[ ] is old law to be omitted.
LBD12673-02-4
S. 6357--A 2 A. 8557--A
cle and traffic law and the state finance law, in relation to the
authorization of the department of motor vehicles to provide the acci-
dent prevention course internet program; to amend chapter 751 of the
laws of 2005, amending the insurance law and the vehicle and traffic
law, relating to establishing the accident prevention course internet
technology pilot program, in relation to the effectiveness thereof;
and to repeal certain provisions of the vehicle and traffic law relat-
ing thereto (Part E); to amend the vehicle and traffic law, in
relation to complying with federal requirements relating to medical
certifications of commercial driver's license holders (Part F); to
amend the public authorities law, in relation to toll collection regu-
lations; to amend the public officers law, in relation to electronic
toll collection data; to amend the vehicle and traffic law, in
relation to liability of vehicle owners for toll collection
violations; to amend the penal law, in relation to theft of services;
and to amend chapter 774 of the laws of 1950, relating to agreeing
with the state of New Jersey with respect to rules and regulations
governing traffic on vehicular crossings operated by the port of New
York authority, in relation to tolls and other charges (Part G); to
amend chapter 67 of the laws of 1992, amending the environmental
conservation law relating to pesticide product registration timetables
and fees, in relation to the effective date thereof; and to amend the
environmental conservation law, in relation to pesticide registration
fees and reporting (Part H); to amend the environmental conservation
law, the penal law, the vehicle and traffic law and the general obli-
gations law, in relation to authorizing crossbow hunting, landowner
liability, printing contracts for hunting and fishing guides, issuance
of distinctive "I love New York" plates, fees and general powers and
duties of the department of environmental conservation; and to repeal
subdivisions 11 and 16 of section 11-0901 of the environmental conser-
vation law relating thereto (Part I); to amend the agriculture and
markets law, in relation to granting, suspending or revoking licenses
for food processing establishments (Part J); to authorize the New York
state energy research and development authority to finance a portion
of its research, development and demonstration and policy and planning
programs from assessments on gas and electric corporations (Part K);
to authorize and direct the New York state energy research and devel-
opment authority to make a payment to the general fund of up to
$913,000 (Part L); to amend the agriculture and markets law and the
public authorities law, in relation to requiring power transfer
switches on gas stations located within one half mile from a strategic
upstate highway (Part M); to amend chapter 21 of the laws of 2003,
amending the executive law relating to permitting the secretary of
state to provide special handling for all documents filed or issued by
the division of corporations and to permit additional levels of such
expedited service, in relation to extending the expiration date there-
of (Part N); to amend the business corporation law and the not-for-
profit corporation law, in relation to the transmission of incorpo-
ration certificates to county clerks (Part O); to amend the executive
law, in relation to the national registry fee (Part P); to authorize
the department of health to finance certain activities with revenues
generated from an assessment on cable television companies (Part Q);
to amend the public service law, in relation to authorizing the
department of public service to increase program efficiencies; and to
repeal certain provisions of the public service law relating thereto
(Part R); to amend the public service law, in relation to the tempo-
S. 6357--A 3 A. 8557--A
rary state energy and utility service conservation assessment (Part
S); to amend the insurance law, in relation to unauthorized providers
of health services and the examination of providers of health services
(Part T); to amend the insurance law, the public health law and the
financial services law, in relation to establishing protections to
prevent surprise medical bills including network adequacy require-
ments, claim submission requirements, access to out-of-network care
and prohibition of excessive emergency charges (Part U); to amend the
insurance law, in relation to licensing title insurance agents, clos-
ers and solicitors; grants the superintendent of financial services
the authority to require title insurance agents, closers, and solici-
tor applicants to submit to fingerprinting; and to repeal certain
provisions of such law relating thereto (Part V); to amend chapter 58
of the laws of 2012 amending the public authorities law relating to
authorizing the dormitory authority to enter into certain design and
construction management agreements, in relation to extending certain
authority of the dormitory authority of the state of New York (Part
W); to amend chapter 584 of the laws of 2011, amending the public
authorities law relating to the powers and duties of the dormitory
authority of the state of New York relative to the establishment of
subsidiaries for certain purposes, in relation to the effectiveness
thereof (Part X); to amend the public health law, in relation to fees
in connection with certain health care facility financings; and to
repeal section 2976-a of the public authorities law relating thereto
(Part Y); to amend the New York state urban development corporation
act, in relation to extending certain provisions relating to the
empire state economic development fund (Part Z); and to amend chapter
393 of the laws of 1994, amending the New York state urban development
corporation act, relating to the powers of the New York state urban
development corporation to make loans, in relation to the effective-
ness thereof (Part AA)
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. This act enacts into law major components of legislation
which are necessary to implement the state fiscal plan for the 2014-2015
state fiscal year. Each component is wholly contained within a Part
identified as Parts A through AA. The effective date for each particular
provision contained within such Part is set forth in the last section of
such Part. Any provision in any section contained within a Part, includ-
ing the effective date of the Part, which makes a reference to a section
"of this act", when used in connection with that particular component,
shall be deemed to mean and refer to the corresponding section of the
Part in which it is found. Section three of this act sets forth the
general effective date of this act.
PART A
Section 1. Subdivision (d) of section 11 of chapter 329 of the laws of
1991 amending the state finance law and other laws relating to the
establishment of the dedicated highway and bridge trust fund, as amended
by section 4 of part A of chapter 58 of the laws of 2012, is amended to
read as follows:
S. 6357--A 4 A. 8557--A
(d) Any such service contract (i) shall provide that the obligation of
the director of the budget or the state to fund or to pay the amounts
therein provided for shall not constitute a debt of the state within the
meaning of any constitutional or statutory provisions in the event the
thruway authority assigns or pledges service contract payments as secu-
rity for its bonds or notes, (ii) shall be deemed executory only to the
extent moneys are available and SHALL PROVIDE that no liability shall be
incurred by the state beyond the moneys available for the purpose, and
that such obligation is subject to annual appropriation by the legisla-
ture, and (iii) shall provide that no funds shall be made available from
the proceeds of bonds or notes issued pursuant to this chapter unless
the commissioner of transportation has certified to the [chairman of the
thruway authority] DIRECTOR OF THE BUDGET that such funds shall be used
exclusively for the purposes authorized by subdivision (a) of this
section, and/or construction, reconstruction or improvement of local
highways, bridges and/or highway-railroad crossings, including right of
way acquisition, preliminary engineering, and construction supervision
and inspection, where the service life of the project is at least ten
years or where the project is: (1) microsurfacing, (2) paver placed
surface treatment, (3) single course surface treatment involving chip
seals and oil and stone and (4) double course surface treatment involv-
ing chip seals and oil and stone, and unless [the director of the budget
has certified to the chairman of the thruway authority that] a spending
plan has been submitted by the commissioner of transportation and has
been approved by the director of the budget.
S 2. Subdivision (g) of section 15 of chapter 329 of the laws of 1991,
as added by section 9 of chapter 330 of the laws of 1991, is REPEALED,
and subdivision (f) of section 15 of chapter 329 of the laws of 1991,
amending the state finance law and other laws relating to the establish-
ment of the dedicated highway and bridge trust fund, as added by section
9 of chapter 330 of the laws of 1991, is amended to read as follows:
(f) The commissioner of transportation shall certify to the [New York
state thruway authority] DIRECTOR OF THE BUDGET AND THE COMPTROLLER
amounts eligible for repayments as specified herein. Such certification
shall include any such information as may be necessary to maintain the
federal tax exempt status of bonds, notes or other obligations issued by
the New York state thruway authority pursuant to section 380 of the
public authorities law.
S 3. Subdivision 1 of section 80-b of the highway law, as amended by
chapter 161 of the laws of 2008, is amended to read as follows:
1. In connection with the undertaking of any project for which the
commissioner is authorized to use moneys of the federal government
pursuant to the provisions of subdivision thirty-four-a of section ten
and section eighty of this chapter to assure the effective discharge of
state responsibilities with respect to regional transportation needs, on
highways, roads, streets, bicycle paths or pedestrian paths that are not
on the state highway system, the commissioner shall submit such project
to the governing body or bodies of the affected municipality or munici-
palities together with estimates of costs thereof. If such project
includes a municipal project, as that term is defined in accordance with
article thirteen of the transportation law, the state share of such
municipal project shall also be included. If such project includes a
project affecting a highway, road, street, bicycle path or pedestrian
path not on the state highway system, the state share shall be equal to
eighty percent of the difference between the total project cost and the
federal assistance, provided, however, the commissioner may increase the
S. 6357--A 5 A. 8557--A
state share to an amount equal to one hundred percent of the difference
between the total project cost and the federal assistance where he
determines that the need for the project results substantially from
actions undertaken pursuant to section ten of this chapter. [Except for
individual projects where the non-federal share of a federally aided
municipal project is less than five thousand dollars, no state or local
shares of municipal streets and highways projects shall be payable from
the non-fiduciary funds of the capital projects budget of the depart-
ment.] No such project shall proceed without the approval of the govern-
ing body of a municipality. Such governing body may request the commis-
sioner to undertake the provision of such project. If the commissioner
agrees to such undertaking he shall notify the local governing body
which shall appropriate sufficient moneys to pay the estimated amount of
the municipal share. Such moneys shall be deposited with the state comp-
troller who is authorized to receive and accept the same for the
purposes of such project, subject to the draft or requisition of the
commissioner. When the work of such project has been completed, the
commissioner shall render to the governing body of such municipality an
itemized statement showing in full (a) the amount of money that has been
deposited by such municipality with the state comptroller as hereinbe-
fore provided, and (b) all disbursements made pursuant to this section
for such project. Any surplus moneys shall be paid to such municipality
on the warrant of the comptroller on vouchers therefor approved by the
commissioner. When the work of such project has been completed and it is
determined by the commissioner that the amount of the cost to be borne
by the municipality is in excess of the amount deposited by such munici-
pality with the state comptroller, the commissioner shall then notify
the municipality of the deficiency of funds. The municipality shall then
within ninety days of the receipt of such notice, pay such amount to the
state comptroller. For purposes of this section, the term "municipality"
shall include a city, county, town, village or two or more of the fore-
going acting jointly.
S 4. Subdivision (e) of section 16 of chapter 329 of the laws of 1991,
amending the state finance law and other laws relating to the establish-
ment of a dedicated highway and bridge trust fund, as added by section 9
of chapter 330 of the laws of 1991, is REPEALED.
S 5. Subdivision (e) of section 16-a of chapter 329 of the laws of
1991, amending the state finance law and other laws relating to the
establishment of a dedicated highway and bridge trust fund, as added by
section 9 of chapter 330 of the laws of 1991, is REPEALED.
S 6. Paragraph (a) of subdivision 5 of section 10-f of the highway
law, as added by chapter 725 of the laws of 1993, is amended to read as
follows:
(a) Funding of municipal projects will be made upon the application
for funding of prior expenditures in a format prescribed by the commis-
sioner. [Funding of qualifying municipal project expenditures shall be
made from the proceeds of bonds, notes or other obligations issued
pursuant to section three hundred eighty of the public authorities law.]
Such funding of state projects may be pursuant to agreements between the
commissioner and the New York state thruway authority and may be from
the proceeds of bonds, notes or other obligations issued pursuant to
section three hundred eighty-five of the public authorities law.
S 7. Paragraph (a) of subdivision 5 of section 10-g of the highway
law, as added by chapter 725 of the laws of 1993, is amended to read as
follows:
S. 6357--A 6 A. 8557--A
(a) Funding of municipal projects will be made upon the application
for funding of prior expenditures in a format prescribed by the commis-
sioner. [Funding of qualifying municipal project expenditures shall be
made from the proceeds of bonds, notes or other obligations issued
pursuant to section three hundred eighty of the public authorities law.]
Such funding of state projects may be pursuant to agreements between the
commissioner and the New York state thruway authority and may be from
the proceeds of bonds, notes or other obligations issued pursuant to
section three hundred eighty-five of the public authorities law.
S 8. This act shall take effect immediately.
PART B
Section 1. Sections 3, 4, 5, 7, 8, 10, 11, 13, 14, 15, 16 and 17 of
part F of chapter 56 of the laws of 2011 permitting authorized state
entities to utilize the design-build method for infrastructure projects
are amended to read as follows:
S 3. For the purposes of this act:
(a) "authorized state entity" shall mean the New York state thruway
authority, the department of transportation, the office of parks, recre-
ation and historic preservation, the department of environmental conser-
vation and the New York state bridge authority.
(b) "best value" shall mean the basis for awarding contracts for
services to the offerer that optimize quality, cost and efficiency,
price and performance criteria, which may include, but is not limited
to:
1. The quality of the contractor's performance on previous projects;
2. The timeliness of the contractor's performance on previous
projects;
3. The level of customer satisfaction with the contractor's perform-
ance on previous projects;
4. The contractor's record of performing previous projects on budget
and ability to minimize cost overruns;
5. The contractor's ability to limit change orders;
6. The contractor's ability to prepare appropriate project plans;
7. The contractor's technical capacities;
8. The individual qualifications of the contractor's key personnel;
9. The contractor's ability to assess and manage risk and minimize
risk impact; and
10. The contractor's past record of compliance with article 15-A of
the executive law.
Such basis shall reflect, wherever possible, objective and quantifi-
able analysis.
(c) "capital project" shall have the same meaning as such term is
defined by subdivision 2-a of section 2 of the state finance law.
(d) "cost plus" shall mean compensating a contractor for the cost to
complete a contract by reimbursing actual costs for labor, equipment and
materials plus an additional amount for overhead and profit.
(e) "design-build contract" shall mean a contract for the design and
construction of a capital project with a single entity, which may be a
team comprised of separate entities.
(f) "procurement record" means documentation of the decisions made and
the approach taken in the procurement process.
(G) "AUTHORIZED LOCAL ENTITY" SHALL MEAN ANY CITY, TOWN OR VILLAGE
WITH A POPULATION OF MORE THAN FIFTY THOUSAND, OR ANY COUNTY.
S. 6357--A 7 A. 8557--A
S 4. Notwithstanding the provisions of section 38 of the highway law,
section 136-a of the state finance law, section 359 of the public
authorities law, section 7210 of the education law, SECTION 103 OF THE
GENERAL MUNICIPAL LAW, and the provisions of any other law to the
contrary, and in conformity with the requirements of this act, an
authorized state OR LOCAL entity may utilize the alternative delivery
method referred to as design-build contracts for capital projects
related to the state's OR LOCAL ENTITY'S physical infrastructure,
including, but not limited to, the state's OR LOCAL ENTITY'S highways,
bridges, dams, flood control projects, canals, and parks, including, but
not limited to, to repair damage caused by natural disaster, to correct
health and safety defects, to comply with federal and state laws, stand-
ards, and regulations, to extend the useful life of or replace the
state's OR LOCAL ENTITY'S highways, bridges, dams, flood control
projects, canals, and parks or to improve or add to the state's OR LOCAL
ENTITY'S highways, bridges, dams, flood control projects, canals, and
parks; provided that for the contracts executed by the department of
transportation, the office of parks, recreation and historic preserva-
tion, or the department of environmental conservation, OR BY ANY LOCAL
ENTITY, the total cost of each such project shall not be less than one
million two hundred thousand dollars ($1,200,000); AND FURTHER PROVIDED
THAT AUTHORIZED LOCAL ENTITIES MAY UTILIZE THE ALTERNATIVE DELIVERY
METHOD REFERRED TO AS DESIGN-BUILD CONTRACTS ONLY FOR CAPITAL PROJECTS
THAT ARE NOT SUBJECT TO SECTION 101 OF THE GENERAL MUNICIPAL LAW.
S 5. An entity selected by an authorized state OR LOCAL entity to
enter into a design-build contract shall be selected through a two-step
method, as follows:
(a) Step one. Generation of a list of entities that have demonstrated
the general capability to perform the design-build contract. Such list
shall consist of a specified number of entities, as determined by an
authorized state OR LOCAL entity, and shall be generated based upon the
authorized state OR LOCAL entity's review of responses to a publicly
advertised request for qualifications. The authorized state OR LOCAL
entity's request for qualifications shall include a general description
of the project, the maximum number of entities to be included on the
list, and the selection criteria to be used in generating the list. Such
selection criteria shall include the qualifications and experience of
the design and construction team, organization, demonstrated responsi-
bility, ability of the team or of a member or members of the team to
comply with applicable requirements, including the provisions of arti-
cles 145, 147 and 148 of the education law, past record of compliance
with the labor law, and such other qualifications the authorized state
OR LOCAL entity deems appropriate which may include but are not limited
to project understanding, financial capability and record of past
performance. The authorized state OR LOCAL entity shall evaluate and
rate all entities responding to the request for qualifications. Based
upon such ratings, the authorized state OR LOCAL entity shall list the
entities that shall receive a request for proposals in accordance with
subdivision (b) of this section. To the extent consistent with applica-
ble federal law, the authorized state entity shall consider, when award-
ing any contract pursuant to this section, the participation of: (i)
firms certified pursuant to article 15-A of the executive law as minori-
ty or women-owned businesses and the ability of other businesses under
consideration to work with minority and women-owned businesses so as to
promote and assist participation by such businesses; and (ii) small
S. 6357--A 8 A. 8557--A
business concerns identified pursuant to subdivision (b) of section
139-g of the state finance law.
(b) Step two. Selection of the proposal which is the best value to the
state OR LOCAL ENTITY. The authorized state OR LOCAL entity shall issue
a request for proposals to the entities listed pursuant to subdivision
(a) of this section. If such an entity consists of a team of separate
entities, the entities that comprise such a team must remain unchanged
from the entity as listed pursuant to subdivision (a) of this section
unless otherwise approved by the authorized state OR LOCAL entity. The
request for proposals shall set forth the project's scope of work, and
other requirements, as determined by the authorized state OR LOCAL enti-
ty. The request for proposals shall specify the criteria to be used to
evaluate the responses and the relative weight of each such criteria.
Such criteria shall include the proposal's cost, the quality of the
proposal's solution, the qualifications and experience of the design-
build entity, and other factors deemed pertinent by the authorized state
OR LOCAL entity, which may include, but shall not be limited to, the
proposal's project implementation, ability to complete the work in a
timely and satisfactory manner, maintenance costs of the completed
project, maintenance of traffic approach, and community impact. Any
contract awarded pursuant to this act shall be awarded to a responsive
and responsible entity that submits the proposal, which, in consider-
ation of these and other specified criteria deemed pertinent to the
project, offers the best value to the state OR LOCAL ENTITY, as deter-
mined by the authorized state OR LOCAL entity. Nothing herein shall be
construed to prohibit the authorized entity from negotiating final
contract terms and conditions including cost.
S 7. Construction for each capital project undertaken by the author-
ized state OR LOCAL entity pursuant to this act shall be deemed a
"public work" to be performed in accordance with the provisions of arti-
cle 8 of the labor law, as well as subject to sections 200, 240, 241 and
242 of the labor law and enforcement of prevailing wage requirements by
the New York state department of labor.
S 8. If otherwise applicable, capital projects undertaken by the
authorized state OR LOCAL entity pursuant to this act shall be subject
to section 135 of the state finance law and section 222 of the labor
law.
S 10. Capital projects undertaken by the authorized state OR LOCAL
entity pursuant to this act shall be subject to the requirements of
article eight of the environmental conservation law, and, where applica-
ble, the requirements of the national environmental policy act.
S 11. If otherwise applicable, capital projects undertaken by the
authorized state entity pursuant to this act shall be governed by
sections 139-d, 139-j, 139-k, paragraph f of subdivision 1 and paragraph
g of subdivision 9 of section 163 of the state finance law, AND CAPITAL
PROJECTS UNDERTAKEN BY THE AUTHORIZED LOCAL ENTITY PURSUANT TO THIS ACT
SHALL BE GOVERNED BY SECTION 103-D OF THE GENERAL MUNICIPAL LAW.
S 13. Nothing contained in this act shall limit the right or obli-
gation of the authorized state OR LOCAL entity to comply with the
provisions of any existing contract, including any existing contract
with or for the benefit of the holders of the obligations of the author-
ized state OR LOCAL entity, or to award contracts as otherwise provided
by law.
S 14. Alternative construction awarding processes. (i) Notwithstand-
ing the provisions of any other law to the contrary, the authorized
state OR LOCAL entity may award a construction contract:
S. 6357--A 9 A. 8557--A
1. To the contractor offering the best value; or
2. Utilizing a cost-plus not to exceed guaranteed maximum price form
of contract in which the authorized state OR LOCAL entity shall be enti-
tled to monitor and audit all project costs. In establishing the sched-
ule and process for determining a guaranteed maximum price, the contract
between the authorized state OR LOCAL entity and the contractor shall:
(a) describe the scope of the work and the cost of performing such
work;
(b) include a detailed line item cost breakdown;
(c) include a list of all drawings, specifications and other informa-
tion on which the guaranteed maximum price is based;
(d) include the dates for substantial and final completion on which
the guaranteed maximum price is based; and
(e) include a schedule of unit prices; or
3. Utilizing a lump sum contract in which the contractor agrees to
accept a set dollar amount for a contract which comprises a single bid
without providing a cost breakdown for all costs such as for equipment,
labor, materials, as well as such contractor's profit for completing all
items of work comprising the project.
(ii) Capital projects undertaken by an authorized state OR LOCAL enti-
ty may include an incentive clause in the contract for various perform-
ance objectives, but the incentive clause shall not include an incentive
that exceeds the quantifiable value of the benefit received by the state
OR LOCAL ENTITY. The authorized state OR LOCAL entity shall establish
such performance and payment bonds as it deems necessary.
S 15. Prequalified contractors. (a) Notwithstanding any other
provision of law, the authorized state OR LOCAL entity may maintain a
list of prequalified contractors who are eligible to submit a proposal
pursuant to this act and entry into such list shall be continuously
available. Prospective contractors may be prequalified as contractors to
provide particular types of construction, in accordance with general
criteria established by the authorized state OR LOCAL entity which may
include, but shall not be limited to, the experience, past performance,
ability to undertake the type and complexity of work, financial capabil-
ity, responsibility, compliance with equal employment opportunity
requirements and anti-discrimination laws, and reliability. Such
prequalification may be by categories designed by size and other
factors.
(b) A contractor who is denied prequalification or whose prequalifica-
tion is revoked or suspended by the authorized state OR LOCAL entity may
appeal such decision to the authorized state entity. If such a suspen-
sion extends for more than three months, it shall be deemed a revocation
of the prequalification. The authorized state OR LOCAL entity may
proceed with the contract award during any appeal.
S 16. Nothing in this act shall affect existing powers of New York
state public entities OR LOCAL ENTITIES to use alternative project
delivery methods.
S 17. This act shall take effect immediately [and shall expire and be
deemed repealed 3 years after such date, provided that, projects with
requests for qualifications issued prior to such repeal shall be permit-
ted to continue under this act notwithstanding such repeal].
S 2. This act shall take effect immediately.
PART C
S. 6357--A 10 A. 8557--A
Section 1. Section 13 of part U1 of chapter 62 of the laws of 2003
amending the vehicle and traffic law and other laws relating to increas-
ing certain motor vehicle transaction fees, as amended by section 2 of
part B of chapter 58 of the laws of 2013, is amended to read as follows:
S 13. This act shall take effect immediately; provided however that
sections one through seven of this act, the amendments to subdivision 2
of section 205 of the tax law made by section eight of this act, and
section nine of this act shall expire and be deemed repealed on [March
31] APRIL 1, 2015; provided further, however, that the amendments to
subdivision 3 of section 205 of the tax law made by section eight of
this act shall expire and be deemed repealed on March 31, 2018; provided
further, however, that the provisions of section eleven of this act
shall take effect April 1, 2004 and shall expire and be deemed repealed
on [March 31] APRIL 1, 2015.
S 2. Section 2 of part B of chapter 84 of the laws of 2002, amending
the state finance law relating to the costs of the department of motor
vehicles, as amended by section 1 of part E of chapter 59 of the laws of
2009, is amended to read as follows:
S 2. This act shall take effect April 1, 2002; provided, however, if
this act shall become a law after such date it shall take effect imme-
diately and shall be deemed to have been in full force and effect on and
after April 1, 2002; provided further, however, that this act shall
expire and be deemed repealed on [March 31] APRIL 1, 2015.
S 3. Subdivision 4 of section 94 of the transportation law, as amended
by section 1 of part D of chapter 101 of the laws of 2001, is amended to
read as follows:
4. All fees charged and collected by the commissioner hereunder shall
be deposited [to the miscellaneous special revenue fund - transportation
regulation account for the purposes established in this section] BY THE
COMPTROLLER INTO THE SPECIAL OBLIGATION RESERVE AND PAYMENT ACCOUNT OF
THE DEDICATED HIGHWAY AND BRIDGE TRUST FUND ESTABLISHED PURSUANT TO
SECTION EIGHTY-NINE-B OF THE STATE FINANCE LAW.
S 4. Subdivision 4 of section 135 of the transportation law, as added
by chapter 166 of the laws of 1991, is amended to read as follows:
4. All revenues collected pursuant to this section shall be deposited
[to the miscellaneous special revenue fund--rail safety inspection
account] BY THE COMPTROLLER INTO THE SPECIAL OBLIGATION RESERVE AND
PAYMENT ACCOUNT OF THE DEDICATED HIGHWAY AND BRIDGE TRUST FUND ESTAB-
LISHED PURSUANT TO SECTION EIGHTY-NINE-B OF THE STATE FINANCE LAW for
the purposes established in this section. Fees will be based on reven-
ues from the preceding calendar year and shall be assessed on or before
July first and are payable by September first of each year. On or before
January first of each year following assessment of fees pursuant to this
section, the commissioner shall report to the railroad companies annual
costs associated with this assessment.
S 5. Subdivision 5 of section 144 of the transportation law, as added
by chapter 635 of the laws of 1983, is amended to read as follows:
5. For furnishing a certification of any paper, record or official
document, one dollar. No fees shall be charged or collected for copies
of papers, records or official documents, furnished to public officers
for use in their official capacity, or for the annual reports of the
commissioner in the ordinary course of distribution, but the commission-
er may fix reasonable charges for copies of papers, records, official
documents and other publications furnished or issued to others under
this authority. All fees charged and collected by the commissioner
[shall belong to the people of the state and shall be paid monthly,
S. 6357--A 11 A. 8557--A
accompanied by a detailed statement thereof, into the treasury of the
state to the credit of the general fund] PURSUANT TO THIS SECTION SHALL
BE DEPOSITED BY THE COMPTROLLER INTO THE SPECIAL OBLIGATION RESERVE AND
PAYMENT ACCOUNT OF THE DEDICATED HIGHWAY AND BRIDGE TRUST FUND ESTAB-
LISHED PURSUANT TO SECTION EIGHTY-NINE-B OF THE STATE FINANCE LAW.
S 6. Section 145 of the transportation law is amended by adding a new
subdivision 8 to read as follows:
8. ALL PENALTIES CHARGED AND COLLECTED BY THE COMMISSIONER PURSUANT TO
THIS SECTION SHALL BE DEPOSITED BY THE COMPTROLLER INTO THE SPECIAL
OBLIGATION RESERVE AND PAYMENT ACCOUNT OF THE DEDICATED HIGHWAY AND
BRIDGE TRUST FUND ESTABLISHED PURSUANT TO SECTION EIGHT-NINE-B OF THE
STATE FINANCE LAW.
S 7. Section 88 of the highway law is amended by adding a new subdivi-
sion 13 to read as follows:
13. ALL FEES COLLECTED BY THE COMMISSIONER PURSUANT TO THIS SECTION
SHALL BE DEPOSITED BY THE COMPTROLLER INTO THE SPECIAL OBLIGATION
RESERVE AND PAYMENT ACCOUNT OF THE DEDICATED HIGHWAY AND BRIDGE TRUST
FUND ESTABLISHED PURSUANT TO SECTION EIGHTY-NINE-B OF THE STATE FINANCE
LAW.
S 8. Paragraph (a) of subdivision 3 of section 89-b of the state
finance law, as amended by section 2 of part B of chapter 58 of the laws
of 2012, is amended to read as follows:
(a) The special obligation reserve and payment account shall consist
(i) of all moneys required to be deposited in the dedicated highway and
bridge trust fund pursuant to the provisions of sections two hundred
five, two hundred eighty-nine-e, three hundred one-j, five hundred
fifteen and eleven hundred sixty-seven of the tax law, section four
hundred one of the vehicle and traffic law, and section thirty-one of
chapter fifty-six of the laws of nineteen hundred ninety-three, (ii) all
fees, fines or penalties collected by the commissioner of transportation
pursuant to section fifty-two, section three hundred twenty-six, [and
subdivisions five, eight and twelve of] section eighty-eight of the
highway law, subdivision fifteen of section three hundred eighty-five of
the vehicle and traffic law, section two of the chapter of the laws of
two thousand three that amended this paragraph, subdivision (d) of
section three hundred four-a, paragraph one of subdivision (a) and
subdivision (d) of section three hundred five, subdivision six-a of
section four hundred fifteen and subdivision (g) of section twenty-one
hundred twenty-five of the vehicle and traffic law, section fifteen of
this chapter, excepting moneys deposited with the state on account of
betterments performed pursuant to subdivision twenty-seven or subdivi-
sion thirty-five of section ten of the highway law, AND SECTIONS NINE-
TY-FOUR, ONE HUNDRED THIRTY-FIVE, ONE HUNDRED FORTY-FOUR AND ONE HUNDRED
FORTY-FIVE OF THE TRANSPORTATION LAW, (iii) any moneys collected by the
department of transportation for services provided pursuant to agree-
ments entered into in accordance with section ninety-nine-r of the
general municipal law, and (iv) any other moneys collected therefor or
credited or transferred thereto from any other fund, account or source.
S 9. Paragraph (a) of subdivision 3 of section 89-b of the state
finance law, as amended by section 3 of part B of chapter 58 of the laws
of 2012, is amended to read as follows:
(a) The special obligation reserve and payment account shall consist
(i) of all moneys required to be deposited in the dedicated highway and
bridge trust fund pursuant to the provisions of sections two hundred
eighty-nine-e, three hundred one-j, five hundred fifteen and eleven
hundred sixty-seven of the tax law, section four hundred one of the
S. 6357--A 12 A. 8557--A
vehicle and traffic law, and section thirty-one of chapter fifty-six of
the laws of nineteen hundred ninety-three, (ii) all fees, fines or
penalties collected by the commissioner of transportation pursuant to
section fifty-two, section three hundred twenty-six, [and subdivisions
five, eight and twelve of] section eighty-eight of the highway law,
subdivision fifteen of section three hundred eighty-five of the vehicle
and traffic law, section fifteen of this chapter, excepting moneys
deposited with the state on account of betterments performed pursuant to
subdivision twenty-seven or subdivision thirty-five of section ten of
the highway law, AND SECTIONS NINETY-FOUR, ONE HUNDRED THIRTY-FIVE, ONE
HUNDRED FORTY-FOUR AND ONE HUNDRED FORTY-FIVE OF THE TRANSPORTATION LAW
(iii) any moneys collected by the department of transportation for
services provided pursuant to agreements entered into in accordance with
section ninety-nine-r of the general municipal law, and (iv) any other
moneys collected therefor or credited or transferred thereto from any
other fund, account or source.
S 10. Paragraph a of subdivision 5 of section 89-b of the state
finance law, as amended by section 60 of part HH of chapter 57 of the
laws of 2013, is amended to read as follows:
a. Moneys in the dedicated highway and bridge trust fund shall,
following appropriation by the legislature, be utilized for: recon-
struction, replacement, reconditioning, restoration, rehabilitation and
preservation of state, county, town, city and village roads, highways,
parkways, and bridges thereon, to restore such facilities to their
intended functions; construction, reconstruction, enhancement and
improvement of state, county, town, city, and village roads, highways,
parkways, and bridges thereon, to address current and projected capacity
problems including costs for traffic mitigation activities; aviation
projects authorized pursuant to section fourteen-j of the transportation
law and for payments to the general debt service fund of amounts equal
to amounts required for service contract payments related to aviation
projects as provided and authorized by section three hundred eighty-six
of the public authorities law; programs to assist small and minority and
women-owned firms engaged in transportation construction and recon-
struction projects, including a revolving fund for working capital
loans, and a bonding guarantee assistance program in accordance with
provisions of this chapter; matching federal grants or apportionments to
the state for highway, parkway and bridge capital projects; the acquisi-
tion of real property and interests therein required or expected to be
required in connection with such projects; preventive maintenance activ-
ities necessary to ensure that highways, parkways and bridges meet or
exceed their optimum useful life; expenses of control of snow and ice on
state highways by the department of transportation including but not
limited to personal services, nonpersonal services and fringe benefits,
payment of emergency aid for control of snow and ice in municipalities
pursuant to section fifty-five of the highway law, expenses of control
of snow and ice on state highways by municipalities pursuant to section
twelve of the highway law, and for expenses of arterial maintenance
agreements with cities pursuant to section three hundred forty-nine of
the highway law; personal services, NONPERSONAL SERVICES, and fringe
benefit costs of the department of transportation for bus safety
inspection activities, RAIL SAFETY INSPECTION ACTIVITIES, AND TRUCK
SAFETY INSPECTION ACTIVITIES; costs of the department of motor vehicles,
including but not limited to personal and nonpersonal services; costs of
engineering and administrative services of the department of transporta-
tion, including but not limited to fringe benefits; the contract
S. 6357--A 13 A. 8557--A
services provided by private firms in accordance with section fourteen
of the transportation law; personal services and nonpersonal services,
for activities including but not limited to the preparation of designs,
plans, specifications and estimates; construction management and super-
vision activities; costs of appraisals, surveys, testing and environ-
mental impact statements for transportation projects; expenses in
connection with buildings, equipment, materials and facilities used or
useful in connection with the maintenance, operation, and repair of
highways, parkways and bridges thereon; and project costs for:
construction, reconstruction, improvement, reconditioning and preserva-
tion of rail freight facilities and intercity rail passenger facilities
and equipment; construction, reconstruction, improvement, reconditioning
and preservation of state, municipal and privately owned ports;
construction, reconstruction, improvement, reconditioning and preserva-
tion of municipal airports; privately owned airports and aviation capi-
tal facilities, excluding airports operated by the state or operated by
a bi-state municipal corporate instrumentality for which federal funding
is not available provided the project is consistent with an approved
airport layout plan; and construction, reconstruction, enhancement,
improvement, replacement, reconditioning, restoration, rehabilitation
and preservation of state, county, town, city and village roads, high-
ways, parkways and bridges; and construction, reconstruction, improve-
ment, reconditioning and preservation of fixed ferry facilities of
municipal and privately owned ferry lines for transportation purposes,
and the payment of debt service required on any bonds, notes or other
obligations and related expenses for highway, parkway, bridge and
project costs for: construction, reconstruction, improvement, recondi-
tioning and preservation of rail freight facilities and intercity rail
passenger facilities and equipment; construction, reconstruction,
improvement, reconditioning and preservation of state, municipal and
privately owned ports; construction, reconstruction, improvement, recon-
ditioning and preservation of municipal airports; privately owned
airports and aviation capital facilities, excluding airports operated by
the state or operated by a bi-state municipal corporate instrumentality
for which federal funding is not available provided the project is
consistent with an approved airport layout plan; construction, recon-
struction, enhancement, improvement, replacement, reconditioning, resto-
ration, rehabilitation and preservation of state, county, town, city and
village roads, highways, parkways and bridges; and construction, recon-
struction, improvement, reconditioning and preservation of fixed ferry
facilities of municipal and privately owned ferry lines for transporta-
tion purposes, purposes authorized on or after the effective date of
this section. Beginning with disbursements made on and after the first
day of April, nineteen hundred ninety-three, moneys in such fund shall
be available to pay such costs or expenses made pursuant to appropri-
ations or reappropriations made during the state fiscal year which began
on the first of April, nineteen hundred ninety-two. Beginning the first
day of April, nineteen hundred ninety-three, moneys in such fund shall
also be used for transfers to the general debt service fund and the
revenue bond tax fund of amounts equal to that respectively required for
service contract and financing agreement payments as provided and
authorized by section three hundred eighty of the public authorities
law, section eleven of chapter three hundred twenty-nine of the laws of
nineteen hundred ninety-one, as amended, and sections sixty-eight-c and
sixty-nine-o of this chapter.
S. 6357--A 14 A. 8557--A
S 11. Paragraph a of subdivision 5 of section 89-b of the state
finance law, as amended by section 60-a of part HH of chapter 57 of the
laws of 2013, is amended to read as follows:
a. Moneys in the dedicated highway and bridge trust fund shall,
following appropriation by the legislature, be utilized for: recon-
struction, replacement, reconditioning, restoration, rehabilitation and
preservation of state, county, town, city and village roads, highways,
parkways, and bridges thereon, to restore such facilities to their
intended functions; construction, reconstruction, enhancement and
improvement of state, county, town, city, and village roads, highways,
parkways, and bridges thereon, to address current and projected capacity
problems including costs for traffic mitigation activities; aviation
projects authorized pursuant to section fourteen-j of the transportation
law and for payments to the general debt service fund of amounts equal
to amounts required for service contract payments related to aviation
projects as provided and authorized by section three hundred eighty-six
of the public authorities law; programs to assist small and minority and
women-owned firms engaged in transportation construction and recon-
struction projects, including a revolving fund for working capital
loans, and a bonding guarantee assistance program in accordance with
provisions of this chapter; matching federal grants or apportionments to
the state for highway, parkway and bridge capital projects; the acquisi-
tion of real property and interests therein required or expected to be
required in connection with such projects; preventive maintenance activ-
ities necessary to ensure that highways, parkways and bridges meet or
exceed their optimum useful life; expenses of control of snow and ice on
state highways by the department of transportation including but not
limited to personal services, nonpersonal services and fringe benefits,
payment of emergency aid for control of snow and ice in municipalities
pursuant to section fifty-five of the highway law, expenses of control
of snow and ice on state highways by municipalities pursuant to section
twelve of the highway law, and for expenses of arterial maintenance
agreements with cities pursuant to section three hundred forty-nine of
the highway law; personal services, NONPERSONAL SERVICES, and fringe
benefit costs of the department of transportation for bus safety
inspection activities, RAIL SAFETY INSPECTION ACTIVITIES, AND TRUCK
SAFETY INSPECTION ACTIVITIES; costs of engineering and administrative
services of the department of transportation, including but not limited
to fringe benefits; the contract services provided by private firms in
accordance with section fourteen of the transportation law; personal
services and nonpersonal services, for activities including but not
limited to the preparation of designs, plans, specifications and esti-
mates; construction management and supervision activities; costs of
appraisals, surveys, testing and environmental impact statements for
transportation projects; expenses in connection with buildings, equip-
ment, materials and facilities used or useful in connection with the
maintenance, operation, and repair of highways, parkways and bridges
thereon; and project costs for: construction, reconstruction, improve-
ment, reconditioning and preservation of rail freight facilities and
intercity rail passenger facilities and equipment; construction, recon-
struction, improvement, reconditioning and preservation of state, munic-
ipal and privately owned ports; construction, reconstruction, improve-
ment, reconditioning and preservation of municipal airports; privately
owned airports and aviation capital facilities, excluding airports oper-
ated by the state or operated by a bi-state municipal corporate instru-
mentality for which federal funding is not available provided the
S. 6357--A 15 A. 8557--A
project is consistent with an approved airport layout plan; and
construction, reconstruction, enhancement, improvement, replacement,
reconditioning, restoration, rehabilitation and preservation of state,
county, town, city and village roads, highways, parkways and bridges;
and construction, reconstruction, improvement, reconditioning and pres-
ervation of fixed ferry facilities of municipal and privately owned
ferry lines for transportation purposes, and the payment of debt service
required on any bonds, notes or other obligations and related expenses
for highway, parkway, bridge and project costs for: construction, recon-
struction, improvement, reconditioning and preservation of rail freight
facilities and intercity rail passenger facilities and equipment;
construction, reconstruction, improvement, reconditioning and preserva-
tion of state, municipal and privately owned ports; construction, recon-
struction, improvement, reconditioning and preservation of municipal
airports; privately owned airports and aviation capital facilities,
excluding airports operated by the state or operated by a bi-state
municipal corporate instrumentality for which federal funding is not
available provided the project is consistent with an approved airport
layout plan; construction, reconstruction, enhancement, improvement,
replacement, reconditioning, restoration, rehabilitation and preserva-
tion of state, county, town, city and village roads, highways, parkways
and bridges; and construction, reconstruction, improvement, recondition-
ing and preservation of fixed ferry facilities of municipal and private-
ly owned ferry lines for transportation purposes, purposes authorized on
or after the effective date of this section. Beginning with disburse-
ments made on and after the first day of April, nineteen hundred nine-
ty-three, moneys in such fund shall be available to pay such costs or
expenses made pursuant to appropriations or reappropriations made during
the state fiscal year which began on the first of April, nineteen
hundred ninety-two. Beginning the first day of April, nineteen hundred
ninety-three, moneys in such fund shall also be used for transfers to
the general debt service fund and the revenue bond tax fund of amounts
equal to that respectively required for service contract and financing
agreement payments as provided and authorized by section three hundred
eighty of the public authorities law, section eleven of chapter three
hundred twenty-nine of the laws of nineteen hundred ninety-one, as
amended, and sections sixty-eight-c and sixty-nine-o of this chapter.
S 12. This act shall take effect immediately, provided that the
amendments to paragraph (a) of subdivision 3 of section 89-b of the
state finance law made by section eight of this act shall be subject to
the expiration and reversion of such paragraph pursuant to section 13 of
part U1 of chapter 62 of the laws of 2003, as amended, when upon such
date the provisions of section nine of this act shall take effect; and
provided further that the amendments to paragraph a of subdivision 5 of
section 89-b of the state finance law made by section ten of this act
shall be subject to the expiration and reversion of such paragraph
pursuant to section 2 of part B of chapter 84 of the laws of 2002, as
amended, when upon such date the provisions of section eleven of this
act shall take effect.
PART D
Section 1. Section 2 of part D of chapter 58 of the laws of 2013,
relating to the hours of operation of the department of motor vehicles
and providing for the repeal of such provisions upon expiration thereof,
is amended to read as follows:
S. 6357--A 16 A. 8557--A
S 2. This act shall take effect immediately [and shall expire and be
deemed repealed two years after such date].
S 2. This act shall take effect immediately.
PART E
Section 1. The article heading of article 12-C of the vehicle and
traffic law, as added by chapter 751 of the laws of 2005, is amended to
read as follows:
ACCIDENT PREVENTION COURSE INTERNET, AND
OTHER TECHNOLOGY [PILOT] PROGRAM
S 2. Sections 399-m and 399-o of the vehicle and traffic law are
REPEALED.
S 3. Sections 399-k and 399-l of the vehicle and traffic law, as added
by chapter 751 of the laws of 2005, are amended to read as follows:
S 399-k. Accident prevention course internet technology [pilot]
program. The commissioner shall establish and implement a comprehensive
[pilot] program to [review and study] ALLOW internet, and other technol-
ogies as approved by the commissioner, as a training method for the
administration and completion of an approved accident prevention course
for the purposes of granting point and insurance premium reduction bene-
fits.
S 399-l. Application. Applicants for participation in the [pilot]
program established pursuant to this article shall be among those acci-
dent prevention course sponsoring agencies that have a course approved
by the commissioner pursuant to article twelve-B of this title [prior to
the effective date of this article and which deliver] AND HAVE SATISFAC-
TORILY DELIVERED such course to the public FOR A PERIOD OF ONE YEAR AND
CONTINUE TO DELIVER SUCH COURSE, UNLESS EXEMPTED BY THE COMMISSIONER.
[Provided, however, the commissioner may, in his or her discretion,
approve applications after such date.] In order to be approved for
participation in such [pilot] program, the course must comply with the
provisions of law, rules and regulations applicable thereto. The
commissioner may, in his or her discretion, impose a fee for the
submission of each application to participate in the [pilot] program
established pursuant to this article. Such fee shall not exceed seven
thousand five hundred dollars. The proceeds from such fee shall be
deposited in the accident prevention course internet technology [pilot]
program fund as established by section eighty-nine-g of the state
finance law.
S 4. Subdivision 2 of section 399-n of the vehicle and traffic law, as
added by chapter 751 of the laws of 2005, is amended to read as follows:
2. The commissioner is authorized to impose a fee upon each accident
prevention course sponsoring agency approved for participation in the
[pilot] program, which shall not exceed eight dollars for each student
who completes an accident prevention course by means of the [pilot]
program established pursuant to this article.
S 5. The section heading, subdivisions 1 and 3 of section 89-g of the
state finance law, as added by chapter 751 of the laws of 2005, are
amended to read as follows:
Accident prevention course internet, and other technology [pilot]
program fund. 1. There is hereby established in the joint custody of the
state comptroller and the commissioner of taxation and finance a special
fund to be known as the "accident prevention course internet, and other
technology [pilot] program fund".
S. 6357--A 17 A. 8557--A
3. The moneys in the accident prevention course internet, and other
technology [pilot] program fund shall be kept separate and shall not be
commingled with any other moneys in the custody of the commissioner of
taxation and finance and the state comptroller.
S 6. Section 5 of chapter 751 of the laws of 2005, amending the insur-
ance law and the vehicle and traffic law, relating to establishing the
accident prevention course internet technology pilot program, is amended
to read as follows:
S 5. This act shall take effect on the one hundred eightieth day after
it shall have become a law [and shall expire and be deemed repealed five
years after the date that the accident prevention course internet, and
other technology pilot program is established and implemented by the
commissioner of motor vehicles pursuant to article 12-C of the vehicle
and traffic law, as added by section three of this act]; provided that
any rules and regulations necessary to implement the provisions of this
act on its effective date are authorized and directed to be completed on
or before such date; and provided, further, that the commissioner of
motor vehicles shall notify the legislative bill drafting commission of
the date he or she establishes and implements the accident prevention
course internet technology pilot program pursuant to article 12-C of the
vehicle and traffic law, as added by section three of this act, in order
that such commission may maintain an accurate and timely effective data
base of the official text of the laws of the state of New York in furth-
erance of effecting the provisions of section 44 of the legislative law
and section 70-b of the public officers law.
S 7. This act shall take effect immediately; provided that sections
one through five of this act shall take effect May 18, 2014.
PART F
Section 1. Subdivision 3 of section 510-a of the vehicle and traffic
law is amended by adding a new paragraph (f) to read as follows:
(F) A COMMERCIAL DRIVER'S LICENSE SHALL BE SUSPENDED BY THE COMMIS-
SIONER IF THE HOLDER FAILS TO AMEND THE LICENSE TO ADD OR REMOVE A
LICENSE RESTRICTION AS DIRECTED BY THE COMMISSIONER. SUCH SUSPENSION
SHALL REMAIN IN EFFECT UNTIL THE HOLDER OF THE COMMERCIAL DRIVER'S
LICENSE AMENDS HIS OR HER LICENSE AS DIRECTED BY THE COMMISSIONER. THE
COMMISSIONER SHALL DIRECT THE HOLDER OF SUCH COMMERCIAL DRIVER'S
LICENSE, BY FIRST CLASS MAIL TO THE ADDRESS OF SUCH PERSON ON FILE WITH
THE DEPARTMENT OR AT THE CURRENT ADDRESS PROVIDED BY THE UNITED STATES
POSTAL SERVICE, TO AMEND HIS OR HER COMMERCIAL DRIVER'S LICENSE BY
ADDING OR REMOVING A SPECIFIED RESTRICTION, AND THAT FAILURE TO AMEND
SUCH LICENSE AS DIRECTED SHALL RESULT IN THE SUSPENSION OF HIS OR HER
COMMERCIAL DRIVER'S LICENSE NO EARLIER THAN THIRTY DAYS FROM THE DATE OF
THE NOTICE TO SUCH HOLDER.
S 2. Subdivision 1-a of section 509 of the vehicle and traffic law, as
added by section 1 of part J of chapter 59 of the laws of 2006, is
amended to read as follows:
1-a. Whenever a license is required to operate a commercial motor
vehicle, no person shall operate a commercial motor vehicle without the
proper endorsements for the specific vehicle being operated or for the
passengers or type of cargo being transported; OR WITHOUT THE PROPER
RESTRICTIONS OR WITH RESTRICTIONS THAT ARE INAPPLICABLE TO OR INAPPRO-
PRIATE FOR THE HOLDER FOR HIS OR HER OPERATION OF COMMERCIAL MOTOR VEHI-
CLES.
S 3. This act shall take effect immediately.
