senate Bill S2605D

Signed By Governor
2013-2014 Legislative Session

Enacts major components of legislation necessary to implement the public protection - general government budget for the 2013-14 state fiscal year

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Archive: Last Bill Status - Signed by Governor


  • Introduced
  • In Committee
  • On Floor Calendar
    • Passed Senate
    • Passed Assembly
  • Delivered to Governor
  • Signed by Governor

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Actions

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Assembly Actions - Lowercase
Senate Actions - UPPERCASE
Mar 28, 2013 signed chap.55
delivered to governor
returned to senate
passed assembly
motion to amend lost
motion to amend lost
motion to amend lost
ordered to third reading rules cal.44
substituted for a3005d
Mar 24, 2013 referred to ways and means
delivered to assembly
passed senate
ordered to third reading cal.271
Mar 20, 2013 print number 2605d
amend (t) and recommit to finance
Mar 09, 2013 print number 2605c
amend (t) and recommit to finance
Feb 22, 2013 print number 2605b
amend (t) and recommit to finance
Feb 13, 2013 print number 2605a
amend and recommit to finance
Jan 22, 2013 referred to finance

Votes

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Bill Amendments

Original
A
B
C
D (Active)
Original
A
B
C
D (Active)

S2605 - Bill Details

See Assembly Version of this Bill:
A3005D
Law Section:
Budget Bills
Laws Affected:
Amd Various Laws, generally

S2605 - Bill Texts

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Enacts major components of legislation into law that are necessary to implement the public protection and general government budget for the 2013-2014 state fiscal year; authorizes the governor to close correctional facilities; authorizes the urban development corporation, the office of general services and the department of corrections and community supervision to transfer and convey certain lands in the county of Bronx, city of New York, to the Thomas Mott Osborne Memorial Fund, Inc.; increases surcharges for certain violations; establishes enhanced penalties for multiple violations of the mobile phone and texting prohibitions; relates to adopting the national crime prevention and privacy compact; extends numerous provisions of law; relates to the disposition of monies recovered by county district attorneys before the filing of an accusatory instrument; creates a new New York state gaming commission account; relates to reducing purse amounts paid from the VLT program; relates to reforming the local government citizens re-organization empowerment grant program and the local government efficiency grant program; relates to providing for the consolidation of certain information technology staff and services within the office of information technology services; relates to the office of cyber security; increases discretionary thresholds for procurement of food commodities; includes school districts and boards of cooperative educational services in the intrastate mutual aid program; relates to state aid on certain state leased or state-owned land; relates to emergency alerts; relates to extending the authority for the joint underwriting association to issue broad form insurance coverage; and relates to eliminating the earnings limitation for retired police officers employed as school resource officers.

view sponsor memo
BILL NUMBER:S2605

TITLE OF BILL: An act authorizing the governor to close correctional
facilities; and providing for the repeal of such provisions upon
expiration thereof (Part A); authorizing the urban development
corporation, the office of general services and the department of
corrections and community supervision to transfer and convey certain
lands in the county of Bronx, city of New York, to the Thomas Mott
Osborne Memorial Fund, Inc. (Part B); to amend the vehicle and traffic
law, in relation to plea limitations; in relation to extending
surcharges and the crime victim assistance fee for certain violations;
in relation to enhanced penalties for multiple violations of the
mobile phone and texting prohibitions; to amend the state finance law,
in relation to certain payments to the state treasurer; and to repeal
section 1101 of the vehicle and traffic law relating thereto (Part C);
to amend the executive law, in relation to adopting the national crime
prevention and privacy compact (Part D); to amend chapter 887 of the
laws of 1983, amending the correction law relating to the
psychological testing of candidates, in relation to making the
provisions of such chapter permanent; to amend chapter 428 of the laws
of 1999, amending the executive law and the criminal procedure law
relating to expanding the geographic area of employment of certain
police officers, in relation to extending the expiration of such
chapter; to amend chapter 886 of the laws of 1972, amending the
correction law and the penal law relating to prisoner furloughs in
certain cases and the crime of absconding therefrom, in relation to
making the provisions of such chapter permanent; to amend chapter 261
of the laws of 1987, amending chapters 50, 53 and 54 of the laws of
1987, the correction law, the penal law and other chapters and laws
relating to correctional facilities, in relation to making the
provisions of such chapter permanent; to amend chapter 339 of the laws
of 1972, amending the correction law and the penal law relating to
inmate work release, furlough and leave, in relation to making the
provisions of such chapter permanent; to amend chapter 60 of the laws
of 1994 relating to certain provisions which impact upon expenditure
of certain appropriations made by chapter 50 of the laws of 1994
enacting the state operations budget, in relation to making certain
provisions of such chapter permanent; to amend chapter 3 of the laws
of 1995, amending the correction law and other laws relating to the
incarceration fee, in relation to extending the expiration of certain
provisions of such chapter; to amend chapter 55 of the laws of 1992,
amending the tax law and other laws relating to taxes, surcharges,
fees and funding, in relation to extending the expiration of certain
provisions of such chapter; to amend chapter 907 of the laws of 1984,
amending the correction law, the New York city criminal court act and
the executive law relating to prison and jail housing and alternatives
to detention and incarceration programs, in relation to extending the
expiration of certain provisions of such chapter; to amend chapter 166
of the laws of 1991, amending the tax law and other laws relating to
taxes, in relation to extending the expiration of certain provisions
of such chapter; to amend the vehicle and traffic law, in relation to
extending the expiration of the mandatory surcharge and victim
assistance fee; to amend chapter 713 of the laws of 1988, amending the
vehicle and traffic law relating to the ignition interlock device
program, in relation to extending the expiration thereof; to amend
chapter 435 of the laws of 1997, amending the military law and other
laws relating to various provisions, in relation to extending the


expiration date of the merit provisions of the correction law and the
penal law of such chapter; to amend chapter 412 of the laws of 1999,
amending the civil practice law and rules and the court of claims act
relating to prisoner litigation reform, in relation to extending the
expiration of the inmate filing fee provisions of the civil practice
law and rules and general filing fee provision and inmate property
claims exhaustion requirement of the court of claims act of such
chapter; to amend chapter 222 of the laws of 1994 constituting the
family protection and domestic violence intervention act of 1994, in
relation to extending the expiration of certain provisions of the
criminal procedure law requiring the arrest of certain persons engaged
in family violence; to amend chapter 505 of the laws of 1985, amending
the criminal procedure law relating to the use of closed-circuit
television and other protective measures for certain child witnesses,
in relation to extending the expiration of the provisions thereof; to
amend chapter 3 of the laws of 1995, enacting the sentencing reform
act of 1995, in relation to extending the expiration of certain
provisions of such chapter; to amend chapter 689 of the laws of 1993
amending the criminal procedure law relating to electronic court
appearance in certain counties, in relation to extending the effective
date thereof; to amend chapter 688 of the laws of 2003, amending the
executive law relating to enacting the interstate compact for adult
offender supervision, in relation to making certain provisions of such
chapter permanent; to amend part H of chapter 56 of the laws of 2009,
amending the correction law relating to limiting the closing of
certain correctional facilities, providing for the custody by the
department of correctional services of inmates serving definite
sentences, providing for custody of federal prisoners and requiring
the closing of certain correctional facilities, in relation to the
effectiveness of such chapter; and to amend section 3 of part C of
chapter 152 of the laws of 2001, amending the military law relating to
military funds of the organized militia, in relation to the
effectiveness thereof (Part E); to amend chapter 503 of the laws of
2009, relating to the disposition of monies recovered by county
district attorneys before the filing of an accusatory instrument, in
relation to the effectiveness thereof (Part F); to amend the
retirement and social security law and the education law, in relation
to pension contributions paid by local governments and school
districts beginning in the 2013-14 fiscal year and certain fiscal
years thereafter (Part G); to amend the civil service law, in relation
to the reimbursement of medicare premium charges (Part H); to amend
the state finance law, in relation to creating a new New York state
gaming commission account (Part I); to amend the tax law, in relation
to reducing purse amounts paid from the VLT program (Part J); to amend
the state finance law, in relation to reforming the local government
citizens re-organization empowerment grant program and the local
government efficiency grant program (Part K); providing for the
elimination of burdensome reporting requirements imposed on school
districts and local governments (Part L); to provide for the
administration of certain funds and accounts related to the 2013-14
budget; authorizing certain payments and transfers; to amend chapter
59 of the laws of 2012, relating to providing for administration of
certain funds and accounts related to the 2013-2014 budget, in
relation to the effectiveness thereof; to amend the state finance law,
in relation to school tax relief fund; to amend chapter 60 of the laws
of 2011, amending the state finance law relating to disbursements from
the tribal-state compact revenue account to certain municipalities, in


relation to the availability of moneys; to amend the New York state
medical care facilities finance agency act, in relation to the deposit
of certain funds; to amend the state finance law, in relation to the
issuance of revenue bonds; to amend the public authorities law, in
relation to the number of directors required for approval of a
resolution authorizing the issuance of bonds or notes; to amend the
New York state urban development corporation act, in relation to
funding project costs for certain capital projects; to amend chapter
61 of the laws of 2005, relating to providing for the administration
of certain funds and accounts related to the 2005-2006 budget, in
relation to the Division of Military and Naval Affairs Capital
Projects; to amend chapter 389 of the laws of 1997, relating to the
financing of the correctional facilities improvement fund and the
youth facility improvement fund, in relation to the issuance of bonds;
to amend the private housing finance law, in relation to housing
program bonds and notes; to amend 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, in
relation to the issuance of bonds; to amend the public authorities
law, in relation to courthouse improvements and training facilities,
metropolitan transportation authority facilities, peace bridge
projects and issuance of bonds by the dormitory authority; to amend
chapter 61 of the laws of 2005, providing for the administration of
certain funds and accounts related to the 2005-2006 budget, in
relation to issuance of bonds by the urban development corporation; to
amend the New York state urban development corporation act, in
relation to projects for retention of professional football in western
New York; to amend the public authorities law, in relation to the
cleaner, greener communities program; to amend the state finance law,
in relation to establishing the sales tax revenue bond tax fund and
providing for the deposit of revenues therefrom, establishing the
sales tax revenue bond financing program; to amend the tax law, in
relation to deposit and disposition of revenue; to amend the state
finance law, in relation to establishing the New York state
transformative capital fund; to amend the New York state urban
development corporation act, in relation to authorizing the urban
development corporation to issue bonds to fund project costs for the
implementation of a NY-CUNY challenge grant program; to amend chapter
260 of the laws of 2011 amending the education law and the New York
state urban development corporation act relating to establishing
components of the NY-SUNY 2020 challenge grant program, in relation to
the effectiveness thereof; to amend the public authorities law, in
relation to dormitories at certain educational institutions other than
state operated institutions and statutory or contract colleges under
the jurisdiction of the state university of New York; to amend chapter
81 of the laws of 2002, providing for the administration of certain
funds and accounts related to the 2002-2003 budget, in relation to
increasing the aggregate amount of bonds to be issued by the New York
state urban development corporation; to amend the public authorities
law, in relation to financing of New York works transportation capital
projects; and providing for the repeal of certain provisions upon
expiration thereof (Part M); to amend the executive law, the state
technology law and the general business law, in relation to providing
for the consolidation of certain information technology staff and
services within the office of information technology services; and to
repeal section 715 of the executive law, relating to the office of
cyber security (Part N); to amend the workers' compensation law, in


relation to changing the composition of the board's practice
committees and to permitting a single arbitrator process; to amend the
workers' compensation law, in relation to the collection of
assessments for annual expenses and the investment of surplus or
reserve; in relation to the representation of funds; in relation to
closing the fund for reopened cases; in relation to the termination of
payments into the aggregate trust fund; in relation to administration
expenses for the state insurance fund; in relation to requiring
self-insured municipal groups and county treasurers to provide certain
financial information to the workers' compensation board; to amend the
workers' compensation law and the public authorities law, in relation
to authorizing the workers' compensation board and the dormitory
authority to enter into a self-insured bond financing agreement; to
amend the volunteer firefighters' benefit law and the volunteer
ambulance workers' benefit law, in relation to the payment of benefits
and to the assessment of expenses; to amend the public officers law,
in relation to indemnification of state officers and employees; and
repealing certain provisions of the workers' compensation law, the
volunteer firefighters' benefit law and the volunteer ambulance
workers' benefit law relating to assessments for expenses, and
relating to the location of the workers' compensation board (Part O);
to amend the state finance law, in relation to increasing
discretionary thresholds for procurement of food commodities (Part P);
to amend the executive law, in relation to including school districts
and boards of cooperative educational services in the intrastate
mutual aid program (Part Q); to amend the public officers law, in
relation to exempting certain state employees from the two-year and
lifetime bars (Part R); and to amend chapter 56 of the laws of 2011
relating to permitting authorized state entities to utilize the
design-build method for infrastructure projects, in relation to the
definition of authorized state entities (Part S)

PURPOSE: This bill contains provisions needed to implement the Public
Protection and General Government portions of the 2013-14 Executive
Budget.

This memorandum describes Parts A through S of the bill which are
described wholly within the parts listed below.

Part A - Authorize the Governor to close the Bayview and Beacon
correctional facilities in State fiscal year 2013-14 with 60 days'
notice.

Purpose: This bill would expedite the prison closure process by
giving the Governor authorization to close the Bayview and Beacon
correctional facilities 60 days after notice.

Statement in Support, Summary of Provisions, Existing Law, and Prior
Legislative History:

The Department of Corrections and Community Supervision's (DOCCS)
under-custody population has fallen by more than 15,000 inmates from
its peak of 71,600 inmates in December 1999. This has resulted in
significant unused prison capacity, and in the 2011-2012 Executive
Budget, a similar provision was enacted, which allowed for the closure
of seven facilities and the elimination of 3,800 beds during that time


period. Since then, the inmate population has continued to decline
resulting in additional excess bed capacity.

Under current law, the Commissioner of DOCCS is required to give
notice one year before closing a correctional facility, and to prepare
an adaptive re-use plan six months before closure. However, the State
must be able to act expeditiously to eliminate excess prison capacity
in order to use scarce taxpayer dollars as efficiently and prudently
as possible. The transfer of inmates into facilities that are more
efficient and offer more rehabilitative services will yield
significant recurring savings to taxpayers and is consistent with
public safety. This bill would enable the Governor to close the
Bayview and Beacon correctional facilities, in 2013-2014 SFY, for the
cost-effective and efficient operation of the correctional system,
provided that the Governor provides at least 60 days' notice to the
Temporary President of the Senate and the Speaker of the Assembly.

Budget Implications:

Enactment of this bill is necessary to implement the 2013-14 Executive
Budget as savings will be realized from these closures.

Effective Date:

This bill would take effect immediately upon enactment.

Part B - Transfer the former Fulton Correctional Facility to the
Thomas Mott Osborne Memorial Fund.

Purpose:

This bill would permit the transfer of the former Fulton Correctional
Facility to the Thomas Mott Osborne Memorial Fund for the purpose of
establishing a center providing opportunities for individuals in
conflict with the law through reform and rehabilitation programs,
alternatives to incarceration, re-entry services, victim services and
related community activities in order to increase public safety in the
county of Bronx.

Statement in Support, Summary of Provisions, Existing Law, and Prior
Legislative History:

The Fulton Correctional Facility was one of seven prisons closed in
the state in 2011. The Thomas Mott Osborne Memorial Fund plans to use
the property to create a program for Bronx residents involved with the
criminal justice system, emphasizing re-entry and alternatives to
incarceration, job training, victim services and related community
activities. The Osborne Memorial Fund has a long history of providing
such services in New York and managing large tangible assets, and has
demonstrated fundraising ability to support such a program in the
Bronx.

Budget Implications:

Enactment of this bill is necessary to implement the 2013-14 Executive
Budget because the transfer of this property will save the state


approximately $215,000 per year in the cost of maintaining and
securing the former Fulton Correctional Facility.

Effective Date:

This bill would take effect immediately upon enactment.

Part C - Limit plea bargaining of traffic tickets, extend State
surcharges to new offenses, and establish minimum fines for traffic
violations involving texting and cell phone use.

Purpose:

This bill would restrict plea bargaining with respect to certain
violations of the Vehicle and Traffic Law, to ensure drivers who
repeatedly speed do not go unpunished. This bill would also impose $80
in surcharges on the parking violations to which drivers often plead
down from speeding violations. In addition, to discourage distracted
driving, this bill sets a minimum fine of $50 for a first offense of
using a cell phone or texting while driving, and enhanced fines for
subsequent violations.

Statement in Support, Summary of Provisions, Existing Law, and Prior
Legislative History:

Speeding is a significant highway safety issue, increasing the
frequency and severity of crashes and resulting in a public cost that
is high in terms of both human tragedy and economic costs. In 2010,
speed related crashes accounted for almost 11% of all police reported
motor vehicle crashes, and 47% of all speed related crashes resulted
in injury or death. In spite of this public safety cost, it is common
practice to allow motorists charged with speeding offenses to plead
those charges down to lesser offenses, including parking violations.

Indeed, pleas bargains are often taken without regard to any highway
safety considerations. The monetary incentive for a plea is even
greater when pleading down to a parking violation. In addition to the
applicable fines, moving violations are subject to mandatory State
surcharges; but parking violations are excluded from the surcharge.
Moreover, while moving violations result in an assessment of points
against a driver's license, parking violations do not.

Over time, an accumulation of speeding convictions and/or points can
result in license sanctions and imposition of driver responsibility
assessments. Pleas to lesser violations either diminish or, in some
cases, completely eliminate, the likelihood that such
sanctions/assessments will be imposed, and information on pleas does
not become part of a driver's history. As a result, if a motorist is
convicted of only a parking violation, and subsequently commits a new
speeding violation, the prosecutor and the judge have no knowledge
that the driver was previously ticketed for speeding, in most
instances.

This bill would address these issues in three ways. First, with
respect to more serious speeding violations - those that involve a
rate of speed of more than 20 miles per hour in excess of the posted
speed limit - the ability to plea bargain would be limited. A plea of


guilty would have to be to at least a point-bearing violation. In this
way, persistent speeders will no longer be able to escape monetary and
license sanctions by repeatedly pleading to offenses that do not
appear on a driving record.

Second, courts frequently permit pleas to Vehicle and Traffic Law
1101 despite being advised by the Department of Motor Vehicles and the
Office of Court Administration that this is not a chargeable offense.
This section is merely definitional, and is not a true violation -
carrying neither points nor a fine, and no entry on a driver's record.
It is repealed in this bill.

Lastly, in cases where such plea bargains are permitted, there will be
mandatory imposition of certain surcharges.

In addition to speeding, using a cell phone and texting while driving
also contribute significantly to traffic accidents. By setting a
minimum fine for these violations, and establishing graduated fines
for subsequent offenses, those convicted of these violations will be
highly incentivized to change their behavior, thereby enhancing
traffic safety.

Budget Implications:

Enactment of this bill is necessary to implement the 2013-14 Executive
Budget, as it is expected to generate $16 million of new revenue in
the 2013-14 and $25 million each year thereafter.

Effective Date:

This bill takes effect 60 days after enactment.

Part D - Ratify the National Crime Prevention and Privacy Compact,
allowing the State to participate in the National Fingerprint File
program.

Purpose:

This bill would ratify the National Crime Prevention and Privacy
Compact Act (Compact) of 1998 thereby allowing New York to participate
in National Fingerprint File (NFF) program.

Statement in Support, Summary of Provisions, Existing Law, and Prior
Legislative History:

Currently, the Division of Criminal Justice Services (DCJS) sends
fingerprint images and arrest and disposition data to the FBI for
inclusion in the Interstate Identification Index (III). When a
fingerprint-based background check conducted by another state
indicates that the individual has a criminal history record in New
York State, the FBI provides a copy of the data maintained in the III.
If New York joins the Compact, it will be able to send criminal
history data directly to the requesting state and bypass the FBI.
Moreover, New York can similarly access other states` criminal history
data.


There are several benefits to becoming a Compact member: (1)
Currently, the III record maintained by the FBI may not contain an
accurate criminal history. By participating in the NFF, New York will
ensure that it is providing and receiving the most complete and
comprehensive criminal history record information available thereby
ensuring an accurate criminal history; (2) After becoming an NFF
state, there is no need to maintain duplicate records at the federal
level. Notably, the State will not have to forward expungement notices
and disposition information to the FBI. Once a record is initially
indexed at the FBI, subsequent arrest submissions are not required.
Reduction of these duplicative processes will allow the State to
expend its resources in a more efficient manner; (3) Finally,
participating in the NFF will allow New York to control the use of its
criminal history records. An NFF participating state is queried
directly for its record via III. The III record request identifies the
purpose for the request, providing an NFF state the benefit of knowing
when its records are being used and for what purpose.

Budget Implications:

Enactment of this bill is necessary to implement the FY 2013-2014
Executive Budget, because appropriated funds will be required to
ensure compliance with the Compact. In addition to a $300,000 Federal
grant, DCJS will need to allocate State funds from its 2013-14 budget
to implement its participation in NFF.

Effective Date:

This bill takes effect on the one hundred eightieth day after it
becomes a law.

Part E - Extend various criminal justice and public safety programs.

Purpose: This bill would extend for two years various criminal
justice and public safety programs that would otherwise expire in
2013. It would make six provisions of law permanent and would allow
one program, relating to community treatment facilities that have not
existed for over two decades to expire.

Statement in Support, Summary of Provisions, Existing Law, and Prior
Legislative History:

This bill would extend the authorization of various sections of law to
ensure the continuation of a host of criminal justice programs -- all
of which have been extended previously, and many of which having been
extended multiple times.

Key programs and statutory provisions continued for two years by this
bill include: expanding the geographic area relating to employment of
police officers; determinate sentencing; incarceration, parole and
probation fees; mandatory surcharge and crime victim assistance fees;
alternatives to incarceration; armory rent; ignition interlock program
for individuals convicted of alcohol-related violations; electronic
court appearances; mandatory arrest in cases of domestic violence; and
protective measures for child witnesses.


Six provisions - relating to the requirement for psychological testing
of correctional officer candidates; inmate work release and furloughs;
the earned eligibility program; and the interstate compact for adult
offender supervision - would be made permanent, and one program -
relating to community treatment facilities that have not been used
within the State correctional system for over two decades - would be
permitted to expire.

Budget Implications:

Enactment of this bill is necessary to implement the 2013-2014
Executive Budget, which relies on continuation of these programs in
certain Financial Plan projections.

Effective Date:

This bill would take effect immediately upon enactment. Part F -
Continue provisions relating to the disposition of certain monies
recovered by county district attorneys.

Purpose:

This bill would continue the existing formula for distribution of
certain monies recovered by county district attorneys.

Statement in Support, Summary of Provisions, Existing Law and Prior
Legislative History:

This bill would amend Chapter 503 of the Laws of 2009, as amended by
Part F of Chapter 55 of the Laws of 2012, to extend that statute by
one year. Pursuant to that law, a county district attorney in New York
City may retain a portion of recoveries it makes before the filing of
an accusatory instrument, and the remaining amount is distributed
equally between the State and the City of New York. The existing
statute will otherwise expire on March 31, 2013.

For the past five years, the Manhattan District Attorney's Office has
recovered significant monies from pre-indictment settlements (i.e.,
pursuant to deferred prosecution agreements). For the past three
years, the State and the City of New York have received equal
distributions from the Manhattan District Attorney's recoveries. This
equal distribution will not be altered by this bill.

Budget Implications:

Enactment of this bill is necessary to implement the 2013-14 Executive
Budget. It is necessary to ensure the receipt of settlement revenues
that may become available during the fiscal year. By continuing the
distribution rules, this bill ensures that there will be a State share
in the event of a recovery in 2013-14.

Effective Date:

This bill would take effect March 31, 2013.

Part G - Provide the New York State Comptroller and the New York State
Teachers' Retirement System Board statutory authority to make a


long-term stable pension contribution option available to local
governments and school districts.

Purpose:

This bill would provide the New York State Comptroller and the New
York State Teachers' Retirement System Board statutory authority to
make a long-term stable pension contribution option available to local
governments and school districts.

This option would be available, at the discretion of the Comptroller
and the Teachers' Retirement Board, to local governments and school
districts participating in the New York State and Local Employees'
Retirement System (ERS), the New York State and Local Police and Fire
Retirement System (PFRS), and the Teachers' Retirements' System (ERS).

Summary of Provisions

This bill would: * Provide the New York State Comptroller
("Comptroller") and the New York State Teachers' Retirement Board
("Board") statutory,authority to make available, at their discretion,
a long-term stable pension contribution option to local governments
and school districts. Such option would:

o Provide local governments and school districts a long-term stable
pension contribution rate applied to the employer's pensionable wage
base of 12 percent for ERS, 12.5 percent for TRS, and 18.5 percent for
PFRS.

o Provide a baseline stable pension contribution term of 25 years for
ERS, TRS, and PFRS, respectively, to local governments and school
districts choosing the option.

* Provide that local governments and school districts may choose the
long-term stable pension contribution option in FY 2014 with such
option applicable to employer contributions paid in subsequent fiscal
years.

* Provide that the long-term stable pension contribution amount for
participating local governments and school districts would be
calculated by the Comptroller or Board net of group life insurance,
deficiency payments, retirement incentive costs, and amortized pension
costs.

* Provide that participating local governments and school districts
would pay the long-term stable pension contribution amount, plus group
term life insurance, deficiency payments, retirement incentive costs,
and amortized pension costs, as appropriate, by the statutory pension
payment deadlines set forth in Retirement and Social Security Law
(RSSL) and Education Law (EDL).

* Provide that the long-term stable pension contribution amount paid
by participating local governments and school districts' would be in
lieu of the normal and administrative contributions currently being
made under RSSL and EDL.


* Provide that, upon completion of the baseline stable pension
contribution term, participating local governments and school
districts would resume making the normal and administrative
contributions required under current law.

* Preclude participating local governments from amortizing any portion
of a future pension bills pursuant to RSSL §§ 19-a and 319-a .

* Provide that participating local governments and school districts
may "un-elect" the long-term stable pension contribution option at any
time. Such termination would require participating local governments
and school districts to make a reconciliation contribution, as
calculated by the Comptroller or Board, equal to what such employers
would have owed had they not chosen the stable contribution option.

* Empower the Comptroller and the Board to evaluate the long-term
stable pension contribution rates at two points in time. The first
evaluation would be five years after implementation and the second
evaluation would be ten years after implementation of this option.
Such evaluations would be based on long-term projections of assets and
liabilities to ensure that contributions made by participating local
governments and school districts are sufficient to fund benefits for
active and retired members.

o Following the five-year evaluation, the Comptroller and the Board
could increase the long-term stable pension contribution rates by up
to two percentage points.

o Following the ten-year evaluation, the Comptroller and the Board
could increase or decrease the long-term stable pension contribution
rates, but the adjusted rates may not be decreased lower than the
original rates or increased more than four percentage points higher
than the original rates (not lower than 12 percent or higher than 16
percent for ERS: not lower than 12.5 percent or higher than 16.5
percent for TRS; and not lower than 18.5 percent or higher than 22.5
percent for PFRS).

* Provide the Comptroller and the Board with discretionary authority
to increase or decrease the length of the baseline stable pension
contribution term to ensure adequate system funding.

* Empower the Comptroller and the Board to evaluate the stable pension
contribution term every five years for the purpose of informing
participating local governments and school districts whether the
length of the long-term stable pension contribution term is expected
to increase or decrease from the original term.

Statement in Support

Local governments and school districts are facing increased stress
from rising costs including employee pension obligations. Local
government pension costs associated with ERS and the PFRS have grown
from $190 million in 2002 to $22 billion in 2012. TRS costs have grown
from $52 million to $1.6 billion.

Although the implementation of Tier VI has diminished the long-term
pension affordability problem, local governments and school districts


now need assistance with the current pension affordability
problem--exorbitant employer contribution rates resulting from the
2008 market crash and the subsequent recession. While pension relief
for local governments and schools will continue to grow over time as
more employees enter the new Tier VI, these entities continue to face
recurring and significant increases in employer contribution rates
resulting from the 2008 market crash and the subsequent recession.

The Executive Budget offers local governments and schools a bridge to
the long-term savings of Tier VI, as well as greater predictability,
through a Tier VI refinancing plan which offers a stable pension
contribution option. This bill would provide the New York State
Comptroller and the New York State Teachers' Retirement Board (Board)
authority to make a stable pension contribution option available, at
their discretion, to local governments and school districts.

Such option could be made available to local governments and school
districts in ERS, PFRS, and TRS. if the option is made available by
the Comptroller or the Board, local governments and school districts
would decide whether to "lock-in" a long term stable pension
contribution rate of 12 percent for ERS, 12.5 percent for TRS, and
18.5 percent for PFRS in FY 2014. Absent this option, the system
average rates would be 20.9 percent for ERS, 16.5 percent for TRS, and
28.9 percent for PFRS in FY 2014.

Selecting this option would provide local governments and school
districts stability and predictability for pension obligations, while
simultaneously ensuring the adequacy of pension system funding. Local
governments and school districts would also achieve significant and
immediate budget relief over the next decade.

Budget Implications:

The stable pension contribution is only available to local governments
and school districts, therefore, this bill has no budgetary impact on
the State. If this proposal is enacted, there would be little or no
impact on the funded status of ERS, PFRS, and TRS over the full term
of the program.

For those local governments and school districts which elect this
option, employer pension contributions would be less than the normal
employer pension contributions they would otherwise pay in the early
years of the long-term stable employer contribution option, but more
than the normal employer contributions they would otherwise pay in the
later years of the option.

Additionally, impacts will ultimately depend upon actual market
return, the number of local governments and school districts who
choose the option, and the size 'of the local governments and schools
that choose the option.

Effective Date:

This bill would take effect immediately upon enactment.

Part H - Amend the Civil Service Law in relation to the reimbursement
of Medicare premium charges.


Purpose:

This bill would amend Section 167-a of the Civil Service Law to cease
reimbursement of additional Income Related Medicare Adjustment Amount
(IRMAA) premiums paid by higher-income retirees retroactive to January
1, 2013.

Statement in Support, Summary of Provisions, Existing Law, and Prior
Legislative History:

To minimize employee health benefit costs, the State requires all
retirees participating in the New York State Health Insurance Plan
(NYSHIP) to enroll in Medicare Part B upon turning age 65. After
enrolling in Medicare Part B, the federal government requires
enrollees to pay a monthly premium ($104.90 in 2013). State retirees
pay this monthly premium to the federal government (typically taken as
a Social Security check deduction), but are later reimbursed the full
amount by the State as a credit in their monthly pension allowance.

In 2007, the federal government implemented an additional
income-related Part B premium requiring higher income enrollees to pay
higher monthly premiums. These higher monthly premiums are called
Income Related Medicare Adjustment Amounts (IRMAA). The table below
shows the IRMAA levels for the 2013 calendar year.

Means-Tested 2013 Medicare Part B Premiums (IRMAA)
Income Threshold
Regular Additional
Single Married Medicare IRMAA Total
Retirees Retirees Premium Premium Premiu
Up to $85,000 Up to $170,000 $104.90 N/A $104.90
$85,001 - $107,000 $170,001 - $214,000 $104.90 $42.00 $146.90
$107,001 - $160,000 $214,001 - $320,000 $104.90 $104.90 $209.80
$160,001 - $214,000 $320,001 - $428,000 $104.90 $167.80 $272.70
Above $214,000 Above $428,000 $104.90 $230.80 $335.70

Under the current law, the State also fully reimburses affected
retirees if they are required to pay the additional IRMAA premiums.
Through September of calendar year 2012, the State reimbursed 3,479
State retirees a total of $4.0 million in IRMAA premiums.

At a time when the State is facing unprecedented fiscal difficulty,
the State can realize savings by ceasing the reimbursement of the
additional IRMAA premiums. Indeed, the federal Medicare benefit design
change intended that such higher-income retirees bear such cost.

Budget Implications:

The Department of Civil Service reimburses IRMAA premiums on a yearly
lag. By implementing this change retroactively to January 1, 2013,
Civil Service would cease reimbursements to higher-income retirees
beginning in January of 2014 associated with 2013 IRMAA premiums.
This would save approximately $2.3 million in the FY 2014, but would
grow to over $7 million on a full annual basis.

In addition, the number of IRMAA eligible retirees is expected to
significantly increase in upcoming years because of a change included


in the federal Patient Protection and Affordable Care Act (PPACA).
When IRMAA was first implemented in 2007, the income brackets at which
Medicare Part B enrollees were required to pay IRMAA premiums were
indexed each year to account for inflation. A provision included in
PPACA froze the IRMAA income brackets at their current levels through
2019. This will increase the number of State retirees required to pay
the IRMAA premiums, which will result in a commensurate increase in
State costs unless action is taken.

The chart below shows that IRMAA savings are forecasted to grow to
over $11 million on an annual basis by FY 2017.

State Projected
Fiscal IRMAA Annual
Year Retirees Savings

2013-14 5,340 $2.3 M
2014-15 6,687 $7.5 M
2015-16 8,157 $9.3 M
2016-17 9,757 $11.3 M

Effective Date:

This bill takes effect retroactive to January 1, 2013.

Part I - Create a new account to finance an Administration Program in
the New York State Gaming Commission.

Purpose:

This bill would create a new account to finance an Administration
Program in the New York State Gaming Commission.

Statement in Support, Summary of Provisions,
Existing Law, and Prior
Legislative History:

The New York State Gaming Commission was created by merger of the
Division of the Lottery and the Racing and Wagering Board and
commences operations on February 1, 2013: The newly created agency
will be managed by a board consisting of seven members. An Executive
Director will carry out the day-to-day administration of the Gaming
Commission. This bill would create a new administration account to
support the administrative expenses of the Gaming Commission.

Budget Implications:

Enactment of this bill is necessary to implement the 2013-14 Executive
Budget since the State Lottery Fund cannot be used to pay for the
administrative expenses of the Gaming Commission and racing
regulation funds may be used only to pay for the costs of carrying
out the purposes of the racing, pari-mutuel wagering and breeding law.

Effective Date:

This bill would take effect on February 1, 2013.


Part J - Redirect a portion of purse money to fund costs associated
with recommendations by the Task Force 6n Racehorse Health and Safety.

Purpose:

This bill would redirect one percent of purse enhancements from the
VLT program to fund costs associated with recommendations by the Task
Force on Racehorse Health and Safety.

Statement in Support, Summary of Provisions, Existing Law,
and Prior
Legislative History:

The Task Force on Racehorse Health and Safety issued its final report
on September 28, 2012. The report identified serious shortcomings in
protocols for safeguarding race horses and has recommended a series
of measures to correct the problems. Specific recommendations include
the hiring of an Equine Medical Director, regulatory veterinarians,
and inspectors; computerizing test barns; making the drug testing
program. more efficient; acquiring new and advanced testing
equipment; and requiring necropsies to be performed at a veterinary
diagnostic laboratory.

To implement these recommendations, one percent of purse enhancements
generated by the VLT program will be deposited into the racing
regulation account. Amounts collected can only be used to support the
recommendations of the Task Force, and any unused amounts are to be
returned for purse enhancements in proportion to amounts originally
diverted.

Budget Implications:

Enactment of this bill is necessary to implement the 2013-14 Executive
Budget because implementation of the Task Force's recommendations
requires additional resources. It is estimated that redirecting one
percent of VLT purse enhancements will provide an additional $1.5
million for the racing regulation account in SFY 2013-14 and annually
thereafter.

Effective Date:

This bill would take effect immediately upon enactment.

Part K - improve the effectiveness of the Local Government Efficiency
Grant Program and the Citizens Re-Organization Empowerment Grant
Program.

Purpose:

This bill would reform the Local Government Efficiency Grant Program
and Citizens Re-Organization Empowerment Grant Program to incentivize
project implementation and
improve the overall effectiveness of the programs, supporting local
government efficiency throughout the State.


Statement in Support, Summary of Provisions,
Existing Law, and Prior
Legislative History:

This bill amends State Finance Law to reform the Local Government
Efficiency Grant Program and the Citizens Re-Organization Empowerment
Grant Program.

Currently the State provides competitive funding under the Local
Government Efficiency Grant (LGEG) Program for planning and
implementation of efficiency projects, such as functional
consolidation (e.g., one municipality taking over provision of a
service or services for another municipality). Planning grants
support studies and planning for potential efficiency projects, and
implementation grants provide support to municipalities in carrying
out the projects. Both types of grants cover 90 percent of the costs
of the planning or implementation, and the municipalities must cover
the remaining ten percent of the costs (the "local match"), Beginning
in SFY 2013-14, the local match for planning grants, but not
implementation grants, would be increased from 10 percent to 50
percent. However, if a local government goes ahead with
implementation of a project that was the subject of a planning grant,
the local match for the planning grant would be reduced by up to the
amount of the local match. This reform should increase the incentive
for local governments to implement efficiency projects studied with
the support of a planning grant.

In order to allow the State to support more efficiency projects, this
bill would also lower the maximum award for LGEG planning awards.
Currently, the State awards up to a maximum of $25,000 per
municipality and $200,000 per grant. In SFY 2013-14 and beyond, the
maximum would be $12,500 per municipality and no more than $100,000
total per grant.
The Citizens Re-Organization Empowerment Grant (GREG) Program would
also be reformed by this bill. Local Government Re-Organization
projects (e.g., consolidation or dissolution) eligible for CREG
grants may be initiated by local governments or by voter petitions.
Under the proposed reforms, all planning grants for voter-initiated
consolidation or dissolution projects would still have a local match
of 10 percent, but the local match for government-initiated planning
grants for consolidation or dissolution would increase to 50 percent.
If the local government proceeds with implementation of a project
that was the subject of a GREG planning grant, the local match from
the planning grant would be refunded to reduce the local match on the
planning grant from 50 to 10 percent. The local match for
implementation grants would remain at 10 percent. Again, these
modifications to the program should incentivize implementation, in
turn increasing local government efficiency.

Budget Implications:

These reforms are not expected to have a fiscal impact on the State
Budget.

Effective Date:

This bill takes effect April 1, 2013.


Part L - Eliminate burdensome reporting requirements imposed on school
districts and local governments.

Purpose:

This bill would eliminate all local government and school district
reporting requirements to state agencies unless the Mandate Relief
Council votes to continue them.

Statement in Support, Summary of Provisions, Existing Law,
and Prior
Legislative History:

This bill would eliminate all reporting requirements placed on local
governments and school districts by state agencies or authorities as
of April 1, 2014 unless the Mandate Relief Council approves
continuing the reporting requirement.

Every state agency or authority would be required to refer all
reporting requirements to the Mandate Relief Council by September 1,
2013. They would also report whether they believe a reporting
requirement is necessary and should be continued. The Council would
review such requests and may approve the continuation of such reports.

In order to ensure that the Legislative Bill Drafting Commission can
maintain an accurate database of effective state laws, the Mandate
Relief Council would be required to notify the Commission of all
reporting requirements referred to the Council and any requirements
approved by the Council for continuation.

Budget Implications:

Enactment of this bill is necessary to implement the 2013-14 Executive
Budget, because it would provide local governments and school
districts with relief from burdensome reporting requirements.

Effective Date:

This bill would take effect immediately upon enactment.

Part M - Authorization for transfers, temporary loans, and amendments
to miscellaneous capital/debt provisions, including bond caps.

Purpose:

This bill would provide the statutory authorization 'necessary for the
administration of funds and accounts included in the fiscal year
2013-14 Executive Budget, and propose certain modifications to
improve the State's General Fund position in the upcoming fiscal
year. Specifically, it would: (1) authorize temporary loans and the
deposits of certain revenues to specific funds and accounts, (2)
authorize the transfers and deposits of funds to and across various
accounts, (3) extend various provisions of Chapter 59 of the Laws of
2012 in relation to capital projects and certain certifications, (4)
authorize modifications to various debt provisions, and (5) modify
various bond authorizations necessary to implement the budget.


Statement in Support, Summary of Provisions,
Existing Law, and Prior
Legislative History:

This bill is necessary to execute a balanced Financial Plan in
accordance with the 201314 Executive Budget. Similar legislation is
enacted annually to authorize the transfer of funds budgeted in the
financial plan (that do not have permanent statutory authorization)
and to provide for other transactions necessary to effectuate the
provisions of the budget. The bill includes the following provisions:

* Section 1 of this bill would authorize the Comptroller to make
temporary loans to specific State funds and accounts during fiscal
year 2013-14.

* Section 1-a of this bill would authorize the Comptroller to make
temporary loans to accounts within specific Federal funds during
fiscal year 2013-14.

* Sections 2 and 3 of this bill would authorize the Comptroller to make
transfers between designated funds and accounts.

* Section 4 of this bill would authorize the Dormitory Authority of the
State of New York (DASNY) to transfer $7 million to the Health Care
Reform Act (HCRA) Resources Fund - HCRA Resources Account.

* Section 5 of this bill would authorize the Comptroller to deposit
funds into the Banking Services Account.

* Section 6 of this bill would authorize DASNY to transfer $22 million
to the State University of New York (SUNY) for bondable equipment
costs, which in turn would be re-paid to the State General Fund.
23

* Section 7 of this bill would authorize SUNY to transfer up to $16
million to the General Fund for debt service costs related to capital
project costs for the NYSUNY 2020 Challenge Grant program at the
University at Buffalo.

* Section 8 of this bill would authorize SUNY to transfer up to $6.5
million to the General Fund for debt service costs related to capital
project costs for the NYSUNY 2020 Challenge Grant program at the
University at Albany.

* Section 9 of this bill would authorize the SUNY Chancellor to
transfer the estimated tuition revenue balances from the State
University Collection Fund to the State University Fund, State
University General Revenue Offset Account.

* Section 10 of this bill would authorize the Comptroller, at the
request of the State University Chancellor, to transfer up to $60
million from the General Fund to the State University Income Fund,
State University Hospitals Income Reimbursement Account.

* Section 11 of this bill would authorize the Comptroller to transfer
$969.1 million from the. General Fund to the State University Income
Fund, State University General Revenue Offset Account.


* Section 12 of this bill would authorize the Comptroller to transfer
up to $50 million from the State University Income Fund, State
University Hospitals Income Reimbursable and Long Island Veterans'
Home accounts, to the State University Capital Projects Fund.

* Section 13 of this bill would authorize the Comptroller to transfer
monies from the State University Collection and the State University
Income funds to the State University Income Fund, State University
Hospitals Income Reimbursable Account, in amounts sufficient to
permit the full transfer of moneys authorized for transfer to the
General Fund for SUNY Hospitals debt service.

* Section 14 of this bill would authorize the Comptroller to make up to
$350 million in transfers between the following accounts, in any
combination: the Miscellaneous Special Revenue Fund, the Patient
Income Account; the Miscellaneous Special Revenue Fund, the Mental
Hygiene Program Fund Account; the Miscellaneous Special Revenue Fund,
Federal Salary Sharing Account; and the General Fund.

* Section 15 of this bill would authorize the Comptroller to transfer
up to $500 million from the unencumbered balance of any Special
Revenue Fund to the General Fund.

* Section 16 of this bill would authorize the Comptroller to transfer
up to $100 million from any non-general fund or account (excluding
Federal funds, or any fund in which the eligibility for Federal
benefits would be impacted) to the Technology
Financing Account for the consolidation of operational costs related
to technology services.

* Section 17 of this bill would authorize the transfer of up to $90
million from the Power Authority of the State of New York to the
credit of the General Fund, with at least $25 million transferred by
June 30, 2013 and the remainder transferred by March 31, 2014.

* Section 18 of this bill would authorize a public benefit corporation
to make voluntary contributions to the General Fund or any other
public benefit corporation at any time from available public benefit
corporation funds.

* Section 19 of this bill would make permanent the current depository
provisions of the rainy day reserve fund.

* Section 20 of this bill would amend State Finance Law (SFL) § 97-rrr
to allow the State Comptroller to increase the deposit to the School
Tax Relief Fund.

* Section 21 of this bill would authorize the Comptroller to transfer
to the General Fund funding from the Correctional Facilities Capital
Improvement Fund.

* Section 22 of this bill would extend until December 2016 the current
provision of law concerning the availability of funds within the
Tribal State Compact Revenue account.

* Section 23 of this bill would amend SFL § 99-h to align the
provisions that become effective January 2017, regarding the


availability of funds within the Tribal State Compact Revenue
account, with the provisions of current law.

* Section 24 of this bill would amend provisions of the Medical Care
Facilities Agency Act to allow mortgage loan financing fees to be
deposited in the General Fund as opposed to the Hospitals and Nursing
Home Management account, pursuant to the elimination and
consolidation of Department of Health offset accounts.

* Section 25 of this bill would authorize the transfer of $15 million
from the New York State Energy Research and Development
Administration to the General Fund from proceeds collected under the
Regional Greenhouse Gas Initiative, contingent on the inclusion of a
$25 million capital appropriation for the Cleaner, Greener
Communities program.

* Sections 26 through 40 of this bill would authorize the Comptroller
to deposit reimbursements for certain capital spending from multiple
appropriations contained in various chapters of the laws of 2003
through 2013 into various funds, including the Capital Projects Fund.

* Section 41 would continue the authorization to use excess debt
service. appropriation for Mental Hygiene facilities to make rebates
necessary to protect the tax-exempt status of the bonds.

* Section 42 would continue authorizations for disbursements for
hazardous waste site remediation projects.

* Section 43 of this bill would amend SFL § 68-a(2) to authorize the
issuance of
bonds under the PIT credit structure for any State-supported purpose
except for
general obligation purposes. This is consistent with the authorized
purposes for
the proposed sales tax revenue bond structure.

* Section 44 would amend SFL § 68-b(8) to make permanent the ability of
the DASNY and the Empire State Development Corporation to issue
Personal Income Tax (PIT) Revenue Bonds for any authorized purposes.

* Section 45 would make permanent a governance change of the Board of
the Local Government Assistance Corporation.

* Section 46 of this bill would establish a new $1.17 billion bond cap
for the proposed transformative capital fund.

* Section 47 of this bill would establish a new $60 million bond cap
for the office of information technology services.

* Section 48 of this bill would increase the bond cap for financing of
capital projects for the Division of Military and Naval Affairs from
$24 million to $27 million.

* Section 49 of this bill would increase the bond cap for financing
correctional facilities from $6.817 billion to $7.133 billion.


* Section 50 of this bill would increase the bond cap for financing
housing programs from $2.741 billion to $2.845 billion.

* Section 51 of this bill would increase the bond cap for financing
local highway projects from $7.106 billion to $7.517 billion.

* Section 52 of this bill would increase the bond cap for financing
library facilities from $98 million to $112 million.

* Section 53 of this bill would increase the bond cap for financing
state police capital projects from $114.1 million to $166.3 million.

* Section 54 of this bill would increases the bond cap for financing
economic development, including projects from the retention of
professional football in western New York, from $710.6 million to
$1.16 billion.

* Section 55 of this bill would amend the bond cap for .financing
environmental infrastructure projects to include capital grants for
the cleaner, greener communities program as an authorized purpose.
Additionally, the bond cap would increase from $1.12 billion to $1.27
billion.

* Sections 56 through 63 of this bill would amend multiple sections of
SFL and Tax Law to authorize a new sales tax revenue bond financing
program and create a sales tax revenue bond tax bond.

* Section 64 of this bill would amend SFL to add § 93-a which creates
the New York State Transformative Capital Fund. This fund will
consist of two accounts: the storm recovery account to finance FEMA
reimbursable capital projects for Hurricane Sandy or future natural
disasters; and a transformative capital account to finance
transformative economic development and infrastructure initiatives.

* Section 65 of this bill would amend the bond cap for financing the
NY-SUNY 2020 challenge grant program to include NY-CUNY 2D20 as an
authorized purpose. Additionally, the bond cap would increase from
$110 million to $220 million.

* Section 65-a of this would bill would amend the NY-SUNY 2020
challenge grant program to make the bond cap permanent.

* Section 66 of this bill would increase the bond cap for financing
SUNY community colleges from $623 million to $663 million.

* Section 67 of this bill would increase the bond cap for financing
CUNY senior and community colleges from $6.84 billion to $6.85 billion.

* Section 68 of this bill would increase the bond cap for financing
improvements to State office buildings and facilities from $205.8
million to $220.8 million.

* Section 69 of this bill would amend the bond cap for financing peace
bridge projects to include capital costs of state and local highways,
parkways, bridges, the New York state thruway, Indian reservation
roads, and facilities, and transportation infrastructure projects as


authorized purposes. Additionally, the bond cap would increase from
$15 million to $315 million.

* Section 69-a of this bill would increase the bond cap for financing
SUNY educational facilities from $10.3 billion to $10.42 billion.

All of the sections of this bill would become permanent upon enactment
except for sections one through nine and thirteen through eighteen,
which would all expire on March 31, 2014.

Budget Implications:

Enactment of this bill is necessary to implement the 2013-14 Executive
Budget, including the transfer of funds budgeted in the financial
plan and the provision of temporary loans from the State Treasury for
cash flow purposes. This bill is also necessary to reimburse
projected Capital Projects Fund spending with the proceeds of bonds
sold by public authorities, to ensure the continued borrowing
necessary for certain State-supported debt issuances to implement the
budget, and to permit the State to carry out basic administrative
functions.

Effective Date:

This bill would take effect immediately and would be deemed in full
force and effect on and after April 1, 2013

Part N - Support Consolidation of IT Functions and Services into the
Office of Information Technology Services (ITS).

Purpose:

This legislation furthers the streamlining of statewide IT operations
begun last year by permitting the reclassification of staff
transferred to the Office of Information Technology Services in
November of 2012 pursuant to § 70(2) of the Civil Service Law and
realigning certain information technology responsibilities to better
support the State's cyber-security efforts.

Statement in Support, Summary of Provisions,
Existing Law, and Prior
Legislative History:

The Office of Information Technology Services (ITS) was established by
the Governor in 2012 to consolidate statewide IT operations, policies
and standards. This streamlining of State IT will allow more
efficient delivery of IT services and allow State agencies to focus
on and dedicate more of their resources to their core policy
missions. When the consolidation is completed in the coming State
fiscal year, ITS will be the IT service provider for nearly all State
agencies.

As part of the consolidation, IT staff from multiple State agencies
were transferred to ITS during 2012. Because of variations in
employee titles and classification among agencies, certain
individuals' titles and classes, if not changed, would prevent them
from being eligible for the same promotional opportunities available


to other ITS employees performing the same functions and potentially
leave them without certain rights afforded to those other employees.

This legislation permits ITS and the Department of Civil Service to
reclassify individuals who transferred in 2012 into appropriate IT
titles to ensure consistency in rights and opportunities among all
ITS employees performing the same functions.

This legislation will also realign certain responsibilities related to
cyber-security in order to draw on the expertise of the ITS
workforce. Under-the provisions of this legislation, ITS will provide
support to the State agencies charged with protecting the citizens,
businesses, and local governments of New York State from
cyber-attacks. ITS will work with State agencies to protect them from
cyber-attack as well.

Budget Implications:

Enactment of this bill is necessary to implement the 2013-14 Executive
Budget because its provisions further the ongoing consolidation of
financial support for ITS.

Effective Date:
This bill would take effect immediately upon enactment.

Part O - Workers Compensation Reform: Business Relief Bill

Purpose:

This legislation would dramatically reform the Workers' Compensation
Board's (Board) assessment process so that employers would pay their
assessments directly to the Board through their carrier. It would
also establish a bonding program to address insolvent group
self-insured trusts, eliminate mandatory deposits into the aggregate
trust fund and close the Reopened Case Fund. Finally, it would
provide efficiencies to the Board and result in a significant
economic benefit to businesses in the State.

Statement in Support, Summary of Provisions,
Existing Law, and Prior
Legislative History:

The primary provisions of the bill are as follows:

Pass Through Assessments. It would amend the Workers' Compensation Law
(WCL) by simplifying the assessment process on employers so that
carriers can charge customers directly for the exact amount owed to
the Board.

Close the Reopened Case Fund. It would close the Reopened Case Fund
(Fund) (WCL § 25-a) to any new claims. Closing the Fund would save
New York businesses hundreds of millions of dollars in assessments
per year. The Fund provides payments directly to claimants and health
providers when the claimant's case is reopened under certain
circumstances. The original intent of the Fund was to provide
carriers relief in a small number of cases where liability
unexpectedly arises after a case has been closed for many years.


However, carriers do not need this relief because the premiums
they-have charged already cover this liability. This reform prevents
a windfall for such carriers.

Aggregate Trust Fund (ATE). It would eliminate mandatory deposits to
the ATF and close the fund to new deposits. The ATF was originally
intended to protect a claimant in the event-a carrier defaulted in
its payments. The Workers' Compensation Guarantee Fund is now
responsible for ensuring such payments, so these transfers are no
longer necessary.

Bonding Program. It would establish a program to cover defaults of
group self-insured trusts by authorizing the issuance of bonds backed
by the new Workers' Compensation Assessment to purchase liabilities
resulting from such defaults. Bonding would provide a mechanism to
sell these liabilities. The WCL § 50-5 assessment, which is an
assessment on the healthy self-insurance community to provide cash to
pay claims for defaulted groups, will grow significantly over the
next several years. The bonding program would mitigate the impact of
defaulted groups on the healthy self-insurance community. The bonds
issued for this purpose will not constitute a debt of the State or a
State-supported obligation within the meaning of any constitutional
or statutory provision.

State Insurance Fund (SIF) Assessment Reserves. It would amend WCL
151 so that the assessment reserves held by SIF would no longer be
necessary and would be transferred to the Board. The Board would be
authorized to release up to $250 million for general operating
purposes and up to $500 million for capital purposes.

Management of the Special Disability Fund. It would confirm the
Board's authority to oversee the Special Disability Fund. The bill
would give the Chair of the Board the authority to appoint an
attorney to represent and defend the fund.

State Insurance Fund (SIF). It would revise the investment authority
of SIF to provide greater security for investment of funds held as
reserves while permitting greater diversification on investment of
funds held as surplus. The bill also repeals an inoperative and
superfluous version of WCL § 88.

Minimum Compensation Benefit. It would increase the minimum
compensation benefit amount from $100 per week to $150 per week. This
amount has not changed since2007, and unlike the maximum benefit
amount, it is not tied to an index. Therefore, it is necessary to
periodically increase the minimum benefit rate to conform to the
automatic increases in the maximum benefit rate. Less than 10% of
claims are impacted by the minimum compensation benefit provision.

Miscellaneous Provisions. It would repeal WCL § 146 requiring the
Board's principal office to be in the City of Albany; allow for
single arbitrator panels in determining medical disputes valued over
$1,000; amend the time period to file a discretionary full board
review to thirty days; allow group trusts to post their full security
in a 114 trust; and establish a standard of review for appeals in
alternative dispute resolution cases.


Budget Implications:

Enactment of this bill is necessary to implement the 2013-14 Executive
Budget. This bill would end the disconnect between assessment
collections and payments to the Board by carriers and eliminate the
long term assessment liability for self-insured employers, providing
approximately $500 million in relief to businesses and
municipalities. It offers a bonding solution to the group
self-insurance trust problem without placing a $900 million
obligation on the self-insurance community. In addition, the
Financial Plan for SFY 2013-14 includes $250 million for operating
purposes and $500 million for capital purposes from the release of
the assessment reserves no longer required to be held by SIF.

Effective Date:

This bill would take effect immediately. However, no application by a
self-insured employer or an insurance carrier for transfer of
liability of a claim to the fund for reopened cases would be accepted
by the Board on or after the first day of January, 2014. The Board
would not direct a mandatory deposit into the ATF 30 days after the
bill becomes law. Finally, the provision establishing a time period
for the filing of full board reviews will take effect 90 days after
the bill becomes law.

Part P - Increase agencies' discretionary authority to purchase food
grown, harvested, produced or processed in New York State up to
$200,000.

Purpose:

This bill would amend State Finance Law Section 163 to allow state
agencies to purchase food grown, harvested, produced, manufactured or
processed in New York State in an amount not exceeding $200,000,
without a formal competitive process.

Statement in Support,
Summary of Provisions, Existing Law, and Prior
Legislative History:

State Finance Law Section 163 permits state agencies to purchase up to
$50,000 in services and commodities without a formal competitive
process. Discretionary limits are increased to $200,000 when
purchasing recycled or remanufactured commodities/technology or from
small businesses and MWBE vendors. This bill would add NYS food
commodities to the list of authorized commodities subject to the
$200,000 cap.

As sales by local businesses increase due to this bill, the dollars
may be reinvested in the community; strengthening its economic base
and leading to job growth and increased tax revenues.

Budget Implications:

Enactment of this bill is necessary to implement the 2013-14 Executive
Budget. It will increase sales by local businesses thereby increasing
tax revenues and job growth.


Effective Date:

This bill would take effect immediately upon enactment.

Part Q Authorize school districts and Boards of Cooperative
Educational Services to participate in the Intrastate Mutual Aid
Program.

Purpose:

This bill would include school districts and Boards of Cooperative
Educational Services (BOCES) in the definition of local governments
that are participants in the Intrastate Mutual Aid Program (IMAP).

Statement in Support, Summary of Provisions,
Existing Law, and Prior
Legislative History:

As part of the 2012-2013 Enacted Budget (Chapter 55 of the Laws of
2012), the State created an Intrastate Mutual Aid Program ("IMAP") to
provide better coordination between local governments in preparing
for and responding to local disasters. Questions were raised about
whether school districts and Boards of Cooperative Educational
Services ("BOCES") should be included as participants in IMAP. To
resolve these questions, the Division of Homeland Security and
Emergency Services (DHSES) was charged with evaluating the merits of
and making recommendations on the inclusion of school districts and
BOCES in IMAP. DHSES consulted with the State Education Department
(SED), the Council of School Superintendents and the New York State
Association for Superintendents of School Buildings and Grounds, all
of whom supported inclusion of school districts and BOCES in IMAP,
but recommended that participation be limited to short-term immediate
disaster response operations, but not long-term recovery issues, such
as the moving of teachers and the use of school buildings for
educational purposes. The IMAP Committee and DHSES concurred with
these recommendations in letters sent to the Governor, the Temporary
President of the Senate and the Speaker of
the Assembly on October 3, 2012. This bill would implement this
recommendation.

Budget Implications:

Enactment of this bill is necessary to implement the 2013-14 Executive
Budget because it enables the cost-efficient and effective use of
available school district and BOCES resources in the event of a
short-term disaster.

Effective Date:

This bill would take effect immediately upon enactment.

Part R - Promote continuity of care for individuals and enable direct
care employees to have increased flexibility for employment
opportunities.

Purpose:


To promote the continuity of care for individuals served by direct
care workers employed by State agencies by allowing those workers to
seamlessly transition to other employment opportunities that serve
the same individuals.

Statement in Support,
Summary of Provisions, Existing Law, and Prior
Legislative History:

This bill exempts State employees serving in positions which provide
direct care, clinical care, case management, service coordination or
other related support duties to individuals in State-operated
programs, from both the two-year and lifetime bars when such
employees transition to a job outside of State service and serve the
same individuals. This exemption would enable direct care staff to
leave State service to work for a not-for-profit provider and support
the same individuals they cared for in State service, thereby
maintaining continuity of care.

Budget Implications:

Enactment of this bill is necessary to increase operational
flexibility and efficiency of direct care services.

Effective Date:

This bill would take effect immediately upon enactment.

Part S Authorize certain State agencies and authorities to use
design-build contracts and design-build-finance contracts for their
capital projects.

Purpose:

To speed the State's recovery from Superstorm Sandy, this bill would
permit State agencies and authorities to use design-build contracts
and design-build-finance contracts as alternative project delivery
methods -- approaches which have been shown to shorten time to
completion for a project, without sacrificing quality.

Statement in Support,
Summary of Provisions, Existing Law, and Prior
Legislative History:

Design-build is a method of project delivery in which a single
contract is executed with a single entity or team of entities
providing architectural, engineering and construction services. The
benefits of the approach include:

* Expedited project completion by grouping multiple responsibilities in
a single contract (such as combined design and construction);

* Streamlined procurement process;

* Access to specialized expertise (such as financial management);

* Improved design, thereby reducing flaws and future remediation costs;


* Access to proprietary technology (such as special pavement design);
and Ability to apply special incentives and disincentives to improve
project performance.

Certain state entities were authorized to use this alternative project
delivery method pursuant to the Infrastructure Investment Act (L.
2011, c. 56). This bill would permit additional State agencies and
authorities to use design-build contracts and would also allow them
to use design-build-finance contracts, in which a single contract may
be executed with an entity or team of entities for the design,
construction, and financing of a capital project. Such financing may
consist of private capital or a combination of private and public
funds.

These alternative project delivery methods reduce project costs by
shortening delivery time and eliminating duplication of efforts. With
billions of dollars are expected to be spent in the coming months to
recover from Superstorm Sandy, the savings to taxpayers would be
substantial.

Budget Implications:

Enactment of this bill is necessary to implement the 2013-14 Executive
Budget. Billions of dollars are expected to be spent on the recovery
from Superstorm Sandy, and this bill will ensure that the public
funds invested are spent wisely, and produce the greatest public
benefit.

Effective Date:

This bill would take effect immediately upon enactment.
The provision of this act shall take effect immediately, provided,
however, that the applicable effective date of each part of this act
shall be as specifically set forth in the last section of such part.

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

    S. 2605                                                  A. 3005

                      S E N A T E - A S S E M B L Y

                            January 22, 2013
                               ___________

IN  SENATE -- A BUDGET BILL, submitted by the Governor pursuant to arti-
  cle seven of the Constitution -- read twice and ordered  printed,  and
  when printed to be committed to the Committee on Finance

IN  ASSEMBLY  --  A  BUDGET  BILL, submitted by the Governor pursuant to
  article seven of the Constitution -- read once  and  referred  to  the
  Committee on Ways and Means

AN  ACT  authorizing  the governor to close correctional facilities; and
  providing for the repeal of such provisions  upon  expiration  thereof
  (Part A); authorizing the urban development corporation, the office of
  general  services  and  the  department  of  corrections and community
  supervision to transfer and convey certain  lands  in  the  county  of
  Bronx,  city  of  New  York, to the Thomas Mott Osborne Memorial Fund,
  Inc. (Part B); to amend the vehicle and traffic law,  in  relation  to
  plea  limitations;  in  relation to extending surcharges and the crime
  victim assistance fee for certain violations; in relation to  enhanced
  penalties  for  multiple  violations  of  the mobile phone and texting
  prohibitions; to amend the state finance law, in relation  to  certain
  payments  to  the  state  treasurer; and to repeal section 1101 of the
  vehicle and traffic law relating thereto (Part C); to amend the execu-
  tive law, in relation to adopting the national  crime  prevention  and
  privacy  compact  (Part  D); to amend chapter 887 of the laws of 1983,
  amending the correction law relating to the psychological  testing  of
  candidates,  in  relation  to  making  the  provisions of such chapter
  permanent; to amend chapter 428 of the  laws  of  1999,  amending  the
  executive law and the criminal procedure law relating to expanding the
  geographic  area of employment of certain police officers, in relation
  to extending the expiration of such chapter; to amend chapter  886  of
  the laws of 1972, amending the correction law and the penal law relat-
  ing to prisoner furloughs in certain cases and the crime of absconding
  therefrom, in relation to making the provisions of such chapter perma-
  nent;  to amend chapter 261 of the laws of 1987, amending chapters 50,
  53 and 54 of the laws of 1987, the correction law, the penal  law  and
  other  chapters  and  laws  relating  to  correctional  facilities, in
  relation to making the provisions of such chapter permanent; to  amend
  chapter  339  of the laws of 1972, amending the correction law and the
  penal law relating to inmate work  release,  furlough  and  leave,  in

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD12570-01-3

S. 2605                             2                            A. 3005

  relation  to making the provisions of such chapter permanent; to amend
  chapter 60 of the laws of 1994 relating to  certain  provisions  which
  impact  upon  expenditure of certain appropriations made by chapter 50
  of  the laws of 1994 enacting the state operations budget, in relation
  to making certain provisions of such chapter permanent; to amend chap-
  ter 3 of the laws of 1995, amending the correction law and other  laws
  relating  to the incarceration fee, in relation to extending the expi-
  ration of certain provisions of such chapter; to amend chapter  55  of
  the  laws  of  1992,  amending  the tax law and other laws relating to
  taxes, surcharges, fees and funding,  in  relation  to  extending  the
  expiration of certain provisions of such chapter; to amend chapter 907
  of  the  laws  of 1984, amending the correction law, the New York city
  criminal court act and the executive law relating to prison  and  jail
  housing  and  alternatives to detention and incarceration programs, in
  relation to extending the expiration of  certain  provisions  of  such
  chapter;  to  amend  chapter 166 of the laws of 1991, amending the tax
  law and other laws relating to taxes, in  relation  to  extending  the
  expiration of certain provisions of such chapter; to amend the vehicle
  and traffic law, in relation to extending the expiration of the manda-
  tory  surcharge and victim assistance fee; to amend chapter 713 of the
  laws of 1988, amending the vehicle and traffic  law  relating  to  the
  ignition  interlock device program, in relation to extending the expi-
  ration thereof; to amend chapter 435 of the laws of 1997, amending the
  military law  and  other  laws  relating  to  various  provisions,  in
  relation  to  extending the expiration date of the merit provisions of
  the correction law and the penal law of such chapter; to amend chapter
  412 of the laws of 1999, amending the civil practice law and rules and
  the court of claims act relating to  prisoner  litigation  reform,  in
  relation  to  extending  the  expiration  of  the  inmate  filing  fee
  provisions of the civil practice law and rules and general filing  fee
  provision  and  inmate  property  claims exhaustion requirement of the
  court of claims act of such chapter; to amend chapter 222 of the  laws
  of  1994  constituting  the  family  protection  and domestic violence
  intervention act of 1994, in relation to extending the  expiration  of
  certain  provisions of the criminal procedure law requiring the arrest
  of certain persons engaged in family violence; to amend chapter 505 of
  the laws of 1985, amending the criminal procedure law relating to  the
  use  of  closed-circuit  television  and other protective measures for
  certain child witnesses, in relation to extending  the  expiration  of
  the provisions thereof; to amend chapter 3 of the laws of 1995, enact-
  ing  the  sentencing  reform act of 1995, in relation to extending the
  expiration of certain provisions of such chapter; to amend chapter 689
  of the laws of 1993 amending the criminal procedure  law  relating  to
  electronic  court  appearance  in  certain  counties,  in  relation to
  extending the effective date thereof; to amend chapter 688 of the laws
  of 2003, amending the executive law relating to  enacting  the  inter-
  state  compact  for  adult offender supervision, in relation to making
  certain provisions of such chapter permanent; to amend part H of chap-
  ter 56 of the laws of 2009, amending the correction  law  relating  to
  limiting the closing of certain correctional facilities, providing for
  the  custody  by  the  department  of correctional services of inmates
  serving definite sentences, providing for custody of federal prisoners
  and requiring the  closing  of  certain  correctional  facilities,  in
  relation  to the effectiveness of such chapter; and to amend section 3
  of part C of chapter 152 of the laws of 2001,  amending  the  military
  law  relating  to military funds of the organized militia, in relation

S. 2605                             3                            A. 3005

  to the effectiveness thereof (Part E); to amend  chapter  503  of  the
  laws of 2009, relating to the disposition of monies recovered by coun-
  ty  district  attorneys before the filing of an accusatory instrument,
  in  relation  to  the  effectiveness  thereof  (Part  F); to amend the
  retirement and social security law and the education law, in  relation
  to   pension  contributions  paid  by  local  governments  and  school
  districts beginning in the 2013-14  fiscal  year  and  certain  fiscal
  years thereafter (Part G); to amend the civil service law, in relation
  to  the  reimbursement  of medicare premium charges (Part H); to amend
  the state finance law, in relation to creating a new  New  York  state
  gaming  commission account (Part I); to amend the tax law, in relation
  to reducing purse amounts paid from the VLT program (Part J); to amend
  the state finance law, in relation to reforming the  local  government
  citizens  re-organization  empowerment  grant  program  and  the local
  government efficiency grant program (Part K); providing for the elimi-
  nation  of  burdensome  reporting  requirements  imposed   on   school
  districts  and local governments (Part L); to provide for the adminis-
  tration of certain funds and accounts related to the  2013-14  budget;
  authorizing certain payments and transfers; to amend chapter 59 of the
  laws  of  2012,  relating  to  providing for administration of certain
  funds and accounts related to the 2013-2014 budget, in relation to the
  effectiveness thereof; to amend the state finance law, in relation  to
  school  tax  relief  fund;  to  amend  chapter 60 of the laws of 2011,
  amending the state finance law  relating  to  disbursements  from  the
  tribal-state  compact  revenue  account  to certain municipalities, in
  relation to the availability of moneys; to amend the  New  York  state
  medical care facilities finance agency act, in relation to the deposit
  of  certain  funds; to amend the state finance law, in relation to the
  issuance of revenue bonds; to amend the  public  authorities  law,  in
  relation  to the number of directors required for approval of a resol-
  ution authorizing the issuance of bonds or notes;  to  amend  the  New
  York  state  urban development corporation act, in relation to funding
  project costs for certain capital projects; to amend chapter 61 of the
  laws of 2005, relating to providing for the administration of  certain
  funds and accounts related to the 2005-2006 budget, in relation to the
  Division  of  Military  and  Naval  Affairs Capital Projects; to amend
  chapter 389 of the laws of 1997, relating  to  the  financing  of  the
  correctional  facilities  improvement  fund  and  the  youth  facility
  improvement fund, in relation to the issuance of bonds; to  amend  the
  private  housing finance law, in relation to housing program bonds and
  notes; to amend chapter 329 of the laws of 1991,  amending  the  state
  finance  law and other laws relating to the establishment of the dedi-
  cated highway and bridge trust fund, in relation to  the  issuance  of
  bonds;  to amend the public authorities law, in relation to courthouse
  improvements  and  training  facilities,  metropolitan  transportation
  authority  facilities,  peace bridge projects and issuance of bonds by
  the dormitory authority; to amend chapter 61  of  the  laws  of  2005,
  providing for the administration of certain funds and accounts related
  to the 2005-2006 budget, in relation to issuance of bonds by the urban
  development corporation; to amend the New York state urban development
  corporation act, in relation to projects for retention of professional
  football  in western New York; to amend the public authorities law, in
  relation to the cleaner, greener communities  program;  to  amend  the
  state  finance  law, in relation to establishing the sales tax revenue
  bond tax fund and providing for the  deposit  of  revenues  therefrom,
  establishing  the  sales  tax revenue bond financing program; to amend

S. 2605                             4                            A. 3005

  the tax law, in relation to deposit and  disposition  of  revenue;  to
  amend  the state finance law, in relation to establishing the New York
  state transformative capital fund; to amend the New York  state  urban
  development  corporation  act,  in  relation  to authorizing the urban
  development corporation to issue bonds to fund project costs  for  the
  implementation  of a NY-CUNY challenge grant program; to amend chapter
  260 of the laws of 2011 amending the education law and  the  New  York
  state  urban  development  corporation  act  relating  to establishing
  components of the NY-SUNY 2020 challenge grant program, in relation to
  the effectiveness thereof; to amend the  public  authorities  law,  in
  relation to dormitories at certain educational institutions other than
  state  operated  institutions and statutory or contract colleges under
  the jurisdiction of the state university of New York; to amend chapter
  81 of the laws of 2002, providing for the  administration  of  certain
  funds  and  accounts  related  to the 2002-2003 budget, in relation to
  increasing the aggregate amount of bonds to be issued by the New  York
  state  urban  development corporation; to amend the public authorities
  law, in relation to financing of New York works transportation capital
  projects; and providing for the  repeal  of  certain  provisions  upon
  expiration  thereof  (Part  M);  to amend the executive law, the state
  technology law and the general business law, in relation to  providing
  for  the  consolidation  of  certain  information technology staff and
  services within the office of information technology services; and  to
  repeal  section  715  of  the executive law, relating to the office of
  cyber security (Part N); to amend the workers'  compensation  law,  in
  relation  to  changing the composition of the board's practice commit-
  tees and to permitting a single arbitrator process; to amend the work-
  ers' compensation law, in relation to the  collection  of  assessments
  for  annual  expenses  and  the  investment  of surplus or reserve; in
  relation to the representation of funds; in relation  to  closing  the
  fund  for  reopened  cases; in relation to the termination of payments
  into the aggregate trust fund; in relation to administration  expenses
  for  the  state  insurance fund; in relation to requiring self-insured
  municipal groups and county treasurers to  provide  certain  financial
  information  to the workers' compensation board; to amend the workers'
  compensation law and  the  public  authorities  law,  in  relation  to
  authorizing the workers' compensation board and the dormitory authori-
  ty to enter into a self-insured bond financing agreement; to amend the
  volunteer  firefighters' benefit law and the volunteer ambulance work-
  ers' benefit law, in relation to the payment of benefits  and  to  the
  assessment  of expenses; to amend the public officers law, in relation
  to indemnification of state  officers  and  employees;  and  repealing
  certain  provisions  of  the  workers' compensation law, the volunteer
  firefighters' benefit law and the volunteer ambulance workers' benefit
  law relating to assessments for expenses, and relating to the location
  of the workers' compensation  board  (Part  O);  to  amend  the  state
  finance  law,  in  relation to increasing discretionary thresholds for
  procurement of food commodities (Part P); to amend the executive  law,
  in  relation  to  including school districts and boards of cooperative
  educational services in the intrastate mutual aid program (Part Q); to
  amend the public officers law, in relation to exempting certain  state
  employees  from  the two-year and lifetime bars (Part R); and to amend
  chapter 56 of the laws of 2011 relating to permitting authorized state
  entities  to  utilize  the  design-build  method  for   infrastructure
  projects,  in  relation to the definition of authorized state entities
  (Part S)

S. 2605                             5                            A. 3005

  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 2013-2014
state fiscal year. Each component is  wholly  contained  within  a  Part
identified  as Parts A through S. 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 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. Notwithstanding the provisions of sections 79-a and 79-b of
the correction law, the governor is authorized to close the Bayview  and
Beacon  correctional  facilities  of  the  department of corrections and
community supervision, in state fiscal year 2013-14, as he determines to
be necessary for the  cost-effective  and  efficient  operation  of  the
correctional  system,  provided  that  the governor provides at least 60
days notice prior to any such closures to the temporary president of the
senate and the speaker of the assembly.
  S 2. This act shall take effect April 1, 2013 and shall expire and  be
deemed repealed March 31, 2014.

                                 PART B

  Section  1.  Notwithstanding  any inconsistent provision of law to the
contrary, the urban development corporation is  authorized  to  transfer
and  convey  to  the  Thomas Mott Osborne Memorial Fund, Inc. its right,
title, and interest in the lands and improvements known  as  the  Fulton
Correctional  Facility and further described in section two of this act.
The conveyance shall be made upon such  terms  and  conditions,  as  the
board  of  directors  of  the  urban development corporation may, in its
discretion, fix and determine.  The commissioner of general services and
the commissioner of the department of corrections and  community  super-
vision  are  hereby  empowered to enter into such contractual agreements
with the corporation and its subsidiaries to  effect  the  transfer  and
conveyance  and  do  all things necessary to carry out the provisions of
this act.
  S 2. The lands to be conveyed pursuant to section one of this act  are
situated  in  the  city  of New York, county of Bronx, and are generally
described as follows:
                                Parcel I
  All that piece or parcel of land lying and being in  the  Borough  and
County  of  the  Bronx, City and State of New York, and being all of Lot
No. 30, Block 2928, and being more particularly described as follows:
  Beginning at the intersection  of  the  northerly  line  of  E.  171st
Street,  and  the  westerly line of Fulton Avenue, thence westerly along
the northerly line of E.  171st Street, 115.32 feet to the easterly line
of Lot 33; thence northerly along the last mentioned lot line 71.90 feet
to the intersection of the southerly line of  Lot  29;  thence  easterly
along  the last mentioned lot line, 106.08 feet to its intersection with

S. 2605                             6                            A. 3005

the said westerly line of Fulton Ave.; thence southerly along  the  said
westerly  line  of  Fulton  Avenue  80.00  feet to the point or place of
beginning.
                                Parcel II
  All  that  piece  or parcel of land lying and being in the Borough and
County of the Bronx, City and State of New York, and being  all  of  Lot
No. 33, Block 2928, and being more particularly described as follows:
  Beginning  at  the  intersection  of  the  northerly  line of E. 171st
Street, and the westerly line of Lot 30, said point  being  115.32  feet
westerly from the intersection of the northerly line of E. 171st Street,
and  the  westerly line of Fulton Avenue; thence South 88° 21' 50" West,
along the northerly line of E.  171st Street, a distance of  75.86  feet
to  a  point,  said  point  being 175.21 feet distant easterly, measured
along the northerly line of E. 171st Street from the  corner  formed  by
the  intersection  of  the easterly line of 3rd Avenue and the northerly
line of E. 171st Street; thence North 01° 11'  27"  East,  and  parallel
with 3rd Avenue 141.75 feet to a point; thence North 84° 03' 45" East, a
distance  of  50.38  feet to a point; thence South 01° 11' 27" West, and
parallel to 3rd Avenue, 25.19 feet to a point; thence North 84° 03'  45"
East, 25.99 feet to a point; thence South 01° 11' 27" West, and parallel
to 3rd Avenue, 122.30 feet to the point or place of beginning.
  S  3.  Notwithstanding  the foregoing, the authorization to convey the
Fulton Correctional Facility shall be subject to the condition precedent
that such conveyance shall not impair or result in any diminution of the
obligations to holders of any bonds which financed,  refinanced  or  are
secured  by  correctional  facilities  (or payments in respect thereof),
including the Fulton Correctional  Facility,  and  shall  not  adversely
affect any exemption of interest on such bonds from federal income tax.
  S  4. The description in section two of this act is not intended to be
a legal description but  is  intended  to  identify  the  parcel  to  be
conveyed.  As a condition of the purchase, the Thomas Mott Osborne Memo-
rial Fund, Inc. may submit to  the  urban  development  corporation  for
approval,  an  accurate  survey  and  description  of  the  lands  to be
conveyed, which may be used in the conveyance thereof.
  S 5. Any lands transferred pursuant to this act shall be used for  the
purpose  of providing opportunities for individuals in conflict with the
law through reform and rehabilitation programs, alternatives  to  incar-
ceration  and  re-entry,  for  providing services to persons affected by
crime and/or incarceration, and for related  community  activities,  and
upon  termination  of  such use, title to the lands so transferred shall
revert to the state of New York.
  S 6. The board of directors of the urban development corporation shall
not transfer and convey said lands unless application is  made  therefor
by the Thomas Mott Osborne Memorial Fund, Inc. within one year after the
effective date of this act.
  S 7. This act shall take effect immediately.

                                 PART C

  Section 1. Section 1101 of the vehicle and traffic law is REPEALED.
  S  2. Section 1180 of the vehicle and traffic law is amended by adding
a new subdivision (i) to read as follows:
  (I) IN ANY CASE WHEREIN THE CHARGE LAID BEFORE  THE  COURT  ALLEGES  A
VIOLATION  OF SUBDIVISION (B), (C), (D), (F), OR (G) OF THIS SECTION AND
THE SPEED UPON WHICH THE CHARGE IS BASED EXCEEDS  THE  APPLICABLE  SPEED
LIMIT  BY MORE THAN TWENTY MILES PER HOUR, ANY PLEA OF GUILTY THEREAFTER

S. 2605                             7                            A. 3005

ENTERED IN SATISFACTION OF SUCH CHARGE MUST INCLUDE,  AT  A  MINIMUM,  A
PLEA  OF GUILTY TO A VIOLATION OF THIS CHAPTER OR OF ANY ORDINANCE, RULE
OR REGULATION ADOPTED PURSUANT TO THIS  CHAPTER  FOR  WHICH  POINTS  ARE
ASSIGNED  PURSUANT  TO  THE  REGULATIONS  OF THE COMMISSIONER; PROVIDED,
HOWEVER, THAT, IF THE DISTRICT ATTORNEY, UPON  REVIEWING  THE  AVAILABLE
EVIDENCE,  DETERMINES THAT THE CHARGE OF A VIOLATION OF SUBDIVISION (B),
(C), (D), (F) OR (G) OF THIS SECTION IS  NOT  WARRANTED,  SUCH  DISTRICT
ATTORNEY  MAY CONSENT TO, AND THE COURT MAY ALLOW, A DISPOSITION BY PLEA
OF GUILTY TO ANOTHER CHARGE. IN ALL SUCH  CASES,  THE  COURT  SHALL  SET
FORTH UPON THE RECORD THE BASIS FOR SUCH DISPOSITION.
  S  3.  Subdivision 4 of section 1225-c of the vehicle and traffic law,
as added by chapter 69 of the laws  of  2001,  is  amended  to  read  as
follows:
  4.  A  violation of subdivision two of this section shall be a traffic
infraction and shall be punishable by a fine  of  not  LESS  THAN  FIFTY
DOLLARS  NOR  more  than  one hundred FIFTY dollars UPON CONVICTION OF A
FIRST VIOLATION; UPON CONVICTION OF A SECOND VIOLATION,  BOTH  OF  WHICH
WERE  COMMITTED WITHIN A PERIOD OF EIGHTEEN MONTHS, SUCH VIOLATION SHALL
BE PUNISHED BY A FINE OF NOT LESS THAN TWO HUNDRED DOLLARS NOR MORE THAN
THREE HUNDRED FIFTY DOLLARS; UPON CONVICTION OF A  THIRD  OR  SUBSEQUENT
VIOLATION,  ALL  OF  WHICH  WERE  COMMITTED  WITHIN A PERIOD OF EIGHTEEN
MONTHS, SUCH VIOLATION SHALL BE PUNISHED BY A FINE OF NOT LESS THAN FOUR
HUNDRED DOLLARS NOR MORE THAN FIVE HUNDRED FIFTY DOLLARS.
  S 4. Subdivision 6 of section 1225-d of the vehicle and  traffic  law,
as  amended  by  chapter  109 of the laws of 2011, is amended to read as
follows:
  6. A violation of this section shall be a traffic infraction and shall
be punishable by a fine of not LESS THAN FIFTY DOLLARS NOR more than one
hundred fifty dollars[.]UPON  CONVICTION  OF  A  FIRST  VIOLATION;  UPON
CONVICTION  OF A SECOND VIOLATION, BOTH OF WHICH WERE COMMITTED WITHIN A
PERIOD OF EIGHTEEN MONTHS, SUCH VIOLATION SHALL BE PUNISHED BY A FINE OF
NOT LESS THAN TWO HUNDRED DOLLARS NOR  MORE  THAN  THREE  HUNDRED  FIFTY
DOLLARS;  UPON  CONVICTION  OR  A  THIRD OR SUBSEQUENT VIOLATION, ALL OF
WHICH WERE COMMITTED WITHIN A PERIOD OF EIGHTEEN MONTHS, SUCH  VIOLATION
SHALL  BE  PUNISHED  BY A FINE OF NOT LESS THAN FOUR HUNDRED DOLLARS NOR
MORE THAN FIVE HUNDRED FIFTY DOLLARS.
  S 5. Subdivision 1 of section 1809 of the vehicle and traffic law,  as
amended  by  section 2 of part DD of chapter 56 of the laws of 2008, the
opening paragraph and paragraph (c) as amended by section 10 of part  II
of chapter 59 of the laws of 2010, is amended to read as follows:
  1.  Whenever  proceedings  in an administrative tribunal or a court of
this state result in a conviction for an offense under this chapter or a
traffic infraction under this chapter, or a local law,  ordinance,  rule
or  regulation  adopted  pursuant  to this chapter, other than a traffic
infraction involving standing, stopping, or  parking  EXCEPT  THOSE  SET
FORTH  IN SECTIONS TWELVE HUNDRED, TWELVE HUNDRED ONE AND TWELVE HUNDRED
TWO OF THIS CHAPTER, or violations  by  pedestrians  or  bicyclists,  or
other  than  an adjudication of liability of an owner for a violation of
subdivision (d) of section eleven hundred  eleven  of  this  chapter  in
accordance  with  section  eleven  hundred  eleven-a of this chapter, or
other than an adjudication of liability of an owner for a  violation  of
subdivision  (d)  of  section  eleven  hundred eleven of this chapter in
accordance with section eleven hundred  eleven-b  of  this  chapter,  or
other  than  an  adjudication  in accordance with section eleven hundred
eleven-c of this chapter for a violation of a bus  lane  restriction  as
defined in such section, there shall be levied a crime victim assistance

S. 2605                             8                            A. 3005

fee  and  a mandatory surcharge, in addition to any sentence required or
permitted by law, in accordance with the following schedule:
  (a)  Whenever  proceedings in an administrative tribunal or a court of
this state result in a conviction for a traffic infraction  pursuant  to
article  nine  of  this  chapter,  there  shall be levied a crime victim
assistance fee in the amount of five dollars and a mandatory  surcharge,
in  addition to any sentence required or permitted by law, in the amount
of twenty-five dollars.
  (b) Whenever proceedings in an administrative tribunal or a  court  of
this  state  result in a conviction for a misdemeanor or felony pursuant
to section eleven hundred ninety-two of this  chapter,  there  shall  be
levied,  in  addition  to  any  sentence required or permitted by law, a
crime victim assistance fee in the amount of twenty-five dollars  and  a
mandatory surcharge in accordance with the following schedule:
  (i)  a person convicted of a felony shall pay a mandatory surcharge of
three hundred dollars;
  (ii) a person  convicted  of  a  misdemeanor  shall  pay  a  mandatory
surcharge of one hundred seventy-five dollars.
  (c)  Whenever  proceedings in an administrative tribunal or a court of
this state result in a conviction for  an  offense  under  this  chapter
other than a crime pursuant to section eleven hundred ninety-two of this
chapter,  or  a  traffic  infraction under this chapter, or a local law,
ordinance, rule or regulation adopted pursuant to  this  chapter,  other
than  a  traffic  infraction  involving  standing, stopping, or parking,
EXCEPT THOSE SET FORTH IN SECTION TWELVE HUNDRED, TWELVE HUNDRED ONE  OR
TWELVE HUNDRED TWO OF THIS CHAPTER or violations by pedestrians or bicy-
clists,  or  other  than  an adjudication of liability of an owner for a
violation of subdivision (d) of section eleven hundred  eleven  of  this
chapter in accordance with section eleven hundred eleven-a of this chap-
ter,  or  other  than  an  adjudication  of  liability of an owner for a
violation of subdivision (d) of section eleven hundred  eleven  of  this
chapter in accordance with section eleven hundred eleven-b of this chap-
ter,  or other than an infraction pursuant to article nine of this chap-
ter or other than an  adjudication  of  liability  of  an  owner  for  a
violation  of  toll collection regulations pursuant to section two thou-
sand 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 or other than an adjudication in
accordance with section eleven hundred eleven-c of this  chapter  for  a
violation  of  a  bus lane restriction as defined in such section, there
shall be levied a crime victim assistance fee  in  the  amount  of  five
dollars  and a mandatory surcharge, in addition to any sentence required
or permitted by law, in the amount of fifty-five dollars.
  S 6. Subdivision 1 of section 1809 of the vehicle and traffic law,  as
amended by section 10-a of part II of chapter 59 of the laws of 2010, is
amended to read as follows:
  1.  Whenever  proceedings  in an administrative tribunal or a court of
this state result in a conviction for a crime under this  chapter  or  a
traffic  infraction  under this chapter, or a local law, ordinance, rule
or regulation adopted pursuant to this chapter,  other  than  a  traffic
infraction  involving standing, stopping, parking EXCEPT THOSE SET FORTH
IN SECTIONS TWELVE HUNDRED, TWELVE HUNDRED ONE AND TWELVE HUNDRED TWO OF
THIS CHAPTER, or motor vehicle equipment or violations by pedestrians or
bicyclists, or other than an adjudication of liability of an owner for a
violation of subdivision (d) of section eleven hundred  eleven  of  this
chapter in accordance with section eleven hundred eleven-a of this chap-

S. 2605                             9                            A. 3005

ter,  or  other  than  an  adjudication  of  liability of an owner for a
violation of subdivision (d) of section eleven hundred  eleven  of  this
chapter in accordance with section eleven hundred eleven-b of this chap-
ter,  or  other  than  an adjudication in accordance with section eleven
hundred eleven-c  of  this  chapter  for  a  violation  of  a  bus  lane
restriction as defined in such section, there shall be levied a mandato-
ry  surcharge, in addition to any sentence required or permitted by law,
in the amount of twenty-five dollars.
  S 7. Subdivision 1 of section 1809 of the vehicle and traffic law,  as
amended by section 10-b of part II of chapter 59 of the laws of 2010, is
amended to read as follows:
  1.  Whenever  proceedings  in an administrative tribunal or a court of
this state result in a conviction for a crime under this  chapter  or  a
traffic  infraction  under  this chapter other than a traffic infraction
involving standing, stopping, parking EXCEPT THOSE SET FORTH IN SECTIONS
TWELVE HUNDRED, TWELVE HUNDRED ONE AND TWELVE HUNDRED TWO OF THIS  CHAP-
TER,  or  motor  vehicle equipment or violations by pedestrians or bicy-
clists, or other than an adjudication in accordance with section  eleven
hundred  eleven-c  of  this  chapter  for  a  violation  of  a  bus lane
restriction as defined in such section, there shall be levied a mandato-
ry surcharge, in addition to any sentence required or permitted by  law,
in the amount of seventeen dollars.
  S  8. Subdivision 1 of section 1809 of the vehicle and traffic law, as
separately amended by chapter 16 of the laws of 1983 and chapter  62  of
the laws of 1989, is amended to read as follows:
  1.  Whenever  proceedings  in an administrative tribunal or a court of
this state result in a conviction for a crime under this  chapter  or  a
traffic  infraction  under  this chapter other than a traffic infraction
involving standing, stopping, parking EXCEPT THOSE SET FORTH IN SECTIONS
TWELVE HUNDRED, TWELVE HUNDRED ONE AND TWELVE HUNDRED TWO OF THIS  CHAP-
TER,  or  motor  vehicle equipment or violations by pedestrians or bicy-
clists, there shall be levied a mandatory surcharge, in addition to  any
sentence  required  or  permitted  by  law,  in  the amount of seventeen
dollars.
  S 9. Paragraph a of subdivision 1 of section 1809-e of the vehicle and
traffic law, as amended by section 11 of part II of chapter  59  of  the
laws of 2010, is amended to read as follows:
  a. Notwithstanding any other provision of law, whenever proceedings in
a  court  or  an  administrative  tribunal  of  this  state  result in a
conviction for an offense under this chapter, except a conviction pursu-
ant to section eleven hundred ninety-two of this chapter, or for a traf-
fic infraction under this chapter, or a local law,  ordinance,  rule  or
regulation adopted pursuant to this chapter, except a traffic infraction
involving  standing, stopping, or parking, OTHER THAN THOSE SET FORTH IN
SECTIONS TWELVE HUNDRED, TWELVE HUNDRED ONE AND TWELVE HUNDRED  TWO,  or
violations  by  pedestrians or bicyclists, and except an adjudication of
liability of an owner for a violation  of  subdivision  (d)  of  section
eleven  hundred eleven of this chapter in accordance with section eleven
hundred eleven-a of this chapter, and except an adjudication of  liabil-
ity  of  an  owner  for a violation of subdivision (d) of section eleven
hundred eleven of this chapter in accordance with section eleven hundred
eleven-b of this chapter, and except an adjudication in accordance  with
section  eleven hundred eleven-c of this chapter of a violation of a bus
lane restriction as defined in such section, and except an  adjudication
of  liability of an owner for a violation of toll collection regulations
pursuant to section two thousand nine hundred eighty-five of the  public

S. 2605                            10                            A. 3005

authorities  law or sections sixteen-a, sixteen-b and sixteen-c of chap-
ter seven hundred seventy-four of the laws of  nineteen  hundred  fifty,
there  shall  be  levied  in  addition to any sentence, penalty or other
surcharge required or permitted by law, an additional surcharge of twen-
ty dollars.
  S  10.  Paragraph  a of subdivision 1 of section 1809-e of the vehicle
and traffic law, as amended by section 11-a of part II of chapter 59  of
the laws of 2010, is amended to read as follows:
  a. Notwithstanding any other provision of law, whenever proceedings in
a  court  or  an  administrative  tribunal  of  this  state  result in a
conviction for an offense under this chapter, except a conviction pursu-
ant to section eleven hundred ninety-two of this chapter, or for a traf-
fic infraction under this chapter, or a local law,  ordinance,  rule  or
regulation adopted pursuant to this chapter, except a traffic infraction
involving  standing, stopping, or parking, OTHER THAN THOSE SET FORTH IN
SECTIONS TWELVE HUNDRED, TWELVE HUNDRED ONE AND TWELVE HUNDRED  TWO,  or
violations  by  pedestrians or bicyclists, and except an adjudication of
liability of an owner for a violation  of  subdivision  (d)  of  section
eleven  hundred eleven of this chapter in accordance with section eleven
hundred eleven-a of this chapter, and except an adjudication in  accord-
ance with section eleven hundred eleven-c of this chapter of a violation
of  a  bus  lane  restriction  as defined in such section, and except an
adjudication of liability of an owner for a violation of toll collection
regulations pursuant to 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, there shall be levied in addition to any sentence, penal-
ty or other surcharge  required  or  permitted  by  law,  an  additional
surcharge of twenty dollars.
  S  11.  Paragraph  a of subdivision 1 of section 1809-e of the vehicle
and traffic law, as amended by section 1 of part EE of chapter 56 of the
laws of 2008, is amended to read as follows:
  a. Notwithstanding any other provision of law, whenever proceedings in
a court or  an  administrative  tribunal  of  this  state  result  in  a
conviction for an offense under this chapter, except a conviction pursu-
ant to section eleven hundred ninety-two of this chapter, or for a traf-
fic  infraction  under  this chapter, or a local law, ordinance, rule or
regulation adopted pursuant to this chapter, except a traffic infraction
involving standing, stopping, or parking, OTHER THAN THOSE SET FORTH  IN
SECTIONS  TWELVE  HUNDRED, TWELVE HUNDRED ONE AND TWELVE HUNDRED TWO, or
violations by pedestrians or bicyclists, and except an  adjudication  of
liability  of  an  owner  for  a violation of subdivision (d) of section
eleven hundred eleven of this chapter in accordance with section  eleven
hundred  eleven-a of this chapter, and except an adjudication of liabil-
ity of an owner for a violation of toll collection regulations  pursuant
to  section two thousand nine hundred eighty-five of the public authori-
ties law or sections sixteen-a, sixteen-b and sixteen-c of chapter seven
hundred seventy-four of the laws of nineteen hundred fifty, there  shall
be  levied  in  addition  to  any  sentence,  penalty or other surcharge
required or permitted by law, an additional surcharge of twenty dollars.
  S 12.  Subdivision 3-a of section 121 of the  state  finance  law,  as
added  by  section  16  of  part J of chapter 62 of the laws of 2003, is
amended to read as follows:
  3-a. [On or before the twentieth day of October in each year  commenc-
ing  with  the  twentieth of October, two thousand three, the] THE comp-
troller shall  determine  the  difference  between:  (a)  the  aggregate

S. 2605                            11                            A. 3005

receipts  derived by the state from mandatory surcharges collected by an
administrative tribunal or a town or village justice court  pursuant  to
section  eighteen hundred nine of the vehicle and traffic law during the
[preceding] year ending September thirtieth, TWO THOUSAND TWELVE and (b)
the  aggregate  receipts  derived  by  the  state  from  such  mandatory
surcharge collected by an administrative tribunal or a town or a village
justice court in accordance with  the  provisions  of  section  eighteen
hundred  nine of the vehicle and traffic law in effect immediately prior
to April first, two thousand three  during  the  preceding  year  ending
September  thirtieth.  Such  difference  shall  be thereupon transferred
ANNUALLY by the comptroller to the credit of the indigent legal services
fund established by section ninety-eight-b of this chapter.
  S 13. This act shall take effect on the sixtieth day  after  it  shall
have  become  a  law and shall apply to violations committed on or after
such date, provided however, that:
  (a) the amendments to subdivision 1 of section 1809 of the vehicle and
traffic law made by section five of this act shall  be  subject  to  the
expiration  and  reversion  of  such  subdivision,  when  upon such date
section six of this act shall take effect; and
  (b) the amendments to subdivision 1 of section 1809 of the vehicle and
traffic law made by section six of this act  shall  be  subject  to  the
expiration  and  reversion  of  such  subdivision,  when  upon such date
section seven of this act shall take effect; and
  (c) the amendments to subdivision 1 of section 1809 of the vehicle and
traffic law made by section seven of this act shall be  subject  to  the
expiration  and  reversion  of  such  subdivision,  when  upon such date
section eight of this act shall take effect;
  (d) the amendments to paragraph a of subdivision 1 of  section  1809-e
of the vehicle and traffic law made by section nine of this act shall be
subject  to  the  expiration  and reversion of such paragraph, when upon
such date section ten of this act shall take effect; and
  (e) the amendments to paragraph a of subdivision 1 of  section  1809-e
of  the vehicle and traffic law made by section ten of this act shall be
subject to the expiration and reversion of  such  paragraph,  when  upon
such date section eleven of this act shall take effect.

                                 PART D

  Section  1. The executive law is amended by adding a new article 38 to
read as follows:
                               ARTICLE 38
              NATIONAL CRIME PREVENTION AND PRIVACY COMPACT
SECTION 850. ENACTMENT OF COMPACT.
  S 850. ENACTMENT OF COMPACT. THE NATIONAL CRIME PREVENTION AND PRIVACY
COMPACT IS HEREBY ENACTED INTO LAW  AND  ENTERED  INTO  WITH  ALL  OTHER
JURISDICTIONS  LEGALLY  JOINING  THEREIN  IN  THE  FORM SUBSTANTIALLY AS
FOLLOWS:
  THE CONTRACTING PARTIES AGREE TO THE FOLLOWING:
              NATIONAL CRIME PREVENTION AND PRIVACY COMPACT
ARTICLE I.    DEFINITIONS.
ARTICLE II.   PURPOSES.
ARTICLE III.  RESPONSIBILITIES OF COMPACT PARTIES.
ARTICLE IV.   AUTHORIZED RECORD DISCLOSURES.
ARTICLE V.    RECORD REQUEST PROCEDURES.
ARTICLE VI.   ESTABLISHMENT OF COMPACT COUNCIL.
ARTICLE VII.  RATIFICATION OF COMPACT.

S. 2605                            12                            A. 3005

ARTICLE VIII. MISCELLANEOUS PROVISIONS.
ARTICLE IX.   RENUNCIATION.
ARTICLE X.    SEVERABILITY.
ARTICLE XI.   ADJUDICATION OF DISPUTES.

                                OVERVIEW

  (A) IN GENERAL, THIS COMPACT ORGANIZES AN ELECTRONIC INFORMATION SHAR-
ING SYSTEM AMONG THE FEDERAL GOVERNMENT AND THE STATES TO EXCHANGE CRIM-
INAL  HISTORY  RECORDS  FOR  NONCRIMINAL  JUSTICE PURPOSES AUTHORIZED BY
FEDERAL OR STATE LAW, SUCH AS BACKGROUND CHECKS FOR GOVERNMENTAL LICENS-
ING AND EMPLOYMENT.
  (B) UNDER THIS COMPACT, THE FBI AND THE PARTY STATES AGREE TO MAINTAIN
DETAILED DATABASES OF THEIR RESPECTIVE CRIMINAL HISTORY RECORDS, INCLUD-
ING ARRESTS AND DISPOSITIONS, AND TO MAKE THEM AVAILABLE TO THE  FEDERAL
GOVERNMENT  AND  TO PARTY STATES FOR AUTHORIZED PURPOSES.  THE FBI SHALL
ALSO MANAGE THE FEDERAL DATA FACILITIES THAT PROVIDE A SIGNIFICANT  PART
OF THE INFRASTRUCTURE FOR THE SYSTEM.

                         ARTICLE I--DEFINITIONS

  AS USED IN THIS COMPACT:
  (A)  "ATTORNEY  GENERAL"  MEANS  THE  ATTORNEY  GENERAL  OF THE UNITED
STATES.
  (B) "COMPACT OFFICER" MEANS:
  1. WITH RESPECT TO THE FEDERAL GOVERNMENT, AN OFFICIAL  SO  DESIGNATED
BY THE DIRECTOR OF THE FBI; AND
  2.  WITH  RESPECT  TO  A  PARTY  STATE, THE CHIEF ADMINISTRATOR OF THE
STATE'S CRIMINAL HISTORY RECORD REPOSITORY OR A DESIGNEE  OF  THE  CHIEF
ADMINISTRATOR WHO IS A REGULAR FULL-TIME EMPLOYEE OF THE REPOSITORY.
  (C) "COUNCIL" MEANS THE COMPACT COUNCIL ESTABLISHED UNDER ARTICLE VI.
  (D) "CRIMINAL HISTORY RECORDS":
  1.  MEANS  INFORMATION COLLECTED BY CRIMINAL JUSTICE AGENCIES ON INDI-
VIDUALS  CONSISTING  OF  IDENTIFIABLE  DESCRIPTIONS  AND  NOTATIONS   OF
ARRESTS,  DETENTIONS, INDICTMENTS, OR OTHER FORMAL CRIMINAL CHARGES, AND
ANY DISPOSITION  ARISING  THEREFROM,  INCLUDING  ACQUITTAL,  SENTENCING,
CORRECTIONAL SUPERVISION, OR RELEASE; AND
  2.  DOES  NOT  INCLUDE  IDENTIFICATION INFORMATION SUCH AS FINGERPRINT
RECORDS IF SUCH INFORMATION DOES NOT INDICATE INVOLVEMENT OF  THE  INDI-
VIDUAL WITH THE CRIMINAL JUSTICE SYSTEM.
  (E) "CRIMINAL HISTORY RECORD REPOSITORY" MEANS THE STATE AGENCY DESIG-
NATED  BY  THE  GOVERNOR  OR OTHER APPROPRIATE EXECUTIVE OFFICIAL OR THE
LEGISLATURE OF A STATE TO PERFORM  CENTRALIZED  RECORDKEEPING  FUNCTIONS
FOR CRIMINAL HISTORY RECORDS AND SERVICES IN THE STATE.
  (F)  "CRIMINAL JUSTICE" INCLUDES ACTIVITIES RELATING TO THE DETECTION,
APPREHENSION, DETENTION, PRETRIAL RELEASE,  POST-TRIAL  RELEASE,  PROSE-
CUTION,  ADJUDICATION,  CORRECTIONAL  SUPERVISION,  OR REHABILITATION OF
ACCUSED PERSONS OR CRIMINAL OFFENDERS. THE  ADMINISTRATION  OF  CRIMINAL
JUSTICE  INCLUDES CRIMINAL IDENTIFICATION ACTIVITIES AND THE COLLECTION,
STORAGE, AND DISSEMINATION OF CRIMINAL HISTORY RECORDS.
  (G) "CRIMINAL JUSTICE AGENCY":
  1. MEANS:
  A. COURTS; AND
  B. A GOVERNMENTAL AGENCY OR ANY SUBUNIT THEREOF THAT:
  (I) PERFORMS THE ADMINISTRATION OF  CRIMINAL  JUSTICE  PURSUANT  TO  A
STATUTE OR EXECUTIVE ORDER; AND

S. 2605                            13                            A. 3005

  (II) ALLOCATES A SUBSTANTIAL PART OF ITS ANNUAL BUDGET TO THE ADMINIS-
TRATION OF CRIMINAL JUSTICE; AND
  2. INCLUDES FEDERAL AND STATE INSPECTORS GENERAL OFFICES.
  (H)  "CRIMINAL JUSTICE SERVICES" MEANS SERVICES PROVIDED BY THE FBI TO
CRIMINAL JUSTICE AGENCIES IN RESPONSE TO A REQUEST FOR INFORMATION ABOUT
A PARTICULAR INDIVIDUAL  OR  AS  AN  UPDATE  TO  INFORMATION  PREVIOUSLY
PROVIDED FOR CRIMINAL JUSTICE PURPOSES.
  (I)  "CRITERION  OFFENSE"  MEANS ANY FELONY OR MISDEMEANOR OFFENSE NOT
INCLUDED ON THE LIST OF NONSERIOUS OFFENSES  PUBLISHED  PERIODICALLY  BY
THE FBI.
  (J)  "DIRECT ACCESS" MEANS ACCESS TO THE NATIONAL IDENTIFICATION INDEX
BY COMPUTER TERMINAL OR OTHER AUTOMATED MEANS NOT REQUIRING THE  ASSIST-
ANCE OF OR INTERVENTION BY ANY OTHER PARTY OR AGENCY.
  (K)  "EXECUTIVE  ORDER"  MEANS AN ORDER OF THE PRESIDENT OF THE UNITED
STATES OR THE CHIEF EXECUTIVE OFFICER OF A STATE THAT HAS THE  FORCE  OF
LAW AND THAT IS PROMULGATED IN ACCORDANCE WITH APPLICABLE LAW.
  (L) "FBI" MEANS THE FEDERAL BUREAU OF INVESTIGATION.
  (M) "INTERSTATE IDENTIFICATION INDEX SYSTEM" OR "III SYSTEM":
  1.  MEANS  THE  COOPERATIVE  FEDERAL-STATE  SYSTEM FOR THE EXCHANGE OF
CRIMINAL HISTORY RECORDS; AND
  2. INCLUDES THE NATIONAL IDENTIFICATION INDEX,  THE  NATIONAL  FINGER-
PRINT FILE AND, TO THE EXTENT OF THEIR PARTICIPATION IN SUCH SYSTEM, THE
CRIMINAL HISTORY RECORD REPOSITORIES OF THE STATES AND THE FBI.
  (N)  "NATIONAL  FINGERPRINT FILE" MEANS A DATABASE OF FINGERPRINTS, OR
OTHER UNIQUELY PERSONAL IDENTIFYING INFORMATION, RELATING TO AN ARRESTED
OR CHARGED INDIVIDUAL MAINTAINED BY THE FBI TO  PROVIDE  POSITIVE  IDEN-
TIFICATION OF RECORD SUBJECTS INDEXED IN THE III SYSTEM.
  (O)  "NATIONAL  IDENTIFICATION INDEX" MEANS AN INDEX MAINTAINED BY THE
FBI CONSISTING OF NAMES,  IDENTIFYING  NUMBERS,  AND  OTHER  DESCRIPTIVE
INFORMATION  RELATING  TO  RECORD SUBJECTS ABOUT WHOM THERE ARE CRIMINAL
HISTORY RECORDS IN THE III SYSTEM.
  (P) "NATIONAL INDICES" MEANS THE NATIONAL IDENTIFICATION INDEX AND THE
NATIONAL FINGERPRINT FILE.
  (Q) "NONPARTY STATE" MEANS A STATE THAT HAS NOT RATIFIED THIS COMPACT.
  (R) "NONCRIMINAL JUSTICE PURPOSES"  MEANS  USES  OF  CRIMINAL  HISTORY
RECORDS  FOR  PURPOSES  AUTHORIZED  BY  FEDERAL  OR STATE LAW OTHER THAN
PURPOSES RELATING TO CRIMINAL JUSTICE ACTIVITIES,  INCLUDING  EMPLOYMENT
SUITABILITY,  LICENSING  DETERMINATIONS,  IMMIGRATION AND NATURALIZATION
MATTERS, AND NATIONAL SECURITY CLEARANCES.
  (S) "PARTY STATE" MEANS A STATE THAT HAS RATIFIED THIS COMPACT.
  (T) "POSITIVE IDENTIFICATION" MEANS  A  DETERMINATION,  BASED  UPON  A
COMPARISON OF FINGERPRINTS OR OTHER EQUALLY RELIABLE BIOMETRIC IDENTIFI-
CATION  TECHNIQUES,  THAT  THE  SUBJECT  OF  A RECORD SEARCH IS THE SAME
PERSON AS THE SUBJECT OF A CRIMINAL HISTORY RECORD OR RECORDS INDEXED IN
THE III SYSTEM.  IDENTIFICATIONS  BASED  SOLELY  UPON  A  COMPARISON  OF
SUBJECTS'  NAMES  OR  OTHER  NONUNIQUE IDENTIFICATION CHARACTERISTICS OR
NUMBERS, OR COMBINATIONS THEREOF, SHALL NOT  CONSTITUTE  POSITIVE  IDEN-
TIFICATION.
  (U) "SEALED RECORD INFORMATION" MEANS:
  1. WITH RESPECT TO ADULTS, THAT PORTION OF A RECORD THAT IS:
  A. NOT AVAILABLE FOR CRIMINAL JUSTICE USES;
  B.  NOT  SUPPORTED BY FINGERPRINTS OR OTHER ACCEPTED MEANS OF POSITIVE
IDENTIFICATION; OR
  C. SUBJECT TO RESTRICTIONS ON DISSEMINATION  FOR  NONCRIMINAL  JUSTICE
PURPOSES  PURSUANT  TO  A COURT ORDER RELATED TO A PARTICULAR SUBJECT OR

S. 2605                            14                            A. 3005

PURSUANT TO A FEDERAL OR STATE STATUTE THAT REQUIRES ACTION ON A SEALING
PETITION FILED BY A PARTICULAR RECORD SUBJECT; AND
  2.  WITH  RESPECT  TO  JUVENILES,  WHATEVER EACH STATE DETERMINES IS A
SEALED RECORD UNDER ITS OWN LAW AND PROCEDURE.
  (V) "STATE" MEANS ANY STATE, TERRITORY, OR POSSESSION  OF  THE  UNITED
STATES, THE DISTRICT OF COLUMBIA, AND THE COMMONWEALTH OF PUERTO RICO.

                          ARTICLE II--PURPOSES

  THE PURPOSES OF THIS COMPACT ARE TO:
  (A)  PROVIDE  A LEGAL FRAMEWORK FOR THE ESTABLISHMENT OF A COOPERATIVE
FEDERAL-STATE SYSTEM FOR THE INTERSTATE AND  FEDERAL-STATE  EXCHANGE  OF
CRIMINAL HISTORY RECORDS FOR NONCRIMINAL JUSTICE USES;
  (B) REQUIRE THE FBI TO PERMIT USE OF THE NATIONAL IDENTIFICATION INDEX
AND  THE  NATIONAL FINGERPRINT FILE BY EACH PARTY STATE, AND TO PROVIDE,
IN A TIMELY FASHION, FEDERAL  AND  STATE  CRIMINAL  HISTORY  RECORDS  TO
REQUESTING STATES, IN ACCORDANCE WITH THE TERMS OF THIS COMPACT AND WITH
RULES,  PROCEDURES, AND STANDARDS ESTABLISHED BY THE COUNCIL UNDER ARTI-
CLE VI;
  (C) REQUIRE PARTY STATES TO PROVIDE INFORMATION AND  RECORDS  FOR  THE
NATIONAL  IDENTIFICATION  INDEX AND THE NATIONAL FINGERPRINT FILE AND TO
PROVIDE CRIMINAL HISTORY RECORDS,  IN  A  TIMELY  FASHION,  TO  CRIMINAL
HISTORY  RECORD  REPOSITORIES OF OTHER STATES AND THE FEDERAL GOVERNMENT
FOR NONCRIMINAL JUSTICE PURPOSES, IN ACCORDANCE WITH THE TERMS  OF  THIS
COMPACT  AND  WITH  RULES,  PROCEDURES, AND STANDARDS ESTABLISHED BY THE
COUNCIL UNDER ARTICLE VI;
  (D) PROVIDE FOR THE ESTABLISHMENT OF A COUNCIL TO MONITOR  III  SYSTEM
OPERATIONS  AND  TO PRESCRIBE SYSTEM RULES AND PROCEDURES FOR THE EFFEC-
TIVE AND PROPER OPERATION OF THE  III  SYSTEM  FOR  NONCRIMINAL  JUSTICE
PURPOSES; AND
  (E) REQUIRE THE FBI AND EACH PARTY STATE TO ADHERE TO III SYSTEM STAN-
DARDS  CONCERNING  RECORD  DISSEMINATION AND USE, RESPONSE TIMES, SYSTEM
SECURITY, DATA QUALITY, AND OTHER DULY ESTABLISHED STANDARDS,  INCLUDING
THOSE THAT ENHANCE THE ACCURACY AND PRIVACY OF SUCH RECORDS.

            ARTICLE III--RESPONSIBILITIES OF COMPACT PARTIES

  (A) THE DIRECTOR OF THE FBI SHALL:
  1. APPOINT AN FBI COMPACT OFFICER WHO SHALL:
  A.  ADMINISTER THIS COMPACT WITHIN THE DEPARTMENT OF JUSTICE AND AMONG
FEDERAL AGENCIES AND OTHER AGENCIES AND ORGANIZATIONS THAT SUBMIT SEARCH
REQUESTS TO THE FBI PURSUANT TO SUBDIVISION (C) OF THIS ARTICLE;
  B. ENSURE THAT COMPACT PROVISIONS AND RULES, PROCEDURES, AND STANDARDS
PRESCRIBED BY THE COUNCIL UNDER ARTICLE VI  ARE  COMPLIED  WITH  BY  THE
DEPARTMENT  OF  JUSTICE  AND THE FEDERAL AGENCIES AND OTHER AGENCIES AND
ORGANIZATIONS REFERRED TO IN SUBPARAGRAPH A OF PARAGRAPH ONE OF SUBDIVI-
SION (A) OF THIS ARTICLE; AND
  C. REGULATE THE USE OF RECORDS RECEIVED BY MEANS  OF  THE  III  SYSTEM
FROM  PARTY STATES WHEN SUCH RECORDS ARE SUPPLIED BY THE FBI DIRECTLY TO
OTHER FEDERAL AGENCIES;
  2. PROVIDE TO FEDERAL AGENCIES AND TO STATE  CRIMINAL  HISTORY  RECORD
REPOSITORIES,  CRIMINAL  HISTORY  RECORDS MAINTAINED IN ITS DATABASE FOR
THE NONCRIMINAL JUSTICE PURPOSES DESCRIBED IN ARTICLE IV, INCLUDING:
  A. INFORMATION FROM NONPARTY STATES; AND

S. 2605                            15                            A. 3005

  B. INFORMATION FROM PARTY  STATES  THAT  IS  AVAILABLE  FROM  THE  FBI
THROUGH  THE  III  SYSTEM,  BUT  IS  NOT  AVAILABLE FROM THE PARTY STATE
THROUGH THE III SYSTEM;
  C.  PROVIDE  A  TELECOMMUNICATIONS  NETWORK  AND  MAINTAIN CENTRALIZED
FACILITIES FOR THE EXCHANGE OF CRIMINAL HISTORY RECORDS FOR BOTH  CRIMI-
NAL  JUSTICE  PURPOSES AND THE NONCRIMINAL JUSTICE PURPOSES DESCRIBED IN
ARTICLE IV, AND ENSURE THAT THE EXCHANGE OF SUCH  RECORDS  FOR  CRIMINAL
JUSTICE  PURPOSES  HAS  PRIORITY  OVER  EXCHANGE FOR NONCRIMINAL JUSTICE
PURPOSES; AND
  D. MODIFY OR ENTER INTO USER AGREEMENTS WITH NONPARTY  STATE  CRIMINAL
HISTORY  RECORD REPOSITORIES TO REQUIRE THEM TO ESTABLISH RECORD REQUEST
PROCEDURES CONFORMING TO THOSE PRESCRIBED IN ARTICLE V.
  (B) EACH PARTY STATE SHALL:
  1. APPOINT A COMPACT OFFICER WHO SHALL:
  A. ADMINISTER THIS COMPACT WITHIN THAT STATE;
  B. ENSURE THAT COMPACT PROVISIONS AND RULES, PROCEDURES, AND STANDARDS
ESTABLISHED BY THE COUNCIL UNDER ARTICLE VI ARE  COMPLIED  WITH  IN  THE
STATE; AND
  C.  REGULATE  THE IN-STATE USE OF RECORDS RECEIVED BY MEANS OF THE III
SYSTEM FROM THE FBI OR FROM OTHER PARTY STATES;
  2. ESTABLISH AND MAINTAIN A CRIMINAL HISTORY RECORD REPOSITORY,  WHICH
SHALL PROVIDE:
  A.  INFORMATION  AND RECORDS FOR THE NATIONAL IDENTIFICATION INDEX AND
THE NATIONAL FINGERPRINT FILE; AND
  B.  THE  STATE'S  III  SYSTEM-INDEXED  CRIMINAL  HISTORY  RECORDS  FOR
NONCRIMINAL JUSTICE PURPOSES DESCRIBED IN ARTICLE IV; AND
  C. PARTICIPATE IN THE NATIONAL FINGERPRINT FILE; AND
  D. PROVIDE AND MAINTAIN TELECOMMUNICATIONS LINKS AND RELATED EQUIPMENT
NECESSARY TO SUPPORT THE SERVICES SET FORTH IN THIS COMPACT.
  (C)  COMPLIANCE  WITH  III  SYSTEM  STANDARDS.   IN CARRYING OUT THEIR
RESPONSIBILITIES UNDER THIS COMPACT, THE FBI AND EACH PARTY STATE  SHALL
COMPLY WITH III SYSTEM RULES, PROCEDURES, AND STANDARDS DULY ESTABLISHED
BY  THE COUNCIL CONCERNING RECORD DISSEMINATION AND USE, RESPONSE TIMES,
DATA QUALITY, SYSTEM SECURITY, ACCURACY, PRIVACY PROTECTION,  AND  OTHER
ASPECTS OF III SYSTEM OPERATION.
  (D)  1. USE OF THE III SYSTEM FOR NONCRIMINAL JUSTICE PURPOSES AUTHOR-
IZED IN THIS COMPACT SHALL BE MANAGED SO AS NOT TO DIMINISH THE LEVEL OF
SERVICES PROVIDED IN SUPPORT OF CRIMINAL JUSTICE PURPOSES.
  2. ADMINISTRATION OF COMPACT PROVISIONS SHALL NOT REDUCE THE LEVEL  OF
SERVICE  AVAILABLE TO AUTHORIZED NONCRIMINAL JUSTICE USERS ON THE EFFEC-
TIVE DATE OF THIS COMPACT.

                ARTICLE IV--AUTHORIZED RECORD DISCLOSURES

  (A) STATE CRIMINAL HISTORY RECORD REPOSITORIES.  TO THE EXTENT AUTHOR-
IZED BY SECTION FIVE HUNDRED FIFTY-TWO-A OF TITLE  FIVE  OF  THE  UNITED
STATES  CODE,  (COMMONLY  KNOWN  AS  THE "PRIVACY ACT OF 1974"), THE FBI
SHALL PROVIDE ON REQUEST  CRIMINAL  HISTORY  RECORDS  (EXCLUDING  SEALED
RECORDS)  TO  STATE CRIMINAL HISTORY RECORD REPOSITORIES FOR NONCRIMINAL
JUSTICE PURPOSES ALLOWED BY FEDERAL STATUTE, FEDERAL EXECUTIVE ORDER, OR
A STATE STATUTE THAT HAS BEEN APPROVED BY THE ATTORNEY GENERAL AND  THAT
AUTHORIZES NATIONAL INDICES CHECKS.
  (B)  THE  FBI,  TO  THE  EXTENT  AUTHORIZED  BY  SECTION  FIVE HUNDRED
FIFTY-TWO-A OF TITLE FIVE OF THE UNITED STATES CODE, (COMMONLY KNOWN  AS
THE  "PRIVACY ACT OF 1974"), AND STATE CRIMINAL HISTORY RECORD REPOSITO-
RIES SHALL PROVIDE CRIMINAL HISTORY RECORDS (EXCLUDING  SEALED  RECORDS)

S. 2605                            16                            A. 3005

TO  CRIMINAL  JUSTICE AGENCIES AND OTHER GOVERNMENTAL OR NONGOVERNMENTAL
AGENCIES FOR NONCRIMINAL JUSTICE PURPOSES ALLOWED  BY  FEDERAL  STATUTE,
FEDERAL  EXECUTIVE  ORDER,  OR A STATE STATUTE THAT HAS BEEN APPROVED BY
THE ATTORNEY GENERAL, THAT AUTHORIZES NATIONAL INDICES CHECKS.
  (C)  ANY  RECORD  OBTAINED UNDER THIS COMPACT MAY BE USED ONLY FOR THE
OFFICIAL PURPOSES FOR WHICH THE RECORD WAS REQUESTED. EACH COMPACT OFFI-
CER SHALL ESTABLISH PROCEDURES, CONSISTENT WITH THIS COMPACT,  AND  WITH
RULES,  PROCEDURES, AND STANDARDS ESTABLISHED BY THE COUNCIL UNDER ARTI-
CLE VI, WHICH PROCEDURES SHALL PROTECT THE ACCURACY AND PRIVACY  OF  THE
RECORDS, AND SHALL:
  1.  ENSURE  THAT  RECORDS OBTAINED UNDER THIS COMPACT ARE USED ONLY BY
AUTHORIZED OFFICIALS FOR AUTHORIZED PURPOSES;
  2. REQUIRE THAT SUBSEQUENT  RECORD  CHECKS  ARE  REQUESTED  TO  OBTAIN
CURRENT INFORMATION WHENEVER A NEW NEED ARISES; AND
  3.  ENSURE  THAT  RECORD  ENTRIES  THAT  MAY NOT LEGALLY BE USED FOR A
PARTICULAR NONCRIMINAL JUSTICE PURPOSE ARE  DELETED  FROM  THE  RESPONSE
AND,  IF  NO  INFORMATION AUTHORIZED FOR RELEASE REMAINS, AN APPROPRIATE
"NO RECORD" RESPONSE IS COMMUNICATED TO THE REQUESTING OFFICIAL.

                  ARTICLE V--RECORD REQUEST PROCEDURES

  (A) SUBJECT FINGERPRINTS OR OTHER APPROVED FORMS OF POSITIVE IDENTIFI-
CATION SHALL BE SUBMITTED WITH ALL REQUESTS FOR CRIMINAL HISTORY  RECORD
CHECKS FOR NONCRIMINAL JUSTICE PURPOSES.
  (B)  EACH  REQUEST  FOR  A CRIMINAL HISTORY RECORD CHECK UTILIZING THE
NATIONAL INDICES MADE UNDER ANY APPROVED STATE STATUTE SHALL BE  SUBMIT-
TED  THROUGH  THAT  STATE'S  CRIMINAL HISTORY RECORD REPOSITORY. A STATE
CRIMINAL HISTORY RECORD REPOSITORY SHALL PROCESS AN  INTERSTATE  REQUEST
FOR  NONCRIMINAL  JUSTICE  PURPOSES THROUGH THE NATIONAL INDICES ONLY IF
SUCH REQUEST IS  TRANSMITTED  THROUGH  ANOTHER  STATE  CRIMINAL  HISTORY
RECORD REPOSITORY OR THE FBI.
  (C)  EACH  REQUEST  FOR  CRIMINAL  HISTORY RECORD CHECKS UTILIZING THE
NATIONAL INDICES MADE UNDER FEDERAL AUTHORITY SHALL BE SUBMITTED THROUGH
THE FBI OR, IF THE STATE CRIMINAL HISTORY RECORD REPOSITORY CONSENTS  TO
PROCESS  FINGERPRINT  SUBMISSIONS,  THROUGH  THE CRIMINAL HISTORY RECORD
REPOSITORY IN THE STATE IN WHICH SUCH REQUEST ORIGINATED. DIRECT  ACCESS
TO  THE NATIONAL IDENTIFICATION INDEX BY ENTITIES OTHER THAN THE FBI AND
STATE CRIMINAL HISTORY RECORDS REPOSITORIES SHALL NOT BE  PERMITTED  FOR
NONCRIMINAL JUSTICE PURPOSES.
  (D) A STATE CRIMINAL HISTORY RECORD REPOSITORY OR THE FBI:
  1. MAY CHARGE A FEE, IN ACCORDANCE WITH APPLICABLE LAW, FOR HANDLING A
REQUEST   INVOLVING   FINGERPRINT  PROCESSING  FOR  NONCRIMINAL  JUSTICE
PURPOSES; AND
  2. MAY NOT CHARGE A FEE FOR  PROVIDING  CRIMINAL  HISTORY  RECORDS  IN
RESPONSE  TO  AN ELECTRONIC REQUEST FOR A RECORD THAT DOES NOT INVOLVE A
REQUEST TO PROCESS FINGERPRINTS.
  (E) 1. IF A STATE CRIMINAL HISTORY RECORD REPOSITORY CANNOT POSITIVELY
IDENTIFY THE SUBJECT OF A RECORD REQUEST MADE  FOR  NONCRIMINAL  JUSTICE
PURPOSES,  THE  REQUEST,  TOGETHER  WITH  FINGERPRINTS OR OTHER APPROVED
IDENTIFYING INFORMATION, SHALL BE FORWARDED TO THE FBI FOR A  SEARCH  OF
THE NATIONAL INDICES.
  2. IF, WITH RESPECT TO A REQUEST FORWARDED BY A STATE CRIMINAL HISTORY
RECORD REPOSITORY UNDER PARAGRAPH ONE OF THIS SUBDIVISION, THE FBI POSI-
TIVELY  IDENTIFIES  THE SUBJECT AS HAVING A III SYSTEM-INDEXED RECORD OR
RECORDS:

S. 2605                            17                            A. 3005

  A. THE FBI SHALL SO ADVISE THE STATE CRIMINAL HISTORY RECORD REPOSITO-
RY; AND
  B.  THE  STATE CRIMINAL HISTORY RECORD REPOSITORY SHALL BE ENTITLED TO
OBTAIN THE ADDITIONAL CRIMINAL HISTORY RECORD INFORMATION FROM  THE  FBI
OR OTHER STATE CRIMINAL HISTORY RECORD REPOSITORIES.

