the project pool insurance account of
the mortgage insurance fund to the housing trust fund  corporation  (the
corporation),  for the purposes of reimbursing any costs associated with
rural and urban community investment fund program  contracts  authorized
by  this  section,  a total sum not to exceed three million five hundred
thousand dollars as soon as practicable but  no  later  than  March  31,
2014.
  S  7.  Notwithstanding  any  other provision of law, the housing trust
fund corporation (the corporation) may  provide,  for  the  purposes  of
carrying out the provisions of the low income housing trust fund program
created  pursuant to article XVIII of the private housing finance law, a
sum not to exceed three million dollars for the fiscal year ending March
31, 2014. Notwithstanding any other provision of law, and provided  that
the  reserves  in  the  project  pool  insurance account of the mortgage
insurance fund created pursuant to section 2429-b of the public authori-
ties law are sufficient to attain and maintain  the  credit  rating  (as
determined  by  the  agency) required to accomplish the purposes of such
account, the board of directors of the state of New York mortgage agency
shall authorize the transfer from the project pool insurance account  of
the  mortgage  insurance fund to the housing trust fund corporation (the
corporation), for the purposes of carrying out the provisions of the low
income housing trust fund program created pursuant to article  XVIII  of
the  private housing finance law authorized by this section, a total sum
not to exceed three million dollars as soon as practicable but no  later
than March 31, 2014. Such funds shall only be used to support housing in
a  metropolitan  statistical  area for persons and families whose income
does not exceed sixty percent of the median income for such metropolitan
statistical area, or housing in areas outside of a metropolitan  statis-
tical  area  for  persons or families whose income does not exceed sixty
percent of the median income for the state.
  S 8. Notwithstanding any other provision of  law,  the  housing  trust
fund  corporation  (the  corporation)  may  provide, for the purposes of
carrying out the provisions of the  urban  initiatives  program  created
pursuant  to article XVI-A of the private housing finance law, a sum not
to exceed two million dollars for the fiscal year ending March 31, 2014.
Notwithstanding any other  provision  of  law,  and  provided  that  the
reserves in the project pool insurance account of the mortgage insurance
fund  created  pursuant  to section 2429-b of the public authorities law
are sufficient to attain and maintain the credit rating  (as  determined
by  the agency) required to accomplish the purposes of such account, the
board of directors of the  state  of  New  York  mortgage  agency  shall
authorize  the  transfer  from the project pool insurance account of the
mortgage insurance fund to  the  housing  trust  fund  corporation  (the

S. 2607--D                         59                         A. 3007--D

corporation),  for  the  purposes  of carrying out the urban initiatives
program created pursuant to provisions of article XVI-A of  the  private
housing  finance  law  authorized  by  this  section, a total sum not to
exceed  two  million  dollars  as  soon as practicable but no later than
March 31, 2014.
  S 9. Notwithstanding any other provision of  law,  the  housing  trust
fund  corporation  (the  corporation)  may  provide, for purposes of the
rural area revitalization program created pursuant to article XVII-B  of
the  private  housing  finance law, a sum not to exceed one million five
hundred thousand dollars for the fiscal  year  ending  March  31,  2014.
Notwithstanding  any  other  provision  of  law,  and  provided that the
reserves in the project pool insurance account of the mortgage insurance
fund created pursuant to section 2429-b of the  public  authorities  law
are  sufficient  to attain and maintain the credit rating (as determined
by the agency) required to accomplish the purposes of such account,  the
board  of  directors  of  the  state  of  New York mortgage agency shall
authorize the transfer from the project pool insurance  account  of  the
mortgage  insurance  fund  to  the  housing  trust fund corporation (the
corporation), for the purposes of reimbursing any costs associated  with
rural  area revitalization program contracts authorized by this section,
a total sum not to exceed one million five hundred thousand  dollars  as
soon as practicable but no later than March 31, 2014.
  S 10. This act shall take effect immediately.

                                 PART N

  Section  1.  Section  21  of  the labor law is amended by adding a new
subdivision 14 to read as follows:
  14. SHALL DO ALL THINGS NECESSARY FOR THE OPERATION OF  THE  NEW  YORK
STATE  DATA CENTER ESTABLISHED IN THE DEPARTMENT IN COOPERATION WITH THE
UNITED STATES BUREAU OF THE CENSUS; TO COOPERATE WITH OTHER STATE  AGEN-
CIES,  UNIVERSITIES,  REGIONAL  ORGANIZATIONS,  BOARDS, COMMISSIONS, AND
OTHER ENTITIES IN THE DISSEMINATION OF  SOCIO-ECONOMIC  INFORMATION  AND
DATA THROUGH THE NEW YORK STATE DATA CENTER PROGRAM; IN RELATION TO SUCH
INFORMATION  AND  DATA,  TO  PROVIDE TECHNICAL ASSISTANCE TO OTHER STATE
AGENCIES, UNIVERSITIES, REGIONAL ORGANIZATIONS, BOARDS, COMMISSIONS  AND
OTHER ENTITIES; AND TO PREPARE ESTIMATES AND THE OFFICIAL PROJECTIONS OF
POPULATION, HOUSEHOLDS AND OTHER CHARACTERISTICS OF THE STATE FOR USE BY
ALL  STATE AGENCIES.   ALL EMPLOYEES TRANSFERRED TO THE DEPARTMENT SHALL
BE TRANSFERRED WITHOUT FURTHER EXAMINATION OR QUALIFICATION TO THE  SAME
OR  SIMILAR  TITLES  AND  SHALL REMAIN IN THE SAME COLLECTIVE BARGAINING
UNITS AND SHALL RETAIN THEIR RESPECTIVE CIVIL  SERVICE  CLASSIFICATIONS,
STATUS  AND  RIGHTS  PURSUANT  TO  THEIR COLLECTIVE BARGAINING UNITS AND
COLLECTIVE BARGAINING AGREEMENTS.
  S 2. Subdivision 17 of section 100 of the economic development law  is
REPEALED.
  S 3. This act shall take effect immediately.

                                 PART O

  Section  1. Paragraph (a) of subdivision 1 of section 518 of the labor
law, as amended by chapter 589 of the laws of 1998, is amended  to  read
as follows:
  (a)  "Wages"  means  all remuneration paid, except that such term does
not include remuneration paid to an employee by an employer after  eight
thousand  five  hundred  dollars have been paid to such employee by such

S. 2607--D                         60                         A. 3007--D

employer with respect to employment during  any  calendar  year,  EXCEPT
THAT  SUCH  TERM DOES NOT INCLUDE REMUNERATION PAID TO AN EMPLOYEE BY AN
EMPLOYER WITH RESPECT TO EMPLOYMENT DURING ANY CALENDAR  YEAR  BEGINNING
WITH THE FIRST DAY OF
                                        THAT EXCEEDS
             JANUARY 2014                  $10,300
             JANUARY 2015                  $10,500
             JANUARY 2016                  $10,700
             JANUARY 2017                  $10,900
             JANUARY 2018                  $11,100
             JANUARY 2019                  $11,400
             JANUARY 2020                  $11,600
             JANUARY 2021                  $11,800
             JANUARY 2022                  $12,000
             JANUARY 2023                  $12,300
             JANUARY 2024                  $12,500
             JANUARY 2025                  $12,800
             JANUARY 2026                  $13,000
AND  EACH  YEAR  THEREAFTER  ON  THE  FIRST  DAY OF JANUARY THAT EXCEEDS
SIXTEEN PERCENT OF THE STATE'S AVERAGE ANNUAL WAGE AS DETERMINED BY  THE
COMMISSIONER  ON  AN ANNUAL BASIS PURSUANT TO SECTION FIVE HUNDRED TWEN-
TY-NINE OF THIS ARTICLE; PROVIDED, HOWEVER,  THAT  IN  CALCULATING  SUCH
MAXIMUM AMOUNT OF REMUNERATION, THE AMOUNT ARRIVED AT BY MULTIPLYING THE
STATE'S AVERAGE ANNUAL WAGE TIMES SIXTEEN PERCENT SHALL BE ROUNDED UP TO
THE  NEAREST HUNDRED DOLLARS. IN NO EVENT SHALL THE STATE'S ANNUAL AVER-
AGE WAGE BE REDUCED FROM THE AMOUNT DETERMINED IN THE PREVIOUS YEAR. The
term "employment" includes for the purposes of this subdivision services
constituting employment  under  any  unemployment  compensation  law  of
another state or the United States.
  S  2.  Subdivision 1, paragraph (a) of subdivision 2 and subdivision 6
of section 527 of the labor law, subdivision 1 as amended by chapter 413
of the laws of 2003, paragraph (a) of subdivision 2 as amended by  chap-
ter  5  of the laws of 2000 and subdivision 6 as added by chapter 589 of
the laws of 1998, are amended to read as follows:
  1. Basic condition. "Valid original claim"  is  a  claim  filed  by  a
claimant  who  meets  the following qualifications: (a) is able to work,
and available for work; (b) is not subject to  any  disqualification  or
suspension  under  this  article;  (c) his OR HER previously established
benefit year, if any, has expired; (d) has  been  paid  remuneration  by
employers  liable  for contributions or for payments in lieu of contrib-
utions under this article, other than employers from whom  the  claimant
lost  employment  [under  conditions  which  would be] AND FOR WHICH THE
COMMISSIONER  MAKES  A  DETERMINATION  disqualifying  THE  CLAIMANT  FOR
MISCONDUCT  pursuant  to  [subdivision]  SUBDIVISIONS  three  AND SIX of
section five hundred ninety-three of this article, for employment during
at least two calendar quarters of the base period, with remuneration  of
one and one-half times the high calendar quarter [earnings] REMUNERATION
within  the base period and with at least [one thousand six] TWO HUNDRED
TWENTY-ONE TIMES THE MINIMUM WAGE ESTABLISHED UNDER SUBDIVISION  ONE  OF
SECTION  SIX HUNDRED FIFTY-TWO OF THIS CHAPTER ROUNDED DOWN TO THE NEAR-
EST ONE hundred dollars of such remuneration being paid during the  high
calendar  quarter of such base period. For purposes of this section, the
[earnings] REMUNERATION in the high calendar quarter of the base  period
used  in  determining  a valid original claim shall not exceed an amount
equal to twenty-two times the maximum  benefit  rate  as  set  forth  in

S. 2607--D                         61                         A. 3007--D

subdivision  five of section five hundred ninety of this article for all
individuals.
  (a)  An  individual  who  is  unable to file a valid original claim in
accordance with subdivision one of this section, files a valid  original
claim  by  meeting  the qualifications enumerated in paragraphs (a), (b)
and (c) of subdivision one of this  section  and  by  having  been  paid
remuneration  by  employers  liable for contributions or for payments in
lieu of contributions under this article, other than employers from whom
the claimant lost employment [under conditions which are] AND FOR  WHICH
THE  COMMISSIONER  MAKES  A DETERMINATION disqualifying THE CLAIMANT FOR
MISCONDUCT pursuant to  [subdivision]  SUBDIVISIONS  three  AND  SIX  of
section five hundred ninety-three of this article, for employment during
at  least two calendar quarters of the base period, with remuneration of
one and one-half times the high calendar quarter [earnings] REMUNERATION
within the base period and with at least [one thousand six] TWO  HUNDRED
TWENTY-ONE  TIMES  THE MINIMUM WAGE ESTABLISHED UNDER SUBDIVISION ONE OF
SECTION SIX HUNDRED FIFTY-TWO OF THIS CHAPTER ROUNDED DOWN TO THE  NEAR-
EST  ONE hundred dollars of such remuneration being paid during the high
calendar quarter of such base period. For purposes of this section,  the
[earnings]  REMUNERATION in the high calendar quarter of the base period
used in determining a valid original claim shall not  exceed  an  amount
equal  to  twenty-two  times  the  maximum  benefit rate as set forth in
subdivision five of section five hundred ninety of this article for  all
individuals.
  6.  Work  requirement.  An  individual  who has filed a previous valid
original claim pursuant to this section must have worked  in  employment
and  been  paid  remuneration  for such work since the beginning of such
previous claim in an amount equal to  at  least  [five]  TEN  times  the
claimant's  weekly benefit rate in order to be able to file a subsequent
valid original claim.
  S 3. The labor law is amended by adding a new section 529 to  read  as
follows:
  S 529. AVERAGE ANNUAL WAGE; AVERAGE WEEKLY WAGE. 1. THE "AVERAGE ANNU-
AL  WAGE"  SHALL BE THE AVERAGE ANNUAL WAGE OF THE STATE OF NEW YORK FOR
THE PREVIOUS CALENDAR YEAR AS DETERMINED BY THE  COMMISSIONER  NO  LATER
THAN THE THIRTY-FIRST DAY OF MAY OF EACH YEAR.
  2.  THE  "AVERAGE WEEKLY WAGE" SHALL BE THE AVERAGE WEEKLY WAGE OF THE
STATE OF NEW YORK FOR THE PREVIOUS CALENDAR YEAR AS  DETERMINED  BY  THE
COMMISSIONER NO LATER THAN THE THIRTY-FIRST DAY OF MAY OF EACH YEAR.
  S  4. Subdivisions 1 and 3 of section 576 of the labor law, as amended
by chapter 49 of the laws of 1966, are amended to read as follows:
  1. Determinations of liability for contributions.  No determination of
liability for contributions pursuant to section five  hundred  sixty  of
this  article  shall be made more than three years after the last day of
the calendar year in which the wages on which such  liability  is  based
were paid, EXCEPT AS PROVIDED IN SUBDIVISION THREE OF THIS SECTION.
  3.  Determinations  of LIABILITY FOR AND amount of contributions after
contest. If an  employer  contests  a  determination  of  liability  for
contributions,  a  determination  of  LIABILITY  FOR  AND  the amount of
contributions due FOR THE CONTESTED PERIOD AND SUBSEQUENT PERIODS may be
made at any time prior to the latter of the following:
  (a) three years after the last day of the calendar year in  which  the
wages on which such contributions are based were paid; or
  (b)  two  years  after the last day of the calendar year in which such
determination of liability for contributions  became  final  and  irrev-
ocable.

S. 2607--D                         62                         A. 3007--D

  S 5. Paragraph (a) of subdivision 1 of section 577 of the labor law is
amended by adding a new subparagraph 9 to read as follows:
  (9) MONIES PURSUANT TO SECTION FIVE HUNDRED NINETY-FOUR OF THIS TITLE.
  S  6.  Subparagraph 3 of paragraph (e) of subdivision 1 of section 581
of the labor law, as amended by chapter 589 of  the  laws  of  1998,  is
amended to read as follows:
  (3)  An employer's account shall not be charged, and the charges shall
instead  be made to the general account, for benefits paid to a claimant
after the expiration of  a  period  of  disqualification  from  benefits
following  a  final determination that the claimant lost employment with
the employer through misconduct or voluntary  separation  of  employment
without  good  cause  within the meaning of section five hundred ninety-
three of this article and the charges are attributable  to  remuneration
paid during  the claimant's base period of employment with such employer
prior  to  the  claimant's loss of employment with such employer through
misconduct or voluntary separation of  employment  without  good  cause,
PROVIDED,  HOWEVER,  THAT  AN  EMPLOYER SHALL NOT BE RELIEVED OF CHARGES
PURSUANT TO THIS SUBPARAGRAPH IF AN  EMPLOYER  OR  ITS  AGENT  FAILS  TO
SUBMIT  INFORMATION RESULTING IN AN OVERPAYMENT PURSUANT TO SECTION FIVE
HUNDRED NINETY-SEVEN OF THIS ARTICLE.
  S 7. Paragraph (a) of subdivision 2 of section 581 of the  labor  law,
as  added  by  chapter  413  of  the laws of 2003, is amended to read as
follows:
  (a) Each qualified  employer's  rate  of  contribution  shall  be  the
percentage  shown  in the column headed by the size of the fund index as
of the computation date and on the same line with his or her negative or
positive employer's account percentage, except that if within the  three
payroll  years  preceding  the  computation  date any part of a negative
balance has been transferred from any employer's account as a charge  to
the  general  account  pursuant  to  the  provisions of paragraph (e) of
subdivision one of this section such  employer's  rate  of  contribution
shall  be the maximum contribution rate as shown in the column headed by
the size of fund index;

                           Size of Fund Index
Employer's
Account
Percentage  Less  0%  0.5% 1.0% 1.5% 2.0% 2.5% 3.0% 3.5% 4.0% 4.5% 5.0%
            Than but  but  but  but  but  but  but  but  but  but  or
            0%   less less less less less less less less less less more
                 than than than than than than than than than than
                 0.5% 1.0% 1.5% 2.0% 2.5% 3.0% 3.5% 4.0% 4.5% 5.0%

Negative

21.0%
or more     8.90 8.70 8.50 8.30 8.10 7.30 6.90 6.50 6.20 6.10 6.00 5.90
20.5%
or more
but less
than 21.0%  8.80 8.60 8.40 8.20 8.00 7.20 6.80 6.40 6.10 6.00 5.90 5.80
20.0%
or more
but less
than 20.5%  8.70 8.50 8.30 8.10 7.90 7.10 6.70 6.30 6.00 5.90 5.80 5.70

S. 2607--D                         63                         A. 3007--D

19.5%
or more
but less
than 20.0%  8.60 8.40 8.20 8.00 7.80 7.00 6.60 6.20 5.90 5.80 5.70 5.60
19.0%
or more
but less
than 19.5%  8.50 8.30 8.10 7.90 7.70 6.90 6.50 6.10 5.80 5.70 5.60 5.50
18.5%
or more
but less
than 19.0%  8.40 8.20 8.00 7.80 7.60 6.80 6.40 6.00 5.70 5.60 5.50 5.40
18.0%
or more
but less
than 18.5%  8.30 8.10 7.90 7.70 7.50 6.70 6.30 5.90 5.60 5.50 5.40 5.30
17.5%
or more
but less
than 18.0%  8.20 8.00 7.80 7.60 7.40 6.60 6.20 5.80 5.50 5.40 5.30 5.20
17.0%
or more
but less
than 17.5%  8.10 7.90 7.70 7.50 7.30 6.50 6.10 5.70 5.40 5.30 5.20 5.10
16.5%
or more
but less
than 17.0%  8.00 7.80 7.60 7.40 7.20 6.40 6.00 5.60 5.30 5.20 5.10 5.00
16.0%
or more
but less
than 16.5%  7.90 7.70 7.50 7.30 7.10 6.30 5.90 5.50 5.20 5.10 5.00 4.90
15.5%
or more
but less
than 16.0%  7.80 7.60 7.40 7.20 7.00 6.20 5.80 5.40 5.10 5.00 4.90 4.80
15.0%
or more
but less
than 15.5%  7.70 7.50 7.30 7.10 6.90 6.10 5.70 5.30 5.00 4.90 4.80 4.70
14.5%
or more
but less
than 15.0%  7.60 7.40 7.20 7.00 6.80 6.00 5.60 5.20 4.90 4.80 4.70 4.60
14.0%
or more
but less
than 14.5%  7.50 7.30 7.10 6.90 6.70 5.90 5.50 5.10 4.80 4.70 4.60 4.50
13.5%
or more
but less
than 14.0%  7.40 7.20 7.00 6.80 6.60 5.80 5.40 5.00 4.70 4.60 4.50 4.40
13.0%
or more
but less
than 13.5%  7.30 7.10 6.90 6.70 6.50 5.70 5.30 4.90 4.60 4.50 4.40 4.30

S. 2607--D                         64                         A. 3007--D

12.5%
or more
but less
than 13.0%  7.20 7.00 6.80 6.60 6.40 5.60 5.20 4.80 4.50 4.40 4.30 4.20
12.0%
or more
but less
than 12.5%  7.10 6.90 6.70 6.50 6.30 5.50 5.10 4.70 4.40 4.30 4.20 4.10
11.5%
or more
but less
than 12.0%  7.00 6.80 6.60 6.40 6.20 5.40 5.00 4.60 4.30 4.20 4.10 4.00
11.0%
or more
but less
than 11.5%  6.90 6.70 6.50 6.30 6.10 5.30 4.90 4.50 4.20 4.10 4.00 3.90
10.5%
or more
but less
than 11.0%  6.80 6.60 6.40 6.20 6.00 5.20 4.80 4.40 4.10 4.00 3.90 3.80
10.0%
or more
but less
than 10.5%  6.70 6.50 6.30 6.10 5.90 5.10 4.70 4.30 4.00 3.90 3.80 3.70
9.5%
or more
but less
than 10.0%  6.60 6.40 6.20 6.00 5.80 5.00 4.60 4.20 3.90 3.80 3.70 3.60
9.0%
or more
but less
than 9.5%   6.50 6.30 6.10 5.90 5.70 4.90 4.50 4.10 3.80 3.70 3.60 3.50
8.5%
or more
but less
than 9.0%   6.40 6.20 6.00 5.80 5.60 4.80 4.40 4.00 3.70 3.60 3.50 3.40
8.0%
or more
but less
than 8.5%   6.30 6.10 5.90 5.70 5.50 4.70 4.30 3.90 3.60 3.50 3.40 3.30
7.0%
or more
but less
than 8.0%   6.20 6.00 5.80 5.60 5.40 4.60 4.20 3.80 3.50 3.40 3.30 3.20
6.0%
or more
but less
than 7.0%   6.10 5.90 5.70 5.50 5.30 4.50 4.10 3.70 3.40 3.30 3.20 3.10
5.0%
or more
but less
than 6.0%   6.00 5.80 5.60 5.40 5.20 4.40 4.00 3.60 3.30 3.20 3.10 3.00
4.0%
or more
but less
than 5.0%   5.90 5.70 5.50 5.30 5.10 4.30 3.90 3.50 3.20 3.10 3.00 2.90

S. 2607--D                         65                         A. 3007--D

3.0%
or more
but less
than 4.0%   5.60 5.40 5.20 5.00 4.80 4.20 3.80 3.40 3.10 3.00 2.90 2.80
2.0%
or more
but less
than 3.0%   5.50 5.30 5.10 4.90 4.70 4.10 3.70 3.30 3.00 2.90 2.80 2.70
1.0%
or more
but less
than 2.0%   5.40 5.20 5.00 4.80 4.60 4.00 3.60 3.20 2.90 2.80 2.70 2.60
Less
than 1.0%   5.20 5.00 4.80 4.60 4.40 3.80 3.40 3.00 2.70 2.60 2.50 2.40

Positive

Less
than 1.0%   4.10 3.90 3.70 3.50 3.30 2.90 2.50 2.10 1.90 1.80 1.70 1.60
1.0%
or more
but less
than 2.0%   4.00 3.80 3.60 3.40 3.20 2.80 2.40 2.00 1.80 1.70 1.60 1.50
2.0%
or more
but less
than 3.0%   3.90 3.70 3.50 3.30 3.10 2.70 2.30 1.90 1.70 1.60 1.50 1.40
3.0%
or more
but less
than 4.0%   3.80 3.60 3.40 3.20 3.00 2.60 2.20 1.80 1.60 1.50 1.40 1.30
4.0%
or more
but less
than 5.0%   3.70 3.50 3.30 3.10 2.90 2.50 2.10 1.70 1.50 1.40 1.30 1.20
5.0%
or more
but less
than 5.5%   3.60 3.40 3.20 3.00 2.80 2.40 2.00 1.60 1.40 1.30 1.20 1.10
5.5%
or more but
less than
5.75%       3.50 3.30 3.10 2.90 2.70 2.30 1.90 1.50 1.30 1.20 1.10 1.00
5.75%
or more
but less
than 6.0%   3.40 3.20 3.00 2.80 2.60 2.20 1.80 1.40 1.20 1.10 1.00 0.90
6.0%
or more but
less than
6.25%       3.30 3.10 2.90 2.70 2.50 2.10 1.70 1.30 1.10 1.00 0.90 0.80
6.25%
or more
but less
than 6.5%   3.20 3.00 2.80 2.60 2.40 2.00 1.60 1.20 1.00 0.90 0.80 0.70
6.5%

S. 2607--D                         66                         A. 3007--D

or more but
less than
6.75%       3.10 2.90 2.70 2.50 2.30 1.90 1.50 1.10 0.90 0.80 0.70 0.60
6.75%
or more
but less
than 7.0%   3.00 2.80 2.60 2.40 2.20 1.80 1.40 1.00 0.80 0.70 0.60 0.50
7.0%
or more but
less than
7.25%       2.90 2.70 2.50 2.30 2.10 1.70 1.30 0.90 0.70 0.60 0.50 0.40
7.25%
or more
but less
than 7.5%   2.80 2.60 2.40 2.20 2.00 1.60 1.20 0.80 0.60 0.50 0.40 0.30
7.5%
or more but
less than
7.75%       2.70 2.50 2.30 2.10 1.90 1.50 1.10 0.70 0.50 0.40 0.30 0.20
7.75%
or more
but less
than 8.0%   2.60 2.40 2.20 2.00 1.80 1.40 1.00 0.60 0.40 0.30 0.20 0.10
8.0%
or more but
less than
8.25%       2.50 2.30 2.10 1.90 1.70 1.30 0.90 0.50 0.30 0.20 0.10 0.00
8.25%
or more
but less
than 8.5%   2.40 2.20 2.00 1.80 1.60 1.20 0.80 0.40 0.20 0.10 0.00 0.00
8.5%
or more but
less than
8.75%       2.30 2.10 1.90 1.70 1.50 1.10 0.70 0.30 0.10 0.00 0.00 0.00
8.75%
or more
but less
than 9.0%   2.20 2.00 1.80 1.60 1.40 1.00 0.60 0.20 0.00 0.00 0.00 0.00
9.0%
or more but
less than
9.25%       2.10 1.90 1.70 1.50 1.30 0.90 0.50 0.10 0.00 0.00 0.00 0.00
9.25%
or more
but less
than 9.5%   2.00 1.80 1.60 1.40 1.20 0.80 0.40 0.00 0.00 0.00 0.00 0.00
9.5%
or more but
less than
9.75%       1.90 1.70 1.50 1.30 1.10 0.70 0.30 0.00 0.00 0.00 0.00 0.00
9.75%
or more but
less than
10.0%       1.80 1.60 1.40 1.20 1.00 0.60 0.20 0.00 0.00 0.00 0.00 0.00
10.0%

S. 2607--D                         67                         A. 3007--D

or more but
less than
10.25%      1.70 1.50 1.30 1.10 0.90 0.50 0.10 0.00 0.00 0.00 0.00 0.00
10.25%
or more but
less than
10.5%       1.60 1.40 1.20 1.00 0.80 0.40 0.00 0.00 0.00 0.00 0.00 0.00
10.5%
or more [but
less than
10.75%]     1.50 1.30 1.10 0.90 0.70 0.30 0.00 0.00 0.00 0.00 0.00 0.00
[10.75%
or more but
less than
11.0%       1.40 1.20 1.00 0.80 0.60 0.20 0.00 0.00 0.00 0.00 0.00 0.00
11.0%
or more but
less than
11.25%      1.30 1.10 0.90 0.70 0.50 0.10 0.00 0.00 0.00 0.00 0.00 0.00
11.25%
or more but
less than
11.5%       1.20 1.00 0.80 0.60 0.40 0.00 0.00 0.00 0.00 0.00 0.00 0.00
11.5%
or more but
less than
11.75%      1.10 0.90 0.70 0.50 0.30 0.00 0.00 0.00 0.00 0.00 0.00 0.00
11.75%
or more but
less than
12.0%       1.00 0.80 0.60 0.40 0.20 0.00 0.00 0.00 0.00 0.00 0.00 0.00
12.0% or
more        0.90 0.70 0.50 0.30 0.10 0.00 0.00 0.00 0.00 0.00 0.00 0.00]
  S  8.  Subdivision  5  of  section 590 of the labor law, as amended by
chapter 413 of the laws of 2003, is amended to read as follows:
  5. Benefit rate. (A) A claimant's weekly benefit amount shall  be  one
twenty-sixth  of the remuneration paid during the highest calendar quar-
ter of the  base  period  by  employers,  liable  for  contributions  or
payments  in  lieu  of  contributions  under  this article, PROVIDED THE
CLAIMANT HAS REMUNERATION PAID IN ALL FOUR CALENDAR QUARTERS DURING  HIS
OR  HER  BASE  PERIOD OR ALTERNATE BASE PERIOD. However, for [claimants]
ANY CLAIMANT WHO HAS REMUNERATION PAID IN  ALL  FOUR  CALENDAR  QUARTERS
DURING  HIS  OR  HER BASE PERIOD OR ALTERNATE BASE PERIOD AND whose high
calendar quarter remuneration during the base period is  three  thousand
five  hundred  seventy-five dollars or less, the benefit amount shall be
one twenty-fifth of the remuneration paid during  the  highest  calendar
quarter  of  the  base  period  by employers liable for contributions or
payments in lieu of contributions under this article. A CLAIMANT'S WEEK-
LY BENEFIT SHALL BE ONE TWENTY-SIXTH OF THE AVERAGE REMUNERATION PAID IN
THE TWO HIGHEST QUARTERS PAID DURING THE BASE PERIOD OR  ALTERNATE  BASE
PERIOD  BY  EMPLOYERS  LIABLE  FOR  CONTRIBUTIONS OR PAYMENTS IN LIEU OF
CONTRIBUTIONS UNDER THIS ARTICLE WHEN THE CLAIMANT HAS REMUNERATION PAID
IN TWO OR THREE CALENDAR QUARTERS  PROVIDED  HOWEVER,  THAT  A  CLAIMANT
WHOSE HIGH CALENDAR QUARTER IS FOUR THOUSAND DOLLARS OR LESS BUT GREATER
THAN THREE THOUSAND FIVE HUNDRED SEVENTY-FIVE DOLLARS SHALL HAVE A WEEK-
LY  BENEFIT  AMOUNT  OF  ONE TWENTY-SIXTH OF SUCH HIGH CALENDAR QUARTER.

S. 2607--D                         68                         A. 3007--D

HOWEVER, FOR ANY CLAIMANT WHO HAS REMUNERATION  PAID  IN  TWO  OR  THREE
CALENDAR QUARTERS DURING HIS OR HER BASE PERIOD OR ALTERNATE BASE PERIOD
AND  WHOSE  HIGH CALENDAR QUARTER REMUNERATION DURING THE BASE PERIOD IS
THREE  THOUSAND  FIVE  HUNDRED SEVENTY-FIVE DOLLARS OR LESS, THE BENEFIT
AMOUNT SHALL BE ONE TWENTY-FIFTH OF THE  REMUNERATION  PAID  DURING  THE
HIGHEST  CALENDAR  QUARTER  OF  THE  BASE PERIOD BY EMPLOYERS LIABLE FOR
CONTRIBUTIONS OR PAYMENTS IN LIEU OF CONTRIBUTIONS UNDER  THIS  ARTICLE.
Any  claimant  whose  high calendar quarter remuneration during the base
period is more than three thousand  five  hundred  seventy-five  dollars
shall not have a weekly benefit amount less than one hundred forty-three
dollars.  The weekly benefit amount, so computed, that is not a multiple
of one dollar shall be lowered to the next multiple of  one  dollar.  On
the  first Monday of September, nineteen hundred ninety-eight the weekly
benefit amount shall not exceed three hundred sixty-five dollars nor  be
less  than forty dollars, until the first Monday of September, two thou-
sand, at which time the maximum benefit payable pursuant to this  subdi-
vision shall equal one-half of the state average weekly wage for covered
employment  as  calculated  by the department no sooner than July first,
two thousand and no later than August first, two thousand, rounded  down
to  the  lowest  dollar.  ON  AND AFTER THE FIRST MONDAY OF OCTOBER, TWO
THOUSAND FOURTEEN, THE WEEKLY BENEFIT SHALL NOT BE LESS THAN ONE HUNDRED
DOLLARS, NOR SHALL IT EXCEED FOUR HUNDRED TWENTY DOLLARS UNTIL THE FIRST
MONDAY OF OCTOBER, TWO THOUSAND FIFTEEN WHEN THE MAXIMUM BENEFIT  AMOUNT
SHALL  BE  FOUR  HUNDRED  TWENTY-FIVE DOLLARS, UNTIL THE FIRST MONDAY OF
OCTOBER, TWO THOUSAND SIXTEEN WHEN THE MAXIMUM BENEFIT AMOUNT  SHALL  BE
FOUR  HUNDRED  THIRTY  DOLLARS,  UNTIL  THE FIRST MONDAY OF OCTOBER, TWO
THOUSAND SEVENTEEN WHEN THE MAXIMUM BENEFIT AMOUNT SHALL BE FOUR HUNDRED
THIRTY-FIVE DOLLARS, UNTIL THE FIRST MONDAY  OF  OCTOBER,  TWO  THOUSAND
EIGHTEEN  WHEN  THE  MAXIMUM  BENEFIT AMOUNT SHALL BE FOUR HUNDRED FIFTY
DOLLARS, UNTIL THE FIRST MONDAY OF OCTOBER, TWO THOUSAND  NINETEEN  WHEN
THE  MAXIMUM  BENEFIT  AMOUNT SHALL BE THIRTY-SIX PERCENT OF THE AVERAGE
WEEKLY WAGE UNTIL THE FIRST MONDAY OF OCTOBER, TWO THOUSAND TWENTY  WHEN
THE  MAXIMUM BENEFIT AMOUNT SHALL BE THIRTY-EIGHT PERCENT OF THE AVERAGE
WEEKLY WAGE, UNTIL THE FIRST MONDAY OF OCTOBER TWO  THOUSAND  TWENTY-ONE
WHEN  THE  MAXIMUM  BENEFIT AMOUNT SHALL BE FORTY PERCENT OF THE AVERAGE
WEEKLY WAGE, UNTIL THE FIRST MONDAY OF OCTOBER, TWO THOUSAND  TWENTY-TWO
WHEN  THE MAXIMUM BENEFIT AMOUNT SHALL BE FORTY-TWO PERCENT OF THE AVER-
AGE WEEKLY WAGE, UNTIL THE FIRST MONDAY OF OCTOBER, TWO  THOUSAND  TWEN-
TY-THREE  WHEN THE MAXIMUM BENEFIT AMOUNT SHALL BE FORTY-FOUR PERCENT OF
THE AVERAGE WEEKLY WAGE, UNTIL THE FIRST MONDAY OF OCTOBER, TWO THOUSAND
TWENTY-FOUR WHEN THE MAXIMUM BENEFIT AMOUNT SHALL BE  FORTY-SIX  PERCENT
OF THE AVERAGE WEEKLY WAGE, UNTIL THE FIRST MONDAY OF OCTOBER, TWO THOU-
SAND  TWENTY-FIVE  WHEN  THE MAXIMUM BENEFIT AMOUNT SHALL BE FORTY-EIGHT
PERCENT OF THE AVERAGE WEEKLY WAGE, UNTIL THE FIRST MONDAY  OF  OCTOBER,
TWO  THOUSAND TWENTY-SIX AND EACH YEAR THEREAFTER ON THE FIRST MONDAY OF
OCTOBER WHEN THE MAXIMUM BENEFIT AMOUNT SHALL BE FIFTY  PERCENT  OF  THE
AVERAGE  WEEKLY WAGE PROVIDED, HOWEVER, THAT IN NO EVENT SHALL THE MAXI-
MUM BENEFIT AMOUNT BE REDUCED FROM THE PREVIOUS YEAR.
  (B) NOTWITHSTANDING THE FOREGOING, THE MAXIMUM  BENEFIT  AMOUNT  SHALL
NOT  BE INCREASED IN ACCORDANCE WITH THE SCHEDULE SET FORTH IN PARAGRAPH
(A) OF THIS SUBDIVISION IN ANY YEAR IN WHICH THE COMMISSIONER DETERMINES
THAT THE STATE HAS HAD A DECREASE IN PRIVATE SECTOR JOBS IN  EACH  MONTH
OF  THE  FIRST  TWO  CALENDAR  QUARTERS OF THE YEAR IN WHICH THE MAXIMUM
BENEFIT AMOUNT INCREASE IS  SCHEDULED  TO  OCCUR.  IF  THE  COMMISSIONER
DETERMINES  THAT THE STATE HAS NOT HAD A DECREASE IN PRIVATE SECTOR JOBS
IN EACH MONTH IN THE FIRST TWO CALENDAR QUARTERS IN YEARS SUBSEQUENT  TO

S. 2607--D                         69                         A. 3007--D

SUCH  SUSPENSION  OF AN INCREASE IN THE MAXIMUM BENEFIT AMOUNT, THEN THE
MAXIMUM BENEFIT AMOUNT SHALL INCREASE TO THE AMOUNT FOR THE YEAR  PREVI-
OUSLY  SCHEDULED  TO  BE  ESTABLISHED  PURSUANT TO PARAGRAPH (A) OF THIS
SUBDIVISION  HAD  THE INCREASE NOT BEEN SUSPENDED AND INCREASED ANNUALLY
THEREAFTER IN ACCORDANCE WITH THE SCHEDULE SET FORTH IN PARAGRAPH (A) OF
THIS SUBDIVISION. IN NO CASE SHALL SUCH SUSPENSION RESULT IN A REDUCTION
OF THE MAXIMUM BENEFIT AMOUNT TO LESS THAN THE AMOUNT  PROVIDED  IN  THE
MOST RECENT YEAR.
  S  9.  Paragraph (b) of subdivision 5 of section 590 of the labor law,
as added by section eight of this act, is REPEALED and a  new  paragraph
(b) is added to read as follows:
  (B)  NOTWITHSTANDING  THE  FOREGOING, THE MAXIMUM BENEFIT AMOUNT SHALL
NOT BE INCREASED IN ACCORDANCE WITH THE SCHEDULE SET FORTH IN  PARAGRAPH
(A)  OF THIS SUBDIVISION IN ANY YEAR IN WHICH THE BALANCE OF THE FUND ON
THE THIRTY-FIRST DAY OF MAY OF THE SAME YEAR IS LESS THAN AN  AMOUNT  OF
THE  FUNDS PROJECTED TO BE NEEDED TO PAY FOR THE INCREASE IN BENEFITS AS
DETERMINED BY THE COMMISSIONER. IF FUND REVENUES ARE DETERMINED  BY  THE
COMMISSIONER  TO  BE  SUFFICIENT  TO PAY FOR THE INCREASE IN BENEFITS IN
YEARS SUBSEQUENT TO SUCH SUSPENSION OF AN INCREASE IN THE MAXIMUM  BENE-
FIT AMOUNT, THEN THE MAXIMUM BENEFIT AMOUNT SHALL INCREASE TO THE AMOUNT
FOR  THE  YEAR  PREVIOUSLY SCHEDULED TO BE ESTABLISHED PURSUANT TO PARA-
GRAPH (A) OF THIS SUBDIVISION HAD THE INCREASE NOT  BEEN  SUSPENDED  AND
INCREASED  ANNUALLY THEREAFTER IN ACCORDANCE WITH THE SCHEDULE SET FORTH
IN PARAGRAPH (A) OF THIS SUBDIVISION. IN NO CASE SHALL  SUCH  SUSPENSION
RESULT  IN  A  REDUCTION  OF THE MAXIMUM BENEFIT AMOUNT TO LESS THAN THE
AMOUNT PROVIDED IN THE MOST RECENT YEAR.
  S 10. Paragraph (b) of subdivision 5 of section 590 of the labor  law,
as added by section nine of this act is REPEALED and a new paragraph (b)
is added to read as follows:
  (B)  NOTWITHSTANDING  THE  FOREGOING, THE MAXIMUM BENEFIT AMOUNT SHALL
NOT BE INCREASED IN ACCORDANCE WITH THE SCHEDULE SET FORTH IN  PARAGRAPH
(A)  OF THIS SUBDIVISION IN ANY YEAR IN WHICH THE BALANCE OF THE FUND IS
DETERMINED BY THE COMMISSIONER TO NOT HAVE REACHED  OR  EXCEEDED  THIRTY
PERCENT OF THE AVERAGE HIGH COST MULTIPLE, AS DEFINED IN 20 CFR PART 606
AS  THE STANDARD FOR RECEIPT OF INTEREST-FREE FEDERAL LOANS, ON AT LEAST
ONE DAY BETWEEN APRIL FIRST AND JUNE THIRTIETH OF THE SAME CALENDAR YEAR
AS THE INCREASE SHALL TAKE EFFECT. IF, FOLLOWING SUCH SUSPENSION  OF  AN
INCREASE  IN  THE  MAXIMUM BENEFIT AMOUNT, THE COMMISSIONER SHALL DETER-
MINE, ON AT LEAST ONE DAY BETWEEN APRIL FIRST AND  JUNE  THIRTIETH  THAT
THE BALANCE OF THE FUND IS GREATER THAN SUCH THIRTY PERCENT AVERAGE HIGH
COST  MULTIPLE,  THEN  THE  MAXIMUM BENEFIT AMOUNT SHALL INCREASE TO THE
PERCENTAGE FOR THE YEAR PREVIOUSLY SCHEDULED TO BE ESTABLISHED  PURSUANT
TO PARAGRAPH (A) OF THIS SUBDIVISION HAD THE INCREASE NOT BEEN SUSPENDED
AND  INCREASED  ANNUALLY  THEREAFTER IN ACCORDANCE WITH THE SCHEDULE SET
FORTH IN PARAGRAPH (A) OF  THIS  SUBDIVISION.  IN  NO  CASE  SHALL  SUCH
SUSPENSION  RESULT  IN A REDUCTION OF THE MAXIMUM BENEFIT AMOUNT TO LESS
THAN THE AMOUNT PROVIDED IN THE MOST RECENT YEAR.
  S 11. Subdivision 9 of section 590 of the  labor  law  is  amended  by
adding a new paragraph (d) to read as follows:
  (D) AN ALIEN WHO IS NOT ELIGIBLE UNDER 8 USC 1621(A) SHALL BE ELIGIBLE
FOR  BENEFITS,  PROVIDED  SUCH  ALIEN IS ELIGIBLE FOR BENEFITS UNDER THE
PROVISIONS OF THIS ARTICLE AND SECTION 3304  (A)  (14)  OF  THE  FEDERAL
UNEMPLOYMENT TAX ACT.
  S  12.  Subdivision  2  of section 591 of the labor law, as amended by
chapter 720 of the laws of 1953, is amended to read as follows:

S. 2607--D                         70                         A. 3007--D

  2. Availability [and], capability, AND WORK SEARCH.  No benefits shall
be payable to any claimant who is not capable of  work  or  who  is  not
ready, willing and able to work in his OR HER usual employment or in any
other  for  which he OR SHE is reasonably fitted by training and experi-
ence  AND  WHO  IS  NOT ACTIVELY SEEKING WORK.   IN ORDER TO BE ACTIVELY
SEEKING WORK A CLAIMANT MUST BE  ENGAGED  IN  SYSTEMATIC  AND  SUSTAINED
EFFORTS  TO  FIND  WORK.   THE COMMISSIONER SHALL PROMULGATE REGULATIONS
DEFINING SYSTEMATIC AND SUSTAINED EFFORTS TO FIND WORK AND SETTING STAN-
DARDS FOR THE PROOF OF WORK SEARCH EFFORTS.
  S 13. Section 591 of the labor law is amended by adding a new subdivi-
sion 6 to read as follows:
  6. DISMISSAL PAY. (A) NO BENEFITS SHALL BE PAYABLE TO A  CLAIMANT  FOR
ANY  WEEK  DURING  A  DISMISSAL  PERIOD  FOR  WHICH  A CLAIMANT RECEIVES
DISMISSAL PAY, NOR SHALL ANY DAY WITHIN SUCH WEEK BE CONSIDERED A DAY OF
TOTAL UNEMPLOYMENT UNDER SECTION FIVE HUNDRED TWENTY-TWO OF  THIS  ARTI-
CLE,  IF  SUCH  WEEKLY  DISMISSAL PAY EXCEEDS THE MAXIMUM WEEKLY BENEFIT
RATE.
  (B) THE TERM "DISMISSAL PAY", AS USED IN THIS SUBDIVISION,  MEANS  ONE
OR  MORE  PAYMENTS  MADE BY AN EMPLOYER TO AN EMPLOYEE DUE TO HIS OR HER
SEPARATION FROM SERVICE  OF  THE  EMPLOYER  REGARDLESS  OF  WHETHER  THE
EMPLOYER IS LEGALLY BOUND BY CONTRACT, STATUTE OR OTHERWISE TO MAKE SUCH
PAYMENTS.  THE  TERM  DOES NOT INCLUDE PAYMENTS FOR PENSION, RETIREMENT,
ACCRUED LEAVE, AND HEALTH INSURANCE OR PAYMENTS FOR  SUPPLEMENTAL  UNEM-
PLOYMENT BENEFITS.
  (C)  THE  TERM  "DISMISSAL PERIOD", AS USED IN THIS SUBDIVISION, MEANS
THE TIME DESIGNATED FOR WEEKS  OF  DISMISSAL  PAY  ATTRIBUTABLE  TO  THE
CLAIMANT'S  WEEKLY EARNINGS IN ACCORDANCE WITH THE COLLECTIVE BARGAINING
AGREEMENT, EMPLOYMENT CONTRACT, EMPLOYER'S DISMISSAL  POLICY,  DISMISSAL
AGREEMENT  WITH THE EMPLOYER OR OTHER SUCH AGREEMENT.  IF NO SUCH AGREE-
MENT, CONTRACT  OR  POLICY  DESIGNATES  A  DISMISSAL  PERIOD,  THEN  THE
DISMISSAL  PERIOD  SHALL BE THE TIME DESIGNATED IN WRITING IN ADVANCE BY
THE EMPLOYER TO BE CONSIDERED THE DISMISSAL PERIOD. IF NO TIME PERIOD IS
DESIGNATED, THE DISMISSAL PERIOD SHALL COMMENCE ON  THE  DAY  AFTER  THE
CLAIMANT'S LAST DAY OF EMPLOYMENT. IF THE DISMISSAL PAYMENT IS IN A LUMP
SUM  AMOUNT  OR  FOR  AN  INDEFINITE PERIOD, DISMISSAL PAYMENTS SHALL BE
ALLOCATED ON A WEEKLY BASIS FROM THE DAY AFTER THE CLAIMANT'S  LAST  DAY
OF  EMPLOYMENT  AND  THE CLAIMANT SHALL NOT BE ELIGIBLE FOR BENEFITS FOR
ANY WEEK FOR WHICH IT IS DETERMINED THAT THE CLAIMANT RECEIVES DISMISSAL
PAY. THE AMOUNT OF DISMISSAL PAY SHALL BE ALLOCATED BASED ON THE  CLAIM-
ANT'S  ACTUAL WEEKLY REMUNERATION PAID BY THE EMPLOYER DURING HIS OR HER
EMPLOYMENT OR, IF SUCH AMOUNT CANNOT BE DETERMINED, THE  AMOUNT  OF  THE
CLAIMANT'S AVERAGE WEEKLY WAGE FOR THE HIGHEST CALENDAR QUARTER.
  (D)  NOTWITHSTANDING THE FOREGOING, THE PROVISIONS OF THIS SUBDIVISION
SHALL NOT APPLY DURING  ANY  WEEKS  IN  WHICH  THE  INITIAL  PAYMENT  OF
DISMISSAL  PAY  IS  MADE  MORE THAN THIRTY DAYS FROM THE LAST DAY OF THE
CLAIMANT'S EMPLOYMENT.
  S 14. Subparagraph (i) of paragraph (b) of subdivision  2  of  section
591-a  of the labor law, as added by chapter 413 of the laws of 2003, is
amended to read as follows:
  (i) requirements relating to total unemployment, as defined in section
five hundred twenty-two of  this  article,  availability  for  work  AND
SEARCH FOR WORK, as set forth in subdivision two of section five hundred
ninety-one  of  this  title  and refusal to accept work, as set forth in
subdivision two of section five hundred ninety-three of this title,  are
not applicable to such individuals;

S. 2607--D                         71                         A. 3007--D

  S  15. Paragraph (a) of subdivision 1, the opening paragraph of subdi-
vision 2 and subdivision 3 of section 593 of the  labor  law,  paragraph
(a)  of  subdivision 1 as amended by chapter 35 of the laws of 2009, the
opening paragraph of subdivision 2 as amended by chapter 5 of  the  laws
of  2000,  and  subdivision  3  as amended by chapter 589 of the laws of
1998, are amended and a new subdivision 6 is added to read as follows:
  (a) No days of total unemployment shall be deemed  to  occur  after  a
claimant's voluntary separation without good cause from employment until
he  or she has subsequently worked in employment and earned remuneration
at least equal to [five] TEN times his or her weekly  benefit  rate.  In
addition  to  other  circumstances  that may be found to constitute good
cause, including a compelling family reason as set  forth  in  paragraph
(b)  of this subdivision, voluntary separation from employment shall not
in itself disqualify a claimant if circumstances have developed  in  the
course  of  such  employment  that  would have justified the claimant in
refusing such employment in the first instance under the terms of subdi-
vision two of this section or if the claimant,  pursuant  to  an  option
provided  under  a  collective  bargaining agreement or written employer
plan which permits waiver of his OR HER right to retain  the  employment
when there is a temporary layoff because of lack of work, has elected to
be separated for a temporary period and the employer has consented ther-
eto.
  No  days of total unemployment shall be deemed to occur beginning with
the day on which a claimant, without good cause, refuses  to  accept  an
offer of employment for which he OR SHE is reasonably fitted by training
and  experience, including employment not subject to this article, until
he OR SHE has subsequently worked in employment and earned  remuneration
at  least  equal  to  [five]  TEN  times his or her weekly benefit rate.
Except that claimants who are not subject to a recall date or who do not
obtain employment through a union hiring hall and who  are  still  unem-
ployed  after  receiving  [thirteen]  TEN  weeks  of  benefits  shall be
required to accept any employment  proffered  that  such  claimants  are
capable  of  performing, provided that such employment would result in a
wage not less than eighty percent of such claimant's high calendar quar-
ter wages received in the base period and not  substantially  less  than
the  prevailing wage for similar work in the locality as provided for in
paragraph (d) of this subdivision. No refusal to accept employment shall
be deemed without good cause nor shall it disqualify any claimant other-
wise eligible to receive benefits if:
  3. Misconduct. No days of total unemployment shall be deemed to  occur
after  a  claimant lost employment through misconduct in connection with
his or her employment until he or she has subsequently worked in employ-
ment and earned remuneration at least equal to [five] TEN times  his  or
her weekly benefit rate.
  6.  DETERMINATIONS AND HEARINGS. THE COMMISSIONER SHALL ISSUE A DETER-
MINATION FOR ANY PROTEST THAT IS FILED BY ANY BASE PERIOD EMPLOYER WITH-
IN THE TIME SPECIFIED IN THE NOTIFICATION OF POTENTIAL CHARGES BASED  ON
VOLUNTARY SEPARATIONS OR MISCONDUCT. AN EMPLOYER OR CLAIMANT MAY REQUEST
A  HEARING  OF SUCH DETERMINATION PURSUANT TO SECTION SIX HUNDRED TWENTY
OF THIS ARTICLE.
  S 16. Section 594 of the labor law, as amended by chapter 728  of  the
laws of 1952, and the opening paragraph as amended by chapter 139 of the
laws of 1968, are amended to read as follows:
  S  594.  Reduction  AND  RECOVERY of benefits AND PENALTIES for WILFUL
false statement. (1) A claimant who has wilfully made a false  statement
or  representation  to  obtain  any benefit under the provisions of this

S. 2607--D                         72                         A. 3007--D

article shall forfeit benefits for at least the first four but not  more
than the first eighty effective days following discovery of such offense
for  which he OR SHE otherwise would have been entitled to receive bene-
fits.  Such  penalty  shall  apply  only  once with respect to each such
offense.
  (2) For the purpose of subdivision four of section five hundred ninety
of this article, the claimant shall be deemed to have received  benefits
for such forfeited effective days.
  (3)  The  penalty  provided in this section shall not be confined to a
single benefit year but shall no longer apply in whole or in part  after
the  expiration  of  two  years  from the date [on which the offense was
committed] OF THE FINAL DETERMINATION. SUCH  TWO-YEAR  PERIOD  SHALL  BE
TOLLED DURING THE TIME PERIOD A CLAIMANT HAS AN APPEAL PENDING.
  (4)  A claimant shall refund all moneys received because of such false
statement or representation [made by him] AND PAY A CIVIL PENALTY IN  AN
AMOUNT EQUAL TO THE GREATER OF ONE HUNDRED DOLLARS OR FIFTEEN PERCENT OF
THE  TOTAL  OVERPAID  BENEFITS DETERMINED PURSUANT TO THIS SECTION.  THE
PENALTIES COLLECTED HEREUNDER SHALL BE DEPOSITED IN THE FUND. THE PENAL-
TIES ASSESSED UNDER THIS SUBDIVISION SHALL APPLY AND BE ASSESSED FOR ANY
BENEFITS PAID  UNDER  FEDERAL  UNEMPLOYMENT  AND  EXTENDED  UNEMPLOYMENT
PROGRAMS  ADMINISTERED  BY THE DEPARTMENT IN THE SAME MANNER AS PROVIDED
IN THIS ARTICLE. THE PENALTIES IN THIS SECTION SHALL BE IN  ADDITION  TO
ANY  PENALTIES IMPOSED UNDER THIS CHAPTER OR ANY STATE OR FEDERAL CRIMI-
NAL STATUTE. NO PENALTIES OR INTEREST ASSESSED PURSUANT TO THIS  SECTION
MAY BE DEDUCTED OR WITHHELD FROM BENEFITS.
  (5)  (A)  UPON A DETERMINATION BASED UPON A WILLFUL FALSE STATEMENT OR
REPRESENTATION BECOMING FINAL THROUGH EXHAUSTION  OF  APPEAL  RIGHTS  OR
FAILURE  TO  EXHAUST  HEARING  RIGHTS,  THE COMMISSIONER MAY RECOVER THE
AMOUNT FOUND TO BE DUE BY COMMENCING A CIVIL ACTION, OR BY  FILING  WITH
THE  COUNTY  CLERK  OF  THE  COUNTY WHERE THE CLAIMANT RESIDES THE FINAL
DETERMINATION OF THE COMMISSIONER OR THE FINAL DECISION BY  AN  ADMINIS-
TRATIVE  LAW  JUDGE,  THE APPEAL BOARD, OR A COURT CONTAINING THE AMOUNT
FOUND TO BE DUE INCLUDING INTEREST AND CIVIL PENALTY.  THE  COMMISSIONER
MAY ONLY MAKE SUCH A FILING WITH THE COUNTY CLERK WHEN:
  (I)  THE CLAIMANT HAS RESPONDED TO REQUESTS FOR INFORMATION PRIOR TO A
DETERMINATION AND SUCH REQUESTS FOR INFORMATION NOTIFIED THE CLAIMANT OF
HIS OR HER RIGHTS TO A FAIR HEARING AS  WELL  AS  THE  POTENTIAL  CONSE-
QUENCES  OF  AN INVESTIGATION AND FINAL DETERMINATION UNDER THIS SECTION
INCLUDING THE NOTICE REQUIRED BY SUBPARAGRAPH (III) OF PARAGRAPH (B)  OF
THIS  SUBDIVISION. ADDITIONALLY IF THE CLAIMANT REQUESTED A FAIR HEARING
OR APPEAL SUBSEQUENT TO A DETERMINATION, THAT THE CLAIMANT  WAS  PRESENT
EITHER  IN PERSON OR THROUGH ELECTRONIC MEANS AT SUCH HEARING, OR SUBSE-
QUENT APPEAL FROM WHICH A FINAL DETERMINATION WAS RENDERED;
  (II) THE COMMISSIONER HAS MADE EFFORTS TO COLLECT ON SUCH FINAL DETER-
MINATION; AND
  (III) THE COMMISSIONER HAS SENT A NOTICE, IN ACCORDANCE WITH PARAGRAPH
(B) OF THIS SUBDIVISION, OF INTENT TO DOCKET SUCH FINAL DETERMINATION BY
FIRST CLASS OR CERTIFIED MAIL, RETURN RECEIPT REQUESTED, TEN DAYS  PRIOR
TO THE DOCKETING OF SUCH DETERMINATION.
  (B) THE NOTICE REQUIRED IN SUBPARAGRAPH (III) OF PARAGRAPH (A) OF THIS
SUBDIVISION SHALL INCLUDE THE FOLLOWING:
  (I)  THAT  THE  COMMISSIONER  INTENDS  TO DOCKET A FINAL DETERMINATION
AGAINST SUCH CLAIMANT AS A JUDGMENT;
  (II) THE TOTAL AMOUNT TO BE DOCKETED; AND
  (III) CONSPICUOUS LANGUAGE THAT READS AS  FOLLOWS:  "ONCE  ENTERED,  A
JUDGMENT  IS GOOD AND CAN BE USED AGAINST YOU FOR TWENTY YEARS, AND YOUR

S. 2607--D                         73                         A. 3007--D

MONEY, INCLUDING A PORTION OF YOUR PAYCHECK AND/OR BANK ACCOUNT, MAY  BE
TAKEN.  ALSO, A JUDGMENT WILL HURT YOUR CREDIT SCORE AND CAN AFFECT YOUR
ABILITY TO RENT A HOME, FIND A JOB, OR TAKE OUT A LOAN."
  S 17. Section 596 of the labor law is amended by adding a new subdivi-
sion 7 to read as follows:
  7.  NOTWITHSTANDING THE PROVISIONS OF SECTION FIVE HUNDRED NINETY-FIVE
OF THIS TITLE, THE COMMISSIONER SHALL DEDUCT AND WITHHOLD  ANY  OVERPAY-
MENTS ESTABLISHED UNDER THIS ARTICLE OR UNDER ANY STATE OR FEDERAL UNEM-
PLOYMENT COMPENSATION PROGRAM FROM BENEFITS PAYABLE TO AN INDIVIDUAL. NO
PENALTIES  OR INTEREST ASSESSED PURSUANT TO SECTION FIVE HUNDRED NINETY-
FOUR OF THIS TITLE MAY BE DEDUCTED OR WITHHELD FROM BENEFITS.
  S 18. Subdivision 2 of section 597 of the  labor  law  is  amended  by
adding a new paragraph (d) to read as follows:
  (D)  NOTWITHSTANDING  ANY PROVISIONS OF THIS ARTICLE, UNLESS A COMMIS-
SIONER'S ERROR IS SHOWN OR THE FAILURE IS THE DIRECT RESULT OF A  DISAS-
TER  EMERGENCY  DECLARED  BY  THE  GOVERNOR  OR PRESIDENT, AN EMPLOYER'S
ACCOUNT SHALL NOT BE RELIEVED OF CHARGES RESULTING IN AN OVERPAYMENT  OF
BENEFITS  WHEN THE COMMISSIONER DETERMINES THAT THE OVERPAYMENT WAS MADE
BECAUSE THE EMPLOYER OR THE AGENT OF THE EMPLOYER FAILED  TO  TIMELY  OR
ADEQUATELY  RESPOND TO A REQUEST FOR INFORMATION IN THE NOTICE OF POTEN-
TIAL CHARGES OR OTHER SUCH NOTICE REQUESTING INFORMATION IN RELATION  TO
A  CLAIM  UNDER  THIS  ARTICLE, PROVIDED, HOWEVER, THAT THE COMMISSIONER
SHALL RELIEVE THE EMPLOYER OF CHARGES THE FIRST TIME THAT  THE  EMPLOYER
FAILS  TO  PROVIDE  TIMELY  OR  ADEQUATE  INFORMATION,  IF  THE EMPLOYER
PROVIDES GOOD CAUSE FOR SUCH FAILURE AS DETERMINED BY THE COMMISSIONER.
  "TIMELY" SHALL MEAN A RESPONSE IS PROVIDED IN THE TIME  PERIOD  SPECI-
FIED IN THE NOTICE AS PRESCRIBED BY THE COMMISSIONER.
  THE  TERM  "ADEQUATELY"  SHALL  MEAN  THAT  THE  EMPLOYER OR ITS AGENT
SUBMITTED INFORMATION SUFFICIENT TO RENDER A CORRECT DETERMINATION.
  THIS PROHIBITION FOR RELIEF OF CHARGES SHALL APPLY  TO  ALL  EMPLOYERS
UNDER  THIS  ARTICLE  INCLUDING  EMPLOYERS  ELECTING  PAYMENT IN LIEU OF
CONTRIBUTIONS.
  S 19. Section 600 of the labor law, as added by  chapter  793  of  the
laws  of  1963,  subdivision  6 as amended by chapter 391 of the laws of
2005, subdivision 7 as added by chapter 362 of the laws of  1980,  para-
graph  (a)  of  subdivision  7  as amended by chapter 176 of the laws of
2004, paragraph (b) of subdivision 7 as amended by chapter 5 of the laws
of 2000, and paragraph (c) of subdivision 7 as relettered by chapter 895
of the laws of 1980, is amended to read as follows:
  S 600. Effect of retirement payments. 1. Reduction  of  benefit  rate.
[If a claimant retires or is retired from employment by an employer and,
due  to  such  retirement,  is receiving a pension or retirement payment
under a plan financed in whole or in part by such employer, such  claim-
ant's  benefit  rate  for four effective days otherwise applicable under
subdivision seven of section five hundred ninety  shall  be  reduced  as
hereinafter provided.
  2.  Application. The reduction shall apply only to benefits which when
paid will be chargeable to the account of the employer who provided  the
pension or retirement benefit.
  3.  Amount  of reduction. If the pension or retirement payment is made
under a plan to which the employer is the sole contributor,  the  claim-
ant's  benefit  rate  shall  be  reduced  by the largest number of whole
dollars which is not more than the prorated weekly amount of his pension
or retirement payment under such plan.  If  the  pension  or  retirement
payment  is  made  under  a  plan  to which the employer is not the sole
contributor, the claimant's benefit rate shall be reduced by the largest

S. 2607--D                         74                         A. 3007--D

number of whole dollars which is not more than one-half of the  prorated
weekly amount of his pension or retirement payments under such plan, but
no  reduction shall apply if the claimant demonstrates that the employer
contributed less than fifty per centum to the plan.
  4.  Reduction equal to benefit rate. If the amount to be deducted from
a claimant's benefit rate equals or exceeds such rate, he shall be inel-
igible to receive any benefits which if paid would be chargeable to  the
employer  involved  in  the pension or retirement plan, but any benefits
which would in the absence of this section be chargeable to the accounts
of other employers shall be payable to the claimant.
  5. Reduction not established. If, at the time benefits are payable, it
has not been established  that  the  claimant  will  be  receiving  such
pension  or  retirement  payment,  benefits  due shall be paid without a
reduction, subject to review within the period and under the  conditions
as provided in subdivisions three and four of section five hundred nine-
ty-seven with respect to retroactive payment of remuneration.
  6. Limitation. For the purposes of this section, the terms "pension or
retirement  payment"  and  "governmental or other pension, retirement or
retired pay, annuity, or any other similar  periodic  payment  which  is
based on previous work" shall not include payments made from a qualified
trust  to  an  eligible  retirement  plan under the terms and conditions
specified in section four hundred two of the internal revenue  code  for
federal  income  tax  purposes, such payments commonly known as eligible
rollover distributions.
  7. Alternative condition. (a) When a reduction for retirement payments
is required by the federal unemployment tax act as a condition for  full
tax  credit,  in  which  event  the provisions of subdivisions one, two,
three, four and five of this section shall not be  operative,  the]  (A)
THE  benefit rate of a claimant who is receiving a governmental or other
pension, retirement or retired pay, annuity, or any other similar  peri-
odic  payment  which  is based on his previous work, shall be reduced as
hereinafter provided, if such payment is made under a plan maintained or
contributed to by his base period employer and, except for payments made
under the social security act or the railroad retirement  act  of  1974,
the  claimant's  employment  with,  or  remuneration from, such employer
after the beginning of the base period affected his eligibility for,  or
increased the amount of, such pension, retirement or retired pay, annui-
ty, or other similar periodic payment.
  (b)  [If the claimant made no contribution for the pension, retirement
or retired pay, annuity, or other similar  periodic  payment,  his]  THE
CLAIMANT'S  benefit rate shall be reduced by the largest number of whole
dollars which is not more than  the  pro-rated  weekly  amount  of  such
payment.  If  the  claimant  was  the  sole contributor for the pension,
retirement or retired pay, annuity, or other similar  periodic  payment,
no  reduction  shall  apply.  [If  the  claimant's contributions for the
pension, retirement or retired pay, annuity, or other  similar  periodic
payment  were  less  than one hundred per centum, the commissioner shall
determine the amount of the reduction by taking into account the  claim-
ant's contributions in a manner consistent with the federal unemployment
tax act.]
  (c)  If, at the time benefits are payable, it has not been established
that the claimant will be receiving such pension, retirement or  retired
pay,  annuity  or  other  payment,  benefits due shall be paid without a
reduction, subject to review within the period and under the  conditions
as provided in subdivisions three and four of section five hundred nine-
ty-seven with respect to retroactive payment of remuneration.

S. 2607--D                         75                         A. 3007--D

  (D) FOR THE PURPOSES OF THIS SECTION, THE TERMS "PENSION OR RETIREMENT
PAYMENT"  AND "GOVERNMENTAL OR OTHER PENSION, RETIREMENT OR RETIRED PAY,
ANNUITY, OR ANY OTHER SIMILAR PERIODIC PAYMENT WHICH IS BASED ON  PREVI-
OUS  WORK"  SHALL NOT INCLUDE PAYMENTS MADE FROM A QUALIFIED TRUST TO AN
ELIGIBLE  RETIREMENT  PLAN  UNDER  THE TERMS AND CONDITIONS SPECIFIED IN
SECTION FOUR HUNDRED TWO OF THE INTERNAL REVENUE CODE FOR FEDERAL INCOME
TAX PURPOSES, SUCH PAYMENTS COMMONLY KNOWN AS ELIGIBLE ROLLOVER DISTRIB-
UTIONS.
  S 20. Section 602 of the labor law, as amended by chapter 214  of  the
laws of 1998, is amended to read as follows:
  S  602.  Application. This title shall apply to a claimant employed by
an employer whose application to participate in a  shared  work  program
has  been  approved  by  the commissioner. The provisions of subdivision
four of section five hundred twenty-seven, subdivisions three and  seven
of  section  five  hundred  ninety  and subdivision four of section five
hundred ninety-six of this article  shall  not  be  applicable  to  such
claimant  and  he  OR SHE shall not be required to be available for work
with any other employer NOR SHALL HE OR SHE BE REQUIRED  TO  SEARCH  FOR
WORK  IN ACCORDANCE WITH SUBDIVISION TWO OF SECTION FIVE HUNDRED NINETY-
ONE OF THIS ARTICLE IF HE OR SHE IS AVAILABLE FOR HIS OR HER USUAL HOURS
OF WORK WITH HIS OR HER EMPLOYER THAT HAS BEEN ACCEPTED  TO  PARTICIPATE
IN  THE  SHARED WORK PROGRAM. The other provisions of this article shall
apply to such claimants and their employers to the extent that they  are
not inconsistent with the provisions of this title.
  S  21.  Section  603  of the labor law, as added by chapter 438 of the
laws of 1985, is amended to read as follows:
  S 603. Definitions. For purposes of this title:  "Total  unemployment"
shall  mean the total lack of any employment on any day, other than with
an employer applying for a shared work program. ["Full time hours" shall
mean at least thirty-five but not more than forty hours  per  week,  and
shall  not include overtime as defined in the Fair Labor Standards Act.]
"Work force" shall mean the total work  force,  a  clearly  identifiable
unit  or  units thereof, or a particular shift or shifts. THE WORK FORCE
SUBJECT TO REDUCTION SHALL CONSIST OF NO LESS THAN TWO EMPLOYEES.
  S 21-a. Section 604 of the labor law, as amended by chapter 564 of the
laws of 2002, is amended to read as follows:
  S 604. Eligibility conditions. A claimant shall be eligible for  bene-
fits  under  this  title  if he OR SHE works less than his OR HER normal
[full time] hours in a week for his customary employer, and that employ-
er has reduced or restricted the claimant's weekly hours of work, or has
rehired a claimant previously laid off and reduced  his  OR  HER  weekly
hours  of  work from those previously worked, as the result of a plan by
the employer to stabilize the work force by a  program  of  sharing  the
work  remaining  after  a  reduction in total hours of work and a corre-
sponding reduction in wages, provided the program requires not less than
a twenty percent nor more than a sixty percent reduction  in  hours  and
wages  among the work force. A claimant receiving supplemental unemploy-
ment compensation benefits, as defined in section five hundred  one  (c)
(17)  (D)  of  the internal revenue code of nineteen hundred fifty-four,
shall not be eligible hereunder. Any employee who was otherwise eligible
for benefits under this title but was denied benefits during the  period
beginning  October first, two thousand one and ending on December first,
two thousand one because more than five percent of his OR HER wages were
derived from piece work, shall be entitled to make a  retroactive  claim
for  such benefits provided such claim is filed within sixty days of the
effective date of this sentence.

S. 2607--D                         76                         A. 3007--D

  S 22. Section 605 of the labor law, as amended by section 2 of chapter
81 of the laws of 1992, is amended to read as follows:
  S  605. Qualified employers; application. An employer who has at least
[five] TWO full time employees may apply to participate in a shared work
program.  The WRITTEN application shall be made according to such  forms
and  procedures  as  the commissioner may specify and shall include such
information as the commissioner may require, INCLUDING SUCH OTHER INFOR-
MATION THAT THE UNITED STATES SECRETARY OF LABOR DETERMINES TO BE APPRO-
PRIATE FOR PURPOSES OF A SHARED WORK PROGRAM.   The  commissioner  shall
not  approve such application unless the employer (1) [agrees] CERTIFIES
that for the duration of the program it will not eliminate  or  diminish
health  insurance,  medical  insurance, RETIREMENT BENEFITS or any other
fringe benefits provided to employees immediately prior to the  applica-
tion  UNLESS SUCH BENEFITS PROVIDED TO EMPLOYEES THAT DO NOT PARTICIPATE
IN THE SHARED WORK PROGRAM ARE REDUCED OR DIMINISHED TO THE SAME  EXTENT
AS  THOSE  EMPLOYEES  THAT  PARTICIPATE  IN THE SHARED WORK PROGRAM; (2)
certifies that the collective bargaining agent  for  the  employees,  if
any, has agreed to participate in the program; (3) certifies that if not
for the shared work program to be initiated the employer would reduce or
would  have  reduced  its work force to a degree equivalent to the total
number of working hours proposed to be reduced  or  restricted  for  all
included  employees; (4) certifies that it will not hire additional part
time or full time employees  for  the  affected  work  force  while  the
program  is  in  operation;  [and] (5) agrees that no participant of the
program shall receive, in the aggregate, more than  [twenty]  TWENTY-SIX
weeks  of  benefits  exclusive  of  the  waiting  week;  (6)  PROVIDES A
DESCRIPTION OF HOW WORKERS IN THE WORK FORCE WILL  BE  NOTIFIED  OF  THE
SHARED  WORK PROGRAM IN ADVANCE OF IT TAKING EFFECT, IF FEASIBLE, AND IF
SUCH NOTICE IS NOT FEASIBLE, PROVIDES AN EXPLANATION OF WHY SUCH  NOTICE
IS  NOT  FEASIBLE; (7) PROVIDES AN ESTIMATE OF THE NUMBER OF WORKERS WHO
WOULD BE LAID OFF IF THE EMPLOYER COULD NOT PARTICIPATE  IN  THE  SHARED
WORK PROGRAM; AND (8) CERTIFIES THAT THE TERMS OF THE EMPLOYER'S WRITTEN
PLAN  AND  IMPLEMENTATION  SHALL BE CONSISTENT WITH EMPLOYER OBLIGATIONS
UNDER APPLICABLE FEDERAL AND STATE LAWS.
  S 22-a. Intentionally omitted.
  S 23. Section 607 of the labor law, as added by  chapter  438  of  the
laws of 1985, subdivision 1 as amended by section 4 of chapter 81 of the
laws of 1992, is amended to read as follows:
  S  607.  Benefits. 1. Amount. An eligible claimant shall be paid bene-
fits for any week equal to his OR HER benefit  rate  multiplied  by  the
percentage of reduction of his OR HER wages resulting from reduced hours
of work, but only if such percentage is no less than twenty percent. The
weekly  benefit  amount  shall  be  rounded off to the nearest dollar. A
claimant  shall  not  be  paid  such  benefits  in  excess  of  [twenty]
TWENTY-SIX weeks during a benefit year.
  2.  Waiting  period.  A claimant shall not be entitled to benefits for
the first week of unemployment under a shared work program unless he  OR
SHE  has  served a waiting period in his OR HER benefit year pursuant to
subdivision seven of section five hundred ninety of this article.
  S 23-a. Intentionally omitted.
  S 24. The labor law is amended by adding a new section 609 to read  as
follows:
  S  609. TRAINING.  ELIGIBLE EMPLOYEES MAY PARTICIPATE, AS APPROPRIATE,
IN TRAINING TO ENHANCE JOB SKILLS IF SUCH PROGRAM HAS BEEN  APPROVED  BY
THE COMMISSIONER.  SUCH TRAINING MAY INCLUDE EMPLOYER-SPONSORED TRAINING
OR WORKER TRAINING FUNDED UNDER THE WORKFORCE INVESTMENT ACT OF 1998.

S. 2607--D                         77                         A. 3007--D

  S  25.  Section 611 of the labor law, as amended by chapter 589 of the
laws of 1998, is amended to read as follows:
  S  611.  Charging  of  benefits.  Benefits paid to a claimant shall be
charged to the employers' accounts  as  provided  in  paragraph  (e)  of
subdivision  one  of  section  five  hundred eighty-one of this article.
HOWEVER, EXCEPT FOR INDIVIDUALS EMPLOYED BY A PARTICIPATING EMPLOYER  ON
A  SEASONAL,  TEMPORARY  OR  INTERMITTENT  BASIS,  NO BENEFITS PAID TO A
CLAIMANT SHALL BE CHARGED TO AN EMPLOYER'S ACCOUNT IF THE STATE IS REIM-
BURSED BY THE UNITED STATES PURSUANT TO THE MIDDLE CLASS TAX RELIEF  AND
JOB CREATION ACT OF 2012, PL 112-96.
  S  26. The labor law is amended by adding a new section 612 to read as
follows:
  S 612.  SEVERABILITY.    IF  ANY  AMENDMENT  CONTAINED  IN  A  CLAUSE,
SENTENCE,  PARAGRAPH, SECTION OR PART OF THIS TITLE SHALL BE ADJUDGED BY
THE UNITED STATES DEPARTMENT OF LABOR TO VIOLATE REQUIREMENTS FOR  MAIN-
TAINING  BENEFIT STANDARDS REQUIRED OF THE STATE IN ORDER TO BE ELIGIBLE
FOR ANY FINANCIAL BENEFIT OFFERED  THROUGH  FEDERAL  LAW  OR  REGULATION
INCLUDING, BUT NOT LIMITED TO, THE WAIVER OF INTEREST ON ADVANCES OR THE
WAIVER  OF  OBLIGATIONS TO REPAY SUCH ADVANCES TO THE STATE UNEMPLOYMENT
INSURANCE FUND, SUCH AMENDMENTS SHALL BE SEVERED FROM THIS ACT AND SHALL
NOT AFFECT, IMPAIR OR INVALIDATE THE REMAINDER THEREOF.
  S 27. Section 39 of part P2 of chapter 62 of the laws of 2003,  amend-
ing  the  state  finance  law and other laws relating to authorizing and
directing the state comptroller to  loan  money  to  certain  funds  and
accounts, as amended by section 1 of part W of chapter 58 of the laws of
2011, is amended to read as follows:
  S  39.  This  act shall take effect immediately and shall be deemed to
have been in full force and effect on and after April 1, 2003; provided,
however, that sections one, three, four, six, seven through fifteen, and
seventeen of this act shall expire March 31, 2004, when upon  such  date
the  provisions of such sections shall be deemed repealed; [and sections
thirty and thirty-one of this act shall expire December  31,  2013]  and
the  amendments made to section 69-c of the state finance law by section
thirty-two of this act shall not affect the  expiration  and  repeal  of
such section and shall be deemed to be expired therewith.
  S  28. Severability. If any amendment contained in a clause, sentence,
paragraph, section or part of this act shall be adjudged by  the  United
States Department of Labor to violate requirements for maintaining bene-
fit  standards  required  of  the  state in order to be eligible for any
financial benefit offered through federal law or  regulation  including,
but  not limited to, the waiver of interest on advances or the waiver of
obligations to repay such advances to the state  unemployment  insurance
fund,  such  amendments  shall  be  severed  from this act and shall not
affect, impair or invalidate the remainder thereof.
  S 29. This act shall take effect immediately, provided, however, that:
  a. sections one, three, seven, and eight of this act shall take effect
January 1, 2014;
  b. sections two, thirteen, fifteen, and nineteen  of  this  act  shall
apply to all claims filed after January 1, 2014;
  c. section nine of this act shall take effect January 1, 2017;
  d. section ten of this act shall take effect January 1, 2019;
  e.  sections  five,  six, sixteen, seventeen, and eighteen of this act
shall apply to all overpayments established after October 1, 2013;
  f. sections fourteen, twenty,  twenty-one,  twenty-one-a,  twenty-two,
twenty-three,  twenty-four, and twenty-six of this act shall take effect
on the thirtieth day after it shall have become a law;

S. 2607--D                         78                         A. 3007--D

  g. section twenty-five of this act shall expire and be deemed repealed
August 23, 2015;
  h.  section twelve of this act shall take effect January 1, 2014 or on
the same date as the reversion of subdivision 2 of section  591  of  the
labor  law as provided in section 10 of chapter 413 of the laws of 2003,
as amended, whichever is later; and
  i. the amendments to section 591-a of the labor law  made  by  section
fourteen  of  this  act  shall not affect the repeal of such section and
shall be deemed repealed therewith.

                                 PART P

  Section 1. Subdivision 1 of section 652 of the labor law,  as  amended
by  chapter  747 of the laws of 2004, is amended and a new subdivision 6
is added to read as follows:
  1. Statutory. Every employer shall pay to each of  its  employees  for
each hour worked a wage of not less than:
  $4.25 on and after April 1, 1991,
  $5.15 on and after March 31, 2000,
  $6.00 on and after January 1, 2005,
  $6.75 on and after January 1, 2006,
  $7.15 on and after January 1, 2007,
  $8.00 ON AND AFTER DECEMBER 31, 2013,
  $8.75 ON AND AFTER DECEMBER 31, 2014,
  $9.00  ON AND AFTER DECEMBER 31, 2015, or, if greater, such other wage
as may be established by federal law pursuant to 29 U.S.C.  section  206
or its successors
or  such  other  wage  as  may  be  established  in  accordance with the
provisions of this article.
  6. NOTWITHSTANDING SUBDIVISION TWO OF THIS SECTION AND SUBDIVISION TWO
OF SECTION SIX HUNDRED FIFTY-THREE OF THIS ARTICLE,  A  MODIFICATION  IN
THE  HOURLY  CASH  WAGE  OR  MEAL AND LODGING CREDITS AS APPLIED TO FOOD
SERVICE WORKERS AND SERVICE EMPLOYEES PAID IN ACCORDANCE WITH  PART  146
OF  TITLE 12 OF THE NEW YORK STATE COMPILATION OF CODES, RULES AND REGU-
LATIONS THAT WOULD OTHERWISE BE BASED ON THE  INCREASES  IN  THE  HOURLY
MINIMUM  WAGE  THAT  WILL BECOME EFFECTIVE ON DECEMBER THIRTY-FIRST, TWO
THOUSAND THIRTEEN, DECEMBER  THIRTY-FIRST,  TWO  THOUSAND  FOURTEEN  AND
DECEMBER  THIRTY-FIRST,  TWO  THOUSAND  FIFTEEN  SHALL BE MADE BY A WAGE
ORDER PROMULGATED BY THE COMMISSIONER PURSUANT TO  SECTION  SIX  HUNDRED
FIFTY-SIX OF THIS ARTICLE AND PROVIDED FURTHER THAT, FOR THE PURPOSES OF
THE  MODIFICATIONS  BASED  ON SUCH INCREASES PROVIDED FOR IN SUBDIVISION
TWO OF THIS SECTION ONLY, THE MAXIMUM CREDIT FOR TIPS IN SUCH WAGE ORDER
SHALL BE MODIFIED SO THAT SUCH CREDIT, WHEN COMBINED WITH THE CASH WAGE,
IS EQUAL TO THE MINIMUM WAGE. ANY TIME AFTER THE EFFECTIVE DATE  OF  THE
CHAPTER  OF  THE LAWS OF TWO THOUSAND THIRTEEN WHICH ADDED THIS SUBDIVI-
SION, THE COMMISSIONER SHALL  APPOINT  A  WAGE  BOARD  PURSUANT  TO  THE
PROVISION  OF  SUBDIVISION ONE OF SECTION SIX HUNDRED FIFTY-FIVE OF THIS
ARTICLE TO INQUIRE AND REPORT AND RECOMMEND  ANY  CHANGES  TO  THE  WAGE
ORDER  GOVERNING  WAGES PAYABLE TO SUCH FOOD SERVICE WORKERS AND SERVICE
EMPLOYEES SUFFICIENT TO PROVIDE ADEQUATE MAINTENANCE AND TO PROTECT  THE
HEALTH  AND  LIVELIHOOD  OF EMPLOYEES SUBJECT TO SUCH A WAGE ORDER. SUCH
WAGE BOARD SHALL MAKE SUCH REPORT AND RECOMMENDATIONS TO THE COMMISSION-
ER WITHIN SIX MONTHS OF ITS ESTABLISHMENT. THE  COMMISSIONER  SHALL  ACT
UPON  SUCH  REPORT  AND  RECOMMENDATIONS  PURSUANT  TO THE PROVISIONS OF
SECTION SIX HUNDRED FIFTY-SIX OF THIS ARTICLE.
  S 2. This act shall take effect immediately.

S. 2607--D                         79                         A. 3007--D

                                 PART Q
                          Intentionally Omitted

                                 PART R

Section 1.  The racing, pari-mutuel wagering and breeding law is amended
by adding a new section 109-a to read as follows:
  S  109-A.  LABOR  PEACE  AGREEMENTS FOR CERTAIN FACILITIES.   1. DEFI-
NITIONS. AS USED IN THIS SUBDIVISION:
  A. "GAMING FACILITY" MEANS ANY CASINO GAMING FACILITY LICENSED BY  THE
COMMISSION.  A  GAMING FACILITY OR OPERATION SHALL NOT INCLUDE ANY HORSE
RACING, BINGO OR CHARITABLE GAMES  OF  CHANCE,  THE  STATE  LOTTERY  FOR
EDUCATION,  OR  ANY  GAMING  FACILITY  OPERATING PURSUANT TO THE FEDERAL
INDIAN GAMING REGULATORY ACT, 25 U.S.C. S 2710 ET SEQ. A GAMING FACILITY
OR OPERATION SHALL INCLUDE ANY HOSPITALITY OPERATION AT  OR  RELATED  TO
THE GAMING FACILITY.
  B.  "LABOR  PEACE  AGREEMENT"  MEANS AN AGREEMENT ENFORCEABLE UNDER 29
U.S.C. S 185(A) THAT, AT A MINIMUM,  PROTECTS  THE  STATE'S  PROPRIETARY
INTERESTS  BY  PROHIBITING LABOR ORGANIZATIONS AND MEMBERS FROM ENGAGING
IN PICKETING, WORK STOPPAGES, BOYCOTTS, AND ANY OTHER ECONOMIC INTERFER-
ENCE WITH OPERATION OF THE RELEVANT GAMING FACILITY.
  C. "LICENSE" MEANS ANY PERMIT, LICENSE, FRANCHISE OR ALLOWANCE OF  THE
COMMISSION AND SHALL INCLUDE ANY FRANCHISEE OR PERMITTEE.
  D.  "PROPRIETARY INTEREST" MEANS AN ECONOMIC AND NON-REGULATORY INTER-
EST AT RISK IN THE FINANCIAL SUCCESS OF THE GAMING FACILITY  THAT  COULD
BE  ADVERSELY  AFFECTED  BY LABOR-MANAGEMENT CONFLICT, INCLUDING BUT NOT
LIMITED TO PROPERTY INTERESTS, FINANCIAL INVESTMENTS AND  REVENUE  SHAR-
ING.
  2.  LEGISLATIVE  FINDINGS. THE STATE LEGISLATURE FINDS THAT THE GAMING
INDUSTRY CONSTITUTES A VITAL SECTOR OF NEW YORK'S  OVERALL  ECONOMY  AND
THAT  THE  STATE  THROUGH  ITS  OPERATION OF LOTTERIES AND VIDEO LOTTERY
FACILITIES AND THROUGH ITS OWNERSHIP  OF  THE  PROPERTIES  UTILIZED  FOR
HORSE  RACING BY THE NEW YORK RACING ASSOCIATION, INC. HAS A SIGNIFICANT
AND ONGOING  ECONOMIC  AND  NON-REGULATORY  INTEREST  IN  THE  FINANCIAL
VIABILITY AND COMPETITIVENESS OF THE GAMING INDUSTRY. THE STATE LEGISLA-
TURE  FURTHER  FINDS THAT THE AWARD OR GRANT OF A LICENSE BY THE COMMIS-
SION TO OPERATE A GAMING FACILITY IS A SIGNIFICANT STATE ACTION AND THAT
THE COMMISSION MUST MAKE PRUDENT AND EFFICIENT DECISIONS TO MAXIMIZE THE
BENEFITS AND MINIMIZE THE RISKS OF GAMING. THE STATE LEGISLATURE FURTHER
RECOGNIZES THAT CASINO GAMING INDUSTRY INTEGRATION CAN PROVIDE  A  VITAL
ECONOMIC  ENGINE  TO  ASSIST,  NURTURE,  DEVELOP,  AND  PROMOTE REGIONAL
ECONOMIC DEVELOPMENT, THE STATE TOURISM INDUSTRY AND THE GROWTH OF  JOBS
IN  THE  STATE.  ADDITIONALLY, THE STATE LEGISLATURE ALSO FINDS REVENUES
DERIVED DIRECTLY BY THE STATE FROM SUCH GAMING ACTIVITY WILL  BE  SHARED
FROM  GROSS  GAMING  RECEIPTS,  AFTER  PAYOUT  OF  PRIZES  BUT  PRIOR TO
DEDUCTIONS FOR OPERATIONAL EXPENSES.
  THEREFORE, THE STATE LEGISLATURE FINDS THAT THE STATE HAS  A  SUBSTAN-
TIAL  AND COMPELLING PROPRIETARY INTEREST IN ANY LICENSE AWARDED FOR THE
OPERATION OF A GAMING FACILITY WITHIN THE STATE.
  3. REQUIREMENTS. THE COMMISSION SHALL  REQUIRE  ANY  APPLICANT  FOR  A
GAMING  FACILITY  LICENSE  WHO  HAS  NOT  YET ENTERED INTO A LABOR PEACE
AGREEMENT TO PRODUCE AN AFFIDAVIT STATING IT SHALL ENTER  INTO  A  LABOR
PEACE  AGREEMENT  WITH  LABOR ORGANIZATIONS THAT ARE ACTIVELY ENGAGED IN
REPRESENTING OR ATTEMPTING TO REPRESENT GAMING OR  HOSPITALITY  INDUSTRY
WORKERS  IN  THE  STATE.  IN  ORDER FOR THE COMMISSION TO ISSUE A GAMING

S. 2607--D                         80                         A. 3007--D

FACILITY LICENSE AND FOR OPERATIONS TO COMMENCE,  THE  APPLICANT  FOR  A
GAMING  FACILITY  LICENSE MUST PRODUCE DOCUMENTATION THAT IT HAS ENTERED
INTO A LABOR PEACE  AGREEMENT  WITH  EACH  LABOR  ORGANIZATION  THAT  IS
ACTIVELY  ENGAGED IN REPRESENTING AND ATTEMPTING TO REPRESENT GAMING AND
HOSPITALITY INDUSTRY WORKERS IN THE STATE. THE COMMISSION SHALL MAKE THE
MAINTENANCE OF SUCH A LABOR PEACE AGREEMENT AN ONGOING  MATERIAL  CONDI-
TION OF LICENSURE.
  A  LICENSE  HOLDER  SHALL,  AS A CONDITION OF ITS LICENSE, ENSURE THAT
OPERATIONS AT THE GAMING FACILITY THAT  ARE  CONDUCTED  BY  CONTRACTORS,
SUBCONTRACTORS,  LICENSEES,  ASSIGNEES,  TENANTS  OR SUBTENANTS AND THAT
INVOLVE GAMING OR HOSPITALITY INDUSTRY EMPLOYEES SHALL BE DONE  UNDER  A
LABOR PEACE AGREEMENT CONTAINING THE SAME PROVISIONS AS SPECIFIED ABOVE.
  S 2. This act shall take effect immediately.

                                 PART S

  Section 1. Subdivision 2 of section 903 of the education law, as added
by chapter 281 of the laws of 2007, is amended to read as follows:
  2.  a.  A  dental  health  certificate  shall  be  requested from each
student.  Each student is requested to furnish a dental  health  certif-
icate  at the same time that health certificates are required. An [exam-
ination] ASSESSMENT and dental  health  history  of  any  child  may  be
requested  by  the  local  school  authorities  at  any  time  in  their
discretion to promote the educational  interests  of  such  child.  Each
certificate  shall be signed by a duly licensed dentist, OR A REGISTERED
DENTAL HYGIENIST who is authorized by law to practice in this state, and
consistent with any applicable written practice agreement, or by a  duly
licensed  dentist  OR  REGISTERED  DENTAL HYGIENIST who is authorized to
practice in the jurisdiction in which the [examination]  ASSESSMENT  was
given, provided that the commissioner has determined that such jurisdic-
tion  has standards of licensure and practice comparable to those of New
York. Each such certificate shall describe the dental  health  condition
of  the  student when the [examination] ASSESSMENT was made, which shall
not be more than twelve months prior to the commencement of  the  school
year in which the [examination] ASSESSMENT is requested, and shall state
whether  such student is in fit condition of dental health to permit his
or her attendance at the public schools.
  b. A notice  of  request  for  dental  health  certificates  shall  be
distributed  at  the  same  time  that  parents  or  person  in parental
relationship to students are notified of health examination requirements
and shall state that a list of DENTAL PRACTICES, dentists AND REGISTERED
DENTAL HYGIENISTS to which children [who need comprehensive dental exam-
inations] may be referred for [treatment] DENTAL SERVICES on a  free  or
reduced  cost basis is available upon request at the child's school. The
department shall,  in  collaboration  with  the  department  of  health,
compile and maintain a list of DENTAL PRACTICES, dentists AND REGISTERED
DENTAL HYGIENISTS to which children [who need comprehensive dental exam-
inations]  may  be referred for [treatment] DENTAL SERVICES on a free or
reduced cost basis. Such list shall be  made  available  to  all  public
schools and be made available to parents or person in parental relation-
ship upon request. The department shall promulgate regulations to ensure
the  gathering and dissemination of the proper information to interested
parties.
  S 2. This act shall take effect immediately.

                                 PART T

S. 2607--D                         81                         A. 3007--D

  Section 1. Subdivisions 3 and 5 of section 6542 of the education  law,
as  amended  by  chapter  48 of the laws of 2012, are amended to read as
follows:
  3.  No physician shall employ or supervise more than [two] FOUR physi-
cian assistants in his or her private practice.
  5. Notwithstanding any other provision of this article, nothing  shall
prohibit a physician employed by or rendering services to the department
of corrections and community supervision under contract from supervising
no  more than [four] SIX physician assistants in his or her practice for
the department of corrections and community supervision.
  S 2. This act shall take effect immediately.