S. 6357--A 18 A. 8557--A
PART G
Section 1. Section 2985 of title 11 of article 9 of the public author-
ities law is designated title 11-A and such title is amended by adding a
new title heading to read as follows:
TOLL COLLECTIONS
S 2. Subdivision 1 of section 2985 of the public authorities law, as
added by chapter 379 of the laws of 1992, is amended to read as follows:
1. Notwithstanding any other provision of law, every public authority
which operates a toll highway bridge and/or tunnel facility is hereby
authorized and empowered to impose monetary liability [on the owner of a
vehicle] for failure [of an operator thereof] to comply with the toll
collection regulations of such public authority in accordance with the
provisions of this section.
S 3. Subdivision 3 of section 2985 of the public authorities law, as
added by chapter 379 of the laws of 1992, is amended to read as follows:
3. For purposes of this section, the term "owner" shall mean any
person, corporation, partnership, firm, agency, association, lessor or
organization who, at the time of the violation OR WHEN THE OBLIGATION TO
PAY THE TOLL IS INCURRED and with respect to the vehicle identified in
the notice of liability: (a) is the beneficial or equitable owner of
such vehicle; or (b) has title to such vehicle; or (c) is the registrant
or co-registrant of such vehicle which is registered with the department
of motor vehicles of this state or any other state, territory, district,
province, nation or other jurisdiction; or (d) subject to the limita-
tions set forth in subdivision ten of this section, uses such vehicle in
its vehicle renting and/or leasing business; and includes (e) a person
entitled to the use and possession of a vehicle subject to a security
interest in another person. For purposes of this section, the term
"photo-monitoring system" shall mean a vehicle sensor installed to work
in conjunction with a toll collection facility which automatically
produces one or more photographs, one or more microphotographs, a vide-
otape or other recorded images of each vehicle at the time it is used or
operated in [violation of toll collection regulations] OR UPON A TOLL
FACILITY. For purposes of this section, the term "toll collection regu-
lations" shall mean: those rules and regulations of a public authority
providing for and requiring the payment of tolls and/or charges
prescribed by such public authority for the use of bridges, tunnels or
highways under its jurisdiction or those rules and regulations of a
public authority making it unlawful to refuse to pay or to evade or to
attempt to evade the payment of all or part of any toll and/or charge
for the use of bridges, tunnels or highways under the jurisdiction of
such public authority. For purposes of this section, the term "vehicle"
shall mean every device in, upon or by which a person or property is or
may be transported or drawn upon a highway, except devices used exclu-
sively upon stationary rails or tracks.
S 4. Subdivision 4 of section 2985 of the public authorities law, as
added by chapter 379 of the laws of 1992, is amended to read as follows:
4. A certificate, sworn to or affirmed by an agent of the public
authority which charged that the violation occurred, or a facsimile
thereof, based upon inspection of [photographs, microphotographs, vide-
otape or other recorded images] DATA OR IMAGES produced by [a photo-mon-
itoring] AN ELECTRONIC TOLL COLLECTION system OR OTHER RECORDS MAIN-
TAINED BY OR ON BEHALF OF THE PUBLIC AUTHORITY REGARDING TOLL VIOLATIONS
shall be prima facie evidence of the facts contained therein and shall
be admissible in any proceeding charging a violation of toll collection
S. 6357--A 19 A. 8557--A
regulations, provided that any [photographs, microphotographs, videotape
or other recorded images] SUCH DATA, IMAGES, OR RECORDS evidencing such
a violation shall be available for inspection and admission into
evidence in any proceeding to adjudicate the liability for such
violation.
S 5. Subdivision 5 of section 2985 of the public authorities law, as
added by chapter 379 of the laws of 1992, is amended to read as follows:
5. An owner found liable for a violation of toll collection regu-
lations pursuant to this section shall for a first violation thereof be
liable for THE FULL AMOUNT OF THE ASSESSED TOLLS AND OTHER CHARGES AND
FEES IN ADDITION TO a monetary penalty not to exceed [fifty] ONE HUNDRED
dollars or two times the toll evaded whichever is greater; for a second
violation thereof both within eighteen months be liable for THE FULL
AMOUNT OF THE ASSESSED TOLLS AND OTHER CHARGES AND FEES IN ADDITION TO a
monetary penalty not to exceed [one] TWO hundred dollars or five times
the toll evaded whichever is greater; for a third or subsequent
violation thereof all within eighteen months be liable for THE FULL
AMOUNT OF THE ASSESSED TOLLS AND OTHER CHARGES AND FEES IN ADDITION TO a
monetary penalty not to exceed [one] THREE hundred [fifty] dollars or
ten times the toll evaded whichever is greater.
S 6. Paragraphs (a), (b) and (d) of subdivision 7 of section 2985 of
the public authorities law, as added by chapter 379 of the laws of 1992,
are amended to read as follows:
(a) A notice of liability shall be sent by first class mail to each
person alleged to be liable as an owner for a violation of toll
collection regulations. Such notice shall be mailed no later than [thir-
ty] ONE HUNDRED TWENTY days after the alleged violation. Personal deliv-
ery on the owner shall not be required. A manual or automatic record of
mailing prepared in the ordinary course of business shall be prima facie
evidence of the mailing of the notice.
(b) A notice of liability shall contain the name and address of the
person alleged to be liable as an owner for a violation of toll
collection regulations pursuant to this section, the registration number
AND STATE OF REGISTRATION of the vehicle involved in such violation, the
[location where such violation took place, the date and time] LOCATIONS,
DATES AND TIMES of EACH USE OF THE FACILITY THAT FORMS THE BASIS OF such
violation, THE AMOUNT OF THE ASSESSED TOLLS AND OTHER CHARGES AND FEES,
and the identification number of the [photo-monitoring] ELECTRONIC TOLL
COLLECTION system which recorded the [violation] VEHICLE BEING USED OR
OPERATED ON THE TOLL FACILITY or other document locator number.
(d) The notice of liability shall be prepared and mailed by OR ON
BEHALF OF the public authority having jurisdiction over the toll facili-
ty where the violation of toll collection regulations occurred.
S 7. Subdivision 8 of section 2985 of the public authorities law, as
added by chapter 379 of the laws of 1992, is amended to read as follows:
8. Adjudication of the liability imposed upon owners by this section
shall be by the entity having jurisdiction over violations of the rules
and regulations of the public authority serving the notice of liability
or where authorized by an administrative tribunal and all violations
shall be heard and determined in the county in which the violation is
alleged to have occurred, or in New York city and upon the consent of
both parties, in any county within New York city in which the public
authority operates or maintains a facility, and in the same manner as
charges of other regulatory violations of such public authority or
pursuant to the rules and regulations of such administrative tribunal as
the case may be. THE ENTITY OR ADMINISTRATIVE TRIBUNAL THAT ADJUDICATES
S. 6357--A 20 A. 8557--A
LIABILITY FOR A VIOLATION SHALL COLLECT THE FULL AMOUNT OF THE ASSESSED
TOLLS AND OTHER CHARGES AND FEES IN ADDITION TO THE MONETARY PENALTY
OWED, AND SHALL PAY TO THE PUBLIC AUTHORITY WHOSE TOLL COLLECTION REGU-
LATIONS WERE VIOLATED THE FULL AMOUNT OF THE ASSESSED TOLLS AND OTHER
CHARGES AND FEES AND ONE-HALF OF THE MONETARY PENALTY.
S 8. Subdivision 10 of section 2985 of the public authorities law, as
amended by chapter 666 of the laws of 1993, is amended to read as
follows:
10. An owner who is a lessor of a vehicle to which a notice of liabil-
ity was issued pursuant to subdivision seven of this section shall not
be liable for the violation of the toll collection regulation provided
that he or she sends to the public authority [serving the notice of
liability and to the court or other entity having jurisdiction] OR ITS
DULY AUTHORIZED AGENT FOR THIS PURPOSE a copy of the rental, lease or
other such contract document covering such vehicle on the date of [the
violation] USE OF A TOLL FACILITY, with the name and address of the
lessee clearly legible, within thirty days after receiving [the
original] notice of [liability] USE OF THE TOLL FACILITY BY SUCH
VEHICLE. Failure to send such information within such thirty day time
period shall render the lessor liable for the penalty prescribed by this
section. Where the lessor complies with the provisions of this subdivi-
sion, the lessee of such vehicle on the date of such [violation] USE OF
THE TOLL FACILITY shall be deemed to be the owner of such vehicle for
purposes of this section and shall be subject to liability for the
violation of toll collection regulations[, provided that the public
authority mails a notice of liability to the lessee within ten days
after the court, or other entity having jurisdiction, deems the lessee
to be the owner]. For purposes of this subdivision the term "lessor"
shall mean any person, corporation, firm, partnership, agency, associ-
ation or organization engaged in the business of renting or leasing
vehicles to any lessee under a rental agreement, lease or otherwise
wherein the said lessee has the exclusive use of said vehicle for any
period of time. For purposes of this subdivision, the term "lessee"
shall mean any person, corporation, firm, partnership, agency, associ-
ation or organization that rents, leases or contracts for the use of one
or more vehicles and has exclusive use thereof for any period of time.
S 9. Subdivision 11 of section 2985 of the public authorities law, as
added by chapter 379 of the laws of 1992, is amended to read as follows:
11. Except as provided in subdivision ten of this section, if a person
receives a notice of liability pursuant to this section it shall be a
valid defense to an allegation of liability for a violation of toll
collection regulations that the individual who received the notice of
liability pursuant to this section was not the owner of the vehicle at
the time the [violation occurred] OBLIGATION FOR PAYMENT OF THE TOLL AND
OTHER CHARGES WAS INCURRED. If the owner liable for a violation of toll
collection regulations pursuant to this section was not the operator of
the vehicle at the time of the violation, the owner may maintain an
action for indemnification against the operator.
S 10. Subdivision 12 of section 2985 of the public authorities law, as
added by chapter 379 of the laws of 1992, is amended to read as follows:
12. "Electronic toll collection system" shall mean a system of
collecting tolls or OTHER charges [which is capable of charging an
account holder the appropriate toll or charge by transmission of infor-
mation from an electronic device on a motor vehicle to the toll lane,
which information is used to charge the account the appropriate toll or
charge] USING ELECTRONIC DATA AND IMAGES. In adopting procedures for
S. 6357--A 21 A. 8557--A
the preparation and mailing of a notice of liability, the public author-
ity having jurisdiction over the toll facility shall adopt guidelines to
ensure adequate and timely notice to all electronic toll collection
system account holders to inform them when their accounts are delin-
quent. An owner who is an account holder under the electronic toll
collection system shall not be found liable for a violation of this
section unless such authority has first sent a notice of delinquency to
such account holder and the account holder was in fact delinquent at the
time of the violation.
S 11. Section 2985 of the public authorities law is amended by adding
three new subdivisions 15, 16 and 17 to read as follows:
15. IN ADDITIONAL TO ANY MONETARY LIABILITY THAT MAY BE IMPOSED
PURSUANT TO THIS SECTION, A PUBLIC AUTHORITY THAT OPERATES A TOLL HIGH-
WAY, BRIDGE OR TUNNEL FACILITY IS HEREBY AUTHORIZED AND EMPOWERED TO
IMPOSE AN ADMINISTRATIVE FEE OR FEES ON AN OWNER, AN OPERATOR OR AN
ACCOUNT HOLDER THAT HAS VIOLATED TOLL COLLECTION REGULATIONS.
16. ANY NOTICE REQUIRED TO BE SENT PURSUANT TO THIS SECTION BY FIRST
CLASS MAIL MAY INSTEAD BE SENT, WITH CONSENT, BY ELECTRONIC MEANS OF
COMMUNICATION. A MANUAL OR AUTOMATIC RECORD OF ELECTRONIC COMMUNICATIONS
PREPARED IN THIS ORDINARY COURSE OF BUSINESS SHALL BE ADEQUATE EVIDENCE
OF ELECTRONIC NOTICE.
17. THE NEW YORK STATE THRUWAY AUTHORITY AND THE NEW YORK STATE BRIDGE
AUTHORITY ARE AUTHORIZED TO ADOPT RULES AND REGULATIONS TO ESTABLISH AN
ADMINISTRATIVE TRIBUNAL TO ADJUDICATE THE LIABILITY OF OWNERS FOR
VIOLATION OF TOLL COLLECTION REGULATIONS AS DEFINED IN AND IN ACCORDANCE
WITH THE PROVISIONS OF THIS SECTION AND THE APPLICABLE TOLL REGULATIONS
OF SUCH AUTHORITIES. SUCH TRIBUNAL SHALL HAVE, WITH RESPECT TO VIOLATION
OF TOLL COLLECTION REGULATIONS OF SUCH AUTHORITIES, NON-EXCLUSIVE JURIS-
DICTION OVER VIOLATIONS OF THE RULES AND REGULATIONS WHICH MAY FROM TIME
TO TIME BE ESTABLISHED BY SUCH AUTHORITIES IN ACCORDANCE WITH THE
PROVISIONS OF THIS SECTION. VIOLATIONS SHALL BE HEARD AND DETERMINED IN
THE COUNTY IN WHICH THE VIOLATION IS ALLEGED TO HAVE OCCURRED OR IN THE
COUNTY IN WHICH THE PUBLIC AUTHORITY HAS ITS PRIMARY OR REGIONAL ADMIN-
ISTRATIVE OFFICES AND REGULATIONS MAY PROVIDE FOR THE CONDUCT OF HEAR-
INGS VIA VIDEOCONFERENCING.
S 12. Subdivision 2 of section 87 of the public officers law is
amended by adding a new paragraph (n) to read as follows:
(N) ARE DATA OR IMAGES PRODUCED BY AN ELECTRONIC TOLL COLLECTION
SYSTEM UNDER AUTHORITY OF SECTION TWO THOUSAND NINE HUNDRED EIGHTY-FIVE
OF THE PUBLIC AUTHORITIES LAW.
S 13. Subdivision 4-d of section 510 of the vehicle and traffic law,
as added by chapter 379 of the laws of 1992, is amended to read as
follows:
4-d. Suspension of registration for failure to answer or pay penalties
with respect to certain violations. Upon the receipt of a notification,
IN THE MANNER AND FORM PRESCRIBED BY THE COMMISSIONER, from a court
[or], an administrative tribunal, A PUBLIC AUTHORITY, OR ANY OTHER
PUBLIC ENTITY IMPOSING VIOLATIONS, that an owner of a motor vehicle
failed to appear on the return date or dates or a new subsequent
adjourned date or dates or failed to pay any penalty imposed by a court
or failed to comply with the rules and regulations of an administrative
tribunal following entry of a final decision or decisions, in response
to [five] THREE or more notices of liability or other process, issued
within an eighteen month period FROM ANY AND ALL JURISDICTIONS charging
such owner with a violation of toll collection regulations in accordance
with the provisions of section two thousand nine hundred eighty-five of
S. 6357--A 22 A. 8557--A
the public authorities law or sections sixteen-a, sixteen-b and
sixteen-c of chapter seven hundred seventy-four of the laws of nineteen
hundred fifty, OR OTHER COMPARABLE LAW, the commissioner or his OR HER
agent shall suspend the registration of the vehicle or vehicles involved
in the violation or the privilege of operation of any motor vehicle
owned by the registrant. Such suspension shall take effect no less than
thirty days from the date on which notice thereof is sent by the commis-
sioner to the person whose registration or privilege is suspended and
shall remain in effect until such registrant has appeared in response to
such notices of liability or has paid such penalty or in the case of an
administrative tribunal, the registrant has complied with the rules and
regulations following the entry of a final decision or decisions.
S 14. Subdivision 8 of section 402 of the vehicle and traffic law, as
amended by chapter 61 of the laws of 1989 and as renumbered by chapter
648 of the laws of 2006, is amended and a new subdivision 9 is added to
read as follows:
8. [The] EXCEPT AS PROVIDED IN SUBDIVISION NINE OF THIS SECTION, THE
violation of this section shall be punishable by a fine of not less than
twenty-five nor more than two hundred dollars.
9. THE VIOLATION OF THIS SECTION ON A TOLL HIGHWAY, BRIDGE AND/OR
TUNNEL FACILITY SHALL BE PUNISHABLE BY A FINE OF NOT LESS THAN ONE
HUNDRED NOR MORE THAN FIVE HUNDRED DOLLARS.
S 15. Subparagraph (i) of paragraph a of subdivision 5-a of section
401 of the vehicle and traffic law, as amended by section 9 of chapter
189 of the laws of 2013, is amended to read as follows:
(i) If at the time of application for a registration or renewal there-
of there is a certification from a court, parking violations bureau,
traffic and parking violations agency or administrative tribunal of
appropriate jurisdiction [or administrative tribunal of appropriate
jurisdiction] that the registrant or his or her representative failed to
appear on the return date or any subsequent adjourned date or failed to
comply with the rules and regulations of an administrative tribunal
following entry of a final decision in response to a total of three or
more summonses or other process in the aggregate, issued within an eigh-
teen month period, charging either that: (i) such motor vehicle was
parked, stopped or standing, or that such motor vehicle was operated for
hire by the registrant or his or her agent without being licensed as a
motor vehicle for hire by the appropriate local authority, in violation
of any of the provisions of this chapter or of any law, ordinance, rule
or regulation made by a local authority; or (ii) the registrant was
liable in accordance with section eleven hundred eleven-a of this chap-
ter or section eleven hundred eleven-b of this chapter for a violation
of subdivision (d) of section eleven hundred eleven of this chapter; or
(iii) the registrant was liable in accordance with section eleven
hundred eleven-c of this chapter for a violation of a bus lane
restriction as defined in such section, or (iv) the registrant was
liable in accordance with section eleven hundred eighty-b of this chap-
ter for a violation of subdivision (c) or (d) of section eleven hundred
eighty of this chapter; OR (V) THE REGISTRANT WAS LIABLE IN ACCORDANCE
WITH SECTION TWO THOUSAND NINE HUNDRED EIGHTY-FIVE OF THE PUBLIC AUTHOR-
ITIES LAW OR SECTIONS SIXTEEN-A, SIXTEEN-B OR SIXTEEN-C OF CHAPTER SEVEN
HUNDRED SEVENTY-FOUR OF THE LAWS OF NINETEEN HUNDRED FIFTY, the commis-
sioner or his or her agent shall deny the registration or renewal appli-
cation until the applicant provides proof from the court, traffic and
parking violations agency or administrative tribunal wherein the charges
are pending that an appearance or answer has been made or in the case of
S. 6357--A 23 A. 8557--A
an administrative tribunal that he or she has complied with the rules
and regulations of said tribunal following entry of a final decision.
Where an application is denied pursuant to this section, the commission-
er may, in his or her discretion, deny a registration or renewal appli-
cation to any other person for the same vehicle and may deny a registra-
tion or renewal application for any other motor vehicle registered in
the name of the applicant where the commissioner has determined that
such registrant's intent has been to evade the purposes of this subdivi-
sion and where the commissioner has reasonable grounds to believe that
such registration or renewal will have the effect of defeating the
purposes of this subdivision. Such denial shall only remain in effect as
long as the summonses remain unanswered, or in the case of an adminis-
trative tribunal, the registrant fails to comply with the rules and
regulations following entry of a final decision.
S 15-a. Paragraph a of subdivision 5-a of section 401 of the vehicle
and traffic law, as amended by section 9-a of chapter 189 of the laws of
2013, is amended to read as follows:
a. If at the time of application for a registration or renewal thereof
there is a certification from a court or administrative tribunal of
appropriate jurisdiction that the registrant or his or her represen-
tative failed to appear on the return date or any subsequent adjourned
date or failed to comply with the rules and regulations of an adminis-
trative tribunal following entry of a final decision in response to a
total of three or more summonses or other process in the aggregate,
issued within an eighteen month period, charging either that: (i) such
motor vehicle was parked, stopped or standing, or that such motor vehi-
cle was operated for hire by the registrant or his or her agent without
being licensed as a motor vehicle for hire by the appropriate local
authority, in violation of any of the provisions of this chapter or of
any law, ordinance, rule or regulation made by a local authority; or
(ii) the registrant was liable in accordance with section eleven hundred
eleven-b of this chapter for a violation of subdivision (d) of section
eleven hundred eleven of this chapter; or (iii) the registrant was
liable in accordance with section eleven hundred eleven-c of this chap-
ter for a violation of a bus lane restriction as defined in such
section; or (iv) the registrant was liable in accordance with section
eleven hundred eighty-b of this chapter for a violation of subdivision
(b), (c), (d), (f) or (g) of section eleven hundred eighty of this chap-
ter; OR (V) THE REGISTRANT WAS LIABLE IN ACCORDANCE WITH SECTION TWO
THOUSAND NINE HUNDRED EIGHTY-FIVE OF THE PUBLIC AUTHORITIES LAW OR
SECTIONS SIXTEEN-A, SIXTEEN-B OR SIXTEEN-C OF CHAPTER SEVEN HUNDRED
SEVENTY-FOUR OF THE LAWS OF NINETEEN HUNDRED FIFTY, the commissioner or
his or her agent shall deny the registration or renewal application
until the applicant provides proof from the court or administrative
tribunal wherein the charges are pending that an appearance or answer
has been made or in the case of an administrative tribunal that he or
she has complied with the rules and regulations of said tribunal follow-
ing entry of a final decision. Where an application is denied pursuant
to this section, the commissioner may, in his or her discretion, deny a
registration or renewal application to any other person for the same
vehicle and may deny a registration or renewal application for any other
motor vehicle registered in the name of the applicant where the commis-
sioner has determined that such registrant's intent has been to evade
the purposes of this subdivision and where the commissioner has reason-
able grounds to believe that such registration or renewal will have the
effect of defeating the purposes of this subdivision. Such denial shall
S. 6357--A 24 A. 8557--A
only remain in effect as long as the summonses remain unanswered, or in
the case of an administrative tribunal, the registrant fails to comply
with the rules and regulations following entry of a final decision.
S 15-b. Paragraph a of subdivision 5-a of section 401 of the vehicle
and traffic law, as amended by section 9-b of chapter 189 of the laws of
2013, is amended to read as follows:
a. If at the time of application for a registration or renewal thereof
there is a certification from a court or administrative tribunal of
appropriate jurisdiction that the registrant or his or her represen-
tative failed to appear on the return date or any subsequent adjourned
date or failed to comply with the rules and regulations of an adminis-
trative tribunal following entry of a final decision in response to
three or more summonses or other process, issued within an eighteen
month period, charging that such motor vehicle was parked, stopped or
standing, or that such motor vehicle was operated for hire by the regis-
trant or his or her agent without being licensed as a motor vehicle for
hire by the appropriate local authority, in violation of any of the
provisions of this chapter or of any law, ordinance, rule or regulation
made by a local authority, or the registrant was liable in accordance
with section eleven hundred eleven-c of this chapter for a violation of
a bus lane restriction as defined in such section, or the registrant was
liable in accordance with section eleven hundred eighty-b of this chap-
ter for a violation of subdivision (b), (c), (d), (f) or (g) of section
eleven hundred eighty of this chapter, OR THE REGISTRANT WAS LIABLE IN
ACCORDANCE WITH SECTION TWO THOUSAND NINE HUNDRED EIGHTY-FIVE OF THE
PUBLIC AUTHORITIES LAW OR SECTIONS SIXTEEN-A, SIXTEEN-B OR SIXTEEN-C OF
CHAPTER SEVEN HUNDRED SEVENTY-FOUR OF THE LAWS OF NINETEEN HUNDRED
FIFTY, the commissioner or his or her agent shall deny the registration
or renewal application until the applicant provides proof from the court
or administrative tribunal wherein the charges are pending that an
appearance or answer has been made or in the case of an administrative
tribunal that he or she has complied with the rules and regulations of
said tribunal following entry of a final decision. Where an application
is denied pursuant to this section, the commissioner may, in his or her
discretion, deny a registration or renewal application to any other
person for the same vehicle and may deny a registration or renewal
application for any other motor vehicle registered in the name of the
applicant where the commissioner has determined that such registrant's
intent has been to evade the purposes of this subdivision and where the
commissioner has reasonable grounds to believe that such registration or
renewal will have the effect of defeating the purposes of this subdivi-
sion. Such denial shall only remain in effect as long as the summonses
remain unanswered, or in the case of an administrative tribunal, the
registrant fails to comply with the rules and regulations following
entry of a final decision.
S 15-c. Paragraph a of subdivision 5-a of section 401 of the vehicle
and traffic law, as amended by section 9-c of chapter 189 of the laws of
2013, is amended to read as follows:
a. If at the time of application for a registration or renewal thereof
there is a certification from a court or administrative tribunal of
appropriate jurisdiction that the registrant or his representative
failed to appear on the return date or any subsequent adjourned date or
failed to comply with the rules and regulations of an administrative
tribunal following entry of a final decision in response to three or
more summonses or other process, issued within an eighteen month period,
charging that such motor vehicle was parked, stopped or standing, or
S. 6357--A 25 A. 8557--A
that such motor vehicle was operated for hire by the registrant or his
agent without being licensed as a motor vehicle for hire by the appro-
priate local authority, in violation of any of the provisions of this
chapter or of any law, ordinance, rule or regulation made by a local
authority, or the registrant was liable in accordance with section elev-
en hundred eighty-b of this chapter for violations of subdivision (b),
(c), (d), (f) or (g) of section eleven hundred eighty of this chapter,
OR THE REGISTRANT WAS LIABLE IN ACCORDANCE WITH SECTION TWO THOUSAND
NINE HUNDRED EIGHTY-FIVE OF THE PUBLIC AUTHORITIES LAW OR SECTIONS
SIXTEEN-A, SIXTEEN-B OR SIXTEEN-C OF CHAPTER SEVEN HUNDRED SEVENTY-FOUR
OF THE LAWS OF NINETEEN HUNDRED FIFTY, the commissioner or his agent
shall deny the registration or renewal application until the applicant
provides proof from the court or administrative tribunal wherein the
charges are pending that an appearance or answer has been made or in the
case of an administrative tribunal that he has complied with the rules
and regulations of said tribunal following entry of a final decision.
Where an application is denied pursuant to this section, the commission-
er may, in his discretion, deny a registration or renewal application to
any other person for the same vehicle and may deny a registration or
renewal application for any other motor vehicle registered in the name
of the applicant where the commissioner has determined that such regis-
trant's intent has been to evade the purposes of this subdivision and
where the commissioner has reasonable grounds to believe that such
registration or renewal will have the effect of defeating the purposes
of this subdivision. Such denial shall only remain in effect as long as
the summonses remain unanswered, or in the case of an administrative
tribunal, the registrant fails to comply with the rules and regulations
following entry of a final decision.
S 15-d. Paragraph a of subdivision 5-a of section 401 of the vehicle
and traffic law, as separately amended by chapters 339 and 592 of the
laws of 1987, is amended to read as follows:
a. If at the time of application for a registration or renewal thereof
there is a certification from a court or administrative tribunal of
appropriate jurisdiction that the registrant or his representative
failed to appear on the return date or any subsequent adjourned date or
failed to comply with the rules and regulations of an administrative
tribunal following entry of a final decision in response to three or
more summonses or other process, issued within an eighteen month period,
charging that such motor vehicle was parked, stopped or standing, or
that such motor vehicle was operated for hire by the registrant or his
agent without being licensed as a motor vehicle for hire by the appro-
priate local authority, in violation of any of the provisions of this
chapter or of any law, ordinance, rule or regulation made by a local
authority, OR THE REGISTRANT WAS LIABLE IN ACCORDANCE WITH SECTION TWO
THOUSAND NINE HUNDRED EIGHTY-FIVE OF THE PUBLIC AUTHORITIES LAW OR
SECTIONS SIXTEEN-A, SIXTEEN-B OR SIXTEEN-C OF CHAPTER SEVEN HUNDRED
SEVENTY-FOUR OF THE LAWS OF NINETEEN HUNDRED FIFTY, the commissioner or
his agent shall deny the registration or renewal application until the
applicant provides proof from the court or administrative tribunal wher-
ein the charges are pending that an appearance or answer has been made
or in the case of an administrative tribunal that he has complied with
the rules and regulations of said tribunal following entry of a final
decision. Where an application is denied pursuant to this section, the
commissioner may, in his discretion, deny a registration or renewal
application to any other person for the same vehicle and may deny a
registration or renewal application for any other motor vehicle regis-
S. 6357--A 26 A. 8557--A
tered in the name of the applicant where the commissioner has determined
that such registrant's intent has been to evade the purposes of this
subdivision and where the commissioner has reasonable grounds to believe
that such registration or renewal will have the effect of defeating the
purposes of this subdivision. Such denial shall only remain in effect as
long as the summonses remain unanswered, or in the case of an adminis-
trative tribunal, the registrant fails to comply with the rules and
regulations following entry of a final decision.
S 16. The vehicle and traffic law is amended by adding a new section
518 to read as follows:
S 518. RECIPROCAL AGREEMENTS CONCERNING SUSPENSION OR DENIAL OF REGIS-
TRATION OF A MOTOR VEHICLE FOR VIOLATIONS OF TOLL COLLECTION REGU-
LATIONS. 1. THE COMMISSIONER MAY EXECUTE A RECIPROCAL COMPACT OR AGREE-
MENT REGARDING TOLL COLLECTION VIOLATIONS WITH THE MOTOR VEHICLE
ADMINISTRATOR OR OTHER AUTHORIZED OFFICIAL OF ANOTHER STATE NOT INCON-
SISTENT WITH THE PROVISIONS OF THIS CHAPTER. SUCH COMPACT OR AGREEMENT
SHALL PROVIDE THAT IF A REGISTRATION OF A MOTOR VEHICLE WOULD BE
SUSPENDED PURSUANT TO SUBDIVISION FIVE-A OF SECTION FOUR HUNDRED ONE OF
THIS CHAPTER, OR PURSUANT TO A COMPARABLE LAW OR REGULATION OF ANOTHER
STATE, OR IF THE REGISTRATION OR RENEWAL OF A MOTOR VEHICLE WOULD BE
DENIED PURSUANT TO SUBDIVISION FOUR-D OF SECTION 510 OF THIS ARTICLE, OR
PURSUANT TO A COMPARABLE LAW OR REGULATION OF ANOTHER STATE, BECAUSE AN
OWNER OF A MOTOR VEHICLE (A) FAILED TO APPEAR, (B) FAILED TO PAY ANY
PENALTY IMPOSED BY A COURT, OR (C) FAILED TO COMPLY WITH THE RULES AND
REGULATIONS OF AN ADMINISTRATIVE TRIBUNAL FOLLOWING ENTRY OF A FINAL
DECISION IN RESPONSE TO THREE OR MORE NOTICES OF LIABILITY OF OTHER
PROCESS ISSUED WITHIN AN EIGHTEEN-MONTH PERIOD IN ACCORDANCE WITH THE
PROVISIONS OF SECTION TWO THOUSAND NINE HUNDRED EIGHTY-FIVE OF THE
PUBLIC AUTHORITIES LAW OR SECTIONS ONE THROUGH SIXTEEN AND SIXTEEN-A,
SIXTEEN-B AND SIXTEEN-C OF CHAPTER SEVEN HUNDRED SEVENTY-FOUR OF THE
LAWS OF NINETEEN HUNDRED FIFTY, OR WITH ANY COMPARABLE LAW OR REGULATION
OF ANOTHER STATE, THEN THE STATE ISSUING THE REGISTRATION SHALL LIKEWISE
SUSPEND THE REGISTRATION OR DENY THE REGISTRATION OR RENEWAL, UNTIL SUCH
REGISTRANT OR APPLICANT HAS APPEARED IN RESPONSE TO SUCH NOTICES OF
LIABILITY, OR HAS PAID SUCH PENALTY, OR, IN THE CASE OF AN ADMINISTRA-
TIVE TRIBUNAL, THE REGISTRANT OR APPLICANT HAS COMPLIED WITH THE RULES
AND REGULATIONS FOLLOWING THE ENTRY OF A FINAL DECISION OR DECISIONS.
2. SUCH COMPACT OR AGREEMENT SHALL ALSO PROVIDE SUCH TERMS AND PROCE-
DURES AS ARE NECESSARY AND PROPER TO FACILITATE ITS ADMINISTRATION. ANY
SUCH COMPACT OR AGREEMENT SHALL SPECIFY THE VIOLATIONS SUBJECT TO THE
COMPACT OR AGREEMENT, AND SHALL INCLUDE A DETERMINATION OF COMPARABLE
VIOLATIONS IN EACH STATE IF ANY SUCH VIOLATIONS ARE OF A SUBSTANTIALLY
SIMILAR NATURE BUT ARE NOT DENOMINATED OR DESCRIBED IN PRECISELY THE
SAME WORDS IN EACH PARTY STATE.
3. THE WORD "STATE" WHEN USED IN THIS SECTION SHALL MEAN ANY STATE,
TERRITORY, A POSSESSION OF THE UNITED STATES, DISTRICT OF COLUMBIA OR
ANY PROVINCE OF CANADA.
S 17. Paragraph b of subdivision 2 of section 240 of the vehicle and
traffic law, as added by chapter 715 of the laws of 1972, is amended to
read as follows:
b. No charge may be established except upon proof by substantial
evidence; EXCEPT THAT FOR AN ALLEGATION OF LIABILITY IN ACCORDANCE WITH
SECTION TWO THOUSAND NINE HUNDRED EIGHTY-FIVE OF THE PUBLIC AUTHORITIES
LAW OR SECTIONS SIXTEEN-A, SIXTEEN-B AND SIXTEEN-C OF CHAPTER SEVEN
HUNDRED SEVENTY-FOUR OF THE LAWS OF NINETEEN HUNDRED FIFTY, NO CHARGE
S. 6357--A 27 A. 8557--A
MAY BE ESTABLISHED EXCEPT UPON PROOF BY PREPONDERANCE OF EVIDENCE AS
SUBMITTED.
S 18. Subdivision 3 of section 165.15 of the penal law is amended to
read as follows:
3. With intent to obtain railroad, subway, bus, air, taxi or any other
public transportation service OR TO USE ANY HIGHWAY, PARKWAY, ROAD,
BRIDGE OR TUNNEL without payment of the lawful charge OR TOLL therefor,
or to avoid payment of the lawful charge OR TOLL for such transportation
service which has been rendered to him OR HER OR FOR SUCH USE OF ANY
HIGHWAY, PARKWAY, ROAD, BRIDGE OR TUNNEL, he OR SHE obtains or attempts
to obtain such service OR USE or avoids or attempts to avoid payment
therefor by force, intimidation, stealth, deception or mechanical
tampering, or by unjustifiable failure or refusal to pay; or
S 19. Subdivision 10 of section 1209-a of the public authorities law,
as amended by chapter 379 of the laws of 1992, is amended to read as
follows:
10. Funds. [All] EXCEPT FOR PENALTIES, EVADED TOLLS AND OTHER CHARGES
COLLECTED AND PAID TO THE TRIBOROUGH BRIDGE AND TUNNEL AUTHORITY IN
ACCORDANCE WITH THE PROVISIONS OF SECTION TWO THOUSAND NINE HUNDRED
EIGHTY-FIVE OF THIS CHAPTER, ALL penalties collected pursuant to the
provisions of this section shall be paid to the authority to the credit
of a transit crime fund which the authority shall establish. Any sums in
this fund shall be used to pay for programs selected by the board of the
authority, in its discretion, to reduce the incidence of crimes and
infractions on transit facilities, or to improve the enforcement of laws
against such crimes and infractions. Such funds shall be in addition to
and not in substitution for any funds provided by the state or the city
of New York for such purposes.
S 20. Section 1209-a of the public authorities law is amended by
adding a new subdivision 11 to read as follows:
11. NOTICE. ANY NOTICE OR COMMUNICATION REQUIRED TO BE SENT PURSUANT
TO THIS SECTION BY REGISTERED MAIL OR CERTIFIED MAIL MAY INSTEAD BE SENT
BY FIRST CLASS MAIL OR, WITH CONSENT, BY ELECTRONIC MEANS OF COMMUNI-
CATION.
S 21. Section 2 of chapter 774 of the laws of 1950, relating to agree-
ing with the state of New Jersey with respect to rules and regulations
governing traffic on vehicular crossings operated by the port of New
York authority, is amended to read as follows:
S 2. No traffic shall be permitted in or upon vehicular crossings
except upon the payment of such tolls and other charges as may from time
to time be prescribed by the port authority. It is hereby declared to be
unlawful for any person to refuse to pay, or to evade or to attempt to
evade the payment of such tolls or other charges. THE OBLIGATION TO PAY
SUCH TOLLS AND OTHER CHARGES IS INCURRED AT THE TIME OF ENTRY INTO OR
USE OF THE PARTICULAR VEHICULAR CROSSING.
S 22. Section 16-a of chapter 774 of the laws of 1950, relating to
agreeing with the state of New Jersey with respect to rules and regu-
lations governing traffic on vehicular crossings operated by the port of
New York authority, as added by chapter 379 of the laws of 1992, is
amended to read as follows:
S 16-a. Owner liability for failure of operator to comply with toll
collection regulations of the port authority. Notwithstanding any other
provision of law and in accordance with the provisions of [section]
SECTIONS 16-b AND 16-C of this act, an owner of a vehicle may be held
liable for failure of an operator thereof to comply with the toll
collection regulations of the port authority of New York and New Jersey
S. 6357--A 28 A. 8557--A
(hereinafter called port authority). The owner of a vehicle shall be
liable pursuant to this section if such vehicle was used or operated
with the permission of the owner, express or implied, in violation of
the toll collection regulations of the port authority, and such
violation is evidenced by information obtained from a photo-monitoring
system, provided, however, that no owner of a vehicle shall be liable
where the operator of such vehicle has been convicted of a violation of
those toll collection regulations for the same incident.
S 23. Section 16-b of chapter 774 of the laws of 1950, relating to
agreeing with the state of New Jersey with respect to rules and regu-
lations governing traffic on vehicular crossings operated by the port of
New York authority, as added by chapter 379 of the laws of 1992, subdi-
vision f as amended by chapter 666 of the laws of 1993, is amended to
read as follows:
S 16-b. Imposition of liability for failure of operator to comply with
toll collection regulations of the port authority. The liability set
forth in section 16-a of this act, shall be imposed upon an owner for a
violation by an operator of the toll collection regulations of the port
authority occurring within the territorial limits of the state of New
York in accordance with the following:
a. For the purposes of this section AND SECTIONS 16-A AND 16-C OF THIS
ACT, the term "owner" shall mean any person, corporation, partnership,
firm, agency, association, lessor, or organization who, at the time of
the violation [in any city in which a vehicle is operated] OR THE OBLI-
GATION FOR PAYMENT OF THE TOLL CHARGES IS INCURRED: (i) is the benefi-
cial or equitable owner of such vehicle; or (ii) has title to such vehi-
cle; or (iii) is the registrant or co-registrant of such vehicle which
is registered with the department of motor vehicles of this state or any
other state, territory, district, province, nation or other jurisdic-
tion; or (iv) subject to the limitations set forth in subdivision f of
this section, uses such vehicle in its vehicle renting and/or leasing
business; and includes (v) a person entitled to the use and possession
of a vehicle subject to a security interest in another person. For the
purposes of this section, the term "operator" shall mean any person,
corporation, firm, partnership, agency, association, organization or
lessee that uses or operates a vehicle with or without the permission of
the owner, and an owner who operates his or her own vehicle. FOR
PURPOSES OF THIS SECTION AND SECTION 16-A OF THIS ACT, THE TERM "ELEC-
TRONIC TOLL COLLECTION SYSTEM" SHALL MEAN A SYSTEM FOR COLLECTING TOLLS
OR OTHER CHARGES USING ELECTRONIC DATA AND IMAGES. For purposes of this
section, the term "photo-monitoring system" shall mean a vehicle sensor
installed to work in conjunction with a toll collection facility which
automatically produces one or more photographs, one or more microphoto-
graphs, a videotape, or other recorded images of each vehicle at the
time it is used or operated in [violation of the toll collection regu-
lations of the port authority] OR UPON VEHICULAR CROSSINGS OPERATED BY
THE PORT AUTHORITY. For purposes of this section AND SECTIONS 16-A AND
16-C OF THIS ACT, the term "toll collection regulations of the port
authority" shall refer to the traffic regulations for interstate vehicu-
lar crossings operated by the port authority as set forth in this chap-
ter and in chapter 192 of the laws of New Jersey of 1950, and specif-
ically that section of the laws which prohibits traffic in or upon
vehicular crossings operated by the port authority except upon the
payment of such tolls and other charges as may from time to time be
prescribed by the port authority and which further makes it unlawful for
any person to refuse to pay, or to evade or to attempt to evade the
S. 6357--A 29 A. 8557--A
payment of such tolls or other charges. For purposes of this section
AND SECTION 16-A OF THIS ACT, the term "vehicle" shall mean every device
in, upon, or by which a person or property is or may be transported or
drawn upon a highway[, except devices used exclusively upon stationary
rails or tracks].
b. A certificate, sworn to or affirmed by an agent of the port author-
ity, or a facsimile thereof, based upon inspection of [photographs,
microphotographs, videotape or other recorded images] DATA OR IMAGES
produced by [a photo-monitoring system] ITS ELECTRONIC TOLL COLLECTION
SYSTEM OR OTHER RECORDS MAINTAINED BY OR ON BEHALF OF THE PORT AUTHORITY
REGARDING TOLL VIOLATIONS shall be prima facie evidence of the facts
contained therein and shall be admissible in any proceeding charging a
violation of toll collection regulations of the port authority, provided
that any [photographs, microphotographs, videotape or other recorded
images] SUCH DATA, IMAGES, OR RECORDS evidencing such a violation shall
be available for inspection and admission into evidence in any proceed-
ing to adjudicate the liability for such violation.
c. An imposition of liability pursuant to this section shall be based
upon a preponderance of evidence as submitted. An imposition of liabil-
ity pursuant to this section shall not be deemed a conviction of an
operator and shall not be made part of the motor vehicle operating
record, furnished pursuant to section 354 of the vehicle and traffic
law, of the person upon whom such liability is imposed nor shall it be
used for insurance purposes in the provision of motor vehicle insurance
coverage.
d. (i) A notice of liability shall be sent by first class mail OR,
WITH CONSENT, BY ELECTRONIC MEANS OF COMMUNICATION to each person
alleged to be liable [as an owner] for a violation pursuant to this
section of the toll collection regulations of the port authority. Such
notice shall be [mailed] SENT no later than [thirty] ONE HUNDRED TWENTY
days after the alleged violation. Personal delivery [on the owner] shall
not be required. A manual or automatic record of [mailing] SENDING THE
NOTICE prepared in the ordinary course of business shall be prima facie
evidence of the [mailing] SENDING of the notice.
(ii) A notice of liability shall contain the name and address of the
person alleged to be liable [as an owner] for a violation of the toll
collection regulations of the port authority pursuant to this section,
the registration number AND STATE OF REGISTRATION of the vehicle
involved in such violation, the [location where such violation took
place, the date and time] LOCATIONS, DATES AND TIMES OF EACH USE OF THE
VEHICULAR CROSSING THAT FORMS THE BASIS of such violation, THE AMOUNT OF
THE ASSESSED TOLLS AND OTHER CHARGES, and the identification number of
the [photo-monitoring system] ELECTRONIC TOLL COLLECTION SYSTEM which
recorded the [violation] USE or other document locator number.
(iii) The notice of liability shall contain information advising the
person charged of the manner and the time in which he may contest the
liability alleged in the notice. Such notice of liability shall also
contain a warning to advise the persons charged that failure to contest
in the manner and time provided shall be deemed an admission of liabil-
ity and that a default judgment may be entered thereon.
(iv) The notice of liability shall be prepared and [mailed] SENT by
the port authority or its duly authorized agent.
e. If an owner receives a notice of liability pursuant to this section
for any time period during which the vehicle was reported to the police
department as having been stolen, it shall be a valid defense to an
allegation of liability for a violation of the toll collection regu-
S. 6357--A 30 A. 8557--A
lations of the port authority that the vehicle had been reported to the
police as stolen prior to the time the violation occurred and had not
been recovered by such time. If an owner receives a notice of liability
pursuant to this section for any time period during which the vehicle
was stolen, but not as yet reported to the police as having been stolen,
it shall be a valid defense to an allegation of liability for a
violation of toll collection regulations of the port authority pursuant
to this section that the vehicle was reported as stolen within two hours
after discovery of the theft by the owner. For purposes of asserting the
defense provided by this subdivision, it shall be sufficient that a
certified copy of the police report on the stolen vehicle be sent by
first class mail to the court or other entity having jurisdiction.
f. An owner, as defined in subdivision a of this section, who is a
lessor of a vehicle to which a notice of liability was issued pursuant
to subdivision d of this section shall not be liable pursuant to this
section for the violation of the toll collection regulations of the port
authority provided that he or she sends to the port authority [serving
the notice of liability and to the court or other entity having juris-
diction] OR ITS DULY AUTHORIZED AGENT FOR THIS PURPOSE a copy of the
rental, lease or other such contract document covering such vehicle on
the date of the [violation] USE OF THE VEHICULAR CROSSING, with the name
and address of the lessee clearly legible, within thirty days after
receiving from the port authority or its duly authorized agent [the
original] FOR THIS PURPOSE notice of [liability] THE USE OF THE VEHICU-
LAR CROSSING BY SUCH VEHICLE. Failure to send such information within
such thirty day time period shall render the lessor liable for the
penalty prescribed by this section. Where the lessor complies with the
provisions of this subdivision, the lessee of such vehicle on the date
of such [violation] USE OF THE VEHICULAR CROSSING shall be deemed to be
the owner of such vehicle for purposes of this section and shall be
subject to liability for the violation of toll collection regulations of
the port authority [provided that the port authority or its duly author-
ized agent mails a notice of liability to the lessee within ten days
after the court, or other entity having jurisdiction, deems the lessee
to be the owner]. For purposes of this subdivision the term "lessor"
shall mean any person, corporation, firm, partnership, agency, associ-
ation or organization engaged in the business of renting or leasing
vehicles to any lessee under a rental agreement, lease or otherwise
wherein the said lessee has the exclusive use of said vehicle for any
period of time. For the purposes of this subdivision, the term "lessee"
shall mean any person, corporation, firm, partnership, agency, associ-
ation or organization that rents, leases or contracts for the use of one
or more vehicles and has exclusive use thereof for any period of time.
g. Except as provided in subdivision f of this section, if a person
receives a notice of liability pursuant to this section it shall be a
valid defense to an allegation of liability for a violation of toll
collection regulations of the port authority that the individual who
received the notice of liability pursuant to this section was not the
owner of the vehicle at the time the [violation] USE OF THE VEHICULAR
CROSSING occurred. If the owner liable for a violation of the toll
collection regulations of the port authority pursuant to this section
was not the operator of the vehicle at the time of the [violation] USE
OF THE VEHICULAR CROSSING, the owner may maintain an action for indemni-
fication against the operator. The operator of the vehicle may apply to
the court or other entity having jurisdiction to adjudicate the liabil-
ity imposed under this section to accept responsibility for the
S. 6357--A 31 A. 8557--A
violation and satisfactorily discharge all applicable tolls, charges,
FEES, and penalties related to the violation.
h. ["Electronic toll collection system" shall mean a system of
collecting tolls or charges which is capable of charging an account
holder the appropriate toll or charge by transmission of information
from an electronic device on a motor vehicle to the toll lane, which
information is used to charge the account the appropriate toll or
charge.] In adopting procedures for the preparation and [mailing] SEND-
ING of a notice of liability, the port authority or its duly authorized
agent shall adopt guidelines [to ensure] FOR SENDING BY FIRST CLASS MAIL
OR, WITH CONSENT, BY ELECTRONIC MEANS OF COMMUNICATION, adequate and
timely notice to all electronic toll collection system account holders
to inform them when their accounts are delinquent. An owner who is an
account holder under the electronic toll collection system shall not be
found liable for a violation of this section unless such authority has
first sent a notice of delinquency to such account holder and the
account holder was in fact delinquent at the time of the violation.
i. Nothing in this section shall be construed to limit the liability
of an operator of OR THE ACCOUNT HOLDER ASSOCIATED WITH a vehicle for
any violation of the toll collection regulations of the port authority.
Nothing in this section shall authorize or preclude the port authority
from excluding from any of its facilities, in its sole discretion, any
or all vehicles found liable under this section as well as other vehi-
cles owned or operated by the owner or operator of OR ACCOUNT HOLDER
ASSOCIATED WITH such vehicle.
j. Notwithstanding any other provision of law, all photographs, micro-
photographs, videotape or other recorded images prepared pursuant to
this section shall be for the exclusive use of the port authority in the
discharge of its duties under this section and shall not be open to the
public nor be used in any court in any action or proceeding pending
therein unless such action or proceeding relates to the imposition of or
indemnification for liability pursuant to this section. The port author-
ity or its duly authorized agent shall not sell, distribute or make
available in any way, the names and addresses of electronic toll
collection system account holders, or any information compiled from
transactions with such account holders, without such account holders'
consent to any entity that will use such information for any commercial
purpose provided that the foregoing restriction shall not be deemed to
preclude the exchange of such information between any entities with
jurisdiction over and or operating a toll highway bridge and/or tunnel
facility.
