S T A T E   O F   N E W   Y O R K
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                                 3971--A

                       2013-2014 Regular Sessions

                          I N  A S S E M B L Y

                            January 30, 2013
                               ___________

Introduced  by M. of A. PRETLOW -- read once and referred to the Commit-
  tee on Codes -- recommitted to the Committee on  Codes  in  accordance
  with  Assembly  Rule  3, sec. 2 -- committee discharged, bill amended,
  ordered reprinted as amended and recommitted to said committee

AN ACT to amend the civil practice law and rules, the county law and the
  general municipal law,  in  relation  to  greater  accountability  for
  seized assets

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

  Section 1. The opening paragraph of subdivision 2 of section  1349  of
the civil practice law and rules, as added by chapter 655 of the laws of
1990, is amended to read as follows:
  If any other provision of law expressly governs the manner of disposi-
tion  of  property  subject to the judgment or order of forfeiture, that
provision of law shall be controlling, WITH THE EXCEPTION THAT, NOTWITH-
STANDING THE PROVISIONS OF ANY  OTHER  LAW,  ALL  FORFEITED  MONIES  AND
PROCEEDS  FROM  FORFEITED PROPERTY SHALL BE DEPOSITED INTO AND DISBURSED
FROM AN ASSET FORFEITURE ESCROW FUND  ESTABLISHED  PURSUANT  TO  SECTION
SIX-T  OF  THE GENERAL MUNICIPAL LAW, WHICH SHALL GOVERN THE MAINTENANCE
OF SUCH MONIES AND PROCEEDS FROM FORFEITED PROPERTY.   Upon  application
by  a  claiming agent for reimbursement of moneys directly expended by a
claiming agent in the underlying criminal investigation for the purchase
of contraband which were converted into a  non-monetary  form  or  which
have   not  been  otherwise  recovered,  the  court  shall  direct  such
reimbursement from money forfeited pursuant to this article. Upon appli-
cation of the claiming agent, the court may direct  that  any  vehicles,
vessels  or  aircraft  forfeited pursuant to this article be retained by
the claiming agent for law enforcement purposes, unless the court deter-
mines that such property is subject to a perfected lien, in  which  case
the  court  may not direct that the property be retained unless all such
liens on the property to be retained have been satisfied or pursuant  to

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD07836-02-4
              

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the court's order will be satisfied. In the absence of an application by
the  claiming  agent,  the  claiming authority may apply to the court to
retain such property for law enforcement purposes.  Upon  such  applica-
tion,  the court may direct that such property be retained by the claim-
ing authority for law enforcement purposes, unless the court  determines
that  such  property is subject to a perfected lien. If not so retained,
the judgment or order shall direct the claiming authority  to  sell  the
property  in accordance with article fifty-one of this chapter, and that
the proceeds of such sale and any other moneys realized as a consequence
of any forfeiture pursuant to this article  SHALL  BE  DEPOSITED  TO  AN
ASSET  FORFEITURE  ESCROW  FUND ESTABLISHED PURSUANT TO SECTION SIX-T OF
THE GENERAL MUNICIPAL LAW AND shall  be  apportioned  and  paid  in  the
following descending order of priority:
  S  2.  Section  1349 of the civil practice law and rules is amended by
adding a new subdivision 5 to read as follows:
  5. MONIES AND PROCEEDS FROM THE SALE OF PROPERTY REALIZED AS A  CONSE-
QUENCE  OF  ANY FORFEITURE DISTRIBUTED TO THE CLAIMING AGENT OR CLAIMING
AUTHORITY OF ANY COUNTY, TOWN, CITY, OR VILLAGE OF  WHICH  THE  CLAIMING
AGENT  OR  CLAIMING  AUTHORITY IS A PART, SHALL BE DEPOSITED TO AN ASSET
FORFEITURE ESCROW FUND ESTABLISHED PURSUANT  TO  SECTION  SIX-T  OF  THE
GENERAL MUNICIPAL LAW.
  S 3. Subdivision 2 of section 700 of the county law is amended to read
as follows:
  2. Within thirty days after the receipt of any fine, penalty, recovery
upon  any  recognizance,  MONIES  AND PROCEEDS FROM THE SALE OF PROPERTY
REALIZED AS A CONSEQUENCE OF ANY FORFEITURE, or other money belonging to
the county, the district attorney OR THE CLAIMING  AUTHORITY  shall  pay
the same to the county treasurer. Not later than the first day of Febru-
ary  in each year, the district attorney shall make in duplicate a veri-
fied true statement of all such moneys received and paid to  the  county
treasurer  during the preceding calendar year and at that time shall pay
to the  county  treasurer  any  balance  due.  One  statement  shall  be
furnished  to  the county treasurer [and the other], ONE to the clerk of
the board of supervisors AND ONE TO THE STATE COMPTROLLER.   A  district
attorney  who  is not re-elected shall make and file the verified state-
ment and pay any balance of such moneys to the county  treasurer  within
thirty days after the expiration of his term.
  S  4. The general municipal law is amended by adding a new section 6-t
to read as follows:
  S 6-T. ASSET FORFEITURE ESCROW FUND. 1. AS USED IN THIS SECTION:
  A. THE TERM "GOVERNING BOARD", INSOFAR AS IT IS USED IN REFERENCE TO A
VILLAGE, SHALL MEAN THE BOARD OF TRUSTEES THEREOF; INSOFAR AS IT IS USED
IN REFERENCE TO A TOWN, SHALL MEAN THE TOWN BOARD THEREOF; INSOFAR AS IT
IS USED IN REFERENCE TO A COUNTY, SHALL MEAN THE BOARD OF SUPERVISORS OR
THE COUNTY LEGISLATURE THEREOF, AS APPLICABLE; INSOFAR AS IT IS USED  IN
REFERENCE  TO A CITY, SHALL MEAN THE "LEGISLATIVE BODY" THEREOF, AS THAT
TERM IS DEFINED IN SUBDIVISION SEVEN OF SECTION  TWO  OF  THE  MUNICIPAL
HOME RULE LAW.
  B. THE TERM "CHIEF FISCAL OFFICER" SHALL MEAN:
  (I) IN THE CASE OF COUNTIES OPERATING UNDER (1) AN ALTERNATIVE FORM OF
COUNTY GOVERNMENT OR CHARTER ENACTED AS A STATE STATUTE OR ADOPTED UNDER
THE  ALTERNATIVE  COUNTY  GOVERNMENT  LAW  OR BY LOCAL LAW, THE OFFICIAL
DESIGNATED IN SUCH STATUTE, CONSOLIDATED LAW OR LOCAL LAW AS  THE  CHIEF
FISCAL OFFICER, OR, IF NO SUCH DESIGNATION IS MADE THEREIN, THE OFFICIAL
POSSESSING  POWERS  AND  DUTIES  SIMILAR  TO THOSE OF A COUNTY TREASURER
UNDER THE COUNTY LAW AS SHALL BE DESIGNATED BY LOCAL LAW.

