Provides for the payment of capital construction aid by the education department to the Randolph Academy union free school district for a certain project

This measure will allow the Randolph Academy in Randolph, New York to issue revenue anticipation notes (RANs) to finance the repair and rehabilitation of roofs at this school, which provides intensive education services for special needs students.

Section 1. Establishes that the apportionment of aid for project 0002-005 - a roof construction project at the Randolph Academy union free school district shall be computed in accordance with and be deemed to be an eligible building project pursuant to such subdivision six-f of such section thirty-six hundred two of the education law.

Section 2. Directs that the Randolph Academy union free school district is authorized to issue revenue anticipation notes in anticipation of the receipt of state aid payments made or to be made pursuant to subdivision one of this act, in an amount not to exceed the approved cost of such project 0002-005.

Justification

The Randolph Academy Union Free School District is a "Special Act" public school districts, one of thirteen created by a "special act" of the legislature over a period of many years. The Randolph Academy is located in Randolph, New York, and was established to provide intensive quality education for special needs students. The school offers therapy, counseling, and behavior management as well as a full 12 month academic program for children who have had frequent encounters with the criminal justice, foster care and mental health systems and confront serious personal and family challenges. The Randolph Academy provides educational services to a number of day students from to 34 area school districts, as well as children in residences at the Randolph Children's Home located adjacent to the school.

Unlike other public school districts, Special Act school districts do not have the authority to issue bonds for capital renovations, nor do these districts have taxing authority. Special Act school districts are instead funded through a TUITION REIMBURSEMENT METHODOLOGY that by design provides reimbursements today at a rate designed for the cost of expenses two years ago; Funding options for capital construction are therefore very limited. The project at issue also does not meet the $6,000,000 threshold required for the Dormitory

Authority of the State of New York to issue Special Act district bonds.

This measure will assist the Randolph Academy in financing a specific project, an urgently needed roof repair/rehabilitation at the school, by allowing the school to receive building aid on actual costs rather than assumed amortization, and to issue revenue anticipation notes (RANs) based on the building aid to be generated by project 002-005. This bill ensures the health and safety of staff and students by providing the District with the resources necessary to replace an old and leaking roof.

Prior legislative history

This is a new bill.

Fiscal implications

Total project cost is estimated to be $560,000. The total estimated cost to the state, per state aid formula would be $91,467.

Effective date

This act shall take effect immediately.