What's happening
This bill creates a contingency budget that automatically funds New York State government at prior year levels if a new budget is not enacted on time.
Why it matters
Reduces risk of government shutdowns. By automatically continuing funding at prior-year levels, the bill ensures state operations, public services, and local assistance are not disrupted if lawmakers miss budget deadlines, providing stability for residents and agencies.
Limits on spending and new initiatives. The contingency budget restricts spending to the previous year’s amounts and blocks new contracts (unless for ongoing services), one-time programs, and automatic cost increases (unless federally required), preventing the expansion of government or new spending commitments during a budget impasse.
Protects essential and vulnerable populations. Exceptions are made for critical payments like public assistance, disability aid, and federally mandated expenditures, so vulnerable groups continue receiving support even if a budget standoff occurs.
Prevents fiscal imbalance during impasse. If projected revenues fall short of maintaining prior-year spending, the bill mandates uniform reductions (with some exceptions) to avoid deficits, requiring the state to maintain a balanced budget even in a contingency period.
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Who cares
Headline styles
Automatic Backup State Budget
Plain English, a few words. Used as the page title.
Sponsors
Senator · Senate District 3
No co-sponsors yet.
History
- Print number 6155a
- Amend and recommit to finance
- Referred to finance
- Referred to finance
Companion bill
The same bill in the other chamber. A bill becomes law when one version passes both houses and the governor signs it, so either number can carry it.
Automatic Backup State Budget
In Assembly Committee · Ways And Means · Sponsor Fred Thiele
Full text
2 pagesUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
6155--A
2017-2018 Regular Sessions
IN SENATE
May 11, 2017
Introduced by Sen. CROCI -- read twice and ordered printed, and when printed to be committed to the Committee on Finance -- recommitted to the Committee on Finance in accordance with Senate Rule 6, sec. 8 -committee discharged, bill amended, ordered reprinted as amended and recommitted to said committee
AN ACT to amend the state finance law, in relation to establishing a procedure for the implementation of a contingency budget
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. The state finance law is amended by adding a new section 24-a to read as follows:
§ 24-a. Contingency budget. 1. A contingency budget shall take effect on the first day of the fiscal year in the event the legislature has not finally acted upon all the appropriation bills submitted by the governor for such fiscal year and shall be sufficient for the ongoing operation and support of state government and local assistance. Such contingency budget shall take effect without further action by the legislature or the governor, and shall remain in effect until both houses of the legislature pass a single multiple appropriation bill which alters such contingency budget. Passage by both houses of the legislature of such multiple appropriation bill shall constitute the conclusion of the contingency period.
2. The contingency budget shall authorize the renewal of the appropriations and reappropriations enacted for the immediately preceding fiscal year. Such appropriations and reappropriations, in addition to any related statutory spending and revenue provisions in effect during such year, shall remain in effect for the same period as the contingency budget remains effective.
3. (a) The aggregate disbursements authorized by appropriations and reappropriations in the contingency budget for such fiscal year shall not exceed aggregate disbursements made in the immediately preceding
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD11655-02-8
S. 6155--A 2
fiscal year, provided further that disbursements authorized by individual items of appropriation and reappropriation in the contingency budget shall not exceed disbursements made for such individual items of appropriation and reappropriation in the immediately preceding fiscal year, with the following exceptions:
(i) payments related to public assistance grants under the family assistance, safety net and disability assistance programs established pursuant to chapter four hundred thirty-six of the laws of nineteen hundred ninety-seven, and for emergency assistance for families and payments for eligible aged, blind and disabled persons related to supplemental security income;
(ii) federal funds for which receipt would be jeopardized or federal law would be violated if subject to such disbursement limitation; and
(b) The contingency budget shall not authorize disbursements for the contingency period for any:
(i) spending related to prior year appropriations or reappropriations for items which were one-time or non-recurring in nature; or
(ii) new contracts that are not for the continuation of ongoing services or capital projects; or
(iii) trend factors, cost of living adjustments or other rate adjustments that would otherwise automatically become effective, except those required by federal law.
(c) No law changing the exceptions contained in paragraph (a) or (b) of this subdivision may become effective until three years from the date of its enactment.
4. If, after a contingency budget becomes effective, the director of budget projects that annual receipts are insufficient to meet annual disbursements under the contingency budget, uniform reductions shall be applied to all disbursements other than those included in paragraph (a) of subdivision three of this section in order to achieve a balanced plan of receipts and disbursements. Such reductions shall be applied not later than the thirtieth day that the contingency budget is in effect, except where federal or other notification is required to effectuate a reduction, in which case such notification shall be made no later than the thirtieth day after the contingency budget is in effect and the related reduction shall take effect as soon thereafter as allowed. No reduction implemented under this subdivision shall alter any eligibility provision for any program.
§ 2. This act shall take effect on the same date as a concurrent resolution amending the constitution, entitled "CONCURRENT RESOLUTION OF THE SENATE AND ASSEMBLY proposing amendments to articles IV and VII of the constitution, in relation to the submission of the budget to the legislature by the Governor" as proposed in legislative bills numbers S.5999 and A.8351, takes effect.
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Sponsor's memo
Title of bill
An act to amend the state finance law, in relation to establishing a procedure for the implementation of a contingency budget
Purpose
This bill makes changes to the State Finance Law to improve the State budget process and to ensure timely enactment of a State budget.
Summary of provisions
Section 1 provides for the establishment of a Contingency Budget to take effect automatically on the first day of the fiscal year, in the event that the Legislature has not acted upon all of the budget bills submit- ted by the Governor.
Section 2 provides that this act shall take effect on the same date as the concurrent resolution amending the constitution, entitled "Concur- rent Resolution of the Senate and Assembly proposing amendments to arti- cles IV and VII of the constitution, in relation to the submission of the budget to the legislature by the Governor" as proposed in legisla- tive bill number s.5999 a. 8351, takes effect.
Existing law
New Legislation
Justification
The statutory provisions described are necessary to restructure the budget process, in order to protect the people and property of this state, so that a government shutdown does not ensue in the event that the Legislature does not agree with the Executive Budget.
Legislative history
New Bill.
Fiscal implications
This bill would result in an improved State credit rating by preventing uncertainty of available State resources resulting from late State budg- ets.
Local fiscal implications
Improved cash flow.
Effective date
Takes effect when the provisions contained in S.5999 and a. 8351 take effect.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.