              ARTICLE VI--ESTABLISHMENT OF COMPACT COUNCIL

  (A)  1.  IN GENERAL, THERE IS ESTABLISHED A COUNCIL TO BE KNOWN AS THE
"COMPACT COUNCIL", WHICH SHALL HAVE THE AUTHORITY  TO  PROMULGATE  RULES
AND  PROCEDURES  GOVERNING  THE  USE  OF  THE III SYSTEM FOR NONCRIMINAL
JUSTICE PURPOSES, NOT TO CONFLICT WITH FBI  ADMINISTRATION  OF  THE  III
SYSTEM FOR CRIMINAL JUSTICE PURPOSES.
  2. THE COUNCIL SHALL:
  A. CONTINUE IN EXISTENCE AS LONG AS THIS COMPACT REMAINS IN EFFECT;
  B. BE LOCATED, FOR ADMINISTRATIVE PURPOSES, WITHIN THE FBI; AND
  C.  BE  ORGANIZED  AND  HOLD  ITS FIRST MEETING AS SOON AS PRACTICABLE
AFTER THE EFFECTIVE DATE OF THIS COMPACT.
  (B) THE COUNCIL SHALL BE COMPOSED OF FIFTEEN  MEMBERS,  EACH  OF  WHOM
SHALL BE APPOINTED BY THE ATTORNEY GENERAL, AS FOLLOWS:
  1.  NINE  MEMBERS, EACH OF WHOM SHALL SERVE A TWO-YEAR TERM, WHO SHALL
BE SELECTED FROM AMONG THE COMPACT OFFICERS OF PARTY STATES BASED ON THE
RECOMMENDATION OF THE COMPACT OFFICERS OF ALL PARTY STATES, EXCEPT THAT,
IN THE ABSENCE OF THE REQUISITE NUMBER OF COMPACT OFFICERS AVAILABLE  TO
SERVE, THE CHIEF ADMINISTRATORS OF THE CRIMINAL HISTORY RECORD REPOSITO-
RIES OF NONPARTY STATES SHALL BE ELIGIBLE TO SERVE ON AN INTERIM BASIS.
  2. TWO AT-LARGE MEMBERS, NOMINATED BY THE DIRECTOR OF THE FBI, EACH OF
WHOM SHALL SERVE A THREE-YEAR TERM, OF WHOM:
  A.  ONE  SHALL BE A REPRESENTATIVE OF THE CRIMINAL JUSTICE AGENCIES OF
THE FEDERAL GOVERNMENT AND MAY NOT BE AN EMPLOYEE OF THE FBI; AND
  B. ONE SHALL BE A REPRESENTATIVE OF THE NONCRIMINAL  JUSTICE  AGENCIES
OF THE FEDERAL GOVERNMENT.
  3.  TWO  AT-LARGE  MEMBERS,  NOMINATED BY THE CHAIRMAN OF THE COUNCIL,
ONCE THE CHAIRMAN IS ELECTED PURSUANT TO SUBDIVISION (C) OF  THIS  ARTI-
CLE, EACH OF WHOM SHALL SERVE A THREE-YEAR TERM, OF WHOM:
  A.  ONE  SHALL  BE A REPRESENTATIVE OF STATE OR LOCAL CRIMINAL JUSTICE
AGENCIES; AND
  B. ONE SHALL BE A REPRESENTATIVE OF STATE OR LOCAL NONCRIMINAL JUSTICE
AGENCIES.
  4. ONE MEMBER, WHO SHALL SERVE A THREE-YEAR TERM, AND WHO SHALL SIMUL-
TANEOUSLY BE A MEMBER OF THE FBI'S ADVISORY  POLICY  BOARD  ON  CRIMINAL
JUSTICE INFORMATION SERVICES, NOMINATED BY THE MEMBERSHIP OF THAT POLICY
BOARD.
  5. ONE MEMBER, NOMINATED BY THE DIRECTOR OF THE FBI, WHO SHALL SERVE A
THREE-YEAR TERM, AND WHO SHALL BE AN EMPLOYEE OF THE FBI.
  (C)  1.  IN  GENERAL,  FROM  ITS MEMBERSHIP, THE COUNCIL SHALL ELECT A
CHAIRMAN AND A VICE CHAIRMAN OF  THE  COUNCIL,  RESPECTIVELY.  BOTH  THE
CHAIRMAN AND VICE CHAIRMAN OF THE COUNCIL:
  A.  SHALL  BE A COMPACT OFFICER, UNLESS THERE IS NO COMPACT OFFICER ON
THE COUNCIL WHO IS WILLING TO SERVE, IN WHICH CASE THE CHAIRMAN  MAY  BE
AN AT-LARGE MEMBER; AND
  B.  SHALL SERVE A TWO-YEAR TERM AND MAY BE REELECTED TO ONLY ONE ADDI-
TIONAL TWO-YEAR TERM.
  2.  THE VICE CHAIRMAN OF THE COUNCIL SHALL SERVE AS  THE  CHAIRMAN  OF
THE COUNCIL IN THE ABSENCE OF THE CHAIRMAN.

S. 2605                            18                            A. 3005

  (D)  1.  IN GENERAL, THE COUNCIL SHALL MEET AT LEAST ONCE EACH YEAR AT
THE CALL OF THE CHAIRMAN. EACH MEETING OF THE COUNCIL SHALL BE  OPEN  TO
THE PUBLIC. THE COUNCIL SHALL PROVIDE PRIOR PUBLIC NOTICE IN THE FEDERAL
REGISTER  OF  EACH  MEETING  OF THE COUNCIL, INCLUDING THE MATTERS TO BE
ADDRESSED AT SUCH MEETING.
  2.    A  MAJORITY OF THE COUNCIL OR ANY COMMITTEE OF THE COUNCIL SHALL
CONSTITUTE A QUORUM OF THE COUNCIL OR OF SUCH  COMMITTEE,  RESPECTIVELY,
FOR  THE CONDUCT OF BUSINESS. A LESSER NUMBER MAY MEET TO HOLD HEARINGS,
TAKE TESTIMONY, OR CONDUCT ANY BUSINESS NOT REQUIRING A VOTE.
  (E) THE COUNCIL SHALL MAKE AVAILABLE FOR PUBLIC INSPECTION AND COPYING
AT THE COUNCIL OFFICE WITHIN THE FBI, AND SHALL PUBLISH IN  THE  FEDERAL
REGISTER,  ANY  RULES, PROCEDURES, OR STANDARDS ESTABLISHED BY THE COUN-
CIL.
  (F) THE COUNCIL MAY  REQUEST  FROM  THE  FBI  SUCH  REPORTS,  STUDIES,
STATISTICS,  OR OTHER INFORMATION OR MATERIALS AS THE COUNCIL DETERMINES
TO BE NECESSARY TO ENABLE THE COUNCIL TO PERFORM ITS DUTIES  UNDER  THIS
COMPACT.  THE  FBI,  TO  THE  EXTENT AUTHORIZED BY LAW, MAY PROVIDE SUCH
ASSISTANCE OR INFORMATION UPON SUCH A REQUEST.
  (G) THE CHAIRMAN MAY ESTABLISH COMMITTEES AS NECESSARY  TO  CARRY  OUT
THIS  COMPACT  AND MAY PRESCRIBE THEIR MEMBERSHIP, RESPONSIBILITIES, AND
DURATION.

                  ARTICLE VII--RATIFICATION OF COMPACT

  THIS COMPACT SHALL TAKE EFFECT UPON BEING ENTERED INTO BY TWO OR  MORE
STATES  AS  BETWEEN THOSE STATES AND THE FEDERAL GOVERNMENT. UPON SUBSE-
QUENT ENTERING INTO THIS COMPACT BY ADDITIONAL STATES, IT  SHALL  BECOME
EFFECTIVE  AMONG  THOSE STATES AND THE FEDERAL GOVERNMENT AND EACH PARTY
STATE THAT HAS PREVIOUSLY RATIFIED IT. WHEN RATIFIED, THIS COMPACT SHALL
HAVE THE FULL FORCE AND EFFECT OF LAW  WITHIN  THE  RATIFYING  JURISDIC-
TIONS.  THE FORM OF RATIFICATION SHALL BE IN ACCORDANCE WITH THE LAWS OF
THE EXECUTING STATE.

                 ARTICLE VIII--MISCELLANEOUS PROVISIONS

  (A) ADMINISTRATION OF  THIS  COMPACT  SHALL  NOT  INTERFERE  WITH  THE
MANAGEMENT  AND  CONTROL  OF  THE  DIRECTOR  OF  THE  FBI OVER THE FBI'S
COLLECTION AND DISSEMINATION OF CRIMINAL HISTORY RECORDS AND  THE  ADVI-
SORY  FUNCTION  OF  THE  FBI'S ADVISORY POLICY BOARD CHARTERED UNDER THE
FEDERAL ADVISORY COMMITTEE ACT (5 U.S.C. APP.) FOR  ALL  PURPOSES  OTHER
THAN NONCRIMINAL JUSTICE.
  (B)  NOTHING  IN  THIS  COMPACT  SHALL  REQUIRE THE FBI TO OBLIGATE OR
EXPEND FUNDS BEYOND THOSE APPROPRIATED TO THE FBI.
  (C) NOTHING IN THIS COMPACT SHALL DIMINISH OR LESSEN THE  OBLIGATIONS,
RESPONSIBILITIES, AND AUTHORITIES OF ANY STATE, WHETHER A PARTY STATE OR
A  NONPARTY STATE, OR OF ANY CRIMINAL HISTORY RECORD REPOSITORY OR OTHER
SUBDIVISION OR  COMPONENT  THEREOF,  UNDER  THE  DEPARTMENTS  OF  STATE,
JUSTICE, AND COMMERCE, THE JUDICIARY, AND RELATED AGENCIES APPROPRIATION
ACT, 1973 (PUBLIC LAW 92-544), OR REGULATIONS AND GUIDELINES PROMULGATED
THEREUNDER,  INCLUDING THE RULES AND PROCEDURES PROMULGATED BY THE COUN-
CIL UNDER SUBDIVISION (A) OF ARTICLE VI, REGARDING THE USE  AND  DISSEM-
INATION OF CRIMINAL HISTORY RECORDS AND INFORMATION.

                        ARTICLE IX--RENUNCIATION

S. 2605                            19                            A. 3005

  (A)  IN  GENERAL,  THIS  COMPACT  SHALL  BIND  EACH  PARTY STATE UNTIL
RENOUNCED BY THE PARTY STATE.
  (B) ANY RENUNCIATION OF THIS COMPACT BY A PARTY STATE SHALL:
  1.  BE  EFFECTED  IN THE SAME MANNER BY WHICH THE PARTY STATE RATIFIED
THIS COMPACT; AND
  2. BECOME EFFECTIVE ONE HUNDRED EIGHTY DAYS AFTER  WRITTEN  NOTICE  OF
RENUNCIATION  IS  PROVIDED  BY THE PARTY STATE TO EACH OTHER PARTY STATE
AND TO THE FEDERAL GOVERNMENT.

                         ARTICLE X--SEVERABILITY

  THE PROVISIONS OF THIS COMPACT SHALL BE SEVERABLE, AND IF ANY  PHRASE,
CLAUSE, SENTENCE, OR PROVISION OF THIS COMPACT IS DECLARED TO BE CONTRA-
RY  TO  THE CONSTITUTION OF ANY PARTICIPATING STATE, OR TO THE CONSTITU-
TION OF THE UNITED STATES, OR THE APPLICABILITY THEREOF TO  ANY  GOVERN-
MENT,  AGENCY,  PERSON, OR CIRCUMSTANCE IS HELD INVALID, THE VALIDITY OF
THE REMAINDER OF THIS COMPACT  AND  THE  APPLICABILITY  THEREOF  TO  ANY
GOVERNMENT, AGENCY, PERSON, OR CIRCUMSTANCE SHALL NOT BE AFFECTED THERE-
BY. IF A PORTION OF THIS COMPACT IS HELD CONTRARY TO THE CONSTITUTION OF
ANY PARTY STATE, ALL OTHER PORTIONS OF THIS COMPACT SHALL REMAIN IN FULL
FORCE  AND EFFECT AS TO THE REMAINING PARTY STATES AND IN FULL FORCE AND
EFFECT AS TO THE PARTY STATE AFFECTED, AS TO ALL OTHER PROVISIONS.

                  ARTICLE XI--ADJUDICATION OF DISPUTES

  (A) THE COUNCIL SHALL:
  1. HAVE INITIAL AUTHORITY TO MAKE DETERMINATIONS WITH RESPECT  TO  ANY
DISPUTE REGARDING:
  A. INTERPRETATION OF THIS COMPACT;
  B. ANY RULE OR STANDARD ESTABLISHED BY THE COUNCIL PURSUANT TO ARTICLE
V; AND
  C. ANY DISPUTE OR CONTROVERSY BETWEEN ANY PARTIES TO THIS COMPACT; AND
  2. HOLD A HEARING CONCERNING ANY DISPUTE DESCRIBED IN PARAGRAPH ONE OF
THIS  SUBDIVISION  AT  A  REGULARLY SCHEDULED MEETING OF THE COUNCIL AND
ONLY RENDER A DECISION BASED UPON A MAJORITY VOTE OF THE MEMBERS OF  THE
COUNCIL.   SUCH DECISION SHALL BE PUBLISHED PURSUANT TO THE REQUIREMENTS
OF SUBDIVISION (E) OF ARTICLE VI.
  (B) THE FBI SHALL EXERCISE IMMEDIATE AND NECESSARY ACTION TO  PRESERVE
THE  INTEGRITY  OF THE III SYSTEM, MAINTAIN SYSTEM POLICY AND STANDARDS,
PROTECT THE ACCURACY AND PRIVACY OF  RECORDS,  AND  TO  PREVENT  ABUSES,
UNTIL THE COUNCIL HOLDS A HEARING ON SUCH MATTERS.
  (C) THE FBI OR A PARTY STATE MAY APPEAL ANY DECISION OF THE COUNCIL TO
THE  ATTORNEY  GENERAL,  AND THEREAFTER MAY FILE SUIT IN THE APPROPRIATE
DISTRICT COURT OF THE UNITED STATES, WHICH SHALL HAVE ORIGINAL JURISDIC-
TION OF ALL CASES OR CONTROVERSIES ARISING UNDER THIS COMPACT.  ANY SUIT
ARISING UNDER THIS COMPACT AND INITIATED  IN  A  STATE  COURT  SHALL  BE
REMOVED  TO  THE  APPROPRIATE DISTRICT COURT OF THE UNITED STATES IN THE
MANNER  PROVIDED  BY  SECTION  FOURTEEN  HUNDRED  FORTY-SIX   OF   TITLE
TWENTY-EIGHT OF THE UNITED STATES CODE, OR OTHER STATUTORY AUTHORITY.
  S 2. This act shall take effect immediately.

                                 PART E

  Section  1. Section 2 of chapter 887 of the laws of 1983, amending the
correction law relating to the psychological testing of  candidates,  as

S. 2605                            20                            A. 3005

amended  by  section  1  of part A of chapter 57 of the laws of 2011, is
amended to read as follows:
  S 2. This act shall take effect on the one hundred eightieth day after
it  shall  have become a law [and shall remain in effect until September
1, 2013].
  S 2. Section 3 of chapter 428 of the laws of 1999, amending the execu-
tive law and the  criminal  procedure  law  relating  to  expanding  the
geographic  area of employment of certain police officers, as amended by
section 2 of part A of chapter 57 of the laws of  2011,  is  amended  to
read as follows:
  S  3.  This  act  shall  take effect on the first day of November next
succeeding the date on which it shall  have  become  a  law,  and  shall
remain  in effect until the first day of September, [2013] 2015, when it
shall expire and be deemed repealed.
  S 3. Section 3 of chapter 886  of  the  laws  of  1972,  amending  the
correction  law  and  the  penal  law  relating to prisoner furloughs in
certain cases and the crime  of  absconding  therefrom,  as  amended  by
section  3  of  part  A of chapter 57 of the laws of 2011, is amended to
read as follows:
  S 3. This act shall take effect 60 days after it shall have  become  a
law [and shall remain in effect until September 1, 2013].
  S  4. Section 20 of chapter 261 of the laws of 1987, amending chapters
50, 53 and 54 of the laws of 1987, the correction law, the penal law and
other chapters and laws relating to correctional facilities, as  amended
by  section 4 of part A of chapter 57 of the laws of 2011, is amended to
read as follows:
  S 20. This act shall take  effect  immediately  [except  that  section
thirteen  of  this act shall expire and be of no further force or effect
on and after September 1, 2013] and shall not apply to persons committed
to the custody of the department after such date, and  provided  further
that the commissioner of correctional services shall report each January
first  and July first during such time as the earned eligibility program
is in effect, to the chairmen of the senate  crime  victims,  crime  and
correction   committee,   the   senate  codes  committee,  the  assembly
correction committee, and the assembly codes committee, the standards in
effect for earned eligibility during the  prior  six-month  period,  the
number  of  inmates subject to the provisions of earned eligibility, the
number who actually received certificates of earned  eligibility  during
that  period  of  time,  the number of inmates with certificates who are
granted parole upon their first consideration  for  parole,  the  number
with  certificates who are denied parole upon their first consideration,
and the number of individuals granted and denied parole who did not have
earned eligibility certificates.
  S 5. Subdivision (q) of section 427 of chapter 55 of the laws of 1992,
amending the tax law and other laws relating to taxes, surcharges,  fees
and funding, as amended by section 5 of part A of chapter 57 of the laws
of 2011, is amended to read as follows:
  (q)  the  provisions  of  section  two hundred eighty-four of this act
shall remain in effect until September 1, [2013] 2015 and be  applicable
to all persons entering the program on or before August 31, [2013] 2015.
  S  6.  Section  10  of  chapter  339 of the laws of 1972, amending the
correction law and the  penal  law  relating  to  inmate  work  release,
furlough  and  leave, as amended by section 6 of part A of chapter 57 of
the laws of 2011, is amended to read as follows:
  S 10. This act shall take effect 30 days after it shall have become  a
law  [and  shall remain in effect until September 1, 2013], and provided

S. 2605                            21                            A. 3005

further that the commissioner of correctional services shall report each
January first, and July first, to  the  chairman  of  the  senate  crime
victims, crime and correction committee, the senate codes committee, the
assembly  correction  committee,  and  the assembly codes committee, the
number of eligible inmates  in  each  facility  under  the  custody  and
control  of  the  commissioner who have applied for participation in any
program offered under the  provisions  of  work  release,  furlough,  or
leave, and the number of such inmates who have been approved for partic-
ipation.
  S  7.  Subdivision (c) of section 46 of chapter 60 of the laws of 1994
relating to certain provisions which impact upon expenditure of  certain
appropriations made by chapter 50 of the laws of 1994 enacting the state
operations  budget,  as  amended by section 7 of part A of chapter 57 of
the laws of 2011, is amended to read as follows:
  (c) sections forty-one and forty-two of this act [shall expire Septem-
ber 1, 2013; provided, that the provisions of section forty-two of  this
act]  shall  apply  to  inmates  entering the work release program on or
after such effective date; and
  S 8.  Subdivision h of section 74 of chapter 3 of the  laws  of  1995,
amending the correction law and other laws relating to the incarceration
fee,  as  amended  by  section  9 of part A of chapter 57 of the laws of
2011, is amended to read as follows:
  h. Section fifty-two of this act shall be deemed to have been in  full
force and effect on and after April 1, 1995; provided, however, that the
provisions  of  section 189 of the correction law, as amended by section
fifty-five of this act, subdivision 5 of section 60.35 of the penal law,
as amended by section fifty-six of this act, and section fifty-seven  of
this  act shall expire September 1, [2013] 2015, when upon such date the
amendments to the correction law and penal law made by  sections  fifty-
five  and  fifty-six  of  this act shall revert to and be read as if the
provisions of this act had not been  enacted;  provided,  however,  that
sections  sixty-two,  sixty-three  and  sixty-four  of this act shall be
deemed to have been in full force and effect on and after March 1,  1995
and  shall  be  deemed  repealed  April  1,  1996 and upon such date the
provisions of subsection (e) of section 9110 of the  insurance  law  and
subdivision  2  of section 89-d of the state finance law shall revert to
and be read as set out in law on  the  date  immediately  preceding  the
effective date of sections sixty-two and sixty-three of this act;
  S 9. Subdivision (z) of section 427 of chapter 55 of the laws of 1992,
amending  the tax law and other laws relating to taxes, surcharges, fees
and funding, as amended by section 10 of part A of  chapter  57  of  the
laws of 2011, is amended to read as follows:
  (z)  the  provisions  of  section three hundred eighty-one of this act
shall apply to all persons supervised by the department  of  corrections
and  community  supervision  on or after the effective date of this act,
provided however, that subdivision 9 of section 259-a of  the  executive
law,  as  added  by  section three hundred eighty-one of this act, shall
expire on September 1, [2013] 2015;
  S 10. Subdivision (aa) of section 427 of chapter 55  of  the  laws  of
1992, amending the tax law and other laws relating to taxes, surcharges,
fees  and  funding,  as amended by section 11 of part A of chapter 57 of
the laws of 2011, is amended to read as follows:
  (aa) the  provisions  of  sections  three  hundred  eighty-two,  three
hundred  eighty-three  and  three  hundred eighty-four of this act shall
expire on September 1, [2013] 2015;

S. 2605                            22                            A. 3005

  S 11. Section 12 of chapter 907 of the  laws  of  1984,  amending  the
correction  law,  the New York city criminal court act and the executive
law relating to prison and jail housing and  alternatives  to  detention
and  incarceration programs, as amended by section 12 of part A of chap-
ter 57 of the laws of 2011, is amended to read as follows:
  S  12.  This  act  shall  take  effect  immediately,  except  that the
provisions of sections one through ten of this act shall remain in  full
force  and  effect  until  September  1, [2013] 2015 on which date those
provisions shall be deemed to be repealed.
  S 12.  Subdivision (p) of section 406 of chapter 166 of  the  laws  of
1991,  amending the tax law and other laws relating to taxes, as amended
by section 13 of part A of chapter 57 of the laws of 2011, is amended to
read as follows:
  (p) The amendments to section 1809 of the vehicle and traffic law made
by sections three hundred thirty-seven and three hundred thirty-eight of
this act shall not apply to any offense committed prior to  such  effec-
tive  date;  provided,  further, that section three hundred forty-one of
this act shall take effect immediately and shall expire November 1, 1993
at which time it  shall  be  deemed  repealed;  sections  three  hundred
forty-five  and  three  hundred  forty-six of this act shall take effect
July 1, 1991; sections three hundred fifty-five,  three  hundred  fifty-
six,  three hundred fifty-seven and three hundred fifty-nine of this act
shall take effect immediately and shall expire June 30, 1995  and  shall
revert to and be read as if this act had not been enacted; section three
hundred  fifty-eight of this act shall take effect immediately and shall
expire June 30, 1998 and shall revert to and be read as if this act  had
not been enacted; section three hundred sixty-four through three hundred
sixty-seven  of  this  act  shall apply to claims filed on or after such
effective date; sections three hundred sixty-nine, three hundred  seven-
ty-two,  three  hundred seventy-three, three hundred seventy-four, three
hundred seventy-five and three hundred seventy-six  of  this  act  shall
remain  in  effect  until  September  1, [2013] 2015, at which time they
shall  be  deemed  repealed;  provided,  however,  that  the   mandatory
surcharge  provided  in  section  three hundred seventy-four of this act
shall apply to parking violations occurring on or after  said  effective
date;  and  provided  further that the amendments made to section 235 of
the vehicle and traffic law by section three hundred seventy-two of this
act, the amendments made to section 1809 of the vehicle and traffic  law
by sections three hundred thirty-seven and three hundred thirty-eight of
this  act  and  the amendments made to section 215-a of the labor law by
section three hundred seventy-five of this act shall expire on September
1, [2013] 2015 and upon such date the provisions  of  such  subdivisions
and  sections  shall  revert to and be read as if the provisions of this
act had not been enacted; the amendments to  subdivisions  2  and  3  of
section  400.05 of the penal law made by sections three hundred seventy-
seven and three hundred seventy-eight of this act shall expire  on  July
1,  1992  and  upon  such date the provisions of such subdivisions shall
revert and shall be read as if the provisions of this act had  not  been
enacted;  the  state board of law examiners shall take such action as is
necessary to assure that all applicants for examination for admission to
practice as an attorney and counsellor at law shall  pay  the  increased
examination fee provided for by the amendment made to section 465 of the
judiciary  law by section three hundred eighty of this act for any exam-
ination given on or after the effective date of this act notwithstanding
that an applicant for such examination may have prepaid a lesser fee for
such examination as required by the provisions of such section 465 as of

S. 2605                            23                            A. 3005

the date prior to the effective date of  this  act;  the  provisions  of
section  306-a  of  the civil practice law and rules as added by section
three hundred eighty-one of this act shall apply to all actions  pending
on  or  commenced on or after September 1, 1991, provided, however, that
for the purposes of this section service of such summons made  prior  to
such  date  shall be deemed to have been completed on September 1, 1991;
the provisions of section three hundred eighty-three of this  act  shall
apply  to  all  money  deposited  in  connection  with  a cash bail or a
partially secured bail bond on or after such  effective  date;  and  the
provisions  of  sections  three  hundred  eighty-four  and three hundred
eighty-five of this act shall  apply  only  to  jury  service  commenced
during  a judicial term beginning on or after the effective date of this
act; provided, however, that nothing contained herein shall be deemed to
affect the application,  qualification,  expiration  or  repeal  of  any
provision  of law amended by any section of this act and such provisions
shall be applied or qualified or shall expire or be deemed  repealed  in
the same manner, to the same extent and on the same date as the case may
be as otherwise provided by law;
  S 13. Subdivision 8 of section 1809 of the vehicle and traffic law, as
amended  by  section  14 of part A of chapter 57 of the laws of 2011, is
amended to read as follows:
  8. The provisions of this section shall only apply to offenses commit-
ted on or before September first, two thousand [thirteen] FIFTEEN.
  S 14. Section 6 of chapter 713 of the laws of 1988, amending the vehi-
cle and traffic law relating to the ignition interlock  device  program,
as amended by section 15 of part A of chapter 57 of the laws of 2011, is
amended to read as follows:
  S  6.  This  act  shall  take  effect  on  the first day of April next
succeeding the date on which it  shall  have  become  a  law;  provided,
however,  that  effective immediately, the addition, amendment or repeal
of any rule or regulation necessary for the implementation of the  fore-
going  sections  of  this  act on their effective date is authorized and
directed to be made and completed on or before such effective  date  and
shall  remain in full force and effect until the first day of September,
[2013] 2015 when upon such date the provisions  of  this  act  shall  be
deemed repealed.
  S 15. Paragraph a of subdivision 6 of section 76 of chapter 435 of the
laws of 1997, amending the military law and other laws relating to vari-
ous  provisions, as amended by section 16 of part A of chapter 57 of the
laws of 2011, is amended to read as follows:
  a. sections forty-three through forty-five of this  act  shall  expire
and be deemed repealed on September 1, [2013] 2015;
  S 16. Section 4 of part D of chapter 412 of the laws of 1999, amending
the civil practice law and rules and the court of claims act relating to
prisoner  litigation reform, as amended by section 17 of part A of chap-
ter 57 of the laws of 2011, is amended to read as follows:
  S 4. This act shall take effect 120 days after it shall have become  a
law  and shall remain in full force and effect until September 1, [2013]
2015, when upon such date it shall expire.
  S 17. Subdivision 2 of section 59 of chapter 222 of the laws of  1994,
constituting  the  family  protection and domestic violence intervention
act of 1994, as amended by section 18 of part A of  chapter  57  of  the
laws of 2011, is amended to read as follows:
  2.  Subdivision  4  of section 140.10 of the criminal procedure law as
added by section thirty-two of this act shall  take  effect  January  1,

S. 2605                            24                            A. 3005

1996  and  shall  expire  and  be deemed repealed on September 1, [2013]
2015.
  S 18. Section 5 of chapter 505 of the laws of 1985, amending the crim-
inal  procedure law relating to the use of closed-circuit television and
other protective measures for certain child  witnesses,  as  amended  by
section  19  of  part A of chapter 57 of the laws of 2011, is amended to
read as follows:
  S 5. This act shall take effect immediately and  shall  apply  to  all
criminal  actions  and proceedings commenced prior to the effective date
of this act but still pending on such  date  as  well  as  all  criminal
actions  and  proceedings  commenced on or after such effective date and
its provisions shall expire on  September 1, [2013] 2015, when upon such
date the provisions of this act shall be deemed repealed.
  S 19. Subdivision d of section 74 of chapter 3 of the  laws  of  1995,
enacting  the sentencing reform act of 1995, as amended by section 20 of
part A of chapter 57 of the laws of 2011, is amended to read as follows:
  d. Sections one-a through twenty,  twenty-four  through  twenty-eight,
thirty  through  thirty-nine, forty-two and forty-four of this act shall
be deemed repealed on September 1, [2013] 2015;
  S 20. Section 2 of chapter 689 of the laws of 1993 amending the crimi-
nal procedure law relating to electronic  court  appearance  in  certain
counties,  as  amended by section 21 of part A of chapter 57 of the laws
of 2011, is amended to read as follows:
  S  2.  This  act  shall  take  effect  immediately,  except  that  the
provisions  of  this  act shall be deemed to have been in full force and
effect since July 1, 1992 and the provisions of this  act  shall  expire
September  1, [2013] 2015 when upon such date the provisions of this act
shall be deemed repealed.
  S 21. Section 3 of chapter 688 of the laws of 2003, amending the exec-
utive law relating to enacting the interstate compact for adult offender
supervision, as amended by section 22 of part A of  chapter  57  of  the
laws of 2011, is amended to read as follows:
  S  3.  This act shall take effect immediately, except that section one
of this act shall take effect on the first of  January  next  succeeding
the  date  on  which  it  shall  have become a law[, and shall remain in
effect until the first of September, 2013,  upon  which  date  this  act
shall be deemed repealed and have no further force and effect]; provided
that  section one of this act shall only take effect with respect to any
compacting state  which  has  enacted  an  interstate  compact  entitled
"Interstate  compact for adult offender supervision" and having an iden-
tical effect to that added by section  one  of  this  act  and  provided
further  that with respect to any such compacting state, upon the effec-
tive date of section one of this act, section 259-m of the executive law
is hereby deemed REPEALED and section 259-mm of the  executive  law,  as
added  by  section  one  of  this  act,  shall take effect; and provided
further that with respect to any state which has not enacted  an  inter-
state  compact  entitled  "Interstate  compact for adult offender super-
vision" and having an identical effect to that added by section  one  of
this  act,  section 259-m of the executive law shall take effect and the
provisions of section one of this act, with respect to any  such  state,
shall  have no force or effect until such time as such state shall adopt
an interstate compact entitled "Interstate compact  for  adult  offender
supervision" and having an identical effect to that added by section one
of  this  act in which case, with respect to such state, effective imme-
diately, section 259-m of the  executive  law  is  deemed  repealed  and

S. 2605                            25                            A. 3005

section  259-mm  of  the  executive law, as added by section one of this
act, shall take effect.
  S  22. Section 8 of part H of chapter 56 of the laws of 2009, amending
the correction law relating to limiting the closing of  certain  correc-
tional  facilities,  providing  for  the  custody  by  the department of
correctional services of inmates serving definite  sentences,  providing
for  custody  of  federal prisoners and requiring the closing of certain
correctional facilities, as amended by section 23 of part A  of  chapter
57 of the laws of 2011, is amended to read as follows:
  S  8.  This  act shall take effect immediately; provided, however that
sections five and six of this act shall expire and  be  deemed  repealed
September 1, [2013] 2015.
  S  23. Section 3 of part C of chapter 152 of the laws of 2001 amending
the military law relating to military funds of the organized militia, as
amended by section 25 of part A of chapter 57 of the laws  of  2011,  is
amended to read as follows:
  S  3.  This act shall take effect on the same date as the reversion of
subdivision 5 of section 183 and subdivision 1 of  section  221  of  the
military  law  as  provided  by section 76 of chapter 435 of the laws of
1997, as amended by section 1 of chapter 19 of the laws of 1999 notwith-
standing this act shall be deemed to have been in full force and  effect
on  and  after  July  31, 2005 and shall remain in full force and effect
until September 1, [2013] 2015  when  upon  such  date  this  act  shall
expire.
  S 24. This act shall take effect immediately.

                                 PART F

  Section  1.  Section  2  of  part H of chapter 503 of the laws of 2009
relating to the disposition  of  monies  recovered  by  county  district
attorneys  before  the filing of an accusatory instrument, as amended by
section 1 of part F of chapter 55 of the laws of  2012,  is  amended  to
read as follows:
  S  2.  This act shall take effect immediately and shall remain in full
force and effect until March 31, [2013] 2014, when it shall  expire  and
be deemed repealed.
  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, 2013.

                                 PART G

  Section 1. Legislative findings and intent. The legislature finds that
local governments and school districts are facing increased stress  from
rising  costs  including  employee pension obligations.  Ultimately, the
growth in pension costs results in greater stress on the  already  over-
burdened taxpayer.
  It  is  the  intent  of the legislature to offer local governments and
school districts the option to lock-in to  a  long-term  stable  pension
contribution  rate. The intent is to provide local governments with more
stability and predictability for pension obligations,  while  simultane-
ously ensuring the adequacy of pension system funding.
  It  is  the intent of the legislature to authorize the comptroller and
the New York state teachers' retirement  system  board  to  establish  a
long-term  stable  contribution option assuming a baseline term of twen-
ty-five years.   If the comptroller and the  New  York  state  teachers'
retirement system board elect to implement this act, the comptroller and

S. 2605                            26                            A. 3005

the   New  York  state  teachers'  retirement  system  board,  at  their
discretion, will determine whether such baseline term shall be increased
or decreased, as appropriate to ensure adequate pension system  funding.
It  is  the  intent  of the legislature that the comptroller and the New
York  state  teachers'  retirement  system  board,  subject   to   their
discretion,  strive  to  minimize any extension of such baseline term or
terms, to the extent possible, and to the extent an extension is  neces-
sary,  limit  any extension of such baseline term or terms not to exceed
five additional years, to the extent possible, while  ensuring  adequate
pension system funding over the full term of this option.
  S 2. The retirement and social security law is amended by adding a new
section 17-e to read as follows:
  S 17-E. LONG-TERM STABLE CONTRIBUTION OPTION FOR PARTICIPATING MUNICI-
PAL  EMPLOYERS  FOR  THE  TWO  THOUSAND  THIRTEEN--TWO THOUSAND FOURTEEN
FISCAL YEAR. A. IN ADDITION TO THE DEFINITIONS IN SECTION  TWO  OF  THIS
ARTICLE, WHEN USED IN THIS SECTION:
  (1)  "PARTICIPATING  MUNICIPAL  EMPLOYER"  SHALL  MEAN A COUNTY, CITY,
TOWN, VILLAGE OR SCHOOL DISTRICT WHO ELECTS TO PAY THE  STABLE  CONTRIB-
UTION AMOUNT IN THE MANNER PROVIDED IN THIS SECTION.
  (2)  "STABLE CONTRIBUTION AMOUNT" SHALL MEAN AN AMOUNT EQUAL TO TWELVE
PERCENT OF THE ESTIMATED PENSIONABLE SALARY BASE (EXCLUSIVE OF  PAYMENTS
FOR GROUP TERM LIFE INSURANCE, DEFICIENCY PAYMENTS, ADJUSTMENTS RELATING
TO PRIOR FISCAL YEARS' OBLIGATIONS, OBLIGATIONS PERTAINING TO RETIREMENT
INCENTIVES AND AMORTIZED PAYMENTS PURSUANT TO SECTION NINETEEN-A OF THIS
TITLE  OR  ANY OTHER OBLIGATIONS THAT A PARTICIPATING MUNICIPAL EMPLOYER
IS PERMITTED TO PAY ON AN AMORTIZED BASIS).
  (3) "STABLE CONTRIBUTION RATE" SHALL MEAN TWELVE PERCENT.
  B. NOTWITHSTANDING THE PROVISIONS OF THIS CHAPTER OR ANY OTHER LAW  TO
THE  CONTRARY,  THE  COMPTROLLER,  IN  HIS OR HER DISCRETION, SHALL HAVE
AUTHORITY TO IMPLEMENT THE PROVISIONS OF  THIS  SECTION.  IF  THE  COMP-
TROLLER  ELECTS  TO  IMPLEMENT  THE  PROVISIONS  OF  THIS  SECTION,  THE
PROVISIONS OF THIS SECTION SHALL APPLY TO THE PAYMENT  OF  PARTICIPATING
MUNICIPAL EMPLOYER CONTRIBUTIONS FOR THE FISCAL YEAR COMMENCING ON APRIL
FIRST, TWO THOUSAND THIRTEEN, AND FOR SUBSEQUENT FISCAL YEARS.
  C. FOR EACH FISCAL YEAR TO WHICH THE PROVISIONS OF THIS SECTION APPLY,
THE COMPTROLLER SHALL USE THE STABLE CONTRIBUTION RATE FOR PARTICIPATING
MUNICIPAL EMPLOYERS.
  D.  IF  THE COMPTROLLER, IN HIS OR HER DISCRETION, DECIDES TO PERMIT A
STABLE EMPLOYER CONTRIBUTION OPTION PURSUANT TO THIS SECTION, THEN,  THE
COMPTROLLER SHALL DETERMINE THE STABLE CONTRIBUTION AMOUNT FOR A PARTIC-
IPATING MUNICIPAL EMPLOYER PURSUANT TO PARAGRAPH TWO OF SUBDIVISION A OF
THIS  SECTION.  SUCH  CONTRIBUTION SHALL BE IN LIEU OF THE PARTICIPATING
MUNICIPAL EMPLOYER'S NORMAL AND  ADMINISTRATIVE  CONTRIBUTIONS  FOR  THE
FISCAL  YEAR  DETERMINED  IN  ACCORDANCE  WITH SECTIONS TWENTY-THREE AND
TWENTY-THREE-A OF THIS ARTICLE.
  E. PARTICIPATING MUNICIPAL EMPLOYERS  ARE  AUTHORIZED  TO  CHOOSE  THE
STABLE  EMPLOYER  CONTRIBUTION OPTION WITH REGARD TO THE FEBRUARY FIRST,
TWO THOUSAND FOURTEEN PENSION BILL. A PARTICIPATING MUNICIPAL  EMPLOYER,
MAY, IN LIEU OF PAYING ITS NORMAL AND ADMINISTRATIVE FEBRUARY FIRST, TWO
THOUSAND FOURTEEN PENSION BILL, PAY THE STABLE CONTRIBUTION AMOUNT. SUCH
PARTICIPATING  MUNICIPAL  EMPLOYER  SHALL  PAY  THE  STABLE CONTRIBUTION
AMOUNT FOR A PERIOD OF TWENTY-FIVE YEARS PROVIDED,  HOWEVER,  THAT  SUCH
TWENTY-FIVE  YEAR PERIOD MAY BE INCREASED OR DECREASED AT THE DISCRETION
OF THE COMPTROLLER PURSUANT TO  SUBDIVISION  K  OF  THIS  SECTION.  THIS
LONG-TERM  STABLE  CONTRIBUTION OPTION SHALL COMMENCE IN THE FISCAL YEAR

S. 2605                            27                            A. 3005

ENDING MARCH THIRTY-FIRST, TWO THOUSAND FOURTEEN AND SHALL  END  AT  THE
DISCRETION OF THE COMPTROLLER PURSUANT TO SUBDIVISION K OF THIS SECTION.
  F. ANY PARTICIPATING MUNICIPAL EMPLOYER WHICH ELECTS TO PAY THE STABLE
CONTRIBUTION  AMOUNT  PURSUANT  TO SUBDIVISIONS A, B, C, D AND E OF THIS
SECTION SHALL PAY THE AMOUNT BASED ON THE STABLE CONTRIBUTION RATE FOR A
PERIOD OF TWENTY-FIVE  YEARS,  SUCH  TERM  AS  SUBJECT  TO  INCREASE  OR
DECREASE  AT THE DISCRETION OF THE COMPTROLLER PURSUANT TO SUBDIVISION K
OF THIS SECTION. THIS LONG-TERM STABLE CONTRIBUTION  SHALL  COMMENCE  IN
THE  FISCAL  YEAR  ENDING  MARCH THIRTY-FIRST, TWO THOUSAND FOURTEEN AND
SHALL END AT THE DISCRETION OF THE COMPTROLLER PURSUANT TO SUBDIVISION K
OF THIS SECTION. UPON COMPLETION OF SUCH LONG-TERM  STABLE  CONTRIBUTION
OPTION,  THE PARTICIPATING MUNICIPAL EMPLOYER SHALL RESUME PAYING NORMAL
AND  ADMINISTRATIVE  EMPLOYER   CONTRIBUTIONS   PURSUANT   TO   SECTIONS
TWENTY-THREE AND TWENTY-THREE-A OF THIS ARTICLE.
  G.  A  PARTICIPATING  MUNICIPAL  EMPLOYER MAKING A PAYMENT PURSUANT TO
SUBDIVISIONS A, B, C, D, E AND F OF THIS SECTION SHALL PAY  ON  FEBRUARY
FIRST,  TWO THOUSAND FOURTEEN AN AMOUNT DETERMINED BY THE COMPTROLLER BY
ADDING THE FOLLOWING TWO AMOUNTS TOGETHER:
  (1) THE STABLE CONTRIBUTION AMOUNT CALCULATED PURSUANT TO SUBDIVISIONS
A, B, C, D, E AND F OF THIS SECTION; AND
  (2) PAYMENTS FOR  GROUP  TERM  LIFE  INSURANCE,  DEFICIENCY  PAYMENTS,
ADJUSTMENTS  RELATING  TO  PRIOR  FISCAL YEARS' OBLIGATIONS, OBLIGATIONS
PERTAINING TO RETIREMENT INCENTIVES AND AMORTIZED PAYMENTS  PURSUANT  TO
SECTION NINETEEN-A OF THIS TITLE OR ANY OTHER OBLIGATIONS THAT A PARTIC-
IPATING MUNICIPAL EMPLOYER IS PERMITTED TO PAY ON AN AMORTIZED BASIS.
  H.  THE STABLE CONTRIBUTION AMOUNT MUST BE PAID IN FULL BY PARTICIPAT-
ING MUNICIPAL EMPLOYERS ON THE  DATE  SET  FORTH  IN  SUBDIVISION  C  OF
SECTION SEVENTEEN OF THIS TITLE.
  I.  A  PARTICIPATING  MUNICIPAL  EMPLOYER  WHICH  ELECTS THE LONG-TERM
STABLE CONTRIBUTION OPTION  SHALL  BE  PROHIBITED  FROM  AMORTIZING  ANY
PORTION  OF  ITS  FUTURE  PENSION  BILL PURSUANT TO THE OPTION OTHERWISE
AVAILABLE IN SECTION NINETEEN-A OF THIS TITLE.
  J. THE COMPTROLLER IS AUTHORIZED TO EVALUATE THE  STABLE  CONTRIBUTION
RATE  USED  TO  CALCULATE  PARTICIPATING MUNICIPAL EMPLOYER CONTRIBUTION
AMOUNTS IN THE FISCAL YEAR  COMMENCING  ON  APRIL  FIRST,  TWO  THOUSAND
SEVENTEEN AND SUBSEQUENTLY IN THE FISCAL YEAR COMMENCING ON APRIL FIRST,
TWO  THOUSAND TWENTY-TWO.  SUCH EVALUATION SHALL BE BASED ON A LONG-TERM
PROJECTION OF ASSETS AND LIABILITIES SO AS TO ENSURE THAT  CONTRIBUTIONS
BY  MUNICIPAL  EMPLOYERS  WHICH  PARTICIPATE  IN  THE  LONG-TERM  STABLE
CONTRIBUTION OPTION ARE ADEQUATE TO ENSURE THAT SYSTEM ASSETS  OVER  THE
LONG-TERM STABLE CONTRIBUTION OPTION PERIOD ARE SUFFICIENT TO FUND BENE-
FITS FOR ACTIVE AND RETIRED MEMBERS ASSOCIATED WITH PARTICIPATING MUNIC-
IPAL  EMPLOYERS.  THE  COMPTROLLER  IS AUTHORIZED TO INCREASE THE STABLE
CONTRIBUTION RATE BY UP TO TWO PERCENTAGE POINTS AT SUCH  FIVE-YEAR  AND
SUBSEQUENT  TEN-YEAR  EVALUATION.  THE  REVISED STABLE CONTRIBUTION RATE
RESULTING FROM THE FIVE AND SUBSEQUENT TEN-YEAR EVALUATIONS MAY NOT,  IN
COMBINATION,  EXCEED  SIXTEEN  PERCENT. THE COMPTROLLER IS AUTHORIZED TO
DECREASE THE STABLE CONTRIBUTION RATE IF WARRANTED AT THE TEN-YEAR EVAL-
UATION BUT IN NO EVENT SHALL THE STABLE CONTRIBUTION RATE BE  LESS  THAN
TWELVE PERCENT.
  K.  (1) THE BASELINE LONG-TERM STABLE CONTRIBUTION TERM SHALL BE TWEN-
TY-FIVE  YEARS.  PROVIDED,  HOWEVER,  SUCH  BASELINE  LONG-TERM   STABLE
CONTRIBUTION  TERM  MAY  EVENTUALLY  BE  INCREASED  OR DECREASED, AT THE
DISCRETION OF THE COMPTROLLER, SO AS TO ENSURE THAT  SYSTEM  ASSETS  ARE
SUFFICIENT  TO  FUND  BENEFITS FOR ACTIVE AND RETIRED MEMBERS ASSOCIATED
WITH PARTICIPATING MUNICIPAL EMPLOYERS.

S. 2605                            28                            A. 3005

  (2) THE COMPTROLLER IS AUTHORIZED TO EVALUATE THE  BASELINE  LONG-TERM
STABLE CONTRIBUTION TERM EVERY FIVE YEARS AFTER THE FISCAL YEAR COMMENC-
ING  ON APRIL FIRST, TWO THOUSAND THIRTEEN. SUCH EVALUATION SHALL INFORM
PARTICIPATING MUNICIPAL EMPLOYERS WHETHER THE BASELINE LONG-TERM  STABLE
CONTRIBUTION  TERM IS EXPECTED TO INCREASE OR DECREASE PURSUANT TO PARA-
GRAPH ONE OF THIS SUBDIVISION AND  THE  DURATION  OF  SUCH  INCREASE  OR
DECREASE.
  L.  A  PARTICIPATING MUNICIPAL EMPLOYER MAY ELECT TO TERMINATE PARTIC-
IPATION IN THE LONG-TERM STABLE CONTRIBUTION OPTION AND  RESUME  PAYMENT
OF  THE  NORMAL  AND  ADMINISTRATIVE  CONTRIBUTIONS  IN  ACCORDANCE WITH
SECTIONS TWENTY-THREE AND  TWENTY-THREE-A  OF  THIS  ARTICLE.  PROVIDED,
HOWEVER,  THAT  SUCH  PARTICIPATING  MUNICIPAL  EMPLOYER WHICH ELECTS TO
TERMINATE PARTICIPATION SHALL MAKE A RECONCILIATION CONTRIBUTION TO  THE
RETIREMENT  SYSTEM,  AT  AN  AMOUNT TO BE DETERMINED BY THE COMPTROLLER,
ADEQUATE TO FUND THE BENEFITS FOR ACTIVE AND RETIRED MEMBERS  ASSOCIATED
WITH SUCH PARTICIPATING MUNICIPAL EMPLOYER HAD SUCH PARTICIPATING MUNIC-
IPAL EMPLOYER NOT ELECTED THE PROVISIONS OF THIS SECTION. SUCH RECONCIL-
IATION CONTRIBUTION SHALL BE MADE OVER A PERIOD NOT TO EXCEED FIVE YEARS
AND  SHALL BE MADE IN ADDITION TO THE NORMAL AND ADMINISTRATIVE CONTRIB-
UTIONS PURSUANT TO SECTIONS  TWENTY-THREE  AND  TWENTY-THREE-A  OF  THIS
ARTICLE  FOR  THE  FISCAL  YEAR  IN  WHICH  SUCH PARTICIPATING MUNICIPAL
EMPLOYER CHOOSES TO RESUME PAYMENT  OF  THE  NORMAL  AND  ADMINISTRATIVE
CONTRIBUTIONS  PURSUANT  TO  SECTIONS TWENTY-THREE AND TWENTY-THREE-A OF
THIS ARTICLE. TERMINATION OF THE LONG-TERM STABLE CONTRIBUTION OPTION BY
A PARTICIPATING MUNICIPAL  EMPLOYER  SHALL  BE  SUBJECT  TO  TIMING  AND
NOTIFICATION PROCEDURES ESTABLISHED BY THE COMPTROLLER.
  S  3.  Paragraph  1 of subdivision b of section 23-a of the retirement
and social security law, as added by section 1 of part A of  chapter  49
of the laws of 2003, is amended to read as follows:
  1.  revision  of the schedule pertaining to the valuation, billing and
payment of contributions  by  the  state  and  participating  employers,
EXCLUDING PARTICIPATING MUNICIPAL EMPLOYERS AS DEFINED IN SECTION SEVEN-
TEEN-E  OF  THIS  ARTICLE,  under  which the valuation of the assets and
liabilities of the retirement system, EXCLUDING THE ASSETS  AND  LIABIL-
ITIES  ASSOCIATED  WITH  PARTICIPATING MUNICIPAL EMPLOYERS AS DEFINED IN
SECTION SEVENTEEN-E OF THIS ARTICLE, undertaken on the first  day  of  a
fiscal  year  shall  be  used  to determine the contribution rates to be
applied to the pensionable  salaries  of  the  state  and  participating
employers, WITH THE EXCEPTION OF THE PENSIONABLE SALARIES OF PARTICIPAT-
ING  MUNICIPAL EMPLOYERS AS DEFINED IN SECTION SEVENTEEN-E OF THIS ARTI-
CLE, for the next succeeding fiscal year; and
  S 4. The retirement and social security law is amended by adding a new
section 317-e to read as follows:
  S 317-E. LONG-TERM STABLE CONTRIBUTION OPTION FOR PARTICIPATING MUNIC-
IPAL EMPLOYERS FOR THE  TWO  THOUSAND  THIRTEEN--TWO  THOUSAND  FOURTEEN
FISCAL  YEAR. A. IN ADDITION TO THE DEFINITIONS IN SECTION THREE HUNDRED
TWO OF THIS ARTICLE, WHEN USED IN THIS SECTION:
  (1) "PARTICIPATING MUNICIPAL EMPLOYER" SHALL MEAN A COUNTY, CITY, TOWN
OR VILLAGE WHO ELECTS TO PAY  THE  STABLE  CONTRIBUTION  AMOUNT  IN  THE
MANNER PROVIDED IN THIS SECTION.
  (2)  "STABLE  CONTRIBUTION AMOUNT" SHALL MEAN AN AMOUNT EQUAL TO EIGH-
TEEN AND FIVE-TENTHS PERCENT OF THE ESTIMATED  PENSIONABLE  SALARY  BASE
(EXCLUSIVE  OF  PAYMENTS  FOR  GROUP  TERM  LIFE  INSURANCE,  DEFICIENCY
PAYMENTS, ADJUSTMENTS RELATING TO PRIOR FISCAL YEARS' OBLIGATIONS, OBLI-
GATIONS PERTAINING  TO  RETIREMENT  INCENTIVES  AND  AMORTIZED  PAYMENTS
PURSUANT  TO SECTION THREE HUNDRED NINETEEN-A OF THIS TITLE OR ANY OTHER

S. 2605                            29                            A. 3005

OBLIGATIONS THAT A PARTICIPATING MUNICIPAL EMPLOYER IS PERMITTED TO  PAY
ON AN AMORTIZED BASIS).
  (3)  "STABLE  CONTRIBUTION  RATE"  SHALL MEAN EIGHTEEN AND FIVE-TENTHS
PERCENT.
  B. NOTWITHSTANDING THE PROVISIONS OF THIS CHAPTER OR ANY OTHER LAW  TO
THE  CONTRARY,  THE  COMPTROLLER,  IN  HIS OR HER DISCRETION, SHALL HAVE
AUTHORITY TO IMPLEMENT THE PROVISIONS OF  THIS  SECTION.  IF  THE  COMP-
TROLLER  ELECTS  TO  IMPLEMENT  THE  PROVISIONS  OF  THIS  SECTION,  THE
PROVISIONS OF THIS SECTION SHALL APPLY TO THE PAYMENT  OF  PARTICIPATING
MUNICIPAL EMPLOYER CONTRIBUTIONS FOR THE FISCAL YEAR COMMENCING ON APRIL
FIRST, TWO THOUSAND THIRTEEN, AND FOR SUBSEQUENT FISCAL YEARS.
  C. FOR EACH FISCAL YEAR TO WHICH THE PROVISIONS OF THIS SECTION APPLY,
THE COMPTROLLER SHALL USE THE STABLE CONTRIBUTION RATE FOR PARTICIPATING
MUNICIPAL EMPLOYERS.
  D.  IF  THE COMPTROLLER, IN HIS OR HER DISCRETION, DECIDES TO PERMIT A
STABLE EMPLOYER CONTRIBUTION OPTION PURSUANT TO THIS SECTION, THEN,  THE
COMPTROLLER SHALL DETERMINE THE STABLE CONTRIBUTION AMOUNT FOR A PARTIC-
IPATING MUNICIPAL EMPLOYER PURSUANT TO PARAGRAPH TWO OF SUBDIVISION A OF
THIS  SECTION.  SUCH  CONTRIBUTION SHALL BE IN LIEU OF THE PARTICIPATING
MUNICIPAL EMPLOYER'S NORMAL AND  ADMINISTRATIVE  CONTRIBUTIONS  FOR  THE
FISCAL  YEAR  DETERMINED IN ACCORDANCE WITH SECTIONS THREE HUNDRED TWEN-
TY-THREE AND THREE HUNDRED TWENTY-THREE-A OF THIS ARTICLE.
  E. PARTICIPATING MUNICIPAL EMPLOYERS  ARE  AUTHORIZED  TO  CHOOSE  THE
STABLE  EMPLOYER  CONTRIBUTION OPTION WITH REGARD TO THE FEBRUARY FIRST,
TWO THOUSAND FOURTEEN PENSION BILL. A PARTICIPATING MUNICIPAL  EMPLOYER,
MAY, IN LIEU OF PAYING ITS NORMAL AND ADMINISTRATIVE FEBRUARY FIRST, TWO
THOUSAND FOURTEEN PENSION BILL, PAY THE STABLE CONTRIBUTION AMOUNT. SUCH
PARTICIPATING  MUNICIPAL  EMPLOYER  SHALL  PAY  THE  STABLE CONTRIBUTION
AMOUNT FOR A PERIOD OF TWENTY-FIVE YEARS PROVIDED,  HOWEVER,  THAT  SUCH
TWENTY-FIVE  YEAR PERIOD MAY BE INCREASED OR DECREASED AT THE DISCRETION
OF THE COMPTROLLER PURSUANT TO  SUBDIVISION  K  OF  THIS  SECTION.  THIS
LONG-TERM  STABLE  CONTRIBUTION OPTION SHALL COMMENCE IN THE FISCAL YEAR
ENDING MARCH THIRTY-FIRST, TWO THOUSAND FOURTEEN AND SHALL  END  AT  THE
DISCRETION OF THE COMPTROLLER PURSUANT TO SUBDIVISION K OF THIS SECTION.
  F. ANY PARTICIPATING MUNICIPAL EMPLOYER WHICH ELECTS TO PAY THE STABLE
CONTRIBUTION  AMOUNT  PURSUANT  TO SUBDIVISIONS A, B, C, D AND E OF THIS
SECTION SHALL PAY THE AMOUNT BASED ON THE STABLE CONTRIBUTION RATE FOR A
PERIOD OF TWENTY-FIVE  YEARS,  SUCH  TERM  AS  SUBJECT  TO  INCREASE  OR
DECREASE  AT THE DISCRETION OF THE COMPTROLLER PURSUANT TO SUBDIVISION K
OF THIS SECTION. THIS LONG-TERM STABLE CONTRIBUTION  SHALL  COMMENCE  IN
THE  FISCAL  YEAR  ENDING  MARCH THIRTY-FIRST, TWO THOUSAND FOURTEEN AND
SHALL END AT THE DISCRETION OF THE COMPTROLLER PURSUANT TO SUBDIVISION K
OF THIS SECTION. UPON COMPLETION OF SUCH LONG-TERM  STABLE  CONTRIBUTION
OPTION,  THE PARTICIPATING MUNICIPAL EMPLOYER SHALL RESUME PAYING NORMAL
AND ADMINISTRATIVE EMPLOYER CONTRIBUTIONS  PURSUANT  TO  SECTIONS  THREE
HUNDRED TWENTY-THREE AND THREE HUNDRED TWENTY-THREE-A OF THIS ARTICLE.
  G.  A  PARTICIPATING  MUNICIPAL  EMPLOYER MAKING A PAYMENT PURSUANT TO
SUBDIVISIONS A, B, C, D, E AND F OF THIS SECTION SHALL PAY  ON  FEBRUARY
FIRST,  TWO THOUSAND FOURTEEN AN AMOUNT DETERMINED BY THE COMPTROLLER BY
ADDING THE FOLLOWING TWO AMOUNTS TOGETHER:
  (1) THE STABLE CONTRIBUTION AMOUNT CALCULATED PURSUANT TO SUBDIVISIONS
A, B, C, D, E AND F OF THIS SECTION; AND
  (2) PAYMENTS FOR  GROUP  TERM  LIFE  INSURANCE,  DEFICIENCY  PAYMENTS,
ADJUSTMENTS  RELATING  TO  PRIOR  FISCAL YEARS' OBLIGATIONS, OBLIGATIONS
PERTAINING TO RETIREMENT INCENTIVES AND AMORTIZED PAYMENTS  PURSUANT  TO
SECTION  THREE HUNDRED NINETEEN-A OF THIS TITLE OR ANY OTHER OBLIGATIONS

S. 2605                            30                            A. 3005

THAT A PARTICIPATING MUNICIPAL EMPLOYER IS PERMITTED TO PAY ON AN  AMOR-
TIZED BASIS.
  H.  THE STABLE CONTRIBUTION AMOUNT MUST BE PAID IN FULL BY PARTICIPAT-
ING MUNICIPAL EMPLOYERS ON THE  DATE  SET  FORTH  IN  SUBDIVISION  C  OF
SECTION THREE HUNDRED SEVENTEEN OF THIS TITLE.
  I.  A  PARTICIPATING  MUNICIPAL  EMPLOYER  WHICH  ELECTS THE LONG-TERM
STABLE CONTRIBUTION OPTION  SHALL  BE  PROHIBITED  FROM  AMORTIZING  ANY
PORTION  OF  ITS  FUTURE  PENSION  BILL PURSUANT TO THE OPTION OTHERWISE
AVAILABLE IN SECTION THREE HUNDRED NINETEEN-A OF THIS TITLE.
  J. THE COMPTROLLER IS AUTHORIZED TO EVALUATE THE  STABLE  CONTRIBUTION
RATE  USED  TO  CALCULATE  PARTICIPATING MUNICIPAL EMPLOYER CONTRIBUTION
AMOUNTS IN THE FISCAL YEAR  COMMENCING  ON  APRIL  FIRST,  TWO  THOUSAND
SEVENTEEN AND SUBSEQUENTLY IN THE FISCAL YEAR COMMENCING ON APRIL FIRST,
TWO  THOUSAND TWENTY-TWO.  SUCH EVALUATION SHALL BE BASED ON A LONG-TERM
PROJECTION OF ASSETS AND LIABILITIES SO AS TO ENSURE THAT  CONTRIBUTIONS
BY  MUNICIPAL  EMPLOYERS  WHICH  PARTICIPATE  IN  THE  LONG-TERM  STABLE
CONTRIBUTION OPTION ARE ADEQUATE TO ENSURE THAT SYSTEM ASSETS  OVER  THE
LONG-TERM STABLE CONTRIBUTION OPTION PERIOD ARE SUFFICIENT TO FUND BENE-
FITS FOR ACTIVE AND RETIRED MEMBERS ASSOCIATED WITH PARTICIPATING MUNIC-
IPAL  EMPLOYERS.  THE  COMPTROLLER  IS AUTHORIZED TO INCREASE THE STABLE
CONTRIBUTION RATE BY UP TO TWO PERCENTAGE POINTS AT SUCH  FIVE-YEAR  AND
SUBSEQUENT  TEN-YEAR  EVALUATION.  THE  REVISED STABLE CONTRIBUTION RATE
RESULTING FROM THE FIVE AND SUBSEQUENT TEN-YEAR EVALUATIONS MAY NOT,  IN
COMBINATION,  EXCEED TWENTY-TWO AND FIVE-TENTHS PERCENT. THE COMPTROLLER
IS AUTHORIZED TO DECREASE THE STABLE CONTRIBUTION RATE IF  WARRANTED  AT
THE  TEN-YEAR  EVALUATION  BUT IN NO EVENT SHALL THE STABLE CONTRIBUTION
RATE BE LESS THAN EIGHTEEN AND FIVE-TENTHS PERCENT.
  K. (1) THE BASELINE LONG-TERM STABLE CONTRIBUTION TERM SHALL BE  TWEN-
TY-FIVE   YEARS.  PROVIDED,  HOWEVER,  SUCH  BASELINE  LONG-TERM  STABLE
CONTRIBUTION TERM MAY EVENTUALLY  BE  INCREASED  OR  DECREASED,  AT  THE
DISCRETION  OF  THE  COMPTROLLER, SO AS TO ENSURE THAT SYSTEM ASSETS ARE
SUFFICIENT TO FUND BENEFITS FOR ACTIVE AND  RETIRED  MEMBERS  ASSOCIATED
WITH PARTICIPATING MUNICIPAL EMPLOYERS.
  (2)  THE  COMPTROLLER IS AUTHORIZED TO EVALUATE THE BASELINE LONG-TERM
STABLE CONTRIBUTION TERM EVERY FIVE YEARS AFTER THE FISCAL YEAR COMMENC-
ING ON APRIL FIRST, TWO THOUSAND THIRTEEN. SUCH EVALUATION SHALL  INFORM
PARTICIPATING  MUNICIPAL EMPLOYERS WHETHER THE BASELINE LONG-TERM STABLE
CONTRIBUTION TERM IS EXPECTED TO INCREASE OR DECREASE PURSUANT TO  PARA-
GRAPH  ONE  OF  THIS  SUBDIVISION  AND  THE DURATION OF SUCH INCREASE OR
DECREASE.
  L. A PARTICIPATING MUNICIPAL EMPLOYER MAY ELECT TO  TERMINATE  PARTIC-
IPATION  IN  THE LONG-TERM STABLE CONTRIBUTION OPTION AND RESUME PAYMENT
OF THE  NORMAL  AND  ADMINISTRATIVE  CONTRIBUTIONS  IN  ACCORDANCE  WITH
SECTIONS  THREE HUNDRED TWENTY-THREE AND THREE HUNDRED TWENTY-THREE-A OF
THIS ARTICLE.  PROVIDED,  HOWEVER,  THAT  SUCH  PARTICIPATING  MUNICIPAL
EMPLOYER  WHICH ELECTS TO TERMINATE PARTICIPATION SHALL MAKE A RECONCIL-
IATION CONTRIBUTION TO THE RETIREMENT SYSTEM, AT AN AMOUNT TO BE  DETER-
MINED  BY  THE COMPTROLLER, ADEQUATE TO FUND THE BENEFITS FOR ACTIVE AND
RETIRED MEMBERS ASSOCIATED WITH SUCH  PARTICIPATING  MUNICIPAL  EMPLOYER
HAD  SUCH PARTICIPATING MUNICIPAL EMPLOYER NOT ELECTED THE PROVISIONS OF
THIS SECTION. SUCH RECONCILIATION CONTRIBUTION  SHALL  BE  MADE  OVER  A
PERIOD  NOT  TO  EXCEED  FIVE YEARS AND SHALL BE MADE IN ADDITION TO THE
NORMAL AND  ADMINISTRATIVE  CONTRIBUTIONS  PURSUANT  TO  SECTIONS  THREE
HUNDRED  TWENTY-THREE  AND  THREE HUNDRED TWENTY-THREE-A OF THIS ARTICLE
FOR THE FISCAL YEAR  IN  WHICH  SUCH  PARTICIPATING  MUNICIPAL  EMPLOYER
CHOOSES TO RESUME PAYMENT OF THE NORMAL AND ADMINISTRATIVE CONTRIBUTIONS

S. 2605                            31                            A. 3005

PURSUANT  TO SECTIONS THREE HUNDRED TWENTY-THREE AND THREE HUNDRED TWEN-
TY-THREE-A OF  THIS  ARTICLE.    TERMINATION  OF  THE  LONG-TERM  STABLE
CONTRIBUTION  OPTION  BY  A  PARTICIPATING  MUNICIPAL  EMPLOYER SHALL BE
SUBJECT  TO  TIMING AND NOTIFICATION PROCEDURES ESTABLISHED BY THE COMP-
TROLLER.
  S 5. Paragraph 1 of subdivision b of section 323-a of  the  retirement
and  social  security law, as added by section 2 of part A of chapter 49
of the laws of 2003, is amended to read as follows:
  1. revision of the schedule pertaining to the valuation,  billing  and
payment  of  contributions  by  the  state  and participating employers,
EXCLUDING PARTICIPATING MUNICIPAL EMPLOYERS AS DEFINED IN SECTION  THREE
HUNDRED  SEVENTEEN-E  OF  THIS ARTICLE, under which the valuation of the
assets and liabilities of the retirement system,  EXCLUDING  THE  ASSETS
AND  LIABILITIES  ASSOCIATED  WITH  PARTICIPATING MUNICIPAL EMPLOYERS AS
DEFINED IN SECTION THREE HUNDRED SEVENTEEN-E OF THIS ARTICLE, undertaken
on the first day of a  fiscal  year  shall  be  used  to  determine  the
contribution  rates  to  be  applied  to the pensionable salaries of the
state and participating employers, WITH THE EXCEPTION OF THE PENSIONABLE
SALARIES OF PARTICIPATING MUNICIPAL  EMPLOYERS  AS  DEFINED  IN  SECTION
THREE  HUNDRED  SEVENTEEN-E  OF  THIS  ARTICLE,  for the next succeeding
fiscal year; and
  S 6. Section 521 of the education law  is  amended  by  adding  a  new
subdivision 3 to read as follows:
  3.  LONG-TERM STABLE CONTRIBUTION OPTION FOR PARTICIPATING EDUCATIONAL
EMPLOYERS FOR THE TWO  THOUSAND  THIRTEEN--TWO  THOUSAND  FOURTEEN  PLAN
YEAR.  A.  IN ADDITION TO THE DEFINITIONS IN SECTION FIVE HUNDRED ONE OF
THIS ARTICLE, WHEN USED IN THIS SUBDIVISION:
  (1) "PARTICIPATING EDUCATIONAL EMPLOYER" SHALL MEAN THE CITY, VILLAGE,
SCHOOL DISTRICT BOARD OR TRUSTEE BY WHICH A TEACHER IS PAID  WHO  ELECTS
TO  PAY  THE  STABLE  CONTRIBUTION AMOUNT IN THE MANNER PROVIDED IN THIS
SECTION.
  (2) "STABLE CONTRIBUTION AMOUNT" SHALL MEAN AN AMOUNT EQUAL TO  TWELVE
AND FIVE-TENTHS PERCENT OF THE ESTIMATED PENSIONABLE SALARY BASE (EXCLU-
SIVE  OF  PAYMENTS  FOR  GROUP  TERM LIFE INSURANCE, DEFICIENCY CONTRIB-
UTIONS, ADJUSTMENTS RELATING TO PRIOR FISCAL YEARS'  OBLIGATIONS,  OBLI-
GATIONS  PERTAINING  TO  RETIREMENT  INCENTIVES OR ANY OTHER OBLIGATIONS
THAT A PARTICIPATING EDUCATIONAL EMPLOYER IS  PERMITTED  TO  PAY  ON  AN
AMORTIZED BASIS).
  (3)  "STABLE  CONTRIBUTION  RATE"  SHALL  MEAN  TWELVE AND FIVE-TENTHS
PERCENT.
  B. NOTWITHSTANDING THE PROVISIONS OF THIS CHAPTER OR ANY OTHER LAW  TO
THE  CONTRARY,  THE  RETIREMENT  BOARD,  IN  ITS  DISCRETION, SHALL HAVE
AUTHORITY TO IMPLEMENT  THE  PROVISIONS  OF  THIS  SUBDIVISION.  IF  THE
RETIREMENT BOARD ELECTS TO IMPLEMENT THE PROVISIONS OF THIS SUBDIVISION,
THE PROVISIONS OF THIS SECTION SHALL APPLY TO THE PAYMENT OF PARTICIPAT-
ING EDUCATIONAL EMPLOYER CONTRIBUTIONS FOR THE PLAN YEAR COMMENCING WITH
THE  JULY  FIRST,  TWO THOUSAND THIRTEEN FISCAL YEAR, AND FOR SUBSEQUENT
FISCAL YEARS.
  C. FOR EACH PLAN YEAR TO WHICH  THE  PROVISIONS  OF  THIS  SUBDIVISION
APPLY,  THE  RETIREMENT  BOARD  SHALL USE A STABLE CONTRIBUTION RATE FOR
PARTICIPATING EDUCATIONAL EMPLOYERS.
  D. IF THE RETIREMENT BOARD, IN ITS DISCRETION,  DECIDES  TO  PERMIT  A
STABLE  EMPLOYER CONTRIBUTION OPTION PURSUANT TO THIS SUBDIVISION, THEN,
THE RETIREMENT BOARD SHALL DETERMINE THE STABLE CONTRIBUTION AMOUNT  FOR
A  PARTICIPATING  EDUCATIONAL  EMPLOYER  PURSUANT TO SUBPARAGRAPH TWO OF
PARAGRAPH A OF THIS SUBDIVISION. SUCH CONTRIBUTION SHALL BE IN LIEU OF A

S. 2605                            32                            A. 3005

PARTICIPATING EDUCATIONAL EMPLOYER'S NORMAL CONTRIBUTIONS  AND  ADMINIS-
TRATIVE  CONTRIBUTIONS  PURSUANT  TO SECTIONS FIVE HUNDRED SEVENTEEN AND
FIVE HUNDRED NINETEEN OF THIS ARTICLE FOR  THE  FISCAL  YEAR  COMMENCING
JULY FIRST, TWO THOUSAND THIRTEEN, AND FOR SUBSEQUENT FISCAL YEARS.
  E.  PARTICIPATING  EDUCATIONAL  EMPLOYERS ARE AUTHORIZED TO CHOOSE THE
STABLE EMPLOYER CONTRIBUTION OPTION COMMENCING WITH THE JULY FIRST,  TWO
THOUSAND  THIRTEEN FISCAL YEAR PENSION BILL. A PARTICIPATING EDUCATIONAL
EMPLOYER, MAY, IN LIEU OF PAYING ITS NORMAL AND ADMINISTRATIVE  CONTRIB-
UTION  COMMENCING WITH THE JULY FIRST, TWO THOUSAND THIRTEEN FISCAL YEAR
PENSION BILL, PAY THE STABLE  CONTRIBUTION  AMOUNT.  SUCH  PARTICIPATING
EDUCATIONAL  EMPLOYER  SHALL  PAY  THE  STABLE CONTRIBUTION AMOUNT FOR A
PERIOD OF TWENTY-FIVE YEARS PROVIDED,  HOWEVER,  THAT  SUCH  TWENTY-FIVE
YEAR  PERIOD  MAY  BE  INCREASED  OR  DECREASED AT THE DISCRETION OF THE
RETIREMENT BOARD PURSUANT TO  PARAGRAPH  J  OF  THIS  SUBDIVISION.  THIS
LONG-TERM STABLE CONTRIBUTION OPTION SHALL COMMENCE WITH THE JULY FIRST,
TWO THOUSAND THIRTEEN FISCAL YEAR AND SHALL END AT THE DISCRETION OF THE
RETIREMENT BOARD PURSUANT TO PARAGRAPH J OF THIS SUBDIVISION.
  F.  ANY  PARTICIPATING  EDUCATIONAL  EMPLOYER  WHICH ELECTS TO PAY THE
STABLE CONTRIBUTION AMOUNT PURSUANT TO PARAGRAPHS A, B, C, D  AND  E  OF
THIS  SUBDIVISION  SHALL PAY THE AMOUNT BASED ON THE STABLE CONTRIBUTION
RATE FOR A PERIOD OF TWENTY-FIVE YEARS, SUCH TERM AS SUBJECT TO INCREASE
OR DECREASE AT THE DISCRETION OF THE RETIREMENT BOARD PURSUANT TO  PARA-
GRAPH  J  OF  THIS SUBDIVISION. THIS LONG-TERM STABLE CONTRIBUTION SHALL
COMMENCE WITH THE JULY FIRST, TWO  THOUSAND  THIRTEEN  FISCAL  YEAR  AND
SHALL  END  AT  THE DISCRETION OF THE RETIREMENT BOARD PURSUANT TO PARA-
GRAPH J OF THIS SUBDIVISION. UPON COMPLETION OF  SUCH  LONG-TERM  STABLE
CONTRIBUTION OPTION, THE PARTICIPATING EDUCATIONAL EMPLOYER SHALL RESUME
PAYING NORMAL AND ADMINISTRATIVE CONTRIBUTIONS PURSUANT TO SECTIONS FIVE
HUNDRED SEVENTEEN AND FIVE HUNDRED NINETEEN OF THIS ARTICLE.
  G.  A  PARTICIPATING EDUCATIONAL EMPLOYER MAKING A PAYMENT PURSUANT TO
PARAGRAPHS A, B, C, D, E AND F OF THIS SUBDIVISION SHALL PAY  COMMENCING
WITH  THE JULY FIRST, TWO THOUSAND THIRTEEN FISCAL YEAR AN AMOUNT DETER-
MINED BY THE RETIREMENT  BOARD  BY  ADDING  THE  FOLLOWING  TWO  AMOUNTS
TOGETHER:
  (1)  THE  STABLE CONTRIBUTION AMOUNT CALCULATED PURSUANT TO PARAGRAPHS
A, B, C, D, E AND F OF THIS SUBDIVISION; AND
  (2) PAYMENTS FOR  GROUP  TERM  LIFE  INSURANCE,  DEFICIENCY  PAYMENTS,
ADJUSTMENTS  RELATING TO PRIOR FISCAL YEARS' OBLIGATIONS AND OBLIGATIONS
PERTAINING TO RETIREMENT INCENTIVES OR  ANY  OTHER  OBLIGATIONS  THAT  A
PARTICIPATING  EDUCATIONAL  EMPLOYER IS PERMITTED TO PAY ON AN AMORTIZED
BASIS.
  H. THE STABLE CONTRIBUTION AMOUNT MUST BE PAID IN FULL BY  PARTICIPAT-
ING  EDUCATIONAL  EMPLOYERS  ON  THE  DATES  SPECIFIED IN PARAGRAPH H OF
SUBDIVISION TWO OF THIS SECTION.
  I. THE RETIREMENT BOARD IS AUTHORIZED TO EVALUATE THE STABLE  CONTRIB-
UTION RATE USED TO CALCULATE PARTICIPATING EDUCATIONAL EMPLOYER CONTRIB-
UTION  AMOUNTS IN THE FISCAL YEAR COMMENCING ON JULY FIRST, TWO THOUSAND
SEVENTEEN AND SUBSEQUENTLY IN THE FISCAL YEAR COMMENCING ON JULY  FIRST,
TWO  THOUSAND  TWENTY-TWO. SUCH EVALUATION SHALL BE BASED ON A LONG-TERM
PROJECTION OF ASSETS AND LIABILITIES SO AS TO ENSURE THAT  CONTRIBUTIONS
BY   PARTICIPATING   EDUCATIONAL  EMPLOYERS  WHICH  PARTICIPATE  IN  THE
LONG-TERM STABLE CONTRIBUTION OPTION ARE ADEQUATE TO ENSURE THAT  SYSTEM
ASSETS  OVER  THE  LONG-TERM STABLE OPTION PERIOD ARE SUFFICIENT TO FUND
BENEFITS FOR ACTIVE AND RETIRED MEMBERS  ASSOCIATED  WITH  PARTICIPATING
EDUCATIONAL  EMPLOYERS.  THE  RETIREMENT BOARD IS AUTHORIZED TO INCREASE
THE STABLE CONTRIBUTION RATE BY UP TO  TWO  PERCENTAGE  POINTS  AT  SUCH

S. 2605                            33                            A. 3005

FIVE-YEAR   AND  SUBSEQUENT  TEN-YEAR  EVALUATION.  THE  REVISED  STABLE
CONTRIBUTION RATE RESULTING FROM THE FIVE AND SUBSEQUENT TEN-YEAR EVALU-
ATION MAY NOT, IN COMBINATION, EXCEED SIXTEEN AND  FIVE-TENTHS  PERCENT.
THE  RETIREMENT  BOARD IS AUTHORIZED TO DECREASE THE STABLE CONTRIBUTION
RATE IF WARRANTED AT THE TEN-YEAR EVALUATION BUT IN NO EVENT  SHALL  THE
STABLE CONTRIBUTION RATE BE LESS THAN TWELVE AND FIVE-TENTHS PERCENT.
  J.  (1) THE BASELINE LONG-TERM STABLE CONTRIBUTION TERM SHALL BE TWEN-
TY-FIVE  YEARS.  PROVIDED,  HOWEVER,  SUCH  BASELINE  LONG-TERM   STABLE
CONTRIBUTION  TERM  MAY  EVENTUALLY  BE  INCREASED  OR DECREASED, AT THE
DISCRETION OF THE RETIREMENT BOARD, SO AS TO ENSURE THAT  SYSTEM  ASSETS
ARE  SUFFICIENT  TO FUND BENEFITS FOR ACTIVE AND RETIRED MEMBERS ASSOCI-
ATED WITH PARTICIPATING EDUCATIONAL EMPLOYERS.
  (2) THE RETIREMENT BOARD IS AUTHORIZED TO EVALUATE THE BASELINE  LONG-
TERM  STABLE  CONTRIBUTION  TERM  EVERY FIVE YEARS AFTER THE FISCAL YEAR
COMMENCING ON JULY FIRST, TWO THOUSAND THIRTEEN.  SUCH EVALUATION  SHALL
INFORM   PARTICIPATING   EDUCATIONAL   EMPLOYERS  WHETHER  THE  BASELINE
LONG-TERM STABLE CONTRIBUTION TERM IS EXPECTED TO INCREASE  OR  DECREASE
PURSUANT  TO SUBPARAGRAPH ONE OF THIS PARAGRAPH AND THE DURATION OF SUCH
INCREASE OR DECREASE.
  K. A PARTICIPATING EDUCATIONAL EMPLOYER MAY ELECT TO TERMINATE PARTIC-
IPATION IN THE LONG-TERM STABLE CONTRIBUTION OPTION AND  RESUME  PAYMENT
OF  THE  NORMAL  AND  ADMINISTRATIVE  CONTRIBUTIONS  IN  ACCORDANCE WITH
SECTIONS FIVE HUNDRED SEVENTEEN AND FIVE HUNDRED NINETEEN OF THIS  ARTI-
CLE.  PROVIDED,  HOWEVER,  THAT  SUCH PARTICIPATING EDUCATIONAL EMPLOYER
WHICH ELECTS TO TERMINATE  PARTICIPATION  SHALL  MAKE  A  RECONCILIATION
CONTRIBUTION  TO THE RETIREMENT SYSTEM, AT AN AMOUNT TO BE DETERMINED BY
THE RETIREMENT BOARD, ADEQUATE TO  FUND  THE  BENEFITS  FOR  ACTIVE  AND
RETIRED  MEMBERS ASSOCIATED WITH SUCH PARTICIPATING EDUCATIONAL EMPLOYER
HAD SUCH PARTICIPATING EDUCATIONAL EMPLOYER NOT ELECTED  THE  PROVISIONS
OF  THIS  SECTION. SUCH RECONCILIATION CONTRIBUTION SHALL BE MADE OVER A
PERIOD NOT TO EXCEED FIVE YEARS AND SHALL BE MADE  IN  ADDITION  TO  THE
NORMAL  AND  ADMINISTRATIVE  CONTRIBUTIONS  PURSUANT  TO  SECTIONS  FIVE
HUNDRED SEVENTEEN AND FIVE HUNDRED NINETEEN  OF  THIS  ARTICLE  FOR  THE
FISCAL  YEAR IN WHICH SUCH PARTICIPATING EDUCATIONAL EMPLOYER CHOOSES TO
RESUME PAYMENT OF THE NORMAL AND ADMINISTRATIVE  CONTRIBUTIONS  PURSUANT
TO  SECTIONS  FIVE  HUNDRED  SEVENTEEN AND FIVE HUNDRED NINETEEN OF THIS
ARTICLE. TERMINATION OF THE LONG-TERM STABLE CONTRIBUTION  OPTION  BY  A
PARTICIPATING  EDUCATIONAL  EMPLOYER  SHALL  BE  SUBJECT  TO  TIMING AND
NOTIFICATION PROCEDURES ESTABLISHED BY THE RETIREMENT BOARD.
  S 7. Paragraph a of subdivision 2 of section 517 of the education  law
is amended to read as follows:
  a. On account of each teacher who is a member of the retirement system
there  shall  be  paid  annually  into  the pension accumulation fund by
employers, a certain percentage of the earnable compensation of each  of
such  members  of  the  retirement  system  to  be  known as the "normal
contribution" and a further percentage known as the "deficiency contrib-
ution." The rates per centum of such contributions shall be fixed on the
basis of the liabilities of the retirement system as shown by  actuarial
valuations;  PROVIDED,  HOWEVER,  THAT THE RATE PER CENTUM OF THE NORMAL
CONTRIBUTION BE FIXED ON THE BASIS OF THE LIABILITIES OF THE  RETIREMENT
SYSTEM AS SHOWN BY ACTUARIAL VALUATIONS, EXCLUDING THE LIABILITIES ASSO-
CIATED  WITH  PARTICIPATING EDUCATIONAL EMPLOYERS AS DEFINED IN SUBPARA-
GRAPH ONE OF PARAGRAPH A OF SUBDIVISION THREE OF  SECTION  FIVE  HUNDRED
TWENTY-ONE OF THIS ARTICLE.
  S 8. This act shall take effect immediately.
  FISCAL NOTE.--Pursuant to Legislative Law, Section 50:

S. 2605                            34                            A. 3005

  This  bill  would amend the Retirement and Social Security Law and the
Education Law as it pertains to bills for certain eligible employers  of
the New York State and Local Employees' Retirement System (ERS), the New
York  State  and Local Police and Fire Retirement System (PFRS), and the
Teachers' Retirement System (TRS).
  This  bill puts in place a program that allows ERS, PFRS and TRS local
government and school district employers, if they choose to participate,
to secure a long-term stable employer contribution rate instead  of  the
fluctuating  normal employer contribution rate applied to the employer's
pensionable wage base.   The Comptroller and the  TRS  Retirement  Board
will  determine the final length of the stable pension contribution term
by increasing or decreasing such  term  to  ensure  appropriate  pension
system  funding.  The  stable  pension  contribution  rates  would be 12
percent for ERS, 12.5 percent for TRS, and 18.5 percent for PFRS.  These
stable  pension  contribution  rates  could  be  increased, by up to two
percentage points, at the discretion of  the  Comptroller  and  the  TRS
Retirement  Board,  upon  evaluations  by System actuaries, five and ten
years after commencement of the long-term stable contribution option.
  If this bill is enacted, we estimate that there would be little or  no
impact  on  the  funded status of the ERS, PFRS and TRS systems over the
full term of the program.    For  those  local  governments  and  school
districts  which elect this option, employer pension contributions would
be less than the normal employer pension contributions they would other-
wise pay in the early years of the long-term  stable  employer  contrib-
ution  option  and employer pension contributions would be more than the
normal employer contributions they would  otherwise  pay  in  the  later
years of the option.
  This  estimate,  dated  January  22,  2013,  and intended for use only
during the 2013 Legislative Session, is prepared by  the  State  of  New
York Division of the Budget.

                                 PART H

  Section  1.  Section  167-a  of  the  civil service law, as amended by
section 1 of part I of chapter 55 of the laws of  2012,  is  amended  to
read as follows:
  S 167-a. Reimbursement  for  medicare  premium charges. Upon exclusion
from the coverage of the health benefit plan  of  supplementary  medical
insurance  benefits for which an active or retired employee or a depend-
ent covered by the health benefit plan is or would be eligible under the
federal old-age, survivors and disability insurance program,  an  amount
equal to the STANDARD MEDICARE premium charge WITHOUT ANY INCOME-RELATED
ADJUSTMENT  for  such  supplementary medical insurance benefits for such
active or retired employee and his or her dependents, if any,  shall  be
paid  monthly  or  at other intervals to such active or retired employee
from the health insurance fund. Where appropriate, such  amount  may  be
deducted from contributions payable by the employee or retired employee;
or  where  appropriate  in  the  case  of a retired employee receiving a
retirement allowance, such amount may be included with payments  of  his
or  her  retirement  allowance.  All  state  employer, employee, retired
employee and dependent  contributions  to  the  health  insurance  fund,
including  contributions  from public authorities, public benefit corpo-
rations or other quasi-public organizations of the  state  eligible  for
participation  in  the  health benefit plan as authorized by subdivision
two of section  one  hundred  sixty-three  of  this  article,  shall  be
adjusted  as necessary to cover the cost of reimbursing federal old-age,

S. 2605                            35                            A. 3005

survivors and disability insurance program premium  charges  under  this
section.  This  cost  shall be included in the calculation of premium or
subscription charges for  health  coverage  provided  to  employees  and
retired  employees  of  the  state,  public  authorities, public benefit
corporations or other quasi-public organizations of the state; provided,
however, the state, public authorities, public benefit  corporations  or
other  quasi-public organizations of the state shall remain obligated to
pay no less than its share of such increased cost  consistent  with  its
share  of  premium or subscription charges provided for by this article.
All other employer contributions to the health insurance fund  shall  be
adjusted as necessary to provide for such payments.
  S  2.  This  act  shall take effect immediately and shall be deemed to
have been in full force and effect on and after January 1, 2013.

                                 PART I

  Section 1. The state finance law is amended by adding  a  new  section
99-u to read as follows:
  S  99-U.  NEW YORK STATE GAMING COMMISSION ACCOUNT. 1. THERE IS HEREBY
ESTABLISHED IN THE JOINT CUSTODY OF THE COMPTROLLER  AND  THE  EXECUTIVE
DIRECTOR  OF  THE  NEW  YORK  STATE  GAMING COMMISSION AN ACCOUNT IN THE
MISCELLANEOUS SPECIAL REVENUE FUND TO BE KNOWN AS THE  "NEW  YORK  STATE
GAMING COMMISSION ACCOUNT".
  2.  SUCH  ACCOUNT SHALL CONSIST OF MONEYS TRANSFERRED THERETO FROM THE
STATE LOTTERY FUND ADMINISTRATION  ACCOUNT,  THE  REGULATION  OF  RACING
ACCOUNT,  THE  BELL  JAR  COLLECTION ACCOUNT OR THE REGULATION OF INDIAN
GAMING ACCOUNT.
  3. ALL MONEYS IN THE NEW YORK STATE GAMING COMMISSION ACCOUNT SHALL BE
AVAILABLE, SUBJECT TO APPROPRIATION, FOR THE PAYMENT  OF  ADMINISTRATIVE
EXPENSES OF THE NEW YORK STATE GAMING COMMISSION.
  S  2.  This  act  shall take effect immediately and shall be deemed to
have been in full force and effect on and after February 1, 2013.

                                 PART J

  Section 1. Paragraphs 2 and 3 of subdivision b of section 1612 of  the
tax law, as amended by section 1 of part O1 of chapter 57 of the laws of
2009, are amended to read as follows:
  2. As consideration for the operation of a video lottery gaming facil-
ity,  the division, shall cause the investment in the racing industry of
a portion of the vendor fee received pursuant to paragraph one  of  this
subdivision  in  the  manner  set  forth in this subdivision.   With the
exception of Aqueduct  racetrack,  each  such  track  shall  dedicate  a
portion  of  its vendor fees, received pursuant to clause (A), (B), (C),
(D), (E), (F), or (G) of subparagraph (ii)  of  paragraph  one  of  this
subdivision,  solely  for the purpose of enhancing purses at such track,
in an amount equal to eight and  three-quarters  percent  of  the  total
revenue  wagered  at  the  vendor  track after pay out for prizes.   ONE
PERCENT OF SUCH PURSE ENHANCEMENT AMOUNT SHALL BE  PAID  TO  THE  GAMING
COMMISSION  TO  BE  USED EXCLUSIVELY TO PROMOTE AND ENSURE EQUINE HEALTH
AND SAFETY IN NEW YORK. ANY  PORTION  OF  SUCH  FUNDING  TO  THE  GAMING
COMMISSION  UNUSED  DURING  A FISCAL YEAR SHALL BE RETURNED TO THE VIDEO
LOTTERY GAMING OPERATORS ON A PRO RATA  BASIS  IN  ACCORDANCE  WITH  THE
AMOUNTS  ORIGINALLY  CONTRIBUTED  BY EACH OPERATOR AND SHALL BE USED FOR
THE PURPOSE OF ENHANCING PURSES AT SUCH TRACK.  In  addition,  with  the
exception  of  Aqueduct  racetrack, one and one-quarter percent of total

S. 2605                            36                            A. 3005

revenue wagered at the vendor track after pay out for  prizes,  received
pursuant  to clause (A), (B), (C), (D), (E), (F), or (G) of subparagraph
(ii) of paragraph one of this subdivision, shall be distributed  to  the
appropriate  breeding  fund  for  the manner of racing conducted by such
track.
  Provided, further, that nothing in this paragraph shall  prevent  each
track  from  entering  into an agreement, not to exceed five years, with
the organization authorized to represent its  horsemen  to  increase  or
decrease  the portion of its vendor fee dedicated to enhancing purses at
such track during the years of participation by such track, or  to  race
fewer dates than required herein.
  3.  Nothing  in  paragraph  two  of  this subdivision shall affect any
agreement in effect on or before the effective date of  this  paragraph,
EXCEPT  THAT  THE  OBLIGATION  TO  PAY FUNDS TO THE GAMING COMMISSION TO
PROMOTE  AND  ENSURE  EQUINE  HEALTH  AND  SAFETY  SHALL  SUPERSEDE  ANY
PROVISION TO THE CONTRARY IN ANY SUCH AGREEMENT.
  S  2.  Paragraph 1 of subdivision f of section 1612 of the tax law, as
amended by chapter 140 of the laws  of  2008,  is  amended  to  read  as
follows:
  1.  Six  and  one-half  percent  of  the total wagered after payout of
prizes for the first year of operation of video lottery gaming at  Aque-
duct  racetrack,  seven  percent  of  the  total wagered after payout of
prizes for the second year of operation, and seven and one-half  percent
of the total wagered after payout of prizes for the third year of opera-
tion  and  thereafter,  for  the purpose of enhancing purses at Aqueduct
racetrack, Belmont Park racetrack and Saratoga race course.  ONE PERCENT
OF SUCH PURSE ENHANCEMENT AMOUNT SHALL BE PAID TO THE GAMING  COMMISSION
TO BE USED EXCLUSIVELY TO PROMOTE AND ENSURE EQUINE HEALTH AND SAFETY IN
NEW  YORK.  ANY  PORTION OF SUCH FUNDING TO THE GAMING COMMISSION UNUSED
DURING A FISCAL YEAR SHALL BE RETURNED ON A PRO RATA BASIS IN ACCORDANCE
WITH THE AMOUNTS ORIGINALLY  CONTRIBUTED  AND  SHALL  BE  USED  FOR  THE
PURPOSE OF ENHANCING PURSES AT SUCH TRACKS.
  S 3. This act shall take effect immediately.

                                 PART K

  Section  1.  Subparagraph  (vii)  of  paragraph q of subdivision 10 of
section 54 of the state finance law, as added by section 3 of part K  of
chapter 57 of the laws of 2011, is amended to read as follows:
  (vii)  Matching  funds  equal  to  [ten] AT LEAST FIFTY percent of the
total cost of activities under the  grant  work  plan  approved  by  the
department  of state shall be required FOR A LOCAL GOVERNMENT RE-ORGANI-
ZATION GRANT FOR A RE-ORGANIZATION STUDY, EXCEPT FOR  SUCH  GRANTS  THAT
ARE AWARDED TO A LOCAL GOVERNMENT ENTITY ELIGIBLE FOR AN EXPEDITED GRANT
PURSUANT  TO SUBPARAGRAPH (V) OF THIS PARAGRAPH.  UPON IMPLEMENTATION OF
THE LOCAL GOVERNMENT RE-ORGANIZATION, THE LOCAL MATCHING FUNDS  REQUIRED
BY  SUCH  GRANT FOR A RE-ORGANIZATION STUDY SHALL BE REFUNDED EXCEPT FOR
TEN PERCENT OF THE TOTAL COST OF ACTIVITIES UNDER THE  GRANT  WORK  PLAN
APPROVED  BY  THE  DEPARTMENT OF STATE. MATCHING FUNDS EQUAL TO AT LEAST
TEN PERCENT OF THE TOTAL COST OF ACTIVITIES UNDER THE  GRANT  WORK  PLAN
APPROVED  BY  THE  DEPARTMENT  OF  STATE  SHALL  BE REQUIRED FOR A LOCAL
GOVERNMENT RE-ORGANIZATION GRANT FOR A RE-ORGANIZATION STUDY AWARDED  TO
A  LOCAL  GOVERNMENT  ENTITY ELIGIBLE FOR AN EXPEDITED GRANT PURSUANT TO
SUBPARAGRAPH (V) OF THIS PARAGRAPH AND FOR A LOCAL GOVERNMENT RE-ORGANI-
ZATION GRANT FOR THE IMPLEMENTATION OF A RE-ORGANIZATION.

S. 2605                            37                            A. 3005

  S 2.   The opening paragraph of  paragraph  r  of  subdivision  10  of
section  54 of the state finance law, as added by section 3 of part K of
chapter 57 of the laws of 2011, is amended to read as follows:
  Local  government  efficiency  grant  program  beginning  in the state
fiscal year commencing April first, two thousand eleven  AND  CONTINUING
UNTIL THE END OF THE STATE FISCAL YEAR COMMENCING APRIL FIRST, TWO THOU-
SAND TWELVE.
  S  3.  Paragraphs s and t of subdivision 10 of section 54 of the state
finance law, paragraph t as relettered by section 3 of part K of chapter
57 of the laws of 2011, are relettered paragraphs t  and  u  and  a  new
paragraph s is added to read as follows:
  S.  LOCAL  GOVERNMENT  EFFICIENCY GRANT PROGRAM BEGINNING IN THE STATE
FISCAL YEAR COMMENCING APRIL FIRST, TWO THOUSAND THIRTEEN. (I)  (1)  FOR
THE  PURPOSES  OF  THIS  PARAGRAPH,  "MUNICIPALITY" SHALL MEAN A COUNTY,
CITY, TOWN, VILLAGE, SPECIAL IMPROVEMENT DISTRICT, FIRE DISTRICT, PUBLIC
LIBRARY, ASSOCIATION LIBRARY, OR PUBLIC LIBRARY  SYSTEM  AS  DEFINED  BY
SECTION  TWO HUNDRED SEVENTY-TWO OF THE EDUCATION LAW, PROVIDED HOWEVER,
THAT FOR THE PURPOSES OF THIS DEFINITION, A PUBLIC LIBRARY SYSTEM  SHALL
BE CONSIDERED A MUNICIPALITY ONLY IN INSTANCES WHERE SUCH PUBLIC LIBRARY
SYSTEM  ADVANCES  A JOINT APPLICATION ON BEHALF OF ITS MEMBER LIBRARIES,
WATER AUTHORITY, SEWER  AUTHORITY,  REGIONAL  PLANNING  AND  DEVELOPMENT
BOARD,  SCHOOL  DISTRICT,  OR BOARD OF COOPERATIVE EDUCATIONAL SERVICES;
PROVIDED, HOWEVER, THAT FOR THE PURPOSES OF THIS DEFINITION, A BOARD  OF
COOPERATIVE EDUCATIONAL SERVICES SHALL BE CONSIDERED A MUNICIPALITY ONLY
IN  INSTANCES  WHERE  SUCH  BOARD  OF  COOPERATIVE  EDUCATIONAL SERVICES
ADVANCES A JOINT APPLICATION ON BEHALF OF  SCHOOL  DISTRICTS  AND  OTHER
MUNICIPALITIES  WITHIN  THE  BOARD  OF  COOPERATIVE EDUCATIONAL SERVICES
REGION; PROVIDED, HOWEVER, THAT ANY AGREEMENTS WITH A BOARD  OF  COOPER-
ATIVE  EDUCATIONAL  SERVICES:  SHALL  NOT GENERATE ADDITIONAL STATE AID;
SHALL BE DEEMED NOT TO BE A PART OF THE PROGRAM, CAPITAL AND ADMINISTRA-
TIVE BUDGETS OF THE BOARD OF COOPERATIVE EDUCATIONAL  SERVICES  FOR  THE
PURPOSES  OF  COMPUTING CHARGES UPON COMPONENT SCHOOL DISTRICTS PURSUANT
TO SUBDIVISION ONE AND SUBPARAGRAPH SEVEN OF PARAGRAPH B OF  SUBDIVISION
FOUR  OF  SECTION  NINETEEN HUNDRED FIFTY AND SUBDIVISION ONE OF SECTION
NINETEEN HUNDRED FIFTY-ONE OF THE EDUCATION LAW; AND SHALL BE DEEMED  TO
BE  A  COOPERATIVE MUNICIPAL SERVICE FOR PURPOSES OF SUBPARAGRAPH TWO OF
PARAGRAPH D OF SUBDIVISION FOUR OF SECTION NINETEEN HUNDRED FIFTY OF THE
EDUCATION LAW.
  (2) FOR THE PURPOSES OF  THIS  PARAGRAPH,  "FUNCTIONAL  CONSOLIDATION"
SHALL  MEAN  ONE MUNICIPALITY COMPLETELY PROVIDING A SERVICE OR FUNCTION
FOR ANOTHER MUNICIPALITY, WHICH NO LONGER PROVIDES SUCH SERVICE OR FUNC-
TION.
  (II) WITHIN THE ANNUAL AMOUNTS APPROPRIATED THEREFOR, THE SECRETARY OF
STATE MAY AWARD COMPETITIVE GRANTS  TO  MUNICIPALITIES  TO  COVER  COSTS
ASSOCIATED WITH LOCAL GOVERNMENT EFFICIENCY PROJECTS, INCLUDING, BUT NOT
LIMITED  TO, PLANNING FOR OR IMPLEMENTATION OF A MUNICIPAL CONSOLIDATION
OR DISSOLUTION, A FUNCTIONAL CONSOLIDATION, A  CITY  OR  COUNTY  CHARTER
REVISION  THAT  INCLUDES FUNCTIONAL CONSOLIDATION, SHARED OR COOPERATIVE
SERVICES, AND REGIONALIZED DELIVERY OF SERVICES; PROVIDED, HOWEVER, THAT
SUCH LOCAL GOVERNMENT EFFICIENCY PROJECTS MUST DEMONSTRATE NEW  OPPORTU-
NITIES  FOR  FINANCIAL  SAVINGS  AND OPERATIONAL EFFICIENCIES; PROVIDED,
FURTHER, THAT ELIGIBLE LOCAL GOVERNMENT EFFICIENCY  PROJECTS  SHALL  NOT
INCLUDE  STUDIES AND PLANS FOR A LOCAL GOVERNMENT RE-ORGANIZATION ELIGI-
BLE TO RECEIVE A LOCAL GOVERNMENT CITIZENS  RE-ORGANIZATION  EMPOWERMENT
GRANT  PURSUANT  TO  PARAGRAPH  Q  OF THIS SUBDIVISION. THE SECRETARY OF
STATE MAY FOCUS THE GRANT PROGRAM IN SPECIFIC FUNCTIONAL  AREAS,  WITHIN

S. 2605                            38                            A. 3005

DISTRESSED  COMMUNITIES  AND AREAS OF HISTORICALLY HIGH LOCAL GOVERNMENT
COSTS AND PROPERTY TAXES, OR IN AREAS OF UNIQUE  OPPORTUNITY,  IN  WHICH
CASE  SUCH  AREAS  OF  FOCUS SHALL BE DETAILED IN A REQUEST FOR APPLICA-
TIONS.
  (III)  ANY  APPROVED PROJECT SHALL INCLUDE AN EXAMINATION OF FINANCIAL
SAVINGS, RETURN ON PUBLIC INVESTMENT AND MANAGEMENT IMPROVEMENTS RESULT-
ING FROM PROJECT IMPLEMENTATION.
  (IV) LOCAL GOVERNMENT EFFICIENCY GRANTS MAY BE  USED  TO  COVER  COSTS
INCLUDING,  BUT  NOT  LIMITED TO, LEGAL AND CONSULTANT SERVICES, CAPITAL
IMPROVEMENTS, TRANSITIONAL PERSONNEL COSTS AND OTHER NECESSARY  EXPENSES
RELATED  TO  IMPLEMENTING THE APPROVED LOCAL GOVERNMENT EFFICIENCY GRANT
WORK PLAN. GRANTS MAY BE USED  FOR  CAPITAL  IMPROVEMENTS,  TRANSITIONAL
PERSONNEL  COSTS  OR  JOINT EQUIPMENT PURCHASES ONLY WHERE SUCH EXPENSES
ARE INTEGRAL  TO  IMPLEMENTATION  OF  THE  LOCAL  GOVERNMENT  EFFICIENCY
PROJECT.  NO PART OF THE GRANT SHALL BE USED BY THE APPLICANT FOR RECUR-
RING EXPENSES SUCH AS SALARIES, EXCEPT  THAT  THE  SALARIES  OF  CERTAIN
TRANSITIONAL  PERSONNEL ESSENTIAL FOR THE IMPLEMENTATION OF THE APPROVED
LOCAL GOVERNMENT EFFICIENCY GRANT WORK PLAN  SHALL  BE  ELIGIBLE  FOR  A
PERIOD  NOT  TO  EXCEED  THREE  YEARS.  THE  AMOUNTS AWARDED TO A SCHOOL
DISTRICT PURSUANT TO THIS SUBPARAGRAPH SHALL  NOT  BE  INCLUDED  IN  THE
APPROVED  OPERATING  EXPENSE  OF THE SCHOOL DISTRICT AS DEFINED IN PARA-
GRAPH T OF SUBDIVISION ONE OF SECTION  THIRTY-SIX  HUNDRED  TWO  OF  THE
EDUCATION LAW.
  (V)  THE  MAXIMUM  CUMULATIVE GRANT AWARD FOR A LOCAL GOVERNMENT EFFI-
CIENCY PROJECT SHALL NOT EXCEED TWO HUNDRED THOUSAND DOLLARS PER MUNICI-
PALITY; PROVIDED, HOWEVER, THAT IN NO CASE SHALL SUCH A PROJECT  RECEIVE
A  CUMULATIVE  GRANT AWARD IN EXCESS OF ONE MILLION DOLLARS. THE MAXIMUM
GRANT AWARD FOR A LOCAL GOVERNMENT EFFICIENCY PLANNING PROJECT,  OR  THE
PLANNING  COMPONENT  OF A PROJECT THAT INCLUDES BOTH PLANNING AND IMPLE-
MENTATION OF A LOCAL GOVERNMENT EFFICIENCY  PROJECT,  SHALL  NOT  EXCEED
TWELVE  THOUSAND FIVE HUNDRED DOLLARS PER MUNICIPALITY; PROVIDED, HOWEV-
ER, THAT IN NO EVENT SHALL SUCH A PLANNING PROJECT RECEIVE A GRANT AWARD
IN EXCESS OF ONE HUNDRED THOUSAND DOLLARS.
  (VI) LOCAL MATCHING FUNDS EQUAL TO AT LEAST FIFTY PERCENT OF THE TOTAL
COST OF ACTIVITIES UNDER THE GRANT WORK PLAN APPROVED BY THE  DEPARTMENT
OF STATE SHALL BE REQUIRED FOR PLANNING GRANTS, AND LOCAL MATCHING FUNDS
EQUAL  TO AT LEAST TEN PERCENT OF THE TOTAL COST OF ACTIVITIES UNDER THE
GRANT WORK PLAN APPROVED BY THE DEPARTMENT OF STATE  SHALL  BE  REQUIRED
FOR  IMPLEMENTATION  GRANTS. IN THE EVENT AN APPLICANT IS IMPLEMENTING A
PROJECT THAT THE APPLICANT DEVELOPED THROUGH  A  SUCCESSFULLY  COMPLETED
PLANNING  GRANT  FUNDED  UNDER  THE  LOCAL  GOVERNMENT  EFFICIENCY GRANT
PROGRAM OR THE SHARED MUNICIPAL SERVICES INCENTIVE  GRANT  PROGRAM,  THE
LOCAL  MATCHING  FUNDS  REQUIRED  SHALL BE REDUCED BY THE LOCAL MATCHING
FUNDS REQUIRED BY SUCH SUCCESSFULLY COMPLETED PLANNING GRANT UP  TO  THE
AMOUNT OF LOCAL MATCHING FUNDS REQUIRED FOR THE IMPLEMENTATION GRANT.
  (VII)  IN  THE SELECTION OF GRANT AWARDS, THE SECRETARY OF STATE SHALL
GIVE THE HIGHEST PRIORITY TO APPLICATIONS: (1) THAT WOULD RESULT IN  THE
DISSOLUTION OR CONSOLIDATION OF MUNICIPALITIES; (2) THAT WOULD IMPLEMENT
THE  COMPLETE FUNCTIONAL CONSOLIDATION OF A MUNICIPAL SERVICE; OR (3) BY
LOCAL GOVERNMENTS WITH HISTORICALLY HIGH COSTS OF  LOCAL  GOVERNMENT  OR
SUSTAINED  INCREASES  IN  PROPERTY TAXES. PRIORITY WILL ALSO BE GIVEN TO
MUNICIPALITIES THAT HAVE PREVIOUSLY COMPLETED A PLANNING GRANT  PURSUANT
TO  THIS  PROGRAM  OR  THE  SHARED  MUNICIPAL  SERVICES  INCENTIVE GRANT
PROGRAM, AND TO LOCAL GOVERNMENTS CURRENTLY INVOLVED IN REGIONAL  DEVEL-
OPMENT  PROJECTS  THAT  HAVE  RECEIVED FUNDS THROUGH STATE COMMUNITY AND
INFRASTRUCTURE DEVELOPMENT PROGRAMS.

S. 2605                            39                            A. 3005

  (VIII) THE DEPARTMENT OF STATE SHALL PREPARE AN ANNUAL REPORT  TO  THE
GOVERNOR  AND  THE LEGISLATURE ON THE EFFECTIVENESS OF THE LOCAL GOVERN-
MENT EFFICIENCY GRANT PROGRAM AND THE LOCAL GOVERNMENT  CITIZENS  RE-OR-
GANIZATION  EMPOWERMENT GRANT PROGRAM.  SUCH REPORT SHALL BE PROVIDED ON
OR  BEFORE  OCTOBER  FIRST  OF  EACH  YEAR AND SHALL INCLUDE, BUT NOT BE
LIMITED TO, THE FOLLOWING: A SUMMARY OF APPLICATIONS AND AWARDS FOR EACH
GRANT CATEGORY, AN ASSESSMENT OF PROGRESS  IN  IMPLEMENTING  INITIATIVES
THAT  RECEIVED GRANT AWARDS, AND ESTIMATED FINANCIAL SAVINGS AND SIGNIF-
ICANT IMPROVEMENTS IN  SERVICE  REALIZED  BY  MUNICIPALITIES  THAT  HAVE
RECEIVED GRANTS.
  S  4.  This  act  shall take effect immediately and shall be deemed to
have been in full force and effect on and after April 1, 2013.

                                 PART L

  Section 1. Notwithstanding any provision of law to the  contrary,  any
provision  of  statute or regulation that requires a local government or
school district to submit a report to a state agency or  authority  that
has  not been approved for continuation by the mandate relief council as
provided herein shall expire and be deemed repealed on  April  1,  2014;
provided,  however, that all provisions of such statutes and regulations
other than such specific reporting requirements shall be  unaffected  by
the  repeal  of such reporting requirements and remain in full force and
effect. Every state agency and authority  shall  refer  to  the  mandate
relief council, on or before September 1, 2013, all local government and
school  district  reporting  requirements,  imposed  by statute or regu-
lation, and which of these reporting requirements, in the opinion of the
agency or authority, are necessary and should be continued because  such
reporting requirements are (1) required for compliance with federal laws
or  rules or to meet eligibility standards for federal entitlements; (2)
required for the protection of the health,  safety  or  welfare  of  the
public;  or (3) are otherwise necessary for critical state purposes. The
council shall review such requests to determine whether such reports are
necessary and should be continued. Upon a determination that a reporting
requirement is necessary and should be continued, the council may direct
the agency or authority to take actions to reduce the burden the report-
ing requirement imposes on local governments and school districts.
  S 2. This act shall take effect immediately; provided that the mandate
relief council shall notify the  legislative  bill  drafting  commission
which  reporting  requirements  were  referred to it and which reporting
requirements were approved for continuation so that such commission  may
maintain  an accurate and timely effective database of the official text
of the laws of the state of New York in  furtherance  of  effecting  the
provisions  of section 44 of the legislative law and section 70-b of the
public officers law.

                                 PART M

  Section 1. The state comptroller is hereby authorized and directed  to
loan  money in accordance with the provisions set forth in subdivision 5
of section 4 of the state finance law  to  the  following  funds  and/or
accounts:
  1. Tuition reimbursement fund:
  a. Tuition reimbursement account (20451).
  b. Proprietary vocational school supervision account (20452).
  2. Local government records management improvement fund:

S. 2605                            40                            A. 3005

  a. Local government records management account (20501).
  3. Dedicated highway and bridge trust fund:
  a. Highway and bridge capital account (30051).
  4. State university residence hall rehabilitation fund.
  5. State parks infrastructure trust fund:
  a. State parks infrastructure account (30351).
  6. Clean water/clean air implementation fund.
  7. Employees health insurance fund.
  a. Employees health insurance account (60201).
  8. State lottery fund:
  a. Education - New (20901).
  b. VLT - Sound basic education fund (20904).
  9. Medicaid management information system escrow fund.
  10. Sewage treatment program management and administration fund.
  11. Environmental conservation special revenue fund:
  a. Waste cleanup and management account (21053).
  b. Hazardous bulk storage account (21061).
  c. Great lakes restoration initiative account (21087).
  d. Low level radioactive waste siting account (21066).
  e. Recreation account (21067).
  f. Public safety recovery account (21077).
  g. Conservationist magazine account (21080).
  h. Environmental regulatory account (21081).
  i. Natural resource account (21082).
  j. Mined land reclamation program account (21084).
  k. Federal grants indirect cost recovery account (21065).
  12. Environmental protection and oil spill compensation fund.
  13. Hazardous waste remedial fund:
  a. Hazardous waste remedial cleanup account (31506).
  14. Mass transportation operating assistance fund:
  a. Public transportation systems account (21401).
  b. Metropolitan mass transportation (21402).
  15. Clean air fund:
  a. Operating permit program account (21451).
  b. Mobile source account (21452).
  16. Centralized services fund.
  17. State exposition special fund.
  18. Agency enterprise fund:
  a. OGS convention center account (50318).
  19. Agencies internal service fund:
  a. Archives records management account (55052).
  b. Federal single audit account (55053).
  c. Civil service law: sec 11 admin account (55055).
  d. Civil service EHS occupational health program account (55056).
  e. Banking services account (55057).
  f. Cultural resources survey account (55058).
  g. Neighborhood work project (55059).
  h. Automation & printing chargeback account (55060).
  i. OFT NYT account (55061).
  j. Data center account (55062).
  k. Human service telecom account (55063).
  l. Centralized technology services account (55069).
  m. OPWDD copy center account (55065).
  n. Intrusion detection account (55066).
  o. Domestic violence grant account (55067).
  p. Learning management system account (55070).

S. 2605                            41                            A. 3005

  q. Tax contact center account.
  r. Human services contact center account.
  s. Labor contact center account.
  20. Miscellaneous special revenue fund:
  a. Statewide planning and research cooperative system account (21902).
  b. OPWDD provider of service account (21903).
  c. New York state thruway authority account (21905).
  d. Mental hygiene patient income account (21909).
  e. Financial control board account (21911).
  f. Regulation of racing account (21912).
  g. New York metropolitan transportation council account (21913).
  h. Cyber upgrade account (21919).
  i. State university dormitory income reimbursable account (21937).
  j. Energy research account (21943).
  k. Criminal justice improvement account (21945).
  l. Fingerprint identification and technology account (21950).
  m. Environmental laboratory reference fee account (21959).
  n. Clinical laboratory reference system assessment account (21962).
  o. Public employment relations board account (21964).
  p. Cable television account (21971).
  q. Indirect cost recovery account (21978).
  r. High school equivalency program account (21979).
  s. Rail safety inspection account (21983).
  t. Multi-agency training account (21989).
  u. Critical infrastructure account (21992).
  v. Bell jar collection account (22003).
  w. Industry and utility service account (22004).
  x. Real property disposition account (22006).
  y. Parking account (22007).
  z. Asbestos safety training program account (22009).
  aa. Public service account (22011).
  bb. Batavia school for the blind account (22032).
  cc. Investment services account (22034).
  dd. Surplus property account (22036).
  ee. Financial oversight account (22039).
  ff. Regulation of indian gaming account (22046).
  gg. Rome school for the deaf account (22053).
  hh. Seized assets account (22054).
  ii. Administrative adjudication account (22055).
  jj. Federal salary sharing account (22056).
  kk. New York City assessment account (22062).
  ll. Cultural education account (22063).
  mm. Examination and miscellaneous revenue account (22065).
  nn. Local services account (22078).
  oo. DHCR mortgage servicing account (22085).
  pp. Department of motor vehicles compulsory insurance account (22087).
  qq. Housing indirect cost recovery account (22090).
  rr. DHCR-HCA application fee account (22100).
  ss. Low income housing monitoring account (22130).
  tt. Corporation administration account (22135).
  uu. Montrose veteran's home account (22144).
  vv. Motor fuel quality account (22149).
  ww. Deferred compensation administration account (22151).
  xx. Rent revenue other account (22156).
  yy. Rent revenue account (22158).
  zz. Tax revenue arrearage account (22168).

S. 2605                            42                            A. 3005

  aaa. Solid waste management account (22176).
  bbb. Capacity contracting (22016).
  ccc. Point insurance reduction program account.
  ddd. Internet point insurance reduction program account (22094).
  eee. Mental hygiene program fund account (21907).
  fff. Third party debt collection account.
  21. New York State Transformative Capital Fund:
  a. Storm recovery account.
  b. Transformative capital account.
  22. State university income fund:
  a. State university general income offset account (22654).
  23. State police and motor vehicle law enforcement fund:
  a. State police motor vehicle law enforcement account (22802).
  24. Youth facilities improvement fund:
  a. Youth facilities improvement account (31701).
  25. Highway safety program fund:
  a. Highway safety program account (23001).
  26. Drinking water program management and administration fund:
  a. EFC drinking water program account (23101).
  b. DOH drinking water program account (23102).
  27. New York city county clerks offset fund:
  a. NYCCC operating offset account (23151).
  28. Housing assistance fund.
  29. Housing program fund.
  30. Department of transportation - engineering services fund:
  a. Highway facility purpose account (31951).
  31. Miscellaneous capital projects fund:
  a. New York racing account (32213).
  32. Mental hygiene facilities capital improvement fund.
  33. Joint labor/management administration fund:
  a. Joint labor/management administration fund (55201).
  34. Audit and control revolving fund:
  a. Executive direction internal audit account (55251).
  b. CIO Information technology centralized services account (55252).
  35. Health insurance internal service fund:
  a. Health insurance internal service account (55300).
  b. Civil service employee benefits div admin (55301).
  36. Correctional industries revolving fund.
  37. Correctional facilities capital improvement fund.
  38. HCRA resources fund:
  a. EPIC premium account (20818).
  b. Hospital based grants program account (20812).
  c. Child health plus program account (20810).
  S 1-a. The state comptroller is hereby authorized and directed to loan
money  in  accordance  with the provisions set forth in subdivision 5 of
section 4 of the state finance law to any account within  the  following
federal  funds,  provided  the comptroller has made a determination that
sufficient federal grant award authority is available to reimburse  such
loans:
  1. Federal USDA-food nutrition services fund.
  2. Federal health and human services fund.
  3. Federal education grants fund.
  4. Federal block grant fund.
  5. Federal operating grants fund.
  6. Federal capital projects fund.
  7. Federal unemployment insurance administration fund.

S. 2605                            43                            A. 3005

  8. Federal unemployment insurance occupational training fund.
  9. Federal employment and training grants.
  S  2.  Notwithstanding any law to the contrary, and in accordance with
section 4 of the state finance law, the comptroller is hereby authorized
and directed to transfer, upon request of the director of the budget, on
or before March 31, 2014, up to the unencumbered balance or the  follow-
ing amounts:
  Economic Development and Public Authorities:
  1.  $175,000  from  the miscellaneous special revenue fund underground
facilities safety training account (22172), to the general fund.
  2. An amount up to the unencumbered  balance  from  the  miscellaneous
special  revenue  fund, business and licensing services account (21977),
to the general fund.
  3. $14,810,000 from  the  miscellaneous  special  revenue  fund,  code
enforcement account (21904), to the general fund.
  4.  An  amount  up  to the unencumbered balance from the miscellaneous
special revenue fund,  administrative  costs  account  (21974),  to  the
general fund.
  5.  $3,000,000  from  the  general  fund  to the miscellaneous special
revenue fund, tax revenue arrearage account (22168).
  Education:
  1. $2,242,000,000 from the general fund to  the  state  lottery  fund,
education  account (20901), as reimbursement for disbursements made from
such fund for supplemental aid to education pursuant to section 92-c  of
the  state  finance  law  that are in excess of the amounts deposited in
such fund for such purposes pursuant to section 1612 of the tax law.
  2. $901,800,000 from the general fund to the state lottery  fund,  VLT
education  account (20904), as reimbursement for disbursements made from
such fund for supplemental aid to education pursuant to section 92-c  of
the  state  finance  law  that are in excess of the amounts deposited in
such fund for such purposes pursuant to section 1612 of the tax law.
  3. Moneys from the state lottery fund up to  an  amount  deposited  in
such  fund  pursuant  to  section  1612  of the tax law in excess of the
current year appropriation for supplemental aid to education pursuant to
section 92-c of the state finance law.
  4. $300,000 from the local government records  management  improvement
fund to the archives partnership trust fund.
  5. $900,000 from the general fund to the miscellaneous special revenue
fund, Batavia school for the blind account (22032).
  6. $900,000 from the general fund to the miscellaneous special revenue
fund, Rome school for the deaf account (22053).
  7.  $80,000,000 from the state university dormitory income fund to the
state university residence hall rehabilitation fund.
  8. $343,400,000 from the state university dormitory income fund to the
miscellaneous special revenue fund, state  university  dormitory  income
reimbursable account (21937).
  9.  $24,000,000  from  any  of  the state education department special
revenue and internal service funds to the miscellaneous special  revenue
fund, indirect cost recovery account (21978).
  10.  $8,318,000  from  the general fund to the state university income
fund, state university income offset account (22654),  for  the  state's
share of repayment of the STIP loan.
  11. $51,700,000 from the state university income fund, state universi-
ty hospitals income reimbursable account (22656) to the general fund for
hospital  debt  service  for  the period April 1, 2013 through March 31,
2014.

