What's happening
This bill allows all New York school districts to establish insurance reserve funds, with limits set by certified actuaries.
Why it matters
Levels the playing field for all school districts. by allowing every New York school district, not just a select few, to set up insurance reserve funds—potentially improving their financial stability and risk management.
Requires actuarial oversight. , meaning that the amount and manner of funding these reserves must be determined by a qualified, independent actuary. This adds a layer of professional scrutiny, which could help prevent over- or under-funding and misuse of reserve funds.
May help schools better manage insurance costs and claims. , as access to reserve funds can reduce reliance on annual budget fluctuations or emergency funding when claims arise, giving schools more predictability and control over their finances.
Aligns school insurance practices with broader municipal standards. while also mandating compliance with both general municipal and education law, potentially leading to more consistent and transparent fiscal practices across districts.
Albany, before your first meeting.
Every bill that moved yesterday, summarized in a sentence and ranked by impact. The Albany Scorecard follows on Sundays.
Free. Unsubscribe in one click. Want alerts on specific bills? Create an account.
Who cares
Headline styles
Let Schools Create Insurance Funds
Plain English, a few words. Used as the page title.
Sponsors
10 Co-sponsors
2 Multi-sponsors
History
- Referred to education
- Print number 114a
- Amend and recommit to education
- Referred to education
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.
Let Schools Create Insurance Funds
In Senate Committee · Local Government · Sponsor Daphne Jordan
Full text
2 pagesUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
114--A
2019-2020 Regular Sessions
IN ASSEMBLY (Prefiled)
January 9, 2019
Introduced by M. of A. BUCHWALD, GALEF, ZEBROWSKI, SEAWRIGHT, RIVERA, BARRON, CAHILL, LAVINE, CROUCH, COOK, ORTIZ -- Multi-Sponsored by -- M. of A. BARCLAY, SIMON -- read once and referred to the Committee on Education -- committee discharged, bill amended, ordered reprinted as amended and recommitted to said committee
AN ACT to amend the general municipal law, in relation to authorizing all school districts to establish reserve funds
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Paragraph (a) of subdivision 2 of section 6-n of the general municipal law, as separately amended by chapters 414 and 416 of the laws of 2016, is amended to read as follows:
(a) The governing board of any municipal corporation may establish a reserve fund to be known as the insurance reserve fund. Upon the creation of the fund, the municipality may make expenditures from the fund for any loss, claim, action or judgment for which the municipal corporation is authorized or required to purchase or maintain insurance, except those kinds of risks for which insurance is authorized pursuant to paragraph one, two, three, fifteen, sixteen, seventeen, eighteen, twenty-two or twenty-three of subsection (a) of section one thousand one hundred thirteen of the insurance law, or for payments in lieu of contributions under article eighteen of the labor law; provided however, that no municipality shall make an expenditure from such fund for any loss, claim, action or judgment for which the municipal corporation has established a reserve fund under any other provision of law; provided, further that the Scarsdale union free school district and the Vernon Verona Sherrill central school district may establish insurance reserve funds in compliance with this section and article seventy-four of the education law and the Minisink Valley central and any other school district may establish insurance reserve funds in compliance with this
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD01050-02-9
A. 114--A 2
section and article seventy-four of the education law, in an amount and manner determined by a qualified and independent actuary certified by the American Academy of Actuaries to be reasonable and necessary, and such school districts may make expenditures in compliance with this section and article seventy-four of the education law from such reserve fund for any loss, claim, action or judgment for which the school districts are authorized or required to purchase or maintain insurance for the kinds of risks for which insurance is authorized pursuant to paragraph three of subsection (a) of section one thousand one hundred thirteen of the insurance law.
§ 2. This act shall take effect on the first of July next succeeding the date on which it shall have become a law.
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.