S T A T E   O F   N E W   Y O R K
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                                  7836

                            I N  S E N A T E

                              June 13, 2014
                               ___________

Introduced  by  Sen.  FARLEY -- read twice and ordered printed, and when
  printed to be committed to the Committee on Local Government

AN ACT to establish  a  semiconductor  manufacturing  tax  stabilization
  reserve  fund in the Ballston Spa Central School District to lessen or
  prevent increases in the school district's real property tax levy

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

  Section 1. Legislative findings. The legislature hereby finds that the
private  development  and  ownership  of  a  semiconductor manufacturing
project or projects located  within  the  Ballston  Spa  Central  School
District may result in the instability in the real property tax base and
the  budgets of the district due to the uncertainty with the assessments
of such semiconductor manufacturing project or projects.
  S 2. Definitions. As used in this act:
  (a) "Board of education" or "board" means the board  of  education  of
the Ballston Spa Central School District.
  (b)  "Semiconductor  manufacturing  tax stabilization reserve fund" or
"fund" means the semiconductor manufacturing tax  stabilization  reserve
fund established pursuant to this act.
  (c)  "School  district"  or  "district" means the Ballston Spa Central
School District.
  (d) "Semiconductor manufacturing project or projects" shall be defined
as in section 412-a of the real property tax law and shall  include  the
land  upon  which the project is located, buildings for use in the manu-
facturing of semiconductors and the acquisition and installation therein
of certain machinery and equipment.
  S 3. The board of education is hereby authorized to  establish  a  tax
stabilization  reserve fund to lessen or prevent increases in the school
district's real property tax levy resulting from  decreases  in  revenue
due  to  changes  in  assessments  of  such  semiconductor manufacturing
projects provided, however, that  no  such  fund  shall  be  established
unless  approved  by  a  majority  vote  of  the qualified voters of the
district present and voting on a separate ballot proposition therefor at
either a special district meeting which the board of education may  call

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

                                                           LBD14277-07-4

S. 7836                             2

for such purposes, or at the annual district meeting and election, to be
noticed  and  conducted in either case in accordance with the provisions
of article 41 of the education law. Moneys shall be paid into and  with-
drawn from the fund, and the fund shall be administered, as follows:
  (a)  The  board  of  education is hereby authorized to make a one-time
deposit into the semiconductor manufacturing tax  stabilization  reserve
fund  from  funds remaining in reserves previously set aside in relation
to article VII proceedings related to  the  semiconductor  manufacturing
facility, in an amount not to exceed two million dollars.
  (b)  Moneys  may be withdrawn from the semiconductor manufacturing tax
stabilization reserve fund, by resolution of  the  board  of  education,
only  for the purpose of offsetting increases in taxes in any subsequent
school year.
  (c) The moneys in the semiconductor  manufacturing  tax  stabilization
reserve  fund  shall  be  deposited,  invested  and accounted for in the
manner provided for in subdivisions 2 and 6 of section 3651 and  section
3652 of the education law.
  S  4.  This  act shall take effect immediately, and shall be deemed to
have been in full force and effect on and after May 19, 2014.