S. 2605                            44                            A. 3005

  Environmental Affairs:
  1.  $5,000,000 from the department of transportation's federal capital
projects fund to the office of parks and  recreation  federal  operating
grants fund, miscellaneous operating grants account (25300).
  2.  $16,000,000  from any of the department of environmental conserva-
tion's special revenue federal funds to the special revenue fund federal
grant indirect cost recovery account (22188).
  3. $2,000,000 from any of the department  of  environmental  conserva-
tion's  special revenue federal funds to the conservation fund as neces-
sary to avoid diversion of conservation funds.
  4. $15,000,000 from the environmental protection  fund,  environmental
protection transfer account (30451) to the general fund.
  5. $3,000,000 from any of the office of parks, recreation and historic
preservation  capital projects federal funds and special revenue federal
funds to the special revenue fund federal grant indirect  cost  recovery
account (22188).
  6. $1,000,000 from any of the office of parks, recreation and historic
preservation  special revenue federal funds to the special revenue fund,
I love NY water account (21930).
  Family Assistance:
  1. $10,000,000 from any of the office of children and family services,
office of temporary and disability assistance, or department  of  health
special  revenue  federal funds and the general fund, in accordance with
agreements with social services districts, to the miscellaneous  special
revenue  fund, office of human resources development state match account
(21967).
  2. $3,000,000 from any of the office of children and  family  services
or office of temporary and disability assistance special revenue federal
funds to the miscellaneous special revenue fund, family preservation and
support services and family violence services account (22082).
  3.  $6,000,000  from any of the office of children and family services
special revenue federal  funds  to  the  general  fund  for  title  IV-E
reimbursement of youth facility costs.
  4. $12,670,000 from any of the office of children and family services,
office  of  temporary and disability assistance, or department of health
special revenue federal  funds  and  any  other  miscellaneous  revenues
generated  from  the operation of office of children and family services
programs to the general fund.
  5. $10,000,000 from any of the office of children and family  services
or  office  of temporary and disability assistance special revenue funds
or  the  general  fund  to  the  miscellaneous  special  revenue   fund,
connections account (22180).
  6.  $41,000,000  from  any  of  the office of temporary and disability
assistance accounts within the federal health and human services fund to
the general fund.
  7. $159,000,000 from any of the office  of  temporary  and  disability
assistance  or department of health special revenue funds to the general
fund.
  8. $2,500,000 from any of  the  office  of  temporary  and  disability
assistance  or  office  of  children and family services special revenue
federal funds to the  miscellaneous  special  revenue  fund,  office  of
temporary and disability assistance program account (21980).
  9. $50,000,000 from any of the office of children and family services,
office  of temporary and disability assistance, department of labor, and
department of health special revenue federal  funds  to  the  office  of

S. 2605                            45                            A. 3005

children  and family services miscellaneous special revenue fund, multi-
agency training contract account (21989).
  10.  $152,400,000  from  the miscellaneous special revenue fund, youth
facility per Diem account (22186), to the general fund.
  11. $621,850 from the general fund to the combined gifts, grants,  and
bequests fund, WB Hoyt Memorial account (20128).
  12.  $4,822,000  from  the  miscellaneous  special  revenue fund state
central registry (22028) to the general fund.
  General Government:
  1. $1,566,000 from the miscellaneous special revenue fund, examination
and miscellaneous revenue account (22065) to the general fund.
  2. $12,500,000 from the general fund to the health insurance revolving
fund.
  3. $192,400,000 from the health insurance reserve receipts fund to the
general fund.
  4. $150,000 from the general fund to the not-for-profit revolving loan
fund.
  5. $150,000 from the not-for-profit revolving loan fund to the general
fund.
  6. $31,000,000 from the miscellaneous special revenue fund, real prop-
erty disposition account (22006), to the general fund.
  7. $3,000,000 from the miscellaneous  special  revenue  fund,  surplus
property account (22036), to the general fund.
  8.  $18,200,000  from  the  general  fund to the miscellaneous special
revenue fund, alcoholic beverage control account (22033).
  9. $23,000,000 from the miscellaneous special  revenue  fund,  revenue
arrearage account (22024), to the general fund.
  10.  $1,826,000  from  the  miscellaneous special revenue fund revenue
arrearage account (22024), to the  miscellaneous  special  revenue  fund
authority budget office account (22138).
  11.  $1,000,000  from  the miscellaneous special revenue fund, parking
services account (22007), to the general fund, for the purpose of  reim-
bursing the costs of debt service related to state parking facilities.
  12.  $55,200,000  from  the  general fund to the miscellaneous special
revenue fund, statewide financial system account (22074).
  13. $40,000,000 from the general fund to  the  office  for  technology
internal  service fund, central technology services account (55069), for
the purpose of enterprise technology projects.
  Health:
  1. $139,560,000 from the miscellaneous special revenue  fund,  quality
of care account (21915) to the general fund.
  2.  $1,000,000 from the general fund to the combined gifts, grants and
bequests fund, breast cancer research and education account (20155),  an
amount  equal to the monies collected and deposited into that account in
the previous fiscal year.
  3. $2,464,000 from any of the department of health accounts within the
federal health and human services  fund  to  the  department  of  health
miscellaneous  special  revenue  fund,  statewide  planning and research
cooperation system (SPARCS) program account (21902).
  4. $250,000 from the general fund to the combined  gifts,  grants  and
bequests  fund,  prostate  cancer  research,  detection,  and  education
account (20183), an amount equal to the moneys collected  and  deposited
into that account in the previous fiscal year.
  5.  $500,000  from  the general fund to the combined gifts, grants and
bequests fund,  Alzheimer's  disease  research  and  assistance  account

S. 2605                            46                            A. 3005

(20143), an amount equal to the moneys collected and deposited into that
account in the previous fiscal year.
  6.  $1,000,000  from  the miscellaneous special revenue fund, adminis-
tration account (21982), to the general fund.
  7. $600,000,000 from any of the department of health  accounts  within
the  federal health and human services fund to the miscellaneous special
revenue fund, federal state health reform partnership account (22076).
  8. $26,000,000 from the special revenue fund, HCRA resources fund,  to
the  miscellaneous  special  revenue  fund, empire state stem cell trust
fund account (22161).
  9. $1,250,000 from the  miscellaneous  New  York  state  agency  fund,
medical assistance account to the general fund.
  10.  $3,700,000  from  the  miscellaneous  New York state agency fund,
medical assistance account to the general fund.
  11. $14,000,000 from the general fund  to  the  miscellaneous  special
revenue fund, empire state stem cell trust fund (22161).
  12.  $139,560,000 from any of the department of health accounts within
the federal health and human services fund to the miscellaneous  special
revenue fund, quality of care account (21915).
  Labor:
  1.  $700,000  from  the  labor standards miscellaneous special revenue
fund, fee and penalty account (21923), to the child performer protection
fund, child performer protection account (20401).
  2. $8,400,000 from the labor standards miscellaneous  special  revenue
fund, fee and penalty account (21923), to the general fund.
  3.  $3,300,000  from  the  unemployment insurance interest and penalty
special revenue fund, unemployment insurance special interest and penal-
ty account (23601), to the general fund.
  4. $3,000,000 from the labor standards miscellaneous  special  revenue
fund, public work enforcement account (21998), to the general fund.
  5.  $2,200,000 from the training and education program on occupational
safety and  health  fund,  occupational  safety  and  health  inspection
account (21252), to the general fund.
  6.  $900,000  from  the training and education program on occupational
safety and health fund, training and education account (21251),  to  the
general fund.
  Mental Hygiene:
  1.  $10,000,000  from  the  miscellaneous special revenue fund, mental
hygiene patient income account (21909),  to  the  miscellaneous  special
revenue fund, federal salary sharing account (22056).
  2.  $150,000,000  from  the miscellaneous special revenue fund, mental
hygiene patient income account  (21909)  to  the  miscellaneous  special
revenue fund, provider of service accounts (21903).
  3.  $150,000,000  from  the miscellaneous special revenue fund, mental
hygiene program fund account (21907) to the miscellaneous special reven-
ue fund, provider of service account (21903).
  4. $150,000,000 from the general fund  to  the  miscellaneous  special
revenue fund, mental hygiene patient income account (21909).
  5.  $300,000,000  from  the  general fund to the miscellaneous special
revenue fund, mental hygiene program fund account (21907).
  6. $100,000,000 from the miscellaneous special  revenue  fund,  mental
hygiene program fund account (21907) to the general fund.
  7.  $100,000,000  from  the miscellaneous special revenue fund, mental
hygiene patient income account (21909) to the general fund.
  Public Protection:

S. 2605                            47                            A. 3005

  1. $1,350,000 from the miscellaneous special revenue  fund,  emergency
management account (21944), to the general fund.
  2.  $3,300,000  from  the  general  fund  to the miscellaneous special
revenue fund, recruitment incentive account (22171).
  3. $9,500,000 from the general fund  to  the  correctional  industries
revolving   fund,   correctional  industries  internal  service  account
(55350).
  4. $10,000,000 from federal miscellaneous operating grants fund,  DMNA
damage account (25324), to the general fund.
  5.  $16,000,000  from  the  general  fund to the miscellaneous special
revenue fund, crimes against revenue program account (22015).
  6. $20,000,000 from any office of homeland security account within the
federal miscellaneous operating grants fund, receiving money through the
homeland security grants program, to the general fund.
  7. $22,000,000 from the miscellaneous special revenue  fund,  criminal
justice improvement account (21945) to the general fund.
  8.  $20,000,000 from the miscellaneous special revenue fund, statewide
public safety communications account (22123), to the general fund.
  9. $106,000,000 from the state police and motor vehicle  law  enforce-
ment  and  motor vehicle theft and insurance fund prevention fund, state
police motor vehicle enforcement account (22802) to the general fund for
state operation expenses of the division of state police.
  10. $21,500,000 from the general fund to the  correctional  facilities
capital improvement fund.
  11.  $1,500,000 from the miscellaneous special revenue fund, statewide
public safety communications account (22123),  to  the  combined  gifts,
grants  and  bequests  fund, New York state emergency services revolving
loan account (20150).
  12. $3,000,000 from the general fund  to  the  dedicated  highway  and
bridge  trust  fund  for  the  purpose  of  work  zone safety activities
provided by the division of state police for the department of transpor-
tation.
  Transportation:
  1. $17,672,000 from the federal miscellaneous operating grants fund to
the special revenue fund, tri-state federal  regional  planning  account
(21913).
  2.  $20,147,000  from the federal capital projects fund to the special
revenue fund, tri-state federal regional planning accounts (21913).
  3. $15,368,000 from the miscellaneous special revenue fund, compulsory
insurance account (22087), to the general fund.
  4. $12,000,000 from the general fund to the mass transportation  oper-
ating  assistance  fund, public transportation systems operating assist-
ance account (21401).
  5. $624,691,000 from the general fund to  the  dedicated  highway  and
bridge trust fund.
  6.  $606,000  from  the  miscellaneous  special revenue fund, internet
point insurance reduction program account (22094), to the general fund.
  7. $6,000 from the  miscellaneous  special  revenue  fund,  motorcycle
safety account (21976), to the general fund.
  8.  $307,200,000 from the general fund to the MTA financial assistance
fund, mobility tax trust account (23651).
  9. $20,000,000 from the mass transportation operating assistance fund,
metropolitan mass transportation operating assistance  account  (21402),
to  the  general  debt  service  fund,  for reimbursement of the state's
expenses in  connection  with  payments  of  debt  service  and  related

S. 2605                            48                            A. 3005

expenses  for  the metropolitan transportation authority's state service
contract bonds.
  Miscellaneous:
  1. $150,000,000 from the general fund to any funds or accounts for the
purpose of reimbursing certain outstanding accounts receivable balances.
  2. $ 1,000,000,000 from the general fund to the debt reduction reserve
fund.
  3.  $450,000,000  from  the transformative capital fund to the revenue
bond tax fund (40152).
  S 3. Notwithstanding any law to the contrary, and in  accordance  with
section 4 of the state finance law, the comptroller is hereby authorized
and directed to transfer, on or before March 31, 2014:
  1.  Upon request of the commissioner of environmental conservation, up
to $11,126,800 from revenues credited to any of the department of  envi-
ronmental  conservation special revenue funds, including $3,253,200 from
the environmental  protection  and  oil  spill  compensation  fund,  and
$1,762,600 from the conservation fund, to the environmental conservation
special revenue fund, indirect charges account (21060).
  2.  Upon request of the commissioner of agriculture and markets, up to
$3,000,000 from any special revenue fund or enterprise fund  within  the
department of agriculture and markets to the general fund, to pay appro-
priate administrative expenses.
  3.  Upon request of the commissioner of agriculture and markets, up to
$2,000,000 from the state exposition special fund, state  fair  receipts
account  (50051)  to the miscellaneous capital projects fund, state fair
capital improvement account (32208).
  4. Upon request of the commissioner of the  division  of  housing  and
community  renewal, up to $6,221,000 from revenues credited to any divi-
sion of housing and community renewal federal or  miscellaneous  special
revenue fund to the agency cost recovery account (22090).
  5.  Upon  request  of  the commissioner of the division of housing and
community renewal, up to $5,500,000 may be transferred from any  miscel-
laneous  special  revenue  fund  account,  to  any miscellaneous special
revenue fund.
  6. Upon request of the commissioner of health up to  $15,000,000  from
revenues  credited  to any of the department of health's special revenue
funds, to the miscellaneous special revenue fund, administration account
(21982).
  S 4. Notwithstanding section 2815 of the  public  health  law  or  any
other  contrary  provision of law, upon the direction of the director of
the budget and the commissioner of health, the  dormitory  authority  of
the  state  of  New  York  is directed to transfer seven million dollars
annually from funds available and uncommitted  in  the  New  York  state
health  care  restructuring  pool  to  the health care reform act (HCRA)
resources fund - HCRA resources account.
  S 5. On or before March 31, 2014, the comptroller is hereby authorized
and directed to deposit earnings that  would  otherwise  accrue  to  the
general  fund  that are attributable to the operation of section 98-a of
the state finance law, to the agencies internal  service  fund,  banking
services  account  (55057),  for  the purpose of meeting direct payments
from such account.
  S 6. Notwithstanding any law to the contrary, upon  the  direction  of
the  director of the budget and upon requisition by the state university
of New York, the dormitory  authority  of  the  state  of  New  York  is
directed  to  transfer, up to $22,000,000 in revenues generated from the
sale of notes or  bonds,  to  the  state  university  of  New  York  for

S. 2605                            49                            A. 3005

reimbursement  of bondable equipment for further transfer to the state's
general fund.
  S  7.  Notwithstanding any law to the contrary, and in accordance with
section 4 of the state finance law, the comptroller is hereby authorized
and directed to transfer, upon request of the director of the budget and
upon consultation with the state university chancellor  or  his  or  her
designee,  on or before March 31, 2014, up to $16,000,000 from the state
university income fund general revenue  account  (22653)  to  the  state
general  fund for debt service costs related to campus supported capital
project costs for the  NY-SUNY  2020  challenge  grant  program  at  the
University at Buffalo.
  S  8.  Notwithstanding any law to the contrary, and in accordance with
section 4 of the state finance law, the comptroller is hereby authorized
and directed to transfer, upon request of the director of the budget and
upon consultation with the state university chancellor  or  his  or  her
designee,  on  or before March 31, 2014, up to $6,500,000 from the state
university income fund general revenue  account  (22653)  to  the  state
general  fund for debt service costs related to campus supported capital
project costs for the  NY-SUNY  2020  challenge  grant  program  at  the
University at Albany.
  S  9.  Notwithstanding  any  law to the contrary, the state university
chancellor or her designee is authorized and directed to transfer  esti-
mated tuition revenue balances from the state university collection fund
to  the  state  university fund, state university general revenue offset
account (22655) on or before March 31, 2014.
  S 10. Notwithstanding any law to the contrary, and in accordance  with
section 4 of the state finance law, the comptroller is hereby authorized
and directed to transfer, upon request of the director of the budget, up
to  $60,000,000  from  the  general  fund to the state university income
fund, state university hospitals  income  reimbursable  account  (22656)
during  the period July 1, 2013 through June 30, 2014 to reflect ongoing
state subsidy of SUNY hospitals and to pay  costs  attributable  to  the
SUNY hospitals' state agency status.
  S  11. Notwithstanding any law to the contrary, and in accordance with
section 4 of the state finance law, the comptroller is hereby authorized
and directed to transfer, upon request of the director of the budget, up
to $969,050,300 from the general fund to  the  state  university  income
fund, state university general revenue offset account (22655) during the
period  of  July  1, 2013 through June 30, 2014 to support operations at
the state university.
  S 12. Notwithstanding any law to the contrary, and in accordance  with
section 4 of the state finance law, the comptroller is hereby authorized
and  directed to transfer, upon request of the state university chancel-
lor or his or her designee, up to $50,000,000 from the state  university
income  fund,  state  university  hospitals  income reimbursable account
(22656), for hospital income reimbursable for services and  expenses  of
hospital  operations  and  capital  expenditures at the state university
hospitals, and the state university income fund  Long  Island  veterans'
home account (22652) to the state university capital projects fund on or
before June 30, 2014.
  S  13. Notwithstanding any law to the contrary, and in accordance with
section 4 of the state finance law, the comptroller, after  consultation
with  the  state university chancellor or his or her designee, is hereby
authorized and directed to transfer moneys, in the first instance,  from
the  state  university  collection fund, Stony Brook hospital collection
account (61006), Brooklyn hospital collection account (61007), and Syra-

S. 2605                            50                            A. 3005

cuse hospital collection account (61008) to the state university  income
fund,  state university hospitals income reimbursable account (22656) in
the event insufficient funds  are  available  in  the  state  university
income  fund,  state  university  hospitals  income reimbursable account
(22656) to transfer moneys, in amounts sufficient  to  permit  the  full
transfer  of  moneys  authorized  for  transfer, to the general fund for
payment of debt service related to the SUNY hospitals.   Notwithstanding
any  law  to the contrary, the comptroller is also hereby authorized and
directed, after consultation with the state university chancellor or his
or her designee, to transfer moneys from  the  state  university  income
fund  to  the  state  university income fund, state university hospitals
income reimbursable account (22656) in the event insufficient funds  are
available  in  the state university income fund, state university hospi-
tals income reimbursable account (22656) to pay hospital operating costs
or to transfer moneys, in amounts sufficient to permit the full transfer
of moneys authorized for transfer, to the general fund  for  payment  of
debt service related to the SUNY hospitals on or before March 31, 2014.
  S  14. Notwithstanding any law to the contrary, and in accordance with
section 4 of the state finance law, the comptroller is hereby authorized
and directed to transfer monies, upon request of  the  director  of  the
budget,  on  or  before March 31, 2014, from and to any of the following
accounts: the miscellaneous special revenue fund, patient income account
(21909), the miscellaneous special revenue fund, mental hygiene  program
fund  account  (21907),  the miscellaneous special revenue fund, federal
salary sharing account (22056) or the general fund in  any  combination,
the aggregate of which shall not exceed $350 million.
  S  15. Notwithstanding any law to the contrary, and in accordance with
section 4 of the state finance law, the comptroller is hereby authorized
and directed to transfer, at the request of the director of the  budget,
up  to $500 million from the unencumbered balance of any special revenue
fund or account, or combination of funds and accounts,  to  the  general
fund. The amounts transferred pursuant to this authorization shall be in
addition  to  any  other  transfers  expressly authorized in the 2013-14
budget. Transfers  from  federal  funds,  debt  service  funds,  capital
projects  funds, the community projects fund, or funds that would result
in the loss of eligibility for federal benefits or federal funds  pursu-
ant  to  federal law, rule, or regulation, are not permitted pursuant to
this authorization. The director of the budget shall notify both  houses
of  the legislature in writing prior to initiating transfers pursuant to
this authorization.
  S 16. Notwithstanding any law to the contrary, and in accordance  with
section 4 of the state finance law, the comptroller is hereby authorized
and  directed to transfer, at the request of the director of the budget,
up to $100 million from any non-general fund or account, or  combination
of funds and accounts, to the special revenue other-technology financing
account  for  the  purpose  of  consolidating technology procurement and
services. The amounts transferred pursuant to this  authorization  shall
be  equal  to or less than the amount of such monies intended to support
information technology costs which  are  attributable,  according  to  a
plan,  to  such  account  made  in pursuance to an appropriation by law.
Transfers to the technology financing account shall  be  completed  from
amounts  collected  by  non-general funds or accounts pursuant to a fund
deposit schedule or permanent statute, and shall be transferred  to  the
technology  financing  account pursuant to a schedule agreed upon by the
affected agency commissioner.  Transfers  from  federal  funds  are  not
permitted pursuant to this authorization; nor may transfers be made from

S. 2605                            51                            A. 3005

funds  that would result in the loss of eligibility for federal benefits
or federal funds pursuant to federal law,  rule,  or  regulation.    The
director  of  the  budget shall notify both houses of the legislature in
writing prior to initiating transfers pursuant to this authorization.
  S  17. Notwithstanding any provision of law to the contrary, as deemed
feasible and advisable by its trustees, the power authority of the state
of New York is authorized and directed to (i) make a contribution to the
state treasury to the credit  of  the  general  fund,  or  as  otherwise
directed in writing by the director of the budget, in an amount of up to
$90,000,000  for  the  state  fiscal  year commencing April 1, 2013, the
proceeds of which will be  utilized  for  economic  development,  energy
efficiency,  or energy cost mitigation purposes, and (ii) transfer up to
$25,000,000 of any such contribution by June 30, 2013 and the  remainder
of any such contribution by March 31, 2014.
  S  18. In addition to any payment made by a public benefit corporation
pursuant to an assessment imposed under sections 2975, 2975-a, 2976  and
2976-a  of  the  public authorities law, a public benefit corporation is
authorized to make voluntary contributions to the state general fund for
any lawful purpose at any time from any public benefit corporation funds
in such amounts as deemed to be feasible and advisable  by  such  public
benefit  corporation's  governing  board  after due consideration of the
public benefit corporation's legal and financial obligations.   Notwith-
standing  any  other law, the payment of a voluntary payment pursuant to
this subdivision is deemed to be a valid and proper  purpose  for  which
available  funds  may  be  applied.  Voluntary contributions made to the
state pursuant to this subdivision shall be payable to the state  treas-
ury to the credit of the general fund.
  S 19. Section 53 of part U of chapter 59 of the laws of 2012, relating
to providing for administration of certain funds and accounts related to
the 2013-2014 budget, is amended to read as follows:
  S  53.  This  act shall take effect immediately and shall be deemed to
have been in full force and effect on and after April 1, 2012;  provided
that  sections one through seven, sections ten through fifteen, [section
seventeen,] and sections twenty through thirty-three of this  act  shall
expire  March  31,  2013,  when  upon  such date, the provisions of such
sections shall be deemed repealed; provided further that the  amendments
to subdivisions 1 and 2 of section 45 of section 1 of chapter 174 of the
laws of 1968 made by section forty-nine of this act shall not affect the
expiration of such subdivisions and shall be deemed to expire therewith.
  S  20.  Subdivision  5  of section 97-rrr of the state finance law, as
amended by section 16 of part U of chapter 59 of the laws  of  2012,  is
amended to read as follows:
  5. Notwithstanding the provisions of section one hundred seventy-one-a
of  the  tax law, as separately amended by chapters four hundred eighty-
one and four hundred eighty-four of the laws of nineteen hundred  eight-
y-one,  and notwithstanding the provisions of chapter ninety-four of the
laws of two thousand eleven, or any  other  provisions  of  law  to  the
contrary,  during  the  fiscal  year beginning April first, two thousand
[twelve] THIRTEEN,  the  state  comptroller  is  hereby  authorized  and
directed  to  deposit  to the fund created pursuant to this section from
amounts collected pursuant to article twenty-two  of  the  tax  law  and
pursuant  to  a  schedule submitted by the director of the budget, up to
[$3,322,067,000] $3,419,375,000, as may be certified in such schedule as
necessary to meet the purposes of such fund for the fiscal  year  begin-
ning April first, two thousand [twelve] THIRTEEN.

S. 2605                            52                            A. 3005

  S  21.  The  comptroller  is authorized and directed to deposit to the
general fund-state purposes account reimbursements from moneys appropri-
ated or reappropriated to the correctional facilities  capital  improve-
ment  fund  by  a  chapter  of the laws of 2013. Reimbursements shall be
available  for  spending  from  appropriations made to the department of
corrections and community supervision in the general fund-state purposes
accounts by a chapter of the laws of 2013 for costs associated with  the
administration  and  security  of  capital  projects and for other costs
which are attributable, according to a plan, to such capital projects.
  S 22. Section 3 of part W of chapter 60 of the laws of 2011,  amending
the  state  finance  law relating to disbursements from the tribal-state
compact revenue account to certain municipalities, is amended to read as
follows:
  S 3. This act shall take effect immediately; provided that:
  (a) the amendments to subdivision 3  of  section  99-h  of  the  state
finance  law  made by section one of this act shall expire and be deemed
repealed [March 31, 2013] DECEMBER 31, 2016; and
  (b) the amendments to paragraph (a) of subdivision 4 of  section  99-h
of  the  state  finance  law  made  by section two of this act shall not
affect the expiration of such section and  shall  be  deemed  to  expire
therewith.
  S  23.  Subdivision  3  of  section  99-h of the state finance law, as
amended by section 1 of part V of chapter 59 of the  laws  of  2006,  is
amended to read as follows:
  3. Moneys of the account, following [appropriation] THE SEGREGATION OF
APPROPRIATIONS  ENACTED  by  the  legislature,  shall  be  available for
purposes including but not limited to: (a) reimbursements or payments to
municipal governments that host tribal casinos  pursuant  to  a  tribal-
state compact for costs incurred in connection with services provided to
such  casinos  or  arising as a result thereof, for economic development
opportunities and job expansion programs  authorized  by  the  executive
law;  provided,  however,  that  for  any gaming facility located in the
county of Erie or Niagara, the municipal governments hosting the facili-
ty shall collectively receive a minimum of twenty-five  percent  of  the
negotiated percentage of the net drop from electronic gaming devices the
state receives pursuant to the compact and provided further that for any
gaming  facility located in the county or counties of Cattaraugus, Chau-
tauqua or Allegany, the municipal governments of the state  hosting  the
facility  shall collectively receive a minimum of twenty-five percent of
the negotiated percentage of the net drop from electronic gaming devices
the state receives pursuant to the compact; and  provided  further  that
pursuant  to  chapter  five  hundred  ninety of the laws of two thousand
four, a minimum of twenty-five percent of the revenues received  by  the
state  pursuant  to  the state's compact with the St. Regis Mohawk tribe
shall be made available to the counties of Franklin  and  St.  Lawrence,
and  affected  towns in such counties. Each such county and its affected
towns shall receive fifty percent of the moneys made  available  by  the
state;  and  (b)  support and services of treatment programs for persons
suffering from gambling addictions. Moneys not [appropriated] SEGREGATED
for such purposes shall be transferred  to  the  general  fund  for  the
support of government during the fiscal year in which they are received.
  S  24.  Paragraphs  (a)  and  (b)  of  subdivision 7 of section 5-a of
section 1 of chapter 392 of the laws of 1973, constituting the New  York
state  medical  care  facilities  finance  agency  act, paragraph (a) as
amended by chapter 55 of the laws of 1992 and paragraph (b)  as  amended
by chapter 59 of the laws of 1993, are amended to read as follows:

S. 2605                            53                            A. 3005

  (a)  In  connection with the making of federally-aided mortgage loans,
the commissioner of health shall  charge  to  such  non-profit  hospital
corporation,  non-profit corporation providing a residential health care
facility or non-profit medical corporation, for mortgage closings on  or
after April first, nineteen hundred eighty-nine, a fee of nine-tenths of
one percent of the mortgage loan, payable on requisition on or after the
mortgage  closing to the state department of health by the mortgagor for
deposit into the [miscellaneous special revenue fund - 339 hospital  and
nursing home management account] STATE GENERAL FUND.
  (b) In connection with the refinancing or refunding of federally-aided
mortgage  loans  or  loans  made pursuant to articles twenty-eight-A and
twenty-eight-B of the public health  law,  the  commissioner  of  health
shall  charge to such non-profit hospital corporation, non-profit corpo-
ration providing  a  residential  health  care  facility  or  non-profit
medical  corporation,  for  mortgage  closings  on or after April first,
nineteen hundred eighty-nine, a fee of five-tenths of one percent of the
new mortgage loan, payable on requisition on or after the mortgage clos-
ing to the state department of health by the mortgagor for deposit  into
the  [miscellaneous  special  revenue fund-339 hospital and nursing home
management account] STATE GENERAL FUND.
  S 25. In the event that a  capital  appropriation  in  the  amount  of
$25,000,000  is  included  in  the  enacted  budget  for the fiscal year
commencing April 1, 2013 for the cleaner,  greener  communities  program
administered  by  the  New  York  State  energy research and development
authority, then notwithstanding any provision of law, rule or regulation
to the contrary, the New York  State  energy  research  and  development
authority is authorized and directed to pay to the state treasury to the
credit  of  the  general fund for the cost of such program the amount of
$15,000,000 for the fiscal year commencing April 1, 2013  from  proceeds
collected  by  the  authority from the auction or sale of carbon dioxide
emission allowances allocated by the department of environmental conser-
vation under the Regional Greenhouse Gas Initiative. If, in  any  fiscal
year,  such  $25,000,000 appropriation or any reappropriation thereof is
reduced or eliminated prior to disbursement of $15,000,000,  where  such
reduction  or  elimination  is  not  based upon the disbursement of such
$25,000,000 appropriation, the comptroller is authorized and directed to
transfer, at the request of the director of the division of the  budget,
an  amount  equal  to such reduced or eliminated amount from the general
fund to the New York State energy research  and  development  authority,
not to exceed in the aggregate $15,000,000.
  S  26.  Notwithstanding  any  other  law,  rule,  or regulation to the
contrary, the comptroller is hereby authorized and directed to  deposit,
to  the  credit  of  the  capital  projects fund, reimbursement from the
proceeds of notes or bonds issued by  the  dormitory  authority  of  the
state  of  New York for a capital appropriation for $215,650,000 author-
ized by chapter 55 of the laws of 2000 to all state agencies for payment
of costs related to the strategic investment program.
  S 27. Notwithstanding any  other  law,  rule,  or  regulation  to  the
contrary,  the  comptroller is hereby authorized and directed to deposit
to the credit of the  capital  projects  fund,  reimbursement  from  the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration  for a capital appropriation of $30,174,000 authorized by chapter
55 of the laws of 2003 to the department of  environmental  conservation
for payment of a portion of the state's match for federal capitalization
grants  for  the water pollution control revolving loan fund, reimburse-
ment from the proceeds of notes or bonds issued by the urban development

S. 2605                            54                            A. 3005

corporation or other financing source for  a  capital  appropriation  of
$19,500,000  authorized  by chapter 50 of the laws of 2003 to the office
of general services for payment of capital construction costs for the 51
Elk  street  parking  garage  building  located  in  the city of Albany,
reimbursement from the proceeds of notes or bonds issued  by  the  urban
development  corporation for disbursements of up to $10,000,000 from any
capital appropriation or reappropriation authorized by chapter 50 of the
laws of 2003 to the office of general  services  for  various  purposes,
reimbursement from the proceeds of notes or bonds issued by the environ-
mental facilities corporation for a capital appropriation of $13,250,000
authorized  by chapter 55 of the laws of 2003 to the energy research and
development authority for the Western New York Nuclear Service Center at
West Valley, reimbursement from the proceeds of notes or bonds issued by
the dormitory authority for disbursements of up to $16,400,000 from  any
capital appropriation or reappropriation authorized by chapter 51 of the
laws of 2003 to the judiciary for courthouse improvements, reimbursement
from  the  proceeds  of  notes  or bonds issued by the urban development
corporation for disbursements of up to $10,000,000  from  appropriations
or  reappropriations authorized by chapter 50 of the laws of 2003 to any
agency for costs related to homeland security,  reimbursement  from  the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration  for a capital appropriation of $10,000,000 authorized by chapter
55 of the laws of 2003 to the department of  environmental  conservation
for  Onondaga  lake,  reimbursement  from the proceeds of notes or bonds
issued by the environmental facilities corporation for disbursements  of
up  to  $11,000,000  from any capital appropriations or reappropriations
authorized by chapter 55 of the laws of 2003 to the department of  envi-
ronmental  conservation  for  environmental  purposes, and reimbursement
from the proceeds of notes or bonds issued by  the  dormitory  authority
for  disbursements  of  up  to $100,000,000 from a capital appropriation
authorized by chapter 50 of the laws of 2003 to the department of  state
for enhanced 911 wireless service.
  S  28.  Notwithstanding  any  other  law,  rule,  or regulation to the
contrary, the comptroller is hereby authorized and directed  to  deposit
to  the  credit  of  the  capital  projects fund, reimbursement from the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration for a capital appropriation for $28,893,000 authorized by chapter
55 of the laws of 2004 to the department of  environmental  conservation
for payment of a portion of the state's match for federal capitalization
grants  for  the water pollution control revolving loan fund, reimburse-
ment from the proceeds of notes or bonds issued by the urban development
corporation for disbursements of up  to  $10,000,000  from  any  capital
appropriation or reappropriation authorized by chapter 50 of the laws of
2004  to the office of general services for various purposes, reimburse-
ment from the proceeds of notes or bonds  issued  by  the  environmental
facilities  corporation  for  a  capital  appropriation  of  $11,350,000
authorized by chapter 55 of the laws of 2004 to the energy research  and
development authority for the Western New York Nuclear Service Center at
West Valley, reimbursement from the proceeds of notes or bonds issued by
the environmental facilities corporation, for a capital appropriation of
$10,000,000  authorized by chapter 55 of the laws of 2004 to the depart-
ment of environmental conservation for Onondaga lake, reimbursement from
the proceeds of notes or bonds issued by  the  environmental  facilities
corporation  for  disbursements  of  up  to $11,000,000 from any capital
appropriations or reappropriations authorized by chapter 55 of the  laws
of  2004  to  the  department of environmental conservation for environ-

S. 2605                            55                            A. 3005

mental purposes, reimbursement from  the  proceeds  of  notes  or  bonds
issued  by  the  dormitory  authority  for  a  capital  appropriation of
$80,000,000 authorized by chapter 53 of the laws of 2004 to  the  educa-
tion  department  for  capital  transition  grants  for  transportation,
reimbursement from the proceeds of notes or bonds issued by the dormito-
ry authority for a capital appropriation of $243,325,000  authorized  by
chapter  55 of the laws of 2004 for payment of costs related to economic
development projects, reimbursement from the proceeds of bonds or  notes
issued  by the urban development corporation for a capital appropriation
of $83,500,000 authorized by chapter 53 of the laws of 2006, as  amended
by  chapter 108 of the laws of 2006, for payment of costs related to the
H. H. Richardson complex and the Darwin Martin House, and  reimbursement
from  the  proceeds  of notes or bonds issued by the dormitory authority
for a capital appropriation of $345,750,000 authorized by chapter  3  of
the laws of 2004 for the New York state economic development program.
  S  29.  Notwithstanding  any  other  law,  rule,  or regulation to the
contrary, the comptroller is hereby authorized and directed  to  deposit
to  the  credit  of  the  capital  projects fund, reimbursement from the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration for a capital appropriation of $29,602,000 authorized by  chapter
55  of  the laws of 2005 to the department of environmental conservation
for payment of a portion of the state's match for federal capitalization
grants for the water pollution control revolving loan  fund,  reimburse-
ment from the proceeds of notes or bonds issued by the urban development
corporation  for  disbursements  of  up  to $10,000,000 from any capital
appropriation or reappropriation authorized by chapter 50 of the laws of
2005 to the office of general services for various purposes,  reimburse-
ment  from  the  proceeds  of notes or bonds issued by the environmental
facilities  corporation  for  a  capital  appropriation  of  $11,350,000
authorized  by chapter 55 of the laws of 2005 to the energy research and
development authority for the Western New York Nuclear Service Center at
West Valley, reimbursement from the proceeds of notes or bonds issued by
the environmental facilities corporation for a capital appropriation  of
$10,000,000  authorized by chapter 55 of the laws of 2005 to the depart-
ment of environmental conservation for Onondaga lake, reimbursement from
the proceeds of notes or bonds issued by  the  environmental  facilities
corporation  for  disbursements  of  up  to $11,000,000 from any capital
appropriations or reappropriations authorized by chapter 55 of the  laws
of  2005  to  the  department of environmental conservation for environ-
mental purposes, reimbursement from  the  proceeds  of  notes  or  bonds
issued  by the urban development corporation for a capital appropriation
of $350,000,000 authorized by chapter 55 of the laws  of  2005  for  the
Javits  center, reimbursement from the proceeds of notes or bonds issued
by the dormitory authority for a capital  appropriation  of  $89,750,000
authorized  by  chapter 62 of the laws of 2005 for regional development,
reimbursement from the proceeds of notes or bonds issued by the dormito-
ry authority for a capital appropriation of $249,000,000  authorized  by
chapter  62  of  the  laws  of  2005  for  technology  and  development,
reimbursement from the proceeds of notes or bonds issued  by  the  urban
development  corporation  for  a  capital  appropriation  of $48,517,000
authorized by chapter 162 of the laws of 2005 for  the  New  York  state
economic  development  program, reimbursement from the proceeds of notes
or bonds issued by the  urban  development  corporation  for  a  capital
appropriation  of  $150,000,000  authorized by chapter 62 of the laws of
2005  for  the  higher  education  facilities  capital  matching  grants
program, reimbursement from the proceeds of notes or bonds issued by the

S. 2605                            56                            A. 3005

dormitory  authority  or  other financing source for a capital appropri-
ation of $4,000,000 authorized by chapter 50 of the laws of 2005 to  the
office of general services for payment of capital construction costs for
the  Elk  street  parking garage building located in the city of Albany,
reimbursement from the proceeds of notes or bonds issued  by  the  urban
development  corporation  for  a  capital  appropriation  of $15,000,000
authorized by chapter 53 of the laws of  2005  to  the  state  education
department  for  payment of capital construction costs for public broad-
casting facilities, reimbursement from the proceeds of  notes  or  bonds
issued  by the urban development corporation for a capital appropriation
of $15,700,000 authorized by chapter 50 of the laws of 2005 to the divi-
sion of state police for public protection facilities, and reimbursement
from the proceeds of notes or bonds  issued  by  the  urban  development
corporation for capital disbursements of up to $3,000,000 from any capi-
tal  appropriation  or  reappropriation  authorized by chapter 50 of the
laws of 2005 to the division of military and naval affairs  for  various
purposes.
  S  30.  Notwithstanding  any  other  law,  rule,  or regulation to the
contrary, the comptroller is hereby authorized and directed  to  deposit
to  the  credit  of  the  capital  projects fund, reimbursement from the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration for a capital appropriation for $29,600,000 authorized by chapter
55 of the laws of 2006 to the department of  environmental  conservation
for payment of a portion of the state's match for federal capitalization
grants  for  the water pollution control revolving loan fund, reimburse-
ment from the proceeds of notes or bonds issued by the urban development
corporation for disbursements of up  to  $20,000,000  from  any  capital
appropriation or reappropriation authorized by chapter 50 of the laws of
2006  to the office of general services for various purposes, reimburse-
ment from the proceeds of notes or bonds  issued  by  the  environmental
facilities  corporation  for  a  capital  appropriation  of  $14,000,000
authorized by chapter 55 of the laws of 2006 to the energy research  and
development authority for the Western New York Nuclear Service Center at
West Valley, reimbursement from the proceeds of notes or bonds issued by
the  environmental facilities corporation for a capital appropriation of
$10,000,000 authorized by chapter 55 of the laws of 2006 to the  depart-
ment of environmental conservation for Onondaga lake, reimbursement from
the  proceeds  of  notes or bonds issued by the environmental facilities
corporation for disbursements of up  to  $12,000,000  from  any  capital
appropriations  or reappropriations authorized by chapter 55 of the laws
of 2006 to the department of  environmental  conservation  for  environ-
mental  purposes,  reimbursement  from  the  proceeds  of notes or bonds
issued by the urban development corporation for capital disbursements of
up to $3,000,000  from  any  capital  appropriation  or  reappropriation
authorized by chapter 50 of the laws of 2006 to the division of military
and  naval affairs for various purposes, reimbursement from the proceeds
of notes or bonds  issued  by  the  urban  development  corporation  for
disbursements  of  up  to  $12,400,000 from any capital appropriation or
reappropriation authorized by chapter 50 of the  laws  of  2006  to  the
division of state police for public protection facilities, reimbursement
from  the  proceeds  of  notes  or bonds issued by the urban development
corporation for a capital appropriation of  $117,000,000  authorized  by
chapter 50 of the laws of 2006 to all state departments and agencies for
the  purchase  of equipment, reimbursement from the proceeds of notes or
bonds issued by the dormitory authority or the urban development  corpo-
ration  for  all  or a portion of capital appropriations of $603,050,000

S. 2605                            57                            A. 3005

authorized by chapter 108 of the laws of 2006 to the  urban  development
corporation  for economic development/other projects, reimbursement from
the proceeds of notes or bonds issued by the  urban  development  corpo-
ration for a capital appropriation of $269,500,000 authorized by chapter
108 of the laws of 2006 to the dormitory authority or the urban develop-
ment  corporation  for economic development projects, reimbursement from
the proceeds of notes or bonds issued by the dormitory authority or  the
urban   development   corporation   for   a   capital  appropriation  of
$201,500,000 authorized by chapter 108 of the laws of 2006 to the  urban
development  corporation for university development projects, reimburse-
ment from the proceeds of notes or bonds issued by the dormitory author-
ity or for a capital appropriation of $143,000,000 authorized by chapter
108 of the laws  of  2006  to  the  urban  development  corporation  for
cultural  facilities  projects, reimbursement from the proceeds of notes
or bonds issued by the dormitory  authority  or  the  urban  development
corporation  for  capital appropriations totaling $60,000,000 authorized
by chapter 108 of the laws of 2006 to the urban development  corporation
for  energy/environmental  projects,  reimbursement from the proceeds of
notes or bonds issued by the dormitory authority or the  urban  develop-
ment  corporation  for a capital appropriation of $20,000,000 authorized
by chapter 108 of the laws of 2006 to the urban development  corporation
for  a  competitive  solicitation for construction of a pilot cellulosic
ethanol refinery, reimbursement from the  proceeds  of  notes  or  bonds
issued  by the urban development corporation for a capital appropriation
of $74,700,000 authorized by chapter 55 of the laws of 2006 to the urban
development corporation for services and expenses related to infrastruc-
ture for a new stadium in Queens  county,  and  reimbursement  from  the
proceeds  of  notes or bonds issued by the urban development corporation
for a capital appropriation of $74,700,000 authorized by chapter  55  of
the  laws  of 2006 to the urban development corporation for services and
expenses related to infrastructure improvements to construct a new park-
ing facility at a new stadium in Bronx county,  reimbursement  from  the
proceeds  of  notes  and  bonds  issued  by the environmental facilities
corporation for a capital  appropriation  of  $5,000,000  authorized  by
chapter  55  of  the laws of 2006 to the environmental facilities corpo-
ration for payment for the pipeline for jobs program, reimbursement from
the proceeds of notes or bonds issued by  the  dormitory  authority  for
capital  disbursements  of  up to $14,000,000 from any capital appropri-
ation or reappropriation authorized by chapter 53 of the  laws  of  2006
for the library construction purpose, reimbursement from the proceeds of
notes or bonds issued by the urban development corporation or the dormi-
tory  authority for an appropriation of $1,200,000 authorized by chapter
53 of the laws of 2006 for the towns of Bristol and  Canandaigua  public
water  systems, reimbursement from the proceeds of notes or bonds issued
by the urban development corporation or the dormitory authority  for  an
appropriation of $5,500,000 authorized by chapter 53 of the laws of 2006
for  Belleayre  mountain  ski center, reimbursement from the proceeds of
notes or bonds issued by the urban development corporation or the dormi-
tory authority for an appropriation of $25,000,000 authorized by chapter
53 of the laws of 2006 for the town of Smithtown/Kings Park  psychiatric
center rehabilitation, reimbursement from the proceeds of notes or bonds
issued  by  the urban development corporation or the dormitory authority
for an appropriation of $5,000,000 authorized by chapter 108 of the laws
of 2006 for a state of New York umbilical cord bank, reimbursement  from
the  proceeds  of  notes or bonds issued by the urban development corpo-
ration or the dormitory authority for  an  appropriation  of  $5,500,000

S. 2605                            58                            A. 3005

authorized  by  chapter  53 of the laws of 2006 for an Old Gore mountain
ski bowl connection, reimbursement from the proceeds of notes  or  bonds
issued  by  the urban development corporation or the dormitory authority
for  an appropriation of $2,000,000 authorized by chapter 53 of the laws
of 2006 for a Cornell equine drug testing laboratory, reimbursement from
the proceeds of notes or bonds issued by the  urban  development  corpo-
ration  or  the  dormitory  authority for an appropriation of $2,000,000
authorized by chapter 53 of the laws of 2006  for  a  Fredonia  vineyard
laboratory,  reimbursement from the proceeds of notes or bonds issued by
the dormitory authority or the  urban  development  corporation  for  an
appropriation  of  $40,000,000  authorized by chapter 108 of the laws of
2006 for a food testing laboratory, reimbursement from the  proceeds  of
notes  or  bonds  issued  by the New York state thruway authority for an
appropriation of $22,000,000 authorized by chapter 108 of  the  laws  of
2006 to the department of transportation for high speed rail, reimburse-
ment from the proceeds of notes or bonds issued by the urban development
corporation  for  capital  disbursements  of  up to $500,000,000 from an
appropriation authorized by chapter 108 of the laws of 2006 to the urban
development corporation for development of a semiconductor manufacturing
facility, reimbursement from the proceeds of notes or  bonds  issued  by
the  urban  development corporation of up to $150,000,000 from an appro-
priation authorized by chapter 108 of the laws  of  2006  to  the  urban
development  corporation  for  research  and development activities of a
semiconductor manufacturer, and reimbursement from the proceeds of notes
or bonds  issued  by  the  urban  development  corporation  for  capital
disbursements  of  up to $292,385,000 from an appropriation to the urban
development corporation authorized by chapter 108 of the  laws  of  2006
for community revitalization projects.
  S  31.  Notwithstanding  any  other  law,  rule,  or regulation to the
contrary, the comptroller is hereby authorized and directed  to  deposit
to  the  credit  of  the  capital  projects fund, reimbursement from the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration for a capital appropriation of $29,600,000 authorized by  chapter
55  of  the laws of 2007 to the department of environmental conservation
for payment of a portion of the state's match for federal capitalization
grants for the water pollution control revolving loan  fund,  reimburse-
ment from the proceeds of notes or bonds issued by the urban development
corporation  for  disbursements  of  up  to $20,000,000 from any capital
appropriation or reappropriation authorized by chapter 50 of the laws of
2007 to the office of general services for various purposes,  reimburse-
ment  from  the  proceeds  of notes or bonds issued by the environmental
facilities  corporation  for  a  capital  appropriation  of  $13,500,000
authorized  by chapter 55 of the laws of 2007 to the energy research and
development authority for the Western New York Nuclear Service Center at
West Valley, reimbursement from the proceeds of notes or bonds issued by
the environmental facilities corporation for a capital appropriation  of
$10,000,000  authorized by chapter 55 of the laws of 2007 to the depart-
ment of environmental conservation for Onondaga lake, reimbursement from
the proceeds of notes or bonds issued by  the  environmental  facilities
corporation  for  disbursements  of  up  to $12,000,000 from any capital
appropriations or reappropriations authorized by chapter 55 of the  laws
of  2007  to  the  department of environmental conservation for environ-
mental purposes, reimbursement from  the  proceeds  of  notes  or  bonds
issued by the urban development corporation for capital disbursements of
up  to  $3,000,000  from  any  capital  appropriation or reappropriation
authorized by chapter 50 of the laws of 2007 to the division of military

S. 2605                            59                            A. 3005

and naval affairs for various purposes, reimbursement from the  proceeds
of  notes  or  bonds  issued  by  the  urban development corporation for
disbursements from a capital appropriation of $50,000,000 authorized  by
chapter  50  of  the  laws  of  2007 to the division of state police for
construction of a Troop G facility, reimbursement from the  proceeds  of
notes or bonds issued by the urban development corporation for disburse-
ments  from  a capital appropriation of $6,000,000 authorized by chapter
50 of the laws of 2007 to the division of state police for  construction
of evidence storage facilities, reimbursement from the proceeds of notes
or  bonds  issued  by  the  dormitory authority or the urban development
corporation for capital appropriations totaling  $77,900,000  authorized
by  chapter  51  of the laws of 2007 to the judiciary for court training
facilities and courthouse improvement projects, reimbursement  from  the
proceeds  of  notes or bonds issued by the urban development corporation
for a capital appropriation of $20,000,000 authorized by chapter  50  of
the  laws of 2007 to all state departments and agencies for the purchase
of equipment, reimbursement from the proceeds of notes or  bonds  issued
by   the   dormitory  authority  for  capital  disbursements  of  up  to
$14,000,000 from any capital appropriation or reappropriation authorized
by chapter 53 of the laws of 2007 for library  construction,  reimburse-
ment from the proceeds of notes or bonds issued by the dormitory author-
ity  for  capital  disbursements  of  up to $60,000,000 from any capital
appropriation or reappropriation authorized by chapter 53 of the laws of
2007 for cultural education storage facilities, reimbursement  from  the
proceeds  of  notes or bonds issued by the urban development corporation
for capital disbursements of up to $15,000,000 from any  capital  appro-
priation or reappropriation authorized by chapter 55 of the laws of 2007
for Roosevelt Island Operating Corporation aerial tramway, reimbursement
from  the  proceeds  of  notes  or bonds issued by the urban development
corporation for capital disbursements of  up  to  $20,000,000  from  any
capital appropriation or reappropriation authorized by chapter 55 of the
laws  of  2007 for Governor's Island, reimbursement from the proceeds of
notes or bonds issued by the urban development corporation  for  capital
disbursements  of  up  to  $7,500,000  from any capital appropriation or
reappropriation authorized by chapter 55 of the laws of 2007 for  Harri-
man  research  and  technology  park, reimbursement from the proceeds of
notes or bonds issued by the urban development corporation  for  capital
disbursements  of  up  to  $7,950,000  from any capital appropriation or
reappropriation authorized by chapter 55 of the laws  of  2007  for  USA
Niagara, and reimbursement from the proceeds of notes or bonds issued by
the  urban  development  corporation  for capital disbursements of up to
$1,300,000 from appropriations authorized by chapter 50 of the  laws  of
2007  made  to  the  office  of  general services for legislative office
building hearing rooms.
  S 32. Notwithstanding any  other  law,  rule,  or  regulation  to  the
contrary,  the  comptroller is hereby authorized and directed to deposit
to the credit of the  capital  projects  fund,  reimbursement  from  the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration  for a capital appropriation of $29,600,000 authorized by chapter
55 of the laws of 2008 to the department of  environmental  conservation
for payment of a portion of the state's match for federal capitalization
grants  for  the water pollution control revolving loan fund, reimburse-
ment from the proceeds of notes or bonds issued by the urban development
corporation for a capital appropriation of  $141,000,000  authorized  by
chapter 50 of the laws of 2008 to all state departments and agencies for
the purchase of equipment or systems development, reimbursement from the

S. 2605                            60                            A. 3005

proceeds  of  notes or bonds issued by the urban development corporation
for disbursements of up to $45,500,000 from any capital appropriation or
reappropriation authorized by chapter 50 of the  laws  of  2008  to  the
office  of general services for various purposes, reimbursement from the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration for a capital appropriation of $13,500,000 authorized by  chapter
55  of the laws of 2008 to the energy research and development authority
for the  Western  New  York  Nuclear  Service  Center  at  West  Valley,
reimbursement from the proceeds of notes or bonds issued by the environ-
mental facilities corporation for a capital appropriation of $10,000,000
authorized  by chapter 55 of the laws of 2008 to the department of envi-
ronmental  conservation  for  Onondaga  lake,  reimbursement  from   the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration for disbursements of up to $12,000,000 from any capital appropri-
ations  or reappropriations authorized by chapter 55 of the laws of 2008
to  the  department  of  environmental  conservation  for  environmental
purposes,  reimbursement  from  the proceeds of notes or bonds issued by
the urban development corporation for capital  disbursements  of  up  to
$3,000,000  from any capital appropriation or reappropriation authorized
by chapter 50 of the laws of 2008 to the division of military and  naval
affairs  for  various purposes, reimbursement from the proceeds of notes
or bonds issued by the  urban  development  corporation  for  a  capital
appropriation of $2,500,000 authorized by chapter 50 of the laws of 2008
to  the  office  for  technology  for  activities  related  to broadband
service, reimbursement from the proceeds of notes or bonds issued by the
urban development corporation for a capital appropriation of  $6,000,000
authorized  by  chapter  50 of the laws of 2008 to the division of state
police for rehabilitation of facilities, reimbursement from the proceeds
of notes or bonds issued by the dormitory authority of the state of  New
York or other financing source for a capital appropriation authorized by
chapter  53  of the laws of 2008 of $14,000,000 to the education depart-
ment for library construction, reimbursement from the proceeds of  notes
or  bonds  issued by the dormitory authority of the state of New York or
other financing source for a capital appropriation authorized by chapter
53 of the laws of 2008 of $15,000,000 to the  education  department  for
museum  renewal  projects,  reimbursement  from the proceeds of notes or
bonds issued by the urban development corporation for capital  appropri-
ation of $50,000,000 authorized by chapter 53 of the laws of 2008 to the
urban  development  corporation for services and expenses related to the
investment opportunity fund, reimbursement from the proceeds of notes or
bonds issued by the urban development corporation for capital  appropri-
ation of $18,000,000 authorized by chapter 53 of the laws of 2008 to the
urban  development corporation for services and expenses related to arts
and cultural projects, reimbursement from the proceeds of bonds or notes
issued by the urban development corporation for a capital  appropriation
of $32,148,000 authorized by chapter 53 of the laws of 2008 for economic
and  community  development projects, reimbursement from the proceeds of
bonds or notes issued by the urban development corporation for a capital
appropriation of $30,000,000 authorized by chapter 53  of  the  laws  of
2008  for  New  York city waterfront development projects, reimbursement
from the proceeds of bonds or notes  issued  by  the  urban  development
corporation  for  a  capital  appropriation of $45,000,000 authorized by
chapter 53  of  the  laws  of  2008  for  Luther  Forest  infrastructure
projects,  reimbursement  from  the proceeds of notes or bonds issued by
the  urban  development  corporation  for   capital   appropriation   of
$35,000,000  authorized  by  chapter 53 of the laws of 2008 to the urban

S. 2605                            61                            A. 3005

development corporation for services and expenses related  to  downstate
regional  projects,  reimbursement  from  the proceeds of notes or bonds
issued by the urban development corporation for capital appropriation of
$137,037,000  authorized  by chapter 53 of the laws of 2008 to the urban
development corporation for services and  expenses  related  to  upstate
city-by-city projects, reimbursement from the proceeds of notes or bonds
issued by the urban development corporation for capital appropriation of
$35,000,000  authorized  by  chapter 53 of the laws of 2008 to the urban
development corporation for services and expenses related to  the  down-
state  revitalization projects, reimbursement from the proceeds of notes
or bonds issued by the urban development corporation for capital  appro-
priation of $117,265,000 authorized by chapter 53 of the laws of 2008 to
the  urban  development corporation for services and expenses related to
the upstate regional blueprint fund, reimbursement from the proceeds  of
notes  or  bonds issued by the urban development corporation for capital
appropriation of $25,000,000 authorized by chapter 53  of  the  laws  of
2008  to  the  urban  development  corporation for services and expenses
related  to  the  upstate  agricultural   economic   development   fund,
reimbursement  from  the  proceeds of notes or bonds issued by the urban
development  corporation  for  capital  appropriation  of   $350,000,000
authorized  by  chapter  53 of the laws of 2008 to the urban development
corporation for services and expenses related  to  the  New  York  state
capital  assistance program, reimbursement from the proceeds of notes or
bonds issued by the urban development corporation for capital  appropri-
ation  of  $350,000,000  authorized by chapter 53 of the laws of 2008 to
the urban development corporation for services and expenses  related  to
the   New  York  state  economic  development  assistance  program,  and
reimbursement from the proceeds of notes or bonds issued  by  the  urban
development corporation for capital appropriation of $20,000,000 author-
ized  by  chapter 55 of the laws of 2008 to the urban development corpo-
ration for services and expenses related to the  empire  state  economic
development fund.
  S  33.  Notwithstanding  any  other  law,  rule,  or regulation to the
contrary, the comptroller is hereby authorized and directed  to  deposit
to  the  credit  of  the  capital  projects fund, reimbursement from the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration for a capital appropriation of $29,600,000 authorized by  chapter
55  of  the laws of 2009 to the department of environmental conservation
for payment of a portion of the state's match for federal capitalization
grants for the water pollution control revolving loan  fund,  reimburse-
ment from the proceeds of notes or bonds issued by the urban development
corporation  for  a  capital appropriation of $129,800,000 authorized by
chapter 50 of the laws of 2009 to all state departments and agencies for
the purchase of equipment or systems development, reimbursement from the
proceeds of notes or bonds issued by the urban  development  corporation
for disbursements of up to $24,000,000 from any capital appropriation or
reappropriation  authorized  by  chapter  50  of the laws of 2009 to the
office of general services for various purposes, reimbursement from  the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration  for a capital appropriation of $13,500,000 authorized by chapter
55 of the laws of 2009 to the energy research and development  authority
for  the  Western  New  York  Nuclear  Service  Center  at  West Valley,
reimbursement from the proceeds of notes or bonds issued by the environ-
mental facilities corporation for a capital appropriation of $10,000,000
authorized by chapter 55 of the laws of 2009 to the department of  envi-
ronmental   conservation  for  Onondaga  lake,  reimbursement  from  the

S. 2605                            62                            A. 3005

proceeds of notes or bonds issued by the environmental facilities corpo-
ration for disbursements of up to $12,000,000 from any capital appropri-
ations or reappropriations authorized by chapter 55 of the laws of  2009
to  the  department  of  environmental  conservation  for  environmental
purposes, reimbursement from the proceeds of notes or  bonds  issued  by
the  urban  development  corporation  for capital disbursements of up to
$3,000,000 from any capital appropriation or reappropriation  authorized
by  chapter 50 of the laws of 2009 to the division of military and naval
affairs for various purposes, reimbursement from the proceeds  of  notes
or  bonds  issued  by  the  urban  development corporation for a capital
appropriation of $6,000,000 authorized by chapter 50 of the laws of 2009
to the division  of  state  police  for  rehabilitation  of  facilities,
reimbursement from the proceeds of notes or bonds issued by the dormito-
ry  authority  of  the state of New York or other financing source for a
capital appropriation authorized by chapter 53 of the laws  of  2009  of
$14,000,000  to the state education department for library construction,
reimbursement from the proceeds of notes or bonds issued by the dormito-
ry authority of the state of New York or other financing  source  for  a
capital  appropriation  of  $4,000,000 to the state education department
for rehabilitation associated  with  the  St.  Regis  Mohawk  elementary
school  authorized  by  chapter 53 of the laws of 2009 and reimbursement
from the proceeds of notes or bonds  issued  by  the  urban  development
corporation for capital appropriation of $25,000,000 authorized by chap-
ter  55  of  the  laws  of 2009 to the urban development corporation for
services and expenses related to the empire state  economic  development
fund.
  S  34.  Notwithstanding  any  other  law,  rule,  or regulation to the
contrary, the comptroller is hereby authorized and directed  to  deposit
to  the  credit  of  the  capital  projects fund, reimbursement from the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration for a capital appropriation of $29,600,000 authorized by  chapter
55  of  the laws of 2010 to the department of environmental conservation
for payment of a portion of the state's match for federal capitalization
grants for the water pollution control revolving loan  fund,  reimburse-
ment from the proceeds of notes or bonds issued by the urban development
corporation  for  a  capital appropriation of $187,285,000 authorized by
chapter 50 of the laws of 2010 to all state departments and agencies for
the purchase of equipment or systems development, reimbursement from the
proceeds of notes or bonds issued by the urban  development  corporation
for disbursements of up to $26,950,000 from any capital appropriation or
reappropriation  authorized  by  chapter  50  of the laws of 2010 to the
office of general services for various purposes, reimbursement from  the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration  for  a capital appropriation of $5,000,000 authorized by chapter
55 of the laws of 2010 to the department of  environmental  conservation
for  Onondaga  lake,  reimbursement  from the proceeds of notes or bonds
issued by the environmental facilities corporation for disbursements  of
up  to  $12,000,000  from any capital appropriations or reappropriations
authorized by chapter 55 of the laws of 2010 to the department of  envi-
ronmental  conservation  for  environmental purposes, reimbursement from
the proceeds of notes or bonds issued by the  urban  development  corpo-
ration  for  capital  disbursements of up to $3,000,000 from any capital
appropriation or reappropriation authorized by chapter 50 of the laws of
2010 to the division of military and naval affairs for various purposes,
reimbursement from the proceeds of notes or bonds issued  by  the  urban
development  corporation  for  a  capital  appropriation  of  $6,000,000

S. 2605                            63                            A. 3005

authorized by chapter 50 of the laws of 2010 to the  division  of  state
police for rehabilitation of facilities, reimbursement from the proceeds
of  notes or bonds issued by the dormitory authority of the state of New
York   or   other  financing  source  for  a  capital  appropriation  of
$14,000,000 authorized by chapter 53 of the laws of 2010  to  the  state
education  department  for library construction, reimbursements from the
proceeds of notes or bonds issued by  the  dormitory  authority  of  the
state  of New York or other financing source for a capital appropriation
of $20,400,000 authorized by chapter 100 of the  laws  of  2010  to  the
state   education  department  for  the  longitudinal  data  system  and
reimbursement from the proceeds of notes or bonds issued by the dormito-
ry authority of the state of New York or other financing  source  for  a
capital  appropriation  of  $42,000,000  for  the state preparedness and
training center.
  S 35. Notwithstanding any  other  law,  rule,  or  regulation  to  the
contrary,  the  comptroller is hereby authorized and directed to deposit
to the credit of the  capital  projects  fund,  reimbursement  from  the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration  for a capital appropriation of $35,000,000 authorized by a chap-
ter of the laws of 2011 to the department of environmental  conservation
for payment of a portion of the state's match for federal capitalization
grants  for  the water pollution control revolving loan fund, reimburse-
ment from the proceeds of notes or bonds issued by the urban development
corporation for a capital appropriation of $92,751,000 authorized  by  a
chapter  of  the  laws of 2011 to all state departments and agencies for
the purchase of equipment or systems development, reimbursement from the
proceeds of notes or bonds issued by the urban  development  corporation
for disbursements of up to $40,000,000 from any capital appropriation or
reappropriation  authorized  by  a  chapter  of  the laws of 2011 to the
office of general services for various purposes, reimbursement from  the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration for disbursements of up to $12,000,000 from any capital appropri-
ations  or  reappropriations authorized by a chapter of the laws of 2011
to  the  department  of  environmental  conservation  for  environmental
purposes,  reimbursement  from  the proceeds of notes or bonds issued by
the urban development corporation for capital  disbursements  of  up  to
$3,000,000  from any capital appropriation or reappropriation authorized
by a chapter of the laws of 2011 to the division of military  and  naval
affairs  for  various purposes, reimbursement from the proceeds of notes
or bonds issued by the  urban  development  corporation  for  a  capital
appropriation  of $6,000,000 authorized by a chapter of the laws of 2011
to the division  of  state  police  for  rehabilitation  of  facilities,
reimbursement from the proceeds of notes or bonds issued by the dormito-
ry  authority  of  the state of New York or other financing source for a
capital appropriation of $14,000,000 authorized by a chapter of the laws
of 2011 to the state  education  department  for  library  construction,
reimbursement  from  the  proceeds of notes or bonds issued by the urban
development  corporation  for  capital  appropriation  of   $130,550,000
authorized  by  a  chapter  of the laws of 2011 to the urban development
corporation for services and expenses related to the  regional  economic
development council initiative, reimbursement from the proceeds of notes
or  bonds issued by the urban development corporation for capital appro-
priation of $50,000,000 authorized by a chapter of the laws of  2011  to
the  urban  development corporation for services and expenses related to
the economic transformation program.  Reimbursements from  the  proceeds
of  notes  or  bonds  issued  by  the  urban development corporation for

S. 2605                            64                            A. 3005

disbursements of up to $40,000,000 from  any  capital  appropriation  or
reappropriation  authorized  by  a  chapter  of  the laws of 2011 to the
office of general services for various purposes.
  S  36.  Notwithstanding  any  other  law,  rule,  or regulation to the
contrary, the comptroller is hereby authorized and directed  to  deposit
to  the  credit  of  the  capital  projects fund, reimbursement from the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration for a capital appropriation of $35,000,000 authorized by a  chap-
ter  of the laws of 2012 to the department of environmental conservation
for payment of a portion of the state's match for federal capitalization
grants for the water pollution control revolving loan  fund,  reimburse-
ment  from  the  proceeds  of notes or bonds issued by the environmental
facilities corporation for disbursements of up to $12,000,000  from  any
capital  appropriations  or  reappropriations authorized by a chapter of
the laws of 2012 to the department  of  environmental  conservation  for
environmental  purposes,  reimbursement  from  the  proceeds of notes or
bonds issued by the urban development corporation for capital  disburse-
ments  of up to $3,000,000 from any capital appropriation or reappropri-
ation authorized by a chapter of the laws of 2012  to  the  division  of
military  and naval affairs for various purposes, reimbursement from the
proceeds of notes or bonds issued by the urban  development  corporation
for a capital appropriation of $6,000,000 authorized by a chapter of the
laws  of  2012  to  the  division  of state police for rehabilitation of
facilities, reimbursement from the proceeds of notes or bonds issued  by
the  dormitory  authority  of  the  state of New York or other financing
source for a capital appropriation of $14,000,000 authorized by a  chap-
ter  of  the  laws of 2012 to the state education department for library
construction, reimbursement from the proceeds of notes or  bonds  issued
by the thruway authority, the dormitory authority and the urban develop-
ment  corporation for a capital appropriation of $770,000,000 authorized
by chapter 54 of the laws of 2012  to  the  metropolitan  transportation
authority for various purposes, reimbursement from the proceeds of notes
or  bonds issued by the thruway authority for a capital appropriation of
$15,000,000 authorized by chapter 54 of the laws of 2012 to the  depart-
ment  of  transportation  for  improvement  of  the  peace bridge plaza,
reimbursement from the proceeds of notes or bonds issued  by  the  urban
development  corporation  for  a  capital  appropriation of $130,000,000
authorized by a chapter of the laws of 2012  to  the  urban  development
corporation  for  services and expenses related to the regional economic
development council initiative, reimbursement from the proceeds of notes
or bonds issued by the  urban  development  corporation  for  a  capital
appropriation of $75,000,000 authorized by a chapter of the laws of 2012
to  the  urban development corporation for services and expenses related
to the New York works economic development fund, reimbursement from  the
proceeds  of  notes or bonds issued by the urban development corporation
for a capital appropriation of $75,000,000 authorized by  a  chapter  of
the  laws  of 2012 to the urban development corporation for services and
expenses related to the buffalo regional innovation cluster,  reimburse-
ment from the proceeds of notes or bonds issued by the urban development
corporation  for a capital appropriation of $250,000,000 authorized by a
chapter of the laws of 2012 to the  urban  development  corporation  for
services  and  expenses  related  to  the  state  university of New York
college for nanoscale and science  engineering  project,  reimbursements
from  the  proceeds  of  notes  or bonds issued by the urban development
corporation for disbursements of up  to  $26,000,000  from  any  capital

S. 2605                            65                            A. 3005

appropriation  or reappropriation authorized by a chapter of the laws of
2012 to the office of general services for various purposes.
  S  37.  Notwithstanding  any  other  law,  rule,  or regulation to the
contrary, the comptroller is hereby authorized and directed  to  deposit
to  the  credit  of  the  capital  projects fund, reimbursement from the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration for a capital appropriation of $35,000,000 authorized by a  chap-
ter  of the laws of 2013 to the department of environmental conservation
for payment of a portion of the state's match for federal capitalization
grants for the water pollution control revolving loan  fund,  reimburse-
ment  from  the  proceeds  of notes or bonds issued by the environmental
facilities corporation for disbursements of up to $12,000,000  from  any
capital  appropriations  or  reappropriations authorized by a chapter of
the laws of 2013 to the department  of  environmental  conservation  for
environmental  purposes,  reimbursement  from  the  proceeds of notes or
bonds issued by the urban development corporation for capital  disburse-
ments  of up to $3,000,000 from any capital appropriation or reappropri-
ation authorized by a chapter of the laws of 2013  to  the  division  of
military  and naval affairs for various purposes, reimbursement from the
proceeds of notes or bonds issued by the urban  development  corporation
for a capital appropriation of $7,000,000 authorized by a chapter of the
laws  of  2013  to  the  division  of state police for rehabilitation of
facilities, reimbursement from the proceeds of notes or bonds issued  by
the  urban  development  corporation  for  a  capital  appropriation  of
$12,500,000 authorized by a chapter of the laws of 2013 to the  division
of  state police for aviation equipment, reimbursement from the proceeds
of notes or bonds issued by the  urban  development  corporation  for  a
capital appropriation of $32,740,000 authorized by a chapter of the laws
of  2013  to  the division of state police for a pistol permit database,
reimbursement from the proceeds of notes or bonds issued by the dormito-
ry authority of the state of New York or other financing  source  for  a
capital appropriation of $14,000,000 authorized by a chapter of the laws
of  2013  to  the  state  education department for library construction,
reimbursement from the proceeds of notes or bonds issued  by  the  urban
development  corporation  for  a  capital  appropriation of $150,000,000
authorized by a chapter of the laws of 2013  to  the  urban  development
corporation  for  services and expenses related to the regional economic
development council initiative, reimbursement from the proceeds of notes
or bonds issued by the  urban  development  corporation  for  a  capital
appropriation of $75,000,000 authorized by a chapter of the laws of 2013
to  the  urban development corporation for services and expenses related
to the buffalo  regional  innovation  cluster,  reimbursement  from  the
proceeds  of  notes or bonds issued by the urban development corporation
for a capital appropriation of $2,166,000 authorized by a chapter of the
laws of 2013 to the  urban  development  corporation  for  services  and
expenses  related  to  the retention of professional football in Western
New York, reimbursements from the proceeds of notes or bonds  issued  by
the urban development corporation for disbursements of up to $26,000,000
from  any capital appropriation or reappropriation authorized by a chap-
ter of the laws of 2013 to the office of general  services  for  various
purposes,  reimbursement  from  the proceeds of notes or bonds issued by
the  urban  development  corporation  for  a  capital  appropriation  of
$53,891,000  authorized  by  a  chapter of the laws of 2013 to the urban
development corporation for services and  expenses  related  to  capital
improvements at Ralph Wilson Stadium, reimbursement from the proceeds of
notes or bonds issued by the urban development corporation for a capital

S. 2605                            66                            A. 3005

appropriation  of  $165,000,000  authorized  by a chapter of the laws of
2013 to the urban development  corporation  for  services  and  expenses
related  to  the New York works economic development fund, reimbursement
from  the proceeds of notes or bonds issued by the thruway authority for
a capital appropriation of $100,000,000 authorized by a chapter  of  the
laws  of  2013  to  the  department of transportation for transportation
infrastructure projects, reimbursement from the  proceeds  of  notes  or
bonds  issued  by  the  thruway authority for a capital appropriation of
$200,000,000 authorized by a chapter of the laws of 2013 to the  depart-
ment of transportation for various purposes.
  S 38. For purposes of sections twenty-six through thirty-seven of this
act,  the  comptroller is also hereby authorized and directed to deposit
to the credit of any  capital  projects  fund,  reimbursement  from  the
proceeds  of bonds and notes issued by any authorized issuer, as defined
by sections 68-a and 69-m of the state finance law, in the  amounts  and
for the purposes listed in such sections.
  S  39.  Notwithstanding  any  other  law,  rule,  or regulation to the
contrary, the comptroller is hereby authorized and directed  to  deposit
to  the  credit  of  the  state university residence hall rehabilitation
fund, reimbursement from the proceeds of notes or bonds  issued  by  the
dormitory  authority  of the state of New York for capital disbursements
of up to $331,000,000 from any appropriation or reappropriation  author-
ized by a chapter of the laws of 2013.
  S  40.  Notwithstanding  any  other  law,  rule,  or regulation to the
contrary, the comptroller is hereby authorized and directed  to  deposit
to the credit of the city university special revenue fund, reimbursement
from the proceeds of notes or bonds issued by the Dormitory Authority of
the  State  of  New  York for capital disbursements of up to $20,000,000
from any appropriation or reappropriation authorized by  chapter  53  of
the  laws  of  2009  to  the  city  university  of  New York for various
purposes.
  S 41. Notwithstanding any  other  law,  rule,  or  regulation  to  the
contrary, the state comptroller is hereby authorized and directed to use
any  balance  remaining  in the mental health services fund debt service
appropriation, after payment by the state comptroller of all obligations
required pursuant to any lease, sublease, or other financing arrangement
between the dormitory authority of the state of New York as successor to
the New York state medical  care  facilities  finance  agency,  and  the
facilities development corporation pursuant to chapter 83 of the laws of
1995  and  the  department  of  mental hygiene for the purpose of making
payments to the dormitory authority of the state of  New  York  for  the
amount  of  the  earnings  for the investment of monies deposited in the
mental health services fund that such agency determines will or may have
to be rebated to the federal government pursuant to  the  provisions  of
the  internal  revenue code of 1986, as amended, in order to enable such
agency to maintain the exemption from federal  income  taxation  on  the
interest paid to the holders of such agency's mental services facilities
improvement revenue bonds. On or before June 30, 2013, such agency shall
certify  to  the  state  comptroller  its  determination  of the amounts
received in the mental health services fund as a result of  the  invest-
ment  of monies deposited therein that will or may have to be rebated to
the federal government pursuant to the provisions of the internal reven-
ue code of 1986, as amended.
  S 42. (1) Notwithstanding any other law, rule, or  regulation  to  the
contrary,  the state comptroller shall at the commencement of each month
certify to the director of the budget, the commissioner of environmental

S. 2605                            67                            A. 3005

conservation, the chair of the senate finance committee, and  the  chair
of  the assembly ways and means committee the amounts disbursed from all
appropriations for hazardous waste site  remediation  disbursements  for
the month preceding such certification.
  (2)  Notwithstanding any law to the contrary, prior to the issuance by
the comptroller of bonds authorized pursuant to subdivision a of section
4 of the environmental quality bond act of nineteen hundred  eighty-six,
as  enacted  by  chapter 511 of the laws of 1986, disbursements from all
appropriations for that purpose shall first be  reimbursed  from  moneys
credited  to  the  hazardous waste remedial fund, site investigation and
construction account,  to  the  extent  moneys  are  available  in  such
account.  For  purposes of determining moneys available in such account,
the commissioner of environmental  conservation  shall  certify  to  the
comptroller  the  amounts  required  for administration of the hazardous
waste remedial program.
  (3) The comptroller is hereby authorized and directed to transfer  any
balance above the amounts certified by the commissioner of environmental
conservation  to  reimburse disbursements pursuant to all appropriations
from such site investigation and construction account; provided,  howev-
er,  that  if  such  transfers  are  determined by the comptroller to be
insufficient to assure that interest paid  to  holders  of  state  obli-
gations  issued  for  hazardous  waste purposes pursuant to the environ-
mental quality bond act of nineteen hundred eighty-six,  as  enacted  by
chapter 511 of the laws of 1986, is exempt from federal income taxation,
the comptroller is hereby authorized and directed to transfer, from such
site  investigation  and  construction  account to the general fund, the
amount necessary to redeem bonds in an amount necessary  to  assure  the
continuation  of such tax exempt status. Prior to the making of any such
transfers, the comptroller shall notify the director of  the  budget  of
the amount of such transfers.
  S  43.  Subdivision  2  of  section  68-a of the state finance law, as
amended by section 36 of part U of chapter 59 of the laws  of  2012,  is
amended to read as follows:
  2. "Authorized purpose" for purposes of this article and section nine-
ty-two-z  of  this  chapter shall mean any purposes for which state-sup-
ported debt, as defined by section sixty-seven-a of this chapter, may or
has been issued except debt for  which  the  state  is  constitutionally
obligated  thereunder  to  pay  debt  service and related expenses[, and
except (a) as authorized in paragraph (b) of subdivision one of  section
three  hundred eighty-five of the public authorities law, (b) as author-
ized for the department of health of the state of New York facilities as
specified in paragraph a of subdivision two of section  sixteen  hundred
eighty  of  the public authorities law, (c) state university of New York
dormitory facilities  as  specified  in  subdivision  eight  of  section
sixteen  hundred seventy-eight of the public authorities law, and (d) as
authorized for mental health services facilities by  section  nine-a  of
section  one of chapter three hundred ninety-two of the laws of nineteen
hundred seventy-three constituting  the  New  York  state  medical  care
facilities  financing  act. Notwithstanding the provisions of clause (d)
of this subdivision, for the  period  April  first,  two  thousand  nine
through   March  thirty-first,  two  thousand  thirteen,  mental  health
services facilities, as authorized by section nine-a of section  one  of
chapter  three hundred ninety-two of the laws of nineteen hundred seven-
ty-three constituting the New York state medical care facilities financ-
ing act, shall constitute an authorized purpose].

S. 2605                            68                            A. 3005

  S 44. Subdivision 8 of section 68-b  of  the  state  finance  law,  as
amended  by  section 35 of part BB of chapter 58 of the laws of 2011, is
amended to read as follows:
  8.  Revenue  bonds  may  only  be  issued  for authorized purposes, as
defined in section sixty-eight-a of this  article.  Notwithstanding  the
foregoing,  the  dormitory  authority  of  the state of New York and the
urban development corporation may issue revenue bonds for any authorized
purpose of any other such authorized issuer [through March thirty-first,
two thousand thirteen]. The  authorized  issuers  shall  not  issue  any
revenue  bonds  in  an  amount in excess of statutory authorizations for
such authorized purposes. Authorizations for  such  authorized  purposes
shall  be  reduced  in  an  amount  equal to the amount of revenue bonds
issued for such authorized purposes under this article.  Such  reduction
shall  not  be  made in relation to revenue bonds issued to fund reserve
funds, if any, and costs of issuance, if these  items  are  not  counted
under  existing authorizations, nor shall revenue bonds issued to refund
bonds issued under existing authorizations reduce  the  amount  of  such
authorizations.
  S  45. Subdivision 5 of section 3234 of the public authorities law, as
amended by section 54 of part K of chapter 81 of the laws  of  2002,  is
amended to read as follows:
  5.  A  majority  of the whole number of directors then in office shall
constitute a quorum for the transaction of any business or the  exercise
of  any  power of the corporation. Except as otherwise specified in this
title, for the transaction of any business or the exercise of any  power
of the corporation, the corporation shall have power to act by a majori-
ty  of  the  directors  present  at  any meeting at which a quorum is in
attendance; provided that one or more directors  may  participate  in  a
meeting  by  means  of  conference  telephone  or similar communications
equipment allowing all directors participating in the  meeting  to  hear
each  other  at  the  same  time  and  participation by such means shall
constitute presence in person at a meeting.  A  unanimous  vote  of  all
directors  THEN IN OFFICE shall be required for approval of a resolution
authorizing the issuance of bonds or notes or any supplemental or  amen-
datory  resolution.   The corporation may delegate to one or more of its
directors, or officers, agents and employees, such powers and duties  as
the  directors  may deem proper. Five days notice shall be given to each
director and nonvoting representative prior to any meeting of the corpo-
ration.
  S 46. Section 1 of chapter 174 of the laws of 1968,  constituting  the
New York state urban development corporation act, is amended by adding a
new section 46 to read as follows:
  S  46.  1.  NOTWITHSTANDING  THE  PROVISIONS  OF  ANY OTHER LAW TO THE
CONTRARY, THE DORMITORY AUTHORITY AND THE CORPORATION ARE HEREBY AUTHOR-
IZED TO ISSUE BONDS OR NOTES IN ONE OR MORE SERIES FOR  THE  PURPOSE  OF
FUNDING PROJECT COSTS FOR THE NEW YORK STATE TRANSFORMATIVE CAPITAL FUND
AND  OTHER STATE COSTS ASSOCIATED WITH SUCH CAPITAL PROJECTS. THE AGGRE-
GATE PRINCIPAL AMOUNT OF BONDS AUTHORIZED TO BE ISSUED PURSUANT TO  THIS
SECTION  SHALL  NOT  EXCEED  ONE  BILLION  ONE  HUNDRED  SEVENTY MILLION
DOLLARS, EXCLUDING BONDS ISSUED TO FUND ONE OR MORE DEBT SERVICE RESERVE
FUNDS, TO PAY COSTS OF ISSUANCE OF SUCH BONDS, AND BONDS OR NOTES ISSUED
TO REFUND OR OTHERWISE REPAY SUCH BONDS OR NOTES PREVIOUSLY ISSUED. SUCH
BONDS AND NOTES OF THE DORMITORY AUTHORITY AND THE CORPORATION SHALL NOT
BE A DEBT OF THE STATE, AND THE STATE SHALL NOT BE LIABLE  THEREON,  NOR
SHALL  THEY BE PAYABLE OUT OF ANY FUNDS OTHER THAN THOSE APPROPRIATED BY
THE STATE TO THE DORMITORY AUTHORITY AND THE CORPORATION FOR  PRINCIPAL,

S. 2605                            69                            A. 3005

INTEREST,  AND  RELATED EXPENSES PURSUANT TO A SERVICE CONTRACT AND SUCH
BONDS AND NOTES SHALL CONTAIN ON THE FACE THEREOF A  STATEMENT  TO  SUCH
EFFECT. EXCEPT FOR PURPOSES OF COMPLYING WITH THE INTERNAL REVENUE CODE,
ANY  INTEREST  INCOME  EARNED ON BOND PROCEEDS SHALL ONLY BE USED TO PAY
DEBT SERVICE ON SUCH BONDS.
  2. NOTWITHSTANDING ANY OTHER PROVISION OF  LAW  TO  THE  CONTRARY,  IN
ORDER TO ASSIST THE DORMITORY AUTHORITY AND THE CORPORATION IN UNDERTAK-
ING  THE  FINANCING  FOR PROJECT COSTS FOR THE NEW YORK STATE TRANSFORM-
ATIVE CAPITAL FUND AND OTHER STATE COSTS ASSOCIATED  WITH  SUCH  CAPITAL
PROJECTS,  THE DIRECTOR OF THE BUDGET IS HEREBY AUTHORIZED TO ENTER INTO
ONE OR MORE SERVICE CONTRACTS  WITH  THE  DORMITORY  AUTHORITY  AND  THE
CORPORATION,  NONE  OF WHICH SHALL EXCEED THIRTY YEARS IN DURATION, UPON
SUCH TERMS AND CONDITIONS AS THE DIRECTOR OF THE BUDGET AND THE DORMITO-
RY AUTHORITY AND THE CORPORATION AGREE, SO AS TO ANNUALLY PROVIDE TO THE
DORMITORY AUTHORITY AND THE CORPORATION, IN THE AGGREGATE, A SUM NOT  TO
EXCEED  THE  PRINCIPAL, INTEREST, AND RELATED EXPENSES REQUIRED FOR SUCH
BONDS AND NOTES. ANY SERVICE CONTRACT  ENTERED  INTO  PURSUANT  TO  THIS
SECTION SHALL PROVIDE THAT THE OBLIGATION OF THE STATE TO PAY THE AMOUNT
THEREIN  PROVIDED  SHALL  NOT  CONSTITUTE A DEBT OF THE STATE WITHIN THE
MEANING OF ANY CONSTITUTIONAL OR STATUTORY PROVISION AND SHALL BE DEEMED
EXECUTORY ONLY TO THE EXTENT OF MONIES AVAILABLE AND THAT  NO  LIABILITY
SHALL  BE  INCURRED  BY  THE  STATE BEYOND THE MONIES AVAILABLE FOR SUCH
PURPOSE, SUBJECT TO ANNUAL APPROPRIATION BY THE  LEGISLATURE.  ANY  SUCH
CONTRACT  OR  ANY PAYMENTS MADE OR TO BE MADE THEREUNDER MAY BE ASSIGNED
AND PLEDGED BY THE DORMITORY AUTHORITY AND THE CORPORATION  AS  SECURITY
FOR ITS BONDS AND NOTES, AS AUTHORIZED BY THIS SECTION.
  3.  THE COMPTROLLER IS HEREBY AUTHORIZED TO RECEIVE FROM THE DORMITORY
AUTHORITY AND THE CORPORATION ANY  PORTION  OF  BOND  PROCEEDS  PAID  TO
PROVIDE  FUNDS  FOR OR REIMBURSE THE STATE FOR ITS COSTS ASSOCIATED WITH
SUCH CAPITAL PROJECT COSTS AND TO CREDIT SUCH  AMOUNTS  TO  THE  CAPITAL
PROJECTS FUND OR ANY OTHER APPROPRIATE FUND.
  S  47.  Section 1 of chapter 174 of the laws of 1968, constituting the
New York state urban development corporation act, is amended by adding a
new section 47 to read as follows:
  S 47. 1. NOTWITHSTANDING THE  PROVISIONS  OF  ANY  OTHER  LAW  TO  THE
CONTRARY, THE DORMITORY AUTHORITY AND THE CORPORATION ARE HEREBY AUTHOR-
IZED  TO  ISSUE  BONDS OR NOTES IN ONE OR MORE SERIES FOR THE PURPOSE OF
FUNDING PROJECT COSTS FOR THE OFFICE OF INFORMATION TECHNOLOGY  SERVICES
AND  OTHER STATE COSTS ASSOCIATED WITH SUCH CAPITAL PROJECTS. THE AGGRE-
GATE PRINCIPAL AMOUNT OF BONDS AUTHORIZED TO BE ISSUED PURSUANT TO  THIS
SECTION  SHALL  NOT EXCEED SIXTY MILLION DOLLARS, EXCLUDING BONDS ISSUED
TO FUND ONE OR MORE DEBT SERVICE RESERVE FUNDS, TO PAY COSTS OF ISSUANCE
OF SUCH BONDS, AND BONDS OR NOTES ISSUED TO REFUND  OR  OTHERWISE  REPAY
SUCH  BONDS  OR  NOTES  PREVIOUSLY  ISSUED.  SUCH BONDS AND NOTES OF THE
DORMITORY AUTHORITY AND THE CORPORATION SHALL  NOT  BE  A  DEBT  OF  THE
STATE,  AND  THE  STATE  SHALL  NOT BE LIABLE THEREON, NOR SHALL THEY BE
PAYABLE OUT OF ANY FUNDS OTHER THAN THOSE APPROPRIATED BY THE  STATE  TO
THE DORMITORY AUTHORITY AND THE CORPORATION FOR PRINCIPAL, INTEREST, AND
RELATED EXPENSES PURSUANT TO A SERVICE CONTRACT AND SUCH BONDS AND NOTES
SHALL CONTAIN ON THE FACE THEREOF A STATEMENT TO SUCH EFFECT. EXCEPT FOR
PURPOSES  OF  COMPLYING  WITH  THE  INTERNAL  REVENUE CODE, ANY INTEREST
INCOME EARNED ON BOND PROCEEDS SHALL ONLY BE USED TO PAY DEBT SERVICE ON
SUCH BONDS.
  2. NOTWITHSTANDING ANY OTHER PROVISION OF  LAW  TO  THE  CONTRARY,  IN
ORDER TO ASSIST THE DORMITORY AUTHORITY AND THE CORPORATION IN UNDERTAK-
ING  THE FINANCING FOR PROJECT COSTS FOR THE OFFICE OF INFORMATION TECH-

S. 2605                            70                            A. 3005

NOLOGY SERVICES AND OTHER  STATE  COSTS  ASSOCIATED  WITH  SUCH  CAPITAL
PROJECTS,  THE DIRECTOR OF THE BUDGET IS HEREBY AUTHORIZED TO ENTER INTO
ONE OR MORE SERVICE CONTRACTS  WITH  THE  DORMITORY  AUTHORITY  AND  THE
CORPORATION,  NONE  OF WHICH SHALL EXCEED THIRTY YEARS IN DURATION, UPON
SUCH TERMS AND CONDITIONS AS THE DIRECTOR OF THE BUDGET AND THE DORMITO-
RY AUTHORITY AND THE CORPORATION AGREE, SO AS TO ANNUALLY PROVIDE TO THE
DORMITORY AUTHORITY AND THE CORPORATION, IN THE AGGREGATE, A SUM NOT  TO
EXCEED  THE  PRINCIPAL, INTEREST, AND RELATED EXPENSES REQUIRED FOR SUCH
BONDS AND NOTES. ANY SERVICE CONTRACT  ENTERED  INTO  PURSUANT  TO  THIS
SECTION SHALL PROVIDE THAT THE OBLIGATION OF THE STATE TO PAY THE AMOUNT
THEREIN  PROVIDED  SHALL  NOT  CONSTITUTE A DEBT OF THE STATE WITHIN THE
MEANING OF ANY CONSTITUTIONAL OR STATUTORY PROVISION AND SHALL BE DEEMED
EXECUTORY ONLY TO THE EXTENT OF MONIES AVAILABLE AND THAT  NO  LIABILITY
SHALL  BE  INCURRED  BY  THE  STATE BEYOND THE MONIES AVAILABLE FOR SUCH
PURPOSE, SUBJECT TO ANNUAL APPROPRIATION BY THE  LEGISLATURE.  ANY  SUCH
CONTRACT  OR  ANY PAYMENTS MADE OR TO BE MADE THEREUNDER MAY BE ASSIGNED
AND PLEDGED BY THE DORMITORY AUTHORITY AND THE CORPORATION  AS  SECURITY
FOR ITS BONDS AND NOTES, AS AUTHORIZED BY THIS SECTION.
  3.  THE COMPTROLLER IS HEREBY AUTHORIZED TO RECEIVE FROM THE DORMITORY
AUTHORITY AND THE CORPORATION ANY  PORTION  OF  BOND  PROCEEDS  PAID  TO
PROVIDE  FUNDS  FOR OR REIMBURSE THE STATE FOR ITS COSTS ASSOCIATED WITH
SUCH CAPITAL PROJECT COSTS AND TO CREDIT SUCH  AMOUNTS  TO  THE  CAPITAL
PROJECTS FUND OR ANY OTHER APPROPRIATE FUND.
  S  48.  Subdivision  (a)  of section 28 of part Y of chapter 61 of the
laws of 2005, relating to providing for the  administration  of  certain
funds  and  accounts  related  to  the  2005-2006  budget, as amended by
section 39 of part U of chapter 59 of the laws of 2012,  is  amended  to
read as follows:
  (a)  Subject  to the provisions of chapter 59 of the laws of 2000, but
notwithstanding any provisions of law  to  the  contrary,  one  or  more
authorized  issuers  as defined by section 68-a of the state finance law
are hereby authorized to issue bonds or notes in one or more  series  in
an  aggregate  principal amount not to exceed [$24,000,000] $27,000,000,
excluding bonds issued to finance  one  or  more  debt  service  reserve
funds, to pay costs of issuance of such bonds, and bonds or notes issued
to  refund or otherwise repay such bonds or notes previously issued, for
the purpose of financing capital projects for public protection  facili-
ties  in  the  Division  of Military and Naval Affairs, debt service and
leases; and to reimburse the state general fund for  disbursements  made
therefor.  Such bonds and notes of such authorized issuer shall not be a
debt of the state, and the state shall not be liable thereon, nor  shall
they  be  payable  out of any funds other than those appropriated by the
state to such authorized issuer for debt service  and  related  expenses
pursuant to any service contract executed pursuant to subdivision (b) of
this  section and such bonds and notes shall contain on the face thereof
a statement to such effect. Except for purposes of  complying  with  the
internal revenue code, any interest income earned on bond proceeds shall
only be used to pay debt service on such bonds.
  S 49. Subdivision 1 of section 16 of part D of chapter 389 of the laws
of  1997,  relating  to  the  financing  of  the correctional facilities
improvement fund and the youth facility improvement fund, as amended  by
section  40  of  part U of chapter 59 of the laws of 2012, is amended to
read as follows:
  1. Subject to the provisions of chapter 59 of the laws  of  2000,  but
notwithstanding the provisions of section 18 of section 1 of chapter 174
of the laws of 1968, the New York state urban development corporation is

S. 2605                            71                            A. 3005

hereby  authorized  to  issue  bonds,  notes and other obligations in an
aggregate principal amount not to exceed [six] SEVEN billion [eight] ONE
hundred [sixteen] THIRTY-THREE million [eight hundred] sixty-nine  thou-
sand  dollars  [$6,816,869,000]  $7,133,069,000,  and  shall include all
bonds, notes and other obligations issued pursuant to chapter 56 of  the
laws  of  1983,  as amended or supplemented. The proceeds of such bonds,
notes or other obligations shall be paid to the state,  for  deposit  in
the  correctional  facilities capital improvement fund to pay for all or
any portion of the amount or amounts paid by the  state  from  appropri-
ations  or  reappropriations  made  to the department of corrections and
community supervision from the correctional facilities capital  improve-
ment  fund for capital projects. The aggregate amount of bonds, notes or
other obligations authorized to be issued pursuant to this section shall
exclude bonds, notes or other obligations issued to refund or  otherwise
repay bonds, notes or other obligations theretofore issued, the proceeds
of  which  were  paid  to  the state for all or a portion of the amounts
expended by the state from appropriations or  reappropriations  made  to
the  department  of  corrections  and  community  supervision; provided,
however, that upon any such refunding or repayment the  total  aggregate
principal amount of outstanding bonds, notes or other obligations may be
greater   than   [six]  SEVEN  billion  [eight]  ONE  hundred  [sixteen]
THIRTY-THREE  million  [eight  hundred]  sixty-nine   thousand   dollars
[$6,816,869,000] $7,133,069,000, only if the present value of the aggre-
gate  debt  service  of the refunding or repayment bonds, notes or other
obligations to be issued shall not  exceed  the  present  value  of  the
aggregate debt service of the bonds, notes or other obligations so to be
refunded  or  repaid.  For the purposes hereof, the present value of the
aggregate debt service of the refunding or  repayment  bonds,  notes  or
other  obligations and of the aggregate debt service of the bonds, notes
or other obligations so refunded  or  repaid,  shall  be  calculated  by
utilizing  the  effective  interest  rate  of the refunding or repayment
bonds, notes or other obligations, which shall be that rate  arrived  at
by  doubling  the  semi-annual  interest rate (compounded semi-annually)
necessary to discount the debt service  payments  on  the  refunding  or
repayment bonds, notes or other obligations from the payment dates ther-
eof  to  the date of issue of the refunding or repayment bonds, notes or
other obligations and to  the  price  bid  including  estimated  accrued
interest  or  proceeds  received  by the corporation including estimated
accrued interest from the sale thereof.
  S 50. Paragraph (a) of subdivision 2 of section 47-e  of  the  private
housing finance law, as amended by section 41 of part U of chapter 59 of
the laws of 2012, is amended to read as follows:
  (a) Subject to the provisions of chapter fifty-nine of the laws of two
thousand,  in  order  to  enhance and encourage the promotion of housing
programs and thereby achieve the stated purposes and objectives of  such
housing  programs, the agency shall have the power and is hereby author-
ized from time to time to issue negotiable  housing  program  bonds  and
notes  in  such principal amount as shall be necessary to provide suffi-
cient funds for the repayment of amounts disbursed (and  not  previously
reimbursed)  pursuant  to law or any prior year making capital appropri-
ations or reappropriations for the  purposes  of  the  housing  program;
provided,  however, that the agency may issue such bonds and notes in an
aggregate principal amount  not  exceeding  two  billion  [seven]  EIGHT
hundred [forty] FORTY-FOUR million [six] EIGHT hundred ninety-nine thou-
sand  dollars,  plus a principal amount of bonds issued to fund the debt
service reserve fund in accordance with the debt  service  reserve  fund

S. 2605                            72                            A. 3005

requirement  established  by  the  agency and to fund any other reserves
that the agency reasonably deems necessary for the security or  marketa-
bility  of  such  bonds and to provide for the payment of fees and other
charges  and  expenses,  including  underwriters'  discount, trustee and
rating agency fees, bond insurance,  credit  enhancement  and  liquidity
enhancement  related to the issuance of such bonds and notes. No reserve
fund securing the housing program bonds shall be entitled or eligible to
receive state funds apportioned or appropriated to maintain  or  restore
such  reserve  fund at or to a particular level, except to the extent of
any deficiency resulting directly or indirectly from a  failure  of  the
state to appropriate or pay the agreed amount under any of the contracts
provided for in subdivision four of this section.
  S  51.  Subdivision  (b)  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 42 of part U of chapter 59 of the laws of 2012, is amended to
read as follows:
  (b) Any service contract or contracts for projects authorized pursuant
to  sections  10-c,  10-f,  10-g and 80-b of the highway law and section
14-k of the transportation law, and entered into pursuant to subdivision
(a) of this section, shall provide  for  state  commitments  to  provide
annually  to  the  thruway  authority a sum or sums, upon such terms and
conditions as shall be deemed appropriate by the director of the budget,
to fund, or fund the debt service requirements of any bonds or any obli-
gations of the thruway authority issued to fund such projects  having  a
cost  not  in  excess of [$7,106,022,000] $7,516,875,000 cumulatively by
the end of fiscal year [2012-13] 2013-14.
  S 52. Subdivision 1 of section 1689-i of the public  authorities  law,
as amended by section 50 of part U of chapter 59 of the laws of 2012, is
amended to read as follows:
  1.  The  dormitory  authority  is  authorized  to  issue bonds, at the
request of the commissioner of education, to  finance  eligible  library
construction projects pursuant to section two hundred seventy-three-a of
the  education  law,  in  amounts  certified by such commissioner not to
exceed a total principal amount of  [ninety-eight]  ONE  HUNDRED  TWELVE
million dollars.
  S  53.  Subdivision  (a)  of section 27 of part Y of chapter 61 of the
laws of 2005, providing for the  administration  of  certain  funds  and
accounts  related  to  the 2005-2006 budget, as amended by section 43 of
part PP of chapter 56 of the  laws  of  2009,  is  amended  to  read  as
follows:
  (a)  Subject  to the provisions of chapter 59 of the laws of 2000, but
notwithstanding any provisions of law to the contrary, the urban  devel-
opment  corporation  is hereby authorized to issue bonds or notes in one
or  more  series  in  an  aggregate  principal  amount  not  to   exceed
[$114,100,000]  $166,340,000,  excluding  bonds issued to finance one or
more debt service reserve funds, to pay costs of issuance of such bonds,
and bonds or notes issued to refund or otherwise  repay  such  bonds  or
notes  previously  issued, for the purpose of financing capital projects
for THE division of state police [facilities], debt service and  leases;
and to reimburse the state general fund for disbursements made therefor.
Such  bonds  and  notes of such authorized issuer shall not be a debt of
the state, and the state shall not be liable thereon, nor shall they  be
payable  out  of any funds other than those appropriated by the state to
such authorized issuer for debt service and related expenses pursuant to
any service contract  executed  pursuant  to  subdivision  (b)  of  this

S. 2605                            73                            A. 3005

section  and  such  bonds  and notes shall contain on the face thereof a
statement to such effect. Except for  purposes  of  complying  with  the
internal revenue code, any interest income earned on bond proceeds shall
only be used to pay debt service on such bonds.
  S  54.  Section  44  of  section 1 of chapter 174 of the laws of 1968,
constituting the New York state urban development  corporation  act,  as
amended  by  section  43 of part U of chapter 59 of the laws of 2012, is
amended to read as follows:
  S 44. ISSUANCE OF CERTAIN  BONDS  OR  NOTES.  1.  Notwithstanding  the
provisions of any other law to the contrary, the dormitory authority and
the  corporation are hereby authorized to issue bonds or notes in one or
more series for the purpose of funding project costs  for  the  regional
economic  development  council  initiative,  the economic transformation
program, state university of New York college for nanoscale and  science
engineering,  projects  within  the city of Buffalo or surrounding envi-
rons, [and] the New York works economic development fund,  PROJECTS  FOR
THE  RETENTION  OF  PROFESSIONAL FOOTBALL IN WESTERN NEW YORK, and other
state costs associated with such  projects.    The  aggregate  principal
amount  of  bonds authorized to be issued pursuant to this section shall
not exceed [seven hundred ten million five hundred  fifty]  ONE  BILLION
ONE  HUNDRED  FIFTY-SIX  MILLION  SIX  HUNDRED  SEVEN  thousand dollars,
excluding bonds issued to fund one or more debt service  reserve  funds,
to  pay  costs  of  issuance of such bonds, and bonds or notes issued to
refund or otherwise repay such bonds or notes  previously  issued.  Such
bonds and notes of the dormitory authority and the corporation shall not
be  a  debt of the state, and the state shall not be liable thereon, nor
shall they be payable out of any funds other than those appropriated  by
the  state to the dormitory authority and the corporation for principal,
interest, and related expenses pursuant to a service contract  and  such
bonds  and  notes  shall contain on the face thereof a statement to such
effect. Except for purposes of complying with the internal revenue code,
any interest income earned on bond proceeds shall only be  used  to  pay
debt service on such bonds.
  2.  Notwithstanding  any  other  provision  of law to the contrary, in
order to assist the dormitory authority and the corporation in undertak-
ing the financing for project costs for the regional  economic  develop-
ment  council  initiative,  the  economic  transformation program, state
university of New York college for nanoscale  and  science  engineering,
projects  within  the city of Buffalo or surrounding environs [and], the
New York works economic development fund, PROJECTS FOR THE RETENTION  OF
PROFESSIONAL FOOTBALL IN WESTERN NEW YORK, and other state costs associ-
ated with such projects, the director of the budget is hereby authorized
to enter into one or more service contracts with the dormitory authority
and  the  corporation,  none of which shall exceed thirty years in dura-
tion, upon such terms and conditions as the director of the  budget  and
the  dormitory  authority  and  the corporation agree, so as to annually
provide to the dormitory authority and the corporation,  in  the  aggre-
gate,  a sum not to exceed the principal, interest, and related expenses
required for such bonds and notes. Any  service  contract  entered  into
pursuant  to this section shall provide that the obligation of the state
to pay the amount therein provided shall not constitute a  debt  of  the
state  within  the  meaning of any constitutional or statutory provision
and shall be deemed executory only to the extent of monies available and
that no liability shall be incurred  by  the  state  beyond  the  monies
available  for  such  purpose,  subject  to  annual appropriation by the
legislature. Any such contract or any payments made or to be made there-

S. 2605                            74                            A. 3005

under may be assigned and pledged by the  dormitory  authority  and  the
corporation  as  security for its bonds and notes, as authorized by this
section.
  S 55. Subdivisions 1 and 3 of section 1285-p of the public authorities
law,subdivision  1  as amended by section 21 of part II of chapter 59 of
the laws of 2004 and subdivision 3 as amended by section 38 of part U of
chapter 59 of the laws of 2012, are amended to read as follows:
  1. Subject to chapter fifty-nine of the  laws  of  two  thousand,  but
notwithstanding any other provisions of law to the contrary, in order to
assist the corporation in undertaking the administration and the financ-
ing of the design, acquisition, construction, improvement, installation,
and related work for all or any portion of any of the following environ-
mental  infrastructure  projects  and  for the provision of funds to the
state for any amounts disbursed therefor: (a) projects authorized  under
the  environmental protection fund, or for which appropriations are made
to the environmental protection  fund  including,  but  not  limited  to
municipal   parks   and  historic  preservation,  stewardship,  farmland
protection, non-point source, pollution control, Hudson River Park, land
acquisition, and waterfront revitalization; (b) department  of  environ-
mental conservation capital appropriations for Onondaga Lake for certain
water  quality  improvement  projects in the same manner as set forth in
paragraph (d) of subdivision one of section 56-0303 of the environmental
conservation law; (c) for the purpose of the administration, management,
maintenance, and use of the real property at the western New York nucle-
ar service center; and  (d)  department  of  environmental  conservation
capital  appropriations  for  the  administration,  design, acquisition,
construction, improvement, installation, and related work on  department
of environmental conservation environmental infrastructure projects; and
(e) office of parks, recreation and historic preservation appropriations
or reappropriations from the state parks infrastructure fund[,]; AND (F)
CAPITAL GRANTS FOR THE CLEANER, GREENER COMMUNITIES PROGRAM the director
of  the  division  of  budget and the corporation are each authorized to
enter into one or more service contracts, none  of  which  shall  exceed
twenty years in duration, upon such terms and conditions as the director
and  the  corporation may agree, so as to annually provide to the corpo-
ration in the aggregate, a sum not to exceed  the  annual  debt  service
payments  and  related expenses required for any bonds and notes author-
ized pursuant to section  twelve  hundred  ninety  of  this  title.  Any
service  contract  entered  into  pursuant to this section shall provide
that the obligation of 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 provision and shall be deemed execu-
tory only to the extent of moneys available for such  purposes,  subject
to annual appropriation by the legislature. Any such service contract or
any  payments  made or to be made thereunder may be assigned and pledged
by the corporation as security for its bonds and  notes,  as  authorized
pursuant to section twelve hundred ninety of this title.
  3.  The  maximum amount of bonds that may be issued for the purpose of
financing  environmental  infrastructure  projects  authorized  by  this
section  shall  be  one  billion  [one  hundred  eighteen]  TWO  HUNDRED
SIXTY-FIVE million seven hundred sixty thousand  dollars,  exclusive  of
bonds  issued to fund any debt service reserve funds, pay costs of issu-
ance of such bonds, and bonds or notes issued  to  refund  or  otherwise
repay  bonds  or  notes  previously  issued. Such bonds and notes of the
corporation shall not be a debt of the state, and the state shall not be
liable thereon, nor shall they be payable out of any  funds  other  than

S. 2605                            75                            A. 3005

those  appropriated by the state to the corporation for debt service and
related expenses pursuant to any service contracts executed pursuant  to
subdivision  one of this section, and such bonds and notes shall contain
on the face thereof a statement to such effect.
  S 56. The state finance law is amended by adding a new section 92-h to
read as follows:
  S  92-H.  SALES  TAX  REVENUE BOND TAX FUND. 1. THERE IS HEREBY ESTAB-
LISHED IN THE JOINT CUSTODY OF THE STATE COMPTROLLER AND THE COMMISSION-
ER OF TAXATION AND FINANCE A FUND WITHIN THE GENERAL DEBT  SERVICE  FUND
TO BE KNOWN AS THE "SALES TAX REVENUE BOND TAX FUND".
  2.  SUCH  FUND SHALL CONSIST OF THE AMOUNT OF REVENUE COLLECTED WITHIN
THE STATE FROM THE IMPOSITION OF THE SALES AND  COMPENSATING  USE  TAXES
(INCLUDING  INTEREST  AND  PENALTIES) PURSUANT TO SECTION ELEVEN HUNDRED
FIVE AND SECTION ELEVEN HUNDRED TEN OF THE TAX LAW EQUAL TO  THE  AMOUNT
ATTRIBUTABLE TO A ONE PERCENT RATE OF TAXATION, LESS SUCH AMOUNTS AS THE
COMMISSIONER  OF  TAXATION AND FINANCE MAY DETERMINE TO BE NECESSARY FOR
REFUNDS. SUCH SALES AND COMPENSATING USE TAX REVENUES SHALL BE  SEPARATE
AND  DISTINCT FROM THE SALES AND COMPENSATING USE TAX REVENUES DEPOSITED
FROM TIME TO TIME IN THE LOCAL GOVERNMENT ASSISTANCE TAX FUND,  PURSUANT
TO SECTION NINETY-TWO-R OF THIS ARTICLE.  ON AND AFTER THE DATE THAT ALL
OF  THE  OBLIGATIONS  AND  LIABILITIES  OF THE NEW YORK LOCAL GOVERNMENT
ASSISTANCE CORPORATION SHALL HAVE BEEN MET OR OTHERWISE  DISCHARGED,  IT
SHALL  EQUAL  THE AMOUNT ATTRIBUTABLE TO A TWO PERCENT RATE OF TAXATION,
LESS SUCH AMOUNTS AS THE COMMISSIONER OF TAXATION AND FINANCE MAY DETER-
MINE TO BE NECESSARY FOR REFUNDS.
  3. ON OR BEFORE THE TWELFTH DAY OF EACH  MONTH,  THE  COMMISSIONER  OF
TAXATION  AND FINANCE SHALL CERTIFY TO THE STATE COMPTROLLER THE AMOUNTS
SPECIFIED IN SUBDIVISION TWO OF THIS SECTION RELATING TO  THE  PRECEDING
MONTH  AND, IN ADDITION, NO LATER THAN MARCH THIRTY-FIRST OF EACH FISCAL
YEAR THE COMMISSIONER OF TAXATION AND FINANCE SHALL CERTIFY SUCH AMOUNTS
RELATING TO THE LAST MONTH OF SUCH FISCAL YEAR. THE AMOUNTS SO CERTIFIED
SHALL BE DEPOSITED BY THE STATE COMPTROLLER IN  THE  SALES  TAX  REVENUE
BOND TAX FUND.
  4.  MONEYS  IN THE SALES TAX REVENUE BOND TAX FUND SHALL BE KEPT SEPA-
RATE AND SHALL NOT BE COMMINGLED WITH ANY OTHER MONEYS IN THE CUSTODY OF
THE STATE COMPTROLLER AND THE COMMISSIONER OF TAXATION AND FINANCE.  ALL
DEPOSITS  OF  SUCH REVENUES SHALL, IF REQUIRED BY THE STATE COMPTROLLER,
BE SECURED BY OBLIGATIONS OF THE UNITED STATES OR OF THE STATE HAVING  A
MARKET  VALUE  EQUAL AT ALL TIMES TO THE AMOUNT OF SUCH DEPOSITS AND ALL
BANKS AND TRUST COMPANIES ARE  AUTHORIZED  TO  GIVE  SECURITY  FOR  SUCH
DEPOSITS.  ANY  SUCH  MONEYS  IN SUCH FUND MAY, IN THE DISCRETION OF THE
STATE COMPTROLLER, BE INVESTED IN OBLIGATIONS IN WHICH THE  STATE  COMP-
TROLLER  IS  AUTHORIZED  TO INVEST PURSUANT TO SECTION NINETY-EIGHT-A OF
THIS ARTICLE.
  5. (A) THE STATE COMPTROLLER SHALL FROM TIME TO TIME, BUT IN NO  EVENT
LATER  THAN  THE  FIFTEENTH DAY OF EACH MONTH (OTHER THAN THE LAST MONTH
OF THE FISCAL YEAR) AND NO LATER THAN THE THIRTY-FIRST DAY OF  THE  LAST
MONTH  OF EACH FISCAL YEAR, PAY OVER AND DISTRIBUTE TO THE CREDIT OF THE
GENERAL FUND OF THE STATE TREASURY ALL MONEYS IN THE SALES  TAX  REVENUE
BOND  TAX FUND, IF ANY, IN EXCESS OF THE AGGREGATE AMOUNT REQUIRED TO BE
SET ASIDE FOR THE PAYMENT OF CASH REQUIREMENTS PURSUANT TO PARAGRAPH (B)
OF THIS SUBDIVISION, PROVIDED THAT AN APPROPRIATION HAS BEEN MADE TO PAY
ALL AMOUNTS SPECIFIED IN ANY CERTIFICATE OR  CERTIFICATES  DELIVERED  BY
THE DIRECTOR OF THE BUDGET PURSUANT TO PARAGRAPH (B) OF THIS SUBDIVISION
AS  BEING  REQUIRED  BY ANY AUTHORIZED ISSUER AS SUCH TERM IS DEFINED IN
SECTION SIXTY-NINE-M OF THIS CHAPTER FOR THE PAYMENT  OF  CASH  REQUIRE-

S. 2605                            76                            A. 3005

MENTS  OF  SUCH AUTHORIZED ISSUERS FOR SUCH FISCAL YEAR.  SUBJECT TO THE
RIGHTS OF HOLDERS OF DEBT OF THE STATE, IN  NO  EVENT  SHALL  THE  STATE
COMPTROLLER  PAY  OVER AND DISTRIBUTE ANY MONEYS ON DEPOSIT IN THE SALES
TAX  REVENUE BOND TAX FUND TO ANY PERSON OTHER THAN AN AUTHORIZED ISSUER
PURSUANT TO SUCH CERTIFICATE OR CERTIFICATES (I) UNLESS  AND  UNTIL  THE
AGGREGATE OF ALL CASH REQUIREMENTS CERTIFIED TO THE STATE COMPTROLLER AS
REQUIRED  BY  SUCH  AUTHORIZED ISSUERS TO BE SET ASIDE PURSUANT TO PARA-
GRAPH (B) OF THIS SUBDIVISION FOR  SUCH  FISCAL  YEAR  SHALL  HAVE  BEEN
APPROPRIATED  TO SUCH AUTHORIZED ISSUERS IN ACCORDANCE WITH THE SCHEDULE
SPECIFIED IN THE CERTIFICATE OR CERTIFICATES FILED BY  THE  DIRECTOR  OF
THE  BUDGET OR (II) IF, AFTER HAVING BEEN SO CERTIFIED AND APPROPRIATED,
ANY PAYMENT REQUIRED TO BE MADE PURSUANT TO PARAGRAPH (B) OF THIS SUBDI-
VISION HAS NOT BEEN MADE TO THE  AUTHORIZED  ISSUERS  PURSUANT  TO  SUCH
CERTIFICATE  OR CERTIFICATES; PROVIDED, HOWEVER, THAT NO PERSON, INCLUD-
ING SUCH AUTHORIZED ISSUERS OR THE HOLDERS OF REVENUE BONDS, SHALL  HAVE
ANY  LIEN  ON  MONEYS ON DEPOSIT IN THE SALES TAX REVENUE BOND TAX FUND.
ANY AGREEMENT ENTERED INTO PURSUANT  TO  SECTION  SIXTY-NINE-O  OF  THIS
CHAPTER  RELATED  TO  ANY  PAYMENT  AUTHORIZED  BY THIS SECTION SHALL BE
EXECUTORY ONLY TO THE EXTENT OF SUCH REVENUES AVAILABLE TO THE STATE  IN
SUCH  FUND.  NOTWITHSTANDING SUBDIVISIONS TWO AND THREE OF THIS SECTION,
IN THE EVENT THE AGGREGATE OF ALL CASH  REQUIREMENTS  CERTIFIED  TO  THE
STATE COMPTROLLER AS REQUIRED BY SUCH AUTHORIZED ISSUERS TO BE SET ASIDE
PURSUANT TO PARAGRAPH (B) OF THIS SUBDIVISION FOR THE FISCAL YEAR BEGIN-
NING  ON APRIL FIRST SHALL NOT HAVE BEEN APPROPRIATED TO SUCH AUTHORIZED
ISSUERS IN ACCORDANCE WITH THE SCHEDULE SPECIFIED IN THE CERTIFICATE  OR
CERTIFICATES  FILED BY THE DIRECTOR OF THE BUDGET OR, IF, HAVING BEEN SO
CERTIFIED AND APPROPRIATED, ANY PAYMENT REQUIRED TO BE MADE PURSUANT  TO
PARAGRAPH  (B)  OF  THIS  SUBDIVISION HAS NOT BEEN MADE PURSUANT TO SUCH
CERTIFICATE OR CERTIFICATES, ALL RECEIPTS COLLECTED AND DEPOSITED IN THE
SALES TAX REVENUE BOND TAX FUND SHALL REMAIN IN SUCH FUND. NOTWITHSTAND-
ING ANY OTHER PROVISION OF LAW, IF THE STATE HAS APPROPRIATED  AND  PAID
TO  THE  AUTHORIZED  ISSUERS  ALL  AMOUNTS  NECESSARY FOR THE AUTHORIZED
ISSUERS TO MEET THEIR CASH REQUIREMENTS  FOR  THE  CURRENT  FISCAL  YEAR
PURSUANT TO THE CERTIFICATE OR CERTIFICATES SUBMITTED BY THE DIRECTOR OF
THE  BUDGET  PURSUANT  TO PARAGRAPH (B) OF THIS SECTION, THE STATE COMP-
TROLLER SHALL, ON THE LAST DAY OF EACH FISCAL YEAR, PAY TO  THE  GENERAL
FUND  OF  THE STATE ALL SUMS REMAINING IN THE SALES TAX REVENUE BOND TAX
FUND ON SUCH DATE EXCEPT SUCH AMOUNTS AS THE DIRECTOR OF THE BUDGET  MAY
CERTIFY  ARE  NEEDED TO MEET THE CASH REQUIREMENTS OF AUTHORIZED ISSUERS
DURING THE SUBSEQUENT FISCAL YEAR.
  (B) NO LATER THAN THIRTY DAYS AFTER THE SUBMISSION  OF  THE  EXECUTIVE
BUDGET  IN ACCORDANCE WITH ARTICLE SEVEN OF THE CONSTITUTION, THE DIREC-
TOR OF THE BUDGET SHALL PREPARE A CERTIFICATE OF THE AMOUNT  OF  MONTHLY
RECEIPTS ANTICIPATED TO BE DEPOSITED PURSUANT TO SUBDIVISION TWO OF THIS
SECTION  DURING  THE  FISCAL  YEAR  BEGINNING  APRIL  FIRST OF THAT YEAR
TOGETHER WITH THE MONTHLY AMOUNTS NECESSARY TO BE  SET  ASIDE  FROM  THE
RECEIPTS  OF  SUCH  FUND,  AS SHALL BE SUFFICIENT TO MEET THE TOTAL CASH
REQUIREMENTS OF AUTHORIZED ISSUERS, AS DEFINED BY  SECTION  SIXTY-NINE-M
OF THIS CHAPTER DURING SUCH FISCAL YEAR, BASED ON INFORMATION THAT SHALL
BE PROVIDED BY SUCH AUTHORIZED ISSUERS, CONSISTENT WITH THE TERMS OF ANY
CONTRACT WITH OUTSTANDING BONDHOLDERS. EXCEPT FOR THE PURPOSE OF MEETING
CASH  REQUIREMENTS  OF AN AUTHORIZED ISSUER THAT ARE DUE ON A MONTHLY OR
MORE FREQUENT BASIS, PRIOR TO TRANSFERRING ANY MONEYS FROM  THE  ACCOUNT
PURSUANT TO PARAGRAPH (A) OF THIS SUBDIVISION, THE COMPTROLLER SHALL SET
ASIDE  ON A MONTHLY BASIS ALL REVENUES DEPOSITED PURSUANT TO THIS SUBDI-
VISION AS RECEIVED UNTIL THE AMOUNT SET ASIDE IS EQUAL TO  ONE-FIFTH  OF

S. 2605                            77                            A. 3005

THE  INTEREST  DUE  ON  SUCH OBLIGATIONS ON THE NEXT SUCCEEDING INTEREST
PAYMENT DATE MULTIPLIED BY THE NUMBER  OF  MONTHS  FROM  THE  LAST  SUCH
PAYMENT  AND  ONE-ELEVENTH OF THE NEXT PRINCIPAL INSTALLMENT DUE ON SUCH
OBLIGATIONS  MULTIPLIED BY THE NUMBER OF MONTHS FROM THE LAST SUCH PRIN-
CIPAL INSTALLMENT WHERE PRINCIPAL IS DUE ON AN ANNUAL BASIS OR ONE-FIFTH
OF THE NEXT PRINCIPAL INSTALLMENT DUE ON SUCH OBLIGATIONS MULTIPLIED  BY
THE  NUMBER  OF  MONTHS  FROM  THE LAST SUCH PRINCIPAL INSTALLMENT WHERE
PRINCIPAL IS DUE ON A SEMIANNUAL BASIS. FOR THE PURPOSE OF MEETING  CASH
REQUIREMENTS  OF AN AUTHORIZED ISSUER THAT ARE DUE ON A MONTHLY BASIS OR
MORE FREQUENTLY, THE COMPTROLLER SHALL SET ASIDE ALL REVENUES  DEPOSITED
PURSUANT TO SUBDIVISION TWO OF THIS SECTION AS RECEIVED UNTIL THE AMOUNT
SO SET ASIDE IS, IN THE REASONABLE JUDGMENT OF THE DIRECTOR OF THE BUDG-
ET  AS  SET  FORTH  IN SUCH CERTIFICATE, SUFFICIENT TO MAKE THE REQUIRED
PAYMENT ON OR BEFORE  SUCH  PAYMENT  DATE.  NOTWITHSTANDING  SUBDIVISION
THREE  OF, SECTION SEVENTY-TWO OF THIS ARTICLE OR ANY OTHER PROVISION OF
LAW, ALL MONEYS SET ASIDE IN THE SALES TAX REVENUE BOND TAX FUND TO MEET
THE ANNUAL CASH REQUIREMENTS OF AUTHORIZED ISSUERS PURSUANT TO A CERTIF-
ICATE OR CERTIFICATES AS REQUIRED IN THIS PARAGRAPH SHALL REMAIN IN  THE
SALES  TAX  REVENUE BOND TAX FUND UNTIL NEEDED FOR PAYMENT TO AUTHORIZED
ISSUERS, AS PROVIDED IN THIS SECTION. IN THE EVENT THAT THE  AMOUNT  SET
ASIDE  BY THE STATE COMPTROLLER PURSUANT TO THIS PARAGRAPH IS NOT SUFFI-
CIENT TO MEET THE CASH REQUIREMENTS REQUIRED PURSUANT TO  A  CERTIFICATE
OR CERTIFICATES SUBMITTED BY THE DIRECTOR OF THE BUDGET, THE STATE COMP-
TROLLER  SHALL  IMMEDIATELY  TRANSFER FROM THE GENERAL FUND TO THE SALES
TAX REVENUE BOND TAX FUND AN AMOUNT WHICH, WHEN COMBINED WITH THE AMOUNT
SET ASIDE PURSUANT TO THIS PARAGRAPH, SHALL BE SUFFICIENT  TO  MEET  THE
PAYMENT  REQUIRED  PURSUANT  TO  SUCH  CERTIFICATE  OR CERTIFICATES. THE
DIRECTOR OF THE BUDGET MAY REVISE SUCH CERTIFICATION AT  SUCH  TIMES  AS
SHALL  BE  NECESSARY, PROVIDED, HOWEVER, THAT THE DIRECTOR OF THE BUDGET
SHALL, AS NECESSARY, REVISE SUCH CERTIFICATION  NOT  LATER  THAN  THIRTY
DAYS AFTER THE ISSUANCE OF ANY REVENUE BONDS, INCLUDING REFUNDING BONDS,
AND  AFTER THE ADOPTION OF ANY INTEREST RATE EXCHANGE OR OTHER FINANCIAL
ARRANGEMENT AFFECTING THE CASH REQUIREMENTS  OF THE AUTHORIZED  ISSUERS.
IN  NO EVENT SHALL THE STATE COMPTROLLER BE  HELD LIABLE FOR THE FAILURE
TO SET ASIDE AN AMOUNT SUFFICIENT TO PAY  ANY  REQUIRED  PAYMENT  OF  AN
AUTHORIZED ISSUER.
  6. ALL PAYMENTS OF MONEYS FROM THE REVENUE BOND TAX FUND SHALL BE MADE
ON THE AUDIT AND WARRANT OF THE STATE COMPTROLLER.
  S 57. Section 1148 of the tax law, as amended by chapter 3 of the laws
of 2004, is amended to read as follows:
  S  1148.  Deposit  and disposition of revenue. All taxes, interest and
penalties collected or received by the commissioner under  this  article
shall be deposited and disposed of pursuant to the provisions of section
one  hundred  seventy-one-a of this chapter; provided however, the comp-
troller shall on or before the twelfth day of each month, pay  all  such
taxes, interest and penalties collected under this article and remaining
to  the  comptroller's  credit  in  such  banks, banking houses or trust
companies at the close of business on the  last  day  of  the  preceding
month,  into the general fund of the state treasury, except as otherwise
provided in sections ninety-two-d, NINETY-TWO-H, and ninety-two-r of the
state finance law and sections eleven hundred two, eleven  hundred  four
and eleven hundred nine of this article.
  S  58. The state finance law is amended by adding a new article 5-F to
read as follows:
                               ARTICLE 5-F
                SALES TAX REVENUE BOND FINANCING PROGRAM

S. 2605                            78                            A. 3005

SECTION 69-M. DEFINITIONS.
        69-N. ISSUANCE OF BONDS AND NOTES.
        69-O. PAYMENTS TO AUTHORIZED ISSUERS.
  S  69-M.  DEFINITIONS. 1. "AUTHORIZED ISSUER" SHALL MEAN THE DORMITORY
AUTHORITY OF THE STATE OF NEW YORK, THE NEW YORK STATE URBAN DEVELOPMENT
CORPORATION, THE NEW YORK STATE THRUWAY AUTHORITY,  AND  ANY  SUCCESSORS
THERETO.
  2. "AUTHORIZED PURPOSE" FOR PURPOSES OF THIS ARTICLE AND SECTION NINE-
TY-TWO-H  OF  THIS  CHAPTER SHALL MEAN ANY PURPOSES FOR WHICH STATE-SUP-
PORTED DEBT, AS DEFINED BY SECTION SIXTY-SEVEN-A OF THIS CHAPTER, MAY OR
HAS BEEN ISSUED, EXCEPT DEBT FOR WHICH  THE  STATE  IS  CONSTITUTIONALLY
OBLIGATED THEREUNDER TO PAY DEBT SERVICE AND RELATED EXPENSES.
  3.  "REVENUE BONDS" FOR THE PURPOSES OF THIS ARTICLE AND SECTION NINE-
TY-TWO-H OF THIS CHAPTER SHALL MEAN  ANY  BONDS,  NOTES  OR  OBLIGATIONS
ISSUED OR INCURRED PURSUANT TO SECTION SIXTY-NINE-N OF THIS ARTICLE.
  S  69-N. ISSUANCE OF BONDS AND NOTES.  1. (A) AUTHORIZED ISSUERS SHALL
HAVE THE POWER AND ARE HEREBY AUTHORIZED FROM  TIME  TO  TIME  TO  ISSUE
REVENUE  BONDS, IN SUCH PRINCIPAL AMOUNT OR AMOUNTS, SUBJECT TO SUBDIVI-
SION EIGHT OF THIS SECTION AND AS  THE  DIRECTOR  OF  THE  BUDGET  SHALL
DETERMINE  TO  BE  NECESSARY, TO PROVIDE SUFFICIENT FUNDS FOR AUTHORIZED
PURPOSES, THE ESTABLISHMENT OF RESERVES TO SECURE  SUCH  REVENUE  BONDS,
THE PAYMENT OF AMOUNTS REQUIRED UNDER REVENUE BONDS OR AGREEMENTS RELAT-
ING  THERETO,  AND THE PAYMENT OF ALL COSTS OF ISSUANCE OF THEIR REVENUE
BONDS.
  (B) THE AUTHORIZED ISSUERS SHALL HAVE THE POWER AND ARE HEREBY AUTHOR-
IZED FROM TIME TO TIME TO ISSUE (I) REVENUE BONDS TO RENEW  NOTES,  (II)
REVENUE  BONDS TO PAY NOTES, AND (III) WHENEVER IT DEEMS REFUNDING EXPE-
DIENT, TO REFUND ANY BONDS, NOTES OR OTHER  OBLIGATIONS  ISSUED  FOR  AN
AUTHORIZED  PURPOSE  OR  PURPOSES, INCLUDING BONDS, NOTES OR OTHER OBLI-
GATIONS THAT WERE ISSUED PRIOR TO THE EFFECTIVE DATE OF THIS ARTICLE, BY
THE ISSUANCE OF NEW REVENUE BONDS, WHETHER THE BONDS,  NOTES,  OR  OTHER
OBLIGATIONS TO BE REFUNDED HAVE OR HAVE NOT MATURED, AND TO ISSUE REVEN-
UE  BONDS  IN  PART  TO  REFUND  BONDS, NOTES, OR OTHER OBLIGATIONS THEN
OUTSTANDING AND IN PART FOR ANY OF ITS OTHER  AUTHORIZED  PURPOSES.  THE
REFUNDING  REVENUE  BONDS  MAY  BE  EXCHANGED FOR BONDS, NOTES, OR OTHER
OBLIGATIONS TO BE REFUNDED, OR SOLD AND  THE  PROCEEDS  APPLIED  TO  THE
PURCHASE,  REDEMPTION  OR  PAYMENT  OF SUCH BONDS, NOTES, OR OTHER OBLI-
GATIONS.
  (C) EXCEPT AS MAY OTHERWISE BE EXPRESSLY  PROVIDED  BY  AN  AUTHORIZED
ISSUER, EVERY ISSUE OF REVENUE BONDS OF AN AUTHORIZED ISSUER PURSUANT TO
THIS SECTION SHALL BE SPECIAL OBLIGATIONS OF THE AUTHORIZED ISSUER PAYA-
BLE  SOLELY OUT OF ANY REVENUES PAID OVER TO SUCH AUTHORIZED ISSUER FROM
THE SALES TAX REVENUE BOND TAX FUND, ESTABLISHED PURSUANT    TO  SECTION
NINETY-TWO-H OF THIS CHAPTER.
  (D)  ALL  OF  THE  PROVISIONS  OF  THE ENABLING ACTS OF THE AUTHORIZED
ISSUERS RELATING TO BONDS AND NOTES, WHICH ARE NOT INCONSISTENT WITH THE
PROVISIONS OF THIS SECTION, MAY, AT THE DISCRETION OF  THE    AUTHORIZED
ISSUER, APPLY TO REVENUE BONDS AUTHORIZED BY THIS SECTION.
  (E)  THE  REVENUE  BONDS  OF THE AUTHORIZED ISSUERS AUTHORIZED BY THIS
SECTION SHALL NOT BE A DEBT OF THE STATE AND  THE  STATE  SHALL  NOT  BE
LIABLE  THEREON,  NOR  SHALL THEY BE PAYABLE OUT OF ANY FUNDS OTHER THAN
THOSE OF THE AUTHORIZED ISSUERS PLEDGED THEREFOR; AND SUCH REVENUE BONDS
SHALL CONTAIN ON THE FACE THEREOF A STATEMENT TO SUCH EFFECT.  IN  ADDI-
TION,  ANY  AGREEMENTS  ENTERED  INTO BY ANY ENTITY PURSUANT TO SECTIONS
SIXTY-NINE-O AND NINETY-TWO-H OF THIS CHAPTER ON BEHALF OF THE STATE  TO
EFFECT  THE IMPLEMENTATION OF ANY OF THE ACTIVITIES FINANCED IN WHOLE OR

S. 2605                            79                            A. 3005

IN PART WITH PROCEEDS OF THE REVENUE BONDS OF  THE  AUTHORIZED  ISSUERS,
AUTHORIZED  IN  THIS  SECTION  DO NOT CONSTITUTE OR CREATE A DEBT OF THE
STATE, NOR A CONTRACTUAL OBLIGATION IN EXCESS OF THE  AMOUNTS  APPROPRI-
ATED THEREFOR, AND THE STATE HAS NO CONTINUING LEGAL OR MORAL OBLIGATION
TO APPROPRIATE MONEY FOR PAYMENTS DUE UNDER ANY SUCH AGREEMENT.
  (F) (I) REVENUE BONDS SHALL BE AUTHORIZED BY RESOLUTION OF THE AUTHOR-
IZED  ISSUERS,  BE  IN  SUCH  DENOMINATIONS, BEAR SUCH DATE OR DATES AND
MATURE AT SUCH TIME OR TIMES, AS SUCH RESOLUTION OR OTHER AGREEMENT  MAY
PROVIDE.
  (II)  REVENUE BONDS SHALL BE SUBJECT TO SUCH TERMS OF REDEMPTION, BEAR
INTEREST AT SUCH RATE OR RATES, BE PAYABLE AT SUCH  TIMES,  BE  IN  SUCH
FORM, EITHER COUPON, REGISTERED OR BOOK ENTRY FORM, CARRY SUCH REGISTRA-
TION  PRIVILEGES,  BE EXECUTED IN SUCH MANNER, BE PAYABLE IN SUCH MEDIUM
OF PAYMENT AT SUCH PLACE OR PLACES, AND BE SUBJECT  TO  SUCH  TERMS  AND
CONDITIONS AS SUCH RESOLUTION MAY PROVIDE.
  (G)  REVENUE  BONDS  AUTHORIZED  HEREUNDER SHALL BE SOLD BY AUTHORIZED
ISSUERS, AT PUBLIC OR PRIVATE SALE, AT  SUCH  PRICE  OR  PRICES  AS  THE
AUTHORIZED  ISSUERS  MAY  DETERMINE.  REVENUE  BONDS  OF  THE AUTHORIZED
ISSUERS SHALL NOT BE SOLD BY THE AUTHORIZED  ISSUERS  AT  PRIVATE  SALES
UNLESS  SUCH  SALE AND THE TERMS THEREOF HAVE BEEN APPROVED BY THE STATE
COMPTROLLER.
  2. CONSISTENT WITH THE PROVISIONS OF THIS ARTICLE, AND SUBJECT TO  THE
APPROVAL  OF  THE DIRECTOR OF THE BUDGET, ANY RESOLUTION OR OTHER AGREE-
MENT  AUTHORIZING  REVENUE  BONDS  OR  ANY  ISSUE  THEREOF  MAY  CONTAIN
PROVISIONS, WHICH SHALL BE A PART OF THE CONTRACT WITH THE HOLDERS THER-
EOF, AS TO:
  (A)  PLEDGING  ALL OR ANY PART OF THE REVENUES RECEIVED BY THE AUTHOR-
IZED ISSUERS PURSUANT TO SECTION SIXTY-NINE-O OF THIS ARTICLE TO  SECURE
THE  PAYMENT  OF  THE BONDS OR NOTES OR OF ANY ISSUE THEREOF, SUBJECT TO
SUCH AGREEMENTS WITH HOLDERS OF REVENUE BONDS AS MAY THEN EXIST;
  (B) PLEDGING ALL OR ANY PART OF THE ASSETS OF THE  AUTHORIZED  ISSUERS
TO  SECURE  THE  PAYMENT OF THE REVENUE BONDS OR OF ANY ISSUE OF REVENUE
BONDS SUBJECT TO SUCH AGREEMENTS WITH HOLDERS OF REVENUE  BONDS  AS  MAY
THEN EXIST;
  (C)  THE SETTING ASIDE OF RESERVES OR SINKING FUNDS AND THE REGULATION
AND DISPOSITION THEREOF;
  (D) LIMITATIONS ON THE PURPOSES TO  WHICH  THE  PROCEEDS  OF  SALE  OF
REVENUE  BONDS,  MAY BE APPLIED AND PLEDGING SUCH PROCEEDS TO SECURE THE
PAYMENT OF THE REVENUE BONDS OR OF ANY ISSUE THEREOF;
  (E) LIMITATIONS ON THE ISSUANCE OF ADDITIONAL REVENUE BONDS, THE TERMS
UPON WHICH ADDITIONAL REVENUE BONDS MAY BE ISSUED AND  SECURED  AND  THE
REFUNDING OF OUTSTANDING OR OTHER REVENUE BONDS;
  (F)  THE  PROCEDURE,  IF  ANY, BY WHICH THE TERMS OF ANY CONTRACT WITH
HOLDERS OF REVENUE BONDS MAY BE AMENDED  OR  ABROGATED,  THE  AMOUNT  OF
REVENUE  BONDS  THE HOLDERS OF WHICH MUST CONSENT THERETO AND THE MANNER
IN WHICH SUCH CONSENT MAY BE GIVEN;
  (G) VESTING IN A TRUSTEE, AS DESCRIBED  IN  SUBDIVISION  SIX  OF  THIS
SECTION,  SUCH  PROPERTY,  RIGHTS,  POWERS  AND  DUTIES  IN TRUST AS THE
AUTHORIZED ISSUERS MAY DETERMINE, WHICH MAY INCLUDE ANY OR  ALL  OF  THE
RIGHTS,  POWERS  AND  DUTIES  OF THE TRUSTEE APPOINTED BY THE HOLDERS OF
REVENUE BONDS OF THE RESPECTIVE  AUTHORIZED  ISSUERS  PURSUANT  TO  THIS
ARTICLE, AND LIMITING OR ABROGATING THE RIGHT OF SUCH REVENUE BOND HOLD-
ERS  TO  APPOINT  A  TRUSTEE  UNDER  THIS  TITLE OR LIMITING THE RIGHTS,
POWERS, AND DUTIES OF SUCH TRUSTEE;
  (H) THE ACTS OR OMISSIONS TO ACT WHICH SHALL CONSTITUTE A  DEFAULT  IN
THE  OBLIGATIONS  AND DUTIES OF THE AUTHORIZED ISSUERS TO THE HOLDERS OF

