Amd SS1608, 1716, 1950 & 2116-b, add S3653, Ed L; amd SS6-e, 6-h, 6-p & 6-r, Gen Muni L
Reforms aspects of local government and school accountability; requires notice of reserve funds; amends the powers and duties of boards of cooperative educational services; requires resolution for reserve funds; addresses tax stabilization reserves, reserves for bonded indebtedness and employee benefit accrued liability reserves; authorizes school districts and boards of cooperative educational services to establish retirement contribution reserve funds for the purposes of the New York state teachers' retirement system.
STATE OF NEW YORK
________________________________________________________________________
5689--A
2011-2012 Regular Sessions
IN SENATE
June 10, 2011
___________
Introduced by Sen. FLANAGAN -- (at request of the State Comptroller) --
read twice and ordered printed, and when printed to be committed to
the Committee on Education -- recommitted to the Committee on Educa-
tion in accordance with Senate Rule 6, sec. 8 -- committee discharged,
bill amended, ordered reprinted as amended and recommitted to said
committee
AN ACT to amend the education law, in relation to requiring notice of
reserve funds, the powers and duties of boards of cooperative educa-
tional services, and reserves funded by resolution; and to amend the
general municipal law, in relation to tax stabilization reserves,
reserves for bonded indebtedness, employee benefit accrued liability
reserves, and authorizing school districts and boards of cooperative
educational services to establish retirement contribution reserve
funds for the purposes of the New York state teachers' retirement
system
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Subdivision 5 of section 1608 of the education law, as
2 amended by section 5 of part A of chapter 436 of the laws of 1997, is
3 amended to read as follows:
4 5. The trustee or board of trustees shall append to the statement of
5 estimated expenditures a detailed statement of the total compensation to
6 be paid to the superintendent of schools, and any assistant or associate
7 superintendents of schools in the ensuing school year, including a
8 delineation of the salary, annualized cost of benefits and any in-kind
9 or other form of remuneration, and a schedule of reserve funds, setting
10 forth the name of each reserve fund, a description of its purpose, the
11 balance as of the close of third quarter of the current school district
12 fiscal year and a brief statement explaining any plans for the use of
13 each such reserve fund for the ensuing fiscal year. The trustees shall
14 also append a list of all other school administrators and supervisors,
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD11129-03-1
S. 5689--A 2
1 if any, whose annual salary will be eighty-five thousand dollars or more
2 in the ensuing school year, with the title of their positions and annual
3 salary identified; provided however, that the commissioner may adjust
4 such salary level to reflect increases in administrative salaries after
5 June thirtieth, nineteen hundred ninety-eight. The trustees shall submit
6 a copy of such list and statement, in a form prescribed by the commis-
7 sioner, of compensation to the commissioner within five days after their
8 preparation. The commissioner shall compile such data, together with the
9 data submitted pursuant to subdivision three of section seventeen
10 hundred sixteen of this chapter, into a single statewide compilation,
11 which shall be made available to the governor, the legislature, and
12 other interested parties upon request.
13 § 2. Subdivision 5 of section 1716 of the education law, as amended by
14 section 7 of part A of chapter 436 of the laws of 1997, is amended to
15 read as follows:
16 5. The board of education shall append to the statement of estimated
17 expenditures a detailed statement of the total compensation to be paid
18 to the superintendent of schools, and any assistant or associate super-
19 intendents of schools in the ensuing school year, including a deline-
20 ation of the salary, annualized cost of benefits and any in-kind or
21 other form of remuneration, and a schedule of reserve funds, setting
22 forth the name of each reserve fund, a description of its purpose, the
23 balance as of the close of third quarter of the current school district
24 fiscal year and a brief statement explaining any plans for the use of
25 each such reserve fund for the ensuing fiscal year. The board shall
26 also append a list of all other school administrators and supervisors,
27 if any, whose annual salary will be eighty-five thousand dollars or more
28 in the ensuing school year, with the title of their positions and annual
29 salary identified; provided however, that the commissioner may adjust
30 such salary level to reflect increases in administrative salaries after
31 June thirtieth, nineteen hundred ninety-eight. The board of education
32 shall submit a copy of such list and statement, in a form prescribed by
33 the commissioner, of compensation to the commissioner within five days
34 after their preparation. The commissioner shall compile such data,
35 together with the data submitted pursuant to subdivision four of section
36 sixteen hundred eight of this chapter, into a single statewide compila-
37 tion, which shall be made available to the governor, the legislature,
38 and other interested parties upon request.
