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

                                  5797

                       2009-2010 Regular Sessions

                            I N  S E N A T E

                              June 5, 2009
                               ___________

Introduced  by  Sen. VALESKY -- read twice and ordered printed, and when
  printed to be committed to the Committee on Rules

AN ACT to amend the general municipal law  and  the  education  law,  in
  relation to limiting unfunded mandates

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

  Section 1. The general municipal  law  is  amended  by  adding  a  new
section 25 to read as follows:
  S  25.  FUNDING  OF MANDATES. 1. DEFINITIONS. AS USED IN THIS SECTION,
THE FOLLOWING TERMS SHALL HAVE THE FOLLOWING MEANINGS:
  (A) "MANDATE" MEANS A  STATE  LAW,  RULE,  REGULATION  OR  ORDER  THAT
REQUIRES A LOCAL GOVERNMENT TO (I) PROVIDE OR OPERATE (1) A NEW PROGRAM,
PROJECT  OR ACTIVITY OR (2) GREATER OR CHANGED SERVICE OR FUNDING FOR AN
EXISTING PROGRAM, PROJECT OR ACTIVITY, OR (II) GRANT A NEW CLASS OF REAL
PROPERTY TAX EXEMPTION, OR BROADEN THE ELIGIBILITY FOR OR  INCREASE  THE
DOLLAR AMOUNT OF ANY EXISTING REAL PROPERTY TAX EXEMPTION.
  (B)  "UNFUNDED  MANDATE"  SHALL  MEAN  A MANDATE THAT RESULTS IN A NET
ADDITIONAL COST TO A LOCAL GOVERNMENT. A MANDATE SHALL NOT BE CONSIDERED
UNFUNDED WHERE IT:
  (I) IS REQUIRED BY A FINAL, NONAPPEALABLE COURT ORDER OR JUDGMENT;
  (II) IS PROVIDED BY THE LOCAL GOVERNMENT AT ITS OPTION PURSUANT  TO  A
LAW, REGULATION, RULE OR ORDER THAT IS PERMISSIVE RATHER THAN MANDATORY;
  (III) IS PURSUANT TO STATUTE, OR A RULE OR REGULATION PURSUANT TO SUCH
STATUTE,  ENACTED  BY  THE LEGISLATURE ON RECEIPT OF A HOME RULE MESSAGE
WHEREBY A LOCAL GOVERNMENT REQUESTS AUTHORITY TO IMPLEMENT  THE  PROGRAM
OR  SERVICE SPECIFIED IN THE STATUTE, AND THE STATUTE IMPOSES COSTS ONLY
UPON THAT LOCAL GOVERNMENT;
  (IV) IS REQUIRED BY OR IMPLEMENTS AN EXECUTIVE ORDER OF  THE  GOVERNOR
IN THE EXERCISE OF EMERGENCY POWERS;
  (V) IS REQUIRED PURSUANT TO SECTION THIRTY-NINE OF THE JUDICIARY LAW;

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD11931-04-9

              

