S T A T E   O F   N E W   Y O R K
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                                  9004

                          I N  A S S E M B L Y

                            January 13, 2012
                               ___________

Introduced  by M. of A. PRETLOW -- read once and referred to the Commit-
  tee on Education

AN ACT to amend the education law, the general  municipal  law  and  the
  public  authorities  law,  in  relation  to  allowing  the city school
  district of the city  of  Yonkers  the  option  of  amortizing  future
  payments to the New York state teachers' retirement system

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

  Section 1. Section 521 of the education law is amended by adding a new
subdivision 3 to read as follows:
  3. NOTWITHSTANDING ANY OTHER PROVISION OF LAW  TO  THE  CONTRARY,  THE
BOARD  OF  EDUCATION  OF THE CITY SCHOOL DISTRICT OF THE CITY OF YONKERS
MAY ELECT TO PROVIDE FOR THE FINANCING  OF  A  CERTAIN  PORTION  OF  THE
CONTRIBUTIONS DUE FROM SUCH EMPLOYER PURSUANT TO THIS SECTION ON ACCOUNT
OF  PENSIONABLE COMPENSATION PAID BY SUCH EMPLOYER DURING THE PLAN YEARS
JULY FIRST, TWO THOUSAND TWELVE THROUGH  JUNE  THIRTIETH,  TWO  THOUSAND
THIRTEEN  AND  JULY FIRST, TWO THOUSAND THIRTEEN THROUGH JUNE THIRTIETH,
TWO THOUSAND FOURTEEN IN ACCORDANCE WITH THE FOLLOWING PROVISIONS.
  A. THE BOARD OF EDUCATION OF THE CITY SCHOOL DISTRICT OF THE  CITY  OF
YONKERS  SHALL HAVE THE AUTHORITY TO ADOPT A BOND RESOLUTION AUTHORIZING
THE FINANCING OF THE PAYMENT OF A PORTION OF THE CONTRIBUTIONS DUE  FROM
SUCH  EMPLOYER  ON  ACCOUNT  OF  PENSIONABLE  COMPENSATION  PAID BY SUCH
EMPLOYER IN SUCH PLAN YEARS BY THE ISSUANCE OF BONDS, PROVIDED THE ISSU-
ANCE OF SUCH OBLIGATIONS OTHERWISE COMPLIES WITH THE REQUIREMENTS OF THE
LOCAL FINANCE LAW AND THIS CHAPTER AND PROVIDED FURTHER  THE  AMOUNT  OF
BONDS  ISSUED  PURSUANT  TO  THIS  AUTHORITY  SHALL NOT IN THE AGGREGATE
EXCEED ONE HUNDRED TWENTY-FIVE PER CENTUM OF THE CONTRIBUTIONS DUE  FROM
SUCH  EMPLOYER  ON  ACCOUNT  OF PENSIONABLE COMPENSATION PAID DURING THE
PLAN YEAR JULY FIRST, TWO THOUSAND ELEVEN THROUGH  JUNE  THIRTIETH,  TWO
THOUSAND  TWELVE.    SUCH BOARD OF EDUCATION SHALL HAVE THE AUTHORITY TO
CONTRACT WITH THE STATE DORMITORY AUTHORITY FOR THE PURPOSES OF  FINANC-
ING THE PAYMENT UNDER THIS SECTION.
  B.  THE PROCEEDS OF SUCH BOND ISSUANCE SHALL BE DEPOSITED BY THE BOARD
OF EDUCATION OF THE CITY SCHOOL DISTRICT OF THE CITY  OF  YONKERS  IN  A

