Provides that prior year claims due to school districts shall be paid out of any excess settlement amount recovered by the attorney general prior to being apportioned to the general fund.
STATE OF NEW YORK
________________________________________________________________________
3432
2023-2024 Regular Sessions
IN ASSEMBLY
February 3, 2023
___________
Introduced by M. of A. PRETLOW -- read once and referred to the Commit-
tee on Education
AN ACT to amend the education law, in relation to prior year claims due
to school districts
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Paragraph c of subdivision 5 of section 3604 of the educa-
2 tion law, as added by chapter 82 of the laws of 1995, is amended to read
3 as follows:
4 c. Payment of moneys due for prior years. (i) State aid payments due
5 for prior years in accordance with the provisions of this subdivision
6 shall be paid within the limit of the appropriation designated therefor
7 provided, however, that each eligible claim shall be payable in the
8 order that it has been approved for payment by the commissioner, but in
9 no case shall a single claim draw down more than forty percent of the
10 appropriation so designated for a single year, and provided further that
11 no claim shall be set aside for insufficiency of funds to make a
12 complete payment, but shall be eligible for a partial payment in one
13 year and shall retain its priority date status for appropriations desig-
14 nated for such purposes in future years.
15 (ii) Notwithstanding subparagraph (i) of this paragraph, all funds
16 obtained as the result of any settlement with the office of the attorney
17 general shall be applied to payment of money due to school districts for
18 prior years after the distribution of funds necessary to fulfill the
19 obligations of the office of the attorney general, but before any
20 remaining funds shall be apportioned to the general fund.
21 § 2. This act shall take effect immediately.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD08188-01-3