39 § 3. Paragraph q of subdivision 4 of section 1950 of the education
40 law, as separately amended by chapters 367 and 563 of the laws of 1979,
41 is amended to read as follows:
42 q. To provide transportation services for pupils [to and from classes
43 maintained by such board of cooperative educational services] at the
44 request of one or more school districts. Such services may include, but
45 need not be limited to, authorized pupil transportation to and from
46 classes maintained by a board of cooperative educational services and to
47 and from school, both public and nonpublic. School districts and boards
48 of cooperative educational services are authorized to enter into
49 contracts with one or more school districts, private contractors, and
50 one or more boards of cooperative educational services and any municipal
51 corporation and authority to provide such transportation. Boards of
52 cooperative educational services may operate joint or regional transpor-
53 tation systems for the transportation authorized by articles seventy-
54 three and eighty-nine of this chapter. Such [transporation] transporta-
55 tion, except when provided by a political subdivision or a board of
56 cooperative educational services, shall be subject to the requirements
S. 5689--A 3
1 of subdivision fourteen of section three hundred five of [the education
2 law] this chapter.
3 § 4. Subdivision 4 of section 1950 of the education law is amended by
4 adding a new paragraph oo to read as follows:
5 oo. At the request of one or more school districts, contract for the
6 procurement of telecommunications equipment on behalf of such school
7 districts, subject to the requirements of sections one hundred three and
8 one hundred four-b of the general municipal law.
9 § 5. Subdivision 2 of section 2116-b of the education law, as added by
10 chapter 263 of the laws of 2005, is amended to read as follows:
11 2. School districts of less than eight teachers, school districts with
12 actual general fund expenditures totaling less than five million dollars
13 in the previous school year, or school districts with actual enrollment
14 of less than [three hundred] one thousand students in the previous
15 school year shall be exempt from this requirement. Any school district
16 claiming such exemption shall annually certify to the commissioner that
17 such school district meets the requirements set forth in this subdivi-
18 sion. Any school district with actual enrollment of less than one thou-
19 sand students in the previous school year that has established an inter-
20 nal audit function may discontinue such function, upon notice to the
21 state comptroller and the commissioner.
22 § 6. The education law is amended by adding a new section 3653 to read
23 as follows:
24 § 3653. Reserves funded by resolution. In addition to any other
25 requirements, no monies shall be paid or transferred into any reserve
26 fund, established pursuant to this chapter or any other chapter of law,
27 for the purpose of increasing the funding of such reserve fund, unless
28 expressly authorized by a resolution of the board of education or trus-
29 tees of a school district.
30 § 7. Section 6-e of the general municipal law, as added by chapter 655
31 of the laws of 1992, paragraph m of subdivision 1 as added, paragraph n
32 of subdivision 1 as relettered, subdivision 3 and paragraph d of subdi-
33 vision 4 as amended by chapter 528 of the laws of 2000, and subdivision
34 5 as amended by chapter 140 of the laws of 1996, is amended to read as
35 follows:
36 § 6-e. Contingency and tax stabilization reserve fund for municipal
37 corporations. 1. As used in this section:
38 a. "Annual budget" means the annual budget or estimate, as finally
39 adopted, of a municipal corporation which is required by law to adopt an
40 annual budget or estimate of the expenditures to be made for a fiscal
41 year for the general support or for the expenses of the government of
42 such municipal corporation during such fiscal year.
43 b. "Base year" means the most recent fiscal year for which an annual
44 report has been filed with the state comptroller pursuant to section
45 thirty of this chapter.
46 c. "Chief executive officer" means a chief executive officer as
47 defined in paragraph five-a of section 2.00 of the local finance law.
