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

                                  1314

                       2013-2014 Regular Sessions

                          I N  A S S E M B L Y

                               (PREFILED)

                             January 9, 2013
                               ___________

Introduced  by  M. of A. ZEBROWSKI, RABBITT -- read once and referred to
  the Committee on Ways and Means

AN ACT to amend the general municipal law, in relation  to  establishing
  the Rockland county deficit reduction task force

  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  arti-
cle 18-D to read as follows:
                              ARTICLE 18-D
              ROCKLAND COUNTY DEFICIT REDUCTION TASK FORCE
SECTION 971.   SHORT TITLE.
        971-A. DEFINITIONS.
        971-B. ROCKLAND COUNTY DEFICIT REDUCTION TASK FORCE.
        971-C. ADMINISTRATION.
        971-D. FUNCTIONS.
        971-E. DEFICIT BOND AUTHORIZATION.
        971-F. COMPTROLLER OVERSIGHT.
        971-G. TERMINATION.
        971-H. CONSTRUCTION.
  S  971.  SHORT  TITLE. THIS ACT SHALL BE KNOWN AND MAY BE CITED AS THE
"ROCKLAND COUNTY DEFICIT REDUCTION TASK FORCE ACT".
  S 971-A. DEFINITIONS. (A) "BUDGET"  SHALL  MEAN  A  CURRENT  OPERATING
BUDGET OF THE COUNTY PREPARED OR ADOPTED PURSUANT TO GENERAL, SPECIAL OR
LOCAL  LAW,  BEING  THE ANNUAL BUDGET AND ESTIMATE OF EXPENDITURES TO BE
MADE DURING A FISCAL YEAR FOR THE GENERAL SUPPORT AND  CURRENT  EXPENSES
OF  THE GOVERNMENT OF THE COUNTY TO BE PAID FROM TAXES OR ASSESSMENTS OR
OTHER CURRENT REVENUES OF THE COUNTY FOR SUCH YEAR.
  (B) "CHIEF EXECUTIVE OFFICER" SHALL MEAN THE COUNTY EXECUTIVE  OF  THE
COUNTY OF ROCKLAND.

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD00441-01-3
              

A. 1314                             2

  (C)  "CHIEF  FISCAL  OFFICER"  SHALL  MEAN THE CHIEF FISCAL OFFICER AS
DEFINED IN SECTION 2.00 OF THE LOCAL FINANCE LAW.
  (D)  "COLLECTING  OFFICER" SHALL MEAN THE OFFICER EMPOWERED TO COLLECT
AND RECEIVE COUNTY TAXES.
  (E) "COMPTROLLER" SHALL MEAN THE NEW YORK STATE COMPTROLLER.
  (F) "COUNTY" SHALL MEAN THE COUNTY OF ROCKLAND.
  (G) "COUNTY EXECUTIVE" SHALL MEAN THE  COUNTY  EXECUTIVE  OF  ROCKLAND
COUNTY.
  (H) "COUNTY LEGISLATURE" SHALL MEAN THE LEGISLATIVE BODY OF THE COUNTY
OF ROCKLAND.
  (I)  "COUNTY  TAXES"  SHALL MEAN ALL TAXES ON REAL PROPERTY LEVIED AND
ASSESSED BY THE COUNTY, BASED ON VALUATION THEREOF AND  SHALL  NOT  MEAN
ANY RENT, RATE, FEE, SPECIAL ASSESSMENT OR OTHER CHARGE BASED ON BENEFIT
OR USE.
  (J)  "DEFICIT  BONDS"  SHALL MEAN THE BONDS AUTHORIZED TO BE ISSUED BY
