What's happening
This bill allows certain school districts to transfer excess employee benefit reserve funds to their general fund to offset tax increases or staff cuts, and repeals a related municipal law provision.
Why it matters
Provides flexibility to school districts facing financial pressure. By allowing a one-time transfer of up to 50% (or all excess) from employee benefit reserve funds to the general fund, districts have an option to address urgent budget challenges without immediately cutting programs or raising taxes.
Targets relief for taxpayers and school staff. The transferred funds can only be used to either reduce anticipated property tax increases or to avoid layoffs and restore staff positions, directly impacting community tax burdens and school employment levels.
Changes oversight of municipal finances. By repealing a specific subdivision of the general municipal law related to the examination of accounts, the bill may alter how these reserve funds and transfers are reviewed or audited, potentially affecting transparency or oversight.
One-time opportunity with a clear deadline. School districts must act within one year of the law’s effective date, making this a limited window for financial relief and requiring prompt decision-making by local school boards.
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Who cares
Headline styles
Move Extra Benefits Money
Plain English, a few words. Used as the page title.
Sponsors
History
- Referred to education
- Referred to education
Full text
1 pageUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
5589
2017-2018 Regular Sessions
IN ASSEMBLY
February 10, 2017
Introduced by M. of A. ENGLEBRIGHT, ZEBROWSKI, JAFFEE, HOOPER, OTIS -- Multi-Sponsored by -- M. of A. FINCH, GIGLIO, KOLB, MAGEE, RAIA, SEPULVEDA, THIELE -- read once and referred to the Committee on Education
AN ACT to authorize certain school districts to elect to withdraw excess monies from the employee benefit accrued liability reserve fund; and to repeal subdivision 3 of section 33 of the general municipal law, relating to the examination of accounts
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Any school district having monies in an employee benefit accrued liability reserve fund established pursuant to section 6-p of the general municipal law, on the effective date of this act, may make a one time election, by resolution of its governing board adopted no later than one year after such effective date, to transfer up to fifty percent of the total of such monies or one hundred percent of the excess of such monies, whichever is greater, into the general fund of the school district. Such funds transferred by this section shall only be used to mitigate an anticipated increase in school property taxes and/or restore anticipated or actual staff level reductions.
§ 2. Subdivision 3 of section 33 of the general municipal law is REPEALED.
§ 3. This act shall take effect immediately.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD03256-01-7
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.