A. 3971--A                          3

  (2) IN THE CASE OF COUNTIES NOT OPERATING UNDER AN ALTERNATIVE FORM OF
COUNTY GOVERNMENT OR CHARTER ENACTED AS A STATE STATUTE OR ADOPTED UNDER
THE ALTERNATIVE COUNTY GOVERNMENT LAW OR BY LOCAL  LAW,  THE  TREASURER,
EXCEPT THAT, IN THE CASE OF COUNTIES HAVING A COMPTROLLER, IT SHALL MEAN
THE COMPTROLLER.
  (II) IN THE CASE OF CITIES, THE COMPTROLLER; IF A CITY DOES NOT HAVE A
COMPTROLLER,  THE  TREASURER;  IF A CITY HAS NEITHER A COMPTROLLER NOR A
TREASURER, SUCH OFFICIAL POSSESSING POWERS AND DUTIES SIMILAR  TO  THOSE
OF  A  CITY  TREASURER AS THE FINANCE BOARD SHALL, BY RESOLUTION, DESIG-
NATE. A CERTIFIED COPY OF SUCH DESIGNATION SHALL BE FILED WITH THE STATE
COMPTROLLER AND SHALL BE A PUBLIC RECORD.
  (III) IN THE CASE OF TOWNS, THE TOWN SUPERVISOR; IF A  TOWN  HAS  MORE
THAN ONE SUPERVISOR, THE PRESIDING SUPERVISOR.
  (IV) IN THE CASE OF VILLAGES, THE VILLAGE TREASURER.
  C.  THE  TERM  "CLAIMING  AUTHORITY"  SHALL MEAN THE DISTRICT ATTORNEY
HAVING JURISDICTION OVER THE OFFENSE OR THE ATTORNEY GENERAL FOR PURPOSE
OF THOSE CRIMES FOR WHICH THE ATTORNEY GENERAL HAS CRIMINAL JURISDICTION
IN A CASE WHERE THE UNDERLYING CRIMINAL CHARGE HAS  BEEN,  IS  BEING  OR
COULD  HAVE  BEEN  BROUGHT  BY  THE ATTORNEY GENERAL, OR THE APPROPRIATE
CORPORATION COUNSEL OR COUNTY ATTORNEY, WHERE SUCH  CORPORATION  COUNSEL
OR COUNTY ATTORNEY MAY ACT AS A CLAIMING AUTHORITY ONLY WITH THE CONSENT
OF THE DISTRICT ATTORNEY OR THE ATTORNEY GENERAL, AS APPROPRIATE.
  D.  THE TERM "CLAIMING AGENT" SHALL MEAN AND SHALL INCLUDE ALL PERSONS
DESCRIBED IN SUBDIVISION THIRTY-FOUR OF SECTION  1.20  OF  THE  CRIMINAL
PROCEDURE  LAW, AND SHERIFFS, UNDERSHERIFFS AND DEPUTY SHERIFFS OF COUN-
TIES WITHIN THE CITY OF NEW YORK.
  2. THE GOVERNING BOARD SHALL AUTHORIZE THE ESTABLISHMENT OF  AN  ASSET
FORFEITURE  ESCROW  FUND FOR ANY CLAIMING AGENT OR CLAIMING AUTHORITY AS
IS DEEMED NECESSARY FOR THE MONIES AND  PROCEEDS  OF  SALE  OF  PROPERTY
REALIZED    AS A CONSEQUENCE OF ANY FORFEITURE. THE SEPARATE IDENTITY OF
SUCH FUND SHALL BE MAINTAINED.