SECTION NINE HUNDRED SEVENTY-ONE-E OF THIS ARTICLE.
  (K) "DEFICIT NOTES" SHALL  MEAN  BOND  ANTICIPATION  NOTES  ISSUED  IN
ANTICIPATION OF THE ISSUANCE OF DEFICIT BONDS.
  (L)  "ELECTED  OFFICIAL"  SHALL MEAN ANY INDIVIDUAL THAT IS ELECTED TO
REPRESENT A POLITICAL SUBDIVISION IN THE STATE.
  (M) "FISCAL YEAR" SHALL MEAN THE FISCAL YEAR OF THE COUNTY.
  (N) "OUTSTANDING", WHEN USED WITH RESPECT TO OBLIGATIONS OF THE COUNTY
AS OF ANY PARTICULAR DATE, SHALL MEAN  ALL  OBLIGATIONS  OF  THE  COUNTY
THERETOFORE  ISSUED  AND  THEREUPON  BEING  ISSUED EXCEPT ANY OBLIGATION
THERETOFORE PAID AND DISCHARGED OR FOR THE PAYMENT OF THE  PRINCIPAL  OF
AND  INTEREST  ON  WHICH MONEY IS HELD BY OR ON BEHALF OF THE COUNTY, IN
TRUST SOLELY AND IN ALL EVENTS ONLY FOR THE PURPOSE  AND  SUFFICIENT  TO
PAY  IN FULL THE PRINCIPAL AND REDEMPTION PREMIUM, IF ANY, OF AND INTER-
EST ON SUCH OBLIGATIONS.
  (O) "SPECIAL DEBT SERVICE" SHALL MEAN, WITH RESPECT TO A FISCAL  YEAR,
THE AMOUNTS REQUIRED FOR THE TIMELY PAYMENT OF: (I) ALL PRINCIPAL DUE OR
BECOMING  DUE AND PAYABLE IN SAID YEAR WITH RESPECT TO ANY SERIAL BONDS,
TAX ANTICIPATION NOTES, CAPITAL NOTES OR BUDGET NOTES OF THE COUNTY, AND
ALL PRINCIPAL AMORTIZATION FOR SAID YEAR REQUIRED BY LAW WITH RESPECT TO
BOND ANTICIPATION NOTES OR OTHER  SECURITIES  OF  THE  COUNTY,  AND  NOT
SPECIFICALLY  MENTIONED  IN PARAGRAPH (II) OF THIS SUBDIVISION; (II) ALL
INTEREST DUE OR BECOMING DUE AND PAYABLE IN SAID YEAR  WITH  RESPECT  TO
ANY  SERIAL  BONDS,  DEFICIT  BONDS, BOND ANTICIPATION NOTES, TAX ANTIC-
IPATION NOTES, REVENUE ANTICIPATION NOTES, CAPITAL NOTES,  BUDGET  NOTES
OR OTHER SECURITIES OF THE COUNTY NOT SPECIFICALLY MENTIONED HEREIN; AND
(III)  ALL SINKING FUND CONTRIBUTIONS REQUIRED IN SAID YEAR WITH RESPECT
TO ANY SINKING FUND BONDS.
  (P) "SPECIAL DEBT SERVICE FUND" SHALL MEAN THE FUND WHICH IS  HELD  BY
THE  STATE COMPTROLLER AND IS DESCRIBED AND PROVIDED FOR IN SECTION NINE
HUNDRED SEVENTY-ONE-E OF THIS ARTICLE.
  (Q) "STATE AID" SHALL MEAN ALL AID AND INCENTIVES  FOR  MUNICIPALITIES
PURSUANT  TO  SECTION FIFTY-FOUR OF THE STATE FINANCE LAW, ANY SUCCESSOR
TYPE OF AID AND ANY NEW AID APPROPRIATED BY THE STATE AS  LOCAL  GOVERN-
MENT ASSISTANCE FOR THE BENEFIT OF THE COUNTY.
  (R) "TASK FORCE" SHALL MEAN THE ROCKLAND COUNTY DEFICIT REDUCTION TASK
FORCE.
  S  971-B.  ROCKLAND  COUNTY DEFICIT REDUCTION TASK FORCE. (A) THERE IS
HEREBY CREATED THE ROCKLAND COUNTY DEFICIT  REDUCTION  TASK  FORCE.  THE
TASK  FORCE  SHALL  PROVIDE OVERSIGHT, MONITORING AND RECOMMENDATIONS ON
THE OPERATIONS AND FINANCES OF THE COUNTY OF ROCKLAND.

