STATE OF NEW YORK
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6570
2017-2018 Regular Sessions
IN SENATE
June 5, 2017
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Introduced by Sen. BONACIC -- read twice and ordered printed, and when
printed to be committed to the Committee on Rules
AN ACT to amend the general municipal law, in relation to permitting the
enlarged school district of Middletown to establish an insurance
reserve fund
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Paragraph (a) of subdivision 2 of section 6-n of the gener-
2 al municipal law, as separately amended by chapters 414 and 416 of the
3 laws of 2016, is amended to read as follows:
4 (a) The governing board of any municipal corporation may establish a
5 reserve fund to be known as the insurance reserve fund. Upon the
6 creation of the fund, the municipality may make expenditures from the
7 fund for any loss, claim, action or judgment for which the municipal
8 corporation is authorized or required to purchase or maintain insurance,
9 except those kinds of risks for which insurance is authorized pursuant
10 to paragraph one, two, three, fifteen, sixteen, seventeen, eighteen,
11 twenty-two or twenty-three of subsection (a) of section one thousand one
12 hundred thirteen of the insurance law, or for payments in lieu of
13 contributions under article eighteen of the labor law; provided however,
14 that no municipality shall make an expenditure from such fund for any
15 loss, claim, action or judgment for which the municipal corporation has
16 established a reserve fund under any other provision of law; provided,
17 further that the Scarsdale union free school district [and], the Vernon
18 Verona Sherrill central school district [may establish insurance reserve
19 funds in compliance with this section and article seventy-four of the
20 education law and], the Minisink Valley central school district and the
21 enlarged city school district of Middletown may establish insurance
22 reserve funds in compliance with this section and article seventy-four
23 of the education law and such school districts may make expenditures in
24 compliance with this section and article seventy-four of the education
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD11872-01-7
S. 6570 2
1 law from such reserve fund for any loss, claim, action or judgment for
2 which the school districts are authorized or required to purchase or
3 maintain insurance for the kinds of risks for which insurance is author-
4 ized pursuant to paragraph three of subsection (a) of section one thou-
5 sand one hundred thirteen of the insurance law.
6 § 2. This act shall take effect immediately.
