Enacts the 2014 facility alternatives for schools act

1 Co-sponsor

• John A. DeFrancisco

BILL NUMBER:S1429B

Title of bill

An act to authorize the construction of new school facilities utilizing facility alternatives for schools; and providing for the repeal of such provisions upon expiration thereof

Purpose

To authorize alternative methods to construct school facilities.

Summary of provisions

Section 1 - Short title.

Section 2 - Sets forth definitions.

Section 3(a) - Permits any school district to contract for the design, construction, reconstruction, financing and ownership of a school building for up to thirty years.

Section 3(b) - Sets up procedures for solicitation of proposals for the construction, reconstruction, financing and leasing of the school building facility.

Section 3(c) - Provides for review and approval of requests for proposal by the Commissioner of Education prior to the issuance of such request for proposal by a school district.

Section 3(d) - Mandates the prevailing wage law applies to any construction under section 220 of the Labor Law.

Section 3 (e) - Provides for school district approvals and bonding

Section 4 - Permits a school district to receive state aid for capital outlays and debt service in connection with any building constructed pursuant to this act.

Section 5 - Exempts the contracts entered into pursuant to this act from subdivision 3(a) and subdivision 5 of section 109-b of the General Municipal Law.

Section 6 - Contracts issued for a school building facility pursuant to the provisions of this act may be funded by certificates of participation.

Section 7 - Exempts contracts entered into pursuant to this act from section 101 of the General Municipal Law.

Section 8 - Exempts real property on which a school building is constructed and leased by the city school district for school purposes from real property taxation.

Section 9 - Clarifies that a school construction or reconstruction project undertaken pursuant to this act is subject to applicable review and approval procedures of the Education Department as any other school design, construction or reconstruction project would be when undertaken pursuant to the Education Law.

Section 10 - Effective date.

Justification

Local districts face increasing challenges to fund necessary new school facilities. The state faces its own financial challenges which make it difficult to consider increasing assistance to local school districts to construct new facilities. It is necessary to seek innovative ways to reduce costs when new school buildings become necessary. Under this program, school districts would have the option to use the provisions of this act to construct school buildings at a lower cost and in a faster time frame than is permitted under current law by using the best current development, construction, reconstruction, leasing and financing techniques available. Similar legislation allowed the City of Niagara Falls to construct a new facility more affordably several years ago.

Legislative history

2011/2012 -S.3190-B/A.8403-A -- EDUCATION/Education 2013 - S.1429/A.4164 - EDUCATION/Education

Fiscal implications

Savings to school districts who choose to utilize this program to construct new school buildings.

Effective date

This act shall take effect immediately and shall expire and be deemed repealed 5 years after such effective date.