A. 1314                             3

  (B) THE TASK FORCE SHALL CONDUCT REGULAR MEETINGS AS IT  DEEMS  NECES-
SARY TO ACCOMPLISH ITS PURPOSE.
  (C) THE TASK FORCE SHALL CONTINUE ITS OVERSIGHT, MONITORING AND RECOM-
MENDATIONS  OF  THE  COUNTY OF ROCKLAND UNTIL DECEMBER THIRTY-FIRST, TWO
THOUSAND SIXTEEN. THE TASK FORCE MAY, BY MAJORITY VOTE, EXTEND THE OPER-
ATION OF THE TASK FORCE FOR TWO YEARS. THE TASK  FORCE  MAY  EXTEND  THE
EXPIRATION EVERY TWO YEARS THEREAFTER. THE VOTE TO EXTEND FOR ADDITIONAL
YEARS  SHALL TAKE PLACE PRIOR TO THE EXPIRATION OF THE TASK FORCE. IN NO
EVENT SHALL THE TASK FORCE EXIST UPON THE FULL REPAYMENT OF DEBT ASSOCI-
ATED WITH THE DEFICIENCY NOTES ISSUED PURSUANT TO SECTION  NINE  HUNDRED
SEVENTY-ONE-E OF THIS ARTICLE.
  S 971-C. ADMINISTRATION. (A) THE TASK FORCE SHALL BE COMPRISED OF NINE
VOTING  MEMBERS  TO  BE  APPOINTED  AS  FOLLOWS:  FOUR  MEMBERS SHALL BE
APPOINTED BY THE GOVERNOR, INCLUDING ONE WHO SHALL SERVE AS  CHAIRPERSON
OF THE TASK FORCE, ONE MEMBER SHALL BE APPOINTED BY THE TEMPORARY PRESI-
DENT  OF THE SENATE, ONE MEMBER SHALL BE APPOINTED BY THE SPEAKER OF THE
ASSEMBLY, ONE MEMBER SHALL BE APPOINTED BY THE  STATE  COMPTROLLER,  ONE
MEMBER  SHALL  BE  APPOINTED BY THE COUNTY EXECUTIVE OF ROCKLAND AND ONE
MEMBER SHALL BE APPOINTED BY THE  CHAIRPERSON  OF  THE  ROCKLAND  COUNTY
LEGISLATURE.
  (B)  NO  MEMBER SHALL BE AN ELECTED OFFICIAL WHILE SERVING ON THE TASK
FORCE. IF A MEMBER OF THE TASK FORCE BECOMES AN ELECTED  OFFICIAL  AFTER
THEIR APPOINTMENT, SUCH MEMBER SHALL IMMEDIATELY RESIGN.
  (C)  VACANCIES  IN  THE APPOINTED POSITIONS ON THE TASK FORCE SHALL BE
FILLED IN THE SAME MANNER AS THE ORIGINAL APPOINTMENTS WERE MADE.
  (D) MEMBERS OF THE TASK FORCE SHALL  SERVE  WITHOUT  COMPENSATION  BUT
SHALL  BE  ALLOWED  TO  BE REIMBURSED BY THE COUNTY FOR THEIR ACTUAL AND
NECESSARY EXPENSES INCURRED IN THE PERFORMANCE OF THEIR DUTIES PROVIDED,
HOWEVER, THAT SUCH MEMBERS ARE NOT, AT THE SAME TIME SUCH  EXPENSES  ARE
INCURRED, PUBLIC EMPLOYEES OTHERWISE ENTITLED TO SUCH REIMBURSEMENT.
  (E)  THE  TASK FORCE SHALL HOLD THEIR FIRST MEETING WITHIN THIRTY DAYS
AFTER ALL APPOINTMENTS ARE FILLED.
  (F) A MAJORITY OF THE MEMBERS OF THE TASK  FORCE  SHALL  CONSTITUTE  A
QUORUM  IN  ORDER TO CARRY OUT ITS FUNCTIONS. ACTION MAY BE TAKEN ON THE
APPROVAL OF REPORTS AND RECOMMENDATIONS WITH A MAJORITY OF MEMBERS PRES-
ENT VOTING IN THE AFFIRMATIVE.
  S 971-D. FUNCTIONS. (A) THE TASK FORCE  SHALL  PERFORM  THE  FOLLOWING
FUNCTIONS:
  (I)  REQUIRE THE CHIEF EXECUTIVE OFFICER TO SUBMIT THE COUNTY'S TENTA-
TIVE OR PRELIMINARY BUDGET TO THE TASK FORCE NO LATER THAN  THIRTY  DAYS
BEFORE THE BUDGET IS TO BE ADOPTED, FOR REVIEW AND RECOMMENDATIONS.
  (II)  REQUIRE  THE  CHIEF  EXECUTIVE  OFFICER  TO ANNUALLY PREPARE AND
SUBMIT A BALANCED MULTI-YEAR FINANCIAL PLAN NO LATER  THAN  THIRTY  DAYS
BEFORE THE BUDGET IS TO BE ADOPTED, FOR REVIEW AND RECOMMENDATIONS.
  (III)  REQUIRE  THE  COUNTY  TO  PREPARE  QUARTERLY BUDGET REPORTS AND
SUBMIT SUCH REPORTS TO THE COUNTY LEGISLATURE, THE STATE DIRECTOR OF THE
BUDGET, THE STATE COMPTROLLER, THE CHAIR OF THE ASSEMBLY WAYS AND  MEANS
COMMITTEE, THE CHAIR OF THE SENATE FINANCE COMMITTEE AND THE TASK FORCE.
  (IV)  REVIEW  THE  COUNTY  OPERATIONS AND ORGANIZATIONAL STRUCTURE AND
MAKE RECOMMENDATIONS THAT WILL RESULT IN EFFICIENCIES AND SAVINGS.
  (V) REVIEW THE CURRENT REVENUE SHARING ARRANGEMENT BETWEEN THE COUNTY,
TOWNS AND VILLAGES AS DESCRIBED IN SECTION TWELVE HUNDRED SIXTY-TWO-L OF
THE TAX LAW AND MAKE RECOMMENDATIONS BASED ON THE FINANCIAL CONDITION OF
ALL AFFECTED MUNICIPALITIES, THE LEVEL  OF  SERVICES  PROVIDED  BY  EACH
MUNICIPALITY, REVENUE SHARING ARRANGEMENTS IN COMPARABLE COMMUNITIES AND
CURRENT AND PAST AGREEMENTS ON THE COST SHARING OF SERVICES.