48 d. "Chief fiscal officer" means a chief fiscal officer as defined in
49 paragraph five of section 2.00 of the local finance law.
50 e. "Eligible portion of the annual budget" means:
51 (1) in the case of a contingency and tax stabilization reserve fund
52 established for a county, city, village, school district or fire
53 district, the general fund portion of the annual budget;
54 (2) in the case of a contingency and tax stabilization reserve fund
55 established for a town, the town-wide general fund and highway fund
56 portions of the annual budget; and
S. 5689--A 4
1 (3) in the case of a contingency and tax stabilization reserve fund
2 established for the part of a town outside any villages, the general
3 fund and highway fund portions of the annual budget for such part of the
4 town.
5 f. "Estimated revenue" means revenue from a specific source which is
6 expected to be received during a fiscal year and which is included in
7 the annual budget as finally adopted for that fiscal year.
8 g. "Governing board" means a governing board as defined in section two
9 of this chapter and, in the case of a fire district, shall mean the
10 board of fire commissioners and in the case of a school district, shall
11 mean the board of education or board of trustees, or for a common school
12 district having one trustee, such trustee.
13 h. "Municipal corporation" means a municipal corporation as defined in
14 section two of this chapter and shall also include a fire district and
15 school district.
16 i. "Public emergency" means an epidemic, conflagration, riot, storm,
17 flood or other sudden, unforeseen or unexpected occurrence or condition
18 which requires the immediate expenditure of moneys to protect the public
19 health, safety or welfare of the inhabitants of the municipal corpo-
20 ration.
21 j. "Tentative budget" means the tentative budget prepared pursuant to
22 section three hundred fifty-four of the county law, section one hundred
23 six of the town law or section 5-504 of the village law, the [statement
24 of expenditures] proposed budget prepared pursuant to section one
25 hundred eighty-one of the town law, the statement of estimated expendi-
26 tures prepared pursuant to section sixteen hundred eight or seventeen
27 hundred sixteen of the education law or similar document prepared pursu-
28 ant to general, special or local law.
29 k. "Unanticipated expenditure" means an expenditure for a specific
30 purpose for which there is no or insufficient appropriation or which
31 will cause an appropriation to be insufficient that is necessitated by a
32 change in federal or state laws, rules or regulations, a court order,
33 judgement or decree, a public emergency, or an industry-wide price, rate
34 or premium increase, which takes effect or occurs after final adoption
35 of the annual budget and which could not have been reasonably antic-
36 ipated prior to final adoption of the annual budget.
37 l. "Unanticipated revenue loss" means estimated revenue which is
38 rendered unreceivable because of a change in federal or state laws,
39 rules or regulations, a court order, judgement or decree, or other
40 circumstance, which takes effect or occurs after final adoption of the
41 annual budget and which could not have been reasonably anticipated prior
42 to final adoption of the annual budget.
43 m. "Unappropriated unreserved fund balance" means the difference
44 between the total assets for a fund and the total liabilities, deferred
45 revenues, encumbered appropriations, amounts appropriated for the ensu-
46 ing fiscal year's budget, and amounts reserved for stated purposes
47 pursuant to law, including reserve funds established pursuant to [the
48 general municipal law] this chapter or the education law for the fund,
49 as determined through application of the system of accounts prescribed
50 by the state comptroller pursuant to section thirty-six of this chapter.
51 n. "Voting strength" means the aggregate number of votes which all the
52 members of the governing board are entitled to cast.
53 2. The governing board of any municipal corporation other than a
54 school district, by resolution subject to a permissive referendum, may
55 establish a contingency and tax stabilization reserve fund for the
56 municipal corporation and, in the case of a town, also for the part of
S. 5689--A 5
1 the town outside any villages. Such permissive referendum shall be
2 governed by:
3 a. in the case of a county, sections one hundred one through one
4 hundred three of the county law;
5 b. in the case of a city, sections twenty-four through twenty-six of
6 the municipal home rule law;
7 c. in the case of a town or the part of a town outside any villages,
8 article seven of the town law;
9 d. in the case of a village, article nine of the village law; and
10 e. in the case of a fire district, subdivision four of section six-g
11 of this article.