S. 2605                            80                            A. 3005

THE REVENUE BONDS AND PROVIDING FOR THE RIGHTS AND REMEDIES OF THE HOLD-
ERS OF THE REVENUE BONDS IN EVENT OF SUCH DEFAULT, INCLUDING  THE  RIGHT
TO  APPOINTMENT  OF  A RECEIVER; PROVIDED, HOWEVER, THAT SUCH RIGHTS AND
REMEDIES  SHALL  NOT  BE  INCONSISTENT WITH THE OTHER PROVISIONS OF THIS
ARTICLE;
  (I) ANY OTHER MATTERS, OF LIKE OR DIFFERENT CHARACTER,  WHICH  IN  ANY
WAY  AFFECT  THE  SECURITY  OR  PROTECTION OF THE HOLDERS OF THE REVENUE
BONDS; AND
  (J) THE APPLICATION OF ANY OF THE FOREGOING PROVISIONS TO ANY PROVIDER
OF ANY APPLICABLE BOND, NOTE OR OTHER FINANCIAL FACILITY.
  NOTWITHSTANDING THE FOREGOING, THE AUTHORIZED  ISSUERS  SHALL  NOT  BE
AUTHORIZED  TO MAKE ANY COVENANT, PLEDGE, PROMISE, OR AGREEMENT PURPORT-
ING TO BIND THE STATE EXCEPT AS  OTHERWISE  SPECIFICALLY  AUTHORIZED  BY
THIS ARTICLE.
  3. ANY PLEDGE MADE BY THE RESPECTIVE AUTHORIZED ISSUERS SHALL BE VALID
AND BINDING FROM THE TIME WHEN THE PLEDGE IS MADE. THE REVENUES OR PROP-
ERTY  SO  PLEDGED  AND  THEREAFTER RECEIVED BY THE RESPECTIVE AUTHORIZED
ISSUERS SHALL IMMEDIATELY BE SUBJECT TO THE LIEN OF SUCH PLEDGE  WITHOUT
ANY  PHYSICAL  DELIVERY THEREOF OR FURTHER ACT, AND THE LIEN OF ANY SUCH
PLEDGE SHALL BE VALID AND BINDING AS AGAINST ALL PARTIES  HAVING  CLAIMS
OF  ANY  KIND  IN  TORT,  CONTRACT OR OTHERWISE   AGAINST THE RESPECTIVE
AUTHORIZED ISSUERS, IRRESPECTIVE OF WHETHER  SUCH  PARTIES  HAVE  NOTICE
THEREOF.  NEITHER  THE  RESOLUTION  NOR  ANY OTHER INSTRUMENT BY WHICH A
PLEDGE IS CREATED NEED BE RECORDED OR FILED TO PROTECT SUCH PLEDGE.
  4. NEITHER THE DIRECTORS OR MEMBERS OF THE AUTHORIZED ISSUERS NOR  ANY
OTHER PERSON EXECUTING THE REVENUE BONDS OF THE AUTHORIZED ISSUERS SHALL
BE  LIABLE PERSONALLY THEREON OR BE SUBJECT TO ANY PERSONAL LIABILITY OR
ACCOUNTABILITY SOLELY BY REASON OF THE ISSUANCE THEREOF.
  5. THE AUTHORIZED ISSUERS, SUBJECT TO SUCH AGREEMENTS WITH HOLDERS  OF
REVENUE BONDS AS MAY THEN EXIST, OR WITH THE PROVIDERS OF ANY APPLICABLE
BOND  OR NOTE OR OTHER FINANCIAL OR AGREEMENT FACILITY, SHALL HAVE POWER
OUT OF ANY FUNDS AVAILABLE THEREFOR TO PURCHASE  REVENUE  BONDS  OF  THE
AUTHORIZED  ISSUERS,  WHICH  MAY  OR MAY NOT THEREUPON BE CANCELED, AT A
PRICE NOT EXCEEDING:
  (A) IF THE REVENUE BONDS ARE THEN  REDEEMABLE,  THE  REDEMPTION  PRICE
THEN APPLICABLE, INCLUDING ANY ACCRUED INTEREST;
  (B) IF THE REVENUE BONDS ARE NOT THEN REDEEMABLE, THE REDEMPTION PRICE
AND  ACCRUED  INTEREST  APPLICABLE ON THE FIRST DATE AFTER SUCH PURCHASE
UPON WHICH THE REVENUE BONDS BECOME SUBJECT TO REDEMPTION.
  6. IN THE DISCRETION OF AUTHORIZED ISSUERS, THE REVENUE BONDS  MAY  BE
SECURED BY A TRUST INDENTURE BY AND BETWEEN THE AUTHORIZED ISSUERS AND A
CORPORATE  TRUSTEE,  OR  A  CORPORATE TRUSTEE MAY BE APPOINTED UNDER THE
RESOLUTION AS PROVIDED IN SUBDIVISION TWO OF THIS SECTION.
  7. WHETHER OR NOT THE REVENUE BONDS ARE OF SUCH FORM AND CHARACTER  AS
TO  BE  NEGOTIABLE INSTRUMENTS UNDER THE TERMS OF THE UNIFORM COMMERCIAL
CODE, THE REVENUE BONDS ARE HEREBY MADE  NEGOTIABLE  INSTRUMENTS  WITHIN
THE  MEANING  OF  AND  FOR  ALL PURPOSES OF THE UNIFORM COMMERCIAL CODE,
SUBJECT ONLY TO THE PROVISIONS OF THE REVENUE BONDS FOR REGISTRATION  OR
ANY BOOK-ENTRY-ONLY SYSTEM.
  8.  REVENUE  BONDS  MAY  ONLY  BE  ISSUED  FOR AUTHORIZED PURPOSES, AS
DEFINED IN SECTION SIXTY-NINE-M OF  THIS  ARTICLE.  NOTWITHSTANDING  THE
FOREGOING, ANY AUTHORIZED ISSUER MAY ISSUE REVENUE BONDS FOR ANY AUTHOR-
IZED  PURPOSE.  THE AUTHORIZED ISSUERS SHALL NOT ISSUE ANY REVENUE BONDS
IN AN AMOUNT IN EXCESS OF STATUTORY AUTHORIZATIONS FOR  SUCH  AUTHORIZED
PURPOSES.  AUTHORIZATIONS  FOR SUCH AUTHORIZED PURPOSES SHALL BE REDUCED
IN AN AMOUNT EQUAL TO THE  AMOUNT  OF  REVENUE  BONDS  ISSUED  FOR  SUCH

S. 2605                            81                            A. 3005

AUTHORIZED PURPOSES UNDER THIS ARTICLE. SUCH REDUCTION SHALL NOT BE MADE
IN  RELATION  TO REVENUE BONDS ISSUED TO FUND RESERVE FUNDS, IF ANY, AND
COSTS OF ISSUANCE, IF THESE ITEMS ARE NOT COUNTED UNDER EXISTING AUTHOR-
IZATIONS,  NOR  SHALL  REVENUE BONDS ISSUED TO REFUND BONDS ISSUED UNDER
EXISTING AUTHORIZATIONS REDUCE THE AMOUNT OF SUCH  AUTHORIZATIONS.
  9. EXCEPT UPON THE AMENDMENT OF THE NEW YORK STATE CONSTITUTION ALLOW-
ING THE ISSUANCE OR ASSUMPTION OF  BONDS,  NOTES  OR  OTHER  OBLIGATIONS
SECURED  BY  REVENUES,  WHICH  MAY INCLUDE THE REVENUES SECURING REVENUE
BONDS OF AUTHORIZED ISSUERS, AND  THE  AFFIRMATIVE  ASSUMPTION  OF  SUCH
BONDS, NOTES OR OTHER OBLIGATIONS BY THE STATE, THE REVENUE BONDS OF THE
AUTHORIZED ISSUERS AUTHORIZED BY THIS SECTION SHALL NOT BE A DEBT OF THE
STATE AND THE STATE SHALL NOT BE LIABLE THEREON, NOR SHALL THEY BE PAYA-
BLE  OUT OF ANY FUNDS OTHER THAN THOSE OF THE AUTHORIZED ISSUERS PLEDGED
THEREFOR; AND SUCH REVENUE BONDS SHALL CONTAIN ON  THE  FACE  THEREOF  A
STATEMENT  TO  SUCH  EFFECT. IN ADDITION, ANY AGREEMENTS ENTERED INTO BY
ANY ENTITY PURSUANT TO SECTIONS SIXTY-NINE-O AND  NINETY-TWO-H  OF  THIS
CHAPTER  ON  BEHALF  OF THE STATE TO EFFECT THE IMPLEMENTATION OF ANY OF
THE ACTIVITIES FINANCED IN WHOLE OR IN PART WITH PROCEEDS OF  THE  OBLI-
GATIONS  OF  THE  AUTHORIZED  ISSUERS  AUTHORIZED IN THIS SECTION DO NOT
CONSTITUTE OR CREATE A DEBT OF THE STATE, NOR A  CONTRACTUAL  OBLIGATION
IN  EXCESS  OF  THE  AMOUNTS  APPROPRIATED THEREFOR AND THE STATE HAS NO
CONTINUING LEGAL OR MORAL OBLIGATION TO APPROPRIATE MONEY  FOR  PAYMENTS
DUE UNDER ANY SUCH AGREEMENT.
  10.  NOTHING IN THIS ARTICLE SHALL AFFECT THE AUTHORITY OF EACH OF THE
AUTHORIZED ISSUERS TO ISSUE  OR  INCUR  INDEBTEDNESS  FOR  ANY  PURPOSES
OTHERWISE  AUTHORIZED BY LAW AND NOTHING IN THIS ARTICLE SHALL BE DEEMED
TO ALTER OR AFFECT THE RIGHTS OF OUTSTANDING BONDHOLDERS OR  NOTEHOLDERS
OF ANY AUTHORIZED ISSUER.
  11.  THE AUTHORIZATION, SALE AND ISSUANCE OF REVENUE BONDS PURSUANT TO
THIS  SECTION  SHALL  NOT BE DEEMED AN ACTION AS SUCH TERM IS DEFINED IN
ARTICLE EIGHT OF THE ENVIRONMENTAL CONSERVATION LAW FOR THE PURPOSES  OF
SUCH  ARTICLE.  SUCH EXEMPTION SHALL BE STRICTLY LIMITED IN ITS APPLICA-
TION TO SUCH FINANCING ACTIVITIES OF THE  AUTHORIZED  ISSUERS  HEREUNDER
AND DOES NOT EXEMPT ANY OTHER ENTITY FROM COMPLIANCE WITH  SUCH ARTICLE.
  S  69-O.  PAYMENTS TO AUTHORIZED ISSUERS. 1. THE STATE, ACTING THROUGH
THE DIRECTOR OF THE BUDGET,  AND  AUTHORIZED  ISSUERS  MAY  ENTER  INTO,
AMEND, MODIFY OR RESCIND ONE OR MORE FINANCING  AGREEMENTS PROVIDING FOR
THE  SPECIFIC  MANNER,  TIMING,  AND AMOUNT OF PAYMENTS TO BE MADE UNDER
THIS SECTION, BUT ONLY IN CONFORMITY WITH THIS SECTION.
  2. NO LATER THAN OCTOBER FIRST OF EACH  YEAR,  THE  AUTHORITY  ISSUERS
SHALL  CERTIFY  TO  THE  DIRECTOR  OF  THE  BUDGET  THE ANTICIPATED CASH
REQUIREMENTS RELATED TO REVENUE BONDS DURING THE SUBSEQUENT STATE FISCAL
YEAR IN SUCH DETAIL AS THE DIRECTOR MAY REQUIRE.
  3. UPON RECEIPT OF A VOUCHER FROM  ANY  AUTHORIZED  ISSUER  REQUESTING
PAYMENT  FOR  SUCH  AMOUNT  OR  AMOUNTS CERTIFIED BY THE DIRECTOR OF THE
BUDGET PURSUANT TO PARAGRAPH (A) OF SUBDIVISION FIVE OF SECTION  NINETY-
TWO-H  OF  THIS  CHAPTER, THE STATE COMPTROLLER SHALL PAY SUCH AMOUNT OR
AMOUNTS TO BE AUTHORIZED ISSUER FROM APPROPRIATIONS FOR SUCH PURPOSE.
  4. THE AGREEMENT OF THE STATE  CONTAINED  IN  THIS  SECTION  SHALL  BE
DEEMED  EXECUTORY  ONLY  TO  THE  EXTENT OF APPROPRIATIONS AVAILABLE FOR
PAYMENTS UNDER THIS SECTION, AND NO LIABILITY ON  ACCOUNT  OF  ANY  SUCH
PAYMENT SHALL BE INCURRED BY THE STATE BEYOND SUCH APPROPRIATIONS.
  5.  NOTHING  CONTAINED IN THIS ARTICLE SHALL BE DEEMED TO RESTRICT THE
RIGHT OF THE STATE TO AMEND, REPEAL, MODIFY OR OTHERWISE ALTER  STATUTES
IMPOSING  OR  RELATING  TO  THE TAXES IMPOSED PURSUANT TO SECTION ELEVEN
HUNDRED FIVE AND SECTION ELEVEN HUNDRED TEN OF THE TAX LAW. THE  AUTHOR-

S. 2605                            82                            A. 3005

IZED ISSUERS SHALL NOT INCLUDE WITHIN ANY RESOLUTION, CONTRACT OR AGREE-
MENT  WITH  HOLDERS  OF  THE REVENUE BONDS ISSUED UNDER THIS ARTICLE ANY
PROVISION WHICH PROVIDES THAT A DEFAULT OCCURS AS A RESULT OF THE  STATE
EXERCISING  ITS  RIGHT  TO  AMEND, REPEAL, MODIFY OR OTHERWISE ALTER THE
TAXES IMPOSED PURSUANT TO SECTION ELEVEN HUNDRED FIVE AND SECTION ELEVEN
HUNDRED TEN OF THE TAX LAW.
  6. ANY RESOLUTION OR OTHER AGREEMENT AUTHORIZING REVENUE  BONDS  UNDER
THIS ARTICLE SHALL RESERVE THE RIGHT OF THE STATE, UPON AMENDMENT OF THE
NEW  YORK  STATE  CONSTITUTION  ALLOWING  THE  ISSUANCE OR ASSUMPTION OF
BONDS, NOTES OR OTHER OBLIGATIONS SECURED BY REVENUES, WHICH MAY INCLUDE
THE REVENUES SECURING REVENUE BONDS OF AUTHORIZED ISSUERS (A) TO ASSUME,
IN WHOLE OR IN PART, REVENUE BONDS OF THE  AUTHORIZED  ISSUERS,  (B)  TO
EXTINGUISH  THE EXISTING LIEN OF SUCH RESOLUTION, OR OTHER AGREEMENT AND
(C) TO SUBSTITUTE SECURITY FOR  THE  REVENUE  BONDS  OF  THE  AUTHORIZED
ISSUERS, IN EACH CASE ONLY SO LONG AS SUCH ASSUMPTION, EXTINGUISHMENT OR
SUBSTITUTION  IS DONE IN ACCORDANCE WITH SUCH RESOLUTION OR OTHER AGREE-
MENT.
  S 59. Subdivision 8 of section 97-f of the state finance law, as added
by section 56-b of part PP of chapter 56 of the laws of 2009, is amended
to read as follows:
  8. In addition to the amounts required to be maintained on deposit  in
the  mental  health  services  fund pursuant to subdivision five of this
section, the fund shall maintain on deposit an amount equal to the  debt
service and other cash requirements on mental health services facilities
bonds issued by [the dormitory authority] AUTHORIZED ISSUERS pursuant to
[section]  SECTIONS  sixty-eight-b AND SIXTY-NINE-N of this chapter. The
amount required to be maintained  in  such  fund  shall  be  (i)  twenty
percent  of the amount of the next payment coming due relating to mental
health services facilities bonds issued by an authorized  issuer  multi-
plied  by  the  number  of months from the date of the last such payment
with respect to payments required to be made  semi-annually,  plus  (ii)
those  amounts  specified  in any financing agreement between the issuer
and the state, acting through the director of the budget,  with  respect
to  payments required to be made other than semi-annually, including for
variable rate bonds, interest rate exchange  or  similar  agreements  or
other financing arrangements permitted by law.  Prior to making any such
payment,  the  comptroller shall make and deliver to the director of the
budget and the chairmen of the facilities  development  corporation  and
the New York state medical care facilities finance agency, a certificate
stating  the  aggregate amount to be maintained on deposit in the mental
health services fund to comply in  full  with  the  provisions  of  this
subdivision.
  No  later  than five days prior to the payment to be made by the state
comptroller on such mental health services facilities bonds pursuant  to
[section]  SECTIONS  ninety-two-z  AND NINETY-TWO-H of this article, the
amount of such payment shall be transferred  by  the  state  comptroller
from the mental health services fund to the revenue bond tax fund estab-
lished  by  section  ninety-two-z  of  this article. The accumulation of
moneys pursuant to this  subdivision  and  subsequent  transfer  to  the
revenue  bond  tax fund shall be subordinate in all respects to payments
to be made to the New York state medical care facilities finance  agency
and  to  any  pledge  or  assignment pursuant to subdivision six of this
section.
  S 60. Paragraph a of subdivision  5  of  section  89-b  of  the  state
finance law, as amended by section 1 of part B of chapter 84 of the laws
of 2002, is amended to read as follows:

S. 2605                            83                            A. 3005

  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  and  fringe  benefit  costs  of  the
department of transportation for bus safety inspection activities; costs
of  the  department  of  motor  vehicles,  including  but not limited to
personal and nonpersonal services; costs of engineering and  administra-
tive  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
estimates;  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
project  is  consistent  with  an  approved  airport  layout  plan;  and
construction,  reconstruction,  enhancement,  improvement,  replacement,
reconditioning,  restoration,  rehabilitation and preservation of state,

S. 2605                            84                            A. 3005

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  [payments]
TRANSFERS to the general debt service fund AND THE REVENUE BOND TAX FUND
of  amounts  equal  to  [amounts] THAT RESPECTIVELY required for service
contract AND FINANCING AGREEMENT payments as provided and authorized  by
section  three  hundred  eighty  of the public authorities law [and by],
section eleven of chapter three hundred twenty-nine of the laws of nine-
teen hundred ninety-one, as  amended,  AND  SECTIONS  SIXTY-EIGHT-C  AND
SIXTY-NINE-O OF THIS CHAPTER.
  S  60-a.  Paragraph  a  of  subdivision 5 of section 89-b of the state
finance law, as amended by section 1 of part D of  chapter  151  of  the
laws of 2001, 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

S. 2605                            85                            A. 3005

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  and  fringe benefit costs of the
department of transportation for bus safety inspection activities; costs
of engineering and administrative services of the department  of  trans-
portation,  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 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

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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 [payments] TRANSFERS to the general debt service fund
AND THE REVENUE BOND TAX FUND of amounts equal to [amounts] THAT RESPEC-
TIVELY required for service contract AND FINANCING AGREEMENT payments as
provided and authorized by section three hundred eighty  of  the  public
authorities  law [and by], section eleven of chapter three hundred twen-
ty-nine of the laws of nineteen  hundred  ninety-one,  as  amended,  AND
SECTIONS SIXTY-EIGHT-C AND SIXTY-NINE-O OF THIS CHAPTER.
  S  61.  Subdivision  5  of  section  89-b  of the state finance law is
amended by adding a new paragraph c to read as follows:
  C. IN ADDITION TO THE PURPOSES FOR WHICH MONEYS IN THE DEDICATED HIGH-
WAY AND BRIDGE TRUST FUND CAN BE USED AS DESCRIBED IN  THIS  SUBSECTION,
SUBJECT  TO APPROPRIATION, AFTER MEETING THE REQUIREMENTS OF SUBDIVISION
THREE OF THIS SECTION, SUCH MONEYS SHALL BE USED  FOR  TRANSFER  TO  THE
REVENUE  BOND  TAX  FUND, AS ESTABLISHED BY SECTION NINETY-TWO-Z OF THIS
ARTICLE, IN AN AMOUNT EQUAL TO THAT  REQUIRED  FOR  FINANCING  AGREEMENT
PAYMENTS  PAID  ON  BONDS  AUTHORIZED  PURSUANT TO SECTION THREE HUNDRED
EIGHTY-FIVE OF THE  PUBLIC  AUTHORITIES  LAW,  AND  ISSUED  PURSUANT  TO
SECTIONS SIXTY-EIGHT-B AND SIXTY-NINE-N OF THIS CHAPTER.
  S  62.  Subdivision  3  of  section  97-g of the state finance law, as
amended by section 1 of subpart A of part C of chapter 97 of the laws of
2011, is amended to read as follows:
  3. Moneys of the fund shall be available to the commissioner of gener-
al services for the purchase of food, supplies and equipment  for  state
agencies,  and  for  the  purpose of furnishing or providing centralized
services to or for state agencies; provided  further  that  such  moneys
shall  be available to the commissioner of general services for purposes
pursuant to items (d) and (f) of subdivision four of this section to  or
for  political subdivisions. Beginning the first day of April, two thou-
sand two, moneys in such fund shall also be  transferred  by  the  state
comptroller  to  the  revenue  bond tax fund account of the general debt
service fund in amounts equal to those required for payments to  author-
ized  issuers  for  revenue  bonds issued pursuant to article five-C AND
ARTICLE FIVE-F of this chapter for the purpose of  lease  purchases  and
installment  purchases  by  or  for  state agencies and institutions for
personal or real property purposes.
  S 63. Subdivision (j) of section 92-dd of the state  finance  law,  as
added  by  section  56  of part PP of chapter 56 of the laws of 2009, is
amended to read as follows:
  (j) The state comptroller shall transfer from the HCRA resources  fund
to the general debt service fund, revenue bond tax fund (311.02) amounts
equal  to  the  debt service paid for bonds, notes, or other obligations
issued PURSUANT TO ARTICLE FIVE-C AND ARTICLE FIVE-F OF THIS CHAPTER  to
finance the HEAL NY capital grant program authorized pursuant to section
sixteen hundred eighty-j of the public authorities law.
  S 64. The state finance law is amended by adding a new section 93-a to
read as follows:
  S 93-A. NEW YORK STATE TRANSFORMATIVE CAPITAL FUND.  1. NEW YORK STATE
TRANSFORMATIVE  CAPITAL  FUND.  (A)  THERE  IS HEREBY ESTABLISHED IN THE

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JOINT CUSTODY OF THE COMPTROLLER AND THE COMMISSIONER  OF  TAXATION  AND
FINANCE A SPECIAL FUND TO BE KNOWN AS THE "NEW YORK STATE TRANSFORMATIVE
CAPITAL FUND".
  (B)  ACCOUNTS.  THE  NEW  YORK STATE TRANSFORMATIVE CAPITAL FUND SHALL
CONSIST OF TWO SEPARATE AND DISTINCT ACCOUNTS: (1) THE  "STORM  RECOVERY
ACCOUNT" AND THE (2) "TRANSFORMATIVE CAPITAL ACCOUNT".
  (C) SOURCES OF FUNDS. THE SOURCES OF FUNDS SHALL CONSIST OF ALL MONEYS
COLLECTED  THEREFOR,  OR  MONEYS  CREDITED,  APPROPRIATED OR TRANSFERRED
THERETO FROM ANY OTHER FUND OR SOURCE PURSUANT  TO  LAW,  OR  ANY  OTHER
MONEYS  MADE  AVAILABLE  FOR  THE  PURPOSES  OF  THE  FUND. ANY INTEREST
RECEIVED BY THE COMPTROLLER ON MONEYS ON DEPOSIT SHALL  BE  RETAINED  IN
AND BECOME A PART OF THE FUND, UNLESS OTHERWISE DIRECTED BY LAW.
  2.  USES OF FUNDS. (A) STORM RECOVERY ACCOUNT. FOLLOWING APPROPRIATION
BY THE LEGISLATURE, MONEYS IN THE STORM RECOVERY ACCOUNT SHALL BE AVAIL-
ABLE TO FINANCE THE REPAIR, REHABILITATION, OR  REPLACEMENT  OF  CAPITAL
WORKS  OR  PURPOSES  DAMAGED  BY  HURRICANE  SANDY OR ANY FUTURE NATURAL
DISASTER EXPECTED TO BE ELIGIBLE FOR REIMBURSEMENT BY THE FEDERAL  EMER-
GENCY  MANAGEMENT  AGENCY  (FEMA),  THE  FEDERAL  TRANSIT ADMINISTRATION
(FTA), THE FEDERAL HIGHWAY ADMINISTRATION (FHWA) AND ANY  OTHER  FEDERAL
REIMBURSEMENT  SOURCE.  NO MONEY IN THIS ACCOUNT MAY BE EXPENDED FOR ANY
PROJECT UNTIL THE DIRECTOR OF THE BUDGET HAS DETERMINED THAT THERE IS  A
SUBSTANTIAL  LIKELIHOOD  THAT  THE  COSTS OF SUCH PROJECT SHALL BE REIM-
BURSED BY FEDERAL SOURCES. THE DIRECTOR SHALL ISSUE  FORMAL  RULES  THAT
SET FORTH THE PROCESS BY WHICH HE OR SHE WILL DETERMINE WHETHER THERE IS
A SUBSTANTIAL LIKELIHOOD OF REIMBURSEMENT BY FEDERAL SOURCES.
  (B)  TRANSFORMATIVE  CAPITAL  ACCOUNT.  FOLLOWING APPROPRIATION BY THE
LEGISLATURE, MONEYS IN  THE  TRANSFORMATIVE  CAPITAL  ACCOUNT  SHALL  BE
AVAILABLE  TO FINANCE PROJECTS OR ACTIVITIES NECESSARY TO PROMOTE TRANS-
FORMATIVE ECONOMIC DEVELOPMENT AND INFRASTRUCTURE  INITIATIVES.  NOTHING
CONTAINED  IN  THIS  SECTION  SHALL BE CONSTRUED TO LIMIT IN ANY WAY THE
PROJECTS, WORKS, ACTIVITIES OR PURPOSES THAT CAN BE FINANCED  FROM  THIS
FUND.
  3.  TRANSFERS.  NOTWITHSTANDING  ANY  OTHER  PROVISION  OF  LAW TO THE
CONTRARY, FOR THE STATE FISCAL YEAR COMMENCING ON APRIL FIRST, TWO THOU-
SAND THIRTEEN, THE COMPTROLLER IS  HEREBY  AUTHORIZED  TO  TRANSFER  ANY
MONEYS  INTO  OR  FROM  THE  NEW  YORK STATE TRANSFORMATIVE CAPITAL FUND
ACCOUNTS INTO OR FROM THE GENERAL FUND IN AN AMOUNT  DETERMINED  BY  THE
DIRECTOR  OF  THE BUDGET, TO THE EXTENT MONEYS ARE AVAILABLE IN THE FUND
ACCOUNTS.
  S 65. Subdivision 1 of section 45 of section 1 of chapter 174  of  the
laws  of  1968, constituting the New York state urban development corpo-
ration act, as amended by section 49 of part U of chapter 59 of the laws
of 2012, is amended to read as follows:
  1. Notwithstanding the provisions of any other law  to  the  contrary,
the  urban  development  corporation  of the state of New York is hereby
authorized to issue bonds or notes in one or more series for the purpose
of funding project costs for the implementation of a NY-SUNY AND NY-CUNY
2020 challenge grant program subject to the approval of  a  NY-SUNY  AND
NY-CUNY  2020 plan or plans by the governor and EITHER the chancellor of
the state university of New York OR THE CHANCELLOR OF THE CITY UNIVERSI-
TY OF NEW YORK, AS APPLICABLE.  The aggregate principal amount of  bonds
authorized  to  be  issued  pursuant  to  this  section shall not exceed
[$110,000,000] $220,000,000, excluding bonds issued to fund one or  more
debt  service reserve funds, to pay costs of issuance of such bonds, and
bonds or notes issued to refund or otherwise repay such bonds  or  notes
previously  issued. Such bonds and notes of the corporation shall not be

S. 2605                            88                            A. 3005

a debt of the state, and the state shall  not  be  liable  thereon,  nor
shall  they be payable out of any funds other than those appropriated by
the state to  the  corporation  for  principal,  interest,  and  related
expenses  pursuant  to a service contract and such bonds and notes shall
contain on the face thereof a  statement  to  such  effect.  Except  for
purposes  of  complying  with  the  internal  revenue code, any interest
income earned on bond proceeds shall only be used to pay debt service on
such bonds.
  S 65-a. Section 16 of chapter 260 of the laws  of  2011  amending  the
education  law and the New York state urban development corporation act,
relating to establishing components of the NY-SUNY 2020 challenge  grant
program, is amended to read as follows:
  S  16.  This  act  shall take effect July 1, 2011 [and]; PROVIDED THAT
SECTIONS ONE, TWO, THREE, FOUR, FIVE, SIX,  EIGHT,  NINE,  TEN,  ELEVEN,
TWELVE,  THIRTEEN, FOURTEEN AND FIFTEEN OF THIS ACT shall expire 5 years
after such effective date when upon such date the provisions of this act
shall be deemed repealed.
  S 66. Subdivision 10-a of section 1680 of the public authorities  law,
as amended by section 51 of part U of chapter 59 of the laws of 2012, is
amended to read as follows:
  10-a.  Subject  to the provisions of chapter fifty-nine of the laws of
two thousand, but notwithstanding any other provision of the law to  the
contrary, the maximum amount of bonds and notes to be issued after March
thirty-first,  two  thousand two, on behalf of the state, in relation to
any locally sponsored community college, shall be six  hundred  [twenty-
three]  SIXTY-THREE  million  dollars. Such amount shall be exclusive of
bonds and notes issued to fund any reserve fund or funds, costs of issu-
ance and to refund any outstanding bonds and notes, issued on behalf  of
the state, relating to a locally sponsored community college.
  S  67.  Paragraph  (c) of subdivision 14 of section 1680 of the public
authorities law, as amended by section 39 of part PP of  chapter  56  of
the laws of 2009, is amended to read as follows:
  (c) Subject to the provisions of chapter fifty-nine of the laws of two
thousand,  (i)  the  dormitory  authority  shall not deliver a series of
bonds for city university community college facilities, except to refund
or to be substituted for or in lieu of other bonds in relation  to  city
university  community college facilities pursuant to a resolution of the
dormitory authority adopted before July first, nineteen hundred  eighty-
five  or any resolution supplemental thereto, if the principal amount of
bonds so to be issued when added  to  all  principal  amounts  of  bonds
previously  issued by the dormitory authority for city university commu-
nity college facilities, except to refund or to be substituted  in  lieu
of  other bonds in relation to city university community college facili-
ties will exceed the sum of four hundred twenty-five million dollars and
(ii) the dormitory authority shall not deliver a series of bonds  issued
for  city university facilities, including community college facilities,
pursuant to a resolution of the dormitory authority adopted on or  after
July  first,  nineteen  hundred  eighty-five,  except to refund or to be
substituted for or in lieu of other bonds in relation to city university
facilities and except for bonds issued pursuant to a resolution  supple-
mental  to a resolution of the dormitory authority adopted prior to July
first, nineteen hundred eighty-five, if the principal amount of bonds so
to be issued when added to the  principal  amount  of  bonds  previously
issued pursuant to any such resolution, except bonds issued to refund or
to  be  substituted  for  or  in lieu of other bonds in relation to city
university facilities, will exceed six  billion  eight  hundred  [forty-

S. 2605                            89                            A. 3005

three]  FIFTY-THREE  million two hundred thousand dollars.  The legisla-
ture reserves the right to amend or repeal such limit, and the state  of
New York, the dormitory authority, the city university, and the fund are
prohibited  from  covenanting or making any other agreements with or for
the benefit of bondholders which might in any way affect such right.
  S 68. Subdivision (a) of section 48 of part K of  chapter  81  of  the
laws  of  2002,  providing  for  the administration of certain funds and
accounts related to the 2002-2003 budget, as amended by  section  40  of
part  BB  of  chapter  58  of  the  laws  of 2011, is amended to read as
follows:
  (a) Subject to the provisions of chapter 59 of the laws  of  2000  but
notwithstanding  the  provisions  of section 18 of the urban development
corporation act, the corporation is hereby authorized to issue bonds  or
notes  in  one  or  more  series in an aggregate principal amount not to
exceed $67,000,000 excluding bonds issued  to  fund  one  or  more  debt
service reserve funds, to pay costs of issuance of such bonds, and bonds
or  notes issued to refund or otherwise repay such bonds or notes previ-
ously issued, for the purpose of  financing  capital  costs  related  to
homeland  security  and  training  facilities  for the division of state
police, the division of military and naval affairs, and any other  state
agency,  including  the reimbursement of any disbursements made from the
state capital projects fund, and is hereby authorized to issue bonds  or
notes  in  one  or  more  series in an aggregate principal amount not to
exceed [$205,800,000] $220,800,000, excluding bonds issued to  fund  one
or  more  debt  service  reserve funds, to pay costs of issuance of such
bonds, and bonds or notes issued to refund or otherwise repay such bonds
or notes previously issued, for the purpose of financing improvements to
State office buildings and other facilities located statewide, including
the reimbursement of any  disbursements  made  from  the  state  capital
projects  fund.  Such  bonds and notes of the corporation shall not be a
debt of the state, and the state shall not be liable thereon, nor  shall
they  be  payable  out of any funds other than those appropriated by the
state to the corporation for debt service and related expenses  pursuant
to  any  service  contracts executed pursuant to subdivision (b) of this
section, and such bonds and notes shall contain on the  face  thereof  a
statement to such effect.
  S  69.  The  section heading and subdivision 1 of section 386-b of the
public authorities law, as added by section 48 of part U of  chapter  59
of the laws of 2012, is amended to read as follows:
  Financing  of  peace  bridge  AND  TRANSPORTATION CAPITAL projects. 1.
Notwithstanding any other provision of law to the contrary, the authori-
ty, the dormitory authority and the urban  development  corporation  are
hereby  authorized to issue bonds or notes in one or more series for the
purpose of financing peace bridge projects AND CAPITAL  COSTS  OF  STATE
AND LOCAL HIGHWAYS, PARKWAYS, BRIDGES, THE NEW YORK STATE THRUWAY, INDI-
AN  RESERVATION ROADS, AND FACILITIES, AND TRANSPORTATION INFRASTRUCTURE
PROJECTS, INCLUDING WORK APPURTENANT AND ANCILLARY THERETO.  The  aggre-
gate  principal amount of bonds authorized to be issued pursuant to this
section  shall  not  exceed  THREE  HUNDRED  fifteen   million   dollars
[($15,000,000)]  ($315,000,000),  excluding  bonds issued to fund one or
more debt service reserve funds, to pay costs of issuance of such bonds,
and to refund or otherwise repay such bonds or notes previously  issued.
Such  bonds  and notes of the authority, the dormitory authority and the
urban development corporation shall not be a debt of the state, and  the
state  shall not be liable thereon, nor shall they be payable out of any
funds other than those appropriated by the state to the  authority,  the

S. 2605                            90                            A. 3005

dormitory authority and the urban development corporation for principal,
interest,  and  related expenses pursuant to a service contract and such
bonds and notes shall contain on the face thereof a  statement  to  such
effect. Except for purposes of complying with the internal revenue code,
any  interest  income  earned on bond proceeds shall only be used to pay
debt service on such bonds.
  S 69-a. Paragraph (c) of subdivision 19 of section 1680 of the  public
authorities law, as amended by section 52 of part U of chapter 59 of the
laws of 2012, is amended to read as follows:
  (c) Subject to the provisions of chapter fifty-nine of the laws of two
thousand,  the  dormitory  authority shall not issue any bonds for state
university educational facilities purposes if the  principal  amount  of
bonds to be issued when added to the aggregate principal amount of bonds
issued  by  the  dormitory  authority  on and after July first, nineteen
hundred eighty-eight for state university  educational  facilities  will
exceed  ten  billion  [three]  FOUR  hundred  [four]  TWENTY-TWO million
dollars; provided, however, that bonds issued or to be issued  shall  be
excluded  from  such  limitation if: (1) such bonds are issued to refund
state university construction bonds and  state  university  construction
notes previously issued by the housing finance agency; or (2) such bonds
are  issued to refund bonds of the authority or other obligations issued
for state university educational facilities  purposes  and  the  present
value  of  the  aggregate  debt  service on the refunding bonds does not
exceed the present value of the aggregate  debt  service  on  the  bonds
refunded  thereby;  provided,  further  that  upon  certification by the
director of the budget that the issuance of  refunding  bonds  or  other
obligations  issued between April first, nineteen hundred ninety-two and
March thirty-first, nineteen hundred  ninety-three  will  generate  long
term  economic  benefits  to  the  state, as assessed on a present value
basis, such issuance will be deemed to have met the present  value  test
noted  above. For purposes of this subdivision, the present value of the
aggregate debt service of the refunding bonds  and  the  aggregate  debt
service of the bonds refunded, shall be calculated by utilizing the true
interest  cost  of the refunding bonds, which shall be that rate arrived
at by doubling the semi-annual interest rate (compounded  semi-annually)
necessary  to  discount the debt service payments on the refunding bonds
from the payment dates thereof to the date of  issue  of  the  refunding
bonds  to  the purchase price of the refunding bonds, including interest
accrued thereon prior to the issuance  thereof.  The  maturity  of  such
bonds,  other  than  bonds issued to refund outstanding bonds, shall not
exceed the weighted average economic life, as  certified  by  the  state
university construction fund, of the facilities in connection with which
the  bonds  are  issued,  and  in any case not later than the earlier of
thirty years or the expiration of the term of  any  lease,  sublease  or
other  agreement  relating  thereto;  provided  that  no note, including
renewals thereof, shall mature later than five years after the  date  of
issuance  of  such  note. The legislature reserves the right to amend or
repeal such limit, and the state of New York, the  dormitory  authority,
the  state university of New York, and the state university construction
fund are prohibited from covenanting or making any other agreements with
or for the benefit of bondholders which might in  any  way  affect  such
right.
  S  70.  This  act shall take effect immediately and shall be deemed to
have been in full force and effect on and after April 1, 2013;  provided
that:

S. 2605                            91                            A. 3005

  (a)  sections one through nine, and sections thirteen through eighteen
of this act shall expire March  31,  2014,  when  upon  such  date,  the
provisions of such sections shall be deemed repealed;
  (b)  the  amendments  to  subdivision  3  of section 99-h of the state
finance law made by section twenty-three of this act  shall  not  affect
the expiration of such subdivision and section respectively and shall be
deemed to expire therewith;
  (c)  the  amendments  to  subdivision  5 of section 3234 of the public
authorities law made by section forty-five of this act shall take effect
on the same date and in the same manner as section 54 of part K of chap-
ter 81 of the laws of 2002 takes effect;
  (d) the amendments to paragraph a of subdivision 5 of section 89-b  of
the state finance law made by section sixty 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 sixty-a of this act shall take effect;
and
  (e) the amendments to subdivision 3  of  section  97-g  of  the  state
finance  law  made by section sixty-two of this act shall not affect the
expiration and reversion of such subdivision  and  shall  be  deemed  to
expire therewith.

                                 PART N

  Section  1. Subdivisions 1, 3, 4, 5 and 6 of section 709 of the execu-
tive law, subdivision 1 as amended and subdivisions 3, 4,  5  and  6  as
added  by  section  14  of part B of chapter 56 of the laws of 2010, are
amended to read as follows:
  1. There is hereby created within the executive department  the  divi-
sion  of  homeland security and emergency services, which shall have and
exercise the powers and duties set forth in this article. Any  reference
to  the  'office of public security', the 'office of homeland security',
the 'state emergency management office'[, the 'office of  cyber  securi-
ty']  or  the 'office of fire prevention and control' in the laws of New
York state, executive orders, or contracts entered into on behalf of the
state shall be deemed to refer to the division of homeland security  and
emergency services.
  3.  The  division  of  homeland  security and emergency services shall
consist of several offices including, but not limited to, the office  of
counterterrorism,  which  shall  have the powers, and be responsible for
carrying out the duties, including but not limited to those set forth in
section seven hundred nine-a of this article; the  office  of  emergency
management, which shall have the powers, and be responsible for carrying
out  the duties, including but not limited to those set forth in article
two-B of this chapter; the office of fire prevention and control,  which
shall  have  the powers, and be responsible for carrying out the duties,
including but not limited to those set forth in article  six-C  of  this
chapter[; the office of cyber security, which shall have the powers, and
be responsible for carrying out the duties, including but not limited to
those  set  forth in section seven hundred fifteen of this article;] and
the office of interoperable and emergency  communications,  which  shall
have the powers, and be responsible for carrying out the duties, includ-
ing  but  not limited to those set forth in section seven hundred seven-
teen of this article.
  4. As set forth in section seven hundred  ten  of  this  article,  the
commissioner of the division of homeland security and emergency services

S. 2605                            92                            A. 3005

shall  be  appointed by the governor, with the advice and consent of the
senate, and hold office at the pleasure of the governor.  The  directors
of   the   offices   of  counterterrorism,  emergency  management,  fire
prevention and control, [cyber security,] and interoperable and emergen-
cy  communications,  and such other offices as may be established, shall
be appointed by, and hold office at the pleasure of,  the  governor  and
they  shall report to the commissioner of the division of homeland secu-
rity and emergency services.
  5. The directors of the offices of counterterrorism, emergency manage-
ment, fire prevention and control, [cyber security,]  interoperable  and
emergency  communications,  and  of  such other offices as may be estab-
lished, shall, in consultation with the commissioner, have the authority
to promulgate rules and regulations to carry out  the  duties  of  their
office,  including the establishment of fees necessary to compensate for
costs associated with the delivery of training and services.
  6. The directors of the offices of counterterrorism, emergency manage-
ment, fire prevention and control, [cyber security,]  interoperable  and
emergency  communications, and such other offices as may be established,
shall have the authority to enter into contracts with any person,  firm,
corporation, municipality, or government entity.
  S 2. Section 715 of the executive law is REPEALED.
  S  3.  Subdivision  10  of section 103 of the state technology law, as
added by chapter 430 of the laws of 1997, and such section as renumbered
by chapter 437 of the laws of 2004, is amended to read as follows:
  10. To establish statewide  technology  policies,  including  but  not
limited to preferred technology standards and security, INCLUDING STATE-
WIDE POLICIES, STANDARDS, PROGRAMS, AND SERVICES RELATING TO THE SECURI-
TY  OF  STATE  GOVERNMENT  NETWORKS  AND GEOGRAPHIC INFORMATION SYSTEMS,
INCLUDING THE STATEWIDE COORDINATION OF GEOGRAPHICALLY REFERENCED  CRIT-
ICAL INFRASTRUCTURE INFORMATION;
  S 4. Section 103 of the state technology law is amended by adding four
new subdivisions 18, 19, 20 and 21 to read as follows:
  18.  TO  PROVIDE  FOR  THE  PROTECTION OF THE STATE GOVERNMENT'S CYBER
SECURITY INFRASTRUCTURE, INCLUDING, BUT NOT LIMITED TO, THE  IDENTIFICA-
TION  AND  MITIGATION  OF  VULNERABILITIES,  DETERRING AND RESPONDING TO
CYBER EVENTS, AND PROMOTING CYBER SECURITY AWARENESS WITHIN THE STATE.
  19. TO MAINTAIN, IN ELECTRONIC  OR  PAPER  FORMATS,  MAPS,  GEOGRAPHIC
IMAGES, GEOGRAPHIC DATA AND METADATA.
  20.  NOTWITHSTANDING  THE  PROVISIONS OF SUBPARAGRAPHS (I) AND (II) OF
PARAGRAPH (A) OF SUBDIVISION  EIGHT  OF  SECTION  SEVENTY-THREE  OF  THE
PUBLIC OFFICERS LAW, FORMER OFFICERS OR EMPLOYEES OF THE OFFICE OF CYBER
SECURITY  EMPLOYED  BY  THE NOT-FOR-PROFIT CORPORATION THAT OPERATES THE
MULTI-STATE INFORMATION SHARING AND ANALYSIS CENTER  MAY  APPEAR  BEFORE
AND  RENDER SERVICES TO ANY FEDERAL, STATE, LOCAL, TERRITORIAL OR TRIBAL
GOVERNMENT RELATING TO CYBER SECURITY.
  21. NOTWITHSTANDING THE PROVISIONS OF SECTION ONE HUNDRED  SIXTY-THREE
OF  THE  STATE  FINANCE  LAW,  SECTION  ONE HUNDRED THREE OF THE GENERAL
MUNICIPAL LAW, ARTICLE FOUR-C OF THE ECONOMIC DEVELOPMENT  LAW,  OR  ANY
OTHER  PROVISION  OF  LAW RELATING TO THE AWARD OF PUBLIC CONTRACTS, ANY
OFFICER, BODY, OR AGENCY OF NEW YORK STATE, PUBLIC CORPORATION, OR OTHER
PUBLIC ENTITY SUBJECT TO SUCH PROVISIONS OF LAW SHALL BE  AUTHORIZED  TO
ENTER  INDIVIDUALLY OR COLLECTIVELY INTO CONTRACTS WITH THE NOT-FOR-PRO-
FIT CORPORATION THAT OPERATES THE MULTI-STATE  INFORMATION  SHARING  AND
ANALYSIS  CENTER FOR THE PROVISION OF SERVICES THROUGH SEPTEMBER THIRTI-
ETH, TWO THOUSAND FOURTEEN RELATED TO CYBER SECURITY INCLUDING, BUT  NOT
LIMITED  TO,  MONITORING,  DETECTING, AND RESPONDING TO CYBER INCIDENTS,

S. 2605                            93                            A. 3005

AND SUCH CONTRACTS MAY BE AWARDED WITHOUT COMPLIANCE WITH THE PROCEDURES
RELATING TO THE PROCUREMENT OF SERVICES SET FORTH IN SUCH PROVISIONS  OF
LAW.    SUCH  CONTRACTS  SHALL, HOWEVER, BE SUBJECT TO THE COMPTROLLER'S
EXISTING  AUTHORITY TO APPROVE CONTRACTS WHERE SUCH APPROVAL IS REQUIRED
BY SECTION ONE HUNDRED TWELVE OF THE STATE  FINANCE  LAW  OR  OTHERWISE.
SUCH  OFFICERS,  BODIES,  OR  AGENCIES MAY PAY THE FEES OR OTHER AMOUNTS
SPECIFIED IN SUCH CONTRACTS  IN  CONSIDERATION  OF  THE  CYBER  SECURITY
SERVICES TO BE RENDERED PURSUANT TO SUCH CONTRACTS.
  S  5.  Subdivision 2 and paragraph (a) of subdivision 7 of section 208
of the state technology law, subdivision 2 as amended by chapter 491  of
the  laws  of  2005  and  paragraph  (a)  of subdivision 7 as amended by
section 27 of part A of chapter 62 of the laws of 2011, are  amended  to
read as follows:
  2.  Any  state  entity  that  owns  or licenses computerized data that
includes private information shall disclose any breach of  the  security
of  the  system following discovery or notification of the breach in the
security of the system to any resident of New York state  whose  private
information  was,  or is reasonably believed to have been, acquired by a
person without valid authorization. The disclosure shall be made in  the
most  expedient time possible and without unreasonable delay, consistent
with the legitimate needs of law enforcement, as provided in subdivision
four of this section, or any measures necessary to determine  the  scope
of  the  breach and restore the reasonable integrity of the data system.
The state entity shall consult with the state [office of cyber  security
and critical infrastructure coordination] OFFICE OF INFORMATION TECHNOL-
OGY  SERVICES to determine the scope of the breach and restoration meas-
ures.
  (a) In the event that any New York residents are to be  notified,  the
state  entity shall notify the state attorney general, the department of
state and the state [office of cyber security and  critical  infrastruc-
ture  coordination]  OFFICE OF INFORMATION TECHNOLOGY SERVICES as to the
timing, content and distribution of the notices and  approximate  number
of  affected  persons. Such notice shall be made without delaying notice
to affected New York residents.
  S 6. Paragraph (a) of subdivision 8 of section 899-aa of  the  general
business  law,  as  amended by section 43 of part A of chapter 62 of the
laws of 2011, is amended to read as follows:
  (a) In the event that any New York residents are to be  notified,  the
person  or business shall notify the state attorney general, the depart-
ment of state and the DIVISION OF state [office of  cyber  security  and
critical  infrastructure  coordination] POLICE as to the timing, content
and distribution of the  notices  and  approximate  number  of  affected
persons.  Such  notice shall be made without delaying notice to affected
New York residents.
  S 7. Any reference to the office of cyber security or to the office of
cyber security and critical infrastructure coordination in the  laws  of
New  York state, executive orders or contracts entered into on behalf of
the state shall be deemed to refer to the office of information technol-
ogy services.
  S 8. (a) Notwithstanding any provision of law  to  the  contrary,  any
person  employed  by  the  office of the Medicaid inspector general, the
office of mental health, the office for people with developmental  disa-
bilities,  the department of health and the division of state police and
any person employed in the exempt class positions  of  employee  program
associate  or  employee  relations associate by the governor's office of
employee relations immediately prior to being transferred to the  office

S. 2605                            94                            A. 3005

of  information technology services pursuant to subdivision 2 of section
70 of the civil service law effective November 22, 2012 and November 29,
2012, and who, immediately  prior  thereto  was  performing  information
technology  functions similar to persons employed in appropriate compet-
itive class positions, shall be given permanent competitive class rights
and status and shall continue to hold such position  in  the  office  of
information  technology  services  without  further examination. No such
employee transferred to the office of  information  technology  services
shall be subject to a new probationary term, provided, however, that any
employee  in  probationary  status  at the time of the transfer shall be
required to complete that probationary term at the office of information
technology services under the same terms and conditions as were applica-
ble to them while employed at  the  office  of  the  Medicaid  inspector
general,  the office of mental health, the office for people with devel-
opmental disabilities, the department of health, the division  of  state
police and the governor's office of employee relations.
  (b)  Any  employees whose positions are re-classified pursuant to this
section or section nine or ten of this act shall have  seniority  rights
on  the  basis  of  continuous  service  from the date of their original
permanent appointment to the classified service or the date of permanent
employment with the office of the Medicaid inspector general, the office
of mental health, the office for people with developmental disabilities,
the department of health or the  division  of  state  police.  Any  such
employees  employed  by  the  division of state police in an appropriate
non-competitive title on a permanent basis, shall also be deemed to have
that period of employment count as permanent competitive service in that
title for purposes of qualifying for promotional examinations or  trans-
fers  pursuant  to  subdivision 6 of section 52 of the civil service law
and subdivision 1 of section 70 of the civil service law.
  (c) No employee whose  position  is  re-classified  pursuant  to  this
section  or  section nine or ten of this act shall suffer a reduction in
basic salary as a result of the re-classification and shall continue  to
receive,  at  a  minimum,  the  salary that such employee received while
employed by the office of the Medicaid inspector general, the office  of
mental  health,  the  office for people with developmental disabilities,
the department of health, the division of state police  and  the  gover-
nor's  office  of  employee  relations.    The director of the office of
information technology services shall also allow employees of the  divi-
sion  of state police whose positions are re-classified pursuant to this
section or section nine of this act credit for all of the annual  leave,
sick  leave,  or  personal leave standing to their credit at the time of
the transfer, but not in excess of the maximum accumulation permitted in
the office of information technology services.
  S 9. Notwithstanding any provision of law to the contrary,  the  civil
service  department  may re-classify any person employed in a permanent,
classified, competitive position immediately prior to being  transferred
to  the office of information technology services effective November 22,
2012 and November 29, 2012, pursuant to subdivision 2 of section  70  of
the  civil  service law to align with the duties and responsibilities of
their positions upon transfer. Permanent employees whose  positions  are
subsequently re-classified to align with the duties and responsibilities
of  their  positions upon being transferred to the office of information
technology services effective November 22, 2012 and November  29,  2012,
pursuant  to  subdivision 2 of section 70 of the civil service law shall
hold  such  positions  without  further  examination  or  qualification.
Notwithstanding  any  other  provision  of  this act, the names of those

S. 2605                            95                            A. 3005

competitive permanent employees on promotion  eligible  lists  in  their
former agency or department shall be added and interfiled on a promotion
eligible  list in the new department, as the state civil service depart-
ment deems appropriate.
  S  10. Notwithstanding any provision of law to the contrary, the civil
service department may re-classify any person  employed  in  the  exempt
class  positions  of  employee  program  associate or employee relations
associate by the governor's office  of  employee  relations  immediately
prior  to  being  transferred  to  the  office of information technology
services effective November 22, 2012, and November 29, 2012, pursuant to
subdivision 2 of section 70 of the civil service law to align  with  the
duties  and responsibilities of their positions upon transfer. Permanent
employees whose positions are subsequently re-classified to  align  with
the  duties  and  responsibilities  of their positions upon being trans-
ferred to the office of information technology services effective Novem-
ber 22, 2012, and November  29,  2012,  pursuant  to  subdivision  2  of
section  70  of  the civil service law shall hold such positions without
further examination or qualification.
  S 11. This act shall take effect immediately.

                                 PART O

  Section 1. Subdivision 18 of section 2 of  the  workers'  compensation
law is REPEALED.
  S  2.  Subdivision 9 of section 13-l of the workers' compensation law,
as added by chapter 940 of the laws of  1973,  is  amended  to  read  as
follows:
  9. The [chairman] CHAIR shall appoint for and with jurisdiction in the
entire  state  of  New  York  a  single  chiropractic practice committee
composed of [one duly licensed physician and two] THREE duly  registered
and licensed chiropractors of the state of New York. Each member of said
committee  shall  receive compensation either on an annual basis or on a
per diem basis to be fixed by the [chairman] CHAIR within amounts appro-
priated therefor.  One of said chiropractic members shall be  designated
by the [chairman] CHAIR as a [chairman] CHAIR of said chiropractic prac-
tice  committee.  No  member of said committee shall render chiropractic
treatment under this section nor be employed or accept or participate in
any fee from any insurance company authorized to write [workmen's] WORK-
ERS' compensation insurance in this  state  or  from  any  self-insurer,
whether such employment or fee relates to a [workmen's] WORKERS' compen-
sation claim or otherwise. The [attorney-general] ATTORNEY GENERAL, upon
request, shall advise and assist such committee.
  S  3. Subdivision 10 of section 13-m of the workers' compensation law,
as added by chapter 589 of the laws of  1989,  is  amended  to  read  as
follows:
  10.  The  [chairman]  CHAIR shall appoint for and with jurisdiction in
the entire state of New York  a  single  psychology  practice  committee
composed  of  [two] THREE duly registered and licensed psychologists, at
least one of whom shall be a member in good standing  of  the  New  York
state  psychological  association  recommended  by the president of such
organization[, and one duly licensed  physician  of  the  state  of  New
York].  Each  member of said committee shall receive compensation either
on an annual basis or on a per diem basis to be fixed by the  [chairman]
CHAIR  within  amounts  appropriated therefor. One of said psychologists
shall be designated by the [chairman] CHAIR as  a  [chairman]  CHAIR  of
said  psychology  practice  committee. No member of said committee shall

S. 2605                            96                            A. 3005

render psychological treatment under this section nor be an employer  or
accept  or  participate in any fee from any insurance company authorized
to write workers' compensation insurance in this state or from any self-
insurer,  whether  such  employment or fee relates to a workers' compen-
sation claim or otherwise. The attorney  general,  upon  request,  shall
advise and assist such committee.
  S  4.  Subdivisions 2, 3 and 4 of section 13-g of the workers' compen-
sation law, subdivision 2 as amended by chapter 649 of the laws of 1985,
subdivision 3 as amended by chapter 674 of the laws of 1994, and  subdi-
vision  4  as amended by chapter 639 of the laws of 1996, are amended to
read as follows:
  (2) (A) IF THE PARTIES FAIL TO AGREE  TO  THE  VALUE  OF  MEDICAL  AID
RENDERED  UNDER  THIS CHAPTER AND THE AMOUNT OF THE DISPUTED BILL IS ONE
THOUSAND DOLLARS OR LESS, OR IF THE AMOUNT OF THE DISPUTED MEDICAL  BILL
EXCEEDS  ONE  THOUSAND DOLLARS AND THE HEALTH CARE PROVIDER EXPRESSLY SO
REQUESTS, SUCH VALUE SHALL BE DECIDED BY A  SINGLE  ARBITRATOR  PROCESS,
PURSUANT  TO  RULES  PROMULGATED BY THE CHAIR. THE CHAIR SHALL APPOINT A
PHYSICIAN WHO IS A MEMBER IN GOOD STANDING OF THE MEDICAL SOCIETY OF THE
STATE OF NEW YORK TO DETERMINE THE VALUE OF SUCH DISPUTED MEDICAL  BILL.
WHERE  THE  PHYSICIAN  WHOSE CHARGES ARE BEING ARBITRATED IS A MEMBER IN
GOOD STANDING OF THE NEW YORK OSTEOPATHIC SOCIETY,  THE  VALUE  OF  SUCH
DISPUTED  BILL  SHALL  BE DETERMINED BY A MEMBER IN GOOD STANDING OF THE
NEW YORK OSTEOPATHIC SOCIETY APPOINTED BY THE CHAIR. WHERE THE PHYSICIAN
WHOSE CHARGES ARE BEING ARBITRATED IS A MEMBER IN GOOD STANDING  OF  THE
NEW  YORK  HOMEOPATHIC SOCIETY, THE VALUE OF SUCH DISPUTED BILL SHALL BE
DETERMINED BY A MEMBER IN GOOD STANDING  OF  THE  NEW  YORK  HOMEOPATHIC
SOCIETY  APPOINTED  BY  THE  CHAIR.  WHERE THE VALUE OF PHYSICAL THERAPY
SERVICES OR OCCUPATIONAL THERAPY SERVICES IS AT ISSUE, SUCH VALUE  SHALL
BE  DETERMINED BY A MEMBER IN GOOD STANDING OF A RECOGNIZED PROFESSIONAL
ASSOCIATION REPRESENTING ITS RESPECTIVE PROFESSION IN THE STATE  OF  NEW
YORK  APPOINTED BY THE CHAIR.  DECISIONS RENDERED UNDER THE SINGLE ARBI-
TRATOR PROCESS SHALL BE CONCLUSIVE UPON THE PARTIES AS TO THE  VALUE  OF
THE SERVICES IN DISPUTE.
  (B)  If  the  parties  fail  to  agree  as to the value of medical aid
rendered under this chapter AND THE AMOUNT OF THE DISPUTED BILL  EXCEEDS
ONE  THOUSAND  DOLLARS,  such  value  shall be decided by an arbitration
committee  [consisting]  UNLESS  THE  HEALTH  CARE  PROVIDER   EXPRESSLY
REQUESTS A SINGLE ARBITRATOR PROCESS IN ACCORDANCE WITH PARAGRAPH (A) OF
THIS  SUBDIVISION. THE ARBITRATION COMMITTEE SHALL CONSIST of one physi-
cian designated by the president of the medical society of the county in
which the medical services were rendered, one physician who is a  member
of  the  medical  society  of  the  state  of New York, appointed by the
employer or carrier, and one physician, also a  member  of  the  medical
society  of  the state of New York, appointed by the [chairman] CHAIR of
the workers' compensation board. [The  majority  decision  of  any  such
committee  shall  be  conclusive upon the parties as to the value of the
services rendered.] If the physician whose charges are being  arbitrated
is  a member in good standing of the New York osteopathic society or the
New York homeopathic society, the members of such arbitration  committee
shall  be  physicians  of  such organization, one to be appointed by the
president of that organization, one by the employer or carrier  and  the
third  by the [chairman] CHAIR of the workers' compensation board. Where
the value of physical therapy services is at issue AND THE AMOUNT OF THE
DISPUTED BILL EXCEEDS ONE THOUSAND DOLLARS,  the  arbitration  committee
shall  consist of a member in good standing of a recognized professional
association representing physical therapists in the state  of  New  York

S. 2605                            97                            A. 3005

appointed  by the president of such organization, a physician designated
by the employer or carrier and a physician designated by the  [chairman]
CHAIR  of  the  workers'  compensation  board provided however, that the
[chairman]  CHAIR  finds  that there are a sufficient number of physical
therapy arbitrations in a geographical area comprised  of  one  or  more
counties  to  warrant a committee so comprised. In all other cases where
the value of physical therapy services is at issue AND THE AMOUNT OF THE
DISPUTED BILL EXCEEDS ONE THOUSAND DOLLARS,  the  arbitration  committee
shall  be similarly selected and identical in composition, provided that
the physical therapist member  shall  serve  without  remuneration,  and
provided  further  that  in the event a physical therapist is not avail-
able, the committee shall be comprised of three physicians designated in
the same manner as in cases where the value of medical aid is at issue.
  (C) Where the value of occupational therapy services is at  issue  the
arbitration  committee  shall  consist of a member in good standing of a
recognized professional association representing occupational therapists
in the state of New York appointed by the president  of  such  organiza-
tion;  a physician designated by the employer or carrier and a physician
designated by the [chairman] CHAIR of the  workers'  compensation  board
provided,  however,  that  the  [chairman]  CHAIR finds that there are a
sufficient number of occupational therapy arbitrations in a geographical
area comprised of one  or  more  counties  to  warrant  a  committee  so
comprised.  In  all  other cases where the value of occupational therapy
services is at issue AND THE AMOUNT OF THE  DISPUTED  BILL  EXCEEDS  ONE
THOUSAND  DOLLARS, the arbitration committee shall be similarly selected
and identical in composition, provided that the  occupational  therapist
member  shall  serve  without remuneration, and provided further that in
the event an occupational therapist  is  not  available,  the  committee
shall  be comprised of three physicians designated in the same manner as
in cases where the value of medical aid is at issue.  THE MAJORITY DECI-
SION OF ANY SUCH ARBITRATION COMMITTEE  SHALL  BE  CONCLUSIVE  UPON  THE
PARTIES AS TO THE VALUE OF THE SERVICES IN DISPUTE.
  (3) (A) IF AN EMPLOYER SHALL HAVE NOTIFIED THE HOSPITAL IN WRITING, AS
PROVIDED  IN  SUBDIVISION ONE OF THIS SECTION, WHY THE BILL HAS NOT BEEN
PAID, IN PART OR IN FULL, AND THE AMOUNT OF THE  DISPUTED  BILL  IS  ONE
THOUSAND  DOLLARS  OR  LESS, OR WHERE THE AMOUNT OF THE DISPUTED MEDICAL
BILL  EXCEEDS  ONE  THOUSAND  DOLLARS  AND  THE  HOSPITAL  EXPRESSLY  SO
REQUESTS,  SUCH  VALUE  SHALL BE DECIDED BY A SINGLE ARBITRATOR PROCESS,
PURSUANT TO RULES PROMULGATED BY THE CHAIR. THE CHAIR  SHALL  APPOINT  A
PHYSICIAN  IN  GOOD  STANDING  LICENSED TO PRACTICE IN NEW YORK STATE TO
DETERMINE THE VALUE OF SUCH DISPUTED BILL.  DECISIONS RENDERED UNDER THE
ADMINISTRATIVE RESOLUTION PROCEDURE SHALL BE CONCLUSIVE UPON THE PARTIES
AS TO THE VALUE OF THE SERVICES IN DISPUTE.
  (B) If an employer shall have notified the  hospital  in  writing,  as
provided  in  subdivision one of this section, why the bill has not been
paid, in part or in full, AND THE AMOUNT OF THE  DISPUTED  BILL  EXCEEDS
ONE  THOUSAND  DOLLARS, the value of such bill shall be determined by an
arbitration committee appointed by the chair  for  that  purpose,  which
committee  shall consider all of the charges of the hospital, UNLESS THE
HOSPITAL EXPRESSLY REQUESTS A  SINGLE  ARBITRATOR  PROCESS  PURSUANT  TO
PARAGRAPH (A) OF THIS SUBDIVISION.  The committee shall consist of three
physicians.  One  member  of  the committee may be nominated [to] BY the
chair [by] UPON RECOMMENDATION OF the president of the hospital  associ-
ation  of New York state and one member may be nominated by the employer
or insurance carrier. The majority decision of any such committee  shall
be conclusive upon the parties as to the value of the services rendered.

S. 2605                            98                            A. 3005

The  chair may make reasonable rules and regulations consistent with the
provisions of this section.
  (4)  A provider initiating an arbitration, INCLUDING A SINGLE ARBITRA-
TOR PROCESS, pursuant to this section shall pay a fee as  determined  by
regulations  promulgated  by  the  chair,  to be used to cover the costs
related to the conduct of such arbitration.  Upon resolution in favor of
such party, the amount due, based upon the bill  in  dispute,  shall  be
increased  by the amount of the fee paid by such party.  Where a partial
award is made, the amount due, based upon the bill in dispute, shall  be
increased  by a part of such fee.  Each member of an arbitration commit-
tee for medical bills, and each member of an arbitration  committee  for
hospital  bills shall be entitled to receive and shall be paid a fee for
each day's attendance at an arbitration session in any one count  in  an
amount fixed by the chair of the workers' compensation board.
  S  5.  Subdivision 6 of section 13-k of the workers' compensation law,
as amended by chapter 639 of the laws of 1996, is  amended  to  read  as
follows:
  6.  (A)  The provisions of subdivisions one and three of section thir-
teen-g of this article with respect to  the  conditions  under  which  a
hospital,  physician or self-employed physical or occupational therapist
may request payment or arbitration of a bill, or under  which  an  award
may  be  made  for  payment  of  such bill, shall be applicable to bills
rendered by a podiatrist for services rendered to an injured employee.
  (B) IF THE PARTIES FAIL TO AGREE AS TO  THE  VALUE  OF  PODIATRY  CARE
RENDERED  UNDER  THIS  CHAPTER  TO  A  CLAIMANT,  AND  THE AMOUNT OF THE
DISPUTED BILL IS ONE THOUSAND DOLLARS OR LESS, OR WHERE  THE  AMOUNT  OF
THE  DISPUTED  BILL  EXCEEDS  ONE  THOUSAND  DOLLARS  AND THE PODIATRIST
EXPRESSLY SO REQUESTS, SUCH VALUE SHALL BE DECIDED BY A SINGLE  ARBITRA-
TOR PROCESS, PURSUANT TO RULES PROMULGATED BY THE CHAIR. THE CHAIR SHALL
APPOINT  A  MEMBER IN GOOD STANDING OF A RECOGNIZED PROFESSIONAL ASSOCI-
ATION REPRESENTING PODIATRISTS IN THE STATE OF NEW YORK TO DETERMINE THE
VALUE OF SUCH DISPUTED BILL. DECISIONS RENDERED UNDER THE  SINGLE  ARBI-
TRATOR  PROCESS  SHALL BE CONCLUSIVE UPON THE PARTIES AS TO THE VALUE OF
THE SERVICES IN DISPUTE.
  (C) If the parties fail to agree as to  the  value  of  podiatry  care
rendered under this chapter to a claimant AND THE AMOUNT OF THE DISPUTED
BILL  EXCEEDS ONE THOUSAND DOLLARS AND THE PODIATRIST DOES NOT EXPRESSLY
REQUEST A SINGLE ARBITRATOR PROCESS IN ACCORDANCE WITH PARAGRAPH (B)  OF
THIS  SUBDIVISION, such value shall be decided by an arbitration commit-
tee consisting of three duly registered and licensed podiatrists who are
members of a recognized  professional  association  representing  podia-
trists in the state of New York, one to be appointed by the president of
such  an association, one to be appointed by the employer or carrier and
one to be appointed by the chair of the workers' compensation board  and
the  majority  decision  of  such committee shall be conclusive upon the
parties as to the value of the services rendered.
  (D) The board or the chair may make an award  not  in  excess  of  the
established  fee  schedules  for  any  such  bill  or part thereof which
remains unpaid in the same manner as an award for bills  rendered  under
subdivisions  one  and  three of section thirteen-g of this article, and
such award may be collected in  like  manner  as  an  [aware]  AWARD  of
compensation.    Where a podiatrist's bill has been determined to be due
and owing in accordance with the provisions of this  section  the  board
shall  include  in the amount of the award interest of not more than one
and one-half percent (1 1/2%) per month payable  to  the  podiatrist  in
accordance  with the rules and regulations promulgated by the board. The

S. 2605                            99                            A. 3005

chair shall assess the sum of fifty dollars  against  the  employer  for
each  such  award  made  by  the board, which sum shall be paid into the
state treasury.
  (E)  A  provider  initiating  an arbitration, INCLUDING A SINGLE ARBI-
TRATION PROCESS, pursuant to this section shall pay a fee, as determined
by regulations promulgated by the chair, to be used to cover  the  costs
related  to the conduct of such arbitration. Upon resolution in favor of
such party, the amount due, based upon the bill  in  dispute,  shall  be
increased  by  the amount of the fee paid by such party. Where a partial
award is made, the amount due, based upon the bill in dispute  shall  be
increased  by a part of such fee. Each member of the arbitration commit-
tee shall be entitled to receive and shall be paid a fee for each  day's
attendance  at an arbitration session in an amount fixed by the chair of
the workers' compensation board.
  S 6. Subdivision 6 of section 13-l of the workers'  compensation  law,
as  amended  by  chapter  639 of the laws of 1996, is amended to read as
follows:
  6. (A) The provisions of subdivisions one and three of  section  thir-
teen-g  of  this  article  with  respect to the conditions under which a
hospital, physician or self-employed physical or occupational  therapist
may  request  payment  or arbitration of a bill, or under which an award
may be made for payment of such  bill,  shall  be  applicable  to  bills
rendered by a chiropractor for services rendered to an injured employee.
  (B)  IF THE PARTIES FAIL TO AGREE AS TO THE CHIROPRACTIC CARE RENDERED
UNDER THIS CHAPTER TO A CLAIMANT, AND THE AMOUNT OF THE DISPUTED BILL IS
ONE THOUSAND DOLLARS OR LESS, OR WHERE THE AMOUNT OF THE  DISPUTED  BILL
EXCEEDS ONE THOUSAND DOLLARS AND THE CHIROPRACTOR EXPRESSLY SO REQUESTS,
SUCH  VALUE SHALL BE DECIDED BY A SINGLE ARBITRATOR PROCESS, PURSUANT TO
RULES PROMULGATED BY THE CHAIR. THE CHAIR SHALL APPOINT A MEMBER IN GOOD
STANDING OF A RECOGNIZED PROFESSIONAL  ASSOCIATION  REPRESENTING  CHIRO-
PRACTORS  IN  THE  STATE  OF  NEW  YORK  TO  DETERMINE THE VALUE OF SUCH
DISPUTED BILL. DECISIONS RENDERED UNDER THE  SINGLE  ARBITRATOR  PROCESS
SHALL  BE CONCLUSIVE UPON THE PARTIES AS TO THE VALUE OF THE SERVICES IN
DISPUTE.
  (C) If the parties fail to agree as to the chiropractic care  rendered
under  this  chapter  to a claimant, AND THE AMOUNT OF THE DISPUTED BILL
EXCEEDS ONE THOUSAND DOLLARS AND THE  CHIROPRACTOR  DOES  NOT  EXPRESSLY
REQUEST  A SINGLE ARBITRATOR PROCESS IN ACCORDANCE WITH PARAGRAPH (B) OF
THIS SUBDIVISION, such value shall be decided by the chiropractic  prac-
tice  committee  and  the  majority  decision of such committee shall be
conclusive upon the parties as to the value of the services rendered.
  (D) The board or the chair may make an award  not  in  excess  of  the
established  fee  schedules  for  any  such  bill  or part thereof which
remains unpaid in the same manner as an award for bills  rendered  under
subdivisions  one  and  three of section thirteen-g of this article, and
such award may be collected in like manner as an award of  compensation.
Where  a  chiropractor's bill has been determined to be due and owing in
accordance with the provisions of this section the board  shall  include
in  the  amount  of the award interest of not more than one and one-half
percent (1 1/2%) per month payable to  the  chiropractor  in  accordance
with the rules and regulations promulgated by the board. The chair shall
assess the sum of fifty dollars against the employer for each such award
made by the board, which sum shall be paid into the state treasury.
  (E)  A provider initiating an arbitration, INCLUDING A SINGLE ARBITRA-
TOR PROCESS, pursuant to this section shall pay a fee, as determined  by
regulations  promulgated  by  the  chair,  to be used to cover the costs

S. 2605                            100                           A. 3005

related to the conduct of such arbitration. Upon resolution in favor  of
such  party,  the  amount  due, based upon the bill in dispute, shall be
increased by the amount of the fee paid by such party. Where  a  partial
award  is made, the amount due, based upon the bill in dispute, shall be
increased by a part of such fee.
  S 7. Subdivision 7 of section 13-m of the workers'  compensation  law,
as  amended by chapter 674 of the laws of 1994, paragraph (c) as amended
by chapter 639 of the laws of 1996, is amended to read as follows:
  7. (a) The provisions of subdivisions one and three of  section  thir-
teen-g  of  this  article  with  respect to the conditions under which a
hospital, physician or self-employed physical or occupational  therapist
may  request  payment  or arbitration of a bill, or under which an award
may be made for payment of such  bill,  shall  be  applicable  to  bills
rendered by a psychologist for services rendered to an injured employee.
  (B) IF THE PARTIES FAIL TO AGREE AS TO THE PSYCHOLOGICAL CARE RENDERED
UNDER THIS CHAPTER TO A CLAIMANT, AND THE AMOUNT OF THE DISPUTED BILL IS
ONE  THOUSAND  DOLLARS OR LESS, OR WHERE THE AMOUNT OF THE DISPUTED BILL
EXCEEDS ONE THOUSAND DOLLARS AND THE PSYCHOLOGIST EXPRESSLY SO REQUESTS,
SUCH VALUE SHALL BE DECIDED BY A SINGLE ARBITRATOR PROCESS, PURSUANT  TO
RULES PROMULGATED BY THE CHAIR. THE CHAIR SHALL APPOINT A MEMBER IN GOOD
STANDING  OF A RECOGNIZED PROFESSIONAL ASSOCIATION REPRESENTING PSYCHOL-
OGISTS IN THE STATE OF NEW YORK TO DETERMINE THE VALUE OF SUCH  DISPUTED
BILL.  DECISIONS  RENDERED  UNDER THE SINGLE ARBITRATOR PROCESS SHALL BE
CONCLUSIVE UPON THE PARTIES AS TO THE VALUE OF THE SERVICES IN DISPUTE.
  (C) If the parties fail to agree as to the psychological care rendered
under this chapter to a claimant, AND THE AMOUNT OF  THE  DISPUTED  BILL
EXCEEDS  ONE  THOUSAND  DOLLARS  AND THE PSYCHOLOGIST DOES NOT EXPRESSLY
REQUEST A SINGLE ARBITRATOR PROCESS IN ACCORDANCE WITH PARAGRAPH (B)  OF
THIS SUBDIVISION, such value shall be decided by the psychology practice
committee  and  the majority decision of such committee shall be conclu-
sive upon the parties as to the value of the services rendered.
  (D) The board or the chair may make an award  not  in  excess  of  the
established  fee  schedules  for  any  such  bill  or part thereof which
remains unpaid in the same manner as an award for bills  rendered  under
subdivisions  one  and  three of section thirteen-g of this article, and
such award may be collected in like manner as an award of  compensation.
The chair shall assess the sum of fifty dollars against the employer for
each  such  award  made  by  the board, which sum shall be paid into the
state treasury.  [(b)] Where a psychologist's bill has  been  determined
to  be  due  and owing in accordance with the provisions of this section
the board shall include in the amount of the award interest of not  more
than  one  and one-half percent per month payable to the psychologist in
accordance with the rules and regulations promulgated by the board.
  [(c)] (E) A provider initiating an  arbitration,  INCLUDING  A  SINGLE
ARBITRATOR  PROCESS, pursuant to this section shall pay a fee, as deter-
mined by regulations promulgated by the chair, to be used to  cover  the
costs  related  to  the  conduct of such arbitration. Upon resolution in
favor of such party, the amount due, based upon  the  bill  in  dispute,
shall  be increased by the amount of the fee paid by such party. Where a
partial award is made, the amount due, based upon the bill  in  dispute,
shall be increased by a part of such fee.
  S  7-a.   Paragraph (a) of subdivision 6 of section 15 of the workers'
compensation law, as amended by chapter 689 of  the  laws  of  2007,  is
amended to read as follows:
  (a) Compensation for permanent or temporary total disability due to an
accident  or  disablement  resulting  from  an occupational disease that

S. 2605                            101                           A. 3005

occurs, (1) on or after January first, nineteen  hundred  seventy-eight,
shall  not  exceed one hundred twenty-five dollars per week, that occurs
(2) on or after July first, nineteen hundred  seventy-eight,  shall  not
exceed  one hundred eighty dollars per week, that occurs (3) on or after
January first, nineteen  hundred  seventy-nine,  shall  not  exceed  two
hundred  fifteen  dollars  per  week,  that  occurs (4) on or after July
first, nineteen hundred  eighty-three,  shall  not  exceed  two  hundred
fifty-five  dollars  per  week,  that occurs (5) on or after July first,
nineteen hundred eighty-four, shall not exceed two hundred  seventy-five
dollars  per  week,  that  occurs  (6)  on or after July first, nineteen
hundred eighty-five, shall not exceed three hundred  dollars  per  week,
that  occurs  (7) on or after July first, nineteen hundred ninety, shall
not exceed three hundred forty dollars per week;  and  in  the  case  of
temporary  total  disability  shall  not be less than thirty dollars per
week and in the case of permanent total disability  shall  not  be  less
than  twenty dollars per week except that if the employee's wages at the
time of injury are less than thirty or twenty dollars per  week  respec-
tively,  he  or she shall receive his or her full weekly wages.  Compen-
sation for permanent or temporary partial disability due to an  accident
or disablement resulting from an occupational disease that occurs (1) on
or after January first, nineteen hundred seventy-eight, shall not exceed
one  hundred  five  dollars  per  week, that occurs (2) on or after July
first, nineteen hundred eighty-three, shall not exceed one hundred twen-
ty-five dollars per week, that occurs (3) on or after July first,  nine-
teen  hundred  eighty-four,  shall  not  exceed  one hundred thirty-five
dollars per week, that occurs (4)  on  or  after  July  first,  nineteen
hundred  eighty-five,  shall  not  exceed  one hundred fifty dollars per
week, that occurs (5) on or after July first, nineteen  hundred  ninety,
shall  not  exceed two hundred eighty dollars per week; nor be less than
twenty dollars per week; except that if the employee's wages at the time
of injury are less than twenty dollars per week, he or she shall receive
his or her full weekly wages.   In  no  event  shall  compensation  when
combined  with  decreased earnings or earning capacity exceed the amount
of wages which the  employee  was  receiving  at  the  time  the  injury
occurred. Compensation for permanent or temporary partial disability, or
for  permanent or temporary total disability due to an accident or disa-
blement resulting from an occupational disease that  occurs  (1)  on  or
after  July  first, nineteen hundred ninety-one and prior to July first,
nineteen hundred  ninety-two,  shall  not  exceed  three  hundred  fifty
dollars  per  week; (2) on or after July first, nineteen hundred ninety-
two, shall not exceed four hundred dollars per week; nor  be  less  than
forty  dollars  per week except that if the employee's wages at the time
of injury are less than forty  dollars  per  week,  the  employee  shall
receive  his  or her full wages. Compensation for permanent or temporary
partial disability, or for permanent or temporary total  disability  due
to  an  accident  or  disablement resulting from an occupational disease
that occurs (1) on or after July first, two  thousand  seven  shall  not
exceed  five  hundred  dollars per week, (2) on or after July first, two
thousand eight shall not exceed five hundred fifty dollars per week, (3)
on or after July first, two thousand nine shall not exceed  six  hundred
dollars  per week, and (4) on or after July first, two thousand ten, and
on or after July first of each succeeding year, shall  not  exceed  two-
thirds  of  the New York state average weekly wage for the year in which
it is reported. Compensation for permanent or temporary partial disabil-
ity, or for permanent or temporary total disability due to  an  accident
or  disablement resulting from an occupational disease that occurs on or

S. 2605                            102                           A. 3005

after July first, two thousand seven shall not be less than one  hundred
dollars  per  week  except  that  if the employee's wages at the time of
injury are less than one hundred dollars per week,  the  employee  shall
receive  his or her full wages.  COMPENSATION FOR PERMANENT OR TEMPORARY
PARTIAL DISABILITY, OR FOR PERMANENT OR TEMPORARY TOTAL  DISABILITY  DUE
TO  AN  ACCIDENT  OR  DISABLEMENT RESULTING FROM AN OCCUPATIONAL DISEASE
THAT OCCURS ON OR AFTER MAY FIRST, TWO THOUSAND THIRTEEN  SHALL  NOT  BE
LESS  THAN ONE HUNDRED FIFTY DOLLARS PER WEEK EXCEPT THAT IF THE EMPLOY-
EE'S WAGES AT THE TIME OF INJURY ARE LESS THAN ONE HUNDRED FIFTY DOLLARS
PER WEEK, THE EMPLOYEE SHALL RECEIVE HIS OR HER FULL WAGES. In no  event
shall  compensation  when  combined  with  decreased earnings or earning
capacity exceed the amount of wages the employee was  receiving  at  the
time  the  injury  occurred.  Compensation  for  permanent  or temporary
partial disability, or for permanent or temporary total  disability  due
to  an accident or disablement resulting from an occupational disease or
injury that occurred as a result of World Trade Center  rescue  activity
by  an  employee  of a private voluntary hospital, who passed a physical
examination upon employment as a rescue worker  that  failed  to  reveal
evidence  of  a condition that was the proximate cause of disablement or
occupational disease or injury, shall not  exceed  three-quarters  of  a
claimant's  wage  on  September  eleventh, two thousand one. In no event
shall compensation when combined  with  decreased  earnings  or  earning
capacity  exceed  the  amount  of  wages  the  employee was receiving on
September eleventh, two thousand one.
  S 8. Paragraph (h) of subdivision 8 of  section  15  of  the  workers'
compensation  law, as amended by chapter 6 of the laws of 2007, subpara-
graph 4 as amended by section 1 of part QQ of chapter 56 of the laws  of
2009, the opening paragraph and clauses (A) and (B) of subparagraph 4 as
amended  by  section  1 of part G of chapter 57 of the laws of 2011, and
clause (B) of subparagraph 4 as further amended by section 104 of part A
of chapter 62 of the laws of 2011, is amended to read as follows:
  (h) Special disability fund. (1) The fund  heretofore  maintained  and
provided  for  by  and  pursuant  to  former  subdivision  eight of this
section, is hereby continued and shall retain the liabilities heretofore
charged or chargeable thereto under the provisions of such former subdi-
vision eight of this section as it existed immediately prior to the time
this subdivision, as hereby added, takes  effect,  and  the  liabilities
chargeable thereto under the provisions of former subdivision eight-a of
this section as added by chapter seven hundred forty-nine of the laws of
nineteen  hundred forty-four and repealed at the same time this subdivi-
sion, as heretofore added,  takes  effect,  and  payments  therefrom  on
account  of such liabilities shall continue to be made as provided here-
in. The said fund shall be known as  the  special  disability  fund  and
shall be available only for the purposes stated in this subdivision, and
the  assets thereof shall not at any time be appropriated or diverted to
any other use or purpose.
  (2) (A) No carrier or employer, or the state insurance fund, may  file
a claim for reimbursement from the special disability fund, for an inju-
ry or illness with a date of accident or date of disablement on or after
July  first,  two  thousand  seven. No carrier or employer, or the state
insurance fund, may file a claim  for  reimbursement  from  the  special
disability  fund  after  July  first,  two  thousand ten, and no written
submissions or evidence in support of such  a  claim  may  be  submitted
after that date.
  (B)  All  requests  for reimbursement from the special disability fund
with a date of injury or date of disablement prior to  July  first,  two

S. 2605                            103                           A. 3005

thousand  seven  as  to  which the board has determined that the special
disability fund is liable must be submitted to  the  special  disability
fund  by  the  later of (i) one year after the expense has been paid, or
(ii) one year from the effective date of this paragraph.
  [(C)  All  claims  for  reimbursement from the special disability fund
must be accompanied by a filing fee of two hundred fifty dollars, to  be
deposited  in  the special disability fund. Upon any final ruling that a
claim is eligible for reimbursement from the fund, the fund will  return
two hundred dollars of this fee to the claimant.]
  (3)  [The chair of the board shall, as soon as practicable after April
first, nineteen hundred forty-five, assess upon and  collect  from  each
insurance  carrier,  including  the state insurance fund and any county,
city, town, village or other political  subdivision  failing  to  secure
compensation pursuant to subdivision one or two of section fifty of this
chapter, a sum equal to one per centum of the total compensation paid by
such  carrier  in  the year ending March thirty-first next preceding the
date of such assessment.
  (4) As soon as practicable  after  May  first  in  the  year  nineteen
hundred  fifty-eight,  and  annually  thereafter  as soon as practicable
after January first in each succeeding year,] EFFECTIVE THE FIRST DAY OF
JANUARY, TWO THOUSAND FOURTEEN, AND ANNUALLY THEREAFTER,  the  chair  of
the  board  shall [assess upon and] collect from all [self-insurers, the
state insurance fund, and all insurance carriers] AFFECTED EMPLOYERS (A)
a sum equal to one hundred  fifty  per  centum  of  the  total  EXPECTED
disbursements  made from the special disability fund during the [preced-
ing calendar] year (not including any disbursements made on  account  of
anticipated liabilities or waiver agreements funded by bond proceeds and
related  earnings),  less the ESTIMATED amount of the net assets in such
fund EXPECTED as of December thirty-first [of  said  preceding  calendar
year,]  and  (B)  a sum sufficient to cover debt service, and associated
costs (the "debt service assessment") to be  paid  during  the  calendar
year  by  the  dormitory  authority,  as  calculated  in accordance with
subparagraph [five] FOUR of this paragraph. Such  assessments  shall  be
[allocated  to (i) self-insurers and the state insurance fund based upon
the proportion that the total compensation payments made by all self-in-
surers and the state insurance  fund  bore  to  the  total  compensation
payments  made  by  all self-insurers, the state insurance fund, and all
insurance carriers, and (ii) insurance carriers based upon  the  propor-
tion that the total compensation payments made by all insurance carriers
bore  to the total compensation payments by all self-insurers, the state
insurance fund and all insurance carriers during the fiscal  year  which
ended within said preceding calendar year.  Insurance carriers and self-
insurers shall be liable for all such assessments regardless of the date
on  which  they came into existence, or whether they have made any claim
for reimbursement from the special disability fund. The portion of  such
sum  allocated  to self-insurers and the state insurance fund that shall
be collected from each self-insurer and the state insurance  fund  shall
be  a  sum equal to the proportion of the amount which the total compen-
sation payments of each such self-insurer or the  state  insurance  fund
bore  to  the  total compensation payments made by all self-insurers and
the state insurance fund during the fiscal year which ended within  said
preceding  calendar year. The portion of such sum allocated to insurance
carriers that shall be collected from each insurance carrier shall be  a
sum  equal  to  that  proportion  of the amount which the total standard
premium by each such insurance carrier bore to the total standard premi-
um reported by all insurance carriers during  the  calendar  year  which

S. 2605                            104                           A. 3005

ended  within  said  preceding  fiscal  year. The payments from the debt
service assessment, unless otherwise set forth in the special disability
fund financing agreement, are  hereby  pledged  therefor  and  shall  be
deemed the first monies received on account of assessments in each year.
For  the  purposes  of this paragraph, "standard premium" shall mean the
premium as defined for the purposes of this  assessment  by  the  super-
intendent  of  financial services, in consultation with the chair of the
board and the workers' compensation rating board. An  employer  who  has
ceased  to be a self-insurer shall continue to be liable for any assess-
ments into said fund on account of any compensation payments made by him
or her on his or her account during such fiscal year, and  the  security
fund,  created under the provisions of section one hundred seven of this
chapter, shall, in the event of the insolvency of any insurance company,
be liable for any assessments that would have  been  made  against  such
company  except  for its insolvency. No assessment shall be payable from
the aggregate trust fund, created under the provisions of section  twen-
ty-seven  of this article, but such fund shall continue to be liable for
all compensation that shall be payable under any award or order  of  the
board,  the  commuted value of which has been paid into such fund.  Such
assessments when collected shall be deposited with the  commissioner  of
taxation  and  finance  for  the  benefit of such fund. Unless otherwise
provided, such assessments, shall not constitute an element of loss  for
the  purpose  of establishing rates for compensation insurance but shall
for the purpose of collection be treated as separate costs by  carriers.
All  insurance carriers and the state insurance fund, shall collect such
assessments, from their  policyholders  through  a  surcharge  based  on
premiums  in  accordance  with  rules set forth by the superintendent of
financial services in consultation with the New  York  workers'  compen-
sation  rating board and the chair of the board. Such surcharge shall be
considered as part of premium for purposes prescribed by law  including,
but  not limited to, computing premium tax, reporting to the superinten-
dent of financial services pursuant to section ninety-nine of this chap-
ter and section three hundred seven of the  insurance  law,  determining
the  limitation  of  expenditures  for  the  administration of the state
insurance fund pursuant to section eighty-eight of this chapter and  the
cancellation  by  an  insurance  carrier,  including the state insurance
fund, of a policy for non-payment of premium.  The  provisions  of  this
paragraph  shall  not apply with respect to policies containing coverage
pursuant to subsection (j) of section three thousand four hundred twenty
of the insurance law relating to every  policy  providing  comprehensive
personal  liability insurance on a one, two, three or four family owner-
occupied dwelling.  The state insurance fund shall notify  its  insureds
that  such assessments, shall be, for the purpose of recoupment, treated
as separate costs, for the purpose of premiums billed on or after  Octo-
ber  first,  nineteen  hundred  ninety-four.  For  the  purposes of this
section, a "self-insurer" shall be: (i) an employer authorized to  self-
insure  under subdivision three of section fifty of this chapter, active
groups authorized pursuant to subdivision three-a of  section  fifty  of
this  chapter  or  a  group of employers authorized to self-insure under
paragraph ten of subdivision three-a of section fifty of  this  chapter;
or  (ii)  a  public  employer  authorized as set forth in paragraph a of
subdivision four of section fifty of this chapter to  self-insure  under
subdivision  three,  three-a  or four of such section or article five of
this chapter, whether individually or as a group.
  For the purposes of this paragraph, except as otherwise provided:  the
term  "insurance  carrier" shall include only stock corporations, mutual

S. 2605                            105                           A. 3005

corporations and reciprocal insurers authorized to transact the business
of workers' compensation insurance in this state; the term  "self-insur-
er"  shall  include  any employer or group of employers permitted to pay
compensation directly under the provisions of subdivision three, three-a
or four of section fifty of this chapter.
  The  board  is hereby authorized to issue credits or refunds as neces-
sary, in the case of overpayments made to the fund. An insurance carrier
that knowingly underreports premiums for the purposes  of  this  section
shall  be  guilty  of a class E felony.] INCLUDED IN THE ASSESSMENT RATE
ESTABLISHED PURSUANT TO SUBDIVISION TWO OF SECTION ONE HUNDRED FIFTY-ONE
OF THIS CHAPTER. SUCH ASSESSMENTS SHALL BE DEPOSITED  WITH  THE  COMMIS-
SIONER  OF  TAXATION  AND FINANCE AND TRANSFERRED TO THE BENEFIT OF SUCH
FUND FOLLOWING PAYMENT OF DEBT SERVICE AND  ASSOCIATED  COSTS,  IF  ANY,
PURSUANT TO SECTION ONE HUNDRED FIFTY-ONE OF THIS CHAPTER.
  [(5)]  (4)  (A) The chair and the commissioner of taxation and finance
are authorized and directed to enter into a financing agreement with the
dormitory authority, to be known as the "special disability fund financ-
ing agreement." Such agreement shall set forth the process for calculat-
ing the annual debt service of the bonds issued by the dormitory author-
ity and any other  associated  costs.  For  purposes  of  this  section,
"associated  costs" may include a coverage factor, reserve fund require-
ments, all costs of any nature incurred by the  dormitory  authority  in
connection  with  the  special  disability  fund  financing agreement or
pursuant thereto, the operating costs of the waiver agreement management
office, the costs  of  any  independent  audits  undertaken  under  this
section, and any other costs for the implementation of this subparagraph
and the issuance of bonds by the dormitory authority, including interest
rate exchange payments, rebate payments, liquidity fees, credit provider
fees,  fiduciary  fees,  remarketing,  dealer, auction agent and related
fees and other similar bond-related expenses, unless  otherwise  funded.
By  January first of each year, the dormitory authority shall provide to
the chair the calculation of the amount  expected  to  be  paid  by  the
dormitory authority in debt service and associated costs for purposes of
calculating  the  debt  service  assessment as set forth in subparagraph
[four] THREE of this paragraph.  All monies received on account  of  any
assessment  under  subparagraph  [four] THREE of this paragraph and this
subparagraph shall be applied in accordance with this  subparagraph  and
in  accordance  with  the  financing agreement until the financial obli-
gations of the dormitory authority in respect to its contract  with  its
bondholders  are  met  and all associated costs payable to the dormitory
authority have been paid, notwithstanding any  other  provision  of  law
respecting  secured  transactions. This provision may be included by the
dormitory authority in any contract of the dormitory authority with  its
bondholders.
  The special disability fund financing agreement may restrict disburse-
ments,  investments,  or rebates, and may prescribe a system of accounts
applicable to the special  disability  fund,  including  custody  of  an
account  with  a  trust  indenture trustee that may be prescribed by the
dormitory authority as part of its contract with  the  bondholders.  For
purposes  of this paragraph, the term "bonds" shall include notes issued
in anticipation of the issuance of bonds, or notes issued pursuant to  a
commercial paper program.
  (B) The chair may conduct periodic audits of any EMPLOYER, self-insur-
er, insurance carrier and the state insurance fund concerning any infor-
mation or payment required under this [paragraph] CHAPTER, including any
information  relevant  to the payment or calculation of any assessments.

S. 2605                            106                           A. 3005

The EMPLOYER, self-insurer, insurance carrier and  the  state  insurance
fund  shall  provide all necessary documents and information in relation
to an audit in a manner prescribed by the chair. Upon the  determination
of  the  chair  that [a] AN EMPLOYER, self-insurer, insurance carrier or
the state insurance fund has underpaid an assessment as a result of  its
inaccurate  reporting,  the EMPLOYER, self-insurer, insurance carrier or
the state insurance fund upon notice from the chair, shall pay the  full
amount  of  the underpaid assessment, along with interest at the rate of
nine per cent per annum on the unpaid  assessment  due  not  later  than
thirty  days  after such notice.   AN INSURANCE CARRIER OR EMPLOYER THAT
KNOWINGLY MISREPRESENTS INFORMATION FOR  THE  PURPOSE  OF  THIS  SECTION
SHALL BE GUILTY OF A CLASS E FELONY.
  [(6)]  (5)  The commissioner of taxation and finance is hereby author-
ized to receive and credit to such special disability fund  any  sum  or
sums  that  may  at  any  time be contributed to the state by the United
States of America under any act of congress, or otherwise, to which  the
state  may  be  or become entitled by reason of any payments made out of
such fund.
  [(7)] (6) The commissioner of taxation and finance shall be the custo-
dian of said fund and, unless otherwise  provided  for  in  the  special
disability fund financing agreement, shall invest any surplus or reserve
moneys  thereof  in  securities  which  constitute legal investments for
savings banks under the laws of  this  state  and  in  interest  bearing
certificates  of  deposit of a bank or trust company located and author-
ized to do business in this state or of a national bank located in  this
state  secured by a pledge of direct obligations of the United States or
of the state of New York in an  amount  equal  to  the  amount  of  such
certificates  of  deposit, and may sell any of the securities or certif-
icates of deposit in which such fund is invested if  necessary  for  the
proper  administration  or  in the best interest of such fund. Disburse-
ments from such fund as provided by this subdivision shall  be  made  by
the  commissioner  of  taxation  and finance upon vouchers signed by the
chair of the board unless the  financing  agreement  provides  for  some
other means of authorizing such disbursements that is no less protective
of the fund.
  The  commissioner  of taxation and finance, as custodian of such fund,
annually as soon as practicable after January first,  shall  furnish  to
the  chair  of  the workers' compensation board a statement of the fund,
setting forth the balance of moneys in the said fund as of the beginning
of the calendar year, the income of the fund, the  summary  of  payments
out  of  the fund on account of reimbursements and other charges ordered
to be paid by the board, and all other charges  against  the  fund,  and
setting  forth the balance of the fund remaining to its credit on Decem-
ber thirty-first. Such statement shall be open to public  inspection  in
the office of the secretary of the board. The chair, not less than nine-
ty  days  after  the issuance of the dormitory authority's annual audit,
shall furnish to the temporary president of the senate and  the  speaker
of  the assembly the following reports on the special disability fund: a
revenue and operating expense statement;  a  financing  plan;  a  report
concerning  the  assets and liabilities; the number of waiver agreements
entered into by the waiver agreement management office;  the  number  of
claimants  remaining in the fund; the estimated current unfunded liabil-
ity of the fund with respect to such claims; and a debt issuance  report
including  but not limited to (i) pledged assessment revenue and securi-
tization coverage, (ii) debt service  maturities,  (iii)  interest  rate
exchange or similar agreements, and (iv) financing and issuance costs.

S. 2605                            107                           A. 3005

  The  commissioner  of  taxation  and  finance may establish within the
special disability fund such accounts and  sub-accounts  as  he  or  she
deems useful for the operation of the fund, or as necessary to segregate
moneys  within  the  fund,  subject  to  the provisions of the financing
agreement. The waiver agreement management office, as defined in section
thirty-two  of  this  article,  shall make application to the chair on a
quarterly basis for any administrative costs incurred by the office.
  S 9. Paragraph (i) of subdivision 8 of  section  15  of  the  workers'
compensation  law,  as  amended  by  chapter 635 of the laws of 1996, is
amended to read as follows:
  (i) When an application for  apportionment  of  compensation  is  made
under  this  subdivision,  the  chair of the workers' compensation board
shall appoint [a representative of] AN ATTORNEY TO REPRESENT AND  DEFEND
such  fund  in  such  proceedings[,  but  whenever it shall appear that,
through any committee,  board  or  organization  representative  of  the
interest  of  employers  or  insurance  carriers,  an  attorney has been
appointed to act for and on  behalf  of  such  employers  and  insurance
carriers  generally  to  represent  such fund in any proceedings brought
hereunder, the chair of the board may designate  such  attorney  as  the
representative  of such special disability fund in proceedings involving
claims against such fund].  Such [representative] ATTORNEY shall  there-
after  be  given notice of all proceedings involving the rights or obli-
gations of such fund. Such [representative] ATTORNEY  may apply  to  the
chair  of the board for authority to hire such medical and other experts
and to defray the expense thereof and of such witnesses as may be neces-
sary to a  proper  defense  of  any  claim,  within  an  amount  in  the
discretion  of  the  chair  and,  if  authorized, such amount shall be a
charge against such special disability fund.
  The provisions of this chapter with respect to  procedure,  except  as
may  be  otherwise provided in this subdivision, and the right of appeal
shall be preserved to the claimant and to the employer or his  insurance
carrier  and  to  such fund through its [representative and] attorney as
herein provided.
  S 10. Section 23 of the workers' compensation law, as amended by chap-
ter 6 of the laws of 2007, is amended to read as follows:
  S 23. Appeals. An award or decision of the board shall  be  final  and
conclusive  upon  all  questions within its jurisdiction, as against the
state fund or between the parties, unless reversed or modified on appeal
therefrom as hereinafter provided. Any  party  may  within  thirty  days
after  notice  of  the filing of an award or decision of a referee, file
with the board an application in writing for a modification  or  rescis-
sion  or  review of such award or decision, as provided in this chapter.
The board shall render its decision upon such application in writing and
shall include in such decision a statement of the facts which formed the
basis of its action on the issues raised before it on such  application.
Within  thirty  days after notice of the decision of the board upon such
application has been served upon the  parties,  or  within  thirty  days
after notice of an administrative redetermination review decision by the
chair  pursuant  to  subdivision  five of section fifty-two, section one
hundred thirty-one or section one hundred forty-one-a  of  this  chapter
has been served upon any party in interest, an appeal may be taken ther-
efrom  to the appellate division of the supreme court, third department,
by any party in interest, including an employer  insured  in  the  state
fund; provided, however, that [if the decision or determination was that
of  a  panel  of the board and there was a dissent from such decision or
determination other than a dissent the sole basis of which is  to  refer

S. 2605                            108                           A. 3005

the  case  to an impartial specialist,] any party in interest may within
thirty days after notice of the filing of  the  board  panel's  decision
with  the secretary of the board, make application in writing for review
thereof  by  the  full  board,  [and]  RAISING ARGUMENTS RELATIVE TO THE
ALLEGED DEFICIENCIES OF THE BOARD PANEL DECISION.  IF  THE  DECISION  OR
DETERMINATION  WAS  THAT OF A PANEL OF THE BOARD AND THERE WAS A DISSENT
FROM SUCH DECISION OR DETERMINATION OTHER THAN A DISSENT THE SOLE  BASIS
OF WHICH IS TO REFER THE CASE TO AN IMPARTIAL SPECIALIST, the full board
shall  review  and  affirm,  modify or rescind such decision or determi-
nation in the same manner as herein above provided for an award or deci-
sion of a referee.  IF THE DECISION OR DETERMINATION WAS THAT OF A UNAN-
IMOUS PANEL OF THE BOARD, OR THERE WAS A DISSENT FROM SUCH  DECISION  OR
DETERMINATION  THE SOLE BASIS OF WHICH IS TO REFER THE CASE TO AN IMPAR-
TIAL SPECIALIST, THE CHAIR AND  OR  THE  FULL  BOARD  MAY  IN  ITS  SOLE
DISCRETION  REVIEW AND AFFIRM, MODIFY OR RESCIND SUCH DECISION OR DETER-
MINATION IN THE SAME MANNER AS HEREIN ABOVE PROVIDED  FOR  AN  AWARD  OR
DECISION  OF  A  REFEREE.  Failure to apply for review by the full board
shall not bar any party in interest from taking an  appeal  directly  to
the  court  as  above  provided.   The board may also, in its discretion
certify to such appellate division of the supreme  court,  questions  of
law involved in its decision. Such appeals and the question so certified
shall  be  heard  in a summary manner and shall have precedence over all
other civil cases in such court. The board shall be deemed  a  party  to
every such appeal from its decision upon such application, and the chair
shall  be  deemed  a  party  to every such appeal from an administrative
redetermination review decision pursuant to subdivision five of  section
fifty-two  of  this  chapter.  The  attorney general shall represent the
board and the chair thereon. An appeal may also be taken to the court of
appeals in the same manner and  subject  to  the  same  limitations  not
inconsistent  herewith  as is now provided in the civil practice law and
rules. It shall not be necessary to file exceptions to  the  rulings  of
the  board.  An  appeal  to the appellate division of the supreme court,
third department, or to the court of appeals, shall  not  operate  as  a
stay  of  the payment of compensation required by the terms of the award
or of the payment of the cost of such medical, dental, surgical, optome-
tric or other attendance, treatment, devices, apparatus or other  neces-
sary items the employer is required to provide pursuant to section thir-
teen  of  this  article which are found to be fair and reasonable. Where
such award is modified or rescinded upon appeal, the appellant shall  be
entitled  to reimbursement in a sum equal to the compensation in dispute
paid to the respondent in addition to a sum equal to the  cost  of  such
medical,  dental,  surgical,  optometric or other attendance, treatment,
devices, apparatus or other necessary items the employer is required  to
provide  pursuant to section thirteen of this article paid by the appel-
lant pending adjudication of the appeal.  Such  reimbursement  shall  be
paid  from  administration  expenses  as provided in section one hundred
fifty-one of this chapter upon audit and warrant of the comptroller upon
vouchers approved by the chair. Where  such  award  is  subject  to  the
provisions  of section twenty-seven of this article, the appellant shall
pay directly to the claimant all compensation as it becomes  due  during
the  pendency  of  the  appeal, and upon affirmance shall be entitled to
credit for such payments. Neither the chair, the board, the  commission-
ers  of  the  state insurance fund nor the claimant shall be required to
file a bond upon an appeal to the court of appeals. Upon final  determi-
nation  of such an appeal, the board or chair, as the case may be, shall
enter an order in accordance therewith. Whenever a notice of  appeal  is

S. 2605                            109                           A. 3005

served  or an application made to the board by the employer or insurance
carrier for a modification or rescission or review of an award or  deci-
sion,  and the board shall find that such notice of appeal was served or
such  application  was  made  for the purpose of delay or upon frivolous
grounds, the board shall impose a penalty in the amount of five  hundred
dollars  upon  the employer or insurance carrier, which penalty shall be
added to the compensation  and  paid  to  the  claimant.  The  penalties
provided  herein  shall  be  collected in like manner as compensation. A
party against whom an award of compensation shall  be  made  may  appeal
from  a  part  of such award. In such a case the payment of such part of
the award as is not appealed from shall not prejudice any rights of such
party on appeal, nor be taken as an admission against  such  party.  Any
appeal  by  an  employer  from  an administrative redetermination review
decision pursuant to subdivision five of section fifty-two of this chap-
ter shall in no way serve to relieve the employer from the obligation to
timely pay compensation and benefits  otherwise  payable  in  accordance
with the provisions of this chapter.
  Nothing  [herein]  contained  IN  THIS  SECTION  shall be construed to
inhibit the continuing jurisdiction of the board as provided in  section
one hundred twenty-three of this chapter.
  S  11.  Paragraph (d) of subdivision 2-c of section 25 of the workers'
compensation law, as added by chapter  491  of  the  laws  of  1995,  is
amended to read as follows:
  (d)  The  determination  of  an  arbitrator or mediator pursuant to an
alternative dispute resolution procedure pertaining to the resolution of
claims arising under this chapter shall not be reviewable by  the  work-
ers'  compensation  board,  and  the  venue for any appeal shall be to a
court of competent jurisdiction in accordance with section  twenty-three
of  this chapter AND THE STANDARD OF REVIEW SHALL BE THE SAME AS FOR ANY
OTHER WORKERS' COMPENSATION CASE ON APPEAL.
  S 12. The opening paragraph of subdivision 2 of  section  142  of  the
workers'  compensation  law,  as  amended  by chapter 608 of the laws of
1989, is amended to read as follows:
  Any review, hearing, rehearing, inquiry or investigation  required  or
authorized  to  be  conducted or made by the workers' compensation board
may be conducted or made by any panel of the  board  consisting  of  not
less  than  three  members  thereof, and the order, decision or determi-
nation of a majority of the members of  a  panel  shall  be  deemed  the
order,  decision  or  determination of the board from the date of filing
thereof with the secretary of the board, unless the  board  on  its  own
motion, or on application by a party in interest for a full board review
MADE  IN  ACCORDANCE  WITH  SECTION  TWENTY-THREE OF THIS CHAPTER, shall
modify or rescind such order, decision or determination.    Four  panels
shall  be  constituted  at  all  times,  and  the chair shall assign the
members to the panels upon which they shall serve. At least  one  member
on  each  panel  shall  be  an  attorney  and counsellor-at-law, but the
absence of an attorney on any panel  shall  not  invalidate  the  order,
decision  or  determination of a majority of the members of the panel if
at least two affirmative votes are cast in favor  of  such  action.  The
panels  shall  be  constituted  so  that  the members of the board shall
alternate in their periods  of  service  together  thereon.  Whenever  a
number  of  proceedings remains pending before the board for a period in
excess of thirty days, members of the  board  shall  hold  hearings  and
otherwise  act  in  the  discharge of their duties evenings and at other
convenient times on all days of the week except Sundays, in addition  to
the times when they would perform such duties in the ordinary conduct of

S. 2605                            110                           A. 3005

the  business  of  the board, in order to expedite the disposal thereof.
The chair may and shall, when directed by the  governor,  prescribe  the
hours  and  the  times  for  such  additional performance of duty by the
members of the board and the period or periods for the continuance ther-
eof.
  S  13. Subdivisions 1, 3 and 5 of section 25-a of the workers' compen-
sation law, subdivisions 1 and 5 as amended by chapter 113 of  the  laws
of  1946, subdivision 3 as amended by chapter 6 of the laws of 2007, and
the second and third undesignated paragraphs of subdivision 3 as further
amended by section 104 of part A of chapter 62 of the laws of 2011,  are
amended to read as follows:
  1.  Notwithstanding other provisions of this chapter, when an applica-
tion for compensation is made by an employee or for  death  benefits  in
behalf  of  the  dependents of a deceased employee, and the employer has
secured the payment of compensation in accordance with section fifty  of
this  chapter,  (1)  after  a  lapse of seven years from the date of the
injury or death and claim for compensation previously  has  been  disal-
lowed  or  claim  has  been  otherwise  disposed  of without an award of
compensation, or (2) after a lapse of seven years from the date  of  the
injury  or  death  and  also a lapse of three years from the date of the
last payment of compensation, or (3)  where  death  resulting  from  the
injury shall occur after the time limited by the foregoing provisions of
(1)  or (2) shall have elapsed, subject to the provisions of section one
hundred [and] twenty-three of this  chapter,  testimony  may  be  taken,
either directly or through a referee and if an award is made it shall be
against  the  special fund provided by this section. Such an application
for compensation or death benefits must be made on a form prescribed  by
the [chairman] CHAIR for that purpose and must, if a change in condition
is  claimed,  be  accompanied  by  a verified medical or surgical report
setting forth facts on which the board may order a hearing.
  1-A. Any award which shall be made against such special fund after the
effective date of this act upon such an application for compensation  or
death  benefits  shall  not be retroactive for a period of disability or
for death benefits longer than the two years immediately  preceding  the
date  of  filing  of such application.  NO APPLICATION BY A SELF-INSURED
EMPLOYER OR AN INSURANCE CARRIER FOR TRANSFER OF LIABILITY OF A CLAIM TO
THE FUND FOR REOPENED CASES SHALL BE ACCEPTED BY THE BOARD ON  OR  AFTER
THE  FIRST  DAY  OF JANUARY, TWO THOUSAND FOURTEEN EXCEPT THAT THE BOARD
MAY MAKE A FINDING AFTER SUCH DATE PURSUANT TO SECTION  TWENTY-THREE  OF
THIS ARTICLE UPON A TIMELY APPLICATION FOR REVIEW.
  3. Any awards so made shall be payable out of the special fund hereto-
fore  created for such purpose, which fund is hereby continued and shall
be known as the fund for reopened cases. The employer, or,  if  insured,
his  insurance  carrier  shall  pay  into  such fund, or, in the case of
awards made on or after July first, nineteen hundred sixty-nine,  either
into  such  fund  or the uninsured employers' fund under section twenty-
six-a of this article in accordance with  the  provisions  thereof,  for
every  case of injury causing death for which there are no persons enti-
tled to compensation the sum of three hundred dollars where such  injury
occurred  prior to July first, nineteen hundred forty and the sum of one
thousand dollars where such injury shall occur on or after said date and
prior to April first,  nineteen  hundred  forty-five,  and  the  sum  of
fifteen  hundred dollars where such injury shall occur on or after April
first, nineteen hundred forty-five and prior to September  first,  nine-
teen  hundred  seventy-eight and the sum of three thousand dollars where
such injury shall occur on or after September  first,  nineteen  hundred

S. 2605                            111                           A. 3005

seventy-eight, and in each case of death resulting from injury sustained
on  or  after  July first, nineteen hundred forty and prior to September
first, nineteen hundred seventy-eight, where there are persons  entitled
to  compensation  but the total amount of such compensation is less than
two thousand dollars exclusive of funeral benefits, the employer, or, if
insured, his insurance carrier, shall pay into such  fund,  or,  in  the
case  of awards made on or after July first, nineteen hundred sixty-nine
and prior to September first,  nineteen  hundred  seventy-eight,  either
into  such  fund  or the uninsured employers' fund under section twenty-
six-a of this article in accordance with  the  provisions  thereof,  the
difference between the sum of two thousand dollars and the compensation,
exclusive  of funeral benefits, and in each case of death resulting from
injury sustained on or after September first, nineteen hundred  seventy-
eight, the employer, or if insured, his insurance carrier shall pay into
such fund or the uninsured employers' fund under section twenty-six-a of
this  article  in accordance with the provisions thereof, the difference
between the sum of five thousand dollars and the compensation, exclusive
of funeral benefits actually paid  to  or  for  the  dependents  of  the
deceased  employee  together with any expense charge required by section
twenty-seven of this article; provided, however, that where death  shall
occur  subsequent  to  the  periods  limited  by subdivision one of this
section no payment into such  special  fund  nor  to  the  special  fund
provided  by  subdivision  nine  of section fifteen nor to the uninsured
employers' fund provided by section twenty-six-a of this  article  shall
be  required.  In addition to the assessments made against all insurance
carriers for the expenses of administering  this  chapter  provided  for
under  the  provisions of section one hundred fifty-one of this chapter,
and the payments above provided,  the  employer,  or,  if  insured,  his
insurance  carrier, shall pay the sum of five dollars into said fund for
each case in which an award is made pursuant to the provisions of  para-
graphs  a to s inclusive of subdivision three of section fifteen of this
chapter, by reason of injury  sustained  between  July  first,  nineteen
hundred forty and June thirtieth, nineteen hundred forty-two, both dates
inclusive,  and  the  sum of ten dollars for each such case by reason of
injury sustained between July first, nineteen hundred forty-two and June
thirtieth, nineteen hundred fifty, both dates inclusive,  which  payment
shall  be  in  addition  to  any  payment of compensation to the injured
employee as provided in this chapter.
  There shall be maintained in the special fund at all times  assets  at
least  equal  in  value  to  the  sum of (1) the value of awards charged
against such fund, (2) the value of all claims that have  been  reopened
by  the  board as a charge against such fund but as to which awards have
not yet been made, (3) effective January first, nineteen hundred  seven-
ty-one,  the  VALUE  OF total supplemental benefits TO BE paid from such
fund as reimbursement pursuant  to  subdivision  nine  of  this  section
[during  the  calendar  year  immediately  preceding], and (4) a reserve
equal to ten per cent of the sum of items (1) [and], (2) AND (3) of this
paragraph. [For the purpose of accumulating funds  for  the  payment  of
supplemental  benefits pursuant to subdivision nine of this section, the
chairman shall impose against all carriers an assessment in the  sum  of
five  million  dollars  to  be  collected  in the respective proportions
established in the fiscal year commencing April first, nineteen  hundred
sixty-eight,  under  the  provisions of section one hundred fifty-one of
this chapter for each carrier.] Annually, as soon as  practicable  after
January  first  in  each  year, the [chairman] CHAIR shall ascertain the
condition of the fund and whenever  the  assets  shall  fall  below  the

S. 2605                            112                           A. 3005

prescribed minimum as herein provided the [chairman] CHAIR shall [assess
and] collect [from all insurance carriers, in the respective proportions
established in the prior fiscal year under the provisions of section one
hundred  fifty-one  of  this chapter for each carrier,] an amount suffi-
cient to restore the fund  to  the  prescribed  minimum.  [The  chairman
before making an assessment as provided in this section shall give thir-
ty  days'  notice to the representative of the fund, designated pursuant
to subdivision five of this section, that an itemized statement  of  the
condition  of the fund is open for his inspection. The superintendent of
financial services may examine into the condition of  the  fund  at  any
time  on  his  own initiative or on request of the chairman or represen-
tative of the fund.
  Such assessment and the payments made into said fund shall not consti-
tute an element of loss for the purpose of establishing rates for  work-
ers'  compensation  insurance as provided in the insurance law but shall
for the purpose of recoupment be treated as separate costs by  carriers.
Carriers  shall  assess  such costs on their policyholders in accordance
with rules set forth by the New York workers' compensation rating board,
as approved by the superintendent of financial services.] COMMENCING  ON
THE  FIRST  OF JANUARY, TWO THOUSAND FOURTEEN, THE AMOUNT COLLECTED FROM
ALL EMPLOYERS REQUIRED TO OBTAIN WORKERS' COMPENSATION COVERAGE TO MAIN-
TAIN THE FINANCIAL INTEGRITY OF THE FUND MAY BE PAID OVER  A  PERIOD  OF
TIME AT THE DISCRETION OF THE CHAIR BASED UPON AN ANALYSIS OF THE FINAN-
CIAL  CONDITION  OF  THE FUND.   SUCH PAYMENT AS DETERMINED BY THE CHAIR
SHALL BE INCLUDED IN THE ASSESSMENT RATE ESTABLISHED PURSUANT TO  SUBDI-
VISION  TWO  OF SECTION ONE HUNDRED FIFTY-ONE OF THIS CHAPTER. THE CHAIR
SHALL PROMULGATE REGULATIONS TO ADMINISTER CLAIMS  WHOSE  LIABILITY  HAS
BEEN  TRANSFERRED  TO  THE FUND FOR REOPENED CASES. SUCH REGULATIONS MAY
INCLUDE EXERCISE OF THE CHAIR'S AUTHORITY TO ADMINISTER EXISTING CLAIMS,
TO PROCURE MANAGEMENT FOR THOSE CLAIMS, OR TO SELL SUCH LIABILITY.   THE
CHAIR  MAY  EXAMINE INTO THE CONDITION OF THE FUND AT ANY TIME ON HIS OR
HER OWN INITIATIVE OR ON REQUEST OF THE ATTORNEY OF THE FUND.
  The provisions of this subdivision shall not  apply  with  respect  to
policies  containing  coverage  pursuant  to section thirty-four hundred
twenty of the insurance law relating to every policy  providing  compre-
hensive personal liability insurance on a one, two, three or four family
owner-occupied dwelling.
  5. [When an application] FOR APPLICATIONS BY SELF-INSURED EMPLOYERS OR
INSURANCE  CARRIERS FOR TRANSFER OF LIABILITY for compensation [is made]
TO THE FUND FOR REOPENED CASES under this section, RECEIVED BY THE BOARD
PRIOR TO THE FIRST DAY OF JANUARY, TWO THOUSAND FOURTEEN, the [chairman]
CHAIR shall appoint [a representative of such fund] AN ATTORNEY in  such
proceedings [and, insofar as practicable, such representative shall be a
person  designated  by the employer originally liable for the payment of
compensation, or his insurance carrier, but whenever it shall appear  to
the chairman that through any committee, board or organization or repre-
sentative of the interest of the insurance carriers an attorney has been
appointed  to act for and on behalf of such carriers generally to repre-
sent such fund in any proceedings brought hereunder, the chairman  shall
designate  such attorney as the representative of the] TO REPRESENT SUCH
fund in proceedings brought to enforce a claim against such  fund.  Such
[representative] ATTORNEY may apply to the [chairman] CHAIR for authori-
ty to hire such medical or other experts and to defray the expense ther-
eof  and  of  such witnesses as are necessary to a proper defense of the
application within an amount in the discretion of the  [chairman]  CHAIR

S. 2605                            113                           A. 3005

and,  if  authorized,  it  shall  be  a  charge against the special fund
provided herein.
  S 14. Subdivision 1 of section 27 of the workers' compensation law, as
amended  by  chapter  192  of  the  laws  of 1949, is amended to read as
follows:
  1. All payments made into the fund pursuant to the provisions of  this
section  shall constitute an indivisible and aggregate trust fund except
as hereinafter provided.  NOTWITHSTANDING ANY OTHER PROVISIONS  OF  THIS
CHAPTER,  THE BOARD SHALL NOT DIRECT A MANDATORY DEPOSIT ON OR AFTER THE
EFFECTIVE DATE OF THE CHAPTER OF THE LAWS OF TWO THOUSAND THIRTEEN WHICH
AMENDED THIS SUBDIVISION.  THE CARRIER SHALL MAKE  A  MANDATORY  DEPOSIT
INTO  THE FUND AS DIRECTED IN A BOARD DECISION FILED PRIOR TO THE EFFEC-
TIVE DATE OF THE CHAPTER OF THE LAWS  OF  TWO  THOUSAND  THIRTEEN  WHICH
AMENDED  THIS  SUBDIVISION,  IN  THE  AMOUNT SET FORTH IN A SUPPLEMENTAL
BOARD DECISION OF ANY DATE. THE CARRIER IS RESPONSIBLE FOR  PAYMENTS  TO
THE CLAIMANT AS DIRECTED UNTIL THE DEPOSIT IS MADE INTO THE FUND. IF THE
INSURANCE CARRIER SHALL FAIL TO MAKE A TIMELY MANDATORY DEPOSIT INTO THE
FUND  THE  CHAIR  MAY  IMPOSE  A  PENALTY EQUAL TO TWENTY PERCENT OF THE
UNPAID MANDATORY DEPOSIT AMOUNT WHICH SHALL BE PAID TO THE INJURED WORK-
ER OR HIS OR HER DEPENDENTS, AND THERE SHALL ALSO BE IMPOSED AN  ASSESS-
MENT OF FIFTY DOLLARS, WHICH SHALL BE PAID INTO THE STATE TREASURY.
  S  15. Subdivision 7 of section 27 of the workers' compensation law is
REPEALED and a new subdivision 7 is added to read as follows:
  7. FOR THE PURPOSES OF INSURING THE SOLVENCY OF  THE  AGGREGATE  TRUST
FUND  SUBSEQUENT TO THE FIRST DAY OF JANUARY, TWO THOUSAND FOURTEEN, THE
CHAIR MAY INCLUDE IN ITS COLLECTION OF ADMINISTRATION EXPENSES  PURSUANT
TO SECTION ONE HUNDRED FIFTY-ONE OF THIS CHAPTER SUCH ADDITIONAL ASSESS-
MENT  NECESSARY  TO  ENABLE  THE  AGGREGATE TRUST FUND TO MEET ITS OBLI-
GATIONS UNDER THIS SECTION FOR A PERIOD OF TIME NOT TO EXTEND TEN  YEARS
FROM  THE  EFFECTIVE  DATE  OF  THIS  SUBDIVISION. IN THE EVENT THAT THE
AGGREGATE TRUST FUND DOES NOT HAVE THE ASSETS  SUFFICIENT  TO  MEET  ITS
OBLIGATIONS  AFTER  SUCH  TEN YEAR PERIOD, THE FINANCIAL SHORTFALL SHALL
BECOME THE LIABILITY OF THE WORKERS' COMPENSATION SECURITY FUND PURSUANT
TO THE PROVISIONS OF SECTION ONE HUNDRED NINE-C OF THIS CHAPTER.
  S 16. Subdivision (e) of section 32 of the workers' compensation  law,
as  added  by  chapter  6  of  the  laws  of 2007, is amended to read as
follows:
  (e) The chair shall establish an office under his or  her  supervision
to  be  known  as the "waiver agreement management office," to negotiate
and seek board approval for waiver agreements on behalf of  the  special
disability  fund. The office shall operate in accordance with guidelines
or directives that the chair may issue, as approved by the special disa-
bility fund advisory committee, or in the absence of such guidelines  or
directives,  using such discounting factors as the office determines are
in the financial interest of the special  disability  fund.  The  waiver
agreement management office on behalf of the special disability fund may
enter  into  a  waiver  agreement  with a claimant only when the special
disability fund has been found liable by  the  board  to  reimburse  the
claimant's  employer,  insurance  carrier  or  the state insurance fund.
Notwithstanding any other provisions of law, no consultation or approval
of any employer, insurance carrier, self-insurer[,] OR the state  insur-
ance  fund[,  or  the  special  funds  conservation  committee] shall be
required before such office may enter  into  any  waiver  agreement,  or
before  the  board  may approve such waiver agreement. The chair may, in
his or her discretion, and as approved by the  special  disability  fund
advisory  committee,  terminate  the  operation  of the waiver agreement

S. 2605                            114                           A. 3005

management office, if he or she believes it no longer serves the  inter-
est of the special disability fund.
  S  17.    Clause 2 of subparagraph (a) of  paragraph 10 of subdivision
3-a of section 50 of the workers' compensation law, as added by  section
4  of  part  G  of chapter 57 of the laws of 2011, is amended to read as
follows:
  (2) The members of the group, through the administrator,  (a)  jointly
deposit  sufficient  securities  in accordance with subdivision three of
this section [as] OR IN A TRUST GOVERNED IN ACCORDANCE WITH PART 126  OF
TITLE  11  OF  THE  NEW YORK CODE OF RULES AND REGULATIONS to secure the
liability of the members of the group to pay  for  all  existing  claims
obligations,  provided such deposit shall be made by November first, two
thousand eleven, (b) jointly deposit sufficient securities in accordance
with subdivision three of this section [as] OR IN A  TRUST  GOVERNED  IN
ACCORDANCE  WITH  PART 126 OF TITLE 11 OF THE NEW YORK CODE OF RULES AND
REGULATIONS to secure all anticipated present and future claims  of  the
members of the group, by November first, two thousand fourteen, provided
annual  deposits are made in accordance with a schedule set by the chair
on or before November first of each year, and provided that the  deposit
shall be deemed an asset of the group for the purpose of determining its
funding status, and (c) by November first, two thousand eleven and ther-
eafter,  shall  maintain  funds  sufficient  for  all  other liabilities
besides claims[, including reserves for all assessment liabilities,]  in
a trust governed in accordance with Part 126 of title 11 of the New York
code  of  rules  and  regulations,  of which the board shall be the sole
beneficiary, and the terms of the  trust  agreement,  and  the  trustee,
shall  be  approved  by  the  chair  in  his or her sole discretion, and
provided that any group self-insurer that does not hold such funds in  a
trust  that  meets  the terms of this paragraph shall post them with the
board;
  S 18. Section 50-a of the workers' compensation law, as added by chap-
ter 139 of the laws of 2008, subdivision 2 as amended by  section  1  of
part R of chapter 56 of the laws of 2010 and subdivision 3 as amended by
section  1  of  part  R of chapter 55 of the laws of 2012, is amended to
read as follows:
  S 50-a. [Group self-insurer default] SELF-INSURER offset fund. 1.  The
chair shall [create] MAINTAIN a fund to be known as the [group] self-in-
surer  [default]  offset  fund  and  such fund shall be held in the sole
custody of the chair. The chair may transfer the money in such  fund  to
the  administrative  account  as  necessary to effectuate the purpose of
this section. The chair shall use the money in the  fund  to  pay  UNMET
claims for [defaulted group] self-insurers[, where sufficient moneys for
such  payment  have  not  been  collected  or  are not anticipated to be
collected from members of a defaulted group self-insurer, or  to  offset
such  amount  against  any  assessment it would otherwise impose against
private individual and group self-insurers under paragraph (g) of subdi-
vision five of section fifty of this article].
  2. At any time prior to April first, two thousand  eleven,  the  chair
may  withdraw funds from the uninsured employers fund provided for under
section twenty-six-a of this chapter, up to such  amount  as  the  chair
determines  is sufficient to fund any anticipated additional expenses of
such fund, taking into account anticipated available revenues, but in no
event to exceed seventy-five million  dollars  in  the  aggregate.  Such
funds  shall be deposited into the [group] self-insurer offset fund, and
used in accordance with subdivision one of this section.  As  consistent

S. 2605                            115                           A. 3005

with  this  section, the chair may set the timing of such withdrawals in
its discretion.
  3.  Beginning  in  two thousand fifteen, and each year thereafter, the
chair shall add to the total of each annual assessment made under  para-
graph  g of subdivision five of section fifty of this article the sum of
up to three million dollars, to be allocated to private group and  indi-
vidual  self-insurers in accordance with such paragraph. The chair shall
assess additional funds under this paragraph as necessary to insure that
there are sufficient funds in the fund for uninsured employers  to  meet
its  liabilities, or if necessary in accordance with section one hundred
fifty-one of this chapter. Such funds as are collected pursuant to  this
subdivision  shall  be  deposited into the uninsured employer fund until
all funds withdrawn therefrom under subdivision one of this section  are
returned with interest calculated at an annual rate equal to the rate of
return on funds in the fund for uninsured employers from the prior year.
  4.  At such time as the board is not obligated to pay any UNMET claims
[arising out] of a [defaulted] self-insurer, the fund created under this
section shall be closed, and any money remaining in the  fund  shall  be
deposited into the uninsured employer fund.
  S 19. Subdivision 5 of section 52 of the workers' compensation law, as
amended  by  chapter  139  of  the  laws  of 2008, is amended to read as
follows:
  5. The chair, upon finding that an employer has failed for a period of
not less than ten consecutive days to make the provision for payment  of
compensation  required by section fifty of this article, may impose upon
such employer, in addition to all other penalties, fines or  assessments
provided  for  in  this chapter, a penalty of UP TO two thousand dollars
for each ten day period of non-compliance or a sum not in excess of  two
times  the  cost  of compensation for its payroll for the period of such
failure, which sum shall be paid  into  the  uninsured  employers'  fund
created  under  section  twenty-six-a  of this chapter. When an employer
fails to provide business records sufficient  to  enable  the  chair  to
determine the employer's payroll for the period requested for the calcu-
lation  of  the  penalty  provided  in  this section, the imputed weekly
payroll for each employee, corporate officer, sole proprietor, or  part-
ner  shall be the New York state average weekly wage, multiplied by 1.5.
Where the employer is a corporation, the president, secretary and treas-
urer thereof shall be liable for the  penalty.  If  the  employer  shall
within  thirty  days  after notice of the imposition of a penalty by the
chair pursuant to this subdivision make an application in affidavit form
for a redetermination review of such penalty the [chairman] CHAIR  shall
make a decision in writing on the issues raised on such application.
  S 20. Section 87 of the workers' compensation law, as amended by chap-
ter  635  of  the laws of 1996, subdivision 1 as amended by chapter 6 of
the laws of 2007, subdivision 1, paragraph  (a)  of  subdivision  2  and
subdivision  3 as further amended by section 104 of part A of chapter 62
of the laws of 2011, is amended to read as follows:
  S 87. Investment of surplus or reserve. 1. Any  of  the  [surplus  or]
reserve  funds  belonging  to  the state insurance fund, by order of the
commissioners, approved by the superintendent of financial services, may
be invested in the types of securities described  in  subdivisions  one,
two,  three,  four, five, six, eleven, twelve, twelve-a, thirteen, four-
teen, fifteen, nineteen, twenty, twenty-one, twenty-one-a,  twenty-four,
twenty-four-a,  twenty-four-b,  twenty-four-c and twenty-five of section
two hundred thirty-five of the banking law or[, up to fifty  percent  of
such surplus or reserve funds, in the types of securities or investments