S. 5797                             2

  (VI)  IS REQUIRED BY STATE STATUTE, REGULATION OR EXECUTIVE ORDER THAT
IMPLEMENTS A FEDERAL LAW OR REGULATION AND IMPOSES COSTS THAT THE FEDER-
AL GOVERNMENT MANDATES TO BE BORNE AT THE LOCAL LEVEL, UNLESS AND TO THE
EXTENT THAT SUCH STATE STATUTE, REGULATION OR EXECUTIVE ORDER RESULTS IN
COSTS THAT EXCEED THOSE MANDATED BY THE FEDERAL GOVERNMENT;
  (VII)  IS REQUIRED BY A DECISION, ORDER OR OTHER RULING OF AN ADMINIS-
TRATIVE LAW JUDGE, ARBITRATION PANEL OR OTHER HEARING  OFFICER  PURSUANT
TO ARTICLE FOURTEEN OF THE CIVIL SERVICE LAW; OR
  (VIII) IS RELATED TO OR REQUIRED IN THE INTEREST OF PUBLIC SAFETY, LAW
ENFORCEMENT,   DISASTER   PREPAREDNESS,  HOMELAND  SECURITY  OR  RELATED
MATTERS, AS DEFINED BY STATE RULE OR REGULATION.
  (C) "NET ADDITIONAL COST"  MEANS  THE  COSTS  INCURRED  OR  REASONABLY
PROJECTED  BY THE ISSUER OF THE MANDATE, BASED ON SOUND EMPIRICAL ANALY-
SIS, AS LIKELY TO BE INCURRED  WITHIN  A  ONE-YEAR  PERIOD  BY  A  LOCAL
GOVERNMENT IN PERFORMING OR ADMINISTERING THE MANDATE, AFTER SUBTRACTING
REVENUES  RECEIVED  OR LIKELY TO BE RECEIVED BY SUCH LOCAL GOVERNMENT IN
RELATION TO THE MANDATE, INCLUDING BUT NOT LIMITED TO:
  (I) FEES CHARGED TO THE RECIPIENTS OF ANY MANDATED PROGRAM OR SERVICE;
  (II) STATE OR FEDERAL FUNDS RECEIVED FOR ANY PROGRAM OR SERVICE; AND
  (III) SAVINGS RESULTING FROM THE REDUCTION OR ELIMINATION OF ANY OTHER
PROGRAM OR SERVICE DIRECTLY ATTRIBUTABLE TO THE PERFORMANCE OR  ADMINIS-
TRATION OF A MANDATED PROGRAM.
  (D) "LOCAL GOVERNMENT" MEANS ANY COUNTY, CITY, TOWN, OR VILLAGE.
  2.  FUNDING  OF  LOCAL  GOVERNMENT  MANDATES.  (A) EXCEPT AS OTHERWISE
PROVIDED IN PARAGRAPH (B) OF THIS SUBDIVISION, NO UNFUNDED MANDATE SHALL
CREATE (I) AN ANNUAL NET COST TO ANY LOCAL GOVERNMENT IN EXCESS OF  .01%
OF  ITS  ANNUAL  OPERATING  BUDGET OR (II) AN AGGREGATE ANNUAL NET ADDI-
TIONAL COST TO ALL LOCAL GOVERNMENTS WITHIN THE STATE IN EXCESS  OF  TEN
MILLION DOLLARS.
  (B)  AT THE BEGINNING OF EACH FOURTH CALENDAR YEAR AFTER THE EFFECTIVE
DATE OF THIS SECTION, THE STATE COMPTROLLER SHALL DETERMINE THE PERCENT-
AGE OF THE DIFFERENCE BETWEEN THE MOST RECENT AVAILABLE MONTHLY CONSUMER
PRICE INDEX FOR ALL URBAN  CONSUMERS  PUBLISHED  BY  THE  UNITED  STATES
BUREAU  OF  LABOR STATISTICS AND SUCH CONSUMER PRICE INDEX PUBLISHED FOR
THE SAME MONTH FOUR YEARS PREVIOUSLY. THE  AGGREGATE  ANNUAL  NET  ADDI-
TIONAL  COST  FIXED  IN THE PRECEDING PARAGRAPH SHALL BE ADJUSTED BY THE
AMOUNT OF SUCH PERCENTAGE DIFFERENCE TO THE CLOSEST ONE HUNDRED  DOLLARS
BY THE STATE COMPTROLLER WHICH, NOT LATER THAN THE FIRST DAY OF FEBRUARY
IN  EACH  SUCH  YEAR,  SHALL ISSUE A REGULATION PUBLISHING THE AMOUNT OF
EACH SUCH AGGREGATE ANNUAL NET ADDITIONAL COST.  EACH  AGGREGATE  ANNUAL
NET  ADDITIONAL  COST  AS  SO ADJUSTED SHALL BE THE AGGREGATE ANNUAL NET
ADDITIONAL COST IN EFFECT FOR ANY STATE LAW, RULE, REGULATION  OR  ORDER
ON AND AFTER SUCH DATE.
  3.  THE  EFFECTIVE  DATE OF ANY MANDATE SHALL PROVIDE FOR A REASONABLE
TIME FOR THE STATE AND ANY LOCAL GOVERNMENT AFFECTED THEREBY TO PLAN FOR
ITS IMPLEMENTATION AND SHALL  TAKE  INTO  ACCOUNT  THE  AVAILABILITY  OF
REQUIRED FUNDS TO BRING ABOUT COMPLIANCE THEREWITH.
  S  2.  The  education  law is amended by adding a new section 308-a to
read as follows:
  S 308-A. FUNDING OF MANDATES. 1. DEFINITIONS. AS USED IN THIS SECTION,
THE FOLLOWING TERMS SHALL HAVE THE FOLLOWING MEANINGS:
  (A) "MANDATE" MEANS A  STATE  LAW,  RULE,  REGULATION  OR  ORDER  THAT
REQUIRES A SCHOOL DISTRICT, ORGANIZED EITHER BY SPECIAL LAWS OR PURSUANT
TO  A  GENERAL  LAW, TO PROVIDE OR OPERATE A (I) NEW PROGRAM, PROJECT OR
ACTIVITY OR (II) GREATER OR CHANGED SERVICE OR FUNDING FOR  AN  EXISTING
PROGRAM, PROJECT OR ACTIVITY.

