S T A T E   O F   N E W   Y O R K
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                                  8474

                       2009-2010 Regular Sessions

                          I N  A S S E M B L Y

                              May 21, 2009
                               ___________

Introduced  by  M.  of  A.  P. RIVERA  --  read once and referred to the
  Committee on Ways and Means

AN ACT to amend the tax law, in  relation  to  unclaimed  and  abandoned
  prize money

  THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. Section 1614 of the tax law, as amended by chapter  166  of
the laws of 1991, subdivision a as amended by chapter 170 of the laws of
1994, is amended to read as follows:
  S  1614.  Unclaimed and abandoned prize money. a. No prize claim shall
be valid if submitted to the division  following  the  expiration  of  a
one-year  time  period from the date of the drawing or from the close of
the game in which a prize was won, and the person otherwise entitled  to
such  prize shall forfeit any claim or entitlement to such prize moneys.
Unclaimed prize money, plus interest earned thereon, shall be  [retained
in  the lottery prize account to be used for payment of special lotto or
supplemental lotto prizes offered pursuant to the plan or  plans  speci-
fied  in  this  article, or for promotional purposes to supplement other
games on an occasional basis not to  exceed  sixteen  weeks  within  any
twelve  month  period  pursuant  to  the plan or plans specified in this
article.
  In the event that the director proposes to change any plan for the use
of unclaimed prize funds or in the event the  director  intends  to  use
funds  in  a  game  other  than the game from which such unclaimed prize
funds were derived, the director of the budget, the chairperson  of  the
senate  finance  committee, and the chairperson of the assembly ways and
means committee shall be notified in writing  separately  detailing  the
proposed changes to any plan prior to the implementation of the changes]
PAID  TO  THE  STATE  COMPTROLLER.  THE STATE COMPTROLLER IS DIRECTED TO
CREDIT SUCH AMOUNT TO THE  EDUCATION  DEPARTMENT,  GENERAL  FUND/AID  TO
LOCALITIES,  LOCAL  ASSISTANCE  ACCOUNT,  FOR GENERAL SUPPORT FOR PUBLIC

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD11747-01-9
              

A. 8474                             2

SCHOOLS, PROVIDED THAT SUCH AMOUNT SHALL BE USED SOLELY FOR THE PURPOSES
OF PROVIDING ADDITIONAL SUPPORT FOR THE PURPOSES SPECIFIED IN  PARAGRAPH
C  OF  SUBDIVISION FIVE OF SECTION THIRTY-SIX HUNDRED FOUR OF THE EDUCA-
TION LAW, BEYOND MONEYS OTHERWISE APPROPRIATED FOR SUCH PURPOSES.
  b.  The division may determine that a prize has been abandoned whenev-
er  more  than  eighteen months have elapsed since a prize payment check
was mailed to the last known address of the  claimant  and  either  such
check  has been returned undelivered by the United States postal service
and the claimant cannot be located or such check has not  been  returned
undelivered  and has not been presented for payment. Any prize so deter-
mined to have been abandoned shall be  paid  to  the  state  comptroller
[pursuant  to section thirteen hundred fifteen of the abandoned property
law].  NOTWITHSTANDING ANY PROVISION OF LAW, RULE OR REGULATION  TO  THE
CONTRARY,  THE STATE COMPTROLLER IS DIRECTED TO CREDIT SUCH PRIZE AMOUNT
THAT HAS BEEN DETERMINED TO HAVE BEEN  ABANDONED,  AND  ANY  SUCH  PRIZE
AMOUNTS  DETERMINED  TO  HAVE BEEN ABANDONED WHICH HAVE BEEN PAID TO THE
STATE COMPTROLLER PURSUANT TO SECTION THIRTEEN HUNDRED  FIFTEEN  OF  THE
ABANDONED PROPERTY LAW, TO THE EDUCATION DEPARTMENT, GENERAL FUND/AID TO
LOCALITIES,  LOCAL  ASSISTANCE  ACCOUNT,  FOR GENERAL SUPPORT FOR PUBLIC
SCHOOLS, PROVIDED THAT SUCH AMOUNT SHALL BE USED SOLELY FOR THE PURPOSES
OF PROVIDING ADDITIONAL SUPPORT FOR THE PURPOSES SPECIFIED IN  PARAGRAPH
C  OF  SUBDIVISION FIVE OF SECTION THIRTY-SIX HUNDRED FOUR OF THE EDUCA-
TION LAW, BEYOND MONEYS OTHERWISE APPROPRIATED FOR SUCH PURPOSES.
  S 2. This act shall take effect immediately.