12 2-a. A school district may establish a contingency and tax stabiliza-
13 tion reserve fund by a resolution of its governing board.
14 3. There may be paid into the contingency and tax stabilization
15 reserve fund such amounts as may be provided therefor by budgetary
16 appropriation, unappropriated unreserved fund balance in the eligible
17 portion of the annual budget, and such revenues as are not required by
18 law to be paid into any other fund or account; provided, however, that
19 no amount may be appropriated for payment into a contingency and tax
20 stabilization reserve fund which would cause the balance of the fund to
21 exceed ten percent of the eligible portion of the annual budget for the
22 fiscal year for which the appropriation would be made.
23 4. a. The moneys in a contingency and tax stabilization reserve fund
24 may be expended only pursuant to an appropriation for a purpose author-
25 ized by this subdivision. Except as provided in paragraph e of this
26 subdivision, such an appropriation shall be made only upon the recommen-
27 dation of the chief executive officer and the adoption of a resolution
28 appropriating the recommended amount by at least two-thirds of the
29 voting strength of the governing board.
30 b. The moneys in a contingency and tax stabilization reserve fund
31 established by a municipal corporation other than a school district may
32 be used to finance an unanticipated revenue loss chargeable to the
33 eligible portion of the annual budget, subject to the following limita-
34 tions:
35 (1) the maximum amount of moneys in the fund that may be used to
36 finance an unanticipated revenue loss shall equal either the amount of
37 the revenue actually received for the base year or the amount of the
38 estimated revenue for the current fiscal year, whichever is less, minus
39 the amount of the revenue actually received for the current fiscal year;
40 and
41 (2) the moneys in the fund may be used only to finance that portion of
42 the unanticipated revenue loss which, as a matter of law, cannot be
43 financed with amounts available in any other account or fund.
44 c. The moneys in a contingency and tax stabilization reserve fund
45 established by a municipal corporation other than a school district may
46 be used to finance an unanticipated expenditure chargeable to the eligi-
47 ble portion of the annual budget, subject to the following limitations:
48 (1) the maximum amount of moneys in the fund that may be used to
49 finance an unanticipated expenditure shall equal the sum of the amount
50 of the unanticipated expenditure and the amount appropriated for that
51 purpose for the current fiscal year minus either the amount appropriated
52 for that purpose for the current fiscal year or the actual expenditure
53 for the same purpose in the base year, whichever is greater; and
54 (2) the moneys in the fund may be used only to finance that portion of
55 an unanticipated expenditure which, as a matter of law, cannot be
56 financed with amounts available in any other account or fund.
S. 5689--A 6
1 d. The moneys in the contingency and tax stabilization reserve fund
2 may be used to lessen or prevent any projected increase in excess of two
3 and one-half percent in the amount of the real property tax levy needed
4 to finance the eligible portion of the annual budget for the next
5 succeeding fiscal year. The maximum amount of moneys in the fund that
6 may be used for this purpose shall equal the difference between the
7 projected amount of such real property tax levy and one hundred two and
8 one-half percent of the amount of the real property tax levy needed to
9 finance the eligible portion of the annual budget for the current fiscal
10 year.
11 e. When preparing the tentative budget of a municipal corporation, if
12 the current balance of a contingency and tax stabilization reserve fund,
13 as shown by the statement of the chief fiscal officer required by subdi-
14 vision six of this section, exceeds ten percent of the eligible portion
15 of the annual budget for the current fiscal year, such excess shall be
16 used to reduce the amount of real property taxes needed to finance the
17 eligible portion of the annual budget for the next succeeding fiscal
18 year. In addition, in the case of a school district, any monies deposit-
19 ed to such reserve fund which are not expended to lessen or prevent any
20 projected increase in excess of two and one-half percent in the amount
21 of the real property tax levy needed to finance the eligible portion of
22 the annual budget for any of the three fiscal years succeeding the
23 fiscal year in which the monies are so deposited shall be returned to
24 the general fund on or before the first day of the fourth fiscal year
25 following the deposit of such monies to such reserve fund.