A. 1314                             4

  (VI)  REVIEW  THE  OPERATIONS  AND SERVICES OF THE COUNTY OWNED SUMMIT
PARK NURSING HOME AND MAKE RECOMMENDATIONS FOR A LONG TERM PLAN THAT  IS
SUSTAINABLE.
  (VII)  REQUIRE THE COUNTY TO PREPARE A REPORT DETAILING THE AMOUNT AND
CAUSE OF THE ACCUMULATED DEFICIT AND SUBMIT  SUCH  REPORT  TO  THE  TASK
FORCE.
  (VIII)  REQUIRE  THE  COUNTY TO SUBMIT THE ANNUAL AUDIT REPORT FOR THE
LAST COMPLETED FISCAL YEAR AS SOON AS IT IS AVAILABLE.
  (IX) PROHIBIT THE COUNTY FROM ISSUING BONDS FOR THE PURPOSE OF  LIQUI-
DATING  ITS  DEFICIT UNTIL THE TASK FORCE HAS VERIFIED THE EXISTENCE AND
AMOUNT OF THE DEFICIT.
  (X) PREPARE AN ANNUAL PROGRESS REPORT ON THE COUNTY'S FINANCES,  OPER-
ATIONS  AND  THE  NEED FOR ADDITIONAL STATE INTERVENTION AND SUBMIT SUCH
REPORT TO THE STATE DIRECTOR OF THE BUDGET, THE STATE  COMPTROLLER,  THE
CHAIR  OF  THE  ASSEMBLY  WAYS  AND MEANS COMMITTEE AND THE CHAIR OF THE
SENATE FINANCE COMMITTEE NO LATER THAN  DECEMBER  THIRTY-FIRST  OF  EACH
YEAR THAT THE TASK FORCE IS IN OPERATION.
  (B)  ALL  RECOMMENDATIONS  SUBMITTED  TO  THE COUNTY BY THE TASK FORCE
SHALL BE DEEMED EFFECTIVE UNLESS THE COUNTY EXECUTIVE AND COUNTY  LEGIS-
LATURE  ENACT  A  LOCAL  LAW  WITHIN  FOURTEEN DAYS AFTER RECEIVING SUCH
RECOMMENDATIONS FOR EACH INDIVIDUAL  RECOMMENDATION  THAT  IT  SEEKS  TO
REJECT AND SUCH LOCAL LAW IS APPROVED BY TWO-THIRDS OF THE COUNTY LEGIS-
LATURE.
  (C)  ALL  REPORTS  AND RECOMMENDATIONS BY THE TASK FORCE SHALL BE MADE
PUBLIC AND ACCESSIBLE.
  S 971-E. DEFICIT BOND AUTHORIZATION. (A) THE COUNTY IS HEREBY  AUTHOR-
IZED  TO  ISSUE  BONDS, SUBJECT TO THE PROVISIONS OF THIS ARTICLE, ON OR
BEFORE DECEMBER THIRTY-FIRST, TWO THOUSAND  THIRTEEN,  IN  AN  AGGREGATE
PRINCIPAL  AMOUNT NOT TO EXCEED EIGHTY MILLION DOLLARS (EXCLUSIVE OF THE
COSTS AND EXPENSES INCIDENTAL TO THE ISSUANCE OF THE BONDS AUTHORIZED TO
BE ISSUED BY THIS SECTION) FOR THE SPECIFIC OBJECT OR PURPOSE OF  LIQUI-
DATING  THE PROJECTED DEFICIT IN THE GENERAL FUND OF ROCKLAND COUNTY FOR
THE FISCAL YEAR ENDED DECEMBER THIRTY-FIRST, TWO THOUSAND  TWELVE.    IN
ANTICIPATION  OF  THE  ISSUANCE  OF SUCH BONDS, DEFICIT NOTES ARE HEREBY
AUTHORIZED TO BE ISSUED.
  (B) THE PERIOD OF PROBABLE USEFULNESS SHALL  BE  TEN  YEARS,  COMPUTED
FROM  THE DATE OF SUCH DEFICIT BONDS OR FROM THE DATE OF THE FIRST DEFI-
CIT NOTES, WHICHEVER DATE IS EARLIER. SUCH  DEFICIT  BONDS  AND  DEFICIT
NOTES SHALL BE GENERAL OBLIGATIONS OF THE COUNTY, TO WHICH THE FAITH AND
CREDIT  OF  THE  COUNTY  IS PLEDGED, AND THE COUNTY SHALL MAKE AN ANNUAL
APPROPRIATION SUFFICIENT TO PAY THE PRINCIPAL OF AND  INTEREST  ON  SUCH
OBLIGATIONS AS THE SAME SHALL BECOME DUE.
  (C)  NO  DEFICIT  BONDS MAY BE ISSUED UNTIL THE TASK FORCE REVIEWS AND
CONFIRMS THE EXISTENCE OF THE DEFICITS DESCRIBED IN SUBDIVISION  (A)  OF
THIS  SECTION. THE TASK FORCE SHALL CERTIFY THAT THE AMOUNT OF THE DEFI-
CIT IS NO LESS THAN THE AMOUNT SET FORTH  IN  SUBDIVISION  (A)  OF  THIS
SECTION.
  (D)  DEFICIT BONDS MAY NOT BE ISSUED IN AN AMOUNT EXCEEDING THE AMOUNT
SET FORTH IN SUBDIVISION (A) OF THIS SECTION. IF THE COUNTY ISSUES DEFI-
CIT NOTES PRIOR TO A DETERMINATION BY THE TASK FORCE PURSUANT TO  SUBDI-
VISION  (C)  OF  THIS  SECTION  IN AN AMOUNT IN EXCESS OF THE AMOUNT SET
FORTH IN SUBDIVISION (A) OF THIS SECTION, THE COUNTY SHALL,  FROM  FUNDS
OTHER  THAN  PROCEEDS OF BONDS OR BOND ANTICIPATION NOTES, EITHER REDEEM
SUCH DEFICIT NOTES IN THE AMOUNT BY WHICH THE  AMOUNT  OF  SUCH  DEFICIT
NOTES EXCEEDS THE AMOUNT OF SUCH DEFICITS AS CONFIRMED BY THE TASK FORCE
OR  DEPOSIT A SUM EQUAL TO THE AMOUNT BY WHICH SUCH DEFICIT NOTES EXCEED

