What's happening
This bill allows certain school districts facing large building aid penalties to repay them in six equal annual installments.
Why it matters
Eases sudden financial strain for eligible districts. By spreading large building aid penalties over six years, the bill helps prevent abrupt, severe budget shortfalls that could disrupt school operations and student services.
Targets districts most at risk. The bill specifically assists districts facing penalties that are both over $2.2 million and more than 2% of their annual expenditures, focusing relief on those for whom immediate repayment would be most burdensome.
Provides flexibility in repayment. Districts are allowed to make an initial payment to reduce future installments, offering some control over their financial planning and allowing them to manage penalty costs based on their own fiscal health.
Could influence future state enforcement. By setting a precedent for installment-based penalty recovery, the bill may encourage similar approaches for other large, unexpected state recoveries, potentially affecting how schools plan for and respond to state financial actions.
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Who cares
Headline styles
Ease School Aid Penalties
Plain English, a few words. Used as the page title.
Sponsors
Senator · Senate District 4
1 Co-sponsor
History
- Referred to education
- Referred to education
Full text
1 pageUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
619
2017-2018 Regular Sessions
IN SENATE
January 4, 2017
Introduced by Sens. BOYLE, CROCI -- read twice and ordered printed, and when printed to be committed to the Committee on Education
AN ACT relating to the recovery of certain building aid penalties by the state education department
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Notwithstanding any provision of law to the contrary, for a school district with a penalty pursuant to a notice of building aid recovery where such penalty exceeds $2,200,000 and also exceeds 2 percent of such district's total general fund expenditures for the 2013-14 school year, the commissioner of education shall recover such penalty in six equal annual installments beginning the later of June, 2018 or June of the school year in which such district is notified of the penalty. Provided further that such district may elect to make an initial payment no later than thirty days in advance of the first annual installment which shall reduce the amount of each annual installment.
§ 2. This act shall take effect immediately.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD05406-01-7
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Sponsor's memo
Title of bill
An act relating to the recovery of certain building aid penalties by the state education department
Purpose or general idea of bill
Relates to the recovery of certain building aid penalties by the state education department from East Islip School District.
Summary of specific provisions
Section 1. Allows the East Islip School District to repay building aid overpayments totaling $2,200,000 to the State Education Department over a period of six years.
Section 2. Effective Date.
Justification
The State Education Department (SED) notified the East Islip school district of a building aid recovery due to overpayments to the district. SED officials are allowing the district to make the payments over a three-year period. A longer timeframe would further diminish the impact of this repayment on the taxpayers of the East Islip School District, identified by the New York State Comptroller as being under moderate fiscal stress. The six year repayment schedule would ease the financial burden of this repayment on the school district.
Prior legislative history
2015-16: S.2177 Died in Education
Fiscal implications
None to the State.
Effective date
Immediately
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.