LBD14978-03-6
A. 9932 2
buildings with better use of space. Renovations shall result in facili-
ties more conducive to current education requirements and shall be
equipped to operate at lower maintenance costs with improved energy
efficiency.
The city of Yonkers' student population has been rising, especially
with students with special needs and students with English as a second
language. Yonkers' increased enrollment has required overuse of avail-
able classroom space for regular instruction and resulted in a shortage
of libraries, art rooms, music rooms, computer rooms and other common
school facility elements. Construction of new facilities will allow for
reallocation of classroom space to essential specialized uses. However
the city's fiscal limitations magnify the inability to maintain existing
aging facilities or provide new facilities to accommodate the increasing
student populations. Yonkers is unable to pursue a modernization
program without special legislation as was provided to the Buffalo,
Rochester and Syracuse city school districts. As a result the city of
Yonkers has an immediate need for special legislation providing for new
school buildings and a joint schools construction and modernization
program patterned after the mechanism for funding received by or related
to the Buffalo, Rochester and Syracuse school districts.
The legislature further finds that as a result of the foregoing,
legislation granting certain new or additional authority to the city and
the city school district of the city of Yonkers as set forth in such
legislation is necessary, which authority should enable both parties to
better, more economically and more innovatively manage the acquisition,
design, construction, financing, operation, and maintenance of new
educational facilities.
S 3. Definitions. As used or referred to in this act:
(a) "Capital improvement plan" shall mean the city school district's
ongoing, annually updated five-year capital financing plan for the
construction and reconstruction of facilities, the acquisition and
replacement of equipment and the completion of other long-term capital
projects undertaken and financed by the issuance of general obligation
bonds by the city on behalf of the city school district pursuant to
existing state law applicable to all school districts.
(b) "City" shall mean the city of Yonkers.
(c) "City school district" shall mean the city school district of the
city of Yonkers acting by and through the board of education of the city
school district of the city of Yonkers.
(d) "City council" shall mean the city council of the city of Yonkers.
(e) "Commissioner" shall mean the commissioner of education of the
state of New York.
(f) "Compliance officer" shall mean an independent compliance firm
with an in-depth knowledge base and breadth of experience conducting
minority and women-owned business enterprise (MWBE) and disadvantaged
business enterprise (DBE) utilization compliance monitoring for public
contracts within New York state including school districts and auditing
contractors and subcontractors in construction and reconstruction
projects like those to be undertaken and contracted for by the YJSC
board pursuant to this act. Such firm shall support the facilities
modernization program by developing and implementing an MWBE/DBE Utili-
zation Master Plan for the governance of all project contracts to ensure
compliance with all federal, State, and local laws, rules, and regu-
lations as applicable.
(g) "Comptroller" shall mean the comptroller of the state of New York.
A. 9932 3
(h) "Joint schools construction and modernization plan" or "joint
schools construction and modernization program" shall mean the compre-
hensive, strategic plan developed by the city school district as
described in section five of this act.
(i) "MWBE/DBE utilization master plan" shall be a plan prepared by the
compliance officer to the satisfaction of the YJSC board to meet dispar-
ity as established by existing state studies.
(j) "Person" shall mean a municipality or other governmental body, a
public corporation or an authority, a private corporation, a limited
liability company or partnership, or an individual.
(k) "Program manager" shall mean an independent program management
firm that has been selected by the city and the city school district
through the request for proposal process to oversee the implementation
of the joint schools construction and modernization plan to assist it
in: (1) developing and implementing procedures for the projects under-
taken and contracted for by the city school district or the YJSC board;
(2) reviewing plans and specifications for projects; (3) developing and
implementing policies and procedures to utilize employment resources to
provide sufficient skilled employees for such projects, including devel-
oping and implementing training programs, if required; (4) managing such
projects; and (5) providing such planning, design, financing, and other
services as may be appropriate to implement one or more construction or
reconstruction projects pursuant to this act.
(l) "Project" shall mean (1) work at an existing school building site
that involves the design, reconstruction, or rehabilitation of all or a
portion of an existing school building for its continued use as a school
of the city school district, which may include an addition to existing
school buildings for such continued use and which also may include (i)
the construction or reconstruction of athletic fields, playgrounds, and
other recreational facilities for such existing school buildings, and/or
(ii) the acquisition and installation of all equipment necessary and
attendant to and for the use of such existing school buildings and/or
(2) the acquisition of land for new school buildings and athletic
fields, playgrounds and other recreations facilities; and/or (3)
construction of up to three new school buildings and land acquisition
from the city or private parties which also may include (i) the
construction or reconstruction of athletic fields, playgrounds, and
other recreational facilities for such new school buildings and (ii) the
acquisition and installation of all equipment necessary and attendant to
and for the use of such new school buildings; and/or (iii) the acquisi-
tion of additional real property by the city to facilitate the project.
For purposes of this act, the term "construction" shall include all work
related to construction, demolition, reconstruction, excavation, reha-
bilitation, repairs, renovations, alterations, or improvements.
(m) "Project labor agreement" shall mean a pre-hire collective
bargaining agreement between a contractor and a bona fide building and
construction trades labor organization establishing the signatory unions
as the collective bargaining representatives for all persons who will
perform work on the project, and which provides that only contractors
and subcontractors who sign a pre-negotiated agreement with the labor
organization can perform project work.
(n) "YJSC board" or "board" shall mean the Yonkers joint schools
construction board, a joint instrumentality of the city and the city
school district, acting for and on behalf of the city and the city
school district.
(o) "SED" shall mean the state education department.
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(p) "Related party" means: (1) any member, officer or employee of the
board, or any other person who exercises the powers of members, officers
or employees over the affairs of the board; (2) any relative of any
individual described in paragraph one of this subdivision; or (3) any
entity in which any individual described in paragraphs one and two of
this subdivision has a thirty-five percent or greater ownership or bene-
ficial interest or, in the case of a partnership or professional corpo-
ration, a direct or indirect ownership interest in excess of five
percent.
(q) "Related party transaction" means any transaction, agreement or
any other arrangement in which a related party has a financial interest
and in which the board is a participant.
S 4. Yonkers joint schools construction board. (a) For the benefit of
the city of Yonkers and the inhabitants thereof, a board to be known as
the Yonkers joint schools construction board, and sometimes referred to
as the YJSC board, is hereby established for the accomplishment of the
purposes specified in this act. The YJSC board shall conduct meetings as
often as deemed necessary to accomplish its purposes, but not less than
quarterly.
(b) (1) The board shall be composed of nine voting members: one of
whom, sitting ex officio, shall be the mayor of Yonkers; one of whom
shall be the president of the Yonkers board of education; one of whom
shall be the superintendent of the Yonkers city school district; one of
whom shall be the designee of the Yonkers council of Parent Teach Asso-
ciations; two of whom shall be Yonkers city council designees of whom
one shall be from the majority and one from the minority; and three of
whom shall be jointly designated by the mayor and the superintendent of
the city school district, but shall be not employed by the city or the
school district. In selecting designees to serve on the board, prefer-
ence shall be granted to those with expertise or experience in school
construction, school financing, and education policy. The members of
the board shall serve without salary, but each member shall be reim-
bursed for actual and necessary expenses incurred in the performance of
such member's official duties as a member of the board. To ensure flex-
ibility and continuity, the mayor and/or the superintendent may from
time to time designate and authorize their chief of staff, chief finan-
cial officer, or other designee to attend and vote in their stead.
