What's happening
This bill legalizes and validates Panama Central School District's actions despite late building cost reports, waiving related penalties.
Why it matters
Protects local taxpayers and students. by ensuring the Panama Central School District does not lose state funding due to a paperwork error, which could otherwise result in budget shortfalls or program cuts.
Establishes clear safeguards. by only waiving penalties if the district’s late or missing reports are ultimately submitted, approved, and show that all funds were properly spent, helping to prevent misuse of state building aid.
Prevents future financial uncertainty. by requiring that any penalties already imposed are repaid to the district, restoring funds that may have been withheld and enabling better fiscal planning.
Limits precedent for other districts. by making clear that the waiver only applies if the lateness was an inadvertent, non-fraudulent mistake, balancing leniency for honest mistakes with accountability.
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Who cares
Headline styles
Forgive Late School Reports
Plain English, a few words. Used as the page title.
Sponsors
No co-sponsors yet.
History
- Recommit, enacting clause stricken
- 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.
Forgive School Report Delay
Vetoed · Sponsor Andrew Goodell
Full text
2 pagesUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
957
2019-2020 Regular Sessions
IN SENATE
January 9, 2019
Introduced by Sen. YOUNG -- read twice and ordered printed, and when printed to be committed to the Committee on Education
AN ACT to legalize, validate, ratify and confirm the actions of the Panama central school district notwithstanding the failure to timely file final building cost reports with the education department
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Notwithstanding any other provision of law to the contrary, all acts done and proceedings heretofore had and taken, or caused to be had or taken, by the Panama central school district and by any of its officers or agents relating to or in connection with final building cost reports required to be filed with the education department for approved building projects completed prior to December 31, 2012, and all acts incidental thereto are hereby legalized, validated, ratified and confirmed, notwithstanding any failure to comply with the time requirements for the approval and filing provisions of the education law or any other provision of law, rule or regulation, relating to any omissions, error, defect, irregularity or illegality in such proceedings had and taken.
§ 2. Notwithstanding section 24-a of part A of chapter 57 of the laws of 2013, and consistent with section one of this act, the commissioner of education shall not recover from the Panama central school district any penalty arising from the late filing of a final cost report pursuant to section 31 of part A of chapter 57 of the laws of 2012, provided that any amounts already so recovered shall be deemed a payment of moneys due for prior years pursuant to paragraph c of subdivision 5 of section 3604 of the education law and shall be paid to the Panama central school district pursuant to such provision, provided that such school district:
(a) submitted the late or missing final building cost report to the commissioner of education;
(b) such cost report is approved by the commissioner of education;
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD04280-01-9
S. 957 2
(c) all state funds expended by the school district, as documented in such cost report, were properly expended for such building project in accordance with the terms and conditions for such project as approved by the commissioner of education; and
(d) the failure to submit such report in a timely manner was an inadvertent administrative or ministerial oversight by the school district, and there is no evidence of any fraudulent or other improper intent by such district.
§ 3. 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 legalize, validate, ratify and confirm the actions of the Panama central school district notwithstanding the failure to timely file final building cost reports with the education department
Purpose or general idea of bill
Legalizes, validates, ratifies and confirms the actions of the Panama central school district regardless of the failure of such district to timely file final building cost reports.
Summary of specific provisions
Section 1. Allows the Education Department to consider the final cost report for Panama Central School as legalized, validated, ratified and confirmed for approved building projects completed prior to December 31, 2012 recognizing that the failure to submit the report in a timely manner was an inadvertent administrative or ministerial oversight.
Read the full memo (640 words)
Section 2. Provides that the Commissioner of the State Education Depart- ment shall not recover from the Panama Central School District any penalty arising from the late filing of a final cost report pursuant to section 31 of part A of chapter 57 of the laws of 2012, provided that any amounts already so recovered shall be deemed a payment for money due for prior years pursuant to paragraph c of subdivision 5 of section 3604 of the education law and shall be paid to the Panama Central School District pursuant to such provision.
Section 3. Establishes that the act shall take effect immediately.
Justification
The Panama Central School District was assessed a $4.9 million penalty as a result of a late final cost report from a 2005 capital project. In 2005, the Panama Central School District completed a small maintenance project that was closed out. In 2009, Panama Central School District verified that this project was complete as shown on the state website. Panama then started a new project in 2008. In 2012, Panama Central School reviewed the state's website to find that they had an "open" project with a substantial completion certificate filed on August 28, 2002 and December 12, 2005. This information was not previously made available to Panama Central School when they were closing out their 2005 building project. This meant that Panama Central School neglected to file a Final Cost Report for a building project with the Office of Facility Planning of the State Education Department (SED) within the established time frame.
In the 2013-14 State Budget, a plan was negotiated that allowed for a 10-year repayment plan to help the school manage what remained a tremen- dous penalty for a small rural school district. Also provided in the 2013-14 State Budget was a $500,000 Supplemental Valuation Impact Grant through the Education Department/Aid to Localities budget bill, which was provided for again in the 2014-15 State Budget, the 2015-16 State Budget, the 2016-17 State Budget, the 2017-18 State Budget, and the 2018-19 State Budget. This bill would forgive the remaining amount, $1.9 million, of the assessed penalty. Without full forgiveness of this penalty, the students who attend Panama Central School and the District's taxpayers will be left holding the bag for administrative oversights made over a decade ago.
With our small, rural schools already facing the heavy burdens of limit- ed state aid, tax revenues and loss of enrollment and tax base, Panama Central School faces particularly significant cash flow problems that threaten its very operations if not addressed.
Panama and Clymer Central School Districts previously laid plans to merge but the community had voiced tremendous concern over inheriting Panama's final cost report penalties, leading to the merger being voted down in November 2017. As such, locally, many individuals continue to view this overwhelming obstacle as a key factor in the merger vote's failure.
Prior legislative history
2018: S.7383/A.9730 Vetoed Memo 357 2017: S.6779/A.8302-A Vetoed Memo 170 2015,2016: S.7416/A.10045 Passed Senate
Fiscal implications
$1.9 million in remaining final cost report penalty
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.