S 24. Section 16-c of chapter 774 of the laws of 1950, relating to
agreeing with the state of New Jersey with respect to rules and regu-
lations governing traffic on vehicular crossings operated by the port of
New York authority, as added by chapter 379 of the laws of 1992, is
amended to read as follows:
S 16-c. Adjudication of liability. Adjudication of the liability
imposed upon an owner by section 16-a of this act for a violation of the
toll collection regulations of the port authority occurring within the
territorial limits of the state of New York shall be in accordance with
the vehicle and traffic law of New York as set forth in sections 235,
236, 237, 239, 240, 241, 242, 401, 510 and 1809 of such law, or by such
entity having jurisdiction over violations of the toll collection regu-
lations of the port authority occurring within the territorial limits of
the state of New York, provided that all violations shall be heard and
determined in the county in which [the violation is alleged to have
S. 6357--A 32 A. 8557--A
occurred, or by consent of both parties,] OBLIGATION FOR PAYMENT OF THE
TOLLS OR OTHER CHARGES WAS INCURRED, OR in any county in the state of
New York in which the port authority operates or maintains a facility.
An owner found liable for a violation of toll collection regulations
pursuant to this section shall for a first violation thereof be liable
for THE FULL AMOUNT OF THE ASSESSED TOLL AND OTHER CHARGES AND FEES IN
ADDITION TO a monetary penalty not to exceed [fifty] ONE HUNDRED dollars
or two times the toll evaded whichever is greater; for a second
violation thereof both within eighteen months be liable for THE FULL
AMOUNT OF THE ASSESSED TOLL AND OTHER CHARGES AND FEES IN ADDITION TO a
monetary penalty not to exceed [one] TWO hundred dollars or five times
the toll evaded whichever is greater; for a third or subsequent
violation thereof all within eighteen months be liable for THE FULL
AMOUNT OF THE ASSESSED TOLL AND OTHER CHARGES AND FEES IN ADDITION TO a
monetary penalty not to exceed [one] THREE hundred [fifty] dollars or
ten times the toll evaded whichever is greater. THE FULL AMOUNT OF THE
ASSESSED TOLLS AND OTHER CHARGES AND FEES AND ONE-HALF OF SUCH MONETARY
PENALTIES COLLECTED SHALL BE PAID TO THE PORT AUTHORITY; THE REMAINING
HALF OF SUCH MONETARY PENALTIES COLLECTED SHALL BE RETAINED OR DISTRIB-
UTED BY THE TRIBUNAL OR ENTITY ADJUDICATING THE VIOLATION IN ACCORDANCE
WITH EXISTING LAW.
S 25. This act shall take effect on the one hundred twentieth day
after it shall have become a law, provided that:
(a) the amendments to subparagraph (i) of paragraph a of subdivision
5-a of section 401 of the vehicle and traffic law made by section
fifteen of this act shall not affect the expiration of such paragraph
and shall be deemed to expire therewith, when upon such date the
provisions of section fifteen-a of this act shall take effect;
(b) the amendments to paragraph a of subdivision 5-a of section 401 of
the vehicle and traffic law made by section fifteen-a of this act shall
not affect the expiration of such paragraph and shall be deemed to
expire therewith, when upon such date the provisions of section
fifteen-b of this act shall take effect;
(c) the amendments to paragraph a of subdivision 5-a of section 401 of
the vehicle and traffic law made by section fifteen-b of this act shall
not affect the expiration of such paragraph and shall be deemed to
expire therewith, when upon such date the provisions of section
fifteen-c of this act shall take effect; and
(d) the amendments to paragraph a of subdivision 5-a of section 401 of
the vehicle and traffic law made by section fifteen-c of this act shall
not affect the expiration of such paragraph and shall be deemed to
expire therewith, when upon such date the provisions of section
fifteen-d of this act shall take effect.
PART H
Section 1. Section 9 of chapter 67 of the laws of 1992, amending the
environmental conservation law relating to pesticide product registra-
tion timetables and fees, as amended by section 1 of part S of chapter
60 of the laws of 2011, is amended to read as follows:
S 9. This act shall take effect April 1, 1992 [provided, however, that
section three of this act shall take effect July 1, 1993 and shall
expire and be deemed repealed on July 1, 2014].
S 2. Section 33-0705 of the environmental conservation law, as amended
by section 2 of part S of chapter 60 of the laws of 2011, is amended to
read as follows:
S. 6357--A 33 A. 8557--A
S 33-0705. Fee for registration.
The applicant for registration shall pay a fee as follows:
a. [On or before July 1, 2014, six] SIX hundred dollars for each
pesticide proposed to be registered, provided that the applicant has
submitted to the department proof in the form of a federal income tax
return for the previous year showing gross annual sales, for federal
income tax purposes, of three million five hundred thousand dollars or
less;
b. [On or before July 1, 2014, for] FOR all others, six hundred twenty
dollars for each pesticide proposed to be registered[;
c. After July 1, 2014, fifty dollars for each pesticide proposed to be
registered].
S 3. Paragraph a of subdivision 1 and subdivision 2 of section 33-1201
of the environmental conservation law, as added by chapter 279 of the
laws of 1996, are amended to read as follows:
a. The department shall [develop] MAINTAIN a pesticide sales [and use
computer] data base [in conjunction with Cornell University. The data
base shall be maintained at the department].
2. The commissioner shall prepare an annual [report summarizing]
SUMMARY OF pesticide sales[, quantity of pesticides used, category of
applicator and region of application. The commissioner shall not provide
the name, address, or any other information which would otherwise iden-
tify a commercial or private applicator, or any person who sells or
offers for sale restricted use or general use pesticides to a private
applicator, or any person who received the services of a commercial
applicator. In accordance with article six of the public officers law,
proprietary information contained within such record, including price
charged per product, shall not be disclosed] BY COUNTY. The [report]
ANNUAL SUMMARY shall be [submitted to the governor, the temporary presi-
dent of the senate and the speaker of the assembly, and shall be made
available to all interested parties. The first report shall be submitted
on July first, nineteen hundred ninety-eight and] PUBLISHED ON THE
DEPARTMENT'S PUBLIC WEBSITE on OR BEFORE July first [annually thereaft-
er].
S 4. Subdivision 1 of section 33-1203 of the environmental conserva-
tion law, as added by chapter 279 if the laws of 1996, is amended to
read as follows:
1. [a.] The commissioner shall, upon written request of an interested
party, in printed OR ELECTRONIC form [or on a diskette in computerized
data base format], provide the information on pesticides submitted to
the department pursuant to sections 33-1205 and 33-1207 of this title.
Such information shall be provided by county or counties[, or five-digit
zip code or codes as selected by the interested party making the written
request. The commissioner shall not provide the name, address, or any
other information which would otherwise identify a commercial or private
applicator, or any person who sells or offers for sale restricted use or
general use pesticides to a private applicator, or any person who
received the services of a commercial applicator. In accordance with
article six of the public officers law, proprietary information
contained within such record, including price charged per product, shall
not be disclosed. The provisions of this paragraph shall not apply to
the provision of pesticide data to the commissioner of health, the
health research science board and researchers pursuant to title one-B of
article twenty-four of the public health law.
b. The department shall, upon request from the department of health,
compile pesticide application information by nine-digit zip code and
S. 6357--A 34 A. 8557--A
provide the information to the commissioner of health for researchers
entitled to receive information pursuant to paragraph (d) of subdivision
one of section twenty-four hundred eleven of the public health law
provided, however, if the nine-digit zip code cannot be determined, the
information shall be compiled by town or city].
S 5. Section 33-1205 of the environmental conservation law, as added
by chapter 279 of the laws of 1996 and the closing paragraph of para-
graph a of subdivision 2 as amended by chapter 260 of the laws of 1997,
is amended to read as follows:
S 33-1205. Recordkeeping and reporting.
1. All commercial applicators shall maintain pesticide use records for
each pesticide application containing the following:
a. EPA registration number;
b. product name;
c. quantity of each pesticide used;
d. date applied;
e. location of application by address (including five-digit zip code).
Such records shall be maintained for a period of not less than three
years. [All commercial applicators shall file, at least annually, a
report or reports containing such information with the department on
computer diskette or in printed form on or before February first for the
prior calendar year.] All commercial applicators shall also maintain
corresponding records of the dosage rates, methods AND PLACE of applica-
tion and target organisms for each pesticide application. These records
shall be CREATED IMMEDIATELY AFTER APPLICATION, maintained on an annual
basis and retained for a period of not less than [three] FIVE years and
shall be available for inspection upon request by the department.
2. a. Every person who sells or offers for sale restricted use pesti-
cides to private applicators shall issue a record to the private appli-
cator of each sale of a restricted use pesticide or a general use pesti-
cide used in agricultural crop production to such applicator. Such
record of each sale shall include the following:
1. EPA registration number;
2. product name of the pesticide purchased;
3. quantity of the pesticide purchased;
4. date purchased;
5. location of intended application by address (including five-digit
zip code) or if address is unavailable by town or city (including five-
digit zip code) if the location of intended application differs from the
billing address that appears on the record.
[Every person who sells or offers for sale restricted use pesticides
to private applicators shall file, at least annually, a report or
reports containing such information with the department on computer
diskette or in printed form on or before February first for the prior
calendar year. The department shall not use the reports filed pursuant
to this paragraph for enforcement purposes.]
b. All private applicators shall maintain, at a minimum, records of
the restricted pesticides purchased, crop treated by such, method of
application, and date of application or applications. This information
shall be RECORDED IMMEDIATELY AFTER APPLICATION, maintained on an annual
basis and retained for a minimum of three years, and shall be available
for inspection upon request by the department.
[c. A private applicator shall, upon request, within six months,
provide site-specific information relating to pesticide applications to
any researcher entitled to receive information pursuant to paragraph (d)
of subdivision one of section twenty-four hundred eleven of the public
S. 6357--A 35 A. 8557--A
health law, provided, however, such request shall not be granted during
planting and harvesting unless at a time and in a manner that is mutual-
ly convenient.]
3. A. EVERY PERSON WHO SELLS OR OFFERS FOR SALE PESTICIDES SHALL MAIN-
TAIN RECORDS OF ALL RETAIL SALES OF SUCH PESTICIDES BY COUNTY. SUCH
RECORDS SHALL INCLUDE THE FOLLOWING:
1. EPA REGISTRATION NUMBER;
2. PRODUCT NAME OF THE PESTICIDE SOLD;
3. TOTAL QUANTITY OF THE PESTICIDE SOLD DURING THE CALENDAR YEAR IN
EACH COUNTY IN THE STATE.
EVERY PERSON WHO SELLS OR OFFERS FOR SALE PESTICIDES SHALL FILE, AT
LEAST ANNUALLY, A REPORT OR REPORTS CONTAINING SUCH INFORMATION WITH THE
DEPARTMENT IN ELECTRONIC OR PRINTED FORM ON OR BEFORE FEBRUARY FIRST FOR
THE PRIOR CALENDAR YEAR.
B. THE REQUIREMENTS OF THIS SUBDIVISION ARE NOT APPLICABLE TO: MINIMUM
RISK PESTICIDES; GENERAL USE ANTIMICROBIAL PESTICIDES, EXCEPT THOSE THAT
ARE SUBJECT TO THE PESTICIDE APPLICATOR CERTIFICATION REQUIREMENTS IN
REGULATIONS PROMULGATED BY THE DEPARTMENT; GENERAL USE PESTICIDE
PRODUCTS APPLIED TO THE CLOTHING OR SKIN; OR GENERAL USE AEROSOL
PRODUCTS WITH A DIRECTED SPRAY IN CONTAINERS OF EIGHTEEN FLUID OUNCES OR
LESS, BUT NOT INCLUDING ANY FOGGER PRODUCT OR AEROSOL PRODUCT THAT
DISCHARGES TO A WIDE AREA.
S 6. Section 33-1207 of the environmental conservation law, as added
by chapter 279 of the laws of 1996, is amended to read as follows:
S 33-1207. Recordkeeping and reporting by importers and manufacturers.
1. Each person manufacturing or compounding a registered [restricted
use] pesticide in this state, or importing or causing a registered
[restricted use] pesticide to be imported into this state for use,
distribution, or storage, shall maintain records of all sales within the
state during the preceding year of each [restricted use] pesticide prod-
uct which he or she has imported, manufactured or compounded. The record
of each [restricted use] pesticide product shall include:
a. EPA registration number;
b. container size; and
c. number of containers sold to New York purchasers.
2. Such records shall be maintained for a period of not less than
three years. All manufacturers and importers shall file an annual
report containing such information with the department [on computer
diskette] IN ELECTRONIC or [in] printed form on or before February first
for the prior calendar year.
3. THE REQUIREMENTS OF THIS SECTION ARE NOT APPLICABLE TO: MINIMUM
RISK PESTICIDES; GENERAL USE ANTIMICROBIAL PESTICIDES, EXCEPT THOSE THAT
ARE SUBJECT TO THE PESTICIDE APPLICATOR CERTIFICATION REQUIREMENTS IN
REGULATIONS PROMULGATED BY THE DEPARTMENT; GENERAL USE PESTICIDE
PRODUCTS APPLIED TO THE CLOTHING OR SKIN; OR GENERAL USE AEROSOL
PRODUCTS WITH A DIRECTED SPRAY IN CONTAINERS OF EIGHTEEN FLUID OUNCES OR
LESS, BUT NOT INCLUDING ANY FOGGER PRODUCT OR AEROSOL PRODUCT THAT
DISCHARGES TO A WIDE AREA.
S 7. This act shall take effect immediately and shall be deemed to
have been in full force and effect on and after April 1, 2014.
PART I
Section 1. Subdivision 25 of section 11-0103 of the environmental
conservation law, as amended by chapter 595 of the laws of 1984, is
amended to read as follows:
S. 6357--A 36 A. 8557--A
25. "Hunting [accident"] RELATED INCIDENT" means the injury to or
death of a person caused by the discharge of a firearm, CROSSBOW or
longbow while the person causing such injury or death, or the person
injured or killed, is taking or attempting to take game, wildlife or
fish.
S 2. Paragraphs 1 and 2 of subdivision 3 and subdivision 5 of section
11-0701 of the environmental conservation law, as amended by section 1-a
of part R of chapter 58 of the laws of 2013, are amended to read as
follows:
(1) who is between the ages of twelve and sixteen years to hunt wild
deer and bear with a longbow OR CROSSBOW during the special archery
season and during the regular season, as provided in title 9 of this
article, subject to the provisions of section 11-0929 and subdivision 3
of section 11-0713 of this article;
(2) who is eighteen years of age or older to hunt wild deer and bear
with a longbow OR CROSSBOW, as provided in title 9 of this article, in a
special [longbow] ARCHERY season; and
5. A non-resident bear tag entitles a person who has not been a resi-
dent of the state for more than thirty days who also possesses a hunting
license to hunt bear during the regular open season therefor or in an
open season fixed by regulation pursuant to subdivision eight of section
11-0903 of this article. It entitles a non-resident holder who also
possesses a hunting license with bowhunting privilege to hunt bear with
a longbow OR CROSSBOW during the open bear season. It entitles a non-re-
sident holder who also possesses a hunting license with muzzle-loading
privilege to hunt bear with a muzzleloader during the open bear season.
S 3. Paragraph b of subdivision 6 of section 11-0703 of the environ-
mental conservation law, as amended by section 2 of part R of chapter 58
of the laws of 2013, is amended to read as follows:
b. Except as provided in section 11-0707 and section 11-0709 of this
title, no person shall (1) hunt wild deer or bear unless such person
holds and is entitled to exercise the privileges of a hunting license,
and meets the requirements of this article; (2) hunt wild deer or bear
with a longbow OR CROSSBOW in a special [longbow] ARCHERY season unless
such person holds and is entitled to exercise the privileges of a hunt-
ing license with a bowhunting privilege and meets the requirements of
this article; or (3) hunt wild deer or bear with a muzzle-loading
firearm in a special muzzle-loading firearm season unless such person is
at least fourteen years old and holds a hunting license with a muzzle-
loading privilege and meets the requirements of this article.
S 4. Subparagraph 4 of paragraph b of subdivision 1 of section 11-0719
of the environmental conservation law, as amended by chapter 436 of the
laws of 2000, is amended to read as follows:
(4) is convicted of an offense involving a violation of subdivisions
one and two of section 11-0901 of this article relating to taking of
wildlife when the person taking is in or on a motor vehicle while such
motor vehicle is on a public highway or an offense involving a violation
of subdivision one of section 11-0901 of this article and subparagraph
one of paragraph a of subdivision four of section 11-0931 of this arti-
cle relating to taking wildlife when the person taking is in or on a
motor vehicle and discharging a firearm, CROSSBOW or longbow in such a
way that the load, BOLT or arrow passes over a public highway or a part
thereof or signs an acknowledgment of any such violation for the purpose
of affecting a settlement by civil compromise or by stipulation.
S 5. Subdivisions 2 and 3 of section 11-0719 of the environmental
conservation law, subdivision 2 as amended by section 27 and subdivision
S. 6357--A 37 A. 8557--A
3 as amended by section 28 of part R of chapter 58 of the laws of 2013,
are amended to read as follows:
2. a. The department may revoke the licenses, tags, bowhunting privi-
leges, or muzzle-loading privileges, which authorize the holder to hunt
and/or trap wildlife, and may deny the privilege of obtaining such
licenses, tags, bowhunting privileges, or muzzle-loading privileges, and
may deny the privileges of hunting and/or trapping with or without a
license.
(1) of any person who, while engaged in hunting, FISHING or trapping,
(i) causes death or injury to [another] ANY PERSON by discharging a
firearm, CROSSBOW or longbow, or
(ii) so negligently discharges a firearm, CROSSBOW or longbow as to
endanger the life or safety of another, or
(iii) so negligently and wantonly discharges a firearm, CROSSBOW or
longbow as to destroy or damage public or private property; or
(2) of any agent of the department authorized to issue certificates of
qualification in responsible hunting, bowhunting, or trapping practices
who improperly issues any such certification to a person whom he OR SHE
has not trained, or whom he OR SHE knows has not satisfactorily
completed all of the requirements necessary for such certification.
b. Action by the department resulting in the revocation of such
license or denial of the privilege to hunt and trap as provided in this
subdivision shall be only after a hearing held by the department upon
notice to the offender, at which proof of facts indicating the violation
is established to the satisfaction of the commissioner or of the hearing
officer designated by him OR HER and concurred in by the commissioner.
Provided that where a person, while hunting, causes death or injury to
any person by discharge of a firearm, CROSSBOW or longbow, the commis-
sioner may, in his OR HER discretion, suspend such person's license or
licenses to hunt and suspend such person's right to hunt without a
license for a period of up to sixty days pending a hearing as provided
for in this subdivision.
c. In case such discharge of a firearm, CROSSBOW or longbow causes
death or injury to [another] ANY PERSON, the license or licenses,
bowhunting privilege, and muzzle-loading privilege shall be revoked and
the ability to obtain any such license and of hunting or of trapping
anywhere in the state with or without a license denied, for a period not
exceeding ten years, except that no revocation shall be made in cases in
which facts established at the hearing indicate to the satisfaction of
the commissioner that there was no negligence on the part of the shooter
or [bowman] BOWHUNTER. In all other cases the license or licenses,
bowhunting privilege, or muzzle-loading privilege, shall be revoked and
the privilege of obtaining such license, bowhunting privilege, or
muzzle-loading privilege, and of hunting or of trapping anywhere in the
state with or without a license denied for a period not exceeding five
years. The department may also require that the person causing such
death [or], injury, ENDANGERMENT OR PROPERTY DAMAGE successfully
complete a department-sponsored course and obtain a certificate of qual-
ification in responsible hunting or bowhunting practices before being
issued another hunting license.
d. Every person injuring himself, herself or another person in a hunt-
ing [accident, as such term is defined in subdivision 25 of section
11-0103 of this article] RELATED INCIDENT, and the investigating law
enforcement officer summoned to or arriving at the scene of such [acci-
dent] INCIDENT shall within ten days from the occurrence of such [acci-
dent] INCIDENT file a report of the [accident] INCIDENT in writing with
S. 6357--A 38 A. 8557--A
the department. Every such person or law enforcement officer shall make
such other and additional reports as the department shall require.
Failure to report such [accident] INCIDENT as herein provided by the
person causing injury or to furnish relevant information required by the
department shall be a violation and shall constitute grounds for suspen-
sion or revocation of such person's hunting licenses and bowhunting and
muzzle-loading privileges and denial of the ability to obtain any such
license and of hunting with or without a license following a hearing or
opportunity to be heard. In addition, the department may temporarily
suspend the license of the person failing to report a hunting [accident]
RELATED INCIDENT within the period prescribed herein until such report
has been filed. In the case of a non-resident, the failure to report an
[accident] INCIDENT as herein provided shall constitute grounds for
suspension or revocation of his or her privileges of hunting within this
state. The report required by this section shall be made in such form
and number as the department may prescribe.
3. A hunting license issued to a person who is at least twelve and
less than sixteen years of age or a hunting license with bowhunting
privilege issued to a person who is between the ages of twelve and
sixteen years may be revoked by the department upon proof satisfactory
to the department that such person, while under the age of sixteen, has
engaged in hunting wildlife with a gun, CROSSBOW or longbow, in circum-
stances in which a license and/or bowhunting or muzzle-loading privilege
is required, while not accompanied by his or her parent, guardian or
other adult as provided in section 11-0929 of this article. ADDI-
TIONALLY, THE DEPARTMENT MAY REVOKE THE HUNTING AND/OR BOWHUNTING OR
MUZZLE-LOADING PRIVILEGE OF ANY PARENT, GUARDIAN, YOUTH MENTOR OR OTHER
ADULT UPON PROOF SATISFACTORY TO THE DEPARTMENT THAT SUCH PERSON ALLOWED
THE HOLDER OF A HUNTING LICENSE, BOWHUNTING PRIVILEGE OR MUZZLE-LOADING
PRIVILEGE TO HUNT WILDLIFE WITH A GUN, CROSSBOW OR LONGBOW IN VIOLATION
OF SECTION 11-0929 OF THIS ARTICLE. If such license or privilege is
revoked the department shall fix the period of such revocation, which is
not to exceed six years. The department may require that such person
successfully complete a department sponsored course and obtain a certif-
icate of qualification in responsible hunting or responsible bowhunting
practices before being issued another hunting or bowhunting license.
S 6. Paragraphs b and g of subdivision 3, subparagraphs 5, 6 and 8 of
paragraph b, subparagraphs 5, 6 and 8 of paragraph c, and subparagraph 1
of paragraph d of subdivision 4 of section 11-0901 of the environmental
conservation law, paragraph b of subdivision 3 as amended by chapter 911
of the laws of 1990, paragraph g of subdivision 3 as amended by chapter
34 of the laws of 1979, subparagraph 5 of paragraph b and subparagraph 5
of paragraph c of subdivision 4 as amended by chapter 430 of the laws of
2000 and subparagraphs 6 and 8 of paragraph b, subparagraphs 6 and 8 of
paragraph c and subparagraph 1 of paragraph d of subdivision 4 as
amended by chapter 600 of the laws of 1993, are amended to read as
follows:
b. Wild deer and bear shall not be taken except by gun, CROSSBOW or by
long bow. Where an open season, set forth in the table of open seasons
in section 11-0907 OF THIS TITLE or otherwise established by law or
fixed by regulation, is specified as an open season for taking such game
by shotgun or long bow only, or is specified as an open season for
taking such game by long bow only, they shall not be taken except as so
specified.
g. Wildlife shall not be taken [by the use of a cross-bow, by a long
bow drawn, pulled, released, or held in a drawn position by any mechan-
S. 6357--A 39 A. 8557--A
ical device attached to a portion of the bow other than the bowstring,
or] by the use of a device commonly called a spear gun.
(5) with a [bow other than a] long bow with a draw weight [in excess]
of LESS THAN thirty-five pounds; or
(6) with an arrow OR BOLT with an arrowhead that measures less than
seven-eighths of an inch at its widest point or that has fewer than two
sharp cutting edges; or
(8) with an arrow OR BOLT with a barbed broadhead arrowhead.
(5) with a [bow other than a] long bow with a draw weight [in excess]
of LESS THAN thirty-five pounds; or
(6) with an arrow OR BOLT with an arrowhead that measures less than
seven-eighths of an inch at its widest point or that has fewer than two
sharp cutting edges; or
(8) with an arrow OR BOLT with a barbed broadhead arrowhead.
(1) such long bow OR CROSSBOW is unstrung, or such a firearm is taken
down, or securely fastened in a case, or locked in the trunk of a vehi-
cle, or
S 7. Subdivisions 11 and 16 of section 11-0901 of the environmental
conservation law are REPEALED.
S 8. Section 11-0903 of the environmental conservation law is amended
by adding a new subdivision 12 to read as follows:
12. NOTWITHSTANDING ANY INCONSISTENT PROVISION OF THIS ARTICLE, THE
DEPARTMENT IS AUTHORIZED TO ADOPT REGULATIONS WHICH AUTHORIZE THE TAKING
OF WILDLIFE BY THE USE OF A CROSSBOW. A SUMMARY OF REGULATIONS ADOPTED
PURSUANT TO THIS SUBDIVISION SHALL BE PUBLISHED EACH YEAR IN THE HUNTING
SYLLABUS ISSUED PURSUANT TO SECTION 11-0323 OF THIS ARTICLE.
S 9. Subdivisions 2 and 4 of section 11-0931 of the environmental
conservation law, subdivision 2 as amended by section 7 of part H of
chapter 58 of the laws of 2012, subparagraph 3 of paragraph a of subdi-
vision 4 as added by chapter 400 of the laws of 1973 and subparagraph 4
of paragraph a of subdivision 4 as added by chapter 67 of the laws of
1976, are amended to read as follows:
2. No CROSSBOW OR firearm except a pistol or revolver shall be carried
or possessed in or on a motor vehicle unless it is UNCOCKED, FOR A
CROSSBOW OR unloaded, FOR A FIREARM in both the chamber and the maga-
zine, except that a loaded firearm which may be legally used for taking
migratory game birds may be carried or possessed in a motorboat while
being legally used in hunting migratory game birds, and no person except
a law enforcement officer in the performance of his official duties
shall, while in or on a motor vehicle, use a jacklight, spotlight or
other artificial light upon lands inhabited by deer if he is in
possession or is accompanied by a person who is in possession, at the
time of such use, of a longbow, crossbow or a firearm of any kind except
a pistol or revolver, unless such longbow OR CROSSBOW is unstrung or
such firearm OR CROSSBOW is taken down or securely fastened in a case or
locked in the trunk of the vehicle. For purposes of this subdivision,
motor vehicle shall mean every vehicle or other device operated by any
power other than muscle power, and which shall include but not be limit-
ed to automobiles, trucks, motorcycles, tractors, trailers and motor-
boats, snowmobiles and snowtravelers, whether operated on or off public
highways. Notwithstanding the provisions of this subdivision, the
department may issue a permit to any person who is non-ambulatory,
except with the use of a mechanized aid, to possess a loaded firearm in
or on a motor vehicle as defined in this section, subject to such
restrictions as the department may deem necessary in the interest of
S. 6357--A 40 A. 8557--A
public safety. Nothing in this section permits the possession of a
pistol or a revolver contrary to the penal law.
4. a. No person shall:
(1) discharge a firearm, CROSSBOW or long bow in such a way as will
result in the load, BOLT or arrow thereof passing over a public highway
or any part thereof;
(2) discharge a firearm [or long bow] within five hundred feet OR A
CROSSBOW OR LONG BOW WITHIN ONE HUNDRED FIFTY FEET from a dwelling
house, farm building or farm structure actually occupied or used, school
building, school playground, or occupied PUBLIC STRUCTURE, factory or
church;
(3) use a firearm, CROSSBOW or a long bow for the hunting of migratory
game birds in Larchmont Harbor, specifically those portions bounded by
the following points of land:
BEGINNING AT A POINT KNOWN AS UMBRELLA POINT ON THE EAST SHORE OF
LARCHMONT HARBOR THEN PROCEEDING IN A NORTHERLY DIRECTION TO CEDAR
ISLAND; THENCE NORTHWESTERLY TO MONROE INLET; THENCE NORTHEASTERLY TO
DELANCY COVE BEING IN THE TOWN OF MAMARONECK; THENCE IN A SOUTHWESTERLY
DIRECTION FROM DELANCY COVE TO GREACEN POINT; THENCE RUNNING THE AREA
BETWEEN DELANCY COVE AND THE WEST SHORE OF SATANS TOE NORTHEAST; THENCE
SOUTHEAST THEN ALONG THE WEST SHORE OF SATANS TOE SOUTHWEST AND THEN
SOUTH TO THE SOUTHERLY POINT OF SATANS TOE TO EDGEWATER POINT.
(4) Use of a firearm, CROSSBOW or a long bow for the hunting of migra-
tory game birds in Udall's Cove, specifically those portions of Little
Neck Bay within Nassau and Queens counties lying east of a line running
north from the foot of Douglaston Parkway to the shore opposite.
b. The prohibitions contained in subparagraph 2 of paragraph a above
shall not apply to:
(1) The owner or lessee of the dwelling house, or members of his imme-
diate family actually residing therein, or a person in his employ, or
the guest of the owner or lessee of the dwelling house acting with the
consent of said owner or lessee, provided however, that nothing herein
shall be deemed to authorize such persons to discharge a firearm [or
longbow] within five hundred feet OR A CROSSBOW OR LONG BOW WITHIN ONE
HUNDRED FIFTY FEET of any other dwelling house, or a farm building or
farm structure actually occupied or used, or a school building or play-
ground or occupied PUBLIC STRUCTURE, factory or church;
(2) Programs conducted by THE DEPARTMENT, public OR PRIVATE ELEMENTARY
OR SECONDARY schools offering instruction and training in the use of
firearms, CROSSBOW or long bow;
(3) The authorized use of a pistol, rifle or target range regularly
operated and maintained by a police department or other law enforcement
agency or by any duly organized membership corporation;
(4) The discharge of a shotgun over water by a person hunting migrato-
ry game birds if no dwelling house, FARM BUILDING OR FARM STRUCTURE
ACTUALLY OCCUPIED OR USED, SCHOOL BUILDING, SCHOOL PLAYGROUND, or OCCU-
PIED public structure, FACTORY OR CHURCH, livestock or person is situ-
ated in the line of discharge less than five hundred feet from the point
of discharge.
S 10. Paragraph c of subdivision 5 of section 11-0931 of the environ-
mental conservation law, as amended by chapter 309 of the laws of 2006,
is amended to read as follows:
c. In the Northern Zone no person, while engaged in hunting with the
aid of a dog or while afield accompanied by a dog, shall possess a rifle
larger than .22 caliber using rim-fire ammunition or possess a shotgun
loaded with a slug, ball or buckshot, OR POSSESS A CROSSBOW; but this
S. 6357--A 41 A. 8557--A
paragraph does not apply to persons, engaged in coyote hunts with dogs
during any open season on coyotes established pursuant to the provisions
of section 11-0903 OF THIS TITLE.
S 11. Paragraph 4 of subdivision a of section 265.20 of the penal law,
as amended by chapter 1041 of the laws of 1974, is amended to read as
follows:
4. Possession of a rifle, shotgun, CROSSBOW or longbow for use while
hunting, trapping or fishing, by a person, not a citizen of the United
States, carrying a valid license issued pursuant to section 11-0713 of
the environmental conservation law.
S 12. Paragraph a of subdivision 1 of section 9-103 of the general
obligations law, as separately amended by chapters 141 and 286 of the
laws of 1984, is amended to read as follows:
a. an owner, lessee or occupant of premises, whether or not posted as
provided in section 11-2111 of the environmental conservation law, owes
no duty: (1) to keep the premises safe for entry, PASSAGE OVER PREMISES
or use by others for hunting, fishing, organized gleaning as defined in
section seventy-one-y of the agriculture and markets law, canoeing,
boating, SWIMMING, trapping, hiking, cross-country skiing, tobogganing,
sledding, speleological activities, horseback riding, bicycle riding,
hang gliding, motorized vehicle operation for recreational purposes,
snowmobile operation, cutting or gathering of wood for non-commercial
purposes [or], training of dogs, AND ANY OTHER RECREATIONAL USE; or (2)
to give warning of any hazardous condition or use of or structure or
activity on such premises to persons entering for such purposes;
S 13. Subdivision 3 of section 9-103 of the general obligations law is
renumbered subdivision 4 and a new subdivision 3 is added to read as
follows:
3. FOR THE PURPOSES OF THIS SECTION THE TERM "OCCUPANT" SHALL INCLUDE,
BUT NOT BE LIMITED TO, THOSE ORGANIZATIONS, ENTITIES, OR PERSONS WHO
INDIVIDUALLY OR COLLECTIVELY DEVELOP AND/OR MAINTAIN TRAILS AND OTHER
RECREATIONAL FACILITIES FOR NON-COMMERCIAL USE BY THE PUBLIC.
S 14. Section 11-0323 of the environmental conservation law is amended
by adding a new subdivision 3 to read as follows:
3. NOTWITHSTANDING SUBDIVISION TWO OF SECTION THREE OF THE NEW YORK
STATE PRINTING AND PUBLIC DOCUMENTS LAW, THE DEPARTMENT MAY ENTER INTO
CONTRACTS WITH ANY RESPONSIVE AND RESPONSIBLE BIDDER TO PROVIDE THE
PRINTING SERVICES REQUIRED WITH OR WITHOUT THE USE OF A SUBCONTRACTOR
FOR THE PRODUCTION OF THE HUNTING AND FISHING PAMPHLETS AND SYLLABUS SET
FORTH IN SUBDIVISIONS ONE AND TWO OF THIS SECTION OR ANY OTHER PUBLICA-
TIONS THAT MAY BE ISSUED IN SUPPORT OF THE FISH AND WILDLIFE LAW.
S 15. Section 404-s of the vehicle and traffic law, as added by chap-
ter 304 of the laws of 2001, is amended by adding three new subdivisions
3, 4 and 5 to read as follows:
3. A DISTINCTIVE PLATE ISSUED PURSUANT TO THIS SECTION TO A PERSON WHO
PURCHASES A LIFETIME LICENSE PURSUANT TO SECTION 11-0702 OF THE ENVIRON-
MENTAL CONSERVATION LAW OR A LIFETIME VEHICLE ACCESS PASS, ALSO KNOWN AS
A LIFETIME EMPIRE PASSPORT, PURSUANT TO ARTICLE THIRTEEN OF THE PARKS,
RECREATION AND HISTORIC PRESERVATION LAW BETWEEN JANUARY FIRST, TWO
THOUSAND FOURTEEN AND DECEMBER THIRTY-FIRST, TWO THOUSAND FOURTEEN SHALL
BE ISSUED IN THE SAME MANNER AS OTHER NUMBER PLATES, HOWEVER, SUCH LIFE-
TIME LICENSE HOLDER SHALL BE EXEMPT FROM THE PAYMENT OF FEES OTHERWISE
REQUIRED TO BE PAID PURSUANT TO PARAGRAPHS A AND B OF SUBDIVISION THREE
OF SECTION FOUR HUNDRED ONE OF THIS ARTICLE AND THE ANNUAL SERVICE
CHARGE REQUIRED BY SUBDIVISION TWO OF THIS SECTION FOR THE INITIAL ISSU-
S. 6357--A 42 A. 8557--A
ANCE OF SUCH LICENSE PLATE AND FOR THE NEXT ENSUING REGISTRATION
RENEWAL.
4. A PERSON WHO POSSESSES A LIFETIME LICENSE PURSUANT TO SECTION
11-0702 OF THE ENVIRONMENTAL CONSERVATION LAW OR A LIFETIME VEHICLE
ACCESS PASS, ALSO KNOWN AS A LIFETIME EMPIRE PASSPORT, OR A THREE OR
FIVE YEAR VEHICLE ACCESS PASS PURSUANT TO ARTICLE THIRTEEN OF THE PARKS,
RECREATION AND HISTORIC PRESERVATION LAW SHALL, ON REQUEST BETWEEN APRIL
FIRST, TWO THOUSAND FOURTEEN AND MARCH THIRTY-FIRST, TWO THOUSAND
FIFTEEN, BE ISSUED A DISTINCTIVE PLATE PURSUANT TO THIS SECTION IN THE
SAME MANNER AS OTHER NUMBER PLATES UPON PAYMENT OF A TWENTY-FIVE DOLLAR
REGISTRATION FEE PRESCRIBED BY SECTION FOUR HUNDRED ONE OF THIS CHAPTER
FOR THE INITIAL LICENSE PLATE AND SHALL BE EXEMPT FROM THE PAYMENT OF
FEES OTHERWISE REQUIRED TO BE PAID PURSUANT TO PARAGRAPH B OF SUBDIVI-
SION THREE OF SECTION FOUR HUNDRED ONE OF THIS ARTICLE AND THE ANNUAL
SERVICE CHARGE REQUIRED BY SUBDIVISION TWO OF THIS SECTION FOR THE
INITIAL ISSUANCE OF SUCH LICENSE PLATE AND FOR THE NEXT ENSUING REGIS-
TRATION RENEWAL.
5. ANY NEW YORK RESIDENT WHO POSSESSES A HUNTING, FISHING OR TRAPPING
LICENSE ISSUED PURSUANT TO TITLE SEVEN OF ARTICLE ELEVEN OF THE ENVIRON-
MENTAL CONSERVATION LAW OR AN ANNUAL VEHICLE ACCESS PASS, ALSO KNOWN AS
AN EMPIRE PASSPORT, PURSUANT TO ARTICLE THIRTEEN OF THE PARKS, RECRE-
ATION AND HISTORIC PRESERVATION LAW MAY PURCHASE THE LICENSE PLATE
AVAILABLE TO A PERSON WHO PURCHASES A LIFETIME LICENSE OR PASSPORT UPON
PAYMENT OF THE REGULAR REGISTRATION FEE PRESCRIBED BY SECTION FOUR
HUNDRED ONE OF THIS CHAPTER.
S 16. Section 11-0715 of the environmental conservation law is amended
by adding a new subdivision 7 to read as follows:
7. NOTWITHSTANDING THE PROVISIONS OF SUBDIVISION THREE OF THIS
SECTION, THE COMMISSIONER MAY OFFER FOR SALE LICENSES, PRIVILEGES AND
PERMITS LISTED IN THIS SECTION AT A REDUCED PRICE UP TO TEN DAYS PER
YEAR TO ENCOURAGE RESIDENT AND OUT-OF-STATE HUNTERS, TRAPPERS AND
ANGLERS TO UTILIZE NEW YORK'S HUNTING, TRAPPING AND FISHING OPPORTU-
NITIES. THESE DAYS SHALL BE DESIGNATED IN A MANNER DETERMINED BY THE
DEPARTMENT TO BEST PROVIDE PUBLIC NOTICE THEREOF AND TO MAXIMIZE PUBLIC
PARTICIPATION THEREIN.
S 17. Subdivision 14 of section 11-0305 of the environmental conserva-
tion law, as amended by chapter 292 of the laws of 1996 and as renum-
bered by section 2 of part F of chapter 82 of the laws of 2002, is
amended to read as follows:
14. Notwithstanding any inconsistent provision of law, the commission-
er may designate no more than [two] EIGHT days in each year that shall
be effective in every administrative region of the department, as free
sport fishing days during which any person may, without having a sport
fishing license and without the payment of any fee, exercise the privi-
leges of a holder of a sport fishing license, subject to all of the
limitations, restrictions, conditions, laws, rules and regulations
applicable to the holder of a sport fishing license. Free sport fishing
days shall be designated in a manner determined by the department to
best provide public notice thereof and to maximize public participation
therein, so as to promote the recreational opportunities afforded by
sport fishing.
S 18. Subdivision 5 of section 11-0703 of the environmental conserva-
tion law is amended by adding a new paragraph e to read as follows:
E. ANY THREE OR FIVE-YEAR LICENSE ISSUED PURSUANT TO PARAGRAPH A OR B
OF SUBDIVISION THREE OF SECTION 11-0715 SHALL BE EFFECTIVE FOR THE
NUMBER OF LICENSE YEARS INDICATED THEREON BEGINNING ON SEPTEMBER FIRST
S. 6357--A 43 A. 8557--A
AND ENDING AUGUST THIRTY-FIRST; PROVIDED, HOWEVER, THAT A FISHING
LICENSE SHALL REMAIN EFFECTIVE FOR EITHER THREE OR FIVE YEARS FROM THE
DATE ON WHICH IT WAS ISSUED.
S 19. Paragraphs a and b of subdivision 3 of section 11-0715 of the
environmental conservation law, as amended by chapter 276 of the laws of
2013, are amended to read as follows:
a. In the case of persons who meet the criteria set forth in paragraph
c of subdivision four of section 11-0703 of this title:
License Fee
(1) (a) Hunting $22.00
(A-1) THREE-YEAR HUNTING $60.00
(A-2) FIVE-YEAR HUNTING $100.00
(b) Hunting ages fifteen
and under $5.00
(2) (A) Fishing $25.00
(B) THREE-YEAR FISHING $70.00
(C) FIVE-YEAR FISHING $115.00
(3)(a) Trapping $20.00
(A-1) THREE-YEAR TRAPPING $55.00
(A-2) FIVE-YEAR TRAPPING $90.00
(b) Trapping ages fifteen and under $5.00
(4) (A) Muzzle-loading privilege $15.00
(B) THREE-YEAR MUZZLE-LOADING $40.00
(C) FIVE-YEAR MUZZLE-LOADING $65.00
(5)(a) Bowhunting privilege $15.00
(A-1) THREE-YEAR BOWHUNTING PRIVILEGE $40.00
(A-2) FIVE-YEAR BOWHUNTING PRIVILEGE $65.00
(b) Bowhunting privilege
ages fifteen and under $4.00
(6) (A) Turkey permit $10.00
(B) THREE-YEAR TURKEY PERMIT $25.00
(C) FIVE-YEAR TURKEY PERMIT $40.00
(7) Seven-day fishing [$13.00] $12.00
(8) One-day fishing $ 5.00
A THREE OR FIVE-YEAR BOWHUNTING OR MUZZLE-LOADING PRIVILEGE OR TURKEY
PERMIT MAY ONLY BE SOLD TO A PERSON WHO EITHER HAS PURCHASED A HUNTING
LICENSE FOR THE SAME TERM OR POSSESSES A LIFETIME HUNTING LICENSE.
b. In the case of a non-resident and persons resident in the state for
less than thirty days:
License Fee
(1) (a) Hunting $100.00
(A-1) THREE-YEAR HUNTING $290.00
(A-2) FIVE-YEAR HUNTING $480.00
(b) Hunting ages fifteen and under $5.00
(2) (A) Fishing $50.00
(B) THREE-YEAR FISHING $140.00
(C) FIVE-YEAR FISHING $230.00
(3) Seven-day fishing [$31.00] $28.00
(4)(a) Trapping $275.00
(A-1) THREE-YEAR TRAPPING $825.00
(A-2) FIVE-YEAR TRAPPING $1,375.00
(b) Trapping ages fifteen and under $5.00
(5)(a) Bowhunting privilege $30.00
(A-1) THREE-YEAR BOWHUNTING PRIVILEGE $80.00
(A-2) FIVE-YEAR BOWHUNTING PRIVILEGE $130.00
(b) Bowhunting privilege ages
S. 6357--A 44 A. 8557--A
fifteen and under $4.00
(6) (A) Muzzle-loading $30.00
(B) THREE-YEAR MUZZLE-LOADING $80.00
(C) FIVE-YEAR MUZZLE-LOADING $130.00
(7) (A) Turkey permit $20.00
(B) THREE-YEAR TURKEY PERMIT $55.00
(C) FIVE-YEAR TURKEY PERMIT $90.00
(8) One-day fishing $10.00
A THREE OR FIVE-YEAR BOWHUNTING OR MUZZLE-LOADING PRIVILEGE OR TURKEY
PERMIT MAY ONLY BE SOLD TO A PERSON WHO EITHER HAS PURCHASED A HUNTING
LICENSE FOR THE SAME TERM OR POSSESSES A LIFETIME HUNTING LICENSE.
S 20. This act shall take effect April 1, 2014.
PART J
Section 1. Subdivisions 6, 7 and 8 of section 251-z-5 of the agricul-
ture and markets law, subdivisions 6 and 7 as added by chapter 863 of
the laws of 1972 and subdivision 8 as added by chapter 665 of the laws
of 2005, are amended and a new subdivision 9 is added to read as
follows:
(6) The applicant or licensee, or an officer, director, partner, hold-
er of ten per cent of the voting stock, or any other person exercising
any position of management or control has failed to comply with any of
the provisions of this chapter or rules and regulations promulgated
pursuant thereto; [or]
(7) Any person including the applicant or licensee, or an officer,
director, partner or any stockholder, exercising any position of manage-
ment or control has been convicted of a felony in any court of the
United States or any state or territory[.];
(8) A retail food store licensed under this article fails to comply
with the education requirements set forth in section two hundred fifty-
one-z-twelve of this article[.]; OR
(9) THE APPLICANT OR LICENSEE HAS FAILED TO PAY ANY PENALTY IMPOSED
FOR OR JUDGMENT BASED UPON A VIOLATION OF THE PROVISIONS OF THIS ARTICLE
OR RULES AND REGULATIONS PROMULGATED PURSUANT THERETO, WHICH OUTSTANDING
PENALTY OR PENALTIES AND/OR JUDGMENT OR JUDGMENTS EQUAL OR EXCEED TWO
THOUSAND FOUR HUNDRED DOLLARS. NOTWITHSTANDING, AND IN ADDITION TO THE
POWERS CONFERRED IN THIS SECTION, WHEN THE COMMISSIONER FINDS THAT AN
APPLICANT OR LICENSEE HAS FAILED TO PAY ANY PENALTY IMPOSED OR JUDGMENT
OBTAINED, WHICH OUTSTANDING PENALTY OR PENALTIES AND/OR JUDGMENT OR
JUDGMENTS EQUAL OR EXCEED TWO THOUSAND FOUR HUNDRED DOLLARS, THE COMMIS-
SIONER MAY DECLINE TO ISSUE OR RENEW A LICENSE, AND, IN LIEU THEREOF,
SHALL GRANT A PROVISIONAL LICENSE.
(A) A PROVISIONAL LICENSE SHALL EXPIRE SIXTY DAYS FOLLOWING ITS ISSU-
ANCE, UNLESS: (I) PRIOR TO ITS EXPIRATION, THE APPLICANT OR LICENSEE
PAYS OR ENTERS INTO AN AGREEMENT WITH THE DEPARTMENT TO PAY ALL SAID
AMOUNTS DUE, AT WHICH POINT THE PROVISIONAL LICENSE SHALL CONVERT TO A
TWO-YEAR LICENSE, COMMENCING AS OF THE DATE OF ISSUANCE OF THE PROVI-
SIONAL LICENSE; OR (II) WITHIN THIRTY DAYS OF ITS ISSUANCE, THE APPLI-
CANT OR LICENSEE REQUESTS A HEARING, PURSUANT TO RULES AND REGULATIONS
THAT THE DEPARTMENT SHALL PROMULGATE.
(B) WHERE A HEARING IS REQUESTED, THE PROVISIONAL LICENSE SHALL
CONTINUE IN FORCE UNTIL THE DETERMINATION OF SAID HEARING. SHOULD THE
APPLICANT PREVAIL, THE PROVISIONAL LICENSE SHALL CONVERT INTO A TWO-YEAR
LICENSE, RUNNING FROM THE DATE OF THE ISSUANCE OF THE PROVISIONAL
S. 6357--A 45 A. 8557--A
LICENSE. SHOULD THE DEPARTMENT PREVAIL, THE PROVISIONAL LICENSE SHALL
TERMINATE AND NO LICENSE SHALL ISSUE.
S 2. This act shall take effect immediately.
PART K
Section 1. Expenditures of moneys appropriated in a chapter of the
laws of 2014 to the energy research and development authority, under the
research, development and demonstration program, from the special reven-
ue funds - other/state operations, miscellaneous special revenue fund -
339, energy research and planning account, and special revenue funds -
other/aid to localities, miscellaneous special revenue fund - 339, ener-
gy research and planning account shall be subject to the provisions of
this section. Notwithstanding the provisions of subdivision 4-a of
section 18-a of the public service law, all moneys committed or expended
shall be reimbursed by assessment against gas corporations and electric
corporations as defined in section 2 of the public service law, and the
total amount which may be charged to any gas corporation and any elec-
tric corporation shall not exceed one cent per one thousand cubic feet
of gas sold and .010 cent per kilowatt-hour of electricity sold by such
corporations in their intrastate utility operations in calendar year
2012. Such amounts shall be excluded from the general assessment
provisions of subdivision 2 of section 18-a of the public service law,
but shall be billed and paid in the manner set forth in such subdivision
and upon receipt shall be paid to the state comptroller for deposit in
the state treasury for credit to the miscellaneous special revenue fund.