A. 1314                             5

THE AMOUNT OF SUCH DEFICITS AS CONFIRMED BY  THE  TASK  FORCE  INTO  THE
SPECIAL DEBT SERVICE FUND.
  (E)  TO FACILITATE THE MARKETING OF DEFICIT BONDS, ANY BONDS ISSUED TO
REFUND SUCH DEFICIT BONDS, AND ANY OTHER BONDS TO BE ISSUED ON OR BEFORE
DECEMBER THIRTY-FIRST, TWO THOUSAND THIRTEEN, THE COUNTY  MAY,  NOTWITH-
STANDING  ANY  LIMITATION  ON THE PRIVATE SALES OF BONDS PROVIDED BY LAW
AND SUBJECT TO THE APPROVAL OF THE STATE COMPTROLLER OF  THE  TERMS  AND
CONDITIONS OF SUCH SALES: (I) ARRANGE FOR THE UNDERWRITING OF SUCH BONDS
AT  PRIVATE  SALE THROUGH NEGOTIATED FEES OR BY SALE OF SUCH BONDS TO AN
UNDERWRITER; OR (II) ARRANGE FOR THE PRIVATE SALE OF SUCH BONDS  THROUGH
NEGOTIATED AGREEMENT, WITH COMPENSATION FOR SUCH SALES TO BE PROVIDED BY
NEGOTIATED  AGREEMENT  AND/OR  NEGOTIATED  FEE, IF REQUIRED. THE COST OF
SUCH UNDERWRITING OR PRIVATE PLACEMENT SHALL BE DEEMED TO BE A  PRELIMI-
NARY COST FOR PURPOSES OF SECTION 11.00 OF THE LOCAL FINANCE LAW.
  (F)  EXCEPT AS PROVIDED IN THIS ARTICLE, ALL PROCEEDINGS IN CONNECTION
WITH THE ISSUANCE OF SUCH DEFICIT BONDS OR DEFICIT NOTES  SHALL  BE  HAD
AND  TAKEN  IN  ACCORDANCE WITH THE PROVISIONS OF THE LOCAL FINANCE LAW,
PROVIDED, HOWEVER, THAT ANY RESOLUTION OR  RESOLUTIONS  AUTHORIZING  THE
ISSUANCE  OF  SUCH BONDS OR BOND ANTICIPATION NOTES SHALL NOT BE SUBJECT
TO (I) ANY MANDATORY OR PERMISSIVE REFERENDUM, (II)  THE  PROVISIONS  OF
SECTION 107.00 OF THE LOCAL FINANCE LAW WITH RESPECT TO ANY REQUIREMENTS
FOR  A  DOWN  PAYMENT,  AND (III) THE PROVISIONS OF SECTION 10.10 OF THE
LOCAL FINANCE LAW.
  (G) THE COUNTY LEGISLATURE, UPON THE ISSUANCE OF ANY DEFICIT BONDS  OR
DEFICIT  NOTES  SHALL  ESTABLISH  AND THEREAFTER MAINTAIN A SPECIAL DEBT
SERVICE FUND WITH THE STATE COMPTROLLER FOR THE PURPOSE  OF  PAYING  THE
SPECIAL DEBT SERVICE DUE OR BECOMING DUE IN SUBSEQUENT FISCAL YEARS.
  (I)  THE  SPECIAL  DEBT  SERVICE  FUND  SHALL BE DISCONTINUED UPON THE
REPAYMENT OF ALL DEBT ISSUED PURSUANT TO THIS ARTICLE, AND  ANY  BALANCE
REMAINING IN THE SPECIAL DEBT SERVICE FUND AT THAT TIME SHALL BE PAID BY
THE STATE COMPTROLLER TO THE COUNTY EXECUTIVE FOR USE BY THE COUNTY.
  (II) THE STATE COMPTROLLER SHALL DEPOSIT AND PAY INTO THE SPECIAL DEBT
SERVICE  FUND  ANY  PORTION OF STATE AID AS THE STATE COMPTROLLER DETER-
MINES NECESSARY TO ENSURE SUFFICIENT MONEYS ARE AVAILABLE TO MAKE SCHED-
ULED SPECIAL DEBT SERVICE PAYMENTS FROM THE SPECIAL  DEBT  SERVICE  FUND
OVER  THE  SUCCEEDING TWELVE MONTH PERIOD TAKING ACCOUNT OF THE COUNTY'S
RECEIPT OF COUNTY TAXES AND STATE AID DURING SUCH  TWELVE  MONTH  PERIOD
AND  THE  AVAILABILITY OF OTHER AMOUNTS APPROPRIATED OR SET ASIDE BY THE
COUNTY TO MAKE SUCH PAYMENTS.  THEREAFTER, THE STATE COMPTROLLER  SHALL,
AS  SOON AS PRACTICABLE, PAY OVER THE REMAINDER OF ANY SUCH STATE AID TO
THE COUNTY EXECUTIVE FOR USE BY THE COUNTY IN  THE  MANNER  PROVIDED  BY
LAW.
  (III) NOT LATER THAN THE FIRST DAY OF EACH FISCAL YEAR BEGINNING AFTER
ISSUANCE  OF  ANY  DEFICIT  BONDS OR DEFICIT NOTES, THE COUNTY EXECUTIVE
SHALL CERTIFY TO THE STATE COMPTROLLER THE PERCENTAGE OBTAINED BY DIVID-
ING THE BALANCE OBTAINED BY SUBTRACTING THE AMOUNT OF THE  APPROPRIATION
FOR  SUCH YEAR FOR A RESERVE FOR UNCOLLECTED TAXES FROM THE TOTAL AMOUNT
OF COUNTY TAXES LEVIED AND ASSESSED FOR SUCH YEAR, INTO THE TOTAL APPRO-
PRIATION IN THE BUDGET OF SUCH YEAR FOR SPECIAL DEBT  SERVICE,  AND  THE
PERCENTAGE  SO  CERTIFIED SHALL   CONSTITUTE THE DEBT SERVICE PERCENTAGE
FOR SUCH FISCAL YEAR. IMMEDIATELY UPON RECEIPT  OF  ANY  PAYMENT  DURING
SUCH  FISCAL  YEAR OF OR ON ACCOUNT OF ANY COUNTY TAXES, THE COUNTY, ITS
COLLECTING OFFICER AND ANY AGENT RECEIVING THE  SAME  SHALL  REMIT  SUCH
PAYMENT  TO  THE  STATE  COMPTROLLER. OF EACH SUM SO RECEIVED, THE STATE
COMPTROLLER SHALL DEPOSIT AND PAY INTO THE  SPECIAL  DEBT  SERVICE  FUND
THE  PORTION  THEREOF  EQUAL TO THE DEBT SERVICE PERCENTAGE OF THE TOTAL

