Legislation to Relieve School Districts of Past Debt is Approved by Senate

Jim Ranney

June 20, 2019

Senator Patrick M. Gallivan (R-C-I, Elma) announces the New York State Senate has approved  legislation (S.5649) to relieve the Mount Morris Central School District of financial penalties related to capital improvement projects dating back to 1999.  A delay in the filing of final cost reports has resulted in a penalty to the school of $2,457,364.

The penalty is based on a series of oversights that occurred over the course of several years in relation to a building project in 1999. 

The Senate also has approved legislation (S.6365/A5442) to relieve the Panama Central School District of financial penalties related to past capital improvement projects.  A delay in the filing of final cost reports has resulted in a penalty to the school of $4.9 million.

The penalty is based on a series of oversights that occurred over the course of several years in relation to a building project in 2005.  The legislation forgives the remaining amount of the assessed penalty, $1.9 million. 

“Penalizing these school district for administrative errors that occurred years ago makes no sense,” said Senator Patrick Gallivan (R-C-I, Elma).  “Forcing the districts to pay such  significant penalties will only hurt students, faculty and local taxpayers.”  

Despite both school districts being located outside Senator Gallivan’s 59th Senate District, he worked with members of the Assembly and school administrators to resolve the issues as the 57th Senate District seat is currently vacant.

related legislation