S. 5797                             3

  (B)  "UNFUNDED  MANDATE"  SHALL MEAN ANY MANDATE THAT RESULTS IN A NET
ADDITIONAL COST TO THE SCHOOL DISTRICT. A MANDATE SHALL NOT  BE  CONSID-
ERED UNFUNDED WHERE IT:
  (I) IS REQUIRED BY A FINAL, NONAPPEALABLE COURT ORDER OR JUDGMENT;
  (II)  IS  PROVIDED  BY THE SCHOOL DISTRICT AT ITS OPTION PURSUANT TO A
LAW, REGULATION, RULE OR ORDER THAT IS PERMISSIVE RATHER THAN MANDATORY;
  (III) IS REQUIRED BY STATE STATUTE, REGULATION OR EXECUTIVE ORDER THAT
IMPLEMENTS A FEDERAL LAW OR REGULATION AND IMPOSES COSTS THAT THE FEDER-
AL GOVERNMENT MANDATES BE BORNE AT THE LOCAL LEVEL, UNLESS  AND  TO  THE
EXTENT  THAT  THE STATE STATUTE OR EXECUTIVE ORDER RESULTS IN COSTS THAT
EXCEED THOSE MANDATED BY THE FEDERAL GOVERNMENT; OR
  (IV) IS REQUIRED BY A DECISION, ORDER OR OTHER RULING OF  AN  ADMINIS-
TRATIVE  LAW  JUDGE, ARBITRATION PANEL OR OTHER HEARING OFFICER PURSUANT
TO ARTICLE FOURTEEN OF THE CIVIL SERVICE LAW.
  (C) "NET ADDITIONAL COST"  MEANS  THE  COSTS  INCURRED  OR  REASONABLY
ANTICIPATED BY THE ISSUER OF THE MANDATE, BASED ON SOUND EMPIRICAL ANAL-
YSIS,  AS  LIKELY TO BE INCURRED WITHIN A SCHOOL DISTRICT'S BUDGET CYCLE
IN PERFORMING OR ADMINISTERING THE MANDATE, AFTER SUBTRACTING ANY REVEN-
UES RECEIVED OR LIKELY TO BE RECEIVED BY THE SCHOOL DISTRICT IN RELATION
TO THE MANDATE, INCLUDING BUT NOT LIMITED TO:
  (I) FEES CHARGED TO THE RECIPIENTS OF ANY MANDATED PROGRAM OR SERVICE;
  (II) STATE OR FEDERAL FUNDS RECEIVED FOR ANY PROGRAM OR SERVICE; AND
  (III) SAVINGS RESULTING FROM THE REDUCTION OR ELIMINATION OF ANY OTHER
PROGRAM OR SERVICE DIRECTLY ATTRIBUTABLE TO THE PERFORMANCE OR  ADMINIS-
TRATION OF A MANDATED PROGRAM.
  2.  FUNDING  OF  SCHOOL  DISTRICT  MANDATES. NOTWITHSTANDING ANY OTHER
PROVISION OF LAW, NO UNFUNDED MANDATE SHALL CREATE  (A)  AN  ANNUAL  NET
COST  TO  ANY  SCHOOL DISTRICT IN EXCESS OF .01% OF ITS ANNUAL OPERATING
BUDGET OR (B) AN AGGREGATE ANNUAL NET  ADDITIONAL  COST  TO  ALL  SCHOOL
DISTRICTS WITHIN THE STATE IN EXCESS OF TEN MILLION DOLLARS.
  3.  THE  EFFECTIVE DATE OF ANY MANDATE SHALL PROVIDE A REASONABLE TIME
FOR THE STATE AND ANY SCHOOL DISTRICT TO PLAN FOR ITS IMPLEMENTATION AND
SHALL TAKE INTO ACCOUNT THE AVAILABILITY  OF  REQUIRED  FUNDS  TO  BRING
ABOUT COMPLIANCE THEREWITH.
  S  3.  This  act  shall take effect immediately and shall apply to any
state law, rule, regulation or order enacted or promulgated on or  after
such date.