(2) Notwithstanding any inconsistent provision of any general, special
or local law, ordinance, resolution or charter, no officer, board of
trustees, member or employee of the state, any city, county, town or
village, any governmental entity operating any public school or college,
any school district or any other public agency or instrumentality which
exercises governmental powers under the laws of the state, shall forfeit
his or her office or employment by reason of his or her acceptance of
appointment as a member, officer or employee of the YJSC board, nor
shall service as such member, officer or employee of the YJSC board be
deemed incompatible or in conflict with such office or employment,
except for the three board members who were jointly appointed by the
mayor and the superintendent of the city school district.
(3) Except for the mayor of Yonkers, the president of the Yonkers
board of education and the superintendent of the city school district,
the remaining members of the board shall be independent members. The
official or officials having the authority to appoint or remove such
remaining members shall take such actions as may be necessary to satisfy
this requirement and further, shall consider the prospective diversity
of the members of the board when making their determinations to appoint
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any member. For purposes of this section, an independent member is one
who: (i) is not, and in the past two years has not been employed by the
board, the city or the school district; (ii) is not, and in the past two
years has not been, employed by an entity that received remuneration
valued at more than fifteen thousand dollars for goods and services
provided to the board, the city or the school district or received any
other form of financial assistance valued at more than fifteen thousand
dollars from the board, the city or the school district; (iii) is not a
relative of an executive officer or employee in an executive position
with the city of Yonkers or the Yonkers city school district or a member
of the Yonkers city council or the Yonkers board of education; and (iv)
is not, and in the past two years has not been, a lobbyist registered
under a state or local law and paid by a client to influence the manage-
ment decisions, contract awards, rate determinations or any other simi-
lar actions of the board, the city or the school district.
(4) Notwithstanding any other provision of any general, special or
local law, municipal charter or ordinance to the contrary, board
members, officers and employees of the board shall file annual financial
disclosure statements with the county board of ethics for the county in
which the board has it primary office pursuant to article 18 of the
general municipal law.
(c) A majority of the whole board shall constitute a quorum for the
transaction of any business or the exercise of any power of the board.
No action shall be taken by the board except pursuant to a favorable
vote of at least a majority of the whole board participating in a meet-
ing at which such action is taken.
(d) The board shall be effective upon filing with the secretary of
state a certificate of organization indicating that its organizational
meeting has been held and its conflict of interest policy has been
adopted and shall continue after the tenth anniversary of its date of
organizational meeting during any period when bonds or notes are
outstanding.
(e) Except as otherwise limited by this act, the YJSC board shall have
the following powers and responsibilities in addition to those specially
conferred elsewhere in this act, subject only to agreements with bond-
holders:
(1) to make plans and studies necessary, convenient or desirable for
the effectuation of the purposes and powers of the board and to prepare
recommendations in regard thereto;
(2) to make use of existing studies, surveys, plans, data and other
material in the possession of the city, the city school district, or any
person in order to avoid duplication of effort;
(3) to enter into cooperative agreements with the state, any state
agency, the city, or the city school district for any lawful purposes
necessary or desirable to effect the purposes of this act upon such
terms and conditions as shall be determined to be reasonable;
(4) to develop and maintain the joint schools construction and modern-
ization plan for so long as the projects authorized pursuant to this
act, are yet to be undertaken; and
(5) to do all things necessary, convenient or desirable to carry out
its purposes and for the exercise of the powers granted in this act.
(f) (1) The board shall adopt a conflict of interest policy to ensure
that its directors, officers and employees act in the city's and city
school district's best interest and comply with applicable legal
requirements, including but not limited to the requirements set forth in
subdivision (g) of this section.
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(2) The conflict of interest policy shall include, at a minimum, the
following provisions: (i) a definition of the circumstances that consti-
tute a conflict of interest; (ii) procedures for disclosing a conflict
of interest to the board; (iii) a requirement that the person with the
conflict of interest not be present at or participate in board deliber-
ation or vote on the matter giving rise to such conflict, provided that
nothing in this subdivision shall prohibit the board from requesting
that the person with the conflict of interest present information as
background or answer questions at a board meeting prior to the commence-
ment of deliberations or voting relating thereto; (iv) a prohibition
against any attempt by the person with the conflict to influence improp-
erly the deliberation or voting on the matter giving rise to such
conflict; (v) a requirement that the existence and resolution of the
conflict be documented in the board's records, including in the minutes
of any meeting at which the conflict was discussed or voted upon; and
(vi) procedures for disclosing, addressing, and documenting related
party transactions in accordance with subdivision (g) of this section.
(3) The conflict of interest policy shall require that prior to the
filing of the certificate of organization, and annually thereafter, all
members of the board shall complete, sign and submit to the county board
of ethics for the county in which the board has its primary office
pursuant to article eighteen of the general municipal law a written
statement identifying, to the best of the member's knowledge, any entity
of which such member is an officer, director, trustee, member, owner
(either as a sole proprietor or a partner), or employee and with which
the board has a relationship, and any transaction in which the board is
a participant and in which the member might have a conflicting interest.
The policy shall require that each board member annually resubmit such
written statement. The county board of ethics shall provide a copy of
all completed statements to each board member.
(4) If the board has complied substantially with section 2824 and
subdivision 3 of section 2825 of the public authorities law, it shall be
deemed in compliance with this subdivision.
(5) Nothing in this subdivision shall be interpreted to require the
board to adopt any specific conflict of interest policy not otherwise
required by this subdivision or any other law or rule, or to supersede
or limit any requirement or duty governing conflicts of interest
required by any other law or rule.
(g) (1) The board shall not enter into any related party transaction
unless the transaction is determined by the board to be fair, reasonable
and in the board's best interest at the time of such determination. Any
member, officer or employee who has an interest in a related party tran-
saction shall disclose in good faith to the board the material facts
concerning such interest.
(2) With respect to any related party transaction in which a related
party has an substantial financial interest, the board, shall: (i) prior
to entering into the transaction, consider alternative transactions to
the extent available; (ii) approve the transaction by not less than a
majority vote of the entire board; and (iii) contemporaneously document
in writing the basis for the board's approval, including its consider-
ation of any alternative transactions.
(3) SED may bring an action to enjoin, void or rescind any related
party transaction or proposed related party transaction that violates
any provision of this section or was otherwise not reasonable or in the
best interests of the board at the time the transaction was approved, or
to seek restitution, and the removal of members or officers, or seek to
A. 9932 7
require any person or entity to: (i) account for any profits made from
such transaction, and pay them to the board; (ii) pay the board the
value of the use of any of its property or other assets used in such
transaction; (iii) return or replace any property or other assets lost
to the board as a result of such transaction, together with any income
or appreciation lost to the board by reason of such transaction, or
account for any proceeds of sale of such property, and pay the proceeds
to the board together with interest at the legal rate; and (iv) pay, in
the case of willful and intentional conduct, an amount up to double the
amount of any benefit improperly obtained.
(4) No related party may participate in deliberations or voting relat-
ing to a related party transaction in which he or she has an interest;
provided that nothing in this section shall prohibit the board from
requesting that a related party present information as background or
answer questions concerning a related party transaction at a board meet-
ing prior to the commencement of deliberations or voting relating there-
to.
(h) Notwithstanding any other provision of any general, special or
local law, municipal charter or ordinance to the contrary, for the
purposes of title 2 of article 1 of the public authorities law the board
shall be considered a local authority.