                                 PART U

  Section 1. The education law is amended by adding a new section 6303-a
to read as follows:
  S 6303-A. GRADUATION, ACHIEVEMENT AND PLACEMENT  PROGRAM.  1.    DEFI-
NITIONS.  AS  USED  IN  THIS SECTION, THE FOLLOWING TERMS SHALL HAVE THE
FOLLOWING MEANINGS:
  (A) "PLAN" SHALL MEAN THE GRADUATION, ACHIEVEMENT AND PLACEMENT  (GAP)
PROGRAM  PLAN  TO BE DEVELOPED BY THE STATE UNIVERSITY TRUSTEES PURSUANT
TO SUBDIVISION TWO OF THIS SECTION, AFTER CONSULTATION WITH THE COMMUNI-
TY COLLEGE PRESIDENTS, COUNCILS AND FACULTY.
  (B) "PROGRAM" SHALL MEAN THE GAP PROGRAM TO BE DEVELOPED BY THE  STATE
UNIVERSITY TRUSTEES PURSUANT TO SUBDIVISION TWO OF THIS SECTION.
  2.  BY  NO  LATER  THAN  JULY  FIRST, TWO THOUSAND FOURTEEN, THE STATE
UNIVERSITY TRUSTEES SHALL DEVELOP, AS PART OF  THE  MASTER  PLAN  TO  BE
SUBMITTED  PURSUANT TO SECTION THREE HUNDRED FIFTY-FOUR OF THIS CHAPTER,
A COMPREHENSIVE PLAN TO BE INCORPORATED INTO ITS  TWO  THOUSAND  SIXTEEN
MASTER PLAN AND FULLY IMPLEMENTED NO LATER THAN JULY FIRST, TWO THOUSAND
EIGHTEEN AT EACH OF THE STATE UNIVERSITY OF NEW YORK COMMUNITY COLLEGES.
SUCH  PLAN  SHALL SEEK TO DEVELOP A REMEDIAL EDUCATION PROGRAM TO ACCOM-
PLISH THE FOLLOWING GOALS:
  (A) IMPROVE COMMUNITY COLLEGE OUTCOMES BY REDUCING THE TIME TO  DEGREE
COMPLETION OR TRANSFER TO A FOUR YEAR COLLEGE;
  (B)  REDUCE  STATE  AND LOCAL SPONSOR EXPENDITURES ON REMEDIAL COURSE-
WORK;
  (C) IMPROVE OVERALL COMMUNITY COLLEGE GRADUATION RATES AND  EMPLOYMENT
PROSPECTS.
  3.  EACH COMMUNITY COLLEGE SHALL UTILIZE FEATURES IN ITS PROGRAM IDEN-
TIFIED IN THE SUNY TASK FORCE ON REMEDIATION REPORT, ISSUED PURSUANT  TO
CHAPTER  FIFTY-SEVEN  OF  THE  LAWS  OF  TWO  THOUSAND TWELVE, AND SHALL
CONSIDER OTHER FEATURES OF SUCCESSFUL EXISTING PROGRAMS, INCLUDING,  BUT
NOT LIMITED TO THE FOLLOWING:
  (A)  ADOPTION  OF  A  CONSISTENT DEFINITION OF "COLLEGE READINESS" FOR
STUDENT PLACEMENT INTO REMEDIAL  PROGRAMS  USING  MULTIPLE  MEASURES  OF
STUDENT ACHIEVEMENT;
  (B) ACCELERATED DEVELOPMENTAL EDUCATION PROGRAM OFFERINGS;
  (C)  INCORPORATING REMEDIAL INSTRUCTION INTO THE BEGINNING OF COLLEGE-
LEVEL PROGRAMS,  EITHER  AS  INTRODUCTORY  COURSES  OR  INTEGRATED  INTO
INITIAL COLLEGE-LEVEL COURSES;
  (D)  UTILIZE  SUPPLEMENTAL ACADEMIC SUPPORT FOR DEVELOPMENTAL STUDENTS
ENROLLED IN COLLEGE LEVEL COURSES AS  WELL  AS  OTHER  CONTEXTUALIZATION
MODELS;

S. 2607--D                         82                         A. 3007--D

  (E)  A  CONSOLIDATED  COURSE  SCHEDULE  THAT  PERMITS STUDENTS TO TAKE
CLASSES IN A MORNING, AFTERNOON OR EVENING  SCHEDULE  SO  AS  TO  ENABLE
STUDENTS TO BALANCE SCHOOL, WORK AND OTHER PERSONAL RESPONSIBILITIES;
  (F)  AN  ADVISEMENT  MODEL THAT DIRECTS COUNSELORS WITH ASSIGNED CASE-
LOADS TO MEET WITH STUDENTS MONTHLY FROM PROGRAM ENTRY UNTIL GRADUATION;
  (G) CAREER AND EMPLOYMENT SERVICES THAT PROVIDE STUDENTS  WITH  INTER-
VIEW TRAINING, JOB SKILLS AND CAREER PLANNING;
  (H)  ACADEMIC  SUPPORT  SERVICES  THAT PROVIDE TUTORING FROM QUALIFIED
UNDERGRADUATE OR GRADUATE STUDENTS OR FACULTY; AND
  (I) COMPREHENSIVE EVALUATION AND THE USE OF DATA TO ASSESS THE  EFFEC-
TIVENESS OF THE PROGRAM.
  4. EACH COMMUNITY COLLEGE SHALL BE REQUIRED TO IMPLEMENT, ON A PARTIAL
BASIS,  ITS  PROGRAM  BY THE TWO THOUSAND FOURTEEN--TWO THOUSAND FIFTEEN
ACADEMIC YEAR.
  5. EACH COMMUNITY COLLEGE SHALL REPORT ON THE  IMPLEMENTATION  OF  THE
PROGRAM AND SHALL REPORT ON MEASURES OF STUDENT SUCCESS FOR EACH STUDENT
ENROLLED  IN  SUCH PROGRAM. SUCH REPORT SHALL INCLUDE BUT NOT BE LIMITED
TO:
  (A) ANNUAL NUMBER  AND  PERCENTAGE  OF  ENTERING  FIRST-TIME  STUDENTS
ENROLLED   IN   REMEDIAL  (DEVELOPMENTAL)  EDUCATION  COURSES  IN  MATH,
ENGLISH/READING OR BOTH AND COMPLETE A COLLEGE-LEVEL COURSE IN THE  SAME
SUBJECT.
  (B)  ANNUAL  NUMBER  AND  PERCENTAGE  OF ENTERING FIRST-TIME DEGREE OR
CERTIFICATE SEEKING STUDENTS  WHO  COMPLETE  ENTRY  COLLEGE-LEVEL  MATH,
ENGLISH  AND  READING  COURSES WITHIN THE FIRST TWO CONSECUTIVE ACADEMIC
YEARS.
  (C) NUMBER AND PERCENTAGE OF ENTERING DEGREE  OR  CERTIFICATE  SEEKING
STUDENTS  ENROLLING  FROM FALL TO SPRING AND FALL TO FALL AT AN INSTITU-
TION OF HIGHER EDUCATION.
  S 2. This act shall take effect immediately.

                                 PART V

  Section 1. Section 6301 of the education law is amended  by  adding  a
new subdivision 6 to read as follows:
  6.  "CERTIFICATE  OF RESIDENCE FORM".  A STANDARD FORM AS DEVELOPED BY
THE CHANCELLOR OF THE STATE UNIVERSITY OF NEW YORK, IN CONJUNCTION  WITH
THE CHANCELLOR OF THE CITY UNIVERSITY OF NEW YORK.
  S 2. Subdivisions 3 and 4 of section 6305 of the education law, subdi-
vision 3 as amended by chapter 486 of the laws of 1967 and subdivision 4
as  separately  amended by chapters 439 and 646 of the laws of 1975, are
amended to read as follows:
  3. The chief fiscal officer of each county, as defined in section 2.00
of the local finance law, shall, upon application and submission to  him
of  satisfactory  evidence,  issue to any person desiring to enroll in a
community college as a non-resident student, a certificate of  residence
FORM showing that said person is a resident of said county. If the chief
fiscal  officer  of  a county refuses to issue such a certificate on the
ground that the person applying therefor is not a resident of such coun-
ty, the person applying may  appeal  to  the  chancellor  of  the  state
university. The chancellor of the state university shall make a determi-
nation after a hearing, upon ten days' notice to such chief fiscal offi-
cer  of the county, and such determination shall be final and binding on
the county. Such person shall, upon his registration  for  each  college
year,  file with the college such a certificate of residence FORM issued
not earlier than two months prior thereto, and such certificate of resi-

S. 2607--D                         83                         A. 3007--D

dence FORM shall be valid for a period of one  year  from  the  date  of
issuance.
  4.  If,  pursuant  to  subdivision  two  of  this section, a community
college elects to charge to and collect  an  allocable  portion  of  the
operating  costs  and  a further sum on account of capital costs of such
college from each county which has issued a certificate FORM or  certif-
icates of residence FORMS pursuant to subdivision three of this section,
on the basis of which non-resident students are attending such community
college,  the  president  of such community college shall, within forty-
five days after the commencement of each college term or program, submit
to the chief fiscal officer  of  each  county  a  list  of  non-resident
students  attending  such  college  on the basis of such certificates of
residence FORM and a voucher for the amount payable by each  county  for
these  students.  Such list and voucher shall be determined on the basis
of non-resident students enrolled in the program as of the end (or  last
day)  of  the third week of the commencement for a program scheduled for
one semester, the end of the second  for  a  program  scheduled  for  an
academic quarter and the end of the first week for any program scheduled
to  be  completed  in  thirty  days or less. The chancellor of the state
university, or such officers or employees thereof as shall be designated
by the chancellor in the manner authorized by the state university trus-
tees, shall notify the chief fiscal  officers  of  each  county  of  the
approved annual operating and capital charge-back rate for each communi-
ty college. The amount billed to the chief fiscal officer of each county
by the president of such community college as a charge for the allocable
portion  of  the operating costs and a further sum on account of capital
costs of such college for non-resident students shall  be  paid  to  the
chief  fiscal officer of such college by the billed county no later than
sixty days after the county receives said billing.
  S 3. Subdivision 11 of section 6305 of the education law, as added  by
section  1  of  part Q of chapter 57 of the laws of 2012, is amended and
three new subdivisions 12, 13 and 14 are added to read as follows:
  11. [The state university board of trustees, in conjunction  with  the
city  university  board  of  trustees,  is directed to examine the laws,
regulations, and policies regarding community college charges  for  non-
resident  students.  This  examination  shall  review the impacts of the
current law mechanisms for covering the local sponsor's share of  commu-
nity  college  operating  costs  attributable  to non-resident students,
including the impacts of charging a non-resident student or charging the
county where the student resides a per student allocable portion of  the
local  sponsor's  share  of operating costs, and shall also specifically
include examination of the following:
  a. the methodology for determining the amount that may be charged by a
community college for each non-resident student's allocable  portion  of
the local sponsor's share of operating costs;
  b. the process for notifying a county of the approved annual operating
and community college charge-back rates and the timeline for a county to
pay the charge-back rate to the community college;
  c.  policies regarding charge-back rates paid by city and towns in the
county; and
  d. recommendations for  potential  modification  to  the  laws,  regu-
lations,  and policies regarding community college charges for non-resi-
dent students that would result in improvements related  to  equity  and
efficiency  and the fiscal impacts of implementing such modifications to
students, counties and the state.

S. 2607--D                         84                         A. 3007--D

  The boards shall submit a joint report of their findings to the chairs
of the senate and assembly higher education committees and the chair  of
the  senate  finance  committee  and  the chair of the assembly ways and
means committee no later than September first, two thousand twelve.] THE
STATE  UNIVERSITY OF NEW YORK AND THE CITY UNIVERSITY OF NEW YORK SHALL,
PURSUANT TO A  PLAN,  DEVELOP  A  UNIFORM  METHODOLOGY  FOR  CALCULATING
CHARGEBACK RATES TO ENSURE EQUITY BETWEEN THE LOCAL SPONSOR CONTRIBUTION
PER  STUDENT  AND THE CHARGEBACK RATE PER STUDENT CHARGED TO OTHER COUN-
TIES, AND THE IMPLEMENTATION OF SUCH METHODOLOGY WILL BE PHASED IN  OVER
FIVE  YEARS BEGINNING IN THE TWO THOUSAND FOURTEEN--TWO THOUSAND FIFTEEN
ACADEMIC YEAR. THE PLAN SHALL BE SUBMITTED TO THE CHAIR  OF  THE  SENATE
AND  ASSEMBLY  HIGHER  EDUCATION  COMMITTEES,  THE  CHAIRS OF THE SENATE
FINANCE COMMITTEE, THE CHAIR OF THE ASSEMBLY WAYS  AND  MEANS  COMMITTEE
AND  THE  DIRECTOR OF THE BUDGET NO LATER THAN DECEMBER FIRST, TWO THOU-
SAND THIRTEEN.
  12. SUCH CALCULATED CHARGEBACK RATES SHALL BE SET ON AN ACADEMIC  YEAR
BASIS  AND  SHALL NOT VARY BY SEMESTER WITHIN EACH ACADEMIC YEAR, AND NO
RETROACTIVE CHARGE SHALL BE BILLED TO ANY COUNTY BASED ON  AN  INCREASED
CHARGEBACK RATE AFTER THE COMMENCEMENT OF EACH ANNUAL ACADEMIC YEAR.
  13.  BEGINNING  IN  THE  TWO  THOUSAND  FOURTEEN--TWO THOUSAND FIFTEEN
ACADEMIC YEAR, THE STATE UNIVERSITY OF NEW YORK AND THE CITY  UNIVERSITY
OF  NEW YORK SHALL DEVELOP AN ON-LINE TRAINING PROGRAM TO BE MADE AVAIL-
ABLE TO EACH COUNTY  TREASURER  AND/OR  FINANCIAL  OFFICER,  TO  PROVIDE
INFORMATION  REGARDING  CHARGEBACK  FEES  AND GUIDANCE CONCERNING COMMON
FORMS, TIMELINES, AND POLICIES  RELATING  TO  CHARGEBACK  FEES  AND  THE
PAYMENT THEREOF.
  14.  BEGINNING  IN  THE  TWO  THOUSAND  FOURTEEN--TWO THOUSAND FIFTEEN
ACADEMIC YEAR, THE STATE UNIVERSITY OF NEW YORK AND THE CITY  UNIVERSITY
OF  NEW  YORK  SHALL  ASSIST IN THE DEVELOPMENT AND IMPLEMENTATION OF AN
ON-LINE OR ELECTRONIC BILLING SYSTEM, TO BE AVAILABLE TO THE COUNTIES OF
THIS STATE, FOR THE PAYMENT OF CHARGEBACK FEES.
  S 4. This act shall take effect immediately.

                                 PART W

  Section 1. The tax law is amended by adding a  new  section  627-a  to
read as follows:
  S 627-A. GIFT FOR HONOR AND REMEMBRANCE OF VETERANS. EFFECTIVE FOR ANY
TAX YEAR COMMENCING ON OR AFTER JANUARY FIRST, TWO THOUSAND THIRTEEN, AN
INDIVIDUAL  IN  ANY TAXABLE YEAR MAY ELECT TO CONTRIBUTE TO THE VETERANS
REMEMBRANCE AND CEMETERY MAINTENANCE AND OPERATION FUND.  SUCH  CONTRIB-
UTION  SHALL  BE  IN  ANY  WHOLE  DOLLAR AMOUNT AND SHALL NOT REDUCE THE
AMOUNT OF STATE TAX OWED BY  SUCH  INDIVIDUAL.  THE  COMMISSIONER  SHALL
INCLUDE  SPACE ON THE PERSONAL INCOME TAX RETURN TO ENABLE A TAXPAYER TO
MAKE SUCH CONTRIBUTION. NOTWITHSTANDING ANY OTHER PROVISION OF LAW,  ALL
REVENUES  COLLECTED  PURSUANT  TO  THIS SECTION SHALL BE CREDITED TO THE
VETERANS REMEMBRANCE AND CEMETERY MAINTENANCE  AND  OPERATION  FUND  AND
USED  ONLY FOR THOSE PURPOSES ENUMERATED IN SECTION NINETY-SEVEN-MMMM OF
THE STATE FINANCE LAW.
  S 1-a. The tax law is amended by adding a new section 209-H to read as
follows:
  S 209-H. GIFT FOR HONOR AND REMEMBRANCE OF VETERANS. EFFECTIVE FOR ANY
TAX YEAR COMMENCING ON OR AFTER JANUARY FIRST,  TWO  THOUSAND  THIRTEEN,
ANY TAXPAYER IN ANY TAXABLE YEAR MAY ELECT TO CONTRIBUTE TO THE VETERANS
REMEMBRANCE  AND CEMETERY MAINTENANCE AND OPERATION FUND.  SUCH CONTRIB-
UTION SHALL BE IN ANY WHOLE DOLLAR  AMOUNT  AND  SHALL  NOT  REDUCE  THE

S. 2607--D                         85                         A. 3007--D

AMOUNT  OF  STATE  TAX  OWED  BY  SUCH  TAXPAYER. THE COMMISSIONER SHALL
INCLUDE SPACE ON THE CORPORATE INCOME TAX RETURN TO ENABLE A TAXPAYER TO
MAKE SUCH CONTRIBUTION. NOTWITHSTANDING ANY OTHER PROVISION OF LAW,  ALL
REVENUES  COLLECTED  PURSUANT  TO  THIS SECTION SHALL BE CREDITED TO THE
VETERANS REMEMBRANCE AND CEMETERY MAINTENANCE  AND  OPERATION  FUND  AND
USED  ONLY FOR THOSE PURPOSES ENUMERATED IN SECTION NINETY-SEVEN-MMMM OF
THE STATE FINANCE LAW.
  S 2. The state finance law is amended by adding a new section  97-mmmm
to read as follows:
  S 97-MMMM. VETERANS REMEMBRANCE AND CEMETERY MAINTENANCE AND OPERATION
FUND. 1. THERE IS HEREBY ESTABLISHED IN THE JOINT CUSTODY OF THE COMMIS-
SIONER OF TAXATION AND FINANCE AND THE COMPTROLLER, A SPECIAL FUND TO BE
KNOWN  AS  THE "VETERANS REMEMBRANCE AND CEMETERY MAINTENANCE AND OPERA-
TION FUND".
  2. SUCH FUND SHALL CONSIST OF ALL REVENUES RECEIVED BY THE  DEPARTMENT
OF  TAXATION  AND  FINANCE,  PURSUANT  TO THE PROVISIONS OF SECTIONS TWO
HUNDRED-NINE-H AND SIX HUNDRED TWENTY-SEVEN-A OF THE TAX  LAW,  AND  ALL
OTHER  MONEYS  APPROPRIATED,  CREDITED,  OR TRANSFERRED THERETO FROM ANY
OTHER FUND OR SOURCE PURSUANT TO LAW.   NOTHING IN  THIS  SECTION  SHALL
PREVENT  THE  STATE  FROM  SOLICITING  AND  RECEIVING  GRANTS,  GIFTS OR
BEQUESTS FOR THE PURPOSES OF THE FUND AS DEFINED  IN  THIS  SECTION  AND
DEPOSITING THEM INTO THE FUND ACCORDING TO LAW.
  3.  ON  OR BEFORE THE FIRST DAY OF FEBRUARY OF EACH CALENDAR YEAR, THE
COMPTROLLER SHALL CERTIFY TO THE GOVERNOR, THE  TEMPORARY  PRESIDENT  OF
THE SENATE, THE SPEAKER OF THE ASSEMBLY, THE CHAIR OF THE SENATE FINANCE
COMMITTEE  AND  THE  CHAIR OF THE ASSEMBLY WAYS AND MEANS COMMITTEE, THE
AMOUNT OF MONEY DEPOSITED IN THE VETERANS REMEMBRANCE AND CEMETERY MAIN-
TENANCE AND OPERATION FUND DURING THE PRECEDING  CALENDAR  YEAR  AS  THE
RESULT  OF  REVENUE  DERIVED PURSUANT TO SECTIONS TWO HUNDRED NINE-H AND
SIX HUNDRED TWENTY-SEVEN-A OF THE TAX LAW, AND FROM  ALL  GRANTS,  GIFTS
AND BEQUESTS.
  4.  MONEYS  OF  THE  FUND SHALL BE EXPENDED ONLY FOR THE CONSTRUCTION,
ESTABLISHMENT, EXPANSION, IMPROVEMENT, SUPPORT,  OPERATION,  MAINTENANCE
AND  THE  PROVISION  OF  PERPETUAL CARE OF STATE VETERANS CEMETERIES. AS
USED IN  THIS  SECTION,  "THE  CONSTRUCTION,  ESTABLISHMENT,  EXPANSION,
IMPROVEMENT,  SUPPORT,  OPERATION,  MAINTENANCE  AND  THE  PROVISION  OF
PERPETUAL CARE OF STATE VETERANS CEMETERIES" SHALL INCLUDE, BUT  NOT  BE
LIMITED TO:
  (A)  THE  PURCHASE,  LEASING OR IMPROVEMENT OF LAND FOR THE PURPOSE OF
THE CONSTRUCTION, ESTABLISHMENT, EXPANSION, IMPROVEMENT, SUPPORT, OPERA-
TION, MAINTENANCE AND THE PROVISION OF PERPETUAL CARE OF STATE  VETERANS
CEMETERIES;
  (B) THE PURCHASE, LEASING, CONSTRUCTION OR IMPROVEMENT OF BUILDINGS OR
INFRASTRUCTURE  FOR  THE  PURPOSE  OF  THE  CONSTRUCTION, ESTABLISHMENT,
EXPANSION,  IMPROVEMENT,  SUPPORT,  OPERATION,   MAINTENANCE   AND   THE
PROVISION OF PERPETUAL CARE OF STATE VETERANS CEMETERIES;
  (C)  THE  PURCHASE OR LEASING OF EQUIPMENT, TOOLS, BUILDING MATERIALS,
LANDSCAPING MATERIALS, MEMORIAL HEADSTONES OR MARKERS, MONUMENTS, COLUM-
BARIUM NICHES, MAUSOLEUMS, CRYPTS, FLAGS, FLAG POLES, OR RELATED  REMEM-
BRANCE OR CEMETERY ITEMS FOR THE CONSTRUCTION, ESTABLISHMENT, EXPANSION,
IMPROVEMENT,  SUPPORT,  OPERATION,  MAINTENANCE  AND  THE  PROVISION  OF
PERPETUAL CARE OF STATE VETERANS CEMETERIES;
  (D) THE PAYMENT OF SALARIES,  WAGES,  BENEFITS,  PROFESSIONAL  SERVICE
FEES,  CONTRACT  FEES,  ASSOCIATION FEES, OR OTHER CHARGES NECESSARY FOR
THE CONSTRUCTION, ESTABLISHMENT, EXPANSION, IMPROVEMENT, SUPPORT, OPERA-

S. 2607--D                         86                         A. 3007--D

TION, MAINTENANCE AND THE PROVISION OF PERPETUAL CARE OF STATE  VETERANS
CEMETERIES; AND/OR
  (E)  THE  PURCHASE  OF  ANY  OTHER  ITEM  OR SERVICE NECESSARY FOR THE
CONSTRUCTION, ESTABLISHMENT, EXPANSION, IMPROVEMENT, SUPPORT, OPERATION,
MAINTENANCE AND THE PROVISION OF PERPETUAL  CARE  OF  A  STATE  VETERANS
CEMETERY.
  5.  MONEYS  SHALL BE PAYABLE FROM THE FUND ON THE AUDIT AND WARRANT OF
THE COMPTROLLER ON VOUCHERS APPROVED AND CERTIFIED BY  THE  DIRECTOR  OF
THE DIVISION OF VETERANS AFFAIRS.
  6.  MONEYS  IN  THE  VETERANS REMEMBRANCE AND CEMETERY MAINTENANCE AND
OPERATION FUND SHALL BE KEPT SEPARATE AND SHALL NOT BE  COMMINGLED  WITH
ANY  OTHER  MONEYS IN THE CUSTODY OF THE COMMISSIONER OF TAXATION AND/OR
THE COMPTROLLER.
  S 3. Subdivision 12 of section 353 of the executive  law  is  REPEALED
and a new subdivision 12 is added to read as follows:
  12.  (A) FOR THE PURPOSE OF PROVIDING FOR THE CONSTRUCTION, ESTABLISH-
MENT, EXPANSION, IMPROVEMENT, SUPPORT, OPERATION,  MAINTENANCE  AND  THE
PROVISION OF PERPETUAL CARE FOR STATE VETERANS CEMETERIES, TO SEEK FUND-
ING FROM, AND MAKE APPLICATION FOR FUNDING TO:
  (1)  THE  GOVERNMENT  OF  THE  UNITED  STATES, INCLUDING ANY AGENCY OR
PUBLIC AUTHORITY THEREOF;
  (2) THE GOVERNMENT OF THE STATE OF NEW YORK, INCLUDING ANY  AGENCY  OR
PUBLIC AUTHORITY THEREOF;
  (3)  ANY  POLITICAL  SUBDIVISION OF THE GOVERNMENT OF THE STATE OF NEW
YORK, INCLUDING ANY AGENCY OR PUBLIC AUTHORITY THEREOF; OR
  (4) ANY PRIVATE INDIVIDUAL, CORPORATION OR FOUNDATION;
  (B) PURSUANT TO SECTION THREE HUNDRED SIXTY-FIVE OF THIS  ARTICLE,  TO
PROVIDE  FOR  THE  CONSTRUCTION,  ESTABLISHMENT, EXPANSION, IMPROVEMENT,
SUPPORT, OPERATION, MAINTENANCE AND THE PROVISION OF PERPETUAL CARE  FOR
STATE VETERANS CEMETERIES;
  (C)  TO EXPEND MONEYS FROM THE VETERANS REMEMBRANCE AND CEMETERY MAIN-
TENANCE AND OPERATION FUND, ESTABLISHED PURSUANT TO SECTION  NINETY-SEV-
EN-MMMM OF THE STATE FINANCE LAW; AND
  (D) TO EVALUATE, MONITOR AND OTHERWISE OVERSEE THE OPERATION OF VETER-
ANS CEMETERIES IN THIS STATE.
  S 4. Subdivision 12-a of section 353 of the executive law is REPEALED.
  S  5. The executive law is amended by adding a new section 365 to read
as follows:
  S 365. NEW YORK STATE VETERANS CEMETERIES. 1. LEGISLATIVE INTENT.  THE
LEGISLATURE  FINDS AND DETERMINES THAT THE DEVOTED SERVICE AND SACRIFICE
OF VETERANS DESERVE IMPORTANT, UNIQUE AND  ETERNAL  RECOGNITION  BY  THE
STATE OF NEW YORK. THAT IT IS BY MEANS OF THE DEVOTED SERVICE AND SACRI-
FICE OF VETERANS THAT THE LIBERTY, FREEDOM AND PROSPERITY ENJOYED BY ALL
NEW YORKERS IS MAINTAINED AND PRESERVED.
  THE  LEGISLATURE  FURTHER  FINDS  AND  DETERMINES THAT TO PROVIDE THIS
IMPORTANT, UNIQUE AND ETERNAL RECOGNITION, THE STATE SHALL  ESTABLISH  A
PROGRAM  OF NEW YORK STATE VETERANS CEMETERIES IN NEW YORK. SUCH PROGRAM
SHALL PROVIDE FOR THE CONSTRUCTION, ESTABLISHMENT,  EXPANSION,  IMPROVE-
MENT,  SUPPORT,  OPERATION,  MAINTENANCE  AND THE PROVISION OF PERPETUAL
CARE FOR STATE VETERANS CEMETERIES IN THIS STATE, AND  THEREBY  FOR  THE
MEMORIALIZATION AND REMEMBRANCE OF INDIVIDUAL VETERANS AND THEIR SERVICE
TO THEIR COMMUNITY, STATE AND NATION.
  THE LEGISLATURE ADDITIONALLY FINDS AND DETERMINES THAT IT IS THEREFORE
NECESSARY  TO  PROVIDE  FOR THE CONSTRUCTION AND ESTABLISHMENT OF ONE OR
MORE NEW YORK STATE VETERANS CEMETERIES, AND THAT TO THEREAFTER, PROVIDE
FOR THE EXPANSION, IMPROVEMENT, SUPPORT, OPERATION, MAINTENANCE AND  THE

S. 2607--D                         87                         A. 3007--D

PROVISION  OF  PERPETUAL  CARE OF ALL SUCH CEMETERIES SO CONSTRUCTED AND
ESTABLISHED. THE LEGISLATURE ALSO FINDS AND DETERMINES THAT IT IS APPRO-
PRIATE TO HAVE THE RESPONSIBILITY FOR THE  CONSTRUCTION,  ESTABLISHMENT,
EXPANSION,   IMPROVEMENT,   SUPPORT,   OPERATION,  MAINTENANCE  AND  THE
PROVISION OF PERPETUAL CARE FOR VETERANS CEMETERIES IN THIS STATE, TO BE
UNDER THE OVERSIGHT AND DIRECTION OF  THE  STATE  DIVISION  OF  VETERANS
AFFAIRS,  AND ITS DIRECTOR, INDIVIDUALLY, AND AS CHAIR OF THE MANAGEMENT
BOARD, FOR EACH SUCH VETERANS CEMETERY SO CONSTRUCTED AND ESTABLISHED.
  2. THE ESTABLISHMENT OF THE FIRST NEW YORK  STATE  VETERANS  CEMETERY.
(A)  THE  DIVISION,  IN COOPERATION WITH THE UNITED STATES DEPARTMENT OF
VETERANS AFFAIRS, AND IN CONSULTATION WITH, AND UPON THE SUPPORT OF  THE
DEPARTMENT  OF  STATE  DIVISION  OF  CEMETERIES,  IS  HEREBY DIRECTED TO
CONDUCT AN INVESTIGATION AND STUDY ON THE ISSUE OF THE CONSTRUCTION  AND
ESTABLISHMENT OF THE FIRST NEW YORK STATE VETERANS CEMETERY. SUCH INVES-
TIGATION AND STUDY SHALL INCLUDE, BUT NOT BE LIMITED TO:
  (I)  POTENTIAL  SITE  LOCATIONS FOR SUCH CEMETERY, WITH FULL CONSIDER-
ATION AS TO THE NEEDS OF THE VETERANS POPULATION;
  (II) THE SIZE OF THE CEMETERY AND TYPES OF GRAVE SITES;
  (III) THE NUMBER OF ANNUAL INTERMENTS AT THE CEMETERY;
  (IV) TRANSPORTATION ACCESSIBILITY TO THE CEMETERY BY  VETERANS,  THEIR
FAMILIES AND THE GENERAL PUBLIC;
  (V) COSTS FOR CONSTRUCTION OF THE CEMETERY;
  (VI)  COSTS OF OPERATION OF THE CEMETERY, INCLUDING BUT NOT LIMITED TO
STAFFING COSTS TO MAINTAIN THE CEMETERY;
  (VII) SCALABILITY OF THE CEMETERY FOR FUTURE GROWTH AND EXPANSION;
  (VIII) POTENTIAL FOR FUNDING FOR THE CEMETERY FROM FEDERAL, LOCAL  AND
PRIVATE SOURCES;
  (IX) COST OF MAINTENANCE;
  (X) DATA ON THE POPULATION THAT WOULD BE SERVED BY THE SITE;
  (XI) THE AVERAGE AGE OF THE POPULATION IN THE AREA COVERED;
  (XII) THE MORTALITY RATE OF THE VETERAN POPULATION FOR THE AREA;
  (XIII) SURROUNDING LAND USE;
  (XIV) TOPOGRAPHY OF THE LAND;
  (XV) SITE CHARACTERISTICS;
  (XVI) COST OF LAND ACQUISITION;
  (XVII)  THE  LOCATION OF EXISTING CEMETERIES INCLUDING BUT NOT LIMITED
TO NATIONAL VETERANS' CEMETERIES,  COUNTY  VETERANS'  CEMETERIES,  CEME-
TERIES  THAT  HAVE  PLOTS DEVOTED TO VETERANS, NOT-FOR-PROFIT CEMETERIES
AND ANY OTHER BURIAL GROUND DEVOTED TO VETERANS AND ANY  OTHER  TYPE  OF
BURIAL  GROUNDS  DEVOTED  TO  THE  INTERMENT OF HUMAN REMAINS THAT IS OF
PUBLIC RECORD; AND
  (XVIII) SUCH OTHER AND FURTHER ITEMS AS THE DIRECTOR OF  THE  DIVISION
DEEMS NECESSARY FOR THE FIRST STATE VETERANS CEMETERY TO BE SUCCESSFUL.
  A REPORT OF THE INVESTIGATION AND STUDY CONCLUSIONS SHALL BE DELIVERED
TO  THE  GOVERNOR, THE TEMPORARY PRESIDENT OF THE SENATE, THE SPEAKER OF
THE ASSEMBLY AND THE CHAIR OF THE SENATE COMMITTEE ON VETERANS, HOMELAND
SECURITY AND MILITARY AFFAIRS, AND THE CHAIR OF THE  ASSEMBLY  COMMITTEE
ON  VETERANS' AFFAIRS BY NO LATER THAN ONE HUNDRED EIGHTY DAYS AFTER THE
DIVISION HAS COMMENCED THE CONDUCT OF THE INVESTIGATION AND STUDY.
  (B) PRIOR TO THE COMMENCEMENT OF THE INVESTIGATION AND STUDY  PURSUANT
TO  PARAGRAPH  (A)  OF THIS SUBDIVISION, THE DIRECTOR OF THE DIVISION OF
VETERANS' AFFAIRS, THE DIRECTOR OF  THE  DIVISION  OF  THE  BUDGET,  THE
DIRECTOR  OF  THE  DEPARTMENT OF STATE'S DIVISION OF CEMETERIES, AND THE
OFFICE OF THE STATE COMPTROLLER MUST CERTIFY TO THE GOVERNOR, THE TEMPO-
RARY PRESIDENT OF THE SENATE, THE SPEAKER OF THE ASSEMBLY, THE CHAIR  OF
THE  SENATE  FINANCE  COMMITTEE  AND  THE CHAIR OF THE ASSEMBLY WAYS AND

S. 2607--D                         88                         A. 3007--D

MEANS COMMITTEE THAT THE VETERANS REMEMBRANCE AND  CEMETERY  MAINTENANCE
AND OPERATION FUND, CREATED PURSUANT TO SECTION NINETY-SEVEN-MMMM OF THE
STATE  FINANCE  LAW,  CONTAINS  MONEYS  SUFFICIENT,  ADJUSTED TO REFLECT
PROJECTED  FUTURE  INFLATION, TO FUND THE OPERATION, MAINTENANCE AND THE
PROVISION OF PERPETUAL CARE OF A STATE VETERANS' CEMETERY FOR  A  PERIOD
OF  NOT  LESS  THAN  FIFTEEN  YEARS, PROVIDED THAT SUCH AMOUNT SHALL NOT
INCLUDE ANY AMOUNT THAT SHALL BE REIMBURSED OR CONTRIBUTED TO THE  CEME-
TERY  FROM  THE GOVERNMENT OF THE UNITED STATES OR ANY AMOUNT THAT WOULD
BE RECOVERABLE BY THE CEMETERY PURSUANT TO  A  CHARGE  OF  FEE  FOR  THE
PROVISION  OF A GRAVE SITE FOR A NON-VETERAN SPOUSE OR FAMILY MEMBER. IN
MAKING SUCH A CERTIFICATION, THE DIRECTOR OF THE DIVISION  OF  VETERANS'
AFFAIRS, THE DIRECTOR OF THE DIVISION OF THE BUDGET, THE DIRECTOR OF THE
DEPARTMENT  OF  STATE'S  DIVISION  OF  CEMETERIES, AND THE OFFICE OF THE
STATE COMPTROLLER SHALL CONSIDER, BUT ARE NOT LIMITED TO, THE  FOLLOWING
FACTORS:
  (I)  PHYSICAL  ATTRIBUTES  OF  THE  VETERANS CEMETERY, INCLUDING SIZE,
LOCATION, AND TERRAIN;
  (II) MANAGEMENT AND  OPERATION,  INCLUDING  STAFFING  COSTS,  COST  OF
EQUIPMENT AND EQUIPMENT MAINTENANCE, AND SECURITY COSTS;
  (III)  RELEVANT  STATE AND FEDERAL REQUIREMENTS AND SPECIFICATIONS FOR
INTERMENT AND PERPETUAL CARE;
  (IV) ESTIMATES PROVIDED BY THE UNITED STATES  DEPARTMENT  OF  VETERANS
AFFAIRS;
  (V) ANY OTHER FISCAL COST, CHARGE OR ASSESSMENT THAT WOULD BE INCURRED
BY THE CEMETERY.
  (C) BY NO LATER THAN NINETY DAYS FOLLOWING THE ISSUANCE OF THE REPORT,
PURSUANT TO THE RULES AND REGULATIONS ISSUED UNDER PARAGRAPH (H) OF THIS
SUBDIVISION,  THE  DIRECTOR  SHALL  ISSUE,  ON BEHALF OF THE DIVISION, A
REQUEST FOR PROPOSALS FOR ANY LOCAL  GOVERNMENT  DESIRING  TO  HAVE  THE
FIRST  STATE VETERANS CEMETERY LOCATED WITHIN ITS POLITICAL SUBDIVISION.
SUCH REQUEST FOR PROPOSALS SHALL BE RETURNABLE TO  THE  DIVISION  BY  NO
LATER  THAN  SIXTY  DAYS  FOLLOWING  THE  ISSUANCE  OF  THE  REQUEST FOR
PROPOSALS.
  (D) NO LATER THAN SIXTY DAYS FOLLOWING THE DEADLINE FOR THE RETURN  OF
REQUESTS  FOR  PROPOSALS  PURSUANT TO PARAGRAPH (C) OF THIS SUBDIVISION,
THE DIRECTOR, IN CONSULTATION WITH THE MANAGEMENT BOARD OF THE FIRST NEW
YORK STATE VETERANS CEMETERY, SHALL SELECT A SITE FOR THE FIRST NEW YORK
STATE VETERANS CEMETERY. IN SELECTING  SUCH  SITE,  THE  DIRECTOR  SHALL
CONSIDER:
  (I)  THE INVESTIGATION AND STUDY, AND THE REPORT PRODUCED BY THE SAME,
PURSUANT TO PARAGRAPH (A) OF THIS SUBDIVISION;
  (II) THE SUBMITTED RESPONSES TO  THE  REQUESTS  FOR  PROPOSALS  ISSUED
PURSUANT TO PARAGRAPH (B) OF THIS SUBDIVISION;
  (III)  THE  GUIDELINES  FOR  RECEIPT  OF  FEDERAL FUNDING SPECIFIED IN
SECTION 2408 OF TITLE 38 OF THE UNITED STATES CODE, PART 39 OF TITLE  38
OF THE CODE OF FEDERAL REGULATIONS, AND ANY OTHER RELEVANT FEDERAL STAT-
UTE OR REGULATION;
  (IV) THE POSSIBILITY OF FUNDING FROM PRIVATE INDIVIDUALS, CORPORATIONS
OR FOUNDATIONS; AND
  (V) ANY OTHER CONSIDERATION THAT WOULD FACILITATE THE SUCCESSFUL OPER-
ATION OF THE FIRST NEW YORK STATE VETERANS CEMETERY.
  (E)  NO  LATER  THAN  THIRTY  DAYS FOLLOWING THE SELECTION OF THE SITE
PURSUANT TO PARAGRAPH (D) OF THIS SUBDIVISION, THE DIRECTOR, IN  CONSUL-
TATION  WITH  THE  MANAGEMENT BOARD OF THE FIRST NEW YORK STATE VETERANS
CEMETERY, SHALL COMMENCE THE APPLICATION PROCESS FOR  FUNDING  FROM  THE
GOVERNMENT  OF  THE UNITED STATES, IN ACCORDANCE WITH THE GRANT REQUIRE-

S. 2607--D                         89                         A. 3007--D

MENTS SPECIFIED IN SECTION 2408 OF TITLE 38 OF THE UNITED  STATES  CODE,
PART  39  OF  TITLE 38 OF THE CODE OF FEDERAL REGULATIONS, AND ANY OTHER
RELEVANT FEDERAL STATUTE OR REGULATION, FOR THE PURPOSE OF SEEKING FUNDS
TO  SUPPORT  THE  CONSTRUCTION,  ESTABLISHMENT,  EXPANSION, IMPROVEMENT,
SUPPORT, OPERATION, MAINTENANCE AND THE PROVISION OF PERPETUAL  CARE  OF
NEW  YORK  STATE'S FIRST VETERANS CEMETERY. SUCH GRANT APPLICATION SHALL
BE BASED ON A SITE SELECTED PURSUANT TO PARAGRAPH (D) OF  THIS  SUBDIVI-
SION, AND SHALL BE CONSISTENT WITH THE GUIDELINES FOR RECEIPT OF FEDERAL
FUNDING PURSUANT TO THE RELEVANT PROVISIONS OF FEDERAL LAW.
  (F)  A MANAGEMENT BOARD FOR THE FIRST NEW YORK STATE VETERANS CEMETERY
SHALL BE APPOINTED PURSUANT TO SUBDIVISION THREE OF THIS SECTION.
  (G) NOTHING IN THIS SECTION SHALL BE CONSTRUED TO AUTHORIZE THE  DIVI-
SION  OF VETERANS' AFFAIRS TO COMMENCE AN INVESTIGATION AND STUDY PURSU-
ANT TO  PARAGRAPH  (A)  OF  THIS  SUBDIVISION,  ISSUING  A  REQUEST  FOR
PROPOSALS  PURSUANT  TO  PARAGRAPH  (C) OF THIS SUBDIVISION, SELECTING A
SITE FOR THE FIRST NEW YORK STATE VETERANS CEMETERY  PURSUANT  TO  PARA-
GRAPH (D) OF THIS SUBDIVISION, OR SUBMITTING ANY APPLICATION FOR FUNDING
FROM  THE  GOVERNMENT  OF THE UNITED STATES IN ACCORDANCE WITH THE GRANT
REQUIREMENTS SPECIFIED IN SECTION 2408 OF TITLE 38 OF THE UNITED  STATES
CODE,  PART 30 OF TITLE 38 OF THE CODE OF FEDERAL REGULATIONS, AND OTHER
RELEVANT FEDERAL STATUTES OR REGULATIONS, FOR  THE  PURPOSE  OF  SEEKING
FUNDS  TO  SUPPORT  THE CONSTRUCTION, ESTABLISHMENT, EXPANSION, IMPROVE-
MENT, SUPPORT, OPERATION, MAINTENANCE AND  THE  PROVISION  OF  PERPETUAL
CARE  OF  NEW YORK STATE'S FIRST VETERANS CEMETERY PURSUANT TO PARAGRAPH
(E) OF THIS SUBDIVISION UNTIL THE FUNDS IN THE VETERANS REMEMBRANCE  AND
CEMETERY  MAINTENANCE AND OPERATION FUND HAVE BEEN CERTIFIED PURSUANT TO
PARAGRAPH (B) OF THIS SUBDIVISION.
  (H) THE DIRECTOR SHALL PROMULGATE RULES AND REGULATIONS GOVERNING:
  (I) THE GUIDELINES AND STANDARDS FOR THE CONSTRUCTION,  ESTABLISHMENT,
EXPANSION,   IMPROVEMENT,   SUPPORT,   OPERATION,  MAINTENANCE  AND  THE
PROVISION OF PERPETUAL CARE FOR A STATE VETERANS CEMETERY.  SUCH  GUIDE-
LINES SHALL INCLUDE, BUT NOT BE LIMITED TO:
  (1) THE SIZE AND TERRAIN OF THE CEMETERY;
  (2)  THE  MANAGEMENT  AND OPERATION OF THE CEMETERY, INCLUDING BUT NOT
LIMITED TO:
  (A) HOURS OF OPERATION;
  (B) EMPLOYEES, EMPLOYEE RELATIONS, AND EMPLOYEE DUTIES;
  (C) THE CONDUCT AND PRACTICE OF EVENTS, CEREMONIES AND PROGRAMS;
  (D) THE FILING AND COMPLIANCE OF THE CEMETERY WITH STATE  AND  FEDERAL
REGULATORS; AND
  (E)  SUCH  OTHER  AND FURTHER OPERATIONAL AND MANAGEMENT PRACTICES AND
PROCEDURES AS THE DIRECTOR SHALL  DETERMINE  TO  BE  NECESSARY  FOR  THE
SUCCESSFUL OPERATION OF A STATE VETERANS CEMETERY.
  (3) THE LAYOUT OF PLOTS;
  (4)  THE  LOCATIONS  OF BUILDING AND INFRASTRUCTURE, INCLUDING BUT NOT
LIMITED TO:
  (A) ELECTRICAL LINES AND FACILITIES;
  (B) WATERLINES, IRRIGATION SYSTEMS, AND DRAINAGE FACILITIES;
  (C) TREES, FLOWERS AND OTHER PLANTINGS;
  (D) NON GRAVESITE MEMORIALS, GRAVESITE MEMORIALS,  MAUSOLEUMS,  COLUM-
BARIUM  NICHES,  HEADSTONES, GRAVE MARKERS, INDOOR INTERMENT FACILITIES,
COMMITTAL-SERVICE SHELTERS, SIGNAGE,  FLAG  POLES,  AND  OTHER  MEMORIAL
GATHERING SPACES OR INFRASTRUCTURE;
  (E) ROADWAYS, PEDESTRIAN PATHWAYS, PARKING SITES, CURBS AND CURB CUTS;
  (F) PONDS, LAKES AND OTHER WATER SITES;

S. 2607--D                         90                         A. 3007--D

  (G)  RETAINING WALLS, GATES, FENCES, SECURITY SYSTEMS OR OTHER DEVICES
FOR CEMETERY PROTECTION; AND
  (H)  ANY  OTHER  BUILDINGS, STRUCTURES OR INFRASTRUCTURE NECESSARY FOR
THE SAFE, EFFICIENT AND EFFECTIVE OPERATION OF THE CEMETERY;
  (5) THE QUALIFICATIONS FOR INTERMENT, CONSISTENT WITH  THE  PROVISIONS
OF STATE AND FEDERAL LAW AND ANY REQUIREMENTS PURSUANT TO THE RECEIPT OF
FEDERAL, STATE, LOCAL OR PRIVATE FUNDS;
  (6) THE LOCATION AND PLACEMENT OF INTERMENTS;
  (7)  CONSISTENT  WITH  THE PROVISIONS OF STATE AND FEDERAL LAW AND ANY
REQUIREMENTS PURSUANT TO THE RECEIPT OF FEDERAL, STATE, LOCAL OR PRIVATE
FUNDS, THE FINANCIAL MANAGEMENT  OF  THE  CEMETERY,  INCLUDING  BUT  NOT
LIMITED TO:
  (A)  THE PROCEDURES FOR THE PROTECTION AND IMPLEMENTATION OF THE CEME-
TERY'S ANNUAL BUDGET;
  (B) THE SEEKING, COLLECTING,  DEPOSIT  AND  EXPENDITURE  OF  OPERATING
FUNDS PURSUANT TO THE CEMETERY'S BUDGET;
  (C)  THE SEEKING, COLLECTING, DEPOSIT AND EXPENDITURE OF CAPITAL FUNDS
PURSUANT TO THE CEMETERY'S CAPITAL PLAN;
  (D) THE SEEKING, COLLECTING,  DEPOSIT  AND  EXPENDITURE  OF  EMERGENCY
FUNDS TO ADDRESS AN UNEXPECTED EVENT;
  (E)  THE  ASSESSMENT,  CHARGING,  COLLECTION  AND  DEPOSIT OF FEES AND
CHARGES;
  (F) THE MANAGEMENT OF CEMETERY FINANCES, BOTH CURRENT AND FUTURE, WITH
RESPECT TO INVESTMENTS; AND
  (G) SUCH OTHER AND FURTHER PROCEDURES AND  ACTIVITIES  CONCERNING  THE
FINANCIAL MANAGEMENT OF THE CEMETERY;
  (8)  THE  PROVISION  OF PERPETUAL CARE FOR THE CEMETERY, INCLUDING BUT
NOT LIMITED TO:
  (A) THE FREQUENCY, STANDARDS AND METHODS FOR  THE  BEAUTIFICATION  AND
MAINTENANCE  OF  GROUNDS,  MEMORIALS,  GRAVESITES, BUILDINGS, CEREMONIAL
SITES, OR OTHER LOCATIONS WITHIN, OR UPON THE CURTILAGE OF THE CEMETERY;
  (B) THE FREQUENCY, STANDARDS AND METHODS FOR THE PROVISION  OF  FLAGS,
PATRIOTIC  AND  MILITARY  SYMBOLS,  AND  OTHER  HONORARY  ITEMS, AT EACH
GRAVESITE AND THROUGHOUT THE CEMETERY; AND
  (C) SUCH OTHER AND FURTHER STANDARDS AS ARE NECESSARY  TO  ASSURE  THE
PROPER  PERPETUAL CARE OF THE CEMETERY IN A MANNER BEFITTING THE HIGHEST
LEVEL OF HONOR AND RESPECT DESERVING TO THOSE VETERANS AND  THEIR  FAMI-
LIES INTERRED IN THE CEMETERY;
  (9) GUIDELINES AND STANDARDS FOR THE PROCUREMENT OF LAND FOR THE CEME-
TERY  PROVIDING  THAT  THE STATE VETERANS CEMETERY, AND ALL THE PROPERTY
UPON WHICH IT RESIDES SHALL BE OWNED IN FEE SIMPLE ABSOLUTE BY THE STATE
OF NEW YORK;
  (10) GUIDELINES AND STANDARDS FOR THE PRACTICES AND PROCEDURES FOR THE
CONSTRUCTION AND ESTABLISHMENT OF A STATE VETERANS  CEMETERY,  INCLUDING
CONTRACTING  AND  PURCHASING  FOR  CONSTRUCTION  SERVICES,  PROFESSIONAL
SERVICES, LEGAL SERVICES, ARCHITECTURAL SERVICES,  CONSULTING  SERVICES,
AS  WELL  AS THE PROCUREMENT OF MATERIALS, ALL CONSISTENT WITH THE RELE-
VANT PROVISIONS OF FEDERAL, STATE AND LOCAL LAW, THE REGULATIONS PROMUL-
GATED THEREUNDER, AND THE REQUIREMENTS CONTAINED IN THE  GRANTS  AWARDED
OR  PURSUED  FROM THE FEDERAL GOVERNMENT, OR ANY SOURCE OF PRIVATE FUND-
ING;
  (11) GUIDELINES AND STANDARDS FOR THE PRACTICES AND PROCEDURES FOR THE
EXPANSION AND  IMPROVEMENT  OF  A  STATE  VETERANS  CEMETERY,  INCLUDING
CONTRACTING  AND  PURCHASING  FOR  CONSTRUCTION  SERVICES,  PROFESSIONAL
SERVICES, LEGAL SERVICES, ARCHITECTURAL SERVICES,  CONSULTING  SERVICES,
AS  WELL  AS THE PROCUREMENT OF MATERIALS, ALL CONSISTENT WITH THE RELE-

S. 2607--D                         91                         A. 3007--D

VANT PROVISIONS OF FEDERAL, STATE AND LOCAL LAW, THE REGULATIONS PROMUL-
GATED THEREUNDER, AND THE REQUIREMENTS CONTAINED IN THE  GRANTS  AWARDED
OR  PURSUED  FROM THE FEDERAL GOVERNMENT, OR ANY SOURCE OF PRIVATE FUND-
ING;
  (12)  ANY  OTHER  GUIDELINES  AND  STANDARDS THAT WOULD FACILITATE THE
SUCCESSFUL CONSTRUCTION, ESTABLISHMENT, EXPANSION, IMPROVEMENT, SUPPORT,
OPERATION, MAINTENANCE AND THE PROVISION OF PERPETUAL CARE FOR THE STATE
VETERANS CEMETERY;
  (II) GUIDELINES AND STANDARDS FOR THE REQUEST FOR  PROPOSALS  FOR  ANY
LOCAL  GOVERNMENT  DESIRING  TO  HAVE  THE FIRST STATE VETERANS CEMETERY
LOCATED WITHIN ITS POLITICAL SUBDIVISION, PURSUANT TO PARAGRAPH  (B)  OF
THIS SUBDIVISION, INCLUDING, BUT NOT LIMITED TO:
  (1)  THE FORM, REQUIREMENTS AND STANDARDS REQUIRED FOR SUBMISSION OF A
RESPONSE TO THE REQUEST FOR PROPOSALS;
  (2) THE REQUIREMENT, IF THE DIRECTOR SO ELECTS, THAT A RESPONSE  SHALL
REQUIRE  THE LOCAL GOVERNMENT TO AGREE TO CONTRACT WITH THE STATE OF NEW
YORK THAT ALL COSTS FOR CONSTRUCTION, ESTABLISHMENT, EXPANSION, IMPROVE-
MENT, SUPPORT, OPERATION, MAINTENANCE AND  THE  PROVISION  OF  PERPETUAL
CARE  OF  THE VETERANS CEMETERY SHALL BE THE SOLE RESPONSIBILITY OF, AND
PAID BY THE LOCAL GOVERNMENT, AND THAT TO THE EXTENT SUCH COSTS ARE  NOT
PAID  OR REIMBURSED BY THE GOVERNMENT OF THE UNITED STATES, OR A PRIVATE
INDIVIDUAL, CORPORATION OR FOUNDATION;
  (3) THE REQUIREMENT THAT THE LOCAL GOVERNMENT  WILL  COMPLY  WITH  ALL
STATE  AND FEDERAL STATUTES AND REGULATIONS CONCERNING THE CONSTRUCTION,
ESTABLISHMENT, EXPANSION, IMPROVEMENT, SUPPORT,  OPERATION,  MAINTENANCE
AND  THE PROVISION OF PERPETUAL CARE OF THE STATE VETERANS CEMETERY, AND
SHALL SATISFY ANY AND ALL APPLICABLE STATE  AND  FEDERAL  STANDARDS  AND
REQUIREMENTS FOR THE PERPETUAL CARE OF THE STATE VETERANS CEMETERY;
  (4)  THAT THE STATE VETERANS CEMETERY, AND ALL THE PROPERTY UPON WHICH
IT RESIDES SHALL BE OWNED IN FEE SIMPLE ABSOLUTE BY  THE  STATE  OF  NEW
YORK;
  (5)  THAT ALL LANDS UPON WHICH SUCH CEMETERY IS CONSTRUCTED AND ESTAB-
LISHED SHALL BE USED SOLELY FOR STATE VETERANS  CEMETERY  PURPOSES,  AND
FOR  THE  PURPOSE OF PROVIDING THE HONOR AND REMEMBRANCE OF VETERANS AND
THEIR SERVICE THROUGH CEREMONIES AND PROGRAMS;
  (6) THE REQUIREMENT THAT A RESPONSE SHALL REQUIRE THE LOCAL GOVERNMENT
TO AGREE TO AUTHORIZE THE STATE OF NEW YORK, IN THE EVENT THAT THE LOCAL
GOVERNMENT FAILS TO PERFORM ITS OBLIGATIONS UNDER THE CONTRACT WITH  THE
STATE  OF NEW YORK, THAT THE STATE DIRECTOR OF THE DIVISION OF VETERANS'
AFFAIRS SHALL CERTIFY TO THE  COMPTROLLER  ANY  UNPAID  AMOUNTS  OR  ANY
AMOUNTS  NECESSARY  FOR  THE  STATE  TO ASSUME THE OBLIGATIONS WHICH THE
LOCAL GOVERNMENT FAILED TO PERFORM, AND THE COMPTROLLER  SHALL,  TO  THE
EXTENT  NOT  OTHERWISE  PROHIBITED BY LAW, WITHHOLD SUCH AMOUNT FROM ANY
STATE AID OR OTHER AMOUNT PAYABLE  TO  SUCH  LOCAL  GOVERNMENT;  TO  THE
EXTENT THAT SUFFICIENT FUNDS ARE NOT AVAILABLE FOR SUCH WITHHOLDING, THE
STATE  MAY  PURSUE  ANY  AND ALL AVAILABLE LEGAL REMEDIES TO ENFORCE THE
TERMS OF THE CONTRACT ENTERED INTO BETWEEN THE STATE AND A LOCAL GOVERN-
MENT PURSUANT TO THIS SUBDIVISION; AND
  (7) SUCH OTHER AND FURTHER  REQUIREMENTS  AS  THE  DIRECTOR  MAY  DEEM
PRUDENT  IN THE FACILITATION OF THE SUCCESSFUL SITING AND OPERATION OF A
STATE VETERANS CEMETERY IN THE JURISDICTION OF THE LOCAL GOVERNMENT; AND
  (III) SUCH OTHER AND FURTHER GUIDELINES AND STANDARDS AS ARE NECESSARY
FOR THE SUCCESSFUL CONSTRUCTION, ESTABLISHMENT, EXPANSION,  IMPROVEMENT,
SUPPORT,  OPERATION, MAINTENANCE AND THE PROVISION OF PERPETUAL CARE FOR
A STATE VETERANS CEMETERY;

S. 2607--D                         92                         A. 3007--D

  (I) UPON THE APPROVAL OF THE APPLICATION FOR FUNDING FROM THE  GOVERN-
MENT OF THE UNITED STATES, MADE PURSUANT TO PARAGRAPH (E) OF THIS SUBDI-
VISION, THE DIRECTOR, UPON CONSULTATION WITH THE MANAGEMENT BOARD, SHALL
COMMENCE  THE  PROCESS  OF  CONSTRUCTION  AND ESTABLISHMENT OF THE FIRST
STATE VETERANS CEMETERY. SUCH PROCESS SHALL BE CONSISTENT WITH THE RELE-
VANT PROVISIONS OF LOCAL, STATE AND FEDERAL LAW, AND THE RULES AND REGU-
LATIONS ESTABLISHED PURSUANT TO PARAGRAPH (H) OF THIS SUBDIVISION.
  3.  MANAGEMENT  BOARDS  OF NEW YORK STATE VETERANS CEMETERIES. (A) FOR
EACH NEW YORK STATE VETERANS CEMETERY THERE SHALL BE A MANAGEMENT BOARD.
EACH SUCH MANAGEMENT BOARD SHALL CONSIST OF NINE MEMBERS, INCLUDING  THE
DIRECTOR  OF  THE  DIVISION  WHO SHALL SERVE AS CHAIR, AND FOUR MEMBERS,
APPOINTED BY THE GOVERNOR. OF SUCH FOUR  MEMBERS,  NOT  FEWER  THAN  TWO
SHALL  BE  A  VETERAN OF THE UNITED STATES ARMY, THE UNITED STATES NAVY,
THE UNITED STATES AIR FORCE, THE UNITED STATES  MARINES,  THE  NEW  YORK
ARMY NATIONAL GUARD, THE NEW YORK AIR NATIONAL GUARD, THE NEW YORK NAVAL
MILITIA, OR A MEMBER WHO HAS SERVED IN A THEATER OF COMBAT OPERATIONS OF
THE UNITED STATES COAST GUARD OR THE UNITED STATES MERCHANT MARINE.  TWO
MEMBERS SHALL BE APPOINTED BY THE TEMPORARY PRESIDENT OF THE SENATE, AND
TWO MEMBERS SHALL BE APPOINTED BY THE SPEAKER OF THE STATE ASSEMBLY.  AT
LEAST  ONE  OF  THE  MEMBERS APPOINTED BY THE TEMPORARY PRESIDENT OF THE
SENATE AND AT LEAST ONE OF THE MEMBERS APPOINTED BY THE SPEAKER  OF  THE
ASSEMBLY SHALL BE A VETERAN OF THE UNITED STATES ARMY, THE UNITED STATES
NAVY,  THE  UNITED  STATES AIR FORCE, THE UNITED STATES MARINES, THE NEW
YORK ARMY NATIONAL GUARD, THE NEW YORK AIR NATIONAL GUARD, THE NEW  YORK
NAVAL  MILITIA,  OR A MEMBER WHO HAS SERVED IN A THEATER OF COMBAT OPER-
ATIONS OF THE UNITED STATES COAST GUARD OR THE  UNITED  STATES  MERCHANT
MARINE. NO MEMBER SHALL RECEIVE ANY COMPENSATION FOR HIS OR HER SERVICE,
BUT  MEMBERS  WHO  ARE  NOT  STATE OFFICIALS MAY BE REIMBURSED FOR THEIR
ACTUAL AND NECESSARY EXPENSES, INCLUDING  TRAVEL  EXPENSES  INCURRED  IN
PERFORMANCE  OF  THEIR DUTIES. THE MANAGEMENT BOARD MAY CONSULT WITH ANY
FEDERAL, STATE OR  LOCAL  ENTITY  FOR  THE  PURPOSES  OF  ADVANCING  ITS
PURPOSES, MISSION AND DUTIES.
  (B)  THE MANAGEMENT BOARD SHALL ADVISE, BY MAJORITY VOTE, THE DIRECTOR
ON  ISSUES  CONCERNING  THE  CONSTRUCTION,   ESTABLISHMENT,   EXPANSION,
IMPROVEMENT,  SUPPORT,  OPERATION,  MAINTENANCE  AND  THE  PROVISION  OF
PERPETUAL CARE FOR THE VETERANS CEMETERY, INCLUDING BUT NOT  LIMITED  TO
ISSUES  OF  FINANCIAL  CONCERN,  EMPLOYMENT  RELATIONS, CEMETERY POLICY,
CEMETERY EVENTS AND PROGRAMS, AND SUCH OTHER AND FURTHER ISSUES  AS  THE
BOARD AND DIRECTOR SHALL DEEM IMPORTANT.
  4.  ADDITIONAL STATE VETERANS CEMETERIES. (A) NOT LATER THAN TEN YEARS
AFTER THE CONSTRUCTION AND ESTABLISHMENT OF THE  FIRST  NEW  YORK  STATE
VETERANS  CEMETERY,  AND  EVERY  TEN  YEARS THEREAFTER, THE DIVISION, IN
COOPERATION WITH THE UNITED STATES DEPARTMENT OF VETERANS AFFAIRS, SHALL
CONDUCT AN INVESTIGATION AND STUDY ON THE ISSUE OF THE CONSTRUCTION  AND
ESTABLISHMENT  OF  ADDITIONAL  NEW  YORK STATE VETERANS CEMETERIES. SUCH
INVESTIGATION AND STUDY SHALL CONSIDER, BUT NOT BE LIMITED TO, THE STUDY
PARAMETERS ESTABLISHED PURSUANT TO PARAGRAPH (A) OF SUBDIVISION  TWO  OF
THIS  SECTION.  A  REPORT  OF THE INVESTIGATION AND STUDY REQUIRED TO BE
CONDUCTED PURSUANT TO THIS SUBDIVISION SHALL BE DELIVERED TO THE  GOVER-
NOR,  THE TEMPORARY PRESIDENT OF THE SENATE, THE SPEAKER OF THE ASSEMBLY
AND THE CHAIR OF THE SENATE COMMITTEE ON VETERANS, HOMELAND SECURITY AND
MILITARY AFFAIRS, AND THE CHAIR OF THE ASSEMBLY COMMITTEE  ON  VETERANS'
AFFAIRS,  BY  NO LATER THAN NINETY DAYS AFTER THE DIVISION HAS COMMENCED
THE CONDUCT OF THE INVESTIGATION AND STUDY;
  (B) THE REPORT OF THE INVESTIGATION AND STUDY REQUIRED TO BE CONDUCTED
PURSUANT TO THIS SUBDIVISION SHALL PROVIDE A DETERMINATION BY THE DIREC-

S. 2607--D                         93                         A. 3007--D

TOR AS TO WHETHER THE STATE SHOULD CONSTRUCT AND ESTABLISH ONE  OR  MORE
ADDITIONAL  VETERANS CEMETERIES, AND SHALL STATE THE REASONING AND BASIS
FOR SUCH DETERMINATION; AND
  (C)  THE  DIVISION MAY, AT THE DISCRETION OF THE DIRECTOR, AT ANY TIME
AFTER FIVE YEARS FROM THE COMPLETION OF CONSTRUCTION OF THE MOST RECENT-
LY CONSTRUCTED AND ESTABLISHED STATE VETERANS CEMETERY,  IN  COOPERATION
WITH THE UNITED STATES DEPARTMENT OF VETERANS AFFAIRS, CONDUCT AN INVES-
TIGATION AND STUDY ON THE ISSUE OF THE CONSTRUCTION AND ESTABLISHMENT OF
ADDITIONAL  NEW YORK STATE VETERANS CEMETERIES. A REPORT OF THE INVESTI-
GATION AND STUDY REQUIRED TO BE CONDUCTED  SHALL  BE  DELIVERED  TO  THE
GOVERNOR,  THE  TEMPORARY  PRESIDENT  OF  THE SENATE, THE SPEAKER OF THE
ASSEMBLY AND THE CHAIR OF THE SENATE  COMMITTEE  ON  VETERANS,  HOMELAND
SECURITY  AND  MILITARY AFFAIRS, AND THE CHAIR OF THE ASSEMBLY COMMITTEE
ON VETERANS' AFFAIRS, BY NO LATER THAN NINETY DAYS  AFTER  THE  DIVISION
HAS COMMENCED THE CONDUCT OF THE INVESTIGATION AND STUDY.
  (D) IF THE DIRECTOR, PURSUANT TO THE INVESTIGATION AND STUDY CONDUCTED
PURSUANT  TO  THIS  SUBDIVISION, DETERMINES THAT THERE SHALL BE AN ADDI-
TIONAL STATE VETERANS CEMETERY IN NEW YORK  STATE,  THE  DIRECTOR  SHALL
PROVIDE  FOR  THE  CONSTRUCTION  AND  ESTABLISHMENT OF SUCH NEW VETERANS
CEMETERY  PURSUANT  TO  THE  SAME  GUIDELINES  AND  STANDARDS  FOR   THE
CONSTRUCTION  AND  ESTABLISHMENT  OF  THE  FIRST STATE VETERANS CEMETERY
UNDER THIS SECTION.
  5. EXPANSION AND IMPROVEMENT OF EXISTING  STATE  VETERANS  CEMETERIES.
THE  DIRECTOR,  IN  CONSULTATION  WITH  THE  MANAGEMENT BOARD OF A STATE
VETERANS CEMETERY, MAY PROVIDE FOR THE EXPANSION AND/OR  IMPROVEMENT  OF
THE  CEMETERY.  SUCH  EXPANSION  AND  IMPROVEMENT  SHALL BE CONDUCTED IN
ACCORDANCE WITH THE RULES AND REGULATIONS OF THE  DIVISION  UNDER  PARA-
GRAPH (H) OF SUBDIVISION TWO OF THIS SECTION.
  S 6. This act shall take effect immediately.

                                 PART X

  Section  1. Section 2 of the public service law is amended by adding a
new subdivision 14 to read as follows:
  14. THE TERM "COMBINATION GAS AND ELECTRIC CORPORATION," WHEN USED  IN
SECTIONS  TWENTY-FIVE-A,  SIXTY-FIVE  AND  SIXTY-SIX  OF  THIS  CHAPTER,
INCLUDES ANY GAS CORPORATION OPERATING IN NEW YORK UNDER  COMMON  OWNER-
SHIP  WITH AN ELECTRIC CORPORATION OPERATING IN NEW YORK OR ANY ELECTRIC
CORPORATION OPERATING IN NEW YORK UNDER  COMMON  OWNERSHIP  WITH  A  GAS
CORPORATION  OPERATING  IN  NEW  YORK,  OR  ANY SUCCESSOR OF EITHER SUCH
CORPORATION; PROVIDED, HOWEVER, THAT SUCH TERM SHALL NOT INCLUDE MUNICI-
PALLY-OWNED UTILITIES, AND SHALL NOT INCLUDE ANY  GENERATING  FACILITIES
OWNED  OR OPERATED BY EITHER SUCH CORPORATION OR ANY COMMON OWNER THERE-
OF, OR ANY SUBSIDIARY OF SUCH COMMON OWNER.
  S 2. The public service law is amended by adding a new section 25-a to
read as follows:
  S 25-A. COMBINATION  GAS  AND  ELECTRIC  CORPORATIONS;  ADMINISTRATIVE
SANCTIONS;  RECOVERY  OF PENALTIES. NOTWITHSTANDING SECTIONS TWENTY-FOUR
AND TWENTY-FIVE OF THIS ARTICLE: 1. EVERY COMBINATION GAS  AND  ELECTRIC
CORPORATION  AND THE OFFICERS THEREOF SHALL ADHERE TO EVERY PROVISION OF
THIS CHAPTER AND EVERY ORDER OR REGULATION ADOPTED  UNDER  AUTHORITY  OF
THIS CHAPTER SO LONG AS THE SAME SHALL BE IN FORCE.
  2.  (A)  THE  COMMISSION  SHALL  HAVE  THE AUTHORITY TO ASSESS A CIVIL
PENALTY AGAINST A COMBINATION GAS AND ELECTRIC CORPORATION AND THE OFFI-
CERS THEREOF SUBJECT TO THE  JURISDICTION,  SUPERVISION,  OR  REGULATION
PURSUANT  TO  THIS CHAPTER IN AN AMOUNT AS SET FORTH IN THIS SECTION. IN

S. 2607--D                         94                         A. 3007--D

DETERMINING THE AMOUNT OF ANY PENALTY TO BE ASSESSED  PURSUANT  TO  THIS
SECTION,  THE  COMMISSION  SHALL  CONSIDER:  (I)  THE SERIOUSNESS OF THE
VIOLATION FOR WHICH A PENALTY IS SOUGHT; (II) THE NATURE AND  EXTENT  OF
ANY  PREVIOUS  VIOLATIONS FOR WHICH PENALTIES HAVE BEEN ASSESSED AGAINST
THE CORPORATION OR OFFICER; (III) WHETHER THERE  WAS  KNOWLEDGE  OF  THE
VIOLATION;  (IV)  THE  GROSS REVENUES AND FINANCIAL STATUS OF THE CORPO-
RATION; AND (V) SUCH OTHER FACTORS AS THE COMMISSION MAY DEEM  APPROPRI-
ATE AND RELEVANT. THE REMEDIES PROVIDED BY THIS SUBDIVISION ARE IN ADDI-
TION TO ANY OTHER REMEDIES PROVIDED IN LAW.
  (B)  WHENEVER  THE COMMISSION HAS REASON TO BELIEVE THAT A COMBINATION
GAS AND ELECTRIC CORPORATION OR SUCH OFFICERS THEREOF SHOULD BE  SUBJECT
TO  IMPOSITION  OF  A CIVIL PENALTY AS SET FORTH IN THIS SUBDIVISION, IT
SHALL NOTIFY SUCH CORPORATION OR OFFICER. SUCH NOTICE SHALL INCLUDE, BUT
SHALL NOT BE LIMITED TO:  (I) THE DATE AND A BRIEF  DESCRIPTION  OF  THE
FACTS AND NATURE OF EACH ACT OR FAILURE TO ACT FOR WHICH SUCH PENALTY IS
PROPOSED;  (II)  A  LIST  OF  EACH STATUTE, REGULATION OR ORDER THAT THE
COMMISSION ALLEGES HAS BEEN VIOLATED;  AND  (III)  THE  AMOUNT  OF  EACH
PENALTY THAT THE COMMISSION PROPOSES TO ASSESS.
  (C)  WHENEVER  THE COMMISSION HAS REASON TO BELIEVE THAT A COMBINATION
GAS AND ELECTRIC CORPORATION OR SUCH OFFICERS THEREOF SHOULD BE  SUBJECT
TO  IMPOSITION  OF  A  CIVIL  PENALTY  OR PENALTIES AS SET FORTH IN THIS
SUBDIVISION, THE COMMISSION SHALL HOLD A HEARING TO DEMONSTRATE WHY  THE
PROPOSED  PENALTY  OR PENALTIES SHOULD BE ASSESSED AGAINST SUCH COMBINA-
TION GAS AND ELECTRIC CORPORATION OR SUCH OFFICERS.
  3. ANY COMBINATION GAS AND  ELECTRIC  CORPORATION  DETERMINED  BY  THE
COMMISSION  TO HAVE FAILED TO REASONABLY COMPLY AS SHOWN BY A PREPONDER-
ANCE OF THE EVIDENCE WITH A PROVISION OF THIS CHAPTER, REGULATION OR  AN
ORDER  ADOPTED UNDER AUTHORITY OF THIS CHAPTER SO LONG AS THE SAME SHALL
BE IN FORCE SHALL FORFEIT A SUM NOT EXCEEDING THE GREATER OF ONE HUNDRED
THOUSAND DOLLARS OR TWO ONE-HUNDREDTHS OF  ONE  PERCENT  OF  THE  ANNUAL
INTRASTATE  GROSS  OPERATING  REVENUE  OF THE CORPORATION, NOT INCLUDING
TAXES PAID TO AND REVENUES COLLECTED ON BEHALF OF  GOVERNMENT  ENTITIES,
CONSTITUTING A CIVIL PENALTY FOR EACH AND EVERY OFFENSE AND, IN THE CASE
OF  A  CONTINUING  VIOLATION,  EACH  DAY  SHALL BE DEEMED A SEPARATE AND
DISTINCT OFFENSE.
  4.  NOTWITHSTANDING  THE  PROVISIONS  OF  SUBDIVISION  THREE  OF  THIS
SECTION, ANY SUCH COMBINATION GAS AND ELECTRIC CORPORATION DETERMINED BY
THE  COMMISSION  TO HAVE FAILED TO REASONABLY COMPLY WITH A PROVISION OF
THIS CHAPTER, OR AN ORDER OR REGULATION ADOPTED UNDER THE  AUTHORITY  OF
THIS  CHAPTER  SPECIFICALLY  FOR  THE  PROTECTION  OF  HUMAN  SAFETY  OR
PREVENTION OF SIGNIFICANT DAMAGE TO REAL PROPERTY,  INCLUDING,  BUT  NOT
LIMITED TO, THE COMMISSION'S CODE OF GAS SAFETY REGULATIONS SHALL, IF IT
IS  DETERMINED BY THE COMMISSION BY A PREPONDERANCE OF THE EVIDENCE THAT
SUCH SAFETY VIOLATION CAUSED OR CONSTITUTED  A  CONTRIBUTING  FACTOR  IN
BRINGING  ABOUT:   (A) A DEATH OR PERSONAL INJURY; OR (B) DAMAGE TO REAL
PROPERTY IN EXCESS OF FIFTY THOUSAND  DOLLARS,  FORFEIT  A  SUM  NOT  TO
EXCEED THE GREATER OF:
  (I)  TWO HUNDRED FIFTY THOUSAND DOLLARS OR THREE ONE-HUNDREDTHS OF ONE
PERCENT OF THE ANNUAL INTRASTATE GROSS OPERATING REVENUE OF  THE  CORPO-
RATION,  NOT INCLUDING TAXES PAID TO AND REVENUES COLLECTED ON BEHALF OF
GOVERNMENT ENTITIES, WHICHEVER IS GREATER, CONSTITUTING A CIVIL  PENALTY
FOR  EACH  SEPARATE  AND  DISTINCT  OFFENSE; PROVIDED, HOWEVER, THAT FOR
PURPOSES OF THIS PARAGRAPH, EACH DAY OF A CONTINUING VIOLATION SHALL NOT
BE DEEMED A SEPARATE AND DISTINCT OFFENSE. THE TOTAL PERIOD OF A CONTIN-
UING VIOLATION, AS WELL AS EVERY DISTINCT VIOLATION, SHALL BE  SIMILARLY

S. 2607--D                         95                         A. 3007--D

TREATED  AS  A  SEPARATE AND DISTINCT OFFENSE FOR PURPOSES OF THIS PARA-
GRAPH; OR
  (II)  THE MAXIMUM FORFEITURE DETERMINED IN ACCORDANCE WITH SUBDIVISION
THREE OF THIS SECTION.
  5. NOTWITHSTANDING THE PROVISIONS OF SUBDIVISION THREE OR FOUR OF THIS
SECTION, A COMBINATION GAS AND ELECTRIC CORPORATION  DETERMINED  BY  THE
COMMISSION TO HAVE FAILED TO REASONABLY COMPLY BY A PREPONDERANCE OF THE
EVIDENCE  WITH  A  PROVISION  OF THIS CHAPTER, OR AN ORDER OR REGULATION
ADOPTED UNDER AUTHORITY OF THIS CHAPTER, DESIGNED TO PROTECT THE OVERALL
RELIABILITY AND CONTINUITY OF ELECTRIC SERVICE, INCLUDING BUT NOT LIMIT-
ED TO THE RESTORATION OF ELECTRIC SERVICE FOLLOWING A MAJOR OUTAGE EVENT
OR EMERGENCY, SHALL FORFEIT A SUM NOT TO EXCEED THE GREATER OF:
  (A) FIVE HUNDRED  THOUSAND  DOLLARS  OR  FOUR  ONE-HUNDREDTHS  OF  ONE
PERCENT  OF  THE ANNUAL INTRASTATE GROSS OPERATING REVENUE OF THE CORPO-
RATION, NOT INCLUDING TAXES PAID TO AND REVENUES COLLECTED ON BEHALF  OF
GOVERNMENT  ENTITIES, WHICHEVER IS GREATER, CONSTITUTING A CIVIL PENALTY
FOR EACH SEPARATE AND DISTINCT  OFFENSE;  PROVIDED,  HOWEVER,  THAT  FOR
PURPOSES  OF THIS PARAGRAPH EACH DAY OF A CONTINUING VIOLATION SHALL NOT
BE DEEMED A SEPARATE AND DISTINCT OFFENSE. THE TOTAL PERIOD OF A CONTIN-
UING VIOLATION, AS WELL AS EVERY DISTINCT VIOLATION SHALL  BE  SIMILARLY
TREATED  AS  A  SEPARATE AND DISTINCT OFFENSE FOR PURPOSES OF THIS PARA-
GRAPH; OR
  (B) THE MAXIMUM FORFEITURE DETERMINED IN ACCORDANCE  WITH  SUBDIVISION
THREE OF THIS SECTION.
  6.  ANY OFFICER OF ANY COMBINATION GAS AND ELECTRIC CORPORATION DETER-
MINED BY THE COMMISSION TO HAVE VIOLATED THE PROVISIONS  OF  SUBDIVISION
THREE,  FOUR,  OR  FIVE  OF  THIS  SECTION, AND WHO KNOWINGLY VIOLATES A
PROVISION OF THIS CHAPTER, REGULATION OR AN ORDER ADOPTED UNDER AUTHORI-
TY OF THIS CHAPTER SO LONG AS THE SAME SHALL BE IN FORCE SHALL FORFEIT A
SUM NOT TO EXCEED ONE HUNDRED  THOUSAND  DOLLARS  CONSTITUTING  A  CIVIL
PENALTY  FOR  EACH  AND  EVERY  OFFENSE AND, IN THE CASE OF A CONTINUING
VIOLATION, EACH DAY SHALL BE DEEMED A SEPARATE AND DISTINCT OFFENSE.
  7. ANY SUCH ASSESSMENT MAY  BE  COMPROMISED  OR  DISCONTINUED  BY  THE
COMMISSION. ALL MONEYS RECOVERED PURSUANT TO THIS SECTION, TOGETHER WITH
THE  COSTS  THEREOF,  SHALL  BE  REMITTED TO, OR FOR THE BENEFIT OF, THE
RATEPAYERS IN A MANNER TO BE DETERMINED BY THE COMMISSION.
  8. UPON A FAILURE BY A COMBINATION GAS  AND  ELECTRIC  CORPORATION  OR
OFFICER TO REMIT ANY PENALTY ASSESSED BY THE COMMISSION PURSUANT TO THIS
SECTION, THE COMMISSION, THROUGH ITS COUNSEL, MAY INSTITUTE AN ACTION OR
SPECIAL PROCEEDING TO COLLECT THE PENALTY IN A COURT OF COMPETENT JURIS-
DICTION.
  9.  ANY  PAYMENT MADE BY A COMBINATION GAS AND ELECTRIC CORPORATION OR
THE OFFICERS THEREOF AS A RESULT OF AN ASSESSMENT AS  PROVIDED  IN  THIS
SECTION,  AND  THE  COST  OF LITIGATION AND INVESTIGATION RELATED TO ANY
SUCH ASSESSMENT, SHALL NOT BE RECOVERABLE FROM RATEPAYERS.
  10. IN CONSTRUING AND ENFORCING THE PROVISIONS OF THIS CHAPTER  RELAT-
ING TO PENALTIES, THE ACT OF ANY DIRECTOR, OFFICER, AGENT OR EMPLOYEE OF
A  COMBINED  GAS AND ELECTRIC CORPORATION ACTING WITHIN THE SCOPE OF HIS
OR HER OFFICIAL DUTIES OR EMPLOYMENT SHALL BE DEEMED TO BE  THE  ACT  OF
SUCH CORPORATION.
  11. IT SHALL BE A VIOLATION OF THIS CHAPTER SHOULD A DIRECTOR, OFFICER
OR  EMPLOYEE  OF A PUBLIC UTILITY COMPANY, CORPORATION, PERSON ACTING IN
HIS OR HER OFFICIAL DUTIES OR EMPLOYMENT, OR AN AGENT ACTING  ON  BEHALF
OF  AN  EMPLOYER  TAKE  RETALIATORY  PERSONNEL ACTION SUCH AS DISCHARGE,
SUSPENSION, DEMOTION, PENALIZATION OR DISCRIMINATION AGAINST AN EMPLOYEE
FOR REPORTING A VIOLATION OF A PROVISION OF THIS CHAPTER OF AN ORDER  OR

S. 2607--D                         96                         A. 3007--D

REGULATION  ADOPTED  UNDER THE AUTHORITY OF THIS CHAPTER, INCLUDING, BUT
NOT LIMITED TO, THOSE GOVERNING SAFE AND ADEQUATE SERVICE, PROTECTION OF
HUMAN SAFETY OR PREVENTION  OF  SIGNIFICANT  DAMAGE  TO  REAL  PROPERTY,
INCLUDING,  BUT  NOT  LIMITED  TO,  THE COMMISSION'S CODE OF GAS SAFETY.
NOTHING IN THIS SUBDIVISION SHALL BE  DEEMED  TO  DIMINISH  THE  RIGHTS,
PRIVILEGES  OR  REMEDIES  OF  ANY  EMPLOYEE UNDER ANY OTHER LAW OR REGU-
LATION, INCLUDING BUT NOT LIMITED TO ARTICLE TWENTY-C OF THE  LABOR  LAW
AND  SECTION  SEVENTY-FIVE-B  OF  THE  CIVIL  SERVICE  LAW, OR UNDER ANY
COLLECTIVE BARGAINING AGREEMENT OR EMPLOYMENT CONTRACT.
  S 3. Section 65 of the public service law is amended by adding two new
subdivisions 14 and 15 to read as follows:
  14. IN CONJUNCTION WITH A MANAGEMENT AND OPERATIONS  AUDIT  UNDERTAKEN
PURSUANT TO SUBDIVISION NINETEEN OF SECTION SIXTY-SIX OF THIS ARTICLE OR
UPON ITS OWN MOTION, THE COMMISSION SHALL REVIEW THE CAPABILITY, INCLUD-
ING  BUT  NOT LIMITED TO, THE CAPABILITY TO IMPLEMENT EMERGENCY RESPONSE
PLANS AND RESTORATION, OF EACH ELECTRIC  CORPORATION  TO  PROVIDE  SAFE,
ADEQUATE,  AND  RELIABLE  SERVICE.    UPON GOOD CAUSE SHOWN, AND AFTER A
HEARING IN ACCORDANCE WITH THE COMMISSION'S RULES AND  REGULATIONS,  THE
COMMISSION  MAY  DIRECT  SUCH  CORPORATION TO COMPLY WITH ADDITIONAL AND
MORE STRINGENT TERMS AND CONDITIONS OF SERVICE THAN EXISTED PRIOR TO THE
COMMENCEMENT OF THE MANAGEMENT AND OPERATIONS AUDIT, AND MAY,  IN  ADDI-
TION, ASSESS THE CONTINUED OPERATION OF SUCH CORPORATION AS THE PROVIDER
OF  ELECTRIC SERVICE IN ITS SERVICE TERRITORY AND PROPOSE, AND ACT UPON,
SUCH MEASURES AS ARE NECESSARY TO  ENSURE  SAFE  AND  ADEQUATE  SERVICE;
PROVIDED,  HOWEVER,  THAT NOTHING IN THIS SUBDIVISION LIMITS THE COMMIS-
SION'S AUTHORITY TO UNDERTAKE THE ACTIONS SET FORTH PURSUANT TO  SECTION
TWENTY-FOUR, TWENTY-FIVE OR TWENTY-FIVE-A OF THIS CHAPTER.
  15.  THE  CHIEF EXECUTIVE OFFICER OF EACH COMBINATION GAS AND ELECTRIC
CORPORATION SHALL CERTIFY TO THE COMMISSION ON OR BEFORE MARCH FIFTEENTH
OF EACH YEAR THAT SUCH CORPORATION HAS INTERNAL CONTROLS,  POLICIES  AND
PROCEDURES  DESIGNED  TO ENSURE COMPLIANCE WITH THE REQUIREMENTS OF THIS
CHAPTER AND ANY RULES, REGULATIONS, ORDERS AND PROCEDURES ADOPTED THERE-
TO, INCLUDING THE OBLIGATION THAT  SUCH  CORPORATION  PROVIDE  SAFE  AND
ADEQUATE SERVICE.
  S  4.  Subdivisions 19 and 21 of section 66 of the public service law,
subdivision 19 as added by chapter 556 of the laws of 1976 and the clos-
ing paragraph of subdivision 19 as added by chapter 586 of the  laws  of
1986 and subdivision 21 as added by chapter 718 of the laws of 1980, are
amended and a new subdivision 1-a is added to read as follows:
  1-A. REVIEW THE ANNUAL CAPITAL EXPENDITURE OF EACH COMBINATION GAS AND
ELECTRIC  CORPORATION AND MAY ORDER SUCH IMPROVEMENT IN THE MANUFACTURE,
CONVEYING, TRANSPORTATION, DISTRIBUTION OR SUPPLY OF GAS, IN  THE  MANU-
FACTURE,  TRANSMISSION  OR  SUPPLY  OF  ELECTRICITY,  OR  IN THE METHODS
EMPLOYED  BY  SUCH  CORPORATION  AS  IN  THE  COMMISSION'S  JUDGMENT  IS
ADEQUATE, JUST AND REASONABLE.
  19.  (A) The commission shall have power to provide for management and
operations audits of gas corporations and  electric  corporations.  Such
audits shall be performed at least once every five years for combination
gas  and  electric [companies] CORPORATIONS, as well as for straight gas
corporations having annual gross  revenues  in  excess  of  two  hundred
million  dollars.    The  audit shall include, but not be limited to, an
investigation of the company's construction program planning in relation
to the needs of its customers for reliable service [and], an  evaluation
of  the  efficiency  of  the  company's operations, RECOMMENDATIONS WITH
RESPECT TO SAME, AND THE TIMING WITH RESPECT TO  THE  IMPLEMENTATION  OF

S. 2607--D                         97                         A. 3007--D

SUCH RECOMMENDATIONS.  The commission shall have discretion to have such
audits performed by its staff, or by independent auditors.
  In  every  case  in  which  the  commission  chooses to have the audit
provided for in this subdivision OR PURSUANT TO SUBDIVISION FOURTEEN  OF
SECTION SIXTY-FIVE OF THIS ARTICLE performed by independent auditors, it
shall  have authority to select the auditors, and to require the company
being audited to enter into a contract with the auditors  providing  for
their  payment  by the company. Such contract shall provide further that
the auditors shall work for and under the direction  of  the  commission
according  to  such  terms as the commission may determine are necessary
and reasonable[.
  The commission shall have authority to direct the company to implement
any recommendations resulting from such  audits  that  it  finds  to  be
necessary and reasonable].
  (B)  EACH CORPORATION SUBJECT TO AN AUDIT UNDER THIS SUBDIVISION SHALL
FILE A REPORT WITH THE COMMISSION WITHIN THIRTY DAYS AFTER  ISSUANCE  OF
SUCH  AUDIT  DETAILING ITS PLAN TO IMPLEMENT THE RECOMMENDATIONS MADE IN
THE AUDIT. AFTER REVIEW OF SUCH PLAN, THE COMMISSION  MAY  REQUIRE  EACH
COMBINED  ELECTRIC  AND  GAS  CORPORATION AMEND ITS PLAN IN A PARTICULAR
MANNER. SUCH PLAN SHALL THEREAFTER BECOME ENFORCEABLE UPON  APPROVAL  BY
THE COMMISSION. THE COMMISSION SHALL HAVE POWER TO COMMENCE A PROCEEDING
TO EXAMINE ANY SUCH CORPORATION'S COMPLIANCE WITH THE RECOMMENDATIONS OF
SUCH AUDIT.
  (C)  Upon the application of a gas or electric corporation for a major
change in rates as defined in subdivision twelve of  this  section,  the
commission   shall   review   that  corporation's  compliance  with  the
directions and recommendations made previously by the commission,  as  a
result  of  the most recently completed management and operations audit.
The commission shall incorporate the findings  of  such  review  in  its
opinion  or order, AND SUCH FINDINGS SHALL BE ENFORCEABLE BY THE COMMIS-
SION.
  21. [The commission shall require every electric corporation to submit
storm plans to the commission for review and approval at such times  and
in  such  detail  and  form  as  the commission shall require, provided,
however, that the same shall be filed at least annually.] (A) EACH ELEC-
TRIC CORPORATION SUBJECT TO SECTION TWENTY-FIVE-A OF THIS CHAPTER  SHALL
ANNUALLY,  ON  OR BEFORE DECEMBER FIFTEENTH, SUBMIT TO THE COMMISSION AN
EMERGENCY RESPONSE PLAN FOR REVIEW AND APPROVAL. THE EMERGENCY  RESPONSE
PLAN  SHALL BE DESIGNED FOR THE REASONABLY PROMPT RESTORATION OF SERVICE
IN THE CASE OF AN EMERGENCY EVENT, DEFINED FOR PURPOSES OF THIS SUBDIVI-
SION AS AN EVENT WHERE WIDESPREAD OUTAGES HAVE OCCURRED IN  THE  SERVICE
TERRITORY  OF  THE  COMPANY  DUE  TO  STORMS  OR OTHER CAUSES BEYOND THE
CONTROL OF THE COMPANY. THE EMERGENCY RESPONSE PLAN SHALL  INCLUDE,  BUT
NEED NOT BE LIMITED TO, THE FOLLOWING: (I) THE IDENTIFICATION OF MANAGE-
MENT  STAFF RESPONSIBLE FOR COMPANY OPERATIONS DURING AN EMERGENCY; (II)
A COMMUNICATIONS SYSTEM WITH CUSTOMERS DURING AN EMERGENCY THAT  EXTENDS
BEYOND  NORMAL BUSINESS HOURS AND BUSINESS CONDITIONS; (III) IDENTIFICA-
TION OF AND OUTREACH PLANS TO CUSTOMERS WHO HAD  DOCUMENTED  THEIR  NEED
FOR  ESSENTIAL ELECTRICITY FOR MEDICAL NEEDS; (IV) IDENTIFICATION OF AND
OUTREACH PLANS TO CUSTOMERS WHO HAD DOCUMENTED THEIR NEED FOR  ESSENTIAL
ELECTRICITY TO PROVIDE CRITICAL TELECOMMUNICATIONS, CRITICAL TRANSPORTA-
TION,  CRITICAL FUEL DISTRIBUTION SERVICES OR OTHER LARGE-LOAD CUSTOMERS
IDENTIFIED BY THE COMMISSION; (V) DESIGNATION OF COMPANY STAFF TO COMMU-
NICATE WITH LOCAL OFFICIALS AND APPROPRIATE  REGULATORY  AGENCIES;  (VI)
PROVISIONS  REGARDING  HOW  THE  COMPANY  WILL  ASSURE THE SAFETY OF ITS
EMPLOYEES AND CONTRACTORS; (VII) PROCEDURES FOR  DEPLOYING  COMPANY  AND

S. 2607--D                         98                         A. 3007--D

MUTUAL  AID  CREWS  TO  WORK  ASSIGNMENT AREAS; (VIII) IDENTIFICATION OF
ADDITIONAL SUPPLIES AND EQUIPMENT NEEDED DURING AN EMERGENCY;  (IX)  THE
MEANS  OF OBTAINING ADDITIONAL SUPPLIES AND EQUIPMENT; (X) PROCEDURES TO
PRACTICE  THE  EMERGENCY  RESPONSE PLAN; (XI) APPROPRIATE SAFETY PRECAU-
TIONS REGARDING ELECTRICAL HAZARDS, INCLUDING PLANS TO  PROMPTLY  SECURE
DOWNED  WIRES WITHIN THIRTY-SIX HOURS OF NOTIFICATION OF THE LOCATION OF
SUCH DOWNED WIRES FROM A MUNICIPAL EMERGENCY OFFICIAL;  AND  (XII)  SUCH
OTHER  ADDITIONAL  INFORMATION AS THE COMMISSION MAY REQUIRE.  EACH SUCH
CORPORATION SHALL, ON AN ANNUAL  BASIS,  UNDERTAKE  DRILLS  IMPLEMENTING
PROCEDURES  TO  PRACTICE  ITS EMERGENCY MANAGEMENT PLAN.  THE COMMISSION
MAY ADOPT ADDITIONAL REQUIREMENTS CONSISTENT WITH ENSURING  THE  REASON-
ABLY PROMPT RESTORATION OF SERVICE IN THE CASE OF AN EMERGENCY EVENT.
  (B)  AFTER  REVIEW  OF  A  CORPORATION'S  EMERGENCY RESPONSE PLAN, THE
COMMISSION MAY REQUIRE SUCH CORPORATION TO AMEND THE PLAN.  THE  COMMIS-
SION  MAY ALSO OPEN AN INVESTIGATION OF THE CORPORATION'S PLAN TO DETER-
MINE ITS SUFFICIENCY TO RESPOND ADEQUATELY TO AN EMERGENCY EVENT.    IF,
AFTER  HEARINGS, THE COMMISSION FINDS A MATERIAL DEFICIENCY IN THE PLAN,
IT MAY ORDER THE COMPANY  TO  MAKE  SUCH  MODIFICATIONS  THAT  IT  DEEMS
REASONABLY NECESSARY TO REMEDY THE DEFICIENCY.
  (C)  THE  COMMISSION  IS AUTHORIZED TO OPEN AN INVESTIGATION TO REVIEW
THE PERFORMANCE OF ANY CORPORATION IN  RESTORING  SERVICE  OR  OTHERWISE
MEETING  THE REQUIREMENTS OF THE EMERGENCY RESPONSE PLAN DURING AN EMER-
GENCY EVENT. IF,  AFTER  EVIDENTIARY  HEARINGS  OR  OTHER  INVESTIGATORY
PROCEEDINGS, THE COMMISSION FINDS THAT THE CORPORATION FAILED TO REASON-
ABLY  IMPLEMENT ITS EMERGENCY RESPONSE PLAN OR THE LENGTH OF SUCH CORPO-
RATION'S OUTAGES WERE MATERIALLY  LONGER  THAN  THEY  WOULD  HAVE  BEEN,
BECAUSE  OF SUCH CORPORATION'S FAILURE TO REASONABLY IMPLEMENT ITS EMER-
GENCY RESPONSE PLAN, THE COMMISSION MAY DENY THE RECOVERY OF ANY PART OF
THE SERVICE RESTORATION COSTS CAUSED BY SUCH FAILURE, COMMENSURATE  WITH
THE  DEGREE  AND  IMPACT  OF THE SERVICE OUTAGE; PROVIDED, HOWEVER, THAT
NOTHING HEREIN LIMITS THE COMMISSION'S AUTHORITY TO OTHERWISE COMMENCE A
PROCEEDING   PURSUANT   TO   SECTIONS   TWENTY-FOUR,   TWENTY-FIVE   AND
TWENTY-FIVE-A OF THIS CHAPTER.
  (D) THE COMMISSION SHALL CERTIFY TO THE DEPARTMENT OF HOMELAND SECURI-
TY  AND  EMERGENCY  SERVICES  THAT  EACH  SUCH  CORPORATION'S  EMERGENCY
RESPONSE PLAN IS SUFFICIENT TO ENSURE TO THE  GREATEST  EXTENT  FEASIBLE
THE TIMELY AND SAFE RESTORATION OF ENERGY SERVICES AFTER AN EMERGENCY IN
COMPLIANCE WITH THE REQUIREMENTS OF THIS CHAPTER.
  (E)  THE  FILING  OF EACH EMERGENCY RESPONSE PLAN REQUIRED UNDER PARA-
GRAPH (A) OF THIS SUBDIVISION SHALL ALSO INCLUDE A COPY OF  ALL  WRITTEN
MUTUAL ASSISTANCE AGREEMENTS AMONG UTILITIES.
  (F)  EACH ELECTRIC CORPORATION SHALL FILE WITH THE COUNTY EXECUTIVE OR
THE CHIEF ELECTED OFFICIAL OF  A  COUNTY  FOR  EACH  COUNTY  WITHIN  ITS
SERVICE  TERRITORY  THE  MOST  RECENT  APPROVED  COPY  OF  THE EMERGENCY
RESPONSE PLAN REQUIRED PURSUANT TO THIS SECTION. FOR THE PURPOSES OF  AN
ELECTRIC  CORPORATION OPERATING WITHIN THE CITY OF NEW YORK, SUCH CORPO-
RATION SHALL FILE THE MOST RECENT APPROVED EMERGENCY RESPONSE PLAN  WITH
THE EMERGENCY MANAGEMENT OFFICE OF THE CITY OF NEW YORK.
  (G)  THE  COMMISSION  SHALL  PROVIDE ACCESS TO SUCH EMERGENCY RESPONSE
PLAN PURSUANT TO ARTICLE SIX OF THE PUBLIC OFFICERS LAW.
  S 5. Section 68 of the public service law, as amended by chapter 52 of
the laws of 1940, is amended to read as follows:
  S 68. [Approval of incorporation and franchises; certificate]  CERTIF-
ICATE  OF PUBLIC CONVENIENCE AND NECESSITY.  1. CERTIFICATE REQUIRED. No
gas corporation or electric corporation shall begin  construction  of  a
gas plant or electric plant without first having obtained the permission

S. 2607--D                         99                         A. 3007--D

and  approval  of the commission. No such corporation shall exercise any
right or privilege under any franchise hereafter granted, or  under  any
franchise  heretofore  granted but not heretofore actually exercised, or
the  exercise of which shall have been suspended for more than one year,
without first having obtained [the permission and approval of] A CERTIF-
ICATE OF PUBLIC CONVENIENCE AND  NECESSITY  ISSUED  BY  the  commission.
Before  such certificate shall be issued a certified copy of the charter
of such corporation shall be filed in  the  office  of  the  commission,
together with a verified statement of the president and secretary of the
corporation,  showing  that  it has received the required consent of the
proper municipal authorities. The commission shall have power  to  grant
the permission and approval herein specified whenever it shall after due
hearing  determine that such construction or such exercise of the right,
privilege or franchise is [necessary or] convenient  AND  NECESSARY  for
the public service. IN MAKING SUCH A DETERMINATION, THE COMMISSION SHALL
CONSIDER  THE ECONOMIC FEASIBILITY OF THE CORPORATION, THE CORPORATION'S
ABILITY TO FINANCE IMPROVEMENTS OF A GAS PLANT OR ELECTRIC PLANT, RENDER
SAFE, ADEQUATE AND RELIABLE SERVICE, AND  PROVIDE  JUST  AND  REASONABLE
RATES,  AND WHETHER ISSUANCE OF A CERTIFICATE IS IN THE PUBLIC INTEREST.
Except as provided in article [fourteen-a]  FOURTEEN-A  of  the  general
municipal  law,  no  municipality  shall build, maintain and operate for
other than municipal purposes any works or systems for  the  manufacture
and  supplying  of  gas  or  electricity for lighting purposes without a
certificate of authority granted by the commission. If  the  certificate
of  authority  is refused, no further proceedings shall be taken by such
municipality before the commission, but a new application  may  be  made
therefor after one year from the date of such refusal.
  2.  REVOCATION  OR  MODIFICATION  OF  CERTIFICATE.  THE COMMISSION MAY
COMMENCE A PROCEEDING, CONDUCTED IN  ACCORDANCE  WITH  THE  COMMISSION'S
RULES  AND  REGULATIONS, TO REVOKE OR MODIFY A COMBINED ELECTRIC AND GAS
CORPORATION'S CERTIFICATE AS IT RELATES TO  SUCH  CORPORATION'S  SERVICE
TERRITORY   OR  ANY  PORTION  THEREOF  BASED  ON  FINDINGS  OF  REPEATED
VIOLATIONS OF THIS CHAPTER OR RULES OR REGULATIONS ADOPTED THERETO  THAT
DEMONSTRATE  A  FAILURE  OF SUCH CORPORATION TO CONTINUE TO PROVIDE SAFE
AND ADEQUATE SERVICE.   WHENEVER THE COMMISSION HAS  REASON  TO  BELIEVE
THAT  SUCH  CORPORATION'S  CERTIFICATE  MAY  BE SUBJECT TO REVOCATION OR
MODIFICATION, IT SHALL NOTIFY SUCH CORPORATION OF THE FACTS  AND  NATURE
OF  EACH  ACT  OR FAILURE TO ACT ALLEGEDLY WARRANTING SUCH REVOCATION OR
MODIFICATION, AND THE STATUTE, REGULATION OR ORDER  ALLEGEDLY  VIOLATED,
AND OTHERWISE CONSIDER THE FOLLOWING FACTORS:
  (A)  THE  FACTORS  IDENTIFIED  IN  SUBDIVISION ONE OF THIS SECTION FOR
ISSUANCE OF A CERTIFICATE OF PUBLIC CONVENIENCE AND NECESSITY;
  (B) WHETHER ANOTHER PERSON, FIRM OR CORPORATION IS  QUALIFIED,  AVAIL-
ABLE,  AND  PREPARED  TO PROVIDE ALTERNATIVE SERVICE THAT IS ADEQUATE TO
SERVE THE PUBLIC CONVENIENCE AND NECESSITY, AND THAT THE  TRANSITION  TO
SUCH  ALTERNATIVE PERSON, FIRM OR CORPORATION IS IN THE PUBLIC INTEREST;
AND
  (C) UPON ANY OTHER STANDARDS AND PROCEDURES DEEMED  NECESSARY  BY  THE
COMMISSION  TO  ENSURE  CONTINUITY OF SAFE AND ADEQUATE SERVICE, AND DUE
PROCESS.
  S 6. Paragraphs a and b of subdivision 1 of section 765 of the general
business law, as amended by chapter 685 of the laws of 1994, are amended
to read as follows:
  a. Failure to comply with any provision of this article shall  subject
an  excavator or an operator to a civil penalty of up to [one] TWO thou-
sand FIVE HUNDRED dollars for the first violation and  up  to  an  addi-

S. 2607--D                         100                        A. 3007--D

tional  [seven]  TEN thousand [five hundred] dollars for each succeeding
violation [which] THAT occurs [in connection with the  entire  self-same
excavation or demolition activity] within a [two] TWELVE month period.
  b.  The  penalties  provided for by this article shall not apply to an
excavator who damages an underground facility due to the failure of  the
operator  to comply with any of the provisions of this article nor shall
in such instance the excavator be liable for repairs  as  prescribed  in
subdivision [five] FOUR of this section.
  S 7. This act shall take effect immediately.