S. 2605                            116                           A. 3005

described]  in  [paragraphs]  PARAGRAPH  two[,  three, eight and ten] of
subsection (a) of section one thousand four hundred four of  the  insur-
ance  law except that up to [ten] FIVE percent of [the surplus and] SUCH
reserve  funds  [belonging  to  the  state  insurance  fund that] may be
invested in the securities of any solvent American institution [or of an
investment company] as described in such [paragraphs  may  be  invested]
PARAGRAPH  irrespective  of the rating of such institution's obligations
or other similar qualitative standards  described  [in  paragraphs  two,
three,  eight  and  ten  of  such  subsection, but shall not include any
derivative instrument or derivative transaction or any investment  found
by the superintendent of financial services to be against public policy.
Any  of  the  surplus  or reserve funds belonging to the state insurance
fund, upon like approval of the superintendent  of  financial  services,
may  be  loaned on the pledge of any such securities. The commissioners,
upon like approval of the superintendent of financial services, may also
sell any of such securities or investments] THEREIN.
  2.  ANY OF THE SURPLUS FUNDS BELONGING TO THE STATE INSURANCE FUND, BY
ORDER OF THE COMMISSIONERS, APPROVED BY THE SUPERINTENDENT OF  FINANCIAL
SERVICES, MAY BE INVESTED IN THE TYPES OF SECURITIES DESCRIBED IN SUBDI-
VISIONS  ONE,  TWO,  THREE,  FOUR,  FIVE, SIX, ELEVEN, TWELVE, TWELVE-A,
THIRTEEN, FOURTEEN, FIFTEEN, NINETEEN, TWENTY, TWENTY-ONE, TWENTY-ONE-A,
TWENTY-FOUR, TWENTY-FOUR-A, TWENTY-FOUR-B, TWENTY-FOUR-C AND TWENTY-FIVE
OF SECTION TWO HUNDRED THIRTY-FIVE OF THE BANKING LAW OR,  UP  TO  FIFTY
PERCENT  OF  SURPLUS  FUNDS,  IN  THE TYPES OF SECURITIES OR INVESTMENTS
DESCRIBED IN PARAGRAPHS TWO, THREE, EIGHT AND TEN OF SUBSECTION  (A)  OF
SECTION ONE THOUSAND FOUR HUNDRED FOUR OF THE INSURANCE LAW, EXCEPT THAT
UP  TO TEN PERCENT OF SURPLUS FUNDS MAY BE INVESTED IN THE SECURITIES OF
ANY SOLVENT AMERICAN INSTITUTION AS DESCRIBED IN SUCH  PARAGRAPHS  IRRE-
SPECTIVE  OF THE RATING OF SUCH INSTITUTION'S OBLIGATIONS OR OTHER SIMI-
LAR QUALITATIVE STANDARDS DESCRIBED THEREIN, AND UP TO  FIFTEEN  PERCENT
OF  SURPLUS  FUNDS  IN  SECURITIES OR INVESTMENTS WHICH DO NOT OTHERWISE
QUALIFY FOR INVESTMENT UNDER THIS SECTION AS  SHALL  BE  MADE  WITH  THE
CARE,  PRUDENCE  AND  DILIGENCE  UNDER THE CIRCUMSTANCES THEN PREVAILING
THAT A PRUDENT PERSON ACTING IN A LIKE CAPACITY AND FAMILIAR  WITH  SUCH
MATTERS  WOULD  USE  IN THE CONDUCT OF AN ENTERPRISE OF A LIKE CHARACTER
AND WITH LIKE AIMS AS PROVIDED FOR THE STATE INSURANCE FUND  UNDER  THIS
ARTICLE.  NOTWITHSTANDING  ANY  OTHER PROVISION IN THIS SUBDIVISION, THE
AGGREGATE AMOUNT THAT THE STATE INSURANCE FUND MAY INVEST IN  THE  TYPES
OF  SECURITIES  OR  INVESTMENTS DESCRIBED IN PARAGRAPHS THREE, EIGHT AND
TEN OF SUBSECTION (A) OF SECTION ONE THOUSAND FOUR HUNDRED FOUR  OF  THE
INSURANCE  LAW  AND  AS A PRUDENT PERSON ACTING IN A LIKE CAPACITY WOULD
INVEST AS PROVIDED IN THIS SUBDIVISION SHALL NOT EXCEED FIFTY PERCENT OF
SUCH SURPLUS FUNDS.
  3. ANY OF THE SURPLUS OR RESERVE FUNDS BELONGING TO THE  STATE  INSUR-
ANCE  FUND,  UPON  LIKE  APPROVAL  OF  THE  SUPERINTENDENT  OF FINANCIAL
SERVICES, MAY BE LOANED ON  THE  PLEDGE  OF  ANY  SUCH  SECURITIES.  THE
COMMISSIONERS,  UPON  LIKE  APPROVAL  OF THE SUPERINTENDENT OF FINANCIAL
SERVICES, MAY ALSO SELL ANY OF SUCH SECURITIES OR INVESTMENTS.
  [2.] 4. (a) Any securities belonging to the state insurance fund  may,
by  order of the commissioners, approved by the superintendent of finan-
cial services, be loaned under a security loan agreement, as defined  in
paragraph  (b) of this subdivision, entered into with a registered brok-
er-dealer, or a New York state or national bank or trust  company,  with
the  custodial  bank  of  the  state insurance fund or another person or
entity, approved by the commissioner  of  taxation  and  finance,  which
specializes in security loan transactions acting as the agent in arrang-

S. 2605                            117                           A. 3005

ing  such agreement. The commissioners shall monitor the market value of
the loaned securities daily. In no event shall the  commissioners  allow
the value of the collateral posted to fall below the market value of the
loaned securities.
  (b) For purposes of this section, "security loan agreement" shall mean
a written contract, the terms of which have been approved by the commis-
sioner  of  taxation  and finance, whereby the state insurance fund (the
lender) agrees to lend securities to  a  broker-dealer,  bank  or  trust
company  described  in  paragraph (a) of this subdivision (the borrower)
for a period not to exceed one year. However, such  agreement  shall  be
subject  to  the  following  limitations: (i) the lender must retain the
right to collect from the borrower all  dividends,  interest,  premiums,
rights,  and any other distributions to which the lender would otherwise
have been entitled; (ii) the lender may waive  the  right  to  vote  the
securities  during  the  term  of  such agreement; (iii) the lender must
retain the right to terminate such agreement upon  not  more  than  five
business  days' notice; (iv) the borrower shall provide as collateral to
the lender cash or direct obligations of the United States of America or
any agency or instrumentality thereof or obligations fully guaranteed by
the United States of America that are eligible  for  investment  by  the
state  insurance  fund  under  subdivision one of this section, provided
that such obligations may in no event consist of derivative  securities;
and  (v)  such agreement shall provide for payment of additional collat-
eral on a daily basis, or at such time as the value of the loaned  secu-
rities increases to agreed upon ratios.
  [3.]  5.  All  such  securities  or evidences of indebtedness shall be
placed in the hands of the commissioner  of  taxation  and  finance  who
shall  be  the  custodian thereof. He or she shall collect the principal
and interest thereof, when due, and pay the same into the  state  insur-
ance fund. The commissioner of taxation and finance shall pay all vouch-
ers drawn on the state insurance fund for the making of such investments
when signed by the chair of the commissioners, the executive director or
a deputy executive director of the state insurance fund upon delivery of
such  securities  or evidences of indebtedness to him or her, when there
is attached to such vouchers the approval of the state superintendent of
financial services.
  6.  FOR THE PURPOSES OF THIS SECTION, THE  TERM  "RESERVES"  DOES  NOT
INCLUDE THE ESTIMATED VALUE OF FUTURE DISCRETIONARY PAYMENTS THAT MAY BE
MADE BY THE STATE INSURANCE FUND UNDER SECTION NINETY OF THIS ARTICLE.
  7.  NOTWITHSTANDING  ANY  PROVISION  IN  THIS SECTION, THE SURPLUS AND
RESERVE FUNDS OF THE STATE INSURANCE FUND SHALL NOT BE INVESTED  IN  ANY
INVESTMENT  THAT  HAS  BEEN  FOUND  BY  THE  SUPERINTENDENT OF FINANCIAL
SERVICES TO BE AGAINST PUBLIC POLICY OR IN ANY INVESTMENT PROHIBITED  BY
THE  PROVISIONS  OF PARAGRAPH SIX OF SUBSECTION (A) OF SECTION ONE THOU-
SAND FOUR HUNDRED FOUR OF THE INSURANCE LAW  OR  BY  THE  PROVISIONS  OF
PARAGRAPH  ONE,  TWO, THREE, FOUR, SIX, EIGHT, NINE OR TEN OF SUBSECTION
(A) OF SECTION ONE THOUSAND FOUR HUNDRED SEVEN OF THE INSURANCE LAW.
  S 21. Section 88 of the workers' compensation law, as amended by chap-
ter 6 of the laws of 2007, is REPEALED.
  S 22. Section 151 of the workers' compensation law is REPEALED  and  a
new section 151 is added to read as follows:
  S  151.  ASSESSMENTS AND SURCHARGES FOR ANNUAL EXPENSES. 1. THE ANNUAL
EXPENSES NECESSARY FOR THE BOARD TO ADMINISTER THE  PROVISIONS  OF  THIS
CHAPTER,  THE  VOLUNTEER  AMBULANCE WORKERS' BENEFITS LAW, THE VOLUNTEER
FIREFIGHTERS' BENEFITS LAW, THE DISABILITY BENEFITS LAW, AND  THE  WORK-
MEN'S  COMPENSATION  ACT  FOR CIVIL DEFENSE VOLUNTEERS SHALL BE BORNE BY

S. 2605                            118                           A. 3005

AFFECTED EMPLOYERS SECURING COMPENSATION FOR THEIR EMPLOYEES PURSUANT TO
SECTION FIFTY OF THIS CHAPTER.  THE  BOARD  SHALL  COLLECT  SUCH  ANNUAL
EXPENSES  FROM  AFFECTED EMPLOYERS THROUGH ASSESSMENTS AND SURCHARGES AS
PROVIDED  BY  THE  PROVISIONS OF THIS SECTION, INCLUDING FOR PURPOSES OF
THIS SUBDIVISION: (A)  THE  AGGREGATE  ASSESSMENT  AMOUNT  DESCRIBED  IN
SUBPARAGRAPH  FOUR  OF  PARAGRAPH  (H)  OF  SUBDIVISION EIGHT OF SECTION
FIFTEEN OF THIS CHAPTER FOR THE SPECIAL DISABILITY  FUND  IN  ACCORDANCE
WITH  EACH  FINANCING  AGREEMENT DESCRIBED IN SUCH SUBPARAGRAPH, (B) THE
AGGREGATE ASSESSMENT AMOUNT DESCRIBED IN SECTION FIFTY-C OF THIS CHAPTER
FOR THE SELF-INSURER OFFSET  FUND  IN  ACCORDANCE  WITH  EACH  FINANCING
AGREEMENT  DESCRIBED  IN  SUCH  SECTION,  (C)  THE  ASSESSMENT    AMOUNT
DESCRIBED IN SUBDIVISION THREE OF SECTION TWENTY-FIVE-A OF THIS  CHAPTER
FOR  THE FUND FOR REOPENED CASES AND (D) THE ASSESSMENT AMOUNT DESCRIBED
IN SECTION TWO HUNDRED FOURTEEN OF THIS CHAPTER FOR THE SPECIAL FUND FOR
DISABILITY  BENEFITS;  PROVIDED,  THAT  THE  FOREGOING  AND  ANY   OTHER
PROVISION  OF  THIS  CHAPTER TO THE CONTRARY NOTWITHSTANDING, ASSESSMENT
RECEIPTS SHALL BE APPLIED FIRST TO FULLY FUND THE  AMOUNT  DESCRIBED  IN
SUBPARAGRAPH  FOUR  OF  PARAGRAPH  (H)  OF  SUBDIVISION EIGHT OF SECTION
FIFTEEN OF THIS CHAPTER AND THEN TO FULLY FUND THE AMOUNT  DESCRIBED  IN
SECTION  FIFTY-C OF THIS CHAPTER IN ACCORDANCE WITH EACH THEN APPLICABLE
FINANCING AGREEMENT PURSUANT TO SUCH PROVISIONS PRIOR TO APPLICATION  TO
ANY  OTHER PURPOSE OTHER THAN TO PAY ANY ACTUAL COSTS OF COLLECTING SUCH
ASSESSMENT THAT ARE NOT OTHERWISE FUNDED. FOR PURPOSES OF THIS  SECTION,
AFFECTED  EMPLOYER  MEANS  ALL  EMPLOYERS  REQUIRED  TO  OBTAIN WORKERS'
COMPENSATION COVERAGE PURSUANT TO THIS CHAPTER.
  2. ON THE FIRST DAY OF NOVEMBER, TWO THOUSAND THIRTEEN,  AND  ANNUALLY
THEREAFTER,  THE  CHAIR  SHALL  ESTABLISH  AN  ASSESSMENT  RATE  FOR ALL
AFFECTED EMPLOYERS IN THE STATE OF NEW YORK IN AN AMOUNT EXPECTED TO  BE
SUFFICIENT  TO  PRODUCE  ASSESSMENT RECEIPTS AT LEAST SUFFICIENT TO FUND
ALL ESTIMATED ANNUAL  EXPENSES  PURSUANT  TO  SUBDIVISION  ONE  OF  THIS
SECTION  EXCEPT THOSE EXPENSES FOR WHICH AN ASSESSMENT IS AUTHORIZED FOR
SELF-INSURANCE PURSUANT TO SUBDIVISION FIVE OF  SECTION  FIFTY  OF  THIS
CHAPTER.  SUCH  RATE SHALL BE ASSESSED EFFECTIVE THE FIRST OF JANUARY OF
THE SUCCEEDING YEAR AND SHALL BE BASED UPON A SINGLE METHODOLOGY  DETER-
MINED  BY  THE  CHAIR.   THE CHAIR MAY ALSO ISSUE A SUPPLEMENTAL RATE AS
PROVIDED UNDER SUBDIVISION SEVEN OF SECTION TWENTY-SEVEN OF THIS CHAPTER
WHEN NECESSARY.  THE CHAIR MAY ALSO ESTABLISH AN  ADDITIONAL  ASSESSMENT
RATE,  NOT  TO  EXCEED  THIRTY  PERCENT  OF  ANNUAL  PREMIUMS, FOR THOSE
AFFECTED EMPLOYERS WHO ARE IN DEFAULT IN THE PAYMENT  OF  THEIR  COMPEN-
SATION  PURSUANT  TO  SUBPARAGRAPH (B) OF PARAGRAPH SEVEN OF SUBDIVISION
THREE-A OF SECTION 50 OF THIS CHAPTER. SUCH ADDITIONAL ASSESSMENT  SHALL
BE COLLECTED AND REMITTED TO THE CHAIR CONSISTENT WITH SUBDIVISIONS FOUR
AND  FIVE  OF  THIS SECTION.   THE CHAIR SHALL MAKE AVAILABLE FOR PUBLIC
INSPECTION AN ITEMIZED STATEMENT OF THE ESTIMATED ANNUAL EXPENSES IN THE
OFFICE OF THE BOARD FOR THIRTY DAYS IMMEDIATELY AFTER THE RATE IS ESTAB-
LISHED.
  3. THE CHAIR AND DEPARTMENT OF AUDIT AND CONTROL ANNUALLY AS  SOON  AS
PRACTICABLE  AFTER  THE  FIRST OF APRIL OF EACH YEAR SHALL ASCERTAIN THE
ACTUAL TOTAL AMOUNT OF EXPENSES, INCLUDING IN  ADDITION  TO  THE  DIRECT
COSTS  OF  PERSONAL  SERVICE, THE COST OF MAINTENANCE AND OPERATION, THE
COST OF RETIREMENT CONTRIBUTIONS MADE AND WORKERS' COMPENSATION PREMIUMS
PAID BY THE STATE FOR OR ON ACCOUNT  OF  PERSONNEL,  RENTALS  FOR  SPACE
OCCUPIED  IN  STATE OWNED OR STATE LEASED BUILDINGS, SUCH ADDITIONAL SUM
AS MAY BE CERTIFIED TO THE CHAIR AND THE DEPARTMENT OF AUDIT AND CONTROL
AS A REASONABLE COMPENSATION FOR SERVICES RENDERED BY THE DEPARTMENT  OF
LAW  AND  EXPENSES  INCURRED  BY  SUCH DEPARTMENT, FOR TRANSFER INTO THE

S. 2605                            119                           A. 3005

TRAINING AND EDUCATIONAL PROGRAM ON OCCUPATIONAL SAFETY AND HEALTH  FUND
CREATED  PURSUANT  TO  CHAPTER  EIGHT  HUNDRED EIGHTY-SIX OF THE LAWS OF
NINETEEN HUNDRED EIGHTY-FIVE AND SECTION  NINETY-SEVEN-C  OF  THE  STATE
FINANCE LAW, FOR THE NEW YORK STATE OCCUPATIONAL HEALTH CLINICS NETWORK,
FOR  THE  DEPARTMENT OF LABOR OCCUPATIONAL SAFETY AND HEALTH PROGRAM AND
FOR TRANSFER INTO THE UNINSURED EMPLOYERS' FUND PURSUANT TO  SUBDIVISION
TWO  OF  SECTION  TWENTY-SIX-A  OF THIS CHAPTER, AND ALL OTHER DIRECT OR
INDIRECT COSTS, INCURRED BY THE BOARD IN CONNECTION  WITH  THE  ADMINIS-
TRATION  OF  THIS CHAPTER, EXCEPT THOSE EXPENSES FOR WHICH AN ASSESSMENT
IS AUTHORIZED FOR SELF-INSURANCE PURSUANT TO SUBDIVISION FIVE OF SECTION
FIFTY OF THIS CHAPTER.   ASSESSMENTS PURSUANT TO  SUBPARAGRAPH  FOUR  OF
PARAGRAPH  (H)  OF  SUBDIVISION EIGHT OF SECTION FIFTEEN OF THIS CHAPTER
FOR THE SPECIAL DISABILITY FUND, PURSUANT TO  SECTION  FIFTY-C  OF  THIS
CHAPTER  FOR THE SELF INSURER OFFSET FUND, PURSUANT TO SUBDIVISION THREE
OF SECTION TWENTY-FIVE-A OF THIS  CHAPTER  FOR  THE  FUND  FOR  REOPENED
CASES,  AND PURSUANT TO SECTION TWO HUNDRED FOURTEEN OF THIS CHAPTER FOR
THE SPECIAL FUND FOR DISABILITY BENEFITS SHALL BE INCLUDED IN THE  TOTAL
AMOUNT  OF  EXPENSES FOR THE PURPOSES OF THIS SUBDIVISION. THE CHAIR MAY
ALSO INCLUDE IN THE TOTAL AMOUNT OF EXPENSES SUCH ADDITIONAL  ASSESSMENT
TO  INSURE THE SOLVENCY OF THE AGGREGATE TRUST FUND PURSUANT TO SUBDIVI-
SION SEVEN OF SECTION TWENTY-SEVEN OF THIS CHAPTER.  ANY OVERPAYMENT  OF
ANNUAL  ASSESSMENTS  RESULTING FROM THE REQUIREMENTS OF THIS SUBDIVISION
SHALL BE APPLIED AS A CREDIT AGAINST THE FUTURE ASSESSMENT RATE PROVIDED
THE FUND BALANCE SHALL NOT BE REDUCED BELOW TEN  PERCENT  OF  THE  TOTAL
AMOUNT ASSESSED.
  4. FOR THOSE AFFECTED EMPLOYERS OBTAINING COVERAGE:
  (A)  BY  INSURING  WITH  THE STATE FUND PURSUANT TO SUBDIVISION ONE OF
SECTION FIFTY OF THIS CHAPTER; OR  (B)  THROUGH  A  POLICY  PURSUANT  TO
SUBDIVISION TWO OF SECTION FIFTY OF THIS CHAPTER; OR (C) THROUGH A COUN-
TY  SELF-INSURANCE  PLAN  UNDER  ARTICLE  FIVE  OF  THIS CHAPTER; OR (D)
THROUGH A GROUP PRIVATE OR PUBLIC SELF-INSURER PURSUANT  TO  SUBDIVISION
THREE-A  OF SECTION FIFTY OF THIS CHAPTER, SUCH ASSESSMENT AMOUNTS SHALL
BE COLLECTED AND REMITTED TO THE CHAIR  BY  THE  CARRIER  OR  THE  STATE
INSURANCE FUND, OR COUNTY PLAN, OR GROUP PRIVATE OR PUBLIC SELF-INSURER,
ON  BEHALF OF THE EMPLOYER(S) UNTIL SUCH TIME AS THE BOARD ESTABLISHES A
DIRECT EMPLOYER PAYMENT PROCESS.  AFFECTED PRIVATE OR  PUBLIC  EMPLOYERS
PROVIDING  COMPENSATION  THROUGH  SELF INSURANCE PURSUANT TO SUBDIVISION
THREE OF SECTION FIFTY OF THIS  CHAPTER  SHALL  PAY  ASSESSMENT  AMOUNTS
DIRECTLY TO THE CHAIR.
  5.  INSURANCE  CARRIERS  AS  DEFINED  IN  SECTION  TWO OF THIS CHAPTER
INCLUDING THE STATE INSURANCE FUND AND SELF-INSURERS, SHALL COLLECT FROM
AFFECTED EMPLOYERS AND PERIODICALLY REMIT TO THE BOARD SUCH  ASSESSMENTS
AND  SHALL BE RESPONSIBLE FOR ENSURING THEIR EMPLOYERS/POLICYHOLDERS ARE
CURRENT ON THEIR ASSESSMENTS. (A) FAILURE  TO  ENSURE  POLICYHOLDERS  OR
EMPLOYERS  ARE CURRENT ON THEIR ASSESSMENTS WILL RESULT IN THE INSURANCE
CARRIER; OR SELF-INSURER; BEING LIABLE FOR SUCH ASSESSMENTS.
  (B) IN THE EVENT THE EMPLOYER;  INSURANCE  CARRIER;  OR  SELF-INSURER;
KNEW OR SHOULD HAVE KNOWN THAT THE EMPLOYER MISREPORTED ANY DATA RELATED
TO THE ASSESSMENT PROCESS, THEY MAY BE SUBJECT TO PENALTIES OR SANCTIONS
PROVIDED BY THIS CHAPTER.
  6.  (A) EFFECTIVE THE FIRST DAY OF JANUARY, TWO THOUSAND FOURTEEN, ALL
ASSESSMENT  CYCLES IN PROGRESS WILL BE REPLACED WITH THE ASSESSMENT RATE
DETERMINED HEREIN.  HOWEVER, SUCH NEW ASSESSMENT RATE SHALL NOT  RELIEVE
ANY  CARRIER OR SELF-INSURER FOR OUTSTANDING AMOUNTS DUE AS OF THE FIRST
DAY OF JANUARY TWO THOUSAND FOURTEEN.

S. 2605                            120                           A. 3005

  (B) ALL ASSESSMENT AMOUNTS COLLECTED BY INSURANCE CARRIERS, EXCEPT THE
STATE FUND, AND NOT YET REMITTED TO THE BOARD PRIOR TO THE FIRST DAY  OF
JANUARY,  TWO  THOUSAND  FOURTEEN MUST BE REMITTED TO THE CHAIR NO LATER
THAN THE FIRST DAY OF FEBRUARY, TWO THOUSAND FOURTEEN.
  7.  ASSESSMENTS  FOR  THE  EXPENSES OF THE BOARD INCLUDING ASSESSMENTS
PURSUANT TO PARAGRAPH (H) OF SUBDIVISION EIGHT  OF  SECTION  FIFTEEN  OF
THIS CHAPTER FOR THE SPECIAL DISABILITY FUND AND PURSUANT TO SUBDIVISION
THREE OF SECTION TWENTY-FIVE-A OF THIS CHAPTER FOR THE FUND FOR REOPENED
CASES SHALL NOT CONSTITUTE ELEMENTS OF LOSS.
  7-A.  NOTWITHSTANDING ANY LAW TO THE CONTRARY, WHEN THERE IS A DEFAULT
ON THE PAYMENT OF PREMIUM, INCLUDING ANY AMOUNT OF A  SURCHARGE  PAYABLE
UNDER  SUBDIVISION  SEVEN  OF  THIS  SECTION, ANY ACTION BY THE CARRIER,
INCLUDING THE STATE INSURANCE FUND, TO COLLECT ANY UNPAID PREMIUM  SHALL
INCLUDE  AN  ACTION SEEKING RECOVERY OF SUCH UNPAID SURCHARGES ON BEHALF
OF THE BOARD. THE CARRIER SHALL REMIT THE  AMOUNT  OF  ANY  SUCH  UNPAID
SURCHARGE  COLLECTED  EITHER  PURSUANT TO A JUDGMENT OR BY SETTLEMENT TO
THE BOARD.
  8.   THE FOREGOING OR ANY OTHER  PROVISION  OF  LAW  TO  THE  CONTRARY
NOTWITHSTANDING,  ALL  MONEYS  RECEIVED  ON  ACCOUNT  OF  THE ASSESSMENT
AUTHORIZED BY THIS SECTION SHALL BE  DEPOSITED  UPON  RECEIPT  INTO  THE
ADMINISTRATIVE  ASSESSMENT  CLEARING ACCOUNT HELD BY THE COMMISSIONER OF
TAXATION AND FINANCE AND APPLIED IN ACCORDANCE WITH SUBDIVISION  ONE  OF
THIS  SECTION AND IN ACCORDANCE WITH EACH APPLICABLE FINANCING AGREEMENT
AUTHORIZED BY SUBDIVISION EIGHT OF SECTION FIFTEEN OR BY SECTION FIFTY-C
OF THIS CHAPTER UNTIL THE FINANCIAL OBLIGATIONS OF THE DORMITORY AUTHOR-
ITY IN RESPECT OF ITS CONTRACTS WITH THE HOLDERS OF ITS BONDS AUTHORIZED
UNDER SECTIONS SIXTEEN HUNDRED EIGHTY-L AND SIXTEEN HUNDRED EIGHTY-Q  OF
THE  PUBLIC  AUTHORITIES LAW ARE MET AND ALL ASSOCIATED COSTS PAYABLE BY
OR TO THE DORMITORY AUTHORITY HAVE BEEN PAID  AND  SUCH  MONEYS  AS  ARE
REQUIRED  TO  BE  APPLIED  IN  ACCORDANCE  WITH  SUBDIVISION ONE OF THIS
SECTION TO FULLY FUND THE AMOUNT DESCRIBED IN SUBPARAGRAPH FOUR OF PARA-
GRAPH (H) OF SUBDIVISION EIGHT OF SECTION FIFTEEN OF THIS CHAPTER AND TO
FULLY FUND THE AMOUNT DESCRIBED IN SECTION FIFTY-C OF THIS  CHAPTER,  IN
ACCORDANCE  WITH  EACH  THEN  APPLICABLE FINANCING AGREEMENT PURSUANT TO
SUCH PROVISIONS SHALL NOT BE COMMINGLED WITH ANY  OTHER  MONIES  IN  THE
COMMISSIONER'S CUSTODY PRIOR TO SUCH APPLICATION AND SHALL NOT BE DEEMED
TO BE PART OF THE STATE TREASURY OR OF ANY FUNDS UNDER MANAGEMENT OF THE
STATE.    THE  OPERATION  OF  THIS  SECTION  AND  THE APPLICATION OF THE
RECEIPTS OF THE ASSESSMENT AUTHORIZED BY THIS SECTION SHALL  BE  SUBJECT
TO  THE  PROVISIONS  OF  EACH FINANCING AGREEMENT AUTHORIZED PURSUANT TO
SUBPARAGRAPH FOUR OF PARAGRAPH  (H)  OF  SUBDIVISION  EIGHT  OF  SECTION
FIFTEEN OR TO SECTION FIFTY-C OF THIS CHAPTER AND THIS SECTION SHALL NOT
BE  DEEMED  TO  AUTHORIZE ANY INFRINGEMENT UPON THE RIGHTS OF HOLDERS OF
BONDS ISSUED OR TO BE ISSUED PURSUANT TO EITHER SUCH PROVISION.
  9. THE PROVISIONS OF THIS SECTION SHALL  NOT  APPLY  WITH  RESPECT  TO
POLICIES CONTAINING COVERAGE PURSUANT TO PARAGRAPH ONE OF SUBSECTION (J)
OF  SECTION  THREE  THOUSAND  FOUR  HUNDRED  TWENTY OF THE INSURANCE LAW
RELATING TO EVERY  POLICY  PROVIDING  COMPREHENSIVE  PERSONAL  LIABILITY
INSURANCE ON A ONE, TWO, THREE OR FOUR FAMILY OWNER-OCCUPIED DWELLING.
  10. IF THE ASSESSMENTS COLLECTED PURSUANT TO THIS SECTION ARE INSUFFI-
CIENT  TO  MEET  THE OBLIGATIONS FINANCED BY THE ASSESSMENTS, THE CHAIR,
FOR A PERIOD OF THREE YEARS, MAY BORROW ANY  SHORTFALL  FROM  THE  STATE
INSURANCE  FUND  WITH ANY BORROWING TO BE ADDED TO THE ASSESSMENTS UNDER
THIS SECTION AND REPAID THE FOLLOWING YEAR TO THE STATE  INSURANCE  FUND
WITH INTEREST AT THE STATE INSURANCE FUND'S THEN CURRENT RATE OF RETURN.

S. 2605                            121                           A. 3005

  11.  EFFECTIVE  IMMEDIATELY,  NOTWITHSTANDING ANY LAW TO THE CONTRARY,
PURSUANT TO THE PROVISIONS OF THIS CHAPTER, THE ASSESSMENT RESERVES HELD
BY THE STATE INSURANCE FUND FOR THE PAYMENT OF FUTURE ASSESSMENTS ARE NO
LONGER REQUIRED AND ALL FUNDS AND INVESTMENTS HELD BY THE  STATE  INSUR-
ANCE FUND RELATED TO THE ASSESSMENT RESERVES SHALL BE TRANSFERRED TO THE
CHAIR  OF  THE  WORKERS'  COMPENSATION BOARD AS SOON AS PRACTICABLE. THE
COMMISSIONER OF TAXATION AND FINANCE SHALL BE CUSTODIAN OF  SUCH  FUNDS,
WHICH  SHALL  NOT BE COMMINGLED WITH OTHER FUNDS OF THE WORKERS' COMPEN-
SATION BOARD, AND MAY INVEST SUCH FUNDS IN THE SAME  MANNER  AS  SURPLUS
FUNDS  HELD  BY  THE STATE INSURANCE FUND PURSUANT TO SUBDIVISION TWO OF
SECTION EIGHTY-SEVEN OF THIS CHAPTER.  DISBURSEMENTS OF SUCH FUNDS SHALL
BE MADE BY SUCH COMMISSIONER UPON WRITTEN WARRANT OF THE  CHAIR  OF  THE
WORKERS' COMPENSATION BOARD OR THE CHAIR'S DESIGNEE.
  AT  THE REQUEST OF THE DIRECTOR OF THE BUDGET, SUCH MONEYS TRANSFERRED
TO THE CHAIR OF THE WORKERS' COMPENSATION BOARD SHALL BE DISTRIBUTED  AS
FOLLOWS:
  (A)  AS  SOON AS PRACTICABLE AFTER APRIL FIRST, TWO THOUSAND THIRTEEN,
THE CHAIR OF THE WORKERS' COMPENSATION BOARD SHALL TRANSFER TWO  HUNDRED
FIFTY MILLION DOLLARS TO THE GENERAL FUND.
  (B)  AS  SOON AS PRACTICABLE AFTER APRIL FIRST, TWO THOUSAND FOURTEEN,
THE CHAIR OF THE WORKERS' COMPENSATION BOARD SHALL TRANSFER FIVE HUNDRED
MILLION DOLLARS TO THE GENERAL FUND.
  (C) AS SOON AS PRACTICABLE AFTER APRIL FIRST,  TWO  THOUSAND  FIFTEEN,
THE  CHAIR OF THE WORKERS' COMPENSATION BOARD SHALL TRANSFER TWO HUNDRED
FIFTY MILLION DOLLARS TO THE GENERAL FUND.
  (D) AS SOON AS PRACTICABLE AFTER APRIL FIRST,  TWO  THOUSAND  SIXTEEN,
THE  CHAIR OF THE WORKERS' COMPENSATION BOARD SHALL TRANSFER TWO HUNDRED
FIFTY MILLION DOLLARS TO THE GENERAL FUND.
  (E) AS SOON AS PRACTICABLE AFTER APRIL FIRST,  TWO  THOUSAND  THIRTEEN
AND UPON REQUEST FROM THE DIRECTOR OF THE BUDGET, THE CHAIR SHALL TRANS-
FER FIVE HUNDRED MILLION DOLLARS TO THE TRANSFORMATIVE CAPITAL FUND.
  (F) ANY AND ALL FUNDS REMAINING AFTER ACCOUNTING FOR THE TRANSFERS SET
FORTH ABOVE MAY, AT THE DISCRETION OF THE DIRECTOR OF THE BUDGET, EITHER
REMAIN  WITH  THE  WORKERS'  COMPENSATION BOARD OR BE TRANSFERRED TO THE
GENERAL FUND OR TO THE STATE INSURANCE FUND. THE BUDGET DIRECTOR, ACTING
IN CONSULTATION WITH THE CHAIR OF THE WORKERS' COMPENSATION BOARD, SHALL
DETERMINE WHETHER ANY MONEY RETURNED TO THE STATE INSURANCE  FUND  IS  A
LOAN  OR  A  TRANSFER  AND  THE  TERMS AND CONDITIONS THEREIN. ANY FUNDS
TRANSFERRED OR LOANED TO   THE STATE  INSURANCE  FUND  UPON  THE  BUDGET
DIRECTOR'S  REQUEST  MAY BE INVESTED IN A MANNER CONSISTENT WITH INVEST-
MENT GUIDELINES PURSUANT TO SUBDIVISION TWO OF SECTION  EIGHTY-SEVEN  OF
THE WORKERS' COMPENSATION LAW.
  ANNUALLY, THE STATE INSURANCE FUND AND THE WORKERS' COMPENSATION BOARD
WILL  PROVIDE  TO THE DIRECTOR OF THE BUDGET AN ACCOUNTING OF SUCH FUNDS
AND ALL ASSOCIATED INCOME RECEIVED. SUCH ACCOUNTING WILL CONTINUE  UNTIL
SUCH TIME AS DETERMINED BY THE DIRECTOR OF THE BUDGET.
  12. THE CHAIR SHALL PROMULGATE REGULATIONS TO CARRY OUT THE PROVISIONS
OF THIS SECTION.
  13.  TO  EFFECTUATE  AN  EFFICIENT  ASSESSMENT  PROCESS AND THE PROPER
MANAGEMENT OF THE WORKERS' COMPENSATION SYSTEM ALL DATA IN POSSESSION OF
THE COMPENSATION INSURANCE RATING BOARD SHALL BE MADE AVAILABLE  TO  THE
BOARD AND THE DEPARTMENT OF FINANCIAL SERVICES UPON REQUEST.
  S 23. Subdivision 5 of section 54 of the workers' compensation law, as
amended  by chapter 164 of the laws of 1992 and the closing paragraph as
added by chapter 322 of the laws of 2008, is amended to read as follows:

S. 2605                            122                           A. 3005

  5. Cancellation and termination of insurance contracts. No contract of
insurance issued by an insurance carrier against liability arising under
this chapter shall be cancelled within the time limited in such contract
for its expiration unless notice is given as required by  this  section.
When  cancellation  is due to non-payment of premiums, OR NON-PAYMENT OF
ASSESSMENTS AS REQUIRED IN THE CONTRACT OF INSURANCE, such  cancellation
shall not be effective until at least ten days after a notice of cancel-
lation  of  such  contract, on a date specified in such notice, shall be
filed in the office of the chair and also served on the employer.   When
cancellation is due to any reason other than non-payment of premiums, OR
NON-PAYMENT  OF  ASSESSMENTS  AS  REQUIRED IN THE CONTRACT OF INSURANCE,
such cancellation shall not be effective  until  at  least  thirty  days
after  a notice of cancellation of such contract, on a date specified in
such notice, shall be filed in the office of the chair and  also  served
on the employer; provided, however, in either case, that if the employer
has  secured  insurance  with  another  insurance  carrier which becomes
effective prior to the expiration of the time stated in such notice, the
cancellation shall be effective as of the date of such  other  coverage.
No  insurer  shall refuse to renew any policy insuring against liability
arising under this chapter unless at least  thirty  days  prior  to  its
expiration notice of intention not to renew has been filed in the office
of the chair and also served on the employer.
  Such  notice  shall be served on the employer by delivering it to him,
her or it or by sending it by mail, by certified or  registered  letter,
return  receipt  requested, addressed to the employer at his, her or its
last known place of business; provided that, if the employer be a  part-
nership, then such notice may be so given to any of one of the partners,
and if the employer be a corporation then the notice may be given to any
agent  or  officer  of  the  corporation  upon whom legal process may be
served; and further provided that an employer may designate  any  person
or  entity  at  any  address to receive such notice including the desig-
nation of one person or entity to receive notice on behalf  of  multiple
entities  insured  under one insurance policy and that service of notice
at the address so designated upon the person or entity so designated  by
delivery  or  by mail, by certified or registered letter, return receipt
requested,  shall  satisfy  the  notice  requirement  of  this  section.
Provided, however, the right to cancellation of a policy of insurance in
the  state  fund shall be exercised only for non-payment of premiums, OR
NON-PAYMENT OF ASSESSMENTS AS REQUIRED IN THE CONTRACT OF INSURANCE,  or
as provided in section ninety-four of this chapter.
  The  provisions  of  this  subdivision shall not apply with respect to
policies containing coverage pursuant to subsection (j) of section three
thousand four hundred twenty of the  insurance  law  relating  to  every
policy  providing  comprehensive  personal liability insurance on a one,
two, three or four family owner-occupied dwelling.
  In the event such cancellation or termination notice is not filed with
the chair within the required time period,  the  chair  shall  impose  a
penalty  in  the  amount  of up to five hundred dollars for each ten-day
period the insurance carrier or state insurance fund failed to file  the
notification. All penalties collected pursuant to this subdivision shall
be deposited in the uninsured employers' fund.
  S 24. Section 93 of the workers' compensation law, as amended by chap-
ter  94 of the laws of 1988 and subdivisions b and c as amended by chap-
ter 635 of the laws of 1996, is amended to read as follows:
  S 93. Collection of premium in case of default. a. If  a  policyholder
shall  default  in  any  payment required to be made by him to the state

S. 2605                            123                           A. 3005

insurance fund after due notice, his insurance in the state fund may  be
cancelled and the amount due from him shall be collected by civil action
brought against him in any county wherein the state insurance fund main-
tains  an office in the name of the commissioners of the state insurance
fund and the same when collected, shall be paid into the state insurance
fund, and such policyholder's compliance with  the  provisions  of  this
chapter  requiring payments to be made to the state insurance fund shall
date from the time of the payment of said money to the  state  insurance
fund.
  b.  An  employer,  whose policy of insurance has been cancelled by the
state insurance fund for non-payment of premium, OR FOR  NON-PAYMENT  OF
ASSESSMENTS  AS  REQUIRED  IN  THE  CONTRACT  OF INSURANCE, or withdraws
pursuant to section  ninety-four  of  this  article,  is  ineligible  to
contract  for  a subsequent policy of insurance with the state insurance
fund while the billed premium on the  cancelled  policy  remains  uncol-
lected.
  c. The state insurance fund shall not be required to write a policy of
insurance  for any employer which is owned or controlled or the majority
interest of which is owned or controlled, directly or indirectly, by any
person  who  directly  or  indirectly  owns  or  controls  or  owned  or
controlled  at  the time of cancellation an employer whose former policy
of insurance with the state insurance fund was cancelled for non-payment
of premium, OR  FOR  NON-PAYMENT  OF  ASSESSMENTS  AS  REQUIRED  IN  THE
CONTRACT  OF  INSURANCE, or withdraws pursuant to section ninety-four of
this article or who is or was at the time of cancellation the president,
vice-president, secretary or treasurer of such  an  employer  until  the
billed premium on the cancelled policy is paid.
  For  purposes of this subdivision, "person" shall include individuals,
partnerships, corporations, and other associations.
  S 25. Section 146 of the workers' compensation law is REPEALED.
  S 26. Section 214 of the workers' compensation law, as added by  chap-
ter 600 of the laws of 1949, the opening paragraph as amended by chapter
653  of the laws of 1958, subdivision 2 as amended by chapter 187 of the
laws of 1983, subdivision 3 as amended by chapter 629  of  the  laws  of
1958, subdivision 4 as amended by chapter 727 of the laws of 1950 and as
further  amended  by  section 104 of part A of chapter 62 of the laws of
2011, and subdivision 5 as added by chapter 18 of the laws of  2010,  is
amended to read as follows:
  S 214. Special fund for disability benefits. There is hereby created a
fund which shall be known as the special fund for disability benefits to
provide  for  the  payment  of  disability  benefits  under sections two
hundred seven, two hundred thirteen and attendance fees under  [subdivi-
sion two of] section two hundred thirty-two of this article.
  1.  [For  the purpose of accumulating funds for payment of benefits to
the disabled unemployed, there is hereby assessed a contribution at  the
rate of two-tenths of one per centum of the wages paid during the period
from  January  first, nineteen hundred fifty to June thirtieth, nineteen
hundred fifty inclusive, to  employees  in  the  employment  of  covered
employers  on or after January first, nineteen hundred fifty, but not in
excess of twelve cents per week as to each such employee, of  which  the
employee  shall  contribute one-tenth of one per centum of his wages but
not in excess of six cents per week, and  the  employer  shall  make  an
equal  contribution. The contributions of the employee shall be deducted
from his wages in the same manner as provided  in  section  two  hundred
nine. On or before April thirtieth, nineteen hundred fifty, the employer
shall  pay  to the chairman the contributions with respect to wages paid

S. 2605                            124                           A. 3005

during the quarterly period ending March thirty-first, nineteen  hundred
fifty,  and  on or before July thirty-first, nineteen hundred fifty, the
employer shall pay to the chairman the  contributions  with  respect  to
wages  paid  during the quarterly period ending June thirtieth, nineteen
hundred fifty.
  2.] As promptly as practicable after April  first,  [nineteen  hundred
fifty-eight  and  thereafter annually as soon as practicable after April
first] in each year, the chairman shall ascertain the condition  of  the
fund, and if as of any such date the net assets of the fund shall be one
million  dollars  or  more  below the sum of twelve million dollars, the
chairman shall assess and collect [from all carriers hereinafter  speci-
fied]  an  amount  sufficient  to restore the fund to an amount equal to
twelve million dollars. [Carriers subject to this  assessment  shall  be
such  carriers  as shall have covered employees in employment during the
preceding three calendar years or any portion or portions  thereof.  The
proportion  of  the  total  assessment to be assessed upon and collected
from each carrier shall be that proportion thereof that the total of the
payrolls covered by such carrier during said three calendar years  bears
to  the  total  of all such payrolls covered by all such carriers during
said three calendar years, except that the term "payrolls" as used here-
in shall be deemed limited to the first seven thousand dollars of  earn-
ings  of  each  employee  during any calendar year and except that there
shall be excluded the payroll of employees of a  class  or  classes  for
whom  plan benefits provided under this article are payable during unem-
ployment for a period not less than the period provided in  section  two
hundred  seven under an agreement between the employer or an association
of employers and an association of the employees which has been accepted
as a plan under section two hundred eleven. The chairman, before  making
an  assessment  as herein provided, shall give thirty days notice to all
such carriers, in the same manner provided in section two hundred  twen-
ty-eight,  that  an  itemized  statement of the condition of the fund is
open for inspection]. SUCH ASSESSMENT SHALL BE INCLUDED IN  THE  ASSESS-
MENT RATE ESTABLISHED PURSUANT TO SUBDIVISION TWO OF SECTION ONE HUNDRED
FIFTY-ONE  OF THIS CHAPTER. SUCH ASSESSMENTS SHALL BE DEPOSITED WITH THE
COMMISSIONER OF TAXATION AND FINANCE AND TRANSFERRED TO THE  BENEFIT  OF
SUCH  FUND UPON PAYMENT OF DEBT SERVICE, IF ANY, PURSUANT TO SECTION ONE
HUNDRED FIFTY-ONE OF THIS CHAPTER.
  [3.] 2. Whenever the net assets of the fund shall be less  than  three
million  dollars  and  the  disability claims currently being paid shall
indicate the necessity of supplementing the assets of the  fund  [before
the  next  annual  assessment can be made,] the chairman may [assess and
collect for all such carriers, in the same proportions  established  for
the  last  preceding  annual assessment,] TRANSFER FROM MONIES COLLECTED
PURSUANT TO SUBDIVISION TWO OF SECTION ONE  HUNDRED  FIFTY-ONE  OF  THIS
CHAPTER  an  amount sufficient in the discretion of the chairman for the
needs of the fund, but not in excess of an amount sufficient to  restore
the  fund  to  twelve million dollars. [Before making any such emergency
assessment the chairman shall give thirty days notice to  such  carriers
in  the  same manner as provided with respect to annual assessments, and
an itemized statement of the  condition  of  the  fund  shall,  in  like
manner, be open for inspection.]
  [4.]  3.  All  contributions  and assessments received by the chairman
under the provisions of this section shall be credited to the fund here-
in established and deposited by  the  chairman  to  the  credit  of  the
commissioner  of  taxation  and finance for the benefit of the fund. The
superintendent of financial services may examine into the  condition  of

S. 2605                            125                           A. 3005

the  fund  at  any time on his own initiative or upon the request of the
chairman.
  [5. Notwithstanding any inconsistent provision of law to the contrary,
effective  April  first,  two  thousand  nine,  any amounts available in
excess of the maximum net asset balance of twelve million dollars pursu-
ant to subdivision two of this section,  shall  be  transferred  by  the
comptroller  to  the general fund, at the request of the director of the
budget.]
  S 27. Section 228 of the workers' compensation law is REPEALED  and  a
new section 228 is added to read as follows:
  S  228.  ADMINISTRATIVE  EXPENSES.  1.  THE  ESTIMATED ANNUAL EXPENSES
NECESSARY  FOR  THE  WORKERS'  COMPENSATION  BOARD  TO  ADMINISTER   THE
PROVISIONS OF THE DISABILITY BENEFITS LAW SHALL BE BORNE BY ALL AFFECTED
EMPLOYERS AND INCLUDED AS PART OF THE ASSESSMENT RATE GENERATED PURSUANT
TO SUBDIVISION TWO OF SECTION ONE HUNDRED FIFTY-ONE OF THIS CHAPTER.
  2.  ANNUALLY, AS SOON AS PRACTICABLE AFTER THE FIRST DAY OF APRIL, THE
CHAIR AND DEPARTMENT OF AUDIT AND  CONTROL  SHALL  ASCERTAIN  THE  TOTAL
AMOUNT OF ACTUAL EXPENSES.
  S 28.  Subdivision 6 of section 3 of the volunteer firefighters' bene-
fit law is amended to read as follows:
  6.  "Surviving spouse" means the legal [wife of a deceased male volun-
teer fireman or the legal husband of a deceased female  volunteer  fire-
man,  as  the  case may be,] SPOUSE OF A DECEASED VOLUNTEER FIREFIGHTER,
but shall not include a spouse who has abandoned the deceased. The  term
"abandoned",  as  used in this subdivision, means such an abandonment as
would be sufficient under section [eleven hundred sixty-one of the civil
practice act] TWO HUNDRED OF THE DOMESTIC RELATIONS  LAW  to  sustain  a
judgment of separation on that ground.
  S  29.  Section  60  of  the  volunteer  firefighters'  benefit law is
REPEALED and a new section 60 is added to read as follows:
  S 60. ASSESSMENT FOR EXPENSES. 1. THE ESTIMATED ANNUAL EXPENSES NECES-
SARY FOR THE WORKERS' COMPENSATION BOARD TO ADMINISTER THE PROVISIONS OF
THE VOLUNTEER FIREFIGHTERS' BENEFIT LAW SHALL BE BORNE BY  ALL  AFFECTED
EMPLOYERS AND INCLUDED AS PART OF THE ASSESSMENT RATE GENERATED PURSUANT
TO  SUBDIVISION  TWO  OF  SECTION  ONE HUNDRED FIFTY-ONE OF THE WORKERS'
COMPENSATION LAW.
  2. ANNUALLY, THE CHAIR OF THE DEPARTMENT OF AUDIT AND CONTROL, AS SOON
AS PRACTICABLE AFTER THE FIRST  OF  APRIL,  SHALL  ASCERTAIN  THE  TOTAL
AMOUNT OF ACTUAL EXPENSES.
  S  30.  Subdivision 6 of section 3 of the volunteer ambulance workers'
benefit law is amended to read as follows:
  6. "Surviving spouse" means the legal [wife of a deceased male  volun-
teer  ambulance worker or the legal husband of a deceased female] SPOUSE
OF A DECEASED volunteer ambulance worker[, as  the  case  may  be],  but
shall  not  include  a  spouse  who has abandoned the deceased. The term
"abandoned", as used in this subdivision, means such an  abandonment  as
would  be sufficient under section two hundred of the domestic relations
law to sustain a judgment of separation on that ground.
  S 31. Section 60 of the volunteer ambulance workers'  benefit  law  is
REPEALED and a new section 60 is added to read as follows:
  S 60. ASSESSMENT FOR EXPENSES. 1. THE ESTIMATED ANNUAL EXPENSES NECES-
SARY FOR THE WORKERS' COMPENSATION BOARD TO ADMINISTER THE PROVISIONS OF
THE  VOLUNTEER  AMBULANCE  WORKERS'  BENEFIT  LAW  SHALL BE BORNE BY ALL
AFFECTED EMPLOYERS AND INCLUDED AS PART OF THE ASSESSMENT RATE GENERATED
PURSUANT TO SUBDIVISION TWO OF SECTION  ONE  HUNDRED  FIFTY-ONE  OF  THE
WORKERS' COMPENSATION LAW.

S. 2605                            126                           A. 3005

  2. ANNUALLY, THE CHAIR OF THE DEPARTMENT OF AUDIT AND CONTROL, AS SOON
AS  PRACTICABLE  AFTER  THE  FIRST  OF  APRIL, SHALL ASCERTAIN THE TOTAL
AMOUNT OF ACTUAL EXPENSES.
  S 32. Section 50 of the workers' compensation law is amended by adding
a new subdivision 12 to read as follows:
  12.  THE  CHAIR,  WITH THE APPROVAL OF THE DIRECTOR OF THE BUDGET, MAY
REQUEST THE ISSUANCE OF BONDS BY THE DORMITORY AUTHORITY FOR ONE OR MORE
OF THE PURPOSES AUTHORIZED BY SECTION SIXTEEN HUNDRED  EIGHTY-Q  OF  THE
PUBLIC  AUTHORITIES  LAW  AND BY A SELF-INSURED BOND FINANCING AGREEMENT
AUTHORIZED BY SECTION FIFTY-C OF THIS ARTICLE. THE NET PROCEEDS OF  SUCH
BONDS  SHALL BE DEPOSITED INTO THE SELF-INSURER OFFSET FUND OR AS OTHER-
WISE PROVIDED BY THE APPLICABLE SELF-INSURED BOND FINANCING AGREEMENT.
  S 33. Subdivision 4 of section 50-a of the workers'  compensation  law
is  renumbered subdivision 5 and a new subdivision 4 is added to read as
follows:
  4. TO THE EXTENT PROVIDED BY THE SELF-INSURER BOND FINANCING AGREEMENT
THE CHAIR MAY REQUEST THE DORMITORY AUTHORITY TO TRANSFER BOND  PROCEEDS
INTO SUCH ACCOUNT FOR THE PURPOSES OUTLINED IN THE BOND FINANCING AGREE-
MENT.
  S 34. The workers' compensation law is amended by adding a new section
50-c to read as follows:
  S  50-C.  SELF-INSURED  BONDS.  1. THE CHAIR, WITH THE COMMISSIONER OF
TAXATION AND FINANCE, IS AUTHORIZED TO ENTER INTO A FINANCING  AGREEMENT
WITH  THE  DORMITORY  AUTHORITY,  TO  BE KNOWN AS THE "SELF-INSURED BOND
FINANCING AGREEMENT". SUCH AGREEMENT SHALL SET  FORTH  THE  PROCESS  FOR
CALCULATING  THE  ANNUAL  DEBT  SERVICE OF BONDS ISSUED BY THE DORMITORY
AUTHORITY AND ANY OTHER ASSOCIATED COSTS IN CONNECTION WITH THE SELF-IN-
SURER OFFSET FUND, AS SET FORTH IN SECTION SIXTEEN HUNDRED  EIGHTY-Q  OF
THE  PUBLIC  AUTHORITIES  LAW. FOR PURPOSES OF THIS SECTION, "ASSOCIATED
COSTS" MAY INCLUDE A COVERAGE FACTOR,  RESERVE  FUND  REQUIREMENTS,  ALL
COSTS  OF  ANY  NATURE INCURRED BY THE DORMITORY AUTHORITY IN CONNECTION
WITH THE SELF-INSURED BOND FINANCING AGREEMENT OR PURSUANT THERETO,  THE
COSTS  OF  ANY INDEPENDENT AUDITS UNDERTAKEN UNDER THIS SECTION, AND ANY
OTHER COSTS FOR THE IMPLEMENTATION OF THIS SUBDIVISION AND THE  ISSUANCE
OF  BONDS  BY  THE DORMITORY AUTHORITY, INCLUDING INTEREST RATE EXCHANGE
PAYMENTS, REBATE PAYMENTS, LIQUIDITY FEES, CREDIT PROVIDER FEES, FIDUCI-
ARY FEES, REMARKETING, DEALER, AUCTION AGENT AND RELATED FEES AND  OTHER
SIMILAR  BOND-RELATED  EXPENSES,  UNLESS  OTHERWISE FUNDED. BY SEPTEMBER
FIRST OF EACH YEAR, THE DORMITORY AUTHORITY SHALL PROVIDE TO  THE  CHAIR
THE  CALCULATION  OF  THE  AMOUNT  EXPECTED  TO BE PAID BY THE DORMITORY
AUTHORITY IN DEBT SERVICE AND ASSOCIATED COSTS FOR PURPOSES OF CALCULAT-
ING THE ASSESSMENTS FOR THE  DEBT  SERVICE  PORTION  OF  THE  ASSESSMENT
PROVIDED  FOR UNDER THIS CHAPTER. ALL MONIES RECEIVED ON ACCOUNT OF SUCH
ASSESSMENTS SHALL BE APPLIED IN ACCORDANCE WITH THIS  CHAPTER  AND  WITH
THE  SELF-INSURED  BOND  FINANCING  AGREEMENT  UNTIL THE FINANCIAL OBLI-
GATIONS OF THE DORMITORY AUTHORITY IN RESPECT TO ITS CONTRACT  WITH  ITS
BONDHOLDERS ARE MET AND ALL ASSOCIATED COSTS PAYABLE TO OR BY THE DORMI-
TORY  AUTHORITY  HAVE  BEEN PAID, NOTWITHSTANDING ANY OTHER PROVISION OF
LAW RESPECTING SECURED TRANSACTIONS. THIS PROVISION MAY BE  INCLUDED  BY
THE  DORMITORY AUTHORITY IN ANY CONTRACT OF THE DORMITORY AUTHORITY WITH
ITS BONDHOLDERS. THE SELF-INSURED BOND FINANCING AGREEMENT MAY  RESTRICT
DISBURSEMENTS,  INVESTMENTS,  OR  REBATES, AND MAY PRESCRIBE A SYSTEM OF
ACCOUNTS APPLICABLE TO THE SELF-INSURER OFFSET FUND AS  CONSISTENT  WITH
THE PROVISIONS OF THIS CHAPTER GOVERNING SUCH FUND, INCLUDING CUSTODY OF
FUNDS AND ACCOUNTS WITH A TRUSTEE THAT MAY BE PRESCRIBED BY THE DORMITO-
RY  AUTHORITY AS PART OF ITS CONTRACT WITH THE BONDHOLDERS. FOR PURPOSES

S. 2605                            127                           A. 3005

OF THIS SUBDIVISION, THE TERM "BONDS"  SHALL  INCLUDE  NOTES  ISSUED  IN
ANTICIPATION  OF  THE  ISSUANCE  OF BONDS, OR NOTES ISSUED PURSUANT TO A
COMMERCIAL PAPER PROGRAM.
  2.  THE  CHAIR  IS  HEREBY  AUTHORIZED  TO  RECEIVE  AND CREDIT TO THE
SELF-INSURER OFFSET FUND ANY SUM  OR  SUMS  THAT  MAY  AT  ANY  TIME  BE
CONTRIBUTED  TO  THE STATE BY THE UNITED STATES OF AMERICA UNDER ANY ACT
OF CONGRESS, OR OTHERWISE, TO WHICH THE STATE MAY BE OR BECOME  ENTITLED
BY REASON OF ANY PAYMENTS MADE OUT OF SUCH FUND.
  3.  NOTWITHSTANDING  ANY OTHER LAW TO THE CONTRARY, THE CHAIR SHALL BE
THE CUSTODIAN OF THE SELF-INSURER  OFFSET  FUND  AND,  UNLESS  OTHERWISE
PROVIDED  FOR  IN THE SELF-INSURED BOND FINANCING AGREEMENT, THE COMMIS-
SIONER OF TAXATION AND FINANCE  SHALL  INVEST  ANY  SURPLUS  OR  RESERVE
MONEYS  THEREOF  IN  SECURITIES  WHICH  CONSTITUTE LEGAL INVESTMENTS FOR
SAVINGS BANKS UNDER THE LAWS OF  THIS  STATE  AND  IN  INTEREST  BEARING
CERTIFICATES  OF  DEPOSIT OF A BANK OR TRUST COMPANY LOCATED AND AUTHOR-
IZED TO DO BUSINESS IN THIS STATE OR OF A NATIONAL BANK LOCATED IN  THIS
STATE  SECURED BY A PLEDGE OF DIRECT OBLIGATIONS OF THE UNITED STATES OR
OF THE STATE OF NEW YORK IN AN  AMOUNT  EQUAL  TO  THE  AMOUNT  OF  SUCH
CERTIFICATES  OF  DEPOSIT, AND MAY SELL ANY OF THE SECURITIES OR CERTIF-
ICATES OF DEPOSIT IN WHICH SUCH FUND IS INVESTED IF  NECESSARY  FOR  THE
PROPER  ADMINISTRATION  OR  IN THE BEST INTEREST OF SUCH FUND. DISBURSE-
MENTS FROM SUCH FUND AS PROVIDED BY THIS SUBDIVISION SHALL  BE  MADE  BY
THE  COMMISSIONER  OF  TAXATION AND FINANCE UNLESS THE SELF-INSURED BOND
FINANCING AGREEMENT PROVIDES FOR SOME OTHER MEANS  OF  AUTHORIZING  SUCH
DISBURSEMENTS  THAT  IS NO LESS PROTECTIVE OF THE FUND. THE COMMISSIONER
OF TAXATION AND FINANCE AS SOON AS PRACTICABLE AFTER  JANUARY  FIRST  OF
EACH  YEAR,  SHALL FURNISH TO THE CHAIR A STATEMENT OF THE FUND, SETTING
FORTH THE BALANCE OF MONEYS IN THE SAID FUND AS OF THE BEGINNING OF  THE
CALENDAR  YEAR,  THE  INCOME OF THE FUND, THE SUMMARY OF PAYMENTS OUT OF
THE FUND ON ACCOUNT OF REIMBURSEMENTS AND OTHER CHARGES  ORDERED  TO  BE
PAID  BY  THE  BOARD, AND ALL OTHER CHARGES AGAINST THE FUND AND SETTING
FORTH THE BALANCE OF THE FUND REMAINING  TO  ITS  CREDIT  ON  THE  PRIOR
DECEMBER  THIRTY-FIRST  OF  EACH  YEAR.  SUCH STATEMENT SHALL BE OPEN TO
PUBLIC INSPECTION IN THE OFFICE OF THE SECRETARY  OF  THE  BOARD.    THE
CHAIR  SHALL  INCLUDE IN THE REPORTS TO THE GOVERNOR, THE SPEAKER OF THE
ASSEMBLY AND THE TEMPORARY  PRESIDENT  OF  THE  SENATE  AS  REQUIRED  BY
SECTION  NINE  OF PART G OF CHAPTER FIFTY-SEVEN OF THE LAWS OF TWO THOU-
SAND ELEVEN, A SUMMARY OF THE STATUS OF THE BONDING  PROGRAM  AUTHORIZED
BY THIS SECTION.  THE COMMISSIONER OF TAXATION AND FINANCE MAY ESTABLISH
WITHIN THE SELF-INSURER OFFSET FUND SUCH ACCOUNTS AND SUB-ACCOUNTS AS HE
OR  SHE  DEEMS  USEFUL FOR THE OPERATION OF THE FUND, OR AS NECESSARY TO
SEGREGATE MONEYS WITHIN THE FUND,  SUBJECT  TO  THE  PROVISIONS  OF  THE
SELF-INSURED BOND FINANCING AGREEMENT AND OF THIS CHAPTER.
  S  35.  The  public authorities law is amended by adding a new section
1680-q to read as follows:
  S 1680-Q. SELF-INSURED BOND FINANCING. 1. AS USED IN THIS SECTION  THE
FOLLOWING TERMS SHALL HAVE THE FOLLOWING MEANINGS:
  (A)  "ANCILLARY  BOND  FACILITY"  MEANS  ANY INTEREST RATE EXCHANGE OR
SIMILAR AGREEMENT OR ANY BOND INSURANCE  POLICY,  LETTER  OF  CREDIT  OR
OTHER   CREDIT  ENHANCEMENT  FACILITY,  LIQUIDITY  FACILITY,  GUARANTEED
INVESTMENT  OR  REINVESTMENT  AGREEMENT,  OR  OTHER  SIMILAR  AGREEMENT,
ARRANGEMENT OR CONTRACT.
  (B)  "BENEFITED  PARTY"  MEANS  ANY  PERSON,  FIRM OR CORPORATION THAT
ENTERS INTO AN ANCILLARY BOND FACILITY WITH THE AUTHORITY  ACCORDING  TO
THE PROVISIONS OF THIS SECTION.

S. 2605                            128                           A. 3005

  (C)  "BONDS" MEANS ANY BONDS, NOTES, CERTIFICATES OF PARTICIPATION AND
OTHER EVIDENCE OF INDEBTEDNESS  ISSUED  BY  THE  AUTHORITY  PURSUANT  TO
SUBDIVISION FIVE OF THIS SECTION.
  (D)  "BOND  OWNERS  OR OWNERS OF BONDS" MEANS ANY REGISTERED OWNERS OF
BONDS.
  (E) "CHAIR" MEANS THE CHAIR OF THE WORKERS' COMPENSATION BOARD.
  (F) "CODE" MEANS THE UNITED STATES INTERNAL REVENUE CODE OF  1986,  AS
AMENDED.
  (G)  "COSTS  OF  ISSUANCE" MEANS ANY ITEM OF EXPENSE DIRECTLY OR INDI-
RECTLY PAYABLE OR REIMBURSABLE BY  THE  AUTHORITY  AND  RELATED  TO  THE
AUTHORIZATION,  SALE,  OR  ISSUANCE OF BONDS, INCLUDING, BUT NOT LIMITED
TO, UNDERWRITING FEES AND FEES AND EXPENSES OF PROFESSIONAL  CONSULTANTS
AND FIDUCIARIES.
  (H)  "DEBT SERVICE" MEANS ACTUAL DEBT SERVICE, COMPRISED OF PRINCIPAL,
INTEREST AND ASSOCIATED COSTS, AS DEFINED  IN  SECTION  FIFTY-C  OF  THE
WORKERS' COMPENSATION LAW.
  (I)  "DIRECTOR  OF THE BUDGET" OR "DIRECTOR" MEANS THE DIRECTOR OF THE
BUDGET OF THE STATE OF NEW YORK.
  (J) "FINANCING COSTS" MEANS ALL COSTS OF ISSUANCE, CAPITALIZED  INTER-
EST,  CAPITALIZED  OPERATING  EXPENSES OF THE AUTHORITY AND, PURSUANT TO
THE SELF-INSURED BOND FINANCING AGREEMENT, FEES, COST OF  ANY  ANCILLARY
BOND FACILITY, AND ANY OTHER FEES, DISCOUNTS, EXPENSES AND COSTS RELATED
TO  ISSUING, SECURING AND MARKETING THE BONDS INCLUDING, WITHOUT LIMITA-
TION, ANY NET ORIGINAL ISSUE DISCOUNT.
  (K) "INVESTMENT SECURITIES" SHALL HAVE THE SAME MEANING AS  SET  FORTH
IN SECTION ONE THOUSAND SIX HUNDRED EIGHTY-L OF THIS TITLE.
  (L)  "INTEREST  RATE  EXCHANGE  OR  SIMILAR AGREEMENT" MEANS A WRITTEN
CONTRACT ENTERED INTO IN CONNECTION WITH THE ISSUANCE OF BONDS  OR  WITH
SUCH BONDS OUTSTANDING WITH A COUNTERPARTY TO PROVIDE FOR AN EXCHANGE OR
SWAP  OF  PAYMENTS  BASED UPON FIXED AND/OR VARIABLE INTEREST RATES, AND
SHALL BE FOR EXCHANGES IN CURRENCY OF THE UNITED STATES OF AMERICA ONLY.
  (M) "NET PROCEEDS" MEANS THE AMOUNT OF  PROCEEDS  REMAINING  FOLLOWING
EACH  SALE OF BONDS WHICH ARE NOT REQUIRED BY THE AUTHORITY FOR PURPOSES
OF THIS SECTION TO PAY OR PROVIDE FOR DEBT SERVICE OR  FINANCING  COSTS,
AS PROVIDED IN THE SELF-INSURED BOND FINANCING AGREEMENT.
  (N)  "OPERATING  EXPENSES" MEANS THE REASONABLE OR NECESSARY OPERATING
EXPENSES OF THE AUTHORITY FOR PURPOSES OF THIS SECTION, INCLUDING, WITH-
OUT LIMITATION, THE COSTS OF:  RETENTION  OF  AUDITORS,  PREPARATION  OF
ACCOUNTING  AND  OTHER REPORTS, MAINTENANCE OF THE RATINGS ON THE BONDS,
ANY OPERATING EXPENSE RESERVE FUND, INSURANCE PREMIUMS,  ANCILLARY  BOND
FACILITIES,  REBATE  PAYMENTS,  ANNUAL MEETINGS OR OTHER REQUIRED ACTIV-
ITIES OF THE AUTHORITY, AND PROFESSIONAL CONSULTANTS AND FIDUCIARIES.
  (O) "OUTSTANDING", WHEN USED WITH  RESPECT  TO  BONDS,  SHALL  EXCLUDE
BONDS  THAT  SHALL  HAVE  BEEN  PAID  IN FULL AT MATURITY, OR SHALL HAVE
OTHERWISE BEEN REFUNDED, REDEEMED, DEFEASED OR DISCHARGED, OR  THAT  MAY
BE DEEMED NOT OUTSTANDING PURSUANT TO AGREEMENTS WITH THE HOLDERS THERE-
OF.
  (P)  "PLEDGED  ASSESSMENTS  REVENUES",  "PLEDGED REVENUES" OR "PLEDGED
ASSESSMENTS" MEANS RECEIPTS  OF  THE  ASSESSMENTS  IMPOSED  PURSUANT  TO
SECTION  ONE  HUNDRED  FIFTY-ONE  OF  THE  WORKERS' COMPENSATION LAW AND
PLEDGED FOR THE PAYMENT OF DEBT SERVICE ON  THE  BONDS  OR  AMOUNTS  DUE
PURSUANT  TO  AN ANCILLARY BOND FACILITY, INCLUDING THE RIGHT TO RECEIVE
SAME.
  (Q) "SELF-INSURER OFFSET FUND" SHALL MEAN THE FUND COMPOSED OF  REVEN-
UES,  INCLUDING  THOSE  OBTAINED BY THE BONDS ISSUED UNDER THIS SECTION,

S. 2605                            129                           A. 3005

WHICH SHALL BE USED SOLELY FOR THE  PURPOSES  DESCRIBED  IN  SUBDIVISION
FOUR OF THIS SECTION.
  (R)  "SELF-INSURED  EMPLOYER"  MEANS INDIVIDUAL AND GROUP SELF-INSURED
EMPLOYERS ESTABLISHED IN ACCORDANCE WITH SECTION FIFTY OF  THE  WORKERS'
COMPENSATION LAW.
  (S) "STATE" MEANS THE STATE OF NEW YORK.
  (T)  "SELF-INSURED  BOND FINANCING AGREEMENT" OR "FINANCING AGREEMENT"
MEANS AN AGREEMENT AUTHORIZED AND CREATED PURSUANT TO  SUBDIVISION  FOUR
OF THIS SECTION AND SECTION FIFTY-C OF THE WORKERS' COMPENSATION LAW, AS
SAME BY ITS TERMS AND BOND PROCEEDINGS, MAY BE AMENDED.
  2. THE AUTHORITY IS HEREBY AUTHORIZED TO ISSUE BONDS TO REDUCE ASSESS-
MENTS IMPOSED ON SELF-INSURED EMPLOYERS UNDER SECTION FIFTY OF THE WORK-
ERS'  COMPENSATION  LAW AS A RESULT OF THE UNFUNDED CLAIMS OF INDIVIDUAL
AND GROUP SELF-INSURERS. THE AUTHORITY MAY ENTER INTO ONE OR MORE  SELF-
INSURED  BOND  FINANCING  AGREEMENTS DESCRIBED IN SECTION FIFTY-C OF THE
WORKERS' COMPENSATION LAW. ALL OF THE PROVISIONS OF THE PUBLIC  AUTHORI-
TIES  LAW  RELATING  TO BONDS AND NOTES OF THE DORMITORY AUTHORITY WHICH
ARE NOT INCONSISTENT WITH THE PROVISIONS OF THIS SECTION SHALL APPLY  TO
OBLIGATIONS AUTHORIZED BY THIS SECTION, INCLUDING BUT NOT LIMITED TO THE
POWER TO ESTABLISH ADEQUATE RESERVES THEREFOR AND TO ISSUE RENEWAL NOTES
OR  REFUNDING  BONDS THEREOF. THE PROVISIONS OF THIS SECTION SHALL APPLY
SOLELY TO OBLIGATIONS AUTHORIZED BY THIS SECTION.
  3. IT IS FOUND AND DECLARED THAT UNFUNDED CLAIMS IN EITHER  THE  INDI-
VIDUAL  OR GROUP SELF-INSURANCE TRUST PROGRAM WILL, ABSENT PROVISION FOR
LONG-TERM FINANCING, RESULT IN IMPOSITION OF COSTS ON ALL  SELF-INSURERS
THROUGH  ASSESSMENTS; THAT SUCH UNFUNDED CLAIMS AND ASSESSMENTS MAY HAVE
A DETRIMENTAL IMPACT ON BUSINESSES AND  NOT-FOR-PROFIT  CORPORATIONS  IN
NEW  YORK  STATE AND ON THE PROVISION OF SERVICES TO NEW YORK RESIDENTS;
THAT WITHOUT FINANCING THE  BOARD  MAY  BE  REQUIRED  TO  IMPOSE  HIGHER
ASSESSMENTS  TO  PAY SUCH UNFUNDED CLAIMS; THAT FINANCING WILL ALLOW THE
WORKERS' COMPENSATION BOARD TO PURCHASE ONE OR MORE ASSUMPTIONS OF WORK-
ERS' COMPENSATION LIABILITY POLICIES THAT WILL LIMIT THE LONG TERM LOSS-
ES FROM THESE UNFUNDED CLAIMS; THAT THE BONDS WILL PROVIDE A MORE  EFFI-
CIENT  MEANS  OF  COVERING  UNFUNDED  CLAIMS  THAN THE CURRENT SYSTEM OF
ASSESSMENT ON ALL SELF-INSUREDS; THAT BONDS ISSUED BY THE AUTHORITY  AND
SECURED  BY  ASSESSMENTS LEVIED, FOR THE GOVERNMENTAL PURPOSE OF FUNDING
ASSUMPTION OF WORKERS' COMPENSATION LIABILITY POLICIES, AMORTIZED OVER A
SUBSTANTIAL PERIOD WOULD ALLOW THE STATE TO LIMIT  LIABILITIES  AND  THE
ASSESSMENTS  NEEDED  TO  PAY  THEM, THEREBY FURTHERING THE POLICY OF THE
STATE TO REDUCE THE COSTS OF WORKERS' COMPENSATION AND  TO  IMPROVE  THE
BUSINESS  CLIMATE  IN THE STATE AND THE ABILITY OF NOT-FOR-PROFIT CORPO-
RATIONS TO PERFORM ESSENTIAL SERVICES WHILE COMPENSATING  INJURED  WORK-
ERS;  THAT  ALL COSTS OF THE AUTHORITY IN RELATION TO THIS SECTION SHALL
BE PAID FROM ASSESSMENTS PROVIDED FOR IN THE WORKERS' COMPENSATION  LAW;
AND  THAT,  THEREFORE, THE PROVISIONS OF THIS SECTION ARE FOR THE PUBLIC
BENEFIT AND GOOD AND THE AUTHORIZATION AS PROVIDED IN THIS  SECTION  FOR
THE  ISSUANCE  OF REVENUE OBLIGATIONS OF THE AUTHORITY IS DECLARED TO BE
FOR A PUBLIC PURPOSE AND THE EXERCISE OF AN ESSENTIAL GOVERNMENTAL FUNC-
TION.
  4. (A) THE AUTHORITY, THE COMMISSIONER OF TAXATION AND FINANCE AND THE
CHAIR, IN CONSULTATION WITH THE DIRECTOR OF THE BUDGET SHALL  EXECUTE  A
FINANCING  AGREEMENT  PRIOR TO THE ISSUANCE OF ANY BONDS. SUCH AGREEMENT
SHALL CONTAIN SUCH TERMS AND CONDITIONS AS ARE NECESSARY  TO  CARRY  OUT
AND  EFFECTUATE  THE  PURPOSES OF THIS SECTION, INCLUDING COVENANTS WITH
RESPECT TO THE ASSESSMENTS  AND  ENFORCEMENT  OF  THE  ASSESSMENTS,  THE
APPLICATION AND USE OF THE PROCEEDS OF THE SALE OF BONDS TO PRESERVE THE

S. 2605                            130                           A. 3005

TAX  EXEMPTION  ON  THE  BONDS,  THE INTEREST ON WHICH IS INTENDED TO BE
EXEMPT FROM TAXATION. THE STATE SHALL NOT  BE  AUTHORIZED  TO  MAKE  ANY
COVENANT, PLEDGE, PROMISE OR AGREEMENT PURPORTING TO BIND THE STATE WITH
RESPECT TO PLEDGED REVENUES, EXCEPT AS OTHERWISE SPECIFICALLY AUTHORIZED
BY THIS SECTION.
  (B)  THE  NET  PROCEEDS  OF THE BONDS SHALL BE DEPOSITED IN ACCORDANCE
WITH THE SELF-INSURED BOND FINANCING AGREEMENT  AND  THIS  SECTION.  THE
SELF-INSURED  BOND FINANCING AGREEMENT SHALL PROVIDE FOR THE APPLICATION
OF THE NET BOND PROCEEDS, AND SUCH BOND PROCEEDS SHALL BE USED, FOR  ANY
OF  THE FOLLOWING PURPOSES: (I) TO PAY UNMET COMPENSATION OR BENEFITS OF
INDIVIDUAL AND GROUP SELF-INSURED EMPLOYERS; (II)  TO  PURCHASE  ONE  OR
MORE ASSUMPTION OF WORKERS' COMPENSATION LIABILITY POLICIES TO DISCHARGE
THE  LIABILITIES  INCURRED  OR TO BE INCURRED UNDER SUBDIVISION THREE OR
THREE-A OF SECTION FIFTY OF THE WORKERS' COMPENSATION LAW; OR  (III)  TO
PAY  FINANCING COSTS OF THE BONDS ISSUED UNDER THIS SECTION.  NOT INCON-
SISTENT WITH THIS SECTION, THE AUTHORITY MAY PROVIDE RESTRICTIONS ON THE
USE AND INVESTMENT OF NET PROCEEDS OF THE BONDS AND OTHER AMOUNTS IN THE
SELF-INSURED BOND FINANCING AGREEMENT OR OTHERWISE IN A  TAX  REGULATORY
AGREEMENT  AS NECESSARY OR DESIRABLE TO ASSURE THAT THEY ARE EXEMPT FROM
TAXATION.
  5. (A) (I) THE AUTHORITY SHALL HAVE POWER AND IS HEREBY AUTHORIZED  TO
ISSUE  ITS  BONDS  AT SUCH TIMES AND IN SUCH AGGREGATE PRINCIPAL AMOUNTS
NOT TO EXCEED AN AMOUNT TO BE DETERMINED BY THE CHAIR  AS  NECESSARY  TO
FUND THE PURPOSES OF THIS SECTION, BUT IN NO CASE EXCEEDING NINE HUNDRED
MILLION DOLLARS EXCLUSIVE OF ANY BONDS ISSUED TO REFUND BONDS PREVIOUSLY
ISSUED PURSUANT TO THIS CHAPTER AND ANY BONDS ISSUED TO FUND ANY RESERVE
FUNDS  COST  OF  ISSUANCE OR ORIGINAL ISSUE PREMIUM.  THE BONDS SHALL BE
ISSUED FOR THE FOLLOWING CORPORATE PURPOSES: (A) TO  PAY  CURRENT  UNMET
COMPENSATION OR BENEFITS OF INDIVIDUAL AND GROUP SELF-INSURED EMPLOYERS;
(B) TO PURCHASE ONE OR MORE ASSUMPTIONS OF WORKERS' COMPENSATION LIABIL-
ITY  POLICIES  TO  DISCHARGE  THE LIABILITIES INCURRED OR TO BE INCURRED
UNDER SUBDIVISION THREE OR THREE-A OF  SECTION  FIFTY  OF  THE  WORKERS'
COMPENSATION  LAW;  OR  (C)  TO  PAY FINANCING COSTS OF THE BONDS ISSUED
UNDER THIS SECTION.
  (II) EACH ISSUANCE OF BONDS SHALL BE AUTHORIZED BY A RESOLUTION OF THE
AUTHORITY, PROVIDED, HOWEVER, THAT ANY SUCH RESOLUTION MAY  DELEGATE  TO
AN  OFFICER  OF THE AUTHORITY THE POWER TO ISSUE SUCH BONDS FROM TIME TO
TIME AND TO FIX THE DETAILS OF ANY SUCH ISSUES OF BONDS BY AN  APPROPRI-
ATE  CERTIFICATE OF SUCH AUTHORIZED OFFICER. EVERY ISSUE OF THE BONDS OF
THE AUTHORITY FOR THE SELF-INSURER OFFSET FUND SHALL BE SPECIAL  REVENUE
OBLIGATIONS  PAYABLE  FROM AND SECURED BY A PLEDGE OF REVENUES AND OTHER
ASSETS, INCLUDING THOSE PROCEEDS OF SUCH BONDS DEPOSITED  IN  A  RESERVE
FUND  FOR  THE  BENEFIT  OF BONDHOLDERS, EARNINGS ON SUCH FUNDS AND SUCH
OTHER FUNDS AND ASSETS AS MAY BECOME  AVAILABLE,  UPON  SUCH  TERMS  AND
CONDITIONS  AS  SPECIFIED BY THE AUTHORITY IN THE RESOLUTION UNDER WHICH
THE BONDS ARE ISSUED OR IN A RELATED TRUST INDENTURE.
  (III) THE AUTHORITY SHALL HAVE THE POWER AND IS HEREBY AUTHORIZED FROM
TIME TO TIME TO ISSUE BONDS, IN CONSULTATION WITH THE CHAIR, THE COMMIS-
SIONER OF TAXATION AND FINANCE AND THE DIRECTOR OF THE BUDGET, TO REFUND
ANY BONDS ISSUED UNDER THIS SECTION BY THE ISSUANCE OF NEW BONDS, WHETH-
ER THE BONDS TO BE REFUNDED HAVE OR HAVE NOT MATURED, AND TO ISSUE BONDS
PARTLY TO REFUND BONDS THEN OUTSTANDING AND PARTLY FOR ANY OF ITS  OTHER
CORPORATE  PURPOSES  UNDER  THIS  SECTION.  THE  REFUNDING  BONDS MAY BE
EXCHANGED FOR THE BONDS TO BE REFUNDED OR SOLD AND THE PROCEEDS  APPLIED
TO THE PURCHASE, REDEMPTION OR PAYMENT OF SUCH BONDS.

S. 2605                            131                           A. 3005

  (B)  THE  BONDS  OF  THE AUTHORITY OF EACH ISSUE SHALL BE DATED, SHALL
BEAR INTEREST (WHICH, IN THE OPINION OF BOND COUNSEL TO  THE  AUTHORITY,
MAY  BE  INCLUDABLE IN OR EXCLUDABLE FROM THE GROSS INCOME OF THE OWNERS
FOR FEDERAL INCOME TAX PURPOSES) AT SUCH FIXED OR VARIABLE RATES,  PAYA-
BLE  AT OR PRIOR TO MATURITY, AND SHALL MATURE AT SUCH TIME OR TIMES, AS
MAY BE DETERMINED BY THE AUTHORITY AND MAY  BE  MADE  REDEEMABLE  BEFORE
MATURITY,  AT  THE  OPTION OF THE AUTHORITY, AT SUCH PRICE OR PRICES AND
UNDER SUCH TERMS AND CONDITIONS AS MAY BE FIXED BY  THE  AUTHORITY.  THE
PRINCIPAL  AND  INTEREST OF SUCH BONDS MAY BE MADE PAYABLE IN ANY LAWFUL
MEDIUM. THE RESOLUTION OR THE  CERTIFICATE  OF  THE  AUTHORIZED  OFFICER
SHALL  DETERMINE  THE FORM OF THE BONDS, EITHER REGISTERED OR BOOK-ENTRY
FORM, AND THE MANNER OF EXECUTION OF THE BONDS AND SHALL FIX THE DENOMI-
NATION OR DENOMINATIONS OF THE BONDS AND THE PLACE OR PLACES OF  PAYMENT
OF  PRINCIPAL  AND  INTEREST  THEREOF, WHICH MAY BE AT ANY BANK OR TRUST
COMPANY WITHIN OR OUTSIDE THE STATE. IF ANY OFFICER WHOSE SIGNATURE OR A
FACSIMILE THEREOF APPEARS ON ANY BONDS SHALL CEASE TO  BE  SUCH  OFFICER
BEFORE  THE  DELIVERY  OF  SUCH BONDS, SUCH SIGNATURE OR FACSIMILE SHALL
NEVERTHELESS BE VALID AND SUFFICIENT FOR ALL PURPOSES  THE  SAME  AS  IF
SUCH  OFFICER  HAD REMAINED IN OFFICE UNTIL SUCH DELIVERY. THE AUTHORITY
MAY ALSO PROVIDE FOR TEMPORARY BONDS AND FOR THE REPLACEMENT OF ANY BOND
THAT SHALL BECOME MUTILATED OR SHALL BE DESTROYED OR LOST.
  (C) THE AUTHORITY MAY SELL SUCH BONDS, EITHER AT A PUBLIC  OR  PRIVATE
SALE  AND  EITHER ON A COMPETITIVE OR NEGOTIATED BASIS, PROVIDED NO SUCH
BONDS MAY BE SOLD BY THE AUTHORITY AT PRIVATE SALE UNLESS SUCH SALE  AND
THE  TERMS  THEREOF  HAVE BEEN APPROVED IN WRITING BY THE COMPTROLLER OF
THE STATE OF NEW YORK. THE PROCEEDS OF SUCH BONDS SHALL BE DISBURSED FOR
THE PURPOSES FOR WHICH SUCH BONDS WERE ISSUED UNDER SUCH RESTRICTIONS AS
THE FINANCING AGREEMENT AND THE RESOLUTION AUTHORIZING THE  ISSUANCE  OF
SUCH  BONDS OR THE RELATED TRUST INDENTURE MAY PROVIDE. SUCH BONDS SHALL
BE ISSUED WITHOUT ANY  OTHER  APPROVALS,  FILINGS,  PROCEEDINGS  OR  THE
HAPPENING  OF  ANY  OTHER CONDITIONS OTHER THAN ANY APPROVALS, FINDINGS,
PROCEEDINGS, OR  OTHER  CONDITIONS  THAT  ARE  SPECIFIED  AND  EXPRESSLY
REQUIRED  BY THIS SECTION; PROVIDED, HOWEVER, THAT ANY ISSUANCE OF BONDS
UNDER THE AUTHORITY OF THIS SECTION SHALL BE CONSIDERED  A  PROJECT  FOR
THE  PURPOSES  OF  SECTION  FIFTY-ONE  OF  THIS  CHAPTER  AND SUBJECT TO
APPROVAL UNDER SUCH SECTION.
  (D) ANY PLEDGE MADE BY THE AUTHORITY SHALL BE VALID AND BINDING AT THE
TIME THE PLEDGE IS MADE. THE ASSETS,  PROPERTY,  REVENUES,  RESERVES  OR
EARNINGS  SO  PLEDGED  SHALL  IMMEDIATELY BE SUBJECT TO THE LIEN OF SUCH
PLEDGE WITHOUT ANY PHYSICAL DELIVERY THEREOF OR FURTHER ACT AND THE LIEN
OF ANY SUCH PLEDGE SHALL BE VALID AND BINDING  AS  AGAINST  ALL  PARTIES
HAVING CLAIMS OF ANY KIND AGAINST THE AUTHORITY, IRRESPECTIVE OF WHETHER
SUCH PARTIES HAVE NOTICE THEREOF. NOTWITHSTANDING ANY OTHER PROVISION OF
LAW  TO  THE  CONTRARY, NEITHER THE BOND RESOLUTION NOR ANY INDENTURE OR
OTHER INSTRUMENT, INCLUDING THE FINANCING AGREEMENT, BY WHICH  A  PLEDGE
IS CREATED OR BY WHICH THE AUTHORITY'S INTEREST IN PLEDGED ASSETS, PROP-
ERTY,  REVENUES, RESERVES OR EARNINGS THEREON IS ASSIGNED NEED BE FILED,
PERFECTED OR RECORDED IN ANY PUBLIC RECORDS  IN  ORDER  TO  PROTECT  THE
PLEDGE  THEREOF  OR  PERFECT  THE LIEN THEREOF AS AGAINST THIRD PARTIES,
EXCEPT THAT A COPY THEREOF SHALL BE FILED IN THE RECORDS OF THE AUTHORI-
TY.
  (E) WHETHER OR NOT THE BONDS OF THE AUTHORITY ARE  OF  SUCH  FORM  AND
CHARACTER AS TO BE NEGOTIABLE INSTRUMENTS UNDER THE TERMS OF THE UNIFORM
COMMERCIAL  CODE,  THE  BONDS ARE HEREBY MADE NEGOTIABLE INSTRUMENTS FOR
ALL PURPOSES, SUBJECT ONLY TO THE PROVISIONS OF THE BONDS FOR  REGISTRA-
TION.

S. 2605                            132                           A. 3005

  (F)  AT  THE SOLE DISCRETION OF THE AUTHORITY, ANY BONDS ISSUED BY THE
AUTHORITY AND ANY ANCILLARY BOND FACILITY MADE UNDER THE  PROVISIONS  OF
THIS  SUBDIVISION  MAY  BE SECURED BY A RESOLUTION OR TRUST INDENTURE BY
AND BETWEEN THE AUTHORITY AND THE TRUST INDENTURE TRUSTEE, WHICH MAY  BE
ANY  TRUST COMPANY OR BANK HAVING THE POWERS OF A TRUST COMPANY, WHETHER
LOCATED WITHIN OR OUTSIDE THE STATE,  PROVIDED  IT  IS  CARRIED  OUT  IN
ACCORDANCE  WITH  SECTION  SIXTY-NINE-D  OF  THE STATE FINANCE LAW. SUCH
TRUST INDENTURE OR RESOLUTION PROVIDING FOR THE ISSUANCE OF  SUCH  BONDS
MAY  PROVIDE  FOR  THE  CREATION AND MAINTENANCE OF SUCH RESERVES AS THE
AUTHORITY SHALL DETERMINE TO BE PROPER AND MAY INCLUDE COVENANTS SETTING
FORTH THE DUTIES OF THE AUTHORITY IN  RELATION  TO  THE  BONDS,  OR  THE
FINANCING  AGREEMENT.  SUCH  TRUST  INDENTURE  OR RESOLUTION MAY CONTAIN
PROVISIONS: (I) RESPECTING THE CUSTODY, SAFE-GUARDING AND APPLICATION OF
ALL MONEYS AND SECURITIES; (II) PROTECTING AND ENFORCING THE RIGHTS  AND
REMEDIES  (PURSUANT  TO THE TRUST INDENTURE AND THE FINANCING AGREEMENT)
OF THE OWNERS OF THE BONDS AND ANY  OTHER  BENEFITED  PARTY  AS  MAY  BE
REASONABLE  AND PROPER AND NOT IN VIOLATION OF LAW; (III) CONCERNING THE
RIGHTS, POWERS AND DUTIES OF THE TRUSTEE APPOINTED BY BONDHOLDERS PURSU-
ANT TO PARAGRAPH (G) OF THIS SUBDIVISION; OR (IV) LIMITING OR ABROGATING
THE RIGHT OF THE BONDHOLDERS TO APPOINT A TRUSTEE. IT  SHALL  BE  LAWFUL
FOR  ANY  BANK  OR  TRUST  COMPANY  WHICH  MAY  ACT AS DEPOSITORY OF THE
PROCEEDS OF BONDS OR OF ANY  OTHER  FUNDS  OR  OBLIGATIONS  RECEIVED  ON
BEHALF  OF THE AUTHORITY TO FURNISH SUCH INDEMNIFYING BONDS OR TO PLEDGE
SUCH SECURITIES AS MAY BE REQUIRED BY  THE  AUTHORITY.  ANY  SUCH  TRUST
INDENTURE OR RESOLUTION MAY CONTAIN SUCH OTHER PROVISIONS AS THE AUTHOR-
ITY  MAY  DEEM  REASONABLE  AND  PROPER FOR PRIORITIES AND SUBORDINATION
AMONG THE OWNERS OF THE BONDS AND OTHER BENEFICIARIES. FOR  PURPOSES  OF
THIS  SECTION,  A  "RESOLUTION" OF THE AUTHORITY SHALL INCLUDE ANY TRUST
INDENTURE AUTHORIZED THEREBY.
  (G) THE AUTHORITY MAY ENTER INTO, AMEND OR TERMINATE, AS IT DETERMINES
TO BE NECESSARY OR APPROPRIATE, ANY ANCILLARY BOND FACILITY IN CONSULTA-
TION WITH THE CHAIR AND DIRECTOR OF THE BUDGET  (I)  TO  FACILITATE  THE
ISSUANCE, SALE, RESALE, PURCHASE, REPURCHASE OR PAYMENT OF BONDS, INTER-
EST  RATE SAVINGS OR MARKET DIVERSIFICATION OR THE MAKING OR PERFORMANCE
OF INTEREST RATE EXCHANGE OR SIMILAR AGREEMENTS, INCLUDING WITHOUT LIMI-
TATION BOND INSURANCE, LETTERS OF CREDIT AND LIQUIDITY FACILITIES,  (II)
TO  ATTEMPT  TO  MANAGE  OR  HEDGE RISK OR ACHIEVE A DESIRABLE EFFECTIVE
INTEREST RATE OR CASH FLOW, OR (III) TO PLACE THE OBLIGATIONS OR INVEST-
MENTS OF THE AUTHORITY, AS REPRESENTED BY THE BONDS OR THE INVESTMENT OF
RESERVED BOND PROCEEDS OR OTHER PLEDGED REVENUES  OR  OTHER  ASSETS,  IN
WHOLE OR IN PART, ON THE INTEREST RATE, CASH FLOW OR OTHER BASIS DECIDED
IN CONSULTATION WITH THE CHAIR AND DIRECTOR OF THE BUDGET, WHICH FACILI-
TY  MAY  INCLUDE WITHOUT LIMITATION CONTRACTS COMMONLY KNOWN AS INTEREST
RATE EXCHANGE OR SIMILAR AGREEMENTS, FORWARD PURCHASE CONTRACTS OR GUAR-
ANTEED INVESTMENT CONTRACTS  AND  FUTURES  OR  CONTRACTS  PROVIDING  FOR
PAYMENTS  BASED  ON  LEVELS  OF,  OR  CHANGES  IN, INTEREST RATES. THESE
CONTRACTS OR ARRANGEMENTS MAY  BE  ENTERED  INTO  BY  THE  AUTHORITY  IN
CONNECTION  WITH,  OR  INCIDENTAL  TO, ENTERING INTO, OR MAINTAINING ANY
AGREEMENT WHICH  SECURES  BONDS  OF  THE  AUTHORITY  OR  INVESTMENT,  OR
CONTRACT  PROVIDING FOR INVESTMENT OF RESERVES OR SIMILAR FACILITY GUAR-
ANTEEING AN INVESTMENT RATE FOR A PERIOD OF  YEARS  NOT  TO  EXCEED  THE
UNDERLYING TERM OF THE BONDS. THE DETERMINATION BY THE AUTHORITY THAT AN
ANCILLARY  BOND  FACILITY  OR  THE  AMENDMENT  OR TERMINATION THEREOF IS
NECESSARY OR APPROPRIATE AS AFORESAID SHALL BE CONCLUSIVE. ANY ANCILLARY
BOND FACILITY MAY CONTAIN SUCH PAYMENT, SECURITY, DEFAULT,  REMEDY,  AND
TERMINATION  PROVISIONS  AND  PAYMENTS AND OTHER TERMS AND CONDITIONS AS

S. 2605                            133                           A. 3005

DETERMINED BY THE AUTHORITY,  AFTER  GIVING  DUE  CONSIDERATION  TO  THE
CREDITWORTHINESS OF THE COUNTERPARTY OR OTHER OBLIGATED PARTY, INCLUDING
ANY  RATING  BY  ANY  NATIONALLY RECOGNIZED RATING AGENCY, AND ANY OTHER
CRITERIA AS MAY BE APPROPRIATE.
  (H)  THE AUTHORITY, SUBJECT TO SUCH AGREEMENTS WITH BONDHOLDERS AS MAY
THEN EXIST (INCLUDING PROVISIONS WHICH RESTRICT THE POWER OF THE AUTHOR-
ITY TO PURCHASE BONDS), OR WITH THE PROVIDERS OF ANY  APPLICABLE  ANCIL-
LARY  BOND  FACILITY,  SHALL  HAVE  THE POWER OUT OF ANY FUNDS AVAILABLE
THEREFOR TO PURCHASE BONDS OF THE AUTHORITY, WHICH MAY OR MAY NOT THERE-
UPON BE CANCELLED, AT A PRICE NOT SUBSTANTIALLY EXCEEDING:
  (I) IF THE BONDS ARE THEN REDEEMABLE, THE REDEMPTION PRICE THEN APPLI-
CABLE, INCLUDING ANY ACCRUED INTEREST; OR
  (II) IF THE BONDS ARE NOT THEN REDEEMABLE, THE  REDEMPTION  PRICE  AND
ACCRUED  INTEREST  APPLICABLE ON THE FIRST DATE AFTER SUCH PURCHASE UPON
WHICH THE BONDS BECOME SUBJECT TO REDEMPTION.
  (I) NEITHER THE MEMBERS OF THE AUTHORITY NOR ANY OTHER PERSON  EXECUT-
ING  THE  BONDS  OR AN ANCILLARY BOND FACILITY OF THE AUTHORITY SHALL BE
SUBJECT TO ANY PERSONAL LIABILITY BY REASON OF THE ISSUANCE OR EXECUTION
AND DELIVERY THEREOF.
  (J) THE MATURITIES OF THE BONDS SHALL NOT  EXCEED  THIRTY  YEARS  FROM
THEIR RESPECTIVE ISSUANCE.
  6.  NEITHER ANY BOND ISSUED PURSUANT TO THIS SECTION NOR ANY ANCILLARY
BOND FACILITY OF THE AUTHORITY SHALL CONSTITUTE A DEBT  OR  MORAL  OBLI-
GATION  OF  THE STATE OR A STATE SUPPORTED OBLIGATION WITHIN THE MEANING
OF ANY CONSTITUTIONAL OR STATUTORY PROVISION OR A PLEDGE  OF  THE  FAITH
AND  CREDIT  OF  THE  STATE OR OF THE TAXING POWER OF THE STATE, AND THE
STATE SHALL NOT BE LIABLE TO MAKE ANY PAYMENTS  THEREON  NOR  SHALL  ANY
BOND  OR  ANY  ANCILLARY  BOND  FACILITY  BE PAYABLE OUT OF ANY FUNDS OR
ASSETS OTHER THAN PLEDGED REVENUES AND OTHER ASSETS OF THE AUTHORITY AND
OTHER FUNDS AND ASSETS OF OR AVAILABLE TO THE AUTHORITY  PLEDGED  THERE-
FOR,  AND  THE  BONDS  AND  ANY ANCILLARY BOND FACILITY OF THE AUTHORITY
SHALL CONTAIN ON THE FACE THEREOF OR OTHER  PROMINENT  PLACE  THEREON  A
STATEMENT TO THE FOREGOING EFFECT.
  7.  (A)  SUBJECT TO THE PROVISIONS OF SUBDIVISION FIVE OF THIS SECTION
IN THE EVENT THAT THE AUTHORITY SHALL DEFAULT IN THE PAYMENT OF  PRINCI-
PAL  OF,  OR INTEREST ON, OR SINKING FUND PAYMENT ON, ANY ISSUE OF BONDS
AFTER THE SAME SHALL BECOME DUE, WHETHER AT MATURITY OR  UPON  CALL  FOR
REDEMPTION,  OR  IN THE EVENT THAT THE AUTHORITY OR THE STATE SHALL FAIL
TO COMPLY WITH ANY AGREEMENT MADE WITH  THE  HOLDERS  OF  ANY  ISSUE  OF
BONDS,  THE HOLDERS OF TWENTY-FIVE PERCENT IN AGGREGATE PRINCIPAL AMOUNT
OF THE BONDS OF SUCH ISSUE THEN OUTSTANDING, BY  INSTRUMENT  OR  INSTRU-
MENTS  FILED  IN  THE  OFFICE  OF  THE CLERK OF THE COUNTY OF ALBANY AND
PROVED OR ACKNOWLEDGED IN THE SAME MANNER AS A DEED TO BE RECORDED,  MAY
APPOINT  A  TRUSTEE  TO  REPRESENT  THE  HOLDERS  OF  SUCH BONDS FOR THE
PURPOSES HEREIN PROVIDED.
  (B) SUCH TRUSTEE, MAY, AND UPON WRITTEN  REQUEST  OF  THE  HOLDERS  OF
TWENTY-FIVE  PERCENT  IN PRINCIPAL AMOUNT OF SUCH BONDS THEN OUTSTANDING
SHALL, IN HIS OR ITS OWN NAME:
  (I) BY SUIT, ACTION OR PROCEEDING IN ACCORDANCE WITH THE  CIVIL  PRAC-
TICE LAW AND RULES, ENFORCE ALL RIGHTS OF THE BONDHOLDERS, INCLUDING THE
RIGHT  TO  REQUIRE  THE  AUTHORITY  TO CARRY OUT ANY AGREEMENT WITH SUCH
HOLDERS AND TO PERFORM ITS DUTIES UNDER THIS SECTION;
  (II) BRING SUIT UPON SUCH BONDS;
  (III) BY ACTION OR SUIT, REQUIRE THE AUTHORITY TO  ACCOUNT  AS  IF  IT
WERE THE TRUSTEE OF AN EXPRESS TRUST FOR THE HOLDERS OF SUCH BONDS;

S. 2605                            134                           A. 3005

  (IV)  BY ACTION OR SUIT, ENJOIN ANY ACTS OR THINGS WHICH MAY BE UNLAW-
FUL OR IN VIOLATION OF THE RIGHTS OF THE HOLDERS OF SUCH BONDS; AND
  (V)  DECLARE ALL SUCH BONDS DUE AND PAYABLE, AND IF ALL DEFAULTS SHALL
BE MADE GOOD, THEN, WITH THE  CONSENT  OF  THE  HOLDERS  OF  TWENTY-FIVE
PERCENT  OF  THE  PRINCIPAL AMOUNT OF SUCH BONDS THEN OUTSTANDING, ANNUL
SUCH DECLARATION AND ITS CONSEQUENCES, PROVIDED, HOWEVER,  THAT  NOTHING
IN  THIS  SUBDIVISION  SHALL  PRECLUDE  THE AUTHORITY FROM AGREEING THAT
CONSENT OF THE PROVIDER OF AN ANCILLARY BOND FACILITY IS REQUIRED FOR AN
ACCELERATION OF RELATED BONDS IN THE EVENT OF A  DEFAULT  OTHER  THAN  A
FAILURE TO PAY PRINCIPAL OF OR INTEREST ON THE BONDS WHEN DUE.
  (C)  THE  SUPREME COURT SHALL HAVE JURISDICTION OF ANY SUIT, ACTION OR
PROCEEDING BY THE TRUSTEE ON BEHALF OF SUCH BONDHOLDERS.  THE  VENUE  OF
ANY SUCH SUIT, ACTION OR PROCEEDING SHALL BE LAID IN THE COUNTY OF ALBA-
NY.
  (D) BEFORE DECLARING THE PRINCIPAL OF BONDS DUE AND PAYABLE, THE TRUS-
TEE SHALL FIRST GIVE THIRTY DAYS NOTICE IN WRITING TO THE AUTHORITY.
  8.  ALL  MONIES OF THE AUTHORITY FROM WHATEVER SOURCE DERIVED SHALL BE
PAID TO THE TREASURER OF THE AUTHORITY AND SHALL BE DEPOSITED  FORTHWITH
IN  A  BANK  OR  BANKS  DESIGNATED  BY THE AUTHORITY. THE MONIES IN SUCH
ACCOUNTS SHALL BE PAID OUT OR WITHDRAWN ON THE ORDER OF SUCH  PERSON  OR
PERSONS  AS  THE  AUTHORITY MAY AUTHORIZE TO MAKE SUCH REQUISITIONS. ALL
DEPOSITS OF SUCH MONIES SHALL EITHER BE SECURED BY  OBLIGATIONS  OF  THE
UNITED  STATES  OR OF THE STATE OR OF ANY MUNICIPALITY OF A MARKET VALUE
EQUAL AT ALL TIMES TO THE AMOUNT ON DEPOSIT, OR MONIES OF THE  AUTHORITY
MAY  BE  DEPOSITED IN MONEY MARKET FUNDS RATED IN THE HIGHEST SHORT-TERM
OR LONG-TERM RATING CATEGORY  BY  AT  LEAST  ONE  NATIONALLY  RECOGNIZED
RATING  AGENCY.  TO  THE  EXTENT  PRACTICABLE,  AND  CONSISTENT WITH THE
REQUIREMENTS OF THE AUTHORITY, ALL SUCH MONIES  SHALL  BE  DEPOSITED  IN
INTEREST BEARING ACCOUNTS. THE AUTHORITY SHALL HAVE POWER, NOTWITHSTAND-
ING  THE PROVISIONS OF THIS SECTION, TO CONTRACT WITH THE HOLDERS OF ANY
BONDS AS TO THE CUSTODY, COLLECTION, SECURITY, INVESTMENT AND PAYMENT OF
ANY MONIES OF THE AUTHORITY OR ANY MONIES HELD IN TRUST OR OTHERWISE FOR
THE PAYMENT OF BONDS OR ANY WAY TO SECURE BONDS, AND CARRY OUT ANY  SUCH
CONTRACT NOTWITHSTANDING THAT SUCH CONTRACT MAY BE INCONSISTENT WITH THE
PROVISIONS  OF  THIS  SECTION. MONIES HELD IN TRUST OR OTHERWISE FOR THE
PAYMENT OF BONDS OR IN ANY WAY TO SECURE  BONDS  AND  DEPOSITS  OF  SUCH
MONEYS  MAY BE SECURED IN THE SAME MANNER AS MONIES OF THE AUTHORITY AND
ALL BANKS AND TRUST COMPANIES ARE AUTHORIZED TO GIVE SUCH  SECURITY  FOR
SUCH  DEPOSITS.  ANY  MONIES OF THE AUTHORITY NOT REQUIRED FOR IMMEDIATE
USE OR DISBURSEMENT MAY, AT THE DISCRETION OF THE AUTHORITY, BE INVESTED
IN ACCORDANCE WITH LAW AND  SUCH  GUIDELINES  AS  ARE  APPROVED  BY  THE
AUTHORITY.
  9.  (A) IT IS HEREBY DETERMINED THAT THE CARRYING OUT BY THE AUTHORITY
OF ITS CORPORATE PURPOSES UNDER THIS SECTION ARE IN ALL RESPECTS FOR THE
BENEFIT OF THE PEOPLE OF THE STATE OF NEW YORK AND ARE PUBLIC  PURPOSES.
ACCORDINGLY,  THE AUTHORITY SHALL BE REGARDED AS PERFORMING AN ESSENTIAL
GOVERNMENTAL FUNCTION IN THE EXERCISE OF THE POWERS CONFERRED UPON IT BY
THIS SECTION. THE PROPERTY OF THE AUTHORITY, ITS INCOME  AND  ITS  OPER-
ATIONS  SHALL  BE EXEMPT FROM TAXATION, ASSESSMENTS, SPECIAL ASSESSMENTS
AND AD VALOREM LEVIES. THE AUTHORITY SHALL NOT BE REQUIRED  TO  PAY  ANY
FEES,  TAXES,  SPECIAL  AD  VALOREM  LEVIES  OR ASSESSMENTS OF ANY KIND,
WHETHER STATE OR LOCAL, INCLUDING, BUT NOT  LIMITED  TO,  REAL  PROPERTY
TAXES, FRANCHISE TAXES, SALES TAXES OR OTHER TAXES, UPON OR WITH RESPECT
TO ANY PROPERTY OWNED BY IT OR UNDER ITS JURISDICTION, CONTROL OR SUPER-
VISION,  OR UPON THE USES THEREOF, OR UPON OR WITH RESPECT TO ITS ACTIV-
ITIES OR OPERATIONS IN FURTHERANCE OF THE POWERS CONFERRED  UPON  IT  BY

S. 2605                            135                           A. 3005

THIS  SECTION, OR UPON OR WITH RESPECT TO ANY ASSESSMENTS, RATES, CHARG-
ES, FEES, REVENUES OR OTHER INCOME RECEIVED BY THE AUTHORITY.
  (B)  ANY BONDS ISSUED PURSUANT TO THIS SECTION, THEIR TRANSFER AND THE
INCOME THEREFROM SHALL, AT ALL TIMES, BE EXEMPT FROM TAXATION EXCEPT FOR
ESTATE OR GIFT TAXES AND TAXES ON TRANSFERS.
  (C) THE STATE HEREBY COVENANTS WITH THE PURCHASERS AND WITH ALL SUBSE-
QUENT HOLDERS AND TRANSFEREES OF BONDS ISSUED BY THE AUTHORITY  PURSUANT
TO  THIS  SECTION, IN CONSIDERATION OF THE ACCEPTANCE OF AND PAYMENT FOR
THE BONDS, THAT THE BONDS OF  THE  AUTHORITY  ISSUED  PURSUANT  TO  THIS
SECTION  AND THE INCOME THEREFROM AND ALL ASSESSMENTS, REVENUES, MONEYS,
AND OTHER PROPERTY RECEIVED BY THE AUTHORITY AND PLEDGED TO  PAY  OR  TO
SECURE THE PAYMENT OF SUCH BONDS SHALL AT ALL TIMES BE EXEMPT FROM TAXA-
TION.
  (D)  IN  THE  CASE OF ANY BONDS OF THE AUTHORITY, INTEREST ON WHICH IS
INTENDED TO BE EXEMPT FROM  FEDERAL  INCOME  TAX,  THE  AUTHORITY  SHALL
PRESCRIBE  RESTRICTIONS  ON  THE USE OF THE PROCEEDS THEREOF AND RELATED
MATTERS ONLY AS ARE NECESSARY OR DESIRABLE TO ASSURE SUCH EXEMPTION, AND
THE RECIPIENTS OF SUCH PROCEEDS SHALL BE BOUND  THEREBY  TO  THE  EXTENT
SUCH  RESTRICTIONS SHALL BE MADE APPLICABLE TO THEM. ANY SUCH RECIPIENT,
INCLUDING, BUT NOT LIMITED TO, THE STATE, THE STATE  INSURANCE  FUND,  A
PUBLIC  BENEFIT  CORPORATION,  AND  A SCHOOL DISTRICT OR MUNICIPALITY IS
AUTHORIZED TO EXECUTE A TAX REGULATORY AGREEMENT WITH THE  AUTHORITY  OR
THE  STATE,  AS  THE CASE MAY BE, AND THE EXECUTION OF SUCH AN AGREEMENT
MAY BE TREATED BY THE AUTHORITY OR THE STATE AS A CONDITION TO RECEIVING
ANY SUCH PROCEEDS.
  10. (A) THE STATE,  SOLELY  WITH  RESPECT  TO  THE  RESOURCES  OF  THE
SELF-INSURER  OFFSET  FUND  AND  AS  SET  FORTH IN THE SELF-INSURED BOND
FINANCING AGREEMENT, COVENANTS WITH THE PURCHASERS  AND  ALL  SUBSEQUENT
OWNERS AND TRANSFEREES OF BONDS ISSUED BY THE AUTHORITY PURSUANT TO THIS
SECTION  IN CONSIDERATION OF THE ACCEPTANCE OF THE PAYMENT OF THE BONDS,
UNTIL THE BONDS, TOGETHER WITH THE INTEREST THEREON,  WITH  INTEREST  ON
ANY  UNPAID  INSTALLMENT  OF  INTEREST  AND  ALL  COSTS  AND EXPENSES IN
CONNECTION WITH ANY ACTION OR PROCEEDING ON BEHALF OF  THE  OWNERS,  ARE
FULLY  MET  AND  DISCHARGED  OR  UNLESS EXPRESSLY PERMITTED OR OTHERWISE
AUTHORIZED BY THE TERMS OF EACH FINANCING  AGREEMENT  AND  ANY  CONTRACT
MADE  OR  ENTERED  INTO BY THE AUTHORITY WITH OR FOR THE BENEFIT OF SUCH
OWNERS:
  (I) THAT IN THE EVENT BONDS OF THE AUTHORITY  ARE  SOLD  AS  FEDERALLY
TAX-EXEMPT  BONDS,  THE  STATE SHALL NOT TAKE ANY ACTION OR FAIL TO TAKE
ACTION THAT WOULD RESULT IN THE LOSS OF SUCH FEDERAL  TAX  EXEMPTION  ON
SAID BONDS;
  (II)  THAT  THE  STATE  WILL  CAUSE THE WORKERS' COMPENSATION BOARD TO
IMPOSE, CHARGE, RAISE, LEVY, COLLECT AND APPLY THE  PLEDGED  ASSESSMENTS
FOR THE PAYMENT OF DEBT SERVICE REQUIREMENTS IN EACH YEAR IN WHICH BONDS
ARE OUTSTANDING; AND
  (III)  THAT  THE STATE, SUBSEQUENT TO THE ISSUANCE OF BONDS UNDER THIS
SECTION:
  (A) WILL NOT MATERIALLY LIMIT OR ALTER THE DUTIES IMPOSED ON THE WORK-
ERS' COMPENSATION BOARD, THE AUTHORITY, AND OTHER OFFICERS OF THE  STATE
BY  THE  SELF-INSURED  BOND FINANCING AGREEMENT AND THE BOND PROCEEDINGS
AUTHORIZING THE ISSUANCE OF BONDS WITH RESPECT TO APPLICATION OF PLEDGED
ASSESSMENTS FOR THE PAYMENT OF DEBT SERVICE REQUIREMENTS;
  (B) WILL NOT ISSUE ANY BONDS, NOTES  OR  OTHER  EVIDENCES  OF  INDEBT-
EDNESS,  OTHER  THAN  THE  BONDS  AUTHORIZED BY THIS SECTION, HAVING ANY
RIGHTS ARISING OUT OF SUBPARAGRAPH TWO OF  PARAGRAPH  C  OF  SUBDIVISION
FIVE  OF  SECTION FIFTY OF THE WORKERS' COMPENSATION LAW OR THIS SECTION

S. 2605                            136                           A. 3005

OR SECURED BY ANY PLEDGE OF OR OTHER LIEN  OR  CHARGE  ON  THE  REVENUES
PLEDGED  FOR  THE PAYMENT OF DEBT SERVICE REQUIREMENTS; EXCEPT FOR BONDS
AUTHORIZED UNDER SUBDIVISION EIGHT OF SECTION FIFTEEN  OF  THE  WORKERS'
COMPENSATION LAW.
  (C)  WILL  NOT CREATE OR CAUSE TO BE CREATED ANY LIEN OR CHARGE ON THE
PLEDGED REVENUES, OTHER THAN A LIEN OR PLEDGE CREATED  THEREON  PURSUANT
TO SAID SECTIONS;
  (D)  WILL  CARRY  OUT  AND  PERFORM,  OR  CAUSE  TO BE CARRIED OUT AND
PERFORMED, EACH AND EVERY PROMISE, COVENANT, AGREEMENT OR CONTRACT  MADE
OR  ENTERED  INTO BY THE FINANCING AGREEMENT, BY THE AUTHORITY OR ON ITS
BEHALF WITH THE BOND OWNERS OF ANY BONDS;
  (E) WILL NOT IN ANY WAY IMPAIR THE RIGHTS, EXEMPTIONS OR  REMEDIES  OF
THE BOND OWNERS; AND
  (F)  WILL  NOT  LIMIT,  MODIFY, RESCIND, REPEAL OR OTHERWISE ALTER THE
RIGHTS OR OBLIGATIONS OF  THE  APPROPRIATE  OFFICERS  OF  THE  STATE  TO
IMPOSE,  MAINTAIN,  CHARGE  OR  COLLECT THE ASSESSMENTS CONSTITUTING THE
PLEDGED REVENUES AS MAY BE NECESSARY TO PRODUCE SUFFICIENT  REVENUES  TO
FULFILL  THE  TERMS  OF  THE PROCEEDINGS AUTHORIZING THE ISSUANCE OF THE
BONDS, INCLUDING PLEDGED REVENUE COVERAGE REQUIREMENTS.
  (B) NOTWITHSTANDING THE PROVISIONS OF PARAGRAPH (A) OF  THIS  SUBDIVI-
SION:
  (I)  THE  REMEDIES  AVAILABLE TO THE AUTHORITY AND THE BONDHOLDERS FOR
ANY BREACH OF THE PLEDGES AND AGREEMENTS OF THE STATE SET FORTH IN  THIS
SUBDIVISION SHALL BE LIMITED TO INJUNCTIVE RELIEF;
  (II)  NOTHING  IN  THIS  SUBDIVISION  SHALL PREVENT THE AUTHORITY FROM
ISSUING EVIDENCES OF INDEBTEDNESS:
  (A) WHICH ARE SECURED BY A PLEDGE OR LIEN WHICH IS, AND SHALL  ON  THE
FACE  THEREOF,  BE  EXPRESSLY  SUBORDINATE AND JUNIOR IN ALL RESPECTS TO
EVERY LIEN AND PLEDGE CREATED BY OR PURSUANT TO SAID SECTIONS; OR
  (B) WHICH ARE SECURED BY A PLEDGE  OF  OR  LIEN  ON  MONEYS  OR  FUNDS
DERIVED  ON OR AFTER THE DATE EVERY PLEDGE OR LIEN THEREON CREATED BY OR
PURSUANT TO SAID SECTIONS SHALL BE DISCHARGED AND SATISFIED; AND
  (III) NOTHING IN THIS SUBDIVISION SHALL PRECLUDE THE STATE FROM  EXER-
CISING  ITS  POWER,  THROUGH A CHANGE IN LAW, TO LIMIT, MODIFY, RESCIND,
REPEAL OR OTHERWISE ALTER THE CHARACTER OF THE  PLEDGED  ASSESSMENTS  OR
REVENUES  OR  TO  SUBSTITUTE  LIKE  OR DIFFERENT SOURCES OF ASSESSMENTS,
TAXES, FEES, CHARGES OR OTHER RECEIPTS AS PLEDGED REVENUES IF  AND  WHEN
ADEQUATE  PROVISION SHALL BE MADE BY LAW FOR THE PROTECTION OF THE HOLD-
ERS OF OUTSTANDING BONDS PURSUANT TO THE  PROCEEDINGS  UNDER  WHICH  THE
BONDS  ARE  ISSUED,  INCLUDING CHANGING OR ALTERING THE METHOD OF ESTAB-
LISHING THE SPECIAL ASSESSMENTS.
  (C) THE AUTHORITY IS AUTHORIZED TO INCLUDE THIS COVENANT OF THE STATE,
AS A CONTRACT OF THE STATE, IN ANY AGREEMENT WITH THE OWNER OF ANY BONDS
ISSUED PURSUANT TO THIS SECTION AND IN ANY CREDIT FACILITY OR REIMBURSE-
MENT AGREEMENT WITH RESPECT TO SUCH BONDS.  NOTWITHSTANDING THESE PLEDG-
ES AND AGREEMENTS BY THE STATE, THE ATTORNEY GENERAL MAY IN HIS  OR  HER
DISCRETION  ENFORCE  ANY  AND ALL PROVISIONS RELATED TO THE SELF-INSURED
BOND FUND, WITHOUT LIMITATION.
  (D) PRIOR TO THE DATE WHICH IS ONE YEAR AND ONE DAY AFTER THE AUTHORI-
TY NO LONGER HAS ANY BONDS ISSUED PURSUANT TO THIS SECTION  OUTSTANDING,
THE AUTHORITY SHALL HAVE NO AUTHORITY TO FILE A VOLUNTARY PETITION UNDER
CHAPTER  NINE OF THE FEDERAL BANKRUPTCY CODE OR SUCH CORRESPONDING CHAP-
TER OR SECTIONS AS MAY BE IN EFFECT, AND NEITHER ANY PUBLIC OFFICER  NOR
ANY  ORGANIZATION,  ENTITY OR OTHER PERSON SHALL AUTHORIZE THE AUTHORITY
TO BE OR BECOME A DEBTOR UNDER CHAPTER NINE OR ANY SUCCESSOR  OR  CORRE-
SPONDING CHAPTER OR SECTIONS DURING SUCH PERIOD. THE STATE HEREBY COVEN-

S. 2605                            137                           A. 3005

ANTS  WITH  THE OWNERS OF THE BONDS OF THE AUTHORITY THAT THE STATE WILL
NOT LIMIT OR ALTER THE DENIAL OF AUTHORITY UNDER THIS SUBDIVISION DURING
THE PERIOD REFERRED TO IN  THE  PRECEDING  SENTENCE.  THE  AUTHORITY  IS
AUTHORIZED  TO  INCLUDE THIS COVENANT OF THE STATE, AS A CONTRACT OF THE
STATE, IN ANY AGREEMENT WITH THE OWNER OF ANY BONDS ISSUED  PURSUANT  TO
THIS SECTION.
  (E)  TO  THE EXTENT DEEMED APPROPRIATE BY THE AUTHORITY ANY PLEDGE AND
AGREEMENT OF THE STATE WITH RESPECT TO THE BONDS  AS  PROVIDED  IN  THIS
SECTION MAY BE EXTENDED TO, AND INCLUDED IN, ANY ANCILLARY BOND FACILITY
AS  A PLEDGE AND AGREEMENT OF THE STATE WITH THE AUTHORITY AND THE BENE-
FITED PARTY.
  11. THE BONDS OF THE AUTHORITY ARE HEREBY MADE SECURITIES IN WHICH ALL
PUBLIC OFFICERS AND BODIES OF THIS  STATE  AND  ALL  MUNICIPALITIES  AND
POLITICAL  SUBDIVISIONS,  ALL  INSURANCE  COMPANIES AND ASSOCIATIONS AND
OTHER PERSONS CARRYING ON AN INSURANCE  BUSINESS,  ALL  BANKS,  BANKERS,
TRUST  COMPANIES,  SAVINGS  BANKS  AND  SAVINGS  ASSOCIATIONS, INCLUDING
SAVINGS AND LOAN ASSOCIATIONS, BUILDING AND LOAN  ASSOCIATIONS,  INVEST-
MENT  COMPANIES  AND  OTHER  PERSONS CARRYING ON A BANKING BUSINESS, ALL
ADMINISTRATORS, GUARDIANS, EXECUTORS, TRUSTEES  AND  OTHER  FIDUCIARIES,
AND ALL OTHER PERSONS WHATSOEVER WHO ARE NOW OR MAY HEREAFTER BE AUTHOR-
IZED  TO INVEST IN BONDS OR IN OTHER OBLIGATIONS OF THE STATE, MAY PROP-
ERLY AND LEGALLY INVEST FUNDS, INCLUDING CAPITAL, IN  THEIR  CONTROL  OR
BELONGING  TO  THEM. THE BONDS ARE ALSO HEREBY MADE SECURITIES WHICH MAY
BE DEPOSITED WITH AND MAY BE RECEIVED BY ALL PUBLIC OFFICERS AND  BODIES
OF  THE  STATE AND ALL MUNICIPALITIES, POLITICAL SUBDIVISIONS AND PUBLIC
CORPORATIONS FOR ANY PURPOSE FOR WHICH THE DEPOSIT  OF  BONDS  OR  OTHER
OBLIGATIONS OF THE STATE IS NOW OR MAY HEREAFTER BE AUTHORIZED.
  12.  (A) AN ACTION AGAINST THE AUTHORITY FOR DEATH, PERSONAL INJURY OR
PROPERTY DAMAGE OR FOUNDED ON TORT SHALL NOT BE COMMENCED MORE THAN  ONE
YEAR  AND  NINETY  DAYS  AFTER  THE  CAUSE  OF ACTION THEREOF SHALL HAVE
ACCRUED NOR UNLESS A NOTICE OF CLAIM SHALL HAVE BEEN SERVED ON A  MEMBER
OF  THE  AUTHORITY  OR  OFFICER  OR  EMPLOYEE  THEREOF DESIGNATED BY THE
AUTHORITY FOR SUCH PURPOSE, WITHIN THE TIME LIMITED BY, AND  IN  COMPLI-
ANCE  WITH  THE REQUIREMENTS OF SECTION FIFTY-E OF THE GENERAL MUNICIPAL
LAW.
  (B) THE VENUE OF EVERY ACTION,  SUIT  OR  SPECIAL  PROCEEDING  BROUGHT
AGAINST  THE  AUTHORITY OR CONCERNING THE VALIDITY OF THIS SECTION SHALL
BE LAID IN THE COUNTY OF ALBANY.
  (C) THE BONDS, AND ANY OBLIGATION OF THE AUTHORITY UNDER ANY ANCILLARY
BOND FACILITY, MAY CONTAIN A RECITAL THAT THEY ARE ISSUED  OR  EXECUTED,
RESPECTIVELY,  PURSUANT  TO THIS SECTION, WHICH RECITAL SHALL BE CONCLU-
SIVE EVIDENCE OF THE VALIDITY OF THE  BONDS  AND  ANY  SUCH  OBLIGATION,
RESPECTIVELY,  AND  THE  REGULARITY  OF THE PROCEEDINGS OF THE AUTHORITY
RELATING THERETO.
  13. ANY ACTION OR PROCEEDING TO WHICH THE AUTHORITY OR THE  PEOPLE  OF
THE STATE MAY BE PARTIES, IN WHICH ANY QUESTION ARISES AS TO THE VALIDI-
TY  OF  THIS  SECTION, SHALL BE PREFERRED OVER ALL OTHER CIVIL CAUSES OF
ACTION OR CASES, EXCEPT ELECTION CAUSES  OF  ACTION  OR  CASES,  IN  ALL
COURTS  OF  THE STATE AND SHALL BE HEARD AND DETERMINED IN PREFERENCE TO
ALL OTHER CIVIL BUSINESS PENDING THEREIN, EXCEPT ELECTION CAUSES,  IRRE-
SPECTIVE  OF  POSITION  ON  THE CALENDAR.   THE SAME PREFERENCE SHALL BE
GRANTED UPON APPLICATION OF THE AUTHORITY OR ITS COUNSEL IN  ANY  ACTION
OR  PROCEEDING  QUESTIONING  THE  VALIDITY  OF THIS SECTION IN WHICH THE
AUTHORITY MAY BE ALLOWED TO INTERVENE.

S. 2605                            138                           A. 3005

  14. NOTWITHSTANDING ANY LAW TO THE CONTRARY, NO FUNDS OF THE  SELF-IN-
SURER OFFSET FUND MAY BE USED FOR ANY PURPOSE OTHER THAN THOSE SET FORTH
IN THIS SECTION AND SECTION FIFTY-A OF THE WORKERS' COMPENSATION LAW.
  S  36.  Subdivision  1  of  section  17  of the public officers law is
amended by adding a new paragraph (x) to read as follows:
  (X) FOR THE PURPOSES  OF  THIS  SECTION,  THE  TERM  "EMPLOYEE"  SHALL
INCLUDE  THE MEMBERS OF THE  BOARD, OFFICERS AND EMPLOYEES OF THE DORMI-
TORY AUTHORITY FOR PURPOSES OF SECTION SIXTEEN HUNDRED EIGHTY-Q  OF  THE
PUBLIC AUTHORITIES LAW.
  S  37.  This act shall take effect immediately, provided, however that
section ten of this act shall take effect on the ninetieth day after  it
shall  have  become  a  law, and section fourteen of this act shall take
effect on the thirtieth day after it shall have become a law.