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

                                                           LBD09879-08-2

A. 9004                             2

RETIREMENT  CONTRIBUTION RESERVE ACCOUNT ESTABLISHED PURSUANT TO SECTION
SIX-R OF THE GENERAL MUNICIPAL LAW AND SHALL BE APPLIED TO OFFSET  THOSE
CONTRIBUTIONS  DUE  FROM  SUCH  EMPLOYER  TO  THE  SYSTEM  ON ACCOUNT OF
PENSIONABLE  COMPENSATION  PAID  DURING  THE  PLAN YEARS JULY FIRST, TWO
THOUSAND TWELVE THROUGH JUNE THIRTIETH, TWO THOUSAND THIRTEEN  AND  JULY
FIRST,  TWO THOUSAND THIRTEEN THROUGH JUNE THIRTIETH, TWO THOUSAND FOUR-
TEEN AND PAID TO THE SYSTEM FROM THE APPROPRIATION FOR  THE  SUPPORT  OF
COMMON SCHOOLS PURSUANT TO THIS SECTION AS FOLLOWS:
  (I)  SO  MUCH OF SUCH PROCEEDS SHALL BE APPLIED TO OFFSET THE CONTRIB-
UTIONS DUE FROM SUCH EMPLOYER ON  ACCOUNT  OF  PENSIONABLE  COMPENSATION
PAID  BY  SUCH  EMPLOYER  DURING  THE PLAN YEAR JULY FIRST, TWO THOUSAND
TWELVE THROUGH JUNE THIRTIETH, TWO THOUSAND THIRTEEN  AND  PAID  TO  THE
SYSTEM FROM THE APPROPRIATION FOR THE SUPPORT OF COMMON SCHOOLS PURSUANT
TO  THIS  SECTION, BUT IN NO EVENT SHALL THE OFFSET EXCEED THE AMOUNT BY
WHICH THE CONTRIBUTION OBLIGATION OF SUCH  EMPLOYER  EXCEEDS  EIGHT  AND
SIXTY-TWO  ONE  HUNDREDTHS  PER CENTUM OF SUCH PENSIONABLE COMPENSATION;
AND
  (II) THE REMAINDER OF SUCH PROCEEDS,  IF  ANY,  SHALL  BE  APPLIED  TO
OFFSET  THE CONTRIBUTIONS DUE FROM SUCH EMPLOYER ON ACCOUNT OF PENSIONA-
BLE COMPENSATION PAID BY SUCH EMPLOYER DURING THE PLAN YEAR JULY  FIRST,
TWO  THOUSAND THIRTEEN THROUGH JUNE THIRTIETH, TWO THOUSAND FOURTEEN AND
PAID TO THE SYSTEM FROM THE APPROPRIATION  FOR  THE  SUPPORT  OF  COMMON
SCHOOLS  PURSUANT  TO  THIS  SECTION,  BUT  IN NO EVENT SHALL THE OFFSET
EXCEED THE AMOUNT BY WHICH THE CONTRIBUTION OBLIGATION OF  THE  EMPLOYER
EXCEEDS  EIGHT AND SIXTY-TWO ONE HUNDREDTHS PER CENTUM OF SUCH PENSIONA-
BLE COMPENSATION; AND
  (III) ANY BALANCE OF  SUCH  PROCEEDS,  IF  ANY,  REMAINING  AFTER  THE
ACTIONS PRESCRIBED IN SUBPARAGRAPHS (I) AND (II) OF THIS PARAGRAPH SHALL
BE APPLIED TO OFFSET THE CONTRIBUTIONS DUE FROM SUCH EMPLOYER ON ACCOUNT
OF  PENSIONABLE  COMPENSATION PAID BY SUCH EMPLOYER DURING THE PLAN YEAR
JULY FIRST, TWO THOUSAND FOURTEEN THROUGH JUNE THIRTIETH,  TWO  THOUSAND
FIFTEEN,  USED  TO  OFFSET DEBT RESULTING FROM THIS BOND ISSUANCE OR PAY
FUTURE EMPLOYER PENSION CONTRIBUTIONS.
  S 2. Paragraphs b and c of subdivision 1 of section 6-r of the general
municipal law, as added by chapter 260 of the laws of 2004, are  amended
to read as follows:
  b.  "Participating employer" means a participating employer as defined
in subdivision twenty of section two of the retirement and social  secu-
rity  law  or in subdivision twenty of section three hundred two of such
law OR THE BOARD OF EDUCATION OF THE CITY SCHOOL DISTRICT OF THE CITY OF
YONKERS.
  c. "Retirement contribution" shall mean all  or  any  portion  of  the
amount  payable  by a municipal corporation to either the New York state
and local employees' retirement system or the New York state  and  local
police and fire retirement system pursuant to section seventeen or three
hundred  seventeen  of  the retirement and social security law OR TO THE
NEW YORK STATE TEACHERS' RETIREMENT SYSTEM  PURSUANT  TO  SECTIONS  FIVE
HUNDRED SEVENTEEN AND FIVE HUNDRED TWENTY-ONE OF THE EDUCATION LAW.
  S  3.  Section 6-r of the general municipal law is amended by adding a
new subdivision 11 to read as follows:
  11. A PARTICIPATING EMPLOYER WHICH HAS DEPOSITED  THE  PROCEEDS  OF  A
BOND  ISSUANCE  AUTHORIZED PURSUANT TO SUBDIVISION THREE OF SECTION FIVE
HUNDRED TWENTY-ONE OF THE EDUCATION LAW IS AUTHORIZED TO  WITHDRAW  SUCH
PROCEEDS  WHEN  BUT  ONLY  TO  THE EXTENT SUCH PROCEEDS HAVE BEEN OFFSET
AGAINST THE CONTRIBUTION OBLIGATION OF SUCH EMPLOYER  TO  THE  NEW  YORK
STATE TEACHERS' RETIREMENT SYSTEM AS PROVIDED IN SUCH SUBDIVISION.

A. 9004                             3

  S 4. Section 1678 of the public authorities law is amended by adding a
new subdivision 26 to read as follows:
  26.  TO ENTER INTO A CONTRACT OR CONTRACTS WITH THE BOARD OF EDUCATION
OF THE CITY SCHOOL DISTRICT OF THE CITY OF YONKERS FOR  THE  PURPOSE  OF
FINANCING  RETIREMENT  CONTRIBUTIONS  PAYMENTS  PURSUANT  TO SUBDIVISION
THREE OF SECTION FIVE HUNDRED TWENTY-ONE OF THE EDUCATION LAW.
  S 5. This act shall take effect immediately.