                                 PART Y

  Section 1. Legislative intent. 1. Repowering existing power generation
facilities  can produce significant benefits in terms of enhanced system
reliability, electric market competitiveness, and emissions reductions.
  2. Retiring power plants that are not repowered may leave behind aban-
doned or underutilized land that  would  negatively  affect  surrounding
communities and impede economic development.
  3.  In  summary,  it  is in the public interest to develop clean power
generation near energy demand to meet the needs of  ratepayers,  support
local and state tax revenue stability, promote economic opportunity, and
enhance the state's environment.
  S  2. This hereby acknowledges and codifies the Public Service Commis-
sion Order Instituting Proceeding and Requiring Evaluation of Generation
Repowering, as provided in Case 12-E-0577, regarding the examination  of
repowering alternatives to transmission reinforcements.
  S 3. This act shall take effect immediately.

                                 PART Z

  Section  1.  Paragraph  (c)  of  subdivision 2 of section 591-a of the
labor law, as added by chapter 413 of the laws of 2003,  is  amended  to
read as follows:
  (c)  individuals  may receive the allowance described in paragraph (a)
of this subdivision if such individuals:
  (i) are eligible to receive regular unemployment benefits or would  be
eligible  to receive such benefits except for the requirements set forth
in subparagraphs (i) and (ii) of paragraph (b) of this subdivision.  For
purposes  of  this section, regular unemployment benefits means benefits
payable under this article, including benefits payable to federal civil-
ian employees and to ex-servicemen and servicewomen pursuant  to  5  USC
Chapter  85,  AND BENEFITS AUTHORIZED TO BE USED FOR THE SELF-EMPLOYMENT
ASSISTANCE PROGRAM PURSUANT TO THE FEDERAL-STATE  EXTENDED  UNEMPLOYMENT
COMPENSATION  ACT  OF 1970 but excluding additional [and extended] bene-
fits;
  (ii) are identified pursuant to a worker profiling system as  individ-
uals likely to exhaust regular unemployment benefits;
  (iii)  are  participating  in  self-employment  assistance  activities
approved by the department and by the department of economic development
which include but need not be limited to entrepreneurial training, busi-
ness counseling, and technical assistance, including  financing  assist-
ance  for qualified individuals as appropriate, offered by entrepreneur-
ship support centers established pursuant to section two hundred  twelve
of  the  economic  development  law,  state university of New York small
business development centers, programs offered by community-based organ-
izations, local development  corporations,  and  boards  of  cooperative

S. 2607--D                         101                        A. 3007--D

educational  services  (BOCES)  as  established  pursuant to section one
thousand nine hundred fifty of the education law; AND, UNLESS  OTHERWISE
REQUIRED BY FEDERAL LAW OR REGULATION, NO INDIVIDUAL SHALL BE PROHIBITED
FROM OR DISQUALIFIED FROM ELIGIBILITY FOR THE PROGRAM IF PRIOR TO APPLY-
ING  FOR  THE PROGRAM, AN INDIVIDUAL HAS PRINTED BUSINESS CARDS OR HAS A
WEBSITE THAT IS DESIGNED BUT NOT ACTIVE, AND NEITHER ARE BEING  USED  TO
SOLICIT OR CONDUCT BUSINESS;
  (iv)  are  actively  engaged on a full-time basis in activities, which
may include training, relating to the establishment of  a  business  and
becoming self-employed;
  (v)  are  not individuals who have previously participated in self-em-
ployment assistance programs pursuant to this section; and
  S 2. Section 10 of chapter 413 of the laws of 2003 amending the  labor
law  relating  to  the  self-employment  assistance  program  and  other
matters, as amended by chapter 134 of the laws of 2011,  is  amended  to
read as follows:
  S 10.  This act shall take effect immediately; provided, however, that
sections eight and nine of this act shall expire December 7, [2013] 2015
when  upon  such  date  the  provisions of such sections shall be deemed
repealed.
  S 3. Paragraph (d) of subdivision 2 of section 601 of the  labor  law,
as  amended  by  chapter  35  of the laws of 2009, is amended to read as
follows:
  (d) has satisfied the conditions of this article, required to render a
claimant eligible for regular benefits, which are applicable to extended
benefits, including not being subject to a disqualification  or  suspen-
sion, OR HAS SATISFIED THE CONDITIONS OF THIS ARTICLE REQUIRED TO RENDER
A  CLAIMANT  ELIGIBLE  TO  PARTICIPATE IN THE SELF-EMPLOYMENT ASSISTANCE
PROGRAM PURSUANT TO SECTION FIVE HUNDRED NINETY-ONE-A OF THIS TITLE  AND
THE FEDERAL-STATE EXTENDED UNEMPLOYMENT COMPENSATION ACT OF 1970;
  S  4.  This act shall take effect immediately; provided, however, that
the amendments to section 591-a of the labor law made by section one  of
this act shall not affect the repeal of such section and shall be deemed
repealed therewith.

                                 PART AA

  Section  1.  Section 9 of chapter 420 of the laws of 2002 amending the
education law relating to the profession of social work, as  amended  by
chapter 132 of the laws of 2010, is amended to read as follows:
  S 9. a.  Nothing in this act shall prohibit or limit the activities or
services on the part of any person in the employ of a program or service
operated,  regulated,  funded,  or  approved by the department of mental
hygiene, the office of children  and  family  services,  THE  OFFICE  OF
TEMPORARY  AND  DISABILITY  ASSISTANCE,  the department of [correctional
services] CORRECTIONS AND COMMUNITY SUPERVISION, the  state  office  for
the  aging,  the  department  of health, or a local governmental unit as
that term is defined in article 41 of the mental hygiene law or a social
services district as defined in section 61 of the social  services  law,
provided, however, this section shall not authorize the use of any title
authorized  pursuant  to  article  154 of the education law, except that
this section shall  be  deemed  repealed  on  July  1,  [2013  provided,
further,  however,  that on or before October 1, 2010, each state agency
identified in this subdivision  shall  submit  to  the  commissioner  of
education data, in such form and detail as requested by the commissioner
of education, concerning the functions performed by its service provider

S. 2607--D                         102                        A. 3007--D

workforce  and  the service provider workforce of the local governmental
units and social services districts as defined in this subdivision  over
which  the  agency has regulatory authority. After receipt of such data,
the  commissioner  shall  convene a workgroup of such state agencies for
the purpose of reviewing such data  and  also  to  make  recommendations
regarding  amendments  to  law,  rule or regulation necessary to clarify
which tasks and activities must be performed only by licensed or  other-
wise  authorized personnel. No later than January 1, 2011, after consul-
tation with such work group, the commissioner shall develop criteria for
the report required pursuant to subdivision b of this section and  shall
work with such state agencies by providing advice and guidance regarding
which  tasks and activities must be performed only by licensed or other-
wise authorized personnel.
  b. On or before July 1, 2011, each such state agency, after  consulta-
tion  with  local  governmental  units  and social services districts as
defined in subdivision a of this section over which the agency has regu-
latory authority, shall submit to the commissioner of education a report
on the utilization of  personnel  subject  to  the  provisions  of  this
section. Such report shall include but not be limited to: identification
of tasks and activities performed by such personnel categorized as tasks
and  functions  restricted to licensed personnel and tasks and functions
that do not require a license under article 154 of  the  education  law;
analysis  of costs associated with employing only appropriately licensed
or otherwise authorized personnel to perform tasks  and  functions  that
require  licensure  under  such  article 154, including salary costs and
costs associated with  providing  support  to  unlicensed  personnel  in
obtaining  appropriate  licensure.  Such  report  shall  also include an
action plan detailing measures through which each such entity shall,  no
later  than July 1, 2013, comply with professional licensure laws appli-
cable to services provided and make recommendations on alternative path-
ways toward licensure.
  c.  The commissioner of education shall, after receipt of  the  report
required under this section, and after consultation with state agencies,
not-for-profit  providers,  professional  associations,  consumers,  and
other key stakeholders, submit a report to the governor, the speaker  of
the  assembly,  the temporary president of the senate, and the chairs of
the senate and assembly higher education committees by July 1,  2012  to
recommend  any  amendments to law, rule or regulation necessary to fully
implement the requirements for licensure by July 1, 2013.   Other  state
agency  commissioners shall be provided an opportunity to include state-
ments or alternative recommendations in such report] 2016.
  B. ON OR BEFORE SEPTEMBER 1, 2014, EACH  STATE  AGENCY  IDENTIFIED  IN
SUBDIVISION  A  OF  THIS  SECTION  THAT OPERATES, REGULATES, APPROVES OR
FUNDS PROGRAMS THAT EMPLOY INDIVIDUALS TO PROVIDE  SERVICES  THAT  WOULD
OTHERWISE  BE  RESTRICTED  TO  INDIVIDUALS  LICENSED OR AUTHORIZED UNDER
ARTICLE 153, 154 OR 163 OF  THE  EDUCATION  LAW,  SHALL  SUBMIT  TO  THE
COMMISSIONER  OF EDUCATION, IN SUCH FORM AND DETAIL AS REQUESTED BY SUCH
COMMISSIONER, DATA IN RELATION TO:  THE NUMBER OF  INDIVIDUALS  EMPLOYED
IN EXEMPT PROGRAMS OPERATED, FUNDED, REGULATED OR APPROVED BY EACH STATE
AGENCY  ON  JULY 1, 2013 WHO ARE PROVIDING SERVICES THAT WOULD OTHERWISE
BE RESTRICTED TO THOSE LICENSED OR AUTHORIZED UNDER ARTICLE 153, 154  OR
163  OF  THE EDUCATION LAW; THE OCCUPATIONAL TITLE OF INDIVIDUALS WHO ON
JULY 1, 2014 ARE NOT LICENSED OR OTHERWISE AUTHORIZED UNDER  TITLE  VIII
OF  THE  EDUCATION LAW, AND WHO ARE ENGAGED IN: THE DIAGNOSIS OF MENTAL,
EMOTIONAL, BEHAVIORAL, ADDICTIVE AND DEVELOPMENTAL DISORDERS  AND  DISA-
BILITIES;  PATIENT ASSESSMENT AND EVALUATION; THE PROVISION OF PSYCHOTH-

S. 2607--D                         103                        A. 3007--D

ERAPEUTIC TREATMENT; THE PROVISION OF TREATMENT OTHER THAN  PSYCHOTHERA-
PEUTIC   TREATMENT   AND/OR   THE   DEVELOPMENT  AND  IMPLEMENTATION  OF
ASSESSMENT-BASED TREATMENT PLANS, AS DEFINED  IN  SECTION  7701  OF  THE
EDUCATION  LAW  OR  AS  AUTHORIZED  IN  ARTICLES 153, 154 AND 163 OF THE
EDUCATION LAW.  FOR PURPOSES OF THIS SECTION, THIS REPORTING  SHALL  NOT
INCLUDE INDIVIDUALS THAT ARE PERFORMING TASKS THAT DO NOT REQUIRE LICEN-
SURE  AS  IDENTIFIED IN SUBDIVISION 10 OF SECTION 7605, SUBDIVISION 7 OF
SECTION 7706, AND SUBDIVISION 8 OF SECTION 8410 OF THE EDUCATION LAW.
  C. THE COMMISSIONER OF EDUCATION, AFTER RECEIPT OF THIS  DATA  AND  IN
CONSULTATION WITH THE AFFECTED STATE AGENCIES, NOT-FOR-PROFIT PROVIDERS,
PROFESSIONAL  ASSOCIATIONS,  CONSUMERS AND OTHER KEY STAKEHOLDERS, SHALL
PREPARE A REPORT THAT RECOMMENDS CHANGES IN ANY  LAWS,  RULES  OR  REGU-
LATIONS NECESSARY TO ENSURE APPROPRIATE LICENSURE OR OTHER AUTHORIZATION
OF  INDIVIDUALS  PROVIDING SERVICES THAT ARE WITHIN THE RESTRICTED PRAC-
TICE OF PROFESSIONS LICENSED OR OTHERWISE AUTHORIZED UNDER ARTICLE  153,
154 OR 163 OF THE EDUCATION LAW. THE REPORT SHALL INCLUDE AN ESTIMATE OF
THE  FISCAL  IMPACT  OF  ANY SUCH RECOMMENDED CHANGES AND, TO THE EXTENT
PRACTICABLE, HOW SUCH RECOMMENDATIONS WILL RESULT IN IMPROVED  OUTCOMES.
THE  COMMISSIONER  OF EDUCATION SHALL SUBMIT THE REPORT TO THE GOVERNOR,
THE SPEAKER OF THE ASSEMBLY, THE TEMPORARY PRESIDENT OF THE SENATE,  AND
THE  CHAIRS  OF  THE  SENATE AND ASSEMBLY HIGHER EDUCATION COMMITTEES BY
JANUARY 1, 2015. OTHER STATE AGENCY COMMISSIONERS SHALL BE  PROVIDED  AN
OPPORTUNITY TO INCLUDE STATEMENTS OR ALTERNATIVE RECOMMENDATIONS IN SUCH
REPORT.
  S  2.  Section  17-a  of  chapter 676 of the laws of 2002 amending the
education law relating to the practice  of  psychology,  as  amended  by
chapter 130 of the laws of 2010, subdivision b as amended by chapter 132
of the laws of 2010, is amended to read as follows:
  S  17-a.    a.  In  relation to activities and services provided under
article 153 of the education law, nothing in this act shall prohibit  or
limit  such  activities  or  services  on  the part of any person in the
employ of a program or service operated, regulated, funded, or  approved
by the department of mental hygiene or the office of children and family
services,  or a local governmental unit as that term is defined in arti-
cle 41 of the mental hygiene  law  or  a  social  services  district  as
defined in section 61 of the social services law.  In relation to activ-
ities  and  services  provided  under  article 163 of the education law,
nothing in this act shall prohibit or limit such activities or  services
on  the  part  of any person in the employ of a program or service oper-
ated, regulated,  funded,  or  approved  by  the  department  of  mental
hygiene,  the  office of children and family services, the department of
[correctional  services]  CORRECTIONS  AND  COMMUNITY  SUPERVISION,  THE
OFFICE  OF TEMPORARY AND DISABILITY ASSISTANCE, the state office for the
aging and the department of health or a local governmental unit as  that
term  is  defined  in  article  41 of the mental hygiene law or a social
services district as defined in section 61 of the social  services  law,
pursuant  to  authority granted by law. This section shall not authorize
the use of any title authorized pursuant to article 153 or  163  of  the
education  law by any such employed person, except as otherwise provided
by such articles respectively.  THIS SECTION SHALL  BE  DEEMED  REPEALED
JULY 1, 2016.
  [b.  This  section  shall  be  deemed  repealed July 1, 2013 provided,
however, that on or before October 1, 2010, each state agency identified
in subdivision a of this section shall submit  to  the  commissioner  of
education data, in such form and detail as requested by the commissioner
of education, concerning the functions performed by its service provider

S. 2607--D                         104                        A. 3007--D

workforce  and  the service provider workforce of the local governmental
units and social services districts as defined in subdivision a of  this
section over which the agency has regulatory authority. After receipt of
such  data,  the  commissioner  shall  convene a workgroup of such state
agencies for the purpose of reviewing such data and also to make  recom-
mendations  regarding amendments to law, rule or regulation necessary to
clarify which tasks and activities must be performed only by licensed or
otherwise authorized personnel. No later than  January  1,  2011,  after
consultation  with such workgroup, the commissioner shall develop crite-
ria for the report required pursuant to paragraph one of  this  subdivi-
sion  and  shall  work  with such state agencies by providing advice and
guidance regarding which tasks and activities must be performed only  by
licensed or otherwise authorized personnel.
  1.  On or before July 1, 2011, each such state agency, after consulta-
tion with local governmental units  and  social  services  districts  as
defined in subdivision a of this section over which the agency has regu-
latory authority, shall submit to the commissioner of education a report
on  the  utilization  of  personnel  subject  to  the provisions of this
section. Such report shall include but not be limited to: identification
of tasks and activities performed by such personnel categorized as tasks
and functions restricted to licensed personnel and tasks  and  functions
that  do not require a license under article 153 or 163 of the education
law; analysis of costs  associated  with  employing  only  appropriately
licensed  or  otherwise  authorized personnel to perform tasks and func-
tions that require licensure under such article 153  or  163,  including
salary  costs  and costs associated with providing support to unlicensed
personnel in obtaining appropriate licensure.  Such  report  shall  also
include an action plan detailing measures through which each such entity
shall,  no  later  than July 1, 2013, comply with professional licensure
laws applicable to services provided and make recommendations on  alter-
native pathways toward licensure.
  2.   The commissioner of education shall, after receipt of the reports
required under this section, and after consultation with state agencies,
not-for-profit  providers,  professional  associations,  consumers,  and
other  key stakeholders, submit a report to the governor, the speaker of
the assembly, the temporary president of the senate, and the  chairs  of
the  senate  and assembly higher education committees by July 1, 2012 to
recommend any amendments to law, rule or regulation necessary  to  fully
implement  the  requirements for licensure by July 1, 2013.  Other state
agency commissioners shall be provided an opportunity to include  state-
ments or alternative recommendations in such report.]
  B.  ON  OR  BEFORE  SEPTEMBER 1, 2014, EACH STATE AGENCY IDENTIFIED IN
SUBDIVISION A OF THIS SECTION  THAT  OPERATES,  REGULATES,  APPROVES  OR
FUNDS  PROGRAMS  THAT  EMPLOY INDIVIDUALS TO PROVIDE SERVICES THAT WOULD
OTHERWISE BE RESTRICTED TO  INDIVIDUALS  LICENSED  OR  AUTHORIZED  UNDER
ARTICLE  153,  154  OR  163  OF  THE  EDUCATION LAW, SHALL SUBMIT TO THE
COMMISSIONER OF EDUCATION, IN SUCH FORM AND DETAIL AS REQUESTED BY  SUCH
COMMISSIONER,  DATA  IN RELATION TO:  THE NUMBER OF INDIVIDUALS EMPLOYED
IN EXEMPT PROGRAMS OPERATED, FUNDED, REGULATED OR APPROVED BY EACH STATE
AGENCY ON JULY 1, 2013 WHO ARE PROVIDING SERVICES THAT  WOULD  OTHERWISE
BE  RESTRICTED TO THOSE LICENSED OR AUTHORIZED UNDER ARTICLE 153, 154 OR
163 OF THE EDUCATION LAW; THE OCCUPATIONAL TITLE OF INDIVIDUALS  WHO  ON
JULY  1,  2014 ARE NOT LICENSED OR OTHERWISE AUTHORIZED UNDER TITLE VIII
OF THE EDUCATION LAW, AND WHO ARE ENGAGED IN: THE DIAGNOSIS  OF  MENTAL,
EMOTIONAL,  BEHAVIORAL,  ADDICTIVE AND DEVELOPMENTAL DISORDERS AND DISA-
BILITIES; PATIENT ASSESSMENT AND EVALUATION; THE PROVISION OF  PSYCHOTH-

S. 2607--D                         105                        A. 3007--D

ERAPEUTIC  TREATMENT; THE PROVISION OF TREATMENT OTHER THAN PSYCHOTHERA-
PEUTIC  TREATMENT  AND/OR  THE   DEVELOPMENT   AND   IMPLEMENTATION   OF
ASSESSMENT-BASED  TREATMENT  PLANS,  AS  DEFINED  IN SECTION 7701 OF THE
EDUCATION  LAW  OR  AS  AUTHORIZED  IN  ARTICLES 153, 154 AND 163 OF THE
EDUCATION LAW.  FOR PURPOSES OF THIS SECTION, THIS REPORTING  SHALL  NOT
INCLUDE INDIVIDUALS THAT ARE PERFORMING TASKS THAT DO NOT REQUIRE LICEN-
SURE  AS  IDENTIFIED IN SUBDIVISION 10 OF SECTION 7605, SUBDIVISION 7 OF
SECTION 7706, AND SUBDIVISION 8 OF SECTION 8410 OF THE EDUCATION LAW.
  C. THE COMMISSIONER OF EDUCATION, AFTER RECEIPT OF THIS  DATA  AND  IN
CONSULTATION WITH THE AFFECTED STATE AGENCIES, NOT-FOR-PROFIT PROVIDERS,
PROFESSIONAL  ASSOCIATIONS,  CONSUMERS AND OTHER KEY STAKEHOLDERS, SHALL
PREPARE A REPORT THAT RECOMMENDS CHANGES IN ANY  LAWS,  RULES  OR  REGU-
LATIONS NECESSARY TO ENSURE APPROPRIATE LICENSURE OR OTHER AUTHORIZATION
OF  INDIVIDUALS  PROVIDING SERVICES THAT ARE WITHIN THE RESTRICTED PRAC-
TICE OF PROFESSIONS LICENSED OR OTHERWISE AUTHORIZED UNDER ARTICLE  153,
154  OR  163  OF  THE EDUCATION LAW. THE COMMISSIONER OF EDUCATION SHALL
SUBMIT THE REPORT TO THE GOVERNOR, THE  SPEAKER  OF  THE  ASSEMBLY,  THE
TEMPORARY  PRESIDENT  OF  THE  SENATE,  AND THE CHAIRS OF THE SENATE AND
ASSEMBLY HIGHER EDUCATION COMMITTEES BY JANUARY  1,  2015.  OTHER  STATE
AGENCY  COMMISSIONERS SHALL BE PROVIDED AN OPPORTUNITY TO INCLUDE STATE-
MENTS OR ALTERNATIVE RECOMMENDATIONS IN SUCH REPORT.
  S 3. Section 16 of chapter 130 of the laws of 2010 amending the educa-
tion law and other laws relating to the registration of entities provid-
ing  certain  professional  services  and  the  licensure   of   certain
professions,  as  amended by chapter 132 of the laws of 2010, is amended
to read as follows:
  S 16. This act shall take effect immediately; provided  that  sections
thirteen, fourteen and fifteen of this act shall take effect immediately
and  shall  be deemed to have been in full force and effect on and after
June 1, 2010 and such sections shall be deemed repealed July  1,  [2013]
2016;  provided  further that the amendments to section 9 of chapter 420
of the laws of 2002 amending the education law relating to  the  profes-
sion of social work made by section thirteen of this act shall repeal on
the  same date as such section repeals; provided further that the amend-
ments to section 17-a of chapter 676 of the laws of  2002  amending  the
education  law  relating  to  the practice of psychology made by section
fourteen of this act shall repeal on  the  same  date  as  such  section
repeals.
  S  4.  Section  7605  of  the education law is amended by adding a new
subdivision 10 to read as follows:
  10. A PERSON WITHOUT A LICENSE FROM  PERFORMING  ASSESSMENTS  SUCH  AS
BASIC   INFORMATION  COLLECTION,  GATHERING  OF  DEMOGRAPHIC  DATA,  AND
INFORMAL OBSERVATIONS, SCREENING AND REFERRAL USED FOR GENERAL ELIGIBIL-
ITY FOR A PROGRAM OR SERVICE AND DETERMINING THE FUNCTIONAL STATUS OF AN
INDIVIDUAL FOR THE PURPOSE OF DETERMINING NEED FOR SERVICES UNRELATED TO
A BEHAVIORAL HEALTH DIAGNOSIS OR TREATMENT PLAN.  SUCH  LICENSURE  SHALL
NOT BE REQUIRED TO CREATE, DEVELOP OR IMPLEMENT A SERVICE PLAN UNRELATED
TO  A  BEHAVIORAL HEALTH DIAGNOSIS OR TREATMENT PLAN. SUCH SERVICE PLANS
SHALL INCLUDE, BUT ARE NOT LIMITED TO, JOB TRAINING  AND  EMPLOYABILITY,
HOUSING,  GENERAL  PUBLIC  ASSISTANCE,  IN HOME SERVICES AND SUPPORTS OR
HOME-DELIVERED MEALS, INVESTIGATIONS CONDUCTED OR  ASSESSMENTS  MADE  BY
ADULT  OR  CHILD  PROTECTIVE SERVICES, ADOPTION HOME STUDIES AND ASSESS-
MENTS, FAMILY SERVICE PLANS, TRANSITION PLANS  AND  PERMANENCY  PLANNING
ACTIVITIES,  DE-ESCALATION  TECHNIQUES,  PEER SERVICES OR SKILL DEVELOP-
MENT.  A LICENSE UNDER THIS ARTICLE SHALL NOT BE REQUIRED FOR PERSONS TO
PARTICIPATE AS A MEMBER OF A  MULTI-DISCIPLINARY  TEAM  TO  IMPLEMENT  A

S. 2607--D                         106                        A. 3007--D

BEHAVIORAL  HEALTH  SERVICES  OR  TREATMENT PLAN; PROVIDED HOWEVER, THAT
SUCH TEAM SHALL INCLUDE ONE OR MORE PROFESSIONALS  LICENSED  UNDER  THIS
ARTICLE  OR  ARTICLES  ONE HUNDRED THIRTY-ONE, ONE HUNDRED FIFTY-FOUR OR
ONE HUNDRED SIXTY-THREE OF THIS CHAPTER; AND PROVIDED, FURTHER, THAT THE
ACTIVITIES PERFORMED BY MEMBERS OF THE TEAM SHALL BE CONSISTENT WITH THE
SCOPE  OF  PRACTICE  FOR  EACH  TEAM MEMBER LICENSED OR AUTHORIZED UNDER
TITLE VIII OF THIS CHAPTER, AND THOSE WHO ARE NOT SO AUTHORIZED MAY  NOT
ENGAGE  IN  THE FOLLOWING RESTRICTED PRACTICES: THE DIAGNOSIS OF MENTAL,
EMOTIONAL, BEHAVIORAL, ADDICTIVE AND DEVELOPMENTAL DISORDERS  AND  DISA-
BILITIES;  PATIENT ASSESSMENT AND EVALUATING; THE PROVISION OF PSYCHOTH-
ERAPEUTIC TREATMENT; THE PROVISION OF TREATMENT OTHER THAN  PSYCHOTHERA-
PEUTIC   TREATMENT;   AND/OR   THE  DEVELOPMENT  AND  IMPLEMENTATION  OF
ASSESSMENT-BASED TREATMENT PLANS AS  DEFINED  IN  SECTION  SEVENTY-SEVEN
HUNDRED  ONE  OF  THIS  CHAPTER. PROVIDED, FURTHER, THAT NOTHING IN THIS
SUBDIVISION SHALL BE CONSTRUED AS REQUIRING A LICENSE FOR ANY PARTICULAR
ACTIVITY OR FUNCTION BASED SOLELY ON THE FACT THAT THE ACTIVITY OR FUNC-
TION IS NOT LISTED IN THIS SUBDIVISION.
  S 5. Section 7706 of the education law is  amended  by  adding  a  new
subdivision 7 to read as follows:
  7. PREVENT A PERSON WITHOUT A LICENSE FROM PERFORMING ASSESSMENTS SUCH
AS  BASIC  INFORMATION  COLLECTION,  GATHERING  OF DEMOGRAPHIC DATA, AND
INFORMAL OBSERVATIONS, SCREENING AND REFERRAL USED FOR GENERAL ELIGIBIL-
ITY FOR A PROGRAM OR SERVICE AND DETERMINING THE FUNCTIONAL STATUS OF AN
INDIVIDUAL FOR THE PURPOSE OF DETERMINING NEED FOR SERVICES UNRELATED TO
A BEHAVIORAL HEALTH DIAGNOSIS OR TREATMENT PLAN.  SUCH  LICENSURE  SHALL
NOT BE REQUIRED TO CREATE, DEVELOP OR IMPLEMENT A SERVICE PLAN UNRELATED
TO  A  BEHAVIORAL HEALTH DIAGNOSIS OR TREATMENT PLAN. SUCH SERVICE PLANS
SHALL INCLUDE, BUT ARE NOT LIMITED TO, JOB TRAINING  AND  EMPLOYABILITY,
HOUSING,  GENERAL  PUBLIC  ASSISTANCE,  IN HOME SERVICES AND SUPPORTS OR
HOME-DELIVERED MEALS, INVESTIGATIONS CONDUCTED OR  ASSESSMENTS  MADE  BY
ADULT  OR  CHILD  PROTECTIVE SERVICES, ADOPTION HOME STUDIES AND ASSESS-
MENTS, FAMILY SERVICE PLANS, TRANSITION PLANS  AND  PERMANENCY  PLANNING
ACTIVITIES,  DE-ESCALATION  TECHNIQUES,  PEER SERVICES OR SKILL DEVELOP-
MENT.  A LICENSE UNDER THIS ARTICLE SHALL NOT BE REQUIRED FOR PERSONS TO
PARTICIPATE AS A MEMBER OF A  MULTI-DISCIPLINARY  TEAM  TO  IMPLEMENT  A
BEHAVIORAL  HEALTH  SERVICES  OR  TREATMENT PLAN; PROVIDED HOWEVER, THAT
SUCH TEAM SHALL INCLUDE ONE OR MORE PROFESSIONALS  LICENSED  UNDER  THIS
ARTICLE  OR  ARTICLES ONE HUNDRED THIRTY-ONE, ONE HUNDRED FIFTY-THREE OR
ONE HUNDRED SIXTY-THREE OF THIS CHAPTER; AND PROVIDED, FURTHER, THAT THE
ACTIVITIES PERFORMED BY MEMBERS OF THE TEAM SHALL BE CONSISTENT WITH THE
SCOPE OF PRACTICE FOR EACH TEAM  MEMBER  LICENSED  OR  AUTHORIZED  UNDER
TITLE  VIII OF THIS CHAPTER, AND THOSE WHO ARE NOT SO AUTHORIZED MAY NOT
ENGAGE IN THE FOLLOWING RESTRICTED PRACTICES: THE DIAGNOSIS  OF  MENTAL,
EMOTIONAL,  BEHAVIORAL,  ADDICTIVE AND DEVELOPMENTAL DISORDERS AND DISA-
BILITIES; PATIENT ASSESSMENT AND EVALUATING; THE PROVISION OF  PSYCHOTH-
ERAPEUTIC  TREATMENT; THE PROVISION OF TREATMENT OTHER THAN PSYCHOTHERA-
PEUTIC  TREATMENT;  AND/OR  THE  DEVELOPMENT   AND   IMPLEMENTATION   OF
ASSESSMENT-BASED  TREATMENT  PLANS  AS  DEFINED IN SECTION SEVENTY-SEVEN
HUNDRED ONE OF THIS ARTICLE. PROVIDED, FURTHER,  THAT  NOTHING  IN  THIS
SUBDIVISION SHALL BE CONSTRUED AS REQUIRING A LICENSE FOR ANY PARTICULAR
ACTIVITY OR FUNCTION BASED SOLELY ON THE FACT THAT THE ACTIVITY OR FUNC-
TION IS NOT LISTED IN THIS SUBDIVISION.
  S  6.  Section  8410  of  the education law is amended by adding a new
subdivision 8 to read as follows:
  8. PREVENT A PERSON WITHOUT A LICENSE FROM PERFORMING ASSESSMENTS SUCH
AS BASIC INFORMATION COLLECTION,  GATHERING  OF  DEMOGRAPHIC  DATA,  AND

S. 2607--D                         107                        A. 3007--D

INFORMAL OBSERVATIONS, SCREENING AND REFERRAL USED FOR GENERAL ELIGIBIL-
ITY FOR A PROGRAM OR SERVICE AND DETERMINING THE FUNCTIONAL STATUS OF AN
INDIVIDUAL FOR THE PURPOSE OF DETERMINING NEED FOR SERVICES UNRELATED TO
A  BEHAVIORAL  HEALTH  DIAGNOSIS OR TREATMENT PLAN. SUCH LICENSURE SHALL
NOT BE REQUIRED TO CREATE, DEVELOP OR IMPLEMENT A SERVICE PLAN UNRELATED
TO A BEHAVIORAL HEALTH DIAGNOSIS OR TREATMENT PLAN. SUCH  SERVICE  PLANS
SHALL  INCLUDE,  BUT ARE NOT LIMITED TO, JOB TRAINING AND EMPLOYABILITY,
HOUSING, GENERAL PUBLIC ASSISTANCE, IN HOME  SERVICES  AND  SUPPORTS  OR
HOME-DELIVERED  MEALS,  INVESTIGATIONS  CONDUCTED OR ASSESSMENTS MADE BY
ADULT OR CHILD PROTECTIVE SERVICES, ADOPTION HOME  STUDIES  AND  ASSESS-
MENTS,  FAMILY  SERVICE  PLANS, TRANSITION PLANS AND PERMANENCY PLANNING
ACTIVITIES, DE-ESCALATION TECHNIQUES, PEER SERVICES  OR  SKILL  DEVELOP-
MENT.  A LICENSE UNDER THIS ARTICLE SHALL NOT BE REQUIRED FOR PERSONS TO
PARTICIPATE  AS  A  MEMBER  OF  A MULTI-DISCIPLINARY TEAM TO IMPLEMENT A
BEHAVIORAL HEALTH SERVICES OR TREATMENT  PLAN;  PROVIDED  HOWEVER,  THAT
SUCH  TEAM  SHALL  INCLUDE ONE OR MORE PROFESSIONALS LICENSED UNDER THIS
ARTICLE OR ARTICLES ONE HUNDRED THIRTY-ONE, ONE HUNDRED  FIFTY-THREE  OR
ONE  HUNDRED FIFTY-FOUR OF THIS CHAPTER; AND PROVIDED, FURTHER, THAT THE
ACTIVITIES PERFORMED BY MEMBERS OF THE TEAM SHALL BE CONSISTENT WITH THE
SCOPE OF PRACTICE FOR EACH TEAM  MEMBER  LICENSED  OR  AUTHORIZED  UNDER
TITLE  VIII OF THIS CHAPTER, AND THOSE WHO ARE NOT SO AUTHORIZED MAY NOT
ENGAGE IN THE FOLLOWING RESTRICTED PRACTICES: THE DIAGNOSIS  OF  MENTAL,
EMOTIONAL,  BEHAVIORAL,  ADDICTIVE AND DEVELOPMENTAL DISORDERS AND DISA-
BILITIES; PATIENT ASSESSMENT AND EVALUATING; THE PROVISION OF  PSYCHOTH-
ERAPEUTIC  TREATMENT; THE PROVISION OF TREATMENT OTHER THAN PSYCHOTHERA-
PEUTIC  TREATMENT;  AND/OR  THE  DEVELOPMENT   AND   IMPLEMENTATION   OF
ASSESSMENT-BASED  TREATMENT  PLANS  AS  DEFINED IN SECTION SEVENTY-SEVEN
HUNDRED ONE OF THIS CHAPTER. PROVIDED, FURTHER,  THAT  NOTHING  IN  THIS
SUBDIVISION SHALL BE CONSTRUED AS REQUIRING A LICENSE FOR ANY PARTICULAR
ACTIVITY OR FUNCTION BASED SOLELY ON THE FACT THAT THE ACTIVITY OR FUNC-
TION IS NOT LISTED IN THIS SUBDIVISION.
  S  7.  This  act  shall take effect immediately and shall be deemed to
have been in full force and effect on and after April 1, 2013; provided,
however, that the provisions of this act shall apply only to actions and
proceedings commenced on or after such effective date; provided that the
amendments to section 9 of chapter 420 of the laws of 2002  and  section
17-a  of chapter 676 of the laws of 2002 made by sections one and two of
this act, respectively, shall not affect the repeal of such sections and
shall expire and be deemed repealed therewith.

                                 PART BB

  Section 1. Legislative findings and intent. The legislature finds that
local governments and school districts are facing increased stress  from
rising  costs  including  employee  pension  obligations. Last year, the
legislature took action to aid local governments and school districts in
controlling future pension obligations by making changes to the  benefit
structure  for  employees hired after April 1, 2012. Now the legislature
finds that it is desirable  to  provide  local  governments  and  school
districts  with  more  stability  and predictability for current pension
obligations, while  simultaneously  ensuring  the  adequacy  of  pension
system funding.
  It  is  the intent of the legislature to authorize the comptroller and
the New York state  teachers'  retirement  system  board  to  establish,
subject to their discretion, additional contribution options designed to

S. 2607--D                         108                        A. 3007--D

provide  stability  and  predictability  to  employers,  while  ensuring
adequate pension system funding over the term of these options.
  S  2. Section 19-a of the retirement and social security law, as added
by section 1 of part TT of chapter 57 of the laws of 2010, is amended to
read as follows:
  S 19-a. Employer contributions for the two thousand ten - two thousand
eleven fiscal year and subsequent fiscal years. a. In  addition  to  the
definitions in section two of this article, when used in this section:
  (1)  "Amortizing employer" shall mean an employer that elects to amor-
tize a portion of the employer's annual bill pursuant to  paragraph  one
of subdivision d of this section for the two thousand ten - two thousand
eleven  fiscal  year,  or  any  subsequent  fiscal year, PURSUANT TO THE
SYSTEM GRADED CONTRIBUTION RATE regardless of whether the  employer  has
subsequently  paid in full all such amortized amounts, AND THAT DOES NOT
ELECT TO AMORTIZE AS AN ALTERNATIVE  AMORTIZING  EMPLOYER  FOR  THE  TWO
THOUSAND THIRTEEN - TWO THOUSAND FOURTEEN FISCAL YEAR.
  (1-A)  "ALTERNATIVE  AMORTIZING  EMPLOYER"  SHALL MEAN A COUNTY, CITY,
TOWN,  VILLAGE,  SCHOOL  DISTRICT,  BOARD  OF  COOPERATIVE   EDUCATIONAL
SERVICES,  OR  PUBLIC BENEFIT CORPORATION THAT OPERATES A PUBLIC GENERAL
HOSPITAL LOCATED IN THE COUNTY OF WESTCHESTER, THE COUNTY  OF  ERIE,  OR
THE COUNTY OF NASSAU THAT, ON A FORM PREPARED BY THE COMPTROLLER, ELECTS
TO AND DOES AMORTIZE A PORTION OF THE EMPLOYER'S ANNUAL BILL PURSUANT TO
PARAGRAPH  ONE  OF  SUBDIVISION  D  OF THIS SECTION FOR THE TWO THOUSAND
THIRTEEN - TWO THOUSAND FOURTEEN FISCAL YEAR PURSUANT TO THE ALTERNATIVE
SYSTEM GRADED CONTRIBUTION RATE, REGARDLESS OF WHETHER THE EMPLOYER  HAS
SUBSEQUENTLY PAID IN FULL ALL SUCH AMORTIZED AMOUNTS.
  (2)  "Amount  eligible for amortization" for a given fiscal year shall
mean the amount by which an employer's actuarial contribution  for  such
fiscal  year  exceeds  the  employer's  graded contribution for the same
fiscal year, less any amount from the employer contribution reserve fund
applied to reduce the employer's payment to the  retirement  system  for
the fiscal year, provided, however, that if the employer's average actu-
arial  contribution  rate for the fiscal year is less than nine and one-
half percent, then the amount eligible for amortization shall be zero.
  (3) "Employer's actuarial contribution" for a given fiscal year  shall
mean  an  employer's annual bill for such fiscal year exclusive of defi-
ciency contributions and payments on account of group term  life  insur-
ance,  adjustments  relating to prior fiscal years' obligations, retire-
ment incentives and prior amortizations.
  (4) "Employer's annual bill" shall mean for a given  fiscal  year  the
sum of the following amounts: (i) an employer's normal contributions for
the  fiscal year determined in accordance with paragraph one of subdivi-
sion b of section twenty-three of this  article  and  the  comprehensive
structural  reform  program  implemented  pursuant  to  subdivision b of
section twenty-three-a of this  article,  including  the  provisions  of
subdivision  b of section twenty-three-a of this article relating to the
required minimum annual contribution of four  and  one-half  percent  of
pensionable  salaries;  (ii) the employer's deficiency contributions and
administration contributions for the fiscal year determined  in  accord-
ance  with  paragraphs two and three of subdivision b of section twenty-
three of this article; and (iii) any payments by the employer due in the
fiscal year on account of group term life insurance, adjustments  relat-
ing  to prior fiscal years' obligations, retirement incentives and prior
amortizations.
  (5) "Employer's average  actuarial  contribution  rate"  for  a  given
fiscal  year  shall  mean  an employer's actuarial contribution for such

S. 2607--D                         109                        A. 3007--D

fiscal year divided by the employer's projected  payroll  for  the  same
fiscal year.
  (6)  "Employer  contribution  reserve  fund"  or "fund" shall mean the
employer contribution reserve fund established pursuant to subdivision e
of this section.
  (7) "Employer's graded contribution" for a  given  fiscal  year  shall
mean  the  amount  determined by applying the system graded contribution
rate OR THE ALTERNATIVE SYSTEM GRADED CONTRIBUTION RATE for such  fiscal
year to an employer's projected payroll for the same fiscal year.
  (8) "Employer's graded payment" for a given fiscal year shall mean the
amount  by  which an employer's graded contribution for such fiscal year
exceeds the employer's actuarial contribution for the same fiscal year.
  (9) "Prior amortization" shall mean with respect  to  a  given  fiscal
year  any  payment  due  in such fiscal year on account of an obligation
from a prior fiscal year that an employer is permitted  to  pay  to  the
retirement system on an amortized basis.
  (10)  "System  average actuarial contribution rate" for a given fiscal
year shall mean the sum of all employers'  actuarial  contributions  for
such  fiscal year divided by the sum of all employers' projected payroll
for the same fiscal year.
  (11) "System graded contribution rate" for a given fiscal  year  shall
mean  the  graded contribution rate for the retirement system as a whole
determined for such fiscal  year  pursuant  to  subdivision  c  of  this
section.
  (12)  "ALTERNATIVE SYSTEM GRADED CONTRIBUTION RATE" FOR A GIVEN FISCAL
YEAR SHALL MEAN THE GRADED CONTRIBUTION RATE FOR THE  RETIREMENT  SYSTEM
AS  A  WHOLE DETERMINED FOR SUCH FISCAL YEAR PURSUANT TO SUBDIVISION C-1
OF THIS SECTION.
  b. Notwithstanding the provisions of this chapter or any other law  to
the  contrary,  the  comptroller,  in  his or her discretion, shall have
authority to implement this section. If the comptroller elects to imple-
ment this section, the provisions of this section  shall  apply  to  the
payment  of  employer  contributions  for  the fiscal year commencing on
April first, two thousand ten, and for subsequent fiscal years.  IF  THE
COMPTROLLER,  WITHIN  HIS  OR  HER  DISCRETION,  ELECTS TO IMPLEMENT THE
ALTERNATIVE SYSTEM GRADED CONTRIBUTION RATE AS PROVIDED  BY  SUBDIVISION
C-1  OF THIS SECTION, THE PROVISIONS OF PARAGRAPH ONE-A OF SUBDIVISION D
OF THIS SECTION SHALL APPLY TO THE PAYMENT OF EMPLOYER CONTRIBUTIONS FOR
THE FISCAL YEAR COMMENCING ON APRIL FIRST, TWO  THOUSAND  THIRTEEN,  AND
FOR SUBSEQUENT FISCAL YEARS.
  c. For each fiscal year to which the provisions of this section apply,
the  comptroller  shall  determine  a  graded  contribution rate for the
retirement system as a whole in the manner provided in this subdivision.
  (1) For the two thousand ten - two thousand  eleven  fiscal  year  the
system graded contribution rate shall be nine and one-half percent.
  (2) For the two thousand eleven - two thousand twelve fiscal year, and
subsequent  fiscal  years,  system  graded  contribution  rates shall be
determined as follows:
  (i) if the system average actuarial  contribution  rate  for  a  given
fiscal year is at least nine and one-half percent and exceeds the system
graded  contribution  rate  for the immediately preceding fiscal year by
more than one percentage point, then the system graded contribution rate
for the given fiscal year shall equal  the  system  graded  contribution
rate  for  the  immediately  preceding  fiscal  year plus one percentage
point, provided, however, that in  no  event  shall  the  system  graded
contribution rate be less than nine and one-half percent;

S. 2607--D                         110                        A. 3007--D

  (ii)  if  the  system  average actuarial contribution rate for a given
fiscal year is at least nine and one-half percent and either equals  the
system  graded  contribution  rate  for the immediately preceding fiscal
year or exceeds the system graded contribution rate for the  immediately
preceding  fiscal  year by one percentage point or less, then the system
graded contribution rate for the  given  fiscal  year  shall  equal  the
system  average  actuarial  contribution  rate  for  such  fiscal  year,
provided, however, that in no event shall the system graded contribution
rate be less than nine and one-half percent;
  (iii) if the system average actuarial contribution rate  for  a  given
fiscal  year is less than nine and one-half percent and greater than the
system graded contribution rate for  the  immediately  preceding  fiscal
year, then the system graded contribution rate for the given fiscal year
shall equal the system actuarial contribution rate for such fiscal year;
  (iv)  if  the  system  average actuarial contribution rate for a given
fiscal year is smaller than the system graded contribution rate for  the
immediately  preceding  fiscal  year  by more than one percentage point,
then the system graded contribution rate for the given fiscal year shall
equal the system graded contribution rate for the immediately  preceding
fiscal year minus one percentage point; and
  (v)  if  the  system  average  actuarial contribution rate for a given
fiscal year either equals the system graded contribution  rate  for  the
immediately  preceding  fiscal year or is smaller than the system graded
contribution rate for the  immediately  preceding  fiscal  year  by  one
percentage  point  or less, then the system graded contribution rate for
the given fiscal year shall equal the system actuarial contribution rate
for such fiscal year.
  C-1. FOR EACH FISCAL YEAR TO WHICH  THE  PROVISIONS  OF  THIS  SECTION
APPLY,  THE  COMPTROLLER  SHALL  DETERMINE  AN ALTERNATIVE SYSTEM GRADED
CONTRIBUTION RATE FOR THE RETIREMENT SYSTEM AS A  WHOLE  IN  THE  MANNER
PROVIDED IN THIS SUBDIVISION.
  (1)  FOR THE TWO THOUSAND THIRTEEN - TWO THOUSAND FOURTEEN FISCAL YEAR
AND THE TWO THOUSAND FOURTEEN - TWO THOUSAND FIFTEEN  FISCAL  YEAR,  THE
ALTERNATIVE SYSTEM GRADED CONTRIBUTION RATE SHALL BE TWELVE PERCENT.
  (2)  FOR  THE  TWO THOUSAND FIFTEEN - TWO THOUSAND SIXTEEN FISCAL YEAR
AND FOR SUBSEQUENT FISCAL YEARS, THE ALTERNATIVE SYSTEM GRADED  CONTRIB-
UTION RATES SHALL BE DETERMINED AS FOLLOWS:
  (I)  IF  THE  SYSTEM  AVERAGE  ACTUARIAL CONTRIBUTION RATE FOR A GIVEN
FISCAL YEAR IS AT LEAST NINE AND ONE-HALF PERCENT AND EXCEEDS THE ALTER-
NATIVE SYSTEM GRADED CONTRIBUTION RATE  FOR  THE  IMMEDIATELY  PRECEDING
FISCAL YEAR BY MORE THAN ONE-HALF PERCENTAGE POINT, THEN THE ALTERNATIVE
SYSTEM  GRADED  CONTRIBUTION  RATE FOR THE GIVEN FISCAL YEAR SHALL EQUAL
THE ALTERNATIVE SYSTEM GRADED  CONTRIBUTION  RATE  FOR  THE  IMMEDIATELY
PRECEDING FISCAL YEAR PLUS ONE-HALF PERCENTAGE POINT, PROVIDED, HOWEVER,
THAT  IN  NO EVENT SHALL THE ALTERNATIVE SYSTEM GRADED CONTRIBUTION RATE
BE LESS THAN NINE AND ONE-HALF PERCENT;
  (II) IF THE SYSTEM AVERAGE ACTUARIAL CONTRIBUTION  RATE  FOR  A  GIVEN
FISCAL  YEAR IS AT LEAST NINE AND ONE-HALF PERCENT AND EITHER EQUALS THE
ALTERNATIVE SYSTEM GRADED CONTRIBUTION RATE FOR THE IMMEDIATELY  PRECED-
ING  FISCAL  YEAR  OR EXCEEDS THE ALTERNATIVE SYSTEM GRADED CONTRIBUTION
RATE FOR THE IMMEDIATELY PRECEDING FISCAL YEAR  BY  ONE-HALF  PERCENTAGE
POINT  OR LESS, THEN THE ALTERNATIVE SYSTEM GRADED CONTRIBUTION RATE FOR
THE GIVEN FISCAL YEAR SHALL EQUAL THE SYSTEM AVERAGE ACTUARIAL  CONTRIB-
UTION  RATE  FOR  SUCH  FISCAL YEAR, PROVIDED, HOWEVER, THAT IN NO EVENT
SHALL THE ALTERNATIVE SYSTEM GRADED CONTRIBUTION RATE BE LESS THAN  NINE
AND ONE-HALF PERCENT;

S. 2607--D                         111                        A. 3007--D

  (III)  IF  THE  SYSTEM AVERAGE ACTUARIAL CONTRIBUTION RATE FOR A GIVEN
FISCAL YEAR IS LESS THAN NINE AND ONE-HALF PERCENT AND GREATER THAN  THE
ALTERNATIVE  SYSTEM GRADED CONTRIBUTION RATE FOR THE IMMEDIATELY PRECED-
ING FISCAL YEAR, THEN THE ALTERNATIVE SYSTEM  GRADED  CONTRIBUTION  RATE
FOR  THE GIVEN FISCAL YEAR SHALL EQUAL THE SYSTEM ACTUARIAL CONTRIBUTION
RATE FOR SUCH FISCAL YEAR;
  (IV) IF THE SYSTEM AVERAGE ACTUARIAL CONTRIBUTION  RATE  FOR  A  GIVEN
FISCAL  YEAR  IS SMALLER THAN THE ALTERNATIVE SYSTEM GRADED CONTRIBUTION
RATE FOR THE IMMEDIATELY PRECEDING FISCAL YEAR  BY  MORE  THAN  ONE-HALF
PERCENTAGE  POINT,  THEN THE ALTERNATIVE SYSTEM GRADED CONTRIBUTION RATE
FOR THE GIVEN FISCAL YEAR SHALL  EQUAL  THE  ALTERNATIVE  SYSTEM  GRADED
CONTRIBUTION  RATE  FOR  THE  IMMEDIATELY  PRECEDING  FISCAL  YEAR MINUS
ONE-HALF PERCENTAGE POINT; AND
  (V) IF THE SYSTEM AVERAGE ACTUARIAL  CONTRIBUTION  RATE  FOR  A  GIVEN
FISCAL  YEAR  EITHER  EQUALS  THE ALTERNATIVE SYSTEM GRADED CONTRIBUTION
RATE FOR THE IMMEDIATELY PRECEDING FISCAL YEAR OR IS  SMALLER  THAN  THE
ALTERNATIVE  SYSTEM GRADED CONTRIBUTION RATE FOR THE IMMEDIATELY PRECED-
ING FISCAL YEAR BY ONE-HALF PERCENTAGE POINT OR LESS, THEN THE  ALTERNA-
TIVE  SYSTEM  GRADED  CONTRIBUTION  RATE FOR THE GIVEN FISCAL YEAR SHALL
EQUAL THE SYSTEM ACTUARIAL CONTRIBUTION RATE FOR SUCH FISCAL YEAR.
  d. (1) For any given fiscal year for which an employer's average actu-
arial contribution rate exceeds the system graded contribution rate, the
employer shall pay to the retirement  system  an  amount  equal  to  the
employer's  annual  bill  for such year or, in lieu of paying the entire
annual bill, the employer may pay an  amount  equal  to  the  employer's
annual  bill less all or a portion of the employer's amount eligible for
amortization for the fiscal year. If in accordance with  this  paragraph
the  employer's payment to the retirement system is less than the entire
amount of the employer's annual bill, then the  difference  between  the
employer's  annual bill, and the amount actually paid by the employer to
the retirement system exclusive of any amount from the employer contrib-
ution reserve fund applied to reduce the employer's  payment,  shall  be
the  amount  amortized for the fiscal year. The amount amortized for the
fiscal year shall be paid to  the  retirement  system  in  equal  annual
installments over a ten-year period, with interest on the unpaid balance
at a rate determined by the comptroller which approximates a market rate
of  return on taxable fixed rate securities with similar terms issued by
comparable issuers, and with the first installment due in the immediate-
ly succeeding fiscal year.
  (1-A) FOR ANY GIVEN FISCAL YEAR FOR WHICH AN EMPLOYER'S AVERAGE  ACTU-
ARIAL  CONTRIBUTION  RATE EXCEEDS THE ALTERNATIVE SYSTEM GRADED CONTRIB-
UTION RATE, THE EMPLOYER SHALL PAY TO THE RETIREMENT  SYSTEM  AN  AMOUNT
EQUAL  TO THE EMPLOYER'S ANNUAL BILL FOR SUCH YEAR OR, IN LIEU OF PAYING
THE ENTIRE ANNUAL BILL, THE EMPLOYER MAY PAY  AN  AMOUNT  EQUAL  TO  THE
EMPLOYER'S  ANNUAL  BILL  LESS ALL OR A PORTION OF THE EMPLOYER'S AMOUNT
ELIGIBLE FOR AMORTIZATION FOR THE FISCAL YEAR.  IF  IN  ACCORDANCE  WITH
THIS  PARAGRAPH  THE EMPLOYER'S PAYMENT TO THE RETIREMENT SYSTEM IS LESS
THAN THE ENTIRE AMOUNT OF THE EMPLOYER'S ANNUAL BILL, THEN  THE  DIFFER-
ENCE BETWEEN THE EMPLOYER'S ANNUAL BILL, AND THE AMOUNT ACTUALLY PAID BY
THE  EMPLOYER  TO THE RETIREMENT SYSTEM EXCLUSIVE OF ANY AMOUNT FROM THE
EMPLOYER CONTRIBUTION RESERVE FUND  APPLIED  TO  REDUCE  THE  EMPLOYER'S
PAYMENT,  SHALL  BE THE AMOUNT AMORTIZED FOR THE FISCAL YEAR. THE AMOUNT
AMORTIZED FOR THE FISCAL YEAR SHALL BE PAID TO THE RETIREMENT SYSTEM  IN
EQUAL  ANNUAL  INSTALLMENTS  OVER A TWELVE YEAR PERIOD, WITH INTEREST ON
THE UNPAID BALANCE AT A RATE DETERMINED BY THE COMPTROLLER  WHICH  SHALL
BE  THE  TWELVE  YEAR  INTERPOLATED  RATE  BASED  ON  THE  MOST RECENTLY

S. 2607--D                         112                        A. 3007--D

PUBLISHED YIELD TO MATURITY OF A TEN YEAR AND TWENTY YEAR U.S.  TREASURY
SECURITY PLUS ONE HUNDRED BASIS POINTS.
  (2) For any given fiscal year for which the system graded contribution
rate  equals  or  exceeds  an  amortizing  employer's  average actuarial
contribution rate, the amortizing employer shall pay to  the  retirement
system  an amount equal to the employer's annual bill for such year plus
the employer's graded payment for the fiscal year.
  (i) If the amortizing employer's annual bill for the fiscal year  does
not  include  an  amount  attributable to a prior amortization, then the
employer's graded payment shall be paid into the  employer  contribution
reserve  fund provided for in subdivision e of this section and credited
to an account within such fund established for the employer.
  (ii) If the amortizing employer's annual  bill  for  the  fiscal  year
includes  an amount attributable to a prior amortization, the employer's
graded payment shall be used  first  to  eliminate  the  amount  of  the
employer's  unpaid  prior  amortization  balances in chronological order
starting with the oldest prior amortization balance. When in any  fiscal
year  the  employer's graded payment eliminates all balances owed on the
employer's prior amortizations, any remaining portion of the  employer's
graded  payment  for such fiscal year, and the employer's graded payment
in any subsequent fiscal year in which the amortizing  employer  has  no
unpaid prior amortizations, shall be paid into the employer contribution
reserve  fund provided for in subdivision e of this section and credited
to an account within such fund established for the employer.
  (2-A) FOR ANY GIVEN FISCAL YEAR FOR WHICH THE ALTERNATIVE SYSTEM GRAD-
ED CONTRIBUTION RATE EQUALS OR EXCEEDS AN ALTERNATIVE AMORTIZING EMPLOY-
ER'S AVERAGE ACTUARIAL CONTRIBUTION  RATE,  THE  ALTERNATIVE  AMORTIZING
EMPLOYER  SHALL  PAY  TO  THE  RETIREMENT  SYSTEM AN AMOUNT EQUAL TO THE
EMPLOYER'S ANNUAL BILL FOR SUCH YEAR PLUS THE EMPLOYER'S GRADED  PAYMENT
FOR THE FISCAL YEAR.
  (I)  IF  THE  ALTERNATIVE  AMORTIZING  EMPLOYER'S  ANNUAL BILL FOR THE
FISCAL YEAR DOES NOT INCLUDE AN AMOUNT ATTRIBUTABLE TO A  PRIOR  AMORTI-
ZATION,  THEN  THE  EMPLOYER'S  GRADED  PAYMENT  SHALL  BE PAID INTO THE
EMPLOYER CONTRIBUTION RESERVE FUND PROVIDED FOR IN SUBDIVISION E OF THIS
SECTION AND CREDITED TO AN ACCOUNT WITHIN SUCH FUND ESTABLISHED FOR  THE
EMPLOYER.
  (II)  IF  THE  ALTERNATIVE  AMORTIZING  EMPLOYER'S ANNUAL BILL FOR THE
FISCAL YEAR INCLUDES AN AMOUNT ATTRIBUTABLE TO A PRIOR AMORTIZATION, THE
EMPLOYER'S GRADED PAYMENT SHALL BE USED FIRST TO ELIMINATE THE AMOUNT OF
THE EMPLOYER'S UNPAID PRIOR AMORTIZATION BALANCES IN CHRONOLOGICAL ORDER
STARTING WITH THE OLDEST PRIOR AMORTIZATION BALANCE. WHEN IN ANY  FISCAL
YEAR  THE  EMPLOYER'S GRADED PAYMENT ELIMINATES ALL BALANCES OWED ON THE
EMPLOYER'S PRIOR AMORTIZATIONS, ANY REMAINING PORTION OF THE  EMPLOYER'S
GRADED  PAYMENT  FOR SUCH FISCAL YEAR, AND THE EMPLOYER'S GRADED PAYMENT
IN ANY SUBSEQUENT FISCAL YEAR IN WHICH THE AMORTIZING  EMPLOYER  HAS  NO
UNPAID PRIOR AMORTIZATIONS, SHALL BE PAID INTO THE EMPLOYER CONTRIBUTION
RESERVE  FUND PROVIDED FOR IN SUBDIVISION E OF THIS SECTION AND CREDITED
TO AN ACCOUNT WITHIN SUCH FUND ESTABLISHED FOR THE EMPLOYER.
  (3) Nothing in this subdivision shall be construed as  prohibiting  an
employer from pre-paying any prior amortization.
  e.  (1)  Notwithstanding any law to the contrary, there shall be main-
tained separate and apart from the other funds of the retirement  system
an  employer contribution reserve fund, the assets of which shall not be
used or invested in a manner contrary to the provisions of this subdivi-
sion. The fund shall consist of all employer contributions  required  to
be  deposited  into  the fund pursuant to subdivision d of this section.

S. 2607--D                         113                        A. 3007--D

Within such fund there shall be a separate  account  for  each  employer
making such contributions and payments.
  (2)  For  any  given  fiscal  year  for which (i) the system actuarial
contribution rate exceeds nine and one-half percent of payroll, and (ii)
an employer's average actuarial contribution  rate  exceeds  the  system
graded  contribution  rate OR THE ALTERNATIVE SYSTEM GRADED CONTRIBUTION
RATE, the balance in the employer's account within such  fund  shall  be
applied  to  reduce  the employer's payment to the retirement system for
such fiscal year in an amount not to exceed the difference  between  the
employer's actuarial contribution and the employer's graded contribution
for the fiscal year.
  (3)  Notwithstanding  the provisions of paragraph two of this subdivi-
sion, if at the close of any given fiscal year the balance of an employ-
er's account within the fund exceeds one hundred percent of the  employ-
er's payroll for such fiscal year, the excess shall be applied to reduce
the  employer's payment to the retirement system for the next succeeding
fiscal year.
  (4) The assets of the fund shall be invested  in  only  the  following
types of investments:
  (i)  obligations  of  the  United  States of America or in obligations
guaranteed by agencies of the United States of America where the payment
of principal and interest are guaranteed by the United States of America
or in obligations of the state of New York;
  (ii) general obligation bonds and notes of any state other  than  this
state,  provided that such bonds and notes receive the highest rating of
at least one independent rating agency;
  (iii) obligations of, or instruments issued by or fully guaranteed  as
to  principal  and  interest  by,  any  agency or instrumentality of the
United States acting pursuant to a grant of authority from the  congress
of  the  United  States, including, but not limited to, any federal home
loan bank or banks, the Tennessee valley authority, the federal national
mortgage association, the federal home loan mortgage corporation and the
United States postal service;
  (iv) certificate of deposits that are fully secured by the  issuer  by
depositing  with  the  comptroller direct or indirect obligations of the
United States or its agencies or a letter of credit issued by the Feder-
al Home Loan Bank; and
  (v) obligations of any corporation organized under  the  laws  of  any
state  in  the  United  States  maturing within two hundred seventy days
provided that such obligations receive the highest rating of  two  inde-
pendent rating services designated by the comptroller.
  (5) At the close of each fiscal year, the amount of interest and earn-
ings  attributable  to  each employer's account shall be computed by the
actuary and certified to the comptroller,  who  shall  thereupon  credit
each employer's account in accordance therewith.
  (6) The assets of the fund shall be excluded from the annual valuation
of  the  assets  and  liabilities  of the funds of the retirement system
required by section eleven of this title. The assets of the  fund  shall
not be used to finance increases in pension benefits.
  S 3. Section 319-a of the retirement and social security law, as added
by section 3 of part TT of chapter 57 of the laws of 2010, is amended to
read as follows:
  S  319-a.  Employer contributions for the two thousand ten - two thou-
sand eleven fiscal year and subsequent fiscal years. a. In  addition  to
the  definitions in section three hundred two of this article, when used
in this section:

S. 2607--D                         114                        A. 3007--D

  (1) "Amortizing employer" shall mean an employer that elects to  amor-
tize  a  portion of the employer's annual bill pursuant to paragraph one
of subdivision d of this section for the two thousand ten - two thousand
eleven fiscal year, or any  subsequent  fiscal  year,  PURSUANT  TO  THE
SYSTEM  GRADED  CONTRIBUTION RATE regardless of whether the employer has
subsequently paid in full all such amortized amounts, AND THAT DOES  NOT
ELECT  TO  AMORTIZE  AS  AN  ALTERNATIVE AMORTIZING EMPLOYER FOR THE TWO
THOUSAND THIRTEEN - TWO THOUSAND FOURTEEN FISCAL YEAR.
  (1-A) "ALTERNATIVE AMORTIZING EMPLOYER" SHALL  MEAN  A  COUNTY,  CITY,
TOWN  OR  VILLAGE THAT, ON A FORM PREPARED BY THE COMPTROLLER, ELECTS TO
AND DOES AMORTIZE A PORTION OF THE EMPLOYER'S ANNUAL  BILL  PURSUANT  TO
PARAGRAPH  ONE  OF  SUBDIVISION  D  OF THIS SECTION FOR THE TWO THOUSAND
THIRTEEN - TWO THOUSAND FOURTEEN FISCAL YEAR PURSUANT TO THE ALTERNATIVE
SYSTEM GRADED CONTRIBUTION RATE, REGARDLESS OF WHETHER THE EMPLOYER  HAS
SUBSEQUENTLY PAID IN FULL ALL SUCH AMORTIZED AMOUNTS.
  (2)  "Amount  eligible for amortization" for a given fiscal year shall
mean the amount by which an employer's actuarial contribution  for  such
fiscal  year  exceeds  the  employer's  graded contribution for the same
fiscal year, less any amount from the employer contribution reserve fund
applied to reduce the employer's payment to the  retirement  system  for
the fiscal year, provided, however, that if the employer's average actu-
arial  contribution  rate for the fiscal year is less than seventeen and
one-half percent, then the amount eligible  for  amortization  shall  be
zero.
  (3)  "Employer's actuarial contribution" for a given fiscal year shall
mean an employer's annual bill for such fiscal  year  exclusive  of  the
deficiency  contributions  and  payments  on  account of group term life
insurance, adjustments relating  to  prior  fiscal  years'  obligations,
retirement incentives and prior amortizations.
  (4)  "Employer's  annual  bill" shall mean for a given fiscal year the
sum of the following amounts: (i) an employer's normal contributions for
the fiscal year determined in accordance with paragraph one of  subdivi-
sion  b  of  section  three hundred twenty-three of this article and the
comprehensive structural reform program implemented pursuant to subdivi-
sion b of section three hundred twenty-three-a of this article,  includ-
ing  the  provisions  of  subdivision b of section three hundred twenty-
three-a  of  this  article  relating  to  the  required  minimum  annual
contribution  of four and one-half percent of pensionable salaries; (ii)
the employer's deficiency contributions and administration contributions
for the fiscal year determined in accordance  with  paragraphs  two  and
three  of  subdivision  b  of section three hundred twenty-three of this
article; and (iii) any payments by the employer due in the  fiscal  year
on  account  of group term life insurance, adjustments relating to prior
fiscal years'  obligations,  retirement  incentives  and  prior  amorti-
zations.
  (5)  "Employer's  average  actuarial  contribution  rate"  for a given
fiscal year shall mean an employer's  actuarial  contribution  for  such
fiscal  year  divided  by  the employer's projected payroll for the same
fiscal year.
  (6) "Employer contribution reserve fund"  or  "fund"  shall  mean  the
employer contribution reserve fund established pursuant to subdivision e
of this section.
  (7)  "Employer's  graded  contribution"  for a given fiscal year shall
mean the amount determined by applying the  employer's  graded  contrib-
ution  rate OR THE ALTERNATIVE AMORTIZING EMPLOYER'S GRADED CONTRIBUTION

S. 2607--D                         115                        A. 3007--D

RATE for such fiscal year to an employer's  projected  payroll  for  the
same fiscal year.
  (8)  "Employer's  graded  contribution  rate"  for a given fiscal year
shall mean (i) the system graded contribution rate for such fiscal year,
or (ii) in the case  of  an  individual  employer  for  which  a  graded
contribution  rate  has  been  determined pursuant to paragraph three of
subdivision c of this section, the  graded  contribution  rate  for  the
individual employer for such fiscal year.
  (9) "Employer's graded payment" for a given fiscal year shall mean the
amount  by  which an employer's graded contribution for such fiscal year
exceeds the employer's actuarial contribution for the same fiscal year.
  (10) "Prior amortization" shall mean with respect to  a  given  fiscal
year  any  payment  due  in such fiscal year on account of an obligation
from a prior fiscal year that an employer is permitted  to  pay  to  the
retirement system on an amortized basis.
  (11)  "System  average actuarial contribution rate" for a given fiscal
year shall mean the sum of all employers'  actuarial  contributions  for
such fiscal year, divided by the sum of all employers' projected payroll
for the same fiscal year.
  (12)  "System  graded contribution rate" for a given fiscal year shall
mean the graded contribution rate for the retirement system as  a  whole
determined  for  such  fiscal  year  pursuant to paragraph one or two of
subdivision c of this section.
  (13) "ALTERNATIVE SYSTEM GRADED CONTRIBUTION RATE" FOR A GIVEN  FISCAL
YEAR  SHALL  MEAN THE GRADED CONTRIBUTION RATE FOR THE RETIREMENT SYSTEM
AS A WHOLE DETERMINED FOR SUCH FISCAL YEAR PURSUANT TO PARAGRAPH ONE  OR
TWO OF SUBDIVISION C-1 OF THIS SECTION.
  b.  Notwithstanding the provisions of this chapter or any other law to
the contrary, the comptroller, in his  or  her  discretion,  shall  have
authority to implement this section. If the comptroller elects to imple-
ment  this  section,  the  provisions of this section shall apply to the
payment of employer contributions for  the  fiscal  year  commencing  on
April  first, two thousand ten, and for subsequent fiscal years.  IF THE
COMPTROLLER, WITHIN HIS OR  HER  DISCRETION,  ELECTS  TO  IMPLEMENT  THE
ALTERNATIVE  SYSTEM  GRADED CONTRIBUTION RATE AS PROVIDED BY SUBDIVISION
C-1 OF THIS SECTION, THE PROVISIONS OF PARAGRAPH ONE-A OF SUBDIVISION  D
OF THIS SECTION SHALL APPLY TO THE PAYMENT OF EMPLOYER CONTRIBUTIONS FOR
THE  FISCAL  YEAR  COMMENCING ON APRIL FIRST, TWO THOUSAND THIRTEEN, AND
FOR SUBSEQUENT FISCAL YEARS.
  c. For each fiscal year to which the provisions of this section apply,
the comptroller shall determine  a  graded  contribution  rate  for  the
retirement system as a whole in the manner provided in this subdivision.
  (1)  For  the  two  thousand ten - two thousand eleven fiscal year the
system graded contribution rate shall be seventeen and one-half percent.
  (2) For the two thousand eleven - two thousand twelve fiscal year, and
subsequent fiscal years,  system  graded  contribution  rates  shall  be
determined as follows:
  (i)  if  the  system  average  actuarial contribution rate for a given
fiscal year is at least seventeen and one-half percent and  exceeds  the
system  graded  contribution  rate  for the immediately preceding fiscal
year by more than one percentage point, then the system graded  contrib-
ution  rate  for  the  given  fiscal  year shall equal the system graded
contribution rate for the immediately preceding  fiscal  year  plus  one
percentage  point,  provided  however, that in no event shall the system
graded contribution rate be less than seventeen and one-half percent;

S. 2607--D                         116                        A. 3007--D

  (ii) if the system average actuarial contribution  rate  for  a  given
fiscal year is at least seventeen and one-half percent and either equals
the system graded contribution rate for the immediately preceding fiscal
year  or exceeds the system graded contribution rate for the immediately
preceding  fiscal  year by one percentage point or less, then the system
graded contribution rate for the  given  fiscal  year  shall  equal  the
system  average  actuarial  contribution  rate  for  such  fiscal  year,
provided, however, that in no event shall the system graded contribution
rate be less than seventeen and one-half percent;
  (iii) if the system average actuarial contribution rate  for  a  given
fiscal year is less than seventeen and one-half percent and greater than
the system graded contribution rate for the immediately preceding fiscal
year, then the system graded contribution rate for the given fiscal year
shall equal the system actuarial contribution rate for such fiscal year;
  (iv)  if  the  system  average actuarial contribution rate for a given
fiscal year is smaller than the system graded contribution rate for  the
immediately  preceding  fiscal  year  by more than one percentage point,
then the system graded contribution rate for the given fiscal year shall
equal the system graded contribution rate for the immediately  preceding
fiscal year minus one percentage point; and
  (v)  if  the  system  average  actuarial contribution rate for a given
fiscal year either equals the system graded contribution  rate  for  the
immediately  preceding  fiscal year or is smaller than the system graded
contribution rate for the  immediately  preceding  fiscal  year  by  one
percentage  point  or less, then the system graded contribution rate for
the given fiscal year shall equal the system actuarial contribution rate
for such fiscal year.
  (3) The comptroller shall determine a  graded  contribution  rate  for
individual employers as provided in this paragraph.
  (i)  If  the  actuarial  contribution rate for an employer for a given
fiscal year is equal to or greater than  fifty  percent  of  the  system
actuarial  contribution  rate  for  such year, and less than or equal to
seventy-five percent of such system actuarial  contribution  rate,  then
the  graded contribution rate for the employer for the fiscal year shall
equal seventy-five percent of the system graded  contribution  RATE  for
such year.
  (ii)  If  the  actuarial contribution rate for an employer for a given
fiscal year is less than fifty percent of the system actuarial  contrib-
ution  rate  for  such  year,  then the graded contribution rate for the
employer for the fiscal year shall equal fifty  percent  of  the  system
graded contribution rate for such year.
  C-1.  FOR  EACH  FISCAL  YEAR  TO WHICH THE PROVISIONS OF THIS SECTION
APPLY, THE COMPTROLLER SHALL  DETERMINE  AN  ALTERNATIVE  SYSTEM  GRADED
CONTRIBUTION  RATE  FOR  THE  RETIREMENT SYSTEM AS A WHOLE IN THE MANNER
PROVIDED IN THIS SUBDIVISION.
  (1) FOR THE TWO THOUSAND THIRTEEN - TWO THOUSAND FOURTEEN FISCAL  YEAR
AND  THE  TWO  THOUSAND FOURTEEN - TWO THOUSAND FIFTEEN FISCAL YEAR, THE
ALTERNATIVE SYSTEM GRADED CONTRIBUTION RATE SHALL BE TWENTY PERCENT.
  (2) FOR THE TWO THOUSAND FIFTEEN - TWO THOUSAND  SIXTEEN  FISCAL  YEAR
AND  THE SUBSEQUENT FISCAL YEARS, ALTERNATIVE SYSTEM GRADED CONTRIBUTION
RATES SHALL BE DETERMINED AS FOLLOWS:
  (I) IF THE SYSTEM AVERAGE ACTUARIAL  CONTRIBUTION  RATE  FOR  A  GIVEN
FISCAL  YEAR  IS AT LEAST SEVENTEEN AND ONE-HALF PERCENT AND EXCEEDS THE
ALTERNATIVE SYSTEM GRADED CONTRIBUTION RATE FOR THE IMMEDIATELY  PRECED-
ING  FISCAL YEAR BY MORE THAN ONE-HALF PERCENTAGE POINT, THEN THE ALTER-
NATIVE SYSTEM GRADED CONTRIBUTION RATE FOR THE GIVEN FISCAL  YEAR  SHALL

S. 2607--D                         117                        A. 3007--D

EQUAL THE ALTERNATIVE SYSTEM GRADED CONTRIBUTION RATE FOR THE IMMEDIATE-
LY  PRECEDING  FISCAL  YEAR  PLUS  ONE-HALF  PERCENTAGE POINT, PROVIDED,
HOWEVER, THAT IN NO EVENT SHALL THE ALTERNATIVE SYSTEM  GRADED  CONTRIB-
UTION RATE BE LESS THAN SEVENTEEN AND ONE-HALF PERCENT;
  (II)  IF  THE  SYSTEM  AVERAGE ACTUARIAL CONTRIBUTION RATE FOR A GIVEN
FISCAL YEAR IS AT LEAST SEVENTEEN AND ONE-HALF PERCENT AND EITHER EQUALS
THE ALTERNATIVE SYSTEM GRADED  CONTRIBUTION  RATE  FOR  THE  IMMEDIATELY
PRECEDING  FISCAL YEAR OR EXCEEDS THE ALTERNATIVE SYSTEM GRADED CONTRIB-
UTION RATE  FOR  THE  IMMEDIATELY  PRECEDING  FISCAL  YEAR  BY  ONE-HALF
PERCENTAGE  POINT  OR  LESS, THEN THE ALTERNATIVE SYSTEM GRADED CONTRIB-
UTION RATE FOR THE GIVEN FISCAL YEAR  SHALL  EQUAL  THE  SYSTEM  AVERAGE
ACTUARIAL  CONTRIBUTION  RATE  FOR  SUCH FISCAL YEAR, PROVIDED, HOWEVER,
THAT IN NO EVENT SHALL THE ALTERNATIVE SYSTEM GRADED  CONTRIBUTION  RATE
BE LESS THAN SEVENTEEN AND ONE-HALF PERCENT;
  (III)  IF  THE  SYSTEM AVERAGE ACTUARIAL CONTRIBUTION RATE FOR A GIVEN
FISCAL YEAR IS LESS THAN SEVENTEEN AND ONE-HALF PERCENT AND GREATER THAN
THE ALTERNATIVE SYSTEM GRADED  CONTRIBUTION  RATE  FOR  THE  IMMEDIATELY
PRECEDING  FISCAL  YEAR, THEN THE ALTERNATIVE SYSTEM GRADED CONTRIBUTION
RATE FOR THE GIVEN FISCAL YEAR SHALL EQUAL THE SYSTEM ACTUARIAL CONTRIB-
UTION RATE FOR SUCH FISCAL YEAR;
  (IV) IF THE SYSTEM AVERAGE ACTUARIAL CONTRIBUTION  RATE  FOR  A  GIVEN
FISCAL  YEAR  IS SMALLER THAN THE ALTERNATIVE SYSTEM GRADED CONTRIBUTION
RATE FOR THE IMMEDIATELY PRECEDING FISCAL YEAR  BY  MORE  THAN  ONE-HALF
PERCENTAGE  POINT,  THEN THE ALTERNATIVE SYSTEM GRADED CONTRIBUTION RATE
FOR THE GIVEN FISCAL YEAR SHALL  EQUAL  THE  ALTERNATIVE  SYSTEM  GRADED
CONTRIBUTION  RATE  FOR  THE  IMMEDIATELY  PRECEDING  FISCAL  YEAR MINUS
ONE-HALF PERCENTAGE POINT; AND
  (V) IF THE SYSTEM AVERAGE ACTUARIAL  CONTRIBUTION  RATE  FOR  A  GIVEN
FISCAL  YEAR  EITHER  EQUALS  THE ALTERNATIVE SYSTEM GRADED CONTRIBUTION
RATE FOR THE IMMEDIATELY PRECEDING FISCAL YEAR OR IS  SMALLER  THAN  THE
ALTERNATIVE  SYSTEM GRADED CONTRIBUTION RATE FOR THE IMMEDIATELY PRECED-
ING FISCAL YEAR BY ONE-HALF PERCENTAGE POINT OR LESS, THEN THE  ALTERNA-
TIVE  SYSTEM  GRADED  CONTRIBUTION  RATE FOR THE GIVEN FISCAL YEAR SHALL
EQUAL THE SYSTEM ACTUARIAL CONTRIBUTION RATE FOR SUCH FISCAL YEAR.
  d. (1) For any given fiscal year for which an employer's average actu-
arial contribution rate exceeds the EMPLOYER graded  contribution  rate,
the  employer  shall pay to the retirement system an amount equal to the
employer's annual bill for such year or, in lieu of  paying  the  entire
annual  bill,  the  employer  may  pay an amount equal to the employer's
annual bill less all or a portion of the employer's amount eligible  for
amortization  for  the fiscal year. If in accordance with this paragraph
the employer's payment to the retirement system is less than the  entire
amount  of  the  employer's annual bill, then the difference between the
employer's annual bill, and the amount actually paid by the employer  to
the retirement system exclusive of any amount from the employer contrib-
ution  reserve  fund  applied to reduce the employer's payment, shall be
the amount amortized for the fiscal year. The amount amortized  for  the
fiscal  year  shall  be  paid  to  the retirement system in equal annual
installments over a ten-year period, with interest on the unpaid balance
at a rate determined by the comptroller which approximates a market rate
of return on taxable fixed rate securities with similar terms issued  by
comparable issuers, and with the first installment due in the immediate-
ly succeeding fiscal year.
  (1-A)  FOR ANY GIVEN FISCAL YEAR FOR WHICH AN EMPLOYER'S AVERAGE ACTU-
ARIAL CONTRIBUTION RATE EXCEEDS THE ALTERNATIVE SYSTEM  GRADED  CONTRIB-
UTION  RATE,  THE  EMPLOYER SHALL PAY TO THE RETIREMENT SYSTEM AN AMOUNT

S. 2607--D                         118                        A. 3007--D

EQUAL TO THE EMPLOYER'S ANNUAL BILL FOR SUCH YEAR OR, IN LIEU OF  PAYING
THE  ENTIRE  ANNUAL  BILL,  THE  EMPLOYER MAY PAY AN AMOUNT EQUAL TO THE
EMPLOYER'S ANNUAL BILL LESS ALL OR A PORTION OF  THE  EMPLOYER'S  AMOUNT
ELIGIBLE  FOR  AMORTIZATION  FOR  THE FISCAL YEAR. IF IN ACCORDANCE WITH
THIS PARAGRAPH THE EMPLOYER'S PAYMENT TO THE RETIREMENT SYSTEM  IS  LESS
THAN  THE  ENTIRE AMOUNT OF THE EMPLOYER'S ANNUAL BILL, THEN THE DIFFER-
ENCE BETWEEN THE EMPLOYER'S ANNUAL BILL, AND THE AMOUNT ACTUALLY PAID BY
THE EMPLOYER TO THE RETIREMENT SYSTEM EXCLUSIVE OF ANY AMOUNT  FROM  THE
EMPLOYER  CONTRIBUTION  RESERVE  FUND  APPLIED  TO REDUCE THE EMPLOYER'S
PAYMENT, SHALL BE THE AMOUNT AMORTIZED FOR THE FISCAL YEAR.  THE  AMOUNT
AMORTIZED  FOR THE FISCAL YEAR SHALL BE PAID TO THE RETIREMENT SYSTEM IN
EQUAL ANNUAL INSTALLMENTS OVER A TWELVE YEAR PERIOD,  WITH  INTEREST  ON
THE  UNPAID  BALANCE AT A RATE DETERMINED BY THE COMPTROLLER WHICH SHALL
BE THE  TWELVE  YEAR  INTERPOLATED  RATE  BASED  ON  THE  MOST  RECENTLY
PUBLISHED  YIELD TO MATURITY OF A TEN YEAR AND TWENTY YEAR U.S. TREASURY
SECURITY PLUS ONE HUNDRED BASIS POINTS.
  (2) For any given fiscal year for which the system graded contribution
rate equals  or  exceeds  an  amortizing  employer's  average  actuarial
contribution  rate,  the amortizing employer shall pay to the retirement
system an amount equal to the employer's annual bill for such year  plus
the employer's graded payment for the fiscal year.
  (i)  If the amortizing employer's annual bill for the fiscal year does
not include an amount attributable to a  prior  amortization,  then  the
employer's  graded  payment shall be paid into the employer contribution
reserve fund provided for in subdivision e of this section and  credited
to an account within such fund established for the employer.
  (ii)  If  the  amortizing  employer's  annual bill for the fiscal year
includes an amount attributable to a prior amortization, the  employer's
graded  payment  shall  be  used  first  to  eliminate the amount of the
employer's unpaid prior amortization  balances  in  chronological  order
starting with oldest prior amortization balance. When in any fiscal year
the  employer's  graded  payment  eliminates  all  balances  owed on the
employer's prior amortizations, any remaining portion of the  employer's
graded  payment  for such fiscal year, and the employer's graded payment
in any subsequent fiscal year in which the amortizing  employer  has  no
unpaid prior amortizations, shall be paid into the employer contribution
reserve  fund provided for in subdivision e of this section and credited
to an account within such fund established for the employer.
  (2-A) FOR ANY GIVEN FISCAL YEAR FOR WHICH THE ALTERNATIVE SYSTEM GRAD-
ED CONTRIBUTION RATE EQUALS OR EXCEEDS AN ALTERNATIVE AMORTIZING EMPLOY-
ER'S AVERAGE ACTUARIAL CONTRIBUTION  RATE,  THE  ALTERNATIVE  AMORTIZING
EMPLOYER  SHALL  PAY  TO  THE  RETIREMENT  SYSTEM AN AMOUNT EQUAL TO THE
EMPLOYER'S ANNUAL BILL FOR SUCH YEAR PLUS THE EMPLOYER'S GRADED  PAYMENT
FOR THE FISCAL YEAR.
  (I)  IF  THE  ALTERNATIVE  AMORTIZING  EMPLOYER'S  ANNUAL BILL FOR THE
FISCAL YEAR DOES NOT INCLUDE AN AMOUNT ATTRIBUTABLE TO A  PRIOR  AMORTI-
ZATION,  THEN  THE  EMPLOYER'S  GRADED  PAYMENT  SHALL  BE PAID INTO THE
EMPLOYER CONTRIBUTION RESERVE FUND PROVIDED FOR IN SUBDIVISION E OF THIS
SECTION AND CREDITED TO AN ACCOUNT WITHIN SUCH FUND ESTABLISHED FOR  THE
EMPLOYER.
  (II)  IF  THE  ALTERNATIVE  AMORTIZING  EMPLOYER'S ANNUAL BILL FOR THE
FISCAL YEAR INCLUDES AN AMOUNT ATTRIBUTABLE TO A PRIOR AMORTIZATION, THE
EMPLOYER'S GRADED PAYMENT SHALL BE USED FIRST TO ELIMINATE THE AMOUNT OF
THE EMPLOYER'S UNPAID PRIOR AMORTIZATION BALANCES IN CHRONOLOGICAL ORDER
STARTING WITH OLDEST PRIOR AMORTIZATION BALANCE. WHEN IN ANY FISCAL YEAR
THE EMPLOYER'S GRADED  PAYMENT  ELIMINATES  ALL  BALANCES  OWED  ON  THE

S. 2607--D                         119                        A. 3007--D

EMPLOYER'S  PRIOR AMORTIZATIONS, ANY REMAINING PORTION OF THE EMPLOYER'S
GRADED PAYMENT FOR SUCH FISCAL YEAR, AND THE EMPLOYER'S  GRADED  PAYMENT
IN  ANY  SUBSEQUENT  FISCAL YEAR IN WHICH THE AMORTIZING EMPLOYER HAS NO
UNPAID PRIOR AMORTIZATIONS, SHALL BE PAID INTO THE EMPLOYER CONTRIBUTION
RESERVE  FUND PROVIDED FOR IN SUBDIVISION E OF THIS SECTION AND CREDITED
TO AN ACCOUNT WITHIN SUCH FUND ESTABLISHED FOR THE EMPLOYER.
  (3) Nothing in this subdivision shall be construed as  prohibiting  an
employer from pre-paying any prior amortization.
  e.  (1)  Notwithstanding any law to the contrary, there shall be main-
tained separate and apart from the other funds of the retirement  system
an  employer contribution reserve fund, the assets of which shall not be
used or invested in a manner contrary to the provisions of this subdivi-
sion. The fund shall consist of all employer contributions  required  to
be  deposited  into  the fund pursuant to subdivision d of this section.
Within such fund there shall be a separate  account  for  each  employer
making such contributions and payments.
  (2)  For  any  given  fiscal  year  for which (i) the system actuarial
contribution rate exceeds seventeen and one-half percent of payroll, and
(ii) for which an employer's average actuarial contribution rate exceeds
the graded contribution rate OR THE ALTERNATIVE SYSTEM  GRADED  CONTRIB-
UTION RATE, the balance in the employer's account within such fund shall
be applied to reduce the employer's payment to the retirement system for
such  fiscal  year in an amount not to exceed the difference between the
employer's actuarial contribution and the employer's graded contribution
for the fiscal year.
  (3) Notwithstanding the provisions of paragraph two of  this  subdivi-
sion, if at the close of any given fiscal year the balance of an employ-
er's  account within the fund exceeds one hundred percent of the employ-
er's payroll for such fiscal year, the excess shall be applied to reduce
the employer's payment to the retirement system for the next  succeeding
fiscal year.
  (4)  The  assets  of  the fund shall be invested in only the following
types of investments:
  (i) obligations of the United States  of  America  or  in  obligations
guaranteed by agencies of the United States of America where the payment
of principal and interest are guaranteed by the United States of America
or in obligations of the state of New York;
  (ii)  general  obligation bonds and notes of any state other than this
state, provided that such bonds and notes receive the highest rating  of
at least one independent rating agency;
  (iii)  obligations of, or instruments issued by or fully guaranteed as
to principal and interest by,  any  agency  or  instrumentality  of  the
United  States acting pursuant to a grant of authority from the congress
of the United States, including, but not limited to,  any  federal  home
loan bank or banks, the Tennessee valley authority, the federal national
mortgage association, the federal home loan mortgage corporation and the
United States postal service;
  (iv)  certificate  of deposits that are fully secured by the issuer by
depositing with the comptroller direct or indirect  obligations  of  the
United States or its agencies or a letter of credit issued by the Feder-
al Home Loan Bank; and
  (v)  obligations  of  any  corporation organized under the laws of any
state in the United States maturing  within  two  hundred  seventy  days
provided  that  such obligations receive the highest rating of two inde-
pendent rating services designated by the comptroller.