S 5. Joint schools construction and modernization plan; project costs.
(a) The superintendent, in consultation with the Yonkers board of educa-
tion, shall submit to the YJSC board a comprehensive draft plan recom-
mending and outlining the projects for phase one it proposes to be
undertaken pursuant to this act. The YJSC board shall consider the plan
in developing a comprehensive joint schools construction and moderniza-
tion plan recommending and outlining the projects it proposes to be
potentially undertaken pursuant to this act. The comprehensive joint
schools construction and modernization plan shall include:
(1) an estimate of total costs to be financed, not to exceed five
hundred twenty-three million dollars ($523,000,000), plus such addi-
tional amount of bonds, notes and other obligations necessary to provide
for a debt service reserve fund and to pay reasonable costs of issuance,
a proposed financing plan, a proposed method of financing, terms and
conditions of the financing, and estimated financing costs (calculated
on a net interest cost basis). The plan shall address what specific
options would be used to ensure that sufficient resources exist to cover
the local share of any such project cost on an annual basis;
(2) information concerning the number of buildings to be constructed
or reconstructed to the satisfaction of SED;
(3) a district wide technology plan and a description of related inci-
dental expenses;
(4) information concerning the potential persons to be involved in the
financing and such persons' roles and responsibilities;
(5) estimates on the design, construction, reconstruction and rehabil-
itation costs by project, any administrative costs for potential
projects, and an outline of the timeframe expected for completion of
each potential project;
(6) direction to the program manager in the implementation of the
plan;
(7) any proposed amendments to the city school district's five year
capital facilities plan submitted in accordance with subdivision 6 of
section 3602 of the education law, the regulations of the commissioner
and the provisions of this section; and
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(8) a diversity plan, in compliance with section eleven of this act,
to develop diversity goals, including appropriate community input and
public discussion, and develop strategies that would create and coordi-
nate any efforts to ensure a more diverse workforce for the projects.
The MWBE/DBE utilization master plan should address accountability for
attainment of the diversity goals, what forms of monitoring would be
used, and how such information would be publicly communicated. Prior to
the development of the comprehensive joint schools construction and
modernization plan, the YJSC board and district shall hold not less than
one public hearing per school site to ensure sufficient public input and
allow for significant public discussion on school building needs in such
city, with at least one such hearing to be held in each neighborhood
potentially impacted by a proposed project and in each neighborhood from
which the majority of students impacted reside. The hearing must be
widely publicized, including, but not limited to, social media distrib-
ution by the board of education and the YJSC board. The Yonkers joint
schools construction board shall submit the components of such plan
described in paragraph one of this subdivision to the comptroller, along
with any other information requested by the comptroller, for his or her
review and approval.
(b) The aggregate amount of project costs authorized and undertaken
pursuant to this act as phase one shall not exceed five hundred twenty-
three million dollars ($523,000,000), plus such additional amount of
bonds, notes and other obligations necessary to provide for a debt
service reserve fund and to pay reasonable costs of issuance, unless
otherwise authorized by law. Due to the urgent need to address increased
enrollment, phase one shall consist of construction of up to three new
schools along with critical infrastructure system replacements at the
existing schools to maintain safe operation of the existing schools
until future renovations are made as part of the joint schools
construction and modernization plan. Such infrastructure system replace-
ment will be coordinated so that the work remains in place and is incor-
porated into the future renovation of the schools.
(c) Notwithstanding the provisions of any other general, special, or
local law to the contrary, for purposes of undertaking projects author-
ized pursuant to this act, the YJSC board is hereby authorized to plan,
and for state building aid calculation purposes, SED is hereby author-
ized to permit the YJSC board to undertake projects that utilize a maxi-
mum cost allowance approach determined on a city school district wide
basis at ninety-eight percent (98%) of approved costs rather than on an
individual building basis.
S 6. Project eligibility. To be eligible for selection as a project to
be undertaken pursuant to this section, such project shall be included
by the city school district in its joint schools construction and
modernization plan as a special section of the district's five-year
capital facilities plan that is required pursuant to subdivision 6 of
section 3602 of the education law and the regulations of the commission-
er. The facilities modernization plan and any portions of such plan
relating to such projects, including any amendments thereto, shall have
the contents required in the regulations of the commissioner and shall
be submitted to the commissioner for approval. Notwithstanding anything
to the contrary in this section, the city school district may elect to
finance a project under its ongoing capital improvement plan pursuant to
the powers and authority granted to all school districts in the state or
as part of the joint schools construction and modernization plans pursu-
ant to the special powers and authority granted to the city school
A. 9932 9
district and the YJSC board by this act. Commencing on the effective
date of this section, the city school district shall create and maintain
a written schedule listing each project undertaken, certified to annual-
ly by the city's commissioner of finance, which schedule shall identify
each project and its cost and formally designate such project as being
undertaken pursuant to either the joint schools construction and modern-
ization plan or the capital improvement plan.
S 7. Determination of projects. (a) Upon approval by the commissioner
of the YJSC board's joint schools construction and modernization plan,
the YJSC board may select projects to be undertaken pursuant to this
section, as provided for in such approved joint schools construction and
modernization plan. After the board has selected a new project and plans
and specifications for such project have been prepared and approved by
the board, which are consistent with the approved comprehensive plan,
the board shall deliver such plans and specifications to the commission-
er for his or her approval. After approval by the commissioner, the
plans and specifications shall be returned to the board. All such spec-
ifications shall detail the number of students the completed project is
intended to serve, the site description, the types of subjects to be
taught, the types of activities for school, recreational, social, safe-
ty, or other purposes intended to be incorporated in the school building
or on its site and such other information as the board and the commis-
sioner shall deem necessary or advisable.
(b) The YJSC board, upon receipt of such approved plans and specifica-
tions for a project may enter into contracts for such project, as
described in section eight of this act.
S 8. Contracts. Notwithstanding the provisions of any general,
special, or local law or judicial decision to the contrary:
(a) (1) The YJSC board is hereby authorized and empowered to enter
into contracts, leases, rental agreements, installment purchase
contracts or other arrangements relating to the design (pursuant to the
approved plans and specifications), construction, reconstruction, reha-
bilitation, equipping, financing or managing of one or more projects
undertaken pursuant to this section with any person, upon such terms and
conditions and for such consideration and for such terms and duration,
not to exceed thirty years, as may be agreed upon by the board and such
person notwithstanding the provisions of any other general, special, or
local law to the contrary, relating to the length, duration, and terms
of contracts that the city or the city school district may enter into,
as set forth in subdivision (e) of this section. The district program
manager shall establish reasonable guidelines or limits on incidental
costs to assure that to the greatest extent possible such costs for each
project do not exceed the state's maximum incidental cost allowance, in
order to maximize efficient use of state building aid.
(2) Notwithstanding any other provision of law to the contrary, the
YJSC board shall submit estimated project costs for the projects author-
ized pursuant to paragraph five of subdivision (a) of section five of
this act after the completion of schematic plans and specifications for
review by the commissioner. If the total project costs associated with
such projects exceed the sum of the estimated individual approved cost
allowance of each building project by more than the lesser of fifty-two
million dollars ($52,000,000) or ten percent of the approved costs, and
the city school district has not otherwise demonstrated to the satisfac-
tion of the SED the availability of additional local shares for such
excess costs, then the YJSC board shall not proceed with the preparation
of final plans and specifications for such projects until the projects
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have been redesigned or value-engineered to reduce estimated project
costs so as not to exceed the above cost limits.
