S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   2748
 
                        2023-2024 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             January 27, 2023
                                ___________
 
 Introduced  by  M. of A. ZEBROWSKI, DICKENS, STIRPE, COOK, SAYEGH, CRUZ,
   McDONOUGH, DeSTEFANO, NORRIS, MILLER -- read once and referred to  the
   Committee on Education
 
 AN  ACT  to  amend  the  general municipal law and the education law, in
   relation to the  repair  reserve  funds  for  municipal  corporations,
   school  districts, board of cooperative educational services, district
   corporations and improvement districts
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Section 6-d of the general municipal law, as added by chap-
 ter  383 of the laws of 1950, the section heading and subdivisions 5 and
 6 as amended by chapter 693 of  the  laws  of  1952,  subdivision  1  as
 amended  by chapter 828 of the laws of 1961, subdivision 2 as amended by
 chapter 740 of the laws of 1957, paragraph b of subdivision 3 and subdi-
 vision 4 as amended by chapter 140 of the laws of 1996 and subdivision 7
 as amended by chapter 424 of the laws of 2001, is  amended  to  read  as
 follows:
   §  6-d.  Repair  reserve  funds  for  municipal  corporations,  school
 districts, BOARD OF COOPERATIVE EDUCATIONAL  SERVICES,  district  corpo-
 rations and improvement districts. 1. The governing board of any munici-
 pal  corporation,  school  district,  BOARD  OF  COOPERATIVE EDUCATIONAL
 SERVICES, district corporation, or town or county improvement  district,
 may  establish a special fund which shall be known as the repair reserve
 fund of such municipal corporation, school district,  BOARD  OF  COOPER-
 ATIVE   EDUCATIONAL   SERVICES,   district  corporation  or  improvement
 district. There may be paid into such fund an amount as may be  provided
 therefor by budgetary appropriation or such revenues as are not required
 by law to be paid into any other fund or account.
   2. In cases of emergency, moneys in such fund may be expended pursuant
 to  a  resolution approved by not less than two-thirds of the members of
 the governing body of such municipal corporation, school district, BOARD
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD06875-01-3
              

 A. 2748                             2
 
 OF COOPERATIVE EDUCATIONAL SERVICES, district corporation or improvement
 district providing that not less than one-half of the moneys so expended
 shall be repaid in the fiscal year immediately following the fiscal year
 in  which such moneys were expended and the total amount shall be repaid
 not later than the last day of the second  fiscal  year  succeeding  the
 fiscal year in which the moneys were expended.
   Prior to the adoption of any other resolution, act, ordinance or local
 law  by  the  governing  board  of  such  municipal  corporation, school
 district, BOARD OF COOPERATIVE  EDUCATIONAL  SERVICES,  district  corpo-
 ration  or improvement district, appropriating money from such fund, the
 governing board shall cause to be published in the official newspaper or
 newspapers, if any, or otherwise in a newspaper or newspapers designated
 for such purpose, a notice stating in substance that it is  proposed  to
 appropriate  a  specified  amount  from  the  repair  reserve fund for a
 particular purpose, and that a public hearing on such proposed appropri-
 ation will be held at a time and place stated  therein.  At  least  five
 days  shall  elapse  between the publication of such notice and the date
 specified for the hearing. The hearing shall be held  at  the  time  and
 place so specified.
   3. Moneys in such fund may be appropriated only:
   a. For repairs of capital improvements or equipment, which repairs are
 of a type not recurring annually or at shorter intervals.
   b.  In  the case of a municipal corporation, to a capital reserve fund
 established pursuant to section six-c of this article or to a contingen-
 cy and tax stabilization reserve fund established  pursuant  to  section
 six-e of this article.
   c.  In  the  case of a fire district, to a capital reserve fund estab-
 lished pursuant to section six-g OF THIS ARTICLE.
   d. In the case of a school district, to  a  reserve  fund  established
 pursuant to section thirty-six hundred fifty-one of the education law.
   E.  IN  THE  CASE OF A BOARD OF COOPERATIVE EDUCATIONAL SERVICES, TO A
 CAPITAL REPAIR RESERVE FUND ESTABLISHED  PURSUANT  TO  SECTION  NINETEEN
 HUNDRED FIFTY OF THE EDUCATION LAW.
   4.  The  moneys  in  such  fund  shall be deposited and secured in the
 manner provided by section ten of this article. The moneys in such  fund
 so  deposited  shall  be accounted for separate and apart from all other
 funds of the municipal corporation, school district,  BOARD  OF  COOPER-
 ATIVE   EDUCATIONAL   SERVICES,   district  corporation  or  improvement
 district, in the same manner as provided in subdivision ten  of  section
 six-c  of  this article. The governing board or the chief fiscal officer
 of such municipal corporation, school  district,  BOARD  OF  COOPERATIVE
 EDUCATIONAL  SERVICES,  district corporation or improvement district, if
 the governing board shall delegate such duty  to  him,  may  invest  the
 moneys  in  such  fund  in the manner provided in section eleven of this
 article. Any interest earned or capital gains realized on the moneys  so
 deposited or invested shall accrue to and become part of such fund.
   5.  The  members of the governing board of such municipal corporation,
 school district, BOARD OF  COOPERATIVE  EDUCATIONAL  SERVICES,  district
 corporation or improvement district are hereby declared trustees of such
 fund and shall be subject to all the duties and responsibilities imposed
 by law on trustees, and such duties and responsibilities may be enforced
 by  such municipal corporation, school district, district corporation or
 improvement district, as the case may be, or by any  board,  commission,
 agency, officer or taxpayer thereof.
 A. 2748                             3
 