26 5. The moneys in the contingency and tax stabilization reserve fund
27 shall be deposited in one or more of the banks or trust companies desig-
28 nated, in the manner provided by law, as depositories of the funds of
29 such municipal corporation. The governing board, or the chief fiscal
30 officer having custody of such money of such municipal corporation, if
31 the governing board shall delegate such duty to him, may invest the
32 moneys in such fund in obligations specified in section eleven of this
33 article. Any interest earned or capital gain realized on the money so
34 deposited or invested shall accrue to and become part of such fund.
35 6. The chief fiscal officer shall account for the contingency and tax
36 stabilization reserve fund separate and apart from all other funds of
37 the municipal corporation. Such accounting shall show: the source, date
38 and amount of each sum paid into the fund; the interest earned by such
39 fund; capital gains or losses resulting from the sale of investments of
40 the fund; the order, source thereof, date and amount of each appropri-
41 ation from this fund; the assets of the fund, indicating cash balance
42 and a schedule of investments. Not later than sixty days after the start
43 of each fiscal year and at such times as may be required by the govern-
44 ing board, the chief fiscal officer shall furnish to the governing board
45 a detailed report of the operation and condition of the fund during the
46 preceding fiscal year which shall include a statement of receipts and
47 disbursements, and a statement of the balance of the fund as of the last
48 day of such preceding fiscal year and such other dates as may be speci-
49 fied by the governing board. Not later than thirty days prior to the
50 last date provided by law for the filing of the tentative budget, the
51 chief fiscal officer shall furnish to the officer or body responsible
52 for preparing the tentative budget a statement of the current balance of
53 the fund.
54 7. The members of the governing board are hereby declared trustees of
55 the moneys in the contingency and tax stabilization reserve fund and
56 shall be subject to all duties and responsibilities imposed by law on
S. 5689--A 7
1 trustees, and such duties and responsibilities may be enforced by the
2 municipal corporation or by any board, commission, agency, officer or
3 taxpayer thereof.
4 8. Any officer of a municipal corporation shall be guilty of a misde-
5 meanor if he or she willfully and knowingly causes the municipal corpo-
6 ration to:
7 a. Appropriate moneys from the contingency and tax stabilization
8 reserve fund for any purpose not authorized by this section.
9 b. Expend any money from the contingency and tax stabilization reserve
10 fund for a purpose other than that for which it was appropriated.
11 The provisions of this subdivision shall be considered to be in addition
12 to any other penalties provided by law.
13 § 8. Section 6-h of the general municipal law, as added by chapter 742
14 of the laws of 1945, the section heading and subdivisions 2, 5, 6 and 8
15 as amended by chapter 592 of the laws of 1957, subdivision 1 as amended
16 by chapter 755 of the laws of 1965, subdivision 9 as amended by chapter
17 140 of the laws of 1996 and subdivision 11 as amended by chapter 424 of
18 the laws of 2001, is amended to read as follows:
19 § 6-h. Reserve fund for payment of bonded indebtedness in counties,
20 cities, villages, towns, school districts and fire districts. 1. As used
21 in this section, the term "governing board," in so far as it is used in
22 reference to a county, shall mean the board of supervisors thereof; in
23 so far as it is used in reference to a city, shall mean the "local
24 legislative body" thereof, as that term is defined in subdivision seven
25 of section two of the municipal home rule law, as amended from time to
26 time; in so far as it is used in reference to a village, shall mean the
27 board of trustees thereof; in so far as it is used in reference to a
28 town, shall mean the town board thereof; in so far as it is used in
29 reference to a fire district, shall mean the board of fire
30 commissioners; in so far as it is used in reference to a school
31 district, shall mean the board of education or board of trustees, or for
32 a common school district having one trustee, such trustee.
33 2. The governing board of any county, city, village, town, school
34 district or fire district may by resolution adopted by a majority vote
35 of its governing body establish a reserve fund for the payment of its
36 bonded indebtedness as herein described, provided, however, that such
37 debt reserve fund shall not be established for, or moneys therein used
38 to pay, any obligations payable in the first instance from assessments,
39 or from taxes levied upon an area in such county, city, village, town,
40 school district or fire district smaller than the area of such county,
41 city, village, town, school district or fire district.
