S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   2323
 
                        2017-2018 Regular Sessions
 
                             I N  S E N A T E
 
                             January 13, 2017
                                ___________
 
 Introduced by Sens. GRIFFO, AKSHAR, CROCI, DeFRANCISCO, FUNKE, GALLIVAN,
   HANNON,   LATIMER,   MARCHIONE,  MURPHY,  O'MARA,  ORTT,  RANZENHOFER,
   RITCHIE, ROBACH, SERINO, SEWARD -- read twice and ordered printed, and
   when printed to be committed to the Committee on Local Government
 
 AN ACT to amend the general municipal law  and  the  education  law,  in
   relation to prohibiting the establishment of certain programs mandated
   for  municipal  corporations and school districts unless such programs
   are fully funded by the state
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.    The  general  municipal  law is amended by adding a new
 section 25 to read as follows:
   § 25. FUNDING OF MANDATES. 1. DEFINITIONS. AS USED  IN  THIS  SECTION,
 THE FOLLOWING TERMS SHALL HAVE THE FOLLOWING MEANINGS UNLESS THE CONTEXT
 SHALL OTHERWISE REQUIRE:
   (A) "MANDATE" MEANS:
   (I)  ANY STATE LAW, RULE OR REGULATION WHICH ESTABLISHES A NEW PROGRAM
 OR REQUIRES A HIGHER LEVEL OF SERVICE FOR AN EXISTING  PROGRAM  WHICH  A
 MUNICIPAL CORPORATION IS REQUIRED TO PROVIDE; OR
   (II)  ANY  PROVISION  OF  GENERAL  LAW WHICH GRANTS A NEW PROPERTY TAX
 EXEMPTION OR ABATEMENT OR INCREASES AN EXISTING PROPERTY  TAX  EXEMPTION
 OR ABATEMENT WHICH A MUNICIPAL CORPORATION IS REQUIRED TO PROVIDE.
   (B) "UNFUNDED MANDATE" SHALL MEAN:
   (I)  ANY STATE LAW, RULE OR REGULATION WHICH ESTABLISHES A NEW PROGRAM
 OR REQUIRES A HIGHER LEVEL OF SERVICE FOR AN EXISTING  PROGRAM  WHICH  A
 MUNICIPAL CORPORATION IS REQUIRED TO PROVIDE, AND WHICH RESULTS IN A NET
 ADDITIONAL COST TO SUCH MUNICIPAL CORPORATION;
   (II) ANY ALTERATION IN FUNDING PROVIDED TO A MUNICIPAL CORPORATION FOR
 THE  PURPOSE OF DEFRAYING THE COSTS OF A PROGRAM WHICH IT IS REQUIRED TO
 PROVIDE, THEREBY RESULTING IN A NET ADDITIONAL COST  TO  SUCH  MUNICIPAL
 CORPORATION; OR
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD01969-01-7