The director of the budget shall not issue a certificate of approval
with respect to the commitment and expenditure of moneys hereby appro-
priated until the chair of such authority shall have submitted, and the
director of the budget shall have approved, a comprehensive financial
plan encompassing all moneys available to and all anticipated commit-
ments and expenditures by such authority from any source for the oper-
ations of such authority. Copies of the approved comprehensive financial
plan shall be immediately submitted by the director of the budget to the
chairs and secretaries of the legislative fiscal committees.
S 2. This act shall take effect immediately and shall be deemed to
have been in full force and effect on and after April 1, 2014.
PART L
Section 1. Notwithstanding any law to the contrary, the comptroller is
hereby authorized and directed to receive for deposit to the credit of
the general fund the amount of up to $913,000 from the New York state
energy research and development authority.
S 2. This act shall take effect immediately and shall be deemed to
have been in full force and effect on and after April 1, 2014.
PART M
Section 1. Legislative findings. The legislature hereby finds and
determines:
1. In 2011 and 2012, three storms of enormous magnitude - Hurricane
Irene, Tropical Storm Lee and Superstorm Sandy - each battered New York,
causing billions of dollars of damage to roads, buildings and other
infrastructure. The three storms collectively resulted in millions of
S. 6357--A 46 A. 8557--A
residential, business and industrial customers of electric utilities
losing electricity for extended periods of time.
2. Each of these storms caused, among other things, a disruption in
the distribution and supply of motor fuels, and in the case of Super-
storm Sandy, downstate motorists were unable to obtain routine supplies
of fuel for several weeks.
3. In addition, temporary fuel distribution disruptions associated
with the aftermath of a storm can result in emergency vehicles and
responders unable to adequately address ongoing public safety and health
emergencies, delay an appropriate response to infrastructure damages
caused by a storm, and otherwise disrupt commerce in the state due to
difficulty to obtain readily available motor fuels.
4. On November 15, 2012, in response to Superstorm Sandy, Governor
Andrew M. Cuomo announced the creation of the NYS Ready Commission and
tasked it with finding ways to ensure critical systems and services are
prepared for future natural disasters and other emergencies. As related
to this act, the Commission was tasked with addressing vulnerabilities
in the state's energy systems.
5. The NYS Ready Commission recommended, among other things, to
require that retail gasoline outlets located in strategic locations have
on-site back-up power capacity to ensure that such outlets can continue
fuel sales operations during a long-term electric outage. The purpose of
this act is to ensure that the state is better situated in the future to
address the temporary disruption of retail fuel supplies.
S 2. Section 192-h of the agriculture and markets law, as added by
section 2 of part S of chapter 58 of the laws of 2013, is amended to
read as follows:
S 192-h. Alternate generated power source at retail gasoline outlets.
1. Definitions. When used in this section:
(a) "Alternate generated power source" means electric generating
equipment that is of a capacity that is capable of providing adequate
electricity to operate all dispensers, dispensing equipment, life safety
systems and payment-acceptance equipment located at a retail outlet and
which can operate independent of the local electric utility distribution
system and provide electricity during a general power outage or declared
energy or fuel supply emergency to operate the systems named herein.
(b) "Chain of retail outlets" means a network of subsidiaries or
affiliates, under direct or indirect common control, that operate ten or
more retail outlets located in a single downstate region; provided,
however that this term does not include any franchisor of the brand of
motor fuel being sold at such outlet, except if such franchisor owns
such outlet.
(c) "Controlled access highway" means every highway, street, or road-
way in respect to which owners or occupants of abutting lands and other
persons have no legal right of access to or from the same except at such
points only and in such manner as may be determined by the public
authority having jurisdiction over such highway, street, or roadway.
(d) "Diesel motor fuel" means any fuel sold in this state and for use
in diesel engines which is commercially known or offered for sale as
diesel motor fuel.
(e) "Dispenser" means a device located at a retail outlet that is used
to pump motor fuel from an above-ground or underground storage tank into
a motor vehicle.
(f) "Downstate region" means each of the following regions of the
state:
(i) Long Island region: Includes Nassau and Suffolk counties.
S. 6357--A 47 A. 8557--A
(ii) Lower Mid-Hudson region: Includes Rockland and Westchester coun-
ties.
(iii) New York city region: Includes Bronx, Kings, New York, Queens
and Richmond counties.
(g) "Evacuation route" means those roads designated by each county,
AND RECOGNIZED BY THE STATE, that are to be used by motorists in case of
a hurricane or other natural disaster.
(h) "Franchisor" means a person or company that grants a franchise to
a franchisee.
(i) "Gasoline" means any fuel sold in this state for use in internal
combustion engines which is commercially known or offered for sale as
gasoline, whether or not blended with ethanol or other chemicals.
(j) "Motor fuel" means any petroleum product, including any gasoline
or diesel motor fuel, which is used for the propulsion of motor vehi-
cles.
(k) "Retailer" means any person who owns, operates, or controls a
retail outlet that is subject to the requirements of subdivision two of
this section.
(l) "Retail outlet" means a facility, including all land, improvements
and associated structures and equipment, that dispenses motor fuel for
sale to the general public.
(M) "STRATEGIC UPSTATE HIGHWAYS" MEANS THE FOLLOWING:
(I) I-87 BEGINNING AT THE ROCKLAND-ORANGE COUNTY LINE THENCE NORTHERLY
PASSING THROUGH OR IN THE VICINITY OF ALBANY TO THE INTERSECTION WITH
I-90, THE FOREGOING ROUTE BEING A PORTION OF THE NEW YORK STATE THRUWAY;
THENCE CONTINUING NORTHERLY TO THE NEW YORK-CANADA BORDER;
(II) I-90 BEGINNING AT I-87 IN THE VICINITY OF ALBANY THENCE WESTERLY
PASSING THROUGH OR IN THE VICINITY OF SCHENECTADY, UTICA, SYRACUSE,
ROCHESTER, AND BUFFALO; THENCE CONTINUING SOUTHWESTERLY TO THE NEW
YORK-PENNSYLVANIA BORDER, THE FOREGOING ROUTE BEING A PORTION OF THE NEW
YORK STATE THRUWAY;
(III) THE BERKSHIRE SECTION OF THE NEW YORK STATE THRUWAY BEGINNING AT
I-87 THENCE EASTERLY TO THE INTERSECTION WITH I-90 AND CONTINUING ON
I-90 TO THE NEW YORK-MASSACHUSETTS BORDER;
(IV) I-84 BEGINNING AT THE NEW YORK-NEW JERSEY BORDER THENCE EASTERLY
PASSING THROUGH OR IN THE VICINITY OF NEWBURGH, THENCE CONTINUING EAST-
ERLY AND SOUTHEASTERLY TO THE NEW YORK-CONNECTICUT BORDER;
(V) I-88 BEGINNING AT I-81 IN THE VICINITY OF BINGHAMTON THENCE
NORTHEASTERLY TO I-90 IN THE VICINITY OF SCHENECTADY;
(VI) I-86/STATE ROUTE 17 BEGINNING AT I-87 IN THE VICINITY OF WOODBURY
THENCE WESTERLY AND NORTHWESTERLY PASSING THROUGH OR IN THE VICINITY OF
BINGHAMTON, ELMIRA, AND JAMESTOWN, CONTINUING TO THE NEW YORK-PENNSYLVA-
NIA BORDER;
(VII) I-81 BEGINNING AT THE NEW YORK-PENNSYLVANIA BORDER THENCE NORTH-
ERLY PASSING THROUGH OR IN THE VICINITY OF SYRACUSE AND WATERTOWN,
CONTINUING TO THE NEW YORK-CANADA BORDER;
(VIII) I-390 BEGINNING AT I-86 IN THE VICINITY OF AVOCA THENCE
NORTHWESTERLY AND NORTHERLY IN I-490 IN THE VICINITY OF ROCHESTER; AND
(IX) I-190 BEGINNING AT I-90 IN THE VICINITY OF BUFFALO, THENCE
WESTERLY, NORTHWESTERLY, AND NORTHERLY THROUGH BUFFALO, ACROSS GRAND
ISLAND, THE FOREGOING ROUTE BEING A PORTION OF THE NEW YORK STATE THRU-
WAY, AND THENCE GENERALLY WESTERLY TO THE UNITED STATES-CANADA BORDER IN
THE VICINITY OF LEWISTON.
(N) "UPSTATE REGION" MEANS ANY COUNTY OF THE STATE THAT IS NOT PART OF
THE DOWNSTATE REGION.
S. 6357--A 48 A. 8557--A
2. Prewiring and transfer switch. (a) Retail outlets in the downstate
region shall be prewired with an appropriate transfer switch for using
an alternate generated power source at such retail outlets as follows:
(i) each retail outlet in operation on the effective date of this
section that is located within one-half mile by road measurement from an
exit road on a controlled access highway or from an evacuation route
shall be prewired by no later than April first, two thousand fourteen;
(ii) each retail outlet beginning operation after the effective date
of this section and before April first, two thousand fourteen that is
located within one-half mile by road measurement from an exit road on a
controlled access highway or from an evacuation route shall be prewired
by no later than April first, two thousand fifteen;
(iii) each retail outlet that is located within one-half mile by road
measurement from an evacuation route that is designated as such after
the effective date of this section or within one-half mile by road meas-
urement from an exit road that is established after the effective date
of this section shall be prewired within one year of such designation or
establishment provided that funding is available at such time for the
program established under subdivision twenty of section eighteen hundred
fifty-four of the public authorities law; and
(iv) thirty percent of all retail outlets that are part of a chain of
retail outlets, exclusive of those included in subparagraphs (i), (ii)
and (iii) of this paragraph, shall be prewired by no later than August
first, two thousand fifteen, provided, however, in the case of an exist-
ing retail outlet that becomes part of a chain of retail outlets after
the effective date of this section and that has been designated by the
chain as an outlet comprising such thirty percent, by no later than
August first, two thousand fifteen or one year after becoming part of
such chain, whichever is later, and provided further, in the case of a
retail outlet that is part of a chain of retail outlets, is part of such
thirty percent and is subject to paragraph (b) of this subdivision as
required in paragraph (b) of this subdivision.
(A-1) RETAIL OUTLETS IN THE UPSTATE REGION SHALL BE PREWIRED WITH AN
APPROPRIATE TRANSFER SWITCH FOR USING AN ALTERNATE GENERATED POWER
SOURCE AT SUCH RETAIL OUTLETS AS FOLLOWS:
(I) EACH RETAIL OUTLET IN OPERATION ON THE EFFECTIVE DATE OF THIS
PARAGRAPH THAT IS LOCATED ON A STRATEGIC UPSTATE HIGHWAY OR WITHIN ONE-
HALF MILE BY ROAD MEASUREMENT FROM AN EXIT ROAD ON A STRATEGIC UPSTATE
HIGHWAY OR FROM AN EVACUATION ROUTE SHALL BE PREWIRED BY NO LATER THAN
APRIL FIRST, TWO THOUSAND FIFTEEN;
(II) EACH RETAIL OUTLET BEGINNING OPERATION AFTER THE EFFECTIVE DATE
OF THIS PARAGRAPH AND BEFORE APRIL FIRST, TWO THOUSAND FIFTEEN THAT IS
LOCATED ON A STRATEGIC UPSTATE HIGHWAY OR WITHIN ONE-HALF MILE BY ROAD
MEASUREMENT FROM AN EXIT ROAD ON A STRATEGIC UPSTATE HIGHWAY OR FROM AN
EVACUATION ROUTE SHALL BE PREWIRED BY NO LATER THAN APRIL FIRST, TWO
THOUSAND SIXTEEN; AND
(III) EACH RETAIL OUTLET THAT IS LOCATED WITHIN ONE-HALF MILE BY ROAD
MEASUREMENT FROM AN EVACUATION ROUTE THAT IS DESIGNATED AS SUCH AFTER
THE EFFECTIVE DATE OF THIS SECTION OR ON A STRATEGIC UPSTATE HIGHWAY OR
WITHIN ONE-HALF MILE BY ROAD MEASUREMENT FROM AN EXIT ROAD ON A STRATE-
GIC UPSTATE HIGHWAY THAT IS ESTABLISHED AFTER THE EFFECTIVE DATE OF THIS
PARAGRAPH SHALL BE PREWIRED WITHIN ONE YEAR OF SUCH DESIGNATION OR
ESTABLISHMENT PROVIDED THAT FUNDING IS AVAILABLE AT SUCH TIME FOR THE
PROGRAM ESTABLISHED UNDER SUBDIVISION TWENTY OF SECTION EIGHTEEN HUNDRED
FIFTY-FOUR OF THE PUBLIC AUTHORITIES LAW.
S. 6357--A 49 A. 8557--A
(b) Each retail outlet for which a building permit is issued on or
after April first, two thousand fourteen for new construction or for
substantial demolition and reconstruction, shall be prewired with an
appropriate transfer switch for using an alternate generated power
source.
(c) Such transfer switch and all associated electrical wiring shall be
installed, operated, and maintained in compliance with all applicable
provisions of the New York state uniform fire prevention and building
code or any applicable local building code or standard. Installation of
appropriate wiring and transfer switches shall be performed by a
licensed electrical contractor.
(d) Each retailer shall keep on file at the retail outlet a written
statement in a form approved by the department and containing an attes-
tation by a licensed electrician that the wiring and transfer switch
were installed in accordance with the manufacturer's specifications. In
addition, each such retailer shall maintain the wiring and transfer
switch in accordance with the manufacturer's specifications.
(e) Each retail outlet IN THE DOWNSTATE REGION in operation on the
effective date of this section that sold less than seventy-five thousand
gallons of motor fuel per month on average for the period they were in
operation during the twelve months prior to the effective date shall be
exempt from the requirements of this subdivision.
3. Emergency deployment. In the event that a declaration of an energy
or fuel supply emergency issued by the governor, the county executive of
a county [in the downstate region] CONTAINING RETAIL OUTLETS SUBJECT TO
THE PROVISIONS OF THIS SECTION or the mayor of a city with a population
in excess of one million inhabitants is in effect, a retailer of a
retail outlet within any such county or city for which such declaration
was issued shall deploy and install an alternate generated power source
as follows:
(a) For a retail outlet subject to the requirements of: (i) PARAGRAPH
(A-1) OF SUBDIVISION TWO OF THIS SECTION OR subparagraphs (i), (ii) or
(iii) of paragraph (a) of subdivision two of this section or (ii) para-
graph (b) of subdivision two of this section that is located in the
downstate region and that is located within one-half mile by road meas-
urement from an exit road on a controlled access highway or from an
evacuation route, within twenty-four hours of such declaration, if such
outlet is without power at the time of such declaration. Provided,
however, if any such outlet loses power following such declaration and
while the declaration is still in effect, then the alternate generated
power source shall be deployed and installed within twenty-four hours of
such loss of power.
(b) For a retail outlet prewired pursuant to the requirements of
subparagraph (iv) of paragraph (a) of subdivision two of this section,
within forty-eight hours of such declaration, if such outlet is without
power at the time of such declaration. Provided, however, if any such
outlet loses power following such declaration and while the declaration
is still in effect, then the alternate generated power source shall be
deployed and installed within forty-eight hours of the loss of power.
3-a. Declaration of energy or fuel supply emergency. Upon issuance of
a declaration of an energy or fuel supply emergency pursuant to this
subdivision, a county executive of a county [in the downstate region]
WHOSE RETAIL OUTLETS ARE SUBJECT TO THE PROVISIONS OF THIS SECTION or
mayor of a city with a population in excess of one million inhabitants
who declared such emergency shall promptly notify the president of the
New York state energy research and development authority, the commis-
S. 6357--A 50 A. 8557--A
sioner of homeland security and emergency services, and impacted resi-
dents using such means as are practicable and efficient.
4. Plan for alternate generated power source. Each retailer subject to
subdivision three of this section shall by the date of the installation
of the prewiring and transfer switch required under subdivision two of
this section have in place at each applicable retail outlet documenta-
tion in a form approved by the department demonstrating a plan to deploy
and install an alternate generated power source located at such retail
outlet as required under subdivision three of this section. Such plan
shall take one of the following forms:
(a) a receipt or other documentation showing ownership of such power
source;
(b) for a retailer subject to paragraph (a) of subdivision three of
this section, documentation attesting to participation in the program
established under subdivision twenty-one of section eighteen hundred
fifty-four of the public authorities law; or
(c) a contract with a supplier of such power source providing for
deployment and installation of such power source in compliance with the
requirements of this section, or other documentation demonstrating the
retailer's ability to comply with the requirements of this section,
which may include the generator deployment and installation plan of a
chain of retail outlets.
5. Inspection; recordkeeping; reporting. The commissioner or the
commissioner's designee shall be authorized to enter during regular
business hours upon a retail outlet subject to the requirements of
subdivision two of this section for the purpose of determining compli-
ance with the provisions of this section and any rules or regulations
promulgated hereunder. All documents required pursuant to subdivisions
two and four of this section shall be maintained at the applicable
retail outlet and made available to the commissioner or the commission-
er's designee upon request. In addition, each retailer of a retail
outlet, except for retail outlets granted exemptions under paragraph (e)
of subdivision two of this section, shall provide to the department by
[April first, two thousand fourteen] THE DATE OF THE INSTALLATION OF THE
PREWIRING AND TRANSFER SWITCH REQUIRED UNDER SUBDIVISION TWO OF THIS
SECTION and every two years thereafter written documentation in a form
approved by the department certifying that such retail outlet is in
compliance with the requirements of this section, and any other require-
ment specified by any rules or regulations promulgated hereunder;
provided, however, that, for each retail outlet that is part of a chain
of retail outlets or to which subparagraph (ii) or (iii) of paragraph
(a), SUBPARAGRAPH (III) OF PARAGRAPH (A-1) or paragraph (b) of subdivi-
sion two applies, such written documentation shall be provided to the
department within ten days after the date of installation of the prewir-
ing and transfer switch required to be installed under subdivision two
of this section and every two years thereafter.
6. Rules and regulations; notification of applicability. The commis-
sioner shall have the authority, with the assistance of the commissioner
of transportation, the commissioner of homeland security and emergency
services, the president of the New York state energy research and devel-
opment authority, the secretary of state and the chair of the public
service commission, to promulgate such rules and regulations as the
commissioner shall deem necessary to effectuate the purposes of this
section. The commissioner shall by June first, two thousand thirteen:
(a) notify by first class mail all existing retail outlets that appear
to meet the criteria specified in subdivision two of this section of the
S. 6357--A 51 A. 8557--A
requirements of this section and include with such notification any
other information deemed necessary by the commissioner, including infor-
mation regarding applicability criteria, compliance measures and poten-
tial grant assistance; (b) provide a list of all such retail outlets to
the governor, the temporary president of the senate and the speaker of
the assembly; and (c) post such list on the department's website,
PROVIDED HOWEVER THAT FOR RETAIL OUTLETS SUBJECT TO PARAGRAPH (A-1) OF
SUBDIVISION TWO OF THIS SECTION, SUCH ACTIONS SHALL OCCUR BY JUNE FIRST,
TWO THOUSAND FOURTEEN. If approval of federal mitigation funds or other
approved resources for the program established under subdivision twenty
of section eighteen hundred fifty-four of the public authorities law
occurs after June first, two thousand thirteen, the commissioner shall
provide additional notification of such approval within thirty days. Any
retailer of a retail outlet specified on such list shall be subject to
the requirements of this section unless he or she provides written
documentation to the department by August first, two thousand thirteen
proving that such outlet does not qualify, or is eligible for an
exemption pursuant to paragraph (e) of subdivision two of this section;
PROVIDED HOWEVER THAT FOR RETAIL OUTLETS SUBJECT TO PARAGRAPH (A-1) OF
SUBDIVISION TWO OF THIS SECTION, ANY RETAILER OF A RETAIL OUTLET SPECI-
FIED ON SUCH LIST SHALL BE SUBJECT TO THE REQUIREMENTS OF THIS SECTION
UNLESS HE OR SHE PROVIDES WRITTEN DOCUMENTATION TO THE DEPARTMENT BY
AUGUST FIRST, TWO THOUSAND FOURTEEN PROVING THAT SUCH OUTLET DOES NOT
QUALIFY. The commissioner shall update such list every five years ther-
eafter, OR MORE FREQUENTLY AS THE COMMISSIONER DEEMS NECESSARY, and
notify all new retail outlets that become subject to the requirements of
this section; provided, however, that compliance with the requirements
of this section is not conditioned on such notification.
7. Violations and penalties. Any retailer who violates any provision
of this section, or any rule or regulation promulgated hereunder, shall
be liable to the people of the state for a civil penalty of up to one
thousand five hundred dollars per day for every such violation, to be
assessed by the commissioner, after a hearing or opportunity to be heard
upon due notice and with the right to representation by counsel. In
determining the amount of civil penalty, the commissioner shall take
into consideration mitigating factors, such as the availability of gaso-
line at the retail outlet, provided that the retailer did not refuse
such delivery, and the extent to which the retailer's action or inaction
contributed to the violation. Such penalty may be recovered in an action
brought by the attorney general at the request and in the name of the
commissioner in any court of competent jurisdiction. Such civil penalty
may be released or compromised by the commissioner before the matter has
been referred to the attorney general. Additionally, after such hearing
and a finding that such retailer has violated the provisions of this
section, or of any rule or regulation promulgated thereunder, the
commissioner may issue and cause to be served upon such person an order
enjoining such person from violating such provisions and taking all
necessary actions for such person to come into compliance with such
provisions. Any such order of the commissioner may be enforced in an
action brought by the attorney general at the request and in the name of
the commissioner in any court of competent jurisdiction.
Notwithstanding the foregoing, such retailer shall not be in violation
of subdivision three of this section if he or she is unable to deploy,
install or operate an alternate generated power source because of uncon-
trollable circumstances, including but not limited to, restrictions
imposed by public safety officers to address an emergency situation or
S. 6357--A 52 A. 8557--A
that such retail station is made unsafe or unable to operate due to acts
of God, fires, floods, explosions or the safety of personnel needed to
operate such retail outlet. Additionally, such retailer shall not be in
violation of subdivision three of this section if he or she is a partic-
ipant in the program established under subdivision twenty-one of section
eighteen hundred fifty-four of the public authorities law and a genera-
tor is not provided to the retailer due to the prioritization allowed
under such subdivision or through no fault of the retailer.
8. This section shall not be construed to require any retailer to
maintain set business hours in the event of an energy or fuel supply
emergency.
9. The provisions of this section shall supersede all local laws or
ordinances in the downstate region AND IN COUNTIES IN THE UPSTATE REGION
WHOSE RETAIL OUTLETS ARE SUBJECT TO THE PROVISIONS OF THIS SECTION
relating to the installation and deployment of an alternate generated
power source or any related electrical or other equipment at any retail
outlet.
10. The requirements of this section shall be contingent on the
approval of federal mitigation funds or other approved resources for the
program established under subdivision twenty of section eighteen hundred
fifty-four of the public authorities law. In the event such approval
does not occur as of June first, two thousand thirteen, all deadlines
with a date of April first, two thousand fourteen shall be delayed by
the amount of time such approval is delayed past June first, two thou-
sand thirteen.
S 3. Subdivisions 20 and 21 of section 1854 of the public authorities
law, as added by section 3 of part S of chapter 58 of the laws of 2013,
are amended to read as follows:
20. To administer a program, using funds provided for such purpose, to
provide a grant based on standards and guidelines established by the
authority for costs as follows:
(a) for each retail outlet that is in operation before April first,
two thousand fourteen and is subject to the requirements of paragraph
(a) of subdivision three of section one hundred ninety-two-h of the
agriculture and markets law AND FOR EACH RETAIL OUTLET THAT IS IN OPERA-
TION BEFORE APRIL FIRST, TWO THOUSAND FIFTEEN AND IS SUBJECT TO THE
REQUIREMENTS OF PARAGRAPH (A-1) OF SUBDIVISION TWO OF SECTION ONE
HUNDRED NINETY-TWO-H OF THE AGRICULTURE AND MARKETS LAW:
(i) no greater than ten thousand dollars required to prewire such
retail outlet with an appropriate transfer switch for using an alternate
generated power source as defined in section one hundred ninety-two-h of
the agriculture and markets law; or
(ii) no greater than thirteen thousand dollars required to prewire
such retail outlet with an appropriate transfer switch for using an
alternate generated power source as defined in section one hundred nine-
ty-two-h of the agriculture and markets law and purchase such power
source to be permanently affixed at the site.
(b) for each retail outlet that is in operation before April first,
two thousand fourteen and is subject to the requirements of paragraph
(b) of subdivision three of section one hundred ninety-two-h of the
agriculture and markets law, no greater than ten thousand dollars
required to: (i) prewire an existing retail outlet with an appropriate
transfer switch for using an alternate generated power source as defined
in section one hundred ninety-two-h of the agriculture and markets law;
and/or (ii) purchase such power source to be permanently affixed at the
site.
S. 6357--A 53 A. 8557--A
(c) to the extent funds are available, for retail outlets that become
operational on or after April first, two thousand fourteen, or to which
subdivision two of section one hundred ninety-two-h of the agriculture
and markets law becomes applicable after the effective date of this
subdivision, which grants shall otherwise be subject to the same
amounts, purposes and restrictions as paragraphs (a) and (b) of this
subdivision.
The authority may offer any funds provided for such purpose and not
expended to retail outlets that are not required to comply with the
requirements of subdivision two of section one hundred ninety-two-h of
the agriculture and markets law but that seek to participate in such
program.
21. To administer a program to establish a pool of generators for
retail outlets as defined in section one hundred ninety-two-h of the
agriculture and markets law. The authority may enter into or facilitate
contracts, lease agreements and any other instruments subject to the
provisions of law, with companies providing generators and generator
services to provide for such pool and the deployment and installation of
generators in the pool. Retail outlets that elect to participate in the
program and are subject to the requirements of PARAGRAPH (A-1) OF SUBDI-
VISION TWO OR paragraph (a) of subdivision three of section one hundred
ninety-two-h of the agriculture and markets law shall be required only
to pay the actual cost of generator rental, deployment and installation
in the event that emergency deployment is required, provided, that a
participant must abide by the terms of any contract or written agreement
covering the rental, deployment and installation of such generator. In
the event that an insufficient number of generators is available to meet
required emergency deployment, the authority in consultation with the
commissioner of homeland security and emergency services shall prior-
itize such retail outlets as are most essential to public safety and
well-being during the energy or fuel supply emergency. When generators
from such program are deployed, the authority shall provide public
notice on its website, to the media and through other means practicable
of those retail outlets where generators are deployed.
S 4. This act shall take effect immediately.
PART N
Section 1. Section 2 of chapter 21 of the laws of 2003, amending the
executive law relating to permitting the secretary of state to provide
special handling for all documents filed or issued by the division of
corporations and to permit additional levels of such expedited service,
as amended by section 1 of part P of chapter 58 of the laws of 2013, is
amended to read as follows:
S 2. This act shall take effect immediately, provided however, that
section one of this act shall be deemed to have been in full force and
effect on and after April 1, 2003 and shall expire March 31, [2014]
2015.
S 2. This act shall take effect immediately and shall be deemed to
have been in full force and effect on and after March 31, 2014.
PART O
Section 1. Paragraph (g) of section 104 of the business corporation
law, as amended by chapter 375 of the laws of 1998, is amended to read
as follows:
S. 6357--A 54 A. 8557--A
(g) The department shall make, certify and transmit ELECTRONICALLY a
copy of each such instrument to the clerk of the county in which the
office of the domestic or foreign corporation is or is to be located.
The county clerk shall file and index such copy.
S 2. Paragraph (g) of section 104 of the not-for-profit corporation
law, as amended by chapter 375 of the laws of 1998, is amended to read
as follows:
(g) The department shall make, certify and transmit ELECTRONICALLY a
copy of each such instrument to the clerk of the county in which the
office of the domestic or foreign corporation is or is to be located.
The county clerk shall file and index such copy.
S 3. This act shall take effect immediately.
PART P
Section 1. Subdivision 2 of section 160-f of the executive law, as
amended by chapter 397 of the laws of 1991, is amended to read as
follows:
2. Notwithstanding any other law, the department may transmit an annu-
al registry fee [of not more than twenty-five dollars] AS SET BY THE
FEDERAL APPRAISAL SUBCOMMITTEE IN ACCORDANCE WITH 12 U.S.C. 3338
(A)(4)(A) from such individuals who perform or seek to perform
appraisals in federally related transactions and to transmit a roster of
such individuals to the Appraisal Subcommittee of the Federal Financial
Institutions Examination Council as required by Title XI of the Finan-
cial Institutions Reform, Recovery, and Enforcement Act of 1989.
S 2. This act shall take effect immediately.
PART Q
Section 1. Notwithstanding any other law, rule or regulation to the
contrary, expenses of the department of health public service education
program incurred pursuant to appropriations from the cable television
account of the state miscellaneous special revenue funds shall be deemed
expenses of the department of public service.
S 2. This act shall take effect immediately and shall be deemed to
have been in full force and effect on and after April 1, 2014.
PART R
Section 1. Section 5 of the public service law is amended by adding a
new subdivision 7 to read as follows:
7. (A) THE COMMISSION MAY, AFTER NOTICE AND HEARING, FORBEAR FROM
APPLYING THE PROVISIONS OF SUBDIVISION TWO OF SECTION NINETY-ONE AND
SECTION NINETY-TWO, NINETY-NINE, ONE HUNDRED, ONE HUNDRED ONE OR ONE
HUNDRED ONE-A OF THIS CHAPTER TO A TELEPHONE CORPORATION, TELEPHONE
SERVICE, OR CLASS OF TELEPHONE CORPORATIONS OR TELEPHONE SERVICES AS
DEFINED IN COMMISSION REGULATIONS, IN ANY GEOGRAPHIC MARKET UPON A
DETERMINATION THAT:
(I) APPLICATION OF A PROVISION IS NOT NECESSARY TO ENSURE JUST AND
REASONABLE RATES AND CHARGES AND RATES THAT ARE NOT UNJUSTLY OR UNREA-
SONABLY DISCRIMINATORY;
(II) APPLICATION OF A PROVISION IS NOT NECESSARY FOR PROTECTION OF
CONSUMERS; AND
S. 6357--A 55 A. 8557--A
(III) FORBEARANCE FROM APPLYING A PROVISION IS CONSISTENT WITH THE
PUBLIC INTEREST, INCLUDING, BUT NOT LIMITED TO, PROMOTION OF COMPETITIVE
MARKET CONDITIONS AND COMPETITION AMONG PROVIDERS OF TELEPHONE SERVICES.
(B) ANY TELEPHONE CORPORATION OR SUCH CLASS OF TELEPHONE CORPORATIONS
MAY PETITION THE COMMISSION FOR EXERCISE OF THE AUTHORITY GRANTED UNDER
THIS SUBDIVISION.
S 2. Paragraph (d) of subdivision 5 of section 52 of the public
service law, as added by chapter 186 of the laws of 1995, is amended to
read as follows:
(d) when such determination follows a customer complaint regarding a
shared meter condition or a utility discovery of a shared meter condi-
tion that is not in response to an owner's request for a utility
inspection for a shared meter condition, with respect to utility service
billed after December first, nineteen hundred ninety-six, the utility
shall comply with the provisions of paragraphs (a), (b) and (c) of this
subdivision, and further bill the owner and refund to the shared meter
customer an estimated amount of THE charges for [twelve months] TWENTY-
FIVE PERCENT of all service measured by the shared meter FOR TWELVE
MONTHS; provided, however, that this paragraph shall not apply to a
shared meter condition if service measured through the shared meter is
minimal under commission rules adopted pursuant to subdivision eight of
this section[. An owner so billed] OR IN THE EVENT AN OWNER, PURSUANT TO
SUBPARAGRAPH (I) OF PARAGRAPH (B) OF SUBDIVISION TWO OF THIS SECTION, IS
EXCUSED FROM CORRECTING THE SHARED METER CONDITION BY A LEGAL PROHIBI-
TION OR EXORBITANT COST AS DEFINED BY COMMISSION RULES ADOPTED PURSUANT
TO SUBDIVISION EIGHT OF THIS SECTION. A SHARED METER CUSTOMER may peti-
tion the commission or its designee for a determination that the amount
of such [bill is excessive] ASSESSMENT IS UNSATISFACTORY and that such
bill and refund be adjusted [accordingly]; provided, however, [neither
the adjusted bill nor] THAT the adjusted refund shall [be less than
twenty-five percent of] NOT EXCEED the total amount of the original
bill. [The commission is authorized to make such a determination and
adjustment if it finds that a bill and refund of twelve months' charges
is unduly burdensome and unfair.] In making such determination the
commission or its designee shall consider the total amount of the bill
and refund in relation to the shared area charges over such twelve month
period and any other equitable factors established by the commission;
and
S 3. Section 221 of the public service law, as added by chapter 83 of
the laws of 1995, is amended to read as follows:
S 221. Certificate of confirmation. 1. Except as provided in this
section, no person shall exercise a franchise, and no such franchise
shall be effective, [until the commission has confirmed such franchise.
A person wishing to exercise a franchise shall file with the commission
an application for a certificate of confirmation in such form and
containing such information and supportive documentation as the commis-
sion may require. The application shall be accompanied by proof of
service thereof upon the franchisor and by such fee as the commission
may set] UNLESS A COPY OF SUCH FRANCHISE HAS BEEN APPROVED BY THE MUNI-
CIPALITY, AND PROPERLY FILED WITH THE COMMISSION WITHIN THIRTY DAYS OF
MUNICIPAL APPROVAL. SUCH FRANCHISE SHALL BE SUBJECT, AT A MINIMUM, TO
THE FRANCHISING STANDARDS SET FORTH IN THIS ARTICLE AND THE RULES AND
REGULATIONS PROMULGATED THEREUNDER BY THE COMMISSION.
2. A FRANCHISE SHALL BE DEEMED GRANTED FORTY-FIVE DAYS AFTER THE FRAN-
CHISE IS FILED PURSUANT TO SUBDIVISION ONE OF THIS SECTION UNLESS THE
COMMISSION, OR ITS DESIGNEE, DETERMINES WITHIN SUCH FORTY-FIVE DAY PERI-
S. 6357--A 56 A. 8557--A
OD THAT THE PUBLIC INTEREST REQUIRES THE COMMISSION'S REVIEW AND WRITTEN
ORDER.
[2.] 3. The commission may hold a public hearing on any application
for a certificate of confirmation if it determines that such a hearing
is in the public interest. The commission shall fix the time and place
for such a hearing and cause notice thereof to be given to the appli-
cant, the chief executive officer of the municipality issuing the fran-
chise and such other persons as the commission may deem appropriate.
Testimony may be taken and evidence received at such a hearing pursuant
to such rules and procedures as the commission may establish.
[3.] 4. [The commission shall issue a] A certificate of confirmation
of the franchise [unless it finds that (a) the applicant, (b) the
proposed cable television system, or (c) the proposed franchise does not
conform to the standards established in the regulations promulgated by
the commission pursuant to subdivision two of section two hundred
fifteen, or that operation of the proposed cable television system by
the applicant under the proposed cable television system by the appli-
cant under the proposed franchise would be in violation of law, any
regulation or standard promulgated by the commission or the public
interest.] SHALL BE DEEMED CONFIRMED FORTY-FIVE DAYS AFTER THE FRANCHISE
IS FILED PURSUANT TO SUBDIVISION ONE OF THIS SECTION UNLESS THE COMMIS-
SION, OR ITS DESIGNEE, DETERMINES WITHIN SUCH FORTY-FIVE DAY PERIOD THAT
THE PUBLIC INTEREST REQUIRES THE COMMISSION'S REVIEW AND WRITTEN ORDER.
[4.] 5. The commission may issue a certificate of confirmation contin-
gent upon compliance with standards, terms or conditions set by the
commission which it determines would not have been met by the applicant,
system or franchise as proposed.
[5.] 6. In the event the commission refuses to issue a certificate of
confirmation, it shall set forth in writing the reasons for its deci-
sion.
[6. Any cable television company which, pursuant to any existing fran-
chise, (i) was lawfully engaged in actual operations for (ii) had
commenced substantial construction (as such term is defined by the
commission) of a cable television system on January first, nineteen
hundred seventy-two may continue to exercise said franchise pursuant to
the terms thereof, provided such company files with the commission, on
or before July first, nineteen hundred seventy-three an application in
such form and containing such information and supporting documentation
as the commission may require. The commission shall issue a certificate
of confirmation to such a cable television company valid for five years
without further proceedings, which certificate may be renewed by the
commission on application for five year terms pursuant to the provisions
of section two hundred twenty-two.
7. Notwithstanding any other provisions of this article, any cable
television company engaged in actual and lawful nonfranchised cable
television operations on April first, nineteen hundred seventy-three,
that applied for a certificate of confirmation on or before September
first, nineteen hundred seventy-four and received a certificate, valid
for a five year period, may continue to operate within the limits of the
area in which it was actually rendering service on April first, nineteen
hundred seventy-three, as determined by the commission. Such a certif-
icate of confirmation may be renewed by the commission on application
for five year terms pursuant to the provisions of section two hundred
twenty-two of this article. Any such company which failed to file an
application pursuant to this section on or before September first, nine-
teen hundred seventy-four, shall thereafter be prohibited from continu-
S. 6357--A 57 A. 8557--A
ing operation of a nonfranchised cable television system, provided
however, that the commission may authorize such continued nonfranchised
operation in extraordinary circumstances for such periods as the commis-
sion may deem appropriate.
8. Nothing in this section shall be deemed to validate a franchise not
granted in accordance with law or affect any claims in litigation on
January first, nineteen hundred seventy-three. No confirmation under
this section shall preclude invalidation of any franchise illegally
obtained.
9.] 7. Confirmation by the commission and duties performed by the
commission with respect to its regulation of cable television providers
under this article shall not be deemed to constitute "supervision of the
state department of public service" for the purpose of the meaning of
such phrase as it is used in describing those utilities which are
subject to tax on a gross income basis under section one hundred eight-
y-six-a of the tax law or pursuant to section twenty-b of the general
city law and subdivision one of section [five hundred thirty] 5-530 of
the village law.
S 4. Section 222 of the public service law is REPEALED and a new
section 222 is added to read as follows:
S 222. RENEWAL OR AMENDMENT OF FRANCHISES. 1. EXCEPT AS PROVIDED IN
THIS SECTION, NO PERSON SHALL RENEW OR AMEND A FRANCHISE RENEWAL, AND NO
SUCH RENEWAL OR AMENDMENT SHALL BE EFFECTIVE, UNLESS A COPY OF SUCH
RENEWAL OR AMENDMENT HAS BEEN APPROVED BY THE MUNICIPALITY, AND PROPERLY
FILED WITH THE COMMISSION WITHIN THIRTY DAYS OF MUNICIPAL APPROVAL. SUCH
RENEWAL OR AMENDMENT SHALL BE SUBJECT, AT A MINIMUM, TO THE FRANCHISING
STANDARDS SET FORTH IN THIS ARTICLE AND THE RULES AND REGULATIONS
PROMULGATED THEREUNDER BY THE COMMISSION.
2. RENEWALS AND AMENDMENTS SHALL BE DEEMED GRANTED FORTY-FIVE DAYS
AFTER THE RENEWAL OR AMENDMENT IS FILED PURSUANT TO SUBDIVISION ONE OF
THIS SECTION UNLESS THE COMMISSION, OR ITS DESIGNEE, DETERMINES WITHIN
SUCH FORTY-FIVE DAY PERIOD THAT THE PUBLIC INTEREST REQUIRES THE COMMIS-
SION'S REVIEW AND WRITTEN ORDER.
S 5. The public service law is amended by adding a new section 222-a
to read as follows:
S 222-A. TRANSFER OF FRANCHISES AND TRANSFER OF CONTROL OVER FRAN-
CHISES AND SYSTEM PROPERTIES. 1. NO TRANSFER OF ANY FRANCHISE, OR ANY
TRANSFER OF CONTROL OF A FRANCHISE OR CERTIFICATE OF CONFIRMATION OR OF
FACILITIES CONSTITUTING A SIGNIFICANT PART OF ANY CABLE TELEVISION
SYSTEM SHALL BE EFFECTIVE WITHOUT THE PRIOR APPROVAL OF THE COMMISSION.
SUCH APPROVAL SHALL BE REQUIRED IN ADDITION TO ANY MUNICIPAL APPROVAL
REQUIRED UNDER THE FRANCHISE OR BY LAW. FOR THE PURPOSES OF THIS
SECTION, A MERGER OR CONSOLIDATION OF TWO OR MORE CABLE TELEVISION
COMPANIES SHALL BE DEEMED TO BE A TRANSFER OF THE FRANCHISES OR CERTIF-
ICATES GRANTED TO SUCH COMPANIES.
2. A PERSON WISHING TO TRANSFER A FRANCHISE, OR TO TRANSFER CONTROL OF
A FRANCHISE OR OF A SUBSTANTIAL PART OF THE FACILITIES THEREOF SHALL
FILE WITH THE COMMISSION AN APPLICATION FOR APPROVAL OF SUCH CHANGE, IN
SUCH FORM AND CONTAINING SUCH INFORMATION AND SUPPORTING DOCUMENTS AS
THE COMMISSION MAY REQUIRE. THE APPLICATION SHALL BE ACCOMPANIED BY
PROOF OF SERVICE THEREOF UPON THE FRANCHISOR, IF ANY, AND BY SUCH FEE AS
THE COMMISSION MAY SET. THE COMMISSION MAY HOLD A PUBLIC HEARING ON ANY
SUCH APPLICATION.
3. THE COMMISSION SHALL APPROVE THE APPLICATION UNLESS IT FINDS THAT
THE APPLICANT, THE PROPOSED TRANSFEREE OR THE CABLE TELEVISION SYSTEM
DOES NOT CONFORM TO THE STANDARDS ESTABLISHED IN THE REGULATIONS PROMUL-
S. 6357--A 58 A. 8557--A
GATED BY THE COMMISSION PURSUANT TO THIS ARTICLE OR THAT APPROVAL WOULD
BE IN VIOLATION OF LAW, ANY REGULATION OR STANDARD PROMULGATED BY THE
COMMISSION OR THE PUBLIC INTEREST, PROVIDED HOWEVER, THAT A FAILURE TO
CONFORM TO THE STANDARDS ESTABLISHED IN THE REGULATIONS PROMULGATED BY
THE COMMISSION SHALL NOT PRECLUDE APPROVAL OF ANY SUCH APPLICATION IF
THE COMMISSION FINDS THAT SUCH APPROVAL WOULD SERVE THE PUBLIC INTEREST.
4. THE COMMISSION MAY APPROVE THE APPLICATION CONTINGENT UPON COMPLI-
ANCE WITH STANDARDS, TERMS OR CONDITIONS SET BY THE COMMISSION WHICH IT
DETERMINES WOULD NOT HAVE BEEN MET BY THE PROPOSED TRANSFER OF A FRAN-
CHISE.
5. IN THE EVENT THE COMMISSION REFUSES TO APPROVE THE APPLICATION, IT
SHALL SET FORTH IN WRITING THE REASONS FOR ITS DECISION.
6. APPROVAL OF A TRANSFER OF A FRANCHISE UNDER THIS SECTION SHALL NOT
PRECLUDE INVALIDATION OF A FRANCHISE ILLEGALLY OBTAINED.
S 6. This act shall take effect immediately; provided, however, that
sections three, four and five of this act shall apply to franchises
filed on or after the date this act shall have become a law.
PART S
Section 1. Paragraphs (a) and (b) of subdivision 6 of section 18-a of
the public service law, paragraph (a) as amended by section 1 of part BB
of chapter 59 of the laws of 2013 and paragraph (b) as amended by
section 2 of part A of chapter 173 of the laws of 2013, are amended to
read as follows:
(a) Notwithstanding any provision of law to the contrary, and subject
to the exceptions provided for in paragraph (b) of this subdivision, for
the state fiscal year beginning on April first, two thousand nine and
eight state fiscal years thereafter, a temporary annual assessment
(hereinafter "temporary state energy and utility service conservation
assessment") is hereby imposed on public utility companies [(including
for the purposes of this subdivision municipalities other than munici-
palities as defined in section eighty-nine-l of this chapter)], corpo-
rations (including for purposes of this subdivision the Long Island
power authority), and persons subject to the commission's regulation
(hereinafter such public utility companies, corporations, and persons
are referred to collectively as the "utility entities") to encourage the
conservation of energy and other resources provided through utility
entities, to be assessed in the manner provided in this subdivision;
provided, however, that such assessment shall not be imposed upon (1) A
telephone [corporations as defined in subdivision seventeen of section
two of this article] CORPORATION, AND (2) A WATER-WORKS CORPORATION; AND
PROVIDED, FURTHER, THAT SUCH ASSESSMENT SHALL NOT BE IMPOSED UPON THE
GROSS OPERATING REVENUES DERIVED FROM: (I) AN ELECTRIC CUSTOMER ACCOUNT
WITH A MONTHLY PEAK DEMAND OF ONE THOUSAND KILOWATTS OR MORE IN THE LAST
PRECEDING CALENDAR YEAR AS DETERMINED PURSUANT TO THE UTILITY ENTITY'S
TARIFF, AND (II) A GAS CUSTOMER ACCOUNT WITH AN ANNUAL CONSUMPTION IN
THE LAST PRECEDING CALENDAR YEAR OF ONE HUNDRED THOUSAND DEKATHERMS OR
MORE AS DETERMINED PURSUANT TO THE UTILITY ENTITY'S TARIFF.
(b) The temporary state energy and utility service conservation
assessment shall APPLY ONLY TO THOSE CORPORATIONS AND GROSS OPERATING
REVENUES NOT EXEMPTED IN PARAGRAPH (A) OF THIS SUBDIVISION AND SHALL be
based upon the following percentum of the utility entity's gross operat-
ing revenues derived from intrastate utility operations in the last
preceding calendar year, minus the amount, if any, that such utility
entity is assessed pursuant to subdivisions one and two of this section
S. 6357--A 59 A. 8557--A
for the corresponding state fiscal year period: (1) two percentum for
the state fiscal year beginning April first, two thousand thirteen;
[and] (2) 1.89 PERCENTUM FOR the state fiscal year beginning April
first, two thousand fourteen; [(2) one and three-quarters] (3) 1.13
percentum for the state fiscal year beginning April first, two thousand
fifteen; and [(3) one and one-half] (4) 0.83 percentum for the state
fiscal year beginning April first, two thousand sixteen. A PAYMENT FOR
SUCH ASSESSMENT RECEIVED BY A UTILITY ENTITY FOR THE STATE FISCAL YEAR
BEGINNING APRIL FIRST, TWO THOUSAND FOURTEEN AND THEREAFTER FOR (I)
ELECTRIC CUSTOMER ACCOUNTS WITH A MONTHLY PEAK DEMAND OF ONE THOUSAND
KILOWATTS OR MORE IN THE LAST PRECEDING CALENDAR YEAR AS DETERMINED
PURSUANT TO THE UTILITY ENTITY'S TARIFF, AND (II) GAS CUSTOMER ACCOUNTS
WITH AN ANNUAL CONSUMPTION IN THE LAST PRECEDING CALENDAR YEAR OF ONE
HUNDRED THOUSAND DEKATHERMS OR MORE AS DETERMINED PURSUANT TO THE UTILI-
TY ENTITY'S TARIFF, SHALL BE CREDITED TO SUCH CUSTOMER BY THE UTILITY
ENTITY, NO LESS FREQUENTLY THAN SEMI-ANNUALLY AND IN SUCH MANNER AND
FORM AS MAY BE DETERMINED BY THE DEPARTMENT. With respect to the tempo-
rary state energy and utility service conservation assessment to be paid
for the state fiscal year beginning April first, two thousand seventeen
and notwithstanding clause (i) of paragraph (d) of this subdivision, on
or before March tenth, two thousand seventeen, utility entities shall
make a payment equal to one-half of the assessment paid by such entities
pursuant to this paragraph for the state fiscal year beginning on April
first, two thousand sixteen. With respect to the Long Island power
authority, the temporary state energy and utility service conservation
assessment shall APPLY ONLY TO THE GROSS OPERATING REVENUES NOT EXEMPTED
IN PARAGRAPH (A) OF THIS SUBDIVISION AND SHALL be based upon the follow-
ing percentum of such authority's gross operating revenues derived from
intrastate utility operations in the last preceding calendar year, minus
the amount, if any, that such authority is assessed pursuant to subdivi-
sions one-a and two of this section for the corresponding state fiscal
year period: (1) one percentum for the state fiscal year beginning April
first, two thousand thirteen; [and] (2) 0.95 PERCENTUM FOR the state
fiscal year beginning April first, two thousand fourteen; [(2) three-
quarters of one] (3) 0.54 percentum for the state fiscal year beginning
April first, two thousand fifteen; and [(3) one-half] (4) 0.36 percentum
for the state fiscal year beginning April first, two thousand sixteen;
provided, however, that should the amount assessed by the department for
costs and expenses pursuant to such subdivisions equal or exceed such
authority's temporary state energy and utility service conservation
assessment for a particular fiscal year, the amount to be paid under
this subdivision by such authority shall be zero. A PAYMENT FOR SUCH
ASSESSMENT RECEIVED FOR THE STATE FISCAL YEAR BEGINNING APRIL FIRST, TWO
THOUSAND FOURTEEN AND THEREAFTER FOR ELECTRIC CUSTOMER ACCOUNTS WITH A
MONTHLY PEAK DEMAND OF ONE THOUSAND KILOWATTS OR MORE IN THE LAST
PRECEDING CALENDAR YEAR AS DETERMINED BY THE AUTHORITY'S TARIFF SHALL BE
CREDITED TO SUCH CUSTOMER BY THE AUTHORITY, NO LESS FREQUENTLY THAN
SEMI-ANNUALLY AND IN SUCH MANNER AND FORM AS MAY BE DETERMINED BY THE
AUTHORITY, IN CONSULTATION WITH THE DEPARTMENT. With respect to the
temporary state energy and utility service conservation assessment to be
paid for the state fiscal year beginning April first, two thousand
seventeen and notwithstanding clause (i) of paragraph (d) of this subdi-
vision, on or before March tenth, two thousand seventeen, the Long
Island power authority shall make a payment equal to one-half of the
assessment it paid for the state fiscal year beginning on April first,
two thousand sixteen. No corporation or person subject to the jurisdic-
S. 6357--A 60 A. 8557--A
tion of the commission only with respect to safety, or the power author-
ity of the state of New York, shall be subject to the temporary state
energy and utility service conservation assessment provided for under
this subdivision. Utility entities whose gross operating revenues from
intrastate utility operations are five hundred thousand dollars or less
in the preceding calendar year shall not be subject to the temporary
state energy and utility service conservation assessment. The minimum
temporary state energy and utility service conservation assessment to be
billed to any utility entity whose gross revenues from intrastate utili-
ty operations are in excess of five hundred thousand dollars in the
preceding calendar year shall be two hundred dollars.