S. 2607--D                         120                        A. 3007--D

  (5) At the close of each fiscal year, the amount of interest and earn-
ings attributable to each employer's account shall be  computed  by  the
actuary  and  certified  to  the comptroller, who shall thereupon credit
each employer's account in accordance therewith.
  (6) The assets of the fund shall be excluded from the annual valuation
of  the  assets  and  liabilities  of the funds of the retirement system
required by section three hundred eleven of this title.  The  assets  of
the fund shall not finance increases in pension benefits.
  S  4.  Section  521  of  the  education law is amended by adding a new
subdivision 3 to read as follows:
  3. STABLE CONTRIBUTION OPTION FOR PARTICIPATING EDUCATIONAL  EMPLOYERS
FOR  THE  TWO THOUSAND THIRTEEN - TWO THOUSAND FOURTEEN PLAN YEAR. A. IN
ADDITION TO THE DEFINITIONS IN SECTION FIVE HUNDRED ONE OF THIS ARTICLE,
WHEN USED IN THIS SUBDIVISION:
  (1) "PARTICIPATING EDUCATIONAL EMPLOYER" SHALL MEAN A SCHOOL  DISTRICT
OR  BOARD  OF  COOPERATIVE  EDUCATIONAL SERVICES WHICH ELECTS TO PAY THE
STABLE CONTRIBUTION AMOUNT IN THE MANNER PROVIDED IN THIS SUBDIVISION;
  (2) "STABLE CONTRIBUTION AMOUNT" SHALL MEAN AN  AMOUNT  EQUAL  TO  THE
STABLE  CONTRIBUTION  RATE  MULTIPLIED  BY  THE  PENSIONABLE SALARY BASE
(EXCLUSIVE  OF  PAYMENTS  FOR  GROUP  TERM  LIFE  INSURANCE,  DEFICIENCY
CONTRIBUTIONS,  ADJUSTMENTS RELATING TO PRIOR FISCAL YEARS' OBLIGATIONS,
OBLIGATIONS PERTAINING TO RETIREMENT INCENTIVES OR ANY OTHER OBLIGATIONS
THAT A PARTICIPATING EDUCATIONAL EMPLOYER IS  PERMITTED  TO  PAY  ON  AN
AMORTIZED BASIS);
  (3) "STABLE CONTRIBUTION RATE" SHALL MEAN FOURTEEN PERCENT FOR THE TWO
THOUSAND THIRTEEN - TWO THOUSAND FOURTEEN PLAN YEAR AND THE TWO THOUSAND
FOURTEEN - TWO THOUSAND FIFTEEN PLAN YEAR AND THE RATE AS ADOPTED BY THE
RETIREMENT BOARD IN ACCORDANCE WITH PARAGRAPH H OF THIS SUBDIVISION; AND
  (4)  "DEFERRED  EMPLOYER  CONTRIBUTION  AMOUNT"  SHALL  MEAN AN AMOUNT
ADEQUATE TO FUND THE BENEFITS FOR ACTIVE AND RETIRED MEMBERS  ASSOCIATED
WITH  SUCH  PARTICIPATING  EDUCATIONAL  EMPLOYER  HAD SUCH PARTICIPATING
EDUCATIONAL EMPLOYER NOT ELECTED THE  PROVISIONS  OF  THIS  SUBDIVISION.
SUCH  DEFERRED EMPLOYER CONTRIBUTION AMOUNT SHALL BE CALCULATED FOR EACH
YEAR OF PARTICIPATION IN THE STABLE CONTRIBUTION OPTION WITH  ASSOCIATED
INTEREST  DETERMINED  SPECIFIC  TO  EACH APPLICABLE PLAN YEAR'S DEFERRED
AMOUNT.
  B. NOTWITHSTANDING THE PROVISIONS OF THIS CHAPTER OR ANY OTHER LAW  TO
THE  CONTRARY,  THE  RETIREMENT  BOARD,  IN  ITS  DISCRETION, SHALL HAVE
AUTHORITY TO IMPLEMENT  THE  PROVISIONS  OF  THIS  SUBDIVISION.  IF  THE
RETIREMENT BOARD ELECTS TO IMPLEMENT THE PROVISIONS OF THIS SUBDIVISION,
THE  PROVISIONS  SHALL APPLY TO THE PAYMENT OF PARTICIPATING EDUCATIONAL
EMPLOYER CONTRIBUTIONS IN THE PLAN YEAR COMMENCING JULY FIRST, TWO THOU-
SAND THIRTEEN, FOR THE PENSION BILL PAID ON SEPTEMBER FIFTEENTH, OCTOBER
FIFTEENTH, AND NOVEMBER FIFTEENTH OF TWO THOUSAND FOURTEEN, AND FOR  THE
SUBSEQUENT  SIX PLAN YEARS. IF A PARTICIPATING EDUCATIONAL EMPLOYER DOES
NOT ELECT THE STABLE CONTRIBUTION OPTION IN THE FISCAL  YEAR  COMMENCING
ON  JULY  FIRST,  TWO  THOUSAND  THIRTEEN  FOR  THE PENSION BILL PAID ON
SEPTEMBER FIFTEENTH, OCTOBER FIFTEENTH, AND NOVEMBER  FIFTEENTH  OF  TWO
THOUSAND FOURTEEN, IT SHALL NOT BE ELIGIBLE TO ELECT THE STABLE CONTRIB-
UTION OPTION IN ANY SUCCEEDING PLAN YEAR.
  C.  FOR  EACH  OF THE SEVEN PLAN YEARS TO WHICH THE PROVISIONS OF THIS
SUBDIVISION APPLY, THE RETIREMENT BOARD SHALL USE A STABLE  CONTRIBUTION
RATE  ESTABLISHED  BY THE RETIREMENT BOARD FOR PARTICIPATING EDUCATIONAL
EMPLOYERS.
  D. IF THE RETIREMENT BOARD, IN ITS  DISCRETION,  DECIDES  TO  ADOPT  A
STABLE  CONTRIBUTION OPTION PURSUANT TO THIS SUBDIVISION, THE RETIREMENT

S. 2607--D                         121                        A. 3007--D

BOARD SHALL DETERMINE THE STABLE CONTRIBUTION AMOUNT IN EACH  PLAN  YEAR
FOR A PARTICIPATING EDUCATIONAL EMPLOYER PURSUANT TO SUBPARAGRAPH TWO OF
PARAGRAPH  A  OF THIS SUBDIVISION. SUCH STABLE CONTRIBUTION AMOUNT SHALL
BE  IN  LIEU  OF  A  PARTICIPATING  EDUCATIONAL  EMPLOYER'S  ACTUARIALLY
REQUIRED CONTRIBUTION RATE OF NORMAL  AND  ADMINISTRATIVE  CONTRIBUTIONS
PURSUANT TO SECTIONS FIVE HUNDRED SEVENTEEN AND FIVE HUNDRED NINETEEN OF
THIS ARTICLE FOR THE PLAN YEAR COMMENCING JULY FIRST, TWO THOUSAND THIR-
TEEN, AND FOR THE NEXT SIX SUBSEQUENT PLAN YEARS.
  E.  ANY  PARTICIPATING  EDUCATIONAL  EMPLOYER  WHICH ELECTS TO PAY THE
STABLE CONTRIBUTION AMOUNT PURSUANT TO THIS SUBDIVISION  SHALL  PAY  THE
AMOUNT BASED ON THE STABLE CONTRIBUTION RATE FOR A PERIOD OF SEVEN YEARS
AND  SUCH OPTION SHALL BE AVAILABLE TO PARTICIPATING EDUCATIONAL EMPLOY-
ERS FROM THE TWO THOUSAND THIRTEEN - TWO  THOUSAND  FOURTEEN  PLAN  YEAR
THROUGH  THE  TWO  THOUSAND NINETEEN - TWO THOUSAND TWENTY PLAN YEAR. IN
THE SIXTH PLAN YEAR, THE TWO THOUSAND EIGHTEEN - TWO  THOUSAND  NINETEEN
PLAN  YEAR,  THE PARTICIPATING EDUCATIONAL EMPLOYER SHALL PAY THE STABLE
CONTRIBUTION RATE  AND,  IN  ADDITION,  COMMENCE  PAYMENT  FOR  DEFERRED
EMPLOYER  CONTRIBUTIONS  IN ACCORDANCE WITH PARAGRAPH J OF THIS SUBDIVI-
SION.  COMMENCING WITH THE PLAN YEAR BEGINNING JULY FIRST, TWO  THOUSAND
TWENTY,  THE  PARTICIPATING EDUCATIONAL EMPLOYER SHALL RESUME PAYMENT OF
THE ACTUARIALLY REQUIRED CONTRIBUTION RATE OF NORMAL AND  ADMINISTRATIVE
CONTRIBUTIONS  PURSUANT  TO  SECTIONS  FIVE  HUNDRED  SEVENTEEN AND FIVE
HUNDRED NINETEEN OF THIS ARTICLE  AND,  IN  ADDITION,  ANY  PAYMENT  FOR
DEFERRED  EMPLOYER  CONTRIBUTION AMOUNTS IN ACCORDANCE WITH PARAGRAPHS J
AND K OF THIS SUBDIVISION.
  F. A PARTICIPATING EDUCATIONAL EMPLOYER PAYING A  STABLE  CONTRIBUTION
AMOUNT  SHALL  REMIT, COMMENCING WITH THE JULY FIRST, TWO THOUSAND THIR-
TEEN PLAN YEAR, AN AMOUNT DETERMINED BY THE RETIREMENT BOARD  BY  ADDING
THE FOLLOWING TWO AMOUNTS TOGETHER:
  (1)  THE STABLE CONTRIBUTION AMOUNT CALCULATED PURSUANT TO THIS SUBDI-
VISION; AND
  (2) PAYMENTS FOR  GROUP  TERM  LIFE  INSURANCE,  DEFICIENCY  PAYMENTS,
ADJUSTMENTS  RELATING TO PRIOR FISCAL YEARS' OBLIGATIONS AND OBLIGATIONS
PERTAINING TO RETIREMENT INCENTIVES OR  ANY  OTHER  OBLIGATIONS  THAT  A
PARTICIPATING  EDUCATIONAL  EMPLOYER IS PERMITTED TO PAY ON AN AMORTIZED
BASIS.
  G. THE STABLE CONTRIBUTION AMOUNT MUST BE PAID IN FULL BY  PARTICIPAT-
ING  EDUCATIONAL  EMPLOYERS  ON  THE  DATES  SPECIFIED IN PARAGRAPH H OF
SUBDIVISION TWO OF THIS SECTION.
  H. PRIOR TO JULY FIRST, TWO THOUSAND FIFTEEN AND JULY FIRST, TWO THOU-
SAND SEVENTEEN THE RETIREMENT BOARD IS AUTHORIZED TO EVALUATE THE STABLE
CONTRIBUTION RATE USED TO CALCULATE PARTICIPATING  EDUCATIONAL  EMPLOYER
STABLE CONTRIBUTION AMOUNTS. SUCH EVALUATION SHALL BE BASED ON A PROJEC-
TION  OF  ASSETS  AND  LIABILITIES SO AS TO ENSURE THAT CONTRIBUTIONS BY
PARTICIPATING EDUCATIONAL EMPLOYERS  WHICH  PARTICIPATE  IN  THE  STABLE
CONTRIBUTION OPTION ARE ADEQUATE TO ENSURE THAT SYSTEM ASSETS ARE SUFFI-
CIENT  TO  FUND  BENEFITS FOR ACTIVE AND RETIRED MEMBERS. THE RETIREMENT
BOARD IS AUTHORIZED TO INCREASE THE STABLE CONTRIBUTION RATE  BY  UP  TO
TWO  PERCENTAGE  POINTS  ON JULY FIRST, TWO THOUSAND FIFTEEN AND ON JULY
FIRST, TWO THOUSAND SEVENTEEN.  THE  REVISED  STABLE  CONTRIBUTION  RATE
RESULTING  FROM  THE  FOREGOING EVALUATIONS AND JULY FIRST, TWO THOUSAND
FIFTEEN AND JULY FIRST, TWO THOUSAND SEVENTEEN STABLE RATE INCREASES MAY
NOT, IN COMBINATION, EXCEED EIGHTEEN PERCENT. THE  RETIREMENT  BOARD  IS
AUTHORIZED  TO  DECREASE THE STABLE CONTRIBUTION RATE, IF WARRANTED, BUT
IN NO EVENT SHALL THE STABLE CONTRIBUTION RATE  BE  LESS  THAN  FOURTEEN
PERCENT.

S. 2607--D                         122                        A. 3007--D

  I. A PARTICIPATING EDUCATIONAL EMPLOYER MAY ELECT TO TERMINATE PARTIC-
IPATION  IN  THE  STABLE  CONTRIBUTION  OPTION AND RESUME PAYMENT OF THE
ACTUARIALLY REQUIRED CONTRIBUTION OF NORMAL AND ADMINISTRATIVE  CONTRIB-
UTIONS  IN  ACCORDANCE  WITH  SECTIONS  FIVE  HUNDRED SEVENTEEN AND FIVE
HUNDRED  NINETEEN  OF THIS ARTICLE. PROVIDED, HOWEVER, THAT SUCH PARTIC-
IPATING EDUCATIONAL EMPLOYER WHICH  ELECTS  TO  TERMINATE  PARTICIPATION
SHALL MAKE A RECONCILIATION CONTRIBUTION TO THE RETIREMENT SYSTEM, AT AN
AMOUNT  TO  BE  DETERMINED BY THE RETIREMENT BOARD, ADEQUATE TO FUND THE
BENEFITS FOR ACTIVE AND RETIRED MEMBERS ASSOCIATED WITH SUCH PARTICIPAT-
ING EDUCATIONAL EMPLOYER HAD SUCH PARTICIPATING EDUCATIONAL EMPLOYER NOT
ELECTED THE PROVISIONS OF THIS SUBDIVISION. SUCH RECONCILIATION CONTRIB-
UTION SHALL BE MADE OVER A PERIOD NOT TO EXCEED FIVE YEARS AND SHALL  BE
MADE IN ADDITION TO THE NORMAL AND ADMINISTRATIVE CONTRIBUTIONS PURSUANT
TO  SECTIONS  FIVE  HUNDRED  SEVENTEEN AND FIVE HUNDRED NINETEEN OF THIS
ARTICLE FOR THE  PLAN  YEAR  IN  WHICH  SUCH  PARTICIPATING  EDUCATIONAL
EMPLOYER  CHOOSES  TO  RESUME  PAYMENT  OF THE NORMAL AND ADMINISTRATIVE
CONTRIBUTIONS PURSUANT TO  SECTIONS  FIVE  HUNDRED  SEVENTEEN  AND  FIVE
HUNDRED  NINETEEN  OF  THIS ARTICLE. FOR THE PURPOSES OF DETERMINING THE
RECONCILIATION CONTRIBUTION AMOUNT, THE RETIREMENT  BOARD  SHALL  ASSUME
INTEREST  ON  THE  DEFERRED EMPLOYER CONTRIBUTION AMOUNT AT A RATE WHICH
APPROXIMATES THE MONTHLY AVERAGE YIELD ON UNITED STATES TREASURY SECURI-
TIES AT TEN-YEAR CONSTANT MATURITY FOR THE TWELVE-MONTH PERIOD PRECEDING
AUGUST FIRST OF EACH YEAR PLUS ONE PERCENTAGE POINT. THE  INTEREST  RATE
ASSOCIATED  WITH  SUCH  DEFERRED  EMPLOYER  CONTRIBUTION AMOUNT SHALL BE
SPECIFIC TO EACH APPLICABLE PLAN YEAR'S DEFERRED AMOUNT.
  J. IN THE SIXTH PLAN YEAR, COMMENCING JULY FIRST, TWO  THOUSAND  EIGH-
TEEN,  ALL PARTICIPATING EDUCATIONAL EMPLOYERS HAVING ELECTED THE STABLE
CONTRIBUTION OPTION SHALL CONTINUE TO CONTRIBUTE THE STABLE CONTRIBUTION
AMOUNT TO THE RETIREMENT SYSTEM AND REMIT TO THE RETIREMENT  SYSTEM  THE
ACCRUED  DEFERRED  EMPLOYER  CONTRIBUTIONS ACCUMULATED IN THE FIRST FIVE
PLAN YEARS. THE STABLE PAYMENT OF  THE  DEFERRED  EMPLOYER  CONTRIBUTION
ACCRUED  BY  THE PARTICIPATING EDUCATIONAL EMPLOYER SHALL BE PAID TO THE
RETIREMENT SYSTEM IN EQUAL ANNUAL INSTALLMENTS OVER A FIVE-YEAR  PERIOD,
WITH  INTEREST  ON THE UNPAID PORTION TO BE BASED ON THE MONTHLY AVERAGE
YIELD ON UNITED STATES TREASURY SECURITIES AT A TEN-YEAR CONSTANT  MATU-
RITY  FOR  THE  TWELVE-MONTH  PERIOD PRECEDING AUGUST FIRST OF EACH YEAR
PLUS ONE PERCENTAGE  POINT.  THE  INTEREST  RATE  ASSOCIATED  WITH  SUCH
DEFERRED  EMPLOYER  CONTRIBUTION AMOUNT SHALL BE SPECIFIC TO THE RATE AS
MEASURED ON AUGUST FIRST OF THE APPLICABLE PLAN YEAR  TO  SUCH  DEFERRED
AMOUNT.    PAYMENTS OF THE STABLE INSTALLMENTS SHALL BE MADE IN THE SAME
MANNER AS OTHER EMPLOYER CONTRIBUTIONS AS PRESCRIBED  IN  THIS  ARTICLE.
NOTHING  IN  THIS  SUBDIVISION  SHALL  BE  CONSTRUED AS PROHIBITING SUCH
PARTICIPATING EDUCATIONAL EMPLOYER FROM MAKING A RECONCILIATION CONTRIB-
UTION IN ACCORDANCE WITH PARAGRAPH I OF THIS SUBDIVISION.
  K. IN THE EIGHTH PLAN YEAR, COMMENCING JULY FIRST, TWO THOUSAND  TWEN-
TY,  ALL  PARTICIPATING  EDUCATIONAL EMPLOYERS HAVING ELECTED THE STABLE
CONTRIBUTION OPTION SHALL RESUME PAYMENT  OF  THE  ACTUARIALLY  REQUIRED
CONTRIBUTION  RATE OF NORMAL AND ADMINISTRATIVE CONTRIBUTIONS IN ACCORD-
ANCE WITH SECTION FIVE HUNDRED SEVENTEEN AND FIVE  HUNDRED  NINETEEN  OF
THIS  ARTICLE.  ADDITIONALLY, SUCH EMPLOYER WILL REMIT TO THE RETIREMENT
SYSTEM THE ACCRUED DEFERRED EMPLOYER  CONTRIBUTIONS  ACCUMULATED  DURING
THE  PLAN  YEARS  COMMENCING  JULY FIRST, TWO THOUSAND EIGHTEEN AND JULY
FIRST, TWO THOUSAND NINETEEN OF  THE  STABLE  CONTRIBUTION  OPTION.  THE
STABLE  PAYMENT  OF  THE  DEFERRED  EMPLOYER CONTRIBUTION ACCRUED BY THE
PARTICIPATING EDUCATIONAL EMPLOYER  SHALL  BE  PAID  TO  THE  RETIREMENT
SYSTEM  IN EQUAL ANNUAL INSTALLMENTS OVER A FIVE-YEAR PERIOD WITH INTER-

S. 2607--D                         123                        A. 3007--D

EST ON THE UNPAID PORTION TO BE BASED ON THE MONTHLY  AVERAGE  YIELD  ON
UNITED  STATES  TREASURY  SECURITIES AT A TEN-YEAR CONSTANT MATURITY FOR
THE TWELVE-MONTH PERIOD PRECEDING AUGUST FIRST OF  EACH  YEAR  PLUS  ONE
PERCENTAGE  POINT.  THE  INTEREST  RATE  ASSOCIATED  WITH  SUCH DEFERRED
EMPLOYER CONTRIBUTION AMOUNT SHALL BE SPECIFIC TO THE RATE  AS  MEASURED
ON  AUGUST  FIRST  OF  THE APPLICABLE PLAN YEAR TO SUCH DEFERRED AMOUNT.
PAYMENTS OF THE STABLE INSTALLMENTS SHALL BE MADE IN THE SAME MANNER  AS
OTHER  EMPLOYER  CONTRIBUTIONS AS PRESCRIBED IN THIS ARTICLE. NOTHING IN
THIS SUBDIVISION SHALL BE CONSTRUED AS  PROHIBITING  SUCH  PARTICIPATING
EDUCATIONAL  EMPLOYER  FROM  MAKING  A  RECONCILIATION  CONTRIBUTION  IN
ACCORDANCE WITH PARAGRAPH I OF THIS SUBDIVISION.
  L. NOTWITHSTANDING THE PROVISIONS OF THIS SUBDIVISION, IF THE  RETIRE-
MENT  BOARD DECIDES TO ADOPT A STABLE CONTRIBUTION OPTION, IN ACCORDANCE
WITH THIS SUBDIVISION, AND THE FUNDED STATUS OF  THE  RETIREMENT  SYSTEM
REACHES  A  THRESHOLD  BELOW  EIGHTY PERCENT AT THE END OF ANY PLAN YEAR
DURING THE SEVEN PLAN YEAR TERM OF THIS OPTION, THE OPTION  SHALL  CEASE
AND  PARTICIPATING  EDUCATIONAL  EMPLOYERS  WHO  HAVE ELECTED THE STABLE
CONTRIBUTION OPTION SHALL RESUME PAYMENT  OF  THE  ACTUARIALLY  REQUIRED
CONTRIBUTION  RATE OF NORMAL AND ADMINISTRATIVE CONTRIBUTIONS IN ACCORD-
ANCE WITH SECTION FIVE HUNDRED SEVENTEEN AND FIVE  HUNDRED  NINETEEN  OF
THIS  ARTICLE.  ADDITIONALLY,  SUCH  EMPLOYER WILL MAKE A RECONCILIATION
CONTRIBUTION TO THE RETIREMENT SYSTEM, AT AN AMOUNT TO BE DETERMINED  BY
THE  RETIREMENT  BOARD,  ADEQUATE  TO  FUND  THE BENEFITS FOR ACTIVE AND
RETIRED MEMBERS ASSOCIATED WITH SUCH PARTICIPATING EDUCATIONAL  EMPLOYER
HAD  SUCH  PARTICIPATING EDUCATIONAL EMPLOYER NOT ELECTED THE PROVISIONS
OF THIS SECTION. THE  PAYMENT  OF  THE  DEFERRED  EMPLOYER  CONTRIBUTION
ACCRUED  BY  THE PARTICIPATING EDUCATIONAL EMPLOYER SHALL BE PAID TO THE
RETIREMENT SYSTEM IN EQUAL ANNUAL INSTALLMENTS OVER A  FIVE-YEAR  PERIOD
WITH  INTEREST  ON THE UNPAID PORTION TO BE BASED ON THE MONTHLY AVERAGE
YIELD ON UNITED STATES TREASURY SECURITIES AT A TEN-YEAR CONSTANT  MATU-
RITY  FOR  THE  TWELVE-MONTH  PERIOD PRECEDING AUGUST FIRST OF EACH YEAR
PLUS ONE PERCENTAGE  POINT.  THE  INTEREST  RATE  ASSOCIATED  WITH  SUCH
DEFERRED  EMPLOYER  CONTRIBUTION AMOUNT SHALL BE SPECIFIC TO THE RATE AS
MEASURED ON AUGUST FIRST OF THE APPLICABLE PLAN YEAR  TO  SUCH  DEFERRED
AMOUNT.  PAYMENTS  OF  THE STABLE INSTALLMENTS SHALL BE MADE IN THE SAME
MANNER AS OTHER EMPLOYER CONTRIBUTIONS AS PRESCRIBED IN THIS ARTICLE.
  M. THE RETIREMENT BOARD IS AUTHORIZED TO PROMULGATE  RULES  AND  REGU-
LATIONS FOR IMPLEMENTATION OF THIS SUBDIVISION.
  S 5. This act shall take effect immediately.
  FISCAL NOTE.--Pursuant to Legislative Law, Section 50:
  This bill would amend Section 19-a and Section 319-a of the Retirement
and Social Security Law as it pertains to employer bills of the New York
State and Local Employees Retirement System (ERS) and the New York State
and  Local  Police and Fire Retirement System (PFRS). Eligible employers
would be  allowed  to  irrevocably  elect  an  alternative  amortization
program which specifies:
  1.  The  graded  rate for contributions payable in fiscal years ending
2014 and 2015 will be 12.0% for employers in  the  New  York  State  and
Local  Employees  Retirement System (ERS) and 20.0% for employers in the
New York State and Local Police and Fire Retirement System (PFRS).
  2. The graded rate will move toward the actuarially required  rate  by
no more than 0.5% per year from the prior year's graded rate.
  3.  Electing employers may amortize contributions based on the differ-
ence between the actuarially required rate and the graded rate over a 12
year period at the 10 year treasury rate interpolated to 12  years  plus
100 basis points.

S. 2607--D                         124                        A. 3007--D

  This  bill puts in place a program that allows ERS and PFRS employers,
if they choose to participate, to amortize a  larger  portion  of  their
bill  with  their  respective  Retirement System than they are currently
eligible under Section 19-a and Section 319-a. If  they  do  this,  then
when  rates  are falling below certain levels and they have paid off all
outstanding amortizations, the employer will be required  to  pay  addi-
tional  monies  into  a  reserve  fund  that  will be used when employer
contribution rates begin to rise in the future.
  If this bill is enacted, we estimate  that  there  would  be  a  small
administrative  cost  to  the  System  to revise the current billing and
business communication processes.
  Summary of relevant resources:
  Data: March 31, 2012 Actuarial Year End  File  with  distributions  of
membership  and  other  statistics  displayed  in the 2012 Report of the
Actuary and 2012 Comprehensive Annual Financial Report.
  Assumptions and Methods: 2010, 2011 and  2012  Annual  Report  to  the
Comptroller on Actuarial Assumptions, Codes Rules and Regulations of the
State of New York: Audit and Control.
  Market  Assets and GASB Disclosures: March 31, 2012 New York State and
Local Retirement System Financial Statements and Supplementary  Informa-
tion.
  Valuations of Benefit Liabilities and Actuarial Assets:  summarized in
the 2012 Actuarial Valuations report.
  I am a member of the American Academy of Actuaries and meet the Quali-
fication Standards to render the actuarial opinion contained.
  This  estimate,  dated March 19, 2013 and intended for use only during
the 2013 Legislative Session, is Fiscal Note No.  2013-70,  prepared  by
the Actuary for the ERS and PFRS.
  FISCAL NOTE.-- Pursuant to Legislative Law, Section 50:
  This  fiscal  note was requested by the New York State Division of the
Budget. Pursuant to Section 50 of the Legislative Law, the  fiscal  note
that must be appended in its entirety to this bill is:
  This  bill  would  amend  the Education Law to add an optional payment
program for payment of employer contributions  to  the  New  York  State
Teachers'  Retirement System (NYSTRS). The bill would add a new subdivi-
sion 3 to Section 521 which would permit the Retirement Board  to  allow
employers  of  members  of  NYSTRS to elect to pay a stable contribution
rate in lieu of the annually  calculated  actuarially-required  contrib-
utions due for each of the next seven plan years beginning with the July
first,  two thousand thirteen through June thirtieth, two thousand four-
teen plan year.
  The stable contribution rate shall be fourteen percent of such employ-
er's pensionable compensation paid during the plan year, for the term of
the program beginning with the July first, two thousand thirteen through
June thirtieth, two thousand fourteen plan year.  This  stable  contrib-
ution rate shall be exclusive of payments for group term life insurance,
deficiency  contributions,  adjustments  relating to prior fiscal years'
obligations, obligations pertaining  to  retirement  incentives  or  any
other  obligation  that the employer is permitted to pay on an amortized
basis.
  The Retirement Board is authorized to increase the stable contribution
rate by up to two percentage points in plan years beginning July  first,
two  thousand fifteen and July first, two thousand seventeen. The stable
contribution rate may not exceed eighteen percent and it may not be less
than fourteen percent.

S. 2607--D                         125                        A. 3007--D

  In the sixth year, the fiscal year commencing July first, two thousand
eighteen, employers who elected program participation shall continue  to
contribute the stable contribution rate and in addition shall contribute
a  stable  payment  to  the  retirement  system  to pay back the accrued
deferred employer contributions accumulated in the first five years. The
stable  payment  shall  be paid to the retirement system in equal annual
installments over a  five-year  period,  with  interest  on  the  unpaid
portion to be based on the monthly average yield on United States treas-
ury  securities  at  a  ten-year  constant maturity for the twelve month
period preceding August first of each year plus one percentage point.
  In the eighth year, the fiscal year commencing July first,  two  thou-
sand  twenty,  all  employers having elected program participation shall
resume payment of the annually calculated actuarially-required  contrib-
ution.  Additionally there will be a payment to the retirement system to
pay  back  the  deferred employer contributions accumulated in years six
and seven. The stable payment shall be paid to the retirement system  in
equal  annual  installments over a five-year period with interest on the
unpaid portion to be based on the monthly average yield on United States
treasury securities at a ten-year constant maturity for the twelve month
period preceding August first of each year plus one percentage point.
  An employer must elect to participate in the program in the plan  year
beginning July first, two thousand thirteen. An employer may subsequent-
ly elect to terminate participation in the program and resume payment of
the  annually calculated actuarially-required contribution. Additionally
such employer will make a reconciliation payment intended  to  fund  any
deficiencies that have accrued along with interest due to the actuarial-
ly-required  contributions  being in excess of the contributions paid by
the employer during participation in  the  program.  The  reconciliation
payment shall be made over a period not to exceed five years.
  Should  the  funded  status  of the retirement system become less than
eighty percent at the end of any plan year, the program  shall  end  and
employers  who  have  elected  the program shall contribute the annually
calculated actuarially-required contributions  in  the  succeeding  plan
year, along with a reconciliation payment intended to fund any deficien-
cies  that  have  accrued along with interest due to the actuarially-re-
quired contributions being in excess of the contributions  paid  by  the
employer during participation in the program. The reconciliation payment
shall be made over a period not to exceed five years.
  Cost  Impact  - This bill would permit a change in the manner in which
employer contributions are to be collected over the  next  seven  years.
Employer  contributions  would  continue  to be determined in accordance
with an annual actuarial valuation, but employers who elect  to  partic-
ipate would be permitted to defer payment of a portion of their required
contribution  above a fixed amount (14% increased by 2.0% in years three
and five, as needed, to a maximum of 18%). The annual deficiency amounts
will be accumulated with an interest rate to be  based  on  the  monthly
average  yield  on  United  States  treasury  securities  at  a ten-year
constant maturity plus one percentage point. Deficiencies accumulated in
program years one through five will be paid back over a five year period
with the first payment due for the fiscal year beginning July first, two
thousand eighteen and deficiencies accumulated in program years six  and
seven  will  be paid back over a five year period with the first payment
due for the fiscal year beginning July first, two thousand twenty. There
could be a cost to the System to the extent that the System  could  have
achieved  a  higher investment return on the deficiency amounts than the
interest that employers will pay.

S. 2607--D                         126                        A. 3007--D

  According to a stochastic analysis of this proposed plan,  the  proba-
bility  of  System  failure,  with failure being defined as the System's
funded ratio falling to 30% or lower, is only slightly higher under this
proposal than it is under the current annually adjusting actuarial-fund-
ing  method,  with  both  probabilities  less  than  1.5%. This analysis
assumes contributions are made as required and after the seven years the
System returns to collecting the  annual  actuarially-required  employer
contribution on time and in full from all employers.
  The  actuarially-required  employer  contribution  rates which will be
applicable to the next seven fiscal years are as yet unknown, except for
the first year. The actuarially-determined  rate  to  be  applicable  to
member compensation paid during the '13-'14 plan year is estimated to be
equal to 16.25%.
  The  source  of  this  estimate is Fiscal Note 2013-15 dated March 19,
2013 prepared by the Actuary of the New York State Teachers'  Retirement
System and is intended for use only during the 2013 Legislative Session.
I,  Richard  A.  Young,  am the Actuary for the New York State Teachers'
Retirement System. I am a member of the American  Academy  of  Actuaries
and  I meet the Qualification Standards of the American Academy of Actu-
aries to render the actuarial opinion contained herein.

                                 PART CC

  Section 1. State agencies including but not limited to the  department
of  health,  the office of children and family services and the division
of criminal justice services are authorized to enter into contracts  for
services  and expenses of pay for success initiatives to improve program
outcomes in the program areas of health care, early  childhood  develop-
ment,  child welfare and public safety. Such services and expenses shall
include contract payments to intermediary organizations responsible  for
raising  funds  to  support  project  costs and managing the delivery of
services by direct service providers, contract payments for the  verifi-
cation  and  validation of program outcomes achieved, and payments based
on the achievement and validation of  specific  performance  targets  as
agreed upon in contracts and other agreements that are a part of pay for
success  initiatives,  subject  to appropriation. Intermediary organiza-
tions shall be  selected  through  a  competitive  process  pursuant  to
sections  112  and 163 of the state finance law and awarded according to
best value. Direct service providers shall not  include  any  for-profit
corporation or other for-profit entity or organization.
  S  2.  No  pay for success initiatives shall be undertaken pursuant to
this act unless the director  of  budget  determines  that  there  is  a
reasonable  expectation  that  the initiative and related administration
costs will generate savings to the state and or local governments net of
any payments pursuant to any  appropriation  authorizing  funding  under
this  act.  Funding  provided  for pay for success initiatives shall not
supplant any other funding for services in such program areas.
  S 3. Any state agency authorized under section  one  of  this  act  to
undertake a pay for success initiative pursuant to this act shall submit
a  report  on  pay for success initiative activities and outcomes to the
temporary president of the senate, the  speaker  of  the  assembly,  the
minority  leader  of the senate, the minority leader of the assembly and
the governor by August 1, 2017.  Such report shall include, but  not  be
limited  to,  a  description  of the program, the names of participating
organizations, the types of services provided,  characteristics  of  the

S. 2607--D                         127                        A. 3007--D

population  served,  performance  targets,  outcomes  and an analysis of
savings achieved in particular program areas.
  S  4.  This act shall take effect April 1, 2013, provided however that
no new program or contract may be established after March 31, 2018.

                                 PART DD

  Section 1. The private housing finance law is amended by adding a  new
article 27 to read as follows:
                              ARTICLE XXVII
            RURAL AND URBAN COMMUNITY INVESTMENT FUND PROGRAM
SECTION 1230. STATEMENT OF LEGISLATIVE FINDINGS AND PURPOSE.
        1231. DEFINITIONS.
        1232. RURAL AND URBAN COMMUNITY INVESTMENT FUND.
  S 1230. STATEMENT OF LEGISLATIVE FINDINGS AND PURPOSE. THE LEGISLATURE
FINDS AND DECLARES THAT THERE EXISTS IN NEW YORK STATE A SERIOUS NEED TO
ASSIST COMMUNITIES WITH THE CREATION AND IMPROVEMENT OF AFFORDABLE HOUS-
ING,  AND  THE  COMMERCIAL,  RETAIL  AND COMMUNITY FACILITIES RELATED TO
MIXED  USE  AFFORDABLE  RESIDENTIAL   DEVELOPMENTS.      LOCALLY   BASED
NOT-FOR-PROFIT  ORGANIZATIONS  PLAY A SIGNIFICANT ROLE IN ADDRESSING THE
UNIQUE CHARACTERISTICS OF RURAL AND URBAN  COMMUNITIES.    PARTNERSHIPS,
ALLIANCES  AND  COLLABORATIONS  WITH  CORPORATE  ENTITIES, TO THE EXTENT
PRACTICABLE, WILL FOSTER CROSS-SECTOR COLLABORATION IN ORDER TO BUILD  A
DIVERSE  COMMUNITY  SUPPORT  SYSTEM. THE LEGISLATURE FINDS THAT, IN BOTH
RURAL AND URBAN AREAS OF THE STATE, A PROGRAM SHOULD BE  ESTABLISHED  TO
FUND  THE  CREATION, PRESERVATION AND/OR IMPROVEMENT OF AFFORDABLE HOUS-
ING; OR THE CREATION, PRESERVATION OR  IMPROVEMENT  OF  THE  COMMERCIAL,
RETAIL  OR  COMMUNITY FACILITIES COMPONENT OF MIXED USE AFFORDABLE RESI-
DENTIAL DEVELOPMENTS.
  S 1231. DEFINITIONS. 1. "CORPORATION" SHALL  MEAN  THE  HOUSING  TRUST
FUND CORPORATION ESTABLISHED IN SECTION FORTY-FIVE-A OF THIS CHAPTER.
  2.  "RURAL  AND  URBAN  COMMUNITY  INVESTMENT FUND PROGRAM" SHALL MEAN
ACTIVITIES BY AN ELIGIBLE APPLICANT FOR A SPECIFIC  WORK  OR  SERIES  OF
WORKS  FOR THE CREATION, PRESERVATION OR IMPROVEMENT OF AFFORDABLE HOUS-
ING, OR THE CREATION, PRESERVATION OR  IMPROVEMENT  OF  THE  COMMERCIAL,
RETAIL  OR  COMMUNITY FACILITIES COMPONENT OF MIXED USE AFFORDABLE RESI-
DENTIAL DEVELOPMENTS, IN RURAL AND URBAN AREAS OF THE STATE.
   3. "RURAL AREA OF THE STATE" SHALL MEAN CITIES,  TOWNS  AND  VILLAGES
HAVING  A  POPULATION OF LESS THAN TWENTY-FIVE THOUSAND AS DETERMINED BY
THE LAST FEDERAL DECENNIAL CENSUS.
  4. "URBAN AREA OF THE STATE" SHALL MEAN ANY UNIT OF  LOCAL  GOVERNMENT
WITHIN  THE STATE WITH A POPULATION OF MORE THAN OR EQUAL TO TWENTY-FIVE
THOUSAND PERSONS AS DETERMINED BY THE LAST FEDERAL DECENNIAL CENSUS.
  5. "ELIGIBLE APPLICANT" SHALL INCLUDE A NOT-FOR-PROFIT CORPORATION  OR
CHARITABLE  ORGANIZATION,  OR A WHOLLY-OWNED SUBSIDIARY OF SUCH A CORPO-
RATION OR ORGANIZATION, OR A PRIVATE  FOR-PROFIT  DEVELOPER  SUCH  AS  A
PERSON, CORPORATION, PARTNERSHIP OR LIMITED LIABILITY COMPANY.
  6.  "AFFORDABLE  RESIDENTIAL  DEVELOPMENT"  SHALL  INCLUDE RESIDENTIAL
UNITS THAT ARE RENT RESTRICTED AND  OCCUPIED  BY  PERSONS  AND  FAMILIES
WHOSE  INCOME  DOES  NOT EXCEED NINETY PERCENT OF AREA MEDIAN INCOME FOR
THE COUNTY IN WHICH A PROJECT IS LOCATED AS  CALCULATED  BY  THE  UNITED
STATES DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT.
  S  1232.  RURAL AND URBAN COMMUNITY INVESTMENT FUND. 1. WITHIN AMOUNTS
APPROPRIATED OR OTHERWISE AVAILABLE THEREFOR,  THE  HOUSING  TRUST  FUND
CORPORATION  SHALL  DEVELOP  AND  ADMINISTER A RURAL AND URBAN COMMUNITY
INVESTMENT FUND PROGRAM WHICH SHALL PROVIDE ASSISTANCE IN  THE  FORM  OF

S. 2607--D                         128                        A. 3007--D

PAYMENTS,  GRANTS AND LOANS FOR REASONABLE AND NECESSARY EXPENSES, TO AN
ELIGIBLE APPLICANT FOR THE  CREATION,  PRESERVATION  OR  IMPROVEMENT  OF
AFFORDABLE  HOUSING; OR THE CREATION, PRESERVATION OR IMPROVEMENT OF THE
COMMERCIAL,  RETAIL  OR  COMMUNITY  FACILITIES  COMPONENT  OF  MIXED USE
AFFORDABLE RESIDENTIAL DEVELOPMENTS, IN RURAL AND  URBAN  AREAS  OF  THE
STATE.
  2.  PROGRAM CRITERIA. THE CORPORATION SHALL DEVELOP PROCEDURES, CRITE-
RIA AND REQUIREMENTS RELATED TO THE APPLICATION AND  AWARD  OF  PROJECTS
PURSUANT  TO  THIS  SECTION  WHICH  SHALL INCLUDE:   ELIGIBILITY, MARKET
DEMAND, FEASIBILITY AND  FUNDING  CRITERIA;  THE  FUNDING  DETERMINATION
PROCESS;  SUPERVISION  AND EVALUATION OF CONTRACTING APPLICANTS; REPORT-
ING, BUDGETING AND RECORD-KEEPING REQUIREMENTS; PROVISIONS FOR MODIFICA-
TION AND TERMINATION OF CONTRACTS; AND SUCH OTHER MATTERS NOT INCONSIST-
ENT WITH THE PURPOSES AND PROVISIONS OF THIS ARTICLE AS THE  CORPORATION
SHALL DEEM NECESSARY OR APPROPRIATE.
  3.  FUND ALLOCATION. SIXTY PERCENT OF THE TOTAL FUNDS AWARDED PURSUANT
TO THIS ARTICLE IN ANY  FISCAL  YEAR  SHALL  BE  ALLOCATED  TO  PROJECTS
LOCATED  IN  URBAN  AREAS OF THE STATE. FORTY PERCENT OF THE TOTAL FUNDS
AWARDED PURSUANT TO THIS ARTICLE IN ANY FISCAL YEAR SHALL  BE  ALLOCATED
TO PROJECTS LOCATED IN RURAL AREAS OF THE STATE.
  4.  FUNDING  CRITERIA. A ONE-THIRD MATCH REQUIREMENT SHALL BE REQUIRED
OF ANY ELIGIBLE APPLICANT, WHICH MAY INCLUDE DONATED PROPERTY, MATERIALS
OR LABOR AND OTHER RESOURCES, AND  MAY  BE  REDUCED  OR  ELIMINATED  FOR
PROJECTS LOCATED WITHIN A DECLARED DISASTER AREA.
  5.  FUNDING  AND ANNUAL REPORT. THE CORPORATION IN ITS SOLE DISCRETION
SHALL AUTHORIZE ALL FUNDING DECISIONS AND MAKE ALL AWARD  ANNOUNCEMENTS.
THE  CORPORATION  SHALL, ON OR BEFORE DECEMBER THIRTY-FIRST IN EACH YEAR
SUBMIT A REPORT TO THE LEGISLATURE ON THE IMPLEMENTATION OF  THIS  ARTI-
CLE.  SUCH  REPORT  SHALL INCLUDE, BUT NOT BE LIMITED TO, FOR EACH AWARD
MADE TO A GRANTEE UNDER THIS  ARTICLE:  A  DESCRIPTION  OF  SUCH  AWARD;
CONTRACT  AMOUNT  AND CUMULATIVE TOTAL; THE SPECIFIC ACTIVITIES IN RURAL
AND URBAN AREAS PERFORMED BY SUCH GRANTEE; THE AMOUNTS OF  MATCH  MONIES
RECEIVED  BY  THE GRANTEE FROM SOURCES OTHER THAN PAYMENTS MADE PURSUANT
TO THIS ARTICLE; AND SUCH OTHER INFORMATION  AS  THE  CORPORATION  DEEMS
PERTINENT.
  S 2. This act shall take effect immediately.

                                 PART EE

  Section  1.  Paragraph b of subdivision 2 of section 54-l of the state
finance law, as added by section 1 of part J of chapter 57 of  the  laws
of 2011, is amended to read as follows:
  b.  Within  the amounts appropriated therefor, eligible municipalities
shall receive an amount equal to [forty-five] FIFTY-FIVE percent of  the
state  aid  payment  received  in the state fiscal year commencing April
first, two thousand eight from  an  appropriation  for  aid  to  munici-
palities  with  video lottery gaming facilities[, rounded up to the next
thousand dollars].
  S 2. This act shall take effect immediately.

                                 PART FF

  Section 1. The opening paragraph of subdivision a of section 265.20 of
the penal law, as amended by chapter 496 of the laws of 1991, is amended
to read as follows:

S. 2607--D                         129                        A. 3007--D

  [Sections] PARAGRAPH (H) OF SUBDIVISION TWENTY-TWO OF  SECTION  265.00
AND  SECTIONS  265.01,  265.01-A,  SUBDIVISION  ONE OF SECTION 265.01-B,
265.02, 265.03, 265.04, 265.05, 265.10, 265.11, 265.12, 265.13,  265.15,
265.36, 265.37 and 270.05 shall not apply to:
  S  2.  Section  265.37  of the penal law, as added by chapter 1 of the
laws of 2013, is amended to read as follows:
S 265.37 Unlawful possession of certain ammunition feeding devices.
  It shall be unlawful for a person to knowingly possess  an  ammunition
feeding device [that such person lawfully possessed before the effective
date  of  the  chapter  of the laws of two thousand thirteen which added
this section, that has a capacity of, or that can be readily restored or
converted to accept more than seven but less than ten rounds of  ammuni-
tion,] where such device contains more than seven rounds of ammunition.
  If  such  device  containing  more  than seven rounds of ammunition is
possessed within the home of the possessor, the person so possessing the
device shall, for a first offense, be guilty of a violation and  subject
to  a  fine  of  two hundred dollars, and for [a second] EACH SUBSEQUENT
offense, be guilty of a class B misdemeanor and subject to a fine of two
hundred dollars and a term of up to three months imprisonment.
  If such device containing more than  seven  rounds  of  ammunition  is
possessed  in  any  location  other  than the home of the possessor, the
person so possessing the device shall, for a first offense, be guilty of
a class B misdemeanor and subject to a fine of two hundred dollars and a
term of up to six months imprisonment, and for [a  second]  EACH  SUBSE-
QUENT offense, be guilty of a class A misdemeanor.
  S  3.  Section  265.45  of the penal law, as added by chapter 1 of the
laws of 2013, is amended to read as follows:
S 265.45 Safe storage of rifles, shotguns, and firearms.
  No person who owns or is custodian of a rifle, shotgun or firearm  who
resides  with  an individual who such person knows or has reason to know
is prohibited from possessing a firearm pursuant to 18 U.S.C.  S  922(g)
(1),  (4), (8) or (9) shall store or otherwise leave such rifle, shotgun
or firearm out of his or her immediate  possession  or  control  without
having first securely locked such rifle, shotgun or firearm in an appro-
priate  safe  storage depository or rendered it incapable of being fired
by use of a gun locking device appropriate to that weapon. For  purposes
of  this  section  "safe  storage depository" shall mean a safe or other
secure container which, when locked, is incapable of being opened  with-
out  the key, combination or other unlocking mechanism and is capable of
preventing  an  unauthorized  person  from  obtaining  access   to   and
possession of the weapon contained therein. With respect to a person who
is  prohibited from possessing a firearm pursuant to 18 USC S 922(g)(9),
for purposes of this section, this section applies only if  such  person
has  been  convicted  of  a crime included in subdivision one of section
370.15 of the criminal procedure law and such gun  is  possessed  within
five  years  from  the  later of the date of conviction or completion of
sentence.  NOTHING IN THIS SECTION SHALL BE DEEMED TO AFFECT, IMPAIR  OR
SUPERSEDE  ANY  SPECIAL  OR  LOCAL  ACT  RELATING TO THE SAFE STORAGE OF
RIFLES, SHOTGUNS OR FIREARMS WHICH IMPOSE ADDITIONAL REQUIREMENTS ON THE
OWNER OR CUSTODIAN OF SUCH WEAPONS.
  A violation of this section shall constitute a class A misdemeanor.
  S 4. Subdivision b of section 58 of chapter 1  of  the  laws  of  2013
amending  the  criminal procedure law and other laws relating to suspen-
sion and revocation of firearms licenses, is amended to read as follows:
  b. The amendments to subdivision 23 of section 265.00 of the penal law
made by section thirty-eight of this act shall take effect on the  nine-

S. 2607--D                         130                        A. 3007--D

tieth day after this act shall have become a law, except that the amend-
ments  [made  to] DESIGNATING paragraph (a) of subdivision 23 shall take
effect immediately; AND PROVIDED FURTHER THAT THE EFFECTIVE DATE OF  THE
AMENDMENTS  ADDING  PARAGRAPHS  (B) AND (C) TO SUCH SUBDIVISION SHALL BE
SUSPENDED AND NOT EFFECTIVE;
  S 5. This act shall take effect immediately; provided,  however,  that
sections  one  and four of this act shall be deemed to have been in full
force and effect on the same date as chapter 1 of the laws of 2013  took
effect.

                                 PART GG

  Section  1.  Subdivision  18 of section 2 of the workers' compensation
law is REPEALED.
  S 2. Subdivision 9 of section 13-l of the workers'  compensation  law,
as  added  by  chapter  940  of  the laws of 1973, is amended to read as
follows:
  9. The [chairman] CHAIR shall appoint for and with jurisdiction in the
entire state of  New  York  a  single  chiropractic  practice  committee
composed  of [one duly licensed physician and two] THREE duly registered
and licensed chiropractors of the state of New York. Each member of said
committee shall receive compensation either on an annual basis or  on  a
per diem basis to be fixed by the [chairman] CHAIR within amounts appro-
priated  therefor.  One of said chiropractic members shall be designated
by the [chairman] CHAIR as a [chairman] CHAIR of said chiropractic prac-
tice committee. No member of said committee  shall  render  chiropractic
treatment under this section nor be employed or accept or participate in
any fee from any insurance company authorized to write [workmen's] WORK-
ERS'  compensation  insurance  in  this  state or from any self-insurer,
whether such employment or fee relates to a [workmen's] WORKERS' compen-
sation claim or otherwise. The [attorney-general] ATTORNEY GENERAL, upon
request, shall advise and assist such committee.
  S 3. Subdivision 10 of section 13-m of the workers' compensation  law,
as  added  by  chapter  589  of  the laws of 1989, is amended to read as
follows:
  10. The [chairman] CHAIR shall appoint for and  with  jurisdiction  in
the  entire  state  of  New  York a single psychology practice committee
composed of [two] THREE duly registered and licensed  psychologists,  at
least  one  of  whom  shall be a member in good standing of the New York
state psychological association recommended by  the  president  of  such
organization[,  and  one  duly  licensed  physician  of the state of New
York]. Each member of said committee shall receive  compensation  either
on  an annual basis or on a per diem basis to be fixed by the [chairman]
CHAIR within amounts appropriated therefor. One  of  said  psychologists
shall  be  designated  by  the [chairman] CHAIR as a [chairman] CHAIR of
said psychology practice committee. No member of  said  committee  shall
render  psychological treatment under this section nor be an employer or
accept or participate in any fee from any insurance  company  authorized
to write workers' compensation insurance in this state or from any self-
insurer,  whether  such  employment or fee relates to a workers' compen-
sation claim or otherwise. The attorney  general,  upon  request,  shall
advise and assist such committee.
  S  4.  Subdivisions 2, 3 and 4 of section 13-g of the workers' compen-
sation law, subdivision 2 as amended by chapter 649 of the laws of 1985,
subdivision 3 as amended by chapter 674 of the laws of 1994, and  subdi-

S. 2607--D                         131                        A. 3007--D

vision  4  as amended by chapter 639 of the laws of 1996, are amended to
read as follows:
  (2)  (A)  IF  THE  PARTIES  FAIL  TO AGREE TO THE VALUE OF MEDICAL AID
RENDERED UNDER THIS CHAPTER AND THE AMOUNT OF THE DISPUTED BILL  IS  ONE
THOUSAND  DOLLARS OR LESS, OR IF THE AMOUNT OF THE DISPUTED MEDICAL BILL
EXCEEDS ONE THOUSAND DOLLARS AND THE HEALTH CARE PROVIDER  EXPRESSLY  SO
REQUESTS,  SUCH  VALUE  SHALL BE DECIDED BY A SINGLE ARBITRATOR PROCESS,
PURSUANT TO RULES PROMULGATED BY THE CHAIR. THE CHAIR  SHALL  APPOINT  A
PHYSICIAN WHO IS A MEMBER IN GOOD STANDING OF THE MEDICAL SOCIETY OF THE
STATE  OF NEW YORK TO DETERMINE THE VALUE OF SUCH DISPUTED MEDICAL BILL.
WHERE THE PHYSICIAN WHOSE CHARGES ARE BEING ARBITRATED IS  A  MEMBER  IN
GOOD  STANDING  OF  THE  NEW YORK OSTEOPATHIC SOCIETY, THE VALUE OF SUCH
DISPUTED BILL SHALL BE DETERMINED BY A MEMBER IN GOOD  STANDING  OF  THE
NEW YORK OSTEOPATHIC SOCIETY APPOINTED BY THE CHAIR. WHERE THE PHYSICIAN
WHOSE  CHARGES  ARE BEING ARBITRATED IS A MEMBER IN GOOD STANDING OF THE
NEW YORK HOMEOPATHIC SOCIETY, THE VALUE OF SUCH DISPUTED BILL  SHALL  BE
DETERMINED  BY  A  MEMBER  IN  GOOD STANDING OF THE NEW YORK HOMEOPATHIC
SOCIETY APPOINTED BY THE CHAIR. WHERE  THE  VALUE  OF  PHYSICAL  THERAPY
SERVICES  OR OCCUPATIONAL THERAPY SERVICES IS AT ISSUE, SUCH VALUE SHALL
BE DETERMINED BY A MEMBER IN GOOD STANDING OF A RECOGNIZED  PROFESSIONAL
ASSOCIATION  REPRESENTING  ITS RESPECTIVE PROFESSION IN THE STATE OF NEW
YORK APPOINTED BY THE CHAIR.  DECISIONS RENDERED UNDER THE SINGLE  ARBI-
TRATOR  PROCESS  SHALL BE CONCLUSIVE UPON THE PARTIES AS TO THE VALUE OF
THE SERVICES IN DISPUTE.
  (B) If the parties fail to agree  as  to  the  value  of  medical  aid
rendered  under this chapter AND THE AMOUNT OF THE DISPUTED BILL EXCEEDS
ONE THOUSAND DOLLARS, such value shall  be  decided  by  an  arbitration
committee   [consisting]  UNLESS  THE  HEALTH  CARE  PROVIDER  EXPRESSLY
REQUESTS A SINGLE ARBITRATOR PROCESS IN ACCORDANCE WITH PARAGRAPH (A) OF
THIS SUBDIVISION. THE ARBITRATION COMMITTEE SHALL CONSIST of one  physi-
cian designated by the president of the medical society of the county in
which  the medical services were rendered, one physician who is a member
of the medical society of the  state  of  New  York,  appointed  by  the
employer  or  carrier,  and  one physician, also a member of the medical
society of the state of New York, appointed by the [chairman]  CHAIR  of
the  workers'  compensation  board.  [The  majority decision of any such
committee shall be conclusive upon the parties as to the  value  of  the
services  rendered.] If the physician whose charges are being arbitrated
is a member in good standing of the New York osteopathic society or  the
New  York homeopathic society, the members of such arbitration committee
shall be physicians of such organization, one to  be  appointed  by  the
president  of  that organization, one by the employer or carrier and the
third by the [chairman] CHAIR of the workers' compensation board.  Where
the value of physical therapy services is at issue AND THE AMOUNT OF THE
DISPUTED  BILL  EXCEEDS  ONE THOUSAND DOLLARS, the arbitration committee
shall consist of a member in good standing of a recognized  professional
association  representing  physical  therapists in the state of New York
appointed by the president of such organization, a physician  designated
by  the employer or carrier and a physician designated by the [chairman]
CHAIR of the workers' compensation  board  provided  however,  that  the
[chairman]  CHAIR  finds  that there are a sufficient number of physical
therapy arbitrations in a geographical area comprised  of  one  or  more
counties  to  warrant a committee so comprised. In all other cases where
the value of physical therapy services is at issue AND THE AMOUNT OF THE
DISPUTED BILL EXCEEDS ONE THOUSAND DOLLARS,  the  arbitration  committee
shall  be similarly selected and identical in composition, provided that

S. 2607--D                         132                        A. 3007--D

the physical therapist member  shall  serve  without  remuneration,  and
provided  further  that  in the event a physical therapist is not avail-
able, the committee shall be comprised of three physicians designated in
the same manner as in cases where the value of medical aid is at issue.
  (C)  Where  the value of occupational therapy services is at issue the
arbitration committee shall consist of a member in good  standing  of  a
recognized professional association representing occupational therapists
in  the  state  of New York appointed by the president of such organiza-
tion; a physician designated by the employer or carrier and a  physician
designated  by  the  [chairman] CHAIR of the workers' compensation board
provided, however, that the [chairman] CHAIR  finds  that  there  are  a
sufficient number of occupational therapy arbitrations in a geographical
area  comprised  of  one  or  more  counties  to  warrant a committee so
comprised. In all other cases where the value  of  occupational  therapy
services  is  at  issue  AND THE AMOUNT OF THE DISPUTED BILL EXCEEDS ONE
THOUSAND DOLLARS, the arbitration committee shall be similarly  selected
and  identical  in composition, provided that the occupational therapist
member shall serve without remuneration, and provided  further  that  in
the  event  an  occupational  therapist  is not available, the committee
shall be comprised of three physicians designated in the same manner  as
in cases where the value of medical aid is at issue.  THE MAJORITY DECI-
SION  OF  ANY  SUCH  ARBITRATION  COMMITTEE SHALL BE CONCLUSIVE UPON THE
PARTIES AS TO THE VALUE OF THE SERVICES IN DISPUTE.
  (3) (A) IF AN EMPLOYER SHALL HAVE NOTIFIED THE HOSPITAL IN WRITING, AS
PROVIDED IN SUBDIVISION ONE OF THIS SECTION, WHY THE BILL HAS  NOT  BEEN
PAID,  IN  PART  OR  IN FULL, AND THE AMOUNT OF THE DISPUTED BILL IS ONE
THOUSAND DOLLARS OR LESS, OR WHERE THE AMOUNT OF  THE  DISPUTED  MEDICAL
BILL  EXCEEDS  ONE  THOUSAND  DOLLARS  AND  THE  HOSPITAL  EXPRESSLY  SO
REQUESTS, SUCH VALUE SHALL BE DECIDED BY A  SINGLE  ARBITRATOR  PROCESS,
PURSUANT  TO  RULES  PROMULGATED BY THE CHAIR. THE CHAIR SHALL APPOINT A
PHYSICIAN IN GOOD STANDING LICENSED TO PRACTICE IN  NEW  YORK  STATE  TO
DETERMINE THE VALUE OF SUCH DISPUTED BILL.  DECISIONS RENDERED UNDER THE
ADMINISTRATIVE RESOLUTION PROCEDURE SHALL BE CONCLUSIVE UPON THE PARTIES
AS TO THE VALUE OF THE SERVICES IN DISPUTE.
  (B)  If  an  employer  shall have notified the hospital in writing, as
provided in subdivision one of this section, why the bill has  not  been
paid,  in  part  or in full, AND THE AMOUNT OF THE DISPUTED BILL EXCEEDS
ONE THOUSAND DOLLARS, the value of such bill shall be determined  by  an
arbitration  committee  appointed  by  the chair for that purpose, which
committee shall consider all of the charges of the hospital, UNLESS  THE
HOSPITAL  EXPRESSLY  REQUESTS  A  SINGLE  ARBITRATOR PROCESS PURSUANT TO
PARAGRAPH (A) OF THIS SUBDIVISION.  The committee shall consist of three
physicians. One member of the committee may be  nominated  [to]  BY  the
chair  [by] UPON RECOMMENDATION OF the president of the hospital associ-
ation of New York state and one member may be nominated by the  employer
or  insurance carrier. The majority decision of any such committee shall
be conclusive upon the parties as to the value of the services rendered.
The chair may make reasonable rules and regulations consistent with  the
provisions of this section.
  (4)  A provider initiating an arbitration, INCLUDING A SINGLE ARBITRA-
TOR PROCESS, pursuant to this section shall pay a fee as  determined  by
regulations  promulgated  by  the  chair,  to be used to cover the costs
related to the conduct of such arbitration.  Upon resolution in favor of
such party, the amount due, based upon the bill  in  dispute,  shall  be
increased  by the amount of the fee paid by such party.  Where a partial
award is made, the amount due, based upon the bill in dispute, shall  be

S. 2607--D                         133                        A. 3007--D

increased  by a part of such fee.  Each member of an arbitration commit-
tee for medical bills, and each member of an arbitration  committee  for
hospital  bills shall be entitled to receive and shall be paid a fee for
each  day's  attendance at an arbitration session in any one count in an
amount fixed by the chair of the workers' compensation board.
  S 5. Subdivision 6 of section 13-k of the workers'  compensation  law,
as  amended  by  chapter  639 of the laws of 1996, is amended to read as
follows:
  6. (A) The provisions of subdivisions one and three of  section  thir-
teen-g  of  this  article  with  respect to the conditions under which a
hospital, physician or self-employed physical or occupational  therapist
may  request  payment  or arbitration of a bill, or under which an award
may be made for payment of such  bill,  shall  be  applicable  to  bills
rendered by a podiatrist for services rendered to an injured employee.
  (B)  IF  THE  PARTIES  FAIL  TO AGREE AS TO THE VALUE OF PODIATRY CARE
RENDERED UNDER THIS CHAPTER  TO  A  CLAIMANT,  AND  THE  AMOUNT  OF  THE
DISPUTED  BILL  IS  ONE THOUSAND DOLLARS OR LESS, OR WHERE THE AMOUNT OF
THE DISPUTED BILL  EXCEEDS  ONE  THOUSAND  DOLLARS  AND  THE  PODIATRIST
EXPRESSLY  SO REQUESTS, SUCH VALUE SHALL BE DECIDED BY A SINGLE ARBITRA-
TOR PROCESS, PURSUANT TO RULES PROMULGATED BY THE CHAIR. THE CHAIR SHALL
APPOINT A MEMBER IN GOOD STANDING OF A RECOGNIZED  PROFESSIONAL  ASSOCI-
ATION REPRESENTING PODIATRISTS IN THE STATE OF NEW YORK TO DETERMINE THE
VALUE  OF  SUCH DISPUTED BILL. DECISIONS RENDERED UNDER THE SINGLE ARBI-
TRATOR PROCESS SHALL BE CONCLUSIVE UPON THE PARTIES AS TO THE  VALUE  OF
THE SERVICES IN DISPUTE.
  (C)  If  the  parties  fail  to agree as to the value of podiatry care
rendered under this chapter to a claimant AND THE AMOUNT OF THE DISPUTED
BILL EXCEEDS ONE THOUSAND DOLLARS AND THE PODIATRIST DOES NOT  EXPRESSLY
REQUEST  A SINGLE ARBITRATOR PROCESS IN ACCORDANCE WITH PARAGRAPH (B) OF
THIS SUBDIVISION, such value shall be decided by an arbitration  commit-
tee consisting of three duly registered and licensed podiatrists who are
members  of  a  recognized  professional association representing podia-
trists in the state of New York, one to be appointed by the president of
such an association, one to be appointed by the employer or carrier  and
one  to be appointed by the chair of the workers' compensation board and
the majority decision of such committee shall  be  conclusive  upon  the
parties as to the value of the services rendered.
  (D)  The  board  or  the  chair may make an award not in excess of the
established fee schedules for  any  such  bill  or  part  thereof  which
remains  unpaid  in the same manner as an award for bills rendered under
subdivisions one and three of section thirteen-g of  this  article,  and
such  award  may  be  collected  in  like  manner as an [aware] AWARD of
compensation.  Where a podiatrist's bill has been determined to  be  due
and  owing  in  accordance with the provisions of this section the board
shall include in the amount of the award interest of not more  than  one
and  one-half  percent  (1  1/2%) per month payable to the podiatrist in
accordance with the rules and regulations promulgated by the board.  The
chair  shall  assess  the  sum of fifty dollars against the employer for
each such award made by the board, which sum  shall  be  paid  into  the
state treasury.
  (E)  A  provider  initiating  an arbitration, INCLUDING A SINGLE ARBI-
TRATION PROCESS, pursuant to this section shall pay a fee, as determined
by regulations promulgated by the chair, to be used to cover  the  costs
related  to the conduct of such arbitration. Upon resolution in favor of
such party, the amount due, based upon the bill  in  dispute,  shall  be
increased  by  the amount of the fee paid by such party. Where a partial

S. 2607--D                         134                        A. 3007--D

award is made, the amount due, based upon the bill in dispute  shall  be
increased  by a part of such fee. Each member of the arbitration commit-
tee shall be entitled to receive and shall be paid a fee for each  day's
attendance  at an arbitration session in an amount fixed by the chair of
the workers' compensation board.
  S 6. Subdivision 6 of section 13-l of the workers'  compensation  law,
as  amended  by  chapter  639 of the laws of 1996, is amended to read as
follows:
  6. (A) The provisions of subdivisions one and three of  section  thir-
teen-g  of  this  article  with  respect to the conditions under which a
hospital, physician or self-employed physical or occupational  therapist
may  request  payment  or arbitration of a bill, or under which an award
may be made for payment of such  bill,  shall  be  applicable  to  bills
rendered by a chiropractor for services rendered to an injured employee.
  (B)  IF THE PARTIES FAIL TO AGREE AS TO THE CHIROPRACTIC CARE RENDERED
UNDER THIS CHAPTER TO A CLAIMANT, AND THE AMOUNT OF THE DISPUTED BILL IS
ONE THOUSAND DOLLARS OR LESS, OR WHERE THE AMOUNT OF THE  DISPUTED  BILL
EXCEEDS ONE THOUSAND DOLLARS AND THE CHIROPRACTOR EXPRESSLY SO REQUESTS,
SUCH  VALUE SHALL BE DECIDED BY A SINGLE ARBITRATOR PROCESS, PURSUANT TO
RULES PROMULGATED BY THE CHAIR. THE CHAIR SHALL APPOINT A MEMBER IN GOOD
STANDING OF A RECOGNIZED PROFESSIONAL  ASSOCIATION  REPRESENTING  CHIRO-
PRACTORS  IN  THE  STATE  OF  NEW  YORK  TO  DETERMINE THE VALUE OF SUCH
DISPUTED BILL. DECISIONS RENDERED UNDER THE  SINGLE  ARBITRATOR  PROCESS
SHALL  BE CONCLUSIVE UPON THE PARTIES AS TO THE VALUE OF THE SERVICES IN
DISPUTE.
  (C) If the parties fail to agree as to the chiropractic care  rendered
under  this  chapter  to a claimant, AND THE AMOUNT OF THE DISPUTED BILL
EXCEEDS ONE THOUSAND DOLLARS AND THE  CHIROPRACTOR  DOES  NOT  EXPRESSLY
REQUEST  A SINGLE ARBITRATOR PROCESS IN ACCORDANCE WITH PARAGRAPH (B) OF
THIS SUBDIVISION, such value shall be decided by the chiropractic  prac-
tice  committee  and  the  majority  decision of such committee shall be
conclusive upon the parties as to the value of the services rendered.
  (D) The board or the chair may make an award  not  in  excess  of  the
established  fee  schedules  for  any  such  bill  or part thereof which
remains unpaid in the same manner as an award for bills  rendered  under
subdivisions  one  and  three of section thirteen-g of this article, and
such award may be collected in like manner as an award of  compensation.
Where  a  chiropractor's bill has been determined to be due and owing in
accordance with the provisions of this section the board  shall  include
in  the  amount  of the award interest of not more than one and one-half
percent (1 1/2%) per month payable to  the  chiropractor  in  accordance
with the rules and regulations promulgated by the board. The chair shall
assess the sum of fifty dollars against the employer for each such award
made by the board, which sum shall be paid into the state treasury.
  (E)  A provider initiating an arbitration, INCLUDING A SINGLE ARBITRA-
TOR PROCESS, pursuant to this section shall pay a fee, as determined  by
regulations  promulgated  by  the  chair,  to be used to cover the costs
related to the conduct of such arbitration. Upon resolution in favor  of
such  party,  the  amount  due, based upon the bill in dispute, shall be
increased by the amount of the fee paid by such party. Where  a  partial
award  is made, the amount due, based upon the bill in dispute, shall be
increased by a part of such fee.
  S 7. Subdivision 7 of section 13-m of the workers'  compensation  law,
as  amended by chapter 674 of the laws of 1994, paragraph (c) as amended
by chapter 639 of the laws of 1996, is amended to read as follows:

S. 2607--D                         135                        A. 3007--D

  7. (a) The provisions of subdivisions one and three of  section  thir-
teen-g  of  this  article  with  respect to the conditions under which a
hospital, physician or self-employed physical or occupational  therapist
may  request  payment  or arbitration of a bill, or under which an award
may  be  made  for  payment  of  such bill, shall be applicable to bills
rendered by a psychologist for services rendered to an injured employee.
  (B) IF THE PARTIES FAIL TO AGREE AS TO THE PSYCHOLOGICAL CARE RENDERED
UNDER THIS CHAPTER TO A CLAIMANT, AND THE AMOUNT OF THE DISPUTED BILL IS
ONE THOUSAND DOLLARS OR LESS, OR WHERE THE AMOUNT OF THE  DISPUTED  BILL
EXCEEDS ONE THOUSAND DOLLARS AND THE PSYCHOLOGIST EXPRESSLY SO REQUESTS,
SUCH  VALUE SHALL BE DECIDED BY A SINGLE ARBITRATOR PROCESS, PURSUANT TO
RULES PROMULGATED BY THE CHAIR. THE CHAIR SHALL APPOINT A MEMBER IN GOOD
STANDING OF A RECOGNIZED PROFESSIONAL ASSOCIATION REPRESENTING  PSYCHOL-
OGISTS  IN THE STATE OF NEW YORK TO DETERMINE THE VALUE OF SUCH DISPUTED
BILL. DECISIONS RENDERED UNDER THE SINGLE ARBITRATOR  PROCESS  SHALL  BE
CONCLUSIVE UPON THE PARTIES AS TO THE VALUE OF THE SERVICES IN DISPUTE.
  (C) If the parties fail to agree as to the psychological care rendered
under  this  chapter  to a claimant, AND THE AMOUNT OF THE DISPUTED BILL
EXCEEDS ONE THOUSAND DOLLARS AND THE  PSYCHOLOGIST  DOES  NOT  EXPRESSLY
REQUEST  A SINGLE ARBITRATOR PROCESS IN ACCORDANCE WITH PARAGRAPH (B) OF
THIS SUBDIVISION, such value shall be decided by the psychology practice
committee and the majority decision of such committee shall  be  conclu-
sive upon the parties as to the value of the services rendered.
  (D)  The  board  or  the  chair may make an award not in excess of the
established fee schedules for  any  such  bill  or  part  thereof  which
remains  unpaid  in the same manner as an award for bills rendered under
subdivisions one and three of section thirteen-g of  this  article,  and
such  award may be collected in like manner as an award of compensation.
The chair shall assess the sum of fifty dollars against the employer for
each such award made by the board, which sum  shall  be  paid  into  the
state  treasury.   [(b)] Where a psychologist's bill has been determined
to be due and owing in accordance with the provisions  of  this  section
the  board shall include in the amount of the award interest of not more
than one and one-half percent per month payable to the  psychologist  in
accordance with the rules and regulations promulgated by the board.
  [(c)]  (E)  A  provider  initiating an arbitration, INCLUDING A SINGLE
ARBITRATOR PROCESS, pursuant to this section shall pay a fee, as  deter-
mined  by  regulations promulgated by the chair, to be used to cover the
costs related to the conduct of such  arbitration.  Upon  resolution  in
favor  of  such  party,  the amount due, based upon the bill in dispute,
shall be increased by the amount of the fee paid by such party. Where  a
partial  award  is made, the amount due, based upon the bill in dispute,
shall be increased by a part of such fee.
  S 7-a.  Paragraph (a) of subdivision 6 of section 15 of  the  workers'
compensation  law,  as  amended  by  chapter 689 of the laws of 2007, is
amended to read as follows:
  (a) Compensation for permanent or temporary total disability due to an
accident or disablement resulting  from  an  occupational  disease  that
occurs,  (1)  on or after January first, nineteen hundred seventy-eight,
shall not exceed one hundred twenty-five dollars per week,  that  occurs
(2)  on  or  after July first, nineteen hundred seventy-eight, shall not
exceed one hundred eighty dollars per week, that occurs (3) on or  after
January  first,  nineteen  hundred  seventy-nine,  shall  not exceed two
hundred fifteen dollars per week, that  occurs  (4)  on  or  after  July
first,  nineteen  hundred  eighty-three,  shall  not  exceed two hundred
fifty-five dollars per week, that occurs (5) on  or  after  July  first,

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nineteen  hundred eighty-four, shall not exceed two hundred seventy-five
dollars per week, that occurs (6)  on  or  after  July  first,  nineteen
hundred  eighty-five,  shall  not exceed three hundred dollars per week,
that  occurs  (7) on or after July first, nineteen hundred ninety, shall
not exceed three hundred forty dollars per week;  and  in  the  case  of
temporary  total  disability  shall  not be less than thirty dollars per
week and in the case of permanent total disability  shall  not  be  less
than  twenty dollars per week except that if the employee's wages at the
time of injury are less than thirty or twenty dollars per  week  respec-
tively,  he  or she shall receive his or her full weekly wages.  Compen-
sation for permanent or temporary partial disability due to an  accident
or disablement resulting from an occupational disease that occurs (1) on
or after January first, nineteen hundred seventy-eight, shall not exceed
one  hundred  five  dollars  per  week, that occurs (2) on or after July
first, nineteen hundred eighty-three, shall not exceed one hundred twen-
ty-five dollars per week, that occurs (3) on or after July first,  nine-
teen  hundred  eighty-four,  shall  not  exceed  one hundred thirty-five
dollars per week, that occurs (4)  on  or  after  July  first,  nineteen
hundred  eighty-five,  shall  not  exceed  one hundred fifty dollars per
week, that occurs (5) on or after July first, nineteen  hundred  ninety,
shall  not  exceed two hundred eighty dollars per week; nor be less than
twenty dollars per week; except that if the employee's wages at the time
of injury are less than twenty dollars per week, he or she shall receive
his or her full weekly wages.   In  no  event  shall  compensation  when
combined  with  decreased earnings or earning capacity exceed the amount
of wages which the  employee  was  receiving  at  the  time  the  injury
occurred. Compensation for permanent or temporary partial disability, or
for  permanent or temporary total disability due to an accident or disa-
blement resulting from an occupational disease that  occurs  (1)  on  or
after  July  first, nineteen hundred ninety-one and prior to July first,
nineteen hundred  ninety-two,  shall  not  exceed  three  hundred  fifty
dollars  per  week; (2) on or after July first, nineteen hundred ninety-
two, shall not exceed four hundred dollars per week; nor  be  less  than
forty  dollars  per week except that if the employee's wages at the time
of injury are less than forty  dollars  per  week,  the  employee  shall
receive  his  or her full wages. Compensation for permanent or temporary
partial disability, or for permanent or temporary total  disability  due
to  an  accident  or  disablement resulting from an occupational disease
that occurs (1) on or after July first, two  thousand  seven  shall  not
exceed  five  hundred  dollars per week, (2) on or after July first, two
thousand eight shall not exceed five hundred fifty dollars per week, (3)
on or after July first, two thousand nine shall not exceed  six  hundred
dollars  per week, and (4) on or after July first, two thousand ten, and
on or after July first of each succeeding year, shall  not  exceed  two-
thirds  of  the New York state average weekly wage for the year in which
it is reported. Compensation for permanent or temporary partial disabil-
ity, or for permanent or temporary total disability due to  an  accident
or  disablement resulting from an occupational disease that occurs on or
after July first, two thousand seven shall not be less than one  hundred
dollars  per  week  except  that  if the employee's wages at the time of
injury are less than one hundred dollars per week,  the  employee  shall
receive  his or her full wages.  COMPENSATION FOR PERMANENT OR TEMPORARY
PARTIAL DISABILITY, OR FOR PERMANENT OR TEMPORARY TOTAL  DISABILITY  DUE
TO  AN  ACCIDENT  OR  DISABLEMENT RESULTING FROM AN OCCUPATIONAL DISEASE
THAT OCCURS ON OR AFTER MAY FIRST, TWO THOUSAND THIRTEEN  SHALL  NOT  BE
LESS  THAN ONE HUNDRED FIFTY DOLLARS PER WEEK EXCEPT THAT IF THE EMPLOY-

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EE'S WAGES AT THE TIME OF INJURY ARE LESS THAN ONE HUNDRED FIFTY DOLLARS
PER WEEK, THE EMPLOYEE SHALL RECEIVE HIS OR HER FULL WAGES. In no  event
shall  compensation  when  combined  with  decreased earnings or earning
capacity  exceed  the  amount of wages the employee was receiving at the
time the  injury  occurred.  Compensation  for  permanent  or  temporary
partial  disability,  or for permanent or temporary total disability due
to an accident or disablement resulting from an occupational disease  or
injury  that  occurred as a result of World Trade Center rescue activity
by an employee of a private voluntary hospital, who  passed  a  physical
examination  upon  employment  as  a rescue worker that failed to reveal
evidence of a condition that was the proximate cause of  disablement  or
occupational  disease  or  injury,  shall not exceed three-quarters of a
claimant's wage on September eleventh, two thousand  one.  In  no  event
shall  compensation  when  combined  with  decreased earnings or earning
capacity exceed the amount  of  wages  the  employee  was  receiving  on
September eleventh, two thousand one.
  S  8.  Paragraph  (h)  of  subdivision 8 of section 15 of the workers'
compensation law, as amended by chapter 6 of the laws of 2007,  subpara-
graph  4 as amended by section 1 of part QQ of chapter 56 of the laws of
2009, the opening paragraph and clauses (A) and (B) of subparagraph 4 as
amended by section 1 of part G of chapter 57 of the laws  of  2011,  and
clause (B) of subparagraph 4 as further amended by section 104 of part A
of chapter 62 of the laws of 2011, is amended to read as follows:
  (h)  Special  disability  fund. (1) The fund heretofore maintained and
provided for by  and  pursuant  to  former  subdivision  eight  of  this
section, is hereby continued and shall retain the liabilities heretofore
charged or chargeable thereto under the provisions of such former subdi-
vision eight of this section as it existed immediately prior to the time
this  subdivision,  as  hereby  added, takes effect, and the liabilities
chargeable thereto under the provisions of former subdivision eight-a of
this section as added by chapter seven hundred forty-nine of the laws of
nineteen hundred forty-four and repealed at the same time this  subdivi-
sion,  as  heretofore  added,  takes  effect,  and payments therefrom on
account of such liabilities shall continue to be made as provided  here-
in.  The  said  fund  shall  be known as the special disability fund and
shall be available only for the purposes stated in this subdivision, and
the assets thereof shall not at any time be appropriated or diverted  to
any other use or purpose.
  (2)  (A) No carrier or employer, or the state insurance fund, may file
a claim for reimbursement from the special disability fund, for an inju-
ry or illness with a date of accident or date of disablement on or after
July first, two thousand seven. No carrier or  employer,  or  the  state
insurance  fund,  may  file  a  claim for reimbursement from the special
disability fund after July first,  two  thousand  ten,  and  no  written
submissions  or  evidence  in  support  of such a claim may be submitted
after that date.
  (B) All requests for reimbursement from the  special  disability  fund
with  a  date  of injury or date of disablement prior to July first, two
thousand seven as to which the board has  determined  that  the  special
disability  fund  is  liable must be submitted to the special disability
fund by the later of (i) one year after the expense has  been  paid,  or
(ii) one year from the effective date of this paragraph.
  [(C)  All  claims  for  reimbursement from the special disability fund
must be accompanied by a filing fee of two hundred fifty dollars, to  be
deposited  in  the special disability fund. Upon any final ruling that a

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claim is eligible for reimbursement from the fund, the fund will  return
two hundred dollars of this fee to the claimant.]
  (3)  [The chair of the board shall, as soon as practicable after April
first, nineteen hundred forty-five, assess upon and  collect  from  each
insurance  carrier,  including  the state insurance fund and any county,
city, town, village or other political  subdivision  failing  to  secure
compensation pursuant to subdivision one or two of section fifty of this
chapter, a sum equal to one per centum of the total compensation paid by
such  carrier  in  the year ending March thirty-first next preceding the
date of such assessment.
  (4) As soon as practicable  after  May  first  in  the  year  nineteen
hundred  fifty-eight,  and  annually  thereafter  as soon as practicable
after January first in each succeeding year,] EFFECTIVE THE FIRST DAY OF
JANUARY, TWO THOUSAND FOURTEEN, AND ANNUALLY THEREAFTER,  the  chair  of
the  board  shall [assess upon and] collect from all [self-insurers, the
state insurance fund, and all insurance carriers] AFFECTED EMPLOYERS (A)
a sum equal to one hundred  fifty  per  centum  of  the  total  EXPECTED
disbursements  made from the special disability fund during the [preced-
ing calendar] year (not including any disbursements made on  account  of
anticipated liabilities or waiver agreements funded by bond proceeds and
related  earnings),  less the ESTIMATED amount of the net assets in such
fund EXPECTED as of December thirty-first [of  said  preceding  calendar
year,]  and  (B)  a sum sufficient to cover debt service, and associated
costs (the "debt service assessment") to be  paid  during  the  calendar
year  by  the  dormitory  authority,  as  calculated  in accordance with
subparagraph [five] FOUR of this paragraph. Such  assessments  shall  be
[allocated  to (i) self-insurers and the state insurance fund based upon
the proportion that the total compensation payments made by all self-in-
surers and the state insurance  fund  bore  to  the  total  compensation
payments  made  by  all self-insurers, the state insurance fund, and all
insurance carriers, and (ii) insurance carriers based upon  the  propor-
tion that the total compensation payments made by all insurance carriers
bore  to the total compensation payments by all self-insurers, the state
insurance fund and all insurance carriers during the fiscal  year  which
ended within said preceding calendar year.  Insurance carriers and self-
insurers shall be liable for all such assessments regardless of the date
on  which  they came into existence, or whether they have made any claim
for reimbursement from the special disability fund. The portion of  such
sum  allocated  to self-insurers and the state insurance fund that shall
be collected from each self-insurer and the state insurance  fund  shall
be  a  sum equal to the proportion of the amount which the total compen-
sation payments of each such self-insurer or the  state  insurance  fund
bore  to  the  total compensation payments made by all self-insurers and
the state insurance fund during the fiscal year which ended within  said
preceding  calendar year. The portion of such sum allocated to insurance
carriers that shall be collected from each insurance carrier shall be  a
sum  equal  to  that  proportion  of the amount which the total standard
premium by each such insurance carrier bore to the total standard premi-
um reported by all insurance carriers during  the  calendar  year  which
ended  within  said  preceding  fiscal  year. The payments from the debt
service assessment, unless otherwise set forth in the special disability
fund financing agreement, are  hereby  pledged  therefor  and  shall  be
deemed the first monies received on account of assessments in each year.
For  the  purposes  of this paragraph, "standard premium" shall mean the
premium as defined for the purposes of this  assessment  by  the  super-
intendent  of  financial services, in consultation with the chair of the

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board and the workers' compensation rating board. An  employer  who  has
ceased  to be a self-insurer shall continue to be liable for any assess-
ments into said fund on account of any compensation payments made by him
or  her  on his or her account during such fiscal year, and the security
fund, created under the provisions of section one hundred seven of  this
chapter, shall, in the event of the insolvency of any insurance company,
be  liable  for  any  assessments that would have been made against such
company except for its insolvency. No assessment shall be  payable  from
the  aggregate trust fund, created under the provisions of section twen-
ty-seven of this article, but such fund shall continue to be liable  for
all  compensation  that shall be payable under any award or order of the
board, the commuted value of which has been paid into such fund.    Such
assessments  when  collected shall be deposited with the commissioner of
taxation and finance for the benefit  of  such  fund.  Unless  otherwise
provided,  such assessments, shall not constitute an element of loss for
the purpose of establishing rates for compensation insurance  but  shall
for  the purpose of collection be treated as separate costs by carriers.
All insurance carriers and the state insurance fund, shall collect  such
assessments,  from  their  policyholders  through  a  surcharge based on
premiums in accordance with rules set forth  by  the  superintendent  of
financial  services  in  consultation with the New York workers' compen-
sation rating board and the chair of the board. Such surcharge shall  be
considered  as part of premium for purposes prescribed by law including,
but not limited to, computing premium tax, reporting to the  superinten-
dent of financial services pursuant to section ninety-nine of this chap-
ter  and  section  three hundred seven of the insurance law, determining
the limitation of expenditures  for  the  administration  of  the  state
insurance  fund pursuant to section eighty-eight of this chapter and the
cancellation by an insurance  carrier,  including  the  state  insurance
fund,  of  a  policy  for non-payment of premium. The provisions of this
paragraph shall not apply with respect to policies  containing  coverage
pursuant to subsection (j) of section three thousand four hundred twenty
of  the  insurance  law relating to every policy providing comprehensive
personal liability insurance on a one, two, three or four family  owner-
occupied  dwelling.   The state insurance fund shall notify its insureds
that such assessments, shall be, for the purpose of recoupment,  treated
as  separate costs, for the purpose of premiums billed on or after Octo-
ber first, nineteen  hundred  ninety-four.  For  the  purposes  of  this
section,  a "self-insurer" shall be: (i) an employer authorized to self-
insure under subdivision three of section fifty of this chapter,  active
groups  authorized  pursuant  to subdivision three-a of section fifty of
this chapter or a group of employers  authorized  to  self-insure  under
paragraph  ten  of subdivision three-a of section fifty of this chapter;
or (ii) a public employer authorized as set  forth  in  paragraph  a  of
subdivision  four  of section fifty of this chapter to self-insure under
subdivision three, three-a or four of such section or  article  five  of
this chapter, whether individually or as a group.
  For  the purposes of this paragraph, except as otherwise provided: the
term "insurance carrier" shall include only stock  corporations,  mutual
corporations and reciprocal insurers authorized to transact the business
of  workers' compensation insurance in this state; the term "self-insur-
er" shall include any employer or group of employers  permitted  to  pay
compensation directly under the provisions of subdivision three, three-a
or four of section fifty of this chapter.
  The  board  is hereby authorized to issue credits or refunds as neces-
sary, in the case of overpayments made to the fund. An insurance carrier

S. 2607--D                         140                        A. 3007--D

that knowingly underreports premiums for the purposes  of  this  section
shall  be  guilty  of  a class E felony] INCLUDED IN THE ASSESSMENT RATE
ESTABLISHED PURSUANT TO SUBDIVISION TWO OF SECTION ONE HUNDRED FIFTY-ONE
OF  THIS  CHAPTER.  SUCH ASSESSMENTS SHALL BE DEPOSITED WITH THE COMMIS-
SIONER OF TAXATION AND FINANCE AND TRANSFERRED TO THE  BENEFIT  OF  SUCH
FUND  FOLLOWING  PAYMENT  OF  DEBT SERVICE AND ASSOCIATED COSTS, IF ANY,
PURSUANT TO SECTION ONE HUNDRED FIFTY-ONE OF THIS CHAPTER.
  [(5) (A)] (4) The chair and the commissioner of taxation  and  finance
are authorized and directed to enter into a financing agreement with the
dormitory authority, to be known as the "special disability fund financ-
ing agreement." Such agreement shall set forth the process for calculat-
ing the annual debt service of the bonds issued by the dormitory author-
ity  and  any  other  associated  costs.  For  purposes of this section,
"associated costs" may include a coverage factor, reserve fund  require-
ments,  all  costs  of any nature incurred by the dormitory authority in
connection with the  special  disability  fund  financing  agreement  or
pursuant thereto, the operating costs of the waiver agreement management
office,  the  costs  of  any  independent  audits  undertaken under this
section, and any other costs for the implementation of this subparagraph
and the issuance of bonds by the dormitory authority, including interest
rate exchange payments, rebate payments, liquidity fees, credit provider
fees, fiduciary fees, remarketing, dealer,  auction  agent  and  related
fees  and  other similar bond-related expenses, unless otherwise funded.
By January first of each year, the dormitory authority shall provide  to
the  chair  the  calculation  of  the  amount expected to be paid by the
dormitory authority in debt service and associated costs for purposes of
calculating the debt service assessment as  set  forth  in  subparagraph
[four]  THREE  of this paragraph.  All monies received on account of any
assessment under subparagraph [four] THREE of this  paragraph  and  this
subparagraph  shall  be applied in accordance with this subparagraph and
in accordance with the financing agreement  until  the  financial  obli-
gations  of  the dormitory authority in respect to its contract with its
bondholders are met and all associated costs payable  to  the  dormitory
authority  have  been  paid,  notwithstanding any other provision of law
respecting secured transactions. This provision may be included  by  the
dormitory  authority in any contract of the dormitory authority with its
bondholders.
  The special disability fund financing agreement may restrict disburse-
ments, investments, or rebates, and may prescribe a system  of  accounts
applicable  to  the  special  disability  fund,  including custody of an
account with a trust indenture trustee that may  be  prescribed  by  the
dormitory  authority  as  part of its contract with the bondholders. For
purposes of this paragraph, the term "bonds" shall include notes  issued
in  anticipation of the issuance of bonds, or notes issued pursuant to a
commercial paper program.
  [(B) The chair may conduct periodic audits of any self-insurer, insur-
ance carrier and the state insurance fund concerning any information  or
payment required under this paragraph including any information relevant
to  the  payment  or  calculation  of any assessments. The self-insurer,
insurance carrier and the state insurance fund shall provide all  neces-
sary  documents  and  information  in  relation  to an audit in a manner
prescribed by the chair. Upon the determination  of  the  chair  that  a
self-insurer,  insurance  carrier or the state insurance fund has under-
paid an assessment as a result of its inaccurate reporting, the self-in-
surer, insurance carrier or the state insurance fund  upon  notice  from
the  chair, shall pay the full amount of the underpaid assessment, along

