Add §51-a, amd §51, Leg L; add Art 24-A §666, Exec L
Requires a three-year moratorium on unfunded mandates from the legislature; invalidates legislation that does not contain a detailed fiscal note identifying a funding source for certain costs to a political subdivision; restores the mandate relief council.
STATE OF NEW YORK
________________________________________________________________________
2915
2023-2024 Regular Sessions
IN ASSEMBLY
February 1, 2023
___________
Introduced by M. of A. RA, BRABENEC, LEMONDES, TAGUE -- read once and
referred to the Committee on Local Governments
AN ACT to amend the legislative law and the executive law, in relation
to unfunded mandates on local governments and school districts and the
restoration of the mandate relief council; and providing for the
repeal of certain provisions of the executive law upon expiration
thereof
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. The legislative law is amended by adding a new section 51-a
2 to read as follows:
3 § 51-a. Moratorium on unfunded mandates. 1. Definitions. As used in
4 this section, the following terms shall have the following meanings:
5 (a) "Local government" means a county, city, town, village, school
6 district, or special district.
7 (b) "Net additional cost" means the cost or costs incurred or antic-
8 ipated to be incurred within a one-year period by a local government in
9 performing or administering any program, project, or activity after
10 subtracting therefrom any revenues received or receivable by such local
11 government in relation to such program, project, or activity, including
12 but not limited to:
13 (i) fees charged to the recipients of such program, project, or activ-
14 ity;
15 (ii) state or federal funds received for such program, project, or
16 activity; and
17 (iii) an offsetting savings resulting from the diminution or elimi-
18 nation of any other program, project, or activity that state law
19 requires such local government to provide or undertake.
20 (c) "Unfunded mandate" means:
21 (i) any state law that requires a local government to provide or
22 undertake any new program, project or activity that results in an annual
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD06794-01-3
A. 2915 2
1 net additional cost to any local government in excess of ten thousand
2 dollars or an aggregate annual net additional cost to all local govern-
3 ments within the state in excess of one million dollars; or
4 (ii) any state law that requires a local government to provide a high-
5 er level of service or funding for an existing program, project or
6 activity that results in an annual net additional cost to any local
7 government in excess of ten thousand dollars or an aggregate annual net
8 additional cost to all local governments within the state in excess of
9 one million dollars; or
10 (iii) any state law that requires a local government to grant any new
11 property tax exemption or that broadens the eligibility or increases the
12 dollar amount of any existing property tax exemption, on property that
13 otherwise would have generated revenue under the current property tax
14 rate of such local government in excess of ten thousand dollars in any
15 local government or in excess of one million dollars statewide; or
16 (iv) any state law with a legal requirement that would otherwise like-
17 ly have the effect of raising property taxes in excess of ten thousand
18 dollars in any local government or in excess of one million dollars
19 statewide.
20 2. Moratorium on unfunded mandates. For a three-year period beginning
21 with the enactment of this section, notwithstanding any other provision
22 of law, no unfunded mandates shall be enacted.
23 3. Exemptions. (a) A state law shall not be considered an unfunded
24 mandate where such law:
25 (i) is required by a court order or judgment; or
26 (ii) is provided at the option of the local government under a law
27 that is permissive rather than mandatory; or
28 (iii) results from the passage of a home rule message whereby a local
29 government requests authority to implement the program or service speci-
30 fied in the statute, and the statute imposes costs only upon that local
31 government which requests the authority to impose the program or
32 service; or
33 (iv) is required by statute or executive order that implements a
34 federal law or regulation and results from costs mandated by the federal
35 government to be borne at the local level, unless the statute or execu-
36 tive order results in costs which exceed the costs mandated by the
37 federal government; or
38 (v) is imposed on both government and non-government entities in the
39 same or substantially similar circumstances; or
40 (vi) repeals or revises a state law to ease an existing requirement
41 that a local government provide or undertake a program, project, or
42 activity, or reapportions the costs of activities between local govern-
43 ments; or
44 (vii) is necessary to protect against an immediate threat to public
45 health or safety.
46 (b) The effective date of any act establishing a mandate shall provide
47 a reasonable time for the state and any local government to plan imple-
48 mentation thereof and shall be consistent with the availability of
49 required funds.
50 § 2. Section 51 of the legislative law, as added by chapter 985 of the
51 laws of 1983, is amended to read as follows:
52 § 51. Fiscal impact notes on bills affecting political subdivisions.
