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A00350 Summary:

SPONSORRosenthal L (MS)
COSPNSRBenedetto, Dinowitz, Colton
Amd §2576, Ed L
Adjusts the maintenance amount for the city school district of the city of New York; requires adjustment to reflect the consumer price index for all urban consumers in the New York-Northern New Jersey-Long Island portion of the New York-Northern New Jersey-Long Island, New York-New Jersey-Pennsylvania Metropolitan statistical area, as such is defined by the United States Department of Labor.
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A00350 Memo:

submitted in accordance with Assembly Rule III, Sec 1(f)
SPONSOR: Rosenthal L (MS)
  TITLE OF BILL: An act to amend the education law, in relation to adjusting the mainte- nance amount for the city school district of the city of New York   PURPOSE: This bill updates and clarifies existing provisions of the education law to ensure that adequate funding is provided and maintained for New York City public schools.   SUMMARY OF SPECIFIC PROVISIONS: Section one amends paragraph b of subdivision 5-a of section 2576 of the education law. Section two sets forth the effective date.   JUSTIFICATION: First, when the mayoral control law was enacted, a cornerstone of the agreement stipulated that the mayor had to commit to maintain annual funding levels for public schools. This maintenance of effort (MOE) requirement means that the City must spend at least as much money as it spent the preceding year, not including costs for pensions and debt service. However, due to inflation and the rising costs of providing an adequate education as mandated by the State constitution, the current MOE does not meet these goals. By including an inflation factor that reflects the average costs in the New York City metropolitan area over 5 years as part of the MOE, this provision will better reflect actual costs and better achieve the purpose of maintaining programs and services from years to year. Second, when the Campaign for Fiscal Equity v. State New York (CFE) court decision was settled by the State in the enacted 2007 budget, the State required the City to add $2.2 billion over the 2006-07 baseline year to its yearly spending by the conclusion of a phase-in, period. To ensure that the CFE funds are delivered, this provision reiterates the City's obligation as provided in the laws of 2007 and explicitly links payment of the City's $2.2 billion contribution to the MOE by the end of the phase-in period. These funds, like all MOE funds, will not include payments for pensions and debt service. This provision will ensure that ALL these funds will go to the classroom to fund the State consti- tution's sound basic education requirement as established in CFE.   LEGISLATIVE HISTORY: 2021-22: A.1564 - Referred to Education 2019-20: A.947 - Referred to Education 2017-18: A.4193 - Referred to Education 2015-16: A.675 - Referred to Education 2013-14: A.703 - Referred to Education 2011-12: A.1779 - Referred to Education 2009-10: A.8695- Referred to Education   FISCAL IMPLICATIONS: Undetermined.   EFFECTIVE DATE: This bill shall take effect immediately.
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