Establishes a board of cooperative educational services school district restructuring committee

Summary of specific provisions

Section 1: Subdivision 4 of section 1950 of the education law is amended by adding a new paragraph oo to read as Follows:

*To establish, no later than October 1, 2011, a board of cooperative educational services school district (BOCES) restructuring committee to study and review the organization and operation of all component and non-component school districts within the area served by BOCES, other than those school districts formed by special act or in cities having a population of one million or more inhabitants.

*Subdivision 1 sets forth the membership, structure, and process of each committee including being open to the public and the inclusion of at least one public hearing to be held within the BOCES district on or before June 15, 2012.

*Subdivision 2 describes the study parameters For each committee includ- ing the use of enrollments and financial circumstances as well as the identification and evaluation of opportunities for cost savings and service improvements through school district restructuring and reorgan- ization. Committee findings will be summarized in a preliminary report.

*Subdivision 3 states that on or before October I, 2013, the committee will issue a final report containing final recommendations on sharing or consolidation of services. Subdivisions 4 and 5 lays out participant roles and duties, deadlines, and required actions including preliminary and final report dissemination.

Section 2: Subdivision 6 of section 314 of the education law, as amended by chapter 163 of' the laws of 1972, is amended as follows:

*6a,b,c details the circumstances under which a school district will not be eligible to receive building aid unless recommended reorganization takes place, with exceptions.

Section 3: Paragraph a of subdivision 14 of section 3602 of the educa- tion law, as added by chapter 57 or the laws of 1993 is amended as follows:

*3a sets forth apportionments requirements, and aid on capital outlays or debt service as related to recommended school district reorganization detailing commissioner, chancellor, committee of the regents' duties and procedure deadlines.

Justification

New York State's local property taxes are 79% above the national average, and are the highest of the large states in the coun- try. School taxes account for the lion's share, close to 60%, with coun- ties and municipalities contributing about 40% (20% each). Educational and municipal spending continues to climb so that the local property tax levy is increasing to crisis proportions, imposing significant hardship on New York taxpayers with detrimental effects on the state economy. To address this predicament, two statewide commissions were created to examine the problem and propose solutions. The Commission on Local Effi- ciency and Competitiveness (known as the Lundine Commission) and New York State Commission on Property Tax Relief (known as the Suozzi Commission), gathered data. held public hearings, and issued final reports in 2008 with a plethora of recommendations. In relation to school funding and expenditures, both Commissions recommended that the BOCES model be expanded upon to share and consolidate services, thereby cutting costs.

BOCES was formed in 1948 to assist rural school districts by improving their educational offerings through the sharing of services. Today there are 37 BOCES, now charged with providing both instructional programs and support services to school districts within their jurisdiction. Instruc- tional services include vocational-technical programs, physical and occupational therapy, and literacy programs. Support services include stall development, central bus maintenance, central business office, regional information centers, and back office operations such as payroll. Notably, however, BOCES still plays an extensive role in the sharing of services among school districts.

BOCES was recommended as a model for the reduction of school district expenditures because it can build upon its mission, organizational structure, and relationship with local school districts. School districts are unique, being local in nature and deeply rooted in their individual communities, so that any changes must be effected from a bottoms-up, consensual, and transparent approach to guarantee success. This legislation sets up a structure and process whereby savings can be realized with maximum input from the educational, administrative, governmental, and public sectors.

Prior legislative history

This is new legislation

Fiscal implications

Minimal costs to BOCES and local school districts for staff time, hosting meetings, and satisfying reporting requirements.

Effective date

This act shall take effect on the first of October next succeeding the date on which it shall have become law.