(3) Notwithstanding any other provision of law to the contrary, the
YJSC board shall submit estimated project costs for the projects author-
ized pursuant to paragraph five of subdivision (a) of section five of
this act after the completion of fifty percent of the final plans and
specifications for review by the commissioner. If the total project
costs associated with such projects exceed the sum of the estimated
individual approved cost allowance of each building project by more than
the lesser of fifty-two million dollars ($52,000,000) or ten percent of
the approved costs, and the city school district has not otherwise
demonstrated to the satisfaction of the SED the availability of addi-
tional local share for such excess costs, then the YJSC board shall not
proceed with the completion of the remaining fifty percent of the plans
and specifications for such projects until the projects have been rede-
signed or value-engineered to reduce estimated project costs so as not
to exceed the above cost limits.
(b) A contract entered into between the board, or other entity author-
ized by this act, and any person pursuant to this section may be awarded
either pursuant to public bidding in compliance with section 103 of the
general municipal law or, in order to foster major investment in exist-
ing school buildings or new school buildings and to deliver quality
products and services that are beneficial to the city school district
and the public it serves, on the basis of factors other than cost alone,
including, but not limited to, adherence to facility design, quality and
durability or materials, energy efficiency, incorporating systems and
approaches which provide maximum facility value using the best current
development, construction, leasing, and financing techniques available,
and maximization of state building aid, and such a contract may be
entered into pursuant to the following provisions of this section for
the award of a contract based on evaluation of proposals submitted in
response to a request for proposals prepared by or for the board;
provided, however, that contracts or agreements involving construction
which are not awarded in compliance with section 103 of the general
municipal law must include a project labor agreement in accordance with
paragraph (f) of this subdivision. If a project labor agreement is not
performed on the project, all construction contracts must be awarded
pursuant to sections 101 and 103 of the general municipal law.
(c) Notwithstanding any provision of this act which allows for alter-
native methods of financing or contract delivery or alternative owner-
ship arrangements, including projects owned, leased or financed by an
industrial development authority, all work performed on any project
authorized by this act where all or any portion thereof involves a
lease, grant, bond, covenant, debt agreement, permit, contract or agree-
ment entered into by the YJSC board or any other entity for
construction, demolition, reconstruction, excavation, rehabilitation,
repair, renovation, alteration, or improvement shall be deemed public
work and shall be subject to and performed in accordance with the
provisions of article 8 of the labor law to the same extent and in the
same manner as a contract of the state, and compliance with all the
provisions of article 8 of the labor law shall be required of any
lessee, sublessee, contractor or subcontractor on the project including
the enforcement of prevailing wage requirements by the fiscal officer as
defined in paragraph e of subdivision 5 of section 220 of the labor law
to the same extent as a contract of the state.
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(d) Every contract entered into by the YJSC board or other authorized
entity for a project shall contain a provision that the design of such
project shall be subject to the review and approval of the Yonkers board
of education and that the design and construction standards of such
project shall be subject to the review and approval of the commissioner.
In addition, every such contract shall contain a provision that the
contractor shall furnish a labor and material bond guaranteeing prompt
payment of moneys that are due to all persons furnishing labor and mate-
rials pursuant to the requirements of any contracts for a project under-
taken pursuant to this section and a performance bond for the faithful
performance of the project, which shall conform to the provisions of
section 103-f of the general municipal law, and that a copy of such
performance and payment bonds shall be kept by the YJSC board and shall
be open to public inspection.
(e) (1) The YJSC board or other authorized entity may require a
contractor awarded a contract, subcontract, lease, grant, bond, covenant
or other agreement for a project to enter into a project labor agreement
during and for the work involved with such project when such requirement
is part of the request for proposals for the project and when it has
been determined that the record supporting the decision to enter into
such an agreement establishes that it is justified by the interests
underlying the competitive bidding laws, and (2) any contract, subcon-
tract, lease, grant, bond, covenant or other agreement for projects
undertaken pursuant to this act shall not be subject to sections 101 or
103 of the general municipal law when the YJSC board or other authorized
entity has chosen to require a project labor agreement. This exemption
shall only apply to the projects undertaken pursuant to this act and
shall not apply to projects undertaken by any other school district or
municipality unless otherwise specifically authorized.
(f) All contracts entered into by the YJSC board or other authorized
entity in excess of three million dollars ($3,000,000) with respect to
any contract for construction, reconstruction, demolition, excavation,
rehabilitation, repair, renovation, alteration, or improvement shall
require that each contractor and subcontractor shall participate in
apprentice training programs registered by the department of labor.
Participation in such an apprenticeship program means the contractor or
subcontractor: (1) is signatory to a collective bargaining agreement
with a labor organization which sponsors an apprenticeship program
registered with the department of labor; (2) individually sponsors an
apprenticeship program registered by the department of labor; or (3) is
signatory to or otherwise bound by a project labor agreement covering
the project which provides for the referral of apprentices. In all
cases, such apprenticeship program must be specific to the type and
scope of work which is being performed.
(g) For the purposes of article 15-A of the executive law, YJSC board
shall be deemed a state agency as that term is defined in such article
and such contracts shall be deemed state contracts within the meaning of
that term as set forth in such article.
(h) In the event the YJSC board shall cease to exist for any reason
whatsoever during the life of such contracts as it has entered into
pursuant to this section, such contracts shall remain in full force and
effect and the city and city school district shall stand in the place
and stead of the board with respect to all rights and obligations under
such contracts and with respect to all powers granted to the board by
this section; provided, however, that such powers are exercised by the
A. 9932 12
city school district pursuant to its jurisdiction and the general laws
applicable thereto, except as modified by this section.
S 9. Program manager. (a) The YJSC board shall utilize the services of
a program manager selected by the city and the city school district
through the request for proposal process to oversee the implementation
of the joint schools construction and modernization plan. Prior to
selection, the program manager must demonstrate satisfactory experience
in planning, designing, and constructing new and/or reconstructing
existing school buildings, public facilities, commercial facilities,
and/or infrastructure facilities, and in the negotiation and management
of labor contracts and agreements, training programs, educational
programs, and physical technological requirements for educational
programs.
(b) All contracts entered into by the YJSC board or other authorized
entity for projects undertaken pursuant to this section shall be managed
by such program manager. The program manager shall also review project
schedules, review payment schedules, prepare cost estimates and review
for coordination purposes the safety programs of contractors and all
training programs, if required. The program manager shall implement
procedures for verification by it that all work for which payment has
been requested has been satisfactorily completed.
(c) The program manager, and its affiliates or subsidiaries, if any,
shall be prohibited from awarding contracts or being awarded contracts
for or performing any work other than contemplated for the program
manager.
S 10. Requests for proposals for the award of projects. (a) The YJSC
board shall consult with the commissioner in creating guidelines to be
used in the preparation of individual requests for proposals in
connection with projects prior to the development of any requests for
proposals by the program manager. Prior to the issuance by the program
manager of a request for proposals, the YJSC board shall cause to be
published a notice of such issuance in the official newspaper of the
city school district, if any, and in at least one newspaper of general
circulation in the city. Concurrent with the publication of such notice,
a draft request for proposals shall be filed with the YJSC board.
