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S523Senate2025-2026 SessionSame asA475

Pay for School Merger Studies

Official title

“Relates to reimbursement for studies for districts subject to reorganization”

Sponsor Shelley MayerSD-37+2 co-sponsorsAffects Finance
Status
In Senate Committee
Finance
Impact
4/10
Low
Passage
24%

Bill progress

Step 2 of 7

In committee · Finance

What's happening

This bill requires New York school districts to be reimbursed for expenses from state-mandated studies related to district reorganizations.

Why it matters

  1. Shifts financial responsibility for state-mandated studies. from local school districts to the state, potentially easing budget pressures on districts being considered for mergers, consolidations, or annexations.

  2. May encourage more open participation in reorganization processes. , since districts won’t be deterred by the up-front costs of required studies, possibly leading to more thorough evaluations of potential benefits or downsides.

  3. Links reimbursement to the availability of state appropriations. , meaning districts may face delays in reimbursement if funding hasn’t been set aside—adding uncertainty to district planning.

  4. Clarifies the definition of “reorganization” for aid eligibility. , making it explicit which types of district changes are covered, which could improve transparency and consistency in how state aid is administered.

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Who cares

  • School districts pursuing reorganization

    The bill would reimburse actual expenses related to Education Department-required studies for mergers, consolidations or annexations eligible for reorganization aid.

  • New York State Education Department

    Its required reorganization studies would qualify for reimbursement, with implementation tied to an appropriation to the department.

  • New York State Division of the Budget

    It would have to notify the Legislative Bill Drafting Commission whether the appropriation has been made and, if not, when it is made.

Headline styles

Pay for School Merger Studies

Plain English, a few words. Used as the page title.

Sponsors

Primary sponsor
Shelley Mayer

Senator · Senate District 37

Chair, EducationChair, Ethics And Internal Governance

History

  1. Reported and committed to finance
  2. Referred to education
  3. Reported and committed to finance
  4. 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.

A475Assembly

Pay for School Merger Studies

In Assembly Committee · Education · Sponsor Carrie Woerner

Impact 4 · Low23% to pass

Full text

1 pageUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗

STATE OF NEW YORK

523

2025-2026 Regular Sessions

IN SENATE (Prefiled)

January 8, 2025

Introduced by Sens. MAYER, GALLIVAN, HELMING -- read twice and ordered printed, and when printed to be committed to the Committee on Education

AN ACT to amend the education law, in relation to reimbursement for studies for districts subject to reorganization

The People of the State of New York, represented in Senate and Assembly, do enact as follows:

Section 1. Section 3602 of the education law is amended by adding a new subdivision 14-a to read as follows:

14-a. Districts shall be reimbursed for any actual expenses incurred relating to any study that is required by the department for purposes of approving a reorganization. For purposes of this subdivision the term "reorganization" shall mean any merger, consolidation, or annexation eligible for aid under subdivision fourteen of this section.

§ 2. This act shall take effect immediately; provided, however, that if upon such effective date, an appropriation to the education department shall not have been made for reimbursement of school districts and boards of cooperative educational services for the purposes of implementing the provisions of subdivision 14-a of section 3602 of the education law, as added by section one of this act, then this act shall take effect on the forty-fifth day after such an appropriation is made, and provided, further, that the division of the budget shall notify the legislative bill drifting commission upon enactment whether such an appropriation has been made, and if such appropriation shall not have been made on or before such date, the division of the budget shall notify the legislative bill drafting commission upon the date such an appropriation shall have been made, in order that the commission may maintain an accurate and timely effective data base of the official text of the laws of the state of New York in furtherance of effectuating the provisions of section 44 of the legislative law and section 70-b of the public officers law.

EXPLANATION--Matter in italics (underscored) is new; matter in brackets

[ ] is old law to be omitted.

LBD01379-01-5

Reflowed for reading: line numbers and page breaks removed. Cite the official text.

Sponsor's memo

Purpose

This legislation provides that reorganization aid afforded to school districts upon merger, consolidation, or annexation under Education Law § 3602(14) include reimbursement for expenses incurred on behalf of districts relating to any study required by the State Education Depart- ment for the purposes of approving a reorganization of the school district.

Summary of specific provisions

Section 1 provides that districts be reimbursed for actual expenses incurred relating to any study required by the department for purposes of approving a reorganization, which is defined as "any merger, consol- idation, or annexation eligible for aid" under Education Law § 3602(14)

Section 2 establishes the effective date.

Justification

Currently, if two or more school district boards of education agree that reorganization may have potential benefit for their respective districts, a comprehensive feasibility study is undertaken to develop information relating to how the reorganized district(s) would operate. Such a study is often required by the State Education Department prior to issuing formal orders which permit the districts to proceed legally through the reorganization process.

Education Law § 3602(14) sets out the reorganization aid currently provided by New York State to districts upon merger or consolidation, but the law does not include language that would reimburse districts for the cost of related feasibility studies that all or nearly all districts would have required.

This legislation would ensure that school districts are not burdened by the costs of these feasibility studies, nor deterred from pursuing merg- er or consolidation due to the associated costs.

Prior legislative history

2023/24: S2293 (Mayer)/ A1351: reported and committed to Finance; referred to Education

2021/22: S547 (Mayer) / A2370 (Woerner): passed Senate; delivered to Assembly

2019/20: S3875 (Mayer) / A1543 (Woerner): passed Senate (2019); reported and committed to Finance (2020)

Fiscal implications

Unknown.

Effective date

This act shall take effect immediately; with exceptions. Provided, however, that if upon such effective date, an appropriation to the education department shall not have been made for reimbursement of school districts and boards of cooperative educational services for the purposes of implementing the provisions of subdivision 14-a of section 3602 of the education law, as added by section one of this act, then this act shall take effect on the forty-fifth day after such an appro- priation is made, and provided, further, that the division of the budget shall notify the legislative bill drafting commission upon enactment whether such an appropriation has been made, and if such appropriation shall not have been made on or before such date, the division of the budget shall notify the legislative bill drafting commission upon the date such an appropriation shall have been made, in order that the commission may maintain an accurate and timely effective data base of the official text of the laws of the state of New York in furtherance of effectuating the provisions of section 44 of the legislative law and section 70-b of the public officers law.

Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.