                                 PART P

  Section 1. Subdivision 6 of section 163 of the state finance  law,  as
amended  by  chapter  173  of  the  laws  of 2010, is amended to read as
follows:
  6. Discretionary buying thresholds. Pursuant to guidelines established
by the state procurement council: the commissioner may purchase services
and commodities in an amount not exceeding eighty-five thousand  dollars
without  a  formal  competitive  process;  state  agencies  may purchase
services and commodities in  an  amount  not  exceeding  fifty  thousand
dollars  without  a  formal  competitive process; and state agencies may
purchase commodities or services from small business concerns  or  those
certified pursuant to article fifteen-A of the executive law, or commod-
ities  or technology that are recycled or remanufactured, OR COMMODITIES
THAT ARE FOOD GROWN, PRODUCED OR HARVESTED IN NEW  YORK  STATE  OR  FOOD
MANUFACTURED OR PROCESSED INTO FOOD PRODUCTS IN FACILITIES LOCATED WITH-
IN  NEW  YORK  STATE  in  an  amount  not exceeding two hundred thousand
dollars without a formal competitive process.
  S 2. This act shall take effect immediately; provided,  however,  that
the  amendments  to section 163 of the state finance law made by section
one of this act shall not affect the repeal of such section and shall be
deemed repealed therewith.

                                 PART Q

  Section 1. Subdivisions 1, 2, 3 and 6 of section 29-h of the executive
law, as added by section 10-a of part B of chapter 56  of  the  laws  of
2010, paragraph c of subdivision 2 as amended by section 8 and paragraph
a  of  subdivision  6 as amended by section 9 of part G of chapter 55 of
the laws of 2012, are amended to read as follows:
  1. Creation. There is hereby created the intrastate mutual aid program
to complement existing mutual aid agreements in the event of a  disaster
that  results in a formal declaration of an emergency by a participating
local government. All local  governments  within  the  state,  excepting
those  which  affirmatively choose not to participate in accordance with
subdivision four of this section, are deemed to be participants  in  the
program;  PROVIDED, HOWEVER, WITH RESPECT TO SCHOOL DISTRICTS AND BOARDS
OF COOPERATIVE EDUCATIONAL SERVICES, SUCH PARTICIPATION SHALL BE LIMITED
TO THE SHARING OF FACILITIES MANAGEMENT AND ADMINISTRATIVE PERSONNEL AND
EQUIPMENT.
  2. Definitions. As used in this section,  the  following  terms  shall
have the following meanings:

S. 2605                            139                           A. 3005

  a.  "Employee"  means  any  person  holding  a  position  by election,
appointment, or employment by a local government;
  b.  "Local  government"  means  any  county, city, town [or], village,
SCHOOL DISTRICT OR BOARD OF  COOPERATIVE  EDUCATIONAL  SERVICES  of  the
state;
  c.  "Local  emergency  management director" means the local government
official responsible for emergency preparedness, response and recovery;
  d. "Requesting local government" means the local government that  asks
another  local government for assistance during a declared emergency, or
for the purposes of conducting training, or undertaking a drill or exer-
cise;
  e. "Assisting local government" means one or  more  local  governments
that  provide  assistance  pursuant  to  a request for assistance from a
requesting local government during a  declared  emergency,  or  for  the
purposes  of  conducting  training,  or undertaking a drill or exercise;
[and]
  f. "Disaster" shall have the same meaning as in section twenty of this
article;
  G. "SCHOOL DISTRICT" SHALL HAVE THE SAME MEANING AS IN  TITLE  TWO  OF
THE  EDUCATION LAW, INCLUDING ANY PUBLIC SCHOOL DISTRICT AND ANY SPECIAL
ACT SCHOOL DISTRICT AS DEFINED IN  SECTION  FOUR  THOUSAND  ONE  OF  THE
EDUCATION LAW; AND
  H.  "BOARD  OF  COOPERATIVE  EDUCATIONAL SERVICES" SHALL HAVE THE SAME
MEANING AS IN SECTION NINETEEN HUNDRED FIFTY OF THE EDUCATION LAW.
  3. Intrastate mutual  aid  program  committee  established;  meetings;
powers  and  duties.  a.  There  is  hereby  created within the disaster
preparedness commission an intrastate mutual aid program committee,  for
purposes of this section to be referred to as the committee, which shall
be  chaired by the commissioner of the division of homeland security and
emergency services, and shall include the state fire administrator,  the
commissioner  of  health,  THE COMMISSIONER OF EDUCATION and the commis-
sioner of agriculture and markets, provided that each such official  may
appoint  a  designee  to serve in his or her place on the committee. The
committee shall also include  five  representatives  from  local  public
safety  or  emergency  response  agencies  AND ONE REPRESENTATIVE FROM A
SCHOOL DISTRICT OR  BOARD  OF  COOPERATIVE  EDUCATIONAL  SERVICES.  SUCH
REPRESENTATIVES,  who shall serve a maximum two-year term, [to be] SHALL
BE appointed by the commissioner of the division  of  homeland  security
and emergency services, with regard to a balance of geographic represen-
tation and discipline expertise.
  b.  The committee, on the call of the chairperson, shall meet at least
twice each year and at such other times as may be necessary. The  agenda
and meeting place of all regular meetings shall be made available to the
public  in  advance of such meetings and all such meetings shall be open
to the public.
  c. The committee shall have the following powers and responsibilities:
  (1) to promulgate rules and regulations, acting through  the  division
of homeland security and emergency services, to implement the intrastate
mutual aid program as described in this section;
  (2) to develop policies, procedures and guidelines associated with the
program,  including  a  process for the reimbursement of assisting local
governments by requesting local governments;
  (3) to evaluate the use of the intrastate mutual aid program;
  (4) to examine issues facing participating local governments regarding
the implementation of the intrastate mutual aid program; and

S. 2605                            140                           A. 3005

  (5)  to  prepare  reports  to  the  disaster  preparedness  commission
discussing  the  effectiveness  of  mutual  aid  in the state and making
recommendations for improving the efficacy of the system,  if  appropri-
ate.
  6.  Requesting  assistance under the intrastate mutual aid program. a.
[A] SUBJECT TO THE RESTRICTIONS ON SCHOOL DISTRICTS AND BOARDS OF  COOP-
ERATIVE  EDUCATIONAL  SERVICES  SET  FORTH  IN  SUBDIVISION  ONE OF THIS
SECTION, A participating local  government  may  request  assistance  of
other   participating   local  governments  in  preventing,  mitigating,
responding to and recovering from disasters that result in  locally-dec-
lared emergencies, or for the purpose of conducting multi-jurisdictional
or  regional  training, drills or exercises. Requests for assistance may
be made verbally or in writing; verbal requests shall be memorialized in
writing as  soon  thereafter  as  is  practicable.  Notwithstanding  the
provisions  of  section twenty-five of this article, the local emergency
management director shall have  the  authority  to  request  and  accept
assistance  and  deploy  the  local resources of his or her jurisdiction
under the intrastate mutual aid program.
  b. Once an emergency is declared at the county level, all requests and
offers for assistance, to the extent practical, shall  be  made  through
the  county  emergency  management office, or in the case of the city of
New York, through the city emergency management office. All requests for
assistance should include:
  (1) a description of the disaster;
  (2) a description of the assistance needed;
  (3) a description of the mission for which assistance is requested;
  (4) an estimate of the length of time the assistance will be needed;
  (5) the specific place and time for staging of the  assistance  and  a
point of contact at that location; and
  (6)  any other information that will enable an assisting local govern-
ment to respond appropriately to the request.
  c. Assisting local governments shall submit to  the  requesting  local
government an inventory of the resources being deployed.
  d. The written request for assistance and all inventories of resources
being  deployed  shall be submitted to the division of homeland security
and emergency services within three calendar days of the request for  or
deployment of such resources.
  S 2. This act shall take effect immediately.

                                 PART R

  Section  1. Section 73 of the public officers law is amended by adding
a new subdivision 8-c to read as follows:
  8-C. NOTWITHSTANDING THE PROVISIONS OF SUBPARAGRAPHS (I) AND  (II)  OF
PARAGRAPH (A) OF SUBDIVISION EIGHT OF THIS SECTION, A FORMER STATE OFFI-
CER  OR EMPLOYEE WHO, PRIOR TO HIS OR HER SEPARATION FROM STATE SERVICE,
WAS EMPLOYED PERFORMING DIRECT CARE,  CLINICAL  CARE,  CASE  MANAGEMENT,
SERVICE  COORDINATION OR OTHER RELATED SUPPORT DUTIES TO INDIVIDUALS, IS
NOT BARRED FROM RENDERING SUCH SERVICES IN THE FUTURE TO INDIVIDUALS WHO
WERE RECEIVING THOSE SERVICES FROM SUCH EMPLOYEE PRIOR TO LEAVING  STATE
SERVICE.
  S 2. This act shall take effect immediately.

                                 PART S

S. 2605                            141                           A. 3005

  Section 1. Subdivision (a) of section 3 of part F of chapter 56 of the
laws  of  2011,  relating  to  permitting  authorized  state entities to
utilize the design-build method for infrastructure projects, is  amended
to read as follows:
  (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] ANY STATE DEPARTMENT  OR
DIVISION, BOARD, COMMISSION, BUREAU, OFFICE, COMMITTEE OR COUNCIL OF ANY
STATE  DEPARTMENT,  ANY  PUBLIC BENEFIT CORPORATION, PUBLIC AUTHORITY OR
COMMISSION, AT LEAST ONE OF WHOSE MEMBERS IS APPOINTED BY THE  GOVERNOR,
BUT  SHALL  NOT  INCLUDE  THE  STATE  UNIVERSITY OF NEW YORK OR THE CITY
UNIVERSITY OF NEW YORK.
  S 2. Section 3 of part F of chapter 56 of the laws of  2011,  relating
to  permitting  authorized  state  entities  to utilize the design-build
method for infrastructure projects, is amended by adding a new  subdivi-
sion (e-1) to read as follows:
  (E-1)  "DESIGN-BUILD-FINANCE  CONTRACT"  SHALL MEAN A CONTRACT FOR THE
DESIGN, CONSTRUCTION AND FINANCING, WHICH MAY INCLUDE  PRIVATE  CAPITAL,
OF A CAPITAL PROJECT WITH A SINGLE ENTITY, WHICH MAY BE A TEAM COMPRISED
OF SEPARATE ENTITIES.
  S  3.  Section 4 of part F of chapter 56 of the laws of 2011, relating
to permitting authorized state  entities  to  utilize  the  design-build
method for infrastructure projects, is amended to read as follows:
  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 8 OF THE
PUBLIC BUILDINGS LAW and the provisions of any other law to the  contra-
ry,  and  in conformity with the requirements of this act, an authorized
state entity may  utilize  the  alternative  delivery  [method]  METHODS
referred to as design-build contracts AND DESIGN-BUILD-FINANCE CONTRACTS
for  capital  projects  related  to the state's physical infrastructure,
including, but not limited to, the state's highways, bridges, BUILDINGS,
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  highways,  bridges,  BUILDINGS,  dams,  flood control projects,
canals, and parks or to improve or add to the state's highways, bridges,
BUILDINGS, 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 preservation, or the department
of environmental conservation, the total cost of each such project shall
not be less than one million two hundred thousand dollars ($1,200,000).
  S  4.  Section 5 of part F of chapter 56 of the laws of 2011, relating
to permitting authorized state  entities  to  utilize  the  design-build
method for infrastructure projects, is amended to read as follows:
  S  5. An entity selected by an authorized state entity to enter into a
design-build  contract  OR  A  DESIGN-BUILD-FINANCE  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   OR
DESIGN-BUILD-FINANCE  CONTRACT.   Such list shall consist of a specified
number of entities, as determined by an  authorized  state  entity,  and
shall  be  generated  based upon the authorized state entity's review of
responses to a  publicly  advertised  request  for  qualifications.  The

S. 2605                            142                           A. 3005

authorized  state  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  generat-
ing  the  list. Such selection criteria shall include the qualifications
and experience of the design and construction team, organization, demon-
strated responsibility, ability of the team or of a member or members of
the  team  to  comply  with  applicable  requirements,   including   the
provisions  of  articles  145,  147  and  148 of the education law, past
record of compliance with the labor law, and such  other  qualifications
the  authorized state entity deems appropriate which may include but are
not limited to project understanding, financial capability and record of
past performance. The authorized state entity shall  evaluate  and  rate
all  entities  responding to the request for qualifications.  Based upon
such ratings, the authorized state 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 applicable federal law,
the authorized state entity shall consider, when awarding  any  contract
pursuant  to  this  section,  the  participation of: (i) firms certified
pursuant to article 15-A of the executive law as minority 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  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. The authorized state 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 list-
ed pursuant to subdivision (a) of this section unless otherwise approved
by  the  authorized  state  entity.  The request for proposals shall set
forth the project's scope of work, and other requirements, as determined
by the authorized state entity.  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  qualifica-
tions and experience of the design-build OR DESIGN-BUILD-FINANCE entity,
and other factors deemed pertinent by the authorized state entity, which
may  include, but shall not be limited to, the proposal's project imple-
mentation, ability to complete the work in  a  timely  and  satisfactory
manner, maintenance costs of the completed project, maintenance of traf-
fic  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 consideration of these and other speci-
fied criteria deemed pertinent to the project, offers the best value  to
the  state, as determined by the authorized state entity. Nothing herein
shall be construed to prohibit the authorized  entity  from  negotiating
final contract terms and conditions including cost.
  S  5. Section 12 of part F of chapter 56 of the laws of 2011, relating
to permitting authorized state  entities  to  utilize  the  design-build
method for infrastructure projects, is amended to read as follows:
  S  12. The submission of a proposal or responses or the execution of a
design-build contract OR DESIGN-BUILD-FINANCE CONTRACT pursuant to  this
act  shall  not  be  construed  to be a violation of section 6512 of the
education law.

S. 2605                            143                           A. 3005

  S 6. This act shall take effect immediately; provided,  however,  that
the amendments to sections 3, 4, 5 and 12 of part F of chapter 56 of the
laws  of  2011  made  by sections one through five of this act shall not
affect the repeal of such part and shall be deemed to be repealed there-
with.
  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 S of this act shall be
as specifically set forth in the last section of such Parts.

S2605A - Bill Details

See Assembly Version of this Bill:
A3005D
Law Section:
Budget Bills
Laws Affected:
Amd Various Laws, generally

S2605A - Bill Texts

view summary

Enacts major components of legislation into law that are necessary to implement the public protection and general government budget for the 2013-2014 state fiscal year; authorizes the governor to close correctional facilities; authorizes the urban development corporation, the office of general services and the department of corrections and community supervision to transfer and convey certain lands in the county of Bronx, city of New York, to the Thomas Mott Osborne Memorial Fund, Inc.; increases surcharges for certain violations; establishes enhanced penalties for multiple violations of the mobile phone and texting prohibitions; relates to adopting the national crime prevention and privacy compact; extends numerous provisions of law; relates to the disposition of monies recovered by county district attorneys before the filing of an accusatory instrument; creates a new New York state gaming commission account; relates to reducing purse amounts paid from the VLT program; relates to reforming the local government citizens re-organization empowerment grant program and the local government efficiency grant program; relates to providing for the consolidation of certain information technology staff and services within the office of information technology services; relates to the office of cyber security; increases discretionary thresholds for procurement of food commodities; includes school districts and boards of cooperative educational services in the intrastate mutual aid program; relates to state aid on certain state leased or state-owned land; relates to emergency alerts; relates to extending the authority for the joint underwriting association to issue broad form insurance coverage; and relates to eliminating the earnings limitation for retired police officers employed as school resource officers.

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

    S. 2605--A                                            A. 3005--A

                      S E N A T E - A S S E M B L Y

                            January 22, 2013
                               ___________

IN  SENATE -- A BUDGET BILL, submitted by the Governor pursuant to arti-
  cle seven of the Constitution -- read twice and ordered  printed,  and
  when  printed to be committed to the Committee on Finance -- committee
  discharged, bill amended, ordered reprinted as amended and recommitted
  to said committee

IN ASSEMBLY -- A BUDGET BILL, submitted  by  the  Governor  pursuant  to
  article  seven  of  the  Constitution -- read once and referred to the
  Committee on Ways and Means --  committee  discharged,  bill  amended,
  ordered reprinted as amended and recommitted to said committee

AN  ACT  authorizing  the governor to close correctional facilities; and
  providing for the repeal of such provisions  upon  expiration  thereof
  (Part A); authorizing the urban development corporation, the office of
  general  services  and  the  department  of  corrections and community
  supervision to transfer and convey certain  lands  in  the  county  of
  Bronx,  city  of  New  York, to the Thomas Mott Osborne Memorial Fund,
  Inc. (Part B); to amend the vehicle and traffic law,  in  relation  to
  plea  limitations;  in  relation to extending surcharges and the crime
  victim assistance fee for certain violations; in relation to  enhanced
  penalties  for  multiple  violations  of  the mobile phone and texting
  prohibitions; to amend the state finance law, in relation  to  certain
  payments  to  the  state  treasurer; and to repeal section 1101 of the
  vehicle and traffic law relating thereto (Part C); to amend the execu-
  tive law, in relation to adopting the national  crime  prevention  and
  privacy  compact  (Part  D); to amend chapter 887 of the laws of 1983,
  amending the correction law relating to the psychological  testing  of
  candidates,  in  relation  to  making  the  provisions of such chapter
  permanent; to amend chapter 428 of the  laws  of  1999,  amending  the
  executive law and the criminal procedure law relating to expanding the
  geographic  area of employment of certain police officers, in relation
  to extending the expiration of such chapter; to amend chapter  886  of
  the laws of 1972, amending the correction law and the penal law relat-
  ing to prisoner furloughs in certain cases and the crime of absconding
  therefrom, in relation to making the provisions of such chapter perma-
  nent;  to amend chapter 261 of the laws of 1987, amending chapters 50,
  53 and 54 of the laws of 1987, the correction law, the penal  law  and
  other  chapters  and  laws  relating  to  correctional  facilities, in

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD12570-02-3

S. 2605--A                          2                         A. 3005--A

  relation to making the provisions of such chapter permanent; to  amend
  chapter  339  of the laws of 1972, amending the correction law and the
  penal law relating to inmate work  release,  furlough  and  leave,  in
  relation  to making the provisions of such chapter permanent; to amend
  chapter 60 of the laws of 1994 relating to  certain  provisions  which
  impact  upon  expenditure of certain appropriations made by chapter 50
  of the laws of 1994 enacting the state operations budget, in  relation
  to making certain provisions of such chapter permanent; to amend chap-
  ter  3 of the laws of 1995, amending the correction law and other laws
  relating to the incarceration fee, in relation to extending the  expi-
  ration  of  certain provisions of such chapter; to amend chapter 55 of
  the laws of 1992, amending the tax law  and  other  laws  relating  to
  taxes,  surcharges,  fees  and  funding,  in relation to extending the
  expiration of certain provisions of such chapter; to amend chapter 907
  of the laws of 1984, amending the correction law, the  New  York  city
  criminal  court  act and the executive law relating to prison and jail
  housing and alternatives to detention and incarceration  programs,  in
  relation  to  extending  the  expiration of certain provisions of such
  chapter; to amend chapter 166 of the laws of 1991,  amending  the  tax
  law  and  other  laws  relating to taxes, in relation to extending the
  expiration of certain provisions of such chapter; to amend the vehicle
  and traffic law, in relation to extending the expiration of the manda-
  tory surcharge and victim assistance fee; to amend chapter 713 of  the
  laws  of  1988,  amending  the vehicle and traffic law relating to the
  ignition interlock device program, in relation to extending the  expi-
  ration thereof; to amend chapter 435 of the laws of 1997, amending the
  military  law  and  other  laws  relating  to  various  provisions, in
  relation to extending the expiration date of the merit  provisions  of
  the correction law and the penal law of such chapter; to amend chapter
  412 of the laws of 1999, amending the civil practice law and rules and
  the  court  of  claims  act relating to prisoner litigation reform, in
  relation  to  extending  the  expiration  of  the  inmate  filing  fee
  provisions  of the civil practice law and rules and general filing fee
  provision and inmate property claims  exhaustion  requirement  of  the
  court  of claims act of such chapter; to amend chapter 222 of the laws
  of 1994 constituting  the  family  protection  and  domestic  violence
  intervention  act  of 1994, in relation to extending the expiration of
  certain provisions of the criminal procedure law requiring the  arrest
  of certain persons engaged in family violence; to amend chapter 505 of
  the  laws of 1985, amending the criminal procedure law relating to the
  use of closed-circuit television and  other  protective  measures  for
  certain  child  witnesses,  in relation to extending the expiration of
  the provisions thereof; to amend chapter 3 of the laws of 1995, enact-
  ing the sentencing reform act of 1995, in relation  to  extending  the
  expiration of certain provisions of such chapter; to amend chapter 689
  of  the  laws  of 1993 amending the criminal procedure law relating to
  electronic court  appearance  in  certain  counties,  in  relation  to
  extending the effective date thereof; to amend chapter 688 of the laws
  of  2003,  amending  the executive law relating to enacting the inter-
  state compact for adult offender supervision, in  relation  to  making
  certain provisions of such chapter permanent; to amend part H of chap-
  ter  56  of  the laws of 2009, amending the correction law relating to
  limiting the closing of certain correctional facilities, providing for
  the custody by the department  of  correctional  services  of  inmates
  serving definite sentences, providing for custody of federal prisoners
  and  requiring  the  closing  of  certain  correctional facilities, in

S. 2605--A                          3                         A. 3005--A

  relation to the effectiveness of such chapter; and to amend section  3
  of  part  C  of chapter 152 of the laws of 2001, amending the military
  law relating to military funds of the organized militia,  in  relation
  to  the  effectiveness  thereof  (Part E); to amend chapter 503 of the
  laws of 2009, relating to the disposition of monies recovered by coun-
  ty district attorneys before the filing of an  accusatory  instrument,
  in  relation  to  the  effectiveness  thereof  (Part  F); to amend the
  retirement and social security law and the education law, in  relation
  to   pension  contributions  paid  by  local  governments  and  school
  districts beginning in the 2013-14  fiscal  year  and  certain  fiscal
  years thereafter (Part G); to amend the civil service law, in relation
  to  the  reimbursement  of medicare premium charges (Part H); to amend
  the state finance law, in relation to creating a new  New  York  state
  gaming  commission account (Part I); to amend the tax law, in relation
  to reducing purse amounts paid from the VLT program (Part J); to amend
  the state finance law, in relation to reforming the  local  government
  citizens  re-organization  empowerment  grant  program  and  the local
  government efficiency grant program (Part K); providing for the elimi-
  nation  of  burdensome  reporting  requirements  imposed   on   school
  districts  and local governments (Part L); to provide for the adminis-
  tration of certain funds and accounts related to the  2013-14  budget;
  authorizing certain payments and transfers; to amend chapter 59 of the
  laws  of  2012,  relating  to  providing for administration of certain
  funds and accounts related to the 2013-2014 budget, in relation to the
  effectiveness thereof; to amend the state finance law, in relation  to
  school  tax  relief  fund;  to  amend  chapter 60 of the laws of 2011,
  amending the state finance law  relating  to  disbursements  from  the
  tribal-state  compact  revenue  account  to certain municipalities, in
  relation to the availability of moneys; to amend the  New  York  state
  medical care facilities finance agency act, in relation to the deposit
  of  certain  funds; to amend the state finance law, in relation to the
  issuance of revenue bonds; to amend the  public  authorities  law,  in
  relation  to the number of directors required for approval of a resol-
  ution authorizing the issuance of bonds or notes;  to  amend  the  New
  York  state  urban development corporation act, in relation to funding
  project costs for certain capital projects; to amend chapter 61 of the
  laws of 2005, relating to providing for the administration of  certain
  funds and accounts related to the 2005-2006 budget, in relation to the
  Division  of  Military  and  Naval  Affairs Capital Projects; to amend
  chapter 389 of the laws of 1997, relating  to  the  financing  of  the
  correctional  facilities  improvement  fund  and  the  youth  facility
  improvement fund, in relation to the issuance of bonds; to  amend  the
  private  housing finance law, in relation to housing program bonds and
  notes; to amend chapter 329 of the laws of 1991,  amending  the  state
  finance  law and other laws relating to the establishment of the dedi-
  cated highway and bridge trust fund, in relation to  the  issuance  of
  bonds;  to amend the public authorities law, in relation to courthouse
  improvements  and  training  facilities,  metropolitan  transportation
  authority  facilities,  peace bridge projects and issuance of bonds by
  the dormitory authority; to amend chapter 61  of  the  laws  of  2005,
  providing for the administration of certain funds and accounts related
  to the 2005-2006 budget, in relation to issuance of bonds by the urban
  development corporation; to amend the New York state urban development
  corporation act, in relation to projects for retention of professional
  football  in western New York; to amend the public authorities law, in
  relation to the cleaner, greener communities  program;  to  amend  the

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  state  finance  law, in relation to establishing the sales tax revenue
  bond tax fund and providing for the  deposit  of  revenues  therefrom,
  establishing  the  sales  tax revenue bond financing program; to amend
  the  tax  law,  in  relation to deposit and disposition of revenue; to
  amend the state finance law, in relation to establishing the New  York
  state  transformative  capital fund; to amend the New York state urban
  development corporation act, in  relation  to  authorizing  the  urban
  development  corporation  to issue bonds to fund project costs for the
  implementation of a NY-CUNY challenge grant program; to amend  chapter
  260  of  the  laws of 2011 amending the education law and the New York
  state urban  development  corporation  act  relating  to  establishing
  components of the NY-SUNY 2020 challenge grant program, in relation to
  the  effectiveness  thereof;  to  amend the public authorities law, in
  relation to dormitories at certain educational institutions other than
  state operated institutions and statutory or contract  colleges  under
  the jurisdiction of the state university of New York; to amend chapter
  81  of  the  laws of 2002, providing for the administration of certain
  funds and accounts related to the 2002-2003  budget,  in  relation  to
  increasing  the aggregate amount of bonds to be issued by the New York
  state urban development corporation; to amend the  public  authorities
  law, in relation to financing of New York works transportation capital
  projects;  and  providing  for  the  repeal of certain provisions upon
  expiration thereof (Part M); to amend the  executive  law,  the  state
  technology  law and the general business law, in relation to providing
  for the consolidation of  certain  information  technology  staff  and
  services  within the office of information technology services; and to
  repeal section 715 of the executive law, relating  to  the  office  of
  cyber  security  (Part  N); to amend the workers' compensation law, in
  relation to changing the composition of the board's  practice  commit-
  tees and to permitting a single arbitrator process; to amend the work-
  ers'  compensation  law,  in relation to the collection of assessments
  for annual expenses and the  investment  of  surplus  or  reserve;  in
  relation  to  the  representation of funds; in relation to closing the
  fund for reopened cases; in relation to the  termination  of  payments
  into  the aggregate trust fund; in relation to administration expenses
  for the state insurance fund; in relation  to  requiring  self-insured
  municipal  groups  and  county treasurers to provide certain financial
  information to the workers' compensation board; to amend the  workers'
  compensation  law  and  the  public  authorities  law,  in relation to
  authorizing the workers' compensation board and the dormitory authori-
  ty to enter into a self-insured bond financing agreement; to amend the
  volunteer firefighters' benefit law and the volunteer ambulance  work-
  ers'  benefit  law,  in relation to the payment of benefits and to the
  assessment of expenses; to amend the public officers law, in  relation
  to  indemnification  of  state  officers  and employees; and repealing
  certain provisions of the workers'  compensation  law,  the  volunteer
  firefighters' benefit law and the volunteer ambulance workers' benefit
  law relating to assessments for expenses, and relating to the location
  of  the  workers'  compensation  board  (Part  O);  to amend the state
  finance law, in relation to increasing  discretionary  thresholds  for
  procurement  of food commodities (Part P); to amend the executive law,
  in relation to including school districts and  boards  of  cooperative
  educational services in the intrastate mutual aid program (Part Q); to
  amend  the public officers law, in relation to exempting certain state
  employees from the two-year and lifetime bars (Part R); and  to  amend
  chapter 56 of the laws of 2011 relating to permitting authorized state

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  entities   to  utilize  the  design-build  method  for  infrastructure
  projects, in relation to the definition of authorized  state  entities
  (Part S)

  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 2013-2014
state  fiscal  year.  Each  component  is wholly contained within a Part
identified as Parts A through S. 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 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. Notwithstanding the provisions of sections 79-a and 79-b of
the  correction law, the governor is authorized to close the Bayview and
Beacon correctional facilities of  the  department  of  corrections  and
community supervision, in state fiscal year 2013-14, as he determines to
be  necessary  for  the  cost-effective  and  efficient operation of the
correctional system, provided that the governor  provides  at  least  60
days notice prior to any such closures to the temporary president of the
senate and the speaker of the assembly.
  S  2. This act shall take effect April 1, 2013 and shall expire and be
deemed repealed March 31, 2014.

                                 PART B

  Section 1. Notwithstanding any inconsistent provision of  law  to  the
contrary,  the  urban  development corporation is authorized to transfer
and convey to the Thomas Mott Osborne Memorial  Fund,  Inc.  its  right,
title,  and  interest  in the lands and improvements known as the Fulton
Correctional Facility and further described in section two of this  act.
The  conveyance  shall  be  made  upon such terms and conditions, as the
board of directors of the urban  development  corporation  may,  in  its
discretion, fix and determine.  The commissioner of general services and
the  commissioner  of the department of corrections and community super-
vision are hereby empowered to enter into  such  contractual  agreements
with  the  corporation  and  its subsidiaries to effect the transfer and
conveyance and do all things necessary to carry out  the  provisions  of
this act.
  S  2. The lands to be conveyed pursuant to section one of this act are
situated in the city of New York, county of  Bronx,  and  are  generally
described as follows:
                                Parcel I
  All  that  piece  or parcel of land lying and being in the Borough and
County of the Bronx, City and State of New York, and being  all  of  Lot
No. 30, Block 2928, and being more particularly described as follows:

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  Beginning  at  the  intersection  of  the  northerly  line of E. 171st
Street, and the westerly line of Fulton Avenue,  thence  westerly  along
the northerly line of E.  171st Street, 115.32 feet to the easterly line
of Lot 33; thence northerly along the last mentioned lot line 71.90 feet
to  the  intersection  of  the southerly line of Lot 29; thence easterly
along the last mentioned lot line, 106.08 feet to its intersection  with
the  said  westerly line of Fulton Ave.; thence southerly along the said
westerly line of Fulton Avenue 80.00 feet  to  the  point  or  place  of
beginning.
                                Parcel II
  All  that  piece  or parcel of land lying and being in the Borough and
County of the Bronx, City and State of New York, and being  all  of  Lot
No. 33, Block 2928, and being more particularly described as follows:
  Beginning  at  the  intersection  of  the  northerly  line of E. 171st
Street, and the westerly line of Lot 30, said point  being  115.32  feet
westerly from the intersection of the northerly line of E. 171st Street,
and  the  westerly line of Fulton Avenue; thence South 88° 21' 50" West,
along the northerly line of E.  171st Street, a distance of  75.86  feet
to  a  point,  said  point  being 175.21 feet distant easterly, measured
along the northerly line of E. 171st Street from the  corner  formed  by
the  intersection  of  the easterly line of 3rd Avenue and the northerly
line of E. 171st Street; thence North 01° 11'  27"  East,  and  parallel
with 3rd Avenue 141.75 feet to a point; thence North 84° 03' 45" East, a
distance  of  50.38  feet to a point; thence South 01° 11' 27" West, and
parallel to 3rd Avenue, 25.19 feet to a point; thence North 84° 03'  45"
East, 25.99 feet to a point; thence South 01° 11' 27" West, and parallel
to 3rd Avenue, 122.30 feet to the point or place of beginning.
  S  3.  Notwithstanding  the foregoing, the authorization to convey the
Fulton Correctional Facility shall be subject to the condition precedent
that such conveyance shall not impair or result in any diminution of the
obligations to holders of any bonds which financed,  refinanced  or  are
secured  by  correctional  facilities  (or payments in respect thereof),
including the Fulton Correctional  Facility,  and  shall  not  adversely
affect any exemption of interest on such bonds from federal income tax.
  S  4. The description in section two of this act is not intended to be
a legal description but  is  intended  to  identify  the  parcel  to  be
conveyed.  As a condition of the purchase, the Thomas Mott Osborne Memo-
rial Fund, Inc. may submit to  the  urban  development  corporation  for
approval,  an  accurate  survey  and  description  of  the  lands  to be
conveyed, which may be used in the conveyance thereof.
  S 5. Any lands transferred pursuant to this act shall be used for  the
purpose  of providing opportunities for individuals in conflict with the
law through reform and rehabilitation programs, alternatives  to  incar-
ceration  and  re-entry,  for  providing services to persons affected by
crime and/or incarceration, and for related  community  activities,  and
upon  termination  of  such use, title to the lands so transferred shall
revert to the state of New York.
  S 6. The board of directors of the urban development corporation shall
not transfer and convey said lands unless application is  made  therefor
by the Thomas Mott Osborne Memorial Fund, Inc. within one year after the
effective date of this act.
  S 7. This act shall take effect immediately.

                                 PART C

  Section 1. Section 1101 of the vehicle and traffic law is REPEALED.

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  S  2. Section 1180 of the vehicle and traffic law is amended by adding
a new subdivision (i) to read as follows:
  (I)  IN  ANY  CASE  WHEREIN THE CHARGE LAID BEFORE THE COURT ALLEGES A
VIOLATION OF SUBDIVISION (B), (C), (D), (F), OR (G) OF THIS SECTION  AND
THE  SPEED  UPON  WHICH THE CHARGE IS BASED EXCEEDS THE APPLICABLE SPEED
LIMIT BY MORE THAN TWENTY MILES PER HOUR, ANY PLEA OF GUILTY  THEREAFTER
ENTERED  IN  SATISFACTION  OF  SUCH CHARGE MUST INCLUDE, AT A MINIMUM, A
PLEA OF GUILTY TO A VIOLATION OF THIS CHAPTER OR OF ANY ORDINANCE,  RULE
OR  REGULATION  ADOPTED  PURSUANT  TO  THIS CHAPTER FOR WHICH POINTS ARE
ASSIGNED PURSUANT TO THE  REGULATIONS  OF  THE  COMMISSIONER;  PROVIDED,
HOWEVER,  THAT,  IF  THE DISTRICT ATTORNEY, UPON REVIEWING THE AVAILABLE
EVIDENCE, DETERMINES THAT THE CHARGE OF A VIOLATION OF SUBDIVISION  (B),
(C),  (D),  (F)  OR  (G) OF THIS SECTION IS NOT WARRANTED, SUCH DISTRICT
ATTORNEY MAY CONSENT TO, AND THE COURT MAY ALLOW, A DISPOSITION BY  PLEA
OF  GUILTY  TO  ANOTHER  CHARGE.  IN ALL SUCH CASES, THE COURT SHALL SET
FORTH UPON THE RECORD THE BASIS FOR SUCH DISPOSITION.
  S 3.  Subdivision 4 of section 1225-c of the vehicle and traffic  law,
as  added  by  chapter  69  of  the  laws of 2001, is amended to read as
follows:
  4. A violation of subdivision two of this section shall be  a  traffic
infraction  and  shall  be  punishable  by a fine of not LESS THAN FIFTY
DOLLARS NOR more than one hundred FIFTY dollars  UPON  CONVICTION  OF  A
FIRST  VIOLATION;  UPON  CONVICTION OF A SECOND VIOLATION, BOTH OF WHICH
WERE COMMITTED WITHIN A PERIOD OF EIGHTEEN MONTHS, SUCH VIOLATION  SHALL
BE PUNISHED BY A FINE OF NOT LESS THAN TWO HUNDRED DOLLARS NOR MORE THAN
THREE  HUNDRED  FIFTY  DOLLARS; UPON CONVICTION OF A THIRD OR SUBSEQUENT
VIOLATION, ALL OF WHICH WERE  COMMITTED  WITHIN  A  PERIOD  OF  EIGHTEEN
MONTHS, SUCH VIOLATION SHALL BE PUNISHED BY A FINE OF NOT LESS THAN FOUR
HUNDRED DOLLARS NOR MORE THAN FIVE HUNDRED FIFTY DOLLARS.
  S  4.  Subdivision 6 of section 1225-d of the vehicle and traffic law,
as amended by chapter 109 of the laws of 2011, is  amended  to  read  as
follows:
  6. A violation of this section shall be a traffic infraction and shall
be punishable by a fine of not LESS THAN FIFTY DOLLARS NOR more than one
hundred  fifty  dollars[.]UPON  CONVICTION  OF  A  FIRST VIOLATION; UPON
CONVICTION OF A SECOND VIOLATION, BOTH OF WHICH WERE COMMITTED WITHIN  A
PERIOD OF EIGHTEEN MONTHS, SUCH VIOLATION SHALL BE PUNISHED BY A FINE OF
NOT  LESS  THAN  TWO  HUNDRED  DOLLARS NOR MORE THAN THREE HUNDRED FIFTY
DOLLARS; UPON CONVICTION OR A THIRD  OR  SUBSEQUENT  VIOLATION,  ALL  OF
WHICH  WERE COMMITTED WITHIN A PERIOD OF EIGHTEEN MONTHS, SUCH VIOLATION
SHALL BE PUNISHED BY A FINE OF NOT LESS THAN FOUR  HUNDRED  DOLLARS  NOR
MORE THAN FIVE HUNDRED FIFTY DOLLARS.
  S  5. Subdivision 1 of section 1809 of the vehicle and traffic law, as
amended by section 2 of part DD of chapter 56 of the laws of  2008,  the
opening  paragraph and paragraph (c) as amended by section 10 of part II
of chapter 59 of the laws of 2010, is amended to read as follows:
  1. Whenever proceedings in an administrative tribunal or  a  court  of
this state result in a conviction for an offense under this chapter or a
traffic  infraction  under this chapter, or a local law, ordinance, rule
or regulation adopted pursuant to this chapter,  other  than  a  traffic
infraction  involving  standing,  stopping,  or parking EXCEPT THOSE SET
FORTH IN SECTIONS TWELVE HUNDRED, TWELVE HUNDRED ONE AND TWELVE  HUNDRED
TWO  OF  THIS  CHAPTER,  or  violations by pedestrians or bicyclists, or
other than an adjudication of liability of an owner for a  violation  of
subdivision  (d)  of  section  eleven  hundred eleven of this chapter in
accordance with section eleven hundred  eleven-a  of  this  chapter,  or

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other  than  an adjudication of liability of an owner for a violation of
subdivision (d) of section eleven hundred  eleven  of  this  chapter  in
accordance  with  section  eleven  hundred  eleven-b of this chapter, or
other  than  an  adjudication  in accordance with section eleven hundred
eleven-c of this chapter for a violation of a bus  lane  restriction  as
defined in such section, there shall be levied a crime victim assistance
fee  and  a mandatory surcharge, in addition to any sentence required or
permitted by law, in accordance with the following schedule:
  (a) Whenever proceedings in an administrative tribunal or a  court  of
this  state  result in a conviction for a traffic infraction pursuant to
article nine of this chapter, there  shall  be  levied  a  crime  victim
assistance  fee in the amount of five dollars and a mandatory surcharge,
in addition to any sentence required or permitted by law, in the  amount
of twenty-five dollars.
  (b)  Whenever  proceedings in an administrative tribunal or a court of
this state result in a conviction for a misdemeanor or  felony  pursuant
to  section  eleven  hundred  ninety-two of this chapter, there shall be
levied, in addition to any sentence required  or  permitted  by  law,  a
crime  victim  assistance fee in the amount of twenty-five dollars and a
mandatory surcharge in accordance with the following schedule:
  (i) a person convicted of a felony shall pay a mandatory surcharge  of
three hundred dollars;
  (ii)  a  person  convicted  of  a  misdemeanor  shall  pay a mandatory
surcharge of one hundred seventy-five dollars.
  (c) Whenever proceedings in an administrative tribunal or a  court  of
this  state  result  in  a  conviction for an offense under this chapter
other than a crime pursuant to section eleven hundred ninety-two of this
chapter, or a traffic infraction under this chapter,  or  a  local  law,
ordinance,  rule  or  regulation adopted pursuant to this chapter, other
than a traffic infraction  involving  standing,  stopping,  or  parking,
EXCEPT  THOSE SET FORTH IN SECTION TWELVE HUNDRED, TWELVE HUNDRED ONE OR
TWELVE HUNDRED TWO OF THIS CHAPTER or violations by pedestrians or bicy-
clists, or other than an adjudication of liability of  an  owner  for  a
violation  of  subdivision  (d) of section eleven hundred eleven of this
chapter in accordance with section eleven hundred eleven-a of this chap-
ter, or other than an adjudication  of  liability  of  an  owner  for  a
violation  of  subdivision  (d) of section eleven hundred eleven of this
chapter in accordance with section eleven hundred eleven-b of this chap-
ter, or other than an infraction pursuant to article nine of this  chap-
ter  or  other  than  an  adjudication  of  liability  of an owner for a
violation of toll collection regulations pursuant to section  two  thou-
sand  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 or other than an  adjudication  in
accordance  with  section  eleven hundred eleven-c of this chapter for a
violation of a bus lane restriction as defined in  such  section,  there
shall  be  levied  a  crime  victim assistance fee in the amount of five
dollars and a mandatory surcharge, in addition to any sentence  required
or permitted by law, in the amount of fifty-five dollars.
  S  6. Subdivision 1 of section 1809 of the vehicle and traffic law, as
amended by section 10-a of part II of chapter 59 of the laws of 2010, is
amended to read as follows:
  1. Whenever proceedings in an administrative tribunal or  a  court  of
this  state  result  in a conviction for a crime under this chapter or a
traffic infraction under this chapter, or a local law,  ordinance,  rule
or  regulation  adopted  pursuant  to this chapter, other than a traffic

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infraction involving standing, stopping, parking EXCEPT THOSE SET  FORTH
IN SECTIONS TWELVE HUNDRED, TWELVE HUNDRED ONE AND TWELVE HUNDRED TWO OF
THIS CHAPTER, or motor vehicle equipment or violations by pedestrians or
bicyclists, or other than an adjudication of liability of an owner for a
violation  of  subdivision  (d) of section eleven hundred eleven of this
chapter in accordance with section eleven hundred eleven-a of this chap-
ter, or other than an adjudication  of  liability  of  an  owner  for  a
violation  of  subdivision  (d) of section eleven hundred eleven of this
chapter in accordance with section eleven hundred eleven-b of this chap-
ter, or other than an adjudication in  accordance  with  section  eleven
hundred  eleven-c  of  this  chapter  for  a  violation  of  a  bus lane
restriction as defined in such section, there shall be levied a mandato-
ry surcharge, in addition to any sentence required or permitted by  law,
in the amount of twenty-five dollars.
  S  7. Subdivision 1 of section 1809 of the vehicle and traffic law, as
amended by section 10-b of part II of chapter 59 of the laws of 2010, is
amended to read as follows:
  1. Whenever proceedings in an administrative tribunal or  a  court  of
this  state  result  in a conviction for a crime under this chapter or a
traffic infraction under this chapter other than  a  traffic  infraction
involving standing, stopping, parking EXCEPT THOSE SET FORTH IN SECTIONS
TWELVE  HUNDRED, TWELVE HUNDRED ONE AND TWELVE HUNDRED TWO OF THIS CHAP-
TER, or motor vehicle equipment or violations by  pedestrians  or  bicy-
clists,  or other than an adjudication in accordance with section eleven
hundred eleven-c  of  this  chapter  for  a  violation  of  a  bus  lane
restriction as defined in such section, there shall be levied a mandato-
ry  surcharge, in addition to any sentence required or permitted by law,
in the amount of seventeen dollars.
  S 8. Subdivision 1 of section 1809 of the vehicle and traffic law,  as
separately  amended  by chapter 16 of the laws of 1983 and chapter 62 of
the laws of 1989, is amended to read as follows:
  1. Whenever proceedings in an administrative tribunal or  a  court  of
this  state  result  in a conviction for a crime under this chapter or a
traffic infraction under this chapter other than  a  traffic  infraction
involving standing, stopping, parking EXCEPT THOSE SET FORTH IN SECTIONS
TWELVE  HUNDRED, TWELVE HUNDRED ONE AND TWELVE HUNDRED TWO OF THIS CHAP-
TER, or motor vehicle equipment or violations by  pedestrians  or  bicy-
clists,  there shall be levied a mandatory surcharge, in addition to any
sentence required or permitted  by  law,  in  the  amount  of  seventeen
dollars.
  S 9. Paragraph a of subdivision 1 of section 1809-e of the vehicle and
traffic  law,  as  amended by section 11 of part II of chapter 59 of the
laws of 2010, is amended to read as follows:
  a. Notwithstanding any other provision of law, whenever proceedings in
a court or  an  administrative  tribunal  of  this  state  result  in  a
conviction for an offense under this chapter, except a conviction pursu-
ant to section eleven hundred ninety-two of this chapter, or for a traf-
fic  infraction  under  this chapter, or a local law, ordinance, rule or
regulation adopted pursuant to this chapter, except a traffic infraction
involving standing, stopping, or parking, OTHER THAN THOSE SET FORTH  IN
SECTIONS  TWELVE  HUNDRED, TWELVE HUNDRED ONE AND TWELVE HUNDRED TWO, or
violations by pedestrians or bicyclists, and except an  adjudication  of
liability  of  an  owner  for  a violation of subdivision (d) of section
eleven hundred eleven of this chapter in accordance with section  eleven
hundred  eleven-a of this chapter, and except an adjudication of liabil-
ity of an owner for a violation of subdivision  (d)  of  section  eleven

S. 2605--A                         10                         A. 3005--A

hundred eleven of this chapter in accordance with section eleven hundred
eleven-b  of this chapter, and except an adjudication in accordance with
section eleven hundred eleven-c of this chapter of a violation of a  bus
lane  restriction as defined in such section, and except an adjudication
of liability of an owner for a violation of toll collection  regulations
pursuant  to section two thousand nine hundred eighty-five of the public
authorities law or sections sixteen-a, sixteen-b and sixteen-c of  chap-
ter  seven  hundred  seventy-four of the laws of nineteen hundred fifty,
there shall be levied in addition to  any  sentence,  penalty  or  other
surcharge required or permitted by law, an additional surcharge of twen-
ty dollars.
  S  10.  Paragraph  a of subdivision 1 of section 1809-e of the vehicle
and traffic law, as amended by section 11-a of part II of chapter 59  of
the laws of 2010, is amended to read as follows:
  a. Notwithstanding any other provision of law, whenever proceedings in
a  court  or  an  administrative  tribunal  of  this  state  result in a
conviction for an offense under this chapter, except a conviction pursu-
ant to section eleven hundred ninety-two of this chapter, or for a traf-
fic infraction under this chapter, or a local law,  ordinance,  rule  or
regulation adopted pursuant to this chapter, except a traffic infraction
involving  standing, stopping, or parking, OTHER THAN THOSE SET FORTH IN
SECTIONS TWELVE HUNDRED, TWELVE HUNDRED ONE AND TWELVE HUNDRED  TWO,  or
violations  by  pedestrians or bicyclists, and except an adjudication of
liability of an owner for a violation  of  subdivision  (d)  of  section
eleven  hundred eleven of this chapter in accordance with section eleven
hundred eleven-a of this chapter, and except an adjudication in  accord-
ance with section eleven hundred eleven-c of this chapter of a violation
of  a  bus  lane  restriction  as defined in such section, and except an
adjudication of liability of an owner for a violation of toll collection
regulations pursuant to 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, there shall be levied in addition to any sentence, penal-
ty or other surcharge  required  or  permitted  by  law,  an  additional
surcharge of twenty dollars.
  S  11.  Paragraph  a of subdivision 1 of section 1809-e of the vehicle
and traffic law, as amended by section 1 of part EE of chapter 56 of the
laws of 2008, is amended to read as follows:
  a. Notwithstanding any other provision of law, whenever proceedings in
a court or  an  administrative  tribunal  of  this  state  result  in  a
conviction for an offense under this chapter, except a conviction pursu-
ant to section eleven hundred ninety-two of this chapter, or for a traf-
fic  infraction  under  this chapter, or a local law, ordinance, rule or
regulation adopted pursuant to this chapter, except a traffic infraction
involving standing, stopping, or parking, OTHER THAN THOSE SET FORTH  IN
SECTIONS  TWELVE  HUNDRED, TWELVE HUNDRED ONE AND TWELVE HUNDRED TWO, or
violations by pedestrians or bicyclists, and except an  adjudication  of
liability  of  an  owner  for  a violation of subdivision (d) of section
eleven hundred eleven of this chapter in accordance with section  eleven
hundred  eleven-a of this chapter, and except an adjudication of liabil-
ity of an owner for a violation of toll collection regulations  pursuant
to  section two thousand nine hundred eighty-five of the public authori-
ties law or sections sixteen-a, sixteen-b and sixteen-c of chapter seven
hundred seventy-four of the laws of nineteen hundred fifty, there  shall
be  levied  in  addition  to  any  sentence,  penalty or other surcharge
required or permitted by law, an additional surcharge of twenty dollars.

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  S 12.  Subdivision 3-a of section 121 of the  state  finance  law,  as
added  by  section  16  of  part J of chapter 62 of the laws of 2003, is
amended to read as follows:
  3-a.  [On or before the twentieth day of October in each year commenc-
ing with the twentieth of October, two thousand three,  the]  THE  comp-
troller  shall  determine  the  difference  between:  (a)  the aggregate
receipts derived by the state from mandatory surcharges collected by  an
administrative  tribunal  or a town or village justice court pursuant to
section eighteen hundred nine of the vehicle and traffic law during  the
[preceding] year ending September thirtieth, TWO THOUSAND TWELVE and (b)
the  aggregate  receipts  derived  by  the  state  from  such  mandatory
surcharge collected by an administrative tribunal or a town or a village
justice court in accordance with  the  provisions  of  section  eighteen
hundred  nine of the vehicle and traffic law in effect immediately prior
to April first, two thousand three  during  the  preceding  year  ending
September  thirtieth.  Such  difference  shall  be thereupon transferred
ANNUALLY by the comptroller to the credit of the indigent legal services
fund established by section ninety-eight-b of this chapter.
  S 13. This act shall take effect on the sixtieth day  after  it  shall
have  become  a  law and shall apply to violations committed on or after
such date, provided however, that:
  (a) the amendments to subdivision 1 of section 1809 of the vehicle and
traffic law made by section five of this act shall  be  subject  to  the
expiration  and  reversion  of  such  subdivision,  when  upon such date
section six of this act shall take effect; and
  (b) the amendments to subdivision 1 of section 1809 of the vehicle and
traffic law made by section six of this act  shall  be  subject  to  the
expiration  and  reversion  of  such  subdivision,  when  upon such date
section seven of this act shall take effect; and
  (c) the amendments to subdivision 1 of section 1809 of the vehicle and
traffic law made by section seven of this act shall be  subject  to  the
expiration  and  reversion  of  such  subdivision,  when  upon such date
section eight of this act shall take effect;
  (d) the amendments to paragraph a of subdivision 1 of  section  1809-e
of the vehicle and traffic law made by section nine of this act shall be
subject  to  the  expiration  and reversion of such paragraph, when upon
such date section ten of this act shall take effect; and
  (e) the amendments to paragraph a of subdivision 1 of  section  1809-e
of  the vehicle and traffic law made by section ten of this act shall be
subject to the expiration and reversion of  such  paragraph,  when  upon
such date section eleven of this act shall take effect.

                                 PART D

  Section  1. The executive law is amended by adding a new article 38 to
read as follows:
                               ARTICLE 38
              NATIONAL CRIME PREVENTION AND PRIVACY COMPACT
SECTION 850. ENACTMENT OF COMPACT.
  S 850. ENACTMENT OF COMPACT. THE NATIONAL CRIME PREVENTION AND PRIVACY
COMPACT IS HEREBY ENACTED INTO LAW  AND  ENTERED  INTO  WITH  ALL  OTHER
JURISDICTIONS  LEGALLY  JOINING  THEREIN  IN  THE  FORM SUBSTANTIALLY AS
FOLLOWS:
  THE CONTRACTING PARTIES AGREE TO THE FOLLOWING:
              NATIONAL CRIME PREVENTION AND PRIVACY COMPACT
ARTICLE I.    DEFINITIONS.

S. 2605--A                         12                         A. 3005--A

ARTICLE II.   PURPOSES.
ARTICLE III.  RESPONSIBILITIES OF COMPACT PARTIES.
ARTICLE IV.   AUTHORIZED RECORD DISCLOSURES.
ARTICLE V.    RECORD REQUEST PROCEDURES.
ARTICLE VI.   ESTABLISHMENT OF COMPACT COUNCIL.
ARTICLE VII.  RATIFICATION OF COMPACT.
ARTICLE VIII. MISCELLANEOUS PROVISIONS.
ARTICLE IX.   RENUNCIATION.
ARTICLE X.    SEVERABILITY.
ARTICLE XI.   ADJUDICATION OF DISPUTES.

                                OVERVIEW

  (A) IN GENERAL, THIS COMPACT ORGANIZES AN ELECTRONIC INFORMATION SHAR-
ING SYSTEM AMONG THE FEDERAL GOVERNMENT AND THE STATES TO EXCHANGE CRIM-
INAL  HISTORY  RECORDS  FOR  NONCRIMINAL  JUSTICE PURPOSES AUTHORIZED BY
FEDERAL OR STATE LAW, SUCH AS BACKGROUND CHECKS FOR GOVERNMENTAL LICENS-
ING AND EMPLOYMENT.
  (B) UNDER THIS COMPACT, THE FBI AND THE PARTY STATES AGREE TO MAINTAIN
DETAILED DATABASES OF THEIR RESPECTIVE CRIMINAL HISTORY RECORDS, INCLUD-
ING ARRESTS AND DISPOSITIONS, AND TO MAKE THEM AVAILABLE TO THE  FEDERAL
GOVERNMENT  AND  TO PARTY STATES FOR AUTHORIZED PURPOSES.  THE FBI SHALL
ALSO MANAGE THE FEDERAL DATA FACILITIES THAT PROVIDE A SIGNIFICANT  PART
OF THE INFRASTRUCTURE FOR THE SYSTEM.

                         ARTICLE I--DEFINITIONS

  AS USED IN THIS COMPACT:
  (A)  "ATTORNEY  GENERAL"  MEANS  THE  ATTORNEY  GENERAL  OF THE UNITED
STATES.
  (B) "COMPACT OFFICER" MEANS:
  1. WITH RESPECT TO THE FEDERAL GOVERNMENT, AN OFFICIAL  SO  DESIGNATED
BY THE DIRECTOR OF THE FBI; AND
  2.  WITH  RESPECT  TO  A  PARTY  STATE, THE CHIEF ADMINISTRATOR OF THE
STATE'S CRIMINAL HISTORY RECORD REPOSITORY OR A DESIGNEE  OF  THE  CHIEF
ADMINISTRATOR WHO IS A REGULAR FULL-TIME EMPLOYEE OF THE REPOSITORY.
  (C) "COUNCIL" MEANS THE COMPACT COUNCIL ESTABLISHED UNDER ARTICLE VI.
  (D) "CRIMINAL HISTORY RECORDS":
  1.  MEANS  INFORMATION COLLECTED BY CRIMINAL JUSTICE AGENCIES ON INDI-
VIDUALS  CONSISTING  OF  IDENTIFIABLE  DESCRIPTIONS  AND  NOTATIONS   OF
ARRESTS,  DETENTIONS, INDICTMENTS, OR OTHER FORMAL CRIMINAL CHARGES, AND
ANY DISPOSITION  ARISING  THEREFROM,  INCLUDING  ACQUITTAL,  SENTENCING,
CORRECTIONAL SUPERVISION, OR RELEASE; AND
  2.  DOES  NOT  INCLUDE  IDENTIFICATION INFORMATION SUCH AS FINGERPRINT
RECORDS IF SUCH INFORMATION DOES NOT INDICATE INVOLVEMENT OF  THE  INDI-
VIDUAL WITH THE CRIMINAL JUSTICE SYSTEM.
  (E) "CRIMINAL HISTORY RECORD REPOSITORY" MEANS THE STATE AGENCY DESIG-
NATED  BY  THE  GOVERNOR  OR OTHER APPROPRIATE EXECUTIVE OFFICIAL OR THE
LEGISLATURE OF A STATE TO PERFORM  CENTRALIZED  RECORDKEEPING  FUNCTIONS
FOR CRIMINAL HISTORY RECORDS AND SERVICES IN THE STATE.
  (F)  "CRIMINAL JUSTICE" INCLUDES ACTIVITIES RELATING TO THE DETECTION,
APPREHENSION, DETENTION, PRETRIAL RELEASE,  POST-TRIAL  RELEASE,  PROSE-
CUTION,  ADJUDICATION,  CORRECTIONAL  SUPERVISION,  OR REHABILITATION OF
ACCUSED PERSONS OR CRIMINAL OFFENDERS. THE  ADMINISTRATION  OF  CRIMINAL
JUSTICE  INCLUDES CRIMINAL IDENTIFICATION ACTIVITIES AND THE COLLECTION,
STORAGE, AND DISSEMINATION OF CRIMINAL HISTORY RECORDS.

S. 2605--A                         13                         A. 3005--A

  (G) "CRIMINAL JUSTICE AGENCY":
  1. MEANS:
  A. COURTS; AND
  B. A GOVERNMENTAL AGENCY OR ANY SUBUNIT THEREOF THAT:
  (I)  PERFORMS  THE  ADMINISTRATION  OF  CRIMINAL JUSTICE PURSUANT TO A
STATUTE OR EXECUTIVE ORDER; AND
  (II) ALLOCATES A SUBSTANTIAL PART OF ITS ANNUAL BUDGET TO THE ADMINIS-
TRATION OF CRIMINAL JUSTICE; AND
  2. INCLUDES FEDERAL AND STATE INSPECTORS GENERAL OFFICES.
  (H) "CRIMINAL JUSTICE SERVICES" MEANS SERVICES PROVIDED BY THE FBI  TO
CRIMINAL JUSTICE AGENCIES IN RESPONSE TO A REQUEST FOR INFORMATION ABOUT
A  PARTICULAR  INDIVIDUAL  OR  AS  AN  UPDATE  TO INFORMATION PREVIOUSLY
PROVIDED FOR CRIMINAL JUSTICE PURPOSES.
  (I) "CRITERION OFFENSE" MEANS ANY FELONY OR  MISDEMEANOR  OFFENSE  NOT
INCLUDED  ON  THE  LIST OF NONSERIOUS OFFENSES PUBLISHED PERIODICALLY BY
THE FBI.
  (J) "DIRECT ACCESS" MEANS ACCESS TO THE NATIONAL IDENTIFICATION  INDEX
BY  COMPUTER TERMINAL OR OTHER AUTOMATED MEANS NOT REQUIRING THE ASSIST-
ANCE OF OR INTERVENTION BY ANY OTHER PARTY OR AGENCY.
  (K) "EXECUTIVE ORDER" MEANS AN ORDER OF THE PRESIDENT  OF  THE  UNITED
STATES  OR  THE CHIEF EXECUTIVE OFFICER OF A STATE THAT HAS THE FORCE OF
LAW AND THAT IS PROMULGATED IN ACCORDANCE WITH APPLICABLE LAW.
  (L) "FBI" MEANS THE FEDERAL BUREAU OF INVESTIGATION.
  (M) "INTERSTATE IDENTIFICATION INDEX SYSTEM" OR "III SYSTEM":
  1. MEANS THE COOPERATIVE FEDERAL-STATE  SYSTEM  FOR  THE  EXCHANGE  OF
CRIMINAL HISTORY RECORDS; AND
  2.  INCLUDES  THE  NATIONAL IDENTIFICATION INDEX, THE NATIONAL FINGER-
PRINT FILE AND, TO THE EXTENT OF THEIR PARTICIPATION IN SUCH SYSTEM, THE
CRIMINAL HISTORY RECORD REPOSITORIES OF THE STATES AND THE FBI.
  (N) "NATIONAL FINGERPRINT FILE" MEANS A DATABASE OF  FINGERPRINTS,  OR
OTHER UNIQUELY PERSONAL IDENTIFYING INFORMATION, RELATING TO AN ARRESTED
OR  CHARGED  INDIVIDUAL  MAINTAINED BY THE FBI TO PROVIDE POSITIVE IDEN-
TIFICATION OF RECORD SUBJECTS INDEXED IN THE III SYSTEM.
  (O) "NATIONAL IDENTIFICATION INDEX" MEANS AN INDEX MAINTAINED  BY  THE
FBI  CONSISTING  OF  NAMES,  IDENTIFYING  NUMBERS, AND OTHER DESCRIPTIVE
INFORMATION RELATING TO RECORD SUBJECTS ABOUT WHOM  THERE  ARE  CRIMINAL
HISTORY RECORDS IN THE III SYSTEM.
  (P) "NATIONAL INDICES" MEANS THE NATIONAL IDENTIFICATION INDEX AND THE
NATIONAL FINGERPRINT FILE.
  (Q) "NONPARTY STATE" MEANS A STATE THAT HAS NOT RATIFIED THIS COMPACT.
  (R)  "NONCRIMINAL  JUSTICE  PURPOSES"  MEANS  USES OF CRIMINAL HISTORY
RECORDS FOR PURPOSES AUTHORIZED BY  FEDERAL  OR  STATE  LAW  OTHER  THAN
PURPOSES  RELATING  TO CRIMINAL JUSTICE ACTIVITIES, INCLUDING EMPLOYMENT
SUITABILITY, LICENSING DETERMINATIONS,  IMMIGRATION  AND  NATURALIZATION
MATTERS, AND NATIONAL SECURITY CLEARANCES.
  (S) "PARTY STATE" MEANS A STATE THAT HAS RATIFIED THIS COMPACT.
  (T)  "POSITIVE  IDENTIFICATION"  MEANS  A  DETERMINATION, BASED UPON A
COMPARISON OF FINGERPRINTS OR OTHER EQUALLY RELIABLE BIOMETRIC IDENTIFI-
CATION TECHNIQUES, THAT THE SUBJECT OF  A  RECORD  SEARCH  IS  THE  SAME
PERSON AS THE SUBJECT OF A CRIMINAL HISTORY RECORD OR RECORDS INDEXED IN
THE  III  SYSTEM.  IDENTIFICATIONS  BASED  SOLELY  UPON  A COMPARISON OF
SUBJECTS' NAMES OR OTHER  NONUNIQUE  IDENTIFICATION  CHARACTERISTICS  OR
NUMBERS,  OR  COMBINATIONS  THEREOF, SHALL NOT CONSTITUTE POSITIVE IDEN-
TIFICATION.
  (U) "SEALED RECORD INFORMATION" MEANS:
  1. WITH RESPECT TO ADULTS, THAT PORTION OF A RECORD THAT IS:

S. 2605--A                         14                         A. 3005--A

  A. NOT AVAILABLE FOR CRIMINAL JUSTICE USES;
  B.  NOT  SUPPORTED BY FINGERPRINTS OR OTHER ACCEPTED MEANS OF POSITIVE
IDENTIFICATION; OR
  C. SUBJECT TO RESTRICTIONS ON DISSEMINATION  FOR  NONCRIMINAL  JUSTICE
PURPOSES  PURSUANT  TO  A COURT ORDER RELATED TO A PARTICULAR SUBJECT OR
PURSUANT TO A FEDERAL OR STATE STATUTE THAT REQUIRES ACTION ON A SEALING
PETITION FILED BY A PARTICULAR RECORD SUBJECT; AND
  2. WITH RESPECT TO JUVENILES, WHATEVER  EACH  STATE  DETERMINES  IS  A
SEALED RECORD UNDER ITS OWN LAW AND PROCEDURE.
  (V)  "STATE"  MEANS  ANY STATE, TERRITORY, OR POSSESSION OF THE UNITED
STATES, THE DISTRICT OF COLUMBIA, AND THE COMMONWEALTH OF PUERTO RICO.

                          ARTICLE II--PURPOSES

  THE PURPOSES OF THIS COMPACT ARE TO:
  (A) PROVIDE A LEGAL FRAMEWORK FOR THE ESTABLISHMENT OF  A  COOPERATIVE
FEDERAL-STATE  SYSTEM  FOR  THE INTERSTATE AND FEDERAL-STATE EXCHANGE OF
CRIMINAL HISTORY RECORDS FOR NONCRIMINAL JUSTICE USES;
  (B) REQUIRE THE FBI TO PERMIT USE OF THE NATIONAL IDENTIFICATION INDEX
AND THE NATIONAL FINGERPRINT FILE BY EACH PARTY STATE, AND  TO  PROVIDE,
IN  A  TIMELY  FASHION,  FEDERAL  AND  STATE CRIMINAL HISTORY RECORDS TO
REQUESTING STATES, IN ACCORDANCE WITH THE TERMS OF THIS COMPACT AND WITH
RULES, PROCEDURES, AND STANDARDS ESTABLISHED BY THE COUNCIL UNDER  ARTI-
CLE VI;
  (C)  REQUIRE  PARTY  STATES TO PROVIDE INFORMATION AND RECORDS FOR THE
NATIONAL IDENTIFICATION INDEX AND THE NATIONAL FINGERPRINT FILE  AND  TO
PROVIDE  CRIMINAL  HISTORY  RECORDS,  IN  A  TIMELY FASHION, TO CRIMINAL
HISTORY RECORD REPOSITORIES OF OTHER STATES AND THE  FEDERAL  GOVERNMENT
FOR  NONCRIMINAL  JUSTICE PURPOSES, IN ACCORDANCE WITH THE TERMS OF THIS
COMPACT AND WITH RULES, PROCEDURES, AND  STANDARDS  ESTABLISHED  BY  THE
COUNCIL UNDER ARTICLE VI;
  (D)  PROVIDE  FOR THE ESTABLISHMENT OF A COUNCIL TO MONITOR III SYSTEM
OPERATIONS AND TO PRESCRIBE SYSTEM RULES AND PROCEDURES FOR  THE  EFFEC-
TIVE  AND  PROPER  OPERATION  OF  THE III SYSTEM FOR NONCRIMINAL JUSTICE
PURPOSES; AND
  (E) REQUIRE THE FBI AND EACH PARTY STATE TO ADHERE TO III SYSTEM STAN-
DARDS CONCERNING RECORD DISSEMINATION AND USE,  RESPONSE  TIMES,  SYSTEM
SECURITY,  DATA QUALITY, AND OTHER DULY ESTABLISHED STANDARDS, INCLUDING
THOSE THAT ENHANCE THE ACCURACY AND PRIVACY OF SUCH RECORDS.

            ARTICLE III--RESPONSIBILITIES OF COMPACT PARTIES

  (A) THE DIRECTOR OF THE FBI SHALL:
  1. APPOINT AN FBI COMPACT OFFICER WHO SHALL:
  A. ADMINISTER THIS COMPACT WITHIN THE DEPARTMENT OF JUSTICE AND  AMONG
FEDERAL AGENCIES AND OTHER AGENCIES AND ORGANIZATIONS THAT SUBMIT SEARCH
REQUESTS TO THE FBI PURSUANT TO SUBDIVISION (C) OF THIS ARTICLE;
  B. ENSURE THAT COMPACT PROVISIONS AND RULES, PROCEDURES, AND STANDARDS
PRESCRIBED  BY  THE  COUNCIL  UNDER  ARTICLE VI ARE COMPLIED WITH BY THE
DEPARTMENT OF JUSTICE AND THE FEDERAL AGENCIES AND  OTHER  AGENCIES  AND
ORGANIZATIONS REFERRED TO IN SUBPARAGRAPH A OF PARAGRAPH ONE OF SUBDIVI-
SION (A) OF THIS ARTICLE; AND
  C.  REGULATE  THE  USE  OF RECORDS RECEIVED BY MEANS OF THE III SYSTEM
FROM PARTY STATES WHEN SUCH RECORDS ARE SUPPLIED BY THE FBI DIRECTLY  TO
OTHER FEDERAL AGENCIES;

S. 2605--A                         15                         A. 3005--A

  2.  PROVIDE  TO  FEDERAL AGENCIES AND TO STATE CRIMINAL HISTORY RECORD
REPOSITORIES, CRIMINAL HISTORY RECORDS MAINTAINED IN  ITS  DATABASE  FOR
THE NONCRIMINAL JUSTICE PURPOSES DESCRIBED IN ARTICLE IV, INCLUDING:
  A. INFORMATION FROM NONPARTY STATES; AND
  B.  INFORMATION  FROM  PARTY  STATES  THAT  IS  AVAILABLE FROM THE FBI
THROUGH THE III SYSTEM, BUT  IS  NOT  AVAILABLE  FROM  THE  PARTY  STATE
THROUGH THE III SYSTEM;
  C.  PROVIDE  A  TELECOMMUNICATIONS  NETWORK  AND  MAINTAIN CENTRALIZED
FACILITIES FOR THE EXCHANGE OF CRIMINAL HISTORY RECORDS FOR BOTH  CRIMI-
NAL  JUSTICE  PURPOSES AND THE NONCRIMINAL JUSTICE PURPOSES DESCRIBED IN
ARTICLE IV, AND ENSURE THAT THE EXCHANGE OF SUCH  RECORDS  FOR  CRIMINAL
JUSTICE  PURPOSES  HAS  PRIORITY  OVER  EXCHANGE FOR NONCRIMINAL JUSTICE
PURPOSES; AND
  D. MODIFY OR ENTER INTO USER AGREEMENTS WITH NONPARTY  STATE  CRIMINAL
HISTORY  RECORD REPOSITORIES TO REQUIRE THEM TO ESTABLISH RECORD REQUEST
PROCEDURES CONFORMING TO THOSE PRESCRIBED IN ARTICLE V.
  (B) EACH PARTY STATE SHALL:
  1. APPOINT A COMPACT OFFICER WHO SHALL:
  A. ADMINISTER THIS COMPACT WITHIN THAT STATE;
  B. ENSURE THAT COMPACT PROVISIONS AND RULES, PROCEDURES, AND STANDARDS
ESTABLISHED BY THE COUNCIL UNDER ARTICLE VI ARE  COMPLIED  WITH  IN  THE
STATE; AND
  C.  REGULATE  THE IN-STATE USE OF RECORDS RECEIVED BY MEANS OF THE III
SYSTEM FROM THE FBI OR FROM OTHER PARTY STATES;
  2. ESTABLISH AND MAINTAIN A CRIMINAL HISTORY RECORD REPOSITORY,  WHICH
SHALL PROVIDE:
  A.  INFORMATION  AND RECORDS FOR THE NATIONAL IDENTIFICATION INDEX AND
THE NATIONAL FINGERPRINT FILE; AND
  B.  THE  STATE'S  III  SYSTEM-INDEXED  CRIMINAL  HISTORY  RECORDS  FOR
NONCRIMINAL JUSTICE PURPOSES DESCRIBED IN ARTICLE IV; AND
  C. PARTICIPATE IN THE NATIONAL FINGERPRINT FILE; AND
  D. PROVIDE AND MAINTAIN TELECOMMUNICATIONS LINKS AND RELATED EQUIPMENT
NECESSARY TO SUPPORT THE SERVICES SET FORTH IN THIS COMPACT.
  (C)  COMPLIANCE  WITH  III  SYSTEM  STANDARDS.   IN CARRYING OUT THEIR
RESPONSIBILITIES UNDER THIS COMPACT, THE FBI AND EACH PARTY STATE  SHALL
COMPLY WITH III SYSTEM RULES, PROCEDURES, AND STANDARDS DULY ESTABLISHED
BY  THE COUNCIL CONCERNING RECORD DISSEMINATION AND USE, RESPONSE TIMES,
DATA QUALITY, SYSTEM SECURITY, ACCURACY, PRIVACY PROTECTION,  AND  OTHER
ASPECTS OF III SYSTEM OPERATION.
  (D)  1. USE OF THE III SYSTEM FOR NONCRIMINAL JUSTICE PURPOSES AUTHOR-
IZED IN THIS COMPACT SHALL BE MANAGED SO AS NOT TO DIMINISH THE LEVEL OF
SERVICES PROVIDED IN SUPPORT OF CRIMINAL JUSTICE PURPOSES.
  2. ADMINISTRATION OF COMPACT PROVISIONS SHALL NOT REDUCE THE LEVEL  OF
SERVICE  AVAILABLE TO AUTHORIZED NONCRIMINAL JUSTICE USERS ON THE EFFEC-
TIVE DATE OF THIS COMPACT.

                ARTICLE IV--AUTHORIZED RECORD DISCLOSURES

  (A) STATE CRIMINAL HISTORY RECORD REPOSITORIES.  TO THE EXTENT AUTHOR-
IZED BY SECTION FIVE HUNDRED FIFTY-TWO-A OF TITLE  FIVE  OF  THE  UNITED
STATES  CODE,  (COMMONLY  KNOWN  AS  THE "PRIVACY ACT OF 1974"), THE FBI
SHALL PROVIDE ON REQUEST  CRIMINAL  HISTORY  RECORDS  (EXCLUDING  SEALED
RECORDS)  TO  STATE CRIMINAL HISTORY RECORD REPOSITORIES FOR NONCRIMINAL
JUSTICE PURPOSES ALLOWED BY FEDERAL STATUTE, FEDERAL EXECUTIVE ORDER, OR
A STATE STATUTE THAT HAS BEEN APPROVED BY THE ATTORNEY GENERAL AND  THAT
AUTHORIZES NATIONAL INDICES CHECKS.

S. 2605--A                         16                         A. 3005--A

  (B)  THE  FBI,  TO  THE  EXTENT  AUTHORIZED  BY  SECTION  FIVE HUNDRED
FIFTY-TWO-A OF TITLE FIVE OF THE UNITED STATES CODE, (COMMONLY KNOWN  AS
THE  "PRIVACY ACT OF 1974"), AND STATE CRIMINAL HISTORY RECORD REPOSITO-
RIES SHALL PROVIDE CRIMINAL HISTORY RECORDS (EXCLUDING  SEALED  RECORDS)
TO  CRIMINAL  JUSTICE AGENCIES AND OTHER GOVERNMENTAL OR NONGOVERNMENTAL
AGENCIES FOR NONCRIMINAL JUSTICE PURPOSES ALLOWED  BY  FEDERAL  STATUTE,
FEDERAL  EXECUTIVE  ORDER,  OR A STATE STATUTE THAT HAS BEEN APPROVED BY
THE ATTORNEY GENERAL, THAT AUTHORIZES NATIONAL INDICES CHECKS.
  (C) ANY RECORD OBTAINED UNDER THIS COMPACT MAY BE USED  ONLY  FOR  THE
OFFICIAL PURPOSES FOR WHICH THE RECORD WAS REQUESTED. EACH COMPACT OFFI-
CER  SHALL  ESTABLISH PROCEDURES, CONSISTENT WITH THIS COMPACT, AND WITH
RULES, PROCEDURES, AND STANDARDS ESTABLISHED BY THE COUNCIL UNDER  ARTI-
CLE  VI,  WHICH PROCEDURES SHALL PROTECT THE ACCURACY AND PRIVACY OF THE
RECORDS, AND SHALL:
  1. ENSURE THAT RECORDS OBTAINED UNDER THIS COMPACT ARE  USED  ONLY  BY
AUTHORIZED OFFICIALS FOR AUTHORIZED PURPOSES;
  2.  REQUIRE  THAT  SUBSEQUENT  RECORD  CHECKS  ARE REQUESTED TO OBTAIN
CURRENT INFORMATION WHENEVER A NEW NEED ARISES; AND
  3. ENSURE THAT RECORD ENTRIES THAT MAY  NOT  LEGALLY  BE  USED  FOR  A
PARTICULAR  NONCRIMINAL  JUSTICE  PURPOSE  ARE DELETED FROM THE RESPONSE
AND, IF NO INFORMATION AUTHORIZED FOR RELEASE  REMAINS,  AN  APPROPRIATE
"NO RECORD" RESPONSE IS COMMUNICATED TO THE REQUESTING OFFICIAL.

                  ARTICLE V--RECORD REQUEST PROCEDURES

  (A) SUBJECT FINGERPRINTS OR OTHER APPROVED FORMS OF POSITIVE IDENTIFI-
CATION  SHALL BE SUBMITTED WITH ALL REQUESTS FOR CRIMINAL HISTORY RECORD
CHECKS FOR NONCRIMINAL JUSTICE PURPOSES.
  (B) EACH REQUEST FOR A CRIMINAL HISTORY  RECORD  CHECK  UTILIZING  THE
NATIONAL  INDICES MADE UNDER ANY APPROVED STATE STATUTE SHALL BE SUBMIT-
TED THROUGH THAT STATE'S CRIMINAL HISTORY  RECORD  REPOSITORY.  A  STATE
CRIMINAL  HISTORY  RECORD REPOSITORY SHALL PROCESS AN INTERSTATE REQUEST
FOR NONCRIMINAL JUSTICE PURPOSES THROUGH THE NATIONAL  INDICES  ONLY  IF
SUCH  REQUEST  IS  TRANSMITTED  THROUGH  ANOTHER  STATE CRIMINAL HISTORY
RECORD REPOSITORY OR THE FBI.
  (C) EACH REQUEST FOR CRIMINAL  HISTORY  RECORD  CHECKS  UTILIZING  THE
NATIONAL INDICES MADE UNDER FEDERAL AUTHORITY SHALL BE SUBMITTED THROUGH
THE  FBI OR, IF THE STATE CRIMINAL HISTORY RECORD REPOSITORY CONSENTS TO
PROCESS FINGERPRINT SUBMISSIONS, THROUGH  THE  CRIMINAL  HISTORY  RECORD
REPOSITORY  IN THE STATE IN WHICH SUCH REQUEST ORIGINATED. DIRECT ACCESS
TO THE NATIONAL IDENTIFICATION INDEX BY ENTITIES OTHER THAN THE FBI  AND
STATE  CRIMINAL  HISTORY RECORDS REPOSITORIES SHALL NOT BE PERMITTED FOR
NONCRIMINAL JUSTICE PURPOSES.
  (D) A STATE CRIMINAL HISTORY RECORD REPOSITORY OR THE FBI:
  1. MAY CHARGE A FEE, IN ACCORDANCE WITH APPLICABLE LAW, FOR HANDLING A
REQUEST  INVOLVING  FINGERPRINT  PROCESSING  FOR   NONCRIMINAL   JUSTICE
PURPOSES; AND
  2.  MAY  NOT  CHARGE  A  FEE FOR PROVIDING CRIMINAL HISTORY RECORDS IN
RESPONSE TO AN ELECTRONIC REQUEST FOR A RECORD THAT DOES NOT  INVOLVE  A
REQUEST TO PROCESS FINGERPRINTS.
  (E) 1. IF A STATE CRIMINAL HISTORY RECORD REPOSITORY CANNOT POSITIVELY
IDENTIFY  THE  SUBJECT  OF A RECORD REQUEST MADE FOR NONCRIMINAL JUSTICE
PURPOSES, THE REQUEST, TOGETHER  WITH  FINGERPRINTS  OR  OTHER  APPROVED
IDENTIFYING  INFORMATION,  SHALL BE FORWARDED TO THE FBI FOR A SEARCH OF
THE NATIONAL INDICES.

S. 2605--A                         17                         A. 3005--A

  2. IF, WITH RESPECT TO A REQUEST FORWARDED BY A STATE CRIMINAL HISTORY
RECORD REPOSITORY UNDER PARAGRAPH ONE OF THIS SUBDIVISION, THE FBI POSI-
TIVELY IDENTIFIES THE SUBJECT AS HAVING A III SYSTEM-INDEXED  RECORD  OR
RECORDS:
  A. THE FBI SHALL SO ADVISE THE STATE CRIMINAL HISTORY RECORD REPOSITO-
RY; AND
  B.  THE  STATE CRIMINAL HISTORY RECORD REPOSITORY SHALL BE ENTITLED TO
OBTAIN THE ADDITIONAL CRIMINAL HISTORY RECORD INFORMATION FROM  THE  FBI
OR OTHER STATE CRIMINAL HISTORY RECORD REPOSITORIES.

              ARTICLE VI--ESTABLISHMENT OF COMPACT COUNCIL

  (A)  1.  IN GENERAL, THERE IS ESTABLISHED A COUNCIL TO BE KNOWN AS THE
"COMPACT COUNCIL", WHICH SHALL HAVE THE AUTHORITY  TO  PROMULGATE  RULES
AND  PROCEDURES  GOVERNING  THE  USE  OF  THE III SYSTEM FOR NONCRIMINAL
JUSTICE PURPOSES, NOT TO CONFLICT WITH FBI  ADMINISTRATION  OF  THE  III
SYSTEM FOR CRIMINAL JUSTICE PURPOSES.
  2. THE COUNCIL SHALL:
  A. CONTINUE IN EXISTENCE AS LONG AS THIS COMPACT REMAINS IN EFFECT;
  B. BE LOCATED, FOR ADMINISTRATIVE PURPOSES, WITHIN THE FBI; AND
  C.  BE  ORGANIZED  AND  HOLD  ITS FIRST MEETING AS SOON AS PRACTICABLE
AFTER THE EFFECTIVE DATE OF THIS COMPACT.
  (B) THE COUNCIL SHALL BE COMPOSED OF FIFTEEN  MEMBERS,  EACH  OF  WHOM
SHALL BE APPOINTED BY THE ATTORNEY GENERAL, AS FOLLOWS:
  1.  NINE  MEMBERS, EACH OF WHOM SHALL SERVE A TWO-YEAR TERM, WHO SHALL
BE SELECTED FROM AMONG THE COMPACT OFFICERS OF PARTY STATES BASED ON THE
RECOMMENDATION OF THE COMPACT OFFICERS OF ALL PARTY STATES, EXCEPT THAT,
IN THE ABSENCE OF THE REQUISITE NUMBER OF COMPACT OFFICERS AVAILABLE  TO
SERVE, THE CHIEF ADMINISTRATORS OF THE CRIMINAL HISTORY RECORD REPOSITO-
RIES OF NONPARTY STATES SHALL BE ELIGIBLE TO SERVE ON AN INTERIM BASIS.
  2. TWO AT-LARGE MEMBERS, NOMINATED BY THE DIRECTOR OF THE FBI, EACH OF
WHOM SHALL SERVE A THREE-YEAR TERM, OF WHOM:
  A.  ONE  SHALL BE A REPRESENTATIVE OF THE CRIMINAL JUSTICE AGENCIES OF
THE FEDERAL GOVERNMENT AND MAY NOT BE AN EMPLOYEE OF THE FBI; AND
  B. ONE SHALL BE A REPRESENTATIVE OF THE NONCRIMINAL  JUSTICE  AGENCIES
OF THE FEDERAL GOVERNMENT.
  3.  TWO  AT-LARGE  MEMBERS,  NOMINATED BY THE CHAIRMAN OF THE COUNCIL,
ONCE THE CHAIRMAN IS ELECTED PURSUANT TO SUBDIVISION (C) OF  THIS  ARTI-
CLE, EACH OF WHOM SHALL SERVE A THREE-YEAR TERM, OF WHOM:
  A.  ONE  SHALL  BE A REPRESENTATIVE OF STATE OR LOCAL CRIMINAL JUSTICE
AGENCIES; AND
  B. ONE SHALL BE A REPRESENTATIVE OF STATE OR LOCAL NONCRIMINAL JUSTICE
AGENCIES.
  4. ONE MEMBER, WHO SHALL SERVE A THREE-YEAR TERM, AND WHO SHALL SIMUL-
TANEOUSLY BE A MEMBER OF THE FBI'S ADVISORY  POLICY  BOARD  ON  CRIMINAL
JUSTICE INFORMATION SERVICES, NOMINATED BY THE MEMBERSHIP OF THAT POLICY
BOARD.
  5. ONE MEMBER, NOMINATED BY THE DIRECTOR OF THE FBI, WHO SHALL SERVE A
THREE-YEAR TERM, AND WHO SHALL BE AN EMPLOYEE OF THE FBI.
  (C)  1.  IN  GENERAL,  FROM  ITS MEMBERSHIP, THE COUNCIL SHALL ELECT A
CHAIRMAN AND A VICE CHAIRMAN OF  THE  COUNCIL,  RESPECTIVELY.  BOTH  THE
CHAIRMAN AND VICE CHAIRMAN OF THE COUNCIL:
  A.  SHALL  BE A COMPACT OFFICER, UNLESS THERE IS NO COMPACT OFFICER ON
THE COUNCIL WHO IS WILLING TO SERVE, IN WHICH CASE THE CHAIRMAN  MAY  BE
AN AT-LARGE MEMBER; AND

S. 2605--A                         18                         A. 3005--A

  B.  SHALL SERVE A TWO-YEAR TERM AND MAY BE REELECTED TO ONLY ONE ADDI-
TIONAL TWO-YEAR TERM.
  2.    THE  VICE CHAIRMAN OF THE COUNCIL SHALL SERVE AS THE CHAIRMAN OF
THE COUNCIL IN THE ABSENCE OF THE CHAIRMAN.
  (D) 1.  IN GENERAL, THE COUNCIL SHALL MEET AT LEAST ONCE EACH YEAR  AT
THE  CALL  OF THE CHAIRMAN. EACH MEETING OF THE COUNCIL SHALL BE OPEN TO
THE PUBLIC. THE COUNCIL SHALL PROVIDE PRIOR PUBLIC NOTICE IN THE FEDERAL
REGISTER OF EACH MEETING OF THE COUNCIL, INCLUDING  THE  MATTERS  TO  BE
ADDRESSED AT SUCH MEETING.
  2.    A  MAJORITY OF THE COUNCIL OR ANY COMMITTEE OF THE COUNCIL SHALL
CONSTITUTE A QUORUM OF THE COUNCIL OR OF SUCH  COMMITTEE,  RESPECTIVELY,
FOR  THE CONDUCT OF BUSINESS. A LESSER NUMBER MAY MEET TO HOLD HEARINGS,
TAKE TESTIMONY, OR CONDUCT ANY BUSINESS NOT REQUIRING A VOTE.
  (E) THE COUNCIL SHALL MAKE AVAILABLE FOR PUBLIC INSPECTION AND COPYING
AT THE COUNCIL OFFICE WITHIN THE FBI, AND SHALL PUBLISH IN  THE  FEDERAL
REGISTER,  ANY  RULES, PROCEDURES, OR STANDARDS ESTABLISHED BY THE COUN-
CIL.
  (F) THE COUNCIL MAY  REQUEST  FROM  THE  FBI  SUCH  REPORTS,  STUDIES,
STATISTICS,  OR OTHER INFORMATION OR MATERIALS AS THE COUNCIL DETERMINES
TO BE NECESSARY TO ENABLE THE COUNCIL TO PERFORM ITS DUTIES  UNDER  THIS
COMPACT.  THE  FBI,  TO  THE  EXTENT AUTHORIZED BY LAW, MAY PROVIDE SUCH
ASSISTANCE OR INFORMATION UPON SUCH A REQUEST.
  (G) THE CHAIRMAN MAY ESTABLISH COMMITTEES AS NECESSARY  TO  CARRY  OUT
THIS  COMPACT  AND MAY PRESCRIBE THEIR MEMBERSHIP, RESPONSIBILITIES, AND
DURATION.

                  ARTICLE VII--RATIFICATION OF COMPACT

  THIS COMPACT SHALL TAKE EFFECT UPON BEING ENTERED INTO BY TWO OR  MORE
STATES  AS  BETWEEN THOSE STATES AND THE FEDERAL GOVERNMENT. UPON SUBSE-
QUENT ENTERING INTO THIS COMPACT BY ADDITIONAL STATES, IT  SHALL  BECOME
EFFECTIVE  AMONG  THOSE STATES AND THE FEDERAL GOVERNMENT AND EACH PARTY
STATE THAT HAS PREVIOUSLY RATIFIED IT. WHEN RATIFIED, THIS COMPACT SHALL
HAVE THE FULL FORCE AND EFFECT OF LAW  WITHIN  THE  RATIFYING  JURISDIC-
TIONS.  THE FORM OF RATIFICATION SHALL BE IN ACCORDANCE WITH THE LAWS OF
THE EXECUTING STATE.

                 ARTICLE VIII--MISCELLANEOUS PROVISIONS

  (A) ADMINISTRATION OF  THIS  COMPACT  SHALL  NOT  INTERFERE  WITH  THE
MANAGEMENT  AND  CONTROL  OF  THE  DIRECTOR  OF  THE  FBI OVER THE FBI'S
COLLECTION AND DISSEMINATION OF CRIMINAL HISTORY RECORDS AND  THE  ADVI-
SORY  FUNCTION  OF  THE  FBI'S ADVISORY POLICY BOARD CHARTERED UNDER THE
FEDERAL ADVISORY COMMITTEE ACT (5 U.S.C. APP.) FOR  ALL  PURPOSES  OTHER
THAN NONCRIMINAL JUSTICE.
  (B)  NOTHING  IN  THIS  COMPACT  SHALL  REQUIRE THE FBI TO OBLIGATE OR
EXPEND FUNDS BEYOND THOSE APPROPRIATED TO THE FBI.
  (C) NOTHING IN THIS COMPACT SHALL DIMINISH OR LESSEN THE  OBLIGATIONS,
RESPONSIBILITIES, AND AUTHORITIES OF ANY STATE, WHETHER A PARTY STATE OR
A  NONPARTY STATE, OR OF ANY CRIMINAL HISTORY RECORD REPOSITORY OR OTHER
SUBDIVISION OR  COMPONENT  THEREOF,  UNDER  THE  DEPARTMENTS  OF  STATE,
JUSTICE, AND COMMERCE, THE JUDICIARY, AND RELATED AGENCIES APPROPRIATION
ACT, 1973 (PUBLIC LAW 92-544), OR REGULATIONS AND GUIDELINES PROMULGATED
THEREUNDER,  INCLUDING THE RULES AND PROCEDURES PROMULGATED BY THE COUN-
CIL UNDER SUBDIVISION (A) OF ARTICLE VI, REGARDING THE USE  AND  DISSEM-
INATION OF CRIMINAL HISTORY RECORDS AND INFORMATION.

S. 2605--A                         19                         A. 3005--A

                        ARTICLE IX--RENUNCIATION

  (A)  IN  GENERAL,  THIS  COMPACT  SHALL  BIND  EACH  PARTY STATE UNTIL
RENOUNCED BY THE PARTY STATE.
  (B) ANY RENUNCIATION OF THIS COMPACT BY A PARTY STATE SHALL:
  1. BE EFFECTED IN THE SAME MANNER BY WHICH THE  PARTY  STATE  RATIFIED
THIS COMPACT; AND
  2.  BECOME  EFFECTIVE  ONE HUNDRED EIGHTY DAYS AFTER WRITTEN NOTICE OF
RENUNCIATION IS PROVIDED BY THE PARTY STATE TO EACH  OTHER  PARTY  STATE
AND TO THE FEDERAL GOVERNMENT.

                         ARTICLE X--SEVERABILITY

  THE  PROVISIONS OF THIS COMPACT SHALL BE SEVERABLE, AND IF ANY PHRASE,
CLAUSE, SENTENCE, OR PROVISION OF THIS COMPACT IS DECLARED TO BE CONTRA-
RY TO THE CONSTITUTION OF ANY PARTICIPATING STATE, OR TO  THE  CONSTITU-
TION  OF  THE UNITED STATES, OR THE APPLICABILITY THEREOF TO ANY GOVERN-
MENT, AGENCY, PERSON, OR CIRCUMSTANCE IS HELD INVALID, THE  VALIDITY  OF
THE  REMAINDER  OF  THIS  COMPACT  AND  THE APPLICABILITY THEREOF TO ANY
GOVERNMENT, AGENCY, PERSON, OR CIRCUMSTANCE SHALL NOT BE AFFECTED THERE-
BY. IF A PORTION OF THIS COMPACT IS HELD CONTRARY TO THE CONSTITUTION OF
ANY PARTY STATE, ALL OTHER PORTIONS OF THIS COMPACT SHALL REMAIN IN FULL
FORCE AND EFFECT AS TO THE REMAINING PARTY STATES AND IN FULL FORCE  AND
EFFECT AS TO THE PARTY STATE AFFECTED, AS TO ALL OTHER PROVISIONS.

                  ARTICLE XI--ADJUDICATION OF DISPUTES

  (A) THE COUNCIL SHALL:
  1.  HAVE  INITIAL AUTHORITY TO MAKE DETERMINATIONS WITH RESPECT TO ANY
DISPUTE REGARDING:
  A. INTERPRETATION OF THIS COMPACT;
  B. ANY RULE OR STANDARD ESTABLISHED BY THE COUNCIL PURSUANT TO ARTICLE
V; AND
  C. ANY DISPUTE OR CONTROVERSY BETWEEN ANY PARTIES TO THIS COMPACT; AND
  2. HOLD A HEARING CONCERNING ANY DISPUTE DESCRIBED IN PARAGRAPH ONE OF
THIS SUBDIVISION AT A REGULARLY SCHEDULED MEETING  OF  THE  COUNCIL  AND
ONLY  RENDER A DECISION BASED UPON A MAJORITY VOTE OF THE MEMBERS OF THE
COUNCIL.  SUCH DECISION SHALL BE PUBLISHED PURSUANT TO THE  REQUIREMENTS
OF SUBDIVISION (E) OF ARTICLE VI.
  (B)  THE FBI SHALL EXERCISE IMMEDIATE AND NECESSARY ACTION TO PRESERVE
THE INTEGRITY OF THE III SYSTEM, MAINTAIN SYSTEM POLICY  AND  STANDARDS,
PROTECT  THE  ACCURACY  AND  PRIVACY  OF RECORDS, AND TO PREVENT ABUSES,
UNTIL THE COUNCIL HOLDS A HEARING ON SUCH MATTERS.
  (C) THE FBI OR A PARTY STATE MAY APPEAL ANY DECISION OF THE COUNCIL TO
THE ATTORNEY GENERAL, AND THEREAFTER MAY FILE SUIT  IN  THE  APPROPRIATE
DISTRICT COURT OF THE UNITED STATES, WHICH SHALL HAVE ORIGINAL JURISDIC-
TION OF ALL CASES OR CONTROVERSIES ARISING UNDER THIS COMPACT.  ANY SUIT
ARISING  UNDER  THIS  COMPACT  AND  INITIATED  IN A STATE COURT SHALL BE
REMOVED TO THE APPROPRIATE DISTRICT COURT OF THE UNITED  STATES  IN  THE
MANNER   PROVIDED   BY  SECTION  FOURTEEN  HUNDRED  FORTY-SIX  OF  TITLE
TWENTY-EIGHT OF THE UNITED STATES CODE, OR OTHER STATUTORY AUTHORITY.
  S 2. This act shall take effect immediately.

                                 PART E

S. 2605--A                         20                         A. 3005--A

  Section 1. Section 2 of chapter 887 of the laws of 1983, amending  the
correction  law  relating to the psychological testing of candidates, as
amended by section 1 of part A of chapter 57 of the  laws  of  2011,  is
amended to read as follows:
  S 2. This act shall take effect on the one hundred eightieth day after
it  shall  have become a law [and shall remain in effect until September
1, 2013].
  S 2. Section 3 of chapter 428 of the laws of 1999, amending the execu-
tive law and the  criminal  procedure  law  relating  to  expanding  the
geographic  area of employment of certain police officers, as amended by
section 2 of part A of chapter 57 of the laws of  2011,  is  amended  to
read as follows:
  S  3.  This  act  shall  take effect on the first day of November next
succeeding the date on which it shall  have  become  a  law,  and  shall
remain  in effect until the first day of September, [2013] 2015, when it
shall expire and be deemed repealed.
  S 3. Section 3 of chapter 886  of  the  laws  of  1972,  amending  the
correction  law  and  the  penal  law  relating to prisoner furloughs in
certain cases and the crime  of  absconding  therefrom,  as  amended  by
section  3  of  part  A of chapter 57 of the laws of 2011, is amended to
read as follows:
  S 3. This act shall take effect 60 days after it shall have  become  a
law [and shall remain in effect until September 1, 2013].
  S  4. Section 20 of chapter 261 of the laws of 1987, amending chapters
50, 53 and 54 of the laws of 1987, the correction law, the penal law and
other chapters and laws relating to correctional facilities, as  amended
by  section 4 of part A of chapter 57 of the laws of 2011, is amended to
read as follows:
  S 20. This act shall take  effect  immediately  [except  that  section
thirteen  of  this act shall expire and be of no further force or effect
on and after September 1, 2013] and shall not apply to persons committed
to the custody of the department after such date, and  provided  further
that the commissioner of correctional services shall report each January
first  and July first during such time as the earned eligibility program
is in effect, to the chairmen of the senate  crime  victims,  crime  and
correction   committee,   the   senate  codes  committee,  the  assembly
correction committee, and the assembly codes committee, the standards in
effect for earned eligibility during the  prior  six-month  period,  the
number  of  inmates subject to the provisions of earned eligibility, the
number who actually received certificates of earned  eligibility  during
that  period  of  time,  the number of inmates with certificates who are
granted parole upon their first consideration  for  parole,  the  number
with  certificates who are denied parole upon their first consideration,
and the number of individuals granted and denied parole who did not have
earned eligibility certificates.
  S 5. Subdivision (q) of section 427 of chapter 55 of the laws of 1992,
amending the tax law and other laws relating to taxes, surcharges,  fees
and funding, as amended by section 5 of part A of chapter 57 of the laws
of 2011, is amended to read as follows:
  (q)  the  provisions  of  section  two hundred eighty-four of this act
shall remain in effect until September 1, [2013] 2015 and be  applicable
to all persons entering the program on or before August 31, [2013] 2015.
  S  6.  Section  10  of  chapter  339 of the laws of 1972, amending the
correction law and the  penal  law  relating  to  inmate  work  release,
furlough  and  leave, as amended by section 6 of part A of chapter 57 of
the laws of 2011, is amended to read as follows:

S. 2605--A                         21                         A. 3005--A

  S 10. This act shall take effect 30 days after it shall have become  a
law  [and  shall remain in effect until September 1, 2013], and provided
further that the commissioner of correctional services shall report each
January first, and July first, to  the  chairman  of  the  senate  crime
victims, crime and correction committee, the senate codes committee, the
assembly  correction  committee,  and  the assembly codes committee, the
number of eligible inmates  in  each  facility  under  the  custody  and
control  of  the  commissioner who have applied for participation in any
program offered under the  provisions  of  work  release,  furlough,  or
leave, and the number of such inmates who have been approved for partic-
ipation.
  S  7.  Subdivision (c) of section 46 of chapter 60 of the laws of 1994
relating to certain provisions which impact upon expenditure of  certain
appropriations made by chapter 50 of the laws of 1994 enacting the state
operations  budget,  as  amended by section 7 of part A of chapter 57 of
the laws of 2011, is amended to read as follows:
  (c) sections forty-one and forty-two of this act [shall expire Septem-
ber 1, 2013; provided, that the provisions of section forty-two of  this
act]  shall  apply  to  inmates  entering the work release program on or
after such effective date; and
  S 8.  Subdivision h of section 74 of chapter 3 of the  laws  of  1995,
amending the correction law and other laws relating to the incarceration
fee,  as  amended  by  section  9 of part A of chapter 57 of the laws of
2011, is amended to read as follows:
  h. Section fifty-two of this act shall be deemed to have been in  full
force and effect on and after April 1, 1995; provided, however, that the
provisions  of  section 189 of the correction law, as amended by section
fifty-five of this act, subdivision 5 of section 60.35 of the penal law,
as amended by section fifty-six of this act, and section fifty-seven  of
this  act shall expire September 1, [2013] 2015, when upon such date the
amendments to the correction law and penal law made by  sections  fifty-
five  and  fifty-six  of  this act shall revert to and be read as if the
provisions of this act had not been  enacted;  provided,  however,  that
sections  sixty-two,  sixty-three  and  sixty-four  of this act shall be
deemed to have been in full force and effect on and after March 1,  1995
and  shall  be  deemed  repealed  April  1,  1996 and upon such date the
provisions of subsection (e) of section 9110 of the  insurance  law  and
subdivision  2  of section 89-d of the state finance law shall revert to
and be read as set out in law on  the  date  immediately  preceding  the
effective date of sections sixty-two and sixty-three of this act;
  S 9. Subdivision (z) of section 427 of chapter 55 of the laws of 1992,
amending  the tax law and other laws relating to taxes, surcharges, fees
and funding, as amended by section 10 of part A of  chapter  57  of  the
laws of 2011, is amended to read as follows:
  (z)  the  provisions  of  section three hundred eighty-one of this act
shall apply to all persons supervised by the department  of  corrections
and  community  supervision  on or after the effective date of this act,
provided however, that subdivision 9 of section 259-a of  the  executive
law,  as  added  by  section three hundred eighty-one of this act, shall
expire on September 1, [2013] 2015;
  S 10. Subdivision (aa) of section 427 of chapter 55  of  the  laws  of
1992, amending the tax law and other laws relating to taxes, surcharges,
fees  and  funding,  as amended by section 11 of part A of chapter 57 of
the laws of 2011, is amended to read as follows:

S. 2605--A                         22                         A. 3005--A

  (aa) the  provisions  of  sections  three  hundred  eighty-two,  three
hundred  eighty-three  and  three  hundred eighty-four of this act shall
expire on September 1, [2013] 2015;
  S  11.  Section  12  of  chapter 907 of the laws of 1984, amending the
correction law, the New York city criminal court act and  the  executive
law  relating  to  prison and jail housing and alternatives to detention
and incarceration programs, as amended by section 12 of part A of  chap-
ter 57 of the laws of 2011, is amended to read as follows:
  S  12.  This  act  shall  take  effect  immediately,  except  that the
provisions of sections one through ten of this act shall remain in  full
force  and  effect  until  September  1, [2013] 2015 on which date those
provisions shall be deemed to be repealed.
  S 12.  Subdivision (p) of section 406 of chapter 166 of  the  laws  of
1991,  amending the tax law and other laws relating to taxes, as amended
by section 13 of part A of chapter 57 of the laws of 2011, is amended to
read as follows:
  (p) The amendments to section 1809 of the vehicle and traffic law made
by sections three hundred thirty-seven and three hundred thirty-eight of
this act shall not apply to any offense committed prior to  such  effec-
tive  date;  provided,  further, that section three hundred forty-one of
this act shall take effect immediately and shall expire November 1, 1993
at which time it  shall  be  deemed  repealed;  sections  three  hundred
forty-five  and  three  hundred  forty-six of this act shall take effect
July 1, 1991; sections three hundred fifty-five,  three  hundred  fifty-
six,  three hundred fifty-seven and three hundred fifty-nine of this act
shall take effect immediately and shall expire June 30, 1995  and  shall
revert to and be read as if this act had not been enacted; section three
hundred  fifty-eight of this act shall take effect immediately and shall
expire June 30, 1998 and shall revert to and be read as if this act  had
not been enacted; section three hundred sixty-four through three hundred
sixty-seven  of  this  act  shall apply to claims filed on or after such
effective date; sections three hundred sixty-nine, three hundred  seven-
ty-two,  three  hundred seventy-three, three hundred seventy-four, three
hundred seventy-five and three hundred seventy-six  of  this  act  shall
remain  in  effect  until  September  1, [2013] 2015, at which time they
shall  be  deemed  repealed;  provided,  however,  that  the   mandatory
surcharge  provided  in  section  three hundred seventy-four of this act
shall apply to parking violations occurring on or after  said  effective
date;  and  provided  further that the amendments made to section 235 of
the vehicle and traffic law by section three hundred seventy-two of this
act, the amendments made to section 1809 of the vehicle and traffic  law
by sections three hundred thirty-seven and three hundred thirty-eight of
this  act  and  the amendments made to section 215-a of the labor law by
section three hundred seventy-five of this act shall expire on September
1, [2013] 2015 and upon such date the provisions  of  such  subdivisions
and  sections  shall  revert to and be read as if the provisions of this
act had not been enacted; the amendments to  subdivisions  2  and  3  of
section  400.05 of the penal law made by sections three hundred seventy-
seven and three hundred seventy-eight of this act shall expire  on  July
1,  1992  and  upon  such date the provisions of such subdivisions shall
revert and shall be read as if the provisions of this act had  not  been
enacted;  the  state board of law examiners shall take such action as is
necessary to assure that all applicants for examination for admission to
practice as an attorney and counsellor at law shall  pay  the  increased
examination fee provided for by the amendment made to section 465 of the
judiciary  law by section three hundred eighty of this act for any exam-

S. 2605--A                         23                         A. 3005--A

ination given on or after the effective date of this act notwithstanding
that an applicant for such examination may have prepaid a lesser fee for
such examination as required by the provisions of such section 465 as of
the  date  prior  to  the  effective date of this act; the provisions of
section 306-a of the civil practice law and rules as  added  by  section
three  hundred eighty-one of this act shall apply to all actions pending
on or commenced on or after September 1, 1991, provided,  however,  that
for  the  purposes of this section service of such summons made prior to
such date shall be deemed to have been completed on September  1,  1991;
the  provisions  of section three hundred eighty-three of this act shall
apply to all money deposited  in  connection  with  a  cash  bail  or  a
partially  secured  bail  bond  on or after such effective date; and the
provisions of sections  three  hundred  eighty-four  and  three  hundred
eighty-five  of  this  act  shall  apply  only to jury service commenced
during a judicial term beginning on or after the effective date of  this
act; provided, however, that nothing contained herein shall be deemed to
affect  the  application,  qualification,  expiration  or  repeal of any
provision of law amended by any section of this act and such  provisions
shall  be  applied or qualified or shall expire or be deemed repealed in
the same manner, to the same extent and on the same date as the case may
be as otherwise provided by law;
  S 13. Subdivision 8 of section 1809 of the vehicle and traffic law, as
amended by section 14 of part A of chapter 57 of the laws  of  2011,  is
amended to read as follows:
  8. The provisions of this section shall only apply to offenses commit-
ted on or before September first, two thousand [thirteen] FIFTEEN.
  S 14. Section 6 of chapter 713 of the laws of 1988, amending the vehi-
cle  and  traffic law relating to the ignition interlock device program,
as amended by section 15 of part A of chapter 57 of the laws of 2011, is
amended to read as follows:
  S 6. This act shall take  effect  on  the  first  day  of  April  next
succeeding  the  date  on  which  it  shall have become a law; provided,
however, that effective immediately, the addition, amendment  or  repeal
of  any rule or regulation necessary for the implementation of the fore-
going sections of this act on their effective  date  is  authorized  and
directed  to  be made and completed on or before such effective date and
shall remain in full force and effect until the first day of  September,
[2013]  2015  when  upon  such  date the provisions of this act shall be
deemed repealed.
  S 15. Paragraph a of subdivision 6 of section 76 of chapter 435 of the
laws of 1997, amending the military law and other laws relating to vari-
ous provisions, as amended by section 16 of part A of chapter 57 of  the
laws of 2011, is amended to read as follows:
  a.  sections  forty-three  through forty-five of this act shall expire
and be deemed repealed on September 1, [2013] 2015;
  S 16. Section 4 of part D of chapter 412 of the laws of 1999, amending
the civil practice law and rules and the court of claims act relating to
prisoner litigation reform, as amended by section 17 of part A of  chap-
ter 57 of the laws of 2011, is amended to read as follows:
  S  4. This act shall take effect 120 days after it shall have become a
law and shall remain in full force and effect until September 1,  [2013]
2015, when upon such date it shall expire.
  S  17. Subdivision 2 of section 59 of chapter 222 of the laws of 1994,
constituting the family protection and  domestic  violence  intervention
act  of  1994,  as  amended by section 18 of part A of chapter 57 of the
laws of 2011, is amended to read as follows:

S. 2605--A                         24                         A. 3005--A

  2. Subdivision 4 of section 140.10 of the criminal  procedure  law  as
added  by  section  thirty-two  of this act shall take effect January 1,
1996 and shall expire and be deemed  repealed  on  September  1,  [2013]
2015.
  S 18. Section 5 of chapter 505 of the laws of 1985, amending the crim-
inal  procedure law relating to the use of closed-circuit television and
other protective measures for certain child  witnesses,  as  amended  by
section  19  of  part A of chapter 57 of the laws of 2011, is amended to
read as follows:
  S 5. This act shall take effect immediately and  shall  apply  to  all
criminal  actions  and proceedings commenced prior to the effective date
of this act but still pending on such  date  as  well  as  all  criminal
actions  and  proceedings  commenced on or after such effective date and
its provisions shall expire on  September 1, [2013] 2015, when upon such
date the provisions of this act shall be deemed repealed.
  S 19. Subdivision d of section 74 of chapter 3 of the  laws  of  1995,
enacting  the sentencing reform act of 1995, as amended by section 20 of
part A of chapter 57 of the laws of 2011, is amended to read as follows:
  d. Sections one-a through twenty,  twenty-four  through  twenty-eight,
thirty  through  thirty-nine, forty-two and forty-four of this act shall
be deemed repealed on September 1, [2013] 2015;
  S 20. Section 2 of chapter 689 of the laws of 1993 amending the crimi-
nal procedure law relating to electronic  court  appearance  in  certain
counties,  as  amended by section 21 of part A of chapter 57 of the laws
of 2011, is amended to read as follows:
  S  2.  This  act  shall  take  effect  immediately,  except  that  the
provisions  of  this  act shall be deemed to have been in full force and
effect since July 1, 1992 and the provisions of this  act  shall  expire
September  1, [2013] 2015 when upon such date the provisions of this act
shall be deemed repealed.
  S 21. Section 3 of chapter 688 of the laws of 2003, amending the exec-
utive law relating to enacting the interstate compact for adult offender
supervision, as amended by section 22 of part A of  chapter  57  of  the
laws of 2011, is amended to read as follows:
  S  3.  This act shall take effect immediately, except that section one
of this act shall take effect on the first of  January  next  succeeding
the  date  on  which  it  shall  have become a law[, and shall remain in
effect until the first of September, 2013,  upon  which  date  this  act
shall be deemed repealed and have no further force and effect]; provided
that  section one of this act shall only take effect with respect to any
compacting state  which  has  enacted  an  interstate  compact  entitled
"Interstate  compact for adult offender supervision" and having an iden-
tical effect to that added by section  one  of  this  act  and  provided
further  that with respect to any such compacting state, upon the effec-
tive date of section one of this act, section 259-m of the executive law
is hereby deemed REPEALED and section 259-mm of the  executive  law,  as
added  by  section  one  of  this  act,  shall take effect; and provided
further that with respect to any state which has not enacted  an  inter-
state  compact  entitled  "Interstate  compact for adult offender super-
vision" and having an identical effect to that added by section  one  of
this  act,  section 259-m of the executive law shall take effect and the
provisions of section one of this act, with respect to any  such  state,
shall  have no force or effect until such time as such state shall adopt
an interstate compact entitled "Interstate compact  for  adult  offender
supervision" and having an identical effect to that added by section one
of  this  act in which case, with respect to such state, effective imme-

S. 2605--A                         25                         A. 3005--A

diately, section 259-m of the  executive  law  is  deemed  repealed  and
section  259-mm  of  the  executive law, as added by section one of this
act, shall take effect.
  S  22. Section 8 of part H of chapter 56 of the laws of 2009, amending
the correction law relating to limiting the closing of  certain  correc-
tional  facilities,  providing  for  the  custody  by  the department of
correctional services of inmates serving definite  sentences,  providing
for  custody  of  federal prisoners and requiring the closing of certain
correctional facilities, as amended by section 23 of part A  of  chapter
57 of the laws of 2011, is amended to read as follows:
  S  8.  This  act shall take effect immediately; provided, however that
sections five and six of this act shall expire and  be  deemed  repealed
September 1, [2013] 2015.
  S  23. Section 3 of part C of chapter 152 of the laws of 2001 amending
the military law relating to military funds of the organized militia, as
amended by section 25 of part A of chapter 57 of the laws  of  2011,  is
amended to read as follows:
  S  3.  This act shall take effect on the same date as the reversion of
subdivision 5 of section 183 and subdivision 1 of  section  221  of  the
military  law  as  provided  by section 76 of chapter 435 of the laws of
1997, as amended by section 1 of chapter 19 of the laws of 1999 notwith-
standing this act shall be deemed to have been in full force and  effect
on  and  after  July  31, 2005 and shall remain in full force and effect
until September 1, [2013] 2015  when  upon  such  date  this  act  shall
expire.
  S 24. This act shall take effect immediately.

                                 PART F

  Section  1.  Section  2  of  part H of chapter 503 of the laws of 2009
relating to the disposition  of  monies  recovered  by  county  district
attorneys  before  the filing of an accusatory instrument, as amended by
section 1 of part F of chapter 55 of the laws of  2012,  is  amended  to
read as follows:
  S  2.  This act shall take effect immediately and shall remain in full
force and effect until March 31, [2013] 2014, when it shall  expire  and
be deemed repealed.
  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, 2013.

                                 PART G

  Section 1. Legislative findings and intent. The legislature finds that
local governments and school districts are facing increased stress  from
rising  costs  including  employee pension obligations.  Ultimately, the
growth in pension costs results in greater stress on the  already  over-
burdened taxpayer.
  It  is  the  intent  of the legislature to offer local governments and
school districts the option to lock-in to  a  long-term  stable  pension
contribution  rate. The intent is to provide local governments with more
stability and predictability for pension obligations,  while  simultane-
ously ensuring the adequacy of pension system funding.
  It  is  the intent of the legislature to authorize the comptroller and
the New York state teachers' retirement  system  board  to  establish  a
long-term  stable  contribution option assuming a baseline term of twen-
ty-five years.   If the comptroller and the  New  York  state  teachers'

S. 2605--A                         26                         A. 3005--A

retirement system board elect to implement this act, the comptroller and
the   New  York  state  teachers'  retirement  system  board,  at  their
discretion, will determine whether such baseline term shall be increased
or  decreased, as appropriate to ensure adequate pension system funding.
It is the intent of the legislature that the  comptroller  and  the  New
York   state   teachers'  retirement  system  board,  subject  to  their
discretion, strive to minimize any extension of such  baseline  term  or
terms,  to the extent possible, and to the extent an extension is neces-
sary, limit any extension of such baseline term or terms not  to  exceed
five  additional  years, to the extent possible, while ensuring adequate
pension system funding over the full term of this option.
  S 2. The retirement and social security law is amended by adding a new
section 17-e to read as follows:
  S 17-E. LONG-TERM STABLE CONTRIBUTION OPTION FOR PARTICIPATING MUNICI-
PAL EMPLOYERS FOR  THE  TWO  THOUSAND  THIRTEEN--TWO  THOUSAND  FOURTEEN
FISCAL  YEAR.  A.  IN ADDITION TO THE DEFINITIONS IN SECTION TWO OF THIS
ARTICLE, WHEN USED IN THIS SECTION:
  (1) "PARTICIPATING MUNICIPAL EMPLOYER"  SHALL  MEAN  A  COUNTY,  CITY,
TOWN,  VILLAGE  OR SCHOOL DISTRICT WHO ELECTS TO PAY THE STABLE CONTRIB-
UTION AMOUNT IN THE MANNER PROVIDED IN THIS SECTION.
  (2) "STABLE CONTRIBUTION AMOUNT" SHALL MEAN AN AMOUNT EQUAL TO  TWELVE
PERCENT  OF THE ESTIMATED PENSIONABLE SALARY BASE (EXCLUSIVE OF PAYMENTS
FOR GROUP TERM LIFE INSURANCE, DEFICIENCY PAYMENTS, ADJUSTMENTS RELATING
TO PRIOR FISCAL YEARS' OBLIGATIONS, OBLIGATIONS PERTAINING TO RETIREMENT
INCENTIVES AND AMORTIZED PAYMENTS PURSUANT TO SECTION NINETEEN-A OF THIS
TITLE OR ANY OTHER OBLIGATIONS THAT A PARTICIPATING  MUNICIPAL  EMPLOYER
IS PERMITTED TO PAY ON AN AMORTIZED BASIS).
  (3) "STABLE CONTRIBUTION RATE" SHALL MEAN TWELVE PERCENT.
  B.  NOTWITHSTANDING THE PROVISIONS OF THIS CHAPTER OR ANY OTHER LAW TO
THE CONTRARY, THE COMPTROLLER, IN HIS  OR  HER  DISCRETION,  SHALL  HAVE
AUTHORITY  TO  IMPLEMENT  THE  PROVISIONS  OF THIS SECTION. IF THE COMP-
TROLLER  ELECTS  TO  IMPLEMENT  THE  PROVISIONS  OF  THIS  SECTION,  THE
PROVISIONS  OF  THIS SECTION SHALL APPLY TO THE PAYMENT OF PARTICIPATING
MUNICIPAL EMPLOYER CONTRIBUTIONS FOR THE FISCAL YEAR COMMENCING ON APRIL
FIRST, TWO THOUSAND THIRTEEN, AND FOR SUBSEQUENT FISCAL YEARS.
  C. FOR EACH FISCAL YEAR TO WHICH THE PROVISIONS OF THIS SECTION APPLY,
THE COMPTROLLER SHALL USE THE STABLE CONTRIBUTION RATE FOR PARTICIPATING
MUNICIPAL EMPLOYERS.
  D. IF THE COMPTROLLER, IN HIS OR HER DISCRETION, DECIDES TO  PERMIT  A
STABLE  EMPLOYER CONTRIBUTION OPTION PURSUANT TO THIS SECTION, THEN, THE
COMPTROLLER SHALL DETERMINE THE STABLE CONTRIBUTION AMOUNT FOR A PARTIC-
IPATING MUNICIPAL EMPLOYER PURSUANT TO PARAGRAPH TWO OF SUBDIVISION A OF
THIS SECTION. SUCH CONTRIBUTION SHALL BE IN LIEU  OF  THE  PARTICIPATING
MUNICIPAL  EMPLOYER'S  NORMAL  AND  ADMINISTRATIVE CONTRIBUTIONS FOR THE
FISCAL YEAR DETERMINED IN  ACCORDANCE  WITH  SECTIONS  TWENTY-THREE  AND
TWENTY-THREE-A OF THIS ARTICLE.
  E.  PARTICIPATING  MUNICIPAL  EMPLOYERS  ARE  AUTHORIZED TO CHOOSE THE
STABLE EMPLOYER CONTRIBUTION OPTION WITH REGARD TO THE  FEBRUARY  FIRST,
TWO  THOUSAND FOURTEEN PENSION BILL. A PARTICIPATING MUNICIPAL EMPLOYER,
MAY, IN LIEU OF PAYING ITS NORMAL AND ADMINISTRATIVE FEBRUARY FIRST, TWO
THOUSAND FOURTEEN PENSION BILL, PAY THE STABLE CONTRIBUTION AMOUNT. SUCH
PARTICIPATING MUNICIPAL  EMPLOYER  SHALL  PAY  THE  STABLE  CONTRIBUTION
AMOUNT  FOR  A  PERIOD OF TWENTY-FIVE YEARS PROVIDED, HOWEVER, THAT SUCH
TWENTY-FIVE YEAR PERIOD MAY BE INCREASED OR DECREASED AT THE  DISCRETION
OF  THE  COMPTROLLER  PURSUANT  TO  SUBDIVISION  K OF THIS SECTION. THIS
LONG-TERM STABLE CONTRIBUTION OPTION SHALL COMMENCE IN THE  FISCAL  YEAR

S. 2605--A                         27                         A. 3005--A

ENDING  MARCH  THIRTY-FIRST,  TWO THOUSAND FOURTEEN AND SHALL END AT THE
DISCRETION OF THE COMPTROLLER PURSUANT TO SUBDIVISION K OF THIS SECTION.
  F. ANY PARTICIPATING MUNICIPAL EMPLOYER WHICH ELECTS TO PAY THE STABLE
CONTRIBUTION  AMOUNT  PURSUANT  TO SUBDIVISIONS A, B, C, D AND E OF THIS
SECTION SHALL PAY THE AMOUNT BASED ON THE STABLE CONTRIBUTION RATE FOR A
PERIOD OF TWENTY-FIVE  YEARS,  SUCH  TERM  AS  SUBJECT  TO  INCREASE  OR
DECREASE  AT THE DISCRETION OF THE COMPTROLLER PURSUANT TO SUBDIVISION K
OF THIS SECTION. THIS LONG-TERM STABLE CONTRIBUTION  SHALL  COMMENCE  IN
THE  FISCAL  YEAR  ENDING  MARCH THIRTY-FIRST, TWO THOUSAND FOURTEEN AND
SHALL END AT THE DISCRETION OF THE COMPTROLLER PURSUANT TO SUBDIVISION K
OF THIS SECTION. UPON COMPLETION OF SUCH LONG-TERM  STABLE  CONTRIBUTION
OPTION,  THE PARTICIPATING MUNICIPAL EMPLOYER SHALL RESUME PAYING NORMAL
AND  ADMINISTRATIVE  EMPLOYER   CONTRIBUTIONS   PURSUANT   TO   SECTIONS
TWENTY-THREE AND TWENTY-THREE-A OF THIS ARTICLE.
  G.  A  PARTICIPATING  MUNICIPAL  EMPLOYER MAKING A PAYMENT PURSUANT TO
SUBDIVISIONS A, B, C, D, E AND F OF THIS SECTION SHALL PAY  ON  FEBRUARY
FIRST,  TWO THOUSAND FOURTEEN AN AMOUNT DETERMINED BY THE COMPTROLLER BY
ADDING THE FOLLOWING TWO AMOUNTS TOGETHER:
  (1) THE STABLE CONTRIBUTION AMOUNT CALCULATED PURSUANT TO SUBDIVISIONS
A, B, C, D, E AND F OF THIS SECTION; AND
  (2) PAYMENTS FOR  GROUP  TERM  LIFE  INSURANCE,  DEFICIENCY  PAYMENTS,
ADJUSTMENTS  RELATING  TO  PRIOR  FISCAL YEARS' OBLIGATIONS, OBLIGATIONS
PERTAINING TO RETIREMENT INCENTIVES AND AMORTIZED PAYMENTS  PURSUANT  TO
SECTION NINETEEN-A OF THIS TITLE OR ANY OTHER OBLIGATIONS THAT A PARTIC-
IPATING MUNICIPAL EMPLOYER IS PERMITTED TO PAY ON AN AMORTIZED BASIS.
  H.  THE STABLE CONTRIBUTION AMOUNT MUST BE PAID IN FULL BY PARTICIPAT-
ING MUNICIPAL EMPLOYERS ON THE  DATE  SET  FORTH  IN  SUBDIVISION  C  OF
SECTION SEVENTEEN OF THIS TITLE.
  I.  A  PARTICIPATING  MUNICIPAL  EMPLOYER  WHICH  ELECTS THE LONG-TERM
STABLE CONTRIBUTION OPTION  SHALL  BE  PROHIBITED  FROM  AMORTIZING  ANY
PORTION  OF  ITS  FUTURE  PENSION  BILL PURSUANT TO THE OPTION OTHERWISE
AVAILABLE IN SECTION NINETEEN-A OF THIS TITLE.
  J. THE COMPTROLLER IS AUTHORIZED TO EVALUATE THE  STABLE  CONTRIBUTION
RATE  USED  TO  CALCULATE  PARTICIPATING MUNICIPAL EMPLOYER CONTRIBUTION
AMOUNTS IN THE FISCAL YEAR  COMMENCING  ON  APRIL  FIRST,  TWO  THOUSAND
SEVENTEEN AND SUBSEQUENTLY IN THE FISCAL YEAR COMMENCING ON APRIL FIRST,
TWO  THOUSAND TWENTY-TWO.  SUCH EVALUATION SHALL BE BASED ON A LONG-TERM
PROJECTION OF ASSETS AND LIABILITIES SO AS TO ENSURE THAT  CONTRIBUTIONS
BY  MUNICIPAL  EMPLOYERS  WHICH  PARTICIPATE  IN  THE  LONG-TERM  STABLE
CONTRIBUTION OPTION ARE ADEQUATE TO ENSURE THAT SYSTEM ASSETS  OVER  THE
LONG-TERM STABLE CONTRIBUTION OPTION PERIOD ARE SUFFICIENT TO FUND BENE-
FITS FOR ACTIVE AND RETIRED MEMBERS ASSOCIATED WITH PARTICIPATING MUNIC-
IPAL  EMPLOYERS.  THE  COMPTROLLER  IS AUTHORIZED TO INCREASE THE STABLE
CONTRIBUTION RATE BY UP TO TWO PERCENTAGE POINTS AT SUCH  FIVE-YEAR  AND
SUBSEQUENT  TEN-YEAR  EVALUATION.  THE  REVISED STABLE CONTRIBUTION RATE
RESULTING FROM THE FIVE AND SUBSEQUENT TEN-YEAR EVALUATIONS MAY NOT,  IN
COMBINATION,  EXCEED  SIXTEEN  PERCENT. THE COMPTROLLER IS AUTHORIZED TO
DECREASE THE STABLE CONTRIBUTION RATE IF WARRANTED AT THE TEN-YEAR EVAL-
UATION BUT IN NO EVENT SHALL THE STABLE CONTRIBUTION RATE BE  LESS  THAN
TWELVE PERCENT.
  K.  (1) THE BASELINE LONG-TERM STABLE CONTRIBUTION TERM SHALL BE TWEN-
TY-FIVE  YEARS.  PROVIDED,  HOWEVER,  SUCH  BASELINE  LONG-TERM   STABLE
CONTRIBUTION  TERM  MAY  EVENTUALLY  BE  INCREASED  OR DECREASED, AT THE
DISCRETION OF THE COMPTROLLER, SO AS TO ENSURE THAT  SYSTEM  ASSETS  ARE
SUFFICIENT  TO  FUND  BENEFITS FOR ACTIVE AND RETIRED MEMBERS ASSOCIATED
WITH PARTICIPATING MUNICIPAL EMPLOYERS.