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with interest at the rate of nine per  cent  per  annum  on  the  unpaid
assessment due not later than thirty days after such notice.
  (6)] (5) The commissioner of taxation and finance is hereby authorized
to  receive  and  credit to such special disability fund any sum or sums
that may at any time be contributed to the state by the United States of
America under any act of congress, or otherwise, to which the state  may
be or become entitled by reason of any payments made out of such fund.
  [(7)] (6) The commissioner of taxation and finance shall be the custo-
dian  of  said  fund  and,  unless otherwise provided for in the special
disability fund financing agreement, shall invest any surplus or reserve
moneys thereof in securities  which  constitute  legal  investments  for
savings  banks  under  the  laws  of  this state and in interest bearing
certificates of deposit of a bank or trust company located  and  author-
ized  to do business in this state or of a national bank located in this
state secured by a pledge of direct obligations of the United States  or
of  the  state  of  New  York  in  an amount equal to the amount of such
certificates of deposit, and may sell any of the securities  or  certif-
icates  of  deposit  in which such fund is invested if necessary for the
proper administration or in the best interest of  such  fund.  Disburse-
ments  from  such  fund as provided by this subdivision shall be made by
the commissioner of taxation and finance upon  vouchers  signed  by  the
chair  of  the  board  unless  the financing agreement provides for some
other means of authorizing such disbursements that is no less protective
of the fund.
  The commissioner of taxation and finance, as custodian of  such  fund,
annually  as  soon  as practicable after January first, shall furnish to
the chair of the workers' compensation board a statement  of  the  fund,
setting forth the balance of moneys in the said fund as of the beginning
of  the  calendar  year, the income of the fund, the summary of payments
out of the fund on account of reimbursements and other  charges  ordered
to  be  paid  by  the board, and all other charges against the fund, and
setting forth the balance of the fund remaining to its credit on  Decem-
ber  thirty-first.  Such statement shall be open to public inspection in
the office of the secretary of the board. The chair, not less than nine-
ty days after the issuance of the dormitory  authority's  annual  audit,
shall  furnish  to the temporary president of the senate and the speaker
of the assembly the following reports on the special disability fund:  a
revenue  and  operating  expense  statement;  a financing plan; a report
concerning the assets and liabilities; the number of  waiver  agreements
entered  into  by  the waiver agreement management office; the number of
claimants remaining in the fund; the estimated current unfunded  liabil-
ity  of the fund with respect to such claims; and a debt issuance report
including but not limited to (i) pledged assessment revenue and  securi-
tization  coverage,  (ii)  debt  service maturities, (iii) interest rate
exchange or similar agreements, and (iv) financing and issuance costs.
  The commissioner of taxation and  finance  may  establish  within  the
special  disability  fund  such  accounts  and sub-accounts as he or she
deems useful for the operation of the fund, or as necessary to segregate
moneys within the fund, subject  to  the  provisions  of  the  financing
agreement. The waiver agreement management office, as defined in section
thirty-two  of  this  article,  shall make application to the chair on a
quarterly basis for any administrative costs incurred by the office.
  S 9. Paragraph (i) of subdivision 8 of  section  15  of  the  workers'
compensation  law,  as  amended  by  chapter 635 of the laws of 1996, is
amended to read as follows:

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  (i) When an application for  apportionment  of  compensation  is  made
under  this  subdivision,  the  chair of the workers' compensation board
shall appoint [a representative of] AN ATTORNEY TO REPRESENT AND  DEFEND
such  fund  in  such  proceedings[,  but  whenever it shall appear that,
through  any  committee,  board  or  organization  representative of the
interest of employers  or  insurance  carriers,  an  attorney  has  been
appointed  to  act  for  and  on  behalf of such employers and insurance
carriers generally to represent such fund  in  any  proceedings  brought
hereunder,  the  chair  of  the board may designate such attorney as the
representative of such special disability fund in proceedings  involving
claims  against such fund].  Such [representative] ATTORNEY shall there-
after be given notice of all proceedings involving the rights  or  obli-
gations  of  such fund. Such [representative] ATTORNEY  may apply to the
chair of the board for authority to hire such medical and other  experts
and to defray the expense thereof and of such witnesses as may be neces-
sary  to  a  proper  defense  of  any  claim,  within  an  amount in the
discretion of the chair and, if  authorized,  such  amount  shall  be  a
charge against such special disability fund.
  The  provisions  of  this chapter with respect to procedure, except as
may be otherwise provided in this subdivision, and the right  of  appeal
shall  be preserved to the claimant and to the employer or his insurance
carrier and to such fund through its [representative  and]  attorney  as
herein provided.
  S 10. Section 23 of the workers' compensation law, as amended by chap-
ter 6 of the laws of 2007, is amended to read as follows:
  S  23.  Appeals.  An award or decision of the board shall be final and
conclusive upon all questions within its jurisdiction,  as  against  the
state fund or between the parties, unless reversed or modified on appeal
therefrom  as  hereinafter  provided.  Any  party may within thirty days
after notice of the filing of an award or decision of  a  referee,  file
with  the  board an application in writing for a modification or rescis-
sion or review of such award or decision, as provided in  this  chapter.
The board shall render its decision upon such application in writing and
shall include in such decision a statement of the facts which formed the
basis  of its action on the issues raised before it on such application.
Within thirty days after notice of the decision of the board  upon  such
application  has  been  served  upon  the parties, or within thirty days
after notice of an administrative redetermination review decision by the
chair pursuant to subdivision five of  section  fifty-two,  section  one
hundred  thirty-one  or  section one hundred forty-one-a of this chapter
has been served upon any party in interest, an appeal may be taken ther-
efrom to the appellate division of the supreme court, third  department,
by  any  party  in  interest, including an employer insured in the state
fund; provided, however, that [if the decision or determination was that
of a panel of the board and there was a dissent from  such  decision  or
determination  other  than a dissent the sole basis of which is to refer
the case to an impartial specialist,] any party in interest  may  within
thirty  days  after  notice  of the filing of the board panel's decision
with the secretary of the board, make application in writing for  review
thereof  by the full board[, and].  IF THE DECISION OR DETERMINATION WAS
THAT OF A PANEL OF THE BOARD AND THERE WAS A DISSENT FROM SUCH  DECISION
OR  DETERMINATION  OTHER  THAN  A  DISSENT THE SOLE BASIS OF WHICH IS TO
REFER THE CASE TO AN IMPARTIAL SPECIALIST, the full board  shall  review
and affirm, modify or rescind such decision or determination in the same
manner  as  herein above provided for an award or decision of a referee.
IF THE DECISION OR DETERMINATION WAS THAT OF A UNANIMOUS  PANEL  OF  THE

S. 2607--D                         143                        A. 3007--D

BOARD,  OR  THERE  WAS A DISSENT FROM SUCH DECISION OR DETERMINATION THE
SOLE BASIS OF WHICH IS TO REFER THE CASE TO AN IMPARTIAL SPECIALIST, THE
BOARD MAY IN ITS SOLE DISCRETION REVIEW AND AFFIRM,  MODIFY  OR  RESCIND
SUCH  DECISION  OR  DETERMINATION  IN  THE  SAME  MANNER AS HEREIN ABOVE
PROVIDED FOR AN AWARD OR DECISION OF A REFEREE.  Failure  to  apply  for
review by the full board shall not bar any party in interest from taking
an  appeal directly to the court as above provided.  The board may also,
in its discretion certify to such  appellate  division  of  the  supreme
court,  questions  of law involved in its decision. Such appeals and the
question so certified shall be heard in a summary manner and shall  have
precedence  over all other civil cases in such court. The board shall be
deemed a party to every such appeal from its decision upon such applica-
tion, and the chair shall be deemed a party to every such appeal from an
administrative redetermination review decision pursuant  to  subdivision
five  of  section  fifty-two of this chapter. The attorney general shall
represent the board and the chair thereon. An appeal may also  be  taken
to the court of appeals in the same manner and subject to the same limi-
tations  not inconsistent herewith as is now provided in the civil prac-
tice law and rules. It shall not be necessary to file exceptions to  the
rulings of the board. An appeal to the appellate division of the supreme
court,  third  department, or to the court of appeals, shall not operate
as a stay of the payment of compensation required by the  terms  of  the
award  or  of the payment of the cost of such medical, dental, surgical,
optometric or other attendance, treatment, devices, apparatus  or  other
necessary  items the employer is required to provide pursuant to section
thirteen of this article which are found  to  be  fair  and  reasonable.
Where  such  award  is  modified or rescinded upon appeal, the appellant
shall be entitled to reimbursement in a sum equal to the compensation in
dispute paid to the respondent in addition to a sum equal to the cost of
such medical, dental, surgical, optometric or other  attendance,  treat-
ment,  devices,  apparatus  or  other  necessary  items  the employer is
required to provide pursuant to section thirteen of this article paid by
the appellant pending adjudication of  the  appeal.  Such  reimbursement
shall  be  paid  from administration expenses as provided in section one
hundred fifty-one of this chapter upon audit and warrant  of  the  comp-
troller upon vouchers approved by the chair. Where such award is subject
to the provisions of section twenty-seven of this article, the appellant
shall  pay  directly  to the claimant all compensation as it becomes due
during the pendency of the appeal, and upon affirmance shall be entitled
to credit for such payments. Neither the chair, the board,  the  commis-
sioners  of  the state insurance fund nor the claimant shall be required
to file a bond upon an appeal to the court of appeals. Upon final deter-
mination of such an appeal, the board or chair,  as  the  case  may  be,
shall  enter  an  order  in  accordance  therewith. Whenever a notice of
appeal is served or an application made to the board by the employer  or
insurance carrier for a modification or rescission or review of an award
or  decision,  and  the  board shall find that such notice of appeal was
served or such application was made for the purpose  of  delay  or  upon
frivolous  grounds,  the  board  shall impose a penalty in the amount of
five hundred dollars upon  the  employer  or  insurance  carrier,  which
penalty shall be added to the compensation and paid to the claimant. The
penalties  provided  herein shall be collected in like manner as compen-
sation. A party against whom an award of compensation shall be made  may
appeal  from  a  part  of such award. In such a case the payment of such
part of the award as is not appealed from shall not prejudice any rights
of such party on appeal, nor be  taken  as  an  admission  against  such

S. 2607--D                         144                        A. 3007--D

party.  Any appeal by an employer from an administrative redetermination
review decision pursuant to subdivision five  of  section  fifty-two  of
this  chapter  shall  in  no  way serve to relieve the employer from the
obligation  to timely pay compensation and benefits otherwise payable in
accordance with the provisions of this chapter.
  Nothing [herein] contained IN  THIS  SECTION  shall  be  construed  to
inhibit  the continuing jurisdiction of the board as provided in section
one hundred twenty-three of this chapter.
  S 11.  Intentionally omitted.
  S 12. The opening paragraph of subdivision 2 of  section  142  of  the
workers'  compensation  law,  as  amended  by chapter 608 of the laws of
1989, is amended to read as follows:
  Any review, hearing, rehearing, inquiry or investigation  required  or
authorized  to  be  conducted or made by the workers' compensation board
may be conducted or made by any panel of the  board  consisting  of  not
less  than  three  members  thereof, and the order, decision or determi-
nation of a majority of the members of  a  panel  shall  be  deemed  the
order,  decision  or  determination of the board from the date of filing
thereof with the secretary of the board, unless the  board  on  its  own
motion, or on application by a party in interest for a full board review
MADE  IN  ACCORDANCE  WITH  SECTION  TWENTY-THREE OF THIS CHAPTER, shall
modify or rescind such order, decision or determination.    Four  panels
shall  be  constituted  at  all  times,  and  the chair shall assign the
members to the panels upon which they shall serve. At least  one  member
on  each  panel  shall  be  an  attorney  and counsellor-at-law, but the
absence of an attorney on any panel  shall  not  invalidate  the  order,
decision  or  determination of a majority of the members of the panel if
at least two affirmative votes are cast in favor  of  such  action.  The
panels  shall  be  constituted  so  that  the members of the board shall
alternate in their periods  of  service  together  thereon.  Whenever  a
number  of  proceedings remains pending before the board for a period in
excess of thirty days, members of the  board  shall  hold  hearings  and
otherwise  act  in  the  discharge of their duties evenings and at other
convenient times on all days of the week except Sundays, in addition  to
the times when they would perform such duties in the ordinary conduct of
the  business  of  the board, in order to expedite the disposal thereof.
The chair may and shall, when directed by the  governor,  prescribe  the
hours  and  the  times  for  such  additional performance of duty by the
members of the board and the period or periods for the continuance ther-
eof.
  S 13. Subdivisions 1, 3 and 5 of section 25-a of the workers'  compen-
sation  law,  subdivisions 1 and 5 as amended by chapter 113 of the laws
of 1946, subdivision 3 as amended by chapter 6 of the laws of 2007,  and
the second and third undesignated paragraphs of subdivision 3 as further
amended  by section 104 of part A of chapter 62 of the laws of 2011, are
amended to read as follows:
  1. Notwithstanding other provisions of this chapter, when an  applica-
tion  for  compensation  is made by an employee or for death benefits in
behalf of the dependents of a deceased employee, and  the  employer  has
secured  the payment of compensation in accordance with section fifty of
this chapter, (1) after a lapse of seven years  from  the  date  of  the
injury  or  death  and claim for compensation previously has been disal-
lowed or claim has been  otherwise  disposed  of  without  an  award  of
compensation,  or  (2) after a lapse of seven years from the date of the
injury or death and also a lapse of three years from  the  date  of  the
last  payment  of  compensation,  or  (3) where death resulting from the

S. 2607--D                         145                        A. 3007--D

injury shall occur after the time limited by the foregoing provisions of
(1) or (2) shall have elapsed, subject to the provisions of section  one
hundred  [and]  twenty-three  of  this  chapter, testimony may be taken,
either directly or through a referee and if an award is made it shall be
against  the  special fund provided by this section. Such an application
for compensation or death benefits must be made on a form prescribed  by
the [chairman] CHAIR for that purpose and must, if a change in condition
is  claimed,  be  accompanied  by  a verified medical or surgical report
setting forth facts on which the board may order a hearing.
  1-A. Any award which shall be made against such special fund after the
effective date of this act upon such an application for compensation  or
death  benefits  shall  not be retroactive for a period of disability or
for death benefits longer than the two years immediately  preceding  the
date  of  filing  of such application.  NO APPLICATION BY A SELF-INSURED
EMPLOYER OR AN INSURANCE CARRIER FOR TRANSFER OF LIABILITY OF A CLAIM TO
THE FUND FOR REOPENED CASES SHALL BE ACCEPTED BY THE BOARD ON  OR  AFTER
THE  FIRST  DAY  OF JANUARY, TWO THOUSAND FOURTEEN EXCEPT THAT THE BOARD
MAY MAKE A FINDING AFTER SUCH DATE PURSUANT TO SECTION  TWENTY-THREE  OF
THIS ARTICLE UPON A TIMELY APPLICATION FOR REVIEW.
  3. Any awards so made shall be payable out of the special fund hereto-
fore  created for such purpose, which fund is hereby continued and shall
be known as the fund for reopened cases. The employer, or,  if  insured,
his  insurance  carrier  shall  pay  into  such fund, or, in the case of
awards made on or after July first, nineteen hundred sixty-nine,  either
into  such  fund  or the uninsured employers' fund under section twenty-
six-a of this article in accordance with  the  provisions  thereof,  for
every  case of injury causing death for which there are no persons enti-
tled to compensation the sum of three hundred dollars where such  injury
occurred  prior to July first, nineteen hundred forty and the sum of one
thousand dollars where such injury shall occur on or after said date and
prior to April first,  nineteen  hundred  forty-five,  and  the  sum  of
fifteen  hundred dollars where such injury shall occur on or after April
first, nineteen hundred forty-five and prior to September  first,  nine-
teen  hundred  seventy-eight and the sum of three thousand dollars where
such injury shall occur on or after September  first,  nineteen  hundred
seventy-eight, and in each case of death resulting from injury sustained
on  or  after  July first, nineteen hundred forty and prior to September
first, nineteen hundred seventy-eight, where there are persons  entitled
to  compensation  but the total amount of such compensation is less than
two thousand dollars exclusive of funeral benefits, the employer, or, if
insured, his insurance carrier, shall pay into such  fund,  or,  in  the
case  of awards made on or after July first, nineteen hundred sixty-nine
and prior to September first,  nineteen  hundred  seventy-eight,  either
into  such  fund  or the uninsured employers' fund under section twenty-
six-a of this article in accordance with  the  provisions  thereof,  the
difference between the sum of two thousand dollars and the compensation,
exclusive  of funeral benefits, and in each case of death resulting from
injury sustained on or after September first, nineteen hundred  seventy-
eight, the employer, or if insured, his insurance carrier shall pay into
such fund or the uninsured employers' fund under section twenty-six-a of
this  article  in accordance with the provisions thereof, the difference
between the sum of five thousand dollars and the compensation, exclusive
of funeral benefits actually paid  to  or  for  the  dependents  of  the
deceased  employee  together with any expense charge required by section
twenty-seven of this article; provided, however, that where death  shall
occur  subsequent  to  the  periods  limited  by subdivision one of this

S. 2607--D                         146                        A. 3007--D

section no payment into such  special  fund  nor  to  the  special  fund
provided  by  subdivision  nine  of section fifteen nor to the uninsured
employers' fund provided by section twenty-six-a of this  article  shall
be  required.  In addition to the assessments made against all insurance
carriers for the expenses of administering  this  chapter  provided  for
under  the  provisions of section one hundred fifty-one of this chapter,
and the payments above provided,  the  employer,  or,  if  insured,  his
insurance  carrier, shall pay the sum of five dollars into said fund for
each case in which an award is made pursuant to the provisions of  para-
graphs  a to s inclusive of subdivision three of section fifteen of this
chapter, by reason of injury  sustained  between  July  first,  nineteen
hundred forty and June thirtieth, nineteen hundred forty-two, both dates
inclusive,  and  the  sum of ten dollars for each such case by reason of
injury sustained between July first, nineteen hundred forty-two and June
thirtieth, nineteen hundred fifty, both dates inclusive,  which  payment
shall  be  in  addition  to  any  payment of compensation to the injured
employee as provided in this chapter.
  There shall be maintained in the special fund at all times  assets  at
least  equal  in  value  to  the  sum of (1) the value of awards charged
against such fund, (2) the value of all claims that have  been  reopened
by  the  board as a charge against such fund but as to which awards have
not yet been made, (3) effective January first, nineteen hundred  seven-
ty-one,  the  VALUE  OF total supplemental benefits TO BE paid from such
fund as reimbursement pursuant  to  subdivision  nine  of  this  section
[during  the  calendar  year  immediately  preceding], and (4) a reserve
equal to ten per cent of the sum of items (1) [and], (2) AND (3) of this
paragraph. [For the purpose of accumulating funds  for  the  payment  of
supplemental  benefits pursuant to subdivision nine of this section, the
chairman shall impose against all carriers an assessment in the  sum  of
five  million  dollars  to  be  collected  in the respective proportions
established in the fiscal year commencing April first, nineteen  hundred
sixty-eight,  under  the  provisions of section one hundred fifty-one of
this chapter for each carrier.] Annually, as soon as  practicable  after
January  first  in  each  year, the [chairman] CHAIR shall ascertain the
condition of the fund and whenever  the  assets  shall  fall  below  the
prescribed minimum as herein provided the [chairman] CHAIR shall [assess
and] collect [from all insurance carriers, in the respective proportions
established in the prior fiscal year under the provisions of section one
hundred  fifty-one  of  this chapter for each carrier,] an amount suffi-
cient to restore the fund  to  the  prescribed  minimum.  [The  chairman
before making an assessment as provided in this section shall give thir-
ty  days'  notice to the representative of the fund, designated pursuant
to subdivision five of this section, that an itemized statement  of  the
condition  of the fund is open for his inspection. The superintendent of
financial services may examine into the condition of  the  fund  at  any
time  on  his  own initiative or on request of the chairman or represen-
tative of the fund.
  Such assessment and the payments made into said fund shall not consti-
tute an element of loss for the purpose of establishing rates for  work-
ers'  compensation  insurance as provided in the insurance law but shall
for the purpose of recoupment be treated as separate costs by  carriers.
Carriers  shall  assess  such costs on their policyholders in accordance
with rules set forth by the New York workers' compensation rating board,
as approved by the superintendent of financial services.] COMMENCING  ON
THE  FIRST  OF JANUARY, TWO THOUSAND FOURTEEN, THE AMOUNT COLLECTED FROM
ALL EMPLOYERS REQUIRED TO OBTAIN WORKERS' COMPENSATION COVERAGE TO MAIN-

S. 2607--D                         147                        A. 3007--D

TAIN THE FINANCIAL INTEGRITY OF THE FUND MAY BE PAID OVER  A  PERIOD  OF
TIME AT THE DISCRETION OF THE CHAIR BASED UPON AN ANALYSIS OF THE FINAN-
CIAL  CONDITION  OF  THE FUND.   SUCH PAYMENT AS DETERMINED BY THE CHAIR
SHALL  BE INCLUDED IN THE ASSESSMENT RATE ESTABLISHED PURSUANT TO SUBDI-
VISION TWO OF SECTION ONE HUNDRED FIFTY-ONE OF THIS CHAPTER.  THE  CHAIR
SHALL  PROMULGATE  REGULATIONS  TO ADMINISTER CLAIMS WHOSE LIABILITY HAS
BEEN TRANSFERRED TO THE FUND FOR REOPENED CASES.  SUCH  REGULATIONS  MAY
INCLUDE EXERCISE OF THE CHAIR'S AUTHORITY TO ADMINISTER EXISTING CLAIMS,
TO  PROCURE MANAGEMENT FOR THOSE CLAIMS, OR TO SELL SUCH LIABILITY.  THE
CHAIR MAY EXAMINE INTO THE CONDITION OF THE FUND AT ANY TIME ON  HIS  OR
HER OWN INITIATIVE OR ON REQUEST OF THE ATTORNEY OF THE FUND.
  The  provisions  of  this  subdivision shall not apply with respect to
policies containing coverage pursuant  to  section  thirty-four  hundred
twenty  of  the insurance law relating to every policy providing compre-
hensive personal liability insurance on a one, two, three or four family
owner-occupied dwelling.
  5. [When an application] FOR APPLICATIONS BY SELF-INSURED EMPLOYERS OR
INSURANCE CARRIERS FOR TRANSFER OF LIABILITY for compensation [is  made]
TO THE FUND FOR REOPENED CASES under this section, RECEIVED BY THE BOARD
PRIOR TO THE FIRST DAY OF JANUARY, TWO THOUSAND FOURTEEN, the [chairman]
CHAIR  shall appoint [a representative of such fund] AN ATTORNEY in such
proceedings [and, insofar as practicable, such representative shall be a
person designated by the employer originally liable for the  payment  of
compensation,  or his insurance carrier, but whenever it shall appear to
the chairman that through any committee, board or organization or repre-
sentative of the interest of the insurance carriers an attorney has been
appointed to act for and on behalf of such carriers generally to  repre-
sent  such fund in any proceedings brought hereunder, the chairman shall
designate such attorney as the representative of the] TO REPRESENT  SUCH
fund  in  proceedings brought to enforce a claim against such fund. Such
[representative] ATTORNEY may apply to the [chairman] CHAIR for authori-
ty to hire such medical or other experts and to defray the expense ther-
eof and of such witnesses as are necessary to a proper  defense  of  the
application  within  an amount in the discretion of the [chairman] CHAIR
and, if authorized, it shall  be  a  charge  against  the  special  fund
provided herein.
  S 14. Intentionally omitted.
  S 15. Intentionally omitted.
  S  16. Subdivision (e) of section 32 of the workers' compensation law,
as added by chapter 6 of the  laws  of  2007,  is  amended  to  read  as
follows:
  (e)  The  chair shall establish an office under his or her supervision
to be known as the "waiver agreement management  office,"  to  negotiate
and  seek  board approval for waiver agreements on behalf of the special
disability fund. The office shall operate in accordance with  guidelines
or directives that the chair may issue, as approved by the special disa-
bility  fund advisory committee, or in the absence of such guidelines or
directives, using such discounting factors as the office determines  are
in  the  financial  interest  of the special disability fund. The waiver
agreement management office on behalf of the special disability fund may
enter into a waiver agreement with a  claimant  only  when  the  special
disability  fund  has  been  found  liable by the board to reimburse the
claimant's employer, insurance carrier  or  the  state  insurance  fund.
Notwithstanding any other provisions of law, no consultation or approval
of  any employer, insurance carrier, self-insurer[,] OR the state insur-
ance fund[, or  the  special  funds  conservation  committee]  shall  be

S. 2607--D                         148                        A. 3007--D

required  before  such  office  may  enter into any waiver agreement, or
before the board may approve such waiver agreement. The  chair  may,  in
his  or  her  discretion, and as approved by the special disability fund
advisory  committee,  terminate  the  operation  of the waiver agreement
management office, if he or she believes it no longer serves the  inter-
est of the special disability fund.
  S  17.    Clause 2 of subparagraph (a) of  paragraph 10 of subdivision
3-a of section 50 of the workers' compensation law, as added by  section
4  of  part  G  of chapter 57 of the laws of 2011, is amended to read as
follows:
  (2) The members of the group, through the administrator,  (a)  jointly
deposit  sufficient  securities  in accordance with subdivision three of
this section [as] OR IN A TRUST GOVERNED IN ACCORDANCE WITH PART 126  OF
TITLE  11  OF  THE  NEW YORK CODE OF RULES AND REGULATIONS to secure the
liability of the members of the group to pay  for  all  existing  claims
obligations,  provided such deposit shall be made by November first, two
thousand eleven, (b) jointly deposit sufficient securities in accordance
with subdivision three of this section [as] OR IN A  TRUST  GOVERNED  IN
ACCORDANCE  WITH  PART 126 OF TITLE 11 OF THE NEW YORK CODE OF RULES AND
REGULATIONS to secure all anticipated present and future claims  of  the
members of the group, by November first, two thousand fourteen, provided
annual  deposits are made in accordance with a schedule set by the chair
on or before November first of each year, and provided that the  deposit
shall be deemed an asset of the group for the purpose of determining its
funding status, and (c) by November first, two thousand eleven and ther-
eafter,  shall  maintain  funds  sufficient  for  all  other liabilities
besides claims[, including reserves for all assessment liabilities,]  in
a trust governed in accordance with Part 126 of title 11 of the New York
code  of  rules  and  regulations,  of which the board shall be the sole
beneficiary, and the terms of the  trust  agreement,  and  the  trustee,
shall  be  approved  by  the  chair  in  his or her sole discretion, and
provided that any group self-insurer that does not hold such funds in  a
trust  that  meets  the terms of this paragraph shall post them with the
board;
  S 18. Section 50-a of the workers' compensation law, as added by chap-
ter 139 of the laws of 2008, subdivision 2 as amended by  section  1  of
part R of chapter 56 of the laws of 2010 and subdivision 3 as amended by
section  1  of  part  R of chapter 55 of the laws of 2012, is amended to
read as follows:
  S 50-a. [Group self-insurer default] SELF-INSURER offset fund. 1.  The
chair shall [create] MAINTAIN a fund to be known as the [group] self-in-
surer  [default]  offset  fund  and  such fund shall be held in the sole
custody of the chair. The chair may transfer the money in such  fund  to
the  administrative  account  as  necessary to effectuate the purpose of
this section. The chair shall use the money in the  fund  to  pay  UNMET
claims for [defaulted group] self-insurers[, where sufficient moneys for
such  payment  have  not  been  collected  or  are not anticipated to be
collected from members of a defaulted group self-insurer, or  to  offset
such  amount  against  any  assessment it would otherwise impose against
private individual and group self-insurers under paragraph (g) of subdi-
vision five of section fifty of this article].
  2. At any time prior to April first, two thousand  eleven,  the  chair
may  withdraw funds from the uninsured employers fund provided for under
section twenty-six-a of this chapter, up to such  amount  as  the  chair
determines  is sufficient to fund any anticipated additional expenses of
such fund, taking into account anticipated available revenues, but in no

S. 2607--D                         149                        A. 3007--D

event to exceed seventy-five million  dollars  in  the  aggregate.  Such
funds  shall be deposited into the [group] self-insurer offset fund, and
used in accordance with subdivision one of this section.  As  consistent
with  this  section, the chair may set the timing of such withdrawals in
its discretion.
  3. Beginning in two thousand fifteen, and each  year  thereafter,  the
chair  shall add to the total of each annual assessment made under para-
graph g of subdivision five of section fifty of this article the sum  of
up  to three million dollars, to be allocated to private group and indi-
vidual self-insurers in accordance with such paragraph. The chair  shall
assess additional funds under this paragraph as necessary to insure that
there  are  sufficient funds in the fund for uninsured employers to meet
its liabilities, or if necessary in accordance with section one  hundred
fifty-one  of this chapter. Such funds as are collected pursuant to this
subdivision shall be deposited into the uninsured  employer  fund  until
all  funds withdrawn therefrom under subdivision one of this section are
returned with interest calculated at an annual rate equal to the rate of
return on funds in the fund for uninsured employers from the prior year.
  4. At such time as the board is not obligated to pay any UNMET  claims
[arising out] of a [defaulted] self-insurer, the fund created under this
section  shall  be  closed, and any money remaining in the fund shall be
deposited into the uninsured employer fund.
  S 19. Subdivision 5 of section 52 of the workers' compensation law, as
amended by chapter 139 of the laws  of  2008,  is  amended  to  read  as
follows:
  5. The chair, upon finding that an employer has failed for a period of
not  less than ten consecutive days to make the provision for payment of
compensation required by section fifty of this article, may impose  upon
such  employer, in addition to all other penalties, fines or assessments
provided for in this chapter, a penalty of UP TO  two  thousand  dollars
for  each ten day period of non-compliance or a sum not in excess of two
times the cost of compensation for its payroll for the  period  of  such
failure,  which  sum  shall  be  paid into the uninsured employers' fund
created under section twenty-six-a of this  chapter.  When  an  employer
fails  to  provide  business  records  sufficient to enable the chair to
determine the employer's payroll for the period requested for the calcu-
lation of the penalty provided  in  this  section,  the  imputed  weekly
payroll  for each employee, corporate officer, sole proprietor, or part-
ner shall be the New York state average weekly wage, multiplied by  1.5.
Where the employer is a corporation, the president, secretary and treas-
urer  thereof  shall  be  liable  for the penalty. If the employer shall
within thirty days after notice of the imposition of a  penalty  by  the
chair pursuant to this subdivision make an application in affidavit form
for  a redetermination review of such penalty the [chairman] CHAIR shall
make a decision in writing on the issues raised on such application.
  S 20. Section 87 of the workers' compensation law, as amended by chap-
ter 635 of the laws of 1996, subdivision 1 as amended by  chapter  6  of
the  laws  of  2007,  subdivision  1, paragraph (a) of subdivision 2 and
subdivision 3 as further amended by section 104 of part A of chapter  62
of the laws of 2011, is amended to read as follows:
  S  87.  Investment  of  surplus or reserve. 1. Any of the [surplus or]
reserve funds belonging to the state insurance fund,  by  order  of  the
commissioners, approved by the superintendent of financial services, may
be  invested  in  the types of securities described in subdivisions one,
two, three, four, five, six, eleven, twelve, twelve-a,  thirteen,  four-
teen,  fifteen, nineteen, twenty, twenty-one, twenty-one-a, twenty-four,

S. 2607--D                         150                        A. 3007--D

twenty-four-a, twenty-four-b, twenty-four-c and twenty-five  of  section
two  hundred  thirty-five of the banking law or[, up to fifty percent of
such surplus or reserve funds, in the types of securities or investments
described]  in  [paragraphs]  PARAGRAPH  two[,  three, eight and ten] of
subsection (a) of section one thousand four hundred four of  the  insur-
ance  law except that up to [ten] FIVE percent of [the surplus and] SUCH
reserve funds [belonging to  the  state  insurance  fund  that]  may  be
invested in the securities of any solvent American institution [or of an
investment  company]  as  described in such [paragraphs may be invested]
PARAGRAPH irrespective of the rating of such  institution's  obligations
or  other  similar  qualitative  standards described [in paragraphs two,
three, eight and ten of such  subsection,  but  shall  not  include  any
derivative  instrument or derivative transaction or any investment found
by the superintendent of financial services to be against public policy.
Any of the surplus or reserve funds belonging  to  the  state  insurance
fund,  upon  like  approval of the superintendent of financial services,
may be loaned on the pledge of any such securities.  The  commissioners,
upon like approval of the superintendent of financial services, may also
sell any of such securities or investments] THEREIN.
  2.  ANY OF THE SURPLUS FUNDS BELONGING TO THE STATE INSURANCE FUND, BY
ORDER  OF THE COMMISSIONERS, APPROVED BY THE SUPERINTENDENT OF FINANCIAL
SERVICES, MAY BE INVESTED IN THE TYPES OF SECURITIES DESCRIBED IN SUBDI-
VISIONS ONE, TWO, THREE, FOUR,  FIVE,  SIX,  ELEVEN,  TWELVE,  TWELVE-A,
THIRTEEN, FOURTEEN, FIFTEEN, NINETEEN, TWENTY, TWENTY-ONE, TWENTY-ONE-A,
TWENTY-FOUR, TWENTY-FOUR-A, TWENTY-FOUR-B, TWENTY-FOUR-C AND TWENTY-FIVE
OF  SECTION  TWO  HUNDRED THIRTY-FIVE OF THE BANKING LAW OR, UP TO FIFTY
PERCENT OF SURPLUS FUNDS, IN THE  TYPES  OF  SECURITIES  OR  INVESTMENTS
DESCRIBED  IN  PARAGRAPHS TWO, THREE, EIGHT AND TEN OF SUBSECTION (A) OF
SECTION ONE THOUSAND FOUR HUNDRED FOUR OF THE INSURANCE LAW, EXCEPT THAT
UP TO TEN PERCENT OF SURPLUS FUNDS MAY BE INVESTED IN THE SECURITIES  OF
ANY  SOLVENT  AMERICAN INSTITUTION AS DESCRIBED IN SUCH PARAGRAPHS IRRE-
SPECTIVE OF THE RATING OF SUCH INSTITUTION'S OBLIGATIONS OR OTHER  SIMI-
LAR  QUALITATIVE  STANDARDS DESCRIBED THEREIN, AND UP TO FIFTEEN PERCENT
OF SURPLUS FUNDS IN SECURITIES OR INVESTMENTS  WHICH  DO  NOT  OTHERWISE
QUALIFY  FOR  INVESTMENT  UNDER  THIS  SECTION AS SHALL BE MADE WITH THE
CARE, PRUDENCE AND DILIGENCE UNDER  THE  CIRCUMSTANCES  THEN  PREVAILING
THAT  A  PRUDENT PERSON ACTING IN A LIKE CAPACITY AND FAMILIAR WITH SUCH
MATTERS WOULD USE IN THE CONDUCT OF AN ENTERPRISE OF  A  LIKE  CHARACTER
AND  WITH  LIKE AIMS AS PROVIDED FOR THE STATE INSURANCE FUND UNDER THIS
ARTICLE, BUT SHALL NOT  INCLUDE  ANY  DIRECT  DERIVATIVE  INSTRUMENT  OR
DERIVATIVE TRANSACTION EXCEPT FOR HEDGING PURPOSES.  NOTWITHSTANDING ANY
OTHER PROVISION IN THIS SUBDIVISION, THE AGGREGATE AMOUNT THAT THE STATE
INSURANCE  FUND  MAY  INVEST  IN  THE TYPES OF SECURITIES OR INVESTMENTS
DESCRIBED IN PARAGRAPHS THREE,  EIGHT  AND  TEN  OF  SUBSECTION  (A)  OF
SECTION  ONE  THOUSAND  FOUR  HUNDRED FOUR OF THE INSURANCE LAW AND AS A
PRUDENT PERSON ACTING IN A LIKE CAPACITY WOULD  INVEST  AS  PROVIDED  IN
THIS SUBDIVISION SHALL NOT EXCEED FIFTY PERCENT OF SUCH SURPLUS FUNDS.
  3.  ANY  OF THE SURPLUS OR RESERVE FUNDS BELONGING TO THE STATE INSUR-
ANCE FUND,  UPON  LIKE  APPROVAL  OF  THE  SUPERINTENDENT  OF  FINANCIAL
SERVICES,  MAY  BE  LOANED  ON  THE  PLEDGE  OF ANY SUCH SECURITIES. THE
COMMISSIONERS, UPON LIKE APPROVAL OF  THE  SUPERINTENDENT  OF  FINANCIAL
SERVICES, MAY ALSO SELL ANY OF SUCH SECURITIES OR INVESTMENTS.
  [2.]  4. (a) Any securities belonging to the state insurance fund may,
by order of the commissioners, approved by the superintendent of  finan-
cial  services, be loaned under a security loan agreement, as defined in
paragraph (b) of this subdivision, entered into with a registered  brok-

S. 2607--D                         151                        A. 3007--D

er-dealer,  or  a New York state or national bank or trust company, with
the custodial bank of the state insurance  fund  or  another  person  or
entity,  approved  by  the  commissioner  of taxation and finance, which
specializes in security loan transactions acting as the agent in arrang-
ing  such agreement. The commissioners shall monitor the market value of
the loaned securities daily. In no event shall the  commissioners  allow
the value of the collateral posted to fall below the market value of the
loaned securities.
  (b) For purposes of this section, "security loan agreement" shall mean
a written contract, the terms of which have been approved by the commis-
sioner  of  taxation  and finance, whereby the state insurance fund (the
lender) agrees to lend securities to  a  broker-dealer,  bank  or  trust
company  described  in  paragraph (a) of this subdivision (the borrower)
for a period not to exceed one year. However, such  agreement  shall  be
subject  to  the  following  limitations: (i) the lender must retain the
right to collect from the borrower all  dividends,  interest,  premiums,
rights,  and any other distributions to which the lender would otherwise
have been entitled; (ii) the lender may waive  the  right  to  vote  the
securities  during  the  term  of  such agreement; (iii) the lender must
retain the right to terminate such agreement upon  not  more  than  five
business  days' notice; (iv) the borrower shall provide as collateral to
the lender cash or direct obligations of the United States of America or
any agency or instrumentality thereof or obligations fully guaranteed by
the United States of America that are eligible  for  investment  by  the
state  insurance  fund  under  subdivision one of this section, provided
that such obligations may in no event consist of derivative  securities;
and  (v)  such agreement shall provide for payment of additional collat-
eral on a daily basis, or at such time as the value of the loaned  secu-
rities increases to agreed upon ratios.
  [3.]  5.  All  such  securities  or evidences of indebtedness shall be
placed in the hands of the commissioner  of  taxation  and  finance  who
shall  be  the  custodian thereof. He or she shall collect the principal
and interest thereof, when due, and pay the same into the  state  insur-
ance fund. The commissioner of taxation and finance shall pay all vouch-
ers drawn on the state insurance fund for the making of such investments
when signed by the chair of the commissioners, the executive director or
a deputy executive director of the state insurance fund upon delivery of
such  securities  or evidences of indebtedness to him or her, when there
is attached to such vouchers the approval of the state superintendent of
financial services.
  6.  FOR THE PURPOSES OF THIS SECTION, THE  TERM  "RESERVES"  DOES  NOT
INCLUDE THE ESTIMATED VALUE OF FUTURE DISCRETIONARY PAYMENTS THAT MAY BE
MADE BY THE STATE INSURANCE FUND UNDER SECTION NINETY OF THIS ARTICLE.
  7.  NOTWITHSTANDING  ANY  PROVISION  IN  THIS SECTION, THE SURPLUS AND
RESERVE FUNDS OF THE STATE INSURANCE FUND SHALL NOT BE INVESTED  IN  ANY
INVESTMENT  THAT  HAS  BEEN  FOUND  BY  THE  SUPERINTENDENT OF FINANCIAL
SERVICES TO BE AGAINST PUBLIC POLICY OR IN ANY INVESTMENT PROHIBITED  BY
THE  PROVISIONS  OF PARAGRAPH SIX OF SUBSECTION (A) OF SECTION ONE THOU-
SAND FOUR HUNDRED FOUR OF THE INSURANCE LAW  OR  BY  THE  PROVISIONS  OF
PARAGRAPH  ONE,  TWO, THREE, FOUR, SIX, EIGHT, NINE OR TEN OF SUBSECTION
(A) OF SECTION ONE THOUSAND FOUR HUNDRED SEVEN OF THE INSURANCE LAW.
  S 21.  Intentionally omitted.
  S 22. Section 151 of the workers' compensation law is REPEALED  and  a
new section 151 is added to read as follows:
  S  151. ASSESSMENTS FOR ANNUAL EXPENSES. 1. THE ANNUAL EXPENSES NECES-
SARY FOR THE BOARD TO ADMINISTER THE PROVISIONS  OF  THIS  CHAPTER,  THE

S. 2607--D                         152                        A. 3007--D

VOLUNTEER  AMBULANCE  WORKERS'  BENEFIT LAW, THE VOLUNTEER FIREFIGHTERS'
BENEFIT LAW, THE DISABILITY BENEFITS LAW, AND THE WORKMEN'S COMPENSATION
ACT FOR CIVIL DEFENSE VOLUNTEERS SHALL BE BORNE  BY  AFFECTED  EMPLOYERS
SECURING  COMPENSATION  FOR THEIR EMPLOYEES PURSUANT TO SECTION FIFTY OF
THIS CHAPTER. THE BOARD SHALL COLLECT SUCH ANNUAL EXPENSES FROM AFFECTED
EMPLOYERS THROUGH ASSESSMENTS AS PROVIDED  BY  THE  PROVISIONS  OF  THIS
SECTION,  INCLUDING  FOR PURPOSES OF THIS SUBDIVISION: (A) THE AGGREGATE
ASSESSMENT AMOUNT DESCRIBED IN SUBPARAGRAPH FOUR  OF  PARAGRAPH  (H)  OF
SUBDIVISION  EIGHT  OF  SECTION  FIFTEEN OF THIS CHAPTER FOR THE SPECIAL
DISABILITY FUND IN ACCORDANCE WITH EACH FINANCING AGREEMENT DESCRIBED IN
SUCH SUBPARAGRAPH, (B) THE  AGGREGATE  ASSESSMENT  AMOUNT  DESCRIBED  IN
SECTION  FIFTY-C  OF  THIS  CHAPTER  FOR THE SELF-INSURER OFFSET FUND IN
ACCORDANCE WITH EACH FINANCING AGREEMENT DESCRIBED IN SUCH SECTION,  (C)
THE  ASSESSMENT   AMOUNT DESCRIBED IN SUBDIVISION THREE OF SECTION TWEN-
TY-FIVE-A OF THIS CHAPTER FOR THE FUND FOR REOPENED CASES  AND  (D)  THE
ASSESSMENT  AMOUNT  DESCRIBED  IN  SECTION  TWO HUNDRED FOURTEEN OF THIS
CHAPTER FOR THE SPECIAL FUND FOR DISABILITY BENEFITS; PROVIDED, THAT THE
FOREGOING AND ANY OTHER  PROVISION  OF  THIS  CHAPTER  TO  THE  CONTRARY
NOTWITHSTANDING,  ASSESSMENT  RECEIPTS  SHALL  BE APPLIED FIRST TO FULLY
FUND THE AMOUNT DESCRIBED IN  SUBPARAGRAPH  FOUR  OF  PARAGRAPH  (H)  OF
SUBDIVISION  EIGHT  OF SECTION FIFTEEN OF THIS CHAPTER AND THEN TO FULLY
FUND THE AMOUNT DESCRIBED IN SECTION FIFTY-C OF THIS CHAPTER IN  ACCORD-
ANCE  WITH  EACH  THEN  APPLICABLE  FINANCING AGREEMENT PURSUANT TO SUCH
PROVISIONS PRIOR TO APPLICATION TO ANY OTHER PURPOSE OTHER THAN  TO  PAY
ANY  ACTUAL  COSTS  OF COLLECTING SUCH ASSESSMENT THAT ARE NOT OTHERWISE
FUNDED. FOR PURPOSES  OF  THIS  SECTION,  AFFECTED  EMPLOYER  MEANS  ALL
EMPLOYERS  REQUIRED TO OBTAIN WORKERS' COMPENSATION COVERAGE PURSUANT TO
THIS CHAPTER.
  2. ON THE FIRST DAY OF NOVEMBER, TWO THOUSAND THIRTEEN,  AND  ANNUALLY
THEREAFTER,  THE  CHAIR  SHALL  ESTABLISH  AN  ASSESSMENT  RATE  FOR ALL
AFFECTED EMPLOYERS IN THE STATE OF NEW YORK IN AN AMOUNT EXPECTED TO  BE
SUFFICIENT  TO  PRODUCE  ASSESSMENT RECEIPTS AT LEAST SUFFICIENT TO FUND
ALL ESTIMATED ANNUAL  EXPENSES  PURSUANT  TO  SUBDIVISION  ONE  OF  THIS
SECTION  EXCEPT THOSE EXPENSES FOR WHICH AN ASSESSMENT IS AUTHORIZED FOR
SELF-INSURANCE PURSUANT TO SUBDIVISION FIVE OF  SECTION  FIFTY  OF  THIS
CHAPTER.  SUCH  RATE SHALL BE ASSESSED EFFECTIVE THE FIRST OF JANUARY OF
THE SUCCEEDING YEAR AND SHALL BE BASED UPON A SINGLE METHODOLOGY  DETER-
MINED  BY THE CHAIR.  THE CHAIR MAY ALSO ESTABLISH AN ADDITIONAL ASSESS-
MENT RATE, NOT TO EXCEED THIRTY PERCENT OF ANNUAL  PREMIUMS,  FOR  THOSE
AFFECTED  EMPLOYERS  WHO  ARE IN DEFAULT IN THE PAYMENT OF THEIR COMPEN-
SATION PURSUANT TO SUBPARAGRAPH (B) OF PARAGRAPH  SEVEN  OF  SUBDIVISION
THREE-A  OF SECTION 50 OF THIS CHAPTER. SUCH ADDITIONAL ASSESSMENT SHALL
BE COLLECTED AND REMITTED TO THE CHAIR CONSISTENT WITH SUBDIVISIONS FOUR
AND FIVE OF THIS SECTION.   THE CHAIR SHALL MAKE  AVAILABLE  FOR  PUBLIC
INSPECTION AN ITEMIZED STATEMENT OF THE ESTIMATED ANNUAL EXPENSES IN THE
OFFICE OF THE BOARD FOR THIRTY DAYS IMMEDIATELY AFTER THE RATE IS ESTAB-
LISHED.
  3.  THE  CHAIR AND DEPARTMENT OF AUDIT AND CONTROL ANNUALLY AS SOON AS
PRACTICABLE AFTER THE FIRST OF APRIL OF EACH YEAR  SHALL  ASCERTAIN  THE
ACTUAL  TOTAL  AMOUNT  OF  EXPENSES, INCLUDING IN ADDITION TO THE DIRECT
COSTS OF PERSONAL SERVICE, THE COST OF MAINTENANCE  AND  OPERATION,  THE
COST OF RETIREMENT CONTRIBUTIONS MADE AND WORKERS' COMPENSATION PREMIUMS
PAID  BY  THE  STATE  FOR  OR ON ACCOUNT OF PERSONNEL, RENTALS FOR SPACE
OCCUPIED IN STATE OWNED OR STATE LEASED BUILDINGS, SUCH  ADDITIONAL  SUM
AS MAY BE CERTIFIED TO THE CHAIR AND THE DEPARTMENT OF AUDIT AND CONTROL
AS  A REASONABLE COMPENSATION FOR SERVICES RENDERED BY THE DEPARTMENT OF

S. 2607--D                         153                        A. 3007--D

LAW AND EXPENSES INCURRED BY SUCH  DEPARTMENT,  FOR  TRANSFER  INTO  THE
TRAINING  AND EDUCATIONAL PROGRAM ON OCCUPATIONAL SAFETY AND HEALTH FUND
CREATED PURSUANT TO CHAPTER EIGHT HUNDRED  EIGHTY-SIX  OF  THE  LAWS  OF
NINETEEN  HUNDRED  EIGHTY-FIVE  AND  SECTION NINETY-SEVEN-C OF THE STATE
FINANCE LAW, FOR THE NEW YORK STATE OCCUPATIONAL HEALTH CLINICS NETWORK,
FOR THE DEPARTMENT OF LABOR OCCUPATIONAL SAFETY AND HEALTH  PROGRAM  AND
FOR  TRANSFER INTO THE UNINSURED EMPLOYERS' FUND PURSUANT TO SUBDIVISION
TWO OF SECTION TWENTY-SIX-A OF THIS CHAPTER, AND  ALL  OTHER  DIRECT  OR
INDIRECT  COSTS,  INCURRED  BY THE BOARD IN CONNECTION WITH THE ADMINIS-
TRATION OF THIS CHAPTER, EXCEPT THOSE EXPENSES FOR WHICH  AN  ASSESSMENT
IS AUTHORIZED FOR SELF-INSURANCE PURSUANT TO SUBDIVISION FIVE OF SECTION
FIFTY  OF  THIS  CHAPTER.   ASSESSMENTS PURSUANT TO SUBPARAGRAPH FOUR OF
PARAGRAPH (H) OF SUBDIVISION EIGHT OF SECTION FIFTEEN  OF  THIS  CHAPTER
FOR  THE  SPECIAL  DISABILITY  FUND, PURSUANT TO SECTION FIFTY-C OF THIS
CHAPTER FOR THE SELF INSURER OFFSET FUND, PURSUANT TO SUBDIVISION  THREE
OF  SECTION  TWENTY-FIVE-A  OF  THIS  CHAPTER  FOR THE FUND FOR REOPENED
CASES, AND PURSUANT TO SECTION TWO HUNDRED FOURTEEN OF THIS CHAPTER  FOR
THE  SPECIAL FUND FOR DISABILITY BENEFITS SHALL BE INCLUDED IN THE TOTAL
AMOUNT OF EXPENSES FOR THE PURPOSES OF THIS SUBDIVISION.   ANY  OVERPAY-
MENT  OF  ANNUAL  ASSESSMENTS  RESULTING  FROM  THE REQUIREMENTS OF THIS
SUBDIVISION SHALL BE APPLIED AS A CREDIT AGAINST THE  FUTURE  ASSESSMENT
RATE PROVIDED THE FUND BALANCE SHALL NOT BE REDUCED BELOW TEN PERCENT OF
THE TOTAL AMOUNT ASSESSED.
  4. FOR THOSE AFFECTED EMPLOYERS OBTAINING COVERAGE:
  (A)  BY  INSURING  WITH  THE STATE FUND PURSUANT TO SUBDIVISION ONE OF
SECTION FIFTY OF THIS CHAPTER; OR  (B)  THROUGH  A  POLICY  PURSUANT  TO
SUBDIVISION TWO OF SECTION FIFTY OF THIS CHAPTER; OR (C) THROUGH A COUN-
TY  SELF-INSURANCE  PLAN  UNDER  ARTICLE  FIVE  OF  THIS CHAPTER; OR (D)
THROUGH A GROUP PRIVATE OR PUBLIC SELF-INSURER PURSUANT  TO  SUBDIVISION
THREE-A  OF SECTION FIFTY OF THIS CHAPTER, SUCH ASSESSMENT AMOUNTS SHALL
BE COLLECTED AND REMITTED TO THE CHAIR  BY  THE  CARRIER  OR  THE  STATE
INSURANCE FUND, OR COUNTY PLAN, OR GROUP PRIVATE OR PUBLIC SELF-INSURER,
ON  BEHALF OF THE EMPLOYER(S) UNTIL SUCH TIME AS THE BOARD ESTABLISHES A
DIRECT EMPLOYER PAYMENT PROCESS.  AFFECTED PRIVATE OR  PUBLIC  EMPLOYERS
PROVIDING  COMPENSATION  THROUGH  SELF INSURANCE PURSUANT TO SUBDIVISION
THREE OF SECTION FIFTY OF THIS  CHAPTER  SHALL  PAY  ASSESSMENT  AMOUNTS
DIRECTLY TO THE CHAIR.
  5.  INSURANCE  CARRIERS  AS  DEFINED  IN  SECTION  TWO OF THIS CHAPTER
INCLUDING THE STATE INSURANCE FUND AND SELF-INSURERS, SHALL COLLECT FROM
AFFECTED EMPLOYERS AND PERIODICALLY REMIT TO THE BOARD SUCH  ASSESSMENTS
AND  SHALL BE RESPONSIBLE FOR ENSURING THEIR EMPLOYERS/POLICYHOLDERS ARE
CURRENT ON THEIR ASSESSMENTS. (A) FAILURE  TO  ENSURE  POLICYHOLDERS  OR
EMPLOYERS  ARE CURRENT ON THEIR ASSESSMENTS WILL RESULT IN THE INSURANCE
CARRIER; OR SELF-INSURER; BEING LIABLE FOR SUCH ASSESSMENTS.
  (B) IN THE EVENT THE EMPLOYER;  INSURANCE  CARRIER;  OR  SELF-INSURER;
KNEW OR SHOULD HAVE KNOWN THAT THE EMPLOYER MISREPORTED ANY DATA RELATED
TO  THE ASSESSMENT PROCESS, THEY MAY BE SUBJECT TO ANY APPLICABLE PENAL-
TIES OR SANCTIONS PROVIDED BY THIS CHAPTER.
  6.  (A) EFFECTIVE THE FIRST DAY OF JANUARY, TWO THOUSAND FOURTEEN, ALL
ASSESSMENT CYCLES IN PROGRESS WILL BE REPLACED WITH THE ASSESSMENT  RATE
DETERMINED  HEREIN.  HOWEVER, SUCH NEW ASSESSMENT RATE SHALL NOT RELIEVE
ANY CARRIER OR SELF-INSURER FOR OUTSTANDING AMOUNTS DUE AS OF THE  FIRST
DAY OF JANUARY TWO THOUSAND FOURTEEN.
  (B) ALL ASSESSMENT AMOUNTS COLLECTED BY INSURANCE CARRIERS, EXCEPT THE
STATE  FUND, AND NOT YET REMITTED TO THE BOARD PRIOR TO THE FIRST DAY OF

S. 2607--D                         154                        A. 3007--D

JANUARY, TWO THOUSAND FOURTEEN MUST BE REMITTED TO THE  CHAIR  NO  LATER
THAN THE FIRST DAY OF FEBRUARY, TWO THOUSAND FOURTEEN.
  7.  ASSESSMENTS  FOR  THE  EXPENSES OF THE BOARD INCLUDING ASSESSMENTS
PURSUANT TO PARAGRAPH (H) OF SUBDIVISION EIGHT  OF  SECTION  FIFTEEN  OF
THIS CHAPTER FOR THE SPECIAL DISABILITY FUND AND PURSUANT TO SUBDIVISION
THREE OF SECTION TWENTY-FIVE-A OF THIS CHAPTER FOR THE FUND FOR REOPENED
CASES SHALL NOT CONSTITUTE ELEMENTS OF LOSS.
  7-A.  NOTWITHSTANDING ANY LAW TO THE CONTRARY, WHEN THERE IS A DEFAULT
ON THE PAYMENT OF  PREMIUM,  INCLUDING  ANY  ASSESSMENTS  PAYABLE  UNDER
SUBDIVISION  SEVEN OF THIS SECTION, ANY ACTION BY THE CARRIER, INCLUDING
THE STATE INSURANCE FUND, TO COLLECT ANY UNPAID PREMIUM SHALL INCLUDE AN
ACTION SEEKING RECOVERY OF SUCH ASSESSMENTS ON BEHALF OF THE BOARD.  THE
CARRIER  SHALL REMIT THE AMOUNT OF ANY SUCH UNPAID ASSESSMENTS COLLECTED
EITHER PURSUANT TO A JUDGMENT OR BY SETTLEMENT TO THE BOARD.
  8. THE FOREGOING AND EVERY OTHER PREVISION  OF  LAW  TO  THE  CONTRARY
NOTWITHSTANDING,  ALL  MONEYS  RECEIVED  ON  ACCOUNT  OF  THE ASSESSMENT
AUTHORIZED BY THIS SECTION SHALL BE  DEPOSITED  UPON  RECEIPT  INTO  THE
ADMINISTRATIVE CLEARING ACCOUNT HELD BY THE COMMISSIONER OF TAXATION AND
FINANCE  AND  APPLIED,  AS  PLEDGED ASSESSMENTS FOR PURPOSES OF SECTIONS
SIXTEEN HUNDRED EIGHTY-L AND SIXTEEN  HUNDRED  EIGHTY-Q  OF  THE  PUBLIC
AUTHORITIES LAW AND PRIOR TO ANY OTHER APPLICATION: FIRST, IN ACCORDANCE
WITH ANY OTHER PROVISION OF ANY SPECIAL DISABILITY FUND FINANCING AGREE-
MENT ENTERED INTO PRIOR TO MARCH THIRTY-FIRST, TWO THOUSAND THIRTEEN, TO
THE  EXTENT  REQUIRED TO FULLY FUND THE THEN CURRENT PAYMENT AND RESERVE
REQUIREMENTS UNDER SUCH FINANCING AGREEMENT; AND SECOND,  IN  ACCORDANCE
WITH  EACH SPECIAL DISABILITY FUND FINANCING AGREEMENT AND EACH SELF-IN-
SURED BOND FINANCING AGREEMENT, TO THE EXTENT REQUIRED TO FULLY FUND THE
THEN CURRENT PAYMENT AND RESERVE REQUIREMENTS UNDER EACH SUCH  FINANCING
AGREEMENT  ENTERED  INTO AFTER MARCH THIRTY-FIRST, TWO THOUSAND THIRTEEN
WITH RESPECT TO BONDS ISSUED BY THE DORMITORY  AUTHORITY    PURSUANT  TO
EITHER  SECTION  SIXTEEN  HUNDRED  EIGHTY-L  OR  SECTION SIXTEEN HUNDRED
EIGHTY-Q OF THE PUBLIC AUTHORITIES LAW, ON A PARI  PASSU  BASIS  WITHOUT
PREFERENCE OR PRIORITY AMONG ALL SUCH OTHER BONDS. SUCH MONIES SHALL NOT
BE  COMMINGLED WITH ANY OTHER MONIES IN THE COMMISSIONER'S CUSTODY PRIOR
TO THE COMPLETION OF SUCH APPLICATION AND SHALL NOT BE DEEMED TO BE PART
OF THE STATE TREASURY OR OF ANY FUNDS UNDER  MANAGEMENT  OF  THE  STATE.
THIS  SECTION SHALL NOT BE DEEMED TO AUTHORIZE ANY INFRINGEMENT UPON THE
RIGHTS OF HOLDERS OF SUCH BONDS  ISSUED  OR  TO  BE  ISSUED  UNDER  SUCH
SECTIONS  OF  THE PUBLIC AUTHORITIES LAW. THE PROVISIONS OF THIS SECTION
MAY BE INCLUDED BY THE DORMITORY AUTHORITY  IN  ANY  CONTRACT  WITH  THE
HOLDERS OF ANY SUCH BONDS.  THE OPERATION OF THIS SECTION AND THE APPLI-
CATION  OF  THE  RECEIPTS  OF  THE ASSESSMENT AUTHORIZED BY THIS SECTION
SHALL BE SUBJECT TO THE PROVISIONS OF EACH FINANCING  AGREEMENT  AUTHOR-
IZED PURSUANT TO SUBPARAGRAPH FOUR OF PARAGRAPH (H) OF SUBDIVISION EIGHT
OF  SECTION  FIFTEEN  OR  TO  SECTION  FIFTY-C  OF THIS CHAPTER AND THIS
SECTION SHALL NOT BE DEEMED  TO  AUTHORIZE  ANY  INFRINGEMENT  UPON  THE
RIGHTS  OF  HOLDERS  OF  BONDS ISSUED OR TO BE ISSUED PURSUANT TO EITHER
SUCH PROVISION.
  9. THE PROVISIONS OF THIS SECTION SHALL  NOT  APPLY  WITH  RESPECT  TO
POLICIES CONTAINING COVERAGE PURSUANT TO PARAGRAPH ONE OF SUBSECTION (J)
OF  SECTION  THREE  THOUSAND  FOUR  HUNDRED  TWENTY OF THE INSURANCE LAW
RELATING TO EVERY  POLICY  PROVIDING  COMPREHENSIVE  PERSONAL  LIABILITY
INSURANCE ON A ONE, TWO, THREE OR FOUR FAMILY OWNER-OCCUPIED DWELLING.
  10. IF THE ASSESSMENTS COLLECTED PURSUANT TO THIS SECTION ARE INSUFFI-
CIENT  TO  MEET  THE OBLIGATIONS FINANCED BY THE ASSESSMENTS, THE CHAIR,
FOR A PERIOD OF THREE YEARS, MAY BORROW ANY  SHORTFALL  FROM  THE  STATE

S. 2607--D                         155                        A. 3007--D

INSURANCE  FUND  WITH ANY BORROWING TO BE ADDED TO THE ASSESSMENTS UNDER
THIS SECTION AND REPAID THE FOLLOWING YEAR TO THE STATE  INSURANCE  FUND
WITH INTEREST AT THE STATE INSURANCE FUND'S THEN CURRENT RATE OF RETURN.
  11.  EFFECTIVE  IMMEDIATELY,  NOTWITHSTANDING ANY LAW TO THE CONTRARY,
PURSUANT TO THE PROVISIONS OF THIS CHAPTER, THE ASSESSMENT RESERVES HELD
BY THE STATE INSURANCE FUND FOR THE PAYMENT OF FUTURE ASSESSMENTS ARE NO
LONGER REQUIRED AND ALL FUNDS AND INVESTMENTS HELD BY THE  STATE  INSUR-
ANCE FUND RELATED TO THE ASSESSMENT RESERVES SHALL BE TRANSFERRED TO THE
CHAIR  OF  THE  WORKERS'  COMPENSATION BOARD AS SOON AS PRACTICABLE. THE
COMMISSIONER OF TAXATION AND FINANCE SHALL BE CUSTODIAN OF  SUCH  FUNDS,
WHICH  SHALL  NOT BE COMMINGLED WITH OTHER FUNDS OF THE WORKERS' COMPEN-
SATION BOARD, AND MAY INVEST SUCH FUNDS IN THE SAME  MANNER  AS  SURPLUS
FUNDS  HELD  BY  THE STATE INSURANCE FUND PURSUANT TO SUBDIVISION TWO OF
SECTION EIGHTY-SEVEN OF THIS CHAPTER.  DISBURSEMENTS OF SUCH FUNDS SHALL
BE MADE BY SUCH COMMISSIONER UPON WRITTEN WARRANT OF THE  CHAIR  OF  THE
WORKERS' COMPENSATION BOARD OR THE CHAIR'S DESIGNEE.
  AT  THE REQUEST OF THE DIRECTOR OF THE BUDGET, SUCH MONEYS TRANSFERRED
TO THE CHAIR OF THE WORKERS' COMPENSATION BOARD SHALL BE DISTRIBUTED  AS
FOLLOWS:
  (A)  AS  SOON AS PRACTICABLE AFTER APRIL FIRST, TWO THOUSAND THIRTEEN,
THE CHAIR OF THE WORKERS' COMPENSATION BOARD SHALL TRANSFER TWO  HUNDRED
FIFTY  MILLION DOLLARS TO THE GENERAL FUND FOR DEBT MANAGEMENT OR FISCAL
UNCERTAINTIES.
  (B) AS SOON AS PRACTICABLE AFTER APRIL FIRST, TWO  THOUSAND  FOURTEEN,
THE  CHAIR OF THE WORKERS' COMPENSATION BOARD SHALL TRANSFER ONE BILLION
DOLLARS TO THE GENERAL FUND FOR THE PURPOSE OF REDUCING BUDGET GAPS.
  (C) AS SOON AS PRACTICABLE AFTER APRIL FIRST,  TWO  THOUSAND  FIFTEEN,
THE  CHAIR OF THE WORKERS' COMPENSATION BOARD SHALL TRANSFER TWO HUNDRED
FIFTY MILLION DOLLARS TO THE GENERAL FUND FOR THE  PURPOSE  OF  REDUCING
BUDGET GAPS.
  (D)  AS  SOON  AS PRACTICABLE AFTER APRIL FIRST, TWO THOUSAND SIXTEEN,
THE CHAIR OF THE WORKERS' COMPENSATION BOARD SHALL TRANSFER TWO  HUNDRED
FIFTY  MILLION  DOLLARS  TO THE GENERAL FUND FOR THE PURPOSE OF REDUCING
BUDGET GAPS.
  (E) ANY AND ALL FUNDS REMAINING AFTER ACCOUNTING FOR THE TRANSFERS SET
FORTH ABOVE MAY, AT THE DISCRETION OF THE DIRECTOR OF THE BUDGET, EITHER
REMAIN WITH THE WORKERS' COMPENSATION BOARD OR  BE  TRANSFERRED  TO  THE
GENERAL  FUND  FOR  THE  PURPOSE OF REDUCING BUDGET GAPS OR TO THE STATE
INSURANCE FUND. THE BUDGET DIRECTOR, ACTING  IN  CONSULTATION  WITH  THE
CHAIR  OF  THE  WORKERS' COMPENSATION BOARD, SHALL DETERMINE WHETHER ANY
MONEY RETURNED TO THE STATE INSURANCE FUND IS A LOAN OR A  TRANSFER  AND
THE  TERMS  AND  CONDITIONS  THEREIN. ANY FUNDS TRANSFERRED OR LOANED TO
THE STATE INSURANCE FUND UPON  THE  BUDGET  DIRECTOR'S  REQUEST  MAY  BE
INVESTED  IN  A MANNER CONSISTENT WITH INVESTMENT GUIDELINES PURSUANT TO
SUBDIVISION TWO OF SECTION EIGHTY-SEVEN  OF  THE  WORKERS'  COMPENSATION
LAW.
  ANNUALLY, THE STATE INSURANCE FUND AND THE WORKERS' COMPENSATION BOARD
WILL  PROVIDE  TO  THE  DIRECTOR  OF THE BUDGET, THE CHAIR OF THE SENATE
FINANCE COMMITTEE, AND THE CHAIR OF THE ASSEMBLY WAYS AND MEANS  COMMIT-
TEE,  AN  ACCOUNTING  OF  SUCH FUNDS AND ALL ASSOCIATED INCOME RECEIVED.
SUCH ACCOUNTING WILL CONTINUE UNTIL  MARCH  THIRTY-FIRST,  TWO  THOUSAND
SEVENTEEN.
  12. THE CHAIR SHALL PROMULGATE REGULATIONS TO CARRY OUT THE PROVISIONS
OF THIS SECTION.
  13.  TO  EFFECTUATE  AN  EFFICIENT  ASSESSMENT  PROCESS AND THE PROPER
MANAGEMENT OF THE WORKERS' COMPENSATION SYSTEM ALL DATA IN POSSESSION OF

S. 2607--D                         156                        A. 3007--D

THE COMPENSATION INSURANCE RATING BOARD SHALL BE MADE AVAILABLE  TO  THE
BOARD AND THE DEPARTMENT OF FINANCIAL SERVICES UPON REQUEST.
  14. THE CHAIR MAY CONDUCT PERIODIC AUDITS OF ANY EMPLOYER, SELF-INSUR-
ER, INSURANCE CARRIER AND THE STATE INSURANCE FUND CONCERNING ANY INFOR-
MATION OR PAYMENT REQUIRED UNDER THIS SECTION, INCLUDING ANY INFORMATION
RELEVANT TO THE PAYMENT OR CALCULATION OF ANY ASSESSMENTS. THE EMPLOYER,
SELF-INSURER,  INSURANCE  CARRIER  AND  THE  STATE  INSURANCE FUND SHALL
PROVIDE ALL NECESSARY DOCUMENTS AND INFORMATION IN RELATION TO AN  AUDIT
IN A MANNER PRESCRIBED BY THE CHAIR. UPON THE DETERMINATION OF THE CHAIR
THAT AN EMPLOYER, SELF-INSURER, INSURANCE CARRIER OR THE STATE INSURANCE
FUND  HAS  UNDERPAID AN ASSESSMENT AS A RESULT OF ITS INACCURATE REPORT-
ING, THE EMPLOYER, SELF-INSURER, INSURANCE CARRIER OR THE  STATE  INSUR-
ANCE  FUND  UPON NOTICE FROM THE CHAIR, SHALL PAY THE FULL AMOUNT OF THE
UNDERPAID ASSESSMENT, ALONG WITH INTEREST AT THE RATE OF NINE  PER  CENT
PER  ANNUM ON THE UNPAID ASSESSMENT DUE NOT LATER THAN THIRTY DAYS AFTER
SUCH NOTICE.  AN INSURANCE CARRIER OR EMPLOYER THAT  KNOWINGLY  MAKES  A
MATERIAL  MISREPRESENTATION  OF  INFORMATION REQUIRED FOR THE PURPOSE OF
EFFECTUATING THIS SECTION SHALL BE GUILTY OF A CLASS E FELONY.
  S 23. Subdivision 5 of section 54 of the workers' compensation law, as
amended by chapter 164 of the laws of 1992 and the closing paragraph  as
added by chapter 322 of the laws of 2008, is amended to read as follows:
  5. Cancellation and termination of insurance contracts. No contract of
insurance issued by an insurance carrier against liability arising under
this chapter shall be cancelled within the time limited in such contract
for  its  expiration unless notice is given as required by this section.
When cancellation is due to non-payment  of  premiums  AND  ASSESSMENTS,
such cancellation shall not be effective until at least ten days after a
notice  of  cancellation  of  such contract, on a date specified in such
notice, shall be filed in the office of the chair and also served on the
employer.  When cancellation is due to any reason other than non-payment
of premiums AND ASSESSMENTS, such cancellation shall  not  be  effective
until  at  least  thirty  days  after  a  notice of cancellation of such
contract, on a date specified in such notice,  shall  be  filed  in  the
office  of the chair and also served on the employer; provided, however,
in either case, that if the employer has secured insurance with  another
insurance carrier which becomes effective prior to the expiration of the
time  stated  in  such notice, the cancellation shall be effective as of
the date of such other coverage. No insurer shall refuse  to  renew  any
policy  insuring  against liability arising under this chapter unless at
least thirty days prior to its expiration notice  of  intention  not  to
renew  has  been filed in the office of the chair and also served on the
employer.
  Such notice shall be served on the employer by delivering it  to  him,
her  or  it or by sending it by mail, by certified or registered letter,
return receipt requested, addressed to the employer at his, her  or  its
last  known place of business; provided that, if the employer be a part-
nership, then such notice may be so given to any of one of the partners,
and if the employer be a corporation then the notice may be given to any
agent or officer of the corporation  upon  whom  legal  process  may  be
served;  and  further provided that an employer may designate any person
or entity at any address to receive such  notice  including  the  desig-
nation  of  one person or entity to receive notice on behalf of multiple
entities insured under one insurance policy and that service  of  notice
at  the address so designated upon the person or entity so designated by
delivery or by mail, by certified or registered letter,  return  receipt
requested,  shall  satisfy  the  notice  requirement  of  this  section.

S. 2607--D                         157                        A. 3007--D

Provided, however, the right to cancellation of a policy of insurance in
the state fund shall be exercised only for non-payment of  premiums  AND
ASSESSMENTS or as provided in section ninety-four of this chapter.
  The  provisions  of  this  subdivision shall not apply with respect to
policies containing coverage pursuant to subsection (j) of section three
thousand four hundred twenty of the  insurance  law  relating  to  every
policy  providing  comprehensive  personal liability insurance on a one,
two, three or four family owner-occupied dwelling.
  In the event such cancellation or termination notice is not filed with
the chair within the required time period,  the  chair  shall  impose  a
penalty  in  the  amount  of up to five hundred dollars for each ten-day
period the insurance carrier or state insurance fund failed to file  the
notification. All penalties collected pursuant to this subdivision shall
be deposited in the uninsured employers' fund.
  S 24. Section 93 of the workers' compensation law, as amended by chap-
ter  94 of the laws of 1988 and subdivisions b and c as amended by chap-
ter 635 of the laws of 1996, is amended to read as follows:
  S 93. Collection of premium in case of default. a. If  a  policyholder
shall  default  in  any  payment required to be made by him to the state
insurance fund after due notice, his insurance in the state fund may  be
cancelled and the amount due from him shall be collected by civil action
brought against him in any county wherein the state insurance fund main-
tains  an office in the name of the commissioners of the state insurance
fund and the same when collected, shall be paid into the state insurance
fund, and such policyholder's compliance with  the  provisions  of  this
chapter  requiring payments to be made to the state insurance fund shall
date from the time of the payment of said money to the  state  insurance
fund.
  b.  An  employer,  whose policy of insurance has been cancelled by the
state insurance fund for non-payment of premium AND ASSESSMENTS or with-
draws pursuant to section ninety-four of this article, is ineligible  to
contract  for  a subsequent policy of insurance with the state insurance
fund while the billed premium on the  cancelled  policy  remains  uncol-
lected.
  c. The state insurance fund shall not be required to write a policy of
insurance  for any employer which is owned or controlled or the majority
interest of which is owned or controlled, directly or indirectly, by any
person  who  directly  or  indirectly  owns  or  controls  or  owned  or
controlled  at  the time of cancellation an employer whose former policy
of insurance with the state insurance fund was cancelled for non-payment
of premium AND ASSESSMENTS or withdraws pursuant to section  ninety-four
of  this article or who is or was at the time of cancellation the presi-
dent, vice-president, secretary or treasurer of such an  employer  until
the billed premium on the cancelled policy is paid.
  For  purposes of this subdivision, "person" shall include individuals,
partnerships, corporations, and other associations.
  S 25. Section 146 of the workers' compensation law, as added by  chap-
ter 74 of the laws of 1945, is amended to read as follows:
  S  146. Offices of the board. [The principal office of the board shall
be in the city of Albany.] There shall be [also] an office OF THE  BOARD
in  the  city of New York and at such other place or places in the state
as may be required properly and conveniently to transact the business of
the board. The board may meet and exercise any or all of its  powers  at
any place in the state.
  S  26. Section 214 of the workers' compensation law, as added by chap-
ter 600 of the laws of 1949, the opening paragraph as amended by chapter

S. 2607--D                         158                        A. 3007--D

653 of the laws of 1958, subdivision 2 as amended by chapter 187 of  the
laws  of  1983,  subdivision  3 as amended by chapter 629 of the laws of
1958, subdivision 4 as amended by chapter 727 of the laws of 1950 and as
further  amended  by  section 104 of part A of chapter 62 of the laws of
2011, and subdivision 5 as added by chapter 18 of the laws of  2010,  is
amended to read as follows:
  S 214. Special fund for disability benefits. There is hereby created a
fund which shall be known as the special fund for disability benefits to
provide  for  the  payment  of  disability  benefits  under sections two
hundred seven, two hundred thirteen and attendance fees under  [subdivi-
sion two of] section two hundred thirty-two of this article.
  1.  [For  the purpose of accumulating funds for payment of benefits to
the disabled unemployed, there is hereby assessed a contribution at  the
rate of two-tenths of one per centum of the wages paid during the period
from  January  first, nineteen hundred fifty to June thirtieth, nineteen
hundred fifty inclusive, to  employees  in  the  employment  of  covered
employers  on or after January first, nineteen hundred fifty, but not in
excess of twelve cents per week as to each such employee, of  which  the
employee  shall  contribute one-tenth of one per centum of his wages but
not in excess of six cents per week, and  the  employer  shall  make  an
equal  contribution. The contributions of the employee shall be deducted
from his wages in the same manner as provided  in  section  two  hundred
nine. On or before April thirtieth, nineteen hundred fifty, the employer
shall  pay  to the chairman the contributions with respect to wages paid
during the quarterly period ending March thirty-first, nineteen  hundred
fifty,  and  on or before July thirty-first, nineteen hundred fifty, the
employer shall pay to the chairman the  contributions  with  respect  to
wages  paid  during the quarterly period ending June thirtieth, nineteen
hundred fifty.
  2.] As promptly as practicable after April  first,  [nineteen  hundred
fifty-eight  and  thereafter annually as soon as practicable after April
first] in each year, the chairman shall ascertain the condition  of  the
fund, and if as of any such date the net assets of the fund shall be one
million  dollars  or  more  below the sum of twelve million dollars, the
chairman shall assess and collect [from all carriers hereinafter  speci-
fied]  an  amount  sufficient  to restore the fund to an amount equal to
twelve million dollars. [Carriers subject to this  assessment  shall  be
such  carriers  as shall have covered employees in employment during the
preceding three calendar years or any portion or portions  thereof.  The
proportion  of  the  total  assessment to be assessed upon and collected
from each carrier shall be that proportion thereof that the total of the
payrolls covered by such carrier during said three calendar years  bears
to  the  total  of all such payrolls covered by all such carriers during
said three calendar years, except that the term "payrolls" as used here-
in shall be deemed limited to the first seven thousand dollars of  earn-
ings  of  each  employee  during any calendar year and except that there
shall be excluded the payroll of employees of a  class  or  classes  for
whom  plan benefits provided under this article are payable during unem-
ployment for a period not less than the period provided in  section  two
hundred  seven under an agreement between the employer or an association
of employers and an association of the employees which has been accepted
as a plan under section two hundred eleven. The chairman, before  making
an  assessment  as herein provided, shall give thirty days notice to all
such carriers, in the same manner provided in section two hundred  twen-
ty-eight,  that  an  itemized  statement of the condition of the fund is
open for inspection]. SUCH ASSESSMENT SHALL BE INCLUDED IN  THE  ASSESS-

S. 2607--D                         159                        A. 3007--D

MENT RATE ESTABLISHED PURSUANT TO SUBDIVISION TWO OF SECTION ONE HUNDRED
FIFTY-ONE  OF THIS CHAPTER. SUCH ASSESSMENTS SHALL BE DEPOSITED WITH THE
COMMISSIONER OF TAXATION AND FINANCE AND TRANSFERRED TO THE  BENEFIT  OF
SUCH  FUND UPON PAYMENT OF DEBT SERVICE, IF ANY, PURSUANT TO SECTION ONE
HUNDRED FIFTY-ONE OF THIS CHAPTER.
  [3.] 2. Whenever the net assets of the fund shall be less  than  three
million  dollars  and  the  disability claims currently being paid shall
indicate the necessity of supplementing the assets of the  fund  [before
the  next  annual  assessment can be made,] the chairman may [assess and
collect for all such carriers, in the same proportions  established  for
the  last  preceding  annual assessment,] TRANSFER FROM MONIES COLLECTED
PURSUANT TO SUBDIVISION TWO OF SECTION ONE  HUNDRED  FIFTY-ONE  OF  THIS
CHAPTER  an  amount sufficient in the discretion of the chairman for the
needs of the fund, but not in excess of an amount sufficient to  restore
the  fund  to  twelve million dollars. [Before making any such emergency
assessment the chairman shall give thirty days notice to  such  carriers
in  the  same manner as provided with respect to annual assessments, and
an itemized statement of the  condition  of  the  fund  shall,  in  like
manner, be open for inspection.]
  [4.]  3.  All  contributions  and assessments received by the chairman
under the provisions of this section shall be credited to the fund here-
in established and deposited by  the  chairman  to  the  credit  of  the
commissioner  of  taxation  and finance for the benefit of the fund. The
superintendent of financial services may examine into the  condition  of
the  fund  at  any time on his own initiative or upon the request of the
chairman.
  [5. Notwithstanding any inconsistent provision of law to the contrary,
effective April first, two  thousand  nine,  any  amounts  available  in
excess of the maximum net asset balance of twelve million dollars pursu-
ant  to  subdivision  two  of  this section, shall be transferred by the
comptroller to the general fund, at the request of the director  of  the
budget.]
  S  27.  Section 228 of the workers' compensation law is REPEALED and a
new section 228 is added to read as follows:
  S 228. ADMINISTRATIVE  EXPENSES.  1.  THE  ESTIMATED  ANNUAL  EXPENSES
NECESSARY   FOR  THE  WORKERS'  COMPENSATION  BOARD  TO  ADMINISTER  THE
PROVISIONS OF THE DISABILITY BENEFITS LAW SHALL BE BORNE BY ALL AFFECTED
EMPLOYERS AND INCLUDED AS PART OF THE ASSESSMENT RATE GENERATED PURSUANT
TO SUBDIVISION TWO OF SECTION ONE HUNDRED FIFTY-ONE OF THIS CHAPTER.
  2. ANNUALLY, AS SOON AS PRACTICABLE AFTER THE FIRST DAY OF APRIL,  THE
CHAIR  AND  DEPARTMENT  OF  AUDIT  AND CONTROL SHALL ASCERTAIN THE TOTAL
AMOUNT OF ACTUAL EXPENSES.
  S 28.  Subdivision 6 of section 3 of the volunteer firefighters' bene-
fit law is amended to read as follows:
  6. "Surviving spouse" means the legal [wife of a deceased male  volun-
teer  fireman  or the legal husband of a deceased female volunteer fire-
man, as the case may be,] SPOUSE OF A  DECEASED  VOLUNTEER  FIREFIGHTER,
but  shall not include a spouse who has abandoned the deceased. The term
"abandoned", as used in this subdivision, means such an  abandonment  as
would be sufficient under section [eleven hundred sixty-one of the civil
practice  act]  TWO  HUNDRED  OF THE DOMESTIC RELATIONS LAW to sustain a
judgment of separation on that ground.
  S 29. Section  60  of  the  volunteer  firefighters'  benefit  law  is
REPEALED and a new section 60 is added to read as follows:
  S 60. ASSESSMENT FOR EXPENSES. 1. THE ESTIMATED ANNUAL EXPENSES NECES-
SARY FOR THE WORKERS' COMPENSATION BOARD TO ADMINISTER THE PROVISIONS OF

S. 2607--D                         160                        A. 3007--D

THE  VOLUNTEER  FIREFIGHTERS' BENEFIT LAW SHALL BE BORNE BY ALL AFFECTED
EMPLOYERS AND INCLUDED AS PART OF THE ASSESSMENT RATE GENERATED PURSUANT
TO SUBDIVISION TWO OF SECTION ONE  HUNDRED  FIFTY-ONE  OF  THE  WORKERS'
COMPENSATION LAW.
  2. ANNUALLY, THE CHAIR OF THE DEPARTMENT OF AUDIT AND CONTROL, AS SOON
AS  PRACTICABLE  AFTER  THE  FIRST  OF  APRIL, SHALL ASCERTAIN THE TOTAL
AMOUNT OF ACTUAL EXPENSES.
  S 30.  Subdivision 6 of section 3 of the volunteer ambulance  workers'
benefit law is amended to read as follows:
  6.  "Surviving spouse" means the legal [wife of a deceased male volun-
teer ambulance worker or the legal husband of a deceased female]  SPOUSE
OF  A  DECEASED  volunteer  ambulance  worker[, as the case may be], but
shall not include a spouse who has  abandoned  the  deceased.  The  term
"abandoned",  as  used in this subdivision, means such an abandonment as
would be sufficient under section two hundred of the domestic  relations
law to sustain a judgment of separation on that ground.
  S  31.  Section  60 of the volunteer ambulance workers' benefit law is
REPEALED and a new section 60 is added to read as follows:
  S 60. ASSESSMENT FOR EXPENSES. 1. THE ESTIMATED ANNUAL EXPENSES NECES-
SARY FOR THE WORKERS' COMPENSATION BOARD TO ADMINISTER THE PROVISIONS OF
THE VOLUNTEER AMBULANCE WORKERS' BENEFIT  LAW  SHALL  BE  BORNE  BY  ALL
AFFECTED EMPLOYERS AND INCLUDED AS PART OF THE ASSESSMENT RATE GENERATED
PURSUANT  TO  SUBDIVISION  TWO  OF  SECTION ONE HUNDRED FIFTY-ONE OF THE
WORKERS' COMPENSATION LAW.
  2. ANNUALLY, THE CHAIR OF THE DEPARTMENT OF AUDIT AND CONTROL, AS SOON
AS PRACTICABLE AFTER THE FIRST  OF  APRIL,  SHALL  ASCERTAIN  THE  TOTAL
AMOUNT OF ACTUAL EXPENSES.
  S 32. Section 50 of the workers' compensation law is amended by adding
a new subdivision 12 to read as follows:
  12.  THE  CHAIR,  WITH THE APPROVAL OF THE DIRECTOR OF THE BUDGET, MAY
REQUEST THE ISSUANCE OF BONDS BY THE DORMITORY AUTHORITY FOR ONE OR MORE
OF THE PURPOSES AUTHORIZED BY SECTION SIXTEEN HUNDRED  EIGHTY-Q  OF  THE
PUBLIC  AUTHORITIES  LAW  AND BY A SELF-INSURED BOND FINANCING AGREEMENT
AUTHORIZED BY SECTION FIFTY-C OF THIS ARTICLE. THE NET PROCEEDS OF  SUCH
BONDS  SHALL BE DEPOSITED INTO THE SELF-INSURER OFFSET FUND OR AS OTHER-
WISE PROVIDED BY THE APPLICABLE SELF-INSURED BOND FINANCING AGREEMENT.
  S 33. Subdivision 4 of section 50-a of the workers'  compensation  law
is  renumbered subdivision 5 and a new subdivision 4 is added to read as
follows:
  4. TO THE EXTENT PROVIDED BY THE SELF-INSURER BOND FINANCING AGREEMENT
THE CHAIR MAY REQUEST THE DORMITORY AUTHORITY TO TRANSFER BOND  PROCEEDS
INTO SUCH ACCOUNT FOR THE PURPOSES OUTLINED IN THE BOND FINANCING AGREE-
MENT.
  S 34. The workers' compensation law is amended by adding a new section
50-c to read as follows:
  S  50-C.  SELF-INSURED  BONDS.  1. THE CHAIR, WITH THE COMMISSIONER OF
TAXATION AND FINANCE, IS AUTHORIZED TO ENTER INTO A FINANCING  AGREEMENT
WITH  THE  DORMITORY  AUTHORITY,  TO  BE KNOWN AS THE "SELF-INSURED BOND
FINANCING AGREEMENT". SUCH AGREEMENT SHALL SET  FORTH  THE  PROCESS  FOR
CALCULATING  THE  ANNUAL  DEBT  SERVICE OF BONDS ISSUED BY THE DORMITORY
AUTHORITY AND ANY OTHER ASSOCIATED COSTS IN CONNECTION WITH THE SELF-IN-
SURER OFFSET FUND, AS SET FORTH IN SECTION SIXTEEN HUNDRED  EIGHTY-Q  OF
THE  PUBLIC  AUTHORITIES  LAW. FOR PURPOSES OF THIS SECTION, "ASSOCIATED
COSTS" MAY INCLUDE A COVERAGE FACTOR,  RESERVE  FUND  REQUIREMENTS,  ALL
COSTS  OF  ANY  NATURE INCURRED BY THE DORMITORY AUTHORITY IN CONNECTION
WITH THE SELF-INSURED BOND FINANCING AGREEMENT OR PURSUANT THERETO,  THE

S. 2607--D                         161                        A. 3007--D

COSTS  OF  ANY INDEPENDENT AUDITS UNDERTAKEN UNDER THIS SECTION, AND ANY
OTHER COSTS FOR THE IMPLEMENTATION OF THIS SUBDIVISION AND THE  ISSUANCE
OF  BONDS  BY  THE DORMITORY AUTHORITY, INCLUDING INTEREST RATE EXCHANGE
PAYMENTS, REBATE PAYMENTS, LIQUIDITY FEES, CREDIT PROVIDER FEES, FIDUCI-
ARY  FEES, REMARKETING, DEALER, AUCTION AGENT AND RELATED FEES AND OTHER
SIMILAR BOND-RELATED EXPENSES, UNLESS  OTHERWISE  FUNDED.  BY  SEPTEMBER
FIRST  OF  EACH YEAR, THE DORMITORY AUTHORITY SHALL PROVIDE TO THE CHAIR
THE CALCULATION OF THE AMOUNT EXPECTED  TO  BE  PAID  BY  THE  DORMITORY
AUTHORITY IN DEBT SERVICE AND ASSOCIATED COSTS FOR PURPOSES OF CALCULAT-
ING  THE  ASSESSMENTS  FOR  THE  DEBT  SERVICE PORTION OF THE ASSESSMENT
PROVIDED FOR UNDER THIS CHAPTER. ALL MONIES RECEIVED ON ACCOUNT OF  SUCH
ASSESSMENTS  SHALL  BE  APPLIED IN ACCORDANCE WITH THIS CHAPTER AND WITH
THE SELF-INSURED BOND FINANCING  AGREEMENT  UNTIL  THE  FINANCIAL  OBLI-
GATIONS  OF  THE DORMITORY AUTHORITY IN RESPECT TO ITS CONTRACT WITH ITS
BONDHOLDERS ARE MET AND ALL ASSOCIATED COSTS PAYABLE TO OR BY THE DORMI-
TORY AUTHORITY HAVE BEEN PAID, NOTWITHSTANDING ANY  OTHER  PROVISION  OF
LAW  RESPECTING  SECURED TRANSACTIONS. THIS PROVISION MAY BE INCLUDED BY
THE DORMITORY AUTHORITY IN ANY CONTRACT OF THE DORMITORY AUTHORITY  WITH
ITS  BONDHOLDERS. THE SELF-INSURED BOND FINANCING AGREEMENT MAY RESTRICT
DISBURSEMENTS, INVESTMENTS, OR REBATES, AND MAY PRESCRIBE  A  SYSTEM  OF
ACCOUNTS  APPLICABLE  TO THE SELF-INSURER OFFSET FUND AS CONSISTENT WITH
THE PROVISIONS OF THIS CHAPTER GOVERNING SUCH FUND, INCLUDING CUSTODY OF
FUNDS AND ACCOUNTS WITH A TRUSTEE THAT MAY BE PRESCRIBED BY THE DORMITO-
RY AUTHORITY AS PART OF ITS CONTRACT WITH THE BONDHOLDERS. FOR  PURPOSES
OF  THIS  SUBDIVISION,  THE  TERM  "BONDS" SHALL INCLUDE NOTES ISSUED IN
ANTICIPATION OF THE ISSUANCE OF BONDS, OR NOTES  ISSUED  PURSUANT  TO  A
COMMERCIAL PAPER PROGRAM.
  2.  THE  CHAIR  IS  HEREBY  AUTHORIZED  TO  RECEIVE  AND CREDIT TO THE
SELF-INSURER OFFSET FUND ANY SUM  OR  SUMS  THAT  MAY  AT  ANY  TIME  BE
CONTRIBUTED  TO  THE STATE BY THE UNITED STATES OF AMERICA UNDER ANY ACT
OF CONGRESS, OR OTHERWISE, TO WHICH THE STATE MAY BE OR BECOME  ENTITLED
BY REASON OF ANY PAYMENTS MADE OUT OF SUCH FUND.
  3.  NOTWITHSTANDING  ANY OTHER LAW TO THE CONTRARY, THE CHAIR SHALL BE
THE CUSTODIAN OF THE SELF-INSURER  OFFSET  FUND  AND,  UNLESS  OTHERWISE
PROVIDED  FOR  IN THE SELF-INSURED BOND FINANCING AGREEMENT, THE COMMIS-
SIONER OF TAXATION AND FINANCE  SHALL  INVEST  ANY  SURPLUS  OR  RESERVE
MONEYS  THEREOF  IN  SECURITIES  WHICH  CONSTITUTE LEGAL INVESTMENTS FOR
SAVINGS BANKS UNDER THE LAWS OF  THIS  STATE  AND  IN  INTEREST  BEARING
CERTIFICATES  OF  DEPOSIT OF A BANK OR TRUST COMPANY LOCATED AND AUTHOR-
IZED TO DO BUSINESS IN THIS STATE OR OF A NATIONAL BANK LOCATED IN  THIS
STATE  SECURED BY A PLEDGE OF DIRECT OBLIGATIONS OF THE UNITED STATES OR
OF THE STATE OF NEW YORK IN AN  AMOUNT  EQUAL  TO  THE  AMOUNT  OF  SUCH
CERTIFICATES  OF  DEPOSIT, AND MAY SELL ANY OF THE SECURITIES OR CERTIF-
ICATES OF DEPOSIT IN WHICH SUCH FUND IS INVESTED IF  NECESSARY  FOR  THE
PROPER  ADMINISTRATION  OR  IN THE BEST INTEREST OF SUCH FUND. DISBURSE-
MENTS FROM SUCH FUND AS PROVIDED BY THIS SUBDIVISION SHALL  BE  MADE  BY
THE  COMMISSIONER  OF  TAXATION AND FINANCE UNLESS THE SELF-INSURED BOND
FINANCING AGREEMENT PROVIDES FOR SOME OTHER MEANS  OF  AUTHORIZING  SUCH
DISBURSEMENTS  THAT  IS NO LESS PROTECTIVE OF THE FUND. THE COMMISSIONER
OF TAXATION AND FINANCE AS SOON AS PRACTICABLE AFTER  JANUARY  FIRST  OF
EACH  YEAR,  SHALL FURNISH TO THE CHAIR A STATEMENT OF THE FUND, SETTING
FORTH THE BALANCE OF MONEYS IN THE SAID FUND AS OF THE BEGINNING OF  THE
CALENDAR  YEAR,  THE  INCOME OF THE FUND, THE SUMMARY OF PAYMENTS OUT OF
THE FUND ON ACCOUNT OF REIMBURSEMENTS AND OTHER CHARGES  ORDERED  TO  BE
PAID  BY  THE  BOARD, AND ALL OTHER CHARGES AGAINST THE FUND AND SETTING
FORTH THE BALANCE OF THE FUND REMAINING  TO  ITS  CREDIT  ON  THE  PRIOR