 S. 2323                             2
 
   (III)  ANY  PROVISION  OF  GENERAL LAW WHICH GRANTS A NEW PROPERTY TAX
 EXEMPTION OR ABATEMENT OR INCREASES AN EXISTING PROPERTY  TAX  EXEMPTION
 OR  ABATEMENT  WHICH  ANY  MUNICIPAL CORPORATION IS REQUIRED TO PROVIDE,
 THEREBY RESULTING IN A NET ADDITIONAL  COST  TO  SUCH  MUNICIPAL  CORPO-
 RATION.
   (C)  "NET  ADDITIONAL COST" MEANS THE INCREASED COST OR COSTS INCURRED
 OR ANTICIPATED TO BE INCURRED WITHIN A ONE YEAR PERIOD  BY  A  MUNICIPAL
 CORPORATION  IN  PERFORMING OR ADMINISTERING A MANDATE AFTER SUBTRACTING
 THEREFROM ANY REVENUES RECEIVED OR RECEIVABLE BY SUCH  MUNICIPAL  CORPO-
 RATION  ON ACCOUNT OF THE MANDATED PROGRAM OR SERVICE, INCLUDING BUT NOT
 LIMITED TO:
   (I) FEES CHARGED TO THE RECIPIENTS OF THE MANDATED PROGRAM OR SERVICE;
   (II) STATE OR  FEDERAL  AID  PAID  SPECIFICALLY  OR  CATEGORICALLY  IN
 CONNECTION WITH THE PROGRAM OR SERVICE; AND
   (III)  AN  OFFSETTING  SAVINGS RESULTING FROM THE DIMINUTION OR ELIMI-
 NATION OF ANY OTHER PROGRAM OR  SERVICE  DIRECTLY  ATTRIBUTABLE  TO  THE
 PERFORMANCE OR ADMINISTRATION OF THE MANDATED PROGRAM.
   2.  FUNDING  OF  MUNICIPAL  CORPORATION  MANDATES. NOTWITHSTANDING ANY
 OTHER PROVISION OF LAW TO THE CONTRARY, NO  UNFUNDED  MANDATE  SHALL  BE
 ENACTED  WHICH  CREATES  AN  INCREASED ANNUAL NET ADDITIONAL COST TO ANY
 MUNICIPAL CORPORATION.  EACH MANDATE WHICH IMPOSES A NET ADDITIONAL COST
 UPON A MUNICIPAL CORPORATION SHALL PROVIDE FOR COMPENSATION  OR  FUNDING
 BY  THE  STATE OF THE FULL AMOUNT OF THE NET ADDITIONAL COST THEREOF. IN
 THE EVENT SUCH COMPENSATION OR FUNDING  IS  NOT  PROVIDED,  THE  MANDATE
 SHALL BE VOID.
   3.  EXEMPTIONS  TO  THE  FUNDING  OF  MUNICIPAL  CORPORATION  MANDATES
 REQUIREMENT. (A) THE STATE SHALL NOT BE REQUIRED TO FUND ANY MANDATE IF:
   (I) THE MANDATE IS REQUIRED BY A COURT ORDER OR JUDGMENT;
   (II) THE MANDATE IS PROVIDED AT THE OPTION  OF  THE  LOCAL  GOVERNMENT
 UNDER  A  LAW,  REGULATION, RULE OR ORDER THAT IS PERMISSIVE RATHER THAN
 MANDATORY;
   (III) THE MANDATE RESULTS FROM THE ENACTMENT OF LEGISLATION  REQUESTED
 BY THE MUNICIPAL CORPORATION IN A HOME RULE MESSAGE REQUESTING AUTHORITY
 TO  IMPLEMENT  THE  PROGRAM OR SERVICE SPECIFIED IN THE STATUTE, AND THE
 STATUTE  IMPOSES  COSTS  ONLY  UPON  THAT  MUNICIPAL  CORPORATION  WHICH
 REQUESTS THE AUTHORITY TO IMPLEMENT THE PROGRAM OR SERVICE;
   (IV) THE MANDATE IS REQUIRED BY, OR ARISES FROM, AN EXECUTIVE ORDER OF
 THE GOVERNOR EXERCISING HIS OR HER EMERGENCY POWERS; OR
   (V)  THE MANDATE IS REQUIRED BY STATUTE OR EXECUTIVE ORDER THAT IMPLE-
 MENTS A FEDERAL LAW OR REGULATION AND RESULTS FROM COSTS MANDATED BY THE
 FEDERAL GOVERNMENT TO BE BORNE AT THE LOCAL LEVEL, UNLESS THE STATUTE OR
 EXECUTIVE ORDER RESULTS IN COSTS WHICH EXCEED THE COSTS MANDATED BY  THE
 FEDERAL GOVERNMENT.
   (B)  EVERY  STATUTE,  RULE  OR REGULATION ESTABLISHING A MANDATE SHALL
 PROVIDE THAT THE EFFECTIVE DATE OF ANY SUCH MANDATE IMPOSED ON MUNICIPAL
 CORPORATIONS SHALL BE CONSISTENT WITH THE NEEDS OF THE STATE AND MUNICI-
 PAL CORPORATIONS TO PLAN IMPLEMENTATION THEREOF AND BE  CONSISTENT  WITH
 THE AVAILABILITY OF REQUIRED FUNDS.
   §  2.  The  education law is amended by adding a new section 1527-a to
 read as follows:
   § 1527-A. FUNDING OF MANDATES IMPOSED ON SCHOOL DISTRICTS. 1.    DEFI-
 NITIONS.  AS  USED  IN  THIS SECTION, THE FOLLOWING TERMS SHALL HAVE THE
 FOLLOWING MEANINGS UNLESS THE CONTEXT SHALL OTHERWISE REQUIRE:
   (A) "MANDATE" MEANS:

 S. 2323                             3
 
   (I) ANY STATE LAW, RULE OR REGULATION WHICH ESTABLISHES A NEW  PROGRAM
 OR  REQUIRES  A  HIGHER LEVEL OF SERVICE FOR AN EXISTING PROGRAM WHICH A
 SCHOOL DISTRICT IS REQUIRED TO PROVIDE; OR
   (II)  ANY  PROVISION  OF  GENERAL  LAW WHICH GRANTS A NEW PROPERTY TAX
 EXEMPTION OR ABATEMENT OR INCREASES AN EXISTING PROPERTY  TAX  EXEMPTION
 OR ABATEMENT WHICH A SCHOOL DISTRICT IS REQUIRED TO PROVIDE.
   (B) "UNFUNDED MANDATE" SHALL MEAN:
   (I)  ANY STATE LAW, RULE OR REGULATION WHICH ESTABLISHES A NEW PROGRAM
 OR REQUIRES A HIGHER LEVEL OF SERVICE FOR AN EXISTING  PROGRAM  WHICH  A
 SCHOOL  DISTRICT IS REQUIRED TO PROVIDE AND WHICH RESULTS IN A NET ADDI-
 TIONAL COST TO SUCH SCHOOL DISTRICT;
   (II) ANY ALTERATION IN FUNDING PROVIDED TO A SCHOOL DISTRICT  FOR  THE
 PURPOSE  OF  DEFRAYING  THE  COSTS  OF A PROGRAM WHICH IT IS REQUIRED TO
 PROVIDE, THEREBY RESULTING IN A  NET  ADDITIONAL  COST  TO  SUCH  SCHOOL
 DISTRICT; OR
   (III)  ANY  PROVISION  OF  GENERAL LAW WHICH GRANTS A NEW PROPERTY TAX
 EXEMPTION OR ABATEMENT OR INCREASES AN EXISTING PROPERTY  TAX  EXEMPTION
 OR  ABATEMENT  WHICH  A  SCHOOL DISTRICT IS REQUIRED TO PROVIDE, THEREBY
 RESULTING IN A NET ADDITIONAL COST TO SUCH SCHOOL DISTRICT.
   (C) "NET ADDITIONAL COST" MEANS THE INCREASED COST OR  COSTS  INCURRED
 OR  ANTICIPATED  TO  BE  INCURRED  WITHIN  A ONE YEAR PERIOD BY A SCHOOL
 DISTRICT IN PERFORMING OR  ADMINISTERING  A  MANDATE  AFTER  SUBTRACTING
 THEREFROM ANY REVENUES RECEIVED OR RECEIVABLE BY SUCH SCHOOL DISTRICT ON
 ACCOUNT  OF  THE  MANDATED PROGRAM OR SERVICE, INCLUDING BUT NOT LIMITED
 TO:
   (I) FEES CHARGED TO THE RECIPIENTS OF THE MANDATED PROGRAM OR SERVICE;
   (II) STATE OR  FEDERAL  AID  PAID  SPECIFICALLY  OR  CATEGORICALLY  IN
 CONNECTION WITH THE PROGRAM OR SERVICE; AND
   (III)  AN  OFFSETTING  SAVINGS RESULTING FROM THE DIMINUTION OR ELIMI-
 NATION OF ANY OTHER PROGRAM OR  SERVICE  DIRECTLY  ATTRIBUTABLE  TO  THE
 PERFORMANCE OR ADMINISTRATION OF THE MANDATED PROGRAM.
   2.  FUNDING  OF  SCHOOL  DISTRICT  MANDATES. NOTWITHSTANDING ANY OTHER