  3. THERE SHALL BE PAID INTO  THE  ASSET  FORFEITURE  ESCROW  FUND  ALL
PROCEEDS REALIZED AS A CONSEQUENCE OF ANY FORFEITURE ACTION.  SUCH FUNDS
SHALL INCLUDE, BUT ARE NOT LIMITED TO, ALL FUNDS AND ANY PROPERTY (REAL,
PERSONAL,  TANGIBLE  AND/OR  INTANGIBLE)  THAT ARE FORFEITED PURSUANT TO
AGREEMENT OR OTHERWISE PRIOR TO, IN LIEU OF  OR  AFTER  THE  LODGING  OF
CRIMINAL  CHARGES,  PRE-INDICTMENT, POST-INDICTMENT, OR AFTER CONVICTION
BY PLEA OR TRIAL. SUCH FUNDS SHALL ALSO INCLUDE FUNDS THAT ARE FORFEITED
IN COMPROMISE OF CHARGES THAT ARE NEVER BROUGHT.
  4. THE MONIES AND PROCEEDS IN THE ASSET FORFEITURE ESCROW  FUND  SHALL
BE  DEPOSITED  AND SECURED IN THE MANNER PROVIDED BY SECTION TEN OF THIS
ARTICLE.  ALL MONIES AND PROCEEDS SO DEPOSITED IN  SUCH  FUND  SHALL  BE
KEPT IN A SEPARATE BANK ACCOUNT. THE CHIEF FISCAL OFFICER MAY INVEST THE
MONEYS  IN  SUCH  FUND  IN THE MANNER PROVIDED IN SECTION ELEVEN OF THIS
ARTICLE. ANY INTEREST EARNED OR CAPITAL GAINS REALIZED ON THE MONEYS  SO
DEPOSITED  OR INVESTED SHALL ACCRUE TO AND BECOME PART OF SUCH FUND. THE
SEPARATE IDENTITY OF SUCH FUND SHALL BE MAINTAINED, WHETHER  ITS  ASSETS
CONSIST OF CASH, INVESTMENTS, OR BOTH.
  5.  EVERY  CLAIM  FOR  THE  PAYMENT OF MONEY FROM THE ASSET FORFEITURE
ESCROW FUND SHALL SPECIFY THE PURPOSE OF THE REQUESTED PAYMENT AND  MUST
BE  ACCOMPANIED  BY  A  WRITTEN CERTIFICATION THAT THE EXPENDITURE IS IN
COMPLIANCE WITH ALL APPLICABLE LAWS.  PAYMENTS FROM SUCH FUND  SHALL  BE
MADE  BY  THE CHIEF FISCAL OFFICER SUBJECT TO THE REQUIRED CERTIFICATION
AND THE DETERMINATION OF FUND SUFFICIENCY.
  6. THE CHIEF FISCAL OFFICER, AT THE TERMINATION OF EACH  FISCAL  YEAR,
SHALL  RENDER  A  DETAILED  REPORT OF THE OPERATION AND CONDITION OF THE

A. 3971--A                          4

ASSET FORFEITURE ESCROW FUND TO THE GOVERNING BOARD AND THE STATE  COMP-
TROLLER.  SUCH  REPORT  SHALL  BE  SUBJECT TO EXAMINATION AND AUDIT. THE
CHIEF FISCAL OFFICER MAY ACCOUNT FOR SUCH FUND SEPARATE AND  APART  FROM
ALL OTHER FUNDS OF THE VILLAGE, TOWN, COUNTY, AND CITY.
  S 5. This act shall take effect on the one hundred eightieth day after
it shall have become a law.