S. 2607--D                         162                        A. 3007--D

DECEMBER  THIRTY-FIRST  OF  EACH  YEAR.  SUCH STATEMENT SHALL BE OPEN TO
PUBLIC INSPECTION IN THE OFFICE OF THE SECRETARY  OF  THE  BOARD.    THE
CHAIR  SHALL  INCLUDE IN THE REPORTS TO THE GOVERNOR, THE SPEAKER OF THE
ASSEMBLY  AND  THE  TEMPORARY  PRESIDENT  OF  THE  SENATE AS REQUIRED BY
SECTION NINE OF PART G OF CHAPTER FIFTY-SEVEN OF THE LAWS OF  TWO  THOU-
SAND  ELEVEN,  A SUMMARY OF THE STATUS OF THE BONDING PROGRAM AUTHORIZED
BY THIS SECTION.  THE COMMISSIONER OF TAXATION AND FINANCE MAY ESTABLISH
WITHIN THE SELF-INSURER OFFSET FUND SUCH ACCOUNTS AND SUB-ACCOUNTS AS HE
OR SHE DEEMS USEFUL FOR THE OPERATION OF THE FUND, OR  AS  NECESSARY  TO
SEGREGATE  MONEYS  WITHIN  THE  FUND,  SUBJECT  TO THE PROVISIONS OF THE
SELF-INSURED BOND FINANCING AGREEMENT AND OF THIS CHAPTER.
  S 35. The public authorities law is amended by adding  a  new  section
1680-q to read as follows:
  S  1680-Q. SELF-INSURED BOND FINANCING. 1. AS USED IN THIS SECTION THE
FOLLOWING TERMS SHALL HAVE THE FOLLOWING MEANINGS:
  (A) "ANCILLARY BOND FACILITY" MEANS  ANY  INTEREST  RATE  EXCHANGE  OR
SIMILAR  AGREEMENT  OR  ANY  BOND  INSURANCE POLICY, LETTER OF CREDIT OR
OTHER  CREDIT  ENHANCEMENT  FACILITY,  LIQUIDITY  FACILITY,   GUARANTEED
INVESTMENT  OR  REINVESTMENT  AGREEMENT,  OR  OTHER  SIMILAR  AGREEMENT,
ARRANGEMENT OR CONTRACT.
  (B) "BENEFITED PARTY" MEANS  ANY  PERSON,  FIRM  OR  CORPORATION  THAT
ENTERS  INTO  AN ANCILLARY BOND FACILITY WITH THE AUTHORITY ACCORDING TO
THE PROVISIONS OF THIS SECTION.
  (C) "BONDS" MEANS ANY BONDS, NOTES, CERTIFICATES OF PARTICIPATION  AND
OTHER  EVIDENCE  OF  INDEBTEDNESS  ISSUED  BY  THE AUTHORITY PURSUANT TO
SUBDIVISION FIVE OF THIS SECTION.
  (D) "BOND OWNERS OR OWNERS OF BONDS" MEANS ANY  REGISTERED  OWNERS  OF
BONDS.
  (E) "CHAIR" MEANS THE CHAIR OF THE WORKERS' COMPENSATION BOARD.
  (F)  "CODE"  MEANS THE UNITED STATES INTERNAL REVENUE CODE OF 1986, AS
AMENDED.
  (G) "COSTS OF ISSUANCE" MEANS ANY ITEM OF EXPENSE  DIRECTLY  OR  INDI-
RECTLY  PAYABLE  OR  REIMBURSABLE  BY  THE  AUTHORITY AND RELATED TO THE
AUTHORIZATION, SALE, OR ISSUANCE OF BONDS, INCLUDING,  BUT  NOT  LIMITED
TO,  UNDERWRITING FEES AND FEES AND EXPENSES OF PROFESSIONAL CONSULTANTS
AND FIDUCIARIES.
  (H) "DEBT SERVICE" MEANS ACTUAL DEBT SERVICE, COMPRISED OF  PRINCIPAL,
INTEREST  AND  ASSOCIATED  COSTS,  AS  DEFINED IN SECTION FIFTY-C OF THE
WORKERS' COMPENSATION LAW.
  (I) "DIRECTOR OF THE BUDGET" OR "DIRECTOR" MEANS THE DIRECTOR  OF  THE
BUDGET OF THE STATE OF NEW YORK.
  (J)  "FINANCING COSTS" MEANS ALL COSTS OF ISSUANCE, CAPITALIZED INTER-
EST, CAPITALIZED OPERATING EXPENSES OF THE AUTHORITY  AND,  PURSUANT  TO
THE  SELF-INSURED  BOND FINANCING AGREEMENT, FEES, COST OF ANY ANCILLARY
BOND FACILITY, AND ANY OTHER FEES, DISCOUNTS, EXPENSES AND COSTS RELATED
TO ISSUING, SECURING AND MARKETING THE BONDS INCLUDING, WITHOUT  LIMITA-
TION, ANY NET ORIGINAL ISSUE DISCOUNT.
  (K)  "INVESTMENT  SECURITIES" SHALL HAVE THE SAME MEANING AS SET FORTH
IN SECTION ONE THOUSAND SIX HUNDRED EIGHTY-L OF THIS TITLE.
  (L) "INTEREST RATE EXCHANGE OR  SIMILAR  AGREEMENT"  MEANS  A  WRITTEN
CONTRACT  ENTERED  INTO IN CONNECTION WITH THE ISSUANCE OF BONDS OR WITH
SUCH BONDS OUTSTANDING WITH A COUNTERPARTY TO PROVIDE FOR AN EXCHANGE OR
SWAP OF PAYMENTS BASED UPON FIXED AND/OR VARIABLE  INTEREST  RATES,  AND
SHALL BE FOR EXCHANGES IN CURRENCY OF THE UNITED STATES OF AMERICA ONLY.
  (M)  "NET  PROCEEDS"  MEANS THE AMOUNT OF PROCEEDS REMAINING FOLLOWING
EACH SALE OF BONDS WHICH ARE NOT REQUIRED BY THE AUTHORITY FOR  PURPOSES

S. 2607--D                         163                        A. 3007--D

OF  THIS  SECTION TO PAY OR PROVIDE FOR DEBT SERVICE OR FINANCING COSTS,
AS PROVIDED IN THE SELF-INSURED BOND FINANCING AGREEMENT.
  (N)  "OPERATING  EXPENSES" MEANS THE REASONABLE OR NECESSARY OPERATING
EXPENSES OF THE AUTHORITY FOR PURPOSES OF THIS SECTION, INCLUDING, WITH-
OUT LIMITATION, THE COSTS OF:  RETENTION  OF  AUDITORS,  PREPARATION  OF
ACCOUNTING  AND  OTHER REPORTS, MAINTENANCE OF THE RATINGS ON THE BONDS,
ANY OPERATING EXPENSE RESERVE FUND, INSURANCE PREMIUMS,  ANCILLARY  BOND
FACILITIES,  REBATE  PAYMENTS,  ANNUAL MEETINGS OR OTHER REQUIRED ACTIV-
ITIES OF THE AUTHORITY, AND PROFESSIONAL CONSULTANTS AND FIDUCIARIES.
  (O) "OUTSTANDING", WHEN USED WITH  RESPECT  TO  BONDS,  SHALL  EXCLUDE
BONDS  THAT  SHALL  HAVE  BEEN  PAID  IN FULL AT MATURITY, OR SHALL HAVE
OTHERWISE BEEN REFUNDED, REDEEMED, DEFEASED OR DISCHARGED, OR  THAT  MAY
BE DEEMED NOT OUTSTANDING PURSUANT TO AGREEMENTS WITH THE HOLDERS THERE-
OF.
  (P)  "PLEDGED  ASSESSMENTS  REVENUES",  "PLEDGED REVENUES" OR "PLEDGED
ASSESSMENTS" MEANS RECEIPTS  OF  THE  ASSESSMENTS  IMPOSED  PURSUANT  TO
SECTION  ONE  HUNDRED  FIFTY-ONE  OF  THE  WORKERS' COMPENSATION LAW AND
PLEDGED FOR THE PAYMENT OF DEBT SERVICE ON  THE  BONDS  OR  AMOUNTS  DUE
PURSUANT  TO  AN ANCILLARY BOND FACILITY, INCLUDING THE RIGHT TO RECEIVE
SAME.
  (Q) "SELF-INSURER OFFSET FUND" SHALL MEAN THE FUND COMPOSED OF  REVEN-
UES,  INCLUDING  THOSE  OBTAINED BY THE BONDS ISSUED UNDER THIS SECTION,
WHICH SHALL BE USED SOLELY FOR THE  PURPOSES  DESCRIBED  IN  SUBDIVISION
FOUR OF THIS SECTION.
  (R)  "SELF-INSURED  EMPLOYER"  MEANS INDIVIDUAL AND GROUP SELF-INSURED
EMPLOYERS ESTABLISHED IN ACCORDANCE WITH SECTION FIFTY OF  THE  WORKERS'
COMPENSATION LAW.
  (S) "STATE" MEANS THE STATE OF NEW YORK.
  (T)  "SELF-INSURED  BOND FINANCING AGREEMENT" OR "FINANCING AGREEMENT"
MEANS AN AGREEMENT AUTHORIZED AND CREATED PURSUANT TO  SUBDIVISION  FOUR
OF THIS SECTION AND SECTION FIFTY-C OF THE WORKERS' COMPENSATION LAW, AS
SAME BY ITS TERMS AND BOND PROCEEDINGS, MAY BE AMENDED.
  2. THE AUTHORITY IS HEREBY AUTHORIZED TO ISSUE BONDS TO REDUCE ASSESS-
MENTS IMPOSED ON SELF-INSURED EMPLOYERS UNDER SECTION FIFTY OF THE WORK-
ERS'  COMPENSATION  LAW AS A RESULT OF THE UNFUNDED CLAIMS OF INDIVIDUAL
AND GROUP SELF-INSURERS. THE AUTHORITY MAY ENTER INTO ONE OR MORE  SELF-
INSURED  BOND  FINANCING  AGREEMENTS DESCRIBED IN SECTION FIFTY-C OF THE
WORKERS' COMPENSATION LAW. ALL OF THE PROVISIONS OF THE PUBLIC  AUTHORI-
TIES  LAW  RELATING  TO BONDS AND NOTES OF THE DORMITORY AUTHORITY WHICH
ARE NOT INCONSISTENT WITH THE PROVISIONS OF THIS SECTION SHALL APPLY  TO
OBLIGATIONS AUTHORIZED BY THIS SECTION, INCLUDING BUT NOT LIMITED TO THE
POWER TO ESTABLISH ADEQUATE RESERVES THEREFOR AND TO ISSUE RENEWAL NOTES
OR  REFUNDING  BONDS THEREOF. THE PROVISIONS OF THIS SECTION SHALL APPLY
SOLELY TO OBLIGATIONS AUTHORIZED BY THIS SECTION.
  3. IT IS FOUND AND DECLARED THAT UNFUNDED CLAIMS IN EITHER  THE  INDI-
VIDUAL  OR GROUP SELF-INSURANCE TRUST PROGRAM WILL, ABSENT PROVISION FOR
LONG-TERM FINANCING, RESULT IN IMPOSITION OF COSTS ON ALL  SELF-INSURERS
THROUGH  ASSESSMENTS; THAT SUCH UNFUNDED CLAIMS AND ASSESSMENTS MAY HAVE
A DETRIMENTAL IMPACT ON BUSINESSES AND  NOT-FOR-PROFIT  CORPORATIONS  IN
NEW  YORK  STATE AND ON THE PROVISION OF SERVICES TO NEW YORK RESIDENTS;
THAT WITHOUT FINANCING THE  BOARD  MAY  BE  REQUIRED  TO  IMPOSE  HIGHER
ASSESSMENTS  TO  PAY SUCH UNFUNDED CLAIMS; THAT FINANCING WILL ALLOW THE
WORKERS' COMPENSATION BOARD TO PURCHASE ONE OR MORE ASSUMPTIONS OF WORK-
ERS' COMPENSATION LIABILITY POLICIES THAT WILL LIMIT THE LONG TERM LOSS-
ES FROM THESE UNFUNDED CLAIMS; THAT THE BONDS WILL PROVIDE A MORE  EFFI-
CIENT  MEANS  OF  COVERING  UNFUNDED  CLAIMS  THAN THE CURRENT SYSTEM OF

S. 2607--D                         164                        A. 3007--D

ASSESSMENT ON ALL SELF-INSUREDS; THAT BONDS ISSUED BY THE AUTHORITY  AND
SECURED  BY  ASSESSMENTS LEVIED, FOR THE GOVERNMENTAL PURPOSE OF FUNDING
ASSUMPTION OF WORKERS' COMPENSATION LIABILITY POLICIES, AMORTIZED OVER A
SUBSTANTIAL  PERIOD  WOULD  ALLOW THE STATE TO LIMIT LIABILITIES AND THE
ASSESSMENTS NEEDED TO PAY THEM, THEREBY FURTHERING  THE  POLICY  OF  THE
STATE  TO  REDUCE  THE COSTS OF WORKERS' COMPENSATION AND TO IMPROVE THE
BUSINESS CLIMATE IN THE STATE AND THE ABILITY OF  NOT-FOR-PROFIT  CORPO-
RATIONS  TO  PERFORM ESSENTIAL SERVICES WHILE COMPENSATING INJURED WORK-
ERS; THAT ALL COSTS OF THE AUTHORITY IN RELATION TO THIS  SECTION  SHALL
BE  PAID FROM ASSESSMENTS PROVIDED FOR IN THE WORKERS' COMPENSATION LAW;
AND THAT, THEREFORE, THE PROVISIONS OF THIS SECTION ARE FOR  THE  PUBLIC
BENEFIT  AND  GOOD AND THE AUTHORIZATION AS PROVIDED IN THIS SECTION FOR
THE ISSUANCE OF REVENUE OBLIGATIONS OF THE AUTHORITY IS DECLARED  TO  BE
FOR A PUBLIC PURPOSE AND THE EXERCISE OF AN ESSENTIAL GOVERNMENTAL FUNC-
TION.
  4. (A) THE AUTHORITY, THE COMMISSIONER OF TAXATION AND FINANCE AND THE
CHAIR,  IN  CONSULTATION WITH THE DIRECTOR OF THE BUDGET SHALL EXECUTE A
FINANCING AGREEMENT PRIOR TO THE ISSUANCE OF ANY BONDS.  SUCH  AGREEMENT
SHALL  CONTAIN  SUCH  TERMS AND CONDITIONS AS ARE NECESSARY TO CARRY OUT
AND EFFECTUATE THE PURPOSES OF THIS SECTION,  INCLUDING  COVENANTS  WITH
RESPECT  TO  THE  ASSESSMENTS  AND  ENFORCEMENT  OF THE ASSESSMENTS, THE
APPLICATION AND USE OF THE PROCEEDS OF THE SALE OF BONDS TO PRESERVE THE
TAX EXEMPTION ON THE BONDS, THE INTEREST ON  WHICH  IS  INTENDED  TO  BE
EXEMPT  FROM  TAXATION.  THE  STATE  SHALL NOT BE AUTHORIZED TO MAKE ANY
COVENANT, PLEDGE, PROMISE OR AGREEMENT PURPORTING TO BIND THE STATE WITH
RESPECT TO PLEDGED REVENUES, EXCEPT AS OTHERWISE SPECIFICALLY AUTHORIZED
BY THIS SECTION.
  (B) THE NET PROCEEDS OF THE BONDS SHALL  BE  DEPOSITED  IN  ACCORDANCE
WITH  THE  SELF-INSURED  BOND  FINANCING AGREEMENT AND THIS SECTION. THE
SELF-INSURED BOND FINANCING AGREEMENT SHALL PROVIDE FOR THE  APPLICATION
OF  THE NET BOND PROCEEDS, AND SUCH BOND PROCEEDS SHALL BE USED, FOR ANY
OF THE FOLLOWING PURPOSES: (I) TO PAY UNMET COMPENSATION OR BENEFITS  OF
INDIVIDUAL  AND  GROUP  SELF-INSURED  EMPLOYERS; (II) TO PURCHASE ONE OR
MORE ASSUMPTION OF WORKERS' COMPENSATION LIABILITY POLICIES TO DISCHARGE
THE LIABILITIES INCURRED OR TO BE INCURRED UNDER  SUBDIVISION  THREE  OR
THREE-A  OF  SECTION FIFTY OF THE WORKERS' COMPENSATION LAW; OR (III) TO
PAY FINANCING COSTS OF THE BONDS ISSUED UNDER THIS SECTION.  NOT  INCON-
SISTENT WITH THIS SECTION, THE AUTHORITY MAY PROVIDE RESTRICTIONS ON THE
USE AND INVESTMENT OF NET PROCEEDS OF THE BONDS AND OTHER AMOUNTS IN THE
SELF-INSURED  BOND  FINANCING AGREEMENT OR OTHERWISE IN A TAX REGULATORY
AGREEMENT AS NECESSARY OR DESIRABLE TO ASSURE THAT THEY ARE EXEMPT  FROM
TAXATION.
  5.  (A) (I) THE AUTHORITY SHALL HAVE POWER AND IS HEREBY AUTHORIZED TO
ISSUE ITS BONDS AT SUCH TIMES AND IN SUCH  AGGREGATE  PRINCIPAL  AMOUNTS
NOT  TO  EXCEED  AN AMOUNT TO BE DETERMINED BY THE CHAIR AS NECESSARY TO
FUND THE PURPOSES OF THIS SECTION, BUT IN NO CASE EXCEEDING NINE HUNDRED
MILLION DOLLARS EXCLUSIVE OF ANY BONDS ISSUED TO REFUND BONDS PREVIOUSLY
ISSUED PURSUANT TO THIS CHAPTER AND ANY BONDS ISSUED TO FUND ANY RESERVE
FUNDS COST OF ISSUANCE OR ORIGINAL ISSUE PREMIUM.   THE BONDS  SHALL  BE
ISSUED  FOR  THE  FOLLOWING CORPORATE PURPOSES: (A) TO PAY CURRENT UNMET
COMPENSATION OR BENEFITS OF INDIVIDUAL AND GROUP SELF-INSURED EMPLOYERS;
(B) TO PURCHASE ONE OR MORE ASSUMPTIONS OF WORKERS' COMPENSATION LIABIL-
ITY POLICIES TO DISCHARGE THE LIABILITIES INCURRED  OR  TO  BE  INCURRED
UNDER  SUBDIVISION  THREE  OR  THREE-A  OF SECTION FIFTY OF THE WORKERS'
COMPENSATION LAW; OR (C) TO PAY FINANCING  COSTS  OF  THE  BONDS  ISSUED
UNDER THIS SECTION.

S. 2607--D                         165                        A. 3007--D

  (II) EACH ISSUANCE OF BONDS SHALL BE AUTHORIZED BY A RESOLUTION OF THE
AUTHORITY,  PROVIDED,  HOWEVER, THAT ANY SUCH RESOLUTION MAY DELEGATE TO
AN OFFICER OF THE AUTHORITY THE POWER TO ISSUE SUCH BONDS FROM  TIME  TO
TIME  AND TO FIX THE DETAILS OF ANY SUCH ISSUES OF BONDS BY AN APPROPRI-
ATE  CERTIFICATE OF SUCH AUTHORIZED OFFICER. EVERY ISSUE OF THE BONDS OF
THE AUTHORITY FOR THE SELF-INSURER OFFSET FUND SHALL BE SPECIAL  REVENUE
OBLIGATIONS  PAYABLE  FROM AND SECURED BY A PLEDGE OF REVENUES AND OTHER
ASSETS, INCLUDING THOSE PROCEEDS OF SUCH BONDS DEPOSITED  IN  A  RESERVE
FUND  FOR  THE  BENEFIT  OF BONDHOLDERS, EARNINGS ON SUCH FUNDS AND SUCH
OTHER FUNDS AND ASSETS AS MAY BECOME  AVAILABLE,  UPON  SUCH  TERMS  AND
CONDITIONS  AS  SPECIFIED BY THE AUTHORITY IN THE RESOLUTION UNDER WHICH
THE BONDS ARE ISSUED OR IN A RELATED TRUST INDENTURE.
  (III) THE AUTHORITY SHALL HAVE THE POWER AND IS HEREBY AUTHORIZED FROM
TIME TO TIME TO ISSUE BONDS, IN CONSULTATION WITH THE CHAIR, THE COMMIS-
SIONER OF TAXATION AND FINANCE AND THE DIRECTOR OF THE BUDGET, TO REFUND
ANY BONDS ISSUED UNDER THIS SECTION BY THE ISSUANCE OF NEW BONDS, WHETH-
ER THE BONDS TO BE REFUNDED HAVE OR HAVE NOT MATURED, AND TO ISSUE BONDS
PARTLY TO REFUND BONDS THEN OUTSTANDING AND PARTLY FOR ANY OF ITS  OTHER
CORPORATE  PURPOSES  UNDER  THIS  SECTION.  THE  REFUNDING  BONDS MAY BE
EXCHANGED FOR THE BONDS TO BE REFUNDED OR SOLD AND THE PROCEEDS  APPLIED
TO THE PURCHASE, REDEMPTION OR PAYMENT OF SUCH BONDS.
  (B)  THE  BONDS  OF  THE AUTHORITY OF EACH ISSUE SHALL BE DATED, SHALL
BEAR INTEREST (WHICH, IN THE OPINION OF BOND COUNSEL TO  THE  AUTHORITY,
MAY  BE  INCLUDABLE IN OR EXCLUDABLE FROM THE GROSS INCOME OF THE OWNERS
FOR FEDERAL INCOME TAX PURPOSES) AT SUCH FIXED OR VARIABLE RATES,  PAYA-
BLE  AT OR PRIOR TO MATURITY, AND SHALL MATURE AT SUCH TIME OR TIMES, AS
MAY BE DETERMINED BY THE AUTHORITY AND MAY  BE  MADE  REDEEMABLE  BEFORE
MATURITY,  AT  THE  OPTION OF THE AUTHORITY, AT SUCH PRICE OR PRICES AND
UNDER SUCH TERMS AND CONDITIONS AS MAY BE FIXED BY  THE  AUTHORITY.  THE
PRINCIPAL  AND  INTEREST OF SUCH BONDS MAY BE MADE PAYABLE IN ANY LAWFUL
MEDIUM. THE RESOLUTION OR THE  CERTIFICATE  OF  THE  AUTHORIZED  OFFICER
SHALL  DETERMINE  THE FORM OF THE BONDS, EITHER REGISTERED OR BOOK-ENTRY
FORM, AND THE MANNER OF EXECUTION OF THE BONDS AND SHALL FIX THE DENOMI-
NATION OR DENOMINATIONS OF THE BONDS AND THE PLACE OR PLACES OF  PAYMENT
OF  PRINCIPAL  AND  INTEREST  THEREOF, WHICH MAY BE AT ANY BANK OR TRUST
COMPANY WITHIN OR OUTSIDE THE STATE. IF ANY OFFICER WHOSE SIGNATURE OR A
FACSIMILE THEREOF APPEARS ON ANY BONDS SHALL CEASE TO  BE  SUCH  OFFICER
BEFORE  THE  DELIVERY  OF  SUCH BONDS, SUCH SIGNATURE OR FACSIMILE SHALL
NEVERTHELESS BE VALID AND SUFFICIENT FOR ALL PURPOSES  THE  SAME  AS  IF
SUCH  OFFICER  HAD REMAINED IN OFFICE UNTIL SUCH DELIVERY. THE AUTHORITY
MAY ALSO PROVIDE FOR TEMPORARY BONDS AND FOR THE REPLACEMENT OF ANY BOND
THAT SHALL BECOME MUTILATED OR SHALL BE DESTROYED OR LOST.
  (C) THE AUTHORITY MAY SELL SUCH BONDS, EITHER AT A PUBLIC  OR  PRIVATE
SALE  AND  EITHER ON A COMPETITIVE OR NEGOTIATED BASIS, PROVIDED NO SUCH
BONDS MAY BE SOLD BY THE AUTHORITY AT PRIVATE SALE UNLESS SUCH SALE  AND
THE  TERMS  THEREOF  HAVE BEEN APPROVED IN WRITING BY THE COMPTROLLER OF
THE STATE OF NEW YORK. THE PROCEEDS OF SUCH BONDS SHALL BE DISBURSED FOR
THE PURPOSES FOR WHICH SUCH BONDS WERE ISSUED UNDER SUCH RESTRICTIONS AS
THE FINANCING AGREEMENT AND THE RESOLUTION AUTHORIZING THE  ISSUANCE  OF
SUCH  BONDS OR THE RELATED TRUST INDENTURE MAY PROVIDE. SUCH BONDS SHALL
BE ISSUED WITHOUT ANY  OTHER  APPROVALS,  FILINGS,  PROCEEDINGS  OR  THE
HAPPENING  OF  ANY  OTHER CONDITIONS OTHER THAN ANY APPROVALS, FINDINGS,
PROCEEDINGS, OR  OTHER  CONDITIONS  THAT  ARE  SPECIFIED  AND  EXPRESSLY
REQUIRED  BY THIS SECTION; PROVIDED, HOWEVER, THAT ANY ISSUANCE OF BONDS
UNDER THE AUTHORITY OF THIS SECTION SHALL BE CONSIDERED  A  PROJECT  FOR

S. 2607--D                         166                        A. 3007--D

THE  PURPOSES  OF  SECTION  FIFTY-ONE  OF  THIS  CHAPTER  AND SUBJECT TO
APPROVAL UNDER SUCH SECTION.
  (D) ANY PLEDGE MADE BY THE AUTHORITY SHALL BE VALID AND BINDING AT THE
TIME  THE  PLEDGE  IS  MADE. THE ASSETS, PROPERTY, REVENUES, RESERVES OR
EARNINGS SO PLEDGED SHALL IMMEDIATELY BE SUBJECT TO  THE  LIEN  OF  SUCH
PLEDGE WITHOUT ANY PHYSICAL DELIVERY THEREOF OR FURTHER ACT AND THE LIEN
OF  ANY  SUCH  PLEDGE  SHALL BE VALID AND BINDING AS AGAINST ALL PARTIES
HAVING CLAIMS OF ANY KIND AGAINST THE AUTHORITY, IRRESPECTIVE OF WHETHER
SUCH PARTIES HAVE NOTICE THEREOF. NOTWITHSTANDING ANY OTHER PROVISION OF
LAW TO THE CONTRARY, NEITHER THE BOND RESOLUTION NOR  ANY  INDENTURE  OR
OTHER  INSTRUMENT,  INCLUDING THE FINANCING AGREEMENT, BY WHICH A PLEDGE
IS CREATED OR BY WHICH THE AUTHORITY'S INTEREST IN PLEDGED ASSETS, PROP-
ERTY, REVENUES, RESERVES OR EARNINGS THEREON IS ASSIGNED NEED BE  FILED,
PERFECTED  OR  RECORDED  IN  ANY  PUBLIC RECORDS IN ORDER TO PROTECT THE
PLEDGE THEREOF OR PERFECT THE LIEN THEREOF  AS  AGAINST  THIRD  PARTIES,
EXCEPT THAT A COPY THEREOF SHALL BE FILED IN THE RECORDS OF THE AUTHORI-
TY.
  (E)  WHETHER  OR  NOT  THE BONDS OF THE AUTHORITY ARE OF SUCH FORM AND
CHARACTER AS TO BE NEGOTIABLE INSTRUMENTS UNDER THE TERMS OF THE UNIFORM
COMMERCIAL CODE, THE BONDS ARE HEREBY MADE  NEGOTIABLE  INSTRUMENTS  FOR
ALL  PURPOSES, SUBJECT ONLY TO THE PROVISIONS OF THE BONDS FOR REGISTRA-
TION.
  (F) AT THE SOLE DISCRETION OF THE AUTHORITY, ANY BONDS ISSUED  BY  THE
AUTHORITY  AND  ANY ANCILLARY BOND FACILITY MADE UNDER THE PROVISIONS OF
THIS SUBDIVISION MAY BE SECURED BY A RESOLUTION OR  TRUST  INDENTURE  BY
AND  BETWEEN THE AUTHORITY AND THE TRUST INDENTURE TRUSTEE, WHICH MAY BE
ANY TRUST COMPANY OR BANK HAVING THE POWERS OF A TRUST COMPANY,  WHETHER
LOCATED  WITHIN  OR  OUTSIDE  THE  STATE,  PROVIDED IT IS CARRIED OUT IN
ACCORDANCE WITH SECTION SIXTY-NINE-D OF  THE  STATE  FINANCE  LAW.  SUCH
TRUST  INDENTURE  OR RESOLUTION PROVIDING FOR THE ISSUANCE OF SUCH BONDS
MAY PROVIDE FOR THE CREATION AND MAINTENANCE OF  SUCH  RESERVES  AS  THE
AUTHORITY SHALL DETERMINE TO BE PROPER AND MAY INCLUDE COVENANTS SETTING
FORTH  THE  DUTIES  OF  THE  AUTHORITY  IN RELATION TO THE BONDS, OR THE
FINANCING AGREEMENT. SUCH TRUST  INDENTURE  OR  RESOLUTION  MAY  CONTAIN
PROVISIONS: (I) RESPECTING THE CUSTODY, SAFE-GUARDING AND APPLICATION OF
ALL  MONEYS AND SECURITIES; (II) PROTECTING AND ENFORCING THE RIGHTS AND
REMEDIES (PURSUANT TO THE TRUST INDENTURE AND THE  FINANCING  AGREEMENT)
OF  THE  OWNERS  OF  THE  BONDS  AND ANY OTHER BENEFITED PARTY AS MAY BE
REASONABLE AND PROPER AND NOT IN VIOLATION OF LAW; (III) CONCERNING  THE
RIGHTS, POWERS AND DUTIES OF THE TRUSTEE APPOINTED BY BONDHOLDERS PURSU-
ANT TO PARAGRAPH (G) OF THIS SUBDIVISION; OR (IV) LIMITING OR ABROGATING
THE  RIGHT  OF  THE BONDHOLDERS TO APPOINT A TRUSTEE. IT SHALL BE LAWFUL
FOR ANY BANK OR TRUST  COMPANY  WHICH  MAY  ACT  AS  DEPOSITORY  OF  THE
PROCEEDS  OF  BONDS  OR  OF  ANY  OTHER FUNDS OR OBLIGATIONS RECEIVED ON
BEHALF OF THE AUTHORITY TO FURNISH SUCH INDEMNIFYING BONDS OR TO  PLEDGE
SUCH  SECURITIES  AS  MAY  BE  REQUIRED BY THE AUTHORITY. ANY SUCH TRUST
INDENTURE OR RESOLUTION MAY CONTAIN SUCH OTHER PROVISIONS AS THE AUTHOR-
ITY MAY DEEM REASONABLE AND  PROPER  FOR  PRIORITIES  AND  SUBORDINATION
AMONG  THE  OWNERS OF THE BONDS AND OTHER BENEFICIARIES. FOR PURPOSES OF
THIS SECTION, A "RESOLUTION" OF THE AUTHORITY SHALL  INCLUDE  ANY  TRUST
INDENTURE AUTHORIZED THEREBY.
  (G) THE AUTHORITY MAY ENTER INTO, AMEND OR TERMINATE, AS IT DETERMINES
TO BE NECESSARY OR APPROPRIATE, ANY ANCILLARY BOND FACILITY IN CONSULTA-
TION  WITH  THE  CHAIR  AND DIRECTOR OF THE BUDGET (I) TO FACILITATE THE
ISSUANCE, SALE, RESALE, PURCHASE, REPURCHASE OR PAYMENT OF BONDS, INTER-
EST RATE SAVINGS OR MARKET DIVERSIFICATION OR THE MAKING OR  PERFORMANCE

S. 2607--D                         167                        A. 3007--D

OF INTEREST RATE EXCHANGE OR SIMILAR AGREEMENTS, INCLUDING WITHOUT LIMI-
TATION  BOND INSURANCE, LETTERS OF CREDIT AND LIQUIDITY FACILITIES, (II)
TO ATTEMPT TO MANAGE OR HEDGE RISK  OR  ACHIEVE  A  DESIRABLE  EFFECTIVE
INTEREST RATE OR CASH FLOW, OR (III) TO PLACE THE OBLIGATIONS OR INVEST-
MENTS OF THE AUTHORITY, AS REPRESENTED BY THE BONDS OR THE INVESTMENT OF
RESERVED  BOND  PROCEEDS  OR  OTHER PLEDGED REVENUES OR OTHER ASSETS, IN
WHOLE OR IN PART, ON THE INTEREST RATE, CASH FLOW OR OTHER BASIS DECIDED
IN CONSULTATION WITH THE CHAIR AND DIRECTOR OF THE BUDGET, WHICH FACILI-
TY MAY INCLUDE WITHOUT LIMITATION CONTRACTS COMMONLY KNOWN  AS  INTEREST
RATE EXCHANGE OR SIMILAR AGREEMENTS, FORWARD PURCHASE CONTRACTS OR GUAR-
ANTEED  INVESTMENT  CONTRACTS  AND  FUTURES  OR  CONTRACTS PROVIDING FOR
PAYMENTS BASED ON LEVELS  OF,  OR  CHANGES  IN,  INTEREST  RATES.  THESE
CONTRACTS  OR  ARRANGEMENTS  MAY  BE  ENTERED  INTO  BY THE AUTHORITY IN
CONNECTION WITH, OR INCIDENTAL TO, ENTERING  INTO,  OR  MAINTAINING  ANY
AGREEMENT  WHICH  SECURES  BONDS  OF  THE  AUTHORITY  OR  INVESTMENT, OR
CONTRACT PROVIDING FOR INVESTMENT OF RESERVES OR SIMILAR FACILITY  GUAR-
ANTEEING  AN  INVESTMENT  RATE  FOR  A PERIOD OF YEARS NOT TO EXCEED THE
UNDERLYING TERM OF THE BONDS. THE DETERMINATION BY THE AUTHORITY THAT AN
ANCILLARY BOND FACILITY OR  THE  AMENDMENT  OR  TERMINATION  THEREOF  IS
NECESSARY OR APPROPRIATE AS AFORESAID SHALL BE CONCLUSIVE. ANY ANCILLARY
BOND  FACILITY  MAY CONTAIN SUCH PAYMENT, SECURITY, DEFAULT, REMEDY, AND
TERMINATION PROVISIONS AND PAYMENTS AND OTHER TERMS  AND  CONDITIONS  AS
DETERMINED  BY  THE  AUTHORITY,  AFTER  GIVING  DUE CONSIDERATION TO THE
CREDITWORTHINESS OF THE COUNTERPARTY OR OTHER OBLIGATED PARTY, INCLUDING
ANY RATING BY ANY NATIONALLY RECOGNIZED RATING  AGENCY,  AND  ANY  OTHER
CRITERIA AS MAY BE APPROPRIATE.
  (H)  THE AUTHORITY, SUBJECT TO SUCH AGREEMENTS WITH BONDHOLDERS AS MAY
THEN EXIST (INCLUDING PROVISIONS WHICH RESTRICT THE POWER OF THE AUTHOR-
ITY TO PURCHASE BONDS), OR WITH THE PROVIDERS OF ANY  APPLICABLE  ANCIL-
LARY  BOND  FACILITY,  SHALL  HAVE  THE POWER OUT OF ANY FUNDS AVAILABLE
THEREFOR TO PURCHASE BONDS OF THE AUTHORITY, WHICH MAY OR MAY NOT THERE-
UPON BE CANCELLED, AT A PRICE NOT SUBSTANTIALLY EXCEEDING:
  (I) IF THE BONDS ARE THEN REDEEMABLE, THE REDEMPTION PRICE THEN APPLI-
CABLE, INCLUDING ANY ACCRUED INTEREST; OR
  (II) IF THE BONDS ARE NOT THEN REDEEMABLE, THE  REDEMPTION  PRICE  AND
ACCRUED  INTEREST  APPLICABLE ON THE FIRST DATE AFTER SUCH PURCHASE UPON
WHICH THE BONDS BECOME SUBJECT TO REDEMPTION.
  (I) NEITHER THE MEMBERS OF THE AUTHORITY NOR ANY OTHER PERSON  EXECUT-
ING  THE  BONDS  OR AN ANCILLARY BOND FACILITY OF THE AUTHORITY SHALL BE
SUBJECT TO ANY PERSONAL LIABILITY BY REASON OF THE ISSUANCE OR EXECUTION
AND DELIVERY THEREOF.
  (J) THE MATURITIES OF THE BONDS SHALL NOT  EXCEED  THIRTY  YEARS  FROM
THEIR RESPECTIVE ISSUANCE.
  6.  NEITHER ANY BOND ISSUED PURSUANT TO THIS SECTION NOR ANY ANCILLARY
BOND FACILITY OF THE AUTHORITY SHALL CONSTITUTE A DEBT  OR  MORAL  OBLI-
GATION  OF  THE STATE OR A STATE SUPPORTED OBLIGATION WITHIN THE MEANING
OF ANY CONSTITUTIONAL OR STATUTORY PROVISION OR A PLEDGE  OF  THE  FAITH
AND  CREDIT  OF  THE  STATE OR OF THE TAXING POWER OF THE STATE, AND THE
STATE SHALL NOT BE LIABLE TO MAKE ANY PAYMENTS  THEREON  NOR  SHALL  ANY
BOND  OR  ANY  ANCILLARY  BOND  FACILITY  BE PAYABLE OUT OF ANY FUNDS OR
ASSETS OTHER THAN PLEDGED REVENUES AND OTHER ASSETS OF THE AUTHORITY AND
OTHER FUNDS AND ASSETS OF OR AVAILABLE TO THE AUTHORITY  PLEDGED  THERE-
FOR,  AND  THE  BONDS  AND  ANY ANCILLARY BOND FACILITY OF THE AUTHORITY
SHALL CONTAIN ON THE FACE THEREOF OR OTHER  PROMINENT  PLACE  THEREON  A
STATEMENT TO THE FOREGOING EFFECT.

S. 2607--D                         168                        A. 3007--D

  7.  (A)  SUBJECT TO THE PROVISIONS OF SUBDIVISION FIVE OF THIS SECTION
IN THE EVENT THAT THE AUTHORITY SHALL DEFAULT IN THE PAYMENT OF  PRINCI-
PAL  OF,  OR INTEREST ON, OR SINKING FUND PAYMENT ON, ANY ISSUE OF BONDS
AFTER THE SAME SHALL BECOME DUE, WHETHER AT MATURITY OR  UPON  CALL  FOR
REDEMPTION,  OR  IN THE EVENT THAT THE AUTHORITY OR THE STATE SHALL FAIL
TO COMPLY WITH ANY AGREEMENT MADE WITH  THE  HOLDERS  OF  ANY  ISSUE  OF
BONDS,  THE HOLDERS OF TWENTY-FIVE PERCENT IN AGGREGATE PRINCIPAL AMOUNT
OF THE BONDS OF SUCH ISSUE THEN OUTSTANDING, BY  INSTRUMENT  OR  INSTRU-
MENTS  FILED  IN  THE  OFFICE  OF  THE CLERK OF THE COUNTY OF ALBANY AND
PROVED OR ACKNOWLEDGED IN THE SAME MANNER AS A DEED TO BE RECORDED,  MAY
APPOINT  A  TRUSTEE  TO  REPRESENT  THE  HOLDERS  OF  SUCH BONDS FOR THE
PURPOSES HEREIN PROVIDED.
  (B) SUCH TRUSTEE, MAY, AND UPON WRITTEN  REQUEST  OF  THE  HOLDERS  OF
TWENTY-FIVE  PERCENT  IN PRINCIPAL AMOUNT OF SUCH BONDS THEN OUTSTANDING
SHALL, IN HIS OR ITS OWN NAME:
  (I) BY SUIT, ACTION OR PROCEEDING IN ACCORDANCE WITH THE  CIVIL  PRAC-
TICE LAW AND RULES, ENFORCE ALL RIGHTS OF THE BONDHOLDERS, INCLUDING THE
RIGHT  TO  REQUIRE  THE  AUTHORITY  TO CARRY OUT ANY AGREEMENT WITH SUCH
HOLDERS AND TO PERFORM ITS DUTIES UNDER THIS SECTION;
  (II) BRING SUIT UPON SUCH BONDS;
  (III) BY ACTION OR SUIT, REQUIRE THE AUTHORITY TO  ACCOUNT  AS  IF  IT
WERE THE TRUSTEE OF AN EXPRESS TRUST FOR THE HOLDERS OF SUCH BONDS;
  (IV)  BY ACTION OR SUIT, ENJOIN ANY ACTS OR THINGS WHICH MAY BE UNLAW-
FUL OR IN VIOLATION OF THE RIGHTS OF THE HOLDERS OF SUCH BONDS; AND
  (V) DECLARE ALL SUCH BONDS DUE AND PAYABLE, AND IF ALL DEFAULTS  SHALL
BE  MADE  GOOD,  THEN,  WITH  THE  CONSENT OF THE HOLDERS OF TWENTY-FIVE
PERCENT OF THE PRINCIPAL AMOUNT OF SUCH BONDS  THEN  OUTSTANDING,  ANNUL
SUCH  DECLARATION  AND ITS CONSEQUENCES, PROVIDED, HOWEVER, THAT NOTHING
IN THIS SUBDIVISION SHALL PRECLUDE  THE  AUTHORITY  FROM  AGREEING  THAT
CONSENT OF THE PROVIDER OF AN ANCILLARY BOND FACILITY IS REQUIRED FOR AN
ACCELERATION  OF  RELATED  BONDS  IN THE EVENT OF A DEFAULT OTHER THAN A
FAILURE TO PAY PRINCIPAL OF OR INTEREST ON THE BONDS WHEN DUE.
  (C) THE SUPREME COURT SHALL HAVE JURISDICTION OF ANY SUIT,  ACTION  OR
PROCEEDING  BY  THE  TRUSTEE ON BEHALF OF SUCH BONDHOLDERS. THE VENUE OF
ANY SUCH SUIT, ACTION OR PROCEEDING SHALL BE LAID IN THE COUNTY OF ALBA-
NY.
  (D) BEFORE DECLARING THE PRINCIPAL OF BONDS DUE AND PAYABLE, THE TRUS-
TEE SHALL FIRST GIVE THIRTY DAYS NOTICE IN WRITING TO THE AUTHORITY.
  8. ALL MONIES OF THE AUTHORITY FROM WHATEVER SOURCE DERIVED  SHALL  BE
PAID  TO THE TREASURER OF THE AUTHORITY AND SHALL BE DEPOSITED FORTHWITH
IN A BANK OR BANKS DESIGNATED BY  THE  AUTHORITY.  THE  MONIES  IN  SUCH
ACCOUNTS  SHALL  BE PAID OUT OR WITHDRAWN ON THE ORDER OF SUCH PERSON OR
PERSONS AS THE AUTHORITY MAY AUTHORIZE TO MAKE  SUCH  REQUISITIONS.  ALL
DEPOSITS  OF  SUCH  MONIES SHALL EITHER BE SECURED BY OBLIGATIONS OF THE
UNITED STATES OR OF THE STATE OR OF ANY MUNICIPALITY OF A  MARKET  VALUE
EQUAL  AT ALL TIMES TO THE AMOUNT ON DEPOSIT, OR MONIES OF THE AUTHORITY
MAY BE DEPOSITED IN MONEY MARKET FUNDS RATED IN THE  HIGHEST  SHORT-TERM
OR  LONG-TERM  RATING  CATEGORY  BY  AT  LEAST ONE NATIONALLY RECOGNIZED
RATING AGENCY. TO  THE  EXTENT  PRACTICABLE,  AND  CONSISTENT  WITH  THE
REQUIREMENTS  OF  THE  AUTHORITY,  ALL SUCH MONIES SHALL BE DEPOSITED IN
INTEREST BEARING ACCOUNTS. THE AUTHORITY SHALL HAVE POWER, NOTWITHSTAND-
ING THE PROVISIONS OF THIS SECTION, TO CONTRACT WITH THE HOLDERS OF  ANY
BONDS AS TO THE CUSTODY, COLLECTION, SECURITY, INVESTMENT AND PAYMENT OF
ANY MONIES OF THE AUTHORITY OR ANY MONIES HELD IN TRUST OR OTHERWISE FOR
THE  PAYMENT OF BONDS OR ANY WAY TO SECURE BONDS, AND CARRY OUT ANY SUCH
CONTRACT NOTWITHSTANDING THAT SUCH CONTRACT MAY BE INCONSISTENT WITH THE

S. 2607--D                         169                        A. 3007--D

PROVISIONS OF THIS SECTION. MONIES HELD IN TRUST OR  OTHERWISE  FOR  THE
PAYMENT  OF  BONDS  OR  IN  ANY WAY TO SECURE BONDS AND DEPOSITS OF SUCH
MONEYS MAY BE SECURED IN THE SAME MANNER AS MONIES OF THE AUTHORITY  AND
ALL  BANKS  AND TRUST COMPANIES ARE AUTHORIZED TO GIVE SUCH SECURITY FOR
SUCH DEPOSITS. ANY MONIES OF THE AUTHORITY NOT  REQUIRED  FOR  IMMEDIATE
USE OR DISBURSEMENT MAY, AT THE DISCRETION OF THE AUTHORITY, BE INVESTED
IN  ACCORDANCE  WITH  LAW  AND  SUCH  GUIDELINES  AS ARE APPROVED BY THE
AUTHORITY.
  9. (A) IT IS HEREBY DETERMINED THAT THE CARRYING OUT BY THE  AUTHORITY
OF ITS CORPORATE PURPOSES UNDER THIS SECTION ARE IN ALL RESPECTS FOR THE
BENEFIT  OF THE PEOPLE OF THE STATE OF NEW YORK AND ARE PUBLIC PURPOSES.
ACCORDINGLY, THE AUTHORITY SHALL BE REGARDED AS PERFORMING AN  ESSENTIAL
GOVERNMENTAL FUNCTION IN THE EXERCISE OF THE POWERS CONFERRED UPON IT BY
THIS  SECTION.  THE  PROPERTY OF THE AUTHORITY, ITS INCOME AND ITS OPER-
ATIONS SHALL BE EXEMPT FROM TAXATION, ASSESSMENTS,  SPECIAL  ASSESSMENTS
AND  AD  VALOREM  LEVIES. THE AUTHORITY SHALL NOT BE REQUIRED TO PAY ANY
FEES, TAXES, SPECIAL AD VALOREM  LEVIES  OR  ASSESSMENTS  OF  ANY  KIND,
WHETHER  STATE  OR  LOCAL,  INCLUDING, BUT NOT LIMITED TO, REAL PROPERTY
TAXES, FRANCHISE TAXES, SALES TAXES OR OTHER TAXES, UPON OR WITH RESPECT
TO ANY PROPERTY OWNED BY IT OR UNDER ITS JURISDICTION, CONTROL OR SUPER-
VISION, OR UPON THE USES THEREOF, OR UPON OR WITH RESPECT TO ITS  ACTIV-
ITIES  OR  OPERATIONS  IN FURTHERANCE OF THE POWERS CONFERRED UPON IT BY
THIS SECTION, OR UPON OR WITH RESPECT TO ANY ASSESSMENTS, RATES,  CHARG-
ES, FEES, REVENUES OR OTHER INCOME RECEIVED BY THE AUTHORITY.
  (B)  ANY BONDS ISSUED PURSUANT TO THIS SECTION, THEIR TRANSFER AND THE
INCOME THEREFROM SHALL, AT ALL TIMES, BE EXEMPT FROM TAXATION EXCEPT FOR
ESTATE OR GIFT TAXES AND TAXES ON TRANSFERS.
  (C) THE STATE HEREBY COVENANTS WITH THE PURCHASERS AND WITH ALL SUBSE-
QUENT HOLDERS AND TRANSFEREES OF BONDS ISSUED BY THE AUTHORITY  PURSUANT
TO  THIS  SECTION, IN CONSIDERATION OF THE ACCEPTANCE OF AND PAYMENT FOR
THE BONDS, THAT THE BONDS OF  THE  AUTHORITY  ISSUED  PURSUANT  TO  THIS
SECTION  AND THE INCOME THEREFROM AND ALL ASSESSMENTS, REVENUES, MONEYS,
AND OTHER PROPERTY RECEIVED BY THE AUTHORITY AND PLEDGED TO  PAY  OR  TO
SECURE THE PAYMENT OF SUCH BONDS SHALL AT ALL TIMES BE EXEMPT FROM TAXA-
TION.
  (D)  IN  THE  CASE OF ANY BONDS OF THE AUTHORITY, INTEREST ON WHICH IS
INTENDED TO BE EXEMPT FROM  FEDERAL  INCOME  TAX,  THE  AUTHORITY  SHALL
PRESCRIBE  RESTRICTIONS  ON  THE USE OF THE PROCEEDS THEREOF AND RELATED
MATTERS ONLY AS ARE NECESSARY OR DESIRABLE TO ASSURE SUCH EXEMPTION, AND
THE RECIPIENTS OF SUCH PROCEEDS SHALL BE BOUND  THEREBY  TO  THE  EXTENT
SUCH  RESTRICTIONS SHALL BE MADE APPLICABLE TO THEM. ANY SUCH RECIPIENT,
INCLUDING, BUT NOT LIMITED TO, THE STATE, THE STATE  INSURANCE  FUND,  A
PUBLIC  BENEFIT  CORPORATION,  AND  A SCHOOL DISTRICT OR MUNICIPALITY IS
AUTHORIZED TO EXECUTE A TAX REGULATORY AGREEMENT WITH THE  AUTHORITY  OR
THE  STATE,  AS  THE CASE MAY BE, AND THE EXECUTION OF SUCH AN AGREEMENT
MAY BE TREATED BY THE AUTHORITY OR THE STATE AS A CONDITION TO RECEIVING
ANY SUCH PROCEEDS.
  10. (A) THE STATE,  SOLELY  WITH  RESPECT  TO  THE  RESOURCES  OF  THE
SELF-INSURER  OFFSET  FUND  AND  AS  SET  FORTH IN THE SELF-INSURED BOND
FINANCING AGREEMENT, COVENANTS WITH THE PURCHASERS  AND  ALL  SUBSEQUENT
OWNERS AND TRANSFEREES OF BONDS ISSUED BY THE AUTHORITY PURSUANT TO THIS
SECTION  IN CONSIDERATION OF THE ACCEPTANCE OF THE PAYMENT OF THE BONDS,
UNTIL THE BONDS, TOGETHER WITH THE INTEREST THEREON,  WITH  INTEREST  ON
ANY  UNPAID  INSTALLMENT  OF  INTEREST  AND  ALL  COSTS  AND EXPENSES IN
CONNECTION WITH ANY ACTION OR PROCEEDING ON BEHALF OF  THE  OWNERS,  ARE
FULLY  MET  AND  DISCHARGED  OR  UNLESS EXPRESSLY PERMITTED OR OTHERWISE

S. 2607--D                         170                        A. 3007--D

AUTHORIZED BY THE TERMS OF EACH FINANCING  AGREEMENT  AND  ANY  CONTRACT
MADE  OR  ENTERED  INTO BY THE AUTHORITY WITH OR FOR THE BENEFIT OF SUCH
OWNERS:
  (I)  THAT  IN  THE  EVENT BONDS OF THE AUTHORITY ARE SOLD AS FEDERALLY
TAX-EXEMPT BONDS, THE STATE SHALL NOT TAKE ANY ACTION OR  FAIL  TO  TAKE
ACTION  THAT  WOULD  RESULT IN THE LOSS OF SUCH FEDERAL TAX EXEMPTION ON
SAID BONDS;
  (II) THAT THE STATE WILL CAUSE  THE  WORKERS'  COMPENSATION  BOARD  TO
IMPOSE,  CHARGE,  RAISE, LEVY, COLLECT AND APPLY THE PLEDGED ASSESSMENTS
FOR THE PAYMENT OF DEBT SERVICE REQUIREMENTS IN EACH YEAR IN WHICH BONDS
ARE OUTSTANDING; AND
  (III) THAT THE STATE, SUBSEQUENT TO THE ISSUANCE OF BONDS  UNDER  THIS
SECTION:
  (A) WILL NOT MATERIALLY LIMIT OR ALTER THE DUTIES IMPOSED ON THE WORK-
ERS'  COMPENSATION BOARD, THE AUTHORITY, AND OTHER OFFICERS OF THE STATE
BY THE SELF-INSURED BOND FINANCING AGREEMENT AND  THE  BOND  PROCEEDINGS
AUTHORIZING THE ISSUANCE OF BONDS WITH RESPECT TO APPLICATION OF PLEDGED
ASSESSMENTS FOR THE PAYMENT OF DEBT SERVICE REQUIREMENTS;
  (B)  WILL  NOT  ISSUE  ANY  BONDS, NOTES OR OTHER EVIDENCES OF INDEBT-
EDNESS, OTHER THAN THE BONDS AUTHORIZED  BY  THIS  SECTION,  HAVING  ANY
RIGHTS  ARISING  OUT  OF  SUBPARAGRAPH TWO OF PARAGRAPH C OF SUBDIVISION
FIVE OF SECTION FIFTY OF THE WORKERS' COMPENSATION LAW OR  THIS  SECTION
OR  SECURED  BY  ANY  PLEDGE  OF OR OTHER LIEN OR CHARGE ON THE REVENUES
PLEDGED FOR THE PAYMENT OF DEBT SERVICE REQUIREMENTS; EXCEPT  FOR  BONDS
AUTHORIZED  UNDER  SUBDIVISION  EIGHT OF SECTION FIFTEEN OF THE WORKERS'
COMPENSATION LAW.
  (C) WILL NOT CREATE OR CAUSE TO BE CREATED ANY LIEN OR CHARGE  ON  THE
PLEDGED  REVENUES,  OTHER THAN A LIEN OR PLEDGE CREATED THEREON PURSUANT
TO SAID SECTIONS;
  (D) WILL CARRY OUT AND  PERFORM,  OR  CAUSE  TO  BE  CARRIED  OUT  AND
PERFORMED,  EACH AND EVERY PROMISE, COVENANT, AGREEMENT OR CONTRACT MADE
OR ENTERED INTO BY THE FINANCING AGREEMENT, BY THE AUTHORITY OR  ON  ITS
BEHALF WITH THE BOND OWNERS OF ANY BONDS;
  (E)  WILL  NOT IN ANY WAY IMPAIR THE RIGHTS, EXEMPTIONS OR REMEDIES OF
THE BOND OWNERS; AND
  (F) WILL NOT LIMIT, MODIFY, RESCIND, REPEAL  OR  OTHERWISE  ALTER  THE
RIGHTS  OR  OBLIGATIONS  OF  THE  APPROPRIATE  OFFICERS  OF THE STATE TO
IMPOSE, MAINTAIN, CHARGE OR COLLECT  THE  ASSESSMENTS  CONSTITUTING  THE
PLEDGED  REVENUES  AS MAY BE NECESSARY TO PRODUCE SUFFICIENT REVENUES TO
FULFILL THE TERMS OF THE PROCEEDINGS AUTHORIZING  THE  ISSUANCE  OF  THE
BONDS, INCLUDING PLEDGED REVENUE COVERAGE REQUIREMENTS.
  (B)  NOTWITHSTANDING  THE PROVISIONS OF PARAGRAPH (A) OF THIS SUBDIVI-
SION:
  (I) THE REMEDIES AVAILABLE TO THE AUTHORITY AND  THE  BONDHOLDERS  FOR
ANY  BREACH OF THE PLEDGES AND AGREEMENTS OF THE STATE SET FORTH IN THIS
SUBDIVISION SHALL BE LIMITED TO INJUNCTIVE RELIEF;
  (II) NOTHING IN THIS SUBDIVISION  SHALL  PREVENT  THE  AUTHORITY  FROM
ISSUING EVIDENCES OF INDEBTEDNESS:
  (A)  WHICH  ARE SECURED BY A PLEDGE OR LIEN WHICH IS, AND SHALL ON THE
FACE THEREOF, BE EXPRESSLY SUBORDINATE AND JUNIOR  IN  ALL  RESPECTS  TO
EVERY LIEN AND PLEDGE CREATED BY OR PURSUANT TO SAID SECTIONS; OR
  (B)  WHICH  ARE  SECURED  BY  A  PLEDGE  OF OR LIEN ON MONEYS OR FUNDS
DERIVED ON OR AFTER THE DATE EVERY PLEDGE OR LIEN THEREON CREATED BY  OR
PURSUANT TO SAID SECTIONS SHALL BE DISCHARGED AND SATISFIED; AND
  (III)  NOTHING IN THIS SUBDIVISION SHALL PRECLUDE THE STATE FROM EXER-
CISING ITS POWER, THROUGH A CHANGE IN LAW, TO  LIMIT,  MODIFY,  RESCIND,

S. 2607--D                         171                        A. 3007--D

REPEAL  OR  OTHERWISE  ALTER THE CHARACTER OF THE PLEDGED ASSESSMENTS OR
REVENUES OR TO SUBSTITUTE LIKE  OR  DIFFERENT  SOURCES  OF  ASSESSMENTS,
TAXES,  FEES,  CHARGES OR OTHER RECEIPTS AS PLEDGED REVENUES IF AND WHEN
ADEQUATE  PROVISION SHALL BE MADE BY LAW FOR THE PROTECTION OF THE HOLD-
ERS OF OUTSTANDING BONDS PURSUANT TO THE  PROCEEDINGS  UNDER  WHICH  THE
BONDS  ARE  ISSUED,  INCLUDING CHANGING OR ALTERING THE METHOD OF ESTAB-
LISHING THE SPECIAL ASSESSMENTS.
  (C) THE AUTHORITY IS AUTHORIZED TO INCLUDE THIS COVENANT OF THE STATE,
AS A CONTRACT OF THE STATE, IN ANY AGREEMENT WITH THE OWNER OF ANY BONDS
ISSUED PURSUANT TO THIS SECTION AND IN ANY CREDIT FACILITY OR REIMBURSE-
MENT AGREEMENT WITH RESPECT TO SUCH BONDS.  NOTWITHSTANDING THESE PLEDG-
ES AND AGREEMENTS BY THE STATE, THE ATTORNEY GENERAL MAY IN HIS  OR  HER
DISCRETION  ENFORCE  ANY  AND ALL PROVISIONS RELATED TO THE SELF-INSURED
BOND FUND, WITHOUT LIMITATION.
  (D) PRIOR TO THE DATE WHICH IS ONE YEAR AND ONE DAY AFTER THE AUTHORI-
TY NO LONGER HAS ANY BONDS ISSUED PURSUANT TO THIS SECTION  OUTSTANDING,
THE AUTHORITY SHALL HAVE NO AUTHORITY TO FILE A VOLUNTARY PETITION UNDER
CHAPTER  NINE OF THE FEDERAL BANKRUPTCY CODE OR SUCH CORRESPONDING CHAP-
TER OR SECTIONS AS MAY BE IN EFFECT, AND NEITHER ANY PUBLIC OFFICER  NOR
ANY  ORGANIZATION,  ENTITY OR OTHER PERSON SHALL AUTHORIZE THE AUTHORITY
TO BE OR BECOME A DEBTOR UNDER CHAPTER NINE OR ANY SUCCESSOR  OR  CORRE-
SPONDING CHAPTER OR SECTIONS DURING SUCH PERIOD. THE STATE HEREBY COVEN-
ANTS  WITH  THE OWNERS OF THE BONDS OF THE AUTHORITY THAT THE STATE WILL
NOT LIMIT OR ALTER THE DENIAL OF AUTHORITY UNDER THIS SUBDIVISION DURING
THE PERIOD REFERRED TO IN  THE  PRECEDING  SENTENCE.  THE  AUTHORITY  IS
AUTHORIZED  TO  INCLUDE THIS COVENANT OF THE STATE, AS A CONTRACT OF THE
STATE, IN ANY AGREEMENT WITH THE OWNER OF ANY BONDS ISSUED  PURSUANT  TO
THIS SECTION.
  (E)  TO  THE EXTENT DEEMED APPROPRIATE BY THE AUTHORITY ANY PLEDGE AND
AGREEMENT OF THE STATE WITH RESPECT TO THE BONDS  AS  PROVIDED  IN  THIS
SECTION MAY BE EXTENDED TO, AND INCLUDED IN, ANY ANCILLARY BOND FACILITY
AS  A PLEDGE AND AGREEMENT OF THE STATE WITH THE AUTHORITY AND THE BENE-
FITED PARTY.
  11. THE BONDS OF THE AUTHORITY ARE HEREBY MADE SECURITIES IN WHICH ALL
PUBLIC OFFICERS AND BODIES OF THIS  STATE  AND  ALL  MUNICIPALITIES  AND
POLITICAL  SUBDIVISIONS,  ALL  INSURANCE  COMPANIES AND ASSOCIATIONS AND
OTHER PERSONS CARRYING ON AN INSURANCE  BUSINESS,  ALL  BANKS,  BANKERS,
TRUST  COMPANIES,  SAVINGS  BANKS  AND  SAVINGS  ASSOCIATIONS, INCLUDING
SAVINGS AND LOAN ASSOCIATIONS, BUILDING AND LOAN  ASSOCIATIONS,  INVEST-
MENT  COMPANIES  AND  OTHER  PERSONS CARRYING ON A BANKING BUSINESS, ALL
ADMINISTRATORS, GUARDIANS, EXECUTORS, TRUSTEES  AND  OTHER  FIDUCIARIES,
AND ALL OTHER PERSONS WHATSOEVER WHO ARE NOW OR MAY HEREAFTER BE AUTHOR-
IZED  TO INVEST IN BONDS OR IN OTHER OBLIGATIONS OF THE STATE, MAY PROP-
ERLY AND LEGALLY INVEST FUNDS, INCLUDING CAPITAL, IN  THEIR  CONTROL  OR
BELONGING  TO  THEM. THE BONDS ARE ALSO HEREBY MADE SECURITIES WHICH MAY
BE DEPOSITED WITH AND MAY BE RECEIVED BY ALL PUBLIC OFFICERS AND  BODIES
OF  THE  STATE AND ALL MUNICIPALITIES, POLITICAL SUBDIVISIONS AND PUBLIC
CORPORATIONS FOR ANY PURPOSE FOR WHICH THE DEPOSIT  OF  BONDS  OR  OTHER
OBLIGATIONS OF THE STATE IS NOW OR MAY HEREAFTER BE AUTHORIZED.
  12.  (A) AN ACTION AGAINST THE AUTHORITY FOR DEATH, PERSONAL INJURY OR
PROPERTY DAMAGE OR FOUNDED ON TORT SHALL NOT BE COMMENCED MORE THAN  ONE
YEAR  AND  NINETY  DAYS  AFTER  THE  CAUSE  OF ACTION THEREOF SHALL HAVE
ACCRUED NOR UNLESS A NOTICE OF CLAIM SHALL HAVE BEEN SERVED ON A  MEMBER
OF  THE  AUTHORITY  OR  OFFICER  OR  EMPLOYEE  THEREOF DESIGNATED BY THE
AUTHORITY FOR SUCH PURPOSE, WITHIN THE TIME LIMITED BY, AND  IN  COMPLI-

S. 2607--D                         172                        A. 3007--D

ANCE  WITH  THE REQUIREMENTS OF SECTION FIFTY-E OF THE GENERAL MUNICIPAL
LAW.
  (B)  THE  VENUE  OF  EVERY  ACTION, SUIT OR SPECIAL PROCEEDING BROUGHT
AGAINST THE AUTHORITY OR CONCERNING THE VALIDITY OF THIS  SECTION  SHALL
BE LAID IN THE COUNTY OF ALBANY.
  (C) THE BONDS, AND ANY OBLIGATION OF THE AUTHORITY UNDER ANY ANCILLARY
BOND  FACILITY,  MAY CONTAIN A RECITAL THAT THEY ARE ISSUED OR EXECUTED,
RESPECTIVELY, PURSUANT TO THIS SECTION, WHICH RECITAL SHALL  BE  CONCLU-
SIVE  EVIDENCE  OF  THE  VALIDITY  OF THE BONDS AND ANY SUCH OBLIGATION,
RESPECTIVELY, AND THE REGULARITY OF THE  PROCEEDINGS  OF  THE  AUTHORITY
RELATING THERETO.
  13.  ANY  ACTION OR PROCEEDING TO WHICH THE AUTHORITY OR THE PEOPLE OF
THE STATE MAY BE PARTIES, IN WHICH ANY QUESTION ARISES AS TO THE VALIDI-
TY OF THIS SECTION, SHALL BE PREFERRED OVER ALL OTHER  CIVIL  CAUSES  OF
ACTION  OR  CASES,  EXCEPT  ELECTION  CAUSES  OF ACTION OR CASES, IN ALL
COURTS OF THE STATE AND SHALL BE HEARD AND DETERMINED IN  PREFERENCE  TO
ALL  OTHER CIVIL BUSINESS PENDING THEREIN, EXCEPT ELECTION CAUSES, IRRE-
SPECTIVE OF POSITION ON THE CALENDAR.   THE  SAME  PREFERENCE  SHALL  BE
GRANTED  UPON  APPLICATION OF THE AUTHORITY OR ITS COUNSEL IN ANY ACTION
OR PROCEEDING QUESTIONING THE VALIDITY OF  THIS  SECTION  IN  WHICH  THE
AUTHORITY MAY BE ALLOWED TO INTERVENE.
  14.  NOTWITHSTANDING ANY LAW TO THE CONTRARY, NO FUNDS OF THE SELF-IN-
SURER OFFSET FUND MAY BE USED FOR ANY PURPOSE OTHER THAN THOSE SET FORTH
IN THIS SECTION AND SECTION FIFTY-A OF THE WORKERS' COMPENSATION LAW.
  S 36. Subdivision 1 of section  17  of  the  public  officers  law  is
amended by adding a new paragraph (x) to read as follows:
  (X)  FOR  THE  PURPOSES  OF  THIS  SECTION,  THE TERM "EMPLOYEE" SHALL
INCLUDE THE MEMBERS OF THE  BOARD, OFFICERS AND EMPLOYEES OF THE  DORMI-
TORY  AUTHORITY  FOR PURPOSES OF SECTION SIXTEEN HUNDRED EIGHTY-Q OF THE
PUBLIC AUTHORITIES LAW.
  S 37. This act shall take effect immediately, provided,  however  that
section  ten of this act shall take effect on the ninetieth day after it
shall have become a law.

                                 PART HH

  Section 1. The state comptroller is hereby authorized and directed  to
loan  money in accordance with the provisions set forth in subdivision 5
of section 4 of the state finance law  to  the  following  funds  and/or
accounts:
  1. Tuition reimbursement fund:
  a. Tuition reimbursement account (20451).
  b. Proprietary vocational school supervision account (20452).
  2. Local government records management improvement fund:
  a. Local government records management account (20501).
  3. Dedicated highway and bridge trust fund:
  a. Highway and bridge capital account (30051).
  4. State university residence hall rehabilitation fund.
  5. State parks infrastructure trust fund:
  a. State parks infrastructure account (30351).
  6. Clean water/clean air implementation fund.
  7. Employees health insurance fund.
  a. Employees health insurance account (60201).
  8. State lottery fund:
  a. Education - New (20901).
  b. VLT - Sound basic education fund (20904).

S. 2607--D                         173                        A. 3007--D

  9. Medicaid management information system escrow fund.
  10. Sewage treatment program management and administration fund.
  11. Environmental conservation special revenue fund:
  a. Waste cleanup and management account (21053).
  b. Hazardous bulk storage account (21061).
  c. Great lakes restoration initiative account (21087).
  d. Low level radioactive waste siting account (21066).
  e. Recreation account (21067).
  f. Public safety recovery account (21077).
  g. Conservationist magazine account (21080).
  h. Environmental regulatory account (21081).
  i. Natural resource account (21082).
  j. Mined land reclamation program account (21084).
  k. Federal grants indirect cost recovery account (21065).
  12. Environmental protection and oil spill compensation fund.
  13. Hazardous waste remedial fund:
  a. Hazardous waste remedial cleanup account (31506).
  14. Mass transportation operating assistance fund:
  a. Public transportation systems account (21401).
  b. Metropolitan mass transportation (21402).
  15. Clean air fund:
  a. Operating permit program account (21451).
  b. Mobile source account (21452).
  16. Centralized services fund.
  17. State exposition special fund.
  18. Agency enterprise fund:
  a. OGS convention center account (50318).
  19. Agencies internal service fund:
  a. Archives records management account (55052).
  b. Federal single audit account (55053).
  c. Civil service law: sec 11 admin account (55055).
  d. Civil service EHS occupational health program account (55056).
  e. Banking services account (55057).
  f. Cultural resources survey account (55058).
  g. Neighborhood work project (55059).
  h. Automation & printing chargeback account (55060).
  i. OFT NYT account (55061).
  j. Data center account (55062).
  k. Human service telecom account (55063).
  l. Centralized technology services account (55069).
  m. OPWDD copy center account (55065).
  n. Intrusion detection account (55066).
  o. Domestic violence grant account (55067).
  p. Learning management system account (55070).
  q. Tax contact center account.
  r. Human services contact center account.
  s. Labor contact center account.
  20. Miscellaneous special revenue fund:
  a. Statewide planning and research cooperative system account (21902).
  b. OPWDD provider of service account (21903).
  c. New York state thruway authority account (21905).
  d. Mental hygiene patient income account (21909).
  e. Financial control board account (21911).
  f. Regulation of racing account (21912).
  g. New York metropolitan transportation council account (21913).
  h. Cyber upgrade account (21919).

S. 2607--D                         174                        A. 3007--D

  i. State university dormitory income reimbursable account (21937).
  j. Energy research account (21943).
  k. Criminal justice improvement account (21945).
  l. Fingerprint identification and technology account (21950).
  m. Environmental laboratory reference fee account (21959).
  n. Clinical laboratory reference system assessment account (21962).
  o. Public employment relations board account (21964).
  p. Cable television account (21971).
  q. Indirect cost recovery account (21978).
  r. High school equivalency program account (21979).
  s. Rail safety inspection account (21983).
  t. Multi-agency training account (21989).
  u. Critical infrastructure account (21992).
  v. Bell jar collection account (22003).
  w. Industry and utility service account (22004).
  x. Real property disposition account (22006).
  y. Parking account (22007).
  z. Asbestos safety training program account (22009).
  aa. Public service account (22011).
  bb. Batavia school for the blind account (22032).
  cc. Investment services account (22034).
  dd. Surplus property account (22036).
  ee. Financial oversight account (22039).
  ff. Regulation of indian gaming account (22046).
  gg. Rome school for the deaf account (22053).
  hh. Seized assets account (22054).
  ii. Administrative adjudication account (22055).
  jj. Federal salary sharing account (22056).
  kk. New York City assessment account (22062).
  ll. Cultural education account (22063).
  mm. Examination and miscellaneous revenue account (22065).
  nn. Local services account (22078).
  oo. DHCR mortgage servicing account (22085).
  pp. Department of motor vehicles compulsory insurance account (22087).
  qq. Housing indirect cost recovery account (22090).
  rr. DHCR-HCA application fee account (22100).
  ss. Low income housing monitoring account (22130).
  tt. Corporation administration account (22135).
  uu. Montrose veteran's home account (22144).
  vv. Motor fuel quality account (22149).
  ww. Deferred compensation administration account (22151).
  xx. Rent revenue other account (22156).
  yy. Rent revenue account (22158).
  zz. Tax revenue arrearage account (22168).
  aaa. Solid waste management account (22176).
  bbb. Capacity contracting (22016).
  ccc. Point insurance reduction program account.
  ddd. Internet point insurance reduction program account (22094).
  eee. Mental hygiene program fund account (21907).
  fff. Third party debt collection account.
  21. New York State Storm Recovery Capital Fund:
  22. State university income fund:
  a. State university general income offset account (22654).
  23. State police and motor vehicle law enforcement fund:
  a. State police motor vehicle law enforcement account (22802).
  24. Youth facilities improvement fund:

S. 2607--D                         175                        A. 3007--D

  a. Youth facilities improvement account (31701).
  25. Highway safety program fund:
  a. Highway safety program account (23001).
  26. Drinking water program management and administration fund:
  a. EFC drinking water program account (23101).
  b. DOH drinking water program account (23102).
  27. New York city county clerks offset fund:
  a. NYCCC operating offset account (23151).
  28. Housing assistance fund.
  29. Housing program fund.
  30. Department of transportation - engineering services fund:
  a. Highway facility purpose account (31951).
  31. Miscellaneous capital projects fund:
  a. New York racing account (32213).
  32. Mental hygiene facilities capital improvement fund.
  33. Joint labor/management administration fund:
  a. Joint labor/management administration fund (55201).
  34. Audit and control revolving fund:
  a. Executive direction internal audit account (55251).
  b. CIO Information technology centralized services account (55252).
  35. Health insurance internal service fund:
  a. Health insurance internal service account (55300).
  b. Civil service employee benefits div admin (55301).
  36. Correctional industries revolving fund.
  37. Correctional facilities capital improvement fund.
  38. HCRA resources fund:
  a. EPIC premium account (20818).
  b. Hospital based grants program account (20812).
  c. Child health plus program account (20810).
  S 1-a. The state comptroller is hereby authorized and directed to loan
money  in  accordance  with the provisions set forth in subdivision 5 of
section 4 of the state finance law to any account within  the  following
federal  funds,  provided  the comptroller has made a determination that
sufficient federal grant award authority is available to reimburse  such
loans:
  1. Federal USDA-food nutrition services fund.
  2. Federal health and human services fund.
  3. Federal education grants fund.
  4. Federal block grant fund.
  5. Federal operating grants fund.
  6. Federal capital projects fund.
  7. Federal unemployment insurance administration fund.
  8. Federal unemployment insurance occupational training fund.
  9. Federal employment and training grants.
  S  2.  Notwithstanding any law to the contrary, and in accordance with
section 4 of the state finance law, the comptroller is hereby authorized
and directed to transfer, upon request of the director of the budget, on
or before March 31, 2014, up to the unencumbered balance or the  follow-
ing amounts:
  Economic Development and Public Authorities:
  1.  $175,000  from  the miscellaneous special revenue fund underground
facilities safety training account (22172), to the general fund.
  2. An amount up to the unencumbered  balance  from  the  miscellaneous
special  revenue  fund, business and licensing services account (21977),
to the general fund.

S. 2607--D                         176                        A. 3007--D

  3. $14,810,000 from  the  miscellaneous  special  revenue  fund,  code
enforcement account (21904), to the general fund.
  4.  An  amount  up  to the unencumbered balance from the miscellaneous
special revenue fund,  administrative  costs  account  (21974),  to  the
general fund.
  5.  $3,000,000  from  the  general  fund  to the miscellaneous special
revenue fund, tax revenue arrearage account (22168).
  Education:
  1. $2,230,000,000 from the general fund to  the  state  lottery  fund,
education  account (20901), as reimbursement for disbursements made from
such fund for supplemental aid to education pursuant to section 92-c  of
the  state  finance  law  that are in excess of the amounts deposited in
such fund for such purposes pursuant to section 1612 of the tax law.
  2. $951,800,000 from the general fund to the state lottery  fund,  VLT
education  account (20904), as reimbursement for disbursements made from
such fund for supplemental aid to education pursuant to section 92-c  of
the  state  finance  law  that are in excess of the amounts deposited in
such fund for such purposes pursuant to section 1612 of the tax law.
  3. Moneys from the state lottery fund up to  an  amount  deposited  in
such  fund  pursuant  to  section  1612  of the tax law in excess of the
current year appropriation for supplemental aid to education pursuant to
section 92-c of the state finance law.
  4. $300,000 from the local government records  management  improvement
fund to the archives partnership trust fund.
  5. $900,000 from the general fund to the miscellaneous special revenue
fund, Batavia school for the blind account (22032).
  6. $900,000 from the general fund to the miscellaneous special revenue
fund, Rome school for the deaf account (22053).
  7.  $80,000,000 from the state university dormitory income fund to the
state university residence hall rehabilitation fund.
  8. $343,400,000 from the state university dormitory income fund to the
miscellaneous special revenue fund, state  university  dormitory  income
reimbursable account (21937).
  9.  $24,000,000  from  any  of  the state education department special
revenue and internal service funds to the miscellaneous special  revenue
fund, indirect cost recovery account (21978).
  10.  $8,318,000  from  the general fund to the state university income
fund, state university income offset account (22654),  for  the  state's
share of repayment of the STIP loan.
  11. $51,700,000 from the state university income fund, state universi-
ty hospitals income reimbursable account (22656) to the general fund for
hospital  debt  service  for  the period April 1, 2013 through March 31,
2014.
  Environmental Affairs:
  1. $5,000,000 from the department of transportation's federal  capital
projects  fund  to  the office of parks and recreation federal operating
grants fund, miscellaneous operating grants account (25300).
  2. $16,000,000 from any of the department of  environmental  conserva-
tion's special revenue federal funds to the special revenue fund federal
grant indirect cost recovery account (22188).
  3.  $2,000,000  from  any of the department of environmental conserva-
tion's special revenue federal funds to the conservation fund as  neces-
sary to avoid diversion of conservation funds.
  4.  $15,000,000  from the environmental protection fund, environmental
protection transfer account (30451) to the general fund.

S. 2607--D                         177                        A. 3007--D

  5. $3,000,000 from any of the office of parks, recreation and historic
preservation capital projects federal funds and special revenue  federal
funds  to  the special revenue fund federal grant indirect cost recovery
account (22188).
  6. $1,000,000 from any of the office of parks, recreation and historic
preservation  special revenue federal funds to the special revenue fund,
I love NY water account (21930).
  Family Assistance:
  1. $10,000,000 from any of the office of children and family services,
office of temporary and disability assistance, or department  of  health
special  revenue  federal funds and the general fund, in accordance with
agreements with social services districts, to the miscellaneous  special
revenue  fund, office of human resources development state match account
(21967).
  2. $3,000,000 from any of the office of children and  family  services
or office of temporary and disability assistance special revenue federal
funds to the miscellaneous special revenue fund, family preservation and
support services and family violence services account (22082).
  3.  $6,000,000  from any of the office of children and family services
special revenue federal  funds  to  the  general  fund  for  title  IV-E
reimbursement of youth facility costs.
  4. $12,670,000 from any of the office of children and family services,
office  of  temporary and disability assistance, or department of health
special revenue federal  funds  and  any  other  miscellaneous  revenues
generated  from  the operation of office of children and family services
programs to the general fund.
  5. $10,000,000 from any of the office of children and family  services
or  office  of temporary and disability assistance special revenue funds
or  the  general  fund  to  the  miscellaneous  special  revenue   fund,
connections account (22180).
  6.  $41,000,000  from  any  of  the office of temporary and disability
assistance accounts within the federal health and human services fund to
the general fund.
  7. $159,000,000 from any of the office  of  temporary  and  disability
assistance  or department of health special revenue funds to the general
fund.
  8. $2,500,000 from any of  the  office  of  temporary  and  disability
assistance  or  office  of  children and family services special revenue
federal funds to the  miscellaneous  special  revenue  fund,  office  of
temporary and disability assistance program account (21980).
  9. $50,000,000 from any of the office of children and family services,
office  of temporary and disability assistance, department of labor, and
department of health special revenue federal  funds  to  the  office  of
children  and family services miscellaneous special revenue fund, multi-
agency training contract account (21989).
  10. $152,400,000 from the miscellaneous special  revenue  fund,  youth
facility per Diem account (22186), to the general fund.
  11.  $621,850 from the general fund to the combined gifts, grants, and
bequests fund, WB Hoyt Memorial account (20128).
  12. $4,822,000 from  the  miscellaneous  special  revenue  fund  state
central registry (22028) to the general fund.
  General Government:
  1. $1,566,000 from the miscellaneous special revenue fund, examination
and miscellaneous revenue account (22065) to the general fund.
  2. $12,500,000 from the general fund to the health insurance revolving
fund.

S. 2607--D                         178                        A. 3007--D

  3. $192,400,000 from the health insurance reserve receipts fund to the
general fund.
  4. $150,000 from the general fund to the not-for-profit revolving loan
fund.
  5. $150,000 from the not-for-profit revolving loan fund to the general
fund.
  6. $31,000,000 from the miscellaneous special revenue fund, real prop-
erty disposition account (22006), to the general fund.
  7.  $3,000,000  from  the  miscellaneous special revenue fund, surplus
property account (22036), to the general fund.
  8. $18,200,000 from the general  fund  to  the  miscellaneous  special
revenue fund, alcoholic beverage control account (22033).
  9.  $23,000,000  from  the miscellaneous special revenue fund, revenue
arrearage account (22024), to the general fund.
  10. $1,826,000 from the miscellaneous  special  revenue  fund  revenue
arrearage  account  (22024),  to  the miscellaneous special revenue fund
authority budget office account (22138).
  11. $1,000,000 from the miscellaneous special  revenue  fund,  parking
services  account (22007), to the general fund, for the purpose of reim-
bursing the costs of debt service related to state parking facilities.
  12. $52,600,000 from the general fund  to  the  miscellaneous  special
revenue fund, statewide financial system account (22074).
  13.  $40,000,000  from  the  general fund to the office for technology
internal service fund, central technology services account (55069),  for
the purpose of enterprise technology projects.
  Health:
  1.  $139,560,000  from the miscellaneous special revenue fund, quality
of care account (21915) to the general fund.
  2. $1,000,000 from the general fund to the combined gifts, grants  and
bequests  fund, breast cancer research and education account (20155), an
amount equal to the monies collected and deposited into that account  in
the previous fiscal year.
  3. $2,464,000 from any of the department of health accounts within the
federal  health  and  human  services  fund  to the department of health
miscellaneous special revenue  fund,  statewide  planning  and  research
cooperation system (SPARCS) program account (21902).
  4.  $250,000  from  the general fund to the combined gifts, grants and
bequests  fund,  prostate  cancer  research,  detection,  and  education
account  (20183),  an amount equal to the moneys collected and deposited
into that account in the previous fiscal year.
  5. $500,000 from the general fund to the combined  gifts,  grants  and
bequests  fund,  Alzheimer's  disease  research  and  assistance account
(20143), an amount equal to the moneys collected and deposited into that
account in the previous fiscal year.
  6. $1,000,000 from the miscellaneous special  revenue  fund,  adminis-
tration account (21982), to the general fund.
  7.  $600,000,000  from any of the department of health accounts within
the federal health and human services fund to the miscellaneous  special
revenue fund, federal state health reform partnership account (22076).
  8.  $26,000,000 from the special revenue fund, HCRA resources fund, to
the miscellaneous special revenue fund, empire  state  stem  cell  trust
fund account (22161).
  9.  $1,250,000  from  the  miscellaneous  New  York state agency fund,
medical assistance account to the general fund.
  10. $3,700,000 from the miscellaneous  New  York  state  agency  fund,
medical assistance account to the general fund.

S. 2607--D                         179                        A. 3007--D

  11.  $14,000,000  from  the  general fund to the miscellaneous special
revenue fund, empire state stem cell trust fund (22161).
  12.  $139,560,000 from any of the department of health accounts within
the federal health and human services fund to the miscellaneous  special
revenue fund, quality of care account (21915).
  Labor:
  1.  $700,000  from  the  labor standards miscellaneous special revenue
fund, fee and penalty account (21923), to the child performer protection
fund, child performer protection account (20401).
  2. $8,400,000 from the labor standards miscellaneous  special  revenue
fund, fee and penalty account (21923), to the general fund.
  3.  $3,300,000  from  the  unemployment insurance interest and penalty
special revenue fund, unemployment insurance special interest and penal-
ty account (23601), to the general fund.
  4. $3,000,000 from the labor standards miscellaneous  special  revenue
fund, public work enforcement account (21998), to the general fund.
  5.  $2,200,000 from the training and education program on occupational
safety and  health  fund,  occupational  safety  and  health  inspection
account (21252), to the general fund.
  6.  $900,000  from  the training and education program on occupational
safety and health fund, training and education account (21251),  to  the
general fund.
  Mental Hygiene:
  1.  $10,000,000  from  the  miscellaneous special revenue fund, mental
hygiene patient income account (21909),  to  the  miscellaneous  special
revenue fund, federal salary sharing account (22056).
  2.  $150,000,000  from  the miscellaneous special revenue fund, mental
hygiene patient income account  (21909)  to  the  miscellaneous  special
revenue fund, provider of service accounts (21903).
  3.  $150,000,000  from  the miscellaneous special revenue fund, mental
hygiene program fund account (21907) to the miscellaneous special reven-
ue fund, provider of service account (21903).
  4. $1,250,000,000 from the general fund to the  miscellaneous  special
revenue fund, mental hygiene patient income account (21909).
  5.  $1,400,000,000  from the general fund to the miscellaneous special
revenue fund, mental hygiene program fund account (21907).
  6. $100,000,000 from the miscellaneous special  revenue  fund,  mental
hygiene program fund account (21907) to the general fund.
  7.  $100,000,000  from  the miscellaneous special revenue fund, mental
hygiene patient income account (21909) to the general fund.
  Public Protection:
  1. $1,350,000 from the miscellaneous special revenue  fund,  emergency
management account (21944), to the general fund.
  2.  $3,300,000  from  the  general  fund  to the miscellaneous special
revenue fund, recruitment incentive account (22171).
  3. $9,500,000 from the general fund  to  the  correctional  industries
revolving   fund,   correctional  industries  internal  service  account
(55350).
  4. $10,000,000 from federal miscellaneous operating grants fund,  DMNA
damage account (25324), to the general fund.
  5.  $16,000,000  from  the  general  fund to the miscellaneous special
revenue fund, crimes against revenue program account (22015).
  6. $20,000,000 from any office of homeland security account within the
federal miscellaneous operating grants fund, receiving money through the
homeland security grants program, to the general fund.