 PROVISION OF LAW TO THE CONTRARY, NO UNFUNDED MANDATE SHALL  BE  ENACTED
 WHICH  CREATES  A  NET  ADDITIONAL  COST  TO ANY SCHOOL DISTRICT.   EACH
 MANDATE WHICH IMPOSES A NET ADDITIONAL COST UPON A SCHOOL DISTRICT SHALL
 PROVIDE FOR COMPENSATION OR FUNDING BY THE STATE OF THE FULL  AMOUNT  OF
 THE  NET  ADDITIONAL  COSTS  THEREOF.  IN THE EVENT SUCH COMPENSATION OR
 FUNDING IS NOT PROVIDED, THE MANDATE SHALL BE VOID.
   3. EXEMPTIONS TO THE FUNDING OF SCHOOL DISTRICT MANDATES  REQUIREMENT.
 (A)  THE  STATE  SHALL  NOT  BE  REQUIRED TO FUND ANY MANDATE FOR SCHOOL
 DISTRICTS IF:
   (I) THE MANDATE IS REQUIRED BY A COURT ORDER OR JUDGMENT;
   (II) THE MANDATE IS PROVIDED AT THE  OPTION  OF  THE  SCHOOL  DISTRICT
 UNDER  A  LAW,  REGULATION, RULE OR ORDER THAT IS PERMISSIVE RATHER THAN
 MANDATORY;
   (III) THE MANDATE RESULTS FROM THE ENACTMENT OF LEGISLATION  REQUESTED
 BY  THE  SCHOOL  DISTRICT IN A HOME RULE MESSAGE REQUESTING AUTHORITY TO
 IMPLEMENT THE PROGRAM OR SERVICE SPECIFIED IN THE STATUTE, AND THE STAT-
 UTE IMPOSES COSTS ONLY UPON THAT  SCHOOL  DISTRICT  WHICH  REQUESTS  THE
 AUTHORITY TO IMPLEMENT THE PROGRAM OR SERVICE;
   (IV) THE MANDATE IS REQUIRED BY, OR ARISES FROM, AN EXECUTIVE ORDER OF
 THE GOVERNOR EXERCISING HIS OR HER EMERGENCY POWERS; OR
   (V)  THE MANDATE IS REQUIRED BY STATUTE OR EXECUTIVE ORDER THAT IMPLE-
 MENTS A FEDERAL LAW OR REGULATION AND RESULTS FROM COSTS MANDATED BY THE
 FEDERAL GOVERNMENT TO BE BORNE AT THE LOCAL LEVEL, UNLESS THE STATUTE OR

 S. 2323                             4
 
 EXECUTIVE ORDER RESULTS IN COSTS WHICH EXCEED THE COSTS MANDATED BY  THE
 FEDERAL GOVERNMENT.
   (B)  EVERY  STATUTE,  RULE  OR REGULATION ESTABLISHING A MANDATE SHALL
 PROVIDE THAT THE EFFECTIVE DATE OF ANY SUCH MANDATE  IMPOSED  ON  SCHOOL
 DISTRICTS  SHALL  BE  CONSISTENT  WITH THE NEEDS OF THE STATE AND SCHOOL
 DISTRICTS TO PLAN IMPLEMENTATION THEREOF, AND  BE  CONSISTENT  WITH  THE
 AVAILABILITY OF REQUIRED FUNDS.
   §  3.  This act shall take effect immediately and sections one and two
 of this act shall apply to mandates enacted on or after  such  effective
 date.