Authorizes the South Country central school district, in the county of Suffolk, to issue serial bonds for the purpose of liquidating deficits in its general fund; requires that the district prepare quarterly budget reports, quarterly trial balances; provides for advance aid to such school district (Part A); extends provisions of law relating to directing the state inspector general to appoint an independent monitor for the Orange county industrial development agency for one year (Part B).
STATE OF NEW YORK
________________________________________________________________________
10102
IN SENATE
April 29, 2026
___________
Introduced by Sen. SERRANO -- (at request of the Governor) -- read twice
and ordered printed, and when printed to be committed to the Committee
on Rules
AN ACT authorizing the South Country central school district, in the
county of Suffolk, to finance certain deficits by the issuance of
bonds and providing for advance school aid to such district; and
providing for the repeal of such provisions upon expiration thereof
(Part A); and to amend part III of chapter 58 of the laws of 2023,
amending the general municipal law and the executive law relating to
directing the state inspector general to appoint an independent moni-
tor for the Orange county industrial development agency, in relation
to the effectiveness thereof; and providing for the repeal of such
provisions upon expiration thereof (Part B)
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. This act enacts into law major components of legislation
2 necessary to implement the state fiscal plan for the 2026-2027 state
3 fiscal year. Each component is wholly contained within a Part identified
4 as Parts A through B. The effective date for each particular provision
5 contained within such Part is set forth in the last section of such
6 Part. Any provision in any section contained within a Part, including
7 the effective date of the Part, which makes a reference to a section "of
8 this act", when used in connection with that particular component, shall
9 be deemed to mean and refer to the corresponding section of the Part in
10 which it is found. Section three of this act sets forth the general
11 effective date of this act.
12 PART A
13 Section 1. South Country central school district deficit financing. 1.
14 The South Country central school district (hereinafter referred to in
15 this section as the "district"), in the county of Suffolk, is hereby
16 authorized to issue serial bonds, subject to the provisions of section
17 10.10 of the local finance law, on or before October 31, 2027, in an
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD12035-01-6
S. 10102 2
1 aggregate principal amount not to exceed eleven million dollars
2 ($11,000,000) for the specific object or purpose of liquidating actual
3 deficits in its general fund at the close of the fiscal year ending June
4 30, 2026 as certified by the state comptroller. In anticipation of the
5 issuance and sale of such serial bonds, bond anticipation notes are
6 hereby authorized to be issued.
7 2. Notwithstanding the provisions of any other law, general, special
8 or local, the board of education of the district is hereby authorized to
9 levy a tax to be collected in annual installments sufficient to pay the
10 principal of and interest on said bonds and bond anticipation notes and
11 to adopt a bond resolution authorizing the serial bonds authorized to be
12 issued pursuant to this section.
13 3. Amounts provided from the proceeds of obligations issued pursuant
14 to this section in excess of the amount of the deficit as confirmed by
15 the state comptroller shall be accounted for in the same manner as
16 prescribed by the state comptroller pursuant to section 36 of the gener-
17 al municipal law for real property taxes levied for a planned balance
18 pursuant to subdivision 21 of section 2021 of the education law.
19 4. Notwithstanding any inconsistent provision of paragraph d of
20 section 10.10 of the local finance law, the board of education of the
21 district shall make adjustments to the district's proposed budget
22 consistent with any recommendations by the state comptroller and the
23 commissioner of education.
24 § 2. South Country central school district state aid advance. The
25 South Country central school district (hereinafter referred to in this
26 section as the "district") shall be paid on an accelerated schedule
27 pursuant to this section.
28 1. (a) Notwithstanding any other provisions of law, for aid payable in
29 the school years 2025-26 through 2054-55 upon application to the commis-
30 sioner of education submitted not sooner than the second Monday in June
31 of the school year in which such aid is payable and not later than the
32 Friday following the third Monday in June of the school year in which
33 such aid is payable, the district shall be eligible to receive an appor-
34 tionment pursuant to this section in an amount equal to the product of
35 up to seven million dollars ($7,000,000) and the quotient of the posi-
36 tive difference of thirty minus the number of school years elapsed since
37 the 2025-26 school year divided by thirty, provided, however, that for
38 the 2025-26 school year such application shall be submitted no later
39 than May 7, 2026.
40 (b) Funds apportioned pursuant to this subdivision shall be used for
41 services and expenses of the district and shall be applied to support of
42 its educational programs and any liability incurred by the district in
43 carrying out its functions and responsibilities under the education law.