(b) Each proposal shall require the inclusion of the following infor-
mation relating to each project:
(1) the background and experience of the person including any history
of labor violations, and when applicable, the identity and experience of
the person's general contractor, heating and plumbing contractor, elec-
trical contractor, and design firm;
(2) the ability of the person to secure adequate financing, if appli-
cable, including the identification of the firm, if any, that will be
used for financing the project; and
(3) identification and specification of all direct and indirect costs
which would become a charge to the YJSC board, in whatever form, relat-
ing to the project and such other information as may be determined to
have a material bearing on the ability to evaluate any proposal.
(c) Proposals received in response to a request for proposals shall be
evaluated taking into consideration (1) maximization of state building
aid, (2) net cost, (3) the financial and organizational capacity of
contractors and subcontractors in relation to the magnitude of work they
may perform, the record of performance of contractors and subcontractors
on previous work, the record of contractors and subcontractors in
complying with existing labor laws, rules, or regulations and maintain-
ing harmonious labor relations, and the commitment of contractors to
A. 9932 13
work with minority and women owned business enterprises pursuant to
article 15-A of the executive law and disadvantaged business enterprises
through subcontractor relationships, and (4) such additional factors set
forth in the request for proposals, including, but not limited to, qual-
ity and durability of materials, energy efficiency, facility design
incorporating systems and approaches which provide maximum facility
value at the lowest possible cost for the reconstruction, rehabilitation
and equipping, or new construction and equipping, of such projects.
(d)(1) A contract award may be made to any responsible person selected
taking into consideration:
(i) maximization of state building aid;
(ii) net cost;
(iii) the financial and organizational capacity of contractors and
subcontractors in relation to the magnitude of work they may perform,
the record of performance of contractors and subcontractors on previous
work, the record of contractors and subcontractors in complying with
existing labor standards and maintaining harmonious labor relations, and
the commitment of contractors to work with minority and women owned
business enterprises pursuant to article 15-A of the executive law and
disadvantaged business enterprises through subcontractor relationships;
and
(iv) such additional factors set forth in the request for proposals,
including, but not limited to, quality and durability of materials,
energy efficiency, facility design incorporating systems and approaches
which provide maximum facility value at the lowest possible cost for the
reconstruction, rehabilitation and equipping, or new construction and
equipping, of such projects.
(2) Notwithstanding the provisions of this subdivision, if an award is
made to any person whose total proposal does not provide the lowest net
cost, the city school district or the YJSC board shall adopt a resol-
ution after a public hearing which includes particularized findings
relevant to factors evaluated indicating that the requirements of the
city school district or the YJSC board, as applicable, are met by such
award and that such action is in the public interest. Any such contract
may be a single guaranteed maximum price general contract, utilize a
full construction management contract approach, or utilize a turnkey
contract approach or any other method deemed advisable in the reasonable
judgment of the YJSC board.
S 11. Compliance officer. All contracts entered into by the YJSC board
for projects undertaken by this section shall be monitored by a compli-
ance officer. The compliance officer shall have the authority to:
(a) develop, implement, advertise, promote and monitor policies and
procedures to utilize and provide sufficient MWBE, DBE and skilled
minority employment resources participation opportunities to be followed
by prime contractors and subcontractors for such projects; and have
access to all proposed bid specifications documentations, records, draw-
ings, blueprints and any other documentation associated with such bid
specifications;
(b) support the joint schools construction and modernization plan by
developing and implementing an MWBE/DBE Utilization Master Plan for the
governance of all project contracts;
(c) provide technical assistance to potential MWBE and DBE contractors
and subcontractors interested in bidding on any such project;
(d) obtain and maintain records and documentation as are necessary to
confirm compliance with any established MWBE, DBE or skilled minority
employment resources utilization goals for any such project;
A. 9932 14
(e) identify contractors in non-compliance with the established MWBE,
DBE or skilled minority employment resources utilization goals or in
willful violation of any federal, state and local laws rules and regu-
lations;
(f) monitor and report the upward/downward price adjustment and
payment amounts to MWBE's and DBE's listed on contractors utilization
plan for any such project; and
(g) develop and work with YJSC board to enforce agreed financial or
monetary sanctions for any contractors non-compliance with MWBE/DBE
Utilization Master Plan.
(h) the compliance officer shall report to the YJSC board on a monthly
basis.
S 12. Building aid. (a) Notwithstanding any other general, special,
or local law or provision or regulation, all costs under the joint
schools construction and modernization plan approved by SED shall
receive building aid from the state at a rate of ninety-eight percent
(98%) of approved costs. Projects exceeding the Maximum Cost Allowance
("MCA") as identified by SED shall receive the calculated MCA equal to
the policy of 2 five-year cycles. When the YJSC board exercises the
option of combining 2 five-year cycles for a project, the facility shall
not be eligible for aid for 10 years after project initiation.
(b) Notwithstanding any other provision of law, building aid that
would otherwise be payable for the school district portion of expendi-
tures for capital outlays and debt service for each project undertaken
pursuant to the provisions of this act in accordance with subdivision 6
of section 3602 of the education law, shall be paid to the city.
S 13. Operation and maintenance. (a) Notwithstanding any other gener-
al, special, or local law or provision of this section to the contrary,
any project undertaken pursuant to this section shall be operated and
maintained by the board of education of the city school district in the
same manner as existing school buildings owned by the city are operated
and maintained by such board.
(b) Notwithstanding any other provision of any general, special, or
local law to the contrary, any project undertaken pursuant to the
provisions of this act shall be exempt from all taxes (including sales
and use taxes), special assessments, and special ad valorem levies and
from the payment of any and all charges and rents for sewer systems,
both while such project is being constructed and during its use by the
city school district for school purposes.
S 14. Maintenance of effort exclusion. Payment of debt service on
bonds, notes or other obligations issued to secure financing for
projects undertaken pursuant to this act shall not be considered when
determining the "city amount" required pursuant to subparagraph (ii) of
paragraph a of subdivision 5-b of section 2576 of the education law;
provided, however, that this provision shall not otherwise affect the
determination of said "city amount" with respect to funding unrelated to
projects undertaken pursuant to this act.
S 15. SED oversight of projects. Nothing in this act shall be
construed to exempt a project undertaken pursuant to this section from
the review and approval procedures applied to such projects by SED when
undertaken by the city school district pursuant to the education law.
S 16. Financing of projects. (a) To finance project costs authorized
and undertaken pursuant to this act, bonds, notes and other obligations
in an aggregate principal amount not to exceed five hundred twenty-three
million dollars ($523,000,000), plus such additional amount of bonds,
notes and other obligations necessary to provide for a debt service
A. 9932 15
reserve fund and to pay reasonable costs of issuance, are authorized to
be issued on behalf of the YJSC board pursuant to subdivisions (d) or
(e) of this section; provided, however, that bonds, notes and other
obligations issued to refund or advance refund previously issued bonds,
notes and other obligations under this act may exceed such aggregate
principal limitation; provided, further however, that any accretion of
principal of bonds, notes and other obligations issue pursuant to the
authority contained in this act that would constitute interest under the
Internal Revenue Code of 1986, as amended shall not count against such
aggregate principal limitation. Any bonds, notes or other obligations
issued by or on behalf of the YJSC board pursuant to this act, and the
income therefrom shall, to the maximum extent practicable, be exempt
from taxation.
(b) Notwithstanding the provisions of any other general, special, or
local law to the contrary, any bonds, notes or other obligations issued
to finance any project authorized and undertaken pursuant to this act,
including ancillary financing costs described in subdivision (a) of this
section, may be issued without regard to any debt limitation applicable
to the city or the city school district or any instrumentality thereof.