A. 1314                             6

SUM, AND SHALL DEPOSIT  AND PAY INTO THE FUND SUCH ADDITIONAL AMOUNTS AS
THE STATE COMPTROLLER DETERMINES NECESSARY TO ENSURE  SUFFICIENT  MONEYS
ARE  AVAILABLE  TO MAKE SCHEDULED SPECIAL DEBT SERVICE PAYMENTS FROM THE
SPECIAL DEBT SERVICE FUND OVER THE SUCCEEDING TWELVE MONTH PERIOD TAKING
ACCOUNT OF THE TIMING OF THE COUNTY'S RECEIPT OF COUNTY TAXES  AND STATE
AID  DURING  SUCH  TWELVE  MONTH  PERIOD  AND  THE AVAILABILITY OF OTHER
AMOUNTS APPROPRIATED OR SET ASIDE BY THE COUNTY TO MAKE  SUCH  PAYMENTS.
THEREAFTER,  THE  STATE  COMPTROLLER  SHALL, AS SOON AS PRACTICABLE, PAY
OVER THE REMAINDER OF SUCH SUM TO THE COUNTY EXECUTIVE FOR  USE  BY  THE
COUNTY IN THE MANNER PROVIDED BY LAW.
  (IV)  THE  COUNTY  EXECUTIVE SHALL DEPOSIT IN THE SPECIAL DEBT SERVICE
FUND ALL MONIES COLLECTED THROUGH THE SALES TAX  SURCHARGE  PROVIDED  BY
SECTION  TWELVE  HUNDRED  TEN  OF  THE TAX LAW. THE COUNTY SHALL DEPOSIT
REVENUES GENERATED FROM SUCH SALES TAX SURCHARGE ON A QUARTERLY BASIS.
  (V) THE STATE COMPTROLLER SHALL FROM TIME TO TIME DURING  EACH  FISCAL
YEAR  WITHDRAW  FROM  THE SPECIAL DEBT SERVICE FUND ALL AMOUNTS REQUIRED
FOR THE PAYMENT AS THE SAME BECOMES DUE OF ALL SPECIAL DEBT  SERVICE  OF
SUCH  FISCAL  YEAR  AND  CAUSE THE AMOUNTS SO WITHDRAWN TO BE APPLIED TO
SUCH PAYMENTS AS AND WHEN DUE.
  (VI) THE SPECIAL DEBT SERVICE FUND AND ALL MONIES OR SECURITIES THERE-
IN OR PAYABLE THERETO IN ACCORDANCE WITH THIS SECTION IS HEREBY DECLARED
TO BE COUNTY PROPERTY DEVOTED TO  ESSENTIAL  GOVERNMENTAL  PURPOSES  AND
ACCORDINGLY,  SHALL NOT BE APPLIED TO ANY PURPOSE OTHER THAN AS PROVIDED
HEREIN  AND  SHALL  NOT  BE  SUBJECT  TO  ANY  ORDER,  JUDGEMENT,  LIEN,
EXECUTION,  ATTACHMENT,  SETOFF  OR  COUNTERCLAIM BY ANY CREDITOR OF THE
COUNTY OTHER THAN A CREDITOR FOR WHOSE BENEFIT SUCH FUND IS  ESTABLISHED
AND MAINTAINED AND ENTITLED THERETO UNDER AND PURSUANT TO THIS ARTICLE.
  (VII) THE AGREEMENT WITH THE STATE IS AS FOLLOWS:
  (1)  THE STATE DOES HEREBY PLEDGE TO AND AGREE WITH THE HOLDERS OF ANY
BONDS, NOTES OR OTHER OBLIGATIONS ISSUED    BY  THE  COUNTY  DURING  THE
EFFECTIVE  PERIOD  OF THIS ARTICLE AND SECURED BY SUCH A PLEDGE THAT THE
STATE WILL NOT LIMIT, ALTER OR IMPAIR THE RIGHTS HEREBY  VESTED  IN  THE
COUNTY  TO  FULFILL  THE  TERMS OF ANY AGREEMENTS MADE WITH SUCH HOLDERS
PURSUANT TO THIS ARTICLE, OR IN ANY WAY IMPAIR THE RIGHTS  AND  REMEDIES
OF  SUCH  HOLDERS  OR THE SECURITY  FOR SUCH BONDS, NOTES OR OTHER OBLI-
GATIONS UNTIL SUCH BONDS, NOTES OR OTHER OBLIGATIONS TOGETHER  WITH  THE
INTEREST  THEREON  AND  ALL  COSTS  AND  EXPENSES IN CONNECTION WITH ANY
ACTION OR PROCEEDING BY OR ON BEHALF OF SUCH HOLDERS, ARE FULLY PAID AND
DISCHARGED. THE COUNTY IS AUTHORIZED TO INCLUDE THIS PLEDGE  AND  AGREE-
MENT OF THE STATE IN ANY AGREEMENT WITH THE HOLDERS OF SUCH BONDS, NOTES
OR  OTHER OBLIGATIONS. NOTHING CONTAINED IN THIS ARTICLE SHALL BE DEEMED
TO:
  (A) OBLIGATE THE STATE TO MAKE ANY PAYMENTS OR  IMPOSE  ANY  TAXES  TO
SATISFY THE DEBT SERVICE OBLIGATIONS OF THE COUNTY,
  (B) RESTRICT ANY RIGHT OF THE STATE TO AMEND, MODIFY, REPEAL OR OTHER-
WISE  ALTER (I) SECTION FIFTY-FOUR OF THE STATE FINANCE LAW OR ANY OTHER
PROVISION RELATING TO STATE AID, OR (II) STATUTES IMPOSING  OR  RELATING
TO TAXES OR FEES, OR APPROPRIATIONS RELATING THERETO, OR
  (C)  CREATE  A  DEBT  OF THE STATE WITHIN THE MEANING OF ANY CONSTITU-
TIONAL OR STATUTORY PROVISIONS. THE COUNTY  SHALL  NOT  INCLUDE  IN  ANY
RESOLUTION,  CONTRACT  OR AGREEMENT WITH HOLDERS OF SUCH BONDS, NOTES OR
OTHER OBLIGATIONS ANY PROVISION WHICH PROVIDES THAT AN EVENT OF  DEFAULT
OCCURS  AS  A  RESULT  OF  THE  STATE EXERCISING ITS RIGHTS DESCRIBED IN
CLAUSE (B) OF THIS SUBPARAGRAPH.
  (2) ANY PROVISION WITH RESPECT TO STATE AID SHALL BE DEEMED  EXECUTORY
ONLY  TO  THE  EXTENT  OF  MONEYS  AVAILABLE,  AND NO LIABILITY SHALL BE