   6.  The  members of the governing board of such municipal corporation,
 school district, BOARD OF COOPERATIVE EDUCATIONAL SERVICES  or  district
 corporation shall be guilty of a misdemeanor if they:
   a.  Authorize  a  withdrawal  from a repair reserve fund for any other
 purpose except as provided in this section.
   b. Expend any money withdrawn from a repair reserve fund for a purpose
 other than that as provided in this section.
   7. Notwithstanding the foregoing provisions of this  section,  in  any
 town  which  is  located wholly or partly within the Adirondack park and
 has within its boundaries state lands subject to  taxation  assessed  at
 more  than  thirty per centum of the total taxable assessed valuation of
 town as determined from the assessment rolls of the  town  as  completed
 from  time  to  time,  or  in  any  district  corporation or improvement
 district situated in whole or in part in any such town, a repair reserve
 fund shall not be established unless the state comptroller, on behalf of
 the state, shall consent thereto, and  in  any  such  town  or  district
 corporation  or improvement district no appropriation shall be made from
 a repair reserve fund unless the state comptroller,  on  behalf  of  the
 state, shall consent thereto.
   8.  Moneys of a municipal corporation, school district, BOARD OF COOP-
 ERATIVE EDUCATIONAL SERVICES or district corporation  which,  upon  June
 thirtieth,  nineteen  hundred fifty, constitute a repair reserve fund of
 such municipal corporation, school district, BOARD OF COOPERATIVE EDUCA-
 TIONAL SERVICES or district corporation, shall continue to so constitute
 a special fund and be known as the repair reserve fund of such municipal
 corporation, school district, BOARD OF COOPERATIVE EDUCATIONAL  SERVICES
 or  district  corporation.  From  and  after such date, payments to, and
 appropriations from,  such  fund  shall  be  subject  to  the  foregoing
 provisions of this section.
   §  2. Subdivision 4 of section 1950 of the education law is amended by
 adding a new paragraph l to read as follows:
   L. (1) PURSUANT TO THE REQUIREMENTS SET FORTH IN SECTION SIX-D OF  THE
 GENERAL  MUNICIPAL  LAW,  ESTABLISH  A CAPITAL REPAIR RESERVE FUND. SUCH
 FUND SHALL BE USED EXCLUSIVELY TO MAKE EMERGENCY REPAIRS.
   (2) IN ADDITION TO THE REQUIREMENTS SET FORTH IN SECTION SIX-D OF  THE
 GENERAL  MUNICIPAL  LAW,  ANY  BOCES  THAT  ESTABLISHES A CAPITAL REPAIR
 RESERVE FUND SHALL PROVIDE THE FOLLOWING:
   (I) NOTIFICATION TO EACH COMPONENT DISTRICT WITHIN TEN DAYS THAT  SUCH
 EMERGENCY  REPAIR  WAS  REQUIRED  AND  WAS  COMPLETED, THE NATURE OF THE
 REPAIR AND THE AGGREGATE COST OF THE REPAIR, AND
   (II) PROVIDE AN ANNUAL REPORT BY DECEMBER THIRTY-FIRST OF EACH YEAR TO
 EACH COMPONENT DISTRICT AND THE COMMISSIONER OF EDUCATION REGARDING  ALL
 EMERGENCY  REPAIRS  THAT  WERE  COMPLETED DURING THE YEAR, THE AMOUNT OF
 FUNDS EXPENDED FOR SUCH PURPOSE, AND THE AMOUNT OF  FUNDS  REMAINING  IN
 THE REPAIR RESERVE FUND.
   § 3. This act shall take effect immediately.