(c) Notwithstanding any general, special, or local law or ordinance to
the contrary, contracts entered into by the YJSC board for projects
undertaken pursuant to this act may be initially funded by the city from
any available monies or from the proceeds of city obligations issued in
anticipation of permanent financing from any source provided under the
act and the reimbursement to the city of any available monies so
advanced or the payment of obligations of the city issued in antic-
ipation of permanent financing (including permanent financing issued
through the city of Yonkers industrial development agency for such
purpose) is hereby specifically authorized.
(d) Notwithstanding any limitations contained in article 18-A of the
general municipal law, including subdivisions (4) and (12) of section
854 of the general municipal law, a project undertaken pursuant to this
section shall be a "project" within the definition and for the purposes
of subdivision (4) of section 854 of the general municipal law, which
may be financed, owned, or leased by the city of Yonkers industrial
development agency or any successor agency thereto and the city of Yonk-
ers industrial development agency is expressly authorized to refinance
obligations issued by the city in anticipation of financing authorized
by this act and/or reimburse the city for monies advanced by the city
for projects undertaken pursuant to this act. In connection with the
city of Yonkers industrial development agency financing of the costs of
any project undertaken pursuant to this act, the city and the city
school district may grant a leasehold or license interest in the land
and or building constituting such project to the city of Yonkers indus-
trial development agency and may enter into installment purchase
contracts to facilitate such financing.
(e) Projects undertaken pursuant to this act may be financed through a
special program agreement with the state of New York municipal bond bank
agency pursuant to the provisions of section 2435-a of the public
authorities law. It shall be the duty of the YJSC board to compare the
financing available for such projects through the city of Yonkers indus-
trial development agency with financing available through the state of
New York municipal bond bank agency, and to employ the financing mech-
anism that will result in the lowest cost to the taxpayers of the city
and the state calculated on a net interest cost basis. It shall be the
duty of the YJSC board and the city of Yonkers industrial development
A. 9932 16
agency to share with the state of New York municipal bond bank agency
any information in their possession that is required by the state of New
York municipal bond bank agency to determine the cost of financing such
projects and to compute the interest rate that would have been applica-
ble to a bond issuance by the state of New York municipal bond bank
agency in the event that financing is obtained through the city of Yonk-
ers industrial development agency or any alternative funding conduit.
Any failure to provide such information within thirty days of receipt of
a request from the state of New York municipal bond bank agency shall be
deemed to be a failure of the board to submit the data needed to compute
the apportionment of state building aid, and the commissioner shall
withhold such apportionment until such information is fully submitted.
Upon request of the YJSC board, the director of the state of New York
municipal bond bank agency shall submit such reports as the commissioner
may require on the financing of such projects and/or the interest rate
that would have been applicable to such projects if they had been
financed through such agency.
(f) Notwithstanding any other provision of any general, special, or
local law or provision of this act to the contrary, any project under-
taken pursuant to this act shall be operated and maintained by the board
of education of the city school district in the same manner as existing
school buildings owned by the city are operated and maintained by such
board.
S 17. Exemption from bond issuance charge. Any notes, bonds, or other
obligations issued to finance projects authorized pursuant to this act
shall be exempt from the collection of any bond issuance charge under
subdivision 2 of section 2976 of the public authorities law.
S 18. Security for bonds, notes and other obligations; remedies. In
the event that the city or city school district shall fail to make a
payment in such amount and by such date as is provided to be made by
such city or city school district under agreements entered into with the
city of Yonkers industrial development agency or any successor agency
thereto, such entity shall so certify to the state comptroller. Such
certificate shall be in such form as the state comptroller deems desira-
ble, but shall specify the amount by which such payment shall have been
deficient. The state comptroller, upon receipt of such certificate from
such entity, shall withhold such amount of state and/or school aid paya-
ble to such city or city school district to the extent of the amount so
stated in such certificate as not having been made, and shall immediate-
ly pay over to each financial institution acting as trustee on behalf of
bondholders of the Yonkers industrial development agency or any succes-
sor agency thereto, the amount so withheld by the state comptroller. Any
amount so paid to bondholders from such state and/or school aid shall
not obligate the state to make, nor entitle the city or the city school
district to receive, any additional amounts of state and/or school aid.
Nothing contained in this section shall be deemed to prevent the state
from modifying, reducing or eliminating any program or programs of state
and/or school aid; nor shall the state be obligated by the terms hereof
to maintain state and/or school aid at any particular level or amount.
S 19. Actions against the YJSC board. (a) Except in an action for
wrongful death, no action or proceeding shall be prosecuted or main-
tained against the YJSC board for personal injury or damage to real or
personal property alleged to have been sustained by reason of the negli-
gence or wrongful act of the YJSC board or of any director, officer,
agent or employee thereof, unless:
A. 9932 17
(1) it shall appear by and as an allegation in the complaint or moving
papers that a notice of claim shall have been made and served upon the
YJSC board, the city and the city school district, within the time limit
prescribed by and in compliance with section 50-e of the general munici-
pal law;
(2) it shall appear by and as an allegation in the complaint or moving
papers that at least thirty days have elapsed since the service of such
notice and that adjustment or payment thereof has been neglected or
refused; and
(3) the action or proceeding shall be commenced within one year after
the happening of the event upon which the claim is based.
(b) An action against the YJSC board for wrongful death shall be
commenced in accordance with the notice of claim and time limitation
provisions of section 217-a of the civil practice law and rules.
(c) The venue of every action, suit or special proceeding brought
against the YJSC board shall be the supreme court in the county of West-
chester.
(d) Neither any director of the YJSC board nor any officer, employee,
or agent of the YJSC board, while acting within the scope of his or her
authority, shall be subject to any liability resulting from exercising
or carrying out any of the powers given in this act.
S 20. Progress reports. On June 30, 2017 and annually thereafter,
until completion of the projects in a total aggregate maximum amount of
$523,000,000, plus such additional amount of bonds, notes and other
obligations necessary to provide for a debt service reserve fund and to
pay reasonable costs of issuance, authorized pursuant to this act, the
YJSC board shall issue a report to the governor, the comptroller, the
commissioner, the temporary president of the senate, the speaker of the
assembly, the city mayor, the city council and the city school district
on the progress and status of the projects undertaken by the YJSC board.
Provided further, that if any such entities request information on the
progress and status of the projects prior to such report, it shall be
provided to such entities by the YJSC board. In addition, on or before
June 30, 2019, the YJSC board shall issue a report to the city mayor,
the city school district, the governor, the commissioner, the comp-
troller, the temporary president of the senate, the minority leader of
the senate, the speaker of the assembly, the minority leader of the
assembly, the state board of regents, and the chairs and ranking minori-
ty members of the New York state senate and assembly committees on
education, the finance committee of the New York state senate, the ways
and means committee of the New York state assembly and the division of
the budget. Such report shall identify the fiscal and pedagogical
results of the projects undertaken pursuant to this act, along with
recommendations for its continuance to a phase two, amendments, or
discontinuance.