A. 1314                             7

INCURRED BY THE STATE BEYOND THE MONEYS AVAILABLE FOR THAT PURPOSE,  AND
ANY  SUCH PAYMENT BY THE STATE COMPTROLLER OF STATE AID SHALL BE SUBJECT
TO ANNUAL APPROPRIATION OF STATE AID BY THE STATE LEGISLATURE.
  (H)  IN  THE  EVENT  THAT  THE  COUNTY  SHALL  FAIL TO COMPLY WITH ANY
PROVISION OF THIS SECTION, AND SUCH NON-COMPLIANCE SHALL CONTINUE FOR  A
PERIOD  OF  THIRTY  DAYS,  THE STATE COMPTROLLER ACTING ALONE, OR A DULY
APPOINTED REPRESENTATIVE OF THE HOLDERS  OF  AT  LEAST  TWENTY-FIVE  PER
CENTUM  IN AGGREGATE PRINCIPAL AMOUNT OF (I) ANY SERIES OF DEFICIT BONDS
OR DEFICIT NOTES, (II) ANY SERIES OF BONDS ISSUED TO REFUND SUCH DEFICIT
BONDS OR DEFICIT NOTES, OR (III) ANY OTHER  SERIES  OF  NOTES  OR  BONDS
ISSUED  BY  THE  COUNTY  DURING THE EFFECTIVE PERIOD OF THIS ARTICLE, BY
INSTRUMENT OR INSTRUMENTS FILED IN THE OFFICE OF THE CLERK  OF  ROCKLAND
COUNTY  AND  PROVED  OR  ACKNOWLEDGED IN THE SAME MANNER AS A DEED TO BE
RECORDED, MAY BRING AN ACTION OR COMMENCE  A  PROCEEDING  IN  ACCORDANCE
WITH THE CIVIL PRACTICE LAW AND RULES TO REQUIRE THE COUNTY TO CARRY OUT
ANY  OF  ITS OBLIGATIONS UNDER THIS ARTICLE OR ENJOIN ANY ACTS OR THINGS
WHICH MAY BE UNLAWFUL OR IN VIOLATION OF THE OBLIGATIONS IMPOSED ON  THE
COUNTY  UNDER  THIS ARTICLE.   IN ADDITION, THE DULY APPOINTED REPRESEN-
TATIVE OF THE BONDHOLDERS OF ANY SUCH SERIES OF NOTES OR BONDS MAY BRING
AN ACTION OR COMMENCE A PROCEEDING IN ACCORDANCE WITH THE CIVIL PRACTICE
LAW AND RULES TO ENFORCE THE RIGHTS OF THE HOLDERS  OF  SUCH  SERIES  OF
NOTES  OR BONDS.  THE SUPREME COURT IN THE COUNTY OF ROCKLAND SHALL HAVE
JURISDICTION OF ANY ACTION OR PROCEEDING BY THE STATE COMPTROLLER OR THE
REPRESENTATIVE OF SUCH BONDHOLDERS.
  (I) THE PROVISIONS OF THIS SECTION SHALL BE IN FULL EFFECT  UNTIL  THE
FULL  REPAYMENT  OF  ALL DEBT ASSOCIATED WITH THE ISSUANCE OF DEFICIENCY
BONDS AUTHORIZED BY THIS SECTION.
  S 971-F. COMPTROLLER OVERSIGHT. UPON THE EXPIRATION OF THE TASK FORCE,
THE COUNTY IS REQUIRED TO:
  (A) FOR EACH FISCAL YEAR AFTER THE EXPIRATION OF THE TASK  FORCE,  THE
COUNTY EXECUTIVE SHALL MONITOR BUDGETS OF THE COUNTY AND, FOR EACH BUDG-
ET, PREPARE A QUARTERLY REPORT OF SUMMARIZED BUDGET DATA DEPICTING OVER-
ALL  TRENDS  OF  ACTUAL  REVENUES AND BUDGET EXPENDITURES FOR THE ENTIRE
BUDGET RATHER THAN INDIVIDUAL LINE ITEMS.  SUCH  REPORTS  SHALL  COMPARE
REVENUE  ESTIMATES  AND  APPROPRIATIONS AS SET FORTH IN SUCH BUDGET WITH
THE ACTUAL REVENUES AND EXPENDITURES MADE TO DATE. ALL QUARTERLY REPORTS
SHALL BE ACCOMPANIED BY A RECOMMENDATION BY THE COUNTY EXECUTIVE SETTING
FORTH ANY REMEDIAL ACTION NECESSARY TO RESOLVE  ANY  UNFAVORABLE  BUDGET
VARIANCE  INCLUDING  THE  OVERESTIMATION  OF REVENUES AND THE UNDERESTI-
MATION OF APPROPRIATIONS, AND SHALL BE COMPLETED WITHIN THIRTY  DAYS  OF
THE  END  OF  EACH  QUARTER. THE COUNTY EXECUTIVE SHALL ALSO PREPARE, AS
PART OF SUCH  REPORT,  A  QUARTERLY  TRIAL  BALANCE  OF  GENERAL  LEDGER
ACCOUNTS.  THE  ABOVE  QUARTERLY  BUDGETARY  REPORTS AND QUARTERLY TRIAL
BALANCES SHALL BE PREPARED  IN  ACCORDANCE  WITH  APPLICABLE  ACCOUNTING
PRINCIPLES  INCORPORATED IN THE UNIFORM SYSTEM OF ACCOUNTS PRESCRIBED BY
THE STATE COMPTROLLER. THESE REPORTS SHALL BE SUBMITTED  TO  THE  COUNTY
LEGISLATURE,  THE  STATE  DIRECTOR OF THE BUDGET, THE STATE COMPTROLLER,
THE CHAIR OF THE ASSEMBLY WAYS AND MEANS COMMITTEE, AND THE CHAIR OF THE
SENATE FINANCE COMMITTEE.
  (B) FOR EACH FISCAL YEAR AFTER THE EXPIRATION OF THE TASK  FORCE,  THE
COUNTY  EXECUTIVE SHALL SUBMIT THE PROPOSED BUDGET FOR THE NEXT SUCCEED-
ING FISCAL YEAR TO THE STATE  COMPTROLLER  NO  LATER  THAN  THIRTY  DAYS
BEFORE  THE  DATE  SCHEDULED  FOR  THE  COUNTY LEGISLATURE'S VOTE ON THE
ADOPTION OF THE FINAL BUDGET OR THE LAST DATE ON WHICH THE BUDGET MAY BE
FINALLY ADOPTED, WHICHEVER IS SOONER. THE STATE COMPTROLLER SHALL  EXAM-
INE  SUCH PROPOSED BUDGET AND MAKE SUCH RECOMMENDATIONS AS DEEMED APPRO-