53 1. For the purpose of this section, the term "political subdivision"
54 means any county, city, town, village, special district or school
55 district.
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1 2. [The legislature shall by concurrent resolution of the senate and
2 assembly prescribe rules requiring fiscal notes to accompany, on a sepa-
3 rate form, bills and amendments to bills, except as otherwise prescribed
4 by such rules, which] A bill that would [substantially] affect the
5 revenues or expenses, or both, of any political subdivision shall
6 contain a detailed fiscal impact note stating the estimated annual cost
7 to the political subdivision affected and the source of such estimate.
8 The fiscal impact note must clearly identify the funding source of such
9 annual cost to the political subdivision. An omission of such funding
10 source in the fiscal impact note, shall invalidate such bill.
11 3. Fiscal notes shall not, however, be required for bills: (a) subject
12 to the provisions of section fifty of this chapter, or (b) accompanied
13 by special home rule requests submitted by political subdivisions, or
14 (c) which provide discretionary authority to political subdivisions, or
15 (d) submitted pursuant to section twenty-four of the state finance law.
16 4. If the estimate or estimates contained in a fiscal impact note are
17 inaccurate and result in an annual net additional cost to any political
18 subdivision in excess of ten thousand dollars or an aggregate annual net
19 additional cost to all political subdivisions within the state in excess
20 of one million dollars, such inaccuracies shall [not affect, impair or]
21 invalidate such bill.
22 § 3. The executive law is amended by adding a new article 24-A to read
23 as follows:
24 ARTICLE 24-A
25 MANDATE RELIEF COUNCIL
26 Section 666. Mandate relief council.
27 § 666. Mandate relief council. 1. Definitions. a. "Mandate" means any
28 requirement that a local government perform or administer any program,
29 project or activity, required or imposed by a state law or state agency
30 that requires a higher level of service for an existing local government
31 program, project or activity.
32 b. "Local government" means a county, city, town, village, school
33 district, or special district.
34 c. "State agency" or "agency" means any state agency, department,
35 office, board, bureau, division, committee, council or office under the
36 direction or control of the executive.
37 2. Mandate relief council. There is hereby created within the depart-
38 ment the mandate relief council, which shall be comprised of eleven
39 members as follows: the secretary to the governor, who shall chair the
40 council, the counsel to the governor, the director of the division of
41 the budget, the secretary of state, and three additional members to be
42 appointed by the governor from among his or her executive chamber staff,
43 one member to be appointed by the temporary president of the senate, one
44 member to be appointed by the speaker of the assembly, one member to be
45 appointed by the minority leader of the senate and one member to be
46 appointed by the minority leader of the assembly.
47 a. Six members of the council, or their designees in the case of the
48 director of the division of the budget and the secretary of state, shall
49 constitute a quorum.
50 b. The council shall meet regularly upon the call of its chair and as
51 frequently as its business may require. The members of the council shall
52 serve without compensation but shall receive reimbursement for their
53 reasonable and necessary expenses.
54 c. The council shall, upon request of a local government or one of the
55 members of the council, identify and review mandates that can be elimi-
56 nated or reformed, and make such other and further inquiries, reports
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1 and recommendations as the council may deem necessary and prudent to
2 effectuate its mission of mandate relief. In identifying and determining
3 whether such mandates are unsound, unduly burdensome or costly, the
4 council shall receive and consider public comment about them and shall
5 review them in light of cost-benefit principles and such other and
6 further factors as the council shall deem necessary and prudent. The
7 council shall not make a referral to the governor that a mandate be
8 eliminated or reformed regarding any of the following mandates:
9 (i) those which are required to comply with federal laws or rules or
10 to meet eligibility standards for federal entitlements;
11 (ii) those which reapportion the costs of activities between boards of
12 education, counties, and municipalities;
13 (iii) those which implement provisions of the state constitution; and
14 (iv) those which the council determines are necessary for the mainte-
15 nance of the public health or safety of the people of New York state.
16 d. All votes of the council, and all deliberations and reports of its
17 proceedings shall be open to the public pursuant to article seven of the
18 public officers law.