S. 2607--D                         180                        A. 3007--D

  7. $22,000,000 from the miscellaneous special revenue  fund,  criminal
justice improvement account (21945) to the general fund.
  8.  $20,000,000 from the miscellaneous special revenue fund, statewide
public safety communications account (22123), to the general fund.
  9. $106,000,000 from the state police and motor vehicle  law  enforce-
ment  and  motor vehicle theft and insurance fund prevention fund, state
police motor vehicle enforcement account (22802) to the general fund for
state operation expenses of the division of state police.
  10. $21,500,000 from the general fund to the  correctional  facilities
capital improvement fund.
  11.  $1,500,000 from the miscellaneous special revenue fund, statewide
public safety communications account (22123),  to  the  combined  gifts,
grants  and  bequests  fund, New York state emergency services revolving
loan account (20150).
  12. $3,000,000 from the general fund  to  the  dedicated  highway  and
bridge  trust  fund  for  the  purpose  of  work  zone safety activities
provided by the division of state police for the department of transpor-
tation.
  13. $11,000,000 from the indigent legal services fund to  the  general
fund.
  Transportation:
  1. $17,672,000 from the federal miscellaneous operating grants fund to
the  special  revenue  fund, tri-state federal regional planning account
(21913).
  2. $20,147,000 from the federal capital projects fund to  the  special
revenue fund, tri-state federal regional planning accounts (21913).
  3. $15,368,000 from the miscellaneous special revenue fund, compulsory
insurance account (22087), to the general fund.
  4.  $12,000,000 from the general fund to the mass transportation oper-
ating assistance fund, public transportation systems  operating  assist-
ance account (21401).
  5.  $624,691,000  from  the  general fund to the dedicated highway and
bridge trust fund.
  6. $606,000 from the  miscellaneous  special  revenue  fund,  internet
point insurance reduction program account (22094), to the general fund.
  7.  $6,000  from  the  miscellaneous  special revenue fund, motorcycle
safety account (21976), to the general fund.
  8. $307,200,000 from the general fund to the MTA financial  assistance
fund, mobility tax trust account (23651).
  9. $20,000,000 from the mass transportation operating assistance fund,
metropolitan  mass  transportation operating assistance account (21402),
to the general debt service  fund,  for  reimbursement  of  the  state's
expenses  in  connection  with  payments  of  debt  service  and related
expenses for the metropolitan transportation authority's  state  service
contract bonds.
  Miscellaneous:
  1. $150,000,000 from the general fund to any funds or accounts for the
purpose of reimbursing certain outstanding accounts receivable balances.
  2.  $500,000,000  from  the general fund to the debt reduction reserve
fund.
  3. $450,000,000 from the New York state storm recovery capital fund to
the revenue bond tax fund (40152).
  4. $1,000,000 from  any  of  the  state  lottery  fund  administration
accounts,  the  miscellaneous special revenue fund, regulation of racing
account (21912),  the  miscellaneous  special  revenue  fund,  bell  jar
collection  account  (22003), or the miscellaneous special revenue fund,

S. 2607--D                         181                        A. 3007--D

regulation of  Indian  gaming  account  (22046),  to  the  miscellaneous
special revenue fund, New York state gaming commission account.
  S  3.  Notwithstanding any law to the contrary, and in accordance with
section 4 of the state finance law, the comptroller is hereby authorized
and directed to transfer, on or before March 31, 2014:
  1. Upon request of the commissioner of environmental conservation,  up
to  $11,126,800 from revenues credited to any of the department of envi-
ronmental conservation special revenue funds, including $3,253,200  from
the  environmental  protection  and  oil  spill  compensation  fund, and
$1,762,600 from the conservation fund, to the environmental conservation
special revenue fund, indirect charges account (21060).
  2. Upon request of the commissioner of agriculture and markets, up  to
$3,000,000  from  any special revenue fund or enterprise fund within the
department of agriculture and markets to the general fund, to pay appro-
priate administrative expenses.
  3. Upon request of the commissioner of agriculture and markets, up  to
$2,000,000  from  the state exposition special fund, state fair receipts
account (50051) to the miscellaneous capital projects fund,  state  fair
capital improvement account (32208).
  4.  Upon  request  of  the commissioner of the division of housing and
community renewal, up to $6,221,000 from revenues credited to any  divi-
sion  of  housing and community renewal federal or miscellaneous special
revenue fund to the agency cost recovery account (22090).
  5. Upon request of the commissioner of the  division  of  housing  and
community  renewal, up to $5,500,000 may be transferred from any miscel-
laneous special revenue  fund  account,  to  any  miscellaneous  special
revenue fund.
  6.  Upon  request of the commissioner of health up to $15,000,000 from
revenues credited to any of the department of health's  special  revenue
funds, to the miscellaneous special revenue fund, administration account
(21982).
  S  4.  Notwithstanding  section  2815  of the public health law or any
other contrary provision of law, upon the direction of the  director  of
the  budget  and  the commissioner of health, the dormitory authority of
the state of New York is directed  to  transfer  seven  million  dollars
annually  from  funds  available  and  uncommitted in the New York state
health care restructuring pool to the  health  care  reform  act  (HCRA)
resources fund - HCRA resources account.
  S  4-a. Subdivision 3 of section 1680-j of the public authorities law,
as amended by section 9 of part C of chapter 59 of the laws of 2011,  is
amended to read as follows:
  3.  Notwithstanding  any  law  to the contrary, and in accordance with
section four of the state finance law, the comptroller is hereby author-
ized and directed to transfer from the health  care  reform  act  (HCRA)
resources fund (061) to the general fund, upon the request of the direc-
tor of the budget, up to $6,500,000 on or before March 31, 2006, and the
comptroller  is  further hereby authorized and directed to transfer from
the healthcare reform act (HCRA); Resources fund (061)  to  the  Capital
Projects  Fund,  upon  the  request  of  the  director  of budget, up to
$139,000,000 for the period April 1, 2006 through March 31, 2007, up  to
$171,100,000  for the period April 1, 2007 through March 31, 2008, up to
$208,100,000 for the period April 1, 2008 through March 31, 2009, up  to
$151,600,000  for the period April 1, 2009 through March 31, 2010, up to
$215,743,000 for the period April 1, 2010 through March 31, 2011, up  to
$433,366,000  for the period April 1, 2011 through March 31, 2012, up to
$150,806,000 for the period April 1, 2012 through March 31, 2013, up  to

S. 2607--D                         182                        A. 3007--D

[$78,071,000]  $290,000,000  for  the period April 1, 2013 through March
31, 2014, and up to $86,005,000 for the period  April  1,  2014  through
March 31, 2015.
  S 5. On or before March 31, 2014, the comptroller is hereby authorized
and  directed  to  deposit  earnings  that would otherwise accrue to the
general fund that are attributable to the operation of section  98-a  of
the  state  finance  law, to the agencies internal service fund, banking
services account (55057), for the purpose  of  meeting  direct  payments
from such account.
  S  6.  Notwithstanding  any law to the contrary, upon the direction of
the director of the budget and upon requisition by the state  university
of  New  York,  the  dormitory  authority  of  the  state of New York is
directed to transfer, up to $22,000,000 in revenues generated  from  the
sale  of  notes  or  bonds,  to  the  state  university  of New York for
reimbursement of bondable equipment for further transfer to the  state's
general fund.
  S  7.  Notwithstanding any law to the contrary, and in accordance with
section 4 of the state finance law, the comptroller is hereby authorized
and directed to transfer, upon request of the director of the budget and
upon consultation with the state university chancellor  or  his  or  her
designee,  on or before March 31, 2014, up to $16,000,000 from the state
university income fund general revenue  account  (22653)  to  the  state
general  fund for debt service costs related to campus supported capital
project costs for the  NY-SUNY  2020  challenge  grant  program  at  the
University at Buffalo.
  S  8.  Notwithstanding any law to the contrary, and in accordance with
section 4 of the state finance law, the comptroller is hereby authorized
and directed to transfer, upon request of the director of the budget and
upon consultation with the state university chancellor  or  his  or  her
designee,  on  or before March 31, 2014, up to $6,500,000 from the state
university income fund general revenue  account  (22653)  to  the  state
general  fund for debt service costs related to campus supported capital
project costs for the  NY-SUNY  2020  challenge  grant  program  at  the
University at Albany.
  S  9.  Notwithstanding  any  law to the contrary, the state university
chancellor or her designee is authorized and directed to transfer  esti-
mated tuition revenue balances from the state university collection fund
to  the  state  university fund, state university general revenue offset
account (22655) on or before March 31, 2014.
  S 10. Notwithstanding any law to the contrary, and in accordance  with
section 4 of the state finance law, the comptroller is hereby authorized
and directed to transfer, upon request of the director of the budget, up
to  $60,000,000  from  the  general  fund to the state university income
fund, state university hospitals  income  reimbursable  account  (22656)
during  the period July 1, 2013 through June 30, 2014 to reflect ongoing
state subsidy of SUNY hospitals and to pay  costs  attributable  to  the
SUNY hospitals' state agency status.
  S  10-a. Notwithstanding any law to the contrary, upon approval of the
state university board of trustees, the state  university  of  New  York
shall  transfer from any applicable state university income fund account
to the state university income fund, state university  hospitals  income
reimbursable  account  (22656)  up  to a total of $27,790,440 in savings
resulting from an agreement between the state and the collective negoti-
ating unit designated as the professional services negotiating  unit  in
the  state  university of New York established pursuant to article 14 of

S. 2607--D                         183                        A. 3007--D

the civil service law. Such transfer shall be made in a form and  manner
prescribed by the board of trustees.
  S  10-b.  Notwithstanding  any  law to the contrary, and in accordance
with section 4 of the state finance law and subdivision  20  of  section
2807  of  the public health law, the comptroller is hereby authorized to
transfer, upon direction of the state university chancellor,  an  amount
necessary  to fund the non-federal share of Medicaid payments authorized
by such subdivision 20 from the state  university  income  fund  to  the
Medicaid  Management  Information  System  (MMIS)  statewide escrow fund
(179).
  S 10-c. Notwithstanding any law to the  contrary,  and  in  accordance
with  section  4  of the state finance law and subdivision 21 of section
2807 of the public health law, the comptroller is hereby  authorized  to
transfer,  upon  direction of the state university chancellor, an amount
necessary to fund the non-federal share of Medicaid payments  authorized
by  such  subdivision  21  from  the state university income fund, state
university hospitals income reimbursable account (22656), to  the  Medi-
caid Management Information System (MMIS) statewide escrow fund (179).
  S  11. Notwithstanding any law to the contrary, and in accordance with
section 4 of the state finance law, the comptroller is hereby authorized
and directed to transfer, upon request of the director of the budget, up
to $971,259,860 from the general fund to  the  state  university  income
fund, state university general revenue offset account (22655) during the
period  of  July  1, 2013 through June 30, 2014 to support operations at
the state university.
  S 12. Notwithstanding any law to the contrary, and in accordance  with
section 4 of the state finance law, the comptroller is hereby authorized
and  directed to transfer, upon request of the state university chancel-
lor or his or her designee, up to $50,000,000 from the state  university
income  fund,  state  university  hospitals  income reimbursable account
(22656), for hospital income reimbursable for services and  expenses  of
hospital  operations  and  capital  expenditures at the state university
hospitals, and the state university income fund  Long  Island  veterans'
home account (22652) to the state university capital projects fund on or
before June 30, 2014.
  S  13. Notwithstanding any law to the contrary, and in accordance with
section 4 of the state finance law, the comptroller, after  consultation
with  the  state university chancellor or his or her designee, is hereby
authorized and directed to transfer moneys, in the first instance,  from
the  state  university  collection fund, Stony Brook hospital collection
account (61006), Brooklyn hospital collection account (61007), and Syra-
cuse hospital collection account (61008) to the state university  income
fund,  state university hospitals income reimbursable account (22656) in
the event insufficient funds  are  available  in  the  state  university
income  fund,  state  university  hospitals  income reimbursable account
(22656) to transfer moneys, in amounts sufficient  to  permit  the  full
transfer  of  moneys  authorized  for  transfer, to the general fund for
payment of debt service related to the SUNY hospitals.   Notwithstanding
any  law  to the contrary, the comptroller is also hereby authorized and
directed, after consultation with the state university chancellor or his
or her designee, to transfer moneys from  the  state  university  income
fund  to  the  state  university income fund, state university hospitals
income reimbursable account (22656) in the event insufficient funds  are
available  in  the state university income fund, state university hospi-
tals income reimbursable account (22656) to pay hospital operating costs
or to transfer moneys, in amounts sufficient to permit the full transfer

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of moneys authorized for transfer, to the general fund  for  payment  of
debt service related to the SUNY hospitals on or before March 31, 2014.
  S  14. Notwithstanding any law to the contrary, and in accordance with
section 4 of the state finance law, the comptroller is hereby authorized
and directed to transfer monies, upon request of  the  director  of  the
budget,  on  or  before March 31, 2014, from and to any of the following
accounts: the miscellaneous special revenue fund, patient income account
(21909), the miscellaneous special revenue fund, mental hygiene  program
fund  account  (21907),  the miscellaneous special revenue fund, federal
salary sharing account (22056) or the general fund in  any  combination,
the aggregate of which shall not exceed $350 million.
  S  14-a.  Notwithstanding  any  law to the contrary, and in accordance
with section 4 of the state  finance  law,  the  comptroller  is  hereby
authorized  and  directed to transfer, at the request of the director of
the budget, up to thirty-three million dollars  ($33,000,000)  from  the
unencumbered balance of any special revenue fund or account, or combina-
tion  of funds and accounts, to the community projects fund. The amounts
transferred pursuant to this authorization shall be in addition  to  any
other  transfers  expressly  authorized in the 2013-14 budget. Transfers
from federal funds, debt services  funds,  capital  projects  funds,  or
funds  that would result in the loss of eligibility for federal benefits
or federal funds pursuant to federal law, rule, or regulation as assent-
ed to in chapter 683 of the laws of 1938 and chapter 700 of the laws  of
1951  are  not permitted pursuant to this authorization. The director of
the budget shall (a) have received a request in writing from one or both
houses of the legislature, and (b) notify both houses of the legislature
in writing prior to initiating transfers pursuant to this authorization.
The comptroller shall provide the director of the budget, the  chair  of
the  senate  finance  committee,  and the chair of the assembly ways and
means committee with an accurate accounting and report of any  transfers
that  occur  pursuant  to this section on or before the fifteenth day of
the followng month in which such transfers occur.
  S 15. Notwithstanding any law to the contrary, and in accordance  with
section 4 of the state finance law, the comptroller is hereby authorized
and  directed to transfer, at the request of the director of the budget,
up to $500 million from the unencumbered balance of any special  revenue
fund  or  account,  or combination of funds and accounts, to the general
fund. The amounts transferred pursuant to this authorization shall be in
addition to any other transfers  expressly  authorized  in  the  2013-14
budget.  Transfers  from  federal  funds,  debt  service  funds, capital
projects funds, the community projects fund, or funds that would  result
in  the loss of eligibility for federal benefits or federal funds pursu-
ant to federal law, rule, or regulation as assented to in chapter 683 of
the laws of 1938 and chapter 700 of the laws of 1951 are  not  permitted
pursuant  to this authorization. The director of the budget shall notify
both houses of the legislature in writing prior to initiating  transfers
pursuant to this authorization.
  S  16. Notwithstanding any law to the contrary, and in accordance with
section 4 of the state finance law, the comptroller is hereby authorized
and directed to transfer, at the request of the director of the  budget,
up  to $100 million from any non-general fund or account, or combination
of funds and accounts, to the special revenue other-technology financing
account for the purpose  of  consolidating  technology  procurement  and
services.  The  amounts transferred pursuant to this authorization shall
be equal to or less than the amount of such monies intended  to  support
information  technology  costs  which  are  attributable, according to a

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plan, to such account made in pursuance  to  an  appropriation  by  law.
Transfers  to  the  technology financing account shall be completed from
amounts collected by non-general funds or accounts pursuant  to  a  fund
deposit  schedule  or permanent statute, and shall be transferred to the
technology financing account pursuant to a schedule agreed upon  by  the
affected  agency  commissioner.  Transfers  from  federal  funds are not
permitted pursuant to this authorization; nor may transfers be made from
funds that would result in the loss of eligibility for federal  benefits
or federal funds pursuant to federal law, rule, or regulation as assent-
ed  to in chapter 683 of the laws of 1938 and chapter 700 of the laws of
1951.  The director of the budget shall notify both houses of the legis-
lature in writing prior to initiating transfers pursuant to this author-
ization.
  S 17. Notwithstanding any provision of law to the contrary, as  deemed
feasible and advisable by its trustees, the power authority of the state
of New York is authorized and directed to (i) make a contribution to the
state  treasury  to  the  credit  of  the  general fund, or as otherwise
directed in writing by the director of the budget, in an amount of up to
$90,000,000 for the state fiscal year  commencing  April  1,  2013,  the
proceeds of which will be utilized to support energy-related initiatives
of  the state or for economic development purposes, and (ii) transfer up
to $25,000,000 of any such contribution by June 30, 2013 and the remain-
der of any such contribution by March 31, 2014.
  S 18. $5,000,000 from the general fund to  the  miscellaneous  special
revenue  fund,  tribal  state compact revenue account (22169).  Notwith-
standing any provision of  law  to  the  contrary,  such  funds  may  be
advanced  to  a  municipality  located  within the county of Cattaraugus
hosting a gaming facility pursuant to the requirements of  an  appropri-
ation  contained  in  chapter 53 of the laws of 2012; provided, however,
that any such advance shall reduce the  amount  otherwise  due  to  such
municipality  by  an  equivalent  amount,  and that, upon receipt of any
funds in the tribal state compact revenue account pursuant to  a  tribal
state  compact, such funds shall first be used to reimburse any transfer
from the general fund pursuant to this section.
  S 19. Section 53 of part U of chapter 59 of the laws of 2012, relating
to providing for administration of certain funds and accounts related to
the 2013-2014 budget, is amended to read as follows:
  S 53. This act shall take effect immediately and shall  be  deemed  to
have  been in full force and effect on and after April 1, 2012; provided
that sections one through seven, sections ten through fifteen,  [section
seventeen,]  and  sections twenty through thirty-three of this act shall
expire March 31, 2013, when upon  such  date,  the  provisions  of  such
sections  shall be deemed repealed; provided further that the amendments
to subdivisions 1 and 2 of section 45 of section 1 of chapter 174 of the
laws of 1968 made by section forty-nine of this act shall not affect the
expiration of such subdivisions and shall be deemed to expire therewith.
  S 20. Subdivision 5 of section 97-rrr of the  state  finance  law,  as
amended  by  section  16 of part U of chapter 59 of the laws of 2012, is
amended to read as follows:
  5. Notwithstanding the provisions of section one hundred seventy-one-a
of the tax law, as separately amended by chapters four  hundred  eighty-
one  and four hundred eighty-four of the laws of nineteen hundred eight-
y-one, and notwithstanding the provisions of chapter ninety-four of  the
laws  of  two  thousand  eleven,  or  any other provisions of law to the
contrary, during the fiscal year beginning  April  first,  two  thousand
[twelve]  THIRTEEN,  the  state  comptroller  is  hereby  authorized and

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directed to deposit to the fund created pursuant to  this  section  from
amounts  collected  pursuant  to  article  twenty-two of the tax law and
pursuant to a schedule submitted by the director of the  budget,  up  to
[$3,322,067,000] $3,419,375,000, as may be certified in such schedule as
necessary  to  meet the purposes of such fund for the fiscal year begin-
ning April first, two thousand [twelve] THIRTEEN.
  S 21. The comptroller is authorized and directed  to  deposit  to  the
general fund-state purposes account reimbursements from moneys appropri-
ated  or  reappropriated to the correctional facilities capital improve-
ment fund by a chapter of the laws  of  2013.  Reimbursements  shall  be
available  for  spending  from  appropriations made to the department of
corrections and community supervision in the general fund-state purposes
accounts by a chapter of the laws of 2013 for costs associated with  the
administration  and  security  of  capital  projects and for other costs
which are attributable, according to a plan, to such capital projects.
  S 22. Section 3 of part W of chapter 60 of the laws of 2011,  amending
the  state  finance  law relating to disbursements from the tribal-state
compact revenue account to certain municipalities, is amended to read as
follows:
  S 3. This act shall take effect immediately; provided that:
  (a) the amendments to subdivision 3  of  section  99-h  of  the  state
finance  law  made by section one of this act shall expire and be deemed
repealed [March 31, 2013] DECEMBER 31, 2016; and
  (b) the amendments to paragraph (a) of subdivision 4 of  section  99-h
of  the  state  finance  law  made  by section two of this act shall not
affect the expiration of such section and  shall  be  deemed  to  expire
therewith.
  S  23.  Subdivision  3  of  section  99-h of the state finance law, as
amended by section 1 of part V of chapter 59 of the  laws  of  2006,  is
amended to read as follows:
  3. Moneys of the account, following [appropriation] THE SEGREGATION OF
APPROPRIATIONS  ENACTED  by  the  legislature,  shall  be  available for
purposes including but not limited to: (a) reimbursements or payments to
municipal governments that host tribal casinos  pursuant  to  a  tribal-
state compact for costs incurred in connection with services provided to
such  casinos  or  arising as a result thereof, for economic development
opportunities and job expansion programs  authorized  by  the  executive
law;  provided,  however,  that  for  any gaming facility located in the
county of Erie or Niagara, the municipal governments hosting the facili-
ty shall collectively receive a minimum of twenty-five  percent  of  the
negotiated percentage of the net drop from electronic gaming devices the
state receives pursuant to the compact and provided further that for any
gaming  facility located in the county or counties of Cattaraugus, Chau-
tauqua or Allegany, the municipal governments of the state  hosting  the
facility  shall collectively receive a minimum of twenty-five percent of
the negotiated percentage of the net drop from electronic gaming devices
the state receives pursuant to the compact; and  provided  further  that
pursuant  to  chapter  five  hundred  ninety of the laws of two thousand
four, a minimum of twenty-five percent of the revenues received  by  the
state  pursuant  to  the state's compact with the St. Regis Mohawk tribe
shall be made available to the counties of Franklin  and  St.  Lawrence,
and  affected  towns in such counties. Each such county and its affected
towns shall receive fifty percent of the moneys made  available  by  the
state;  and  (b)  support and services of treatment programs for persons
suffering from gambling addictions. Moneys not [appropriated] SEGREGATED

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for such purposes shall be transferred  to  the  general  fund  for  the
support of government during the fiscal year in which they are received.
  S  24.  Paragraphs  (a)  and  (b)  of  subdivision 7 of section 5-a of
section 1 of chapter 392 of the laws of 1973, constituting the New  York
state  medical  care  facilities  finance  agency  act, paragraph (a) as
amended by chapter 55 of the laws of 1992 and paragraph (b)  as  amended
by chapter 59 of the laws of 1993, are amended to read as follows:
  (a)  In  connection with the making of federally-aided mortgage loans,
the commissioner of health shall  charge  to  such  non-profit  hospital
corporation,  non-profit corporation providing a residential health care
facility or non-profit medical corporation, for mortgage closings on  or
after April first, nineteen hundred eighty-nine, a fee of nine-tenths of
one percent of the mortgage loan, payable on requisition on or after the
mortgage  closing to the state department of health by the mortgagor for
deposit into the [miscellaneous special revenue fund - 339 hospital  and
nursing home management account] STATE GENERAL FUND.
  (b) In connection with the refinancing or refunding of federally-aided
mortgage  loans  or  loans  made pursuant to articles twenty-eight-A and
twenty-eight-B of the public health  law,  the  commissioner  of  health
shall  charge to such non-profit hospital corporation, non-profit corpo-
ration providing  a  residential  health  care  facility  or  non-profit
medical  corporation,  for  mortgage  closings  on or after April first,
nineteen hundred eighty-nine, a fee of five-tenths of one percent of the
new mortgage loan, payable on requisition on or after the mortgage clos-
ing to the state department of health by the mortgagor for deposit  into
the  [miscellaneous  special  revenue fund-339 hospital and nursing home
management account] STATE GENERAL FUND.
  S 25. In the event that a  capital  appropriation  in  the  amount  of
$25,000,000  is  included  in  the  enacted  budget  for the fiscal year
commencing April 1, 2013 for the cleaner,  greener  communities  program
administered  by  the  New  York  State  energy research and development
authority, then notwithstanding any provision of law, rule or regulation
to the contrary, the New York  State  energy  research  and  development
authority is authorized and directed to pay to the state treasury to the
credit  of  the  general fund for the cost of such program the amount of
$25,000,000 for the fiscal year commencing April 1, 2013  from  proceeds
collected  by  the  authority from the auction or sale of carbon dioxide
emission allowances allocated by the department of environmental conser-
vation under the Regional Greenhouse Gas Initiative. If, in  any  fiscal
year,  such  $25,000,000 appropriation or any reappropriation thereof is
reduced or eliminated prior to disbursement of $15,000,000,  where  such
reduction  or  elimination  is  not  based upon the disbursement of such
$25,000,000 appropriation, the comptroller is authorized and directed to
transfer, at the request of the director of the division of the  budget,
an  amount  equal  to such reduced or eliminated amount from the general
fund to the New York State energy research  and  development  authority,
not to exceed in the aggregate $25,000,000.
  S  26.  Notwithstanding  any  other  law,  rule,  or regulation to the
contrary, the comptroller is hereby authorized and directed to  deposit,
to  the  credit  of  the  capital  projects fund, reimbursement from the
proceeds of notes or bonds issued by  the  dormitory  authority  of  the
state  of  New York for a capital appropriation for $215,650,000 author-
ized by chapter 55 of the laws of 2000 to all state agencies for payment
of costs related to the strategic investment program.
  S 27. Notwithstanding any  other  law,  rule,  or  regulation  to  the
contrary,  the  comptroller is hereby authorized and directed to deposit

S. 2607--D                         188                        A. 3007--D

to the credit of the  capital  projects  fund,  reimbursement  from  the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration  for a capital appropriation of $30,174,000 authorized by chapter
55  of  the laws of 2003 to the department of environmental conservation
for payment of a portion of the state's match for federal capitalization
grants for the water pollution control revolving loan  fund,  reimburse-
ment from the proceeds of notes or bonds issued by the urban development
corporation  or  other  financing  source for a capital appropriation of
$19,500,000 authorized by chapter 50 of the laws of 2003 to  the  office
of general services for payment of capital construction costs for the 51
Elk  street  parking  garage  building  located  in  the city of Albany,
reimbursement from the proceeds of notes or bonds issued  by  the  urban
development  corporation for disbursements of up to $10,000,000 from any
capital appropriation or reappropriation authorized by chapter 50 of the
laws of 2003 to the office of general  services  for  various  purposes,
reimbursement from the proceeds of notes or bonds issued by the environ-
mental facilities corporation for a capital appropriation of $13,250,000
authorized  by chapter 55 of the laws of 2003 to the energy research and
development authority for the Western New York Nuclear Service Center at
West Valley, reimbursement from the proceeds of notes or bonds issued by
the dormitory authority for disbursements of up to $16,400,000 from  any
capital appropriation or reappropriation authorized by chapter 51 of the
laws of 2003 to the judiciary for courthouse improvements, reimbursement
from  the  proceeds  of  notes  or bonds issued by the urban development
corporation for disbursements of up to $10,000,000  from  appropriations
or  reappropriations authorized by chapter 50 of the laws of 2003 to any
agency for costs related to homeland security,  reimbursement  from  the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration  for a capital appropriation of $10,000,000 authorized by chapter
55 of the laws of 2003 to the department of  environmental  conservation
for  Onondaga  lake,  reimbursement  from the proceeds of notes or bonds
issued by the environmental facilities corporation for disbursements  of
up  to  $11,000,000  from any capital appropriations or reappropriations
authorized by chapter 55 of the laws of 2003 to the department of  envi-
ronmental  conservation  for  environmental  purposes, and reimbursement
from the proceeds of notes or bonds issued by  the  dormitory  authority
for  disbursements  of  up  to $100,000,000 from a capital appropriation
authorized by chapter 50 of the laws of 2003 to the department of  state
for enhanced 911 wireless service.
  S  28.  Notwithstanding  any  other  law,  rule,  or regulation to the
contrary, the comptroller is hereby authorized and directed  to  deposit
to  the  credit  of  the  capital  projects fund, reimbursement from the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration for a capital appropriation for $28,893,000 authorized by chapter
55 of the laws of 2004 to the department of  environmental  conservation
for payment of a portion of the state's match for federal capitalization
grants  for  the water pollution control revolving loan fund, reimburse-
ment from the proceeds of notes or bonds issued by the urban development
corporation for disbursements of up  to  $10,000,000  from  any  capital
appropriation or reappropriation authorized by chapter 50 of the laws of
2004  to the office of general services for various purposes, reimburse-
ment from the proceeds of notes or bonds  issued  by  the  environmental
facilities  corporation  for  a  capital  appropriation  of  $11,350,000
authorized by chapter 55 of the laws of 2004 to the energy research  and
development authority for the Western New York Nuclear Service Center at
West Valley, reimbursement from the proceeds of notes or bonds issued by

S. 2607--D                         189                        A. 3007--D

the environmental facilities corporation, for a capital appropriation of
$10,000,000  authorized by chapter 55 of the laws of 2004 to the depart-
ment of environmental conservation for Onondaga lake, reimbursement from
the  proceeds  of  notes or bonds issued by the environmental facilities
corporation for disbursements of up  to  $11,000,000  from  any  capital
appropriations  or reappropriations authorized by chapter 55 of the laws
of 2004 to the department of  environmental  conservation  for  environ-
mental  purposes,  reimbursement  from  the  proceeds  of notes or bonds
issued by  the  dormitory  authority  for  a  capital  appropriation  of
$80,000,000  authorized  by chapter 53 of the laws of 2004 to the educa-
tion  department  for  capital  transition  grants  for  transportation,
reimbursement from the proceeds of notes or bonds issued by the dormito-
ry  authority  for a capital appropriation of $243,325,000 authorized by
chapter 55 of the laws of 2004 for payment of costs related to  economic
development  projects, reimbursement from the proceeds of bonds or notes
issued by the urban development corporation for a capital  appropriation
of  $83,500,000 authorized by chapter 53 of the laws of 2006, as amended
by chapter 108 of the laws of 2006, for payment of costs related to  the
H.  H. Richardson complex and the Darwin Martin House, and reimbursement
from the proceeds of notes or bonds issued by  the  dormitory  authority
for  a  capital appropriation of $345,750,000 authorized by chapter 3 of
the laws of 2004 for the New York state economic development program.
  S 29. Notwithstanding any  other  law,  rule,  or  regulation  to  the
contrary,  the  comptroller is hereby authorized and directed to deposit
to the credit of the  capital  projects  fund,  reimbursement  from  the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration  for a capital appropriation of $29,602,000 authorized by chapter
55 of the laws of 2005 to the department of  environmental  conservation
for payment of a portion of the state's match for federal capitalization
grants  for  the water pollution control revolving loan fund, reimburse-
ment from the proceeds of notes or bonds issued by the urban development
corporation for disbursements of up  to  $10,000,000  from  any  capital
appropriation or reappropriation authorized by chapter 50 of the laws of
2005  to the office of general services for various purposes, reimburse-
ment from the proceeds of notes or bonds  issued  by  the  environmental
facilities  corporation  for  a  capital  appropriation  of  $11,350,000
authorized by chapter 55 of the laws of 2005 to the energy research  and
development authority for the Western New York Nuclear Service Center at
West Valley, reimbursement from the proceeds of notes or bonds issued by
the  environmental facilities corporation for a capital appropriation of
$10,000,000 authorized by chapter 55 of the laws of 2005 to the  depart-
ment of environmental conservation for Onondaga lake, reimbursement from
the  proceeds  of  notes or bonds issued by the environmental facilities
corporation for disbursements of up  to  $11,000,000  from  any  capital
appropriations  or reappropriations authorized by chapter 55 of the laws
of 2005 to the department of  environmental  conservation  for  environ-
mental  purposes,  reimbursement  from  the  proceeds  of notes or bonds
issued by the urban development corporation for a capital  appropriation
of  $350,000,000  authorized  by  chapter 55 of the laws of 2005 for the
Javits center, reimbursement from the proceeds of notes or bonds  issued
by  the  dormitory  authority for a capital appropriation of $89,750,000
authorized by chapter 62 of the laws of 2005 for  regional  development,
reimbursement from the proceeds of notes or bonds issued by the dormito-
ry  authority  for a capital appropriation of $249,000,000 authorized by
chapter  62  of  the  laws  of  2005  for  technology  and  development,
reimbursement  from  the  proceeds of notes or bonds issued by the urban

S. 2607--D                         190                        A. 3007--D

development corporation  for  a  capital  appropriation  of  $48,517,000
authorized  by  chapter  162  of the laws of 2005 for the New York state
economic development program, reimbursement from the proceeds  of  notes
or  bonds  issued  by  the  urban  development corporation for a capital
appropriation of $150,000,000 authorized by chapter 62 of  the  laws  of
2005  for  the  higher  education  facilities  capital  matching  grants
program, reimbursement from the proceeds of notes or bonds issued by the
dormitory authority or other financing source for  a  capital  appropri-
ation  of $4,000,000 authorized by chapter 50 of the laws of 2005 to the
office of general services for payment of capital construction costs for
the Elk street parking garage building located in the  city  of  Albany,
reimbursement  from  the  proceeds of notes or bonds issued by the urban
development corporation  for  a  capital  appropriation  of  $15,000,000
authorized  by  chapter  53  of  the laws of 2005 to the state education
department for payment of capital construction costs for  public  broad-
casting  facilities,  reimbursement  from the proceeds of notes or bonds
issued by the urban development corporation for a capital  appropriation
of $15,700,000 authorized by chapter 50 of the laws of 2005 to the divi-
sion of state police for public protection facilities, and reimbursement
from  the  proceeds  of  notes  or bonds issued by the urban development
corporation for capital disbursements of up to $3,000,000 from any capi-
tal appropriation or reappropriation authorized by  chapter  50  of  the
laws  of  2005 to the division of military and naval affairs for various
purposes.
  S 30. Notwithstanding any  other  law,  rule,  or  regulation  to  the
contrary,  the  comptroller is hereby authorized and directed to deposit
to the credit of the  capital  projects  fund,  reimbursement  from  the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration for a capital appropriation for $29,600,000 authorized by chapter
55  of  the laws of 2006 to the department of environmental conservation
for payment of a portion of the state's match for federal capitalization
grants for the water pollution control revolving loan  fund,  reimburse-
ment from the proceeds of notes or bonds issued by the urban development
corporation  for  disbursements  of  up  to $20,000,000 from any capital
appropriation or reappropriation authorized by chapter 50 of the laws of
2006 to the office of general services for various purposes,  reimburse-
ment  from  the  proceeds  of notes or bonds issued by the environmental
facilities  corporation  for  a  capital  appropriation  of  $14,000,000
authorized  by chapter 55 of the laws of 2006 to the energy research and
development authority for the Western New York Nuclear Service Center at
West Valley, reimbursement from the proceeds of notes or bonds issued by
the environmental facilities corporation for a capital appropriation  of
$10,000,000  authorized by chapter 55 of the laws of 2006 to the depart-
ment of environmental conservation for Onondaga lake, reimbursement from
the proceeds of notes or bonds issued by  the  environmental  facilities
corporation  for  disbursements  of  up  to $12,000,000 from any capital
appropriations or reappropriations authorized by chapter 55 of the  laws
of  2006  to  the  department of environmental conservation for environ-
mental purposes, reimbursement from  the  proceeds  of  notes  or  bonds
issued by the urban development corporation for capital disbursements of
up  to  $3,000,000  from  any  capital  appropriation or reappropriation
authorized by chapter 50 of the laws of 2006 to the division of military
and naval affairs for various purposes, reimbursement from the  proceeds
of  notes  or  bonds  issued  by  the  urban development corporation for
disbursements of up to $12,400,000 from  any  capital  appropriation  or
reappropriation  authorized  by  chapter  50  of the laws of 2006 to the

S. 2607--D                         191                        A. 3007--D

division of state police for public protection facilities, reimbursement
from the proceeds of notes or bonds  issued  by  the  urban  development
corporation  for  a  capital appropriation of $117,000,000 authorized by
chapter 50 of the laws of 2006 to all state departments and agencies for
the  purchase  of equipment, reimbursement from the proceeds of notes or
bonds issued by the dormitory authority or the urban development  corpo-
ration  for  all  or a portion of capital appropriations of $603,050,000
authorized by chapter 108 of the laws of 2006 to the  urban  development
corporation  for economic development/other projects, reimbursement from
the proceeds of notes or bonds issued by the  urban  development  corpo-
ration for a capital appropriation of $269,500,000 authorized by chapter
108 of the laws of 2006 to the dormitory authority or the urban develop-
ment  corporation  for economic development projects, reimbursement from
the proceeds of notes or bonds issued by the dormitory authority or  the
urban   development   corporation   for   a   capital  appropriation  of
$201,500,000 authorized by chapter 108 of the laws of 2006 to the  urban
development  corporation for university development projects, reimburse-
ment from the proceeds of notes or bonds issued by the dormitory author-
ity or for a capital appropriation of $143,000,000 authorized by chapter
108 of the laws  of  2006  to  the  urban  development  corporation  for
cultural  facilities  projects, reimbursement from the proceeds of notes
or bonds issued by the dormitory  authority  or  the  urban  development
corporation  for  capital appropriations totaling $60,000,000 authorized
by chapter 108 of the laws of 2006 to the urban development  corporation
for  energy/environmental  projects,  reimbursement from the proceeds of
notes or bonds issued by the dormitory authority or the  urban  develop-
ment  corporation  for a capital appropriation of $20,000,000 authorized
by chapter 108 of the laws of 2006 to the urban development  corporation
for  a  competitive  solicitation for construction of a pilot cellulosic
ethanol refinery, reimbursement from the  proceeds  of  notes  or  bonds
issued  by the urban development corporation for a capital appropriation
of $74,700,000 authorized by chapter 55 of the laws of 2006 to the urban
development corporation for services and expenses related to infrastruc-
ture for a new stadium in Queens  county,  and  reimbursement  from  the
proceeds  of  notes or bonds issued by the urban development corporation
for a capital appropriation of $74,700,000 authorized by chapter  55  of
the  laws  of 2006 to the urban development corporation for services and
expenses related to infrastructure improvements to construct a new park-
ing facility at a new stadium in Bronx county,  reimbursement  from  the
proceeds  of  notes  and  bonds  issued  by the environmental facilities
corporation for a capital  appropriation  of  $5,000,000  authorized  by
chapter  55  of  the laws of 2006 to the environmental facilities corpo-
ration for payment for the pipeline for jobs program, reimbursement from
the proceeds of notes or bonds issued by  the  dormitory  authority  for
capital  disbursements  of  up to $14,000,000 from any capital appropri-
ation or reappropriation authorized by chapter 53 of the  laws  of  2006
for the library construction purpose, reimbursement from the proceeds of
notes or bonds issued by the urban development corporation or the dormi-
tory  authority for an appropriation of $1,200,000 authorized by chapter
53 of the laws of 2006 for the towns of Bristol and  Canandaigua  public
water  systems, reimbursement from the proceeds of notes or bonds issued
by the urban development corporation or the dormitory authority  for  an
appropriation of $5,500,000 authorized by chapter 53 of the laws of 2006
for  Belleayre  mountain  ski center, reimbursement from the proceeds of
notes or bonds issued by the urban development corporation or the dormi-
tory authority for an appropriation of $25,000,000 authorized by chapter

S. 2607--D                         192                        A. 3007--D

53 of the laws of 2006 for the town of Smithtown/Kings Park  psychiatric
center rehabilitation, reimbursement from the proceeds of notes or bonds
issued  by  the urban development corporation or the dormitory authority
for an appropriation of $5,000,000 authorized by chapter 108 of the laws
of  2006 for a state of New York umbilical cord bank, reimbursement from
the proceeds of notes or bonds issued by the  urban  development  corpo-
ration  or  the  dormitory  authority for an appropriation of $5,500,000
authorized by chapter 53 of the laws of 2006 for an  Old  Gore  mountain
ski  bowl  connection, reimbursement from the proceeds of notes or bonds
issued by the urban development corporation or the  dormitory  authority
for  an appropriation of $2,000,000 authorized by chapter 53 of the laws
of 2006 for a Cornell equine drug testing laboratory, reimbursement from
the proceeds of notes or bonds issued by the  urban  development  corpo-
ration  or  the  dormitory  authority for an appropriation of $2,000,000
authorized by chapter 53 of the laws of 2006  for  a  Fredonia  vineyard
laboratory,  reimbursement from the proceeds of notes or bonds issued by
the dormitory authority or the  urban  development  corporation  for  an
appropriation  of  $40,000,000  authorized by chapter 108 of the laws of
2006 for a food testing laboratory, reimbursement from the  proceeds  of
notes  or  bonds  issued  by the New York state thruway authority for an
appropriation of $22,000,000 authorized by chapter 108 of  the  laws  of
2006 to the department of transportation for high speed rail, reimburse-
ment from the proceeds of notes or bonds issued by the urban development
corporation  for  capital  disbursements  of  up to $500,000,000 from an
appropriation authorized by chapter 108 of the laws of 2006 to the urban
development corporation for development of a semiconductor manufacturing
facility, reimbursement from the proceeds of notes or  bonds  issued  by
the  urban  development corporation of up to $150,000,000 from an appro-
priation authorized by chapter 108 of the laws  of  2006  to  the  urban
development  corporation  for  research  and development activities of a
semiconductor manufacturer, and reimbursement from the proceeds of notes
or bonds  issued  by  the  urban  development  corporation  for  capital
disbursements  of  up to $292,385,000 from an appropriation to the urban
development corporation authorized by chapter 108 of the  laws  of  2006
for community revitalization projects.
  S  31.  Notwithstanding  any  other  law,  rule,  or regulation to the
contrary, the comptroller is hereby authorized and directed  to  deposit
to  the  credit  of  the  capital  projects fund, reimbursement from the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration for a capital appropriation of $29,600,000 authorized by  chapter
55  of  the laws of 2007 to the department of environmental conservation
for payment of a portion of the state's match for federal capitalization
grants for the water pollution control revolving loan  fund,  reimburse-
ment from the proceeds of notes or bonds issued by the urban development
corporation  for  disbursements  of  up  to $20,000,000 from any capital
appropriation or reappropriation authorized by chapter 50 of the laws of
2007 to the office of general services for various purposes,  reimburse-
ment  from  the  proceeds  of notes or bonds issued by the environmental
facilities  corporation  for  a  capital  appropriation  of  $13,500,000
authorized  by chapter 55 of the laws of 2007 to the energy research and
development authority for the Western New York Nuclear Service Center at
West Valley, reimbursement from the proceeds of notes or bonds issued by
the environmental facilities corporation for a capital appropriation  of
$10,000,000  authorized by chapter 55 of the laws of 2007 to the depart-
ment of environmental conservation for Onondaga lake, reimbursement from
the proceeds of notes or bonds issued by  the  environmental  facilities

S. 2607--D                         193                        A. 3007--D

corporation  for  disbursements  of  up  to $12,000,000 from any capital
appropriations or reappropriations authorized by chapter 55 of the  laws
of  2007  to  the  department of environmental conservation for environ-
mental  purposes,  reimbursement  from  the  proceeds  of notes or bonds
issued by the urban development corporation for capital disbursements of
up to $3,000,000  from  any  capital  appropriation  or  reappropriation
authorized by chapter 50 of the laws of 2007 to the division of military
and  naval affairs for various purposes, reimbursement from the proceeds
of notes or bonds  issued  by  the  urban  development  corporation  for
disbursements  from a capital appropriation of $50,000,000 authorized by
chapter 50 of the laws of 2007 to  the  division  of  state  police  for
construction  of  a Troop G facility, reimbursement from the proceeds of
notes or bonds issued by the urban development corporation for disburse-
ments from a capital appropriation of $6,000,000 authorized  by  chapter
50  of the laws of 2007 to the division of state police for construction
of evidence storage facilities, reimbursement from the proceeds of notes
or bonds issued by the dormitory  authority  or  the  urban  development
corporation  for  capital appropriations totaling $77,900,000 authorized
by chapter 51 of the laws of 2007 to the judiciary  for  court  training
facilities  and  courthouse improvement projects, reimbursement from the
proceeds of notes or bonds issued by the urban  development  corporation
for  a  capital appropriation of $20,000,000 authorized by chapter 50 of
the laws of 2007 to all state departments and agencies for the  purchase
of  equipment,  reimbursement from the proceeds of notes or bonds issued
by  the  dormitory  authority  for  capital  disbursements  of   up   to
$14,000,000 from any capital appropriation or reappropriation authorized
by  chapter  53 of the laws of 2007 for library construction, reimburse-
ment from the proceeds of notes or bonds issued by the dormitory author-
ity for capital disbursements of up  to  $60,000,000  from  any  capital
appropriation or reappropriation authorized by chapter 53 of the laws of
2007  for  cultural education storage facilities, reimbursement from the
proceeds of notes or bonds issued by the urban  development  corporation
for  capital  disbursements of up to $15,000,000 from any capital appro-
priation or reappropriation authorized by chapter 55 of the laws of 2007
for Roosevelt Island Operating Corporation aerial tramway, reimbursement
from the proceeds of notes or bonds  issued  by  the  urban  development
corporation  for  capital  disbursements  of  up to $20,000,000 from any
capital appropriation or reappropriation authorized by chapter 55 of the
laws of 2007 for Governor's Island, reimbursement from the  proceeds  of
notes  or  bonds issued by the urban development corporation for capital
disbursements of up to $7,500,000  from  any  capital  appropriation  or
reappropriation  authorized by chapter 55 of the laws of 2007 for Harri-
man research and technology park, reimbursement  from  the  proceeds  of
notes  or  bonds issued by the urban development corporation for capital
disbursements of up to $7,950,000  from  any  capital  appropriation  or
reappropriation  authorized  by  chapter  55 of the laws of 2007 for USA
Niagara, and reimbursement from the proceeds of notes or bonds issued by
the urban development corporation for capital  disbursements  of  up  to
$1,300,000  from  appropriations authorized by chapter 50 of the laws of
2007 made to the office  of  general  services  for  legislative  office
building hearing rooms.
  S  32.  Notwithstanding  any  other  law,  rule,  or regulation to the
contrary, the comptroller is hereby authorized and directed  to  deposit
to  the  credit  of  the  capital  projects fund, reimbursement from the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration for a capital appropriation of $29,600,000 authorized by  chapter

S. 2607--D                         194                        A. 3007--D

55  of  the laws of 2008 to the department of environmental conservation
for payment of a portion of the state's match for federal capitalization
grants for the water pollution control revolving loan  fund,  reimburse-
ment from the proceeds of notes or bonds issued by the urban development
corporation  for  a  capital appropriation of $141,000,000 authorized by
chapter 50 of the laws of 2008 to all state departments and agencies for
the purchase of equipment or systems development, reimbursement from the
proceeds of notes or bonds issued by the urban  development  corporation
for disbursements of up to $45,500,000 from any capital appropriation or
reappropriation  authorized  by  chapter  50  of the laws of 2008 to the
office of general services for various purposes, reimbursement from  the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration  for a capital appropriation of $13,500,000 authorized by chapter
55 of the laws of 2008 to the energy research and development  authority
for  the  Western  New  York  Nuclear  Service  Center  at  West Valley,
reimbursement from the proceeds of notes or bonds issued by the environ-
mental facilities corporation for a capital appropriation of $10,000,000
authorized by chapter 55 of the laws of 2008 to the department of  envi-
ronmental   conservation  for  Onondaga  lake,  reimbursement  from  the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration for disbursements of up to $12,000,000 from any capital appropri-
ations or reappropriations authorized by chapter 55 of the laws of  2008
to  the  department  of  environmental  conservation  for  environmental
purposes, reimbursement from the proceeds of notes or  bonds  issued  by
the  urban  development  corporation  for capital disbursements of up to
$3,000,000 from any capital appropriation or reappropriation  authorized
by  chapter 50 of the laws of 2008 to the division of military and naval
affairs for various purposes, reimbursement from the proceeds  of  notes
or  bonds  issued  by  the  urban  development corporation for a capital
appropriation of $2,500,000 authorized by chapter 50 of the laws of 2008
to the  office  for  technology  for  activities  related  to  broadband
service, reimbursement from the proceeds of notes or bonds issued by the
urban  development corporation for a capital appropriation of $6,000,000
authorized by chapter 50 of the laws of 2008 to the  division  of  state
police for rehabilitation of facilities, reimbursement from the proceeds
of  notes or bonds issued by the dormitory authority of the state of New
York or other financing source for a capital appropriation authorized by
chapter 53 of the laws of 2008 of $14,000,000 to the  education  depart-
ment  for library construction, reimbursement from the proceeds of notes
or bonds issued by the dormitory authority of the state of New  York  or
other financing source for a capital appropriation authorized by chapter
53  of  the  laws of 2008 of $15,000,000 to the education department for
museum renewal projects, reimbursement from the  proceeds  of  notes  or
bonds  issued by the urban development corporation for capital appropri-
ation of $50,000,000 authorized by chapter 53 of the laws of 2008 to the
urban development corporation for services and expenses related  to  the
investment opportunity fund, reimbursement from the proceeds of notes or
bonds  issued by the urban development corporation for capital appropri-
ation of $18,000,000 authorized by chapter 53 of the laws of 2008 to the
urban development corporation for services and expenses related to  arts
and cultural projects, reimbursement from the proceeds of bonds or notes
issued  by the urban development corporation for a capital appropriation
of $32,148,000 authorized by chapter 53 of the laws of 2008 for economic
and community development projects, reimbursement from the  proceeds  of
bonds or notes issued by the urban development corporation for a capital
appropriation  of  $30,000,000  authorized  by chapter 53 of the laws of

S. 2607--D                         195                        A. 3007--D

2008 for New York city waterfront  development  projects,  reimbursement
from  the  proceeds  of  bonds  or notes issued by the urban development
corporation for a capital appropriation  of  $45,000,000  authorized  by
chapter  53  of  the  laws  of  2008  for  Luther  Forest infrastructure
projects, reimbursement from the proceeds of notes or  bonds  issued  by
the   urban   development   corporation  for  capital  appropriation  of
$35,000,000 authorized by chapter 53 of the laws of 2008  to  the  urban
development  corporation  for services and expenses related to downstate
regional projects, reimbursement from the proceeds  of  notes  or  bonds
issued by the urban development corporation for capital appropriation of
$137,037,000  authorized  by chapter 53 of the laws of 2008 to the urban
development corporation for services and  expenses  related  to  upstate
city-by-city projects, reimbursement from the proceeds of notes or bonds
issued by the urban development corporation for capital appropriation of
$35,000,000  authorized  by  chapter 53 of the laws of 2008 to the urban
development corporation for services and expenses related to  the  down-
state  revitalization projects, reimbursement from the proceeds of notes
or bonds issued by the urban development corporation for capital  appro-
priation of $117,265,000 authorized by chapter 53 of the laws of 2008 to
the  urban  development corporation for services and expenses related to
the upstate regional blueprint fund, reimbursement from the proceeds  of
notes  or  bonds issued by the urban development corporation for capital
appropriation of $25,000,000 authorized by chapter 53  of  the  laws  of
2008  to  the  urban  development  corporation for services and expenses
related  to  the  upstate  agricultural   economic   development   fund,
reimbursement  from  the  proceeds of notes or bonds issued by the urban
development  corporation  for  capital  appropriation  of   $350,000,000
authorized  by  chapter  53 of the laws of 2008 to the urban development
corporation for services and expenses related  to  the  New  York  state
capital  assistance program, reimbursement from the proceeds of notes or
bonds issued by the urban development corporation for capital  appropri-
ation  of  $350,000,000  authorized by chapter 53 of the laws of 2008 to
the urban development corporation for services and expenses  related  to
the   New  York  state  economic  development  assistance  program,  and
reimbursement from the proceeds of notes or bonds issued  by  the  urban
development corporation for capital appropriation of $20,000,000 author-
ized  by  chapter 55 of the laws of 2008 to the urban development corpo-
ration for services and expenses related to the  empire  state  economic
development fund.
  S  33.  Notwithstanding  any  other  law,  rule,  or regulation to the
contrary, the comptroller is hereby authorized and directed  to  deposit
to  the  credit  of  the  capital  projects fund, reimbursement from the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration for a capital appropriation of $29,600,000 authorized by  chapter
55  of  the laws of 2009 to the department of environmental conservation
for payment of a portion of the state's match for federal capitalization
grants for the water pollution control revolving loan  fund,  reimburse-
ment from the proceeds of notes or bonds issued by the urban development
corporation  for  a  capital appropriation of $129,800,000 authorized by
chapter 50 of the laws of 2009 to all state departments and agencies for
the purchase of equipment or systems development, reimbursement from the
proceeds of notes or bonds issued by the urban  development  corporation
for disbursements of up to $24,000,000 from any capital appropriation or
reappropriation  authorized  by  chapter  50  of the laws of 2009 to the
office of general services for various purposes, reimbursement from  the
proceeds of notes or bonds issued by the environmental facilities corpo-

S. 2607--D                         196                        A. 3007--D

ration  for a capital appropriation of $13,500,000 authorized by chapter
55 of the laws of 2009 to the energy research and development  authority
for  the  Western  New  York  Nuclear  Service  Center  at  West Valley,
reimbursement from the proceeds of notes or bonds issued by the environ-
mental facilities corporation for a capital appropriation of $10,000,000
authorized  by chapter 55 of the laws of 2009 to the department of envi-
ronmental  conservation  for  Onondaga  lake,  reimbursement  from   the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration for disbursements of up to $12,000,000 from any capital appropri-
ations  or reappropriations authorized by chapter 55 of the laws of 2009
to  the  department  of  environmental  conservation  for  environmental
purposes,  reimbursement  from  the proceeds of notes or bonds issued by
the urban development corporation for capital  disbursements  of  up  to
$3,000,000  from any capital appropriation or reappropriation authorized
by chapter 50 of the laws of 2009 to the division of military and  naval
affairs  for  various purposes, reimbursement from the proceeds of notes
or bonds issued by the  urban  development  corporation  for  a  capital
appropriation of $6,000,000 authorized by chapter 50 of the laws of 2009
to  the  division  of  state  police  for  rehabilitation of facilities,
reimbursement from the proceeds of notes or bonds issued by the dormito-
ry authority of the state of New York or other financing  source  for  a
capital  appropriation  authorized  by chapter 53 of the laws of 2009 of
$14,000,000 to the state education department for library  construction,
reimbursement from the proceeds of notes or bonds issued by the dormito-
ry  authority  of  the state of New York or other financing source for a
capital appropriation of $4,000,000 to the  state  education  department
for  rehabilitation  associated  with  the  St.  Regis Mohawk elementary
school authorized by chapter 53 of the laws of  2009  and  reimbursement
from  the  proceeds  of  notes  or bonds issued by the urban development
corporation for capital appropriation of $25,000,000 authorized by chap-
ter 55 of the laws of 2009 to  the  urban  development  corporation  for
services  and  expenses related to the empire state economic development
fund.
  S 34. Notwithstanding any  other  law,  rule,  or  regulation  to  the
contrary,  the  comptroller is hereby authorized and directed to deposit
to the credit of the  capital  projects  fund,  reimbursement  from  the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration  for a capital appropriation of $29,600,000 authorized by chapter
55 of the laws of 2010 to the department of  environmental  conservation
for payment of a portion of the state's match for federal capitalization
grants  for  the water pollution control revolving loan fund, reimburse-
ment from the proceeds of notes or bonds issued by the urban development
corporation for a capital appropriation of  $187,285,000  authorized  by
chapter 50 of the laws of 2010 to all state departments and agencies for
the purchase of equipment or systems development, reimbursement from the
proceeds  of  notes or bonds issued by the urban development corporation
for disbursements of up to $26,950,000 from any capital appropriation or
reappropriation authorized by chapter 50 of the  laws  of  2010  to  the
office  of general services for various purposes, reimbursement from the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration for a capital appropriation of $5,000,000 authorized  by  chapter
55  of  the laws of 2010 to the department of environmental conservation
for Onondaga lake, reimbursement from the proceeds  of  notes  or  bonds
issued  by the environmental facilities corporation for disbursements of
up to $12,000,000 from any capital  appropriations  or  reappropriations
authorized  by chapter 55 of the laws of 2010 to the department of envi-

S. 2607--D                         197                        A. 3007--D

ronmental conservation for environmental  purposes,  reimbursement  from
the  proceeds  of  notes or bonds issued by the urban development corpo-
ration for capital disbursements of up to $3,000,000  from  any  capital
appropriation or reappropriation authorized by chapter 50 of the laws of
2010 to the division of military and naval affairs for various purposes,
reimbursement  from  the  proceeds of notes or bonds issued by the urban
development  corporation  for  a  capital  appropriation  of  $6,000,000
authorized  by  chapter  50 of the laws of 2010 to the division of state
police for rehabilitation of facilities, reimbursement from the proceeds
of notes or bonds issued by the dormitory authority of the state of  New
York   or   other  financing  source  for  a  capital  appropriation  of
$14,000,000 authorized by chapter 53 of the laws of 2010  to  the  state
education  department  for library construction, reimbursements from the
proceeds of notes or bonds issued by  the  dormitory  authority  of  the
state  of New York or other financing source for a capital appropriation
of $20,400,000 authorized by chapter 100 of the  laws  of  2010  to  the
state   education  department  for  the  longitudinal  data  system  and
reimbursement from the proceeds of notes or bonds issued by the dormito-
ry authority of the state of New York or other financing  source  for  a
capital  appropriation  of  $42,000,000  for  the state preparedness and
training center.
  S 35. Notwithstanding any  other  law,  rule,  or  regulation  to  the
contrary,  the  comptroller is hereby authorized and directed to deposit
to the credit of the  capital  projects  fund,  reimbursement  from  the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration  for a capital appropriation of $35,000,000 authorized by a chap-
ter of the laws of 2011 to the department of environmental  conservation
for payment of a portion of the state's match for federal capitalization
grants  for  the water pollution control revolving loan fund, reimburse-
ment from the proceeds of notes or bonds issued by the urban development
corporation for a capital appropriation of $92,751,000 authorized  by  a
chapter  of  the  laws of 2011 to all state departments and agencies for
the purchase of equipment or systems development, reimbursement from the
proceeds of notes or bonds issued by the urban  development  corporation
for disbursements of up to $40,000,000 from any capital appropriation or
reappropriation  authorized  by  a  chapter  of  the laws of 2011 to the
office of general services for various purposes, reimbursement from  the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration for disbursements of up to $12,000,000 from any capital appropri-
ations  or  reappropriations authorized by a chapter of the laws of 2011
to  the  department  of  environmental  conservation  for  environmental
purposes,  reimbursement  from  the proceeds of notes or bonds issued by
the urban development corporation for capital  disbursements  of  up  to
$3,000,000  from any capital appropriation or reappropriation authorized
by a chapter of the laws of 2011 to the division of military  and  naval
affairs  for  various purposes, reimbursement from the proceeds of notes
or bonds issued by the  urban  development  corporation  for  a  capital
appropriation  of $6,000,000 authorized by a chapter of the laws of 2011
to the division  of  state  police  for  rehabilitation  of  facilities,
reimbursement from the proceeds of notes or bonds issued by the dormito-
ry  authority  of  the state of New York or other financing source for a
capital appropriation of $14,000,000 authorized by a chapter of the laws
of 2011 to the state  education  department  for  library  construction,
reimbursement  from  the  proceeds of notes or bonds issued by the urban
development  corporation  for  capital  appropriation  of   $130,550,000
authorized  by  a  chapter  of the laws of 2011 to the urban development

S. 2607--D                         198                        A. 3007--D

corporation for services and expenses related to the  regional  economic
development council initiative, reimbursement from the proceeds of notes
or  bonds issued by the urban development corporation for capital appro-
priation  of  $50,000,000 authorized by a chapter of the laws of 2011 to
the urban development corporation for services and expenses  related  to
the  economic  transformation program.  Reimbursements from the proceeds
of notes or bonds  issued  by  the  urban  development  corporation  for
disbursements  of  up  to  $40,000,000 from any capital appropriation or
reappropriation authorized by a chapter of  the  laws  of  2011  to  the
office of general services for various purposes.
  S  36.  Notwithstanding  any  other  law,  rule,  or regulation to the
contrary, the comptroller is hereby authorized and directed  to  deposit
to  the  credit  of  the  capital  projects fund, reimbursement from the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration for a capital appropriation of $35,000,000 authorized by a  chap-
ter  of the laws of 2012 to the department of environmental conservation
for payment of a portion of the state's match for federal capitalization
grants for the water pollution control revolving loan  fund,  reimburse-
ment  from  the  proceeds  of notes or bonds issued by the environmental
facilities corporation for disbursements of up to $12,000,000  from  any
capital  appropriations  or  reappropriations authorized by a chapter of
the laws of 2012 to the department  of  environmental  conservation  for
environmental  purposes,  reimbursement  from  the  proceeds of notes or
bonds issued by the urban development corporation for capital  disburse-
ments  of up to $3,000,000 from any capital appropriation or reappropri-
ation authorized by a chapter of the laws of 2012  to  the  division  of
military  and naval affairs for various purposes, reimbursement from the
proceeds of notes or bonds issued by the urban  development  corporation
for a capital appropriation of $6,000,000 authorized by a chapter of the
laws  of  2012  to  the  division  of state police for rehabilitation of
facilities, reimbursement from the proceeds of notes or bonds issued  by
the  dormitory  authority  of  the  state of New York or other financing
source for a capital appropriation of $14,000,000 authorized by a  chap-
ter  of  the  laws of 2012 to the state education department for library
construction, reimbursement from the proceeds of notes or  bonds  issued
by the thruway authority, the dormitory authority and the urban develop-
ment  corporation for a capital appropriation of $770,000,000 authorized
by chapter 54 of the laws of 2012  to  the  metropolitan  transportation
authority for various purposes, reimbursement from the proceeds of notes
or  bonds issued by the thruway authority for a capital appropriation of
$15,000,000 authorized by chapter 54 of the laws of 2012 to the  depart-
ment  of  transportation  for  improvement  of  the  peace bridge plaza,
reimbursement from the proceeds of notes or bonds issued  by  the  urban
development  corporation  for  a  capital  appropriation of $130,000,000
authorized by a chapter of the laws of 2012  to  the  urban  development
corporation  for  services and expenses related to the regional economic
development council initiative, reimbursement from the proceeds of notes
or bonds issued by the  urban  development  corporation  for  a  capital
appropriation of $75,000,000 authorized by a chapter of the laws of 2012
to  the  urban development corporation for services and expenses related
to the New York works economic development fund, reimbursement from  the
proceeds  of  notes or bonds issued by the urban development corporation
for a capital appropriation of $75,000,000 authorized by  a  chapter  of
the  laws  of 2012 to the urban development corporation for services and
expenses related to the buffalo regional innovation cluster,  reimburse-
ment from the proceeds of notes or bonds issued by the urban development

S. 2607--D                         199                        A. 3007--D

corporation  for a capital appropriation of $250,000,000 authorized by a
chapter of the laws of 2012 to the  urban  development  corporation  for
services  and  expenses  related  to  the  state  university of New York
college  for  nanoscale  and science engineering project, reimbursements
from the proceeds of notes or bonds  issued  by  the  urban  development
corporation  for  disbursements  of  up  to $26,000,000 from any capital
appropriation or reappropriation authorized by a chapter of the laws  of
2012 to the office of general services for various purposes.
  S  37.  Notwithstanding  any  other  law,  rule,  or regulation to the
contrary, the comptroller is hereby authorized and directed  to  deposit
to  the  credit  of  the  capital  projects fund, reimbursement from the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration for a capital appropriation of $35,000,000 authorized by a  chap-
ter  of the laws of 2013 to the department of environmental conservation
for payment of a portion of the state's match for federal capitalization
grants for the water pollution control revolving loan  fund,  reimburse-
ment  from  the  proceeds  of notes or bonds issued by the environmental
facilities corporation for disbursements of up to $12,000,000  from  any
capital  appropriations  or  reappropriations authorized by a chapter of
the laws of 2013 to the department  of  environmental  conservation  for
environmental  purposes,  reimbursement  from  the  proceeds of notes or
bonds issued by the urban development corporation for capital  disburse-
ments  of up to $3,000,000 from any capital appropriation or reappropri-
ation authorized by a chapter of the laws of 2013  to  the  division  of
military  and naval affairs for various purposes, reimbursement from the
proceeds of notes or bonds issued by the urban  development  corporation
for a capital appropriation of $7,000,000 authorized by a chapter of the
laws  of  2013  to  the  division  of state police for rehabilitation of
facilities, reimbursement from the proceeds of notes or bonds issued  by
the  urban  development  corporation  for  a  capital  appropriation  of
$12,500,000 authorized by a chapter of the laws of 2013 to the  division
of  state police for aviation equipment, reimbursement from the proceeds
of notes or bonds issued by the dormitory authority of the state of  New
York   or   other  financing  source  for  a  capital  appropriation  of
$14,000,000 authorized by a chapter of the laws of  2013  to  the  state
education  department  for  library construction, reimbursement from the
proceeds of notes or bonds issued by the urban  development  corporation
for  a  capital appropriation of $150,000,000 authorized by a chapter of
the laws of 2013 to the urban development corporation for  services  and
expenses  related  to  the  regional economic development council initi-
ative, reimbursement from the proceeds of notes or bonds issued  by  the
urban development corporation for a capital appropriation of $75,000,000
authorized  by  a  chapter  of the laws of 2013 to the urban development
corporation for services and expenses related to  the  buffalo  regional
innovation  cluster,  reimbursement  from the proceeds of notes or bonds
issued by the urban development corporation for a capital  appropriation
of  $2,166,000  authorized by a chapter of the laws of 2013 to the urban
development  corporation  for  services  and  expenses  related  to  the
retention  of  professional football in Western New York, reimbursements
from the proceeds of notes or bonds  issued  by  the  urban  development
corporation  for  a capital appropriation of $12,000,000 authorized by a
chapter of the laws of 2013 to the  urban  development  corporation  for
services  and  expenses related to the empire state economic development
fund, reimbursements from the proceeds of notes or bonds issued  by  the
urban  development  corporation  for  disbursements of up to $26,000,000
from any capital appropriation or reappropriation authorized by a  chap-

S. 2607--D                         200                        A. 3007--D

ter  of  the  laws of 2013 to the office of general services for various
purposes, reimbursement from the proceeds of notes or  bonds  issued  by
the  urban  development  corporation  for  a  capital  appropriation  of
$53,891,000  authorized  by  a  chapter of the laws of 2013 to the urban
development corporation for services and  expenses  related  to  capital
improvements at Ralph Wilson Stadium, reimbursement from the proceeds of
notes  or  bonds issued by the thruway authority for a capital appropri-
ation of $155,000,000 authorized by a chapter of the laws of 2013 to the
department  of  transportation  for  highway  infrastructure   projects,
reimbursement  from the proceeds of notes or bonds issued by the thruway
authority for a capital appropriation of  $45,000,000  authorized  by  a
chapter  of  the  laws  of  2013 to the department of transportation for
engineering purposes, reimbursement from the proceeds of notes or  bonds
issued   by   the   thruway  authority  for  capital  appropriations  of
$10,000,000, $10,000,000 and $5,000,000 authorized by a chapter  of  the
laws  of 2013 to the department of transportation for aviation projects,
non-MTA transit projects, and rail service preservation projects.
  S 38. For purposes of sections twenty-six through thirty-seven of this
act, the comptroller is also hereby authorized and directed  to  deposit
to  the  credit  of  any  capital  projects fund, reimbursement from the
proceeds of bonds and notes issued by any authorized issuer, as  defined
by  sections  68-a and 69-m of the state finance law, in the amounts and
for the purposes listed in such sections.
  S 39. Notwithstanding any  other  law,  rule,  or  regulation  to  the
contrary,  the  comptroller is hereby authorized and directed to deposit
to the credit of the  state  university  residence  hall  rehabilitation
fund,  reimbursement  from  the proceeds of notes or bonds issued by the
dormitory authority of the state of New York for  capital  disbursements
of  up to $331,000,000 from any appropriation or reappropriation author-
ized by a chapter of the laws of 2013.
  S 40. Notwithstanding any  other  law,  rule,  or  regulation  to  the
contrary,  the  comptroller is hereby authorized and directed to deposit
to the credit of the city university special revenue fund, reimbursement
from the proceeds of notes or bonds issued by the Dormitory Authority of
the State of New York for capital disbursements  of  up  to  $20,000,000
from  any  appropriation  or reappropriation authorized by chapter 53 of
the laws of 2009  to  the  city  university  of  New  York  for  various
purposes.
  S  41.  Notwithstanding  any  other  law,  rule,  or regulation to the
contrary, the state comptroller is hereby authorized and directed to use
any balance remaining in the mental health services  fund  debt  service
appropriation, after payment by the state comptroller of all obligations
required pursuant to any lease, sublease, or other financing arrangement
between the dormitory authority of the state of New York as successor to
the  New  York  state  medical  care  facilities finance agency, and the
facilities development corporation pursuant to chapter 83 of the laws of
1995 and the department of mental hygiene  for  the  purpose  of  making
payments  to  the  dormitory  authority of the state of New York for the
amount of the earnings for the investment of  monies  deposited  in  the
mental health services fund that such agency determines will or may have
to  be  rebated  to the federal government pursuant to the provisions of
the internal revenue code of 1986, as amended, in order to  enable  such
agency  to  maintain  the  exemption from federal income taxation on the
interest paid to the holders of such agency's mental services facilities
improvement revenue bonds. On or before June 30, 2013, such agency shall
certify to the  state  comptroller  its  determination  of  the  amounts

S. 2607--D                         201                        A. 3007--D

received  in  the mental health services fund as a result of the invest-
ment of monies deposited therein that will or may have to be rebated  to
the federal government pursuant to the provisions of the internal reven-
ue code of 1986, as amended.
  S  42.  (1)  Notwithstanding any other law, rule, or regulation to the
contrary, the state comptroller shall at the commencement of each  month
certify to the director of the budget, the commissioner of environmental
conservation,  the  chair of the senate finance committee, and the chair
of the assembly ways and means committee the amounts disbursed from  all
appropriations  for  hazardous  waste site remediation disbursements for
the month preceding such certification.
  (2) Notwithstanding any law to the contrary, prior to the issuance  by
the comptroller of bonds authorized pursuant to subdivision a of section
4  of the environmental quality bond act of nineteen hundred eighty-six,
as enacted by chapter 511 of the laws of 1986,  disbursements  from  all
appropriations  for  that  purpose shall first be reimbursed from moneys
credited to the hazardous waste remedial fund,  site  investigation  and
construction  account,  to  the  extent  moneys  are  available  in such
account. For purposes of determining moneys available in  such  account,
the  commissioner  of  environmental  conservation  shall certify to the
comptroller the amounts required for  administration  of  the  hazardous
waste remedial program.
  (3)  The comptroller is hereby authorized and directed to transfer any
balance above the amounts certified by the commissioner of environmental
conservation to reimburse disbursements pursuant to  all  appropriations
from  such site investigation and construction account; provided, howev-
er, that if such transfers are  determined  by  the  comptroller  to  be
insufficient  to  assure  that  interest  paid to holders of state obli-
gations issued for hazardous waste purposes  pursuant  to  the  environ-
mental  quality  bond  act of nineteen hundred eighty-six, as enacted by
chapter 511 of the laws of 1986, is exempt from federal income taxation,
the comptroller is hereby authorized and directed to transfer, from such
site investigation and construction account to  the  general  fund,  the
amount  necessary  to  redeem bonds in an amount necessary to assure the
continuation of such tax exempt status. Prior to the making of any  such
transfers,  the  comptroller  shall notify the director of the budget of
the amount of such transfers.
  S 43. Subdivision 2 of section 68-a  of  the  state  finance  law,  as
amended  by  section  36 of part U of chapter 59 of the laws of 2012, is
amended to read as follows:
  2. "Authorized purpose" for purposes of this article and section nine-
ty-two-z of this chapter shall mean any purposes  for  which  state-sup-
ported debt, as defined by section sixty-seven-a of this chapter, may or
has  been  issued  except  debt  for which the state is constitutionally
obligated thereunder to pay debt  service  and  related  expenses[,  and
except  (a) as authorized in paragraph (b) of subdivision one of section
three hundred eighty-five of the public authorities law, (b) as  author-
ized for the department of health of the state of New York facilities as
specified  in  paragraph a of subdivision two of section sixteen hundred
eighty of the public authorities law, (c) state university of  New  York
dormitory  facilities  as  specified  in  subdivision  eight  of section
sixteen hundred seventy-eight of the public authorities law, and (d)  as
authorized  for  mental  health services facilities by section nine-a of
section one of chapter three hundred ninety-two of the laws of  nineteen
hundred  seventy-three  constituting  the  New  York  state medical care
facilities financing act. Notwithstanding the provisions of  clause  (d)

S. 2607--D                         202                        A. 3007--D

of  this  subdivision,  for  the  period  April first, two thousand nine
through  March  thirty-first,  two  thousand  thirteen,  mental   health
services  facilities,  as authorized by section nine-a of section one of
chapter  three hundred ninety-two of the laws of nineteen hundred seven-
ty-three constituting the New York state medical care facilities financ-
ing act, shall constitute an authorized purpose].
  S 44. Subdivision 8 of section 68-b  of  the  state  finance  law,  as
amended  by  section 35 of part BB of chapter 58 of the laws of 2011, is
amended to read as follows:
  8. Revenue bonds may  only  be  issued  for  authorized  purposes,  as
defined  in  section  sixty-eight-a of this article. Notwithstanding the
foregoing, the dormitory authority of the state  of  New  York  and  the
urban development corporation may issue revenue bonds for any authorized
purpose  of any other such authorized issuer through March thirty-first,
two thousand [thirteen] FIFTEEN.  The authorized issuers shall not issue
any revenue bonds in an amount in excess of statutory authorizations for
such authorized purposes. Authorizations for  such  authorized  purposes
shall  be  reduced  in  an  amount  equal to the amount of revenue bonds
issued for such authorized purposes under this article.  Such  reduction
shall  not  be  made in relation to revenue bonds issued to fund reserve
funds, if any, and costs of issuance, if these  items  are  not  counted
under  existing authorizations, nor shall revenue bonds issued to refund
bonds issued under existing authorizations reduce  the  amount  of  such
authorizations.
  S  45. Subdivision 5 of section 3234 of the public authorities law, as
amended by section 54 of part K of chapter 81 of the laws  of  2002,  is
amended to read as follows:
  5.  A  majority  of the whole number of directors then in office shall
constitute a quorum for the transaction of any business or the  exercise
of  any  power of the corporation. Except as otherwise specified in this
title, for the transaction of any business or the exercise of any  power
of the corporation, the corporation shall have power to act by a majori-
ty  of  the  directors  present  at  any meeting at which a quorum is in
attendance; provided that one or more directors  may  participate  in  a
meeting  by  means  of  conference  telephone  or similar communications
equipment allowing all directors participating in the  meeting  to  hear
each  other  at  the  same  time  and  participation by such means shall
constitute presence in person at a meeting.  A  unanimous  vote  of  all
directors  THEN IN OFFICE shall be required for approval of a resolution
authorizing the issuance of bonds or notes or any supplemental or  amen-
datory  resolution.   The corporation may delegate to one or more of its
directors, or officers, agents and employees, such powers and duties  as
the  directors  may deem proper. Five days notice shall be given to each
director and nonvoting representative prior to any meeting of the corpo-
ration.
  S 46. Section 1 of chapter 174 of the laws of 1968,  constituting  the
New York state urban development corporation act, is amended by adding a
new section 46 to read as follows:
  S  46.  1.  NOTWITHSTANDING  THE  PROVISIONS  OF  ANY OTHER LAW TO THE
CONTRARY, THE DORMITORY AUTHORITY AND THE CORPORATION ARE HEREBY AUTHOR-
IZED TO ISSUE BONDS OR NOTES IN ONE OR MORE SERIES FOR  THE  PURPOSE  OF
FUNDING PROJECT COSTS FOR RESTORING STATE PROPERTIES DAMAGED AS A RESULT
OF  STORM  SANDY  AND  OTHER  STATE  COSTS  ASSOCIATED WITH SUCH CAPITAL
PROJECTS. THE AGGREGATE PRINCIPAL  AMOUNT  OF  BONDS  AUTHORIZED  TO  BE
ISSUED  PURSUANT  TO  THIS  SECTION  SHALL NOT EXCEED FOUR HUNDRED FIFTY
MILLION DOLLARS, EXCLUDING BONDS ISSUED TO FUND ONE OR MORE DEBT SERVICE

S. 2607--D                         203                        A. 3007--D

RESERVE FUNDS, TO PAY COSTS OF ISSUANCE OF  SUCH  BONDS,  AND  BONDS  OR
NOTES ISSUED TO REFUND OR OTHERWISE REPAY SUCH BONDS OR NOTES PREVIOUSLY
ISSUED.  SUCH  BONDS AND NOTES OF THE DORMITORY AUTHORITY AND THE CORPO-
RATION  SHALL  NOT  BE  A  DEBT OF THE STATE, AND THE STATE SHALL NOT BE
LIABLE THEREON, NOR SHALL THEY BE PAYABLE OUT OF ANY  FUNDS  OTHER  THAN
THOSE  APPROPRIATED  BY  THE  STATE  TO  THE DORMITORY AUTHORITY AND THE
CORPORATION FOR PRINCIPAL, INTEREST, AND RELATED EXPENSES PURSUANT TO  A
SERVICE  CONTRACT  AND  SUCH  BONDS  AND NOTES SHALL CONTAIN ON THE FACE
THEREOF A STATEMENT TO SUCH EFFECT. EXCEPT  FOR  PURPOSES  OF  COMPLYING
WITH  THE  INTERNAL  REVENUE  CODE,  ANY  INTEREST INCOME EARNED ON BOND
PROCEEDS SHALL ONLY BE USED TO PAY DEBT SERVICE ON SUCH BONDS.
  2. NOTWITHSTANDING ANY OTHER PROVISION OF  LAW  TO  THE  CONTRARY,  IN
ORDER TO ASSIST THE DORMITORY AUTHORITY AND THE CORPORATION IN UNDERTAK-
ING  THE  FINANCING  FOR  PROJECT  COSTS  FOR RESTORING STATE PROPERTIES
DAMAGED AS A RESULT OF STORM SANDY AND OTHER STATE COSTS ASSOCIATED WITH
SUCH CAPITAL PROJECTS, THE DIRECTOR OF THE BUDGET IS  HEREBY  AUTHORIZED
TO ENTER INTO ONE OR MORE SERVICE CONTRACTS WITH THE DORMITORY AUTHORITY
AND  THE  CORPORATION,  NONE OF WHICH SHALL EXCEED THIRTY YEARS IN DURA-
TION, UPON SUCH TERMS AND CONDITIONS AS THE DIRECTOR OF THE  BUDGET  AND
THE  DORMITORY  AUTHORITY  AND  THE CORPORATION AGREE, SO AS TO ANNUALLY
PROVIDE TO THE DORMITORY AUTHORITY AND THE CORPORATION,  IN  THE  AGGRE-
GATE,  A SUM NOT TO EXCEED THE PRINCIPAL, INTEREST, AND RELATED EXPENSES
REQUIRED FOR SUCH BONDS AND NOTES. ANY  SERVICE  CONTRACT  ENTERED  INTO
PURSUANT  TO THIS SECTION SHALL PROVIDE THAT THE OBLIGATION OF THE STATE
TO PAY THE AMOUNT THEREIN PROVIDED SHALL NOT CONSTITUTE A  DEBT  OF  THE
STATE  WITHIN  THE  MEANING OF ANY CONSTITUTIONAL OR STATUTORY PROVISION
AND SHALL BE DEEMED EXECUTORY ONLY TO THE EXTENT OF MONIES AVAILABLE AND
THAT NO LIABILITY SHALL BE INCURRED  BY  THE  STATE  BEYOND  THE  MONIES
AVAILABLE  FOR  SUCH  PURPOSE,  SUBJECT  TO  ANNUAL APPROPRIATION BY THE
LEGISLATURE. ANY SUCH CONTRACT OR ANY PAYMENTS MADE OR TO BE MADE THERE-
UNDER MAY BE ASSIGNED AND PLEDGED BY THE  DORMITORY  AUTHORITY  AND  THE
CORPORATION  AS  SECURITY FOR ITS BONDS AND NOTES, AS AUTHORIZED BY THIS
SECTION.
  3. THE COMPTROLLER IS HEREBY AUTHORIZED TO RECEIVE FROM THE  DORMITORY
AUTHORITY  AND  THE  CORPORATION  ANY  PORTION  OF BOND PROCEEDS PAID TO
PROVIDE FUNDS FOR OR REIMBURSE THE STATE FOR ITS COSTS  ASSOCIATED  WITH
SUCH  CAPITAL  PROJECT  COSTS  AND TO CREDIT SUCH AMOUNTS TO THE CAPITAL
PROJECTS FUND OR ANY OTHER APPROPRIATE FUND.
  S 47. Section 1 of chapter 174 of the laws of 1968,  constituting  the
New York state urban development corporation act, is amended by adding a
new section 47 to read as follows:
  S  47.  1.  NOTWITHSTANDING  THE  PROVISIONS  OF  ANY OTHER LAW TO THE
CONTRARY, THE DORMITORY AUTHORITY AND THE CORPORATION ARE HEREBY AUTHOR-
IZED TO ISSUE BONDS OR NOTES IN ONE OR MORE SERIES FOR  THE  PURPOSE  OF
FUNDING  PROJECT COSTS FOR THE OFFICE OF INFORMATION TECHNOLOGY SERVICES
AND OTHER STATE COSTS ASSOCIATED WITH SUCH CAPITAL PROJECTS. THE  AGGRE-
GATE  PRINCIPAL AMOUNT OF BONDS AUTHORIZED TO BE ISSUED PURSUANT TO THIS
SECTION SHALL NOT EXCEED EIGHTY-SEVEN MILLION SEVEN HUNDRED FORTY  THOU-
SAND  DOLLARS,  EXCLUDING  BONDS ISSUED TO FUND ONE OR MORE DEBT SERVICE
RESERVE FUNDS, TO PAY COSTS OF ISSUANCE OF  SUCH  BONDS,  AND  BONDS  OR
NOTES ISSUED TO REFUND OR OTHERWISE REPAY SUCH BONDS OR NOTES PREVIOUSLY
ISSUED.  SUCH  BONDS AND NOTES OF THE DORMITORY AUTHORITY AND THE CORPO-
RATION SHALL NOT BE A DEBT OF THE STATE, AND  THE  STATE  SHALL  NOT  BE
LIABLE  THEREON,  NOR  SHALL THEY BE PAYABLE OUT OF ANY FUNDS OTHER THAN
THOSE APPROPRIATED BY THE STATE  TO  THE  DORMITORY  AUTHORITY  AND  THE
CORPORATION  FOR PRINCIPAL, INTEREST, AND RELATED EXPENSES PURSUANT TO A

S. 2607--D                         204                        A. 3007--D

SERVICE CONTRACT AND SUCH BONDS AND NOTES  SHALL  CONTAIN  ON  THE  FACE
THEREOF  A  STATEMENT  TO  SUCH EFFECT. EXCEPT FOR PURPOSES OF COMPLYING
WITH THE INTERNAL REVENUE CODE,  ANY  INTEREST  INCOME  EARNED  ON  BOND
PROCEEDS SHALL ONLY BE USED TO PAY DEBT SERVICE ON SUCH BONDS.
  2.  NOTWITHSTANDING  ANY  OTHER  PROVISION  OF LAW TO THE CONTRARY, IN
ORDER TO ASSIST THE DORMITORY AUTHORITY AND THE CORPORATION IN UNDERTAK-
ING THE FINANCING FOR PROJECT COSTS FOR THE OFFICE OF INFORMATION  TECH-
NOLOGY  SERVICES  AND  OTHER  STATE  COSTS  ASSOCIATED WITH SUCH CAPITAL
PROJECTS, THE DIRECTOR OF THE BUDGET IS HEREBY AUTHORIZED TO ENTER  INTO
ONE  OR  MORE  SERVICE  CONTRACTS  WITH  THE DORMITORY AUTHORITY AND THE
CORPORATION, NONE OF WHICH SHALL EXCEED THIRTY YEARS IN  DURATION,  UPON
SUCH TERMS AND CONDITIONS AS THE DIRECTOR OF THE BUDGET AND THE DORMITO-
RY AUTHORITY AND THE CORPORATION AGREE, SO AS TO ANNUALLY PROVIDE TO THE
DORMITORY  AUTHORITY AND THE CORPORATION, IN THE AGGREGATE, A SUM NOT TO
EXCEED THE PRINCIPAL, INTEREST, AND RELATED EXPENSES REQUIRED  FOR  SUCH
BONDS  AND  NOTES.  ANY  SERVICE  CONTRACT ENTERED INTO PURSUANT TO THIS
SECTION SHALL PROVIDE THAT THE OBLIGATION OF THE STATE TO PAY THE AMOUNT
THEREIN PROVIDED SHALL NOT CONSTITUTE A DEBT OF  THE  STATE  WITHIN  THE
MEANING OF ANY CONSTITUTIONAL OR STATUTORY PROVISION AND SHALL BE DEEMED
EXECUTORY  ONLY  TO THE EXTENT OF MONIES AVAILABLE AND THAT NO LIABILITY
SHALL BE INCURRED BY THE STATE BEYOND  THE  MONIES  AVAILABLE  FOR  SUCH
PURPOSE,  SUBJECT  TO  ANNUAL APPROPRIATION BY THE LEGISLATURE. ANY SUCH
CONTRACT OR ANY PAYMENTS MADE OR TO BE MADE THEREUNDER MAY  BE  ASSIGNED
AND  PLEDGED  BY THE DORMITORY AUTHORITY AND THE CORPORATION AS SECURITY
FOR ITS BONDS AND NOTES, AS AUTHORIZED BY THIS SECTION.
  3. THE COMPTROLLER IS HEREBY AUTHORIZED TO RECEIVE FROM THE  DORMITORY
AUTHORITY  AND  THE  CORPORATION  ANY  PORTION  OF BOND PROCEEDS PAID TO
PROVIDE FUNDS FOR OR REIMBURSE THE STATE FOR ITS COSTS  ASSOCIATED  WITH
SUCH  CAPITAL  PROJECT  COSTS  AND TO CREDIT SUCH AMOUNTS TO THE CAPITAL
PROJECTS FUND OR ANY OTHER APPROPRIATE FUND.
  S 48. Subdivision (a) of section 28 of part Y of  chapter  61  of  the
laws  of  2005,  relating to providing for the administration of certain
funds and accounts related  to  the  2005-2006  budget,  as  amended  by
section  39  of  part U of chapter 59 of the laws of 2012, is amended to
read as follows:
  (a) Subject to the provisions of chapter 59 of the laws of  2000,  but
notwithstanding  any  provisions  of  law  to  the contrary, one or more
authorized issuers as defined by section 68-a of the state  finance  law
are  hereby  authorized to issue bonds or notes in one or more series in
an aggregate principal amount not to exceed  [$24,000,000]  $27,000,000,
excluding  bonds  issued  to  finance  one  or more debt service reserve
funds, to pay costs of issuance of such bonds, and bonds or notes issued
to refund or otherwise repay such bonds or notes previously issued,  for
the  purpose of financing capital projects for public protection facili-
ties in the Division of Military and Naval  Affairs,  debt  service  and
leases;  and  to reimburse the state general fund for disbursements made
therefor. Such bonds and notes of such authorized issuer shall not be  a
debt  of the state, and the state shall not be liable thereon, nor shall
they be payable out of any funds other than those  appropriated  by  the
state  to  such  authorized issuer for debt service and related expenses
pursuant to any service contract executed pursuant to subdivision (b) of
this section and such bonds and notes shall contain on the face  thereof
a  statement  to  such effect. Except for purposes of complying with the
internal revenue code, any interest income earned on bond proceeds shall
only be used to pay debt service on such bonds.

S. 2607--D                         205                        A. 3007--D

  S 49. Subdivision 1 of section 16 of part D of chapter 389 of the laws
of 1997, relating  to  the  financing  of  the  correctional  facilities
improvement  fund and the youth facility improvement fund, as amended by
section 40 of part U of chapter 59 of the laws of 2012,  is  amended  to
read as follows:
  1.  Subject  to  the provisions of chapter 59 of the laws of 2000, but
notwithstanding the provisions of section 18 of section 1 of chapter 174
of the laws of 1968, the New York state urban development corporation is
hereby authorized to issue bonds, notes  and  other  obligations  in  an
aggregate principal amount not to exceed [six] SEVEN billion [eight] ONE
hundred  [sixteen] THIRTY-THREE million [eight hundred] sixty-nine thou-
sand dollars [$6,816,869,000]  $7,133,069,000,  and  shall  include  all
bonds,  notes and other obligations issued pursuant to chapter 56 of the
laws of 1983, as amended or supplemented. The proceeds  of  such  bonds,
notes  or  other  obligations shall be paid to the state, for deposit in
the correctional facilities capital improvement fund to pay for  all  or
any  portion  of  the amount or amounts paid by the state from appropri-
ations or reappropriations made to the  department  of  corrections  and
community  supervision from the correctional facilities capital improve-
ment fund for capital projects. The aggregate amount of bonds, notes  or
other obligations authorized to be issued pursuant to this section shall
exclude  bonds, notes or other obligations issued to refund or otherwise
repay bonds, notes or other obligations theretofore issued, the proceeds
of which were paid to the state for all or  a  portion  of  the  amounts
expended  by  the  state from appropriations or reappropriations made to
the department  of  corrections  and  community  supervision;  provided,
however,  that  upon any such refunding or repayment the total aggregate
principal amount of outstanding bonds, notes or other obligations may be
greater  than  [six]  SEVEN  billion  [eight]  ONE   hundred   [sixteen]
THIRTY-THREE   million   [eight  hundred]  sixty-nine  thousand  dollars
[$6,816,869,000] $7,133,069,000, only if the present value of the aggre-
gate debt service of the refunding or repayment bonds,  notes  or  other
obligations  to  be  issued  shall  not  exceed the present value of the
aggregate debt service of the bonds, notes or other obligations so to be
refunded or repaid. For the purposes hereof, the present  value  of  the
aggregate  debt  service  of  the refunding or repayment bonds, notes or
other obligations and of the aggregate debt service of the bonds,  notes
or  other  obligations  so  refunded  or  repaid, shall be calculated by
utilizing the effective interest rate  of  the  refunding  or  repayment
bonds,  notes  or other obligations, which shall be that rate arrived at
by doubling the semi-annual  interest  rate  (compounded  semi-annually)
necessary  to  discount  the  debt  service payments on the refunding or
repayment bonds, notes or other obligations from the payment dates ther-
eof to the date of issue of the refunding or repayment bonds,  notes  or
other  obligations  and  to  the  price  bid including estimated accrued
interest or proceeds received by  the  corporation  including  estimated
accrued interest from the sale thereof.
  S  50.  Paragraph  (a) of subdivision 2 of section 47-e of the private
housing finance law, as amended by section 41 of part U of chapter 59 of
the laws of 2012, is amended to read as follows:
  (a) Subject to the provisions of chapter fifty-nine of the laws of two
thousand, in order to enhance and encourage  the  promotion  of  housing
programs  and thereby achieve the stated purposes and objectives of such
housing programs, the agency shall have the power and is hereby  author-
ized  from  time  to  time to issue negotiable housing program bonds and
notes in such principal amount as shall be necessary to  provide  suffi-

S. 2607--D                         206                        A. 3007--D

cient  funds  for the repayment of amounts disbursed (and not previously
reimbursed) pursuant to law or any prior year making  capital  appropri-
ations  or  reappropriations  for  the  purposes of the housing program;
provided,  however, that the agency may issue such bonds and notes in an
aggregate principal amount  not  exceeding  two  billion  [seven]  EIGHT
hundred [forty] FORTY-FOUR million [six] EIGHT hundred ninety-nine thou-
sand  dollars,  plus a principal amount of bonds issued to fund the debt
service reserve fund in accordance with the debt  service  reserve  fund
requirement  established  by  the  agency and to fund any other reserves
that the agency reasonably deems necessary for the security or  marketa-
bility  of  such  bonds and to provide for the payment of fees and other
charges and expenses,  including  underwriters'  discount,  trustee  and
rating  agency  fees,  bond  insurance, credit enhancement and liquidity
enhancement related to the issuance of such bonds and notes. No  reserve
fund securing the housing program bonds shall be entitled or eligible to
receive  state  funds apportioned or appropriated to maintain or restore
such reserve fund at or to a particular level, except to the  extent  of
any  deficiency  resulting  directly or indirectly from a failure of the
state to appropriate or pay the agreed amount under any of the contracts
provided for in subdivision four of this section.
  S 51. Subdivision (b) of section 11 of chapter  329  of  the  laws  of
1991,  amending  the  state  finance  law and other laws relating to the
establishment of the dedicated highway and bridge trust fund, as amended
by section 42 of part U of chapter 59 of the laws of 2012, is amended to
read as follows:
  (b) Any service contract or contracts for projects authorized pursuant
to sections 10-c, 10-f, 10-g and 80-b of the  highway  law  and  section
14-k of the transportation law, and entered into pursuant to subdivision
(a)  of  this  section,  shall  provide for state commitments to provide
annually to the thruway authority a sum or sums,  upon  such  terms  and
conditions as shall be deemed appropriate by the director of the budget,
to fund, or fund the debt service requirements of any bonds or any obli-
gations  of  the thruway authority issued to fund such projects having a
cost not in excess of [$7,106,022,000]  $7,591,875,000  cumulatively  by
the end of fiscal year [2012-13] 2013-14.
  S  52.  Subdivision 1 of section 1689-i of the public authorities law,
as amended by section 50 of part U of chapter 59 of the laws of 2012, is
amended to read as follows:
  1. The dormitory authority  is  authorized  to  issue  bonds,  at  the
request  of  the  commissioner of education, to finance eligible library
construction projects pursuant to section two hundred seventy-three-a of
the education law, in amounts certified  by  such  commissioner  not  to
exceed  a  total  principal  amount of [ninety-eight] ONE HUNDRED TWELVE
million dollars.
  S 53. Subdivision (a) of section 27 of part Y of  chapter  61  of  the
laws  of  2005,  providing  for  the administration of certain funds and
accounts related to the 2005-2006 budget, as amended by  section  43  of
part  PP  of  chapter  56  of  the  laws  of 2009, is amended to read as
follows:
  (a) Subject to the provisions of chapter 59 of the laws of  2000,  but
notwithstanding  any provisions of law to the contrary, the urban devel-
opment corporation is hereby authorized to issue bonds or notes  in  one
or   more  series  in  an  aggregate  principal  amount  not  to  exceed
[$114,100,000] $133,600,000, excluding bonds issued to  finance  one  or
more debt service reserve funds, to pay costs of issuance of such bonds,
and  bonds  or  notes  issued to refund or otherwise repay such bonds or

S. 2607--D                         207                        A. 3007--D

notes previously issued, for the purpose of financing  capital  projects
for  THE division of state police [facilities], debt service and leases;
and to reimburse the state general fund for disbursements made therefor.
Such  bonds  and  notes of such authorized issuer shall not be a debt of
the state, and the state shall not be liable thereon, nor shall they  be
payable  out  of any funds other than those appropriated by the state to
such authorized issuer for debt service and related expenses pursuant to
any service contract  executed  pursuant  to  subdivision  (b)  of  this
section  and  such  bonds  and notes shall contain on the face thereof a
statement to such effect. Except for  purposes  of  complying  with  the
internal revenue code, any interest income earned on bond proceeds shall
only be used to pay debt service on such bonds.
  S  54.  Section  44  of  section 1 of chapter 174 of the laws of 1968,
constituting the New York state urban development  corporation  act,  as
amended  by  section  43 of part U of chapter 59 of the laws of 2012, is
amended to read as follows:
  S 44. ISSUANCE OF CERTAIN  BONDS  OR  NOTES.  1.  Notwithstanding  the
provisions of any other law to the contrary, the dormitory authority and
the  corporation are hereby authorized to issue bonds or notes in one or
more series for the purpose of funding project costs  for  the  regional
economic  development  council  initiative,  the economic transformation
program, state university of New York college for nanoscale and  science
engineering,  projects  within  the city of Buffalo or surrounding envi-
rons, [and] the New York works economic development fund,  PROJECTS  FOR
THE  RETENTION  OF PROFESSIONAL FOOTBALL IN WESTERN NEW YORK, THE EMPIRE
STATE ECONOMIC DEVLOPMENT FUND, and other state  costs  associated  with
such projects.  The aggregate principal amount of bonds authorized to be
issued  pursuant  to  this  section  shall not exceed [seven hundred ten
million five hundred fifty] ONE BILLION THREE MILLION SIX HUNDRED  SEVEN
thousand  dollars,  excluding  bonds  issued  to  fund  one or more debt
service reserve funds, to pay costs of issuance of such bonds, and bonds
or notes issued to refund or otherwise repay such bonds or notes  previ-
ously  issued.  Such  bonds and notes of the dormitory authority and the
corporation shall not be a debt of the state, and the state shall not be
liable thereon, nor shall they be payable out of any  funds  other  than
those  appropriated  by  the  state  to  the dormitory authority and the
corporation for principal, interest, and related expenses pursuant to  a
service  contract  and  such  bonds  and notes shall contain on the face
thereof a statement to such effect. Except  for  purposes  of  complying
with  the  internal  revenue  code,  any  interest income earned on bond
proceeds shall only be used to pay debt service on such bonds.
  2. Notwithstanding any other provision of  law  to  the  contrary,  in
order to assist the dormitory authority and the corporation in undertak-
ing  the  financing for project costs for the regional economic develop-
ment council initiative,  the  economic  transformation  program,  state
university  of  New  York college for nanoscale and science engineering,
projects within the city of Buffalo or surrounding environs  [and],  the
New  York works economic development fund, PROJECTS FOR THE RETENTION OF
PROFESSIONAL FOOTBALL IN WESTERN NEW YORK,  THE  EMPIRE  STATE  ECONOMIC
DEVELOPMENT  FUND,  and other state costs associated with such projects,
the director of the budget is hereby authorized to  enter  into  one  or
more service contracts with the dormitory authority and the corporation,
none of which shall exceed thirty years in duration, upon such terms and
conditions as the director of the budget and the dormitory authority and
the  corporation  agree,  so  as  to  annually  provide to the dormitory
authority and the corporation, in the aggregate, a sum not to exceed the

S. 2607--D                         208                        A. 3007--D

principal, interest, and related expenses required for  such  bonds  and
notes.  Any service contract entered into pursuant to this section shall
provide that the obligation of the  state  to  pay  the  amount  therein
provided  shall not constitute a debt of the state within the meaning of
any constitutional or statutory provision and shall be deemed  executory
only  to  the  extent of monies available and that no liability shall be
incurred by the state beyond the  monies  available  for  such  purpose,
subject to annual appropriation by the legislature. Any such contract or
any  payments  made or to be made thereunder may be assigned and pledged
by the dormitory authority and the corporation as security for its bonds
and notes, as authorized by this section.
  S 55. Subdivisions 1 and 3 of section 1285-p of the public authorities
law,subdivision 1 as amended by section 21 of part II of chapter  59  of
the laws of 2004 and subdivision 3 as amended by section 38 of part U of
chapter 59 of the laws of 2012, are amended to read as follows:
  1.  Subject  to  chapter  fifty-nine  of the laws of two thousand, but
notwithstanding any other provisions of law to the contrary, in order to
assist the corporation in undertaking the administration and the financ-
ing of the design, acquisition, construction, improvement, installation,
and related work for all or any portion of any of the following environ-
mental infrastructure projects and for the provision  of  funds  to  the
state  for any amounts disbursed therefor: (a) projects authorized under
the environmental protection fund, or for which appropriations are  made
to  the  environmental  protection  fund  including,  but not limited to
municipal  parks  and  historic  preservation,   stewardship,   farmland
protection, non-point source, pollution control, Hudson River Park, land
acquisition,  and  waterfront revitalization; (b) department of environ-
mental conservation capital appropriations for Onondaga Lake for certain
water quality improvement projects in the same manner as  set  forth  in
paragraph (d) of subdivision one of section 56-0303 of the environmental
conservation law; (c) for the purpose of the administration, management,
maintenance, and use of the real property at the western New York nucle-
ar  service  center;  and  (d)  department of environmental conservation
capital appropriations  for  the  administration,  design,  acquisition,
construction,  improvement, installation, and related work on department
of environmental conservation environmental infrastructure projects; and
(e) office of parks, recreation and historic preservation appropriations
or reappropriations from the state parks infrastructure fund[,]; AND (F)
CAPITAL GRANTS FOR THE CLEANER, GREENER COMMUNITIES PROGRAM the director
of the division of budget and the corporation  are  each  authorized  to
enter  into  one  or  more service contracts, none of which shall exceed
twenty years in duration, upon such terms and conditions as the director
and the corporation may agree, so as to annually provide to  the  corpo-
ration  in  the  aggregate,  a sum not to exceed the annual debt service
payments and related expenses required for any bonds and  notes  author-
ized  pursuant  to  section  twelve  hundred  ninety  of this title. Any
service contract entered into pursuant to  this  section  shall  provide
that  the  obligation of the state to fund or to pay the amounts therein
provided for shall not constitute a debt of the state within the meaning
of any constitutional or statutory provision and shall be deemed  execu-
tory  only  to the extent of moneys available for such purposes, subject
to annual appropriation by the legislature. Any such service contract or
any payments made or to be made thereunder may be assigned  and  pledged
by  the  corporation  as security for its bonds and notes, as authorized
pursuant to section twelve hundred ninety of this title.