S. 2605--A                         28                         A. 3005--A

  (2) THE COMPTROLLER IS AUTHORIZED TO EVALUATE THE  BASELINE  LONG-TERM
STABLE CONTRIBUTION TERM EVERY FIVE YEARS AFTER THE FISCAL YEAR COMMENC-
ING  ON APRIL FIRST, TWO THOUSAND THIRTEEN. SUCH EVALUATION SHALL INFORM
PARTICIPATING MUNICIPAL EMPLOYERS WHETHER THE BASELINE LONG-TERM  STABLE
CONTRIBUTION  TERM IS EXPECTED TO INCREASE OR DECREASE PURSUANT TO PARA-
GRAPH ONE OF THIS SUBDIVISION AND  THE  DURATION  OF  SUCH  INCREASE  OR
DECREASE.
  L.  A  PARTICIPATING MUNICIPAL EMPLOYER MAY ELECT TO TERMINATE PARTIC-
IPATION IN THE LONG-TERM STABLE CONTRIBUTION OPTION AND  RESUME  PAYMENT
OF  THE  NORMAL  AND  ADMINISTRATIVE  CONTRIBUTIONS  IN  ACCORDANCE WITH
SECTIONS TWENTY-THREE AND  TWENTY-THREE-A  OF  THIS  ARTICLE.  PROVIDED,
HOWEVER,  THAT  SUCH  PARTICIPATING  MUNICIPAL  EMPLOYER WHICH ELECTS TO
TERMINATE PARTICIPATION SHALL MAKE A RECONCILIATION CONTRIBUTION TO  THE
RETIREMENT  SYSTEM,  AT  AN  AMOUNT TO BE DETERMINED BY THE COMPTROLLER,
ADEQUATE TO FUND THE BENEFITS FOR ACTIVE AND RETIRED MEMBERS  ASSOCIATED
WITH SUCH PARTICIPATING MUNICIPAL EMPLOYER HAD SUCH PARTICIPATING MUNIC-
IPAL EMPLOYER NOT ELECTED THE PROVISIONS OF THIS SECTION. SUCH RECONCIL-
IATION CONTRIBUTION SHALL BE MADE OVER A PERIOD NOT TO EXCEED FIVE YEARS
AND  SHALL BE MADE IN ADDITION TO THE NORMAL AND ADMINISTRATIVE CONTRIB-
UTIONS PURSUANT TO SECTIONS  TWENTY-THREE  AND  TWENTY-THREE-A  OF  THIS
ARTICLE  FOR  THE  FISCAL  YEAR  IN  WHICH  SUCH PARTICIPATING MUNICIPAL
EMPLOYER CHOOSES TO RESUME PAYMENT  OF  THE  NORMAL  AND  ADMINISTRATIVE
CONTRIBUTIONS  PURSUANT  TO  SECTIONS TWENTY-THREE AND TWENTY-THREE-A OF
THIS ARTICLE. TERMINATION OF THE LONG-TERM STABLE CONTRIBUTION OPTION BY
A PARTICIPATING MUNICIPAL  EMPLOYER  SHALL  BE  SUBJECT  TO  TIMING  AND
NOTIFICATION PROCEDURES ESTABLISHED BY THE COMPTROLLER.
  S  3.  Paragraph  1 of subdivision b of section 23-a of the retirement
and social security law, as added by section 1 of part A of  chapter  49
of the laws of 2003, is amended to read as follows:
  1.  revision  of the schedule pertaining to the valuation, billing and
payment of contributions  by  the  state  and  participating  employers,
EXCLUDING PARTICIPATING MUNICIPAL EMPLOYERS AS DEFINED IN SECTION SEVEN-
TEEN-E  OF  THIS  ARTICLE,  under  which the valuation of the assets and
liabilities of the retirement system, EXCLUDING THE ASSETS  AND  LIABIL-
ITIES  ASSOCIATED  WITH  PARTICIPATING MUNICIPAL EMPLOYERS AS DEFINED IN
SECTION SEVENTEEN-E OF THIS ARTICLE, undertaken on the first  day  of  a
fiscal  year  shall  be  used  to determine the contribution rates to be
applied to the pensionable  salaries  of  the  state  and  participating
employers, WITH THE EXCEPTION OF THE PENSIONABLE SALARIES OF PARTICIPAT-
ING  MUNICIPAL EMPLOYERS AS DEFINED IN SECTION SEVENTEEN-E OF THIS ARTI-
CLE, for the next succeeding fiscal year; and
  S 4. The retirement and social security law is amended by adding a new
section 317-e to read as follows:
  S 317-E. LONG-TERM STABLE CONTRIBUTION OPTION FOR PARTICIPATING MUNIC-
IPAL EMPLOYERS FOR THE  TWO  THOUSAND  THIRTEEN--TWO  THOUSAND  FOURTEEN
FISCAL  YEAR. A. IN ADDITION TO THE DEFINITIONS IN SECTION THREE HUNDRED
TWO OF THIS ARTICLE, WHEN USED IN THIS SECTION:
  (1) "PARTICIPATING MUNICIPAL EMPLOYER" SHALL MEAN A COUNTY, CITY, TOWN
OR VILLAGE WHO ELECTS TO PAY  THE  STABLE  CONTRIBUTION  AMOUNT  IN  THE
MANNER PROVIDED IN THIS SECTION.
  (2)  "STABLE  CONTRIBUTION AMOUNT" SHALL MEAN AN AMOUNT EQUAL TO EIGH-
TEEN AND FIVE-TENTHS PERCENT OF THE ESTIMATED  PENSIONABLE  SALARY  BASE
(EXCLUSIVE  OF  PAYMENTS  FOR  GROUP  TERM  LIFE  INSURANCE,  DEFICIENCY
PAYMENTS, ADJUSTMENTS RELATING TO PRIOR FISCAL YEARS' OBLIGATIONS, OBLI-
GATIONS PERTAINING  TO  RETIREMENT  INCENTIVES  AND  AMORTIZED  PAYMENTS
PURSUANT  TO SECTION THREE HUNDRED NINETEEN-A OF THIS TITLE OR ANY OTHER

S. 2605--A                         29                         A. 3005--A

OBLIGATIONS THAT A PARTICIPATING MUNICIPAL EMPLOYER IS PERMITTED TO  PAY
ON AN AMORTIZED BASIS).
  (3)  "STABLE  CONTRIBUTION  RATE"  SHALL MEAN EIGHTEEN AND FIVE-TENTHS
PERCENT.
  B. NOTWITHSTANDING THE PROVISIONS OF THIS CHAPTER OR ANY OTHER LAW  TO
THE  CONTRARY,  THE  COMPTROLLER,  IN  HIS OR HER DISCRETION, SHALL HAVE
AUTHORITY TO IMPLEMENT THE PROVISIONS OF  THIS  SECTION.  IF  THE  COMP-
TROLLER  ELECTS  TO  IMPLEMENT  THE  PROVISIONS  OF  THIS  SECTION,  THE
PROVISIONS OF THIS SECTION SHALL APPLY TO THE PAYMENT  OF  PARTICIPATING
MUNICIPAL EMPLOYER CONTRIBUTIONS FOR THE FISCAL YEAR COMMENCING ON APRIL
FIRST, TWO THOUSAND THIRTEEN, AND FOR SUBSEQUENT FISCAL YEARS.
  C. FOR EACH FISCAL YEAR TO WHICH THE PROVISIONS OF THIS SECTION APPLY,
THE COMPTROLLER SHALL USE THE STABLE CONTRIBUTION RATE FOR PARTICIPATING
MUNICIPAL EMPLOYERS.
  D.  IF  THE COMPTROLLER, IN HIS OR HER DISCRETION, DECIDES TO PERMIT A
STABLE EMPLOYER CONTRIBUTION OPTION PURSUANT TO THIS SECTION, THEN,  THE
COMPTROLLER SHALL DETERMINE THE STABLE CONTRIBUTION AMOUNT FOR A PARTIC-
IPATING MUNICIPAL EMPLOYER PURSUANT TO PARAGRAPH TWO OF SUBDIVISION A OF
THIS  SECTION.  SUCH  CONTRIBUTION SHALL BE IN LIEU OF THE PARTICIPATING
MUNICIPAL EMPLOYER'S NORMAL AND  ADMINISTRATIVE  CONTRIBUTIONS  FOR  THE
FISCAL  YEAR  DETERMINED IN ACCORDANCE WITH SECTIONS THREE HUNDRED TWEN-
TY-THREE AND THREE HUNDRED TWENTY-THREE-A OF THIS ARTICLE.
  E. PARTICIPATING MUNICIPAL EMPLOYERS  ARE  AUTHORIZED  TO  CHOOSE  THE
STABLE  EMPLOYER  CONTRIBUTION OPTION WITH REGARD TO THE FEBRUARY FIRST,
TWO THOUSAND FOURTEEN PENSION BILL. A PARTICIPATING MUNICIPAL  EMPLOYER,
MAY, IN LIEU OF PAYING ITS NORMAL AND ADMINISTRATIVE FEBRUARY FIRST, TWO
THOUSAND FOURTEEN PENSION BILL, PAY THE STABLE CONTRIBUTION AMOUNT. SUCH
PARTICIPATING  MUNICIPAL  EMPLOYER  SHALL  PAY  THE  STABLE CONTRIBUTION
AMOUNT FOR A PERIOD OF TWENTY-FIVE YEARS PROVIDED,  HOWEVER,  THAT  SUCH
TWENTY-FIVE  YEAR PERIOD MAY BE INCREASED OR DECREASED AT THE DISCRETION
OF THE COMPTROLLER PURSUANT TO  SUBDIVISION  K  OF  THIS  SECTION.  THIS
LONG-TERM  STABLE  CONTRIBUTION OPTION SHALL COMMENCE IN THE FISCAL YEAR
ENDING MARCH THIRTY-FIRST, TWO THOUSAND FOURTEEN AND SHALL  END  AT  THE
DISCRETION OF THE COMPTROLLER PURSUANT TO SUBDIVISION K OF THIS SECTION.
  F. ANY PARTICIPATING MUNICIPAL EMPLOYER WHICH ELECTS TO PAY THE STABLE
CONTRIBUTION  AMOUNT  PURSUANT  TO SUBDIVISIONS A, B, C, D AND E OF THIS
SECTION SHALL PAY THE AMOUNT BASED ON THE STABLE CONTRIBUTION RATE FOR A
PERIOD OF TWENTY-FIVE  YEARS,  SUCH  TERM  AS  SUBJECT  TO  INCREASE  OR
DECREASE  AT THE DISCRETION OF THE COMPTROLLER PURSUANT TO SUBDIVISION K
OF THIS SECTION. THIS LONG-TERM STABLE CONTRIBUTION  SHALL  COMMENCE  IN
THE  FISCAL  YEAR  ENDING  MARCH THIRTY-FIRST, TWO THOUSAND FOURTEEN AND
SHALL END AT THE DISCRETION OF THE COMPTROLLER PURSUANT TO SUBDIVISION K
OF THIS SECTION. UPON COMPLETION OF SUCH LONG-TERM  STABLE  CONTRIBUTION
OPTION,  THE PARTICIPATING MUNICIPAL EMPLOYER SHALL RESUME PAYING NORMAL
AND ADMINISTRATIVE EMPLOYER CONTRIBUTIONS  PURSUANT  TO  SECTIONS  THREE
HUNDRED TWENTY-THREE AND THREE HUNDRED TWENTY-THREE-A OF THIS ARTICLE.
  G.  A  PARTICIPATING  MUNICIPAL  EMPLOYER MAKING A PAYMENT PURSUANT TO
SUBDIVISIONS A, B, C, D, E AND F OF THIS SECTION SHALL PAY  ON  FEBRUARY
FIRST,  TWO THOUSAND FOURTEEN AN AMOUNT DETERMINED BY THE COMPTROLLER BY
ADDING THE FOLLOWING TWO AMOUNTS TOGETHER:
  (1) THE STABLE CONTRIBUTION AMOUNT CALCULATED PURSUANT TO SUBDIVISIONS
A, B, C, D, E AND F OF THIS SECTION; AND
  (2) PAYMENTS FOR  GROUP  TERM  LIFE  INSURANCE,  DEFICIENCY  PAYMENTS,
ADJUSTMENTS  RELATING  TO  PRIOR  FISCAL YEARS' OBLIGATIONS, OBLIGATIONS
PERTAINING TO RETIREMENT INCENTIVES AND AMORTIZED PAYMENTS  PURSUANT  TO
SECTION  THREE HUNDRED NINETEEN-A OF THIS TITLE OR ANY OTHER OBLIGATIONS

S. 2605--A                         30                         A. 3005--A

THAT A PARTICIPATING MUNICIPAL EMPLOYER IS PERMITTED TO PAY ON AN  AMOR-
TIZED BASIS.
  H.  THE STABLE CONTRIBUTION AMOUNT MUST BE PAID IN FULL BY PARTICIPAT-
ING MUNICIPAL EMPLOYERS ON THE  DATE  SET  FORTH  IN  SUBDIVISION  C  OF
SECTION THREE HUNDRED SEVENTEEN OF THIS TITLE.
  I.  A  PARTICIPATING  MUNICIPAL  EMPLOYER  WHICH  ELECTS THE LONG-TERM
STABLE CONTRIBUTION OPTION  SHALL  BE  PROHIBITED  FROM  AMORTIZING  ANY
PORTION  OF  ITS  FUTURE  PENSION  BILL PURSUANT TO THE OPTION OTHERWISE
AVAILABLE IN SECTION THREE HUNDRED NINETEEN-A OF THIS TITLE.
  J. THE COMPTROLLER IS AUTHORIZED TO EVALUATE THE  STABLE  CONTRIBUTION
RATE  USED  TO  CALCULATE  PARTICIPATING MUNICIPAL EMPLOYER CONTRIBUTION
AMOUNTS IN THE FISCAL YEAR  COMMENCING  ON  APRIL  FIRST,  TWO  THOUSAND
SEVENTEEN AND SUBSEQUENTLY IN THE FISCAL YEAR COMMENCING ON APRIL FIRST,
TWO  THOUSAND TWENTY-TWO.  SUCH EVALUATION SHALL BE BASED ON A LONG-TERM
PROJECTION OF ASSETS AND LIABILITIES SO AS TO ENSURE THAT  CONTRIBUTIONS
BY  MUNICIPAL  EMPLOYERS  WHICH  PARTICIPATE  IN  THE  LONG-TERM  STABLE
CONTRIBUTION OPTION ARE ADEQUATE TO ENSURE THAT SYSTEM ASSETS  OVER  THE
LONG-TERM STABLE CONTRIBUTION OPTION PERIOD ARE SUFFICIENT TO FUND BENE-
FITS FOR ACTIVE AND RETIRED MEMBERS ASSOCIATED WITH PARTICIPATING MUNIC-
IPAL  EMPLOYERS.  THE  COMPTROLLER  IS AUTHORIZED TO INCREASE THE STABLE
CONTRIBUTION RATE BY UP TO TWO PERCENTAGE POINTS AT SUCH  FIVE-YEAR  AND
SUBSEQUENT  TEN-YEAR  EVALUATION.  THE  REVISED STABLE CONTRIBUTION RATE
RESULTING FROM THE FIVE AND SUBSEQUENT TEN-YEAR EVALUATIONS MAY NOT,  IN
COMBINATION,  EXCEED TWENTY-TWO AND FIVE-TENTHS PERCENT. THE COMPTROLLER
IS AUTHORIZED TO DECREASE THE STABLE CONTRIBUTION RATE IF  WARRANTED  AT
THE  TEN-YEAR  EVALUATION  BUT IN NO EVENT SHALL THE STABLE CONTRIBUTION
RATE BE LESS THAN EIGHTEEN AND FIVE-TENTHS PERCENT.
  K. (1) THE BASELINE LONG-TERM STABLE CONTRIBUTION TERM SHALL BE  TWEN-
TY-FIVE   YEARS.  PROVIDED,  HOWEVER,  SUCH  BASELINE  LONG-TERM  STABLE
CONTRIBUTION TERM MAY EVENTUALLY  BE  INCREASED  OR  DECREASED,  AT  THE
DISCRETION  OF  THE  COMPTROLLER, SO AS TO ENSURE THAT SYSTEM ASSETS ARE
SUFFICIENT TO FUND BENEFITS FOR ACTIVE AND  RETIRED  MEMBERS  ASSOCIATED
WITH PARTICIPATING MUNICIPAL EMPLOYERS.
  (2)  THE  COMPTROLLER IS AUTHORIZED TO EVALUATE THE BASELINE LONG-TERM
STABLE CONTRIBUTION TERM EVERY FIVE YEARS AFTER THE FISCAL YEAR COMMENC-
ING ON APRIL FIRST, TWO THOUSAND THIRTEEN. SUCH EVALUATION SHALL  INFORM
PARTICIPATING  MUNICIPAL EMPLOYERS WHETHER THE BASELINE LONG-TERM STABLE
CONTRIBUTION TERM IS EXPECTED TO INCREASE OR DECREASE PURSUANT TO  PARA-
GRAPH  ONE  OF  THIS  SUBDIVISION  AND  THE DURATION OF SUCH INCREASE OR
DECREASE.
  L. A PARTICIPATING MUNICIPAL EMPLOYER MAY ELECT TO  TERMINATE  PARTIC-
IPATION  IN  THE LONG-TERM STABLE CONTRIBUTION OPTION AND RESUME PAYMENT
OF THE  NORMAL  AND  ADMINISTRATIVE  CONTRIBUTIONS  IN  ACCORDANCE  WITH
SECTIONS  THREE HUNDRED TWENTY-THREE AND THREE HUNDRED TWENTY-THREE-A OF
THIS ARTICLE.  PROVIDED,  HOWEVER,  THAT  SUCH  PARTICIPATING  MUNICIPAL
EMPLOYER  WHICH ELECTS TO TERMINATE PARTICIPATION SHALL MAKE A RECONCIL-
IATION CONTRIBUTION TO THE RETIREMENT SYSTEM, AT AN AMOUNT TO BE  DETER-
MINED  BY  THE COMPTROLLER, ADEQUATE TO FUND THE BENEFITS FOR ACTIVE AND
RETIRED MEMBERS ASSOCIATED WITH SUCH  PARTICIPATING  MUNICIPAL  EMPLOYER
HAD  SUCH PARTICIPATING MUNICIPAL EMPLOYER NOT ELECTED THE PROVISIONS OF
THIS SECTION. SUCH RECONCILIATION CONTRIBUTION  SHALL  BE  MADE  OVER  A
PERIOD  NOT  TO  EXCEED  FIVE YEARS AND SHALL BE MADE IN ADDITION TO THE
NORMAL AND  ADMINISTRATIVE  CONTRIBUTIONS  PURSUANT  TO  SECTIONS  THREE
HUNDRED  TWENTY-THREE  AND  THREE HUNDRED TWENTY-THREE-A OF THIS ARTICLE
FOR THE FISCAL YEAR  IN  WHICH  SUCH  PARTICIPATING  MUNICIPAL  EMPLOYER
CHOOSES TO RESUME PAYMENT OF THE NORMAL AND ADMINISTRATIVE CONTRIBUTIONS

S. 2605--A                         31                         A. 3005--A

PURSUANT  TO SECTIONS THREE HUNDRED TWENTY-THREE AND THREE HUNDRED TWEN-
TY-THREE-A OF  THIS  ARTICLE.    TERMINATION  OF  THE  LONG-TERM  STABLE
CONTRIBUTION  OPTION  BY  A  PARTICIPATING  MUNICIPAL  EMPLOYER SHALL BE
SUBJECT  TO  TIMING AND NOTIFICATION PROCEDURES ESTABLISHED BY THE COMP-
TROLLER.
  S 5. Paragraph 1 of subdivision b of section 323-a of  the  retirement
and  social  security law, as added by section 2 of part A of chapter 49
of the laws of 2003, is amended to read as follows:
  1. revision of the schedule pertaining to the valuation,  billing  and
payment  of  contributions  by  the  state  and participating employers,
EXCLUDING PARTICIPATING MUNICIPAL EMPLOYERS AS DEFINED IN SECTION  THREE
HUNDRED  SEVENTEEN-E  OF  THIS ARTICLE, under which the valuation of the
assets and liabilities of the retirement system,  EXCLUDING  THE  ASSETS
AND  LIABILITIES  ASSOCIATED  WITH  PARTICIPATING MUNICIPAL EMPLOYERS AS
DEFINED IN SECTION THREE HUNDRED SEVENTEEN-E OF THIS ARTICLE, undertaken
on the first day of a  fiscal  year  shall  be  used  to  determine  the
contribution  rates  to  be  applied  to the pensionable salaries of the
state and participating employers, WITH THE EXCEPTION OF THE PENSIONABLE
SALARIES OF PARTICIPATING MUNICIPAL  EMPLOYERS  AS  DEFINED  IN  SECTION
THREE  HUNDRED  SEVENTEEN-E  OF  THIS  ARTICLE,  for the next succeeding
fiscal year; and
  S 6. Section 521 of the education law  is  amended  by  adding  a  new
subdivision 3 to read as follows:
  3.  LONG-TERM STABLE CONTRIBUTION OPTION FOR PARTICIPATING EDUCATIONAL
EMPLOYERS FOR THE TWO  THOUSAND  THIRTEEN--TWO  THOUSAND  FOURTEEN  PLAN
YEAR.  A.  IN ADDITION TO THE DEFINITIONS IN SECTION FIVE HUNDRED ONE OF
THIS ARTICLE, WHEN USED IN THIS SUBDIVISION:
  (1) "PARTICIPATING EDUCATIONAL EMPLOYER" SHALL MEAN THE CITY, VILLAGE,
SCHOOL DISTRICT BOARD OR TRUSTEE BY WHICH A TEACHER IS PAID  WHO  ELECTS
TO  PAY  THE  STABLE  CONTRIBUTION AMOUNT IN THE MANNER PROVIDED IN THIS
SECTION.
  (2) "STABLE CONTRIBUTION AMOUNT" SHALL MEAN AN AMOUNT EQUAL TO  TWELVE
AND FIVE-TENTHS PERCENT OF THE ESTIMATED PENSIONABLE SALARY BASE (EXCLU-
SIVE  OF  PAYMENTS  FOR  GROUP  TERM LIFE INSURANCE, DEFICIENCY CONTRIB-
UTIONS, ADJUSTMENTS RELATING TO PRIOR FISCAL YEARS'  OBLIGATIONS,  OBLI-
GATIONS  PERTAINING  TO  RETIREMENT  INCENTIVES OR ANY OTHER OBLIGATIONS
THAT A PARTICIPATING EDUCATIONAL EMPLOYER IS  PERMITTED  TO  PAY  ON  AN
AMORTIZED BASIS).
  (3)  "STABLE  CONTRIBUTION  RATE"  SHALL  MEAN  TWELVE AND FIVE-TENTHS
PERCENT.
  B. NOTWITHSTANDING THE PROVISIONS OF THIS CHAPTER OR ANY OTHER LAW  TO
THE  CONTRARY,  THE  RETIREMENT  BOARD,  IN  ITS  DISCRETION, SHALL HAVE
AUTHORITY TO IMPLEMENT  THE  PROVISIONS  OF  THIS  SUBDIVISION.  IF  THE
RETIREMENT BOARD ELECTS TO IMPLEMENT THE PROVISIONS OF THIS SUBDIVISION,
THE PROVISIONS OF THIS SECTION SHALL APPLY TO THE PAYMENT OF PARTICIPAT-
ING EDUCATIONAL EMPLOYER CONTRIBUTIONS FOR THE PLAN YEAR COMMENCING WITH
THE  JULY  FIRST,  TWO THOUSAND THIRTEEN FISCAL YEAR, AND FOR SUBSEQUENT
FISCAL YEARS.
  C. FOR EACH PLAN YEAR TO WHICH  THE  PROVISIONS  OF  THIS  SUBDIVISION
APPLY,  THE  RETIREMENT  BOARD  SHALL USE A STABLE CONTRIBUTION RATE FOR
PARTICIPATING EDUCATIONAL EMPLOYERS.
  D. IF THE RETIREMENT BOARD, IN ITS DISCRETION,  DECIDES  TO  PERMIT  A
STABLE  EMPLOYER CONTRIBUTION OPTION PURSUANT TO THIS SUBDIVISION, THEN,
THE RETIREMENT BOARD SHALL DETERMINE THE STABLE CONTRIBUTION AMOUNT  FOR
A  PARTICIPATING  EDUCATIONAL  EMPLOYER  PURSUANT TO SUBPARAGRAPH TWO OF
PARAGRAPH A OF THIS SUBDIVISION. SUCH CONTRIBUTION SHALL BE IN LIEU OF A

S. 2605--A                         32                         A. 3005--A

PARTICIPATING EDUCATIONAL EMPLOYER'S NORMAL CONTRIBUTIONS  AND  ADMINIS-
TRATIVE  CONTRIBUTIONS  PURSUANT  TO SECTIONS FIVE HUNDRED SEVENTEEN AND
FIVE HUNDRED NINETEEN OF THIS ARTICLE FOR  THE  FISCAL  YEAR  COMMENCING
JULY FIRST, TWO THOUSAND THIRTEEN, AND FOR SUBSEQUENT FISCAL YEARS.
  E.  PARTICIPATING  EDUCATIONAL  EMPLOYERS ARE AUTHORIZED TO CHOOSE THE
STABLE EMPLOYER CONTRIBUTION OPTION COMMENCING WITH THE JULY FIRST,  TWO
THOUSAND  THIRTEEN FISCAL YEAR PENSION BILL. A PARTICIPATING EDUCATIONAL
EMPLOYER, MAY, IN LIEU OF PAYING ITS NORMAL AND ADMINISTRATIVE  CONTRIB-
UTION  COMMENCING WITH THE JULY FIRST, TWO THOUSAND THIRTEEN FISCAL YEAR
PENSION BILL, PAY THE STABLE  CONTRIBUTION  AMOUNT.  SUCH  PARTICIPATING
EDUCATIONAL  EMPLOYER  SHALL  PAY  THE  STABLE CONTRIBUTION AMOUNT FOR A
PERIOD OF TWENTY-FIVE YEARS PROVIDED,  HOWEVER,  THAT  SUCH  TWENTY-FIVE
YEAR  PERIOD  MAY  BE  INCREASED  OR  DECREASED AT THE DISCRETION OF THE
RETIREMENT BOARD PURSUANT TO  PARAGRAPH  J  OF  THIS  SUBDIVISION.  THIS
LONG-TERM STABLE CONTRIBUTION OPTION SHALL COMMENCE WITH THE JULY FIRST,
TWO THOUSAND THIRTEEN FISCAL YEAR AND SHALL END AT THE DISCRETION OF THE
RETIREMENT BOARD PURSUANT TO PARAGRAPH J OF THIS SUBDIVISION.
  F.  ANY  PARTICIPATING  EDUCATIONAL  EMPLOYER  WHICH ELECTS TO PAY THE
STABLE CONTRIBUTION AMOUNT PURSUANT TO PARAGRAPHS A, B, C, D  AND  E  OF
THIS  SUBDIVISION  SHALL PAY THE AMOUNT BASED ON THE STABLE CONTRIBUTION
RATE FOR A PERIOD OF TWENTY-FIVE YEARS, SUCH TERM AS SUBJECT TO INCREASE
OR DECREASE AT THE DISCRETION OF THE RETIREMENT BOARD PURSUANT TO  PARA-
GRAPH  J  OF  THIS SUBDIVISION. THIS LONG-TERM STABLE CONTRIBUTION SHALL
COMMENCE WITH THE JULY FIRST, TWO  THOUSAND  THIRTEEN  FISCAL  YEAR  AND
SHALL  END  AT  THE DISCRETION OF THE RETIREMENT BOARD PURSUANT TO PARA-
GRAPH J OF THIS SUBDIVISION. UPON COMPLETION OF  SUCH  LONG-TERM  STABLE
CONTRIBUTION OPTION, THE PARTICIPATING EDUCATIONAL EMPLOYER SHALL RESUME
PAYING NORMAL AND ADMINISTRATIVE CONTRIBUTIONS PURSUANT TO SECTIONS FIVE
HUNDRED SEVENTEEN AND FIVE HUNDRED NINETEEN OF THIS ARTICLE.
  G.  A  PARTICIPATING EDUCATIONAL EMPLOYER MAKING A PAYMENT PURSUANT TO
PARAGRAPHS A, B, C, D, E AND F OF THIS SUBDIVISION SHALL PAY  COMMENCING
WITH  THE JULY FIRST, TWO THOUSAND THIRTEEN FISCAL YEAR AN AMOUNT DETER-
MINED BY THE RETIREMENT  BOARD  BY  ADDING  THE  FOLLOWING  TWO  AMOUNTS
TOGETHER:
  (1)  THE  STABLE CONTRIBUTION AMOUNT CALCULATED PURSUANT TO PARAGRAPHS
A, B, C, D, E AND F OF THIS SUBDIVISION; AND
  (2) PAYMENTS FOR  GROUP  TERM  LIFE  INSURANCE,  DEFICIENCY  PAYMENTS,
ADJUSTMENTS  RELATING TO PRIOR FISCAL YEARS' OBLIGATIONS AND OBLIGATIONS
PERTAINING TO RETIREMENT INCENTIVES OR  ANY  OTHER  OBLIGATIONS  THAT  A
PARTICIPATING  EDUCATIONAL  EMPLOYER IS PERMITTED TO PAY ON AN AMORTIZED
BASIS.
  H. THE STABLE CONTRIBUTION AMOUNT MUST BE PAID IN FULL BY  PARTICIPAT-
ING  EDUCATIONAL  EMPLOYERS  ON  THE  DATES  SPECIFIED IN PARAGRAPH H OF
SUBDIVISION TWO OF THIS SECTION.
  I. THE RETIREMENT BOARD IS AUTHORIZED TO EVALUATE THE STABLE  CONTRIB-
UTION RATE USED TO CALCULATE PARTICIPATING EDUCATIONAL EMPLOYER CONTRIB-
UTION  AMOUNTS IN THE FISCAL YEAR COMMENCING ON JULY FIRST, TWO THOUSAND
SEVENTEEN AND SUBSEQUENTLY IN THE FISCAL YEAR COMMENCING ON JULY  FIRST,
TWO  THOUSAND  TWENTY-TWO. SUCH EVALUATION SHALL BE BASED ON A LONG-TERM
PROJECTION OF ASSETS AND LIABILITIES SO AS TO ENSURE THAT  CONTRIBUTIONS
BY   PARTICIPATING   EDUCATIONAL  EMPLOYERS  WHICH  PARTICIPATE  IN  THE
LONG-TERM STABLE CONTRIBUTION OPTION ARE ADEQUATE TO ENSURE THAT  SYSTEM
ASSETS  OVER  THE  LONG-TERM STABLE OPTION PERIOD ARE SUFFICIENT TO FUND
BENEFITS FOR ACTIVE AND RETIRED MEMBERS  ASSOCIATED  WITH  PARTICIPATING
EDUCATIONAL  EMPLOYERS.  THE  RETIREMENT BOARD IS AUTHORIZED TO INCREASE
THE STABLE CONTRIBUTION RATE BY UP TO  TWO  PERCENTAGE  POINTS  AT  SUCH

S. 2605--A                         33                         A. 3005--A

FIVE-YEAR   AND  SUBSEQUENT  TEN-YEAR  EVALUATION.  THE  REVISED  STABLE
CONTRIBUTION RATE RESULTING FROM THE FIVE AND SUBSEQUENT TEN-YEAR EVALU-
ATION MAY NOT, IN COMBINATION, EXCEED SIXTEEN AND  FIVE-TENTHS  PERCENT.
THE  RETIREMENT  BOARD IS AUTHORIZED TO DECREASE THE STABLE CONTRIBUTION
RATE IF WARRANTED AT THE TEN-YEAR EVALUATION BUT IN NO EVENT  SHALL  THE
STABLE CONTRIBUTION RATE BE LESS THAN TWELVE AND FIVE-TENTHS PERCENT.
  J.  (1) THE BASELINE LONG-TERM STABLE CONTRIBUTION TERM SHALL BE TWEN-
TY-FIVE  YEARS.  PROVIDED,  HOWEVER,  SUCH  BASELINE  LONG-TERM   STABLE
CONTRIBUTION  TERM  MAY  EVENTUALLY  BE  INCREASED  OR DECREASED, AT THE
DISCRETION OF THE RETIREMENT BOARD, SO AS TO ENSURE THAT  SYSTEM  ASSETS
ARE  SUFFICIENT  TO FUND BENEFITS FOR ACTIVE AND RETIRED MEMBERS ASSOCI-
ATED WITH PARTICIPATING EDUCATIONAL EMPLOYERS.
  (2) THE RETIREMENT BOARD IS AUTHORIZED TO EVALUATE THE BASELINE  LONG-
TERM  STABLE  CONTRIBUTION  TERM  EVERY FIVE YEARS AFTER THE FISCAL YEAR
COMMENCING ON JULY FIRST, TWO THOUSAND THIRTEEN.  SUCH EVALUATION  SHALL
INFORM   PARTICIPATING   EDUCATIONAL   EMPLOYERS  WHETHER  THE  BASELINE
LONG-TERM STABLE CONTRIBUTION TERM IS EXPECTED TO INCREASE  OR  DECREASE
PURSUANT  TO SUBPARAGRAPH ONE OF THIS PARAGRAPH AND THE DURATION OF SUCH
INCREASE OR DECREASE.
  K. A PARTICIPATING EDUCATIONAL EMPLOYER MAY ELECT TO TERMINATE PARTIC-
IPATION IN THE LONG-TERM STABLE CONTRIBUTION OPTION AND  RESUME  PAYMENT
OF  THE  NORMAL  AND  ADMINISTRATIVE  CONTRIBUTIONS  IN  ACCORDANCE WITH
SECTIONS FIVE HUNDRED SEVENTEEN AND FIVE HUNDRED NINETEEN OF THIS  ARTI-
CLE.  PROVIDED,  HOWEVER,  THAT  SUCH PARTICIPATING EDUCATIONAL EMPLOYER
WHICH ELECTS TO TERMINATE  PARTICIPATION  SHALL  MAKE  A  RECONCILIATION
CONTRIBUTION  TO THE RETIREMENT SYSTEM, AT AN AMOUNT TO BE DETERMINED BY
THE RETIREMENT BOARD, ADEQUATE TO  FUND  THE  BENEFITS  FOR  ACTIVE  AND
RETIRED  MEMBERS ASSOCIATED WITH SUCH PARTICIPATING EDUCATIONAL EMPLOYER
HAD SUCH PARTICIPATING EDUCATIONAL EMPLOYER NOT ELECTED  THE  PROVISIONS
OF  THIS  SECTION. SUCH RECONCILIATION CONTRIBUTION SHALL BE MADE OVER A
PERIOD NOT TO EXCEED FIVE YEARS AND SHALL BE MADE  IN  ADDITION  TO  THE
NORMAL  AND  ADMINISTRATIVE  CONTRIBUTIONS  PURSUANT  TO  SECTIONS  FIVE
HUNDRED SEVENTEEN AND FIVE HUNDRED NINETEEN  OF  THIS  ARTICLE  FOR  THE
FISCAL  YEAR IN WHICH SUCH PARTICIPATING EDUCATIONAL EMPLOYER CHOOSES TO
RESUME PAYMENT OF THE NORMAL AND ADMINISTRATIVE  CONTRIBUTIONS  PURSUANT
TO  SECTIONS  FIVE  HUNDRED  SEVENTEEN AND FIVE HUNDRED NINETEEN OF THIS
ARTICLE. TERMINATION OF THE LONG-TERM STABLE CONTRIBUTION  OPTION  BY  A
PARTICIPATING  EDUCATIONAL  EMPLOYER  SHALL  BE  SUBJECT  TO  TIMING AND
NOTIFICATION PROCEDURES ESTABLISHED BY THE RETIREMENT BOARD.
  S 7. Paragraph a of subdivision 2 of section 517 of the education  law
is amended to read as follows:
  a. On account of each teacher who is a member of the retirement system
there  shall  be  paid  annually  into  the pension accumulation fund by
employers, a certain percentage of the earnable compensation of each  of
such  members  of  the  retirement  system  to  be  known as the "normal
contribution" and a further percentage known as the "deficiency contrib-
ution." The rates per centum of such contributions shall be fixed on the
basis of the liabilities of the retirement system as shown by  actuarial
valuations;  PROVIDED,  HOWEVER,  THAT THE RATE PER CENTUM OF THE NORMAL
CONTRIBUTION BE FIXED ON THE BASIS OF THE LIABILITIES OF THE  RETIREMENT
SYSTEM AS SHOWN BY ACTUARIAL VALUATIONS, EXCLUDING THE LIABILITIES ASSO-
CIATED  WITH  PARTICIPATING EDUCATIONAL EMPLOYERS AS DEFINED IN SUBPARA-
GRAPH ONE OF PARAGRAPH A OF SUBDIVISION THREE OF  SECTION  FIVE  HUNDRED
TWENTY-ONE OF THIS ARTICLE.
  S 8. This act shall take effect immediately.
  FISCAL NOTE.--Pursuant to Legislative Law, Section 50:

S. 2605--A                         34                         A. 3005--A

  This  bill  would amend the Retirement and Social Security Law and the
Education Law as it pertains to bills for certain eligible employers  of
the New York State and Local Employees' Retirement System (ERS), the New
York  State  and Local Police and Fire Retirement System (PFRS), and the
Teachers' Retirement System (TRS).
  This  bill puts in place a program that allows ERS, PFRS and TRS local
government and school district employers, if they choose to participate,
to secure a long-term stable employer contribution rate instead  of  the
fluctuating  normal employer contribution rate applied to the employer's
pensionable wage base.   The Comptroller and the  TRS  Retirement  Board
will  determine the final length of the stable pension contribution term
by increasing or decreasing such  term  to  ensure  appropriate  pension
system  funding.  The  stable  pension  contribution  rates  would be 12
percent for ERS, 12.5 percent for TRS, and 18.5 percent for PFRS.  These
stable  pension  contribution  rates  could  be  increased, by up to two
percentage points, at the discretion of  the  Comptroller  and  the  TRS
Retirement  Board,  upon  evaluations  by System actuaries, five and ten
years after commencement of the long-term stable contribution option.
  If this bill is enacted, we estimate that there would be little or  no
impact  on  the  funded status of the ERS, PFRS and TRS systems over the
full term of the program.    For  those  local  governments  and  school
districts  which elect this option, employer pension contributions would
be less than the normal employer pension contributions they would other-
wise pay in the early years of the long-term  stable  employer  contrib-
ution  option  and employer pension contributions would be more than the
normal employer contributions they would  otherwise  pay  in  the  later
years of the option.
  This  estimate,  dated  January  22,  2013,  and intended for use only
during the 2013 Legislative Session, is prepared by  the  State  of  New
York Division of the Budget.

                                 PART H

  Section  1.  Section  167-a  of  the  civil service law, as amended by
section 1 of part I of chapter 55 of the laws of  2012,  is  amended  to
read as follows:
  S 167-a. Reimbursement  for  medicare  premium charges. Upon exclusion
from the coverage of the health benefit plan  of  supplementary  medical
insurance  benefits for which an active or retired employee or a depend-
ent covered by the health benefit plan is or would be eligible under the
federal old-age, survivors and disability insurance program,  an  amount
equal to the STANDARD MEDICARE premium charge WITHOUT ANY INCOME-RELATED
ADJUSTMENT  for  such  supplementary medical insurance benefits for such
active or retired employee and his or her dependents, if any,  shall  be
paid  monthly  or  at other intervals to such active or retired employee
from the health insurance fund. Where appropriate, such  amount  may  be
deducted from contributions payable by the employee or retired employee;
or  where  appropriate  in  the  case  of a retired employee receiving a
retirement allowance, such amount may be included with payments  of  his
or  her  retirement  allowance.  All  state  employer, employee, retired
employee and dependent  contributions  to  the  health  insurance  fund,
including  contributions  from public authorities, public benefit corpo-
rations or other quasi-public organizations of the  state  eligible  for
participation  in  the  health benefit plan as authorized by subdivision
two of section  one  hundred  sixty-three  of  this  article,  shall  be
adjusted  as necessary to cover the cost of reimbursing federal old-age,

S. 2605--A                         35                         A. 3005--A

survivors and disability insurance program premium  charges  under  this
section.  This  cost  shall be included in the calculation of premium or
subscription charges for  health  coverage  provided  to  employees  and
retired  employees  of  the  state,  public  authorities, public benefit
corporations or other quasi-public organizations of the state; provided,
however, the state, public authorities, public benefit  corporations  or
other  quasi-public organizations of the state shall remain obligated to
pay no less than its share of such increased cost  consistent  with  its
share  of  premium or subscription charges provided for by this article.
All other employer contributions to the health insurance fund  shall  be
adjusted as necessary to provide for such payments.
  S  2.  This  act  shall take effect immediately and shall be deemed to
have been in full force and effect on and after January 1, 2013.

                                 PART I

  Section 1. The state finance law is amended by adding  a  new  section
99-u to read as follows:
  S  99-U.  NEW YORK STATE GAMING COMMISSION ACCOUNT. 1. THERE IS HEREBY
ESTABLISHED IN THE JOINT CUSTODY OF THE COMPTROLLER  AND  THE  EXECUTIVE
DIRECTOR  OF  THE  NEW  YORK  STATE  GAMING COMMISSION AN ACCOUNT IN THE
MISCELLANEOUS SPECIAL REVENUE FUND TO BE KNOWN AS THE  "NEW  YORK  STATE
GAMING COMMISSION ACCOUNT".
  2.  SUCH  ACCOUNT SHALL CONSIST OF MONEYS TRANSFERRED THERETO FROM THE
STATE LOTTERY FUND ADMINISTRATION  ACCOUNT,  THE  REGULATION  OF  RACING
ACCOUNT,  THE  BELL  JAR  COLLECTION ACCOUNT OR THE REGULATION OF INDIAN
GAMING ACCOUNT.
  3. ALL MONEYS IN THE NEW YORK STATE GAMING COMMISSION ACCOUNT SHALL BE
AVAILABLE, SUBJECT TO APPROPRIATION, FOR THE PAYMENT  OF  ADMINISTRATIVE
EXPENSES OF THE NEW YORK STATE GAMING COMMISSION.
  S  2.  This  act  shall take effect immediately and shall be deemed to
have been in full force and effect on and after February 1, 2013.

                                 PART J

  Section 1. Paragraphs 2 and 3 of subdivision b of section 1612 of  the
tax law, as amended by section 1 of part O1 of chapter 57 of the laws of
2009, are amended to read as follows:
  2. As consideration for the operation of a video lottery gaming facil-
ity,  the division, shall cause the investment in the racing industry of
a portion of the vendor fee received pursuant to paragraph one  of  this
subdivision  in  the  manner  set  forth in this subdivision.   With the
exception of Aqueduct  racetrack,  each  such  track  shall  dedicate  a
portion  of  its vendor fees, received pursuant to clause (A), (B), (C),
(D), (E), (F), or (G) of subparagraph (ii)  of  paragraph  one  of  this
subdivision,  solely  for the purpose of enhancing purses at such track,
in an amount equal to eight and  three-quarters  percent  of  the  total
revenue  wagered  at  the  vendor  track after pay out for prizes.   ONE
PERCENT OF SUCH PURSE ENHANCEMENT AMOUNT SHALL BE  PAID  TO  THE  GAMING
COMMISSION  TO  BE  USED EXCLUSIVELY TO PROMOTE AND ENSURE EQUINE HEALTH
AND SAFETY IN NEW YORK. ANY  PORTION  OF  SUCH  FUNDING  TO  THE  GAMING
COMMISSION  UNUSED  DURING  A FISCAL YEAR SHALL BE RETURNED TO THE VIDEO
LOTTERY GAMING OPERATORS ON A PRO RATA  BASIS  IN  ACCORDANCE  WITH  THE
AMOUNTS  ORIGINALLY  CONTRIBUTED  BY EACH OPERATOR AND SHALL BE USED FOR
THE PURPOSE OF ENHANCING PURSES AT SUCH TRACK.  In  addition,  with  the
exception  of  Aqueduct  racetrack, one and one-quarter percent of total

S. 2605--A                         36                         A. 3005--A

revenue wagered at the vendor track after pay out for  prizes,  received
pursuant  to clause (A), (B), (C), (D), (E), (F), or (G) of subparagraph
(ii) of paragraph one of this subdivision, shall be distributed  to  the
appropriate  breeding  fund  for  the manner of racing conducted by such
track.
  Provided, further, that nothing in this paragraph shall  prevent  each
track  from  entering  into an agreement, not to exceed five years, with
the organization authorized to represent its  horsemen  to  increase  or
decrease  the portion of its vendor fee dedicated to enhancing purses at
such track during the years of participation by such track, or  to  race
fewer dates than required herein.
  3.  Nothing  in  paragraph  two  of  this subdivision shall affect any
agreement in effect on or before the effective date of  this  paragraph,
EXCEPT  THAT  THE  OBLIGATION  TO  PAY FUNDS TO THE GAMING COMMISSION TO
PROMOTE  AND  ENSURE  EQUINE  HEALTH  AND  SAFETY  SHALL  SUPERSEDE  ANY
PROVISION TO THE CONTRARY IN ANY SUCH AGREEMENT.
  S  2.  Paragraph 1 of subdivision f of section 1612 of the tax law, as
amended by chapter 140 of the laws  of  2008,  is  amended  to  read  as
follows:
  1.  Six  and  one-half  percent  of  the total wagered after payout of
prizes for the first year of operation of video lottery gaming at  Aque-
duct  racetrack,  seven  percent  of  the  total wagered after payout of
prizes for the second year of operation, and seven and one-half  percent
of the total wagered after payout of prizes for the third year of opera-
tion  and  thereafter,  for  the purpose of enhancing purses at Aqueduct
racetrack, Belmont Park racetrack and Saratoga race course.  ONE PERCENT
OF SUCH PURSE ENHANCEMENT AMOUNT SHALL BE PAID TO THE GAMING  COMMISSION
TO BE USED EXCLUSIVELY TO PROMOTE AND ENSURE EQUINE HEALTH AND SAFETY IN
NEW  YORK.  ANY  PORTION OF SUCH FUNDING TO THE GAMING COMMISSION UNUSED
DURING A FISCAL YEAR SHALL BE RETURNED ON A PRO RATA BASIS IN ACCORDANCE
WITH THE AMOUNTS ORIGINALLY  CONTRIBUTED  AND  SHALL  BE  USED  FOR  THE
PURPOSE OF ENHANCING PURSES AT SUCH TRACKS.
  S 3. This act shall take effect immediately.

                                 PART K

  Section  1.  Subparagraph  (vii)  of  paragraph q of subdivision 10 of
section 54 of the state finance law, as added by section 3 of part K  of
chapter 57 of the laws of 2011, is amended to read as follows:
  (vii)  Matching  funds  equal  to  [ten] AT LEAST FIFTY percent of the
total cost of activities under the  grant  work  plan  approved  by  the
department  of state shall be required FOR A LOCAL GOVERNMENT RE-ORGANI-
ZATION GRANT FOR A RE-ORGANIZATION STUDY, EXCEPT FOR  SUCH  GRANTS  THAT
ARE AWARDED TO A LOCAL GOVERNMENT ENTITY ELIGIBLE FOR AN EXPEDITED GRANT
PURSUANT  TO SUBPARAGRAPH (V) OF THIS PARAGRAPH.  UPON IMPLEMENTATION OF
THE LOCAL GOVERNMENT RE-ORGANIZATION, THE LOCAL MATCHING FUNDS  REQUIRED
BY  SUCH  GRANT FOR A RE-ORGANIZATION STUDY SHALL BE REFUNDED EXCEPT FOR
TEN PERCENT OF THE TOTAL COST OF ACTIVITIES UNDER THE  GRANT  WORK  PLAN
APPROVED  BY  THE  DEPARTMENT OF STATE. MATCHING FUNDS EQUAL TO AT LEAST
TEN PERCENT OF THE TOTAL COST OF ACTIVITIES UNDER THE  GRANT  WORK  PLAN
APPROVED  BY  THE  DEPARTMENT  OF  STATE  SHALL  BE REQUIRED FOR A LOCAL
GOVERNMENT RE-ORGANIZATION GRANT FOR A RE-ORGANIZATION STUDY AWARDED  TO
A  LOCAL  GOVERNMENT  ENTITY ELIGIBLE FOR AN EXPEDITED GRANT PURSUANT TO
SUBPARAGRAPH (V) OF THIS PARAGRAPH AND FOR A LOCAL GOVERNMENT RE-ORGANI-
ZATION GRANT FOR THE IMPLEMENTATION OF A RE-ORGANIZATION.

S. 2605--A                         37                         A. 3005--A

  S 2.   The opening paragraph of  paragraph  r  of  subdivision  10  of
section  54 of the state finance law, as added by section 3 of part K of
chapter 57 of the laws of 2011, is amended to read as follows:
  Local  government  efficiency  grant  program  beginning  in the state
fiscal year commencing April first, two thousand eleven  AND  CONTINUING
UNTIL THE END OF THE STATE FISCAL YEAR COMMENCING APRIL FIRST, TWO THOU-
SAND TWELVE.
  S  3.  Paragraphs s and t of subdivision 10 of section 54 of the state
finance law, paragraph t as relettered by section 3 of part K of chapter
57 of the laws of 2011, are relettered paragraphs t  and  u  and  a  new
paragraph s is added to read as follows:
  S.  LOCAL  GOVERNMENT  EFFICIENCY GRANT PROGRAM BEGINNING IN THE STATE
FISCAL YEAR COMMENCING APRIL FIRST, TWO THOUSAND THIRTEEN. (I)  (1)  FOR
THE  PURPOSES  OF  THIS  PARAGRAPH,  "MUNICIPALITY" SHALL MEAN A COUNTY,
CITY, TOWN, VILLAGE, SPECIAL IMPROVEMENT DISTRICT, FIRE DISTRICT, PUBLIC
LIBRARY, ASSOCIATION LIBRARY, OR PUBLIC LIBRARY  SYSTEM  AS  DEFINED  BY
SECTION  TWO HUNDRED SEVENTY-TWO OF THE EDUCATION LAW, PROVIDED HOWEVER,
THAT FOR THE PURPOSES OF THIS DEFINITION, A PUBLIC LIBRARY SYSTEM  SHALL
BE CONSIDERED A MUNICIPALITY ONLY IN INSTANCES WHERE SUCH PUBLIC LIBRARY
SYSTEM  ADVANCES  A JOINT APPLICATION ON BEHALF OF ITS MEMBER LIBRARIES,
WATER AUTHORITY, SEWER  AUTHORITY,  REGIONAL  PLANNING  AND  DEVELOPMENT
BOARD,  SCHOOL  DISTRICT,  OR BOARD OF COOPERATIVE EDUCATIONAL SERVICES;
PROVIDED, HOWEVER, THAT FOR THE PURPOSES OF THIS DEFINITION, A BOARD  OF
COOPERATIVE EDUCATIONAL SERVICES SHALL BE CONSIDERED A MUNICIPALITY ONLY
IN  INSTANCES  WHERE  SUCH  BOARD  OF  COOPERATIVE  EDUCATIONAL SERVICES
ADVANCES A JOINT APPLICATION ON BEHALF OF  SCHOOL  DISTRICTS  AND  OTHER
MUNICIPALITIES  WITHIN  THE  BOARD  OF  COOPERATIVE EDUCATIONAL SERVICES
REGION; PROVIDED, HOWEVER, THAT ANY AGREEMENTS WITH A BOARD  OF  COOPER-
ATIVE  EDUCATIONAL  SERVICES:  SHALL  NOT GENERATE ADDITIONAL STATE AID;
SHALL BE DEEMED NOT TO BE A PART OF THE PROGRAM, CAPITAL AND ADMINISTRA-
TIVE BUDGETS OF THE BOARD OF COOPERATIVE EDUCATIONAL  SERVICES  FOR  THE
PURPOSES  OF  COMPUTING CHARGES UPON COMPONENT SCHOOL DISTRICTS PURSUANT
TO SUBDIVISION ONE AND SUBPARAGRAPH SEVEN OF PARAGRAPH B OF  SUBDIVISION
FOUR  OF  SECTION  NINETEEN HUNDRED FIFTY AND SUBDIVISION ONE OF SECTION
NINETEEN HUNDRED FIFTY-ONE OF THE EDUCATION LAW; AND SHALL BE DEEMED  TO
BE  A  COOPERATIVE MUNICIPAL SERVICE FOR PURPOSES OF SUBPARAGRAPH TWO OF
PARAGRAPH D OF SUBDIVISION FOUR OF SECTION NINETEEN HUNDRED FIFTY OF THE
EDUCATION LAW.
  (2) FOR THE PURPOSES OF  THIS  PARAGRAPH,  "FUNCTIONAL  CONSOLIDATION"
SHALL  MEAN  ONE MUNICIPALITY COMPLETELY PROVIDING A SERVICE OR FUNCTION
FOR ANOTHER MUNICIPALITY, WHICH NO LONGER PROVIDES SUCH SERVICE OR FUNC-
TION.
  (II) WITHIN THE ANNUAL AMOUNTS APPROPRIATED THEREFOR, THE SECRETARY OF
STATE MAY AWARD COMPETITIVE GRANTS  TO  MUNICIPALITIES  TO  COVER  COSTS
ASSOCIATED WITH LOCAL GOVERNMENT EFFICIENCY PROJECTS, INCLUDING, BUT NOT
LIMITED  TO, PLANNING FOR OR IMPLEMENTATION OF A MUNICIPAL CONSOLIDATION
OR DISSOLUTION, A FUNCTIONAL CONSOLIDATION, A  CITY  OR  COUNTY  CHARTER
REVISION  THAT  INCLUDES FUNCTIONAL CONSOLIDATION, SHARED OR COOPERATIVE
SERVICES, AND REGIONALIZED DELIVERY OF SERVICES; PROVIDED, HOWEVER, THAT
SUCH LOCAL GOVERNMENT EFFICIENCY PROJECTS MUST DEMONSTRATE NEW  OPPORTU-
NITIES  FOR  FINANCIAL  SAVINGS  AND OPERATIONAL EFFICIENCIES; PROVIDED,
FURTHER, THAT ELIGIBLE LOCAL GOVERNMENT EFFICIENCY  PROJECTS  SHALL  NOT
INCLUDE  STUDIES AND PLANS FOR A LOCAL GOVERNMENT RE-ORGANIZATION ELIGI-
BLE TO RECEIVE A LOCAL GOVERNMENT CITIZENS  RE-ORGANIZATION  EMPOWERMENT
GRANT  PURSUANT  TO  PARAGRAPH  Q  OF THIS SUBDIVISION. THE SECRETARY OF
STATE MAY FOCUS THE GRANT PROGRAM IN SPECIFIC FUNCTIONAL  AREAS,  WITHIN

S. 2605--A                         38                         A. 3005--A

DISTRESSED  COMMUNITIES  AND AREAS OF HISTORICALLY HIGH LOCAL GOVERNMENT
COSTS AND PROPERTY TAXES, OR IN AREAS OF UNIQUE  OPPORTUNITY,  IN  WHICH
CASE  SUCH  AREAS  OF  FOCUS SHALL BE DETAILED IN A REQUEST FOR APPLICA-
TIONS.
  (III)  ANY  APPROVED PROJECT SHALL INCLUDE AN EXAMINATION OF FINANCIAL
SAVINGS, RETURN ON PUBLIC INVESTMENT AND MANAGEMENT IMPROVEMENTS RESULT-
ING FROM PROJECT IMPLEMENTATION.
  (IV) LOCAL GOVERNMENT EFFICIENCY GRANTS MAY BE  USED  TO  COVER  COSTS
INCLUDING,  BUT  NOT  LIMITED TO, LEGAL AND CONSULTANT SERVICES, CAPITAL
IMPROVEMENTS, TRANSITIONAL PERSONNEL COSTS AND OTHER NECESSARY  EXPENSES
RELATED  TO  IMPLEMENTING THE APPROVED LOCAL GOVERNMENT EFFICIENCY GRANT
WORK PLAN. GRANTS MAY BE USED  FOR  CAPITAL  IMPROVEMENTS,  TRANSITIONAL
PERSONNEL  COSTS  OR  JOINT EQUIPMENT PURCHASES ONLY WHERE SUCH EXPENSES
ARE INTEGRAL  TO  IMPLEMENTATION  OF  THE  LOCAL  GOVERNMENT  EFFICIENCY
PROJECT.  NO PART OF THE GRANT SHALL BE USED BY THE APPLICANT FOR RECUR-
RING EXPENSES SUCH AS SALARIES, EXCEPT  THAT  THE  SALARIES  OF  CERTAIN
TRANSITIONAL  PERSONNEL ESSENTIAL FOR THE IMPLEMENTATION OF THE APPROVED
LOCAL GOVERNMENT EFFICIENCY GRANT WORK PLAN  SHALL  BE  ELIGIBLE  FOR  A
PERIOD  NOT  TO  EXCEED  THREE  YEARS.  THE  AMOUNTS AWARDED TO A SCHOOL
DISTRICT PURSUANT TO THIS SUBPARAGRAPH SHALL  NOT  BE  INCLUDED  IN  THE
APPROVED  OPERATING  EXPENSE  OF THE SCHOOL DISTRICT AS DEFINED IN PARA-
GRAPH T OF SUBDIVISION ONE OF SECTION  THIRTY-SIX  HUNDRED  TWO  OF  THE
EDUCATION LAW.
  (V)  THE  MAXIMUM  CUMULATIVE GRANT AWARD FOR A LOCAL GOVERNMENT EFFI-
CIENCY PROJECT SHALL NOT EXCEED TWO HUNDRED THOUSAND DOLLARS PER MUNICI-
PALITY; PROVIDED, HOWEVER, THAT IN NO CASE SHALL SUCH A PROJECT  RECEIVE
A  CUMULATIVE  GRANT AWARD IN EXCESS OF ONE MILLION DOLLARS. THE MAXIMUM
GRANT AWARD FOR A LOCAL GOVERNMENT EFFICIENCY PLANNING PROJECT,  OR  THE
PLANNING  COMPONENT  OF A PROJECT THAT INCLUDES BOTH PLANNING AND IMPLE-
MENTATION OF A LOCAL GOVERNMENT EFFICIENCY  PROJECT,  SHALL  NOT  EXCEED
TWELVE  THOUSAND FIVE HUNDRED DOLLARS PER MUNICIPALITY; PROVIDED, HOWEV-
ER, THAT IN NO EVENT SHALL SUCH A PLANNING PROJECT RECEIVE A GRANT AWARD
IN EXCESS OF ONE HUNDRED THOUSAND DOLLARS.
  (VI) LOCAL MATCHING FUNDS EQUAL TO AT LEAST FIFTY PERCENT OF THE TOTAL
COST OF ACTIVITIES UNDER THE GRANT WORK PLAN APPROVED BY THE  DEPARTMENT
OF STATE SHALL BE REQUIRED FOR PLANNING GRANTS, AND LOCAL MATCHING FUNDS
EQUAL  TO AT LEAST TEN PERCENT OF THE TOTAL COST OF ACTIVITIES UNDER THE
GRANT WORK PLAN APPROVED BY THE DEPARTMENT OF STATE  SHALL  BE  REQUIRED
FOR  IMPLEMENTATION  GRANTS. IN THE EVENT AN APPLICANT IS IMPLEMENTING A
PROJECT THAT THE APPLICANT DEVELOPED THROUGH  A  SUCCESSFULLY  COMPLETED
PLANNING  GRANT  FUNDED  UNDER  THE  LOCAL  GOVERNMENT  EFFICIENCY GRANT
PROGRAM OR THE SHARED MUNICIPAL SERVICES INCENTIVE  GRANT  PROGRAM,  THE
LOCAL  MATCHING  FUNDS  REQUIRED  SHALL BE REDUCED BY THE LOCAL MATCHING
FUNDS REQUIRED BY SUCH SUCCESSFULLY COMPLETED PLANNING GRANT UP  TO  THE
AMOUNT OF LOCAL MATCHING FUNDS REQUIRED FOR THE IMPLEMENTATION GRANT.
  (VII)  IN  THE SELECTION OF GRANT AWARDS, THE SECRETARY OF STATE SHALL
GIVE THE HIGHEST PRIORITY TO APPLICATIONS: (1) THAT WOULD RESULT IN  THE
DISSOLUTION OR CONSOLIDATION OF MUNICIPALITIES; (2) THAT WOULD IMPLEMENT
THE  COMPLETE FUNCTIONAL CONSOLIDATION OF A MUNICIPAL SERVICE; OR (3) BY
LOCAL GOVERNMENTS WITH HISTORICALLY HIGH COSTS OF  LOCAL  GOVERNMENT  OR
SUSTAINED  INCREASES  IN  PROPERTY TAXES. PRIORITY WILL ALSO BE GIVEN TO
MUNICIPALITIES THAT HAVE PREVIOUSLY COMPLETED A PLANNING GRANT  PURSUANT
TO  THIS  PROGRAM  OR  THE  SHARED  MUNICIPAL  SERVICES  INCENTIVE GRANT
PROGRAM, AND TO LOCAL GOVERNMENTS CURRENTLY INVOLVED IN REGIONAL  DEVEL-
OPMENT  PROJECTS  THAT  HAVE  RECEIVED FUNDS THROUGH STATE COMMUNITY AND
INFRASTRUCTURE DEVELOPMENT PROGRAMS.

S. 2605--A                         39                         A. 3005--A

  (VIII) THE DEPARTMENT OF STATE SHALL PREPARE AN ANNUAL REPORT  TO  THE
GOVERNOR  AND  THE LEGISLATURE ON THE EFFECTIVENESS OF THE LOCAL GOVERN-
MENT EFFICIENCY GRANT PROGRAM AND THE LOCAL GOVERNMENT  CITIZENS  RE-OR-
GANIZATION  EMPOWERMENT GRANT PROGRAM.  SUCH REPORT SHALL BE PROVIDED ON
OR  BEFORE  OCTOBER  FIRST  OF  EACH  YEAR AND SHALL INCLUDE, BUT NOT BE
LIMITED TO, THE FOLLOWING: A SUMMARY OF APPLICATIONS AND AWARDS FOR EACH
GRANT CATEGORY, AN ASSESSMENT OF PROGRESS  IN  IMPLEMENTING  INITIATIVES
THAT  RECEIVED GRANT AWARDS, AND ESTIMATED FINANCIAL SAVINGS AND SIGNIF-
ICANT IMPROVEMENTS IN  SERVICE  REALIZED  BY  MUNICIPALITIES  THAT  HAVE
RECEIVED GRANTS.
  S  4.  This  act  shall take effect immediately and shall be deemed to
have been in full force and effect on and after April 1, 2013.

                                 PART L

  Section 1. Notwithstanding any provision of law to the  contrary,  any
provision  of  statute or regulation that requires a local government or
school district to submit a report to a state agency or  authority  that
has  not been approved for continuation by the mandate relief council as
provided herein shall expire and be deemed repealed on  April  1,  2014;
provided,  however, that all provisions of such statutes and regulations
other than such specific reporting requirements shall be  unaffected  by
the  repeal  of such reporting requirements and remain in full force and
effect. Every state agency and authority  shall  refer  to  the  mandate
relief council, on or before September 1, 2013, all local government and
school  district  reporting  requirements,  imposed  by statute or regu-
lation, and which of these reporting requirements, in the opinion of the
agency or authority, are necessary and should be continued because  such
reporting requirements are (1) required for compliance with federal laws
or  rules or to meet eligibility standards for federal entitlements; (2)
required for the protection of the health,  safety  or  welfare  of  the
public;  or (3) are otherwise necessary for critical state purposes. The
council shall review such requests to determine whether such reports are
necessary and should be continued. Upon a determination that a reporting
requirement is necessary and should be continued, the council may direct
the agency or authority to take actions to reduce the burden the report-
ing requirement imposes on local governments and school districts.
  S 2. This act shall take effect immediately; provided that the mandate
relief council shall notify the  legislative  bill  drafting  commission
which  reporting  requirements  were  referred to it and which reporting
requirements were approved for continuation so that such commission  may
maintain  an accurate and timely effective database of the official text
of the laws of the state of New York in  furtherance  of  effecting  the
provisions  of section 44 of the legislative law and section 70-b of the
public officers law.

                                 PART M

  Section 1. The state comptroller is hereby authorized and directed  to
loan  money in accordance with the provisions set forth in subdivision 5
of section 4 of the state finance law  to  the  following  funds  and/or
accounts:
  1. Tuition reimbursement fund:
  a. Tuition reimbursement account (20451).
  b. Proprietary vocational school supervision account (20452).
  2. Local government records management improvement fund:

S. 2605--A                         40                         A. 3005--A

  a. Local government records management account (20501).
  3. Dedicated highway and bridge trust fund:
  a. Highway and bridge capital account (30051).
  4. State university residence hall rehabilitation fund.
  5. State parks infrastructure trust fund:
  a. State parks infrastructure account (30351).
  6. Clean water/clean air implementation fund.
  7. Employees health insurance fund.
  a. Employees health insurance account (60201).
  8. State lottery fund:
  a. Education - New (20901).
  b. VLT - Sound basic education fund (20904).
  9. Medicaid management information system escrow fund.
  10. Sewage treatment program management and administration fund.
  11. Environmental conservation special revenue fund:
  a. Waste cleanup and management account (21053).
  b. Hazardous bulk storage account (21061).
  c. Great lakes restoration initiative account (21087).
  d. Low level radioactive waste siting account (21066).
  e. Recreation account (21067).
  f. Public safety recovery account (21077).
  g. Conservationist magazine account (21080).
  h. Environmental regulatory account (21081).
  i. Natural resource account (21082).
  j. Mined land reclamation program account (21084).
  k. Federal grants indirect cost recovery account (21065).
  12. Environmental protection and oil spill compensation fund.
  13. Hazardous waste remedial fund:
  a. Hazardous waste remedial cleanup account (31506).
  14. Mass transportation operating assistance fund:
  a. Public transportation systems account (21401).
  b. Metropolitan mass transportation (21402).
  15. Clean air fund:
  a. Operating permit program account (21451).
  b. Mobile source account (21452).
  16. Centralized services fund.
  17. State exposition special fund.
  18. Agency enterprise fund:
  a. OGS convention center account (50318).
  19. Agencies internal service fund:
  a. Archives records management account (55052).
  b. Federal single audit account (55053).
  c. Civil service law: sec 11 admin account (55055).
  d. Civil service EHS occupational health program account (55056).
  e. Banking services account (55057).
  f. Cultural resources survey account (55058).
  g. Neighborhood work project (55059).
  h. Automation & printing chargeback account (55060).
  i. OFT NYT account (55061).
  j. Data center account (55062).
  k. Human service telecom account (55063).
  l. Centralized technology services account (55069).
  m. OPWDD copy center account (55065).
  n. Intrusion detection account (55066).
  o. Domestic violence grant account (55067).
  p. Learning management system account (55070).

S. 2605--A                         41                         A. 3005--A

  q. Tax contact center account.
  r. Human services contact center account.
  s. Labor contact center account.
  20. Miscellaneous special revenue fund:
  a. Statewide planning and research cooperative system account (21902).
  b. OPWDD provider of service account (21903).
  c. New York state thruway authority account (21905).
  d. Mental hygiene patient income account (21909).
  e. Financial control board account (21911).
  f. Regulation of racing account (21912).
  g. New York metropolitan transportation council account (21913).
  h. Cyber upgrade account (21919).
  i. State university dormitory income reimbursable account (21937).
  j. Energy research account (21943).
  k. Criminal justice improvement account (21945).
  l. Fingerprint identification and technology account (21950).
  m. Environmental laboratory reference fee account (21959).
  n. Clinical laboratory reference system assessment account (21962).
  o. Public employment relations board account (21964).
  p. Cable television account (21971).
  q. Indirect cost recovery account (21978).
  r. High school equivalency program account (21979).
  s. Rail safety inspection account (21983).
  t. Multi-agency training account (21989).
  u. Critical infrastructure account (21992).
  v. Bell jar collection account (22003).
  w. Industry and utility service account (22004).
  x. Real property disposition account (22006).
  y. Parking account (22007).
  z. Asbestos safety training program account (22009).
  aa. Public service account (22011).
  bb. Batavia school for the blind account (22032).
  cc. Investment services account (22034).
  dd. Surplus property account (22036).
  ee. Financial oversight account (22039).
  ff. Regulation of indian gaming account (22046).
  gg. Rome school for the deaf account (22053).
  hh. Seized assets account (22054).
  ii. Administrative adjudication account (22055).
  jj. Federal salary sharing account (22056).
  kk. New York City assessment account (22062).
  ll. Cultural education account (22063).
  mm. Examination and miscellaneous revenue account (22065).
  nn. Local services account (22078).
  oo. DHCR mortgage servicing account (22085).
  pp. Department of motor vehicles compulsory insurance account (22087).
  qq. Housing indirect cost recovery account (22090).
  rr. DHCR-HCA application fee account (22100).
  ss. Low income housing monitoring account (22130).
  tt. Corporation administration account (22135).
  uu. Montrose veteran's home account (22144).
  vv. Motor fuel quality account (22149).
  ww. Deferred compensation administration account (22151).
  xx. Rent revenue other account (22156).
  yy. Rent revenue account (22158).
  zz. Tax revenue arrearage account (22168).

S. 2605--A                         42                         A. 3005--A

  aaa. Solid waste management account (22176).
  bbb. Capacity contracting (22016).
  ccc. Point insurance reduction program account.
  ddd. Internet point insurance reduction program account (22094).
  eee. Mental hygiene program fund account (21907).
  fff. Third party debt collection account.
  21. New York State Transformative Capital Fund:
  a. Storm recovery account.
  b. Transformative capital account.
  22. State university income fund:
  a. State university general income offset account (22654).
  23. State police and motor vehicle law enforcement fund:
  a. State police motor vehicle law enforcement account (22802).
  24. Youth facilities improvement fund:
  a. Youth facilities improvement account (31701).
  25. Highway safety program fund:
  a. Highway safety program account (23001).
  26. Drinking water program management and administration fund:
  a. EFC drinking water program account (23101).
  b. DOH drinking water program account (23102).
  27. New York city county clerks offset fund:
  a. NYCCC operating offset account (23151).
  28. Housing assistance fund.
  29. Housing program fund.
  30. Department of transportation - engineering services fund:
  a. Highway facility purpose account (31951).
  31. Miscellaneous capital projects fund:
  a. New York racing account (32213).
  32. Mental hygiene facilities capital improvement fund.
  33. Joint labor/management administration fund:
  a. Joint labor/management administration fund (55201).
  34. Audit and control revolving fund:
  a. Executive direction internal audit account (55251).
  b. CIO Information technology centralized services account (55252).
  35. Health insurance internal service fund:
  a. Health insurance internal service account (55300).
  b. Civil service employee benefits div admin (55301).
  36. Correctional industries revolving fund.
  37. Correctional facilities capital improvement fund.
  38. HCRA resources fund:
  a. EPIC premium account (20818).
  b. Hospital based grants program account (20812).
  c. Child health plus program account (20810).
  S 1-a. The state comptroller is hereby authorized and directed to loan
money  in  accordance  with the provisions set forth in subdivision 5 of
section 4 of the state finance law to any account within  the  following
federal  funds,  provided  the comptroller has made a determination that
sufficient federal grant award authority is available to reimburse  such
loans:
  1. Federal USDA-food nutrition services fund.
  2. Federal health and human services fund.
  3. Federal education grants fund.
  4. Federal block grant fund.
  5. Federal operating grants fund.
  6. Federal capital projects fund.
  7. Federal unemployment insurance administration fund.

S. 2605--A                         43                         A. 3005--A

  8. Federal unemployment insurance occupational training fund.
  9. Federal employment and training grants.
  S  2.  Notwithstanding any law to the contrary, and in accordance with
section 4 of the state finance law, the comptroller is hereby authorized
and directed to transfer, upon request of the director of the budget, on
or before March 31, 2014, up to the unencumbered balance or the  follow-
ing amounts:
  Economic Development and Public Authorities:
  1.  $175,000  from  the miscellaneous special revenue fund underground
facilities safety training account (22172), to the general fund.
  2. An amount up to the unencumbered  balance  from  the  miscellaneous
special  revenue  fund, business and licensing services account (21977),
to the general fund.
  3. $14,810,000 from  the  miscellaneous  special  revenue  fund,  code
enforcement account (21904), to the general fund.
  4.  An  amount  up  to the unencumbered balance from the miscellaneous
special revenue fund,  administrative  costs  account  (21974),  to  the
general fund.
  5.  $3,000,000  from  the  general  fund  to the miscellaneous special
revenue fund, tax revenue arrearage account (22168).
  Education:
  1. $2,242,000,000 from the general fund to  the  state  lottery  fund,
education  account (20901), as reimbursement for disbursements made from
such fund for supplemental aid to education pursuant to section 92-c  of
the  state  finance  law  that are in excess of the amounts deposited in
such fund for such purposes pursuant to section 1612 of the tax law.
  2. $901,800,000 from the general fund to the state lottery  fund,  VLT
education  account (20904), as reimbursement for disbursements made from
such fund for supplemental aid to education pursuant to section 92-c  of
the  state  finance  law  that are in excess of the amounts deposited in
such fund for such purposes pursuant to section 1612 of the tax law.
  3. Moneys from the state lottery fund up to  an  amount  deposited  in
such  fund  pursuant  to  section  1612  of the tax law in excess of the
current year appropriation for supplemental aid to education pursuant to
section 92-c of the state finance law.
  4. $300,000 from the local government records  management  improvement
fund to the archives partnership trust fund.
  5. $900,000 from the general fund to the miscellaneous special revenue
fund, Batavia school for the blind account (22032).
  6. $900,000 from the general fund to the miscellaneous special revenue
fund, Rome school for the deaf account (22053).
  7.  $80,000,000 from the state university dormitory income fund to the
state university residence hall rehabilitation fund.
  8. $343,400,000 from the state university dormitory income fund to the
miscellaneous special revenue fund, state  university  dormitory  income
reimbursable account (21937).
  9.  $24,000,000  from  any  of  the state education department special
revenue and internal service funds to the miscellaneous special  revenue
fund, indirect cost recovery account (21978).
  10.  $8,318,000  from  the general fund to the state university income
fund, state university income offset account (22654),  for  the  state's
share of repayment of the STIP loan.
  11. $51,700,000 from the state university income fund, state universi-
ty hospitals income reimbursable account (22656) to the general fund for
hospital  debt  service  for  the period April 1, 2013 through March 31,
2014.

S. 2605--A                         44                         A. 3005--A

  Environmental Affairs:
  1.  $5,000,000 from the department of transportation's federal capital
projects fund to the office of parks and  recreation  federal  operating
grants fund, miscellaneous operating grants account (25300).
  2.  $16,000,000  from any of the department of environmental conserva-
tion's special revenue federal funds to the special revenue fund federal
grant indirect cost recovery account (22188).
  3. $2,000,000 from any of the department  of  environmental  conserva-
tion's  special revenue federal funds to the conservation fund as neces-
sary to avoid diversion of conservation funds.
  4. $15,000,000 from the environmental protection  fund,  environmental
protection transfer account (30451) to the general fund.
  5. $3,000,000 from any of the office of parks, recreation and historic
preservation  capital projects federal funds and special revenue federal
funds to the special revenue fund federal grant indirect  cost  recovery
account (22188).
  6. $1,000,000 from any of the office of parks, recreation and historic
preservation  special revenue federal funds to the special revenue fund,
I love NY water account (21930).
  Family Assistance:
  1. $10,000,000 from any of the office of children and family services,
office of temporary and disability assistance, or department  of  health
special  revenue  federal funds and the general fund, in accordance with
agreements with social services districts, to the miscellaneous  special
revenue  fund, office of human resources development state match account
(21967).
  2. $3,000,000 from any of the office of children and  family  services
or office of temporary and disability assistance special revenue federal
funds to the miscellaneous special revenue fund, family preservation and
support services and family violence services account (22082).
  3.  $6,000,000  from any of the office of children and family services
special revenue federal  funds  to  the  general  fund  for  title  IV-E
reimbursement of youth facility costs.
  4. $12,670,000 from any of the office of children and family services,
office  of  temporary and disability assistance, or department of health
special revenue federal  funds  and  any  other  miscellaneous  revenues
generated  from  the operation of office of children and family services
programs to the general fund.
  5. $10,000,000 from any of the office of children and family  services
or  office  of temporary and disability assistance special revenue funds
or  the  general  fund  to  the  miscellaneous  special  revenue   fund,
connections account (22180).
  6.  $41,000,000  from  any  of  the office of temporary and disability
assistance accounts within the federal health and human services fund to
the general fund.
  7. $159,000,000 from any of the office  of  temporary  and  disability
assistance  or department of health special revenue funds to the general
fund.
  8. $2,500,000 from any of  the  office  of  temporary  and  disability
assistance  or  office  of  children and family services special revenue
federal funds to the  miscellaneous  special  revenue  fund,  office  of
temporary and disability assistance program account (21980).
  9. $50,000,000 from any of the office of children and family services,
office  of temporary and disability assistance, department of labor, and
department of health special revenue federal  funds  to  the  office  of

S. 2605--A                         45                         A. 3005--A

children  and family services miscellaneous special revenue fund, multi-
agency training contract account (21989).
  10.  $152,400,000  from  the miscellaneous special revenue fund, youth
facility per Diem account (22186), to the general fund.
  11. $621,850 from the general fund to the combined gifts, grants,  and
bequests fund, WB Hoyt Memorial account (20128).
  12.  $4,822,000  from  the  miscellaneous  special  revenue fund state
central registry (22028) to the general fund.
  General Government:
  1. $1,566,000 from the miscellaneous special revenue fund, examination
and miscellaneous revenue account (22065) to the general fund.
  2. $12,500,000 from the general fund to the health insurance revolving
fund.
  3. $192,400,000 from the health insurance reserve receipts fund to the
general fund.
  4. $150,000 from the general fund to the not-for-profit revolving loan
fund.
  5. $150,000 from the not-for-profit revolving loan fund to the general
fund.
  6. $31,000,000 from the miscellaneous special revenue fund, real prop-
erty disposition account (22006), to the general fund.
  7. $3,000,000 from the miscellaneous  special  revenue  fund,  surplus
property account (22036), to the general fund.
  8.  $18,200,000  from  the  general  fund to the miscellaneous special
revenue fund, alcoholic beverage control account (22033).
  9. $23,000,000 from the miscellaneous special  revenue  fund,  revenue
arrearage account (22024), to the general fund.
  10.  $1,826,000  from  the  miscellaneous special revenue fund revenue
arrearage account (22024), to the  miscellaneous  special  revenue  fund
authority budget office account (22138).
  11.  $1,000,000  from  the miscellaneous special revenue fund, parking
services account (22007), to the general fund, for the purpose of  reim-
bursing the costs of debt service related to state parking facilities.
  12.  $55,200,000  from  the  general fund to the miscellaneous special
revenue fund, statewide financial system account (22074).
  13. $40,000,000 from the general fund to  the  office  for  technology
internal  service fund, central technology services account (55069), for
the purpose of enterprise technology projects.
  Health:
  1. $139,560,000 from the miscellaneous special revenue  fund,  quality
of care account (21915) to the general fund.
  2.  $1,000,000 from the general fund to the combined gifts, grants and
bequests fund, breast cancer research and education account (20155),  an
amount  equal to the monies collected and deposited into that account in
the previous fiscal year.
  3. $2,464,000 from any of the department of health accounts within the
federal health and human services  fund  to  the  department  of  health
miscellaneous  special  revenue  fund,  statewide  planning and research
cooperation system (SPARCS) program account (21902).
  4. $250,000 from the general fund to the combined  gifts,  grants  and
bequests  fund,  prostate  cancer  research,  detection,  and  education
account (20183), an amount equal to the moneys collected  and  deposited
into that account in the previous fiscal year.
  5.  $500,000  from  the general fund to the combined gifts, grants and
bequests fund,  Alzheimer's  disease  research  and  assistance  account

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(20143), an amount equal to the moneys collected and deposited into that
account in the previous fiscal year.
  6.  $1,000,000  from  the miscellaneous special revenue fund, adminis-
tration account (21982), to the general fund.
  7. $600,000,000 from any of the department of health  accounts  within
the  federal health and human services fund to the miscellaneous special
revenue fund, federal state health reform partnership account (22076).
  8. $26,000,000 from the special revenue fund, HCRA resources fund,  to
the  miscellaneous  special  revenue  fund, empire state stem cell trust
fund account (22161).
  9. $1,250,000 from the  miscellaneous  New  York  state  agency  fund,
medical assistance account to the general fund.
  10.  $3,700,000  from  the  miscellaneous  New York state agency fund,
medical assistance account to the general fund.
  11. $14,000,000 from the general fund  to  the  miscellaneous  special
revenue fund, empire state stem cell trust fund (22161).
  12.  $139,560,000 from any of the department of health accounts within
the federal health and human services fund to the miscellaneous  special
revenue fund, quality of care account (21915).
  Labor:
  1.  $700,000  from  the  labor standards miscellaneous special revenue
fund, fee and penalty account (21923), to the child performer protection
fund, child performer protection account (20401).
  2. $8,400,000 from the labor standards miscellaneous  special  revenue
fund, fee and penalty account (21923), to the general fund.
  3.  $3,300,000  from  the  unemployment insurance interest and penalty
special revenue fund, unemployment insurance special interest and penal-
ty account (23601), to the general fund.
  4. $3,000,000 from the labor standards miscellaneous  special  revenue
fund, public work enforcement account (21998), to the general fund.
  5.  $2,200,000 from the training and education program on occupational
safety and  health  fund,  occupational  safety  and  health  inspection
account (21252), to the general fund.
  6.  $900,000  from  the training and education program on occupational
safety and health fund, training and education account (21251),  to  the
general fund.
  Mental Hygiene:
  1.  $10,000,000  from  the  miscellaneous special revenue fund, mental
hygiene patient income account (21909),  to  the  miscellaneous  special
revenue fund, federal salary sharing account (22056).
  2.  $150,000,000  from  the miscellaneous special revenue fund, mental
hygiene patient income account  (21909)  to  the  miscellaneous  special
revenue fund, provider of service accounts (21903).
  3.  $150,000,000  from  the miscellaneous special revenue fund, mental
hygiene program fund account (21907) to the miscellaneous special reven-
ue fund, provider of service account (21903).
  4. $150,000,000 from the general fund  to  the  miscellaneous  special
revenue fund, mental hygiene patient income account (21909).
  5.  $300,000,000  from  the  general fund to the miscellaneous special
revenue fund, mental hygiene program fund account (21907).
  6. $100,000,000 from the miscellaneous special  revenue  fund,  mental
hygiene program fund account (21907) to the general fund.
  7.  $100,000,000  from  the miscellaneous special revenue fund, mental
hygiene patient income account (21909) to the general fund.
  Public Protection:

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  1. $1,350,000 from the miscellaneous special revenue  fund,  emergency
management account (21944), to the general fund.
  2.  $3,300,000  from  the  general  fund  to the miscellaneous special
revenue fund, recruitment incentive account (22171).
  3. $9,500,000 from the general fund  to  the  correctional  industries
revolving   fund,   correctional  industries  internal  service  account
(55350).
  4. $10,000,000 from federal miscellaneous operating grants fund,  DMNA
damage account (25324), to the general fund.
  5.  $16,000,000  from  the  general  fund to the miscellaneous special
revenue fund, crimes against revenue program account (22015).
  6. $20,000,000 from any office of homeland security account within the
federal miscellaneous operating grants fund, receiving money through the
homeland security grants program, to the general fund.
  7. $22,000,000 from the miscellaneous special revenue  fund,  criminal
justice improvement account (21945) to the general fund.
  8.  $20,000,000 from the miscellaneous special revenue fund, statewide
public safety communications account (22123), to the general fund.
  9. $106,000,000 from the state police and motor vehicle  law  enforce-
ment  and  motor vehicle theft and insurance fund prevention fund, state
police motor vehicle enforcement account (22802) to the general fund for
state operation expenses of the division of state police.
  10. $21,500,000 from the general fund to the  correctional  facilities
capital improvement fund.
  11.  $1,500,000 from the miscellaneous special revenue fund, statewide
public safety communications account (22123),  to  the  combined  gifts,
grants  and  bequests  fund, New York state emergency services revolving
loan account (20150).
  12. $3,000,000 from the general fund  to  the  dedicated  highway  and
bridge  trust  fund  for  the  purpose  of  work  zone safety activities
provided by the division of state police for the department of transpor-
tation.
  Transportation:
  1. $17,672,000 from the federal miscellaneous operating grants fund to
the special revenue fund, tri-state federal  regional  planning  account
(21913).
  2.  $20,147,000  from the federal capital projects fund to the special
revenue fund, tri-state federal regional planning accounts (21913).
  3. $15,368,000 from the miscellaneous special revenue fund, compulsory
insurance account (22087), to the general fund.
  4. $12,000,000 from the general fund to the mass transportation  oper-
ating  assistance  fund, public transportation systems operating assist-
ance account (21401).
  5. $624,691,000 from the general fund to  the  dedicated  highway  and
bridge trust fund.
  6.  $606,000  from  the  miscellaneous  special revenue fund, internet
point insurance reduction program account (22094), to the general fund.
  7. $6,000 from the  miscellaneous  special  revenue  fund,  motorcycle
safety account (21976), to the general fund.
  8.  $307,200,000 from the general fund to the MTA financial assistance
fund, mobility tax trust account (23651).
  9. $20,000,000 from the mass transportation operating assistance fund,
metropolitan mass transportation operating assistance  account  (21402),
to  the  general  debt  service  fund,  for reimbursement of the state's
expenses in  connection  with  payments  of  debt  service  and  related

S. 2605--A                         48                         A. 3005--A

expenses  for  the metropolitan transportation authority's state service
contract bonds.
  Miscellaneous:
  1. $150,000,000 from the general fund to any funds or accounts for the
purpose of reimbursing certain outstanding accounts receivable balances.
  2. $ 1,000,000,000 from the general fund to the debt reduction reserve
fund.
  3.  $450,000,000  from  the transformative capital fund to the revenue
bond tax fund (40152).
  S 3. Notwithstanding any law to the contrary, and in  accordance  with
section 4 of the state finance law, the comptroller is hereby authorized
and directed to transfer, on or before March 31, 2014:
  1.  Upon request of the commissioner of environmental conservation, up
to $11,126,800 from revenues credited to any of the department of  envi-
ronmental  conservation special revenue funds, including $3,253,200 from
the environmental  protection  and  oil  spill  compensation  fund,  and
$1,762,600 from the conservation fund, to the environmental conservation
special revenue fund, indirect charges account (21060).
  2.  Upon request of the commissioner of agriculture and markets, up to
$3,000,000 from any special revenue fund or enterprise fund  within  the
department of agriculture and markets to the general fund, to pay appro-
priate administrative expenses.
  3.  Upon request of the commissioner of agriculture and markets, up to
$2,000,000 from the state exposition special fund, state  fair  receipts
account  (50051)  to the miscellaneous capital projects fund, state fair
capital improvement account (32208).
  4. Upon request of the commissioner of the  division  of  housing  and
community  renewal, up to $6,221,000 from revenues credited to any divi-
sion of housing and community renewal federal or  miscellaneous  special
revenue fund to the agency cost recovery account (22090).
  5.  Upon  request  of  the commissioner of the division of housing and
community renewal, up to $5,500,000 may be transferred from any  miscel-
laneous  special  revenue  fund  account,  to  any miscellaneous special
revenue fund.
  6. Upon request of the commissioner of health up to  $15,000,000  from
revenues  credited  to any of the department of health's special revenue
funds, to the miscellaneous special revenue fund, administration account
(21982).
  S 4. Notwithstanding section 2815 of the  public  health  law  or  any
other  contrary  provision of law, upon the direction of the director of
the budget and the commissioner of health, the  dormitory  authority  of
the  state  of  New  York  is directed to transfer seven million dollars
annually from funds available and uncommitted  in  the  New  York  state
health  care  restructuring  pool  to  the health care reform act (HCRA)
resources fund - HCRA resources account.
  S 5. On or before March 31, 2014, the comptroller is hereby authorized
and directed to deposit earnings that  would  otherwise  accrue  to  the
general  fund  that are attributable to the operation of section 98-a of
the state finance law, to the agencies internal  service  fund,  banking
services  account  (55057),  for  the purpose of meeting direct payments
from such account.
  S 6. Notwithstanding any law to the contrary, upon  the  direction  of
the  director of the budget and upon requisition by the state university
of New York, the dormitory  authority  of  the  state  of  New  York  is
directed  to  transfer, up to $22,000,000 in revenues generated from the
sale of notes or  bonds,  to  the  state  university  of  New  York  for

S. 2605--A                         49                         A. 3005--A

reimbursement  of bondable equipment for further transfer to the state's
general fund.
  S  7.  Notwithstanding any law to the contrary, and in accordance with
section 4 of the state finance law, the comptroller is hereby authorized
and directed to transfer, upon request of the director of the budget and
upon consultation with the state university chancellor  or  his  or  her
designee,  on or before March 31, 2014, up to $16,000,000 from the state
university income fund general revenue  account  (22653)  to  the  state
general  fund for debt service costs related to campus supported capital
project costs for the  NY-SUNY  2020  challenge  grant  program  at  the
University at Buffalo.
  S  8.  Notwithstanding any law to the contrary, and in accordance with
section 4 of the state finance law, the comptroller is hereby authorized
and directed to transfer, upon request of the director of the budget and
upon consultation with the state university chancellor  or  his  or  her
designee,  on  or before March 31, 2014, up to $6,500,000 from the state
university income fund general revenue  account  (22653)  to  the  state
general  fund for debt service costs related to campus supported capital
project costs for the  NY-SUNY  2020  challenge  grant  program  at  the
University at Albany.
  S  9.  Notwithstanding  any  law to the contrary, the state university
chancellor or her designee is authorized and directed to transfer  esti-
mated tuition revenue balances from the state university collection fund
to  the  state  university fund, state university general revenue offset
account (22655) on or before March 31, 2014.
  S 10. Notwithstanding any law to the contrary, and in accordance  with
section 4 of the state finance law, the comptroller is hereby authorized
and directed to transfer, upon request of the director of the budget, up
to  $60,000,000  from  the  general  fund to the state university income
fund, state university hospitals  income  reimbursable  account  (22656)
during  the period July 1, 2013 through June 30, 2014 to reflect ongoing
state subsidy of SUNY hospitals and to pay  costs  attributable  to  the
SUNY hospitals' state agency status.
  S  11. Notwithstanding any law to the contrary, and in accordance with
section 4 of the state finance law, the comptroller is hereby authorized
and directed to transfer, upon request of the director of the budget, up
to $969,050,300 from the general fund to  the  state  university  income
fund, state university general revenue offset account (22655) during the
period  of  July  1, 2013 through June 30, 2014 to support operations at
the state university.
  S 12. Notwithstanding any law to the contrary, and in accordance  with
section 4 of the state finance law, the comptroller is hereby authorized
and  directed to transfer, upon request of the state university chancel-
lor or his or her designee, up to $50,000,000 from the state  university
income  fund,  state  university  hospitals  income reimbursable account
(22656), for hospital income reimbursable for services and  expenses  of
hospital  operations  and  capital  expenditures at the state university
hospitals, and the state university income fund  Long  Island  veterans'
home account (22652) to the state university capital projects fund on or
before June 30, 2014.
  S  13. Notwithstanding any law to the contrary, and in accordance with
section 4 of the state finance law, the comptroller, after  consultation
with  the  state university chancellor or his or her designee, is hereby
authorized and directed to transfer moneys, in the first instance,  from
the  state  university  collection fund, Stony Brook hospital collection
account (61006), Brooklyn hospital collection account (61007), and Syra-

S. 2605--A                         50                         A. 3005--A

cuse hospital collection account (61008) to the state university  income
fund,  state university hospitals income reimbursable account (22656) in
the event insufficient funds  are  available  in  the  state  university
income  fund,  state  university  hospitals  income reimbursable account
(22656) to transfer moneys, in amounts sufficient  to  permit  the  full
transfer  of  moneys  authorized  for  transfer, to the general fund for
payment of debt service related to the SUNY hospitals.   Notwithstanding
any  law  to the contrary, the comptroller is also hereby authorized and
directed, after consultation with the state university chancellor or his
or her designee, to transfer moneys from  the  state  university  income
fund  to  the  state  university income fund, state university hospitals
income reimbursable account (22656) in the event insufficient funds  are
available  in  the state university income fund, state university hospi-
tals income reimbursable account (22656) to pay hospital operating costs
or to transfer moneys, in amounts sufficient to permit the full transfer
of moneys authorized for transfer, to the general fund  for  payment  of
debt service related to the SUNY hospitals on or before March 31, 2014.
  S  14. Notwithstanding any law to the contrary, and in accordance with
section 4 of the state finance law, the comptroller is hereby authorized
and directed to transfer monies, upon request of  the  director  of  the
budget,  on  or  before March 31, 2014, from and to any of the following
accounts: the miscellaneous special revenue fund, patient income account
(21909), the miscellaneous special revenue fund, mental hygiene  program
fund  account  (21907),  the miscellaneous special revenue fund, federal
salary sharing account (22056) or the general fund in  any  combination,
the aggregate of which shall not exceed $350 million.
  S  15. Notwithstanding any law to the contrary, and in accordance with
section 4 of the state finance law, the comptroller is hereby authorized
and directed to transfer, at the request of the director of the  budget,
up  to $500 million from the unencumbered balance of any special revenue
fund or account, or combination of funds and accounts,  to  the  general
fund. The amounts transferred pursuant to this authorization shall be in
addition  to  any  other  transfers  expressly authorized in the 2013-14
budget. Transfers  from  federal  funds,  debt  service  funds,  capital
projects  funds, the community projects fund, or funds that would result
in the loss of eligibility for federal benefits or federal funds  pursu-
ant  to  federal law, rule, or regulation, are not permitted pursuant to
this authorization. The director of the budget shall notify both  houses
of  the legislature in writing prior to initiating transfers pursuant to
this authorization.
  S 16. Notwithstanding any law to the contrary, and in accordance  with
section 4 of the state finance law, the comptroller is hereby authorized
and  directed to transfer, at the request of the director of the budget,
up to $100 million from any non-general fund or account, or  combination
of funds and accounts, to the special revenue other-technology financing
account  for  the  purpose  of  consolidating technology procurement and
services. The amounts transferred pursuant to this  authorization  shall
be  equal  to or less than the amount of such monies intended to support
information technology costs which  are  attributable,  according  to  a
plan,  to  such  account  made  in pursuance to an appropriation by law.
Transfers to the technology financing account shall  be  completed  from
amounts  collected  by  non-general funds or accounts pursuant to a fund
deposit schedule or permanent statute, and shall be transferred  to  the
technology  financing  account pursuant to a schedule agreed upon by the
affected agency commissioner.  Transfers  from  federal  funds  are  not
permitted pursuant to this authorization; nor may transfers be made from

S. 2605--A                         51                         A. 3005--A

funds  that would result in the loss of eligibility for federal benefits
or federal funds pursuant to federal law,  rule,  or  regulation.    The
director  of  the  budget shall notify both houses of the legislature in
writing prior to initiating transfers pursuant to this authorization.
  S  17. Notwithstanding any provision of law to the contrary, as deemed
feasible and advisable by its trustees, the power authority of the state
of New York is authorized and directed to (i) make a contribution to the
state treasury to the credit  of  the  general  fund,  or  as  otherwise
directed in writing by the director of the budget, in an amount of up to
$90,000,000  for  the  state  fiscal  year commencing April 1, 2013, the
proceeds of which will be  utilized  for  economic  development,  energy
efficiency,  or energy cost mitigation purposes, and (ii) transfer up to
$25,000,000 of any such contribution by June 30, 2013 and the  remainder
of any such contribution by March 31, 2014.
  S  18. In addition to any payment made by a public benefit corporation
pursuant to an assessment imposed under sections 2975, 2975-a, 2976  and
2976-a  of  the  public authorities law, a public benefit corporation is
authorized to make voluntary contributions to the state general fund for
any lawful purpose at any time from any public benefit corporation funds
in such amounts as deemed to be feasible and advisable  by  such  public
benefit  corporation's  governing  board  after due consideration of the
public benefit corporation's legal and financial obligations.   Notwith-
standing  any  other law, the payment of a voluntary payment pursuant to
this subdivision is deemed to be a valid and proper  purpose  for  which
available  funds  may  be  applied.  Voluntary contributions made to the
state pursuant to this subdivision shall be payable to the state  treas-
ury to the credit of the general fund.
  S 19. Section 53 of part U of chapter 59 of the laws of 2012, relating
to providing for administration of certain funds and accounts related to
the 2013-2014 budget, is amended to read as follows:
  S  53.  This  act shall take effect immediately and shall be deemed to
have been in full force and effect on and after April 1, 2012;  provided
that  sections one through seven, sections ten through fifteen, [section
seventeen,] and sections twenty through thirty-three of this  act  shall
expire  March  31,  2013,  when  upon  such date, the provisions of such
sections shall be deemed repealed; provided further that the  amendments
to subdivisions 1 and 2 of section 45 of section 1 of chapter 174 of the
laws of 1968 made by section forty-nine of this act shall not affect the
expiration of such subdivisions and shall be deemed to expire therewith.
  S  20.  Subdivision  5  of section 97-rrr of the state finance law, as
amended by section 16 of part U of chapter 59 of the laws  of  2012,  is
amended to read as follows:
  5. Notwithstanding the provisions of section one hundred seventy-one-a
of  the  tax law, as separately amended by chapters four hundred eighty-
one and four hundred eighty-four of the laws of nineteen hundred  eight-
y-one,  and notwithstanding the provisions of chapter ninety-four of the
laws of two thousand eleven, or any  other  provisions  of  law  to  the
contrary,  during  the  fiscal  year beginning April first, two thousand
[twelve] THIRTEEN,  the  state  comptroller  is  hereby  authorized  and
directed  to  deposit  to the fund created pursuant to this section from
amounts collected pursuant to article twenty-two  of  the  tax  law  and
pursuant  to  a  schedule submitted by the director of the budget, up to
[$3,322,067,000] $3,419,375,000, as may be certified in such schedule as
necessary to meet the purposes of such fund for the fiscal  year  begin-
ning April first, two thousand [twelve] THIRTEEN.

S. 2605--A                         52                         A. 3005--A

  S  21.  The  comptroller  is authorized and directed to deposit to the
general fund-state purposes account reimbursements from moneys appropri-
ated or reappropriated to the correctional facilities  capital  improve-
ment  fund  by  a  chapter  of the laws of 2013. Reimbursements shall be
available  for  spending  from  appropriations made to the department of
corrections and community supervision in the general fund-state purposes
accounts by a chapter of the laws of 2013 for costs associated with  the
administration  and  security  of  capital  projects and for other costs
which are attributable, according to a plan, to such capital projects.
  S 22. Section 3 of part W of chapter 60 of the laws of 2011,  amending
the  state  finance  law relating to disbursements from the tribal-state
compact revenue account to certain municipalities, is amended to read as
follows:
  S 3. This act shall take effect immediately; provided that:
  (a) the amendments to subdivision 3  of  section  99-h  of  the  state
finance  law  made by section one of this act shall expire and be deemed
repealed [March 31, 2013] DECEMBER 31, 2016; and
  (b) the amendments to paragraph (a) of subdivision 4 of  section  99-h
of  the  state  finance  law  made  by section two of this act shall not
affect the expiration of such section and  shall  be  deemed  to  expire
therewith.
  S  23.  Subdivision  3  of  section  99-h of the state finance law, as
amended by section 1 of part V of chapter 59 of the  laws  of  2006,  is
amended to read as follows:
  3. Moneys of the account, following [appropriation] THE SEGREGATION OF
APPROPRIATIONS  ENACTED  by  the  legislature,  shall  be  available for
purposes including but not limited to: (a) reimbursements or payments to
municipal governments that host tribal casinos  pursuant  to  a  tribal-
state compact for costs incurred in connection with services provided to
such  casinos  or  arising as a result thereof, for economic development
opportunities and job expansion programs  authorized  by  the  executive
law;  provided,  however,  that  for  any gaming facility located in the
county of Erie or Niagara, the municipal governments hosting the facili-
ty shall collectively receive a minimum of twenty-five  percent  of  the
negotiated percentage of the net drop from electronic gaming devices the
state receives pursuant to the compact and provided further that for any
gaming  facility located in the county or counties of Cattaraugus, Chau-
tauqua or Allegany, the municipal governments of the state  hosting  the
facility  shall collectively receive a minimum of twenty-five percent of
the negotiated percentage of the net drop from electronic gaming devices
the state receives pursuant to the compact; and  provided  further  that
pursuant  to  chapter  five  hundred  ninety of the laws of two thousand
four, a minimum of twenty-five percent of the revenues received  by  the
state  pursuant  to  the state's compact with the St. Regis Mohawk tribe
shall be made available to the counties of Franklin  and  St.  Lawrence,
and  affected  towns in such counties. Each such county and its affected
towns shall receive fifty percent of the moneys made  available  by  the
state;  and  (b)  support and services of treatment programs for persons
suffering from gambling addictions. Moneys not [appropriated] SEGREGATED
for such purposes shall be transferred  to  the  general  fund  for  the
support of government during the fiscal year in which they are received.
  S  24.  Paragraphs  (a)  and  (b)  of  subdivision 7 of section 5-a of
section 1 of chapter 392 of the laws of 1973, constituting the New  York
state  medical  care  facilities  finance  agency  act, paragraph (a) as
amended by chapter 55 of the laws of 1992 and paragraph (b)  as  amended
by chapter 59 of the laws of 1993, are amended to read as follows:

S. 2605--A                         53                         A. 3005--A

  (a)  In  connection with the making of federally-aided mortgage loans,
the commissioner of health shall  charge  to  such  non-profit  hospital
corporation,  non-profit corporation providing a residential health care
facility or non-profit medical corporation, for mortgage closings on  or
after April first, nineteen hundred eighty-nine, a fee of nine-tenths of
one percent of the mortgage loan, payable on requisition on or after the
mortgage  closing to the state department of health by the mortgagor for
deposit into the [miscellaneous special revenue fund - 339 hospital  and
nursing home management account] STATE GENERAL FUND.
  (b) In connection with the refinancing or refunding of federally-aided
mortgage  loans  or  loans  made pursuant to articles twenty-eight-A and
twenty-eight-B of the public health  law,  the  commissioner  of  health
shall  charge to such non-profit hospital corporation, non-profit corpo-
ration providing  a  residential  health  care  facility  or  non-profit
medical  corporation,  for  mortgage  closings  on or after April first,
nineteen hundred eighty-nine, a fee of five-tenths of one percent of the
new mortgage loan, payable on requisition on or after the mortgage clos-
ing to the state department of health by the mortgagor for deposit  into
the  [miscellaneous  special  revenue fund-339 hospital and nursing home
management account] STATE GENERAL FUND.
  S 25. In the event that a  capital  appropriation  in  the  amount  of
$25,000,000  is  included  in  the  enacted  budget  for the fiscal year
commencing April 1, 2013 for the cleaner,  greener  communities  program
administered  by  the  New  York  State  energy research and development
authority, then notwithstanding any provision of law, rule or regulation
to the contrary, the New York  State  energy  research  and  development
authority is authorized and directed to pay to the state treasury to the
credit  of  the  general fund for the cost of such program the amount of
$15,000,000 for the fiscal year commencing April 1, 2013  from  proceeds
collected  by  the  authority from the auction or sale of carbon dioxide
emission allowances allocated by the department of environmental conser-
vation under the Regional Greenhouse Gas Initiative. If, in  any  fiscal
year,  such  $25,000,000 appropriation or any reappropriation thereof is
reduced or eliminated prior to disbursement of $15,000,000,  where  such
reduction  or  elimination  is  not  based upon the disbursement of such
$25,000,000 appropriation, the comptroller is authorized and directed to
transfer, at the request of the director of the division of the  budget,
an  amount  equal  to such reduced or eliminated amount from the general
fund to the New York State energy research  and  development  authority,
not to exceed in the aggregate $15,000,000.
  S  26.  Notwithstanding  any  other  law,  rule,  or regulation to the
contrary, the comptroller is hereby authorized and directed to  deposit,
to  the  credit  of  the  capital  projects fund, reimbursement from the
proceeds of notes or bonds issued by  the  dormitory  authority  of  the
state  of  New York for a capital appropriation for $215,650,000 author-
ized by chapter 55 of the laws of 2000 to all state agencies for payment
of costs related to the strategic investment program.
  S 27. Notwithstanding any  other  law,  rule,  or  regulation  to  the
contrary,  the  comptroller is hereby authorized and directed to deposit
to the credit of the  capital  projects  fund,  reimbursement  from  the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration  for a capital appropriation of $30,174,000 authorized by chapter
55 of the laws of 2003 to the department of  environmental  conservation
for payment of a portion of the state's match for federal capitalization
grants  for  the water pollution control revolving loan fund, reimburse-
ment from the proceeds of notes or bonds issued by the urban development

S. 2605--A                         54                         A. 3005--A

corporation or other financing source for  a  capital  appropriation  of
$19,500,000  authorized  by chapter 50 of the laws of 2003 to the office
of general services for payment of capital construction costs for the 51
Elk  street  parking  garage  building  located  in  the city of Albany,
reimbursement from the proceeds of notes or bonds issued  by  the  urban
development  corporation for disbursements of up to $10,000,000 from any
capital appropriation or reappropriation authorized by chapter 50 of the
laws of 2003 to the office of general  services  for  various  purposes,
reimbursement from the proceeds of notes or bonds issued by the environ-
mental facilities corporation for a capital appropriation of $13,250,000
authorized  by chapter 55 of the laws of 2003 to the energy research and
development authority for the Western New York Nuclear Service Center at
West Valley, reimbursement from the proceeds of notes or bonds issued by
the dormitory authority for disbursements of up to $16,400,000 from  any
capital appropriation or reappropriation authorized by chapter 51 of the
laws of 2003 to the judiciary for courthouse improvements, reimbursement
from  the  proceeds  of  notes  or bonds issued by the urban development
corporation for disbursements of up to $10,000,000  from  appropriations
or  reappropriations authorized by chapter 50 of the laws of 2003 to any
agency for costs related to homeland security,  reimbursement  from  the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration  for a capital appropriation of $10,000,000 authorized by chapter
55 of the laws of 2003 to the department of  environmental  conservation
for  Onondaga  lake,  reimbursement  from the proceeds of notes or bonds
issued by the environmental facilities corporation for disbursements  of
up  to  $11,000,000  from any capital appropriations or reappropriations
authorized by chapter 55 of the laws of 2003 to the department of  envi-
ronmental  conservation  for  environmental  purposes, and reimbursement
from the proceeds of notes or bonds issued by  the  dormitory  authority
for  disbursements  of  up  to $100,000,000 from a capital appropriation
authorized by chapter 50 of the laws of 2003 to the department of  state
for enhanced 911 wireless service.
  S  28.  Notwithstanding  any  other  law,  rule,  or regulation to the
contrary, the comptroller is hereby authorized and directed  to  deposit
to  the  credit  of  the  capital  projects fund, reimbursement from the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration for a capital appropriation for $28,893,000 authorized by chapter
55 of the laws of 2004 to the department of  environmental  conservation
for payment of a portion of the state's match for federal capitalization
grants  for  the water pollution control revolving loan fund, reimburse-
ment from the proceeds of notes or bonds issued by the urban development
corporation for disbursements of up  to  $10,000,000  from  any  capital
appropriation or reappropriation authorized by chapter 50 of the laws of
2004  to the office of general services for various purposes, reimburse-
ment from the proceeds of notes or bonds  issued  by  the  environmental
facilities  corporation  for  a  capital  appropriation  of  $11,350,000
authorized by chapter 55 of the laws of 2004 to the energy research  and
development authority for the Western New York Nuclear Service Center at
West Valley, reimbursement from the proceeds of notes or bonds issued by
the environmental facilities corporation, for a capital appropriation of
$10,000,000  authorized by chapter 55 of the laws of 2004 to the depart-
ment of environmental conservation for Onondaga lake, reimbursement from
the proceeds of notes or bonds issued by  the  environmental  facilities
corporation  for  disbursements  of  up  to $11,000,000 from any capital
appropriations or reappropriations authorized by chapter 55 of the  laws
of  2004  to  the  department of environmental conservation for environ-

S. 2605--A                         55                         A. 3005--A

mental purposes, reimbursement from  the  proceeds  of  notes  or  bonds
issued  by  the  dormitory  authority  for  a  capital  appropriation of
$80,000,000 authorized by chapter 53 of the laws of 2004 to  the  educa-
tion  department  for  capital  transition  grants  for  transportation,
reimbursement from the proceeds of notes or bonds issued by the dormito-
ry authority for a capital appropriation of $243,325,000  authorized  by
chapter  55 of the laws of 2004 for payment of costs related to economic
development projects, reimbursement from the proceeds of bonds or  notes
issued  by the urban development corporation for a capital appropriation
of $83,500,000 authorized by chapter 53 of the laws of 2006, as  amended
by  chapter 108 of the laws of 2006, for payment of costs related to the
H. H. Richardson complex and the Darwin Martin House, and  reimbursement
from  the  proceeds  of notes or bonds issued by the dormitory authority
for a capital appropriation of $345,750,000 authorized by chapter  3  of
the laws of 2004 for the New York state economic development program.
  S  29.  Notwithstanding  any  other  law,  rule,  or regulation to the
contrary, the comptroller is hereby authorized and directed  to  deposit
to  the  credit  of  the  capital  projects fund, reimbursement from the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration for a capital appropriation of $29,602,000 authorized by  chapter
55  of  the laws of 2005 to the department of environmental conservation
for payment of a portion of the state's match for federal capitalization
grants for the water pollution control revolving loan  fund,  reimburse-
ment from the proceeds of notes or bonds issued by the urban development
corporation  for  disbursements  of  up  to $10,000,000 from any capital
appropriation or reappropriation authorized by chapter 50 of the laws of
2005 to the office of general services for various purposes,  reimburse-
ment  from  the  proceeds  of notes or bonds issued by the environmental
facilities  corporation  for  a  capital  appropriation  of  $11,350,000
authorized  by chapter 55 of the laws of 2005 to the energy research and
development authority for the Western New York Nuclear Service Center at
West Valley, reimbursement from the proceeds of notes or bonds issued by
the environmental facilities corporation for a capital appropriation  of
$10,000,000  authorized by chapter 55 of the laws of 2005 to the depart-
ment of environmental conservation for Onondaga lake, reimbursement from
the proceeds of notes or bonds issued by  the  environmental  facilities
corporation  for  disbursements  of  up  to $11,000,000 from any capital
appropriations or reappropriations authorized by chapter 55 of the  laws
of  2005  to  the  department of environmental conservation for environ-
mental purposes, reimbursement from  the  proceeds  of  notes  or  bonds
issued  by the urban development corporation for a capital appropriation
of $350,000,000 authorized by chapter 55 of the laws  of  2005  for  the
Javits  center, reimbursement from the proceeds of notes or bonds issued
by the dormitory authority for a capital  appropriation  of  $89,750,000
authorized  by  chapter 62 of the laws of 2005 for regional development,
reimbursement from the proceeds of notes or bonds issued by the dormito-
ry authority for a capital appropriation of $249,000,000  authorized  by
chapter  62  of  the  laws  of  2005  for  technology  and  development,
reimbursement from the proceeds of notes or bonds issued  by  the  urban
development  corporation  for  a  capital  appropriation  of $48,517,000
authorized by chapter 162 of the laws of 2005 for  the  New  York  state
economic  development  program, reimbursement from the proceeds of notes
or bonds issued by the  urban  development  corporation  for  a  capital
appropriation  of  $150,000,000  authorized by chapter 62 of the laws of
2005  for  the  higher  education  facilities  capital  matching  grants
program, reimbursement from the proceeds of notes or bonds issued by the

S. 2605--A                         56                         A. 3005--A

dormitory  authority  or  other financing source for a capital appropri-
ation of $4,000,000 authorized by chapter 50 of the laws of 2005 to  the
office of general services for payment of capital construction costs for
the  Elk  street  parking garage building located in the city of Albany,
reimbursement from the proceeds of notes or bonds issued  by  the  urban
development  corporation  for  a  capital  appropriation  of $15,000,000
authorized by chapter 53 of the laws of  2005  to  the  state  education
department  for  payment of capital construction costs for public broad-
casting facilities, reimbursement from the proceeds of  notes  or  bonds
issued  by the urban development corporation for a capital appropriation
of $15,700,000 authorized by chapter 50 of the laws of 2005 to the divi-
sion of state police for public protection facilities, and reimbursement
from the proceeds of notes or bonds  issued  by  the  urban  development
corporation for capital disbursements of up to $3,000,000 from any capi-
tal  appropriation  or  reappropriation  authorized by chapter 50 of the
laws of 2005 to the division of military and naval affairs  for  various
purposes.
  S  30.  Notwithstanding  any  other  law,  rule,  or regulation to the
contrary, the comptroller is hereby authorized and directed  to  deposit
to  the  credit  of  the  capital  projects fund, reimbursement from the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration for a capital appropriation for $29,600,000 authorized by chapter
55 of the laws of 2006 to the department of  environmental  conservation
for payment of a portion of the state's match for federal capitalization
grants  for  the water pollution control revolving loan fund, reimburse-
ment from the proceeds of notes or bonds issued by the urban development
corporation for disbursements of up  to  $20,000,000  from  any  capital
appropriation or reappropriation authorized by chapter 50 of the laws of
2006  to the office of general services for various purposes, reimburse-
ment from the proceeds of notes or bonds  issued  by  the  environmental
facilities  corporation  for  a  capital  appropriation  of  $14,000,000
authorized by chapter 55 of the laws of 2006 to the energy research  and
development authority for the Western New York Nuclear Service Center at
West Valley, reimbursement from the proceeds of notes or bonds issued by
the  environmental facilities corporation for a capital appropriation of
$10,000,000 authorized by chapter 55 of the laws of 2006 to the  depart-
ment of environmental conservation for Onondaga lake, reimbursement from
the  proceeds  of  notes or bonds issued by the environmental facilities
corporation for disbursements of up  to  $12,000,000  from  any  capital
appropriations  or reappropriations authorized by chapter 55 of the laws
of 2006 to the department of  environmental  conservation  for  environ-
mental  purposes,  reimbursement  from  the  proceeds  of notes or bonds
issued by the urban development corporation for capital disbursements of
up to $3,000,000  from  any  capital  appropriation  or  reappropriation
authorized by chapter 50 of the laws of 2006 to the division of military
and  naval affairs for various purposes, reimbursement from the proceeds
of notes or bonds  issued  by  the  urban  development  corporation  for
disbursements  of  up  to  $12,400,000 from any capital appropriation or
reappropriation authorized by chapter 50 of the  laws  of  2006  to  the
division of state police for public protection facilities, reimbursement
from  the  proceeds  of  notes  or bonds issued by the urban development
corporation for a capital appropriation of  $117,000,000  authorized  by
chapter 50 of the laws of 2006 to all state departments and agencies for
the  purchase  of equipment, reimbursement from the proceeds of notes or
bonds issued by the dormitory authority or the urban development  corpo-
ration  for  all  or a portion of capital appropriations of $603,050,000

S. 2605--A                         57                         A. 3005--A

authorized by chapter 108 of the laws of 2006 to the  urban  development
corporation  for economic development/other projects, reimbursement from
the proceeds of notes or bonds issued by the  urban  development  corpo-
ration for a capital appropriation of $269,500,000 authorized by chapter
108 of the laws of 2006 to the dormitory authority or the urban develop-
ment  corporation  for economic development projects, reimbursement from
the proceeds of notes or bonds issued by the dormitory authority or  the
urban   development   corporation   for   a   capital  appropriation  of
$201,500,000 authorized by chapter 108 of the laws of 2006 to the  urban
development  corporation for university development projects, reimburse-
ment from the proceeds of notes or bonds issued by the dormitory author-
ity or for a capital appropriation of $143,000,000 authorized by chapter
108 of the laws  of  2006  to  the  urban  development  corporation  for
cultural  facilities  projects, reimbursement from the proceeds of notes
or bonds issued by the dormitory  authority  or  the  urban  development
corporation  for  capital appropriations totaling $60,000,000 authorized
by chapter 108 of the laws of 2006 to the urban development  corporation
for  energy/environmental  projects,  reimbursement from the proceeds of
notes or bonds issued by the dormitory authority or the  urban  develop-
ment  corporation  for a capital appropriation of $20,000,000 authorized
by chapter 108 of the laws of 2006 to the urban development  corporation
for  a  competitive  solicitation for construction of a pilot cellulosic
ethanol refinery, reimbursement from the  proceeds  of  notes  or  bonds
issued  by the urban development corporation for a capital appropriation
of $74,700,000 authorized by chapter 55 of the laws of 2006 to the urban
development corporation for services and expenses related to infrastruc-
ture for a new stadium in Queens  county,  and  reimbursement  from  the
proceeds  of  notes or bonds issued by the urban development corporation
for a capital appropriation of $74,700,000 authorized by chapter  55  of
the  laws  of 2006 to the urban development corporation for services and
expenses related to infrastructure improvements to construct a new park-
ing facility at a new stadium in Bronx county,  reimbursement  from  the
proceeds  of  notes  and  bonds  issued  by the environmental facilities
corporation for a capital  appropriation  of  $5,000,000  authorized  by
chapter  55  of  the laws of 2006 to the environmental facilities corpo-
ration for payment for the pipeline for jobs program, reimbursement from
the proceeds of notes or bonds issued by  the  dormitory  authority  for
capital  disbursements  of  up to $14,000,000 from any capital appropri-
ation or reappropriation authorized by chapter 53 of the  laws  of  2006
for the library construction purpose, reimbursement from the proceeds of
notes or bonds issued by the urban development corporation or the dormi-
tory  authority for an appropriation of $1,200,000 authorized by chapter
53 of the laws of 2006 for the towns of Bristol and  Canandaigua  public
water  systems, reimbursement from the proceeds of notes or bonds issued
by the urban development corporation or the dormitory authority  for  an
appropriation of $5,500,000 authorized by chapter 53 of the laws of 2006
for  Belleayre  mountain  ski center, reimbursement from the proceeds of
notes or bonds issued by the urban development corporation or the dormi-
tory authority for an appropriation of $25,000,000 authorized by chapter
53 of the laws of 2006 for the town of Smithtown/Kings Park  psychiatric
center rehabilitation, reimbursement from the proceeds of notes or bonds
issued  by  the urban development corporation or the dormitory authority
for an appropriation of $5,000,000 authorized by chapter 108 of the laws
of 2006 for a state of New York umbilical cord bank, reimbursement  from
the  proceeds  of  notes or bonds issued by the urban development corpo-
ration or the dormitory authority for  an  appropriation  of  $5,500,000

S. 2605--A                         58                         A. 3005--A

authorized  by  chapter  53 of the laws of 2006 for an Old Gore mountain
ski bowl connection, reimbursement from the proceeds of notes  or  bonds
issued  by  the urban development corporation or the dormitory authority
for  an appropriation of $2,000,000 authorized by chapter 53 of the laws
of 2006 for a Cornell equine drug testing laboratory, reimbursement from
the proceeds of notes or bonds issued by the  urban  development  corpo-
ration  or  the  dormitory  authority for an appropriation of $2,000,000
authorized by chapter 53 of the laws of 2006  for  a  Fredonia  vineyard
laboratory,  reimbursement from the proceeds of notes or bonds issued by
the dormitory authority or the  urban  development  corporation  for  an
appropriation  of  $40,000,000  authorized by chapter 108 of the laws of
2006 for a food testing laboratory, reimbursement from the  proceeds  of
notes  or  bonds  issued  by the New York state thruway authority for an
appropriation of $22,000,000 authorized by chapter 108 of  the  laws  of
2006 to the department of transportation for high speed rail, reimburse-
ment from the proceeds of notes or bonds issued by the urban development
corporation  for  capital  disbursements  of  up to $500,000,000 from an
appropriation authorized by chapter 108 of the laws of 2006 to the urban
development corporation for development of a semiconductor manufacturing
facility, reimbursement from the proceeds of notes or  bonds  issued  by
the  urban  development corporation of up to $150,000,000 from an appro-
priation authorized by chapter 108 of the laws  of  2006  to  the  urban
development  corporation  for  research  and development activities of a
semiconductor manufacturer, and reimbursement from the proceeds of notes
or bonds  issued  by  the  urban  development  corporation  for  capital
disbursements  of  up to $292,385,000 from an appropriation to the urban
development corporation authorized by chapter 108 of the  laws  of  2006
for community revitalization projects.
  S  31.  Notwithstanding  any  other  law,  rule,  or regulation to the
contrary, the comptroller is hereby authorized and directed  to  deposit
to  the  credit  of  the  capital  projects fund, reimbursement from the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration for a capital appropriation of $29,600,000 authorized by  chapter
55  of  the laws of 2007 to the department of environmental conservation
for payment of a portion of the state's match for federal capitalization
grants for the water pollution control revolving loan  fund,  reimburse-
ment from the proceeds of notes or bonds issued by the urban development
corporation  for  disbursements  of  up  to $20,000,000 from any capital
appropriation or reappropriation authorized by chapter 50 of the laws of
2007 to the office of general services for various purposes,  reimburse-
ment  from  the  proceeds  of notes or bonds issued by the environmental
facilities  corporation  for  a  capital  appropriation  of  $13,500,000
authorized  by chapter 55 of the laws of 2007 to the energy research and
development authority for the Western New York Nuclear Service Center at
West Valley, reimbursement from the proceeds of notes or bonds issued by
the environmental facilities corporation for a capital appropriation  of
$10,000,000  authorized by chapter 55 of the laws of 2007 to the depart-
ment of environmental conservation for Onondaga lake, reimbursement from
the proceeds of notes or bonds issued by  the  environmental  facilities
corporation  for  disbursements  of  up  to $12,000,000 from any capital
appropriations or reappropriations authorized by chapter 55 of the  laws
of  2007  to  the  department of environmental conservation for environ-
mental purposes, reimbursement from  the  proceeds  of  notes  or  bonds
issued by the urban development corporation for capital disbursements of
up  to  $3,000,000  from  any  capital  appropriation or reappropriation
authorized by chapter 50 of the laws of 2007 to the division of military

S. 2605--A                         59                         A. 3005--A

and naval affairs for various purposes, reimbursement from the  proceeds
of  notes  or  bonds  issued  by  the  urban development corporation for
disbursements from a capital appropriation of $50,000,000 authorized  by
chapter  50  of  the  laws  of  2007 to the division of state police for
construction of a Troop G facility, reimbursement from the  proceeds  of
notes or bonds issued by the urban development corporation for disburse-
ments  from  a capital appropriation of $6,000,000 authorized by chapter
50 of the laws of 2007 to the division of state police for  construction
of evidence storage facilities, reimbursement from the proceeds of notes
or  bonds  issued  by  the  dormitory authority or the urban development
corporation for capital appropriations totaling  $77,900,000  authorized
by  chapter  51  of the laws of 2007 to the judiciary for court training
facilities and courthouse improvement projects, reimbursement  from  the
proceeds  of  notes or bonds issued by the urban development corporation
for a capital appropriation of $20,000,000 authorized by chapter  50  of
the  laws of 2007 to all state departments and agencies for the purchase
of equipment, reimbursement from the proceeds of notes or  bonds  issued
by   the   dormitory  authority  for  capital  disbursements  of  up  to
$14,000,000 from any capital appropriation or reappropriation authorized
by chapter 53 of the laws of 2007 for library  construction,  reimburse-
ment from the proceeds of notes or bonds issued by the dormitory author-
ity  for  capital  disbursements  of  up to $60,000,000 from any capital
appropriation or reappropriation authorized by chapter 53 of the laws of
2007 for cultural education storage facilities, reimbursement  from  the
proceeds  of  notes or bonds issued by the urban development corporation
for capital disbursements of up to $15,000,000 from any  capital  appro-
priation or reappropriation authorized by chapter 55 of the laws of 2007
for Roosevelt Island Operating Corporation aerial tramway, reimbursement
from  the  proceeds  of  notes  or bonds issued by the urban development
corporation for capital disbursements of  up  to  $20,000,000  from  any
capital appropriation or reappropriation authorized by chapter 55 of the
laws  of  2007 for Governor's Island, reimbursement from the proceeds of
notes or bonds issued by the urban development corporation  for  capital
disbursements  of  up  to  $7,500,000  from any capital appropriation or
reappropriation authorized by chapter 55 of the laws of 2007 for  Harri-
man  research  and  technology  park, reimbursement from the proceeds of
notes or bonds issued by the urban development corporation  for  capital
disbursements  of  up  to  $7,950,000  from any capital appropriation or
reappropriation authorized by chapter 55 of the laws  of  2007  for  USA
Niagara, and reimbursement from the proceeds of notes or bonds issued by
the  urban  development  corporation  for capital disbursements of up to
$1,300,000 from appropriations authorized by chapter 50 of the  laws  of
2007  made  to  the  office  of  general services for legislative office
building hearing rooms.
  S 32. Notwithstanding any  other  law,  rule,  or  regulation  to  the
contrary,  the  comptroller is hereby authorized and directed to deposit
to the credit of the  capital  projects  fund,  reimbursement  from  the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration  for a capital appropriation of $29,600,000 authorized by chapter
55 of the laws of 2008 to the department of  environmental  conservation
for payment of a portion of the state's match for federal capitalization
grants  for  the water pollution control revolving loan fund, reimburse-
ment from the proceeds of notes or bonds issued by the urban development
corporation for a capital appropriation of  $141,000,000  authorized  by
chapter 50 of the laws of 2008 to all state departments and agencies for
the purchase of equipment or systems development, reimbursement from the

S. 2605--A                         60                         A. 3005--A

proceeds  of  notes or bonds issued by the urban development corporation
for disbursements of up to $45,500,000 from any capital appropriation or
reappropriation authorized by chapter 50 of the  laws  of  2008  to  the
office  of general services for various purposes, reimbursement from the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration for a capital appropriation of $13,500,000 authorized by  chapter
55  of the laws of 2008 to the energy research and development authority
for the  Western  New  York  Nuclear  Service  Center  at  West  Valley,
reimbursement from the proceeds of notes or bonds issued by the environ-
mental facilities corporation for a capital appropriation of $10,000,000
authorized  by chapter 55 of the laws of 2008 to the department of envi-
ronmental  conservation  for  Onondaga  lake,  reimbursement  from   the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration for disbursements of up to $12,000,000 from any capital appropri-
ations  or reappropriations authorized by chapter 55 of the laws of 2008
to  the  department  of  environmental  conservation  for  environmental
purposes,  reimbursement  from  the proceeds of notes or bonds issued by
the urban development corporation for capital  disbursements  of  up  to
$3,000,000  from any capital appropriation or reappropriation authorized
by chapter 50 of the laws of 2008 to the division of military and  naval
affairs  for  various purposes, reimbursement from the proceeds of notes
or bonds issued by the  urban  development  corporation  for  a  capital
appropriation of $2,500,000 authorized by chapter 50 of the laws of 2008
to  the  office  for  technology  for  activities  related  to broadband
service, reimbursement from the proceeds of notes or bonds issued by the
urban development corporation for a capital appropriation of  $6,000,000
authorized  by  chapter  50 of the laws of 2008 to the division of state
police for rehabilitation of facilities, reimbursement from the proceeds
of notes or bonds issued by the dormitory authority of the state of  New
York or other financing source for a capital appropriation authorized by
chapter  53  of the laws of 2008 of $14,000,000 to the education depart-
ment for library construction, reimbursement from the proceeds of  notes
or  bonds  issued by the dormitory authority of the state of New York or
other financing source for a capital appropriation authorized by chapter
53 of the laws of 2008 of $15,000,000 to the  education  department  for
museum  renewal  projects,  reimbursement  from the proceeds of notes or
bonds issued by the urban development corporation for capital  appropri-
ation of $50,000,000 authorized by chapter 53 of the laws of 2008 to the
urban  development  corporation for services and expenses related to the
investment opportunity fund, reimbursement from the proceeds of notes or
bonds issued by the urban development corporation for capital  appropri-
ation of $18,000,000 authorized by chapter 53 of the laws of 2008 to the
urban  development corporation for services and expenses related to arts
and cultural projects, reimbursement from the proceeds of bonds or notes
issued by the urban development corporation for a capital  appropriation
of $32,148,000 authorized by chapter 53 of the laws of 2008 for economic
and  community  development projects, reimbursement from the proceeds of
bonds or notes issued by the urban development corporation for a capital
appropriation of $30,000,000 authorized by chapter 53  of  the  laws  of
2008  for  New  York city waterfront development projects, reimbursement
from the proceeds of bonds or notes  issued  by  the  urban  development
corporation  for  a  capital  appropriation of $45,000,000 authorized by
chapter 53  of  the  laws  of  2008  for  Luther  Forest  infrastructure
projects,  reimbursement  from  the proceeds of notes or bonds issued by
the  urban  development  corporation  for   capital   appropriation   of
$35,000,000  authorized  by  chapter 53 of the laws of 2008 to the urban