42 3. Such fund may be established for the payment of one or of several
43 issues of bonds of such [municipality] municipal corporation, school
44 district or fire district or the purchase of the same.
45 4. There may be paid into such fund:
46 a. Such an amount as may be provided therefor by budgetary appropri-
47 ation.
48 b. Such revenues as are not otherwise appropriated or required by law
49 to be paid into any other fund or account.
50 5. An expenditure from such a reserve fund may only be made by appro-
51 priation pursuant to a resolution of the governing board of the munici-
52 pal corporation, school district or fire district establishing the same
53 and only for the payment of the principal and interest on bonds issued
54 by such municipal corporation, school district or fire district and
55 forming a part of an issue having a maximum maturity of not less than
56 five years; or for the purchase of bonds of such municipal corporation,
S. 5689--A 8
1 school district or fire district forming a part of an issue having a
2 maximum maturity of not less than five years at a price not to exceed
3 the par value thereof and accrued interest to the date of delivery of
4 such bonds to such municipal corporation, school district or fire
5 district, provided, however, that if any such bonds were issued subject
6 to the right of such municipal corporation, school district or fire
7 district to redeem the same prior to the maturity date thereof then such
8 purchase may be made for the redemption of such bonds at the price and
9 on the terms stated in such bonds or in the proceeding authorizing the
10 same as the case may be.
11 Where provision has been made in the current budget from funds other
12 than a reserve fund for the payment of the principal and interest on
13 bonds or the purchase thereof, no expenditure may be made for the
14 purchase or payment of the same from such a reserve fund during the
15 current fiscal year for which such budget was adopted.
16 All expenditures from such fund as provided in this subdivision may
17 only be made by the chief fiscal officer of the municipal corporation,
18 school district or fire district establishing the same.
19 Any such bonds so paid, purchased or redeemed and any interest coupons
20 representing unmatured interest attached thereto shall be cancelled and
21 destroyed by the chief fiscal officer of such municipal corporation,
22 school district or fire district establishing such fund who shall make a
23 notation of such cancellation and destruction in the bond register of
24 such municipal corporation, school district or fire district. Such nota-
25 tion shall describe each such bond by title, date of issue, number,
26 denomination and date of maturity, and if coupons are attached thereto
27 by number, face value and date of maturity.
28 6. The governing board of a municipal corporation may, subject to a
29 permissive referendum, authorize the transfer of a portion or all of
30 such reserve to a capital reserve fund established pursuant to section
31 six-c of [the general municipal law] this article.
32 The board of fire commissioners of a fire district may, subject to the
33 approval of the voters at a regular or special election in such
34 district, in the manner provided in section one hundred seventy-nine of
35 the town law, authorize the transfer of a portion or all of such reserve
36 to a capital reserve fund established pursuant to section six-g [hereof]
37 of this article.
38 The governing board of a school district may authorize the transfer of
39 a portion or all of such reserve to a capital reserve fund established
40 pursuant to section thirty-six hundred fifty-one of the education law.
41 7. The chief fiscal officer shall keep a separate account for each
42 fund established. Such account shall show:
43 a. The date and amount of each sum paid into the fund.
44 b. The interest earned by such fund.
45 c. The capital gains or losses resulting from the sale of investments
46 of the fund.
47 d. The interest or capital gains which have accrued to the fund.
48 e. The amount and date of each withdrawal from the fund.
49 f. The assets of the fund, indicating the cash balance therein and a
50 schedule of the amounts invested. The chief fiscal officer at the termi-
51 nation of each fiscal year shall render a detailed report of the opera-
52 tion and condition of each of such funds to the governing board.
53 8. The members of the governing board are hereby declared trustees of
54 such funds and shall be subject to all the duties and responsibilities
55 imposed by law on trustees, and such duties and responsibilities may be
56 enforced by the county, city, village, town, school district or fire
S. 5689--A 9
1 district, as the case may be, or by any board, commission, agency, offi-
2 cer or taxpayer thereof.