S 21. Clause (a) of subparagraph 5 of paragraph e of subdivision 6 of
section 3602 of the education law is amended by adding a new item (v) to
read as follows:
(V) NOTWITHSTANDING THE PROVISIONS OF ITEM (I) OF THIS CLAUSE, WHERE
SUCH CITY OR CITY SCHOOL DISTRICT HAS ENTERED INTO AN AGREEMENT WITH THE
STATE OF NEW YORK MUNICIPAL BOND BANK AGENCY PURSUANT TO SUBDIVISION ONE
OF SECTION TWENTY FOUR HUNDRED THIRTY-FIVE-A OF THE PUBLIC AUTHORITIES
LAW AND SECTION SIXTEEN OF THE YONKERS CITY SCHOOL DISTRICT JOINT
SCHOOLS CONSTRUCTION AND MODERNIZATION ACT, OR AN AGREEMENT WITH THE
CITY OF YONKERS INDUSTRIAL DEVELOPMENT AGENCY OR AN ALTERNATIVE FUNDING
CONDUIT ENTITY FOR PROJECTS AUTHORIZED PURSUANT TO THE YONKERS CITY
A. 9932 18
SCHOOL DISTRICT JOINT SCHOOLS CONSTRUCTION AND MODERNIZATION ACT, TO
FINANCE DEBT RELATED TO SCHOOL REHABILITATION OR RECONSTRUCTION OF
SCHOOL BUILDINGS OR CONSTRUCTION OF NEW SCHOOL BUILDINGS THAT IS SUBJECT
TO SUBPARAGRAPH THREE OF THIS PARAGRAPH, THE LESSER OF: (A) THE NET
INTEREST COST, AS DEFINED BY THE COMMISSIONER, APPLICABLE TO THE OBLI-
GATIONS ISSUED BY THE STATE OF NEW YORK MUNICIPAL BOND BANK AGENCY OR
THE CITY OF YONKERS INDUSTRIAL DEVELOPMENT AGENCY FOR SUCH PURPOSE; OR
(B) SUCH NET INTEREST COST, AS DEFINED BY THE COMMISSIONER, THAT WOULD
HAVE BEEN APPLICABLE TO BONDS ISSUED BY THE STATE OF NEW YORK MUNICIPAL
BOND BANK AGENCY IF THE PROJECT HAD BEEN AUTHORIZED TO BE FINANCED AND
HAD BEEN FINANCED THROUGH SUCH ENTITY, AS CERTIFIED TO THE COMMISSIONER
BY THE EXECUTIVE DIRECTOR OF THE STATE OF NEW YORK MUNICIPAL BOND BANK
AGENCY, SHALL BE THE INTEREST RATE ESTABLISHED FOR SUCH CITY APPLICABLE
TO SUCH DEBT.
S 22. The opening paragraph of subdivision 6 of section 3602 of the
education law, as amended by chapter 416 of the laws of 2007, is amended
to read as follows:
Apportionment for capital outlays and debt service for school building
purposes. Any apportionment to a school district pursuant to this subdi-
vision shall be based upon base year approved expenditures for capital
outlays incurred prior to July first, two thousand one from its general
fund, capital fund or reserved funds and current year approved expendi-
tures for debt service, including debt service for refunding bond issues
eligible for an apportionment pursuant to paragraph g of this subdivi-
sion and lease or other annual payments to the New York city educational
construction fund created by article ten of this chapter or the city of
Yonkers educational construction fund created by article ten-B of this
chapter which have been pledged to secure the payment of bonds, notes or
other obligations issued by the fund to finance the construction, acqui-
sition, reconstruction, rehabilitation or improvement of the school
portion of combined occupancy structures, or for lease or other annual
payments to the New York state urban development corporation created by
chapter one hundred seventy-four of the laws of nineteen hundred sixty-
eight, pursuant to agreement between such school district and such
corporation relating to the construction, acquisition, reconstruction,
rehabilitation or improvement of any school building, or for annual
payments to the dormitory authority pursuant to any lease, sublease or
other agreement relating to the financing, refinancing, acquisition,
design, construction, reconstruction, rehabilitation, improvement,
furnishing and equipping of, or otherwise provide for school district
capital facilities or school district capital equipment made under the
provisions of section sixteen hundred eighty of the public authorities
law, or for annual payments pursuant to any lease, sublease or other
agreement relating to the financing, refinancing, acquisition, design,
construction, reconstruction, rehabilitation, improvement, furnishing
and equipping of, or otherwise providing for educational facilities of a
city school district under the provisions of section sixteen of chapter
six hundred five of the laws of two thousand, or for payments, pursuant
to any assignment authorized by section twenty-seven hundred ninety-
nine-tt of the public authorities law, of debt service in furtherance of
funding the five-year educational facilities capital plan of the city of
New York school district or related debt service costs and expenses as
set forth in such section, for annual payments pursuant to any lease,
sublease or other agreement relating to the financing, refinancing,
design, reconstruction, rehabilitation, improvement, furnishing and
equipping of, or otherwise providing for projects authorized pursuant to
A. 9932 19
the city of Syracuse and the board of education of the city school
district of the city of Syracuse cooperative school reconstruction act,
for annual payments pursuant to any lease, sublease or other agreement
relating to the financing, refinancing, design, reconstruction, rehabil-
itation, improvement, furnishing and equipping of, or otherwise provid-
ing for projects authorized pursuant to the city of Rochester and the
board of education of the city school district of the city of Rochester
school facilities modernization program act, FOR ANNUAL PAYMENTS PURSU-
ANT TO ANY LEASE, SUBLEASE OR OTHER AGREEMENT RELATING TO THE FINANCING,
REFINANCING, DESIGN, CONSTRUCTION, RECONSTRUCTION, REHABILITATION,
IMPROVEMENT, FURNISHING AND EQUIPPING OF, OR OTHERWISE PROVIDING FOR
PROJECTS AUTHORIZED PURSUANT TO THE YONKERS CITY SCHOOL DISTRICT FACILI-
TIES MODERNIZATION PROGRAM ACT, or for lease, lease-purchase or other
annual payments to another school district or person, partnership or
corporation pursuant to an agreement made under the provisions of
section four hundred three-b, subdivision eight of section twenty-five
hundred three, or subdivision six of section twenty-five hundred fifty-
four of this chapter, provided that the apportionment for such lease or
other annual payments under the provisions of section four hundred
three-b, subdivision eight of section twenty-five hundred three, or
subdivision six of section twenty-five hundred fifty-four of this chap-
ter, other than payments under a lease-purchase agreement or an equiv-
alent agreement, shall be based upon approved expenditures in the
current year. Approved expenditures for capital outlays from a school
district's general fund, capital fund or reserved funds that are
incurred on or after July first, two thousand two, and are not aidable
pursuant to subdivision six-f of this section, shall be aidable as debt
service under an assumed amortization established pursuant to paragraphs
e and j of this subdivision. In any such case approved expenditures
shall be only for new construction, reconstruction, purchase of existing
structures, for site purchase and improvement, for new garages, for
original equipment, furnishings, machinery, or apparatus, and for
professional fees and other costs incidental to such construction or
reconstruction, or purchase of existing structures. In the case of a
lease or lease-purchase agreement entered pursuant to section four
hundred three-b, subdivision eight of section twenty-five hundred three
or subdivision six of section twenty-five hundred fifty-four of this
chapter, approved expenditures for the lease or other annual payments
shall not include the costs of heat, electricity, water or other utili-
ties or the costs of operation or maintenance of the leased facility. An
apportionment shall be available pursuant to this subdivision for
construction, reconstruction, rehabilitation or improvement in a build-
ing, or portion thereof, being leased by a school district only if the
lease is for a term of at least ten years subsequent to the date of the
general construction contract for such construction, reconstruction,
rehabilitation or improvement. Each school district shall prepare a five
year capital facilities plan, pursuant to regulations developed by the
commissioner for such purpose, provided that in the case of a city
school district in a city having a population of one million inhabitants
or more, such facilities plan shall comply with the provisions of
section twenty-five hundred ninety-p of this chapter and this subdivi-
sion. Such plan shall include, but not be limited to, a building inven-
tory, and estimated expense of facility needs, for new construction,
additions, alterations, reconstruction, major repairs, energy consump-
tion and maintenance by school building, as appropriate. Such five year
plan shall include a priority ranking of projects and shall be amended
A. 9932 20
if necessary to reflect subsequent on-site evaluations of facilities
conducted by state supported contractors.