S 2. This act shall take effect immediately and shall be deemed to
have been in full force and effect on and after April 1, 2014; provided,
however, that the amendments to subdivision 6 of section 18-a of the
public service law made by section one of this act shall not affect the
repeal of such subdivision and shall be deemed to be repealed therewith.
PART T
Section 1. The opening paragraph of section 5102 of the insurance law
is amended and a new subsection (n) is added to read as follows:
In this [chapter] ARTICLE:
(N) "PROVIDER OF HEALTH SERVICES" MEANS AN INDIVIDUAL OR ENTITY WHO OR
THAT RENDERS OR HAS RENDERED HEALTH SERVICES.
S 2. Section 5109 of the insurance law, as added by chapter 423 of the
laws of 2005, is amended to read as follows:
S 5109. Unauthorized providers of health services. (a) [The super-
intendent, in consultation with the commissioner of health and the
commissioner of education, shall by regulation, promulgate standards and
procedures for investigating and suspending or removing the authori-
zation for providers of health services to demand or request payment for
health services as specified in paragraph one of subsection (a) of
section five thousand one hundred two of this article upon findings
reached after investigation pursuant to this section. Such regulations
shall ensure the same or greater due process provisions, including
notice and opportunity to be heard, as those afforded physicians inves-
tigated under article two of the workers' compensation law and shall
include provision for notice to all providers of health services of the
provisions of this section and regulations promulgated thereunder at
least ninety days in advance of the effective date of such regulations]
AS USED IN THIS SECTION, "HEALTH SERVICES" MEANS SERVICES, SUPPLIES,
THERAPIES, OR OTHER TREATMENTS AS SPECIFIED IN SUBPARAGRAPH (I), (II),
OR (IV) OF PARAGRAPH ONE OF SUBSECTION (A) OF SECTION FIVE THOUSAND ONE
HUNDRED TWO OF THIS ARTICLE.
(b) [The commissioner of health and the commissioner of education
shall provide a list of the names of all providers of health services
who the commissioner of health and the commissioner of education shall
deem, after reasonable investigation, not authorized to demand or
request any payment for medical services in connection with any claim
under this article because such] THE SUPERINTENDENT MAY PROHIBIT A
provider of health services FROM DEMANDING OR REQUESTING PAYMENT FOR
HEALTH SERVICES RENDERED UNDER THIS ARTICLE, FOR A PERIOD SPECIFIED BY
THE SUPERINTENDENT, IF THE SUPERINTENDENT DETERMINES, AFTER NOTICE AND
HEARING, THAT THE PROVIDER OF HEALTH SERVICES:
(1) has ADMITTED TO, OR been FOUND guilty of, professional [or other]
misconduct [or incompetency], AS DEFINED IN THE EDUCATION LAW, in
S. 6357--A 61 A. 8557--A
connection with [medical] HEALTH services rendered under this article;
[or]
(2) [has exceeded the limits of his or her professional competence in
rendering medical care under this article or] has knowingly made a false
statement or representation as to a material fact in any medical report
made, OR DOCUMENT SUBMITTED, in connection with any claim under this
article; or
(3) solicited, or [has] employed another PERSON to solicit for
[himself or herself] THE PROVIDER OF HEALTH SERVICES or [for] another
INDIVIDUAL OR ENTITY, professional treatment, examination or care of [an
injured] A person in connection with any claim under this article; [or]
(4) [has] refused to appear before, or [to] answer ANY QUESTION upon
request of, the [commissioner of health, the] superintendent[,] or any
duly authorized officer of [the] THIS state, [any legal question,] or
REFUSED to produce any relevant information concerning [his or her] THE
conduct OF THE PROVIDER OF HEALTH SERVICES in connection with [rendering
medical] HEALTH services RENDERED under this article; [or]
(5) [has] engaged in [patterns] A PATTERN of billing for:
(A) HEALTH services [which] ALLEGED TO HAVE BEEN RENDERED UNDER THIS
ARTICLE, WHEN THE HEALTH SERVICES were not [provided.] RENDERED; OR
(B) UNNECESSARY HEALTH SERVICES;
(6) UTILIZED UNLICENSED PERSONS TO RENDER HEALTH SERVICES UNDER THIS
ARTICLE, WHEN ONLY A PERSON LICENSED IN THIS STATE MAY RENDER THE HEALTH
SERVICES;
(7) UTILIZED LICENSED PERSONS TO RENDER HEALTH SERVICES, WHEN RENDER-
ING THE HEALTH SERVICES IS BEYOND THE AUTHORIZED SCOPE OF THE PERSON'S
LICENSE;
(8) DIRECTLY OR INDIRECTLY CEDED OWNERSHIP OR CONTROL OF A BUSINESS
ENTITY AUTHORIZED TO PROVIDE PROFESSIONAL HEALTH SERVICES IN THIS STATE,
INCLUDING A PROFESSIONAL SERVICE CORPORATION, PROFESSIONAL LIMITED
LIABILITY COMPANY, OR REGISTERED LIMITED LIABILITY PARTNERSHIP, TO A
PERSON NOT LICENSED TO RENDER THE HEALTH SERVICES WHICH THE ENTITY IS
LEGALLY AUTHORIZED TO PROVIDE, EXCEPT WHERE THE UNLICENSED PERSON'S
OWNERSHIP OR CONTROL IS OTHERWISE PERMITTED BY LAW;
(9) HAS BEEN CONVICTED OF OR PLED GUILTY TO ANY CRIME OR VIOLATION OF
THE PENAL LAW IN CONNECTION WITH HEALTH SERVICES RENDERED UNDER THIS
ARTICLE;
(10) HAS BEEN CONVICTED OF A CRIME INVOLVING FRAUDULENT OR DISHONEST
PRACTICES; OR
(11) VIOLATED ANY PROVISION OF THIS ARTICLE OR REGULATIONS PROMULGATED
THEREUNDER.
(c) [Providers] A PROVIDER of health services shall [refrain from
subsequently treating for remuneration, as a private patient, any person
seeking medical treatment] NOT DEMAND OR REQUEST PAYMENT FROM THE
PATIENT, ANY INSURER, OR ANY OTHER PERSON FOR ANY HEALTH SERVICES under
this article [if such provider pursuant to this section has been prohib-
ited from demanding or requesting any payment for medical services under
this article. An injured claimant so treated or examined may raise this
as] THAT ARE RENDERED DURING THE TERM OF THE PROHIBITION ORDERED BY THE
SUPERINTENDENT PURSUANT TO SUBSECTION (B) OF THIS SECTION. THE PROHIBI-
TION ORDERED BY THE SUPERINTENDENT MAY BE a defense in any action by
[such] THE provider OF HEALTH SERVICES for payment for [treatment
rendered at any time after such provider has been prohibited from
demanding or requesting payment for medical services in connection with
any claim under this article] SUCH HEALTH SERVICES.
S. 6357--A 62 A. 8557--A
(d) The [commissioner of health and the commissioner of education]
SUPERINTENDENT shall maintain [and regularly update] a database contain-
ing a list of providers of health services prohibited by this section
from demanding or requesting any payment for health services [connected
to a claim] RENDERED under this article and shall make [such] THE infor-
mation available to the public [by means of a website and by a toll free
number].
(e) THE SUPERINTENDENT MAY LEVY A CIVIL PENALTY NOT EXCEEDING TEN
THOUSAND DOLLARS FOR EACH OFFENSE ON ANY PROVIDER OF HEALTH SERVICES
THAT THE SUPERINTENDENT PROHIBITS FROM DEMANDING OR REQUESTING PAYMENT
FOR HEALTH SERVICES PURSUANT TO SUBSECTION (B) OF THIS SECTION. ANY
CIVIL PENALTY IMPOSED FOR A FRAUDULENT INSURANCE ACT AS DEFINED IN
SECTION 176.05 OF THE PENAL LAW SHALL BE LEVIED PURSUANT TO ARTICLE FOUR
OF THIS CHAPTER.
(F) Nothing in this section shall be construed as limiting in any
respect the powers and duties of the commissioner of health, commission-
er of education or the superintendent to investigate instances of
misconduct by a [health care] provider [and, after a hearing and upon
written notice to the provider, to temporarily prohibit a provider of
health services under such investigation from demanding or requesting
any payment for medical services under this article for up to ninety
days from the date of such notice] OF HEALTH SERVICES AND TAKE APPROPRI-
ATE ACTION PURSUANT TO ANY OTHER PROVISION OF LAW. A DETERMINATION OF
THE SUPERINTENDENT PURSUANT TO SUBSECTION (B) OF THIS SECTION SHALL NOT
BE BINDING UPON THE COMMISSIONER OF HEALTH OR COMMISSIONER OF EDUCATION
IN A PROFESSIONAL DISCIPLINE PROCEEDING RELATING TO THE SAME CONDUCT.
S 3. Paragraph 1 of subsection (a) of section 308 of the insurance
law, as amended by chapter 499 of the laws of 2009, is amended to read
as follows:
(1) The superintendent may also address to any health maintenance
organization, life settlement provider, life settlement intermediary or
its officers, ANY PROVIDER OF HEALTH SERVICES WHO DEMANDS OR REQUESTS
PAYMENT FOR HEALTH SERVICES RENDERED UNDER ARTICLE FIFTY-ONE OF THIS
CHAPTER, or any authorized insurer or rate service organization, or
officers thereof, any inquiry in relation to its transactions or condi-
tion or any matter connected therewith. Every corporation or person so
addressed shall reply in writing to such inquiry promptly and truthful-
ly, and such reply shall be, if required by the superintendent,
subscribed by such individual, or by such officer or officers of a
corporation, as the superintendent shall designate, and affirmed by them
as true under the penalties of perjury.
S 4. The insurance law is amended by adding a new section 5110 to read
as follows:
S 5110. EXAMINATIONS OF PROVIDERS OF HEALTH SERVICES; WHEN AUTHORIZED
OR REQUIRED. (A) THE SUPERINTENDENT MAY MAKE AN EXAMINATION, INCLUDING
AN AUDIT OR UNANNOUNCED INSPECTION, INTO THE AFFAIRS OF ANY PROVIDER OF
HEALTH SERVICES THAT DEMANDS OR REQUESTS PAYMENT FOR HEALTH SERVICES
RENDERED UNDER THIS ARTICLE AS OFTEN AS THE SUPERINTENDENT DEEMS IT
EXPEDIENT FOR THE PROTECTION OF THE INTERESTS OF THE PEOPLE OF THIS
STATE. AS USED IN THIS SECTION, "HEALTH SERVICES" MEANS SERVICES,
SUPPLIES, THERAPIES, OR OTHER TREATMENTS AS SPECIFIED IN SUBPARAGRAPH
(I), (II), OR (IV) OF PARAGRAPH ONE OF SUBSECTION (A) OF SECTION FIVE
THOUSAND ONE HUNDRED TWO OF THIS ARTICLE.
(B)(1) WHENEVER THE SUPERINTENDENT SHALL DETERMINE TO EXAMINE THE
AFFAIRS OF ANY PROVIDER OF HEALTH SERVICES, THE SUPERINTENDENT SHALL
MAKE AN ORDER INDICATING THE SCOPE OF THE EXAMINATION AND MAY APPOINT AS
S. 6357--A 63 A. 8557--A
EXAMINERS ONE OR MORE PERSONS NOT EMPLOYED BY ANY PROVIDER OF HEALTH
SERVICES OR INSURER OR INTERESTED IN ANY PROVIDER OF HEALTH SERVICES OR
INSURER, EXCEPT AS A POLICYHOLDER. A COPY OF SUCH ORDER SHALL UPON
DEMAND BE EXHIBITED TO THE PROVIDER OF HEALTH SERVICES WHOSE AFFAIRS ARE
TO BE EXAMINED BEFORE THE EXAMINATION BEGINS.
(2) ANY EXAMINER AUTHORIZED BY THE SUPERINTENDENT SHALL BE GIVEN
CONVENIENT ACCESS AT ALL REASONABLE HOURS TO THE BOOKS, RECORDS, FILES,
SECURITIES AND OTHER DOCUMENTS OF SUCH PROVIDER OF HEALTH SERVICES THAT
ARE RELEVANT TO THE EXAMINATION, AND SHALL HAVE POWER TO ADMINISTER
OATHS AND TO EXAMINE UNDER OATH ANY OFFICER OR AGENT OF SUCH PROVIDER OF
HEALTH SERVICES, AND ANY OTHER PERSON HAVING CUSTODY OR CONTROL OF SUCH
DOCUMENTS, REGARDING ANY MATTER RELEVANT TO THE EXAMINATION.
(3) THE OFFICERS AND AGENTS OF SUCH PROVIDER OF HEALTH SERVICES SHALL
FACILITATE SUCH EXAMINATION AND AID SUCH EXAMINERS IN CONDUCTING THE
SAME SO FAR AS IT IS IN THEIR POWER TO DO SO.
(4) THE REFUSAL OF ANY PROVIDER OF HEALTH SERVICES TO SUBMIT TO EXAM-
INATION SHALL BE GROUNDS FOR THE SUPERINTENDENT PROHIBITING THE PROVIDER
OF HEALTH SERVICES FROM DEMANDING OR REQUESTING PAYMENT FOR HEALTH
SERVICES RENDERED UNDER THIS ARTICLE PURSUANT TO SECTION FIVE THOUSAND
ONE HUNDRED NINE OF THIS ARTICLE.
(5) AN EXAMINATION SHALL BE CONDUCTED CONSISTENT WITH ALL APPLICABLE
STATE AND FEDERAL PRIVACY LAWS.
(6) THIS SECTION SHALL NOT APPLY TO A GENERAL HOSPITAL, AS DEFINED IN
SUBDIVISION TEN OF SECTION TWO THOUSAND EIGHT HUNDRED ONE OF THE PUBLIC
HEALTH LAW, OR A PROVIDER OF HEALTH SERVICES THAT SUBMITTED LESS THAN
FIFTY CLAIMS IN THE PRIOR CALENDAR YEAR FOR HEALTH SERVICES RENDERED
UNDER THIS ARTICLE.
S 5. This act shall take effect immediately; provided, however, that
sections one and two of this act shall take effect on the sixtieth day
after it shall have become a law.
PART U
Section 1. Paragraphs 11, 12, 13, 14, 16 and 17 of subsection (a) of
section 3217-a of the insurance law, as added by chapter 705 of the laws
of 1996, are amended and four new paragraphs 16-a, 18, 19 and 20 are
added to read as follows:
(11) where applicable, notice that an insured enrolled in a managed
care product OR IN A COMPREHENSIVE POLICY THAT UTILIZES A NETWORK OF
PROVIDERS offered by the insurer may obtain a referral [to] OR PREAU-
THORIZATION FOR a health care provider outside of the insurer's network
or panel when the insurer does not have a health care provider [with]
WHO IS GEOGRAPHICALLY ACCESSIBLE TO THE INSURED AND WHO HAS THE appro-
priate ESSENTIAL LEVEL OF training and experience in the network or
panel to meet the particular health care needs of the insured and the
procedure by which the insured can obtain such referral OR PREAUTHORI-
ZATION;
(12) where applicable, notice that an insured enrolled in a managed
care product OR A COMPREHENSIVE POLICY THAT UTILIZES A NETWORK OF
PROVIDERS offered by the insurer with a condition which requires ongoing
care from a specialist may request a standing referral to such a
specialist and the procedure for requesting and obtaining such a stand-
ing referral;
(13) where applicable, notice that an insured enrolled in a managed
care product OR A COMPREHENSIVE POLICY THAT UTILIZES A NETWORK OF
PROVIDERS offered by the insurer with [(i)] (A) a life-threatening
S. 6357--A 64 A. 8557--A
condition or disease, or [(ii)] (B) a degenerative and disabling condi-
tion or disease, either of which requires specialized medical care over
a prolonged period of time may request a specialist responsible for
providing or coordinating the insured's medical care and the procedure
for requesting and obtaining such a specialist;
(14) where applicable, notice that an insured enrolled in a managed
care product OR A COMPREHENSIVE POLICY THAT UTILIZES A NETWORK OF
PROVIDERS offered by the insurer with [(i)] (A) a life-threatening
condition or disease, or [(ii)] (B) a degenerative and disabling condi-
tion or disease, either of which requires specialized medical care over
a prolonged period of time, may request access to a specialty care
center and the procedure by which such access may be obtained;
(16) notice of all appropriate mailing addresses and telephone numbers
to be utilized by insureds seeking information or authorization; [and]
(16-A) WHERE APPLICABLE, NOTICE THAT AN INSURED SHALL HAVE DIRECT
ACCESS TO PRIMARY AND PREVENTIVE OBSTETRIC AND GYNECOLOGIC SERVICES,
INCLUDING ANNUAL EXAMINATIONS, CARE RESULTING FROM SUCH ANNUAL EXAMINA-
TIONS, AND TREATMENT OF ACUTE GYNECOLOGIC CONDITIONS, FROM A QUALIFIED
PROVIDER OF SUCH SERVICES OF HER CHOICE FROM WITHIN THE PLAN OR FOR ANY
CARE RELATED TO A PREGNANCY;
(17) where applicable, a listing by specialty, which may be in a sepa-
rate document that is updated annually, of the name, address, and tele-
phone number of all participating providers, including facilities, and
in addition, in the case of physicians, board certification[.],
LANGUAGES SPOKEN AND ANY AFFILIATIONS WITH PARTICIPATING HOSPITALS. THE
LISTING SHALL ALSO BE POSTED ON THE INSURER'S WEBSITE AND THE INSURER
SHALL UPDATE THE WEBSITE WITHIN FIFTEEN DAYS OF THE ADDITION OR TERMI-
NATION OF A PROVIDER FROM THE INSURER'S NETWORK OR A CHANGE IN A PHYSI-
CIAN'S HOSPITAL AFFILIATION;
(18) A DESCRIPTION OF THE METHOD BY WHICH AN INSURED MAY SUBMIT A
CLAIM FOR HEALTH CARE SERVICES;
(19) WHERE APPLICABLE, WITH RESPECT TO OUT-OF-NETWORK COVERAGE:
(A) A CLEAR DESCRIPTION OF THE METHODOLOGY USED BY THE INSURER TO
DETERMINE REIMBURSEMENT FOR OUT-OF-NETWORK HEALTH CARE SERVICES;
(B) A DESCRIPTION OF THE AMOUNT THAT THE INSURER WILL REIMBURSE UNDER
THE METHODOLOGY FOR OUT-OF-NETWORK HEALTH CARE SERVICES SET FORTH AS A
PERCENTAGE OF THE USUAL AND CUSTOMARY COST FOR OUT-OF-NETWORK HEALTH
CARE SERVICES; AND
(C) EXAMPLES OF ANTICIPATED OUT-OF-POCKET COSTS FOR FREQUENTLY BILLED
OUT-OF-NETWORK HEALTH CARE SERVICES; AND
(20) INFORMATION IN WRITING AND THROUGH AN INTERNET WEBSITE THAT
REASONABLY PERMITS AN INSURED OR PROSPECTIVE INSURED TO DETERMINE THE
ANTICIPATED OUT-OF-POCKET COST FOR OUT-OF-NETWORK HEALTH CARE SERVICES
IN A GEOGRAPHICAL AREA OR ZIP CODE BASED UPON THE DIFFERENCE BETWEEN
WHAT THE INSURER WILL REIMBURSE FOR OUT-OF-NETWORK HEALTH CARE SERVICES
AND THE USUAL AND CUSTOMARY COST FOR OUT-OF-NETWORK HEALTH CARE
SERVICES.
S 2. Paragraphs 11 and 12 of subsection (b) of section 3217-a of the
insurance law, as added by chapter 705 of the laws of 1996, are amended
and two new paragraphs 13 and 14 are added to read as follows:
(11) where applicable, provide the written application procedures and
minimum qualification requirements for health care providers to be
considered by the insurer for participation in the insurer's network for
a managed care product; [and]
S. 6357--A 65 A. 8557--A
(12) disclose such other information as required by the superinten-
dent, provided that such requirements are promulgated pursuant to the
state administrative procedure act[.];
(13) DISCLOSE WHETHER A HEALTH CARE PROVIDER SCHEDULED TO PROVIDE A
HEALTH CARE SERVICE IS AN IN-NETWORK PROVIDER; AND
(14) WHERE APPLICABLE, WITH RESPECT TO OUT-OF-NETWORK COVERAGE,
DISCLOSE THE DOLLAR AMOUNT THAT THE INSURER WILL PAY FOR A SPECIFIC
OUT-OF-NETWORK HEALTH CARE SERVICE.
S 3. Section 3217-a of the insurance law is amended by adding a new
subsection (f) to read as follows:
(F) FOR PURPOSES OF THIS SECTION, "USUAL AND CUSTOMARY COST" SHALL
MEAN THE EIGHTIETH PERCENTILE OF ALL CHARGES FOR THE PARTICULAR HEALTH
CARE SERVICE PERFORMED BY A PROVIDER IN THE SAME OR SIMILAR SPECIALTY
AND PROVIDED IN THE SAME GEOGRAPHICAL AREA AS REPORTED IN A BENCHMARKING
DATABASE MAINTAINED BY A NONPROFIT ORGANIZATION SPECIFIED BY THE SUPER-
INTENDENT. THE NONPROFIT ORGANIZATION SHALL NOT BE AFFILIATED WITH AN
INSURER, A CORPORATION SUBJECT TO ARTICLE FORTY-THREE OF THIS CHAPTER, A
MUNICIPAL COOPERATIVE HEALTH BENEFIT PLAN CERTIFIED PURSUANT TO ARTICLE
FORTY-SEVEN OF THIS CHAPTER, OR A HEALTH MAINTENANCE ORGANIZATION CERTI-
FIED PURSUANT TO ARTICLE FORTY-FOUR OF THE PUBLIC HEALTH LAW.
S 4. Section 3217-d of the insurance law is amended by adding a new
subsection (d) to read as follows:
(D) AN INSURER THAT ISSUES A COMPREHENSIVE POLICY THAT UTILIZES A
NETWORK OF PROVIDERS AND IS NOT A MANAGED CARE HEALTH INSURANCE CONTRACT
AS DEFINED IN SUBSECTION (C) OF SECTION FOUR THOUSAND EIGHT HUNDRED ONE
OF THIS CHAPTER, SHALL PROVIDE ACCESS TO OUT-OF-NETWORK SERVICES
CONSISTENT WITH THE REQUIREMENTS OF SUBSECTION (A) OF SECTION FOUR THOU-
SAND EIGHT HUNDRED FOUR OF THIS CHAPTER, SUBSECTIONS (G-6) AND (G-7) OF
SECTION FOUR THOUSAND NINE HUNDRED OF THIS CHAPTER, SUBSECTIONS (A-1)
AND (A-2) OF SECTION FOUR THOUSAND NINE HUNDRED FOUR OF THIS CHAPTER,
PARAGRAPHS THREE AND FOUR OF SUBSECTION (B) OF SECTION FOUR THOUSAND
NINE HUNDRED TEN OF THIS CHAPTER, AND SUBPARAGRAPHS (C) AND (D) OF PARA-
GRAPH FOUR OF SUBSECTION (B) OF SECTION FOUR THOUSAND NINE HUNDRED FOUR-
TEEN OF THIS CHAPTER.
S 5. Section 3224-a of the insurance law is amended by adding a new
subsection (j) to read as follows:
(J) AN INSURER OR AN ORGANIZATION OR CORPORATION LICENSED OR CERTIFIED
PURSUANT TO ARTICLE FORTY-THREE OR FORTY-SEVEN OF THIS CHAPTER OR ARTI-
CLE FORTY-FOUR OF THE PUBLIC HEALTH LAW OR A STUDENT HEALTH PLAN ESTAB-
LISHED OR MAINTAINED PURSUANT TO SECTION ONE THOUSAND ONE HUNDRED TWEN-
TY-FOUR OF THIS CHAPTER SHALL ACCEPT CLAIMS SUBMITTED BY A POLICYHOLDER
OR COVERED PERSON, IN WRITING, INCLUDING THROUGH THE INTERNET, BY ELEC-
TRONIC MAIL OR BY FACSIMILE.
S 6. The insurance law is amended by adding a new section 3241 to read
as follows:
S 3241. NETWORK COVERAGE. (A) AN INSURER, A CORPORATION ORGANIZED
PURSUANT TO ARTICLE FORTY-THREE OF THIS CHAPTER, A MUNICIPAL COOPERATIVE
HEALTH BENEFIT PLAN CERTIFIED PURSUANT TO ARTICLE FORTY-SEVEN OF THIS
CHAPTER, OR A STUDENT HEALTH PLAN ESTABLISHED OR MAINTAINED PURSUANT TO
SECTION ONE THOUSAND ONE HUNDRED TWENTY-FOUR OF THIS CHAPTER, THAT
ISSUES A HEALTH INSURANCE POLICY OR CONTRACT WITH A NETWORK OF HEALTH
CARE PROVIDERS SHALL ENSURE THAT THE NETWORK IS ADEQUATE TO MEET THE
HEALTH NEEDS OF INSUREDS AND PROVIDE AN APPROPRIATE CHOICE OF PROVIDERS
SUFFICIENT TO RENDER THE SERVICES COVERED UNDER THE POLICY OR CONTRACT.
THE SUPERINTENDENT SHALL REVIEW THE NETWORK OF HEALTH CARE PROVIDERS FOR
ADEQUACY AT THE TIME OF THE SUPERINTENDENT'S INITIAL APPROVAL OF A
S. 6357--A 66 A. 8557--A
HEALTH INSURANCE POLICY OR CONTRACT; AT LEAST EVERY THREE YEARS THERE-
AFTER; AND UPON APPLICATION FOR EXPANSION OF ANY SERVICE AREA ASSOCIATED
WITH THE POLICY OR CONTRACT IN CONFORMANCE WITH THE STANDARDS SET FORTH
IN SUBDIVISION FIVE OF SECTION FOUR THOUSAND FOUR HUNDRED THREE OF THE
PUBLIC HEALTH LAW. TO THE EXTENT THAT THE NETWORK HAS BEEN DETERMINED
BY THE COMMISSIONER OF HEALTH TO MEET THE STANDARDS SET FORTH IN SUBDI-
VISION FIVE OF SECTION FOUR THOUSAND FOUR HUNDRED THREE OF THE PUBLIC
HEALTH LAW, SUCH NETWORK SHALL BE DEEMED ADEQUATE BY THE SUPERINTENDENT.
(B)(1) AN INSURER, A CORPORATION ORGANIZED PURSUANT TO ARTICLE FORTY-
THREE OF THIS CHAPTER, A MUNICIPAL COOPERATIVE HEALTH BENEFIT PLAN
CERTIFIED PURSUANT TO ARTICLE FORTY-SEVEN OF THIS CHAPTER, A HEALTH
MAINTENANCE ORGANIZATION CERTIFIED PURSUANT TO ARTICLE FORTY-FOUR OF THE
PUBLIC HEALTH LAW OR A STUDENT HEALTH PLAN ESTABLISHED OR MAINTAINED
PURSUANT TO SECTION ONE THOUSAND ONE HUNDRED TWENTY-FOUR OF THIS CHAP-
TER, THAT ISSUES A COMPREHENSIVE GROUP OR GROUP REMITTANCE HEALTH INSUR-
ANCE POLICY OR CONTRACT THAT COVERS OUT-OF-NETWORK HEALTH CARE SERVICES
SHALL MAKE AVAILABLE AND, IF REQUESTED BY THE POLICYHOLDER OR CONTRACT-
HOLDER, PROVIDE COVERAGE FOR AT LEAST SEVENTY PERCENT OF THE USUAL AND
CUSTOMARY COST OF EACH OUT-OF-NETWORK HEALTH CARE SERVICE AFTER IMPOSI-
TION OF A DEDUCTIBLE OR ANY PERMISSIBLE BENEFIT MAXIMUM.
(2) FOR THE PURPOSES OF THIS SUBSECTION, "USUAL AND CUSTOMARY COST"
SHALL MEAN THE EIGHTIETH PERCENTILE OF ALL CHARGES FOR THE PARTICULAR
HEALTH CARE SERVICE PERFORMED BY A PROVIDER IN THE SAME OR SIMILAR
SPECIALTY AND PROVIDED IN THE SAME GEOGRAPHICAL AREA AS REPORTED IN A
BENCHMARKING DATABASE MAINTAINED BY A NONPROFIT ORGANIZATION SPECIFIED
BY THE SUPERINTENDENT. THE NONPROFIT ORGANIZATION SHALL NOT BE AFFIL-
IATED WITH AN INSURER, A CORPORATION SUBJECT TO ARTICLE FORTY-THREE OF
THIS CHAPTER, A MUNICIPAL COOPERATIVE HEALTH BENEFIT PLAN CERTIFIED
PURSUANT TO ARTICLE FORTY-SEVEN OF THIS CHAPTER, A HEALTH MAINTENANCE
ORGANIZATION CERTIFIED PURSUANT TO ARTICLE FORTY-FOUR OF THE PUBLIC
HEALTH LAW OR A STUDENT HEALTH PLAN ESTABLISHED OR MAINTAINED PURSUANT
TO SECTION ONE THOUSAND ONE HUNDRED TWENTY-FOUR OF THIS CHAPTER.
(3) THIS SUBSECTION SHALL NOT APPLY TO EMERGENCY CARE SERVICES IN
HOSPITAL FACILITIES OR PREHOSPITAL EMERGENCY MEDICAL SERVICES AS DEFINED
IN CLAUSE (I) OF SUBPARAGRAPH (E) OF PARAGRAPH TWENTY-FOUR OF SUBSECTION
(I) OF SECTION THREE THOUSAND TWO HUNDRED SIXTEEN OF THIS ARTICLE, OR
CLAUSE (I) OF SUBPARAGRAPH (E) OF PARAGRAPH FIFTEEN OF SUBSECTION (L) OF
SECTION THREE THOUSAND TWO HUNDRED TWENTY-ONE OF THIS CHAPTER, OR
SUBPARAGRAPH (A) OF PARAGRAPH FIVE OF SUBSECTION (AA) OF SECTION FOUR
THOUSAND THREE HUNDRED THREE OF THIS CHAPTER.
(4) NOTHING IN THIS SUBSECTION SHALL LIMIT THE SUPERINTENDENT'S
AUTHORITY PURSUANT TO SECTION THREE THOUSAND TWO HUNDRED SEVENTEEN OF
THIS ARTICLE TO ESTABLISH MINIMUM STANDARDS FOR THE FORM, CONTENT AND
SALE OF ACCIDENT AND HEALTH INSURANCE POLICIES AND SUBSCRIBER CONTRACTS,
TO REQUIRE ADDITIONAL COVERAGE OPTIONS FOR OUT-OF-NETWORK SERVICES, OR
TO PROVIDE FOR STANDARDIZATION AND SIMPLIFICATION OF COVERAGE.
(C) WHEN AN INSURED OR ENROLLEE UNDER A CONTRACT OR POLICY THAT
PROVIDES COVERAGE FOR EMERGENCY SERVICES RECEIVES THE SERVICES FROM A
HEALTH CARE PROVIDER THAT DOES NOT PARTICIPATE IN THE PROVIDER NETWORK
OF AN INSURER, A CORPORATION ORGANIZED PURSUANT TO ARTICLE FORTY-THREE
OF THIS CHAPTER, A MUNICIPAL COOPERATIVE HEALTH BENEFIT PLAN CERTIFIED
PURSUANT TO ARTICLE FORTY-SEVEN OF THIS CHAPTER, A HEALTH MAINTENANCE
ORGANIZATION CERTIFIED PURSUANT TO ARTICLE FORTY-FOUR OF THE PUBLIC
HEALTH LAW, OR A STUDENT HEALTH PLAN ESTABLISHED OR MAINTAINED PURSUANT
TO SECTION ONE THOUSAND ONE HUNDRED TWENTY-FOUR OF THIS CHAPTER ("HEALTH
CARE PLAN"), THE HEALTH CARE PLAN SHALL ENSURE THAT THE INSURED OR
S. 6357--A 67 A. 8557--A
ENROLLEE SHALL INCUR NO GREATER OUT-OF-POCKET COSTS FOR THE EMERGENCY
SERVICES THAN THE INSURED OR ENROLLEE WOULD HAVE INCURRED WITH A HEALTH
CARE PROVIDER THAT PARTICIPATES IN THE HEALTH CARE PLAN'S PROVIDER
NETWORK. FOR THE PURPOSE OF THIS SECTION, "EMERGENCY SERVICES" SHALL
HAVE THE MEANING SET FORTH IN SUBPARAGRAPH (D) OF PARAGRAPH NINE OF
SUBSECTION (I) OF SECTION THREE THOUSAND TWO HUNDRED SIXTEEN OF THIS
ARTICLE, SUBPARAGRAPH (D) OF PARAGRAPH FOUR OF SUBSECTION (K) OF SECTION
THREE THOUSAND TWO HUNDRED TWENTY-ONE OF THIS ARTICLE, AND SUBPARAGRAPH
(D) OF PARAGRAPH TWO OF SUBSECTION (A) OF SECTION FOUR THOUSAND THREE
HUNDRED THREE OF THIS CHAPTER.
S 7. Section 4306-c of the insurance law is amended by adding a new
subsection (d) to read as follows:
(D) A CORPORATION, INCLUDING A MUNICIPAL COOPERATIVE HEALTH BENEFIT
PLAN CERTIFIED PURSUANT TO ARTICLE FORTY-SEVEN OF THIS CHAPTER AND A
STUDENT HEALTH PLAN ESTABLISHED OR MAINTAINED PURSUANT TO SECTION ONE
THOUSAND ONE HUNDRED TWENTY-FOUR OF THIS CHAPTER, THAT ISSUES A COMPRE-
HENSIVE POLICY THAT UTILIZES A NETWORK OF PROVIDERS AND IS NOT A MANAGED
CARE HEALTH INSURANCE CONTRACT AS DEFINED IN SUBSECTION (C) OF SECTION
FOUR THOUSAND EIGHT HUNDRED ONE OF THIS CHAPTER, SHALL PROVIDE ACCESS TO
OUT-OF-NETWORK SERVICES CONSISTENT WITH THE REQUIREMENTS OF SUBSECTION
(A) OF SECTION FOUR THOUSAND EIGHT HUNDRED FOUR OF THIS CHAPTER,
SUBSECTIONS (G-6) AND (G-7) OF SECTION FOUR THOUSAND NINE HUNDRED OF
THIS CHAPTER, SUBSECTIONS (A-1) AND (A-2) OF SECTION FOUR THOUSAND NINE
HUNDRED FOUR OF THIS CHAPTER, PARAGRAPHS THREE AND FOUR OF SUBSECTION
(B) OF SECTION FOUR THOUSAND NINE HUNDRED TEN OF THIS CHAPTER, AND
SUBPARAGRAPHS (C) AND (D) OF PARAGRAPH FOUR OF SUBSECTION (B) OF SECTION
FOUR THOUSAND NINE HUNDRED FOURTEEN OF THIS CHAPTER.
S 8. Paragraphs 11, 12, 13, 14, 16-a, 17, and 18 of subsection (a) of
section 4324 of the insurance law, paragraphs 11, 12, 13, 14, 17 and 18
as added by chapter 705 of the laws of 1996, paragraph 16-a as added by
chapter 554 of the laws of 2002, are amended and three new paragraphs
19, 20 and 21 are added to read as follows:
(11) where applicable, notice that a subscriber enrolled in a managed
care product OR IN A COMPREHENSIVE CONTRACT THAT UTILIZES A NETWORK OF
PROVIDERS offered by the corporation may obtain a referral [to] OR
PREAUTHORIZATION FOR a health care provider outside of the corporation's
network or panel when the corporation does not have a health care
provider [with] WHO IS GEOGRAPHICALLY ACCESSIBLE TO THE INSURED AND WHO
HAS THE appropriate ESSENTIAL LEVEL OF training and experience in the
network or panel to meet the particular health care needs of the
subscriber and the procedure by which the subscriber can obtain such
referral OR PREAUTHORIZATION;
(12) where applicable, notice that a subscriber enrolled in a managed
care product OR A COMPREHENSIVE CONTRACT THAT UTILIZES A NETWORK OF
PROVIDERS offered by the corporation with a condition which requires
ongoing care from a specialist may request a standing referral to such a
specialist and the procedure for requesting and obtaining such a stand-
ing referral;
(13) where applicable, notice that a subscriber enrolled in a managed
care product OR A COMPREHENSIVE CONTRACT THAT UTILIZES A NETWORK OF
PROVIDERS offered by the corporation with (i) a life-threatening condi-
tion or disease, or (ii) a degenerative and disabling condition or
disease, either of which requires specialized medical care over a
prolonged period of time may request a specialist responsible for
providing or coordinating the subscriber's medical care and the proce-
dure for requesting and obtaining such a specialist;
S. 6357--A 68 A. 8557--A
(14) where applicable, notice that a subscriber enrolled in a managed
care product OR A COMPREHENSIVE CONTRACT THAT UTILIZES A NETWORK OF
PROVIDERS offered by the corporation with [(i)] (A) a life-threatening
condition or disease, or [(ii)] (B) a degenerative and disabling condi-
tion or disease, either of which requires specialized medical care over
a prolonged period of time may request access to a specialty care center
and the procedure by which such access may be obtained;
(16-a) where applicable, notice that an enrollee shall have direct
access to primary and preventive obstetric and gynecologic services,
INCLUDING ANNUAL EXAMINATIONS, CARE RESULTING FROM SUCH ANNUAL EXAMINA-
TIONS, AND TREATMENT OF ACUTE GYNECOLOGIC CONDITIONS, from a qualified
provider of such services of her choice from within the plan [for no
fewer than two examinations annually for such services] or [to] FOR any
care related to A pregnancy [and that additionally, the enrollee shall
have direct access to primary and preventive obstetric and gynecologic
services required as a result of such annual examinations or as a result
of an acute gynecologic condition];
(17) where applicable, a listing by specialty, which may be in a sepa-
rate document that is updated annually, of the name, address, and tele-
phone number of all participating providers, including facilities, and
in addition, in the case of physicians, board certification[; and],
LANGUAGES SPOKEN AND ANY AFFILIATIONS WITH PARTICIPATING HOSPITALS. THE
LISTING SHALL ALSO BE POSTED ON THE CORPORATION'S WEBSITE AND THE CORPO-
RATION SHALL UPDATE THE WEBSITE WITHIN FIFTEEN DAYS OF THE ADDITION OR
TERMINATION OF A PROVIDER FROM THE CORPORATION'S NETWORK OR A CHANGE IN
A PHYSICIAN'S HOSPITAL AFFILIATION;
(18) a description of the mechanisms by which subscribers may partic-
ipate in the development of the policies of the corporation[.];
(19) A DESCRIPTION OF THE METHOD BY WHICH A SUBSCRIBER MAY SUBMIT A
CLAIM FOR HEALTH CARE SERVICES;
(20) WHERE APPLICABLE, WITH RESPECT TO OUT-OF-NETWORK COVERAGE:
(A) A CLEAR DESCRIPTION OF THE METHODOLOGY USED BY THE CORPORATION TO
DETERMINE REIMBURSEMENT FOR OUT-OF-NETWORK HEALTH CARE SERVICES;
(B) A DESCRIPTION OF THE AMOUNT THAT THE CORPORATION WILL REIMBURSE
UNDER THE METHODOLOGY FOR OUT-OF-NETWORK HEALTH CARE SERVICES SET FORTH
AS A PERCENTAGE OF THE USUAL AND CUSTOMARY COST FOR OUT-OF-NETWORK
HEALTH CARE SERVICES; AND
(C) EXAMPLES OF ANTICIPATED OUT-OF-POCKET COSTS FOR FREQUENTLY BILLED
OUT-OF-NETWORK HEALTH CARE SERVICES; AND
(21) INFORMATION IN WRITING AND THROUGH AN INTERNET WEBSITE THAT
REASONABLY PERMITS A SUBSCRIBER OR PROSPECTIVE SUBSCRIBER TO DETERMINE
THE ANTICIPATED OUT-OF-POCKET COST FOR OUT-OF-NETWORK HEALTH CARE
SERVICES IN A GEOGRAPHICAL AREA OR ZIP CODE BASED UPON THE DIFFERENCE
BETWEEN WHAT THE CORPORATION WILL REIMBURSE FOR OUT-OF-NETWORK HEALTH
CARE SERVICES AND THE USUAL AND CUSTOMARY COST FOR OUT-OF-NETWORK HEALTH
CARE SERVICES.
S 9. Paragraphs 11 and 12 of subsection (b) of section 4324 of the
insurance law, as added by chapter 705 of the laws of 1996, are amended
and two new paragraphs 13 and 14 are added to read as follows:
(11) where applicable, provide the written application procedures and
minimum qualification requirements for health care providers to be
considered by the corporation for participation in the corporation's
network for a managed care product; [and]
(12) disclose such other information as required by the superinten-
dent, provided that such requirements are promulgated pursuant to the
state administrative procedure act[.];
S. 6357--A 69 A. 8557--A
(13) DISCLOSE WHETHER A HEALTH CARE PROVIDER SCHEDULED TO PROVIDE A
HEALTH CARE SERVICE IS AN IN-NETWORK PROVIDER; AND
(14) WHERE APPLICABLE, WITH RESPECT TO OUT-OF-NETWORK COVERAGE,
DISCLOSE THE DOLLAR AMOUNT THAT THE CORPORATION WILL PAY FOR A SPECIFIC
OUT-OF-NETWORK HEALTH CARE SERVICE.
S 10. Section 4324 of the insurance law is amended by adding a new
subsection (f) to read as follows:
(F) FOR PURPOSES OF THIS SECTION, "USUAL AND CUSTOMARY COST" SHALL
MEAN THE EIGHTIETH PERCENTILE OF ALL CHARGES FOR THE PARTICULAR HEALTH
CARE SERVICE PERFORMED BY A PROVIDER IN THE SAME OR SIMILAR SPECIALTY
AND PROVIDED IN THE SAME GEOGRAPHICAL AREA AS REPORTED IN A BENCHMARKING
DATABASE MAINTAINED BY A NONPROFIT ORGANIZATION SPECIFIED BY THE SUPER-
INTENDENT. THE NONPROFIT ORGANIZATION SHALL NOT BE AFFILIATED WITH AN
INSURER, A CORPORATION SUBJECT TO THIS ARTICLE, A MUNICIPAL COOPERATIVE
HEALTH BENEFIT PLAN CERTIFIED PURSUANT TO ARTICLE FORTY-SEVEN OF THIS
CHAPTER, OR A HEALTH MAINTENANCE ORGANIZATION CERTIFIED PURSUANT TO
ARTICLE FORTY-FOUR OF THE PUBLIC HEALTH LAW.
S 10-a. Subsection (a) of section 4804 of the insurance law, as added
by chapter 705 of the laws of 1996, is amended to read as follows:
(a) If an insurer offering a managed care product determines that it
does not have a health care provider in the in-network benefits portion
of its network with appropriate training and experience to meet the
particular health care needs of an insured, the insurer shall make a
referral to an appropriate provider, pursuant to a treatment plan
approved by the insurer in consultation with the primary care provider,
the non-participating provider and the insured or the insured's desig-
nee, at no additional cost to the insured beyond what the insured would
otherwise pay for services received within the network. NOTHING IN THIS
SUBSECTION SHALL BE CONSTRUED TO ENTITLE AN INSURED TO A REFERRAL TO THE
INSURED'S PREFERRED PROVIDER, WHERE THAT PROVIDER IS OUT-OF-NETWORK.
THE PROVISIONS OF THIS SUBSECTION SHALL ONLY APPLY IF THERE IS NO
IN-NETWORK PROVIDER GEOGRAPHICALLY ACCESSIBLE TO THE INSURED WHO HAS THE
APPROPRIATE ESSENTIAL LEVEL OF TRAINING AND EXPERIENCE TO MEET THE
PARTICULAR NEEDS OF THE INSURED.
S 11. Subsection (g-7) of section 4900 of the insurance law is redes-
ignated subsection (g-8) and a new subsection (g-7) is added to read as
follows:
(G-7) "OUT-OF-NETWORK REFERRAL DENIAL" MEANS A DENIAL UNDER A MANAGED
CARE PRODUCT AS DEFINED IN SUBSECTION (C) OF SECTION FOUR THOUSAND EIGHT
HUNDRED ONE OF THIS CHAPTER OF A REQUEST FOR AN AUTHORIZATION OR REFER-
RAL TO AN OUT-OF-NETWORK PROVIDER ON THE BASIS THAT THE HEALTH CARE PLAN
HAS A HEALTH CARE PROVIDER IN THE IN-NETWORK BENEFITS PORTION OF ITS
NETWORK WITH APPROPRIATE TRAINING AND EXPERIENCE TO MEET THE PARTICULAR
HEALTH CARE NEEDS OF AN INSURED, AND WHO IS ABLE TO PROVIDE THE
REQUESTED HEALTH SERVICE. THE NOTICE OF AN OUT-OF-NETWORK REFERRAL
DENIAL PROVIDED TO AN INSURED SHALL INCLUDE INFORMATION EXPLAINING WHAT
INFORMATION THE INSURED MUST SUBMIT IN ORDER TO APPEAL THE OUT-OF-NET-
WORK REFERRAL DENIAL PURSUANT TO SUBSECTION (A-2) OF SECTION FOUR THOU-
SAND NINE HUNDRED FOUR OF THIS ARTICLE. AN OUT-OF-NETWORK REFERRAL
DENIAL UNDER THIS SUBSECTION DOES NOT CONSTITUTE AN ADVERSE DETERMI-
NATION AS DEFINED IN THIS ARTICLE. AN OUT-OF-NETWORK REFERRAL DENIAL
SHALL NOT BE CONSTRUED TO INCLUDE AN OUT-OF-NETWORK DENIAL AS DEFINED IN
SUBSECTION (G-6) OF THIS SECTION.