44 2. The claim for an apportionment to be paid to the district pursuant
45 to subdivision 1 of this section shall be submitted to the commissioner
46 of education on a form prescribed for such purpose, and shall be payable
47 upon determination by such commissioner that the form has been submitted
48 as prescribed and that the district has complied with the reporting
49 requirements of this section. For each school year in which application
50 is made pursuant to subdivision 1 of this section, such approved amount
51 shall be payable on or before June thirtieth of such school year upon
52 the audit and warrant of the state comptroller on vouchers certified or
53 approved by the commissioner of education in the manner prescribed by
54 law from moneys appropriated for general support of public schools,
55 provided, however, that for the 2025-26 school year such approved amount
56 shall be payable on or before May 18, 2026.
S. 10102 3
1 3. Notwithstanding the provisions of section 3609-a of the education
2 law, an amount equal to the amount paid to the district during the base
3 year pursuant to subdivisions 1 and 2 of this section shall first be
4 deducted from general aid payments due during the current school year
5 pursuant to subparagraphs 4 and 5 of paragraph a of subdivision 1 of
6 section 3609-a of the education law from the fixed fall payments payable
7 pursuant to subparagraph 4 of such paragraph, and any remainder to be
8 deducted from the individualized payments due to the district pursuant
9 to paragraph b of such subdivision shall be deducted on a chronological
10 basis starting with the earliest payment due the district.
11 4. Notwithstanding any other provisions of law, the sum of payments
12 made to the district during the base year pursuant to subdivisions 1 and
13 2 of this section plus payments made to the district during the current
14 year pursuant to section 3609-a of the education law shall be deemed to
15 truly represent all aids paid to the district during the current school
16 year pursuant to such section 3609-a for the purposes of computing any
17 adjustments to such aids that may occur in a subsequent school year.
18 5. In the 2026-27 through 2054-55 school years, the chief fiscal offi-
19 cer of the district shall monitor all budgets and for each budget, shall
20 prepare a quarterly report of summarized budget data depicting overall
21 trends of actual revenues and budget expenditures for the entire budget
22 as well as individual line items. Such report shall compare revenue
23 estimates and appropriations as set forth in such budget with the actual
24 revenues and expenditures made to date. All quarterly reports shall be
25 accompanied by a recommendation from the superintendent of schools or
26 chief fiscal officer to the board of education setting forth any remedi-
27 al actions necessary to resolve any unfavorable budget variance includ-
28 ing the overestimation of revenue and underestimation of appropriations.
29 The chief fiscal officer shall also prepare, as part of such report, a
30 quarterly trial balance of general ledger accounts in accordance with
31 generally accepted accounting principles as prescribed by the state
32 comptroller. All reports shall be completed within sixty days after the
33 end of each quarter and shall be submitted to the chief fiscal officer
34 and the board of education of the district, the state division of budg-
35 et, the office of the state comptroller, the commissioner of education,
36 the chair of the assembly ways and means committee and the chair of the
37 senate finance committee.
38 § 3. This act shall take effect immediately and shall be deemed to
39 have been in full force and effect on and after April 1, 2026; provided
40 however, that:
41 1. section one of this act shall expire and be deemed repealed Decem-
42 ber 31, 2037; and
43 2. section two of this act shall expire and be deemed repealed June
44 30, 2055.
45 PART B
46 Section 1. Section 3 of part III of chapter 58 of the laws of 2023,
47 amending the general municipal law and executive law relating to direct-
48 ing the state inspector general to appoint an independent monitor for
49 the Orange county industrial development agency, is amended to read as
50 follows:
51 § 3. This act shall take effect immediately; provided however, that
52 subdivisions two, three, four and five of section 912 of the general
53 municipal law, as added by section one of this act, and subdivision 8 of
54 section 54 of the executive law, as added by section two of this act,
S. 10102 4
1 shall expire and be deemed repealed [three] four years after such effec-
2 tive date.
3 § 2. This act shall take effect immediately; provided, however, that
4 upon enactment of legislation constituting the 2026-2027 budget, this
5 act shall cease to have force and effect and shall be deemed repealed.
6 § 2. Severability clause. If any clause, sentence, paragraph, subdivi-
7 sion, section or part of this act shall be adjudged by any court of
8 competent jurisdiction to be invalid, such judgment shall not affect,
9 impair, or invalidate the remainder thereof, but shall be confined in
10 its operation to the clause, sentence, paragraph, subdivision, section
11 or part thereof directly involved in the controversy in which such judg-
12 ment shall have been rendered. It is hereby declared to be the intent of
13 the legislature that this act would have been enacted even if such
14 invalid provisions had not been included herein.
15 § 3. This act shall take effect immediately provided, however, that
16 the applicable effective date of Parts A through B of this act shall be
17 as specifically set forth in the last section of such Parts.
