What's happening
This bill allows boards of cooperative educational services (BOCES) to establish and manage workers' compensation reserve funds.
Why it matters
Expands financial flexibility for BOCES. By allowing Boards of Cooperative Educational Services to create workers' compensation reserve funds, BOCES can better manage and plan for the costs of workplace injuries and related liabilities, reducing budgetary unpredictability.
Supports local control and risk management. The amendment gives BOCES the same ability as school districts and municipalities to set aside dedicated funds for workers' compensation expenses, which can help them self-insure and potentially lower insurance costs over time.
Promotes financial transparency and accountability. Requiring BOCES to separately account for and manage these reserve funds ensures that money set aside for workers’ compensation cannot be used for unrelated expenditures, protecting both employees and taxpayers.
Prepares BOCES for future changes. If a BOCES later stops self-insuring, the law specifies how any leftover funds can be transferred, ensuring these public resources are used appropriately and cannot be arbitrarily diverted.
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Who cares
Headline styles
Let BOCES Create Reserve Funds
Plain English, a few words. Used as the page title.
Sponsors
Senator · Senate District 8
No co-sponsors yet.
History
- Referred to local government
Full text
2 pagesUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
7783
IN SENATE
February 20, 2020
Introduced by Sen. BROOKS -- read twice and ordered printed, and when printed to be committed to the Committee on Local Government
AN ACT to amend the general municipal law, in relation to authorizing boards of cooperative educational services to establish workers' compensation reserve funds
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. The section heading and subdivisions 1, 3, 4 and 6 of section 6-j of the general municipal law, the section heading as amended by chapter 704 of the laws of 1956, subdivisions 1 and 4 as amended by chapter 476 of the laws of 2018, subdivision 3 as amended by chapter 140 of the laws of 1996 and subdivision 6 as amended by chapter 340 of the laws of 1973 and as renumbered by chapter 433 of the laws of 1987, are amended to read as follows:
[Workmen's] Workers' compensation reserve fund.
1. The governing board of any municipal corporation, school district, board of cooperative educational services or fire district, which is, or shall [hereafter] become a self-insurer under the provisions of subdivision four of section fifty of the workers' compensation law or section thirty of the volunteer firefighters' benefit law may establish a reserve fund to be known as the workers' compensation reserve fund of such municipal corporation, school district, board of cooperative educational services or fire district.
3. The moneys in such fund shall be deposited and secured in the manner provided by section ten of this article. The money in such fund so deposited shall be accounted for separate and apart from all other funds of the municipality, school district, board of cooperative educational services or fire district, in the same manner as provided in subdivision ten of section six-c of this article. The governing board, or the chief fiscal officer of such municipality, school district, board of cooperative educational services or fire district, if the governing board shall delegate such duty to him or her, may invest the moneys in such fund in the manner provided in section eleven of this article. Any interest earned or capital gain realized on the money so deposited or
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD03082-02-9
S. 7783 2
invested shall accrue to and become part of such fund. The separate identity of such fund shall be maintained whether its assets consist of cash or investments or both.
4. An expenditure shall be made from such fund only for the payment of compensation and benefits, medical, hospital or other expense authorized by article two of the workers' compensation law and by the volunteer firefighters' benefit law and expenses of administering the self-insurance program for such municipal corporation, school district, board of cooperative educational services or fire district.
6. If the municipal corporation, school district, board of cooperative educational services or fire district shall, after the establishment of such fund, cease to be a self-insurer, the moneys remaining in such fund may be transferred to any other fund authorized by this chapter or section thirty-six hundred fifty-one of the education law only to the extent that the moneys in such fund shall exceed in amount the sum sufficient to pay all expenditures authorized in [paragraph numbered] subdivision four of this section, both accrued and contingent.
§ 2. This act shall take effect immediately.
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Sponsor's memo
Title of bill
An act to amend the general municipal law, in relation to authorizing boards of cooperative educational services to establish workers' compen- sation reserve funds
Purpose
Authorizes boards of cooperative education services to establish work- ers' compensation reserve funds.
Summary of provisions
Section 1. amends section heading and subdivisions 1, 3, 4, and 6 of section 6-j of the General Municipal Law to add boards of cooperative education services to the list of entities that are authorized to estab- lish workers' compensation reserve funds.
Section 2 is the enacting clause.
Justification
Under current New York State law, boards of cooperative education services (BOCES) are not able to establish workers' compensation reserve funds. However, other similar entities, such as school districts, do have the ability. This legislation seeks to remedy this oversight and allow BOCES to establish their own workers' compensation reserve funds.
Fiscal implications
None to the state
Effective date
This act shall take effect immediately.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.