3 9. The moneys in each such fund shall be deposited and secured in the
4 manner provided by section ten of this article. The governing board or
5 the chief fiscal officer of such municipal corporation, school district
6 or fire district, if the governing board shall delegate such duty to
7 him, may invest the moneys in each such fund in the manner provided in
8 section eleven of this article. Any interest earned or capital gains
9 realized on the moneys so deposited or invested shall accrue to and
10 become a part of each such fund. The separate identity of each such fund
11 shall be maintained whether its assets consist of cash, investments, or
12 both.
13 10. The members of the governing board shall be guilty of a misdemea-
14 nor if they:
15 a. Authorize a withdrawal from a fund for any other purpose except as
16 provided in this section.
17 b. Expend any money withdrawn from a fund for a purpose other than
18 that as provided in this section.
19 11. Notwithstanding the foregoing provisions of this section, in any
20 town which is located wholly or partly within the Adirondack park and
21 has within its boundaries state lands subject to taxation assessed at
22 more than thirty [percentum] per centum of the total taxable assessed
23 valuation of the town as determined from the assessment rolls of the
24 town, as completed from time to time, a reserve fund for the payment of
25 bonded indebtedness shall not be established on and after May first,
26 nineteen hundred forty-eight, unless the state comptroller, on behalf of
27 the state, shall consent thereto, and, on and after May first, nineteen
28 hundred forty-eight, in any such town no expenditure or transfer from
29 any such fund heretofore or hereafter established shall be made unless
30 the state comptroller, on behalf of the state, shall consent thereto.
31 § 9. Subdivision 9 of section 6-p of the general municipal law, as
32 added by chapter 518 of the laws of 1996, is amended to read as follows:
33 9. If, after the establishment of such fund, the municipality deter-
34 mines that such fund is no longer needed, the moneys remaining in such
35 fund may be transferred to any other reserve fund or any other post
36 employment benefits trust of the municipal corporation authorized by
37 this chapter that is comprised of moneys which were raised on the same
38 tax base as the moneys in the reserve fund established under this
39 section or to a reserve fund established pursuant to section thirty-six
40 hundred fifty-one of the education law, only to the extent that the
41 moneys in this fund shall exceed the sum sufficient to pay all liabil-
42 ities incurred or accrued against it. Prior to the discontinuance of
43 such fund, the fiscal and legal officers of such municipal corporation
44 shall certify to the governing board thereof the amount that may be
45 necessary to retain in such fund to satisfy all liabilities incurred or
46 accrued against it and such sum shall be retained in the fund for
47 payment of such amounts or until later certified that such funds are no
48 longer needed.
49 § 10. Any school district having excess monies in an employee benefit
50 accrued liability reserve fund established pursuant to section 6-p of
51 the general municipal law, on the effective date of this act, may make a
52 one-time election, by resolution of its governing board adopted no later
53 than one year from such effective date, to transfer all or part of such
54 excess monies into the general fund of the school district. For the
55 purposes of this section, "excess monies" shall be that amount in the
56 fund which exceeds the amount certified to the governing board by the
S. 5689--A 10
1 fiscal and legal officers of the school district as necessary to satisfy
2 all liabilities incurred or accrued against the reserve fund.
3 § 11. Paragraphs b and c of subdivision 1 of section 6-r of the gener-
4 al municipal law, as added by chapter 260 of the laws of 2004, are
5 amended to read as follows:
6 b. "Participating employer" means: (i) a participating employer as
7 defined in subdivision twenty of section two of the retirement and
8 social security law or in subdivision twenty of section three hundred
9 two of such law, or (ii) an employer as defined in subdivision three of
10 section five hundred one of the education law.
11 c. "Retirement contribution" shall mean all or any portion of the
12 amount payable by a municipal corporation to: (i) either the New York
13 state and local employees' retirement system or the New York state and
14 local police and fire retirement system pursuant to section seventeen or
15 three hundred seventeen of the retirement and social security law; or
16 (ii) the New York state teachers' retirement system pursuant to section
17 five hundred twenty-one of the education law.
18 § 12. This act shall take effect on the first of July next succeeding
19 the date on which it shall have become a law.
