§ 203. Additional duties of the commissioner. The commissioner of the
office of general services is authorized, within amounts appropriated
therefor by the legislature and subject to the written approval of the
attorney general, to pay and cause to be satisfied and discharged claims
for damage to personal or real property or for bodily injuries or
wrongful death caused in connection with the operation of a motor
vehicle (a) by officers or employees of the state, while acting within
the scope of their employment, or (b) by other authorized persons
providing service to state government while providing such service, or
(c) with relation to motor vehicles which are assigned on a permanent
basis with unrestricted use to state officers or employees, when caused
by such officer or employee or by a person requested to operate such
motor vehicle by such officer or employee in the course of or in
connection with the use of such motor vehicle by such officer or
employee. Such claims payments shall be made in accordance with a
contract with a private firm to process, adjust, investigate, negotiate,
settle, pay, and subrogate such claims on behalf of the state, as
specified in such contract, provided that such firm is duly licensed to
perform such services by the state department of financial services.

Notwithstanding any other provision of law, any such contract may
provide for the payment of benefits up to a maximum of fifty thousand
dollars for any occurrence in accordance with article fifty-one of the
insurance law and for such payments, not based on tort, the attorney
general's approval shall not be required. Notwithstanding any other
provision of law, any payment of other property damage or bodily injury
or wrongful death claims caused by a tort of such officers, employees,
or other authorized personnel shall not exceed a maximum of twenty-five
thousand dollars for each claimant in accordance with such terms,
conditions and requirements as shall be set forth in such contract. Any
agency or unit of an agency which is supported by any funding source
other than the general fund shall reimburse the general fund for all or
any portion of such payments made pursuant to this section which are
attributable to the other funding source.

Nothing contained in this section or in any contract provided for
herein shall impair any right or obligation in connection with any
executed contract of insurance entered into by the state separate and
apart from the authority granted herein. No moneys appropriated for the
purposes of this section shall be available for expenditure from such
appropriation until a certificate of approval has been issued by the
director of the budget and copies of such certificate filed with the
state comptroller, the chairman of the senate finance committee, and the
chairman of the assembly ways and means committee.