NY State Senate Bill 2025-S1884

Senate Bill S1884

2025-2026 Legislative Session

Requires state agencies to expend funds no later than ninety days after receipt of a certificate of approval from the director of the budget

download bill text pdf

Current Bill Status - In Senate Committee Procurement And Contracts Committee

Introduced
- In Committee Assembly
- In Committee Senate
- On Floor Calendar Assembly
- On Floor Calendar Senate
- Passed Assembly
- Passed Senate
Delivered to Governor
Signed By Governor

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Actions

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	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Jan 14, 2025	referred to procurement and contracts

2025-S1884 (ACTIVE) - Details

Current Committee:: Senate Procurement And Contracts
Law Section:: State Finance Law
Laws Affected:: Amd §§179-ee & 179-y, St Fin L
Versions Introduced in 2023-2024 Legislative Session:: S5710

2025-S1884 (ACTIVE) - Summary

Requires state agencies to expend funds no later than ninety days after receipt of a certificate of approval from the director of the budget; reduces the budget of an agency that violates such requirement for the upcoming fiscal year by 1% of the amount of the late award.

2025-S1884 (ACTIVE) - Sponsor Memo

                                 
BILL NUMBER: S1884

SPONSOR: WALCZYK
 
TITLE OF BILL:

An act to amend the state finance law, in relation to requiring state
agencies to expend funds no later than ninety days after receipt of a
certificate of approval from the director of the budget

 
PURPOSE OR GENERAL IDEA OF BILL:

This bill will require state agencies to pay grants and other monies
awarded in a timely manner. If they do not, the agency will be forced to
forfeit some part of their budget the following fiscal year.

 
SUMMARY OF PROVISIONS:

Section 1: Amends the state finance law, section 179-ee, to include
terms about paying grants and other awarded amounts in a timely fashion

Section 2: Amends section 179-y of the state finance law to include a
section regarding how the reduction amount for each agency shall be

reported to lawmakers and the Governor.

Section 3: Sets the effective date.

 
JUSTIFICATION:

Many New Yorkers have voiced frustrations about the time it takes to
receive money for state grants. Local governments often wait weeks or
months before getting reimbursement for their investments. This is prob-
lematic in small towns, villages, and counties that cannot wait endless-
ly for state funds. This bill will put an end to that waiting.  With
this legislation, agencies have 90 days to give money it has promised to
local entities. For every day the money is late, 1% of the total grant
money will be deducted from the executive budget of said agency for the
next fiscal year. This action will incentivize agencies to pay their
receipts in a timely and appropriate manner. More importantly, it will
introduce a new level of accountability to agencies that is sorely need-
ed in New York.

 
PRIOR LEGISLATIVE HISTORY:

S5710 (2023): Referred to Procurements and Contracts

 
FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS:

None.

 
EFFECTIVE DATE:
This act shall take effect immediately and shall apply to all contracts
awarded on and after such date.

2025-S1884 (ACTIVE) - Bill Text download pdf

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   1884
 
                        2025-2026 Regular Sessions
 
                             I N  S E N A T E
 
                             January 14, 2025
                                ___________
 
 Introduced  by  Sen. WALCZYK -- read twice and ordered printed, and when
   printed to be committed to the Committee on Procurement and Contracts
 
 AN ACT to amend the state finance law, in relation  to  requiring  state
   agencies  to expend funds no later than ninety days after receipt of a
   certificate of approval from the director of the budget

   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  Section  179-ee  of  the  state finance law is amended by
 adding a new subdivision 4 to read as follows:
   4. A STATE AGENCY SHALL EXPEND FUNDS TO THE ORGANIZATION  APPROVED  TO
 RECEIVE SUCH FUNDS NO LATER THAN NINETY DAYS AFTER SUCH AGENCY'S RECEIPT
 OF  THE  CERTIFICATE  OF  APPROVAL  AUTHORIZING  THE EXPENDITURE OF SUCH
 FUNDS.  IF AN AGENCY EXPENDS FUNDS LATER THAN NINETY DAYS AFTER  RECEIPT
 OF  A  CERTIFICATE  OF  APPROVAL  IN VIOLATION OF THIS SUBDIVISION, SUCH
 AGENCY'S BUDGET APPROPRIATED FOR THE  FOLLOWING  FISCAL  YEAR  SHALL  BE
 REDUCED  BY  ONE PERCENT OF THE AMOUNT AUTHORIZED UNDER SUCH CERTIFICATE
 OF APPROVAL.
   § 2. Subdivision 1 of section 179-y  of  the  state  finance  law,  as
 amended  by  chapter  292  of  the  laws  of 2007, is amended to read as
 follows:
   1. The state comptroller shall: (a) promulgate such  rules  and  regu-
 lations  as may be necessary to carry out the comptroller's responsibil-
 ities under this article including provisions for repayment;  [and]  (b)
 develop  and  implement a procedure for calculating the amount of inter-
 est, if any, due to any  not-for-profit  organization  pursuant  to  the
 provisions  of  this  article; AND (C) DEVELOP AND IMPLEMENT A PROCEDURE
 FOR CALCULATING AND  REPORTING  TO  THE  GOVERNOR,  THE  SENATE  FINANCE
 COMMITTEE,  AND  THE  ASSEMBLY  WAYS  AND MEANS COMMITTEE, THE AMOUNT OF
 REDUCTION THAT SHALL BE APPLIED TO A STATE AGENCY'S BUDGET IN THE UPCOM-
 ING FISCAL YEAR DUE TO A FAILURE TO  TIMELY  EXPEND  FUNDS  PURSUANT  TO
 SUBDIVISION FOUR OF SECTION ONE HUNDRED SEVENTY-NINE-EE OF THIS ARTICLE.
   §  3.  This  act  shall take effect immediately and shall apply to all
 contracts awarded on and after such date.
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets

                       [ ] is old law to be omitted.
                                                            LBD05487-01-5

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