S 12. Subsection (b) of section 4903 of the insurance law, as amended
by chapter 514 of the laws of 2013, is amended to read as follows:
S. 6357--A 70 A. 8557--A
(b) A utilization review agent shall make a utilization review deter-
mination involving health care services which require pre-authorization
and provide notice of a determination to the insured or insured's desig-
nee and the insured's health care provider by telephone and in writing
within three business days of receipt of the necessary information. To
the extent practicable, such written notification to the enrollee's
health care provider shall be transmitted electronically, in a manner
and in a form agreed upon by the parties. THE NOTIFICATION SHALL IDEN-
TIFY: (1) WHETHER THE SERVICES ARE CONSIDERED IN-NETWORK OR OUT-OF-NET-
WORK; (2) WHETHER THE INSURED WILL BE HELD HARMLESS FOR THE SERVICES AND
NOT BE RESPONSIBLE FOR ANY PAYMENT, OTHER THAN ANY APPLICABLE CO-PAY-
MENT, CO-INSURANCE OR DEDUCTIBLE; (3) AS APPLICABLE, THE DOLLAR AMOUNT
THE HEALTH CARE PLAN WILL PAY IF THE SERVICE IS OUT-OF-NETWORK; AND (4)
AS APPLICABLE, INFORMATION EXPLAINING HOW AN INSURED MAY DETERMINE THE
ANTICIPATED OUT-OF-POCKET COST FOR OUT-OF-NETWORK HEALTH CARE SERVICES
IN A GEOGRAPHICAL AREA OR ZIP CODE BASED UPON THE DIFFERENCE BETWEEN
WHAT THE HEALTH CARE PLAN WILL REIMBURSE FOR OUT-OF-NETWORK HEALTH CARE
SERVICES AND THE USUAL AND CUSTOMARY COST FOR OUT-OF-NETWORK HEALTH CARE
SERVICES.
S 13. Section 4904 of the insurance law is amended by adding a new
subsection (a-2) to read as follows:
(A-2) AN INSURED OR THE INSURED'S DESIGNEE MAY APPEAL AN OUT-OF-NET-
WORK REFERRAL DENIAL BY A HEALTH CARE PLAN BY SUBMITTING A WRITTEN
STATEMENT FROM THE INSURED'S ATTENDING PHYSICIAN, WHO MUST BE A
LICENSED, BOARD CERTIFIED OR BOARD ELIGIBLE PHYSICIAN QUALIFIED TO PRAC-
TICE IN THE SPECIALTY AREA OF PRACTICE APPROPRIATE TO TREAT THE INSURED
FOR THE HEALTH SERVICE SOUGHT, PROVIDED THAT: (1) THE IN-NETWORK HEALTH
CARE PROVIDER OR PROVIDERS RECOMMENDED BY THE HEALTH CARE PLAN DO NOT
HAVE THE APPROPRIATE TRAINING AND EXPERIENCE TO MEET THE PARTICULAR
HEALTH CARE NEEDS OF THE INSURED FOR THE HEALTH SERVICE; AND (2) RECOM-
MENDS AN OUT-OF-NETWORK PROVIDER WITH THE APPROPRIATE TRAINING AND EXPE-
RIENCE TO MEET THE PARTICULAR HEALTH CARE NEEDS OF THE INSURED, AND WHO
IS ABLE TO PROVIDE THE REQUESTED HEALTH SERVICE.
S 14. Subsection (b) of section 4910 of the insurance law is amended
by adding a new paragraph 4 to read as follows:
(4)(A) THE INSURED HAS HAD AN OUT-OF-NETWORK REFERRAL DENIED ON THE
GROUNDS THAT THE HEALTH CARE PLAN HAS A HEALTH CARE PROVIDER IN THE
IN-NETWORK BENEFITS PORTION OF ITS NETWORK WITH APPROPRIATE TRAINING AND
EXPERIENCE TO MEET THE PARTICULAR HEALTH CARE NEEDS OF AN INSURED, AND
WHO IS ABLE TO PROVIDE THE REQUESTED HEALTH SERVICE.
(B) THE INSURED'S ATTENDING PHYSICIAN, WHO SHALL BE A LICENSED, BOARD
CERTIFIED OR BOARD ELIGIBLE PHYSICIAN QUALIFIED TO PRACTICE IN THE
SPECIALTY AREA OF PRACTICE APPROPRIATE TO TREAT THE INSURED FOR THE
HEALTH SERVICE SOUGHT, CERTIFIES THAT THE IN-NETWORK HEALTH CARE PROVID-
ER OR PROVIDERS RECOMMENDED BY THE HEALTH CARE PLAN DO NOT HAVE THE
APPROPRIATE TRAINING AND EXPERIENCE TO MEET THE PARTICULAR HEALTH CARE
NEEDS OF AN INSURED, AND RECOMMENDS AN OUT-OF-NETWORK PROVIDER WITH THE
APPROPRIATE TRAINING AND EXPERIENCE TO MEET THE PARTICULAR HEALTH CARE
NEEDS OF AN INSURED, AND WHO IS ABLE TO PROVIDE THE REQUESTED HEALTH
SERVICE.
S 15. Paragraph 4 of subsection (b) of section 4914 of the insurance
law is amended by adding a new subparagraph (D) to read as follows:
(D) FOR EXTERNAL APPEALS REQUESTED PURSUANT TO PARAGRAPH FOUR OF
SUBSECTION (B) OF SECTION FOUR THOUSAND NINE HUNDRED TEN OF THIS TITLE
RELATING TO AN OUT-OF-NETWORK REFERRAL DENIAL, THE EXTERNAL APPEAL AGENT
SHALL REVIEW THE UTILIZATION REVIEW AGENT'S FINAL ADVERSE DETERMINATION
S. 6357--A 71 A. 8557--A
AND, IN ACCORDANCE WITH THE PROVISIONS OF THIS TITLE, SHALL MAKE A
DETERMINATION AS TO WHETHER THE OUT-OF-NETWORK REFERRAL SHALL BE COVERED
BY THE HEALTH PLAN; PROVIDED THAT SUCH DETERMINATION SHALL:
(I) BE CONDUCTED ONLY BY ONE OR A GREATER ODD NUMBER OF CLINICAL PEER
REVIEWERS;
(II) BE ACCOMPANIED BY A WRITTEN STATEMENT:
(I) THAT THE OUT-OF-NETWORK REFERRAL SHALL BE COVERED BY THE HEALTH
CARE PLAN EITHER WHEN THE REVIEWER OR A MAJORITY OF THE PANEL OF REVIEW-
ERS DETERMINES, UPON REVIEW OF THE TRAINING AND EXPERIENCE OF THE
IN-NETWORK HEALTH CARE PROVIDER OR PROVIDERS PROPOSED BY THE PLAN, THE
TRAINING AND EXPERIENCE OF THE REQUESTED OUT-OF-NETWORK PROVIDER, THE
CLINICAL STANDARDS OF THE PLAN, THE INFORMATION PROVIDED CONCERNING THE
INSURED, THE ATTENDING PHYSICIAN'S RECOMMENDATION, THE INSURED'S MEDICAL
RECORD, AND ANY OTHER PERTINENT INFORMATION, THAT THE HEALTH PLAN DOES
NOT HAVE A PROVIDER WITH THE APPROPRIATE TRAINING AND EXPERIENCE TO MEET
THE PARTICULAR HEALTH CARE NEEDS OF AN INSURED WHO IS ABLE TO PROVIDE
THE REQUESTED HEALTH SERVICE, AND THAT THE OUT-OF-NETWORK PROVIDER HAS
THE APPROPRIATE TRAINING AND EXPERIENCE TO MEET THE PARTICULAR HEALTH
CARE NEEDS OF AN INSURED, IS ABLE TO PROVIDE THE REQUESTED HEALTH
SERVICE, AND IS LIKELY TO PRODUCE A MORE CLINICALLY BENEFICIAL OUTCOME;
OR
(II) UPHOLDING THE HEALTH PLAN'S DENIAL OF COVERAGE;
(III) BE SUBJECT TO THE TERMS AND CONDITIONS GENERALLY APPLICABLE TO
BENEFITS UNDER THE EVIDENCE OF COVERAGE UNDER THE HEALTH CARE PLAN;
(IV) BE BINDING ON THE PLAN AND THE INSURED; AND
(V) BE ADMISSIBLE IN ANY COURT PROCEEDING.
S 16. The public health law is amended by adding a new section 23 to
read as follows:
S 23. CLAIM FORMS. A PHYSICIAN SHALL INCLUDE A CLAIM FORM FOR A
THIRD-PARTY PAYOR WITH A PATIENT BILL FOR HEALTH CARE SERVICES, OTHER
THAN A BILL FOR THE PATIENT'S CO-PAYMENT, COINSURANCE OR DEDUCTIBLE.
S 17. The public health law is amended by adding a new section 24 to
read as follows:
S 24. DISCLOSURE. 1. A HEALTH CARE PROFESSIONAL SHALL DISCLOSE TO
PATIENTS OR PROSPECTIVE PATIENTS IN WRITING OR THROUGH AN INTERNET
WEBSITE THE HEALTH CARE PLANS IN WHICH THE HEALTH CARE PROFESSIONAL IS A
PARTICIPATING PROVIDER AND THE HOSPITALS WITH WHICH THE HEALTH CARE
PROFESSIONAL IS AFFILIATED PRIOR TO THE PROVISION OF NON-EMERGENCY
SERVICES AND VERBALLY AT THE TIME AN APPOINTMENT IS SCHEDULED.
2. IF A HEALTH CARE PROFESSIONAL DOES NOT PARTICIPATE IN THE NETWORK
OF A PATIENT'S OR PROSPECTIVE PATIENT'S HEALTH CARE PLAN, THE HEALTH
CARE PROFESSIONAL SHALL: (A) PRIOR TO THE PROVISION OF NON-EMERGENCY
SERVICES, INFORM A PATIENT OR PROSPECTIVE PATIENT THAT THE AMOUNT OR
ESTIMATED AMOUNT THE HEALTH CARE PROFESSIONAL WILL BILL THE PATIENT FOR
HEALTH CARE SERVICES IS AVAILABLE UPON REQUEST; AND (B) UPON RECEIPT OF
A REQUEST FROM A PATIENT OR PROSPECTIVE PATIENT, DISCLOSE TO THE PATIENT
OR PROSPECTIVE PATIENT IN WRITING THE AMOUNT OR ESTIMATED AMOUNT THE
HEALTH CARE PROFESSIONAL WILL BILL THE PATIENT OR PROSPECTIVE PATIENT
FOR HEALTH CARE SERVICES PROVIDED OR ANTICIPATED TO BE PROVIDED TO THE
PATIENT OR PROSPECTIVE PATIENT ABSENT UNFORESEEN MEDICAL CIRCUMSTANCES
THAT MAY ARISE WHEN THE HEALTH CARE SERVICES ARE PROVIDED.
3. A HEALTH CARE PROFESSIONAL WHO IS A PHYSICIAN SHALL PROVIDE A
PATIENT OR PROSPECTIVE PATIENT WITH THE NAME, PRACTICE NAME, MAILING
ADDRESS, AND TELEPHONE NUMBER OF ANY HEALTH CARE PROVIDER SCHEDULED TO
PERFORM ANESTHESIOLOGY, LABORATORY, PATHOLOGY, RADIOLOGY OR ASSISTANT
SURGEON SERVICES IN CONNECTION WITH CARE TO BE PROVIDED IN THE PHYSI-
S. 6357--A 72 A. 8557--A
CIAN'S OFFICE FOR THE PATIENT OR COORDINATED OR REFERRED BY THE PHYSI-
CIAN FOR THE PATIENT PRIOR TO THE PROVISION OF SERVICES.
4. A HEALTH CARE PROFESSIONAL WHO IS A PHYSICIAN SHALL, FOR A
PATIENT'S SCHEDULED HOSPITAL ADMISSION OR SCHEDULED OUTPATIENT HOSPITAL
SERVICES, PROVIDE A PATIENT AND THE HOSPITAL WITH THE NAME, PRACTICE
NAME, MAILING ADDRESS AND TELEPHONE NUMBER OF ANY OTHER PHYSICIAN WHOSE
SERVICES WILL BE ARRANGED BY THE PHYSICIAN AND ARE SCHEDULED AT THE TIME
OF THE PRE-ADMISSION TESTING, REGISTRATION OR ADMISSION PRIOR TO THE
PROVISION OF SERVICES; AND INFORMATION AS TO HOW TO DETERMINE THE
HEALTHCARE PLANS IN WHICH THE PHYSICIAN PARTICIPATES.
5. A HOSPITAL SHALL ESTABLISH, UPDATE AND MAKE PUBLIC THROUGH POSTING
ON THE HOSPITAL'S WEBSITE, TO THE EXTENT REQUIRED BY FEDERAL GUIDELINES,
A LIST OF THE HOSPITAL'S STANDARD CHARGES FOR ITEMS AND SERVICES
PROVIDED BY THE HOSPITAL, INCLUDING FOR DIAGNOSIS-RELATED GROUPS ESTAB-
LISHED UNDER SECTION 1886(D)(4) OF THE FEDERAL SOCIAL SECURITY ACT.
6. A HOSPITAL SHALL POST ON THE HOSPITAL'S WEBSITE: (A) THE HEALTH
CARE PLANS IN WHICH THE HOSPITAL IS A PARTICIPATING PROVIDER; (B) A
STATEMENT THAT (I) PHYSICIAN SERVICES PROVIDED IN THE HOSPITAL ARE NOT
INCLUDED IN THE HOSPITAL'S CHARGES; (II) PHYSICIANS WHO PROVIDE SERVICES
IN THE HOSPITAL MAY OR MAY NOT PARTICIPATE WITH THE SAME HEALTH CARE
PLANS AS THE HOSPITAL, AND; (III) THE PROSPECTIVE PATIENT SHOULD CHECK
WITH THE PHYSICIAN ARRANGING FOR THE HOSPITAL SERVICES TO DETERMINE THE
HEALTH CARE PLANS IN WHICH THE PHYSICIAN PARTICIPATES; (C) AS APPLICA-
BLE, THE NAME, MAILING ADDRESS AND TELEPHONE NUMBER OF THE PHYSICIAN
GROUPS THAT THE HOSPITAL HAS CONTRACTED WITH TO PROVIDE SERVICES INCLUD-
ING ANESTHESIOLOGY, PATHOLOGY OR RADIOLOGY, AND INSTRUCTIONS HOW TO
CONTACT THESE GROUPS TO DETERMINE THE HEALTH CARE PLAN PARTICIPATION OF
THE PHYSICIANS IN THESE GROUPS; AND (D) AS APPLICABLE, THE NAME, MAILING
ADDRESS, AND TELEPHONE NUMBER OF PHYSICIANS EMPLOYED BY THE HOSPITAL AND
WHOSE SERVICES MAY BE PROVIDED AT THE HOSPITAL, AND THE HEALTH CARE
PLANS IN WHICH THEY PARTICIPATE.
7. IN REGISTRATION OR ADMISSION MATERIALS PROVIDED IN ADVANCE OF NON-
EMERGENCY HOSPITAL SERVICES, A HOSPITAL SHALL: (A) ADVISE THE PATIENT OR
PROSPECTIVE PATIENT TO CHECK WITH THE PHYSICIAN ARRANGING THE HOSPITAL
SERVICES TO DETERMINE: (I) THE NAME, PRACTICE NAME, MAILING ADDRESS AND
TELEPHONE NUMBER OF ANY OTHER PHYSICIAN WHOSE SERVICES WILL BE ARRANGED
BY THE PHYSICIAN; AND (II) WHETHER THE SERVICES OF PHYSICIANS WHO ARE
EMPLOYED OR CONTRACTED BY THE HOSPITAL TO PROVIDE SERVICES INCLUDING
ANESTHESIOLOGY, PATHOLOGY AND/OR RADIOLOGY ARE REASONABLY ANTICIPATED TO
BE PROVIDED TO THE PATIENT; AND (B) PROVIDE PATIENTS OR PROSPECTIVE
PATIENTS WITH INFORMATION AS TO HOW TO TIMELY DETERMINE THE HEALTH CARE
PLANS PARTICIPATED IN BY PHYSICIANS WHO ARE REASONABLY ANTICIPATED TO
PROVIDE SERVICES TO THE PATIENT AT THE HOSPITAL, AS DETERMINED BY THE
PHYSICIAN ARRANGING THE PATIENT'S HOSPITAL SERVICES, AND WHO ARE EMPLOY-
EES OF THE HOSPITAL OR CONTRACTED BY THE HOSPITAL TO PROVIDE SERVICES
INCLUDING ANESTHESIOLOGY, RADIOLOGY AND/OR PATHOLOGY.
8. FOR PURPOSES OF THIS SUBDIVISION:
(A) "HEALTH CARE PLAN" MEANS A HEALTH INSURER INCLUDING AN INSURER
LICENSED TO WRITE ACCIDENT AND HEALTH INSURANCE SUBJECT TO ARTICLE THIR-
TY-TWO OF THE INSURANCE LAW; A CORPORATION ORGANIZED PURSUANT TO ARTICLE
FORTY-THREE OF THE INSURANCE LAW; A MUNICIPAL COOPERATIVE HEALTH BENEFIT
PLAN CERTIFIED PURSUANT TO ARTICLE FORTY-SEVEN OF THE INSURANCE LAW; A
HEALTH MAINTENANCE ORGANIZATION CERTIFIED PURSUANT TO ARTICLE FORTY-FOUR
OF THIS CHAPTER; A STUDENT HEALTH PLAN ESTABLISHED OR MAINTAINED PURSU-
ANT TO SECTION ONE THOUSAND ONE HUNDRED TWENTY-FOUR OF THE INSURANCE LAW
OR A SELF-FUNDED EMPLOYEE WELFARE BENEFIT PLAN.
S. 6357--A 73 A. 8557--A
(B) "HEALTH CARE PROFESSIONAL" MEANS AN APPROPRIATELY LICENSED, REGIS-
TERED OR CERTIFIED HEALTH CARE PROFESSIONAL PURSUANT TO TITLE EIGHT OF
THE EDUCATION LAW.
S 17-a. Paragraph (a) of subdivision 6 of section 4403 of the public
health law, as added by chapter 705 of the laws of 1996, is amended to
read as follows:
(a) If a health maintenance organization determines that it does not
have a health care provider with appropriate training and experience in
its panel or network to meet the particular health care needs of an
enrollee, the health maintenance organization shall make a referral to
an appropriate provider, pursuant to a treatment plan approved by the
health maintenance organization in consultation with the primary care
provider, the non-participating provider and the enrollee or enrollee's
designee, at no additional cost to the enrollee beyond what the enrollee
would otherwise pay for services received within the network. NOTHING IN
THIS PARAGRAPH SHALL BE CONSTRUED TO ENTITLE AN ENROLLEE TO A REFERRAL
TO THE ENROLLEE'S PREFERRED PROVIDER, WHERE THAT PROVIDER IS OUT-OF-NET-
WORK. THE PROVISIONS OF THIS PARAGRAPH SHALL ONLY APPLY IF THERE IS NO
IN-NETWORK PROVIDER GEOGRAPHICALLY ACCESSIBLE TO THE ENROLLEE WHO HAS
THE APPROPRIATE ESSENTIAL LEVEL OF TRAINING AND EXPERIENCE TO MEET THE
PARTICULAR NEEDS OF THE ENROLLEE.
S 18. Paragraphs (k), (p-1), (q) and (r) of subdivision 1 of section
4408 of the public health law, paragraphs (k), (q) and (r) as added by
chapter 705 of the laws of 1996, and paragraph (p-1) as added by chapter
554 of the laws of 2002, are amended and three new paragraphs (s), (t)
and (u) are added to read as follows:
(k) notice that an enrollee may obtain a referral to a health care
provider outside of the health maintenance organization's network or
panel when the health maintenance organization does not have a health
care provider [with] WHO IS GEOGRAPHICALLY ACCESSIBLE TO THE ENROLLEE
AND WHO HAS appropriate ESSENTIAL LEVEL OF training and experience in
the network or panel to meet the particular health care needs of the
enrollee and the procedure by which the enrollee can obtain such refer-
ral;
(p-1) notice that an enrollee shall have direct access to primary and
preventive obstetric and gynecologic services, INCLUDING ANNUAL EXAMINA-
TIONS, CARE RESULTING FROM SUCH ANNUAL EXAMINATIONS, AND TREATMENT OF
ACUTE GYNECOLOGIC CONDITIONS, from a qualified provider of such services
of her choice from within the plan [for no fewer than two examinations
annually for such services] or [to] FOR any care related to A pregnancy
[and that additionally, the enrollee shall have direct access to primary
and preventive obstetric and gynecologic services required as a result
of such annual examinations or as a result of an acute gynecologic
condition];
(q) notice of all appropriate mailing addresses and telephone numbers
to be utilized by enrollees seeking information or authorization; [and]
(r) a listing by specialty, which may be in a separate document that
is updated annually, of the name, address and telephone number of all
participating providers, including facilities, and, in addition, in the
case of physicians, board certification[.], LANGUAGES SPOKEN AND ANY
AFFILIATIONS WITH PARTICIPATING HOSPITALS. THE LISTING SHALL ALSO BE
POSTED ON THE HEALTH MAINTENANCE ORGANIZATION'S WEBSITE AND THE HEALTH
MAINTENANCE ORGANIZATION SHALL UPDATE THE WEBSITE WITHIN FIFTEEN DAYS OF
THE ADDITION OR TERMINATION OF A PROVIDER FROM THE HEALTH MAINTENANCE
ORGANIZATION'S NETWORK OR A CHANGE IN A PHYSICIAN'S HOSPITAL AFFIL-
IATION;
S. 6357--A 74 A. 8557--A
(S) WHERE APPLICABLE, A DESCRIPTION OF THE METHOD BY WHICH AN ENROLLEE
MAY SUBMIT A CLAIM FOR HEALTH CARE SERVICES;
(T) WHERE APPLICABLE, WITH RESPECT TO OUT-OF-NETWORK COVERAGE:
(I) A CLEAR DESCRIPTION OF THE METHODOLOGY USED BY THE HEALTH MAINTE-
NANCE ORGANIZATION TO DETERMINE REIMBURSEMENT FOR OUT-OF-NETWORK HEALTH
CARE SERVICES;
(II) A DESCRIPTION OF THE AMOUNT THAT THE HEALTH MAINTENANCE ORGANIZA-
TION WILL REIMBURSE UNDER THE METHODOLOGY FOR OUT-OF-NETWORK HEALTH CARE
SERVICES SET FORTH AS A PERCENTAGE OF THE USUAL AND CUSTOMARY COST FOR
OUT-OF-NETWORK HEALTH CARE SERVICES;
(III) EXAMPLES OF ANTICIPATED OUT-OF-POCKET COSTS FOR FREQUENTLY
BILLED OUT-OF-NETWORK HEALTH CARE SERVICES; AND
(U) INFORMATION IN WRITING AND THROUGH AN INTERNET WEBSITE THAT
REASONABLY PERMITS AN ENROLLEE OR PROSPECTIVE ENROLLEE TO DETERMINE THE
ANTICIPATED OUT-OF-POCKET COST FOR OUT-OF-NETWORK HEALTH CARE SERVICES
IN A GEOGRAPHICAL AREA OR ZIP CODE BASED UPON THE DIFFERENCE BETWEEN
WHAT THE HEALTH MAINTENANCE ORGANIZATION WILL REIMBURSE FOR OUT-OF-NET-
WORK HEALTH CARE SERVICES AND THE USUAL AND CUSTOMARY COST FOR
OUT-OF-NETWORK HEALTH CARE SERVICES.
S 19. Paragraphs (k) and (l) of subdivision 2 of section 4408 of the
public health law, as added by chapter 705 of the laws of 1996, are
amended and two new paragraphs (m) and (n) are added to read as follows:
(k) provide the written application procedures and minimum qualifica-
tion requirements for health care providers to be considered by the
health maintenance organization; [and]
(1) disclose other information as required by the commissioner,
provided that such requirements are promulgated pursuant to the state
administrative procedure act[.];
(M) DISCLOSE WHETHER A HEALTH CARE PROVIDER SCHEDULED TO PROVIDE A
HEALTH CARE SERVICE IS AN IN-NETWORK PROVIDER; AND
(N) WHERE APPLICABLE, WITH RESPECT TO OUT-OF-NETWORK COVERAGE,
DISCLOSE THE DOLLAR AMOUNT THAT THE HEALTH MAINTENANCE ORGANIZATION WILL
PAY FOR A SPECIFIC OUT-OF-NETWORK HEALTH CARE SERVICE.
S 20. Section 4408 of the public health law is amended by adding a new
subdivision 7 to read as follows:
7. FOR PURPOSES OF THIS SECTION, "USUAL AND CUSTOMARY COST" SHALL
MEAN THE EIGHTIETH PERCENTILE OF ALL CHARGES FOR THE PARTICULAR HEALTH
CARE SERVICE PERFORMED BY A PROVIDER IN THE SAME OR SIMILAR SPECIALTY
AND PROVIDED IN THE SAME GEOGRAPHICAL AREA AS REPORTED IN A BENCHMARKING
DATABASE MAINTAINED BY A NONPROFIT ORGANIZATION SPECIFIED BY THE SUPER-
INTENDENT OF FINANCIAL SERVICES. THE NONPROFIT ORGANIZATION SHALL NOT BE
AFFILIATED WITH AN INSURER, A CORPORATION SUBJECT TO ARTICLE FORTY-THREE
OF THE INSURANCE LAW, A MUNICIPAL COOPERATIVE HEALTH BENEFIT PLAN CERTI-
FIED PURSUANT TO ARTICLE FORTY-SEVEN OF THE INSURANCE LAW, OR A HEALTH
MAINTENANCE ORGANIZATION CERTIFIED PURSUANT TO THIS ARTICLE.
S 21. Subdivision 7-g of section 4900 of the public health law is
renumbered subdivision 7-h and a new subdivision 7-g is added to read as
follows:
7-G. "OUT-OF-NETWORK REFERRAL DENIAL" MEANS A DENIAL OF A REQUEST FOR
AN AUTHORIZATION OR REFERRAL TO AN OUT-OF-NETWORK PROVIDER ON THE BASIS
THAT THE HEALTH CARE PLAN HAS A HEALTH CARE PROVIDER IN THE IN-NETWORK
BENEFITS PORTION OF ITS NETWORK WITH APPROPRIATE TRAINING AND EXPERIENCE
TO MEET THE PARTICULAR HEALTH CARE NEEDS OF AN ENROLLEE, AND WHO IS ABLE
TO PROVIDE THE REQUESTED HEALTH SERVICE. THE NOTICE OF AN OUT-OF-NETWORK
REFERRAL DENIAL PROVIDED TO AN ENROLLEE SHALL INCLUDE INFORMATION
EXPLAINING WHAT INFORMATION THE ENROLLEE MUST SUBMIT IN ORDER TO APPEAL
S. 6357--A 75 A. 8557--A
THE OUT-OF-NETWORK REFERRAL DENIAL PURSUANT TO SUBDIVISION ONE-B OF
SECTION FOUR THOUSAND NINE HUNDRED FOUR OF THIS ARTICLE. AN OUT-OF-NET-
WORK REFERRAL DENIAL UNDER THIS SUBDIVISION DOES NOT CONSTITUTE AN
ADVERSE DETERMINATION AS DEFINED IN THIS ARTICLE. AN OUT-OF-NETWORK
REFERRAL DENIAL SHALL NOT BE CONSTRUED TO INCLUDE AN OUT-OF-NETWORK
DENIAL AS DEFINED IN SUBDIVISION SEVEN-F OF THIS SECTION.
S 22. Subdivision 2 of section 4903 of the public health law, as
amended by chapter 514 of the laws of 2013, is amended to read as
follows:
2. A utilization review agent shall make a utilization review determi-
nation involving health care services which require pre-authorization
and provide notice of a determination to the enrollee or enrollee's
designee and the enrollee's health care provider by telephone and in
writing within three business days of receipt of the necessary informa-
tion. To the extent practicable, such written notification to the
enrollee's health care provider shall be transmitted electronically, in
a manner and in a form agreed upon by the parties. THE NOTIFICATION
SHALL IDENTIFY; (A) WHETHER THE SERVICES ARE CONSIDERED IN-NETWORK OR
OUT-OF-NETWORK; (B) AND WHETHER THE ENROLLEE WILL BE HELD HARMLESS FOR
THE SERVICES AND NOT BE RESPONSIBLE FOR ANY PAYMENT, OTHER THAN ANY
APPLICABLE CO-PAYMENT OR CO-INSURANCE; (C) AS APPLICABLE, THE DOLLAR
AMOUNT THE HEALTH CARE PLAN WILL PAY IF THE SERVICE IS OUT-OF-NETWORK;
AND (D) AS APPLICABLE, INFORMATION EXPLAINING HOW AN ENROLLEE MAY DETER-
MINE THE ANTICIPATED OUT-OF-POCKET COST FOR OUT-OF-NETWORK HEALTH CARE
SERVICES IN A GEOGRAPHICAL AREA OR ZIP CODE BASED UPON THE DIFFERENCE
BETWEEN WHAT THE HEALTH CARE PLAN WILL REIMBURSE FOR OUT-OF-NETWORK
HEALTH CARE SERVICES AND THE USUAL AND CUSTOMARY COST FOR OUT-OF-NETWORK
HEALTH CARE SERVICES.
S 23. Section 4904 of the public health law is amended by adding a new
subdivision 1-b to read as follows:
1-B. AN ENROLLEE OR THE ENROLLEE'S DESIGNEE MAY APPEAL A DENIAL OF AN
OUT-OF-NETWORK REFERRAL BY A HEALTH CARE PLAN BY SUBMITTING A WRITTEN
STATEMENT FROM THE ENROLLEE'S ATTENDING PHYSICIAN, WHO MUST BE A
LICENSED, BOARD CERTIFIED OR BOARD ELIGIBLE PHYSICIAN QUALIFIED TO PRAC-
TICE IN THE SPECIALTY AREA OF PRACTICE APPROPRIATE TO TREAT THE ENROLLEE
FOR THE HEALTH SERVICE SOUGHT, PROVIDED THAT: (A) THE IN-NETWORK HEALTH
CARE PROVIDER OR PROVIDERS RECOMMENDED BY THE HEALTH CARE PLAN DO NOT
HAVE THE APPROPRIATE TRAINING AND EXPERIENCE TO MEET THE PARTICULAR
HEALTH CARE NEEDS OF THE ENROLLEE FOR THE HEALTH SERVICE; AND (B) RECOM-
MENDS AN OUT-OF-NETWORK PROVIDER WITH THE APPROPRIATE TRAINING AND EXPE-
RIENCE TO MEET THE PARTICULAR HEALTH CARE NEEDS OF THE ENROLLEE, AND WHO
IS ABLE TO PROVIDE THE REQUESTED HEALTH SERVICE.
S 24. Subdivision 2 of section 4910 of the public health law is
amended by adding a new paragraph (d) to read as follows:
(D)(I) THE ENROLLEE HAS HAD AN OUT-OF-NETWORK REFERRAL DENIED ON THE
GROUNDS THAT THE HEALTH CARE PLAN HAS A HEALTH CARE PROVIDER IN THE
IN-NETWORK BENEFITS PORTION OF ITS NETWORK WITH APPROPRIATE TRAINING AND
EXPERIENCE TO MEET THE PARTICULAR HEALTH CARE NEEDS OF AN ENROLLEE, AND
WHO IS ABLE TO PROVIDE THE REQUESTED HEALTH SERVICE.
(II) THE ENROLLEE'S ATTENDING PHYSICIAN, WHO SHALL BE A LICENSED,
BOARD CERTIFIED OR BOARD ELIGIBLE PHYSICIAN QUALIFIED TO PRACTICE IN THE
SPECIALTY AREA OF PRACTICE APPROPRIATE TO TREAT THE ENROLLEE FOR THE
HEALTH SERVICE SOUGHT, CERTIFIES THAT THE IN-NETWORK HEALTH CARE PROVID-
ER OR PROVIDERS RECOMMENDED BY THE HEALTH CARE PLAN DO NOT HAVE THE
APPROPRIATE TRAINING AND EXPERIENCE TO MEET THE PARTICULAR HEALTH CARE
NEEDS OF AN ENROLLEE, AND RECOMMENDS AN OUT-OF-NETWORK PROVIDER WITH THE
S. 6357--A 76 A. 8557--A
APPROPRIATE TRAINING AND EXPERIENCE TO MEET THE PARTICULAR HEALTH CARE
NEEDS OF AN ENROLLEE, AND WHO IS ABLE TO PROVIDE THE REQUESTED HEALTH
SERVICE.
S 25. Paragraph (d) of subdivision 2 of section 4914 of the public
health law is amended by adding a new subparagraph (D) to read as
follows:
(D) FOR EXTERNAL APPEALS REQUESTED PURSUANT TO PARAGRAPH (D) OF SUBDI-
VISION TWO OF SECTION FOUR THOUSAND NINE HUNDRED TEN OF THIS TITLE
RELATING TO AN OUT-OF-NETWORK REFERRAL DENIAL, THE EXTERNAL APPEAL AGENT
SHALL REVIEW THE UTILIZATION REVIEW AGENT'S FINAL ADVERSE DETERMINATION
AND, IN ACCORDANCE WITH THE PROVISIONS OF THIS TITLE, SHALL MAKE A
DETERMINATION AS TO WHETHER THE OUT-OF-NETWORK REFERRAL SHALL BE COVERED
BY THE HEALTH PLAN; PROVIDED THAT SUCH DETERMINATION SHALL:
(I) BE CONDUCTED ONLY BY ONE OR A GREATER ODD NUMBER OF CLINICAL PEER
REVIEWERS;
(II) BE ACCOMPANIED BY A WRITTEN STATEMENT:
(1) THAT THE OUT-OF-NETWORK REFERRAL SHALL BE COVERED BY THE HEALTH
CARE PLAN EITHER WHEN THE REVIEWER OR A MAJORITY OF THE PANEL OF REVIEW-
ERS DETERMINES, UPON REVIEW OF THE TRAINING AND EXPERIENCE OF THE
IN-NETWORK HEALTH CARE PROVIDER OR PROVIDERS PROPOSED BY THE PLAN, THE
TRAINING AND EXPERIENCE OF THE REQUESTED OUT-OF-NETWORK PROVIDER, THE
CLINICAL STANDARDS OF THE PLAN, THE INFORMATION PROVIDED CONCERNING THE
ENROLLEE, THE ATTENDING PHYSICIAN'S RECOMMENDATION, THE ENROLLEE'S
MEDICAL RECORD, AND ANY OTHER PERTINENT INFORMATION, THAT THE HEALTH
PLAN DOES NOT HAVE A PROVIDER WITH THE APPROPRIATE TRAINING AND EXPERI-
ENCE TO MEET THE PARTICULAR HEALTH CARE NEEDS OF AN ENROLLEE WHO IS ABLE
TO PROVIDE THE REQUESTED HEALTH SERVICE, AND THAT THE OUT-OF-NETWORK
PROVIDER HAS THE APPROPRIATE TRAINING AND EXPERIENCE TO MEET THE PARTIC-
ULAR HEALTH CARE NEEDS OF AN ENROLLEE, IS ABLE TO PROVIDE THE REQUESTED
HEALTH SERVICE, AND IS LIKELY TO PRODUCE A MORE CLINICALLY BENEFICIAL
OUTCOME; OR
(2) UPHOLDING THE HEALTH PLAN'S DENIAL OF COVERAGE;
(III) BE SUBJECT TO THE TERMS AND CONDITIONS GENERALLY APPLICABLE TO
BENEFITS UNDER THE EVIDENCE OF COVERAGE UNDER THE HEALTH CARE PLAN;
(IV) BE BINDING ON THE PLAN AND THE ENROLLEE; AND
(V) BE ADMISSIBLE IN ANY COURT PROCEEDING.
S 26. The financial services law is amended by adding a new article 6
to read as follows:
ARTICLE 6
EMERGENCY MEDICAL SERVICES AND SURPRISE BILLS
SECTION 601. DISPUTE RESOLUTION PROCESS ESTABLISHED.
602. APPLICABILITY.
603. DEFINITIONS.
604. CRITERIA FOR DETERMINING A REASONABLE FEE.
605. DISPUTE RESOLUTION FOR EMERGENCY SERVICES.
606. HOLD HARMLESS AND ASSIGNMENT OF BENEFITS FOR SURPRISE BILLS
FOR INSUREDS.
607. DISPUTE RESOLUTION FOR SURPRISE BILLS.
608. PAYMENT FOR INDEPENDENT DISPUTE RESOLUTION ENTITY.
S 601. DISPUTE RESOLUTION PROCESS ESTABLISHED. THE SUPERINTENDENT
SHALL ESTABLISH A DISPUTE RESOLUTION PROCESS BY WHICH A DISPUTE FOR A
BILL FOR EMERGENCY SERVICES OR A SURPRISE BILL MAY BE RESOLVED. THE
SUPERINTENDENT SHALL HAVE THE POWER TO GRANT AND REVOKE CERTIFICATIONS
OF INDEPENDENT DISPUTE RESOLUTION ENTITIES TO CONDUCT THE DISPUTE RESOL-
UTION PROCESS. THE SUPERINTENDENT SHALL PROMULGATE REGULATIONS ESTAB-
LISHING STANDARDS FOR THE DISPUTE RESOLUTION PROCESS, INCLUDING A PROC-
S. 6357--A 77 A. 8557--A
ESS FOR CERTIFYING AND SELECTING INDEPENDENT DISPUTE RESOLUTION
ENTITIES.
S 602. APPLICABILITY. THIS ARTICLE SHALL NOT APPLY TO HEALTH CARE
SERVICES, INCLUDING EMERGENCY SERVICES, WHERE PHYSICIAN FEES ARE SUBJECT
TO SCHEDULES OR OTHER MONETARY LIMITATIONS UNDER ANY OTHER LAW, INCLUD-
ING THE WORKERS' COMPENSATION LAW AND ARTICLE FIFTY-ONE OF THE INSURANCE
LAW, AND SHALL NOT PREEMPT ANY SUCH LAW.
S 603. DEFINITIONS. FOR THE PURPOSES OF THIS ARTICLE:
(A) "EMERGENCY CONDITION" MEANS A MEDICAL OR BEHAVIORAL CONDITION THAT
MANIFESTS ITSELF BY ACUTE SYMPTOMS OF SUFFICIENT SEVERITY, INCLUDING
SEVERE PAIN, SUCH THAT A PRUDENT LAYPERSON, POSSESSING AN AVERAGE KNOW-
LEDGE OF MEDICINE AND HEALTH, COULD REASONABLY EXPECT THE ABSENCE OF
IMMEDIATE MEDICAL ATTENTION TO RESULT IN : (1) PLACING THE HEALTH OF THE
PERSON AFFLICTED WITH SUCH CONDITION IN SERIOUS JEOPARDY, OR IN THE CASE
OF A BEHAVIORAL CONDITION PLACING THE HEALTH OF SUCH PERSON OR OTHERS IN
SERIOUS JEOPARDY; (2) SERIOUS IMPAIRMENT TO SUCH PERSON'S BODILY FUNC-
TIONS; (3) SERIOUS DYSFUNCTION OF ANY BODILY ORGAN OR PART OF SUCH
PERSON; (4) SERIOUS DISFIGUREMENT OF SUCH PERSON; OR (5) A CONDITION
DESCRIBED IN CLAUSE (I), (II) OR (III) OF SECTION 1867(E)(1)(A) OF THE
SOCIAL SECURITY ACT 42 U.S.C. S 1395DD.
(B) "EMERGENCY SERVICES" MEANS, WITH RESPECT TO AN EMERGENCY CONDI-
TION: (1) A MEDICAL SCREENING EXAMINATION AS REQUIRED UNDER SECTION 1867
OF THE SOCIAL SECURITY ACT, 42 U.S.C. S 1395DD, WHICH IS WITHIN THE
CAPABILITY OF THE EMERGENCY DEPARTMENT OF A HOSPITAL, INCLUDING ANCIL-
LARY SERVICES ROUTINELY AVAILABLE TO THE EMERGENCY DEPARTMENT TO EVALU-
ATE SUCH EMERGENCY MEDICAL CONDITION; AND (2) WITHIN THE CAPABILITIES OF
THE STAFF AND FACILITIES AVAILABLE AT THE HOSPITAL, SUCH FURTHER MEDICAL
EXAMINATION AND TREATMENT AS ARE REQUIRED UNDER SECTION 1867 OF THE
SOCIAL SECURITY ACT, 42 U.S.C. S 1395DD, TO STABILIZE THE PATIENT.
(C) "HEALTH CARE PLAN" MEANS AN INSURER LICENSED TO WRITE ACCIDENT AND
HEALTH INSURANCE PURSUANT TO ARTICLE THIRTY-TWO OF THE INSURANCE LAW; A
CORPORATION ORGANIZED PURSUANT TO ARTICLE FORTY-THREE OF THE INSURANCE
LAW; A MUNICIPAL COOPERATIVE HEALTH BENEFIT PLAN CERTIFIED PURSUANT TO
ARTICLE FORTY-SEVEN OF THE INSURANCE LAW; A HEALTH MAINTENANCE ORGANIZA-
TION CERTIFIED PURSUANT TO ARTICLE FORTY-FOUR OF THE PUBLIC HEALTH LAW;
OR A STUDENT HEALTH PLAN ESTABLISHED OR MAINTAINED PURSUANT TO SECTION
ONE THOUSAND ONE HUNDRED TWENTY-FOUR OF THE INSURANCE LAW.
(D) "INSURED" MEANS A PATIENT COVERED UNDER A HEALTH CARE PLAN'S POLI-
CY OR CONTRACT.
(E) "NON-PARTICIPATING" MEANS NOT HAVING A CONTRACT WITH A HEALTH CARE
PLAN TO PROVIDE HEALTH CARE SERVICES TO AN INSURED.
(F) "PARTICIPATING" MEANS HAVING A CONTRACT WITH A HEALTH CARE PLAN TO
PROVIDE HEALTH CARE SERVICES TO AN INSURED.
(G) "PATIENT" MEANS A PERSON WHO RECEIVES HEALTH CARE SERVICES,
INCLUDING EMERGENCY SERVICES, IN THIS STATE.
(H) "SURPRISE BILL" MEANS A BILL FOR HEALTH CARE SERVICES, OTHER THAN
EMERGENCY SERVICES, RECEIVED BY:
(1) AN INSURED FOR SERVICES RENDERED BY A NON-PARTICIPATING PHYSICIAN
AT A PARTICIPATING HOSPITAL OR AMBULATORY SURGICAL CENTER, WHERE A
PARTICIPATING PHYSICIAN IS UNAVAILABLE AT THE TIME THE HEALTH CARE
SERVICES ARE RENDERED; PROVIDED, HOWEVER, THAT A SURPRISE BILL SHALL NOT
MEAN A BILL RECEIVED FOR HEALTH CARE SERVICES WHEN A PARTICIPATING
PHYSICIAN IS AVAILABLE AND THE INSURED HAS ELECTED TO OBTAIN SERVICES
FROM A NON-PARTICIPATING PHYSICIAN; OR
(2) A PATIENT WHO IS NOT AN INSURED FOR SERVICES RENDERED BY A PHYSI-
CIAN AT A HOSPITAL OR AMBULATORY SURGICAL CENTER, WHERE THE PATIENT HAS
S. 6357--A 78 A. 8557--A
NOT TIMELY RECEIVED ALL OF THE DISCLOSURES REQUIRED PURSUANT TO SECTION
TWENTY-FOUR OF THE PUBLIC HEALTH LAW.
(I) "USUAL AND CUSTOMARY COST" MEANS THE EIGHTIETH PERCENTILE OF ALL
CHARGES FOR THE PARTICULAR HEALTH CARE SERVICE PERFORMED BY A PROVIDER
IN THE SAME OR SIMILAR SPECIALTY AND PROVIDED IN THE SAME GEOGRAPHICAL
AREA AS REPORTED IN A BENCHMARKING DATABASE MAINTAINED BY A NONPROFIT
ORGANIZATION SPECIFIED BY THE SUPERINTENDENT. THE NONPROFIT ORGANIZATION
SHALL NOT BE AFFILIATED WITH AN INSURER, A CORPORATION SUBJECT TO ARTI-
CLE FORTY-THREE OF THE INSURANCE LAW, A MUNICIPAL COOPERATIVE HEALTH
BENEFIT PLAN CERTIFIED PURSUANT TO ARTICLE FORTY-SEVEN OF THE INSURANCE
LAW, OR A HEALTH MAINTENANCE ORGANIZATION CERTIFIED PURSUANT TO ARTICLE
FORTY-FOUR OF THE PUBLIC HEALTH LAW.
S 604. CRITERIA FOR DETERMINING A REASONABLE FEE. IN DETERMINING THE
APPROPRIATE AMOUNT TO PAY FOR A HEALTH CARE SERVICE, AN INDEPENDENT
DISPUTE RESOLUTION ENTITY SHALL CONSIDER ALL RELEVANT FACTORS, INCLUD-
ING:
(A) WHETHER THERE IS A GROSS DISPARITY BETWEEN THE FEE CHARGED BY THE
PHYSICIAN FOR SERVICES RENDERED AS COMPARED TO:
(1) FEES PAID TO THE INVOLVED PHYSICIAN FOR THE SAME SERVICES RENDERED
BY THE PHYSICIAN TO OTHER PATIENTS IN HEALTH CARE PLANS IN WHICH THE
PHYSICIAN IS NOT PARTICIPATING, AND
(2) IN THE CASE OF A DISPUTE INVOLVING A HEALTH CARE PLAN, FEES PAID
BY THE HEALTH CARE PLAN TO REIMBURSE SIMILARLY QUALIFIED PHYSICIANS FOR
THE SAME SERVICES IN THE SAME REGION WHO ARE NOT PARTICIPATING WITH THE
HEALTH CARE PLAN;
(B) THE LEVEL OF TRAINING, EDUCATION AND EXPERIENCE OF THE PHYSICIAN;
(C) THE PHYSICIAN'S USUAL CHARGE FOR COMPARABLE SERVICES WITH REGARD
TO PATIENTS IN HEALTH CARE PLANS IN WHICH THE PHYSICIAN IS NOT PARTIC-
IPATING;
(D) THE CIRCUMSTANCES AND COMPLEXITY OF THE PARTICULAR CASE, INCLUDING
TIME AND PLACE OF THE SERVICE;
(E) INDIVIDUAL PATIENT CHARACTERISTICS; AND
(F) THE USUAL AND CUSTOMARY COST OF THE SERVICE.
S 605. DISPUTE RESOLUTION FOR EMERGENCY SERVICES. (A) EMERGENCY
SERVICES FOR AN INSURED. (1) WHEN A HEALTH CARE PLAN RECEIVES A BILL FOR
EMERGENCY SERVICES FROM A NON-PARTICIPATING PHYSICIAN, THE HEALTH CARE
PLAN SHALL PAY AN AMOUNT THAT IT DETERMINES IS REASONABLE FOR THE EMER-
GENCY SERVICES RENDERED BY THE NON-PARTICIPATING PHYSICIAN, IN ACCORD-
ANCE WITH SECTION THREE THOUSAND TWO HUNDRED TWENTY-FOUR-A OF THE INSUR-
ANCE LAW, EXCEPT FOR THE INSURED'S CO-PAYMENT, COINSURANCE OR
DEDUCTIBLE, IF ANY, AND SHALL ENSURE THAT THE INSURED SHALL INCUR NO
GREATER OUT-OF-POCKET COSTS FOR THE EMERGENCY SERVICES THAN THE INSURED
WOULD HAVE INCURRED WITH A PARTICIPATING PHYSICIAN PURSUANT TO
SUBSECTION (C) OF SECTION THREE THOUSAND TWO HUNDRED FORTY-ONE OF THE
INSURANCE LAW.
(2) A NON-PARTICIPATING PHYSICIAN OR A HEALTH CARE PLAN MAY SUBMIT A
DISPUTE REGARDING A FEE OR PAYMENT FOR EMERGENCY SERVICES FOR REVIEW TO
AN INDEPENDENT DISPUTE RESOLUTION ENTITY.
(3) IN DETERMINING A REASONABLE FEE FOR THE SERVICES RENDERED, AN
INDEPENDENT DISPUTE RESOLUTION ENTITY SHALL SELECT EITHER THE HEALTH
CARE PLAN'S PAYMENT OR THE NON-PARTICIPATING PHYSICIAN'S FEE. THE INDE-
PENDENT DISPUTE RESOLUTION ENTITY SHALL DETERMINE WHICH AMOUNT TO SELECT
BASED UPON THE CONDITIONS AND FACTORS SET FORTH IN SECTION SIX HUNDRED
FOUR OF THIS ARTICLE.
