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

                                  9462

                          I N  A S S E M B L Y

                              March 5, 2012
                               ___________

Introduced by M. of A. CASTRO -- read once and referred to the Committee
  on Banks

AN  ACT  to  amend  the  banking  law  and  the general business law, in
  relation to establishing a wire transfer fee on all wire transfers and
  transmissions to foreign countries; and to amend the education law and
  the state finance law, in relation to  establishing  the  undocumented
  student education fund

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

  Section 1. The banking law is amended by adding a new section  9-v  to
read as follows:
  S  9-V. WIRE TRANSFER FEE. 1. EVERY ORGANIZATION UNDER THE SUPERVISION
OF THE DEPARTMENT SHALL COLLECT A FEE ON EACH TRANSACTION FOR AN  AMOUNT
EQUAL TO .5 PERCENT OF THE TRANSACTION.
  2.  THE  FEE  PRESCRIBED  BY  SUBDIVISION ONE OF THIS SECTION SHALL BE
REMITTED QUARTERLY TO THE STATE COMPTROLLER FOR DEPOSIT INTO THE UNDOCU-
MENTED  STUDENT  EDUCATION  FUND   ESTABLISHED   PURSUANT   TO   SECTION
NINETY-SEVEN-LLLL  OF  THE  STATE  FINANCE  LAW.  ALL REQUIRED FORMS AND
REMITTANCES SHALL BE FILED WITH THE DEPARTMENT OF TAXATION  AND  FINANCE
NOT  LATER  THAN  THE  FIFTEENTH DAY OF THE MONTH FOLLOWING THE CLOSE OF
EACH CALENDAR QUARTER.
  3. FOR THE PURPOSES OF THIS SECTION, THE TERM "TRANSACTION" SHALL MEAN
THE WIRE TRANSFER OR OTHER TRANSMISSION OF MONEY FROM WITHIN THIS  STATE
TO ANY FOREIGN COUNTRY.
  S  2.  Subdivision  4 of section 383 of the banking law, as amended by
chapter 360 of the laws of 1984, is amended to read as follows:
  4. To receive money for  transmission  and  to  transmit  such  money,
SUBJECT  TO SECTION NINE-V OF THIS CHAPTER, and to sell money orders and
travel checks as agent for any corporation, association or  joint  stock
company  empowered  to sell such instruments through agents in the state
of New York.
  S 3. Paragraph (b) of subdivision 7 of section 454 of the banking law,
as added by chapter 679 of the laws of  2003,  is  amended  to  read  as
follows:

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

                                                           LBD14087-04-2

A. 9462                             2

  (b)  To collect, receive and disburse funds, SUBJECT TO SECTION NINE-V
OF THIS CHAPTER, in connection with the issuance of  negotiable  checks,
money orders, travelers checks and other payment instruments to members,
and to charge a fee for such services;
  S 4.  The banking law is amended by adding a new section 641-a to read
as follows:
  S  641-A.  WIRE TRANSFER FEE. 1. EVERY LICENSEE SHALL COLLECT A FEE ON
EACH TRANSACTION FOR AN AMOUNT EQUAL TO .5 PERCENT OF THE TRANSACTION.
  2. THE FEE PRESCRIBED BY SUBDIVISION ONE  OF  THIS  SECTION  SHALL  BE
REMITTED QUARTERLY TO THE STATE COMPTROLLER FOR DEPOSIT INTO THE UNDOCU-
MENTED   STUDENT   EDUCATION   FUND   ESTABLISHED  PURSUANT  TO  SECTION
NINETY-SEVEN-LLLL OF THE STATE  FINANCE  LAW.  ALL  REQUIRED  FORMS  AND
REMITTANCES  SHALL  BE FILED WITH THE DEPARTMENT OF TAXATION AND FINANCE
NOT LATER THAN THE FIFTEENTH DAY OF THE MONTH  FOLLOWING  THE  CLOSE  OF
EACH CALENDAR QUARTER.
  3. FOR THE PURPOSES OF THIS SECTION, THE TERM "TRANSACTION" SHALL MEAN
THE  WIRE TRANSFER OR OTHER TRANSMISSION OF MONEY FROM WITHIN THIS STATE
TO ANY FOREIGN COUNTRY.
  S 5. The general business law is amended by adding a new section 165-a
to read as follows:
  S 165-A. TRANSACTION FEE. 1. EVERY AGENT SHALL COLLECT A FEE  ON  EACH
TRANSACTION FOR AN AMOUNT EQUAL TO .5 PERCENT OF THE TRANSACTION.
  2.  THE  FEE  PRESCRIBED  BY  SUBDIVISION ONE OF THIS SECTION SHALL BE
REMITTED QUARTERLY TO THE STATE COMPTROLLER FOR DEPOSIT INTO THE UNDOCU-
MENTED  STUDENT  EDUCATION  FUND   ESTABLISHED   PURSUANT   TO   SECTION
NINETY-SEVEN-LLLL  OF  THE  STATE  FINANCE  LAW.  ALL REQUIRED FORMS AND
REMITTANCES SHALL BE FILED WITH THE DEPARTMENT OF TAXATION  AND  FINANCE
NOT  LATER  THAN  THE  FIFTEENTH DAY OF THE MONTH FOLLOWING THE CLOSE OF
EACH CALENDAR QUARTER.
  3. FOR THE PURPOSES OF THIS SECTION, THE TERM "TRANSACTION" SHALL MEAN
THE WIRE TRANSFER OR OTHER TRANSMISSION OF MONEY FROM WITHIN THIS  STATE
TO ANY FOREIGN COUNTRY.
  S  6.  Section  305  of  the  education law is amended by adding a new
subdivision 43 to read as follows:
  43. THE COMMISSIONER, IN CONSULTATION WITH THE COMMISSIONER  OF  TAXA-
TION  AND  FINANCE, SHALL PROMULGATE RULES AND REGULATIONS PROVIDING FOR
THE IMPLEMENTATION OF SUBDIVISION THREE OF SECTION NINETY-SEVEN-LLLL  OF
THE STATE FINANCE LAW.
  S  7. The state finance law is amended by adding a new section 97-llll
to read as follows:
  S 97-LLLL. UNDOCUMENTED STUDENT EDUCATION FUND.  1.  THERE  IS  HEREBY
ESTABLISHED  IN  THE  JOINT  CUSTODY OF THE COMMISSIONER OF TAXATION AND
FINANCE AND THE COMMISSIONER OF EDUCATION A FUND  TO  BE  KNOWN  AS  THE
"UNDOCUMENTED STUDENT EDUCATION FUND".
  2.  (A)  SUCH  FUND SHALL CONSIST OF MONEYS PAID THERETO FROM THE WIRE
TRANSFER FEE AS PROVIDED IN SECTIONS NINE-V AND SIX HUNDRED  FORTY-ONE-A
OF  THE  BANKING  LAW,  THE  TRANSACTION  FEE AS PROVIDED IN SECTION ONE
HUNDRED SIXTY-FIVE-A OF THE GENERAL BUSINESS LAW AND  ALL  OTHER  MONEYS
APPROPRIATED,  TRANSFERRED  OR  CREDITED  THERETO FROM ANY OTHER FUND OR
SOURCE PURSUANT TO LAW.
  (B) ANY MONEYS IN SUCH ACCOUNT MAY BE  INVESTED  BY  THE  STATE  COMP-
TROLLER  PURSUANT  TO  SECTION  NINETY-EIGHT-A  OF  THIS ARTICLE AND ANY
INCOME FROM SUCH INVESTMENT SHALL BE CREDITED TO THE FUND.
  3. MONEYS IN THE ACCOUNT SHALL BE MADE AVAILABLE FOR  THE  PAYMENT  OF
TUITION  AND OTHER FEES AND CHARGES, BUT SHALL NOT BE MADE AVAILABLE FOR
ROOM AND BOARD, OF A STUDENT WHO IS ATTENDING A CITY UNIVERSITY  OF  NEW