S. 2605--A                         61                         A. 3005--A

development corporation for services and expenses related  to  downstate
regional  projects,  reimbursement  from  the proceeds of notes or bonds
issued by the urban development corporation for capital appropriation of
$137,037,000  authorized  by chapter 53 of the laws of 2008 to the urban
development corporation for services and  expenses  related  to  upstate
city-by-city projects, reimbursement from the proceeds of notes or bonds
issued by the urban development corporation for capital appropriation of
$35,000,000  authorized  by  chapter 53 of the laws of 2008 to the urban
development corporation for services and expenses related to  the  down-
state  revitalization projects, reimbursement from the proceeds of notes
or bonds issued by the urban development corporation for capital  appro-
priation of $117,265,000 authorized by chapter 53 of the laws of 2008 to
the  urban  development corporation for services and expenses related to
the upstate regional blueprint fund, reimbursement from the proceeds  of
notes  or  bonds issued by the urban development corporation for capital
appropriation of $25,000,000 authorized by chapter 53  of  the  laws  of
2008  to  the  urban  development  corporation for services and expenses
related  to  the  upstate  agricultural   economic   development   fund,
reimbursement  from  the  proceeds of notes or bonds issued by the urban
development  corporation  for  capital  appropriation  of   $350,000,000
authorized  by  chapter  53 of the laws of 2008 to the urban development
corporation for services and expenses related  to  the  New  York  state
capital  assistance program, reimbursement from the proceeds of notes or
bonds issued by the urban development corporation for capital  appropri-
ation  of  $350,000,000  authorized by chapter 53 of the laws of 2008 to
the urban development corporation for services and expenses  related  to
the   New  York  state  economic  development  assistance  program,  and
reimbursement from the proceeds of notes or bonds issued  by  the  urban
development corporation for capital appropriation of $20,000,000 author-
ized  by  chapter 55 of the laws of 2008 to the urban development corpo-
ration for services and expenses related to the  empire  state  economic
development fund.
  S  33.  Notwithstanding  any  other  law,  rule,  or regulation to the
contrary, the comptroller is hereby authorized and directed  to  deposit
to  the  credit  of  the  capital  projects fund, reimbursement from the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration for a capital appropriation of $29,600,000 authorized by  chapter
55  of  the laws of 2009 to the department of environmental conservation
for payment of a portion of the state's match for federal capitalization
grants for the water pollution control revolving loan  fund,  reimburse-
ment from the proceeds of notes or bonds issued by the urban development
corporation  for  a  capital appropriation of $129,800,000 authorized by
chapter 50 of the laws of 2009 to all state departments and agencies for
the purchase of equipment or systems development, reimbursement from the
proceeds of notes or bonds issued by the urban  development  corporation
for disbursements of up to $24,000,000 from any capital appropriation or
reappropriation  authorized  by  chapter  50  of the laws of 2009 to the
office of general services for various purposes, reimbursement from  the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration  for a capital appropriation of $13,500,000 authorized by chapter
55 of the laws of 2009 to the energy research and development  authority
for  the  Western  New  York  Nuclear  Service  Center  at  West Valley,
reimbursement from the proceeds of notes or bonds issued by the environ-
mental facilities corporation for a capital appropriation of $10,000,000
authorized by chapter 55 of the laws of 2009 to the department of  envi-
ronmental   conservation  for  Onondaga  lake,  reimbursement  from  the

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proceeds of notes or bonds issued by the environmental facilities corpo-
ration for disbursements of up to $12,000,000 from any capital appropri-
ations or reappropriations authorized by chapter 55 of the laws of  2009
to  the  department  of  environmental  conservation  for  environmental
purposes, reimbursement from the proceeds of notes or  bonds  issued  by
the  urban  development  corporation  for capital disbursements of up to
$3,000,000 from any capital appropriation or reappropriation  authorized
by  chapter 50 of the laws of 2009 to the division of military and naval
affairs for various purposes, reimbursement from the proceeds  of  notes
or  bonds  issued  by  the  urban  development corporation for a capital
appropriation of $6,000,000 authorized by chapter 50 of the laws of 2009
to the division  of  state  police  for  rehabilitation  of  facilities,
reimbursement from the proceeds of notes or bonds issued by the dormito-
ry  authority  of  the state of New York or other financing source for a
capital appropriation authorized by chapter 53 of the laws  of  2009  of
$14,000,000  to the state education department for library construction,
reimbursement from the proceeds of notes or bonds issued by the dormito-
ry authority of the state of New York or other financing  source  for  a
capital  appropriation  of  $4,000,000 to the state education department
for rehabilitation associated  with  the  St.  Regis  Mohawk  elementary
school  authorized  by  chapter 53 of the laws of 2009 and reimbursement
from the proceeds of notes or bonds  issued  by  the  urban  development
corporation for capital appropriation of $25,000,000 authorized by chap-
ter  55  of  the  laws  of 2009 to the urban development corporation for
services and expenses related to the empire state  economic  development
fund.
  S  34.  Notwithstanding  any  other  law,  rule,  or regulation to the
contrary, the comptroller is hereby authorized and directed  to  deposit
to  the  credit  of  the  capital  projects fund, reimbursement from the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration for a capital appropriation of $29,600,000 authorized by  chapter
55  of  the laws of 2010 to the department of environmental conservation
for payment of a portion of the state's match for federal capitalization
grants for the water pollution control revolving loan  fund,  reimburse-
ment from the proceeds of notes or bonds issued by the urban development
corporation  for  a  capital appropriation of $187,285,000 authorized by
chapter 50 of the laws of 2010 to all state departments and agencies for
the purchase of equipment or systems development, reimbursement from the
proceeds of notes or bonds issued by the urban  development  corporation
for disbursements of up to $26,950,000 from any capital appropriation or
reappropriation  authorized  by  chapter  50  of the laws of 2010 to the
office of general services for various purposes, reimbursement from  the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration  for  a capital appropriation of $5,000,000 authorized by chapter
55 of the laws of 2010 to the department of  environmental  conservation
for  Onondaga  lake,  reimbursement  from the proceeds of notes or bonds
issued by the environmental facilities corporation for disbursements  of
up  to  $12,000,000  from any capital appropriations or reappropriations
authorized by chapter 55 of the laws of 2010 to the department of  envi-
ronmental  conservation  for  environmental purposes, reimbursement from
the proceeds of notes or bonds issued by the  urban  development  corpo-
ration  for  capital  disbursements of up to $3,000,000 from any capital
appropriation or reappropriation authorized by chapter 50 of the laws of
2010 to the division of military and naval affairs for various purposes,
reimbursement from the proceeds of notes or bonds issued  by  the  urban
development  corporation  for  a  capital  appropriation  of  $6,000,000

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authorized by chapter 50 of the laws of 2010 to the  division  of  state
police for rehabilitation of facilities, reimbursement from the proceeds
of  notes or bonds issued by the dormitory authority of the state of New
York   or   other  financing  source  for  a  capital  appropriation  of
$14,000,000 authorized by chapter 53 of the laws of 2010  to  the  state
education  department  for library construction, reimbursements from the
proceeds of notes or bonds issued by  the  dormitory  authority  of  the
state  of New York or other financing source for a capital appropriation
of $20,400,000 authorized by chapter 100 of the  laws  of  2010  to  the
state   education  department  for  the  longitudinal  data  system  and
reimbursement from the proceeds of notes or bonds issued by the dormito-
ry authority of the state of New York or other financing  source  for  a
capital  appropriation  of  $42,000,000  for  the state preparedness and
training center.
  S 35. Notwithstanding any  other  law,  rule,  or  regulation  to  the
contrary,  the  comptroller is hereby authorized and directed to deposit
to the credit of the  capital  projects  fund,  reimbursement  from  the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration  for a capital appropriation of $35,000,000 authorized by a chap-
ter of the laws of 2011 to the department of environmental  conservation
for payment of a portion of the state's match for federal capitalization
grants  for  the water pollution control revolving loan fund, reimburse-
ment from the proceeds of notes or bonds issued by the urban development
corporation for a capital appropriation of $92,751,000 authorized  by  a
chapter  of  the  laws of 2011 to all state departments and agencies for
the purchase of equipment or systems development, reimbursement from the
proceeds of notes or bonds issued by the urban  development  corporation
for disbursements of up to $40,000,000 from any capital appropriation or
reappropriation  authorized  by  a  chapter  of  the laws of 2011 to the
office of general services for various purposes, reimbursement from  the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration for disbursements of up to $12,000,000 from any capital appropri-
ations  or  reappropriations authorized by a chapter of the laws of 2011
to  the  department  of  environmental  conservation  for  environmental
purposes,  reimbursement  from  the proceeds of notes or bonds issued by
the urban development corporation for capital  disbursements  of  up  to
$3,000,000  from any capital appropriation or reappropriation authorized
by a chapter of the laws of 2011 to the division of military  and  naval
affairs  for  various purposes, reimbursement from the proceeds of notes
or bonds issued by the  urban  development  corporation  for  a  capital
appropriation  of $6,000,000 authorized by a chapter of the laws of 2011
to the division  of  state  police  for  rehabilitation  of  facilities,
reimbursement from the proceeds of notes or bonds issued by the dormito-
ry  authority  of  the state of New York or other financing source for a
capital appropriation of $14,000,000 authorized by a chapter of the laws
of 2011 to the state  education  department  for  library  construction,
reimbursement  from  the  proceeds of notes or bonds issued by the urban
development  corporation  for  capital  appropriation  of   $130,550,000
authorized  by  a  chapter  of the laws of 2011 to the urban development
corporation for services and expenses related to the  regional  economic
development council initiative, reimbursement from the proceeds of notes
or  bonds issued by the urban development corporation for capital appro-
priation of $50,000,000 authorized by a chapter of the laws of  2011  to
the  urban  development corporation for services and expenses related to
the economic transformation program.  Reimbursements from  the  proceeds
of  notes  or  bonds  issued  by  the  urban development corporation for

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disbursements of up to $40,000,000 from  any  capital  appropriation  or
reappropriation  authorized  by  a  chapter  of  the laws of 2011 to the
office of general services for various purposes.
  S  36.  Notwithstanding  any  other  law,  rule,  or regulation to the
contrary, the comptroller is hereby authorized and directed  to  deposit
to  the  credit  of  the  capital  projects fund, reimbursement from the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration for a capital appropriation of $35,000,000 authorized by a  chap-
ter  of the laws of 2012 to the department of environmental conservation
for payment of a portion of the state's match for federal capitalization
grants for the water pollution control revolving loan  fund,  reimburse-
ment  from  the  proceeds  of notes or bonds issued by the environmental
facilities corporation for disbursements of up to $12,000,000  from  any
capital  appropriations  or  reappropriations authorized by a chapter of
the laws of 2012 to the department  of  environmental  conservation  for
environmental  purposes,  reimbursement  from  the  proceeds of notes or
bonds issued by the urban development corporation for capital  disburse-
ments  of up to $3,000,000 from any capital appropriation or reappropri-
ation authorized by a chapter of the laws of 2012  to  the  division  of
military  and naval affairs for various purposes, reimbursement from the
proceeds of notes or bonds issued by the urban  development  corporation
for a capital appropriation of $6,000,000 authorized by a chapter of the
laws  of  2012  to  the  division  of state police for rehabilitation of
facilities, reimbursement from the proceeds of notes or bonds issued  by
the  dormitory  authority  of  the  state of New York or other financing
source for a capital appropriation of $14,000,000 authorized by a  chap-
ter  of  the  laws of 2012 to the state education department for library
construction, reimbursement from the proceeds of notes or  bonds  issued
by the thruway authority, the dormitory authority and the urban develop-
ment  corporation for a capital appropriation of $770,000,000 authorized
by chapter 54 of the laws of 2012  to  the  metropolitan  transportation
authority for various purposes, reimbursement from the proceeds of notes
or  bonds issued by the thruway authority for a capital appropriation of
$15,000,000 authorized by chapter 54 of the laws of 2012 to the  depart-
ment  of  transportation  for  improvement  of  the  peace bridge plaza,
reimbursement from the proceeds of notes or bonds issued  by  the  urban
development  corporation  for  a  capital  appropriation of $130,000,000
authorized by a chapter of the laws of 2012  to  the  urban  development
corporation  for  services and expenses related to the regional economic
development council initiative, reimbursement from the proceeds of notes
or bonds issued by the  urban  development  corporation  for  a  capital
appropriation of $75,000,000 authorized by a chapter of the laws of 2012
to  the  urban development corporation for services and expenses related
to the New York works economic development fund, reimbursement from  the
proceeds  of  notes or bonds issued by the urban development corporation
for a capital appropriation of $75,000,000 authorized by  a  chapter  of
the  laws  of 2012 to the urban development corporation for services and
expenses related to the buffalo regional innovation cluster,  reimburse-
ment from the proceeds of notes or bonds issued by the urban development
corporation  for a capital appropriation of $250,000,000 authorized by a
chapter of the laws of 2012 to the  urban  development  corporation  for
services  and  expenses  related  to  the  state  university of New York
college for nanoscale and science  engineering  project,  reimbursements
from  the  proceeds  of  notes  or bonds issued by the urban development
corporation for disbursements of up  to  $26,000,000  from  any  capital

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appropriation  or reappropriation authorized by a chapter of the laws of
2012 to the office of general services for various purposes.
  S  37.  Notwithstanding  any  other  law,  rule,  or regulation to the
contrary, the comptroller is hereby authorized and directed  to  deposit
to  the  credit  of  the  capital  projects fund, reimbursement from the
proceeds of notes or bonds issued by the environmental facilities corpo-
ration for a capital appropriation of $35,000,000 authorized by a  chap-
ter  of the laws of 2013 to the department of environmental conservation
for payment of a portion of the state's match for federal capitalization
grants for the water pollution control revolving loan  fund,  reimburse-
ment  from  the  proceeds  of notes or bonds issued by the environmental
facilities corporation for disbursements of up to $12,000,000  from  any
capital  appropriations  or  reappropriations authorized by a chapter of
the laws of 2013 to the department  of  environmental  conservation  for
environmental  purposes,  reimbursement  from  the  proceeds of notes or
bonds issued by the urban development corporation for capital  disburse-
ments  of up to $3,000,000 from any capital appropriation or reappropri-
ation authorized by a chapter of the laws of 2013  to  the  division  of
military  and naval affairs for various purposes, reimbursement from the
proceeds of notes or bonds issued by the urban  development  corporation
for a capital appropriation of $7,000,000 authorized by a chapter of the
laws  of  2013  to  the  division  of state police for rehabilitation of
facilities, reimbursement from the proceeds of notes or bonds issued  by
the  urban  development  corporation  for  a  capital  appropriation  of
$12,500,000 authorized by a chapter of the laws of 2013 to the  division
of  state police for aviation equipment, reimbursement from the proceeds
of notes or bonds issued by the  urban  development  corporation  for  a
capital appropriation of $32,740,000 authorized by a chapter of the laws
of  2013  to  the division of state police for a pistol permit database,
reimbursement from the proceeds of notes or bonds issued by the dormito-
ry authority of the state of New York or other financing  source  for  a
capital appropriation of $14,000,000 authorized by a chapter of the laws
of  2013  to  the  state  education department for library construction,
reimbursement from the proceeds of notes or bonds issued  by  the  urban
development  corporation  for  a  capital  appropriation of $150,000,000
authorized by a chapter of the laws of 2013  to  the  urban  development
corporation  for  services and expenses related to the regional economic
development council initiative, reimbursement from the proceeds of notes
or bonds issued by the  urban  development  corporation  for  a  capital
appropriation of $75,000,000 authorized by a chapter of the laws of 2013
to  the  urban development corporation for services and expenses related
to the buffalo  regional  innovation  cluster,  reimbursement  from  the
proceeds  of  notes or bonds issued by the urban development corporation
for a capital appropriation of $2,166,000 authorized by a chapter of the
laws of 2013 to the  urban  development  corporation  for  services  and
expenses  related  to  the retention of professional football in Western
New York, reimbursements from the proceeds of notes or bonds  issued  by
the urban development corporation for disbursements of up to $26,000,000
from  any capital appropriation or reappropriation authorized by a chap-
ter of the laws of 2013 to the office of general  services  for  various
purposes,  reimbursement  from  the proceeds of notes or bonds issued by
the  urban  development  corporation  for  a  capital  appropriation  of
$53,891,000  authorized  by  a  chapter of the laws of 2013 to the urban
development corporation for services and  expenses  related  to  capital
improvements at Ralph Wilson Stadium, reimbursement from the proceeds of
notes or bonds issued by the urban development corporation for a capital

S. 2605--A                         66                         A. 3005--A

appropriation  of  $165,000,000  authorized  by a chapter of the laws of
2013 to the urban development  corporation  for  services  and  expenses
related  to  the New York works economic development fund, reimbursement
from  the proceeds of notes or bonds issued by the thruway authority for
a capital appropriation of $100,000,000 authorized by a chapter  of  the
laws  of  2013  to  the  department of transportation for transportation
infrastructure projects, reimbursement from the  proceeds  of  notes  or
bonds  issued  by  the  thruway authority for a capital appropriation of
$200,000,000 authorized by a chapter of the laws of 2013 to the  depart-
ment of transportation for various purposes.
  S 38. For purposes of sections twenty-six through thirty-seven of this
act,  the  comptroller is also hereby authorized and directed to deposit
to the credit of any  capital  projects  fund,  reimbursement  from  the
proceeds  of bonds and notes issued by any authorized issuer, as defined
by sections 68-a and 69-m of the state finance law, in the  amounts  and
for the purposes listed in such sections.
  S  39.  Notwithstanding  any  other  law,  rule,  or regulation to the
contrary, the comptroller is hereby authorized and directed  to  deposit
to  the  credit  of  the  state university residence hall rehabilitation
fund, reimbursement from the proceeds of notes or bonds  issued  by  the
dormitory  authority  of the state of New York for capital disbursements
of up to $331,000,000 from any appropriation or reappropriation  author-
ized by a chapter of the laws of 2013.
  S  40.  Notwithstanding  any  other  law,  rule,  or regulation to the
contrary, the comptroller is hereby authorized and directed  to  deposit
to the credit of the city university special revenue fund, reimbursement
from the proceeds of notes or bonds issued by the Dormitory Authority of
the  State  of  New  York for capital disbursements of up to $20,000,000
from any appropriation or reappropriation authorized by  chapter  53  of
the  laws  of  2009  to  the  city  university  of  New York for various
purposes.
  S 41. Notwithstanding any  other  law,  rule,  or  regulation  to  the
contrary, the state comptroller is hereby authorized and directed to use
any  balance  remaining  in the mental health services fund debt service
appropriation, after payment by the state comptroller of all obligations
required pursuant to any lease, sublease, or other financing arrangement
between the dormitory authority of the state of New York as successor to
the New York state medical  care  facilities  finance  agency,  and  the
facilities development corporation pursuant to chapter 83 of the laws of
1995  and  the  department  of  mental hygiene for the purpose of making
payments to the dormitory authority of the state of  New  York  for  the
amount  of  the  earnings  for the investment of monies deposited in the
mental health services fund that such agency determines will or may have
to be rebated to the federal government pursuant to  the  provisions  of
the  internal  revenue code of 1986, as amended, in order to enable such
agency to maintain the exemption from federal  income  taxation  on  the
interest paid to the holders of such agency's mental services facilities
improvement revenue bonds. On or before June 30, 2013, such agency shall
certify  to  the  state  comptroller  its  determination  of the amounts
received in the mental health services fund as a result of  the  invest-
ment  of monies deposited therein that will or may have to be rebated to
the federal government pursuant to the provisions of the internal reven-
ue code of 1986, as amended.
  S 42. (1) Notwithstanding any other law, rule, or  regulation  to  the
contrary,  the state comptroller shall at the commencement of each month
certify to the director of the budget, the commissioner of environmental

S. 2605--A                         67                         A. 3005--A

conservation, the chair of the senate finance committee, and  the  chair
of  the assembly ways and means committee the amounts disbursed from all
appropriations for hazardous waste site  remediation  disbursements  for
the month preceding such certification.
  (2)  Notwithstanding any law to the contrary, prior to the issuance by
the comptroller of bonds authorized pursuant to subdivision a of section
4 of the environmental quality bond act of nineteen hundred  eighty-six,
as  enacted  by  chapter 511 of the laws of 1986, disbursements from all
appropriations for that purpose shall first be  reimbursed  from  moneys
credited  to  the  hazardous waste remedial fund, site investigation and
construction account,  to  the  extent  moneys  are  available  in  such
account.  For  purposes of determining moneys available in such account,
the commissioner of environmental  conservation  shall  certify  to  the
comptroller  the  amounts  required  for administration of the hazardous
waste remedial program.
  (3) The comptroller is hereby authorized and directed to transfer  any
balance above the amounts certified by the commissioner of environmental
conservation  to  reimburse disbursements pursuant to all appropriations
from such site investigation and construction account; provided,  howev-
er,  that  if  such  transfers  are  determined by the comptroller to be
insufficient to assure that interest paid  to  holders  of  state  obli-
gations  issued  for  hazardous  waste purposes pursuant to the environ-
mental quality bond act of nineteen hundred eighty-six,  as  enacted  by
chapter 511 of the laws of 1986, is exempt from federal income taxation,
the comptroller is hereby authorized and directed to transfer, from such
site  investigation  and  construction  account to the general fund, the
amount necessary to redeem bonds in an amount necessary  to  assure  the
continuation  of such tax exempt status. Prior to the making of any such
transfers, the comptroller shall notify the director of  the  budget  of
the amount of such transfers.
  S  43.  Subdivision  2  of  section  68-a of the state finance law, as
amended by section 36 of part U of chapter 59 of the laws  of  2012,  is
amended to read as follows:
  2. "Authorized purpose" for purposes of this article and section nine-
ty-two-z  of  this  chapter shall mean any purposes for which state-sup-
ported debt, as defined by section sixty-seven-a of this chapter, may or
has been issued except debt for  which  the  state  is  constitutionally
obligated  thereunder  to  pay  debt  service and related expenses[, and
except (a) as authorized in paragraph (b) of subdivision one of  section
three  hundred eighty-five of the public authorities law, (b) as author-
ized for the department of health of the state of New York facilities as
specified in paragraph a of subdivision two of section  sixteen  hundred
eighty  of  the public authorities law, (c) state university of New York
dormitory facilities  as  specified  in  subdivision  eight  of  section
sixteen  hundred seventy-eight of the public authorities law, and (d) as
authorized for mental health services facilities by  section  nine-a  of
section  one of chapter three hundred ninety-two of the laws of nineteen
hundred seventy-three constituting  the  New  York  state  medical  care
facilities  financing  act. Notwithstanding the provisions of clause (d)
of this subdivision, for the  period  April  first,  two  thousand  nine
through   March  thirty-first,  two  thousand  thirteen,  mental  health
services facilities, as authorized by section nine-a of section  one  of
chapter  three hundred ninety-two of the laws of nineteen hundred seven-
ty-three constituting the New York state medical care facilities financ-
ing act, shall constitute an authorized purpose].

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  S 44. Subdivision 8 of section 68-b  of  the  state  finance  law,  as
amended  by  section 35 of part BB of chapter 58 of the laws of 2011, is
amended to read as follows:
  8.  Revenue  bonds  may  only  be  issued  for authorized purposes, as
defined in section sixty-eight-a of this  article.  Notwithstanding  the
foregoing,  the  dormitory  authority  of  the state of New York and the
urban development corporation may issue revenue bonds for any authorized
purpose of any other such authorized issuer [through March thirty-first,
two thousand thirteen]. The  authorized  issuers  shall  not  issue  any
revenue  bonds  in  an  amount in excess of statutory authorizations for
such authorized purposes. Authorizations for  such  authorized  purposes
shall  be  reduced  in  an  amount  equal to the amount of revenue bonds
issued for such authorized purposes under this article.  Such  reduction
shall  not  be  made in relation to revenue bonds issued to fund reserve
funds, if any, and costs of issuance, if these  items  are  not  counted
under  existing authorizations, nor shall revenue bonds issued to refund
bonds issued under existing authorizations reduce  the  amount  of  such
authorizations.
  S  45. Subdivision 5 of section 3234 of the public authorities law, as
amended by section 54 of part K of chapter 81 of the laws  of  2002,  is
amended to read as follows:
  5.  A  majority  of the whole number of directors then in office shall
constitute a quorum for the transaction of any business or the  exercise
of  any  power of the corporation. Except as otherwise specified in this
title, for the transaction of any business or the exercise of any  power
of the corporation, the corporation shall have power to act by a majori-
ty  of  the  directors  present  at  any meeting at which a quorum is in
attendance; provided that one or more directors  may  participate  in  a
meeting  by  means  of  conference  telephone  or similar communications
equipment allowing all directors participating in the  meeting  to  hear
each  other  at  the  same  time  and  participation by such means shall
constitute presence in person at a meeting.  A  unanimous  vote  of  all
directors  THEN IN OFFICE shall be required for approval of a resolution
authorizing the issuance of bonds or notes or any supplemental or  amen-
datory  resolution.   The corporation may delegate to one or more of its
directors, or officers, agents and employees, such powers and duties  as
the  directors  may deem proper. Five days notice shall be given to each
director and nonvoting representative prior to any meeting of the corpo-
ration.
  S 46. Section 1 of chapter 174 of the laws of 1968,  constituting  the
New York state urban development corporation act, is amended by adding a
new section 46 to read as follows:
  S  46.  1.  NOTWITHSTANDING  THE  PROVISIONS  OF  ANY OTHER LAW TO THE
CONTRARY, THE DORMITORY AUTHORITY AND THE CORPORATION ARE HEREBY AUTHOR-
IZED TO ISSUE BONDS OR NOTES IN ONE OR MORE SERIES FOR  THE  PURPOSE  OF
FUNDING PROJECT COSTS FOR THE NEW YORK STATE TRANSFORMATIVE CAPITAL FUND
AND  OTHER STATE COSTS ASSOCIATED WITH SUCH CAPITAL PROJECTS. THE AGGRE-
GATE PRINCIPAL AMOUNT OF BONDS AUTHORIZED TO BE ISSUED PURSUANT TO  THIS
SECTION  SHALL  NOT  EXCEED  ONE  BILLION  ONE  HUNDRED  SEVENTY MILLION
DOLLARS, EXCLUDING BONDS ISSUED TO FUND ONE OR MORE DEBT SERVICE RESERVE
FUNDS, TO PAY COSTS OF ISSUANCE OF SUCH BONDS, AND BONDS OR NOTES ISSUED
TO REFUND OR OTHERWISE REPAY SUCH BONDS OR NOTES PREVIOUSLY ISSUED. SUCH
BONDS AND NOTES OF THE DORMITORY AUTHORITY AND THE CORPORATION SHALL NOT
BE A DEBT OF THE STATE, AND THE STATE SHALL NOT BE LIABLE  THEREON,  NOR
SHALL  THEY BE PAYABLE OUT OF ANY FUNDS OTHER THAN THOSE APPROPRIATED BY
THE STATE TO THE DORMITORY AUTHORITY AND THE CORPORATION FOR  PRINCIPAL,

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INTEREST,  AND  RELATED EXPENSES PURSUANT TO A SERVICE CONTRACT AND SUCH
BONDS AND NOTES SHALL CONTAIN ON THE FACE THEREOF A  STATEMENT  TO  SUCH
EFFECT. EXCEPT FOR PURPOSES OF COMPLYING WITH THE INTERNAL REVENUE CODE,
ANY  INTEREST  INCOME  EARNED ON BOND PROCEEDS SHALL ONLY BE USED TO PAY
DEBT SERVICE ON SUCH BONDS.
  2. NOTWITHSTANDING ANY OTHER PROVISION OF  LAW  TO  THE  CONTRARY,  IN
ORDER TO ASSIST THE DORMITORY AUTHORITY AND THE CORPORATION IN UNDERTAK-
ING  THE  FINANCING  FOR PROJECT COSTS FOR THE NEW YORK STATE TRANSFORM-
ATIVE CAPITAL FUND AND OTHER STATE COSTS ASSOCIATED  WITH  SUCH  CAPITAL
PROJECTS,  THE DIRECTOR OF THE BUDGET IS HEREBY AUTHORIZED TO ENTER INTO
ONE OR MORE SERVICE CONTRACTS  WITH  THE  DORMITORY  AUTHORITY  AND  THE
CORPORATION,  NONE  OF WHICH SHALL EXCEED THIRTY YEARS IN DURATION, UPON
SUCH TERMS AND CONDITIONS AS THE DIRECTOR OF THE BUDGET AND THE DORMITO-
RY AUTHORITY AND THE CORPORATION AGREE, SO AS TO ANNUALLY PROVIDE TO THE
DORMITORY AUTHORITY AND THE CORPORATION, IN THE AGGREGATE, A SUM NOT  TO
EXCEED  THE  PRINCIPAL, INTEREST, AND RELATED EXPENSES REQUIRED FOR SUCH
BONDS AND NOTES. ANY SERVICE CONTRACT  ENTERED  INTO  PURSUANT  TO  THIS
SECTION SHALL PROVIDE THAT THE OBLIGATION OF THE STATE TO PAY THE AMOUNT
THEREIN  PROVIDED  SHALL  NOT  CONSTITUTE A DEBT OF THE STATE WITHIN THE
MEANING OF ANY CONSTITUTIONAL OR STATUTORY PROVISION AND SHALL BE DEEMED
EXECUTORY ONLY TO THE EXTENT OF MONIES AVAILABLE AND THAT  NO  LIABILITY
SHALL  BE  INCURRED  BY  THE  STATE BEYOND THE MONIES AVAILABLE FOR SUCH
PURPOSE, SUBJECT TO ANNUAL APPROPRIATION BY THE  LEGISLATURE.  ANY  SUCH
CONTRACT  OR  ANY PAYMENTS MADE OR TO BE MADE THEREUNDER MAY BE ASSIGNED
AND PLEDGED BY THE DORMITORY AUTHORITY AND THE CORPORATION  AS  SECURITY
FOR ITS BONDS AND NOTES, AS AUTHORIZED BY THIS SECTION.
  3.  THE COMPTROLLER IS HEREBY AUTHORIZED TO RECEIVE FROM THE DORMITORY
AUTHORITY AND THE CORPORATION ANY  PORTION  OF  BOND  PROCEEDS  PAID  TO
PROVIDE  FUNDS  FOR OR REIMBURSE THE STATE FOR ITS COSTS ASSOCIATED WITH
SUCH CAPITAL PROJECT COSTS AND TO CREDIT SUCH  AMOUNTS  TO  THE  CAPITAL
PROJECTS FUND OR ANY OTHER APPROPRIATE FUND.
  S  47.  Section 1 of chapter 174 of the laws of 1968, constituting the
New York state urban development corporation act, is amended by adding a
new section 47 to read as follows:
  S 47. 1. NOTWITHSTANDING THE  PROVISIONS  OF  ANY  OTHER  LAW  TO  THE
CONTRARY, THE DORMITORY AUTHORITY AND THE CORPORATION ARE HEREBY AUTHOR-
IZED  TO  ISSUE  BONDS OR NOTES IN ONE OR MORE SERIES FOR THE PURPOSE OF
FUNDING PROJECT COSTS FOR THE OFFICE OF INFORMATION TECHNOLOGY  SERVICES
AND  OTHER STATE COSTS ASSOCIATED WITH SUCH CAPITAL PROJECTS. THE AGGRE-
GATE PRINCIPAL AMOUNT OF BONDS AUTHORIZED TO BE ISSUED PURSUANT TO  THIS
SECTION  SHALL  NOT EXCEED SIXTY MILLION DOLLARS, EXCLUDING BONDS ISSUED
TO FUND ONE OR MORE DEBT SERVICE RESERVE FUNDS, TO PAY COSTS OF ISSUANCE
OF SUCH BONDS, AND BONDS OR NOTES ISSUED TO REFUND  OR  OTHERWISE  REPAY
SUCH  BONDS  OR  NOTES  PREVIOUSLY  ISSUED.  SUCH BONDS AND NOTES OF THE
DORMITORY AUTHORITY AND THE CORPORATION SHALL  NOT  BE  A  DEBT  OF  THE
STATE,  AND  THE  STATE  SHALL  NOT BE LIABLE THEREON, NOR SHALL THEY BE
PAYABLE OUT OF ANY FUNDS OTHER THAN THOSE APPROPRIATED BY THE  STATE  TO
THE DORMITORY AUTHORITY AND THE CORPORATION FOR PRINCIPAL, INTEREST, AND
RELATED EXPENSES PURSUANT TO A SERVICE CONTRACT AND SUCH BONDS AND NOTES
SHALL CONTAIN ON THE FACE THEREOF A STATEMENT TO SUCH EFFECT. EXCEPT FOR
PURPOSES  OF  COMPLYING  WITH  THE  INTERNAL  REVENUE CODE, ANY INTEREST
INCOME EARNED ON BOND PROCEEDS SHALL ONLY BE USED TO PAY DEBT SERVICE ON
SUCH BONDS.
  2. NOTWITHSTANDING ANY OTHER PROVISION OF  LAW  TO  THE  CONTRARY,  IN
ORDER TO ASSIST THE DORMITORY AUTHORITY AND THE CORPORATION IN UNDERTAK-
ING  THE FINANCING FOR PROJECT COSTS FOR THE OFFICE OF INFORMATION TECH-

S. 2605--A                         70                         A. 3005--A

NOLOGY SERVICES AND OTHER  STATE  COSTS  ASSOCIATED  WITH  SUCH  CAPITAL
PROJECTS,  THE DIRECTOR OF THE BUDGET IS HEREBY AUTHORIZED TO ENTER INTO
ONE OR MORE SERVICE CONTRACTS  WITH  THE  DORMITORY  AUTHORITY  AND  THE
CORPORATION,  NONE  OF WHICH SHALL EXCEED THIRTY YEARS IN DURATION, UPON
SUCH TERMS AND CONDITIONS AS THE DIRECTOR OF THE BUDGET AND THE DORMITO-
RY AUTHORITY AND THE CORPORATION AGREE, SO AS TO ANNUALLY PROVIDE TO THE
DORMITORY AUTHORITY AND THE CORPORATION, IN THE AGGREGATE, A SUM NOT  TO
EXCEED  THE  PRINCIPAL, INTEREST, AND RELATED EXPENSES REQUIRED FOR SUCH
BONDS AND NOTES. ANY SERVICE CONTRACT  ENTERED  INTO  PURSUANT  TO  THIS
SECTION SHALL PROVIDE THAT THE OBLIGATION OF THE STATE TO PAY THE AMOUNT
THEREIN  PROVIDED  SHALL  NOT  CONSTITUTE A DEBT OF THE STATE WITHIN THE
MEANING OF ANY CONSTITUTIONAL OR STATUTORY PROVISION AND SHALL BE DEEMED
EXECUTORY ONLY TO THE EXTENT OF MONIES AVAILABLE AND THAT  NO  LIABILITY
SHALL  BE  INCURRED  BY  THE  STATE BEYOND THE MONIES AVAILABLE FOR SUCH
PURPOSE, SUBJECT TO ANNUAL APPROPRIATION BY THE  LEGISLATURE.  ANY  SUCH
CONTRACT  OR  ANY PAYMENTS MADE OR TO BE MADE THEREUNDER MAY BE ASSIGNED
AND PLEDGED BY THE DORMITORY AUTHORITY AND THE CORPORATION  AS  SECURITY
FOR ITS BONDS AND NOTES, AS AUTHORIZED BY THIS SECTION.
  3.  THE COMPTROLLER IS HEREBY AUTHORIZED TO RECEIVE FROM THE DORMITORY
AUTHORITY AND THE CORPORATION ANY  PORTION  OF  BOND  PROCEEDS  PAID  TO
PROVIDE  FUNDS  FOR OR REIMBURSE THE STATE FOR ITS COSTS ASSOCIATED WITH
SUCH CAPITAL PROJECT COSTS AND TO CREDIT SUCH  AMOUNTS  TO  THE  CAPITAL
PROJECTS FUND OR ANY OTHER APPROPRIATE FUND.
  S  48.  Subdivision  (a)  of section 28 of part Y of chapter 61 of the
laws of 2005, relating to providing for the  administration  of  certain
funds  and  accounts  related  to  the  2005-2006  budget, as amended by
section 39 of part U of chapter 59 of the laws of 2012,  is  amended  to
read as follows:
  (a)  Subject  to the provisions of chapter 59 of the laws of 2000, but
notwithstanding any provisions of law  to  the  contrary,  one  or  more
authorized  issuers  as defined by section 68-a of the state finance law
are hereby authorized to issue bonds or notes in one or more  series  in
an  aggregate  principal amount not to exceed [$24,000,000] $27,000,000,
excluding bonds issued to finance  one  or  more  debt  service  reserve
funds, to pay costs of issuance of such bonds, and bonds or notes issued
to  refund or otherwise repay such bonds or notes previously issued, for
the purpose of financing capital projects for public protection  facili-
ties  in  the  Division  of Military and Naval Affairs, debt service and
leases; and to reimburse the state general fund for  disbursements  made
therefor.  Such bonds and notes of such authorized issuer shall not be a
debt of the state, and the state shall not be liable thereon, nor  shall
they  be  payable  out of any funds other than those appropriated by the
state to such authorized issuer for debt service  and  related  expenses
pursuant to any service contract executed pursuant to subdivision (b) of
this  section and such bonds and notes shall contain on the face thereof
a statement to such effect. Except for purposes of  complying  with  the
internal revenue code, any interest income earned on bond proceeds shall
only be used to pay debt service on such bonds.
  S 49. Subdivision 1 of section 16 of part D of chapter 389 of the laws
of  1997,  relating  to  the  financing  of  the correctional facilities
improvement fund and the youth facility improvement fund, as amended  by
section  40  of  part U of chapter 59 of the laws of 2012, is amended to
read as follows:
  1. Subject to the provisions of chapter 59 of the laws  of  2000,  but
notwithstanding the provisions of section 18 of section 1 of chapter 174
of the laws of 1968, the New York state urban development corporation is

S. 2605--A                         71                         A. 3005--A

hereby  authorized  to  issue  bonds,  notes and other obligations in an
aggregate principal amount not to exceed [six] SEVEN billion [eight] ONE
hundred [sixteen] THIRTY-THREE million [eight hundred] sixty-nine  thou-
sand  dollars  [$6,816,869,000]  $7,133,069,000,  and  shall include all
bonds, notes and other obligations issued pursuant to chapter 56 of  the
laws  of  1983,  as amended or supplemented. The proceeds of such bonds,
notes or other obligations shall be paid to the state,  for  deposit  in
the  correctional  facilities capital improvement fund to pay for all or
any portion of the amount or amounts paid by the  state  from  appropri-
ations  or  reappropriations  made  to the department of corrections and
community supervision from the correctional facilities capital  improve-
ment  fund for capital projects. The aggregate amount of bonds, notes or
other obligations authorized to be issued pursuant to this section shall
exclude bonds, notes or other obligations issued to refund or  otherwise
repay bonds, notes or other obligations theretofore issued, the proceeds
of  which  were  paid  to  the state for all or a portion of the amounts
expended by the state from appropriations or  reappropriations  made  to
the  department  of  corrections  and  community  supervision; provided,
however, that upon any such refunding or repayment the  total  aggregate
principal amount of outstanding bonds, notes or other obligations may be
greater   than   [six]  SEVEN  billion  [eight]  ONE  hundred  [sixteen]
THIRTY-THREE  million  [eight  hundred]  sixty-nine   thousand   dollars
[$6,816,869,000] $7,133,069,000, only if the present value of the aggre-
gate  debt  service  of the refunding or repayment bonds, notes or other
obligations to be issued shall not  exceed  the  present  value  of  the
aggregate debt service of the bonds, notes or other obligations so to be
refunded  or  repaid.  For the purposes hereof, the present value of the
aggregate debt service of the refunding or  repayment  bonds,  notes  or
other  obligations and of the aggregate debt service of the bonds, notes
or other obligations so refunded  or  repaid,  shall  be  calculated  by
utilizing  the  effective  interest  rate  of the refunding or repayment
bonds, notes or other obligations, which shall be that rate  arrived  at
by  doubling  the  semi-annual  interest rate (compounded semi-annually)
necessary to discount the debt service  payments  on  the  refunding  or
repayment bonds, notes or other obligations from the payment dates ther-
eof  to  the date of issue of the refunding or repayment bonds, notes or
other obligations and to  the  price  bid  including  estimated  accrued
interest  or  proceeds  received  by the corporation including estimated
accrued interest from the sale thereof.
  S 50. Paragraph (a) of subdivision 2 of section 47-e  of  the  private
housing finance law, as amended by section 41 of part U of chapter 59 of
the laws of 2012, is amended to read as follows:
  (a) Subject to the provisions of chapter fifty-nine of the laws of two
thousand,  in  order  to  enhance and encourage the promotion of housing
programs and thereby achieve the stated purposes and objectives of  such
housing  programs, the agency shall have the power and is hereby author-
ized from time to time to issue negotiable  housing  program  bonds  and
notes  in  such principal amount as shall be necessary to provide suffi-
cient funds for the repayment of amounts disbursed (and  not  previously
reimbursed)  pursuant  to law or any prior year making capital appropri-
ations or reappropriations for the  purposes  of  the  housing  program;
provided,  however, that the agency may issue such bonds and notes in an
aggregate principal amount  not  exceeding  two  billion  [seven]  EIGHT
hundred [forty] FORTY-FOUR million [six] EIGHT hundred ninety-nine thou-
sand  dollars,  plus a principal amount of bonds issued to fund the debt
service reserve fund in accordance with the debt  service  reserve  fund

S. 2605--A                         72                         A. 3005--A

requirement  established  by  the  agency and to fund any other reserves
that the agency reasonably deems necessary for the security or  marketa-
bility  of  such  bonds and to provide for the payment of fees and other
charges  and  expenses,  including  underwriters'  discount, trustee and
rating agency fees, bond insurance,  credit  enhancement  and  liquidity
enhancement  related to the issuance of such bonds and notes. No reserve
fund securing the housing program bonds shall be entitled or eligible to
receive state funds apportioned or appropriated to maintain  or  restore
such  reserve  fund at or to a particular level, except to the extent of
any deficiency resulting directly or indirectly from a  failure  of  the
state to appropriate or pay the agreed amount under any of the contracts
provided for in subdivision four of this section.
  S  51.  Subdivision  (b)  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 42 of part U of chapter 59 of the laws of 2012, is amended to
read as follows:
  (b) Any service contract or contracts for projects authorized pursuant
to  sections  10-c,  10-f,  10-g and 80-b of the highway law and section
14-k of the transportation law, and entered into pursuant to subdivision
(a) of this section, shall provide  for  state  commitments  to  provide
annually  to  the  thruway  authority a sum or sums, upon such terms and
conditions as shall be deemed appropriate by the director of the budget,
to fund, or fund the debt service requirements of any bonds or any obli-
gations of the thruway authority issued to fund such projects  having  a
cost  not  in  excess of [$7,106,022,000] $7,516,875,000 cumulatively by
the end of fiscal year [2012-13] 2013-14.
  S 52. Subdivision 1 of section 1689-i of the public  authorities  law,
as amended by section 50 of part U of chapter 59 of the laws of 2012, is
amended to read as follows:
  1.  The  dormitory  authority  is  authorized  to  issue bonds, at the
request of the commissioner of education, to  finance  eligible  library
construction projects pursuant to section two hundred seventy-three-a of
the  education  law,  in  amounts  certified by such commissioner not to
exceed a total principal amount of  [ninety-eight]  ONE  HUNDRED  TWELVE
million dollars.
  S  53.  Subdivision  (a)  of section 27 of part Y of chapter 61 of the
laws of 2005, providing for the  administration  of  certain  funds  and
accounts  related  to  the 2005-2006 budget, as amended by section 43 of
part PP of chapter 56 of the  laws  of  2009,  is  amended  to  read  as
follows:
  (a)  Subject  to the provisions of chapter 59 of the laws of 2000, but
notwithstanding any provisions of law to the contrary, the urban  devel-
opment  corporation  is hereby authorized to issue bonds or notes in one
or  more  series  in  an  aggregate  principal  amount  not  to   exceed
[$114,100,000]  $166,340,000,  excluding  bonds issued to finance one or
more debt service reserve funds, to pay costs of issuance of such bonds,
and bonds or notes issued to refund or otherwise  repay  such  bonds  or
notes  previously  issued, for the purpose of financing capital projects
for THE division of state police [facilities], debt service and  leases;
and to reimburse the state general fund for disbursements made therefor.
Such  bonds  and  notes of such authorized issuer shall not be a debt of
the state, and the state shall not be liable thereon, nor shall they  be
payable  out  of any funds other than those appropriated by the state to
such authorized issuer for debt service and related expenses pursuant to
any service contract  executed  pursuant  to  subdivision  (b)  of  this

S. 2605--A                         73                         A. 3005--A

section  and  such  bonds  and notes shall contain on the face thereof a
statement to such effect. Except for  purposes  of  complying  with  the
internal revenue code, any interest income earned on bond proceeds shall
only be used to pay debt service on such bonds.
  S  54.  Section  44  of  section 1 of chapter 174 of the laws of 1968,
constituting the New York state urban development  corporation  act,  as
amended  by  section  43 of part U of chapter 59 of the laws of 2012, is
amended to read as follows:
  S 44. ISSUANCE OF CERTAIN  BONDS  OR  NOTES.  1.  Notwithstanding  the
provisions of any other law to the contrary, the dormitory authority and
the  corporation are hereby authorized to issue bonds or notes in one or
more series for the purpose of funding project costs  for  the  regional
economic  development  council  initiative,  the economic transformation
program, state university of New York college for nanoscale and  science
engineering,  projects  within  the city of Buffalo or surrounding envi-
rons, [and] the New York works economic development fund,  PROJECTS  FOR
THE  RETENTION  OF  PROFESSIONAL FOOTBALL IN WESTERN NEW YORK, and other
state costs associated with such  projects.    The  aggregate  principal
amount  of  bonds authorized to be issued pursuant to this section shall
not exceed [seven hundred ten million five hundred  fifty]  ONE  BILLION
ONE  HUNDRED  FIFTY-SIX  MILLION  SIX  HUNDRED  SEVEN  thousand dollars,
excluding bonds issued to fund one or more debt service  reserve  funds,
to  pay  costs  of  issuance of such bonds, and bonds or notes issued to
refund or otherwise repay such bonds or notes  previously  issued.  Such
bonds and notes of the dormitory authority and the corporation shall not
be  a  debt of the state, and the state shall not be liable thereon, nor
shall they be payable out of any funds other than those appropriated  by
the  state to the dormitory authority and the corporation for principal,
interest, and related expenses pursuant to a service contract  and  such
bonds  and  notes  shall contain on the face thereof a statement to such
effect. Except for purposes of complying with the internal revenue code,
any interest income earned on bond proceeds shall only be  used  to  pay
debt service on such bonds.
  2.  Notwithstanding  any  other  provision  of law to the contrary, in
order to assist the dormitory authority and the corporation in undertak-
ing the financing for project costs for the regional  economic  develop-
ment  council  initiative,  the  economic  transformation program, state
university of New York college for nanoscale  and  science  engineering,
projects  within  the city of Buffalo or surrounding environs [and], the
New York works economic development fund, PROJECTS FOR THE RETENTION  OF
PROFESSIONAL FOOTBALL IN WESTERN NEW YORK, and other state costs associ-
ated with such projects, the director of the budget is hereby authorized
to enter into one or more service contracts with the dormitory authority
and  the  corporation,  none of which shall exceed thirty years in dura-
tion, upon such terms and conditions as the director of the  budget  and
the  dormitory  authority  and  the corporation agree, so as to annually
provide to the dormitory authority and the corporation,  in  the  aggre-
gate,  a sum not to exceed the principal, interest, and related expenses
required for such bonds and notes. Any  service  contract  entered  into
pursuant  to this section shall provide that the obligation of the state
to pay the amount therein provided shall not constitute a  debt  of  the
state  within  the  meaning of any constitutional or statutory provision
and shall be deemed executory only to the extent of monies available and
that no liability shall be incurred  by  the  state  beyond  the  monies
available  for  such  purpose,  subject  to  annual appropriation by the
legislature. Any such contract or any payments made or to be made there-

S. 2605--A                         74                         A. 3005--A

under may be assigned and pledged by the  dormitory  authority  and  the
corporation  as  security for its bonds and notes, as authorized by this
section.
  S 55. Subdivisions 1 and 3 of section 1285-p of the public authorities
law,subdivision  1  as amended by section 21 of part II of chapter 59 of
the laws of 2004 and subdivision 3 as amended by section 38 of part U of
chapter 59 of the laws of 2012, are amended to read as follows:
  1. Subject to chapter fifty-nine of the  laws  of  two  thousand,  but
notwithstanding any other provisions of law to the contrary, in order to
assist the corporation in undertaking the administration and the financ-
ing of the design, acquisition, construction, improvement, installation,
and related work for all or any portion of any of the following environ-
mental  infrastructure  projects  and  for the provision of funds to the
state for any amounts disbursed therefor: (a) projects authorized  under
the  environmental protection fund, or for which appropriations are made
to the environmental protection  fund  including,  but  not  limited  to
municipal   parks   and  historic  preservation,  stewardship,  farmland
protection, non-point source, pollution control, Hudson River Park, land
acquisition, and waterfront revitalization; (b) department  of  environ-
mental conservation capital appropriations for Onondaga Lake for certain
water  quality  improvement  projects in the same manner as set forth in
paragraph (d) of subdivision one of section 56-0303 of the environmental
conservation law; (c) for the purpose of the administration, management,
maintenance, and use of the real property at the western New York nucle-
ar service center; and  (d)  department  of  environmental  conservation
capital  appropriations  for  the  administration,  design, acquisition,
construction, improvement, installation, and related work on  department
of environmental conservation environmental infrastructure projects; and
(e) office of parks, recreation and historic preservation appropriations
or reappropriations from the state parks infrastructure fund[,]; AND (F)
CAPITAL GRANTS FOR THE CLEANER, GREENER COMMUNITIES PROGRAM the director
of  the  division  of  budget and the corporation are each authorized to
enter into one or more service contracts, none  of  which  shall  exceed
twenty years in duration, upon such terms and conditions as the director
and  the  corporation may agree, so as to annually provide to the corpo-
ration in the aggregate, a sum not to exceed  the  annual  debt  service
payments  and  related expenses required for any bonds and notes author-
ized pursuant to section  twelve  hundred  ninety  of  this  title.  Any
service  contract  entered  into  pursuant to this section shall provide
that the obligation of 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 provision and shall be deemed execu-
tory only to the extent of moneys available for such  purposes,  subject
to annual appropriation by the legislature. Any such service contract or
any  payments  made or to be made thereunder may be assigned and pledged
by the corporation as security for its bonds and  notes,  as  authorized
pursuant to section twelve hundred ninety of this title.
  3.  The  maximum amount of bonds that may be issued for the purpose of
financing  environmental  infrastructure  projects  authorized  by  this
section  shall  be  one  billion  [one  hundred  eighteen]  TWO  HUNDRED
SIXTY-FIVE million seven hundred sixty thousand  dollars,  exclusive  of
bonds  issued to fund any debt service reserve funds, pay costs of issu-
ance of such bonds, and bonds or notes issued  to  refund  or  otherwise
repay  bonds  or  notes  previously  issued. Such bonds and notes of the
corporation shall not be a debt of the state, and the state shall not be
liable thereon, nor shall they be payable out of any  funds  other  than

S. 2605--A                         75                         A. 3005--A

those  appropriated by the state to the corporation for debt service and
related expenses pursuant to any service contracts executed pursuant  to
subdivision  one of this section, and such bonds and notes shall contain
on the face thereof a statement to such effect.
  S 56. The state finance law is amended by adding a new section 92-h to
read as follows:
  S  92-H.  SALES  TAX  REVENUE BOND TAX FUND. 1. THERE IS HEREBY ESTAB-
LISHED IN THE JOINT CUSTODY OF THE STATE COMPTROLLER AND THE COMMISSION-
ER OF TAXATION AND FINANCE A FUND WITHIN THE GENERAL DEBT  SERVICE  FUND
TO BE KNOWN AS THE "SALES TAX REVENUE BOND TAX FUND".
  2.  SUCH  FUND SHALL CONSIST OF THE AMOUNT OF REVENUE COLLECTED WITHIN
THE STATE FROM THE IMPOSITION OF THE SALES AND  COMPENSATING  USE  TAXES
(INCLUDING  INTEREST  AND  PENALTIES) PURSUANT TO SECTION ELEVEN HUNDRED
FIVE AND SECTION ELEVEN HUNDRED TEN OF THE TAX LAW EQUAL TO  THE  AMOUNT
ATTRIBUTABLE TO A ONE PERCENT RATE OF TAXATION, LESS SUCH AMOUNTS AS THE
COMMISSIONER  OF  TAXATION AND FINANCE MAY DETERMINE TO BE NECESSARY FOR
REFUNDS. SUCH SALES AND COMPENSATING USE TAX REVENUES SHALL BE  SEPARATE
AND  DISTINCT FROM THE SALES AND COMPENSATING USE TAX REVENUES DEPOSITED
FROM TIME TO TIME IN THE LOCAL GOVERNMENT ASSISTANCE TAX FUND,  PURSUANT
TO SECTION NINETY-TWO-R OF THIS ARTICLE.  ON AND AFTER THE DATE THAT ALL
OF  THE  OBLIGATIONS  AND  LIABILITIES  OF THE NEW YORK LOCAL GOVERNMENT
ASSISTANCE CORPORATION SHALL HAVE BEEN MET OR OTHERWISE  DISCHARGED,  IT
SHALL  EQUAL  THE AMOUNT ATTRIBUTABLE TO A TWO PERCENT RATE OF TAXATION,
LESS SUCH AMOUNTS AS THE COMMISSIONER OF TAXATION AND FINANCE MAY DETER-
MINE TO BE NECESSARY FOR REFUNDS.
  3. ON OR BEFORE THE TWELFTH DAY OF EACH  MONTH,  THE  COMMISSIONER  OF
TAXATION  AND FINANCE SHALL CERTIFY TO THE STATE COMPTROLLER THE AMOUNTS
SPECIFIED IN SUBDIVISION TWO OF THIS SECTION RELATING TO  THE  PRECEDING
MONTH  AND, IN ADDITION, NO LATER THAN MARCH THIRTY-FIRST OF EACH FISCAL
YEAR THE COMMISSIONER OF TAXATION AND FINANCE SHALL CERTIFY SUCH AMOUNTS
RELATING TO THE LAST MONTH OF SUCH FISCAL YEAR. THE AMOUNTS SO CERTIFIED
SHALL BE DEPOSITED BY THE STATE COMPTROLLER IN  THE  SALES  TAX  REVENUE
BOND TAX FUND.
  4.  MONEYS  IN THE SALES TAX REVENUE BOND TAX FUND SHALL BE KEPT SEPA-
RATE AND SHALL NOT BE COMMINGLED WITH ANY OTHER MONEYS IN THE CUSTODY OF
THE STATE COMPTROLLER AND THE COMMISSIONER OF TAXATION AND FINANCE.  ALL
DEPOSITS  OF  SUCH REVENUES SHALL, IF REQUIRED BY THE STATE COMPTROLLER,
BE SECURED BY OBLIGATIONS OF THE UNITED STATES OR OF THE STATE HAVING  A
MARKET  VALUE  EQUAL AT ALL TIMES TO THE AMOUNT OF SUCH DEPOSITS AND ALL
BANKS AND TRUST COMPANIES ARE  AUTHORIZED  TO  GIVE  SECURITY  FOR  SUCH
DEPOSITS.  ANY  SUCH  MONEYS  IN SUCH FUND MAY, IN THE DISCRETION OF THE
STATE COMPTROLLER, BE INVESTED IN OBLIGATIONS IN WHICH THE  STATE  COMP-
TROLLER  IS  AUTHORIZED  TO INVEST PURSUANT TO SECTION NINETY-EIGHT-A OF
THIS ARTICLE.
  5. (A) THE STATE COMPTROLLER SHALL FROM TIME TO TIME, BUT IN NO  EVENT
LATER  THAN  THE  FIFTEENTH DAY OF EACH MONTH (OTHER THAN THE LAST MONTH
OF THE FISCAL YEAR) AND NO LATER THAN THE THIRTY-FIRST DAY OF  THE  LAST
MONTH  OF EACH FISCAL YEAR, PAY OVER AND DISTRIBUTE TO THE CREDIT OF THE
GENERAL FUND OF THE STATE TREASURY ALL MONEYS IN THE SALES  TAX  REVENUE
BOND  TAX FUND, IF ANY, IN EXCESS OF THE AGGREGATE AMOUNT REQUIRED TO BE
SET ASIDE FOR THE PAYMENT OF CASH REQUIREMENTS PURSUANT TO PARAGRAPH (B)
OF THIS SUBDIVISION, PROVIDED THAT AN APPROPRIATION HAS BEEN MADE TO PAY
ALL AMOUNTS SPECIFIED IN ANY CERTIFICATE OR  CERTIFICATES  DELIVERED  BY
THE DIRECTOR OF THE BUDGET PURSUANT TO PARAGRAPH (B) OF THIS SUBDIVISION
AS  BEING  REQUIRED  BY ANY AUTHORIZED ISSUER AS SUCH TERM IS DEFINED IN
SECTION SIXTY-NINE-M OF THIS CHAPTER FOR THE PAYMENT  OF  CASH  REQUIRE-

S. 2605--A                         76                         A. 3005--A

MENTS  OF  SUCH AUTHORIZED ISSUERS FOR SUCH FISCAL YEAR.  SUBJECT TO THE
RIGHTS OF HOLDERS OF DEBT OF THE STATE, IN  NO  EVENT  SHALL  THE  STATE
COMPTROLLER  PAY  OVER AND DISTRIBUTE ANY MONEYS ON DEPOSIT IN THE SALES
TAX  REVENUE BOND TAX FUND TO ANY PERSON OTHER THAN AN AUTHORIZED ISSUER
PURSUANT TO SUCH CERTIFICATE OR CERTIFICATES (I) UNLESS  AND  UNTIL  THE
AGGREGATE OF ALL CASH REQUIREMENTS CERTIFIED TO THE STATE COMPTROLLER AS
REQUIRED  BY  SUCH  AUTHORIZED ISSUERS TO BE SET ASIDE PURSUANT TO PARA-
GRAPH (B) OF THIS SUBDIVISION FOR  SUCH  FISCAL  YEAR  SHALL  HAVE  BEEN
APPROPRIATED  TO SUCH AUTHORIZED ISSUERS IN ACCORDANCE WITH THE SCHEDULE
SPECIFIED IN THE CERTIFICATE OR CERTIFICATES FILED BY  THE  DIRECTOR  OF
THE  BUDGET OR (II) IF, AFTER HAVING BEEN SO CERTIFIED AND APPROPRIATED,
ANY PAYMENT REQUIRED TO BE MADE PURSUANT TO PARAGRAPH (B) OF THIS SUBDI-
VISION HAS NOT BEEN MADE TO THE  AUTHORIZED  ISSUERS  PURSUANT  TO  SUCH
CERTIFICATE  OR CERTIFICATES; PROVIDED, HOWEVER, THAT NO PERSON, INCLUD-
ING SUCH AUTHORIZED ISSUERS OR THE HOLDERS OF REVENUE BONDS, SHALL  HAVE
ANY  LIEN  ON  MONEYS ON DEPOSIT IN THE SALES TAX REVENUE BOND TAX FUND.
ANY AGREEMENT ENTERED INTO PURSUANT  TO  SECTION  SIXTY-NINE-O  OF  THIS
CHAPTER  RELATED  TO  ANY  PAYMENT  AUTHORIZED  BY THIS SECTION SHALL BE
EXECUTORY ONLY TO THE EXTENT OF SUCH REVENUES AVAILABLE TO THE STATE  IN
SUCH  FUND.  NOTWITHSTANDING SUBDIVISIONS TWO AND THREE OF THIS SECTION,
IN THE EVENT THE AGGREGATE OF ALL CASH  REQUIREMENTS  CERTIFIED  TO  THE
STATE COMPTROLLER AS REQUIRED BY SUCH AUTHORIZED ISSUERS TO BE SET ASIDE
PURSUANT TO PARAGRAPH (B) OF THIS SUBDIVISION FOR THE FISCAL YEAR BEGIN-
NING  ON APRIL FIRST SHALL NOT HAVE BEEN APPROPRIATED TO SUCH AUTHORIZED
ISSUERS IN ACCORDANCE WITH THE SCHEDULE SPECIFIED IN THE CERTIFICATE  OR
CERTIFICATES  FILED BY THE DIRECTOR OF THE BUDGET OR, IF, HAVING BEEN SO
CERTIFIED AND APPROPRIATED, ANY PAYMENT REQUIRED TO BE MADE PURSUANT  TO
PARAGRAPH  (B)  OF  THIS  SUBDIVISION HAS NOT BEEN MADE PURSUANT TO SUCH
CERTIFICATE OR CERTIFICATES, ALL RECEIPTS COLLECTED AND DEPOSITED IN THE
SALES TAX REVENUE BOND TAX FUND SHALL REMAIN IN SUCH FUND. NOTWITHSTAND-
ING ANY OTHER PROVISION OF LAW, IF THE STATE HAS APPROPRIATED  AND  PAID
TO  THE  AUTHORIZED  ISSUERS  ALL  AMOUNTS  NECESSARY FOR THE AUTHORIZED
ISSUERS TO MEET THEIR CASH REQUIREMENTS  FOR  THE  CURRENT  FISCAL  YEAR
PURSUANT TO THE CERTIFICATE OR CERTIFICATES SUBMITTED BY THE DIRECTOR OF
THE  BUDGET  PURSUANT  TO PARAGRAPH (B) OF THIS SECTION, THE STATE COMP-
TROLLER SHALL, ON THE LAST DAY OF EACH FISCAL YEAR, PAY TO  THE  GENERAL
FUND  OF  THE STATE ALL SUMS REMAINING IN THE SALES TAX REVENUE BOND TAX
FUND ON SUCH DATE EXCEPT SUCH AMOUNTS AS THE DIRECTOR OF THE BUDGET  MAY
CERTIFY  ARE  NEEDED TO MEET THE CASH REQUIREMENTS OF AUTHORIZED ISSUERS
DURING THE SUBSEQUENT FISCAL YEAR.
  (B) NO LATER THAN THIRTY DAYS AFTER THE SUBMISSION  OF  THE  EXECUTIVE
BUDGET  IN ACCORDANCE WITH ARTICLE SEVEN OF THE CONSTITUTION, THE DIREC-
TOR OF THE BUDGET SHALL PREPARE A CERTIFICATE OF THE AMOUNT  OF  MONTHLY
RECEIPTS ANTICIPATED TO BE DEPOSITED PURSUANT TO SUBDIVISION TWO OF THIS
SECTION  DURING  THE  FISCAL  YEAR  BEGINNING  APRIL  FIRST OF THAT YEAR
TOGETHER WITH THE MONTHLY AMOUNTS NECESSARY TO BE  SET  ASIDE  FROM  THE
RECEIPTS  OF  SUCH  FUND,  AS SHALL BE SUFFICIENT TO MEET THE TOTAL CASH
REQUIREMENTS OF AUTHORIZED ISSUERS, AS DEFINED BY  SECTION  SIXTY-NINE-M
OF THIS CHAPTER DURING SUCH FISCAL YEAR, BASED ON INFORMATION THAT SHALL
BE PROVIDED BY SUCH AUTHORIZED ISSUERS, CONSISTENT WITH THE TERMS OF ANY
CONTRACT WITH OUTSTANDING BONDHOLDERS. EXCEPT FOR THE PURPOSE OF MEETING
CASH  REQUIREMENTS  OF AN AUTHORIZED ISSUER THAT ARE DUE ON A MONTHLY OR
MORE FREQUENT BASIS, PRIOR TO TRANSFERRING ANY MONEYS FROM  THE  ACCOUNT
PURSUANT TO PARAGRAPH (A) OF THIS SUBDIVISION, THE COMPTROLLER SHALL SET
ASIDE  ON A MONTHLY BASIS ALL REVENUES DEPOSITED PURSUANT TO THIS SUBDI-
VISION AS RECEIVED UNTIL THE AMOUNT SET ASIDE IS EQUAL TO  ONE-FIFTH  OF

S. 2605--A                         77                         A. 3005--A

THE  INTEREST  DUE  ON  SUCH OBLIGATIONS ON THE NEXT SUCCEEDING INTEREST
PAYMENT DATE MULTIPLIED BY THE NUMBER  OF  MONTHS  FROM  THE  LAST  SUCH
PAYMENT  AND  ONE-ELEVENTH OF THE NEXT PRINCIPAL INSTALLMENT DUE ON SUCH
OBLIGATIONS  MULTIPLIED BY THE NUMBER OF MONTHS FROM THE LAST SUCH PRIN-
CIPAL INSTALLMENT WHERE PRINCIPAL IS DUE ON AN ANNUAL BASIS OR ONE-FIFTH
OF THE NEXT PRINCIPAL INSTALLMENT DUE ON SUCH OBLIGATIONS MULTIPLIED  BY
THE  NUMBER  OF  MONTHS  FROM  THE LAST SUCH PRINCIPAL INSTALLMENT WHERE
PRINCIPAL IS DUE ON A SEMIANNUAL BASIS. FOR THE PURPOSE OF MEETING  CASH
REQUIREMENTS  OF AN AUTHORIZED ISSUER THAT ARE DUE ON A MONTHLY BASIS OR
MORE FREQUENTLY, THE COMPTROLLER SHALL SET ASIDE ALL REVENUES  DEPOSITED
PURSUANT TO SUBDIVISION TWO OF THIS SECTION AS RECEIVED UNTIL THE AMOUNT
SO SET ASIDE IS, IN THE REASONABLE JUDGMENT OF THE DIRECTOR OF THE BUDG-
ET  AS  SET  FORTH  IN SUCH CERTIFICATE, SUFFICIENT TO MAKE THE REQUIRED
PAYMENT ON OR BEFORE  SUCH  PAYMENT  DATE.  NOTWITHSTANDING  SUBDIVISION
THREE  OF, SECTION SEVENTY-TWO OF THIS ARTICLE OR ANY OTHER PROVISION OF
LAW, ALL MONEYS SET ASIDE IN THE SALES TAX REVENUE BOND TAX FUND TO MEET
THE ANNUAL CASH REQUIREMENTS OF AUTHORIZED ISSUERS PURSUANT TO A CERTIF-
ICATE OR CERTIFICATES AS REQUIRED IN THIS PARAGRAPH SHALL REMAIN IN  THE
SALES  TAX  REVENUE BOND TAX FUND UNTIL NEEDED FOR PAYMENT TO AUTHORIZED
ISSUERS, AS PROVIDED IN THIS SECTION. IN THE EVENT THAT THE  AMOUNT  SET
ASIDE  BY THE STATE COMPTROLLER PURSUANT TO THIS PARAGRAPH IS NOT SUFFI-
CIENT TO MEET THE CASH REQUIREMENTS REQUIRED PURSUANT TO  A  CERTIFICATE
OR CERTIFICATES SUBMITTED BY THE DIRECTOR OF THE BUDGET, THE STATE COMP-
TROLLER  SHALL  IMMEDIATELY  TRANSFER FROM THE GENERAL FUND TO THE SALES
TAX REVENUE BOND TAX FUND AN AMOUNT WHICH, WHEN COMBINED WITH THE AMOUNT
SET ASIDE PURSUANT TO THIS PARAGRAPH, SHALL BE SUFFICIENT  TO  MEET  THE
PAYMENT  REQUIRED  PURSUANT  TO  SUCH  CERTIFICATE  OR CERTIFICATES. THE
DIRECTOR OF THE BUDGET MAY REVISE SUCH CERTIFICATION AT  SUCH  TIMES  AS
SHALL  BE  NECESSARY, PROVIDED, HOWEVER, THAT THE DIRECTOR OF THE BUDGET
SHALL, AS NECESSARY, REVISE SUCH CERTIFICATION  NOT  LATER  THAN  THIRTY
DAYS AFTER THE ISSUANCE OF ANY REVENUE BONDS, INCLUDING REFUNDING BONDS,
AND  AFTER THE ADOPTION OF ANY INTEREST RATE EXCHANGE OR OTHER FINANCIAL
ARRANGEMENT AFFECTING THE CASH REQUIREMENTS  OF THE AUTHORIZED  ISSUERS.
IN  NO EVENT SHALL THE STATE COMPTROLLER BE  HELD LIABLE FOR THE FAILURE
TO SET ASIDE AN AMOUNT SUFFICIENT TO PAY  ANY  REQUIRED  PAYMENT  OF  AN
AUTHORIZED ISSUER.
  6. ALL PAYMENTS OF MONEYS FROM THE REVENUE BOND TAX FUND SHALL BE MADE
ON THE AUDIT AND WARRANT OF THE STATE COMPTROLLER.
  S 57. Section 1148 of the tax law, as amended by chapter 3 of the laws
of 2004, is amended to read as follows:
  S  1148.  Deposit  and disposition of revenue. All taxes, interest and
penalties collected or received by the commissioner under  this  article
shall be deposited and disposed of pursuant to the provisions of section
one  hundred  seventy-one-a of this chapter; provided however, the comp-
troller shall on or before the twelfth day of each month, pay  all  such
taxes, interest and penalties collected under this article and remaining
to  the  comptroller's  credit  in  such  banks, banking houses or trust
companies at the close of business on the  last  day  of  the  preceding
month,  into the general fund of the state treasury, except as otherwise
provided in sections ninety-two-d, NINETY-TWO-H, and ninety-two-r of the
state finance law and sections eleven hundred two, eleven  hundred  four
and eleven hundred nine of this article.
  S  58. The state finance law is amended by adding a new article 5-F to
read as follows:
                               ARTICLE 5-F
                SALES TAX REVENUE BOND FINANCING PROGRAM

S. 2605--A                         78                         A. 3005--A

SECTION 69-M. DEFINITIONS.
        69-N. ISSUANCE OF BONDS AND NOTES.
        69-O. PAYMENTS TO AUTHORIZED ISSUERS.
  S  69-M.  DEFINITIONS. 1. "AUTHORIZED ISSUER" SHALL MEAN THE DORMITORY
AUTHORITY OF THE STATE OF NEW YORK, THE NEW YORK STATE URBAN DEVELOPMENT
CORPORATION, THE NEW YORK STATE THRUWAY AUTHORITY,  AND  ANY  SUCCESSORS
THERETO.
  2. "AUTHORIZED PURPOSE" FOR PURPOSES OF THIS ARTICLE AND SECTION NINE-
TY-TWO-H  OF  THIS  CHAPTER SHALL MEAN ANY PURPOSES FOR WHICH STATE-SUP-
PORTED DEBT, AS DEFINED BY SECTION SIXTY-SEVEN-A OF THIS CHAPTER, MAY OR
HAS BEEN ISSUED, EXCEPT DEBT FOR WHICH  THE  STATE  IS  CONSTITUTIONALLY
OBLIGATED THEREUNDER TO PAY DEBT SERVICE AND RELATED EXPENSES.
  3.  "REVENUE BONDS" FOR THE PURPOSES OF THIS ARTICLE AND SECTION NINE-
TY-TWO-H OF THIS CHAPTER SHALL MEAN  ANY  BONDS,  NOTES  OR  OBLIGATIONS
ISSUED OR INCURRED PURSUANT TO SECTION SIXTY-NINE-N OF THIS ARTICLE.
  S  69-N. ISSUANCE OF BONDS AND NOTES.  1. (A) AUTHORIZED ISSUERS SHALL
HAVE THE POWER AND ARE HEREBY AUTHORIZED FROM  TIME  TO  TIME  TO  ISSUE
REVENUE  BONDS, IN SUCH PRINCIPAL AMOUNT OR AMOUNTS, SUBJECT TO SUBDIVI-
SION EIGHT OF THIS SECTION AND AS  THE  DIRECTOR  OF  THE  BUDGET  SHALL
DETERMINE  TO  BE  NECESSARY, TO PROVIDE SUFFICIENT FUNDS FOR AUTHORIZED
PURPOSES, THE ESTABLISHMENT OF RESERVES TO SECURE  SUCH  REVENUE  BONDS,
THE PAYMENT OF AMOUNTS REQUIRED UNDER REVENUE BONDS OR AGREEMENTS RELAT-
ING  THERETO,  AND THE PAYMENT OF ALL COSTS OF ISSUANCE OF THEIR REVENUE
BONDS.
  (B) THE AUTHORIZED ISSUERS SHALL HAVE THE POWER AND ARE HEREBY AUTHOR-
IZED FROM TIME TO TIME TO ISSUE (I) REVENUE BONDS TO RENEW  NOTES,  (II)
REVENUE  BONDS TO PAY NOTES, AND (III) WHENEVER IT DEEMS REFUNDING EXPE-
DIENT, TO REFUND ANY BONDS, NOTES OR OTHER  OBLIGATIONS  ISSUED  FOR  AN
AUTHORIZED  PURPOSE  OR  PURPOSES, INCLUDING BONDS, NOTES OR OTHER OBLI-
GATIONS THAT WERE ISSUED PRIOR TO THE EFFECTIVE DATE OF THIS ARTICLE, BY
THE ISSUANCE OF NEW REVENUE BONDS, WHETHER THE BONDS,  NOTES,  OR  OTHER
OBLIGATIONS TO BE REFUNDED HAVE OR HAVE NOT MATURED, AND TO ISSUE REVEN-
UE  BONDS  IN  PART  TO  REFUND  BONDS, NOTES, OR OTHER OBLIGATIONS THEN
OUTSTANDING AND IN PART FOR ANY OF ITS OTHER  AUTHORIZED  PURPOSES.  THE
REFUNDING  REVENUE  BONDS  MAY  BE  EXCHANGED FOR BONDS, NOTES, OR OTHER
OBLIGATIONS TO BE REFUNDED, OR SOLD AND  THE  PROCEEDS  APPLIED  TO  THE
PURCHASE,  REDEMPTION  OR  PAYMENT  OF SUCH BONDS, NOTES, OR OTHER OBLI-
GATIONS.
  (C) EXCEPT AS MAY OTHERWISE BE EXPRESSLY  PROVIDED  BY  AN  AUTHORIZED
ISSUER, EVERY ISSUE OF REVENUE BONDS OF AN AUTHORIZED ISSUER PURSUANT TO
THIS SECTION SHALL BE SPECIAL OBLIGATIONS OF THE AUTHORIZED ISSUER PAYA-
BLE  SOLELY OUT OF ANY REVENUES PAID OVER TO SUCH AUTHORIZED ISSUER FROM
THE SALES TAX REVENUE BOND TAX FUND, ESTABLISHED PURSUANT    TO  SECTION
NINETY-TWO-H OF THIS CHAPTER.
  (D)  ALL  OF  THE  PROVISIONS  OF  THE ENABLING ACTS OF THE AUTHORIZED
ISSUERS RELATING TO BONDS AND NOTES, WHICH ARE NOT INCONSISTENT WITH THE
PROVISIONS OF THIS SECTION, MAY, AT THE DISCRETION OF  THE    AUTHORIZED
ISSUER, APPLY TO REVENUE BONDS AUTHORIZED BY THIS SECTION.
  (E)  THE  REVENUE  BONDS  OF THE AUTHORIZED ISSUERS AUTHORIZED BY THIS
SECTION SHALL NOT BE A DEBT OF THE STATE AND  THE  STATE  SHALL  NOT  BE
LIABLE  THEREON,  NOR  SHALL THEY BE PAYABLE OUT OF ANY FUNDS OTHER THAN
THOSE OF THE AUTHORIZED ISSUERS PLEDGED THEREFOR; AND SUCH REVENUE BONDS
SHALL CONTAIN ON THE FACE THEREOF A STATEMENT TO SUCH EFFECT.  IN  ADDI-
TION,  ANY  AGREEMENTS  ENTERED  INTO BY ANY ENTITY PURSUANT TO SECTIONS
SIXTY-NINE-O AND NINETY-TWO-H OF THIS CHAPTER ON BEHALF OF THE STATE  TO
EFFECT  THE IMPLEMENTATION OF ANY OF THE ACTIVITIES FINANCED IN WHOLE OR

S. 2605--A                         79                         A. 3005--A

IN PART WITH PROCEEDS OF THE REVENUE BONDS OF  THE  AUTHORIZED  ISSUERS,
AUTHORIZED  IN  THIS  SECTION  DO NOT CONSTITUTE OR CREATE A DEBT OF THE
STATE, NOR A CONTRACTUAL OBLIGATION IN EXCESS OF THE  AMOUNTS  APPROPRI-
ATED THEREFOR, AND THE STATE HAS NO CONTINUING LEGAL OR MORAL OBLIGATION
TO APPROPRIATE MONEY FOR PAYMENTS DUE UNDER ANY SUCH AGREEMENT.
  (F) (I) REVENUE BONDS SHALL BE AUTHORIZED BY RESOLUTION OF THE AUTHOR-
IZED  ISSUERS,  BE  IN  SUCH  DENOMINATIONS, BEAR SUCH DATE OR DATES AND
MATURE AT SUCH TIME OR TIMES, AS SUCH RESOLUTION OR OTHER AGREEMENT  MAY
PROVIDE.
  (II)  REVENUE BONDS SHALL BE SUBJECT TO SUCH TERMS OF REDEMPTION, BEAR
INTEREST AT SUCH RATE OR RATES, BE PAYABLE AT SUCH  TIMES,  BE  IN  SUCH
FORM, EITHER COUPON, REGISTERED OR BOOK ENTRY FORM, CARRY SUCH REGISTRA-
TION  PRIVILEGES,  BE EXECUTED IN SUCH MANNER, BE PAYABLE IN SUCH MEDIUM
OF PAYMENT AT SUCH PLACE OR PLACES, AND BE SUBJECT  TO  SUCH  TERMS  AND
CONDITIONS AS SUCH RESOLUTION MAY PROVIDE.
  (G)  REVENUE  BONDS  AUTHORIZED  HEREUNDER SHALL BE SOLD BY AUTHORIZED
ISSUERS, AT PUBLIC OR PRIVATE SALE, AT  SUCH  PRICE  OR  PRICES  AS  THE
AUTHORIZED  ISSUERS  MAY  DETERMINE.  REVENUE  BONDS  OF  THE AUTHORIZED
ISSUERS SHALL NOT BE SOLD BY THE AUTHORIZED  ISSUERS  AT  PRIVATE  SALES
UNLESS  SUCH  SALE AND THE TERMS THEREOF HAVE BEEN APPROVED BY THE STATE
COMPTROLLER.
  2. CONSISTENT WITH THE PROVISIONS OF THIS ARTICLE, AND SUBJECT TO  THE
APPROVAL  OF  THE DIRECTOR OF THE BUDGET, ANY RESOLUTION OR OTHER AGREE-
MENT  AUTHORIZING  REVENUE  BONDS  OR  ANY  ISSUE  THEREOF  MAY  CONTAIN
PROVISIONS, WHICH SHALL BE A PART OF THE CONTRACT WITH THE HOLDERS THER-
EOF, AS TO:
  (A)  PLEDGING  ALL OR ANY PART OF THE REVENUES RECEIVED BY THE AUTHOR-
IZED ISSUERS PURSUANT TO SECTION SIXTY-NINE-O OF THIS ARTICLE TO  SECURE
THE  PAYMENT  OF  THE BONDS OR NOTES OR OF ANY ISSUE THEREOF, SUBJECT TO
SUCH AGREEMENTS WITH HOLDERS OF REVENUE BONDS AS MAY THEN EXIST;
  (B) PLEDGING ALL OR ANY PART OF THE ASSETS OF THE  AUTHORIZED  ISSUERS
TO  SECURE  THE  PAYMENT OF THE REVENUE BONDS OR OF ANY ISSUE OF REVENUE
BONDS SUBJECT TO SUCH AGREEMENTS WITH HOLDERS OF REVENUE  BONDS  AS  MAY
THEN EXIST;
  (C)  THE SETTING ASIDE OF RESERVES OR SINKING FUNDS AND THE REGULATION
AND DISPOSITION THEREOF;
  (D) LIMITATIONS ON THE PURPOSES TO  WHICH  THE  PROCEEDS  OF  SALE  OF
REVENUE  BONDS,  MAY BE APPLIED AND PLEDGING SUCH PROCEEDS TO SECURE THE
PAYMENT OF THE REVENUE BONDS OR OF ANY ISSUE THEREOF;
  (E) LIMITATIONS ON THE ISSUANCE OF ADDITIONAL REVENUE BONDS, THE TERMS
UPON WHICH ADDITIONAL REVENUE BONDS MAY BE ISSUED AND  SECURED  AND  THE
REFUNDING OF OUTSTANDING OR OTHER REVENUE BONDS;
  (F)  THE  PROCEDURE,  IF  ANY, BY WHICH THE TERMS OF ANY CONTRACT WITH
HOLDERS OF REVENUE BONDS MAY BE AMENDED  OR  ABROGATED,  THE  AMOUNT  OF
REVENUE  BONDS  THE HOLDERS OF WHICH MUST CONSENT THERETO AND THE MANNER
IN WHICH SUCH CONSENT MAY BE GIVEN;
  (G) VESTING IN A TRUSTEE, AS DESCRIBED  IN  SUBDIVISION  SIX  OF  THIS
SECTION,  SUCH  PROPERTY,  RIGHTS,  POWERS  AND  DUTIES  IN TRUST AS THE
AUTHORIZED ISSUERS MAY DETERMINE, WHICH MAY INCLUDE ANY OR  ALL  OF  THE
RIGHTS,  POWERS  AND  DUTIES  OF THE TRUSTEE APPOINTED BY THE HOLDERS OF
REVENUE BONDS OF THE RESPECTIVE  AUTHORIZED  ISSUERS  PURSUANT  TO  THIS
ARTICLE, AND LIMITING OR ABROGATING THE RIGHT OF SUCH REVENUE BOND HOLD-
ERS  TO  APPOINT  A  TRUSTEE  UNDER  THIS  TITLE OR LIMITING THE RIGHTS,
POWERS, AND DUTIES OF SUCH TRUSTEE;
  (H) THE ACTS OR OMISSIONS TO ACT WHICH SHALL CONSTITUTE A  DEFAULT  IN
THE  OBLIGATIONS  AND DUTIES OF THE AUTHORIZED ISSUERS TO THE HOLDERS OF

S. 2605--A                         80                         A. 3005--A

THE REVENUE BONDS AND PROVIDING FOR THE RIGHTS AND REMEDIES OF THE HOLD-
ERS OF THE REVENUE BONDS IN EVENT OF SUCH DEFAULT, INCLUDING  THE  RIGHT
TO  APPOINTMENT  OF  A RECEIVER; PROVIDED, HOWEVER, THAT SUCH RIGHTS AND
REMEDIES  SHALL  NOT  BE  INCONSISTENT WITH THE OTHER PROVISIONS OF THIS
ARTICLE;
  (I) ANY OTHER MATTERS, OF LIKE OR DIFFERENT CHARACTER,  WHICH  IN  ANY
WAY  AFFECT  THE  SECURITY  OR  PROTECTION OF THE HOLDERS OF THE REVENUE
BONDS; AND
  (J) THE APPLICATION OF ANY OF THE FOREGOING PROVISIONS TO ANY PROVIDER
OF ANY APPLICABLE BOND, NOTE OR OTHER FINANCIAL FACILITY.
  NOTWITHSTANDING THE FOREGOING, THE AUTHORIZED  ISSUERS  SHALL  NOT  BE
AUTHORIZED  TO MAKE ANY COVENANT, PLEDGE, PROMISE, OR AGREEMENT PURPORT-
ING TO BIND THE STATE EXCEPT AS  OTHERWISE  SPECIFICALLY  AUTHORIZED  BY
THIS ARTICLE.
  3. ANY PLEDGE MADE BY THE RESPECTIVE AUTHORIZED ISSUERS SHALL BE VALID
AND BINDING FROM THE TIME WHEN THE PLEDGE IS MADE. THE REVENUES OR PROP-
ERTY  SO  PLEDGED  AND  THEREAFTER RECEIVED BY THE RESPECTIVE AUTHORIZED
ISSUERS SHALL IMMEDIATELY BE SUBJECT TO THE LIEN OF SUCH PLEDGE  WITHOUT
ANY  PHYSICAL  DELIVERY THEREOF OR FURTHER ACT, AND THE LIEN OF ANY SUCH
PLEDGE SHALL BE VALID AND BINDING AS AGAINST ALL PARTIES  HAVING  CLAIMS
OF  ANY  KIND  IN  TORT,  CONTRACT OR OTHERWISE   AGAINST THE RESPECTIVE
AUTHORIZED ISSUERS, IRRESPECTIVE OF WHETHER  SUCH  PARTIES  HAVE  NOTICE
THEREOF.  NEITHER  THE  RESOLUTION  NOR  ANY OTHER INSTRUMENT BY WHICH A
PLEDGE IS CREATED NEED BE RECORDED OR FILED TO PROTECT SUCH PLEDGE.
  4. NEITHER THE DIRECTORS OR MEMBERS OF THE AUTHORIZED ISSUERS NOR  ANY
OTHER PERSON EXECUTING THE REVENUE BONDS OF THE AUTHORIZED ISSUERS SHALL
BE  LIABLE PERSONALLY THEREON OR BE SUBJECT TO ANY PERSONAL LIABILITY OR
ACCOUNTABILITY SOLELY BY REASON OF THE ISSUANCE THEREOF.
  5. THE AUTHORIZED ISSUERS, SUBJECT TO SUCH AGREEMENTS WITH HOLDERS  OF
REVENUE BONDS AS MAY THEN EXIST, OR WITH THE PROVIDERS OF ANY APPLICABLE
BOND  OR NOTE OR OTHER FINANCIAL OR AGREEMENT FACILITY, SHALL HAVE POWER
OUT OF ANY FUNDS AVAILABLE THEREFOR TO PURCHASE  REVENUE  BONDS  OF  THE
AUTHORIZED  ISSUERS,  WHICH  MAY  OR MAY NOT THEREUPON BE CANCELED, AT A
PRICE NOT EXCEEDING:
  (A) IF THE REVENUE BONDS ARE THEN  REDEEMABLE,  THE  REDEMPTION  PRICE
THEN APPLICABLE, INCLUDING ANY ACCRUED INTEREST;
  (B) IF THE REVENUE BONDS ARE NOT THEN REDEEMABLE, THE REDEMPTION PRICE
AND  ACCRUED  INTEREST  APPLICABLE ON THE FIRST DATE AFTER SUCH PURCHASE
UPON WHICH THE REVENUE BONDS BECOME SUBJECT TO REDEMPTION.
  6. IN THE DISCRETION OF AUTHORIZED ISSUERS, THE REVENUE BONDS  MAY  BE
SECURED BY A TRUST INDENTURE BY AND BETWEEN THE AUTHORIZED ISSUERS AND A
CORPORATE  TRUSTEE,  OR  A  CORPORATE TRUSTEE MAY BE APPOINTED UNDER THE
RESOLUTION AS PROVIDED IN SUBDIVISION TWO OF THIS SECTION.
  7. WHETHER OR NOT THE REVENUE BONDS ARE OF SUCH FORM AND CHARACTER  AS
TO  BE  NEGOTIABLE INSTRUMENTS UNDER THE TERMS OF THE UNIFORM COMMERCIAL
CODE, THE REVENUE BONDS ARE HEREBY MADE  NEGOTIABLE  INSTRUMENTS  WITHIN
THE  MEANING  OF  AND  FOR  ALL PURPOSES OF THE UNIFORM COMMERCIAL CODE,
SUBJECT ONLY TO THE PROVISIONS OF THE REVENUE BONDS FOR REGISTRATION  OR
ANY BOOK-ENTRY-ONLY SYSTEM.
  8.  REVENUE  BONDS  MAY  ONLY  BE  ISSUED  FOR AUTHORIZED PURPOSES, AS
DEFINED IN SECTION SIXTY-NINE-M OF  THIS  ARTICLE.  NOTWITHSTANDING  THE
FOREGOING, ANY AUTHORIZED ISSUER MAY ISSUE REVENUE BONDS FOR ANY AUTHOR-
IZED  PURPOSE.  THE AUTHORIZED ISSUERS SHALL NOT ISSUE ANY REVENUE BONDS
IN AN AMOUNT IN EXCESS OF STATUTORY AUTHORIZATIONS FOR  SUCH  AUTHORIZED
PURPOSES.  AUTHORIZATIONS  FOR SUCH AUTHORIZED PURPOSES SHALL BE REDUCED
IN AN AMOUNT EQUAL TO THE  AMOUNT  OF  REVENUE  BONDS  ISSUED  FOR  SUCH

S. 2605--A                         81                         A. 3005--A

AUTHORIZED PURPOSES UNDER THIS ARTICLE. SUCH REDUCTION SHALL NOT BE MADE
IN  RELATION  TO REVENUE BONDS ISSUED TO FUND RESERVE FUNDS, IF ANY, AND
COSTS OF ISSUANCE, IF THESE ITEMS ARE NOT COUNTED UNDER EXISTING AUTHOR-
IZATIONS,  NOR  SHALL  REVENUE BONDS ISSUED TO REFUND BONDS ISSUED UNDER
EXISTING AUTHORIZATIONS REDUCE THE AMOUNT OF SUCH  AUTHORIZATIONS.
  9. EXCEPT UPON THE AMENDMENT OF THE NEW YORK STATE CONSTITUTION ALLOW-
ING THE ISSUANCE OR ASSUMPTION OF  BONDS,  NOTES  OR  OTHER  OBLIGATIONS
SECURED  BY  REVENUES,  WHICH  MAY INCLUDE THE REVENUES SECURING REVENUE
BONDS OF AUTHORIZED ISSUERS, AND  THE  AFFIRMATIVE  ASSUMPTION  OF  SUCH
BONDS, NOTES OR OTHER OBLIGATIONS BY THE STATE, THE REVENUE BONDS OF THE
AUTHORIZED ISSUERS AUTHORIZED BY THIS SECTION SHALL NOT BE A DEBT OF THE
STATE AND THE STATE SHALL NOT BE LIABLE THEREON, NOR SHALL THEY BE PAYA-
BLE  OUT OF ANY FUNDS OTHER THAN THOSE OF THE AUTHORIZED ISSUERS PLEDGED
THEREFOR; AND SUCH REVENUE BONDS SHALL CONTAIN ON  THE  FACE  THEREOF  A
STATEMENT  TO  SUCH  EFFECT. IN ADDITION, ANY AGREEMENTS ENTERED INTO BY
ANY ENTITY PURSUANT TO SECTIONS SIXTY-NINE-O AND  NINETY-TWO-H  OF  THIS
CHAPTER  ON  BEHALF  OF THE STATE TO EFFECT THE IMPLEMENTATION OF ANY OF
THE ACTIVITIES FINANCED IN WHOLE OR IN PART WITH PROCEEDS OF  THE  OBLI-
GATIONS  OF  THE  AUTHORIZED  ISSUERS  AUTHORIZED IN THIS SECTION DO NOT
CONSTITUTE OR CREATE A DEBT OF THE STATE, NOR A  CONTRACTUAL  OBLIGATION
IN  EXCESS  OF  THE  AMOUNTS  APPROPRIATED THEREFOR AND THE STATE HAS NO
CONTINUING LEGAL OR MORAL OBLIGATION TO APPROPRIATE MONEY  FOR  PAYMENTS
DUE UNDER ANY SUCH AGREEMENT.
  10.  NOTHING IN THIS ARTICLE SHALL AFFECT THE AUTHORITY OF EACH OF THE
AUTHORIZED ISSUERS TO ISSUE  OR  INCUR  INDEBTEDNESS  FOR  ANY  PURPOSES
OTHERWISE  AUTHORIZED BY LAW AND NOTHING IN THIS ARTICLE SHALL BE DEEMED
TO ALTER OR AFFECT THE RIGHTS OF OUTSTANDING BONDHOLDERS OR  NOTEHOLDERS
OF ANY AUTHORIZED ISSUER.
  11.  THE AUTHORIZATION, SALE AND ISSUANCE OF REVENUE BONDS PURSUANT TO
THIS  SECTION  SHALL  NOT BE DEEMED AN ACTION AS SUCH TERM IS DEFINED IN
ARTICLE EIGHT OF THE ENVIRONMENTAL CONSERVATION LAW FOR THE PURPOSES  OF
SUCH  ARTICLE.  SUCH EXEMPTION SHALL BE STRICTLY LIMITED IN ITS APPLICA-
TION TO SUCH FINANCING ACTIVITIES OF THE  AUTHORIZED  ISSUERS  HEREUNDER
AND DOES NOT EXEMPT ANY OTHER ENTITY FROM COMPLIANCE WITH  SUCH ARTICLE.
  S  69-O.  PAYMENTS TO AUTHORIZED ISSUERS. 1. THE STATE, ACTING THROUGH
THE DIRECTOR OF THE BUDGET,  AND  AUTHORIZED  ISSUERS  MAY  ENTER  INTO,
AMEND, MODIFY OR RESCIND ONE OR MORE FINANCING  AGREEMENTS PROVIDING FOR
THE  SPECIFIC  MANNER,  TIMING,  AND AMOUNT OF PAYMENTS TO BE MADE UNDER
THIS SECTION, BUT ONLY IN CONFORMITY WITH THIS SECTION.
  2. NO LATER THAN OCTOBER FIRST OF EACH  YEAR,  THE  AUTHORITY  ISSUERS
SHALL  CERTIFY  TO  THE  DIRECTOR  OF  THE  BUDGET  THE ANTICIPATED CASH
REQUIREMENTS RELATED TO REVENUE BONDS DURING THE SUBSEQUENT STATE FISCAL
YEAR IN SUCH DETAIL AS THE DIRECTOR MAY REQUIRE.
  3. UPON RECEIPT OF A VOUCHER FROM  ANY  AUTHORIZED  ISSUER  REQUESTING
PAYMENT  FOR  SUCH  AMOUNT  OR  AMOUNTS CERTIFIED BY THE DIRECTOR OF THE
BUDGET PURSUANT TO PARAGRAPH (A) OF SUBDIVISION FIVE OF SECTION  NINETY-
TWO-H  OF  THIS  CHAPTER, THE STATE COMPTROLLER SHALL PAY SUCH AMOUNT OR
AMOUNTS TO BE AUTHORIZED ISSUER FROM APPROPRIATIONS FOR SUCH PURPOSE.
  4. THE AGREEMENT OF THE STATE  CONTAINED  IN  THIS  SECTION  SHALL  BE
DEEMED  EXECUTORY  ONLY  TO  THE  EXTENT OF APPROPRIATIONS AVAILABLE FOR
PAYMENTS UNDER THIS SECTION, AND NO LIABILITY ON  ACCOUNT  OF  ANY  SUCH
PAYMENT SHALL BE INCURRED BY THE STATE BEYOND SUCH APPROPRIATIONS.
  5.  NOTHING  CONTAINED IN THIS ARTICLE SHALL BE DEEMED TO RESTRICT THE
RIGHT OF THE STATE TO AMEND, REPEAL, MODIFY OR OTHERWISE ALTER  STATUTES
IMPOSING  OR  RELATING  TO  THE TAXES IMPOSED PURSUANT TO SECTION ELEVEN
HUNDRED FIVE AND SECTION ELEVEN HUNDRED TEN OF THE TAX LAW. THE  AUTHOR-

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IZED ISSUERS SHALL NOT INCLUDE WITHIN ANY RESOLUTION, CONTRACT OR AGREE-
MENT  WITH  HOLDERS  OF  THE REVENUE BONDS ISSUED UNDER THIS ARTICLE ANY
PROVISION WHICH PROVIDES THAT A DEFAULT OCCURS AS A RESULT OF THE  STATE
EXERCISING  ITS  RIGHT  TO  AMEND, REPEAL, MODIFY OR OTHERWISE ALTER THE
TAXES IMPOSED PURSUANT TO SECTION ELEVEN HUNDRED FIVE AND SECTION ELEVEN
HUNDRED TEN OF THE TAX LAW.
  6. ANY RESOLUTION OR OTHER AGREEMENT AUTHORIZING REVENUE  BONDS  UNDER
THIS ARTICLE SHALL RESERVE THE RIGHT OF THE STATE, UPON AMENDMENT OF THE
NEW  YORK  STATE  CONSTITUTION  ALLOWING  THE  ISSUANCE OR ASSUMPTION OF
BONDS, NOTES OR OTHER OBLIGATIONS SECURED BY REVENUES, WHICH MAY INCLUDE
THE REVENUES SECURING REVENUE BONDS OF AUTHORIZED ISSUERS (A) TO ASSUME,
IN WHOLE OR IN PART, REVENUE BONDS OF THE  AUTHORIZED  ISSUERS,  (B)  TO
EXTINGUISH  THE EXISTING LIEN OF SUCH RESOLUTION, OR OTHER AGREEMENT AND
(C) TO SUBSTITUTE SECURITY FOR  THE  REVENUE  BONDS  OF  THE  AUTHORIZED
ISSUERS, IN EACH CASE ONLY SO LONG AS SUCH ASSUMPTION, EXTINGUISHMENT OR
SUBSTITUTION  IS DONE IN ACCORDANCE WITH SUCH RESOLUTION OR OTHER AGREE-
MENT.
  S 59. Subdivision 8 of section 97-f of the state finance law, as added
by section 56-b of part PP of chapter 56 of the laws of 2009, is amended
to read as follows:
  8. In addition to the amounts required to be maintained on deposit  in
the  mental  health  services  fund pursuant to subdivision five of this
section, the fund shall maintain on deposit an amount equal to the  debt
service and other cash requirements on mental health services facilities
bonds issued by [the dormitory authority] AUTHORIZED ISSUERS pursuant to
[section]  SECTIONS  sixty-eight-b AND SIXTY-NINE-N of this chapter. The
amount required to be maintained  in  such  fund  shall  be  (i)  twenty
percent  of the amount of the next payment coming due relating to mental
health services facilities bonds issued by an authorized  issuer  multi-
plied  by  the  number  of months from the date of the last such payment
with respect to payments required to be made  semi-annually,  plus  (ii)
those  amounts  specified  in any financing agreement between the issuer
and the state, acting through the director of the budget,  with  respect
to  payments required to be made other than semi-annually, including for
variable rate bonds, interest rate exchange  or  similar  agreements  or
other financing arrangements permitted by law.  Prior to making any such
payment,  the  comptroller shall make and deliver to the director of the
budget and the chairmen of the facilities  development  corporation  and
the New York state medical care facilities finance agency, a certificate
stating  the  aggregate amount to be maintained on deposit in the mental
health services fund to comply in  full  with  the  provisions  of  this
subdivision.
  No  later  than five days prior to the payment to be made by the state
comptroller on such mental health services facilities bonds pursuant  to
[section]  SECTIONS  ninety-two-z  AND NINETY-TWO-H of this article, the
amount of such payment shall be transferred  by  the  state  comptroller
from the mental health services fund to the revenue bond tax fund estab-
lished  by  section  ninety-two-z  of  this article. The accumulation of
moneys pursuant to this  subdivision  and  subsequent  transfer  to  the
revenue  bond  tax fund shall be subordinate in all respects to payments
to be made to the New York state medical care facilities finance  agency
and  to  any  pledge  or  assignment pursuant to subdivision six of this
section.
  S 60. Paragraph a of subdivision  5  of  section  89-b  of  the  state
finance law, as amended by section 1 of part B of chapter 84 of the laws
of 2002, is amended to read as follows:

S. 2605--A                         83                         A. 3005--A

  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  and  fringe  benefit  costs  of  the
department of transportation for bus safety inspection activities; costs
of  the  department  of  motor  vehicles,  including  but not limited to
personal and nonpersonal services; costs of engineering and  administra-
tive  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
estimates;  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
project  is  consistent  with  an  approved  airport  layout  plan;  and
construction,  reconstruction,  enhancement,  improvement,  replacement,
reconditioning,  restoration,  rehabilitation and preservation of state,

S. 2605--A                         84                         A. 3005--A

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  [payments]
TRANSFERS to the general debt service fund AND THE REVENUE BOND TAX FUND
of  amounts  equal  to  [amounts] THAT RESPECTIVELY required for service
contract AND FINANCING AGREEMENT payments as provided and authorized  by
section  three  hundred  eighty  of the public authorities law [and by],
section eleven of chapter three hundred twenty-nine of the laws of nine-
teen hundred ninety-one, as  amended,  AND  SECTIONS  SIXTY-EIGHT-C  AND
SIXTY-NINE-O OF THIS CHAPTER.
  S  60-a.  Paragraph  a  of  subdivision 5 of section 89-b of the state
finance law, as amended by section 1 of part D of  chapter  151  of  the
laws of 2001, 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

S. 2605--A                         85                         A. 3005--A

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  and  fringe benefit costs of the
department of transportation for bus safety inspection activities; costs
of engineering and administrative services of the department  of  trans-
portation,  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 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

S. 2605--A                         86                         A. 3005--A

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 [payments] TRANSFERS to the general debt service fund
AND THE REVENUE BOND TAX FUND of amounts equal to [amounts] THAT RESPEC-
TIVELY required for service contract AND FINANCING AGREEMENT payments as
provided and authorized by section three hundred eighty  of  the  public
authorities  law [and by], section eleven of chapter three hundred twen-
ty-nine of the laws of nineteen  hundred  ninety-one,  as  amended,  AND
SECTIONS SIXTY-EIGHT-C AND SIXTY-NINE-O OF THIS CHAPTER.
  S  61.  Subdivision  5  of  section  89-b  of the state finance law is
amended by adding a new paragraph c to read as follows:
  C. IN ADDITION TO THE PURPOSES FOR WHICH MONEYS IN THE DEDICATED HIGH-
WAY AND BRIDGE TRUST FUND CAN BE USED AS DESCRIBED IN  THIS  SUBSECTION,
SUBJECT  TO APPROPRIATION, AFTER MEETING THE REQUIREMENTS OF SUBDIVISION
THREE OF THIS SECTION, SUCH MONEYS SHALL BE USED  FOR  TRANSFER  TO  THE
REVENUE  BOND  TAX  FUND, AS ESTABLISHED BY SECTION NINETY-TWO-Z OF THIS
ARTICLE, IN AN AMOUNT EQUAL TO THAT  REQUIRED  FOR  FINANCING  AGREEMENT
PAYMENTS  PAID  ON  BONDS  AUTHORIZED  PURSUANT TO SECTION THREE HUNDRED
EIGHTY-FIVE OF THE  PUBLIC  AUTHORITIES  LAW,  AND  ISSUED  PURSUANT  TO
SECTIONS SIXTY-EIGHT-B AND SIXTY-NINE-N OF THIS CHAPTER.
  S  62.  Subdivision  3  of  section  97-g of the state finance law, as
amended by section 1 of subpart A of part C of chapter 97 of the laws of
2011, is amended to read as follows:
  3. Moneys of the fund shall be available to the commissioner of gener-
al services for the purchase of food, supplies and equipment  for  state
agencies,  and  for  the  purpose of furnishing or providing centralized
services to or for state agencies; provided  further  that  such  moneys
shall  be available to the commissioner of general services for purposes
pursuant to items (d) and (f) of subdivision four of this section to  or
for  political subdivisions. Beginning the first day of April, two thou-
sand two, moneys in such fund shall also be  transferred  by  the  state
comptroller  to  the  revenue  bond tax fund account of the general debt
service fund in amounts equal to those required for payments to  author-
ized  issuers  for  revenue  bonds issued pursuant to article five-C AND
ARTICLE FIVE-F of this chapter for the purpose of  lease  purchases  and
installment  purchases  by  or  for  state agencies and institutions for
personal or real property purposes.
  S 63. Subdivision (j) of section 92-dd of the state  finance  law,  as
added  by  section  56  of part PP of chapter 56 of the laws of 2009, is
amended to read as follows:
  (j) The state comptroller shall transfer from the HCRA resources  fund
to the general debt service fund, revenue bond tax fund (311.02) amounts
equal  to  the  debt service paid for bonds, notes, or other obligations
issued PURSUANT TO ARTICLE FIVE-C AND ARTICLE FIVE-F OF THIS CHAPTER  to
finance the HEAL NY capital grant program authorized pursuant to section
sixteen hundred eighty-j of the public authorities law.
  S 64. The state finance law is amended by adding a new section 93-a to
read as follows:
  S 93-A. NEW YORK STATE TRANSFORMATIVE CAPITAL FUND.  1. NEW YORK STATE
TRANSFORMATIVE  CAPITAL  FUND.  (A)  THERE  IS HEREBY ESTABLISHED IN THE

S. 2605--A                         87                         A. 3005--A

JOINT CUSTODY OF THE COMPTROLLER AND THE COMMISSIONER  OF  TAXATION  AND
FINANCE A SPECIAL FUND TO BE KNOWN AS THE "NEW YORK STATE TRANSFORMATIVE
CAPITAL FUND".
  (B)  ACCOUNTS.  THE  NEW  YORK STATE TRANSFORMATIVE CAPITAL FUND SHALL
CONSIST OF TWO SEPARATE AND DISTINCT ACCOUNTS: (1) THE  "STORM  RECOVERY
ACCOUNT" AND THE (2) "TRANSFORMATIVE CAPITAL ACCOUNT".
  (C) SOURCES OF FUNDS. THE SOURCES OF FUNDS SHALL CONSIST OF ALL MONEYS
COLLECTED  THEREFOR,  OR  MONEYS  CREDITED,  APPROPRIATED OR TRANSFERRED
THERETO FROM ANY OTHER FUND OR SOURCE PURSUANT  TO  LAW,  OR  ANY  OTHER
MONEYS  MADE  AVAILABLE  FOR  THE  PURPOSES  OF  THE  FUND. ANY INTEREST
RECEIVED BY THE COMPTROLLER ON MONEYS ON DEPOSIT SHALL  BE  RETAINED  IN
AND BECOME A PART OF THE FUND, UNLESS OTHERWISE DIRECTED BY LAW.
  2.  USES OF FUNDS. (A) STORM RECOVERY ACCOUNT. FOLLOWING APPROPRIATION
BY THE LEGISLATURE, MONEYS IN THE STORM RECOVERY ACCOUNT SHALL BE AVAIL-
ABLE TO FINANCE THE REPAIR, REHABILITATION, OR  REPLACEMENT  OF  CAPITAL
WORKS  OR  PURPOSES  DAMAGED  BY  HURRICANE  SANDY OR ANY FUTURE NATURAL
DISASTER EXPECTED TO BE ELIGIBLE FOR REIMBURSEMENT BY THE FEDERAL  EMER-
GENCY  MANAGEMENT  AGENCY  (FEMA),  THE  FEDERAL  TRANSIT ADMINISTRATION
(FTA), THE FEDERAL HIGHWAY ADMINISTRATION (FHWA) AND ANY  OTHER  FEDERAL
REIMBURSEMENT  SOURCE.  NO MONEY IN THIS ACCOUNT MAY BE EXPENDED FOR ANY
PROJECT UNTIL THE DIRECTOR OF THE BUDGET HAS DETERMINED THAT THERE IS  A
SUBSTANTIAL  LIKELIHOOD  THAT  THE  COSTS OF SUCH PROJECT SHALL BE REIM-
BURSED BY FEDERAL SOURCES. THE DIRECTOR SHALL ISSUE  FORMAL  RULES  THAT
SET FORTH THE PROCESS BY WHICH HE OR SHE WILL DETERMINE WHETHER THERE IS
A SUBSTANTIAL LIKELIHOOD OF REIMBURSEMENT BY FEDERAL SOURCES.
  (B)  TRANSFORMATIVE  CAPITAL  ACCOUNT.  FOLLOWING APPROPRIATION BY THE
LEGISLATURE, MONEYS IN  THE  TRANSFORMATIVE  CAPITAL  ACCOUNT  SHALL  BE
AVAILABLE  TO FINANCE PROJECTS OR ACTIVITIES NECESSARY TO PROMOTE TRANS-
FORMATIVE ECONOMIC DEVELOPMENT AND INFRASTRUCTURE  INITIATIVES.  NOTHING
CONTAINED  IN  THIS  SECTION  SHALL BE CONSTRUED TO LIMIT IN ANY WAY THE
PROJECTS, WORKS, ACTIVITIES OR PURPOSES THAT CAN BE FINANCED  FROM  THIS
FUND.
  3.  TRANSFERS.  NOTWITHSTANDING  ANY  OTHER  PROVISION  OF  LAW TO THE
CONTRARY, FOR THE STATE FISCAL YEAR COMMENCING ON APRIL FIRST, TWO THOU-
SAND THIRTEEN, THE COMPTROLLER IS  HEREBY  AUTHORIZED  TO  TRANSFER  ANY
MONEYS  INTO  OR  FROM  THE  NEW  YORK STATE TRANSFORMATIVE CAPITAL FUND
ACCOUNTS INTO OR FROM THE GENERAL FUND IN AN AMOUNT  DETERMINED  BY  THE
DIRECTOR  OF  THE BUDGET, TO THE EXTENT MONEYS ARE AVAILABLE IN THE FUND
ACCOUNTS.
  S 65. Subdivision 1 of section 45 of section 1 of chapter 174  of  the
laws  of  1968, constituting the New York state urban development corpo-
ration act, as amended by section 49 of part U of chapter 59 of the laws
of 2012, is amended to read as follows:
  1. Notwithstanding the provisions of any other law  to  the  contrary,
the  urban  development  corporation  of the state of New York is hereby
authorized to issue bonds or notes in one or more series for the purpose
of funding project costs for the implementation of a NY-SUNY AND NY-CUNY
2020 challenge grant program subject to the approval of  a  NY-SUNY  AND
NY-CUNY  2020 plan or plans by the governor and EITHER the chancellor of
the state university of New York OR THE CHANCELLOR OF THE CITY UNIVERSI-
TY OF NEW YORK, AS APPLICABLE.  The aggregate principal amount of  bonds
authorized  to  be  issued  pursuant  to  this  section shall not exceed
[$110,000,000] $220,000,000, excluding bonds issued to fund one or  more
debt  service reserve funds, to pay costs of issuance of such bonds, and
bonds or notes issued to refund or otherwise repay such bonds  or  notes
previously  issued. Such bonds and notes of the corporation shall not be

S. 2605--A                         88                         A. 3005--A

a debt of the state, and the state shall  not  be  liable  thereon,  nor
shall  they be payable out of any funds other than those appropriated by
the state to  the  corporation  for  principal,  interest,  and  related
expenses  pursuant  to a service contract and such bonds and notes shall
contain on the face thereof a  statement  to  such  effect.  Except  for
purposes  of  complying  with  the  internal  revenue code, any interest
income earned on bond proceeds shall only be used to pay debt service on
such bonds.
  S 65-a. Section 16 of chapter 260 of the laws  of  2011  amending  the
education  law and the New York state urban development corporation act,
relating to establishing components of the NY-SUNY 2020 challenge  grant
program, is amended to read as follows:
  S  16.  This  act  shall take effect July 1, 2011 [and]; PROVIDED THAT
SECTIONS ONE, TWO, THREE, FOUR, FIVE, SIX,  EIGHT,  NINE,  TEN,  ELEVEN,
TWELVE,  THIRTEEN, FOURTEEN AND FIFTEEN OF THIS ACT shall expire 5 years
after such effective date when upon such date the provisions of this act
shall be deemed repealed.
  S 66. Subdivision 10-a of section 1680 of the public authorities  law,
as amended by section 51 of part U of chapter 59 of the laws of 2012, is
amended to read as follows:
  10-a.  Subject  to the provisions of chapter fifty-nine of the laws of
two thousand, but notwithstanding any other provision of the law to  the
contrary, the maximum amount of bonds and notes to be issued after March
thirty-first,  two  thousand two, on behalf of the state, in relation to
any locally sponsored community college, shall be six  hundred  [twenty-
three]  SIXTY-THREE  million  dollars. Such amount shall be exclusive of
bonds and notes issued to fund any reserve fund or funds, costs of issu-
ance and to refund any outstanding bonds and notes, issued on behalf  of
the state, relating to a locally sponsored community college.
  S  67.  Paragraph  (c) of subdivision 14 of section 1680 of the public
authorities law, as amended by section 39 of part PP of  chapter  56  of
the laws of 2009, is amended to read as follows:
  (c) Subject to the provisions of chapter fifty-nine of the laws of two
thousand,  (i)  the  dormitory  authority  shall not deliver a series of
bonds for city university community college facilities, except to refund
or to be substituted for or in lieu of other bonds in relation  to  city
university  community college facilities pursuant to a resolution of the
dormitory authority adopted before July first, nineteen hundred  eighty-
five  or any resolution supplemental thereto, if the principal amount of
bonds so to be issued when added  to  all  principal  amounts  of  bonds
previously  issued by the dormitory authority for city university commu-
nity college facilities, except to refund or to be substituted  in  lieu
of  other bonds in relation to city university community college facili-
ties will exceed the sum of four hundred twenty-five million dollars and
(ii) the dormitory authority shall not deliver a series of bonds  issued
for  city university facilities, including community college facilities,
pursuant to a resolution of the dormitory authority adopted on or  after
July  first,  nineteen  hundred  eighty-five,  except to refund or to be
substituted for or in lieu of other bonds in relation to city university
facilities and except for bonds issued pursuant to a resolution  supple-
mental  to a resolution of the dormitory authority adopted prior to July
first, nineteen hundred eighty-five, if the principal amount of bonds so
to be issued when added to the  principal  amount  of  bonds  previously
issued pursuant to any such resolution, except bonds issued to refund or
to  be  substituted  for  or  in lieu of other bonds in relation to city
university facilities, will exceed six  billion  eight  hundred  [forty-

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three]  FIFTY-THREE  million two hundred thousand dollars.  The legisla-
ture reserves the right to amend or repeal such limit, and the state  of
New York, the dormitory authority, the city university, and the fund are
prohibited  from  covenanting or making any other agreements with or for
the benefit of bondholders which might in any way affect such right.
  S 68. Subdivision (a) of section 48 of part K of  chapter  81  of  the
laws  of  2002,  providing  for  the administration of certain funds and
accounts related to the 2002-2003 budget, as amended by  section  40  of
part  BB  of  chapter  58  of  the  laws  of 2011, is amended to read as
follows:
  (a) Subject to the provisions of chapter 59 of the laws  of  2000  but
notwithstanding  the  provisions  of section 18 of the urban development
corporation act, the corporation is hereby authorized to issue bonds  or
notes  in  one  or  more  series in an aggregate principal amount not to
exceed $67,000,000 excluding bonds issued  to  fund  one  or  more  debt
service reserve funds, to pay costs of issuance of such bonds, and bonds
or  notes issued to refund or otherwise repay such bonds or notes previ-
ously issued, for the purpose of  financing  capital  costs  related  to
homeland  security  and  training  facilities  for the division of state
police, the division of military and naval affairs, and any other  state
agency,  including  the reimbursement of any disbursements made from the
state capital projects fund, and is hereby authorized to issue bonds  or
notes  in  one  or  more  series in an aggregate principal amount not to
exceed [$205,800,000] $220,800,000, excluding bonds issued to  fund  one
or  more  debt  service  reserve funds, to pay costs of issuance of such
bonds, and bonds or notes issued to refund or otherwise repay such bonds
or notes previously issued, for the purpose of financing improvements to
State office buildings and other facilities located statewide, including
the reimbursement of any  disbursements  made  from  the  state  capital
projects  fund.  Such  bonds and notes of the corporation shall not be a
debt of the state, and the state shall not be liable thereon, nor  shall
they  be  payable  out of any funds other than those appropriated by the
state to the corporation for debt service and related expenses  pursuant
to  any  service  contracts executed pursuant to subdivision (b) of this
section, and such bonds and notes shall contain on the  face  thereof  a
statement to such effect.
  S  69.  The  section heading and subdivision 1 of section 386-b of the
public authorities law, as added by section 48 of part U of  chapter  59
of the laws of 2012, is amended to read as follows:
  Financing  of  peace  bridge  AND  TRANSPORTATION CAPITAL projects. 1.
Notwithstanding any other provision of law to the contrary, the authori-
ty, the dormitory authority and the urban  development  corporation  are
hereby  authorized to issue bonds or notes in one or more series for the
purpose of financing peace bridge projects AND CAPITAL  COSTS  OF  STATE
AND LOCAL HIGHWAYS, PARKWAYS, BRIDGES, THE NEW YORK STATE THRUWAY, INDI-
AN  RESERVATION ROADS, AND FACILITIES, AND TRANSPORTATION INFRASTRUCTURE
PROJECTS, INCLUDING WORK APPURTENANT AND ANCILLARY THERETO.  The  aggre-
gate  principal amount of bonds authorized to be issued pursuant to this
section  shall  not  exceed  THREE  HUNDRED  fifteen   million   dollars
[($15,000,000)]  ($315,000,000),  excluding  bonds issued to fund one or
more debt service reserve funds, to pay costs of issuance of such bonds,
and to refund or otherwise repay such bonds or notes previously  issued.
Such  bonds  and notes of the authority, the dormitory authority and the
urban development corporation shall not be a debt of the state, and  the
state  shall not be liable thereon, nor shall they be payable out of any
funds other than those appropriated by the state to the  authority,  the

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dormitory authority and the urban development corporation for principal,
interest,  and  related expenses pursuant to a service contract and such
bonds and notes shall contain on the face thereof a  statement  to  such
effect. Except for purposes of complying with the internal revenue code,
any  interest  income  earned on bond proceeds shall only be used to pay
debt service on such bonds.
  S 69-a. Paragraph (c) of subdivision 19 of section 1680 of the  public
authorities law, as amended by section 52 of part U of chapter 59 of the
laws of 2012, is amended to read as follows:
  (c) Subject to the provisions of chapter fifty-nine of the laws of two
thousand,  the  dormitory  authority shall not issue any bonds for state
university educational facilities purposes if the  principal  amount  of
bonds to be issued when added to the aggregate principal amount of bonds
issued  by  the  dormitory  authority  on and after July first, nineteen
hundred eighty-eight for state university  educational  facilities  will
exceed  ten  billion  [three]  FOUR  hundred  [four]  TWENTY-TWO million
dollars; provided, however, that bonds issued or to be issued  shall  be
excluded  from  such  limitation if: (1) such bonds are issued to refund
state university construction bonds and  state  university  construction
notes previously issued by the housing finance agency; or (2) such bonds
are  issued to refund bonds of the authority or other obligations issued
for state university educational facilities  purposes  and  the  present
value  of  the  aggregate  debt  service on the refunding bonds does not
exceed the present value of the aggregate  debt  service  on  the  bonds
refunded  thereby;  provided,  further  that  upon  certification by the
director of the budget that the issuance of  refunding  bonds  or  other
obligations  issued between April first, nineteen hundred ninety-two and
March thirty-first, nineteen hundred  ninety-three  will  generate  long
term  economic  benefits  to  the  state, as assessed on a present value
basis, such issuance will be deemed to have met the present  value  test
noted  above. For purposes of this subdivision, the present value of the
aggregate debt service of the refunding bonds  and  the  aggregate  debt
service of the bonds refunded, shall be calculated by utilizing the true
interest  cost  of the refunding bonds, which shall be that rate arrived
at by doubling the semi-annual interest rate (compounded  semi-annually)
necessary  to  discount the debt service payments on the refunding bonds
from the payment dates thereof to the date of  issue  of  the  refunding
bonds  to  the purchase price of the refunding bonds, including interest
accrued thereon prior to the issuance  thereof.  The  maturity  of  such
bonds,  other  than  bonds issued to refund outstanding bonds, shall not
exceed the weighted average economic life, as  certified  by  the  state
university construction fund, of the facilities in connection with which
the  bonds  are  issued,  and  in any case not later than the earlier of
thirty years or the expiration of the term of  any  lease,  sublease  or
other  agreement  relating  thereto;  provided  that  no note, including
renewals thereof, shall mature later than five years after the  date  of
issuance  of  such  note. The legislature reserves the right to amend or
repeal such limit, and the state of New York, the  dormitory  authority,
the  state university of New York, and the state university construction
fund are prohibited from covenanting or making any other agreements with
or for the benefit of bondholders which might in  any  way  affect  such
right.
  S  70.  This  act shall take effect immediately and shall be deemed to
have been in full force and effect on and after April 1, 2013;  provided
that:

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  (a)  sections one through nine, and sections thirteen through eighteen
of this act shall expire March  31,  2014,  when  upon  such  date,  the
provisions of such sections shall be deemed repealed;
  (b)  the  amendments  to  subdivision  3  of section 99-h of the state
finance law made by section twenty-three of this act  shall  not  affect
the expiration of such subdivision and section respectively and shall be
deemed to expire therewith;
  (c)  the  amendments  to  subdivision  5 of section 3234 of the public
authorities law made by section forty-five of this act shall take effect
on the same date and in the same manner as section 54 of part K of chap-
ter 81 of the laws of 2002 takes effect;
  (d) the amendments to paragraph a of subdivision 5 of section 89-b  of
the state finance law made by section sixty 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 sixty-a of this act shall take effect;
and
  (e) the amendments to subdivision 3  of  section  97-g  of  the  state
finance  law  made by section sixty-two of this act shall not affect the
expiration and reversion of such subdivision  and  shall  be  deemed  to
expire therewith.

                                 PART N

  Section  1. Subdivisions 1, 3, 4, 5 and 6 of section 709 of the execu-
tive law, subdivision 1 as amended and subdivisions 3, 4,  5  and  6  as
added  by  section  14  of part B of chapter 56 of the laws of 2010, are
amended to read as follows:
  1. There is hereby created within the executive department  the  divi-
sion  of  homeland security and emergency services, which shall have and
exercise the powers and duties set forth in this article. Any  reference
to  the  'office of public security', the 'office of homeland security',
the 'state emergency management office'[, the 'office of  cyber  securi-
ty']  or  the 'office of fire prevention and control' in the laws of New
York state, executive orders, or contracts entered into on behalf of the
state shall be deemed to refer to the division of homeland security  and
emergency services.
  3.  The  division  of  homeland  security and emergency services shall
consist of several offices including, but not limited to, the office  of
counterterrorism,  which  shall  have the powers, and be responsible for
carrying out the duties, including but not limited to those set forth in
section seven hundred nine-a of this article; the  office  of  emergency
management, which shall have the powers, and be responsible for carrying
out  the duties, including but not limited to those set forth in article
two-B of this chapter; the office of fire prevention and control,  which
shall  have  the powers, and be responsible for carrying out the duties,
including but not limited to those set forth in article  six-C  of  this
chapter[; the office of cyber security, which shall have the powers, and
be responsible for carrying out the duties, including but not limited to
those  set  forth in section seven hundred fifteen of this article;] and
the office of interoperable and emergency  communications,  which  shall
have the powers, and be responsible for carrying out the duties, includ-
ing  but  not limited to those set forth in section seven hundred seven-
teen of this article.
  4. As set forth in section seven hundred  ten  of  this  article,  the
commissioner of the division of homeland security and emergency services

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shall  be  appointed by the governor, with the advice and consent of the
senate, and hold office at the pleasure of the governor.  The  directors
of   the   offices   of  counterterrorism,  emergency  management,  fire
prevention and control, [cyber security,] and interoperable and emergen-
cy  communications,  and such other offices as may be established, shall
be appointed by, and hold office at the pleasure of,  the  governor  and
they  shall report to the commissioner of the division of homeland secu-
rity and emergency services.
  5. The directors of the offices of counterterrorism, emergency manage-
ment, fire prevention and control, [cyber security,]  interoperable  and
emergency  communications,  and  of  such other offices as may be estab-
lished, shall, in consultation with the commissioner, have the authority
to promulgate rules and regulations to carry out  the  duties  of  their
office,  including the establishment of fees necessary to compensate for
costs associated with the delivery of training and services.
  6. The directors of the offices of counterterrorism, emergency manage-
ment, fire prevention and control, [cyber security,]  interoperable  and
emergency  communications, and such other offices as may be established,
shall have the authority to enter into contracts with any person,  firm,
corporation, municipality, or government entity.
  S 2. Section 715 of the executive law is REPEALED.
  S  3.  Subdivision  10  of section 103 of the state technology law, as
added by chapter 430 of the laws of 1997, and such section as renumbered
by chapter 437 of the laws of 2004, is amended to read as follows:
  10. To establish statewide  technology  policies,  including  but  not
limited to preferred technology standards and security, INCLUDING STATE-
WIDE POLICIES, STANDARDS, PROGRAMS, AND SERVICES RELATING TO THE SECURI-
TY  OF  STATE  GOVERNMENT  NETWORKS  AND GEOGRAPHIC INFORMATION SYSTEMS,
INCLUDING THE STATEWIDE COORDINATION OF GEOGRAPHICALLY REFERENCED  CRIT-
ICAL INFRASTRUCTURE INFORMATION;
  S 4. Section 103 of the state technology law is amended by adding four
new subdivisions 18, 19, 20 and 21 to read as follows:
  18.  TO  PROVIDE  FOR  THE  PROTECTION OF THE STATE GOVERNMENT'S CYBER
SECURITY INFRASTRUCTURE, INCLUDING, BUT NOT LIMITED TO, THE  IDENTIFICA-
TION  AND  MITIGATION  OF  VULNERABILITIES,  DETERRING AND RESPONDING TO
CYBER EVENTS, AND PROMOTING CYBER SECURITY AWARENESS WITHIN THE STATE.
  19. TO MAINTAIN, IN ELECTRONIC  OR  PAPER  FORMATS,  MAPS,  GEOGRAPHIC
IMAGES, GEOGRAPHIC DATA AND METADATA.
  20.  NOTWITHSTANDING  THE  PROVISIONS OF SUBPARAGRAPHS (I) AND (II) OF
PARAGRAPH (A) OF SUBDIVISION  EIGHT  OF  SECTION  SEVENTY-THREE  OF  THE
PUBLIC OFFICERS LAW, FORMER OFFICERS OR EMPLOYEES OF THE OFFICE OF CYBER
SECURITY  EMPLOYED  BY  THE NOT-FOR-PROFIT CORPORATION THAT OPERATES THE
MULTI-STATE INFORMATION SHARING AND ANALYSIS CENTER  MAY  APPEAR  BEFORE
AND  RENDER SERVICES TO ANY FEDERAL, STATE, LOCAL, TERRITORIAL OR TRIBAL
GOVERNMENT RELATING TO CYBER SECURITY.
  21. NOTWITHSTANDING THE PROVISIONS OF SECTION ONE HUNDRED  SIXTY-THREE
OF  THE  STATE  FINANCE  LAW,  SECTION  ONE HUNDRED THREE OF THE GENERAL
MUNICIPAL LAW, ARTICLE FOUR-C OF THE ECONOMIC DEVELOPMENT  LAW,  OR  ANY
OTHER  PROVISION  OF  LAW RELATING TO THE AWARD OF PUBLIC CONTRACTS, ANY
OFFICER, BODY, OR AGENCY OF NEW YORK STATE, PUBLIC CORPORATION, OR OTHER
PUBLIC ENTITY SUBJECT TO SUCH PROVISIONS OF LAW SHALL BE  AUTHORIZED  TO
ENTER  INDIVIDUALLY OR COLLECTIVELY INTO CONTRACTS WITH THE NOT-FOR-PRO-
FIT CORPORATION THAT OPERATES THE MULTI-STATE  INFORMATION  SHARING  AND
ANALYSIS  CENTER FOR THE PROVISION OF SERVICES THROUGH SEPTEMBER THIRTI-
ETH, TWO THOUSAND FOURTEEN RELATED TO CYBER SECURITY INCLUDING, BUT  NOT
LIMITED  TO,  MONITORING,  DETECTING, AND RESPONDING TO CYBER INCIDENTS,

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AND SUCH CONTRACTS MAY BE AWARDED WITHOUT COMPLIANCE WITH THE PROCEDURES
RELATING TO THE PROCUREMENT OF SERVICES SET FORTH IN SUCH PROVISIONS  OF
LAW.    SUCH  CONTRACTS  SHALL, HOWEVER, BE SUBJECT TO THE COMPTROLLER'S
EXISTING  AUTHORITY TO APPROVE CONTRACTS WHERE SUCH APPROVAL IS REQUIRED
BY SECTION ONE HUNDRED TWELVE OF THE STATE  FINANCE  LAW  OR  OTHERWISE.
SUCH  OFFICERS,  BODIES,  OR  AGENCIES MAY PAY THE FEES OR OTHER AMOUNTS
SPECIFIED IN SUCH CONTRACTS  IN  CONSIDERATION  OF  THE  CYBER  SECURITY
SERVICES TO BE RENDERED PURSUANT TO SUCH CONTRACTS.
  S  5.  Subdivision 2 and paragraph (a) of subdivision 7 of section 208
of the state technology law, subdivision 2 as amended by chapter 491  of
the  laws  of  2005  and  paragraph  (a)  of subdivision 7 as amended by
section 27 of part A of chapter 62 of the laws of 2011, are  amended  to
read as follows:
  2.  Any  state  entity  that  owns  or licenses computerized data that
includes private information shall disclose any breach of  the