(B) EMERGENCY SERVICES FOR A PATIENT THAT IS NOT AN INSURED. (1) A
PATIENT THAT IS NOT AN INSURED OR THE PATIENT'S PHYSICIAN MAY SUBMIT A
S. 6357--A 79 A. 8557--A
DISPUTE REGARDING A FEE FOR EMERGENCY SERVICES FOR REVIEW TO AN INDE-
PENDENT DISPUTE RESOLUTION ENTITY UPON APPROVAL OF THE SUPERINTENDENT.
(2) AN INDEPENDENT DISPUTE RESOLUTION ENTITY SHALL DETERMINE A REASON-
ABLE FEE FOR THE SERVICES BASED UPON THE SAME CONDITIONS AND FACTORS SET
FORTH IN SECTION SIX HUNDRED FOUR OF THIS ARTICLE.
(3) A PATIENT THAT IS NOT AN INSURED SHALL NOT BE REQUIRED TO PAY THE
PHYSICIAN'S FEE IN ORDER TO BE ELIGIBLE TO SUBMIT THE DISPUTE FOR REVIEW
TO AN INDEPENDENT DISPUTE RESOLUTION ENTITY.
(C) THE DETERMINATION OF AN INDEPENDENT DISPUTE RESOLUTION ENTITY
SHALL BE BINDING ON THE HEALTH CARE PLAN, PHYSICIAN AND PATIENT, AND
SHALL BE ADMISSIBLE IN ANY COURT PROCEEDING BETWEEN THE HEALTH CARE
PLAN, PHYSICIAN OR PATIENT, OR IN ANY ADMINISTRATIVE PROCEEDING BETWEEN
THIS STATE AND THE PHYSICIAN.
S 606. HOLD HARMLESS AND ASSIGNMENT OF BENEFITS FOR SURPRISE BILLS FOR
INSUREDS. WHEN AN INSURED ASSIGNS BENEFITS FOR A SURPRISE BILL IN WRIT-
ING TO A NON-PARTICIPATING PHYSICIAN THAT KNOWS THE INSURED IS INSURED
UNDER A HEALTH CARE PLAN, THE NON-PARTICIPATING PHYSICIAN SHALL NOT BILL
THE INSURED EXCEPT FOR ANY APPLICABLE COPAYMENT, COINSURANCE OR DEDUCT-
IBLE THAT WOULD BE OWED IF THE INSURED UTILIZED A PARTICIPATING PHYSI-
CIAN.
S 607. DISPUTE RESOLUTION FOR SURPRISE BILLS. (A) SURPRISE BILL
RECEIVED BY AN INSURED WHO ASSIGNS BENEFITS. (1) IF AN INSURED ASSIGNS
BENEFITS TO A NON-PARTICIPATING PHYSICIAN, THE HEALTH CARE PLAN SHALL
PAY THE NON-PARTICIPATING PHYSICIAN IN ACCORDANCE WITH PARAGRAPHS TWO
AND THREE OF THIS SUBSECTION.
(2) THE NON-PARTICIPATING PHYSICIAN MAY BILL THE HEALTH CARE PLAN FOR
THE HEALTH CARE SERVICES RENDERED, AND THE HEALTH CARE PLAN SHALL PAY
THE NON-PARTICIPATING PHYSICIAN THE BILLED AMOUNT OR ATTEMPT TO NEGOTI-
ATE REIMBURSEMENT WITH THE NON-PARTICIPATING PHYSICIAN.
(3) IF THE HEALTH CARE PLAN'S ATTEMPTS TO NEGOTIATE REIMBURSEMENT FOR
HEALTH CARE SERVICES PROVIDED BY A NON-PARTICIPATING PHYSICIAN DOES NOT
RESULT IN A RESOLUTION OF THE PAYMENT DISPUTE BETWEEN THE NON-PARTICI-
PATING PHYSICIAN AND THE HEALTH CARE PLAN, THE HEALTH CARE PLAN SHALL
PAY THE NON-PARTICIPATING PHYSICIAN AN AMOUNT THE HEALTH CARE PLAN
DETERMINES IS REASONABLE FOR THE HEALTH CARE SERVICES RENDERED, EXCEPT
FOR THE INSURED'S COPAYMENT, COINSURANCE OR DEDUCTIBLE, IN ACCORDANCE
WITH SECTION THREE THOUSAND TWO HUNDRED TWENTY-FOUR-A OF THE INSURANCE
LAW.
(4) EITHER THE HEALTH CARE PLAN OR THE NON-PARTICIPATING PHYSICIAN MAY
SUBMIT THE DISPUTE REGARDING THE SURPRISE BILL FOR REVIEW TO AN INDE-
PENDENT DISPUTE RESOLUTION ENTITY, PROVIDED HOWEVER, THE HEALTH CARE
PLAN MAY NOT SUBMIT THE DISPUTE UNLESS IT HAS COMPLIED WITH THE REQUIRE-
MENTS OF PARAGRAPHS ONE, TWO AND THREE OF THIS SUBSECTION.
(5) WHEN DETERMINING A REASONABLE FEE FOR THE SERVICES RENDERED, THE
INDEPENDENT DISPUTE RESOLUTION ENTITY SHALL SELECT EITHER THE HEALTH
CARE PLAN'S PAYMENT OR THE NON-PARTICIPATING PHYSICIAN'S FEE. AN INDE-
PENDENT DISPUTE RESOLUTION ENTITY SHALL DETERMINE WHICH AMOUNT TO SELECT
BASED UPON THE CONDITIONS AND FACTORS SET FORTH IN SECTION SIX HUNDRED
FOUR OF THIS ARTICLE.
(B) SURPRISE BILL RECEIVED BY AN INSURED WHO DOES NOT ASSIGN BENEFITS
OR BY A PATIENT WHO IS NOT AN INSURED. (1) AN INSURED WHO DOES NOT
ASSIGN BENEFITS IN ACCORDANCE WITH SUBSECTION (A) OF THIS SECTION OR A
PATIENT WHO IS NOT AN INSURED AND WHO RECEIVES A SURPRISE BILL MAY
SUBMIT A DISPUTE REGARDING THE SURPRISE BILL FOR REVIEW TO AN INDEPEND-
ENT DISPUTE RESOLUTION ENTITY.
S. 6357--A 80 A. 8557--A
(2) THE INDEPENDENT DISPUTE RESOLUTION ENTITY SHALL DETERMINE A
REASONABLE FEE FOR THE SERVICES RENDERED BASED UPON THE CONDITIONS AND
FACTORS SET FORTH IN SECTION SIX HUNDRED FOUR OF THIS ARTICLE.
(3) A PATIENT OR INSURED WHO DOES NOT ASSIGN BENEFITS IN ACCORDANCE
WITH SUBSECTION (A) OF THIS SECTION SHALL NOT BE REQUIRED TO PAY THE
PHYSICIAN'S FEE TO BE ELIGIBLE TO SUBMIT THE DISPUTE FOR REVIEW TO THE
INDEPENDENT DISPUTE ENTITY.
(C) THE DETERMINATION OF AN INDEPENDENT DISPUTE RESOLUTION ENTITY
SHALL BE BINDING ON THE PATIENT, PHYSICIAN AND HEALTH CARE PLAN, AND
SHALL BE ADMISSIBLE IN ANY COURT PROCEEDING BETWEEN THE PATIENT OR
INSURED, PHYSICIAN OR HEALTH CARE PLAN, OR IN ANY ADMINISTRATIVE
PROCEEDING BETWEEN THIS STATE AND THE PHYSICIAN.
S 608. PAYMENT FOR INDEPENDENT DISPUTE RESOLUTION ENTITY. (A) FOR
DISPUTES INVOLVING AN INSURED, WHEN THE INDEPENDENT DISPUTE RESOLUTION
ENTITY DETERMINES THE HEALTH CARE PLAN'S PAYMENT IS REASONABLE, PAYMENT
FOR THE DISPUTE RESOLUTION PROCESS SHALL BE THE RESPONSIBILITY OF THE
NON-PARTICIPATING PHYSICIAN. WHEN THE INDEPENDENT DISPUTE RESOLUTION
ENTITY DETERMINES THE NON-PARTICIPATING PHYSICIAN'S FEE IS REASONABLE,
PAYMENT FOR THE DISPUTE RESOLUTION PROCESS SHALL BE THE RESPONSIBILITY
OF THE HEALTH CARE PLAN.
(B) FOR DISPUTES INVOLVING A PATIENT THAT IS NOT AN INSURED, WHEN THE
INDEPENDENT DISPUTE RESOLUTION ENTITY DETERMINES THE PHYSICIAN'S FEE IS
REASONABLE, PAYMENT FOR THE DISPUTE RESOLUTION PROCESS SHALL BE THE
RESPONSIBILITY OF THE PATIENT UNLESS PAYMENT FOR THE DISPUTE RESOLUTION
PROCESS WOULD POSE A HARDSHIP TO THE PATIENT. THE SUPERINTENDENT SHALL
PROMULGATE A REGULATION TO DETERMINE PAYMENT FOR THE DISPUTE RESOLUTION
PROCESS IN CASES OF HARDSHIP. WHEN THE INDEPENDENT DISPUTE RESOLUTION
ENTITY DETERMINES THE PHYSICIAN'S FEE IS UNREASONABLE, PAYMENT FOR THE
DISPUTE RESOLUTION PROCESS SHALL BE THE RESPONSIBILITY OF THE PHYSICIAN.
S 27. This act shall take effect one year after it shall have become a
law, provided, however, that:
1. if the amendments by chapter 514 of the laws of 2013 made to
subsection (b) of section 4903 of the insurance law and subdivision 2 of
section 4903 of the public health law, as amended by sections twelve and
twenty-two of this act, respectively, take effect after such date, then
sections twelve and twenty-two of this act shall take effect on the same
date as chapter 514 of the laws of 2013 takes effect;
2. for policies renewed on and after such date this act shall take
effect on the renewal date;
3. sections twelve, sixteen, seventeen, twenty-two and twenty-six of
this act shall apply to health care services provided on and after such
date;
4. sections eleven, thirteen, fourteen, fifteen, twenty-one, twenty-
three, twenty-four and twenty-five of this act shall apply to denials
issued on and after such date; and
5. effective immediately, the superintendent of financial services may
promulgate any regulations necessary for the implementation of the
provisions of this act on its effective date, and may certify one or
more independent dispute resolution entities.
PART V
Section 1. The opening paragraph of subsection (k) of section 2101 of
the insurance law, as added by chapter 687 of the laws of 2003, is
amended to read as follows:
S. 6357--A 81 A. 8557--A
In this article, "insurance producer" means an insurance agent, TITLE
INSURANCE AGENT, TITLE INSURANCE SOLICITOR, insurance broker, reinsur-
ance intermediary, excess lines broker, or any other person required to
be licensed under the laws of this state to sell, solicit or negotiate
insurance. Such term shall not include:
S 2. Paragraph 4 of subsection (k) of section 2101 of the insurance
law is REPEALED and paragraphs 5, 6, 7, 8, 9, 10, 11, and 12 are renum-
bered paragraphs 4, 5, 6, 7, 8, 9, 10, and 11.
S 3. Section 2101 of the insurance law is amended by adding 3 new
subsections (y), (z), and (aa) to read as follows:
(Y) (1) IN THIS CHAPTER, "TITLE INSURANCE AGENT" MEANS ANY AUTHORIZED
OR ACKNOWLEDGED AGENT OF A TITLE INSURANCE CORPORATION, AND ANY SUBAGENT
OR OTHER REPRESENTATIVE OF SUCH AN AGENT, WHO OR WHICH FOR COMMISSION,
COMPENSATION, OR ANY OTHER THING OF VALUE, PERFORMS THE FOLLOWING ACTS
IN CONJUNCTION WITH THE ISSUANCE OF A TITLE INSURANCE POLICY:
(A) DETERMINES INSURABILITY OR PREPARES OR ISSUES TITLE INSURANCE
COMMITMENTS OR POLICIES, OR BOTH, BASED UPON THE PERFORMANCE OR REVIEW
OF A SEARCH; AND
(B) PERFORMS ONE OR MORE OF THE FOLLOWING FUNCTIONS:
(I) COLLECTS, REMITS OR DISBURSES PREMIUM OR OTHER FUNDS;
(II) HANDLES ESCROWS;
(III) SELLS, SOLICITS OR NEGOTIATES TITLE INSURANCE BUSINESS; OR
(IV) CLOSES TITLE, INCLUDING THE CLEARANCE OF TITLE EXCEPTIONS, IN
CONNECTION WITH THE ISSUANCE OF A TITLE INSURANCE POLICY;
(2) SUCH TERM SHALL NOT INCLUDE ANY REGULAR SALARIED OFFICER OR
EMPLOYEE OF AN AUTHORIZED TITLE INSURANCE CORPORATION OR OF A LICENSED
TITLE INSURANCE AGENT, WHO DOES NOT RECEIVE A COMMISSION OR OTHER
COMPENSATION FOR SERVICES, WHICH COMMISSION OR OTHER COMPENSATION IS
DIRECTLY DEPENDENT UPON THE AMOUNT OF TITLE INSURANCE BUSINESS DONE.
(Z) IN THIS CHAPTER, "TITLE INSURANCE CLOSER" MEANS ANY PERSON WHO FOR
COMPENSATION OR ANYTHING OF VALUE, REPRESENTS A TITLE INSURANCE CORPO-
RATION OR TITLE INSURANCE AGENT AT THE CLOSING OF TITLE, EXCEPT THAT
SUCH TERM SHALL NOT INCLUDE:
(1) A LICENSED TITLE INSURANCE AGENT; OR
(2) ANY REGULAR SALARIED OFFICER OR EMPLOYEE OF AN AUTHORIZED TITLE
INSURANCE CORPORATION OR TITLE INSURANCE AGENT WHO DOES NOT RECEIVE A
COMMISSION OR OTHER COMPENSATION THAT IS DIRECTLY DEPENDENT UPON THE
AMOUNT OF TITLE INSURANCE BUSINESS DONE.
(AA) IN THIS CHAPTER, "TITLE INSURANCE SOLICITOR" MEANS ANY PERSON,
FIRM, ASSOCIATION OR CORPORATION, WHO OR WHICH, FOR COMPENSATION OR
ANYTHING OF VALUE, SOLICITS TITLE INSURANCE ON BEHALF OF A TITLE INSUR-
ANCE CORPORATION OR A TITLE INSURANCE AGENT, EXCEPT THAT SUCH TERM SHALL
NOT INCLUDE:
(1) A LICENSED TITLE INSURANCE AGENT; OR
(2) ANY REGULAR SALARIED OFFICER OR EMPLOYEE OF AN AUTHORIZED TITLE
INSURANCE CORPORATION OR TITLE INSURANCE AGENT WHO DOES NOT RECEIVE A
COMMISSION OR OTHER COMPENSATION THAT IS DIRECTLY DEPENDENT UPON THE
AMOUNT OF TITLE INSURANCE BUSINESS DONE.
S 4. Subparagraph (A) of paragraph 1 of subsection (a) of section 2102
of the insurance law, as amended by section 8 of part I of chapter 61 of
the laws of 2011, is amended to read as follows:
(A) No person, firm, association or corporation shall act as an insur-
ance producer, insurance adjuster [or], life settlement broker OR TITLE
INSURANCE CLOSER in this state without having authority to do so by
virtue of a license issued and in force pursuant to the provisions of
this chapter.
S. 6357--A 82 A. 8557--A
S 5. Subsection (a) of section 2109 of the insurance law, paragraph 3
as amended by chapter 687 of the laws of 2003, is amended to read as
follows:
(a) The superintendent may issue a temporary insurance agent's
LICENSE, TITLE INSURANCE AGENT'S LICENSE or insurance broker's license,
or both AN INSURANCE AGENT'S AND INSURANCE BROKER'S LICENSE, without
requiring the applicant to pass a written examination or to satisfy the
requirements of subsection (c) of section two thousand one hundred four
of this article except as to age, in the case of a license issued pursu-
ant to paragraph two [hereof] OF THIS SUBSECTION, in the following
cases:
(1) in the case of the death of a person who at the time of his death
was a licensed accident and health insurance agent under subsection (a)
of section two thousand one hundred three of this article, a licensed
insurance agent OR LICENSED TITLE INSURANCE AGENT under subsection (b)
of such section or a licensed insurance broker:
(A) to the executor or administrator of the estate of such deceased
agent or broker;
(B) to a surviving next of kin of such deceased agent or broker, where
no administrator of his estate has been appointed and no executor has
qualified under his duly probated will;
(C) to the surviving member or members of a firm or association, which
at the time of the death of a member was such a licensed insurance
agent, LICENSED TITLE INSURANCE AGENT or licensed insurance broker; or
(D) to an officer or director of a corporation upon the death of the
only officer or director who was qualified as a sub-licensee or to the
executor or administrator of the estate of such deceased officer or
director;
(2) to any person who may be designated by a person licensed pursuant
to this chapter as an insurance agent, TITLE INSURANCE AGENT or an
insurance broker, or both AN INSURANCE AGENT AND INSURANCE BROKER, and
who is absent because of service in any branch of the armed forces of
the United States, including a partnership or corporation [which] THAT
is licensed pursuant to this chapter as an insurance agent, TITLE INSUR-
ANCE AGENT or as an insurance broker, or both AN INSURANCE AGENT AND
INSURANCE BROKER, in a case where the sub-licensee or all sub-licensees,
if more than one, named in the license or licenses issued to such part-
nership or corporation is or are absent because of service in any branch
of the armed forces of the United States; and
(3) to the next of kin of a person who has become totally disabled and
prevented from pursuing any of the duties of his or her occupation, and
who at the commencement of his or her disability was a licensed accident
and health insurance agent under subsection (a) of section two thousand
one hundred three of this article, a licensed insurance agent under
subsection (b) of such section, A LICENSED TITLE INSURANCE AGENT or a
licensed insurance broker.
S 6. Subsection (c) of section 2109 of the insurance law is amended to
read as follows:
(c) Such license or licenses shall authorize the person or persons
named therein to renew the business of the deceased, absent or disabled
INSURANCE agent, TITLE INSURANCE AGENT, or INSURANCE broker, or both AN
INSURANCE AGENT AND INSURANCE BROKER, as the case may be, or of the firm
or, in the case of a license issued pursuant to paragraph one or three
of subsection (a) [hereof] OF THIS SECTION, the association whose busi-
ness is being continued thereunder, each such agent[,] OR broker[, firm
or association] being referred to in this section as "original licen-
S. 6357--A 83 A. 8557--A
see", expiring during the period in which such temporary license or
licenses are in force, to collect premiums due and payable to the
original licensee or, in the case of a license issued pursuant to para-
graph one of subsection (a) [hereof] OF THIS SECTION, to his OR HER
estate, and to perform such other acts as an insurance agent, A TITLE
INSURANCE AGENT or [as] an insurance broker, or both AN INSURANCE AGENT
OR INSURANCE BROKER, as the case may be, as are incidental to the
continuance of the insurance business of such original licensee.
S 7. Section 2109 of the insurance law is amended by adding a new
subsection (h) to read as follows:
(H) (1) IN THE CASE OF A PERSON SEEKING A TEMPORARY LICENSE TO ACT AS
A TITLE INSURANCE AGENT PURSUANT TO SUBSECTION (A) OF THIS SECTION, THE
SUPERINTENDENT MAY ISSUE A LICENSE FOR A TERM NOT TO EXCEED ONE HUNDRED
EIGHTY DAYS TO SUCH PERSON PROVIDED THE PERSON:
(A) DEMONSTRATES TO THE SATISFACTION OF THE SUPERINTENDENT THAT A
TITLE INSURANCE CORPORATION IS WILLING TO APPOINT HIM OR HER;
(B) SUBMITS TO THE NEXT AVAILABLE TITLE INSURANCE AGENT EXAMINATION;
AND
(C) DEMONSTRATES TO THE SATISFACTION OF THE SUPERINTENDENT THAT HE OR
SHE IS QUALIFIED, COMPETENT, EXPERIENCED AND TRUSTWORTHY TO ACT AS A
TITLE INSURANCE AGENT.
(2) ANY PERSON ISSUED A LICENSE PURSUANT TO THIS SUBSECTION SHALL, BY
VIRTUE OF SUCH LICENSE, BE AUTHORIZED TO SOLICIT, NEGOTIATE OR SELL NEW
POLICIES OF TITLE INSURANCE.
S 8. The section heading and subsections (a) and (b) of section 2110
of the insurance law, as amended by chapter 499 of the laws of 2009,
paragraph 15 of subsection (a) as added and paragraphs 16 and 17 of
subsection (a) as renumbered by chapter 546 of the laws of 2013, are
amended to read as follows:
Revocation or suspension of license of insurance producer, insurance
consultant, adjuster, TITLE INSURANCE CLOSER, or life settlement broker.
(a) The superintendent may refuse to renew, revoke, or may suspend for a
period the superintendent determines the license of any insurance
producer, insurance consultant, adjuster, TITLE INSURANCE CLOSER or life
settlement broker, if, after notice and hearing, the superintendent
determines that the licensee or any sub-licensee has:
(1) violated any insurance laws, or violated any regulation, subpoena
or order of the superintendent or of another state's insurance commis-
sioner, or has violated any law in the course of his or her dealings in
such capacity;
(2) provided materially incorrect, materially misleading, materially
incomplete or materially untrue information in the license application;
(3) obtained or attempted to obtain a license through misrepresen-
tation or fraud;
(4) (A) used fraudulent, coercive or dishonest practices;
(B) demonstrated incompetence;
(C) demonstrated untrustworthiness; or
(D) demonstrated financial irresponsibility in the conduct of business
in this state or elsewhere;
(5) improperly withheld, misappropriated or converted any monies or
properties received in the course of business in this state or else-
where;
(6) intentionally misrepresented the terms of an actual or proposed
insurance contract, life settlement contract or application for insur-
ance;
(7) has been convicted of a felony;
S. 6357--A 84 A. 8557--A
(8) admitted or been found to have committed any insurance unfair
trade practice or fraud;
(9) had an insurance producer license, INSURANCE CONSULTANT LICENSE,
ADJUSTER LICENSE, A TITLE INSURANCE CLOSER LICENSE, a life settlement
broker license, or its equivalent, denied, suspended or revoked in any
other state, province, district or territory;
(10) forged another's name to an application for insurance or life
settlement contract or to any document related to an insurance or life
settlement transaction;
(11) improperly used notes or any other reference material to complete
an examination for an insurance license or life settlement broker
license;
(12) knowingly accepted insurance business from an individual who is
not licensed;
(13) failed to comply with an administrative or court order imposing a
child support obligation;
(14) failed to pay state income tax or comply with any administrative
or court order directing payment of state income tax;
(15) while acting as a public adjuster, the licensee has failed to act
on behalf and in the best interests of the insured when negotiating for
or effecting the settlement of an insurance claim for such insured or
otherwise acting as a public adjuster, or has failed to make the disclo-
sures required by paragraph two of subsection (s) of section two thou-
sand one hundred eight of this article;
(16) while acting as a life settlement broker, failed to protect the
privacy of the insured or owner or other person for whom the life
settlement broker was required to provide protection pursuant to article
seventy-eight of this chapter; or
(17) ceased to meet the requirements for licensure under this chapter.
(b) Before revoking or suspending the license of any insurance produc-
er, TITLE INSURANCE CLOSER, life settlement broker or other licensee
pursuant to the provisions of this article, the superintendent shall,
except when proceeding pursuant to subsection (f) of this section, give
notice to the licensee and to every sub-licensee and shall hold, or
cause to be held, a hearing not less than ten days after the giving of
such notice.
S 9. Subsections (a), (b), (c), and (d) of sections 2112 of the insur-
ance law, subsection (a) as amended by chapter 540 of the laws of 1996,
subsections (b) and (d) as amended by chapter 687 of the laws of 2003
and subsection (c) as amended by chapter 647 of the laws of 1992, are
amended to read as follows:
(a) Every insurer, fraternal benefit society or health maintenance
organization doing business in this state shall file a certificate of
appointment in such form as the superintendent may prescribe in order to
appoint insurance agents, TITLE INSURANCE AGENTS, OR TITLE INSURANCE
SOLICITORS to represent such insurer, fraternal benefit society or
health maintenance organization; EXCEPT THAT A TITLE INSURANCE AGENT
SHALL FILE A CERTIFICATE OF APPOINTMENT IN SUCH FORM AS THE SUPERINTEN-
DENT MAY PRESCRIBE IN ORDER TO APPOINT A TITLE INSURANCE SOLICITOR TO
ACT ON BEHALF OF SUCH TITLE INSURANCE AGENT.
(b) To appoint a producer, the appointing insurer, OR IN THE CASE OF A
TITLE INSURANCE SOLICITOR, THE APPOINTING TITLE INSURANCE AGENT OR
INSURER, shall file, in a format approved by the superintendent, a
notice of appointment within fifteen days from the date the agency
contract is executed or the first insurance application is submitted.
S. 6357--A 85 A. 8557--A
(c) Certificates of appointment shall be valid until [(i)] (1) termi-
nated by the appointing insurer OR TITLE INSURANCE AGENT after a termi-
nation in accordance with the provisions of the agency contract; [(ii)]
(2) the license is suspended or revoked by the superintendent; or
[(iii)] (3) the license expires and is not renewed.
(d) Every insurer, fraternal benefit society or health maintenance
organization or insurance producer or the authorized representative of
the insurer, fraternal benefit society, health maintenance organization
or insurance producer doing business in this state shall, upon termi-
nation of the certificate of appointment as set forth in subsection (a)
of this section of any insurance agent, TITLE INSURANCE AGENT OR TITLE
INSURANCE SOLICITOR licensed in this state, or upon termination for
cause for activities as set forth in subsection (a) of section two thou-
sand one hundred ten of this article, of the certificate of appointment,
of employment, of a contract or other insurance business relationship
with any insurance producer, file with the superintendent within thirty
days a statement, in such form as the superintendent may prescribe, of
the facts relative to such termination for cause. The insurer, fraternal
benefit society, health maintenance organization, insurance producer or
the authorized representative of the insurer, fraternal benefit society,
health maintenance organization or insurance producer shall provide,
within fifteen days after notification has been sent to the superinten-
dent, a copy of the statement filed with the superintendent to the
insurance producer at his, or her or its last known address by certified
mail, return receipt requested, postage prepaid or by overnight delivery
using a nationally recognized carrier. Every statement made pursuant to
this subsection shall be deemed a privileged communication.
S 10. The insurance law is amended by adding a new section 2113 to
read as follows:
S 2113. TITLE INSURANCE AGENT, TITLE INSURANCE SOLICITOR, AND TITLE
INSURANCE CLOSER; COMMISSIONS. (A) NO INSURER DOING BUSINESS IN THIS
STATE, AND NO AGENT OR OTHER REPRESENTATIVE THEREOF, SHALL PAY ANY
COMMISSION OR OTHER COMPENSATION TO ANY PERSON, FIRM, ASSOCIATION OR
CORPORATION FOR ACTING AS A TITLE INSURANCE AGENT IN THIS STATE, EXCEPT
TO A LICENSED TITLE INSURANCE AGENT.
(B) NO INSURER DOING BUSINESS IN THIS STATE, AND NO AGENT OR OTHER
REPRESENTATIVE THEREOF, SHALL PAY ANY COMPENSATION TO ANY PERSON, FIRM,
ASSOCIATION OR CORPORATION FOR ACTING AS A TITLE INSURANCE CLOSER IN
THIS STATE, EXCEPT TO A LICENSED TITLE INSURANCE CLOSER.
(C) NO INSURER DOING BUSINESS IN THIS STATE, AND NO AGENT OR OTHER
REPRESENTATIVE THEREOF, SHALL PAY ANY COMPENSATION TO ANY PERSON, FIRM,
ASSOCIATION OR CORPORATION FOR ACTING AS A TITLE INSURANCE SOLICITOR IN
THIS STATE, EXCEPT TO A LICENSED TITLE INSURANCE SOLICITOR.
(D) AT THE TIME OF THE APPLICATION, A TITLE INSURANCE AGENT SHALL
PROVIDE TO EVERY APPLICANT FOR INSURANCE, A WRITTEN GOOD FAITH ESTIMATE
OF THE PREMIUM ON THE POLICY OR POLICIES TO BE ISSUED AND A BREAKDOWN OF
THE AMOUNT OF ALL FEES AND SERVICE COSTS, INCLUDING ALL FILING FEES AND
CLOSING COSTS, AND ANY OTHER ANCILLARY OR DISCRETIONARY CHARGES TO BE
INCURRED, AND THE AMOUNT OF ANY COMMISSION OR OTHER COMPENSATION TO BE
PAID TO SUCH AGENT BY THE TITLE INSURANCE CORPORATION. IF NO TITLE
INSURANCE AGENT IS UTILIZED, THE TITLE INSURER SHALL PROVIDE THE DISCLO-
SURES.
(E) FOR PURPOSES OF THIS CHAPTER, A TITLE INSURANCE CLOSER SHALL BE
DEEMED TO BE THE APPOINTED REPRESENTATIVE OF THE TITLE INSURANCE CORPO-
RATION OR TITLE INSURANCE AGENT THAT HAS ENGAGED SUCH TITLE INSURANCE
CLOSER FOR THE CLOSING.
S. 6357--A 86 A. 8557--A
(F) NOTHING IN THIS CHAPTER SHALL BE DEEMED TO OR BE CONSTRUED IN A
MANNER TO AUTHORIZE OR PERMIT ANY ACTIVITY OR PRACTICE, WITH RESPECT TO
THE BUSINESS OF TITLE INSURANCE, THAT IS PROHIBITED BY SECTION FOUR
HUNDRED EIGHTY-FOUR OR FOUR HUNDRED NINETY-FIVE OF THE JUDICIARY LAW, OR
OTHERWISE PROHIBITED BY LAW, INCLUDING THE UNAUTHORIZED PRACTICE OF LAW.
(G) NO PERSON OR ENTITY WHO ACTS AS AN AGENT, REPRESENTATIVE, ATTOR-
NEY, OR EMPLOYEE OF THE OWNER, LESSEE, OR MORTGAGEE, OR PROSPECTIVE
OWNER, LESSEE, OR MORTGAGEE OF THE REAL PROPERTY OR ANY INTEREST THEREIN
AND WHO ALSO IS A MEMBER, EMPLOYEE, OR DIRECTOR OF A TITLE INSURANCE
AGENT, OWNS ANY INTEREST IN A TITLE INSURANCE AGENT, OR IS A SUBSIDIARY
OR AFFILIATE OF ANY TITLE INSURANCE AGENT, SHALL REFER AN APPLICANT FOR
INSURANCE TO SUCH AGENT, AND NO SUCH TITLE INSURANCE AGENT SHALL ACCEPT
ANY SUCH REFERRAL OF TITLE INSURANCE BUSINESS, UNLESS THE REFERRAL IS
MADE IN ACCORDANCE WITH SECTION SIX THOUSAND FOUR HUNDRED NINE OF THIS
CHAPTER AND SUCH PERSON OR ENTITY, AT THE TIME OF MAKING A REFERRAL,
PROVIDES, AT A MINIMUM, THE FOLLOWING WRITTEN DISCLOSURE TO THE APPLI-
CANT:
(1) THE NATURE OF THE RELATIONSHIP BETWEEN THE PERSON OR ENTITY AND
THE TITLE INSURANCE AGENT;
(2) THAT THE PARTY BEING REFERRED IS NOT REQUIRED TO USE THE SERVICES
OF THE TITLE INSURANCE AGENT OR THE TITLE INSURANCE CORPORATION TO WHICH
THE PARTY IS BEING REFERRED;
(3) THAT ANY MONEY OR OTHER THING OF VALUE DIRECTLY OR INDIRECTLY PAID
BY THE TITLE INSURANCE AGENT OR TITLE INSURANCE CORPORATION TO THE
PERSON OR ENTITY IS BASED ON THE PERSON OR ENTITY'S FINANCIAL INTEREST
IN THE TITLE INSURANCE AGENT, AND IS NOT RELATED TO THE AMOUNT OF TITLE
INSURANCE BUSINESS THE PERSON OR ENTITY REFERS TO THE TITLE INSURANCE
AGENT;
(4) THAT THE PERSON OR ENTITY IS NOT REQUIRED TO REFER A SPECIFIED
AMOUNT OF TITLE INSURANCE BUSINESS TO THE TITLE INSURANCE AGENCY; AND
(5) THE AMOUNT OR VALUE OF ANY COMPENSATION OR OTHER THING OF VALUE
THAT THE PERSON OR ENTITY EXPECTS TO RECEIVE IN CONNECTION WITH THE
SERVICES TO BE PROVIDED BY THE TITLE INSURANCE AGENT OR THE TITLE INSUR-
ANCE CORPORATION TO WHICH THE PARTY IS BEING REFERRED.
S 11. The section heading of section 2119 of the insurance law, as
amended by chapter 499 of the laws of 2009, is amended and a new
subsection (f) is added to read as follows:
Insurance agents, brokers, consultants, [and] life settlement brokers,
TITLE INSURANCE AGENTS AND TITLE INSURANCE CLOSERS; written contract for
compensation; excess charges prohibited.
(F) NO TITLE INSURANCE AGENT OR TITLE INSURANCE CLOSER MAY RECEIVE ANY
COMPENSATION OR FEE, DIRECT OR INDIRECT, FOR OR ON ACCOUNT OF SERVICES
PERFORMED IN CONNECTION WITH THE ISSUANCE OF A TITLE INSURANCE POLICY,
UNLESS SUCH COMPENSATION IS: (1) FOR ANCILLARY SERVICES NOT ENCOMPASSED
IN THE RATE OF PREMIUM APPROVED BY THE SUPERINTENDENT; AND (2) BASED
UPON A WRITTEN MEMORANDUM SIGNED BY THE PARTY TO BE CHARGED, AND SPECI-
FYING OR CLEARLY DEFINING THE AMOUNT OR EXTENT OF SUCH COMPENSATION. A
COPY OF EVERY SUCH MEMORANDUM SHALL BE RETAINED BY THE LICENSEE FOR NOT
LESS THAN THREE YEARS AFTER SUCH SERVICES HAVE BEEN FULLY PERFORMED.
S 12. The section heading and subsections (a) and (c) of section 2120
of the insurance law are amended to read as follows:
Fiduciary capacity of insurance agents, TITLE INSURANCE AGENTS, TITLE
INSURANCE CLOSERS, insurance brokers and reinsurance intermediaries. (a)
Every insurance agent, TITLE INSURANCE AGENT, TITLE INSURANCE CLOSER,
and [every] insurance broker acting as such in this state shall be
responsible in a fiduciary capacity for all funds received or collected
S. 6357--A 87 A. 8557--A
as insurance agent or insurance broker, and shall not, without the
express consent of his, HER or its principal, mingle any such funds with
his, HER or its own funds or with funds held by him, HER or it in any
other capacity.
(c) This section shall not require any such INSURANCE agent, TITLE
INSURANCE AGENT, TITLE INSURANCE CLOSER, INSURANCE broker or reinsurance
intermediary to maintain a separate bank deposit for the funds of each
such principal, if and as long as the funds so held for each such prin-
cipal are reasonably ascertainable from the books of account and records
of such agent, broker or reinsurance intermediary, as the case may be.
S 13. The section heading and subsection (a) of section 2122 of the
insurance law are amended to read as follows:
Advertising by insurance [agents and brokers] PRODUCERS. (a) (1) No
insurance [agent or insurance broker] PRODUCER shall make or issue in
this state any advertisement, sign, pamphlet, circular, card or other
public announcement purporting to make known the financial condition of
any insurer, unless the same shall conform to the requirements of
section one thousand three hundred thirteen of this chapter.
(2) No insurance [agent, insurance broker] PRODUCER or other person,
shall, by any advertisement or public announcement in this state, call
attention to any unauthorized insurer or insurers.
S 14. Subsections (a) and (b) of section 2128 of the insurance law,
subsection (b) as further amended by section 104 of part A of chapter 62
of the laws of 2011, are amended to read as follows:
(a) Notwithstanding the provisions of sections two thousand three
hundred twenty-four and four thousand two hundred twenty-four of this
chapter, no [insurance agent, insurance broker, insurance consultant,
excess line broker, reinsurance intermediary or insurance adjuster]
LICENSEE SUBJECT TO THIS ARTICLE shall receive any commissions or fees
or shares thereof in connection with insurance coverages placed for or
insurance services rendered to the state, its agencies and departments,
public benefit corporations, municipalities and other governmental
subdivisions in this state, unless such [insurance agent, insurance
broker, insurance consultant, excess line broker, reinsurance interme-
diary or insurance adjuster] LICENSEE actually placed insurance cover-
ages on behalf of or rendered insurance services to the state, its agen-
cies and departments, public benefit corporations, municipalities and
other governmental subdivisions in this state.
(b) The superintendent shall, by regulation, require [insurance
agents, insurance brokers, insurance consultants, excess line brokers,
reinsurance intermediaries and insurance adjusters] LICENSEES SUBJECT TO
THIS ARTICLE to file disclosure statements with the department of finan-
cial services and the most senior official of the governmental unit
involved, with respect to any insurance coverages placed for or insur-
ance services rendered to the state, its agencies and departments,
public benefit corporations, municipalities and other governmental
subdivisions in this state, EXCEPT THAT NEITHER A TITLE INSURANCE CORPO-
RATION NOR A TITLE INSURANCE AGENT SHALL BE REQUIRED TO FILE A DISCLO-
SURE STATEMENT IF AN INDUSTRIAL DEVELOPMENT AGENCY, STATE OF NEW YORK
MORTGAGE AGENCY OR ITS SUCCESSOR, OR ANY SIMILAR TYPE OF ENTITY, IS THE
NAMED INSURED UNDER THE POLICY AND IS A MORTGAGEE WITH RESPECT TO THE
PROPERTY INSURED.
S 15. Subsections (a) and (b) of section 2132 of the insurance law, as
amended by chapter 499 of the laws of 2009, are amended to read as
follows:
S. 6357--A 88 A. 8557--A
(a) This section shall apply to resident and non-resident persons
licensed pursuant to this article with respect to:
(1) life insurance, annuity contracts, variable annuity contracts and
variable life insurance;
(2) sickness, accident and health insurance;
(3) all lines of property and casualty insurance; [and]
(4) life settlements[.]; AND
(5) TITLE INSURANCE.
(b) This section shall not apply to:
(1) those persons holding licenses for which an examination is not
required by the laws of this state;
(2) any limited licensees or any other licensees as the superintendent
may exempt subject to any continuing education requirements deemed
appropriate by the superintendent; [or]
(3) for purposes of the continuing education requirements for life
settlements, an insurance producer with a life line of authority who is
acting as a life settlement broker pursuant to section two thousand one
hundred thirty-seven of this article; OR
(4) FOR PURPOSES OF A TITLE INSURANCE AGENT LICENSE, AN ATTORNEY
LICENSED TO PRACTICE LAW IN THIS STATE.
S 16. The insurance law is amended by adding a new section 2139 to
read as follows:
S 2139. FINGERPRINTING. (A) (1) EXCEPT AS PROVIDED IN SUBSECTION (B)
OF THIS SECTION, THE SUPERINTENDENT MAY REQUIRE ANY INDIVIDUAL NAMED IN
AN APPLICATION FOR A LICENSE UNDER SECTION TWO THOUSAND ONE HUNDRED
FORTY, TWO THOUSAND ONE HUNDRED FORTY-ONE, OR TWO THOUSAND ONE HUNDRED
FORTY-TWO OF THIS ARTICLE TO SUBMIT A SET OF FINGERPRINTS. SUCH FINGER-
PRINTS SHALL BE SUBMITTED TO THE DIVISION OF CRIMINAL JUSTICE SERVICES
FOR A STATE CRIMINAL HISTORY RECORD CHECK, AND MAY BE SUBMITTED TO THE
FEDERAL BUREAU OF INVESTIGATION FOR A NATIONAL CRIMINAL HISTORY RECORD
CHECK. ALL SUCH CRIMINAL HISTORY RECORDS MADE AVAILABLE TO THE SUPER-
INTENDENT PURSUANT TO THIS SECTION SHALL BE CONFIDENTIAL PURSUANT TO THE
APPLICABLE FEDERAL AND STATE LAWS, RULES AND REGULATIONS, AND SHALL NOT
BE PUBLISHED OR IN ANY WAY DISCLOSED TO PERSONS OTHER THAN THE SUPER-
INTENDENT, UNLESS OTHERWISE AUTHORIZED BY LAW.
(2) THE SUPERINTENDENT SHALL INFORM SUCH APPLICANT THAT HE OR SHE MAY
OBTAIN A COPY OF HIS OR HER CRIMINAL HISTORY RECORD MAINTAINED BY THE
DIVISION OF CRIMINAL JUSTICE SERVICES, IF ANY, AND MAY CHALLENGE THE
COMPLETENESS OR ACCURACY OF THE INFORMATION CONTAINED IN SUCH RECORD,
PURSUANT TO REGULATIONS AND PROCEDURES ESTABLISHED BY THE DIVISION OF
CRIMINAL JUSTICE SERVICES.
(3) ALL DETERMINATIONS TO GRANT OR DENY CLEARANCE FOR LICENSURE PURSU-
ANT TO THIS SECTION SHALL BE IN ACCORDANCE WITH SUBDIVISION SIXTEEN OF
SECTION TWO HUNDRED NINETY-SIX OF THE EXECUTIVE LAW AND ARTICLE TWENTY-
THREE-A OF THE CORRECTION LAW. WHEN THE SUPERINTENDENT DENIES AN APPLI-
CATION, WRITTEN NOTICE OF SUCH DETERMINATION SHALL BE GIVEN TO THE
PROSPECTIVE APPLICANT WHO SHALL BE AFFORDED NOTICE AND THE RIGHT TO BE
HEARD AND OFFER PROOF IN OPPOSITION TO SUCH DETERMINATION.
(B) THE SUPERINTENDENT SHALL WAIVE THE FINGERPRINTING REQUIREMENT FOR
A NONRESIDENT PRODUCER LICENSE APPLICANT AS PROVIDED IN SECTION TWO
THOUSAND ONE HUNDRED THIRTY-SIX OF THIS ARTICLE.
S 17. The insurance law is amended by adding a new section 2140 to
read as follows:
S 2140. TITLE INSURANCE AGENTS; LICENSING. (A) THE SUPERINTENDENT MAY
ISSUE A LICENSE TO ANY PERSON, FIRM, ASSOCIATION OR CORPORATION THAT HAS
COMPLIED WITH THE REQUIREMENTS OF THIS CHAPTER, AUTHORIZING THE LICENSEE
S. 6357--A 89 A. 8557--A
TO ACT AS A TITLE INSURANCE AGENT OF ANY AUTHORIZED TITLE INSURANCE
CORPORATION, PROVIDED THAT SUCH TITLE INSURANCE AGENT DEMONSTRATES
FINANCIAL ACCOUNTABILITY AS EVIDENCED BY A BOND OR OTHER METHOD OF
FINANCIAL ACCOUNTABILITY IN AN AMOUNT NOT LESS THAN FIFTY THOUSAND
DOLLARS.
(B) ANY SUCH LICENSE ISSUED TO A FIRM OR ASSOCIATION SHALL AUTHORIZE
ONLY THE MEMBERS THEREOF, NAMED IN SUCH LICENSE AS SUB-LICENSEES, TO ACT
INDIVIDUALLY AS TITLE INSURANCE AGENTS THEREUNDER, AND ANY SUCH LICENSE
ISSUED TO A CORPORATION SHALL AUTHORIZE ONLY THE OFFICERS AND DIRECTORS
THEREOF, NAMED IN SUCH LICENSE AS SUB-LICENSEES, TO ACT INDIVIDUALLY AS
TITLE INSURANCE AGENTS THEREUNDER. EVERY SUB-LICENSEE ACTING AS TITLE
INSURANCE AGENT PURSUANT TO SUCH A LICENSE SHALL BE AUTHORIZED SO TO ACT
ONLY IN THE NAME OF THE LICENSEE. IN THE CASE OF A LICENSE ISSUED TO A
TITLE INSURANCE AGENT, AT LEAST ONE DESIGNATED SUB-LICENSEE MUST HAVE A
FINANCIAL OR OTHER BENEFICIAL INTEREST IN THE LICENSEE.
(C) EVERY INDIVIDUAL APPLICANT FOR A LICENSE UNDER THIS SECTION AND
EVERY PROPOSED LICENSEE SHALL BE EIGHTEEN YEARS OF AGE OR OLDER AT THE
TIME OF THE ISSUANCE OF SUCH LICENSE.
(D) BEFORE ANY ORIGINAL TITLE INSURANCE AGENT'S LICENSE IS ISSUED,
THERE SHALL BE ON FILE IN THE OFFICE OF THE SUPERINTENDENT AN APPLICA-
TION BY THE PROSPECTIVE LICENSEE IN SUCH FORM OR FORMS AND SUPPLEMENTS
THERETO, ALONG WITH A FEE IN THE AMOUNT OF FORTY DOLLARS FOR EACH YEAR
OR FRACTION OF A YEAR IN WHICH THE LICENSE SHALL BE VALID, AND CONTAIN-
ING INFORMATION THE SUPERINTENDENT PRESCRIBES.
(E) THE SUPERINTENDENT SHALL, IN ORDER TO DETERMINE THE COMPETENCY OF
EVERY INDIVIDUAL APPLICANT AND OF EVERY PROPOSED SUB-LICENSEE FOR THE
TITLE INSURANCE AGENT LICENSE, REQUIRE SUCH INDIVIDUAL TO SUBMIT TO A
PERSONAL WRITTEN EXAMINATION AND TO PASS THE SAME TO THE SATISFACTION OF
THE SUPERINTENDENT. THE EXAMINATION SHALL BE HELD AT SUCH TIMES AND
PLACES AS THE SUPERINTENDENT SHALL FROM TIME TO TIME DETERMINE. EVERY
INDIVIDUAL APPLYING TO TAKE ANY WRITTEN EXAMINATION SHALL, AT THE TIME
OF APPLYING THEREFOR, PAY TO THE SUPERINTENDENT OR, AT THE DISCRETION OF
THE SUPERINTENDENT, DIRECTLY TO ANY ORGANIZATION THAT IS UNDER CONTRACT
TO PROVIDE EXAMINATION SERVICES, AN EXAMINATION FEE OF AN AMOUNT THAT IS
THE ACTUAL DOCUMENTED ADMINISTRATIVE COST OF CONDUCTING SAID QUALIFYING
EXAMINATION AS CERTIFIED BY THE SUPERINTENDENT FROM TIME TO TIME. AN
EXAMINATION FEE REPRESENTS AN ADMINISTRATIVE EXPENSE AND SHALL NOT BE
REFUNDABLE. THE SUPERINTENDENT MAY ACCEPT, IN LIEU OF ANY SUCH EXAMINA-
TION, THE RESULT OF ANY PREVIOUS WRITTEN EXAMINATION, GIVEN BY THE
SUPERINTENDENT, WHICH IN THE SUPERINTENDENT'S JUDGMENT, IS EQUIVALENT TO
THE EXAMINATION FOR WHICH IT IS SUBSTITUTED.
(F) EVERY INDIVIDUAL SEEKING TO QUALIFY TO OBTAIN A LICENSE UNDER
SUBSECTION (B) OF THIS SECTION SHALL BE REQUIRED TO PASS THE TYPE OR
TYPES OF EXAMINATION PRESCRIBED BY THE SUPERINTENDENT. AN INDIVIDUAL
SHALL NOT BE DEEMED QUALIFIED TO TAKE THE EXAMINATION UNLESS THE INDI-
VIDUAL HAS SUCCESSFULLY COMPLETED A COURSE OR COURSES, APPROVED AS TO
METHOD AND CONTENT BY THE SUPERINTENDENT, COVERING THE TITLE INSURANCE
BUSINESS AND REQUIRING NOT LESS THAN TWENTY HOURS OF CLASSROOM WORK, IN
INSTITUTIONS OF LEARNING MEETING THE STANDARDS PRESCRIBED BY PARAGRAPH
ONE OF SUBSECTION (A) OF SECTION TWO THOUSAND ONE HUNDRED FOUR OF THIS
ARTICLE.