S 23. Subdivision 12 of section 2432 of the public authorities law, as
amended by section 21 of part A4 of chapter 58 of the laws of 2006, is
amended to read as follows:
(12) "Special Program Municipality". Any city having a population of
less than one million but more than three hundred fifty thousand; and
any city having a population of less than two hundred fifty thousand but
more than two hundred thousand, determined according to the federal
decennial census of nineteen hundred eighty. Such term shall also
include the city of Syracuse solely for the purpose of the city of Syra-
cuse and the board of education of the city school district of the city
of Syracuse cooperative school reconstruction act AND THE CITY OF YONK-
ERS SOLELY FOR THE PURPOSE OF THE YONKERS CITY SCHOOL DISTRICT JOINT
SCHOOLS CONSTRUCTION AND MODERNIZATION ACT.
S 24. Subdivision 1 of section 2435-a of the public authorities law,
as amended by section 22 of part A4 of chapter 58 of the laws of 2006,
is amended to read as follows:
(1) In order to fulfill the purposes of this title and to provide a
means by which the special program municipalities may (a) receive moneys
to refund certain property taxes determined to be in excess of state
constitutional tax limits or to reimburse the special program munici-
palities for the prior refunding of such taxes or (b) receive moneys to
be applied to the cost of settling litigation involving the city school
districts of special program municipalities and the teachers' unions in
such special program municipalities, or (c) receive moneys for the
financing of public improvements to be applied to the cost of the recon-
struction, rehabilitation or renovation of an educational facility
pursuant to the provisions of subdivision (b) of section sixteen of
chapter six hundred five of the laws of two thousand, or (d) receive
moneys for the financing of public improvements to be applied to the
cost of a project for design, reconstruction or rehabilitation of a
school building pursuant to the provisions of section fourteen of the
city of Syracuse and the board of education of the city school district
of the city of Syracuse cooperative school reconstruction act, OR (E)
RECEIVE MONEYS FOR THE FINANCING OF PUBLIC IMPROVEMENTS TO BE APPLIED TO
THE COST OF A PROJECT FOR DESIGN, RECONSTRUCTION OR REHABILITATION OF A
SCHOOL BUILDING, OR THE CONSTRUCTION OF A NEW SCHOOL BUILDING, PURSUANT
TO THE PROVISIONS OF SECTION TWELVE OF THE YONKERS CITY SCHOOL DISTRICT
JOINT SCHOOLS CONSTRUCTION AND MODERNIZATION ACT, and notwithstanding
any general or special law to the contrary, the agency and each special
program municipality are hereby authorized to enter into one or more
special program agreements, which special program agreements shall,
consistent with the provisions of this title, contain such terms,
provisions and conditions as, in the judgment of the agency, shall be
necessary or desirable. Each special program agreement shall specify the
amount to be made available to the respective special program munici-
pality from the proceeds of an issue of special program bonds and shall
require such special program municipality, subject to appropriation by
the appropriate legislative body of such special program municipality,
to make payments to the agency in the amounts and at the times deter-
mined by the agency to be necessary to provide for payment of such issue
of special program bonds and such other fees, charges, costs and other
amounts as the agency shall in its judgment determine to be necessary or
desirable.
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S 25. Subdivision 4 of section 2436 of the public authorities law, as
amended by section 23 of part A4 of chapter 58 of the laws of 2006, is
amended to read as follows:
4. In the event that a special program municipality shall fail to make
a payment in such amount (as calculated in accordance with the special
program agreement to which such municipality shall be a party) and by
such date as is provided to be made by such municipality in its special
program agreement, the chairman of the agency shall so certify to the
comptroller. Such certificate shall be in such form as the agency deems
desirable, but shall specify the amount by which such payment shall have
been deficient. The comptroller, upon receipt of such certificate from
the agency, shall withhold from such special program municipality any
state aid payable to such municipality to the extent of the amount so
stated in such certificate as not having been made, and shall immediate-
ly pay over to the agency the amount so withheld; provided, however,
that in the case of a special program agreement entered into for the
purpose described in paragraph (b) or (c) or (d) OR (E) of subdivision
one of section twenty-four hundred thirty-five-a of this title, the
comptroller shall be authorized to withhold from the special program
municipality such school aid as is payable to the city school district
of the special program municipality, to the extent of the amount so
stated in such certificate as not having been made, and shall immediate-
ly pay over to the agency the amount so withheld. Any amount so paid to
the agency from such state and/or school aid shall not obligate the
state to make, nor entitle the special program municipality to receive,
any additional amounts of state and/or school aid. Nothing contained
therein shall be deemed to prevent the state from modifying, reducing or
eliminating any program or programs of state and/or school aid; nor
shall the state be obligated by the terms hereof to maintain state
and/or school aid at any particular level or amount.
S 26. Subdivision 1 of section 2438 of the public authorities law, as
amended by section 7 of part N of chapter 56 of the laws of 2010, is
amended to read as follows:
(1) The agency shall not issue bonds and notes in an aggregate princi-
pal amount at any one time outstanding exceeding one billion dollars,
excluding tax lien collateralized securities, special school purpose
bonds, special school deficit program bonds, special program bonds
issued to finance the reconstruction, rehabilitation or renovation of an
educational facility pursuant to the provisions of subdivision (b) of
section sixteen of chapter six hundred five of the laws of two thousand,
special program bonds issued to finance the cost of a project for
design, reconstruction or rehabilitation of a school building pursuant
to the provisions of section fourteen of the city of Syracuse and the
board of education of the city school district of the city of Syracuse
cooperative school reconstruction act, SPECIAL PROGRAM BONDS ISSUED TO
FINANCE THE COST OF A PROJECT FOR DESIGN, CONSTRUCTION, RECONSTRUCTION
OR REHABILITATION OF A SCHOOL BUILDING PURSUANT TO THE PROVISIONS OF
SECTION THIRTEEN OF THE YONKERS CITY SCHOOL DISTRICT JOINT SCHOOLS
CONSTRUCTION AND MODERNIZATION ACT, recovery act bonds, public safety
communications bonds and bonds and notes issued to refund outstanding
bonds and notes.
S 27. Effect of inconsistent provisions. Insofar as the provisions of
this act are inconsistent with the provisions of any other law, general,
special, or local, or of the city charter or an ordinance or resolution
of the city council or the board of education of the city school
district, or any rule or regulation, the provisions of this act shall be
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controlling, provided that nothing contained in this act shall be held
to supplement or otherwise expand the powers or duties of the city or
the city school district except as specified in this act.
S 28. Severability; construction. 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
application 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 29. This act shall take effect immediately.