A. 9462                             3

YORK OR THE STATE UNIVERSITY OF NEW YORK AND WHO IS WITHOUT LAWFUL IMMI-
GRATION STATUS OR IS AN UNDOCUMENTED PERSON, IF SUCH STUDENT:
  (A) ENTERED THE UNITED STATES BEFORE THE AGE OF EIGHTEEN; AND
  (B)  ATTENDED  AN  APPROVED  HIGH SCHOOL IN THIS STATE FOR TWO OR MORE
YEARS, GRADUATED FROM AN APPROVED HIGH SCHOOL IN THIS STATE AND  APPLIED
FOR  ATTENDANCE  AT  AN  INSTITUTION  OR  EDUCATIONAL  UNIT OF THE STATE
UNIVERSITY WITHIN FIVE YEARS OF RECEIVING A NEW YORK STATE  HIGH  SCHOOL
DIPLOMA; OR
  (C) ATTENDED AN APPROVED NEW YORK STATE PROGRAM FOR GENERAL EQUIVALEN-
CY  DIPLOMA  EXAM  PREPARATION,  RECEIVED  A GENERAL EQUIVALENCY DIPLOMA
ISSUED WITHIN NEW YORK STATE AND APPLIED FOR ATTENDANCE AT  AN  INSTITU-
TION  OR  EDUCATIONAL  UNIT OF THE STATE UNIVERSITY WITHIN FIVE YEARS OF
RECEIVING A GENERAL EQUIVALENCY DIPLOMA ISSUED WITHIN NEW YORK STATE.
  A STUDENT WITHOUT LAWFUL IMMIGRATION STATUS SHALL ALSO BE REQUIRED  TO
FILE AN AFFIDAVIT WITH SUCH INSTITUTION OR EDUCATIONAL UNIT STATING THAT
THE  STUDENT HAS FILED AN APPLICATION TO LEGALIZE HIS OR HER IMMIGRATION
STATUS, OR WILL FILE SUCH AN APPLICATION AS SOON AS HE OR SHE IS  ELIGI-
BLE TO DO SO.
  4.  MONIES  SHALL BE PAYABLE FROM THE FUND ON THE AUDIT AND WARRANT OF
THE COMPTROLLER ON VOUCHERS APPROVED AND CERTIFIED BY  THE  COMMISSIONER
OF EDUCATION.
  5.  TO  THE  EXTENT  PRACTICABLE,  THE COMMISSIONER OF EDUCATION SHALL
ENSURE THAT ALL MONIES RECEIVED DURING A FISCAL YEAR ARE EXPENDED  PRIOR
TO THE END OF THAT FISCAL YEAR.
  S 8. This act shall take effect on the one hundred twentieth day after
it  shall have become a law. Effective immediately, the addition, amend-
ment and/or repeal of any rule or regulation necessary for the implemen-
tation of this act on its effective date is authorized to be made on  or
before such date.