(G) NO SUCH WRITTEN EXAMINATION OR PRE-LICENSING EDUCATION SHALL BE
REQUIRED OF ANY:
(1) APPLICANT WHO FILES AN APPLICATION UNDER THIS SECTION WITHIN ONE
YEAR AFTER THE EFFECTIVE DATE OF THIS SUBSECTION AND WHO DEMONSTRATES TO
THE SATISFACTION OF THE SUPERINTENDENT THAT SUCH APPLICANT OR ITS
S. 6357--A 90 A. 8557--A
PROSPECTIVE SUB-LICENSEE HAS, WITHOUT INTERRUPTION, REGULARLY AND
CONTINUOUSLY PERFORMED THE FUNCTIONS OF A TITLE INSURANCE AGENT FOR A
PERIOD OF AT LEAST FIVE YEARS IMMEDIATELY PRECEDING THE FILING OF SUCH
APPLICATION AND IS COMPETENT AND TRUSTWORTHY TO ACT AS A TITLE INSURANCE
AGENT;
(2) APPLICANT WHO HAS PASSED THE WRITTEN EXAMINATION GIVEN BY THE
SUPERINTENDENT FOR A TITLE INSURANCE AGENT'S LICENSE AND WAS LICENSED AS
SUCH, OR OF AN APPLICANT WHO WAS LICENSED AS A TITLE INSURANCE AGENT BUT
DID NOT PASS SUCH AN EXAMINATION, PROVIDED THE APPLICANT APPLIES WITHIN
TWO YEARS FOLLOWING THE DATE OF TERMINATION OF THE APPLICANT'S LICENSE;
OR
(3) APPLICANT SEEKING TO OBTAIN A LICENSE AS A TITLE INSURANCE AGENT,
WHEN SUCH APPLICANT IS A LICENSED ATTORNEY-AT-LAW IN THIS STATE.
(H) THE SUPERINTENDENT MAY REFUSE TO ISSUE TO AN APPLICANT A TITLE
INSURANCE AGENT'S LICENSE IF, IN THE SUPERINTENDENT'S JUDGMENT, THE
PROPOSED LICENSEE OR ANY SUB-LICENSEE:
(1) IS NOT TRUSTWORTHY AND COMPETENT TO ACT AS SUCH AGENT;
(2) HAS GIVEN CAUSE FOR THE REVOCATION OR SUSPENSION OF SUCH A
LICENSE; OR
(3) HAS FAILED TO COMPLY WITH ANY PREREQUISITE FOR THE ISSUANCE OF
SUCH LICENSE.
(I) (1) EVERY LICENSE ISSUED TO A BUSINESS ENTITY PURSUANT TO
SUBSECTION (A) OF THIS SECTION SHALL EXPIRE ON JUNE THIRTIETH OF
ODD-NUMBERED YEARS.
(2) EVERY LICENSE ISSUED TO AN INDIVIDUAL BORN IN AN ODD-NUMBERED YEAR
SHALL EXPIRE ON THE INDIVIDUAL'S BIRTHDAY IN EACH ODD-NUMBERED YEAR.
LICENSES ISSUED TO INDIVIDUALS BORN IN EVEN-NUMBERED YEARS SHALL EXPIRE
ON THE INDIVIDUAL'S BIRTHDAY IN EACH EVEN-NUMBERED YEAR.
(3) EVERY LICENSE MAY BE RENEWED FOR THE ENSUING PERIOD OF TWENTY-FOUR
MONTHS UPON THE FILING OF AN APPLICATION IN CONFORMITY WITH THIS
SUBSECTION.
(4) THE LICENSE MAY BE ISSUED FOR ALL OF SUCH TWO YEAR TERMS, OR UPON
APPLICATION MADE DURING ANY SUCH TERM, FOR THE BALANCE THEREOF.
(5) ANY LICENSE SHALL BE CONSIDERED IN GOOD STANDING WITHIN THE
LICENSE TERM UNLESS:
(A) REVOKED OR SUSPENDED BY THE SUPERINTENDENT PURSUANT TO THIS ARTI-
CLE; OR
(B) IF AT THE EXPIRATION DATE OF THE LICENSE TERM, THE LICENSEE FAILS
TO FILE A RENEWAL APPLICATION, PROVIDED THE LICENSE WAS IN GOOD STANDING
DURING THE TERM.
(6) BEFORE THE RENEWAL OF ANY TITLE INSURANCE AGENT'S LICENSE SHALL BE
ISSUED, THE LICENSEE SHALL HAVE:
(A) FILED A COMPLETED RENEWAL APPLICATION IN SUCH FORM OR FORMS, AND
SUPPLEMENTS THERETO, AND CONTAINING SUCH INFORMATION AS THE SUPERINTEN-
DENT MAY PRESCRIBE; AND
(B) PAID SUCH FEES AS ARE PRESCRIBED IN THIS SECTION.
(7) IF AN APPLICATION FOR A RENEWAL LICENSE SHALL HAVE BEEN FILED WITH
THE SUPERINTENDENT BEFORE THE EXPIRATION OF SUCH LICENSE, THEN THE
LICENSE SOUGHT TO BE RENEWED SHALL CONTINUE IN FULL FORCE AND EFFECT
EITHER UNTIL THE ISSUANCE BY THE SUPERINTENDENT OF THE RENEWAL LICENSE
APPLIED FOR OR UNTIL FIVE DAYS AFTER THE SUPERINTENDENT SHALL HAVE
REFUSED TO ISSUE SUCH RENEWAL LICENSE AND SHALL HAVE GIVEN NOTICE OF
SUCH REFUSAL TO THE APPLICANT AND TO EACH PROPOSED SUB-LICENSEE. BEFORE
REFUSING TO RENEW ANY SUCH LICENSE, EXCEPT ON THE GROUND OF FAILURE TO
PASS A WRITTEN EXAMINATION, THE SUPERINTENDENT SHALL NOTIFY THE APPLI-
S. 6357--A 91 A. 8557--A
CANT OF THE SUPERINTENDENT'S INTENTION TO DO SO AND SHALL GIVE THE
APPLICANT A HEARING.
(8) THE SUPERINTENDENT MAY, IN ISSUING A RENEWAL LICENSE, DISPENSE
WITH THE REQUIREMENTS OF A VERIFIED APPLICATION BY ANY INDIVIDUAL LICEN-
SEE OR SUB-LICENSEE WHO, BY REASON OF BEING ENGAGED IN ANY MILITARY
SERVICE FOR THE UNITED STATES, IS UNABLE TO MAKE PERSONAL APPLICATION
FOR SUCH RENEWAL LICENSE, UPON THE FILING OF AN APPLICATION ON BEHALF OF
SUCH INDIVIDUAL, IN SUCH FORM AS THE SUPERINTENDENT SHALL PRESCRIBE, BY
SOME PERSON OR PERSONS WHO IN HIS OR HER JUDGMENT HAVE KNOWLEDGE OF THE
FACTS AND WHO MAKE AFFIDAVIT SHOWING SUCH MILITARY SERVICE AND THE
INABILITY OF SUCH TITLE INSURANCE AGENT TO MAKE PERSONAL APPLICATION.
(9) AN INDIVIDUAL LICENSEE OR SUB-LICENSEE WHO IS UNABLE TO COMPLY
WITH LICENSE RENEWAL PROCEDURES DUE TO OTHER EXTENUATING CIRCUMSTANCES,
SUCH AS A LONG-TERM MEDICAL DISABILITY, MAY REQUEST A WAIVER OF SUCH
PROCEDURES, IN SUCH FORM AS THE SUPERINTENDENT SHALL PRESCRIBE. THE
LICENSEE OR SUB-LICENSEE MAY ALSO REQUEST A WAIVER OF ANY EXAMINATION
REQUIREMENT OR ANY OTHER FINE OR SANCTION IMPOSED FOR FAILURE TO COMPLY
WITH RENEWAL PROCEDURES.
(10) AN APPLICATION FOR THE RENEWAL OF A LICENSE SHALL BE FILED WITH
THE SUPERINTENDENT NOT LESS THAN SIXTY DAYS PRIOR TO THE DATE THE
LICENSE EXPIRES OR THE APPLICANT SHALL BE SUBJECT TO A FURTHER FEE OF
TEN DOLLARS FOR LATE FILING.
(11) NO LICENSE FEE SHALL BE REQUIRED OF ANY PERSON WHO SERVED AS A
MEMBER OF THE ARMED FORCES OF THE UNITED STATES AT ANY TIME, AND WHO
SHALL HAVE BEEN DISCHARGED THEREFROM UNDER CONDITIONS OTHER THAN
DISHONORABLE, IN A CURRENT LICENSING PERIOD FOR THE DURATION OF SUCH
PERIOD.
(12) EXCEPT WHERE A CORPORATION, ASSOCIATION OR FIRM LICENSED AS A
TITLE INSURANCE AGENT IS APPLYING TO ADD A SUB-LICENSEE OR THE DATE OF
THE EXPIRATION OF THE LICENSE IS CHANGED, THERE SHALL BE NO FEE REQUIRED
FOR THE ISSUANCE OF AN AMENDED LICENSE.
(13) THE SUPERINTENDENT MAY ISSUE A REPLACEMENT LICENSE FOR A CURRENT-
LY IN-FORCE LICENSE THAT HAS BEEN LOST OR DESTROYED. BEFORE SUCH
REPLACEMENT LICENSE SHALL BE ISSUED, THERE SHALL BE ON FILE IN THE
OFFICE OF THE SUPERINTENDENT A WRITTEN APPLICATION FOR SUCH REPLACEMENT
LICENSE, AFFIRMING UNDER PENALTY OF PERJURY THAT THE ORIGINAL LICENSE
HAS BEEN LOST OR DESTROYED, TOGETHER WITH A FEE OF FIFTEEN DOLLARS.
(J) THE SUPERINTENDENT MAY REFUSE TO ISSUE A LICENSE OR RENEWAL
LICENSE, AS THE CASE MAY BE, TO ANY APPLICANT IF THE SUPERINTENDENT
FINDS THAT SUCH APPLICANT HAS BEEN OR WILL BE RECEIVING ANY BENEFIT OR
ADVANTAGE IN VIOLATION OF SECTION SIX THOUSAND FOUR HUNDRED NINE OF THIS
CHAPTER, OR IF THE SUPERINTENDENT FINDS THAT MORE THAN TEN PERCENT OF
THE AGGREGATE NET COMMISSIONS OR OTHER COMPENSATION RECEIVED DURING THE
TERM OF THE EXISTING LICENSE, IF ANY, OR TO BE RECEIVED DURING THE TERM
OF THE LICENSE APPLIED FOR, BY THE APPLICANT, RESULTED OR WILL RESULT
FROM INSURANCE ON THE PROPERTY AND RISKS SET FORTH IN SUBPARAGRAPHS (A),
(B) AND (C) OF PARAGRAPH ONE OF SUBSECTION (I) OF SECTION TWO THOUSAND
ONE HUNDRED THREE OF THIS ARTICLE, EXCEPT THAT IN DETERMINING THE TEN
PERCENT, THE AGGREGATE NET COMMISSIONS OR OTHER COMPENSATION SHALL NOT
INCLUDE COMMISSIONS OR OTHER COMPENSATION FROM MORTGAGE REFINANCING
TRANSACTIONS INVOLVING REAL PROPERTY USED PREDOMINANTLY FOR RESIDENTIAL
PURPOSES AND WHICH CONSISTS OF NOT MORE THAN FOUR DWELLING UNITS, OTHER
THAN HOTELS AND MOTELS. EVERY LICENSEE SUBJECT TO THIS CHAPTER SHALL
CERTIFY AT THE TIME OF LICENSING OR UPON RENEWAL TO THE SUPERINTENDENT
THAT SUCH LICENSEE IS IN COMPLIANCE WITH THIS SUBSECTION.
S. 6357--A 92 A. 8557--A
S 18. The insurance law is amended by adding a new section 2141 to
read as follows:
S 2141. TITLE INSURANCE CLOSERS; LICENSING. (A) THE SUPERINTENDENT MAY
ISSUE A LICENSE TO ANY INDIVIDUAL WHO HAS COMPLIED WITH THE REQUIREMENTS
OF THIS CHAPTER, AUTHORIZING THE LICENSEE TO ACT AS A TITLE INSURANCE
CLOSER FOR ANY AUTHORIZED TITLE INSURANCE CORPORATION OR TITLE INSURANCE
AGENT.
(B) EVERY INDIVIDUAL APPLICANT FOR A LICENSE UNDER THIS SECTION SHALL
BE EIGHTEEN YEARS OF AGE OR OLDER AT THE TIME OF THE ISSUANCE OF SUCH
LICENSE.
(C) BEFORE ANY ORIGINAL TITLE INSURANCE CLOSER'S LICENSE IS ISSUED,
THERE SHALL BE ON FILE IN THE OFFICE OF THE SUPERINTENDENT AN APPLICA-
TION BY THE PROSPECTIVE LICENSEE IN SUCH FORM OR FORMS AND SUPPLEMENTS
THERETO, ALONG WITH A FEE IN THE AMOUNT OF FORTY DOLLARS FOR EACH YEAR
OR FRACTION OF A YEAR IN WHICH THE LICENSE SHALL BE VALID, AND CONTAIN-
ING INFORMATION THE SUPERINTENDENT PRESCRIBES.
(D) THE SUPERINTENDENT SHALL, IN ORDER TO DETERMINE THE COMPETENCY OF
EVERY INDIVIDUAL APPLICANT FOR THE TITLE INSURANCE CLOSER LICENSE,
REQUIRE SUCH INDIVIDUAL TO SUBMIT TO A PERSONAL WRITTEN EXAMINATION AND
TO PASS THE SAME TO THE SATISFACTION OF THE SUPERINTENDENT. THE EXAMINA-
TION SHALL BE HELD AT SUCH TIMES AND PLACES AS THE SUPERINTENDENT SHALL
FROM TIME TO TIME DETERMINE. EVERY INDIVIDUAL APPLYING TO TAKE ANY WRIT-
TEN EXAMINATION SHALL, AT THE TIME OF APPLYING THEREFOR, PAY TO THE
SUPERINTENDENT OR, AT THE DISCRETION OF THE SUPERINTENDENT, DIRECTLY TO
ANY ORGANIZATION THAT IS UNDER CONTRACT TO PROVIDE EXAMINATION SERVICES,
AN EXAMINATION FEE OF AN AMOUNT THAT IS THE ACTUAL DOCUMENTED ADMINIS-
TRATIVE COST OF CONDUCTING SAID QUALIFYING EXAMINATION AS CERTIFIED BY
THE SUPERINTENDENT FROM TIME TO TIME. AN EXAMINATION FEE REPRESENTS AN
ADMINISTRATIVE EXPENSE AND SHALL NOT BE REFUNDABLE. THE SUPERINTENDENT
MAY ACCEPT, IN LIEU OF ANY SUCH EXAMINATION, THE RESULT OF ANY PREVIOUS
WRITTEN EXAMINATION, GIVEN BY THE SUPERINTENDENT, WHICH IN THE SUPER-
INTENDENT'S JUDGMENT, IS EQUIVALENT TO THE EXAMINATION FOR WHICH IT IS
SUBSTITUTED.
(E) EVERY INDIVIDUAL SEEKING TO QUALIFY TO OBTAIN A LICENSE UNDER
SUBSECTION (B) OF THIS SECTION SHALL BE REQUIRED TO PASS THE TYPE OR
TYPES OF EXAMINATION PRESCRIBED BY THE SUPERINTENDENT. AN INDIVIDUAL
SHALL NOT BE DEEMED QUALIFIED TO TAKE THE EXAMINATION UNLESS THE INDI-
VIDUAL HAS SUCCESSFULLY COMPLETED A COURSE OR COURSES, APPROVED AS TO
METHOD AND CONTENT BY THE SUPERINTENDENT, COVERING THE TITLE INSURANCE
BUSINESS AND REQUIRING NOT LESS THAN TWENTY HOURS OF CLASSROOM WORK, IN
INSTITUTIONS OF LEARNING MEETING THE STANDARDS PRESCRIBED BY PARAGRAPH
ONE OF SUBSECTION (A) OF SECTION TWO THOUSAND ONE HUNDRED FOUR OF THIS
ARTICLE.
(F) NO SUCH WRITTEN EXAMINATION OR PRE-LICENSING EDUCATION SHALL BE
REQUIRED OF ANY:
(1) INDIVIDUAL WHO FILES AN APPLICATION UNDER THIS SECTION WITHIN ONE
YEAR AFTER THE EFFECTIVE DATE OF THIS SUBSECTION AND WHO DEMONSTRATES TO
THE SATISFACTION OF THE SUPERINTENDENT THAT SUCH APPLICANT HAS, WITHOUT
INTERRUPTION, REGULARLY AND CONTINUOUSLY PERFORMED THE FUNCTIONS OF A
TITLE INSURANCE CLOSER FOR A PERIOD OF AT LEAST FIVE YEARS IMMEDIATELY
PRECEDING THE FILING OF SUCH APPLICATION AND IS COMPETENT AND TRUSTWOR-
THY TO ACT AS A TITLE INSURANCE CLOSER;
(2) APPLICANT WHO HAS PASSED THE WRITTEN EXAMINATION GIVEN BY THE
SUPERINTENDENT FOR A TITLE INSURANCE CLOSER'S LICENSE AND WAS LICENSED
AS SUCH, OR OF AN APPLICANT WHO WAS LICENSED AS A TITLE INSURANCE CLOSER
BUT DID NOT PASS SUCH AN EXAMINATION, PROVIDED THE APPLICANT APPLIES
S. 6357--A 93 A. 8557--A
WITHIN TWO YEARS FOLLOWING THE DATE OF TERMINATION OF THE APPLICANT'S
LICENSE; OR
(3) APPLICANT SEEKING TO OBTAIN A LICENSE AS A TITLE INSURANCE CLOSER,
WHEN SUCH APPLICANT IS A LICENSED ATTORNEY-AT-LAW IN THIS STATE.
(G) THE SUPERINTENDENT MAY REFUSE TO ISSUE TO AN APPLICANT A TITLE
INSURANCE CLOSER'S LICENSE IF, IN THE SUPERINTENDENT'S JUDGMENT, THE
PROPOSED LICENSEE:
(1) IS NOT TRUSTWORTHY AND COMPETENT TO ACT AS SUCH CLOSER;
(2) HAS GIVEN CAUSE FOR THE REVOCATION OR SUSPENSION OF SUCH A
LICENSE; OR
(3) HAS FAILED TO COMPLY WITH ANY PREREQUISITE FOR THE ISSUANCE OF
SUCH LICENSE.
(H) (1) EVERY LICENSE ISSUED TO AN INDIVIDUAL BORN IN AN ODD-NUMBERED
YEAR SHALL EXPIRE ON THE INDIVIDUAL'S BIRTHDAY IN EACH ODD-NUMBERED
YEAR. LICENSES ISSUED TO INDIVIDUALS BORN IN EVEN-NUMBERED YEARS SHALL
EXPIRE ON THE INDIVIDUAL'S BIRTHDAY IN EACH EVEN-NUMBERED YEAR. EVERY
SUCH LICENSE MAY BE RENEWED FOR THE ENSUING PERIOD OF TWENTY-FOUR MONTHS
UPON THE FILING OF AN APPLICATION IN CONFORMITY WITH THIS SUBSECTION.
(2) THE LICENSE MAY BE ISSUED FOR ALL OF SUCH TWO YEAR TERMS, OR UPON
APPLICATION MADE DURING ANY SUCH TERM, FOR THE BALANCE THEREOF.
(3) ANY LICENSE SHALL BE CONSIDERED IN GOOD STANDING WITHIN THE
LICENSE TERM UNLESS:
(A) REVOKED OR SUSPENDED BY THE SUPERINTENDENT PURSUANT TO THIS ARTI-
CLE; OR
(B) IF AT THE EXPIRATION DATE OF THE LICENSE TERM, THE LICENSEE FAILS
TO FILE A RENEWAL APPLICATION, PROVIDED THE LICENSE WAS IN GOOD STANDING
DURING THE TERM.
(4) BEFORE THE RENEWAL OF ANY TITLE INSURANCE CLOSER'S LICENSE SHALL
BE ISSUED, THE LICENSEE SHALL HAVE:
(A) FILED A COMPLETED RENEWAL APPLICATION IN SUCH FORM OR FORMS, AND
SUPPLEMENTS THERETO, AND CONTAINING SUCH INFORMATION AS THE SUPERINTEN-
DENT MAY PRESCRIBE; AND
(B) PAID SUCH FEES AS ARE PRESCRIBED IN THIS SECTION.
(5) IF AN APPLICATION FOR A RENEWAL LICENSE SHALL HAVE BEEN FILED WITH
THE SUPERINTENDENT BEFORE THE EXPIRATION OF SUCH LICENSE, THEN THE
LICENSE SOUGHT TO BE RENEWED SHALL CONTINUE IN FULL FORCE AND EFFECT
EITHER UNTIL THE ISSUANCE BY THE SUPERINTENDENT OF THE RENEWAL LICENSE
APPLIED FOR OR UNTIL FIVE DAYS AFTER THE SUPERINTENDENT SHALL HAVE
REFUSED TO ISSUE SUCH RENEWAL LICENSE AND SHALL HAVE GIVEN NOTICE OF
SUCH REFUSAL TO THE APPLICANT. BEFORE REFUSING TO RENEW ANY SUCH
LICENSE, EXCEPT ON THE GROUND OF FAILURE TO PASS A WRITTEN EXAMINATION,
THE SUPERINTENDENT SHALL NOTIFY THE APPLICANT OF THE SUPERINTENDENT'S
INTENTION TO DO SO AND SHALL GIVE THE APPLICANT A HEARING.
(6) THE SUPERINTENDENT MAY, IN ISSUING A RENEWAL LICENSE, DISPENSE
WITH THE REQUIREMENTS OF A VERIFIED APPLICATION BY ANY INDIVIDUAL LICEN-
SEE WHO, BY REASON OF BEING ENGAGED IN ANY MILITARY SERVICE FOR THE
UNITED STATES, IS UNABLE TO MAKE PERSONAL APPLICATION FOR SUCH RENEWAL
LICENSE, UPON THE FILING OF AN APPLICATION ON BEHALF OF SUCH INDIVIDUAL,
IN SUCH FORM AS THE SUPERINTENDENT SHALL PRESCRIBE, BY SOME PERSON OR
PERSONS WHO IN HIS OR HER JUDGMENT HAVE KNOWLEDGE OF THE FACTS AND WHO
MAKE AFFIDAVIT SHOWING SUCH MILITARY SERVICE AND THE INABILITY OF SUCH
TITLE INSURANCE CLOSER TO MAKE PERSONAL APPLICATION.
(7) AN INDIVIDUAL LICENSEE WHO IS UNABLE TO COMPLY WITH LICENSE
RENEWAL PROCEDURES DUE TO OTHER EXTENUATING CIRCUMSTANCES, SUCH AS A
LONG-TERM MEDICAL DISABILITY, MAY REQUEST A WAIVER OF SUCH PROCEDURES,
IN SUCH FORM AS THE SUPERINTENDENT SHALL PRESCRIBE. THE LICENSEE MAY
S. 6357--A 94 A. 8557--A
ALSO REQUEST A WAIVER OF ANY EXAMINATION REQUIREMENT OR ANY OTHER FINE
OR SANCTION IMPOSED FOR FAILURE TO COMPLY WITH RENEWAL PROCEDURES.
(8) AN APPLICATION FOR THE RENEWAL OF A LICENSE SHALL BE FILED WITH
THE SUPERINTENDENT NOT LESS THAN SIXTY DAYS PRIOR TO THE DATE THE
LICENSE EXPIRES OR THE APPLICANT SHALL BE SUBJECT TO A FURTHER FEE OF
TEN DOLLARS FOR LATE FILING.
(9) NO LICENSE FEE SHALL BE REQUIRED OF ANY PERSON WHO SERVED AS A
MEMBER OF THE ARMED FORCES OF THE UNITED STATES AT ANY TIME, AND WHO
SHALL HAVE BEEN DISCHARGED THEREFROM UNDER CONDITIONS OTHER THAN
DISHONORABLE, IN A CURRENT LICENSING PERIOD FOR THE DURATION OF SUCH
PERIOD.
(10) THE SUPERINTENDENT MAY ISSUE A REPLACEMENT LICENSE FOR A CURRENT-
LY IN-FORCE LICENSE THAT HAS BEEN LOST OR DESTROYED. BEFORE SUCH
REPLACEMENT LICENSE SHALL BE ISSUED, THERE SHALL BE ON FILE IN THE
OFFICE OF THE SUPERINTENDENT A WRITTEN APPLICATION FOR SUCH REPLACEMENT
LICENSE, AFFIRMING UNDER PENALTY OF PERJURY THAT THE ORIGINAL LICENSE
HAS BEEN LOST OR DESTROYED, TOGETHER WITH A FEE OF FIFTEEN DOLLARS.
S 19. The insurance law is amended by adding a new section 2142 to
read as follows:
S 2142. TITLE INSURANCE SOLICITORS; LICENSING. (A) THE SUPERINTENDENT
MAY ISSUE A LICENSE TO ANY INDIVIDUAL THAT HAS COMPLIED WITH THE
REQUIREMENTS OF THIS CHAPTER, AUTHORIZING THE LICENSEE TO ACT AS A TITLE
INSURANCE SOLICITOR FOR ANY AUTHORIZED TITLE INSURANCE CORPORATION OR
TITLE INSURANCE AGENT.
(B) EVERY APPLICANT FOR A LICENSE UNDER THIS SECTION SHALL BE EIGHTEEN
YEARS OF AGE OR OLDER AT THE TIME OF THE ISSUANCE OF SUCH LICENSE.
(C) BEFORE ANY ORIGINAL TITLE INSURANCE SOLICITOR'S LICENSE IS ISSUED,
THERE SHALL BE ON FILE IN THE OFFICE OF THE SUPERINTENDENT AN APPLICA-
TION BY THE PROSPECTIVE LICENSEE IN SUCH FORM OR FORMS AND SUPPLEMENTS
THERETO, ALONG WITH A FEE IN THE AMOUNT OF FORTY DOLLARS FOR EACH YEAR
OR FRACTION OF A YEAR IN WHICH THE LICENSE SHALL BE VALID, AND CONTAIN-
ING INFORMATION THE SUPERINTENDENT PRESCRIBES.
(D) THE SUPERINTENDENT SHALL, IN ORDER TO DETERMINE THE COMPETENCY OF
EVERY APPLICANT FOR THE TITLE INSURANCE SOLICITOR LICENSE, REQUIRE SUCH
INDIVIDUAL TO SUBMIT TO A PERSONAL WRITTEN EXAMINATION AND TO PASS THE
SAME TO THE SATISFACTION OF THE SUPERINTENDENT. THE EXAMINATION SHALL BE
HELD AT SUCH TIMES AND PLACES AS THE SUPERINTENDENT SHALL FROM TIME TO
TIME DETERMINE. EVERY INDIVIDUAL APPLYING TO TAKE ANY WRITTEN EXAMINA-
TION SHALL, AT THE TIME OF APPLYING THEREFOR, PAY TO THE SUPERINTENDENT
OR, AT THE DISCRETION OF THE SUPERINTENDENT, DIRECTLY TO ANY ORGANIZA-
TION THAT IS UNDER CONTRACT TO PROVIDE EXAMINATION SERVICES, AN EXAMINA-
TION FEE OF AN AMOUNT THAT IS THE ACTUAL DOCUMENTED ADMINISTRATIVE COST
OF CONDUCTING SAID QUALIFYING EXAMINATION AS CERTIFIED BY THE SUPER-
INTENDENT FROM TIME TO TIME. AN EXAMINATION FEE REPRESENTS AN ADMINIS-
TRATIVE EXPENSE AND SHALL NOT BE REFUNDABLE. THE SUPERINTENDENT MAY
ACCEPT, IN LIEU OF ANY SUCH EXAMINATION, THE RESULT OF ANY PREVIOUS
WRITTEN EXAMINATION, GIVEN BY THE SUPERINTENDENT, WHICH IN THE SUPER-
INTENDENT'S JUDGMENT, IS EQUIVALENT TO THE EXAMINATION FOR WHICH IT IS
SUBSTITUTED.
(E) EVERY INDIVIDUAL SEEKING TO QUALIFY TO OBTAIN A LICENSE UNDER
SUBSECTION (B) OF THIS SECTION SHALL BE REQUIRED TO PASS THE TYPE OR
TYPES OF EXAMINATION PRESCRIBED BY THE SUPERINTENDENT. AN INDIVIDUAL
SHALL NOT BE DEEMED QUALIFIED TO TAKE THE EXAMINATION UNLESS THE INDI-
VIDUAL HAS SUCCESSFULLY COMPLETED A COURSE OR COURSES, APPROVED AS TO
METHOD AND CONTENT BY THE SUPERINTENDENT, COVERING THE TITLE INSURANCE
BUSINESS AND REQUIRING NOT LESS THAN TWENTY HOURS OF CLASSROOM WORK, IN
S. 6357--A 95 A. 8557--A
INSTITUTIONS OF LEARNING MEETING THE STANDARDS PRESCRIBED BY PARAGRAPH
ONE OF SUBSECTION (A) OF SECTION TWO THOUSAND ONE HUNDRED FOUR OF THIS
ARTICLE.
(F) NO SUCH WRITTEN EXAMINATION OR PRE-LICENSING EDUCATION SHALL BE
REQUIRED OF ANY:
(1) INDIVIDUAL WHO FILES AN APPLICATION UNDER THIS SECTION WITHIN ONE
YEAR AFTER THE EFFECTIVE DATE OF THIS SUBSECTION AND WHO DEMONSTRATES TO
THE SATISFACTION OF THE SUPERINTENDENT THAT SUCH APPLICANT HAS, WITHOUT
INTERRUPTION, REGULARLY AND CONTINUOUSLY PERFORMED THE FUNCTIONS OF A
TITLE INSURANCE SOLICITOR FOR A PERIOD OF AT LEAST FIVE YEARS IMMEDIATE-
LY PRECEDING THE FILING OF SUCH APPLICATION AND IS COMPETENT AND TRUST-
WORTHY TO ACT AS A TITLE INSURANCE CLOSER;
(2) APPLICANT WHO HAS PASSED THE WRITTEN EXAMINATION GIVEN BY THE
SUPERINTENDENT FOR A TITLE INSURANCE SOLICITOR'S LICENSE AND WAS
LICENSED AS SUCH, OR OF AN APPLICANT WHO WAS LICENSED AS A TITLE INSUR-
ANCE SOLICITOR BUT DID NOT PASS SUCH AN EXAMINATION, PROVIDED THE APPLI-
CANT APPLIES WITHIN TWO YEARS FOLLOWING THE DATE OF TERMINATION OF THE
APPLICANT'S LICENSE; OR
(3) APPLICANT SEEKING TO OBTAIN A LICENSE AS A TITLE INSURANCE SOLICI-
TOR, WHEN SUCH APPLICANT IS A LICENSED ATTORNEY-AT-LAW IN THIS STATE.
(G) THE SUPERINTENDENT MAY REFUSE TO ISSUE TO AN APPLICANT A TITLE
INSURANCE SOLICITOR'S LICENSE IF, IN THE SUPERINTENDENT'S JUDGMENT, THE
PROPOSED LICENSEE:
(1) IS NOT TRUSTWORTHY AND COMPETENT TO ACT AS SUCH SOLICITOR;
(2) HAS GIVEN CAUSE FOR THE REVOCATION OR SUSPENSION OF SUCH A
LICENSE; OR
(3) HAS FAILED TO COMPLY WITH ANY PREREQUISITE FOR THE ISSUANCE OF
SUCH LICENSE.
(H) (1) EVERY LICENSE ISSUED TO AN INDIVIDUAL BORN IN AN ODD-NUMBERED
YEAR SHALL EXPIRE ON THE INDIVIDUAL'S BIRTHDAY IN EACH ODD-NUMBERED
YEAR. LICENSES ISSUED TO INDIVIDUALS BORN IN EVEN-NUMBERED YEARS SHALL
EXPIRE ON THE INDIVIDUAL'S BIRTHDAY IN EACH EVEN-NUMBERED YEAR. EVERY
SUCH LICENSE MAY BE RENEWED FOR THE ENSUING PERIOD OF TWENTY-FOUR MONTHS
UPON THE FILING OF AN APPLICATION IN CONFORMITY WITH THIS SUBSECTION.
(2) THE LICENSE MAY BE ISSUED FOR ALL OF SUCH TWO YEAR TERMS, OR UPON
APPLICATION MADE DURING ANY SUCH TERM, FOR THE BALANCE THEREOF.
(3) ANY LICENSE SHALL BE CONSIDERED IN GOOD STANDING WITHIN THE
LICENSE TERM UNLESS:
(A) REVOKED OR SUSPENDED BY THE SUPERINTENDENT PURSUANT TO THIS ARTI-
CLE; OR
(B) IF AT THE EXPIRATION DATE OF THE LICENSE TERM, THE LICENSEE FAILS
TO FILE A RENEWAL APPLICATION, PROVIDED THE LICENSE WAS IN GOOD STANDING
DURING THE TERM.
(4) BEFORE THE RENEWAL OF ANY TITLE INSURANCE SOLICITOR'S LICENSE
SHALL BE ISSUED, THE LICENSEE SHALL HAVE:
(A) FILED A COMPLETED RENEWAL APPLICATION IN SUCH FORM OR FORMS, AND
SUPPLEMENTS THERETO, AND CONTAINING SUCH INFORMATION AS THE SUPERINTEN-
DENT MAY PRESCRIBE; AND
(B) PAID SUCH FEES AS ARE PRESCRIBED IN THIS SECTION.
(5) IF AN APPLICATION FOR A RENEWAL LICENSE SHALL HAVE BEEN FILED WITH
THE SUPERINTENDENT BEFORE THE EXPIRATION OF SUCH LICENSE, THEN THE
LICENSE SOUGHT TO BE RENEWED SHALL CONTINUE IN FULL FORCE AND EFFECT
EITHER UNTIL THE ISSUANCE BY THE SUPERINTENDENT OF THE RENEWAL LICENSE
APPLIED FOR OR UNTIL FIVE DAYS AFTER THE SUPERINTENDENT SHALL HAVE
REFUSED TO ISSUE SUCH RENEWAL LICENSE AND SHALL HAVE GIVEN NOTICE OF
SUCH REFUSAL TO THE APPLICANT. BEFORE REFUSING TO RENEW ANY SUCH
S. 6357--A 96 A. 8557--A
LICENSE, EXCEPT ON THE GROUND OF FAILURE TO PASS A WRITTEN EXAMINATION,
THE SUPERINTENDENT SHALL NOTIFY THE APPLICANT OF THE SUPERINTENDENT'S
INTENTION TO DO SO AND SHALL GIVE THE APPLICANT A HEARING.
(6) THE SUPERINTENDENT MAY, IN ISSUING A RENEWAL LICENSE, DISPENSE
WITH THE REQUIREMENTS OF A VERIFIED APPLICATION BY ANY INDIVIDUAL LICEN-
SEE WHO, BY REASON OF BEING ENGAGED IN ANY MILITARY SERVICE FOR THE
UNITED STATES, IS UNABLE TO MAKE PERSONAL APPLICATION FOR SUCH RENEWAL
LICENSE, UPON THE FILING OF AN APPLICATION ON BEHALF OF SUCH INDIVIDUAL,
IN SUCH FORM AS THE SUPERINTENDENT SHALL PRESCRIBE, BY SOME PERSON OR
PERSONS WHO IN HIS OR HER JUDGMENT HAVE KNOWLEDGE OF THE FACTS AND WHO
MAKE AFFIDAVIT SHOWING SUCH MILITARY SERVICE AND THE INABILITY OF SUCH
TITLE INSURANCE SOLICITOR TO MAKE PERSONAL APPLICATION.
(7) AN INDIVIDUAL LICENSEE WHO IS UNABLE TO COMPLY WITH LICENSE
RENEWAL PROCEDURES DUE TO OTHER EXTENUATING CIRCUMSTANCES, SUCH AS A
LONG-TERM MEDICAL DISABILITY, MAY REQUEST A WAIVER OF SUCH PROCEDURES,
IN SUCH FORM AS THE SUPERINTENDENT SHALL PRESCRIBE. THE LICENSEE MAY
ALSO REQUEST A WAIVER OF ANY EXAMINATION REQUIREMENT OR ANY OTHER FINE
OR SANCTION IMPOSED FOR FAILURE TO COMPLY WITH RENEWAL PROCEDURES.
(8) AN APPLICATION FOR THE RENEWAL OF A LICENSE SHALL BE FILED WITH
THE SUPERINTENDENT NOT LESS THAN SIXTY DAYS PRIOR TO THE DATE THE
LICENSE EXPIRES OR THE APPLICANT SHALL BE SUBJECT TO A FURTHER FEE OF
TEN DOLLARS FOR LATE FILING.
(9) NO LICENSE FEE SHALL BE REQUIRED OF ANY PERSON WHO SERVED AS A
MEMBER OF THE ARMED FORCES OF THE UNITED STATES AT ANY TIME, AND WHO
SHALL HAVE BEEN DISCHARGED THEREFROM UNDER CONDITIONS OTHER THAN
DISHONORABLE, IN A CURRENT LICENSING PERIOD FOR THE DURATION OF SUCH
PERIOD.
(10) THE SUPERINTENDENT MAY ISSUE A REPLACEMENT LICENSE FOR A CURRENT-
LY IN-FORCE LICENSE THAT HAS BEEN LOST OR DESTROYED. BEFORE SUCH
REPLACEMENT LICENSE SHALL BE ISSUED, THERE SHALL BE ON FILE IN THE
OFFICE OF THE SUPERINTENDENT A WRITTEN APPLICATION FOR SUCH REPLACEMENT
LICENSE, AFFIRMING UNDER PENALTY OF PERJURY THAT THE ORIGINAL LICENSE
HAS BEEN LOST OR DESTROYED, TOGETHER WITH A FEE OF FIFTEEN DOLLARS.
S 20. Section 2314 of the insurance law is amended to read as follows:
S 2314. Charging of rates. No authorized insurer shall, and no
licensed insurance agent, NO TITLE INSURANCE AGENT, no employee or other
representative of an authorized insurer, and no licensed insurance
broker shall knowingly, charge or demand a rate or receive a premium
[which] THAT departs from the rates, rating plans, classifications,
schedules, rules and standards in effect on behalf of the insurer, or
shall issue or make any policy or contract involving a violation there-
of.
S 21. Section 6409 of the insurance law, subsection (c) as added by
chapter 955 of the laws of 1984, is amended to read as follows:
S 6409. Filing of policy forms; rates; classification of risks;
commissions and rebates prohibited. (a) No title insurance policy OR
GUARANTEE OF THE CORRECTNESS OF SEARCHES FORM shall be issued or deliv-
ered in this state, unless [and until a copy of the form thereof shall
have] IT HAS been filed with the superintendent [for his information] IN
ACCORDANCE WITH ARTICLE TWENTY-THREE OF THIS CHAPTER.
(b) [Every title insurance corporation shall file with the superinten-
dent its rate manual, if any, its basic schedule of rates and classi-
fication of risks, its rating plan and rules in connection with the
writing or issuance of policies of title insurance and shall thereafter
likewise file any changes therein. After any such filing no such corpo-
ration shall, in connection with the writing or issuance of any such
S. 6357--A 97 A. 8557--A
policy, deviate from the rates, classifications of risks and rules last
filed by it, either by making any reduction in rates without having
filed the same as herein provided, or by way of any discriminations in
favor of or against any insured. The superintendent shall have the
powers specified in article twenty-three of this chapter applicable to
title insurers.] TITLE INSURANCE RATES AND RATE FILINGS, INCLUDING RATES
FOR GUARANTEES OF THE CORRECTNESS OF SEARCHES, SHALL BE SUBJECT TO ARTI-
CLE TWENTY-THREE OF THIS CHAPTER.
(c) Notwithstanding any other provision of this article, every title
insurance [company] CORPORATION shall [be required to] offer, at or
prior to title closing, an optional policy form [which will insure] THAT
INSURES the title of owner-occupied real property used predominantly for
residential purposes [which] THAT consists of not more than four dwell-
ing units for an amount equal to the market value of the property at the
time a loss is discovered. Such policy form shall be filed with, AND
APPROVED BY, the superintendent [pursuant to subsection (a) of this
section] IN ACCORDANCE WITH ARTICLE TWENTY-THREE OF THIS CHAPTER. Rates
for such coverage shall be filed AND APPROVED pursuant to [subsection
(b) of this section] ARTICLE TWENTY-THREE OF THIS CHAPTER.
(d) No title insurance corporation, TITLE INSURANCE AGENT, or any
other person acting for or on behalf of [it] THE TITLE INSURANCE CORPO-
RATION OR TITLE INSURANCE AGENT, shall OFFER OR make, DIRECTLY OR INDI-
RECTLY, any rebate of any portion of the fee, premium or charge made, or
pay or give to any applicant for insurance, or to any person, firm, or
corporation acting as agent, representative, attorney, or employee of
the owner, lessee, mortgagee or the prospective owner, lessee, or mort-
gagee or the prospective owner, lessee, or mortgagee of the real proper-
ty or any interest therein, either directly or indirectly, any commis-
sion, any part of its fees or charges, or any other consideration or
valuable thing, as an inducement for, or as compensation for, any title
insurance business, NOR SHALL ANY APPLICANT FOR INSURANCE, OR ANY
PERSON, FIRM, OR CORPORATION ACTING AS AGENT, REPRESENTATIVE, ATTORNEY,
OR EMPLOYEE OF THE OWNER, LESSEE, MORTGAGEE OR THE PROSPECTIVE OWNER,
LESSEE, OR MORTGAGEE OF THE REAL PROPERTY OR ANYONE HAVING ANY INTEREST
IN REAL PROPERTY KNOWINGLY RECEIVE, DIRECTLY OR INDIRECTLY, ANY SUCH
REBATE OR OTHER CONSIDERATION OR VALUABLE THING. Any person or entity
who [accepts or receives such a commission or rebate] VIOLATES THIS
SECTION shall be subject to a penalty equal to the greater of [one] FIVE
thousand dollars or five times the amount [thereof] OF ANY COMPENSATION
OR REBATE RECEIVED OR PAID.
(e) Premium rates for coverage shall fully reflect the foregoing
prohibitions of subsection (d) [hereof] OF THIS SECTION.
S 22. This act shall take effect on the one hundred eightieth day
after it shall have become a law, provided, however, that effective
immediately:
(1) the addition, amendment, or repeal of any rule or regulation
necessary for the implementation of this act on its effective date is
authorized and directed to be made and completed on or before such
effective date;
(2) the superintendent of financial services shall promulgate applica-
tion forms for persons, firms, associations, and corporations seeking to
obtain a license as a title insurance agent, or individuals seeking to
obtain a license as a title insurance closer or title insurance solici-
tor; and
(3) each person, firm, association, or corporation who has filed an
application for a license as a title insurance agent, or every individ-
S. 6357--A 98 A. 8557--A
ual who has filed an application for a license as a title insurance
closer or title insurance solicitor on or before January 1, 2015 or
within 90 days after the superintendent of financial services has
promulgated application forms pursuant to this act, whichever date is
later, may act as such licensee without a license issued pursuant to
section 2140, 2141, or 2142 of the insurance law, as added by sections
seventeen, eighteen, and nineteen of this act, until the superintendent
of financial services has made a final determination on the application
for such license filed by such person, firm, association, or corpo-
ration.
PART W
Section 1. Section 2 of part BB of chapter 58 of the laws of 2012,
amending the public authorities law relating to authorizing the dormito-
ry authority to enter into certain design and construction management
agreements, as amended by section 1 of part I of chapter 58 of the laws
of 2013, is amended to read as follows:
S 2. This act shall take effect immediately and shall expire and be
deemed repealed April 1, [2014] 2015.
S 2. Within 90 days of the effective date of this act, the dormitory
authority of the state of New York shall provide a report providing
information regarding any project undertaken pursuant to a design and
construction management agreement, as authorized by part BB of chapter
58 of the laws of 2012, between the dormitory authority of the state of
New York and the department of environmental conservation and/or the
office of parks, recreation and historic preservation to the governor,
the temporary president of the senate and speaker of the assembly. Such
report shall include but not be limited to a description of each such
project, the project identification number of each such project, if
applicable, the projected date of completion, the status of the project,
the total cost or projected cost of each such project, and the location,
including the names of any county, town, village or city, where each
such project is located or proposed. In addition, such a report shall be
provided to the aforementioned parties by the first day of March of each
year that the authority to enter into such agreements pursuant to part
BB of chapter 58 of the laws of 2012 is in effect.
S 3. This act shall take effect immediately and shall be deemed to
have been in effect on and after April 1, 2014.
PART X
Section 1. Section 2 of chapter 584 of the laws of 2011, amending the
public authorities law relating to the powers and duties of the dormito-
ry authority of the state of New York relative to the establishment of
subsidiaries for certain purposes, as amended by section 28 of part D of
chapter 56 of the laws of 2012, is amended to read as follows:
S 2. This act shall take effect immediately and shall expire and be
deemed repealed on July 1, [2014] 2016; provided however, that the expi-
ration of this act shall not impair or otherwise affect any of the
powers, duties, responsibilities, functions, rights or liabilities of
any subsidiary duly created pursuant to subdivision twenty-five of
section 1678 of the public authorities law prior to such expiration.
S 2. This act shall take effect immediately.
PART Y
S. 6357--A 99 A. 8557--A
Section 1. Section 2976-a of the public authorities law is REPEALED.
S 2. Section 2868 of the public health law, as amended by section 43-a
of part B of chapter 58 of the laws of 2008, is amended to read as
follows:
S 2868. Fees and charges. The commissioner may by regulation establish
and charge to any nursing home company, for the period of occupancy date
to mortgage discharge, a fee for inspection, regulation, supervision and
audit not to annually exceed two-tenths of one percent of the mortgage
loan to recover the departmental costs in performing these functions IN
RELATION TO ANY NURSING HOME PROJECT FINANCED OR REFINANCED BY A LOAN
MADE UNDER THIS ARTICLE PRIOR TO APRIL FIRST, TWO THOUSAND FOURTEEN.
NOTWITHSTANDING THE FOREGOING, NO SUCH FEE SHALL BE CHARGED OR PAYABLE
PURSUANT TO THIS SECTION WITH RESPECT TO A NURSING HOME PROJECT FINANCED
OR REFINANCED WITH BONDS ISSUED ON OR AFTER APRIL FIRST, TWO THOUSAND
FOURTEEN.
S 3. Section 2881 of the public health law, as amended by section 43-b
of part B of chapter 58 of the laws of 2008, is amended to read as
follows:
S 2881. Fees and charges. The commissioner may, by regulation, estab-
lish and charge to eligible borrowers, for the period from occupancy
date to mortgage discharge, a fee for inspection, regulation, super-
vision and audit not to annually exceed two-tenths of one percent of the
mortgage loan to recover the departmental costs in performing these
functions IN RELATION TO ANY HOSPITAL PROJECT FINANCED OR REFINANCED BY
A LOAN MADE UNDER THIS ARTICLE PRIOR TO APRIL FIRST, TWO THOUSAND FOUR-
TEEN. NOTWITHSTANDING THE FOREGOING, NO SUCH FEE SHALL BE CHARGED OR
PAYABLE PURSUANT TO THIS SECTION WITH RESPECT TO A HOSPITAL PROJECT
FINANCED OR REFINANCED WITH BONDS ISSUED ON OR AFTER APRIL FIRST, TWO
THOUSAND FOURTEEN.
S 4. This act shall take effect immediately.
PART Z
Section 1. Subdivision 3 of section 16-m of section 1 of chapter 174
of the laws of 1968 constituting the New York state urban development
corporation act, as amended by chapter 81 of the laws of 2013, is
amended to read as follows:
3. The provisions of this section shall expire, notwithstanding any
inconsistent provision of subdivision 4 of section 469 of chapter 309 of
the laws of 1996 or of any other law, on July 1, [2014] 2015.
S 2. This act shall take effect immediately and shall be deemed to
have been in full force and effect on and after July 1, 2014.
PART AA
Section 1. Section 2 of chapter 393 of the laws of 1994, amending the
New York state urban development corporation act, relating to the powers
of the New York state urban development corporation to make loans, as
amended by section 1 of part H of chapter 58 of the laws of 2013, is
amended to read as follows:
S 2. This act shall take effect immediately provided, however, that
section one of this act shall expire on July 1, [2014] 2015, at which
time the provisions of subdivision 26 of section 5 of the New York state
urban development corporation act shall be deemed repealed; provided,
however, that neither the expiration nor the repeal of such subdivision
as provided for herein shall be deemed to affect or impair in any manner
S. 6357--A 100 A. 8557--A
any loan made pursuant to the authority of such subdivision prior to
such expiration and repeal.
S 2. This act shall take effect immediately and shall be deemed to
have been in full force and effect on and after April 1, 2014.
S 2. Severability clause. If any clause, sentence, paragraph, subdivi-
sion, section or part of this act 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, subdivision, section
or part thereof directly involved in the controversy in which such judg-
ment shall have been rendered. It is hereby declared to be the intent of
the legislature that this act would have been enacted even if such
invalid provisions had not been included herein.
S 3. This act shall take effect immediately provided, however, that
the applicable effective date of Parts A through AA of this act shall be
as specifically set forth in the last section of such Parts.