A. 1314                             8

PRIATE THEREON TO THE COUNTY PRIOR TO THE ADOPTION OF THE BUDGET, BUT NO
LATER THAN TEN DAYS BEFORE THE DATE SCHEDULED FOR  THE  COUNTY  LEGISLA-
TURE'S  VOTE  ON  THE  ADOPTION  OF THE FINAL BUDGET OR THE LAST DATE ON
WHICH THE BUDGET MUST BE ADOPTED, WHICHEVER IS SOONER. THE COUNTY LEGIS-
LATURE,  NO  LATER  THAN  FIVE DAYS PRIOR TO THE ADOPTION OF THE BUDGET,
SHALL REVIEW ANY  SUCH  RECOMMENDATIONS  AND  MAKE  ADJUSTMENTS  TO  THE
PROPOSED  BUDGET  CONSISTENT  WITH ANY RECOMMENDATIONS MADE BY THE STATE
COMPTROLLER.
  (C) FOR EACH FISCAL YEAR AFTER THE EXPIRATION OF THE TASK  FORCE,  THE
COUNTY  EXECUTIVE  SHALL PREPARE, ALONG WITH THE PROPOSED BUDGET FOR THE
NEXT SUCCEEDING FISCAL YEAR, A THREE-YEAR FINANCIAL  PLAN  COVERING  THE
NEXT  SUCCEEDING  FISCAL  YEAR  AND THE TWO FISCAL YEARS THEREAFTER. THE
FINANCIAL PLAN SHALL, AT A MINIMUM, CONTAIN PROJECTED EMPLOYMENT LEVELS,
PROJECTED ANNUAL EXPENDITURES FOR  PERSONAL  SERVICE,  FRINGE  BENEFITS,
NON-PERSONAL  SERVICES  AND  DEBIT  SERVICE;  APPROPRIATE  RESERVE  FUND
AMOUNTS; ESTIMATED ANNUAL REVENUES INCLUDING PROJECTION OF PROPERTY  TAX
RATES,  THE  VALUE  OF THE TAXABLE REAL PROPERTY AND RESULTING TAX LEVY,
ANNUAL GROWTH IN SALES  TAX  AND  NON-PROPERTY  TAX  REVENUES;  AND  THE
PROPOSED  USE OF ONE-TIME REVENUE SOURCES. THE FINANCIAL PLAN SHALL ALSO
IDENTIFY ACTIONS NECESSARY TO  ACHIEVE  AND  MAINTAIN  LONG-TERM  FISCAL
STABILITY, INCLUDING, BUT NOT LIMITED TO, IMPROVED MANAGEMENT PRACTICES,
INITIATIVES  TO  MINIMIZE OR REDUCE OPERATING EXPENSES, POTENTIAL SHARED
SERVICES  AGREEMENTS  WITH  OTHER  MUNICIPALITIES  AND  OTHER  BUDGETARY
ACTIONS  THAT REDUCE THE ACCUMULATED DEFICIT. WITHIN THIRTY DAYS FOLLOW-
ING THE ADOPTION BY THE COUNTY LEGISLATURE OF THE BUDGET  FOR  THE  NEXT
SUCCEEDING  FISCAL YEAR AND UPON THE COMPLETION OF EACH QUARTERLY BUDGET
REPORT PURSUANT TO SECTION NINE HUNDRED SEVENTY-ONE-F OF  THIS  ARTICLE,
THE  COUNTY  EXECUTIVE  SHALL  UPDATE THE FINANCIAL PLAN CONSISTENT WITH
SUCH ADOPTED BUDGET OR SUCH  QUARTERLY  BUDGET  REPORT.  COPIES  OF  THE
FINANCIAL  PLAN  AND ANY UPDATE SHALL BE PROVIDED TO THE COUNTY LEGISLA-
TURE, THE STATE DIRECTOR OF THE BUDGET, THE STATE COMPTROLLER, THE CHAIR
OF THE ASSEMBLY WAYS AND MEANS COMMITTEE, AND THE CHAIR  OF  THE  SENATE
FINANCE COMMITTEE.
  (D)  FOR  EACH FISCAL YEAR AFTER THE EXPIRATION OF THE TASK FORCE, THE
CHIEF FISCAL OFFICER SHALL NOTIFY THE STATE COMPTROLLER AT LEAST FIFTEEN
DAYS PRIOR TO THE ISSUANCE OF ANY BONDS OR NOTES OR  ENTERING  INTO  ANY
INSTALLMENT  PURCHASE CONTRACT, AND THE STATE COMPTROLLER MAY REVIEW AND
MAKE RECOMMENDATIONS REGARDING THE AFFORDABILITY TO THE  COUNTY  OF  ANY
SUCH PROPOSED ISSUANCE OR CONTRACT.
  S  971-G.  TERMINATION.  THE  PROVISIONS  OF THIS ARTICLE SHALL EXPIRE
AFTER FULL REPAYMENT OF ALL DEBT ASSOCIATED WITH THE ISSUANCE OF DEFICIT
BONDS AUTHORIZED BY THIS ARTICLE.
  S 971-H. CONSTRUCTION. (A) THE PROVISIONS OF  THIS  ARTICLE  SHALL  BE
LIBERALLY  CONSTRUED  TO  ASSIST THE EFFECTUATION OF THE PUBLIC PURPOSES
FURTHERED HEREBY.
  (B) IF ANY CLAUSE, SENTENCE, PARAGRAPH, SECTION OR PART OF THIS  ARTI-
CLE  SHALL  BE  ADJUDGED  BY  ANY  COURT OF COMPETENT JURISDICTION TO BE
INVALID, SUCH JUDGMENT  SHALL  NOT  AFFECT,  IMPAIR  OR  INVALIDATE  THE
REMAINDER THEREOF, BUT SHALL BE CONFINED IN ITS OPERATION TO THE CLAUSE,
SENTENCE,  PARAGRAPH,  SECTION  OR  PART  INVOLVED IN THE CONTROVERSY IN
WHICH SUCH JUDGMENT SHALL HAVE BEEN RENDERED.
  S 2. This act shall take effect immediately and shall  expire  and  be
deemed  repealed when repayment of all debt associated with the issuance
of deficit bonds  authorized  by  section  one  of  this  act  shall  be
complete.  The chairperson of the Rockland county deficit reduction task
force shall notify the legislative bill drafting commission of the  date

A. 1314                             9

of  the  termination of such task force in order that the commission may
maintain an accurate and timely effective database of the official  text
of  the  laws  of  the state of New York in furtherance of effecting the
provisions  of section 44 of the legislative law and section 70-b of the
public officers law.