S. 2607--D                         209                        A. 3007--D

  3. The maximum amount of bonds that may be issued for the  purpose  of
financing  environmental  infrastructure  projects  authorized  by  this
section  shall  be  one  billion  [one  hundred  eighteen]  TWO  HUNDRED
SIXTY-FIVE  million  seven  hundred sixty thousand dollars, exclusive of
bonds  issued to fund any debt service reserve funds, pay costs of issu-
ance of such bonds, and bonds or notes issued  to  refund  or  otherwise
repay  bonds  or  notes  previously  issued. Such bonds and notes of the
corporation shall not be a debt of the state, and the state shall not be
liable thereon, nor shall they be payable out of any  funds  other  than
those  appropriated by the state to the corporation for debt service and
related expenses pursuant to any service contracts executed pursuant  to
subdivision  one of this section, and such bonds and notes shall contain
on the face thereof a statement to such effect.
  S 56. The state finance law is amended by adding a new section 92-h to
read as follows:
  S 92-H. SALES TAX REVENUE BOND TAX FUND. 1.  THERE  IS  HEREBY  ESTAB-
LISHED IN THE JOINT CUSTODY OF THE STATE COMPTROLLER AND THE COMMISSION-
ER  OF  TAXATION AND FINANCE A FUND WITHIN THE GENERAL DEBT SERVICE FUND
TO BE KNOWN AS THE "SALES TAX REVENUE BOND TAX FUND".
  2. SUCH FUND SHALL CONSIST OF THE AMOUNT OF REVENUE  COLLECTED  WITHIN
THE  STATE  FROM  THE IMPOSITION OF THE SALES AND COMPENSATING USE TAXES
(INCLUDING INTEREST AND PENALTIES) PURSUANT TO  SECTION  ELEVEN  HUNDRED
FIVE  AND  SECTION ELEVEN HUNDRED TEN OF THE TAX LAW EQUAL TO THE AMOUNT
ATTRIBUTABLE TO A ONE PERCENT RATE OF TAXATION, LESS SUCH AMOUNTS AS THE
COMMISSIONER OF TAXATION AND FINANCE MAY DETERMINE TO BE  NECESSARY  FOR
REFUNDS.   ON AND AFTER THE DATE THAT ALL OF THE OBLIGATIONS AND LIABIL-
ITIES OF THE NEW YORK LOCAL GOVERNMENT ASSISTANCE CORPORATION SHALL HAVE
BEEN  MET  OR  OTHERWISE  DISCHARGED,  OTHER  THAN  PAYMENT  OBLIGATIONS
REQUIRED  BY  SECTION  THIRTY-TWO  HUNDRED  THIRTY-EIGHT-A OF THE PUBLIC
AUTHORITIES LAW, IT SHALL EQUAL THE AMOUNT ATTRIBUTABLE TO A TWO PERCENT
RATE OF TAXATION, LESS SUCH AMOUNTS AS THE COMMISSIONER OF TAXATION  AND
FINANCE  MAY  DETERMINE  TO  BE  NECESSARY FOR REFUNDS.   SUCH SALES AND
COMPENSATING USE TAX REVENUES SHALL BE SEPARATE AND  DISTINCT  FROM  THE
SALES  AND  COMPENSATING USE TAX REVENUES DEPOSITED FROM TIME TO TIME IN
THE  LOCAL  GOVERNMENT  ASSISTANCE  TAX  FUND,   PURSUANT   TO   SECTION
NINETY-TWO-R OF THIS CHAPTER.
  3.  ON  OR  BEFORE  THE TWELFTH DAY OF EACH MONTH, THE COMMISSIONER OF
TAXATION AND FINANCE SHALL CERTIFY TO THE STATE COMPTROLLER THE  AMOUNTS
SPECIFIED  IN  SUBDIVISION TWO OF THIS SECTION RELATING TO THE PRECEDING
MONTH AND, IN ADDITION, NO LATER THAN MARCH THIRTY-FIRST OF EACH  FISCAL
YEAR THE COMMISSIONER OF TAXATION AND FINANCE SHALL CERTIFY SUCH AMOUNTS
RELATING TO THE LAST MONTH OF SUCH FISCAL YEAR. THE AMOUNTS SO CERTIFIED
SHALL  BE  DEPOSITED  BY  THE STATE COMPTROLLER IN THE SALES TAX REVENUE
BOND TAX FUND.
  4. MONEYS IN THE SALES TAX REVENUE BOND TAX FUND SHALL BE  KEPT  SEPA-
RATE AND SHALL NOT BE COMMINGLED WITH ANY OTHER MONEYS IN THE CUSTODY OF
THE  STATE COMPTROLLER AND THE COMMISSIONER OF TAXATION AND FINANCE. ALL
DEPOSITS OF SUCH REVENUES SHALL, IF REQUIRED BY THE  STATE  COMPTROLLER,
BE  SECURED BY OBLIGATIONS OF THE UNITED STATES OR OF THE STATE HAVING A
MARKET VALUE EQUAL AT ALL TIMES TO THE AMOUNT OF SUCH DEPOSITS  AND  ALL
BANKS  AND  TRUST  COMPANIES  ARE  AUTHORIZED  TO GIVE SECURITY FOR SUCH
DEPOSITS. ANY SUCH MONEYS IN SUCH FUND MAY, IN  THE  DISCRETION  OF  THE
STATE  COMPTROLLER,  BE INVESTED IN OBLIGATIONS IN WHICH THE STATE COMP-
TROLLER IS AUTHORIZED TO INVEST PURSUANT TO  SECTION  NINETY-EIGHT-A  OF
THIS ARTICLE.

S. 2607--D                         210                        A. 3007--D

  5.  (A) THE STATE COMPTROLLER SHALL FROM TIME TO TIME, BUT IN NO EVENT
LATER THAN THE FIFTEENTH DAY OF EACH MONTH (OTHER THAN  THE  LAST  MONTH
OF  THE  FISCAL YEAR) AND NO LATER THAN THE THIRTY-FIRST DAY OF THE LAST
MONTH OF EACH FISCAL YEAR, PAY OVER AND DISTRIBUTE TO THE CREDIT OF  THE
GENERAL  FUND  OF THE STATE TREASURY ALL MONEYS IN THE SALES TAX REVENUE
BOND TAX FUND, IF ANY, IN EXCESS OF THE AGGREGATE AMOUNT REQUIRED TO  BE
SET ASIDE FOR THE PAYMENT OF CASH REQUIREMENTS PURSUANT TO PARAGRAPH (B)
OF THIS SUBDIVISION, PROVIDED THAT AN APPROPRIATION HAS BEEN MADE TO PAY
ALL  AMOUNTS  SPECIFIED  IN ANY CERTIFICATE OR CERTIFICATES DELIVERED BY
THE DIRECTOR OF THE BUDGET PURSUANT TO PARAGRAPH (B) OF THIS SUBDIVISION
AS BEING REQUIRED BY ANY AUTHORIZED ISSUER AS SUCH TERM  IS  DEFINED  IN
SECTION  SIXTY-NINE-M  OF  THIS CHAPTER FOR THE PAYMENT OF CASH REQUIRE-
MENTS OF SUCH AUTHORIZED ISSUERS FOR SUCH FISCAL YEAR.   SUBJECT TO  THE
RIGHTS  OF  HOLDERS  OF  DEBT  OF THE STATE, IN NO EVENT SHALL THE STATE
COMPTROLLER PAY OVER AND DISTRIBUTE ANY MONEYS ON DEPOSIT IN  THE  SALES
TAX  REVENUE BOND TAX FUND TO ANY PERSON OTHER THAN AN AUTHORIZED ISSUER
PURSUANT TO SUCH CERTIFICATE OR CERTIFICATES (I) UNLESS  AND  UNTIL  THE
AGGREGATE OF ALL CASH REQUIREMENTS CERTIFIED TO THE STATE COMPTROLLER AS
REQUIRED  BY  SUCH  AUTHORIZED ISSUERS TO BE SET ASIDE PURSUANT TO PARA-
GRAPH (B) OF THIS SUBDIVISION FOR  SUCH  FISCAL  YEAR  SHALL  HAVE  BEEN
APPROPRIATED  TO SUCH AUTHORIZED ISSUERS IN ACCORDANCE WITH THE SCHEDULE
SPECIFIED IN THE CERTIFICATE OR CERTIFICATES FILED BY  THE  DIRECTOR  OF
THE  BUDGET OR (II) IF, AFTER HAVING BEEN SO CERTIFIED AND APPROPRIATED,
ANY PAYMENT REQUIRED TO BE MADE PURSUANT TO PARAGRAPH (B) OF THIS SUBDI-
VISION HAS NOT BEEN MADE TO THE  AUTHORIZED  ISSUERS  PURSUANT  TO  SUCH
CERTIFICATE  OR CERTIFICATES; PROVIDED, HOWEVER, THAT NO PERSON, INCLUD-
ING SUCH AUTHORIZED ISSUERS OR THE HOLDERS OF REVENUE BONDS, SHALL  HAVE
ANY  LIEN  ON  MONEYS ON DEPOSIT IN THE SALES TAX REVENUE BOND TAX FUND.
ANY AGREEMENT ENTERED INTO PURSUANT  TO  SECTION  SIXTY-NINE-O  OF  THIS
CHAPTER  RELATED  TO  ANY  PAYMENT  AUTHORIZED  BY THIS SECTION SHALL BE
EXECUTORY ONLY TO THE EXTENT OF SUCH REVENUES AVAILABLE TO THE STATE  IN
SUCH  FUND.  NOTWITHSTANDING SUBDIVISIONS TWO AND THREE OF THIS SECTION,
IN THE EVENT THE AGGREGATE OF ALL CASH  REQUIREMENTS  CERTIFIED  TO  THE
STATE COMPTROLLER AS REQUIRED BY SUCH AUTHORIZED ISSUERS TO BE SET ASIDE
PURSUANT TO PARAGRAPH (B) OF THIS SUBDIVISION FOR THE FISCAL YEAR BEGIN-
NING  ON APRIL FIRST SHALL NOT HAVE BEEN APPROPRIATED TO SUCH AUTHORIZED
ISSUERS IN ACCORDANCE WITH THE SCHEDULE SPECIFIED IN THE CERTIFICATE  OR
CERTIFICATES  FILED BY THE DIRECTOR OF THE BUDGET OR, IF, HAVING BEEN SO
CERTIFIED AND APPROPRIATED, ANY PAYMENT REQUIRED TO BE MADE PURSUANT  TO
PARAGRAPH  (B)  OF  THIS  SUBDIVISION HAS NOT BEEN MADE PURSUANT TO SUCH
CERTIFICATE OR CERTIFICATES, ALL RECEIPTS COLLECTED AND DEPOSITED IN THE
SALES TAX REVENUE BOND TAX FUND SHALL REMAIN IN SUCH FUND. NOTWITHSTAND-
ING ANY OTHER PROVISION OF LAW, IF THE STATE HAS APPROPRIATED  AND  PAID
TO  THE  AUTHORIZED  ISSUERS  ALL  AMOUNTS  NECESSARY FOR THE AUTHORIZED
ISSUERS TO MEET THEIR CASH REQUIREMENTS  FOR  THE  CURRENT  FISCAL  YEAR
PURSUANT TO THE CERTIFICATE OR CERTIFICATES SUBMITTED BY THE DIRECTOR OF
THE  BUDGET  PURSUANT  TO PARAGRAPH (B) OF THIS SECTION, THE STATE COMP-
TROLLER SHALL, ON THE LAST DAY OF EACH FISCAL YEAR, PAY TO  THE  GENERAL
FUND  OF  THE STATE ALL SUMS REMAINING IN THE SALES TAX REVENUE BOND TAX
FUND ON SUCH DATE EXCEPT SUCH AMOUNTS AS THE DIRECTOR OF THE BUDGET  MAY
CERTIFY  ARE  NEEDED TO MEET THE CASH REQUIREMENTS OF AUTHORIZED ISSUERS
DURING THE SUBSEQUENT FISCAL YEAR.
  (B) NO LATER THAN THIRTY DAYS AFTER THE SUBMISSION  OF  THE  EXECUTIVE
BUDGET  IN ACCORDANCE WITH ARTICLE SEVEN OF THE CONSTITUTION, THE DIREC-
TOR OF THE BUDGET SHALL PREPARE A CERTIFICATE OF THE AMOUNT  OF  MONTHLY
RECEIPTS ANTICIPATED TO BE DEPOSITED PURSUANT TO SUBDIVISION TWO OF THIS

S. 2607--D                         211                        A. 3007--D

SECTION  DURING  THE  FISCAL  YEAR  BEGINNING  APRIL  FIRST OF THAT YEAR
TOGETHER WITH THE MONTHLY AMOUNTS NECESSARY TO BE  SET  ASIDE  FROM  THE
RECEIPTS  OF  SUCH  FUND,  AS SHALL BE SUFFICIENT TO MEET THE TOTAL CASH
REQUIREMENTS  OF  AUTHORIZED ISSUERS, AS DEFINED BY SECTION SIXTY-NINE-M
OF THIS CHAPTER DURING SUCH FISCAL YEAR, BASED ON INFORMATION THAT SHALL
BE PROVIDED BY SUCH AUTHORIZED ISSUERS, CONSISTENT WITH THE TERMS OF ANY
CONTRACT WITH OUTSTANDING BONDHOLDERS. EXCEPT FOR THE PURPOSE OF MEETING
CASH REQUIREMENTS OF AN AUTHORIZED ISSUER THAT ARE DUE ON A  MONTHLY  OR
MORE  FREQUENT  BASIS, PRIOR TO TRANSFERRING ANY MONEYS FROM THE ACCOUNT
PURSUANT TO PARAGRAPH (A) OF THIS SUBDIVISION, THE COMPTROLLER SHALL SET
ASIDE ON A MONTHLY BASIS ALL REVENUES DEPOSITED PURSUANT TO THIS  SUBDI-
VISION  AS  RECEIVED UNTIL THE AMOUNT SET ASIDE IS EQUAL TO ONE-FIFTH OF
THE INTEREST DUE ON SUCH OBLIGATIONS ON  THE  NEXT  SUCCEEDING  INTEREST
PAYMENT  DATE  MULTIPLIED  BY  THE  NUMBER  OF MONTHS FROM THE LAST SUCH
PAYMENT AND ONE-ELEVENTH OF THE NEXT PRINCIPAL INSTALLMENT DUE  ON  SUCH
OBLIGATIONS  MULTIPLIED BY THE NUMBER OF MONTHS FROM THE LAST SUCH PRIN-
CIPAL INSTALLMENT WHERE PRINCIPAL IS DUE ON AN ANNUAL BASIS OR ONE-FIFTH
OF THE NEXT PRINCIPAL INSTALLMENT DUE ON SUCH OBLIGATIONS MULTIPLIED  BY
THE  NUMBER  OF  MONTHS  FROM  THE LAST SUCH PRINCIPAL INSTALLMENT WHERE
PRINCIPAL IS DUE ON A SEMIANNUAL BASIS. FOR THE PURPOSE OF MEETING  CASH
REQUIREMENTS  OF AN AUTHORIZED ISSUER THAT ARE DUE ON A MONTHLY BASIS OR
MORE FREQUENTLY, THE COMPTROLLER SHALL SET ASIDE ALL REVENUES  DEPOSITED
PURSUANT TO SUBDIVISION TWO OF THIS SECTION AS RECEIVED UNTIL THE AMOUNT
SO SET ASIDE IS, IN THE REASONABLE JUDGMENT OF THE DIRECTOR OF THE BUDG-
ET  AS  SET  FORTH  IN SUCH CERTIFICATE, SUFFICIENT TO MAKE THE REQUIRED
PAYMENT ON OR BEFORE  SUCH  PAYMENT  DATE.  NOTWITHSTANDING  SUBDIVISION
THREE  OF, SECTION SEVENTY-TWO OF THIS ARTICLE OR ANY OTHER PROVISION OF
LAW, ALL MONEYS SET ASIDE IN THE SALES TAX REVENUE BOND TAX FUND TO MEET
THE ANNUAL CASH REQUIREMENTS OF AUTHORIZED ISSUERS PURSUANT TO A CERTIF-
ICATE OR CERTIFICATES AS REQUIRED IN THIS PARAGRAPH SHALL REMAIN IN  THE
SALES  TAX  REVENUE BOND TAX FUND UNTIL NEEDED FOR PAYMENT TO AUTHORIZED
ISSUERS, AS PROVIDED IN THIS SECTION. IN THE EVENT THAT THE  AMOUNT  SET
ASIDE  BY THE STATE COMPTROLLER PURSUANT TO THIS PARAGRAPH IS NOT SUFFI-
CIENT TO MEET THE CASH REQUIREMENTS REQUIRED PURSUANT TO  A  CERTIFICATE
OR CERTIFICATES SUBMITTED BY THE DIRECTOR OF THE BUDGET, THE STATE COMP-
TROLLER  SHALL  IMMEDIATELY  TRANSFER FROM THE GENERAL FUND TO THE SALES
TAX REVENUE BOND TAX FUND AN AMOUNT WHICH, WHEN COMBINED WITH THE AMOUNT
SET ASIDE PURSUANT TO THIS PARAGRAPH, SHALL BE SUFFICIENT  TO  MEET  THE
PAYMENT  REQUIRED  PURSUANT  TO  SUCH  CERTIFICATE  OR CERTIFICATES. THE
DIRECTOR OF THE BUDGET MAY REVISE SUCH CERTIFICATION AT  SUCH  TIMES  AS
SHALL  BE  NECESSARY, PROVIDED, HOWEVER, THAT THE DIRECTOR OF THE BUDGET
SHALL, AS NECESSARY, REVISE SUCH CERTIFICATION  NOT  LATER  THAN  THIRTY
DAYS AFTER THE ISSUANCE OF ANY REVENUE BONDS, INCLUDING REFUNDING BONDS,
AND  AFTER THE ADOPTION OF ANY INTEREST RATE EXCHANGE OR OTHER FINANCIAL
ARRANGEMENT AFFECTING THE CASH REQUIREMENTS  OF THE AUTHORIZED  ISSUERS.
IN  NO EVENT SHALL THE STATE COMPTROLLER BE  HELD LIABLE FOR THE FAILURE
TO SET ASIDE AN AMOUNT SUFFICIENT TO PAY  ANY  REQUIRED  PAYMENT  OF  AN
AUTHORIZED ISSUER.
  6. ALL PAYMENTS OF MONEYS FROM THE REVENUE BOND TAX FUND SHALL BE MADE
ON THE AUDIT AND WARRANT OF THE STATE COMPTROLLER.
  S 57. Section 1148 of the tax law, as amended by chapter 3 of the laws
of 2004, is amended to read as follows:
  S  1148.  Deposit  and disposition of revenue. All taxes, interest and
penalties collected or received by the commissioner under  this  article
shall be deposited and disposed of pursuant to the provisions of section
one  hundred  seventy-one-a of this chapter; provided however, the comp-

S. 2607--D                         212                        A. 3007--D

troller shall on or before the twelfth day of each month, pay  all  such
taxes, interest and penalties collected under this article and remaining
to  the  comptroller's  credit  in  such  banks, banking houses or trust
companies  at  the  close  of  business on the last day of the preceding
month, into the general fund of the state treasury, except as  otherwise
provided in sections ninety-two-d, NINETY-TWO-H, and ninety-two-r of the
state  finance  law and sections eleven hundred two, eleven hundred four
and eleven hundred nine of this article.
  S 58. The state finance law is amended by adding a new article 5-F  to
read as follows:
                               ARTICLE 5-F
                SALES TAX REVENUE BOND FINANCING PROGRAM
SECTION 69-M. DEFINITIONS.
        69-N. ISSUANCE OF BONDS AND NOTES.
        69-O. PAYMENTS TO AUTHORIZED ISSUERS.
  S  69-M.  DEFINITIONS. 1. "AUTHORIZED ISSUER" SHALL MEAN THE DORMITORY
AUTHORITY OF THE STATE OF NEW YORK, THE NEW YORK STATE URBAN DEVELOPMENT
CORPORATION, THE NEW YORK STATE THRUWAY AUTHORITY,  AND  ANY  SUCCESSORS
THERETO.
  2. "AUTHORIZED PURPOSE" FOR PURPOSES OF THIS ARTICLE AND SECTION NINE-
TY-TWO-H  OF  THIS  CHAPTER SHALL MEAN ANY PURPOSES FOR WHICH STATE-SUP-
PORTED DEBT, AS DEFINED BY SECTION SIXTY-SEVEN-A OF THIS CHAPTER, MAY OR
HAS BEEN ISSUED, EXCEPT DEBT FOR WHICH  THE  STATE  IS  CONSTITUTIONALLY
OBLIGATED THEREUNDER TO PAY DEBT SERVICE AND RELATED EXPENSES.
  3.  "REVENUE BONDS" FOR THE PURPOSES OF THIS ARTICLE AND SECTION NINE-
TY-TWO-H OF THIS CHAPTER SHALL MEAN  ANY  BONDS,  NOTES  OR  OBLIGATIONS
ISSUED OR INCURRED PURSUANT TO SECTION SIXTY-NINE-N OF THIS ARTICLE.
  S  69-N. ISSUANCE OF BONDS AND NOTES.  1. (A) AUTHORIZED ISSUERS SHALL
HAVE THE POWER AND ARE HEREBY AUTHORIZED FROM  TIME  TO  TIME  TO  ISSUE
REVENUE  BONDS, IN SUCH PRINCIPAL AMOUNT OR AMOUNTS, SUBJECT TO SUBDIVI-
SION EIGHT OF THIS SECTION AND AS  THE  DIRECTOR  OF  THE  BUDGET  SHALL
DETERMINE  TO  BE  NECESSARY, TO PROVIDE SUFFICIENT FUNDS FOR AUTHORIZED
PURPOSES, THE ESTABLISHMENT OF RESERVES TO SECURE  SUCH  REVENUE  BONDS,
THE PAYMENT OF AMOUNTS REQUIRED UNDER REVENUE BONDS OR AGREEMENTS RELAT-
ING  THERETO,  AND THE PAYMENT OF ALL COSTS OF ISSUANCE OF THEIR REVENUE
BONDS.
  (B) THE AUTHORIZED ISSUERS SHALL HAVE THE POWER AND ARE HEREBY AUTHOR-
IZED FROM TIME TO TIME TO ISSUE (I) REVENUE BONDS TO RENEW  NOTES,  (II)
REVENUE  BONDS TO PAY NOTES, AND (III) WHENEVER IT DEEMS REFUNDING EXPE-
DIENT, TO REFUND ANY BONDS, NOTES OR OTHER  OBLIGATIONS  ISSUED  FOR  AN
AUTHORIZED  PURPOSE  OR  PURPOSES, INCLUDING BONDS, NOTES OR OTHER OBLI-
GATIONS THAT WERE ISSUED PRIOR TO THE EFFECTIVE DATE OF THIS ARTICLE, BY
THE ISSUANCE OF NEW REVENUE BONDS, WHETHER THE BONDS,  NOTES,  OR  OTHER
OBLIGATIONS TO BE REFUNDED HAVE OR HAVE NOT MATURED, AND TO ISSUE REVEN-
UE  BONDS  IN  PART  TO  REFUND  BONDS, NOTES, OR OTHER OBLIGATIONS THEN
OUTSTANDING AND IN PART FOR ANY OF ITS OTHER  AUTHORIZED  PURPOSES.  THE
REFUNDING  REVENUE  BONDS  MAY  BE  EXCHANGED FOR BONDS, NOTES, OR OTHER
OBLIGATIONS TO BE REFUNDED, OR SOLD AND  THE  PROCEEDS  APPLIED  TO  THE
PURCHASE,  REDEMPTION  OR  PAYMENT  OF SUCH BONDS, NOTES, OR OTHER OBLI-
GATIONS.
  (C) EXCEPT AS MAY OTHERWISE BE EXPRESSLY  PROVIDED  BY  AN  AUTHORIZED
ISSUER, EVERY ISSUE OF REVENUE BONDS OF AN AUTHORIZED ISSUER PURSUANT TO
THIS SECTION SHALL BE SPECIAL OBLIGATIONS OF THE AUTHORIZED ISSUER PAYA-
BLE  SOLELY OUT OF ANY REVENUES PAID OVER TO SUCH AUTHORIZED ISSUER FROM
THE SALES TAX REVENUE BOND TAX FUND, ESTABLISHED PURSUANT    TO  SECTION
NINETY-TWO-H OF THIS CHAPTER.

S. 2607--D                         213                        A. 3007--D

  (D)  ALL  OF  THE  PROVISIONS  OF  THE ENABLING ACTS OF THE AUTHORIZED
ISSUERS RELATING TO BONDS AND NOTES, WHICH ARE NOT INCONSISTENT WITH THE
PROVISIONS OF THIS SECTION, MAY, AT THE DISCRETION OF  THE    AUTHORIZED
ISSUER, APPLY TO REVENUE BONDS AUTHORIZED BY THIS SECTION.
  (E)  THE  REVENUE  BONDS  OF THE AUTHORIZED ISSUERS AUTHORIZED BY THIS
SECTION SHALL NOT BE A DEBT OF THE STATE AND  THE  STATE  SHALL  NOT  BE
LIABLE  THEREON,  NOR  SHALL THEY BE PAYABLE OUT OF ANY FUNDS OTHER THAN
THOSE OF THE AUTHORIZED ISSUERS PLEDGED THEREFOR; AND SUCH REVENUE BONDS
SHALL CONTAIN ON THE FACE THEREOF A STATEMENT TO SUCH EFFECT.  IN  ADDI-
TION,  ANY  AGREEMENTS  ENTERED  INTO BY ANY ENTITY PURSUANT TO SECTIONS
SIXTY-NINE-O AND NINETY-TWO-H OF THIS CHAPTER ON BEHALF OF THE STATE  TO
EFFECT  THE IMPLEMENTATION OF ANY OF THE ACTIVITIES FINANCED IN WHOLE OR
IN PART WITH PROCEEDS OF THE REVENUE BONDS OF  THE  AUTHORIZED  ISSUERS,
AUTHORIZED  IN  THIS  SECTION  DO NOT CONSTITUTE OR CREATE A DEBT OF THE
STATE, NOR A CONTRACTUAL OBLIGATION IN EXCESS OF THE  AMOUNTS  APPROPRI-
ATED THEREFOR, AND THE STATE HAS NO CONTINUING LEGAL OR MORAL OBLIGATION
TO APPROPRIATE MONEY FOR PAYMENTS DUE UNDER ANY SUCH AGREEMENT.
  (F) (I) REVENUE BONDS SHALL BE AUTHORIZED BY RESOLUTION OF THE AUTHOR-
IZED  ISSUERS,  BE  IN  SUCH  DENOMINATIONS, BEAR SUCH DATE OR DATES AND
MATURE AT SUCH TIME OR TIMES, AS SUCH RESOLUTION OR OTHER AGREEMENT  MAY
PROVIDE.
  (II)  REVENUE BONDS SHALL BE SUBJECT TO SUCH TERMS OF REDEMPTION, BEAR
INTEREST AT SUCH RATE OR RATES, BE PAYABLE AT SUCH  TIMES,  BE  IN  SUCH
FORM, EITHER COUPON, REGISTERED OR BOOK ENTRY FORM, CARRY SUCH REGISTRA-
TION  PRIVILEGES,  BE EXECUTED IN SUCH MANNER, BE PAYABLE IN SUCH MEDIUM
OF PAYMENT AT SUCH PLACE OR PLACES, AND BE SUBJECT  TO  SUCH  TERMS  AND
CONDITIONS AS SUCH RESOLUTION MAY PROVIDE.
  (G)  REVENUE  BONDS  AUTHORIZED  HEREUNDER SHALL BE SOLD BY AUTHORIZED
ISSUERS, AT PUBLIC OR PRIVATE SALE, AT  SUCH  PRICE  OR  PRICES  AS  THE
AUTHORIZED  ISSUERS  MAY  DETERMINE.  REVENUE  BONDS  OF  THE AUTHORIZED
ISSUERS SHALL NOT BE SOLD BY THE AUTHORIZED  ISSUERS  AT  PRIVATE  SALES
UNLESS  SUCH  SALE AND THE TERMS THEREOF HAVE BEEN APPROVED BY THE STATE
COMPTROLLER.
  2. CONSISTENT WITH THE PROVISIONS OF THIS ARTICLE, AND SUBJECT TO  THE
APPROVAL  OF  THE DIRECTOR OF THE BUDGET, ANY RESOLUTION OR OTHER AGREE-
MENT  AUTHORIZING  REVENUE  BONDS  OR  ANY  ISSUE  THEREOF  MAY  CONTAIN
PROVISIONS, WHICH SHALL BE A PART OF THE CONTRACT WITH THE HOLDERS THER-
EOF, AS TO:
  (A)  PLEDGING  ALL OR ANY PART OF THE REVENUES RECEIVED BY THE AUTHOR-
IZED ISSUERS PURSUANT TO SECTION SIXTY-NINE-O OF THIS ARTICLE TO  SECURE
THE  PAYMENT  OF  THE BONDS OR NOTES OR OF ANY ISSUE THEREOF, SUBJECT TO
SUCH AGREEMENTS WITH HOLDERS OF REVENUE BONDS AS MAY THEN EXIST;
  (B) PLEDGING ALL OR ANY PART OF THE ASSETS OF THE  AUTHORIZED  ISSUERS
TO  SECURE  THE  PAYMENT OF THE REVENUE BONDS OR OF ANY ISSUE OF REVENUE
BONDS SUBJECT TO SUCH AGREEMENTS WITH HOLDERS OF REVENUE  BONDS  AS  MAY
THEN EXIST;
  (C)  THE SETTING ASIDE OF RESERVES OR SINKING FUNDS AND THE REGULATION
AND DISPOSITION THEREOF;
  (D) LIMITATIONS ON THE PURPOSES TO  WHICH  THE  PROCEEDS  OF  SALE  OF
REVENUE  BONDS,  MAY BE APPLIED AND PLEDGING SUCH PROCEEDS TO SECURE THE
PAYMENT OF THE REVENUE BONDS OR OF ANY ISSUE THEREOF;
  (E) LIMITATIONS ON THE ISSUANCE OF ADDITIONAL REVENUE BONDS, THE TERMS
UPON WHICH ADDITIONAL REVENUE BONDS MAY BE ISSUED AND  SECURED  AND  THE
REFUNDING OF OUTSTANDING OR OTHER REVENUE BONDS;
  (F)  THE  PROCEDURE,  IF  ANY, BY WHICH THE TERMS OF ANY CONTRACT WITH
HOLDERS OF REVENUE BONDS MAY BE AMENDED  OR  ABROGATED,  THE  AMOUNT  OF

S. 2607--D                         214                        A. 3007--D

REVENUE  BONDS  THE HOLDERS OF WHICH MUST CONSENT THERETO AND THE MANNER
IN WHICH SUCH CONSENT MAY BE GIVEN;
  (G)  VESTING  IN  A  TRUSTEE,  AS DESCRIBED IN SUBDIVISION SIX OF THIS
SECTION, SUCH PROPERTY, RIGHTS,  POWERS  AND  DUTIES  IN  TRUST  AS  THE
AUTHORIZED  ISSUERS  MAY  DETERMINE, WHICH MAY INCLUDE ANY OR ALL OF THE
RIGHTS, POWERS AND DUTIES OF THE TRUSTEE APPOINTED  BY  THE  HOLDERS  OF
REVENUE  BONDS  OF  THE  RESPECTIVE  AUTHORIZED ISSUERS PURSUANT TO THIS
ARTICLE, AND LIMITING OR ABROGATING THE RIGHT OF SUCH REVENUE BOND HOLD-
ERS TO APPOINT A TRUSTEE  UNDER  THIS  TITLE  OR  LIMITING  THE  RIGHTS,
POWERS, AND DUTIES OF SUCH TRUSTEE;
  (H)  THE  ACTS OR OMISSIONS TO ACT WHICH SHALL CONSTITUTE A DEFAULT IN
THE OBLIGATIONS AND DUTIES OF THE AUTHORIZED ISSUERS TO THE  HOLDERS  OF
THE REVENUE BONDS AND PROVIDING FOR THE RIGHTS AND REMEDIES OF THE HOLD-
ERS  OF  THE REVENUE BONDS IN EVENT OF SUCH DEFAULT, INCLUDING THE RIGHT
TO APPOINTMENT OF A RECEIVER; PROVIDED, HOWEVER, THAT  SUCH  RIGHTS  AND
REMEDIES  SHALL  NOT  BE  INCONSISTENT WITH THE OTHER PROVISIONS OF THIS
ARTICLE;
  (I) ANY OTHER MATTERS, OF LIKE OR DIFFERENT CHARACTER,  WHICH  IN  ANY
WAY  AFFECT  THE  SECURITY  OR  PROTECTION OF THE HOLDERS OF THE REVENUE
BONDS; AND
  (J) THE APPLICATION OF ANY OF THE FOREGOING PROVISIONS TO ANY PROVIDER
OF ANY APPLICABLE BOND, NOTE OR OTHER FINANCIAL FACILITY.
  NOTWITHSTANDING THE FOREGOING, THE AUTHORIZED  ISSUERS  SHALL  NOT  BE
AUTHORIZED  TO MAKE ANY COVENANT, PLEDGE, PROMISE, OR AGREEMENT PURPORT-
ING TO BIND THE STATE EXCEPT AS  OTHERWISE  SPECIFICALLY  AUTHORIZED  BY
THIS ARTICLE.
  3. ANY PLEDGE MADE BY THE RESPECTIVE AUTHORIZED ISSUERS SHALL BE VALID
AND BINDING FROM THE TIME WHEN THE PLEDGE IS MADE. THE REVENUES OR PROP-
ERTY  SO  PLEDGED  AND  THEREAFTER RECEIVED BY THE RESPECTIVE AUTHORIZED
ISSUERS SHALL IMMEDIATELY BE SUBJECT TO THE LIEN OF SUCH PLEDGE  WITHOUT
ANY  PHYSICAL  DELIVERY THEREOF OR FURTHER ACT, AND THE LIEN OF ANY SUCH
PLEDGE SHALL BE VALID AND BINDING AS AGAINST ALL PARTIES  HAVING  CLAIMS
OF  ANY  KIND  IN  TORT,  CONTRACT OR OTHERWISE   AGAINST THE RESPECTIVE
AUTHORIZED ISSUERS, IRRESPECTIVE OF WHETHER  SUCH  PARTIES  HAVE  NOTICE
THEREOF.  NEITHER  THE  RESOLUTION  NOR  ANY OTHER INSTRUMENT BY WHICH A
PLEDGE IS CREATED NEED BE RECORDED OR FILED TO PROTECT SUCH PLEDGE.
  4. NEITHER THE DIRECTORS OR MEMBERS OF THE AUTHORIZED ISSUERS NOR  ANY
OTHER PERSON EXECUTING THE REVENUE BONDS OF THE AUTHORIZED ISSUERS SHALL
BE  LIABLE PERSONALLY THEREON OR BE SUBJECT TO ANY PERSONAL LIABILITY OR
ACCOUNTABILITY SOLELY BY REASON OF THE ISSUANCE THEREOF.
  5. THE AUTHORIZED ISSUERS, SUBJECT TO SUCH AGREEMENTS WITH HOLDERS  OF
REVENUE BONDS AS MAY THEN EXIST, OR WITH THE PROVIDERS OF ANY APPLICABLE
BOND  OR NOTE OR OTHER FINANCIAL OR AGREEMENT FACILITY, SHALL HAVE POWER
OUT OF ANY FUNDS AVAILABLE THEREFOR TO PURCHASE  REVENUE  BONDS  OF  THE
AUTHORIZED  ISSUERS,  WHICH  MAY  OR MAY NOT THEREUPON BE CANCELED, AT A
PRICE NOT EXCEEDING:
  (A) IF THE REVENUE BONDS ARE THEN  REDEEMABLE,  THE  REDEMPTION  PRICE
THEN APPLICABLE, INCLUDING ANY ACCRUED INTEREST;
  (B) IF THE REVENUE BONDS ARE NOT THEN REDEEMABLE, THE REDEMPTION PRICE
AND  ACCRUED  INTEREST  APPLICABLE ON THE FIRST DATE AFTER SUCH PURCHASE
UPON WHICH THE REVENUE BONDS BECOME SUBJECT TO REDEMPTION.
  6. IN THE DISCRETION OF AUTHORIZED ISSUERS, THE REVENUE BONDS  MAY  BE
SECURED BY A TRUST INDENTURE BY AND BETWEEN THE AUTHORIZED ISSUERS AND A
CORPORATE  TRUSTEE,  OR  A  CORPORATE TRUSTEE MAY BE APPOINTED UNDER THE
RESOLUTION AS PROVIDED IN SUBDIVISION TWO OF THIS SECTION.

S. 2607--D                         215                        A. 3007--D

  7. WHETHER OR NOT THE REVENUE BONDS ARE OF SUCH FORM AND CHARACTER  AS
TO  BE  NEGOTIABLE INSTRUMENTS UNDER THE TERMS OF THE UNIFORM COMMERCIAL
CODE, THE REVENUE BONDS ARE HEREBY MADE  NEGOTIABLE  INSTRUMENTS  WITHIN
THE  MEANING  OF  AND  FOR  ALL PURPOSES OF THE UNIFORM COMMERCIAL CODE,
SUBJECT  ONLY TO THE PROVISIONS OF THE REVENUE BONDS FOR REGISTRATION OR
ANY BOOK-ENTRY-ONLY SYSTEM.
  8. REVENUE BONDS MAY  ONLY  BE  ISSUED  FOR  AUTHORIZED  PURPOSES,  AS
DEFINED  IN  SECTION  SIXTY-NINE-M  OF THIS ARTICLE. NOTWITHSTANDING THE
FOREGOING, ANY AUTHORIZED ISSUER MAY ISSUE REVENUE BONDS FOR ANY AUTHOR-
IZED PURPOSE. THE AUTHORIZED ISSUERS SHALL NOT ISSUE ANY  REVENUE  BONDS
IN  AN  AMOUNT IN EXCESS OF STATUTORY AUTHORIZATIONS FOR SUCH AUTHORIZED
PURPOSES. AUTHORIZATIONS FOR SUCH AUTHORIZED PURPOSES SHALL  BE  REDUCED
IN  AN  AMOUNT  EQUAL  TO  THE  AMOUNT  OF REVENUE BONDS ISSUED FOR SUCH
AUTHORIZED PURPOSES UNDER THIS ARTICLE. SUCH REDUCTION SHALL NOT BE MADE
IN RELATION TO REVENUE BONDS ISSUED TO FUND RESERVE FUNDS, IF  ANY,  AND
COSTS OF ISSUANCE, IF THESE ITEMS ARE NOT COUNTED UNDER EXISTING AUTHOR-
IZATIONS,  NOR  SHALL  REVENUE BONDS ISSUED TO REFUND BONDS ISSUED UNDER
EXISTING AUTHORIZATIONS REDUCE THE AMOUNT OF SUCH  AUTHORIZATIONS.
  9. EXCEPT UPON THE AMENDMENT OF THE NEW YORK STATE CONSTITUTION ALLOW-
ING THE ISSUANCE OR ASSUMPTION OF  BONDS,  NOTES  OR  OTHER  OBLIGATIONS
SECURED  BY  REVENUES,  WHICH  MAY INCLUDE THE REVENUES SECURING REVENUE
BONDS OF AUTHORIZED ISSUERS, AND  THE  AFFIRMATIVE  ASSUMPTION  OF  SUCH
BONDS, NOTES OR OTHER OBLIGATIONS BY THE STATE, THE REVENUE BONDS OF THE
AUTHORIZED ISSUERS AUTHORIZED BY THIS SECTION SHALL NOT BE A DEBT OF THE
STATE AND THE STATE SHALL NOT BE LIABLE THEREON, NOR SHALL THEY BE PAYA-
BLE  OUT OF ANY FUNDS OTHER THAN THOSE OF THE AUTHORIZED ISSUERS PLEDGED
THEREFOR; AND SUCH REVENUE BONDS SHALL CONTAIN ON  THE  FACE  THEREOF  A
STATEMENT  TO  SUCH  EFFECT. IN ADDITION, ANY AGREEMENTS ENTERED INTO BY
ANY ENTITY PURSUANT TO SECTIONS SIXTY-NINE-O AND  NINETY-TWO-H  OF  THIS
CHAPTER  ON  BEHALF  OF THE STATE TO EFFECT THE IMPLEMENTATION OF ANY OF
THE ACTIVITIES FINANCED IN WHOLE OR IN PART WITH PROCEEDS OF  THE  OBLI-
GATIONS  OF  THE  AUTHORIZED  ISSUERS  AUTHORIZED IN THIS SECTION DO NOT
CONSTITUTE OR CREATE A DEBT OF THE STATE, NOR A  CONTRACTUAL  OBLIGATION
IN  EXCESS  OF  THE  AMOUNTS  APPROPRIATED THEREFOR AND THE STATE HAS NO
CONTINUING LEGAL OR MORAL OBLIGATION TO APPROPRIATE MONEY  FOR  PAYMENTS
DUE UNDER ANY SUCH AGREEMENT.
  10.  NOTHING IN THIS ARTICLE SHALL AFFECT THE AUTHORITY OF EACH OF THE
AUTHORIZED ISSUERS TO ISSUE  OR  INCUR  INDEBTEDNESS  FOR  ANY  PURPOSES
OTHERWISE  AUTHORIZED BY LAW AND NOTHING IN THIS ARTICLE SHALL BE DEEMED
TO ALTER OR AFFECT THE RIGHTS OF OUTSTANDING BONDHOLDERS OR  NOTEHOLDERS
OF ANY AUTHORIZED ISSUER.
  11.  THE AUTHORIZATION, SALE AND ISSUANCE OF REVENUE BONDS PURSUANT TO
THIS  SECTION  SHALL  NOT BE DEEMED AN ACTION AS SUCH TERM IS DEFINED IN
ARTICLE EIGHT OF THE ENVIRONMENTAL CONSERVATION LAW FOR THE PURPOSES  OF
SUCH  ARTICLE.  SUCH EXEMPTION SHALL BE STRICTLY LIMITED IN ITS APPLICA-
TION TO SUCH FINANCING ACTIVITIES OF THE  AUTHORIZED  ISSUERS  HEREUNDER
AND DOES NOT EXEMPT ANY OTHER ENTITY FROM COMPLIANCE WITH  SUCH ARTICLE.
  S  69-O.  PAYMENTS TO AUTHORIZED ISSUERS. 1. THE STATE, ACTING THROUGH
THE DIRECTOR OF THE BUDGET,  AND  AUTHORIZED  ISSUERS  MAY  ENTER  INTO,
AMEND, MODIFY OR RESCIND ONE OR MORE FINANCING  AGREEMENTS PROVIDING FOR
THE  SPECIFIC  MANNER,  TIMING,  AND AMOUNT OF PAYMENTS TO BE MADE UNDER
THIS SECTION, BUT ONLY IN CONFORMITY WITH THIS SECTION.
  2. NO LATER THAN OCTOBER FIRST OF EACH  YEAR,  THE  AUTHORITY  ISSUERS
SHALL  CERTIFY  TO  THE  DIRECTOR  OF  THE  BUDGET  THE ANTICIPATED CASH
REQUIREMENTS RELATED TO REVENUE BONDS DURING THE SUBSEQUENT STATE FISCAL
YEAR IN SUCH DETAIL AS THE DIRECTOR MAY REQUIRE.

S. 2607--D                         216                        A. 3007--D

  3. UPON RECEIPT OF A VOUCHER FROM  ANY  AUTHORIZED  ISSUER  REQUESTING
PAYMENT  FOR  SUCH  AMOUNT  OR  AMOUNTS CERTIFIED BY THE DIRECTOR OF THE
BUDGET PURSUANT TO PARAGRAPH (A) OF SUBDIVISION FIVE OF SECTION  NINETY-
TWO-H  OF  THIS  CHAPTER, THE STATE COMPTROLLER SHALL PAY SUCH AMOUNT OR
AMOUNTS TO BE AUTHORIZED ISSUER FROM APPROPRIATIONS FOR SUCH PURPOSE.
  4.  THE  AGREEMENT  OF  THE  STATE  CONTAINED IN THIS SECTION SHALL BE
DEEMED EXECUTORY ONLY TO THE  EXTENT  OF  APPROPRIATIONS  AVAILABLE  FOR
PAYMENTS  UNDER  THIS  SECTION,  AND NO LIABILITY ON ACCOUNT OF ANY SUCH
PAYMENT SHALL BE INCURRED BY THE STATE BEYOND SUCH APPROPRIATIONS.
  5. NOTHING CONTAINED IN THIS ARTICLE SHALL BE DEEMED TO  RESTRICT  THE
RIGHT  OF THE STATE TO AMEND, REPEAL, MODIFY OR OTHERWISE ALTER STATUTES
IMPOSING OR RELATING TO THE TAXES IMPOSED  PURSUANT  TO  SECTION  ELEVEN
HUNDRED  FIVE AND SECTION ELEVEN HUNDRED TEN OF THE TAX LAW. THE AUTHOR-
IZED ISSUERS SHALL NOT INCLUDE WITHIN ANY RESOLUTION, CONTRACT OR AGREE-
MENT WITH HOLDERS OF THE REVENUE BONDS ISSUED  UNDER  THIS  ARTICLE  ANY
PROVISION  WHICH PROVIDES THAT A DEFAULT OCCURS AS A RESULT OF THE STATE
EXERCISING ITS RIGHT TO AMEND, REPEAL, MODIFY  OR  OTHERWISE  ALTER  THE
TAXES IMPOSED PURSUANT TO SECTION ELEVEN HUNDRED FIVE AND SECTION ELEVEN
HUNDRED TEN OF THE TAX LAW.
  6.  ANY  RESOLUTION OR OTHER AGREEMENT AUTHORIZING REVENUE BONDS UNDER
THIS ARTICLE SHALL RESERVE THE RIGHT OF THE STATE, UPON AMENDMENT OF THE
NEW YORK STATE CONSTITUTION  ALLOWING  THE  ISSUANCE  OR  ASSUMPTION  OF
BONDS, NOTES OR OTHER OBLIGATIONS SECURED BY REVENUES, WHICH MAY INCLUDE
THE REVENUES SECURING REVENUE BONDS OF AUTHORIZED ISSUERS (A) TO ASSUME,
IN  WHOLE  OR  IN  PART, REVENUE BONDS OF THE AUTHORIZED ISSUERS, (B) TO
EXTINGUISH THE EXISTING LIEN OF SUCH RESOLUTION, OR OTHER AGREEMENT  AND
(C)  TO  SUBSTITUTE  SECURITY  FOR  THE  REVENUE BONDS OF THE AUTHORIZED
ISSUERS, IN EACH CASE ONLY SO LONG AS SUCH ASSUMPTION, EXTINGUISHMENT OR
SUBSTITUTION IS DONE IN ACCORDANCE WITH SUCH RESOLUTION OR OTHER  AGREE-
MENT.
  S 59. Subdivision 8 of section 97-f of the state finance law, as added
by section 56-b of part PP of chapter 56 of the laws of 2009, is amended
to read as follows:
  8.  In addition to the amounts required to be maintained on deposit in
the mental health services fund pursuant to  subdivision  five  of  this
section,  the fund shall maintain on deposit an amount equal to the debt
service and other cash requirements on mental health services facilities
bonds issued by [the dormitory authority] AUTHORIZED ISSUERS pursuant to
[section] SECTIONS sixty-eight-b AND SIXTY-NINE-N of this  chapter.  The
amount  required  to  be  maintained  in  such  fund shall be (i) twenty
percent of the amount of the next payment coming due relating to  mental
health  services  facilities bonds issued by an authorized issuer multi-
plied by the number of months from the date of  the  last  such  payment
with  respect  to  payments required to be made semi-annually, plus (ii)
those amounts specified in any financing agreement  between  the  issuer
and  the  state, acting through the director of the budget, with respect
to payments required to be made other than semi-annually, including  for
variable  rate  bonds,  interest  rate exchange or similar agreements or
other financing arrangements permitted by law.  Prior to making any such
payment, the comptroller shall make and deliver to the director  of  the
budget  and  the  chairmen of the facilities development corporation and
the New York state medical care facilities finance agency, a certificate
stating the aggregate amount to be maintained on deposit in  the  mental
health  services  fund  to  comply  in  full with the provisions of this
subdivision.

S. 2607--D                         217                        A. 3007--D

  No later than five days prior to the payment to be made by  the  state
comptroller  on such mental health services facilities bonds pursuant to
[section] SECTIONS ninety-two-z AND NINETY-TWO-H of  this  article,  the
amount  of  such  payment  shall be transferred by the state comptroller
from the mental health services fund to the revenue bond tax fund estab-
lished  by  section  ninety-two-z  of  this article. The accumulation of
moneys pursuant to this  subdivision  and  subsequent  transfer  to  the
revenue  bond  tax fund shall be subordinate in all respects to payments
to be made to the New York state medical care facilities finance  agency
and  to  any  pledge  or  assignment pursuant to subdivision six of this
section.
  S 60. Paragraph a of subdivision  5  of  section  89-b  of  the  state
finance law, as amended by section 1 of part B of chapter 84 of the laws
of 2002, is amended to read as follows:
  a.  Moneys  in  the  dedicated  highway  and  bridge trust fund shall,
following appropriation by the legislature, be  utilized  for:    recon-
struction,  replacement, reconditioning, restoration, rehabilitation and
preservation of state, county, town, city and village  roads,  highways,
parkways,  and  bridges  thereon,  to  restore  such facilities to their
intended  functions;  construction,  reconstruction,   enhancement   and
improvement  of  state, county, town, city, and village roads, highways,
parkways, and bridges thereon, to address current and projected capacity
problems including costs for  traffic  mitigation  activities;  aviation
projects authorized pursuant to section fourteen-j of the transportation
law  and  for payments to the general debt service fund of amounts equal
to amounts required for service contract payments  related  to  aviation
projects  as provided and authorized by section three hundred eighty-six
of the public authorities law; programs to assist small and minority and
women-owned firms engaged  in  transportation  construction  and  recon-
struction  projects,  including  a  revolving  fund  for working capital
loans, and a bonding guarantee assistance  program  in  accordance  with
provisions of this chapter; matching federal grants or apportionments to
the state for highway, parkway and bridge capital projects; the acquisi-
tion  of  real property and interests therein required or expected to be
required in connection with such projects; preventive maintenance activ-
ities necessary to ensure that highways, parkways and  bridges  meet  or
exceed their optimum useful life; expenses of control of snow and ice on
state  highways  by  the  department of transportation including but not
limited to personal services, nonpersonal services and fringe  benefits,
payment  of  emergency aid for control of snow and ice in municipalities
pursuant to section fifty-five of the highway law, expenses  of  control
of  snow and ice on state highways by municipalities pursuant to section
twelve of the highway law, and  for  expenses  of  arterial  maintenance
agreements  with  cities pursuant to section three hundred forty-nine of
the highway law; personal services  and  fringe  benefit  costs  of  the
department of transportation for bus safety inspection activities; costs
of  the  department  of  motor  vehicles,  including  but not limited to
personal and nonpersonal services; costs of engineering and  administra-
tive  services  of  the  department of transportation, including but not
limited to fringe benefits; the contract services  provided  by  private
firms  in  accordance  with  section fourteen of the transportation law;
personal services and nonpersonal services, for activities including but
not limited to the preparation of  designs,  plans,  specifications  and
estimates;  construction management and supervision activities; costs of
appraisals, surveys, testing and  environmental  impact  statements  for
transportation  projects;  expenses in connection with buildings, equip-

S. 2607--D                         218                        A. 3007--D

ment, materials and facilities used or useful  in  connection  with  the
maintenance,  operation,  and  repair  of highways, parkways and bridges
thereon; and project costs for: construction,  reconstruction,  improve-
ment,  reconditioning  and  preservation  of rail freight facilities and
intercity rail passenger facilities and equipment; construction,  recon-
struction, improvement, reconditioning and preservation of state, munic-
ipal  and  privately owned ports; construction, reconstruction, improve-
ment, reconditioning and preservation of municipal  airports;  privately
owned airports and aviation capital facilities, excluding airports oper-
ated  by the state or operated by a bi-state municipal corporate instru-
mentality for which  federal  funding  is  not  available  provided  the
project  is  consistent  with  an  approved  airport  layout  plan;  and
construction,  reconstruction,  enhancement,  improvement,  replacement,
reconditioning,  restoration,  rehabilitation and preservation of state,
county, town, city and village roads, highways,  parkways  and  bridges;
and  construction, reconstruction, improvement, reconditioning and pres-
ervation of fixed ferry facilities  of  municipal  and  privately  owned
ferry lines for transportation purposes, and the payment of debt service
required  on  any bonds, notes or other obligations and related expenses
for highway, parkway, bridge and project costs for: construction, recon-
struction, improvement, reconditioning and preservation of rail  freight
facilities  and  intercity  rail  passenger  facilities  and  equipment;
construction, reconstruction, improvement, reconditioning and  preserva-
tion of state, municipal and privately owned ports; construction, recon-
struction,  improvement,  reconditioning  and  preservation of municipal
airports; privately owned  airports  and  aviation  capital  facilities,
excluding  airports  operated  by  the  state  or operated by a bi-state
municipal corporate instrumentality for which  federal  funding  is  not
available  provided  the  project is consistent with an approved airport
layout plan;  construction,  reconstruction,  enhancement,  improvement,
replacement,  reconditioning,  restoration, rehabilitation and preserva-
tion of state, county, town, city and village roads, highways,  parkways
and bridges; and construction, reconstruction, improvement, recondition-
ing and preservation of fixed ferry facilities of municipal and private-
ly owned ferry lines for transportation purposes, purposes authorized on
or  after  the  effective date of this section. Beginning with disburse-
ments made on and after the first day of April, nineteen  hundred  nine-
ty-three,  moneys  in  such fund shall be available to pay such costs or
expenses made pursuant to appropriations or reappropriations made during
the state fiscal year which  began  on  the  first  of  April,  nineteen
hundred  ninety-two.  Beginning the first day of April, nineteen hundred
ninety-three, moneys in such fund shall  also  be  used  for  [payments]
TRANSFERS to the general debt service fund AND THE REVENUE BOND TAX FUND
of  amounts  equal  to  [amounts] THAT RESPECTIVELY required for service
contract AND FINANCING AGREEMENT payments as provided and authorized  by
section  three  hundred  eighty  of the public authorities law [and by],
section eleven of chapter three hundred twenty-nine of the laws of nine-
teen hundred ninety-one, as  amended,  AND  SECTIONS  SIXTY-EIGHT-C  AND
SIXTY-NINE-O OF THIS CHAPTER.
  S  60-a.  Paragraph  a  of  subdivision 5 of section 89-b of the state
finance law, as amended by section 1 of part D of  chapter  151  of  the
laws of 2001, is amended to read as follows:
  a.  Moneys  in  the  dedicated  highway  and  bridge trust fund shall,
following appropriation by the legislature, be  utilized  for:    recon-
struction,  replacement, reconditioning, restoration, rehabilitation and
preservation of state, county, town, city and village  roads,  highways,

S. 2607--D                         219                        A. 3007--D

parkways,  and  bridges  thereon,  to  restore  such facilities to their
intended  functions;  construction,  reconstruction,   enhancement   and
improvement  of  state, county, town, city, and village roads, highways,
parkways, and bridges thereon, to address current and projected capacity
problems  including  costs  for  traffic mitigation activities; aviation
projects authorized pursuant to section fourteen-j of the transportation
law and for payments to the general debt service fund of  amounts  equal
to  amounts  required  for service contract payments related to aviation
projects as provided and authorized by section three hundred  eighty-six
of the public authorities law; programs to assist small and minority and
women-owned  firms  engaged  in  transportation  construction and recon-
struction projects, including  a  revolving  fund  for  working  capital
loans,  and  a  bonding  guarantee assistance program in accordance with
provisions of this chapter; matching federal grants or apportionments to
the state for highway, parkway and bridge capital projects; the acquisi-
tion of real property and interests therein required or expected  to  be
required in connection with such projects; preventive maintenance activ-
ities  necessary  to  ensure that highways, parkways and bridges meet or
exceed their optimum useful life; expenses of control of snow and ice on
state highways by the department of  transportation  including  but  not
limited  to personal services, nonpersonal services and fringe benefits,
payment of emergency aid for control of snow and ice  in  municipalities
pursuant  to  section fifty-five of the highway law, expenses of control
of snow and ice on state highways by municipalities pursuant to  section
twelve  of  the  highway  law,  and for expenses of arterial maintenance
agreements with cities pursuant to section three hundred  forty-nine  of
the  highway  law;  personal  services  and  fringe benefit costs of the
department of transportation for bus safety inspection activities; costs
of engineering and administrative services of the department  of  trans-
portation,  including  but  not limited to fringe benefits; the contract
services provided by private firms in accordance with  section  fourteen
of  the  transportation law; personal services and nonpersonal services,
for activities including but not limited to the preparation of  designs,
plans,  specifications and estimates; construction management and super-
vision activities; costs of appraisals, surveys,  testing  and  environ-
mental  impact  statements  for  transportation  projects;  expenses  in
connection with buildings, equipment, materials and facilities  used  or
useful  in  connection  with  the  maintenance, operation, and repair of
highways,  parkways  and  bridges  thereon;  and  project   costs   for:
construction,  reconstruction, improvement, reconditioning and preserva-
tion of rail freight facilities and intercity rail passenger  facilities
and equipment; construction, reconstruction, improvement, reconditioning
and   preservation  of  state,  municipal  and  privately  owned  ports;
construction, reconstruction, improvement, reconditioning and  preserva-
tion  of municipal airports; privately owned airports and aviation capi-
tal facilities, excluding airports operated by the state or operated  by
a bi-state municipal corporate instrumentality for which federal funding
is  not  available  provided  the project is consistent with an approved
airport layout  plan;  and  construction,  reconstruction,  enhancement,
improvement,  replacement,  reconditioning,  restoration, rehabilitation
and preservation of state, county, town, city and village  roads,  high-
ways,  parkways  and bridges; and construction, reconstruction, improve-
ment, reconditioning and  preservation  of  fixed  ferry  facilities  of
municipal  and  privately owned ferry lines for transportation purposes,
and the payment of debt service required on any bonds,  notes  or  other
obligations  and  related  expenses  for  highway,  parkway,  bridge and

S. 2607--D                         220                        A. 3007--D

project costs for: construction, reconstruction,  improvement,  recondi-
tioning  and  preservation of rail freight facilities and intercity rail
passenger  facilities  and  equipment;   construction,   reconstruction,
improvement,  reconditioning  and  preservation  of state, municipal and
privately owned ports; construction, reconstruction, improvement, recon-
ditioning  and  preservation  of  municipal  airports;  privately  owned
airports and aviation capital facilities, excluding airports operated by
the  state or operated by a bi-state municipal corporate instrumentality
for which federal funding is  not  available  provided  the  project  is
consistent  with  an  approved airport layout plan; construction, recon-
struction, enhancement, improvement, replacement, reconditioning, resto-
ration, rehabilitation and preservation of state, county, town, city and
village roads, highways, parkways and bridges; and construction,  recon-
struction,  improvement,  reconditioning and preservation of fixed ferry
facilities of municipal and privately owned ferry lines for  transporta-
tion  purposes,  purposes  authorized  on or after the effective date of
this section. Beginning with disbursements made on and after  the  first
day  of  April, nineteen hundred ninety-three, moneys in such fund shall
be available to pay such costs or expenses made  pursuant  to  appropri-
ations or reappropriations made during the state fiscal year which began
on  the first of April, nineteen hundred ninety-two. Beginning the first
day of April, nineteen hundred ninety-three, moneys in such  fund  shall
also  be  used for [payments] TRANSFERS to the general debt service fund
AND THE REVENUE BOND TAX FUND of amounts equal to [amounts] THAT RESPEC-
TIVELY required for service contract AND FINANCING AGREEMENT payments as
provided and authorized by section three hundred eighty  of  the  public
authorities  law [and by], section eleven of chapter three hundred twen-
ty-nine of the laws of nineteen  hundred  ninety-one,  as  amended,  AND
SECTIONS SIXTY-EIGHT-C AND SIXTY-NINE-O OF THIS CHAPTER.
  S  61.  Subdivision  5  of  section  89-b  of the state finance law is
amended by adding a new paragraph c to read as follows:
  C. IN ADDITION TO THE PURPOSES FOR WHICH MONEYS IN THE DEDICATED HIGH-
WAY AND BRIDGE TRUST FUND CAN BE USED AS DESCRIBED IN  THIS  SUBSECTION,
SUBJECT  TO APPROPRIATION, AFTER MEETING THE REQUIREMENTS OF SUBDIVISION
THREE OF THIS SECTION, SUCH MONEYS SHALL BE USED  FOR  TRANSFER  TO  THE
REVENUE  BOND  TAX  FUND, AS ESTABLISHED BY SECTION NINETY-TWO-Z OF THIS
ARTICLE, IN AN AMOUNT EQUAL TO THAT  REQUIRED  FOR  FINANCING  AGREEMENT
PAYMENTS  PAID  ON  BONDS  AUTHORIZED  PURSUANT TO SECTION THREE HUNDRED
EIGHTY-FIVE OF THE  PUBLIC  AUTHORITIES  LAW,  AND  ISSUED  PURSUANT  TO
SECTIONS SIXTY-EIGHT-B AND SIXTY-NINE-N OF THIS CHAPTER.
  S  62.  Subdivision  3  of  section  97-g of the state finance law, as
amended by section 1 of subpart A of part C of chapter 97 of the laws of
2011, is amended to read as follows:
  3. Moneys of the fund shall be available to the commissioner of gener-
al services for the purchase of food, supplies and equipment  for  state
agencies,  and  for  the  purpose of furnishing or providing centralized
services to or for state agencies; provided  further  that  such  moneys
shall  be available to the commissioner of general services for purposes
pursuant to items (d) and (f) of subdivision four of this section to  or
for  political subdivisions. Beginning the first day of April, two thou-
sand two, moneys in such fund shall also be  transferred  by  the  state
comptroller  to  the  revenue  bond tax fund account of the general debt
service fund in amounts equal to those required for payments to  author-
ized  issuers  for  revenue  bonds issued pursuant to article five-C AND
ARTICLE FIVE-F of this chapter for the purpose of  lease  purchases  and

S. 2607--D                         221                        A. 3007--D

installment  purchases  by  or  for  state agencies and institutions for
personal or real property purposes.
  S  63.  Subdivision  (j) of section 92-dd of the state finance law, as
added by section 56 of part PP of chapter 56 of the  laws  of  2009,  is
amended to read as follows:
  (j)  The state comptroller shall transfer from the HCRA resources fund
to the general debt service fund, revenue bond tax fund (311.02) amounts
equal to the debt service paid for bonds, notes,  or  other  obligations
issued  PURSUANT TO ARTICLE FIVE-C AND ARTICLE FIVE-F OF THIS CHAPTER to
finance the HEAL NY capital grant program authorized pursuant to section
sixteen hundred eighty-j of the public authorities law.
  S 64. The state finance law is amended by adding a new section 93-a to
read as follows:
  S 93-A. NEW YORK STATE STORM RECOVERY CAPITAL FUND.  1. (A)  THERE  IS
HEREBY  ESTABLISHED  IN  THE  JOINT  CUSTODY  OF THE COMPTROLLER AND THE
COMMISSIONER OF TAXATION AND FINANCE A SPECIAL FUND TO BE KNOWN  AS  THE
"NEW YORK STATE STORM RECOVERY CAPITAL FUND".
  (B)  THE SOURCES OF FUNDS SHALL CONSIST OF ALL MONEYS COLLECTED THERE-
FOR, OR MONEYS CREDITED, APPROPRIATED OR TRANSFERRED  THERETO  FROM  ANY
OTHER FUND OR SOURCE PURSUANT TO LAW, OR ANY OTHER MONEYS MADE AVAILABLE
FOR  THE  PURPOSES OF THE FUND. ANY INTEREST RECEIVED BY THE COMPTROLLER
ON MONEYS ON DEPOSIT SHALL BE RETAINED IN AND BECOME A PART OF THE FUND,
UNLESS OTHERWISE DIRECTED BY LAW.
  2. FOLLOWING APPROPRIATION BY THE LEGISLATURE,  MONEYS  IN  THE  STORM
RECOVERY CAPITAL FUND SHALL BE AVAILABLE TO FINANCE THE REPAIR, REHABIL-
ITATION,  OR  REPLACEMENT OF CAPITAL WORKS OR PURPOSES DAMAGED BY HURRI-
CANE SANDY OR ANY FUTURE NATURAL DISASTER EXPECTED TO  BE  ELIGIBLE  FOR
REIMBURSEMENT  BY  THE  FEDERAL  EMERGENCY MANAGEMENT AGENCY (FEMA), THE
FEDERAL TRANSIT ADMINISTRATION (FTA), THE FEDERAL HIGHWAY ADMINISTRATION
(FHWA) AND ANY OTHER FEDERAL REIMBURSEMENT  SOURCE.  NO  MONEY  IN  THIS
ACCOUNT MAY BE EXPENDED FOR ANY PROJECT UNTIL THE DIRECTOR OF THE BUDGET
HAS  DETERMINED THAT THERE IS A SUBSTANTIAL LIKELIHOOD THAT THE COSTS OF
SUCH PROJECT SHALL BE REIMBURSED BY FEDERAL SOURCES. THE DIRECTOR  SHALL
ISSUE  FORMAL  RULES  THAT SET FORTH THE PROCESS BY WHICH HE OR SHE WILL
DETERMINE WHETHER THERE IS A SUBSTANTIAL LIKELIHOOD OF REIMBURSEMENT  BY
FEDERAL SOURCES.
  S  65.  Subdivision 1 of section 45 of section 1 of chapter 174 of the
laws of 1968, constituting the New York state urban  development  corpo-
ration act, as amended by section 49 of part U of chapter 59 of the laws
of 2012, is amended to read as follows:
  1.  Notwithstanding  the  provisions of any other law to the contrary,
the urban development corporation of the state of  New  York  is  hereby
authorized to issue bonds or notes in one or more series for the purpose
of funding project costs for the implementation of a NY-SUNY AND NY-CUNY
2020  challenge  grant  program subject to the approval of a NY-SUNY AND
NY-CUNY 2020 plan or plans by the governor and EITHER the chancellor  of
the state university of New York OR THE CHANCELLOR OF THE CITY UNIVERSI-
TY  OF NEW YORK, AS APPLICABLE.  The aggregate principal amount of bonds
authorized to be issued  pursuant  to  this  section  shall  not  exceed
[$110,000,000]  $220,000,000, excluding bonds issued to fund one or more
debt service reserve funds, to pay costs of issuance of such bonds,  and
bonds  or  notes issued to refund or otherwise repay such bonds or notes
previously issued. Such bonds and notes of the corporation shall not  be
a  debt  of  the  state,  and the state shall not be liable thereon, nor
shall they be payable out of any funds other than those appropriated  by
the  state  to  the  corporation  for  principal,  interest, and related

S. 2607--D                         222                        A. 3007--D

expenses pursuant to a service contract and such bonds and  notes  shall
contain  on  the  face  thereof  a  statement to such effect. Except for
purposes of complying with  the  internal  revenue  code,  any  interest
income earned on bond proceeds shall only be used to pay debt service on
such bonds.
  S  65-a.  Section  16  of chapter 260 of the laws of 2011 amending the
education law and the New York state urban development corporation  act,
relating  to establishing components of the NY-SUNY 2020 challenge grant
program, is amended to read as follows:
  S 16. This act shall take effect July 1,  2011  [and];  PROVIDED  THAT
SECTIONS  ONE,  TWO,  THREE,  FOUR, FIVE, SIX, EIGHT, NINE, TEN, ELEVEN,
TWELVE, THIRTEEN, FOURTEEN AND FIFTEEN OF THIS ACT shall expire 5  years
after such effective date when upon such date the provisions of this act
shall be deemed repealed.
  S  66. Subdivision 10-a of section 1680 of the public authorities law,
as amended by section 51 of part U of chapter 59 of the laws of 2012, is
amended to read as follows:
  10-a. Subject to the provisions of chapter fifty-nine of the  laws  of
two  thousand, but notwithstanding any other provision of the law to the
contrary, the maximum amount of bonds and notes to be issued after March
thirty-first, two thousand two, on behalf of the state, in  relation  to
any  locally  sponsored community college, shall be six hundred [twenty-
three] SIXTY-THREE million dollars. Such amount shall  be  exclusive  of
bonds and notes issued to fund any reserve fund or funds, costs of issu-
ance  and to refund any outstanding bonds and notes, issued on behalf of
the state, relating to a locally sponsored community college.
  S 67. Paragraph (c) of subdivision 14 of section 1680  of  the  public
authorities  law,  as  amended by section 39 of part PP of chapter 56 of
the laws of 2009, is amended to read as follows:
  (c) Subject to the provisions of chapter fifty-nine of the laws of two
thousand, (i) the dormitory authority shall  not  deliver  a  series  of
bonds for city university community college facilities, except to refund
or  to  be substituted for or in lieu of other bonds in relation to city
university community college facilities pursuant to a resolution of  the
dormitory  authority adopted before July first, nineteen hundred eighty-
five or any resolution supplemental thereto, if the principal amount  of
bonds  so  to  be  issued  when  added to all principal amounts of bonds
previously issued by the dormitory authority for city university  commu-
nity  college  facilities, except to refund or to be substituted in lieu
of other bonds in relation to city university community college  facili-
ties will exceed the sum of four hundred twenty-five million dollars and
(ii)  the dormitory authority shall not deliver a series of bonds issued
for city university facilities, including community college  facilities,
pursuant  to a resolution of the dormitory authority adopted on or after
July first, nineteen hundred eighty-five, except  to  refund  or  to  be
substituted for or in lieu of other bonds in relation to city university
facilities  and except for bonds issued pursuant to a resolution supple-
mental to a resolution of the dormitory authority adopted prior to  July
first, nineteen hundred eighty-five, if the principal amount of bonds so
to  be  issued  when  added  to the principal amount of bonds previously
issued pursuant to any such resolution, except bonds issued to refund or
to be substituted for or in lieu of other  bonds  in  relation  to  city
university  facilities,  will  exceed  six billion eight hundred [forty-
three] FIFTY-THREE million two hundred thousand dollars.   The  legisla-
ture  reserves the right to amend or repeal such limit, and the state of
New York, the dormitory authority, the city university, and the fund are

S. 2607--D                         223                        A. 3007--D

prohibited from covenanting or making any other agreements with  or  for
the benefit of bondholders which might in any way affect such right.
  S  68.  Subdivision  (a)  of section 48 of part K of chapter 81 of the
laws of 2002, providing for the  administration  of  certain  funds  and
accounts  related  to  the 2002-2003 budget, as amended by section 40 of
part BB of chapter 58 of the  laws  of  2011,  is  amended  to  read  as
follows:
  (a)  Subject  to  the provisions of chapter 59 of the laws of 2000 but
notwithstanding the provisions of section 18 of  the  urban  development
corporation  act, the corporation is hereby authorized to issue bonds or
notes in one or more series in an  aggregate  principal  amount  not  to
exceed  $67,000,000  excluding  bonds  issued  to  fund one or more debt
service reserve funds, to pay costs of issuance of such bonds, and bonds
or notes issued to refund or otherwise repay such bonds or notes  previ-
ously  issued,  for  the  purpose  of financing capital costs related to
homeland security and training facilities  for  the  division  of  state
police,  the division of military and naval affairs, and any other state
agency, including the reimbursement of any disbursements made  from  the
state  capital projects fund, and is hereby authorized to issue bonds or
notes in one or more series in an  aggregate  principal  amount  not  to
exceed  [$205,800,000]  $220,800,000, excluding bonds issued to fund one
or more debt service reserve funds, to pay costs  of  issuance  of  such
bonds, and bonds or notes issued to refund or otherwise repay such bonds
or notes previously issued, for the purpose of financing improvements to
State office buildings and other facilities located statewide, including
the  reimbursement  of  any  disbursements  made  from the state capital
projects fund. Such bonds and notes of the corporation shall  not  be  a
debt  of the state, and the state shall not be liable thereon, nor shall
they be payable out of any funds other than those  appropriated  by  the
state  to the corporation for debt service and related expenses pursuant
to any service contracts executed pursuant to subdivision  (b)  of  this
section,  and  such  bonds and notes shall contain on the face thereof a
statement to such effect.
  S 69. The section heading and subdivision 1 of section  386-b  of  the
public  authorities  law, as added by section 48 of part U of chapter 59
of the laws of 2012, is amended to read as follows:
  Financing of peace bridge  AND  TRANSPORTATION  CAPITAL  projects.  1.
Notwithstanding any other provision of law to the contrary, the authori-
ty,  the  dormitory  authority and the urban development corporation are
hereby authorized to issue bonds or notes in one or more series for  the
purpose  of  financing  peace bridge projects AND CAPITAL COSTS OF STATE
AND LOCAL HIGHWAYS, PARKWAYS, BRIDGES, THE NEW YORK STATE THRUWAY, INDI-
AN RESERVATION ROADS, AND FACILITIES, AND TRANSPORTATION  INFRASTRUCTURE
PROJECTS INCLUDING AVIATION PROJECTS, NON-MTA MASS TRANSIT PROJECTS, AND
RAIL  SERVICE  PRESERVATION  PROJECTS,  INCLUDING  WORK  APPURTENANT AND
ANCILLARY THERETO.  The aggregate principal amount of  bonds  authorized
to  be  issued  pursuant  to this section shall not exceed [fifteen] TWO
HUNDRED FORTY million dollars [($15,000,000)] ($240,000,000),  excluding
bonds  issued  to  fund  one  or more debt service reserve funds, to pay
costs of issuance of such bonds, and to refund or otherwise  repay  such
bonds or notes previously issued. Such bonds and notes of the authority,
the  dormitory authority and the urban development corporation shall not
be a debt of the state, and the state shall not be liable  thereon,  nor
shall  they be payable out of any funds other than those appropriated by
the state to the authority, the dormitory authority and the urban devel-
opment corporation for principal, interest, and related expenses  pursu-

S. 2607--D                         224                        A. 3007--D

ant  to a service contract and such bonds and notes shall contain on the
face thereof a statement to such effect. Except for purposes of  comply-
ing  with  the internal revenue code, any interest income earned on bond
proceeds shall only be used to pay debt service on such bonds.
  S  69-a. Paragraph (c) of subdivision 19 of section 1680 of the public
authorities law, as amended by section 52 of part U of chapter 59 of the
laws of 2012, is amended to read as follows:
  (c) Subject to the provisions of chapter fifty-nine of the laws of two
thousand, the dormitory authority shall not issue any  bonds  for  state
university  educational  facilities  purposes if the principal amount of
bonds to be issued when added to the aggregate principal amount of bonds
issued by the dormitory authority on  and  after  July  first,  nineteen
hundred  eighty-eight  for  state university educational facilities will
exceed ten  billion  [three]  FOUR  hundred  [four]  TWENTY-TWO  million
dollars;  provided,  however, that bonds issued or to be issued shall be
excluded from such limitation if: (1) such bonds are  issued  to  refund
state  university  construction  bonds and state university construction
notes previously issued by the housing finance agency; or (2) such bonds
are issued to refund bonds of the authority or other obligations  issued
for  state  university  educational  facilities purposes and the present
value of the aggregate debt service on  the  refunding  bonds  does  not
exceed  the  present  value  of  the aggregate debt service on the bonds
refunded thereby; provided,  further  that  upon  certification  by  the
director  of  the  budget  that the issuance of refunding bonds or other
obligations issued between April first, nineteen hundred ninety-two  and
March  thirty-first,  nineteen  hundred  ninety-three will generate long
term economic benefits to the state, as  assessed  on  a  present  value
basis,  such  issuance will be deemed to have met the present value test
noted above. For purposes of this subdivision, the present value of  the
aggregate  debt  service  of  the refunding bonds and the aggregate debt
service of the bonds refunded, shall be calculated by utilizing the true
interest cost of the refunding bonds, which shall be that  rate  arrived
at  by doubling the semi-annual interest rate (compounded semi-annually)
necessary to discount the debt service payments on the  refunding  bonds
from  the  payment  dates  thereof to the date of issue of the refunding
bonds to the purchase price of the refunding bonds,  including  interest
accrued  thereon  prior  to  the  issuance thereof. The maturity of such
bonds, other than bonds issued to refund outstanding  bonds,  shall  not
exceed  the  weighted  average  economic life, as certified by the state
university construction fund, of the facilities in connection with which
the bonds are issued, and in any case not  later  than  the  earlier  of
thirty  years  or  the  expiration of the term of any lease, sublease or
other agreement relating  thereto;  provided  that  no  note,  including
renewals  thereof,  shall mature later than five years after the date of
issuance of such note. The legislature reserves the right  to  amend  or
repeal  such  limit, and the state of New York, the dormitory authority,
the state university of New York, and the state university  construction
fund are prohibited from covenanting or making any other agreements with
or  for  the  benefit  of bondholders which might in any way affect such
right.
  S 69-b. Section 1 of chapter 174 of the laws of 1968, constituting the
New York state urban development corporation act, is amended by adding a
new section 48 to read as follows:
  S 48. AUTHORIZATION  FOR  TRANSPORTATION  INFRASTRUCTURE  FINANCE  AND
INNOVATION ACT LOANS. 1. (A) NOTWITHSTANDING THE PROVISIONS OF ANY OTHER
LAW  TO  THE  CONTRARY,  EACH OF THE AUTHORIZED ISSUERS, AS SUCH TERM IS

S. 2607--D                         225                        A. 3007--D

DEFINED IN PARAGRAPHS (A) AND (B) OF SUBDIVISION 1 OF  SECTION  68-A  OF
THE  STATE  FINANCE  LAW, ARE HEREBY AUTHORIZED TO ACCEPT TRANSPORTATION
INFRASTRUCTURE FINANCE AND INNOVATION ACT (TIFIA) LOANS FROM THE  UNITED
STATES  OF AMERICA, SUBJECT TO ANY APPLICABLE AGREEMENT WITH BONDHOLDERS
OR NOTEHOLDERS,  TO  ENTER  INTO  CONTRACTS,  SECURED  LOAN  AGREEMENTS,
SERVICE  AGREEMENTS  OR  REPAYMENT AGREEMENTS AND TO EXECUTE ALL INSTRU-
MENTS  NECESSARY,  CONVENIENT  OR  DESIRABLE  IN  CONNECTION  THEREWITH,
INCLUDING,  ITS  BONDS,  NOTES  OR OTHER OBLIGATIONS EVIDENCING ANY SUCH
LOAN FROM THE UNITED STATES OF AMERICA, AND  TO  PLEDGE  AND  ASSIGN  AS
SECURITY  FOR  ANY  SUCH  GRANTS OR LOANS, BONDS OR NOTES ISSUED BY SUCH
AUTHORIZED  ISSUER  OR  PAYMENTS  DUE  TO  SUCH  AUTHORIZED  ISSUER   IN
CONNECTION  THEREWITH OR REVENUES OF SUCH AUTHORIZED ISSUER, AS APPLICA-
BLE. THE AGGREGATE PRINCIPAL AMOUNT OF BONDS AUTHORIZED TO BE ISSUED  BY
THE  AUTHORIZED  ISSUERS PURSUANT TO THIS SECTION SHALL NOT EXCEED SEVEN
HUNDRED FIFTY MILLION DOLLARS, EXCLUDING BONDS ISSUED  TO  FUND  ONE  OR
MORE DEBT SERVICE RESERVE FUNDS, TO PAY COSTS OF ISSUANCE OF SUCH BONDS,
AND  BONDS,  NOTES,  OR  OTHER OBLIGATIONS ISSUED TO REFUND OR OTHERWISE
REPAY SUCH BONDS, NOTES, OR OTHER OBLIGATIONS PREVIOUSLY ISSUED. IF SUCH
BONDS, NOTES, OR OTHER OBLIGATIONS ARE SECURED  BY  A  SERVICE  CONTRACT
WITH  THE  STATE OF NEW YORK, SUCH BONDS, NOTES, OR OTHER OBLIGATIONS OF
THE AUTHORIZED ISSUERS SHALL NOT BE A DEBT OF THE STATE, AND  THE  STATE
SHALL  NOT BE LIABLE THEREON, NOR SHALL THEY BE PAYABLE OUT OF ANY FUNDS
OTHER THAN THOSE APPROPRIATED BY THE STATE TO THE AUTHORIZED ISSUERS FOR
PRINCIPAL, INTEREST, AND RELATED EXPENSES PURSUANT TO A SERVICE CONTRACT
AND SUCH BONDS, NOTES, AND OTHER OBLIGATIONS SHALL CONTAIN ON  THE  FACE
THEREOF  A  STATEMENT  TO  SUCH EFFECT. EXCEPT FOR PURPOSES OF COMPLYING
WITH THE INTERNAL REVENUE CODE,  ANY  INTEREST  INCOME  EARNED  ON  BOND
PROCEEDS SHALL ONLY BE USED TO PAY DEBT SERVICE ON SUCH BONDS.
  (B)  ANY  BONDS,  NOTES,  OR OTHER OBLIGATIONS ISSUED PURSUANT TO THIS
SECTION SHALL (I) BE IN  FURTHERANCE  OF  CAPITAL  PROJECTS  AND  PUBLIC
PURPOSES  CONSISTENT  WITH  THE  OBJECTIVES  OF THE TIFIA LOANS FROM THE
UNITED STATES OF AMERICA, AND (II) ANY SUCH FINANCINGS SHALL  PROVIDE  A
DEMONSTRABLE BENEFIT TO THE STATE OF NEW YORK AND THE AUTHORIZED ISSUERS
THROUGH  A  LOWER COST OF FINANCING THAN COULD OTHERWISE BE ACHIEVED, AS
EVIDENCED BY A REPORT FROM AN INDEPENDENT FINANCIAL ADVISOR.
  2. NOTWITHSTANDING THE PROVISIONS OF ANY OTHER LAW TO THE CONTRARY, IN
ORDER TO ASSIST THE AUTHORIZED ISSUERS IN UNDERTAKING  THE  TIFIA  LOANS
FROM THE UNITED STATES OF AMERICA, THE STATE OF NEW YORK, ACTING THROUGH
THE  DIRECTOR  OF  THE BUDGET, IS HEREBY AUTHORIZED TO ENTER INTO ONE OR
MORE SERVICE CONTRACTS WITH THE AUTHORIZED ISSUERS UPON SUCH  TERMS  AND
CONDITIONS  AS  THE  DIRECTOR  OF  THE BUDGET AND THE AUTHORIZED ISSUERS
AGREE, SO AS TO ANNUALLY PROVIDE  TO  THE  AUTHORIZED  ISSUERS,  IN  THE
AGGREGATE,  A  SUM  NOT  TO  EXCEED THE PRINCIPAL, INTEREST, AND RELATED
EXPENSES REQUIRED FOR SUCH BONDS,  NOTES,  AND  OTHER  OBLIGATIONS.  ANY
SERVICE  CONTRACT  ENTERED  INTO  PURSUANT TO THIS SECTION SHALL PROVIDE
THAT THE OBLIGATION OF THE STATE TO  PAY  THE  AMOUNT  THEREIN  PROVIDED
SHALL  NOT  CONSTITUTE  A  DEBT  OF  THE STATE WITHIN THE MEANING OF ANY
CONSTITUTIONAL OR STATUTORY PROVISION AND SHALL BE DEEMED EXECUTORY ONLY
TO THE EXTENT OF  MONIES  AVAILABLE  AND  THAT  NO  LIABILITY  SHALL  BE
INCURRED  BY  THE  STATE  BEYOND  THE MONIES AVAILABLE FOR SUCH PURPOSE,
SUBJECT TO ANNUAL APPROPRIATION BY THE LEGISLATURE. ANY SUCH CONTRACT OR
ANY PAYMENTS MADE OR TO BE MADE THEREUNDER MAY BE ASSIGNED  AND  PLEDGED
BY  THE AUTHORIZED ISSUERS AS SECURITY FOR THEIR BONDS, NOTES, AND OTHER
OBLIGATIONS AS AUTHORIZED BY THIS SECTION.
  3. THE STATE COMPTROLLER IS HEREBY  AUTHORIZED  TO  RECEIVE  FROM  THE
AUTHORIZED  ISSUERS TIFIA LOAN PROCEEDS FROM THE UNITED STATES OF AMERI-

S. 2607--D                         226                        A. 3007--D

CA, TO REIMBURSE THE STATE FOR COSTS ASSOCIATED  WITH  CAPITAL  PROJECTS
RELATED  THERETO AND TO CREDIT SUCH AMOUNTS TO THE CAPITAL PROJECTS FUND
OR ANY OTHER APPROPRIATE FUND.
  4.  PRIOR  TO  SUBMITTING  A  LETTER  OF INTEREST TO THE UNITED STATES
DEPARTMENT OF TRANSPORTATION FOR A TIFIA LOAN, THE DIRECTOR OF THE BUDG-
ET SHALL SUBMIT A REPORT FROM AN INDEPENDENT FINANCIAL  ADVISOR  TO  THE
SPEAKER  OF  THE  ASSEMBLY,  THE  TEMPORARY PRESIDENT OF THE SENATE, THE
CHAIR OF THE SENATE FINANCE COMMITTEE AND THE CHAIR OF THE ASSEMBLY WAYS
AND MEANS COMMITTEE EVIDENCING A DEMONSTRABLE BENEFIT TO  THE  STATE  OF
NEW  YORK  THROUGH  A  LOWER  COST  OF FINANCING THAN COULD OTHERWISE BE
ACHIEVED.
  S 69-c. Section 1 of chapter 174 of the laws of 1968, constituting the
New York state urban development corporation act, is amended by adding a
new section 49 to read as follows:
  S 49. 1. NOTWITHSTANDING THE  PROVISIONS  OF  ANY  OTHER  LAW  TO  THE
CONTRARY, THE DORMITORY AUTHORITY AND THE CORPORATION ARE HEREBY AUTHOR-
IZED  TO  ISSUE  BONDS OR NOTES IN ONE OR MORE SERIES FOR THE PURPOSE OF
FUNDING PROJECT COSTS FOR THE STATE AND MUNICIPAL FACILITIES PROGRAM AND
OTHER STATE COSTS ASSOCIATED WITH SUCH CAPITAL PROJECTS.  THE  AGGREGATE
PRINCIPAL  AMOUNT  OF  BONDS  AUTHORIZED  TO  BE ISSUED PURSUANT TO THIS
SECTION SHALL NOT EXCEED  THREE  HUNDRED  EIGHTY-FIVE  MILLION  DOLLARS,
EXCLUDING  BONDS  ISSUED TO FUND ONE OR MORE DEBT SERVICE RESERVE FUNDS,
TO PAY COSTS OF ISSUANCE OF SUCH BONDS, AND BONDS  OR  NOTES  ISSUED  TO
REFUND  OR  OTHERWISE  REPAY SUCH BONDS OR NOTES PREVIOUSLY ISSUED. SUCH
BONDS AND NOTES OF THE DORMITORY AUTHORITY AND THE CORPORATION SHALL NOT
BE A DEBT OF THE STATE, AND THE STATE SHALL NOT BE LIABLE  THEREON,  NOR
SHALL  THEY BE PAYABLE OUT OF ANY FUNDS OTHER THAN THOSE APPROPRIATED BY
THE STATE TO THE DORMITORY AUTHORITY AND THE CORPORATION FOR  PRINCIPAL,
INTEREST,  AND  RELATED EXPENSES PURSUANT TO A SERVICE CONTRACT AND SUCH
BONDS AND NOTES SHALL CONTAIN ON THE FACE THEREOF A  STATEMENT  TO  SUCH
EFFECT. EXCEPT FOR PURPOSES OF COMPLYING WITH THE INTERNAL REVENUE CODE,
ANY  INTEREST  INCOME  EARNED ON BOND PROCEEDS SHALL ONLY BE USED TO PAY
DEBT SERVICE ON SUCH BONDS.
  2. NOTWITHSTANDING ANY OTHER PROVISION OF  LAW  TO  THE  CONTRARY,  IN
ORDER TO ASSIST THE DORMITORY AUTHORITY AND THE CORPORATION IN UNDERTAK-
ING  THE FINANCING FOR PROJECT COSTS FOR THE STATE AND MUNICIPAL FACILI-
TIES  PROGRAM  AND  OTHER  STATE  COSTS  ASSOCIATED  WITH  SUCH  CAPITAL
PROJECTS,  THE DIRECTOR OF THE BUDGET IS HEREBY AUTHORIZED TO ENTER INTO
ONE OR MORE SERVICE CONTRACTS  WITH  THE  DORMITORY  AUTHORITY  AND  THE
CORPORATION,  NONE  OF WHICH SHALL EXCEED THIRTY YEARS IN DURATION, UPON
SUCH TERMS AND CONDITIONS AS THE DIRECTOR OF THE BUDGET AND THE DORMITO-
RY AUTHORITY AND THE CORPORATION AGREE, SO AS TO ANNUALLY PROVIDE TO THE
DORMITORY AUTHORITY AND THE CORPORATION, IN THE AGGREGATE, A SUM NOT  TO
EXCEED  THE  PRINCIPAL, INTEREST, AND RELATED EXPENSES REQUIRED FOR SUCH
BONDS AND NOTES. ANY SERVICE CONTRACT  ENTERED  INTO  PURSUANT  TO  THIS
SECTION SHALL PROVIDE THAT THE OBLIGATION OF THE STATE TO PAY THE AMOUNT
THEREIN  PROVIDED  SHALL  NOT  CONSTITUTE A DEBT OF THE STATE WITHIN THE
MEANING OF ANY CONSTITUTIONAL OR STATUTORY PROVISION AND SHALL BE DEEMED
EXECUTORY ONLY TO THE EXTENT OF MONIES AVAILABLE AND THAT  NO  LIABILITY
SHALL  BE  INCURRED  BY  THE  STATE BEYOND THE MONIES AVAILABLE FOR SUCH
PURPOSE, SUBJECT TO ANNUAL APPROPRIATION BY THE  LEGISLATURE.  ANY  SUCH
CONTRACT  OR  ANY PAYMENTS MADE OR TO BE MADE THEREUNDER MAY BE ASSIGNED
AND PLEDGED BY THE DORMITORY AUTHORITY AND THE CORPORATION  AS  SECURITY
FOR ITS BONDS AND NOTES, AS AUTHORIZED BY THIS SECTION.
  3.  THE COMPTROLLER IS HEREBY AUTHORIZED TO RECEIVE FROM THE DORMITORY
AUTHORITY AND THE CORPORATION ANY  PORTION  OF  BOND  PROCEEDS  PAID  TO

S. 2607--D                         227                        A. 3007--D

PROVIDE  FUNDS  FOR OR REIMBURSE THE STATE FOR ITS COSTS ASSOCIATED WITH
SUCH CAPITAL PROJECT COSTS AND TO CREDIT SUCH  AMOUNTS  TO  THE  CAPITAL
PROJECTS FUND OR ANY OTHER APPROPRIATE FUND.
  S  70.  This  act shall take effect immediately and shall be deemed to
have been in full force and effect on and after April 1, 2013;  provided
that:
  (a)  sections one through nine, and sections thirteen through eighteen
of this act shall expire March  31,  2014,  when  upon  such  date,  the
provisions of such sections shall be deemed repealed;
  (b)  the  amendments  to  subdivision  3  of section 99-h of the state
finance law made by section twenty-three of this act shall  take  effect
on  the  same  date  as the reversion of such subdivision as provided in
section 3 of part W of chapter 60 of the laws of 2011, as amended;
  (c) the amendments to subdivision 5 of  section  3234  of  the  public
authorities law made by section forty-five of this act shall take effect
upon  the  expiration  and  reversion of such subdivision as provided in
section 59 of part BB of chapter 58 of the laws of 2011;
  (d) the amendments to paragraph a of subdivision 5 of section 89-b  of
the state finance law made by section sixty of this act shall be subject
to  the expiration and reversion of such paragraph pursuant to section 2
of part B of chapter 84 of the laws of 2002, as amended, when upon  such
date  the  provisions  of section sixty-a of this act shall take effect;
and
  (e) the amendments to subdivision 3  of  section  97-g  of  the  state
finance  law  made by section sixty-two of this act shall not affect the
expiration and reversion of such subdivision  and  shall  be  deemed  to
expire therewith.
  S 2. Severability clause. If any clause, sentence, paragraph, subdivi-
sion,  section  or  part  of  this act shall be adjudged by any court of
competent jurisdiction to be invalid, such judgment  shall  not  affect,
impair,  or  invalidate  the remainder thereof, but shall be confined in
its operation to the clause, sentence, paragraph,  subdivision,  section
or part thereof directly involved in the controversy in which such judg-
ment shall have been rendered. It is hereby declared to be the intent of
the  legislature  that  this  act  would  have been enacted even if such
invalid provisions had not been included herein.
  S 3. This act shall take effect immediately  provided,  however,  that
the applicable effective date of Parts A through HH of this act shall be
as specifically set forth in the last section of such Parts.