19 3. Council actions on regulatory mandates. Upon a determination that a
20 mandate in any regulation, rule or order of any state agency has been
21 imposed upon any local government in an unsound, unduly burdensome or
22 costly manner so as to necessitate that it be eliminated or reformed,
23 the council shall have the power to:
24 a. refer a request by a local government for a review of such regula-
25 tory mandate, for petition by such local government for a waiver,
26 modification or repeal of such regulatory mandate pursuant to section
27 two hundred four-a of the state administrative procedure act. In the
28 event the council votes to make such referral on behalf of a local
29 government, the state agency that is charged with reviewing the petition
30 shall provide the technical assistance and support for such local
31 government to properly prepare and submit such petition. In the event
32 that such state agency reviewing the petition of the local government
33 pursuant to section two hundred four-a of the state administrative
34 procedure act does not provide the remedy sought by such local govern-
35 ment, the council may hear and consider an appeal of such decision and
36 grant such relief as it deems appropriate, including the making of a
37 referral to the governor for the waiving, modifying or repealing of such
38 regulatory mandate. The council shall adopt procedures by which it
39 shall consider, decide and effectuate the remedies of such appeals
40 consistent with this section.
41 b. upon a two-thirds vote, refer a regulation to the governor for
42 repeal or modification, where the council has previously determined that
43 such regulation imposes upon any local government a mandate in an
44 unsound, unduly burdensome or costly manner, so as to necessitate that
45 it be eliminated or reformed. Upon receipt of such referral by the
46 council, the governor shall within sixty days, direct the state agency
47 responsible for the promulgation, repeal or modification of such regu-
48 lation to effectuate such repeal or modification of the regulation
49 pursuant to the procedures that such agency would otherwise be required
50 to follow under the law, had such agency on its own accord sought to
51 repeal or modify the regulation.
52 4. Council actions on statutory mandates. The council may, upon a vote
53 of seven members, refer a statute to the governor for repeal or modifi-
54 cation, where the council has previously determined that such statute
55 imposes upon any local government a mandate in an unsound, unduly
56 burdensome or costly manner, so as to necessitate that it be eliminated
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1 or reformed. Upon receipt of the referral by the council, the governor,
2 within sixty days, shall have prepared a governor's program bill, for
3 introduction in both houses of the legislature, to effectuate such
4 repeal or modification of the statute.
5 5. Local government request. A local government may, by resolution of
6 its governing body, ask the council to review a specific statute, regu-
7 lation, rule or order of state government to determine whether such
8 statute, regulation, rule or order of state government is an unfunded
9 mandate or is otherwise unsound, unduly burdensome or costly so as to
10 require that it be eliminated or reformed. No local government may make
11 more than three such requests in each calendar year. Upon such review,
12 the council shall, by majority vote, determine whether such mandate has
13 been imposed upon such local government in an unsound, unduly burdensome
14 or costly manner, so as to necessitate that it be eliminated or
15 reformed. A determination of the council shall resolve any dispute
16 regarding whether such a statute, regulation, rule or order constitutes
17 such an unfunded mandate, but shall not be deemed a judicial determi-
18 nation under the law.
19 6. Appeals. Upon an appeal of a petition previously decided by a state
20 agency pursuant to section two hundred four-a of the state administra-
21 tive procedure act, the council, upon request of the local government,
22 shall review the state agency's determination and may affirm, modify or
23 reject such determination. Such appeal shall not preclude or limit a
24 local government or any other party with standing from pursuing any
25 right it may have pursuant to a proceeding instituted in accordance with
26 the provisions of article seventy-eight of the civil practice law and
27 rules or any other statute.
28 7. Reports. The council shall by December fifteenth of each year
29 report to the governor and legislature regarding its activities, and
30 regarding the issues, statutes, regulations, rules and orders which it
31 reviewed, examined, proposed, referred, and/or considered. Such reports,
32 which shall be adopted upon a majority vote of the members of the coun-
33 cil, or their designees in the case of the director of the division of
34 the budget or the secretary of state. All reports of the council shall
35 be posted on a publicly accessible website.
36 8. Assistance of other agencies. To effectuate the purposes of this
37 section, any state agency shall, at the request of the council, provide
38 to the council such facilities, assistance and data as will enable the
39 council to properly carry out its responsibilities and duties.
40 § 4. The mandate relief council, pursuant to section 666 of the execu-
41 tive law, shall review existing mandates on local governments to deter-
42 mine which shall be eliminated.
43 § 5. This act shall take effect immediately; provided, however, that
44 section one of this act shall only apply to laws enacted after such
45 effective date; and provided, however, that section three of this act
46 shall expire and be deemed repealed January 1, 2027.
